kr6kpress_grupo.htm
 
 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 6-K
 
REPORT OF FOREIGN ISSUER PURSUANT TO RULES 13a-16 or 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
 
For the month of October, 2015
 
GRUPO TELEVISA, S.A.B.

(Translation of registrant’s name into English)
 
 
Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210 Mexico, D.F.
(Address of principal executive offices)
 
 
(Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.)
 
Form 20-F
x
Form 40-F
   
 
 
(Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1).)
 
Yes
 
No
 
x
 
 
(Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7).)
 
 
Yes
 
No
 
x
          
 
 

MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE:  TLEVISA
QUARTER: 03
YEAR: 2015
GRUPO TELEVISA, S.A.B.
 
 
 
STATEMENT OF FINANCIAL POSITION
AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014
(THOUSANDS OF MEXICAN PESOS)
 
 
CONSOLIDATED
 
Final Printing
REF 
ACCOUNT / SUBACCOUNT  
CURRENT YEAR
END OF PREVIOUS YEAR
AMOUNT
AMOUNT
10000000
TOTAL ASSETS
246,697,716
235,551,941
11000000
CURRENT ASSETS
64,217,766
79,802,176
11010000
CASH AND CASH EQUIVALENTS
29,943,987
29,729,350
11020000
SHORT-TERM INVESTMENTS
4,976,959
4,788,585
11020010
 
FINANCIAL INSTRUMENTS AVAILABLE FOR SALE
0
0
11020020
 
FINANCIAL INSTRUMENTS FOR NEGOTIATION
0
0
11020030
 
FINANCIAL INSTRUMENTS HELD TO MATURITY
4,976,959
4,788,585
11030000
CUSTOMER (NET)
13,765,865
21,087,163
11030010
 
CUSTOMER
17,346,349
24,115,607
11030020
 
ALLOWANCE FOR DOUBTFUL ACCOUNTS
-3,580,484
-3,028,444
11040000
OTHER ACCOUNTS RECEIVABLE (NET)
3,756,879
3,627,944
11040010
 
OTHER ACCOUNTS RECEIVABLE
3,932,387
3,807,705
11040020
 
ALLOWANCE FOR DOUBTFUL ACCOUNTS
-175,508
-179,761
11050000
INVENTORIES
2,862,551
3,336,667
11051000
BIOLOGICAL ASSETS CURRENT
0
0
11060000
OTHER CURRENT ASSETS
8,911,525
17,232,467
11060010
 
ADVANCE PAYMENTS
2,134,761
1,403,526
11060020
 
DERIVATIVE FINANCIAL INSTRUMENTS
626
2,894
11060030
 
ASSETS AVAILABLE FOR SALE
0
10,583,852
11060050
 
RIGHTS AND LICENSING
0
0
11060060
 
OTHER
6,776,138
5,242,195
12000000
NON-CURRENT ASSETS
182,479,950
155,749,765
12010000
ACCOUNTS RECEIVABLE (NET)
8,000
8,000
12020000
INVESTMENTS
46,298,149
39,742,319
12020010
 
INVESTMENTS IN ASSOCIATES AND JOINT VENTURES
8,824,545
5,032,447
12020020
 
HELD-TO-MATURITY DEBT SECURITIES
347,399
461,047
12020030
 
OTHER AVAILABLE- FOR- SALE INVESTMENTS
5,822,947
34,217,140
12020040
 
OTHER
31,303,258
31,685
12030000
PROPERTY, PLANT AND EQUIPMENT (NET)
70,505,766
62,009,508
12030010
 
BUILDINGS
15,596,794
15,073,870
12030020
 
MACHINERY AND INDUSTRIAL EQUIPMENT
102,061,290
87,791,190
12030030
 
OTHER EQUIPMENT
9,703,205
8,924,050
12030040
 
ACCUMULATED DEPRECIATION
-65,339,105
-57,539,568
12030050
 
CONSTRUCTION IN PROGRESS
8,483,582
7,759,966
12040000
INVESTMENT PROPERTIES
0
0
12050000
NON-CURRENT BIOLOGICAL ASSETS
0
0
12060000
INTANGIBLE ASSETS (NET)
38,311,226
28,778,414
12060010
 
GOODWILL
14,346,424
9,322,773
12060020
 
TRADEMARKS
2,636,933
2,501,227
12060030
 
RIGHTS AND LICENSING
1,848,398
1,998,695
12060031
 
CONCESSIONS
15,213,983
11,345,717
12060040
 
OTHER
4,265,488
3,610,002
12070000
DEFERRED TAX ASSETS
18,441,581
16,080,292
12080000
OTHER NON-CURRENT ASSETS
8,915,228
9,131,232
12080001
 
ADVANCE PAYMENTS
0
0
12080010
 
DERIVATIVE FINANCIAL INSTRUMENTS
0
0
12080020
 
EMPLOYEE BENEFITS
0
0
12080021
 
ASSETS AVAILABLE FOR SALE
0
0
12080040
 
DEFERRED ASSETS (NET)
0
0
12080050
 
OTHER
8,915,228
9,131,232
20000000
TOTAL LIABILITIES
151,745,567
147,636,860
21000000
CURRENT LIABILITIES
40,671,194
44,370,122
21010000
BANK LOANS
2,978,291
337,148
21020000
STOCK MARKET LOANS
0
0
21030000
OTHER INTEREST BEARING LIABILITIES
503,983
502,166
21040000
SUPPLIERS
17,464,114
17,142,044
21050000
TAXES PAYABLE
2,767,935
2,497,697
21050010
 
INCOME TAXES PAYABLE
1,891,742
1,389,321
21050020
 
OTHER TAXES PAYABLE
876,193
1,108,376
21060000
OTHER CURRENT LIABILITIES
16,956,871
23,891,067
21060010
 
INTEREST PAYABLE
1,345,957
974,904
21060020
 
DERIVATIVE FINANCIAL INSTRUMENTS
3,673
0
21060030
 
DEFERRED INCOME
12,057,544
20,150,744
21060050
 
EMPLOYEE BENEFITS
863,079
1,005,255
21060060
 
PROVISIONS
438,589
245,962
21060061
 
LIABILITIES RELATED TO CURRENT AVAILABLE FOR SALE ASSETS
0
0
21060080
 
OTHER
2,248,029
1,514,202
22000000
NON-CURRENT LIABILITIES
111,074,373
103,266,738
22010000
BANK LOANS
4,251,669
10,633,627
22020000
STOCK MARKET LOANS
81,588,901
70,026,876
22030000
OTHER INTEREST BEARING LIABILITIES
5,326,452
4,807,379
22040000
DEFERRED TAX LIABILITIES
9,877,064
7,763,024
22050000
OTHER NON-CURRENT LIABILITIES
10,030,287
10,035,832
22050010
 
DERIVATIVE FINANCIAL INSTRUMENTS
255,235
335,102
22050020
 
DEFERRED INCOME
828,282
284,000
22050040
 
EMPLOYEE BENEFITS
363,656
287,159
22050050
 
PROVISIONS
52,763
54,462
22050051
 
LIABILITIES RELATED TO NON-CURRENT AVAILABLE FOR SALE ASSETS
0
0
22050070
 
OTHER
8,530,351
9,075,109
30000000
STOCKHOLDERS' EQUITY
94,952,149
87,915,081
30010000
CONTROLLING INTEREST
83,215,262
76,804,977
30030000
SOCIAL CAPITAL
4,978,126
4,978,126
30040000
SHARES REPURCHASED
-11,896,040
-12,647,475
30050000
PREMIUM ON ISSUANCE OF SHARES
15,889,819
15,889,819
30060000
CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES
0
0
30070000
OTHER CAPITAL CONTRIBUTED
0
0
30080000
RETAINED EARNINGS (ACCUMULATED LOSSES)
71,260,981
62,905,444
30080010
 
LEGAL RESERVE
2,139,007
2,139,007
30080020
 
OTHER RESERVES
0
0
30080030
 
RETAINED EARNINGS
63,148,332
58,845,619
30080040
 
NET INCOME FOR THE YEAR
9,327,930
5,386,905
30080050
 
OTHER
-3,354,288
-3,466,087
30090000
OTHER ACCUMULATED COMPREHENSIVE RESULTS (NET OF TAX)
2,982,376
5,679,063
30090010
 
EARNINGS PER PROPERTY REASSESSMENT
0
0
30090020
 
ACTUARIAL EARNINGS (LOSS) FOR LABOR OBLIGATIONS
35,422
35,422
30090030
 
RESULT FOR FOREIGN CURRENCY CONVERSION
813,175
348,429
30090040
 
CHANGES IN THE VALUATION OF AVAILABLE FOR SALE FINANCIAL ASSETS
1,942,641
1,998,313
30090050
 
CHANGES IN THE VALUATION OF DERIVATIVE FINANCIAL INSTRUMENTS
-173,854
-171,351
30090060
 
CHANGES IN FAIR VALUE OF OTHER ASSETS
71,076
3,176,726
30090070
 
PARTICIPATION IN OTHER COMPREHENSIVE INCOME OF ASSOCIATES AND JOINT VENTURES
293,916
291,524
30090080
 
OTHER COMPREHENSIVE RESULT
0
0
30020000
NON-CONTROLLING INTEREST
11,736,887
11,110,104
 

 
DATA INFORMATION
AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014
(THOUSANDS OF MEXICAN PESOS)
 
CONSOLIDATED
Final Printing
REF
CONCEPTS
CURRENT YEAR
END OF PREVIOUS YEAR
AMOUNT
AMOUNT
91000010
FOREIGN CURRENCY LIABILITIES SHORT-TERM
8,200,350
8,809,573
91000020
FOREIGN CURRENCY LIABILITIES LONG-TERM
56,566,048
49,578,152
91000030
CAPITAL STOCK NOMINAL
2,494,410
2,494,410
91000040
RESTATEMENT OF CAPITAL STOCK
2,483,716
2,483,716
91000050
PENSIONS  AND SENIORITY PREMIUMS
2,006,756
2,107,375
91000060
NUMBER OF EXECUTIVES (*)
74
70
91000070
NUMBER OF EMPLOYEES (*)
42,572
39,545
91000080
NUMBER OF WORKERS (*)
0
0
91000090
NUMBER OF OUTSTANDING SHARES (*)
338,461,842,927
338,056,218,201
91000100
NUMBER OF REPURCHASED SHARES (*)
23,968,044,204
24,373,668,930
91000110
RESTRICTED CASH (1)
0
0
91000120
DEBT OF NON-CONSOLIDATED COMPANIES GUARANTEED
0
0
 
(1) THIS CONCEPT MUST BE COMPLETED WHEN GUARANTEES HAVE BEEN PROVIDED AFFECTING CASH AND CASH EQUIVALENTS
(*) DATA IN UNITS
 

 



STATEMENTS OF COMPREHENSIVE INCOME
FOR THE NINE AND THREE MONTHS ENDED SEPTEMBER 30, 2015 AND 2014
(THOUSANDS OF MEXICAN PESOS)
 
CONSOLIDATED
Final Printing
REF
ACCOUNT / SUBACCOUNT
CURRENT YEAR
PREVIOUS YEAR
CUMULATIVE
QUARTER
CUMULATIVE
QUARTER
40010000
NET INCOME
63,100,701
22,255,607
56,098,147
19,829,693
40010010
 
SERVICES
48,007,780
16,906,683
42,611,709
15,170,941
40010020
 
SALE OF GOODS
1,708,857
591,501
1,600,429
500,032
40010030
 
INTEREST
0
0
0
0
40010040
 
ROYALTIES
5,155,238
1,992,979
4,427,313
1,592,831
40010050
 
DIVIDENDS
0
0
0
0
40010060
 
LEASE
8,228,826
2,764,444
7,458,696
2,565,889
40010061
 
CONSTRUCTION
0
0
0
0
40010070
 
OTHER
0
0
0
0
40020000
COST OF SALES
33,896,714
11,583,845
30,245,578
10,357,163
40021000
GROSS PROFIT (LOSS)
29,203,987
10,671,762
25,852,569
9,472,530
40030000
GENERAL EXPENSES
15,596,086
5,366,303
12,683,043
4,367,281
40040000
INCOME (LOSS) BEFORE OTHER INCOME AND EXPENSES, NET
13,607,901
5,305,459
13,169,526
5,105,249
40050000
OTHER INCOME AND (EXPENSE), NET
34,958
-693,751
-4,759,838
-4,546,637
40060000
OPERATING INCOME (LOSS)
13,642,859
4,611,708
8,409,688
558,612
40070000
FINANCE INCOME
8,357,265
7,528,469
1,662,885
1,217,408
40070010
 
INTEREST INCOME
766,191
130,449
891,944
329,928
40070020
 
FOREIGN EXCHANGE GAIN, NET
0
0
0
0
40070030
 
DERIVATIVES GAIN, NET
193,054
0
0
116,539
40070040
 
EARNINGS FROM CHANGES IN FAIR VALUE OF FINANCIAL INSTRUMENTS
5,262,277
5,262,277
770,941
770,941
40070050
 
OTHER
2,135,743
2,135,743
0
0
40080000
FINANCE EXPENSE
6,533,139
2,082,618
4,455,069
1,654,635
40080010
 
INTEREST EXPENSE
4,565,509
1,557,362
4,056,896
1,421,427
40080020
 
FOREIGN EXCHANGE LOSS, NET
1,967,630
416,846
365,988
233,208
40080030
 
DERIVATIVES LOSS, NET
0
108,410
32,185
0
40080050
 
LOSS FROM CHANGES IN FAIR VALUE OF FINANCIAL INSTRUMENTS
0
0
0
0
40080060
 
OTHER
0
0
0
0
40090000
FINANCE INCOME (EXPENSE) NET
1,824,126
5,445,851
-2,792,184
-437,227
40100000
PARTICIPATION IN THE RESULTS OF ASSOCIATES AND JOINT VENTURES
-268,237
-19,077
47,539
116,387
40110000
INCOME (LOSS) BEFORE INCOME TAXES
15,198,748
10,038,482
5,665,043
237,772
40120000
INCOME TAXES
4,860,466
3,252,885
1,666,888
65,843
40120010
 
INCOME TAX, CURRENT
5,780,060
2,797,002
3,114,930
1,248,470
40120020
 
INCOME TAX, DEFERRED
-919,594
455,883
-1,448,042
-1,182,627
40130000
INCOME (LOSS) FROM CONTINUING OPERATIONS
10,338,282
6,785,597
3,998,155
171,929
40140000
INCOME (LOSS) FROM DISCONTINUED OPERATIONS,   NET
0
0
0
0
40150000
NET INCOME (LOSS)
10,338,282
6,785,597
3,998,155
171,929
40160000
NET INCOME (LOSS) ATTRIBUTABLE TO NON-CONTROLLING INTEREST
1,010,352
239,844
1,115,504
354,730
40170000
NET INCOME (LOSS) ATTRIBUTABLE TO CONTROLLING INTEREST
9,327,930
6,545,753
2,882,651
-182,801
 
 
 
 
 
 
 
40180000
NET INCOME (LOSS) PER BASIC SHARE
3.23
2.27
1.00
-0.06
40190000
NET INCOME (LOSS) PER DILUTED SHARE
3.01
2.11
0.93
-0.06
 
 
 

 

 
STATEMENTS OF COMPREHENSIVE INCOME
OTHER COMPREHENSIVE INCOME (NET OF INCOME TAXES)
FOR THE NINE AND THREE MONTHS ENDED SEPTEMBER 30, 2015 AND 2014
(THOUSANDS OF MEXICAN PESOS)
 
 
CONSOLIDATED
Final Printing
REF
ACCOUNT / SUBACCOUNT
CURRENT YEAR
PREVIOUS YEAR
CUMULATIVE
QUARTER
CUMULATIVE
QUARTER
40200000
NET INCOME (LOSS) 
10,338,282
6,785,597
3,998,155
171,929
 
ITEMS NOT TO BE RECLASSIFIED INTO RESULTS 
       
40210000
EARNINGS PER PROPERTY REASSESSMENT 
0
0
0
0
40220000
ACTUARIAL EARNINGS (LOSS) FOR LABOR OBLIGATIONS  
0
0
0
0
40220100
PARTICIPATION IN RESULTS FOR REVALUATION OF PROPERTIES OF ASSOCIATES AND JOINT VENTURES
0
0
0
0
 
ITEMS THAT MAY BE SUBSEQUENTLY RECLASSIFIED INTO RESULTS
       
40230000
RESULT FOR FOREIGN CURRENCY CONVERSION 
534,116
370,816
1,036
29,741
40240000
CHANGES IN THE VALUATION OF AVAILABLE FOR SALE FINANCIAL ASSETS
-55,672
-125,737
1,094,188
500,578
40250000
CHANGES IN THE VALUATION OF DERIVATIVE FINANCIAL INSTRUMENTS
-2,503
12,110
-20,552
74,214
40260000
CHANGES IN FAIR VALUE OF OTHER ASSETS 
-3,105,650
-3,616,843
696,540
647,646
40270000
PARTICIPATION IN OTHER COMPREHENSIVE INCOME OF ASSOCIATES AND JOINT VENTURES
2,392
13,832
5,004
7,721
40280000
OTHER COMPREHENSIVE INCOME 
0
0
0
0
40290000
TOTAL OTHER COMPREHENSIVE INCOME 
-2,627,317
-3,345,822
1,776,216
1,259,900
 
  
       
40300000
COMPREHENSIVE INCOME (LOSS) 
7,710,965
3,439,775
5,774,371
1,431,829
40320000
COMPREHENSIVE (LOSS) ATTRIBUTABLE TO NON-CONTROLLING INTEREST
1,079,722
285,201
1,104,658
347,899
40310000
COMPREHENSIVE (LOSS) ATTRIBUTABLE TO CONTROLLING INTEREST
6,631,243
3,154,574
4,669,713
1,083,930
 
 
 

 
 
STATEMENTS OF COMPREHENSIVE INCOME
DATA INFORMATION
FOR THE NINE AND THREE MONTHS ENDED SEPTEMBER 30, 2015 AND 2014
(THOUSANDS OF MEXICAN PESOS)
 
CONSOLIDATED
Final Printing
REF
ACCOUNT / SUBACCOUNT
CURRENT YEAR
PREVIOUS YEAR
CUMULATIVE
QUARTER
CUMULATIVE
QUARTER
92000010
OPERATING DEPRECIATION AND AMORTIZATION
10,739,823
3,783,930
8,181,297
2,848,974
 

 
 
STATEMENTS OF COMPREHENSIVE INCOME
DATA INFORMATION (TWELVE MONTHS)
FOR THE TWELVE MONTHS ENDED SEPTEMBER 30, 2015 AND 2014
(THOUSANDS OF MEXICAN PESOS)


CONSOLIDATED
Final Printing
REF
ACCOUNT / SUBACCOUNT
YEAR
CURRENT
PREVIOUS
92000030
NET INCOME (**)
87,120,806
77,541,211
92000040
OPERATING INCOME (LOSS) (**)
19,189,578
13,728,810
92000060
NET INCOME (LOSS) (**)
12,999,899
7,855,726
92000050
CONTROLLING INTEREST NET INCOME (LOSS) (**)
11,832,184
5,346,481
92000070
OPERATING DEPRECIATION AND AMORTIZATION (**)
14,121,611
10,749,575

(**) INFORMATION FOR THE LAST TWELVE MONTHS
 

 
STATEMENTS OF CASH FLOWS (INDIRECT METHOD)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015 AND 2014
(THOUSANDS OF MEXICAN PESOS)
 
CONSOLIDATED
Final Printing
REF
ACCOUNT / SUBACCOUNT
CURRENT YEAR
PREVIOUS YEAR
AMOUNT
AMOUNT
OPERATING ACTIVITIES
50010000
INCOME (LOSS) BEFORE INCOME TAXES
15,198,748
5,665,043
50020000
 + (-) ITEMS NOT REQUIRING CASH
1,146,684
897,156
50020010
 
