Corporación Interamericana de Entretenimiento, S.A. de C.V.Fourth Quarter 2004

 

As a precautionary note to investors, except for the historic informationhere provided, statements included in this document constituteforward-looking statements. Such statements assume risks and uncertainties,including the economic conditions in Mexico and other countries where CIEoperates, as well as the fluctuation of the Mexican peso compared to theU.S. dollar.

The use of registered trademarks or commercial trademarks within thisdocument are exclusively for illustrative purposes and are not meant toviolate the rights of the creators and/or intellectual property lawsapplicable in the countries in which CIE, its subsidiaries, and thosecompanies with which CIE maintains commercial or business relationships,operate.

2

3

Financial Results 4Q2004

Operative Results 4Q2004 and Outlook for 2005

Content

Events Concerts Musicals Other theatrical productions Others** Total

Ticketmaster Tickets (thousands) Mexico South America Total

Attendance (thousands of people) Events Amusement Parks Las Américas Horse Racetrack

Sports Books & Yaks Per capita Consumption (Ps.) Attendees (in thousands) Units in operation Pedestrian Overpasses Structures in operation Advertisements

Cineminutos Movie Theaters Minutes (thousands)

Operative Highlights

2004 2003 % Chg

** Familiy, Special, Cultural, and Sporting Events 4

1,0421,9751,385

7035,105

13.87.0

20.7

7.17.60.6

5886.931

192714

1,393150

9421,8582,164

2235,187

13.26.3

19.5

7.910.0

0.6

5444.823

132475

1,342152

10.6%6.3%

(36.0%)217.9%(1.6%)

4.5%11.1%

6.2%

(10.1%)(24.0%)

N.A.

8.1%43.8%34.8%

45.5%50.3%

3.8%(1.3%)

5

2004 2003 2001 20002002 CAGR*

Financial Statistics

Note: Figures are expressed in millions of Mexican pesos as of Dec 2004, unless otherwise specified. Figures may vary due to rounding.*Componded Annual Groth Rate

7,787

1,71022.0%

4733.52x

4,79210,22415,016

5,1457,759

7,2577,598

0.71x

7,034

1,60922.9%

3994.03x

4,3459,863

14,208

4,9797,098

7,1098,819

0.70x

6,552

1,52623.3%

3444.44x

4,62310,09214,715

4,5806,515

8,2008,200

0.56x

5,815

1,36523.5%

3174.30x

4,9258,725

13,650

3,8816,196

7,4548,218

0.52x

4,826

1,19624.8%

2794.28x

4,7827,085

11,867

3,4184,975

6,8926,892

0.50x

12.7%

9.4%

14.8%

0.2%9.6%6.1%

10.8%11.7%

1.4%2.3%

% Chg

10.7%

6.3%

18.6%

10.3%3.7%5.7%

3.3%9.3%

2.1%(13.8%)

Revenue

EBITDAEBITDA Margin

Interests paid, netEBITDA / Interests paid, net

Current AssetsL.T. Assets & Other AssetsTotal Assets

DebtTotal Liabilities

Stockholders´EquityStockholders´Equity, proforma

Debt / Stockholders´Equity

6

Revenue by Division

Quarterly Revenue

Entertainment Commercial Services Total

4Q04 4Q03

% Chg Quarterly Revenues

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

Entertainment Commercial Services

4Q03 4Q04

% %

2004 2003

1,674275208

2,157

78%13%10%

100%

1,580242190

2,013

79%12%

9%

100%

5,9841,011

792

7,787

77%13%10%

100%

5,390921722

7,034

77%13%10%

100%

% Chg. Annual Revenues

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

Entertainment Commercial Services

2003 2004

+6%

+13% +9%

+11%

+10%+10%

Quarterly Revenue: +7%

Annual Revenue: +11%

Annual Revenue

Entertainment Commercial Services Total

Note: Figures are expressed in millions of Mexican pesos as of Dec 2004, unless otherwise specified. * Figures may vary due to rounding.

% %

7

EBITDA

Quarterly EBITDA

Annual EBITDA

2004 2003

% Chg. Quarterly EBITDA: N.A.

400

410

420

430

440

450

460

4Q03 4Q04

Mill

on

s o

f M

exic

an p

eso

s

% Chg

453

1,710

452

1,609

N.A.

6%

% Chg. Annual EBITDA: +6%

400

600

800

1,000

1,200

1,400

1,600

1,800

2003 2004

Mill

on

s o

f M

exic

an p

eso

s

Note: Figures are expressed in millions of Mexican pesos as of Dec 2004 unless otherwise specified. * Figures may vary due to rounding.

As of Dec 2004, the Group’s debt was Ps.5,145 millon, 25% of which is short-term and the remaining debt is long-term.

