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 July 2006
GRUPO TELEVISA, S.A.
-------------------------------------------------
(Translation of registrant's name into English)
Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210 Mexico, D.F.
---------------------------------------------------------------------
(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: 2 YEAR: 2006
GRUPO TELEVISA, S.A.
CONSOLIDATED BALANCE SHEETS
AS OF JUNE 30, 2006 AND 2005
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
S CONCEPTS ------------------- -------------------
AMOUNT % AMOUNT %
-------------------------------------------------------------------------------------------------------------
S01 TOTAL ASSETS 76,022,602 100 68,129,429 100
S02 CURRENT ASSETS 31,358,126 41 26,878,700 39
s03 CASH AND SHORT-TERM INVESTMENTS 18,841,549 25 15,157,601 22
s04 ACCOUNTS AND NOTES RECEIVABLE (NET) 7,335,322 10 5,659,697 8
s05 OTHER ACCOUNTS AND NOTES RECEIVABLE (NET) 377,964 0 1,266,841 2
s06 INVENTORIES 3,796,248 5 3,976,269 6
s07 OTHER CURRENT ASSETS 1,007,043 1 818,292 1
S08 LONG-TERM ASSETS 8,812,128 12 6,660,927 10
s09 ACCOUNTS AND NOTES RECEIVABLE (NET) - - - -
s10 INVESTMENT IN SHARES OF NON-CONSOLIDATED 7,358,816 10 6,472,349 10
SUBSIDIARIES AND ASSOCIATES
s11 OTHER INVESTMENTS 1,453,312 2 188,578 0
S12 PROPERTY, PLANT AND EQUIPMENT (NET) 20,168,542 27 19,704,798 29
s13 LAND AND BUILDINGS 13,509,053 18 13,438,623 20
s14 MACHINERY AND INDUSTRIAL EQUIPMENT 21,287,535 28 19,643,463 29
s15 OTHER EQUIPMENT 3,098,685 4 3,268,539 5
s16 ACCUMULATED DEPRECIATION 18,593,197 24 17,348,591 25
s17 CONSTRUCTION IN PROGRESS 866,466 1 702,764 1
s18 INTANGIBLE ASSETS AND DEFERRED CHARGES (NET) 11,299,667 15 10,522,820 15
s19 OTHER ASSETS 4,384,139 6 4,362,184 6
S20 TOTAL LIABILITIES 41,933,826 100 42,333,244 100
S21 CURRENT LIABILITIES 7,693,481 18 8,184,584 19
s22 SUPPLIERS 3,568,304 9 2,929,275 7
s23 BANK LOANS 125,524 0 134,180 0
s24 STOCK MARKET LOANS 950,904 2 2,276,023 5
s25 TAXES PAYABLE 529,390 1 435,130 1
s26 OTHER CURRENT LIABILITIES 2,519,359 6 2,409,976 6
S27 LONG-TERM LIABILITIES 20,186,561 48 21,929,726 52
s28 BANK LOANS 7,177,302 17 4,970,610 12
s29 STOCK MARKET LOANS 11,155,410 27 15,088,949 36
s30 OTHER LOANS 1,853,849 4 1,870,167 4
s31 DEFERRED LIABILITIES 13,736,466 33 10,749,255 25
s32 OTHER NON CURRENT LIABILITIES 317,318 1 1,469,679 3
S33 CONSOLIDATED STOCKHOLDERS' EQUITY 34,088,776 100 25,796,185 100
s34 MINORITY INTEREST 1,286,957 4 58,231 0
S35 MAJORITY INTEREST 32,801,819 96 25,737,954 100
S36 CONTRIBUTED CAPITAL 14,035,080 41 14,193,806 55
s79 CAPITAL STOCK 9,795,186 29 9,953,912 39
s39 PREMIUM ON SALES OF SHARES 4,239,894 12 4,239,894 16
s40 CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES - 0 - 0
S41 EARNED CAPITAL 18,766,739 55 11,544,148 45
s42 RETAINED EARNINGS AND CAPITAL RESERVE 28,371,124 83 23,752,923 92
s44 ACCUMULATED OTHER COMPREHENSIVE RESULT (4,305,004) (13) (5,564,153) (22)
s80 SHARES REPURCHASED (5,299,381) (16) (6,644,622) (26)
CONSOLIDATED BALANCE SHEETS
BREAKDOWN OF MAJOR CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
S CONCEPTS ------------------- -------------------
AMOUNT % AMOUNT %
-------------------------------------------------------------------------------------------------------------
S03 CASH AND SHORT-TERM INVESTMENTS 18,841,549 100 15,157,601 100
s46 CASH 805,810 4 466,120 3
s47 SHORT-TERM INVESTMENTS 18,035,739 96 14,691,481 97
S07 OTHER CURRENT ASSETS 1,007,043 100 818,292 100
s81 DERIVATIVE FINANCIAL INSTRUMENTS - - - -
s82 DISCONTINUED OPERATIONS - - - -
s83 OTHER 1,007,043 100 818,292 100
S18 INTANGIBLE ASSETS AND DEFERRED CHARGES (NET) 11,299,667 100 10,522,820 100
s48 DEFERRED EXPENSES (NET) 2,856,417 25 2,788,906 27
s49 GOODWILL 8,443,250 75 7,733,914 73
s51 OTHER - - - -
S19 OTHER ASSETS 4,384,139 100 4,362,184 100
s84 INTANGIBLE ASSET FROM LABOR OBLIGATIONS - - - -
s85 DERIVATIVE FINANCIAL INSTRUMENTS - - - -
s50 DEFERRED TAXES - - - -
s86 DISCONTINUED OPERATIONS - - - -
s87 OTHER 4,384,139 100 4,362,184 100
S21 CURRENT LIABILITIES 7,693,481 100 8,184,584 100
s52 FOREIGN CURRENCY LIABILITIES 2,789,539 36 4,602,566 56
s53 MEXICAN PESOS LIABILITIES 4,903,942 64 3,582,018 44
S26 OTHER CURRENT LIABILITIES 2,519,359 100 2,409,976 100
s88 DERIVATIVE FINANCIAL INSTRUMENTS 207,746 8 466,647 19
s89 ACCRUED INTEREST 270,265 11 447,024 19
s68 PROVISIONS - - - -
s90 DISCONTINUED OPERATIONS - - - -
s58 OTHER 2,041,348 81 1,496,305 62
S27 LONG-TERM LIABILITIES 20,186,561 100 21,929,726 100
s59 FOREIGN CURRENCY LIABILITIES 12,851,308 64 15,980,939 73
s60 MEXICAN PESOS LIABILITIES 7,335,253 36 5,948,787 27
S31 DEFERRED LIABILITIES 13,736,466 100 10,749,255 100
s65 NEGATIVE GOODWILL - - - -
s67 OTHER 13,736,466 100 10,749,255 100
S32 OTHER NON CURRENT LIABILITIES 317,318 100 1,469,679 100
s66 DEFERRED TAXES 108,626 34 1,308,961 89
s91 LABOR OBLIGATIONS 208,692 66 160,718 11
s92 DISCONTINUED OPERATIONS - - - -
s69 OTHER LIABILITIES - - - -
S79 CAPITAL STOCK 9,795,186 100 9,953,912 100
s37 CAPITAL STOCK (NOMINAL) 2,483,923 25 2,524,174 25
s38 RESTATEMENT OF CAPITAL STOCK 7,311,263 75 7,429,738 75
S42 RETAINED EARNINGS AND CAPITAL RESERVE 28,371,124 100 23,752,923 100
s93 LEGAL RESERVE 1,990,782 7 1,810,107 8
s43 RESERVE FOR REPURCHASE OF SHARES 4,313,485 15 5,782,020 24
s94 OTHER RESERVES - - - -
s95 RETAINED EARNINGS 18,468,576 65 14,230,063 60
s45 NET INCOME 3,598,281 13 1,930,733 8
S44 ACCUMULATED OTHER COMPREHENSIVE RESULT (4,305,004) 100 (5,564,153) 100
s70 ACCUMULATED MONETARY RESULT (32,803) 1 (32,803) 1
s71 RESULT FROM HOLDING NON-MONETARY ASSETS (1,689,350) 39 (2,205,622) 40
s96 CUMULATIVE RESULT FROM FOREIGN CURRENCY TRANSLATION (1,333,436) 31 (1,706,842) 31
s97 CUMULATIVE RESULT FROM DERIVATIVE FINANCIAL INSTRUMENTS - - - -
s98 CUMULATIVE EFFECT OF DEFERRED INCOME TAXES (3,006,033) 70 (3,006,033) 54
s99 LABOR OBLIGATIONS ADJUSTMENT - - - -
s100 OTHER 1,756,618 (41) 1,387,147 (25)
CONSOLIDATED FINANCIAL STATEMENTS
OTHER CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
S CONCEPTS ------------------- -------------------
AMOUNT AMOUNT
-------------------------------------------------------------------------------------------------------------
s57 OTHER CURRENT LIABILITIES WITH COST (S26) 85,477 74,473
s63 OTHER LOANS WITH COST (S32) 1,223,336 1,278,591
s72 WORKING CAPITAL 23,664,645 18,694,116
s73 PENSIONS AND SENIORITY PREMIUMS 1,442,850 1,220,349
s74 EXECUTIVES (*) 35 35
s75 EMPLOYEES (*) 15,893 14,651
s76 WORKERS (*) - -
s77 OUTSTANDING SHARES (*) 341,594,068,647 340,788,146,907
s78 REPURCHASED SHARES (*) 21,790,830,984 28,485,223,494
s101 RESTRICTED CASH 138,868 138,928
s102 NET DEBT OF NON CONSOLIDATED COMPANIES 15,680,222 15,219,379
(*) THESE CONCEPTS ARE STATED IN UNITS
CONSOLIDATED STATEMENTS OF INCOME
FROM JANUARY 1 THROUGH JUNE 30, 2006 AND 2005
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
R CONCEPTS ------------------- -------------------
AMOUNT % AMOUNT %
-------------------------------------------------------------------------------------------------------------
r01 NET SALES 17,245,463 100 14,679,424 100
r02 COST OF SALES 8,595,503 50 7,864,313 54
R03 GROSS PROFIT 8,649,960 50 6,815,111 46
r04 OPERATING EXPENSES 2,685,380 16 2,333,276 16
R05 OPERATING INCOME 5,964,580 35 4,481,835 31
r06 INTEGRAL FINANCING COST 17,092 0 1,006,774 7
R07 INCOME AFTER INTEGRAL FINANCING COST 5,947,488 34 3,475,061 24
r08 OTHER EXPENSE AND INCOME, NET 95,654 1 273,362 2
r44 NON-RECURRING CHARGES 527,194 3 190,665 1
R09 INCOME BEFORE TAXES AND EMPLOYEES' PROFIT
SHARING 5,324,640 31 3,011,034 21
r10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT
SHARING 1,446,132 8 785,686 5
R11 NET INCOME AFTER TAXES AND EMPLOYEES' PROFIT
SHARING 3,878,508 22 2,225,348 15
r12 SHARE IN NET INCOME OF NON-CONSOLIDATED
SUBSIDIARIES AND ASSOCIATES (185,844) (1) 160,313 1
R13 CONSOLIDATED NET INCOME OF CONTINUING
OPERATIONS 3,692,664 21 2,385,661 16
r14 INCOME FROM DISCONTINUED OPERATIONS - 0 - 0
R15 CONSOLIDATED NET INCOME BEFORE EXTRAORDINARY
ITEMS 3,692,664 21 2,385,661 16
r16 EXTRAORDINARY ITEMS, NET EXPENSE (INCOME) - 0 - 0
r17 CUMULATIVE EFFECT FROM ACCOUNTING CHANGE, NET - 0 183,571 1
R18 NET CONSOLIDATED INCOME 3,692,664 21 2,202,090 15
r19 NET INCOME OF MINORITY INTEREST 94,383 1 271,357 2
R20 NET INCOME OF MAJORITY INTEREST 3,598,281 21 1,930,733 13
CONSOLIDATED STATEMENTS OF INCOME
BREAKDOWN OF MAIN CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
R CONCEPTS ------------------- -------------------
AMOUNT % AMOUNT %
-------------------------------------------------------------------------------------------------------------
R01 NET SALES 17,245,463 100 14,679,424 100
r21 DOMESTIC 15,224,511 88 12,891,816 88
r22 FOREIGN 2,020,952 12 1,787,608 12
r23 TRANSLATED INTO DOLLARS (***) 178,120 1 161,278 1
R06 INTEGRAL FINANCING COST 17,092 100 1,006,774 100
r24 INTEREST EXPENSE 947,932 5,546 1,111,986 110
r42 LOSS (GAIN) ON RESTATEMENT OF UDI'S 9,826 57 12,744 1
r45 OTHER FINANCIAL COSTS - 0 - 0
r26 INTEREST INCOME 569,657 3,333 573,659 57
r46 OTHER FINANCIAL PRODUCTS - 0 - 0
r25 FOREIGN EXCHANGE LOSS (GAIN), NET (432,914) (2,533) 412,618 41
r28 RESULT FROM MONETARY POSITION 61,905 362 43,085 4
R10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT SHARING 1,446,132 100 785,686 100
r32 INCOME TAX AND ASSET TAX, CURRENT 1,516,260 105 809,157 103
r33 INCOME TAX AND ASSET TAX, DEFERRED (75,292) (5) (26,844) (3)
r34 EMPLOYEES' PROFIT SHARING, CURRENT 5,164 0 3,373 0
r35 EMPLOYEES' PROFIT SHARING, DEFERRED - 0 - 0
(***) THOUSANDS OF DOLLARS
CONSOLIDATED STATEMENTS OF INCOME
OTHER CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
R CONCEPTS ------------------- -------------------
AMOUNT AMOUNT
-------------------------------------------------------------------------------------------------------------
r36 TOTAL SALES 18,469,127 15,883,420
r37 TAX RESULT FOR THE YEAR 4,745,786 1,509,286
r38 NET SALES (**) 35,258,759 31,506,321
r39 OPERATING INCOME (**) 12,355,934 9,741,362
r40 NET INCOME OF MAJORITY INTEREST (**) 7,833,010 5,415,053
r41 NET CONSOLIDATED INCOME (**) 8,747,122 5,936,344
r47 DEPRECIATION AND AMORTIZATION 1,284,363 1,125,304
(**) RESTATED INFORMATION FOR THE LAST TWELVE MONTHS
QUARTERLY CONSOLIDATED STATEMENTS OF INCOME
FROM APRIL 1 THROUGH JUNE 30, 2006 AND 2005
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
RT CONCEPTS ------------------- -------------------
AMOUNT % AMOUNT %
-------------------------------------------------------------------------------------------------------------
rt01 NET SALES 9,799,070 100 8,106,521 100
rt02 COST OF SALES 4,611,924 47 4,128,950 51
RT03 GROSS PROFIT 5,187,146 53 3,977,571 49
rt04 OPERATING EXPENSES 1,394,338 14 1,192,923 15
RT05 OPERATING INCOME 3,792,808 39 2,784,648 34
rt06 INTEGRAL FINANCING COST (195,067) (2) 694,344 9
RT07 INCOME AFTER INTEGRAL FINANCING COST 3,987,875 41 2,090,304 26
rt08 OTHER EXPENSE AND INCOME, NET 68,314 1 240,974 3
rt44 NON-RECURRING CHARGES 468,129 5 16,829 0
RT09 INCOME BEFORE TAXES AND EMPLOYEES' PROFIT
SHARING 3,451,432 35 1,832,501 23
rt10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT
SHARING 933,898 10 464,669 6
RT11 NET INCOME AFTER TAXES AND EMPLOYEES' PROFIT
SHARING 2,517,534 26 1,367,832 17
rt12 SHARE IN NET INCOME OF NON-CONSOLIDATED
SUBSIDIARIES AND ASSOCIATES (232,863) (2) 141,351 2
RT13 CONSOLIDATED NET INCOME OF CONTINUING
OPERATIONS 2,284,671 23 1,509,183 19
rt14 INCOME FROM DISCONTINUED OPERATIONS - 0 - 0
