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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 JULY 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--.)

FEMSA Reports Results for Second Quarter and First Half Of 2003 MONTERREY, Mexico--July 28, 2003--Fomento Economico Mexicano, S.A. de C.V. ("FEMSA") (NYSE: FMX; BMV: FEMSA UBD; FEMSA UB), the Leader in Latin Beverages, reported today its operational and financial results for the second quarter ended June 30, 2003. -- Consolidated total revenues reached Ps. 19.189 billion and consolidated operating income reached Ps. 3.328 billion during the second quarter. -- Coca-Cola FEMSA closed its acquisition of Panamco and successfully issued Ps. 10 billion of Peso-denominated long-term debt in two landmark offerings of Certificados Bursatiles, in effect improving its debt profile in terms of cost, tenor and currency denomination. -- FEMSA Cerveza's quarterly domestic beer sales volume increased by 6.2% year over year, with Sol continuing to grow at double-digit pace--more than any other brand in our portfolio. -- Oxxo continued its rapid expansion rate. 122 net new stores helped to boost quarterly net sales 28.7% over last year's second quarter, and operating margin expanded by 30 basis points, reaching 5.1% of net sales. Jose Antonio Fernandez, Chairman and CEO of FEMSA, commented, "We are entering a new phase in the history of FEMSA, realizing that along with great potential, come responsibility and significant challenges. Since formally acquiring the Panamco operations in early May, and having had the benefit of performing our diagnostic analyses with the cooperation of Panamco management since the beginning of the year, we are moving very fast. We are addressing the most pressing needs of every one of our new markets, with a great focus on our new Mexican franchises and the significant potential for synergies that these represent." Mr. Fernandez continued, "We are comfortable with the new structure of our balance sheet. Nevertheless, every level of our organization understands that in the years ahead we must be very disciplined in our finances and capital allocation, and more productive than ever in our operations. I have every confidence that we will."

UNAUDITED FINANCIAL RESULTS FOR THE SECOND QUARTER ENDED JUNE 30, 2003 COMPARED TO THE SECOND QUARTER ENDED JUNE 30, 2002 Notice On May 6, 2003 Coca-Cola FEMSA completed the acquisition of Panamerican Beverages, Inc. ("Panamco"). For more information regarding this acquisition, please consult the relevant filings found in the websites of the Mexican Bolsa and the Securities and Exchange Commission. Upon completion of this acquisition, Coca-Cola FEMSA became FEMSA's largest subsidiary in terms of total revenue and operating income. As of May 2003 operating results for Coca-Cola FEMSA and for FEMSA Consolidated for the second quarter of 2003 include the operation of newly acquired bottling territories, which is not reflected in the operating results shown for the second quarter of 2002. The quarterly results for Coca-Cola FEMSA and FEMSA Consolidated will not be fully comparable with those of previous periods until the third quarter of 2004. FEMSA Consolidated Total Revenues During the second quarter of 2003, our consolidated total revenues increased by 36.0% to Ps. 19.189 billion, as a result of revenue growth in every one of our main subholding companies. The majority of the incremental revenue for the second quarter relates to Coca-Cola FEMSA's new revenue sources, which renders it incomparable with the second quarter of 2002. FEMSA Comercio posted strong revenue growth of 28.7%, due to its rapid expansion of selling space and to recovering traffic indicators. FEMSA Cerveza boosted its domestic sales volume to achieve revenue growth of 2.8% in the quarter. For its part, FEMSA Empaques recorded revenue growth of 6.6%, reflecting healthy demand for beverage cans and favorable currency conversion conditions. For the first six months of the year, consolidated total revenues reached Ps. 31.723 billion. In this period, including only two months of operation in Coca-Cola FEMSA's new territories, approximately 40% of our total revenues came from Coca-Cola FEMSA, 31% from FEMSA Cerveza, 24% from FEMSA Comercio and 5% from FEMSA Empaques and others. Income from Operations During the second quarter of 2003, our consolidated income from operations after participation in the results of affiliated companies increased by 17.0% to Ps. 3.328 billion, and our consolidated operating margin was 17.3% of consolidated total revenues. The resulting margin contraction of 290 basis points results mainly from the incorporation of Coca-Cola FEMSA's new bottling territories, which currently have a lower level of profitability than Coca-Cola FEMSA's traditional territories. FEMSA Cerveza and FEMSA Empaques also recorded operating margin contractions, mainly reflecting increases in their respective selling expenses. For the first six months of the year, consolidated operating income reached Ps. 5.035 billion. In this period, including only two months of operation in Coca-Cola FEMSA's new territories, approximately 54% of our operating income came from Coca-Cola FEMSA, 34% from FEMSA Cerveza, 6% from FEMSA Comercio and 6% from FEMSA Empaques and others.

Integral Cost of Financing and Taxes Net Interest Expense. Consolidated net interest expense during the second quarter of 2003 amounted to Ps. 446 million. This figure is mainly a result of the interest expense derived from new debt issued by Coca-Cola FEMSA in order to finance the acquisition of new bottling territories, only partially compensated by interest income derived from higher peso cash holdings. For the first six months of the year, consolidated net interest expense reached Ps. 590 million. Foreign Exchange. For the second quarter of 2003, we recorded a consolidated foreign exchange loss of Ps. 773 million. This amount is a result of exchange rate volatility during the quarter and large foreign exchange transactions entered into in relationship with the Panamco acquisition. Specifically, the factors affecting Coca-Cola FEMSA's foreign exchange loss were (i) the appreciation of the Mexican peso against the U.S dollar applied towards our daily U.S. dollars cash balances from March 31, 2003 to the date of acquisition (the foreign exchange rate at closing was Ps. 10.188 per U.S. Dollar); and (ii) the devaluation of the Mexican Peso versus the U.S. dollar applied to the U.S. dollar-denominated acquisition financing from the closing of the transaction to the end of the second quarter of 2003. For the first six months of the year, consolidated foreign exchange loss amounted to Ps. 929 million. Monetary Position. For the second quarter of 2003, the gain on monetary position amounted to Ps. 37 million, primarily reflecting a mild inflation in Mexico during the period. For the first six months of the year, gain on monetary position amounted to Ps. 25 million. Other expenses. Other expenses amounted to Ps. 430 million for the second quarter and Ps. 586 million for the first half of 2003. The charge for the second quarter primarily relates to the write-off of equipment at FEMSA Cerveza as replacements with newer technology equipment are being implemented company-wide, as well as severance payments across our subholding companies. Taxes. For the second quarter of 2003, we recognized consolidated income tax, tax on assets and employee profit sharing expense ("taxes") of Ps. 636 million. The effective tax rate for the quarter was 37.1%. Net Income During the second quarter of 2003, our consolidated net income amounted to Ps. 1.080 billion. For the first six months of 2003, the consolidated net income reached Ps. 1.738 billion. Consolidated Net Majority Income Consolidated net majority income amounted to Ps. 721 million for the second quarter of 2003 and to Ps. 1.122 billion for the first six months of 2003. Net majority income per FEMSA Unit was Ps. 0.681 for the second quarter of 2003 and of Ps. 1.059 for the first six months of 2003.

Coca-Cola FEMSA Coca-Cola FEMSA's financial results and discussion are incorporated by reference from Coca-Cola FEMSA's press release which is attached to this press release. FEMSA Cerveza For the second quarter of 2003, FEMSA Cerveza's total revenues reached Ps. 5.836 billion, a 2.8% increase compared to the same period last year, as a result of healthy total volume growth of 5.1% combined with a decline of 1.8% in total real revenue per hectoliter. In the quarter, FEMSA Cerveza advanced in the implementation of its strategic initiatives, successfully testing the integrated systems that support the sales organization in some of its markets. Domestic sales volume grew by 6.2% to 6.120 million hectoliters, following a strong recovery in demand particularly during April and May. We believe that the surge in demand during the quarter was driven by a combination of the following factors: (i) absence of a price increase during the first six months of 2003, (ii) a favorable calendar effect as Easter vacations occurred in April as opposed to March 2002 and (iii) particularly warm weather during April and May. Real average domestic revenue per hectoliter declined by 2.8% during the quarter. Export sales volume decreased by 4.5%, as exports to the United States declined due to weakness in the import segment. Nevertheless, export revenues continued to benefit from the currency devaluation relative to the previous year, posting an 8.2% increase in average revenue per hectoliter in real peso terms. During the second quarter of 2003, FEMSA Cerveza's gross profit increased by 3.6% compared to the second quarter of 2002. Cost of sales displayed a moderate increase in dollar-denominated variable costs that was partially compensated by a reduction in fixed and shipping costs per hectoliter, and resulted in a reduction of 60 basis points in the cost of sales as a percentage of net sales. The gross margin expanded by 20 basis points to 58.3% of net sales. Administrative expenses increased by 0.6% to Ps. 565 million and selling expenses increased by 11.1% to Ps. 1.608 billion during the period. The increase of selling expenses above the growth rate in sales, is mainly attributable to a larger provision for uncollectible accounts, higher market research expenses and other expenses related to the third party distributors acquired throughout the year. As a result, FEMSA Cerveza's income from operations, before deduction of management fees, decreased by 5.8% to Ps. 1.215 billion compared to the second quarter of 2002, which yielded an operating margin before deduction of management fees of 20.8%, 190 basis points below that of the second quarter of 2002. For the first six months of 2003, FEMSA Cerveza posted revenue growth of 0.4% to Ps. 10.375 billion, while income from operations declined by 4.8% to Ps. 1.734 billion, for a six-month operating margin of 16.7%.

