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Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0000891092-04-001919.txt : 20040426
<SEC-HEADER>0000891092-04-001919.hdr.sgml : 20040426
<ACCEPTANCE-DATETIME>20040426161818
ACCESSION NUMBER:		0000891092-04-001919
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20040426
FILED AS OF DATE:		20040426

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:		04754404

	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>e17609_6k.htm
<DESCRIPTION>REPORT OF FOREIGN ISSUER
<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 align="left">
    <td><font size=2>For the month of April , 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 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 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>
    <td width="275"></td>
    <td width="30"></td>
    <td width="295"><font size=2>GRUPO SIMEC, S.A. de C.V. (Registrant)</font></td>
  </tr>
  <tr>
    <td width="275"></td>
    <td width="30"></td>
    <td width="295"></td>
  </tr>
  <tr align="left" valign="top">
    <td><font size="2">Date: April , 2004. </font></td>
    <td><font size="2">By:</font></td>
    <td> <font size="2">&nbsp; </font>
      <hr size="1" noshade width="80%" align="left">
      <font size="2">Name: Luis Garc&#237;a Lim&#243;n <br>
      Title: Chief Executive Officer</font></td>
  </tr>
</table>

<p>
<table width=600><tr><td><font size=2>[GRAPHIC OMITTED][GRAPHIC OMITTED]</font></td></tr></table>

<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;





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<!-- MARKER PAGE="sheet: 3; page: 3" -->

<p><table width="600" border="0" cellpadding="0" cellspacing="0">
  <tr>
    <td><img src="gruposimec.gif" width="100" height="45"></td>
  </tr>
</table>
<p>
<table width=600>
  <tr valign="top">
    <td width="350" height="76"><font size=2><b>PRESS RELEASE</b> </font></td>
    <td width="250" height="76"> <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 RESULTS
OF  OPERATIONS FOR THE FIRST THREE MONTHS OF 2004</B></font></td></tr></table>

<p><table width=600><tr><td><font size=2>GUADALAJARA,  MEXICO,  April 22,  2004- Grupo
Simec,  S.A.  de C.V.  (AMEX-SIM)  (&#147;Simec&#148;)  announced today its results of
operations for the three-month  period  ended  March 31,  2004.  Net  sales  increased
58% to Ps.  964  million  in the  three-month  period ended March 31, 2004 compared to
Ps. 610 million in the same  period  of 2003  primarily  due to  higher  finished
product  prices  and  also  resulting from higher production levels. Primarily as a
result of the foregoing,  Simec recorded net income of Ps. 266 million in the first
quarter of 2004 versus  net income of Ps. 79 million for the first quarter of 2003.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec sold 170,389  metric tons of basic steel
products  during the  three-month  period  ended  March 31,  2004 as  compared  to
151,472  metric tons in the same  period of 2003.  Exports of basic steel  products were
25,698 metric tons in the  first  quarter of 2004  versus  17,623  metric  tons in the
same period of 2003.  Additionally  Simec sold 19,505 tons of billet in the  three-month
period ended  March 31,  2004 as  compared to 7,850 tons of billet in the same period of
2003.  Prices of finished products sold in the first three months of 2004 increased 35%
in real terms versus the same period of 2003.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s direct cost of sales was Ps. 638 million
in the three-month period ended  March 31,  2004,  or 66% of net sales,  versus Ps.  404
million,  or 66% of net  sales,  for the  2003  period.  Indirect  manufacturing,
selling,  general  and  administrative expenses (including  depreciation) was Ps. 116
million during the  three-month period ended March 31, 2004, compared to Ps. 120 million
in the same  period of 2003.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s  operating  income  increased  144%  to
Ps.  210  million  during  the  three-month period ended March 31, 2004 from Ps. 86
million in the first quarter  of 2003.  Operating income was 22% of net sales in the
three-month  period ended  March 31, 2004 compared to 14% of net sales in the same period
of 2003.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec  recorded  other  income,  net, from other
financial  operations of Ps. 9  million in the three-month period ended March 31, 2004
compared to other income,  net, of Ps. 1 million in the same period of 2003. In addition,
Simec recorded a  positive  provision for income tax and employee </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>profit sharing of Ps.  62 million  in the
three-month  period ended March 31, 2004 versus a positive  provision  of  Ps. 21 million
in the same period of 2003.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec recorded  financial  expense of Ps. 15
million in the  three-month  period  ended March 31, 2004 compared to financial expense
of Ps. 29 million in the same  period of 2003 as a result of (i) net  interest  expense
of Ps. 4 million in the  three-month  period ended March 31, 2004 compared to net
interest expense of Ps.  6 million in the same period of 2003 (ii) an  exchange  loss of
Ps. 0 million in  the three-month  period ended March 31, 2004 compared to an exchange
loss of Ps.  27  million in the same  period of 2003,  reflecting  lower  debt  levels in
the  three-month  period ended March 31, 2004 and an increase of 0.7% in the value of
the peso  versus the  dollar in the  three-month  period  ended  March 31,  2004
compared  to a  decrease  of 4.4% in the value of the peso  versus the dollar in  2003
period and (iii) a loss from  monetary  position  of Ps. 11 million in the  three-month
period  ended  March 31,  2004  compared  to a gain  from  monetary  position of Ps. 4
million in the same period of 2003,  reflecting  the  domestic  inflation rate of 1.6% in
the  three-month  period ended March 31, 2004 compared  to the domestic inflation rate of
1.3% in the same period in 2003 and lower debt  levels during the 2004 period.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>At March 31, 2004,  Simec&#146;s total consolidated
debt consisted of US$302,000 of 8  7/8% MTN&#146;s due 1998 (accrued interest at March 31,
2004 was $261,984) which were  issued in 1993 as part of a $68 million  issuance.  At
December 31, 2003,  Simec  had  outstanding  approximately  $2  million  of U.S.
dollar-denominated  debt.  Simec&#146;s  lower debt level at March 31, 2004  reflected  the
prepayment  of $1.7  million of bank debt in March 2004.</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 March 31, 2004.</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" -->
<p>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr align="left">
    <td nowrap colspan=10 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      </b> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      </font></td>
    <td nowrap valign=bottom width="116" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
  <tr>
    <td nowrap colspan=11 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <font size="1"><b>CONSOLIDATED FINANCIAL
      STATEMENT</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <font size="1">AT MARCH 31 OF 2004 AND
      2003</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=10 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24></td>
    <td nowrap valign=bottom align="center" width=307> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">FINANCIAL
      YEAR<br>
      </font></b>
      <hr size="1" noshade width="95%">
      <b></b></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">FINANCIAL
      YEAR<br>
      </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24> <b><font size="1">S</font></b></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" width=25> <b><font size="1">%</font></b></td>
    <td nowrap valign=bottom align="center" width=17></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" width=27> <b><font size="1">%</font></b></td>
    <td nowrap valign=bottom align="center" width=21>&nbsp;</td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom width=70></td>
    <td nowrap valign=bottom width=25></td>
    <td nowrap valign=bottom width=25></td>
    <td nowrap valign=bottom width=17></td>
    <td nowrap valign=bottom width=69></td>
    <td nowrap valign=bottom width=19></td>
    <td nowrap valign=bottom width=27></td>
    <td nowrap valign=bottom width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">1 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">TOTAL ASSETS</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">6,462,803
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">5,583,639
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">2 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">CURRENT ASSETS</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">1,761,393
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">27 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">863,354
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">15 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">3 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">CASH AND SHORT-TERM INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">762,173 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">12 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">78,081 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">4 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">ACCOUNTS AND DOCUMENTS
      RECEIVABLE (NET)</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">530,840 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">8 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">441,752 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">8 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">5 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">OTHER ACCOUNTS AND DOCUMENTS
      RECEIVABLE</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">111,476 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">34,474 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">6 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">INVENTORIES</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">354,063 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">5 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">303,041 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">5 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">7 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">OTHER CURRENT ASSETS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">2,841 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">6,006 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">8 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">LONG-TERM</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">9 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">ACCOUNTS AND DOCUMENTS
      RECEIVABLE (NET)</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">10 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">INVESTMENT IN SHARES OF
      SUBSIDIARIES</font></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307> <font size="1">AND NON-CONSOLIDATED</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">11 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">OTHER INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">12 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">PROPERTY, PLANT AND
      EQUIPMENT</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">4,449,407
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">69 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">4,437,870
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">79 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">13 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">PROPERTY</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">1,943,376
      </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">30 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">1,947,843
      </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">35 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">14 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">MACHINERY AND INDUSTRIAL</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">4,451,931
      </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">69 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">4,024,866
      </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">72 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">15 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">OTHER EQUIPMENT</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">142,643 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">195,338 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">4 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">16 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">ACCUMULATED DEPRECIATION</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">2,100,734
      </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">33 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">1,762,026
      </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">32 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">17 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">CONSTRUCTION IN PROGRESS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">12,191 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">31,849 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">18 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">DEFERRED ASSETS (NET)</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">252,003
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">4 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">282,415
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">5 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">19 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">OTHER ASSETS</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">20 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">TOTAL LIABILITIES</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">1,411,537
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">1,504,861
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">21 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">CURRENT LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">532,533 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">38 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">580,874 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">39 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">22 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">SUPPLIERS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">297,656 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">21 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">214,501 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">14 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">23 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">BANK LOANS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">238,701 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">16 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">24 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">STOCK MARKET LOANS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">3,369 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">3,391 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">25 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">TAXES TO BE PAID</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">74,687 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">5 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">39,910 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">3 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">26 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">OTHER CURRENT LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">156,821 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">11 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">84,371 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">6 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">27 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">LONG-TERM LIABILITIES</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">28 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">BANK LOANS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">29 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">STOCK MARKET LOANS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">30 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">OTHER LOANS</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">31 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">DEFERRED LOANS</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">879,004
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">62 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">923,987
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">61 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">32 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">OTHER LIABILITIES</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">33 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">CONSOLIDATED STOCKHOLDERS'
      EQUITY</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">5,051,266
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">4,078,778
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">34 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">MINORITY INTEREST</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">256 </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">219 </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">35 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">MAJORITY INTEREST</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">5,051,010
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">4,078,559
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">36 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">CONTRIBUTED CAPITAL</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">3,771,029
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">75 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">3,597,899
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">88 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">37 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">PAID-IN CAPITAL STOCK (NOMINAL)</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">1,925,252
      </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">38 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">1,755,676
      </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">43 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">38 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">RESTATEMENT OF PAID-IN
      CAPITAL STOCK</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">1,212,516
      </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">24 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">1,208,962
      </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">30 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">39 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">PREMIUM ON SALES OF SHARES</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">633,261 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">13 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">633,261 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">16 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">40 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">CONTRIBUTIONS FOR FUTURE
      CAPITAL INCREASES</font></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <b><font size="1">41 </font></b></td>
    <td nowrap valign=bottom width=307> <b><font size="1">CAPITAL INCREASE (DECREASE)</font></b></td>
    <td nowrap valign=bottom align="right" width=70> <b><font size="1">1,279,981
      </font></b></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <b><font size="1">25 </font></b></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <b><font size="1">480,660
      </font></b></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <b><font size="1">12 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">42 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">RETAINES EARNINGS AND CAPITAL
      RESERVE</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">1,710,440
      </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">34 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">1,244,211
      </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">31 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">43 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">REPURCHASE FUND OF SHARES</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">81,319 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">81,319 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">44 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">EXCESS (SHORTFALL) IN RESTATEMENT
      OF</font></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307> <font size="1">STOCKHOLDERS' EQUITY</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">(777,808)</font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">(15)</font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">(924,319)</font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">(23)</font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24></td>
    <td nowrap valign=bottom width=307></td>
    <td nowrap valign=bottom align="right" width=70></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24> <font size="1">45 </font></td>
    <td nowrap valign=bottom width=307> <font size="1">NET INCOME FOR THE YEAR</font></td>
    <td nowrap valign=bottom align="right" width=70> <font size="1">266,030 </font></td>
    <td nowrap valign=bottom align="right" width=25></td>
    <td nowrap valign=bottom align="right" width=25> <font size="1">5 </font></td>
    <td nowrap valign=bottom align="right" width=17></td>
    <td nowrap valign=bottom align="right" width=69> <font size="1">79,449 </font></td>
    <td nowrap valign=bottom align="right" width=19></td>
    <td nowrap valign=bottom align="right" width=27> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="10">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>&nbsp;<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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<!-- MARKER PAGE="sheet: 6; page: 6" -->

