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<SEC-DOCUMENT>0000891092-10-003054.txt : 20100729
<SEC-HEADER>0000891092-10-003054.hdr.sgml : 20100729
<ACCEPTANCE-DATETIME>20100729095026
ACCESSION NUMBER:		0000891092-10-003054
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20100731
FILED AS OF DATE:		20100729
DATE AS OF CHANGE:		20100729

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:		10976267

	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>e39540-6k.htm
<DESCRIPTION>FORM 6-K
<TEXT>
<HTML>
<HEAD>
   <TITLE></TITLE>
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<BODY bgcolor="#ffffff" style="font-family: 'Times New Roman';font-size: 10pt;">
<P style="text-align: center;"> <B><font size="4">UNITED STATES</font></B><font size="4"><BR>
  <B>SECURITIES AND EXCHANGE COMMISSION</B></font></P>
<P style="text-align: center;"> <B><font size="3">Washington, D.C. 20549</font></B><font size="3"><BR>
  <BR>
  <B>FORM 6-K</B></font></P>
<P style="text-align: center;"> <font size="3"><B>REPORT OF FOREIGN PRIVATE ISSUER
  PURSUANT TO RULE 13a-16 OR 15d-16</B><BR>
  <B>UNDER THE SECURITIES EXCHANGE ACT OF 1934</B></font></P>
<P style="text-align: center;"> <font size="3"><B>COMMISSION FILE NUMBER 1-11176</B></font></P>
<TABLE border=0 width=100% cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD align=left width="46%"> <div align="left">For the month of </div></TD>
    <TD align=left width="54%">July, 2010. </TD>
  </TR>
  <TR valign="bottom">
    <TD align=left width="46%" colspan="2"> <hr size="1" noshade width="87%" align="right">
    </TD>
  </TR>
</TABLE>
<br>
<TABLE cellpadding=0 border=0 width=100% cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
<TR valign="bottom">
     <TD align=center width=100%> <FONT size=2>Group Simec, Inc.</FONT></TD> </TR>
<TR>
     <TD colspan=1 width=100%>
<HR noshade size=1 width=100%>
</TD></TR>
<TR valign="bottom">
     <TD align=center width=100%> <FONT size=2>(Translation of Registrant&#146;s Name Into English)</FONT></TD> </TR>
<TR>
     <TD>&nbsp; </TD> </TR>
<TR valign="bottom">
     <TD align=center width=100%> <FONT size=2>Av. Lazaro Cardenas 601, Colonia la Nogalera, Guadalajara, Jalisco, Mexico 44440</FONT></TD> </TR>
<TR>
     <TD>
<HR noshade size=1 width=100%>
</TD> </TR>
<TR valign="bottom">
     <TD align=center width=100%> <FONT size=2>(Address of principal executive office)</FONT></TD> </TR> </TABLE>
<P style="text-align: left;"> Indicate by check mark whether the registrant files
  or will file annual reports under cover of Form 20-F or Form 40-F.</P>
<TABLE width=100% border=0 cellpadding="0" cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD width=7% align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD width=10% align=left> Form 20-F</TD>
    <TD width=7% align=left>|X|</TD>
    <TD width=10% align=left> Form 40-F</TD>
    <TD align=left>|_|</TD>
  </TR>
</TABLE>
<P style="text-align: left;"> Indicate by check mark whether the registrant is
  submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1)</P>
<TABLE width=100% border=0 cellpadding="0" cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD width=7% align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD width=10% align=left> Yes</TD>
    <TD width=7% align=left>|_|</TD>
    <TD width=10% align=left> No</TD>
    <TD align=left>|X|</TD>
  </TR>
</TABLE>
<P style="text-align: left;"> Indicate by check mark whether the registrant is
  submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7)</P>
<TABLE width=100% border=0 cellpadding="0" cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD width=7% align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD width=10% align=left> Yes</TD>
    <TD width=7% align=left>|_|</TD>
    <TD width=10% align=left> No</TD>
    <TD align=left>|X|</TD>
  </TR>
</TABLE>
<P style="text-align: left;"> 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.</P>
<TABLE width=100% border=0 cellpadding="0" cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD width=7% align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD width=10% align=left> Yes</TD>
    <TD width=7% align=left>|_|</TD>
    <TD width=10% align=left> No</TD>
    <TD align=left>|X|</TD>
  </TR>
</TABLE>
<P style="text-align: left;"> (If &#147;Yes&#148; is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-_______________________.)</P>
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<P style="text-align: left;"> SIGNATURE</P>
<P style="text-align: left;"> &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.</P>
<TABLE width=100% border=0 cellpadding=0 cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD width=65% align=left>&nbsp;</TD>
    <TD width=2% align=left>&nbsp;</TD>
    <TD align=center colspan=2><font size=2>GRUPO SIMEC, S.A.B. de C.V.</font></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center colspan=2><hr noshade size=1 width=100%></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center colspan=2><font size=2>(Registrant)</font></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left colspan=2>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left> <FONT size=2>Date: July 28, 2010.</FONT></TD>
    <TD align=left> <FONT size=2>By:</FONT></TD>
    <TD align=left colspan=2> <FONT size=2>/s/ Luis Garc&iacute;a Lim&oacute;n</FONT></TD>
  </TR>
  <TR>
    <TD colspan=2>&nbsp; </TD>
    <TD colspan=2> <HR noshade size=1 width=100%> </TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD width=4% align=left> <FONT size=2>Name:</FONT></TD>
    <TD width=29% align=left> <FONT size=2>Luis Garc&iacute;a Lim&oacute;n</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD align=left> <FONT size=2>Title:</FONT></TD>
    <TD align=left> <FONT size=2>Chief Executive Officer</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR noshade align="center" width="100%" size="5">
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<IMG src="secfiling2quarter2010x3x1.jpg" border=0>
<BR>
<TABLE width=100% border=0 cellpadding=0 cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
  <TR valign="bottom">
    <TD width=42% align=left> <B><FONT size=2>PRESS RELEASE</FONT></B></TD>
    <TD colspan="2" align=left> <B><FONT size=2>Contact:</FONT></b>
      <FONT size=2>Sergio Vigil Gonz&aacute;lez</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD width=6% align=left>&nbsp; </TD>
    <TD width=52% align=left style="TEXT-INDENT:9.000000px"> <FONT size=2>Adolfo
      Luna Luna</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD align=left style="TEXT-INDENT:9.000000px"> <FONT size=2>Grupo
      Simec, S.A.B. de C.V.</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD align=left style="TEXT-INDENT:9.000000px"> <FONT size=2>Calzada
      L&aacute;zaro C&aacute;rdenas 601</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD align=left style="TEXT-INDENT:9.000000px"> <FONT size=2>44440
      Guadalajara, Jalisco, M&eacute;xico</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD align=left style="TEXT-INDENT:9.000000px"> <FONT size=2>52 55
      1165 1025</FONT></TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD align=left style="TEXT-INDENT:9.000000px"> <FONT size=2>52 33
      3770 6734</FONT></TD>
  </TR>
</TABLE>
<P style="text-align: left;"> <B>GRUPO SIMEC ANNOUNCES RESULTS OF OPERATIONS FOR THE FIRST SIX MONTHS OF 2010</B></P>
<P style="text-align: left;"> GUADALAJARA, MEXICO, July 27, 2010- Grupo Simec, S.A.B. de C.V. (AMEX: SIM) (&#147;Simec&#148;) announced today its results of operations for the sixth-month period ended June 30, 2010.</P>
<P style="text-align: left;"> <B>Comparative first six months 2010 vs. first six months 2009</B></P>
<P style="text-align: left;"> <B><I>Net Sales</I></B></P>
<P style="text-align: left;"> Net sales increased 38% to Ps. 9,242 million in the first half 2009 compared to Ps. 12,760 million in the same period 2010. Shipments of finished steel products increased 19% from 977 thousand tons in the first half 2009 compared to 1,162 thousand tons in the same period 2010. Total sales outside of Mexico in the first half 2010 increased 90% to Ps. 7,129 million compared to Ps. 3,760 million in the same period 2009, while total Mexican sales increased 3% from Ps. 5,482 million in the first half 2009 to Ps. 5,631 million in the same period 2010. The increase in sales can be explained due to major shipments during the first half 2010 in 19%, compared to the same period of 2009 (185 thousand tons increase). The average price of steel products increased 16% in the first half 2010 compared with the same period of 2009.</P>
<P style="text-align: left;"> <B><I>Direct Cost of Sales</I></B></P>
<P style="text-align: left;"> Direct cost of sales increased 46% form Ps. 7,367 million in the first six months 2009, to Ps. 10,772 million in the same period 2010. Direct cost of sales as a percentage of net sales represented 84% in the first half 2010 compared to 80% in the same period 2009. The cost of sales increased due an increase in the shipments of finished steel products and higher cost in raw material.</P>
<P style="text-align: left;"> <B><I>Gross Profit</I></B></P>
<P style="text-align: left;"> Marginal profit in the first half 2010, increased 6% from Ps. 1,875 million in the firs half 2009, to Ps. 1,988 million in the same period 2010. Marginal profit as a percentage of net sales in the first half 2010 was 16% compared to 20% in the same period 2009. The increase in gross profit is due to major shipments of 19% during the first half 2010 compared with the same period of 2009.</P>
<P style="text-align: left;"> <B><I>Operating Expenses</I></B></P>
<P style="text-align: left;"> Operating expenses fell 11% to Ps. 1,008 million in the first six months 2010 compared to Ps. 1,128 million in the same period 2009, and represented 8% and 12% of net sales in the first half 2010 and the same period of 2009 respectively.</P>
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<P style="text-align: left;"> <B><I>Operating Income</I></B></P>
<P style="text-align: left;"> Operating income increased 31% from Ps. 747 million for the first six months 2009 compared to Ps. 980 million in the same period 2010. Operating income as a percentage of net sales was 8% in the first half 2010 and 2009, respectively. The increase in operating income is due to major shipments of 19% during the first half 2010 compared with the same period of 2009.</P>
<P style="text-align: left;"> <B><I>Ebitda</I></B></P>
<P style="text-align: left;"> <B><I>The ebitda of the first six months of 2010, increase16% or Ps. 209 million compared to 2009, the increase is due a mayor shipments of steel products during the 2010</I></B></P>
<P style="text-align: left;"> <B><I>Comprehensive Financial Cost</I></B></P>
<P style="text-align: left;"> Comprehensive financial cost for the first half 2010 represented an expense of Ps. 38 million compared with an expense of Ps. 61 million for the first six months 2009. At the same time we registered an exchange loss of Ps. 41 million in the first half 2010 compared with an exchange loss of Ps. 49 million in the first half 2009.</P>
<P style="text-align: left;"> <B><I>Other Expenses (Income) net</I></B></P>
<P style="text-align: left;"> The company recorded other expense net of Ps. 36 million in the first half 2010 while in 2009 the other expense net was cero in the same period.</P>
<P style="text-align: left;"> <B><I>Income Taxes</I></B></P>
<P style="text-align: left;"> The Company recorded an income tax of Ps. 14 million in the first half 2010 (including the income of Ps. 46 million of deferred taxes) compared to Ps. 161 million in the same period of 2009 (including the provision of Ps. 105 million of deferred taxes).</P>
<P style="text-align: left;"> <B><I>Net Income</I></B></P>
<P style="text-align: left;"> As a result of the foregoing, net income increased 75% from Ps. 526 million in the first half 2009 to Ps. 919 million in the same period 2010. The increase in the net income is due to mayor shipments.</P>
<P style="text-align: left;"> <B>Comparative second quarter 2010 vs. first quarter 2010</B></P>
<P style="text-align: left;"> <B><I>Net Sales</I></B></P>
<P style="text-align: left;"> Net sales were similar in the second and first quarter 2010, to Ps. 6,393 million in the first quarter compared to Ps. 6,367 million in the second quarter 2010. Shipments of finished steel products decreased 8% from 604 thousand tons in the first quarter 2010 to 558 thousand tons in the second quarter 2010. Total sales outside of Mexico in the second quarter 2010 increased 11% to Ps. 3,749 million compared to Ps. 3,380 million in the first quarter 2010, while total Mexican sales decrease 13% from Ps. 3,013 million in the first quarter 2010 to Ps. 2,618 million in the second quarter 2010. The increase in sales can be explained due to increase in the average price of sales during the second quarter 2010, compared to the first quarter of 2010, the shipments in the second quarter decrease in 46 thousand tons.</P>
<P style="text-align: left;"> <B><I>Direct Cost of Sales</I></B></P>
<P style="text-align: left;"> Direct cost of sales increased 4% from Ps. 5,269 million in the first quarter 2010 to Ps. 5,503 million in the second quarter 2010. Direct cost of sales as a percentage of net sales represented 86% in the second quarter 2010 compared to 82% in the first quarter period 2010. The average cost of sales by ton in the first half of 2010 increased 13% compared to the first quarter of 2010.</P>
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<P style="text-align: left;"> <B><I>Gross Profit</I></B></P>
<P style="text-align: left;"> Marginal profit in the second quarter 2010 decreased 23% to Ps. 1,124 million in the first quarter to Ps. 864 million in the second quarter 2010. Gross profit as a percentage of net sales in the second quarter 2010 was 14% compared to 18% in the first quarter 2010. The decreased in marginal profit is due to increased in price of raw materials.</P>
<P style="text-align: left;"> <B><I>Operating Expenses</I></B></P>
<P style="text-align: left;"> Operating expenses fell 3% from Ps. 512 million in the first quarter 2010 to Ps. 496 million in the second quarter 2010, and represented 8% of net sales in the first and second quarter 2010.</P>
<P style="text-align: left;"> <B><I>Operating Income</I></B></P>
<P style="text-align: left;"> Operating income decreased 40%, to Ps. 368 million in the second quarter 2010 compared to Ps. 612 million in the first quarter 2010. Operating income as a percentage of net sales was 10% in the first quarter 2010 compared to 6% in the second quarter 2010. The decrease in operating income is due to major increase of price of raw materials and decrease in the shipments.</P>
<P style="text-align: left;"> <B><I>Ebitda</I></B></P>
<P style="text-align: left;"> <B><I>The ebitda in the second quarter,2010 decreased 28% from Ps 870 million in the first quarter to Ps 629 million in the second quarter the felt in the ebitda is due a minor shipments of steel products and increase of cost of sales.</I></B></P>
<P style="text-align: left;"> <B><I>Comprehensive Financial Cost</I></B></P>
<P style="text-align: left;"> Comprehensive financial cost for the first quarter 2010 represented an expense of Ps. 24 million compared with an expense of Ps. 14 million for the second quarter 2010. At the same time we registered an exchange loss of Ps. 14 million in the second quarter 2010 compared with an exchange loss of Ps. 27 million in the first quarter 2010.</P>
<P style="text-align: left;"> <B><I>Other Expenses (Income) net</I></B></P>
<P style="text-align: left;"> The company recorded other expense net of Ps. 46 million in the second quarter 2010 compared to other income net of Ps. 10 million in the first quarter 2010.</P>
<P style="text-align: left;"> <B><I>Income Taxes</I></B></P>
<P style="text-align: left;"> Income Taxes recorded an income of Ps. 34 million in the second quarter 2010 (including the income of Ps. 44 million of deferred income taxes) compared to an expense of Ps. 21 million in the first quarter 2010 (including the benefits of Ps. 2 million of deferred income taxes).</P>
<P style="text-align: left;"> <B><I>Net Income</I></B></P>
<P style="text-align: left;"> As a result of the foregoing, net income fell 41% from Ps. 577 million in the first quarter 2010 to Ps. 342 million in the second quarter 2010.</P>
<P style="text-align: left;"> <B><I>Liquidity and Capital Resources</I></B></P>
<P style="text-align: left;"> <B>As of June 30, 2010, Simec&#146;s total consolidated debt consisted of U.S. &#36;302,000 of 8 7/8% medium-term notes (&#147;MTN's&#148;) due 1998, or Ps. 3.8 million (accrued interest on June 30, 2010 was U.S. &#36;431,634, or Ps. 5.4 million). As of December 31, 2009, Simec&#146;s total consolidated debt consisted of U.S. &#36;302,000 of 8 7/8% medium-term notes (&#147;MTN's&#148;) due 1998 (accrued interest on December 31, 2009 was U.S. &#36;418,176).</B></P>
<P style="text-align: center;"> <B>Comparative second quarter 2010 vs second quarter 2009</B></P>
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<P style="text-align: left;"> <B><I>Net Sales</I></B></P>
<P style="text-align: left;">Net sales increased 53% from Ps. 4,161 million in
  the second quarter 2009 to Ps. 6,367 million in the second quarter 2010. Sales
  in tons of finished steel increased 18% to 558 thousand tons in the second quarter
  2010 compared with 471 thousand tons in the second quarter 2009. The total sales
  outside of Mexico for the second quarter 2010 increased 144% to Ps. 3,749 million
  compared with Ps. 1,539 million for the second quarter 2009. Total Mexican sales
  decreased 2% from Ps. 2,623 million in the second quarter 2009 to Ps. 2,582
  million in the second quarter 2010. Prices of finished products sold in the
  second quarter 2010 increased 29% compared to the second quarter 2009.</P>
<P style="text-align: left;"> <B><I>Direct Cost of Sales</I></B></P>
<P style="text-align: left;"> Direct cost of sales increased 69% in the second quarter 2010 compared to same period 2009, from Ps. 3,256 million in the second quarter 2009 to Ps. 5,503 million in the second quarter 2010. With respect to sales, in the second quarter 2010, the direct cost of sales represent 86% compared to 78% for the second quarter 2009. The average cost of raw materials used to produce steel products increased 43% in the second quarter 2010 versus the second quarter 2009, primarily as a result of increases in the price of scrap and certain other raw materials.</P>
<P style="text-align: left;"> <B><I>Gross (Loss) Profit</I></B></P>
<P style="text-align: left;"> Marginal profit for the second quarter 2010 decreased 5% to Ps. 864 million compared to Ps. 905 million in the second quarter 2009. The gross profit as a percentage of net sales for the second quarter 2010 was 14% compared to 22% for the second quarter of 2009. The decrease in marginal profit is due to the increase in the cost of raw materials used to produce steel products and increase of shipments.</P>
<P style="text-align: left;"> <B><I>Operating Expenses</I></B></P>
<P style="text-align: left;"> Operating expenses decreased 9% from Ps. 543 million in the second quarter 2009 versus Ps. 496 million in the second quarter 2010. Operating expenses as a percentage of net sales represented 8% during the second quarter 2010 and 13% the second quarter 2009.</P>
<P style="text-align: left;"> <B><I>Operating (Loss) Income</I></B></P>
<P style="text-align: left;"> Operating income was Ps. 368 million in the second quarter 2010 compared to Ps. 362 million in the second quarter 2009. The operating income as a percentage of net sales in the second quarter 2010 was 6% compared to 9% in the second quarter 2009.</P>
<P style="text-align: left;"> <b>Ebitda</b></P>
<P style="text-align: left;"><b> The ebitda of the second quarter 2010 was Ps 629 million compared to Ps. 632 million in 2009, the similar ebitda in both periods its due to a mayor shipments of steel products of 2010 in 18%, but the increase in cost o sales was mayor to the price of sales.</b></P>
<P style="text-align: left;"> <i><B></B></i><B><I>Comprehensive Financial Cost</I></B></P>
<P style="text-align: left;"> Comprehensive financial cost for the second quarter 2010 represented an expense of Ps. 14 million compared with an expense of Ps. 121 million for the second quarter 2009. At the same time we registered an exchange loss of Ps. 14 million in the second quarter 2010 compared with an exchange loss of Ps. 113 million in the second quarter 2009.</P>
<P style="text-align: left;"> <B><I>Other Expenses (Income) net</I></B></P>
<P style="text-align: left;"> The company recorded other expense net of Ps. 46 million in the second quarter 2010 compared with other expense net of Ps. 2 million for the second quarter 2009.</P>
<P style="text-align: left;"> <B><I>Income Taxes</I></B></P>
<P style="text-align: left;"> Income Taxes for the second quarter 2010 was an income of Ps. 34 million compared to Ps. 154 million of expense for the second quarter 2009.</P>
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<BR>
<P style="TEXT-ALIGN: left"><B><I>Net Income (Loss)</I></B></P>
<P style="TEXT-ALIGN: left">As a result of the foregoing, net income was Ps. 342 million in the second quarter 2010 compared to Ps. 86 million for the second quarter 2009.</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 7px" align=center bgColor=#000080><B><FONT color=#ffffff size=2>(millon
      of pesos)</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>1H &#145;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>1H &#145;09</FONT></B></TD>
    <TD align=center bgColor=#000080><B><font color=#ffffff size=2>Year 10 vs</font><FONT color="#FFFFFF" size=2><br>
      '09</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales</FONT></TD>
    <TD align=right><FONT size=2>12,760</FONT></TD>
    <TD style="TEXT-INDENT: 3px" align=right><FONT size=2>9,242</FONT></TD>
    <TD align=center><FONT size=2>38%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Cost of Sales</FONT></TD>
    <TD align=right><FONT size=2>10,772</FONT></TD>
    <TD style="TEXT-INDENT: 3px" align=right><FONT size=2>7,367</FONT></TD>
    <TD align=center><FONT size=2>46%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Gross Profit</FONT></TD>
    <TD align=right><FONT size=2>1,988</FONT></TD>
    <TD align=right><FONT size=2>1,875</FONT></TD>
    <TD align=center><FONT size=2>&nbsp;&nbsp;6%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operating Expenses</FONT></TD>
    <TD align=right><FONT size=2>1,008</FONT></TD>
    <TD style="TEXT-INDENT: 3px" align=right><FONT size=2>1,128</FONT></TD>
    <TD align=center><FONT size=2>-11%&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operating Profit</FONT></TD>
    <TD align=right><FONT size=2>980</FONT></TD>
    <TD align=right><FONT size=2>747</FONT></TD>
    <TD align=center><FONT size=2>31%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>EBITDA</FONT></TD>
    <TD align=right><FONT size=2>1,500</FONT></TD>
    <TD align=right><FONT size=2>1,291</FONT></TD>
    <TD align=center><FONT size=2>16%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Net Profit</FONT></TD>
    <TD align=right><FONT size=2>919</FONT></TD>
    <TD align=right><FONT size=2>526</FONT></TD>
    <TD align=center><FONT size=2>75%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales Outside Mexico</FONT></TD>
    <TD align=right><FONT size=2>7,129</FONT></TD>
    <TD align=right><FONT size=2>3,760</FONT></TD>
    <TD align=center><FONT size=2>90%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales in Mexico</FONT></TD>
    <TD align=right><FONT size=2>5,631</FONT></TD>
    <TD align=right><FONT size=2>5,482</FONT></TD>
    <TD align=center><FONT size=2>&nbsp;&nbsp;3%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Total Sales (Tons)</FONT></TD>
    <TD align=right><FONT size=2>1,162</FONT></TD>
    <TD align=right><FONT size=2>977</FONT></TD>
    <TD align=center><FONT size=2>19%</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 6px" align=left><strong>Quarter</strong> </TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 6px" align=center bgColor=#000080><B><FONT color=#ffffff size=2>(millones
      of pesos)</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>2Q&#145;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>1Q
      &#145;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>2Q
      &#145;09</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>1Q&#180;10vs</FONT></B><BR>
      <B><FONT color="#FFFFFF" size=2>2Q&#180;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>2Q&#180;10
      vs</FONT></B><BR> <B><FONT color="#FFFFFF" size=2>2Q '09</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales</FONT></TD>
    <TD align=right><FONT size=2>6,367</FONT></TD>
    <TD align=right><FONT size=2>6,393</FONT></TD>
    <TD align=center><FONT size=2>4,161</FONT></TD>
    <TD align=center><FONT size=2>0%</FONT></TD>
    <TD align=center><FONT size=2>53%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Cost of Sales</FONT></TD>
    <TD align=right><FONT size=2>5,503</FONT></TD>
    <TD align=right><FONT size=2>5,269</FONT></TD>
    <TD align=center><FONT size=2>3,256</FONT></TD>
    <TD align=center><FONT size=2>4%</FONT></TD>
    <TD align=center><FONT size=2>69%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Gross Profit</FONT></TD>
    <TD align=right><FONT size=2>864</FONT></TD>
    <TD align=right><FONT size=2>1,124</FONT></TD>
    <TD align=center><FONT size=2>905</FONT></TD>
    <TD align=center><FONT size=2>-23%</FONT></TD>
    <TD align=center><FONT size=2>-5%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operating Expenses</FONT></TD>
    <TD align=right><FONT size=2>496</FONT></TD>
    <TD align=right><FONT size=2>512</FONT></TD>
    <TD align=center><FONT size=2>543</FONT></TD>
    <TD align=center><FONT size=2>-3%</FONT></TD>
    <TD align=center><FONT size=2>-9%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operating Profit</FONT></TD>
    <TD align=right><FONT size=2>368</FONT></TD>
    <TD align=right><FONT size=2>612</FONT></TD>
    <TD align=center><FONT size=2>362</FONT></TD>
    <TD align=center><FONT size=2>-40%</FONT></TD>
    <TD align=center><FONT size=2>2%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>EBITDA</FONT></TD>
    <TD align=right><FONT size=2>629</FONT></TD>
    <TD align=right><FONT size=2>870</FONT></TD>
    <TD align=center><FONT size=2>632</FONT></TD>
    <TD align=center><FONT size=2>-28%</FONT></TD>
    <TD align=center><FONT size=2>0%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Net Profit</FONT></TD>
    <TD align=right><FONT size=2>342</FONT></TD>
    <TD align=right><FONT size=2>577</FONT></TD>
    <TD align=center><FONT size=2>86</FONT></TD>
    <TD align=center><FONT size=2>-41%</FONT></TD>
    <TD align=center><FONT size=2>298%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales Outside Mexico</FONT></TD>
    <TD align=right><FONT size=2>3,749</FONT></TD>
    <TD align=right><FONT size=2>3,380</FONT></TD>
    <TD align=center><FONT size=2>1,539</FONT></TD>
    <TD align=center><FONT size=2>11%</FONT></TD>
    <TD align=center><FONT size=2>144%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales in Mexico</FONT></TD>
    <TD align=right><FONT size=2>2,618</FONT></TD>
    <TD align=right><FONT size=2>3,013</FONT></TD>
    <TD align=center><FONT size=2>2,623</FONT></TD>
    <TD align=center><FONT size=2>-13%</FONT></TD>
    <TD align=center><FONT size=2>-2%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Total Sales (Tons)</FONT></TD>
    <TD align=right><FONT size=2>558</FONT></TD>
    <TD align=right><FONT size=2>604</FONT></TD>
    <TD align=center><FONT size=2>471</FONT></TD>
    <TD align=center><FONT size=2>-8%</FONT></TD>
    <TD align=center><FONT size=2>18%</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<TABLE border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" width="100%">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>Product</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand of</FONT></B><BR>
       <B><FONT size=2>Tons</FONT></B><BR>

