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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0000891092-04-001100.txt : 20040302
<SEC-HEADER>0000891092-04-001100.hdr.sgml : 20040302
<ACCEPTANCE-DATETIME>20040302161559
ACCESSION NUMBER:		0000891092-04-001100
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20040301
FILED AS OF DATE:		20040302

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			GROUP SIMEC SA DE CV
		CENTRAL INDEX KEY:			0000887153
		STANDARD INDUSTRIAL CLASSIFICATION:	STEEL WORKS, BLAST FURNACES  ROLLING MILLS (COKE OVENS) [3312]
		IRS NUMBER:				000000000
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-11176
		FILM NUMBER:		04643034

	BUSINESS ADDRESS:	
		STREET 1:		CALZADA LAZARO CARDENAS 601
		CITY:			44910 GUADALAJARA JA
		STATE:			O5
		ZIP:			10022

	MAIL ADDRESS:	
		STREET 1:		CALZADA LAZARO CARDENAS
		CITY:			GUADALAJARA JALISCO
		STATE:			O5
		ZIP:			999999999
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>e17101_6k.htm
<DESCRIPTION>FORM 6-K
<TEXT>
<html>
<head>
<title></title>
</head>
<body>







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<p><table width=600><tr><td  align=center><font size=2><B>UNITED STATES  <BR>SECURITIES AND
EXCHANGE COMMISSION  <BR>Washington, D.C. 20549 </B></font></td></tr></table>

<p><table width=600><tr><td  align=center><font size=2><B>FORM 6-K </B></font></td></tr></table>

<p><table width=600><tr><td  align=center><font size=2><B>REPORT OF FOREIGN PRIVATE
ISSUER PURSUANT TO RULE 13a-16 OR 15d-16  <BR>UNDER THE SECURITIES EXCHANGE ACT OF 1934 </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>For the month of  March  , 2004. </font></td></tr></table>

<p><table width=600><tr>
    <td  align=center><font size=2>Group Simec, Inc. </font>
      <hr size="1" noshade>
      <font size=2> (Translation of Registrant&#146;s Name Into English) </font></td>
   </tr></table>

<p><table width=600><tr>
    <td  align=center><font size=2>Mexico </font>
      <hr size="1" noshade>
      <font size=2> (Jurisdiction of incorporation or organization) </font></td>
   </tr></table>


<p><table width=600><tr>
    <td  align=center><font size=2>Av. Lazaro Cardenas 601, Colonia la Nogalera,
      Guadalajara, Jalisco, Mexico 44440 </font>
      <hr size="1" noshade>
      <font size=2> (Address of principal executive office) </font></td>
   </tr></table>

<p><table width=600><tr>
    <td><font size=2>(Indicate by check mark whether the registrant files or will
      file annual reports under cover of Form 20-F or <br>
      Form 40-F.) </font></td>
   </tr></table>

<p><table width=600><tr><td><font size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Form 20-F [X]  &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Form
40-F [&nbsp;&nbsp;&nbsp;] </font></td></tr></table>

<p><table width=600><tr><td><font size=2>(Indicate by check mark whether the registrant
by furnishing the information  contained in this form is also thereby furnishing the
information to the  Commission pursuant to Rule 12g3-2(b) under the Securities Exchange
Act of  1934.) </font></td></tr></table>

<p><table width=600><tr>
    <td><font size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes [&nbsp;&nbsp;&nbsp;] &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      No [X] </font></td>
   </tr></table>

<p><table width=600><tr>
    <td><font size=2>(If &#147;Yes&#148; is marked, indicate below the file number
      assigned to the registrant in connection with <br>
      Rule 12g3-2(b): 82-_______________________.) </font></td>
   </tr></table>



<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT><p>&nbsp;





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<p><table width=600><tr><td  align=center><font size=2>SIGNATURE </font></td></tr></table>

<p><table width=600><tr><td><font size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the
requirements of the Securities Exchange Act of  1934, the Company has duly caused this
report to be signed on its behalf by the  undersigned, thereunto duly authorized. </font></td></tr></table>

<p>
<table width=600>
  <tr align="left" valign="top">
    <td width="276">&nbsp;</td>
    <td width="31">&nbsp;</td>
    <td align="center" valign="bottom" width="277"><font size=2>GRUPO SIMEC, S.A.
      de C.V. </font>
      <hr size="1" noshade width="175">
      <font size=2> (Registrant) </font></td>
   </tr>
  <tr align="left" valign="top">
    <td width="276">&nbsp;</td>
    <td width="31">&nbsp;</td>
    <td width="277">&nbsp;</td>
   </tr>
  <tr align="left" valign="top">
    <td width="276"><font size=2>Date: March 1, 2004. </font></td>
    <td width="31"><font size=2>By:  </font></td>
    <td width="277">/s/ <font size=2>Luis Garc&#237;a Lim&#243;n</font><br>
      <hr size="1" noshade width="80%" align="left">
     </td>
   </tr>
  <tr align="left" valign="top">
    <td width="276">&nbsp;</td>
    <td width="31">&nbsp;&nbsp;</td>
    <td width="277"><font size=2>Name: &nbsp;&nbsp;Luis Garc&#237;a Lim&#243;n
      <br>
      Title: &nbsp;&nbsp;&nbsp;&nbsp;Chief Executive Officer </font></td>
   </tr>
</table>





<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 3; page: 3" -->
<p>&nbsp;
<table width="600" border="0" cellpadding="0" cellspacing="0">
  <tr>
    <td><img src="gruposimec.gif" width="100" height="45"></td>
   </tr>
</table>
<br>
<table width=600>
  <tr align="left" valign="top">
    <td width="361"><font size=2><b>PRESS RELEASE </b></font></td>
    <td width="227"><font size=2>Contact: Adolfo Luna Luna <br>
      Jos&#233; Flores Flores <br>
      Grupo Simec, S.A. de C.V. <br>
      Calzada Lazaro Cardenas 601 <br>
      44440 Guadalajara, Jalisco, Mexico <br>
      52 33 1057 5740 </font></td>
   </tr>
</table>


<p><table width=600><tr><td  align=center><font size=2><B>GRUPO SIMEC ANNOUNCES
PRELIMINARY (UNAUDITED) RESULTS OF OPERATIONS <BR>FOR THE YEAR ENDED DECEMBER 31, 2003 </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>GUADALAJARA, MEXICO, February 27, 2004- Grupo
Simec, S.A. de C.V. (AMEX-SIM)  (&#147;Simec&#148;) announced today its preliminary
(unaudited) results of operations for  the year ended December 31, 2003. Net sales
increased 27% to Ps. 2,787 million  in 2003 compared to Ps. 2,197 million in 2002
primarily due to higher finished  product prices and also resulting from modestly higher
production levels.  Primarily as a result of the foregoing and significantly lower
financial expense  in 2003, Simec recorded net income of Ps. 433 million in 2003 versus
net income  of Ps. 123 million for 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec sold 628,243 metric tons of basic steel
products during 2003 as compared  to 609,202 metric tons in 2002. Exports of basic steel
products were 80,744  metric tons in 2003 versus 80,179 metric tons in 2002. Additionally
Simec sold  63,616 tons of billet in 2003 as compared to 23,137 tons of billet in 2002.
Prices of finished products sold in 2003 increased 18% in real terms versus  2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s direct cost of sales was Ps. 1,828
million in 2003, or 66% of net sales,  versus Ps. 1,470 million, or 67% of net sales, for
2002. Indirect manufacturing,  selling, general and administrative expenses (including
depreciation) was Ps.  462 million during 2003, compared to Ps. 461 million in 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s operating income increased 87% to Ps.
497 million during 2003 from Ps.  266 million in 2002. Operating income was 18% of net
sales in 2003 compared to  12% of net sales in 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec recorded other expense, net, from other
financial operations of Ps. 18  million in 2003 compared to other expense, net, of Ps. 37
million in 2002. In  addition, Simec recorded a provision for income tax and employee
profit sharing  of Ps. 21 million in 2003 versus a positive provision of Ps. 23 million
in 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec recorded financial expense of Ps. 25
million in 2003 compared to financial  expense of Ps. 129 million in 2002 as a result of
(i) net interest expense of  Ps. 13 million in 2003 compared to net interest expense of
Ps. 56 million in  2002,  </font></td></tr></table>




<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT><p>&nbsp;







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<p><table width=600><tr><td><font size=2>reflecting lower debt levels in 2003, (ii) an
exchange loss of Ps. 2  million in 2003 compared to an exchange loss of Ps. 104 million
in 2002,  reflecting lower debt levels in 2003 and a decrease of 9% in the value of the
peso versus the dollar in 2003 compared to a decrease of 12.8% in the value of  the peso
versus the dollar in 2002 and (iii) a loss from monetary position of  Ps. 10 million in
2003 compared to a gain from monetary position of Ps. 31  million in 2002, reflecting the
domestic inflation rate of 4% in 2003 compared  to the domestic inflation rate of 5.7% in
2002 and lower debt levels during  2003. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>At December 31, 2003, Simec&#146;s total consolidated
debt consisted of approximately  $2 million of U.S. dollar-denominated debt, while at
December 31, 2002, Simec  had outstanding approximately $47.8 million of U.S.
dollar-denominated debt.  Simec&#146;s lower debt level at December 31, 2003 reflects the
prepayment of $31.4  million of bank debt in 2003, the conversion to common stock in
March 2003 of  $16.1 million of loans (plus accrued interest thereon) from Simec&#146;s parent
company Industrias CH, S.A. de C.V. (&#147;ICH&#148;) at a conversion price equivalent to
U.S. $1.35 (Ps. 14.588) per American Depositary Share and the conversion to  common stock
in November 2003 of a capital contribution from ICH made to Simec  in May 2003, in the
amount of $14.5 million (the proceeds of which were used to  retire debt owed to ICH) at
a conversion price equivalent to U.S $1.41 (Ps.  14.588) per American Depositary Share.
Simec currently owes no amounts to ICH. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>All figures were prepared in accordance with
Mexican generally accepted  accounting principles and are stated in constant Pesos at
December 31, 2003. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec is a mini-mill steel producer in Mexico
and manufactures a broad range of  non-flat structural steel products. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>### </font></td></tr></table>

