SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
March 31, 2004
Commission File Number 1-12752
Glassworks of Chile
(Translation of registrant's name into English)
Hendaya 60
Las Condes
Santiago, Chile
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F /X/ Form 40-F / /
Indicate by check mark if the registrant is submitting the Form 6-K in paper
as permitted by Regulation S-T Rule 101(b)(1): ____
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes / / No /X/
CRISTALERIAS DE CHILE (THE "COMPANY")
REPORT ON FORM 6-K
TABLE OF CONTENTS
1. A free English translation of a press release dated March 29, 2004.
[GRAPHIC OMITTED]
FOR IMMEDIATE RELEASE
NYSE: CGW
Santiago: CRISTALES
www.cristalchile.com
CONTACT IN SANTIAGO:
Ricardo Dunner
Head of Investor Relations
PH: (562) 787-8855
FAX: (562) 787-8800
EMAIL: ir@cristalchile.cl
CRISTALERIAS DE CHILE REPORTS
ITS RESULTS FOR FOURTH QUARTER
AND FULL YEAR ENDED DECEMBER 31, 2003
===============================================================================
Santiago, Chile (March 29, 2004) - Cristalerias de Chile S.A.
("Cristalerias"), a Chilean conglomerate and the largest producer of glass
containers in Chile, today announced its results for the fourth quarter and
full year ended December 31, 2003. All figures have been prepared according to
Chilean GAAP and are stated in constant Chilean Pesos and in US Dollars at
Ch$593.80/US$1, the exchange rate at the close of December 31, 2003.
4Q03 HIGHLIGHTS (vs. 4Q02):
o Consolidated sales increased 1.0%
o Operating income down 9.6%
o EBITDA down 6.1%
o Non-operating loss of Ch$6,771 million in 4Q03 compared to an Ch$8,310
million loss in 4Q02.
o Net income of Ch$4,011 million, compared to Ch$1,693 million income in
4Q02.
o Earnings per ADR reached US$0.32
YE 03 HIGHLIGHTS (vs. YE 02):
o Consolidated sales increased 4.5%
o Operating income down 10.4%
o EBITDA down 6.0%
o Non-operating loss of Ch$28,027 million compared to a loss of Ch$13,132
million in 2002.
o Net income reached Ch$6,427 million compared to Ch$17,837 million
income reported in 2002.
o Earnings Per ADR reached US$0.51
CONSOLIDATED REVENUE
4Q03 vs.
(in Ch$ millions) 4Q03 4Q02 4Q02 YE03
==== ==== ======= ====
TOTAL REVENUE 46,664 46,209 1.0% 169,941
Cristalchile (glass containers) 20,180 20,837 -3.2% 74,549
Vina Santa Rita (wine) 20,406 18,243 11.9% 74,940
CIECSA (media) 7,838 8,423 -6.9% 26,545
Adjustments 1,760 1,294 N/A 6,093
RELATED COMPANIES
Metropolis-Intercom (cable) 11,314 11,621 -2.6% 44,976
Envases CMF (plastic containers) 9,583 11,390 -15.9% 34,543
[logo] Cristalchile 4Q03 and YE 2003
FOURTH QUARTER 2003 RESULTS
CONSOLIDATED RESULTS
4Q03 Revenue Breakdown
[pie chart: Glass 42%, Wine 42%, Media 16%]
During 4Q03, Cristalerias' total consolidated revenue reached Ch$46,664
million, 1.0% over 4Q02. This increase was due to improved sales in Santa Rita
(11.9%); partially compensated by lower sales in the glass container business
(-3.2%) and CIECSA (-6.9%). Adjustments for factors such as intercompany sales
reached Ch$1,760 million during the quarter.
Consolidated operating income decreased by 9.6% during the quarter, totaling
Ch$10,649 million (US$17.9 million). This includes Ch$7,065 million from the
glass container business (Ch$6,670 million in 4Q02), Ch$1,888 million from
Santa Rita (Ch$2,587 million in 4Q02) and Ch$1,720 million from CIECSA
(Ch$2,558 million in 4Q02).