FEMSA Comercio During the second quarter of 2003, FEMSA Comercio added 122 new stores to the Oxxo convenience store chain, compared to 55 stores in the same period of 2002. FEMSA Comercio's total revenues increased by 28.7% to Ps. 4.186 billion, mainly as a result of the increase in the number of stores, which this quarter includes 521 more Oxxo stores than the comparable period of 2002. Average sales per store for the total store universe increased by 1.0% in the quarter, reflecting to a certain extent Oxxo's successful marketing strategies and the incremental traffic generated by well-located new stores. Sales in comparative mature stores increased by 2.8% in the quarter, resulting from the following main factors: (i) a favorable calendar effect as Easter vacation occurred in April as opposed to March in 2002, (ii) successful promotions implemented during May, (iii) a gradual recovery of sales in stores located in the northern border towns, and (iv) particularly warm weather during April and May. Successful category management is fostering enhanced relationships with suppliers, which is reflected in the improvement of FEMSA Comercio's gross margin. Operating expenses as a percentage to total revenues increased by 30 basis points, mostly related to an increase in electricity costs as well as maintenance and site enhancements in many older stores. Operating income before management fees grew 38.5%, which translated to an operating margin growth of 30 basis points to 5.1% of total revenues for the quarter. Accumulated results for the first six months of 2003 show FEMSA Comercio with revenue growth of 25.0% to Ps. 7.590 billion, driving growth in income from operations of 24.6% to Ps. 322 million, resulting in an operating margin of 4.2%. FEMSA Empaques For the second quarter of 2003, FEMSA Empaques recorded total revenue growth of 6.6% to Ps. 1.870 billion, driven by a remarkable performance of its beverage can operation, Famosa, which posted 10.1% growth in sales volume, as a result of higher can sales to FEMSA Cerveza, Coca-Cola FEMSA and export clients. In addition, dollar-denominated revenues (such as beverage cans) benefited from the devaluation of the peso against the dollar year-on-year. Glass bottles recorded sales volume growth of 0.8% due to an increase in purchases from FEMSA Cerveza, which compensated the continued trend of reducing sales to third parties. In spite of the revenue growth, gross margin contracted by 140 basis points to 24.1% of net sales, mainly due to a charge related to the depreciation of two of our three glass bottle furnaces, since the useful life of these furnaces was adjusted to more closely reflect actual conditions and newer technology. Operating expenses increased by 8.3%, mainly reflecting higher shipping expenses related to the can export business. Operating income before management fees decreased by 2.8%, representing an operating margin contraction of 150 basis points to 15.5% of total revenues for the second quarter. For the first half of 2003, FEMSA Empaques posted growth in total revenue of 6.8% to Ps. 3.410 billion and growth in income from operations of 8.5% to Ps. 499 million, for a six-month operating margin of 14.6%.

Capital Expenditures As detailed in FEMSA's 2002 Form 20-F recently filed with the Securities and Exchange Commission, we expect our consolidated capital expenditures for the year 2003 to reach Ps. 11.1 billion. This represents a measurable increase from that of previous years, and is the result of simultaneous, mostly non-recurrent projects being carried out at our different subsidiaries. At Coca-Cola FEMSA, significant investments are being made related to the new territories and the upgrade of our asset base; at FEMSA Cerveza, a significant portion of the incremental capital expenditure is being assigned to the project of fully aligning its primary distribution network, which includes the acquisition and/or franchising of third party distributorships; at FEMSA Comercio, the rapid expansion in selling space together with the acquisition of selected choice sites has required increased investment levels, and finally, at FEMSA Empaques, there has been an overhaul of one of its three glass furnaces, which occurs approximately every five years. We must stress the fact that all capital expenditures are approved only after very thorough analysis, not only from a strategic viewpoint but also from an EVA(R) perspective. In every case, these investments are consistent with the strategic long-term plans of our company and represent, in our view, the best alternatives to employ our capital and to continue to generate returns for our shareholders. CONFERENCE CALL INFORMATION Our Second Quarter 2003 Conference Call will be held on: Monday, July 28, 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 August 4, 2003. To listen to the replay please dial: Domestic U.S.: 1-800-428-6051; International: 973 709-2089, Passcode: 301313.

Set forth in this press release is certain unaudited financial information for FEMSA for the second quarter ended June 30, 2003, compared to the second quarter ended June 30, 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 June 30, 2003 was 1,059,462,090, equivalent to the total number of shares of the Company outstanding as of June 30, 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 June 30, 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 June 2002 pesos to June 2003 pesos, we applied an inflation factor of 1.0427 and to restate March 2003 pesos to June 2003 pesos, we applied a 0.9993 inflation factor. -- For the results of the Buenos Aires operations, using factors derived from the Argentine National Consumer Price Index. To restate June 2002 to June 2003 Argentine Pesos, we applied an inflation factor of 1.0976 and to restate March 2003 Argentine Pesos to June 2003 Argentine Pesos we applied a 0.9970 inflation factor; to convert constant Argentine Pesos into Pesos, we used the June 30, 2003 exchange rate of Ps. 3.73 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. Four pages of tables and Coca-Cola FEMSA's press release to follow

