8 - Posadas

Transcription

8 - Posadas

grupo posadas
annual report 2008
FINANCIAL HIGHLIGHTS
(In thousands of Mexican pesos)
2008
2007
Var. Real
Total revenue
6,904,520
5,974,224
15.6%
Operating income
1,140,769
1,031,913
10.5%
Operating margin
16.5%
17.3%
-4.3%
Majority net profit
(615,421)
126,112
na
Net resources generated by operations
1,925,503
698,120
175.8%
EBITDA
1,529,949
1,462,875
4.6%
Total liabilities / Total assets
0.67
0.60
Total debt / Total assets
0.40
0.32
2008
HOTELS BY BRAND
Others
Total
Mexico
1
4
16
59
8
-
-
1
4
93
USA
-
-
-
-
-
-
-
3
-
3
Brazil
-
-
-
-
-
3
7
-
-
10
Argentina
-
-
-
-
-
2
-
-
-
2
Chile
-
-
-
-
-
-
1
-
-
1
Total
1
4
16
59
8
5
8
4
4
109
HOTEL ROOM INVENTORY MIX
BY COUNTRY 2008
3.5%
HOTEL ROOM INVENTORY MIX
BY BRAND 2008
9.7%
4%
5%
2%
1.3%
12%
0.7%
44%
5%
84.9 %
Mexico
84.9 %
United States
3.5 %
Brazil
9.7 %
28%
Argentina
1.3 %
Chile
0.7 %
Aqua
2%
CP + CB
12%
FA Grand + FA
28%
Others + Posadas USA 4%
FI
44%
FAVC
One
5%
5%
TOP OF MIND/HOTEL BRAND
RECOGNITION 2008 (BUSINESS)
GROWTH OF FIESTA INN
HOTELS UNDER DEVELOPMENT
2 (FA)
3 (Aqua)
25
60
22
52
21 (FI)
20
57
50
59
52
47
17
40
40
Members
15
12
32
11
30
10
20
30 (One)
2
10
One
NUMBER OF FAVC MEMBERS
HOTEL LOYALTY PROGRAM
FIESTA REWARDS MEMBERS (THOUSANDS)
2,400
2,500
35,000
2,304
2,250
30,000
25,024
25,000
1,616
8,203
7,744
1,750
20,352
7,029
15,820
6,067
15,000
19,619
17,280
13,323
9,753
1,318
1,250
1,000
10,000
5,000
1,500
Members
20,000
1,109
823
973
750
500
250
Foreing
Mexican
2008
2007
2006
2005
2004
2003
2002
2008
2007
2006
2001
0
0
2005
Members
1,852
2,000
27,822
2008
2002
FI
2007
0
FA
Hyatt
Sheraton
Marriott
Camino Real
Fiesta Inn
Holiday Inn
Fiesta Americana
Aqua
2006
0
2005
3
2004
3
2003
5
index
financial highlights
letter to shareholders
3
hotel operations
8 brands
13
fiesta americana vacation club 18
inventory & distribution
23
development 26
new businesses 29
fundación posadas 34
executive committee 37
board of directors 38
finnancial statement
39
2
G ru p o
p o s a das
01
letter to shareholders
3
DEAR SHAREHOLDERS:
2008 was a year of contrasts in the global economy, Mexico and
in the life of our company. In this environment, Grupo Posadas
accomplished excellent operating results. This was a year in which
we achieved our goals, in spite of the sharp blows that all of our
businesses suffered in the last quarter and which temporarily hurt
our financial results. In a challenging year, we managed to capitalize
on opportunities and build a better future for the company.
These accomplishments are the product of the talent and
commitment of our people working in teams and individually:
• In hotel operations, the balance between city and beach hotels
as well as our geographic diversification and the strength of our
operations and brands turned out to be key factors in balancing
the results for the year.
• In regard to development, we opened nine more hotels:
four Fiesta Inn; four One Hotels; and one Caesar Park Silver.
Accordingly, the company now has 109 hotels and is pursuing a
development plan intended to raise its hotel inventory by more
than 50%.
• The membership of our Fiesta Rewards loyalty program grew by
more than 100,000 members to more than 2.4 million members.
After two decades in the market, Fiesta Rewards remains focused
on rewarding our most valued travelers. It represents 24% of the
total occupancy in city hotels and has become global in scope by
integrating South American hotels as well.
Fiesta Inn Tepic
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Gastón Azcárraga
Chairman
4
• While Fiesta Americana Vacation Club has always been an
outstanding subject in our annual report, its results in 2008 were
even better. This business ended the year with almost 28,000
members and a pronounced increase in income compared to 2007.
• As for the new businesses of Grupo Posadas, the sound
development of Ampersand, Conectum and Konexo confirms
that we made the right decisions by capitalizing on the talent
and experience gained over the years as well as the capabilities
of a technological platform that is unrivalled in Latin America.
The initial investments did not require further leverage. These
companies provide us with healthy diversification, are growing
and have great potential.
The achievements of Fundación Posadas are not any less significant
than those mentioned above. The agenda of Fundación offered
its aid to children with health needs and helped 115 children
and teenagers, daughters and sons of our employees, with a new
program of educational scholarships. With a stronger funding
base, the implementation of a number of programs makes
Fundación Posadas an organized institutional tool for the company
to demonstrate another aspect of its social responsibility.
G ru p o
p o s a das
PREPARED FOR NEW CIRCUMSTANCES
While the economic crisis materialized abruptly in the last quarter
of the year, the company had already been working on a number
of fronts to enable its businesses to adapt and react to the adverse
circumstances.
5
Beginning in May, costs were restructured and measures to increase
productivity and save energy were carried out which gave our hotels
and businesses a head-start at the outset of the deterioration in the
economic situation.
The measures turned out to be key in achieving record figures and
reporting sales growth of more than 15% compared to the previous
year; sales totaled more than 6.9 billion pesos while the operating
profits amounted to more than 1.14 billion pesos. EBITDA totaled
US138 million for an increase of 3.4% over the previous year.
We managed to refinance a significant part of our debt during 2008
and extend its maturity dates. Furthermore, we were able to increase
our cash position before the deterioration of the global economy,
thus facing the crisis with a solvent position. In accordance with
our financial policies, most of our debt is denominated in dollars
because we have traditionally generated funds in this currency. We
believe in our financial policies and the value of following them.
THE VOICE OF OUR CUSTOMERS: AN ESSENTIAL
INGREDIENT FOR RESULTS
The systems designed to listen to the voice of our customers were a
key ingredient in securing the leading positions of our brands, and
therefore, better results than those achieved by our competition.
Prometeo guarantees quality; Delphos provides the distinctive
element of our services; and Linc is a new system that delivers a
richer experience for customers. Today, these are the essential
means to fulfill and exceed the promise of service to customers in
each hotel brand operated by Grupo Posadas.
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Through this quality triangle the hotel operation of the company
draws a virtuous circle by listening to customers and focusing service
on their needs in order to guarantee their satisfaction and ultimately
their loyalty to our brands. All of the above is carried out in order to
continue creating value for Grupo Posadas.
6
SUSTAINED GROWTH
Grupo Posadas considers the crisis of the last quarter of 2008 as a
turning point – a road towards a world of more difficult conditions
in which companies such as ours enjoy undeniable strengths.
Our sound finances, the positioning of our products, the thrust
of new businesses and a development plan enable us to face new
circumstances with a solid foundation.
The confidence in our future comes from the talent of a human
team which has known how to develop unique abilities in its segment
of competence; a company in possession of the necessary knowledge,
technology and elements to dominate its markets; and the vision of
a business with global capabilities.
Gastón Azcárraga
Chairman of the Board of Directors
Aqua, Cancún
G ru p o
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02
hotel operations
G ru p o
p o s a das
In 2008, the performance of both our city and beach
hotels was satisfactory. In Mexico, Argentina, Brazil
and
Chile, the performance of city hotels was stable.
Towards
the end of the year, however, properties in
Northern Mexico
experienced a decrease in their
occupancy levels.
9
It should be highlighted that results show a favorable increase
of 14.4% in average room rates at the overall chain level (for
the last quarter of 2008). This is the result of rates being
expressed in American dollars at the beach hotels. Thus, once
again, the diversification of the company’s hotel portfolio
provided balance in operating results.
In both city and beach properties, operations focused on
items that significantly raise the quality and service in all
the hotel brands operated by Grupo Posadas. Training,
certifications, guest satisfaction, customers’ opinions -these
were the pillars that guaranteed leading positions in each
segment of the market in which we exceeded our guestservice promise.
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prometeo,delphos
& linc–the
qualitytriangle
10
training and
human resources,
the essential
ingredients
While 2007 saw intense activity in the areas of training
and certification, 2008 was a key year. In every hotel the
GO! Program developed the service and decision-making
capabilities of employees who are in contact with guests.
They can now identify a dissatisfied customer, know how to
manage the situation and solve any problem that may arise.
In turn, the growth of the One brand demanded special effort
in regard to certifications. The design and implementation
of a specialized website covering a range of issues from
tutorials to exams and verification of performance lists
extended the model throughout the whole chain. 98% of the
brand’s employees were certified in 2008.
In terms of sales, the subjects covered were Coaching and
Posadas’ Sales Methodology. In each case the goal is to
guarantee that every employee completely fulfils his/her
assigned tasks with quality and professionalism.
Accordingly, through an ongoing training and development
program, we assure that we have the ideal human factor so we
can always fulfill our promise of customer service. From our
point of view, constant improvement and knowledge are the
two indispensable tools to make this happen.
G ru p o
p o s a das
For many years now Prometeo has represented a practice of
quality that reaffirms that we are customer-oriented. Now
Delphos and Linc complete the picture. While Prometeo has
studied in depth the quality of our operations to fulfill our
promise of service better, Delphos and Linc complement
it perfectly because their overall objective is to define even
more sophisticated processes of service to our guests.
With these tools, we are now able to capitalize on the
knowledge of experts in quality on fulfillment standards
(Prometeo); trace better routes for service innovation in
response to customers’ changing circumstances (Delphos);
and penetrate deeper and in detail into the guests’ experience
in our hotels and reservation systems (Linc).
In its second phase in 2008, Delphos created a culture that
places guests at the very core of our operations by recognizing
them and personalizing the service they receive: in their
rooms, during check-in and by systematizing their benefits
and exerting rigorous control over their requests and our
responses during their stay.
11
Linc –a Spanish acronym which stands for Quality Inspired
Loyalty– was implemented in 2008 to measure quality based
on guests’ opinions. Based on these results, action plans
are developed to correct mistakes or to recognize employees
with extraordinary performance. The system also enables
communication with guests to let them know the measures
that are being taken.
This triangle of quality guarantees that we listen to guests and
focus service on their needs in order to deliver a personal
experience; that we recognize customers –especially frequent
customers– and we measure the results. In 2008 all these
actions translated into a four percent increase in the quality
index that stands today at 86.9%.
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G ru p o
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03
brands
13
aqua
Aqua is a new brand of luxury hotels and an exclusive hotel
concept that provides the ultimate enjoyment of pleasure
in every sense: gastronomy, relaxation and sublime charm
with distinguished, authentic and transcending service in
order to offer a specific life-style experience.
Aqua Cancún is part of a new brand of sophisticated properties
focused on life-style, experiencing life and reconciling personal
identities with a unique and subtly charming environment.
At Aqua, it’s all about the experience. The value lies in the
seductive details. It is sensuality, freedom, exquisiteness
uninhibited style and a constant presence of warm and playful
spaces.
Aqua imposes the highest operating demands and thus the creation
of human teams of superior quality that have been able to create a
distinctive niche within the lifestyle segment.
The addition of Aqua to the brand architecture of Grupo Posadas
has enabled it to further focus and refine its commercial strategy
towards clearly defined market segments.
Azur Restaurant,
Aqua Cancún
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fiesta americana
14
Fiesta Americana is the five-star and grand tourism hotel
chain operating in the most important beach and city
destinations. It is a hotel concept created to enjoy the
pleasure of excellent and remarkable service offered by
traditional and unique Mexican hospitality. It is a place
of warm and personalized style –casual and affable– which
guarantees a pleasant and relaxed stay in the most scenic
locations in the country.
In 2008, the promotion of the brand was reinforced by a
branding campaign that reaffirmed its leadership as reflected
in the awareness levels of the brand.
fiesta inn
In both the pleasure and business segments the chain
continues to rank in first place –a position it has held for
years now– with a “Spontaneous Total Recognition” rate of
61 in pleasure; while the business segment has 22 points in
Top of Mind levels and 62 in brand recognition.
Fiesta Inn is a hotel concept designed to satisfy the needs of
business travelers. It is the leading hotel chain in Business
Class service, offering the attention, services and facilities
that business guests require for a successful trip. Travelers
who stay at Fiesta Inn enjoy an environment specifically
designed to cover their needs as well as a comfortable space
to rest and move on.
According to specific attribute indicators, Fiesta Americana
holds the first place in the pleasure segment because “it is the
best known”, “has the happiest environment”, and is “the
best option for families with children”. In business, Fiesta
Rewards has put the brand in first place due to its “frequent
traveler program”.
On this solid platform, Fiesta Americana Grand also fortified
its positioning in the Grand Tourism segment due mainly to
two innovative initiatives aimed at the United States market
which consolidated its position:
• The launch of the “200 USD Resort Credit” promotion
for five months.
Fiesta Inn ranks in second place in this category in the
business segment thanks to its success in communicating
that this brand “understands business” and its service
and care oriented to work travelers. Its most outstanding
features are the Fiesta Rewards loyalty program, a package of
services that facilitates business travel, and its knowledge and
understanding of the needs of the frequent guest.
By the end of 2008 the brand offered 59 locations to its
target market –including four new hotels in Coatzacoalcos,
Cuernavaca, Durango and Tepic-, three more are scheduled
to open in 2009.
• The publication of an eight page pamphlet in the Conde
Nast Traveler and Bon Appetit magazines.
We should mention that Fiesta Americana Grand is a unique,
sophisticated, subtle and highly stylish hotel concept, hasslefree, and created for those who seek to stay in the ideal site to
enjoy Grand Tourism with focused service.
Fiesta Inn Tepic
G ru p o
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G ru p o
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one hotels
In 2008, this brand entered into a growth phase and ended
the year with eight hotels throughout the country. Today,
One Hotels inspires customers with a level of trust they do
not usually enjoy in the three-star hotel segment by offering
standardized chain services backed up by the competitive
advantages and the technological platform of Grupo Posadas.
The brand establishes a link between security, trust and
comfort at a reasonable price. It offers its guests a practical
and simple space in a trustworthy environment that is warm,
friendly and comfortable at the same time.
One Hotels has hit the mark by addressing travelers who
choose their accommodations based on price while seeking
quality service. This is why two of the key elements of its
promotion strategy -to position itself as a “practical place,
functional and at a low price”- were clear communication of
its rates and the endorsement of Fiesta Inn.
During the year, One Acapulco Costera, One Aguascalientes
Ciudad Industrial, One Querétaro Plaza Galerías and One
San Luis Potosí Glorieta Juárez opened their doors. In this
first phase of growth –in which One Hotels is achieving
critical mass that will establish its presence and market
coverage– the strategy aimed at generating Spontaneous
Recognition was particularly successful. By the end of the
year the brand reached record brand recognition. This is
the first step in the building a leadership position in the
Economy Class segment.
One Hotels
caesar park &
caesar business
Thanks to their prestige, tradition and cosmopolitan
atmosphere, Caesar Park hotels have become points of
reference for the corporate, social, artistic and cultural
worlds in the South American cities where they are located.
Their service concept pays attention to the smallest details in
order to create an atmosphere of luxury and sophistication.
This has placed each hotel of the Caesar Park chain in first
place among the preferred choices of the international
traveler.
Using the success of Fiesta Inn as a guide, Caesar Business
tries to fill empty space in the South American hotel and
catering industry by introducing the Business Class to this
market. The Caesar Business hotels are in the most important
commercial and industrial zones of South America.
2008 marked the successful completion of the first decade
of South American operations. Today, the inventory of
Grupo Posadas in Brazil, Argentina and Chile is composed
of 13 hotels, five Caesar Park and eight Caesar Business.
In the year being reported, the launch of a new category of
Caesar Park (Caesar Park Silver in Buenos Aires) broadens
the horizons of this luxury brand that opened the Latin
American market for Grupo Posadas and today has a solid
call center.
Annual
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04
fie s ta a mer ic a na vac at i on c lu b
18
G ru p o
p o s a das
r/n PrODUctIOn
160,000
140,000
138,152
120,000
45,525
40,000
99,135
32,270
70,189
60,000
82,008
66,294
20,769
80,000
26,378
100,000
39,017
114,278
96,567
20,000
Posadas Hotels
Villas FAVC
2008
2007
2006
2005
0
19
The driving forces behind the growth of this business were
the support of Fiesta Americana and FAVC’s structure,
which was designed from its origins to provide the most
flexibility for the customer and a broad array of options.