RT15 CONSOLIDATED NET INCOME BEFORE EXTRAORDINARY
ITEMS 2,284,671 23 1,509,183 19
rt16 EXTRAORDINARY ITEMS, NET EXPENSE (INCOME) - 0 - 0
rt17 CUMULATIVE EFFECT FROM ACCOUNTING CHANGE, NET - 0 - 0
RT18 NET CONSOLIDATED INCOME 2,284,671 23 1,509,183 19
rt19 NET INCOME OF MINORITY INTEREST (22,760) (0) 191,463 2
RT20 NET INCOME OF MAJORITY INTEREST 2,307,431 24 1,317,720 16
QUARTERLY CONSOLIDATED STATEMENTS OF INCOME
BREAKDOWN OF MAIN CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
RT CONCEPTS ------------------- -------------------
AMOUNT % AMOUNT %
-------------------------------------------------------------------------------------------------------------
RT01 NET SALES 9,799,070 100 8,106,521 100
rt21 DOMESTIC 8,667,986 88 7,131,435 88
rt22 FOREIGN 1,131,084 12 975,086 12
rt23 TRANSLATED INTO DOLLARS (***) 96,336 1 90,717 1
RT06 INTEGRAL FINANCING COST (195,067) 100 694,344 100
rt24 INTEREST EXPENSE 488,847 (251) 557,739 80
rt42 LOSS (GAIN) ON RESTATEMENT OF UDI'S (1,313) 1 2,173 0
rt45 OTHER FINANCIAL COSTS - 0 - 0
rt26 INTEREST INCOME 293,264 (150) 271,992 39
rt46 OTHER FINANCIAL PRODUCTS - 0 - 0
rt25 FOREIGN EXCHANGE LOSS (GAIN), NET (404,404) 207 381,858 55
rt28 RESULT FROM MONETARY POSITION 15,067 (8) 24,566 4
RT10 PROVISION FOR TAXES AND EMPLOYEES' PROFIT SHARING 933,898 100 464,669 100
rt32 INCOME TAX AND ASSET TAX, CURRENT 991,762 106 538,184 116
rt33 INCOME TAX AND ASSET TAX, DEFERRED (61,050) (7) (76,008) (16)
rt34 EMPLOYEES' PROFIT SHARING, CURRENT 3,186 0 2,493 1
rt35 EMPLOYEES' PROFIT SHARING, DEFERRED - 0 - 0
(***) THOUSANDS OF DOLLARS
QUARTERLY CONSOLIDATED STATEMENTS OF INCOME
OTHER CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
RT CONCEPTS ------------------- -------------------
AMOUNT AMOUNT
-------------------------------------------------------------------------------------------------------------
rt47 DEPRECIATION AND AMORTIZATION 656,504 565,927
CONSOLIDATED STATEMENTS OF CHANGES IN FINANCIAL POSITION
FROM JANUARY 1 THROUGH JUNE 30, 2006 AND 2005
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
C CONCEPTS ------------------- -------------------
AMOUNT AMOUNT
-------------------------------------------------------------------------------------------------------------
c01 CONSOLIDATED NET INCOME 3,692,664 2,202,090
c02 + (-) ITEMS ADDED TO INCOME WHICH DO NOT REQUIRE
USING RESOURCES 1,431,232 1,360,535
C03 RESOURCES FROM NET INCOME FOR THE YEAR 5,123,896 3,562,625
c04 RESOURCES PROVIDED OR USED IN OPERATION 2,582,329 1,530,201
C05 RESOURCES PROVIDED BY (USED FOR) OPERATING
ACTIVITIES 7,706,225 5,092,826
c06 RESOURCES PROVIDED BY (USED FOR) EXTERNAL
FINANCING ACTIVITIES 1,248,497 (628,899)
c07 RESOURCES PROVIDED BY (USED FOR) INTERNAL
FINANCING ACTIVITIES (1,407,571) (4,646,786)
C08 RESOURCES PROVIDED BY (USED FOR) FINANCING
ACTIVITIES (159,074) (5,275,685)
C09 RESOURCES PROVIDED BY (USED FOR) INVESTMENT
ACTIVITIES (3,579,864) (1,967,545)
c10 NET INCREASE (DECREASE) IN CASH AND SHORT-TERM
INVESTMENTS 3,967,287 (2,150,404)
c11 CASH AND SHORT-TERM INVESTMENTS AT THE
BEGINNING OF PERIOD 14,874,262 17,308,005
c12 CASH AND SHORT-TERM INVESTMENTS AT THE END
OF PERIOD 18,841,549 15,157,601
CONSOLIDATED STATEMENTS OF CHANGES IN FINANCIAL POSITION
BREAKDOWN OF MAIN CONCEPTS
(Thousands of Mexican Pesos)
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CURRENT YEAR PREVIOUS YEAR
C CONCEPTS ------------------- -------------------
AMOUNT AMOUNT
-------------------------------------------------------------------------------------------------------------
C02 + (-) ITEMS ADDED TO INCOME WHICH DO NOT REQUIRE
USING RESOURCES 1,431,232 1,360,535
c13 + DEPRECIATION AND AMORTIZATION FOR THE YEAR 1,284,363 1,125,304
c41 + (-) OTHER ITEMS 146,869 235,231
C04 RESOURCES PROVIDED OR USED IN OPERATION 2,582,329 1,530,201
c18 + (-) DECREASE (INCREASE) IN ACCOUNTS RECEIVABLE 6,651,540 6,020,163
c19 + (-) DECREASE (INCREASE) IN INVENTORIES (180,236) 690,521
c20 + (-) DECREASE (INCREASE) IN OTHER ACCOUNTS
RECEIVABLE AND OTHER ASSETS (226,895) (116,608)
c21 + (-) INCREASE (DECREASE) IN SUPPLIERS 594,325 708,485
c22 + (-) INCREASE (DECREASE) IN OTHER LIABILITIES (4,256,405) (5,772,360)
C06 RESOURCES PROVIDED BY (USED FOR) EXTERNAL
FINANCING ACTIVITIES 1,248,497 (628,899)
c23 + BANK FINANCING 3,500,000 -
c24 + STOCK MARKET FINANCING - 6,650,402
c25 + DIVIDEND RECEIVED - -
c26 + OTHER FINANCING - -
c27 (-) BANK FINANCING AMORTIZATION (123,092) (155,086)
c28 (-) STOCK MARKET FINANCING AMORTIZATION (3,154,617) (6,636,339)
c29 (-) OTHER FINANCING AMORTIZATION - (86,720)
c42 + (-) OTHER ITEMS 1,026,206 (401,156)
C07 RESOURCES PROVIDED BY (USED FOR) INTERNAL
FINANCING ACTIVITIES (1,407,571) (4,646,786)
c30 + (-) INCREASE (DECREASE) IN CAPITAL STOCK - -
c31 (-) DIVIDENDS PAID (1,083,143) (4,333,849)
c32 + PREMIUM ON SALE OF SHARES - -
c33 + CONTRIBUTION FOR FUTURE CAPITAL INCREASES - -
c43 + (-) OTHER ITEMS (324,428) (312,937)
C09 RESOURCES PROVIDED BY (USED FOR) INVESTMENT
ACTIVITIES (3,579,864) (1,967,545)
c34 + (-) DECREASE (INCREASE) IN PERMANENT INVESTMENTS (700,253) 75,755
c35 (-) ACQUISITION OF PROPERTY, PLANT AND EQUIPMENT (1,180,200) (1,091,984)
c36 (-) INCREASE IN CONSTRUCTION IN PROGRESS - -
c37 + (-) SALE OF OTHER PERMANENT INVESTMENTS - -
c38 + SALE OF TANGIBLE FIXED ASSETS 190,821 73,955
c39 + (-) OTHER ITEMS (1,890,232) (1,025,271)
RATIOS
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
REF CONCEPTS CURRENT YEAR PREVIOUS YEAR
P
-------------------------------------------------------------------------------------------------------------
YIELD
p01 NET INCOME TO NET SALES 21.41 % 15.00 %
p02 NET INCOME TO STOCKHOLDERS' EQUITY (**) 23.87 % 21.03 %
p03 NET INCOME TO TOTAL ASSETS (**) 11.50 % 8.71 %
p04 CASH DIVIDENDS TO PREVIOUS YEAR NET INCOME 17.57 % 96.53 %
p05 RESULT FROM MONETARY POSITION TO NET INCOME (1.67) % (1.95) %
ACTIVITY
p06 NET SALES TO NET ASSETS (**) 0.46 times 0.46 times
p07 NET SALES TO FIXED ASSETS (**) 1.74 times 1.59 times
p08 INVENTORIES TURNOVER (**) 4.63 times 4.28 times
p09 ACCOUNTS RECEIVABLE IN DAYS OF SALES 66.57 days 60.34 days
p10 PAID INTEREST TO TOTAL LIABILITIES WITH COST (**) 9.42 % 9.75 %
LEVERAGE
p11 TOTAL LIABILITIES TO TOTAL ASSETS 55.15 % 62.13 %
p12 TOTAL LIABILITIES TO STOCKHOLDERS' EQUITY 1.23 times 1.64 times
p13 FOREIGN CURRENCY LIABILITIES TO TOTAL LIABILITIES 37.29 % 48.62 %
p14 LONG-TERM LIABILITIES TO FIXED ASSETS 100.08 % 111.29 %
p15 OPERATING INCOME TO INTEREST PAID 6.29 times 4.03 times
p16 NET SALES TO TOTAL LIABILITIES (**) 0.84 times 0.74 times
LIQUIDITY
p17 CURRENT ASSETS TO CURRENT LIABILITIES 4.07 times 3.28 times
p18 CURRENT ASSETS LESS INVENTORY TO CURRENT
LIABILITIES 3.58 times 2.79 times
p19 CURRENT ASSETS TO TOTAL LIABILITIES 0.74 times 0.63 times
p20 AVAILABLE ASSETS TO CURRENT LIABILITIES 244.90 % 185.19 %
STATEMENTS OF CHANGES
p21 RESOURCES FROM NET INCOME TO NET SALES 29.71 % 24.26 %
p22 RESOURCES FROM CHANGES IN WORKING CAPITAL TO
NET SALES 14.97 % 10.42 %
p23 RESOURCES GENERATED (USED) IN OPERATING TO
INTEREST PAID 8.12 times 4.57 times
p24 EXTERNAL FINANCING TO RESOURCES PROVIDED BY
(USED FOR) FINANCING (784.85) % 11.92 %
p25 INTERNAL FINANCING TO RESOURCES PROVIDED BY
(USED FOR) FINANCING 884.85 % 88.07 %
p26 ACQUISITION OF PROPERTY, PLANT AND EQUIPMENT TO
RESOURCES PROVIDED BY (USED FOR) INVESTMENT
ACTIVITIES 32.96 % 55.49 %
(**) IN THESE RATIOS FOR THE DATA TAKE INTO CONSIDERATION THE LAST TWELVE MONTHS.
DATA PER SHARE
CONSOLIDATED FINANCIAL STATEMENT
FINAL PRINTING
-------------------------------------------------------------------------------------------------------------
CURRENT YEAR PREVIOUS YEAR
REF CONCEPTS ------------------- -------------------
D AMOUNT AMOUNT
-------------------------------------------------------------------------------------------------------------
d01 BASIC PROFIT PER ORDINARY SHARE (**) $ .02 $ .02
d02 BASIC PROFIT PER PREFERRED SHARE (**) $ .00 $ .00
d03 DILUTED PROFIT PER ORDINARY SHARE (**) $ .00 $ .00
d04 CONTINUING OPERATING PROFIT PER COMMON SHARE (**) $ .03 $ .02
d05 EFFECT OF DISCONTINUED OPERATION ON CONTINUING
OPERATING PROFIT PER SHARE (**) $ .00 $ .00
d06 EFFECT OF EXTRAORDINARY PROFIT AND LOSS ON
CONTINUING OPERATING PROFIT PER SHARE (**) $ .00 $ .00
d07 EFFECT BY CHANGES IN ACCOUNTING POLICIES ON
CONTINUING OPERATING PROFIT PER SHARE (**) $ .00 $ .00
d08 CARRYING VALUE PER SHARE $ .10 $ .08
d09 CASH DIVIDEND ACCUMULATED PER SHARE $ .00 $ .01
d10 DIVIDEND IN SHARES PER SHARE .00 shares .00 shares
d11 MARKET PRICE TO CARRYING VALUE 3.90 times 3.77 times
d12 MARKET PRICE TO BASIC PROFIT PER ORDINARY SHARE (**) 16.30 times 17.99 times
d13 MARKET PRICE TO BASIC PROFIT PER PREFERRED SHARE (**) .00 times .00 times
(**) TO CALCULATE THE DATA PER SHARE USE THE NET INCOME FOR THE LAST TWELVE MONTHS.
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA QUARTER: 2 YEAR: 2006
GRUPO TELEVISA, S.A.
FINANCIAL STATEMENT NOTES(1)
CONSOLIDATED
FINAL PRINTING
---------------------------------------------------------------------------
STATEMENT OF CHANGES - ANALYSIS OF MAJOR CONCEPTS
LINE C43: "OTHER ITEMS" INCLUDES PS.271,376 OF RESALE OF SHARES
REPURCHASED, PS.(379,810) OF REPURCHASE OF SHARES, PS.87,659 OF SHARES
COMPENSATION PLAN, PS.359,478 OF BENEFIT DILUTION IN GRUPO INNOVA AND
PS.(663,131) FOR CAPITAL DISTRIBUTION IN CONNECTION WITH THE ACQUISITION OF
MINORITY INTEREST IN GRUPO INNOVA.
THIS PRESENTATION WAS 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.
LINE S102: THESE AMOUNTS ARE RECOGNIZED AS OTHER INVESTMENTS (REF. S11).
ANALYSIS OF PAID CAPITAL STOCK
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------------------------------
CAPITAL STOCK
NUMBER OF SHARES (Thousands of Mexican Pesos)
------------------------------------------------------------------- -------------------------------
NOMINAL VALID FIXED VARIABLE FREE
SERIES VALUE COUPON PORTION PORTION MEXICAN SUBSCRIPTION FIXED VARIABLE
--------------------------------------------------------------------------------------------------------------------------------
A 114,599,087,440 114,599,087,440 852,636
B 54,281,436,395 54,281,436,395 411,974
D 86,356,772,406 86,356,772,406 629,782
L 86,356,772,406 86,356,772,406 629,782
TOTAL 341,594,068,647 0 255,237,296,241 86,356,772,406 2,524,174 0
--------------------------------------------------------------------------------------------------------------------------------
TOTAL NUMBER OF SHARES REPRESENTING THE PAID-IN CAPITAL STOCK ON THE DATE THE INFORMATION
WAS SENT: 341,594,068,647
---------------
NOTES:
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA DATE: 7/18/2006
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.
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
----------------------------------------------------------------------------
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
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: RESPONSIBLE FOR SENDING SHARE REPURCHASE
INFORMATION
POSITION: DIRECTOR FINANCIAL OFFICER
NAME: LIC. GUADALUPE PHILLIPS MARGAIN
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 3
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-21-35
FAX: 5261-25-24
E-MAIL: gphilips@televisa.com.mx
----------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR LEGAL MATTERS
POSITION: VICE PRESIDENT - LEGAL AND GENERAL COUNSEL
NAME: LIC. JOAQUIN BALCARCEL SANTA CRUZ
ADDRESS: AV. VASCO DE QUIROGA # 2000 EDIFICIO A PISO 4
NEIGHBORHOOD: SANTA FE
ZIP CODE: 01210
CITY AND STATE: MEXICO, D.F.