<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr align="right">
    <td nowrap colspan=2 valign=bottom align="left"><font size="1">STOCK EXCHANGE
      CODE: <b>SIMEC  </b></font></td>
    <td nowrap valign=bottom colspan="3">&nbsp;</td>
    <td nowrap valign=bottom width="279"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr align="right">
    <td nowrap colspan=2 valign=bottom align="left" height="15"><font size="1"><b>GRUPO
      SIMEC, S.A. DE C.V. </b></font></td>
    <td nowrap valign=bottom colspan="3" height="15"><font size="1">&nbsp;</font></td>
    <td nowrap valign=bottom height="15" width="279"><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom><font size="1"><b>CONSOLIDATED FINANCIAL
      STATEMENT </b></font></td>
   </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom><font size="1">AT DECEMBER 31 OF 2003
      AND 2002 </font></td>
   </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="left">
    <td valign=top align="right" colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="left">
    <td valign=bottom align="center" colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=316 align="center"><b><font size="1">&nbsp;</font></b></td>
    <td colspan=4 valign=bottom align="center"><b><font size="1">QUARTER OF PRESENT
       </font></b></td>
    <td colspan=4 valign=bottom align="center"><b><font size="1">QUARTER OF PREVIOUS
       </font></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="center"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12 align="center"><b></b></td>
    <td valign=bottom width=316 align="center"><b><font size="1">CATEGORIES </font></b></td>
    <td colspan=4 valign=bottom align="center"><b><font size="1">FINANCIAL YEAR
       </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td colspan=4 valign=bottom align="center"><b><font size="1">FINANCIAL YEAR
       </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="left">
    <td valign=bottom align="center" colspan="2"><b><font size="1">S </font></b></td>
    <td valign=bottom width=316 align="center"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="center" colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom align="center" colspan="2"><b><font size="1">% </font></b></td>
    <td valign=bottom align="center" colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom align="center" colspan="2"><b><font size="1">% </font></b></td>
   </tr>
  <tr align="left">
    <td valign=top align="right" colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">1 </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">TOTAL ASSETS </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">6,167,636  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">5,429,856  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">2  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">CURRENT ASSETS </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">1,405,039  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">23  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">876,856  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">16  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">3  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">CASH AND SHORT-TERM INVESTMENTS </font></td>
    <td valign=bottom align="right" width=60><font size="1">517,096  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">8  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">113,399  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">2  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">4  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">ACCOUNTS AND DOCUMENTS RECEIVABLE
      (NET) </font></td>
    <td valign=bottom align="right" width=60><font size="1">446,640  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">7  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">421,563  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">8  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">5  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">OTHER ACCOUNTS AND DOCUMENTS RECEIVABLE </font></td>
    <td valign=bottom align="right" width=60><font size="1">159,827  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">3  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">55,818  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">1  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">6  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">INVENTORIES </font></td>
    <td valign=bottom align="right" width=60><font size="1">276,171  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">4  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">279,860  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">5  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">7  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">OTHER CURRENT ASSETS </font></td>
    <td valign=bottom align="right" width=60><font size="1">5,305  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">6,216  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1"></font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=316><font size="1"></font></td>
    <td valign=bottom align="right" width=60><font size="1"></font></td>
    <td valign=bottom align="right" width=15><font size="1"></font></td>
    <td valign=bottom align="right" width=31><font size="1"></font></td>
    <td valign=bottom align="right" width=12><font size="1"></font></td>
    <td valign=bottom align="right" width=55><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=46><font size="1"></font></td>
    <td valign=bottom align="right" width=19><font size="1"></font></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">8  </font></b></td>
    <td valign=bottom width=12><b>&nbsp;</b></td>
    <td valign=bottom width=316><b><font size="1">LONG-TERM </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">9  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">ACCOUNTS AND DOCUMENTS RECEIVABLE
      (NET) </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">10  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">INVESTMENT IN SHARES OF SUBSIDIARIES<br>
       </font></td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">  </font></td>
    <td valign=bottom width=12><font size="1">&nbsp;</font></td>
    <td valign=bottom width=316><font size="1">AND NON-CONSOLIDATED  </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">11  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">OTHER INVESTMENTS </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">12  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">PROPERTY, PLANT AND EQUIPMENT </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">4,507,470  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">73  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">4,272,906  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">79  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">13  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">PROPERTY </font></td>
    <td valign=bottom align="right" width=60><font size="1">1,911,613  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">31  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">1,910,173  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">35  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">14  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">MACHINERY AND INDUSTRIAL </font></td>
    <td valign=bottom align="right" width=60><font size="1">4,541,230  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">74  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">3,806,836  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">70  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">15  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">OTHER EQUIPMENT </font></td>
    <td valign=bottom align="right" width=60><font size="1">147,752  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">2  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">194,583  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">4  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">16  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">ACCUMULATED DEPRECIATION </font></td>
    <td valign=bottom align="right" width=60><font size="1">2,099,755  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">34  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">1,668,432  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">31  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">17  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">CONSTRUCTION IN PROGRESS </font></td>
    <td valign=bottom align="right" width=60><font size="1">6,630  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">29,746  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">1  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">18  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">DEFERRED ASSETS (NET) </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">255,127  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">4  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">280,094  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">5  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">19  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">OTHER ASSETS </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">20  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">TOTAL LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">1,412,732  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">1,692,109  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">21  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">CURRENT LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">475,785  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">34  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">886,683  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">52  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">22  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">SUPPLIERS </font></td>
    <td valign=bottom align="right" width=60><font size="1">209,655  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">15  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">216,640  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">13  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">23  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">BANK LOANS </font></td>
    <td valign=bottom align="right" width=60><font size="1">19,078  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">1  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">354,729  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">21  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">24  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">STOCK MARKET LOANS </font></td>
    <td valign=bottom align="right" width=60><font size="1">3,393  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">3,238  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">25  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">TAXES TO BE PAID </font></td>
    <td valign=bottom align="right" width=60><font size="1">59,491  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">4  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">48,881  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">3  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">26  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom align="right" width=60><font size="1">184,168  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">13  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">263,195  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">16  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">27  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">LONG-TERM LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">28  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">BANK LOANS </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">29  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">STOCK MARKET LOANS </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">30  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">OTHER LOANS </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">31  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">DEFERRED LOANS </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">936,947  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">66  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">805,426  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">48  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">32  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">OTHER LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">33  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">CONSOLIDATED STOCKHOLDERS&#146;
      EQUITY </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">4,754,904  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">3,737,747  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">34  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">MINORITY INTEREST </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">250  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">252  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">35  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">MAJORITY INTEREST </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">4,754,654  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">3,737,495  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">36  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">CONTRIBUTED CAPITAL </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">3,713,074  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">78  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">3,358,213  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">90  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">37  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">PAID-IN CAPITAL STOCK (NOMINAL) </font></td>
    <td valign=bottom align="right" width=60><font size="1">1,925,252  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">40  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">1,575,987  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">42  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">38  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">RESTATEMENT OF PAID-IN CAPITAL
      STOCK </font></td>
    <td valign=bottom align="right" width=60><font size="1">1,164,298  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">24  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">1,158,702  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">31  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">39  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">PREMIUM ON SALES OF SHARES </font></td>
    <td valign=bottom align="right" width=60><font size="1">623,524  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">13  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">623,524  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">17  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">40  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">CONTRIBUTIONS FOR FUTURE CAPITAL
      INCREASES </font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right">&nbsp;</td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316>&nbsp;</td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><b><font size="1">41  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=316><b><font size="1">CAPITAL INCREASE (DECREASE) </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">1,041,580  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">22  </font></b></td>
    <td valign=bottom align="right" width=12><b></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">379,282  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=46><b><font size="1">10  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">42  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">RETAINES EARNINGS AND CAPITAL RESERVE </font></td>
    <td valign=bottom align="right" width=60><font size="1">1,251,490  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">26  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">1,128,728  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">30  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">43  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">REPURCHASE FUND OF SHARES </font></td>
    <td valign=bottom align="right" width=60><font size="1">80,078  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">2  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">80,078  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">2  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">44  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">EXCESS (SHORTFALL) IN RESTATEMENT
      OF<br>
       </font></td>
    <td valign=bottom align="right" width=60>&nbsp;</td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46>&nbsp;</td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=top width=23 align="right"></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=316><font size="1">STOCKHOLDERS&#146; EQUITY </font></td>
    <td valign=bottom align="right" width=60><font size="1">(722,645) </font></td>
    <td valign=bottom align="right" width=15><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=31><font size="1">(15) </font></td>
    <td valign=bottom align="right" width=12><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">(952,286) </font></td>
    <td valign=bottom align="right" width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=46><font size="1">(25) </font></td>
    <td valign=bottom align="right" width=19><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=bottom width=23 align="right"><font size="1">45  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=316><font size="1">NET INCOME FOR THE YEAR </font></td>
    <td valign=bottom align="right" width=60><font size="1">432,657  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">9  </font></td>
    <td valign=bottom align="right" width=12>&nbsp;</td>
    <td valign=bottom align="right" width=55><font size="1">122,762  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=46><font size="1">3  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
   </tr>
  <tr align="left">
    <td valign=top align="right" colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td colspan=6 valign=bottom align="center"><b><font size="1">MEXICAN STOCK
      EXCHANGE </font></b></td>
   </tr>
  <tr>
    <td colspan=6 valign=bottom align="center"><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC </b></font></td>
    <td valign=bottom colspan="3"><font size="1"></font></td>
    <td valign=bottom align="right" width=228><font size="1">QUARTER: 4 YEAR:
      <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom height="15"><font size="1"><b>GRUPO SIMEC, S.A.
      DE C.V. </b></font></td>
    <td valign=bottom colspan="3" height="15">&nbsp;  </td>
    <td valign=bottom width=228 height="15"><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=6 valign=bottom height="14"><font size="1"><b>CONSOLIDATED FINANCIAL
      STATEMENT </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=6 valign=bottom><font size="1">BREAKDOWN OF MAIN CATEGORIES </font></td>
   </tr>
  <tr align="center">
    <td colspan=6 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom align="right" colspan="11" height="35">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=315><b><font size="1">&nbsp;</font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PRESENT  </font>
       </b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PREVIOUS  </font>
       </b></td>
   </tr>
  <tr align="center">
    <td valign=bottom width=20><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">CATEGORIES </font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">S </font></b></td>
    <td valign=bottom width=315><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">3  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">CASH AND SHORT TERM INVESTMENTS </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">517,096  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">113,399  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">46  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">CASH </font></td>
    <td valign=bottom align="right" width=64><font size="1">165,697  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">32  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">85,752  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">76  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">47  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">SHORT-TERM INVESTMENTS </font></td>
    <td valign=bottom align="right" width=64><font size="1">351,399  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">68  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">27,647  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">24  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">18  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">DEFERRED ASSETS (NET) </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">255,127  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">280,094  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">48  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">AMORTIZED OR REDEEMED EXPENSES </font></td>
    <td valign=bottom align="right" width=64><font size="1">252,898  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">99  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">277,774  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">99  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">49  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">GOODWILL </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">50  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">DEFERRED TAXES </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">51  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHERS </font></td>
    <td valign=bottom align="right" width=64><font size="1">2,229  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">1  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">2,320  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">1  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">21  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">CURRENT LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">475,785  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">886,683  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">52  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">FOREIGN CURRENCY LIABILITIES </font></td>
    <td valign=bottom align="right" width=64><font size="1">84,180  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">18  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">566,961  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">64  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">53  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">MEXICAN PESOS LIABILITIES </font></td>
    <td valign=bottom align="right" width=64><font size="1">391,605  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">82  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">319,722  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">36  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">24  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">STOCK MARKET LOANS </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">3,393  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">3,238  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">54  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">COMMERCIAL PAPER </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">55  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">CURRENT MATURITIES OF MEDIUM TERM
      NOTES </font></td>
    <td valign=bottom align="right" width=64><font size="1">3,393  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">100  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">3,238  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">100  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">56  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">CURRENT MATURITIES OF BONDS </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">26  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">OTHER CURRENT LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">184,168  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">263,195  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">57  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHER CURRENT LIABILITIES WITH
      COST </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">157,838  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">60  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">58  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHER CURRENT LIABILITIES WITHOUT
      COST </font></td>
    <td valign=bottom align="right" width=64><font size="1">184,168  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">100  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">105,357  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">40  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">27  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">LONG-TERM LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">59  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">FOREIGN CURRENCY LIABILITIES </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">60  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">MEXICAN PESOS LIABILITIES </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">29  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">STOCK MARKET LOANS </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">61  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">BONDS </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">62  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">MEDIUM TERM NOTES </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">30  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">OTHER LOANS </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">63  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHER LOANS WITH COST </font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">64  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHER LOANS WITHOUT COST </font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">31  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">DEFERRED LOANS </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">936,947  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">805,426  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">65  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">NEGATIVE GOODWILL </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">66  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">DEFERRED TAXES </font></td>
    <td valign=bottom align="right" width=64><font size="1">927,859  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">99  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">796,759  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">99  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">67  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHERS </font></td>
    <td valign=bottom align="right" width=64><font size="1">9,088  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">1  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">8,667  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">1  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><b><font size="1">32  </font></b></td>
    <td valign=bottom width=12><b></b></td>
    <td valign=bottom width=315><b><font size="1">OTHER LIABILITIES </font></b></td>
    <td valign=bottom align="right" width=64><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=17><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=19><b></b></td>
    <td valign=bottom align="right" width=34><b><font size="1">0  </font></b></td>
    <td valign=bottom align="right" width=15><b></b></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">68  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">RESERVES </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">69  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHER LIABILITIES </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">44  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=315><font size="1">EXCESS (SHORTFALL) IN RESTATEMENT
      OF  </font></td>
    <td valign=bottom align="right" width=64><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=17><font size="1"></font></td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10><font size="1"></font></td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=19><font size="1"></font></td>
    <td valign=bottom align="right" width=34><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=15><font size="1"></font></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=315><font size="1">STOCKHOLDERS&#146; EQUITY  </font></td>
    <td valign=bottom align="right" width=64><font size="1"><b>722,645  </b></font></td>
    <td valign=bottom align="right" width=17><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=31><font size="1"><b>(100) </b></font></td>
    <td valign=bottom align="right" width=10><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=63><font size="1"><b>(952,286) </b></font></td>
    <td valign=bottom align="right" width=19><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=34><font size="1"><b>(100) </b></font></td>
    <td valign=bottom align="right" width=15><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">70  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">ACCUMULATED INCOME DUE TO MONETARY
      POSITION </font></td>
    <td valign=bottom align="right" width=64><font size="1">722,645  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">(100) </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">(952,286) </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">(100) </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20 align="right"><font size="1">71  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=315><font size="1">INCOME FROM NON-MONETARY POSITION
      ASSETS </font></td>
    <td valign=bottom align="right" width=64><font size="1">0  </font></td>
    <td valign=bottom align="right" width=17>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=19>&nbsp;</td>
    <td valign=bottom align="right" width=34><font size="1">0  </font></td>
    <td valign=bottom align="right" width=15>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1"><b>CONSOLIDATED FINANCIAL STATEMENT </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">OTHER CONCEPTS </font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td colspan=7 valign=bottom height="35">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=32><b><font size="1">REF </font></b></td>
    <td valign=bottom width=15><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=307><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PRESENT  </font>
       </b></td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PREVIOUS  </font>
       </b></td>
   </tr>
  <tr align="center">
    <td valign=bottom width=32><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=15><b></b></td>
    <td valign=bottom width=307><b><font size="1">CATEGORIES </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=32><b><font size="1">S </font></b></td>
    <td valign=bottom width=15><b></b></td>
    <td valign=bottom width=307><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
   </tr>
  <tr>
    <td colspan=7 valign=bottom>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">&nbsp;</font></td>
    <td valign=bottom width=91><font size="1">&nbsp;</font></td>
    <td valign=bottom width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom width=92><font size="1">&nbsp;</font></td>
    <td valign=bottom width=31><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">72  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">WORKING CAPITAL </font></td>
    <td valign=bottom align="right" width=91><font size="1">929,254  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">(9,827) </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">73  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">PENSIONS FUND AND SENIORITY PREMIUMS </font></td>
    <td valign=bottom align="right" width=91><font size="1">0  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">0  </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">74  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">EXECUTIVES (*) </font></td>
    <td valign=bottom align="right" width=91><font size="1">25  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">28  </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">75  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">EMPLOYERS (*) </font></td>
    <td valign=bottom align="right" width=91><font size="1">374  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">390  </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">76  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">WORKERS (*) </font></td>
    <td valign=bottom align="right" width=91><font size="1">889  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">915  </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">77  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">COMMON SHARES (*) </font></td>
    <td valign=bottom align="right" width=91><font size="1">131,973,022  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">2,160,625,003  </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="center" width=32><font size="1">78  </font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">REPURCHASED SHARES (*) </font></td>
    <td valign=bottom align="right" width=91><font size="1">0  </font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">0  </font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=7 valign=bottom>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom width=15>&nbsp;</td>
    <td valign=bottom width=307><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=91><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">(*) THESE ITEMS SHOULD BE EXPRESSED
      IN UNITS </font></td>
    <td valign=bottom align="right" width=91><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=32>&nbsp;</td>
    <td valign=bottom align="right" width=92><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=31>&nbsp;</td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=11 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr align="left">
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1"><b>CONSOLIDATED EARNING STATEMENT </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">FROM JANUARY 1 TO DECEMBER 31
      OF 2003 AND 2002 </font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom align="right" width=600 colspan="11">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=298><b><font size="1">&nbsp;</font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PRESENT </font></b>
    </td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PREVIOUS </font></b>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom width=16><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><b><font size="1">CATEGORIES </font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">R </font></b></td>
    <td valign=bottom width=298><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=600 colspan="11">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">1 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">NET SALES </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">2,787,013 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">100 </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">2,196,533 </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">100 </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">2 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">COST OF SALES </font></td>
    <td valign=bottom align="right" width=68><font size="1">1,828,282 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">66 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">1,469,767 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">67 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">3 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">GROSS INCOME </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">958,731 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">34 </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">726,766 </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">33 </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">4 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">OPERATING EXPENSES </font></td>
    <td valign=bottom align="right" width=68><font size="1">462,225 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">17 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">461,435 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">21 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">5 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">OPERATING INCOME </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">496,506 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">18 </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">265,331 </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">12 </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">6 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">TOTAL FINANCING COST </font></td>
    <td valign=bottom align="right" width=68><font size="1">24,432 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">1 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">128,641 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">6 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">7 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">INCOME AFTER FINANCING COST
      </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">472,074 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">17 </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">136,690 </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">6 </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">8 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">OTHER FINANCIAL OPERATIONS </font></td>
    <td valign=bottom align="right" width=68><font size="1">18,353 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">1 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">37,152 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">2 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"><b><font size="1">9
      </font></b></font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1"><b><font size="1">INCOME BEFORE
      TAXES AND WORKERS&#146; PROFIT </font></b></font></td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"><b> SHARING </b></font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>453,721 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=26><font size="1"><b>16 </b></font></td>
    <td valign=bottom align="right" width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=65><font size="1"><b>99,538 </b></font></td>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=40><font size="1"><b>5 </b></font></td>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">10 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">RESERVE FOR TAXES AND WORKERS&#146;
      PROFIT </font></td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">&nbsp;</font></td>
    <td valign=bottom width=11><font size="1"></font></td>
    <td valign=bottom width=298><font size="1"> SHARING </font></td>
    <td valign=bottom align="right" width=68><font size="1">21,064 </font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1">1 </font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1">(23,233) </font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1">(1) </font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">11 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">NET INCOME AFTER TAXES AND WORKERS&#146;
      PROFIT </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"><b><font size="1">&nbsp;</font></b></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"><b>SHARING </b></font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>432,657 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=26><font size="1"><b>16 </b></font></td>
    <td valign=bottom align="right" width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=65><font size="1"><b>122,771 </b></font></td>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=40><font size="1"><b>6 </b></font></td>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">12 </font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1">SHARE IN NET INCOME OF SUBSISIARIES
      AND<br>
      </font></td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">&nbsp;</font></td>
    <td valign=bottom width=11><font size="1"></font></td>
    <td valign=bottom width=298><font size="1">NON-CONSOLIDATED ASSOCIATES </font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1">0 </font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1">0 </font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1">0 </font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">13 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">CONSOLIDATED NET INCOME FROM
      CONTINUOUS </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"><b>OPERATIONS </b></font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>432,657 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=26><font size="1"><b>16 </b></font></td>
    <td valign=bottom align="right" width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=65><font size="1"><b>122,771 </b></font></td>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=40><font size="1"><b>6 </b></font></td>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">14 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">INCOME FROM DISCONTINUOUS OPERATIONS
      </font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">0 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">0 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">0 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1"><b><font size="1">15
      </font></b></font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1"><b><font size="1">CONSOLIDATED
      NET INCOME BEFORE </font><br>
      </b></font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"><font size="1">&nbsp;</font></font></td>
    <td valign=bottom width=11><font size="1"><font size="1">&nbsp;</font></font></td>
    <td valign=bottom width=298><font size="1"><b>EXTRAORDINARY ITEMS </b></font></td>
    <td valign=bottom align="right" width=68><font size="1">432,657 </font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1">16 </font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1">122,771 </font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1">6 </font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">16 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">EXTRAORDINARY ITEMS NET EXPENSES
      (INCOME) </font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">0 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">0 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">0 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">17 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">NET EFFECT AT THE BEGINNING OF
      THE YEAR BY<br>
      </font></td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26>&nbsp;</td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65>&nbsp;</td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40>&nbsp;</td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">&nbsp;</font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"> CHANGES IN ACCOUNTING PRINCIPLES
      </font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=26><font size="1">0 </font></td>
    <td valign=bottom align="right" width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=65><font size="1">0 </font></td>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=40><font size="1">0 </font></td>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">18 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">NET CONSOLIDATED INCOME </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">432,657 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">16 </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">122,771 </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">6 </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1">19 </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=298><font size="1">NET INCOME OF MINORITY INTEREST
      </font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=26><font size="1">0 </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
    <td valign=bottom align="right" width=65><font size="1">9 </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=40><font size="1">0 </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><font size="1"></font></td>
    <td valign=bottom width=11><font size="1">&nbsp;</font></td>
    <td valign=bottom width=298><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=26><font size="1"></font></td>
    <td valign=bottom align="right" width=11><font size="1"></font></td>
    <td valign=bottom align="right" width=65><font size="1"></font></td>
    <td valign=bottom align="right" width=20><font size="1"></font></td>
    <td valign=bottom align="right" width=40><font size="1"></font></td>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=16><b><font size="1">20 </font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=298><b><font size="1">NET INCOME OF MAJORITY INTEREST
      </font></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">432,657 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=26><b><font size="1">16 </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
    <td valign=bottom align="right" width=65><b><font size="1">122,762 </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=40><b><font size="1">6 </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=600 colspan="11">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1"><b>MEXICAN STOCK EXCHANGE </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1"><b>SIFIC / ICS </b></font></td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom colspan="6">&nbsp;</td>
    <td valign=bottom align="right" colspan="2" width=235>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">GRU<b>PO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom colspan="6"><font size="1">&nbsp;</font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" colspan="2" width=235><font size="1">&nbsp;QUARTER:
      4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1"><b>CONSOLIDATED EARNING STATEMENT </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">BREAKDOWN OF MAIN CONCEPTS </font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
  <tr>
    <td colspan=11 valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=320><b><font size="1">&nbsp;</font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PRESENT  </font>
       </b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PREVIOUS  </font>
       </b></td>
   </tr>
  <tr align="center">
    <td valign=bottom width=24><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=8><b></b></td>
    <td valign=bottom width=320><b><font size="1">CATEGORIES </font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">R </font></b></td>
    <td valign=bottom width=320><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><b><font size="1">1  </font></b></td>
    <td valign=bottom width=8><b>&nbsp;</b></td>
    <td valign=bottom width=320><b><font size="1">NET SALES </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">2,787,013  </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=32><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">2,196,533  </font></b></td>
    <td valign=bottom align="right" width=16><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">21  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DOMESTIC </font></td>
    <td valign=bottom align="right" width=60><font size="1">2,467,840  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">89  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">1,930,116  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">88  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">22  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">FOREIGN </font></td>
    <td valign=bottom align="right" width=60><font size="1">319,173  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">11  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">266,417  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">12  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">23  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">TRANSLATED INTO DOLLARS (***) </font></td>
    <td valign=bottom align="right" width=60><font size="1">28,810  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">25,655  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">&nbsp;</font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><b><font size="1">6  </font></b></td>
    <td valign=bottom width=8><b></b></td>
    <td valign=bottom width=320><b><font size="1">TOTAL FINANCING COST </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">24,432  </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=32><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">128,641  </font></b></td>
    <td valign=bottom align="right" width=16><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">24  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">INTEREST PAID </font></td>
    <td valign=bottom align="right" width=60><font size="1">17,751  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">73  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">56,614  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">44  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">25  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">EXCHANGE LOSSES </font></td>
    <td valign=bottom align="right" width=60><font size="1">2,541  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">10  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">103,703  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">81  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">26  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">INTEREST EARNED </font></td>
    <td valign=bottom align="right" width=60><font size="1">5,417  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">22  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">1,130  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">1  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">27  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">EXCHANGE PROFITS </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">28  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">GAIN FROM MONETARY POSITION </font></td>
    <td valign=bottom align="right" width=60><font size="1">9,557  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">39  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">(30,546) </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">(24) </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">&nbsp;</font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><b><font size="1">8  </font></b></td>
    <td valign=bottom width=8><b></b></td>
    <td valign=bottom width=320><b><font size="1">OTHER FINANCIAL OPERATIONS </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">18,353  </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=32><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">37,152  </font></b></td>
    <td valign=bottom align="right" width=16><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">29  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">OTHER NET EXPENSES (INCOME) NET </font></td>
    <td valign=bottom align="right" width=60><font size="1">18,353  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">100  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">37,152  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">100  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">30  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(PROFIT LOSS ON SALE OF OWN SHARES </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">31  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(PROFIT LOSS ON SALE OF SHORT-TERM
      INVESTMENTS </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">&nbsp;</font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><b><font size="1">10  </font></b></td>
    <td valign=bottom width=8><b></b></td>
    <td valign=bottom width=320><b><font size="1">RESERVE FOR TAXESS AND WORKERS&#146;
      PROFIT SHARING </font></b></td>
    <td valign=bottom align="right" width=60><b><font size="1">21,064  </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=32><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">(23,233) </font></b></td>
    <td valign=bottom align="right" width=16><b></b></td>
    <td valign=bottom align="right" width=31><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=11><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">32  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">INCOME TAX </font></td>
    <td valign=bottom align="right" width=60><font size="1">31,492  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">150  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">35,415  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">(152) </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">33  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DEFERED INCOME TAX </font></td>
    <td valign=bottom align="right" width=60><font size="1">(11,628) </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">(55) </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">(58,968) </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">254  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">34  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">WORKERS&#146; PROFIT SHARING </font></td>
    <td valign=bottom align="right" width=60><font size="1">1,200  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">6  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">320  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">(1) </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=24><font size="1">35  </font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DEFERED WORKERS&#146; PROFIT SHARING </font></td>
    <td valign=bottom align="right" width=60><font size="1">0  </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">0  </font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">0  </font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=24><font size="1">&nbsp;</font></td>
    <td valign=bottom width=8>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">(***) THOUSANDS OF DOLLARS </font></td>
    <td valign=bottom align="right" width=60><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=32><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=63><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=16>&nbsp;</td>
    <td valign=bottom align="right" width=31><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=11>&nbsp;</td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=7 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=7 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=3 valign=bottom align="left"><font size="1">STOCK EXCHANGE CODE:
      <b>SIMEC  </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right" colspan="2"><font size="1">QUARTER: 4 YEAR:
      <b>2003 </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=3 valign=bottom align="left"><font size="1"><b>GRUPO SIMEC, S.A.
      DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom>&nbsp;</td>
   </tr>
  <tr align="center">
    <td colspan=7 valign=bottom><font size="1"><b>CONSOLIDATED EARNING STATEMENT </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=7 valign=bottom><font size="1">OTHER CONCEPTS </font></td>
   </tr>
  <tr align="center">
    <td colspan=7 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=331><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PRESENT  </font></b>
     </td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PREVIOUS  </font></b>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=23><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=11><b></b></td>
    <td valign=bottom width=331><b><font size="1">CATEGORIES </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">R </font></b></td>
    <td valign=bottom width=331><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">&nbsp;&nbsp;</font></td>
    <td valign=bottom width=80><font size="1">&nbsp;</font></td>
    <td valign=bottom width=36>&nbsp;</td>
    <td valign=bottom width=82><font size="1">&nbsp;</font></td>
    <td valign=bottom width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=23 align="right"><font size="1">36  </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">TOTAL SALES </font></td>
    <td valign=bottom align="right" width=80><font size="1">2,987,568  </font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">2,339,918  </font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=23 align="right"><font size="1">37  </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">NETR INCOME OF THE YEAR </font></td>
    <td valign=bottom align="right" width=80><font size="1">0  </font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">0  </font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=23 align="right"><font size="1">38  </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">NET SALES (**) </font></td>
    <td valign=bottom align="right" width=80><font size="1">2,787,013  </font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">2,196,533  </font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=23 align="right"><font size="1">39  </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">OPERATION INCOME (**) </font></td>
    <td valign=bottom align="right" width=80><font size="1">496,506  </font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">265,331  </font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=23 align="right"><font size="1">40  </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">NET INCOME OF MAJORITY INTEREST
      (**) </font></td>
    <td valign=bottom align="right" width=80><font size="1">432,657  </font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">122,762  </font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=23 align="right"><font size="1">41  </font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">NET CONSOLIDATED INCOME (**) </font></td>
    <td valign=bottom align="right" width=80><font size="1">432,657  </font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">122,771  </font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom width=11>&nbsp;</td>
    <td valign=bottom width=331><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=80><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=36>&nbsp;</td>
    <td valign=bottom align="right" width=82><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=5 valign=bottom><font size="1">(***) THE RESTATED INFORMATION
      FOR THE LAST TWELVE MONTHS SHOULD BE USED </font></td>
    <td valign=bottom align="right" width=82><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=37>&nbsp;</td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=11 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom colspan="4" align="right"><font size="1">&nbsp;</font><font size="1">&nbsp;QUARTER:
      4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom colspan="4" align="right">&nbsp;  </td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1"><b>CONSOLIDATED EARNING STATEMENT
      OF THE THIRD QUARTER </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">FROM OCTOBER 1 TO DECEMBER 31
      OF 2003 AND 2002 </font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom align="right" width=600 colspan="11">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=315><b><font size="1">&nbsp;</font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PRESENT </font></b>
    </td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PREVIOUS </font></b>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom width=22><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">CATEGORIES </font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">R </font></b></td>
    <td valign=bottom width=315><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=600 colspan="11">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">1 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">NET SALES </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">757,384 </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">100 </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">580,050 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">100 </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">2 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">COST OF SALES </font></td>
    <td valign=bottom align="right" width=63><font size="1">499,277 </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">66 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">385,482 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">66 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">3 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">GROSS INCOME </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">258,107 </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">34 </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">194,568 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">34 </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">4 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OPERATING EXPENSES </font></td>
    <td valign=bottom align="right" width=63><font size="1">109,407 </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">14 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">118,061 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">20 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">5 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">OPERATING INCOME </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">148,700 </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">20 </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">76,507 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">13 </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">6 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">TOTAL FINANCING COST </font></td>
    <td valign=bottom align="right" width=63><font size="1">(91) </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">10,871 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">2 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">7 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">INCOME AFTER FINANCING COST
      </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">148,791 </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">20 </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">65,636 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">11 </font></b></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">8 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">OTHER FINANCIAL OPERATIONS </font></td>
    <td valign=bottom align="right" width=63><font size="1">18,636 </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">2 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">48,016 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">8 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1"></font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">9 </font></b></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><b><font size="1">INCOME BEFORE TAXES AND WORKERS&#146;
      PROFIT </font></b></td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1"><b>SHARING </b></font></td>
    <td valign=bottom align="right" width=63><font size="1"><b>130,155 </b></font></td>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>17 </b></font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>17,620 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>3 </b></font></td>
    <td valign=bottom align="right" width=10><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">10 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">RESERVE FOR TAXES AND WORKERS&#146;
      PROFIT </font></td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1">SHARING </font></td>
    <td valign=bottom align="right" width=63><font size="1">(16,930) </font></td>
    <td valign=bottom align="right" width=21><font size="1"></font></td>
    <td valign=bottom align="right" width=29><font size="1">(2) </font></td>
    <td valign=bottom align="right" width=14><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1">(37,729) </font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=29><font size="1">(7) </font></td>
    <td valign=bottom align="right" width=10><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">11 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">NET INCOME AFTER TAXES AND WORKERS&#146;
      PROFIT </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1"><b>SHARING </b></font></td>
    <td valign=bottom align="right" width=63><font size="1"><b>147,085 </b></font></td>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>19 </b></font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>55,349 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>10 </b></font></td>
    <td valign=bottom align="right" width=10><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">12 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">SHARE IN NET INCOME OF SUBSISIARIES
      AND<br>
      </font></td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1"></font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1">NON-CONSOLIDATED ASSOCIATES </font></td>
    <td valign=bottom align="right" width=63><font size="1">0 </font></td>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=10><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">13 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">CONSOLIDATED NET INCOME FROM
      CONTINUOUS </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=315><font size="1"><b>OPERATIONS </b></font></td>
    <td valign=bottom align="right" width=63><font size="1"><b>147,085 </b></font></td>
    <td valign=bottom align="right" width=21><font size="1"></font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>19 </b></font></td>
    <td valign=bottom align="right" width=14><font size="1"></font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>55,349 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1"></font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>10 </b></font></td>
    <td valign=bottom align="right" width=10><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">14 </font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1">INCOME FROM DISCONTINUOUS OPERATIONS
      </font></td>
    <td valign=bottom align="right" width=63><font size="1">0 </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">15 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">CONSOLIDATED NET INCOME BEFORE
      </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1"><b>EXTRAORDINARY ITEMS </b></font></td>
    <td valign=bottom align="right" width=63><font size="1"><b>147,085 </b></font></td>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>19 </b></font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=68><font size="1"><b>55,349 </b></font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1"><b>10 </b></font></td>
    <td valign=bottom align="right" width=10><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">16 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">EXTRAORDINARY ITEMS NET EXPENSES
      (INCOME) </font></td>
    <td valign=bottom align="right" width=63><font size="1">0 </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">17 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">NET EFFECT AT THE BEGINNING OF
      THE YEAR BY<br>
      </font></td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=315><font size="1">CHANGES IN ACCOUNTING PRINCIPLES
      </font></td>
    <td valign=bottom align="right" width=63><font size="1">0 </font></td>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=68><font size="1">0 </font></td>
    <td valign=bottom align="right" width=23><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=10><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">18 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">NET CONSOLIDATED INCOME </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">147,085 </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">19 </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">55,349 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">10 </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">19 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315><font size="1">NET INCOME OF MINORITY INTEREST
      </font></td>
    <td valign=bottom align="right" width=63><font size="1">0 </font></td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68><font size="1">9 </font></td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0 </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=315>&nbsp;</td>
    <td valign=bottom align="right" width=63>&nbsp;</td>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=68>&nbsp;</td>
    <td valign=bottom align="right" width=23>&nbsp;</td>
    <td valign=bottom align="right" width=29>&nbsp;</td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">20 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=315><b><font size="1">NET INCOME OF MAJORITY INTEREST
      </font></b></td>
    <td valign=bottom align="right" width=63><b><font size="1">147,085 </font></b></td>
    <td valign=bottom align="right" width=21><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">19 </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=68><b><font size="1">55,340 </font></b></td>
    <td valign=bottom align="right" width=23><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">10 </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=600 colspan="11">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=11 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom colspan="6"><font size="1"></font><font size="1"></font><font size="1"></font></td>
    <td valign=bottom colspan="2" align="right" width="165"><font size="1">&nbsp;QUARTER:
      4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom colspan="6"><font size="1">&nbsp;</font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font></td>
    <td valign=bottom colspan="2" align="right" width="165"><font size="1"></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1"><b>CONSOLIDATED EARNING STATEMENT
      OF THE THIRD QUARTER </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">BREAKDOWN OF MAIN CONCEPTS </font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">FROM OCTOBER 1 TO DECEMBER 31
      OF 2003 AND 2002 </font></td>
   </tr>
  <tr align="center">
    <td colspan=11 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=320><b><font size="1">&nbsp;</font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PRESENT  </font></b>
     </td>
    <td colspan=4 valign=bottom><b><font size="1">QUARTER OF PREVIOUS  </font></b>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=22><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><b><font size="1">CATEGORIES </font></b></td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td colspan=4 valign=bottom><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">R </font></b></td>
    <td valign=bottom width=320><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">% </font></b></td>
   </tr>
  <tr>
    <td valign=bottom colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">1  </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">NET SALES </font></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">757,384  </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=36><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=66><b><font size="1">580,050  </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">21  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DOMESTIC </font></td>
    <td valign=bottom align="right" width=55><font size="1">645,098  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">85  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">516,533  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">89  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">22  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">FOREIGN </font></td>
    <td valign=bottom align="right" width=55><font size="1">112,286  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">15  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">63,517  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">11  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">23  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">TRANSLATED INTO DOLLARS (***) </font></td>
    <td valign=bottom align="right" width=55><font size="1">9,971  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">5,959  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">6  </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">TOTAL FINANCING COST </font></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">(91) </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=36><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=66><b><font size="1">10,871  </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">24  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">INTEREST PAID </font></td>
    <td valign=bottom align="right" width=55><font size="1">482  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">(530) </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">9,675  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">89  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">25  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">EXCHANGE LOSSES </font></td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">0  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">6,646  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">61  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">26  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">INTEREST EARNED </font></td>
    <td valign=bottom align="right" width=55><font size="1">2,736  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">(3,007) </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">214  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">2  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">27  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">EXCHANGE PROFITS </font></td>
    <td valign=bottom align="right" width=55><font size="1">6,705  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">(7,368) </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">0  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">28  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">GAIN FROM MONETARY POSITION </font></td>
    <td valign=bottom align="right" width=55><font size="1">8,868  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">(9,745) </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">(5,236) </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">(48) </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">8  </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">OTHER FINANCIAL OPERATIONS </font></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">18,636  </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=36><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=66><b><font size="1">48,016  </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">29  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">OTHER NET EXPENSES (INCOME) NET </font></td>
    <td valign=bottom align="right" width=55><font size="1">18,636  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">100  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">48,016  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">100  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">30  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(PROFIT LOSS ON SALE OF OWN SHARES </font></td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">0  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">0  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">31  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(PROFIT LOSS ON SALE OF SHORT-TERM
      INVESTMENTS </font></td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">0  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">0  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><b><font size="1">10  </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">RESERVE FOR TAXESS AND WORKERS&#146;
      PROFIT SHARING </font></b></td>
    <td valign=bottom align="right" width=55><b><font size="1">(16,930) </font></b></td>
    <td valign=bottom align="right" width=14><b></b></td>
    <td valign=bottom align="right" width=36><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=20><b></b></td>
    <td valign=bottom align="right" width=66><b><font size="1">(37,729) </font></b></td>
    <td valign=bottom align="right" width=22><b></b></td>
    <td valign=bottom align="right" width=29><b><font size="1">100  </font></b></td>
    <td valign=bottom align="right" width=10><b></b></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">32  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">INCOME TAX </font></td>
    <td valign=bottom align="right" width=55><font size="1">7,508  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">(44) </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">7,708  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">(20) </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">33  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DEFERED INCOME TAX </font></td>
    <td valign=bottom align="right" width=55><font size="1">(24,540) </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">145  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">(45,644) </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">121  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">34  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">WORKERS&#146; PROFIT SHARING </font></td>
    <td valign=bottom align="right" width=55><font size="1">102  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">(1) </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">207  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">(1) </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=22><font size="1">35  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DEFERED WORKERS&#146; PROFIT SHARING </font></td>
    <td valign=bottom align="right" width=55><font size="1">0  </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">0  </font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">0  </font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">0  </font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom colspan="11">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=22><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=3 valign=bottom><font size="1">(***) THOUSANDS OF DOLLARS </font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom align="right" width=36><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=20>&nbsp;</td>
    <td valign=bottom align="right" width=66><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=22>&nbsp;</td>
    <td valign=bottom align="right" width=29><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=10>&nbsp;</td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">CONSOLIDATED STATEMENT OF CHANGES
      IN FINANCIAL POSITION </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">FROM JANUARY 1 TO DECEMBER 31
      OF 2003 AND 2002 </font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=322><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PRESENT </font></b>
    </td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PREVIOUS </font></b>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom width=21><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><b><font size="1">CATEGORIES </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">C </font></b></td>
    <td valign=bottom width=322><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
  </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><b><font size="1">1 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=322><b><font size="1">CONSOLIDATED NET INCOME </font></b></td>
    <td valign=bottom width=84 align="right"><b><font size="1">432,657 </font></b></td>
    <td valign=bottom width=40 align="right"><b></b></td>
    <td valign=bottom width=86 align="right"><b><font size="1">122,771 </font></b></td>
    <td valign=bottom width=41><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">2 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">+ (-) ITEMS ADDED TO INCOME WHICH
      DO NOT REQUIRE </font></td>
    <td valign=bottom width=84 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=322><font size="1">CASH </font></td>
    <td valign=bottom width=84 align="right"><font size="1">188,985 </font></td>
    <td valign=bottom width=40 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=86 align="right"><font size="1">134,376 </font></td>
    <td valign=bottom width=41><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322>&nbsp;</td>
    <td valign=bottom width=84 align="right">&nbsp;</td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right">&nbsp;</td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><b><font size="1">3 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=322><b><font size="1">CASH FLOW FROM NET INCOME OF
      THE YEAR </font></b></td>
    <td valign=bottom width=84 align="right"><b><font size="1">621,642 </font></b></td>
    <td valign=bottom width=40 align="right"><b></b></td>
    <td valign=bottom width=86 align="right"><b><font size="1">257,147 </font></b></td>
    <td valign=bottom width=41><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">4 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">CASH FLOW FROM CHANGE IN WORKING
      CAPITAL </font></td>
    <td valign=bottom width=84 align="right"><font size="1">(199,888) </font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">72,271 </font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322>&nbsp;</td>
    <td valign=bottom width=84 align="right">&nbsp;</td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right">&nbsp;</td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><b><font size="1">5 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=322><b><font size="1">CASH GENERATED (USED) IN OPERATING
      ACTIVITIES </font></b></td>
    <td valign=bottom width=84 align="right"><b><font size="1">421,754 </font></b></td>
    <td valign=bottom width=40 align="right"><b></b></td>
    <td valign=bottom width=86 align="right"><b><font size="1">329,418 </font></b></td>
    <td valign=bottom width=41><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">6 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">CASH FLOW FROM EXTERNAL FINANCING
      </font></td>
    <td valign=bottom width=84 align="right"><font size="1">(335,496) </font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">(529,169) </font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">7 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">CASH FLOW FROM INTERNAL FINANCING
      </font></td>
    <td valign=bottom width=84 align="right"><font size="1">354,861 </font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">290,624 </font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322>&nbsp;</td>
    <td valign=bottom width=84 align="right">&nbsp;</td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right">&nbsp;</td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><b><font size="1">8 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=322><b><font size="1">CASH FLOW GENERATED (USED) BY
      FINANCING </font></b></td>
    <td valign=bottom width=84 align="right"><b><font size="1">19,365 </font></b></td>
    <td valign=bottom width=40 align="right"><b></b></td>
    <td valign=bottom width=86 align="right"><b><font size="1">(238,545) </font></b></td>
    <td valign=bottom width=41><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21>&nbsp;</td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322>&nbsp;</td>
    <td valign=bottom width=84 align="right">&nbsp;</td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right">&nbsp;</td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><b><font size="1">9 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=322><b><font size="1">CASH FLOW GENERATED (USED) IN
      INVESTMENT </font></b></td>
    <td valign=bottom width=84 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=40 align="right"><b></b></td>
    <td valign=bottom width=86 align="right"><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=41><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=322><font size="1"><b>ACTIVITIES </b></font></td>
    <td valign=bottom width=84 align="right"><font size="1"><b>(37,422) </b></font></td>
    <td valign=bottom width=40 align="right"><font size="1"></font></td>
    <td valign=bottom width=86 align="right"><font size="1"><b>(44,817) </b></font></td>
    <td valign=bottom width=41><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">10 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">NET INCREASE (DECREASE) IN CASH
      AND SHORT-TERM </font></td>
    <td valign=bottom width=84 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=322><font size="1">INVESTMENTS </font></td>
    <td valign=bottom width=84 align="right"><font size="1">403,697 </font></td>
    <td valign=bottom width=40 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=86 align="right"><font size="1">46,056 </font></td>
    <td valign=bottom width=41><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">11 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">CASH AND SHORT-TERM INVESTMENTS
      AT THE </font></td>
    <td valign=bottom width=84 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=322><font size="1">BEGINNING OF PERIOD </font></td>
    <td valign=bottom width=84 align="right"><font size="1">113,399 </font></td>
    <td valign=bottom width=40 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=86 align="right"><font size="1">67,343 </font></td>
    <td valign=bottom width=41><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=21><font size="1">12 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=322><font size="1">CASH AND SHORT TERM INVESTMENTS
      AT THE END </font></td>
    <td valign=bottom width=84 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=40 align="right">&nbsp;</td>
    <td valign=bottom width=86 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=41>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=322><font size="1">OF PERIOD </font></td>
    <td valign=bottom width=84 align="right"><font size="1">517,096 </font></td>
    <td valign=bottom width=40 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=86 align="right"><font size="1">113,399 </font></td>
    <td valign=bottom width=41><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1"><b>CONSOLIDATED STATEMENT OF CHANGES
      IN FINANCIAL POSITION </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">BREAKDOWN OF MAIN CONCEPTS </font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">(Thousands of Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=320><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PRESENT </font></b>
    </td>
    <td valign=bottom colspan="2"><b><font size="1">QUARTER OF PREVIOUS </font></b>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom width=21><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">CATEGORIES </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td valign=bottom colspan="2"><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">C </font></b></td>
    <td valign=bottom width=320><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="2"><b><font size="1">AMOUNT </font></b></td>
  </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><b><font size="1">2 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">+ (-) ITEMS ADDED TO INCOME
      WHICH DO NOT REQUIRE </font></b></td>
    <td valign=bottom width=83><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=44><b></b></td>
    <td valign=bottom width=84><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=42><b></b></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=320><font size="1"><b>CASH </b></font></td>
    <td valign=bottom align="right" width=83><font size="1"><b>188,985 </b></font></td>
    <td valign=bottom align="right" width=44><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=84><font size="1"><b>134,376 </b></font></td>
    <td valign=bottom align="right" width=42><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">13 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">DEPRECIATION AND AMORTIZATION FOR
      THE YEAR </font></td>
    <td valign=bottom align="right" width=83><font size="1">180,293 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">162,122 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">14 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) NET INCREASE (DECREASE IN
      PENSIONS FUNS </font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=320><font size="1">AND SENIORITY PREMIUMS </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">139 </font></td>
    <td valign=bottom align="right" width=42><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">15 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) NET LOSS (PROFIT) IN MONEY
      EXCHANGE </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">16 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) NET LOSS (PROFIT) IN ASSETS
      AND LIABILITIES </font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=320><font size="1">ACTUALIZATION </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">17 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) OTHER ITEMS </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">40 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) OTHER ITEMS WHICH DO NOT
      AFFECT EBITDA </font></td>
    <td valign=bottom align="right" width=83><font size="1">8,692 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(27,885) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><b><font size="1">4 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">CASH FLOW FROM CHANGE IN WORKING
      CAPITAL </font></b></td>
    <td valign=bottom align="right" width=83><b><font size="1">(199,888) </font></b></td>
    <td valign=bottom align="right" width=44><b></b></td>
    <td valign=bottom align="right" width=84><b><font size="1">72,271 </font></b></td>
    <td valign=bottom align="right" width=42><b></b></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">18 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) DECREASE (INCREASE) IN ACCOUNT
      RECEIVABLES </font></td>
    <td valign=bottom align="right" width=83><font size="1">(25,077) </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(77,519) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">19 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) DECREASE (INCREASE) IN INVENTORIES
      </font></td>
    <td valign=bottom align="right" width=83><font size="1">3,689 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">18,533 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">20 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) DECREASE (INCREASE) IN OTHER
      ACCOUNT </font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=320><font size="1">RECEIVABLES </font></td>
    <td valign=bottom align="right" width=83><font size="1">(103,098) </font></td>
    <td valign=bottom align="right" width=44><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">10,769 </font></td>
    <td valign=bottom align="right" width=42><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">21 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) INCREASE (DECREASE) IN SUPPLIER
      ACCOUNT </font></td>
    <td valign=bottom align="right" width=83><font size="1">(6,985) </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">73,844 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">22 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) INCREASE (DECREASE) IN OTHER
      LIABILITIES </font></td>
    <td valign=bottom align="right" width=83><font size="1">(68,417) </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">46,644 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><b><font size="1">6 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">CASH FLOW FROM EXTERNAL FINANCING
      </font></b></td>
    <td valign=bottom align="right" width=83><b><font size="1">(335,496) </font></b></td>
    <td valign=bottom align="right" width=44><b></b></td>
    <td valign=bottom align="right" width=84><b><font size="1">(529,169) </font></b></td>
    <td valign=bottom align="right" width=42><b></b></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">23 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ SHORT-TERM BANK AND STOCK MARKET
      FINANCING </font></td>
    <td valign=bottom align="right" width=83><font size="1">1,544 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">40,926 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">24 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ LONG-TERM BANK AND STOCK MARKET
      FINANCING </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">25 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ DIVIDEND RECEIVED </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">26 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">OTHER FINANCING </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(892) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">27 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(-) BANK FINANCING AMORTIZATION
      </font></td>
    <td valign=bottom align="right" width=83><font size="1">(337,040) </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(567,165) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">28 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(-) STOCK MARKET AMORTIZATION </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(2,038) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">29 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(-) OTHER FINANCING AMORTIZATION
      </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><b><font size="1">7 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">CASH FLOW FROM INTERNAL FINANCING
      </font></b></td>
    <td valign=bottom align="right" width=83><b><font size="1">354,861 </font></b></td>
    <td valign=bottom align="right" width=44><b></b></td>
    <td valign=bottom align="right" width=84><b><font size="1">290,624 </font></b></td>
    <td valign=bottom align="right" width=42><b></b></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">30 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ (-) INCREASE (DECREASE) IN CAPITAL
      STOCK </font></td>
    <td valign=bottom align="right" width=83><font size="1">354,861 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">290,624 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">31 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(-) DIVIDENDS PAID </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">32 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ PREMIUM ON SALE OF SHARES </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">33 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ CONTRIBUTION FOR FUTURE CAPITAL
      INCREASES </font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><b><font size="1">9 </font></b></td>
    <td valign=bottom width=6><b></b></td>
    <td valign=bottom width=320><b><font size="1">CASH FLOW GENERATED (UTILIZED)
      IN INVESTMENT </font></b></td>
    <td valign=bottom align="right" width=83><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=44><b></b></td>
    <td valign=bottom align="right" width=84><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom align="right" width=42><b></b></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1"><b>&nbsp;</b></font></td>
    <td valign=bottom width=6><font size="1">&nbsp;</font></td>
    <td valign=bottom width=320><font size="1"><b>ACTIVITIES </b></font></td>
    <td valign=bottom align="right" width=83><font size="1"><b>(37,422) </b></font></td>
    <td valign=bottom align="right" width=44><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=84><font size="1"><b>(44,817) </b></font></td>
    <td valign=bottom align="right" width=42><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">34 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+(-) INCREASE (DECREASE) IN STOCK
      INVESTMENTS </font></td>
    <td valign=bottom align="right" width=83><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=320><font size="1">OF A PERMANENT NATURE </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42><font size="1"></font></td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">35 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(-) ACQUISITION OF PROPERTY, PLANT
      AND EQUIPMENT </font></td>
    <td valign=bottom align="right" width=83><font size="1">(58,841) </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(9,272) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">36 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">(-) INCREASE IN CONSTRUCTION PROGRESS
      </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">37 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ SALO OF OTHER PERMANENT INVESTMENTS
      </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">38 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+ SALE OF TANGIBLE FIXED ASSETS
      </font></td>
    <td valign=bottom align="right" width=83><font size="1">0 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">0 </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=21 align="right"><font size="1">39 </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=320><font size="1">+(-) OTHER ITEMS </font></td>
    <td valign=bottom align="right" width=83><font size="1">21,419 </font></td>
    <td valign=bottom align="right" width=44>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">(35,545) </font></td>
    <td valign=bottom align="right" width=42>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=5 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=5 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom>&nbsp;</td>
   </tr>
  <tr align="center">
    <td colspan=5 valign=bottom><font size="1"><b>RATIOS </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=5 valign=bottom><font size="1">CONSOLIDATED </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="9">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=285><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">QUARTER OF PRESENT </font></b>
    </td>
    <td valign=bottom colspan="3"><b><font size="1">QUARTER OF PREVIOUS </font></b>
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom width=18><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><b><font size="1">CATEGORIES </font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td valign=bottom colspan="3"><b><font size="1">FINANCIAL YEAR </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">C </font></b></td>
    <td valign=bottom width=285><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">AMOUNT </font></b></td>
  </tr>
  <tr>
    <td valign=bottom width=600 colspan="9">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td valign=bottom width=18><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><b><font size="1">YIELD </font></b></td>
    <td valign=bottom width=89><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=14>&nbsp;</td>
    <td valign=bottom width=49><b></b></td>
    <td valign=bottom width=86><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=13>&nbsp;</td>
    <td valign=bottom width=39><b></b></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">1 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">NET INCOME TO NET SALES </font></td>
    <td valign=bottom align="right" width=89><font size="1">15.52% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">5.59% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">2 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">NET INCOME TO STOCKHOLDERS&#146;
      EQUITY (**) </font></td>
    <td valign=bottom align="right" width=89><font size="1">9.10% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">3.28% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">3 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">NET INCOME TO TOTAL ASSETS (**)
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">7.01% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">2.26% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">4 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CASH DIVIDENDS TO PREVIOUS YEAR
      NET INCOME </font></td>
    <td valign=bottom align="right" width=89><font size="1">0.00% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">0.00% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">5 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">INCOME DUE TO MONETARY POSITION
      TO NET INCOME </font></td>
    <td valign=bottom align="right" width=89><font size="1">-2.21% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">24.88% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1"><b>ACTIVITY </b></font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">6 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">NET SALES TO NET ASSETS (**) </font></td>
    <td valign=bottom align="right" width=89><font size="1">0.45 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;&nbsp;&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.40 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;&nbsp;&nbsp;</td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">7 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">NET SALES TO FIXED ASSETS (**)
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">0.62 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.51 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1"> times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">8 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">INVENTORIES ROTATION (**) </font></td>
    <td valign=bottom align="right" width=89><font size="1">6.62 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">5.25 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">9 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">ACCOUNTS RECEIVABLE IN DAYS OF
      SALES </font></td>
    <td valign=bottom align="right" width=89><font size="1">50 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">days </font></td>
    <td valign=bottom align="right" width=86><font size="1">60 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1">days </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">10 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">PAID INTEREST TO TOTAL LIABILITIES
      WITH COST (**) </font></td>
    <td valign=bottom align="right" width=89><font size="1">79.00% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">8.40% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><b><font size="1">LEVERAGE </font></b></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">11 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">TOTAL LIABILITIES TO TOTAL ASSETS
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">22.91% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">31.16% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">12 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">TOTAL LIABILITIES TO STOCKHOLDERS&#146;
      EQUITY </font></td>
    <td valign=bottom align="right" width=89><font size="1">0.30 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.45 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">13 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">FOREIGN CURRENCY LIABILITIES TO
      TOTAL LIABILITIES </font></td>
    <td valign=bottom align="right" width=89><font size="1">5.96% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">33.51% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">14 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">LONG-TERM LIABILITIES TO FIXED
      ASSETS </font></td>
    <td valign=bottom align="right" width=89><font size="1">0.00% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">0.00% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">15 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">OPERATING INCOME TO INTEREST PAID
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">27.97 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">4.69 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">16 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">NET SALES TO TOTAL LIABILITIES
      (**) </font></td>
    <td valign=bottom align="right" width=89><font size="1">1.97 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1"> times </font></td>
    <td valign=bottom align="right" width=86><font size="1">1.30 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><b><font size="1">LIQUIDITY </font></b></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">17 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CURRENT ASSETS TO CURRENT LIABILITIES
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">2.95 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.99 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">18 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CURRENT ASSETS LESS INVENTORY TO
      CURRENT </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">LIABILITIES </font></td>
    <td valign=bottom align="right" width=89><font size="1">2.37 </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1"> times </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.67 </font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">19 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CURRENT ASSETS TO TOTAL LIABILITIES
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">0.99 </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.52 </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39><font size="1"> times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">20 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CURRENT ASSETS TO CURRENT LIABILITIES
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">108.68% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">12.79% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><b><font size="1">CASH FLOW </font></b></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">21 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CASH FLOW FROM NET INCOME TO NET
      SALES </font></td>
    <td valign=bottom align="right" width=89><font size="1">22.30% </font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">11.71% </font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">22 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CASH FLOW FROM CHANGES IN WORKING
      CAPITAL </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">TO NET SALES </font></td>
    <td valign=bottom align="right" width=89><font size="1">-7.17% </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=86><font size="1">3.29% </font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">23 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">CASH GENERATED (USED) IN OPERATING
      TO </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">INTEREST PAID </font></td>
    <td valign=bottom align="right" width=89><font size="1">23.76 </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=86><font size="1">5.82 </font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">times </font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">24 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">EXTERNAL FINANCING TO CASH GENERATED
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">(USED) IN FINANCING </font></td>
    <td valign=bottom align="right" width=89><font size="1">-1732.49% </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=86><font size="1">221.83% </font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">25 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">INTERNAL FINANCING TO CASH GENERATED
      (USED) </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">IN FINANCING </font></td>
    <td valign=bottom align="right" width=89><font size="1">1832.49% </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=86><font size="1">-121.83% </font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom align="right" width=18><font size="1">26 </font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">ACQUISITION OF PROPERTY, PLANT
      AND EQUIPMENT </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td valign=bottom width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">TO CASH GENERATED (USED) IN INVESTMENT
      </font></td>
    <td valign=bottom align="right" width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7><font size="1">&nbsp;</font></td>
    <td valign=bottom width=285><font size="1">ACTIVITIES </font></td>
    <td valign=bottom align="right" width=89><font size="1">157.24% </font></td>
    <td valign=bottom align="right" width=14><font size="1">&nbsp;</font></td>
    <td valign=bottom width=49><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=86><font size="1">20.69% </font></td>
    <td valign=bottom align="right" width=13><font size="1">&nbsp;</font></td>
    <td valign=bottom width=39><font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=bottom width=600 colspan="9">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td valign=bottom width=18><font size="1">&nbsp;</font></td>
    <td valign=bottom width=7>&nbsp;</td>
    <td valign=bottom width=285><font size="1">&nbsp;</font></td>
    <td valign=bottom width=89><font size="1">&nbsp;</font></td>
    <td valign=bottom width=14>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
  <tr>
    <td colspan=6 valign=bottom><font size="1">(**) IN THESE RATIOS PROVIDE INFORMATION
      FOR THE LAST TWELVE MONTHS. </font></td>
    <td valign=bottom width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=13>&nbsp;</td>
    <td valign=bottom width=39>&nbsp;</td>
  </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE </font></b></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><b><font size="1">SIFIC / ICS </font></b></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1">STOCK EXCHANGE CODE: <b>SIMEC  </b></font></td>
    <td valign=bottom>&nbsp;</td>
    <td valign=bottom align="right"><font size="1">QUARTER: 4 YEAR: <b>2003 </b></font></td>
   </tr>
  <tr>
    <td colspan=2 valign=bottom><font size="1"><b>GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
    <td valign=bottom><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1"><b>DATA PER SHARE </b></font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">CONSOLIDATED </font></td>
   </tr>
  <tr align="center">
    <td colspan=4 valign=bottom><font size="1">(Pesos) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="9">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">REF </font></b></td>
    <td valign=bottom width=288><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">QUARTER OF PRESENT  </font></b>
     </td>
    <td valign=bottom colspan="3"><b><font size="1">QUARTER OF PREVIOUS  </font></b>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=20><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><b><font size="1">CATEGORIES </font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
    <td valign=bottom colspan="3"><b><font size="1">FINANCIAL YEAR  </font></b>
      <hr size="1" noshade width="95%">
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom colspan="2"><b><font size="1">C </font></b></td>
    <td valign=bottom width=288><b><font size="1">&nbsp;</font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">AMOUNT </font></b></td>
    <td valign=bottom colspan="3"><b><font size="1">AMOUNT </font></b></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="9">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">1  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">BASIC PROFIT PER ORDINARY SHARE
      (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$3.63  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">$0.06  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">2  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">BASIC PROFIT PER PREFERENCE SHARE
      (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$0.00  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">$0.00  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">3  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">DILUTED PROFIT PER ORDINARY SHARE
      (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$0.00  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">$0.00  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">4  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">CONTINUOUS OPERATING PROFIT PER
      COMMON </font></td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=288><font size="1">SHARE (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$3.63  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=49><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">$0.06  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=43><font size="1"></font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">5  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">EFFECT OF DISCONTINUED OPERATIONS
      ON </font></td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=288><font size="1">CONTINUOUS OPERATING PROFIT PER
      SHARE (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$0.00  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=49><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">$0.00  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=43><font size="1"></font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">6  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">EFFECT OF EXTRAORDINARY PROFIT
      AND LOSS ON </font></td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=288><font size="1">CONTINUOUS OPERATING PROFIT PER
      SHARE (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$0.00  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=49><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">$0.00  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=43><font size="1"></font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">7  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">EFFECT BY CHANGES IN ACCOUNTING
      POLICIES ON  </font></td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=288><font size="1">CONTINUOUS OPERATING PROFIT PER
      SHARE (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">$0.00  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=49><font size="1"></font></td>
    <td valign=bottom align="right" width=84><font size="1">$0.00  </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=43><font size="1"></font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">8  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">CARRYING VALUE PER SHARE </font></td>
    <td valign=bottom align="right" width=86><font size="1">$36.03  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">$1.73  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">9  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">CASH DIVIDEND ACCUMULATED PER SHARE </font></td>
    <td valign=bottom align="right" width=86><font size="1">$0.00  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">$0.00  </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">10  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">DIVIDEND IN SHARES PER SHARE </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.00 </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49><font size="1">shares </font></td>
    <td valign=bottom align="right" width=84><font size="1">0.00 </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43><font size="1">shares </font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">11  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">MARKET PRICE TO CARRYING VALUE </font></td>
    <td valign=bottom align="right" width=86><font size="1">1.04 </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=84><font size="1">0.31 </font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43><font size="1">times </font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">12  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">MARKET PRICE TO BASIC PROFIT PER
      COMMON SHARE (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">10.33 </font></td>
    <td valign=bottom width=12>&nbsp;&nbsp;&nbsp;</td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=84><font size="1">8.83 </font></td>
    <td valign=bottom width=12>&nbsp;&nbsp;&nbsp;</td>
    <td valign=bottom width=43><font size="1">times </font></td>
   </tr>
  <tr>
    <td valign=bottom align="right" width=20><font size="1">13  </font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">MARKET PRICE TO BASIC PROFIT PER
      PREFERENCE </font></td>
    <td valign=bottom align="right" width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom align="right" width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td valign=bottom width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6><font size="1"></font></td>
    <td valign=bottom width=288><font size="1">SHARE (**) </font></td>
    <td valign=bottom align="right" width=86><font size="1">0.00 </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=49><font size="1">times </font></td>
    <td valign=bottom align="right" width=84><font size="1">0.00 </font></td>
    <td valign=bottom width=12><font size="1"></font></td>
    <td valign=bottom width=43><font size="1">times </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="9">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=20><font size="1">&nbsp;</font></td>
    <td valign=bottom width=6>&nbsp;</td>
    <td valign=bottom width=288><font size="1">&nbsp;</font></td>
    <td valign=bottom width=86><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=49>&nbsp;</td>
    <td valign=bottom width=84><font size="1">&nbsp;</font></td>
    <td valign=bottom width=12>&nbsp;</td>
    <td valign=bottom width=43>&nbsp;</td>
   </tr>
  <tr>
    <td colspan=9 valign=bottom><font size="1">(**) TO CALCULATE THE DATA PER
      SHARE USE THE NET INCOME FOR THE LAST TWELVE MONTHS. </font></td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      YEAR: <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b> FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td><font size=2>s35 Stockholders&#146; Equity:  <BR>Effects of inflation
- - The effects of inflation on stockholders&#146; equity at  December 31, 2003 are as follows: </font></td></tr></table>