<P>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <font size="1"><b>MEXICAN STOCK EXCHANGE</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <font size="1"><b>SIFIC / ICS</b></font></td>
  </tr>
  <tr>
    <td nowrap colspan=10 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      </b> </font></td>
    <td nowrap valign=bottom align="right"><font size="1">QUARTER: <b>1</b> YEAR:
      <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=10 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom height="13"> <font size="1"><b>CONSOLIDATED
      FINANCIAL STATEMENT</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1">BREAKDOWN OF MAIN CATEGORIES</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=10 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1"><b>REF</b></font></td>
    <td nowrap valign=bottom></td>
    <td nowrap colspan=4 valign=bottom align="center"> <font size="1"><b>QUARTER
      OF PRESENT</b></font></td>
    <td nowrap colspan=4 valign=bottom align="center"> <font size="1"><b>QUARTER
      OF PREVIOUS</b></font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom> <font size="1"><b>CATEGORIES</b></font></td>
    <td nowrap colspan=4 valign=bottom align="center"> <font size="1"><b>FINANCIAL
      YEAR</b></font>
      <hr size="1" width="95%">
    </td>
    <td nowrap colspan=4 valign=bottom align="center"> <font size="1"><b>FINANCIAL
      YEAR<br>
      </b></font>
      <hr size="1" width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="left"> <font size="1"><b>S</b></font></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="center" colspan="2"> <font size="1"><b>AMOUNT</b></font></td>
    <td nowrap valign=bottom align="center"> <font size="1"><b>%</b></font></td>
    <td nowrap valign=bottom align="center"></td>
    <td nowrap valign=bottom align="center" colspan="2"> <font size="1"><b>AMOUNT</b></font></td>
    <td nowrap valign=bottom align="center"> <font size="1"><b>%</b></font></td>
    <td nowrap valign=bottom align="center"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="left" colspan="10">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top height="19" align="left"> <font size="1"><b>3 </b></font></td>
    <td nowrap valign=bottom height="19" align="left"> <font size="1"><b>CASH
      AND SHORT TERM INVESTMENTS</b></font></td>
    <td nowrap valign=bottom align="right" height="19"> <font size="1"><b>762,173
      </b></font></td>
    <td nowrap valign=bottom align="right" height="19"><font size="1"></font></td>
    <td nowrap valign=bottom align="right" height="19"> <font size="1"><b>100
      </b></font></td>
    <td nowrap valign=bottom align="right" height="19"><font size="1"></font></td>
    <td nowrap valign=bottom align="right" height="19"> <font size="1"><b>78,081
      </b></font></td>
    <td nowrap valign=bottom align="right" height="19"><font size="1"></font></td>
    <td nowrap valign=bottom align="right" height="19"> <font size="1"><b>100
      </b></font></td>
    <td nowrap valign=bottom align="right" height="19"><font size="1"></font></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">46 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">CASH</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">84,499 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">11 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">62,953 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">81 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">47 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">SHORT-TERM INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">677,674 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">89 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">15,128 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">19 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>18 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>DEFERRED ASSETS (NET)</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>252,003 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>282,415 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">48 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">AMORTIZED OR REDEEMED
      EXPENSES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">250,016 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">99 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">279,731 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">99 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">49 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">GOODWILL</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">50 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">DEFERRED TAXES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">51 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHERS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">1,987 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">2,684 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>21 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>CURRENT LIABILITIES</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>532,533 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>580,874 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">52 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">FOREIGN CURRENCY LIABILITIES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">86,943 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">16 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">283,985 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">49 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">53 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">MEXICAN PESOS LIABILITIES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">445,590 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">84 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">296,889 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">51 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>24 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>STOCK MARKET LOANS</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>3,369 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>3,391 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">54 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">COMMERCIAL PAPER</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">55 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">CURRENT MATURITIES OF
      MEDIUM TERM NOTES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">3,369 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">100 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">3,391 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">100 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">56 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">CURRENT MATURITIES OF
      BONDS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top height="3" align="left"> <font size="1"><b>26 </b></font></td>
    <td nowrap valign=bottom height="3" align="left"> <font size="1"><b>OTHER
      CURRENT LIABILITIES</b></font></td>
    <td nowrap valign=bottom align="right" height="3"> <font size="1"><b>156,821
      </b></font></td>
    <td nowrap valign=bottom align="right" height="3"></td>
    <td nowrap valign=bottom align="right" height="3"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right" height="3"></td>
    <td nowrap valign=bottom align="right" height="3"> <font size="1"><b>84,371
      </b></font></td>
    <td nowrap valign=bottom align="right" height="3"></td>
    <td nowrap valign=bottom align="right" height="3"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right" height="3"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">57 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHER CURRENT LIABILITIES
      WITH COST</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">58 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHER CURRENT LIABILITIES
      WITHOUT COST</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">156,821 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">100 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">84,371 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">100 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>27 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>LONG-TERM LIABILITIES</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">59 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">FOREIGN CURRENCY LIABILITIES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">60 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">MEXICAN PESOS LIABILITIES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>29 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>STOCK MARKET LOANS</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">61 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">BONDS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">62 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">MEDIUM TERM NOTES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>30 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>OTHER LOANS</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">63 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHER LOANS WITH COST</font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">64 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHER LOANS WITHOUT
      COST</font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>31 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>DEFERRED LOANS</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>879,004 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>923,987 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>100 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">65 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">NEGATIVE GOODWILL</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">66 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">DEFERRED TAXES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">869,382 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">99 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">914,596 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">99 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">67 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHERS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">9,622 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">9,391 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">1 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1"><b>32 </b></font></td>
    <td nowrap valign=bottom align="left"> <font size="1"><b>OTHER LIABILITIES</b></font></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1"><b>0 </b></font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">68 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">RESERVES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">69 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">OTHER LIABILITIES</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">44 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">EXCESS (SHORTFALL) IN
      RESTATEMENT OF</font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"></td>
    <td nowrap valign=bottom align="left"> <font size="1">STOCKHOLDERS' EQUITY</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">(777,808)</font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">(100)</font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">(924,319)</font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">(100)</font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top height="2" align="left"> <font size="1">70 </font></td>
    <td nowrap valign=bottom height="2" align="left"> <font size="1">ACCUMULATED
      INCOME DUE TO MONETARY POSITION</font></td>
    <td nowrap valign=bottom height="2" align="right"> <font size="1">(777,808)</font></td>
    <td nowrap valign=bottom height="2" align="right"></td>
    <td nowrap valign=bottom height="2" align="right"> <font size="1">(100)</font></td>
    <td nowrap valign=bottom height="2" align="right"></td>
    <td nowrap valign=bottom height="2" align="right"> <font size="1">(924,319)</font></td>
    <td nowrap valign=bottom height="2" align="right"></td>
    <td nowrap valign=bottom height="2" align="right"> <font size="1">(100)</font></td>
    <td nowrap valign=bottom height="2" align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left"> <font size="1">71 </font></td>
    <td nowrap valign=bottom align="left"> <font size="1">INCOME FROM NON-MONETARY
      POSITION ASSETS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
</table>
<p>
<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><p>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>
      SIMEC </b> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      </font></td>
    <td nowrap valign=bottom width="117" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b> 2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></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">OTHER CONCEPTS</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom align="center"></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom align="center"> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR<br>
      </font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1"><b>S</b></font></td>
    <td nowrap valign=bottom align="center"></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
  </tr>
  <tr>
    <td nowrap valign=bottom height="2" colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom height="2"> <font size="1">72 </font></td>
    <td nowrap valign=bottom height="2"> <font size="1">WORKING CAPITAL</font></td>
    <td nowrap valign=bottom align="right" height="2"> <font size="1">1,228,860
      </font></td>
    <td nowrap valign=bottom align="right" height="2"></td>
    <td nowrap valign=bottom align="right" height="2"> <font size="1">282,480
      </font></td>
    <td nowrap valign=bottom align="right" height="2"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1">73 </font></td>
    <td nowrap valign=bottom> <font size="1">PENSIONS FUND AND SENIORITY PREMIUMS</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1">74 </font></td>
    <td nowrap valign=bottom> <font size="1">EXECUTIVES (*)</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">26 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">23 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1">75 </font></td>
    <td nowrap valign=bottom> <font size="1">EMPLOYERS (*)</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">360 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">387 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1">76 </font></td>
    <td nowrap valign=bottom> <font size="1">WORKERS (*)</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">884 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">930 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1">77 </font></td>
    <td nowrap valign=bottom> <font size="1">COMMON SHARES (*)</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">131,973,022 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">120,348,855 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom> <font size="1">78 </font></td>
    <td nowrap valign=bottom> <font size="1">REPURCHASED SHARES (*)</font></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
    <td nowrap valign=bottom align="right"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right"></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap colspan=2 valign=bottom> <font size="1"> (*) THESE ITEMS SHOULD
      BE EXPRESSED IN UNITS</font></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
    <td nowrap valign=bottom></td>
  </tr>
</table>
<p>&nbsp;
<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>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=10 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC</b>
      &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      </font></td>
    <td nowrap valign=bottom width="124" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=10 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1"><b>CONSOLIDATED EARNING
      STATEMENT</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1">FROM JANUARY 1 TO MARCH
      31 OF 2004 AND 2003</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=10 valign=bottom></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom align="center" width=324></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21></td>
    <td nowrap valign=bottom align="center" width=324> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21> <b><font size="1">R</font></b></td>
    <td nowrap valign=bottom align="center" width=324></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" width=24> <b><font size="1">%</font></b></td>
    <td nowrap valign=bottom align="center" width=16><b>&nbsp;&nbsp;&nbsp;&nbsp;</b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" width=30> <b><font size="1">%</font></b></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=600 colspan="10">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">1 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">NET SALES</font></b></td>
    <td nowrap valign=bottom align="right" width=67> <b><font size="1">964,313
      </font></b></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=16><b>&nbsp;</b></td>
    <td nowrap valign=bottom align="right" width=65> <b><font size="1">610,198
      </font></b></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">2 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">COST OF SALES</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">638,083 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">66 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">404,449 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">66 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">3 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">GROSS INCOME</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">326,230 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">34 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">205,749 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">34 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">4 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">OPERATING EXPENSES</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">116,422 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">12 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">119,842 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">20 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">5 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">OPERATING INCOME</font></b></td>
    <td nowrap valign=bottom align="right" width=67> <b><font size="1">209,808
      </font></b></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <b><font size="1">22 </font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <b><font size="1">85,907
      </font></b></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <b><font size="1">14 </font></b></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">6 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">TOTAL FINANCING COST</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">15,623 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">29,111 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">5 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">7 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">INCOME AFTER FINANCING
      COST</font></b></td>
    <td nowrap valign=bottom align="right" width=67> <b><font size="1">194,185
      </font></b></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <b><font size="1">20 </font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <b><font size="1">56,796
      </font></b></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <b><font size="1">9 </font></b></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">8 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">OTHER FINANCIAL OPERATIONS</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">(9,432)</font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">(1)</font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">(965)</font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">9 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">INCOME BEFORE TAXES
      AND WORKERS' PROFIT SHARING</font></b></td>
    <td nowrap valign=bottom align="right" width="67"> <font size="1">203,617
      </font></td>
    <td nowrap valign=bottom align="right" width="27"></td>
    <td nowrap valign=bottom align="right" width="24"> <font size="1">21 </font></td>
    <td nowrap valign=bottom align="right" width="16"></td>
    <td nowrap valign=bottom align="right" width="65"> <font size="1">57,761 </font></td>
    <td nowrap valign=bottom align="right" width="15"></td>
    <td nowrap valign=bottom align="right" width="30"> <font size="1">9 </font></td>
    <td nowrap valign=bottom align="center" width="11"></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">10 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">RESERVE FOR TAXES AND WORKERS'
      PROFIT</font></td>
    <td nowrap valign=bottom align="right" width=67></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"></td>
    <td nowrap valign=bottom width=324> <font size="1">SHARING</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">(62,413)</font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">(6)</font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">(21,688)</font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">(4)</font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">11 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">NET INCOME AFTER TAXES
      AND WORKERS' PROFIT SHARING</font></b></td>
    <td nowrap valign=bottom align="right" width="67"> <b><font size="1">266,030
      </font></b></td>
    <td nowrap valign=bottom align="right" width="27"></td>
    <td nowrap valign=bottom align="right" width="24"> <b><font size="1">28 </font></b></td>
    <td nowrap valign=bottom align="right" width="16"></td>
    <td nowrap valign=bottom align="right" width="65"> <b><font size="1">79,449
      </font></b></td>
    <td nowrap valign=bottom align="right" width="15"></td>
    <td nowrap valign=bottom align="right" width="30"> <b><font size="1">13 </font></b></td>
    <td nowrap valign=bottom align="center" width="11"></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">12 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">SHARE IN NET INCOME OF
      SUBSISIARIES AND<br>
      NON-CONSOLIDATED ASSOCIATES <br>
      </font></td>
    <td nowrap valign=bottom align="right" width="67"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width="27"></td>
    <td nowrap valign=bottom align="right" width="24"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width="16"></td>
    <td nowrap valign=bottom align="right" width="65"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width="15"></td>
    <td nowrap valign=bottom align="right" width="30"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="center" width="11"></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">13 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">CONSOLIDATED NET INCOME
      FROM CONTINUOUS OPERATIONS </font></b></td>
    <td nowrap valign=bottom align="right" width="67"> <b><font size="1">266,030
      </font></b></td>
    <td nowrap valign=bottom align="right" width="27"></td>
    <td nowrap valign=bottom align="right" width="24"> <b><font size="1">28 </font></b></td>
    <td nowrap valign=bottom align="right" width="16"></td>
    <td nowrap valign=bottom align="right" width="65"> <b><font size="1">79,449
      </font></b></td>
    <td nowrap valign=bottom align="right" width="15"></td>
    <td nowrap valign=bottom align="right" width="30"> <b><font size="1">13 </font></b></td>
    <td nowrap valign=bottom align="center" width="11"></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">14 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">INCOME FROM DISCONTINUOUS
      OPERATIONS</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">15 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">CONSOLIDATED NET INCOME
      BEFORE EXTRAORDINARY ITEMS </font></b></td>
    <td nowrap valign=bottom align="right" width="67"> <b><font size="1">266,030
      </font></b></td>
    <td nowrap valign=bottom align="right" width="27"></td>
    <td nowrap valign=bottom align="right" width="24"> <b><font size="1">28 </font></b></td>
    <td nowrap valign=bottom align="right" width="16"></td>
    <td nowrap valign=bottom align="right" width="65"> <b><font size="1">79,449
      </font></b></td>
    <td nowrap valign=bottom align="right" width="15"></td>
    <td nowrap valign=bottom align="right" width="30"> <b><font size="1">13 </font></b></td>
    <td nowrap valign=bottom align="center" width="11"></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">16 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">EXTRAORDINARY ITEMS NET
      EXPENSES (INCOME)</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">17 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">NET EFFECT AT THE BEGINNING
      OF THE YEAR BY<br>
      CHANGES IN ACCOUNTING PRINCIPLES </font></td>
    <td nowrap valign=bottom align="right" width="67"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width="27"></td>
    <td nowrap valign=bottom align="right" width="24"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width="16"></td>
    <td nowrap valign=bottom align="right" width="65"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width="15"></td>
    <td nowrap valign=bottom align="right" width="30"> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="center" width="11"></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">18 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">NET CONSOLIDATED INCOME</font></b></td>
    <td nowrap valign=bottom align="right" width=67> <b><font size="1">266,030
      </font></b></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <b><font size="1">28 </font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <b><font size="1">79,449
      </font></b></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <b><font size="1">13 </font></b></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <font size="1">19 </font></td>
    <td nowrap valign=bottom width=324> <font size="1">NET INCOME OF MINORITY
      INTEREST</font></td>
    <td nowrap valign=bottom align="right" width=67> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21 align="left"> <b><font size="1">20 </font></b></td>
    <td nowrap valign=bottom width=324> <b><font size="1">NET INCOME OF MAJORITY
      INTEREST</font></b></td>
    <td nowrap valign=bottom align="right" width=67> <b><font size="1">266,030
      </font></b></td>
    <td nowrap valign=bottom align="right" width=27></td>
    <td nowrap valign=bottom align="right" width=24> <b><font size="1">28 </font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=65> <b><font size="1">79,449
      </font></b></td>
    <td nowrap valign=bottom align="right" width=15></td>
    <td nowrap valign=bottom align="right" width=30> <b><font size="1">13 </font></b></td>
    <td nowrap valign=bottom align="center" width=11></td>
  </tr>
</table>
<p>&nbsp;
<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>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=11 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=10 valign=bottom height="9"> <font size="1">STOCK EXCHANGE
      CODE: <b>SIMEC</b> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      </font></td>
    <td nowrap valign=bottom height="9" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=10 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1"><b>CONSOLIDATED EARNING
      STATEMENT</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1">BREAKDOWN OF MAIN CONCEPTS</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=10 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=10 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="left" width=20> <font size="1"><b>REF</b></font></td>
    <td nowrap valign=bottom align="left" width=312></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="left" width=20></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1"><b>CATEGORIES</b></font></td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap colspan=4 valign=bottom align="center"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="left" width=20> <font size="1"><b>R</b></font></td>
    <td nowrap valign=bottom align="left" width=312></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">%</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">%</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="left" colspan="10">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <b><font size="1">1 </font></b></td>
    <td nowrap valign=bottom align="left" width=312> <b><font size="1">NET SALES</font></b></td>
    <td nowrap valign=bottom align="right" width=49> <b><font size="1">964,313
      </font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <b><font size="1">610,198
      </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">21 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">DOMESTIC</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">840,000 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">87 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">545,386 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">89 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">22 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">FOREIGN</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">124,313 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">13 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">64,812 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">11 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">23 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">TRANSLATED
      INTO DOLLARS (***)</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">11,280 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">5,977 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20></td>
    <td nowrap valign=bottom align="left" width=312></td>
    <td nowrap valign=bottom align="right" width=49></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <b><font size="1">6 </font></b></td>
    <td nowrap valign=bottom align="left" width=312> <b><font size="1">TOTAL FINANCING
      COST</font></b></td>
    <td nowrap valign=bottom align="right" width=49> <b><font size="1">15,623
      </font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <b><font size="1">29,111
      </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">24 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">INTEREST PAID</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">6,289 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">40 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">6,207 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">21 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">25 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">EXCHANGE LOSSES</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">347 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">2 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">26,670 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">92 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">26 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">INTEREST EARNED</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">2,080 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">13 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">27 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">EXCHANGE PROFITS</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">28 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">GAIN FROM
      MONETARY POSITION</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">11,067 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">71 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">(3,766)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">(13)</font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20></td>
    <td nowrap valign=bottom align="left" width=312></td>
    <td nowrap valign=bottom align="right" width=49></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <b><font size="1">8 </font></b></td>
    <td nowrap valign=bottom align="left" width=312> <b><font size="1">OTHER FINANCIAL
      OPERATIONS</font></b></td>
    <td nowrap valign=bottom align="right" width=49> <b><font size="1">(9,432)</font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <b><font size="1">(965)</font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">29 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">OTHER NET
      EXPENSES (INCOME) NET</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">(9,432)</font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">100 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">(965)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">100 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">30 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">(PROFIT LOSS
      ON SALE OF OWN SHARES</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">31 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">(PROFIT LOSS
      ON SALE OF SHORT-TERM INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20></td>
    <td nowrap valign=bottom align="left" width=312></td>
    <td nowrap valign=bottom align="right" width=49></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <b><font size="1">10 </font></b></td>
    <td nowrap valign=bottom align="left" width=312> <b><font size="1">RESERVE
      FOR TAXESS AND WORKERS' PROFIT SHARING</font></b></td>
    <td nowrap valign=bottom align="right" width=49> <b><font size="1">(62,413)</font></b></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <b><font size="1">(21,688)</font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <b><font size="1">100 </font></b></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">32 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">INCOME TAX</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">7,193 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">(12)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">8,125 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">(37)</font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">33 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">DEFERED INCOME
      TAX</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">(69,906)</font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">112 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">(30,188)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">139 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">34 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">WORKERS' PROFIT
      SHARING</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">300 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">375 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">(2)</font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=top align="left" width=20> <font size="1">35 </font></td>
    <td nowrap valign=bottom align="left" width=312> <font size="1">DEFERED WORKERS'
      PROFIT SHARING</font></td>
    <td nowrap valign=bottom align="right" width=49> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=16></td>
    <td nowrap valign=bottom align="right" width=39> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=63> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=34> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=21></td>
  </tr>
  <tr>
    <td nowrap valign=bottom height="20" align="left" colspan="10">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>
<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>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom><b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC</b>
      &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></td>
    <td nowrap valign=bottom width="114" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>CONSOLIDATED EARNING
      STATEMENT</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">OTHER CONCEPTS</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top height="20" width=31 align="center"><font size="1"><b>REF</b></font>
    </td>
    <td nowrap valign=bottom align="center" height="20" width=319> <font size="1"><b>CATEGORIES</b></font></td>
    <td nowrap valign=bottom align="center" colspan="2" height="20"> <font size="1"><b>QUARTER
      OF PRESENT<br>
      FINANCIAL YEAR</b></font>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap valign=bottom align="center" height="20" colspan="2"> <font size="1"><b>QUARTER
      OF PREVIOUS<br>
      FINANCIAL YEAR</b></font>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1"><b>R</b></font></td>
    <td nowrap valign=bottom align="center" width=319></td>
    <td nowrap valign=bottom align="center" colspan="2"> <font size="1"><b>AMOUNT</b></font></td>
    <td nowrap valign=bottom align="center" colspan="2"> <font size="1"><b>AMOUNT</b></font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"></td>
    <td nowrap valign=bottom width=319></td>
    <td nowrap valign=bottom width=82></td>
    <td nowrap valign=bottom width=39></td>
    <td nowrap valign=bottom width=85></td>
    <td nowrap valign=bottom width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=600 align="left" colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1">36 </font></td>
    <td nowrap valign=bottom width=319> <font size="1">TOTAL SALES</font></td>
    <td nowrap valign=bottom align="right" width=82> <font size="1">1,036,491
      </font></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=85> <font size="1">661,117 </font></td>
    <td nowrap valign=bottom align="right" width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1">37 </font></td>
    <td nowrap valign=bottom width=319> <font size="1">NETR INCOME OF THE YEAR</font></td>
    <td nowrap valign=bottom align="right" width=82> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=85> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1">38 </font></td>
    <td nowrap valign=bottom width=319> <font size="1">NET SALES (**)</font></td>
    <td nowrap valign=bottom align="right" width=82> <font size="1">3,185,925
      </font></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=85> <font size="1">2,315,096
      </font></td>
    <td nowrap valign=bottom align="right" width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1">39 </font></td>
    <td nowrap valign=bottom width=319> <font size="1">OPERATION INCOME (**)</font></td>
    <td nowrap valign=bottom align="right" width=82> <font size="1">628,142 </font></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=85> <font size="1">295,015 </font></td>
    <td nowrap valign=bottom align="right" width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1">40 </font></td>
    <td nowrap valign=bottom width=319> <font size="1">NET INCOME OF MAJORITY
      INTEREST (**)</font></td>
    <td nowrap valign=bottom align="right" width=82> <font size="1">641,662 </font></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=85> <font size="1">145,109 </font></td>
    <td nowrap valign=bottom align="right" width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31 align="left"> <font size="1">41 </font></td>
    <td nowrap valign=bottom width=319> <font size="1">NET CONSOLIDATED INCOME
      (**)</font></td>
    <td nowrap valign=bottom align="right" width=82> <font size="1">641,662 </font></td>
    <td nowrap valign=bottom align="right" width=39></td>
    <td nowrap valign=bottom align="right" width=85> <font size="1">145,119 </font></td>
    <td nowrap valign=bottom align="right" width=44></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=600 colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=31></td>
    <td nowrap valign=bottom width=319></td>
    <td nowrap valign=bottom width=82></td>
    <td nowrap valign=bottom width=39></td>
    <td nowrap valign=bottom width=85></td>
    <td nowrap valign=bottom width=44></td>
  </tr>
  <tr>
    <td nowrap colspan=4 valign=bottom> <font size="1">(***) THE RESTATED INFORMATION
      FOR THE LAST TWELVE MONTHS SHOULD BE USED</font></td>
    <td nowrap valign=bottom width=85></td>
    <td nowrap valign=bottom width=44></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>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC</b>
      &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      </font></td>
    <td nowrap valign=bottom align="right"><font size="1">QUARTER: <b>1</b> YEAR:
      <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>CONSOLIDATED STATEMENT
      OF CHANGES IN FINANCIAL POSITION</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">FROM JANUARY 1 TO MARCH
      31 OF 2004 AND 2003</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24 align="center"> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom align="center" width=344></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24 align="center"></td>
    <td nowrap valign=bottom align="center" width=344> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=24 align="left"> <b><font size="1">C</font></b></td>
    <td nowrap valign=bottom align="center" width=344></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6" align="left">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <b><font size="1">1 </font></b></td>
    <td nowrap valign=bottom width=344> <b><font size="1">CONSOLIDATED NET INCOME</font></b></td>
    <td nowrap valign=bottom align="right" width=83> <b><font size="1">266,030
      </font></b></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">79,449
      </font></b></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">2 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">+ (-) ITEMS ADDED TO INCOME
      WHICH DO NOT REQUIRE<br>
      CASH </font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">(22,349)</font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">15,541 </font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <b><font size="1">3 </font></b></td>
    <td nowrap valign=bottom width=344> <b><font size="1">CASH FLOW FROM NET INCOME
      OF THE YEAR</font></b></td>
    <td nowrap valign=bottom align="right" width=83> <b><font size="1">243,681
      </font></b></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">94,990
      </font></b></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">4 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">CASH FLOW FROM CHANGE IN
      WORKING CAPITAL</font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">(28,604)</font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(176,509)</font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <b><font size="1">5 </font></b></td>
    <td nowrap valign=bottom width=344> <b><font size="1">CASH GENERATED (USED)
      IN OPERATING ACTIVITIES</font></b></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1"><b>215,077
      </b></font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1"><b>(81,519)</b></font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">6 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">CASH FLOW FROM EXTERNAL
      FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">(19,455)</font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(121,486)</font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">7 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">CASH FLOW FROM INTERNAL
      FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">187,290 </font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <b><font size="1">8 </font></b></td>
    <td nowrap valign=bottom width=344> <b><font size="1">CASH FLOW GENERATED
      (USED) BY FINANCING</font></b></td>
    <td nowrap valign=bottom align="right" width=83> <b><font size="1">(19,455)</font></b></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">65,804
      </font></b></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <b><font size="1">9 </font></b></td>
    <td nowrap valign=bottom width=344> <b><font size="1">CASH FLOW GENERATED
      (USED) IN INVESTMENT<br>
      ACTIVITIES </font></b></td>
    <td nowrap valign=bottom align="right" width=83> <b><font size="1">41,337
      </font></b></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">(21,990)</font></b></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">10 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">NET INCREASE (DECREASE)
      IN CASH AND SHORT-TERM</font></td>
    <td nowrap valign=bottom align="right" width=83></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"></td>
    <td nowrap valign=bottom width=344> <font size="1">INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">236,959 </font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(37,705)</font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">11 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">CASH AND SHORT-TERM INVESTMENTS
      AT THE</font></td>
    <td nowrap valign=bottom align="right" width=83></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"></td>
    <td nowrap valign=bottom width=344> <font size="1">BEGINNING OF PERIOD</font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">525,214 </font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">115,786 </font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=top width=24 align="left"> <font size="1">12 </font></td>
    <td nowrap valign=bottom width=344> <font size="1">CASH AND SHORT TERM INVESTMENTS
      AT THE END<br>
      OF PERIOD </font></td>
    <td nowrap valign=bottom align="right" width=83> <font size="1">762,173 </font></td>
    <td nowrap valign=bottom align="right" width=29></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">78,081 </font></td>
    <td nowrap valign=bottom align="right" width=41></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>
<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>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=8 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=8 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=7 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC</b>
      &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      </font></td>
    <td nowrap valign=bottom width="143" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=7 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">CONSOLIDATED STATEMENT
      OF CHANGES IN FINANCIAL POSITION</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <font size="1">BREAKDOWN OF MAIN CONCEPTS</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <font size="1">(Thousands of Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=7 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=22> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom align="center" width=338></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap valign=bottom align="center" width=9></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=22></td>
    <td nowrap valign=bottom align="center" width=338> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap valign=bottom align="center" width=9></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=22> <b><font size="1">C</font></b></td>
    <td nowrap valign=bottom align="center" width=338></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" width=9></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <b><font size="1">2 </font></b></td>
    <td nowrap valign=bottom width=338> <b><font size="1">+ (-) ITEMS ADDED TO
      INCOME WHICH DO NOT REQUIRE<br>
      CASH </font></b></td>
    <td nowrap valign=bottom align="right" width=84> <b><font size="1">(22,349)</font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">15,541
      </font></b></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">13 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">DEPRECIATION AND AMORTIZATION
      FOR THE YEAR</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">47,557 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">45,729 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">14 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) NET INCREASE (DECREASE
      IN PENSIONS FUNS</font></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338> <font size="1">AND SENIORITY PREMIUMS</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">15 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) NET LOSS (PROFIT)
      IN MONEY EXCHANGE</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">16 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) NET LOSS (PROFIT)
      IN ASSETS AND LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338> <font size="1">ACTUALIZATION</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">17 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) OTHER ITEMS</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">40 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) OTHER ITEMS WHICH
      DO NOT AFFECT EBITDA</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(69,906)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(30,188)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <b><font size="1">4 </font></b></td>
    <td nowrap valign=bottom width=338> <b><font size="1">CASH FLOW FROM CHANGE
      IN WORKING CAPITAL</font></b></td>
    <td nowrap valign=bottom align="right" width=84> <b><font size="1">(28,604)</font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">(176,509)</font></b></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">18 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) DECREASE (INCREASE)
      IN ACCOUNT RECEIVABLES</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(77,188)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">9,808 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">19 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) DECREASE (INCREASE)
      IN INVENTORIES</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(73,556)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(347)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">20 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) DECREASE (INCREASE)
      IN OTHER ACCOUNT </font></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338> <font size="1">RECEIVABLES</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">53,407 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">24,477 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">21 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) INCREASE (DECREASE)
      IN SUPPLIER ACCOUNT</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">84,709 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(22,842)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">22 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) INCREASE (DECREASE)
      IN OTHER LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(15,976)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(187,605)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <b><font size="1">6 </font></b></td>
    <td nowrap valign=bottom width=338> <b><font size="1">CASH FLOW FROM EXTERNAL
      FINANCING</font></b></td>
    <td nowrap valign=bottom align="right" width=84> <b><font size="1">(19,455)</font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">(121,486)</font></b></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">23 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ SHORT-TERM BANK AND STOCK
      MARKET FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(711)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">8,802 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">24 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ LONG-TERM BANK AND STOCK
      MARKET FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">25 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ DIVIDEND RECEIVED</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">26 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">OTHER FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">27 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">(-) BANK FINANCING AMORTIZATION</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(18,744)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(130,288)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">28 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">(-) STOCK MARKET AMORTIZATION</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">29 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">(-) OTHER FINANCING AMORTIZATION</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <b><font size="1">7 </font></b></td>
    <td nowrap valign=bottom width=338> <b><font size="1">CASH FLOW FROM INTERNAL
      FINANCING</font></b></td>
    <td nowrap valign=bottom align="right" width=84> <b><font size="1">0 </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1"><b>187,290
      </b></font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">30 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ (-) INCREASE (DECREASE)
      IN CAPITAL STOCK</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">187,290 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">31 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">(-) DIVIDENDS PAID</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">32 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ PREMIUM ON SALE OF SHARES</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">33 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ CONTRIBUTION FOR FUTURE
      CAPITAL INCREASES</font></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <b><font size="1">9 </font></b></td>
    <td nowrap valign=bottom width=338> <b><font size="1">CASH FLOW GENERATED
      (UTILIZED) IN INVESTMENT</font></b></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338> <b><font size="1">ACTIVITIES</font></b></td>
    <td nowrap valign=bottom align="right" width=84> <b><font size="1">41,337
      </font></b></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <b><font size="1">(21,990)</font></b></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">34 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+(-) INCREASE (DECREASE)
      IN STOCK INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right" width=84></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"></td>
    <td nowrap valign=bottom width=338> <font size="1">OF A PERMANENT NATURE</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">35 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">(-) ACQUISITION OF PROPERTY,
      PLANT AND EQUIPMENT</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">(5,842)</font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(2,096)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">36 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">(-) INCREASE IN CONSTRUCTION
      PROGRESS</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">37 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ SALO OF OTHER PERMANENT
      INVESTMENTS</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">38 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+ SALE OF TANGIBLE FIXED
      ASSETS</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">0 </font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=top width=22 align="left"> <font size="1">39 </font></td>
    <td nowrap valign=bottom width=338> <font size="1">+(-) OTHER ITEMS</font></td>
    <td nowrap valign=bottom align="right" width=84> <font size="1">47,179 </font></td>
    <td nowrap valign=bottom align="right" width=23></td>
    <td nowrap valign=bottom align="right" width=9></td>
    <td nowrap valign=bottom align="right" width=79> <font size="1">(19,894)</font></td>
    <td nowrap valign=bottom align="right" width=45></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=600 colspan="7">
      <hr size="1" noshade>
    </td>
  </tr>
</table>
<p>&nbsp;<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>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC</b>
      </font></td>
    <td nowrap valign=bottom width="126" align="right"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>GRUPO SIMEC, S.A. DE
      C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>RATIOS</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">CONSOLIDATED</font></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=20> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom align="center" width=285></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=20></td>
    <td nowrap valign=bottom align="center" width=285> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=20> <b><font size="1">C</font></b></td>
    <td nowrap valign=bottom align="center" width=285></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=20></td>
    <td nowrap valign=bottom width=285> <font size="1"><b>YIELD</b></font></td>
    <td nowrap valign=bottom width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">1 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">NET INCOME TO NET SALES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">27.59% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">13.02% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">2 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">NET INCOME TO STOCKHOLDERS'
      EQUITY (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">12.70% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">3.56% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">3 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">NET INCOME TO TOTAL ASSETS
      (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">9.93% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">2.60% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">4 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CASH DIVIDENDS TO PREVIOUS
      YEAR NET INCOME</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">0.00% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">0.00% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">5 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">INCOME DUE TO MONETARY
      POSITION TO NET INCOME</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">-4.16% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">4.74% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1"><b>ACTIVITY</b></font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">6 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">NET SALES TO NET ASSETS
      (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 0.49 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 0.41 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">7 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">NET SALES TO FIXED ASSETS
      (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 0.72 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 0.52 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">8 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">INVENTORIES ROTATION (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 5.90 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 5.13 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">9 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">ACCOUNTS RECEIVABLE IN
      DAYS OF SALES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 43 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;days</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 57 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;days</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">10 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">PAID INTEREST TO TOTAL
      LIABILITIES WITH COST (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">516.36% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">18.89% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1"><b>LEVERAGE</b></font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">11 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">TOTAL LIABILITIES TO TOTAL
      ASSETS</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">21.84% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">26.95% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">12 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">TOTAL LIABILITIES TO STOCKHOLDERS'
      EQUITY</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 0.28 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 0.37 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">13 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">FOREIGN CURRENCY LIABILITIES
      TO TOTAL LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">6.16% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">18.87% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">14 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">LONG-TERM LIABILITIES TO
      FIXED ASSETS</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">0.00% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">0.00% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">15 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">OPERATING INCOME TO INTEREST
      PAID</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 33.36 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 13.84 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">16 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">NET SALES TO TOTAL LIABILITIES
      (**)</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 2.26 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 1.54 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1"><b>LIQUIDITY</b></font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">17 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CURRENT ASSETS TO CURRENT
      LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 3.31 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 1.49 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">18 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CURRENT ASSETS LESS INVENTORY
      TO CURRENT</font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 2.64 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 0.96 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">19 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CURRENT ASSETS TO TOTAL
      LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 1.25 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> 0.57 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">20 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CURRENT ASSETS TO CURRENT
      LIABILITIES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">143.12% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">13.44% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1"><b>CASH FLOW </b></font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">21 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CASH FLOW FROM NET INCOME
      TO NET SALES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">25.27% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">15.57% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">22 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CASH FLOW FROM CHANGES
      IN WORKING CAPITAL</font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">TO NET SALES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">-2.97% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">-28.93% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">23 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">CASH GENERATED (USED) IN
      OPERATING TO </font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">INTEREST PAID</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1"> 34.20 </font></td>
    <td nowrap valign=bottom width=45><font size="1">&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1"> -13.13 </font></td>
    <td nowrap valign=bottom width=48><font size="1">&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">24 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">EXTERNAL FINANCING TO CASH
      GENERATED </font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">(USED) IN FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">100.00% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">-184.62%
      </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">25 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">INTERNAL FINANCING TO CASH
      GENERATED (USED)</font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">IN FINANCING</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">0.00% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">284.62% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20> <font size="1">26 </font></td>
    <td nowrap valign=bottom width=285> <font size="1">ACQUISITION OF PROPERTY,
      PLANT AND EQUIPMENT</font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">TO CASH GENERATED (USED)
      IN INVESTMENT</font></td>
    <td nowrap valign=bottom align="right" width=98></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=top width=20></td>
    <td nowrap valign=bottom width=285> <font size="1">ACTIVITIES</font></td>
    <td nowrap valign=bottom align="right" width=98> <font size="1">-14.13% </font></td>
    <td nowrap valign=bottom width=45></td>
    <td nowrap valign=bottom align="right" width=104> <font size="1">9.53% </font></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap colspan=4 valign=bottom></td>
    <td nowrap valign=bottom width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
  <tr>
    <td nowrap colspan=4 valign=bottom> <font size="1">(**) IN THESE RATIOS PROVIDE
      INFORMATION FOR THE LAST TWELVE MONTHS.</font></td>
    <td nowrap valign=bottom width=104></td>
    <td nowrap valign=bottom width=48></td>
  </tr>
</table>
<p>&nbsp;<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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<!-- MARKER PAGE="sheet: 14; page: 14" -->