During the quarter, Cristalerias had a Ch$4,011 million (US$6.8 million) net
income, compared with a Ch$1,693 million (US$2.9 million) income in 4Q02. This
is mainly explained by an improved consolidated non-operating loss of Ch$6,771
million (US$ 11.4 million) in 4Q03, compared to a non-operating loss of Ch$8,310
million (US$14.0 million) in 4Q02 and an income tax credit of Ch$242 million
compared to a Ch$1,277 million income tax charge in 4Q02; partially compensated
by the abovementioned lower operating result.
The lower non-operating loss is mainly explained by a Ch$4,832 million loss from
exchange differences (Ch$6,629 million loss in 4Q02) and lower interest expenses
(Ch$1,665 million in 4Q03 vs. Ch$2,291 million in 4Q02). The aforementioned was
partially compensated by a Ch$580 million net loss from subsidiaries that do not
consolidate (Ch$259 million income in 4Q02). The net loss from subsidiaries
includes a Ch$1,047 million charge (Ch$1,044 million charge in 4Q02)
corresponding to goodwill amortization, which does not constitute cash flow.
EBITDA: Operating cash generation decreased from Ch$15,419 million (US$26.0
million) in 4Q02 to Ch$14,484 million (US$24.4 million) in 4Q03. EBITDA margin
for the quarter was 31.0% (33.4% in 4Q02).
The following analysis explains Cristalerias' results based on individual
financial statements, as well as those of its main subsidiaries:
2
[logo] Cristalchile 4Q03 and YE 2003
PACKAGING BUSINESS
Glass
Glass packaging sales during the quarter decreased by 3.2% to Ch$20,180
million (US$34.0 million). Volume sales increased by 5.0%, totaling 73,663
tons. Wine bottle sales decreased by 0.4% mainly due to a decrease in prices,
which are Dollar-indexed. Soft-drink bottle sales decreased by 14.4%, mainly
due to inventory build-up of the 237cc returnable bottle during the rest of
the year, that also affected sales of one-way formats. Liquor bottle sales
decreased by 11.9%, due to a stagnation of the pisco market during 4Q03.
Containers for the food industry decreased due to clients' stock adjustments.
Beer bottle sales increased by 4.7%, due to higher sales of both returnable
and one-way formats.
GLASS
----------------------------------------------------------------
4Q03 vs.
4Q03 4Q02 4Q02
------ ------ ---------
Net Sales(in Ch$ millions) 20,180 20,837 -3.2%
Wine 11,791 11,845 -0.4%
Beer 3,823 3,650 4.7%
Soft Drinks 2,773 3,238 -14.4%
Liquor 1,352 1,534 -11.9%
Food 326 450 -27.4%
Pharmaceutical 113 122 -6.9%
Volume in tons 73,663 70,182 5.0%
Operating income increased by 5.9% to reach Ch$7,065 million (US$11.9 million)
due to lower costs. Operating margins increased to 35.0% (32.0% in 4Q02).
Results for 4Q03 include a non-operating loss of Ch$2,479 million (US$4.2
million), compared to a Ch$4,268 million (US$7.2 million) non-operating loss
in 4Q02. The Company registered a loss from exchange differences of Ch$2,812
million (Ch$4,913 million loss in 4Q02) and lower interest expenses. The
aforementioned was partially compensated by a lower income from subsidiaries
that reached Ch$1,327 million (Ch$2,071 million income in 4Q02).
EBITDA: Operating cash generation increased by 5.8% reaching Ch$9,671 million
(US$16.3 million) in 4Q03. EBITDA margin reached 47.9% (43.9% in 4Q02).
3
[logo] Cristalchile 4Q03 and YE 2003
Plastic
During 4Q03, Envases CMF posted a Ch$700 million (US$ 1.2 million) net income,
compared to a Ch$2,121 million (US$ 3.6 million) net income in 4Q02. Total
sales reached Ch$9,583 million (US$16.1 million), compared with Ch$11,390
million (US$19.2 million) in 4Q02. Volumes decreased by 12.8%, reaching 6,555
tons, mainly due to changes in sales composition to some Coca-Cola bottlers in
Chile and a decrease of pre-forms volume exports; while prices decreased by
7.1%. Operating income reached Ch$802 million, compared to Ch$2,376 million in
4Q02, due to the lower sales level and a change in product mix, which resulted
in a lower unitary contribution margin. The Company had a Ch$111 million
non-operating income (Ch$191 million non-operating income in 4Q02).
