SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
FOR THE MONTH OF APRIL
2003
FOMENTO ECONOMICO MEXICANO, S.A. DE C.V.
(Exact name of Registrant as specified in its charter)
Mexican Economic Development, Inc.
(Translation of Registrant's name into English)
United Mexican States
(Jurisdiction of incorporation or organization)
General Anaya No. 601 Pte.
Colonia Bella Vista
Monterrey, NL 64410 Mexico
(Address of principal executive offices)
(Indicate by check mark whether the
registrant files or will file annual
reports under cover of Form 20-F of Form
40-F.)
Form 20-F X Form 40-F
--- ---
(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 No X
--- ---
(If "Yes" is marked, indicate below the file number assigned to
the registrant in connection with Rule 12g3-2(b): 82--.)
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended the registrant has duly caused this report to be signed on its behalf by
the undersigned, thereunto duly authorized.
FOMENTO ECONOMICO MEXICANO, S.A. DE C.V.
By: /s/ Federico Reyes
----------------------------
Federico Reyes
Chief Financial Officer
Date: April 30, 2003
FEMSA REPORTS RESULTS FOR FIRST QUARTER OF 2003
MONTERREY, Mexico--(BUSINESS WIRE)--April 30, 2003--
First quarter 2003 consolidated revenues and operating income up
4.7% with respect to same period in 2002, reaching Ps. 12.530
billion and Ps. 1.707 billion respectively.
Fomento Economico Mexicano, S.A. de C.V. ("FEMSA") (NYSE: FMX;
BMV: FEMSA UBD; FEMSA UB), the Leader in Latin Beverages, reported
today growth in consolidated total revenues and operating income for
the first quarter ending March 31, 2003.
FEMSA and Subsidiaries
Growth compared to same period of the previous year
==========================================================================
Changes in %, in real peso terms
==========================================================================
Total Revenue Operating Income*Operating Margin**
1 Qtr 03 1 Qtr 03 1 Qtr 03 Change
FEMSA Consolidated 4.7% 4.7% 13.6% 0 bps
FEMSA Cerveza (2.4) (2.4) 11.5 0
Coca-Cola FEMSA 0.8 5.2 24.0 + 100
FEMSA Comercio 20.7 3.9 3.2 (50)
FEMSA Empaques 7.1 29.4 13.6 +230
==========================================================================
* Before Management Fees for FEMSA Cerveza, FEMSA Comercio and FEMSA Empaques
** Operating Margin is the ratio of Operating Income to Total Revenues; change
in basis points
"Once again, our consolidated results were positive in terms of
revenue and operating income growth. Beyond short-term metrics,
however, we continue to invest in the transformation to improve our
core businesses going forward. The sustained effort to strengthen our
operations and financial structure is now bearing fruit with the
acquisition of Panamco. This transaction will consolidate FEMSA as one
of the most successful companies in Mexico, as well as the leader in
beverages in Latin America. We have managed FEMSA with a long-term
vision, results orientation and operational and financial discipline.
Today we have a solid track record, but the real challenge lies ahead.
We will not be satisfied until we have realized the potential that
this new stage in our company offers to us," said Jose Antonio
Fernandez, Chairman and CEO of FEMSA.
UNAUDITED FINANCIAL RESULTS FOR THE FIRST QUARTER ENDED MARCH 31,
2003 COMPARED TO THE FIRST QUARTER ENDED MARCH 31, 2002
FEMSA Consolidated
Total Revenues
During the first quarter of 2003, our consolidated total revenues
increased by 4.7% to Ps. 12.530 billion. Our operating subsidiaries
extended their steady growth trends into the first quarter of 2003,
with the exception of FEMSA Cerveza, whose revenues declined by 2.4%
reflecting continued weak demand in its core territories. FEMSA
Comercio opened 61 net new Oxxo stores in the period, FEMSA Empaques
benefited from higher demand for beverage cans coupled with a
favorable currency effect, and Coca-Cola FEMSA achieved solid volume
growth.
Income from Operations
During the first quarter of 2003, our consolidated operating
expenses increased by 0.8% to Ps. 4.202 billion, combining a reduction
in administrative expenses mainly related to lower payroll expenses,
and a slight increase in selling expenses that lagged revenue growth.
As a percentage of total revenues, consolidated operating expenses
declined by 140 basis points to 33.5%. Our consolidated income from
operations after participation in the results of affiliated companies
increased by 4.7% to Ps. 1.707 billion, and our consolidated operating
margin remained constant at 13.6% of consolidated total revenues.
Net Interest Expense
Consolidated net financial expense during the first quarter of
2003 increased by 71.4% to Ps. 144 million. This increase relative to
the first quarter of 2002 reflects the net effect of (i) a 68.4%
increase in interest expense reflecting higher average liabilities and
the effect of the quarter's depreciation of the peso against the
dollar on our net dollar liabilities, only partially compensated by
lower average interest rates, and (ii) a 66.1% increase in interest
income reflecting a significantly higher average cash position.
Foreign Exchange Variation and Result on Monetary Position
Foreign Exchange. For the first quarter of 2003, we recorded a
consolidated foreign exchange loss of Ps. 156 million compared to a
foreign exchange gain of Ps. 236 million recorded in the comparable
quarter of 2002. The peso devaluated 3.2% against the dollar in the
December 2002 to March 2003 period. Our average net dollar liabilities
increased slightly from the amount recorded in the first quarter of
2002.
Monetary Position. For the first quarter of 2003, the loss on
monetary position amounted to Ps. 12 million, primarily related to (i)
our larger net asset position in Mexico and (ii) the change in the
policy during the third quarter of 2002 by which we discontinued the
use of our investment in Coca-Cola FEMSA Buenos Aires as a hedge for
the liabilities incurred in connection with this acquisition, as
mentioned in previous Company communications.
Taxes
For the first quarter of 2003, we recognized consolidated income
tax, tax on assets and employee profit sharing expense ("taxes") of
Ps. 624 million, a reduction of 17.5% relative to the first quarter of
2002. The effective tax rate was 48.6% during this period, mainly as a
result of higher non-recurrent, non-deductible items.
