UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN ISSUER PURSUANT TO RULES 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of February, 2005
GRUPO TELEVISA, S.A.
-------------------------------------------------
(Translation of registrant's name into English)
Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210 Mexico, D.F.
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(Address of principal executive offices)
(Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or 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 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 12g-3-2(b): 82.)
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED BALANCE SHEETS
AS OF DECEMBER 31, 2004 AND 2003
(Thousands of Mexican Pesos)
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
----------------------------------------------------------
S AMOUNT % AMOUNT %
-----------------------------------------------------------------------------------------------------------------------------------
1 TOTAL ASSETS 73,883,656 100 68,120,763 100
2 CURRENT ASSETS 34,049,482 46 30,250,904 44
3 CASH AND SHORT-TERM INVESTMENTS 16,641,341 23 12,900,103 19
4 ACCOUNTS AND NOTES RECEIVABLE (NET) 11,229,979 15 11,153,437 16
5 OTHER ACCOUNTS AND NOTES RECEIVABLE (NET) 1,210,536 2 1,404,987 2
6 INVENTORIES 4,256,670 6 4,258,701 6
7 OTHER CURRENT ASSETS 710,956 1 533,676 1
8 LONG-TERM 6,757,722 9 6,649,931 10
9 ACCOUNTS AND NOTES RECEIVABLE (NET) 0 0 0 0
10 INVESTMENT IN SHARES OF NON-CONSOLIDATED
SUBSIDIARIES AND ASSOCIATES 6,551,984 9 6,412,487 9
11 OTHER INVESTMENTS 205,738 0 237,444 0
12 PROPERTY, PLANT AND EQUIPMENT (NET) 19,159,567 26 16,410,499 24
13 LAND AND BUILDINGS 12,924,641 17 12,969,896 19
14 MACHINERY AND INDUSTRIAL EQUIPMENT 15,547,973 21 11,991,044 18
15 OTHER EQUIPMENT 2,840,211 4 2,696,774 4
16 ACCUMULATED DEPRECIATION 12,785,009 17 11,892,933 17
17 CONSTRUCTION IN PROGRESS 631,751 1 645,718 1
18 DEFERRED ASSETS (NET) 9,156,596 12 9,677,720 14
19 OTHER ASSETS 4,760,289 6 5,131,709 8
20 TOTAL LIABILITIES 46,279,628 100 39,165,599 100
21 CURRENT LIABILITIES 8,781,977 19 5,646,098 14
22 SUPPLIERS 2,135,250 5 2,539,151 6
23 BANK LOANS 86,179 0 299,997 1
24 STOCK MARKET LOANS 3,210,912 7 0 0
25 TAXES PAYABLE 1,558,762 3 1,353,848 3
26 OTHER CURRENT LIABILITIES 1,790,874 4 1,453,102 4
27 LONG-TERM LIABILITIES 20,860,418 45 16,212,771 41
28 BANK LOANS 5,011,401 11 2,129,004 5
29 STOCK MARKET LOANS 13,932,398 30 13,338,485 34
30 OTHER LOANS 1,916,619 4 745,282 2
31 DEFERRED LIABILITIES 16,637,233 36 15,945,557 41
32 OTHER LIABILITIES 0 0 1,361,173 3
33 CONSOLIDATED STOCKHOLDERS' EQUITY 27,604,028 100 28,955,164 100
34 MINORITY INTEREST (120,545) 1,134,635 4
35 MAJORITY INTEREST 27,724,573 100 27,820,529 96
36 CONTRIBUTED CAPITAL 13,647,087 49 12,710,053 44
37 CAPITAL STOCK (NOMINAL) 2,524,174 9 1,618,060 6
38 RESTATEMENT OF CAPITAL STOCK 7,046,332 26 7,015,412 24
39 PREMIUM ON SALES OF SHARES 4,076,581 15 4,076,581 14
40 CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES 0 0 0 0
41 EARNED CAPITAL 14,077,486 51 15,110,476 52
42 RETAINED EARNINGS AND CAPITAL RESERVE 6,763,498 25 8,127,847 28
43 RESERVE FOR REPURCHASE OF SHARES 5,559,308 20 5,559,308 19
44 EXCESS (SHORTFALL) IN RESTATEMENT OF STOCK-
HOLDERS' EQUITY (2,562,063) (9) (2,359,974) (8)
45 NET INCOME FOR THE YEAR 4,316,743 16 3,783,295 13
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MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED BALANCE SHEETS
BREAKDOWN OF MAJOR CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
------------------------------------------------------------
S AMOUNT % AMOUNT %
-----------------------------------------------------------------------------------------------------------------------------------
3 CASH AND SHORT-TERM INVESTMENTS 16,641,341 100 12,900,103 100
46 CASH 390,525 2 391,051 3
47 SHORT-TERM INVESTMENTS 16,250,816 98 12,509,052 97
18 DEFERRED ASSETS (NET) 9,156,596 100 9,677,720 100
48 DEFERRED EXPENSES (NET) 1,643,233 18 1,716,894 18
49 GOODWILL 7,513,363 82 7,960,826 82
50 DEFERRED TAXES 0 0 0 0
51 OTHER 0 0 0 0
21 CURRENT LIABILITIES 8,781,977 100 5,646,098 100
52 FOREIGN CURRENCY LIABILITIES 5,144,661 59 2,209,166 39
53 MEXICAN PESOS LIABILITIES 3,637,316 41 3,436,932 61
24 STOCK MARKET LOANS 3,210,912 100 0 100
54 COMMERCIAL PAPER 3,210,912 100 0 0
55 CURRENT MATURITIES OF MEDIUM-TERM NOTES 0 0 0 0
56 CURRENT MATURITIES OF BONDS 0 0 0 0
26 OTHER CURRENT LIABILITIES 1,790,874 100 1,453,102 100
57 OTHER CURRENT LIABILITIES WITH COST 70,743 4 0 0
58 OTHER CURRENT LIABILITIES WITHOUT COST 1,720,131 96 1,453,102 100
27 LONG-TERM LIABILITIES 20,860,418 100 16,212,771 100
59 FOREIGN CURRENCY LIABILITIES 11,978,631 57 11,442,893 71
60 MEXICAN PESOS LIABILITIES 8,881,787 43 4,769,878 29
29 STOCK MARKET LOANS 13,932,398 100 13,338,485 100
61 BONDS 13,932,398 100 13,338,485 100
62 MEDIUM-TERM NOTES 0 0 0 0
30 OTHER LOANS 1,916,619 100 745,282 100
63 OTHER LOANS WITH COST 1,324,615 69 0 0
64 OTHER LOANS WITHOUT COST 592,004 31 745,282 100
31 DEFERRED LIABILITIES 16,637,233 100 15,945,557 100
65 NEGATIVE GOODWILL 0 0 0 0
66 DEFERRED TAXES 1,334,022 8 1,214,381 8
67 OTHER 15,303,211 92 14,731,176 92
32 OTHER LIABILITIES 0 100 1,361,173 100
68 RESERVES 0 0 0 0
69 OTHER LIABILITIES 0 0 1,361,173 100
44 EXCESS (SHORTFALL) IN RESTATEMENT OF STOCK- (2,562,063) 100 (2,359,974) 100
HOLDERS' EQUITY
70 ACCUMULATED MONETARY RESULT (31,540) (1) (31,540) (1)
71 RESULT FROM HOLDING NON-MONETARY ASSETS (2,530,523) (99) (2,328,434) (99)
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MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED FINANCIAL STATEMENTS
OTHER CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
--------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
------------------------------------
S AMOUNT AMOUNT
--------------------------------------------------------------------------------
72 WORKING CAPITAL 25,267,505 24,604,806
73 PENSIONS AND SENIORITY PREMIUMS 1,142,468 0
74 EXECUTIVES (*) 36 36
75 EMPLOYEES (*) 14,104 12,248
76 WORKERS (*) 0 0
77 OUTSTANDING SHARES (*) 341,637,582,351 8,753,603,425
78 REPURCHASED SHARES (*) 27,635,788,050 714,944,534
--------------------------------------------------------------------------------
(*) THESE CONCEPTS ARE STATED IN UNITS
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED STATEMENTS OF INCOME
FROM JANUARY 1 THROUGH DECEMBER 31, 2004 AND 2003
(Thousands of Mexican Pesos)
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
-------------------------------------------------------------
R AMOUNT % AMOUNT %
------------------------------------------------------------------------------------------------------------------------------------
1 NET SALES 29,314,253 100 24,786,332 100
2 COST OF SALES 16,423,521 56 14,785,713 60
3 GROSS PROFIT 12,890,732 44 10,000,619 40
4 OPERATING EXPENSES 4,332,896 15 3,640,849 15
5 OPERATING INCOME 8,557,836 29 6,359,770 26
6 INTEGRAL FINANCING COST 1,516,158 5 646,426 3
7 INCOME AFTER INTEGRAL FINANCING COST 7,041,678 24 5,713,344 23
8 OTHER FINANCIAL OPERATIONS 910,247 3 1,262,821 5
9 INCOME BEFORE TAXES AND EMPLOYEES' PROFIT
SHARING 6,131,431 21 4,450,523 18
10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT
SHARING 1,176,341 4 756,830 3
11 NET INCOME AFTER TAXES AND EMPLOYEES' PROFIT
SHARING 4,955,090 17 3,693,693 15
12 SHARE IN NET INCOME OF NON-CONSOLIDATED
SUBSIDIARIES AND ASSOCIATES 614,994 2 29,756 0
13 CONSOLIDATED NET INCOME OF CONTINUING
OPERATIONS 5,570,084 19 3,723,449 15
14 INCOME FROM DISCONTINUED OPERATIONS 0 0 67,487 0
15 CONSOLIDATED NET INCOME BEFORE
EXTRAORDINARY ITEMS 5,570,084 19 3,655,962 15
16 EXTRAORDINARY ITEMS, NET EXPENSE (INCOME) 0 0 0 0
17 CUMULATIVE EFFECT FROM ACCOUNTING CHANGE, NET 1,021,590 3 0 0
18 NET CONSOLIDATED INCOME 4,548,494 16 3,655,962 15
19 NET INCOME OF MINORITY INTEREST 231,751 1 (127,333) (1)
20 NET INCOME OF MAJORITY INTEREST 4,316,743 15 3,783,295 15
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MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED STATEMENTS OF INCOME
BREAKDOWN OF MAIN CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
---------------------------------------------------------
R AMOUNT % AMOUNT %
------------------------------------------------------------------------------------------------------------------------------------
1 NET SALES 29,314,253 100 24,786,332 100
21 DOMESTIC 24,803,269 85 20,471,449 83
22 FOREIGN 4,510,984 15 4,314,883 17
23 TRANSLATED INTO DOLLARS (***) 404,609 1 365,431 1
6 INTEGRAL FINANCING COST 1,516,158 100 646,426 100
24 INTEREST EXPENSE 1,923,275 127 1,300,620 201
25 FOREIGN EXCHANGE LOSS 92,109 6 0 0
26 INTEREST INCOME 656,511 43 683,626 106
27 FOREIGN EXCHANGE GAIN 0 0 203,392 31
28 RESULT FROM MONETARY POSITION (14,824) (1) 86,261 13
42 LOSS ON RESTATEMENT OF UDI'S 172,109 11 146,563 23
43 GAIN ON RESTATEMENT OF UDI'S 0 0 0 0
8 OTHER FINANCIAL OPERATIONS 910,247 100 1,262,821 100
29 OTHER EXPENSE (INCOME) NET 910,247 100 1,262,821 100
30 (GAIN) LOSS ON SALE OF OWN SHARES 0 0 0 0
31 (GAIN) LOSS ON SALE OF SHORT-TERM INVESTMENTS 0 0 0 0
10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT SHARING 1,176,341 100 756,830 100
32 INCOME TAX 597,463 51 1,100,324 145
33 DEFERRED INCOME TAX 572,359 49 (349,305) (46)
34 EMPLOYEES' PROFIT SHARING 6,519 1 5,811 1
35 DEFERRED EMPLOYEES' PROFIT SHARING 0 0 0 0
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(***) THOUSANDS OF DOLLARS
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED STATEMENTS OF INCOME
OTHER CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
--------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
-----------------------------------
R AMOUNT AMOUNT
-------------------------------------------------------------------------------
36 TOTAL SALES 31,174,116 26,784,658
37 TAX RESULT FOR THE YEAR 208,161 0
38 NET SALES (**) 29,314,253 24,786,332
39 OPERATING INCOME (**) 8,557,836 6,359,770
40 NET INCOME OF MAJORITY INTEREST (**) 4,316,743 3,783,295
41 NET CONSOLIDATED INCOME (**) 4,548,494 3,655,962
-------------------------------------------------------------------------------
(**) RESTATED INFORMATION FOR THE LAST TWELVE MONTHS
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
QUARTERLY CONSOLIDATED STATEMENTS OF INCOME
FROM OCTOBER 1 THROUGH DECEMBER 31, 2004 AND 2003
(Thousands of Mexican Pesos)
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
------------------------------------------------------------
R AMOUNT % AMOUNT %
------------------------------------------------------------------------------------------------------------------------------------
1 NET SALES 8,414,103 100 7,389,601 100
2 COST OF SALES 4,383,090 52 4,339,285 59
3 GROSS PROFIT 4,031,013 48 3,050,316 41
4 OPERATING EXPENSES 1,189,919 14 981,436 13
5 OPERATING INCOME 2,841,094 34 2,068,880 28
6 INTEGRAL FINANCING COST 453,174 5 225,727 3
7 INCOME AFTER INTEGRAL FINANCING COST 2,387,920 28 1,843,153 25
8 OTHER FINANCIAL OPERATIONS 295,375 4 884,505 12
9 INCOME BEFORE TAXES AND EMPLOYEES' PROFIT
SHARING 2,092,545 25 958,648 13
10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT
SHARING 88,299 1 (45,056) (1)
11 NET INCOME AFTER TAXES AND EMPLOYEES' PROFIT
SHARING 2,004,246 24 1,003,704 14
12 SHARE IN NET INCOME OF NON-CONSOLIDATED
SUBSIDIARIES AND ASSOCIATES 51,358 1 354,445 5
13 CONSOLIDATED NET INCOME OF CONTINUING
OPERATIONS 2,055,604 24 1,358,149 18
14 INCOME FROM DISCONTINUED OPERATIONS 0 0 67,487 1
15 CONSOLIDATED NET INCOME BEFORE
EXTRAORDINARY ITEMS 2,055,604 24 1,290,662 17
16 EXTRAORDINARY ITEMS, NET EXPENSE (INCOME) 0 0 0 0
17 CUMULATIVE EFFECT FROM ACCOUNTING CHANGE, NET (5,145) (0) 0 0
18 NET CONSOLIDATED INCOME 2,060,749 24 1,290,662 17
19 NET INCOME OF MINORITY INTEREST 173,449 2 (122,408) (2)
20 NET INCOME OF MAJORITY INTEREST 1,887,300 22 1,413,070 19
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MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
QUARTERLY CONSOLIDATED STATEMENTS OF INCOME
BREAKDOWN OF MAIN CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
----------------------------------------------------------
R AMOUNT % AMOUNT %
------------------------------------------------------------------------------------------------------------------------------------
1 NET SALES 8,414,103 100 7,389,601 100
21 DOMESTIC 7,464,099 89 6,208,738 84
22 FOREIGN 950,004 11 1,180,863 16
23 TRANSLATED INTO DOLLARS (***) 97,541 1 99,129 1
6 INTEGRAL FINANCING COST 453,174 100 225,727 100
24 INTEREST EXPENSE 627,414 138 336,894 149
25 FOREIGN EXCHANGE LOSS 71,732 16 0 0
26 INTEREST INCOME 184,850 41 133,744 59
27 FOREIGN EXCHANGE GAIN 0 0 89,428 40
28 RESULT FROM MONETARY POSITION (122,828) (27) 47,648 21
42 LOSS ON RESTATEMENT OF UDI'S 61,706 14 64,357 29
43 GAIN ON RESTATEMENT OF UDI'S 0 0 0 0
8 OTHER FINANCIAL OPERATIONS 295,375 100 884,505 100
29 OTHER EXPENSE (INCOME) NET 295,375 100 884,505 100
30 (GAIN) LOSS ON SALE OF OWN SHARES 0 0 0 0
31 (GAIN) LOSS ON SALE OF SHORT-TERM INVESTMENTS 0 0 0 0
10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT SHARING 88,299 100 (45,056) (100)
32 INCOME TAX 2,558 3 302,802 672
33 DEFERRED INCOME TAX 83,378 94 (349,192) (775)
34 EMPLOYEES' PROFIT SHARING 2,363 3 1,334 3
35 DEFERRED EMPLOYEES' PROFIT SHARING 0 0 0 0
------------------------------------------------------------------------------------------------------------------------------------
(***) THOUSANDS OF DOLLARS
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED STATEMENTS OF CHANGES IN FINANCIAL POSITION
FROM JANUARY 1 THROUGH DECEMBER 31, 2004 AND 2003
(Thousands of Mexican Pesos)
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
------------------------------------------------------------
C AMOUNT AMOUNT
-----------------------------------------------------------------------------------------------------------------------------------
1 CONSOLIDATED NET INCOME 4,548,494 3,655,962
2 + (-) ITEMS ADDED TO INCOME WHICH DO NOT
REQUIRE USING RESOURCES 2,199,490 1,609,883
3 RESOURCES FROM NET INCOME FOR THE YEAR 6,747,984 5,265,845
4 RESOURCES FROM CHANGE IN WORKING CAPITAL (178,323) 1,511,112
5 RESOURCES PROVIDED BY (USED FOR) OPERATING
ACTIVITIES 6,569,661 6,776,957
6 CASH FLOW FROM EXTERNAL FINANCING 6,187,651 (492,688)
7 CASH FLOW FROM INTERNAL FINANCING (4,091,005) (1,187,785)
8 RESOURCES PROVIDED BY (USED FOR) FINANCING
ACTIVITIES 2,096,646 (1,680,473)
9 RESOURCES PROVIDED BY (USED FOR) INVESTMENT
ACTIVITIES (4,925,069) (1,806,840)
10 NET INCREASE (DECREASE) IN CASH AND SHORT-TERM
INVESTMENTS 3,741,238 3,289,644
11 CASH AND SHORT-TERM INVESTMENTS AT THE
BEGINNING OF PERIOD 12,900,103 9,610,459
12 CASH AND SHORT-TERM INVESTMENTS AT THE END
OF PERIOD 16,641,341 12,900,103
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MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED STATEMENTS OF CHANGES IN FINANCIAL POSITION
BREAKDOWN OF MAIN CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
------------------------------------------------------------
C AMOUNT AMOUNT
------------------------------------------------------------------------------------------------------------------------------------
2 + (-) ITEMS ADDED TO INCOME WHICH DO NOT
REQUIRE USING RESOURCES 2,199,490 1,609,883
13 DEPRECIATION AND AMORTIZATION FOR THE YEAR 2,075,004 1,604,412
14 + (-) NET INCREASE (DECREASE) IN PENSIONS
AND SENIORITY PREMIUMS 0 0
15 + (-) NET LOSS (GAIN) IN FOREIGN EXCHANGE 0 0
16 + (-) NET LOSS (GAIN) IN ASSETS AND LIABILITIES
RESTATEMENT 0 0
17 + (-) OTHER ITEMS 0 0
40 + (-) OTHER NON-EBITDA ITEMS 124,486 5,471
4 RESOURCES FROM CHANGE IN WORKING CAPITAL (178,323) 1,511,112
18 + (-) DECREASE (INCREASE) IN ACCOUNTS RECEIVABLE 69,320 (760,691)
19 + (-) DECREASE (INCREASE) IN INVENTORIES 203,394 543,097
20 + (-) DECREASE (INCREASE) IN OTHER ACCOUNTS
RECEIVABLE (332,218) (53,563)
21 + (-) INCREASE (DECREASE) IN SUPPLIERS (605,452) 100,869
22 + (-) INCREASE (DECREASE) IN OTHER LIABILITIES 486,633 1,681,400
6 CASH FLOW FROM EXTERNAL FINANCING 6,187,651 (492,688)
23 + SHORT-TERM BANK AND STOCK MARKET FINANCING 0 0
24 + LONG-TERM BANK AND STOCK MARKET FINANCING 4,174,460 1,429,550
25 + DIVIDEND RECEIVED 0 0
26 + OTHER FINANCING 3,399,209 0
27 (-) BANK FINANCING AMORTIZATION (1,386,018) (239,008)
28 (-) STOCK MARKET FINANCING AMORTIZATION 0 (757,810)
29 (-) OTHER FINANCING AMORTIZATION 0 (925,420)
7 CASH FLOW FROM INTERNAL FINANCING (4,091,005) (1,187,785)
30 + (-) INCREASE (DECREASE) IN CAPITAL STOCK 937,034 (586,229)
31 (-) DIVIDENDS PAID (3,981,377) (601,556)
32 + PREMIUM ON SALE OF SHARES 0 0
33 + CONTRIBUTION FOR FUTURE CAPITAL INCREASES (1,046,662) 0
9 RESOURCES PROVIDED BY (USED FOR) INVESTMENT
ACTIVITIES (4,925,069) (1,806,840)
34 + (-) DECREASE (INCREASE) IN PERMANENT INVESTMENTS 32,322 (76,449)
35 (-) ACQUISITION OF PROPERTY, PLANT AND EQUIPMENT (2,026,979) (1,106,840)
36 (-) INCREASE IN CONSTRUCTION IN PROGRESS 0 0
37 + SALE OF OTHER PERMANENT INVESTMENTS 0 0
38 + SALE OF TANGIBLE FIXED ASSETS 148,543 435,958
39 + (-) OTHER ITEMS (3,078,955) (1,059,509)
------------------------------------------------------------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
RATIOS
CONSOLIDATED
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
P
-----------------------------------------------------------------------------------------------------------------------------------