<p>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">MEXICAN STOCK EXCHANGE</font></b></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=7 valign=bottom> <b><font size="1">SIFIC / ICS</font></b></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom> <font size="1">STOCK EXCHANGE CODE: <b>SIMEC</b>
      </font></td>
    <td nowrap valign=bottom align="right" width="154"><font size="1">QUARTER:
      <b>1</b> YEAR: <b>2004</b></font></td>
  </tr>
</table>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr>
    <td nowrap colspan=6 valign=bottom height="9"> <font size="1"><b>GRUPO SIMEC,
      S.A. DE C.V.</b></font> </td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1"><b>DATA PER SHARE</b></font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">CONSOLIDATED</font></td>
  </tr>
  <tr align="center">
    <td nowrap colspan=6 valign=bottom> <font size="1">(Pesos)</font></td>
  </tr>
  <tr>
    <td nowrap colspan=6 valign=bottom>
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21> <b><font size="1">REF</font></b></td>
    <td nowrap valign=bottom align="center" width=315></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PRESENT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">QUARTER
      OF PREVIOUS</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21></td>
    <td nowrap valign=bottom align="center" width=315> <b><font size="1">CATEGORIES</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">FINANCIAL
      YEAR</font></b>
      <hr size="1" noshade width="95%">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21> <b><font size="1">C</font></b></td>
    <td nowrap valign=bottom align="center" width=315></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
    <td nowrap valign=bottom align="center" colspan="2"> <b><font size="1">AMOUNT</font></b></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">1 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">BASIC PROFIT PER ORDINARY
      SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$5.18 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$1.39 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">2 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">BASIC PROFIT PER PREFERENCE
      SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">3 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">DILUTED PROFIT PER ORDINARY
      SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">4 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">CONTINUOUS OPERATING PROFIT
      PER COMMON</font></td>
    <td nowrap valign=bottom align="right" width=81></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21></td>
    <td nowrap valign=bottom width=315> <font size="1">SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$5.18 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$1.39 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">5 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">EFFECT OF DISCONTINUED
      OPERATIONS ON</font></td>
    <td nowrap valign=bottom align="right" width=81></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21></td>
    <td nowrap valign=bottom width=315> <font size="1">CONTINUOUS OPERATING PROFIT
      PER SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">6 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">EFFECT OF EXTRAORDINARY
      PROFIT AND LOSS ON</font></td>
    <td nowrap valign=bottom align="right" width=81></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21></td>
    <td nowrap valign=bottom width=315> <font size="1">CONTINUOUS OPERATING PROFIT
      PER SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">7 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">EFFECT BY CHANGES IN ACCOUNTING
      POLICIES ON </font></td>
    <td nowrap valign=bottom align="right" width=81></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21></td>
    <td nowrap valign=bottom width=315> <font size="1">CONTINUOUS OPERATING PROFIT
      PER SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">8 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">CARRYING VALUE PER SHARE</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$38.27 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$33.89 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">9 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">CASH DIVIDEND ACCUMULATED
      PER SHARE</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1">$0.00 </font></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">10 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">DIVIDEND IN SHARES PER
      SHARE</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1"> 0.00 </font></td>
    <td nowrap valign=bottom width=46><font size="1">&nbsp;shares</font></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1"> 0.00 </font></td>
    <td nowrap valign=bottom width=49><font size="1">&nbsp;&nbsp;shares</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">11 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">MARKET PRICE TO CARRYING
      VALUE</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1"> 0.98 </font></td>
    <td nowrap valign=bottom width=46><font size="1">&nbsp;&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1"> 0.31 </font></td>
    <td nowrap valign=bottom width=49><font size="1">&nbsp;&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">12 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">MARKET PRICE TO BASIC PROFIT
      PER COMMON SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1"> 7.24 </font></td>
    <td nowrap valign=bottom width=46><font size="1">&nbsp;&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1"> 7.65 </font></td>
    <td nowrap valign=bottom width=49><font size="1">&nbsp;&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21> <font size="1">13 </font></td>
    <td nowrap valign=bottom width=315> <font size="1">MARKET PRICE TO BASIC PROFIT
      PER PREFERENCE</font></td>
    <td nowrap valign=bottom align="right" width=81></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap valign=top width=21></td>
    <td nowrap valign=bottom width=315> <font size="1">SHARE (**)</font></td>
    <td nowrap valign=bottom align="right" width=81> <font size="1"> 0.00</font></td>
    <td nowrap valign=bottom width=46><font size="1">&nbsp;&nbsp;times</font></td>
    <td nowrap valign=bottom align="right" width=88> <font size="1"> 0.00 </font></td>
    <td nowrap valign=bottom width=49><font size="1">&nbsp;&nbsp;times</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="6">
      <hr size="1" noshade>
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21></td>
    <td nowrap valign=bottom width=315></td>
    <td nowrap valign=bottom width=81></td>
    <td nowrap valign=bottom width=46></td>
    <td nowrap valign=bottom align="right" width=88></td>
    <td nowrap valign=bottom width=49></td>
  </tr>
  <tr>
    <td nowrap colspan=6 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;<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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<!-- MARKER PAGE="sheet: 15; page: 15" -->