TELEPHONE: 5261-24-33
FAX: 5261-25-46
E-MAIL: jbalcarcel@televisa.com.mx
----------------------------------------------------------------------------
BMV POSITION: RESPONSIBLE FOR SENDING FINANCIAL INFORMATION
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 RELEVANT EVENTS
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
----------------------------------------------------------------------------
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
----------------------------------------------------------------------------
BMV POSITION: SECRETARY 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 FOR PAYMENT
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
BOARD OF DIRECTORS
============================================================================
POSITION: PRESIDENT
NAME: EMILIO FERNANDO AZCARRAGA JEAN
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: EMILIO FERNANDO AZCARRAGA JEAN
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JOAQUIN BALCARCEL SANTA CRUZ
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: ALFONSO DE ANGOITIA NORIEGA
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: SALVI RAFAEL FOLCH VIADERO
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: JULIO BARBA HURTADO
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JORGE LUTTEROTH ECHEGOYEN
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: JOSE ANTONIO BASTON PATINO
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: RAFAEL CARABIAS PRINCIPE
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: MANUEL J. CUTILLAS COVANI
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: SALVI RAFAEL FOLCH VIADERO
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: GILBERTO PEREZALONSO CIFUENTES
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: FRANCISCO JOSE CHEVEZ ROBELO
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: FERNANDO SENDEROS MESTRE
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JUAN FERNANDO CALVILLO ARMENDARIZ
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: BERNARDO GOMEZ MARTINEZ
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: LEOPOLDO GOMEZ GONZALEZ BLANCO
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: CLAUDIO X. GONZALEZ LAPORTE
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: GUILLERMO NAVA GOMEZ-TAGLE
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: ENRIQUE KRAUZE KLEINBORT
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: MAXIMILIANO ARTEAGA CARLEBACH
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: ALEJANDRO QUINTERO INIGUEZ
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: FELIX ARAUJO RAMIREZ
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: MARIA ASUNCION ARAMBURUZABALA LARREGUI
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JUAN PABLO ANDRADE FRICH
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: CARLOS FERNANDEZ GONZALEZ
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: LUCRECIA ARAMBURUZABALA LARREGUI
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: CARLOS SLIM DOMIT
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JOSE HEREDIA BRETON
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: LORENZO H. ZAMBRANO TREVINO
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: ALEXANDRE MOREIRA PENNA DA SILVA
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: PEDRO ASPE ARMELLA
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JOSE ANTONIO LARA DEL OLMO
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: ALBERTO BAILLERES GONZALEZ
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: RAUL MORALES MEDRANO
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: ROBERTO HERNANDEZ RAMIREZ
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: ALBERTO MONTIEL CASTELLANOS
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: GERMAN LARREA MOTA VELASCO
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: JOSE LUIS FERNANDEZ FERNANDEZ
----------------------------------------------------------------------------
POSITION: DIRECTOR
NAME: ENRIQUE FRANCISCO J. SENIOR HERNANDEZ
----------------------------------------------------------------------------
POSITION: ALTERNATE DIRECTOR
NAME: HERBERT ALLEN III
----------------------------------------------------------------------------
POSITION: STATUTORY AUDITOR
NAME: MARIO SALAZAR ERDMANN
----------------------------------------------------------------------------
POSITION: ALTERNATE STATUTORY AUDITOR
NAME: JOSE MIGUEL ARRIETA MENDEZ
----------------------------------------------------------------------------
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., JULY 17, 2006
ANALYSIS OF INVESTMENTS IN SHARES
SUBSIDIARIES
CONSOLIDATED
FINAL PRINTING
------------------------------------------------------------------------------------------------------------------------
NUMBER %
COMPANY NAME MAIN ACTIVITIES OF SHARES OWNERSHIP
------------------------------------------------------------------------------------------------------------------------
1 CORPORATIVO VASCO DE QUIROGA, PROMOTION AND DEVELOPMENT OF
S.A. DE C.V. COMPANIES 12,511,529 100.00
2 CVQ ESPECTACULOS, S.A. DE C.V. PROMOTION AND DEVELOPMENT OF
COMPANIES 13,400,500 100.00
3 DTH EUROPA, S.A. PROMOTION AND DEVELOPMENT OF
COMPANIES 1,080,182 90.25
4 EDITORA FACTUM, S.A. DE C.V. PROMOTION AND DEVELOPMENT OF
COMPANIES 666,569,438 100.00
5 EDITORIAL TELEVISA, S.A. DE C.V. PROMOTION AND DEVELOPMENT OF
COMPANIES 1,037,498 100.00
6 FACTUM MAS, S.A. DE C.V. PROMOTION AND DEVELOPMENT OF
COMPANIES 5,482,020,219 100.00
7 GRUPO DISTRIBUIDORAS INTERMEX, DISTRIBUTION OF BOOKS
S.A. DE C.V. AND MAGAZINES 242,378,445 100.00
8 CAMPUS AMERICA, S.A. DE C.V. PROMOTION AND DEVELOPMENT OF
COMPANIES 418,881,301 100.00
9 PROMO-INDUSTRIAS PROMOTION AND DEVELOPMENT OF
METROPOLITANAS, S.A. DE C.V. COMPANIES 1,185,147 100.00
10 SISTEMA RADIOPOLIS, S.A. DE C.V. COMMERCIALIZATION OF
RADIO PROGRAMMING 76,070,313 50.00
11 TELEPARABOLAS, S.L. MAINTENANCE OF PARABOLIC DISHES 1,500 100.00
12 TELESISTEMA MEXICANO, S.A. DE C.V. COMMERCIALIZATION OF TELEVISION 149,442,880 100.00
13 TELEVISA ARGENTINA, S.A. COMMERCIAL OPERATION OF TELEVISION 1,425,000 95.00
14 TELEVISA JUEGOS, S.A. DE C.V. PROMOTION AND DEVELOPMENT OF
COMPANIES 65,249 100.00
15 TELEVISION INDEPENDIENTE DE PROMOTION AND DEVELOPMENT OF
MEXICO, S.A. DE C.V. COMPANIES 32,864,116 100.00
16 CAPITALIZED INTEGRAL COST OF FOR THE YEARS 1994, 1995, 1996 AND 1998 - -
FINANCING
ANALYSIS OF INVESTMENTS IN SHARES
ASSOCIATES
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------------------------------
TOTAL AMOUNT
(Thousands of Mexican Pesos)
-------------------------------
NUMBER % ACQUISITION BOOK
COMPANY NAME MAIN ACTIVITIES OF SHARES OWNERSHIP COST VALUE
--------------------------------------------------------------------------------------------------------------------------------
1 ARGOS COMUNICACION, S.A. DE C.V. OPERATION AND/OR
BROADCASTING OF T.V. 33,000,000 15.30 137,000 45,057
2 DIBUJOS ANIMADOS MEXICANOS PRODUCTION OF
DIAMEX, S.A. DE C.V. ANIMATED CARTOONS 1,735,560 49.00 4,384 765
3 EDITORIAL CLIO, LIBROS Y VIDEOS, PUBLISHING AND PRINTING
S.A. DE C.V. OF BOOKS AND MAGAZINES 3,227,050 30.00 26,270 16,225
4 ENDEMOL MEXICO, S.A. DE C.V. COMMERCIALIZATION OF
TELEVISION PROGRAMMING 24,500 49.00 1,635 16,114
5 EN VIVO ESPECTACULOS, S. DE R.L. LIVE ENTERTAINMENT IN
DE C.V. MEXICO 2 100.00 4,898 1,225
6 MAS FONDOS, S.A. DE C.V. MUTUAL FUND DISTRIBUTION
COMPANY 99,758 46.55 99,758 (1,480)
7 METROS CUBICOS, S.A. DE C.V. PORTAL INTERNET 2,089,343 18.65 43,031 4,059
8 OCESA ENTRETENIMIENTO, S.A. DE LIVE ENTERTAINMENT IN
C.V. MEXICO 14,100,000 40.00 1,095,581 522,591
9 CONTROLADORA VUELA
COMPANIA DE AVIACION, S.A. DE C.V. CARRIER AIRLINE 15 25.00 270,824 226,910
10 GESTORA DE INVERSIONES COMMERCIALIZATION OF
AUDIOVISUALES, S.A.U. TELEVISION PROGRAMMING 2,480,405 40.00 370,403 71,789
11 TELEVISORA DEL YAQUI, S.A. DE C.V. OPERATION AND/OR
BROADCASTING OF T.V. 4,124,986 15.00 412 40,171
12 PUBLICIDAD VIRTUAL TV ADVERTISING
LATINOAMERICANA, LTDA SERVICES 1 100.00 20,985 (774)
13 TELEVISA EMI MUSIC, S.A DE C.V. MUSIC RECORDING 25 50.00 25 (6,320)
14 UNIVISION COMMUNICATIONS, INC. BROADCASTING OF T.V.
SPANISH PROGRAMS 30,187,534 9.90 5,602,976 6,422,484
--------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN ASSOCIATES 7,678,182 7,358,816
--------------------------------------------------------------------------------------------------------------------------------
OTHER PERMANENT INVESTMENTS 1,453,312
--------------------------------------------------------------------------------------------------------------------------------
TOTAL 7,678,182 8,812,128
--------------------------------------------------------------------------------------------------------------------------------
CREDIT BREAK DOWN
(Thousands of Mexican Pesos)
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------------------------------
AMORTIZATION OF CREDITS DENOMINATED IN PESOS (THOUSANDS OF $)
-----------------------------------------------------------------
AMORTIZATION INTEREST TIME INTERVAL
-----------------------------------------------------------------
CREDIT TYPE / INSTITUTION DATE RATE CURRENT UNTIL 1 UNTIL 2 UNTIL 3 UNTIL 4 UNTIL 5
YEAR YEAR YEAR YEAR YEAR YEAR
--------------------------------------------------------------------------------------------------------------------------------
BANKS
--------------------------------------------------------------------------------------------------------------------------------
FOREIGN TRADE
--------------------------------------------------------------------------------------------------------------------------------
SECURED
--------------------------------------------------------------------------------------------------------------------------------
COMMERCIAL BANKS
--------------------------------------------------------------------------------------------------------------------------------
BANAMEX, S.A. 4/23/2012 10.35 2,000,000
BANAMEX, S.A. 5/21/2009 9.70 1,162,460
BANAMEX, S.A. 5/1/2008 8.93 120,000 480,000
BANAMEX, S.A. 4/20/2016 8.74 2,100,000
SANTANDER SERFIN 4/21/2016 8.98 1,400,000
BANK OF AMERICA 3/31/2010 6.58
SUNTRUST BANK MIAMI, NATIONAL 4/1/2008 4.50
LEASING DE COLOMBIA 6/28/2009 13.49
LEASING DE OCCIDENTE 4/29/2007 15.86
--------------------------------------------------------------------------------------------------------------------------------
OTHER
--------------------------------------------------------------------------------------------------------------------------------
TOTAL BANKS 120,000 - 480,000 1,162,460 - 5,500,000
--------------------------------------------------------------------------------------------------------------------------------
STOCK MARKET
--------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------
AMORTIZATION OF CREDITS IN FOREIGN CURRENCY (THOUSANDS OF $)
-----------------------------------------------------------------
AMORTIZATION INTEREST TIME INTERVAL
-----------------------------------------------------------------
CREDIT TYPE / INSTITUTION DATE RATE CURRENT UNTIL 1 UNTIL 2 UNTIL 3 UNTIL 4 UNTIL 5
YEAR YEAR YEAR YEAR YEAR YEAR
--------------------------------------------------------------------------------------------------------------------------------
BANKS
--------------------------------------------------------------------------------------------------------------------------------
FOREIGN TRADE
--------------------------------------------------------------------------------------------------------------------------------
SECURED
--------------------------------------------------------------------------------------------------------------------------------
COMMERCIAL BANKS
--------------------------------------------------------------------------------------------------------------------------------
BANAMEX, S.A. 4/23/2012 10.35
BANAMEX, S.A. 5/21/2009 9.70
BANAMEX, S.A. 5/1/2008 8.93
BANAMEX, S.A. 4/20/2016 8.74
SANTANDER SERFIN 4/21/2016 8.98
BANK OF AMERICA 3/31/2010 6.58 284 284 569 568 28,923
SUNTRUST BANK MIAMI, NATIONAL 4/1/2008 4.50 4,538 4,538
LEASING DE COLOMBIA 6/28/2009 13.49 188 22 52 192
LEASING DE OCCIDENTE 4/29/2007 15.86 139 69
--------------------------------------------------------------------------------------------------------------------------------
OTHER 611 4,913 5,159 760 28,923 -
--------------------------------------------------------------------------------------------------------------------------------
TOTAL BANKS
--------------------------------------------------------------------------------------------------------------------------------
STOCK MARKET
--------------------------------------------------------------------------------------------------------------------------------
CREDIT BREAK DOWN
(Thousands of Mexican Pesos)
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------------------------------
AMORTIZATION OF CREDITS DENOMINATED IN PESOS (THOUSANDS OF $)
-----------------------------------------------------------------
AMORTIZATION INTEREST TIME INTERVAL
-----------------------------------------------------------------
CREDIT TYPE / INSTITUTION DATE RATE CURRENT UNTIL 1 UNTIL 2 UNTIL 3 UNTIL 4 UNTIL 5
YEAR YEAR YEAR YEAR YEAR YEAR
--------------------------------------------------------------------------------------------------------------------------------
LISTED STOCK EXCHANGE
--------------------------------------------------------------------------------------------------------------------------------
UNSECURED
--------------------------------------------------------------------------------------------------------------------------------
SECURED
--------------------------------------------------------------------------------------------------------------------------------
PRIVATE PLACEMENTS
--------------------------------------------------------------------------------------------------------------------------------
UNSECURED
--------------------------------------------------------------------------------------------------------------------------------
UDI-DENOMINATED NOTES 4/13/2007 8.15 950,904
HOLDERS 9/13/2011 8.41
HOLDERS 3/11/2032 8.94
HOLDERS 3/18/2025 6.97
HOLDERS 9/19/2013 9.86
--------------------------------------------------------------------------------------------------------------------------------
SECURED
--------------------------------------------------------------------------------------------------------------------------------
TOTAL STOCK MARKET 0 950,904 0 0 0 0
--------------------------------------------------------------------------------------------------------------------------------
SUPPLIERS
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 6/30/2006 1,602,337
--------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------
AMORTIZATION OF CREDITS IN FOREIGN CURRENCY (THOUSANDS OF $)
-----------------------------------------------------------------
AMORTIZATION INTEREST TIME INTERVAL
-----------------------------------------------------------------
CREDIT TYPE / INSTITUTION DATE RATE CURRENT UNTIL 1 UNTIL 2 UNTIL 3 UNTIL 4 UNTIL 5
YEAR YEAR YEAR YEAR YEAR YEAR
--------------------------------------------------------------------------------------------------------------------------------
LISTED STOCK EXCHANGE
--------------------------------------------------------------------------------------------------------------------------------
UNSECURED
--------------------------------------------------------------------------------------------------------------------------------
SECURED
--------------------------------------------------------------------------------------------------------------------------------
PRIVATE PLACEMENTS
--------------------------------------------------------------------------------------------------------------------------------
UNSECURED
--------------------------------------------------------------------------------------------------------------------------------
UDI-DENOMINATED NOTES 4/13/2007 8.15
HOLDERS 9/13/2011 8.41 816,356
HOLDERS 3/11/2032 8.94 3,403,800
HOLDERS 3/18/2025 6.97 6,807,600
HOLDERS 9/19/2013 9.86 127,654
--------------------------------------------------------------------------------------------------------------------------------
SECURED
--------------------------------------------------------------------------------------------------------------------------------
TOTAL STOCK MARKET 0 0 0 0 0 11,155,410
--------------------------------------------------------------------------------------------------------------------------------
SUPPLIERS
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 6/30/2006
--------------------------------------------------------------------------------------------------------------------------------
CREDIT BREAK DOWN
(Thousands of Mexican Pesos)
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------------------------------
AMORTIZATION OF CREDITS DENOMINATED IN PESOS (THOUSANDS OF $)
-----------------------------------------------------------------
AMORTIZATION INTEREST TIME INTERVAL
-----------------------------------------------------------------
CREDIT TYPE / INSTITUTION DATE RATE CURRENT UNTIL 1 UNTIL 2 UNTIL 3 UNTIL 4 UNTIL 5
YEAR YEAR YEAR YEAR YEAR YEAR
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 6/30/2006
--------------------------------------------------------------------------------------------------------------------------------
TOTAL SUPPLIERS - 1,602,337 - - - -
--------------------------------------------------------------------------------------------------------------------------------
OTHER CURRENT LIABILITIES AND
OTHER CREDITS
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 6/30/2006 1,324,528
VARIOUS 9/7/2000 192,793
--------------------------------------------------------------------------------------------------------------------------------
TOTAL 120,000 3,877,769 672,793 1,162,460 - 5,500,000
--------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------
AMORTIZATION OF CREDITS IN FOREIGN CURRENCY (THOUSANDS OF $)
-----------------------------------------------------------------
AMORTIZATION INTEREST TIME INTERVAL
-----------------------------------------------------------------
CREDIT TYPE / INSTITUTION DATE RATE CURRENT UNTIL 1 UNTIL 2 UNTIL 3 UNTIL 4 UNTIL 5
YEAR YEAR YEAR YEAR YEAR YEAR
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 6/30/2006 1,965,967
--------------------------------------------------------------------------------------------------------------------------------
TOTAL SUPPLIERS - 1,965,967 - - - -
--------------------------------------------------------------------------------------------------------------------------------
OTHER CURRENT LIABILITIES AND
OTHER CREDITS
--------------------------------------------------------------------------------------------------------------------------------
VARIOUS 6/30/2006 41,516 675,304
VARIOUS 9/7/2000 533,562 107,464 120,495 899,535
--------------------------------------------------------------------------------------------------------------------------------
TOTAL 42,127 2,646,184 538,721 108,224 149,418 12,054,945
--------------------------------------------------------------------------------------------------------------------------------
NOTES
THE EXCHANGE RATES FOR THE CREDITS DENOMINATED IN FOREIGN CURRENCY
WERE AS FOLLOWS:
$ 11.3460 PESOS PER U.S. DOLLAR
0.0044 PESOS PER COLOMBIAN PESO
MONETARY FOREIGN CURRENCY POSITION
(Thousands of Mexican Pesos)
CONSOLIDATED
FINAL PRINTING
------------------------------------------------------------------------------------------------------------
DOLLARS OTHER CURRENCIES
--------------------------- ----------------------------- TOTAL
TRADE BALANCE THOUSANDS THOUSANDS THOUSANDS THOUSANDS THOUSANDS
OF DOLLARS OF PESOS OF DOLLARS OF PESOS OF PESOS
------------------------------------------------------------------------------------------------------------
MONETARY ASSETS 804,270 9,125,247 223,146 2,531,815 11,657,062
LIABILITIES POSITION 1,345,010 15,260,484 33,524 380,363 15,640,847
SHORT-TERM LIABILITIES POSITION 212,606 2,412,228 33,255 377,311 2,789,539
LONG-TERM LIABILITIES POSITION 1,132,404 12,848,256 269 3,052 12,851,308
------------------------------------------------------------------------------------------------------------
NET BALANCE (540,740) (6,135,237) 189,622 2,151,452 (3,983,785)
------------------------------------------------------------------------------------------------------------
NOTES
THE EXCHANGE RATES USED FOR TRANSLATION WERE AS FOLLOWS:
$ 11.3460 PESOS PER U.S. DOLLAR
14.4098 PESOS PER EURO
3.7073 PESOS PER ARGENTINEAN PESO
0.0208 PESOS PER CHILEAN PESO
11.3460 PESOS PER PANAMANIAN BALBOA
0.0044 PESOS PER COLOMBIAN PESO
3.4926 PESOS PER PERUVIAN NUEVO SOL
11.3460 PESOS PER ECUADORIAN SUCRE
0.0052 PESOS PER VENEZUELAN BOLIVAR
9.3840 PESOS PER SWISS FRANC
THIS INFORMATION IS REPRESENTED ON A CONSOLIDATED BASIS AND INCLUDES,
ACCORDINGLY, INFORMATION OF FOREIGN SUBSIDIARIES.