 + ESTIMATES FOR THE PERIOD
1,017,737
795,241
50020020
 
 + PROVISIONS FOR THE PERIOD
0
0
50020030
 
 + (-) OTHER UNREALIZED ITEMS
128,947
101,915
50030000
 + (-) ITEMS RELATED TO INVESTING ACTIVITIES
7,545,195
11,805,620
50030010
 
 + DEPRECIATION AND AMORTIZATION FOR THE PERIOD
10,739,823
8,181,297
50030020
 
 (-) + GAIN OR LOSS ON SALE OF PROPERTY, PLANT AND EQUIPMENT
788,616
304,994
50030030
 
 + (-) LOSS (REVERSION) IMPAIRMENT
0
0
50030040
 
 (-) + EQUITY IN RESULTS OF AFFILIATES AND JOINT VENTURES
268,237
(47,539)
50030050
 
 (-) DIVIDENDS RECEIVED
0
0
50030060
 
 (-) INTEREST INCOME
(587,842)
(350,629)
50030070
 
 (-) FOREIGN EXCHANGE FLUCTUATION
(3,886,375)
(612,265)
50030080
 
 (-) + OTHER ITEMS
222,736
4,329,762
50040000
 + (-) ITEMS RELATED TO FINANCING ACTIVITIES
4,872,427
5,448,179
50040010
 
 (+) ACCRUED INTEREST
4,565,509
4,056,896
50040020
 
 (+) FOREIGN EXCHANGE FLUCTUATION
6,723,358
1,258,396
50040030
 
 (+) FINANCIAL OPERATIONS OF DERIVATIVES
(7,591,074)
(738,756)
50040040
 
 + (-) OTHER ITEMS
1,174,634
871,643
50050000
CASH FLOW BEFORE INCOME TAX
28,763,054
23,815,998
50060000
CASH FLOWS PROVIDED OR USED IN OPERATION
1,468,209
(7,635,994)
50060010
 
 + (-) DECREASE (INCREASE) IN CUSTOMERS
6,444,097
7,560,554
50060020
 
 + (-) DECREASE (INCREASE) IN INVENTORIES
(239,412)
(1,000,740)
50060030
 
 + (-) DECREASE (INCREASE) IN OTHER ACCOUNTS RECEIVABLES AND OTHER ASSETS
9,532,327
(1,332,106)
50060040
 
 + (-) INCREASE (DECREASE) IN SUPPLIERS
27,416
1,370,046
50060050
 
 + (-) INCREASE (DECREASE) IN OTHER LIABILITIES
(8,427,914)
(11,706,318)
50060060
 
 + (-) INCOME TAXES PAID OR RETURNED
(5,868,305)
(2,527,430)
50070000
NET CASH FLOWS FROM OPERATING ACTIVITIES
30,231,263
16,180,004
INVESTING ACTIVITIES
50080000
NET CASH FLOWS FROM INVESTING ACTIVITIES
(26,855,485)
(15,694,913)
50080010
 
 (-) PERMANENT INVESTMENTS IN SHARES
(450,460)
(9,361)
50080020
 
 + DISPOSITION OF PERMANENT INVESTMENT IN SHARES
0
0
50080030
 
 (-) INVESTMENT IN PROPERTY, PLANT AND EQUIPMENT
(16,354,835)
(9,990,264)
50080040
 
 + SALE OF PROPERTY, PLANT AND EQUIPMENT
83,696
415,013
50080050
 
 (-) TEMPORARY INVESTMENTS
(289,865)
(963,282)
50080060
 
 + DISPOSITION OF TEMPORARY INVESTMENTS
769,555
434,700
50080070
 
 (-) INVESTMENT IN INTANGIBLE ASSETS
(858,924)
(151,146)
50080080
 
 + DISPOSITION OF INTANGIBLE ASSETS
0
0
50080090
 
 (-) BUSINESS ACQUISITIONS
0
0
50080100
 
 + BUSINESS DISPOSITIONS
0
0
50080110
 
 + DIVIDEND RECEIVED
0
0
50080120
 
 + INTEREST RECEIVED
0
0
50080130
 
 + (-) DECREASE (INCREASE) IN ADVANCES AND LOANS TO THIRD PARTIES
0
0
50080140
 
 + (-) OTHER ITEMS
(9,754,652)
(5,430,573)
FINANCING ACTIVITIES
50090000
NET CASH FLOWS FROM FINANCING ACTIVITIES
(3,313,582)
9,500,297
50090010
 
 + BANK FINANCING
2,218,476
2,079,933
50090020
 
 + STOCK MARKET FINANCING
4,989,055
18,394,625
50090030
 
 + OTHER FINANCING
0
0
50090040
 
 (-) BANK FINANCING AMORTIZATION
(6,770,291)
(6,752,103)
50090050
 
 (-) STOCK MARKET FINANCING AMORTIZATION
0
0
50090060
 
 (-) OTHER FINANCING AMORTIZATION
(298,966)
(346,250)
50090070
 
 + (-) INCREASE (DECREASE) IN CAPITAL STOCK
0
0
50090080
 
 (-) DIVIDENDS PAID
(1,084,192)
0
50090090
 
 + PREMIUM ON ISSUANCE OF SHARES
0
0
50090100
 
 + CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES
0
0
50090110
 
 (-) INTEREST EXPENSE
(4,125,801)
(3,585,362)
50090120
 
 (-) REPURCHASE OF SHARES
(744,524)
(1,050,277)
50090130
 
 +  (-) OTHER ITEMS
2,502,661
759,731
 
 
 
 
 
50100000
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS
62,196
9,985,388
50110000
CHANGES IN THE VALUE OF CASH AND CASH EQUIVALENTS
152,441
(3,538)
50120000
CASH AND CASH EQUIVALENTS AT BEGINING OF PERIOD
29,729,350
16,692,033
50130000
CASH AND CASH EQUIVALENTS AT END OF PERIOD
29,943,987
26,673,883
 

 
STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
(THOUSANDS OF MEXICAN PESOS)
 
CONSOLIDATED
Final Printing
CONCEPTS
CAPITAL STOCK
SHARES REPURCHASED
ADDITIONAL PAID-IN CAPITAL
CONTRIBUTIONS FOR FUTURE CAPITAL INCREASES
OTHER CAPITAL CONTRIBUTED
RETAINED EARNINGS OR ACCUMULATED LOSSES
ACCUMULATED OTHER COMPREHENSIVE INCOME (NET OF INCOME TAX)
CONTROLLING INTEREST
NON-CONTROLLING INTEREST
TOTAL STOCKHOLDERS' EQUITY
RESERVES
RETAINED EARNINGS (ACCUMULATED LOSSES)
BALANCE AT JANUARY 1, 2014
4,978,126
-12,848,448
15,889,819
0
0
2,139,007
54,758,879
3,394,051
68,311,434
10,267,999
78,579,433
 
                     
RETROSPECTIVE ADJUSTMENT
0
0
0
0
0
0
0
0
0
0
0
 
                     
APPLICATION OF OTHER COMPREHENSIVE INCOME TO RETAINED EARNINGS
0
0
0
0
0
0
0
0
0
0
0
 
                     
ESTABLISHMENT OF RESERVES
0
0
0
0
0
0
0
0
0
0
0
 
                     
DIVIDENDS DECLARED
0
0
0
0
0
0
0
0
0
-98,224
-98,224
 
                     
(DECREASE) INCREASE OF CAPITAL
0
0
0
0
0
0
0
0
0
0
0
 
                     
REPURCHASE OF SHARES
0
-1,050,277
0
0
0
0
0
0
-1,050,277
0
-1,050,277
 
                     
(DECREASE) INCREASE IN ADDITIONAL PAID-IN CAPITAL
0
0
0
0
0
0
0
0
0
0
0
 
                     
(DECREASE) INCREASE IN NON-CONTROLLING INTEREST
0
0
0
0
0
0
0
0
0
0
0
 
                     
OTHER
0
1,248,005
0
0
0
0
403,244
0
1,651,249
-50
1,651,199
 
                     
COMPREHENSIVE INCOME
0
0
0
0
0
0
2,882,651
1,787,062
4,669,713
1,104,658
5,774,371
 
                     
BALANCE AT  SEPTEMBER 30, 2014
4,978,126
-12,650,720
15,889,819
0
0
2,139,007
58,044,774
5,181,113
73,582,119
11,274,383
84,856,502
BALANCE AT JANUARY 1, 2015
4,978,126
-12,647,475
15,889,819
0
0
2,139,007
60,766,437
5,679,063
76,804,977
11,110,104
87,915,081
 
                     
RETROSPECTIVE ADJUSTMENT
0
0
0
0
0
0
0
0
0
0
0
 
                     
APPLICATION OF OTHER COMPREHENSIVE INCOME TO RETAINED EARNINGS
0
0
0
0
0
0
0
0
0
0
0
 
                     
ESTABLISHMENT OF RESERVES
0
0
0
0
0
0
0
0
0
0
0
 
                     
DIVIDENDS DECLARED
0
0
0
0
0
0
-1,084,192
0
-1,084,192
-357,687
-1,441,879
 
                     
(DECREASE) INCREASE OF CAPITAL
0
0
0
0
0
0
0
0
0
-95,500
-95,500
 
                     
REPURCHASE OF SHARES
0
-744,524
0
0
0
0
0
0
-744,524
0
-744,524
 
                     
(DECREASE) INCREASE IN ADDITIONAL PAID-IN CAPITAL
0
0
0
0
0
0
0
0
0
0
0
 
                     
(DECREASE) INCREASE IN NON-CONTROLLING INTEREST
0
0
0
0
0
0
0
0
0
0
0
 
                     
OTHER
0
1,495,959
0
0
0
0
111,799
0
1,607,758
248
1,608,006
 
                     
COMPREHENSIVE INCOME
0
0
0
0
0
0
9,327,930
-2,696,687
6,631,243
1,079,722
7,710,965
 
                     
BALANCE AT  SEPTEMBER 30, 2015
4,978,126
-11,896,040
15,889,819
0
0
2,139,007
69,121,974
2,982,376
83,215,262
11,736,887
94,952,149
 

 
 
MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA
QUARTER: 03                                        YEAR: 2015
 
GRUPO TELEVISA, S.A.B.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

CONSOLIDATED
Final Printing
 
MEXICO CITY, D.F., OCTOBER 22, 2015—GRUPO TELEVISA, S.A.B. (NYSE:TV; BMV: TLEVISA CPO; "TELEVISA" OR THE "COMPANY"), TODAY ANNOUNCED RESULTS FOR THE THIRD-QUARTER 2015. THE RESULTS HAVE BEEN PREPARED IN ACCORDANCE WITH INTERNATIONAL FINANCIAL REPORTING STANDARDS ("IFRS").

THE FOLLOWING INFORMATION SETS FORTH CONDENSED CONSOLIDATED STATEMENTS OF INCOME FOR THE QUARTERS ENDED SEPTEMBER 30, 2015 AND 2014, IN MILLIONS OF MEXICAN PESOS, AS WELL AS THE PERCENTAGE THAT EACH LINE REPRESENTS OF NET SALES AND THE PERCENTAGE CHANGE WHEN COMPARING 2015 WITH 2014:

NET SALES

NET SALES INCREASED BY 12.2% TO PS.22,255.6 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH PS.19,829.7 MILLION IN THE THIRD-QUARTER 2014. THIS INCREASE WAS ATTRIBUTABLE TO STRONG GROWTH IN OUR SKY AND TELECOMMUNICATIONS SEGMENTS. OPERATING SEGMENT INCOME INCREASED BY 15.3%, REACHING PS.9,585.7 MILLION WITH A MARGIN OF 42.0% IN THE THIRD-QUARTER 2015 COMPARED WITH PS.8,312.1 MILLION WITH A MARGIN OF 41.1% IN THE THIRD-QUARTER 2014.

NET INCOME ATTRIBUTABLE TO STOCKHOLDERS OF THE COMPANY

NET INCOME OR LOSS ATTRIBUTABLE TO STOCKHOLDERS OF THE COMPANY AMOUNTED TO A NET INCOME OF PS.6,545.8 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH A NET LOSS OF PS.182.8 MILLION IN THE THIRD-QUARTER 2014. THE FAVORABLE NET CHANGE OF PS.6,728.6 MILLION REFLECTED (I) A PS.5,883.1 MILLION FAVORABLE CHANGE IN FINANCE INCOME OR EXPENSE, NET; (II) A PS.3,852.9 MILLION DECREASE IN OTHER EXPENSE, NET; (III) A PS.200.3 MILLION INCREASE IN INCOME BEFORE OTHER EXPENSE, NET; AND (IV) A PS.114.8 MILLION DECREASE IN NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS. THESE FAVORABLE VARIANCES WERE PARTIALLY OFFSET BY (I) A PS.3,187.0 MILLION INCREASE IN INCOME TAXES; AND (II) A PS.135.5 MILLION UNFAVORABLE CHANGE IN SHARE OF INCOME OR LOSS OF JOINT VENTURES AND ASSOCIATES, NET.

THIRD-QUARTER RESULTS BY BUSINESS SEGMENT

THE FOLLOWING INFORMATION PRESENTS THIRD-QUARTER CONSOLIDATED RESULTS ENDED SEPTEMBER 30, 2015 AND 2014, FOR EACH OF OUR BUSINESS SEGMENTS. CONSOLIDATED RESULTS FOR THE THIRD-QUARTER 2015 AND 2014 ARE PRESENTED IN MILLIONS OF MEXICAN PESOS:

CONTENT

THIRD-QUARTER SALES INCREASED BY 1.6% TO PS.8,625.3 MILLION COMPARED WITH PS.8,491.8 MILLION IN THE THIRD-QUARTER 2014.

ADVERTISING

ADVERTISING REVENUE DECREASED BY 8.9% TO PS.5,479.6 MILLION COMPARED WITH PS.6,015.4 MILLION IN THE THIRD-QUARTER 2014. THE DROP PRIMARILY RESULTED FROM THE RESTRUCTURING OF OUR ADVERTISING SALES EFFORTS AND THE INITIAL REACTION FROM OUR ADVERTISING CUSTOMERS AS WE UPDATE OUR TERMS AND CONDITIONS.
 
NETWORK SUBSCRIPTION REVENUE

THIRD-QUARTER NETWORK SUBSCRIPTION REVENUE INCREASED BY 30.1% TO PS.934.7 MILLION COMPARED WITH PS.718.5 MILLION IN THE THIRD-QUARTER 2014. THE GROWTH WAS DRIVEN MAINLY BY THE SUSTAINED ADDITION OF PAY-TV SUBSCRIBERS, BOTH IN MEXICO AND LATIN AMERICA AND TO A LESSER EXTENT A POSITIVE TRANSLATION EFFECT ON FOREIGN-CURRENCY DENOMINATED REVENUES. DURING THE THIRD-QUARTER, TELEVISA CONTINUED TO PRODUCE AND TRANSMIT SEVERAL OF THE LEADING PAY-TV NETWORKS IN MEXICO IN KEY CATEGORIES, INCLUDING GENERAL ENTERTAINMENT, MUSIC AND LIFESTYLE, AND MOVIES. 10 OF THE TOP 30 PAY-TV NETWORKS IN MEXICO WERE PRODUCED BY TELEVISA.

LICENSING AND SYNDICATION

LICENSING AND SYNDICATION REVENUE INCREASED BY 25.8% TO PS.2,211.0 MILLION COMPARED WITH PS.1,757.9 MILLION IN THE THIRD-QUARTER 2014. THE INCREASE IS EXPLAINED MAINLY BY A POSITIVE TRANSLATION EFFECT ON FOREIGN-CURRENCY DENOMINATED REVENUES. THIRD-QUARTER ROYALTIES FROM UNIVISION INCREASED BY 2.6% TO US$89.6 MILLION IN THE THIRD-QUARTER 2015 FROM US$87.4 MILLION IN THE THIRD-QUARTER 2014. THE OTHER REVENUE COMPONENTS OF LICENSING AND SYNDICATION, ROYALTIES FROM NETFLIX AND EXPORTS TO THE REST OF THE WORLD, REMAINED RELATIVELY STABLE.

THIRD-QUARTER OPERATING SEGMENT INCOME DECREASED BY 0.5% TO PS.4,021.7 MILLION COMPARED WITH PS.4,042.0 MILLION IN THE THIRD-QUARTER 2014; THE MARGIN WAS 46.6%. THE DROP IN THE MARGIN OF 100 BASIS POINTS FROM THE SAME QUARTER LAST YEAR IS MAINLY EXPLAINED BY I) THE DROP IN OUR ADVERTISING REVENUES; AND II) AN INCREASE IN PROGRAMMING COSTS. THIS EFFECT WAS PARTIALLY COMPENSATED BY THE ABSENCE OF PRODUCTION COSTS RELATED TO THE 2014 WORLD CUP.

SKY

THIRD-QUARTER SALES GREW BY 9.3% TO PS.4,894.8 MILLION COMPARED WITH PS.4,476.8 MILLION IN THE THIRD-QUARTER 2014. THE INCREASE WAS DRIVEN BY SOLID GROWTH IN THE SUBSCRIBER BASE IN MEXICO, WHICH IS EXPLAINED BY THE CONTINUED SUCCESS OF SKY'S LOW-COST OFFERINGS. THE NUMBER OF NET ACTIVE SUBSCRIBERS INCREASED BY 166,303 DURING THE QUARTER TO 7,053,731 AS OF SEPTEMBER 30, 2015, OF WHICH 189,168 ARE IN CENTRAL AMERICA AND THE DOMINICAN REPUBLIC, COMPARED WITH 6,517,735 AS OF SEPTEMBER 30, 2014.

THIRD-QUARTER OPERATING SEGMENT INCOME INCREASED BY 9.1% TO PS.2,332.2 MILLION COMPARED WITH PS.2,136.9 MILLION IN THE THIRD-QUARTER 2014, AND THE MARGIN WAS 47.6% IN LINE WITH THE MARGIN REPORTED IN THE SAME QUARTER LAST YEAR. DURING THE QUARTER, SKY EXPERIENCED MAINLY HIGHER PROGRAMMING AND MAINTENANCE COSTS, AND HIGHER PROMOTION EXPENSES; WHICH WERE PARTIALLY COMPENSATED BY LOWER PERSONNEL COSTS AND MARKETING EXPENSES.

TELECOMMUNICATIONS

THIRD-QUARTER SALES INCREASED BY 37.5% TO PS.7,294.3 MILLION COMPARED WITH PS.5,305.1 MILLION IN THE THIRD-QUARTER 2014 DRIVEN BY GROWTH IN ALL OF OUR CABLE PLATFORMS AND THE CONSOLIDATION, FOR THE FULL QUARTER, OF PS.1,632.1 MILLION OF REVENUES FROM CABLECOM AND TELECABLE. EXCLUDING CABLECOM AND TELECABLE, THIRD-QUARTER SALES FROM OUR CABLE AND NETWORK OPERATIONS INCREASED BY 13.8%.

VOICE AND DATA REVENUE GENERATING UNITS, OR RGUS, GREW BY 52.5% AND 33.9% COMPARED WITH THE THIRD-QUARTER 2014, RESPECTIVELY, AND VIDEO RGUS GREW BY 19.2%. EXCLUDING THE ACQUISITION OF TELECABLE, VOICE AND DATA RGUS, GREW BY 45.0% AND 25.7% COMPARED WITH THE THIRD-QUARTER 2014, RESPECTIVELY, WHILE VIDEO RGUS GREW BY 5.0%.

THE FOLLOWING INFORMATION SETS FORTH THE BREAKDOWN OF RGUS PER SERVICE TYPE FOR OUR TELECOMMUNICATIONS SEGMENT AS OF SEPTEMBER 30, 2015 AND 2014:

THE RGUS OF VIDEO, BROADBAND AND VOICE AS OF SEPTEMBER 30, 2015 AMOUNTED TO 3,948,428, 2,900,771 AND 1,750,249, RESPECTIVELY, A TOTAL OF 8,599,448 RGUS.