<br>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
  <TR VALIGN="BOTTOM">
    <TH COLSPAN="2"><font size="2"></font></TH>
    <TH COLSPAN="2"><font size="2">Historical<BR>
      Cost </font></TH>
    <TH COLSPAN="2"><font size="2">Restated<BR>
      Amount </font></TH>
    <TH COLSPAN="2"><font size="2">Total </font></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD WIDTH="49%" ALIGN="LEFT"><font size="2">Capital stock </font></TD>
    <TD WIDTH="3%" ALIGN="LEFT"><font size="2"></font></TD>
    <TD WIDTH="12%" ALIGN="RIGHT"><font size="2">Ps. 1,925,252 </font></TD>
    <TD WIDTH="5%" ALIGN="LEFT"><font size="2"></font></TD>
    <TD WIDTH="12%" ALIGN="RIGHT"><font size="2">Ps. 1,164,298 </font></TD>
    <TD WIDTH="5%" ALIGN="LEFT"><font size="2"></font></TD>
    <TD WIDTH="12%" ALIGN="RIGHT"><font size="2">Ps. 3,089,550 </font></TD>
    <TD WIDTH="2%" ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">Additional paid-in capital </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">549,517 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">74,007 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">623,524 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">Retained earnings </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">1,291,231 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">472,994 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">1,764,225 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">Excess resulting from restating </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;Stockholders&#146;
      equity to reflect </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;Certain effects of
      inflation </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">&#151;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">105,437 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">105,437 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">Effect deferred income tax </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;Bulletin D-4 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">(662,340 </font></TD>
    <TD ALIGN="LEFT"><font size="2">) </font></TD>
    <TD ALIGN="RIGHT"><font size="2">(165,742 </font></TD>
    <TD ALIGN="LEFT"><font size="2">) </font></TD>
    <TD ALIGN="RIGHT"><font size="2">(828,082 </font></TD>
    <TD ALIGN="LEFT"><font size="2">) </font></TD>
   </TR>
</TABLE>