      <B><FONT size=2>Jan-Jun 2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR>
       <B><FONT size=2>Pesos</FONT></B><BR>

      <B><FONT size=2>Jan-Jun</FONT></B><BR>
       <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR>
       <B><FONT size=2>Price
      per</FONT></B><BR>
       <B><FONT size=2>Ton</FONT></B><BR>
       <B><FONT size=2>Jan-Jun</FONT></B><BR>

      <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand</FONT></B><BR>
       <B><FONT size=2>of
      Tons</FONT></B><BR>
       <B><FONT size=2>Jan &#150; Jun</FONT></B><BR>
       <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR>
       <B><FONT size=2>Pesos</FONT></B><BR>

      <B><FONT size=2>Jan- Jun</FONT></B><BR>
       <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR>
       <B><FONT size=2>Price
      per</FONT></B><BR>
       <B><FONT size=2>Ton</FONT></B><BR>
       <B><FONT size=2>Jan-Jun</FONT></B><BR>

      <B><FONT size=2>2009</FONT></B></TD>
  </TR>

  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Comercial
      Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>542</FONT></TD>
    <TD align=right><FONT size=2>4,810</FONT></TD>
    <TD align=right><FONT size=2>8,874</FONT></TD>
    <TD align=right><FONT size=2>546</FONT></TD>
    <TD align=right><FONT size=2>4,516</FONT></TD>
    <TD align=right><FONT size=2>8,271</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Special Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>620</FONT></TD>
    <TD align=right><FONT size=2>7,950</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>12,823</FONT></TD>
    <TD align=right><FONT size=2>431</FONT></TD>
    <TD align=right><FONT size=2>4,726</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>10,965</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=7>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=7>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Total</FONT></B></TD>
    <TD align=right><FONT size=2>1,162</FONT></TD>
    <TD align=right><FONT size=2>12,760</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>10,981</FONT></TD>
    <TD align=right><FONT size=2>977</FONT></TD>
    <TD align=right><FONT size=2>9,242</FONT></TD>
    <TD align=right><FONT size=2>9,460</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>Product</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand of</FONT></B><BR>
       <B><FONT size=2>Tons</FONT></B><BR>

      <B><FONT size=2>Apr-Jun 2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR>
       <B><FONT size=2>Pesos</FONT></B><BR>

      <B><FONT size=2>Apr-Jun</FONT></B><BR>
       <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR>
       <B><FONT size=2>Price
      per</FONT></B><BR>
       <B><FONT size=2>Ton</FONT></B><BR>
       <B><FONT size=2>Apr-Jun</FONT></B><BR>

      <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand</FONT></B><BR>
       <B><FONT size=2>of
      Tons</FONT></B><BR>
       <B><FONT size=2>Jan &#150; Mar</FONT></B><BR>
       <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR>
       <B><FONT size=2>Pesos</FONT></B><BR>

      <B><FONT size=2>Jan- Mar</FONT></B><BR>
       <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR>
       <B><FONT size=2>Price
      per</FONT></B><BR>
       <B><FONT size=2>Ton</FONT></B><BR>
       <B><FONT size=2>Jan-Mar</FONT></B><BR>

      <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousan</FONT></B><BR>
       <B><FONT size=2>d
      of Tons</FONT></B><BR>
       <B><FONT size=2>Apr-Jun</FONT></B><BR>
       <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR>
       <B><FONT size=2>Pesos</FONT></B><BR>

      <B><FONT size=2>Apr-Jun</FONT></B><BR>
       <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR>
       <B><FONT size=2>Price
      per</FONT></B><BR>
       <B><FONT size=2>Ton</FONT></B><BR>
       <B><FONT size=2>Apr-Jun</FONT></B><BR>