THE RGUS  OF VIDEO, BROADBAND AND VOICE AS OF SEPTEMBER 30, 2014 AMOUNTED TO 3,312,431, 2,165,641 AND 1,147,897, RESPECTIVELY, A TOTAL OF 6,625,969 RGUS.

THIRD-QUARTER OPERATING SEGMENT INCOME INCREASED BY 50.1% TO PS.2,973.4 MILLION COMPARED WITH PS.1,981.6 MILLION IN THE THIRD-QUARTER 2014, AND THE MARGIN REACHED 40.8%, AN INCREASE OF 340 BASIS POINTS FROM THE SAME QUARTER LAST YEAR. THESE RESULTS PRIMARILY REFLECT THE CONSOLIDATION OF CABLECOM AND TELECABLE, WHICH CONTRIBUTED WITH PS.808.2 MILLION TO OPERATING SEGMENT INCOME IN THE THIRD-QUARTER 2015, CONTINUED GROWTH IN THE CABLE PLATFORMS AND BESTEL, AND LOWER TELECOM EQUIPMENT COSTS. THESE FAVORABLE VARIANCES WERE PARTIALLY OFFSET BY THE INCREASE IN MAINTENANCE COSTS, PROGRAMMING COSTS, LEASING EXPENSES, AND PERSONNEL COSTS AND EXPENSES DURING THE QUARTER. EXCLUDING CABLECOM AND TELECABLE, FOR THE FULL QUARTER, OPERATING SEGMENT INCOME INCREASED BY 18.7%.

THE FOLLOWING INFORMATION SETS FORTH THE BREAKDOWN OF REVENUES AND OPERATING SEGMENT INCOME, EXCLUDING CONSOLIDATION ADJUSTMENTS, FOR OUR CABLE AND NETWORK OPERATIONS FOR THE THIRD-QUARTER 2015 AND 2014.

OUR CABLE OPERATIONS INCLUDE VIDEO, VOICE AND DATA SERVICES PROVIDED BY CABLEVISIÓN, CABLEMÁS, TVI, CABLECOM AND TELECABLE. OUR NETWORK OPERATIONS INCLUDE SERVICES OFFERED BY BESTEL AND THE NETWORK OPERATIONS OF CABLECOM:

THE REVENUES IN THE THIRD-QUARTER 2015 OF CABLE OPERATIONS  AND NETWORK OPERATIONS AMOUNTED TO PS.6,182.4 MILLION AND PS.1,340.3 MILLION, RESPECTIVELY.

THE REVENUES IN THE THIRD-QUARTER 2014 OF CABLE OPERATIONS  AND NETWORK OPERATIONS AMOUNTED TO PS.4,398.9 MILLION AND PS.1,027.3 MILLION, RESPECTIVELY.

THE OPERATING SEGMENT INCOME IN THE THIRD-QUARTER 2015 OF CABLE OPERATIONS  AND NETWORK OPERATIONS AMOUNTED TO PS.2,505.4 MILLION AND PS.548.6 MILLION, RESPECTIVELY.

THE OPERATING SEGMENT INCOME IN THE THIRD-QUARTER 2014 OF CABLE OPERATIONS  AND NETWORK OPERATIONS AMOUNTED TO PS.1,729.1 MILLION AND PS.378.9 MILLION, RESPECTIVELY.

THESE RESULTS DO NOT INCLUDE CONSOLIDATION ADJUSTMENTS OF PS.228.4 MILLION AND PS.121.1 MILLION IN REVENUES IN THE THIRD-QUARTER 2015 AND THE THIRD-QUARTER 2014, RESPECTIVELY, OR PS.80.6 MILLION AND PS.126.4 MILLION IN OPERATING SEGMENT INCOME IN THE THIRD-QUARTER 2015 AND THE THIRD-QUARTER 2014, RESPECTIVELY, WHICH ARE INCLUDED IN THE CONSOLIDATED RESULTS OF THE TELECOMMUNICATIONS SEGMENT.

OTHER BUSINESSES

THIRD-QUARTER SALES INCREASED BY 3.7% TO PS.2,008.7 MILLION COMPARED WITH PS.1,936.6 MILLION IN THE THIRD-QUARTER 2014. THIS INCREASE IS EXPLAINED MAINLY BY I) AN INCREASE IN THE REVENUES OF OUR FEATURE-FILM DISTRIBUTION BUSINESS IN MEXICO AND THE UNITED STATES; AND II) AN INCREASE IN THE REVENUES OF OUR GAMING BUSINESS, AS A RESULT OF AN INCREASE IN THE NUMBER OF ELECTRONIC GAMING MACHINES. THIS EFFECT WAS PARTIALLY COMPENSATED BY A DECREASE IN THE REVENUES OF OUR PUBLISHING DISTRIBUTION BUSINESS AND OUR SOCCER BUSINESS.

THIRD-QUARTER OPERATING SEGMENT INCOME INCREASED BY 70.4% TO PS.258.4 MILLION COMPARED WITH PS.151.6 MILLION IN THE THIRD-QUARTER 2014, AND THE MARGIN REACHED 12.9%. THESE RESULTS REFLECT A SMALLER OPERATING SEGMENT LOSS IN OUR FEATURE-FILM DISTRIBUTION BUSINESS, AS WELL AS AN INCREASE IN THE OPERATING SEGMENT INCOME OF OUR GAMING, AND SOCCER BUSINESSES. THIS EFFECT WAS PARTIALLY COMPENSATED BY AN INCREASE IN THE OPERATING SEGMENT LOSS OF OUR PUBLISHING BUSINESS.

INTERSEGMENT OPERATIONS

INTERSEGMENT OPERATIONS FOR THE THIRD-QUARTER 2015 AND 2014 AMOUNTED TO PS.567.5 MILLION AND PS.380.6 MILLION, RESPECTIVELY.

CORPORATE EXPENSE

CORPORATE EXPENSE INCREASED BY PS.138.4 MILLION, OR 38.7%, TO PS.496.3 MILLION IN THE THIRD-QUARTER 2015, FROM PS. 357.9 MILLION IN THE THIRD-QUARTER 2014. THE INCREASE REFLECTED PRIMARILY A HIGHER SHARE-BASED COMPENSATION EXPENSE.

SHARE-BASED COMPENSATION EXPENSE IN THE THIRD QUARTER 2015 AND 2014 AMOUNTED TO PS.325.0 MILLION AND PS.224.4 MILLION, RESPECTIVELY, AND WAS ACCOUNTED FOR AS A CORPORATE EXPENSE. SHARE-BASED COMPENSATION EXPENSE IS MEASURED AT FAIR VALUE AT THE TIME THE EQUITY BENEFITS ARE CONDITIONALLY SOLD TO OFFICERS AND EMPLOYEES, AND IS RECOGNIZED OVER THE VESTING PERIOD.

OTHER EXPENSE, NET

OTHER EXPENSE, NET, DECREASED BY PS.3,852.9 MILLION TO PS.693.7 MILLION IN THE THIRD-QUARTER 2015, FROM PS.4,546.6 MILLION IN THE THIRD-QUARTER 2014. THIS DECREASE REFLECTED PRIMARILY THE ABSENCE OF A PS.4,168.5 MILLION NON-CASH LOSS ON DISPOSITION OF OUR FORMER 50% JOINT VENTURE INVESTMENT IN THE IUSACELL TELECOM BUSINESS IN THE THIRD-QUARTER 2014, WHICH WAS PARTIALLY OFFSET BY A HIGHER EXPENSE RELATED TO FINANCIAL ADVISORY AND PROFESSIONAL SERVICES, A NON-RECURRENT SEVERANCE EXPENSE IN CONNECTION WITH DISMISSALS OF PERSONNEL IN OUR CONTENT, TELECOMMUNICATIONS AND OTHER BUSINESSES SEGMENTS, AND A HIGHER LOSS ON DISPOSITION OF PROPERTY AND EQUIPMENT.

OTHER EXPENSE, NET, FOR THE THIRD-QUARTER 2015 INCLUDED PRIMARILY EXPENSE RELATED TO FINANCIAL ADVISORY AND PROFESSIONAL SERVICES, A NON-RECURRENT SEVERANCE EXPENSE IN CONNECTION WITH DISMISSALS OF PERSONNEL, LOSS ON DISPOSITION OF PROPERTY AND EQUIPMENT, AND DONATIONS.
NON-OPERATING RESULTS

FINANCE INCOME OR EXPENSE, NET

THE FOLLOWING INFORMATION SETS FORTH THE FINANCE INCOME (EXPENSE), NET, STATED IN MILLIONS OF MEXICAN PESOS FOR THE QUARTERS ENDED SEPTEMBER 30, 2015 AND 2014:

FINANCE INCOME OR EXPENSE, NET, CHANGED BY PS.5,883.1 MILLION TO A FINANCE INCOME, NET, OF PS.5,445.9 MILLION IN THE THIRD-QUARTER 2015 FROM A FINANCE EXPENSE, NET, OF PS.437.2 MILLION IN THE THIRD-QUARTER 2014. THIS FAVORABLE CHANGE REFLECTED A PS.6,402.2 MILLION INCREASE IN OTHER FINANCE INCOME, NET, TO PS.7,289.6 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH PS.887.4 MILLION IN THE THIRD-QUARTER 2014, RESULTING PRIMARILY FROM (I) OUR CONVERSION IN JULY 2015 OF DEBENTURES ISSUED BY UNIVISION HOLDINGS, INC. OR "UHI" (FORMERLY, BROADCASTING MEDIA PARTNERS, INC.), THE CONTROLLING COMPANY OF UNIVISION COMMUNICATIONS INC. ("UNIVISION"), INTO WARRANTS THAT ARE EXERCISABLE FOR UHI'S COMMON STOCK, WHICH INCLUDED, AS A CONSIDERATION FOR SUCH CONVERSION, A CASH AMOUNT OF US$135.1 MILLION (PS.2,195.0 MILLION) RECEIVED FROM UHI; AND (II) A PS.4,718.2 MILLION RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME IN CONSOLIDATED EQUITY IN CONNECTION WITH A CUMULATIVE GAIN RELATED TO CHANGES IN FAIR VALUE OF SUCH DEBENTURES, WHICH EFFECT WAS PARTIALLY OFFSET BY THE ABSENCE OF A FAVORABLE CHANGE IN FAIR VALUE IN THE THIRD-QUARTER 2014 OF THE EMBEDDED DERIVATIVE RELATED TO OUR OPTION TO CONVERT OUR FORMER DEBENTURES IN SHARES OF CAPITAL STOCK OF UHI. THE FAVORABLE VARIANCE IN OTHER FINANCE INCOME, NET, WAS PARTIALLY OFFSET BY (I) A PS.136.0 MILLION INCREASE IN INTEREST EXPENSE TO PS.1,557.4 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH PS.1,421.4 MILLION IN THE THIRD-QUARTER 2014, DUE PRIMARILY TO A HIGHER AVERAGE PRINCIPAL AMOUNT OF DEBT AND FINANCE LEASE OBLIGATIONS IN THE THIRD-QUARTER 2015; (II) A PS.199.5 MILLION DECREASE IN INTEREST INCOME TO PS.130.5 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH PS.330.0 MILLION IN THE THIRD-QUARTER 2014, EXPLAINED PRIMARILY BY THE ABSENCE OF INTEREST INCOME FROM OUR FORMER INVESTMENTS IN CONVERTIBLE DEBENTURES, AS WELL AS A REDUCTION IN APPLICABLE INTEREST RATES; AND (III) A PS.183.6 MILLION INCREASE IN FOREIGN EXCHANGE LOSS TO PS.416.8 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH PS.233.2 MILLION IN THE THIRD-QUARTER 2014, RESULTING PRIMARILY FROM THE EFFECT OF A 7.9% DEPRECIATION OF THE MEXICAN PESO AGAINST THE U.S. DOLLAR ON OUR AVERAGE NET US DOLLAR LIABILITY POSITION IN THE THIRD-QUARTER 2015 COMPARED WITH A 3.2% DEPRECIATION ON A HIGHER US DOLLAR LIABILITY POSITION IN THE THIRD-QUARTER 2014.

SHARE OF INCOME OR LOSS OF JOINT VENTURES AND ASSOCIATES, NET

SHARE OF INCOME OR LOSS OF JOINT VENTURES AND ASSOCIATES, NET, CHANGED BY PS.135.5 MILLION TO A SHARE OF LOSS OF PS.19.1 MILLION IN THE THIRD-QUARTER 2015 FROM A SHARE OF INCOME OF PS.116.4 MILLION IN THE THIRD-QUARTER 2014. THIS UNFAVORABLE CHANGE REFLECTED MAINLY A LOWER SHARE OF INCOME OF UHI, THE CONTROLLING COMPANY OF UNIVISION.
 
INCOME TAXES

INCOME TAXES INCREASED BY PS.3,187.0 MILLION TO PS.3,252.9 MILLION IN THE THIRD-QUARTER 2015 COMPARED WITH PS.65.9 MILLION IN THE THIRD-QUARTER 2014. THIS INCREASE REFLECTED PRIMARILY A HIGHER TAX BASE.

NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS

NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS DECREASED BY PS.114.8 MILLION, OR 32.4%, TO PS.239.9 MILLION IN THE THIRD-QUARTER 2015, COMPARED WITH PS.354.7 MILLION IN THE THIRD-QUARTER 2014. THIS DECREASE REFLECTED PRIMARILY A LOWER PORTION OF NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS IN OUR SKY AND TELECOMMUNICATIONS SEGMENTS.

OTHER RELEVANT INFORMATION

CAPITAL EXPENDITURES AND INVESTMENTS

DURING THE THIRD-QUARTER 2015, WE INVESTED APPROXIMATELY US$378.0 MILLION IN PROPERTY, PLANT AND EQUIPMENT AS CAPITAL EXPENDITURES, INCLUDING APPROXIMATELY US$235.2 MILLION FOR OUR TELECOMMUNICATIONS SEGMENT, US$89.5 MILLION FOR OUR SKY SEGMENT, AND US$53.3 MILLION FOR OUR CONTENT AND OTHER BUSINESSES SEGMENTS.

IN JULY 2015, WE EXERCISED A PORTION OF OUR INVESTMENT IN WARRANTS ISSUED BY UHI FOR A NUMBER OF SHARES OF COMMON STOCK OF UHI, AND INCREASED OUR EQUITY STAKE IN THIS ASSOCIATE FROM 7.8% TO 10%. THIS NON-CASH TRANSACTION AMOUNTED TO US$107.4 MILLION (PS.1,695.5 MILLION).

DEBT AND FINANCE LEASE OBLIGATIONS

THE FOLLOWING INFORMATION SETS FORTH OUR TOTAL CONSOLIDATED DEBT AND FINANCE LEASE OBLIGATIONS AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014. AMOUNTS ARE STATED IN MILLIONS OF MEXICAN PESOS:

THE TOTAL CONSOLIDATED DEBT AMOUNTED TO PS.88,818.9 MILLION AND PS.80,997.6 MILLION AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, RESPECTIVELY, WHICH INCLUDED A CURRENT PORTION  OF LONG-TERM DEBT IN THE AMOUNT OF PS.2,978.3 MILLION AND PS.337.1 MILLION, RESPECTIVELY. AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, TOTAL DEBT IS PRESENTED NET OF FINANCE COSTS IN THE AMOUNT OF PS.1,216.8 MILLION AND PS.1,268.8 MILLION, RESPECTIVELY, AND DOES NOT INCLUDE RELATED ACCRUED INTEREST PAYABLE IN THE AMOUNT OF PS.1,345.9 MILLION AND PS.974.9 MILLION, RESPECTIVELY.

ADDITIONALLY, WE HAD FINANCE LEASE OBLIGATIONS IN THE AMOUNT OF PS.5,830.4 MILLION AND PS.5,309.6 MILLION AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, RESPECTIVELY, WHICH INCLUDED A CURRENT PORTION OF PS.504.0 MILLION AND PS.502.2 MILLION, RESPECTIVELY.

AS OF SEPTEMBER 30, 2015, OUR CONSOLIDATED NET DEBT POSITION (TOTAL DEBT LESS CASH AND CASH EQUIVALENTS, TEMPORARY INVESTMENTS, AND NON-CURRENT HELD-TO-MATURITY AND AVAILABLE-FOR-SALE INVESTMENTS) WAS PS.47,727.7 MILLION. THE AGGREGATE AMOUNT OF NON-CURRENT HELD-TO-MATURITY AND AVAILABLE-FOR-SALE INVESTMENTS AS OF SEPTEMBER 30, 2015, AMOUNTED TO PS.6,170.3 MILLION.

SHARES OUTSTANDING

AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, OUR SHARES OUTSTANDING AMOUNTED TO 338,461.8 MILLION AND 338,056.2 MILLION SHARES, RESPECTIVELY, AND OUR CPO EQUIVALENTS OUTSTANDING AMOUNTED TO 2,892.8 MILLION AND 2,889.4 MILLION CPO EQUIVALENTS, RESPECTIVELY. NOT ALL OF OUR SHARES ARE IN THE FORM OF CPOS. THE NUMBER OF CPO EQUIVALENTS IS CALCULATED BY DIVIDING THE NUMBER OF SHARES OUTSTANDING BY 117.

AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, THE GDS (GLOBAL DEPOSITARY SHARES) EQUIVALENTS OUTSTANDING AMOUNTED TO 578.6 MILLION AND 577.9 MILLION GDS EQUIVALENTS, RESPECTIVELY. THE NUMBER OF GDS EQUIVALENTS IS CALCULATED BY DIVIDING THE NUMBER OF CPO EQUIVALENTS BY FIVE.

IFT RULING

ON SEPTEMBER 30, 2015, THE FEDERAL TELECOMMUNICATIONS INSTITUTE RESOLVED, WITHIN THE INVESTIGATION OF TRANSITORY PROVISION 39 OF THE FEDERAL TELECOMMUNICATIONS LAW, THAT THERE ARE NO ELEMENTS AS TO THE EXISTENCE OF AN ECONOMIC AGENT WITH SIGNIFICANT MARKET POWER IN THE MARKET OF RESTRICTED AUDIO AND VIDEO IN MEXICO (PAY TV).

ABOUT TELEVISA

TELEVISA IS THE LARGEST MEDIA COMPANY IN THE SPANISH-SPEAKING WORLD BASED ON ITS MARKET CAPITALIZATION AND A MAJOR PARTICIPANT IN THE INTERNATIONAL ENTERTAINMENT BUSINESS. IT OPERATES FOUR BROADCAST CHANNELS IN MEXICO CITY, PRODUCES AND DISTRIBUTES 25 PAY-TV BRANDS FOR DISTRIBUTION IN MEXICO AND THE REST OF THE WORLD, AND EXPORTS ITS PROGRAMS AND FORMATS TO THE U.S. THROUGH UNIVISION COMMUNICATIONS INC. ("UNIVISION") AND TO OTHER TELEVISION NETWORKS IN OVER 50 COUNTRIES. TELEVISA IS ALSO AN ACTIVE PARTICIPANT IN MEXICO'S TELECOMMUNICATIONS INDUSTRY. IT HAS A MAJORITY INTEREST IN SKY, A LEADING DIRECT-TO-HOME SATELLITE TELEVISION SYSTEM OPERATING IN MEXICO, THE DOMINICAN REPUBLIC AND CENTRAL AMERICA. TELEVISA ALSO PARTICIPATES IN MEXICO'S TELECOMMUNICATIONS INDUSTRY IN MANY REGIONS OF THE COUNTRY WHERE IT OFFERS VIDEO, VOICE AND BROADBAND SERVICES. TELEVISA ALSO HAS INTERESTS IN MAGAZINE PUBLISHING AND DISTRIBUTION, RADIO PRODUCTION AND BROADCASTING, PROFESSIONAL SPORTS AND LIVE ENTERTAINMENT, FEATURE-FILM PRODUCTION AND DISTRIBUTION, THE OPERATION OF A HORIZONTAL INTERNET PORTAL AND GAMING. IN THE UNITED STATES, TELEVISA HAS EQUITY AND WARRANTS WHICH UPON ITS EXERCISE AND SUBJECT TO ANY NECESSARY APPROVAL FROM THE FEDERAL COMMUNICATIONS COMMISSION ("FCC") IN THE UNITED STATES, WOULD REPRESENT APPROXIMATELY 36% ON A FULLY DILUTED, AS-CONVERTED BASIS OF THE EQUITY CAPITAL IN UNIVISION HOLDINGS INC. (F/K/A BROADCASTING MEDIA PARTNERS, INC.), THE CONTROLLING COMPANY OF UNIVISION, THE LEADING MEDIA COMPANY SERVING THE UNITED STATES HISPANIC MARKET.