RESULT FROM MONETARY POSITION
(Thousands of Mexican Pesos)
CONSOLIDATED
FINAL PRINTING
-----------------------------------------------------------------------------------------------------
(ASSET) LIABILITY MONTHLY
MONTH MONETARY MONETARY MONETARY MONTHLY PROFIT
ASSETS LIABILITIES POSITION INFLATION AND (LOSS)
-----------------------------------------------------------------------------------------------------
JANUARY 27,549,670 25,566,260 1,983,410 0.58 11,631
FEBRUARY 28,738,101 25,181,438 3,556,663 0.15 5,442
MARCH 30,058,664 25,546,612 4,512,052 0.12 5,658
APRIL 30,018,302 25,540,733 4,477,569 0.14 6,564
MAY 27,646,271 27,139,452 506,819 (0.44) (2,256)
JUNE 29,316,228 27,548,286 1,767,942 0.10 1,768
RESTATEMENT - (13)
CAPITALIZATION - -
FOREIGN CORP. - 14,905
OTHER - ` 18,206
-----------------------------------------------------------------------------------------------------
TOTAL 61,905
-----------------------------------------------------------------------------------------------------
NOTES
THE AMOUNT REFLECTED IN "OTHER" INCLUDES PS. 18,261, 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.
DEBT INSTRUMENTS
CONSOLIDATED
FINAL PRINTING
----------------------------------------------------------------------------
FINANCIAL LIMITED BASED IN ISSUED DEED AND/OR TITLE
THE AGREEMENTS OF THE U.S.$300 MILLION (OF WHICH APPROXIMATELY U.S.$71.9
MILLION ARE OUTSTANDING AS OF JUNE 30, 2006), U.S.$600 MILLION AND U.S.$300
MILLION SENIOR NOTES ISSUED BY GRUPO TELEVISA, S.A. WITH MATURITY IN 2011,
2025 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 AGREEMENT OF THE U.S.$300 MILLION SENIOR NOTES ISSUED BY INNOVA, S. DE
R.L. DE C.V. ("INNOVA") WITH MATURITY IN 2013, CONTAINS 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 RESTRICTIONS
AT JUNE 30, 2006, THE GROUP WAS IN COMPLIANCE WITH THE FINANCIAL
RESTRICTIONS OF THE CONTRACTS RELATED TO THE LONG-TERM SENIOR NOTES
DESCRIBED ABOVE.
PLANTS, COMMERCE CENTERS OR DISTRIBUTION CENTERS
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------
PLANT OR CENTER ECONOMIC ACTIVITY PLANT UTILIZATION
CAPACITY (%)
--------------------------------------------------------------------------------------------------------
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
NOTES
MAIN RAW MATERIALS
CONSOLIDATED
FINAL PRINTING
--------------------------------------------------------------------------------------------------------------------------
MAIN MAIN DOM. COST
DOMESTIC SUPPLIERS FOREIGN SUPPLIERS SUBST. PRODUCTION
(%)
--------------------------------------------------------------------------------------------------------------------------
PROGRAMS AND FILMS ANIME CREATIVE
CORPORATION 0.36
CINEMA INC,
S.A. DE C.V. 0.35
CINEMATOGRAFICA
RODRIGUEZ, S.A. 0.47
DIANA INTERNACIO-
NAL FILMS, S.A. 0.19
DIRSOL,
S.A. DE C.V. 0.19
DISTRIBUIDORA RO-
MARI, S.A. DE C.V. 2.69
GUSSI, S.A. DE C.V. 2.54
HERMINE KINDLE
FUTCHER 0.24
MARIA CLA-
RA MATA 0.14
MULTIFILMS
BV 0.15
NUVISION, S.A. 1.14
ORO FILMS,
S.A. DE C.V. 0.24
PELICULAS RODRI-
GUEZ, S.A. 0.43
PRODUCCIONES
AGUILA 0.15
PRODUCCIONES
ROSAS PRIEGO 0.28
PRODUCCIONES
TOBARI, S.A. 0.63
PRODUCTORA
FILMICA REAL,
S.A. DE C.V. 0.10
QUALITY FILMS,
S.A. DE C.V. 0.60
SECINE, S.A. DE C.V. 0.85
SOLFERINO
MEDIA, S.A. DE C.V. 0.09
OTHER 1.15
PROGRAMS AND FILMS ALFRED HABER
DISTRIBUTION, INC. NO 0.16
ALLIANCE ATLAN-
TIS INTERNATIONAL NO 1.95
AMERICA PRO-
DUCCIONES, S.A. NO 3.35
BBC WORDLWIDE
AMERICA, INC. NO 0.46
BETAFILM GMBH
& CO. NO 0.21
BUENAVISTA
INTERNATIONAL,
INC. NO 0.16
CARSEY WERNER
DISTRIBUTION,
INC. NO 0.16
CONSTELLATION
PICTURES, INC. NO 1.46
CROWN MEDIA
DISTRIBUTION, NO
LLC. 0.34
DIC ENTERTAIN- NO
MENT CORP. 0.58
DREAMWORKS NO
LLC. 1.98
ENTERTAINMENT NO
RIGHTS
DISTRIBUTION NO
LIMITED 0.19
FIREWORKS INTER-
NATIONAL NO 0.35
FREMANTLE MEDIA
LIMITED NO 1.24
HALLMARK ENTER-
TAINMENT NO 0.27
HEARTS ENTER-
TAINMENT, INC. 0.67
INDEPENDENT NO
INTERNATIONAL NO
T.V. INC. 2.85
LIONS GATE
FILM, INC. NO 0.17
LYONS
PARTNERSHIP 0.22
MARATHON NO
INTERNATIONAL 0.67
METRO GOLDWYN NO
MAYER INTERNAT-
IONAL NO 6.18
MORGAN CREEK
INTERNATIONAL, NO
INC. 0.16
MTV NETWORKS 0.63
A DIVISION OF NO
CORP. 1.34
MULTIFILMS NO
BV 0.39
PANAMERICAN NO
WORLD
INVESTMENTS, NO
LLC. 0.22
PARAMOUNT NO
PICTURES,
CORP. NO 3.43
POKEMON
USA, INC. NO 0.39
RAINBOW,
S.R.L. 0.07
RCN TELEVISION, NO
S.A. 0.20
REPRESENTA-
CIONES DE TELE- NO
VISION, INC. 0.11
SALSA ENTER-
TAINMENT, INC. NO 0.44
SONY PICTURES
TELEVISION NO
INTERNATIONAL 6.91
SONY CORPORA-
TION OF AMERICA 6.45
TELESCREEN
DISTRIBUTION 0.18
STUDIO CANAL
IMAGE 0.60
TEPUY USA COR-
PORATION 0.50
TOEI ANIMATION
CO., LTD 0.91
TWENTIETH CEN-
TURY FOX, INC. 4.43
UNIVERSAL
STUDIOS INTER-
NATIONAL, B.V. 15.93
WARNER BROS.
INTERNATIONAL
TELEVISION 16.67
WHILAND
INTERNATIONAL
INC. 0.24
ZACH MOTION
PICTURES, INC. 1.83
OTHER 1.37
COAXIAL CABLE RG
MAYA 60 NACIONAL DE
CONDUCTORES,
S.A. DE C.V. 2.85
CABLEMODEMS MOTOROLA, INC. NO 2.58
HILTI BOLT HILTI MEXICANA,
S.A. DE C.V. NO 0.01
SWITCH CABLENETWORK
MEXICO NO 0.02
TWO OUTLET DEVICE AC 200 TVC CORPORATION YES 0.02
DECODER MOTOROLA, INC. NO 76.62
COUCHE PAPER ABASTECEDORA
LUMEN, S.A. 0.92
MAG PAPER 0.35
PAPELERA
MOGHABA,
S.A. 0.02
SUMINISTROS
BROM, S.A. 0.22
TORRAS PAPEL,
S.A. 0.11
COUCHE PAPER STORAM ENSON YES 5.71
BULKLEY DUNTON YES 26.76
M REAL YES 1.65
MYLLLIKOSKI
PAPEL YES 5.84
BOWATER, INC. YES 0.77
NORKE CANADA YES 0.05
UPM YES 8.48
COPAPER YES 0.33
TORRAS PAPEL,
S.A. YES 0.12
EDITORES, S.A. YES 0.22
EDITORIAL LA
PATRIA YES 0.47
PRINTER
COLOMBINA, YES
S.A. 0.08
GRUPO OP
GRAFICAS, S.A. YES 0.67
PANAMERICANAS
FORMAS E
IMPRESION YES 0.76
PAPER AND IMPRESSION PRODUCTORA CO-
MERCIALIZADORA Y
EDITORES DE LI-
BROS , S.A. DE C.V. 7.62
OFFSET
MULTICOLOR
S.A. 11.17
IMPRESOS MOINO 1.07
PROCESOS IND
DE PAPEL, S.A. 2.28
BARNICES PARA
EDICIONES DE
LIBROS, S.A. 1.09
SERVICIOS PRO-
FESIONALES
DE IMPRESION,
S.A. DE C.V. 0.91
GRUPO GRAFICO
ARENAL 0.43
LITOGRAFIA
MAGNO GRAFT,
S.A. 0.67
GRAFICA LA
PRENSA, S.A. 0.18
QUEBECOR
WORDL MEXICO 0.75
REFORSA 1.43
METROCOLOR 0.56
LITOGRAFICA
INGRAMEX, S.A. 0.04
PAPER AND IMPRESSION QUEBECOR
CHILE, S.A. YES 3.78
QUEBECOR
WORLD YES
BOGOTA 1.25
EDITORA YES
FASUDI
LTDA. YES 0.06
GEMINIS, LTDA. YES 0.05
GRUPO OP GRA- YES
FICAS, S.A. YES 0.80
PRINTER COLOM- YES
BINA, S.A. YES 0.26
ST. IVES, INC. YES 8.57
BEST LITHO YES 0.17
EDITORES, S.A. YES 0.17
RR DONELLY 2.49
QUAD GRAPHICS YES 0.06
PRO-OFFSET EDI-
TORIAL, LTDA. YES 0.13
NOTES
SALES DISTRIBUTION BY PRODUCT
SALES
CONSOLIDATED
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
NET SALES MARKET MAIN
---------------------- SHARE -----------------------------------------------------------------
MAIN PRODUCTS VOLUME AMOUNT (%) TRADEMARKS CUSTOMERS
-----------------------------------------------------------------------------------------------------------------------------------
DOMESTIC SALES
INTERSEGMENT ELIMINATIONS (482,841)
TELEVISION:
PROGRAMMING HALF HOURS PRODUCED
(DOMESTIC)
ADVERTISED TIME SOLD (HALF HOURS) 3 9,085,683 TELEFONOS DE MEXICO, S.A. DE C.V.
COMPANIA PROCTER & GAMBLE DE MEXICO,
S. DE R. L. DE C.V.
THE COCA-COLA EXPORT CORPORATION
SUCURSAL EN MEXICO
BIMBO, S.A. DE C.V.
MARCAS NESTLE, S.A. DE C.V.
PEPSI COLA MEXICANA, S. DE R.L.
DE C.V.
KIMBERLY CLARK DE MEXICO, S.A. DE C.V.
DANONE DE MEXICO, S.A. DE C.V.
SABRITAS, S DE R.L. DE C.V.
KELLOGG COMPANY MEXICO, S. DE R.L.
DE C.V.
COMPANIA CERVECERA DEL TROPICO, S.A.
DE C.V.
FRABEL, S.A. DE C.V.
OTHER INCOME 57,396 VARIOUS
PROGRAMMING FOR PAY TELEVISION:
SALE OF SIGNALS 375,041 T.V. CABLE, S.A. DE C.V.
OPERADORA CENTRAL DE CABLE, S.A.
DE C.V.
CABLEVISION RED, S.A. DE C.V.
OPERADORA DEL PACIFICO DE CABLE, S.A.
DE C.V.
TELEVISION INTERNACIONAL, S.A. DE C.V.
OPERADORA DE CABLE DE OCCIDENTE, S.A.
DE C.V.
TELEVICABLE DEL CENTRO, S.A. DE C.V.
SERVICIOS DE COMUNICACION POR CABLE,
S.A. DE C.V.
CABLE OPERADORA DE LA COMARCA, S.A.
DE C.V.
CABLE NET INTERNATIONAL, S.A. DE C.V.
ADVERTISED TIME SOLD 64,507 CERVECERIA MODELO, S.A. DE C.V.
TELEFONOS DE MEXICO, S.A. DE C.V.
COMUNICACIONES NEXTEL DE MEXICO, S.A.
DE C.V.
SUAVE Y FACIL, S.A. DE C.V.
OPERADORA DEFINITE, S.A. DE C.V.
EL PALACIO DE HIERRO, S.A. DE C.V.
ALESTRA, S. DE R.L. DE C.V.
VOLKSWAGEN DE MEXICO, S.A. DE C.V.
LG ELECTRONICS DE MEXICO, S.A. DE C.V.
PUBLISHING:
MAGAZINE CIRCULATION 32,170 409,382 TV Y NOVELAS MAGAZINE, GENERAL PUBLIC (AUDIENCE)
TELEGUIA MAGAZINE, DEALERS
VANIDADES MAGAZINE COMMERCIAL CENTERS (MALLS)
COSMOPOLITAN MAGAZINE
NATIONAL GEOGRAPHIC MAGAZINE
TU MAGAZINE
REBELDE MAGAZINE
FIBRA AMERICA MAGAZINE
MEN'S HEALTH MAGAZINE
CARAS MAGAZINE
MUY INTERESANTE MAGAZINE
BIG BANG MAGAZINE
SEVENTEEN EN ESPANOL MAGAZINE
CAR AND DRIVER MAGAZINE
PUBLISHING 335,631 FRABEL, S.A. DE C.V.
KIMBERLY CLARK DE MEXICO, S.A. DE C.V.
DILTEX, S.A. DE C.V.
FABRICAS DE CALZADO ANDREA, S.A.
DE C.V.
ESPACIO PREFERENTE MEXICO, S.A.
DE C.V.
COMERCIALIZADORA DE CONTENIDOS
MOVILES, S.A. DE C.V.
MEDIA PLANNING, S.A. DE C.V.
BIMBO, S.A. DE C.V.
TELEFONOS DE MEXICO, S.A. DE C.V.
COMPANIA PROCTER & GAMBLE DE MEXICO,
S. DE R.L DE C.V.
OTHER INCOME 10,930 VARIOUS
PUBLISHING DISTRIBUTION: 5,204 95,148 MAGAZINE: GENERAL PUBLIC (AUDIENCE)
"MAESTRA PREESCOLAR" DEALERS
"EL SOLITARIO" COMMERCIAL CENTERS (MALLS)
"CINEMANIA"
"REVISTA DEL CONSUMIDOR"
"ENTREPRENEUR"
SKY MEXICO
DTH BROADCAST SATELLITE 3,372,010 SKY SUBSCRIBERS
PAY PER VIEW 105,756
CHANNEL COMMERCIALIZATION 51,197 BANCO MERCANTIL DEL NORTE, S.A.
COMBE DE MEXICO, S.A. DE C.V.
DAIMLERCHRYSLER DE MEXICO, S.A.
DE C.V.
CABLE TELEVISION:
ANALOGIC AND DIGITAL SERVICE 750,107 CABLEVISION SUBSCRIBERS
INTERNET SERVICES 78,399 SONY, S.A.
SERVICE INSTALLATION 19,583 LPC, COLECTION, S.A.
PAY PER VIEW 6,081
CHANNEL COMMERCIALIZATION 18,133
OTHER 21,419
RADIO:
ADVERTISED TIME SOLD 211,263 PEGASO, PCS, S.A. DE C.V.
COMPANIA CERVECERA DEL TROPICO, S.A.
DE C.V.
COOPERATIVA LA CRUZ AZUL, S.C.L.
PROPIMEX, S.A. DE C.V.
