The following information contains or may be deemed to contain, forwardlooking statements (as defined by the U.S. Private Securities Litigation

Transcription

1 March

2 The following information contains or may be deemed to contain, forwardlooking statements (as defined by the U.S. Private Securities Litigation Reform Act of 1995). By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The future results of the issuer may vary from the results expressed in, or implied by, the following forward-looking statements, possibly to a material degree. The Company undertakes no obligation to update or revise any forward-looking statements. 2 2

3 Azteca in Grupo Salinas Consumer Finance and Retail Media Telecommunications Social Responsibility 3 Combined income close to 1% of Mexico s GDP Close to 90,000 employees Presence across the Americas: Mexico, US, Guatemala, Honduras, El Salvador, Panama, Brazil, Peru and Colombia 3

4 Mexican Broadcast Market Ps. Million Broadcast is dominant Broadcast market Broadcast TV 53% Internet 10% Print 9% Radio 9% $30,668 $30,631 $33,253 $34,227 $35,429 $36,614 $37,868 Pay TV 8% Other 10% Ps.72* billion or 0.5% of Mexican GDP 4 *2013; estimated by Asociación de Agencias de Medios 4

5 Azteca For the entire family Novelas, entertainment, sports, newscasts Two thirds is internally produced For upscale young adults Newscasts, sports, series, blockbuster movies One quarter of programming is internally produced Pluralistic analysis with most recognized voices Documentaries, culture, interviews, newscasts Recently extended digital coverage 5 5

6 Nationwide Coverage 346 stations throughout Mexico: TKT TIJ ENS MXL SLR NGS CNA NCG JUA 101 stations transmit local advertising 35 stations produce local content CTN LPZ HSO CSL SJC OBR CUH LMS CHI CGO CJZ HPL CÑA PNG SNR NLD MVA RSA MTS TOR MTY SFD CUL STL MTM LIN GNA DGO VIC STE MLA FNO TCO MZT CMT ZAC CVL SLP TZE TPC AGS TAL VTQ GDL SJL LAM GTO LEO VTA OTN CYA ADS LPD QRO ATQ ZAM HGO PCH COL ZIT PCH VER MOR MEX TGO URU TOL TLX PUE APZ PTZ VB ATX TCA OZB SAT CVA TEH CTZ TXC IZM LCS HJN ZIH IGL CGO OAX TPN CYC MRO ACA SCZ PTN PTE VSA SCC TGZ MDA CHE CMN CHL TZM VLD CZL CUN 6 TCH 6

7 Azteca America 7 7

8 Azteca.com One of most popular sites in Mexico Exclusive internet content Over 13 million unique users per month 8 8

9 AZ TV de Paga In addition to Mexico and the US, Azteca is present in Guatemala and Honduras through broadcast signals; and South America, Spain and Canada through pay TV systems, reaching the homes of more than 160 million people 9 9

10 Financial Overview Ps. Million Net Sales Sales Breakdown National: 79% $9,967 $11,553 $12,199 $12,570 $12,058 $12,871 Local: 8% Azteca America: 7% Barter: 4% Export: 1% Colombia: 1%

11 Hours Produced Entertainment 34% News 45% Novelas 8% Sports 13% Over 20,000 hours in

12 Popular Content Realistic telenovelas Entertainment shows endorsing key values Young sports commentators Objective newscasts Pluralistic social and political analysis Thrilling purchased programming 12 12

13 Mexican Soccer Broadcasting Rights Broadcast rights for the home games of six teams in the First Division, and the national Mexican team 13 13

14 Talent Development School Constant new talent developed to feed Azteca s novelas, series and entertainment production needs Students learn for two years, 40 hours a week Over 90% of graduates have participated in more than 300 Azteca productions 14 14

15 Costs and Expenses Breakdown Costs Breakdown SG&A Expenses Breakdown Ps. Million 2014 Content Purchases 30% Broadcasting Costs 1% Personnel 27% Travel expenses 2% Advisory fees 38% Services 3% Production Costs 69% Operating expenses 30% 15 Ps. 7,459 million Ps. 1,641 million 15

16 EBITDA Ps. Million $3,893 $4,122 $4,723 $4,677 $4,483 $4,134 $3,

17 Debt with Cost As of December 31, Total debt with cost(includes debt due 2069) 11,394 14,040 Debt with cost(excludes debt due 2069) 10,195 12,687 Cash and cash equivalents (4,527) (5,511) Net debt(includes debt due 2069) 6,867 8,529 Net debt(excludes debt due 2069) 5,668 7,176 Ps. Million $4,373 US$300 $7,208 US$500 $1,106 US$75 $1,353 US$

18 Azteca Comunicaciones Colombia In 2011, Aztecawon a tender to build and operate fiber optic network to cover 80% of the Colombian territory Construction of network and commercialization of telecommunications services in 788 municipalities The Colombian government provides approximately US$253 million, which is expected to be enough to construct network 18 Fiber-optic deployed: 19,500 km, equivalent to 95% of the total People beneficiated: 3,150,000 Number of municipalities covered: 769 Value of sales contracts registered in 2014: US$180 million 18

19 Azteca Comunicaciones Colombia Conexiones Digitales: 144,000 points of access contracted 71,120 installed conections (49% progress) Presence in 467 of 617 minucipalities Goverment subsidy of US$30 million Kiskos Vive Digital: Progress of 99% in the 1,753 kiosks project, 1,745 installed Presence in 11 estates 19 Subsidy of US$91 million for four years 19

20 Azteca Comunicaciones Peru Fiber-optic to deploy: 13,400 km People beneficiated: 3,500,000 Estimated time of construction: 18 months Activities during the fourth quarter: Construction started on December 2014 First delivery: March 17, 2015 Suppliers were selected Environmental permits and municipalityand electric companies licenses obtained Issue bond for US$275 million at present value, non-recourse to Azteca

21 Outlook Smash programming production Solid cash balance to capture potential market opportunities Azteca Colombia to be fully operational this year, with growing top line Peru poised to further diversify revenue and profitability 21 21

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