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Corporación Interamericana de Entretenimiento, S.A. de C.V. 3Q2005.

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Presentation on theme: "Corporación Interamericana de Entretenimiento, S.A. de C.V. 3Q2005."— Presentation transcript:

1 Corporación Interamericana de Entretenimiento, S.A. de C.V. 3Q2005

2 As a precautionary note to investors, except for the historic information here provided, statements included in this document constitute forward-looking statements. Such statements assume risks and uncertainties, including the economic conditions in Mexico and other countries where CIE operates, as well as the fluctuation of the Mexican peso compared to the U.S. dollar. The use of registered trademarks or commercial trademarks within this document are exclusively for illustrative purposes and are not meant to violate the rights of the creators and/or intellectual property laws applicable in the countries in which CIE, its subsidiaries, and those companies with which CIE maintains commercial or business relationships, operate.

3 3Q053Q04 1,999 439 22.0% 119 3.7x 624 4,982 10,680 15,662 5,216 7,964 7,698 0.7x % Chg Nota: All of the figures in this section are expressed in millions of Mexican pesos as of September 2005 except for the financial ratios and percent changes. Figures financial ratios and the percent changes may vary due to rounding. * Pro forma debt restructuring 9M049M05 5,727 1,279 22.3% 339 3.8x Key Financial Indicators 2,204 486 22.1% 166 2.9x 2,799 7,548 10,528 18,076 7,496 10,530 7,546 1.0x +10% +11% +9 pb +40% (0.8x) +349% +52% (1%) +15% +44% +32% (2%) +0.3x 6,273 1,378 22.0% 495 2.8x +10% +8% (36 pb) +46% (1.0x) 3Q05% Chg Pro forma* 641 5,390 9,887 15,918 5,584 8,618 7,300 0.7x +3% +8% (7%) +2% +7% +8% (5%) N.A. Revenue EBITDA EBITDA Margin Interests paid, net EBITDA / Interests paid, net Cash Current Assets L.T. Assets & Other Assets Total Assets Debt Total Liabilities Stockholders´Equity Debt / Stockholders´ Equity % Chg

4 Gran Premio de Mexico 2005, Nov 4-6th CIE Entertainment Cirque du Soleil “Saltimbanco” Aug 4 – Sep 11: 51 presentations in Monterrey 98,000 attendees Sep 22 – Nov 13: 69 presentations in Mexico 176,000 attendees (estimate) Nov 24 – Dec 25: 42 presentations in Guadalajara: 107 attendees (estimate)

5 Rio Summer Nights Marjorie Estanio Bruno & Marrone The Wailers Omega Lulu Santos Take 6 Toquinho Unimed Rio Tony Bennett Cremerj Roupa Nova Souza Marques Robert Eliff Deep Purple Danni Carlos Stillus Alexandre Pires Jorge Vercilo Tribuzy Execution Zizi Possi Buddy Guy Guanabara Festa JB FM Beto Guedes Maria Rita Leilao 3B Cordel do Fogo Encantado Ultraje a Rigor Lo Borges Pato Fu Zizi Possi Megadeth Ivete Sangalo Zeze di Camargo Luciano Jorge Ben Or Robin Gibb Upcoming Events Schedule Pepsi Music Mancha de Rolando Kapanga Soledad Pearl Jam Juanes Dream Theater Carajo Vela Puerca Almafuerte Otro yo Cabezones Masacre Cuerpos Pintados Creamfields SAMC Rolling Stones Def Leppard Eagles Deep Purple Pearl Jam Queensryche Scorpions Eagles Good Charlotte Live n Louder Bunbury Rammstein Franco de Vita Moderatto Jarabe de Palo Rebelde Kumbia Kings Benny Ibarra Ricky Martin Besame Mucho Los Monólogos de la Vagina Violinista en el Tejado Defendiendo al Cavernícola Cats Buscando a Nemo Cirque du Soleil Champ Car