YIELD
1 NET INCOME TO NET SALES 15.52 % 14.75 %
2 NET INCOME TO STOCKHOLDERS' EQUITY (**) 15.57 % 13.60 %
3 NET INCOME TO TOTAL ASSETS (**) 6.16 % 5.37 %
4 CASH DIVIDENDS TO PREVIOUS YEAR NET INCOME 0.00 % 0.00 %
5 RESULT FROM MONETARY POSITION TO NET INCOME 0.33 % (2.36) %
ACTIVITY
6 NET SALES TO NET ASSETS (**) 0.40 times 0.36 times
7 NET SALES TO FIXED ASSETS (**) 1.53 times 1.51 times
8 INVENTORIES TURNOVER (**) 3.86 times 3.47 times
9 ACCOUNTS RECEIVABLE IN DAYS OF SALES 120 days 141 days
10 PAID INTEREST TO TOTAL LIABILITIES WITH COST (**) 8.14 % 8.25 %
LEVERAGE
11 TOTAL LIABILITIES TO TOTAL ASSETS 62.64 % 57.49 %
12 TOTAL LIABILITIES TO STOCKHOLDERS' EQUITY 1.68 times 1.35 times
13 FOREIGN CURRENCY LIABILITIES TO TOTAL LIABILITIES 37.00 % 34.86 %
14 LONG-TERM LIABILITIES TO FIXED ASSETS 108.88 % 98.80 %
15 OPERATING INCOME TO INTEREST PAID 4.45 times 4.89 times
16 NET SALES TO TOTAL LIABILITIES (**) 0.63 times 0.63 times
LIQUIDITY
17 CURRENT ASSETS TO CURRENT LIABILITIES 3.88 times 5.36 times
18 CURRENT ASSETS LESS INVENTORY TO CURRENT
LIABILITIES 3.39 times 4.60 times
19 CURRENT ASSETS TO TOTAL LIABILITIES 0.74 times 0.77 times
20 AVAILABLE ASSETS TO CURRENT LIABILITIES 189.49 % 228.48 %
CASH FLOW
21 RESOURCES FROM NET INCOME TO NET SALES 23.02 % 21.24 %
22 RESOURCES FROM CHANGES IN WORKING CAPITAL
TO NET SALES (0.61) % 6.10 %
23 RESOURCES GENERATED (USED) IN OPERATING TO
INTEREST PAID 3.42 times 5.21 times
24 EXTERNAL FINANCING TO RESOURCES PROVIDED BY
(USED FOR) FINANCING 295.12 % 29.32 %
25 INTERNAL FINANCING TO RESOURCES PROVIDED BY
(USED FOR) FINANCING (195.12) % 70.68 %
26 ACQUISITION OF PROPERTY, PLANT AND EQUIPMENT
TO RESOURCES PROVIDED BY (USED FOR) INVESTMENT
ACTIVITIES 41.16 % 61.26 %
-----------------------------------------------------------------------------------------------------------------------------------
(**) RATIOS TAKE INTO CONSIDERATION THE LAST TWELVE MONTHS.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
DATA PER SHARE
CONSOLIDATED FINANCIAL STATEMENT
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------------------
REF
CONCEPTS CURRENT YEAR PREVIOUS YEAR
-------------------------------------------------------------
D AMOUNT AMOUNT
------------------------------------------------------------------------------------------------------------------------------------
1 BASIC PROFIT PER ORDINARY SHARE (**) $ .01 $ .43
2 BASIC PROFIT PER PREFERRED SHARE (**) $ .00 $ .43
3 DILUTED PROFIT PER ORDINARY SHARE (**) $ .00 $ .00
4 CONTINUING OPERATING PROFIT PER COMMON
SHARE (**) $ .02 $ .42
5 EFFECT OF DISCONTINUED OPERATION ON
CONTINUING OPERATING PROFIT PER SHARE (**) $ .00 $ (.01)
6 EFFECT OF EXTRAORDINARY PROFIT AND LOSS ON
CONTINUING OPERATING PROFIT PER SHARE (**) $ .00 $ .00
7 EFFECT OF CHANGES IN ACCOUNTING POLICIES ON
CONTINUING OPERATING PROFIT PER SHARE (**) $ .00 $ .00
8 CARRYING VALUE PER SHARE $ .08 $ 3.18
9 CASH DIVIDEND ACCUMULATED PER SHARE $ .42 $ .07
10 DIVIDEND IN SHARES PER SHARE .10 shares .00 shares
11 MARKET PRICE TO CARRYING VALUE 3.54 times 2.35 times
12 MARKET PRICE TO BASIC PROFIT PER ORDINARY
SHARE (**) 20.42 times 17.41 times
13 MARKET PRICE TO BASIC PROFIT PER PREFERRED
SHARE (**) .00 times 17.30 times
------------------------------------------------------------------------------------------------------------------------------------
(**) TO CALCULATE THE DATA PER SHARE USE THE NET INCOME FOR THE LAST TWELVE MONTHS.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
FINANCIAL STATEMENT NOTES (1)
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------
CONSOLIDATED FINANCIAL STATEMENTS - BREAKDOWN OF MAIN CONCEPTS -
LINE S53 MEXICAN PESOS LIABILITIES. THIS CAPTION INCLUDES, IN THE FOURTH QUARTER
OF 2004, LIABILITIES IN FOREIGN CURRENCY (TAXES PAYABLE) FOR AN AMOUNT OF
PS.49,936, WHICH CANNOT BE PRESENTED IN LINE S52 (FOREIGN CURRENCY LIABILITIES)
SINCE THE SYSTEM DOES NOT ALLOW A RELATED VALIDATION WITH ANNEX 5 (ANALYSIS OF
CREDITS).
STATEMENT OF CHANGES - ANALYSIS OF MAJOR CONCEPTS
LINE C22 "INCREASE (DECREASE) IN OTHER LIABILITIES" INCLUDES PS.126,748 OF NET
ASSETS AND LIABILITIES RELATED TO THE CUMULATIVE EFFECT OF CONSOLIDATING INNOVA
BEGINNING APRIL 1, 2004.
LINE C26 "OTHER FINANCING" INCLUDES PS.4,490,225 OF STOCK MARKET CREDITS,
PS.1,498,206 OF CAPITAL LEASE OBLIGATION, AND PS.(1,435,509) OF MINORITY
INTEREST RELATED TO THE CUMULATIVE EFFECT OF CONSOLIDATING INNOVA BEGINNING
APRIL 1, 2004.
LINE C33 "CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES" INCLUDES PS.(937,034) OF
STOCK DIVIDENDS, PS.586,189 OF RESALE OF SHARES REPURCHASED, PS.(815,422) OF
REPURCHASE OF SHARES, AND PS.119,605 OF ADDITIONAL PAID-IN CAPITAL.
LINE C39 "OTHER ITEMS" INCLUDES PS.(2,618,819) OF PROPERTY AND EQUIPMENT,
PS.(898,924) OF CANCELLATION OF DTH GUARANTEE, PS.423,596 OF ACCOUNTS WITH
AFFILIATES, AND PS.(82,991) OF DEFERRED AND OTHER ASSETS, RELATED TO THE
CUMULATIVE EFFECT OF CONSOLIDATING INNOVA BEGINNING APRIL 1, 2004.
THESE CLASSIFICATIONS WERE MADE AS DISCLOSED ABOVE DUE TO THE FACT THAT THE
CURRENT FORMAT FOR THE STATEMENT OF CHANGES IN FINANCIAL POSITION IS RESTRICTED
TO CERTAIN STANDARD CONCEPTS.
- RATIOS CONSOLIDATED
LINE P08 "INVENTORIES TURNOVER" INCLUDES CURRENT TRANSMISSION RIGHTS AND
PROGRAMMING.
-----------------------------------
(1 ) THE REPORT CONTAINS THE NOTES CORRESPONDING TO THE FINANCIAL STATEMENT
AMOUNTS, INCLUDING THEIR BREAKDOWN OF MAIN CONCEPTS AND OTHER CONCEPTS.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONSOLIDATED
FINAL PRINTING
ANALYSIS OF PAID CAPITAL STOCK
CHARACTERISTICS OF THE SHARES
------------------------------------------------------------------------------
CAPITAL STOCK
NUMBER OF SHARES (Thousands of Mexican Pesos)
---------------------------------------------------------------------------------
NOMINAL VALID FIXED VARIABLE FREE
SERIES VALUE COUPON PORTION PORTION MEXICAN SUBSCRIPTION FIXED VARIABLE
------------------------------------------------------------------------------------------------------------------
A 0 114,608,385,240 114,608,385,240 852,636
------------------------------------------------------------------------------------------------------------------
B 0 54,289,618,459 54,289,618,459 411,974
------------------------------------------------------------------------------------------------------------------
D 0 86,369,789,326 86,369,789,326 629,782
------------------------------------------------------------------------------------------------------------------
L 0 86,369,789,326 86,369,789,326 629,782
------------------------------------------------------------------------------------------------------------------
TOTAL 341,637,582,351 0 255,267,793,025 86,369,789,326 2,524,174 0
------------------------------------------------------------------------------------------------------------------
TOTAL NUMBER OF SHARES REPRESENTING THE PAID-IN CAPITAL STOCK ON THE DATE
THE INFORMATION WAS SENT.
341,637,582,351
SHARES REPRESENTED BY:
CPO'S: 117 SHARES (25 SERIES A, 22 SERIES B, 35 SERIES D AND 35 SERIES L)
UNITS: 0
ADRS'S: 0
GDRS'S: 0
ADS'S: 0
GDS'S: TWENTY CPO's
SHARES REPURCHASED
MARKET VALUE OF THE SHARE
NUMBER OF AT REPURCHASE AT END OF THE
SERIES SHARES AVERAGE PRICE QUARTER PRICE
---------------------------------------------------------------------------
A 10,127,858,935 0.21224 0.28760
B 5,980,064,337 0.21224 0.28760
D 5,763,932,389 0.21224 0.28760
L 5,763,932,389 0.21224 0.28760
NOTES:
THE TABLE ABOVE REFLECTS OUTSTANDING SHARES PLUS THE SHARES REPURCHASED
REPRESENT THE TOTAL NUMBER OF SHARES ISSUED. SEE NOTE 5 TO CONSOLIDATED
FINANCIAL STATEMENTS.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA
GRUPO TELEVISA, S.A.
DECLARATION OF THE REGISTRANT'S OFFICERS, RESPONSIBLE FOR THE INFORMATION.
WE HEREBY DECLARE THAT, TO THE EXTENT OF OUR FUNCTIONS, WE PREPARED THE
INFORMATION RELATED TO THE REGISTRANT CONTAINED IN THIS QUARTERLY REPORT,
AND BASED ON OUR KNOWLEDGE, THIS INFORMATION FAIRLY PRESENTS THE
REGISTRANT'S CONDITION. WE ALSO DECLARE THAT WE ARE NOT AWARE OF ANY
RELEVANT INFORMATION WHICH HAS BEEN OMITTED OR UNTRUE IN THIS QUARTERLY
REPORT, OR INFORMATION CONTAINED IN SUCH REPORT THAT MAY BE MISLEADING
TO INVESTORS.
------------------------------------ -------------------------------
EMILIO AZCARRAGA JEAN SALVI FOLCH VIADERO
PRESIDENT AND CHIEF EXECUTIVE CHIEF FINANCIAL OFFICER
OFFICER
MEXICO, D.F., FEBRUARY 22, 2005
MEXICAN STOCK EXCHANGE ("BMV")
STOCK EXCHANGE CODE: TLEVISA DATE: 2/23/2005
GRUPO TELEVISA, S.A.
GENERAL DATA OF ISSUER
===============================================================================
-------------------------------------------------------------------------------
COMPANY'S NAME: GRUPO TELEVISA, S.A.
ADDRESS: AV. VASCO DE QUIROGA # 2000
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-20-00
FAX: 5261-24-94
INTERNET ADDRESS: www.televisa.com.mx
-------------------
TAX DATA OF THE ISSUER
===============================================================================
-------------------------------------------------------------------------------
COMPANY TAX CODE: GTE901219GK3
ADDRESS: AV. VASCO DE QUIROGA # 2000
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
RESPONSIBLE FOR PAYMENT
-------------------------------------------------------------------------------
NAME: C.P.C. JOSE RAUL GONZALEZ LIMA
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 1
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-25-77
FAX: 5261-20-43
E-MAIL: rglima@televisa.com.mx
----------------------
EXECUTIVES DATA
===============================================================================
-------------------------------------------------------------------------------
BMV POSITION: CHAIRMAN OF THE BOARD
POSITION: CHAIRMAN OF THE BOARD
NAME: SR. EMILIO FERNANDO AZCARRAGA JEAN
ADDRESS: AV. CHAPULTEPEC # 28 PISO 1
NEIGHBORHOOD: DOCTORES
ZIP CODE: 06724
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5709-42-89
FAX: 5709-39-88
E-MAIL: emilio@televisa.com.mx
----------------------
-------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE ("BMV")
STOCK EXCHANGE CODE: TLEVISA DATE: 2/23/2005
GRUPO TELEVISA, S.A.
===============================================================================
-------------------------------------------------------------------------------
BMV POSITION: GENERAL DIRECTOR
POSITION: PRESIDENT AND CHIEF EXECUTIVE OFFICER
NAME: SR. EMILIO FERNANDO AZCARRAGA JEAN
ADDRESS: AV. CHAPULTEPEC # 28 PISO 1
NEIGHBORHOOD: DOCTORES
ZIP CODE: 06724
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5709-42-89
FAX: 5709-39-88
E-MAIL: emilio@televisa.com.mx
----------------------
-------------------------------------------------------------------------------
BMV POSITION: FINANCE DIRECTOR
POSITION: CHIEF FINANCIAL OFFICER
NAME: LIC. SALVI FOLCH VIADERO
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-25-80
FAX: 5261-20-39
E-MAIL: sfolch@televisa.com.mx
----------------------
-------------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR SENDING CORPORATE INFORMATION
THROUGH EMISNET
POSITION: DIRECTOR OF CORPORATE FINANCIAL INFORMATION
NAME: C.P.C. JOSE RAUL GONZALEZ LIMA
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 1
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-25-77
FAX: 5261-20-43
E-MAIL: rglima@televisa.com.mx
----------------------
-------------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR SENDING SHARE REPURCHASE
INFORMATION THROUGH EMISNET
POSITION: VICE PRESIDENT OF CORPORATE FINANCE
NAME: LIC. ALEXANDRE MOREIRA PENNA
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 3
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-24-58
FAX: 5261-25-24
E-MAIL: apenna@televisa.com.mx
----------------------
-------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE ("BMV")
STOCK EXCHANGE CODE: TLEVISA DATE: 2/23/2005
GRUPO TELEVISA, S.A.
===============================================================================
-------------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR LEGAL MATTERS
POSITION: VICE PRESIDENT - LEGAL AND GENERAL COUNSEL OF
GRUPO TELEVISA
NAME: LIC. JUAN SEBASTIAN MIJARES ORTEGA
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-25-85
FAX: 5261-25-46
E-MAIL: jmijares@televisa.com.mx
------------------------
-------------------------------------------------------------------------------
BMV POSITION: SECRETARY OF THE BOARD OF DIRECTORS
POSITION: SECRETARY OF THE BOARD OF DIRECTORS
NAME: LIC. JUAN SEBASTIAN MIJARES ORTEGA
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-25-85
FAX: 5261-25-46
E-MAIL: jmijares@televisa.com.mx
------------------------
-------------------------------------------------------------------------------
BMV POSITION: PROSECRETARY OF THE BOARD OF DIRECTORS
POSITION: EXTERNAL GENERAL COUNSEL
NAME: LIC. RICARDO MALDONADO YANEZ
ADDRESS: MONTES URALES # 505, PISO 3
NEIGHBORHOOD: LOMAS DE CHAPULTEPEC
ZIP CODE: 11000
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5201-74-47
FAX: 5520-10-65
E-MAIL: rmaldonado@macf.com.mx
----------------------
-------------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE OF INFORMATION TO INVESTORS
POSITION: DIRECTOR OF INVESTOR RELATIONS
NAME: LIC. MICHEL BOYANCE BALDWIN
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-24-46
FAX: 5261-24-94
E-MAIL: mboyance@televisa.com.mx
------------------------
-------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE ("BMV")
STOCK EXCHANGE CODE: TLEVISA DATE: 2/23/2005
GRUPO TELEVISA, S.A.
===============================================================================
-------------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR SENDING INFORMATION THROUGH
EMISNET
POSITION: SECRETARY OF THE BOARD OF DIRECTORS
NAME: LIC. JUAN SEBASTIAN MIJARES ORTEGA
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-25-85
FAX: 5261-25-46
E-MAIL: jmijares@televisa.com.mx
------------------------
-------------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR SENDING RELEVANT EVENTS THROUGH
EMISNET
POSITION: DIRECTOR OF INVESTOR RELATIONS
NAME: LIC. MICHEL BOYANCE BALDWIN
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-24-46
FAX: 5261-24-94
E-MAIL: mboyance@televisa.com.mx
------------------------
MEXICAN STOCK EXCHANGE ("BMV")
STOCK EXCHANGE CODE: TLEVISA DATE: 2/23/2005
GRUPO TELEVISA, S.A.
BOARD OF DIRECTORS
===============================================================================
-------------------------------------------------------------------------------
POSITION: PRESIDENT(S)
NAME: EMILIO FERNANDO AZCARRAGA JEAN
-------------------------------------------------------------------------------
POSITION: VICE PRESIDENT(S)
NAME: MARIA ASUNCION ARAMBURUZABALA LARREGUI
-------------------------------------------------------------------------------
POSITION: DIRECTOR(S)
NAME: PEDRO ASPE ARMELLA
NAME: JULIO BARBA HURTADO
NAME: JOSE ANTONIO BASTON PATINO
NAME: ANA PATRICIA BOTIN O'SHEA
NAME: MANUEL JORGE CUTILLAS COVANI
NAME: ALFONSO DE ANGOITIA NORIEGA
NAME: CARLOS FERNANDEZ GONZALEZ
NAME: BERNARDO GOMEZ MARTINEZ
NAME: CLAUDIO X. GONZALEZ LAPORTE
NAME: ROBERTO HERNANDEZ RAMIREZ
NAME: ENRIQUE KRAUZE KLEINBORT
NAME: GERMAN LARREA MOTA VELAZCO
NAME: GILBERTO PEREZALONSO CIFUENTES
NAME: ALEJANDRO QUINTERO INIGUEZ
NAME: FERNANDO SENDEROS MESTRE
NAME: ENRIQUE FRANCISCO J. SENIOR HERNANDEZ
NAME: CARLOS SLIM DOMIT
NAME: LORENZO H. ZAMBRANO TREVINO
-------------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR(S)
NAME: HERBERT ALLEN III
NAME: JUAN PABLO ANDRADE FRICH
NAME: LUCRECIA ARAMBURUZABALA LARREGUI
NAME: FELIX ARAUJO RAMIREZ
NAME: MAXIMILIANO ARTEAGA CARLEBACH
NAME: JOAQUIN BALCARCEL SANTA CRUZ
NAME: JUAN FERNANDO CALVILLO ARMENDARIZ
NAME: RAFAEL CARABIAS PRINCIPE
NAME: FRANCISCO JOSE CHEVEZ ROBELO
NAME: JOSE LUIS FERNANDEZ FERNANDEZ
NAME: SALVI FOLCH VIADERO
NAME: LEOPOLDO GOMEZ GONZALEZ BLANCO
NAME: JOSE HEREDIA BRETON
NAME: JOSE ANTONIO LARA DEL OLMO
NAME: JORGE LUTTEROTH ECHEGOYEN
NAME: ALBERTO MONTIEL CASTELLANOS
NAME: RAUL MORALES MEDRANO
NAME: ALEXANDRE MOREIRA PENNA DA SILVA
NAME: GUILLERMO NAVA GOMEZ-TAGLE
-------------------------------------------------------------------------------
POSITION: STATUTORY AUDITOR(S)
NAME: MARIO SALAZAR ERDMANN
-------------------------------------------------------------------------------
POSITION: ALTERNATE STATUTORY AUDITOR(S)
NAME: JOSE MIGUEL ARRIETA MENDEZ
-------------------------------------------------------------------------------
POSITION: SECRETARY(IES) OF THE BOARD
NAME: JUAN SEBASTIAN MIJARES ORTEGA
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
ANNEX 1
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
MEXICO CITY, FEBRUARY 22, 2005 - GRUPO TELEVISA, S.A. ("TELEVISA" OR "THE
COMPANY"; NYSE:TV; BMV: TLEVISA CPO) TODAY ANNOUNCED RESULTS FOR THE FOURTH
QUARTER AND FULL YEAR 2004. THE RESULTS HAVE BEEN PREPARED IN ACCORDANCE WITH
MEXICAN GAAP AND ARE ADJUSTED IN MILLIONS OF MEXICAN PESOS IN PURCHASING POWER
AS OF DECEMBER 31, 2004. EFFECTIVE APRIL 1, 2004, WE BEGAN CONSOLIDATING SKY
MEXICO INTO OUR FINANCIAL STATEMENTS. IN ADDITION, DURING THE FOURTH QUARTER OF
2004, WE AMENDED CERTAIN AGREEMENTS IN OUR PUBLISHING DISTRIBUTION SEGMENT,
WHICH RESULTED IN A CHANGE IN THE ACCOUNTING FOR NET SALES AND COSTS OF GOODS
SOLD (FOR FURTHER INFORMATION SEE "PUBLISHING DISTRIBUTION").