EBITDA: Operating cash generation reached Ch$1,915 million (US$3.2 million) in
4Q03, compared to Ch$3,540 million (US$6.0 million) in 4Q02. EBITDA margin was
20.0% (31.1% in 4Q02).
4
[logo] Cristalchile 4Q03 and YE 2003
WINE BUSINESS
During 4Q03, Santa Rita's consolidated sales increased by 11.9%, totaling
Ch$20,406 million (US$34.4 million). The Company's profits came in at Ch$190
million (US$0.3 million), compared to Ch$991 million (US$1.7 million) in 4Q02,
due to both lower operating and non-operating results.
In the domestic market, Santa Rita's volumes increased by 7.7% compared to
4Q02 due to an increase in market share. Prices fell by 2.6% in real terms as
a result of sharp competition. These conditions led net sales in the domestic
market to grow by 4.9%.
In the export market sales volume grew by 18.4%, due to higher sales to all
markets. During the quarter, exports of US$18.0 million accounted for 55.2% of
total revenues. The average price in Dollars per case in the export market
reached US$36.9 (US$31.9 in 4Q02), compared with an industry average of
US$23.3 (US$22.9 in 4Q02).
Operating income was Ch$1,888 million, compared to Ch$2,587 million in 4Q02
mainly due to an increase in cost of musts. Operating margin was 9.3% (14.2%
in 4Q02).
EBITDA: Operating cash generation was Ch$2,914 million (US$4.9 million) during
the quarter, compared to Ch$3,503 million (US$5.9 million) in 4Q02.
Accordingly, EBITDA margin was 14.3% (19.2% in 4Q02).
SANTA RITA
--------------------------------------------------------------------
4Q03 vs.
4Q03 4Q02 4Q02
------ ------ --------
Net Sales (in Ch$ millions) 20,406 18,243 11.9%
Domestic 8,556 8,156 4.9%
Exports 11,263 9,551 17.9%
Others 587 536 9.5%
Volume
Exports (Th cases) 487 412 18.4%
Domestic (Th liters) 16,407 15,236 7.7%
Price per case - Export
Mkt. (US$) 36.9 31.9 15.8%
Avg. price per case. -
Domestic Mkt. (Ch$) 4,689 4,815 -2.6%
5
[logo] Cristalchile 4Q03 and YE 2003
MEDIA BUSINESS
Television Broadcasting, Financial Printed Press, and Other Media
Media Subsidiaries
[graph (i): CGW (parent) owns 98.5% of CIECSA
which owns 99.9% of MEGA and 37.4% of El Diario.]
[graph (ii): CGW (parent) owns 99.9% of Cristalchile
Comunicaciones which owns 50.0% of Cordillera
Comunicaciones which owns 95.6% of Metropolis-Intercom.]
During 4Q03, CIECSA reported a Ch$1,755 million (US$3.0 million) net income,
compared to Ch$2,136 million (US$3.6 million) income in 4Q02.
MEGA, CIECSA's main subsidiary, reached an average viewership share of 26.5%
in 4Q03 (26.8% in 4Q02). Net sales decreased by 7.1 % in 4Q03 to reach
Ch$7,708 million (US$13.0 million). MEGA had a Ch$1,750 million (US$2.9
million) operating income, compared to Ch$2,571 million in 4Q02, due to higher
internal productions that increased costs. Therefore, MEGA posted a Ch$1,582
million net income, compared to Ch$2,010 million net income in 4Q02.
EBITDA: CIECSA's operating cash generation reached Ch$1,935 million (US$3.3
million) in 4Q03, compared to Ch$2,767 million (US$4.7 million) in 4Q02.
EBITDA margin was 24.7% (32.9% in 4Q02).
Cable Television
Cristalchile Comunicaciones S.A. (Cristalerias' wholly-owned subsidiary),
owner of 50% of Cordillera Comunicaciones Ltda., had a net loss of Ch$1,563
million (US$2.6 million) during the quarter compared to a net loss of Ch$1,894
(US$3.2 million) in 4Q02. Similarly, Cordillera Comunicaciones Ltda. (owner of
Metropolis-Intercom S.A.) had a net loss of Ch$3,016 million (US$5.1 million)
in 4Q03, compared to a net loss of Ch$3,787 million (US$6.4 million) in 4Q02.