<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b> FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><table width=600><tr><td><font size=2>s35.- Stockholders&#146; Equity:</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Effects of inflation - The effects of inflation
on stockholders&#146; equity at March  31, 2004 are as follows:</font></td></tr></table>

<p>
<p>
<table cellspacing=0 border=0 cellpadding=0 width=600>
  <tr>
    <td valign="TOP" width="236">
      <p>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" colspan="2" align="center">
      <div align="center"><font size=2> Historical Cost</font></div>
    </td>
    <td valign="TOP" align="center" width="20">
      <p align="center">
    </td>
    <td valign="TOP" colspan="2" align="center">
      <div align="center"><font size=2> Restated Amount</font></div>
    </td>
    <td valign="TOP" align="center" width="20">
      <p align="center">
    </td>
    <td valign="TOP" colspan="2" align="center">
      <div align="center"><font size=2> </font></div>
      <p align="center"><font size="2">Total </font>
    </td>
  </tr>
  <tr>
    <td valign="TOP" width="236">
      <p align="JUSTIFY"><font size="2">Capital stock </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"><font size=2>Ps.</font></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">1,925,252</font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="43"><font size=2>Ps. </font></td>
    <td valign="TOP" align="right" width="57"> <font size=2> </font>
      <p><font size="2">1,212,516 </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"><font size=2>Ps. </font></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">3,137,768 </font>
    </td>
  </tr>
  <tr>
    <td valign="TOP" width="236">
      <p><font size="2">Additional paid-in capital </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">549,517</font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="43"></td>
    <td valign="TOP" align="right" width="57"> <font size=2> </font>
      <p><font size="2">83,744 </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">633,261 </font>
    </td>
  </tr>
  <tr>
    <td valign="TOP" width="236">
      <p><font size="2">Retained earnings </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">1,557,261 </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="43"></td>
    <td valign="TOP" align="right" width="57"> <font size=2> </font>
      <p><font size="2">500,528 </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">2,057,789 </font>
    </td>
  </tr>
  <tr>
    <td valign="TOP" width="236"> <font size=2> Excess resulting from restating<br>
      &nbsp;&nbsp;&nbsp;Stockholders&#146; equity to reflect<br>
      &nbsp;&nbsp;&nbsp;Certain effects of inflation</font></td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">- </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="43"></td>
    <td valign="TOP" align="right" width="57"> <font size=2> </font>
      <p><font size="2">63,275 </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">63,275 </font>
    </td>
  </tr>
  <tr>
    <td valign="TOP" width="236"> <font size=2> Effect deferred income tax <br>
      &nbsp;&nbsp; Bulletin D-4</font></td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">(662,340) </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="43"></td>
    <td valign="TOP" align="right" width="57"> <font size=2> </font>
      <p><font size="2">(178,743) </font>
    </td>
    <td valign="TOP" width="20">
      <p>
    </td>
    <td valign="TOP" align="right" width="44"></td>
    <td valign="TOP" align="right" width="58"> <font size=2> </font>
      <p><font size="2">(841,083) </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.  869,382 at
March 31, 2004  compared to Ps.  914,596 at March 31, 2003.  The effect on Simec&#146;s
consolidated  statement  of income  in the  three-month  period  ended  March  31,  2004
was a  decrease  of Ps.  69,906 in the  provision  for income tax and  employee  profit
sharing  compared to a decrease of Ps. 30,188 in the same period of 2003.  These
provisions do not affect the cash flow of Simec.</font></td></tr></table>

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

<p><table width=600><tr><td><font size=2>r26.- Simec doesn&#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>

<p><TABLE CELLSPACING=0 BORDER=0 CELLPADDING=0 WIDTH=600>
  <TR>
    <TD VALIGN="TOP" WIDTH="280" height="16">
      <P></td>
    <TD VALIGN="TOP" WIDTH="20" height="16">
      <P></td>
    <TD VALIGN="TOP" WIDTH="50" align="right" height="16">
      <P></td>
    <TD VALIGN="TOP" colspan="2" height="16" align="center"> <FONT SIZE=2>
      <P>March 31, 2004
      </FONT></TD>
    <TD VALIGN="TOP" align="center" height="16">
      <P></td>
    <TD VALIGN="TOP" colspan="2" height="16" align="center"><font size=2>March
      31, 2003</font></TD>
  </TR>
  <TR>
    <TD VALIGN="TOP" WIDTH="280"> <FONT SIZE=2>
      <P>Net loss (profit) in money exchange
      </FONT></TD>
    <TD VALIGN="TOP" WIDTH="20">
      <P></td>
    <TD VALIGN="TOP" WIDTH="50" align="right"> <FONT SIZE=2>
      <P>Ps.
      </FONT></TD>
    <TD VALIGN="TOP" WIDTH="70" align="right"> <FONT SIZE=2>
      <P>(359)
      </FONT></TD>
    <TD VALIGN="TOP" WIDTH="30">
      <P></td>
    <TD VALIGN="TOP" WIDTH="50" align="right"> <FONT SIZE=2>
      <P>Ps.
      </FONT></TD>
    <TD VALIGN="TOP" WIDTH="70" align="right"><font size=2>13,552</font></TD>
    <TD VALIGN="TOP" WIDTH="30"> <FONT SIZE=2>
      <P>&nbsp;
      </FONT></TD>
  </TR>
  <TR>
    <TD VALIGN="TOP" WIDTH="280"> <FONT SIZE=2>
      <P>Net loss (profit) in liabilities actualization
      </FONT></TD>
    <TD VALIGN="TOP" WIDTH="20">
      <P></td>
    <TD VALIGN="TOP" WIDTH="50" align="right">
      <P></td>
    <TD VALIGN="TOP" WIDTH="70" align="right"> <FONT SIZE=2>
      <P>(352)
      </FONT></TD>
    <TD VALIGN="TOP" WIDTH="30">
      <P></td>
    <TD VALIGN="TOP" WIDTH="50" align="right">
      <P></td>
    <TD VALIGN="TOP" WIDTH="70" align="right"><font size=2>(4,736)</font></TD>
    <TD VALIGN="TOP" WIDTH="30"> <FONT SIZE=2>
      <P>&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;





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<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>DIRECTOR REPORT (1) </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 1 </b></font></td>
    <td></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 March 31, 2004,  Simec&#146;s total  consolidated
debt consisted of $302,000 of 8  7/8% MTN&#146;s due 1998 (accrued interest at March 31, 2004
was $261,984) which were  issued in 1993 as part of a $68 million  issuance.  At December
31, 2003,  Simec  had  outstanding  approximately  $2  million  of U.S.
dollar-denominated  debt.  Simec&#146;s  lower debt level at March 31, 2004  reflected  the
prepayment  of $1.7  million  of bank debt in March  2004.  At March 31,  2004  Simec
owed no debt to  Industrias CH, S.A. de C.V. (&#147;ICH&#148;).</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Simec&#146;s bank debt  prepayment in March 2004
represented  payment in full of its  outstanding  bank  debt.  This  payment  will
permit  to  Simec to  cancel  the  industrial  mortgage  securing the bank debt and Simec
is no longer  required to  comply with various bank covenants, including a limitation on
asset dispositions  and required application of proceeds from such dispositions.</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 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.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>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 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
this conversion  by ICH to purchase Series B Common Stock at the price per share of Ps.
14.588 in  May 2004.</font></td></tr></table>

<p><table width=600><tr><td><font size=2>Net  resources  provided by operations  were Ps.
215 million in the  three-month  period  ended  March 31,  2004  versus Ps. 82 million of
net  resources  used in  operations in the same period of 2003 (which amount for the 2003
period reflects  the  conversion of loans into common  shares of Simec for Ps. 187
million).  Net  resources used in financing  activities  were Ps. 19 million in the
three-month  period  ended March 31, 2004 (which  amount  reflects  prepayment  of bank
debt)  versus Ps. 66 million of net resources  provided by financing  activities in the
same period of 2003 (which  amount  reflects the  prepayment  of Ps. 130 million  ($11.8
million)  of bank debt and the  conversion  by ICH of Ps. 187 million of  loans (plus
accrued interest thereon) into common shares. Net resources provided  by investing
activities  (to acquire  property,  plant and  equipment and other  non-current  assets)
were Ps. 41 million in the  three-month  period ended March  31, 2004 versus net
resources used in investing  activities of Ps. 22 million in  the same period of 2003.</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" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>DIRECTOR REPORT (1) </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 1 </b></font></td>
    <td></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>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>Three-Month Period Ended March 31, 2004 compared to Three-Month
      Period Ended March 31, 2003</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 58% to Ps. 964
million in the  three-month  period  ended  March 31,  2004  compared  to Ps. 610 million
in the same period of 2003.  Sales in tons of basic  steel  products  increased  11% to
170,389  tons in the  three-month  period  ended March 31, 2004  compared to 151,472
tons in the same  period of 2003.  Exports of basic steel products increased 46% to
25,698 tons in  the  three-month  period  ended March 31,  2004  versus  17,623 tons in
the same  period  of  2003.  Additionally,  Simec  sold  19,505  tons  of  billet  in
the  three-month  period ended March 31, 2004 compared to 7,850 tons of billet in the
same period of 2003. The average price of steel  products  increased 35% in real  terms
in the  three-month  period ended March 31, 2004 versus the same period of  2003.</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
58% to Ps.  638  million  in the  three-month  period ended March 31, 2004 compared to
Ps. 404 million in the same  period of 2003.  Direct  cost of sales as a  percentage  of
net sales was 66% in  each three-month period. The average cost of raw materials used to
produce steel  products  increased 33% in real terms in the three-month  period ended
March 31,  2004 versus the same period of 2003  primarily  as a result of  increases in
the  price of scrap and certain other raw materials.</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 58% to
Ps. 326 million in the three-month  period  ended March 31,  2004  compared to Ps. 206
million in the same period of  2003.  As a  percentage  of net  sales,  marginal  profit
was 34% in each of the  three-month periods ended March 31, 2004 and 2003.</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)  decreased 3%
to Ps. 116 million in the  three-month  period ended March 31, 2004 from Ps. 120 million
in the same period  of 2003;  Simec  recorded  an  increase  of Ps. 2 million  in
depreciation  and  amortization expense which in the three-month period ended March 31,
2004 to Ps.  48 million compared to Ps. 46 million in the same period of 2003.</font></td></tr></table>