NET SALES
NET SALES INCREASED 18.3% TO PS.29,314.3 MILLION IN 2004 COMPARED WITH
PS.24,786.3 MILLION IN 2003. THIS INCREASE WAS ATTRIBUTABLE TO THE CONSOLIDATION
OF SKY MEXICO INTO OUR FINANCIAL STATEMENTS BEGINNING IN 2004'S SECOND QUARTER
AND REVENUE GROWTH IN MOST OF OUR BUSINESS UNITS, PARTIALLY OFFSET BY A DECREASE
IN SALES OF OUR PUBLISHING DISTRIBUTION SEGMENT DUE TO AN ACCOUNTING CHANGE.
OPERATING INCOME BEFORE DEPRECIATION AND AMORTIZATION
OPERATING INCOME BEFORE DEPRECIATION AND AMORTIZATION ("OIBDA") INCREASED 33.5%
TO PS.10,632.8 MILLION IN 2004 COMPARED WITH PS.7,964.2 IN 2003. THIS INCREASE
REFLECTS THE CONSOLIDATION OF SKY MEXICO INTO OUR FINANCIAL STATEMENTS BEGINNING
IN 2004'S SECOND QUARTER AND HIGHER SALES IN MOST OF OUR BUSINESS UNITS, WHICH
WERE PARTIALLY OFFSET BY INCREASED COST OF SALES AND OPERATING EXPENSES. OIBDA
MARGIN EXPANDED TO 36.3% IN 2004 COMPARED WITH 32.1% REPORTED IN 2003. THIS
INCREASE REFLECTS AN OIBDA MARGIN GROWTH IN ALL OF OUR BUSINESS UNITS AND THE
ACCOUNTING CHANGE IN OUR PUBLISHING DISTRIBUTION SEGMENT. IN ADDITION, OPERATING
INCOME ROSE 34.6% TO PS.8,557.8 MILLION IN 2004 COMPARED WITH PS.6,359.8 MILLION
REPORTED LAST YEAR.
THE CHARGE FOR OPERATING DEPRECIATION AND AMORTIZATION WAS OF PS.2,075.0 MILLION
IN 2004 AND PS.1,604.4 MILLION IN 2003.
NET INCOME
NET INCOME INCREASED 14.1% TO PS.4,316.7 MILLION IN 2004 COMPARED WITH
PS.3,783.3 MILLION IN 2003. THE NET INCREASE OF PS.533.4 MILLION REFLECTS
PRIMARILY: I) A PS.2,668.6 MILLION INCREASE IN OIBDA; II) A PS.296.2 MILLION
DECREASE IN RESTRUCTURING AND NON-RECURRING CHARGES; III) A PS.56.5 MILLION
DECREASE IN OTHER EXPENSE; IV) A PS.585.2 MILLION INCREASE IN EQUITY INCOME OF
AFFILIATES; AND V) A PS.67.5 MILLION DECREASE IN LOSS FROM DISCONTINUED
OPERATIONS. THESE FAVORABLE CHANGES WERE PARTIALLY OFFSET BY: I) A PS.470.6
INCREASE IN DEPRECIATION AND AMORTIZATION; II) A PS.869.8 INCREASE IN INTEGRAL
COST OF FINANCING; III) A PS.419.5 MILLION INCREASE IN INCOME TAXES; IV) A
PS.1,021.6 MILLION LOSS EFFECT IN ACCOUNTING CHANGE; AND V) A PS.359.1 MILLION
INCREASE IN MINORITY INTEREST.
PRO FORMA RESULTS BY BUSINESS SEGMENTS
THE FOLLOWING UNAUDITED FOURTH QUARTER AND FULL YEAR PRO FORMA INFORMATION GIVES
EFFECT TO THE CONSOLIDATION OF SKY MEXICO INTO OUR FINANCIAL STATEMENTS AND THE
SALES AND COSTS OF GOODS SOLD RECOGNITION IN OUR PUBLISHING DISTRIBUTION
SEGMENT, AND ASSUMES THAT BOTH OCCURRED AT THE BEGINNING OF EACH PERIOD
PRESENTED.
TELEVISION BROADCASTING
FOURTH QUARTER SALES INCREASED 4.7% (PS.5,282.9 MILLION AND PS.5,046.7 MILLION
FOR THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES
INCREASED 5.7% TO PS.17,102 MILLION IN 2004 FROM PS.16,185.7 MILLION REPORTED IN
2003. THE ANNUAL INCREASE WAS MAINLY ATTRIBUTABLE TO THREE FACTORS: I) AN
INCREASE IN ADVERTISING REVENUES, DRIVEN MAINLY BY STRONGER ECONOMIC ACTIVITY IN
MEXICO; II) THE BROADCAST OF THE OLYMPIC GAMES AND OTHER MAJOR SPORTING EVENTS;
AND III) AN INCREASE OF 9.8% IN LOCAL SALES, DRIVEN MAINLY BY CHANNEL 4 TV.
EXCLUDING THE POLITICAL ADVERTISING SOLD DURING 2003, SALES INCREASED 10.4%.
FOURTH QUARTER OIBDA INCREASED 11.2% (PS.2,473.4 MILLION AND PS.2,224.6 MILLION
FOR THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN REACHED
46.8%. FULL YEAR OIBDA INCREASED 12.8% TO PS.7,760.2 MILLION IN 2004 FROM
PS.6,879.7 MILLION REPORTED IN 2003, AND OIBDA MARGIN EXPANDED TO 45.4%,
REFLECTING HIGHER SALES AND A MARGINAL INCREASE OF 0.5% IN COSTS OF SALES
COMBINED WITH FLAT OPERATING EXPENSES.
PAY TELEVISION NETWORKS
PAY TELEVISION NETWORKS WAS PREVIOUSLY STATED AS "PROGRAMMING FOR PAY
TELEVISION".
FOURTH QUARTER SALES INCREASED 6.3% (PS.211.7 MILLION AND PS.199.1 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES INCREASED
8.8% TO PS.800.8 MILLION IN 2004 FROM PS.736.0 MILLION REPORTED IN 2003. THE
ANNUAL INCREASE REFLECTS HIGHER ADVERTISING REVENUES AND SIGNALS SOLD IN MEXICO,
AS WELL AS HIGHER SIGNALS SOLD IN LATIN AMERICA. THESE INCREASES WERE PARTIALLY
OFFSET BY LOWER SIGNALS SOLD IN SPAIN.
FOURTH QUARTER OIBDA ROSE 126.2% (PS.78.5 MILLION AND PS.34.7 MILLION FOR THE
FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN REACHED 37.1%.
FULL YEAR OIBDA INCREASED 83.9% TO PS.298.5 MILLION IN 2004 FROM PS.162.3
MILLION REPORTED IN 2003, AND OIBDA MARGIN EXPANDED TO 37.3%. THE ANNUAL
INCREASE WAS DUE TO: I) HIGHER SALES; II) LOWER COST OF SALES PRIMARILY
REFLECTING A DECREASE IN PROGRAMMING COSTS; AND III) LOWER OPERATING EXPENSES
REFLECTING A DECREASE IN SALES COMMISSIONS AND A REDUCTION OF DOUBTFUL TRADE
ACCOUNTS THAT WERE PARTIALLY OFFSET BY HIGHER ADVERTISING AND PROMOTION
EXPENSES.
PROGRAMMING EXPORTS
PROGRAMMING EXPORTS WAS PREVIOUSLY STATED AS "PROGRAMMING LICENSING".
FOURTH QUARTER SALES INCREASED 24.3% (PS.491.5 MILLION AND PS.395.3 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES INCREASED
11.8% TO PS.1,917.3 MILLION IN 2004 FROM PS.1,714.8 MILLION REPORTED IN 2003.
THE ANNUAL INCREASE WAS ATTRIBUTABLE TO A 9.3% INCREASE IN ROYALTIES PAID TO THE
COMPANY BY UNIVISION UNDER THE UNIVISION PROGRAM LICENSE AGREEMENT, WHICH
AMOUNTED TO U.S.$105 MILLION IN 2004 COMPARED WITH U.S.$96.1 MILLION REPORTED IN
2003, AS WELL AS HIGHER EXPORT SALES TO LATIN AMERICA. THESE INCREASES WERE
PARTIALLY OFFSET BY A TRANSLATION EFFECT ON FOREIGN-CURRENCY DENOMINATED SALES,
WHICH AMOUNTED TO PS.9.3 MILLION, AND BY LOWER EXPORTS SALES TO EUROPE, ASIA AND
AFRICA.
FOURTH QUARTER OIBDA ROSE 169% (PS.198.0 MILLION AND PS.73.6 MILLION FOR THE
FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN REACHED 40.3%.
FULL YEAR OIBDA INCREASED 39.7% TO PS.731.7 MILLION IN 2004 FROM PS.523.9
MILLION REPORTED IN 2003, AND OIBDA MARGIN EXPANDED TO 38.2%. THIS ANNUAL
INCREASE WAS DUE TO HIGHER SALES, AS WELL AS A MARGINAL DECREASE IN COST OF
SALES, AND LOWER OPERATING EXPENSES DUE TO A LOWER PROVISION FOR DOUBTFUL TRADE
ACCOUNTS.
PUBLISHING
FOURTH QUARTER SALES INCREASED 13.3% (PS.639.4 MILLION AND PS.564.5 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES INCREASED
11.3% TO PS.2,093.4 MILLION IN 2004 FROM PS.1,880.6 MILLION REPORTED IN 2003.
THE ANNUAL INCREASE WAS ATTRIBUTABLE TO AN INCREASE IN ADVERTISING PAGES SOLD IN
MEXICO AND ABROAD, AS WELL AS HIGHER CIRCULATION OF MAGAZINES SOLD ABROAD. THESE
INCREASES WERE PARTIALLY OFFSET BY A NEGATIVE TRANSLATION EFFECT ON
FOREIGN-CURRENCY DENOMINATED SALES, WHICH AMOUNTED TO PS.36.2 MILLION.
FOURTH QUARTER OIBDA ROSE 26.4% (PS.156.5 MILLION AND PS.123.8 MILLION FOR THE
FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN REACHED 24.5%.
FULL YEAR OIBDA INCREASED 16.6% TO PS.424.7 MILLION IN 2004 FROM PS.364.1
REPORTED IN 2003, AND OIBDA MARGIN EXPANDED TO 20.3%. THIS ANNUAL INCREASE WAS
DUE TO HIGHER SALES, WHICH WERE PARTIALLY OFFSET BY AN INCREASE IN COST OF SALES
DUE TO HIGHER PAPER AND PRINTING COSTS, AS WELL AS AN INCREASE IN OPERATING
EXPENSES.
PUBLISHING DISTRIBUTION
WE AMENDED THE TERMS AND CONDITIONS OF OUR AGREEMENTS WITH OUR PUBLISHERS. AS A
RESULT, WE ARE CHANGING THE WAY IN WHICH WE ACCOUNT FOR SALES AND COST OF SALES
IN OUR PUBLISHING DISTRIBUTION BUSINESS. EFFECTIVE OCTOBER 1, 2004, WE
RECOGNIZED THE MARGINAL CONTRIBUTION GENERATED BY THE PRODUCTS WE DISTRIBUTE AS
SALES. WE HAD FORMERLY RECOGNIZED SALES AND COST OF GOODS SOLD SEPARATELY. THIS
CHANGE DOES NOT AFFECT OUR OIBDA RESULTS.
FOURTH QUARTER SALES DECREASED 2.7% (PS.99.1 MILLION AND PS.101.8 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND FOR THE FULL YEAR SALES
INCREASED 3.7% TO PS.368.7 MILLION IN 2004 FROM PS.355.6 MILLION REPORTED IN
2003. THE ANNUAL INCREASE WAS DRIVEN BY HIGHER DISTRIBUTION SALES ABROAD AND
HIGHER REVENUES FROM MAGAZINES PUBLISHED BY THE COMPANY AND SOLD IN MEXICO AND
ABROAD, WHICH WERE PARTIALLY OFFSET BY A NEGATIVE TRANSLATION EFFECT ON
FOREIGN-CURRENCY DENOMINATED SALES, WHICH AMOUNTED TO PS.10.4 MILLION, AS WELL
AS LOWER SALES OF MAGAZINES PUBLISHED BY THIRD PARTIES AND SOLD IN MEXICO. HAD
THE ACCOUNTING CHANGE NOT TAKEN EFFECT, FOURTH QUARTER AND FULL YEAR SALES WOULD
HAVE INCREASED 2.6% AND 11.5%, RESPECTIVELY.
FOURTH QUARTER OPERATING RESULTS BEFORE DEPRECIATION AND AMORTIZATION DECREASED
TO A LOSS OF PS.12.4 MILLION FROM AN OIBDA OF PS.2.9 MILLION REPORTED IN THE
FOURTH QUARTER OF 2003. FULL YEAR OPERATING RESULT BEFORE DEPRECIATION AND
AMORTIZATION DECREASED TO A LOSS OF PS.25.4 MILLION FROM AN OIBDA OF PS.9.1
MILLION REPORTED LAST YEAR. THIS ANNUAL DECREASE RESULTED FROM THE HIGHER COST
OF SALES AND OPERATING EXPENSES, WHICH WERE PARTIALLY OFFSET BY HIGHER SALES.
SKY MEXICO
FOURTH QUARTER SALES INCREASED 17.9% (PS.1,239.1 MILLION AND PS.1,051.0 MILLION
FOR THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES
INCREASED 18.7% TO PS.4,769 MILLION IN 2004 FROM PS.4,019.1 MILLION REPORTED IN
2003. THE ANNUAL INCREASE WAS DRIVEN BY: I) A 17% INCREASE IN THE SUBSCRIBER
BASE WHICH REACHED 1,002,500 GROSS ACTIVE SUBSCRIBERS (INCLUDING 60,700
COMMERCIAL SUBSCRIBERS) AS OF DECEMBER 31, 2004 COMPARED WITH 856,600 GROSS
ACTIVE SUBSCRIBERS (INCLUDING 48,500 COMMERCIAL SUBSCRIBERS) AS OF DECEMBER 31,
2003; II) THE ELIMINATION OF THE EXCISE TAX ON TELECOMMUNICATIONS SERVICES; AND
III) ADDITIONAL PAY-PER-VIEW REVENUES.
FOURTH QUARTER OIBDA ROSE 39% (PS.467.9 MILLION AND PS.336.6 MILLION FOR THE
FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN REACHED 37.8%.
FULL YEAR OIBDA INCREASED 38.8% TO PS.1,739.4 MILLION IN 2004 FROM PS.1,253.4
MILLION REPORTED IN 2003, AND OIBDA MARGIN EXPANDED TO 36.5%. THIS ANNUAL
INCREASE WAS DUE TO HIGHER SALES THAT WERE PARTIALLY OFFSET BY THE HIGHER COST
OF SALES AND OPERATING EXPENSES.
CABLE TELEVISION
FOURTH QUARTER SALES INCREASED 10.5% (PS.294.7 MILLION AND PS.266.7 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES GREW 8.7% TO
PS.1,127.9 MILLION IN 2004 FROM PS.1,037.7 MILLION REPORTED IN 2003. THE ANNUAL
SALES INCREASE REFLECTS THE ELIMINATION OF THE EXCISE TAX ON TELECOMMUNICATIONS
SERVICES, AS WELL AS BOTH HIGHER ADVERTISING REVENUES AND BROADBAND SUBSCRIPTION
FEES. BROADBAND SUBSCRIBERS INCREASED TO 26,400 IN THE FOURTH QUARTER OF 2004
COMPARED WITH 8,600 IN THE FOURTH QUARTER OF 2003. THESE INCREASES WERE
PARTIALLY OFFSET BY A 2.6% DECREASE IN THE SUBSCRIBER BASE WHICH, AS OF THE
FOURTH QUARTER, TOTALED 355,000 SUBSCRIBERS (INCLUDING 123,000 DIGITAL
SUBSCRIBERS) COMPARED WITH LAST YEAR'S BASE OF 364,400 SUBSCRIBERS (INCLUDING
60,300 DIGITAL SUBSCRIBERS).
FOURTH QUARTER OIBDA ROSE 5.1% (PS.93.2 MILLION AND PS.88.7 MILLION FOR THE
FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN DECREASED TO
31.6% FROM 33.3% REPORTED IN THE FOURTH QUARTER OF 2003. FULL YEAR OIBDA
INCREASED 12.5% TO PS.356.6 MILLION IN 2004 FROM PS.317.1 MILLION REPORTED IN
2003, AND OIBDA MARGIN EXPANDED TO 31.6% FROM 30.6% IN THE PRIOR YEAR. THIS
ANNUAL INCREASE WAS DUE TO HIGHER SALES, WHICH WERE PARTIALLY OFFSET BY THE
HIGHER COST OF SALES AND OPERATING EXPENSES.
RADIO
FOURTH QUARTER SALES INCREASED 25.4% (PS.93.7 MILLION AND PS.74.7 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES INCREASED
12.8% TO PS.295.8 MILLION IN 2004 FROM PS.262.2 MILLION REPORTED IN 2003, MAINLY
DUE TO HIGHER ADVERTISING TIME SOLD IN OUR NEWSCASTS AND SPORTING EVENTS
PROGRAMS.
FOURTH QUARTER OIBDA ROSE 77% (PS.20.0 MILLION AND PS.11.3 MILLION FOR THE
FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY), AND OIBDA MARGIN REACHED 21.3%.
FULL YEAR OIBDA INCREASED 33.8% TO PS.31.7 MILLION IN 2004 FROM PS.23.7 MILLION
REPORTED IN 2003, AND OIBDA MARGIN EXPANDED TO 10.7%. THIS ANNUAL INCREASE WAS
DUE TO HIGHER SALES THAT WERE PARTIALLY OFFSET BY AN INCREASE IN COST OF SALES
AND OPERATING EXPENSES RELATED TO HIGHER PROGRAMMING COSTS.
OTHER BUSINESSES
FOURTH QUARTER SALES DECREASED 3.8% (PS.284.8 MILLION AND PS.296.1 MILLION FOR
THE FOURTH QUARTER OF 2004 AND 2003, RESPECTIVELY). FULL YEAR SALES INCREASED
18.3% TO PS.1,353.8 MILLION IN 2004 FROM PS.1,143.9 MILLION REPORTED IN 2003,
MAINLY DUE TO HIGHER SALES IN THE FEATURE FILM DISTRIBUTION BUSINESS AND
INTERNET PORTAL BUSINESSES RESULTING FROM HIGHER SALES RELATED TO THE SMS
MESSAGING SERVICE. THESE INCREASES WERE PARTIALLY OFFSET BY LOWER SALES IN THE
SPORTING BUSINESS.
FOURTH QUARTER OPERATING LOSS BEFORE DEPRECIATION AND AMORTIZATION DECREASED TO
PS.42.4 MILLION FROM PS.92.4 MILLION REPORTED IN THE FOURTH QUARTER OF 2003.
FULL YEAR OPERATING LOSS BEFORE DEPRECIATION AND AMORTIZATION DECREASED TO
PS.154.7 MILLION COMPARED WITH PS.230.3 MILLION REPORTED LAST YEAR. THE ANNUAL
FAVORABLE VARIANCE REFLECTS HIGHER SALES AND LOWER OPERATING EXPENSES, WHICH
WERE PARTIALLY OFFSET BY HIGHER COST OF SALES.
INTERSEGMENT SALES
INTERSEGMENT SALES FOR 2004 AND 2003, AMOUNTED TO PS.862.3 MILLION AND PS.810.5
MILLION, RESPECTIVELY.