=============================================================================== CONSOLIDATED INCOME STATEMENT For the second quarter and for the first semester of,: (Expressed in Millions of Pesos as of June 30, 2003) For the II quarter of: For the I Semester of: ---------------------------------------------- 2003 2002 %Var 2003 2002 %Var -------------------------------------------------------------------- Net sales 19,125 14,057 36.1 31,596 25,983 21.6 Other operating revenues 64 52 23.1 127 92 38.0 -------------------------------------------------------------------- Total revenues 19,189 14,109 36.0 31,723 26,075 21.7 Cost of sales 9,845 6,902 42.6 16,448 13,046 26.1 -------------------------------------------------------------------- Gross profit 9,344 7,207 29.7 15,275 13,029 17.2 -------------------------------------------------------------------- Administrative expenses 1,375 1,183 16.2 2,518 2,338 7.7 Selling expenses 4,643 3,209 44.7 7,702 6,225 23.7 -------------------------------------------------------------------- Operating expenses 6,018 4,392 37.0 10,220 8,563 19.4 Participation in affiliated companies 2 29 (93.1) (20) 9 N.S. -------------------------------------------------------------------- Income from operations 3,328 2,844 17.0 5,035 4,475 12.5 -------------------------------------------------------------------- Interest expense (586) (226) N.S. (916) (422) N.S. Interest income 140 93 50.5 326 205 59.0 -------------------------------------------------------------------- Interest expense, net (446) (133) N.S. (590) (217) N.S. Foreign exchange (loss) gain (773) (381) N.S. (929) (141) N.S. Gain (loss) on monetary position 37 286 (87.1) 25 474 (94.7) -------------------------------------------------------------------- Integral result of financing (1,182) (228) N.S. (1,494) 116 N.S. Other (expenses) income (430) (160) N.S. (542) (241) N.S. -------------------------------------------------------------------- Income before taxes 1,716 2,456 (30.1) 2,999 4,350 (31.1) Taxes (636)(1,044) (39.1) (1,261)(1,800) (29.9) -------------------------------------------------------------------- Net Income 1,080 1,412 (23.5) 1,738 2,550 (31.8) -------------------------------------------------------------------- Net majority income 721 843 (14.5) 1,122 1,535 (26.9) Net minority income 359 569 (36.9) 616 1,015 (39.3) -------------------------------------------------------------------- % Total Revenues % Total Revenues ---------------------------------------------- 2003 2002 Var P.P. 2003 2002 Var P.P. -------------------------------------------------------------------- Net sales 99.7 99.6 0.1 99.6 99.6 - Other operating revenues 0.3 0.4 (0.1) 0.4 0.4 - -------------------------------------------------------------------- Total revenues 100.0 100.0 - 100.0 100.0 - Cost of sales(1) 51.5 49.1 2.4 52.1 50.2 1.9 -------------------------------------------------------------------- Gross profit(1) 48.9 51.3 (2.4) 48.3 50.1 (1.8) -------------------------------------------------------------------- Administrative expenses 7.2 8.4 (1.2) 7.9 9.0 (1.1) Selling expenses 24.2 22.7 1.5 24.3 23.9 0.4 -------------------------------------------------------------------- Operating expenses 31.4 31.1 0.3 32.2 32.8 (0.6) Participation in affiliated companies - 0.2 (0.2) (0.1) - (0.1) -------------------------------------------------------------------- Income from operations 17.3 20.2 (2.9) 15.9 17.2 (1.3) -------------------------------------------------------------------- (1) % to Net sales CONSOLIDATED BALANCE SHEET As of June 30, : (Expressed in Millions of Pesos as of June 30, 2003) ASSETS 2003 2002 % Var - -------------------------------------------------------- Cash and cash equivalents 7,632 7,644 (0.2) Accounts receivable 4,316 3,228 33.7 Inventories 6,563 4,737 38.5 Prepaid expenses 2,155 1,109 94.3 - -------------------------------------------------------- Total Current Assets 20,666 16,718 23.6 Property, plant and equipment, net 39,247 29,240 34.2 Deferred charges and other assets 9,396 5,713 64.5 Bottling and distribution rights(2) 31,226 818 3,717.4 - -------------------------------------------------------- TOTAL ASSETS 100,535 52,489 91.5 - -------------------------------------------------------- LIABILITIES & STOCKHOLDERS' EQUITY - -------------------------------------------------------- Bank loans 3,091 1,675 84.5 Current maturities long term debt 3,804 776 390.2 Interest payable 231 135 71.1 Operating liabilities 11,025 6,441 71.2 - -------------------------------------------------------- Total Current Liabilities 18,151 9,027 101.1 Bank loans 32,871 6,690 391.3 Deferred income taxes 4,995 4,052 23.3 Other liabilities 3,460 1,449 138.8 - -------------------------------------------------------- Total Liabilities 59,477 21,218 180.3 Total Stockholders' equity 41,056 31,271 31.3 - -------------------------------------------------------- LIABILITIES & STOCKHOLDERS' EQUITY 100,533 52,489 91.5 - -------------------------------------------------------- FINANCIAL RATIOS Var. p.p. - -------------------------------------------------------- Liquidity 1.14 1.85 (0.71) Interest coverage(3) 12.51 30.07 (17.56) Leverage 1.45 0.68 0.77 Capitalization 51.16% 23.60% 27.56 - -------------------------------------------------------- For the II quarter of: For the I Semester of: -------------------------------------- OTHER CONSOLIDATED INFORMATION 2003 2002 2003 2002 - -------------------------------------------------------- Depreciation 635.7 546.6 1,126.5 1,047.5 Other non-cash charges 685.4 463.8 1,219.6 1,003.1 Capex 1,342.2 1,379.8 2,922.0 2,287.9 Net Debt (MM dollars) 3,077.8 149.9 - -------------------------------------------------------- (2) Includes the intangible assets generated by Panamco acquisition. (3) Income from operations + depreciation + other non-cash charges / interest expense, net

Results from operations For the second quarter of: (Expressed in Millions of Pesos as of June 30, 2003) FEMSA Coca-Cola FEMSA FEMSA Cerveza FEMSA Comercio Empaques ------------------------ ---------------------- ---------------------- ---------------------- 2003 2002 % Var 2003 2002 % Var 2003 2002 % Var 2003 2002 % Var - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Net sales 5,806.5 5,625.8 3.2 8,719.6 4,755.3 83.4 4,185.6 3,252.0 28.7 1,864.1 1,748.4 6.6 Other revenues 29.6 51.3 (42.3) 59.3 25.0 N.S. 5.4 4.8 12.7 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Total revenues 5,836.1 5,677.1 2.8 8,778.9 4,780.3 83.6 4,185.6 3,252.0 28.7 1,869.5 1,753.2 6.6 Cost of good sold 2,450.6 2,408.1 1.8 4,408.3 2,175.3 N.S. 3,088.6 2,419.9 27.6 1,419.3 1,307.0 8.6 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Gross margin 3,385.5 3,269.0 3.6 4,370.6 2,605.0 67.8 1,097.0 832.1 31.8 450.2 446.2 0.9 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Administrative expenses 564.7 561.6 0.6 537.2 372.5 44.2 68.1 58.4 16.4 46.2 44.1 4.6 Sales expenses 1,607.8 1,446.7 11.1 2,091.2 1,006.3 N.S. 814.6 618.9 31.6 114.4 104.1 9.9 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Operating expenses 2,172.5 2,008.3 8.2 2,628.4 1,378.8 90.6 882.7 677.3 30.3 160.6 148.2 8.3 Participation in affiliated companies 1.5 28.8 (94.8) - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Income from operations before management fee 1,214.5 1,289.5 (5.8) 1,742.2 1,226.2 42.1 214.3 154.8 38.5 289.6 298.0 (2.8) Management fee 102.5 99.6 2.9 18.7 24.9 (25.0) 27.5 25.1 9.4 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Income from operations 1,112.0 1,189.9 (6.5) 1,742.2 1,226.2 42.1 195.6 129.8 50.6 262.1 272.9 (3.9) - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- % to Total Revenues - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Income from operations before management fee 20.8 22.7 (1.9) 19.8 25.7 (5.9) 5.1 4.8 0.3 15.5 17.0 (1.5) - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- OTHER INFORMATION - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Depreciation 276.9 269.3 2.8 236.9 160.1 48.0 31.2 21.4 45.9 64.7 57.2 13.2 Other non-cash charges 433.9 287.0 51.2 201.9 126.0 60.2 30.1 24.5 22.7 15.5 20.3 (24.0) Capex 592.3 882.3 (32.9) 431.0 289.4 48.9 254.9 179.3 42.1 49.2 38.0 29.5 - -------------------------- ------------------------ ---------------------- ---------------------- ----------------------

Results from operations For the first semester of: (Expressed in Millions of Pesos as of June 30, 2003) FEMSA Coca-Cola FEMSA FEMSA Cerveza FEMSA Comercio Empaques ------------------------ ---------------------- ---------------------- ---------------------- 2003 2002 % Var 2003 2002 % Var 2003 2002 % Var 2003 2002 % Var - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Net sales 10,310.5 10,250.4 0.6 12,829.5 8,842.3 45.1 7,590.3 6,072.2 25.0 3,398.7 3,183.3 6.8 Other revenues 64.6 78.5 (17.7) 109.0 65.3 66.9 11.2 8.6 29.2 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Total revenues 10,375.1 10,328.9 0.4 12,938.5 8,907.6 45.3 7,590.3 6,072.2 25.0 3,409.8 3,191.9 6.8 Cost of good sold 4,492.2 4,492.1 0.0 6,410.9 4,104.4 56.2 5,608.0 4,521.4 24.0 2,605.6 2,453.4 6.2 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Gross margin 5,882.9 5,836.8 0.8 6,527.6 4,803.2 35.9 1,982.2 1,550.8 27.8 804.3 738.5 8.9 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Administrative expenses 1,129.7 1,129.7 0.0 865.9 719.2 20.4 128.0 112.9 13.4 90.2 88.4 2.0 Sales expenses 2,998.6 2,893.7 3.6 2,924.9 1,912.2 53.0 1,532.3 1,179.6 29.9 215.1 190.3 13.0 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Operating expenses 4,128.3 4,023.4 2.6 3,790.8 2,631.4 44.1 1,660.4 1,292.5 28.5 305.2 278.7 9.5 Participation in affiliated companies (20.3) 8.7 N.S. - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Income from operations before management fee 1,734.3 1,822.1 (4.8) 2,736.8 2,171.8 26.0 321.9 258.2 24.6 499.0 459.8 8.5 Management fee 205.5 200.3 2.6 34.4 43.9 (21.7) 52.5 47.7 10.2 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Income from operations 1,528.8 1,621.8 (5.7) 2,736.8 2,171.8 26.0 287.5 214.3 34.1 446.5 412.2 8.3 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- % to Total Revenues - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Income from operations before management fee 16.7 17.6 (0.9) 21.2 24.4 (3.2) 4.2 4.3 (0.1) 14.6 14.4 0.2 - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- OTHER INFORMATION - -------------------------- ------------------------ ---------------------- ---------------------- ---------------------- Depreciation 564.2 560.2 0.7 356.4 305.3 16.7 60.7 43.5 39.7 125.6 117.9 6.5 Other non-cash charges 805.5 666.8 20.8 294.1 233.5 26.0 61.8 48.0 28.7 32.3 31.4 3.1 Capex 1,427.5 1,533.0 (6.9) 779.8 521.5 49.5 456.5 230.4 98.1 248.6 64.7 N.S. Net debt (million dollars) 330.8 229.2 44.3 2,479.0 (153.6) N.S. 69.7 41.2 69.2 190.8 127.2 50.0 - -------------------------- ------------------------ ---------------------- ---------------------- ----------------------

