Cablemas 1Q07 Net Revenue and Adjusted EBITDA Up 17.0% and 4.6% YoY

Cablemas 1Q07 Net Revenue and Adjusted EBITDA Up 17.0% and 4.6% YoY

MEXICO CITY, May 15 /PRNewswire-FirstCall/ -- Cablemas, S.A. de C.V., (Cablemas), the second-largest cable television operator in Mexico based on number of subscribers and homes passed, today announced results for the three-month period ending March 31, 2007.

Cablemas CEO Carlos M. Alvarez Figueroa commented, "The year started off with yet another strong quarter, recording increases of 17.0% and 4.6% in net revenue and adjusted EBITDA and 159.6% in net income."

"We continue to expand the market penetration of our service offering. This quarter our subscriber base rose year-over-year by 20.2% in cable television, 48.2% in high-speed Internet and 167.4% in IP telephony."

"We also remain focused on rolling out our triple play strategy through our interconnection agreement with Telmex. On that front, we are making the investments necessary to begin the launch of our direct IP telephony service in the third quarter of the year. The agreement with Telmex will allow us to further improve profitability in this business and build on our current IP telephony base."

Financial and Operational Highlights(1)
(in million Mexican Pesos) 1Q06 1Q07 % Chg.
Financial Highlights
Net revenue 546.7 639.9 17.0%
Operating profit 127.0 128.2 0.9%
Adjusted EBITDA(2) 232.8 243.5 4.6%
Net income 51.6 133.8 159.6%
Operating margin 23.2% 20.0% -319 bps
Adjusted EBITDA margin(2) 42.6% 38.0% -453 bps
Net income margin 9.4% 20.9% +1149 bps
Total Debt 1,992.7 1,971.9 -1.0%
Net Debt 1,213.2 1,922.4 58.5%
Total Debt/ LTM Adj. EBITDA(2) 2.6x 2.2x
Net Debt/ LTM Adj. EBITDA(2) 1.6x 2.1x
EBITDA/ Net interest expense 4.1x 3.9x
Operational Highlights
Homes passed 1,728,039 2,148,228 24.3%
Cable Television subscribers 612,734 736,205 20.2%

High-speed internet subscribers 133,962 198,471 48.2%
IP Telephony lines 9,936 26,567 167.4%

(1) Unless otherwise stated, all financial figures discussed in this
announcement are unaudited, prepared in accordance with generally
accepted accounting principles in Mexico, expressed in millions of
constant Mexican pesos as of March 31, 2007, and represent comparisons
between the three-month period ended March 31, 2007, and the
equivalent three-month period ended March 31, 2006.

(2) Adjusted EBITDA is calculated by adding amortization and depreciation,
net comprehensive financial results, net other income, special items,
total income tax and asset tax, total employee statutory profit
sharing, effects from associated companies and minority interest to
net income/loss.

FIRST QUARTER 2007 CONSOLIDATED RESULTS

Net Revenues

Net revenues increased 17.0%, or Ps.93.2 million, during 1Q07 to Ps.639.9 million.

-- Cable Television: The 13.2%, or Ps.57.5 million, growth in cable
television revenues was principally due to a 20.2% YoY increase in the
number of subscribers to 736,205, with a penetration rate of 33%. This
was achieved despite a 3.6% decline in average monthly cable television
revenues per subscriber (ARPU) to Ps.233.2. This decline in ARPU was
primarily the result of a 40.3% increase in Minibasic subscribers, who
pay lower monthly fees, while Basic subscribers increased 13.4%. The
average monthly net churn rates for cable television declined to 2.3%
for 1Q07 from 2.8% in 1Q06.

-- High Speed Internet: The 34.4%, or Ps.27.8 million, rise in high-speed
Internet revenues resulted mainly from a 48.2% increase in the number
of subscribers to 198,471, with a penetration rate of 11%. This was
partially offset by an 8.2% decline in high-speed Internet ARPU to
Ps.204.9, as lower price/ lower-speed Internet (128 Kbps) subscriptions
increased at a faster rate than those of higher-speed Internet (512
Kbps). Average monthly net churn rates for high-speed Internet rose to
3.3% for 1Q07 from 2.6% in 1Q06 due to service quality limitations in
the Mayan Riviera during the reconstruction of the network damaged by
Hurricane Wilma and an aggressive competing service offer from Telmex.

