Cablemas 1Q09 Net Revenue and Adjusted EBITDA Up 16.7% and 0.8% YoY, Respectively

Cablemas 1Q09 Net Revenue and Adjusted EBITDA Up 16.7% and 0.8% YoY, Respectively

MEXICO CITY, May 29 /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, 2009.

Cablemas CEO Carlos M. Alvarez Figueroa commented, "Revenue growth remained resilient this quarter, despite the tougher economic environment worldwide. Our customer base continued to expand, with cable television subscribers up by 10.3%, high-speed internet subscribers by 8.9% and IP telephony lines up by 57.5% year-on-year."

"Adjusted EBITDA margin for the quarter was 33.6% continuing to reflect higher programming costs throughout the year. Quarter on quarter, Adjusted EBITDA rose 17.5%, from Ps.257.7 million in 4Q08 reflecting the ongoing successful implementation of the cost reduction program and the negotiation of better terms with suppliers initiated in 4Q08. This has allowed us to partially offset the effect of the depreciation of the Mexican Peso, which impacts around 30% of the Company's overall costs."

"During this quarter, our shareholder Alvafig made a capital contribution of Ps.557 million to Cablemas in exchange of convertible limited voting shares, increasing its interest in the capital stock of the Company from 54.5% to 58.3%. These funds will contribute to further support our strong balance sheet while we continue implementing cost controls throughout the Company, limiting capital expenditures and consolidating our current infrastructure in light of the more challenging global economic environment," closed Mr. Alvarez Figueroa.

To obtain the full text of this earnings release, please visit our Investor Relations website at www.cablemas.com/investor-relations under the Press Releases section.

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.

Financial and Operational Highlights
------------------------------------
(in million Mexican
Pesos) 1Q08 1Q09 % Chg.
------------------- ---- ---- ------
Financial Highlights
-------------------- ----- ----- ----
Net revenue 770.9 899.9 16.7%
Operating profit 147.8 104.4 -29.4%
Adjusted EBITDA 300.3 302.7 0.8%
Net income 33.2 (349.0) n/a
---------- ---- ------ ---
Operating margin 19.2% 11.6% -758 bps
Adjusted EBITDA
margin 39.0% 33.6% -532 bps
Net income margin 4.3% -38.8% -4308 bps
----------------- --- ----- ---------
Total Debt 2,420.1 3,242.2 34.0%
Net Debt 1,839.2 2,831.8 54.0%
Total Debt/ LTM
Adj. EBITDA 2.3x 2.9x
Net Debt/ LTM Adj.
EBITDA 1.8x 2.5x
EBITDA/ Net
interest expense 3.9x 3.8x
----------------- ---- ----
Operational Highlights
----------------------
Homes passed 2,285,974 2,619,654 14.6%
Cable Television
subscribers 793,236 874,696 10.3%
High-speed internet
subscribers 226,962 247,237 8.9%
IP Telephony lines 53,781 84,680 57.5%
------------------ ------ ------ ----

Source: Cablemas, S.A. de C.V.

CONTACT: In Mexico, Allan Ituarte Hesles, Planning & IR Manager for
Cablemas, (5255)-41-21-83-35, aituarte@cablemas.com.mx or in the United
States, Susan Borinelli of Breakstone Group, +1-646-330-5907,
sborinelli@breakstone-group.com

Web Site: http://www.cablemas.com/investor-relations

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