OPERATING DATA For the second quarter and for the first semester of: FEMSA Cerveza - --------------------------------- Sales Volumes (Thousand hectoliters) For the II quarter of: For the I Semester of: --------------------------------------------- 2003 2002 %Var 2003 2002 %Var - ---------------------------------------------------------------------- Domestic 6,120.4 5,764.4 6.2 10,961.0 10,694.0 2.5 Exports 598.4 626.4 (4.5) 959.8 994.7 (3.5) - ---------------------------------------------------------------------- Total Volume 6,718.8 6,390.8 5.1 11,920.8 11,688.7 2.0 - ---------------------------------------------------------------------- Presentation Mix (%) For the II quarter of: For the I Semester of: --------------------------------------------- Var Var 2003 2002 p.p. 2003 2002 p.p. - ---------------------------------------------------------------------- Returnable 68.0 69.0 (1.0) 68.6 69.9 (1.3) Non Returnable 8.8 8.0 0.8 8.5 7.7 0.8 Cans 23.2 23.0 0.2 22.9 22.4 0.5 - ---------------------------------------------------------------------- Total volume 100.0 100.0 - 100.0 100.0 - - ---------------------------------------------------------------------- - ---------------------------------------------------------------------- Exports Million revenues: Ps. 429.4 415.6 3.3 689.1 653.2 5.5 US Millions 41.5 41.1 1.0 65.2 65.8 (0.9) ====================================================================== FEMSA Empaques - ---------------- Total Sales Volume (Millions of pieces) For the II quarter of: For the I Semester of: --------------------------------------------- 2003 2002 %Var 2003 2002 %Var - ---------------------------------------------------------------------- Cans 877.6 797.4 10.1 1,614.9 1,406.0 14.9 Crown Caps 3,838.7 3,828.4 0.3 6,954.2 7,148.1 (2.7) Glass Bottle 278.6 276.4 0.8 488.4 507.5 (3.8) - ---------------------------------------------------------------------- Export volumes: Cans 145.1 96.1 51.0 294.0 127.2 131.1 Crown Caps 2,116.0 2,081.2 1.7 3,843.5 3,911.6 (1.7) - ---------------------------------------------------------------------- Exports Million revenues: Ps. 216.0 180.4 19.7 418.1 306.7 36.3 US Millions 20.9 17.9 16.8 39.3 31.0 26.8 ====================================================================== Percentage of sales revenue by client category: For the II quarter of: For the I Semester of: --------------------------------------------- Var Var 2003 2002 p.p. 2003 2002 p.p. - ---------------------------------------------------------------------- Intercompany sales 60.5 61.8 (1.3) 59.3 60.9 (1.6) - ---------------------------------------------------------------------- FEMSA Cerveza 41.8 44.2 (2.4) 40.0 44.3 (4.3) Coca-Cola FEMSA 18.7 17.6 1.1 19.3 16.6 2.7 - ---------------------------------------------------------------------- Third-party sales 39.5 38.2 1.3 40.7 39.1 1.6 - ---------------------------------------------------------------------- Domestic 28.0 30.0 (2.0) 28.8 30.7 (1.9) Export 11.5 8.2 3.3 11.9 8.4 3.5 - ---------------------------------------------------------------------- Total 100.0 100.0 - 100.0 100.0 - ====================================================================== Coca-Cola FEMSA - --------------------------- Sales Volumes (Millions of Unit Cases) For the II quarter of: For the I Semester of: ------------------------------------------- 2003 2002 %Var 2003 2002 %Var - ---------------------------------------------------------------------- Mexico 273.1 266.4 2.5 501.4 485.4 3.3 Central America 26.3 24.8 6.0 50.6 48.2 5.0 Colombia 40.7 42.3 (3.8) 84.7 88.3 (4.1) Venezuela 37.7 39.5 (4.6) 65.9 80.4 (18.0) Brazil 56.8 71.5 (20.6)127.7 150.2 (15.0) Argentina 26.9 23.3 15.5 58.3 52.8 10.4 - ---------------------------------------------------------------------- Total KOF 461.5 467.8 (1.3)888.6 905.3 (1.8) ====================================================================== (1) Includes 2 months of operation FEMSA Comercio - -------------------------- For the II quarter of: For the I Semester of: ------------------------------------------- 2003 2002 %Var 2003 2002 %Var - ---------------------------------------------------------------------- Total stores 2,399 1,878 27.7 New stores 122 55 121.8 183 99 84.8 Comparative same stores: (2) Average monthly sales (Ths. Ps.) (3) 597.7 581.5 2.8 558.6 553.8 0.9 Average Traffic 25.1 24.8 1.1 23.6 23.4 0.6 Average Ticket 23.8 23.4 1.6 23.7 23.6 0.3 ====================================================================== (2) Calculated by comparing average sales per store of those sites with more than 18 months of operation (3) Based on comparative same stores in each period

July 28, 2003 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 second quarter and first half of 2003 results SECOND-QUARTER 2003 ------------------- -- Consolidated unit case volume reached 461.7 Million Unit Cases ("MUC")(1) during the second quarter of 2003. -- Consolidated revenues reached Ps.8,778.9 million and consolidated operating income totaled Ps.1,742.2 million during the second quarter of 2003, reaching a consolidated operating margin of 19.8%. Mexico City (July 28, 2003) - Coca-Cola FEMSA, S.A. de C.V. (NYSE: KOF; BMV: KOFL) ("Coca-Cola FEMSA" or the "Company"), the largest Coca-Cola bottler in Latin America and second largest Coca-Cola bottler in the world, announced today its consolidated results for the second quarter and the first half of 2003. "Our company is going through a significant transformation. I feel very pleased with the smooth and rapid integration process that we are implementing. We have found significant opportunities and a strong pool of management talent that will let us enhance the top line and streamline operating facilities in all of our territories. "We believe that our experience managing the pricing architecture of our products developing packaging presentations by consumption occasion and distribution channel will help us increase the profitability of our territories. We intend to develop the best portfolio of products and packaging presentation with the right pricing architecture in every country, to leverage the strong brand equity of brand Coca-Cola. In every single country where we currently operate, brand Coca-Cola commands a wide preference among consumers. "We have initiated a cross fertilization process of management putting in practice the strong drive of the Coca-Cola FEMSA culture and implementing the appropriate mechanisms to reward accountability and performance among the strong pool of management talent that we selected to run our new territories. We are just at the beginning and we believe that we are on the right track," stated Carlos Salazar, Chief Executive Officer of the Company. - ----------------------- (1)The unit case is equal to 24 eight-ounce servings.

We began consolidating the results of our new territories during the second quarter of 2003 in accordance with Mexican GAAP. Panamerican Beverages, Inc. ("Panamco") had historically prepared its financial statements in accordance with U.S. GAAP and presented the information in U.S. dollars. We have historically and will continue to prepare our financial statements in accordance with Mexican GAAP and presented the information in Mexican pesos. The results of our new territories in Mexican GAAP and Mexican pesos are different from and may not be comparable to those reported by Panamco for prior periods. In addition, Panamco results will not be included in our financial statements for periods prior to May 2003. Financial information, both on a consolidated basis and by country, includes three and six months results of the original Coca-Cola FEMSA territories (Valley of Mexico, Southeast of Mexico and Buenos Aires) and only two months of our new territories acquired from Panamco. Coca-Cola FEMSA's financial information will not be comparable with previous quarters until the third quarter of 2004, and on a yearly basis, until the end of 2005. However, volume performance figures for the second quarter of 2003 are comparable for previous periods, as presented in a separated section in this press release. CONSOLIDATED RESULTS During the second quarter of 2003, our consolidated volume totaled 461.7 MUC. Consolidated operating income reached Ps.1,742.2 million during the second quarter of 2003. The integral cost of financing loss totaled Ps.1,218.9 million during the second quarter of 2003, reflecting the new financial position after the acquisition, and being the combined effect of: (i) accrued interest expenses related to the existing debt and acquisition financing assumed in connection with the Panamco transaction; (ii) a foreign exchange loss generated mainly by (i) the appreciation of the Mexican peso against the U.S dollar applied towards our U.S. dollars cash balances from March 31, 2003 to the acquisition date of Panamco (the foreign exchange rate at closing was Ps.10.188 per U.S. dollar); and (ii) the devaluation of the Mexican peso versus the U.S. dollar applied to the U.S. dollar-denominated acquisition financing from the closing of the transaction to the end of the second quarter of 2003; and (iii) the consolidated monetary position gain, as a result of inflation adjustments applied to the consolidated net monetary position of our operations. The income tax, tax on assets and employee profit sharing as a percentage of income before taxes was 24.7% in the second quarter of 2003, reflecting deduction for tax purposes of fees and expenses related to the Panamco acquisition, which were capitalized as part of the acquisition cost for financial purposes. Consolidated net income was Ps.360.8 million in the second quarter of 2003, resulting in earnings per share ("EPS") of Ps.0.213(U.S.$0.204 per ADR) computed under the basis of 1,692.9 million compounded average shares outstanding. Number of shares differs from the total number of shares used for the six months computation.

