Grupo Salinas Companies Generate Aggregate Revenue of More Than US$5 Billion in 2006

“Grupo Salinas, a group of dynamic, fast growing and technologically advanced companies deeply committed to the modernization of the countries where it operates, stated today that 2006 represented a year of strong growth and profitability for most of the companies that are part of the organization.

“We continued with a solid performance in 2006 due to our focus on achieving optimal profitability by adding value to society,” said Ricardo B. Salinas, Chairman and Founder of Grupo Salinas. “Our growth was outstanding, and promoted competition among the industries where we operate, generating tangible benefits in the well-being of the seven countries in which we have presence.”

“Our businesses compete with well-positioned companies in the media, telecommunications, retail and financial services industries, through efficient operations and world class services,” added Mr. Salinas. “This competition generates higher quality goods and allows us to offer affordable products and services to the largest possible number of consumers in the communities where we operate.”

The largest company within the group, in terms of income and EBITDA during 2006, was Grupo Elektra — Latin America’s leading specialty retailer and financial services company — which continued increasing the well-being of millions of families to whom it offered products and services at the best pricing conditions and quality, through an extensive distribution network with more than one thousand points of sale. Its commercial division sold one out of every four TV sets commercialized in Mexico, modified transportation standards in Latin America by selling an important portion of the motorcycles offered in extensive markets across the region, and managed approximately 10% of the U.S.-Mexico electronic money transfers, which account for nearly US$23 billion.

Banco Azteca, the financial division of Grupo Elektra, was particularly dynamic, celebrating its fourth operating anniversary with a double digit growth in financial revenue, deposits and loans, and more than 1,500 branches in Mexico and Panama.

Banco Azteca issued more than 12,000 loans and opened 7,000 deposit accounts daily, which amounted to six million loans and the same number in deposit accounts. The financial division continued to strongly support segments unattended by traditional banking institutions.

Along with the credits related with merchandise sales, Grupo Elektra expanded its Empresario Azteca Micro-financing Program, which allowed 80,000 small entrepreneurs to create a business, employ themselves and generate employment for others, contributing to the generation of wealth for families with scarce resources.

Grupo Elektra’s perspectives are encouraging in Mexico, El Salvador, Guatemala, Honduras, Panama and Peru, countries where it already has presence, as well as in Argentina, where it expects to start operations in 2007. The company also plans to expand to other countries in Latin America in years to come.

In the media sector, TV Azteca — one of the two largest producers of Spanish-language television programming in the world — continued generating superior programming. Its popular content translated into a 40% full day commercial audience share in Mexico, which was key in the preservation of a growing trend of domestic sales and EBITDA. Revenue in Mexico was complemented by sales from Azteca America — TV Azteca’s fully owned network focused on the U.S. Hispanic market — which grew steadily and was substantially higher compared with the performance of the Hispanic advertising market in the U.S.

Azteca America’s potential is remarkable, with a national network status in the U.S. under Nielsen standards, and reaching markets that represent 90% of the Hispanic population in the U.S. Its content attracts superior demographic audiences and offers unique integrated advertising possibilities to its clients in one of the most dynamic TV markets in the world.

From a financial point of view, TV Azteca continued distributing cash to its shareholders, and in 2006 it made disbursements of US$90 million. By adding this amount to previous distributions made since June 2003, total disbursements under the cash usage plan of the company amount to US$495 million, equivalent to a accumulated return of 22% based on market prices at year’s end.

Wireless telephony company Iusacell was transformed into a success story under Grupo Salinas’ administration, offering modern 3G applications to people and companies on its CDMA-EVDO platform. It achieved outstanding performance in revenue and profitability, as well as a remarkable strengthening of its capital structure. Iusacell has 2.1 million subscribers and one of the highest ARPU levels in the wireless telephony market in Mexico.

During the first half of 2007, Iusacell expects to consolidate operations with Unefon, the cellular telephony company focused on the Mexican mass market, with 1.3 million users, also owned by Grupo Salinas. Iusacell and Unefon are the only wireless telephony service providers with CDMA technology in Mexico and have developed optimal attributes for the market segments in which they participate. The perspective of joining efforts in both companies offers the possibility of creating the second-largest wireless telephony provider in Mexico, developing a great variety of multimedia applications in a large scale.

“We know that we’ll have to face great challenges during 2007, and we expect to continue focused on solid growth with superior profitability throughout the year,” added Mr. Salinas. “With innovative programs, the enthusiasm and effort of my more than 50,000 coworkers, we will have a year of enhanced development for our organization, partners, clients and the communities where we operate”.”

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