CORPORATE EXPENSES
CORPORATE EXPENSES FOR 2004 AND 2003, AMOUNTED TO PS.156.0 MILLION AND PS.157.1
MILLION, RESPECTIVELY.
DISPOSED OPERATIONS
THE RESULTS OF OPERATIONS OF THE COMPANY'S NATIONWIDE PAGING AND DUBBING
BUSINESSES ARE PRESENTED AS DISPOSED OPERATIONS IN 2004 AND 2003.
SALES OF DISPOSED OPERATIONS IN 2004 AMOUNTED TO PS.143.7 MILLION AS COMPARED TO
PS.288 MILLION IN 2003.
OIBDA OF DISPOSED OPERATIONS AMOUNTED TO PS.26.9 MILLION IN 2004 AS COMPARED TO
PS.71.6 MILLION IN 2003.
NON-OPERATING RESULTS
INTEGRAL COST OF FINANCING
THE EXPENSE ATTRIBUTABLE TO INTEGRAL COST OF FINANCING INCREASED BY PS.869.8
MILLION TO PS.1,516.2 MILLION IN THE YEAR ENDED DECEMBER 31, 2004, FROM PS.646.4
MILLION IN THE YEAR ENDED DECEMBER 31, 2003. THIS INCREASE REFLECTS: I) A
PS.648.2 MILLION INCREASE IN INTEREST EXPENSE, PRIMARILY AS A RESULT OF AN
INCREASE IN THE AVERAGE AMOUNT OF DEBT, RESULTING FROM THE CONSOLIDATION OF SKY
MEXICO'S DEBT BEGINNING THE SECOND QUARTER OF 2004; II) AN UNFAVORABLE PS.295.5
MILLION CHANGE RESULTING FROM A NET FOREIGN EXCHANGE LOSS COMPARED TO A NET
FOREIGN EXCHANGE GAIN, PRIMARILY IN CONNECTION WITH A NEGATIVE HEDGE EFFECT IN
2004 THAT AROSE FROM A 0.68% APPRECIATION OF THE MEXICAN PESO AGAINST THE U.S.
DOLLAR DURING THE YEAR ENDED DECEMBER 31, 2004; THIS COMPARES TO A FAVORABLE
HEDGE EFFECT IN 2003 RESULTING FROM A 7.27% DEPRECIATION OF THE MEXICAN PESO
AGAINST THE U.S. DOLLAR DURING THE YEAR ENDED DECEMBER 31, 2003; AND III) A
PS.27.1 MILLION DECREASE IN INTEREST INCOME, REFLECTING SKY MEXICO'S
CAPITALIZATION IN SEPTEMBER 2003 OF ALL AMOUNTS DUE TO US IN CONNECTION WITH
CERTAIN FINANCING PROVIDED FOR THIS JOINT VENTURE, WHICH WAS PARTIALLY OFFSET BY
AN INCREASE IN INTEREST INCOME IN CONNECTION WITH A HIGHER AVERAGE AMOUNT OF
TEMPORARY INVESTMENTS DURING 2004. THESE UNFAVORABLE VARIANCES WERE OFFSET BY A
FAVORABLE PS.101.0 MILLION CHANGE RESULTING FROM A GAIN FROM MONETARY POSITION
COMPARED TO A LOSS FROM MONETARY POSITION, PRIMARILY AS A RESULT OF A HIGHER NET
LIABILITY MONETARY POSITION, AS WELL AS A HIGHER INFLATION IN 2004 (5.19%)
COMPARED WITH 2003 (3.98%).
RESTRUCTURING AND NON-RECURRING CHARGES
RESTRUCTURING AND NON-RECURRING CHARGES DECREASED BY PS.296.2 MILLION, OR 42.8%,
TO PS.395.2 MILLION IN 2004 COMPARED TO PS.691.4 MILLION IN 2003. THIS DECREASE
PRIMARILY REFLECTS CERTAIN NON-RECURRING CHARGES RECOGNIZED BY US IN 2003 IN
CONNECTION WITH THE PAYMENT OF SALARY BENEFITS TO UNION EMPLOYEES AND AN
ESTIMATE FOR THE DISPOSAL OF LONG-LIVED ASSETS AND ASSOCIATED COSTS RELATED TO
OUR NATIONWIDE PAGING BUSINESS, AS WELL AS A REDUCTION IN RESTRUCTURING CHARGES
IN CONNECTION WITH WORK FORCE REDUCTIONS. THESE DECREASES WERE PARTIALLY OFFSET
BY NON-RECURRING CHARGES TAKEN IN THE FOURTH QUARTER OF 2004 RESULTING FROM
IMPAIRMENT ADJUSTMENTS MADE TO THE CARRYING VALUE RECOGNIZED PRIMARILY IN OUR
PUBLISHING DISTRIBUTION BUSINESS.
OTHER EXPENSE-NET
OTHER EXPENSE DECREASED BY PS.56.5 MILLION, OR 9.9%, TO PS.515 MILLION IN 2004,
AS COMPARED WITH PS.571.5 MILLION IN 2003. THIS DECREASE PRIMARILY REFLECTS A
REDUCTION IN THE AMORTIZATION OF GOODWILL AS WE CEASED AMORTIZING THIS
INTANGIBLE ASSET BEGINNING JANUARY 1, 2004 WITH THE ADOPTION OF MEXICAN GAAP
BULLETIN B-7 RELATED TO BUSINESS ACQUISITIONS, AS WELL AS A REDUCTION IN THE
LOSS OF DISPOSITION OF FIXED ASSETS. THESE DECREASES WERE PARTIALLY OFFSET BY A
LOSS ON DISPOSITION OF OUR 30% INTEREST IN A TELEVISION PROGRAMMING PRODUCTION
COMPANY IN SPAIN IN THE SECOND QUARTER OF 2004 COMPARED TO A GAIN ON DISPOSITION
OF OUR REMAINING MINORITY INTEREST IN A DTH VENTURE IN SPAIN DURING 2003.
INCOME TAXES
INCOME TAXES INCREASED BY PS.419.5 MILLION, OR 55.4%, TO PS.1,176.3 MILLION IN
THE YEAR ENDED DECEMBER 31, 2004 FROM PS.756.8 MILLION IN THE YEAR ENDED
DECEMBER 31, 2003. THIS INCREASE PRIMARILY REFLECTS A HIGHER INCOME TAX BASE IN
2004.
EQUITY IN RESULTS OF AFFILIATES - NET
EQUITY IN INCOME OF AFFILIATES INCREASED BY PS.585.2 MILLION TO PS.615 MILLION
IN 2004 COMPARED TO PS.29.8 MILLION IN 2003. THIS INCREASE PRIMARILY REFLECTS
THE ABSENCE OF EQUITY LOSS OF SKY MEXICO IN THE YEAR 2004, A REDUCTION IN OUR
EQUITY LOSS OF DTH TECHCO PARTNERS, AS WELL AS AN INCREASE IN OUR EQUITY INCOME
OF UNIVISION.
MINORITY INTEREST
MINORITY INTEREST INCREASED BY PS.359.1 MILLION TO A CHARGE OF PS.231.8 MILLION
IN 2004 FROM A BENEFIT OF PS.127.3 MILLION IN 2003. THIS INCREASE PRIMARILY
REFLECTS THE PORTION OF NET INCOME ATTRIBUTABLE TO THE INTEREST HELD BY THIRD
PARTIES IN THE SKY MEXICO BUSINESS BEGINNING THE SECOND QUARTER OF 2004.
OTHER RELEVANT INFORMATION
CAPITAL EXPENDITURES, ACQUISITIONS AND INVESTMENTS
IN 2004, THE COMPANY INVESTED APPROXIMATELY U.S.$174.6 MILLION IN PROPERTY,
PLANT AND EQUIPMENT AS CAPITAL EXPENDITURES, OF WHICH APPROXIMATELY U.S.$35.1
MILLION WAS RELATED TO OUR CABLE TELEVISION SEGMENT AND U.S.$57.6 MILLION TO SKY
MEXICO (FOR THE NINE MONTHS ENDED DECEMBER 31, 2004). IN ADDITION, THE COMPANY
CONTRIBUTED APPROXIMATELY U.S.$11.6 MILLION TO OUR LATIN AMERICAN DTH JOINT
VENTURES.
DEBT
AS OF DECEMBER 31, 2004, OUR CONSOLIDATED LONG-TERM PORTION OF DEBT AMOUNTED TO
PS.18,943.8 MILLION, INCLUDING PS.4,356.7 MILLION FROM SKY MEXICO, AND OUR
CONSOLIDATED CURRENT PORTION OF DEBT WAS PS.3,297.1 MILLION. ADDITIONALLY, AS OF
DECEMBER 31, 2004, SKY MEXICO HAD LONG-TERM AND CURRENT PORTIONS OF A CAPITAL
LEASE OBLIGATION IN AN AGGREGATE AMOUNT OF PS.1,324.6 MILLION AND PS.70.7
MILLION, RESPECTIVELY. AS OF DECEMBER 31, 2003, OUR CONSOLIDATED LONG-TERM
PORTION OF DEBT AMOUNTED TO PS.15,467.5 MILLION, AND OUR CONSOLIDATED CURRENT
PORTION OF DEBT WAS PS.300.0 MILLION.
EXCLUDING SKY MEXICO, AS OF DECEMBER 31, 2004, OUR CONSOLIDATED NET DEBT
AMOUNTED TO PS.1,958.5 MILLION WHICH COMPARES TO A CONSOLIDATED NET DEBT OF
PS.2,867.4 MILLION IN 2003.
IN OCTOBER 2004, WE OBTAINED A COMMITTED CREDIT FACILITY FOR A SEVEN AND A
HALF-YEAR LOAN WITH A MEXICAN BANK FOR AN AGGREGATE PRINCIPAL AMOUNT OF PS.2,000
MILLION. NET PROCEEDS WILL BE USED TO REFINANCE OUR U.S.$200 MILLION BOND DUE IN
AUGUST 2005.
ON JANUARY 31, 2005 STANDARD & POOR'S ("S&P") RAISED TELEVISA'S LONG-TERM
FOREIGN CURRENCY CORPORATE CREDIT RATING TO "BBB" FROM "BBB-" FOLLOWING THE SAME
ACTION TAKEN TO INCREASE THE FOREIGN CURRENCY RATING ON THE UNITED MEXICAN
STATES DEBT. S&P ALSO RAISED THE FOREIGN CURRENCY SENIOR UNSECURED NOTES RATING
TO "BBB" FROM "BBB-" AND AFFIRMED ITS "BBB" LOCAL CURRENCY CORPORATE CREDIT
RATING ON THE COMPANY. THE OUTLOOK FOR THE LONG-TERM RATINGS IS STABLE.
SHARE BUYBACK PROGRAM
IN 2004, THE COMPANY REPURCHASED APPROXIMATELY 1,812.6 MILLION SHARES IN THE
FORM OF 15.5 MILLION CPOS FOR PS.377.1 MILLION IN NOMINAL TERMS.
DIVIDEND PAYMENT
IN 2004, THE COMPANY PAID A PS.3,850 MILLION CASH DIVIDEND TO SHAREHOLDERS,
EQUIVALENT TO PS.1.219 PER CPO. IN 2005, OUR BOARD OF DIRECTORS AGREED TO SUBMIT
TO THE SHAREHOLDERS MEETING A PROPOSAL TO PAY AN EXTRAORDINARY DIVIDEND OF PS.1
PER CPO, IN ADDITION TO OUR ORDINARY DIVIDEND OF PS.0.35 PER CPO, FOR A TOTAL OF
PS.1.35 PER CPO. THE TOTAL AMOUNT OF THE DIVIDEND IS APPROXIMATELY PS.4,250
MILLION, AND IF APPROVED BY THE SHAREHOLDERS MEETING WOULD BE PAID DURING THE
SECOND QUARTER OF 2005. THIS REPRESENTS A 10% INCREASE OVER LAST YEAR'S DIVIDEND
AND IS EQUIVALENT TO A DIVIDEND YIELD OF 3.8% BASED ON TODAY'S CLOSING PRICE.
ADVERTISING SALES PLAN
AS OF DECEMBER 31, 2004, WE HAD RECEIVED AGGREGATE UPFRONT ADVERTISING DEPOSITS
FOR TELEVISION ADVERTISING OF APPROXIMATELY PS.13,615.3 MILLION IN NOMINAL
TERMS, REPRESENTING A 4.3% INCREASE IN REAL TERMS, AS COMPARED WITH THE PRIOR
YEAR. APPROXIMATELY 60.9% OF THE ADVANCE DEPOSITS AS OF DECEMBER 31, 2004 WERE
IN THE FORM OF SHORT-TERM, NON-INTEREST BEARING NOTES RECEIVABLE THE FOLLOWING
YEAR, WITH THE REMAINDER CONSISTING OF CASH DEPOSITS. THE WEIGHTED AVERAGE
MATURITY OF THESE NOTES WAS 3.5 MONTHS.
TELEVISION RATINGS AND AUDIENCE SHARE
NATIONAL URBAN RATINGS AND AUDIENCE SHARE REPORTED BY IBOPE CONFIRM THAT IN 2004
TELEVISA CONTINUED TO DELIVER STRONG RATINGS AND AUDIENCE SHARES. DURING WEEKDAY
PRIME TIME (19:00 TO 23:00 - MONDAY TO FRIDAY) THE AUDIENCE SHARE AMOUNTED TO
69.6%; IN PRIME TIME (16:00 TO 23:00 - MONDAY TO SUNDAY) THE AUDIENCE SHARE
AMOUNTED TO 68.9%; AND IN A SIGN-ON TO SIGN-OFF BASIS (6:00 TO 24:00 - MONDAY TO
SUNDAY) THE AUDIENCE SHARE AMOUNTED TO 71.3%. IN ADDITION, WE AIRED 91 OF THE
TOP 100 PROGRAMS IN THE COUNTRY INCLUDING THE TOP 20.
OUTLOOK FOR 2005
WE EXPECT OUR TELEVISION BROADCASTING REVENUE TO INCREASE 4 TO 4.5% IN 2005. IN
ADDITION, WE WILL CONTINUE TO MAINTAIN COSTS AND EXPENSES BASICALLY FLAT.
THEREFORE, WE EXPECT OUR TELEVISION BROADCASTING OIBDA MARGIN TO REACH 47%.
HOWEVER, IT IS IMPORTANT TO MENTION THAT WE WILL FACE A TOUGH COMPARISON IN THE
FIRST QUARTER, GIVEN THE PRESENCE OF THE HOLY WEEK DURING THIS QUARTER AND THAT
FEBRUARY HAS ONE DAY LESS THAN LAST YEAR. WE EXPECT TELEVISION BROADCASTING
REVENUES TO BE FLAT IN THE FIRST QUARTER COMPARED WITH THE FIRST QUARTER OF
2004.
GRUPO TELEVISA, S.A. IS THE LARGEST MEDIA COMPANY IN THE SPANISH-SPEAKING WORLD,
AND A MAJOR PLAYER IN THE INTERNATIONAL ENTERTAINMENT BUSINESS. IT HAS INTERESTS
IN TELEVISION PRODUCTION AND BROADCASTING, PROGRAMMING FOR PAY TELEVISION,
INTERNATIONAL DISTRIBUTION OF TELEVISION PROGRAMMING, DIRECT-TO-HOME SATELLITE
SERVICES, PUBLISHING AND PUBLISHING DISTRIBUTION, CABLE TELEVISION, RADIO
PRODUCTION AND BROADCASTING, PROFESSIONAL SPORTS AND SHOW BUSINESS PROMOTIONS,
FEATURE FILM PRODUCTION AND DISTRIBUTION, AND THE OPERATION OF A HORIZONTAL
INTERNET PORTAL. GRUPO TELEVISA ALSO HAS AN UNCONSOLIDATED EQUITY STAKE IN
UNIVISION, THE LEADING SPANISH-LANGUAGE TELEVISION COMPANY IN THE UNITED STATES.
THIS ANNEX CONTAINS FORWARD-LOOKING STATEMENTS REGARDING THE COMPANY'S RESULTS
AND PROSPECTS. ACTUAL RESULTS COULD DIFFER MATERIALLY FROM THESE STATEMENTS. THE
FORWARD-LOOKING STATEMENTS IN THIS ANNEX SHOULD BE READ IN CONJUNCTION WITH THE
FACTORS DESCRIBED IN "ITEM 3. KEY INFORMATION - FORWARD-LOOKING STATEMENTS" IN
THE COMPANY'S ANNUAL REPORT ON FORM 20-F, WHICH, AMONG OTHERS, COULD CAUSE
ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN FORWARD-LOOKING
STATEMENTS MADE IN THIS ANNEX AND IN ORAL STATEMENTS MADE BY AUTHORIZED OFFICERS
OF THE COMPANY. READERS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON THESE
FORWARD-LOOKING STATEMENTS, WHICH SPEAK ONLY AS OF THEIR DATES. THE COMPANY
UNDERTAKES NO OBLIGATION TO PUBLICLY UPDATE OR REVISE ANY FORWARD-LOOKING
STATEMENTS, WHETHER AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE.
THE PRO FORMA INFORMATION IS PRESENTED FOR INFORMATIONAL PURPOSES ONLY AND DOES
NOT PURPORT TO REPRESENT WHAT OUR FINANCIAL POSITION OR RESULTS OF OPERATIONS
WOULD HAVE BEEN HAD THE CONSOLIDATION AND THE SALE AND COSTS OF GOODS SOLD
RECOGNITION BEEN REALIZED DURING THE SPECIFIED PERIODS. FURTHERMORE THE READER
SHOULD NOT RELY ON THE PRO FORMA INFORMATION AS AN INDICATION OF THE RESULTS OF
OPERATIONS OF FUTURE PERIODS.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
FINANCIAL STATEMENT NOTES (1)
ANNEX 2
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
GRUPO TELEVISA, S.A.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003
(IN THOUSANDS OF MEXICAN PESOS IN PURCHASING POWER AS
OF DECEMBER 31, 2004, EXCEPT PER SHARE, PER CPO AND PER UDI VALUES)
1. ACCOUNTING POLICIES:
THE CONDENSED FINANCIAL STATEMENTS OF GRUPO TELEVISA, S.A. (THE "COMPANY")
AND ITS CONSOLIDATED SUBSIDIARIES (COLLECTIVELY, THE "GROUP"), AS OF DECEMBER
31, 2004 AND 2003, AND FOR THE YEARS ENDED ON THOSE DATES, ARE UNAUDITED. IN THE
OPINION OF MANAGEMENT, ALL ADJUSTMENTS (CONSISTING PRINCIPALLY OF NORMAL
RECURRING ADJUSTMENTS) NECESSARY FOR A FAIR PRESENTATION OF THE CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS HAVE BEEN INCLUDED THEREIN.
FOR PURPOSES OF THESE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, CERTAIN
INFORMATION AND DISCLOSURES, NORMALLY INCLUDED IN FINANCIAL STATEMENTS PREPARED
IN ACCORDANCE WITH MEXICAN GENERALLY ACCEPTED ACCOUNTING PRINCIPLES ("MEXICAN
GAAP"), HAVE BEEN CONDENSED OR OMITTED. THESE CONDENSED CONSOLIDATED STATEMENTS
SHOULD BE READ IN CONJUNCTION WITH THE GROUP'S CONSOLIDATED AND AUDITED
FINANCIAL STATEMENTS AND NOTES THERETO FOR THE YEARS ENDED DECEMBER 31, 2003 AND
2002, WHICH INCLUDE, AMONG OTHER DISCLOSURES, THE GROUP'S MOST SIGNIFICANT
ACCOUNTING POLICIES, WHICH HAVE BEEN APPLIED ON A CONSISTENT BASIS FOR THE YEAR
ENDED DECEMBER 31, 2004, EXCEPT FOR THE MATTER DISCUSSED IN THE FOLLOWING
PARAGRAPH.
EFFECTIVE JANUARY 1, 2004, IN CONNECTION WITH THE ADOPTION OF MEXICAN GAAP
BULLETIN B-7, "BUSINESS ACQUISITIONS," GOODWILL IS DEEMED AN INTANGIBLE ASSET
WITH AN INDEFINITE USEFUL LIFE, AND ACCORDINGLY, THE GROUP NO LONGER AMORTIZES
GOODWILL EFFECTIVE FROM THAT DATE. BEFORE 2004, GOODWILL WAS AMORTIZED OVER A
PERIOD OF 20 YEARS.