Net Income
During the first quarter of 2003, our consolidated net income
amounted to Ps. 659 million, a reduction of 41.9% from the Ps. 1.134
billion recorded in the first quarter of 2002. The non-operating
charges that impacted this result as described above were mainly (i) a
larger interest expense reflecting a larger net debt balance, (ii) a
significant foreign exchange loss related to the devaluation of the
peso against the dollar, and (iii) a higher effective tax rate.
Consolidated Net Majority Income
Consolidated net majority income amounted to Ps. 401 million for
the first quarter of 2003 compared with Ps. 690 million recorded in
the first quarter of 2002. Net majority income per FEMSA Unit was Ps.
0.3785 for the first quarter of 2003 compared with Ps. 0.6513 recorded
in the first quarter of 2002.
FEMSA Cerveza
For the first quarter of 2003, FEMSA Cerveza's total revenues
amounted to Ps. 4.542 billion, a 2.4% decrease compared to the same
period last year, resulting from a decline of 1.8% in total sales
volume and a decline of 0.8% in total real revenue per hectoliter.
Domestic sales volume fell by 1.8% to 4.841 million hectoliters,
reflecting demand weakness during January and February partially
offset by an important recovery in March. We did not implement a price
increase during the first quarter of 2003, which also explains the
decline of 1.5% in average domestic revenue per hectoliter in real
terms. Overall, we have continued to observe a relatively weak
consumer market in the northern regions, characterized by soft
employment and slow retail activity. Nevertheless, we have continued
to provide active support for all our brands through integrated
marketing initiatives; sample results include those of Sol and Indio,
which have extended their encouraging trends in terms of significant
incremental volume. Export sales volume decreased by 1.8%, reflecting
a moderate increase in volume sold in the United States upset by
seasonal declines in other regions of the world. Export revenues have
benefited from the currency devaluation, posting a 12.7% increase in
average revenue per hectoliter in real peso terms.
During the first quarter of 2003, FEMSA Cerveza's gross profit
decreased by 2.7% compared to the first quarter of 2002. Gross profit
was affected by a lower absorption of fixed costs and by increasing
costs of dollar-denominated raw materials and packaging, resulting
from the devaluation of the peso against the dollar of 19.8% in the
period spanning from March 2002 to March 2003. The gross margin
contracted 10 basis points to 55.4% of net sales. Administrative
expenses decreased by 0.5% to Ps. 565.4 million and selling expenses
decreased by 3.9% to Ps. 1.392 billion during the period. FEMSA
Cerveza's income from operations, before deduction of management fees,
decreased by 2.4% to Ps. 520.2 million compared to the first quarter
of 2002, yielding an operating margin before deduction of management
fees identical to that of the first quarter of last year, at 11.5% of
total revenues.
During the quarter we made steady progress in the implementation
of several components of the ongoing transformation process at FEMSA
Cerveza. As of March 31, 2003 approximately 76% of our domestic volume
was sold through presale systems, as this tool gradually yields more
effectiveness to our sales force. Presale will also provide more
business intelligence insights as we continue the implementation of
systems, such as ERP, to better exploit the information we gather
directly from the market.
Coca-Cola FEMSA
Coca-Cola FEMSA's first quarter 2003 top line results were driven
by solid volume performance: 6.6% growth in Mexico and 7.6% growth in
Argentina. The Mexican territories recorded a reduction in average
price per unit case of 6.2%, due mainly to (i) price adjustments for
the 2-liter flavor presentations, (ii) the growth of Ciel water brand
within the product mix, particularly after the widespread acceptance
of the 5-liter jug presentation which carries a lower price per ounce
than soft-drinks, and (iii) the introduction of the 2.5-liter economy
size returnable presentation for brand Coca-Cola. Total revenues in
the Mexican territories remained flat versus the first quarter of
2002.
Coca-Cola FEMSA Buenos Aires continued to experience a recovery in
sales and profitability. Volume growth was supported by a good
performance in the cola category and by a significant move towards
glass returnable presentations, which jumped from 2.9% of the mix in
the first quarter of 2002 to 22.9% in the first quarter of 2003. This
shift was also largely responsible for the 2.6% reduction in average
price per unit case, as returnable presentations are generally more
affordable to the end consumer on a per-ounce basis. Total revenues in
the Argentine territories increased by 7.3% in the first quarter of
2003. Consolidated total revenues at Coca-Cola FEMSA increased 0.8% to
Ps. 4.150 billion in the first quarter of 2003.
Coca-Cola FEMSA's consolidated operating income grew 5.2% in the
first quarter of 2003. Overall, Coca-Cola FEMSA's operating expenses
reflect a rationalization in commercialization expenses, as well as a
reduction in expenses related to advertising and promotions. The
operating margin expanded by 100 basis points in the quarter to 24.0%
of total revenues.
Recent Events
Regarding the progress of the transaction involving Coca-Cola
FEMSA's acquisition of Panamerican Beverages, Inc. (NYSE: PB,
"Panamco"), we mention some relevant developments in chronological
order:
-- Early termination of the waiting period by the U.S.
Hart-Scott-Rodino Antitrust Improvements Act announced on
February 5, 2003.
-- Approval granted by the Comision Federal de Competencia
(Mexican Antitrust Commission) announced on March 28, 2003.
-- Favorable legal opinion regarding competition issued by the
Brazilian Ministry of Justice announced on March 28, 2003.
-- Definitive filing of the proxy statements to the Securities
and Exchange Commission by Coca-Cola FEMSA and Panamco on
March 28, 2003.
-- Significant progress in the structuring of the financing
facilities, including the successful pre-funding of Ps. 4,250
million in peso-denominated Certificados Bursatiles on April
23, 2003.
-- Approval to close the transaction granted by Panamco's
shareholders at Panamco's General Shareholder's Assembly held
on April 28, 2003.
For more information, please consult the relevant filings found in
the Securities and Exchange Commission's website.
Coca-Cola FEMSA's financial results and discussion are
incorporated by reference from Coca-Cola FEMSA's press release
attached to this press release. Please note that the figures expressed
in this report do not integrate any operation from Panamco and its
bottling franchises nor any financing considerations related to the
acquisition transaction. The acquisition of Panamco by Coca-Cola FEMSA
is expected to close during the first week of May 2003.