DISCLAIMER

THIS ANNEX CONTAINS FORWARD-LOOKING STATEMENTS REGARDING THE COMPANY'S RESULTS AND PROSPECTS. ACTUAL RESULTS COULD DIFFER MATERIALLY FROM THESE STATEMENTS. THE FORWARD-LOOKING STATEMENTS IN THIS ANNEX SHOULD BE READ IN CONJUNCTION WITH THE FACTORS DESCRIBED IN "ITEM 3. KEY INFORMATION – FORWARD-LOOKING STATEMENTS" IN THE COMPANY'S ANNUAL REPORT ON FORM 20-F, WHICH, AMONG OTHERS, COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN FORWARD-LOOKING STATEMENTS MADE IN THIS ANNEX AND IN ORAL STATEMENTS MADE BY AUTHORIZED OFFICERS OF THE COMPANY. READERS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON THESE FORWARD-LOOKING STATEMENTS, WHICH SPEAK ONLY AS OF THEIR DATES. THE COMPANY UNDERTAKES NO OBLIGATION TO PUBLICLY UPDATE OR REVISE ANY FORWARD-LOOKING STATEMENTS, WHETHER AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE.

THE FINANCIAL INSTITUTIONS THAT PERFORM FINANCIAL ANALYSIS ON THE SECURITIES OF GRUPO TELEVISA, S.A.B. ARE AS FOLLOWS:

INSTITUTION:
   BARCLAYS
   BBVA BANCOMER
   BTG PACTUAL
   CITI
   CREDIT SUISSE
   GABELLI & CO.
   GBM CASA DE BOLSA
   GOLDMAN SACHS
   HSBC
   INVEX
   ITAÚ SECURITIES
   JPMORGAN
   MAXIM GROUP
   MERRILL LYNCH
   MORGAN STANLEY
   NEW STREET
   SANTANDER
   SCOTIABANK
   UBS


MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA
QUARTER: 03                                        YEAR: 2015
 
GRUPO TELEVISA, S.A.B.

FINANCIAL STATEMENT NOTES

CONSOLIDATED
Final Printing
 
GRUPO TELEVISA, S.A.B. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements
For the nine months ended September 30, 2015 and 2014
(In thousands of Mexican Pesos, except per CPO, per share, par value and exchange rate amounts)

1. Corporate Information

Grupo Televisa, S.A.B. (the "Company") is a limited liability public stock corporation ("Sociedad Anónima Bursátil" or "S.A.B."), incorporated under the laws of Mexico. Pursuant to the terms of the Company's bylaws ("Estatutos Sociales") its corporate existence continues through 2106. The shares of the Company are listed and traded in the form of "Certificados de Participación Ordinarios" or "CPOs" on the Mexican Stock Exchange ("Bolsa Mexicana de Valores") under the ticker symbol TLEVISA CPO, and in the form of Global Depositary Shares or GDSs, on the New York Stock Exchange, or NYSE, under the ticker symbol TV. The Company's principal executive offices are located at Avenida Vasco de Quiroga 2000, Colonia Santa Fe, 01210 México, D. F.

Grupo Televisa, S.A.B. together with its subsidiaries (collectively, the "Group") is the largest media company in the Spanish-speaking world based on its market capitalization and a major participant in the international entertainment business. It operates four broadcast channels in Mexico City, produces and distributes 25 pay-TV brands for distribution in Mexico and the rest of the world, and exports its programs and formats to the United States through Univision Communications Inc. ("Univision") and to other television networks in over 50 countries. It has a majority interest in Sky, a leading direct-to-home satellite television system operating in Mexico, the Dominican Republic and Central America. The Group also participates in Mexico's telecommunications industry in many regions of the country where it offers video, voice and broadband services. The Group also has interests in magazine publishing and distribution, radio production and broadcasting, professional sports and live entertainment, feature-film production and distribution, the operation of a horizontal Internet portal, and gaming. In the United States, the Group has equity and warrants which upon its exercise and subject to any necessary approval from the Federal Communications Commission in the United States, would represent approximately 36% on a fully diluted basis of the equity capital in Univision Holdings, Inc. or "UHI" (formerly, Broadcasting Media Partners, Inc. or "BMP"), the controlling company of Univision, the leading media company serving the United States Hispanic market.


2. Basis of Preparation and Accounting Policies

These condensed consolidated financial statements of the Group, as of September 30, 2015 and December 31, 2014, and for the nine months ended September 30, 2015 and 2014, are unaudited, and have been prepared in accordance with the guidelines provided by the International Accounting Standard 34, Interim Financial Reporting. In the opinion of management, all adjustments necessary for a fair presentation of the condensed consolidated financial statements have been included herein.

These unaudited condensed consolidated financial statements should be read in conjunction with the Group's audited consolidated financial statements and notes thereto for the years ended December 31, 2014 and 2013, which have been prepared in accordance with International Financial Reporting Standards ("IFRSs") as issued by the International Accounting Standards Board, and include, among other disclosures, the Group's most significant accounting policies, which were applied on a consistent basis as of September 30, 2015.

These interim unaudited condensed consolidated financial statements were authorized for issuance on October 19, 2015, by the Group's Chief Financial Officer.
 
3. Acquisition, Investments and Disposition

In January 2015, the Group acquired, through a series of transactions, the net assets of Cablevisión Red, S.A. de C.V. and other related companies (collectively, "Telecable") for an aggregate consideration of Ps.10,001,838. Telecable is a telecommunications business that provides video, data and telephone services primarily in six states of Mexico. In connection with this acquisition, the Group recognized an excess of purchase price over the carrying value of the acquired net assets of Telecable in the aggregate amount of Ps.8,774,852, which consisted primarily of intangible assets and additional liabilities, based on a preliminary purchase price allocation at the acquisition date. The Group expects to complete a final purchase price allocation of this transaction in the last quarter of 2015. The Group began to consolidate the net assets and results of operations of Telecable beginning in the first quarter of 2015. Through the acquisition of Telecable, the Group continues with its strategy to establish a telecommunications company with national coverage that delivers more and better services through state of the art technology and internationally competitive prices for the benefit of end users. The following table summarizes a preliminary allocation of the purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed at the acquisition date. The excess of the purchase price over those estimated fair values and the deferred income tax liability related to certain intangible assets was allocated to goodwill.
   
Acquisition in January
2015
 
Cash and cash equivalents
 
Ps.
270,447
 
Trade and other receivables
   
57,687
 
Other current assets
   
34,118
 
Total current assets
   
362,252
 
Property, plant and equipment, net
   
2,010,892
 
Goodwill
   
5,023,651
 
Concessions
   
3,868,266
 
List of subscribers
   
1,233,808
 
Trademarks
   
218,578
 
Other intangible assets
   
37,903
 
Other non-current assets
   
6,594
 
    Total assets
   
12,761,944
 
Short-term debt
   
505,425
 
Trade and other payables
   
135,920
 
Other current liabilities
   
78,754
 
Total current liabilities
   
720,099
 
Deferred income tax liability
   
2,031,409
 
Other non-current liabilities
   
8,598
 
Total non-current liabilities
   
2,040,007
 
Total liabilities
   
2,760,106
 
Total net assets
 
Ps.
10,001,838
 
 
In January 2015, the Group received proceeds in the aggregate amount of U.S.$717 million (Ps.10,632,393) in connection with the disposal in 2014 of its investment in GSF Telecom Holdings, S.A.P.I. de C.V. ("GSF"), of which U.S.$697 million were in cash and U.S.$20 million were held in escrow for certain contingent litigation costs. As of September 30, 2015, the amount held in escrow was U.S.$14 million (Ps.237,605).

In July 2015, the Group converted its investment in U.S.$1,125 million principal amount of Debentures issued by UHI (formerly,  BMP) into an investment in Warrants that are exercisable for new classes of UHI's common stock. As a result of this transaction, the Group (i) received from UHI a cash amount of US$135.1 million (Ps.2,194,981) as a consideration for such conversion, which was accounted for as other finance income in the consolidated statement of income for the nine months ended September 30, 2015; and (ii) reclassified a Ps.4,718,175 cumulative gain related to changes in fair value of such Debentures from accumulated other comprehensive income in consolidated equity to other finance income in the consolidated statement of income for the nine months ended September 30, 2015. In July 2015, the Group exercised a portion of these Warrants to increase its equity stake in UHI from 7.8% to 10% (see Notes 4 and 5).

In July 2015, the Company made an additional capital contribution in Imagina Media Audiovisual, S.L. (together with its subsidiaries, "Imagina") in the aggregate cash amount of €19.2 million (Ps.341,710) in connection with a reorganization of stockholders of this investee, by which the Company increased its equity stake in Imagina from 14.5% to 19.9% (see Notes 4 and 5).
 
 
4. Investments in Financial Instruments
 
At September 30, 2015 and December 31, 2014, the Group had the following investments in financial instruments:
 
   
September 30, 2015
   
December 31, 2014
 
Available-for-sale financial assets:
       
Convertible Debentures due 2025 issued by UHI (1)
 
Ps.
-
   
Ps.
10,421,478
 
Embedded derivative in Convertible Debentures issued by UHI (1)
   
-
     
17,447,857
 
Shares of common stock of Imagina (2)
   
-
   
836,037
 
Available-for-sale investments (3)
   
5,822,947
     
5,511,768
 
     
5,822,947
     
34,217,140
 
Warrants issued by UHI (1)
   
31,271,573
     
-
 
Held-to-maturity investments (4)
   
347,399
     
461,047
 
Other
   
31,685
     
31,685
 
   
Ps.
37,473,604
   
Ps.
34,709,872
 
 
(1)
Through July 2015, the Group held an investment in Convertible Debentures due 2025 issued by UHI in the principal amount of U.S.$1,125 million (Ps.17,634,375), with an annual interest rate of 1.5% receivable on a quarterly basis, which were convertible at the Company's option into additional shares equivalent to approximately 30% equity stake of UHI, subject to existing laws and regulations in the United States, and other conditions. These Convertible Debentures were classified as available-for-sale financial assets with changes in fair value recognized in other comprehensive income or loss in consolidated equity. The Group's option of converting these debentures into an equity stake of UHI was accounted for as an embedded derivative with changes in fair value recognized in consolidated income. In July 2015, the Group converted its investment in these Debentures into an investment in Warrants that are exercisable for new classes of UHI's common stock. The fair value of these Warrants at the date of conversion was U.S.$1,951 million (Ps.30,582,427). In July 2015, the Group exercised a portion of these Warrants in the amount of U.S$107.4 million (Ps.1,695,524) to increase its equity stake in UHI from 7.8% to 10% (see Notes 3 and 5).
(2)
Through June 2015, the Company's investment in common stock of Imagina was accounted for as an available-for-sale equity financial asset with changes in fair value recognized in consolidated other comprehensive income or loss. In July 2015, the Company made an additional capital contribution and increased its equity stake in Imagina from 14.5% to 19.9%. As a result of this transaction, beginning in the third quarter of 2015, the Company classified the carrying value of this investee as an investment in associate and began to recognize its share in income or loss of Imagina (see Notes 3 and 5).
(3)
The Group has an investment in an open ended fund that has as a primary objective to achieve capital appreciation by using a broad range of strategies through investments and transactions in telecom, media and other sectors across global markets, including Latin America and other emerging markets. Shares may be redeemed on a quarterly basis at the Net Asset Value ("NAV") per share as of such redemption date. The fair value of this fund is determined by using the NAV per share. The NAV per share is calculated by determining the value of the fund assets and subtracting all of the fund liabilities and dividing the result by the total number of issued shares.
(4)
Held-to-maturity investments represent corporate fixed income securities with long-term maturities. These investments are stated at amortized cost. Maturities of these investments subsequent to September 30, 2015, are as follows: Ps.228,094 in 2016, Ps.59,255 in 2017 and Ps.60,050 thereafter. Held-to-maturity financial assets as of September 30, 2015 and December 31, 2014 are denominated primarily in Mexican pesos.

A roll forward of available-for-sale financial assets for the nine months ended September 30, 2015, is presented as follows:

At January 1, 2015
  Ps.
34,217,140
 
Foreign exchange differences
   
1,480,133
 
Acquisitions
   
341,710
 
Conversion of Debentures into Warrants issued by UHI
   
(31,315,532
)
Changes in other comprehensive income
   
690,300
 
Changes in other finance income
   
409,196
 
At September 30, 2015
 
Ps.
5,822,947
 

The maximum exposure to credit risk of the investments in financial instruments as of September 30, 2015 is the carrying value of the financial assets mentioned above.


5. Investments in Joint Ventures and Associates

At September 30, 2015 and December 31, 2014, the Group had the following investments in joint ventures and associates accounted for by the equity method:


    Ownership as of  
   
September 30, 2015
   
September 30, 2015
   
December 31, 2014
 
Joint ventures:
           
Grupo de Telecomunicaciones de Alta Capacidad, S.A.P.I. de C.V. ("GTAC") (1)
   
33.3
%
 
Ps.
538,523
   
Ps.
576,179
 
Televisa CJ Grand, S.A. de C.V.
   
50
%
   
83,907
     
-
 
Associates:
                       
UHI (2)
   
10
%
   
5,510,193
     
3,507,390
 
Imagina
   
19.9
%
   
1,689,782
     
-
 
Ocesa Entretenimiento, S.A. de C.V. and subsidiaries (collectively, "OCEN") (3)
   
40
%
   
920,813
     
867,362
 
Other
           
81,327
     
81,516
 
           
Ps.
8,824,545
   
Ps.
5,032,447
 

(1)
A subsidiary of the Company entered into a long-term credit facility agreement to provide financing to GTAC for up to Ps.688,217, with an annual interest rate of the Mexican Interbank Interest Rate ("Tasa de Interés Interbancaria de Equilibrio" or "TIIE") plus 200 basis points. Under the terms of this agreement, principal and interest are payable at dates agreed by the parties, between 2013 and 2021. As of September 30, 2015, GTAC had used a principal amount of Ps.628,683, under this credit facility. During 2015, GTAC paid principal and interest to the Group in connection with this credit facility in the aggregate amount of Ps.99,018. Also, a subsidiary of the Company entered into supplementary long-term loans to provide additional financing to GTAC for an aggregate principal amount of Ps.246,019, with an annual interest of TIIE plus 200 basis points payable on a monthly basis and principal maturities through 2023, 2024 and 2025. The net investment in GTAC as of September 30, 2015 and December 31, 2014, include amounts receivable in connection with this long-term credit facility and supplementary loans to GTAC in the aggregate amount of Ps.641,684 and Ps.677,315, respectively.
(2)
The Group accounts for its investment in common stock of UHI, the parent company of Univision, under the equity method due to the Group's ability to exercise significant influence over UHI's operations. The Group has determined it has the ability to exercise significant influence over the operating and financial policies of UHI because as of September 30, 2015 , the Group (i) owned 1,110,382 Class C shares of common stock of UHI, representing 10% of the outstanding total shares of UHI as of that date; (ii) held Warrants exercisable for new classes of common stock of UHI  equivalent to approximately 26% equity stake of UHI on a fully diluted basis, subject to certain conditions, laws and regulations; (iii)  had three of 17 current members of the Board of Directors of UHI; and (iv) held program license agreements, as amended, with Univision, an indirect wholly-owned subsidiary of UHI, pursuant to which Univision has the right to broadcast certain Televisa content in the United States ("Program License Agreement"), and the Group has the right to broadcast certain Univision's content in Mexico ("Mexican License Agreement"), through the later of 2025 (2030 upon consummation of a proposed public offering of shares of UHI) or seven and one-half years after the Group has sold two-thirds of its initial investment in UHI made in December 2010.
(3)
OCEN is a majority-owned subsidiary of Corporación Interamericana de Entretenimiento, S.A.B. de C.V., and is engaged in the live entertainment business in Mexico. The investment in OCEN includes a goodwill of Ps.359,613 as of September 30, 2015 and December 31, 2014.


6. Property, Plant and Equipment, Net

Property, plant and equipment as of September 30, 2015 and December 31, 2014, consisted of:

   
September 30, 2015
   
December 31, 2014
 
Buildings
 
Ps.
8,565,028
   
Ps.
8,464,531
 
Building improvements
   
287,684
     
339,828
 
Technical equipment
   
94,191,798
     
79,921,698
 
Satellite transponders
   
7,869,492
     
7,869,492
 
Furniture and fixtures
   
980,135
     
907,006
 
Transportation equipment
   
2,521,418
     
2,054,309
 
Computer equipment
   
6,201,652
     
5,962,735
 
Leasehold improvements
   
2,094,849
     
1,641,527
 
     
122,712,056
     
107,161,126
 
Accumulated depreciation
   
(65,339,105
)
   
(57,539,568
)
     
57,372,951
     
49,621,558
 
Land
   
4,649,233
     
4,627,984
 
Construction and projects in progress
   
8,483,582
     
7,759,966
 
   
Ps.
70,505,766
   
Ps.
62,009,508
 

Depreciation charged to income for the nine months ended September 30, 2015 and 2014 was Ps.8,957,191 and Ps.7,326,591, respectively.

During the nine months ended September 30, 2015, the Group invested Ps.16,518,042 in property plant and equipment as capital expenditures.

 
7. Intangible Assets, Net

The balances of intangible assets as of September 30, 2015 and December 31, 2014, were as follows:
   
September 30, 2015
   
December 31, 2014
 
   
Gross Carrying Amount
   
Accumulated Amortization
   
Net Carrying Amount
   
Gross Carrying Amount
   
Accumulated Amortization
   
Net Carrying Amount
 
Intangible assets with indefinite useful lives:
 
Goodwill
       
Ps.
14,346,424
           
Ps.
9,322,773
 
Trademarks
         
938,004
             
2,501,227
 
Concessions
         
15,213,983
             
11,345,717
 
Intangible assets with finite useful lives:
                             
Trademarks
 
Ps.
1,772,096
   
Ps.
(73,167
)
   
1,698,929
             
-
 
Licenses and software
   
5,030,144
     
(3,181,746
)
   
1,848,398
   
Ps.
4,575,490
   
Ps.
(2,576,795
)
   
1,998,695
 
Subscriber lists
   
6,207,693
     
(3,261,546
)
   
2,946,147
     
4,973,885
     
(2,492,101
)
   
2,481,784
 
Other intangible assets
   
3,208,803
     
(1,889,462
)
   
1,319,341
     
2,290,663
     
(1,162,445
)
   
1,128,218
 
   
Ps.
16,218,736
   
Ps.
(8,405,921
)
 
Ps.
38,311,226
   
Ps.
11,840,038
   
Ps.
(6,231,341
)
 
Ps.
28,778,414
 

Amortization charged to income for the nine months ended September 30, 2015 and 2014 was Ps.1,782,632 and Ps.854,706, respectively.

