Investor Presentaiton
36
Company
Real Estate group:
Alimentos HP, S.A. de C.V. (Alimentos)
Percentage of
shareholding
2009 2008
100% 100%
Activity
Leasing of property, machinery
and equipment to group
companies.
Comercial de Finanzas Netesa, S.A. de C.V. (Netesa)
100% 100%
Real estate company.
100% 100%
Real estate company.
Herpons Continental, S.A. de C.V. (Herpons Co.)
100% 100%
100%
Real estate company.
Quicolor de México, S.A. de C.V. (Quicolor)
Promotora Hercal, S.A. de C.V. (Hercal)
Merged in 2009:
Hermarcas, S.A. de C.V. (Hermarcas)
Arpons, S.A. de C.V. (Arpons)
Inmobiliaria Enna, S.A. de C.V. (Enna)
Yavaros Industrial, S.A. de C.V. (Yavaros)
d. Basis of preparation
-
100%
Leasing of real property and
storage services provided to
group companies.
Administrative and
organizational advisory services
(merged into Grupher).
100% Currently idle (merged into
Netesa).
100%
Real estate company (merged
into Netesa).
100%
Up to November 23, 2007,
date of sale of its assets and
liabilities, this company was
mainly engaged in fishing
activities, stockpiling and
industrialization of agricultural
products, processing and
commercialization of sea and
agricultural products.
The accompanying consolidated financial statements at December 31, 2009 and 2008 are in compliance
with the provisions of Mexican Financial Reporting Standards (NIF, for its acronym in Spanish) to ensure
fair presentation of the Company's financial position. The Company prepared its statements of income
under the classification criterion based on the nature of the items thereof, whose main characteristic is
that it separtes the cost of sales from other costs and expenses. Additionally, for a better analysis of its
income position, the Company has considered it necessary to show the operating income separately in
the statement of income, which is a common disclosure practice in the industry to which the Company
belongs.
According with the guidelines of NIF B-10"Effects of inflation" (NIF B-10), the Mexican economy is currently
in a non-inflationary environment, as cumulative inflation has remained below 26% in the past three
years (threshold for an economy to be considered non-inflationary). Therefore, as of January 1, 2008,
recognition of the effects of inflation on the financial information is no longer required (disconnection
from inflationary accounting). Consequently, the figures contained in the accompanying financial
statements at December 31, 2009 and 2008 are stated in historical Mexican pesos, modified by the
cumulative effects of inflation on the financial information recognized up to December 31, 2007.
The inflation rates are as shown below:
Year's inflation
Cumulative inflation of the
past three
years
December 31
2009
3.57%
2008
6.53%
14.48%
15.01%
In accordance with the provisions of the NIF B-15: investment in foreign subsidiaries are identified as
foreign operations, and were converted to the reporting currency as described in Note 2p.
e. New NIFs effective as of January 1, 2009
Beginning on January 1, 2009 the following NIF issued by the Mexican Financial Reporting Standards
Board (CINIF for its acronym in Spanish), have been adopted by the Company, without significant effects,
for the preparation of these financial statements. The accounting policies are disclosed in the Note 2.
NIF B-7 "Business acquisitions"
NIF B-8 "Consolidated and combined financial statements"
NIF C-7 "Investment in associated companies and other permanent investments"
NIF C-8 "Intangible assets"
NIF D-8 "Share-based payments"
f. International Financial Reporting Standards
In January 2009, the National Banking and Securities Commission published the changes to the Sole
Circular for Issuers, making it mandatory to present financial statements prepared as per International
Financial Reporting Standards (IFRS) as from 2012, and allowing for early adoption of these changes.
Accordingly, the Company has established and initiated the procedures that allow it to comply with said
requirement on a prompt basis. At the date of issuance of these financial statements, it has not been
determined whether or not adoption of IFRS could generate an important effect on the Company's
consolidated financial statements.
g.Authorization of financial statements
The accompanying consolidated financial statements and notes thereto were authorized for issuance
on February 18, 2010 by Héctor Hernández Pons Torres and Ernesto Ramos Ortiz.
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