<p><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  144%
to Ps. 210 million in the first  quarter of 2004 compared to Ps. 86 million in the same
period of 2003. Operating  income was 22% of net sales in the  three-month  period ended
March 31, 2004 and  14% of net sales in the first quarter of 2003.</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 of Ps. 15
million in the  three-month  period  ended March 31, 2004 compared to financial expense
of Ps. 29 million in the same  period of 2003. Simec recorded an exchange loss of
approximately  Ps. 0 million  in the  three-month  period ended March 31, 2004 compared
to an exchange loss of  Ps. 27 million in the first quarter of 2003, reflecting the 0.7%
increase in the  value of the peso versus the dollar in the  three-month  period  ended
March 31,  2004 versus a decrease of 4.4% in the value of the peso versus the dollar in
the  same period of 2003 and lower debt levels in the three-month  period ended March
31, 2004. Net interest expense was Ps. 4 million in the three-month period ended  March
31,  2004  (including  a loss of Ps. 5 million  in debt bond  investment)  versus  Ps. 6
million  in the same  period of 2003.  Simec  recorded a loss from  monetary  position of
Ps. 11 million in the  three-month  period ended </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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<!-- MARKER PAGE="sheet: 18; page: 18" -->

<p>
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>DIRECTOR REPORT (1) </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 1 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
  </tr>
</table>
<p>
<table width=600><tr><td><font size=2>March 31,  2004  compared  to a gain  from
monetary  position  of Ps. 4 million in the same  period  of  2003,  reflecting  the
domestic  inflation  rate  of  1.6%  in  the  three-month  period  ended March 31,  2004
as compared to 1.3% in the same period  of 2003 and lower debt  levels  during the
three-month  period  ended March 31,  2004.</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 income,  net, of Ps. 9
million in the  three-month  period  ended March 31,  2004  (reflecting  (i) income  from
the  recovery of an account  recorded  as a doubtful  account of Ps. 8 million  and (ii)
other  income,  net  related  to other  financial  operations  of Ps. 1  million)
compared  to other  expense, net, of Ps. 1 million in the same period of 2003.</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  positive  provision  of Ps.
62  million  for  income tax and  employee  profit  sharing  in  the  three-month  period
ended  March  31,  2004  (including a decrease in the provision of Ps. 70 million from
the application of  Bulletin D-4 with respect to deferred income tax described  below)
compared to a  positive  provision  of Ps.  21  million  in same  period of 2003
(including  a  decrease in the provision of Ps. 30 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. 266 million in the  three-month  period ended March  31, 2004 compared
to net income of Ps. 79 million in the same period of 2003.</font></td></tr></table>

<p><table width=600><tr>
    <td><font size=2><i>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. 869
million at March 31,  2004  compared  to Ps.  915  million  at March 31,  2003.  The
effect on Simec&#146;s  consolidated  statement of income in the three-month period ended
March 31, 2004  was a decrease of Ps. 70 million in the  provision  for income tax and
employee  profit  sharing  compared  to a decrease of Ps. 30 million in the same period
of  the same period of 2003. 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;





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<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font></td>
    <td></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>
    <td width=2% colspan="2"><font size=3>&#149;</font></td>
    <td width=2%></td>
    <td width=96%><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>
    <td width=2% colspan="2"><font size=3>&#149;</font></td>
    <td width=2%></td>
    <td width=96%><font size=2>Industrias del Acero y del Alambre, S.A. de C.V.</font></td>
  </tr>
</table>

<table width=600>
  <tr>
    <td width=2% colspan="2"><font size=3>&#149;</font></td>
    <td width=2%></td>
    <td width=96%><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;





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<!-- MARKER PAGE="sheet: 20; page: 20" -->

<p>
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
  </tr>
</table>
<p>
<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 March 31, 2004 are as follows:</font></td></tr></table>

<p><table width=600><tr>
    <td></td>
  </tr></table>

<p>
<table width=600>
  <tr>
    <td width="50"></td>
    <td width="350"></td>
    <td width="100"><font size=2>Years</font>
      <hr size="1" noshade width="30%" align="left">
    </td>
    <td width="100"></td>
  </tr>
  <tr>
    <td width="50"></td>
    <td width="350">
      <p><font size=2>Buildings<br>
        Machinery and equipment </font></p>
    </td>
    <td width="100"><font size=2>15 to 50 <br>
      10 to 40 </font></td>
    <td width="100"></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;





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<!-- MARKER PAGE="sheet: 21; page: 21" -->

<p>
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
  </tr>
</table>
<p>
<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>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><font size=2>Monetary items at the exchange rate at the balance
      sheet date.</font></td>
  </tr>
</table>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><font size=2>Non-monetary items and stockholders&#146; equity
      at the exchange rate prevailing at the date the transactions occurred. -
      Income and expense items at an appropriate average exchange rate.</font></td>
  </tr>
</table>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><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>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><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 March 31, 2004 and 2003. 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 March 31, 2004,  Simec&#146;s total  consolidated
debt consisted of $302,000 of 8  7/8% MTN&#146;s due 1998 (accrued interest at March 31, 2004
was $261,984) which were  issued in 1993 as part of a $68 million  issuance.  At December
31, 2003,  Simec  had  outstanding  approximately  $2  million  of U.S.
dollar-denominated  debt.  Simec&#146;s  lower debt level at March 31, 2004  reflected  the
prepayment  of $1.7  million  of bank debt in March  2004.  At March 31,  2004  Simec
owed no debt to  Industrias CH, S.A. de C.V. (&#147;ICH&#148;).</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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<!-- MARKER PAGE="sheet: 22; page: 22" -->

<p>
<table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>FINANCIAL STATEMENT NOTES (1) </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 2 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></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.  18,100 (U.S.
$1,622,753)  at March 31,  2004, (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. 1,756 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;





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<!-- MARKER PAGE="sheet: 23; page: 23" -->

<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>RELATIONS OF SHARES INVESTMENTS </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 3 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0>
  <tr align="center" valign="bottom">
    <td width=255> <font size="2">COMPANY NAME (1)</font></td>
    <td width=85> <font size="2">MAIN <br>
      ACTIVITIES</font></td>
    <td width=95> <font size="2">NUMBER OF</font><font size="2"> <br>
      SHARES</font></td>
    <td width=87> <font size="2">OWNERSHIP<br>
      </font><font size="2">(2)</font></td>
    <td width=176 colspan=2> <font size="2">TOTAL AMOUNT<br>
      </font><font size="2">(Thousands of Pesos)</font></td>
  </tr>
  <tr align="center" valign="bottom">
    <td width=698 align="left" colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr align="center" valign="bottom">
    <td width=255 align="left"> <font size="2">SUBSIDIARIES</font></td>
    <td width=85> <font size="2">&nbsp;</font></td>
    <td width=95> <font size="2">&nbsp;</font></td>
    <td width=87> <font size="2">&nbsp;</font></td>
    <td width=95> <font size="2">ACQUISITION<br>
      </font><font size="2">COST</font></td>
    <td width=81> <font size="2">PRESENT</font><font size="2"><br>
      VALUE (3)</font></td>
  </tr>
  <tr valign="bottom">
    <td width=255>&nbsp;</td>
    <td width=85 align="center">&nbsp;</td>
    <td width=95 align="right">&nbsp;</td>
    <td width=87 align="right">&nbsp;</td>
    <td width=95 align="right">
      <hr noshade size="1">
    </td>
    <td width=81 align="right">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2">1 CIA SIDERURGICA DE<br>
      </font><font size="2"> GUADALAJARA</font></td>
    <td width=85 align="center"> <font size="2">MINI-MILL</font></td>
    <td width=95 align="right"> <font size="2">474,393,215</font></td>
    <td width=87 align="right"> <font size="2">99.99</font></td>
    <td width=95 align="right"> <font size="2">38,359</font></td>
    <td width=81 align="right"> <font size="2">2,504,009</font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2">2 CIA. SIDERURGICA DE<br>
      </font><font size="2"> CALIFORNIA</font></td>
    <td width=85 align="center"> <font size="2">MINI-MILL</font></td>
    <td width=95 align="right"> <font size="2">504,816</font></td>
    <td width=87 align="right"> <font size="2">0.04</font></td>
    <td width=95 align="right"> <font size="2">505</font></td>
    <td width=81 align="right"> <font size="2"> 361</font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2">ADMINISTRADORA DE CARTERA DE</font><font size="2">
      OCCIDENTE</font></td>
    <td width=85> <font size="2">&nbsp;</font><font size="2">&nbsp;</font></td>
    <td width=95 align="right"> <font size="2">&nbsp;</font><font size="2">49,999</font></td>
    <td width=87 align="right"> <font size="2">&nbsp;</font><font size="2">99.99</font></td>
    <td width=95 align="right"> <font size="2">&nbsp;</font><font size="2">50</font></td>
    <td width=81 align="right"> <font size="2">&nbsp;</font><font size="2">(5,396)</font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>TOTAL
      INVESTMENT IN SUBSIDIARIES</font></b></font></td>
    <td width=85></td>
    <td width=95 align="right"></td>
    <td width=87 align="right"></td>
    <td width=95 align="right"> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>38,914</font></b></font></td>
    <td width=81 align="right"> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>2,498,974</font></b></font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>ASSOCIATEDS</font></b></font></td>
    <td width=85></td>
    <td width=95 align="right"> <font size="2">0</font></td>
    <td width=87 align="right"> <font size="2">0.00</font></td>
    <td width=95 align="right"> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>0</font></b></font></td>
    <td width=81 align="right"> <font size="2">&nbsp;</font><font size="2">0</font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>TOTAL
      INVESTMENT IN ASSOCIATEDS</font></b></font></td>
    <td width=85></td>
    <td width=95 align="right"></td>
    <td width=87 align="right"></td>
    <td width=95 align="right"> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>0</font></b></font></td>
    <td width=81 align="right"> <font size="2">&nbsp;</font><font size="2">&nbsp;</font><font size="2">&nbsp;</font><font size="2">0</font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2"><b><font>OTHER PERMANENT INVESTMENTS</font></b></font></td>
    <td width=85></td>
    <td width=95 align="right"></td>
    <td width=87 align="right"></td>
    <td width=95 align="right"> <font size="2"><b><font>&nbsp;</font></b></font></td>
    <td width=81 align="right"> <font size="2">0</font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
  <tr valign="bottom">
    <td width=255> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>TOTAL</font></b></font></td>
    <td width=85></td>
    <td width=95 align="right"></td>
    <td width=87 align="right"></td>
    <td width=95 align="right"> <font size="2"><b><font>&nbsp;</font></b></font></td>
    <td width=81 align="right"> <font size="2"><b><font>&nbsp;</font></b></font><font size="2"><b><font>2,498,974</font></b></font></td>
  </tr>
  <tr valign="bottom">
    <td width=698 colspan="6">
      <hr noshade size="1">
    </td>
  </tr>
</table>

<br>
<table border=0 cellspacing=0 cellpadding=0 width="600">
  <tr>
    <td valign=top width=417> <font size="1"><b><font size="2">NOTES</font></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: 24; page: 24" -->

<p>
<table border=0 cellspacing=0 cellpadding=0 width=100%>
    <tr>
      <td nowrap colspan=2 valign=bottom> <font size="1">STOCK EXCHANGE CODE :
        <b>SIMEC</b></font></td>
      <td nowrap valign=bottom width=48% align="center"> <font size="1"><b>MEXICAN
        STOCK EXCHANGE</b></font></td>
      <td nowrap valign=bottom width="11%"> <font size="1"><b>QUARTER:   1</b></font></td>
      <td nowrap valign=bottom width=20%> <font size="1"><b>YEAR:  2004</b></font></td>
    </tr>
    <tr>
      <td nowrap colspan=2 valign=bottom> <font size="1"><b>GRUPO
        SIMEC, S.A. DE C.V.</b></font></td>
      <td nowrap valign=bottom width=48% align="center"> <font size="1">ANNEX
        05</font></td>
      <td nowrap valign=bottom width=11%> </td>
      <td nowrap valign=bottom width=20%> </td>
    </tr>
    <tr>
      <td nowrap valign=bottom colspan="2"> <font size="1"><b>&nbsp;</b></font>
      </td>
      <td nowrap valign=bottom width=48% align="center"> <font size="1">CREDITS
        BREAK DOWN</font></td>
      <td nowrap valign=bottom width=11%> </td>
      <td nowrap valign=bottom width=20%> </td>
    </tr>
    <tr>
      <td nowrap valign=bottom colspan="2"> </td>
      <td nowrap valign=bottom width=48% align="center"> </td>
      <td nowrap valign=bottom width=11%> <font size="1"><b>&nbsp;</b></font></td>
      <td nowrap valign=bottom width=20%> </td>
    </tr>
    <tr>
      <td nowrap valign=bottom colspan="2"> </td>
      <td nowrap valign=bottom width=48% align="center"> <font size="1">(THOUSANDS
        OF PESOS)</font></td>
      <td nowrap valign=bottom width=11%> </td>
      <td nowrap valign=bottom width=20%> </td>
    </tr>
    <tr>
      <td nowrap valign=bottom colspan="2"> </td>
      <td nowrap valign=bottom width=48% align="center"> </td>
      <td nowrap valign=bottom width=11%> </td>
      <td nowrap valign=bottom width="20%"> <font size="1">CONSOLIDATED</font></td>
    </tr>
  </table>