UNILEVER DE MEXICO, S DE R.L. DE C.V.
CERVECERIA CUAUHTEMOC MOCTEZUMA, S.A.
DE C.V.
CORPORACION NORTEAMERICANA, S.A.
DE C.V.
FARMACIAS GI, S.A. DE C.V.
BANCO MERCANTIL DEL NORTE, S.A.
MARCAS NESTLE, S.A. DE C.V.
OTHER BUSINESSES:
DISTRIBUTION, RENTALS, AND SALE
OF MOVIE RIGHTS 199,724 CINEPOLIS DEL PAIS, S.A. DE C.V.
CINEMAS DE LA REPUBLICA, S.A. DE C.V.
OPERADORA DE CINEMAS, S.A. DE C.V.
MULTIMEDIOS CINEMAS, S.A. DE C.V.
CINEMARK DE MEXICO, S.A. DE C.V.
QUALITY FILMS, S. DE R.L. DE C.V.
GENERAL PUBLIC (AUDIENCE)
SPECIAL EVENTS AND SHOW PROMOTION 294,336 AMERICA GENERAL PUBLIC (AUDIENCE)
REAL SAN LUIS FEDERACION MEXICANA DE FUTBOL, A.C.
INTERNET SERVICES 145,626 ESMAS.COM RADIOMOVIL DIPSA, S.A. DE C.V.
PEGASO PCS, S.A. DE C.V.
MYALERCOM, S.A.
IUSACELL, S.A. DE C.V.
TELEFONOS DE MEXICO, S.A DE C.V.
OPERADORA UNEFON, S.A. DE C.V.
FOREIGN SALES
INTERSEGMENT ELIMINATIONS (6,778)
TELEVISION BROADCASTING:
ADVERTISING TIME SOLD 231,218 MCCANN ERICKSON, INC
BBD&O
SAATCHI & SAATCHI
OMD
GSD&M ADVERTISING
MINDSHARE
OTHER INCOME 46,079 VARIOUS
PROGRAMMING FOR PAY TELEVISION:
SALES OF SIGNALS 148,567 DIRECTV ARGENTINA
GALAXY ENTERTAINMENT DE VZLA, C.A.
DIRECTV.
SKY CHILE TELEVISION
SUPER CABLE, AKL.
ECHOSTAR
ADVERTISING TIME SOLD 27,305 MEDIA NETWORKS PERU, S.A.C.
CAPITAL MEDIA
LA KD ENTERTAINMENT
NRD MEDIA
PROGRAMMING EXPORT:
PROGRAMMING AND ROYALTIES 938,508 TELEVISA KYOTO BROADCASTING SYSTEM, CO. LTD
TELEVISA TV. SBT CANAL 4 DE SAO PAULO, S.A.
TELEVISA CORPORACION VENEZOLANA DE TELEVISION
TELEVISA COMPANIA PERUANA DE RADIODIFUSION,
S.A.
TELEVISA TV. FUTBOL, INC.
TELEVISA CORPORACION MEDCOM PANAMA, S.A.
TELEVISA
PUBLISHING:
MAGAZINE CIRCULATION 19,290 276,653 T.V. Y NOVELAS MAGAZINE GENERAL PUBLIC (AUDIENCE)
NATIONAL GEOGRAPHIC MAGAZINE DEALERS
REBELDE MAGAZINE COMMERCIAL CENTERS (MALLS)
VANIDADES MAGAZINE
COSMOPOLITAN MAGAZINE
TU MAGAZINE
CARAS MAGAZINE
MAXIM MAGAZINE
FOAMY MAGAZINE
PUBLISHING 240,504 PROCTER & GAMBLE
P & G PRESTIGE
PARLUX INT'L
ESTEE LAUDER
JOHNSON & JOHNSON
WRIGLEY'S
PUBLISHING DISTRIBUTION: 7,583 115,528 SELECCIONES MAGAZINE GENERAL PUBLIC (AUDIENCE)
HOLA MAGAZINE DEALERS
VEA MAGAZINE COMMERCIAL CENTERS (MALLS)
SOHO MAGAZINE
CROMOS MAGAZINE
JET SET MAGAZINE
SEMANA MAGAZINE
DINERO MAGAZINE
OTHER BUSINESSES:
DISTRIBUTION OF FILM MOVIES 3,368 NATIONAL AMUSEMENTS
LOEWS THEATRE MANAGEMENT CORP.
LIGHTNING ENTERTAINMENT, INC.
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL 17,245,463
-----------------------------------------------------------------------------------------------------------------------------------
SALES DISTRIBUTION BY PRODUCT
FOREIGN SALES
CONSOLIDATED
FINAL PRINTING
-----------------------------------------------------------------------------------------------------------------------------------
NET SALES MAIN
--------------- -----------------------------------------------------------
MAIN PRODUCTS VOLUME AMOUNT DESTINATION TRADEMARKS CUSTOMERS
-----------------------------------------------------------------------------------------------------------------------------------
FOREIGN SALES
TELEVISION BROADCASTING:
ADVERTISING TIME SOLD 41,645 UNITED STATES OF AMERICA MCCANN ERICKSON, INC
BBD&O
SAATCHI & SAATCHI
OMD
GSD&M ADVERTISING
MINDSHARE
OTHER INCOME 46,079 UNITED STATES OF AMERICA VARIOUS
PROGRAMMING FOR PAY TELEVISION:
SALES OF SIGNALS 106,534 SPAIN DIRECTV ARGENTINA
ARGENTINA GALAXY ENTERTAINMENT DE
VZLA, C.A. DIRECTV.
CHILE SKY CHILE TELEVISION
GUATEMALA SUPER CABLE, AKL.
COLOMBIA ECHOESTAR
UNITED STATES OF AMERICA
PROGRAMMING EXPORT:
PROGRAMMING AND ROYALTIES 938,508 UNITED STATES OF AMERICA TELEVISA KYOTO BROADCASTING SYSTEM,
CO. LTD
CENTRAL AMERICA TELEVISA TV. SBT CANAL 4 DE SAO
PAULO, S.A.
CARIBBEAN TELEVISA CORPORACION VENEZOLANA DE
TELEVISION
EUROPE TELEVISA COMPANIA PERUANA DE
RADIODIFUSION, S.A.
SOUTH AMERICA TELEVISA TV. FUTBOL, INC.
AFRICA TELEVISA CORPORACION MEDCOM PANAMA,
S.A.
ASIA TELEVISA
OTHER BUSINESSES:
DISTRIBUTION OF FILM MOVIES 3,368 NATIONAL AMUSEMENTS
LOEWS THEATRE MANAGEMENT
CORP.
LIGHTNING ENTERTAINMENT,
INC.
SUBSIDIARIES ABROAD
TELEVISION BROADCASTING:
ADVERTISING TIME SOLD 189,573 UNITED STATES OF AMERICA MCCANN ERICKSON, INC
BBD&O
SAATCHI & SAATCHI
OMD
GSD&M ADVERTISING
MINDSHARE
VARIOUS
PROGRAMMING FOR PAY TELEVISION:
SALES OF SIGNALS 42,033 SPAIN DIRECTV ARGENTINA
ARGENTINA GALAXY ENTERTAINMENT
ARGENTINA, S.A.
CHILE SKY CHILE TELEVISION
GUATEMALA SUPER CABLE, AKL.
COLOMBIA ECHOESTAR
UNITED STATES OF AMERICA
ADVERTISING TIME SOLD 27,305 MEDIA NETWORKS PERU, S.A.C.
CAPITAL MEDIA
LA KD ENTERTAINMENT
NRD MEDIA
PUBLISHING:
MAGAZINE CIRCULATION 19,290 276,653 GUATEMALA AND COSTA RICA T.V. Y NOVELAS MAGAZINE GENERAL PUBLIC (AUDIENCE)
UNITED STATES OF AMERICA NATIONAL GEOGRAPHIC MAGAZINE DEALERS
PANAMA REBELDE MAGAZINE COMMERCIAL CENTERS (MALLS)
SOUTH AMERICA VANIDADES MAGAZINE
CENTRAL AMERICA COSMOPOLITAN MAGAZINE
TU MAGAZINE
CARAS MAGAZINE
MAXIM MAGAZINE
FOAMY MAGAZINE
PUBLISHING 240,504 PROCTER & GAMBLE
P & G PRESTIGE
PARLUX INT'L
ESTEE LAUDER
JOHNSON & JOHNSON
WRIGLEY'S
PUBLISHING DISTRIBUTION: 7,583 115,528 PANAMA SELECCIONES MAGAZINE GENERAL PUBLIC (AUDIENCE)
SOUTH AMERICA HOLA MAGAZINE DEALERS
VEA MAGAZINE COMMERCIAL CENTERS (MALLS)
SOHO MAGAZINE
CROMOS MAGAZINE
JET SET MAGAZINE
SEMANA MAGAZINE
DINERO MAGAZINE
INTERSEGMENT ELIMINATIONS (6,778)
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL 2,020,952
-----------------------------------------------------------------------------------------------------------------------------------
PROJECT, AMOUNT EXERCISED AND PROGRESS PERCENTAGE
CONSOLIDATED
FINAL PRINTING
-------------------------------------------------------------------------------
MAJOR INVESTMENT PROJECTS OF GRUPO TELEVISA, S.A. AND ITS SUBSIDIARIES AT
JUNE 30, 2006, 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.$ 155.6 U.S.$ 139.6 90%
GAMING BUSINESS PROJECTS 36.2 8.1 22%
INFORMATION TECHNOLOGY PROJECTS OF
CABLE TELEVISION 19.0 17.0 89%
TECHNICAL EQUIPMENT FOR T.V. STATIONS 13.3 11.0 83%
MEXICAN PESOS DENOMINATED PROJECTS:
INFORMATION TECHNOLOGY PROJECTS PS. 38.3 PS. 22.3 58%
WAL-MART PROJECT 206.4 179.5 87%
INFORMATION RELATED TO BULLETIN B-15 (FOREIGN CURRENCY TRANSLATION)
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 FRS, 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 FRS 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.
THE COMPANY HAD 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. IN MARCH 2005, IN CONNECTION WITH THE
ISSUANCE OF A PORTION OF ITS SENIOR NOTES DUE 2025 AND THE PREPAYMENT
OF A PORTION OF ITS SENIOR NOTES DUE 2011, THE COMPANY DESIGNATED ITS
NET INVESTMENT IN UNIVISION AS AN EFFECTIVE HEDGE OF U.S.$400 MILLION
OF ITS SENIOR NOTES DUE 2025. CONSECUENTLY, 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). AS
OF JUNE 30, 2006, THE TOTAL PRINCIPAL AMOUNT OF THE COMPANY'S LONG
TERM DEBT BEING HEDGED BY THE COMPANY'S NET INVESTMENT IN UNIVISION
WAS OF APPROXIMATELY U.S.$771.9 MILLION.
THE GROUP'S FINANCIAL STATEMENTS FOR JUNE 30, 2005, HAVE BEEN RESTATED
TO MEXICAN PESOS IN PURCHASING POWER AS OF JUNE 30, 2006, BY USING A
RESTATEMENT FACTOR DERIVED FROM THE CHANGE IN THE NCPI, WHICH FOR 2005
WAS 1.03184. HAD THE ALTERNATIVE WEIGHTED AVERAGE FACTOR ALLOWED UNDER
MEXICAN FRS BEEN APPLIED TO RESTATE THE GROUP'S FINANCIAL STATEMENTS
FOR JUNE 30, 2005, WHICH INCLUDED THE RESULTS OF MEXICAN AND
NON-MEXICAN SUBSIDIARIES, THE RESTATEMENT FACTOR FOR JUNE 2005 WOULD
HAVE BEEN 1.03538.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
CONSOLIDATED
FINAL PRINTING
---------------------------------------------------------------------------
MEXICO CITY, D.F., JULY 17, 2006--GRUPO TELEVISA, S.A. (NYSE:TV;
BMV:TLEVISA CPO; "TELEVISA" OR "THE COMPANY") TODAY ANNOUNCED RESULTS FOR
THE SECOND QUARTER OF 2006. THE RESULTS HAVE BEEN PREPARED IN ACCORDANCE
WITH MEXICAN FINANCIAL REPORTING STANDARDS AND ARE ADJUSTED IN MILLIONS OF
MEXICAN PESOS IN PURCHASING POWER AS OF JUNE 30, 2006.
NET SALES
CONSOLIDATED NET SALES INCREASED 20.9% TO PS.9,799.1 MILLION IN SECOND
QUARTER 2006 COMPARED WITH PS.8,106.5 MILLION IN SECOND QUARTER 2005. THIS
INCREASE WAS ATTRIBUTABLE TO REVENUE GROWTH IN TELEVISION BROADCASTING, SKY
MEXICO, CABLE TELEVISION, PUBLISHING, PAY-TELEVISION NETWORKS, RADIO, OTHER
BUSINESSES, PROGRAMMING EXPORTS, AND PUBLISHING DISTRIBUTION SEGMENTS.
OPERATING INCOME BEFORE DEPRECIATION AND AMORTIZATION (OIBDA)
CONSOLIDATED OIBDA INCREASED 32.8% TO PS.4,449.3 MILLION IN SECOND QUARTER
2006 COMPARED WITH PS.3,350.6 MILLION IN SECOND QUARTER 2005. CONSOLIDATED
OIBDA MARGIN REACHED AN ALL-TIME HIGH OF 45.4%, UP FROM A MARGIN OF 41.3%
REPORTED LAST YEAR. THE INCREASE IN CONSOLIDATED OIBDA REFLECTS HIGHER
SALES PARTIALLY OFFSET BY HIGHER COST OF SALES AND OPERATING EXPENSES. IN
ADDITION, CONSOLIDATED OPERATING INCOME ROSE 36.2% TO PS.3,792.8 MILLION IN
SECOND QUARTER 2006 COMPARED WITH PS.2,784.6 MILLION IN SECOND QUARTER
2005.
THE CHARGE FOR OPERATING DEPRECIATION AND AMORTIZATION WAS PS.656.5 MILLION
AND PS.566 MILLION IN THE SECOND QUARTER OF 2006 AND 2005, RESPECTIVELY.
NET INCOME
NET INCOME INCREASED 75.1% TO PS.2,307.4 MILLION IN SECOND QUARTER 2006
COMPARED WITH PS.1,317.7 MILLION IN SECOND QUARTER 2005. THE NET INCREASE
OF PS.989.7 MILLION REFLECTED I) A PS.1,098.7 MILLION INCREASE IN OIBDA,
II) A PS.889.4 MILLION DECREASE IN INTEGRAL COST OF FINANCING, III) A
PS.172.6 MILLION DECREASE IN OTHER EXPENSE, NET, AND IV) A PS.214 MILLION
DECREASE IN MINORITY INTEREST. THESE FAVORABLE CHANGES WERE PARTIALLY
OFFSET BY I) A PS.90.5 MILLION INCREASE IN DEPRECIATION AND AMORTIZATION,
II) A PS.451.2 MILLION INCREASE IN RESTRUCTURING AND NON-RECURRING CHARGES,
III) A PS.469.2 MILLION INCREASE IN INCOME TAXES, AND IV) A PS.374.1
MILLION INCREASE IN EQUITY IN LOSS OF AFFILIATES.
SECOND-QUARTER RESULTS BY BUSINESS SEGMENT
THE FOLLOWING INFORMATION PRESENTS SECOND-QUARTER RESULTS ENDED JUNE 30,
2006 AND 2005, FOR EACH OF OUR BUSINESS SEGMENTS. AMOUNTS ARE PRESENTED IN
MILLIONS OF MEXICAN PESOS IN PURCHASING POWER AS OF JUNE 30, 2006.
TELEVISION BROADCASTING
SECOND-QUARTER SALES INCREASED 21.6% TO PS.5,615.4 MILLION COMPARED WITH
PS.4,618.1 MILLION IN SECOND QUARTER 2005. THIS INCREASE WAS DRIVEN BY
HIGHER ADVERTISING REVENUES RELATED TO I) THE BROADCAST OF CERTAIN GAMES OF
THE 2006 FIFA WORLD CUP DURING THE MONTH OF JUNE; II) POLITICAL ADVERTISING
RELATED TO THE PRESIDENTIAL ELECTIONS IN MEXICO; AND III) HIGHER RATINGS IN
OUR TELENOVELAS AND REALITY SHOWS; AND IV) A 17.8% INCREASE IN LOCAL SALES.
SECOND-QUARTER OIBDA INCREASED 32.4% TO PS.3,017 MILLION COMPARED WITH
PS.2,278.8 MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED AN
ALL-TIME HIGH OF 53.7% COMPARED WITH 49.3% IN SECOND QUARTER 2005. THESE
RESULTS REFLECT HIGHER SALES, WHICH WERE PARTIALLY OFFSET BY HIGHER COST OF
SALES AND OPERATING EXPENSES RELATED TO THE TRANSMISSION AND PRODUCTION OF
THE 2006 FIFA WORLD CUP, AND HIGHER COSTS IN OUR NEWSCASTS RELATED TO
COVERAGE OF THE ELECTION CAMPAIGN.