FEMSA Comercio
During the first quarter of 2003, FEMSA Comercio continued its
sustained growth performance, adding 61 net new Oxxo stores, compared
to 44 in the same period of 2002. FEMSA Comercio's total revenues
increased by 20.7% as a result of the increase in the number of
stores, which this quarter includes 454 more stores than the
comparable period of 2002. Average sales per store with more than 18
months of operation declined by 1.4% in the quarter. This was mainly a
result of an adverse calendar effect observed during March, as Easter
vacation 2002 occurred during this month. FEMSA Comercio's gross
margin expansion of 50 basis points resulted primarily from improved
purchasing terms with suppliers achieved by successful category
management. However, operating expenses as a percentage to total
revenues increased by 100 basis points, mostly related to staffing and
infrastructure upgrades in the marketing, category management,
logistics, administrative areas, site maintenance and expansion
management. As a result, operating income before management fees grew
3.9%, which represents an operating margin contraction of 50 basis
points to 3.2% of total revenues in the quarter. FEMSA Comercio will
continue with its national expansion strategy in order to consolidate
its position as the leading convenience store chain in Mexico.
FEMSA Empaques
For the first quarter of 2003, FEMSA Empaques recorded revenue
growth of 7.1%, derived from the following combination of results in
its main product lines: (i) 21.1% sales volume growth in beverage cans
from higher sales to FEMSA Cerveza, Coca-Cola FEMSA and export
clients; and (ii) 9.2% sales volume decline in glass bottles due to
lower purchases from FEMSA Cerveza, more than offsetting the increase
in purchases from Coca-Cola FEMSA. Dollar-denominated revenues were
benefited by the devaluation of the peso against the dollar. The
devaluation effect is also reflected in the 270-basis point expansion
of the gross margin. Operating expenses increased by 10.9%, mainly
reflecting higher shipping expenses related to the can export
business. Operating income before management fees increased by a solid
29.4%, representing an operating margin expansion of 230 basis points
to 13.6% of total revenues for the first quarter.
CONFERENCE CALL INFORMATION
Our First-Quarter 2003 Conference Call will be held on: Wednesday,
April 30, 2003, 1:00 P.M. Eastern Time (12:00 noon Mexico City Time).
To participate in the conference call, please dial: Domestic U.S.:
1-800-915-4836, International: 973-317-5319. This Conference Call will
also be transmitted through live webcast at http://ir.femsa.com/
If you are unable to participate live, an instant replay of the
conference call will be available through May 6, 2003. To listen to
the replay please dial: Domestic U.S.: 1-800-428-6051; International:
973 709-2089, Passcode: 291314.
Set forth in this press release is certain unaudited financial
information for FEMSA for the first quarter ended March 31, 2003,
compared to the first quarter ended March 31, 2002. We are a holding
company whose principal activities are grouped under the following
subholding companies (the "Subholding Companies") and carried out by
their respective operating subsidiaries: FEMSA Cerveza, S.A. de C.V.
("FEMSA Cerveza"), which engages in the production, distribution and
marketing of beer; Coca-Cola FEMSA, S.A. de C.V. ("Coca-Cola FEMSA"),
which engages in the production, distribution and marketing of
non-alcoholic beverages; FEMSA Empaques, S.A. de C.V. ("FEMSA
Empaques"), which engages in the production and distribution of
packaging materials; and FEMSA Comercio, S.A. de C.V. ("FEMSA
Comercio"), which engages in the operation of convenience stores.
FEMSA Units consists of FEMSA UBD units and FEMSA UB units. Each
FEMSA UBD unit is comprised of one Series B share, two Series D-B
shares and two Series D-L shares. Each FEMSA UB unit is comprised of
five series B shares. The number of FEMSA Units outstanding as of
March 31, 2003 was 1,059,462,090, equivalent to the total number of
shares of the Company outstanding as of March 31, 2003 divided by 5.
All of the figures in this report have been restated in constant
Mexican pesos ("Pesos" or "Ps.") with purchasing power as of March 31,
2003 and were prepared in accordance with Mexican Generally Accepted
Accounting Principles ("Mexican GAAP"). As a result, all percentage
changes are expressed in real terms. The restatement was determined as
follows:
-- For the results of the Mexican operations, using factors
derived from the Mexican National Consumer Price Index
("NCPI"). To restate March 2002 pesos to March 2003 pesos, we
applied an inflation factor of 1.0564 and to restate December
2002 pesos to March 2003 pesos, we applied a 1.0132 inflation
factor.
-- For the results of the Buenos Aires operations, using factors
derived from the Argentine National Consumer Price Index. To
restate March 2002 to March 2003 Argentine Pesos, we applied
an inflation factor of 1.3021 and to restate December 2002
Argentine Pesos to March 2003 Argentine Pesos we applied a
1.0211 inflation factor; to convert constant Argentine Pesos
into Pesos, we used the March 31, 2003 exchange rate of Ps.
3.6225 per Argentine Peso.
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 expectations and are based upon currently available data.
Actual results are subject to future events and uncertainties, which
could materially impact our actual performance.
IMPORTANT NOTICES:
We invite you to register in our Investor Relations Site located
at http://ir.femsa.com to receive notification of all of our press
releases, earnings releases and IR Events automatically through our
e-mail alert service.
Please contact FEMSA's Investor Relations officers if you wish to
have your name added or removed from this distribution list or to
receive this press release through a specific medium only.
Three pages of tables and Coca-Cola FEMSA's press release to
follow
==========================================
CONSOLIDATED INCOME STATEMENT
For the three months ended March 31,:
(Expressed in Millions of Pesos as of March 31, 2003)
--------------------
2003 2002 %Var
----------------------------------------
Net sales 12,468 11,923 4.6
Other operating
revenues 62 39 59.0
----------------------------------------
Total revenues 12,530 11,962 4.7
Cost of sales 6,599 6,141 7.5
----------------------------------------
Gross profit 5,931 5,821 1.9
----------------------------------------
Administrative
expenses 1,143 1,155 (1.0)
Selling expenses 3,059 3,015 1.5
----------------------------------------
Operating expenses 4,202 4,170 0.8
Participation in
affiliated
companies (22) (20) N.S.