<table border=0 cellspacing=0 cellpadding=0 width=100%>
  <tr>
    <td nowrap valign=bottom width=21%> </td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr align="center">
    <td nowrap valign=bottom rowspan="8" width=21%> <font size="1">Credit<br>
      Type /<br>
      Institution </font> </td>
    <td nowrap valign=bottom rowspan="8" width=8%> <font size="1">Amortization
      <br>
      Date </font> </td>
    <td nowrap valign=bottom rowspan="8" width=4%> <font size="1">Rate of<br>
      Interest </font> </td>
    <td nowrap valign=bottom colspan="2" rowspan="4"> <font size="1">Denominated
      In&nbsp;<br>
      Pesos</font> </td>
    <td nowrap valign=bottom colspan="6"> <font size="1">Amortization of Credits
      in Foreign Currency With <br>
      National Entities (Thousands of Pesos)</font></td>
    <td nowrap valign=bottom colspan="6"> <font size="1">Amortization of Credits
      in Foreign Currency <br>
      With Foreing Entities (Thousands of Pesos)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></td>
  </tr>
  <tr align="center">
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr align="center">
    <td nowrap valign=bottom colspan="12">
      <hr noshade size="1">
    </td>
  </tr>
  <tr align="center">
    <td nowrap valign=bottom colspan="6"> <font size="1">Time Interval</font>
    </td>
    <td nowrap valign=bottom colspan="6"> <font size="1">Time Interval</font>
    </td>
  </tr>
  <tr align="center">
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr align="center">
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="14">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom align="center"><font size="1">Until 1 Year</font>
    </td>
    <td nowrap valign=bottom align="center"><font size="1">More Than<br>
      1 Year </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Current<br>
      Year </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 1<br>
      Year </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 2<br>
      Years </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 3<br>
      Years </font></td>
    <td nowrap valign=bottom align="center"><font size="1">Until 4<br>
      Years </font></td>
    <td nowrap valign=bottom align="center"><font size="1">Until 5<br>
      Years or<br>
      More </font></td>
    <td nowrap valign=bottom align="center"><font size="1">Current<br>
      Year </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 1<br>
      Year </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 2<br>
      Years </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 3<br>
      Years </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 4<br>
      Years </font> </td>
    <td nowrap valign=bottom align="center"><font size="1">Until 5<br>
      Years or<br>
      More </font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>BANKS</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>WITH WARRANTY</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> </td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> </td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
    <td nowrap valign=bottom width=6%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=5%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%></td>
    <td nowrap valign=bottom width=8%></td>
    <td nowrap valign=bottom width=4%></td>
    <td nowrap valign=bottom align="right" width=7%></td>
    <td nowrap valign=bottom align="right" width=6%></td>
    <td nowrap valign=bottom align="right" width=5%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=5%></td>
    <td nowrap valign=bottom align="right" width=5%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=4%></td>
    <td nowrap valign=bottom align="right" width=7%></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>TOTAL BANKS</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>LISTED IN THE MEXICAN</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>STOCK EXCHANGE</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>UNSECURED DEBT</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1">MEDIUM TERM NOTES</font></td>
    <td nowrap valign=bottom align="center" width=8%> <font size="1">12/15/1998</font></td>
    <td nowrap valign=bottom align="center" width=4%> <font size="1">9.33</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">3,369</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>TOTAL STOCK EXCHANGE</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">3,369</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>SUPPLIERS</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1">VARIOUS</font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">237,050</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">22,820</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">37,786</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> </td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>TOTAL SUPPLIERS</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">237,050</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">22,820</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">37,786</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>OTHER CURRENT LIABILITIES</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1"><b>&nbsp;</b></font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>AND OTHER CREDITS</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1"><b>&nbsp;</b></font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1"><b>&nbsp;</b></font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1">VARIOUS</font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">133,853</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">22,968</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> </td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>OTHER CURRENT LIABILITIES</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">133,853</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">22,968</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>AND OTHER CREDITS</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
    <td nowrap valign=bottom align="right" width=6%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=5%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> </td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td nowrap valign=bottom width=21%> <font size="1"><b>TOTAL GENERAL</b></font></td>
    <td nowrap valign=bottom width=8%> </td>
    <td nowrap valign=bottom width=4%> </td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">370,903</font></td>
    <td nowrap valign=bottom align="right" width=6%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">22,820</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=5%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">64,123</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=4%> <font size="1">0</font></td>
    <td nowrap valign=bottom align="right" width=7%> <font size="1">0</font></td>
  </tr>
  <tr>
    <td nowrap valign=bottom colspan="17">
      <hr noshade size="1">
    </td>
  </tr>
</table>
  <br>
  <table border=0 cellspacing=0 cellpadding=0 width=100%>
    <tr valign="bottom">
      <td nowrap colspan="2"> <font size="1"><b>NOTES:</b></font> </td>
    </tr>
    <tr valign="bottom">
      <td nowrap width="9%" align="right" valign=top> <font size="1">1.- </font></td>
      <td nowrap width="91%"><font size="1">The exchange rate of the peso to the
        U.S. Dollar at March 31, 2004 was<br>
        Ps. 11.1540</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: 25; page: 25" -->

<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1">M<b>ONETARY POSITION IN FOREIGN EXCHANGE
      <br>
      (Thousands of Pesos) </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 6 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0 width="650">
  <tr valign="bottom">

    <td width=193></td>

    <td align="center" width=81> <font size="1"><b>DOLLARS</b></font></td>

    <td align="center" width=85> <font size="1"><b>&nbsp;</b></font></td>

    <td align="center" width=113> <font size="1"><b>OTHER CURRENCIES</b></font></td>

    <td align="center" width=85> <font size="1"><b>&nbsp;</b></font></td>

    <td align="center" width=93> <font size="1"><b>TOTAL</b></font></td>
    </tr>
    <tr valign="bottom">

    <td width=193></td>

    <td width=81></td>

    <td width=85></td>

    <td width=113></td>

    <td width=85></td>

    <td width=93></td>
    </tr>
    <tr valign="bottom">

    <td align="center" width=193> <font size="1"><b>TRADE BALANCE</b></font></td>

    <td align="center" width=81> <font size="1"><b>THOUSANDS OF <br>
        DOLLARS</b></font></td>

    <td align="center" width=85> <font size="1"><b>THOUSANDS OF <br>
        PESOS</b></font></td>

    <td align="center" width=113> <font size="1"><b>THOUSANDS OF <br>
        DOLLARS</b></font></td>

    <td align="center" width=85> <font size="1"><b>THOUSANDS OF <br>
        PESOS</b></font></td>

    <td align="center" width=93> <font size="1"><b>THOUSANDS OF <br>
        PESOS</b></font></td>
    </tr>
    <tr valign="bottom">

    <td width=193> </td>

    <td width=81> </td>

    <td width=85> </td>

    <td width=113> </td>

    <td width=85> <font size="1"><b>&nbsp;</b></font></td>

    <td width=93> <font size="1"><b>&nbsp;</b></font></td>
    </tr>
    <tr valign="bottom">

    <td width=193></td>

    <td width=81></td>

    <td width=85></td>

    <td width=113></td>

    <td width=85></td>

    <td width=93></td>
    </tr>
    <tr valign="bottom">

    <td width=193> <font size="1"><b>FOREING MONETARY POSITION</b></font></td>

    <td width=81> <font size="1"><b>&nbsp;</b></font></td>

    <td width=85> <font size="1"><b>&nbsp;</b></font></td>

    <td width=113> <font size="1"><b>&nbsp;</b></font></td>

    <td width=85> <font size="1"><b>&nbsp;</b></font></td>

    <td width=93> <font size="1"><b>&nbsp;</b></font></td>
    </tr>
    <tr valign="bottom">

    <td width=193></td>

    <td width=81></td>

    <td width=85></td>

    <td width=113></td>

    <td width=85></td>

    <td width=93></td>
    </tr>
    <tr valign="bottom">

    <td width=193> <font size="1"><b>&nbsp;&nbsp;&nbsp;TOTAL ASSETS</b></font></td>

    <td align="right" width=81> <font size="2"><b><font size="1">63,230</font></b></font></td>

    <td align="right" width=85> <font size="1"><b>705,264</b></font></td>

    <td align="right" width=113> <font size="1">0</font></td>

    <td align="right" width=85> <font size="1">0</font></td>

    <td align="right" width=93> <font size="1"><b>705,264</b></font></td>
    </tr>
    <tr valign="bottom">

    <td width=193></td>

    <td align="right" width=81></td>

    <td align="right" width=85></td>

    <td align="right" width=113></td>

    <td align="right" width=85></td>

    <td align="right" width=93></td>
    </tr>
    <tr valign="bottom">

    <td width=193> <font size="1"><b>&nbsp;&nbsp;&nbsp;LIABILITIES POSITION</b></font></td>

    <td align="right" width=81> <font size="1"><b>7,475</b></font></td>

    <td align="right" width=85> <font size="1"><b>83,598</b></font></td>

    <td align="right" width=113> <font size="1"><b>300</b></font></td>

    <td align="right" width=85> <font size="1"><b>3,345</b></font></td>

    <td align="right" width=93> <font size="1"><b>86,943</b></font></td>
    </tr>
    <tr valign="bottom">

    <td width=193> <font size="1">&nbsp;&nbsp;&nbsp;SHORT TERM LIABILITIES POSITION</font></td>

    <td align="right" width=81> <font size="1">7,475</font></td>

    <td align="right" width=85> <font size="1">83,598</font></td>

    <td align="right" width=113> <font size="1">300</font></td>

    <td align="right" width=85> <font size="1">3,345</font></td>

    <td align="right" width=93> <font size="1">86,943</font></td>
    </tr>
    <tr valign="bottom">

    <td width=193></td>

    <td align="right" width=81></td>

    <td align="right" width=85></td>

    <td align="right" width=113></td>

    <td align="right" width=85></td>

    <td align="right" width=93></td>
    </tr>
    <tr valign="bottom">

    <td width=193> <font size="1">&nbsp;&nbsp;&nbsp;LONG TERM LIABILITIES POSITION</font></td>

    <td align="right" width=81> <font size="1">0</font></td>

    <td align="right" width=85> <font size="1">0</font></td>

    <td align="right" width=113> <font size="1">0</font></td>

    <td align="right" width=85> <font size="1">0</font></td>

    <td align="right" width=93> <font size="1"> 0</font></td>
    </tr>
    <tr valign="bottom">

    <td width=193></td>

    <td align="right" width=81></td>

    <td align="right" width=85></td>

    <td align="right" width=113></td>

    <td align="right" width=85></td>

    <td align="right" width=93></td>
    </tr>
    <tr valign="bottom">

    <td width=193> <font size="1"><b>&nbsp;&nbsp;&nbsp;NET BALANCE</b></font></td>

    <td align="right" width=81> <font size="1"><b>55,755</b></font></td>

    <td align="right" width=85> <font size="1"><b>621,666</b></font></td>

    <td align="right" width=113> <font size="1"><b>(300)</b></font></td>

    <td align="right" width=85> <font size="1"><b>(3,345)</b></font></td>

    <td align="right" width=93> <font size="1"><b>618,321</b></font></td>
    </tr>
  </table>
  <font size="1"><b>&nbsp;</b></font>
  <table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top width=417> <font size="1"><b>NOTES</b></font></td>
 </tr>
 <tr>
      <td valign=top width=417>
        <font size="1">
          THE EXCHANGE RATE OF THE PESO TO THE U.S. DOLLAR AT MARCH 31, 2004 WAS
          PS. 11.1540</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: 26; page: 26" -->

<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1&nbsp;</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>INTEGRATION AND INCOME <br>
      CALCULATION BY MONETARY POSITION (1) <br>
      (Thousands of Pesos) </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 7 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0 width=600>
  <tr valign="bottom">
    <td width=3></td>
    <td align="center" width=136><b><font size="1">MONTH</font></b></td>
    <td align="center" colspan="2"><b><font size="1">MONETARY<br>
      ASSETS </font></b></td>
    <td align="center" colspan="2"><b><font size="1">MONETARY<br>
      LIABILITIES </font></b></td>
    <td align="center" colspan="2"><b><font size="1"> (ASSET) LIABILITIES<br>
      MONETARY<br>
      POSITION </font></b></td>
    <td align="center" colspan="2"><b><font size="1">MONTHLY<br>
      INFLATION </font></b></td>
    <td align="center" colspan="2"><b><font size="1">MONTHLY<br>
      PROFIT<br>
      AND (LOSS) </font></b></td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">JANUARY</font></td>
    <td align="right" width=66> <font size="1">3,668,488</font></td>
    <td align="right" width=21>&nbsp;&nbsp;&nbsp;</td>
    <td align="right" width=71> <font size="1">3,021,189</font></td>
    <td align="right" width=30>&nbsp;&nbsp;&nbsp;</td>
    <td align="right" width=69> <font size="1">(647,299)</font></td>
    <td align="right" width=29>&nbsp;&nbsp;&nbsp;</td>
    <td align="right" width=58> <font size="1">0.62</font></td>
    <td align="right" width=33>&nbsp;&nbsp;&nbsp;</td>
    <td align="right" width=59> <font size="1">(4,023)</font></td>
    <td align="right" width=25>&nbsp;&nbsp;&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136></td>
    <td align="right" width=66></td>
    <td align="right" width=21></td>
    <td align="right" width=71></td>
    <td align="right" width=30></td>
    <td align="right" width=69></td>
    <td align="right" width=29></td>
    <td align="right" width=58></td>
    <td align="right" width=33></td>
    <td align="right" width=59></td>
    <td align="right" width=25></td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">FEBRUARY</font></td>
    <td align="right" width=66> <font size="1">1,181,183</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">468,147</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">(713,036)</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">0.60</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">(4,265)</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136></td>
    <td align="right" width=66></td>
    <td align="right" width=21></td>
    <td align="right" width=71></td>
    <td align="right" width=30></td>
    <td align="right" width=69></td>
    <td align="right" width=29></td>
    <td align="right" width=58></td>
    <td align="right" width=33></td>
    <td align="right" width=59></td>
    <td align="right" width=25></td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">MARCH</font></td>
    <td align="right" width=66> <font size="1">1,400,780</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">596,467</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">(804,313)</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">0.34</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">(2,725)</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3> <font size="1">&nbsp;</font></td>
    <td width=136> <font size="1">&nbsp;</font></td>
    <td align="right" width=66> <font size="1">&nbsp;</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">&nbsp;</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">&nbsp;</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">&nbsp;</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">&nbsp;</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">ACTUALIZATION:</font></td>
    <td align="right" width=66> <font size="1">0</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">0</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">0</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">0.00</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">(54)</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3> <font size="1">&nbsp;</font></td>
    <td width=136> <font size="1">&nbsp;</font></td>
    <td align="right" width=66> <font size="1">&nbsp;</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">&nbsp;</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">&nbsp;</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">&nbsp;</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">&nbsp;</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">CAPITALIZATION:</font></td>
    <td align="right" width=66> <font size="1">0</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">0</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">0</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">0.00</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">0</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3> <font size="1">&nbsp;</font></td>
    <td width=136> <font size="1">&nbsp;</font></td>
    <td align="right" width=66> <font size="1">&nbsp;</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">&nbsp;</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">&nbsp;</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">&nbsp;</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">&nbsp;</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">FOREIGN CORP.:</font></td>
    <td align="right" width=66> <font size="1">0</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">0</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">0</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">0.00</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">0</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3> <font size="1">&nbsp;</font></td>
    <td width=136> <font size="1">&nbsp;</font></td>
    <td align="right" width=66> <font size="1">&nbsp;</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">&nbsp;</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">&nbsp;</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">&nbsp;</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">&nbsp;</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136> <font size="1">OTHER</font></td>
    <td align="right" width=66> <font size="1">0</font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="1">0</font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="1">0</font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="1">0.00</font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="1">0</font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width=3></td>
    <td width=136></td>
    <td align="right" width=66></td>
    <td align="right" width=21></td>
    <td align="right" width=71></td>
    <td align="right" width=30></td>
    <td align="right" width=69></td>
    <td align="right" width=29></td>
    <td align="right" width=58></td>
    <td align="right" width=33></td>
    <td align="right" width=59></td>
    <td align="right" width=25></td>
  </tr>
  <tr valign="bottom">
    <td colspan="2"> <font size="2"><b><font size="1"> T O T A L</font></b></font></td>
    <td align="right" width=66> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="right" width=21>&nbsp;</td>
    <td align="right" width=71> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="right" width=30>&nbsp;</td>
    <td align="right" width=69> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="right" width=29>&nbsp;</td>
    <td align="right" width=58> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="right" width=33>&nbsp;</td>
    <td align="right" width=59> <font size="2"><b><font size="1">(11,067)</font></b></font></td>
    <td align="right" width=25>&nbsp;</td>
  </tr>
</table>
<br>
  <table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top width=31> <font size="2"><b><font size="1">NOTES</font></b></font></td>
 </tr>
 <tr>
      <td valign=top width=31> <font size="1">.</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" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>BONDS AND MEDIUM TERM NOTES LISTING IN
      <br>
      STOCK MARKET (1) </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 8 </b></font></td>
    <td></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">FINANCIAL LIMITED BASED IN
      ISSUED DEED AND/OR TITLE</font></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 height="21"><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><font size="1">ACTUAL SITUATION OF FINANCIAL
      LIMITED</font></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) Accomplished the actual situation is 3.31 times.</font></td>
  </tr></table>

<table width=600><tr>
    <td><font size=2>B) Accomplished the actual situation is 0.22</font></td>
  </tr></table>

<table width=600><tr>
    <td><font size=2>C) Accomplished the actual situation is 40.92</font></td>
  </tr></table>

<p><table width=600><tr><td><font size=2>As of March 31, 2004,  the  remaining  balance
of the MTNs not  exchanged  amounts to Ps. 3,369 ($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><font size="1">BONDS AND/OR MEDIUM TERM
      NOTES CERTIFICATE</font></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: 28; page: 28" -->
<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
  </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>PLANTS, COMMERCE CENTERS OR <br>
      DISTRIBUTION CENTERS </b></font></td>
    <td></td>
    <td align="center"></td>
  </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 9 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
  </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0 width="600">
  <tr align="center" valign="bottom">