PAY TELEVISION NETWORKS
SECOND-QUARTER SALES INCREASED 25.9% TO PS.328.3 MILLION COMPARED WITH
PS.260.7 MILLION IN SECOND QUARTER 2005. THIS INCREASE WAS ATTRIBUTABLE TO
I) HIGHER REVENUES FROM CHANNELS SOLD TO PAY-TELEVISION SYSTEMS IN MEXICO
AND TO DIRECTV LATIN AMERICA'S BASIC PACKAGE; II) AN INCREASE IN SALES OF
TUTV, OUR PAY-TELEVISION JOINT VENTURE WITH UNIVISION; AND III) HIGHER
ADVERTISING SALES.
SECOND-QUARTER OIBDA INCREASED 54.4% TO PS.162.7 MILLION COMPARED WITH
PS.105.4 MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED 49.6%
COMPARED WITH 40.4% IN SECOND QUARTER 2005, DRIVEN BY HIGHER SALES
PARTIALLY OFFSET BY HIGHER COST OF SALES AND OPERATING EXPENSES.
PROGRAMMING EXPORTS
SECOND-QUARTER SALES INCREASED 1% TO PS.513.8 MILLION COMPARED WITH
PS.508.6 MILLION IN SECOND QUARTER 2005. THIS MARGINAL INCREASE REFLECTS A
US$1.9 MILLION INCREASE IN ROYALTIES PAID TO THE COMPANY UNDER THE
UNIVISION PROGRAM LICENSE AGREEMENT IN PUERTO RICO, WHICH WERE PARTIALLY
OFFSET BY LOWER PROGRAMMING SALES IN ASIA AND AFRICA. ROYALTIES PAID TO THE
COMPANY UNDER THE UNIVISION PROGRAM LICENSE AGREEMENT IN THE UNITED STATES
WERE FLAT COMPARED WITH THE SAME QUARTER LAST YEAR, AT US$28.6 MILLION FOR
THE QUARTER.
SECOND-QUARTER OIBDA INCREASED 5.6% TO PS.212.1 MILLION COMPARED WITH
PS.200.8 MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED 41.3%
COMPARED WITH 39.5% IN SECOND QUARTER 2005, REFLECTING A MARGINAL SALES
INCREASE AND LOWER COST OF SALES AND OPERATING EXPENSES.
PUBLISHING
SECOND-QUARTER SALES INCREASED 13.2% TO PS.740.2 MILLION COMPARED WITH
PS.653.9 MILLION IN SECOND QUARTER 2005. THIS INCREASE REFLECTS I) SALES OF
PS.32.7 MILLION IN EDITORA CINCO, WHICH WE BEGAN CONSOLIDATING IN OUR
FINANCIAL STATEMENTS DURING THE FIRST QUARTER OF 2006; II) AN INCREASE IN
ADVERTISING PAGES SOLD BOTH IN MEXICO AND ABROAD; III) HIGHER MAGAZINE
CIRCULATION ABROAD; AND IV) THE POSITIVE TRANSLATION EFFECT OF
FOREIGN-CURRENCY-DENOMINATED SALES, WHICH AMOUNTED TO PS.23.5 MILLION.
THESE INCREASES WERE PARTIALLY OFFSET BY LOWER MAGAZINE CIRCULATION IN
MEXICO.
SECOND-QUARTER OIBDA INCREASED 5.5% TO PS.148 MILLION COMPARED WITH
PS.140.3 MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED 20%
COMPARED WITH 21.5% IN SECOND QUARTER 2005, REFLECTING HIGHER SALES THAT
WERE PARTIALLY OFFSET BY HIGHER COST OF SALES AND OPERATING EXPENSES, WHICH
WERE DUE PRIMARILY TO THE CONSOLIDATION OF EDITORA CINCO AND HIGHER PAPER
AND PRINTING COSTS.
PUBLISHING DISTRIBUTION
SECOND-QUARTER SALES INCREASED 3.7% TO PS.105.7 MILLION COMPARED WITH
PS.101.9 MILLION IN SECOND QUARTER 2005. THIS INCREASE REFLECTS I) HIGHER
CIRCULATION ABROAD OF MAGAZINES PUBLISHED BY THE COMPANY, AND II) THE
POSITIVE TRANSLATION EFFECT OF FOREIGN-CURRENCY-DENOMINATED SALES, WHICH
AMOUNTED TO PS.6 MILLION. THESE INCREASES WERE PARTIALLY OFFSET BY LOWER
CIRCULATION IN MEXICO OF MAGAZINES PUBLISHED BY THIRD PARTIES.
SECOND-QUARTER OIBDA INCREASED 91.9% TO PS.7.1 MILLION COMPARED WITH PS.3.7
MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED 6.7% COMPARED WITH
3.6% IN SECOND QUARTER 2005, REFLECTING HIGHER SALES AND LOWER OPERATING
EXPENSES THAT WERE PARTIALLY OFFSET BY HIGHER COST OF SALES.
SKY MEXICO
SECOND-QUARTER SALES INCREASED 22.1% TO PS.1,816.8 MILLION, COMPARED WITH
PS.1,488.4 MILLION IN SECOND QUARTER 2005. THE INCREASE IS ATTRIBUTABLE TO
A 17.4% INCREASE IN THE SUBSCRIBER BASE, WHICH, AS OF JUNE 30, 2006,
REACHED 1,389,800 GROSS ACTIVE SUBSCRIBERS (INCLUDING 76,800 COMMERCIAL
SUBSCRIBERS), COMPARED WITH 1,183,800 GROSS ACTIVE SUBSCRIBERS (INCLUDING
65,000 COMMERCIAL SUBSCRIBERS) AS OF THE END OF THE SECOND QUARTER OF LAST
YEAR.
SECOND-QUARTER OIBDA INCREASED 39.1% TO PS.843.1 MILLION COMPARED WITH
PS.606 MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED 46.4%
COMPARED WITH 40.7% IN SECOND QUARTER 2005, REFLECTING HIGHER SALES THAT
WERE PARTIALLY OFFSET BY HIGHER COST OF SALES AND OPERATING EXPENSES.
CABLE TELEVISION
SECOND-QUARTER SALES INCREASED 41.1% TO PS.481.3 MILLION COMPARED WITH
PS.341.2 MILLION IN SECOND QUARTER 2005. THIS INCREASE WAS ATTRIBUTABLE TO
I) A 17.6% INCREASE IN THE SUBSCRIBER BASE, WHICH, AS OF JUNE 30, 2006,
REACHED 458,312 SUBSCRIBERS (INCLUDING 367,435 DIGITAL SUBSCRIBERS)
COMPARED WITH 389,657 SUBSCRIBERS (INCLUDING 190,416 DIGITAL SUBSCRIBERS)
AS OF THE END OF THE SECOND QUARTER OF LAST YEAR; II) A 73.8% INCREASE IN
BROADBAND SUBSCRIBERS TO 75,863 IN THE SECOND QUARTER OF 2006 COMPARED WITH
43,646 REPORTED LAST YEAR; AND III) HIGHER ADVERTISING SALES.
SECOND-QUARTER OIBDA INCREASED 93.8% TO PS.208.3 MILLION COMPARED WITH
PS.107.5 MILLION IN SECOND QUARTER 2005, AND OIBDA MARGIN REACHED 43.3%
COMPARED WITH 31.5% IN SECOND QUARTER 2005, REFLECTING HIGHER SALES THAT
WERE PARTIALLY OFFSET BY HIGHER COST OF SALES AND OPERATING EXPENSES.
RADIO
SECOND-QUARTER SALES INCREASED 43.9% TO PS.129.1 MILLION COMPARED WITH
PS.89.7 MILLION IN SECOND QUARTER 2005. THIS INCREASE WAS ATTRIBUTABLE TO
I) AN INCREASE IN ADVERTISING TIME SOLD, MAINLY FROM THE BROADCAST OF THE
2006 FIFA WORLD CUP; II) POLITICAL ADVERTISING RELATED TO THE PRESIDENTIAL
ELECTIONS IN MEXICO; AND III) HIGHER SALES GENERATED BY OUR AFFILIATION
AGREEMENT WITH RADIORAMA. SECOND-QUARTER OIBDA INCREASED 100.6% TO PS.30.9
MILLION COMPARED WITH PS.15.4 MILLION IN SECOND QUARTER 2005, AND OIBDA
MARGIN REACHED 23.9% COMPARED WITH 17.2% IN SECOND QUARTER 2005, REFLECTING
HIGHER SALES THAT WERE PARTIALLY OFFSET BY HIGHER COST OF SALES AND
OPERATING EXPENSES.
OTHER BUSINESSES
SECOND-QUARTER SALES INCREASED 7.6% TO PS.329 MILLION COMPARED WITH
PS.305.7 MILLION IN SECOND QUARTER 2005. THIS INCREASE WAS ATTRIBUTABLE TO
HIGHER SALES IN OUR SPORTS BUSINESSES, WHICH WERE PARTIALLY OFFSET BY LOWER
SALES IN OUR FEATURE-FILM PRODUCTION AND DISTRIBUTION BUSINESS AND IN OUR
SMS MESSAGING SERVICE.
SECOND-QUARTER OPERATING LOSS BEFORE DEPRECIATION AND AMORTIZATION
INCREASED TO PS.87.1 MILLION IN SECOND QUARTER 2006 COMPARED WITH A LOSS OF
PS.57.8 MILLION IN SECOND QUARTER 2005 ATTRIBUTABLE TO HIGHER COST OF SALES
AND OPERATING EXPENSES, PRIMARILY RELATED TO OUR GAMING BUSINESS, WHICH
WERE PARTIALLY OFFSET BY HIGHER SALES.
INTERSEGMENT SALES
INTERSEGMENT SALES FOR THE SECOND QUARTER 2006 AND 2005, AMOUNTED TO
PS.260.5 MILLION AND PS.261.7 MILLION, RESPECTIVELY.
CORPORATE EXPENSES
IN 2005, WE ADOPTED THE GUIDELINES OF THE INTERNATIONAL FINANCIAL REPORTING
STANDARD 2 (IFRS 2), "SHARE-BASED PAYMENT," ISSUED BY THE INTERNATIONAL
ACCOUNTING STANDARDS BOARD. IFRS 2 REQUIRES ACCRUING IN STOCKHOLDERS'
EQUITY THE SHARE-BASED COMPENSATION EXPENSE MEASURED AT FAIR VALUE AT THE
TIME THE EQUITY BENEFITS ARE GRANTED TO OUR OFFICERS AND EMPLOYEES. IN THE
SECOND QUARTER 2006, WE RECOGNIZED A SHARE-BASED COMPENSATION OF PS.45.7
MILLION AS CORPORATE EXPENSE.
NON-OPERATING RESULTS
INTEGRAL RESULT OF FINANCING
THE EXPENSE ATTRIBUTABLE TO THE INTEGRAL COST OF FINANCING DECREASED BY
PS.889.4 MILLION TO AN INTEGRAL INCOME OF FINANCING OF PS.195.1 MILLION IN
SECOND QUARTER 2006 COMPARED WITH AN INTEGRAL COST OF FINANCING OF PS.694.3
MILLION IN SECOND QUARTER 2005. THIS DECREASE REFLECTED PRIMARILY I) A
PS.786.2 MILLION INCREASE IN NET FOREIGN EXCHANGE GAIN RESULTING PRIMARILY
FROM THE DIFFERENCE BETWEEN THE SPOT RATE AND THE FOREIGN-EXCHANGE RATE OF
THE COUPON SWAPS ENTERED INTO BY US TO SWAP INTO FIXED MEXICAN PESOS UP TO
FIVE YEARS OF US-DOLLAR-DENOMINATED COUPONS OF A PORTION OF OUR
US-DOLLAR-DENOMINATED OUTSTANDING INDEBTEDNESS, AS WELL AS FROM A HIGHER
AVERAGE AMOUNT OF FOREIGN CURRENCY ASSET POSITION, NET OF INDEBTEDNESS,
WHICH IS PARTIALLY HEDGED BY OUR INVESTMENT IN UNIVISION, IN CONJUNCTION
WITH A 4.05% DEPRECIATION OF THE MEXICAN PESO AGAINST THE US DOLLAR IN
SECOND QUARTER 2006 COMPARED WITH A 3.74% APPRECIATION OF THE MEXICAN PESO
AGAINST THE US DOLLAR IN SECOND QUARTER 2005; II) A PS.72.5 MILLION
DECREASE IN INTEREST EXPENSE AS A RESULT OF BOTH A LOWER AVERAGE AMOUNT OF
DEBT AND A REDUCTION IN THE WEIGHTED-AVERAGE INTEREST RATE IN SECOND
QUARTER 2006 COMPARED WITH SECOND QUARTER 2005; III) A PS.21.2 MILLION
INCREASE IN INTEREST INCOME PRIMARILY IN CONNECTION WITH A HIGHER AVERAGE
AMOUNT OF TEMPORARY INVESTMENTS IN SECOND QUARTER 2006 COMPARED WITH LAST
YEAR'S COMPARABLE PERIOD; AND IV) A PS.9.5 MILLION DECREASE IN LOSS FROM
MONETARY POSITION RESULTING PRIMARILY FROM A LOWER INFLATION IN MEXICO IN
SECOND QUARTER 2006 COMPARED WITH SECOND QUARTER 2005.
RESTRUCTURING AND NON-RECURRING CHARGES
RESTRUCTURING AND NON-RECURRING CHARGES INCREASED BY PS.451.2 MILLION TO
PS.468.1 MILLION IN SECOND QUARTER 2006 COMPARED WITH PS.16.9 MILLION IN
SECOND QUARTER 2005. THIS INCREASE REFLECTED PRIMARILY THE RECOGNITION IN
SECOND QUARTER 2006 OF CERTAIN NON-RECURRING EXPENSES INCURRED IN
CONNECTION WITH THE TENDER OFFER MADE BY SKY MEXICO IN APRIL 2006 FOR MOST
OF ITS SENIOR NOTES DUE 2013.
OTHER EXPENSE, NET
OTHER EXPENSE, NET, DECREASED BY PS.172.6 MILLION, OR 71.6%, TO PS.68.4
MILLION IN SECOND QUARTER 2006 COMPARED WITH PS.241 MILLION IN SECOND
QUARTER 2005. THIS DECREASE REFLECTED PRIMARILY A LOSS ON DISPOSITION OF
NON-CURRENT ASSETS IN THE SECOND QUARTER OF 2005, WHICH WAS PARTIALLY
OFFSET BY AN INCREASE IN FINANCIAL ADVISORY AND PROFESSIONAL FEES.
INCOME TAX
INCOME TAXES INCREASED BY PS.469.2 MILLION TO PS.933.9 MILLION IN SECOND
QUARTER 2006 COMPARED WITH PS.464.7 MILLION IN SECOND QUARTER 2005. THIS
INCREASE REFLECTED PRIMARILY A HIGHER INCOME TAX BASE IN SECOND QUARTER
2006.
EQUITY IN RESULTS OF AFFILIATES
EQUITY IN LOSS OF AFFILIATES INCREASED BY PS.374.1 MILLION TO PS.232.8
MILLION IN SECOND QUARTER 2006 COMPARED WITH AN EQUITY IN INCOME OF
AFFILIATES OF PS.141.3 MILLION IN SECOND QUARTER 2005. THIS INCREASE
REFLECTED PRIMARILY EQUITY IN LOSS OF LA SEXTA, A FREE-TO-AIR TELEVISION
CHANNEL IN SPAIN IN WHICH WE HAVE A 40% INTEREST.
MINORITY INTEREST
MINORITY INTEREST DECREASED BY PS.214 MILLION TO A BENEFIT OF PS.22.7
MILLION IN SECOND QUARTER 2006 COMPARED WITH A CHARGE OF PS.191.3 MILLION
IN SECOND QUARTER 2005. THIS DECREASE REFLECTED PRIMARILY THE PORTION OF
NET LOSS ATTRIBUTABLE TO THE INTEREST HELD BY A MINORITY EQUITY OWNER IN
THE SKY MEXICO BUSINESS.
OTHER RELEVANT INFORMATION
CAPITAL EXPENDITURES AND INVESTMENTS
IN SECOND QUARTER 2006 OUR CAPITAL EXPENDITURES TOTALED US$61.2 MILLION,
INCLUDING US$18.2 MILLION FOR OUR CABLE TELEVISION SEGMENT, US$29.4 MILLION
FOR SKY MEXICO, US$5.7 MILLION FOR GAMING, AND US$7.9 MILLION FOR OUR
TELEVISION BROADCASTING AND OTHER BUSINESS SEGMENTS.
DEBT
THE TOTAL CONSOLIDATED DEBT AMOUNTED TO PS.19,409.1 MILLION AND PS.22,469.8
MILLION AS OF JUNE 30, 2006 AND 2005, RESPECTIVELY, WHICH INCLUDED A
CURRENT PORTION OF LONG-TERM DEBT IN THE AMOUNT OF PS.1,076.4 MILLION AND
PS.2,410.2 MILLION, RESPECTIVELY.