<p><table width=600><tr><td><font size=2>s39 Premium in subscription of Capital Stock
made in March 29, 2001. </font></td></tr></table>


<p><table width=600><tr><td><font size=2>s44 In 1999, the Mexican Institute of Public
Accountants issued Bulletin D-4,  &#147;Accounting for Income and Asset Taxes and
Employee Profit Sharing&#148;, which is  effective for all fiscal years beginning January
1, 2000. Bulletin D-4  establishes financial accounting and reporting standards for the
effects of  asset tax, income tax and employee profit sharing that result from enterprise
activities during the current and preceding years. Simec&#146;s long-term liabilities
resulting from the adoption of this Bulletin was Ps. 927,859 at December 31,  2003
compared to Ps. 796,759 at December 31, 2002. The effect on Simec&#146;s  consolidated
statement of income in 2003 was a decrease of Ps. 11,628 in the  provision for income tax
and employee profit sharing compared to a decrease of  Ps. 58,968 in 2002. These
provisions do not affect the cash flow of Simec. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>r24 We don&#146;t have interest paid in UDI&#146;s </font></td></tr></table>

<p><table width=600><tr><td><font size=2>r26 We don&#146;t have interest earned in UDI&#146;s </font></td></tr></table>

<p><table width=600><tr><td><font size=2>c02 Consolidated Statements of Changes in
Financial Position </font></td></tr></table>

<p><table width=600><tr><td><font size=2>The net loss in money exchange and net profit in
liabilities actualization are  as follows: </font></td></tr></table>



