Q1 2007 TV Azteca S.A. de C.V. Earnings Conference Call - Final.

Original Source: FD (FAIR DISCLOSURE) WIRE

OPERATOR: Good day. All sites are now online in a listen-only mode. At this time, it's my pleasure to hand over the conference to your moderator, Bruno Rangel. Go ahead please, sir.

BRUNO RANGEL, DIR, GRUPO SALINAS: Thank you very much, Colin. Good day everyone. This is Bruno Rangel, Director of Investor Relations for Grupo Salinas. With me today is Marcia San Roman, IR of TV Azteca. On behalf of the Company, I would like to formally welcome you all to TV Azteca's first Q '07 financial results conference call.

I'd like to remind everyone that some of the comments we make today, or some answers in response to your questions may contain forward-looking statements. Such statements may involve risks and uncertainties, more fully disclosed elsewhere and in Company's filings with the securities authorities.

These risks and uncertainties include, but are not limited to, economic, competitive, legal, governmental and technological factors. Accordingly, there is no assurance that the Company's expectations will be realized. The Company assumes no obligation to revise any forward-looking statements, should circumstances change.

Now, I will present a brief overview of our financial and operating performance for the quarter and afterwards we will be glad to take your questions.

The absence of revenue related to extraordinary events in the quarter results in a challenging top line comparable versus the same quarter of the prior year. However, the Company continues to build on its solid fundamentals. The balance of advertising advances as of the close of March was MXN5.5b; an outstanding level, 3% higher than last year, excluding the Unefon contract.

Commercial audience share for the quarter was 39% in the full day, rising in March to 41% in the same category and to 42% in prime time. And we are further strengthening our programming brief with the launch next week of [Minta Ziaveda], the new novella at the core of prime time with thrilling tales about intense romance and money.

Azteca America has kept on with positive revenue trends for five quarters already and prepares to successfully launch its new up front campaign on May 14th in New York. Azteca America is making significant investments in programming, specifically for the U.S. market, substantially increasing its presence among large high quality audiences.

Continued growth has made Azteca America increase participation to 8% of the Azteca net sales in the quarter from 7% a year ago. There was flexibility to control …