      <B><FONT size=2>2009</FONT></B></TD>
  </TR>

  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Comercial Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>250</FONT></TD>
    <TD align=right><FONT size=2>2,277</FONT></TD>
    <TD align=right><FONT size=2>9,108</FONT></TD>
    <TD align=right><FONT size=2>292</FONT></TD>
    <TD align=right><FONT size=2>2,533</FONT></TD>
    <TD align=right><FONT size=2>8,674</FONT></TD>
    <TD align=right><FONT size=2>263</FONT></TD>
    <TD align=right><FONT size=2>2,103</FONT></TD>
    <TD style="TEXT-INDENT: 4px" align=right><FONT size=2>7,996</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Special Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>308</FONT></TD>
    <TD align=right><FONT size=2>4,090</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>13,279</FONT></TD>
    <TD align=right><FONT size=2>312</FONT></TD>
    <TD align=right><FONT size=2>3,860</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>12,372</FONT></TD>
    <TD align=right><FONT size=2>208</FONT></TD>
    <TD align=right><FONT size=2>2,058</FONT></TD>
    <TD style="TEXT-INDENT: 4px" align=right><FONT size=2>9,894</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=10>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=10>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Total</FONT></B></TD>
    <TD align=right><FONT size=2>558</FONT></TD>
    <TD align=right><FONT size=2>6,367</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>11,410</FONT></TD>
    <TD align=right><FONT size=2>604</FONT></TD>
    <TD align=right><FONT size=2>6,393</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>10,584</FONT></TD>
    <TD align=right><FONT size=2>471</FONT></TD>
    <TD align=right><FONT size=2>4,161</FONT></TD>
    <TD style="TEXT-INDENT: 4px" align=right><FONT size=2>8,835</FONT></TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: left"><I>Any forward-looking information contained herein is inherently subject to various risks, uncertainties and assumptions which, if incorrect, may cause actual results to vary materially from those anticipated, expected or estimated. The company assumes no obligation to update any forward-looking information contained herein.</I></P>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"> <B>CONSOLIDATED FINANCIAL STATEMENT</B><BR>
AT JUNE 30 OF 2010 AND 2009<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>REF</FONT><BR> <FONT size=2>S</FONT></TD>
    <TD align=center valign="top" style="TEXT-INDENT: 29px"><FONT size=2>CONCEPTS</FONT></TD>
    <TD colSpan=2 align=center valign="top"><FONT size=2>CURRENT YEAR</FONT></TD>
    <TD colSpan=2 align=center valign="top" style="TEXT-INDENT: 2px"><FONT size=2>PREVIOUS
      YEAR</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><FONT size=2>AMOUNT</FONT></TD>
    <TD align=center><font size=2>%</font></TD>
    <TD align=center><FONT size=2>AMOUNT</FONT></TD>
    <TD align=center><FONT size=2>%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s01</FONT></B></TD>
    <TD align=left><B><FONT size=2>TOTAL ASSETS</FONT></B></TD>
    <TD align=right><B><FONT size=2>27,433,035</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>30,653,915</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s02</FONT></B></TD>
    <TD align=left><B><FONT size=2>CURRENT ASSETS</FONT></B></TD>
    <TD align=right><B><FONT size=2>13,399,051</FONT></B></TD>
    <TD align=right><B><FONT size=2>49</FONT></B></TD>
    <TD align=right><B><FONT size=2>13,156,456</FONT></B></TD>
    <TD align=right><B><FONT size=2>43</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s03</FONT></TD>
    <TD align=left><FONT size=2>CASH AND SHORT-TERM INVESTMENTS</FONT></TD>
    <TD align=right><FONT size=2>2,868,445</FONT></TD>
    <TD align=right><FONT size=2>10</FONT></TD>
    <TD align=right><FONT size=2>1,296,471</FONT></TD>
    <TD align=right><FONT size=2>4</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s04</FONT></TD>
    <TD align=left><FONT size=2>ACCOUNTS AND NOTES RECEIVABLE (NET)</FONT></TD>
    <TD align=right><FONT size=2>3,232,511</FONT></TD>
    <TD align=right><FONT size=2>12</FONT></TD>
    <TD align=right><FONT size=2>2,851,415</FONT></TD>
    <TD align=right><FONT size=2>9</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s05</FONT></TD>
    <TD align=left><FONT size=2>OTHER ACCOUNTS AND NOTES RECEIVABLE</FONT></TD>
    <TD align=right><FONT size=2>560,912</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
    <TD align=right><FONT size=2>567,661</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s06</FONT></TD>
    <TD align=left><FONT size=2>INVENTORIES</FONT></TD>
    <TD align=right><FONT size=2>6,530,312</FONT></TD>
    <TD align=right><FONT size=2>24</FONT></TD>
    <TD align=right><FONT size=2>8,197,742</FONT></TD>
    <TD align=right><FONT size=2>27</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s07</FONT></TD>
    <TD align=left><FONT size=2>OTHER CURRENT ASSETS</FONT></TD>
    <TD align=right><FONT size=2>206,871</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
    <TD align=right><FONT size=2>243,167</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s08</FONT></B></TD>
    <TD align=left><B><FONT size=2>LONG-TERM</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s09</FONT></TD>
    <TD align=left><FONT size=2>ACCOUNTS AND NOTES RECEIVABLE (NET)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right valign="top"><font size=2>s10</font></TD>
    <TD><FONT size=2>INVESTMENT IN SHARES OF NON-CONSOLIDATED<br>
      &nbsp;&nbsp;&nbsp;SUBSIDIARIES AND ASSOCIATES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s11</FONT></TD>
    <TD align=left><FONT size=2>OTHER INVESTMENTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s12</FONT></B></TD>
    <TD align=left><B><FONT size=2>PROPERTY, PLANT AND EQUIPMENT (NET)</FONT></B></TD>
    <TD align=right><B><FONT size=2>9,563,054</FONT></B></TD>
    <TD align=right><B><FONT size=2>35</FONT></B></TD>
    <TD align=right><B><FONT size=2>10,006,587</FONT></B></TD>
    <TD align=right><B><FONT size=2>33</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s13</FONT></TD>
    <TD align=left><FONT size=2>LAND AND BULIDINGS</FONT></TD>
    <TD align=right><FONT size=2>3,724,126</FONT></TD>
    <TD align=right><FONT size=2>14</FONT></TD>
    <TD align=right><FONT size=2>3,724,127</FONT></TD>
    <TD align=right><FONT size=2>12</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s14</FONT></TD>
    <TD align=left><FONT size=2>MACHINERY AND INDUSTRIAL EQUIPMENT</FONT></TD>
    <TD align=right><FONT size=2>12,982,644</FONT></TD>
    <TD align=right><FONT size=2>47</FONT></TD>
    <TD align=right><FONT size=2>12,744,809</FONT></TD>
    <TD align=right><FONT size=2>42</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s15</FONT></TD>
    <TD align=left><FONT size=2>OTHER EQUIPMENT</FONT></TD>
    <TD align=right><FONT size=2>232,798</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
    <TD align=right><FONT size=2>231,917</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s16</FONT></TD>
    <TD align=left><FONT size=2>ACCUMULATED DEPRECIATION</FONT></TD>
    <TD align=right><FONT size=2>7,807,070</FONT></TD>
    <TD align=right><FONT size=2>28</FONT></TD>
    <TD align=right><FONT size=2>7,174,185</FONT></TD>
    <TD align=right><FONT size=2>23</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s17</FONT></TD>
    <TD align=left><FONT size=2>CONSTRUCTION IN PROGRESS</FONT></TD>
    <TD align=right><FONT size=2>430,556</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
    <TD align=right><FONT size=2>479,919</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s18</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER INTANGIBLE ASSETS AND DEFERRED ASSETS
      (NET)</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,329,433</FONT></B></TD>
    <TD align=right><B><FONT size=2>16</FONT></B></TD>
    <TD align=right><B><FONT size=2>7,368,649</FONT></B></TD>
    <TD align=right><B><FONT size=2>24</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s19</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER ASSETS</FONT></B></TD>
    <TD align=right><B><FONT size=2>141,497</FONT></B></TD>
    <TD align=right><B><FONT size=2>1</FONT></B></TD>
    <TD align=right><B><FONT size=2>122,223</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s20</FONT></B></TD>
    <TD align=left><B><FONT size=2>TOTAL LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>6,633,206</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>8,912,103</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s21</FONT></B></TD>
    <TD align=left><B><FONT size=2>CURRENT LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>3,840,858</FONT></B></TD>
    <TD align=right><B><FONT size=2>58</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,525,964</FONT></B></TD>
    <TD align=right><B><FONT size=2>51</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s22</FONT></TD>
    <TD align=left><FONT size=2>SUPPLIERS</FONT></TD>
    <TD align=right><FONT size=2>2,294,030</FONT></TD>
    <TD align=right><FONT size=2>35</FONT></TD>
    <TD align=right><FONT size=2>2,501,299</FONT></TD>
    <TD align=right><FONT size=2>28</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s23</FONT></TD>
    <TD align=left><FONT size=2>BANK LOANS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>30,365</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s24</FONT></TD>
    <TD align=left><FONT size=2>STOCK MARKET LOANS</FONT></TD>
    <TD align=right><FONT size=2>3,822</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>3,987</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s103</FONT></TD>
    <TD align=left><FONT size=2>OTHER LOANS WITH COST</FONT></TD>
    <TD align=right><FONT size=2>586,824</FONT></TD>
    <TD align=right><FONT size=2>9</FONT></TD>
    <TD align=right><FONT size=2>508,288</FONT></TD>
    <TD align=right><FONT size=2>6</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s25</FONT></TD>
    <TD align=left><FONT size=2>TAXES PAYABLE</FONT></TD>
    <TD align=right><FONT size=2>147,557</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
    <TD align=right><FONT size=2>307,956</FONT></TD>
    <TD align=right><FONT size=2>3</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s26</FONT></TD>
    <TD align=left><FONT size=2>OTHER CURRENT LIABILITIES WITHOUT COST</FONT></TD>
    <TD align=right><FONT size=2>808,625</FONT></TD>
    <TD align=right><FONT size=2>12</FONT></TD>
    <TD align=right><FONT size=2>1,174,069</FONT></TD>
    <TD align=right><FONT size=2>13</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s27</FONT></B></TD>
    <TD align=left><B><FONT size=2>LONG-TERM LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s28</FONT></TD>
    <TD align=left><FONT size=2>BANK LOANS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s29</FONT></TD>
    <TD align=left><FONT size=2>STOCK MARKET LOANS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s30</FONT></TD>
    <TD align=left><FONT size=2>OTHER LOANS WITH COST</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s31</FONT></B></TD>
    <TD align=left><B><FONT size=2>DEFERRED LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s32</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER NON-CURRENT LIABILITIES WITHOUT COST</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,792,348</FONT></B></TD>
    <TD align=right><B><FONT size=2>42</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,386,139</FONT></B></TD>
    <TD align=right><B><FONT size=2>49</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s33</FONT></B></TD>
    <TD align=left><B><FONT size=2>CONSOLIDATED STOCKHOLDERS&#146; EQUITY</FONT></B></TD>
    <TD align=right><B><FONT size=2>20,799,829</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>21,741,812</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s34</FONT></B></TD>
    <TD align=left><B><FONT size=2>MINORITY INTEREST</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,080,577</FONT></B></TD>
    <TD align=right><B><FONT size=2>10</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,760,394</FONT></B></TD>
    <TD align=right><B><FONT size=2>13</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s35</FONT></B></TD>
    <TD align=left><B><FONT size=2>MAJORITY INTEREST</FONT></B></TD>
    <TD align=right><B><FONT size=2>18,719,252</FONT></B></TD>
    <TD align=right><B><FONT size=2>90</FONT></B></TD>
    <TD align=right><B><FONT size=2>18,981,418</FONT></B></TD>
    <TD align=right><B><FONT size=2>87</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s36</FONT></B></TD>
    <TD align=left><B><FONT size=2>CONTRIBUTED CAPITAL</FONT></B></TD>
    <TD align=right><B><FONT size=2>8,350,900</FONT></B></TD>
    <TD align=right><B><FONT size=2>40</FONT></B></TD>
    <TD align=right><B><FONT size=2>8,350,900</FONT></B></TD>
    <TD align=right><B><FONT size=2>38</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s79</FONT></TD>
    <TD align=left><FONT size=2>CAPITAL STOCK</FONT></TD>
    <TD align=right><FONT size=2>4,142,696</FONT></TD>
    <TD align=right><FONT size=2>20</FONT></TD>
    <TD align=right><FONT size=2>4,142,696</FONT></TD>
    <TD align=right><FONT size=2>19</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s39</FONT></TD>
    <TD align=left><FONT size=2>PREMIUM ON ISSUANCE OF SHARES</FONT></TD>
    <TD align=right><FONT size=2>4,208,204</FONT></TD>
    <TD align=right><FONT size=2>20</FONT></TD>
    <TD align=right><FONT size=2>4,208,204</FONT></TD>
    <TD align=right><FONT size=2>19</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s40</FONT></TD>
    <TD align=left><FONT size=2>CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s41</FONT></B></TD>
    <TD align=left><B><FONT size=2>EARNED CAPITAL</FONT></B></TD>
    <TD align=right><B><FONT size=2>10,368,352</FONT></B></TD>
    <TD align=right><B><FONT size=2>50</FONT></B></TD>
    <TD align=right><B><FONT size=2>10,630,518</FONT></B></TD>
    <TD align=right><B><FONT size=2>49</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s42</FONT></TD>
    <TD align=left><FONT size=2>RETAINED EARNINGS AND CAPITAL RESERVES</FONT></TD>
    <TD align=right><FONT size=2>10,038,287</FONT></TD>
    <TD align=right><FONT size=2>48</FONT></TD>
    <TD align=right><FONT size=2>10,329,465</FONT></TD>
    <TD align=right><FONT size=2>48</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s44</FONT></TD>
    <TD align=left><FONT size=2>OTHER ACCUMULATED COMPREHENSIVE RESULT</FONT></TD>
    <TD align=right><FONT size=2>330,065</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
    <TD align=right><FONT size=2>301,053</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s80</FONT></TD>
    <TD align=left><FONT size=2>SHARES REPURCHASED</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>CONSOLIDATED FINANCIAL STATEMENT</B><BR>
BREAKDOWN OF MAIN CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>S</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 29px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><b><font size=2>%</font></b></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><b><font size=2>%</font></b></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s03</FONT></B></TD>
    <TD align=left><B><FONT size=2>CASH AND SHORT-TERM INVESTMENTS</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,868,445</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,296,471</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s46</FONT></TD>
    <TD align=left><FONT size=2>CASH</FONT></TD>
    <TD align=right><FONT size=2>2,003,547</FONT></TD>
    <TD align=right><FONT size=2>70</FONT></TD>
    <TD align=right><FONT size=2>1,011,824</FONT></TD>
    <TD align=right><FONT size=2>78</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s47</FONT></TD>
    <TD align=left><FONT size=2>SHORT-TERM INVESTMENTS</FONT></TD>
    <TD align=right><FONT size=2>864,898</FONT></TD>
    <TD align=right><FONT size=2>30</FONT></TD>
    <TD align=right><FONT size=2>284,647</FONT></TD>
    <TD align=right><FONT size=2>22</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s07</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER CURRENT ASSETS</FONT></B></TD>
    <TD align=right><B><FONT size=2>206,871</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>243,167</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s81</FONT></TD>
    <TD align=left><FONT size=2>DERIVATIVE FINANCIAL INSTRUMENTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s82</FONT></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s83</FONT></TD>
    <TD align=left><FONT size=2>OTHER</FONT></TD>
    <TD align=right><FONT size=2>206,871</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
    <TD align=right><FONT size=2>243,167</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s18</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER INTANGIBLE ASSETS AND DEFERRED
      ASSETS (NET)</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,329,433</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>7,368,649</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s48</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED EXPENSES</FONT></TD>
    <TD align=right><FONT size=2>2,520,375</FONT></TD>
    <TD align=right><FONT size=2>58</FONT></TD>
    <TD align=right><FONT size=2>3,153,149</FONT></TD>
    <TD align=right><FONT size=2>43</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s49</FONT></TD>
    <TD align=left><FONT size=2>GOODWILL</FONT></TD>
    <TD align=right><FONT size=2>1,798,293</FONT></TD>
    <TD align=right><FONT size=2>42</FONT></TD>
    <TD align=right><FONT size=2>4,166,160</FONT></TD>
    <TD align=right><FONT size=2>57</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s51</FONT></TD>
    <TD align=left><FONT size=2>OTHER</FONT></TD>
    <TD align=right><FONT size=2>10,765</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>49,340</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s19</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER ASSETS</FONT></B></TD>
    <TD align=right><B><FONT size=2>141,497</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>122,223</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s84</FONT></TD>
    <TD align=left><FONT size=2>INTANGIBLE ASSET FROM LABOR OBLIGATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s85</FONT></TD>
    <TD align=left><FONT size=2>DERIVATIVE FINANCIAL INSTRUMENTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s50</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED TAXES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s86</FONT></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s87</FONT></TD>
    <TD align=left><FONT size=2>OTHER</FONT></TD>
    <TD align=right><FONT size=2>141,497</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
    <TD align=right><FONT size=2>122,223</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s21</FONT></B></TD>
    <TD align=left><B><FONT size=2>CURRENT LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>3,840,858</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,525,964</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s52</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN CURRENCY LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>2,502,693</FONT></TD>
    <TD align=right><FONT size=2>65</FONT></TD>
    <TD align=right><FONT size=2>1,962,229</FONT></TD>
    <TD align=right><FONT size=2>43</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s53</FONT></TD>
    <TD align=left><FONT size=2>MEXICAN PESOS LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>1,338,165</FONT></TD>
    <TD align=right><FONT size=2>35</FONT></TD>
    <TD align=right><FONT size=2>2,563,735</FONT></TD>
    <TD align=right><FONT size=2>57</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s26</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER CURRENT LIABILITIES WITHOUT
      COST</FONT></B></TD>
    <TD align=right><B><FONT size=2>808,625</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,174,069</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s88</FONT></TD>
    <TD align=left><FONT size=2>DERIVATIVE FINANCIAL INSTRUMENTS</FONT></TD>
    <TD align=right><FONT size=2>169,894</FONT></TD>
    <TD align=right><FONT size=2>21</FONT></TD>
    <TD align=right><FONT size=2>331,580</FONT></TD>
    <TD align=right><FONT size=2>28</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s89</FONT></TD>
    <TD align=left><FONT size=2>INTEREST LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>5,463</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
    <TD align=right><FONT size=2>5,340</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s68</FONT></TD>
    <TD align=left><FONT size=2>PROVISIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s90</FONT></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s58</FONT></TD>
    <TD align=left><FONT size=2>OTHER CURRENT LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>633,268</FONT></TD>
    <TD align=right><FONT size=2>78</FONT></TD>
    <TD align=right><FONT size=2>837,149</FONT></TD>
    <TD align=right><FONT size=2>71</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s27</FONT></B></TD>
    <TD align=left><B><FONT size=2>LONG-TERM LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s59</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN CURRENCY LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s60</FONT></TD>
    <TD align=left><FONT size=2>MEXICAN PESOS LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s31</FONT></B></TD>
    <TD align=left><B><FONT size=2>DEFERRED LIABILITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s65</FONT></TD>
    <TD align=left><FONT size=2>NEGATIVE GOODWILL</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s67</FONT></TD>
    <TD align=left><FONT size=2>OTHER</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s32</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER NON CURRENT LIABILITIES WITHOUT
      COST</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,792,348</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,386,139</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s66</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED TAXES</FONT></TD>
    <TD align=right><FONT size=2>2,705,881</FONT></TD>
    <TD align=right><FONT size=2>97</FONT></TD>
    <TD align=right><FONT size=2>4,305,403</FONT></TD>
    <TD align=right><FONT size=2>98</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s91</FONT></TD>
    <TD align=left><FONT size=2>OTHER LIABILITIES IN RESPECT OF SOCIAL
      INSURANCE</FONT></TD>
    <TD align=right><FONT size=2>32,955</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
    <TD align=right><FONT size=2>32,316</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s92</FONT></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s69</FONT></TD>
    <TD align=left><FONT size=2>OTHER LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>53,512</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
    <TD align=right><FONT size=2>48,420</FONT></TD>
    <TD align=right><FONT size=2>1</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6 align="right">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>s79</FONT></B></TD>
    <TD align=left><B><FONT size=2>CAPITAL STOCK</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,142,696</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,142,696</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s37</FONT></TD>
    <TD align=left><FONT size=2>CAPITAL STOCK (NOMINAL)</FONT></TD>
    <TD align=right><FONT size=2>2,420,230</FONT></TD>
    <TD align=right><FONT size=2>58</FONT></TD>
    <TD align=right><FONT size=2>2,420,230</FONT></TD>
    <TD align=right><FONT size=2>58</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>s69</FONT></TD>
    <TD align=left><FONT size=2>RESTATEMENT OF CAPITAL STOCK</FONT></TD>
    <TD align=right><FONT size=2>1,722,466</FONT></TD>
    <TD align=right><FONT size=2>42</FONT></TD>
    <TD align=right><FONT size=2>1,722,466</FONT></TD>
    <TD align=right><FONT size=2>42</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>CONSOLIDATED FINANCIAL STATEMENT</B><BR>
BREAKDOWN OF MAIN CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>S</FONT></B></TD>
    <TD style="TEXT-INDENT: 29px" align=center><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s42</FONT></B></TD>
    <TD align=left><B><FONT size=2>RETAINED EARNINGS AND CAPITAL RESERVES</FONT></B></TD>
    <TD align=right><B><FONT size=2>10,038,287</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>10,329,465</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s93</FONT></TD>
    <TD align=left><FONT size=2>LEGAL RESERVE</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s43</FONT></TD>
    <TD align=left><FONT size=2>RESERVE FOR REPURCHASE OF SHARES</FONT></TD>
    <TD align=right><FONT size=2>200,612</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
    <TD align=right><FONT size=2>200,612</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s94</FONT></TD>
    <TD align=left><FONT size=2>OTHER RESERVES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s95</FONT></TD>
    <TD align=left><FONT size=2>RETAINED EARNINGS</FONT></TD>
    <TD align=right><FONT size=2>8,875,093</FONT></TD>
    <TD align=right><FONT size=2>88</FONT></TD>
    <TD align=right><FONT size=2>9,307,346</FONT></TD>
    <TD align=right><FONT size=2>90</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s45</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME FOR THE YEAR</FONT></TD>
    <TD align=right><FONT size=2>962,582</FONT></TD>
    <TD align=right><FONT size=2>10</FONT></TD>
    <TD align=right><FONT size=2>821,507</FONT></TD>
    <TD align=right><FONT size=2>8</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>s44</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER ACCUMULATED COMPREHENSIVE
      RESULT</FONT></B></TD>
    <TD align=right><B><FONT size=2>330,065</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>301,053</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s70</FONT></TD>
    <TD align=left><FONT size=2>ACCUMULATED MONETARY RESULT</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s71</FONT></TD>
    <TD align=left><FONT size=2>RESULT FROM HOLDING NON-MONETARY ASSETS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s96</FONT></TD>
    <TD align=left><FONT size=2>CUMULATIVE RESULT FROM FOREIGN CURRENCY</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><FONT size=2>TRANSLATION</FONT></TD>
    <TD align=right><FONT size=2>448,991</FONT></TD>
    <TD align=right><FONT size=2>136</FONT></TD>
    <TD align=right><FONT size=2>539,791</FONT></TD>
    <TD align=right><FONT size=2>179</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s97</FONT></TD>
    <TD align=left><FONT size=2>CUMULATIVE RESULT FROM DERIVATIVE
      FINANCIAL</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><FONT size=2>INSTRUMENTS</FONT></TD>
    <TD align=right><FONT size=2>(118,926)</FONT></TD>
    <TD align=right><FONT size=2>(36)</FONT></TD>
    <TD align=right><FONT size=2>(238,738)</FONT></TD>
    <TD align=right><FONT size=2>(79)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s98</FONT></TD>
    <TD align=left><FONT size=2>CUMULATIVE EFFECT OF DEFERRED INCOME
      TAXES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s99</FONT></TD>
    <TD align=left><FONT size=2>LABOR OBLIGATION ADJUSTMENT</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>s100</FONT></TD>
    <TD align=left><FONT size=2>OTHER</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>BALANCE SHEETS</B><BR>
OTHER CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>S</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 29px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s72</FONT></TD>
    <TD align=left><FONT size=2>WORKING CAPITAL</FONT></TD>
    <TD align=right><FONT size=2>9,558,193</FONT></TD>
    <TD align=right><FONT size=2>8,630,492</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s73</FONT></TD>
    <TD align=left><FONT size=2>PENSIONS FUND AND SENIORITY PREMIUMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s74</FONT></TD>
    <TD align=left><FONT size=2>EXECUTIVES (*)</FONT></TD>
    <TD align=right><FONT size=2>56</FONT></TD>
    <TD align=right><FONT size=2>60</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s75</FONT></TD>
    <TD align=left><FONT size=2>EMPLOYERS (*)</FONT></TD>
    <TD align=right><FONT size=2>1,421</FONT></TD>
    <TD align=right><FONT size=2>1,640</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s76</FONT></TD>
    <TD align=left><FONT size=2>WORKERS (*)</FONT></TD>
    <TD align=right><FONT size=2>3,048</FONT></TD>
    <TD align=right><FONT size=2>2,569</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s77</FONT></TD>
    <TD align=left><FONT size=2>COMMON SHARES (*)</FONT></TD>
    <TD align=right><FONT size=2>497,709,214</FONT></TD>
    <TD align=right><FONT size=2>497,709,214</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s78</FONT></TD>
    <TD align=left><FONT size=2>REPURCHASED SHARES (*)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s101</FONT></TD>
    <TD align=left><FONT size=2>RESTRICTED CASH</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>s102</FONT></TD>
    <TD align=left><FONT size=2>NET DEBT OF NON CONSOLIDATED COMPANIES</FONT></TD>
    <TD align=right><FONT size=2>586,824</FONT></TD>
    <TD align=right><FONT size=2>508,288</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 border=0>
<TR>
     <TD vAlign=top nowrap width="2%">(*)&nbsp; &nbsp; &nbsp; </TD>
     <TD width="98%">THESE ITEMS SHOULD BE EXPRESSED IN UNITS </TD></TR></TABLE>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>STATEMENTS OF INCOME</B><BR>
FROM JANUARY 1 TO JUNE 30 OF 2010 AND 2009<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center valign="top"><B><FONT size=2>REF</FONT></B><BR>
      <B><FONT size=2>R</FONT></B></TD>
    <TD align=center valign="top"><B><FONT size=2>CATEGORIES</FONT></B></TD>
    <TD colSpan=2 align=center valign="top"><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD colSpan=2 align=center valign="top"><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r01</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET SALES</FONT></B></TD>
    <TD align=right><B><FONT size=2>12,759,896</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>9,242,065</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r02</FONT></TD>
    <TD align=left><FONT size=2>COST OF SALES</FONT></TD>
    <TD align=right><FONT size=2>10,772,164</FONT></TD>
    <TD align=right><FONT size=2>84</FONT></TD>
    <TD align=right><FONT size=2>7,367,072</FONT></TD>