BALANCE SHEET On June 30, 2003, Coca-Cola FEMSA recorded a cash balance of Ps.3,699 million (U.S. $354.4 million) and total short and long-term bank debt of Ps.29,612.0 million (U.S.$2,836.1 million). OPERATING RESULTS BY TERRITORY ------------------------------ MEXICAN OPERATING RESULTS Revenues Revenues in the Mexican territories reached Ps.6,298.3 million for the second quarter of 2003 resulting in an average price per unit case of Ps.27.16 (U.S.$2.60). Excluding Ciel water volumes in five, nineteen and twenty liter packaging presentations, average price per unit case was Ps.30.3 (U.S. $2.90). Income from Operations Gross profit totaled Ps.3,362.0, reaching a 53.4% margin as percentage of total revenues for the second-quarter 2003. During the quarter, the company closed one plant and experienced higher sugar prices. Packaging costs were higher than last year and were impacted by the devaluation of the Mexican peso against the U.S. dollar year over year. During the quarter the Company closed fifteen distribution facilities in our new territories, and implemented a headcount reduction driven by the closing of the former Panamco headquarter offices in Miami and Mexico City. Operating profit totaled Ps.1,611.0 million, reaching a 25.6% margin as a percentage of total revenues. CENTRAL AMERICAN OPERATING RESULTS (Guatemala, Nicaragua, Costa Rica and Panama) Revenues Total revenues reached Ps.489.4 million during May and June of 2003. Average price per unit case was Ps.28.63 (U.S.$2.74) during this period.

Income from Operations Gross profit totaled Ps.235.3 million during May and June of 2003, reaching a 48.1% gross margin as a percentage of total revenues during the same period. We realized some savings from procurement, which offset the cost increase of U.S. dollar-denominated packaging costs during these two months. Operating income totaled Ps.39.3 million during May and June, reaching an operating income margin of 8.0% as a percentage of total revenues. COLOMBIAN OPERATING RESULTS Revenues Total revenues reached Ps.515.0 million during May and June of 2003, an average price per unit case of Ps.18.80 (U.S.$1.80). Income from Operations Gross profit totaled Ps.234.8 million during May and June of 2003, reaching a 45.6% gross margin as a percentage of total revenues during the same period. During the period the Company experienced higher packaging costs and the impact of the devaluation of the U.S. dollar versus the Colombian peso applied to the U.S. dollar denominated expenses. Operating income was Ps.52.2 million, reaching a 10.1% margin as a percentage of total revenues during May and June of 2003. VENEZUELAN OPERATING RESULTS Revenues Total revenues reached Ps.488.8 million during May and June of 2003 and average price per unit case in Venezuela reached Ps.19.88 (U.S.$1.90). A significant devaluation of the Venezuelan bolivar against the U.S. dollar and a change of packaging mix were partially offset by strong price increases. Income from Operations Gross profit totaled Ps.211.0 million during May and June of 2003, reaching a 43.2% gross margin as a percentage of total revenues during the same period. Better asset utilization and higher operating efficiencies should help us increase the profitability of this territory in the following quarters. Operating income was Ps.28.0 million reaching an operating income margin of 5.7% during May and June of 2003, after recording losses during the last months.

BRAZILIAN OPERATING RESULTS Revenues Total revenues reached Ps.570.1 million during May and June of 2003 and the average price per unit case was Ps.14.50 (U.S.$1.39). Declining volume trend was reversed since May, as well as declining net revenues trend due to a more balanced price architecture and improved execution in the market. Income from Operations Gross profit during May and June of 2003 totaled Ps.183.0 million, reaching a 32.1% margin as percentage of total revenues. The Company experienced higher sweetener and packaging costs during this period. The Brazilian operations reported a slight operating loss for May and June of 2003, totaling Ps.(7.0) million. However, as a result of the implementation of new commercialization and point of sale development strategies, we regained our path to profitability in our Brazilian territories during the month of June of 2003, achieving positive operating income for the first time during the last ten months. ARGENTINE OPERATING RESULTS Financial information and sales volume figures in our Argentine operations are fully comparable with previous periods. Revenues Total revenues reached Ps.417.3 million, a 20.9% increase as compared to second-quarter 2002 and the average price per unit case grew by 4.1% over the second quarter of 2002 to Ps.14.85 (U.S.$1.42). Income from Operations Gross profit as a percentage of total sales increased from 30.9% in the second quarter of 2002 to 34.6% in 2003. This improvement was mainly driven by (i) higher sales volume, (ii) an improvement in our operating efficiencies, and (iii) an appreciation of the Argentina peso versus the U.S. dollar applied to the U.S. dollar-denominated raw materials and expenses. In Argentina, operating expenses as a percentage total revenues decreased 340 basis points from 34.4% in the second quarter of 2002 to 31.0% in the second quarter of 2003, as a result of the appreciation of the Argentina peso versus the U.S. dollar applied to the U.S. dollar-denominated expenses. Operating income during the second quarter of 2003 in our Argentine territories reached Ps.15.0 million, operating margin rose from a negative (4.8)% during the second quarter of 2002 to 3.6% during the second quarter of 2003.

2Q 2003 COMPARABLE VOLUME PERFORMANCE ------------------------------------- We are providing sales volume for the three months of the second quarter of 2003 in all of our territories. Volume growth figures are comparable with previous periods. Territory 2Q2002 2Q2003 (MUC) (MUC) % Change - ------------------------------------------------------------------------------------ - ------------------------------------------------------------------------------------ Mexico 266.4 273.1 2.5% - ------------------------------------------------------------------------------------ Central America 24.8 26.3 6.0% - ------------------------------------------------------------------------------------ Colombia 42.3 40.7 -3.8% - ------------------------------------------------------------------------------------ Venezuela 39.5 37.7 -4.6% - ------------------------------------------------------------------------------------ Brazil 71.5 56.8 -20.6% - ------------------------------------------------------------------------------------ Argentina 23.3 27.1 15.5% - ------------------------------------------------------------------------------------ - ------------------------------------------------------------------------------------ Total 467.8 461.7 -1.3% - ------------------------------------------------------------------------------------ MEXICO Sales volume information for 2002 and 2003 is the combination of sales volume from our new territories acquired in Mexico (Golfo and Bajio) and our original territories (Valley of Mexico and Southeast of Mexico). Second-quarter 2003 sales volume reached 273.1 MUC, a 2.5% increase over the same period of 2002. Excluding volumes generated from promotional activity with powder products(2) last year, volume increase was 4%, this increase was mainly driven by 8.3% volume growth in the Valley of Mexico. The 4.0% sales volume growth during the second quarter of 2003, excluding volume generated from promotional activity with powder products last year in the Mexican territories was mainly the result of (i) the solid performance of our flavored brands including Fanta Multi-Flavors and Lift Manzana Verde, (ii) the incremental sales volume reached by Ciel still and mineral water, representing more than 30% of the incremental volume during the quarter and, (iii) volume growth from brand Coca-Cola. CENTRAL AMERICA (Guatemala, Nicaragua, Costa Rica and Panama) In the second quarter of 2003, total sales volume in our Central America territories increased by 6.0% to 26.3 MUC as compared to the same period of 2002, as a result of sales volume increases in Nicaragua, Costa Rica and Panama, which more than offset a slight volume decline in Guatemala. - ---------------------------- (2) We distributed our Kin light powdered beverage brand on a complimentary basis during last year in order to better examine this category's potential and evaluate consumption patterns and price strategies. The total amount of Kin light sold during the second quarter of 2002 was 3.8 MUC.