-- IP Telephony: IP telephony revenues for the quarter rose 40.4%, or
Ps.7.0 million, to Ps. 24.3 million. During 1Q06 IP telephony revenues
included costs and expenses charged to Axtel. The expenses charged to
Axtel as part of the Joint Venture were reclassified and netted in IP
telephony cost and expenses as of 4Q06. The adjustment has no impact on
EBITDA. As of March 31, 2007, there were 26,567 IP telephony lines in
service, up from 9,936 as of March 31, 2006. IP telephony ARPU for 1Q07
was Ps. 273.1. This does not include migration fees paid to Cablemas by
Axtel for new subscribers which, if included, would increase IP
telephony ARPU to Ps.386.6 for 1Q07.

Table 1. Revenues by Service Offering
1Q06 1Q07 % Chg.
% of % of
Total Total
Revenue Revenue Revenue Revenue
Cable Television 435.7 79.7% 493.2 77.1% 13.2%
High-Speed Internet 81.0 14.8% 108.8 17.0% 34.4%
IP telephony 17.3 3.2% 24.3 3.8% 40.4%
Advertising 11.7 2.1% 12.9 2.0% 10.2%
Other(1) 1.1 0.2% 0.7 0.1% -31.5%
Total Net Revenue(2) 546.7 100.0% 639.9 100.0% 17.0%

(1) Includes revenue relating to rental and sale of cable decoders and
charges relating to customer's change of residence.

(2) All net revenue figures are net of value-added taxes and other taxes
on sales.

Table 2. Number of Subscribers per Service Offering
% Chg. in
1Q06 1Q07 Subscribers
Minibasic 145,135 203,608 40.3%
Basic(1) 454,720 515,782 13.4%
Superbasic(1) 46,358 44,379 -4.3%
Premium (1) 28,953 29,173 0.8%
Hotel 12,879 16,815 30.6%
Total Cable Television 612,734 736,205 20.2%
High-Speed Internet 133,962 198,471 48.2%
IP Telephony lines 9,936 26,567 167.4%

(1) The number and percentage of Basic subscribers includes Basic,
Superbasic and Premium subscribers due to the fact that all Superbasic
and Premium subscribers must also be Basic subscribers.

Table 3. ARPUs and Churn Per Service Offering
1Q06 1Q07 % Chg.
Homes passed 1,728,039 2,148,228 24.3%
Cable Television
- Revenue 435.7 493.2 13.2%
- Subscribers 612,734 736,205 20.2%
- ARPU 242.0 233.2 -3.6%
- Avg. Monthly Churn 2.8% 2.3% -55 bps
High-Speed Internet
- Revenue 81.0 108.8 34.4%
- Subscribers 133,962 198,471 48.2%
- ARPU 223.3 204.9 -8.2%
- Avg. Monthly Churn 2.6% 3.3% +64 bps
IP Telephony
- Revenue 17.3 24.3 40.4%
- Lines 9,936 26,567 167.4%
- ARPU (without migration fee) 680 273.1 -59.8%

Operating Profit

Operating profit for 1Q07 increased by 0.9%, or Ps.1.2 million, to Ps.128.2 million, driven mainly by a 12.8% increase in gross profit. Operating margin declined to 20.0% from 23.2% in 1Q06, principally due to the increase in cost of services as a percentage of revenues.

Table 4. Operating Profit
1Q06 1Q07 % Chg.
Million % of Million % of
Ps. Revenues Ps. Revenues
Service revenues 546.7 100.0% 639.9 100.0% 17.0%
Cost of services 262.3 48.0% 319.0 49.9% 21.6%
Gross Profit 284.4 52.0% 320.9 50.1% 12.8%
SG&A 157.4 28.8% 192.6 30.1% 22.4%
- Selling 51.9 9.5% 65.5 10.2% 26.3%
- Administrative 90.5 16.6% 115.6 18.1% 27.7%
- Amortization and depreciation 15.0 2.7% 11.5 1.8% -23.1%
Total operating profit 127.0 23.2% 128.2 20.0% 0.9%

Cost of Services

Cost of Services for 1Q07 increased by 21.6%, or Ps.56.7 million. The increase in cost of services was primarily due to:

-- A Ps.16.5 million increase in programming costs, principally related
to increases in cable television subscribers and one-time Ps.5.0
million charge in 1Q07 related to an adjustment for prior periods.
-- A Ps.12.1 million increase in Internet costs of which Ps.10 million
are related to incremental cost for bandwidth a 48.2% increase in the
number of internet subscribers and the rollout of internet service in
additional cities.
-- A Ps.24.2 million increase in depreciation & amortization related to
an increase in fixed assets investments and to the change in the
estimate of the useful life of distribution lines. During 1Q06 the
useful life of these assets was estimated at 25 years compared with 15
years in 1Q07.