The aforementioned result includes a goodwill amortization charge of Ch$1,047
million (Ch$1,044 million in 4Q02).
6
[logo] Cristalchile 4Q03 and YE 2003
During 4Q03 Metropolis-Intercom S.A. posted sales of Ch$11,314 million
(US$19.1 million), compared to Ch$11,621 million (US$19.6 million) in 4Q02. At
operating level, the Company renegotiated programming costs with content
providers. Metropolis-Intercom posted a net loss of Ch$2,152 million (US$3.6
million), compared to a net loss of Ch$2,683 million (US$4.5 million) in 4Q02.
The latter includes Ch$3,444 million (US$5.8 million) depreciation charge,
compared to Ch$3,175 million (US$5.3 million) charge in 4Q02, mainly coming
from the HFC network bought in July 2000. The Company ended the period with
231,925 basic subscribers (235,596 in 3Q03), 34,462 broad-band internet
subscribers (6.9% over 3Q03) and 3,639 IP telephony customers.
METROPOLIS-INTERCOM
-------------------------------------------------------------------
4Q03 vs.
12/31/03 09/30/03 3Q03
--------- --------- ---------
Basic Subscribers(1) 231,925 235,596 -1.6%
Premium customers 31,499 33,305 -5.4%
Internet customers 34,462 32,227 6.9%
IP Telephony customers 3,639 - N/A
Home Passed 1,192,891 1,187,296 0.5%
4Q03 vs.
4Q03 4Q02 4Q02
--------- --------- ---------
Sales (Ch$ Million) 11,314 11,621 -2.6%
Net Profit (Loss)
(Ch$ Million) (2,152) (2,683) 19.8%
(1) Includes Premium and Internet customers.
7
[logo] Cristalchile 4Q03 and YE 2003
FULL YEAR 2003 RESULTS
CONSOLIDATED RESULTS
YE03 Revenue Breakdown
[pie chart: Glass 42%, Wine 43%, Media 15%]
The Company consolidates its results with those of Vina Santa Rita, CIECSA,
Cristalchile Comunicaciones, Cristalchile Inversiones and Apoger. During 2003,
Cristalerias' total consolidated revenue reached Ch$169,941 million (US$286.2
million), a 4.5% increase over 2003. The main factors behind this growth
include improved sales in the glass container (+3.9%), media (+5.9%) and wine
(+3.5%) businesses.
Consolidated operating income totaled Ch$37,642 million (US$63.4 million),
compared to Ch$42,026 million in 2002. This includes Ch$24,347 million from
the glass container business (Ch$24,229 million in 2002), Ch$9,730 million
from Santa Rita (Ch$11,746 million in 2002) and Ch$3,521 million from CIECSA
(Ch$5,978 million in 2002).
Year ending 2003, Cristalerias' net income was Ch$6,427 million (US$10.8
million), compared to Ch$17,837 million (US$30.0 million) in 2002. This is
mainly explained by a consolidated non-operating loss of Ch$28,027 million
(US$47.2 million), compared to a non-operating loss of Ch$13,132 million
(US$22.1 million) in 2002; in addition to the abovementioned lower operating
result. This was partially compensated by lower charges for income tax and
minority interest in 2003 (Ch$1,348 million and Ch$1,841 million respectively,
compared to Ch$6,462 million and Ch$4,596 million charges in 2002,
respectively).
The consolidated non-operating loss is mainly explained by a loss from
exchange differences of Ch$17,065 million in 2003, compared to a Ch$4,998
million income in 2002. This was partially compensated by a lower net loss
from subsidiaries that do not consolidate of Ch$4,539 million (Ch$8,991
million loss in 2002), mainly due to improved results at Rayen Cura and Vina
Los Vascos and a lower loss at Metropolis-Intercom. The net loss from
subsidiaries includes a Ch$4,175 million charge (Ch$4,096 million charge in
2002) corresponding to goodwill amortization, which does not constitute cash
flow.
EBITDA: Operating cash generation reached Ch$52,369 million (US$88.2 million),
compared to Ch$55,737 million (US$93.9 million) in 2002. EBITDA margin was
30.8% (34.3% in 2002).