BEGINNING APRIL 1, 2004, THE GROUP BEGAN TO INCLUDE IN ITS CONSOLIDATED
FINANCIAL STATEMENTS THE ASSETS, LIABILITIES AND RESULTS OF OPERATIONS OF
INNOVA, S. DE R.L. DE C.V. AND SUBSIDIARIES ("INNOVA" OR "SKY MEXICO"), A JOINT
VENTURE ENGAGED IN DIRECT-TO-HOME ("DTH") BROADCAST SATELLITE PAY TELEVISION IN
WHICH THE GROUP HAS A 60% INTEREST. INNOVA'S FINANCIALS ARE CONSOLIDATED IN
ACCORDANCE WITH THE GUIDELINES OF THE FINANCIAL ACCOUNTING STANDARDS BOARD
INTERPRETATION NO. 46 ("FIN 46"), "CONSOLIDATION OF VARIABLE INTEREST ENTITIES,"
WHICH WAS ADOPTED BY THE GROUP ON APRIL 1, 2004 (SEE NOTE 11).
2. PROPERTY, PLANT AND EQUIPMENT:
PROPERTY, PLANT AND EQUIPMENT AS OF DECEMBER 31, CONSISTED OF:
2004 2003
-------------------- ------------------
BUILDINGS Ps. 7,555,707 Ps. 7,532,458
BUILDING IMPROVEMENTS 1,664,567 1,719,478
TECHNICAL EQUIPMENT 15,547,973 11,991,044
FURNITURE AND FIXTURES 567,453 591,899
TRANSPORTATION EQUIPMENT 1,118,352 1,141,075
COMPUTER EQUIPMENT 1,154,406 963,800
-------------------- ------------------
27,608,458 23,939,754
ACCUMULATED DEPRECIATION (12,785,009) (11,892,933)
-------------------- ------------------
14,823,449 12,046,821
LAND 3,704,367 3,717,960
CONSTRUCTION AND PROJECTS IN PROGRESS 631,751 645,718
-------------------- ------------------
Ps. 19,159,567 Ps. 16,410,499
==================== ==================
DEPRECIATION CHARGED TO INCOME FOR THE YEARS ENDED DECEMBER 31, 2004 AND
2003, WAS PS.1,809,809 AND PS.1,347,953, RESPECTIVELY.
3. LONG-TERM DEBT SECURITIES:
AS OF DECEMBER 31, THE COMPANY'S LONG-TERM DEBT SECURITIES OUTSTANDING WERE
AS FOLLOWS:
2004 2003
-------------------------------- -----------------------------
U.S. DOLLAR U.S. DOLLAR
PRINCIPAL PRINCIPAL
AMOUNTS MEXICAN AMOUNTS MEXICAN
LONG-TERM DEBT SECURITIES (THOUSANDS) PESOS (THOUSANDS) PESOS
---------------------------------------- -------------- ---------------- ------------ ---------------
11.875% SERIES "B" SENIOR NOTES DUE
2006 (A) $ 5,343 Ps. 59,569 $ 5,343 Ps. 63,088
8.625% SENIOR NOTES DUE 2005 (B) 200,000 2,229,800 200,000 2,361,534
8.000% SENIOR NOTES DUE 2011 (C) 300,000 3,344,700 300,000 3,542,300
8.500% SENIOR NOTES DUE 2032 (D) 300,000 3,344,700 300,000 3,542,300
12.875% SENIOR NOTES DUE 2007 (E) 88,000 981,112 - -
9.375% SENIOR NOTES DUE 2013 (F) 300,000 3,344,700 - -
-------------- ---------------- ------------ ---------------
$ 1,193,343 13,304,581 $ 805,343 9,509,222
============== ============
UDI-DENOMINATED NOTES DUE 2007 (G) 3,838,729 3,829,263
---------------- ---------------
Ps. 17,143,310 Ps. 13,338,485
================ ===============
(A) INTEREST ON THE SERIES "B" SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS
PAYABLE IN RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 12.49% PER
ANNUM, AND IS PAYABLE SEMI-ANNUALLY. THESE SECURITIES ARE UNSECURED,
UNSUBORDINATED OBLIGATIONS OF THE COMPANY, RANK PARI PASSU IN RIGHT OF
PAYMENT WITH ALL EXISTING AND FUTURE UNSECURED, UNSUBORDINATED OBLIGATIONS
OF THE COMPANY, AND ARE SENIOR IN RIGHT OF PAYMENT TO ALL FUTURE
SUBORDINATED INDEBTEDNESS OF THE COMPANY, AND ARE EFFECTIVELY SUBORDINATED
TO ALL EXISTING AND FUTURE LIABILITIES OF THE COMPANY'S SUBSIDIARIES.
(B) INTEREST ON THESE SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS PAYABLE IN
RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 9.07% PER ANNUM, AND IS
PAYABLE SEMI-ANNUALLY.
(C) INTEREST ON THESE SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS PAYABLE IN
RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 8.41% PER ANNUM, AND IS
PAYABLE SEMI-ANNUALLY.
(D) INTEREST ON THESE SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS PAYABLE IN
RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 8.94% PER ANNUM, AND IS
PAYABLE SEMI-ANNUALLY.
(E) INTEREST ON THESE SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS PAYABLE IN
RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 13.54% PER ANNUM, AND IS
PAYABLE SEMI-ANNUALLY. THESE SECURITIES ARE UNCOLLATERALIZED,
UNSUBORDINATED OBLIGATIONS OF INNOVA AND CONTAIN CERTAIN COVENANTS RELATING
TO INNOVA SIMILAR TO THOSE OF THE SENIOR NOTES DUE 2013.
(F) INTEREST ON THESE SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS PAYABLE IN
RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 9.86% PER ANNUM, AND IS
PAYABLE SEMI-ANNUALLY. THESE SECURITIES ARE UNSECURED AND UNSUBORDINATED
OBLIGATIONS OF INNOVA AND CONTAIN CERTAIN COVENANTS RELATING TO INNOVA,
INCLUDING COVENANTS WITH RESPECT TO: (I) LIMITATIONS ON ADDITIONAL
INDEBTEDNESS; (II) LIMITATIONS ON LIENS; (III) LIMITATIONS ON SALES AND
LEASEBACKS; (IV) LIMITATIONS ON RESTRICTED PAYMENTS; (V) LIMITATIONS ON
ASSETS SALES; AND (VI) LIMITATIONS ON CERTAIN MERGERS, CONSOLIDATIONS AND
SIMILAR TRANSACTIONS. INNOVA MAY, AT ITS OWN OPTION, REDEEM THESE
SECURITIES, IN WHOLE OR IN PART, AT ANY TIME IN OR AFTER SEPTEMBER 2008 AT
REDEMTION PRICES (EXPRESSED IN PERCENTAGES OF THE PRINCIPAL AMOUNT), PLUS
ACCRUED AND UNPAID INTEREST, IF ANY, IN THE RANGE OF 104.6875% TO 100%.
ADDITIONALLY, IN OR BEFORE SEPTEMBER 2006, INNOVA MAY, AT ITS OWN OPTION
AND SUBJECT TO CERTAIN REQUIREMENTS, USE THE PROCEEDS FROM ONE OR MORE
QUALIFIED EQUITY OFFERING TO REDEEM UP TO 35% OF THE AGGREGATE PRINCIPAL
AMOUNT OF THESE SENIOR NOTES AT 109.375% OF THEIR PRINCIPAL AMOUNT, PLUS
ACCRUED AND UNPAID INTEREST.
(G) NOTES DENOMINATED IN MEXICAN INVESTMENT UNITS ("UNIDADES DE INVERSION" OR
"UDIS") FOR A NOMINAL AMOUNT OF PS.3,000,000, REPRESENTING 1,086,007,800
UDIS, WITH AN ANNUAL INTEREST RATE OF 8.15% AND MATURITY IN 2007. INTEREST
ON THESE NOTES IS PAYABLE SEMI-ANNUALLY. THE BALANCE AS OF DECEMBER 31,
2004 AND 2003 INCLUDES RESTAMENT OF PS.838,729 AND PS.673,539,
RESPECTIVELY. THE UDI VALUE AS OF DECEMBER 31, 2004, WAS OF PS. 3.534716
PER ONE UDI.
THE SENIOR NOTES DUE IN 2005, 2006, 2011 AND 2032 MAY NOT BE REDEEMED PRIOR
TO MATURITY, EXCEPT IN THE EVENT OF CERTAIN CHANGES IN LAW AFFECTING THE MEXICAN
WITHHOLDING TAX TREATMENT OF CERTAIN PAYMENTS ON THE SECURITIES, IN WHICH CASE
THE SECURITIES WILL BE REDEEMABLE, AS A WHOLE BUT NOT IN PART, AT THE OPTION OF
THE COMPANY.
THE SENIOR NOTES DUE IN 2005, 2011 AND 2032 ARE UNSECURED OBLIGATIONS OF
THE COMPANY, RANK EQUALLY IN RIGHT OF PAYMENT WITH ALL EXISTING AND FUTURE
UNSECURED AND UNSUBORDINATED INDEBTEDNESS OF THE COMPANY, AND ARE JUNIOR IN
RIGHT OF PAYMENT TO ALL OF THE EXISTING AND FUTURE LIABILITIES OF THE COMPANY'S
SUBSIDIARIES.
THE AGREEMENT OF THE SENIOR NOTES DUE 2005, 2011 AND 2032 CONTAINS CERTAIN
COVENANTS THAT LIMIT THE ABILITY OF THE COMPANY AND ITS RESTRICTED SUBSIDIARIES
ENGAGED IN TELEVISION BROADCASTING, PROGRAMMING FOR PAY TELEVISION AND
PROGRAMMING LICENSING, TO INCUR OR ASSUME LIENS, PERFORM SALE AND LEASEBACK
TRANSACTIONS, AND CONSUMMATE CERTAIN MERGERS, CONSOLIDATIONS AND SIMILAR
TRANSACTIONS. SUBSTANTIALLY ALL OF THE SENIOR NOTES DUE 2005, 2011 AND 2032 ARE
REGISTERED WITH THE U.S. SECURITIES AND EXCHANGE COMMISSION.
EFFECTIVE MARCH 1, 2002, THE GROUP DESIGNATED ITS NET INVESTMENT IN
UNIVISION AS AN EFFECTIVE HEDGE OF THE PRINCIPAL AMOUNT OF ITS SENIOR NOTES DUE
IN 2011 AND 2032. CONSEQUENTLY, BEGINNING MARCH 2002, ANY FOREIGN EXCHANGE GAIN
OR LOSS ATTRIBUTABLE TO THIS U.S. DOLLAR LONG-TERM DEBT IS CREDITED OR CHARGED
DIRECTLY TO EQUITY (OTHER COMPREHENSIVE INCOME OR LOSS) (SEE NOTE 7).
4. CONTINGENCIES:
PAYMENTS TO BE MADE BY CERTAIN MEXICAN COMPANIES IN THE GROUP TO EMPLOYEES
IN CASE OF DISMISSAL AND UNDER CERTAIN CIRCUMSTANCES PROVIDED BY THE MEXICAN
LABOR LAW WILL BE EXPENSED AS INCURRED.
IN JUNE 2003, THE COMPANY WAS NOTIFIED BY THE MEXICAN TAX AUTHORITY OF A
FEDERAL TAX CLAIM MADE AGAINST THE COMPANY FOR APPROXIMATELY PS.960,700,
INCLUDING PENALTIES AND SURCHARGES, FOR AN ALLEGED ASSETS TAX LIABILITY FOR THE
YEAR 1994. THE COMPANY BELIEVES IT HAS MERITORIOUS DEFENSE AGAINST THIS CLAIM.
THERE ARE VARIOUS LEGAL ACTIONS AND OTHER CLAIMS PENDING AGAINST THE GROUP
INCIDENTAL TO ITS BUSINESSES AND OPERATIONS. IN THE OPINION OF THE GROUP'S
MANAGEMENT, NONE OF THESE PROCEEDINGS WILL HAVE A MATERIAL ADVERSE EFFECT ON THE
GROUP'S FINANCIAL POSITION OR RESULTS OF OPERATIONS.
5. STOCKHOLDERS' EQUITY:
THE MAJORITY STOCKHOLDERS' EQUITY AS OF DECEMBER 31, IS ANALYZED AS
FOLLOWS:
2004 2003
----------------------------- ------------------------------
NOMINAL RESTATED NOMINAL RESTATED
PESOS PESOS PESOS PESOS
------------- --------------- --------------- --------------
CAPITAL STOCK ISSUED Ps. 2,524,174 Ps. 9,570,506 Ps. 1,618,060 Ps. 8,633,472
ADDITIONAL PAID-IN CAPITAL 3,841,792 4,076,581 3,841,792 4,076,581
LEGAL RESERVE 802,231 1,524,548 622,401 1,335,383
RESERVE FOR REPURCHASE OF SHARES 2,255,655 5,559,308 2,255,655 5,559,308
UNAPPROPRIATED EARNINGS 3,668,897 11,533,617 5,358,748 13,465,635
CUMULATIVE GAIN ON ISSUANCE OF SHARES OF
ASSOCIATES 3,475,741 3,815,685 3,464,006 3,803,950
CUMULATIVE EFFECT OF DEFERRED TAXES (2,197,681) (2,890,246) (2,197,681) (2,890,246)
COMPREHENSIVE LOSS -- (3,487,502) -- (3,273,678)
NET INCOME FOR THE PERIOD -- 4,316,743 3,596,603 3,783,295
SHARES REPURCHASED (5,760,937) (6,294,667) (5,847,503) (6,673,171)
--------------- --------------
EQUITY Ps. 27,724,573 Ps.27,820,529
=============== ==============
ON APRIL 16, 2004, THE SHAREHOLDERS OF THE COMPANY APPROVED A DIVIDEND
PAYMENT IN THE AMOUNT OF PS.3,850,000 (NOMINAL), WHICH WAS PAID IN CASH ON MAY
21 2004, AS FOLLOWS: A DIVIDEND OF PS.1.21982800845 PER CPO, AND A DIVIDEND OF
PS.0.40660933615 PER FORMER SERIES "A" SHARE (NOT IN THE FORM OF A CPO AND
BEFORE THE RECAPITALIZATION).
ON APRIL 16, 2004, THE SHAREHOLDERS OF THE COMPANY APROVED A RESTRUCTURING
OF THE COMPANY'S CAPITAL STOCK ("RECAPITALIZATION"), WHICH COMPRISES THE
FOLLOWING: (I) A STOCK SPLIT IN WHICH EACH OUTSTANDING SHARE WILL BE DIVIDED
INTO 25 SHARES OF THE SAME CLASS; (II) THE CREATION OF A NEW CLASS OF COMMON OR
ORDINARY SHARES, THE SERIES "B" SHARES; (III) A STOCK DIVIDEND IN THE AMOUNT OF
PS.906,114 (NOMINAL), IN THE COMPANY DISTRIBUTED TO HOLDERS OF OUTSTANDING
SHARES, 14 NEW SHARES (OF VARIOUS CLASSES DEPENDING ON THE CLASS HELD) FOR EVERY
25 SHARES OUTSTANDING AFTER THE STOCK SPLIT; AND (IV) AN INCREASE IN THE NUMBER
OF SHARES REPRESENTED BY EACH OUSTANDING CPO, FROM THREE SHARES TO 117 SHARES.
THE RECAPITALIZATION INCREASED THE NUMBER OF THE COMPANY'S SHARES BY A FACTOR OF
39 BUT DID NOT AFFECT THE COMPANY'S TOTAL EQUITY OR DILUTE THE EQUITY INTEREST
OF ANY SHAREHOLDER.
THE FOLLOWING TABLE SUMMARIZES THE EFFECT OF THE STOCK SPLIT AND THE STOCK
DIVIDEND ON A HOLDER OF ONE FORMER SHARE OF EACH CLASS OF THE COMPANY'S CAPITAL
STOCK:
SHARES BEFORE THE STOCK "SPLIT" DIVIDEND AFTER THE
RECAPITALIZATION (25 PER ONE SHARE) (14 PER 25 SHARES) RECAPITALIZATION
---------------------------------------------- ------------------------- ---------------------------- ---------------------------
"A" SERIES ONE "A" SHARE 25 "A" SHARES FOUR "B" SHARES 25 "A" SHARES
FIVE "D" SHARES FOUR "B" SHARES
FIVE "L" SHARES FIVE "D" SHARES
FIVE "L" SHARES
"D" SERIES ONE "D" SHARE 25 "D" SHARES NINE "B" SHARES NINE "B" SHARES
FIVE "D" SHARES 30 "D" SHARES
"L" SERIES ONE "L" SHARE 25 "L" SHARES NINE "B" SHARES NINE "B" SHARES
FIVE "L" SHARES 30 "L" SHARES
THE NUMBER OF SHARES DISCLOSED IN THESE NOTES REFLECTS THE RECAPITALIZATION
OF THE COMPANY'S CAPITAL STOCK, WHICH BECAME EFFECTIVE ON JULY 26, 2004, THROUGH
THE EXCHANGE OF OLD AND NEW SHARES.
IN THE FOURTH QUARTER OF 2004, THE COMPANY ISSUED 79,956,795 ADDITIONAL
CPOS BY COMBINING 1,998,919,875 SERIES "A" SHARES, 1,759,049,490 SERIES "B"
SHARES, 2,798,487,825 SERIES "D" SHARES, AND 2,798,487,825 SERIES "L" SHARES,
NOT IN THE FORM OF CPOS, AND ADQUIRED BY A COMPANY'S SUBSIDIARY ( EQUIVALENT TO
3,445,919 CPOS ) AND A COMPANY'S TRUST ( EQUIVALENT TO 76,510,876 CPOS ).
AS OF DECEMBER 31, 2004, THE NUMBER OF SHARES AUTHORIZED AND ISSUED,
REPURCHASED AND OUTSTANDING IS PRESENTED AS FOLLOWS:
AUTHORIZED
SHARES AND ISSUED REPURCHASED OUTSTANDING
---------------------- ------------------ ---------------- -----------------
SERIES "A" 124,736,244,175 10,127,858,935 114,608,385,240
SERIES "B" 60,269,682,796 5,980,064,337 54,289,618,459
SERIES "D" 92,133,721,715 5,763,932,389 86,369,789,326
SERIES "L" 92,133,721,715 5,763,932,389 86,369,789,326
------------------ ---------------- -----------------
369,273,370,401 27,635,788,050 341,637,582,351
================== ================ =================
CPOS 2,319,505,891 164,683,781 2,154,822,110
====================== ================== ================ =================
THE COMPANY'S SHARES REPURCHASED, AS WELL AS THEIR NET COST, AS OF DECEMBER
31, 2004, ARE PRESENTED AS A CHARGE TO STOCKHOLDERS' EQUITY AS FOLLOWS:
A, B, D, AND L SHARES
--------------------------------------------------------
IN THE FORM NOT IN THE
OF CPOS FORM OF CPOS TOTAL NET COST
-----------------------------------------------------------------------
REPURCHASE PROGRAM 1,812,634,200 - 1,812,634,200 (385,078)
OWNED BY A COMPANY'S SUBSIDIARY 8,503,595,685 537,563,559 9,041,159,244 (1,838,806)
ACQUIRED BY A COMPANY'S TRUST 8,951,772,492 7,830,222,114 16,781,994,606 (4,051,283)
ADVANCE FOR ACQUISITION OF SHARES - - - (22,522)
-----------------------------------------------------------------------
19,268,002,377 8,367,785,673 27,635,788,050 (6,297,689)
=======================================================================
IN CONNECTION WITH THE COMPANY'S PROGRAM FOR REPURCHASE OF SHARES, IN THE
YEAR ENDED DECEMBER 31, 2004, THE COMPANY REPURCHASED 1,813,102,200 SHARES IN
THE FORM OF 15,496,600 CPOS IN THE AMOUNT OF PS.390,106 (PS.376,618 NOMINAL),
AND RESOLD 468,000 SHARES IN THE FORM OF 4,000 CPOS IN THE AMOUNT OF PS.101.
IN THE YEAR ENDED DECEMBER 31, 2004, THE GROUP SOLD 4,975,807,356 SHARES,
IN THE FORM OF 42,528,268 CPOS, IN THE AMOUNT OF PS.586,088 (PS.566,854 NOMINAL)
IN CONNECTION WITH THE COMPANY'S STOCK OPTION PLAN.
6. REPURCHASE OF SHARES:
AS OF DECEMBER 31, 2004, THE COMPANY MAINTAINS A RESERVE FOR REPURCHASE OF
SHARES, WHICH WAS APPROVED BY THE SHAREHOLDERS OF THE COMPANY IN PRIOR YEARS BY
APPROPRIATING FROM ACCUMULATED EARNINGS THE AMOUNT OF PS.6,959,847. THIS RESERVE
WAS USED IN 1999, 2000 AND 2003 IN THE AMOUNT OF PS.286,165, PS.639,692 AND
PS.474,682, RESPECTIVELY, IN CONNECTION WITH THE REPURCHASE OF SHARES IN THOSE
YEARS.
IN ACCORDANCE WITH THE MEXICAN SECURITIES LAW, ANY AMOUNT OF SHARES
REPURCHASED AND HELD BY THE COMPANY SHOULD BE RECOGNIZED AS A CHARGE TO
STOCKHOLDERS' EQUITY, AND ANY CANCELLATION OF SHARES REPURCHASED SHOULD BE
RECOGNIZED AS A REDUCTION OF THE COMPANY'S CAPITAL STOCK ISSUED FOR AN AMOUNT
PROPORTIONATE TO THE SHARES CANCELLED.