In the third quarter of 2015, the Company's management revised the useful life of trademarks to determine whether events and circumstances continue to support an indefinite useful life for such intangible assets. As a result of such review, the Company's management has identified certain businesses in its Telecommunications segment that are migrating from a current trademark to an internally developed trademark between 2015 and 2016, in connection with enhanced telecommunications service packages offered to current and new subscribers, and has estimated that this migration process will take approximately four years. Accordingly, beginning in the third quarter of 2015, the Group changed the useful life assessment from indefinite to finite for certain acquired trademarks in its Telecommunications segment, and began to amortize the related carrying value of those trademarks when the migration is started in an estimated useful life of four years.

 
8. Debt and Finance Lease Obligations

Debt and finance lease obligations outstanding as of September 30, 2015 and December 31, 2014, were as follows:

                      September 30, 2015     December 31, 2014   
   
Principal
   
Interest Payable
   
Finance Costs
   
Total
   
Total
 
U.S. dollar debt:
                   
6% Senior Notes due 2018 (1)
 
Ps.
8,465,950
   
Ps.
186,251
   
Ps.
(17,902
)
 
Ps.
8,634,299
   
Ps.
7,409,378
 
6.625% Senior Notes due 2025 (1)
   
10,159,140
     
22,435
     
(363,940
)
   
9,817,635
     
8,630,357
 
8.50% Senior Notes due 2032 (1)
   
5,079,570
     
23,987
     
(29,143
)
   
5,074,414
     
4,512,938
 
6.625% Senior Notes due 2040 (1)
   
10,159,140
     
142,087
     
(153,923
)
   
10,147,304
     
8,968,642
 
5% Senior Notes due 2045 (1)
   
16,931,900
     
333,934
     
(501,762
)
   
16,764,072
     
14,353,463
 
Total U.S. dollar debt
   
50,795,700
     
708,694
     
(1,066,670
)
   
50,437,724
     
43,874,778
 
Mexican peso debt:
                                       
7.38% Notes due 2020 (2)
   
10,000,000
     
321,850
     
(35,854
)
   
10,285,996
     
10,100,307
 
TIIE + 0.35% Notes due 2021 (2)
   
6,000,000
     
3,680
     
(11,551
)
   
5,992,129
     
5,994,805
 
TIIE + 0.35% Notes due 2022 (2)
   
5,000,000
     
1,020
     
(11,490
)
   
4,989,530
         
8.49% Senior Notes due 2037 (1)
   
4,500,000
     
130,533
     
(15,709
)
   
4,614,824
     
4,518,767
 
7.25% Senior Notes due 2043 (1)
   
6,500,000
     
178,029
     
(65,525
)
   
6,612,504
     
6,492,913
 
Bank loans
   
4,782,000
     
50
     
(3,664
)
   
4,778,386
     
5,879,128
 
Bank loans (Sky)
   
     
     
     
     
3,513,851
 
Bank loans (TVI)
   
2,457,937
     
2,101
     
(6,313
)
   
2,453,725
     
1,598,006
 
Total Mexican peso debt
   
39,239,937
     
637,263
     
(150,106
)
   
39,727,094
     
38,097,777
 
Total debt (3)
   
90,035,637
     
1,345,957
     
(1,216,776
)
   
90,164,818
     
81,972,555
 
Less: Short-term debt and current portion of long- term debt
   
2,981,600
     
1,345,957
     
(3,309
)
   
4,324,248
     
1,312,052
 
Long-term debt, net of current portion
 
Ps.
87,054,037
   
Ps.
   
Ps.
(1,213,467
)
 
Ps.
85,840,570
   
Ps.
80,660,503
 
 
Finance lease obligations:
                                       
Satellite transponder lease obligation
 
Ps.
4,863,428
   
Ps.
   
Ps.
   
Ps.
4,863,428
   
Ps.
4,401,423
 
Other
   
967,007
     
     
     
967,007
     
908,122
 
Total finance lease obligations
   
5,830,435
     
--
     
     
5,830,435
     
5,309,545
 
Less: Current portion
   
503,983
     
     
     
503,983
     
502,166
 
Finance lease obligations, net of current  portion
 
Ps.
5,326,452
   
Ps.
   
Ps.
   
Ps.
5,326,452
   
Ps.
4,807,379
 
                                         

(1)
These Senior Notes are unsecured obligations of the Company, rank equally in right of payment with all existing and future unsecured and unsubordinated indebtedness of the Company, and are junior in right of payment to all of the existing and future liabilities of the Company's subsidiaries. Interest on the Senior Notes due 2018, 2025, 2032, 2037, 2040, 2043 and 2045, including additional amounts payable in respect of certain Mexican withholding taxes, is 6.31%, 6.97%, 8.94%, 8.93%, 6.97%, 7.62% and 5.26% per annum, respectively, and is payable semi-annually. These Senior Notes may not be redeemed prior to maturity, except (i) in the event of certain changes in law affecting the Mexican withholding tax treatment of certain payments on the securities, in which case the securities will be redeemable, as a whole but not in part, at the option of the Company; and (ii) in the event of a change of control, in which case the company may be required to redeem the securities at 101% of their principal amount. Also, the Company may, at its own option, redeem the Senior Notes due 2018, 2025, 2037, 2040 and 2043, in whole or in part, at any time at a redemption price equal to the greater of the principal amount of these Senior Notes or the present value of future cash flows, at the redemption date, of principal and interest amounts of the Senior Notes discounted at a fixed rate of comparable U.S. or Mexican sovereign bonds. The agreement of these Senior Notes contains covenants that limit the ability of the Company and certain restricted subsidiaries engaged in the Group's content segment, to incur or assume liens, perform sale and leaseback transactions, and consummate certain mergers, consolidations and similar transactions. The Senior Notes due 2018, 2025, 2032, 2037, 2040 and 2045 are registered with the U.S. Securities and Exchange Commission ("SEC"). The Senior Notes due 2043 are registered with both the U.S. SEC and the Mexican Banking and Securities Commission ("Comisión Nacional Bancaria y de Valores" or "CNBV").
(2)
Interest on these Notes ("Certificados Bursátiles") is payable semi-annually for Notes due 2020 and every 28 days for Notes due 2021 and 2022. The Company may, at its own option, redeem the Notes due 2020, in whole or in part, at any semi-annual interest payment date at a redemption price equal to the greater of the principal amount of the outstanding notes and the present value of future cash flows, at the redemption date, of principal and interest amounts of the Notes discounted at a fixed rate of comparable Mexican sovereign bonds. The company may, at its own option, redeem the Notes due 2021 and 2022, in whole or in part, at any date at a redemption price equal to the greater of the principal amount of the outstanding notes and an average price calculated from prices to be provided at the redemption date by two Mexican financial pricing companies. The agreement of these Notes contains covenants that limit the ability of the Company and certain restricted subsidiaries appointed by the Company's board of directors, and engaged in the Group's content segment, to incur or assume liens, perform sale and leaseback transactions, and consummate certain mergers, consolidations and similar transactions.
(3)
Total debt is presented net of unamortized finance costs as of September 30, 2015 and December 31, 2014, in the aggregate amount of Ps.1,216,776 and Ps.1,268,856, respectively, and includes interest payable in the aggregate amount of Ps.1,345,957 and Ps.974,904 as of September 30, 2015 and December 31, 2014, respectively.

In January 2015, the Group prepaid the principal amount and related accrued interest of a peso-denominated long-term bank loan previously entered into by Telecable, the telecommunications company acquired by the Group in January 2015, in the aggregate amount of Ps.507,362. This prepayment was funded primarily with cash provided by a long-term bank loan arranged by the Company with a Mexican bank in the principal amount of Ps.500,000, with a maturity in 2016, and annual interest of the 28-day interbank equilibrium interest rate ("Tasa de Interés Interbancaria de Equilibrio" or "TIIE") plus a range between 0 and 80 basis points.

In May 2015, the Company concluded an offering of Ps.5,000,000 aggregate principal amount of local bonds ("Certificados Bursátiles") due 2022 with an annual interest rate of the 28-day TIIE plus 35 basis points, which was registered with the CNBV.

During the first half of 2015, TVI refinanced an outstanding long-term loan in the principal amount of Ps.722,020, with an original maturity in 2016, and incurred additional long-term debt in the aggregate principal amount of Ps.750,000. The refinanced and additional long-term debt of TVI matures in 2019 (Ps.250,000), 2020 (Ps.250,000) and 2022 (Ps.972,020) with an annual interest rate of the 28-day TIIE plus a range between 130 and 140 basis points, which is payable on a monthly basis.

In June 2015, the Company and Sky prepaid peso-denominated long-term bank loans in the aggregate principal amount of Ps.1,600,000 and Ps.3,500,000, respectively, with original principal maturities between 2016 and 2021. The aggregate amount paid by the Company and Sky amounted to Ps.1,814,312 and Ps.3,651,712, respectively, which included related accrued interest, the settlement of a related derivative contract, and fees. The prepayment of Sky was funded primarily by a long-term loan made by the Company in the principal amount of Ps.3,500,000, with a maturity in 2022, and an annual interest rate of 7.38%, which is payable on a monthly basis.

 
9. Financial Instruments
 
The Group's financial instruments presented in the condensed consolidated statements of financial position included cash and cash equivalents; temporary investments; accounts and notes receivable; a long-term loan receivable from GTAC; Convertible Debentures issued by UHI with an option to convert these debentures into common stock of UHI, which were converted in July 2015 into Warrants that are exercisable for UHI's common stock; debt securities classified as held-to-maturity investments; investments in securities in the form of an open-ended fund classified as available-for-sale investments; accounts payable; debt; and derivative financial instruments. For cash and cash equivalents, temporary investments, accounts receivable, accounts payable, and short-term notes payable due to banks and other financial institutions, the carrying amounts approximate fair value due to the short maturity of these instruments. The fair value of the Group's long-term debt securities are based on quoted market prices.

The fair value of the long-term loans that the Group borrowed from leading Mexican banks (see Note 8) has been estimated using the borrowing rates currently available to the Group for bank loans with similar terms and average maturities. The fair value of held-to-maturity securities, available-for-sale investments, and currency option and interest rate swap agreements were determined by using valuation techniques that maximize the use of observable market data.

The carrying and estimated fair values of the Group's non-derivative financial instruments as of September 30, 2015 and December 31, 2014, were as follows:

   
September 30, 2015
   
December 31, 2014
 
   
Carrying Value
   
Fair Value
   
Carrying Value
   
Fair Value
 
Assets:
               
                 
Temporary investments
 
Ps.
4,976,959
   
Ps.
4,976,959
   
Ps.
4,788,585
   
Ps.
4,788,585
 
Trade notes and accounts receivable, net
   
13,765,865
     
13,765,865
     
21,087,163
     
21,087,163
 
Convertible Debentures due 2025 issued by UHI (see Note 4)
   
-
     
-
     
10,421,478
     
10,421,478
 
Embedded derivative in Convertible Debentures issued by UHI (see Note 4)
   
-
     
-
     
17,447,857
     
17,447,857
 
Warrants issued by UHI
   
31,271,573
     
31,271,573
     
-
     
-
 
Long-term loan and interest receivable from GTAC (see Note 5)
   
641,684
     
643,442
     
677,315
     
675,198
 
Held-to-maturity investments (see Note 4)
   
347,399
     
347,449
     
461,047
     
460,236
 
Shares of common stock of Imagina (see Note 4)
   
-
     
-
     
836,037
     
836,037
 
Available-for-sale investments (see Note 4)
   
5,822,947
     
5,822,947
     
5,511,768
     
5,511,768
 
                                 
Liabilities:
                               
                                 
Senior Notes due  2018, 2025, 2032 and 2040
 
Ps.
33,863,800
   
Ps.
39,160,115
   
Ps.
29,522,600
   
Ps.
36,225,101
 
Senior Notes due 2045
   
16,931,900
     
15,043,147
     
14,761,300
     
15,015,785
 
Senior Notes due 2037 and 2043
   
11,000,000
     
9,679,905
     
11,000,000
     
10,283,880
 
Notes due 2020
   
10,000,000
     
10,515,900
     
10,000,000
     
10,469,000
 
Notes due 2021
   
6,000,000
     
6,013,320
     
6,000,000
     
6,012,300
 
Notes due 2022
   
5,000,000
     
4,991,100
     
-
     
-
 
Short-term loans and long-term notes payable to Mexican banks
   
7,239,937
     
7,314,668
     
10,982,607
     
11,413,185
 
Finance lease obligations
   
5,830,435
     
5,034,782
     
5,236,046
     
4,920,298
 

The carrying values (based on estimated fair values), notional amounts, and maturity dates of the Group's derivative financial instruments as of September 30, 2015 and December 31, 2014, were as follows:
September 30, 2015:
             
Derivative Financial Instruments
 
Carrying Value
   
Notional Amount
(U.S. Dollars in Thousands)
 
Maturity Date
 
Assets:
             
Derivatives not recorded as accounting hedges:
             
Options
 
Ps.
626
   
Ps. 
U.S.15,000
 
November 2015
 
Total assets
 
Ps.
626
              
                        
Liabilities:
                     
Derivatives not recorded as accounting hedges:
                     
TVI's interest rate swap
   
10,545
   
Ps.
2,068,787
 
February 2016 and May 2022
 
Derivatives recorded as accounting hedges (cash flow hedges):
                     
Interest rate swap
   
133,040
   
Ps.
2,500,000
 
March 2018
 
Interest rate swap
   
110,591
   
Ps.
6,000,000
 
April 2021
 
Interest rate swap
   
4,732
   
Ps.
1,000,000
 
May 2022
 
Total liabilities
 
Ps.
258,908
              
                        
                        
December 31, 2014:
                     
Derivative Financial Instruments
 
Carrying Value
   
Notional Amount
(U.S. Dollars in Thousands)
 
Maturity Date
 
Assets:
                     
Derivatives not recorded as accounting hedges:
                     
Options
 
Ps.
2,894
   
Ps. 
U.S.135,000
 
November 2015
 
Total assets
 
Ps.
2,894
              
                        
Liabilities:
                     
Derivatives not recorded as accounting hedges:
                     
Sky's interest rate swap
 
Ps.
79,939
   
Ps.
1,400,000
 
April 2016
 
TVI's interest rate swap
   
10,376
   
Ps.
1,567,607
 
February 2016 and July 2019
 
Derivatives recorded as accounting hedges (cash flow hedges):
                     
Interest rate swap
   
175,025
   
Ps.
2,500,000
 
March 2018
 
Interest rate swap
   
69,762
   
Ps.
3,000,000
 
April 2021
 
Total liabilities
 
Ps.
335,102
              
 
10. Capital Stock, Stock Purchase Plan and Long-term Retention Plan

At September 30, 2015, shares of capital stock and CPOs consisted of (in millions):


 
Authorized and Issued (1)
Held by a Company's Trust(2)
Outstanding
Series "A" Shares
123,273.9
(7,866.3)
115,407.6
Series "B" Shares
58,982.9
(5,643.8)
53,339.1
Series "D" Shares
90,086.5
(5,228.9)
84,857.6
Series "L" Shares
90,086.5
(5,228.9)
84,857.6
Total
362,429.8
(23,967.9)
338,461.9
Shares in the form of CPOs
301,145.5
(17,479.6)
283,665.9
Shares not in the form of CPOs
61,284.3
(6,488.3)
54,796.0
Total
362,429.8
(23,967.9)
338,461.9
CPOs
2,573.9
(149.4)
2,424.5

(1)
As of September 30, 2015, the authorized and issued capital stock amounted to Ps.4,978,126 (nominal Ps.2,494,410).
(2)
In connection with the Company's Stock Purchase Plan and Long-Term Retention Plan.

A reconciliation of the number of shares and CPOs outstanding for the nine months ended September 30, 2015 and 2014, is presented as follows (in millions):
 
 
Series "A" Shares
Series "B" Shares
Series "D" Shares
Series "L" Shares
Shares Outstanding
CPOs Outstanding
As of January 1, 2015
115,036.5
53,330.9
84,844.4
84,844.4
 338,056.2
2,424.1
Acquired by a Company's trust
(518.7)
(456.5)
(726.1)
(726.1)
(2,427.4)
(20.7)
Released by the stock plan
889.8
464.7
739.3
739.3
2,833.1
21.1
As of September 30, 2015
115,407.6
53,339.1
84,857.6
84,857.6
338,461.9
2,424.5
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Series "A" Shares
Series "B" Shares
Series "D" Shares
Series "L" Shares
Shares Outstanding
CPOs Outstanding
As of January 1, 2014
114,197.5
52,920.5
84,191.5
84,191.5
335,501.0
2,405.5
Acquired by a Company's trust
(3.4)
(3.0)
(4.7)
(4.7)
(15.8)
(0.1)
Repurchased by the Company
-
 
-
-
-
-
Released by the stock plan
910.1
473.0
752.5
752.5
2,888.1
21.5
As of September 30, 2014
115,104.2
53,390.5
84,939.3
84,939.3
338,373.3
2,426.9
 
 

Series "A" Shares
Series "B" Shares
Series "D" Shares
Series "L" Shares
Shares Outstanding
CPOs Outstanding
As of January 1, 2015
115,036.5
53,330.9
84,844.4
84,844.4
 338,056.2
2,424.1
  Acquired by a Company's trust
(518.7)
(456.5)
(726.1)
(726.1)
(2,427.4)
(20.7)
  Released by the stock plan
889.8
464.7
739.3
739.3
2,833.1
21.1
As of September 30, 2015
115,407.6
53,339.1
84,857.6
84,857.6
338,461.9
2,424.5
             
             
 
Series "A" Shares
Series "B" Shares
Series "D" Shares
Series "L" Shares
Shares Outstanding
CPOs Outstanding
As of January 1, 2014
114,197.5
52,920.5
84,191.5
84,191.5
335,501.0
2,405.5
  Acquired by a Company's trust
(3.4)
(3.0)
(4.7)
(4.7)
(15.8)
(0.1)
  Repurchased by the Company
-
 
-
-
-
-
  Released by the stock plan
910.1
473.0
752.5
752.5
2,888.1
21.5
As of September 30, 2014
115,104.2
53,390.5
84,939.3
84,939.3
338,373.3
2,426.9

 
Stock Purchase Plan and Long-term Retention Plan

During the nine months ended September 30, 2015, the trust for the Long-term Retention Plan (i) acquired 2,427.5 million shares of the Company, in the form of 20.7 million CPOs, in the amount of Ps.2,184,345; and (ii) released 2,471.4 million shares in the form of 21.1 million CPOs, and 361.7 million Series "A" Shares, in the aggregate amount of Ps.848,883, in connection with the Long-term Retention Plan.

The Group accrued in equity attributable to stockholders of the Company a share-based compensation expense of Ps.863,234 for the nine months ended September 30, 2015, which amount was reflected in consolidated operating income as administrative expense.


11. Retained Earnings

As of September 30, 2015 and December 31, 2014, the Company's legal reserve amounted to Ps.2,139,007, and was classified into retained earnings in equity attributable to stockholders of the Company.

In April 2015, the Company's stockholders approved the payment of a dividend of Ps.0.35 per CPO and Ps.0.002991452991 per share of Series "A", "B", "D" and "L", not in the form of a CPO, which was paid in cash in June 2015 in the aggregate amount of Ps.1,084,192.


12. Transactions with Related Parties

The balances of receivables and payables between the Group and related parties as of September 30, 2015 and December 31, 2014, were as follows:
 
   
September 30, 2015
   
December 31, 2014
 
Current receivables:
       
UHI, including Univision
 
Ps.
-
   
Ps.
535,661
 
Grupo TV Promo, S.A. de C.V.
   
-
     
201,060
 
GSF, including Iusacell
   
-
     
57,703
 
Other
   
99,903
     
108,828
 
   
Ps.
99,903
   
Ps.
903,252
 
                 
Current payables:
               
UHI, including Univision
 
Ps.
364,370
   
Ps.
-
 
DirecTV Group, Inc.
   