----------------------------------------
Income from
operations 1,707 1,631 4.7
----------------------------------------
Interest
expense (330) (196) 68.4
Interest
income 186 112 66.1
----------------------------------------
Interest expense,
net (144) (84) 71.4
Foreign exchange
(loss) gain (156) 236 N.S.
Gain (loss) on
monetary position (12) 188 N.S.
----------------------------------------
Integral result of
financing (312) 340 N.S.
Other (expenses)
incomes (112) (81) 38.3
----------------------------------------
Income before taxes 1,283 1,890 (32.1)
Taxes (624) (756)(17.5)
----------------------------------------
Net Income 659 1,134 (41.9)
----------------------------------------
Net majority income 401 690 (41.9)
Net minority income 258 444 (41.9)
----------------------------------------
% Total Revenues
--------------------
2003 2002 Var P.P.
------------------------------------------
Net sales 99.5 99.7 (0.2)
Other operating
revenues 0.5 0.3 0.2
----------------------------------------
Total revenues 100.0 100.0 -
Cost of sales* 52.9 51.5 1.4
----------------------------------------
Gross profit* 47.6 48.8 (1.2)
----------------------------------------
Administrative
expenses 9.1 9.7 (0.6)
Sales expenses 24.4 25.2 (0.8)
----------------------------------------
Operating expenses 33.5 34.9 (1.4)
Participation in
affiliated
companies (0.2) (0.2) -
----------------------------------------
Income from
operations 13.6 13.6 -
----------------------------------------
* % to Net sales
=======================================================
CONSOLIDATED BALANCE SHEET
As of March 31, :
(Expressed in Millions of Pesos as of March 31, 2003)
--------------------------------
ASSETS 2003 2002 % Var
------------------------------------------------------
Cash and cash
equivalents 13,939 8,016 73.9
Accounts receivable 2,949 3,298 (10.6)
Inventories 5,226 4,637 12.7
Prepaid expenses 1,286 947 35.8
------------------------------------------------------
Total Current Assets 23,400 16,898 38.5
Property, plant and
equipment, net 30,449 29,007 5.0
Deferred charges and
other assets 7,183 6,375 12.7
------------------------------------------------------
TOTAL ASSETS 61,032 52,280 16.7
------------------------------------------------------
LIABILITIES & STOCKHOLDERS' EQUITY
------------------------------------------------------
Bank loans 3,703 1,221 203.3
Current maturities
long term debt 517 725 (28.7)
Interest payable 202 198 2.0
Operating liabilities 7,859 7,596 3.5
------------------------------------------------------
Total Current
Liabilities 12,281 9,740 26.1
Bank loans 10,028 6,571 52.6
Deferred income taxes 4,032 3,918 2.9
Other liabilities 1,669 1,463 14.1
------------------------------------------------------
Total Liabilities 28,010 21,692 29.1
Total Stockholders'
equity 33,022 30,588 8.0
------------------------------------------------------
LIABILITIES &
STOCKHOLDERS' EQUITY 61,032 52,280 16.7
------------------------------------------------------
FINANCIAL RATIOS
------------------------------------------------------
Liquidity 1.91 1.73 0.17
Interest coverage** 18.97 31.79 (12.82)
Leverage 84.8% 70.9% 13.91
Capitalization 32.7% 22.5% 10.22
------------------------------------------------------
** Income from operations + depreciation + other non- cash charges / interest
expense, net
OTHER INFORMATION
- ------------------------------------------------------
Depreciation 553.2 562.6 (1.7)
Other non-cash charges 471.4 476.9 (1.2)
Capex 1,580.6 909.3 73.8
Net Debt (MM dollars) 28.6 69.1 (58.6)
- ------------------------------------------------------
Results from operations
For the first quarter of:
(Expressed in Millions of Pesos as of March 31, 2003)
FEMSA Coca-Cola FEMSA FEMSA
Cerveza FEMSA Comercio Empaques
------------------------------------------------------------------------------------------
2003 2002 % Var 2003 2002 % Var 2003 2002 % Var 2003 2002 % Var
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Net sales 4,507.2 4,627.7 (2.6) 4,100.7 4,078.2 0.6 3,407.1 2,822.0 20.7 1,535.7 1,435.8 7.0
Other revenues 34.9 27.2 28.3 48.9 39.8 22.9 5.7 3.8 50.2
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Total revenues 4,542.1 4,654.9 (2.4) 4,149.6 4,118.0 0.8 3,407.1 2,822.0 20.7 1,541.4 1,439.6 7.1
Cost of good sold 2,043.0 2,085.4 (2.0) 1,995.6 1,922.8 3.8 2,521.2 2,102.8 19.9 1,187.1 1,147.1 3.5
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Gross margin 2,499.1 2,569.5 (2.7) 2,154.0 2,195.2 (1.9) 885.8 719.2 23.2 354.3 292.5 21.1
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Administrative expenses 565.4 568.5 (0.5) 328.2 346.1 (5.2) 60.0 54.5 10.2 44.0 44.3 (0.6)
Sales expenses 1,391.8 1,448.0 (3.9) 831.5 903.6 (8.0) 718.2 561.1 28.0 100.7 86.2 16.8
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Operating expenses 1,957.2 2,016.5 (2.9) 1,159.7 1,249.7 (7.2) 778.2 615.6 26.4 144.8 130.5 10.9
Participation in affiliated
companies (21.7) (20.0)(8.5)
- --------------------------------------------------- ---------------------- ---------------------- ----------------------
Income from operations before
management fee 520.2 533.0 (2.4) 994.3 945.5 5.2 107.6 103.5 3.9 209.6 162.0 29.4
Management fee 103.2 100.8 2.4 0.0 0.0 15.7 19.0 (17.4) 25.1 22.6 11.1
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Income from operations 417.0 432.2 (3.5) 994.3 945.5 5.2 91.9 84.6 8.7 184.5 139.4 32.3
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
% to Total Revenues
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Income from operations before
management fee 11.5 11.5 0.0 24.0 23.0 1.0 3.2 3.7 (0.5) 13.6 11.3 2.3
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
OTHER INFORMATION
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Depreciation 287.5 291.1 (1.2) 118.8 144.2 (17.6) 29.6 22.1 33.8 60.9 60.7 0.3
Other non-cash charges 372.0 380.0 (2.1) 91.9 107.4 (14.4) 31.7 23.5 34.9 16.9 11.0 52.9
Capex 835.8 651.5 28.3 348.7 232.3 50.1 201.8 52.0 288.2 199.6 26.7 646.9
Net debt (million dollars) 248.7 159.7 55.8 (325.5) (186.5) 74.5 90.8 32.7 177.4 184.2 128.0 43.9
- ----------------------------- --------------------- ---------------------- ---------------------- ----------------------
Operating Data
For the first quarter of:
================================================================================
FEMSA Cerveza
- ---------------
Sales Volumes
(Thousand hectoliters)
-------------------------
2003 2002 %Var
- ----------------------------------------------------
Domestic 4,841 4,930 (1.8)
Exports 362 368 (1.8)
- ----------------------------------------------------
Total Volume 5,202 5,298 (1.8)
- ----------------------------------------------------
Presentation Mix (%)
-------------------------
2003 2002 Var p.p.