COLOMBIA During the second quarter of 2003, total sales volume in our Colombian territory decreased by 3.8% as compared to the same period of 2002 driven by the economic situation of the country that has depressed per capita income and forced consumers to adjust their consumption habits. VENEZUELA In Venezuela, volume declined 4.6% during the second quarter of 2003, as a consequence of strong price increases implemented during the first quarter of 2003 and a weak economic environment. BRAZIL During the second quarter of 2003, sales volume in our Brazilian territories decreased by 20.6% as compared to the same period of 2002, reflecting the impact of strong price increases implemented during the first quarter of 2003, and the reduction of indirect channels aimed at retaking control of selling and distribution capabilities of our business. These initiatives are expected to allow us to control the pricing architecture of our products and packaging presentations in order to increase the profitability of our Brazilian territories. ARGENTINA In the second quarter of 2003, total sales volume in our Buenos Aires territory increased by 16.2% as compared to the same period of 2002. We continue capitalizing the results of our returnable packaging presentation strategy for our core brands implemented during 2002. Our core brands, in terms of sales volume, grew by almost 30% and Coca-Cola light combined with the recent introduction of Fanta light drove the premium category generating slightly more than 5% of the incremental volume during the quarter. During this period our value protection brands decreased, representing 11.7% of our total sales volume as compared to 19.9% during second quarter of 2002. SUMMARY OF SIX MONTHS RESULTS For the six months ended June 30, 2002, consolidated sales volume reached 888.6 MUC. The volume decline of our operations in Brazil, Colombia and Venezuela, was partially offset by volume growth in our Mexican, Central America and Buenos Aires territories during the first half of 2003. During the first six months of 2003, total revenues reached Ps.12,938.5 million, resulting in a consolidated average unit price per case of Ps.24.87 (U.S.$2.38). Gross margin as a percentage of total revenues was 50.5% in the first half of 2003. Consolidated operating income was Ps.2,736.8 million, 21.2% as percentage of total revenues during the first six months in 2003. Consolidated net income totaled Ps.831.2 during the first six months of 2003. Net income per share reached Ps.0.533 (U.S.$ 0.511 per ADR) computed under the basis of 1,559.0 million compounded average shares outstanding.

RECENT DEVELOPMENTS -- As a result of the Panamco acquisition, in accordance with Mexican GAAP, we recognized as intangible assets with indefinite lives, the difference between the price paid and the book value (fair value) of the net assets acquired. The identified intangibles in Panamco were Ps.31,533 million (equivalent to U.S.$3,020.1 million), which are mainly the bottling contracts with The Coca-Cola Company. The value of these intangible assets already considered restructuring charges that we expected to take as we streamline our operations within the next year. We will annually review the carrying value of these long-lived assets for recoverability. We also review for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If they are impaired, we are required to recognize a loss by writing off part of their value. The analysis we perform requires that we estimate the future cash flows attributable to these assets, and these estimates require us to make a variety of judgments about our future operations, including, without limitation, volume, prices, costs, inflation, exchange rates and interest rates. Although no assurances can be given, we do not expect to take write-offs with respect to these assets during 2003. -- On July 16, 2003 the Company raised Ps.5,750 million, equivalent to approximately U.S.$550 million, through three bond offerings of "Certificados Bursatiles" (Mexican peso denominated-bonds) in the Mexican debt capital markets, in what is considered the largest and 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 2yrs TIIE Based Note 5 yrs CETES Based Note 6 yrs Fixed Rate Notes - ------------------------------------------------------------------------------------------ Amount Ps.2,750 MM Ps.2,500 MM Ps.500 MM - ------------------------------------------------------------------------------------------ Tenor/Amortization 2 year bullet 5 year bullet 6 year bullet - ------------------------------------------------------------------------------------------ Rate 28 day TIIE + [55 bps] 91day CETE + [115] bps 9.90% - ------------------------------------------------------------------------------------------ The proceeds from the offerings will be used to refinance approximately 65% of the bridge loans put in place for the acquisition of Panamco. -- During May and June of 2003, we closed four of the fifty two plants that we had on May 6, 2003. We closed one plant in the Bajio region in Mexico, one in Panama and two in South America. We expect to realize permanent cost savings and operating efficiencies as a result of the consolidation of these facilities. -- As part of the integration plan in our Mexican territories, we closed during May and June of 2003, 15 of the 97 distribution centers that Panamco had in our new Mexican territories. We expect to realize permanent cost savings and operating efficiencies as a result of the consolidation of these distribution facilities.

CONFERENCE CALL INFORMATION Our Second-Quarter 2003 Conference Call will be held on: Monday, July 28, 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.: 888-339-2688 and International: 617-847-3007. If you are unable to participate live, an instant replay of the conference call will be available through August 28, 2003. To listen to the replay please dial: Domestic U.S.: 888-286-8010; International: 617-801-6888, Passcode: 80167389. Coca-Cola FEMSA, S.A. de C.V. produces Coca-Cola, Sprite, Fanta, Lift and other trademark beverages of The Coca-Cola Company in Mexico (a substantial part of central Mexico, including Mexico City and Southeast of Mexico), Guatemala (Guatemala City and surrounding areas), Nicaragua (nationwide), Costa Rica (nationwide), Panama (nationwide), Colombia (most of the country), Venezuela (nationwide), Brazil (greater Sao Paulo, Campinas, Santos and part of Mato Grosso do Sul) and Argentina (Gran Buenos Aires), along with bottled water, beer and other beverages in some of these territories. The Company has 48 bottling facilities in Latin America and serves more than 1,400,000 retailers Latin America. Coca-Cola FEMSA currently accounts for almost 10% of Coca-Cola global sales, approximately 40% of all Coca-Cola sales in Latin America. The Coca-Cola Company owns a 39.6% 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"). All figures are expressed in constant Mexican pesos with purchasing power at June 31, 2003. For comparison purposes, 2002 and 2003 figures from the Company's operations have been restated taking into account local inflation of each country with reference to the consumer price index and converted from local currency into Mexican pesos using the exchange rate as of the end of the period. In addition, all comparisons in this report for the second quarter of 2003, which ended on June 30, 2003, 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 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. (8 pages of tables to follow)

Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries Consolidated Balance Sheet As of June 30, 2003 and December 31, 2002 Millions of Mexican pesos (Ps.) Expressed in currency with purchasing power as of June 30, 2003 - ------------------------------------------------------------------------ ASSETS 2003 2002 - ------------------------------------------------------------------------ Current Assets Cash and cash equivalents Ps. 3,699 Ps. 6,259 - ------------------------------------------------------------------------ Accounts receivable: Trade 889 565 Notes 59 12 Prepaid taxes 867 245 Other 797 208 ------------ ------------ - ------------------------------------------------------------------------ 2,612 1,030 - ------------------------------------------------------------------------ Inventories 2,436 775 Prepaid expenses 329 74 - ------------------------------------------------------------------------ Total current assets 9,076 8,138 - ------------------------------------------------------------------------ Property, plant and equipment Land 2,250 796 Buildings, machinery and equipment 22,041 9,088 Accumulated depreciation (9,379) (3,329) Construction in progress 1,019 371 Bottles and cases 1,091 294 - ------------------------------------------------------------------------ Total property, plant and equipment 17,022 7,220 - ------------------------------------------------------------------------ Investment in shares 1,481 127 Deferred charges, net 1,189 860 Intangibles 31,585 262 - ------------------------------------------------------------------------ TOTAL ASSETS Ps. 60,353 Ps. 16,607 ======================================================================== ------------------------------------------------------------------------------- LIABILITIES & STOCKHOLDERS' EQUITY 2003 2002 ------------------------------------------------------------------------------- Current Liabilities Short-term bank loans and notes Ps. 3,534 Ps. 0 Interest payable 176.7 82 Suppliers 3,184 1,634 Accounts payable and others 2,173 670 Taxes payable 871 229 ----------------------------------------------------------------------- Total Current Liabilities 9,939 2,615 ----------------------------------------------------------------------- Long-term bank loans 26,078 3,209 Pension plan and seniority premium 520 188 Other liabilities 3,744 1,202 ----------------------------------------------------------------------- Total Liabilities 40,281 7,214 ----------------------------------------------------------------------- Stockholders' Equity Minority interest 152 0 Majority interest Capital stock 2,587 2,399 Additional paid in capital 11,151 1,688 Retained earnings of prior years 9,205 6,662 Net income for the period 825 2,542 Cumulative results of holding non-monetary assets (3,848) (3,898) ------------------------------------------------------------------------------- Total majority interest 19,920 9,393 ------------------------------------------------------------------------------- Total stockholders' equity 20,072 9,393 ------------------------------------------------------------------------------- TOTAL LIABILITIES & EQUITY Ps. 60,353 Ps. 16,607 ===============================================================================

Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries INCOME STATEMENT For the three months ended June 30, 2003 and 2002(1) Expressed in million of mexican pesos(2) with purchasing power as of June 30, 2003 --------------------------------------- ---------------- --------------- --------------- Consolidated Mexican Central Colombian Operations American Operations Operations --------------------------------------- ---------------- --------------- --------------- *%Total *%Total % VAR %Total %Total %Total 2003 Sales 2002 Sales 2003 Revenues 2003 Revenues 2003 Revenues - ------------------------------- --------------------------------------- -------------------------------- --------------- Sales volume (millions unit cases) 365.7 157.0 132.9 230.7 16.8 27.4 Average unit price per case 23.85 30.29 (21.3) 27.16 28.63 18.80 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Net revenues 8,719.6 4,755.3 83.4 6,265.3 480.7 515.0 Other operating revenues 59.3 25.0 137.2 33.0 8.8 (0.0) - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Total revenues 8,778.9 100.0 4,780.3 100.0 83.6 6,298.3 100.0 489.4 100.0 515.0 100.0 Cost of sales 4,408.3 50.6 2,175.3 45.7 102.7 2,936.3 46.6 254.1 51.9 280.2 54.4 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Gross profit 4,370.6 50.1 2,605.0 54.8 67.8 3,362.0 53.4 235.3 48.1 234.8 45.6 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Administrative expenses 542.9 6.2 358.5 7.5 51.4 360.7 5.7 30.8 6.3 47.5 9.2 Selling expenses 2,091.2 23.8 1,006.3 21.1 107.8 1,392.2 22.1 165.3 33.8 135.1 26.2 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Operating expenses 2,634.1 30.0 1,364.8 28.6 93.0 1,752.9 27.8 196.1 40.1 182.6 35.5 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Goodwill amortization (5.7) (0.1) 14.0 0.3 (140.7) (2.0) (0.0) - - - - - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Operating income 1,742.2 19.8 1,226.2 25.7 42.1 1,611.0 25.6 39.3 8.0 52.2 10.1 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Interest expense 371.8 86.0 332.4 Interest income 57.3 56.5 1.4 Interest expense, net 314.6 3.6 29.4 0.6 970.0 Foreign exchange loss (gain) 918.2 10.5 (79.9) (1.7)(1,249.2) Loss (gain) on monetary position (13.9) (0.2) (269.1) (5.6) (94.8) - ------------------------------- --------------------------------------- Integral cost of financing 1,218.9 13.9 (319.6) (6.7) (481.4) Other (income) expenses, net 44.3 0.5 58.0 1.2 (23.5) - ------------------------------- --------------------------------------- Income before taxes 479.0 5.5 1,487.8 31.1 (67.8) Taxes 118.2 1.3 658.7 13.8 (82.1) - ------------------------------- --------------------------------------- Consolidated net income 360.8 4.1 829.1 17.3 (56.5) - ------------------------------- --------------------------------------- Majority net income 360.8 4.1 829.1 17.3 (56.5) - ------------------------------- --------------------------------------- ---------------- --------------- --------------- Non-cash items (3) 438.8 5.0 286.1 6.0 53.4 251.8 4.0 43.2 8.8 52.7 10.2 - ------------------------------- --------------------------------------- ---------------- --------------- --------------- (1) Includes information for the three months of our original territories and two months of our new territories acquired from Panamco. (2) Except volume and average price per unit case figures. (3) Depreciation, amortization and other non-cash items (including returnable bottle breakage expenses).

Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries INCOME STATEMENT For the three months ended June 30, 2003 and 2002(1) Expressed in million of mexican pesos(2) with purchasing power as of June 30, 2003 ----------------- ------------------ --------------------------------------------- Venezuelan Brazilian Argentine Operations Operations Operations ----------------- ------------------ --------------------------------------------- %Total %Total *%Total %Total % VAR 2003 Revenues 2003 Revenues 2003 Revenues 2002 Revenues - ------------------------------------ ------------------------------------ --------------------------------------------- Sales volume (millions unit cases) 24.6 39.1 27.1 23.3 16.2 Average unit price per case 19.88 14.50 14.85 14.28 4.1 - ------------------------------------ ----------------- ------------------ --------------------------------------------- Net revenues 488.8 567.6 402.3 332.7 20.9 Other operating revenues (0.0) 2.5 15.0 12.5 20.0 - ------------------------------------ ----------------- ------------------ --------------------------------------------- Total revenues 488.8 100.0 570.1 100.0 417.3 100.0 345.2 100.0 20.9 Cost of sales 277.9 56.8 387.0 67.9 272.8 65.4 238.4 69.1 14.4 - ------------------------------------ ----------------- ------------------ --------------------------------------------- Gross profit 211.0 43.2 183.0 32.1 144.5 34.6 106.8 30.9 35.3 - ------------------------------------ ----------------- ------------------ --------------------------------------------- Administrative expenses 34.1 7.0 43.6 7.7 26.3 6.3 26.4 7.6 (0.4) Selling expenses 148.9 30.5 146.4 25.7 103.2 24.7 92.3 26.7 11.8 - ------------------------------------ ----------------- ------------------ --------------------------------------------- Operating expenses 183.0 37.4 190.1 33.3 129.5 31.0 118.7 34.4 9.1 - ------------------------------------ ----------------- ------------------ --------------------------------------------- Goodwill amortization - - - - - - 4.6 1.3 (100.0) - ------------------------------------ ----------------- ------------------ --------------------------------------------- Operating income 28.0 5.7 (7.0) (1.2) 15.0 3.6 (16.5) (4.8) (190.5) - ------------------------------------ ----------------- ------------------ --------------------------------------------- Non-cash items (3) 40.0 8.2 13.2 2.3 41.6 10.0 59.4 17.2 (30.0) - ------------------------------------ ----------------- ------------------ --------------------------------------------- (1) Includes information for the three months of our original territories and two months of our new territories acquired from Panamco. (2) Except volume and average price per unit case figures. (3) Depreciation, amortization and other non-cash items (including returnable bottle breakage expenses).

Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries INCOME STATEMENT For the six months ended June 30, 2003 and 2002(1) Expressed in million of mexican pesos(2) with purchasing power as of June 30, 2003 ------------------ ---------------- ----------------------------------------------- Venezuelan Brazilian Argentine Operations Operations Operations ------------------ ---------------- ----------------------------------------------- %Total %Total %Total %Total % VAR 2003 Revenues 2003 Revenues 2003 Revenues 2002 Revenues - ------------------------------------ ----------------------------------- ----------------------------------------------- Sales Volume(millions unit cases) 24.6 39.1 58.7 52.6 11.5 Average unit price per case 19.88 14.50 14.67 14.65 0.0 - ------------------------------------ ---------- ------- --------- ---------- -------- Net revenues 488.8 567.6 861.1 770.5 11.8 Other operating revenues (0.0) 2.5 48.1 32.9 46.2 - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Total revenues 488.8 100.0 570.1 100.0 909.2 100.0 803.4 100.0 13.2 Cost of sales 277.9 56.8 387.0 67.9 593.5 65.3 527.5 65.7 12.5 - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Gross profit 211.0 43.2 183.0 32.1 315.7 34.7 275.9 34.3 14.4 - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Administrative expenses 34.1 7.0 43.6 7.7 54.1 6.0 55.4 6.9 (2.3) Selling expenses 148.9 30.5 146.4 25.7 208.1 22.9 203.8 25.4 2.1 - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Operating expenses 183.0 37.4 190.1 33.3 262.2 28.8 259.2 32.3 1.2 - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Goodwill amortization - - - - - - 9.1 1.1 (100.0) Fixed asset adjustment - - - - - - - - - - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Operating income 28.0 5.7 (7.0) (1.2) 53.5 5.9 7.6 0.9 603.9 - ------------------------------------ ------------------ ---------------- ----------------------------------------------- Non-cash items (3) 40.0 8.2 13.2 2.3 84.4 9.3 112.2 14.0 (24.8) - ------------------------------------ ------------------ ---------------- ----------------------------------------------- (1) Includes information for the six months of our original territories and two months of our new territories acquired from Panamco (2) Except volume and average price per unit case figures. (3) Depreciation, amortization and other non-cash items (including returnable bottle breakage expenses).