    <TD align=right><FONT size=2>80</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r03</FONT></B></TD>
    <TD align=left><B><FONT size=2>GROSS PROFIT</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,987,732</FONT></B></TD>
    <TD align=right><B><FONT size=2>16</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,874,993</FONT></B></TD>
    <TD align=right><B><FONT size=2>20</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r04</FONT></TD>
    <TD align=left><FONT size=2>OPERATING EXPENSES</FONT></TD>
    <TD align=right><FONT size=2>1,007,880</FONT></TD>
    <TD align=right><FONT size=2>8</FONT></TD>
    <TD align=right><FONT size=2>1,128,430</FONT></TD>
    <TD align=right><FONT size=2>12</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r05</FONT></B></TD>
    <TD align=left><B><FONT size=2>OPERATING INCOME</FONT></B></TD>
    <TD align=right><B><FONT size=2>979,852</FONT></B></TD>
    <TD align=right><B><FONT size=2>8</FONT></B></TD>
    <TD align=right><B><FONT size=2>746,563</FONT></B></TD>
    <TD align=right><B><FONT size=2>8</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r08</FONT></TD>
    <TD align=left><FONT size=2>OTHER INCOME AND (EXPENSE), NET</FONT></TD>
    <TD align=right><FONT size=2>(35,911)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>469</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r06</FONT></TD>
    <TD align=left><FONT size=2>COMPREHENSIVE FINANCING RESULT</FONT></TD>
    <TD align=right><FONT size=2>(38,311)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>(60,645)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right valign="top"><FONT size=2>r12</FONT></TD>
    <TD align=left valign="top"><FONT size=2>EQUITY IN NET INCOME
      OF NON-CONSOLIDATED SUBSIDIARIES<br>
      AND ASSOCIATES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r48</FONT></TD>
    <TD align=left><FONT size=2>NON ORDINARY ITEMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r09</FONT></B></TD>
    <TD align=left><B><FONT size=2>INCOME BEFORE INCOME TAXES</FONT></B></TD>
    <TD align=right><B><FONT size=2>905,630</FONT></B></TD>
    <TD align=right><B><FONT size=2>7</FONT></B></TD>
    <TD align=right><B><FONT size=2>686,387</FONT></B></TD>
    <TD align=right><B><FONT size=2>7</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r10</FONT></TD>
    <TD align=left><FONT size=2>INCOME TAXES</FONT></TD>
    <TD align=right><FONT size=2>(13,556)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>160,775</FONT></TD>
    <TD align=right><FONT size=2>2</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r11</FONT></B></TD>
    <TD align=left><B><FONT size=2>INCOME (LOSS) BEFORE DISCONTINUED
      OPERATIONS</FONT></B></TD>
    <TD align=right><B><FONT size=2>919,186</FONT></B></TD>
    <TD align=right><B><FONT size=2>7</FONT></B></TD>
    <TD align=right><B><FONT size=2>525,612</FONT></B></TD>
    <TD align=right><B><FONT size=2>6</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r14</FONT></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r18</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET CONSOLIDATED INCOME</FONT></B></TD>
    <TD align=right><B><FONT size=2>919,186</FONT></B></TD>
    <TD align=right><B><FONT size=2>7</FONT></B></TD>
    <TD align=right><B><FONT size=2>525,612</FONT></B></TD>
    <TD align=right><B><FONT size=2>6</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r19</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME OF MINORITY INTEREST</FONT></TD>
    <TD align=right><FONT size=2>(43,396)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>(295,895)</FONT></TD>
    <TD align=right><FONT size=2>(3)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r20</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME OF MAJORITY INTEREST</FONT></TD>
    <TD align=right><B><FONT size=2>962,582</FONT></B></TD>
    <TD align=right><B><FONT size=2>8</FONT></B></TD>
    <TD align=right><B><FONT size=2>821,507</FONT></B></TD>
    <TD align=right><B><FONT size=2>9</FONT></B></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>STATEMENTS OF INCOME</B><BR>
BREAKDOWN OF MAIN CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>R</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 29px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r01</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET SALES</FONT></B></TD>
    <TD align=right><B><FONT size=2>12,759,896</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>9,242,065</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r21</FONT></TD>
    <TD align=left><FONT size=2>DOMESTIC</FONT></TD>
    <TD align=right><FONT size=2>5,630,508</FONT></TD>
    <TD align=right><FONT size=2>44</FONT></TD>
    <TD align=right><FONT size=2>5,481,918</FONT></TD>
    <TD align=right><FONT size=2>59</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r22</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN</FONT></TD>
    <TD align=right><FONT size=2>7,129,388</FONT></TD>
    <TD align=right><FONT size=2>56</FONT></TD>
    <TD align=right><FONT size=2>3,760,147</FONT></TD>
    <TD align=right><FONT size=2>41</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r23</FONT></TD>
    <TD align=left><FONT size=2>TRANSLATED INTO DOLLARS (***)</FONT></TD>
    <TD align=right><FONT size=2>565,855</FONT></TD>
    <TD align=right><FONT size=2>4</FONT></TD>
    <TD align=right><FONT size=2>269,294</FONT></TD>
    <TD align=right><FONT size=2>3</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r08</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER INCOME AND (EXPENSE), NET</FONT></B></TD>
    <TD align=right><B><FONT size=2>(35,911)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>469</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r49</FONT></TD>
    <TD align=left><FONT size=2>OTHER INCOME AND (EXPENSE), NET</FONT></TD>
    <TD align=right><FONT size=2>(35,911)</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
    <TD align=right><FONT size=2>469</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r34</FONT></TD>
    <TD align=left><FONT size=2>EMPLOYEES&#146; PROFIT SHARING EXPENSES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r35</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED EMPLOYEES&#146; PROFIT SHARING</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r06</FONT></B></TD>
    <TD align=left><B><FONT size=2>COMPREHENSIVE FINANCING RESULT</FONT></B></TD>
    <TD align=right><B><FONT size=2>(38,311)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>(60,645)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r24</FONT></TD>
    <TD align=left><FONT size=2>INTEREST EXPENSE</FONT></TD>
    <TD align=right><FONT size=2>6,096</FONT></TD>
    <TD align=right><FONT size=2>(16)</FONT></TD>
    <TD align=right><FONT size=2>29,622</FONT></TD>
    <TD align=right><FONT size=2>(49)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r42</FONT></TD>
    <TD align=left><FONT size=2>GAIN (LOSS) ON RESTATEMENT OF UDI&#146;S</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r45</FONT></TD>
    <TD align=left><FONT size=2>OTHER FINANCE COSTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r26</FONT></TD>
    <TD align=left><FONT size=2>INTEREST INCOME</FONT></TD>
    <TD align=right><FONT size=2>8,531</FONT></TD>
    <TD align=right><FONT size=2>22</FONT></TD>
    <TD align=right><FONT size=2>18,082</FONT></TD>
    <TD align=right><FONT size=2>30</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r46</FONT></TD>
    <TD align=left><FONT size=2>OTHER FINANCIAL PRODUCTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r25</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN EXCHANGE GAIN (LOSS), NET</FONT></TD>
    <TD align=right><FONT size=2>(40,746)</FONT></TD>
    <TD align=right><FONT size=2>(106)</FONT></TD>
    <TD align=right><FONT size=2>(49,105)</FONT></TD>
    <TD align=right><FONT size=2>(81)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r28</FONT></TD>
    <TD align=left><FONT size=2>RESULT FROM MONETARY POSITION</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r10</FONT></TD>
    <TD align=left><FONT size=2>INCOME TAXES</FONT></TD>
    <TD align=right><B><FONT size=2>(13,556)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>160,775</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r32</FONT></TD>
    <TD align=left><FONT size=2>INCOME TAX</FONT></TD>
    <TD align=right><FONT size=2>32,391</FONT></TD>
    <TD align=right><FONT size=2>239</FONT></TD>
    <TD align=right><FONT size=2>55,990</FONT></TD>
    <TD align=right><FONT size=2>35</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r33</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED INCOME TAX</FONT></TD>
    <TD align=right><FONT size=2>(45,947)</FONT></TD>
    <TD align=right><FONT size=2>(339)</FONT></TD>
    <TD align=right><FONT size=2>104,785</FONT></TD>
    <TD align=right><FONT size=2>65</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 border=0>
<TR>
     <TD vAlign=top nowrap width="2%">(***)&nbsp; &nbsp; &nbsp; </TD>
     <TD width="98%">THOUSANDS OF DOLLARS </TD></TR></TABLE>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>STATEMENTS OF INCOME</B><BR>
OTHER CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>R</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 29px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r36</FONT></TD>
    <TD align=left><FONT size=2>TOTAL SALES</FONT></TD>
    <TD align=right><FONT size=2>13,292,195</FONT></TD>
    <TD align=right><FONT size=2>9,496,823</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r37</FONT></TD>
    <TD align=left><FONT size=2>TAX RESULT FOR THE YEAR</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r38</FONT></TD>
    <TD align=left><FONT size=2>NET SALES (**)</FONT></TD>
    <TD align=right><FONT size=2>22,749,360</FONT></TD>
    <TD align=right><FONT size=2>27,392,625</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r39</FONT></TD>
    <TD align=left><FONT size=2>OPERATION INCOME (**)</FONT></TD>
    <TD align=right><FONT size=2>(552,918)</FONT></TD>
    <TD align=right><FONT size=2>1,364,719</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r40</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME OF MAJORITY INTEREST (**)</FONT></TD>
    <TD align=right><FONT size=2>(781,538)</FONT></TD>
    <TD align=right><FONT size=2>1,492,787</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r41</FONT></TD>
    <TD align=left><FONT size=2>NET CONSOLIDATED INCOME (**)</FONT></TD>
    <TD align=right><FONT size=2>(181,863)</FONT></TD>
    <TD align=right><FONT size=2>908,987</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>r47</FONT></TD>
    <TD align=left><FONT size=2>OPERATIVE DEPRECIATION AND AMORTIZATION</FONT></TD>
    <TD align=right><FONT size=2>1,022,759</FONT></TD>
    <TD align=right><FONT size=2>544,749</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 border=0>
<TR>
     <TD vAlign=top nowrap width="2%">(**)&nbsp; &nbsp; &nbsp; </TD>
     <TD width="98%">RESTATED INFORMATION FOR THE LAST TWELVE MONTHS </TD></TR></TABLE>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>QUARTERLY STATEMENTS OF INCOME</B><BR>
FROM APRIL 1 TO JUNE 30 OF 2010 AND 2009<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD rowSpan=2 align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>R</FONT></B></TD>
    <TD align=center><B><FONT size=2>CATEGORIES</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r01</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET SALES</FONT></B></TD>
    <TD align=right><B><FONT size=2>6,366,902</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,161,424</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r02</FONT></TD>
    <TD align=left><FONT size=2>COST OF SALES</FONT></TD>
    <TD align=right><FONT size=2>5,503,367</FONT></TD>
    <TD align=right><FONT size=2>86</FONT></TD>
    <TD align=right><FONT size=2>3,256,342</FONT></TD>
    <TD align=right><FONT size=2>78</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r03</FONT></B></TD>
    <TD align=left><B><FONT size=2>GROSS PROFIT</FONT></B></TD>
    <TD align=right><B><FONT size=2>863,535</FONT></B></TD>
    <TD align=right><B><FONT size=2>14</FONT></B></TD>
    <TD align=right><B><FONT size=2>905,082</FONT></B></TD>
    <TD align=right><B><FONT size=2>22</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r04</FONT></TD>
    <TD align=left><FONT size=2>OPERATING EXPENSES</FONT></TD>
    <TD align=right><FONT size=2>495,799</FONT></TD>
    <TD align=right><FONT size=2>8</FONT></TD>
    <TD align=right><FONT size=2>543,148</FONT></TD>
    <TD align=right><FONT size=2>13</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r05</FONT></B></TD>
    <TD align=left><B><FONT size=2>OPERATING INCOME</FONT></B></TD>
    <TD align=right><B><FONT size=2>367,736</FONT></B></TD>
    <TD align=right><B><FONT size=2>6</FONT></B></TD>
    <TD align=right><B><FONT size=2>361,934</FONT></B></TD>
    <TD align=right><B><FONT size=2>9</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r08</FONT></TD>
    <TD align=left><FONT size=2>OTHER INCOME AND (EXPENSE), NET</FONT></TD>
    <TD align=right><FONT size=2>(46,140)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>(1,383)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r06</FONT></TD>
    <TD align=left><FONT size=2>COMPREHENSIVE FINANCING RESULT</FONT></TD>
    <TD align=right><FONT size=2>(13,965)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>(120,570)</FONT></TD>
    <TD align=right><FONT size=2>(3)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right valign="top"><FONT size=2>r12</FONT></TD>
    <TD align=left valign="top"><FONT size=2>EQUITY IN NET INCOME OF NON-CONSOLIDATED
      SUBSIDIARIES<br>
      AND ASSOCIATES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r48</FONT></TD>
    <TD align=left><FONT size=2>NON ORDINARY ITEMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r09</FONT></B></TD>
    <TD align=left><B><FONT size=2>INCOME BEFORE INCOME TAXES</FONT></B></TD>
    <TD align=right><B><FONT size=2>307,631</FONT></B></TD>
    <TD align=right><B><FONT size=2>5</FONT></B></TD>
    <TD align=right><B><FONT size=2>239,981</FONT></B></TD>
    <TD align=right><B><FONT size=2>6</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r10</FONT></TD>
    <TD align=left><FONT size=2>INCOME TAXES</FONT></TD>
    <TD align=right><FONT size=2>(34,090)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>154,041</FONT></TD>
    <TD align=right><FONT size=2>4</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r11</FONT></B></TD>
    <TD align=left><B><FONT size=2>INCOME (LOSS) BEFORE DISCONTINUED OPERATIONS</FONT></B></TD>
    <TD align=right><B><FONT size=2>341,721</FONT></B></TD>
    <TD align=right><B><FONT size=2>5</FONT></B></TD>
    <TD align=right><B><FONT size=2>85,940</FONT></B></TD>
    <TD align=right><B><FONT size=2>2</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r14</FONT></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>r18</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET CONSOLIDATED INCOME</FONT></B></TD>
    <TD align=right><B><FONT size=2>341,721</FONT></B></TD>
    <TD align=right><B><FONT size=2>5</FONT></B></TD>
    <TD align=right><B><FONT size=2>85,940</FONT></B></TD>
    <TD align=right><B><FONT size=2>2</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r19</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME OF MINORITY INTEREST</FONT></TD>
    <TD align=right><FONT size=2>(50,805)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>(190,672)</FONT></TD>
    <TD align=right><FONT size=2>(5)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>r20</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME OF MAJORITY INTEREST</FONT></TD>
    <TD align=right><B><FONT size=2>392,526</FONT></B></TD>
    <TD align=right><B><FONT size=2>6</FONT></B></TD>
    <TD align=right><B><FONT size=2>276,612</FONT></B></TD>
    <TD align=right><B><FONT size=2>7</FONT></B></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>QUARTERLY STATEMENTS OF INCOME</B><BR>
BREAKDOWN OF MAIN CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>R</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 29px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD colSpan=2 align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>%</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>rt01</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET SALES</FONT></B></TD>
    <TD align=right><B><FONT size=2>6,366,902</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,161,424</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt21</FONT></TD>
    <TD align=left><FONT size=2>DOMESTIC</FONT></TD>
    <TD align=right><FONT size=2>2,617,696</FONT></TD>
    <TD align=right><FONT size=2>41</FONT></TD>
    <TD align=right><FONT size=2>2,622,826</FONT></TD>
    <TD align=right><FONT size=2>63</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt22</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN</FONT></TD>
    <TD align=right><FONT size=2>3,749,206</FONT></TD>
    <TD align=right><FONT size=2>59</FONT></TD>
    <TD align=right><FONT size=2>1,538,598</FONT></TD>
    <TD align=right><FONT size=2>37</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt23</FONT></TD>
    <TD align=left><FONT size=2>TRANSLATED INTO DOLLARS (***)</FONT></TD>
    <TD align=right><FONT size=2>297,383</FONT></TD>
    <TD align=right><FONT size=2>5</FONT></TD>
    <TD align=right><FONT size=2>115,784</FONT></TD>
    <TD align=right><FONT size=2>3</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>rt08</FONT></B></TD>
    <TD align=left><B><FONT size=2>OTHER INCOME AND (EXPENSE), NET</FONT></B></TD>
    <TD align=right><B><FONT size=2>(46,140)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>(1,383)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt49</FONT></TD>
    <TD align=left><FONT size=2>OTHER INCOME AND (EXPENSE), NET</FONT></TD>
    <TD align=right><FONT size=2>(46,140)</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
    <TD align=right><FONT size=2>(1,383)</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt34</FONT></TD>
    <TD align=left><FONT size=2>EMPLOYEES&#146; PROFIT SHARING EXPENSES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt35</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED EMPLOYEES&#146; PROFIT SHARING</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><B><FONT size=2>rt06</FONT></B></TD>
    <TD align=left><B><FONT size=2>COMPREHENSIVE FINANCING RESULT</FONT></B></TD>
    <TD align=right><B><FONT size=2>(13,965)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>(120,570)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt24</FONT></TD>
    <TD align=left><FONT size=2>INTEREST EXPENSE</FONT></TD>
    <TD align=right><FONT size=2>6,096</FONT></TD>
    <TD align=right><FONT size=2>(44)</FONT></TD>
    <TD align=right><FONT size=2>16,144</FONT></TD>
    <TD align=right><FONT size=2>(13)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt42</FONT></TD>
    <TD align=left><FONT size=2>GAIN (LOSS) ON RESTATEMENT OF UDI&#146;S</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt45</FONT></TD>
    <TD align=left><FONT size=2>OTHER FINANCE COSTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt26</FONT></TD>
    <TD align=left><FONT size=2>INTEREST INCOME</FONT></TD>
    <TD align=right><FONT size=2>5,951</FONT></TD>
    <TD align=right><FONT size=2>(43)</FONT></TD>
    <TD align=right><FONT size=2>8,287</FONT></TD>
    <TD align=right><FONT size=2>(7)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt46</FONT></TD>
    <TD align=left><FONT size=2>OTHER FINANCIAL PRODUCTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt25</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN EXCHANGE GAIN (LOSS), NET</FONT></TD>
    <TD align=right><FONT size=2>(13,820)</FONT></TD>
    <TD align=right><FONT size=2>99</FONT></TD>
    <TD align=right><FONT size=2>(112,713)</FONT></TD>
    <TD align=right><FONT size=2>93</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt28</FONT></TD>
    <TD align=left><FONT size=2>RESULT FROM MONETARY POSITION</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt10</FONT></TD>
    <TD align=left><FONT size=2>INCOME TAXES</FONT></TD>
    <TD align=right><B><FONT size=2>(34,090)</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>154,041</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt32</FONT></TD>
    <TD align=left><FONT size=2>INCOME TAX</FONT></TD>
    <TD align=right><FONT size=2>10,160</FONT></TD>
    <TD align=right><FONT size=2>(30)</FONT></TD>
    <TD align=right><FONT size=2>216,099</FONT></TD>
    <TD align=right><FONT size=2>140</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right><FONT size=2>rt33</FONT></TD>
    <TD align=left><FONT size=2>DEFERRED INCOME TAX</FONT></TD>
    <TD align=right><FONT size=2>(44,250)</FONT></TD>
    <TD align=right><FONT size=2>130</FONT></TD>
    <TD align=right><FONT size=2>(62,058)</FONT></TD>
    <TD align=right><FONT size=2>(40)</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 border=0>
<TR>
     <TD vAlign=top nowrap width="2%">(***)&nbsp; &nbsp; &nbsp; </TD>
     <TD width="98%">THOUSANDS OF DOLLARS </TD></TR></TABLE>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>QUARTERLY STATEMENTS OF INCOME</B><BR>
OTHER CONCEPTS<BR>
(thousands of Mexican pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>RT</FONT></B></TD>
    <TD align=center valign="top" style="TEXT-INDENT: 39px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD align=center><B><FONT size=2>CURRENT</FONT></B><BR> <B><FONT size=2>YEAR</FONT></B></TD>
    <TD align=center><B><FONT size=2>PREVIOUS</FONT></B><BR> <B><FONT size=2>YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 3px" align=right><FONT size=2>rt47</FONT></TD>
    <TD align=left><FONT size=2>OPERATIVE DEPRECIATION AND AMORTIZATION</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>261,142</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>269,832</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>STATE OF CASH FLOW DIRECT METHOD)</B><BR>
FROM JANUARY 1 TO JUNE 30 OF 2010 AND 2009<BR>
(thousands of pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>C</FONT></B></TD>
    <TD align=center valign="top"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD align=center valign="top"><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD align=center valign="top"><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>ACTIVITIES OF OPERATION</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e01</FONT></B></TD>
    <TD align=left><B><FONT size=2>INCOME (LOSS) BEFORE INCOME TAXES</FONT></B></TD>
    <TD align=right><B><FONT size=2>905,630</FONT></B></TD>
    <TD align=right><B><FONT size=2>686,387</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e02</FONT></TD>
    <TD align=left><FONT size=2>+ (-) ITEMS NOT REQUIRING CASH</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e03</FONT></TD>
    <TD align=left><FONT size=2>+ (-) ITEMS RELATED TO INVESTING ACTIVITIES</FONT></TD>
    <TD align=right><FONT size=2>510,910</FONT></TD>
    <TD align=right><FONT size=2>515,781</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e04</FONT></TD>
    <TD align=left><FONT size=2>+ (-) ITEMS RELATED TO FINANCING ACTIVITIES</FONT></TD>
    <TD align=right><FONT size=2>6,096</FONT></TD>
    <TD align=right><FONT size=2>29,622</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e05</FONT></B></TD>
    <TD align=left><B><FONT size=2>CASH FLOW BEFORE INCOME TAX</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,422,636</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,231,790</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e06</FONT></TD>
    <TD align=left><FONT size=2>CASH FLOW PROVIDED OR USED IN OPERATION</FONT></TD>
    <TD align=right><FONT size=2>(189,578)</FONT></TD>
    <TD align=right><FONT size=2>(427,593)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e07</FONT></B></TD>
    <TD align=left><B><FONT size=2>CASH FLOW PROVIDED OF OPERATING ACTIVITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,233,058</FONT></B></TD>
    <TD align=right><B><FONT size=2>804,197</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>INVESTMENT ACTIVITIES</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e08</FONT></TD>
    <TD align=left><FONT size=2>NET CASH FLOW FROM INVESTING ACTIVITIES</FONT></TD>
    <TD align=right><FONT size=2>(156,141)</FONT></TD>
    <TD align=right><FONT size=2>(100,506)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e09</FONT></B></TD>
    <TD align=left><B><FONT size=2>CASH FLOW AFTER INVESTING ACTIVITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,076,917</FONT></B></TD>
    <TD align=right><B><FONT size=2>703,691</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>FINANCING ACTIVITIES</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e10</FONT></TD>
    <TD align=left><FONT size=2>NET CASH FROM FINANCING ACTIVITIES</FONT></TD>
    <TD align=right><FONT size=2>(156,808)</FONT></TD>
    <TD align=right><FONT size=2>15,395</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right valign="top"><b><font size=2>e11</font></b></TD>
    <TD align=left valign="top"><B><FONT size=2>NET (DECREASE) INCREASE IN CASH
      AND CASH<br>
      EQUIVALENTS</FONT></B></TD>
    <TD align=right><B><FONT size=2>920,109</FONT></B></TD>
    <TD align=right><B><FONT size=2>719,086</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=right valign="top"><b><font size=2>e12</font></b></TD>
    <TD align=left><B><FONT size=2>TRANSLATION DIFFERENCES IN CASH AND CASH<br>
      EQUIVALENTS</FONT></B></TD>
    <TD align=right><B><FONT size=2>(564)</FONT></B></TD>
    <TD align=right><B><FONT size=2>644</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e13</FONT></TD>
    <TD align=left><FONT size=2>CASH AND CASH EQUIVALENTS AT THE BEGINNING OF
      PERIOD</FONT></TD>
    <TD align=right><FONT size=2>1,948,900</FONT></TD>
    <TD align=right><FONT size=2>576,741</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e14</FONT></B></TD>
    <TD align=left><B><FONT size=2>CASH AND CASH EQUIVALENTS AT THE END OF PERIOD</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,868,445</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,296,471</FONT></B></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>STATE OF CASH FLOW (INDIRECT METHOD)</B><BR>
  BREAKDOWN OF MAIN CONCEPTS<BR>
  (thousands of pesos)</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>C</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 29px"><B><FONT size=2>CONCEPTS</FONT></B></TD>
    <TD align=center><B><FONT size=2>CURRENT YEAR</FONT></B></TD>
    <TD align=center><B><FONT size=2>PREVIOUS YEAR</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e02</FONT></B></TD>
    <TD align=left><B><FONT size=2>+ (-) ITEMS NOT REQUIRING CASH</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
    <TD align=right><B><FONT size=2>0</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e15</FONT></TD>
    <TD align=left><FONT size=2>+ ESTIMATES FOR THE PERIOD</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e16</FONT></TD>
    <TD align=left><FONT size=2>+ PROVISIONS FOR THE PERIOD</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e17</FONT></TD>
    <TD align=left><FONT size=2>+ (-) OTHER UNREALIZED ITEMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e03</FONT></B></TD>
    <TD align=left><B><FONT size=2>+ (-) ITEMS RELATED TO INVESTING
      ACTIVITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>510,910</FONT></B></TD>
    <TD align=right><B><FONT size=2>515,781</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e18</FONT></TD>
    <TD align=left><FONT size=2>+ DEPRECIATION AND AMORTIZATION FOR
      THE PERIOD</FONT></TD>
    <TD align=right><FONT size=2>519,626</FONT></TD>
    <TD align=right><FONT size=2>544,749</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e19</FONT></TD>
    <TD align=left><FONT size=2>(-) + GAIN OR LOSS ON SALE PROPERTY,
      PLANT AND EQUIPMENT</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e20</FONT></TD>
    <TD align=left><FONT size=2>+ IMPAIRMENT LOSS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e21</FONT></TD>
    <TD align=left><FONT size=2>(-) + EQUITY IN RESULTS OF ASSOCIATES
      AND JOINT VENTURES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e22</FONT></TD>
    <TD align=left><FONT size=2>(-) DIVIDENDS RECEIVED</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e23</FONT></TD>
    <TD align=left><FONT size=2>(-) INTEREST INCOME</FONT></TD>
    <TD align=right><FONT size=2>(8,531)</FONT></TD>
    <TD align=right><FONT size=2>.(18,082)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e24</FONT></TD>
    <TD align=left><FONT size=2>(-) + OTHER ITEMS</FONT></TD>
    <TD align=right><FONT size=2>(185)</FONT></TD>
    <TD align=right><FONT size=2>(10,886)</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e04</FONT></B></TD>
    <TD align=left><B><FONT size=2>+ (-) ITEMS RELATED TO FINANCING
      ACTIVITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>6,096</FONT></B></TD>
    <TD align=right><B><FONT size=2>29,622</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e25</FONT></TD>
    <TD align=left><FONT size=2>+ ACCRUED INTEREST</FONT></TD>
    <TD align=right><FONT size=2>6,096</FONT></TD>
    <TD align=right><FONT size=2>29,622</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e26</FONT></TD>
    <TD align=left><FONT size=2>+ (-) OTHER ITEMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e06</FONT></B></TD>
    <TD align=left><B><FONT size=2>CASH FLOW PROVIDED OR USED IN OPERATION</FONT></B></TD>
    <TD align=right><B><FONT size=2>(189,578)</FONT></B></TD>
    <TD align=right><B><FONT size=2>(427,593)</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e27</FONT></TD>
    <TD align=left><FONT size=2>+ (-) DECREASE (INCREASE) IN ACCOUNTS
      RECEIVABLE</FONT></TD>
    <TD align=right><FONT size=2>(1,198,395)</FONT></TD>
    <TD align=right><FONT size=2>4,869</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e28</FONT></TD>
    <TD align=left><FONT size=2>+ (-) DECREASE (INCREASE) IN INVENTORIES</FONT></TD>
    <TD align=right><FONT size=2>119,260</FONT></TD>
    <TD align=right><FONT size=2>515,955</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e29</FONT></TD>
    <TD align=left><FONT size=2>+ (-)DECREASE (INCREASE) IN OTHER
      ACCOUNT RECEIVABLES</FONT></TD>
    <TD align=right><FONT size=2>883,412</FONT></TD>
    <TD align=right><FONT size=2>(258,223)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e30</FONT></TD>
    <TD align=left><FONT size=2>+ (-) INCREASE DECREASE IN SUPPLIERS</FONT></TD>
    <TD align=right><FONT size=2>398,802</FONT></TD>
    <TD align=right><FONT size=2>(812,057)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e31</FONT></TD>