In 2008, Grupo Posadas’ Vacation Club reported revenue
of 140 million dollars in which net membership sales
totaled 91.5 million dollars. This occurred thanks to the
increasing number of services provided to a growing and
active membership pool and the financial business derived
from sales.
The number of club members increased by 11% this year
from 25,024 to 27,822. We should stress here the high
satisfaction levels that FAVC measures in two ways. The first
is through surveys which have shown satisfaction marks above
90%, a figure which placed Vacation Club above the vast
majority of its national and international competitors. The
second way is to verify the high proportion of members who
continue buying club points. Suffice to say that in 2008, 42%
of FAVC sales were achieved through existing clients.
On the other hand, sales to members (upgrades and
incremental sales to existing members) represented 40%
of total sales in the year. These achievements contribute
significantly to the reduction of marketing costs and
demonstrate again that satisfaction creates sales. For this
reason and thanks to the best human sales team in the
industry,the percentage of sales closed successfully in this
business is between 35 and 40%, far above the average
reported by the market (between 15 and 20%).
The Explorean
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nUMBEr OF FaVc
35,000
25,024
27,822
20,352
8,203
7,744
25,000
7,029
20,000
15,820
17,280
9,753
13,323
10,000
5,000
19,619
6,067
15,000
When the crisis erupted during the last quarter of 2008, Fiesta
Americana Vacation Club took precautions and supported
its clients with novel strategies by offering to switch debts
in dollars to pesos. This not only diminished collection
problems as much as possible, but also permitted the
traditional, remarkably healthy portfolio to be preserved.
Given its success, FAVC will continue to broaden the range
of products that it offers, expand its markets and respond
to consumer demands for new products in the vacation
property segment.
2008
2007
2005
2006
0
Concerning the development of the Mayan Riviera
(Chemuyil), the architectonic and engineering projects are
100% complete. It is particularly significant that the project
has all government authorizations and is the only project in
the Mayan Riviera that has been able to do so because it fully
respects the new legislation protecting the mangrove swamp.
In fact, Chemuyil is an exemplary project: the land in this
new Vacation Club development includes a huge mangrove
that has been respected as required by law.
Foreing
Mexican
rEVEnUE BY BUsInEss
160
140
22
120
12
18
100
8
7
6
80
8
8
10
20
9
14
60
40
78
66
84
92
20
Resorts
Investments
Club
Memberships
2008
2007
2006
0
2005
20
In terms of expansion, the conversion of The Explorean to
the Vacation Club concept turned out to be a great success:
sales were completed in four months and the property
currently reports high occupancy levels. In Los Cabos, the
third and last development phases will be ready in 2009,
doubling the inventory to 466 Vacation Club modules.
30,000
Members
Besides being one of the strong distribution channels
for the Posadas system –producing more than 138,000
room nights in hotels and villas (a 21% increase from the
previous year)– the Vacation Club units report an average
occupancy above 72%.
The Explorean
G ru p o
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inventory
&
05
distribution
23
With a fully established Commercial Model working in
coordination with sales and marketing, revenue per room grew
8% in city hotels and 9% in beach hotels (in nominal terms)
during the year being reported.
In turn, the interfaces developed by the Price and Inventory
Optimization system, using a number of distribution channels,
drove real-time sales with dynamic rates and guaranteed the
placement of inventory in the most profitable channels. With
this solid platform, important agreements were signed in 2008
with online agencies for room sales, and this enabled us to have
a presence in a number of sales sites in Mexico, United States
and Europe.
Finally, the improvements carried out in 2007 to define online
reservation options for corporate clients resulted in the launch
of CorpoRate, which reported growth of 94%, and simplifies
the migration of an important number of reservations to less
expensive channels.
Each year, the Revenue Management and Inventory Price
Optimization systems perform a very important role in the
commercial strategy of Grupo Posadas. This was evident during
the last quarter of 2008. When there are signals of a decrease
in demand, it makes a real difference to have processes and
procedures that permit sales of the last available room to be
made in real-time at the best price. This is especially true in a
difficult scenario in which the market and buyers exhibit different
behavior.
In this context, the task was to maintain competitive rates in line
with occupancy forecasts. The objective was to optimize realized
rates on a daily basis.
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r e s e r va t i o n c e n t e r
The management of the Central Inventory of the company
is in an ongoing process of improving its efficiency. In the
reported year, the Reservation Center made arrangements
for more than 2.06 million rooms. The answered call rate
was 91% and the total conversion factor was 47%.
24
These figures are above global benchmarks and are the
product of the capabilities of the center’s human team as well
as automation of negotiated fee reservations and the proven
effectiveness of the sales methodology that has been applied
since 2006.
The Reservation Center also improved its services thanks
to the implementation of Delphos, a database with valuable
information about customers, and Booking Engine Posadas
(BEP), the online inventory of our rooms. The launch was
also significant of CONVER 100, the specialized group in
Resort room sales.
website
The websites of Grupo Posadas registered 9.5 million visits
in 2008 for an increase of 49% over 2007. The effectiveness
of the electronic medium reached new historical figures,
of course, and strengthened the role of this channel as a
powerful distribution and sales tool.
The overall growth in the number of reservations made
through this channel was 102% compared with 62% in 2007.
The overall contribution rate of this distribution channel
was 9%.
The results indicate that, even if much remains to be done,
the trust and credibility of this distribution channel is
growing, and so is the number of travelers who rely on it to
find the best rates.
Precisely for this reason, the special online advance payment
fee reported growth of 529% in the last quarter of the year.
In the full year, online payments represented 16% of the
revenue generated by the company’s website.
G ru p o
p o s a das
Without doubt, this distribution channel translates into
significant savings in reservation costs and better placement
of inventories. This is why the company continues to invest in
its websites to improve their functionality. The investment in
the Aqua website in 2008 is worth mentioning: its technology
provides 3D tours that deliver an unusual virtual experience
to web surfers. The purpose of Feel-Aqua.com is to simulate the
visitor’s stay in Aqua.
The e-concierge (Wishman) was also launched for this brand.
Through a simple application, future guests can request
information on the slightest details of their stays, resolve
doubts and make real-time inquiries. In this manner, they
can plan their perfect trip and start experiencing the Aqua
service even before their arrival.
The following actions were taken in 2008 in order to
optimize the experience of the visitors to the websites of
Grupo Posadas:
• The project, Connection to the Availability Server,
improved its service levels and its response time for rate
inquiries and online availability for end users.
• The response capacity was increased for the sites during
peak hours generated by specific events, such as night sales.
• A deferred payment program was implemented (six months
interest-free with Banamex and American Express), an
option that contributed 24% of total online reservation
payment revenue.
• The ranking of each site in the main search engines was
improved.
• A scuba-diving mini-site was launched for Fiesta Americana
Cozumel Dive Resort in order to facilitate trip planning for
specialized tourists.
Each of the above improvements make for sites with
functionality and possibilities that open new doors for
users by adding value to products and the relationship of
Grupo Posadas’ brands to different sectors of the public.
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development
26
06
Grupo Posadas had a total of 109 hotels with more than 19,650
rooms at December 2008. The year saw the openings of four
Fiesta Inn hotels, three One Hotels and one Caesar Park Silver
in Buenos Aires in a new category offering luxury service with the
classic taste that characterizes Caesar Park.
G ru p o
p o s a das
The development plan for the 2009-2012 period
contemplates 58 new hotels with 7,870 rooms. These new
properties are under construction or have signed contracts
and project plans and are in line with the growth strategy of
the company because many of them will be operated under
contracts.
Most of these are Fiesta Inn or One Hotels. Six new hotels
will be added to the existing eight of the latter brand
in 2009, as well as 15 more in 2010. It is evident that
investors have responded favorably to the Economy Class
concept –particularly in a time of economic constraintsbecause the brand combines attractive features for both
investors and guests: low investment; service and facilities
standardization, consistency and quality; and low prices.
27
openings in 2 0 0 8
• Fiesta Inn Coatzacoalcos
In regards to Fiesta Americana Vacation Club, the
conversion of The Explorean Kohunlich to the Vacation
Club concept was completed in 2008 with an excellent
market response. Also, construction of the last phase of
villas continued in Fiesta Americana Grand Los Cabos
Golf & Spa, hotel and Vacation Club.
Even if the economic situation dictates a slower development
pace, the growth projects of the company will continue to
go forward in both Mexican and South American markets.
In the latter, the inventory of Grupo Posadas now includes
10 hotels in Brazil, two in Argentina and one in Chile. We
also contemplate the opening of two more hotels in Brazil
and another two in Chile. The Caesar Business brand is
also beginning to evaluate new arenas in markets such as
Panama and Colombia.
• Fiesta Inn Cuernavaca
• Fiesta Inn Durango
• Fiesta Inn Tepic
• One Acapulco Costera
• One Aguascalientes Ciudad Industrial
• One Querétaro Plaza Galerías
• One San Luis Potosí Glorieta Juárez
• Caesar Park Silver Buenos Aires Obelisco
Annual
r eport
20 0 8
Fiesta Americana
Grand Los Cabos, Baja California
28
new businesses
It
07
is a fact that the technological capital of
P osadas
29
G rupo
as well as its cumulative knowledge and talent
in certain specialized areas of expertise provide a solid
platform for the launch of companies in an open stage
of growth .
Ampersand, Conectum, Konexo
and
GloboGo (a
recently
created online travel agenc y ) are the product of
diversifying wisely and capitalizing on the competitive
advantages of the compan y with new customers and
mar kets .
Today, in the context of an environment that is
rich in opportunities and challenges, these companies are
achieving significant growth with encouraging prospects.
ampersand
Grupo Posadas was the first hotel company to develop a sound
loyalty program: Fiesta Rewards, which today has almost 2.5 million
members and accounts for 40% of the occupancy in Fiesta
Americana and Fiesta Inn hotels.
Throughout almost two decades, the management, performance and
results of Fiesta Rewards enabled one to identify and measure the
value that a product of this nature adds to brands. The experience
was enriched by innovative relationships with financial institutions,
such as the case of the Scotiabank/Fiesta Rewards card.
Fiesta Inn Tepic
Annual
r eport
20 0 8
3 0
From this wealth of experience, the idea has emerged
of building a business with world-class capabilities
in consulting, developing, executing, operating and
managing these types of programs for companies seeking
to invest in their most valuable customers, as well as in
the design of incentive programs, discount cards and
Customer Relationship Management activities.
Thus, Ampersand appears as a firm specialized in integral
and strategic solutions in order to deal with a market that
is aware that brand loyalty does not exist, but that, rather,
customers are loyal to the benefits offered by the brand.
Naturally, such a business requires technology investments.
It has also demanded a vision that is accurately focused
on what consumers want and appreciate from a loyalty
program, as well as fortifying the link between company
and customers.
In order to implement its solutions, Ampersand has call
center services, benefits and prizes, a technological platform
and commercial alliances as well as specialized website design,
marketing, communication and fulfillment programs.
In this manner, in 2008 Ampersand was able to become the
reference standard for loyalty in Mexico, with a customer
portfolio that includes outstanding banking institutions such
as Scotiabank, Banorte and Ixe. It also expanded into new
segments and industries such as insurance and automotive
services. Today, Ampersand is creating new paths for the
development of loyalty programs across Mexico.
At year-end, this company provided service to more than
six million members of the different loyalty programs that it
operates for its customers with growth of more than 130% in
sales and 160% in EBITDA since its creation in 2007. This
has enabled Ampersand to make an attractive and diversified
contribution to the revenues of the Group.
ampersand.com
G ru p o
p o s a das
konexo
Konexo, Contact & Solution Center, is the product of
a remarkable work in the creation of direct and real-time
distribution channels (such as the case of the Reservation
Center of Grupo Posadas) that is more efficient and
cheaper.
conectum
Today, Conectum is not only the nerve center of hotel
management of Grupo Posadas –with four years’ experience
in the optimization of control processes and operating
margins for each hotel– but it also delivers digital management
services.
Because it has the technology to process large information
volumes at low cost in a timely and efficient manner, this
Shared Services Center has become an efficient producer of
transactions that offer services to those seeking ways to make
their expenses more manageable.
The reason is that in a market with strong economic pressures
and companies choose to outsource processes that do not
provide substantial value for their businesses. In order to do
so they seek the most efficient suppliers offering standardized
processes, significant savings in management costs and stateof-the-art technological platforms. In addition, Conectum
includes a consulting area –mainly on the subject of taxes–
that completing its chain of services.
The results of this business are as encouraging as those of
Ampersand. In 2008 its revenues surpassed 113 million pesos
with an EBITDA margin of 40% of revenue.
Based on this platform, this new company has been
transformed into a natural business extension for
companies seeking to operate and make critical contact
processes more efficient. Its customer portfolio includes:
Aqua, Fiesta Americana Grand, Fiesta Americana,
Fiesta Americana Vacation Club, Fiesta Inn, One Hotels,
Seguros Bancomer, Sky, Telemedic, Ampersand, GloboGo,
ING Afore and Grupo Mexicana; companies for which it
manages temporary campaigns or full programs.
In two years, Konexo has registered growth of 200%. Just
in 2008 alone, the number of received calls increased 183%.
The growth brings the business closer to the fulfillment of
its mission: To become the Latin American leader in contact
solutions oriented to the satisfaction of the end customer.
Konexo handles thousands of contacts, thus placing it
among the ten most important contact centers of the
industry in the country.
Besides reservation services, customer care, specialized
telemarketing services in sales and post-sales with quality of
service (QoS) for voice and data; loyalty program and other
services; this business offers call center consulting and back
office services – in other words, the tasks behind operations
such as the creation of databases, email management and
account validation.
Annual
r eport
20 0 8
31
33
Konexo owns the first World Class Level III Reliable Data Center,
certified by IPA and the Institute of Electrical and Electronics
Engineers, Inc (IEEE), and built under the guidelines of the Uptime
Institute. Likewise, its security systems hold a category 3 Safety
World Class Quality Assurance (S-WCQA) certification awarded
by the International Computer Room Expert Association.
These qualifications, together with its strong commitment to
customer success and end-user satisfaction, have made Konexo an
essential element for ING Afore’s achievement of first place in
service quality to its members for the third year in a row in 2008.
konexo.com.mx
Annual
r eport
20 0 8
08
fundación posadas
3 4
G ru p o
p o s a das
Undoubtedly, 2008 was a year of consolidation of the tasks of
Fundación Posadas. In the reported period its social agenda
focused on maintaining a timely response to the most urgent
needs of the children of our employees as determined by the
annual diagnoses performed in the hotels and companies of
Grupo Posadas. This year also witnessed the incorporation of new
and ambitious programs.
35
This way, with the contributions of guests and employees
who make voluntary donations –motivated by the fundraising
campaign “Today you can score 10!”– the Foundation operated
its permanent healthcare programs for children through a wide
range of actions:
1. Support for children suffering cancer. This program was carried
out in collaboration with AMANC —Asociación Mexicana de
Ayuda a Niños con Cáncer (Mexican Association for the Aid of
Children with Cancer)-, and helped a number of children with
treatments, medicines, temporary lodging in the association’s
shelter, and medical and psychological care. The prognoses
for these children are promising and some are already in the
monitoring phase.
2. Financing surgery. During the year, three successful medical
interventions were carried out successfully in children who could
not receive attention at public health services.
3. The “I Can Hear Better Today” program, aimed at attending
to children with hearing disabilities who received specialized
medical consultations and hearing aid devices. Fundación Posadas
continues to follow all the cases.
Annual
r eport
20 0 8
4. The “Special Capabilities” program aimed at attending to
girls and boys with mental or psychomotor disabilities who
require specific therapies. In this program the Foundation
has agreements with five associations and follows each case.
3 6
5. Other ailments. Since the Foundation has proven its
effectiveness, this year it began receiving –through the
Human Resources Management of hotels– cases which could
not be attended to by public health institutions because
of their urgency or special characteristics. The study and
selection of some of them resulted in different forms of
support ranging from consultations and medical analyses to
hospitalization and an arm prosthesis for a seven-year-old
child, and another eye prosthesis for a 13-year-old.
6. Addiction prevention program, aimed at an audience of
3,500 employees until the end of its first phase in July 2008.
7. Programs with specific goals. During its early stages, one
of the projects chosen by Fundación Posadas was the Early
Stimulation Program of APAC -Asociación Pro Parálisis
Cerebral (Association for Brain Paralysis)-, for children
between 45 days and six years old. In 2008 and for a fourth
year in a row, we continued with a scholarship program
for 34 children who are receiving kindergarten education
and rehabilitation for the utmost development of their
capabilities.