Cost-Bearing Debt

Mex Pesos79%

Other Currencies

7%

UDIs14%

Pro forma Debt Amortization Calendar

Bank Loans Notes UDI 2007 High Yield New UDI Bond

0

500

1,000

1,500

2,000

2,500

3,000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

HY UDI Bond

NewUDI Bond(10 year)

High Yield(7 year) High Yield

(10 year)

Mill

one

of M

exic

an p

esos

8

Other Extraordinary items

Other net extraordinary items were Ps. 341 million in 2004

These items were the result of:

Expenditures related to the closure of theater operations in the Spanish market that did not require the use of cash Reserves in the Group’s Accounts Receivables (approximately 3% of AR)

Charges related to the reorganization of rotating advertising sales in Mexican soccer stadiums from 2Q05 through 4Q05.

9

10

Financial Results 4Q2004

Operative Results 4Q2004 and Outlook 2005 2005

Content

CIE Entertainment

11

51% partnership with As Deporte:

NASCAR,“Telcel Motorola México 200 sponsored by Banamex”, March 5-6th 2005

“Joseph and the Technicolor Dreamcoat” and “Fidler on the Roof” performances continue; “Little Orphan Annie” opened in 4Q04

A leading organizer and promotor of 29 public and private annual sporting events in Mexico - Off-track Racing - Triathlons - Swimming - Mountain Biking - Extreme Sports Incorporation of key sports sponsors:

- Banamex - Televisa - Grupo Imagen - Mexicana - Deportes Martí - Telmex - TV Azteca - Sport City - Fonatur - Grupo Andersons - Others

“Cirque du Soleil” will be on tour from 3Q-4Q05 in Mexico City, Guadalajara and Monterrey

The Monterrey Fair will be added to the Group’s popular fair portfolio

12

Upcoming Events Schedule Belinda Miguel Bosé Juanes Finding Nemo (Disney on Ice) Arjona Vicente and Alejandro Fernández Marco Antonio Solís Ricardo Montaner Franco de Vita Duran Duran James Brown Simple Plan Buena Vista Social Club Santana Pink Floyd Laser Light Show Lenny Kravitz Eminem Ramstein Phil Collins Neil Diamond Coldplay Bob the Builder España Baila Flamenco Waterwall Robert Gallup Joseph and the Technicolor Dreamcoat Fidler on the Roof Defending the Caveman Little Orphan Annie Texcoco Fair, Mexico City & Monterrey Theme Fairs

Brilho Stillos Araketu Angra Forte Real Joao Bosco All Stars 80 Pedro Mariano Vanessa da Mata Nando Reis Engenheiros do Hawaii Fernanda Porto Maria Bethania Symantec Saxon Catedral Elba Ramalho Roupa Nova Grave Digger Ivan Lins Black Moore’s Palabra Cantada Emmerson Nogueira Toy Lima Maria Rita Chiclete com Banana Edson & Hudson Placebo Skank Ana Carolina Xuxa Roberto Carlos Zeca Pagodinho Bruno e Marrone Fabio Junior Charlie Brown Jr. Felipe Dylon Anthrax Guanabara Miss Saigon

Aladin Camel Genuine Sound Southfest Creamfields

CIE Amusement Parks

Wannado Entertainment:

Increasing attendance at Wannado Miami: from 19,000 in August to 42,000 in December

Changes in Management: René Aziz as head of WE Fine-tunning of costs and expenditures in order to sustain

profitability Awareness: Strategic restructuring of prices, sponsorships,

marketing, PR and operations

Valle Fantástico:

Dec ‘04: inauguration of the park in Puebla with a local partner and attractions of the Divertido Pack

13

18,935

24,916

41,217

36,740

41,622

15,000

20,000

25,000

30,000

35,000

40,000

45,000

August September October November December

Att

enda

nce

CIE Las Américas

Books/ Yaks:

Calle de Entretenimiento:

Opening of units in Hermosillo and Ciudad Neza for a total of 31 units in 2004 vs. 23 in 2003; 40 units are scheduled to be operating in 2005 and 45 units in 2006 Upcoming inaugurations in 2005: Morelia (already opened), Cuautitlán Izcalli, Puebla,

Tampico, Monterrey and Reynosa, among others

Reduction of the track at the Horse Racetrack This will not affect the racing schedule Estimated time to complete the track reduction: 4 months

14

CIE International

Spain:

Brazil:

“The Phantom of the Opera” (Apr.05), and the return of “Mademoiselle Chanel” (Feb.05) as well as “La Flor de mi Buen Querer” (Jul.05)

15

CIE and Stage Holding realigned their geographic objectives and concluded their partnership in the Spanish theatrical market: - Upcoming expiration of venue rights for theaters in Madrid and theatrical rights

- Growing level of competition in theatrical promotion, including a price and sponsorship war

- Increasing costs to acquire international content rights

- CIE: Free Cash Flow Generation

CIE Commercial

16

Advertisements on pedestrian overpasses:

Digital advertising, inside and outside of airports:

Begin expanding towards Puebla Renovation of existing, long-term municipal concessions (10

years)

The installation of digital panels in airports operated by Grupo Aeroportuario Centro Norte, based on the following plan: - Acapulco, Ixtapa and Monterrey (3Q04) - Chihuahua, Ciudad Juárez and Torreón (4Q04) - Culiacán, Mazatlán and Tampico (1Q05) - Zacatecas, Durango, S.L.P. and Reynosa (2Q05)

Proposals to other airport operators for this type of product