Arca Continental Announces 18.4% Increase in Net Income with EBITDA Margin up 130BPS in 4Q13

Arca Continental, S.A.B. de C.V. (BMV:AC*), the second-largest Coca-Cola bottler in Latin America and third-largest in the world, announced today its results for the fourth quarter of 2013 (“4Q13”) and full year 2013 (“FY13”).

Financial Highlights

4Q13 HIGHLIGHTS:

• Net sales reached Ps. 15,308 million, representing an increase of 5.6%.
• EBITDA totaled Ps. 3,253 million at a 21.2% margin, up 130bps.
• Net Income rose 18.4% to Ps. 1,279 million at a margin of 8.4%, up 100bps.

FY13 HIGHLIGHTS:

• Net sales were Ps. 60,359 million, for an increase of 7.3%.
• EBITDA reached Ps. 12,812 million, representing a margin of 21.2%, 110bps higher.
• Net Income grew 18.3% to Ps. 5,968 million at a 9.9% margin, which is 90bps above last year.

COMMENTS FROM THE CHIEF EXECUTIVE OFFICER:

“During 2013, in an economy with marginal growth, we further strengthened our market leadership and grew net sales by 7.3%, improved margins significantly, while increasing EBITDA by 13% and net income by 18%. This was all thanks to the commitment and teamwork of our staff to provide excellent service to our customers and make more efficient the various links of our operation," stated Francisco Garza Egloff, Chief Executive Officer of Arca Continental.

“In 2014, under a challenging business climate, the actions taken in recent years to improve various areas of our business will allow us to increase our competitiveness and remain well-positioned to capitalize on new opportunities for profitable growth," he added.

RECENT EVENTS

• On December 6, 2013, the National Banking and Securities Commission (CNBV) and Mexican Stock Exchange (BMV) approved the Company’s Local Notes Program (Certificados Bursátiles) for up to Ps. 15,000 million, for a period of 5 years.
• For the third consecutive year, the BMV announced that Arca Continental will continue to be part of the BMV’s Sustainability and Social Responsibility Index (ISRS) upon demonstrating that it has incorporated the best international practices in the areas of Social and Environmental Responsibility and Corporate Governance.
• On December 23, 2013, Arca Continental paid a cash dividend of Ps.1.50 per share, totaling approximately 2,417 million.

For a full version of this earnings release with financial statements and access to the live webcast of the earnings call, go to: http://www.arcacontal.com/investors.aspx

CONFERENCE CALL INFORMATION

Arca Continental will host a conference call to discuss these results on Wednesday, February 19, 2014 at 10:00 am Mexico/Monterrey time, 11:00 am New York time. To access the call, please dial:

About Arca Continental

Arca Continental produces, distributes and sells non-alcoholic beverages under The Coca-Cola Company brand, as well as snacks under the brands of Bokados in Mexico, Inalecsa in Ecuador and Wise in the U.S. with an outstanding history spanning more than 85 years, Arca Continental is the second-largest Coca-Cola bottler in Latin America and one of the largest in the world. Within its Coca-Cola franchise territory, the Company serves over 53 million consumers in Northern and Western Mexico, Ecuador and Northern Argentina. The Company’s shares trade on the Mexican Stock Exchange under the ticker symbol "AC". For more information on Arca Continental, please visit www.arcacontal.com or download the AC Investor iPad app.

This material may contain forward-looking statements regarding Arca Continental and its subsidiaries based on management’s expectations. This information as well as statements regarding future events and expectations is subject to risks and uncertainties, as well as factors that could cause the results, performance and achievements of the Company to differ at any time. Such factors include changes in the general economic, political, governmental and commercial conditions both domestically and globally, as well as variations in interest rates, inflation rates, exchange rate volatility, tax rates, the demand for and the price of carbonated beverages, water, and the price of sugar and other raw materials used in the production of soft drinks, weather conditions and various others. As a result of these risks and factors, actual results could be materially different from the estimates provided; therefore, Arca Continental does not accept responsibility for any variations or for the information provided by official sources.