Fundación Posadas has been carrying out the efforts
mentioned above since 2007. Today, it adds one of its
most important programs, “An Opportunity to Study”,
which immediately found a great response among the
Grupo Posadas community. After calling for entries to select
the best candidates for scholarships for junior high school,
high school and technical or equivalency degrees, 115
students were selected who now enjoy financial aid for their
studies as long as they demonstrate a high level of academic
performance.
G ru p o
p o s a das
Additionally, the Foundation worked with the Foundation
for the Support of Children by granting scholarships to 55
children in the Community Centers in Mexico City; as well
as with the Mexican Foundation for Kidney by financing a
transplant and the first immune-depressants for an 11-yearold girl.
It also carried out the “To See You Better” program in
alliance with Devlyn Opticians. Glasses were provided for
201 children of employees between the age of four and 14
at a reduced price for their parents. Likewise, it donated
three lodging nights with meals included to collaborate
with Fundación Mexicana de Aviación, Fundación Televisa
and Soñar Despierto (“Daydreaming”), thus fulfilling the
dreams of 14 children with terminal illnesses.
The results of the activities of Fundación Posadas motivated a
23.3% growth in the number of donators within the company
who are kept informed about the successes achieved via both
printed and electronic media (www.fundacionposadas.org).
The same happened among guests, whose donations also
strengthened the reserves of Fundación Posadas to continue
performing the planned tasks for the benefit of the children
of the hotels and Posadas companies employees.
executive committee
37
Gastón Azcárraga
Chairman & CEO
José Carlos Azcárraga
Pablo Azcárraga
Vice Chairman of the Board of Directors
and Chief Executive Propietaria Posadas
Javier Barrera
RUBÉN CAMIRO
Jorge Carvallo
Chief Executive
Chief Franchise
Fiesta Americana Vacation Club
Officer
Chief Financial
Officer
Chief Operating
Officer
A
I n
n fnou ra m
l er A
ep
no
ur
at
l
20 0 8
10
board of directors
board members
3 8
Gastón Azcárraga Andrade
Jorge Mario Soto y Galvez
Chairman & CEO, Grupo Posadas
Independent Consultant
Enrique Azcárraga Andrade
Alfredo Humberto Harp Calderoni
CEO, EXIO, S.C.
Private Investor
Pablo Azcárraga Andrade
Carlos Levy Covarrubias
Vice Chairman of the Board of Directors
Private Investor
and
Chief Executive Propietaria Posadas,
Grupo Posadas
José Carlos Azcárraga Andrade
Chief Executive
Fiesta Americana Vacation Club
Emilio Carrillo Gamboa
Independent Consultant
Manuel Borja Chico
CEO, Compañía Mexicana
de
Fernando Chico Pardo
President, Promecap, S.C.
Joaquín Vargas Guajardo
Chairman & CEO, MVS Communications
Carlos Llano Cifuentes
Senior Board Member, IPADE and
Aviación, S.A. de C.V.
Alternate Board Members
Jorge Carvallo Couttolenc
Javier Barrera Segura
José Carlos Azcárraga Andrade
Miguel Alejandro García Jaramillo
Silvia Sisset de Guadalupe Harp Calderoni
Charbel Christian Francisco Harp Calderoni
Pan Americana University
Secretary
Antonio Madero Bracho
Ricardo Maldonado Yañez
Chairman & CEO, SAN LUIS CORPORACIÓN,
S.A. de C.V.
Sergio Mariscal Lozano
Investment Banker, Lehman Brothers
G ru p o
p o s a das
Alternate Secretary
Margarita De la Cabada Betancourt
11
financial statements
Independent Auditors’ Report to the Board of Directors and Stockholders of
Grupo Posadas, S. A. B. de C. V.
We have audited the accompanying consolidated balance sheets of Grupo Posadas, S. A. B. de C. V. (a Mexican corporation)
and Subsidiaries (collectively the Company) as of December 31, 2008 and 2007, and the related consolidated statements of
operations and changes in stockholders’ equity for the years then ended, of cash flows for the year ended December 31, 2008
and changes in financial position for the year ended December 31, 2007. These financial statements are the responsibility of
the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We
did not audit the financial statements of certain subsidiaries, which statements reflect total assets constituting 13% and 13% of
the consolidated assets as of December 31, 2008 and 2007, respectively, and total revenues constituting 5% and 6%, respectively, of the consolidated revenues for the years then ended. Those statements were audited by other auditors, whose reports
have been furnished to us, and our opinion, insofar as it relates to the amounts included for these subsidiaries is based solely
on the unqualified reports of such other auditors.
We conducted our audits in accordance with auditing standards generally accepted in Mexico. Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement and that they are prepared in accordance with Mexican Financial Reporting Standards. An audit includes examining,
on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing
the financial reporting standards used and significant estimates made by Management, as well as evaluating the overall financial
statement presentation. We believe that our audits and the unqualified reports of the other auditors provide a reasonable basis
for our opinion.
As mentioned in Note 3, beginning January 1, 2008 the Company adopted the following financial reporting standards: NIF
B-2, Statement of Cash Flows; NIF B-10 Effects of Inflation; B-15, Translation of Foreign Currencies, NIF D-3, Employee
Benefits and NIF D-4 Income Taxes.
In our opinion, based on our audits and on the unqualified reports of the other auditors as mentioned above, such consolidated financial statements present fairly, in all material respects, the financial position of Grupo Posadas, S. A. B. de C. V. and
Subsidiaries as of December 31, 2008 and 2007, the results of their operations and the changes in their stockholders’ equity
for the years then ended, their cash flows for the year ended December 31, 2008 and the changes in their financial position for
the year ended December 31, 2007 in conformity with Mexican Financial Reporting Standards.
The accompanying consolidated financial statements have been translated into English for the convenience of users.
Galaz, Yamazaki, Ruiz Urquiza, S. C.
Member of Deloitte Touche Tohmatsu
C.P.C. Fernando Loera Aguilar
April 3, 2009
I nfor me
Anual
20 0 8
4 1
Grupo Posadas, S. A. B. de C. V. and Subsidiaries
Consolidated Balance Sheets
As of December 31, 2008 and 2007
Assets
42
2008
2007
Current assets:
Cash and cash equivalents
$
803,936 $
339,984
Investments in securities
26,986
41,706
Total cash, cash equivalents and investments in securities
830,922
381,690
Accounts and notes receivable – Net 1,540,540 1,777,451
Inventories
50,926
39,038
Prepaid expenses
73,292
38,504
Real estate held for sale
171,310
204,101
Total current assets 2,666,990 2,440,784
Long-term notes receivable
Vacation Club units
764,943
575,244
250,308
135,255
Property and equipment – Net 9,386,720 9,266,017
Investment in shares of associated companies
27,094
234,864
Other assets – Net
448,719
492,616
Total
$ 13,544,774 $ 13,144,780
See accompanying notes to consolidated financial statements.
G ru p o
p o sadas
Consolidated Balance Sheets
As of December 31, 2008 and 2007
Liabilities and stockholders’ equity
Current liabilities:
Bank loans and current portion of long-term debt $
Suppliers
Other accounts payable and accrued liabilities
Value-added tax and other tax payables
Total current liabilities
Long-term debt
Derivative financial instruments
Long-term accrued liabilities
Value-added tax payable
Deferred income tax
Total liabilities
Deferred credits - Net
Stockholders’ equity:
Capital stock:
Historical
Contributions for future capital increases
Amount assigned for repurchase of shares
Shares in trust
Additional paid-in capital
Restatement for inflation
Other capital:
Reserve for repurchase of shares
Retained earnings (deficit)
Cumulative effect of restatement
Cumulative effect of deferred income tax
Cumulative translation effect
Minority interest Total stockholders’ equity
Total
$
2008
2007
1,157,747 $
363,242
482,050
428,773
603,488
487,235
415,726
655,543
2,659,011 1,934,793
4,193,673
3,884,392
404,345
20,985
56,171
53,913
263,268
175,734
1,216,745
8,793,213
1,358,899
7,428,716
292,718
423,649
489,427
197,257
139,133
(3,322)
76,399
1,774,015
2,672,909
489,427
149,031
140,627
(3,322)
107,881
1,774,015
2,657,659
1,922,254
(1,069,805)
-
-
33,243
885,692
1,751,700
1,624,379
(828,768)
(919,158)
-
1,628,153
900,242
4,458,843
1,006,603
5,292,415
13,544,774
I nfor me
$ 13,144,780
Anual
20 0 8
4 3
Consolidated Statements of Operations
For the years ended December 31, 2008 and 2007
(In thousands of Mexican pesos, except income per share which is expressed in Mexican pesos)
44
2008
Hotel operation:
Revenues
$
Departmental costs and expenses
Departmental profit
General expenses:
Administrative
Sales, advertising and promotion
Maintenance and energy
Income before other expenses
Other expenses:
Property taxes and insurance
Other expenses net
Operating earnings from hotel operation
Hotel management, brand and other:
Revenues
Direct costs and corporate expenses
Operating earnings from hotel management, brand and other
Other businesses:
Revenues
Direct cost and expenses
Corporate expenses
Depreciation, amortization and real estate leasing
Operating income
Other expenses, net
Comprehensive financing result:
Interest expense
Interest income
Exchange (gain) loss, net Exchange and conversion effects related to foreign operations
Valuation of financial instruments
Monetary position gain
Equity in results of associated companies
G ru p o
p o sadas
2007
3,677,583 $ 3,522,621
1,330,756 1,284,822
2,346,827 2,237,799
565,599
381,671
405,098
1,352,368
994,459
540,443
324,827
362,431
1,227,701
1,010,098
57,925
50,725
108,650
885,809
52,519
60,422
112,941
897,157
1,655,402
1,105,498
549,904
1,289,110
717,116
571,994
1,571,535
1,046,496
525,039
97,642
1,162,493
844,594
317,899
90,345
722,341
664,792
1,140,769
1,031,913
234,728
122,902
420,311
(6,989)
160,354
(272,272)
388,397
(32,093)
(15,501)
-
1,208,196
-
1,509,600
-
(143,925)
196,878
(209,513)
(351,922)
2008
2007
Loss) income before income tax
(813,072)
360,211
Income tax expense
(111,226)
159,646
Consolidated net (loss) income for the year
(701,846)
200,565
Minority stockholders’ net (loss) income
(86,425)
74,453
Majority stockholders’ net (loss) income
$ (615,421) $
126,112
Majority (loss) income per share (in pesos)
$
(1.2433) $
0.2583
Majority diluted (loss) income per share (in pesos)
$
(1.2036) $
0.2499
Weighted average number of shares outstanding
494,976,251 488,205,350
I nfor me
Anual
20 0 8
4 5
Consolidated Statements of Changes in Stockholders’ Equity
Capital stock
O
ContributionsAmount
for future assigned forAdditionalRestatementR
capital repurchaseShares in
Historical increases
of shares
paid-in
trustcapital
forR
inflation
46
Balances as of January 1, 2007
$ 489,427
$
135,863 $
2,645 $
(7,379) $
129,422 $
1,793,508
Repurchase of shares, net and
increase to the reserve for
repurchase of shares
-
-
137,982
-
-
(19,493)
Dividends paid
-
-
-
-
-
-
Reimbursement of
convertible debt, net
-
5,167
-
-
(13,540)
-
Reduction of minority interest -
-
-
-
-
-
Restatement of convertible debt
-
8,001
-
-
(8,001)
-
Shares in trust
-
-
-
4,057
-
-
Balance before comprehensive
income
489,427
149,031
140,627
(3,322)
107,881
1,774,015
Net income for the year
-
-
-
-
-
-
Result from holding non
monetary assets
-
-
-
-
-
-
Comprehensive income
-
-
-
-
-
-
Balances as of December 31, 2007
489,427
149,031
140,627
(3,322)
107,881
1,774,015
Reclassification of cumulative
effects at January 1, 2008:
Restatement
-
-
-
-
-
-
Deferred income tax
-
-
-
-
-
-
Repurchase of shares,
net and increase to
the reserve for repurchase of shares
-
-
(1,494)
-
-
-
Dividends paid
-
-
-
-
-
-
Reimbursement of
convertible debt, net
-
5,484
-
-
(12,657)
-
Reduction of minority interest -
-
-
-
-
-
Restatement of convertible debt
-
42,742
-
-
(42,742)
-
Shares in trust
-
-
-
-
23,917
Balance before comprehensive
loss
489,427
197,257
139,133
(3,322)
76,399
Net loss for the year
-
-
-
-
-
Translation effects of
functional currency and
foreign operations
-
-
-
-
-
Comprehensive loss
-
-
-
-
-
Balances as of December 31, 2008 $ 489,427
$
197,257 $
139,133 $
(3,322) $
76,399 $
G ru p o
p o sadas
-
1,774,015
-
-
-
1,774,015
Other capital
Cumulative
Reserve forRetained
Repurchase
of shares
$
565,368
$
Cumulative
earnings
(deficit)
3,025,888
restatement
$
1,186,332
-
-
-
-
-
1,751,700
-
126,112
-
-
-
126,112
1,751,700
1,624,379
(828,768)
(919,158)
CumulativeTotal
deferred translationMinority
income taxEffect
$
(919,158)
$
-
stockholders’
interest
equity
$
$
950,712
5,390,05
-
-
-
-
-
-
(91,778)
(131,022)
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(18,562)
-
-
(8,373)
(18,562)
4,057
1,498,267
(776,241)
-
932,150
5,144,377
-
-
74,453
200,565
-
-
-
-
-
74,453
(52,527)
148,038
-
1,006,603
5,292,415
-
-
-
-
-
-
170,554
-
-
-
-
-
1,922,254
(454,384)
-
(615,421)
-
-
-
(615,421)
$
effect of
-
-
-
-
1,922,254
(776,241)
(1,396,599)
(131,022)
$
effect of
(919,158)
-
(52,527)
(52,527)
(828,768)
(919,158)
828,768
-
-
-
-
-
-
-
-
-
(7,451)
(154,326)
-
-
-
-
-
-
-
-
-
-
(27,222)
-
-
(19,936)
-
(7,173)
(47,158)
-
-
-
-
-
-
23,917
-
-
(27,222)
986,667
5,100,224
-
-
-
(86,425)
(701,846)
-
-
-
-
60,465
60,465
-
(86,425)
60,465
(641,381)
-
-
33,243
900,242
4,458,843
(176,511)
(154,326)
(1,069,805)
$
$
-
919,158
$
$
$
I nfor me
Anual
4 7
20 0 8
Consolidated Statement of Cash Flows
For the year ended December 31, 2008
48
2008
Operating activities:
Loss before income taxes $ (813,072)
Items related to investing activities: Depreciation and amortization 389,180
Loss on sale of fixed assets
15,285
Equity in results of associated companies
209,513
Other items unrealized 199,419
Items related to financing activities:
Valuation of financial instruments 1,221,897
Interest expense 420,311
1,642,533
(Increase) decrease in:
Accounts receivable
288,662
Inventories
(11,888)
Prepaid expenses
(34,788)
Increase (decrease) in:
Suppliers
53,277
Other accounts payable
162,256
Income taxes paid (174,549)
Net cash provided by operating activities 1,925,503
Investing activities:
Purchases of machinery and equipment (409,997)
Vacations club units (182,091)
(54,425)
Other assets (137,432)
Net cash used investing activities (783,945)
Excess cash to apply to financing activities 1,141,558
Financing activities:
Borrowings 4,071,697
Repayment of loans (3,141,947)
Margin calls
(816,806)
Interest paid
(445,177)
Dividends paid
(154,326)
Reduction of minority interest
(19,936)
Repurchase of shares
18,562
Convertible debt (17,369)
Net cash used in financing activities (505,302)
Net increase in cash and cash equivalents
636,256
Adjustment to cash flows due to exchange rate fluctuations
(187,024)
Cash and cash equivalents and investment in securities at beginning of year 381,690
Cash and cash equivalents and investment in securities at end of year $
830,922
G ru p o
p o s a das
Consolidated Statement of Changes in Financial Position
For the year ended December 31, 2007
Operating activities:
Net consolidated income for the year $
Add (less) items that did not require (generate) resources:
Depreciation and amortization
Equity in associated companies
Deferred income tax
Long-term accrued liabilities Changes in operating assets and liabilities:
(Increase) decrease in:
Investments in securities
Accounts and notes receivable, net
Inventories
Prepaid expenses
Increase (decrease) in:
Suppliers
Other accounts payable and accrued liabilities Net resources generated by operating activities Financing activities:
Changes in financial debt at nominal value
Decrease in financial debt due to inflationary effects and currency exchange
Derivative financial instruments
Value-added tax payable
Repurchase of shares, net
Dividends paid
Eduction of minority interest
Convertible debt
Shares in trust Net resources used in financing activities Investing activities:
Vacation club units
Additions to property and equipment
Withdrawals and transfers of property and equipment Investment in shares of associated companies
Other assets
Deferred credits, net Net resources used in investing activities Cash and cash equivalents:
Decrease
Balance at beginning of year Balance at end of year $
I nfor me
2007
200,565
430,962
351,922
(97,461)
924
886,912
42,041
(751,237)
7,114
(2,039)
(25,067)
50,317
490,079
698,120
252,176
(365,908)
(17,125)
29,592
(91,778)
(131,022)
(18,562)
(8,373)
4,057
(346,943)
(20,660)
7,951
(539,896)
10,657
37,495
(50,810)
101,051
(454,212)
(103,035)
443,019
339,984
Anual
20 0 8
4 9
Notes to Consolidated Financial Statements
1. Nature of business and significant events
Nature of business - Grupo Posadas, S. A. B. de C. V. (Posadas) and subsidiaries (collectively, the Company) are primarily engaged in
the business of operating hotels. As of December 31, 2008 and 2007, the Company operated a total of 109 hotels with 19,633 rooms and
102 hotels with 18,778 rooms, respectively. The Company mainly operates hotels under its Fiesta Americana, Fiesta Inn and One Hotels
brand names throughout Mexico, and Caesar Park and Caesar Business brand names in Brazil, Argentina and Chile.