Selling, General and Administrative Expenses

Selling, General and Administrative Expenses (including depreciation and amortization) or SG&A, increased Ps.35.2 million, or 22.4% YoY to Ps.192.6 million. As a percentage of sales, SG&A rose 132 basis points to 30.1%, from 28.8% in 1Q06. The absolute increase in SG&A principally reflected:

-- A 26.3%, or Ps.13.6 million, increase in selling expenses to Ps.65.5
million, principally related to the increase in the size of the
company's sales force and an increase in commissions paid (1.286
salespersons as of March 31, 2007 as compared to 1.073 as of March 31,
2006), as well as a Ps.3.6 million increase in advertising;
-- A 27.7%, or Ps.25.0 million, increase in administrative expenses to
Ps.115.6 million. As a percentage of revenues, administrative expenses
increased to 18.1% in 1Q07 from 16.6% in 1Q06. Administrative expenses
in absolute values increased principally due to:

-- A Ps.11.4 million increase in salaries and fees principally due to
the additional number of administrative employees (451 as of March
2007 and 441 as of March 2006), an increase in salaries, as well as
director's and management performance bonuses corresponding to the
fiscal year 2006 period;
-- An increase of Ps.2.0 million in telecommunications and travel
expenses, due to higher communication activities and travel
expenses.

-- Amortization and depreciation declined 23.1%, or Ps.3.5 million, to
Ps.11.5 million for 1Q07, principally due to a reclassification of
assets in 1Q07 and the amortization of SAP related investments in
1Q06.

Adjusted EBITDA

Adjusted EBITDA for 1Q07 increased 4.6%, or Ps.10.7 million, to Ps. 243.5 million. The adjusted EBITDA margin declined 453 bps to 38.0%. The following table sets forth the reconciliation between net income to adjusted EBITDA:

Table 5. Adjusted EBITDA
1Q06 1Q07 % Chg.
Net income (loss) 51.6 133.8 159.6%
Add (subtract):
Amortization and depreciation 105.8 115.2 8.9%
Comprehensive financial results, net 42.3 (10.0) -123.6%
Other (income) expense, net 7.4 0.5 -93.5%
Special items 13.2 (23.7) -280.4%
Total income tax and asset tax 26.3 31.9 21.0%
Employee profit sharing 0.9 2.0 124.6%
Effects from associated companies (14.7) (6.4) -56.2%
Minority interest 0.1 0.2 53.5%

Adjusted EBITDA 232.8 243.5 4.6%

-- Depreciation and amortization increased 8.9%, or Ps.9.5 million, to
Ps.115.2 million, principally due to an increase in fixed assets
investments and to the change in the estimate of the useful life of
distribution lines.
-- Special items included expenses related to the purchase of the
financial partners' equity stake as well as consulting fees related to
the search of a new strategic partner. 1Q06 included extraordinary
charges related to Hurricane Wilma while 1Q07 reflects US$3.5 million,
net of other amortizable expenses, received from the insurance company
for damages incurred by Wilma
-- Comprehensive financial results were a gain of Ps.10 million compared
with a loss of Ps.42.3 million in 1Q06 principally due to gains from
financial instruments, monetary position and swap instruments.
-- During the quarter the company recorded a Ps.31.9 million provision
for income taxes and asset taxes, compared to Ps.26.3 million in 1Q06
as a result of the higher taxable income base.

Comprehensive Financial Results, Net

Comprehensive financial results, net was a gain of Ps.10.0 million for the three months ended March 31, 2007, a Ps.52.3 million improvement from the net expense of Ps.42.3 million for the corresponding period in 2006. The improvement primarily reflected a Ps.61.1 million gain in financial instruments including gains from swap instruments and a Ps.7.1 million gain in monetary position.