118,769
     
289,900
 
Other
   
2,408
     
8,564
 
   
Ps.
485,547
   
Ps.
298,464
 

        In the nine months ended September 30, 2015 and 2014, royalty revenue from Univision amounted to Ps.3,626,107 and Ps.3,105,373, respectively, and interest income from UHI amounted to Ps.142,010 and Ps.165,985, respectively.

In March 2015, the Group recognized in consolidated other income, net, a non-recurring income from Univision in the amount of U.S.$67.6 million (Ps.1,038,314), as a result of the early termination of a technical assistance agreement with Univision.

In July 2015, the Group recognized in consolidated other finance income, net, a cash amount of U.S.$135.1 million (Ps.2,194,981) paid by UHI as a consideration for the conversion of the Group's former investment in Debentures into Warrants that are exercisable for UHI's common stock (see Notes 3 and 4).

13. Finance Income (Expense)

Finance income (expense) for the nine months ended September 30, 2015 and 2014, included:
 
   
2015
   
2014
 
Interest expense
 
Ps.
(4,565,509
)
 
Ps.
(4,056,896
)
Foreign exchange loss, net
   
(1,967,630
)
   
(365,988
)
Finance expense
   
(6,533,139
)
   
(4,422,884
)
Interest income (2)
   
766,191
     
891,944
 
Other finance income, net (1)
   
7,591,074
     
738,756
 
Finance income
   
8,357,265
     
1,630,700
 
Finance income (expense), net
 
Ps.
1,824,126
   
Ps.
(2,792,184
)

(1)
This line item included a cash amount of U.S.$135.1 million (Ps.2,194,981) received as a consideration for the conversion of Debentures issued by UHI into Warrants that are exercisable for UHI's common stock, and a Ps.4,718,175 reclassification from accumulated other comprehensive income in consolidated equity in connection with a cumulative gain related to changes in fair value of such debentures, for the nine months ended September 30, 2015. It also included a gain in change of fair value from an embedded derivative in a host contract related to the Group's former investment in Convertible Debentures issued by UHI in the amount of Ps.409,196 and Ps.880,938 for the nine months ended September 30, 2015 and 2014, respectively.
(2)
This line item included interest income from the Group's investment in Debentures issued by UHI in the aggregate amount of Ps.142,010 for the nine months ended September 30, 2015, and interest income from the Group's investments in Convertible Debentures issued by UHI and Ares in the aggregate amount of Ps.387,977 for the nine months ended September 30, 2014.


14. Income Taxes

Income taxes in the interim periods are accrued using the income tax rate that would be applicable to expected total annual earnings.

The analysis of deferred tax assets and liabilities is as follows:
   
September 30, 2015
   
December 31, 2014
 
Deferred tax assets:
       
Deferred tax assets to be recovered after more than 12 months
 
Ps.
10,000,572
   
Ps.
10,000,572
 
Deferred tax assets to be recovered within 12 months
   
3,673,866
     
3,906,937
 
                 
Deferred tax liabilities:
               
Deferred tax liabilities to be paid after more than 12 months
   
(5,099,941
)
   
(5,485,297
)
Deferred tax liabilities to be paid within 12 months
   
(9,980
)
   
(104,944
)
Deferred tax assets, net
 
Ps.
8,564,517
   
Ps.
8,317,268
 

 
The deferred taxes as of September 30, 2015 and December 31, 2014, were principally derived from the following temporary differences:
 
   
September 30, 2015
   
December 31, 2014
 
Assets:
       
Accrued liabilities
 
Ps.
1,384,681
   
Ps.
1,284,458
 
Allowance for doubtful accounts
   
917,269
     
917,269
 
Customer advances
   
2,028,766
     
2,186,836
 
Prepaid expenses and other items
   
458,276
     
297,836
 
Liabilities:
               
Investments
   
(358,033
)
   
(443,538
)
Property, plant and equipment, net
   
(149,173
)
   
(202,002
)
Derivative financial instruments
   
(22,571
)
   
(152,491
)
Intangible assets and transmission rights
   
(3,084,727
)
   
(2,961,129
)
Deferred income taxes of Mexican companies
   
1,174,488
     
927,239
 
Deferred income taxes of foreign subsidiaries
   
200,410
     
200,410
 
Asset tax
   
435,265
     
435,265
 
Tax loss carryforwards
   
6,754,354
     
6,754,354
 
Deferred income tax asset, net
 
Ps.
8,564,517
   
Ps.
8,317,268
 


15. Earnings per CPO/Share

At September 30, 2015 and 2014 the weighted average of outstanding total shares, CPOs and Series "A", Series "B", Series "D" and Series "L" Shares (not in the form of CPO units), was as follows (in thousands):

   
September 30, 2015
   
September 30, 2014
 
Total Shares
   
338,231,205
     
337,316,998
 
CPOs
   
2,423,656
     
2,418,968
 
Shares not in the form of CPO units:
               
Series "A" Shares
   
54,662,750
     
54,297,042
 
Series "B" Shares
   
187
     
187
 
Series "D" Shares
   
239
     
239
 
Series "L" Shares
   
239
     
239
 

Basic earnings per CPO and per each Series "A", Series "B", Series "D" and Series "L" Share (not in the form of a CPO unit) for the nine months ended September 30, 2015 and 2014, are presented as follows:

   
2015
   
2014
 
   
Per CPO
   
Per Each Series "A", "B", "D" and "L" Share
   
Per CPO
   
Per Each Series "A", "B", "D" and "L" Share
 
Net income attributable to stockholders of the Company
 
Ps.
3.23
   
Ps.
0.03
   
Ps.
1.00
   
Ps.
0.01
 

Diluted earnings per CPO and per Share attributable to stockholders of the Company:

   
September 30, 2015
   
September 30, 2014
 
Total Shares
   
362,429,887
     
362,429,887
 
CPOs
   
2,573,894
     
2,573,894
 
Shares not in the form of CPO units:
               
Series "A" Shares
   
58,926,613
     
58,926,613
 
Series "B" Shares
   
2,357,208
     
2,357,208
 
Series "D" Shares
   
239
     
239
 
Series "L" Shares
   
239
     
239
 


Diluted earnings per CPO and per each Series "A", Series "B", Series "D" and Series "L" Share (not in the form of a CPO unit) for the nine months ended September 30, 2015 and 2014, are presented as follows:


   
2015
   
2014
 
   
Per CPO
   
Per Each Series "A", "B", "D" and "L" Share
   
Per CPO
   
Per Each Series "A", "B", "D" and "L" Share
 
Net income attributable to stockholders of the Company
 
$
3.01
   
$
0.03
   
$
0.93
   
$
0.01
 



16. Segment Information

The table below presents information by segment and a reconciliation to consolidated total for the nine months ended September 30:

   
Total Revenues
   
Intersegment Revenues
   
Consolidated Revenues
   
Segment Income
 
September 30, 2015:
 
Content
 
Ps.
23,569,178
   
Ps.
916,476
   
Ps.
22,652,702
   
Ps.
10,009,183
 
Sky
   
14,241,034
     
89,145
     
14,151,889
     
6,755,189
 
Telecommunications (1)
   
20,918,369
     
109,706
     
20,808,663
     
8,395,415
 
Other Businesses
   
5,823,873
     
336,426
     
5,487,447
     
608,908
 
Segment totals
   
64,552,454
     
1,451,753
     
63,100,701
     
25,768,695
 
Reconciliation to consolidated amounts:
 
Eliminations and corporate expenses
   
(1,451,753
)
   
(1,451,753
)
   
-
     
(1,420,971
)
Depreciation and amortization expense
   
-
     
-
     
-
     
(10,739,823
)
Consolidated total before other income, net
   
63,100,701
     
-
     
63,100,701
     
13,607,901
(2) 
Other income, net
   
-
     
-
     
-
     
34,958
 
Consolidated total
 
Ps.
63,100,701
   
Ps.
-
   
Ps.
63,100,701
   
Ps.
13,642,859
(3) 


 

      Total Revenues         Intersegment Revenues        Consolidated Revenues        Segment Income  
September 30, 2014:
                               
Content
 
Ps.
23,739,191
   
Ps.
785,520
   
Ps.
22,953,671
   
Ps.
10,399,716
 
Sky
   
13,009,152
     
10,619
     
12,998,533
     
6,166,605
 
Telecommunications
   
14,709,448
     
88,342
     
14,621,106
     
5,387,029
 
Other Businesses
   
5,670,925
     
146,088
     
5,524,837
     
454,227
 
Segment totals
   
57,128,716
     
1,030,569
     
56,098,147
     
22,407,577
 
Reconciliation to consolidated amounts:
 
Eliminations and corporate expenses
   
(1,030,569
)
   
(1,030,569
)
   
-
     
(1,056,754
)
Depreciation and amortization expense
   
-
     
-
     
-
     
(8,181,297
)
Consolidated total before other expense, net
   
56,098,147
     
-
     
56,098,147
     
13,169,526
(2) 
Other expense, net
   
-
     
-
     
-
     
(4,759,838
)
Consolidated total
 
Ps.
56,098,147
   
Ps.
-
   
Ps.
56,098,147
   
Ps.
8,409,688
(3) 

(1)
Cablecom and Telecable contributed total revenues and segment income to the Group's Telecommunications segment for the nine months ended September 30, 2015, in the aggregate amount of Ps.4,776,077 and Ps.2,297,849, respectively, as the Group began to consolidate the Cablecom and Telecable results of operations beginning in September 2014 and January 2015, respectively (see Note 3).
(2)
Consolidated total represents income before other income (expense).
(3)
Consolidated total represents consolidated operating income.

Seasonality of Operations

The Group's results of operations are seasonal. The Group typically recognizes a large percentage of its consolidated net sales (principally advertising) in the fourth quarter in connection with the holiday shopping season. In 2014 and 2013, the Group recognized 30.0% and 29.1%, respectively, of its annual consolidated net sales in the fourth quarter of the year. The Group's costs, in contrast to its revenues, are more evenly incurred throughout the year and generally do not correlate to the amount of advertising sales.

The consolidates net income attributable to stockholders of the company for each of the four quarters in the period ended September 30, 2015, is presented as follows:

Quarter
Quarter
 
Accumulated
4th / 14
 Ps.
2,504,254
 
 Ps.
5,386,905
1st / 14
 
1,453,445
 
 
1,453,445
2nd / 15
 
1,328,732
 
 
2,782,177
3rd / 15
 
6,545,753
   
9,327,930


17. Contingencies

In March 2015, the investigative authority of the IFT issued a preliminary opinion that presumed the probable existence of substantial power in the market of restricted television and audio services in Mexico, with respect to the Company and certain of its subsidiaries. On September 30, 2015, the Governing Board of the IFT determined that the Group does not have substantial power in such market. Although this resolution is final at the administrative level, the Company's management cannot guarantee this resolution may not be challenged and whether such challenge may stand on its merits.

There are several legal actions and claims pending against the Group which are filed in the ordinary course of business. In the opinion of the Company's management, none of these actions and claims is expected to have a material adverse effect on the Group's financial statements as a whole; however, the Company's management is unable to predict the outcome of any of these legal actions and claims.




INVESTMENTS IN ASSOCIATES AND JOINT VENTURES
(THOUSANDS OF MEXICAN PESOS)
CONSOLIDATED
Final Printing
 
COMPANY NAME
MAIN ACTIVITIES
NUMBER OF SHARES
% OWNERSHIP
TOTAL AMOUNT
(Thousands of Mexican Pesos)
ACQUISITION COST
BOOK VALUE
 
 
 
       
ARGOS COMUNICACION, S.A. DE C.V.
PRODUCTION OF T.V. PROGRAMS BROADCASTING OF T.V.
34,151,934
33.00
141,932
58,856
             
UNIVISION HOLDINGS, INC
PROMOTION AND/OR DEVELOPMENT OF ENTERTAINMENT COMPANIES
1,110,382
10.03
4,280,342
5,510,193
             
IMAGINA MEDIA AUDIOVISUAL, S.L.  
PRODUCTION AND COMMERCIALIZATION OF TELEVISION PROGRAMMING
76,196,993
19.89
1,689,782
1,689,782
             
EDITORIAL CLIO, LIBROS Y VIDEOS, S.A. DE C.V.
PUBLISHING AND PRINTING OF BOOKS AND MAGAZINES
3,227,050
30.00
32,270
8,627
             
ENDEMOL MEXICO, S.A. DE C.V.
PRODUCTION AND COMMERCIALIZATION OF TELEVISION PROGRAMMING
25,000
50.00
25
199
             
GRUPO DE TELECOMUNICACIONES DE ALTA CAPACIDAD, S.A.P.I. DE C.V.
TELECOM
54,666,667
33.33
54,667
538,523
             
OCESA ENTRETENIMIENTO,  S.A. DE C.V.
LIVE ENTERTAINMENT IN MEXICO
14,100,000
40.00
1,062,811
920,813
             
8
OLLIN VFX, S.A.P.I. DE C.V.
TELEVISION AND CINEMA PRODUCTION
34
25.37
13,333
13,333
             
T&V S.A.S.
PRODUCTION AND COMMERCIALIZATION OF TELEVISION PROGRAMMING
1,849
49.97
312
312
             
10
TELEVISA, CJ, GRAND, S.A. DE C.V.
DIRECT SALES BY T.V.
10
50
108,750
83,907
 
 
 
       
 
TOTAL INVESTMENT IN ASSOCIATES
 
   
7,384,224
8,824,545
 
 
 
       


OBSERVATIONS:


 
CREDITS BREAKDOWN
(THOUSANDS OF MEXICAN PESOS)
CONSOLIDATED
Final Printing
CREDIT TYPE / INSTITUTION 
FOREIGN
INSTITUTION (YES/NOT)
DATE OF CONTRACT 
AMORTIZATION DATE
INTEREST RATE  
AMORTIZATION OF CREDITS DENOMINATED IN PESOS
AMORTIZATION OF CREDITS IN FOREIGN CURRENCY
TIME INTERVAL
TIME INTERVAL
CURRENT YEAR
UNTIL 1 YEAR
UNTIL 2 YEAR
UNTIL 3 YEAR
UNTIL 4 YEAR
UNTIL 5 YEAR
CURRENT YEAR
UNTIL 1 YEAR
UNTIL 2 YEAR
UNTIL 3 YEAR
UNTIL 4 YEAR
UNTIL 5 YEAR
BANKS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
FOREIGN TRADE
 
 
 
 
                       
SECURED
 
 
 
 
                       
COMMERCIAL BANKS
 
 
 
 
                       
HSBC MÉXICO, S.A.
NO
3/28/2011
3/30/2018
TIIE+117.5
 
624,421
1,249,132
624,132
               
AF BANREGIO, S.A. DE C.V.
NO
10/4/2012
10/2/2017
TIIE+2.50
2,400
7,200
9,075
9,325
               
HSBC MÉXICO, S.A.
NO
5/29/2013
5/29/2019
TIIE+1.70
16,146
47,474
64,796
64,796
212,249
             
HSBC MÉXICO, S.A.
NO
7/4/2014
7/4/2019
TIIE+1.40
       
299,164
             
BANCO SANTANDER, S.A
NO
9/29/2014
9/29/2016
TIIE+.70
 
1,780,966
                   
BANCO SANTANDER, S.A
NO
1/30/2015
9/29/2016
TIIE+.35
 
499,684
                   
BANCO SANTANDER, S.A
NO
5/8/2015
5/7/2020
TIIE+1.30
         
249,570
           
BANCO SANTANDER, S.A
NO
1/8/2015
9/10/2019
TIIE+1.40
       
249,383
             
BANCO MERCANTIL DEL NORTE, S.A
NO
5/15/2015
4/30/2022
TIIE+1.30
   
70,763
169,830
169,830
809,624
           
OTHER
 
 
 
 
                       
TOTAL BANKS
 
 
 
 
18,546
2,959,745
1,393,766
868,083
930,626
1,059,194
0
0
0
0
0
0
STOCK MARKET
 
 
 
 
                       
LISTED STOCK EXCHANGE
 
 
 
 
                       
UNSECURED
 
 
 
 
                       
SENIOR NOTES
YES
5/9/2007
5/11/2037
8.93
         
4,484,291
           
NOTES
NO
10/14/2010
10/1/2020
7.38
         
9,964,146
           
SENIOR NOTES
YES
5/14/2013
5/14/2043
7.62
         
6,434,475
           
NOTES
NO
4/7/2014
4/1/2021
TIIE+.35
         
5,988,449
           
NOTES
NO
5/11/2015
5/2/2022
TIIE+.35
         
4,988,510
           
SENIOR NOTES
YES
5/6/2008
5/15/2018
6.31
                 
8,448,048
   
SENIOR NOTES
YES
3/18/2005
3/18/2025
6.97
                     
9,795,200
SENIOR NOTES
YES
3/11/2002
3/11/2032
8.94
                     
5,050,427
SENIOR NOTES
YES
11/23/2009
1/15/2040
6.97
                     
10,005,217
SENIOR NOTES
YES
5/13/2014
5/13/2045
5.26
                     
16,430,138
SECURED
 
 
 
 
0
0
0
0
0
31,859,871
0
0
0
8,448,048
0
41,280,982
PRIVATE PLACEMENTS
 
 
 
 
                       
UNSECURED
 
 
 
 
                       
SECURED
 
 
 
 
                       
TOTAL STOCK MARKET
 
 
 
 
                       
OTHER CURRENT AND NON-CURRENT LIABILITIES
WITH COST
 
 
 
 
                       
CSI LEASING MÉXICO, S. DE R.L. DE C.V.
NO
12/1/2011
10/1/2015
 
249
                     
GRUPO DE TELECOMUNICACIONES DE ALTA CAPACIDAD
NO
8/1/2012
7/1/2020
 
 
97,384
87,056
88,359
90,088
92,193
           
GE CAPITAL CFE MEXICO,  S. DE R.L. DE C.V.
NO
7/1/2014
8/1/2019
 
6,950
20,931
26,067
25,652
22,140
1,525
           
ALD AUTOMITIVE, S.A. DE C.V.
NO
12/1/2013
12/1/2015
 
2,414
                     
GRUPO DE TELECOMUNICACIONES DE ALTA CAPACIDAD
NO
11/1/2014
11/1/2022
 
336
 
125
127
129
544
           
GE CAPITAL CFE MEXICO,  S. DE R.L. DE C.V.
NO
11/1/2014
7/1/2021
 
5,282
16,424
25,810
15,017
23,527
             
GRUPO DE TELECOMUNICACIONES DE ALTA CAPACIDAD
NO
6/1/2015
1/1/2024
 
5,131
5,440
5,435
6,230
5,775
31,857
           
INTELSAT GLOBAL  SALES & MARKETING, LTD.
YES
10/1/2012
9/1/2027
 
           
64,017
199,192
283,079
304,450
327,433
3,685,257
IP MATRIX, S.A. DE C.V.
YES
11/1/2009
11/1/2015
 
           
847
         
GRUPO DE TELECOMUNICACIONES DE ALTA CAPACIDAD
NO
8/1/2012
7/1/2021
             
24,039
9,970
20,884
24,602
25,566
80,899
GE CAPITAL CFE MEXICO,  S. DE R.L. DE C.V.
NO
5/29/2013
7/1/2017
             
723
3,354
4,181
     
CISCO SYSTEMS CAPITAL CORPORATION
NO
10/10/2012
8/27/2016
             
10,836
21,384
       
GRUPO DE TELECOMUNICACIONES DE ALTA CAPACIDAD
NO
11/1/2014
11/1/2022
             
6,077
3,003
2,633
3,427
3,503
12,882
TOTAL CURRENT AND NON-CURRENT LIABILITIES
WITH COST
 
 
 
 
20,362
140,179
144,493
135,385
141,659
126,119
106,539
236,903
310,777
332,479
356,502
3,779,038
 
 
 
 
 
                       
SUPPLIERS
 
 
 
 
                       
VARIOUS
NO
9/1/2015
9/30/2016
 
 
11,391,894
                   
VARIOUS
YES
9/1/2015
9/30/2016
 
             
6,072,220
       
TOTAL SUPPLIERS
 
 
 
 
0
11,391,894
0
0
0
0
0
6,072,220
0
0
0
0
 
 
 
 
 
                       
OTHER CURRENT AND NON-CURRENT LIABILITIES
 
 
 
 
                       
VARIOUS
NO
 
 
 
 
15,172,183
677
2,875
0
427,733
           
TRANSMISSION RIGHTS
NO
 
 
 
   
138,251
14,563
10,650
62,666
           
CUSTOMER DEPOSITS AND ADVANCES
NO
 
 
 
   
828,282
                 
2010 AND 2014 MEXICAN TAX REFORM
NO
 
 
 
   
801,726
1,457,864
1,404,945
2,566,598
           
DERIVATIVE FINANCIAL INSTRUMENTS
NO
 
 
 
     
133,040
3,610
118,585
           
VARIOUS
YES
 
 
 
             
1,784,688
     
112,674
TRANSMISSION RIGHTS
YES
 
 
 
               
816,534
378,859
207,315
542,840
OTHER CURRENT AND NON-CURRENT LIABILITIES
 
 
 
 
0
15,172,183
1,768,936
1,608,342
1,419,205
3,175,582
0
1,784,688
816,534
378,859
207,315
655,514
 
 
 
 
 
                       
TOTAL
 
 
 
 
38,908
29,664,001
3,307,195
2,611,810
2,491,490
36,220,766
106,539
8,093,811
1,127,311
9,159,386
563,817
45,715,534
 
 
NOTES

  THE EXCHANGE RATES FOR THE CREDITS DENOMINATED  IN FOREIGN CURRENCY WERE AS FOLLOWS:

                                      $      16.9319     PESOS PER U.S. DOLLAR

DOES NOT INCLUDE TAX LIABILITIES PAYABLE IN FOREIGN CURRENCY AND MEXICAN PESOS (REF. 21050000 TAXES PAYABLE) OF PS.154,272 AND PS.2,613,652, RESPECTIVELY, FOR EFFECTS OF VALIDATION OF THE SYSTEM.