    <TD align=left><FONT size=2>+ (-)INCREASE DECREASE IN OTHER LIABILITIES</FONT></TD>
    <TD align=right><FONT size=2>(377,980)</FONT></TD>
    <TD align=right><FONT size=2>534,663</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e32</FONT></TD>
    <TD align=left><FONT size=2>+ (-) INCOME TAXES PAID OR RETURNED</FONT></TD>
    <TD align=right><FONT size=2>(14,677)</FONT></TD>
    <TD align=right><FONT size=2>(412,800)</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e08</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET CASH FLOW FROM INVESTING ACTIVITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>(156,141)</FONT></B></TD>
    <TD align=right><B><FONT size=2>(100,506)</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e33</FONT></TD>
    <TD align=left><FONT size=2>(-) PERMANENT INVESTMENT IN SHARES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e34</FONT></TD>
    <TD align=left><FONT size=2>+ DISPOSITION OF PERMANENT INVESTMENT
      IN SHARES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e35</FONT></TD>
    <TD align=left><FONT size=2>(-) INVESTMENT IN PROPERTY PLANT AND
      EQUIPMENT</FONT></TD>
    <TD align=right><FONT size=2>(164,672)</FONT></TD>
    <TD align=right><FONT size=2>(118,588)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e36</FONT></TD>
    <TD align=left><FONT size=2>+ SALE OF PROPERTY PLANT AND EQUIPMENT</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e37</FONT></TD>
    <TD align=left><FONT size=2>(-) INVESTMENT IN INTANGIBLE ASSETS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e38</FONT></TD>
    <TD align=left><FONT size=2>+ DISPOSITION OF INTANGIBLE ASSETS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e39</FONT></TD>
    <TD align=left><FONT size=2>+ OTHER PERMANENT INVESTMENTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e40</FONT></TD>
    <TD align=left><FONT size=2>+ DISPOSITION OF OTHER PERMANENT INVESTMENTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e41</FONT></TD>
    <TD align=left><FONT size=2>+ DIVIDEND RECEIVED</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e42</FONT></TD>
    <TD align=left><FONT size=2>+ INTEREST RECEIVED</FONT></TD>
    <TD align=right><FONT size=2>8,531</FONT></TD>
    <TD align=right><FONT size=2>18,082</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e43</FONT></TD>
    <TD align=left><FONT size=2>+ (-) DECREASE (INCREASE) ADVANCES
      AND LOANS TO THIRD PARTS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e44</FONT></TD>
    <TD align=left><FONT size=2>+ (-) OTHER ITEMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>e10</FONT></B></TD>
    <TD align=left><B><FONT size=2>NET CASH FROM FINANCING ACTIVITIES</FONT></B></TD>
    <TD align=right><B><FONT size=2>(156,808)</FONT></B></TD>
    <TD align=right><B><FONT size=2>15,395</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e45</FONT></TD>
    <TD align=left><FONT size=2>+ BANK FINANCING</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>20,061</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e46</FONT></TD>
    <TD align=left><FONT size=2>+ STOCK MARKET FINANCING</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e47</FONT></TD>
    <TD align=left><FONT size=2>+ OTHER FINANCING</FONT></TD>
    <TD align=right><FONT size=2>208,836</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e48</FONT></TD>
    <TD align=left><FONT size=2>(-) BANK FINANCING AMORTIZATION</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e49</FONT></TD>
    <TD align=left><FONT size=2>(-) STOCK MARKET FINANCING AMORTIZATION</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e50</FONT></TD>
    <TD align=left><FONT size=2>(-) OTHER FINANCING AMORTIZATION</FONT></TD>
    <TD align=right><FONT size=2>(359,548)</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e51</FONT></TD>
    <TD align=left><FONT size=2>+ (-) INCREASE (DECREASE ) IN CAPITAL
      STOCK</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e52</FONT></TD>
    <TD align=left><FONT size=2>(-) DIVIDENDS PAID</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e53</FONT></TD>
    <TD align=left><FONT size=2>+ PREMIUM ON ISSUANCE OF SHARES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e54</FONT></TD>
    <TD align=left><FONT size=2>+ CONTRIBUTIONS FOR FUTURE CAPITAL
      INCREASES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e55</FONT></TD>
    <TD align=left><FONT size=2>(-) INTEREST EXPENSE</FONT></TD>
    <TD align=right><FONT size=2>(6,096)</FONT></TD>
    <TD align=right><FONT size=2>(20,192)</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e56</FONT></TD>
    <TD align=left><FONT size=2>(-) REPURCHASE OF SHARES</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>e57</FONT></TD>
    <TD align=left><FONT size=2>+ (-) OTHER ITEMS</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>15,526</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>DATE PER SHARE</B><BR>
CONSOLIDATED</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>D</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 27px"><B><FONT size=2>CATEGORIES</FONT></B></TD>
    <TD align=center><B><FONT size=2>QUARTER OF PRESENT</FONT></B><BR> <B><FONT size=2>FINANCIAL
      YEAR</FONT></B></TD>
    <TD align=center><B><FONT size=2>QUARTER OF PREVIOUS</FONT></B><BR> <B><FONT size=2>FINANCIAL
      YEAR</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d01</FONT></TD>
    <TD align=left><FONT size=2>BASIC PROFIT PER ORDINARY SHARE (**)</FONT></TD>
    <TD align=center><FONT size=2>$ (0.37)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$&nbsp; 1.83&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d02</FONT></TD>
    <TD align=left><FONT size=2>BASIC PROFIT PER PREFERRED SHARE (**)</FONT></TD>
    <TD style="TEXT-INDENT: 9px" align=center><FONT size=2>$ &nbsp;0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$&nbsp; 0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d03</FONT></TD>
    <TD align=left><FONT size=2>DILUTED PROFIT PER ORDINARY SHARE (**)</FONT></TD>
    <TD style="TEXT-INDENT: 9px" align=center><FONT size=2>$ &nbsp;0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$&nbsp; 0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center valign="top"><font size=2>d04</font></TD>
    <TD align=left><FONT size=2>EARNINGS (LOSS) BEFORE DISCONTINUED OPERATIONS
      PER<br>
      COMMON SHARE (**)</FONT></TD>
    <TD align=center><FONT size=2>$ (0.37)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$&nbsp; 1.83&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center valign="top"><font size=2>d05</font></TD>
    <TD align=left><FONT size=2>DISCONTINUED OPERATIONS EFFECT ON EARNING (LOSS)
      PER<br>
      SHARE (**)</FONT></TD>
    <TD style="TEXT-INDENT: 9px" align=center><FONT size=2>$ &nbsp;0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$&nbsp; 0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d08</FONT></TD>
    <TD align=left><FONT size=2>CARRYING VALUE PER SHARE</FONT></TD>
    <TD style="TEXT-INDENT: 9px" align=center><FONT size=2>$37.61&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$38.14&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d09</FONT></TD>
    <TD align=left><FONT size=2>CASH DIVIDEND ACCUMULATED PER SHARE</FONT></TD>
    <TD style="TEXT-INDENT: 9px" align=center><FONT size=2>$ &nbsp;0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>$&nbsp; 0.00&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d10</FONT></TD>
    <TD align=left><FONT size=2>DIVIDEND IN SHARES PER SHARE</FONT></TD>
    <TD style="TEXT-INDENT: 12px" align=center><FONT size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.00
      shares</FONT></TD>
    <TD style="TEXT-INDENT: 13px" align=center><FONT size=2>&nbsp;&nbsp;&nbsp;0.00
      shares</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d11</FONT></TD>
    <TD align=left><FONT size=2>MARKET PRICE TO CARRYING VALUE</FONT></TD>
    <TD style="TEXT-INDENT: 12px" align=center><FONT size=2>&nbsp;&nbsp;&nbsp;0.81
      times</FONT></TD>
    <TD style="TEXT-INDENT: 13px" align=center><FONT size=2>&nbsp;&nbsp;0.75 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d12</FONT></TD>
    <TD align=left><FONT size=2>MARKET PRICE TO BASIC PROFIT PER ORDINARY SHARE</FONT></TD>
    <TD style="TEXT-INDENT: 10px" align=center><FONT size=2>(82.92) times</FONT></TD>
    <TD style="TEXT-INDENT: 11px" align=center><FONT size=2>15.72 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>d13</FONT></TD>
    <TD align=left><FONT size=2>MARKET PRICE TO BASIC PROFIT PER PREFERENT SHARE
      (**)</FONT></TD>
    <TD style="TEXT-INDENT: 11px" align=center><FONT size=2>&nbsp;&nbsp;0.00 times</FONT></TD>
    <TD style="TEXT-INDENT: 12px" align=center><FONT size=2>&nbsp;&nbsp;0.00 times</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 border=0>
<TR>
     <TD vAlign=top nowrap width="2%">(**)&nbsp; &nbsp; &nbsp; </TD>
     <TD width="98%">TO CALCULATE THE DATE PER SHARE USE THE NET INCOME FOR THE LAST TWELVE MONTHS. </TD></TR></TABLE>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>RATIOS</B><BR>
CONSOLIDATED</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>REF</FONT></B><BR> <B><FONT size=2>P</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 27px"><B><FONT size=2>CATEGORIES</FONT></B></TD>
    <TD align=center><B><FONT size=2>QUARTER OF PRESENT</FONT></B><BR>
      <B><FONT size=2>FINANCIAL YEAR</FONT></B></TD>
    <TD align=center><B><FONT size=2>QUARTER OF PREVIOUS</FONT></B><BR>
      <B><FONT size=2>FINANCIAL YEAR</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>YIELD</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p01</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME TO NET SALES</FONT></TD>
    <TD align=center><FONT size=2>7.20%</FONT></TD>
    <TD align=center><FONT size=2>5.69%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p02</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME TO STOCKHOLDERS&#146; EQUITY
      (**)</FONT></TD>
    <TD align=center><FONT size=2>(0.87)%</FONT></TD>
    <TD align=center><FONT size=2>4.18%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p03</FONT></TD>
    <TD align=left><FONT size=2>NET INCOME TO TOTAL ASSETS (**)</FONT></TD>
    <TD align=center><FONT size=2>(0.66)%</FONT></TD>
    <TD align=center><FONT size=2>2.97%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p04</FONT></TD>
    <TD align=left><FONT size=2>CASH DIVIDENDS TO PREVIOUS YEAR NET
      INCOME</FONT></TD>
    <TD align=center><FONT size=2>0.00%</FONT></TD>
    <TD align=center><FONT size=2>0.00%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p05</FONT></TD>
    <TD align=left><FONT size=2>INCOME DUE TO MONETARY POSITION TO
      NET INCOME</FONT></TD>
    <TD align=center><FONT size=2>0.00%</FONT></TD>
    <TD align=center><FONT size=2>0.00%</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>ACTIVITY</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p06</FONT></TD>
    <TD align=left><FONT size=2>NET SALES TO NET ASSETS (**)</FONT></TD>
    <TD align=center><FONT size=2>0.83 times</FONT></TD>
    <TD align=center><FONT size=2>0.89 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p07</FONT></TD>
    <TD align=left><FONT size=2>NET SALES TO FIXED ASSETS (**)</FONT></TD>
    <TD align=center><FONT size=2>2.38 times</FONT></TD>
    <TD align=center><FONT size=2>2.74 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p08</FONT></TD>
    <TD align=left><FONT size=2>INVENTORIES TURNOVER (**)</FONT></TD>
    <TD align=center><FONT size=2>1.65 times</FONT></TD>
    <TD align=center><FONT size=2>2.86 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p09</FONT></TD>
    <TD align=left><FONT size=2>ACCOUNTS RECEIVABLE IN DAYS OF SALES</FONT></TD>
    <TD align=center><FONT size=2>40 days</FONT></TD>
    <TD align=center><FONT size=2>48 days</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p10</FONT></TD>
    <TD align=left><FONT size=2>PAID INTEREST TO TOTAL LIABILITIES
      WITH COST (**)</FONT></TD>
    <TD align=center><FONT size=2>4.25%</FONT></TD>
    <TD align=center><FONT size=2>5.46%</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>LEVERAGE</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p11</FONT></TD>
    <TD align=left><FONT size=2>TOTAL LIABILITIES TO TOTAL ASSETS</FONT></TD>
    <TD align=center><FONT size=2>24.18%</FONT></TD>
    <TD align=center><FONT size=2>29.07%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p12</FONT></TD>
    <TD align=left><FONT size=2>TOTAL LIABILITIES TO STOCKHOLDERS&#146;
      EQUITY</FONT></TD>
    <TD align=center><FONT size=2>0.32 times</FONT></TD>
    <TD align=center><FONT size=2>0.41 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p13</FONT></TD>
    <TD align=left><FONT size=2>FOREIGN CURRENCY LIABILITIES TO TOTAL
      LIABILITIES</FONT></TD>
    <TD align=center><FONT size=2>37.73%</FONT></TD>
    <TD align=center><FONT size=2>22.02%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p14</FONT></TD>
    <TD align=left><FONT size=2>LONG-TERM LIABILITIES TO FIXED ASSETS</FONT></TD>
    <TD align=center><FONT size=2>0.00%</FONT></TD>
    <TD align=center><FONT size=2>0.00%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p15</FONT></TD>
    <TD align=left><FONT size=2>OPERATING INCOME TO INTEREST PAID</FONT></TD>
    <TD align=center><FONT size=2>160.74 times</FONT></TD>
    <TD align=center><FONT size=2>25.20 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p16</FONT></TD>
    <TD align=left><FONT size=2>NET SALES TO TOTAL LIABILITIES (**)</FONT></TD>
    <TD align=center><FONT size=2>3.43 times</FONT></TD>
    <TD align=center><FONT size=2>3.07 times</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left><B><FONT size=2>LIQUIDITY</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p17</FONT></TD>
    <TD align=left><FONT size=2>CURRENT ASSETS TO CURRENT LIABILITIES</FONT></TD>
    <TD align=center><FONT size=2>3.49 times</FONT></TD>
    <TD align=center><FONT size=2>2.91 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p18</FONT></TD>
    <TD align=left><FONT size=2>CURRENT ASSETS LESS INVENTORY TO CURRENT
      LIABILITIES</FONT></TD>
    <TD align=center><FONT size=2>1.79 times</FONT></TD>
    <TD align=center><FONT size=2>1.10 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p19</FONT></TD>
    <TD align=left><FONT size=2>CURRENT ASSETS TO TOTAL LIABILITIES</FONT></TD>
    <TD align=center><FONT size=2>2.02 times</FONT></TD>
    <TD align=center><FONT size=2>1.48 times</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>p20</FONT></TD>
    <TD align=left><FONT size=2>AVAILABLE ASSETS TO CURRENT LIABILITIES</FONT></TD>
    <TD align=center><FONT size=2>74.68%</FONT></TD>
    <TD align=center><FONT size=2>28.65%</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 border=0>
<TR>
     <TD vAlign=top nowrap width="2%">(**)&nbsp; &nbsp; &nbsp; </TD>
     <TD width="98%">IN THESE RATIOS FOR THE DATA TAKE INTO CONSIDERATION THE LAST TWELVE MONTHS </TD></TR></TABLE>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>GRUPO SIMEC, S.A.B. DE C.V.</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>DIRECTOR REPORT</B></P>
<P style="TEXT-ALIGN: right"> CONSOLIDATED</P>
<P style="TEXT-ALIGN: left"> <B>Comparative first six months 2010 vs. first
  six months 2009</B></P>
<P style="TEXT-ALIGN: left"><B><I>Net Sales</I></B></P>
<P style="TEXT-ALIGN: left">Net sales increased 38% to Ps. 9,242 million in the first half 2009 compared to Ps. 12,760 million in the same period 2010. Shipments of finished steel products increased 19% from 977 thousand tons in the first half 2009 compared to 1,162 thousand tons in the same period 2010. Total sales outside of Mexico in the first half 2010 increased 90% to Ps. 7,129 million compared to Ps. 3,760 million in the same period 2009, while total Mexican sales increased 3% from Ps. 5,482 million in the first half 2009 to Ps. 5,631 million in the same period 2010. The increase in sales can be explained due to major shipments during the first half 2010 in 19%, compared to the same period of 2009 (185 thousand tons increase). The average price of steel products increased 16% in the first half 2010 compared with the same period of 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Direct Cost of Sales</I></B></P>
<P style="TEXT-ALIGN: left">Direct cost of sales increased 46% form Ps. 7,367 million in the first six months 2009, to Ps. 10,772 million in the same period 2010. Direct cost of sales as a percentage of net sales represented 84% in the first half 2010 compared to 80% in the same period 2009. The cost of sales increased due an increase in the shipments of finished steel products and higher cost in raw material.</P>
<P style="TEXT-ALIGN: left"><B><I>Gross Profit</I></B></P>
<P style="TEXT-ALIGN: left">Marginal profit in the first half 2010, increased 6% from Ps. 1,875 million in the firs half 2009, to Ps. 1,988 million in the same period 2010. Marginal profit as a percentage of net sales in the first half 2010 was 16% compared to 20% in the same period 2009. The increase in gross profit is due to major shipments of 19% during the first half 2010 compared with the same period of 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Operating Expenses</I></B></P>
<P style="TEXT-ALIGN: left">Operating expenses fell 11% to Ps. 1,008 million in the first six months 2010 compared to Ps. 1,128 million in the same period 2009, and represented 8% and 12% of net sales in the first half 2010 and the same period of 2009 respectively.</P>
<P style="TEXT-ALIGN: left"><B><I>Operating Income</I></B></P>
<P style="TEXT-ALIGN: left">Operating income increased 31% from Ps. 747 million for the first six months 2009 compared to Ps. 980 million in the same period 2010. Operating income as a percentage of net sales was 8% in the first half 2010 and 2009, respectively. The increase in operating income is due to major shipments of 19% during the first half 2010 compared with the same period of 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Ebitda</I></B></P>
<P style="TEXT-ALIGN: left"><B><I>The ebitda of the first six months of 2010, increase16% or Ps. 209 million compared to 2009, the increase is due a mayor shipments of steel products during the 2010</I></B></P>
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<P style="TEXT-ALIGN: left"><B><I>Comprehensive Financial Cost</I></B></P>
<P style="TEXT-ALIGN: left">Comprehensive financial cost for the first half 2010 represented an expense of Ps. 38 million compared with an expense of Ps. 61 million for the first six months 2009. At the same time we registered an exchange loss of Ps. 41 million in the first half 2010 compared with an exchange loss of Ps. 49 million in the first half 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Other Expenses (Income) net</I></B></P>
<P style="TEXT-ALIGN: left">The company recorded other expense net of Ps. 36 million in the first half 2010 while in 2009 the other expense net was cero in the same period.</P>
<P style="TEXT-ALIGN: left"><B><I>Income Taxes</I></B></P>
<P style="TEXT-ALIGN: left">The Company recorded an income tax of Ps. 14 million in the first half 2010 (including the income of Ps. 46 million of deferred taxes) compared to Ps. 161 million in the same period of 2009 (including the provision of Ps. 105 million of deferred taxes).</P>
<P style="TEXT-ALIGN: left"><B><I>Net Income</I></B></P>
<P style="TEXT-ALIGN: left">As a result of the foregoing, net income increased 75% from Ps. 526 million in the first half 2009 to Ps. 919 million in the same period 2010. The increase in the net income is due to mayor shipments.</P>
<P style="TEXT-ALIGN: left"><B>Comparative second quarter 2010 vs. first quarter 2010</B></P>
<P style="TEXT-ALIGN: left"><B><I>Net Sales</I></B></P>
<P style="TEXT-ALIGN: left">Net sales were similar in the second and first quarter 2010, to Ps. 6,393 million in the first quarter compared to Ps. 6,367 million in the second quarter 2010. Shipments of finished steel products decreased 8% from 604 thousand tons in the first quarter 2010 to 558 thousand tons in the second quarter 2010. Total sales outside of Mexico in the second quarter 2010 increased 11% to Ps. 3,749 million compared to Ps. 3,380 million in the first quarter 2010, while total Mexican sales decrease 13% from Ps. 3,013 million in the first quarter 2010 to Ps. 2,618 million in the second quarter 2010. The increase in sales can be explained due to increase in the average price of sales during the second quarter 2010, compared to the first quarter of 2010, the shipments in the second quarter decrease in 46 thousand tons.</P>
<P style="TEXT-ALIGN: left"><B><I>Direct Cost of Sales</I></B></P>
<P style="TEXT-ALIGN: left">Direct cost of sales increased 4% from Ps. 5,269 million in the first quarter 2010 to Ps. 5,503 million in the second quarter 2010. Direct cost of sales as a percentage of net sales represented 86% in the second quarter 2010 compared to 82% in the first quarter period 2010. The average cost of sales by ton in the first half of 2010 increased 13% compared to the first quarter of 2010.</P>
<P style="TEXT-ALIGN: left"><B><I>Gross Profit</I></B></P>
<P style="TEXT-ALIGN: left">Marginal profit in the second quarter 2010 decreased 23% to Ps. 1,124 million in the first quarter to Ps. 864 million in the second quarter 2010. Gross profit as a percentage of net sales in the second quarter 2010 was 14% compared to 18% in the first quarter 2010. The decreased in marginal profit is due to increased in price of raw materials.</P>
<P style="TEXT-ALIGN: left"><B><I>Operating Expenses</I></B></P>
<P style="TEXT-ALIGN: left">Operating expenses fell 3% from Ps. 512 million in the first quarter 2010 to Ps. 496 million in the second quarter 2010, and represented 8% of net sales in the first and second quarter 2010.</P>
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<P style="TEXT-ALIGN: left"><B><I>Operating Income</I></B></P>
<P style="TEXT-ALIGN: left">Operating income decreased 40%, to Ps. 368 million
  in the second quarter 2010 compared to Ps. 612 million in the first quarter
  2010. Operating income as a percentage of net sales was 10% in the first quarter
  2010 compared to 6% in the second quarter 2010. The decrease in operating income
  is due to major increase of price of raw materials and decrease in the shipments.</P>
<P style="TEXT-ALIGN: left"><B><I>Ebitda</I></B></P>
<P style="TEXT-ALIGN: left"><B><I>The ebitda in the second quarter,2010 decreased 28% from Ps 870 million in the first quarter to Ps 629 million in the second quarter the felt in the ebitda is due a minor shipments of steel products and increase of cost of sales.</I></B></P>
<P style="TEXT-ALIGN: left"><B><I>Comprehensive Financial Cost</I></B></P>
<P style="TEXT-ALIGN: left">Comprehensive financial cost for the first quarter 2010 represented an expense of Ps. 24 million compared with an expense of Ps. 14 million for the second quarter 2010. At the same time we registered an exchange loss of Ps. 14 million in the second quarter 2010 compared with an exchange loss of Ps. 27 million in the first quarter 2010.</P>
<P style="TEXT-ALIGN: left"><B><I>Other Expenses (Income) net</I></B></P>
<P style="TEXT-ALIGN: left">The company recorded other expense net of Ps. 46 million in the second quarter 2010 compared to other income net of Ps. 10 million in the first quarter 2010.</P>
<P style="TEXT-ALIGN: left"><B><I>Income Taxes</I></B></P>
<P style="TEXT-ALIGN: left">Income Taxes recorded an income of Ps. 34 million in the second quarter 2010 (including the income of Ps. 44 million of deferred income taxes) compared to an expense of Ps. 21 million in the first quarter 2010 (including the benefits of Ps. 2 million of deferred income taxes).</P>
<P style="TEXT-ALIGN: left"><B><I>Net Income</I></B></P>
<P style="TEXT-ALIGN: left">As a result of the foregoing, net income fell 41% from Ps. 577 million in the first quarter 2010 to Ps. 342 million in the second quarter 2010.</P>
<P style="TEXT-ALIGN: left"><B><I>Liquidity and Capital Resources</I></B></P>
<P style="TEXT-ALIGN: left"><B>As of June 30, 2010, Simec&#146;s total consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes (&#147;MTN's&#148;) due 1998, or Ps. 3.8 million (accrued interest on June 30, 2010 was U.S. $431,634, or Ps. 5.4 million). As of December 31, 2009, Simec&#146;s total consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes (&#147;MTN's&#148;) due 1998 (accrued interest on December 31, 2009 was U.S. $418,176).</B></P>
<P style="TEXT-ALIGN: center"><B>Comparative second quarter 2010 vs second quarter 2009</B></P>
<P style="TEXT-ALIGN: left"><B><I>Net Sales</I></B></P>
<P style="TEXT-ALIGN: left">Net sales increased 53% from Ps. 4,161 million in the second quarter 2009 to Ps. 6,367 million in the second quarter 2010. Sales in tons of finished steel increased 18% to 558 thousand tons in the second quarter 2010 compared with 471 thousand tons in the second quarter 2009. The total sales outside of Mexico for the second quarter 2010 increased 144% to Ps. 3,749 million compared with Ps. 1,539 million for the second quarter 2009. Total Mexican sales decreased 2% from Ps. 2,623 million in the second quarter 2009 to Ps. 2,582 million in the second quarter 2010. Prices of finished products sold in the second quarter 2010 increased 29% compared to the second quarter 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Direct Cost of Sales</I></B></P>
<P style="TEXT-ALIGN: left">Direct cost of sales increased 69% in the second quarter 2010 compared to same period 2009, from Ps. 3,256 million in the second quarter 2009 to Ps. 5,503 million in the second quarter 2010. With respect to sales, in the</P>
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<P style="TEXT-ALIGN: left">second quarter 2010, the direct cost of sales represent 86% compared to 78% for the second quarter 2009. The average cost of raw materials used to produce steel products increased 43% in the second quarter 2010 versus the second quarter 2009, primarily as a result of increases in the price of scrap and certain other raw materials.</P>
<P style="TEXT-ALIGN: left"><B><I>Gross (Loss) Profit</I></B></P>
<P style="TEXT-ALIGN: left">Marginal profit for the second quarter 2010 decreased 5% to Ps. 864 million compared to Ps. 905 million in the second quarter 2009. The gross profit as a percentage of net sales for the second quarter 2010 was 14% compared to 22% for the second quarter of 2009. The decrease in marginal profit is due to the increase in the cost of raw materials used to produce steel products and increase of shipments.</P>
<P style="TEXT-ALIGN: left"><B><I>Operating Expenses</I></B></P>
<P style="TEXT-ALIGN: left">Operating expenses decreased 9% from Ps. 543 million in the second quarter 2009 versus Ps. 496 million in the second quarter 2010. Operating expenses as a percentage of net sales represented 8% during the second quarter 2010 and 13% the second quarter 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Operating (Loss) Income</I></B></P>
<P style="TEXT-ALIGN: left">Operating income was Ps. 368 million in the second quarter 2010 compared to Ps. 362 million in the second quarter 2009. The operating income as a percentage of net sales in the second quarter 2010 was 6% compared to 9% in the second quarter 2009.</P>
<P style="TEXT-ALIGN: left"><b>Ebitda</b></P>
<P style="TEXT-ALIGN: left"><b>The ebitda of the second quarter 2010 was Ps 629 million compared to Ps. 632 million in 2009, the similar ebitda in both periods its due to a mayor shipments of steel products of 2010 in 18%, but the increase in cost o sales was mayor to the price of sales.</b></P>
<P style="TEXT-ALIGN: left"><B><I>Comprehensive Financial Cost</I></B></P>
<P style="TEXT-ALIGN: left">Comprehensive financial cost for the second quarter 2010 represented an expense of Ps. 14 million compared with an expense of Ps. 121 million for the second quarter 2009. At the same time we registered an exchange loss of Ps. 14 million in the second quarter 2010 compared with an exchange loss of Ps. 113 million in the second quarter 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Other Expenses (Income) net</I></B></P>
<P style="TEXT-ALIGN: left">The company recorded other expense net of Ps. 46 million in the second quarter 2010 compared with other expense net of Ps. 2 million for the second quarter 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Income Taxes</I></B></P>
<P style="TEXT-ALIGN: left">Income Taxes for the second quarter 2010 was an income of Ps. 34 million compared to Ps. 154 million of expense for the second quarter 2009.</P>
<P style="TEXT-ALIGN: left"><B><I>Net Income (Loss)</I></B></P>
<P style="TEXT-ALIGN: left">As a result of the foregoing, net income was Ps. 342 million in the second quarter 2010 compared to Ps. 86 million for the second quarter 2009.
</P>
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<table width="100%" border=1 cellpadding=2 cellspacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <tr valign=bottom>
    <td style="TEXT-INDENT: 7px" align=center bgcolor=#000080><b><font color=#ffffff size=2>(millon
      of pesos)</font></b></td>
    <td align=center bgcolor=#000080><b><font color=#ffffff size=2>1H
      &#145;10</font></b></td>
    <td align=center bgcolor=#000080><b><font color=#ffffff size=2>1H
      &#145;09</font></b></td>
    <td align=center bgcolor=#000080><b><font color=#ffffff size=2>Year
      10 vs</font></b><br>
       <b><font color="#FFFFFF" size=2>'09</font></b></td>
  </tr>
  <tr valign=bottom>
    <td align=left><font size=2>Sales</font></td>
    <td align=right><font size=2>12,760</font></td>
    <td style="TEXT-INDENT: 3px" align=right><font size=2>9,242</font></td>
    <td align=center><font size=2>38%</font></td>
  </tr>
  <tr valign=bottom>
    <td align=left><font size=2>Cost of Sales</font></td>
    <td align=right><font size=2>10,772</font></td>
    <td style="TEXT-INDENT: 3px" align=right><font size=2>7,367</font></td>
    <td align=center><font size=2>46%</font></td>
  </tr>
  <tr valign=bottom>
    <td align=left><font size=2>Gross Profit</font></td>
    <td align=right><font size=2>1,988</font></td>
    <td align=right><font size=2>1,875</font></td>
    <td align=center><font size=2>6%</font></td>
  </tr>
  <tr valign=bottom>
    <td align=left><font size=2>Operating Expenses</font></td>
    <td align=right><font size=2>1,008</font></td>
    <td style="TEXT-INDENT: 3px" align=right><font size=2>1,128</font></td>
    <td align=center><font size=2>-11%</font></td>
  </tr>
  <tr valign=bottom>
    <td align=left><font size=2>Operating Profit</font></td>
    <td align=right><font size=2>980</font></td>
    <td align=right><font size=2>747</font></td>
    <td align=center><font size=2>31%</font></td>
  </tr>