7. INTEGRAL COST OF FINANCING:
INTEGRAL COST OF FINANCING FOR THE YEARS ENDED DECEMBER 31, CONSISTED OF:
2004 2003
--------------- ----------------
INTEREST EXPENSE (1) Ps. 2,095,384 Ps. 1,447,183
INTEREST INCOME (656,511) (683,626)
FOREIGN EXCHANGE LOSS (GAIN), NET (2) 92,109 (203,392)
LOSS (GAIN) FROM MONETARY POSITION (3) (14,824) 86,261
--------------- ----------------
Ps. 1,516,158 Ps. 646,426
=============== ================
(1) INCLUDES RESTATEMENT OF UDIS OF PS.172,109 AND PS.146,563 NET IN 2004 AND
2003, RESPECTIVELY.
(2) NET OF THE GAIN OF PS.42,643 IN 2004 AND OF PS.493,333 IN 2003 RESULTING
FROM THE FOREIGN EXCHANGE RESULT ATTRIBUTABLE TO CERTAIN LONG-TERM DEBT
SECURITIES WHICH ARE HEDGED BY THE GROUP'S NET INVESTMENT IN UNIVISION.
(3) THE GAIN OR LOSS FROM MONETARY POSITION REPRESENTS THE EFFECTS OF
INFLATION, AS MEASURED BY THE NPCI IN THE CASE OF MEXICAN COMPANIES, OR THE
GENERAL INFLATION INDEX OF EACH COUNTRY IN THE CASE OF FOREIGN
SUBSIDIARIES, ON THE MONETARY ASSETS AND LIABILITIES AT THE BEGINNING OF
EACH MONTH. INCLUDES MONETARY LOSS IN 2004 AND 2003 OF PS.181,743 AND
PS.142,683, RESPECTIVELY, ARISING FROM TEMPORARY DIFFERENCES OF
NON-MONETARY ITEMS IN CALCULATING DEFERRED INCOME TAX.
8. DEFERRED TAXES:
THE DEFERRED INCOME TAX LIABILITY AS OF DECEMBER 31, WAS DERIVED FROM:
2004 2003
--------------- ---------------
ASSETS:
ACCRUED LIABILITIES Ps. 655,936 Ps. 529,292
GOODWILL 853,023 876,447
TAX LOSS CARRYFORWARDS 996,397 901,285
ALLOWANCE FOR DOUBTFUL ACCOUNTS 414,232 371,958
CUSTOMER ADVANCES 1,504,999 1,528,369
--------------- ---------------
4,424,587 4,207,351
--------------- ---------------
LIABILITIES:
INVENTORIES (732,271) (1,333,103)
PROPERTY, PLANT AND EQUIPMENT - NET (1,238,913) (1,293,549)
OTHER ITEMS (1,342,223) (420,716)
INNOVA (1,568,519) (1,661,285)
--------------- ---------------
(4,881,926) (4,708,653)
--------------- ---------------
DEFERRED-INCOME TAX OF MEXICAN COMPANIES (457,339) (501,302)
DEFERRED TAX OF FOREIGN SUBSIDIARIES (301,537) (393,553)
ASSETS TAX 1,250,616 1,952,028
VALUATION ALLOWANCE (2,223,528) (2,364,941)
RECOVERABLE INCOME TAX FROM REPURCHASE OF SHARES 214,345 -
--------------- ---------------
DEFERRED INCOME TAX LIABILITY (1,517,443) (1,307,768)
EFFECT ON CHANGE OF INCOME TAX RATES 183,421 93,387
--------------- --------------
DEFERRED TAX LIABILITY OF CONTINUING OPERATIONS Ps. (1,334,022) Ps. (1,214,381)
=============== ===============
9. EXTRAORDINARY ITEMS:
NO EXTRAORDINARY ITEMS, AS DEFINED BY MEXICAN GAAP BULLETIN A-7
"COMPARABILITY", WERE RECOGNIZED IN INCOME FOR THE YEARS ENDED DECEMBER 31, 2004
AND 2003.
10. DISCONTINUED OPERATIONS:
NO DISCONTINUED OPERATIONS, AS DEFINED BY MEXICAN GAAP BULLETIN A-7
"COMPARABILITY", WERE RECOGNIZED IN INCOME FOR THE YEAR ENDED DECEMBER 31, 2004.
IN 2003, THE GROUP INCURRED IN ADDITIONAL COSTS AND EXPENSES RELATED TO THE
DISPOSAL OF ITS MUSIC RECORDING OPERATIONS IN THE AMOUNT OF PS.67,487, NET OF AN
INCOME TAX BENEFIT OF PS.31,758.
11. CUMULATIVE EFFECT OF ACCOUNTING CHANGES:
EFFECTIVE APRIL 1, 2004, THE GROUP ADOPTED THE GUIDELINES OF FIN 46,
"CONSOLIDATION OF VARIABLE INTEREST ENTITIES," AS PERMITTED BY MEXICAN GAAP
BULLETIN A-8, "SUPPLEMENTARY APPLICATION OF INTERNATIONAL ACCOUNTING STANDARDS."
FIN 46, WHICH BECAME EFFECTIVE IN 2004, ADDRESSES CONSOLIDATION BY BUSINESS
ENTERPRISES OF VARIABLE INTEREST ENTITIES, OR "VIES". UNDER PREVIOUS GUIDANCE, A
COMPANY GENERALLY INCLUDED ANOTHER ENTITY IN ITS CONSOLIDATED FINANCIAL
STATEMENTS ONLY IF IT CONTROLLED THE ENTITY THROUGH VOTING INTERESTS. FIN 46
REQUIRES A VARIABLE INTEREST ENTITY TO BE CONSOLIDATED BY A COMPANY IF THAT
COMPANY IS THE "PRIMARY BENEFICIARY" OF THE ENTITY. THE PRIMARY BENEFICIARY IS
SUBJECT TO A MAJORITY OF THE RISK OF LOSS FROM THE VIES ACTIVITIES, OR IS
ENTITLED TO RECEIVE A MAJORITY OF THE VIES RESIDUAL RETURN, OR BOTH. THE GROUP
IDENTIFIED INNOVA AS A VARIABLE INTEREST ENTITY, AND THE GROUP AS THE PRIMARY
BENEFICIARY OF THE INVESTMENT IN INNOVA, UNDER THE SCOPE OF FIN 46, AND
THEREFORE, BEGINNING APRIL 1, 2004, THE GROUP BEGAN TO INCLUDE IN ITS
CONSOLIDATED FINANCIAL STATEMENTS THE ASSETS, LIABILITIES AND RESULTS OF
OPERATIONS OF INNOVA. BEFORE ADOPTING FIN 46, THE GROUP ACCOUNTED FOR ITS
INVESTMENT IN INNOVA BY APPLYING THE EQUITY METHOD, AND RECOGNIZED EQUITY IN
LOSSES IN EXCESS OF ITS INVESTMENT UP TO THE AMOUNT OF THE GUARANTEES MADE BY
THE GROUP IN CONNECTION WITH CERTAIN CAPITAL LEASE OBLIGATIONS OF INNOVA.
AS A RESULT OF THIS ACCOUNTING CHANGE, THE GROUP RECOGNIZED AT APRIL 1,
2004, A CONSOLIDATED CUMULATIVE LOSS EFFECT OF PS.1,021,590, NET OF INCOME TAX
IN THE AMOUNT OF PS.309,094, IN ITS CONSOLIDATED STATEMENT OF INCOME FOR THE
YEAR ENDED DECEMBER 31, 2004, IN CONNECTION WITH INNOVA'S ACCUMULATED LOSSES NOT
RECOGNIZED BY THE GROUP IN 2001, 2002, 2003 AND THE FIRST QUARTER OF 2004.
NO CUMULATIVE EFFECT OF ACCOUNTING CHANGE WAS RECOGNIZED IN INCOME FOR THE
YEAR ENDED DECEMBER 31, 2003.
12. QUARTERLY NET RESULTS (HISTORICAL AND RESTATED):
THE QUARTERLY NET RESULTS FOR THE FOUR QUARTERS ENDED DECEMBER 31, 2004,
ARE AS FOLLOWS:
HISTORICAL NET RESULT (1) RESTATED NET RESULT
----------------------------------------- ----------------------------------------
INDEX AT END
QUARTER ACCUMULATED QUARTER OF PERIOD ACCUMULATED QUARTER
---------------------- --------------------- ------------------ ------------------ ---------------- ----------------------
1 / 04 Ps. 472,041 Ps. 472,041 108.672 Ps. 488,886 Ps. 488,886
2 / 04 933,883 461,560 108.737 966,631 477,745
3 / 04 2,387,396 1,437,496 110.602 2,429,443 1,462,813
4 / 04 4,316,743 1,887,299 112.550 4,316,743 1,887,299
(1) AS REPORTED IN EACH QUARTER.
13. INFORMATION BY SEGMENTS FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003,
WERE AS FOLLOWS:
TOTAL INTERSEGMENT CONSOLIDATED OPERATING
REVENUES REVENUES REVENUES INCOME (LOSS)
--------------- -------------- -------------- ---------------
2004:
TELEVISION BROADCASTING Ps. 17,101,942 Ps. 409,905 Ps. 16,692,037 Ps. 6,721,082
PROGRAMMING FOR PAY TELEVISION 800,784 112,141 688,643 277,743
PROGRAMMING LICENSING 1,917,307 - 1,917,307 724,530
PUBLISHING 2,093,365 4,979 2,088,386 401,227
PUBLISHING DISTRIBUTION 1,573,979 8,121 1,565,858 (48,341)
SKY MEXICO 3,636,946 42,994 3,593,952 771,690
CABLE TELEVISION 1,127,924 3,524 1,124,400 74,314
RADIO 295,766 49,353 246,413 12,843
OTHER BUSINESSES 1,497,520 100,263 1,397,257 (221,277)
ELIMINATIONS AND CORPORATE
EXPENSES (731,280) (731,280) - (155,975)
--------------- -------------- -------------- ---------------
CONSOLIDATED TOTAL Ps. 29,314,253 Ps. - Ps. 29,314,253 Ps. 8,557,836
=============== ============== ============== ===============
2003:
TELEVISION BROADCASTING Ps. 16,185,710 Ps. 73,751 Ps. 16,111,959 Ps. 5,908,637
PROGRAMMING FOR PAY TELEVISION 735,996 58,777 677,219 120,657
PROGRAMMING LICENSING 1,714,773 - 1,714,773 516,090
PUBLISHING 1,880,552 7,232 1,873,320 344,225
PUBLISHING DISTRIBUTION 1,868,424 6,960 1,861,464 (12,225)
SKY MEXICO - - - -
CABLE TELEVISION 1,037,715 5,125 1,032,590 127,190
RADIO 262,247 49,523 212,724 7,310
OTHER BUSINESSES 1,431,939 129,656 1,302,283 (495,057)
ELIMINATIONS AND CORPORATE
EXPENSES (331,024) (331,024) - (157,057)
--------------- -------------- -------------- ---------------
CONSOLIDATED TOTAL Ps. 24,786,332 Ps. - Ps. 24,786,332 Ps. 6,359,770
=============== ============== ============== ===============
14. REFINANCING:
IN MAY 2004, THE COMPANY ENTERED INTO A LONG-TERM CREDIT AGREEMENT WITH A
MEXICAN BANK IN THE AGGREGATE PRINCIPAL AMOUNT OF PS.1,162.5 MILLION, WHICH
MATURES IN 2009. THE ANNUAL INTEREST RATE OF THIS INDEBTEDNESS EQUALS 9.70% AND
IS PAYABLE ON A MONTHLY BASIS. THE PROCEEDS OF THIS LOAN WERE USED BY THE
COMPANY TO PREPAY ALL OF THE OUTSTANDING AMOUNTS OF THE U.S.$100 MILLION
SYNDICATED LONG-TERM LOAN, WHICH ORIGINALLY MATURED IN 2005 AND 2006.
IN OCTOBER 2004, THE COMPANY ENTERED INTO A LONG-TERM CREDIT AGREEMENT WITH
A MEXICAN BANK IN THE AGGREGATE PRINCIPAL AMOUNT OF PS. 2,000.0 MILLION, WHICH
MATURES IN 2010 (50%) AND 2012 (50%). THE ANNUAL INTEREST RATE OF THIS
INDEBTEDNESS EQUALS 10.35% AND IS PAYABLE ON A MONTHLY BASIS. THE PROCEEDS OF
THIS LOAN ARE INTENDED TO BE USED PRINCIPALLY TO REFINANCE A PORTION OF THE
COMPANY'S DEBT MATURING IN 2005.
IN DECEMBER 2004, INNOVA ENTERED INTO A LONG-TERM CREDIT AGREEMENT WITH A
MEXICAN BANK IN THE AGGREGATE PRINCIPAL AMOUNT OF PS. 1,012.0 MILLION, WHICH
MATURES IN 2010 (50%) AND 2011 (50%), AND IS GUARANTEED BY THE COMPANY AND NEWS
CORPORATION AT 51% AND 49%, RESPECTIVELY. THE ANNUAL INTEREST RATE OF THIS
INDEBTEDNESS EQUALS 10.55% AND IS PAYABLE ON A MONTHLY BASIS. THE NET PROCEEDS
OF THIS LOAN WERE USED BY INNOVA TO PREPAY IN JANUARY 2005 ALL OF THE
OUTSTANDING AMOUNTS OF U.S.$88.0 MILLION SENIOR NOTES, WHICH ORIGINALLY MATURED
IN 2007.
ACCORDINGLY, THIS U.S.$88.0 MILLION LONG-TERM DEBT HAS BEEN CLASSIFIED AS
SHORT-TERM DEBT IN THE GROUP'S CONSOLIDATED BALANCED SHEET AS OF DECEMBER
31,2004.
15. DIVESTITURE OF MINORITY INTEREST INVESTMENT:
IN APRIL 2004, THE COMPANY SOLD ITS 30% MINORITY INTEREST IN GRUPO
EUROPRODUCCIONES, S.A., A TELEVISION PROGRAMMING PRODUCER IN SPAIN, IN THE
AGGREGATE AMOUNT OF APPROXIMATELY 7,505 MILLION EUROS (PS.107,029) IN CASH. AS A
RESULT OF THIS DISPOSAL, THE COMPANY RECOGNIZED A NET LOSS OF APPROXIMATELY
8,030 MILLION EUROS (PS.112,844) AS OTHER EXPENSE IN ITS CONSOLIDATED STATEMENT
OF INCOME FOR THE YEAR ENDED DECEMBER 31, 2004.
16. DIRECTV TRANSACTIONS:
ON OCTOBER 11, 2004, IN CONJUNCTION WITH A SERIES OF AGREEMENTS ENTERED
INTO BY THE GROUP WITH DIRECTV GROUP, INC. ("DIRECTV") AND NEWS CORPORATION
("NEWS"), THE GROUP ANNOUNCED, AMONG OTHER MATTERS, THAT (A) DIRECTV MEXICO
AGREED TO SELL ITS SUBSCRIBER LIST TO SKY MEXICO; (B) NEWS RECEIVED AN OPTION TO
PURCHASE AN EQUITY STAKE IN SKY MEXICO; (C) THE GROUP WILL ACQUIRE 2/3 OF
LIBERTY MEDIA'S 10% EQUITY INTEREST IN SKY MEXICO FOR A NET AMOUNT OF
APPROXIMATELY U.S.$48.0 MILLION, WHILE NEWS HAS AGREED TO ACQUIRE THE REMAINING
PORTION; AND (D) THE GROUP AGREED TO SELL, SUBJECT TO CERTAIN CONDITIONS, ITS
30% EQUITY INTEREST IN SKY MULTI-COUNTRY PARTNERS ("SMCP"), RELEASING THE GROUP
FROM ITS SATELLITE TRANSPONDER GUARANTEE. AS A RESULT OF THESE TRANSACTIONS, THE
GROUP'S EQUITY STAKE IN SKY MEXICO COULD BE MARGINALLY REDUCED FROM 60% TO 57%,
AND NEWS' STAKE COULD INCREASE FROM 30% TO 43%. ADDITIONALLY, THE GROUP EXECUTED
NEW AGREEMENTS FOR THE CARRIAGE OF THE GROUP'S CHANNELS ON SKY MEXICO AND
DIRECTV LATIN AMERICA, AND SKY MEXICO HAS THE OPTION TO EXPLOIT THE DTH BUSINESS
IN CENTRAL AMERICA AND CERTAIN CARIBBEAN COUNTRIES. AS A RESULT OF THESE
TRANSACTIONS, THE GROUP CANCELLED AS OF SEPTEMBER 30, 2004, THE PROVISION FOR
ITS GUARANTEE IN CONNECTION WITH SATELLITE TRANSPONDERS OF SMCP IN THE AMOUNT OF
APPROXIMATELY PS.353,299, AND RECOGNIZED A RELATED INCOME AS EQUITY IN EARNINGS
OF AFFILIATES IN THE THIRD QUARTER OF 2004. AS OF DECEMBER 31, 2004 THE SALE OF
DIRECTV MEXICO'S SUSCRIBER LIST AND THE SALE OF THE GROUP'S 30% EQUITY INTEREST
IN SMCP HAD NOT YET BEEN COMPLETED.
- - - - - - - - -
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
ANALYSIS OF INVESTMENTS IN SHARES
ANNEX 3 CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
TOTAL AMOUNT
% (THOUSANDS OF MEXICAN PESOS)
NUMBER OWNERSHIP -------------------------
COMPANY NAME (1) MAIN ACTIVITIES OF SHARES (2) ACQUISITION BOOK
COST VALUE (3)
----------------------------------------------------------------------------------------------------------------
SUBSIDIARIES
1 CORPORATIVO VASCO DE QUIROGA, PROMOTION AND 19,509,544 100.00 1,836,819 1,458,626
S.A. DE C.V. DEVELOPMENT OF
COMPANIES
2 CVQ ESPECTACULOS, S.A. DE C.V. PROMOTION AND 11,979,937 100.00 1,499,651 701,146
DEVELOPMENT OF
COMPANIES
3 DTH EUROPA, S.A. PROMOTION AND 1,080,182 90.25 780,220 (326)
DEVELOPMENT OF
COMPANIES
4 EDITORA FACTUM, S.A. DE C.V. PROMOTION AND 609,521,337 100.00 1,796,620 1,898,570
DEVELOPMENT OF
COMPANIES
5 EDITORIAL TELEVISA, S.A. DE C.V. PROMOTION AND 1,037,498 100.00 823,582 1,636,718
DEVELOPMENT OF
COMPANIES
6 FACTUM MAS, S.A. DE C.V. PROMOTION AND 5,442,040,701 100.00 4,756,067 (602,003)
DEVELOPMENT OF
COMPANIES
7 GRUPO DISTRIBUIDORAS INTERMEX, DISTRIBUTION OF BOOKS 349,470,905 100.00 822,778 593,320
S.A. DE C.V. AND MAGAZINES
8 CAMPUS AMERICA, S.A. DE C.V. PROMOTION AND 418,881,301 100.00 342,274 10,214,979
DEVELOPMENT OF
COMPANIES
9 PROMO-INDUSTRIAS PROMOTION AND 900,621 100.00 38,612 110,351
METROPOLITANAS, S.A. DE C.V. DEVELOPMENT OF
COMPANIES
10 SISTEMA RADIOPOLIS, S.A. DE C.V. COMMERCIALIZATION OF 76,070,313 50.00 764,739 231,436
RADIO PROGRAMMING
11 TELEPARABOLAS, S.L. MAINTENANCE OF 1,500 100.00 750 838
PARABOLIC DISHES
12 TELESISTEMA MEXICANO, S.A. DE C.V COMMERCIALIZATION OF 169,773,895 100.00 12,806,397 17,767,314
TELEVISION
13 TELEVISA ARGENTINA, S.A. COMMERCIAL OPERATION 1,499,999 100.00 115,371 52,747
OF TELEVISION
15 TELEVISION INDEPENDIENTE DE PROMOTION AND 32,989,789 99.98 2,864,972 5,022,095
MEXICO, S.A. DE C.V. DEVELOPMENT OF
COMPANIES
16 CAPITALIZED INTEGRAL COST OF 1 210,188
FINANCING, 1994
17 CAPITALIZED INTEGRAL COST OF 1 397,671
FINANCING, 1995
18 CAPITALIZED INTEGRAL COST OF 1 27,508
FINANCING, 1996
19 CAPITALIZED INTEGRAL COST OF 1 21,595
FINANCING, 1998
----------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN SUBSIDIARIES 29,248,852 39,742,773
----------------------------------------------------------------------------------------------------------------
ASSOCIATES
1 ARGOS COMUNICACION, S.A. DE C.V. OPERATION AND/OR 33,000,000 15.30 137,000 31,560
BROADCASTING OF T.V.