<br>
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td width="293">&nbsp;</td>
    <td width="37">&nbsp;</td>
    <td width="28"><font size="2">&nbsp;&nbsp;</font></td>
    <td align="center" width="83"><font size="2"><b>December 31, <br>
      2003  </b> </font></td>
    <td align="center" width="15">&nbsp;</td>
    <td align="center" width="23">&nbsp;</td>
    <td align="center" width="26"><font size="2">&nbsp;&nbsp;</font></td>
    <td align="center" width="84"><font size="2"><b>December 31, <br>
      2002  </b></font></td>
    <td width="11">&nbsp;</td>
   </tr>
  <tr>
    <td width="293"><font size="2">Net loss (profit) in money exchange </font></td>
    <td width="37">&nbsp;</td>
    <td width="28"><font size="2">Ps. </font></td>
    <td align="right" width="83"><font size="2">5,527 </font></td>
    <td width="15">&nbsp;</td>
    <td width="23">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td>
    <td width="26"><font size="2">Ps. </font></td>
    <td align="right" width="84"><font size="2">73,253 </font></td>
    <td width="11">&nbsp;</td>
   </tr>
  <tr>
    <td width="293"><font size="2">Net loss (profit) in liabilities actualization
      </font></td>
    <td width="37">&nbsp;</td>
    <td width="28">&nbsp;</td>
    <td align="right" width="83"><font size="2">(13,702 </font></td>
    <td width="15"><font size="2">) </font></td>
    <td width="23">&nbsp;</td>
    <td width="26">&nbsp;</td>
    <td align="right" width="84"><font size="2">(47,792 </font></td>
    <td width="11"><font size="2">) </font></td>
   </tr>
  <tr>
    <td width="293">&nbsp;</td>
    <td width="37">&nbsp;</td>
    <td width="28">&nbsp;</td>
    <td width="83">&nbsp;</td>
    <td width="15">&nbsp;</td>
    <td width="23">&nbsp;</td>
    <td width="26">&nbsp;</td>
    <td width="84">&nbsp;</td>
    <td width="11">&nbsp;</td>
   </tr>
</table>
<p>&nbsp;</p><table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 6; page: 6" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>DIRECTOR REPORT (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 1 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><table width=600><tr><td  align=center><font size=2>INFORMATION CONCERNING LIQUIDITY
AND CAPITAL RESOURCES AND DEBT OBLIGATIONS <BR>WITH BANKS AND COMMERCIAL CREDITORS </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Liquidity and Capital Resources </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>At December 31, 2003, Simec&#146;s total consolidated
debt consisted of approximately  $2.0 million of U.S. dollar-denominated debt, while at
December 31, 2002, Simec  had outstanding approximately $47.8 million of U.S.
dollar-denominated debt  (including $14.4 million of debt owed to its parent company
Industrias CH, S.A.  de C.V.) (&#147;ICH&#148;). Simec&#146;s lower debt level at December 31,
2003 reflected (i)  the prepayment of $30 million of bank debt in 2003 (Simec financed
$16.2 million  of this prepayment with loans from ICH), (ii) the semi-annual amortization
installments on its bank debt of $1.4 million in 2003, (iii) the conversion to  common
stock in March 2003 of $16.1 million of loans (plus accrued interest  thereon) from ICH
at a conversion price equivalent to U.S. $1.35 (Ps.14.588) per  American Depositary Share
and (iv) the conversion to common stock in November  2003 of a capital contribution from
ICH made to Simec in May 2003, in the amount  of $14.5 million (the proceeds of which
were used to retire debt owed to ICH) at  a conversion price equivalent to U.S $1.41 (Ps.
14.588) per American Depositary  Share. Simec&#146;s outstanding $1.7 million of bank debt at
December 31, 2003  consisted of (i) $0.2 million which matures in 2007 and amortizes in
equal  semi-annual installments and (ii) $1.5 million which matures in 2009 and has no
amortization payments. In addition Simec had outstanding $302,000 of 8 7/8%  MTN&#146;s due
1998 (accrued interest at December 31, 2003 was $254,860) which were  issued in 1993 as
part of a $68 million issuance. At December 31, 2003 Simec  owed no debt to ICH. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>In December 2003 Simec acquired Administradora
de Cartera de Occidente, S.A. de  C.V. (&#147;Acosa&#148;) from ICH for nominal
consideration. Acosa&#146;s sole assets are a  portfolio of defaulted receivables it acquired
in June 2003 from various Mexican  banks which are in the process of liquidation. The
purchase price of the  portfolio was Ps. 10.3 million, which amount is payable by Acosa
solely from  recoveries if any, net of expenses of collection, with respect to the
defaulted  receivables; upon payment of the purchase price from recoveries on the
portfolio, Acosa and the Mexican banks will share in any additional recoveries,  net of
expenses of collection, on a 50%/50% basis. The principal amount of the  defaulted
receivables in the portfolio acquired is approximately Ps. 1,734  million. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>At December 31, 2003, Compa&#241;ia Sider&#250;rgica
de Guadalajara, S.A. de  C.V. (&#147;CSG&#148;) was not in compliance with various
financial covenants contained in  its bank loan instruments pursuant to which Simec&#146;s
$1.7 million of bank debt is  outstanding. In accordance with Mexican generally accepted
accounting  principles, Simec&#146;s long term bank debt has been reclassified as current
liabilities. This noncompliance results from intercompany debt owed from CSG to  its
parent company Simec. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>In February 2003, Simec effected a 1 for 20
reverse split of its Series B common  stock; as a result its American Depositary Shares
now represent 1 share of  Series B Common Stock. In March 2003, ICH converted
approximately $16.1 million  of loans to Simec plus accrued interest thereon (which loans
were made to fund  the prepayment of Simec bank debt) into common shares of Simec at a
conversion  price equivalent to U.S. $1.35 per American Depositary Share. On October 2,
2003, certain minority shareholders of Simec exercised their pre-emptive rights  arising
as a result of the conversion of ICH debt to purchase capital stock for  Ps. 19.4 million
at the price per share of Ps. 14.588 (the equivalent of U.S.  $1.35 per American
Depositary Share). In November 2003, ICH converted into  common shares of Simec the
capital contribution to Simec made in May 2003, in  the amount of $14.5 million (the
proceeds of which were used to retire debt owed  to ICH) for capital stock to be issued
in the fourth quarter of 2003, at a  conversion price equivalent to U.S $1.41 (Ps.
14.588) per American Depositary  Share. The minority shareholders of Simec could exercise
their pre-emptive  rights arising as a result of the conversion of ICH for capital
contribution to  Simec made in May 2003 to purchase Series B Common Stock at the price
share of </font></td></tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 7; page: 7" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      YEAR: <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>DIRECTOR REPORT (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 1 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td><font size=2>Ps. 14.588 when the Comisi&#243;n Nacional
Bancaria y de Valores approves the  actualization of the capital stock of Simec. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Net resources provided by operations were Ps.
422 million in 2003 (which amount  reflects the conversion of loans of ICH into common
shares of Simec for Ps. 184  million) versus Ps. 329 million of net resources provided in
operations in 2002.  Net resources provided by financing activities were Ps. 19 million
in 2003  (which amount reflects the semi-annual amortization installments on its bank
debt of Ps. 15 million ($1.4 million), the prepayment of Ps. 322 million ($30  million)
of bank debt, the conversion by ICH of Ps. 184 million of loans (plus  accrued interest
thereon) into common shares, the increase of the capital stock  by the minority
shareholders for Ps. 19 million and the conversion into common  shares of the capital
contribution from ICH to Simec in the amount of Ps. 151  million ($14.5 million) in
November 2003 versus Ps. 239 million of net resources  used by financing activities in
2002 (which amount reflects the semi-annual  amortization installments on its bank debt
of Ps. 69 million ($6.7 million), the  prepayment of Ps. 500 million ($48 million) of
bank debt, the conversion by ICH  of Ps. 263 million of loans into common shares and the
exercise by certain  minority shareholders of their pre-emptive rights arising as a
result of the  conversion of ICH debt to purchase capital stock for Ps. 28 million). Net
resources used in investing activities (to acquire property, plant and equipment  and
other non-current assets) were Ps. 37 million in 2003 versus net resources  used in
investing activities of Ps. 45 million in 2002. </font></td></tr></table>

<p><table width=600><tr><td  align=center><font size=2>MANAGEMENT&#146;S DISCUSSION AND
ANALYSIS OF FINANCIAL CONDITION  <BR>AND RESULTS OF OPERATIONS </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Year Ended December 31, 2003 compared to Year
Ended December 31, 2002 </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Net Sales </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Net sales of Simec increased 27% to Ps. 2,787
million in 2003 compared to Ps.  2,197 million in 2002. Sales in tons of basic steel
products increased 3% to  628,243 tons in 2003 compared to 609,202 tons in 2002. Exports
of basic steel  products were 80,744 tons in 2003 versus 80,179 tons in 2002.
Additionally,  Simec sold 63,616 tons of billet in 2003 compared to 23,137 tons of billet
in  2002. The average price of steel products increased 18% in real terms in 2003  versus
2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Direct Cost of Sales </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s direct cost of sales increased 24% to
Ps. 1,828 million in 2003  compared to Ps. 1,470 million in 2002. Direct cost of sales as
a percentage of  net sales decreased to 66% in 2003 from 67% in 2002. The average cost of
raw  materials used to produce steel products increased 14% in real terms in 2003  versus
2002 primarily as a result of increases in the price of scrap,  electricity and gas. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Marginal Profit </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s  marginal  profit  increased  32% to Ps.
959  million in 2003  compared  to Ps. 727  million in 2002.  As a  percentage of net
sales, marginal profit was 34% in 2003 compared to 33% in 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Indirect Manufacturing, Selling, General And
Administrative Expenses </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Indirect  manufacturing,  selling,  general,
and  administrative  expenses  (which  include  depreciation  and  amortization)
increased  0.2% to Ps. 462 million in 2003 from Ps. 461 million in 2002;  Simec recorded
an increase  of Ps. 18 million in depreciation  and  amortization  expense which in 2003
was Ps. 180 million compared to Ps. 162  million in 2002. </font></td></tr></table>





<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 8; page: 8" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      YEAR: <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>DIRECTOR REPORT (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 1 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td><font size=2><I>Operating Income </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s  operating income  increased 87% to Ps.
497 million in 2003 compared to Ps. 266 million in 2002.  Operating  income was 18% of
net sales in 2003 and 12% of net sales in 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Financial Income (Expense) </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec recorded financial expense in 2003 of Ps.
25 million compared to financial  expense of Ps. 129 million in 2002. Simec recorded an
exchange loss of  approximately Ps. 2 million in 2003 compared to an exchange loss of Ps.
104  million in 2002, reflecting the 9% decrease in the value of the peso versus the
dollar in 2003 versus a decrease of 12.8% in the value of the peso versus the  dollar in
2002 and lower debt levels in 2003. Net interest expense was Ps. 13  million in 2003
versus Ps. 56 million in 2002 reflecting a lower amount of debt  outstanding during 2003.
Simec recorded a loss from monetary position of Ps. 10  million in 2003 compared to a
gain from monetary position of Ps. 31 million in  2002, reflecting the domestic inflation
rate of 4% in 2003 as compared to 5.7%  in 2002 and lower debt levels during 2003. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Other Income (Expense), Net </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec recorded other expense, net, of Ps. 18
million in 2003 (reflecting (i) a  reserve of Ps. 11 million relating to the clean-up of
contaminated land at the  Pacific Steel facilities, (ii) a reserve of Ps. 9 million
relating to the  realizable value of idle machinery and equipment and (iii) other income,
net  related to other financial operations of Ps. 2 million) compared to other  expense,
net, of Ps. 37 million in 2002 (reflecting (i) other income relating to  tax benefits
associated with the acquisition of machinery and equipment made in  2001 of Ps. 6
million, (ii) a gain of Ps. 2 million in respect of $200,000  principal amount of Simec&#146;s
MTNs which were acquired at 50% of the principal  amount thereof, without provision for
accrued interest, and were subsequently  cancelled, (iii) income of Ps. 3 million
relating to insurance payments received  in respect of the breakdown of the scrap
shredder machine at the Mexicali  mini-mill, (iv) expenses relating to an adjustment in
the value of the land of  its subsidiary Pacific Steel of Ps. 21 million, (v) expenses of
Ps. 2 million  for fees relating to obtaining the approval of the Comisi&#243;n Nacional
Bancaria y de Valores to increase the capital stock of Simec, (vi) a reserve of  Ps. 10
million relating to the realizable value of idle machinery and equipment,  (vii) a
reserve of Ps. 8 million relating to the clean-up of contaminated land  at the Pacific
Steel facilities and (viii) expenses related to other financial  operations of Ps. 7
million). </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Income Tax and Employee Profit Sharing </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec recorded a provision of Ps. 21 million for
income tax and employee profit  sharing in 2003 (including a decrease in the provision of
Ps. 12 million from  the application of Bulletin D-4 with respect to deferred income tax
described  below) compared to a positive provision of Ps. 23 million in 2002 (including a
decrease in the provision of Ps. 59 million from the application of Bulletin D-4  with
respect to deferred income tax described below). </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Net Income </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>As a result of the  foregoing,  Simec  recorded
net income of Ps. 433 million in 2003 compared to net income of Ps.  123 million in 2002. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><I>Recent Pronouncements Applicable to Mexican
GAAP </I></font></td></tr></table>

<p><table width=600><tr><td><font size=2>In 1999, the Mexican Institute of Public
Accountants issued Bulletin D-4,  &#147;Accounting for Income and Asset Taxes and
Employee Profit Sharing&#148;, which is  effective for all fiscal years beginning January
1, 2000. Bulletin D-4  establishes financial accounting and reporting standards for the
effects of  asset tax, income tax and employee profit sharing that result from enterprise
activities during the current and preceding years. Simec&#146;s long-term liabilities
resulting from the adoption of this Bulletin was Ps. 928 million at December 31,  2003
compared to Ps. 797 million at December 31, 2002. The effect on Simec&#146;s  consolidated
statement of income in 2003 was a decrease of Ps. 12 million in the  provision for income
tax and employee profit sharing compared to a decrease of  Ps. 59 million in 2002. These
provisions do not affect the cash flow of Simec. </font></td></tr></table>



<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 9; page: 9" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><table width=600><tr><td><font size=2><B>(1) Operations preparation bases and summary
of significant accounting policies: </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>Grupo Simec, S.A. de C.V. and its Subsidiaries
(&#147;the Company&#148;) are subsidiaries  of Industrias CH, S.A. de C.V.
(&#147;ICH&#148;), and their main activities consist of the  manufacturing and sale of
steel products primarily destined for the construction  sector of Mexico and other
countries. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Significant accounting policies and practices
followed by the Companies which  affect the principal captions of the financial
statements are described below: </font></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>a. Financial statement presentation - </B> The
consolidated financial statements have been prepared in accordance with principles
generally accepted in Mexico, which include the recognition of the effects of inflation
on the financial information and the presentation in constant Mexican pesos. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>b. Principles of Consolidation - </B> As part of the
financial debt restructuring agreement into during 1997, Compa&#241;&#237;a Sider&#250;rgica
de Guadalajara, S.A. de C.V. (&#147;CSG&#148;) assumed all of the debt of the Company in
return for an equity interest in its subsidiaries. As a result of the above, the Company
is the principal shareholder of CSG, and CSG is the principal shareholder of the other
subsidiaries that Grupo Simec, S.A. de C.V. (&#147;Simec&#148;) controlled before the
restructuring. </FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>The main subsidiaries of CSG are the following: </font></td></tr></table>

<table width=600>
  <tr align="left" valign="top">
    <td width=3%><font size=3>&#149;</font></td>
    <td width=97% colspan="3"><font size=2>Compa&#241;&#237;a Sider&#250;rgica
      de California, S.A. de C.V. </font></td>
   </tr>
</table>

<table width=600>
  <tr align="left" valign="top">
    <td width=3%><font size=3>&#149;</font></td>
    <td width=97% colspan="3"><font size=2>Industrias del Acero y del Alambre,
      S.A. de C.V. </font></td>
   </tr>
</table>

<table width=600>
  <tr align="left" valign="top">
    <td width=3%><font size=3>&#149;</font></td>
    <td width=97% colspan="3"><font size=2>Pacific Steel Inc. </font></td>
   </tr>
</table>

<p><table width=600><tr><td><font size=2>All significant intercompany balances and
transactions have been eliminated in  consolidation. </font></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>c. Cash and cash equivalents - </B> The Company
considers short-term investments with original maturities not greater than three months
to be cash equivalent. Cash equivalents includes temporary investments and Mexican
Government Treasury Bonds, and are stated at market value, which approximates cost plus
earned interest. Any increase in market value is credited to operations for the period. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>d. Inventories - </B> The inventories are originally
stated at average cost and subsequently adjusted to replacement value at the balance
sheet date. The replacement values do not exceed market and are determined as follows: </FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>Billet finished goods and work in process - At
the latest production cost for  the month. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Raw materials - According to purchase prices
prevailing in the market at the  balance sheet date. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>Materials, supplies and rollers - At historical
cost, restated by applying the  steel industry inflation index. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>The Company presents as non-current inventories
the rollers and spare parts,  which according to historical data and production trends
will not be used within  a one-year period. </font></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>e. Property, plant and equipment - </B> Property,
plant and equipment of domestic origin are restated by using factors derived from The
National Consumer Price Index (&#147;NCPI&#148;) from the date of their acquisition, and
imported machinery and equipment are restated by applying devaluation and inflation
factors of the country of </FONT></td></tr></table>





<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 10; page: 10" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td><font size=2>origin. Depreciation recorded in the
consolidated statement of income  (loss) is computed based upon the estimated useful life
and the restated cost of  each asset. In addition, Financial expense incurred during the
construction  period is capitalized as construction in progress. The capitalized amounts
are  restated using a factor derived from the NCPI cumulative from the date of
capitalization through period-end and are amortized over the average  depreciation period
of the corresponding assets. The estimated useful lives of  assets as of December 31,
2003 are as follows: </font></td></tr></table>

<p>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="500">
  <TR VALIGN="BOTTOM">
    <TH width="13%"></TH>
    <TH width="71%"></TH>
    <TH width="16%"></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD WIDTH="13%" ALIGN="LEFT">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD WIDTH="71%" ALIGN="LEFT"><font size="2"></font></TD>
    <TD WIDTH="16%" ALIGN="LEFT"><font size="2"><U>Years </U></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD WIDTH="13%" ALIGN="LEFT">&nbsp;</TD>
    <TD WIDTH="71%" ALIGN="LEFT"><font size="2">Buildings </font></TD>
    <TD WIDTH="16%" ALIGN="LEFT"><font size="2">15 to 50 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="13%">&nbsp;</TD>
    <TD ALIGN="LEFT" width="71%"><font size="2">Machinery and equipment </font></TD>
    <TD ALIGN="LEFT" width="16%"><font size="2">10 to 40 </font></TD>
   </TR>
</TABLE>

<p><table width=600><tr><td><FONT SIZE="2"><B>f. Other assets - </B> Organization and pre-operating
expenses are capitalized and restated using a factor derived from the NCPI cumulative
from the date of generation through period-end, and their amortization is calculated by
the straight-line method over a period of 20 years. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>g. Seniority premiums and severance payments - </B>
According to Federal Labor Law, employees are entitled to seniority premiums after
fifteen years or more of services. These premiums are recognized as expenses in the
years in which the services are rendered, using actuarial calculations based on the
projected unit credit method, and since 1996 by applying real interest and salary
increases. </FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>Any other payments to which employees may be
entitled in case of separation,  disability or death, are charged to operations in the
period in which they  become payable. </font></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>h. Pension plan - </B> Until 1995, the Company
provided pension benefits for all personnel with a minimum of 10 years of service and 35
years of age. The Company had established an irrevocable trust for its contributions,
which were based on actuarial calculations. In December 1995, the board of directors of
the Company, in agreement with the trade union, discontinued these benefits and related
contributions to the trust fund. This decision was made because of the new Mexican
pension fund system, Administradoras de Fondos para el Retiro, which establishes similar
benefits for the employees. The balance of the trust fund will be applied to the
retirement benefits of qualifying employees until the fund is exhausted due to the
irrevocable status of the fund. </FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>The Company does not have any contractual
obligation regarding the payment of  pensions of retirements. </font></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>i. Cost of sales - </B> Cost of sales related to
sales of inventory items is recorded at standard cost, which approximates the
replacement cost at the date of sale. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>j. Income tax and employee profit sharing - </B> In
1999, the Mexican Institute of Public Accountants issued Bulletin D-4, &#147;Accounting
for Income and Asset Taxes and Employee Profit Sharing&#148;, which is effective for all
fiscal years beginning January 1, 2000. Bulletin D-4 establishes financial accounting
and reporting standards for the effects of asset tax, income tax and employee profit
sharing that result from enterprise activities during the current and preceding years. </FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>The Company and its subsidiaries are included in
the consolidated tax returns of  the company&#146;s parent. </font></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>k. Foreign currency transactions and exchange
differences - </B> All transactions in foreign currency are recorded at the exchange rates
prevailing on the date of their execution or liquidation. Foreign currency denominated
assets and liabilities are translated at the exchange rates prevailing at the balance
sheet date. Any </FONT></td></tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 11; page: 11" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td><font size=2>exchange differences incurred with regard to
assets or liabilities  denominated in foreign currency are charged to operations of the
period and are  included in financial income (expense) in the accompanying consolidated
statements of income (loss). </font></td></tr></table>

<p><table width=600><tr><td><font size=2>The financial statements of foreign subsidiaries
are translated into Mexican  pesos in conformity with Bulletin B-15 &#147;Transactions in
Foreign Currency and  Translation of Financial Statements of Foreign Operations&#148;.
All foreign  subsidiaries are considered to be &#147;integrated foreign operations&#148;,
as defined in  Bulletin B-15, and accordingly such financial statements were translated
as  follows: </font></td></tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2">Monetary items at the exchange rate at the balance
      sheet date. </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2"> Non-monetary items and stockholders&#146; equity
      at the exchange rate prevailing at the date the transactions occurred. </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2">Income and expense items at an appropriate average
      exchange rate. </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2"> The resulting foreign currency translation differences
      are included in the financial income (expense) in the statement of income
      (loss). </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2"> All resulting Mexican peso amounts are restated
      for the effects of inflation in accordance with the dispositions of Bulletin
      B-10 using the NCPI, where such effects are considered significant. </font></td>
   </tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>l. Geographic concentration of credit risk - </B> The
Company sells its products primarily to distributors for the construction industry with
no specific geographic concentration. Additionally, no single customer accounted for a
significant amount of the Company&#146;s sales, and there were no significant accounts
receivable from a single customer or affiliate at December 31, 2003 and 2002. The
Company performs evaluations of its customers&#146; credit histories and establishes and
allowance for doubtful accounts based upon the credit risk of specific customers and
historical trends. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>m. Other income (expenses) - </B> Other income
(expenses) shown in the consolidated statements of operations primarily includes other
financial operations. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>n. Gain on monetary position - </B> The gain on
monetary position in the consolidated statements of income (loss) is determined by
applying to net monetary assets or liabilities at the beginning of each month the factor
of inflation derived from the NCPI and is restated at period-end with the corresponding
factor. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>o. Restatement of capital stock and retained
earnings (losses) - </B> This is determined by multiplying capital stock contributions and
retained earnings (losses) by factors derived from the NCPI, which measure the
cumulative inflation from the date when capital stock contributions were made and
earnings (losses) were generated, through the latest period-end. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>p. Effect of restatement of stockholders&#146; equity
- - </B> The effect resulting from restating stockholders&#146; equity includes the accumulated
effect from holding non-monetary assets, which represents the change in the specific
price level of those assets compared to the change in the NCPI. </FONT></td></tr></table>