  <tr valign=bottom>

    <td width="43%" align=left><font size=2>EBITDA</font></td>
    <td width="16%" align=right><font size=2>1,500</font></td>
    <td width="17%" align=center><font size=2>1,291</font></td>
    <td width="24%" align=center><font size=2>16%</font></td>
  </tr>
  <tr valign=bottom>

    <td align=left><font size=2>Net Profit</font></td>
    <td align=right><font size=2>919</font></td>
    <td align=center><font size=2>526</font></td>
    <td align=center><font size=2>75%</font></td>
  </tr>
  <tr valign=bottom>

    <td align=left><font size=2>Sales Outside Mexico</font></td>
    <td align=right><font size=2>7,129</font></td>
    <td align=center><font size=2>3,760</font></td>
    <td align=center><font size=2>90%</font></td>
  </tr>
  <tr valign=bottom>

    <td align=left><font size=2>Sales in Mexico</font></td>
    <td align=right><font size=2>5,631</font></td>
    <td align=center><font size=2>5,482</font></td>
    <td align=center><font size=2>3%</font></td>
  </tr>
  <tr valign=bottom>

    <td align=left><font size=2>Total Sales (Tons)</font></td>
    <td align=right><font size=2>1,162</font></td>
    <td align=center><font size=2>977</font></td>
    <td align=center><font size=2>19%</font></td>
  </tr>