ADDITIONALLY, SKY MEXICO HAD A SATELLITE TRANSPONDER LEASE OBLIGATION IN
THE AMOUNT OF PS.1,308.8 MILLION AND PS.1,353.1 MILLION AS OF JUNE 30, 2006
AND 2005, RESPECTIVELY, WHICH INCLUDED A CURRENT PORTION OF PS.85.5 MILLION
AND PS.74.5 MILLION, RESPECTIVELY.
AS OF JUNE 30, 2006 AND 2005, OUR CONSOLIDATED NET DEBT WAS PS.567.6
MILLION AND PS.7,312.2 MILLION, RESPECTIVELY.
DIVIDEND PAYMENT
ON MAY 31, 2006, THE COMPANY MADE A PS.0.35 PER CPO CASH DISTRIBUTION TO
SHAREHOLDERS, EQUIVALENT TO APPROXIMATELY PS.1,087 MILLION IN NOMINAL
TERMS.
TELEVISION RATINGS AND AUDIENCE SHARE
NATIONAL URBAN RATINGS AND AUDIENCE SHARE REPORTED BY IBOPE CONFIRM THAT,
IN THE SECOND QUARTER OF 2006, TELEVISA CONTINUED TO DELIVER STRONG RATINGS
AND AUDIENCE SHARES. DURING WEEKDAY PRIME TIME (19:00 TO 23:00, MONDAY TO
FRIDAY), AUDIENCE SHARE AMOUNTED TO 69.1%; IN PRIME TIME (16:00 TO 23:00,
MONDAY TO SUNDAY), AUDIENCE SHARE AMOUNTED TO 68.4%; AND IN SIGN-ON TO
SIGN-OFF (6:00 TO 24:00, MONDAY TO SUNDAY), AUDIENCE SHARE AMOUNTED TO
70.1%.
OUTLOOK FOR 2006
WE CONTINUE TO EXPECT OUR TELEVISION BROADCASTING BUSINESS TO ACHIEVE
HIGH-SINGLE-DIGIT SALES GROWTH FOR THE FULL YEAR 2006. IN ADDITION, WE ARE
RAISING OUR FULL-YEAR OIBDA GUIDANCE. WE NOW EXPECT TELEVISION BROADCASTING
OIBDA MARGIN TO EXCEED 50%; ON A CONSOLIDATED BASIS, WE EXPECT OUR OIBDA
MARGIN TO REACH 42%.
ABOUT TELEVISA
GRUPO TELEVISA, S.A. IS THE LARGEST MEDIA COMPANY IN THE SPANISH-SPEAKING
WORLD AND A MAJOR PARTICIPANT IN THE INTERNATIONAL ENTERTAINMENT BUSINESS.
IT HAS INTERESTS IN TELEVISION PRODUCTION AND BROADCASTING, PRODUCTION OF
PAY-TELEVISION NETWORKS, INTERNATIONAL DISTRIBUTION OF TELEVISION
PROGRAMMING, DIRECT-TO-HOME SATELLITE SERVICES, PUBLISHING AND PUBLISHING
DISTRIBUTION, CABLE TELEVISION, RADIO PRODUCTION AND BROADCASTING,
PROFESSIONAL SPORTS AND LIVE ENTERTAINMENT, FEATURE-FILM PRODUCTION AND
DISTRIBUTION, AND THE OPERATION OF A HORIZONTAL INTERNET PORTAL. GRUPO
TELEVISA ALSO OWNS AN UNCONSOLIDATED EQUITY STAKE IN UNIVISION, THE LEADING
SPANISH-LANGUAGE MEDIA COMPANY IN THE UNITED STATES.
DISCLAIMER
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.
FINANCIAL STATEMENT NOTES (1)
CONSOLIDATED
FINAL PRINTING
---------------------------------------------------------------------------
GRUPO TELEVISA, S.A.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTHS ENDED JUNE 30, 2006 AND 2005
(IN THOUSANDS OF MEXICAN PESOS IN PURCHASING POWER AS
OF JUNE 30, 2006, EXCEPT PER CPO, PER SHARE, AND PER UDI AMOUNTS)
1. ACCOUNTING POLICIES:
THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS OF GRUPO TELEVISA,
S.A. (THE "COMPANY") AND ITS CONSOLIDATED SUBSIDIARIES (COLLECTIVELY, THE
"GROUP"), AS OF JUNE 30, 2006 AND 2005, AND FOR THE SIX MONTHS 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 FINANCIAL REPORTING
STANDARDS ("MEXICAN FRS"), 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
YEAR ENDED DECEMBER 31, 2005, WHICH INCLUDE, AMONG OTHER DISCLOSURES, THE
GROUP'S MOST SIGNIFICANT ACCOUNTING POLICIES, WHICH HAVE BEEN APPLIED ON A
CONSISTENT BASIS FOR THE SIX MONTHS ENDED JUNE 30, 2006.
2. PROPERTY, PLANT AND EQUIPMENT:
PROPERTY, PLANT AND EQUIPMENT AS OF JUNE 30, CONSISTED OF:
2006 2005
----------------- ----------------
BUILDINGS Ps. 8,074,188 Ps. 7,876,584
BUILDING IMPROVEMENTS 1,580,316 1,709,654
TECHNICAL EQUIPMENT 19,475,776 17,953,802
SATELLITE TRANSPONDERS 1,811,759 1,689,661
FURNITURE AND FIXTURES 514,301 593,744
TRANSPORTATION EQUIPMENT 1,060,657 1,154,424
COMPUTER EQUIPMENT 1,523,727 1,520,371
----------------- ----------------
34,040,724 32,498,240
ACCUMULATED DEPRECIATION (18,593,197) (17,348,591)
----------------- ----------------
15,447,527 15,149,649
LAND 3,854,549 3,852,385
CONSTRUCTION AND PROJECTS IN PROGRESS 866,466 702,764
----------------- ----------------
Ps. 20,168,542 Ps. 19,704,798
================= ================
DEPRECIATION CHARGED TO INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2006
AND 2005, WAS PS.1,133,584 AND PS.1,021,932, RESPECTIVELY.
3. LONG-TERM DEBT SECURITIES:
AS OF JUNE 30, THE GROUP'S CONSOLIDATED LONG-TERM DEBT SECURITIES
OUTSTANDING WERE AS FOLLOWS:
2006 2005
--------------------------------------- -----------------------------------
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) $ - Ps. - $ 5,343 Ps. 59,222
8.625% SENIOR NOTES DUE 2005 (B) - - 200,000 2,216,801
8.000% SENIOR NOTES DUE 2011 (B) (C) 71,951 816,356 75,484 836,665
6.625% SENIOR NOTES DUE 2025 (B) (C) 600,000 6,807,600 600,000 6,650,402
8.500% SENIOR NOTES DUE 2032 (B) 300,000 3,403,800 300,000 3,325,201
9.375% SENIOR NOTES DUE 2013 (D) 127,654 3,325,201
11,251 300,000
----------------- -------------------- --------------- ------------------
$ 983,202 11,155,410 $ 1,480,827 16,413,492
================= ===============
8.15% UDI-DENOMINATED NOTES DUE 2007 (C) (E)
950,904 951,480
-------------------- ------------------
Ps. 12,106,314 Ps. 17,364,972
==================== ==================
(A) THESE SERIES "B" SENIOR NOTES 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, 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. INTEREST ON THESE
SECURITIES, INCLUDING ADDITIONAL AMOUNTS PAYABLE IN RESPECT OF CERTAIN
MEXICAN WITHHOLDING TAXES, IS 12.49% PER ANNUM AND IS PAYABLE
SEMI-ANNUALLY.
(B) THESE SENIOR NOTES 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. INTEREST ON SENIOR NOTES DUE 2005, 2011, 2025 AND 2032,
INCLUDING ADDITIONAL AMOUNTS PAYABLE IN RESPECT OF CERTAIN MEXICAN
WITHHOLDING TAXES, IS 9.07%, 8.41%, 6.97% AND 8.94% PER ANNUM,
RESPECTIVELY, AND IS PAYABLE SEMI-ANNUALLY. THESE SENIOR NOTES 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 2011 AND 2032 WERE PRICED AT 98.793% AND 99.431%,
RESPECTIVELY, FOR A YIELD TO MATURITY OF 8.179% AND 8.553%,
RESPECTIVELY. THE AGREEMENT OF THESE SENIOR NOTES CONTAINS CERTAIN
COVENANTS THAT LIMIT THE ABILITY OF THE COMPANY AND CERTAIN RESTRICTED
SUBSIDIARIES ENGAGED IN TELEVISION BROADCASTING, PAY TELEVISION
NETWORKS AND PROGRAMMING EXPORTS, TO INCUR OR ASSUME LIENS, PERFORM
SALE AND LEASEBACK TRANSACTIONS, AND CONSUMMATE CERTAIN MERGERS,
CONSOLIDATIONS AND SIMILAR TRANSACTIONS. SUBSTANTIALLY ALL OF THESE
SENIOR NOTES ARE REGISTERED WITH THE U.S. SECURITIES AND EXCHANGE
COMMISSION.
(C) IN MARCH AND MAY 2005, THE COMPANY ISSUED SENIOR NOTES DUE 2025 IN THE
AGGREGATE AMOUNT OF U.S.$400 MILLION AND U.S.$200 MILLION,
RESPECTIVELY, WHICH WERE PRICED AT 98.081% AND 98.632%, RESPECTIVELY,
FOR A YIELD TO MATURITY OF 6.802% AND 6.787%, RESPECTIVELY. THE NET
PROCEEDS OF THE U.S.$400 MILLION OFFERING, TOGETHER WITH CASH ON HAND,
WERE USED TO FUND THE GROUP'S TENDER OFFERS MADE AND EXPIRED IN MARCH
2005 FOR ANY OR ALL OF THE SENIOR NOTES DUE 2011 AND THE MEXICAN PESOS
EQUIVALENT OF UDI-DENOMINATED NOTES DUE 2007, AND PREPAID PRINCIPAL
AMOUNT OF THESE SECURITIES IN THE AMOUNT OF APPROXIMATELY U.S.$222.0
MILLION AND PS.2,935,097 (NOMINAL), RESPECTIVELY, REPRESENTING
APPROXIMATELY 74% AND 76% OF THE OUTSTANDING PRINCIPAL AMOUNT OF THESE
SECURITIES, RESPECTIVELY. THE NET PROCEEDS OF THE U.S.$200 MILLION
ISSUANCE WERE USED FOR CORPORATE PURPOSES, INCLUDING THE PREPAYMENT OF
SOME OF THE GROUP'S OUTSTANDING INDEBTEDNESS.
(D) THESE SENIOR NOTES ARE UNSECURED AND UNSUBORDINATED INDEBTEDNESS OF SKY
MEXICO. INTEREST ON THESE SENIOR NOTES, INCLUDING ADDITIONAL AMOUNTS
PAYABLE IN RESPECT OF CERTAIN MEXICAN WITHHOLDING TAXES, IS 9.8580%,
AND IS PAYABLE SEMI-ANNUALLY. SKY MEXICO MAY, AT ITS OWN OPTION, REDEEM
THESE SENIOR NOTES, IN WHOLE OR IN PART, AT ANY TIME ON OR AFTER
SEPTEMBER 19, 2008 AT REDEMPTION PRICES FROM 104.6875% TO 101.5625%
BETWEEN SEPTEMBER 19, 2008 THROUGH SEPTEMBER 18, 2011, OR 100%
COMMENCING ON SEPTEMBER 19, 2011, PLUS ACCRUED AND UNPAID INTEREST, IF
ANY. IN APRIL 2006, SKY MEXICO CONCLUDED AN OFFER TO PURCHASE ALL OF
THESE SENIOR NOTES WITH THE TENDER OF 96.25% OF THE OUTSTANDING
PRINCIPAL AMOUNT OF THESE SENIOR NOTES IN THE AGGREGATE AMOUNT OF
APPROXIMATELY U.S.$324.3 MILLION. THIS TRANSACTION TOGETHER WITH
RELATED FEES AND EXPENSES WERE FINANCED WITH TWO 10-YEAR BANK LOANS
ENTERED INTO BY SKY MEXICO AND GUARANTEED BY THE COMPANY IN THE
AGGREGATE PRINCIPAL AMOUNT OF PS.3,500,000, AND THE REMAINING WITH CASH
ON HAND. ANNUAL INTEREST ON THIS MEXICAN PESO INDEBTEDNESS IS AT THE
WEIGHTED AVERAGE OF 8.836% FOR THE FIRST THREE YEARS, AND FLUCTUATES
BETWEEN 8.74% AND THE MEXICAN INTERBANK RATE PLUS 24 BASIS POINTS FOR
THE LAST SEVEN YEARS, AND IS PAYABLE ON A MONTHLY BASIS.
(E) NOTES DENOMINATED IN MEXICAN INVESTMENT UNITS ("UNIDADES DE INVERSION"
OR "UDIS"), REPRESENTING 258,711,400 UDIS AS OF JUNE 30, 2006 AND 2005,
RESPECTIVELY. INTEREST ON THESE NOTES IS PAYABLE SEMI-ANNUALLY. THE
BALANCE AS OF JUNE 30, 2006 AND 2005 INCLUDES RESTAMENT OF PS.236,236
AND PS.214,059, RESPECTIVELY. THE UDI VALUE AS OF JUNE 30, 2006, WAS
PS. 3.675538 PER UDI.
IN 2002, THE GROUP DESIGNATED ITS NET INVESTMENT IN UNIVISION AS AN
EFFECTIVE HEDGE OF ITS OUTSTANDING SENIOR NOTES DUE 2011 AND 2032 FOR AN
AGGREGATE AMOUNT OF U.S.$600.0 MILLION. IN MARCH 2005, IN CONNECTION WITH
THE ISSUANCE OF A PORTION OF ITS SENIOR NOTES DUE 2025, AND THE PREPAYMENT
OF A PORTION OF ITS SENIOR NOTES DUE 2011, THE GROUP DESIGNATED ITS NET
INVESTMENT IN UNIVISION AS AN EFFECTIVE HEDGE OF U.S.$400 MILLION OF THE
SENIOR NOTES DUE 2025. CONSEQUENTLY, 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). AS OF
JUNE 30, 2006 AND 2005, THE TOTAL PRINCIPAL AMOUNT OF THE GROUP'S LONG-TERM
DEBT BEING HEDGED BY THE GROUP'S NET INVESTMENT IN UNIVISION WAS
APPROXIMATELY U.S.$771.9 MILLION AND U.S.$775.5 MILLION, RESPECTIVELY.
IN JUNE 2005 AND JANUARY 2006, THE COMPANY REPURCHASED APPROXIMATELY
U.S.$2.0 MILLION AND U.S.$3.5 MILLION, RESPECTIVELY, OF THE OUTSTANDING
PRINCIPAL AMOUNT OF SENIOR NOTES DUE 2011 IN THE AGGREGATE AMOUNT OF
APPROXIMATELY U.S.$2.4 MILLION AND U.S.$4.0 MILLION, RESPECTIVELY.
4. CONTINGENCIES:
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 OTHER 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 JUNE 30 IS ANALYZED AS
FOLLOWS:
2006 2005
----------------------------------- ------------------------------------
NOMINAL RESTATED NOMINAL RESTATED
PESOS PESOS PESOS PESOS
--------------- -------------------------------------- ----------------
CAPITAL STOCK ISSUED Ps. 2,524,174 Ps. 9,795,186 Ps. 2,524,174 Ps. 9,953,912
ADDITIONAL PAID-IN CAPITAL 3,841,792 4,239,894 3,841,792 4,239,894
LEGAL RESERVE 1,197,574 1,990,782 1,018,068 1,810,107
RESERVE FOR REPURCHASE OF SHARES 1,682,757 4,313,485 2,255,655 5,782,020
UNAPPROPRIATED EARNINGS 7,707,353 16,324,071 3,098,732 11,711,832
CUMULATIVE GAIN ON EQUITY OF ASSOCIATES
3,408,826 3,901,123 3,414,524 3,905,378
CUMULATIVE EFFECT OF DEFERRED TAXES (2,197,681) (3,006,033)
(2,197,681) (3,006,033)
ACCUMULATED OTHER COMPREHENSIVE LOSS
-- (3,055,589) -- (3,945,267)
NET INCOME FOR THE SIX MONTHS -- 3,598,281 1,871,159 1,930,733
SHARES REPURCHASED (4,810,455) (5,299,381) (6,021,643) (6,644,622)
------------------ ----------------
TOTAL MAJORITY STOCKHOLDERS' EQUITY Ps. 32,801,819 Ps.25,737,954
================== ================
IN APRIL 2005, THE COMPANY ISSUED 4,285 ADDITIONAL CPOS BY COMBINING
107,125 SERIES "A" SHARES, 94,270 SERIES "B" SHARES, 149,975 SERIES "D"
SHARES AND 149,975 SERIES "L" SHARES, NOT IN THE FORM OF CPOS, WHICH WERE
ACQUIRED BY A TRUST FOR A GROUP'S PENSION PLAN.