Table 6. Comprehensive Financial Results, Net
1Q06 1Q07 % Chg.
Interest income 8.4 1.7 -80.1%
Interest expense -65.9 -64.3 -2.4%
Financial instruments (loss) -11.5 49.5 -529.2%
Foreign-exchange (loss) gain, net 8.7 -1.9 -122.2%
Monetary position (loss) gain 17.9 25.0 39.3%
Comprehensive financial results, net (42.3) 10.0 -123.6%

Net Income

For 1Q07, Cablemas posted a net gain Ps.133.8 million, a 159,6%, or Ps.82.3 million, improvement compared to a gain Ps.51.6 million in 1Q06. Net income margin improved to 20.9% from 9.4% for 1Q06.

CAPEX

Capital expenditures for 1Q07 fell 30.7% or Ps.97.7 million, to Ps.220.8 million from Ps.318.5 million in 1Q06. Capital expenditures principally related to investments incurred to expand and upgrade Cablemas' network.

As of March 31, 2007, Cablemas had a network of 13,613 km, of which 82% was bidirectional and 86% was operating at or greater than 550 MHz. As of March 31, 2006 Cablemas had a network of 11,816 km, of which 76% was bidirectional and 86% was operating at or greater than 550 MHz.

DEBT STRUCTURE AND CASH FLOW

Consolidated gross debt as of March 31, 2007, totaled Ps.1,971.9 million, of which Ps.1,906.9 million was long-term and Ps.65.0 million was short term. Consolidated gross debt declined YoY by 1.0%, from Ps.1,992.7 million as of March 31, 2006.

Net debt, which is calculated as total debt minus cash and cash equivalents, increased YoY by 58.5% to Ps.1,922.4 million, from 1,213.2 million as of March 31, 2006. As of March 31, 2007, Cablemas had a cash balance of Ps.49.5 million.

Table 7. Debt Indicators
1Q06 1Q07 % Chg.
Total Debt 1,992.7 1,971.9 -1.0%
Short-Term Debt - 65.0 -

Long-Term Debt 1,992.7 1,906.9 -4.3%

Cash and Cash Equivalents 779.5 49.5 -93.6%
Total Net Debt 1,213.2 1,922.4 58.5%

Leverage
Total Debt/ LTM Adjusted EBITDA 2.6x 2.2x
Total Net Debt/ LTM Adjusted EBITDA 1.6x 2.1x

Interest Coverage
Adjusted EBITDA / Net Interest Expense 4.1x 3.9x

Cash flow from operations during 1Q07 declined 1.5%%, or Ps.2.7 million, to Ps.207.4 million.

Net borrowings declined Ps.115.3 million to Ps.36.4 million. Capex for 1Q07 decreased Ps.97.7 million to Ps.220.8 million. Capex was principally related to the upgrade and expansion of Cablemas' network, and customers premises equipment investments and the roll out of IP telephony.

Table 8. Cash Flow
1Q06 1Q07 Change
Cash at the beginning of the period 809.9 54.8 (755.1)
Net Income 51.6 133.8 82.3
+ Depreciation and amortization 105.8 115.2 9.5
+ Depreciation and amortization
extraordinary - - -
+ Change in Working Capital 69.1 56.0 (13.0)
+ Other (15.8) (97.7) (81.9)
Cash Flow from Operations 210.6 207.4 (3.2)
- Capex (318.5) (220.8) 97.7
- Other (1.5) 44.6 46.0
Net Investing Activities (320.0) (176.3) 143.7
+ Debt 79.1 0.6 (78.5)
+ Other (0.1) (37.0) (36.9)
Net Financing Activities 78.9 (36.4) (115.3)
Cash at the end of the period 779.5 49.5 (729.9)

FIRST QUARTER 2007 EARNINGS CONFERENCE CALL

Date: Tuesday, May 15, 2007

Time: 11:00 AM US EDT- 10:00 AM Mexico City Time

Dial Information: (800) 659-1942 (U.S.) or (617) 614-2710 (international)

Passcode: 89586721

Tape Playback: Starting Tuesday, May 15, 2007, at 12:00 PM US EDT,
ending at midnight US EDT on Tuesday, May 22, 2007,
(888) 286-8010 (U.S.) or (617) 801-6888
(international).

Confirmation Code: 89362407

About Cablemas

Cablemas is the second-largest cable television operator in Mexico based on number of subscribers and homes passed. As of March 31, 2007, Cablemas' cable network served over 736,205 cable television subscribers, 198,471 high-speed internet subscribers, and 26,567 IP telephony lines, with 2,148,228 homes passed.