The following analysis explains Cristalerias' results based on individual
financial statements, as well as those of its main subsidiaries:
8
[logo] Cristalchile 4Q03 and YE 2003
PACKAGING BUSINESS
Glass
The Company had non-consolidated sales of Ch$74,549 million (US$125.5
million), 3.9% higher than in 2002. Volume sales increased by 6.2%, totaling
259,639 tons. Wine bottle sales increased by 4.7% during the year mainly due
to an increase in wine export volumes. Beer bottle sales increased by 5.2% due
to higher sales of one-way formats, partially compensated by lower sales of
returnable formats. Soft drink bottle sales decreased by 1.5% due to lower
sales of one-way formats, partially compensated by higher sales of returnable
formats due to the launching of a 237cc crown-top bottle. Liquor bottle sales
increased by 7.5%, due to the launching of a 700cc format for a new pisco
brand. Sales of containers for the food industry decreased due to the sluggish
economic recovery, which affects sales of these formats.
GLASS
-------------------------------------------------------------------------------
YE03 vs.
YE03 YE02 YE02
------ ------ ---------
Net Sales (in Ch$ millions) 74 549 71,768 3.9%
Wine 46,421 44,343 4.7%
Beer 11,258 10,698 5.2%
Soft Drinks 9,162 9,304 -1.5%
Liquor 5,760 5,359 7.5%
Food 1,554 1,606 -3.3%
Pharmaceutical 396 457 -13.5%
Volume in tons 259,639 244,401 6.2%
Operating income reached $24,347 million (US$41.0 million), compared to
Ch$24,229 million (US$40.8 million) in 2002. Operating margin was 32.7% (33.8%
in 2002). Higher costs of sales are due to products imported due to the
reconstruction of furnace B.
Net earnings for the period include a non-operating loss of Ch$16,456 million
(US$27.7 million), compared to a non-operating loss of Ch$2,317 million
(US$3.9 million) in 2002. During the period the Company registered a Ch$12,683
million loss from exchange differences (Ch$3,432 million income in 2002) and
higher interest expenses; partially compensated by a lower net loss from
subsidiaries (Ch$259 million loss in 2003, Ch$1,642 million loss in 2002) due
to better results at Cristalchile Inversiones (40% owner of Rayen Cura) and
Cristalchile Comunicaciones (50% owner of Metropolis-Intercom). Finally, the
Company registered a Ch$1,464 million income tax charge, compared to Ch$4,075
million charge in 2002.
EBITDA: Operating cash generation reached Ch$34,250 million (US$57.7 million),
compared to Ch$33,335 million (US$56.1 million) in 2002. EBITDA margin for the
period was 45.9% (46.4% in 2002).
9
[logo] Cristalchile 4Q03 and YE 2003
Plastic
During 2003, Envases CMF posted a Ch$1,414 million (US$2.4 million) net income
(Ch$2,576 million net income in 2002). Total sales reached Ch$34,543 million
(US$58.2 million), compared with Ch$35,682 million (US$60.1 million) in 2002.
Volumes decreased by 3.7%, reaching 23,252 tons, due to changes in sales
composition to some Coca-Cola bottlers in Chile and a decrease of pre-forms
volume exports. Prices decreased by 0.8%. Operating income reached Ch$3,022
million, compared to Ch$4,306 million in 2002, due to the lower sales level
and a change in product mix, which resulted in a lower unitary contribution
margin. The Company had a Ch$1,203 million non-operating loss (Ch$1,292
million non-operating loss in 2002).
EBITDA: Operating cash generation was Ch$7,523 million (US$12.7 million) in
2003, compared to Ch$8,662 million (US$14.6 million) in 2002. EBITDA margin
was 21.8% (24.3% in 2002).
10
[logo] Cristalchile 4Q03 and YE 2003
WINE BUSINESS
During 2003, Santa Rita's consolidated sales totaled Ch$74,940 million
(US$126.2 million), 3.5% over 2002. The Company's profits came in at Ch$3,915
million (US$6.6 million), compared to Ch$9,356 million (US$15.8 million) in
2002. These results are due to a decrease in both the operating but mainly the
non-operating result, that registered a loss from exchange differences.