IN APRIL 2005, THE COMPANY'S STOCKHOLDERS APPROVED A DIVIDEND PAYMENT
IN THE AMOUNT OF PS.1.35 PER CPO, EQUIVALENT TO PS.4,333,880 (PS.4,214,750
NOMINAL), WHICH WAS PAID IN CASH IN MAY, 2005.
IN APRIL 2006, THE COMPANY'S STOCKHOLDERS APPROVED (I) THE PAYMENT OF
A DIVIDEND IN THE AGGREGATE AMOUNT OF PS.1,083,143 (PS.1,087,049 NOMINAL),
WHICH CONSISTED OF NOMINAL PS.0.35 PER CPO AND NOMINAL PS.0.00299145 PER
SHARE, NOT IN THE FORM OF A CPO, AND WAS PAID IN CASH IN MAY 2006; AND (II)
THE CANCELLATION OF APPROXIMATELY 5,888.5 MILLION SHARES OF CAPITAL STOCK
IN THE FORM OF APPROXIMATELY 50.3 MILLION CPOS, WHICH WERE REPURCHASED BY
THE COMPANY IN 2004, 2005 AND 2006.
AS OF JUNE 30, 2006, THE NUMBER OF SHARES ISSUED, REPURCHASED AND
OUTSTANDING IS PRESENTED AS FOLLOWS:
ISSUED REPURCHASED OUTSTANDING
----------------- ---------------- -----------------
SERIES "A" SHARES 123,478,023,925 8,878,936,485 114,599,087,440
SERIES "B" SHARES 59,162,448,976 4,881,012,581 54,281,436,395
SERIES "D" SHARES 90,372,213,365 4,015,440,959 86,356,772,406
SERIES "L" SHARES 90,372,213,365 4,015,440,959 86,356,772,406
----------------- ---------------- -----------------
363,384,899,631 21,790,830,984 341,594,068,647
================= ================ =================
THE COMPANY'S SHARES REPURCHASED, AS WELL AS THEIR NET COST, AS OF
JUNE 30, 2006, 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) - - - PS. -
OWNED BY A COMPANY'S SUBSIDIARY
(2) (3) 4,511,291,499 537,563,559 5,048,855,058 (1,083,099)
ACQUIRED BY A COMPANY'S TRUST (4)(5) 8,911,753,812 7,830,222,114 16,741,975,926 (3,954,988)
ADVANCE FOR ACQUISITION OF SHARES
(2) - - - (261,294)
=========================================================================
13,423,045,311 8,367,785,673 21,790,830,984 PS.(5,299,381)
=========================================================================
(1) DURING THE FIRST QUARTER OF 2006, THE COMPANY REPURCHASED
430,372,800 SHARES IN THE FORM OF 3,678,400 CPOS, IN THE AMOUNT OF
PS.154,650 (PS.154,715 NOMINAL). IN APRIL 2006, THE COMPANY
CANCELLED 5,888,469,600 SHARES IN THE FORM OF 50,328,800 CPOS IN
THE AMOUNT OF PS.1,627,261 (PS.1,570,121 NOMINAL).
(2) IN CONNECTION WITH THE COMPANY'S STOCK PURCHASE PLAN.
(3) IN MARCH 2005, AND JULY 2005 THE GROUP RELEASED 2,036,135,556
SHARES, AND 1,114,850,763 SHARES IN THE FORM OF 17,402,868 CPOS,
AND 9,528,639 CPOS, RESPECTIVELY, IN THE AMOUNT OF APPROXIMATELY
PS.168,988 AND PS.145,930, RESPECTIVELY. IN CONNECTION WITH THE
COMPANY'S STOCK PURCHASE PLAN. ALSO, IN MARCH 2006, THE GROUP
RELEASED 2,186,313,597 SHARES, IN THE FORM OF 18,686,441 CPOS, IN
THE AMOUNT OF APPROXIMATELY PS.173,763 IN CONNECTION WITH SUCH
PLAN.
(4) IN CONNECTION WITH THE COMPANY'S LONG-TERM RETENTION PLAN.
(5) IN APRIL 2006, THE GROUP RELEASED 40,018,680 SHARES IN THE FORM OF
342,040 CPOS, IN THE AMOUNT OF PS.4,600 IN CONNECTION WITH SUCH
PLAN.
THE GROUP ACCRUED IN STOCKHOLDER'S EQUITY A SHARE-BASED COMPENSATION
EXPENSE OF PS.91,764 (PS.91,842 NOMINAL), WHICH WAS REFLECTED IN INCOME AS
CORPORATE EXPENSE FOR THE SIX MONTHS ENDED JUNE 30, 2006 (SEE NOTES 1 AND
11).
IN MARCH 2006, THE COMPANY ANNOUNCED A CHANGE FROM 20 TO FIVE CPOS
REPRESENTING EACH GDS, WHICH BECAME EFFECTIVE ON MARCH 22, 2006.
6. RESERVE FOR REPURCHASE OF SHARES:
AS OF JUNE 30, 2006, 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.7,238,667. THIS RESERVE WAS USED IN 1999, 2000, 2003 AND 2006, IN THE
AMOUNT OF PS.297,629, PS.665,319, PS.493,699 AND PS.1,468,535,
RESPECTIVELY, IN CONNECTION WITH THE CANCELLATION OF SHARES REPURCHASED BY
THE COMPANY.
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 SIX MONTHS ENDED JUNE 30, CONSISTED
OF:
2006 2005
--------------- ----------------
INTEREST EXPENSE (1) Ps. 957,758 Ps. 1,124,730
INTEREST INCOME (569,657) (573,659)
FOREIGN EXCHANGE (GAIN) LOSS, NET (2) (432,914) 412,618
LOSS FROM MONETARY POSITION, NET (3) 61,905 43,085
--------------- ----------------
Ps. 17,092 Ps. 1,006,774
=============== ================
(1) INCLUDES RESTATEMENT OF UDI-DENOMINATED DEBT SECURITIES OF
PS.9,826 AND PS.12,744 NET IN THE SIX MONTHS ENDED JUNE 30, 2006
AND 2005, RESPECTIVELY.
(2) NET OF FOREIGN EXCHANGE GAIN IN 2006 INCLUDES A NET GAIN FROM
FOREIGN CURRENCY OPTION CONTRACTS OF PS.127,778 AND NET FOREIGN
EXCHANGE LOSS IN 2005 INCLUDES A NET LOSS FOREIGN CURRENCY
DERIVATIVE CONTRACT OF PS.414,873. A FOREIGN EXCHANGE LOSS IN 2006
AND A FOREIGN EXCHANGE GAIN IN 2005 OF PS.554,090 AND PS.325,886,
RESPECTIVELY, WERE HEDGED BY THE GROUP'S NET INVESTMENT IN
UNIVISION AND RECOGNIZED IN STOCKHOLDERS' EQUITY AS OTHER
COMPREHENSIVE LOSS.
(3) THE GAIN OR LOSS FROM MONETARY POSITION REPRESENTS THE EFFECTS OF
INFLATION, AS MEASURED BY THE NCPI 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 2006 AND 2005 OF PS.18,261 AND PS.37,441, RESPECTIVELY, ARISING
FROM TEMPORARY DIFFERENCES OF NON-MONETARY ITEMS IN CALCULATING
DEFERRED INCOME TAX.
8. DEFERRED TAXES:
THE DEFERRED INCOME TAX LIABILITY AS OF JUNE 30, WAS DERIVED FROM:
2006 2005
----------------- -----------------
ASSETS:
ACCRUED LIABILITIES Ps. 827,272 Ps. 606,742
GOODWILL 801,307 880,182
TAX LOSS CARRYFORWARDS 1,245,149 1,028,120
ALLOWANCE FOR DOUBTFUL ACCOUNTS 417,686 448,736
CUSTOMER ADVANCES 1,377,503 1,473,251
OTHERS ITEMS 207,433 -
----------------- -----------------
4,876,350 4,437,031
----------------- -----------------
LIABILITIES:
INVENTORIES (232,490) (718,543)
PROPERTY, PLANT AND EQUIPMENT - NET (1,145,452) (1,330,476)
OTHER ITEMS (1,304,191) (1,253,005)
INNOVA (1,098,582) (1,618,458)
----------------- -----------------
(3,780,715) (4,920,482)
----------------- -----------------
DEFERRED INCOME TAX OF MEXICAN COMPANIES 1,095,635 (483,451)
DEFERRED TAX OF FOREIGN SUBSIDIARIES (65,513) (315,920)
ASSETS TAX 1,384,233 1,472,988
VALUATION ALLOWANCE (2,555,530) (2,402,811)
RECOVERABLE INCOME TAX FROM REPURCHASE OF SHARES - 230,972
----------------- -----------------
DEFERRED INCOME TAX LIABILITY (141,175) (1,498,222)
EFFECT ON CHANGE OF INCOME TAX RATES 32,549 189,261
----------------- -----------------
DEFERRED TAX LIABILITY OF CONTINUING OPERATIONS Ps. (108,626) Ps. (1,308,961)
================= =================
9. EXTRAORDINARY ITEMS:
NO EXTRAORDINARY ITEMS, AS DEFINED BY MEXICAN GAAP BULLETIN A-7
"COMPARABILITY", WERE RECOGNIZED IN INCOME FOR THE SIX MONTHS ENDED JUNE
30, 2006 AND 2005.
10. DISCONTINUED OPERATIONS:
NO DISCONTINUED OPERATIONS, AS DEFINED BY MEXICAN GAAP BULLETIN C-15
"IMPAIRMENT IN THE VALUE OF LONG-LIVED ASSETS AND THEIR DISPOSAL," WERE
RECOGNIZED IN INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2006 AND 2005.
11. CUMULATIVE EFFECT OF ACCOUNTING CHANGES:
IN 2005, IN CONNECTION WITH THE ADOPTION OF THE GUIDELINES OF IFRS 2,
"SHARE-BASED PAYMENT", THE GROUP RECOGNIZED A NON - TAXABLE CUMULATIVE LOSS
EFFECT OF ACCOUNTING CHANGE, IN THE AMOUNT OF PS.325,642, WHICH WAS
REFLECTED IN ITS CONSOLIDATED STATEMENT OF INCOME FOR THE YEAR THEN ENDED
(SEE NOTE 5).
EFFECTIVE JANUARY 1, 2005, IN CONNECTION WITH THE ADOPTION OF CERTAIN
PROVISIONS OF REVISED BULLETIN D-3 RELATED TO RECOGNITION OF SEVERANCE
INDEMNITIES, THE GROUP RECOGNIZED A CUMULATIVE LOSS EFFECT OF ACCOUNTING
CHANGE IN THE AMOUNT OF PS.183,735, NET OF A RELATED INCOME TAX BENEFIT OF
PS.78,744 IN ITS CONSOLIDATED STATEMENT OF INCOME FOR THE YEAR ENDED
DECEMBER 31, 2005.
12. QUARTERLY NET RESULTS (HISTORICAL AND RESTATED):
THE QUARTERLY NET RESULTS FOR THE FOUR QUARTERS ENDED JUNE 30, 2006,
ARE AS FOLLOWS:
HISTORICAL NET RESULT (1) RESTATED NET RESULT
-------------------------------- ---------------------------------
INDEX AT END
QUARTER ACCUMULATED QUARTER OF PERIOD ACCUMULATED QUARTER
-------------- --------------- --------------- ----------- --------------- ----------------
3/05 Ps. 3,552,138 Ps. 1,663,877 114.484 Ps. 3,632,033 Ps. 1,701,300
4/05 6,125,542 2,517,026 116.301 6,165,462 2,533,429
1/06 1,293,608 1,293,608 117.309 1,290,850 1,290,850
2/06 3,598,281 2,307,431 117.059 3,598,281 2,307,431
(1) AS REPORTED IN EACH QUARTER.
13. INFORMATION BY SEGMENTS:
INFORMATION BY SEGMENTS FOR THE SIX MONTHS ENDED JUNE 30, 2006 AND
2005, WERE AS FOLLOWS:
TOTAL REVENUES INTERSEGMENT CONSOLIDATED OPERATING INCOME
REVENUES REVENUES (LOSS)
--------------- ----------------- ----------------- ------------------
JUNE 2006:
TELEVISION BROADCASTING Ps. 9,420,376 Ps. 196,001 Ps. 9,224,375 Ps. 4,169,797
PAY TELEVISION NETWORKS 615,420 132,090 483,330 289,715
PROGRAMMING EXPORTS 938,508 - 938,508 338,863
PUBLISHING 1,273,100 10,926 1,262,174 178,069
PUBLISHING DISTRIBUTION 210,676 5,548 205,128 3,677
SKY MEXICO 3,528,963 85,137 3,443,826 1,091,351
CABLE TELEVISION 893,722 1,676 892,046 192,377
RADIO 211,263 20,806 190,457 24,646
OTHER BUSINESSES 643,054 37,435 605,619 (129,590)
ELIMINATIONS AND CORPORATE EXPENSES (489,619) (489,619) - (194,325)
--------------- ----------------- ----------------- ------------------
CONSOLIDATED TOTAL Ps. 17,245,463 Ps. - Ps. 17,245,463 Ps. 5,964,580
=============== ================= ================= ==================
JUNE 2005:
TELEVISION BROADCASTING Ps. 8,116,435 Ps. 243,672 Ps. 7,872,763 Ps. 3,198,747
PAY TELEVISION NETWORKS 503,507 149,513 353,994 189,893
PROGRAMMING EXPORTS 917,396 - 917,396 308,225
PUBLISHING 1,127,280 20,635 1,106,645 167,325
PUBLISHING DISTRIBUTION 190,410 4,851 185,559 (13,505)
SKY MEXICO 2,833,538 14,783 2,818,755 727,153
CABLE TELEVISION 655,079 1,078 654,001 47,778
RADIO 153,825 26,768 127,057 6,068
OTHER BUSINESSES 672,030 28,776 643,254 (65,455)
ELIMINATIONS AND CORPORATE EXPENSES (490,076) (490,076) - (84,394)
--------------- ----------------- ----------------- ------------------
CONSOLIDATED TOTAL Ps. 14,679,424 Ps. - Ps. 14,679,424 Ps. 4,481,835
=============== ================= ================= ==================
14. SKY MEXICO
IN THE FIRST QUARTER OF 2006, AFFILIATES OF DIRECTV COMPLETED THE
ACQUISITION OF EQUITY INTERESTS IN SKY MEXICO, WHICH WERE FORMERLY HELD BY
NEWS CORP, AND LIBERTY MEDIA. THIS ACQUISITION INCLUDED THE CAPITALIZATION
OF THE PURCHASE PRICE OF THE LIST OF SUBSCRIBERS SOLD BY DIRECTV MEXICO TO
SKY MEXICO IN THE AGGREGATE AMOUNT OF PS.621,112. AS A RESULT OF THESE
TRANSACTIONS, THE GROUP'S EQUITY STAKE IN SKY MEXICO WAS REDUCED FROM 60%
TO 52.7%, AND DIRECTV BECAME THE OWNER OF THE REMAINING 47.3% STAKE.
IN THE SECOND QUARTER OF 2006, THE GROUP EXERCISED ITS OPTION TO
ACQUIRE TWO-THIRDS OF THE EQUITY INTEREST IN SKY MEXICO THAT DIRECTV
ACQUIRED FROM LIBERTY MEDIA. THIS MINORITY INTEREST ACQUISITION AMOUNTED TO
APPROXIMATELY U.S.$58.7 MILLION, AND WAS FINANCED WITH CASH ON HAND. AFTER
THIS TRANSACTION, THE GROUP'S INTEREST IN SKY MEXICO IS 58.7%, AND THE
REMAINING 41.3% IS OWNED BY DIRECTV. UNDER MEXICAN FRS, THE GROUP
RECOGNIZED THIS MINORITY INTEREST ACQUISITION AS A TRANSACTION BETWEEN
MINORITY AND MAJORITY EQUITY OWNERS, AND THE EXCESS OF THE PURCHASE PRICE
PAID OVER THE CARRYING VALUE OF THE NET ASSETS ACQUIRED WAS ACCOUNTED FOR
AS A CAPITAL DISTRIBUTION.
15. INVESTMENTS
IN THE SECOND HALF OF 2006, THE GROUP MADE EQUITY INVESTMENTS IN
CONNECTION WITH ITS 40% INTEREST IN LA SEXTA, THE BROADCASTING TELEVISION
VENTURE IN SPAIN, IN THE AMOUNT OF APPROXIMATELY 26 MILLION EUROS
(PS.354,744).
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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.
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(Registrant)
Dated: July 19, 2006 By /s/ Jorge Lutteroth Echegoyen
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Name: Jorge Lutteroth Echegoyen
Title: Controller, Vice-President