The Company enters into management contracts with all the hotels that it operates. Of the total hotels the Company operated as of
December 31, 2008 and 2007, it had an equity interest of 50% or greater in 34 and 33 hotels, respectively and 21under leasing contracts
in both years. The remaining hotels are those that the Company operated for unrelated third parties, which as of December 31, 2008
5 0
and 2007 were 54 and 48 hotels, respectively. For purposes of these consolidated financial statements, these hotels are referred to as
the Company’s “owned,” “leased” and “managed” hotels, respectively.
Posadas receives fees pursuant to the management contracts it has with all of the hotels it operates. Certain fees, including management,
brand use fee, reservation services and technology usage, among others, are based on hotel revenues. Posadas also receives an
incentive fee according to the hotels’ operating results.
Additionally, the Company operates a vacation club business called Fiesta Americana Vacation Club (FAVC) through which members
purchase a “40-year-right-to-use” evidenced by an annual allocation of FAVC points. FAVC points can be redeemed to stay at the
Company’s four FAVC resorts in Los Cabos, Baja California Sur; Acapulco, Guerrero; Cancun and Chetumal, Quintana Roo; as well as
any of the hotels in its portfolio. In addition, members of FAVC can also redeem their FAVC points to stay at any Resorts Condominium
International (RCI)-affiliated resort or Hilton Grand Vacation Club resorts throughout the world.
Significant event - As a result of global economic slow-down during the fourth quarter of 2008, world financial markets became highly
volatile, leading to the bankruptcy and rescue of certain financial institutions, mainly in the United States of America. The aforementioned
events resulted in an aversion to risk in the local investing environment, which was reflected in the downturn in stock markets, a credit
contraction and liquidity crisis, as well as a depreciation in the value of the Mexican peso with respect to the US dollar of about 25%.
2. Basis of presentation
Explanation for translation into English - The accompanying consolidated financial statements have been translated from Spanish
into English for use outside of Mexico. These consolidated financial statements are presented on the basis of Mexican Financial
Reporting Standards (MFRS, individually referred to as Normas de Información Financiera or NIFs). Certain accounting practices applied
by the Company that conform with MFRS may not conform with accounting principles generally accepted in the country of use.
a. Monetary unit of the financial statements – The consolidated financial statements and notes as of December 31, 2008 and for
the year then ended, include balances and transaction denominated in Mexican pesos of different purchasing power, while those
consolidated as of and for the year ended December 31, 2007 are presented in Mexican pesos with purchasing power as of December
31, 2007.
b. Consolidation of financial statements - The accompanying consolidated financial statements include the financial statements of
Grupo Posadas, S. A. B. de C. V. and those of the subsidiaries that the Company controls.
G ru p o
p o sadas
Entities in which the Company’s ownership interest is greater than 50% and over which control is exercised are consolidated in these
financial statements. These are:
Posadas de México, S. A. de C. V. and Subsidiaries
100
Inmobiliaria Hotelera Posadas, S. A. de C. V. and Subsidiaries
100
Servicios Hoteleros Posadas, S. A. de C. V. and Subsidiaries
100
Posadas USA Inc, and Subsidiaries100
Fondo Inmobiliario Posadas, S. A. de C. V. and Subsidiaries
CompanyParticipation (%)
52
The Company’s owned hotels and those leased by the Company’s subsidiaries, pay to Posadas a management fee on a similar basis
as hotels managed but not owned by the Company. For the purpose of showing the results of the hotel operation, hotel management
fees, brand and other fees, the Company’s management decided not to eliminate these intercompany operations in the preparation of
the consolidated statements of operations, which does not affect operating income.
The intercompany transaction amounts that were not eliminated, as well as balance of the items which would be affected are presented
below:
2008
Balance
Amount of
2007
Balance
after A mount of
after
elimination elimination eliminationelimination
Hotel operation:
General expenses Administrative
$
326,734
$
238,865 $
326,495
$
213,948
$
191,667
$
190,004 $
173,921
$
150,906
$
1,125,735 $
500,416
$
788,694
$
1,035,230 $
-
$
General expenses- Sales,
advertising and promotion
Hotel management fees,
brand and other:
Revenues
$
529,667
Other business
Direct cost and expenses
$
11,266
-
Remaining significant intercompany balances and transactions have been eliminated in these consolidated financial statements.
Investments in associated companies are accounted for using the equity method, since the Company holds a stake of less than 50% and
therefore, does not exercise control over its management.
c. Translation of financial statements of foreign subsidiaries - To consolidate the financial statements of foreign subsidiaries that
operate independently of the Company in terms of finances and operations, the same accounting policies of e Company are applied. In
2008, foreign operations with a functional currency different from the local currency and the reporting currency translate their financial
statements from the currency in which transactions are recorded to the functional currency, using the following exchange rates: 1)
the closing exchange rate in effect at the balance sheet date for monetary assets and liabilities; 2) historical exchange rates for nonmonetary assets and liabilities and stockholders’ equity; and 3) the rate upon accrual in the statement of operations for revenues, costs
and expenses, except those arising from non-monetary items are translated using the historical exchange rate for the related nonmonetary item. Translation effects are recorded under Comprehensive Financing Result (CFR). Subsequently, to translate the financial
statements from the functional currency for Mexican and foreign companies to Mexican pesos, the following exchange rates are used;
1) the closing exchange rate in effect at the balance sheet date for assets and liabilities and 2) historical exchange rates for stockholders’
I nfor me
Anual
20 0 8
51
equity, revenues costs and expenses. Translation effects are recorded in stockholders’ equity. Through 2007, the financial statements of
foreign subsidiaries that operated independently of the Company in terms of finances and operations recognized the effects of inflation
of the country in which they operate and were then translated using the closing exchange rate in effect at the balance sheet date, and
the translation effects were recorded in stockholders’ equity.
The currency in which transactions are recorded and the functional currency of foreign operations, are as follows:
Currency
CountryRecordingFunctionalReporting
5 2
Mexico (FAVC)
Mexican pesos
US dollar
Mexican pesos
United States of America
US dollars
US dollar
Mexican pesos
Brazil
Brazilian reals
Brazilian reals
Mexican pesos
Argentina
Argentinean pesos
Argentinean pesos
Mexican pesos
Chile
Chilean pesos
Chilean pesos
Mexican pesos
d. Comprehensive (loss) income - Represents changes in stockholders’ equity during the year, for concepts others than distributions and
activity in contributed common stock, and is comprised of the net consolidated (loss) income for the year, plus other comprehensive
income (loss) items of the same period, which are presented directly in stockholders’ equity without affecting the consolidated
statements of operations. Other comprehensive (loss) income items include in 2008, the translation effects of functional currency and
foreign operations and in 2007 the result from holding nonmonetary assets.
e. Classification of costs and expenses - Costs and expenses presented in the consolidated statements of operations were classified
according to their function and nature, since this makes possible the determination of operating results of hotel operations and
management and other businesses, as well as the detail of their expenses.
f. Operating income - Is the result of subtracting cost and departmental expenses and general and other expenses from net revenues.
While NIF B-3 does not require inclusion of this line item in the consolidated statements of operations, it has been included for a better
understanding of the Company’s economic and financial performance.
3. Summary of significant accounting policies
The accompanying consolidated financial statements have been prepared in conformity with MFRS, which require that management
make certain estimates and use certain assumptions that affect the amounts reported in the financial statements and their related
disclosures; however, actual results may differ from such estimates. The Company’s management, upon applying professional judgment,
considers that estimates made and assumptions used were adequate under the circumstances. The significant accounting policies of
the Company are as follows:
a. Accounting changes - Beginning January 1, 2008, the Company adopted the following new NIFs:
i. Statement of Cash Flows – The NIF B-12 supersedes Bulletin B-12, Statement of Changes in Financial Position, and thereby
replaces the statement of changes in financial position.
NIF B-2 permits the presentation of such statement using either the direct or the indirect method; the Company elected to use the
indirect method. The statement of cash flows is presented in nominal pesos. According to NIF B-2, this accounting change should
be recognized prospectively; consequently, the Company presents a statement of cash flows for 2008 and a statement of changes in
financial position for 2007.
ii. Effects of Inflation – The NIF B-10 considers two economic environments: a) inflationary, where cumulative inflation over a threeyear period is 26% or more, in which case, the effects of inflation need to be recognized , and b) non-inflationary, where inflation is
less than 26% in the same period, in which case, the effects of inflation may not be recognized in the financial statements and requires
that the gain (loss) from monetary position in equity and the cumulative gain (loss) from holding non-monetary assets be reclassified
to retained earnings, except for the gain (loss) from holding non-monetary assets that is identified with inventories or fixed assets that
have not been realized as of the effective date of this standard. The Company determined it was impractical to identify the result from
monetary position in equity and the cumulative effect of restatement from holding non-monetary assets relating to unrealized assets as
of January 1, 2008; therefore, on that date, the Company reclassified the entire balance of cumulative effect of restatement. NIF B-10
establishes that this accounting change be recognized prospectively
G ru p o
p o sadas
Since cumulative inflation over the three preceding years is 11.56%, the environment in which the Company operates is not inflationary
and beginning January 1, 2008 the Company discontinued recognition of the effects of inflation in its financial statements. However,
assets, liabilities and stockholders’ equity at December 31, 2008 and 2007 include restatement effects recognized through December
31, 2007.
iii.Translation of Foreign Currencies – NIF B-15 eliminates the classification of foreign operations as integrated foreign operations and
autonomous foreign entities and instead establishes the concepts of recording currency, functional currency and reporting currency.
NIF B-15 establishes the procedures to translate the financial information of a foreign operation: i) from the recording currency to the
functional currency; and, ii) from the functional currency to the reporting currency. NIF B-15 also allows an entity to present its financial
statements in a reporting currency that is different from its functional currency.
iv. Employee Benefits – NIF D-3 incorporates current and deferred statutory employee profit sharing (PTU) as part of its provisions and
establishes that deferred PTU must be determined using the asset and liability method established in NIF D-4, Income Taxes, instead of
only considering temporary differences that arise in the reconciliation between the accounting result and income for PTU purposes. The
effect of deferred PTU generated from this change in recognition method as of January 1, 2008, was recorded in retained earnings.
NIF D-3 also eliminates recognition of the additional liability because its determination does not incorporate a salary increase. NIF D-3
also incorporates the career salary concept in the actuarial calculation and limits the amortization of the following items to the lesser of
five years or the employee’s remaining labor life:
- The beginning balance of the transition liability for termination benefits and retirement benefits.
- The beginning balance of past services and modifications to the plan included within the transition liability.
- When the company elects to fully expense actuarial gains and losses on a go-forward basis , the beginning balance of actuarial gains
and losses from retirement benefits is amortized over five years (net of the transition liability), with the option to fully amortize it against
current earnings of 2008, under other income and expense. The Company chose to recognize actuarial gains and losses directly against
results of 2008.
As of December 31, 2008 the Company generated a deferred PTU asset, which was totally reserved due to the uncertainty of its
realization.
v. Income Taxes – NIF D-4 eliminates the permanent difference concept; clarifies and incorporates certain definitions, and requires
that the balance of cumulative effect of deferred income tax be reclassified to retained earnings unless it is identified with any of the
other comprehensive income (loss) items pending to be applied against current earnings.
b. Recognition of the effects of inflation - Beginning January 1, 2008, the Company discontinued recognition of the effects of inflations.
Through December 31, 2007, such recognition resulted mainly in inflationary gains or losses on non-monetary and monetary items that
are presented in the financial statements under the two following captions:
Cumulative effect of restatement - Represents the accrued monetary position result through the initial restatement of the financial
statements, the result from translating foreign subsidiaries and the gain (loss) from holding non-monetary assets, consolidated and from
associated companies, which resulted from restating certain non-monetary assets above (below) inflation, less the related deferred
income tax effect.
Monetary position result - Represents the erosion of purchasing power of monetary items caused by inflation, and is calculated by
applying National Consumer Price Index (NCPI) factors to monthly net monetary position. Gains result from maintaining a net monetary
liability position.
For the years ended December 31, the inflation rates were as follows:
2008 2007
Mexico
United States of America
Brazil
Argentina
Chile
6.53
0.09
6.90
7.72
8.61
I nfor me
3.75
4.08
5.16
8.47
7.82
Anual
20 0 8
53
c. Cash and cash equivalents - Consists mainly of bank deposits in checking accounts and readily available daily investments
of cash surpluses. Cash and cash equivalents are stated at nominal value plus accrued yields, which are recognized in
results as they accrue. Any fluctuations in fair value are recognized in CFR of the period. Cash equivalents are represented
mainly by investment funds.
d. Investments in securities - According to its intent, from the date of acquisition, the Company classifies investments in
securities in any of the following categories: (1) trading, when the Company intends to trade debt and equity instruments
in the short-term, prior to maturity, if any, and are stated at fair value. Any value fluctuations are recognized within current
earnings; (2) held-to-maturity, when the Company intends to, and is financially capable of, holding such investments until
maturity. These investments are recognized and maintained at amortized cost; and (3) available-for-sale, which include
those that are classified neither as trading nor held-to-maturity. These investments are stated at fair value. Fair value is
determined using prices quoted on recognized markets. If such securities are not traded, fair value is determined by
applying recognized technical valuation models.
5 4
Investments in securities classified as held-to-maturity and available-for-sale are subject to impairment tests. If there is
evidence that the reduction in fair value is other than temporary, the impairment is recognized in current earnings.
As of December 2008 and 2007, the balances of the investments in securities represent, trading deposit certificates as heldfor-trading, with renewable maturities exceeding one month.
e. Notes receivable from Vacation Club operation - These represent collection rights derived from the sale of Vacation
Club memberships, which are assigned to a trust to guarantee lines of credit contracted by the Company to finance this
operation. The amounts received under these credit lines are shown net with notes receivable in the consolidated balance
sheets. Notes receivable from the sales of Vacation Club units are shown in the consolidated balance sheets, net of the
allowance for doubtful accounts. This allowance is determined based on business’ experience and certain assumptions
with respect to collection trends.
f. Inventories and cost of sales - Inventories are valued at average cost, which due to their high turnover is similar to
replacement cost, without exceeding market value. Through December 31, 2007 the cost of sales was restated using
factors derived from NCPI.
g. Vacation Club units and real estate held for sale - Vacation Club units are recorded at construction cost in US dollars
and through December 31, 2007 are restated to reflect the fluctuation of the Mexican peso against the US dollar, for
purposes of recognizing values in accordance with current real estate market values. Cost of sales is recognized at the time
sales are recorded.
Vacation Club units recorded as long-term correspond to the costs of reconstruction of hotel buildings, which are being
remodeled to provide Vacation Club services, as well as the construction of the third stage in the Los Cabos, Baja California
Sur resort. As of December 31, 2008, the budget for concluding this construction stage is approximately $513 million
pesos.
The remodeling of the Fiesta Americana Condesa Acapulco hotel to provide Vacation Club services was concluded during
2007 for a total cost of $360 million pesos.
In prior years, the Company’s management discontinued the sale of the real estate inventory, which is therefore shown at
its estimated realizable value. Even though their realization could be in the long-term, strategies have been established to
achieve the short- term sale of these assets. The results of this business are shown under other expenses in the consolidated
statements of operations.
Assets available for sale are primarily real estate property approved for sale by management that is expected to be realized
within one year, even though their business cycle could be longer.
G ru p o
p o sadas
h. Property and equipment - Are initially recorded at acquisition cost. Balances arising from acquisitions made through
December 31, 2007 were restated for the effects of inflation by applying factors derived from the NCPI through that date.