    <td width=204 height="29"> <font size="1"><b>PLANT<br>
        OR<br>
        CENTER</b> </font></td>

    <td width=236 height="29"> <font size="1"><b>ECONOMIC<br>
        ACTIVITY</b> </font></td>

    <td width=69 height="29"> <font size="1"><b>PLANT<br>
        CAPACITY<br>
        (1)</b> </font></td>

    <td width=91 height="29"> <font size="1"><b>UTILIZATION<br>
        (%)</b> </font></td>
    </tr>

  <tr valign="top">
    <td width=204> <font size="1">GUADALAJARA MINI MILL</font></td>

    <td width=236> <font size="1">PRODUCTION AND SALES OF STEEL</font></td>

    <td width=69 align="right"> <font size="1">480</font></td>

    <td width=91 align="right"> <font size="2">96</font></td>
    </tr>

  <tr valign="top">
    <td width=204> </td>

    <td width=236> <font size="1">PRODUCTS</font></td>

    <td width=69 align="right"> </td>

    <td width=91 align="right"> </td>
    </tr>

  <tr valign="top">
    <td width=204> <font size="1">MEXICALI MINI MILL</font></td>

    <td width=236> <font size="1">PRODUCTION AND SALES OF STEEL</font></td>

    <td width=69 align="right"> <font size="1">250</font></td>

    <td width=91 align="right"> <font size="1">81</font></td>
    </tr>

  <tr valign="top">
    <td width=204> </td>

    <td width=236> <font size="1">PRODUCTS</font></td>

    <td width=69 align="right"> </td>

    <td width=91 align="right"> </td>
    </tr>

  <tr valign="top">
    <td width=204> <font size="1">INDUSTRIAS DEL ACERO Y DEL</font></td>

    <td width=236> <font size="1">&nbsp;</font></td>

    <td width=69 align="right"> <font size="1">&nbsp;</font></td>

    <td width=91 align="right"> <font size="1">&nbsp;</font></td>
    </tr>

  <tr valign="top">
    <td width=204> <font size="1">ALAMBRE</font></td>

    <td width=236> <font size="1">SALE OF STEEL PRODUCTS</font></td>

    <td width=69 align="right"> <font size="1">0</font></td>

    <td width=91 align="right"> <font size="1">0</font></td>
    </tr>
  </table>
  <br>

  <table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top width=31> <font size="1"><b>NOTES</b></font></td>
 </tr>
 <tr>
      <td valign=top width=31> <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;





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<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER:<b> 1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>MAIN RAW MATERIALS </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 10 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0 width="600">
  <tr align="center" valign="bottom">
      <td width=69> <font size="1"><b>DOMESTIC</b> </font></td>
      <td width=75> <font size="1"><b>MAIN<br>
        SUPPLIERS</b> </font></td>
      <td width=69> <font size="1"><b>FOREIGN</b> </font></td>
      <td width=98> <font size="1"><b>MAIN<br>
        SUPPLIERS</b> </font></td>
      <td width=34> <font size="1"><b>DOM.<br>
        SUBST.</b> </font></td>
      <td width=63> <font size="1"><b>COST<br>
        PRODUCTION<br>
        (%)</b> </font></td>
    </tr>

  <tr valign="top">
    <td width=69> <font size="1">SCRAP</font></td>

    <td width=75> <font size="1">VARIOUS</font></td>

    <td width=69> <font size="1">SCRAP</font></td>

    <td width=98> <font size="1">VARIOUS</font></td>

    <td width=34 align="center"> <font size="1">YES</font></td>

    <td width=63 align="right"> <font size="1">61.09</font></td>
    </tr>

  <tr valign="top">
    <td width=69> <font size="1">ELECTRICITY</font></td>

    <td width=75> <font size="1">C.F.E.</font></td>

    <td width=69> </td>
    <td width=98> </td>

    <td width=34 align="center"> <font size="1">NO&nbsp;</font></td>
    <td width=63 align="right"> <font size="1">9.13&nbsp;</font></td>
    </tr>

  <tr valign="top">
    <td width=69> <font size="1">FERROALLOYS</font></td>

    <td width=75> <font size="1">MINERA AUTLAN</font></td>

    <td width=69> <font size="1">FERROALLOYS</font></td>

    <td width=98> <font size="1">GFM TRADING</font></td>

    <td width=34 align="center"> <font size="1">YES</font></td>

    <td width=63 align="right"> <font size="1">5.34</font></td>
    </tr>

  <tr valign="top">
    <td width=69> <font size="1">ELECTRODES</font></td>

    <td width=75> <font size="1">UCAR CARBON</font></td>

    <td width=69> <font size="1">ELECTRODES</font></td>

    <td width=98> <font size="1">SGL CARBON GROUP</font></td>

    <td width=34 align="center"> <font size="1">YES</font></td>

    <td width=63 align="right"> <font size="1">2.00</font></td>
    </tr>

  <tr valign="top">
    <td width=69> <font size="1">MEXICANA</font></td>

    <td width=75> <font size="1">&nbsp;</font></td>

    <td width=69> <font size="1">&nbsp;</font></td>

    <td width=98> <font size="1">&nbsp;</font></td>

    <td width=34> <font size="1">&nbsp;</font></td>

    <td width=63> <font size="1">&nbsp;</font></td>
    </tr>
  </table>
  <br>
  <table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top width=31> <font size="1"><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;





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<!-- MARKER PAGE="sheet: 30; page: 30" -->

<p>
<table border="0" cellspacing="0" cellpadding="0" width="600">
  <tr valign="bottom">
    <td colspan="6" align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width="161"></td>
    <td width="66">&nbsp;</td>
    <td align="center" width="96"></td>
    <td align="center" width="71"></td>
    <td align="center" width="75"></td>
    <td align="center" width="131"></td>
  </tr>
  <tr valign="bottom">
    <td align="left" width="161"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      <br>
      GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td width="66"></td>
    <td align="center" width="96"></td>
    <td align="center" width="71"></td>
    <td align="center" width="75"></td>
    <td align="center" width="131"><font size=2><font size=1>QUARTER: <b>1&nbsp;</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
  </tr>
  <tr valign="bottom">
    <td align="center" colspan="6"><font size="1"><b>SELLS DISTRIBUTION BY PRODUCT
      </b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left" width="161"></td>
    <td width="66"></td>
    <td align="center" width="167" colspan="2"><font size="1"><b>ANNEX 11 </b></font></td>
    <td align="center" width="75"></td>
    <td align="center" width="131"><font size="1"><b>CONSOLIDATED </b></font></td>
  </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0 width="650">
  <tr align="center">
    <td valign=top width=137><font size="2"><b><font size="1">MAIN PRODUCTS</font></b></font>
    </td>
    <td valign=top colspan="2"> <font size="2"><b><font size="1">TOTAL PRODUCTION</font></b></font>
    </td>
    <td valign=top colspan="2"> <font size="2"><b><font size="1">NET SELLS</font></b></font>
      <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td valign=top width=76><font size="2"></font></td>
    <td valign=top colspan="2"> <font size="2"><b><font size="1">MAIN</font></b></font>
      <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
  </tr>
  <tr align="center">
    <td valign=top width=137></td>
    <td valign=top width=50></td>
    <td valign=top width=53></td>
    <td valign=top width=50></td>
    <td valign=top width=59></td>
    <td valign=top width=76><font size="2"><b><font size="1">DESTINATION</font></b></font></td>
    <td valign=top width=86></td>
    <td valign=top width=74></td>
  </tr>
  <tr align="center">
    <td valign=top width=137></td>
    <td valign=top width=50> <font size="2"><b><font size="1">VOLUME</font></b></font></td>
    <td valign=top width=53> <font size="2"><b><font size="1">AMOUNT</font></b></font></td>
    <td valign=top width=50> <font size="2"><b><font size="1">VOLUME</font></b></font></td>
    <td valign=top width=59> <font size="2"><b><font size="1">AMOUNT</font></b></font></td>
    <td valign=top width=76><font size="2"></font></td>
    <td valign=top width=86> <font size="2"><b><font size="1">TRADEMARKS</font></b></font></td>
    <td valign=top width=74> <font size="2"><b><font size="1">COSTUMERS</font></b></font></td>
  </tr>
  <tr>
    <td valign=top width=137></td>
    <td valign=top width=50></td>
    <td valign=top width=53></td>
    <td valign=top width=50></td>
    <td valign=top width=59></td>
    <td valign=top width=76></td>
    <td valign=top width=86></td>
    <td valign=top width=74></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">STRUCTURAL PROFILES</font></td>
    <td valign=top width=50 align="right"> <font size="1">52</font></td>
    <td valign=top width=53 align="right"> <font size="1">177,516</font></td>
    <td valign=top width=50 align="right"> <font size="1">46</font></td>
    <td valign=top width=59 align="right"> <font size="1">255,767</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">COMMERCIAL PROFILES</font></td>
    <td valign=top width=50 align="right"> <font size="1">11</font></td>
    <td valign=top width=53 align="right"> <font size="1">35,341</font></td>
    <td valign=top width=50 align="right"> <font size="1">12</font></td>
    <td valign=top width=59 align="right"> <font size="1">63,119</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">REBAR</font></td>
    <td valign=top width=50 align="right"> <font size="1">38</font></td>
    <td valign=top width=53 align="right"> <font size="1">116,081</font></td>
    <td valign=top width=50 align="right"> <font size="1">21</font></td>
    <td valign=top width=59 align="right"> <font size="1">109,884</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">FLAT BAR</font></td>
    <td valign=top width=50 align="right"> <font size="1">7</font></td>
    <td valign=top width=53 align="right"> <font size="1">23,541</font></td>
    <td valign=top width=50 align="right"> <font size="1">6</font></td>
    <td valign=top width=59 align="right"> <font size="1">31,660</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">STEEL BARS</font></td>
    <td valign=top width=50 align="right"> <font size="1">58</font></td>
    <td valign=top width=53 align="right"> <font size="1">195,328</font></td>
    <td valign=top width=50 align="right"> <font size="1">58</font></td>
    <td valign=top width=59 align="right"> <font size="1">303,417</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">OTHER</font></td>
    <td valign=top width=50 align="right"> <font size="1">1</font></td>
    <td valign=top width=53 align="right"> <font size="1">8,702</font></td>
    <td valign=top width=50 align="right"> <font size="1">&nbsp;</font></td>
    <td valign=top width=59 align="right"> <font size="1">&nbsp;</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top width=137> <font size="1">BILLET</font></td>
    <td valign=top width=50 align="right"> <font size="1">20</font></td>
    <td valign=top width=53 align="right"> <font size="1">42,089</font></td>
    <td valign=top width=50 align="right"> <font size="1">20</font></td>
    <td valign=top width=59 align="right"> <font size="1">67,451</font></td>
    <td valign=top width=76></td>
    <td valign=top width=86> <font size="1">&nbsp;</font></td>
    <td valign=top width=74> <font size="1">&nbsp;</font></td>
  </tr>
  <tr>
    <td valign=top height="5"> <font size="1"><b>T O T A L</b></font></td>
    <td valign=top width=50 align="right" height="5"></td>
    <td valign=top width=53 align="right" height="5"> <font size="1"><b>589,896</b></font></td>
    <td valign=top width=50 align="right" height="5"></td>
    <td valign=top width=59 align="right" height="5"> <font size="1"><b>840,000</b></font></td>
    <td valign=top width=76 height="5"></td>
    <td valign=top width=86 height="5"> </td>
    <td valign=top width=74 height="5"> </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 border="0" cellspacing="0" cellpadding="0" width="600">
  <tr valign="bottom">
    <td colspan="6" align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font>&nbsp;</td>
  </tr>
  <tr valign="bottom">
    <td width="183"></td>
    <td width="21">&nbsp;</td>
    <td align="center" width="119"></td>
    <td align="center" width="71"></td>
    <td align="center" width="75"></td>
    <td align="center" width="131"></td>
  </tr>
  <tr valign="bottom">
    <td align="left" width="183"><font size="1">STOCK EXCHANGE CODE: <b>SIMEC
      <br>
      GRUPO SIMEC, S.A. DE C.V. </b></font></td>
    <td width="21"></td>
    <td align="center" width="119"></td>
    <td align="center" width="71"></td>
    <td align="center" width="75"></td>
    <td align="center" width="131"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
  </tr>
  <tr valign="bottom">
    <td align="center" width="600" colspan="6"><font size="1"><b>SELLS DISTRIBUTION
      BY PRODUCT </b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="left" width="183"></td>
    <td width="21"></td>
    <td align="center" width="190" colspan="2"><font size="1"><b>ANNEX 11 </b></font></td>
    <td align="center" width="75"></td>
    <td align="center" width="131"><font size="1"><b>CONSOLIDATED </b></font></td>
  </tr>
</table>
<p>
<table border=0 cellspacing=0 cellpadding=0 width="600">
  <tr valign="bottom">
    <td align="center" width=140> <font size="2"><b><font size="1">MAIN PRODUCTS</font></b></font></td>
    <td align="center" colspan="2"> <font size="2"><b><font size="1">TOTAL PRODUCTION</font></b></font>
    </td>
    <td align="center" colspan="2"> <font size="2"><b><font size="1">NET SELLS</font></b></font>
      <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="center" width=81> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="center" colspan="2"> <font size="2"><b><font size="1">MAIN</font></b></font>
      <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
  </tr>
  <tr valign="bottom">
    <td align="center" width=140></td>
    <td align="center" width=50></td>
    <td align="center" width=52></td>
    <td align="center" width=50></td>
    <td align="center" width=52></td>
    <td align="center" width=81> <font size="2"><b><font size="1">DESTINATION</font></b></font></td>
    <td align="center" width=82></td>
    <td align="center" width=77></td>
  </tr>
  <tr valign="bottom">
    <td align="center" width=140></td>
    <td align="center" width=50> <font size="2"><b><font size="1">VOLUME</font></b></font></td>
    <td align="center" width=52> <font size="2"><b><font size="1">AMOUNT</font></b></font></td>
    <td align="center" width=50> <font size="2"><b><font size="1">VOLUME</font></b></font></td>
    <td align="center" width=52> <font size="2"><b><font size="1">AMOUNT</font></b></font></td>
    <td align="center" width=81> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    <td align="center" width=82> <font size="2"><b><font size="1">TRADEMARKS</font></b></font></td>
    <td align="center" width=77> <font size="2"><b><font size="1">COSTUMERS</font></b></font></td>
  </tr>
  <tr valign="bottom">
    <td width=140></td>
    <td width=50></td>
    <td width=52></td>
    <td width=50></td>
    <td width=52></td>
    <td width=81></td>
    <td width=82></td>
    <td width=77></td>
  </tr>
  <tr valign="bottom">
    <td width=140> <font size="1">STRUCTURAL PROFILES</font></td>
    <td width=50></td>
    <td width=52></td>
    <td align="right" width=50> <font size="1">5</font></td>
    <td align="right" width=52> <font size="1">22,541</font></td>
    <td width=81> <font size="1">&nbsp;</font></td>
    <td width=82> <font size="1">&nbsp;</font></td>
    <td width=77> <font size="1">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td width=140> <font size="1">COMMERCIAL PROFILES</font></td>
    <td width=50></td>
    <td width=52></td>
    <td align="right" width=50> <font size="1">1</font></td>
    <td align="right" width=52> <font size="1">6,979</font></td>
    <td width=81> <font size="1">&nbsp;</font></td>
    <td width=82> <font size="1">&nbsp;</font></td>
    <td width=77> <font size="1">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td width=140> <font size="1">REBAR</font></td>
    <td width=50></td>
    <td width=52></td>
    <td align="right" width=50> <font size="1">18</font></td>
    <td align="right" width=52> <font size="1">87,939</font></td>
    <td width=81> <font size="1">&nbsp;</font></td>
    <td width=82> <font size="1">&nbsp;</font></td>
    <td width=77> <font size="1">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td width=140> <font size="1">STEEL BARS</font></td>
    <td width=50></td>
    <td width=52></td>
    <td align="right" width=50> <font size="1">1</font></td>
    <td align="right" width=52> <font size="1">4,165</font></td>
    <td width=81> <font size="1">&nbsp;</font></td>
    <td width=82> <font size="1">&nbsp;</font></td>
    <td width=77> <font size="1">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td width=140> <font size="1">FLAT BAR</font></td>
    <td width=50></td>
    <td width=52></td>
    <td align="right" width=50> <font size="1">1</font></td>
    <td align="right" width=52> <font size="1">2,689</font></td>
    <td width=81> <font size="1">&nbsp;</font></td>
    <td width=82> <font size="1">&nbsp;</font></td>
    <td width=77> <font size="1">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td><font size="2"><b><font size="1">T O T A L</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
    </td>
    <td width=50></td>
    <td width=52></td>
    <td align="right" width=50> </td>
    <td align="right" width=52> <font size="1"><b>124,313</b></font></td>
    <td width=81> </td>
    <td width=82> </td>
    <td width=77> </td>
  </tr>
</table>
  <br>
  <table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td width=877 valign=top> <font size="2"><b><font size="1">NOTES</font></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;