In the domestic market, Santa Rita volumes were 3.3% over 2002. Prices dropped
by 3.9% in real terms as a result of strong competition. These conditions led
net sales in the domestic market to drop slightly by 0.7%.
Regarding the export market, sales volume increased by 4.1%. During the year,
exports at US$59.9 million accounted for 54.5% of total revenues (US$53.2
million in 2002). The average price in dollars per case reached US$33.1
(US$30.6 in 2002), compared with an industry average of US$23.5 (US$23.1 in
2002).
By markets, the export increase breakdown is as follows: Latin America, 16.9%;
Canada, 11.7%; Asia+Africa, 38.6%. Other markets remained almost unvaried.
SANTA RITA
YEO3 vs.
YE03 YE02 YE02
------- ------- --------
Net Sales (in Ch$ millions) 74,940 72,439 3.5%
Domestic 32,389 32,632 -0.7%
Export 40,841 37,969 7.6%
Others 1,710 1,838 -7.0%
Volume
Exports (Th cases) 1,809 1,738 4.1%
Domestic (Th liters) 64,547 62,474 3.3%
Price per case - Export Mkt. (US$) 33.1 30.6 8.1%
Avg. price per case - Domestics Mkt. (Ch$) 4,518 4,698 -3.9%
EBITDA: Operating cash generation reached Ch$13,741 million (US$23.1 million)
in 2003, compared to Ch$15,472 million (US$26.1 million) in 2002. EBITDA
margin was 18.3% (21.4% in 2002).
11
[logo] Cristalchile 4Q03 and YE 2003
MEDIA BUSINESS
Television Broadcasting, Financial Printed Press and Other Media
During 2003, CIECSA reported a net profit of Ch2,581 million (US$4.3 million)
compared to a net profit of Ch$3,179 million (US$5.4 million) in 2002.
MEGA, CIECSA's main subsidiary, reached an average viewership share of 23.9%
during the period(1) (26.1% in 2002). The Company increased net sales by 5.6%
reaching Ch$26,182 million (US$44.1 million). MEGA had a Ch$3,505 million
operating income, compared to Ch$6,024 million operating income in 2002, as
higher internal productions resulted in higher costs. Net income reached
Ch$2,607 million (US$4.4 million), compared to Ch$3,708 million (US$6.2
million) in 2002.
EBITDA: CIECSA's operating cash generation reached Ch$4,334 million (US$7.3
million), compared to Ch$6,858 million (US$11.5 million) during 2002. EBITDA
margin was 16.3% (27.4% in 2002).
Cable Television
Cristalchile Comunicaciones S.A. (Cristalerias wholly-owned subsidiary), owner
of 50.0% of Cordillera Comunicaciones Ltda. had a net loss of Ch$6,813 million
(US$11.5 million) during the year compared with a net loss of Ch$8,613 million
(US$14.5 million) in 2002. Similarly, Cordillera Comunicaciones Ltda. (owner
of 95.6% of Metropolis-Intercom S.A.) posted a net loss of Ch$13,514 million
(US$22.8 million) in 2003, compared to a net loss of Ch$17,217 million
(US$29.0 million) in 2002. The aforementioned result includes a goodwill
amortization charge of Ch$4,175 million for the year (Ch$4,096 million in
2002).
(1) Measured between 7:30AM and 1:30AM (i.e.: 18 hours daily) from Monday
to Sunday.
12
[logo] Cristalchile 4Q03 and YE 2003
During 2003 Metropolis-Intercom S.A. posted sales of Ch$44,976 million
(US$75.7 million), compared to Ch$46,743 million in 2002. At operating level,
the Company renegotiated programming costs with content providers.
Metropolis-Intercom posted a net loss of Ch$9,546 million (US$16.1 million),
compared to a net loss of Ch$13,014 million (US$21.9 million) in 2002. The
latter includes a depreciation charge of Ch$13,484 million (US$22.7 million)
compared to Ch$11,653 million (US$19.6 million) charge in 2002 coming mainly
from the HFC network acquired in July 2000. The Company ended the period with
231,925 basic subscribers (238,725 in 2002), 34,462 broad-band Internet
subscribers (46.3% over 2002) and 3,639 IP telephony customers.