6 CIE Entertainment 3Q053Q04% Chg9M049M05% Chg # of presentations: Concerts Theater Other Total Attendance: Total (millions) Ticketmaster: Tickets (millions) 112 434 188 734 0.9 3.5 115 450 282 847 1.2 4.2 +3% +4% +50% +15% +28% +20% 379 1,450 524 2,353 2.9 10.2 352 1,328 593 2,273 3.3 11.7 (7%) (8%) +13% (3%) +13% +15% * Note: EBITDA - Capex EBITDA Revenue 3Q05 EBITDA 3Q05 REVENUE 9.5%7.2%9.9%7.7% OPERATING CASH FLOW Ps.6Ps.9Ps.35Ps.34 +1% +35% +2% (22%) (27%) (5%) EBITDA MargIn Capex

7 Brazil: Increased the participation of our partner F. Alterio from 9% to 12% Increase in the number of local events and regional tours in the country Continue presenting medium-scale theatrical productions; staging of Phantom of the Opera Argentina: Signed a letter of intent to acquire the promotor Roberto Costa Extend the Radio licensing concessions for 10 more years Gradually increase revenue from live events and the Buenos Aires Zoo due to improvements in the Argentine economy CIE International Cirque du Soleil: Multi-region / Multi-Annual Contract -Argentina, Brazil and Chile

8 * Note: EBITDA - Capex Revenue 3Q05 EBITDA 3T05 3Q053Q04% Chg9M049M05% Chg Argentina # of presentations Attendance (thousands) Tickets TM (thousands) Visitors Zoo Brazil # of presentations Attendance (thousands) Tickets TM (thousands) Spain # of presentations Attendance (thousands) 91 164 788 355 237 302 565 141 66 45 111 785 336 232 423 596 N.A. 213 509 1,966 824 510 828 2,430 701 539 114 247 1,814 804 490 884 1,795 N.A. (51%) (32%) N.A. (5%) (2%) +40% +5% N.A. (46%) (51%) (8%) (2%) (4%) +7% (26%) N.A. CIE International 19.4%19.1%18.1%19.0% OPERATIVE CASH FLOW* Ps.4Ps.5Ps.27Ps.15 (16%) (12%) (13%) (11%) (6%) (15%) EBITDA Margin Capex EBITDAREVENUE * Note: CIE discontinued its spanish theatric operations in 4Q04

9 CIE Amusement Parks Wannado Miami: evolution of attendance and per capita (Aug ‘04 – Oct ‘05E) Sep ‘05 – Oct ‘05E: uDue to weather uReduction in MKT expenses

10 Wannado Entertainment: New pavillion: Coca-Cola bottling plant New Sponsor: Motorola Increase in monthly attendance: from 18,000 in August 2004 to 40,000 in June 2005 Other issues related to Wannado: Analysis of potential espansion of Wannado to other cities in the US, namely New York Expand the strategy of offering sponsorship packages to Mexican clients (p.e. Mexicana de Aviacion) CIE Amusement Parks

11 3Q053Q049M049M05 Visitors (thousands): Mexico Colombia Wannado Total Per Capita (Ps.): Mexico Colombia Wannado Total 1,555 495 44 2,094 63.89 41.14 278.96 63.43 1,121 250 100 1,471 86.72 67.06 308.11 98.37 5,099 963 44 6,106 66.87 44.28 278.96 64.65 3,168 666 343 4,176 83.31 68.42 284.39 97.44 (28%) (49%) +127% (30%) +36% +63% +11% +55% (38%) (31%) +680% (32%) +24% +55% +2% +51% 13 -205 20 -23 3Q043Q059M049M05 1.6%14.5%10.8%9.3% Ps.25Ps.3Ps.246Ps.31 +23% +7% +898% +6% (188%) Capex (106%) CIE Amusement Parks EBITDAREVENUE OPERATING CASH FLOW EBITDA MargIn % Chg * Note: EBITDA - Capex Revenue 3Q05 EBITDA 3Q05