2 DIBUJOS ANIMADOS MEXICANOS PRODUCTION OF 1,735,560 49.00 4,384 719
DIAMEX, S.A. DE C.V. ANIMATED CARTOONS
3 DTH TECHCO PARTNERS SERVICES FOR SATELLITE 1 30.00 127,939 139,479
PAY TELEVISION
4 EDITORIAL CLIO, LIBROS Y VIDEOS, PUBLISHING AND PRINTING 2,627,050 30.00 26,270 11,948
S.A. DE C.V. OF BOOKS AND
MAGAZINES.
5 ENDEMOL MEXICO, S.A. DE C.V. COMMERCIALIZATION OF 1,635,000 50.00 1,635 13,205
TELEVISION
PROGRAMMING
6 EN VIVO ESPECTACULOS, S. DE R.L. LIVE ENTERTAINMENT IN 2 100.00 4,898 1,246
DE C.V. MEXICO
7 MAS FONDOS, S.A. DE C.V. MUTUAL FUND DISTRIBUTION 99,758 46.55 99,758 50,331
COMPANY
8 OCESA ENTRETENIMIENTO, S.A. DE LIVE ENTERTAINMENT IN 14,100,000 40.00 1,095,581 500,159
C.V. MEXICO
9 SKY LATIN AMERICA PARTNERS ADMINISTRATIVE SERV. 1 30.00 1,974 10,854
FOR THE DTH VENTURES
10 TELEVISORA DEL YAQUI, S.A. DE C.V OPERATION AND/OR 4,124,986 15.00 412 6,055
BROADCASTING OF T.V.
11 TUTV, LLC COMMERCIALIZATION OF 1 50.00 25,752 28,052
TELEVISION PROGRAMMING
12 UNIVISION COMMUNICATIONS, INC. BROADCASTING OF T.V. 30,187,534 9.34 5,602,976 5,758,376
SPANISH PROGRAMS
------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN ASSOCIATES 7,128,579 6,551,984
------------------------------------------------------------------------------------------------------------------
OTHER PERMANENT INVESTMENTS 205,738
------------------------------------------------------------------------------------------------------------------
TOTAL 46,500,495
------------------------------------------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A. ANNEX 5
CREDIT BREAK DOWN
(Thousands of Mexican Pesos)
CONSOLIDATED
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
Amortization of Credits in Foreign Currency With
National Entities (Thousands of $)
Denominated ---------------------------------------------------------
In Pesos Time Interval
----------------------------------------------------------------------------
Amorti-
Credit Type / Institution zation Interest Until 1 More Than Current Until 1 Until 2 Until 3 Until 4 Until 5
Date Rate Year 1 Year Year Year Year Year Year Year
-----------------------------------------------------------------------------------------------------------------------------------
BANKS
-----------------------------------------------------------------------------------------------------------------------------------
OTHER FINANCIAL ENTITIES
BANAMEX, S.A. 4/23/2012 10.35 2,000,000
BANAMEX, S.A. 5/21/2009 9.70 1,162,460
HSBC MEXICO, S.A. 12/2/2011 10.55 1,012,000
BANAMEX, S.A. 5/1/2008 8.93 720,000
BANCA SERFIN, S.A. 5/15/2006 9.41 64,000 32,000
BNP PARIBAS 11/20/2009 3.13
BANK OF AMERICA 3/31/2010 3.81
SUNTRUST BANK MIAMI, NATIONAL 4/1/2008 4.54
BANCO DE BILBAO VIZCAYA, S.A. 1/30/2006 5.86
LEASING DE COLOMBIA 9/23/2006 13.27
LEASING DE OCCIDENTE 4/29/2007 17.62
LEASING DE OCCIDENTE 3/19/2005 13.90
SANTANDER CENTRAL HISPANO LEASING,
S.A. 1/24/2006 14.74
LEASING DEL VALLE 1/14/2005 14.45
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL BANKS 64,000 4,926,460 - - - - - -
-----------------------------------------------------------------------------------------------------------------------------------
STOCK EXCHANGE
PRIVATE PLACEMENTS
-----------------------------------------------------------------------------------------------------------------------------------
UNSECURED DEBT
-----------------------------
HOLDERS 5/13/2006 12.49
HOLDERS 8/8/2005 9.07
HOLDERS 9/13/2011 8.41
HOLDERS 3/11/2032 8.94
HOLDERS 4/1/2007 13.54
HOLDERS 9/19/2013 9.86
UDI DENOMINATED-NOTES 4/13/2007 8.15 3,838,729
------------------------------------------------------------------------------------------------------------------------------------
TOTAL STOCK EXCHANGE - 3,838,729 - - - - - -
-----------------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------------------
SUPPLIERS
-----------------------------------------------------------------------------------------------------------------------------------
VARIOUS 947,525 815,594
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL SUPPLIERS 947,525 - - 815,594 - - - -
-----------------------------------------------------------------------------------------------------------------------------------
OTHER CURRENT LIABILITIES
AND OTHER CREDITS
-----------------------------------------------------------------------------------------------------------------------------------
VARIOUS 1,067,029 116,598 0 583,234 354,705 0 0 0
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL OTHER CURRENT LIABILITIES
AND OTHER CREDITS 1,067,029 116,598 583,234 354,705
-----------------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------------------
2,078,554 8,881,787 - 1,398,828 354,705 - - -
-----------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------
Amortization of Credits in Foreign Currency With Foreign Entities (Thousands of $)
----------------------------------------------------------------------------------
Time Interval
----------------------------------------------------------------------------------
Credit Type / Institution Current Until 1 Until 2 Until 3 Until 4 Until 5
Year Year Year Year Year Year
--------------------------------------------------------------------------------------------------------------------------------
BANKS
--------------------------------------------------------------------------------------------------------------------------------
OTHER FINANCIAL ENTITIES
BANAMEX, S.A.
BANAMEX, S.A.
HSBC MEXICO, S.A.
BANAMEX, S.A.
BANCA SERFIN, S.A.
BNP PARIBAS 13,724 13,724 12,961 8,337 5,041
BANK OF AMERICA 559 559 558 558 28,700
SUNTRUST BANK MIAMI, NATIONAL 4,669 4,460 4,459 4,251
BANCO DE BILBAO VIZCAYA, S.A. 2,184 376
LEASING DE COLOMBIA 499 501 40 47 55
LEASING DE OCCIDENTE 156 184 124
LEASING DE OCCIDENTE 320
SANTANDER CENTRAL HISPANO LEASING, S.A. 65 6
LEASING DEL VALLE 3
--------------------------------------------------------------------------------------------------------------------------------
TOTAL BANKS - 22,179 19,810 18,142 13,193 33,796
--------------------------------------------------------------------------------------------------------------------------------
STOCK EXCHANGE
PRIVATE PLACEMENTS
--------------------------------------------------------------------------------------------------------------------------------
UNSECURED DEBT
-----------------------------------------------
HOLDERS 59,569
HOLDERS 2,229,800
HOLDERS 3,344,700
HOLDERS 3,344,700
HOLDERS 981,112
HOLDERS 3,344,700
UDI DENOMINATED-NOTES
--------------------------------------------------------------------------------------------------------------------------------
TOTAL STOCK EXCHANGE - 3,210,912 59,569 0 0 10,034,100
--------------------------------------------------------------------------------------------------------------------------------
SUPPLIERS
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 372,131
--------------------------------------------------------------------------------------------------------------------------------
TOTAL SUPPLIERS - 372,131 - - - -
--------------------------------------------------------------------------------------------------------------------------------
OTHER CURRENT LIABILITIES
AND OTHER CREDITS
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 0 140,611 200,022 88,940 99,724 1,056,630
--------------------------------------------------------------------------------------------------------------------------------
TOTAL OTHER CURRENT LIABILITIES
AND OTHER CREDITS - 140,611 200,022 88,940 99,724 1,056,630
--------------------------------------------------------------------------------------------------------------------------------
- 3,745,833 279,401 107,082 112,917 11,124,526
--------------------------------------------------------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
MONETARY FOREIGN CURRENCY POSITION
(Thousands of Mexican Pesos)
ANNEX 6
CONSOLIDATED
FINAL PRINTING
------------------------------------------------------------------------------
DOLLARS (1) OTHER CURRENCIES (1)
---------------------------------------- ---------------------------- TOTAL
TRADE BALANCE THOUSANDS THOUSANDS THOUSANDS THOUSANDS THOUSANDS
OF DOLLARS OF PESOS OF DOLLARS OF PESOS OF PESOS
----------------------------------------------------------- ------------- -------------- ------------ ---------------
TOTAL ASSETS 653,794 7,289,149 40,542 452,003 7,741,152
LIABILITIES POSITION 1,513,640 16,875,572 26,698 297,656 17,173,228
SHORT-TERM LIABILITIES POSITION 439,721 4,902,449 26,204 292,148 5,194,597
LONG-TERM LIABILITIES POSITION 1,073,919 11,973,123 494 5,508 11,978,631
----------------------------------------------------------- -------------- ------------- ------------ -------------
NET BALANCE (859,846) (9,586,423) 13,844 154,347 (9,432,076)
----------------------------------------------------------- -------------- ------------- ------------ -------------
NOTES
(1) THE EXCHANGE RATES USED FOR TRANSLATION WERE AS FOLLOWS:
$ 11.1490 PESOS PER U.S. DOLLAR
15.2500 PESOS PER EURO
3.7475 PESOS PER ARGENTINEAN PESO
0.0200 PESOS PER CHILEAN PESO
0.0046 PESOS PER COLOMBIAN PESO
3.3959 PESOS PER PERUVIAN NUEVO SOL
21.5200 PESOS PER POUNDS STERLING
11.1490 PESOS PER ECUADORIAN SUCRE
11.1490 PESOS PER PANAMANIAN BALBOA
0.0058 PESOS PER VENEZUELAN BOLIVAR
THIS INFORMATION IS REPRESENTED ON A CONSOLIDATED BASIS AND INCLUDES,
ACCORDINGLY, INFORMATION OF FOREIGN SUBSIDIARIES.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
RESULT FROM MONETARY POSITION (1)
(Thousands of Mexican Pesos)
ANNEX 7
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
(ASSET)
LIABILITY MONTHLY
MONTH MONETARY MONETARY MONETARY MONTHLY PROFIT
ASSETS LIABILITIES POSITION INFLATION AND (LOSS)
---------------------------------------------------------------------------------------------------------
JANUARY 28,435,606 22,176,571 (6,259,035) 0.00 (38,900)
FEBRUARY 27,713,141 20,084,504 (7,628,637) 0.00 (45,627)
MARCH 26,256,111 21,431,109 (4,825,002) 0.00 (16,347)
APRIL 28,415,500 34,291,191 5,875,691 0.00 8,866
MAY 28,545,301 36,296,282 7,750,981 0.00 (19,439)
JUNE 21,597,252 32,956,030 11,358,778 0.00 18,197
JULY 22,201,265 33,468,519 11,267,254 0.00 29,531
AUGUST 21,957,440 32,871,531 10,914,091 0.00 67,373
SEPTEMBER 21,170,998 33,915,941 12,744,943 0.00 105,375
OCTOBER 30,784,922 33,970,928 3,186,006 0.00 22,063
NOVEMBER 32,646,219 36,543,410 3,897,191 0.00 33,243
DECEMBER 33,972,545 36,679,323 2,706,778 0.00 5,589
RESTATEMENT: - 956
CAPITALIZATION: - -
FOREIGN CORP.: - 26,777
OTHER - (182,833)
---------------------------------------------------------------------------------------------------------
TOTAL 14,824
---------------------------------------------------------------------------------------------------------
NOTES
THE AMOUNT REFLECTED IN "OTHER" INCLUDES PS.181,743
FROM MONETARY POSITION DERIVED FROM DEFERRED TAXES,
WHICH WAS CLASSIFIED IN THE DEFERRED INCOME TAX
PROVISION IN ACCORDANCE WITH THE GUIDELINES PROVIDED
BY BULLETIN D-4 FOR DEFERRED TAXES.
MEXICAN STOCK EXCHANGE
SIFIC / ICS
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
CONVENANTS ON BONDS AND MEDIUM TERM NOTES LISTED ON STOCK MARKET
ANNEX 8
CONSOLIDATED
FINAL PRINTING
------------------------------------------------------------------------------
FINANCIAL LIMITED BASED IN ISSUED DEED AND/OR TITLE
------------------------------------------------------------------------------
THE AGREEMENTS OF THE U.S.$200 MILLION, U.S.$300 MILLION AND U.S.$300
MILLION SENIOR NOTES ISSUED BY GRUPO TELEVISA, S.A. WITH MATURITY IN 2005,
2011 AND 2032, RESPECTIVELY, CONTAIN CERTAIN COVENANTS THAT LIMIT THE
ABILITY OF THE COMPANY AND ITS SUBSIDIARIES ENGAGED IN TELEVISION
OPERATIONS TO INCUR OR ASSUME LIENS, PERFORM SALE AND LEASEBACK
TRANSACTIONS, AND CONSUMMATE CERTAIN MERGERS, CONSOLIDATIONS OR SIMILAR
TRANSACTIONS.
THE AGREEMENTS OF THE U.S.$88 MILLION SENIOR NOTES AND THE U.S.$300 MILLION
SENIOR NOTES ISSUED BY INNOVA, S. DE R.L. DE C.V. ("INNOVA") WITH MATURITY
IN 2007 AND 2013, RESPECTIVELY, CONTAIN CERTAIN COVENANTS THAT LIMIT THE
ABILITY OF INNOVA AND ITS RESTRICTED SUBSIDIARIES WITH RESPECT TO
INDEBTEDNESS, LIENS, SALES AND LEASEBACKS, RESTRICTED PAYMENTS, ASSET
SALES, AND CERTAIN MERGERS, CONSOLIDATIONS AND SIMILAR TRANSACTIONS.
------------------------------------------------------------------------------
------------------------------------------------------------------------------
ACTUAL SITUATION OF FINANCIAL LIMITED
------------------------------------------------------------------------------
AT DECEMBER 31, 2004, THE GROUP WAS IN COMPLIANCE WITH THE FINANCIAL
RESTRICTIONS OF THE CONTRACTS RELATED TO THE LONG-TERM SENIOR NOTES
DESCRIBED ABOVE.
-------------------------------------
C.P. JORGE LUTTEROTH ECHEGOYEN
CONTROLLER, VICE-PRESIDENT
MEXICO, D.F. FEBRUARY 22, 2005
------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
PLANTS, COMMERCE CENTERS OR DISTRIBUTION CENTERS
ANNEX 9
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------
PLANT OR CENTER ECONOMIC ACTIVITY PLANT UTILIZATION
CAPACITY (1) (%)
--------------------------------------------------------------------------------------------------------
TELEVISION: 0 0
CORPORATIVO SANTA FE HEADQUARTERS 0 0
TELEVISA SAN ANGEL PRODUCTION AND BROADCASTING PROGRAMMING. 0 0
TELEVISA CHAPULTEPEC PRODUCTION AND BROADCASTING PROGRAMMING. 0 0
REAL ESTATE LAND AND UNOCCUPIED, BUILDING, 0 0
PARKING LOTS, ADMINISTRATIVE 0 0
OFFICES, RADIO ANTENNAS, 0 0
TELEVISION STATIONS FACILITIES. 0 0
TRANSMISSION STATIONS BROADCASTER STATIONS. 0 0
PUBLISHING: 0 0
EDITORIALS ADMINISTRATION, SALES, PRODUCTION, 0 0
STORAGE AND DISTRIBUTION OF 0 0
MAGAZINES AND NEWSPAPERS. 0 0
RADIO: 0 0
SISTEMA RADIOPOLIS, S.A. DE C.V. BROADCASTER STATIONS. 0 0
CABLE TELEVISION: 0 0
CABLEVISION, S.A. DE C.V. CABLE TELEVISION, SIGNAL CONDUCTION 0 0
AND TRANSMISSION EQUIPMENT. 0 0
OTHER BUSINESSES: 0 0
IMPULSORA DEL DEPORTIVO SOCCER, SOCCER TEAMS, TRAINING 0 0
NECAXA, S.A. DE C.V. AND CLUB FACILITIES, ADMINISTRATIVE OFFICES AND 0 0
DE FUTBOL AMERICA, S.A. DE C.V. THE AZTECA STADIUM. 0 0
0 0
0 0
0 0
---------------------------------------------------------------------------------------------------------
NOTES
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
MAIN RAW MATERIALS
ANNEX 10
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
MAIN MAIN DOM. COST
DOMESTIC SUPPLIERS FOREIGN SUPPLIERS SUBST. PRODUCTION
(%)
------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
PROGRAMS AND FILMS ANIME CREATIVE
CORPORATION 0.60
CIMA FILMS, S.A.
DE C.V. 0.06
CINEMAS LUMIERE,
S.A. DE C.V. 0.03
CINEMATOGRAFICA
RODRIGUEZ, S.A. 0.18
COMAREX, S.A.
DE C.V. 0.09
CHURUBUSCO, S.A. 0.05
DIANA INTERNACIO-
NAL FILMS, S.A. 0.10
DISTRIBUIDORA RO-
MARI, S.A. DE C.V. 2.06
FILMADORA MEXI-
CANA, S.A. 0.01
GRUPO GALINDO,
S.A. DE C.V. 0.07
GUIAS, S.A. DE C.V. 0.21
GUSSI, S.A. DE C.V. 3.15
NUVISION, S.A. 0.99
ORO FILMS,
S.A. DE C.V. 0.22
PELICULAS RODRI-
GUEZ, S.A. 0.69
PELICULAS Y VI-
DEOS INTERNACIO-
NALES, S.A. 0.03
PRODUCCIONES
AGUILA, S.A. 0.16
PRODUCCIONES
ALFA AUDIOVISUAL 0.07
PRODUCCIONES
GONZALO ELVIRA 0.17
QUALITY FILMS, S.A. 0.07
SECINE, S.A. DE C.V. 0.51
TELE ALIANZA,
S.A. DE C.V. 0.03
UNION INTERNACIO-
NAL, S.A. DE C.V. 0.12
OTHER 0.69
PROGRAMS AND FILMS 4KIDS ENTERTAIN-
MENT NO 0.24
ABC DISTRIBUTION
COMPANY NO 0.39
ALFRED HABER
DISTRIBUTION, INC. NO 0.53
ALLIANCE ATLAN-
TIS INTERNATIONAL NO 0.80
AMERICA PRO-
DUCCIONES, S.A. NO 2.46
BBC WORDLWIDE
AMERICAS, INC. NO 0.10
BETAFILM GMBH
& CO. NO 1.02
BEVERLY HILLS
ENTERTAINMENT NO 0.21
BKN INTERNA-
CIONAL, INC. NO 0.20
BUENAVISTA
INTERNATIONAL
INC. NO 0.18
CANAL + DA NO 0.22
CARSEY WERNER
DISTRIBUTION, INC. NO 0.27
CBS BROADCAST
INTERNATIONAL NO 1.61
CDC UNITED
NETWORK NO 0.09
CINAR FILMS, INC. NO 0.32
COCHRAN ENTER-
TAINMENT INT. NO 0.25
CONSTELLATION
PICTURES, INC. NO 1.46
CROWN MEDIA
DISTRIBUTION NO 0.42
DREAMWORKS NO 1.55
EVERGREEN ENTER-
TAINMENT GLOBAL NO 0.08
FIREWORKS INTER-
NATIONAL NO 0.32
FREMANTLE INTER-
NATIONAL DISTRI-
BUTION, LTD. NO 0.16
GLOBAL PROGRA-
MMING NETWORK NO 0.20
GMD GLOBAL
MEDIA DISTRIBU-
TIONS NO 0.75
HALLMARK ENTER-
TAINMENT DISTRI-
BUTIONS NO 0.19
HARMONY GOLD
USA, INC. NO 0.11
HASBRO INTERNA-
TIONAL, INC. NO 0.09
HEARTS ENTER-
TAINMENT, INC. NO 0.44
HIGHPOINT PRODUC-
TIONS, INC. NO 0.30
HIT ENTERTAIN-
MENT PLC. NO 0.23
INDEPENDENT
INTERNATIONAL
T.V. INC. NO 2.89
ITSY BITSY
ENTERTAINMENT NO 0.93
KUSHNER-LOCKE
INTERNATIONAL NO 0.32
MGM/UA TELECOM-
MUNICATIONS, INC. NO 2.36
MORGAN CREEK
INTERNATIONAL NO 0.15
MTV NETWORKS A
DIVISION OF VIACOM
INT. NO 1.04
MULTIMEDIA GROUP
OF CANADA NO 0.18
NBC INTERNATIONAL NO 0.08
NELVANA INTER-
NATIONAL NO 0.83
NEW LATIN IMAGE
CORPORATION NO 0.04
NU IMAGE INCORPO-
RATED NO 0.14
PARAMOUNT
PICTURES, CORP. NO 4.99
POKEMON USA,
INC. NO 0.10
POLYGRAM TELE-
VISION INTERNA-
TIONAL NO 0.11
PROTELE, INC. NO 3.97
RCN TELEVISION,
S.A. NO 3.37
REPRESENTA-
CIONES DE TELE-
VISION NO 0.35
ROSE ENTERTAIN-
MENT, INC. NO 0.36
RYSHER ENTER-
TAINMENT, INC. NO 0.38
SALSA
DISTRIBUTION NO 0.26
SALSA ENTER-
TAINMENT, INC. NO 2.09
SONY CORPORA-
TION OF AMERICA NO 7.52
STUDIO CANAL
IMAGE NO 0.70
SUNBOW ENTER-
TAINMENT NO 0.14
TELEVISION FILM
DISTRIBUTION NO 0.37
TELEVIX ENTER-
TAINMENT NO 0.15
TEPUY USA COR-
PORATION NO 0.93
TOEI ANIMATION
CO., LTD NO 0.53
TOP ENTERTAINMENT
PRODUCTS, INC. NO 0.15
TRIMARK TELEVISION NO 0.12
TWENTIETH CEN-
TURY FOX, INC. NO 6.05
UNIVERSAL STUDIOS
INTERNATIONAL, B.V. NO 11.93
VENTURA FILM
DISTRIBUTORS BV NO 0.92
WARNER BROS.