Depreciation is calculated using the straight-line method, based on the economic useful lives and residual values of 24% in
the case of buildings determined by independent appraisers.
The Company follows the practice of capitalizing, in addition to the restated cost, CFR incurred in hotels’ major remodeling
and in the construction stage of new hotels in which it has a majority equity interest. The capitalized amounts are restated
annually based on NPCI factors and the related amortization is recorded in the income statement based on the useful lives
of the assets. As of December 31, 2008 and 2007, no amounts were capitalized related to this concept.
Average annual depreciation percentages of property and equipment are as follows:
(%)
Buildings
2
Furniture and fixtures 10
Transportation equipment 25
Computer equipment 30
55
The cost of major improvements, remodeling and replacements is capitalized as furniture and fixtures and is amortized
over periods that range between three and five years. The cost of minor repairs and maintenance is charged to results when
incurred.
Operating equipment is depreciated using the straight-line method over three years.
i. Impairment of long-lived assets in use - In the presence of an impairment indicator (operating losses, negative cash
flows, a history of projection of losses, etc.) which suggests that long-lived assets in use might not be recoverable, the
Company reviews their carrying amounts, considering the greater of the present value of future net cash flows or the net
sales price upon disposal. Impairment is recorded if book value exceeds the values mentioned above.
j. Investment in shares of associated companies - Investment in shares where the Company has significant influence,
are recorded under the equity method, recognizing the participation in the results and stockholders’ equity of associated
companies, considering the adjustment from the allocation of the purchase cost price of acquired assets and assumed
liabilities at fair value at acquisition date. Investments in shares where the Company does not have significant influence,
are valued at cost of acquisition, and through December 31, 2007 were restated based on the NCPI, but not to exceed
realizable value.
As a result of the purchase in December 2005 of 94.97% of the common stock of Grupo Mexicana de Aviación, S. A. de C.
V. (Mexicana) from Cintra S. A. de C. V. now Consorcio Aeromexico, S. A. B. de C. V. (Consorcio), the Company executed
purchase and sale agreements with third parties, to whom part of the Mexicana stock purchased by the Company was sold
on the same date. Mexicana’s financial statements are not consolidated in the accompanying financial statements, given
that the Company has significant influence but not control of Mexicana. As of December 31, 2008 and 2007 the Company
maintains a 30.41% stake in Mexicana.
k. Derivative financial instruments - The Company obtains financing under different conditions. Occasionally, interest rate
and exchange swaps are contracted to manage its exposure to interest rate and foreign currency fluctuations. The Company
formally documents all hedges, describing objectives and risk management strategies for derivative transactions and their
recognition in accounting. The Company’s policy is to avoid performing transactions with derivative financial instruments
for speculative purposes. However, sometimes speculative contracts are agreed, provided that the highest exposure meets
with the immaterial limits established by management.
Most dates and amounts on derivative financial instruments contracted by the Company correspond to the asset acquisition
dates or to the maturity of liabilities covered by them.
I nfor me
Anual
20 0 8
The Company recognizes all assets or liabilities that arise from transactions with derivative financial instruments at their fair
value in the consolidated balance sheet, regardless of its reason for holding them. Fair value is determined by using prices
quoted on recognized markets. If such instruments are not traded, their fair value is determined by applying recognized
valuation techniques.
Changes in the value of derivative instruments designated as hedges are recognized as follows: (1) for fair value hedges,
changes in both the derivative instrument and the hedged item are stated at fair value and recognized in current earnings; (2)
for cash flow hedges, changes in the effective portion are temporarily recognized as a component of other comprehensive
income in stockholders’ equity and then reclassified to current earnings when affected by the hedged item. The ineffective
portion of the change in fair value is immediately recognized in current earnings.
While certain derivative financial instruments are contracted for hedging from an economic point of view, they have not been
designated as hedges for accounting purposes since they do not meet with all the criteria established by the accounting
regulations. Changes in fair value of such derivative instruments are recognized in current earnings as a component of
CFR.
5 6
l. Compound financial instruments - Compound financial instruments are contracts that include both liability and equity
elements; they are recognized by the Company based on the nature of such elements and the substance of the transaction,
rather than their legal form. The elements that represent unavoidable payment obligations are recognized as liabilities,
while other elements are included in equity, when the contractual provisions establish an ownership relationship with the
holder of the instrument. Initial costs incurred on the issuance of a compound financial instrument are proportionately
assigned to liabilities and equity. Costs assigned to equity are deducted from additional paid-in capital, if any, and costs
assigned to liabilities are included in deferred assets, which are amortized over the related contractual term.
m.Direct employee benefits - Direct employee benefits are calculated based on the services rendered by employees,
considering their most recent salaries. The liability is recognized as it accrues. These benefits include mainly PTU payable,
compensated absences, such as vacation and vacation premiums, and incentives.
n. Employee benefits from termination, retirement and other - Liabilities from seniority premiums, pension plans and
severance payments at the end of the work relationship are recognized as they accrue and are calculated by independent
actuaries using nominal interest rates in 2008 and real interest rates in 2007. Foreign subsidiaries do not have significant
employee benefit obligations.
o. Other assets - Costs incurred in the development phase that meet certain requirements and that the Company has
determined will have future economic benefits are capitalized, and through December 31, 2007, were restated for effects
of inflation, and are amortized based on the straight-line method. Disbursements that do not meet such requirements,
such as research costs, are recorded in results of the period in which they are incurred. Preoperating expenses incurred and
capitalized up to December 31, 2002 are amortized using the straight-line method over ten years. The concession right
referred to in Note 10 is amortized based on the straight-line method during the life of the respective contract (25 years).
p. Provisions - Are recognized for current obligations that result from a past event, that are probable to result in the future
use of economic resources, and can be reasonably estimated.
q. Statutory employee profit sharing - PTU is recorded in the results of the year in which it is incurred and presented under
other expenses in the accompanying consolidated statements of operations. Deferred PTU is derived from temporary
differences that in 2008 resulted from comparing the accounting and taxes basis of assets and liabilities and, in 2007,
resulted from comparing the accounting result and income for PTU purposes. Deferred PTU is recognized only when it can
be reasonably assumed that such difference will generate a liability or benefit, and there is no indication that circumstances
will change in such a way that the liabilities will not be paid or benefits will not be realized.
The income for PTU purposes applicable to the Mexican companies does not consider inflation adjustments, nor unrealized
currency exchange gain or loss, and is calculated based on the individual results of each of the operating companies.
G ru p o
p o sadas
r. Income taxes - Income tax (ISR) and the Business Flat Tax (IETU) are recorded in the results of the year they are incurred. To
recognize deferred income taxes, based on its financial projections, the Company determines whether it expects to incur
ISR or IETU and, accordingly, recognizes deferred taxes based on the tax it expects to pay. Deferred taxes are calculated
by applying the corresponding tax rate to the applicable temporary differences resulting from comparing the accounting
and tax bases of assets and liabilities and including, if any, future benefits from tax loss carryforwards and certain tax credits.
Deferred tax assets are recorded only when there is a high probability of recovery.
Tax on assets (IMPAC) paid through December 31, 2007, that is expected to be recoverable, is recorded as an advance
payment of ISR and is presented in the consolidated balance sheet decreasing the deferred ISR liability.
s. Foreign currency balances and transactions - Foreign currency transactions are recorded at the applicable exchange
rate in effect at the transaction date. Monetary assets and liabilities denominated in foreign currency are translated into
Mexican pesos at the applicable exchange rate in effect at the consolidated balance sheet date. Exchange fluctuations
are recorded as a component of CFR in the consolidated statements of operations, except those amounts capitalized as a
component of construction cost.
t. Revenue recognition - The Company recognizes revenues derived from the following operations: (i) hotel investments
(which include the operation of leased hotels); (ii) management fees, brand use fees, the loyalty programs; and (iii) other
related businesses, mainly Vacation Club units. Generally the Company recognizes its revenues as follows: (i) for operation
of hotel investment, the Company recognizes revenues when rooms are occupied; (ii) revenues for management and
brand use fees are recognized when they are accrued according to management contracts, and Fiesta Rewards program
revenues are recognized when administration services are rendered and points to frequent customers are delivered; and
(iii) revenues related to the Vacation Club operation are recognized: (i) for real estate ready to be used when the contracts
are formalized and the corresponding 10% down payment is collected and (ii) for real estate under construction by the
percentage of completion method, through which revenues are identified based on the proportion to the costs incurred at
certain date. When estimated actual costs exceed budgeted costs, the loss is recorded in that year.
u. Other businesses - Operations from other businesses include principally revenues, direct costs and operating expenses
of certain subsidiaries engaged in the sale of Vacation Club memberships, distribution of operating equipment for hotels,
coordination and hotel design and travel agency operations.
v. Majority (loss) income per share - Majority (loss) income per share is determined by dividing the majority net (loss)
income by the weighted average number of common shares outstanding.
Diluted (loss) income per share is determined by adding 1) the interest and foreign exchange gains or losses recorded in
income attributable to convertible loans to the above-mentioned majority net (loss) income per share, and 2) to the weighted
average outstanding shares, the weighted average of obligations that may be converted into shares outstanding during
the period, converted into shares based on the conversion coefficients established in the convertible loan agreements.
4. Cash and cash equivalents
Cash
$
Cash equivalents:
Investment funds
$
2008
2007
422,794
170,856
$
381,142
169,128
803,936
339,984
$
I nfor me
Anual
20 0 8
57
5. Accounts and notes receivable
2008
2007
Clients and agencies
$
281,251 $
262,120
Real estate companies
95,857
84,528
Value-added tax
453,101
889,106
Refundable income and other taxes
295,744
93,522
Notes receivable, net
294,382
250,688
Credit cards
18,547
20,521
Other
187,352
233,551
1,626,234 1,834,036
Less - Allowance for doubtful accounts
(85,694)
(56,585)
$ 1,540,540 $ 1,777,451
6. Real estate held for sale
5 8
2008
2007
148,275 $
19,394
3,641
174,909
20,342
8,850
171,310
204,101
Vacation Club units
$
Villas and residential lots
Land and buildings for sale $
$
7. Long-term notes receivable
These assets correspond to the long-term amounts receivable from the sale of Vacation Club memberships. Their maturities as of December
31, 2008 are as follows:
Thousands of
Year dueUS dollars
2010
2011
2012 and thereafter
Equivalent in thousands of Mexican pesos
$
Less- Allowance for doubtful accounts
$
13,920
14,042
39,461
67,423
912,793
(147,850)
764,943
8. Property and equipment
2008
2007
Buildings
$
Furniture and fixtures
Transportation equipment
Computer equipment
Less- Accumulated depreciation
Land
Construction in-progress
G ru p o
9,221,425 $ 9,090,790
2,389,537 2,244,899
71,571
46,354
310,026
184,424
11,992,559 11,566,467
(4,689,167) (4,349,619)
7,303,392 7,216,848
1,946,901 1,897,356
136,427
151,813
$ 9,386,720
p o sadas
$ 9,266,017
9. Investment in shares of associated companies
Participation
percentage as
of December 31, 2008
2008
Associated -
Grupo Mexicana de Aviación, S. A. de C. V.
30.41 $
Inmobiliaria Las Animas, S. A. de C. V.
25.00
Other-
Inmobiliaria Hotelera de Yucatán, S. A. de C. V.
9.2
OtherVarious $
2007
- $
18,457
210,751
15,534
5,354
3,283
27,094
$
5,289
3,290
234,864
10. Other assets
Concession right
$
Prepaid interest and commissions
Preoperating expenses, net
Vacation Club deferred charges
$
2008
2007
341,245 $
48,085
38,611
20,778
385,709
53,032
22,849
31,026
448,719
492,616
$
59
11. Long-term debt
As of December 31, long-term debt is comprised as follows (variable interest rates as of December 31, 2008):
Mexican peso denominated:
Debt certificates programs at 10.55% to 13.18%
$
Syndicated loan at 9.33%
Mortgage loans at rates that range from 10.25% to 10.84%
Other loans at variable rates of 10.09% to 10.71%
US dollar denominated:
Senior Notes at fixed interest rate of 8.75%
Syndicated loan at 2.06%
Mortgage loans at rates that range from 3.37% to 8.78%
Other loans at rates from 3.32% to 6.96%
Less- current portion
Long-term debt
$
2008
2,500,000 $
400,447
102,407
501,322
484,441
600,504
736,737
25,562
5,351,420
(1,157,747)
4,193,673
2007
250,000
319,023
111,688
184,600
2,444,895
481,468
418,112
37,848
4,247,634
(363,242)
$ 3,884,392
Long-term debt maturities as of December 31, 2008 are as follows:
Denominated in
Mexican
Payable in
pesos
US dollars
44,907
36,783
1,000
15,894
(thousands)
2010 $
294,865
2011
94,643
2012
94,643
2013 and thereafter 2,374,862
$ 2,859,013
$
Total in thousands of Mexican pesos
$
98,584
1,334,660
4,193,673
I nfor me
Anual
20 0 8
a. During 2008, the Company established an Unsecured Debt Certificated Program; its authorized value is up to $3,000,000. The par value
of each certificate is one hundred Mexican pesos, and each issuance expires within five years, denominated in Mexican pesos and with
interest payable every 28 days at a rate established for each issuance (both at TIIE rate plus 1.80 percentage points). In April 2008, a
$1,500,000 withdrawal was made, and on July 2008, a second one was made for $750,000 under the same terms and conditions.
Resources obtained from this program were used to repurchase 84.1% or US189 million of the Senior Notes due on October 4, 2011,
with previous consent from the holders of these notes. Commissions from this operation were $131,021, and are presented as Other
expenses, net in the accompanying consolidated statement of operations.
b. In 2001 the Company established an Unsecured Debt Certificate Program for an authorized amount of up to $1,000,000. The nominal
value of the certificates was one hundred Mexican pesos and the maturity term of each issue was from one to ten years denominated
in Mexican pesos or in Units of Investment (UDI’s) with interest payable every 28 days at the rate established for each issue. Under
the terms of this program, the first payment of $200,000 was fully settled on December 2, 2004. Under this same program, certificate
maturities of $300,000 and $250,000 were settled in February and July 2006, respectively; one issue of $250,000 matures on May 6, 2009
at a rate of CETES plus 3.5 percentage points.
60
c. During November 2005, the Company structured a syndicated loan for US50 million for a five-year term (with a two-year grace period).
The lead bank is ING Bank (México), S. A., while the other participants include Banco Nacional de Comercio Exterior, S. N. C. (Bancomext),
BBVA Bancomer, S. A., Bayerische HYPO-UND Vereinsbank AG, HVB Group, Banco de Crédito e Inversiones, Miami Branch and Banco
Industrial, S. A. This transaction assures funds for the timely payment of unsecured debt certificates referred to in subsequent paragraph
b. In addition, in November 2006, an add-on to the above syndicated loan of US30 million was executed, resulting in a total loan of
US80 million. The terms of this add-on are similar to the original loan terms. In April 2008, the Company requested an additional US21.5
million for a total facility of US101.5 million. Resources obtained from these transactions were used to settle short-term credit lines. As of
December 31, 2008 and 2007, a total equivalent to US73.9 million, at rate of LIBOR plus 1.5 percentage points for US dollar dispositions
and TIIE plus 14 percentage points for Mexican peso dispositions.
d. The Company had issued US225 million under a Senior Notes program due on October 4, 2011. The notes bear interest at the rate
of 8.75% per year, which is payable semiannually. As mentioned in paragraph a. 84.1 % of the notes were repurchased during 2008.
As of December 31, 2008 the Senior Notes under this program amount to US37 million under the same maturity and with no financial
covenants.
A breakdown of the main financial items of the guarantor and non-guarantor subsidiaries is detailed below:
Grupo Posadas, S.A.B. de C.V. and guarantor subsidiariesNon-guarantor
Total operating
revenues
Depreciation,
amortization
and real estate
leasing
Operatin
income
Net
consolidated
(loss) income
Total assets
Total liabilities G ru p o
subsidiariesTotal consolidated
2008
2007
2008
2007
$ 5,422,651
$ 4,272,482
$ 1,481,869
$
1,701,742
$
451,152
$
450,472
$
271,189
$
$
801,747
$
716,880
$
339,022
$
(915,078)
$
(3,860)
$
2008
2007
$ 6,904,520
$ 5,974,224
214,320
$
$
$
315,033
$ 1,140,769
$ 1,031,913
213,232
$
204,425
$ (701,846)
$
722,341
664,792
200,565
$ 8,709,634
$ 7,878,835
$ 4,835,140
$
5,265,945
$ 13,544,774
$ 13,144,780
$ 7,775,196
$ 6,604,878
$ 1,018,017
$
823,838
$ 8,793,213
$ 7,428,716
p o sadas
The main restrictions on the financial ratios and obligations established in loan contracts are as follows:
Financial ratiosRestrictions
Current Onerous debt-to-equity Interest coverage Net debt to EBITDA
Greater than Less than
Greater than
Less than
0.60
1.22
2.20
4.75
The most significant covenants are:
− The level of indebtedness, payment of dividends and the stockholders’ distributions are subject to the compliance with certain financial
ratios.