</table>
<BR>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2><strong>Quarter</strong></FONT></B></TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 6px" align=center bgColor=#000080><B><FONT color=#ffffff size=2>(millones
      of pesos)</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>2Q&#145;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>1Q
      &#145;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>2Q
      &#145;09</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>1Q&#180;10vs</FONT></B><BR>
      <B><FONT color="#FFFFFF" size=2>2Q&#180;10</FONT></B></TD>
    <TD align=center bgColor=#000080><B><FONT color=#ffffff size=2>2Q&#180;10
      vs</FONT></B><BR> <B><FONT color="#FFFFFF" size=2>2Q '09</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales</FONT></TD>
    <TD align=right><FONT size=2>6,367</FONT></TD>
    <TD align=right><FONT size=2>6,393</FONT></TD>
    <TD align=center><FONT size=2>4,161</FONT></TD>
    <TD align=center><FONT size=2>0%</FONT></TD>
    <TD align=center><FONT size=2>53%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Cost of Sales</FONT></TD>
    <TD align=right><FONT size=2>5,503</FONT></TD>
    <TD align=right><FONT size=2>5,269</FONT></TD>
    <TD align=center><FONT size=2>3,256</FONT></TD>
    <TD align=center><FONT size=2>4%</FONT></TD>
    <TD align=center><FONT size=2>69%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Gross Profit</FONT></TD>
    <TD align=right><FONT size=2>864</FONT></TD>
    <TD align=right><FONT size=2>1,124</FONT></TD>
    <TD align=center><FONT size=2>905</FONT></TD>
    <TD align=center><FONT size=2>-23%</FONT></TD>
    <TD align=center><FONT size=2>-5%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operating Expenses</FONT></TD>
    <TD align=right><FONT size=2>496</FONT></TD>
    <TD align=right><FONT size=2>512</FONT></TD>
    <TD align=center><FONT size=2>543</FONT></TD>
    <TD align=center><FONT size=2>-3%</FONT></TD>
    <TD align=center><FONT size=2>-9%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operating Profit</FONT></TD>
    <TD align=right><FONT size=2>368</FONT></TD>
    <TD align=right><FONT size=2>612</FONT></TD>
    <TD align=center><FONT size=2>362</FONT></TD>
    <TD align=center><FONT size=2>-40%</FONT></TD>
    <TD align=center><FONT size=2>2%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>EBITDA</FONT></TD>
    <TD align=right><FONT size=2>629</FONT></TD>
    <TD align=right><FONT size=2>870</FONT></TD>
    <TD align=center><FONT size=2>632</FONT></TD>
    <TD align=center><FONT size=2>-28%</FONT></TD>
    <TD align=center><FONT size=2>0%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Net Profit</FONT></TD>
    <TD align=right><FONT size=2>342</FONT></TD>
    <TD align=right><FONT size=2>577</FONT></TD>
    <TD align=center><FONT size=2>86</FONT></TD>
    <TD align=center><FONT size=2>-41%</FONT></TD>
    <TD align=center><FONT size=2>298%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales Outside Mexico</FONT></TD>
    <TD align=right><FONT size=2>3,749</FONT></TD>
    <TD align=right><FONT size=2>3,380</FONT></TD>
    <TD align=center><FONT size=2>1,539</FONT></TD>
    <TD align=center><FONT size=2>11%</FONT></TD>
    <TD align=center><FONT size=2>144%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sales in Mexico</FONT></TD>
    <TD align=right><FONT size=2>2,618</FONT></TD>
    <TD align=right><FONT size=2>3,013</FONT></TD>
    <TD align=center><FONT size=2>2,623</FONT></TD>
    <TD align=center><FONT size=2>-13%</FONT></TD>
    <TD align=center><FONT size=2>-2%</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Total Sales (Tons)</FONT></TD>
    <TD align=right><FONT size=2>558</FONT></TD>
    <TD align=right><FONT size=2>604</FONT></TD>
    <TD align=center><FONT size=2>471</FONT></TD>
    <TD align=center><FONT size=2>-8%</FONT></TD>
    <TD align=center><FONT size=2>18%</FONT></TD>
  </TR>
</TABLE>
<BR>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>Product</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand of</FONT></B><BR> <B><FONT size=2>Tons</FONT></B><BR>
      <B><FONT size=2>Jan-Jun 2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR> <B><FONT size=2>Pesos</FONT></B><BR>
      <B><FONT size=2>Jan-Jun</FONT></B><BR> <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR> <B><FONT size=2>Price
      per</FONT></B><BR> <B><FONT size=2>Ton</FONT></B><BR> <B><FONT size=2>Jan-Jun</FONT></B><BR>
      <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand</FONT></B><BR> <B><FONT size=2>of
      Tons</FONT></B><BR> <B><FONT size=2>Jan &#150; Jun</FONT></B><BR> <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR> <B><FONT size=2>Pesos</FONT></B><BR>
      <B><FONT size=2>Jan- Jun</FONT></B><BR> <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR> <B><FONT size=2>Price
      per</FONT></B><BR> <B><FONT size=2>Ton</FONT></B><BR> <B><FONT size=2>Jan-Jun</FONT></B><BR>
      <B><FONT size=2>2009</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Comercial</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>542</FONT></TD>
    <TD align=right><FONT size=2>4,810</FONT></TD>
    <TD align=right><FONT size=2>8,874</FONT></TD>
    <TD align=right><FONT size=2>546</FONT></TD>
    <TD align=right><FONT size=2>4,516</FONT></TD>
    <TD align=right><FONT size=2>8,271</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Special Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>620</FONT></TD>
    <TD align=right><FONT size=2>7,950</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>12,823</FONT></TD>
    <TD align=right><FONT size=2>431</FONT></TD>
    <TD align=right><FONT size=2>4,726</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>10,965</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=7>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=7>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Total</FONT></B></TD>
    <TD align=right><FONT size=2>1,162</FONT></TD>
    <TD align=right><FONT size=2>12,760</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>10,981</FONT></TD>
    <TD align=right><FONT size=2>977</FONT></TD>
    <TD align=right><FONT size=2>9,242</FONT></TD>
    <TD align=right><FONT size=2>9,460</FONT></TD>
  </TR>
</TABLE>
<BR>
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<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>Product</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand of</FONT></B><BR> <B><FONT size=2>Tons</FONT></B><BR>
      <B><FONT size=2>Apr-Jun 2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR> <B><FONT size=2>Pesos</FONT></B><BR>
      <B><FONT size=2>Apr-Jun</FONT></B><BR> <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR> <B><FONT size=2>Price
      per</FONT></B><BR> <B><FONT size=2>Ton</FONT></B><BR> <B><FONT size=2>Apr-Jun</FONT></B><BR>
      <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand</FONT></B><BR> <B><FONT size=2>of
      Tons</FONT></B><BR> <B><FONT size=2>Jan &#150; Mar</FONT></B><BR> <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR> <B><FONT size=2>Pesos</FONT></B><BR>
      <B><FONT size=2>Jan- Mar</FONT></B><BR> <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR> <B><FONT size=2>Price
      per</FONT></B><BR> <B><FONT size=2>Ton</FONT></B><BR> <B><FONT size=2>Jan-Mar</FONT></B><BR>
      <B><FONT size=2>2010</FONT></B></TD>
    <TD align=center><B><FONT size=2>Thousand</FONT></B><BR>
       <B><FONT size=2>
      of Tons</FONT></B><BR>
       <B><FONT size=2>Apr-Jun</FONT></B><BR> <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Million of</FONT></B><BR> <B><FONT size=2>Pesos</FONT></B><BR>
      <B><FONT size=2>Apr-Jun</FONT></B><BR> <B><FONT size=2>2009</FONT></B></TD>
    <TD align=center><B><FONT size=2>Average</FONT></B><BR> <B><FONT size=2>Price
      per</FONT></B><BR> <B><FONT size=2>Ton</FONT></B><BR> <B><FONT size=2>Apr-Jun</FONT></B><BR>
      <B><FONT size=2>2009</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Comercial Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>250</FONT></TD>
    <TD align=right><FONT size=2>2,277</FONT></TD>
    <TD align=right><FONT size=2>9,108</FONT></TD>
    <TD align=right><FONT size=2>292</FONT></TD>
    <TD align=right><FONT size=2>2,533</FONT></TD>
    <TD align=right><FONT size=2>8,674</FONT></TD>
    <TD align=right><FONT size=2>263</FONT></TD>
    <TD align=right><FONT size=2>2,103</FONT></TD>
    <TD style="TEXT-INDENT: 4px" align=right><FONT size=2>7,996</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Special Profiles</FONT></B></TD>
    <TD align=right><FONT size=2>308</FONT></TD>
    <TD align=right><FONT size=2>4,090</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>13,279</FONT></TD>
    <TD align=right><FONT size=2>312</FONT></TD>
    <TD align=right><FONT size=2>3,860</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>12,372</FONT></TD>
    <TD align=right><FONT size=2>208</FONT></TD>
    <TD align=right><FONT size=2>2,058</FONT></TD>
    <TD style="TEXT-INDENT: 4px" align=right><FONT size=2>9,894</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=10>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=10>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>Total</FONT></B></TD>
    <TD align=right><FONT size=2>558</FONT></TD>
    <TD align=right><FONT size=2>6,367</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>11,410</FONT></TD>
    <TD align=right><FONT size=2>604</FONT></TD>
    <TD align=right><FONT size=2>6,393</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>10,584</FONT></TD>
    <TD align=right><FONT size=2>471</FONT></TD>
    <TD align=right><FONT size=2>4,161</FONT></TD>
    <TD style="TEXT-INDENT: 4px" align=right><FONT size=2>8,835</FONT></TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: left"><I>Any forward-looking information contained herein is inherently subject to various risks, uncertainties and assumptions which, if incorrect, may cause actual results to vary materially from those anticipated, expected or estimated. The company assumes no obligation to update any forward-looking information contained herein.</I></P>
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<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>GRUPO SIMEC, S.A.B. DE C.V.</FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>FINANCIAL STATEMENT NOTES</B></P>
<P style="TEXT-ALIGN: right">CONSOLIDATED</P>
<P style="TEXT-ALIGN: left"><B>(1) Operations preparation bases and summary of significant accounting policies:</B></P>
<P style="TEXT-ALIGN: left">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.</P>
<P style="TEXT-ALIGN: left">Significant accounting policies and practices followed by the Companies which affect the principal captions of the financial statements are described below:</P>
<P style="TEXT-ALIGN: left"><B>a. Financial statement presentation </B>- Below is a summary of the most significant accounting policies and practices used in the preparation of the consolidated financial statements, in conformity with Mexican Financial Reporting Standards (MFRS), which include Bulletins and Circulars issued by the Accounting Principles Commission (CPC) of the Mexican Institute of Public Accountants (IMCP) which have not been amended, replaced or abrogated by MFRS issued by the Mexican Financial Reporting Standards Research and Development Board (Consejo Mexicano para la Investigaci&#243;n y Desarrollo de Normas de Informaci&#243;n Financiera, A.C. (CINIF)</P>
<P style="TEXT-ALIGN: left"><B>b. </B>All significant intercompany balances and transactions have been eliminated in consolidation.</P>
<P style="TEXT-ALIGN: left"><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 include 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.</P>
<P style="TEXT-ALIGN: left"><B>d. Inventories - </B>Domestic subsidiaries&#146; inventories are recorded initially at average cost under the direct costing system. Foreign subsidiaries&#146; inventories are valued on a last-in, first-out (LIFO). For translation effects into MFRS the inventories have been adjusted from LIFO to average cost under the direct costing system.</P>
<P style="TEXT-ALIGN: left">Billet finished goods and work in process, raw materials and materials, supplies and rollers - At the average cost.</P>
<P style="TEXT-ALIGN: left">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.</P>
<P style="TEXT-ALIGN: left"><B>e.- Derivative financial instruments</B>-- During 2010, 2009 and 2008 the Company used derivative financial instruments for hedging risks associated with natural gas prices for which it conducted studies on historical</P>
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<P style="TEXT-ALIGN: left">consumption, future requirement and commitments acquired, thus diminishing its exposure to risks other than its normal operating risks.</P>
<P style="TEXT-ALIGN: left">To mitigate the risks associated with changes in natural gas prices occurring naturally as a result of the supply and demand on international markets, the Company uses natural gas cash-flow exchange contracts or natural gas swaps to offset fluctuations in the price of natural gas, whereby the Company receives a floating price and pays a fixed price. Fluctuations in natural gas prices from volumes consumed are recognized as part of the Company&#146;s operating cost.</P>
<P style="TEXT-ALIGN: left">The fair value of these assets or liabilities is restated at the end of each month based on the new estimate. The Company periodically evaluates the changes in cash flows of the derivative instrument to analyze if the swaps are highly effective for mitigating the exposure to natural gas price fluctuations. A hedge instrument is considered to be highly effective when changes in its fair value or cash flows of the primary position are compensated on a regular or cumulatively basis, by changes in fair value or cash flows of the hedging instrument in a range between 80% and 125%. In 2010, 2009 and 2008 the fair value of derivatives that did not qualify for hedge accounting was adjusted through Statement of Income. For the derivatives that qualified for hedge accounting their fair value was adjusted through the
Stockholders&#146; equity in the caption Fair value of derivative financial instruments until such time as the related item the derivative hedges is recognized in income.
At that time, the fair value included in Stockholders&#146; equity is also recognized in income. The Company is using derivative financial instruments for hedging risks associated with natural gas prices and conducted studies on historical consumption, future requirements and commitments; thus it avoided exposure to risks other than the normal operating risks. Management of the Company examines its financial risks by continually analyzing price, credit and liquidity risks.</P>
<P style="TEXT-ALIGN: left"><B>f. 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 origin, until December 31, 2007. 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 estimated useful lives of assets as of June 30, 2010 are as follows:</P>
<TABLE width="600" border=0 align="center" cellpadding=0 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=right><U><FONT size=2>Years</FONT></U></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Buildings</FONT></TD>
    <TD align=right><FONT size=2>15 to 50</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Machinery and equipment</FONT></TD>
    <TD align=right><FONT size=2>10 to 40</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Buildings and improvements (Republic)</FONT></TD>
    <TD align=right><FONT size=2>10 to 25</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Land improvements (Republic)</FONT></TD>
    <TD align=right><FONT size=2>5 to 25</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Machinery and equipment (Republic)</FONT></TD>
    <TD align=right><FONT size=2>5 to 20</FONT></TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: left"><B>g. Other assets - </B>Organization and pre-operating expenses are capitalized and their amortization is calculated by the straight-line method over a period of 20 years.</P>
<P style="TEXT-ALIGN: left"><B>h. Seniority premiums and severance payments &#150; </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.</P>
<P style="TEXT-ALIGN: left">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.</P>
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<P style="TEXT-ALIGN: left"><B>i. 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.</P>
<P style="TEXT-ALIGN: left">The Company does not have any contractual obligation regarding the payment of pensions of retirements.</P>
<P style="TEXT-ALIGN: left"><B>j. Income taxes - </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.</P>
<P style="TEXT-ALIGN: left">The Company and its subsidiaries are included in the consolidated tax returns of the company's parent.</P>
<P style="TEXT-ALIGN: left"><B>k. Foreign currency transactions and exchange differences &#150; </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).</P>
<P style="TEXT-ALIGN: left">For consolidation purposes, the financial statements of the foreign subsidiaries, were translated into pesos in conformity with Mexican accounting Bulletin MFRS B-15, Transactions in Foreign Currency.</P>
<P style="TEXT-ALIGN: left">The first step in the process of conversion of financial information of the operations is the determination of the functional currency, which is in first instance the currency of primary the economic surroundings of the foreign operation; nevertheless, despite the previous thing, the functional currency can differ from the premises or registry, in the measurement that this one does not represent the currency that fundamentally affects the cash flow of the operations abroad. The financial statements of the foreign subsidiaries were turned to Mexican pesos with the following procedure:</P>
<P style="TEXT-ALIGN: left">- Applying the prevailing exchange rate at the consolidated balance date for monetary assets and liabilities.</P>
<P style="TEXT-ALIGN: left">- Applying the prevailing historical exchange rate for nonmonetary assets and liabilities and for stockholders&#146; equity accounts.</P>
<P style="TEXT-ALIGN: left">- Applying the prevailing the historical exchange
  rate at the consolidated balance sheet date for revenues and expenses during
  the reporting period </P>
<P style="TEXT-ALIGN: left">- The resulting effect of translation, the process
  of consolidation and to apply the participation method, is recorded in stockholders&#146;
  equity under the accumulated effect by conversion forming part of the Comprehensive
  Income.</P>
<P style="TEXT-ALIGN: left"><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's sales, and there were no significant accounts receivable from a single customer or affiliate at June 30, 2010 sales in Simrep has a reducing number of customer, whose accumulated income are important in the consolidated sales of Simrep. The Company performs evaluations of its customers' credit histories and establishes and allowance for doubtful accounts based upon the credit risk of specific customers and historical trends.</P>
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<P style="TEXT-ALIGN: left"><B>m. Other income (expenses) - </B>Other income (expenses) shown in the consolidated statements of operations primarily includes other financial operations.</P>
<P style="TEXT-ALIGN: left"><B>(2) Financial Debt:</B></P>
<P style="TEXT-ALIGN: left">As of June 30, 2010, Simec&#146;s total consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes (&#147;MTN's&#148;) due 1998, or Ps. 3.8 million (accrued interest on June 30, 2010 was U.S. $431,634, or Ps. 5. million). As of December 31, 2009, Simec&#146;s total consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes (&#147;MTN's&#148;) due 1998 (accrued interest on December 31, 2009 was U.S. $418,176).</P>
<P style="TEXT-ALIGN: left"><B>(3) Commitments and contingent liabilities: </B></P>
<P style="TEXT-ALIGN: left">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. 5,369 (U.S. $424,207)
  at June 30, 2010, (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.</P>
<P style="TEXT-ALIGN: left">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.</P>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
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<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>GRUPO SIMEC, S.A.B. DE C.V.</FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>RELATIONS OF SHARES INVESTMENTS</B></p>
<p align="right">
CONSOLIDATED</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center style="TEXT-INDENT: 18px"><FONT size=2>COMPANY
      NAME</FONT></TD>
    <TD align=center><FONT size=2>MAIN ACTIVITIES</FONT></TD>
    <TD align=center><FONT size=2>NUMBER OF</FONT><BR> <FONT size=2>SHARES</FONT></TD>
    <TD align=center><FONT size=2>OWNERSHIP</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SUBSIDIARIES</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Cia Siderurgica de Guadalajara</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec International</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Arrendadora Simec</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Undershaft</FONT></TD>
    <TD align=center><FONT size=2>Sub-Holding</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Pacific Steel</FONT></TD>
    <TD align=center><FONT size=2>Scrap purchase</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Cia. Sider&#250;rgica del Pac&#237;fico</FONT></TD>
    <TD align=center><FONT size=2>Rent of land</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Coordinadora de Servicios Sider&#250;rgicos
      de Calidad</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Comercializadora Simec</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Industrias del Acero y del Alambre</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Procesadora Mexicali</FONT></TD>
    <TD align=center><FONT size=2>Scrap purchase</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Servicios Simec</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sistemas de Transporte de Baja California</FONT></TD>
    <TD align=center><FONT size=2>Freight services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operadora de Metales</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operadora de Servicios Sider&#250;rgicos
      de Tlaxcala</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Administradora de Servicios Sider&#250;rgicos
      de Tlaxcala</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Operadora de Servicios de la Industria
      Sider&#250;rgica</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SimRep</FONT></TD>
    <TD align=center><FONT size=2>Sub-Holding</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>50.22</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Republic Engineered Products</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>50.22</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>CSG Comercial</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.95</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Comercializadora de Productos de Aceros
      de Tlaxcala</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.95</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Sider&#250;rgica de Baja California</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.95</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Corporaci&#243;n Aceros DM</FONT></TD>
    <TD align=center><FONT size=2>Sub-Holding</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Productos Siderurgicos de Tlaxcala</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Comercializadora MSAN</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Comercializadora Aceros DM</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Promotora de Aceros San Luis</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Arrendadora Norte de Matamoros</FONT></TD>
    <TD align=center><FONT size=2>Land</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>85.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Procesadora Industrial</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Acero Transporte San</FONT></TD>
    <TD align=center><FONT size=2>Freight services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec International 2</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec International 3</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec International 4</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec International 5</FONT></TD>
    <TD align=center><FONT size=2>Production and sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>99.99</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec Acero</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Simec USA</FONT></TD>
    <TD align=center><FONT size=2>Sales of steel products</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Pacific Projects</FONT></TD>
    <TD align=center><FONT size=2>Administrative services</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>100.00</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL INVESTMENT IN SUBSIDIARIES</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=4>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>ASSOCIATEDS</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL INVESTMENT IN ASSOCIATEDS</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>OTHER PERMANENT INVESTMENTS</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>0.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
</TABLE>
<BR>
<P style="TEXT-ALIGN: left">NOTES</P>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center"><B>MEXICAN STOCK EXCHANGE</B><BR>
<B>SIFIC / ICS</B></P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>GRUPO SIMEC, S.A.B. DE C.V.</FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>CREDITS BREAK DOWN</B><BR>
  <B>(THOUSANDS OF MEXICAN PESOS)</B></P>
<P style="TEXT-ALIGN: RIGHT"> CONSOLIDATED</P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD rowspan="2" align=center><B><FONT size=2>Credit Type /</FONT></B><BR>

      <B><FONT size=2>Institution</FONT></B></TD>
    <TD rowspan="2" align=center><b><font size=2>Amortization<br>
      Date</font></b></TD>
    <TD rowspan="2" align=center><b><font size=2>Rate of<br>
      Interest</font></b></TD>
    <TD align=center colSpan=6><B><FONT size=2>Denominated in Pesos
      (Thousands of Pesos)</FONT></B></TD>
    <TD colspan="6" align=center><B><FONT size=2>Denominated in Foreign Currency
      (Thousands of Pesos)</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD colspan="6" align=center><B><FONT size=2>Time Interval</FONT></B></TD>
    <TD colspan="6" align=center><B><FONT size=2>Time Interval</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD style="TEXT-INDENT: 1px" align=center><B><FONT size=2>Current<br>
      Year</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 1<br>
      Year</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 2</FONT></B><BR>
       <B><FONT size=2>Year</FONT></B><B><FONT size=2>s</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 3<br>
      Years</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 4<br>
      Years</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 5</FONT></B><BR>
       <B><FONT size=2>Years</FONT></B><BR>

      <B><FONT size=2>or</FONT></B><BR>
       <B><FONT size=2>More</FONT></B></TD>
    <TD align=center><B><FONT size=2>Current<br>
      Year</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 1<br>
      Year</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 2</FONT></B><BR>
       <B><FONT size=2>Year</FONT></B><B><FONT size=2>s</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 3<br>
      Years</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 4<br>
      Years</FONT></B></TD>
    <TD align=center><B><FONT size=2>Until 5</FONT></B><BR>
       <B><FONT size=2>Years</FONT></B><BR>

      <B><FONT size=2>or</FONT></B><BR>
       <B><FONT size=2>More</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>BANKS</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B><br>
       <B><FONT size=2>BANKS</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>LISTED IN</FONT></B><B><FONT size=2><br>
      THE<br>
      </FONT></B><B><FONT size=2>STOCK<br>
      </FONT></B><B><FONT size=2>EXCHANGE</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>UNSECURED<br>
      DEBT</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Medium Term<br>
      Notes</FONT></TD>
    <TD align=right><FONT size=2>15/12/1998</FONT></TD>
    <TD style="TEXT-INDENT: 5px" align=right><FONT size=2>9.33</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>3,822</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>