INTERNATIONAL
TELEVISION NO 13.60
WHILAND COMPANY NO 2.96
WORDLDIVISION
ENTERPRISES, INC. NO 1.94
XYSTUS, LLC. NO 0.73
OTHER 0.77
COAXIAL CABLE RG
MAYA 60 NACIONAL DE
CONDUCTORES,
S.A. DE C.V. 13.28
SINGLE TELEGRIP CORPODISENO DE
HERRAJES, S.A. 0.02
IDENTIFICATION PLAQUE RIVANDI, S.A. DE C.V. 0.11
CABLEMODEMS MOTOROLA, INC. NO 0.61
HILTI BOLT HILTI MEXICANA,
S.A. DE C.V. NO 0.06
SWITCH CABLENETWORK
MEXICO NO 0.03
SWITCH DISTRIBUIDORA Y
COMERCIALIZADORA YES 0.15
TWO OUTLET DEVICE TVC CORPORATION YES 0.05
AC 200
DECODER MOTOROLA, INC. NO 48.52
COUCHE PAPER PAPELERA MOHGA
BBA, S.A. 0.34
SUMINISTROS Y
SERVICIOS BROM 0.42
REPRESENTACIONES
MREAL 0.03
PRODUCTORA
COMERCIALIZA
DORA Y EDITORA 1.04
ROOSSEVELT PAPEL 0.18
OFFSET MULTICO-
LOR, S.A. 3.26
PROCESOS INDUS-
TRIALES DE PAPEL 0.37
IMPRESOS MOINO, 0.24
BULKLEY DUNTON 1.28
KIMBERLY CLARK 0.30
PAPEL, S.A. 0.24
COUCHE PAPER STORAM ENSON YES 7.16
BULKLEY DUNKE YES 6.01
M REAL YES 1.33
MYLLLIKOSKI YES
PAPEL 3.03
TEMBEC, INC. YES 0.27
BULKLEY DUNTON YES 11.90
FINNIPAP YES 6.77
WEB SOURCE YES 0.17
BOWATER, INC. YES 0.97
NORKE CANADA YES 0.44
PAPER AND IMPRESSION PRODUCTORA CO-
MERCIALIZADORA Y
EDITORES DE LI-
BROS, S.A. DE C.V. 13.14
OFFSET
MULTICOLOR 21.40
IMPRESOS MOINO 1.07
PROCESOS IND
DE PAPEL, S.A. 2.15
LABORATORIO LITO-
COLOR, S.A. 0.06
SERVICIOS PROFE-
SIONALES, S.A. 0.43
FOTORAMA DE
MEXICO, S.A. 0.61
GRAFICA LA
PRENSA, S.A. 0.16
PAPER AND QUEBECOR
IMPRESSION CHILE, S.A. YES 2.36
QUEBECOR
WORLD, INC. YES 0.04
GRUPO OP GRAFICAS
S.A. YES 0.35
PRINTER COLOMBIA-
NA, S.A. YES 0.47
ST. IVES, INC. YES 5.95
BEST LITHO YES 0.29
EDITORES, S.A. YES 0.11
RR DONELLY YES 2.04
QUAD GRAPHICS YES 1.64
PRO-OFFSET EDI-
TORIAL, LTDA. YES 0.03
------------------------------------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
SALES DISTRIBUTION BY PRODUCT
ANNEX 11
DOMESTIC SALES
CONSOLIDATED
FINAL PRINTING
---------------------------------------------------------------------------------------------------------
TOTAL PRODUCTION NET SALES MARKET
------------------------------------------------ SHARE
MAIN PRODUCTS VOLUME AMOUNT VOLUME AMOUNT (%)
---------------------------------------------------------------------------------------------------------
INTERSEGMENT ELIMINATIONS (723,775)
TELEVISION:
PROGRAMMING HALF HOURS PRODUCED
(DOMESTIC) 110.000
ADVERTISED TIME SOLD (HALF HOURS) 8 16,448,208
OTHER INCOME 94,125
PROGRAMMING FOR PAY TELEVISION:
SALE OF SIGNALS 586,909
ADVERTISED TIME SOLD 105,101
PUBLISHING:
MAGAZINE CIRCULATION 126,751 1,165,879 56,009 679,615
PUBLISHING 670,091
PUBLISHING DISTRIBUTION: 15,314 404,682
SKY MEXICO
DTH BROADCAST SATELLITE
VIA SATELITE 3,428,274
PAY PER VIEW 161,696
CHANNEL COMMERCIALIZATION 46,976
CABLE TELEVISION:
ANALOGIC AND DIGITAL SERVICE 1,051,728
SERVICE INSTALLATION 22,789
PAY PER VIEW 1,534
CHANNEL COMMERCIALIZATION 34,449
OTHER 17,424
RADIO:
ADVERTISED TIME SOLD 295,766
OTHER BUSINESSES:
DISTRIBUTION, RENTALS, AND SALE
OF MOVIE RIGHTS 633,563
SPECIAL EVENTS AND SHOW PROMOTION 558,597
NATIONWIDE PAGING SERVICE 143,687
INTERNET SERVICES 141,830
---------------------------------------------------------------------------------------------------------
TOTAL 1,165,879 24,803,269
---------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------------------
MAIN
-------------------------------------------------------------------------------------
MAIN PRODUCTS TRADEMARKS CUSTOMERS
-----------------------------------------------------------------------------------------------------------------------------------
INTERSEGMENT ELIMINATIONS
TELEVISION:
PROGRAMMING HALF HOURS PRODUCED
(DOMESTIC)
ADVERTISED TIME SOLD (HALF HOURS) COMPANIA PROCTER & GAMBLE DE MEXICO, S. DE R.L. DE C.V.
THE COCA-COLA EXPORT CORPORATION
UNILEVER DE MEXICO, S. DE R.L. DE C.V.
SABRITAS, S. DE R.L. DE C.V.
BIMBO, S.A. DE C.V.
PEPSI COLA MEXICANA, S. DE R.L. DE C.V.
CERVECERIA CUAUHTEMOC MOCTEZUMA. S.A. DE C.V.
TELEFONOS DE MEXICO, S.A. DE C.V.
DANONE DE MEXICO, S.A. DE C.V.
NESTLE MEXICO, S.A. DE C.V.
KIMBERLY CLARK DE MEXICO, S.A. DE C.V.
COMPANIA CERVECERA DE ZACATECAS, S.A. DE C.V.
BANCO NACIONAL DE MEXICO, S.A.
BARCEL, S.A. DE C.V.
FRABEL, S.A. DE C.V.
OTHER INCOME
PROGRAMMING FOR PAY TELEVISION:
SALE OF SIGNALS
ADVERTISED TIME SOLD
PUBLISHING:
MAGAZINE CIRCULATION TV Y NOVELAS MAGAZINE, GENERAL PUBLIC (AUDIENCE)
TELEGUIA MAGAZINE, DEALERS
VANIDADES MAGAZINE COMMERCIAL CENTERS (MALLS)
COSMOPOLITAN MAGAZINE
BIOGRAPHICAL BOOKS
SOCCERMANIA MAGAZINE
TU MAGAZINE
MEN'S HEALTH MAGAZINE
CARAS MAGAZINE
MUY INTERESANTE MAGAZINE
PUBLISHING VARIOUS
PUBLISHING DISTRIBUTION: MAGAZINE:
"MAESTRA PREESCOLAR"
"EL EGIPTO DE LOS FARAONES"
"FABULA DISNEY"
"REVISTA DEL COSUMIDOR"
"ENTREPRENEUR"
SKY MEXICO
DTH BROADCAST SATELLITE
VIA SATELITE SKY GENERAL PUBLIC
PAY PER VIEW
CHANNEL COMMERCIALIZATION
CABLE TELEVISION:
ANALOGIC AND DIGITAL SERVICE GENERAL PUBLIC
SERVICE INSTALLATION OPERADORA MEGACABLE, S.A. DE C.V.
PAY PER VIEW T.V. CABLE, S.A. DE C.V.
CHANNEL COMMERCIALIZATION ENFASYS DIGITAL, S.A DE C.V.
OTHER TELEFONOS DE MEXICO, S.A. DE C.V.
PRODUCCIONES INFOVISION, S.A. DE C.V.
UNILIVER DE MEXICO, S.A. DE C.V.
CADBURY ADAMS DE MEXICO, S DE R.L. DE C.V.
KIMBERLY CLARK DE MEXICO, S.A. DE C.V.
BANCO NACIONAL DE MEXICO, S.A.
ARENA COMMUNICATIONS, S.A. DE C.V.
BAYER DE MEXICO, S.A. DE C.V.
NESTLE MEXICO, S.A. DE C.V.
RADIO:
ADVERTISED TIME SOLD CERVECERIA MODELO, S.A. DE C.V.
ARENA COMMUNICATIONS, S.A. DE C.V.
PROPIMEX, S.A. DE C.V.
PEGASO PCS, S.A. DE C.V.
GIGANTE, S.A. DE C.V.
INDUSTRIAS VINICOLAS PEDRO DOMEQ, S.A. DE C.V.
TIENDAS COMERCIAL MEXICANA, S.A. DE C.V.
GENERAL MOTORS DE MEXICO, S. DE R.L. DE C.V.
BBVA BANCOMER, S.A.
UNILEVER DE MEXICO, S. DE R.L. DE C.V.
OTHER BUSINESSES:
DISTRIBUTION, RENTALS, AND SALE
OF MOVIE RIGHTS CINEMAS DE LA REPUBLICA, S.A. DE C.V.
CINEMEX, S.A. DE C.V.
CINEMARK DE MEXICO, S.A. DE C.V.
CINEPOLIS DEL PAIS, S.A. DE C.V.
MULTIMEDIOS CINEMAS, S.A. DE C.V.
GENERAL PUBLIC (AUDIENCE)
SPECIAL EVENTS AND SHOW PROMOTION AMERICA GENERAL PUBLIC (AUDIENCE)
NECAXA FEDERACION MEXICANA DE FUTBOL, A.C.
REAL SAN LUIS
NATIONWIDE PAGING SERVICE SKYTEL FERROCARRIL MEXICANO, S.A. DE C.V.
BANCO NACIONAL DE MEXICO, S.A.
HEWLETT PACKARD DE MEXICO, S. DE R.L. DE C.V.
COMISION FEDERAL DE ELECTRICIDAD
EDS DE MEXICO, S.A. DE C.V.
AVANTEL, S.A.
FERROSUR, S.A. DE C.V.
SECRETARIA DE GOBERNACION
SCHERING PLOUGH, S.A. DE C.V.
BBVA BANCOMER, S.A.
GRUPO NACIONAL PROVINCIAL, S.A.
I.B.M. DE MEXICO, S.A.
INTERNET SERVICES ESMAS.COM MEDIA CONTACTS, S.A. DE C.V.
TELEFONOS DE MEXICO, S.A. DE C.V.
RADIOMOVIL DIPSA, S.A. DE C.V.
NESTLE MEXICO, S.A. DE C.V.
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL
-----------------------------------------------------------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
SALES DISTRIBUTION BY PRODUCT
ANNEX 11A
FOREIGN SALES
CONSOLIDATED
FINAL PRINTING
----------------------------------------------------------------------------------------------------------------------------
TOTAL PRODUCTION NET SALES
---------------------------------------------------
MAIN PRODUCTS VOLUME AMOUNT VOLUME AMOUNT DESTINATION
----------------------------------------------------------------------------------------------------------------------------
INTERSEGMENT ELIMINATIONS (7,505)
TELEVISION BROADCASTING:
ADVERTISING TIME SOLD 468,209 UNITED STATES OF AMERICA
OTHER INCOME 91,400 UNITED STATES OF AMERICA
PROGRAMMING FOR PAY TELEVISION:
SALES OF SIGNALS 108,774 SPAIN
ARGENTINA
CHILE
GUATEMALA
PROGRAM LICENSING: COLOMBIA
PROGRAMMING AND ROYALTIES 1,917,307 UNITED STATES OF AMERICA
CENTRAL AMERICA
CARIBBEAN
EUROPE
SOUTH AMERICA
AFRICA
ASIA
PUBLISHING:
MAGAZINE CIRCULATION, BOOKS AND
ADVERTISING 26,504 409,328 GUATEMALA AND COSTA RICA
UNITED STATES OF AMERICA
PANAMA
SOUTH AMERICA
CENTRAL AMERICA
PUBLISHING 334,331
PUBLISHING DISTRIBUTION: 17,089 1,169,297 PANAMA
SOUTH AMERICA
OTHER BUSINESSES:
DISTRIBUTION OF FILM MOVIES 19,843
----------------------------------------------------------------------------------------------------------------------------
TOTAL 4,510,984
----------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------------
MAIN
------------------------------------------------------------------------------------
MAIN PRODUCTS TRADEMARKS CUSTOMERS
-----------------------------------------------------------------------------------------------------------------------------
INTERSEGMENT ELIMINATIONS
TELEVISION BROADCASTING:
ADVERTISING TIME SOLD CPIF VENTURE, INC.
POWERCORP UK LIMITED
VENEVISION INTERNATIONAL, LLC.
MASTER CARD INTERNATIONAL, INC.
TELEMUNDO OF PUERTO RICO INC.
T.V. SBT CANAL 4 DE SAO PAULO, S.A.
OTHER INCOME
PROGRAMMING FOR PAY TELEVISION:
SALES OF SIGNALS
PROGRAM LICENSING:
PROGRAMMING AND ROYALTIES TELEVISA MCCANN ERICKSON, INC.
TELEVISA MINDSHARE
TELEVISA SAATCHI & SAATCHI
TELEVISA RUBIN POSTAER & ASSOCIATES
TELEVISA CARAT, INC.
TELEVISA HORIZON MEDIA, INC.
TELEVISA BBD&O
INITIATIVE MEDIA, INC.
GSD&M ADVERTISING
TBWA CHIAT
PUBLISHING:
MAGAZINE CIRCULATION, BOOKS AND
ADVERTISING T.V. Y NOVELAS MAGAZINE GENERAL PUBLIC (AUDIENCE)
BIOGRAPHICAL BOOKS DEALERS
VANIDADES MAGAZINE
COSMOPOLITAN MAGAZINE
TU MAGAZINE
PUBLISHING
PUBLISHING DISTRIBUTION: BARNEY MEGAZINE GENERAL PUBLIC (AUDIENCE)
FUTBOL TOTAL MEGAZINE GENERAL PUBLIC (AUDIENCE)
ARMONIA LA NAVIDAD MAGAZINE
HECHO EN CASA MAGAZINE
DIGIMON MAGAZINE
OTHER BUSINESSES:
DISTRIBUTION OF FILM MOVIES
-----------------------------------------------------------------------------------------------------------------------------
TOTAL
-----------------------------------------------------------------------------------------------------------------------------
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
PROJECT, AMOUNT EXERCISED AND PROGRESS PERCENTAGE
ANNEX 13
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
MAJOR INVESTMENT PROJECTS OF GRUPO TELEVISA, S.A. AND ITS SUBSIDIARIES AT
DECEMBER 31, 2004, INCLUDE THE FOLLOWING (MILLIONS OF U.S. DOLLARS AND MEXICAN
PESOS):
DESCRIPTION AUTHORIZED AMOUNT EXERCISED AMOUNT PROGRESS %
----------- ----------------- ---------------- ----------
U.S. DOLLAR DENOMINATED PROJECTS:
---------------------------------
DIGITALIZATION OF THE CABLE
TELEVISION NETWORK U.S. $ 95.0 U.S. $ 50.1 53%
INFORMATION TECHNOLOGY
PROJECTS OF CABLE TELEVISION 13.5 12.1 90%
TECHNICAL EQUIPMENT FOR
T.V. STATIONS 14.8 11.3 76%
INFORMATION TECHNOLOGY
PROJECTS 9.1 8.2 90%
SKY MEXICO PROJECTS 61.7 7.9 13%
MEXICAN PESOS DENOMINATED PROJECTS:
-----------------------------------
INFORMATION TECHNOLOGY
PROJECTS PS. 33.3 PS. 2.8 8%
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 4 YEAR: 2004
GRUPO TELEVISA, S.A.
INFORMATION RELATED TO BULLETIN B-15 (FOREIGN CURRENCY TRANSLATION)
ANNEX 14
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
MONETARY ASSETS AND LIABILITIES OF MEXICAN COMPANIES DENOMINATED IN FOREIGN
CURRENCIES ARE TRANSLATED AT THE PREVAILING EXCHANGE RATE AT THE BALANCE
SHEET DATE. RESULTING EXCHANGE RATE DIFFERENCES ARE RECOGNIZED IN INCOME FOR
THE YEAR, WITHIN INTEGRAL COST OF FINANCING.
ASSETS, LIABILITIES AND RESULTS OF OPERATIONS OF NON-MEXICAN SUBSIDIARIES ARE
FIRST CONVERTED TO MEXICAN GAAP, INCLUDING RESTATING TO RECOGNIZE THE EFFECTS
OF INFLATION BASED ON THE INFLATION OF EACH FOREIGN COUNTRY, AND THEN
TRANSLATED TO MEXICAN PESOS UTILIZING THE EXCHANGE RATE AS OF THE BALANCE
SHEET DATE AT YEAR-END. RESULTING TRANSLATION DIFFERENCES ARE RECOGNIZED IN
EQUITY AS PART OF THE OTHER COMPREHENSIVE INCOME OR LOSS. FINANCIAL
STATEMENTS OF NON-MEXICAN OPERATIONS THAT ARE INTEGRAL TO MEXICAN OPERATIONS
ARE CONVERTED TO MEXICAN GAAP AND TRANSLATED TO MEXICAN PESOS BY UTILIZING
THE EXCHANGE RATE OF THE BALANCE SHEET DATE AT YEAR-END FOR MONETARY ASSETS
AND LIABILITIES, WITH THE RELATED ADJUSTMENT INCLUDED IN NET INCOME, AND
HISTORICAL EXCHANGE RATES FOR NON-MONETARY ITEMS.
EFFECTIVE MARCH, 2002, THE COMPANY DESIGNATED ITS NET INVESTMENT IN UNIVISION
AS AN EFFECTIVE HEDGE OF ITS SENIOR NOTES DUE 2011 AND 2032 FOR AN AGGREGATE
AMOUNT OF U.S.$600 MILLION (Ps.6,689,400). CONSEQUENTLY, BEGINNING MARCH
2002, ANY FOREIGN EXCHANGE GAIN OR LOSS ATTRIBUTABLE TO THIS U.S. DOLLAR
LONG-TERM DEBT, BEING HEDGED BY THE COMPANY'S NET INVESTMENT IN SHARES OF
UNIVISION, IS CREDITED OR CHARGED DIRECTLY TO EQUITY (OTHER COMPREHENSIVE
INCOME OR LOSS).
THE GROUP'S FINANCIAL STATEMENTS FOR DECEMBER 31, 2003, HAVE BEEN RESTATED TO
MEXICAN PESOS IN PURCHASING POWER AS OF DECEMBER 31, 2004, BY USING A
RESTATEMENT FACTOR DERIVED FROM THE CHANGE IN THE NCPI, WHICH FOR 2004 WAS
1.0519. HAD THE ALTERNATIVE WEIGHTED AVERAGE FACTOR ALLOWED UNDER MEXICAN
GAAP BEEN APPLIED TO RESTATE THE GROUP'S FINANCIAL STATEMENTS FOR DECEMBER
31, 2003, WHICH INCLUDED THE RESULTS OF MEXICAN AND NON-MEXICAN SUBSIDIARIES,
THE RESTATEMENT FACTOR FOR DECEMBER 2003 WOULD HAVE BEEN 1.0546.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
GRUPO TELEVISA, S.A.
--------------------------------
(Registrant)
Dated: February 25, 2004 By /s/ Jorge Lutteroth Echegoyen
------------------------------
Name: Jorge Lutteroth Echegoyen
Title: Controller, Vice-President