<p><table width=600><tr><td><FONT SIZE="2"><B>(2) Financial Debt: </B></FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>At December 31, 2003, Simec&#146;s total consolidated
debt consisted of approximately  $2.0 million of U.S. dollar-denominated debt, while at
December 31, 2002, Simec  had outstanding approximately $47.8 million of U.S.
dollar-denominated debt  (including $14.4 million of debt owed to its parent company
Industrias CH, S.A.  de C.V.) (&#147;ICH&#148;); Simec&#146;s lower debt level at December 31,
2003 reflected the  prepayment of $30 million of bank debt in 2003 (Simec financed $16.2
million of  this prepayment with loans from ICH), the semi-annual amortization
installment  on its bank debt of $1.4 million in May and November 2003, the conversion to </font></td></tr></table>






<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 12; page: 12" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td><font size=2>common stock in March 2003 of $16.1 million of
loans (plus accrued interest  thereon) from ICH at a conversion price equivalent to U.S.
$1.35 (Ps.14.588) per  American Depositary Share and the conversion to common stock in
November 2003 of  a capital contribution from ICH made to Simec in May 2003, in the
amount of  $14.5 million (the proceeds of which were used to retire debt owed to ICH) at
a  conversion price equivalent to U.S $1.41 (Ps. 14.588) per American Depositary  Share.
Simec&#146;s remaining outstanding $1.7 million of bank debt consisted of (i)  $0.2 million
which matures in 2007 and amortizes in equal semi-annual  installments and (ii) $1.5
million which matures in 2009 and has no amortization  payments. In addition Simec had
outstanding $302,000 of 8 7/8% MTN&#146;s due 1998  (accrued interest at December 31, 2003 was
$254,860) which were issued in 1993  as part of a $68 million issuance. At December 31,
2003 Simec owed no debt to  ICH. </font></td></tr></table>

<p><table width=600><tr><td><font size=2><B>(3) Commitments and contingent liabilities: </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>a. Pacific Steel, Inc. (a wholly-owned
subsidiary located in the U.S.A.) has  been named in various claims and suits relating to
the generation, storage,  transport, disposal and cleanup of materials classified as
hazardous waste. The  Company has accrued approximately Ps. 18,665 (U.S. $1,661,182) at
December 31,  2003, (included in accrued liabilities) relating to these actions; the
reduction  of this reserve from previous levels reflects clean-up activities undertaken
by  Simec. Management believes the ultimate liability with respect to this matter  will
not exceed the amounts that have been accrued. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>b. The Company is subject to various other legal
proceeding and claims, which  have arisen, in the ordinary course of its business. It is
the opinion of  management that their ultimate resolution will not have a material
adverse  effect on the Company&#146;s consolidated financial position or consolidated results
of operations. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>c. Compa&#241;&#237;a Sider&#250;rgica de
Guadalajara, S.A. de C.V. has entered  into a gas and liquid oxygen purchase agreement
with Praxair de M&#233;xico,  S.A. de C.V., under which it is committed to acquire
monthly over a fifteen-year  period beginning January 1, 1989, a certain amount of
product. At present  required purchases amount to Ps. 1,644 per month. </font></td></tr></table>




<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 13; page: 13" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>RELATIONS OF SHARES INVESTMENTS </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 3 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="640">
  <TR VALIGN="BOTTOM">
    <TH></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="top"><font size="1">COMPANY NAME (1) </font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1">MAIN <br>
      ACTIVITIES </font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1">NUMBER OF <br>
      SHARES </font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1">OWNERSHIP (2) </font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom" colspan="3"><font size="1"></font><font size="1"></font><font size="1">TOTAL
      AMOUNT <br>
      (Thousands of Pesos)  </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1">SUBSIDIARIES </font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1">ACQUISITION <br>
      COST </font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1"></font></TD>
    <TD ALIGN="center" valign="bottom"><font size="1">PRESENT <br>
      VALUE (3) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1">2 CIA. SIDERURGICA DE <br>
      &nbsp;&nbsp;&nbsp;GUADALAJARA </font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">MINI-MILL </font></TD>
    <TD ALIGN="LEFT" valign="bottom"><font size="1">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">474,393,215 </font></TD>
    <TD ALIGN="LEFT" valign="bottom"><font size="1">&nbsp;&nbsp;&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">99.99 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="right" valign="bottom"><font size="1">38,359 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">2,242,609 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1">2 CIA. SIDERURGICA DE <br>
      &nbsp;&nbsp;&nbsp;CALIFORNIA  </font></TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">MINI-MILL </font></TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">504,816 </font></TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">0.04 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom"><font size="1">505 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">1,188 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1">ADMINISTRADORA DE CARTERA
      DE <br>
      OCCIDENTE </font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">49,999 </font></TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">99.99 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom"><font size="1">50 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">-15 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1"><b>TOTAL INVESTMENT IN SUBSIDIARIES </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom"><font size="1"><b>38,914 </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1"><b>2,243,782 </b></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1"><b>ASSOCIATEDS </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">0 </font></TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">0.00 </font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom"><font size="1"><b>0 </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1"><b>TOTAL INVESTMENT IN <br>
      ASSOCIATEDS </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom"><font size="1"><b>0 </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1"><b>OTHER PERMANENT INVESTMENTS </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom"><font size="1"><b>TOTAL </b></font></TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="LEFT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="right" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom">&nbsp;</TD>
    <TD ALIGN="RIGHT" valign="bottom"><font size="1"><b>2,243,782 </b></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="bottom" colspan="10">
      <hr size="1" noshade>
     </TD>
   </TR>
</TABLE>


<p><table width=600><tr>
    <td><font size=2>NOTES </font></td>
   </tr></table>




<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 14; page: 14" -->
<p><br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="right">
    <td colspan=2 valign=bottom align="left"><font size="1">STOCK EXCHANGE CODE:
      <b>SIMEC  </b></font></td>
    <td valign=bottom colspan="3" align="center"><font size="1"><b>MEXICAN STOCK
      EXCHANGE </b></font></td>
    <td valign=bottom width="198"><font size="1"><b>QUARTER: 4 YEAR: 2003 </b></font></td>
   </tr>
  <tr align="right">
    <td colspan=2 valign=bottom align="left"><font size="1"><b>GRUPO SIMEC, S.A.
      DE C.V. </b></font></td>
    <td valign=bottom colspan="3" align="center"><font size="1">ANNEX 05  </font></td>
    <td valign=bottom width="198">&nbsp;</td>
   </tr>
  <tr align="right">
    <td colspan=2 valign=bottom align="left">&nbsp;  </td>
    <td valign=bottom colspan="3" align="center"><font size="1">CREDITS BREAK
      DOWN </font></td>
    <td valign=bottom width="198"><font size="1">&nbsp;</font></td>
   </tr>
  <tr align="center">
    <td colspan=6 valign=bottom>&nbsp;&nbsp;</td>
   </tr>
  <tr align="center">
    <td colspan=6 valign=bottom><font size="1">(THOUSANDS OF PESOS) </font></td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="5" align="right"><font size="1">CONSOLIDATED </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=350>&nbsp;</td>
    <td valign=bottom width=73>&nbsp;</td>
    <td valign=bottom width=59>&nbsp;</td>
    <td valign=bottom colspan="2"><font size="1">Demoninated in <br>
      Pesos  </font>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=350 rowspan="2">
      <p><font size="1">Credit <br>
        Type /<br>
         </font><font size="1">Institution </font></p>
     </td>
    <td valign=bottom width=73 rowspan="2"><font size="1">Amortization <br>
      Date </font></td>
    <td valign=bottom width=59 rowspan="2"><font size="1">Rate of<br>
      Interest </font></td>
    <td valign=bottom width=62 rowspan="2"><font size="1">Until 1 <br>
      Year </font></td>
    <td valign=bottom width=56 rowspan="2"><font size="1">More Than </font><font size="1"><br>
      1 Year </font></td>
   </tr>
  <tr align="center">
    <td></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><b><font size="1">BANKS </font></b></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=350><b><font size="1">WITH WARRANTY </font></b></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">BANCO BILBAO VIZCAYA </font></td>
    <td valign=bottom align="center" width=73><font size="1">11/15/2009 </font></td>
    <td valign=bottom align="center" width=59><font size="1">5.81 </font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">BANCO BILBAO VIZCAYA </font></td>
    <td valign=bottom align="center" width=73><font size="1">11/15/2007 </font></td>
    <td valign=bottom align="center" width=59><font size="1">5.81 </font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1"><b>TOTAL BANKS </b></font></td>
    <td valign=bottom align="center" width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom align="center" width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">0 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">LISTED IN THE MEXICAN </font></td>
    <td valign=bottom align="center" width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom align="center" width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">STOCK EXCHANGE </font></td>
    <td valign=bottom align="center" width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom align="center" width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">UNSECURED DEBT </font></td>
    <td valign=bottom align="center" width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom align="center" width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">MEDIUM TERM NOTES </font></td>
    <td valign=bottom align="center" width=73><font size="1">12/15/1998 </font></td>
    <td valign=bottom align="center" width=59><font size="1">9.33 </font></td>
    <td valign=bottom align="right" width=62><font size="1">0 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1"><b>TOTAL STOCK EXCHANGE </b></font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">0 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">SUPPLIERS </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">VARIOUS </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">171,683 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1"><b>TOTAL SUPPLIERS </b></font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">171,683 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">AND OTHER CREDITS </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">VARIOUS </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">160,431 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">160,431 </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=350><font size="1">AND OTHER CREDITS </font></td>
    <td valign=bottom width=73><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=350 height="13"><font size="1"><b>TOTAL GENERAL </b></font></td>
    <td valign=bottom width=73 height="13"><font size="1">&nbsp;</font></td>
    <td valign=bottom width=59 height="13"><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=62 height="13"><font size="1">332,114 </font></td>
    <td valign=bottom align="right" width=56 height="13"><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="5">
      <hr size="1" noshade>
     </td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="7" align="right"><font size="1">CONSOLIDATED </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=258><font size="1"></font></td>
    <td valign=bottom colspan="6"><font size="1">Amortization of Credits in Fireign
      Currency With Foregn Entities (Thousand of Pesos)  </font>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=258>&nbsp;</td>
    <td valign=bottom colspan="6"><font size="1">Time Interval  </font>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=258 rowspan="3">
      <p><font size="1">Credit <br>
        Type /<br>
         </font><font size="1">Institution  </font><font size="1">&nbsp;</font><font size="1">&nbsp;</font></p>
     </td>
    <td valign=bottom width=57 rowspan="3"><font size="1">Current  </font><font size="1"><br>
      Year  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom width=55 rowspan="3"><font size="1">Until 1  </font><font size="1"><br>
      Year  </font></td>
    <td valign=bottom width=55 rowspan="3"><font size="1">Until 2  </font><font size="1"><br>
      Years  </font></td>
    <td valign=bottom width=74 rowspan="3"><font size="1">Until 3  </font><font size="1"><br>
      Years  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom width=48 rowspan="3"><font size="1">Until 4  </font><font size="1">Years
       </font><font size="1">&nbsp;</font></td>
    <td valign=bottom width=53 rowspan="3"><font size="1">Until 5  </font><font size="1">Years
      or  </font><font size="1">More  </font></td>
   </tr>
  <tr align="center">
    <td></td>
   </tr>
  <tr align="center">
    <td></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><b><font size="1">BANKS </font></b></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=258><b><font size="1">WITH WARRANTY </font></b></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">BANCO BILBAO VIZCAYA </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">16,421 </font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">BANCO BILBAO VIZCAYA </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">2,657 </font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7" height="20">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1"><b>TOTAL BANKS </b></font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">19,078 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">LISTED IN THE MEXICAN </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">STOCK EXCHANGE </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">UNSECURED DEBT </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">MEDIUM TERM NOTES </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1"><b>TOTAL STOCK EXCHANGE </b></font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">SUPPLIERS </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">VARIOUS </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">13,032 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1"><b>TOTAL SUPPLIERS </b></font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">13,032 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">AND OTHER CREDITS </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">VARIOUS </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">135 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">135 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1">AND OTHER CREDITS </font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=258><font size="1"><b>TOTAL GENERAL </b></font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">32,245 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td valign=bottom width=600 colspan="7" align="right"><font size="1">CONSOLIDATED </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=257><font size="1"></font></td>
    <td valign=bottom colspan="6"><font size="1">Amortization of Credits in Fireign
      Currency With Foreing Entities (Thousand of Pesos  </font>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom width=257>&nbsp;</td>
    <td valign=bottom colspan="6"><font size="1">Time Interval  </font>
      <hr size="1" noshade>
     </td>
   </tr>
  <tr align="center">
    <td valign=bottom rowspan="3" width=257>
      <p><font size="1">Credit <br>
        Type /<br>
         </font><font size="1">Institution </font></p>
     </td>
    <td valign=bottom height="16" rowspan="3" width=56><font size="1">Current </font>
      <font size="1"><br>
      Year  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom rowspan="3" width=57><font size="1">Until 1  </font><font size="1"><br>
      Year  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom rowspan="3" width=55><font size="1">Until 2  </font><font size="1"><br>
      Years  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom rowspan="3" width=74><font size="1">Until 3  </font><font size="1"><br>
      Years  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom rowspan="3" width=48><font size="1">Until 4  </font><font size="1"><br>
      Years  </font><font size="1">&nbsp;</font></td>
    <td valign=bottom rowspan="3" width=53><font size="1">Until 5  </font><font size="1"><br>
      Years or  </font><font size="1"><br>
      More  </font></td>
   </tr>
  <tr align="center">
    <td></td>
   </tr>
  <tr align="center">
    <td></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><b><font size="1">BANKS </font></b></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=257><b><font size="1">WITH WARRANTY </font></b></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">BANCO BILBAO VIZCAYA </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">BANCO BILBAO VIZCAYA </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">TOTAL BANKS </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">LISTED IN THE MEXICAN </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">STOCK EXCHANGE </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">UNSECURED DEBT </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">MEDIUM TERM NOTES </font></td>
    <td valign=bottom align="right" width=56><font size="1">3,393 </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1"><b>TOTAL STOCK EXCHANGE </b></font></td>
    <td valign=bottom align="right" width=56><font size="1">3,393 </font></td>
    <td valign=bottom align="right" width=57><font size="1">0 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">SUPPLIERS </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">VARIOUS </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
    <td valign=bottom align="right" width=57><font size="1">24,940 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1"><b>TOTAL SUPPLIERS </b></font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
    <td valign=bottom align="right" width=57><font size="1">24,940 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">AND OTHER CREDITS </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">VARIOUS </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
    <td valign=bottom align="right" width=57><font size="1">23,602 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">OTHER CURRENT LIABILITIES </font></td>
    <td valign=bottom align="right" width=56><font size="1">0 </font></td>
    <td valign=bottom align="right" width=57><font size="1">23,602 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1">AND OTHER CREDITS </font></td>
    <td valign=bottom align="right" width=56><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=57><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=55><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=74><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=48><font size="1">&nbsp;</font></td>
    <td valign=bottom align="right" width=53><font size="1">&nbsp;</font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
  <tr>
    <td valign=bottom width=257><font size="1"><b>TOTAL GENERAL </b></font></td>
    <td valign=bottom align="right" width=56><font size="1">3,393 </font></td>
    <td valign=bottom align="right" width=57><font size="1">48,542 </font></td>
    <td valign=bottom align="right" width=55><font size="1">0 </font></td>
    <td valign=bottom align="right" width=74><font size="1">0 </font></td>
    <td valign=bottom align="right" width=48><font size="1">0 </font></td>
    <td valign=bottom align="right" width=53><font size="1">0 </font></td>
   </tr>
  <tr>
    <td valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
     </td>
   </tr>
</table>
<br>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr valign="top">
    <td width=40><font size="1"><b>NOTES: </b></font></td>
    <td width=21 valign="top">&nbsp;</td>
    <td width=13>&nbsp;</td>
    <td colspan=16 width=526>&nbsp;</td>
   </tr>
  <tr valign="top">
    <td width=40>&nbsp;&nbsp;&nbsp;  </td>
    <td width=21 valign="top"><font size="1">1.- </font></td>
    <td width=13>&nbsp;</td>
    <td colspan=16 width=526><font size="1">At December 31, 2003, Compa&#241;&#237;a
      Sider&#250;rgica de Guadalajara, S.A. de C.V. (&#147;CSG&#148;) was not
      in compliance with various financial covenants contained in its bank loan
      instruments. In accordance with Mexican generally accepted accounting principles,
      Simec&#146;s long term bank debt has been reclassified as current liabilities. </font>
      <font size="1">&nbsp;</font><font size="1">&nbsp;</font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font><font size="1">&nbsp;</font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font></td>
   </tr>
  <tr valign="top">
    <td width=40>&nbsp;  </td>
    <td width=21 valign="top"><font size="1">2.- </font></td>
    <td width=13>&nbsp;</td>
    <td colspan=16 width=526><font size="1">Simec&#146;s bank debt is secured
      by a lien on all of the plant, property and equipment of Simec </font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font><font size="1">&nbsp;</font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font><font size="1">&nbsp;</font><font size="1">&nbsp;</font></td>
   </tr>
  <tr valign="top">
    <td width=40>&nbsp;  </td>
    <td width=21 valign="top"><font size="1">3.- </font></td>
    <td width=13>&nbsp;</td>
    <td colspan=16 width=526><font size="1">The exchange rate of the peso to
      the U.S. Dollar at December 31, 2003 was Ps. 11.2360 </font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font><font size="1">&nbsp;</font><font size="1">&nbsp;</font>
      <font size="1">&nbsp;</font><font size="1">&nbsp;</font><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<table width=600>
  <tr>
    <td width=60 align=left><font size=1>&nbsp;</font></td>
    <td width=480 align=center><font size="2"></font></td>
    <td width=60 align=right><font size="1">&nbsp;</font></td>
   </tr>
</table>
<p>&nbsp;
<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 14; page: 14" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1">M<b>ONETARY POSITION IN FOREIGN EXCHANGE
      <br>
      (Thousands of Pesos) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 6 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="640">
  <TR VALIGN="BOTTOM">
    <TH></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="1"></font></TD>
    <TD ALIGN="center" colspan="3"><font size="1">DOLLARS </font></TD>
    <TD ALIGN="center"><font size="1"></font></TD>
    <TD ALIGN="center" colspan="3"><font size="1"> OTHER CURRENCIES </font></TD>
    <TD ALIGN="center"><font size="1"></font></TD>
    <TD ALIGN="center"><font size="1">TOTAL </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="1"></font></TD>
    <TD ALIGN="RIGHT"><font size="1"></font></TD>
    <TD ALIGN="LEFT"><font size="1"></font></TD>
    <TD ALIGN="RIGHT"><font size="1"></font></TD>
    <TD ALIGN="LEFT"><font size="1"></font></TD>
    <TD ALIGN="RIGHT"><font size="1"></font></TD>
    <TD ALIGN="LEFT"><font size="1"></font></TD>
    <TD ALIGN="RIGHT"><font size="1"></font></TD>
    <TD ALIGN="LEFT"><font size="1"></font></TD>
    <TD ALIGN="RIGHT"><font size="1"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="1">TRADE BALANCE </font></TD>
    <TD ALIGN="center"><font size="1">THOUSANDS OF <br>
      DOLLARS </font></TD>
    <TD ALIGN="center">&nbsp;</TD>
    <TD ALIGN="center"><font size="1">THOUSANDS OF <br>
      PESOS </font></TD>
    <TD ALIGN="center">&nbsp;</TD>
    <TD ALIGN="center"><font size="1">THOUSANDS OF <br>
      DOLLARS </font></TD>
    <TD ALIGN="center">&nbsp;</TD>
    <TD ALIGN="center"><font size="1">THOUSANDS OF <br>
      PESOS </font></TD>
    <TD ALIGN="center">&nbsp;</TD>
    <TD ALIGN="center"><font size="1">THOUSANDS <br>
      OF PESOS </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"></TD>
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"></TD>
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"></TD>
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"></TD>
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2"><b>FOREING MONETARY POSITION </b></font></TD>
    <TD ALIGN="RIGHT"><font size="2"></font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2"></font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2"></font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2"></font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><b><font size="2">&nbsp;TOTAL ASSETS </font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">45,275 </font></b></TD>
    <TD ALIGN="LEFT"><b><font size="2">&nbsp;&nbsp;</font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">508,696 </font></b></TD>
    <TD ALIGN="LEFT"><b><font size="2">&nbsp;&nbsp;</font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">0 </font></b></TD>
    <TD ALIGN="LEFT"><b><font size="2">&nbsp;&nbsp;</font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">0 </font></b></TD>
    <TD ALIGN="LEFT"><b><font size="2">&nbsp;&nbsp;</font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">508,696 </font></b></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">&nbsp;LIABILITIES POSITION </font></TD>
    <TD ALIGN="RIGHT"><font size="2">7,159 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">80,440 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">333 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">3,740 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">84,180 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">&nbsp;SHORT TERM LIABILITIES POSITION </font></TD>
    <TD ALIGN="RIGHT"><font size="2">7,159 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">80,440 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">333 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">3,740 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">84,180 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><font size="2">&nbsp;LONG TERM LIABILITIES POSITION </font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT"><b><font size="2">&nbsp;NET BALANCE </font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">38,116 </font></b></TD>
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"><b><font size="2">428,256 </font></b></TD>
    <TD ALIGN="LEFT">&nbsp;</TD>
    <TD ALIGN="RIGHT"><b><font size="2">(333 </font></b></TD>
    <TD ALIGN="LEFT"><b><font size="2">) </font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">(3,740 </font></b></TD>
    <TD ALIGN="LEFT"><b><font size="2">) </font></b></TD>
    <TD ALIGN="RIGHT"><b><font size="2">424,516 </font></b></TD>
   </TR>
</TABLE>