Cablemas is the concessionaire with the broadest coverage in Mexico, operating in 46 cities throughout the country's oil, maquiladora and tourist regions as of March 31, 2006. Cablemas has consistently introduced innovative products in Mexico and is the first cable operator in the country to provide a "Triple Play" bundled service package of cable television, high speed internet and IP telephony. More information about Cablemas can be found at www.cablemas.com.

This document may contain certain forward-looking statements concerning Cablemas' operations, performance, business, financial condition and growth prospects. These statements are based upon beliefs of management as well as a number of assumptions and estimates, which are inherently subject to significant uncertainties, many of which are beyond Cablemas' control. Actual results may differ materially from those expressed or implied by such forward- looking statements. Factors that could cause actual results to differ materially include, but are not limited to, changes in the Mexican economy, including changes in inflation rates or exchange rates, changes in political conditions and government policies in Mexico, increased competition, regulatory developments and customer demand. These statements are made as of the date of this press release and Cablemas undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise in light of these risks and uncertainties, there can be no assurances that the events described or implied in the forward-looking statements contained in this document will in fact transpire.

CABLEMAS, S. A. DE C. V. Y SUBSIDIARIAS

Consolidated Balance Sheets

March 31st 2007 and 2006

(Constant Mexican Pesos as of March 31, 2007)

(Unaudited)

Assets 2007 2006

Current Assests:
Cash and equivalent $49,531,250 779,477,835
Accounts receivables, less estimate
for past due accounts for $10,516,063
in 2007 and $7,329,363 in 2006 43,185,996 24,439,549
Other accounts receivables, net 182,177,807 205,952,229
Prepaid expenses 43,531,089 29,849,558

Total current assets 318,426,142 1,039,719,171

Financial Instruments 497,100,793 -

Inventory of components of signal
distribution systems, net 291,116,179 274,836,700

Investment in associated companies 104,633,687 88,017,020

Property, signal distribution
systems, and equipment, net 3,224,501,388 2,603,931,350

Deferred employee statutory profit
sharing 6,291,885 4,518,268

Goodwill, net 1,001,353,533 1,018,423,992

Intangible asset from pension and
seniority premium plans and
severance compensation for reasons
other than restructuring 19,195,698 22,731,682

Other non-current assets, net 185,672,247 127,448,520

$5,648,291,552 5,179,626,703

Liabilities 2007 2006

Current liabilities:
Current installments of:
Bank loans $65,000,000 -
Obligations under capital leases 510,788 -
Notes 67,798,181 91,341,139
Financial instruments - 6,954,651
Accounts payable 199,928,199 289,965,562
Accruals 97,593,000 51,116,733
Accrued liabilities 16,137,696 12,323,000
Taxes payable 36,395,713 12,079,000
Employee statutory profit sharing 8,464,802 4,250,484
Productora y Comercializadora de
Television, S. A. de C. V.
(associated company) 35,390,663 34,851,267
Subscriber deposits and advances 58,475,238 66,207,654

Total current liabilities 585,694,280 569,089,490

Financial instruments 436,006,484 56,079,964
Corporate bond 1,906,940,001 1,992,698,715
Obligations under capital leases,
excluding current installments 247,721 -
Pension and seniority premiums plans
and severance compensation for reasons
other than restructuring 46,902,676 43,440,983

Income tax
Deferred income tax 9,127,000 10,893,571
Loss in associated company 340,247,976 312,448,584
- -

Total liabilities 3,325,166,138 2,984,651,307

Stockholders' equity
Majority stockholders' equity:
Capital stock 735,145,418 729,696,179
Additional paid-in capital 1,174,316,052 1,137,497,878
Retained earnings 490,639,817 419,850,962
Valuation effects of financial
instruments (70,968,811) (85,213,565)
Effect for labor obligations (1,530,140) (1,389,468)
Cumulative effect on deferred
taxes 3,373,343 3,373,343
Result from holding non monetary
assets (10,074,739) (10,074,739)

Total majority stockholders'
equity 2,320,900,940 2,193,740,590

Minority stockholders' equity 2,224,474 1,234,806

Total stockholders' equity 2,323,125,414 2,194,975,396

$5,648,291,552 5,179,626,703

CABLEMAS, S. A. DE C. V. Y SUBSIDIARIAS

Consolidated Statements of Income

Three months period ending March 31st, 2007 and 2006

(Constant Mexican pesos as of March 31, 2007)

(Unaudited)

2007 2006

Service revenues $639,859,625 546,699,451
Cost of services 319,000,774 262,283,572