12 Cineminutos: The number of screens has grown 11%, to 1,542 screens compared to 1,384 in 2004 New promotional and informational formats through the use of new interactive strategies that are attractive and effective to clients Digital Advertising in Airports: Continue installing digital panels in airports operated by Grupo Aeroportuario Centro Norte as scheduled CIE Commercial

13 Sep ‘05Sep ‘ 04% Chg 187 687 1,384 196 726 1,542 +5% +6% +11% CIE Commercial 27.6%27.9%29.4%31.1% Ps.4Ps.18Ps.35Ps.32 +28% (4%) (3%) +35% +39% (11%) Capex EBITDAREVENUE OPERATING CASH FLOW EBITDA MargIn Revenue 3Q05 EBITDA 3Q05 * Note: EBITDA - Capex Pedestrian Overpasses: Structures Advertisements Advertisments in Movie Theaters: Screens

14 CIE Las Américas Sports Books & Yaks: Today there are 36 Sports Books & Yaks units in operations 5 Openings scheduled for Nov – Dec 2005: Monterrey (Plaza Cumbres) Reynosa Los Cabos Chetumal Ecatepec CIE will complete its network of 45 Sports Books & Yaks units in 2006: Acapulco 4 additional units in Mexico City: - Reforma 222 - Lindavista - Central de Abastos - Plaza Loreto

15 3Q053Q04% Chg9M049M05% Chg 39 400 14 563.62 1,839 28 72 40 410 19 582.18 1,903 35 73 +3% +36% +3% +25% +1% 126 1,127 40 587.69 5,107 28 72 104 1,109 40 580.33 5,585 35 351 (17%) (2%) N.A. (1%) +9% +25% +388% CIE Las Américas 34.3%34.7%35.9%31.7% Ps.129Ps.127Ps.309Ps.324 +15% +22% +23% +2% (4%) +123% Capex EBITDAREVENUE OPERATING CASH FLOW EBITDA MargIn Revenue 3Q05 EBITDA 3Q05 * Note: EBITDA - Capex Horse Racetrack: Racing Days Races Centro Banamex: Expositionss Books/ Yaks: Per capita (Ps.) Attendance (thous) Units in Operation Granja: Attendance (thous)

16 Debt Restructuring Offering and issuance of 5 year unsecured notes for Ps.1,400 millon on Oct.20, 2005; annual interest rate of the 28 day TIIE + 2.48% Repurchase of approximately 89% of Medium-term promissory notes on Oct.13, 2005 forPs.2,215 million which matures in 2007; discount 30 bp PROFILE AFTER RESTRUCTURING (DEBT AS OF SEP ‘05: Ps.5,584 mill.) PROFILE PRIOR TO RESTRUCTURING (DEBT AS OF SEP ‘05: Ps.5,337 mill.) Offering and issuance of a 10 year bond in international markets for U.S.$200 millon on Jun.14, 2005 ; annual interest rate of 8.875% 42 The average maturity term went from 3.2 to 7.6 years; the average weighted cost of debt fell 30 bp to10.4%

17 Debt Profile By the end of 3Q05 CIE’s pro forma debt was Ps.5,584 millon, with an average maturity date of 7.6 years Debt: Bank Securitized Total Interest Rate: Fixed Variable Cash Net Debt Interests Paid, LTM Stockholders´Equity EBITDA LTM Ratios: EBITDA-to-Interest Expense LTM Net Debt / Stockholders´Equity Net Debt / EBITDA LTM WACD WACC CURRENCY* 1,418 4,166 5,584 50.7% 49.3% 641 4,943 641 7,300 1,839 2.9x 0.6x 2.6x 10.4% 12.9% Pro forma post-restruct. * Based on debt pro forma as of Sep.05 ** Contracted interest-only swap of U.S.$100 million for the 10 year bond.


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