- ----------------------------------------------------
Returnable 69.5 71.0 (1.5)
Non Returnable 8.0 7.3 0.7
Cans 22.5 21.7 0.8
- ----------------------------------------------------
Total volume 100.0 100.0 (0.0)
- ----------------------------------------------------
- ----------------------------------------------------
Exports
revenues: Millions Ps. 259.8 234.7 10.7
US Millions 23.7 24.7 (4.0)
====================================================
Coca-Cola FEMSA
- ---------------
Sales Volumes
(Millions of Unit Cases)
-------------------------
2003 2002 %Var
- ----------------------------------------------------
Valley of
Mexico 89.7 83.9 6.9
Southeast 28.9 27.3 5.9
- ----------------------------------------------------
Mexico 118.6 111.2 6.6
Buenos Aires 31.6 29.4 7.6
- ----------------------------------------------------
Total 150.2 140.6 6.8
====================================================
Presentation Mix (%)
-----------------
(Returnable/Non-Returnable) 2003 2002
- ----------------------------------------------------
Valley of
Mexico 30/70 36/64
Southeast 46/54 44/56
- ----------------------------------------------------
Mexico 34/66 38/62
Buenos Aires 23/77 3/97
- ----------------------------------------------------
Total 32/68 31/69
====================================================
FEMSA Empaque
- -------------
Total Sales Volume
(Millions of pieces)
----------------------
2003 2002 %Var
- -----------------------------------------------
Cans 737.3 608.6 21.1
Glass Bottles 209.8 231.1 (9.2)
- -----------------------------------------------
Export
volumes: Cans 148.9 31.1 378.8
- -----------------------------------------------
Exports
revenues: Millions Ps. 202.3 124.7 62.2
US Millions 18.4 13.1 40.5
===============================================
Percentage of sales revenue by client category:
----------------------
2003 2002 Var p.p.
- -----------------------------------------------
Intercompany sales 57.7 59.8 (2.1)
- -----------------------------------------------
FEMSA Cerveza 37.6 44.5 (6.9)
Coca-Cola FEMSA 20.1 15.3 4.8
- -----------------------------------------------
Third-party sales 42.3 40.2 2.1
- -----------------------------------------------
Domestic 29.8 31.5 (1.8)
Export 12.5 8.7 3.8
- -----------------------------------------------
Total 100.0 100.0
===============================================
FEMSA Comercio
- --------------
----------------------
2003 2002 %Var
- -----------------------------------------------
Total stores 2,277 1,823 24.9
New stores 61 44 38.6
Comparative same stores:*
Average monthly sales
(Ths. Ps.) ** 510.6 517.8 (1.4)
===============================================
* Stores with more than 18 months of
operations.
** Based on comparative same stores in each
period.
PRESS RELEASE
FOR FURTHER INFORMATION:
Alfredo Fernandez / Julieta Naranjo
Investor Relations Department
Coca-Cola FEMSA, S.A. de C.V.
(52-555) 081-5120 / 5121 / 5148
afernandeze@kof.com.mx / jnaranjo@kof.com.mx
WEBSITE: www.cocacola-femsa.com.mx
- --------------------------------------------------------------
COCA-COLA FEMSA Announces 5.2% Operating Profit Growth
for the first quarter of 2003
FIRST-QUARTER 2003
-- Consolidated unit case volume increased by 6.8% as a result of
the 6.6% and 7.6% volume growth in the Mexican and Argentine
operations, respectively.
-- Consolidated operating income increased by 5.2% to Ps. 994.3
million, reaching a consolidated operating margin of 24.0%, an
increase of 1.0 percentage point as compared to the first
quarter of 2002.
Mexico City (April 30, 2003) - Coca-Cola FEMSA, S.A. de C.V.
(NYSE: KOF) ("Coca-Cola FEMSA" or the "Company"), one of the global
Coca-Cola anchor bottlers and the largest Coca-Cola bottler in Mexico
and Argentina, announced today its consolidated results for the first
quarter of 2003.
"Our first quarter results reflect the ability of our Company to
take advantage of our brands and resources to leverage on our industry
knowledge and market expertise to implement price, packaging and
product strategies per distribution channel to preserve and create
value for our organization." stated Carlos Salazar, Chief Executive
Officer of the Company.
CONSOLIDATED RESULTS
During the first quarter of 2003, our consolidated volume totaled
150.2 million unit cases ("MUC")1, a 6.8% improvement over the same
period in 2002. Strong volume growth in Mexico and Argentina supported
these results.
Consolidated operating income increased by 5.2% during the same
period, driven by a 3.2% and 58.5% operating income growth in our
Mexican and Argentina territories, respectively. Higher volume growth
and lower operating expenses in Mexico and Argentina, compensated for
higher costs of packaging in both territories and the impact of the
devaluation of the Mexican peso year over year.