Gross profit 320,858,851 284,415,879

Operating expenses:
Selling 65,545,089 51,900,496
Administrative 115,555,937 90,507,795
Amortization and depreciation 11,532,673 14,988,019

Total operating expenses 192,633,699 157,396,310

Operating profit 128,225,152 127,019,569

Comprehensive financial results:
Interest income 1,681,098 8,439,462
Interest expense (64,276,480) (65,879,595)
Foreign exchange (loss) gain, net (1,937,366) 8,743,940
Financial instruments 49,548,404 (11,545,162)
Monetary position gain 24,975,532 17,925,291

Comprehensive financial results, net 9,991,188 (42,316,064)

Other income (expenses), net (476,547) (7,362,380)

Special items 23,728,285 (13,152,095)

Income before income taxes,
employee statutory profit sharing, 161,468,078 64,189,030

Income taxes:
Current 42,617,162 14,237,768
Deferred (10,762,533) 12,079,734

Total income taxes 31,854,629 26,317,502

Employee statutory profit sharing
Current 1,582,101 1,157,469
Deferred 420,517 (265,732)

Total employee statutory profit
sharing 2,002,618 891,737

Income before effects from
associated companies and
minority interest 127,610,831 36,979,791

Effects from associated companies 6,447,098 14,724,063

Income before minority interest 134,057,929 51,703,854

Minority interest (208,562) (135,828)

Majority interest net income $133,849,367 51,568,026

Basic earnings per share $0.49 1.96

CABLEMAS, S. A. DE C. V. Y SUBSIDIARIAS

Consolidated Statements of Changes in Financial Position

Three months period ending March 31st, 2007 and 2006

(Constant Mexican pesos as of March 31, 2007)

(Unaudited)

2007 2006

Operating activities:
Net income $133,849,367 51,568,026
Add charges (deducted credit) to
operations not requiring
(providing) funds:
Depreciation and amortization 115,235,857 105,785,347
Increase in allowance for
inventory of components
of signal distribution systems - 975,124
Effects from associated companies (6,447,098) (14,724,063)
Goodwill cancellation - 8,021,377
Loss (profit) in selling equipment - 8,194,391
Accruals for pensions and
severance packages (160,454) 2,087,446
Deferred income taxes (10,762,533) 12,079,734
Deferred employee statutory profit
sharing 420,517 (265,732)
Financial instruments (80,919,291) (32,276,172)
Minority interest 208,562 135,828

Funds provided by operations 151,424,927 141,581,307

Net financing from (investing in)
operating accounts:
Trade and other accounts
receivable, net 58,411,615 (31,450,555)
Prepaid expenses (24,124,738) (4,467,765)
Accounts payable (66,689,226) 126,078,801
Accruals and accrued liabilities 5,942,801 (23,338,502)
Taxes payable 12,341,205 (3,988,513)
Subscriber deposits and advances 13,942,954 154,066
Employee statutory profit sharing 1,549,117 847,401
Related parties 54,642,494 5,222,434

Funds provided by operating
activities 207,441,149 210,638,674

Financing activities:
Proceeds from (payments of) bank
loans, net (22,220,175) -
Proceeds from corporate bond 22,956,397 79,053,543
Income tax 376,307 (143,796)
Dividends Paid (37,384,461) -
Proceeds from financial leases (142,235) -

Funds provided by financing
activities (36,414,167) 78,909,747

Investing activities:
Acquisition of distribution systems
and equipment (3,823,021) (128,047,354)
Inventory of components of signal
distribution systems (210,356,164) (186,502,769)
Other assets, net (6,654,892) (3,942,127)
Investment in associated companies - (1,470,032)
Insurance 44,557,404 -

Funds used in investing
activities (176,276,673) (319,962,282)

Decrease (increase) in cash and
cash equivalents (5,249,691) (30,413,862)

Cash and cash equivalents:
At beginning of year 54,780,941 809,891,697

At end of year $49,531,250 779,477,835

First Call Analyst:
FCMN Contact:

Source: Cablemas

CONTACT: In Mexico, Sebastian Castro Brotto, Budget and IR Manager of
Cablemas, (5255) 24-54-58-84, sebastian.castro@admCablemas.com.mx; or In the
United States, Susan Borinelli, +1-646-452-2332,
sborinelli@breakstone-group.com, or Maura Gedid, +1-646-452-2335,
mgedid@breakstone-group.com, both of Breakstone Group

Web site:

http://www.cablemas.com/

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