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<!-- MARKER PAGE="sheet: 32; page: 32" -->

<p><table border="0" cellspacing="0" cellpadding="0" width="670">
  <tr valign="bottom">
    <td width="168"></td>
    <td width="70"></td>
    <td align="center" width="148"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td align="center" width="78"></td>
    <td align="center" width="74">&nbsp;</td>
    <td align="center" width="132"></td>
   </tr>
  <tr valign="bottom">
    <td width="168"></td>
    <td width="70">&nbsp;</td>
    <td align="center" width="148"></td>
    <td align="center" width="78"></td>
    <td align="center" width="74"></td>
    <td align="center" width="132"></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"></td>
    <td align="center" width="148"></td>
    <td align="center" width="78"></td>
    <td align="center" width="74"></td>
    <td align="center" width="132"><font size=2><font size=1>QUARTER: <b>1&nbsp;&nbsp;</b>&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left" width="168"></td>
    <td width="70"></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"></td>
    <td align="center" width="74"></td>
    <td align="center" width="132"></td>
   </tr>
</table>
<p><table border=0 cellspacing=0 cellpadding=0 width="670">
    <tr align="center" valign="bottom">
      <td colspan="9"> <font size="1"><b>INTEGRATION OF THE PAID SOCIAL CAPITAL
        STOCK </b></font></td>
    </tr>
    <tr align="center" valign="bottom">
      <td colspan="9"> <font size="1"><b>CHARACTERISTICS OF THE SHARES </b></font></td>
    </tr>
    <tr valign="bottom" align="center">
      <td width=61></td>
      <td width=65></td>
      <td width=46></td>
      <td width=84></td>
      <td width=101></td>
      <td width=67></td>
      <td width=93></td>
      <td colspan="2"></td>
    </tr>
    <tr valign="bottom" align="center">
      <td width=61></td>
      <td width=65></td>
      <td width=46></td>
      <td width=84> <font size="2"></font></td>
      <td width=101><font size="2"><b><font size="1">&nbsp;</font><font size="2"><b><font size="1">NUMBER
        OF SHARES</font></b></font></b></font></td>
      <td width=67></td>
      <td width=93> <font size="2"></font></td>
      <td colspan="2"></td>
    </tr>
    <tr valign="bottom" align="center">
      <td width=61 valign="bottom"> <font size="2"><b><font size="1">SERIES
             </font></b></font></td>
      <td width=65 valign="bottom"> <font size="2"><b><font size="2"><b><font size="1">NOMINAL</font><font size="2"><b><font size="1"><br>
        VALUE</font></b></font></b></font></b></font></td>
      <td width=46 valign="bottom"> <font size="2"><b><font size="1">&nbsp;</font><font size="2"><b><font size="1">VALID</font><br>
        <font size="2"><b><font size="1">CUPON</font></b></font></b></font></b></font></td>
      <td width=84> <font size="2"><b><font size="1">PORTION</font></b></font></td>
      <td width=101> <font size="2"><b><font size="1"> PORTION</font></b></font></td>
      <td width=67> <font size="2"><b><font size="1">MEXICAN</font></b></font></td>
      <td width=93> <font size="2"><b><font size="1">&nbsp;</font><font size="2"><b><font size="1">&nbsp;</font><font size="2"><b><font size="2"><b><font size="1">FREE</font></b></font><br>
        <font size="1">SUSCRIPTION</font></b></font></b></font></b></font></td>
      <td colspan="2"><font size="2"><b><font size="1">&nbsp;</font><font size="2"><b><font size="1">CAPITAL
        STOCK</font><br>
        <font size="2"><b><font size="1">(Thousands of Pesos)</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font></b></font></b></font>
      </td>
    </tr>
    <tr valign="bottom">
      <td width=61></td>
      <td width=65></td>
      <td width=46></td>
      <td width=84></td>
      <td width=101></td>
      <td width=67></td>
      <td width=93></td>
      <td width=71 align="center" valign="bottom"> <font size="2"><b><font size="2"><b><font size="1">FIXED</font></b></font></b></font></td>
      <td width=82 align="center" valign="bottom"> <font size="2"><b><font size="1">&nbsp;</font><font size="2"><b><font size="1">VARIABLE</font></b></font></b></font></td>
    </tr>
    <tr valign="bottom">
      <td width=61> <font size="2">  <font size="1">B</font></font></td>
      <td width=65> <font size="1">&nbsp;</font></td>
      <td align="right" width=46> <font size="1">0</font></td>
      <td align="right" width=84> <font size="1">15,283,350</font></td>
      <td align="right" width=101> <font size="2">   <font size="1">116,689,672</font></font></td>
      <td align="right" width=67> <font size="1">&nbsp;</font></td>
      <td align="right" width=93> <font size="2">   <font size="1">131,973,022</font></font></td>
      <td align="right" width=71> <font size="1">222,963</font></td>
      <td align="right" width=82> <font size="2">     <font size="1">1,702,289</font></font></td>
    </tr>
    <tr valign="bottom">
      <td width=61> <font size="2"><b><font size="1">TOTAL</font></b></font></td>
      <td width=65></td>
      <td align="right" width=46></td>
      <td align="right" width=84> <font size="2">  <b><font size="1">15,283,350</font></b></font></td>
      <td align="right" width=101> <font size="2">   <b><font size="1">116,689,672</font></b></font></td>
      <td align="right" width=67> <font size="2">           <b><font size="1">0</font></b></font></td>
      <td align="right" width=93> <font size="2">   <b><font size="1">131,973,022</font></b></font></td>
      <td align="right" width=71> <font size="2"><b><font size="1">222,963</font></b></font></td>
      <td align="right" width=82> <font size="2">     <b><font size="1">1,702,289</font></b></font></td>
    </tr>
  </table>

<br>
<table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr valign="bottom">
      <td colspan="10"> <font size="2"><b><font size="1">TOTAL NUMBER OF SHARES
        REPRESENTING THE PAID-IN CAPITAL STOCK ON THE DATE OF SENDING THE INFORMATION
        :</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"></font></td>
    </tr>
    <tr valign="bottom">
      <td width=64></td>
      <td width=60> <font size="1">120,348,855</font></td>
      <td width=46> <font size="1">&nbsp;</font></td>
      <td width=15> <font size="1">&nbsp;</font></td>
      <td width=44> <font size="1">&nbsp;</font></td>
      <td width=49> <font size="1">&nbsp;</font></td>
      <td width=45> <font size="1">&nbsp;</font></td>
      <td width=52> <font size="1">&nbsp;</font></td>
      <td width=67> <font size="1">&nbsp;</font></td>
      <td width=67> <font size="1">&nbsp;</font></td>
    </tr>
  </table>

<br>
<table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top width=509 colspan="2"> <font size="2"><b><font size="1">SHARES
        PROPORTION BY :</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    </tr>
    <tr>
      <td valign=top width=509 colspan="2"></td>
    </tr>
    <tr>
      <td valign=top width=64> <font size="2"><b><font size="1">
        CPO'S :</font></b></font></td>
      <td valign=top width=60> <font size="1">0</font></td>
    </tr>
    <tr>
      <td valign=top width=64> <font size="2"><b><font size="1">
        ADRS's :</font></b></font></td>
      <td valign=top width=445> <font size="1">1,690,228 ADR'S OF 1 SHARE EACH
        ONE.</font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font> <font size="2"><b><font size="1">&nbsp;</font></b></font>
        <font size="2"><b><font size="1">&nbsp;</font></b></font></td>
    </tr>
    <tr>
      <td valign=top width=64> <font size="2"><b><font size="1">   UNITS :</font></b></font></td>
      <td valign=top width=60> <font size="1">0</font></td>
    </tr>
    <tr>
      <td valign=top width=64> <font size="2"><b><font size="1">
        GDRS's :</font></b></font></td>
      <td valign=top width=60> <font size="1">0</font></td>
    </tr>
    <tr>
      <td valign=top width=64> <font size="2"><b><font size="1">   ADS's :</font></b></font></td>
      <td valign=top width=60> <font size="1">0</font></td>
    </tr>
    <tr>
      <td valign=top width=64> <font size="2"><b><font size="1">   GDS's :</font></b></font></td>
      <td valign=top width=60> <font size="1">0</font></td>
    </tr>
  </table>

<br>
<table width="600" border="0" cellspacing="0" cellpadding="0">
    <tr>
      <td width="21"></td>
      <td width="72"></td>
      <td width="14"></td>
      <td width="136"></td>
      <td width="52"></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"></td>
      <td width="72"></td>
      <td width="14"></td>
      <td width="136"></td>
      <td width="52"></td>
      <td width="143"></td>
      <td width="14"></td>
      <td width="148"></td>
    </tr>
    <tr>
      <td width="21"></td>
      <td align="center" valign="bottom" width="72"></td>
      <td align="center" valign="bottom" width="14"></td>
      <td align="center" valign="bottom" width="136"></td>
      <td align="center" valign="bottom" width="52"></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>

<br>
<table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top width=42> <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;





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<!-- MARKER PAGE="sheet: 33; page: 33" -->

<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1&nbsp;&nbsp;</b>&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSTRUCTION IN PROGRESS <br>
      (Proyect, Total Investment and % of Advance) </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 13 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><table border=0 cellspacing=0 cellpadding=0 width="600">
    <tr>
      <td valign=top colspan="7"> <font size="2">THE PROYECTS IN PROGRESS AT MARCH
        31, 2004, ARE:</font></td>
    </tr>
    <tr>
      <td valign=top align="center" width=218></td>
      <td valign=top align="center" width=52></td>
      <td valign=top align="center" width=100></td>
      <td valign=top align="center" width=25></td>
      <td valign=top align="center" width=86></td>
      <td valign=top align="center" width=8></td>
      <td valign=top align="center" width=111></td>
    </tr>
    <tr>
      <td valign=top align="center" width=218> <font size="2">PROYECTS IN<br>
         PROGRESS</font></td>
      <td valign=top align="center" width=52></td>
      <td valign=top align="center" width=100><font size="2">TOTAL<br>
        INVESTMENT</font> </td>
      <td valign=top align="center" width=25></td>
      <td valign=top align="center" width=86><font size="2">PHISICAL<br>
        ADVANCE</font> </td>
      <td valign=top align="center" width=8></td>
      <td valign=top align="center" width=111> <font size="2">FINISHED <br>
        AT</font></td>
    </tr>
    <tr>
      <td valign=top width=218></td>
      <td valign=top width=52></td>
      <td valign=top width=100></td>
      <td valign=top width=25></td>
      <td valign=top width=86></td>
      <td valign=top width=8></td>
      <td valign=top width=111> <font size="2">      </font></td>
    </tr>
    <tr>
      <td valign=top width=218></td>
      <td valign=top width=52></td>
      <td valign=top width=100></td>
      <td valign=top width=25></td>
      <td valign=top width=86></td>
      <td valign=top width=8></td>
      <td valign=top width=111></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2">SLITTING SYSTEM TO ROLLING </font></td>
      <td valign=top width=52></td>
      <td valign=top width=100></td>
      <td valign=top width=25></td>
      <td valign=top width=86></td>
      <td valign=top width=8></td>
      <td valign=top width=111></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2">MILL WITH TWO ROWS</font></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100> <font size="2">Ps.  5,664</font></td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86> <font size="2">    100%</font></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="center" width=111> <font size="2">April 2004</font></td>
    </tr>
    <tr>
      <td valign=top width=218></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100></td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="center" width=111></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2">EXCHANGE HEATER FOR FURNACE</font></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100></td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="center" width=111></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2">ROLLING MILL</font></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100> <font size="2">3,977</font></td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86> <font size="2">     60%</font></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="center" width=111><font size="2">June 2004</font>
      </td>
    </tr>
    <tr>
      <td valign=top width=218></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100></td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="right" width=111></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2">VARIOUS</font></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100><font size="2">2,550</font> </td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="right" width=111></td>
    </tr>
    <tr>
      <td valign=top width=218></td>
      <td valign=top width=52></td>
      <td valign=top align="right" width=100></td>
      <td valign=top align="right" width=25></td>
      <td valign=top align="right" width=86></td>
      <td valign=top align="right" width=8></td>
      <td valign=top align="right" width=111></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2"><b>TOTAL INVESTMENT AT </b></font></td>
      <td valign=top width=52> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=100> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=25> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=86> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=8> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=111> <font size="2"><b>&nbsp;</b></font></td>
    </tr>
    <tr>
      <td valign=top width=218> <font size="2"><b>MARCH 31, 2004</b></font></td>
      <td valign=top width=52> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=100> <font size="2"><b>&nbsp;12,191</b></font></td>
      <td valign=top align="right" width=25> <font size="2"></font></td>
      <td valign=top align="right" width=86> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=8> <font size="2"><b>&nbsp;</b></font></td>
      <td valign=top align="right" width=111> <font size="2"><b>&nbsp;</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: 34; page: 34" -->


<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>FOREIGN CURRENCY TRANSACTIONS AND <br>
      EXCHANGE DIFFERENCES </b></font></td>
    <td></td>
    <td align="center"></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 14 </b></font></td>
    <td></td>
    <td align="center"><font size="1"><b>CONSOLIDATED </b></font></td>
   </tr>
</table>
<p><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>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><font size=2>Monetary items at the exchange rate at the balance
      sheet date.</font></td>
  </tr>
</table>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><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>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><font size=2> Income and expense items at an appropriate average
      exchange rate.</font></td>
  </tr>
</table>
<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><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>

<table width=600>
  <tr>
    <td width=4% colspan="3" valign="top"><font size=2>- </font></td>
    <td width=96%><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;







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<!-- MARKER PAGE="sheet: 35; page: 35" -->


<p><table width="600" border="0" cellspacing="0" cellpadding="0">
  <tr valign="bottom">
    <td></td>
    <td></td>
    <td align="center"><font size="1"><b>MEXICAN STOCK EXCHANGE <br>
      SIFIC / ICS </b></font></td>
    <td></td>
    <td></td>
   </tr>
  <tr valign="bottom">
    <td></td>
    <td>&nbsp;</td>
    <td align="center"></td>
    <td>&nbsp;</td>
    <td></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></td>
    <td align="center"></td>
    <td></td>
    <td align="center"><font size=2><font size=1>QUARTER: <b>1&nbsp;</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;YEAR:
      <b>2004</b></font></font></td>
   </tr>
  <tr valign="bottom">
    <td align="left"></td>
    <td></td>
    <td align="center"><font size="1"><b>ANNEX 14 </b></font></td>
    <td></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>DECLARATION OF THE COMPANY OFFICIALS RESPONSIBLE
      FOR THE INFORMATION <br>
      CONTAINED IN THIS REPORT.</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>
<table width=600>
  <tr valign="top">
    <td  align=center width="100"></td>
    <td  align=center><font size=2><b>ING LUIS GARCIA LIMON <br>
      CHIEF EXECUTIVE OFFICER</b></font></td>
    <td  align=center><font size=2><b>C.P. ADOLFO LUNA LUNA <br>
      CHIEF FINANCIAL OFFICER</b></font></td>
  </tr>
</table>

<p><table width=600><tr><td  align=center><font size=2><B>GUADALAJARA, JAL, AT APRIL 22
OF 2004</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;

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