− The Company must insure and maintain insurance on all of its properties, assets and business against loss and damage, in similar terms
as those used by companies in the same line of business.
As of December 31, 2008 and 2007, these restrictions and covenants have been complied with.
e. As of December 31, 2008 and 2007, mortgage loans amount to $839,144 and $529,800. The principal collateral consists of real estate
(hotels), whose book value amounts to $2,172,996 and $1,335,941, respectively, as well as guarantees from certain subsidiaries. As of
December 31, 2008 these loans carry interest at LIBOR rate plus the corresponding margin from 1 to 7 percentage points for US dollar
withdrawals, and TIIE plus 1.5 to 2 percentage points for Mexican peso withdrawals.
f. The Company has loan agreements for a US10 million and EUR5 million financing with the International Finance Corporation and
Deutsche Investitions–Und Entwicklungsgesellchaft mbh, maturing in December 2009, with an interest rate of LIBOR plus 1 percentage
point and the 6 month Euro LIBOR plus 3 percentage points, respectively, convertible into Series “L” shares of the Company. Due to
this convertibility feature, the portion identified as equity is presented as contributions for future capital increases in the consolidated
statements of changes in stockholders’ equity.
g. The Company executed three revolving credit lines, with Bancomext and Banco Mercantil del Norte, S. A. (Banorte) for up to an
authorized amount of US29.2 million, US44 million and US47 million, respectively, through several disposals maturing on or before
December 24, 2013, June 28, 2013, and October 28, 2013, respectively. Disposals under these credit lines bear variable interest rates
and are guaranteed by notes receivable related to financing granted on Vacation Club sales. The collection rights on the sale of Vacation
Club intervals, which are formalized in notes receivable, have been assigned to a trust fund that is located outside Mexico. Pursuant to
collateral assignment contracts, the Company has transferred the collection rights assigned to the trust fund to Bancomext and Banorte.
These credit lines establish mortgage guarantees on Vacation Club real property.
During 2008 the Company disposed of four of its contracted lines of credit, three with Banorte amounting to $643.4 million Mexican
pesos and one with Bancomext amounting to US7.8 million.
As of December 31, 2008 and 2007, the outstanding balances of credit lines contracted with Bancomext is US28.4 million and US29.2
million; those contracted with Banorte are for the amounts of US16.4 million, US29.8 million and $717.2 million and $143 million Mexican
pesos, respectively, amounts that are shown net of the long-term notes receivable, on the consolidated balance sheets. Notes receivable
assigned to the trust are US217.3 million and US208.3 million as of December 31, 2008 and 2007, respectively.
h. In April 2008, the Company completed a five year bilateral loan with a two year grace period with Banco Nacional de México, S. A
(Banamex) for $312,000. The rate is TIIE plus 1.40 percentage points.
i. In December 2008, the Company drew US23.4 million from a US27.3 million secured loan from Bancomext. The terms are 2 years with
nine month grace period with a rate of three month Libor plus 4.6 percentage points.
j. During the last quarter of 2008, the Company drew $100,000 from a long-term credit line with Banco del Bajio at a rate of TIIE plus
2 percentage points and $89,800 from another short term line of credit with Banco Santander Serfin, S. A. at a rate of TIIE plus 4
percentage points.
I nfor me
Anual
20 0 8
61
12. Derivative financial instruments
a. Derivative instruments of interest rate and exchange rate exchange derivatives
In order to maintain a debt mix mainly denominated in USD, the Company structured five Cross Currency Swap (CCS) contracts. With
these, the Company exchanges a floating rate (TIIE 28) in Mexican pesos for a fix rate in US dollar. The characteristics of both sides of
these agreements are detailed in the following table:
Notional
Unsecured Debt
Certificate Program Unsecured Debt
Certificate Program
Syndicated loan
Syndicated loan
Credit lines
62
date
$
1,500 million
April, 2008
April, 2013
$
$
$
$
750
109.7
108
312
July, 2008
June, 2008
April, 2008
April, 2008
April, 2013
November, 2010
November, 2010
April, 2013
Notional
Beginning Maturity
amount
million
million
million
million
date
BeginningMaturityFair Value
amount
date
date
2008
CCS
CCS
CCS
CCS
CCS
US142 million
US72.8 million
US10.7 million
US10.3 million
US29.8 million
April, 2008
July, 2008
June, 2008
April, 2008
April, 2008
April, 2013
April, 2013
November, 2010
November, 2010
April, 2013
$
$
$
$
$
(647,618)
(375,343)
(43,279)
(37,244)
(129,556)
As of December 31, 2008, the Company has met all margin calls that have been required by its counterparties in an amount of $837,022
($816,806 net of exchange rate fluctuations), and are presented net in the account of derivatives financial instruments in the consolidated
balance sheet.
The CCS were entered into as hedging instruments from an economic perspective, but since they do not comply with all conditions
for hedge accounting required by the applicable standards, for accounting purposes, these have been recorded as trading derivatives.
Fluctuations from these instruments are recorded in the CFR.
The Company entered into a Principal Only Swap for US26 million linked to the Senior Notes maturing in October 2011, with a fixed
exchange rate at maturity. This instrument was classified as a fair value hedge and the exchange result was registered in the CFR,
compensating the exchange rate result derived from the loan hedged. This swap was cancelled in October 2008.
b. Interest rate derivatives
With the intention of capping the interest rate of a portion of the Syndicated loan in pesos with a rate of TIIE 28, an Interest Rate Swap
(IRS) contract was put in place so the Company pays a fix rate of 10.14% versus TIIE 28 plus the applicable margin. The characteristics
are detailed in the table below:
Notional
Syndicated loan
$
Notional
amount
IRS
$
216 million
BeginningMaturity
amount
date
216 million
November, 2005
date
November, 2010
Beginning MaturityFair ValueFair Value date
July, 2006
date
November, 2010
2008
$
(1,049)
2007
$
(1,515)
This IRS has been contracted as a hedging instrument from an economic perspective but for accounting purposes it has been accounted
for as a trading derivative.
G ru p o
p o sadas
c. Derivative instruments for Exchange Rate Hedging (FX Forwards)
Other exchange rate hedging transactions have been contracted according to the investment policies of the Company and are as
follows:
Notional
BeginningMaturity
amount
1st sale
2nd sale 3rd sale
$
$
$
date
date
11.3 millionOctober, 2008January, 2009
Notional
amount in
thousands of
Exchange rate forward Exchange rate forward
Exchange rate forward
BeginningMaturityFair Value
USDDate
1,000
1,000
1,000
October, 2008
October, 2008
October, 2008
date
2008
January, 2009
January, 2009
January, 2009
$
$
$
(2,506)
(2,496)
(2,276)
63
The changes in the fair value of these instruments are the result of the appreciation of the US dollar against the Mexican peso. These
contracts have been accounted for as trading derivatives. Fluctuations from these instruments are recorded in the CFR.
13. Long–term accrued liabilities
Contingency reserve
$
Employee retirement obligations
Severance payments
$
2008
2007
25,490
$
15,610
15,080
22,657
22,240
9,016
56,171
53,913
$
14. Employee retirement obligations
The net cost for the period for obligations resulting from the pension plan, seniority premiums and severance payments was $10,194
and $20,314 in 2008 and 2007, respectively. Other disclosures required under accounting standards are not considered material.
15. Shares in trust
The Company holds in trust as of December 31, 2008 and 2007, 13,580,362 and 2,337,362 Series “A” shares, respectively, and 965,000
series “L” shares, of Grupo Posadas, S. A. B. de C. V., for assignment and sale to top executives.
A committee has been created to grant the right to purchase and allocate the number of shares to each qualifying executive, based on
performance criteria, with the executive retaining the option to purchase at the end of the corresponding term in question. The selling
price is fixed in US dollars based on the share market value and the exchange rate in effect when assigned to the executive. Given that
the term to execute the share purchase term is three years, with two years’ grace period, interest is charged for the financing period.
As of December 31, 2008 and 2007, the cost of the shares held in trust is $17,916 and $19,998 (at nominal value) respectively.
I nfor me
Anual
20 0 8
16. Stockholders’ equity
a. As of December 31, the capital stock of the Company consists of shares with no par value and is comprised as follows:
Number of Shares
64
2 0 0 8
2 0 0 7
Series “A”Series “L”TotalSeries “A”Series “L”Total
Authorized capital 603,394,827 128,985,074 732,379,901 603,394,827
Less- Unsubscribed
capital
(135,453,063) (20,038,219)(155,491,282)(135,453,063)
Subscribed capital 467,941,764 108,946,855 576,888,619 467,941,764
Less-
Repurchase of shares (6,801,966) (6,474,433) (13,276,399) (6,417,466)
Shares in trust (13,645,962) (1,017,600) (14,663,562) (2,404,962)
Shares in guarantee trust (64,980,546)
- (64,980,546) (76,680,546)
(85,428,474) (7,492,033) (92,920,507) (85,502,974)
382,513,290 101,454,822 483,968,112 382,438,790
128,985,074 732,379,901
(20,038,219)(155,491,282)
108,946,855 576,888,619
(6,470,533) (12,887,999)
(1,017,600) (3,422,562)
- (76,680,546)
(7,488,133) (92,991,107)
101,458,722 483,897,512
b. In accordance with the Company’s bylaws, Series “A” shares may be subscribed by Mexican citizens or entities and may be purchased
by non-residents through a neutral fund constituted in Nacional Financiera, S. N. C. Series “L” shares have limited voting rights and
other limited corporate rights, are of free subscription and are limited to 25% of total stockholders’ equity.
c. Stockholders’ equity, except restated paid-in capital and tax retained earnings, will be subject to ISR at the rate in effect when the
dividend is distributed. Any tax paid on such distribution, may be credited against the ISR payable of the year in which the tax on the
dividend is paid and the two fiscal years following such payment.
d. As of December 31, 2008, the legal reserve amounts to $97,886 (nominal value) and is equal to 20% of nominal capital stock. This reserve
may not be distributed to stockholders during the existence of the Company, except in the form of a stock dividend.
e. Shares in guarantee trust were guaranteed through their subscription and payment by the fiduciary, by means of a guarantee trust
contract executed with Bancomext and the guarantee granted by the latter for securities with a value of $875,000 issued by the Company
in 2003 and prepaid in 2005. The Company’s Management will determine the treatment to be applied to these shares once such trust is
cancelled. During 2008 11,700,000 shares were transferred from this trust to the trust for assignment and sale to top executives.
f. The Stockholders’ Ordinary General Meeting of April 2008, resolved to declare dividends of $174,802, which were paid on June 2, 2008.
In the consolidated statement of changes in stockholders’ equity, these dividends are shown net of dividends of $20,476, reimbursed
from the release of shares in guarantee trust.
g. The Stockholders’ Extraordinary General Meeting of August 2007 resolved that, the maximum amount of resources destined for
the purchase of the Company’s own shares, considering the limitations included in the Mexican Securities’ Exchange Law, would be
$1,900,000, amount that does not exceed the retained earnings balance as of December 31, 2006. During December 2007, the provision
for the repurchase of shares was increased by $1,253,090 with charge to retained earnings.
h. The Stockholders’ Ordinary General Meeting of April 2007 resolved to declare dividends of $152,658, which were paid on June 1, 2007.
In the consolidated statement of changes in stockholders’ equity, these dividends are shown net of dividends of $21,636 reimbursed
from the release of shares in guarantee trust.
i. Due to preferred stockholders of subsidiary - During 2006, the Company, through a subsidiary, acquired 23,413,903 preferred shares
of Promotora del Caribe, S. A. with a par value of US1.00 each which represent the conversion of Mexican public debt invested by its
stockholders in a hotel in Mexico, at a price of $296,671.
G ru p o
p o sadas
17. Foreign currency position and transactions
As of December 31, the foreign currency position is:
2008
2007
Thousands of US dollars:
Current-
Monetary assets
46,428
34,236
Monetary liabilities
(38,722)
(32,953)
7,706
1,283
Long-term-
Monetary assets
90,044
52,975
(99,551)
(228,493)
(9,507)
(175,518)
Net foreign currency liability position
(1,801)
(174,235)
$
(24,382) $ (2,358,845)
Thousands of Brazilian reals:
Monetary assets
Net foreign currency asset position
$
Thousands of Argentinean pesos:
Monetary assets
Net foreign currency asset position
$
2008
2007
46,560
(24,983)
34,727
(23,934)
21,577
10,793
124,996
$
62,523
24,838
(11,213)
24,119
(11,548)
13,625
12,571
53,391
49,261
$
65
December 31, April 3,
Mexican pesos per US dollar
Mexican pesos per Brazilian real
Mexican pesos per Argentinean peso
Mexican pesos per Chilean peso
2008
$
$
$
$
13.5383
5.793
3.9186
0.0211
$
$
$
$
2007
10.8662
6.1346
3.4496
0.0218
$
$
$
$
2009
13.7924
6.2488
3.7337
0.0238
Transactions denominated in foreign currencies that are carried out by the companies located in Mexico primarily consist of revenues
from hotel operations, Vacation Club memberships and real estate development sales, and interest expense.
18. Transactions with related parties
a. During 2008 and 2007, the Company had the following transactions with the related parties, which are presented in the consolidated
statement of operations as revenues in other businesses:
2008
102,115
32,083
6,493
-
Reservation service
Maintenance fees services
Technical assistance
Financial advisory services
$
$
$
$
$
$
$
$
2007
47,150
-
-
22,777
I nfor me
Anual
20 0 8
b. Employee benefits granted to Company’s key management (and/or prominent executives) were as follows:
2008
2007
Short-and long-term direct benefits
$
50,109
$
48,343
Severance benefits
$
4,887
$
4,425
19. Other expenses
Loan agreements’ signing costs
$
Preoperating costs
PTU
Loss on sale of fixed assets, net
Discontinued operations result
Other
$
66
2008
186,419 $
10,503
5,095
10,076
(5,414)
28,049
234,728
$
2007
20,743
48,792
20,772
3,060
3,782
25,753
122,902
20. Income taxes
In accordance with the Mexican tax law, in 2008 the Company was subject to ISR and IETU, and in 2007, to ISR and IMPAC.
ISR is computed taking into consideration the taxable and deductible effects of inflation. The tax rate is 28% The Company pays
fails consolidated ISR and through 2007, IMPAC, with most of its Mexican subsidiaries base on the daily average of the subsidiaries
voting stock held by the Company.
IETU applies to the sale of goods, the provision of independent services and the granting of temporary use or enjoyment of goods,
according to the terms of the Business Flat Tax Law, less certain authorized deductions. IETU payable is calculated by subtracting
certain tax credits from the tax determined. Revenues, as well as deductions and certain tax credits, are determined based on cash
flows generated beginning January 1, 2008. The IETU rate will be 16.5% in 2008, 17% in 2009, and 17.5% as of 2010. The Asset Tax
Law was repealed upon enactment of the IETU Law; however, under certain circumstances, IMPAC paid in the ten years prior to
the year in which ISR is paid, may be refunded, according to the terms of the law. In addition, as opposed to ISR, the parent and its
subsidiaries will incur IETU on an individual basis.
In 2007, IMPAC was calculated by applying 1.25% to the net average value of the majority of the Company’s assets (at restated
values), without deducting any liabilities, and was paid only to the extent that it exceeded ISR payable for the same period.
Based on its financial projections the Company determined that it will basically pay ISR only in Mexico, and some subsidiaries will
pay IETU, consequently, the Company computed both deferred ISR and deferred IETU.
Tax regulations in Brazil - According to current Brazilian Income Tax Law, the subsidiaries operating in that country are subject to
federal income and social contribution taxes, which are computed at the respective rates of 26% and 8%. The federal income tax
may be reduced by certain amounts, when applicable, if the companies invest an equivalent amount in government-approved
projects and in other priority areas or industries in Brazil.
As of December 31, 2008, the subsidiaries that operate in Brazil had tax loss carry forwards for income tax purposes of $13,036.
Likewise, these companies did not recognize deferred income tax effects due to the uncertainty of the recovery of the tax losses.
Tax regulations in Argentina - According to current Argentinean Income Tax Law, the subsidiary operating in that country is subject
to both income and minimum presumptive income taxes. The income tax rate in force is 35% on the estimated taxable income of
each fiscal year. The minimum presumptive income tax is computed at 1% on the potential income from certain performing assets;
thus, the Company’s tax obligation will coincide with the higher of the two taxes.
Tax regulations in the United States - According to current US Income Tax Law, the subsidiaries operating in that country are subject
to income taxes at a rate of 35%.