<p><table width=600><tr><td><font size=2><B>NOTES </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THE EXCHANGE RATE
OF THE PESO TO THE U.S. DOLLAR AT DECEMBER 31, 2003 WAS PS. 11.2360 </font></td></tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 1; page: 1" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>INTEGRATION AND INCOME <br>
      CALCULATION BY MONETARY POSITION (1) <br>
      (Thousands of Pesos) </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 7 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
  <TR VALIGN="BOTTOM">
    <TH width="152"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="3"></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="152"><b><font size="1">MONTH </font></b></TD>
    <TD ALIGN="center" WIDTH="65"><b><font size="1">MONETARY <br>
      ASSETS </font></b></TD>
    <TD ALIGN="center" WIDTH="16">&nbsp;</TD>
    <TD ALIGN="center" WIDTH="80"><b><font size="1">MONETARY <br>
      LIABILITIES </font></b></TD>
    <TD ALIGN="center" WIDTH="16">&nbsp;</TD>
    <TD ALIGN="center" WIDTH="108"><b><font size="1">ASSET (LIABILITIES) <br>
      MONETARY <br>
      POSITION </font></b></TD>
    <TD ALIGN="center" WIDTH="12">&nbsp;</TD>
    <TD ALIGN="center" colspan="2"><b><font size="1"> MONTHLY <br>
      INFLATION </font></b></TD>
    <TD ALIGN="center" WIDTH="7">&nbsp;</TD>
    <TD ALIGN="center" WIDTH="65"><b><font size="1">MONTHLY <br>
      PROFIT <br>
      AND (LOSS) </font></b></TD>
    <TD ALIGN="LEFT" WIDTH="12"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="152"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" WIDTH="65"><font size="2"></font></TD>
    <TD ALIGN="LEFT" WIDTH="16"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" WIDTH="80"><font size="2"></font></TD>
    <TD ALIGN="LEFT" WIDTH="16"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" WIDTH="108"><font size="2"></font></TD>
    <TD ALIGN="LEFT" WIDTH="12"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" WIDTH="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" WIDTH="65"><font size="2"></font></TD>
    <TD ALIGN="LEFT" WIDTH="12"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="152"><font size="2">&nbsp;&nbsp;JANUARY </font></TD>
    <TD ALIGN="RIGHT" WIDTH="65"><font size="2">599,332 </font></TD>
    <TD ALIGN="LEFT" WIDTH="16"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" WIDTH="80"><font size="2">870,175 </font></TD>
    <TD ALIGN="LEFT" WIDTH="16"><font size="2">&nbsp;&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" WIDTH="108"><font size="2">(270,843 </font></TD>
    <TD ALIGN="LEFT" WIDTH="12"><font size="2">)&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.40 </font></TD>
    <TD ALIGN="RIGHT" WIDTH="7"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" WIDTH="65"><font size="2">1,095 </font></TD>
    <TD ALIGN="LEFT" WIDTH="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;FEBRUARY </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">496,349 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">770,972 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">(274,623 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.28 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">763 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;MARCH </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">540,635 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">777,637 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">(237,002 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.63 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">1,496 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;APRIL </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">541,513 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">566,310 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">(24,797 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.17 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">42 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;MAY </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">578,184 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">548,013 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">30,171 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">-0.32 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">97 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;JUNE </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">547,495 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">340,066 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">207,429 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.08 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(171 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;JULY </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">604,584 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">323,902 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">280,682 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.14 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(407 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;AUGUST </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">664,648 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">310,488 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">354,160 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.30 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(1,063 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;SEPTEMBER </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">750,161 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">319,022 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">431,139 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.60 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(2,567 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;OCTOBER </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">805,442 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">329,170 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">476,272 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.37 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(1,746 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;NOVEMBER </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">870,617 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">336,930 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">533,687 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.83 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(4,430 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;DECEMBER </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">945,456 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">328,828 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">616,628 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.43 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(2,651 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;ACTUALIZATION: </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.00 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">(15 </font></TD>
    <TD ALIGN="LEFT" width="12"><font size="2">) </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;CAPITALIZATION: </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.00 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;FOREIGN CORP.: </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.00 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2">&nbsp;&nbsp;OTHER </font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2">0.00 </font></TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="152"><font size="2"><b>T O T A L </b></font></TD>
    <TD ALIGN="RIGHT" width="65">&nbsp;</TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="80">&nbsp;</TD>
    <TD ALIGN="LEFT" width="16">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="108">&nbsp;</TD>
    <TD ALIGN="LEFT" width="12">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="65"><b><font size="2">(9,557 </font></b></TD>
    <TD ALIGN="LEFT" width="12"><b><font size="2">) </font></b></TD>
   </TR>
</TABLE>



<p><table width=600><tr><td><font size=2><B>NOTES </B></font></td></tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 2; page: 2" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>BONDS AND MEDIUM TERM NOTES LISTING IN
      <br>
      STOCK MARKET (1) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 8 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<br>
<table width=600><tr><td  align=center><font size=2><B>FINANCIAL LIMITED BASED IN
ISSUED DEED AND/OR TITLE </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>MEDIUM TERM NOTES </font></td></tr></table>

<table width=600><tr>
    <td><font size=2>A) Current assets to current liabilities must be 1.0 times
      or more. </font></td>
   </tr></table>

<table width=600>
  <tr>
    <td><font size=2> B) Total liabilities to total assets do not be more than
      0.60. </font></td>
   </tr>
</table>
<table width=600><tr><td><font size=2>C) Operating income plus items added to income
which do not require using  cash must be 2.0 times or more. </font></td></tr></table>

<p><table width=600><tr><td><font size=2>This notes was offered in the international
market. </font></td></tr></table>

<p><table width=600><tr><td  align=center><font size=2><B>ACTUAL SITUATION OF FINANCIAL
LIMITED </B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>MEDIUM TERM NOTES </font></td></tr></table>

<p><table width=600><tr><td><font size=2>A) Accomplished the actual situation is 2.95
times.  </font></td></tr></table>

<table width=600><tr><td><font size=2>B) Accomplished the  actual situation is 0.23  </font></td></tr></table>

<table width=600><tr><td><font size=2>C) Accomplished the actual situation is 36.20 </font></td></tr></table>

<p><table width=600><tr><td><font size=2>As of December 31, 2003, the remaining balance
of the MTNs not exchanged  amounts to Ps. 3,393 ($302,000 dollars). </font></td></tr></table>

<p><table width=600><tr><td><font size=2>C.P. Adolfo Luna Luna  <BR>Chief Financial Officer </font></td></tr></table>

<p><table width=600><tr><td  align=center><font size=2><B>BONDS AND/OR MEDIUM TERM NOTES
CERTIFICATE </B></font></td></tr></table>




<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 3; page: 3" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>PLANTS, COMMERCE CENTERS OR <br>
      DISTRIBUTION CENTERS </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 9 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>&nbsp;
<p>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
  <TR VALIGN="BOTTOM">
    <TH COLSPAN="2"></TH>
    <TH></TH>
    <TH COLSPAN="2"></TH>
    <TH></TH>
   </TR>
  <TR VALIGN="BOTTOM" align="center">
    <TD WIDTH="40%"><b><font size="1">PLANT <br>
      OR <br>
      CENTER </font></b></TD>
    <TD WIDTH="3%"><b></b></TD>
    <TD WIDTH="43%"><b><font size="1">ECONOMIC <br>
      ACTIVITY </font></b></TD>
    <TD WIDTH="3%"><b><font size="1">PLANT <br>
      CAPACITY <br>
      (1) </font></b></TD>
    <TD WIDTH="3%"><b></b></TD>
    <TD WIDTH="3%"><b><font size="1"> UTILIZATION <br>
      (%) </font></b></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD WIDTH="40%" ALIGN="LEFT">&nbsp;</TD>
    <TD WIDTH="3%" ALIGN="LEFT">&nbsp;</TD>
    <TD WIDTH="43%" ALIGN="LEFT">&nbsp;</TD>
    <TD WIDTH="3%" ALIGN="RIGHT">&nbsp;</TD>
    <TD WIDTH="3%" ALIGN="LEFT">&nbsp;</TD>
    <TD WIDTH="3%" ALIGN="RIGHT">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD WIDTH="40%" ALIGN="LEFT" valign="top"><font size="2">CIA. SIDERURGICA
      DE GUAD </font></TD>
    <TD WIDTH="3%" ALIGN="LEFT"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD WIDTH="43%" ALIGN="LEFT"><font size="2">PRODUCTION AND SALES OF STEEL
      PRODUCTS </font></TD>
    <TD WIDTH="3%" ALIGN="RIGHT"><font size="2">480 </font></TD>
    <TD WIDTH="3%" ALIGN="LEFT"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD WIDTH="3%" ALIGN="RIGHT"><font size="2">85 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" valign="top"><font size="2">CIA. SIDERURGICA DE CALIF </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="LEFT"><font size="2">PRODUCTION AND SALES OF STEEL PRODUCTS </font></TD>
    <TD ALIGN="RIGHT"><font size="2">250 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">79 </font></TD>
   </TR>
  <TR VALIGN="top">
    <TD ALIGN="LEFT"><font size="2">INDUSTRIAS DEL ACERO Y DEL ALAMBRE </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="LEFT"><font size="2">SALE OF STEEL PRODUCTS </font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
    <TD ALIGN="LEFT"><font size="2"></font></TD>
    <TD ALIGN="RIGHT"><font size="2">0 </font></TD>
   </TR>
</TABLE>

<p><table width=600><tr>
    <td><font size=2><b>NOTES </b></font></td>
   </tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 4; page: 4" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MAIN RAW MATERIALS </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 10 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="640">
  <TR VALIGN="BOTTOM">
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2" width="83"></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="105"><b><font size="1">DOMESTIC </font></b></TD>
    <TD ALIGN="LEFT" WIDTH="7"><b></b></TD>
    <TD ALIGN="center" WIDTH="128"><b><font size="1">MAIN <br>
      SUPPLIERS </font></b></TD>
    <TD ALIGN="center" WIDTH="7"><b></b></TD>
    <TD ALIGN="center" WIDTH="105"><b><font size="1">FOREIGN </font></b></TD>
    <TD ALIGN="center" WIDTH="7"><b></b></TD>
    <TD ALIGN="center" WIDTH="137"><b><font size="1">MAIN <br>
      SUPPLIERS </font></b></TD>
    <TD ALIGN="center" WIDTH="10"><b></b></TD>
    <TD ALIGN="center" WIDTH="44"><b><font size="1">DOM. <br>
      SUBST. </font></b></TD>
    <TD ALIGN="center" WIDTH="7"><b></b></TD>
    <TD ALIGN="center" colspan="2" WIDTH="83"><b><font size="1">COST <br>
      PRODUCTION <br>
      (%) </font></b></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="105">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="7">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="128">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="7">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="105">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="7">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="137">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="10">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="44">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="7">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2" WIDTH="83">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="105"><font size="2">SCRAP </font></TD>
    <TD ALIGN="LEFT" WIDTH="7"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="LEFT" WIDTH="128"><font size="2">VARIOUS </font></TD>
    <TD ALIGN="LEFT" WIDTH="7"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="LEFT" WIDTH="105"><font size="2">SCRAP </font></TD>
    <TD ALIGN="LEFT" WIDTH="7"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="LEFT" WIDTH="137"><font size="2">VARIOUS </font></TD>
    <TD ALIGN="LEFT" WIDTH="10"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="center" WIDTH="44"><font size="2">YES </font></TD>
    <TD ALIGN="LEFT" WIDTH="7"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" colspan="2" WIDTH="83"><font size="2">51.64 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="105"><font size="2">ELECTRICITY </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="128"><font size="2">C.F.E. </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="105">&nbsp;</TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="137"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="10"><font size="2"></font></TD>
    <TD ALIGN="center" width="44"><font size="2">NO </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2" width="83"><font size="2">12.60 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="105"><font size="2">FERROALLOYS </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="128"><font size="2">MINERA AUTLAN </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="105"><font size="2">FERROALLOYS </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="137"><font size="2">GFM TRADING </font></TD>
    <TD ALIGN="LEFT" width="10"><font size="2"></font></TD>
    <TD ALIGN="center" width="44"><font size="2">YES </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2" width="83"><font size="2">6.53 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="105"><font size="2">ELECTRODES </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="128"><font size="2">UCAR CARBON <br>
      MEXICANA </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="105"><font size="2">ELECTRODES </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="137"><font size="2">SGL CARBON GROUP </font></TD>
    <TD ALIGN="LEFT" width="10"><font size="2"></font></TD>
    <TD ALIGN="center" width="44"><font size="2">YES </font></TD>
    <TD ALIGN="LEFT" width="7"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2" width="83"><font size="2">2.42 </font></TD>
   </TR>
</TABLE>

<p><table width=600><tr><td><font size=2><B>NOTES </B></font></td></tr></table>



<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 5; page: 5" -->
<p>&nbsp;
<table border="0" cellspacing="0" cellpadding="0" width="670">
  <tr valign="bottom">
    <td width="670" colspan="6" align="center"><font size="1"><b>MEXICAN STOCK
      EXCHANGE <br>
      SIFIC / ICS </b></font>&nbsp;&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td width="171">&nbsp;</td>
    <td width="126">&nbsp;&nbsp;</td>
    <td align="center" width="96">&nbsp;</td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96">&nbsp;</td>
    <td align="center" width="71"><font size=2><font size="1"></font></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171">&nbsp;</td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96"><font size="1"><b>SELLS DISTRIBUTION <br>
      BY PRODUCT </b></font></td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171">&nbsp;</td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96"><font size="1"><b>ANNEX 11 </b></font><font size=2></font></td>
    <td align="center" width="71"><font size="1"></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171">&nbsp;</td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96">&nbsp;</td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171">&nbsp;</td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96"><font size="1"><b>DOMESTIC SELLS </b></font><font size=2></font></td>
    <td align="center" width="71"><font size=2><b></b></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131"><font size=2><b><font size="1">MAIN </font></b></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171">&nbsp;</td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96">&nbsp;</td>
    <td align="center" width="71"><font size=2><b><font size="1">DESTINATION </font></b></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="171"><font size="1"><b>MAIN PRODUCTS </b></font></td>
    <td align="center" width="126"><font size="1"><b>TOTAL PRODUCTION </b></font></td>
    <td align="center" width="96"><font size=2><b><font size="1">NET SELLS </font></b></font></td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="right" width="171"><font size="1"></font></td>
    <td width="126">&nbsp;</td>
    <td align="center" width="96">&nbsp;</td>
    <td align="center" width="71"><font size=2><b></b></font></td>
    <td align="center" width="75"><font size=2><b><font size="1">TRADEMARKS </font></b></font></td>
    <td align="center" width="131"><font size=2><b><font size="1">COSTUMERS </font></b></font></td>
   </tr>
</table>
<br>
<table width="400" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td>&nbsp;</td>
    <td align="center"><b><font size="1">VOLUME </font></b></td>
    <td align="center">&nbsp;</td>
    <td align="center"><b><font size="1">AMOUNT  </font></b></td>
    <td align="center">&nbsp;</td>
    <td align="center"><b><font size="1">VOLUME </font></b></td>
    <td align="center">&nbsp;</td>
    <td align="center"><b><font size="1">AMOUNT  </font></b></td>
   </tr>
  <tr>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr>
    <td><font size="2">STRUCTURAL PROFILES  </font></td>
    <td width="13%" align="RIGHT" valign="bottom"><font size="2">184  </font></td>
    <td>&nbsp;</td>
    <td width="13%" align="RIGHT" valign="bottom"><font size="2">522,811  </font></td>
    <td>&nbsp;</td>
    <td width="10%" align="RIGHT" valign="bottom"><font size="2">173  </font></td>
    <td>&nbsp;</td>
    <td width="13%" align="RIGHT" valign="bottom"><font size="2">753,113  </font></td>
   </tr>
  <tr>
    <td><font size="2">COMMERCIAL PROFILES </font></td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">56 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">140,394 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2">47 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">192,823 </font></td>
   </tr>
  <tr>
    <td><font size="2">REBAR </font></td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">125 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">293,672 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2">93 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">374,006 </font></td>
   </tr>
  <tr>
    <td><font size="2">FLAT BAR </font></td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">25 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">66,300 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2">17 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">71,840 </font></td>
   </tr>
  <tr>
    <td><font size="2">STEEL BARS </font></td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">213 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">578,625 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2">209 </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">857,202 </font></td>
   </tr>
  <tr>
    <td><font size="2">OTHER </font></td>
    <td align="RIGHT" width="13%" valign="bottom">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom">&nbsp;</td>
   </tr>
  <tr>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2"></font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2"></font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2">8  </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">48,102  </font></td>
   </tr>
  <tr>
    <td><font size="2">BILLET </font></td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">64  </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">121,067  </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2">64  </font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2">170,754  </font></td>
   </tr>
  <tr>
    <td><font size="2"><b>&nbsp;&nbsp;T O T A L </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2"><b>1,722,869 </b></font></td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="RIGHT" width="13%" valign="bottom"><font size="2"><b>2,467,840 </b></font></td>
   </tr>
</table>
<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 6; page: 6" -->
<p>&nbsp;
<table border="0" cellspacing="0" cellpadding="0" width="670">
  <tr valign="bottom">
    <td width="670" colspan="6" align="center"><font size="1"><b>MEXICAN STOCK
      EXCHANGE <br>
      SIFIC / ICS </b></font>&nbsp;&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td width="164">&nbsp;</td>
    <td width="110">&nbsp;&nbsp;</td>
    <td align="center" width="119">&nbsp;</td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119">&nbsp;</td>
    <td align="center" width="71"><font size=2><font size="1"></font></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164">&nbsp;</td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119"><font size="1"><b>SELLS DISTRIBUTION <br>
      BY PRODUCT </b></font></td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164">&nbsp;</td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119"><font size="1"><b>ANNEX 11 </b></font><font size=2></font></td>
    <td align="center" width="71"><font size="1"></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164">&nbsp;</td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119">&nbsp;</td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164">&nbsp;</td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119"><font size="1"><b>DOMESTIC SELLS </b></font><font size=2></font></td>
    <td align="center" width="71"><font size=2><b></b></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131"><font size=2><b><font size="1">MAIN </font></b></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164">&nbsp;</td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119">&nbsp;</td>
    <td align="center" width="71"><font size=2><b><font size="1">DESTINATION </font></b></font></td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="164"><font size="1"><b>MAIN PRODUCTS </b></font></td>
    <td align="center" width="110"><font size="1"><b>TOTAL PRODUCTION </b></font></td>
    <td align="center" width="119"><font size=2><b><font size="1">NET SELLS </font></b></font></td>
    <td align="center" width="71">&nbsp;</td>
    <td align="center" width="75">&nbsp;</td>
    <td align="center" width="131">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="right" width="164"><font size="1"></font></td>
    <td width="110">&nbsp;</td>
    <td align="center" width="119">&nbsp;</td>
    <td align="center" width="71"><font size=2><b></b></font></td>
    <td align="center" width="75"><font size=2><b><font size="1">TRADEMARKS </font></b></font></td>
    <td align="center" width="131"><font size=2><b><font size="1">COSTUMERS </font></b></font></td>
   </tr>
</table>
<br>
<br>
<table width="400" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td width="41%">&nbsp;</td>
    <td align="center" width="10%"><b><font size="1">VOLUME&nbsp;</font></b></td>
    <td align="center" width="0%">&nbsp;&nbsp;&nbsp;</td>
    <td align="center" width="10%"><b><font size="1">AMOUNT  </font></b></td>
    <td align="center" width="0%">&nbsp;&nbsp;&nbsp;</td>
    <td align="center" width="16%"><b><font size="1">VOLUME </font></b></td>
    <td align="center" width="2%">&nbsp;</td>
    <td align="center" width="21%"><b><font size="1">AMOUNT  </font></b></td>
   </tr>
  <tr>
    <td width="41%">&nbsp;</td>
    <td width="10%">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td width="10%">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td width="16%">&nbsp;</td>
    <td width="2%">&nbsp;</td>
    <td width="21%">&nbsp;</td>
   </tr>
  <tr>
    <td width="41%" align="LEFT" valign="bottom"><font size="2">STRUCTURAL PROFILES </font></td>
    <td width="10%" align="RIGHT" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td width="10%" align="RIGHT" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td width="16%" align="RIGHT" valign="bottom"><font size="2">11 </font></td>
    <td width="2%" align="LEFT" valign="bottom"><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;</font></td>
    <td width="21%" align="RIGHT" valign="bottom"><font size="2">42,569 </font></td>
   </tr>
  <tr>
    <td align="LEFT" valign="bottom" width="41%"><font size="2">COMMERCIAL PROFILES </font></td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" valign="bottom" width="16%"><font size="2">12 </font></td>
    <td align="LEFT" valign="bottom" width="2%"><font size="2"></font></td>
    <td align="RIGHT" valign="bottom" width="21%"><font size="2">47,303 </font></td>
   </tr>
  <tr>
    <td align="LEFT" valign="bottom" width="41%"><font size="2">REBAR </font></td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" valign="bottom" width="16%"><font size="2">46 </font></td>
    <td align="LEFT" valign="bottom" width="2%"><font size="2"></font></td>
    <td align="RIGHT" valign="bottom" width="21%"><font size="2">178,174 </font></td>
   </tr>
  <tr>
    <td align="LEFT" valign="bottom" width="41%"><font size="2">STEEL BARS </font></td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" valign="bottom" width="16%"><font size="2">9 </font></td>
    <td align="LEFT" valign="bottom" width="2%"><font size="2"></font></td>
    <td align="RIGHT" valign="bottom" width="21%"><font size="2">37,677 </font></td>
   </tr>
  <tr>
    <td align="LEFT" valign="bottom" width="41%"><font size="2">FLAT BAR </font></td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" valign="bottom" width="16%"><font size="2">3 </font></td>
    <td align="LEFT" valign="bottom" width="2%"><font size="2"></font></td>
    <td align="RIGHT" valign="bottom" width="21%"><font size="2">13,450 </font></td>
   </tr>
  <tr>
    <td align="LEFT" valign="bottom" width="41%"><b><font size="2">&nbsp;&nbsp;T
      O T A L </font></b></td>
    <td width="10%">&nbsp;</td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" width="10%" valign="bottom"><font size="2"></font></td>
    <td width="0%">&nbsp;</td>
    <td align="RIGHT" valign="bottom" width="16%">&nbsp;</td>
    <td align="LEFT" valign="bottom" width="2%">&nbsp;</td>
    <td align="RIGHT" valign="bottom" width="21%"><b><font size="2">319,173 </font></b></td>
   </tr>
</table>
<p><table width=600><tr><td><font size=2><B>NOTES </B></font></td></tr></table>