BANK LOANS AND SENIOR NOTES ARE PRESENTED NET OF UNAMORTIZED FINANCE COSTS IN THE AGGREGATE AMOUNT OF PS.1,216,776.
 

MONETARY FOREIGN CURRENCY POSITION
(THOUSANDS OF MEXICAN PESOS)
CONSOLIDATED
Final Printing
FOREIGN CURRENCY POSITION (THOUSANDS OF PESOS)
DOLLARS
OTHER CURRENCIES
TOTAL THOUSANDS OF PESOS
THOUSANDS OF DOLLARS
THOUSANDS OF PESOS
THOUSANDS OF DOLLARS
THOUSANDS OF PESOS
 
         
MONETARY ASSETS
3,478,571
58,898,816
180,484
3,055,937
61,954,753
 
         
   CURRENT
1,454,972
24,635,440
116,196
1,967,419
26,602,859
 
         
   NON-CURRENT
2,023,599
34,263,376
64,288
1,088,518
35,351,894
 
         
LIABILITIES POSITION
3,851,495
64,146,459
45,725
774,211
64,920,670
 
         
   CURRENT
453,855
7,684,627
39,570
669,995
8,354,622
 
         
   NON-CURRENT
3,397,640
56,461,832
6,155
104,216
56,566,048
 
         
NET BALANCE
(372,924)
(5,247,643)
134,759
2,281,726
(2,965,917)
 
 
NOTES
 
THE EXCHANGE RATES USED FOR TRANSLATION WERE AS FOLLOWS :
 
 
PS.
16.9319
 
PESOS PER U.S. DOLLAR
   
18.9146
 
PESOS PER EURO
   
12.6884
  PESOS PER CANADIAN DOLLAR
   
1.7975
 
PESOS PER ARGENTINEAN PESO
   
0.5829
 
PESOS PER URUGUAYAN PESO
   
0.0243
 
PESOS PER CHILEAN PESO
   
0.0054
 
PESOS PER COLOMBIAN PESO
   
5.2994
 
PESOS PER PERUVIAN NUEVO SOL
   
17.3801
 
PESOS PER SWISS FRANC
   
2.6876
 
PESOS PER STRONG BOLIVAR
   
4.2457
 
PESOS PER BRAZILIAN REAL
   
25.6001
 
PESOS PER STERLING LIBRA
   
2.6641
 
PESOS PER CHINESE YUAN
   
2.0200
 
PESOS PER SWEDISH KRONA




DEBT INSTRUMENTS
(THOUSANDS OF MEXICAN PESOS)
CONSOLIDATED
Final Printing
 
FINANCIAL RESTRICTIONS OF LONG - TERM DEBT SECURITIES

THE AGREEMENTS OF THE  U.S.$500 MILLION, U.S.$600 MILLION, U.S.$300 MILLION, PS.4,500 MILLION, U.S.$600 MILLION, PS.6,500 MILLION AND U.S.$1,000 MILLION SENIOR NOTES ISSUED BY GRUPO TELEVISA, S.A.B. WITH MATURITY IN 2018, 2025, 2032, 2037, 2040, 2043 AND 2045, RESPECTIVELY, CONTAIN COVENANTS THAT LIMIT THE ABILITY OF THE COMPANY AND CERTAIN RESTRICTED SUBSIDIARIES TO INCUR OR ASSUME LIENS, PERFORM SALE AND LEASEBACK TRANSACTIONS, AND CONSUMMATE CERTAIN MERGERS, CONSOLIDATIONS AND SIMILAR TRANSACTIONS.

THE AGREEMENTS OF NOTES ("CERTIFICADOS BURSÁTILES") DUE 2020, 2021 AND 2022 IN THE AGGREGATE PRINCIPAL AMOUNT OF PS.10,000 MILLION, PS.6,000 MILLION, AND PS.5,000 MILLION, RESPECTIVELY, CONTAINS COVENANTS THAT LIMIT THE ABILITY OF THE COMPANY AND CERTAIN RESTRICTED SUBSIDIARIES TO INCUR OR ASSUME LIENS, PERFORM SALE AND LEASEBACK TRANSACTIONS, AND CONSUMMATE CERTAIN MERGERS, CONSOLIDATIONS AND SIMILAR TRANSACTIONS.

UNDER THE TERMS OF THE AGREEMENTS OF LONG-TERM CREDITS ENTERED INTO BY THE COMPANY WITH A MEXICAN BANK IN THE AGGREGATE PRINCIPAL AMOUNT OF PS.2,500 MILLION, AND MATURITIES BETWEEN 2016 AND 2018, THE COMPANY IS REQUIRED TO (A) MAINTAIN CERTAIN FINANCIAL COVERAGE RATIOS RELATED TO INDEBTEDNESS AND INTEREST EXPENSE; AND (B) COMPLY WITH A RESTRICTIVECOVENANT ON SPIN-OFFS, MERGERS AND SIMILAR TRANSACTIONS.

UNDER THE TERMS OF THE AGREEMENTS OF LONG-TERM CREDITS ENTERED INTO BY A SUBSIDIARY OF THE COMPANY WITH FOUR MEXICAN BANKS FOR  AN AGGREGATE PRINCIPAL AMOUNT OF $2,458 MILLION AS OF SEPTEMBER 30, 2015 AND MATURITIES BETWEEN 2015 AND 2022, THIS SUBSIDIARY IS REQUIRED TO COMPLY WITH CERTAIN FINANCIAL RATIOS AND SOME RESTRICTIVE COVENANTS.

 
 
COMPLIANCE WITH FINANCIAL RESTRICTIONS

AT SEPTEMBER 30, 2015, THE GROUP HAS COMPLIED WITH THE FINANCIAL RESTRICTIONS OF THE CONTRACTS  RELATED TO THE LONG-TERM SENIOR NOTES DESCRIBED ABOVE.
 

 
SALES DISTRIBUTION BY PRODUCT
 
TOTAL SALES
(THOUSANDS OF MEXICAN PESOS)
CONSOLIDATED
Final Printing
MAIN PRODUCTS
NET SALES
MARKET SHARE (%)
MAIN
VOLUME
AMOUNT
TRADEMARKS
CUSTOMERS
DOMESTIC SALES
INTERSEGMENT ELIMINATIONS
 
(1,440,428)
 
 
 
 
   
 
 
 
CONTENT:
   
 
 
 
ADVERTISING
 
14,970,742
 
 
GENOMMA LAB INTERNACIONAL, S.A.B. DE C.V.
 
   
 
 
COMERCIALIZADORA DE LACTEOS Y DERIVADOS, S.A. DE C.V.
 
   
 
 
UNILEVER DE MÉXICO, S. DE R.L. DE C.V.
 
   
 
 
THE CONCENTRATE MANUFACTURING COMPANY OF IRELAND
 
   
 
 
NUEVA WAL MART DE MÉXICO, S. DE R.L. DE C.V.
 
   
 
 
COMPAÑÍA PROCTER & GAMBLE MÉXICO, S. DE R.L. DE C.V.
 
   
 
 
BIMBO, S.A. DE C.V.
 
   
 
 
THE COCA COLA EXPORT CORPORATION SUCURSAL EN MÉXICO
 
   
 
 
ANHEUSER-BUSCH MÉXICO HOLDING, S. DE R.L. DE C.V.
 
   
 
 
MARCAS NESTLÉ, S.A. DE C.V.
NETWORK SUBSCRIPTION REVENUE
 
1,837,489
 
 
MEGA CABLE, S.A. DE C.V.
LICENSING AND SYNDICATIONS
 
562,598
 
 
VARIOUS
 
   
 
 
 
SKY  (INCLUDES LEASING OF SET-TOP
   
 
 
 
EQUIPMENT).
   
 
 
 
DTH BROADCAST SATELLITE
 
12,888,092
 
SKY
SUBSCRIBERS
PAY PER VIEW
 
158,726
 
 
 
CHANNEL COMMERCIALIZATION
 
239,577
 
 
WDC MÉXICO S. DE R.L. DE C.V.
 
   
 
 
 
TELECOMMUNICATIONS (INCLUDES
   
 
 
 
LEASING OF SET-TOP EQUIPMENT):
   
 
 
 
DIGITAL SERVICE
 
9,092,585
 
CABLEVISIÓN, CABLEMÁS, TVI,
SUBSCRIBERS
INTERNET SERVICES
 
5,455,420
 
CABLECOM, IZZI, TELECABLE
 
SERVICE INSTALLATION
 
85,362
 
 
 
PAY PER VIEW
 
38,369
 
 
 
CHANNEL COMMERCIALIZATION
 
405,186
 
 
MULTILMEDIOS S.A. DE C.V.
 
   
 
 
TENEDORA DE CINES, S.A. DE C.V.
 
   
 
 
MEDIA SOLUTIONS DE MONTERREY, S.A. DE C.V.
 
   
 
 
COPPEL, S.A. DE C.V.
TELEPHONY
 
2,361,068
 
 
 
TELECOMMUNICATIONS
 
2,927,056
 
BESTEL Y CABLECOM
SUBSCRIBERS
OTHER
 
204,725
 
 
 
 
   
 
 
 
OTHER BUSINESSES:
   
 
 
 
PUBLISHING:
   
 
 
 
MAGAZINE CIRCULATION
18,635
378,583
 
TV Y NOVELAS MAGAZINE,
GENERAL PUBLIC (AUDIENCE)
 
   
 
MEN´S HEALTH MAGAZINE,
DEALERS
 
   
 
VANIDADES MAGAZINE
COMMERCIAL CENTERS (MALLS)
 
   
 
COSMOPOLITAN MAGAZINE
 
 
   
 
NATIONAL GEOGRAPHIC MAGAZINE
 
 
   
 
AUTOMÓVIL PANAMERICANO MAGAZINE
 
 
   
 
TÚ MAGAZINE
 
 
   
 
SKY VIEW MAGAZINE
 
 
   
 
MUY INTERESANTE MAGAZINE
 
 
   
 
COCINA FÁCIL MAGAZINE
 
ADVERTISING
 
450,400
 
 
FÁBRICAS DE CALZADO ANDREA, S.A. DE C.V.
 
   
 
 
KIMBERLY CLARK DE MÉXICO, S.A.B. DE C.V.
 
   
 
 
DILTEX, S.A. DE C.V.
 
   
 
 
DISTRIBUIDORA LIVERPOOL, S.A. DE C.V.
 
   
 
 
NUEVA WAL MART DE MÉXICO, S. DE R.L. DE C.V.
 
   
 
 
COLGATE PALMOLIVE, S.A. DE C.V.
 
   
 
 
PERFUMERIE VERSAILLES, S.A. DE C.V.
 
   
 
 
MARY KAY COSMETICS DE MÉXICO, S.A. DE C.V.
OTHER INCOME
 
11,134
 
 
VARIOUS
 
   
 
 
 
DISTRIBUTION, RENTALS, AND SALE
   
 
 
 
OF MOVIE RIGHTS
 
346,630
 
 
TENEDORA DE CINES, S.A. DE C.V.
 
   
 
 
OPERADORA DE CINEMAS, S.A. DE C.V.
 
   
 
 
OPERADORA CINEMEX DE MÉXICO, S.A. DE C.V.
 
   
 
 
GRUPO CINEMAS DEL PACIFICO, S.A. DE C.V.
 
   
 
 
AMOR POR EL CINE , S.A. DE C.V.
SPECIAL EVENTS AND SHOW PROMOTION
 
855,388
 
CLUB DE FÚTBOL AMÉRICA
GENERAL PUBLIC (AUDIENCE)
 
   
 
ESTADIO AZTECA
FEDERACIÓN MEXICANA DE FÚTBOL ASOCIACIÓN, A.C.
 
   
 
 
PVH MÉXICO, S.A. DE C.V.
GAMING
 
1,780,586
 
PLAY CITY
GENERAL PUBLIC (AUDIENCE)
 
   
 
MULTIJUEGOS
 
ADVERTISED TIME SOLD IN RADIO
 
537,800
 
 
HAVAS MEDIA, S.A DE C.V.
 
   
 
 
ARENA COMMUNICATIONS, S.A. DE C.V.
 
   
 
 
OPTIMUM MEDIA DIRECTION DE MÉXICO, S.A. DE C.V.
 
   
 
 
IPG MEDIA BRANDS COMMUNICATIONS, S.A. DE C.V.
 
   
 
 
TIENDAS CHEDRAUI, S.A. DE C.V.
PUBLISHING DISTRIBUTION
5,900
159,051
 
HOLA MÉXICO MAGAZINE
VARIOUS
 
   
 
ENTREPRENEUR MAGAZINE
GENERAL PUBLIC (AUDIENCE)
 
   
 
MINIREVISTA MINA MAGAZINE
DEALERS
 
   
 
MONSTER HIGH MAGAZINE
COMMERCIAL CENTERS (MALLS)
 
   
 
GLAMOUR MAGAZINE
 
 
   
 
SELECCIONES MAGAZINE
 
 
   
 
 
 
EXPORT SALES
   
 
 
 
CONTENT:
   
 
 
 
ADVERTISING
 
237,352
 
 
CC MEDIOS Y COMUNICACIONES, C.A.
NETWORK SUBSCRIPTION REVENUE
 
773,032
 
 
INTERESES EN EL ITSMO, S.A.
 
   
 
 
DIRECTV ARGENTINA SOCIEDAD ANÓNIMA
 
   
 
 
GALAXY ENTERTAINMENT DE VZLA, C.A. DIRECTV
 
   
 
 
 
LICENSING AND SYNDICATIONS
 
5,054,070
 
TELEVISA
NETFLIX, INC
 
   
 
TELEVISA
TVSB CANAL 4 DE SAO PAULO, S.A.
 
   
 
TELEVISA
COMPAÑÍA PERUANA DE RADIODIFUSIÓN, S.A.
 
   
 
TELEVISA
RED TELEVISIVA MEGAVISION, S.A.
 
   
 
TELEVISA
RCN TELEVISIÓN, S.A.
OTHER BUSINESSES:
   
 
 
 
SPECIAL EVENTS AND SHOW PROMOTION
 
96,767
 
CLUB AMÉRICA
 
DISTRIBUTION, RENTALS, AND SALE
   
 
 
 
OF MOVIE RIGHTS
 
1,923
 
 
NETFLIX, INC
 
   
 
 
 
SUBSIDIARIES SALES ABROAD
CONTENT:
   
 
 
 
ADVERTISING
 
133,895
 
 
INITIATIVE MEDIA, INC.
 
   
 
 
M PARAMOUNT & TEAM DETROIT
 
   
 
 
GROUP M MATRIX
SKY  (INCLUDES LEASING OF SET-TOP
   
 
 
 
EQUIPMENT).
   
 
 
 
DTH BROADCAST SATELLITE
 
954,639
 
SKY
SUBSCRIBERS
TELECOMMUNICATIONS:
   
 
 
 
TELECOMMUNICATIONS
 
348,598
 
BESTEL
SUBSCRIBERS
 
   
 
 
 
OTHER BUSINESS:
   
 
 
 
PUBLISHING:
   
 
 
 
MAGAZINE CIRCULATION
21,527
451,161
 
T.V. Y NOVELAS MAGAZINE
GENERAL PUBLIC (AUDIENCE)
 
   
 
GENTE MAGAZINE
DEALERS
 
   
 
PAPARAZZI MAGAZINE
COMMERCIAL CENTERS (MALLS)
 
   
 
VANIDADES MAGAZINE
 
 
   
 
COSMOPOLITAN MAGAZINE
 
 
   
 
NATIONAL GEOGRAPHIC MAGAZINE
 
 
   
 
MUY INTERESANTE  MAGAZINE
 
 
   
 
BILINKEN MAGAZINE
 
 
   
 
PARA TI MAGAZINE
 
 
   
 
CONDORITO MAGAZINE
 
ADVERTISING
 
579,746
 
 
MEDIACOM MIAMI
 
   
 
 
MCCANN ERICKSON N.Y.
 
   
 
 
MEDIA PLANNING, S.A.
 
   
 
 
R.C.N. TELEVISIÓN S.A.
PUBLISHING DISTRIBUTION:
2,143
64,682
 
SELECCIONES MAGAZINE
GENERAL PUBLIC (AUDIENCE)
 
   
 
MAGALY TV MAGAZINE
DEALERS
 
   
 
VOGUE MAGAZINE
COMMERCIAL CENTERS (MALLS)
 
   
 
AXXIS MAGAZINE
 
 
   
 
EL CUERPO HUMANO MAGAZINE
 
 
   
 
HISTORIAS NATIONAL GEOGRAPHIC MAGAZINE
 
 
   
 
15 MINUTOS MAGAZINE
 
 
   
 
GLAMOUR MAGAZINE
 
RENTALS OF MOVIE FILMS
 
110,022
 
 
LIONS GATES FILMS, INC.
INTERSEGMENT ELIMINATIONS
 
(11,325)
 
 
 
 
   
 
 
 
TOTAL
48,205
63,100,701
 
 
 
 
 

ANALYSIS OF PAID CAPITAL STOCK
CHARACTERISTIC OF THE SHARES
 
CONSOLIDATED
Final Printing
SERIES
NOMINAL VALUE (PS.)
VALID COUPON
NUMBER OF SHARES
CAPITAL STOCK
FIXED
PORTION
VARIABLE PORTION
MEXICAN
FREE SUBSCRIPTION
FIXED
VARIABLE
A
0.00000
0
115,407,614,192
0
115,407,614,192
0
848,428
0
B
0.00000
0
53,339,082,543
0
53,339,082,543
0
405,948
0
D
0.00000
0
84,857,573,096
0
84,857,573,096
0
620,017
0
L
0.00000
0
84,857,573,096
0
0
84,857,573,096
620,017
0
TOTAL
   
338,461,842,927
0
253,604,269,831
84,857,573,096
2,494,410
0
                 
TOTAL NUMBER OF SHARES REPRESENTING THE PAID CAPITAL STOCK ON THE DATE OF THE INFORMATION :
338,461,842,927
 


NOTES:
THE NUMBER OF OUTSTANDING SHARES PRESENTED IN THE TABLE ABOVE PLUS THE SHARES REPURCHASED REPRESENT THE TOTAL NUMBER OF SHARES ISSUED. SEE NOTE 10 TO CONSOLIDATED FINANCIAL STATEMENTS.
 