  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL <br>
      STOCK  <br>
      EXCHANGE</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>3,822</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>SUPPLIERS</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Various</FONT></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>780,937</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>1,513,093</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B><br>
       <B><FONT size=2>SUPPLIERS</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>780,937</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>1,513,093</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>OTHER</FONT></B><br>
       <B><FONT size=2>LOANS
      WITH</FONT></B><br>
       <B><FONT size=2>COST</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><font size=2>0.25</font></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>586,824</FONT></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 6px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="11%" align=left><B><FONT size=2>OTHER<br>
      </FONT></B><B><FONT size=2>CURRENT<br>
      </FONT></B><B><FONT size=2>LIABILITIES<br>
      </FONT></B><B><FONT size=2>WITHOUT</FONT></B><B><FONT size=2><br>
      COST</FONT></B></TD>
    <TD width="10%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="5%" align=right>&nbsp;</TD>
    <TD width="5%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="5%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="7%" align=right>&nbsp;</TD>
    <TD width="7%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="6%" align=right>&nbsp;</TD>
    <TD width="8%" align=right>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>Various</FONT></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>419,350</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>389,275</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>419,350</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>389,275</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=15>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><FONT size=2>1,200,287</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>2,493,014</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2> 0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: left"><B>NOTES: </B>The exchange rate of the peso to the U.S. Dollar at June 30, 2010 was Ps. 12.6567</P>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>MONETARY FOREIGN CURRENCY POSITION</B><BR>
  <B>(Thousands of Mexican Pesos)</B></P>
<P style="TEXT-ALIGN: right"> <B>CONSOLIDATED</B></P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center colSpan=2><B><FONT size=2>DOLLARS</FONT></B></TD>
    <TD align=center colSpan=2><B><FONT size=2>OTHER CURRENCIES</FONT></B></TD>
    <TD align=center><B><FONT size=2>TOTAL</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center valign="top"><B><FONT size=2>FOREIGN CURRENCY
      POSITION</FONT></B></TD>
    <TD align=center><B><FONT size=2>THOUSANDS</FONT></B><BR> <B><FONT size=2>OF
      DOLLARS</FONT></B></TD>
    <TD align=center><B><FONT size=2>THOUSANDS</FONT></B><BR> <B><FONT size=2>OF
      PESOS</FONT></B></TD>
    <TD align=center><B><FONT size=2>THOUSANDS</FONT></B><BR> <B><FONT size=2>OF
      DOLLARS</FONT></B></TD>
    <TD align=center><B><FONT size=2>THOUSANDS</FONT></B><BR> <B><FONT size=2>OF
      PESOS</FONT></B></TD>
    <TD align=center><b><font size=2>THOUSANDS</font></b><br> <b><font size=2>OF
      PESOS</font></b></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL ASSETS</FONT></B></TD>
    <TD align=right><B><FONT size=2>374,407</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,738,760</FONT></B></TD>
    <TD align=right><B><FONT size=2>1</FONT></B></TD>
    <TD align=right><B><FONT size=2>13</FONT></B></TD>
    <TD align=right><B><FONT size=2>4,738,773</FONT></B></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>LIABILITIES POSITION</FONT></B></TD>
    <TD align=right><B><FONT size=2>197,653</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,501,428</FONT></B></TD>
    <TD align=right><B><FONT size=2>100</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,265</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,502,693</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SHORT TERM LIABILITIES POSITION</FONT></TD>
    <TD align=right><FONT size=2>197,653</FONT></TD>
    <TD align=right><FONT size=2>2,501,428</FONT></TD>
    <TD align=right><FONT size=2>100</FONT></TD>
    <TD align=right><FONT size=2>1,265</FONT></TD>
    <TD align=right><FONT size=2>2,502,693</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>LONG TERM LIABILITIES POSITION</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
    <TD align=right><FONT size=2>0</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=6>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>NET BALANCE</FONT></B></TD>
    <TD align=right><B><FONT size=2>176,754</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,237,332</FONT></B></TD>
    <TD align=right><B><FONT size=2>(99)</FONT></B></TD>
    <TD align=right><B><FONT size=2>(1,252)</FONT></B></TD>
    <TD align=right><B><FONT size=2>2,236,080</FONT></B></TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: left"><B>NOTES</B></P>
<P style="TEXT-ALIGN: left">&nbsp;&nbsp;&nbsp;&nbsp;THE EXCHANGE RATE OF THE PESO
  TO THE U.S. DOLLAR AT JUNE 30, 2010 WAS PS. 12.6567</P>
<HR align=center width="100%" noshade SIZE=5>
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<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>DEBT INSTRUMENTS</B></P>
<P style="TEXT-ALIGN: right"> <B>CONSOLIDATED</B></P>
<P style="TEXT-ALIGN: left"> <B>FINANCIAL LIMITED BASED IN ISSUED DEED AND/OR
  TITLE</B></P>
<P style="TEXT-ALIGN: center"><B>MEDIUM TERM NOTES</B></P>
<P style="TEXT-ALIGN: left">A) Current assets to current liabilities must be 1.0
  times or more. </P>
<P style="TEXT-ALIGN: left">B) Total liabilities to total assets do not be more
  than 0.60.</P>
<P style="TEXT-ALIGN: left">C) Operating income plus items added to income which do not require using cash must be 2.0 times or more.</P>
<P style="TEXT-ALIGN: left">This notes was offered in the international market.</P>
<P style="TEXT-ALIGN: left"><B>ACTUAL SITUATION OF FINANCIAL LIMITED</B></P>
<p align="center"><b>MEDIUM TERM NOTES</b>
</p>
<P style="TEXT-ALIGN: left">A) Accomplished the actual situation is 3.47 times.
</P>
<P style="TEXT-ALIGN: left">B) Accomplished the actual situation is 0.24 </P>
<P style="TEXT-ALIGN: left">C) Accomplished the actual situation is 22.77</P>
<P style="TEXT-ALIGN: left">As of June 30, 2010, the remaining balance of the MTNs not exchanged amounts to Ps. 3,822 ($302,000 dollars).</P>
<P style="TEXT-ALIGN: left">C.P. Adolfo Luna Luna <br>
  Chief Financial Officer</P>
<P style="TEXT-ALIGN: center"><B>BONDS AND/OR MEDIUM TERM NOTES CERTIFICATE</B></P>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>PLANTS, COMMERCE CENTERS OR DISTRIBUTION CENTERS</B></P>
<P style="TEXT-ALIGN: right"><B>CONSOLIDATED</B></P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center style="TEXT-INDENT: 15px"><B><FONT size=2>PLANT
      OR CENTER</FONT></B></TD>
    <TD align=center style="TEXT-INDENT: 10px"><B><FONT size=2>ECONOMIC
      ACTIVITY</FONT></B></TD>
    <TD align=center><B><FONT size=2>PLANT</FONT></B><BR> <B><FONT size=2>CAPACITY</FONT></B></TD>
    <TD align=center><B><FONT size=2>UTILIZATION (%)</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>GUADALAJARA MINI MILL</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL PRODUCTS</FONT></TD>
    <TD align=center>&nbsp;480</TD>
    <TD align=center>&nbsp;78.40</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>MEXICALI MINI MILL</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;250</TD>
    <TD align=center>&nbsp;62.32</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>APIZA CO AND CHOLULA PLANTS</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;460</TD>
    <TD align=center>&nbsp;78.53</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>CANTON CASTER FACILITY</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION OF BILLET</FONT></TD>
    <TD align=center><FONT size=2>1,380</FONT></TD>
    <TD align=center><FONT size=2>69.90</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>LORAIN CASTER FACILITY</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION OF BILLET</FONT></TD>
    <TD align=center><FONT size=2>1,150</FONT></TD>
    <TD align=center><FONT size=2>0.00</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>LORAIN HOT-ROLLING MILL</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;840</TD>
    <TD align=center>&nbsp;43.50</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>LACKAWANNA HOT-ROLLING MILL</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;600</TD>
    <TD align=center>&nbsp;75.60</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>MASSILLON COLD-FINISH FACILITY</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;125</TD>
    <TD align=center>&nbsp;71.20</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>GARY COLD-FINISH FACILITY</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;70</TD>
    <TD align=center>&nbsp;46.80</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>ONTARIO COLD-FINISH FACILITY</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;60</TD>
    <TD align=center>&nbsp;62.50</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SAN LUIS POTOSI COLD-FINISH FACILITY</FONT></TD>
    <TD align=left><FONT size=2>PRODUCTION AND SALES OF STEEL <FONT size=2>PRODUCTS</FONT></FONT></TD>
    <TD align=center>&nbsp;600</TD>
    <TD align=center>&nbsp;87.80</TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>MAIN RAW MATERIALS</B> </P>
<P style="TEXT-ALIGN: right">
<B>CONSOLIDATED</B></P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 5px" align=center><B><FONT size=2>DOMESTIC</FONT></B></TD>
    <TD style="TEXT-INDENT: 1px" align=center><B><FONT size=2>MAIN
      SUPPLIERS</FONT></B></TD>
    <TD align=center><B><FONT size=2>FOREIGN</FONT></B></TD>
    <TD style="TEXT-INDENT: 1px" align=center><B><FONT size=2>MAIN
      SUPPLIERS</FONT></B></TD>
    <TD align=center><B><FONT size=2>DOMESTIC</FONT></B><BR> <B><FONT size=2>SUBSTITUTION</FONT></B></TD>
    <TD align=center><B><FONT size=2>COST</FONT></B><BR> <B><FONT size=2>PRODUCTION
      (%)</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PLANTS IN USA</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left><FONT size=2>SCRAP</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=center><FONT size=2>NO</FONT></TD>
    <TD align=center><FONT size=2>37.53</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SCRAP</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=left><FONT size=2>PLANTS IN MEXICO</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center><FONT size=2>55.29</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>FERROALLOYS</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=left><FONT size=2>PLANTS IN MEXICO</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=center><FONT size=2>YES</FONT></TD>
    <TD align=center><FONT size=2>6.38</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PLANTS IN USA</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left><FONT size=2>FERROALLOYS</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=center><FONT size=2>NO</FONT></TD>
    <TD align=center><FONT size=2>12.33</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>ELECTRODES</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=left><FONT size=2>PLANTS IN MEXICO</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=center><FONT size=2>YES</FONT></TD>
    <TD align=center><FONT size=2>2.30</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PLANTS IN USA</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left><FONT size=2>ELECTRODES</FONT></TD>
    <TD align=left><FONT size=2>VARIOUS</FONT></TD>
    <TD align=center><FONT size=2>NO</FONT></TD>
    <TD align=center><FONT size=2>2.67</FONT></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>GRUPO SIMEC, S.A.B. DE C.V.</FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>SELLS DISTRIBUTION BY PRODUCT</B></P>
<P style="TEXT-ALIGN: right"><B>CONSOLIDATED</B></P>
<P style="TEXT-ALIGN: center"><B>DOMESTIC SALES</B></P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 17px" align=center><B><FONT size=2>MAIN
      PRODUCTS</FONT></B></TD>
    <TD style="TEXT-INDENT: 10px" align=center colSpan=2><B><FONT size=2>NET
      SALES</FONT></B></TD>
    <TD style="TEXT-INDENT: 9px" align=center colSpan=2><B><FONT size=2>MAIN
      DESTINATION</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center><B><FONT size=2>VOLUME</FONT></B></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><B><FONT size=2>TRADEMARKS</FONT></B></TD>
    <TD align=center><B><FONT size=2>CUSTOMERS</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>COMMERCIAL PROFILES</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>454</FONT></TD>
    <TD align=right><FONT size=2>3,940,934</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SPECIAL PROFILES</FONT></TD>
    <TD style="TEXT-INDENT: 7px" align=right><FONT size=2>169</FONT></TD>
    <TD align=right><FONT size=2>1,689,574</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=5>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=5>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>T O T A L</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><B><FONT size=2>5,630,508</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=5>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>FOREIGN SALES</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><B><FONT size=2>7,129,388</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL</FONT></B></TD>
    <TD align=right>&nbsp;</TD>
    <TD align=right><B><FONT size=2>12,759,896</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>SELLS DISTRIBUTION BY PRODUCT</B></P>
<P style="TEXT-ALIGN: right"><B>CONSOLIDATED</B></P>
<P style="TEXT-ALIGN: center"><B>FOREIGN SALES</B></P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD style="TEXT-INDENT: 12px" align=center><B><FONT size=2>MAIN
      PRODUCTS</FONT></B></TD>
    <TD colspan="2" align=center><B><FONT size=2>NET SELLS</FONT></B></TD>
    <TD colspan="2" align=center><B><FONT size=2>MAIN</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center><b><font size=2>VOLUME</font></b></TD>
    <TD align=center><B><FONT size=2>AMOUNT</FONT></B></TD>
    <TD align=center><b><font size=2>TRADEMARKS</font></b></TD>
    <TD align=center><B><FONT size=2>CUSTOMERS</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>EXPORTS</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>COMMERCIAL PROFILES</FONT></TD>
    <TD align=right><FONT size=2>88</FONT></TD>
    <TD align=right><FONT size=2>871,299</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SPECIAL PROFILES</FONT></TD>
    <TD align=right><FONT size=2>43</FONT></TD>
    <TD align=right><FONT size=2>474,242</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=5>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>FOREIGN SUBSIDIARIES</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>SPECIAL PROFILES</FONT></TD>
    <TD align=right><FONT size=2>408</FONT></TD>
    <TD align=right><FONT size=2>5,783,847</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR>
    <TD colSpan=5>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>T O T A L</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=right><B><FONT size=2>7,129,388</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>CONSTRUCTION IN PROGRESS</B></P>
<P style="TEXT-ALIGN: right"><B>CONSOLIDATED</B></P>
<P style="TEXT-ALIGN: left">THE PROJECTS IN PROGRESS AT JUNE 30, 2010, ARE:</P>
<TABLE width="600" border=0 cellpadding=0 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="227" align=center style="TEXT-INDENT: 7px"><FONT size=2>PROJECTS
      IN PROGRESS</FONT></TD>
    <TD width="373" align=right><FONT size=2>TOTAL INVESTMENT</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=2>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PROJECTS IN REPUBLIC</FONT></TD>
    <TD align=right><FONT size=2>248,980</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PROJECTS IN MEXICALI</FONT></TD>
    <TD align=right><FONT size=2>3,661</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PROJECTS IN TLAXCALA</FONT></TD>
    <TD align=right><FONT size=2>137,285</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PROJECTS IN GUADALAJARA</FONT></TD>
    <TD align=right><FONT size=2>20,502</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2>PROJECTS IN SAN LUIS POTOSI</FONT></TD>
    <TD align=right><FONT size=2>20,128</FONT></TD>
  </TR>
  <TR>
    <TD colSpan=2>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>TOTAL INVESTMENT AT</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><B><FONT size=2>JUNE 30, 2010</FONT></B></TD>
    <TD align=right><B><FONT size=2>430,556</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left>&nbsp;</TD>
    <TD align=right><hr align="right" width="45" size="2" noshade></TD>
  </TR>
</TABLE>
<BR>
<HR align=center width="100%" noshade SIZE=5>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="TEXT-ALIGN: center"><B>TRANSACTIONS IN FOREIGN CURRENCY AND CONVERSION OF FINANCIAL STATEMENTS OF FOREIGN OPERATIONS INFORMATION RELATED TO BULLETIN B-15</B></P>
<P style="TEXT-ALIGN: right"><B>CONSOLIDATED</B></P>
<P style="TEXT-ALIGN: left"><B>Foreign currency transactions and exchange differences &#150; </B>Transactions in foreign currencies are recorded at the exchange rates prevailing at the celebration and liquidation dates. The assets and liabilities in foreign currencies are translated at the exchange rates prevailing at the date of the consolidated balance sheet. The exchange gains or losses incurred in connection with those assets or liabilities are included in the Statement of income, as part of the comprehensive financing cost. Note 3 presents the consolidated position in foreign currencies at the end of each year and the exchange rates used in the translation.</P>
<P style="TEXT-ALIGN: left">The functional and reporting currency of the Company is the Mexican peso. The financial statements of foreign subsidiaries were translated to Mexican pesos in accordance with the New Mexican Financial Reporting Standard MFRS B-15 "Conversion of foreign currencies&#148; that came into effect on January 1, 2008. Under this Standard, the first step to convert financial information from operations abroad is the determination of the functional currency. The functional currency is the currency of the primary economic environment of the foreign operation or, if different, the currency that mainly impacts its cash flows. The new rule incorporates the concepts of recording currency that is the currency in which the entity maintains its accounting records, whether for legal or information purposes and the reporting currency, which is the currency chosen by the Company to report its financial information.</P>
<P style="TEXT-ALIGN: left">The U.S. dollar was considered as the functional currency of the subsidiary SimRep, therefore the financial statements of this subsidiary were translated into Mexican pesos by applying: i) the exchange rates at the balance sheet date to all assets and liabilities and (ii) the historical exchange rate at stockholders&#146; equity accounts and revenues, costs and expenses. The difference resulting from the translation or consolidation processes or from applying the equity method, is recognized as a cumulative translation adjustment as part of Translation effect in foreign subsidiaries in Stockholders&#146; equity.</P>
<P style="TEXT-ALIGN: left">The Mexican Peso was considered the functional currency of the subsidiary Pacific Steel and the U.S. dollar as its recording currency; therefore the financial statements were translated to Mexican pesos as follows: i) monetary assets and liabilities by applying the exchange rates at the balance sheet date; ii) non-monetary assets and liabilities, as well as stockholders&#146; equity accounts, at the historical exchange rate; and iii) revenues, costs and expenses at the historical exchange rate. Translation differences were carried directly to the income statement under the caption Foreign exchange loss, net.</P>
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<BR>
<P style="TEXT-ALIGN: center">MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<table width="100%" border=0 cellpadding="0" cellspacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <tr valign=bottom>
    <td width="50%" align=left><font size=2>STOCK EXCHANGE CODE</font><b><font size=2>:
      SIMEC</font></b></td>
    <td width="50%" align=right>QUARTER: <font size=2>2 </font><font size=2>YEAR:
      </font><b><font size=2>2010</font></b></td>
  </tr>
  <tr valign=bottom>
    <td align=left><font size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></font></td>
    <td align=left>&nbsp;</td>
  </tr>
</table>
<P style="TEXT-ALIGN: right">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>CONSOLIDATED </B></P>
<P style="TEXT-ALIGN: center"><B>INTEGRATION OF THE PAID SOCIAL CAPITAL STOCK<br>
  </B><B>CHARACTERISTICS OF THE SHARES</B></P>
<TABLE width="100%" border=1 cellpadding=2 cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=top>
    <TD align=center><B><FONT size=2>SERIES</FONT></B></TD>
    <TD align=center><B><FONT size=2>NOMINAL</FONT></B><BR> <B><FONT size=2>VALUE</FONT></B></TD>
    <TD align=center><B><FONT size=2>VALID</FONT></B><BR> <B><FONT size=2>COUPON</FONT></B></TD>
    <TD align=center>&nbsp;</TD>
    <TD colSpan=2 align=center style="TEXT-INDENT: 3px"><B><FONT size=2>NUMBER
      OF SHARES</FONT></B></TD>
    <TD align=center>&nbsp;</TD>
    <TD colSpan=2 align=center style="TEXT-INDENT: 2px"><B><FONT size=2>CAPITAL
      STOCK</FONT></B><BR> <B><FONT size=2>(Thousands of Pesos)</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
    <TD style="TEXT-INDENT: 1px" align=center><B><FONT size=2>FIXED</FONT></B><BR>
      <B><FONT size=2>PORTION</FONT></B></TD>
    <TD align=center><B><FONT size=2>VARIABLE</FONT></B><BR> <B><FONT size=2>PORTION</FONT></B></TD>
    <TD align=center><B><FONT size=2>MEXICAN</FONT></B></TD>
    <TD align=center><B><FONT size=2>FREE</FONT></B><BR> <B><FONT size=2>SUBSCRIPTION</FONT></B></TD>
    <TD align=center><B><FONT size=2>FIXED </FONT></B></TD>
    <TD align=center><b><font size=2>VARIABLE</font></b></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><FONT size=2>B</FONT></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>90,850,050</FONT></TD>
    <TD style="TEXT-INDENT: 1px" align=right><FONT size=2>406,859,164</FONT></TD>
    <TD align=center><font size=2>0</font></TD>
    <TD align=right><FONT size=2> 497,709,214</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><FONT size=2>441,786</FONT></TD>
    <TD align=right><FONT size=2>1,978,444</FONT></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B><FONT size=2>TOTAL</FONT></B></TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>90,850,050</FONT></B></TD>
    <TD style="TEXT-INDENT: 1px" align=right><B><FONT size=2>406,859,164</FONT></B></TD>
    <TD align=center><b><font size=2>0</font></b></TD>
    <TD align=right><B><FONT size=2> </FONT></B><FONT size=2>497,709,214</FONT></TD>
    <TD style="TEXT-INDENT: 2px" align=right><B><FONT size=2>441,786</FONT></B></TD>
    <TD align=right><B><FONT size=2>1,978,444</FONT></B></TD>
  </TR>
</TABLE>
<BR>
<TABLE cellpadding=2 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'" cellSpacing=0 width="100%" border=1>
<TR vAlign=bottom>
     <TD align=left width="90%"><B><FONT size=2>TOTAL NUMBER OF SHARES REPRESENTING THE PAID-IN CAPITAL STOCK ON THE DATE OF SENDING THE INFORMATION:</FONT></B></TD>
     <TD align=left width="9%"><FONT size=2>497,709,214</FONT></TD></TR></TABLE><BR>
<HR align=center width="100%" noshade SIZE=5>
<!-- *************************************************************************** -->
<DIV title="EE+ Page Break" style="FONT-SIZE: 1pt; PAGE-BREAK-AFTER: always; WIDTH: 100%; HEIGHT: 1px"></DIV>
<!-- -->
<BR>
<P style="text-align: center;"> MEXICAN STOCK EXCHANGE<BR>
SIFIC / ICS</P>
<TABLE width="100%" border=0 cellpadding="0" cellSpacing=0 style="FONT-SIZE: 10pt; FONT-FAMILY: 'Times New Roman'">
  <TR vAlign=bottom>
    <TD width="50%" align=left><FONT size=2>STOCK EXCHANGE CODE</FONT><B><FONT size=2>:
      SIMEC</FONT></B></TD>
    <TD width="50%" align=right>QUARTER: <FONT size=2>2 </FONT><FONT size=2>YEAR:
      </FONT><B><FONT size=2>2010</FONT></B></TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=left><FONT size=2><strong>GRUPO SIMEC, S.A.B. DE C.V.</strong></FONT></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P style="text-align: right;"> <B>CONSOLIDATED</B></P>
<P style="text-align: center;"> <B>DECLARATION OF THE COMPANY OFFICIALS RESPONSIBLE FOR THE INFORMATION CONTAINED IN THIS REPORT.</B></P>
<P style="text-align: left;"> 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 FIRST QUARTER REPORT.</P>
<TABLE width=600 border=0 align="center" cellpadding=0 cellspacing=0 style="font-family: 'Times New Roman';font-size: 10pt;">
<TR align="center" valign="bottom">
     <TD> <B><FONT size=2>ING LUIS GARCIA LIMON</FONT></B></TD>
     <TD> <B><FONT size=2>C.P. ADOLFO LUNA LUNA</FONT></B></TD> </TR>
<TR align="center" valign="bottom">
     <TD> <B><FONT size=2>CHIEF EXECUTIVE OFFICER</FONT></B></TD>
     <TD> <B><FONT size=2>CHIEF FINANCIAL OFFICER</FONT></B></TD> </TR> </TABLE>
<P style="text-align: center;"> <B>GUADALAJARA, JAL, AT JULY 28 OF 2010.</B></P>
<HR noshade align="center" width="100%" size="5">
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end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----