G ru p o
p o sadas
Taxable income for Mexico - The principal differences between income for tax and accounting purposes were those related to inflation effects,
participation in net earnings of associated companies, the difference between purchases and cost of operations, amortization of deferred
credits and the utilization of tax loss carry forwards.
a. Income taxes are as follows:
Current ISR
$
Deferred ISR
Current IETU
Deferred IETU
Current IMPAC
$
2008
2007
23,337 $
(226,899)
11,729
80,607
-
183,360
(69,359)
(28,102
73,747
(111,226)
159,646
$
b. The main items originating a deferred ISR liability are:
2008
2007
Notes receivable
$
425,582 $
361,489
Allowance for doubtful accounts
(3,535)
(3,322)
Inventories
(17,698)
(20,639)
Property and equipment 1,462,783 1,485,987
Other assets
24,014
(56,112)
Reserves
(357,289)
(300,839)
Tax loss carry forwards
(307,594)
(11,283)
Recoverable IMPAC
(72,380)
(68,280)
Tax benefits (Conacyt)
6,219
-
Deferred IETU liability (asset)
52,505
(28,102)
1,212,607 1,358,899
Translation effects of functional currency and foreign operations
4,138
-
$ 1,216,745 $ 1,358,899
67
c. At a consolidated level, as of December 31, 2008 and 2007, there are no consolidated tax loss carry forwards and the recoverable IMPAC is
$72,380, for which a partial deferred ISR asset has been recognized, and can be recovered subject to certain conditions.
d. As of December 31, the main items comprising the net liability (asset) balance of deferred IETU are:
Deferred revenue
$
Property and equipment
Reserves
Severance payments Valuation allowance for severance payments Revenue-other
Recoverable IMPAC Valuation allowance for recoverable IMPAC
Total liability (assets)
$
2008
2007
(27,040) $
37,481
3,200
(4,532)
(5,374)
48,114
1,247
(1,304)
713
(25,956)
33,821
3,356
(6,893)
(4,600)
3,085
350
(56,678)
25,413
52,505
$
(28,102)
I nfor me
Anual
20 0 8
21. (Loss) earnings per share
The amounts used to determine diluted earnings per share were as follows:
2008
Mexican
NumberPesos
Loss of shares per share Net loss attributable to common stock
Convertible debt in common shares
$
(615,421) 494,976,251
$
(1.2433)
$
- 16,329,114
(615,421) 511,305,365
$
-
(1.2036)
2007
Mexican
Number
68
Net income attributable to common stock
Convertible debt in common shares
pesos
Income of shares per share
$
$
126,112 488,205,350
- 16,329,114
126,112 504,534,464
$
$
0.2583
-
0.2499
22. Deferred credits
Vacation Club deferred revenues, net of costs and expenses $
Loyalty programs
Maintenance fees
Other deferred revenues $
2008
2007
269,349 $
19,027
512
3,830
294,854
117,455
7,289
4,051
292,718
423,649
$
Vacation Club deferred revenues recorded as of December 31, 2008 and 2007, refer to net revenues on the “pre-sale” of the third stage of
the hotel construction in Los Cabos, Baja California Sur, whose construction began in 2007.
23. Commitments
As of December 31, 2008 and 2007, the Company has operating leasing contracts for certain real estate it occupies, which typically have
duration of 10 years. Rental payments were established at variable percentages between 18% and 12% of revenues from hotel operations
generated by each property. For the years ended December 31, 2008 and 2007, lease expense was $333,161 and $233,830, respectively.
24. Contingencies
a. As of December 31, 2007, the Company is involved in certain fiscal proceedings either as petitioner or defendant, whose eventual
outcomes cannot be anticipated. Company’s management and its external advisors consider that the Company has sound legal
arguments to prevent such legal proceedings from significantly affecting its consolidated financial position or results.
b. Certain subsidiaries are involved in litigation arising in the ordinary course of business. The principal claims have been covered by the
contingency reserve shown in the balance sheet as long-term accrued liabilities. In the opinion of management and the Company’s legal
department, the outcome of the uncovered contingencies is not likely to have a material adverse effect on the Company’s consolidated
financial position and operating results.
G ru p o
p o sadas
25. Information by geographical areas and business segments
The Company operates in different geographical areas including Mexico, South America (Brazil, Argentina and Chile) and United States of
America. The main financial captions by geographical area for 2008 are:
SouthUnited States
Total operating revenues
Depreciation, amortization
and real estate leasing
Operating (loss) income
Net consolidated loss
Total assets Total liabilities and
deferred credits
MexicoAmerica
$
6,145,709
$
$
$
$
$
588,597
1,091,786
(612,136)
11,234,958
$
$
$
$
$
8,792,887
$
of America
710,435 $
125,749
88,270
(59,941)
2,196,098
Consolidated
48,376 $
$
$
$
$
7,995
(39,287)
(29,769)
113,718
270,693 $
6,904,520
$
$
$
$
722,341
1,140,769
(701,846)
13,544,774
22,351 $
9,085,931
Total assets and depreciation, amortization and real estate leasing, for business segments for the year ended December 31, 2008 are as
follows:
HotelHotel
operation and managementOther
Total assets
Depreciation,
amortization and real
estate leasing corporate
and brandbusinesses
Consolidated
$
6,514,153
$
576,769 $
6,453,852 $
13,544,774
$
641,407
$
1,144 $
79,790 $
722,341
The main financial captions by geographical area for 2007 are:
SouthUnited States
Total operating revenues
and real estate leasing Operating income (loss)
Net consolidated
income (loss)
Total assets
Total liabilities and
deferred credits
MexicoAmerica of America
Consolidated
$
5,265,866
$
654,259 $
54,099 $
5,974,224
$
$
576,044
1,006,858
$
$
82,279 $
56,971 $
6,469 $
(31,916) $
664,792
1,031,913
$
$
245,129
10,793,004
$
$
(24,281) $
2,228,445 $
(20,283) $
123,331 $
$
7,638,184
$
195,546 $
18,635 $
200,565
13,144,780
7,852,365
Total assets and depreciation, amortization and real estate leasing, for business segments for the year ended December 31, 2007 are as
follows:
HotelHotel
operation and managementOther
corporate
and brandbusinesses
Consolidated
Total assets
and real estate leasing $
8,453,185
$
714,305 $
3,974,290 $
13,144,780
$
633,505
$
1,404 $
29,883 $
664,792
I nfor me
Anual
20 0 8
69
26. New accounting principles
As part of its efforts to converge Mexican standards with international standards, in 2008, the Mexican Board for Research and Development
of Financial Information Standards (“CINIF”) issued the following NIFs and INIFs, which became effective for fiscal years beginning on
January 1, 2009:
NIF B-7, Business Acquisitions
NIF B-8, Consolidated or Combined Financial Statements
NIF C-7, Investments in Associated Companies and other Permanent Investments
NIF C-8, Intangible Assets
NIF D-8, Share-based Payments
Some of the significant changes established by these standards are as follows:
NIF B-7, Business Acquisitions. Requires fair value measurement of the non controlling interest (minority interest) as of the acquisition date
and recognition of the overall goodwill at fair value.
NIF B-7 establishes that acquisition costs should not be part of the consideration paid and restructuring costs should not be recognized as
an assumed liability from the acquisition.
7 0
NIF B-8, Consolidated or Combined Financial Statements. Establishes that special purpose entities, over which control is exercised, should
be consolidated. Provided certain requirements are met, it allows the option to present stand-alone financial statements of intermediate
controlling companies and requires that potential voting rights be considered to analyze whether control exists.
NIF C-7, Investments in Associated Companies and other Permanent Investments. Requires that investments in special purpose entities
where significant influence is exercised be valued using the equity method. It also requires that potential voting rights be considered to
analyze whether significant influence exists. In addition, NIF C-7 establishes a specific procedure and sets caps to the recognition of losses
in associated companies, and requires that investments in associated companies be presented including the related goodwill.
NIF C-8, Intangible Assets. Requires that any pre-operating expenses not yet amortized as of December 31, 2008 be cancelled against
retained earnings.
NIF D-8, Share-based Payments. Sets the rules for recognition of share-based payments (at fair value of goods received or at fair value of
equity instruments granted), including the granting of stock options to employees. Therefore, the use of IFRS 2, Share-Based Payments,
that was supplementally applied is discontinued.
At the date of issuance of these consolidated financial statements, the Company is in the process of determining the effects of these new
standards on its financial information.
27. International financial reporting standards
In January 2009, the National Banking and Securities Commission published the amendments to its Single Circular for Issuers which
requires companies to file financial statements prepared according to the International Financial Reporting Standards beginning in 2012,
and permits their early adoption.
28. Subsequent event
Regarding the loan agreement celebrated on December 2008 with Bancomext for US27.3 million, during January 2009, a US27 million
withdrawals was made under same terms and conditions established in the contract.
29. Financial statements issuance authorization
These consolidated financial statements prepared by Management, were authorized by the Audit Committee on April 3, 2009, and are
subject to the approval at the Board of Directors and Stockholders’ Ordinary General Meeting, where the financial statements may be
modified based on provisions of the Mexican General Corporate Law. The consolidated financial statements at December 31, 2007 were
approved at the General Stockholders’ Ordinary Meeting on April 14, 2008.
G ru p o
p o sadas
Aqua Cancún
Blvd. Kukulcán Km.12.5 Hotel Zone,
C.P. 77500, Cancún, Q.R.
Tel. (998) 881 7600
Fax. (998) 881 7601
FIESTA AMERICANA GRAND
CORAL BEACH CANCÚN
Blvd.Kukulkán Km. 9.5,
Lote 6, Hotel Zone,
Tel. (998) 881 3200
Fax. (998) 881 3288
Fiesta Americana Grand
Chapultepec
Mariano Escobedo Nº 756,
col. Anzures,C.P. 11590,
México, D.F.
Tel. (55) 2581 1500
Fax. (55) 2581 1501
Fiesta Americana
Aguascalientes
Calle Laureles s/n, col. Las Flores,
C.P. 20000, Aguascalientes, Ags.
Tel. (449) 910 0500
Fax. (449) 910 0501
Fiesta Americana
Centro Monterrey
Av. Corregidora Nº 519 Oriente,
Zona Centro, C.P. 64000,
Monterrey, N.L.
Tel. (81) 8319 0900
Fax. (81) 8319 0919
Fiesta Americana
Condesa Cancún
Blvd. Kukulkán Km. 16.5,
Hotel Zone,
Tel. (998) 881 4200
Fax. (998) 885 2005
Fiesta Americana
Cozumel Dive Resort
Carretera a Chankanaab Km. 7.5,
C.P. 77600, Cozumel, Q.R.
Tel. (987) 872 9600
Fax. (987) 872 2666
Fiesta Americana
Guadalajara
Aurelio Aceves Nº 225,
Glorieta Minerva,
col. Vallarta Poniente,
C.P. 44110, Guadalajara, Jal.
Tel. (33) 3818 1400
Fax. (33) 3615 6561
Guadalajara Country Club
Av. Américas Nº 1551, C.P. 44610,
Guadalajara, Jal.
Tel. (33) 3648 3500
Fax. (33) 3648 3535
Los Cabos Golf & Spa
Hotel and Vacation Club
Carretera Transpeninsular, km 10.3,
Desarrollo Cabo del Sol, C.P 23410,
Los Cabos B.C.S.
Tel. (624) 145 6200
Fax. (624) 145 6265
71
Fiesta Americana
Hacienda Galindo
Carretera Amealco-Galindo Km. 5.5,
col. San José Galindo, C.P. 76820,
San Juan del Río, Qro.
Tel. (427) 271 8200
Fax. (427) 271 8222
Fiesta Americana
Puerto Vallarta
Av. Francisco Medina Ascencio
Km. 2.5, C.P. 48300,
Puerto Vallarta, Jal.
Tel. (322) 226 2100
Fax. (322) 224 2108
Fiesta Americana
Hermosillo
Blvd. Eusebio Kino Nº 369,
col. Lomas Pitic,
C.P. 83010, Hermosillo, Son.
Tel. (662) 259 6000
Fax. (662) 259 6061
Fiesta Americana Querétaro
Blvd. Bernardo Quintana Arrioja
Nº 4050, Col. Álamos 3ª Secc.,
C.P. 76160, Querétaro, Qro.
Tel. (442) 192 9999
Fiesta Americana León
Blvd. Adolfo López Mateos Nº 1102,
Oriente, col. Los Gavilanes,
C.P. 37270, León, Gto.
Tel. (477) 719 8000
Fax. (477) 719 8028
Fiesta Americana Mérida
Calle 56A Nº 451, Esq. Av. Colón,
C.P. 97000, Mérida, Yuc.
Tel. (999) 942 1111
Fax. (999) 942 1112
Fiesta Americana Puebla
Blvd. Atlixcayotl Km. 5,
C.P. 72810, Puebla, Pue.
Tel. (222) 225 9300
Fax. (222) 225 9365
Fax. (442) 192 9920
Fiesta Americana Reforma
Av. Paseo de la Reforma Nº 80,
col. Juárez, C.P. 06600, México, D.F.
Tel. (55) 5140 4100
Fax. (55) 5140 4140
Fiesta Americana Santa Fe
Calle 3, Nº 55,
col. Lomas de Santa Fe,
C.P. 01219, México, D.F.
Tel. (55) 1105 5000
Fax. (55) 1105 5021
Fiesta Americana Veracruz
Prol. Blvd. Manuel Ávila Camacho s/n,
Fracc. Costa de Oro.
C.P. 94299, Boca del Río, Ver.
Tel. (229) 989 8989
Fax. (229) 989 8904
I nfor me
Anual
20 0 8
Fiesta Americana
Villas Acapulco
Av. Costera Miguel Alemán Nº 97,
C.P. 39690, Acapulco, Gro.
Tel. (744) 435 1600
Fax. (744) 435 1645
Fiesta Americana
Villas Cancún
Blvd. Kukulkán Km. 8.5,
Hotel Zone,
Tel. (998) 881 1400
Fax. (998) 881 1404
Fiesta Inn in mexico city:
Fiesta Inn Periférico Sur
Periférico Sur Nº 5530,
col. Pedregal de Carrasco,
Tel. (55) 5096 9300
Fax. (55) 5096 9310
Fiesta Inn Cd. de México
Aeropuerto
Blvd. Puerto Aéreo Nº 502,
col. Moctezuma, Segunda Sección,
Tel. (55) 5133 6600
Fax. (55) 5133 6618
7 2
Fiesta Inn Centro Histórico
Avenida Juárez N° 76, col. Centro,
Tel. (55) 5130 2900
Fax. (55) 5130 2910
Fiesta Inn Cuautitlán
Av. Chalma s/n, esq. Autopista
México-Querétaro Lote 8,
col. Jardines de la Hacienda Norte,
C.P. 54730, Cuautitlán Izcalli,
Edo. de México.
Tel. (55) 5864 1500
Fax. (55) 5864 1510
Fiesta Inn Ecatepec
Av. Central s/n, esq. 1° de Mayo,
col. Conjunto Urbano Las Américas,
C.P. 55076, Ecatepec, Edo. de Méx.
Tel. (55) 5836 0300
Fax. (55) 5836 0380
Fiesta Inn Naucalpan
Periférico Norte, esq. Gustavo Baz,
C.P. 53370, Naucalpan,
Edo. de México.
Tel. (55) 5387 9910
Fax. (55) 5359 1015
Fiesta Inn Insurgentes
Viaducto
Insurgentes Sur N° 553,
col. Escandón, C.P. 11800,
México, D.F.
Tel. (55) 5276 7400
Fax. (55) 5276 7499
Fiesta Inn Perinorte
Carretera México-Querétaro
Km. 32.5, esq. Ferrocarrilera,
col. Lechería, C.P. 54900,
Tultitlán, Edo. de Méx.
Tel. (55) 5899 4500
Fax. (55) 5899 4517
G ru p o
p o sadas
Fiesta Inn Santa Fe
Calle 3 Nº 55, col. Lomas de Santa Fe,
Tel. (55) 1105 5100
Fax. (55) 1105 5110
Fiesta Inn Tlalnepantla
Sor Juana Inés de la Cruz Nº 22,
col. Centro, C.P. 54000,
Tlalnepantla, Edo. de Méx.
Tel. (55) 5729 4100
Fax. (55) 5729 4121
En el interior de
la República:
Fiesta Inn Acapulco
C.P. 39690, Acapulco, Gro.
Tel. (744) 435 0500
Fax. (744) 435 0509
Fiesta Inn Aguascalientes
Mahatma Gandhi Nº 302 Sur,
C.P. 20280, Aguascalientes, Ags.
Tel. (449) 149 0200
Fax. (449) 149 0206
Fiesta Inn Celaya
Carretera Panamericana Km. 5 s/n,
C.P. 38060, Celaya, Gto.