The integral cost of financing shifted from a gain of Ps. 308.6
million during the first quarter of 2002 to a loss of Ps. 65.3 million
in the first quarter of 2003 due primarily to the combined effect of:
(i) the negative impact of the depreciation of the Mexican peso on our
U.S. dollar denominated interest expenses;
(ii) an extraordinary gain recorded in KOFBA, generated by the devaluation
of the Argentine Peso versus the U.S. dollar during the first quarter
of 2002 applied to cash balances held in U.S. dollars; and
(iii) the decision of the Company to discontinue using the investment in
KOFBA as a hedge for the liabilities incurred in connection with this
acquisition during the third quarter of 2002
The income tax, tax on assets and employee profit sharing as a
percentage of income before taxes increased from 36.9% in the first
quarter of 2002 to 46.2% in the same period of 2003, due to
non-recurring non-deductible expenses recorded during this period.
Despite the increase on the marginal rate, the income tax, tax on
assets and employee profit sharing decreased by 12.3% in the first
quarter of 2003 as compared to the first quarter of 2002.
As a result of all of the above, consolidated net income declined
by 40.3%, to Ps. 470.7 million in the first quarter of 2003, resulting
in earnings per share ("EPS") of Ps. 0.330 (U.S.$0.306 per ADR).
BALANCE SHEET
On March 31, 2003, Coca-Cola FEMSA recorded a cash balance of Ps.
6,792 million (U.S.$629.2 million) and total bank debt of Ps. 3,269
million (U.S.$302.8 million). As compared to December 31, 2002, this
represents a Ps. 530 million (U.S.$49.1 million) increase in cash and
cash equivalents.
MEXICAN OPERATING RESULTS
Revenues
Revenues in the Mexican territories reached Ps. 3,653.7 million
for the first quarter of 2003, remaining almost flat as compared with
the same period last year. First-quarter 2003 sales volume reached
118.6 MUC, an increase of 6.6% over first-quarter 2002. Excluding
incremental volumes from our 5 lt. presentation of still water brand
Ciel, the rest of the products reached sale volumes of 115.6 MUC, a
3.9% improvement over the first quarter of 2002.
The following chart sets forth sales volume and average unit price
per case for the first quarter of 2003, as well as percentage growth
over the same period in 2002 in our Mexican territories.
Excluding 5 lt. Ciel Including 5 lt. Ciel
----------------------------------------------------------------
Total % Growth Total % Growth
----------------------------------------------------------------
Sales Volume (MUC) 115.6 3.9 118.6 6.6
Avg. Unit Price Ps. 31.3 (4.6)Ps. 30.8 (6.2)
The 6.6% sales volume growth during the first quarter of 2003 in
the Mexican territories was mainly the result of (i) the solid
performance of our flavor brands including Fanta, Lift and Mundet, and
(ii) the 8.4 MUC sales volume reached by Ciel still and mineral water,
almost doubling the sales volume as compared to first quarter of 2002.
Gross Profit
Gross profit decreased by 2.1% for the first-quarter 2003.
Consolidated cost of sales, as a percentage of total sales, increased
by 1.2 percentage points during the first quarter of 2003, as a result
of higher costs of packaging and the devaluation of the Mexican peso
year over year.
Income from Operations
As a percentage of total sales, selling and administrative
expenses decreased for the first quarter of 2003 by 2.0 percentage
points, as compared to 2002. This was a result of (i) lower breakage
of bottles due to the replacement of the 2.0 lt. PET returnable
packaging with the introduction of the 2.5 lt. PET returnable
presentation for the Coca-Cola brand, (ii) lower marketing expenses
and (iii) lower administrative expenses, as compared to the first
quarter of 2002. As a result, operating profit increased by 3.2%
during first quarter of 2003, reaching an operating margin of 26.2%,
an expansion of 0.8 percentage points as compared to the same period
of 2002.
ARGENTINE OPERATING RESULTS
Revenues
Our successful execution strategies in Argentina continue to
achieve positive results. In the first quarter of 2003, total sales
volume in our Buenos Aires territory increased by 7.6% as compared to
the same period of 2002, which offset the 2.6% decrease in the average
real price per unit case in Argentine pesos. As a result, total
revenues grew by 7.3% during the first quarter of 2003.
Our core brands (Coca-Cola, Sprite and Fanta) in returnable
packaging presentations are recapturing the preference of our
Argentine consumers, accounting for almost all the incremental volume
sales during the quarter. During the first quarter of 2003, returnable
presentations, which are more profitable than the value-protection
brands, represented 23% of our total volume sales, compared to 3%
during the first quarter of 2002.
Gross Profit
Gross profit as a percentage of sales decreased from 36.9% in the
first quarter of 2002 to 34.8% in 2003, this reduction was mainly due
to higher sweetener and packaging costs, which were partially offset
by our shift to returnable glass presentations.
Income from Operations
In Argentina, operating expenses decreased by 5.6% for the first
quarter of 2003 as compared to the same period of 2002, as a result of
lower marketing expenses and lower salary expenses.
The successful performance of our returnable presentations
combined with a strong focus on channel segmentation and a tight cost
control strategy helped us achieve an operating profit of A$10.3
million for the first quarter of 2003, an increase of 58.5% versus the
same period last year.
RECENT DEVELOPMENTS
-- On April 28, 2003, the stockholders of Panamerican Beverages,
Inc. ("Panamco") approved the acquisition of Panamco by
Coca-Cola FEMSA in a special meeting that took place in Miami,
Florida. The proposed acquisition was approved by all classes
of Panamco stock as required by the merger agreement with
Coca-Cola FEMSA. The merger remains subject to the
satisfaction or waiver of other conditions, including the
disbursement of acquisition funding by the lenders to
Coca-Cola FEMSA. Assuming all remaining conditions are
satisfied, the acquisition is expected to close on May 6,
2003.