METROPOLIS-INTERCOM
12/31/03 12/31/02 % Change
--------- --------- --------
Basic Subscribers(1) 231,925 238,725 -2.9%
Premium customers 31,499 31,840 -1.1%
Internet customers 34,462 23,559 46.3%
IP Telephony customers 3,639 - N/A
Home Passed 1,192,891 1,128,247 5.7%
YTD03 vs.
YTD03 YTD02 YTD02
------ ------- --------
Sales (Ch$ Million) 44,976 46,743 -3.8%
Net Profit (loss)(Ch.$ Million) (9,546) (13,014) 26.6%
(1) Includes Premium and Internet customers.
#############
This release may contain certain forward-looking statements (as that term
is used in U.S. securities laws) regarding anticipated results of
operations, financial condition, business operations or strategy of
Cristalerias de Chile or its consolidated subsidiaries. Forward-looking
statements may be identified by the use of words such as "anticipates,"
"believes," expects," "predicts," intends," "estimates," "should" or "may"
or similar expressions relating to statements that are not of historical
facts. Such forward-looking statements are believed to be reasonable, but
are not guarantees of future performance. Actual results could vary from
our objectives or expectations due to many factors including, among
others, changes in consumer beverage preferences, new technologies, a
downturn in the Chilean wine industry, significant disruption of the
Chilean media market, the macroeconomic performance of Chile and the
behavior of Latin American markets more generally.
13
[logo] Cristalchile
CRISTALERIAS DE CHILE S.A.
CONSOLIDATED FINANCIAL STATEMENTS
(Restated for general price-level changes and expressed in millions of Chilean
Pesos as of December 31, 2003)
1 US Dollar = 593.80 Chilean Pesos
BALANCE SHEET
As of December 31
2003 2002
ASSETS MCh$ MCh$
------ ------- -------
Cash, time deposits, marketable
securities 80,150 99,262
Receivables 46,167 43,934
Inventories, net 31,888 32,130
Other current assets 6,631 3,706
TOTAL CURRENT ASETS 164,836 179,031
NET P.P.&E. 136,141 128,697
Investment in related companies 103,059 110,749
Long-term receivables 9,189 10,019
Goodwill on investments 826 826
Accounts receivable, related companies 3 1
Others 23,892 27,679
TOTAL OTHER ASSETS 136,969 149,275
TOTAL ASSETS 437,946 457,003
LIABILITIES AND SHAREHOLDERS' EQUITY
------------------------------------
Current portion of long-term & short-term
debt 6,024 6,555
Dividends payable 504 730
Accounts and notes payable 13,433 16,558
Provisions, withholdings, income taxes 14,133 14,216
Advances from customers 3,036 1,635
TOTAL CURRENT LIABILITIES 37,129 39,693
Long-term bank liabilities and bonds payable 122,970 134,352
Miscellaneous creditors 272 2,520
Provisions and others 11,570 9,674
TOTAL LONG-TERM LIABILITIES 134,813 146,546
MINORITY INTEREST 37,682 37,120
TOTAL SHAREHOLDERS' EQUITY 228,322 233,643
TOTAL LIAB. & SHAREHOLDERS' EQUITY 437,946 457,003
14
STATEMENT OF INCOME
-------------------
Full Year Fourth
ended December 31 quarter
2003 2002 2003 2002
MCh$ MCh$ MCh$ MCh$
----------------- --------------
OPERATING RESULTS:
Net sales 169,941 162,668 46,664 46,209
Cost of sales (105,686) (95,726) (27,779) (27,450)
Selling and administrative
expenses (26,614) (24,916) (8,236) (6,979)
OPERATING INCOME 37,642 42,026 10,649 11,780
NON-OPERATING RESULTS:
Cordillera Comunicaciones
Ltda (6,803) (8,612) (1,554) (1,897)
Editorial Zig-Zag 24 43 186 172
Vina Los Vascos S.A. 689 481 211 419
Rayen Cura S.A.I.C. 922 (2,145) 204 481
Envases CMF 707 1,288 350 1,060
Ediciones Chiloe (78) (45) 23 21
Others (0) (1) (0) 3
----------------------------------------------------
Equity in net income related
companies (net) (4,539) (8,991) (580) 259
Interest income (expense)
net (4,236) (4,330) (1,247) (1,650)
Other nonrecurring
income (net) (808) (2,184) 158 (357)
Amortization of goodwill (577) (653) (115) (179)
Price-level restatement (803) (1,971) (156) 246
Exchange Rate Variations (17,065) 4,998 (4,832) (6,629)
NON-OPERATING INCOME (28,027) (13,132) (6,771) (8,310)
Income tax (1,348) (6,462) 242 (1,277)
Extraordinary Items - - - -
Minority interest (1,841) (4,596) (109) (500)
NET INCOME 6,427 17,837 4,011 1,693
15
[logo] Cristalchile
CRISTALERIAS DE CHILE S.A.
