:. Food Industry News


Grupo Bimbo Announces Acquisition Agreement in Mexican Confectionary Market

Source: Grupo Bimbo, S.A.
13/06/2005

Mexico City, June 9, 2005 - Grupo Bimbo S.A. de C.V. (“Grupo
Bimbo” or “the Company”) (BMV: BIMBOA) today announced that it has reached an acquisition agreement for certain assets and brands property of Empresas Chocolates La Corona, S.A. de C.V. and its subsidiaries (“La Corona”) in an operation that will amount to Ps. 471 million, that will be liquidated with the Company's own cash resources.

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La Corona has presence in the Mexican confectionery market, mainly in the chocolate segment. During the year 2004, these operations reached sales of approximately Ps. 670 million. It has three production facilities and leading brands in the market.

This acquisition is consistent with Grupo Bimbo´s strategy of consolidating its position in the sectors in which it is involved and strengthens its position in the Mexican chocolate market.

The acquisition transaction is subject to the approval of the Federal Trade Commission (Comisión Federal de Competencia) and it is expected to conclude during the third quarter of 2005.



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