Coca-Cola FEMSA, S.A. de C.V. and Subsidiaries INCOME STATEMENT For the six months ended June 30, 2003 and 2002(1) Expressed in million of mexican pesos(2) with purchasing power as of June 30, 2003 -------------------------------------- ---------------- --------------- --------------- Consolidated Mexican Central Colombian Operations American Operations Operations -------------------------------------- ---------------- --------------- --------------- *%Total *%Total % VAR %Total %Total %Total 2003 Sales 2002 Sales 2003 Revenues 2003 Revenues 2003 Revenues - -------------------------------- -------------------------------------- -------------------------------- --------------- Sales Volume(millions unit cases) 515.9 297.6 73.3 349.3 16.8 27.4 Average unit price per case 24.87 29.71 (16.3) 28.39 28.63 18.80 - -------------------------------- -------------------------------------- -------- ------ ------ Net revenues 12,829.5 8,842.3 45.1 9,916.4 480.7 515.0 Other operating revenues 109.0 65.3 66.9 49.6 8.8 (0.0) - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Total revenues 12,938.5 100.0 8,907.6 100.0 45.3 9,966.0 100.0 489.4 100.0 515.0 100.0 Cost of sales 6,410.9 50.0 4,104.4 46.4 56.2 4,618.3 46.3 254.1 51.9 280.2 54.4 - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Gross profit 6,527.6 50.9 4,803.2 54.3 35.9 5,347.7 53.7 235.3 48.1 234.8 45.6 - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Administrative expenses 865.9 6.7 689.9 7.7 25.5 655.9 6.6 30.8 6.3 47.5 9.2 Selling expenses 2,924.9 22.6 1,912.2 21.5 53.0 2,120.8 21.3 165.3 33.8 135.1 26.2 - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Operating expenses 3,790.8 29.3 2,602.1 29.2 45.7 2,776.7 27.9 196.1 40.1 182.6 35.5 - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Goodwill amortization - - 29.3 0.3 (100.0) - - - - - - Fixed asset adjustment - - - - - - - - - - - - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Operating income 2,736.8 21.2 2,171.8 24.4 26.0 2,571.0 25.8 39.3 8.0 52.2 10.1 - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Interest expense 466.6 160.2 191.3 Interest income 121.7 121.6 0.1 Interest expense, net 344.8 2.7 38.5 0.4 795.7 Foreign exchange loss (gain) 936.7 7.2 (215.5) (2.4)(534.7) Loss (gain) on monetary position 2.8 0.0 (455.2) (5.1)(100.6) - -------------------------------- -------------------------------------- Integral cost of financing 1,284.3 9.9 (632.2) (7.1)(303.1) Other (income) expenses, net 99.5 0.8 64.3 0.7 54.7 - -------------------------------- -------------------------------------- Income before taxes 1,353.0 10.5 2,739.7 30.8 (50.6) Taxes 521.8 4.0 1,118.8 12.6 (53.4) - -------------------------------- -------------------------------------- Consolidated net income 831.2 6.4 1,620.9 18.2 (48.7) - -------------------------------- -------------------------------------- Majority net income 831.2 6.4 1,620.9 18.2 (48.7) - -------------------------------- -------------------------------------- ---------------- --------------- --------------- Non-cash items (3) 650.5 5.0 538.8 6.0 20.7 417.0 4.2 43.2 8.8 52.7 10.2 - -------------------------------- -------------------------------------- ---------------- --------------- --------------- (1) Includes information for the six months of our original territories and two months of our new territories acquired from Panamco (2) Except volume and average price per unit case figures. (3) Depreciation, amortization and other non-cash items (including returnable bottle breakage expenses).

SELECTED INFORMATION For the three months ended June 30, 2003 Expressed in million Mexican pesos as of June 30, 2003 -------------------- -------------------------- 2Q 2002 2Q 2002 - ---------------------------------- -------------------------------------- Capex 289.4 Capex 431.0 Depreciation 160.1 Depreciation 236.9 Amortization & Amortization Others 126.0 & Others 201.9 - ---------------------------------- -------------------------------------- VOLUME (MUC) Expressed in million unit cases ---------------------------------------------- ------------------------------------------- 2Q 2002 2Q 2003 ---------------------------------------------- ------------------------------------------- Colas Flavors Water Beer Others Total Colas Flavors Water Beer Others Total - -------------------------------------------------------------- ------------------------------------------- Mexico (1) 157.9 43.7 59.6 0.0 5.2 266.4 159.0 49.4 63.1 0.0 1.6 273.1 Central America 17.2 5.9 1.1 0.0 0.6 24.8 18.4 6.4 0.6 0.0 0.9 26.3 Colombia 25.5 9.1 7.6 0.0 0.1 42.3 25.2 9.1 6.4 0.0 0.0 40.7 Venezuela 18.9 13.9 4.4 0.0 2.3 39.5 21.6 11.1 3.0 0.0 2.0 37.7 Brazil 34.6 19.7 3.5 13.4 0.3 71.5 30.3 13.6 2.2 10.4 0.3 56.8 Argentina 15.5 7.5 0.3 0.0 0.0 23.3 19.7 7.1 0.3 0.0 0.0 27.1 - -------------------------------------------------------------- ------------------------------------------- Total 269.6 99.8 76.5 13.4 8.5 467.8 274.2 96.7 75.6 10.4 4.8 461.7 - -------------------------------------------------------------- ------------------------------------------- (1) Water volume in 2Q 2003, includes 3.2 MUC of Ciel 5.0 Lt presentation PACKAGE MIX BY PRESENTATION Expressed as a Percentage of Total Volume ---------------------------------------- --------------------------------------- 2Q 2002 2Q 2003 ---------------------------------------- --------------------------------------- Ret Non-Ret Fountain Jug Ret Non-Ret Fountain Jug - ------------------------------------------------------ --------------------------------------- Mexico 27.6 52.8 1.3 18.3 27.5 54.0 1.2 17.3 Central America 53.5 42.8 3.7 - 50.4 44.4 5.2 - Colombia 56.3 32.5 2.9 8.3 54.3 35.6 3.0 7.1 Venezuela 38.3 52.0 3.0 6.7 36.0 57.4 2.6 4.0 Brazil 13.1 83.2 3.7 - 13.0 82.9 4.1 - Argentina 7.2 86.8 6.0 - 24.4 71.2 4.4 - - ------------------------------------------------------ ---------------------------------------

SELECTED INFORMATION For the six months ended June 30, 2003 Expressed in million Mexican pesos as of June 30, 2003 --------------------- ------------------------ 1H 2002 1H 2002 - ---------------------------------- ------------------------------------ Capex 521.5 Capex 779.8 Depreciation 305.3 Depreciation 356.3 Amortization Amortization & & Others 233.5 Others 294.2 - ---------------------------------- ------------------------------------ VOLUME (MUC) Expressed in million unit cases ---------------------------------------------- --------------------------------------------------- 1H 2002 1H 2003 ---------------------------------------------- --------------------------------------------------- Colas Flavors Water Beer Others Total Colas Flavors Water Beer Others Total - ----------------------------------------------------------- --------------------------------------------------- Mexico (1) 293.6 80.9 104.5 0.0 6.4 485.4 292.4 92.7 113.3 0.0 3.0 501.4 Central America 33.5 11.5 2.2 0.0 1.0 48.2 34.9 12.7 1.2 0.0 1.8 50.6 Colombia 52.2 19.3 16.4 0.0 0.4 88.3 52.2 18.7 13.8 0.0 0.0 84.7 Venezuela 38.5 28.3 8.9 0.0 4.7 80.4 38.1 19.1 5.3 0.0 3.4 65.9 Brazil 71.2 42.6 8.2 27.6 0.6 150.2 67.5 32.1 5.2 22.1 0.8 127.7 Argentina 34.1 18.0 0.5 0.0 0.2 52.8 41.7 16.0 0.6 0.0 0.0 58.3 - ----------------------------------------------------------- --------------------------------------------------- Total 523.1 200.6 140.7 27.6 13.3 905.3 526.8 191.3 139.4 22.1 9.0 888.6 - ----------------------------------------------------------- --------------------------------------------------- (1) Water volume in 1H 2003, includes 6.2 MUC of Ciel 5.0 Lt presentation PACKAGE MIX BY PRESENTATION Expressed as a Percentage of Total Volume ---------------------------------------- ------------------------------------------ 1H 2002 1H 2003 ---------------------------------------- ------------------------------------------ Ret Non-Ret Fountain Jug Ret Non-Ret Fountain Jug - ----------------------------------------------------- ------------------------------------------ Mexico 28.4 52.5 1.3 17.8 27.3 54.4 1.3 17.0 Central America 53.1 43.1 3.8 - 50.4 44.1 5.5 - Colombia 56.1 32.6 2.9 8.4 53.4 36.5 2.7 7.4 Venezuela 40.5 49.9 3.1 6.5 34.8 59.0 2.6 3.6 Brazil 12.9 83.7 3.4 - 11.8 84.6 3.6 - Argentina 4.7 90.2 5.1 - 23.7 72.2 4.1 - - ----------------------------------------------------- ------------------------------------------

June 2003 Macroeconomic Information ----------------------------- ------------------------ Inflation Foreing Exchange Rate(1) LTM YTD 2Q (Per US Dollar) ----------------------------- ------------------------ - ---------------------------------- ----------------------------- ------------------------ Mexico 4.27% 1.25% -0.07% 10.4410 Colombia 7.22% 5.01% 1.59% 2,817.3200 Venezuela 37.67% 18.35% 8.20% 1,853.0000 Brazil 19.05% 7.25% 1.77% 2.8720 Argentina 9.76% 1.80% -0.30% 2.8000 - ---------------------------------- ----------------------------- ------------------------ (1) Figures as of June 30, 2003 CONTACT: Fomento Economico Mexicano, S.A. de C.V. Juan Fonseca / (52) 81 83 28 62 45 juan.fonseca@femsa.com.mx or Alan Alanis / (52) 81 83 28 62 11 alan.alanis@femsa.com.mx

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: July 28, 2003