Tel. (461) 618 8600
Fax. (461) 618 8610
Fiesta Inn Chihuahua
Blvd. Antonio Ortiz Mena Nº 2801,
col. Quintas del Sol,
C.P. 31250, Chihuahua, Chih.
Tel. (614) 429 0100
Fax. (614) 429 0110
Los Cabos Golf & Spa
Hotel y Club Vacacional
Carretera Transpeninsular, km 10.3,
Desarrollo Cabo del Sol,
C.P 23410,
Los Cabos B.C.S.
Tel. (624) 145 6200
Fax. (624) 145 6265
Fiesta Inn
Ciudad del Carmen
Av. Periférica Norte s/n,
esq. Ave. La Concordia,
col. Petrolera, C.P. 24170,
Ciudad del Carmen, Camp.
Tel. (938) 381 0200
Fax. (938) 286 0722
Fiesta Inn Ciudad Juárez
Paseo Triunfo de la República N° 3451,
col. Circuito Pronaf, C.P. 32315,
Ciudad Juárez, Chih.
Tel. (656) 686 0700
Fax. (656) 686 0701
Fiesta Inn
Ciudad Obregón
Av. Miguel Alemán Nº 755 Norte,
esq. Cajeme Zona Norte,
C.P. 35200, Cd. Obregón, Son.
Tel. (644) 410 8484
Fax. (644) 410 8480
Fiesta Inn Coatzacoalcos
Blvd. Costero Nº 801,
col. Santa Isabel, C.P. 96538,
Coatzacoalcos, Ver.
Tel. (921) 211 1700
Fax. (921) 211 1710

Fiesta Inn Colima
Prol. Camino Real N° 1101,
col. El Diezmo, C.P. 28010,
Colima, Col.
Tel. (312) 316 4444
Fax. (312) 316 4401
Fiesta Inn Cuernavaca
Carretera México-Acapulco
Km. 88 s/n, col. Delicias,
C.P. 62330, Cuernavaca, Mor.
Tel. (777) 100 8200
Fax. (777) 100 8217
Fiesta Inn Culiacán
J. Diego Valadez Ríos N° 1676
Poniente, Sec. Des. Urbano 3 Ríos,
C.P 80020, Culiacán, Sin.
Tel. (667) 759 5900
Fax. (667) 759 5999
Fiesta Inn Durango
Av. Felipe Pescador Nº 1401,
col. La Esperanza, C.P. 34080,
Durango, Dgo.
Tel. (618) 150 0900
Fax. (618) 150 0915
Fiesta Inn Guadalajara Expo
Av. Mariano Otero Nº 1550,
col. Rinconada del Sol, C.P. 45055,
Guadalajara, Jal.
Tel. (33) 3669 3200
Fax. (33) 3669 3247
Fiesta Inn Hermosillo
Blvd. Eusebio Kino Nº 371,
col. Lomas Pitic, C.P. 83010,
Hermosillo, Son.
Tel. (662) 289 2200
Fax. (662) 289 2219
Fiesta Inn La Paz
Carretera a Pichilingue Km. 7.5,
en Marina Costa Baja, C.P. 23010,
La Paz, B.C.S.
Tel. (612) 123 6000
Fax. (612) 123 6010
Fiesta Inn León
Blvd. Adolfo López Mateos Nº 2702
Oriente, col. Jardines de Jerez II,
C.P. 37530, León, Gto.
Tel. (477) 710 0500
Fax. (477) 710 0506
Fiesta Inn Mazatlán
Av. Camarón Sábalo Nº 1927,
C.P. 82110, Mazatlán, Sin.
Tel. (669) 989 0100
Fax. (669) 989 0130
Fiesta Inn Mexicali
Calz. Adolfo López Mateos N° 1029,
col. Industrial Centro Cívico,
C.P. 21000, Mexicali, B.C.N.
Tel. (686) 837 3300
Fax. (686) 837 3310
Fiesta Inn Monclova
Blvd. Harold R. Pape Nº 1909,
col. Jardines de La Salle, C.P. 25730,
Monclova, Coah.
Tel. (866) 649 4900
Fax. (866) 649 4910
Fiesta Inn Monterrey
Centro
Av. Pino Suárez Nº 1001,
esq. Av. Ocampo, col. Centro,
C.P. 64000, Monterrey, N.L.
Tel. (81) 8150 2200
Fax. (81) 8150 2222
Fiesta Inn Monterrey
Fundidora
Av. Churubusco Nº 701,
esq. Prolongación Av. Madero,
col. Fierro, C.P. 64590,
Monterrey, N.L.
Tel. (81) 8126 0500
Fax. (81) 8126 0510
Fiesta Inn Monterrey La Fe
Carretera Miguel Alemán Km. 105,
col. La Fe, C.P. 66486,
San Nicolás de los Garza, N.L.
Tel. (81) 8319 7500
Fax. (81) 8319 7510
Fiesta Inn Monterrey Norte
Av. Fidel Velázquez Nº 3000,
col. Central, C.P. 64270,
Monterrey, N.L.
Tel. (81) 8389 8989
Fax. (81) 8389 8900
Fiesta Inn Monterrey Valle
Av. Lázaro Cárdenas Nº 327 Oriente,
col. Valle Oriente,
San Pedro Garza García,
C.P. 66269, Monterrey, N.L.
Tel. (81) 8399 1500
Fax. (81) 8319 1501
Fiesta Inn Morelia
Av. Ventura Puente,
esq. Av. Camelinas s/n,
col. Félix Ireta, C.P. 58070,
Morelia, Mich.
Tel. (443) 322 8000
Fax. (443) 315 0281
Fiesta Inn Nogales
Calz. Industrial Nuevo Nogales N° 3
col. Parque Industrial, C.P. 84092,
Nogales, Son.
Tel. (631) 311 6000
Fax. (631) 311 6002
Fiesta Inn Nuevo Laredo
Av. Reforma Nº 5530, col. Lagos,
C.P. 88290, Nuevo Laredo, Tamps.
Tel. (867) 711 4444
Fax. (867) 711 4400
Fiesta Inn Oaxaca
Av. Universidad Nº 140,
Ex-Hacienda de Candiani,
C.P. 68130, Oaxaca, Oax.
Tel. (951) 501 6000
Fax. (951) 501 6005
Fiesta Inn Orizaba
Oriente 6-892, col. Centro,
C.P. 94300, Orizaba, Ver.
Tel. (272) 728 0300
Fax. (272) 728 0310
Fiesta Inn Pachuca
Carretera México-Pachuca Km. 85.5,
col. Venta Prieta,
C.P. 42080, Pachuca, Hgo.
Tel. (771) 717 0700
Fax. (771) 717 0726
Fiesta Inn Poza Rica
Av. Ejército Nacional N° 103,
col. Palma Sola, C.P. 93320,
Poza Rica,Ver.
Tel. (782) 826 1600
Fax. (782) 826 1630
Fiesta Inn Puebla FINSA
Carretera Lateral,
Autopista México-Puebla Nº 7735,
Rancho Moratilla, C.P. 72110,
Puebla Pue.
Tel. (222) 223 8800
Fax. (222) 223 8888
Fiesta Inn Querétaro
Av. 5 de Febrero Nº 108,
col. Niños Héroes,
C.P. 76010,Querétaro, Qro.
Tel. (442) 196 0000
Fax. (442) 196 0015
Fiesta Inn Reynosa
Carretera Monterrey-Reynosa Km. 212,
Frente col. Valle Alto,
C.P. 88746, Reynosa, Tamps.
Tel. (899) 909 4400
Fax. (899) 909 4410
Fiesta Inn Saltillo
Carretera Saltillo-Monterrey Nº 6607,
C.P. 25270, Saltillo, Coah.
Tel. (844) 411 0000
Fax. (844) 411 0015
Fiesta Inn San Luis Potosí
Glorieta Juárez
Av. Benito Juárez núm. 130,
Fracc. Prados Glorieta 78390,
Carretera 57, lado sur,
Distribuidor Juárez.
C.P. 78390, San Luis Potosí, S.L.P.
Tel. (444) 834 9494
Fax. (444) 822 0550
I nfor me
Anual
20 0 8
73
Fiesta Inn
San Luis Potosí Oriente
Carretera 57,
San Luis Potosí-Querétaro
Km. 197+100, No. 2390,
Zona Industrial, Periférico Oriente.
C.P. 78390, San Luis Potosí, S.L.P.
Tel. (444) 834 4900
Fax. (444) 834 4910
Fiesta Inn Tampico
Av. Hidalgo N° 6106,
col. Laguna de la Herradura,
C.P. 89219, Tampico, Tmps.
Tel. (833) 230 0500
Fax. (833) 224 7901
Fiesta Inn Tepic
Blvd. Luis Donaldo Colosio Nº. 580,
col. Benito Juárez Ote.
C.P. 63175, Tepic, Nay.
Tel. (311) 129 5950
Fax. (311) 129 5951
7 4
p o sadas
Fiesta Inn Veracruz
Malecón
General Figueroa Nº 68,
col. Centro, C.P. 91709,
Veracruz, Ver.
Tel. (229) 923 1500
Fax. (229) 923 1509
Fiesta Inn
Torreón La Rosita
Paseo de la Rosita Nº 910,
col. Campestre La Rosita,
C.P. 27250, Torreón, Coah.
Tel. (871) 729 4300
Fax. (871) 729 4355
Fiesta Inn Villahermosa
Paseo de la Choca N° 107,
Tabasco 2000, C.P. 86035,
Villahermosa, Tab.
Tel. (993) 310 1600
Fax. (993) 310 1610
Fiesta Inn Torreón Galerías
Periférico Raúl López Sánchez
N° 6000, col. Fresno,
C.P. 27018, Torreón, Coah.
Tel. (871) 749 3300
Fax. (871) 749 3319
Fiesta Inn Tijuana Río
Paseo de los Héroes Nº 18818,
Zona Río, C.P. 22320,
Tijuana, B.C.N.
Tel. (664) 636 0000
Fax. (664) 636 0003
Fiesta Inn Tuxtla Gutiérrez
Av. Prolongación Anillo de
Circunvalación Sur Nº 248,
col. Santa Elena, C.P. 29060,
Tuxtla Gutiérrez, Chis.
Tel. (961) 617 1300
Fax. (961) 617 1314
Fiesta Inn Tijuana
Otay Aeropuerto
Rampa Aeropuerto Nº 16,000,
col. La Pechuga, Mesa de Otay,
C.P. 22000, Tijuana, B.C.N.
Tel. (664) 979 1900
Fax. (664) 979 1910
Fiesta Inn Veracruz
Boca del Río
Prol. Blvd. Manuel Avila Camacho s/n,
Fracc. Costa de Oro,C.P. 94299,
Boca del Río, Ver.
Tel. (229) 923 1000
Fax. (229) 923 1001
One Acapulco Costera
col. Costa Azul,C.P. 39850,
Acapulco, Gro.
Tel. (744) 435 0470
Fax. (744) 435 0471
One Coatzacoalcos FÓrum
Av. Universidad Km. 8,
col. El Tesoro, C.P. 96536,
Coatzacoalcos, Ver.
Tel. (921) 211 4500
Fax. (921) 218 4733
One Aguascalientes
Ciudad Industrial
Blvd. José Ma. Chávez Nº 2010,
col. Cd. Industrial, C.P. 20290,
Aguascalientes, Ags.
Tel. (449) 149 2500
Fax. (449) 149 2509
One Monterrey Aeropuerto
Blvd. Aeropuerto, Nº 12,
col. Parque Industrial Millenium,
C.P 66600, Apodaca, N.L.
Tel. (81) 1156 9950
Fax. (81) 1156 9955
One Patriotismo
Ciudad de México
Av. Patriotismo Nº 229,
col. San Pedro de los Pinos,
Tel. (55) 5278 5000
Fax. (55) 5278 5010
G ru p o
Fiesta Inn Toluca Tollocan
Paseo Tollocan Oriente Nº 1132,
esq. Francisco I. Madero,
col. Santa Ana Tlapaltitlán,
C.P. 50160, Toluca, Edo. de Méx.
Tel. (722) 276 1000
Fax. (722) 276 1010
One Querétaro
Plaza Galerías
Av. 5 de Febrero Nº 108-A,
col. Niños Héroes,C.P. 76010,
Querétaro, Qro.
Tel. (442) 101 8800
Fax. (442) 101 8810
Fiesta Inn Xalapa
Carretera Xalapa-Veracruz Km. 2.5,
esq. Blvd. Vista Hermosa,
Fracc. Las Ánimas, C.P. 91190,
Xalapa, Ver.
Tel. (228) 841 6800
Fax. (228) 841 6810
One San Luis Potosí
Glorieta Juárez
Av. Benito Juárez Nº 140,
Fracc. Prados Glorieta, C.P. 78390,
San Luis Potosí, S.L.P.
Tel. (444) 100 9400
Fax. (444) 100 9405
One Toluca Aeropuerto
Blvd. Miguel Alemán, Mz. 1 Lote D,
col. San Pedro Totoltepec,
C.P. 50200, Toluca, Edo. de Méx.
Tel. (722) 276 0480
Fax. (722) 276 0481
Caesar Park Buenos Aires
Posadas Nº 1232, Capital Federal,
C.P. C1011ABF,
Buenos Aires, Arg.
Tel. (5411) 4819 1100
Fax. (5411) 4819 1121
Caesar Park RIo de
Janeiro-Ipanema
Av. Vieira Souto Nº 460,
22420-000 Rio de Janeiro-RJ Bra.
Tel. (5521) 2106 4700 / 2525 2525
Fax. (5521) 2521 2509
Caesar Park
Silver Buenos Aires Obelisco
Cerrito 330, C 1010AAH,
Buenos Aires, Arg.
Tel (5411) 4106 4444
Fax. (5411) 4106 4400
Caesar Park
São Paulo Faria Lima
Rua das Olimpiadas Nº 205,
04551-000, São Paulo, Bra.
Tel. (5511) 2163 6622
Fax. (5511) 3049 6699
Caesar Business Belo
Horizonte Belvedere
Av. Luis Paulo Franco 421,
Belvedere 30320-570,
Belo Horizonte,
Minas Gerais, Bra.
Tel. (5531) 2123 9898
Fax. (5531) 2123 9899
Caesar Business
Santiago Centro
Alameda Libertador Bernardo
O’Higgins, 632 Centro,
Santiago de Chile, Chile.
Tel. (562) 595 6622
Fax. (562) 595 6600
Caesar Business
São Pualo Faria Lima
Rua Olimpiadas, 205-Vila Olimpia,
04551-000 São Paulo-SP Bra.
Tel. (5511) 2161 4900
Fax. (5511) 3848 6766
Caesar Business
RIo de Janeiro Botafogo
Rua da Pasagen 39, Botafogo,
22290-030, Río de Janeiro,
Rio de Janeiro, Bra.
Tel. (5521) 2131 1212
Fax. (5521) 2131 1200
Caesar Business Lagoa
Dos Ingleses-Alphaville
Avenida Princesa Diana 440,
Pista 2 -Alphaville 34000-000,
Lagoa Dos ingleses, Nova Lima, Bra.
Tel. (5531) 3589 7900
Fax. (5531) 3589 7901
Caesar Business
São Paulo-Paulista
Av. Paulista 2181, Cerq. Cesar,
01311-300, São Paulo,
São Paulo, Bra.
Tel. (5511) 2184 1600
Fax. (5511) 2184 1633
Caesar Business
Caesar Park São Paulo
International Airport
Rod. Hélio Smidt, Sector 1,
acceso da Base Aérea, 07141-970,
Guarulhos-SP Bra.
Tel. (5511) 2124 5800
Fax. (5511) 2124 5801
São José dos Campos,
Hotel & Convention Center
Av. Dep. Benedito Matarazzo 9009,
Jd. Oswaldo Cruz, 12216-550,
São José dos Campos,
São Paulo, Bra.
Tel. (5512) 2136 8700
Fax. (5512) 3947 0067
Caesar Business São Paulo
International Airport
Rod. Hélio Smidt, Sector 1,
acceso da Base Aérea, 07141-970,
Guarulhos-SP Bra.
Tel. (5511) 2124 5800
Fax. (5511) 3491 4321
The Explorean Kohunlich
Carretera Chetumal-Escárcega,
desviación Ruinas Kohunlich Km 5.6,
Municipio Otón P. Blanco,
C.P 77981, Chetumal, Q.R.
Tel. (55) 5201 8350
Fax. (983) 878 2026
I nfor me
Anual
20 0 8
75
feel-aqua.com
fiestamericanagrand.com
fiestamericana.com
fiestainn.com
onehotels.com
caesar-park.com
caesarbusiness.com
favc.com
fiestarewards.com
ampersand.com
konexo.com.mx
altiuspar.com

8 - Posadas

Transcription

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