-- On April 25, 2003 the Company raised Ps. 4.25 thousand
million, equivalent to approximately US$400 million, through
three bonds offerings of "Certificados Bursatiles" (Mexican
peso denominated-bonds) in the Mexican debt capital markets,
in what is considered one of the most successful debt
offerings completed in Mexican history. Fitch and S&P rated
the bond offerings with local currency credit ratings of
AAA/AA+, respectively. The following table provides the
characteristics of each one of the issues:
Main Terms 4yrs TIIE Based Note 5 yrs CETES Based Note 7 yrs Fixed Rate Notes
- -------------------------------------------------------------------------------------------
Amount Ps. 2,000 MM Ps. 1,250 MM Ps.1,000 MM
- -------------------------------------------------------------------------------------------
Tenor/Amortization 4 year bullet 5 year bullet 7 year bullet
- -------------------------------------------------------------------------------------------
Rate 28-day TIIE + 55 bps 182 day CETE + 120 bps 10.4% Fixed
- -------------------------------------------------------------------------------------------
The proceeds from the offerings will be used as part of the debt
pre-funding needed for the acquisition of Panamco.
-- In line with our efforts to evaluate and test different
strategies on how to foster per-capita consumption for
carbonated soft-drinks in the Valley of Mexico, we launched a
2.5 lt. PET non-returnable packaging presentation for the
Coca-Cola brand during the month of March of 2003.
-- At the beginning of the year we successfully launched in
Argentina, Fanta Light in 500 ml PET and 1.5 lt. PET
non-returnable presentations. This new product generated
almost 10% of the incremental volumes of the quarter in Buenos
Aires, driving volume growth in the premium category.
-- Due to the success of our strategy of returnable packaging
presentations in Argentina, we launched a 2.0 lt. PET
returnable presentation for brand Coca-Cola at the end of
February of 2003 to increase further our presence in the
family size presentations and to increase per-capita
consumption by providing a more compelling value proposition
to our clients and customers in Buenos Aires.
CONFERENCE CALL INFORMATION
Our First-Quarter 2003 Conference Call will be held on: Wednesday,
April 30, 2003, 10:30 A.M. Eastern Time (9:30 A.M. Mexico City Time).
To participate in the conference call, please dial: Domestic U.S.:
800-599-9816 and International: 617-847-8705.
If you are unable to participate live, an instant replay of the
conference call will be available through May 14, 2003. To listen to
the replay please dial: Domestic U.S.: 888-286-8010; International:
617-801-6888, Passcode: 833855.
* * *
Coca-Cola FEMSA, S.A. de C.V. produces Coca-Cola, Sprite, Fanta,
Lift and other trademark beverages of The Coca-Cola Company in the
Valley of Mexico and the Southeast territories in Mexico and in the
Buenos Aires Territory in Argentina. The Company has eight bottling
facilities in Mexico and one in Buenos Aires and serves more than
283,650 retailers in Mexico and 76,400 retailers in the greater Buenos
Aires area. Coca-Cola FEMSA currently accounts for approximately 3.2%
of Coca-Cola global sales, 23.8% of all Coca-Cola sales in Mexico and
approximately 36.8% of all Coca-Cola sales in Argentina. The Coca-Cola
Company owns a 30% equity interest in Coca-Cola FEMSA.
* * *
Figures for the Company's operations in Mexico and its
consolidated international operations were prepared in accordance with
Mexican generally accepted accounting principles ("Mexican GAAP").
Figures of the Company's operations in Argentina were prepared in
accordance with Argentine generally accepted accounting principles.
All figures are expressed in constant Mexican pesos with purchasing
power at March 31, 2003. For comparison purposes, 2002 and 2003
figures from the Company's Argentine operations have been restated
taking into account Argentine inflation with reference to the
Argentine consumer price index and converted from Argentine pesos into
Mexican pesos using the March 31, 2003 exchange rate of Ps. 3.622 per
A$1.00. In addition, all comparisons in this report for the first
quarter of 2003, which ended on March 31, 2003, in this report are
made against the figures for the comparable period in 2002, unless
otherwise noted.
This news release may contain forward-looking statements
concerning Coca-Cola FEMSA's future performance and should be
considered as good faith estimates by Coca-Cola FEMSA. These
forward-looking statements reflect management's expectations and are
based upon currently available data. Actual results are subject to
future events and uncertainties, many of which are outside Coca-Cola
FEMSA's control that could materially impact the Company's actual
performance.
References herein to "U.S.$" are to United States dollars. This
news release contains translations of certain peso amo amounts into
U.S. dollars at specified rates solely for the convenience of the
reader. These translations should not be construed as representations
that the peso amounts actually represent such U.S. dollar amounts or
could be converted into U.S. dollars at the rate indicated.
* * *
(3 pages of tables to follow)
Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries
Consolidated Balance Sheet
As of March 31, 2003 and December 31, 2002
Millions of Mexican pesos (Ps.)