<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 7; page: 7" -->
<p>&nbsp;
<table border="0" cellspacing="0" cellpadding="0" width="670">
  <tr valign="bottom">
    <td width="168">&nbsp;</td>
    <td width="70">&nbsp;</td>
    <td align="center" width="148"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td align="center" width="78">&nbsp;</td>
    <td align="center" width="74">&nbsp;&nbsp;</td>
    <td align="center" width="132">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td width="168">&nbsp;</td>
    <td width="70">&nbsp;&nbsp;</td>
    <td align="center" width="148">&nbsp;</td>
    <td align="center" width="78">&nbsp;</td>
    <td align="center" width="74">&nbsp;</td>
    <td align="center" width="132">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="168"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td width="70">&nbsp;</td>
    <td align="center" width="148">&nbsp;</td>
    <td align="center" width="78"><font size=2><font size="1"></font></font></td>
    <td align="center" width="74">&nbsp;</td>
    <td align="center" width="132"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="168">&nbsp;</td>
    <td width="70">&nbsp;</td>
    <td align="center" width="148"><font size="1"><b>INTEGRATION OF THE PAID <br>
      SOCIAL CAPITAL STOCK <br>
      CHARACTERISTICS OF THE <br>
      SHARES </b></font></td>
    <td align="center" width="78">&nbsp;</td>
    <td align="center" width="74">&nbsp;</td>
    <td align="center" width="132">&nbsp;</td>
   </tr>
</table>
<table width="670" border="0" cellspacing="0" cellpadding="0">
  <tr align="center" valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td colspan="2">&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr align="center" valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td><font size="1"></font><font size=2></font></td>
    <td colspan="2"><font size="1"></font><font size=2></font><font size=2><b><font size="1">NUMBER
      OF SHARES </font></b></font></td>
    <td><font size=2><b></b></font></td>
    <td><font size=2><b></b></font></td>
    <td>&nbsp;</td>
    <td><font size=2><b></b></font></td>
    <td><font size=2><b></b></font></td>
   </tr>
  <tr valign="BOTTOM" align="center">
    <td><font size="1"><b>SERIES </b></font></td>
    <td><font size="1"><b>NOMINAL <br>
      VALUE </b></font></td>
    <td><font size=2><b><font size="1">VALID <br>
      CUPON </font></b></font></td>
    <td><font size="1"><b>PORTION </b></font></td>
    <td>&nbsp;</td>
    <td><font size="1"><b>PORTION </b></font></td>
    <td><font size=2><b><font size="1">MEXICAN </font></b></font></td>
    <td><font size=2><b><font size="1">FREE <br>
      SUSCRIPTION </font></b></font></td>
    <td>&nbsp;</td>
    <td colspan="2"><font size="1"><b>CAPITAL STOCK <br>
      (Thousands of Pesos) </b></font></td>
   </tr>
  <tr valign="BOTTOM" align="center">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td><font size=2><b><font size="1">FIXED </font></b></font></td>
    <td><font size=2><b><font size="1">VARIABLE </font></b></font></td>
   </tr>
  <tr valign="BOTTOM">
    <td align="LEFT"><font size="2">&nbsp;&nbsp;B </font></td>
    <td align="LEFT">&nbsp;</td>
    <td align="right"><font size="2">0 </font></td>
    <td align="right"><font size="2">15,283,350 </font></td>
    <td align="right"><font size="2">&nbsp;&nbsp;</font></td>
    <td align="right"><font size="2">116,689,672 </font></td>
    <td align="right">&nbsp;&nbsp;</td>
    <td align="right"><font size="2">131,973,022 </font></td>
    <td align="right"><font size="2">&nbsp;&nbsp;</font></td>
    <td align="right"><font size="2">222,963 </font></td>
    <td align="right"><font size="2">1,702,289 </font></td>
   </tr>
  <tr valign="BOTTOM">
    <td align="LEFT"><b><font size="2">TOTAL </font></b></td>
    <td align="LEFT">&nbsp;</td>
    <td align="right">&nbsp;</td>
    <td align="right"><b><font size="2">15,283,350 </font></b></td>
    <td align="right">&nbsp;</td>
    <td align="right"><b><font size="2">116,689,672 </font></b></td>
    <td align="right"><b><font size="2">0 </font></b></td>
    <td align="right"><b><font size="2">131,973,022 </font></b></td>
    <td align="right">&nbsp;</td>
    <td align="right"><b><font size="2">222,963 </font></b></td>
    <td align="right"><b><font size="2">1,702,289 </font></b></td>
   </tr>
</table>
<p>
<p><table width=600><tr><td><font size=2>TOTAL NUMBER OF SHARES REPRESENTING THE PAID-IN
CAPITAL STOCK ON THE DATE OF SENDING THE INFORMATION :  131,973,022 </font></td></tr></table>

<p><table width=600><tr>
    <td><font size=2><b>SHARES PROPORTION BY : </b></font></td>
   </tr></table>

<br>
<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="500">
  <TR VALIGN="BOTTOM">
    <TH width="41%"></TH>
    <TH COLSPAN="2" width="59%"></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD WIDTH="41%" ALIGN="LEFT"><font size="2">CPO&#146;S : </font></TD>
    <TD WIDTH="59%" ALIGN="left" colspan="2"><font size="2"> 0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="41%"><font size="2">ADRS&#146;s : </font></TD>
    <TD ALIGN="left" colspan="2" width="59%"><font size="2">1,268,213 ADR&#146;S OF
      1 SHARE EACH ONE: </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="41%"><font size="2">UNITS : </font></TD>
    <TD ALIGN="left" colspan="2" width="59%"><font size="2">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="41%"><font size="2">GDRS&#146;s : </font></TD>
    <TD ALIGN="left" colspan="2" width="59%"><font size="2">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="41%"><font size="2">ADS&#146;s : </font></TD>
    <TD ALIGN="left" colspan="2" width="59%"><font size="2">0 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="41%"><font size="2">GDS&#146;s : </font></TD>
    <TD ALIGN="left" colspan="2" width="59%"><font size="2">0 </font></TD>
   </TR>
</TABLE>





<br>
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td width="21"><b></b></td>
    <td width="72"><b></b></td>
    <td width="14"><b></b></td>
    <td width="136"><b></b></td>
    <td width="52"><b></b></td>
    <td colspan="3"><b><font size="1">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;REPURCHASED
      OWN SHARES </font></b></td>
   </tr>
  <tr>
    <td width="21"><b></b></td>
    <td width="72"><b></b></td>
    <td width="14"><b></b></td>
    <td width="136"><b></b></td>
    <td width="52"><b></b></td>
    <td width="143"><b></b></td>
    <td width="14"><b></b></td>
    <td width="148"><b></b></td>
   </tr>
  <tr>
    <td width="21"><b></b></td>
    <td align="center" valign="bottom" width="72"><b></b></td>
    <td align="center" valign="bottom" width="14"><b></b></td>
    <td align="center" valign="bottom" width="136"><b></b></td>
    <td align="center" valign="bottom" width="52"><b></b></td>
    <td colspan="3" align="center" valign="bottom"><b><font size="1">MARKET VALUE
      OF THE SHARE </font></b></td>
   </tr>
  <tr>
    <td width="21"><b><font size="1">&nbsp;&nbsp;&nbsp;</font></b></td>
    <td align="center" valign="bottom" width="72"><b><font size="1">SERIES </font></b></td>
    <td align="center" valign="bottom" width="14"><b><font size="1">&nbsp;&nbsp;</font></b></td>
    <td align="center" valign="bottom" width="136"><b><font size="1">NUMBER OF
      <br>
      SHARES </font></b></td>
    <td align="center" valign="bottom" width="52"><b><font size="1">&nbsp;&nbsp;</font></b></td>
    <td align="center" valign="bottom" width="143"><b><font size="1">AT REPURCHASE </font></b></td>
    <td align="center" valign="bottom" width="14"><b><font size="1">&nbsp;&nbsp;</font></b></td>
    <td align="center" valign="bottom" width="148"><b><font size="1">AT QUARTER </font></b></td>
   </tr>
</table>
<p><table width=600><tr><td><FONT SIZE="2"><B>NOTES </B></FONT></td></tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 8; page: 8" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSTRUCTION IN PROGRESS <br>
      (Proyect, Total Investment and % of Advance) </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 13 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>
<p><table width=600><tr><td><font size=2>THE PROYECTS IN PROGRESS AT DECEMBER 31, 2003,
ARE: </font></td></tr></table>

<p><table width=600><tr>
    <td><font size=2></font></td>
   </tr></table>

<p><table width=600><tr>
    <td><font size=2></font></td>
   </tr></table>

<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
  <TR VALIGN="BOTTOM">
    <TH width="270"></TH>
    <TH width="59"></TH>
    <TH COLSPAN="2"></TH>
    <TH COLSPAN="2"></TH>
    <TH width="8"></TH>
    <TH width="112"></TH>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="270"><font size="2">PROYECTS IN <br>
      PROGRESS </font></TD>
    <TD ALIGN="center" colspan="3"><font size="2">TOTAL <br>
      INVESTMENT </font><font size="2"></font></TD>
    <TD ALIGN="center" colspan="2"><font size="2">PHISICAL <br>
      ADVANCE </font></TD>
    <TD ALIGN="center" WIDTH="8"><font size="2"></font></TD>
    <TD ALIGN="center" WIDTH="112"><font size="2">FINISHED <br>
      AT </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="270">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="59">&nbsp;</TD>
    <TD ALIGN="RIGHT" WIDTH="40"></TD>
    <TD ALIGN="LEFT" WIDTH="25">&nbsp;</TD>
    <TD ALIGN="RIGHT" colspan="2"></TD>
    <TD ALIGN="LEFT" WIDTH="8">&nbsp;</TD>
    <TD ALIGN="LEFT" WIDTH="112">&nbsp;</TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" WIDTH="270"><font size="2">SLITTING SYSTEM TO ROLLING <br>
      MILL WITH TWO ROWS </font></TD>
    <TD ALIGN="right" WIDTH="59"><font size="2">Ps. </font></TD>
    <TD ALIGN="RIGHT" WIDTH="40"><font size="2">5,533 </font></TD>
    <TD ALIGN="LEFT" WIDTH="25"><font size="2"></font></TD>
    <TD ALIGN="center" colspan="2"><font size="2">90% </font></TD>
    <TD ALIGN="LEFT" WIDTH="8"><font size="2"></font></TD>
    <TD ALIGN="center" WIDTH="112"><font size="2">February 2004 </font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="270"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="59"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" width="40"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="25"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="8"><font size="2">&nbsp;&nbsp;</font></TD>
    <TD ALIGN="LEFT" width="112"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <td align="LEFT" width="270"><font size="2">VARIOUS </font></td>
    <TD ALIGN="LEFT" width="59"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="40"><font size="2">1,097 </font></TD>
    <TD ALIGN="LEFT" width="25"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="8"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="112"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <TD ALIGN="LEFT" width="270"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="59"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" width="40"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="25"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="8"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="112"><font size="2"></font></TD>
   </TR>
  <TR VALIGN="BOTTOM">
    <td align="LEFT" width="270"><b><font size="2">TOTAL INVESTMENT AT <br>
      DECEMBER 31, 2003 </font></b></td>
    <TD ALIGN="LEFT" width="59">&nbsp;</TD>
    <TD ALIGN="RIGHT" width="40"><b><font size="2">6,630 </font></b></TD>
    <TD ALIGN="LEFT" width="25"><font size="2"></font></TD>
    <TD ALIGN="RIGHT" colspan="2"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="8"><font size="2"></font></TD>
    <TD ALIGN="LEFT" width="112"><font size="2"></font></TD>
   </TR>
</TABLE>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 9; page: 9" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>
      2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>FOREIGN CURRENCY TRANSACTIONS AND <br>
      EXCHANGE DIFFERENCES </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 14 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><br>
<table width=600><tr><td><FONT SIZE="2"><B>Foreign currency transactions and exchange
differences - </B> All transactions in foreign currency are recorded at the exchange rates
prevailing on the date of their execution or liquidation. Foreign currency denominated
assets and liabilities are translated at the exchange rates prevailing at the balance
sheet date. Any exchange differences incurred with regard to assets or liabilities
denominated in foreign currency are charged to operations of the period and are included
in financial income (expense) in the accompanying consolidated statements of income
(loss). </FONT></td></tr></table>

<p><table width=600><tr><td><font size=2>The financial statements of foreign subsidiaries
are translated into Mexican  pesos in conformity with Bulletin B-15 &#147;Transactions in
Foreign Currency and  Translation of Financial Statements of Foreign Operations&#148;.
All foreign  subsidiaries are considered to be &#147;integrated foreign operations&#148;,
as defined in  Bulletin B-15, and accordingly such financial statements were translated
as  follows: </font></td></tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2">Monetary items at the exchange rate at the balance
      sheet date. </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2"> Non-monetary items and stockholders&#146; equity
      at the exchange rate prevailing at the date the transactions occurred. </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2">Income and expense items at an appropriate average
      exchange rate. </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2"> The resulting foreign currency translation differences
      are included in the financial income (expense) in the statement of income
      (loss). </font></td>
   </tr></table>

<P><table width=600><tr>
    <td width=5% valign=top><font size="2">&nbsp;-  </font></td>
    <td width=95%><font size="2"> All resulting Mexican peso amounts are restated
      for the effects of inflation in accordance with the dispositions of Bulletin
      B-10 using the NCPI, where such effects are considered significant. </font></td>
   </tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT>
<p>&nbsp; <!-- *************************************************************************** -->
  <!-- MARKER PAGE="sheet: 10; page: 10" -->
<p>&nbsp;
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td>&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;&nbsp;</td>
    <td>&nbsp;</td>
   </tr>
  <tr valign="bottom">
    <td align="left"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC <br>
      GRUPO SIMEC, S.A. DE C.V.  </b></font></td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size=2><font size="1">QUARTER: 4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:<b>2003 </b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left">&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>ANNEX 14 </b></font><font size=2></font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><table width=600><tr>
    <td  align=center><font size=2><B><font size="1">DECLARATION OF THE COMPANY
      OFFICIALS RESPONSIBLE FOR THE INFORMATION CONTAINED IN THIS REPORT. </font></B></font></td>
   </tr></table>

<p><table width=600><tr><td><font size=2>LUIS GARCIA LIMON AND ADOLFO LUNA LUNA CERTIFY
THAT BASED ON OUR KNOWLEDGE, THIS  REPORT DOES NOT CONTAIN ANY UNTRUE STATEMENT OF A
MATERIAL FACT OR OMIT TO STATE  A MATERIAL FACT NECESSARY TO MAKE THE STATEMENTS MADE
HEREIN, IN LIGHT OF THE  CIRCUMSTANCES UNDER WHICH SUCH STATEMENTS WERE MADE, NOT
MISLEADING WITH RESPECT  TO THE PERIOD COVERED BY THIS FOURTH QUARTER REPORT. </font></td></tr></table>

<p>
<p>
<table width=600>
  <tr>
    <td width="76">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td>
    <td width="263"><font size=2>&nbsp;&nbsp;ING LUIS GARCIA LIMON <br>
      CHIEF EXECUTIVE OFFICER </font></td>
    <td width="245"><font size=2> &nbsp;&nbsp;C.P. ADOLFO LUNA LUNA <br>
      CHIEF FINANCIAL OFFICER </font></td>
   </tr>
</table>



<p><table width=600><tr><td  align=center><font size=2>GUADALAJARA, JAL, AT FEBRUARY 27
OF 2004 </font></td></tr></table>


<p>&nbsp;
<table width=600><tr><td width=60 align=left><font size=1>&nbsp;</font></td><td width=480 align=center><font size="2">
</font></td><td width=60 align=right><font size="1">&nbsp;</font></td></tr></table><p>&nbsp;<hr size=5 noshade width=600 align=LEFT><p>&nbsp;


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