 

 
 
FINANCIAL STATEMENT NOTES
 
CONSOLIDATED
Final Printing
 
11060060: AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, INCLUDES TRANSMISSION RIGHTS AND PROGRAMMING FOR PS.5,941,725 AND PS.4,851,722, RESPECTIVELY.

12080050: AS OF SEPTEMBER 30, 2015 AND DECEMBER 31, 2014, INCLUDES TRANSMISSION RIGHTS AND PROGRAMMING FOR PS.8,766,074 AND PS.8,994,398, RESPECTIVELY.

91000010: AT SEPTEMBER 30, 2015 DOESN´T INCLUDE TAX LIABILITIES IN FOREIGN CURRENCY FOR PS.154,272 (SEE ATTACHED BREAKDOWN OF CREDITS).

CUM40180000: THIS INFORMATION IS RELATED TO EARNINGS PER CPO. THE CPOS ARE THE SECURITIES TRADED IN THE MEXICAN STOCK EXCHANGE.

CUM40190000: THIS INFORMATION IS RELATED TO EARNINGS PER DILUTED CPO.

40180000: THIS INFORMATION IS RELATED TO EARNINGS PER CPO. THE CPOS ARE THE SECURITIES TRADED IN THE MEXICAN STOCK EXCHANGE.

40190000: THIS INFORMATION IS RELATED TO EARNINGS PER DILUTED CPO.
 

THE REPORT CONTAINS THE NOTES CORRESPONDING TO THE FINANCIAL STATEMENT AMOUNTS, INCLUDING THEIR BREAKDOWN OF MAIN CONCEPTS AND OTHER CONCEPTS.
 


 
EXHIBIT 1
TO THE ELECTRONIC FORM TITLED "PREPARATION, FILING, DELIVERY AND DISCLOSURE OF QUARTERLY ECONOMIC, ACCOUNTING AND ADMINISTRATIVE INFORMATION BY ISSUERS"

III. QUALITATIVE AND QUANTITATIVE INFORMATION
i.            Management's discussion of the policies concerning the use of financial derivative instruments, and explanation as to whether such policies permit the use of said instruments solely for hedging or also for trading or other purposes. The discussion must include a general description of the objectives sought in the execution of financial derivative transactions; the relevant instruments; the hedging or trading strategies implemented in connection therewith; the relevant trading markets; the eligible counterparties; the policies for the appointment of calculation or valuation agents; the principal terms and conditions of the relevant contracts; the policies as to margins, collateral and lines of credit; the authorization process and levels of authorization required by type of transaction (e.g., full hedging, partial hedging, speculation), stating whether the transactions were previously approved by the committee(s) responsible for the development of corporate and auditing practices; the internal control procedures applicable to the management of the market and liquidity risks associated with the positions; and the existence of an independent third party responsible for the review of such procedures and, as the case may be, the observations raised or deficiencies identified by such third party. If applicable, provide information concerning the composition of the overall risk management committee, its operating rules, and the existence of an overall risk management manual.
Management's discussion of the policies concerning the use of financial derivative instruments, and explanation as to whether such policies permit the use of said instruments solely for hedging or also for trading or other purposes.
In accordance with the policies and procedures implemented by the Vice President of Finance and Risk and the Vice President and Corporate Controller, along with the Vice President of Internal Audit, the Company has entered into certain financial derivative transactions for hedging purposes in both the Mexican and international markets so as to manage its exposure to the market risks associated with the changes in interest and foreign exchange rates and inflation. In addition, the Company's Investments Committee has established guidelines for the investment in structured notes or deposits associated with other derivatives, which by their nature may be considered as derivative transactions for trading purposes. It should be noted that in the third quarter of 2015, no such financial derivatives were outstanding. Pursuant to the provisions of International Financial Reporting Standards Board, certain financial derivative transactions originally intended to serve as a hedge and in effect until September 30th, 2015, are not within the scope of hedge accounting as specified in such Standards and, consequently, are recognized in the accounting based on the provisions included in the aforementioned Standards.
General description of the objectives sought in the execution of financial derivative transactions; the relevant instruments; the hedging or trading strategies implemented in connection therewith; the relevant trading markets; the eligible counterparties; the policies for the appointment of calculation or valuation agents; the principal terms and conditions of the relevant contracts; the policies as to margins, collateral and lines of credit; the authorization process and levels of authorization required by type of transaction (e.g., full hedging, partial hedging, speculation), stating whether the transactions were previously approved by the committee(s) responsible for the development of corporate and auditing practices; the internal control procedures applicable to the management of the market and liquidity risks associated with the positions; and the existence of an independent third party responsible for the review of such procedures and, as the case may be, the observations raised or deficiencies identified by such third party.
The Company's principal objective when entering into financial derivative transactions is to mitigate the effects of unforeseen changes in interest and foreign exchange rates and inflation, so as to reduce the volatility in its results and cash flows as a result of such changes.
The Company monitors its exposure to the interest rate risk by: (i) assessing the difference between the interest rates applicable to its debt and temporary investments, and the prevailing market rates for similar instruments; (ii) reviewing its cash flow requirements and financial ratios (interest coverage); (iii) assessing the actual and budgeted-for trends in the principal markets; and (iv) assessing the prevailing industry practices and other similar companies. This approach enables the Company to determine the optimum mix between fixed- and variable-rate interest for its debt.
Foreign exchange risk is monitored by assessing the Company's monetary position in U.S. dollars and its budgeted cash flow requirements for investments anticipated to be denominated in U.S. dollars and the service of its U.S. dollar-denominated debt.
Financial derivative transactions are reported from time to time to the Audit and Corporate Practices Committee.
The Company has entered into master derivatives agreements with both domestic and foreign financial institutions, that are internationally recognized institutions with which the Company, from time to time, has entered into financial transactions involving corporate and investment banking, as well as treasury services. The form agreement used in connection with financial derivatives transactions with foreign financial institutions is the Master Agreement published by the International Swaps and Derivatives Association, Inc. ("ISDA") and with local institutions is the Master Agreement published by ISDA and in some instances, using the form agreement ISDAmex. In both cases, the main terms and conditions are standard for these types of transactions and include mechanisms for the appointment of calculation or valuation agents.
In addition, the Company enters into standard guaranty agreements that set forth the margins, collateral and lines of credit applicable in each instance. These agreements establish the credit limits granted by the financial institutions with whom the Company enters into master financial derivative agreements, which specify the margin implications in the case of potential negative changes in the market value of its open financial derivative positions. Pursuant to the agreements entered into by the Company, financial institutions are entitled to make margin calls if certain thresholds are exceeded. In the event of a change in the credit rating issued to the Company by a recognized credit rating agency, the credit limit granted by each counterparty would be modified.
As of the date hereof, the Company has never experienced a margin call with respect to its financial derivative transactions.
In compliance with its risk management objectives and hedging strategies, the Company generally utilizes the following financial derivative transactions:
1. Cross-currency interest rate swaps (i.e., coupon swaps);
2. Interest rate and inflation-indexed swaps;
3. Cross-currency principal and interest rate swaps;
4. Swaptions;
5. Forward exchange rate contracts;
6. FX options;
7. Interest Rate Caps and Floors contracts;
8. Fixed-price contracts for the acquisition of government securities (i.e., Treasury locks); and
9. Credit Default Swaps.
The strategies for the acquisition of financial derivatives transactions are approved by the Risk Management Committee in accordance with the Policies and Objectives for the Use of Financial Derivatives.
During the quarter from July to September 2015, there were no defaults or margin calls under the aforementioned financial derivative transactions.
The Company monitors on a weekly basis the flows generated by the fair market value of and the potential for margin calls under its open financial derivative transactions. The calculation or valuation agent designated in the relevant Master Agreement, which is always the counterparty, issues monthly reports as to the fair market value of the Company's open positions.
The Risk Management area is responsible for measuring, at least once a month, the Company's exposure to the financial market risks associated with its financings and investments, and for submitting a report with respect to the Company's risk position and the valuation of its financial derivatives to the Finance Committee on a monthly basis, and to the Risk Management Committee on a quarterly basis. The Company monitors the credit rating assigned to its counterparties in its outstanding financial derivative transactions on a regular basis.
The office of the Comptroller is responsible for the validation of the Company's accounting records as related to its financial derivative transactions, based upon the confirmations received from the relevant financial intermediaries, and for obtaining from such intermediaries, on a monthly basis, confirmations or account statements supporting the market valuation of its open financial derivative positions.
As a part of the yearly audit on the Company, the aforementioned procedures are reviewed by the Company's external auditors. As of the date hereof, the Company's auditors have not raised any observation or identified any deficiency therein.
Information concerning the composition of the overall risk management committee, its operating rules, and the existence of an overall risk management manual.
The Company has a Risk Management Committee, which is responsible for monitoring the Company's risk management activities and approving the hedging strategies used to mitigate the financial market risks to which the Company is exposed. The assessment and hedging of the financial market risks are subject to the policies and procedures applicable to the Company's Risk Management Committee, the Finance and Risk Management areas and the Comptroller that form the Risk Management Manual of the Company. In general terms, the Risk Management Committee is comprised of members of the Corporate Management, Corporate Comptroller, Tax Control and Advice, Information to the Stock Exchange, Finance and Risk, Legal, Administration and Finance, Financial Planning and Corporate Finance areas.
ii.            General description of the valuation methods, indicating whether the instruments are valued at cost or at their fair value pursuant to the applicable accounting principles, the relevant reference valuation methods and techniques, and the events taken into consideration. Describe the policies for and frequency of the valuation, as well as the actions taken in light of the values obtained therefrom. Clarify whether the valuation is performed by an independent third party, and indicate if such third party is the structurer, seller or counterparty of the financial instrument. As with respect to financial derivative transactions for hedging purposes, explain the method used to determine the effectiveness thereof and indicate the level of coverage provided thereby.

The Company values its financial derivative instruments based upon the standard models and calculators provided by recognized market makers. In addition, the Company uses the relevant market variables available from online sources. The financial derivative instruments are valued at a reasonable value pursuant to the applicable accounting provisions.
In the majority of cases, the valuation at a reasonable value is carried out on a monthly basis based on valuations of the counterparties and the verification of such reasonable value with internal valuations prepared by the Risk Management area of the Company. Accounting wise, the valuation of the counterparty is registered.
The Company performs its valuations without the participation of any independent third party.
The method used by the Company to determine the effectiveness of an instrument depends on the hedging strategy and on whether the relevant transaction is intended as a fair-value hedge or a cash-flow hedge. The Company's methods take into consideration the prospective cash flows generated by or the changes in the fair value of the financial derivative, and the cash flows generated by or the changes in the fair value of the underlying position that it seeks to hedge to determine, in each case, the hedging ratio.
iii.            Management's discussion of the internal and external sources of liquidity that could be used to satisfy the Company's requirements in connection with its financial derivatives.

As of the date hereof, the Company's management has not discussed internal and external sources of liquidity so as to satisfy its requirements in connection with its financial derivatives since, based upon the aggregate amount of the Company's financial derivative transactions, management is of the opinion that the Company's significant positions of cash, cash equivalents and temporary investments, and the substantial cash flows generated by the Company, would enable the Company to respond adequately to any such requirements.
iv.            Explanation as to any change in the issuer's exposure to the principal risks identified thereby and in their management, and any contingency or event known to or anticipated by the issuer's management, which could affect any future report. Description of any circumstance or event, such as any change in the value of the underlying assets or reference variables, resulting in a financial derivative being used other than as originally intended, or substantially altering its structure, or resulting in the partial or total loss of the hedge, thereby forcing the Issuer to assume new obligations, commitments or changes in its cash flows in a manner that affects its liquidity (e.g., margin calls). Description of the impact of such financial derivative transactions on the issuer's results or cash flows. Description and number of financial derivatives maturing during the quarter, any closed positions and, if applicable, number and amount of margin calls experienced during the quarter. Disclosure as to any default under the relevant contracts.
Changes in the Company's exposure to the principal risks identified thereby and in their management, and contingencies or events known to or anticipated by the Company's management, which could affect any future report.
Since a significant portion of the Company's debt and costs are denominated in U.S. dollars, while its revenues are primarily denominated in Mexican pesos, depreciation in the value of the Mexican peso against the U.S. dollar and any future depreciation could have a negative effect on the Company's results due to exchange rate losses. However, the significant amount of U.S. dollars in the Company's treasury, and the hedging strategies adopted by the Company in recent years, have enabled it to avoid significant foreign exchange losses.
Circumstances or events, such as changes in the value of the underlying assets or reference variables, resulting in a financial derivative being used other than as originally intended, or substantially altering its structure, or resulting in the partial or total loss of the hedge, thereby forcing the Company to assume new obligations, commitments or changes in its cash flows in a manner that affects its liquidity (e.g., margin calls). Description of the impact of such financial derivative transactions on the Company's results or cash flows.
As of the date hereof, no circumstance or event has given rise to a significant change in the structure of a financial derivative transaction, caused it to be used other than as originally intended, or resulted in a partial or total loss of the relevant hedge requiring that the Company assume new obligations, commitments or variations in its cash flow such that its liquidity is affected.
Description and number of financial derivatives maturing during the quarter, any closed positions and, if applicable, number and amount of margin calls experienced during the quarter. Disclosure as to any default under the relevant contracts.
 
1. During the relevant quarter, three "Knock-out Option Call" agreements through which Televisa hedged against severe Mexican Peso depreciation for a notional amount of U.S.$52,500,000.00 (Fifty Two Million Five Hundred U.S. Dollars 00/100) by paying premiums, expired. These options were entered in December 2012 and expired in July and September 2015, without being exercised by Televisa.

Likewise there were no defaults or margin calls under financial derivative transactions.

v.            Quantitative Information. Attached hereto as Table 1 is a summary of the financial derivative instruments purchased by Televisa and Televisión Internacional, S.A. de C.V., whose aggregate fair value represents or could represent one of the reference percentages set forth in Section III (v) of the Official Communication.
IV. SENSITIVITY ANALYSIS
Considering that the Company has entered into financial derivative transactions for hedging purposes, and given the low amount of the financial derivative instruments that proved ineffective as a hedge, the Company has determined that such transactions are not material and, accordingly, the sensitivity analysis referred to in Section IV of the Official Communication is not applicable.
In those cases where the derivative instruments of the Company are for hedging purposes, for a material amount and where the effectiveness measures were sufficient, the measures are justified when the standard deviation of the changes in cash flow as a result of changes in the variables of exchange rate and interest rates of the derivative instruments used jointly with the underlying position is lower than the standard deviation of the changes in cash flow of the underlying position valued in pesos and the effective measures are defined by the correlation coefficient between both positions for the effective measures to be sufficient.

TABLE 1
GRUPO TELEVISA, S.A.B.
Summary of Financial Derivative Instruments as of
September 30, 2015
(In thousands of pesos/dollars)
 
Type of Derivative, Securities or Contract
Purpose (e.g., hedging, trading or other)
Notional Amount/Face Value
Value of the Underlying Asset / Reference Variable
Fair Value
 
Collateral/
Lines of Credit/
Securities Pledged
Current Quarter (3)
Previous Quarter (4)
Current Quarter D(H) (3)
Previous Quarter D(H) (4)
Maturing per Year
Interest Rate Swap (1)
Hedging
Ps. 2,500,000
TIIE 28 days / 7.4325%
TIIE 28 days / 7.4325%
(133,040)
(154,672)
Monthly interest
2015-2018
Does not exist (5)
Interest Rate Swap (1)
Hedging
Ps. 6,000,000
TIIE 28 days / 5.9351%
TIIE 28 days / 5.9351%
(110,591)
(110,220)
Monthly interest
2015-2021
Does not exist (5)
Interest Rate Swap (1)
Hedging
Ps. 1,000,000
TIIE 28 days / 5.9075%
TIIE 28 days / 5.9075%
(4,732)
(773)
Monthly interest
2015-2022
Does not exist (5)
FX Options (1)
Hedging
USD 15,000
USD 15,000
USD 67,500
626
218
2015
Does not exist (5)
Interest Rate Swap (2)
Hedging
Ps.2,068,787
TIIE 28 days   /  5.148%
TIIE 28 days   /  5.063%
(10,545)
(9,175)
Monthly Interest
2015-2022
Does not exist (5)
         
(258,282)
(274,622)
   

 
 
(1)
Acquired by Grupo Televisa, S.A.B.
 
 
(2)
Acquired by Televisión Internacional, S.A. de C.V.
 
 
(3)
The aggregate amount of the derivatives reflected in the consolidated statement of financial position of Grupo Televisa, S.A.B. as September 30, 2015, included in the relevant SIFIC, is as follows: 
       
   
11060020
FINANCIAL DERIVATIVE INSTRUMENTS
Ps.
 
626
 
   
21060020
FINANCIAL DERIVATIVE INSTRUMENTS
   
(3,673)
 
   
22050010
FINANCIAL DERIVATIVE INSTRUMENTS
   
(255,235)
 
       
Ps.
 
(258,282)
 
               
 
(4)
Information for as of June 30 2015. 
 
(5)
Applies only to implicit financing in the ISDA ancillary agreements identified as "Credit Support Annex".
 

MEXICAN STOCK EXCHANGE
STOCK EXCHANGE CODE: TLEVISA
QUARTER: 03
YEAR: 2015
GRUPO TELEVISA, S.A.B.
 
 
 
 
 
DECLARATION OF THE REGISTRANT´S OFFICERS RESPONSIBLE FOR THE INFORMATION.
 
 
 
WE HEREBY DECLARE THAT, TO THE EXTENT OF OUR FUNCTIONS, WE PREPARED THE INFORMATION RELATED TO THE REGISTRANT CONTAINED IN THIS REPORT FOR THE SECOND QUARTER OF 2015, AND BASED ON OUR KNOWLEDGE, THIS INFORMATION FAIRLY PRESENTS THE REGISTRANT´S CONDITION. WE ALSO DECLARE THAT WE ARE NOT AWARE OF ANY RELEVANT INFORMATION THAT HAS BEEN OMITTED OR UNTRUE IN THIS QUARTERLY REPORT, OR INFORMATION CONTAINED IN SUCH REPORT THAT MAY BE MISLEADING TO INVESTORS.
 


 
 

  /s/ EMILIO FERNANDO AZCÁRRAGA JEAN
 
  /s/ SALVI RAFAEL FOLCH VIADERO
EMILIO FERNANDO AZCÁRRAGA JEAN
PRESIDENT AND CHIEF EXECUTIVE OFFICER
 
SALVI RAFAEL FOLCH VIADERO
CHIEF FINANCIAL OFFICER


 


    /s/ JOAQUÍN BALCÁRCEL SANTA CRUZ   
JOAQUÍN BALCÁRCEL SANTA CRUZ
VICE PRESIDENT  -  LEGAL AND
GENERAL COUNSEL
 
 

 
MÉXICO, D.F., OCTOBER 22, 2015
 

 
SIGNATURE
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
GRUPO TELEVISA, S.A.B.
 
(Registrant)
     
     
Dated: October 27, 2015
By:
/s/ Joaquín Balcárcel Santa Cruz
 
Name:
Joaquín Balcárcel Santa Cruz
 
Title:
General Counsel