Expressed in currency with purchasing power as of March 31, 2003
- -------------------------------------------------------
ASSETS 2003 2002
- -------------------------------------------------------
Current Assets
Cash and cash
equivalents Ps. 6,792 Ps. 6,262
- -------------------------------------------------------
Accounts receivable:
Trade 375 563
Notes 11 12
Prepaid taxes 188 245
Other 229 208
- -------------------------------------------------------
803 1,028
- -------------------------------------------------------
Inventories 1,217 773
Prepaid expenses 101 74
- -------------------------------------------------------
Total current assets 8,913 8,137
- -------------------------------------------------------
Property, plant and equipment
Land 792 795
Buildings, machinery and
equipment 8,987 9,047
Accumulated depreciation (3,338) (3,304)
Construction in progress 402 370
Bottles and cases 372 292
- -------------------------------------------------------
Total property, plant and
equipment 7,215 7,200
- -------------------------------------------------------
Investment in shares 121 126
Deferred charges, net 907 859
Goodwill, net 280 262
- -------------------------------------------------------
TOTAL ASSETS Ps. 17,436 Ps. 16,584
=======================================================
- ---------------------------------------------------------------
LIABILITIES & STOCKHOLDERS' EQUITY 2003 2002
- ---------------------------------------------------------------
Current Liabilities
Short-term bank loans, notes and
interest payable Ps. 108 Ps. 82
Suppliers 1,643 1,630
Accounts payable and others 674 668
Taxes payable 507 229
- ---------------------------------------------------------------
Total Current
Liabilities 2,932 2,609
- ---------------------------------------------------------------
Long-term bank
loans 3,269 3,212
Pension plan and seniority premium 191 188
Other liabilities 1,199 1,198
- ---------------------------------------------------------------
Total Liabilities 7,591 7,207
- ---------------------------------------------------------------
Stockholders' Equity
Minority interest 0 0
Majority interest:
Capital stock 2,401 2,401
Additional paid in capital 1,689 1,689
Retained earnings of prior years 9,431 6,817
Net income for the period 471 2,615
Cumulative results of holding
non-monetary assets (4,147) (4,145)
- ---------------------------------------------------------------
Total majority
interest 9,845 9,377
- ---------------------------------------------------------------
Total stockholders'
equity 9,845 9,377
- ---------------------------------------------------------------
TOTAL LIABILITIES & EQUITY Ps. 17,436 Ps.16,584
===============================================================
Mexican Inflation December 2002 - March 2003 1.32%
Argentine Inflation December 2002 - March 2003 2.11%
Mexican Peso / U.S.Dollar at March 31, 2003 10.795
Argentine peso / U.S. Dollar March 31 , 2003 2.980
Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries
INCOME STATEMENT
For the three months ended March 31, 2003 and 2002
Expressed in currency with purchasing power as of March 31, 2003
----------------------- ------------------------- -----------------------
Consolidated Mexican Operations Buenos Aires Operation
------------------------------------------------- -----------------------
(Millions of Argentine
(Millions of Mexican Pesos) (1) Pesos) (1)
-------------------------------------------------------------------------
2003 2002 % VAR 2003 2002 % VAR 2003 2002 % VAR
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Sales Volume(millions unit cases) 150.2 140.6 6.8 118.6 111.2 6.6 31.6 29.4 7.6
Average unit price per case 27.30 29.01 (5.9) 30.80 32.83 (6.2) 3.91 4.01 (2.6)
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Net revenues 4,100.7 4,078.2 0.6 3,653.7 3,651.7 0.1 123.4 117.8 4.8
Other operating revenues 48.9 39.8 22.9 16.6 19.8 (16.2) 8.9 5.5 61.8
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Total revenues 4,149.6 4,118.0 0.8 3,670.3 3,671.5 (0.0) 132.3 123.3 7.3
Cost of sales 1,995.6 1,922.8 3.8 1,683.1 1,641.0 2.6 86.3 77.8 10.9
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Gross profit 2,154.0 2,195.2 (1.9) 1,987.2 2,030.5 (2.1) 46.0 45.5 1.1
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Administrative expenses 322.5 330.9 (2.5) 295.4 302.7 (2.4) 7.5 7.8 (3.8)
Selling expenses 831.5 903.6 (8.0) 729.2 795.0 (8.3) 28.2 30.0 (6.0)
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Operating expenses 1,154.0 1,234.5 (6.5) 1,024.6 1,097.7 (6.7) 35.7 37.8 (5.6)
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Goodwill amortization 5.7 15.2 (62.5) 2.0 2.0 - - 1.2 (100.0)
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Operating income 994.3 945.5 5.2 960.6 930.8 3.2 10.3 6.5 58.5
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Interest expense 94.6 74.2 27.5
Interest income 64.5 65.1 (0.9)
Interest expense, net 30.1 9.1 230.8
Foreign exchange loss (gain) 18.4 (132.0)(113.9)
Loss (gain) on monetary position 16.8 (185.7)(109.0)
- ---------------------------------------------- -----------------------
Integral cost of financing 65.3 (308.6)(121.2)
Other (income) expenses, net 54.9 6.2 785.5
- ---------------------------------------------- -----------------------
Income before taxes 874.1 1,247.9 (30.0)
Taxes 403.4 460.0 (12.3)
- ---------------------------------------------- -----------------------
Consolidated net income 470.7 787.9 (40.3)
- ---------------------------------------------- -----------------------
Majority net income 470.7 787.9 (40.3)
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
Non-cash items (2) 210.7 251.6 (16.3) 165.3 191.4 (13.6) 11.5 14.2 (19.0)
- ---------------------------------------------- ----------------------- ------------------------- -----------------------
(1) Except volume and average price per unit case figures.
(2) Depreciation, amortization and other non-cash items (including returnable
bottle breakage expenses).
Mexican Inflation March 2002 - March 2003 5.64%
Argentine Inflation March 2002 - March 2003 30.21%
Mexican Peso / U.S.Dollar at March 31, 2003 10.795
Argentine Peso / U.S.Dollar at March 31 2003 2.980
Mexican Peso / Argentine peso at March 31 2003 3.622
Selected Information
For the three months ended March 31, 2003
Expressed in Pesos as of March 31, 2003
2003
---------------------------------------------------------
Depreciation (1) 124.5
Amortization and others 86.2
Capital Expenditures (2) 348.7
---------------------------------------------------------
(1) (Includes goodwill amortization)
(2) (Includes Bottles and Cases and Deferred Charges)
Sales Volume Information
Expressed in millions of unit cases
2003 2002
---------------------------------------------------------
Mexico 118.6 111.2
Valley of Mexico 89.7 83.9
Southeast 28.9 27.3
Buenos Aires 31.6 29.4
---------------------------------------------------------
Total 150.2 140.6
=========================================================
Product Mix by Brand
(Colas / Flavors / Water)
Expressed as a percentage of total volume
2003 2002
---------------------------------------------------------
Mexico 68/25/7 74/22/4
Valley of Mexico 68/25/7 74/23/3
Southeast 69/24/7 73/21/6
Buenos Aires 70/29/1 63/36/1
---------------------------------------------------------
Total 69/25/6 72/25/3
---------------------------------------------------------
Product Mix by Presentation
(Returnable / Non Returnable)
Expressed as a percentage of total volume
2003 2002
---------------------------------------------------------
Mexico 34/66 38/62
Valley of Mexico 30/70 36/64
Southeast 46/54 44/56
Buenos Aires 23/77 3/97
---------------------------------------------------------
Total 32/68 31/69
---------------------------------------------------------
(1)The unit case is equal to 24 eight-ounce servings.
CONTACT: Juan Fonseca, (52) 81 83 28 62 45
juan.fonseca@femsa.com.mx
Alan Alanis, (52) 81 83 28 62 11
alan.alanis@femsa.com.mx
Arturo Ballester, (52) 81 83 28 61 89
arturo.ballester@femsa.com.mx