INDIVIDUAL FINANCIAL STATEMENTS
(Restated for general price-level changes and expressed in millions of Chilean
Pesos as of December 31, 2003)
1 US Dollar = 593.80 Chilean Pesos
BALANCE SHEET
-------------
As of December 31
2003 2002
ASSETS Mch$ MCh$
------ ------- -------
Cash, time deposits, marketable
securities 64,479 78,158
Receivables 23,687 22,942
Inventories, net 4,749 5,369
Other current assets 2,828 2,250
TOTAL CURRENT ASETS 95,743 108,719
NET P.P.&E 77,233 69,976
Investment in related companies 146,569 146,046
Long-term receivables 134 171
Goodwill on investments 1,893 2,064
Accounts receivable, related companies 20,789 23,951
Others 11,206 13,444
TOTAL OTHER ASSETS 180,590 185,676
TOTAL ASSETS 353,566 364,371
LIABILITIES AND SHAREHOLDERS' EQUITY
------------------------------------
Current portion of long-term debt 1,826 1,898
Dividends payable 503 729
Accounts and notes payable 5,772 5,995
Provisions, withholdings, income taxes 7,923 7,563
TOTAL CURRENT LIABILITIES 16,024 16,185
Long-term bank liabilities and bonds payable 99,062 105,627
Miscellaneous creditors 149 887
Provisions 7,539 5,627
Others 2,471 2,401
TOTAL LONG-TERM LIABILITIES 109,221 114,543
TOTAL SHAREHOLDERS' EQUITY 228,322 233,643
TOTAL LIAB. & SHAREHOLDERS' EQUITY 353,566 364,371
16
STATEMENT OF INCOME
-------------------
Full Year Fourth
ended December 31 quarter
2003 2002 2003 2002
MCh$ MCh$ MCh$ MCh$
------------------- ----------------
OPERATING RESULTS:
Net sales 74,549 71,768 20,180 26,837
Cost of sales (44,636) (41,860) (11,452) (12,632)
General and administrative
expenses (5,567) (5,679) (1,663) (1,536)
OPERATING INCOME 24,347 24,229 7,065 6,670
NON-OPERATING RESULTS:
Cristalchile Comunicaciones (6,813) (8,613) (1,563) (1,894)
S.A. Vina Santa Rita 2,118 5,061 97 607
Envases CMF S.A. 707 1,288 350 1,060
Ciecsa S.A. 2,541 3,124 1,728 2,099
Cristalchile Inversiones
S.A. 1,189 (2,502) 715 199
Others (1) (1) (0) (1)
---------------------------------------------------
Equity in net income related
companies (net) (260) (1,642) (1,327) 2,071
Interest income net (2,481) (2,580) (823) (1,196)
Other nonrecurring
income (net) (379) (176) (42) (119)
Amortization of goodwill (171) (171) (43) (43)
Price-level restatement (481) (1,179) (87) (69)
Exchange Rate Variations (12,683) 3,432 (2,812) (4,913)
NON-OPERATING INCOME (16,456) (2,317) (2,479) (4,268)
======== ======= ======= =======
Income tax (1,464) (4,075) (576) (708)
Amortization of negative
goodwill - - - -
Extraordinary Items - - - -
NET INCOME 6,427 17,837 4,011 1,693
SALES VOLUME Th Tons Th Tons Th Tons Th Tons
======= ======= ======= =======
Glass sales in Th tons 259.6 244.4 73.7 70.2
17
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Glassworks of Chile
(Registrant)
By: Benito Bustamante C.
-------------------
Benito Bustamante C.
Controller
Date: March 31, 2004