Company Quick10K Filing
Quick10K
Banco Santander
20-F 2018-12-31 Annual: 2018-12-31
20-F 2017-12-31 Annual: 2017-12-31
BSAC Banco Santander Chile 5,242,571
BCH Bank of Chile 2,797,163
HDB Hdfc Bank 277,675
BAP Credicorp 18,990
KB KB Financial Group 12,729
SMFG Sumitomo Mitsui Financial Group 9,054
NTB Bank of NT Butterfield & Son 1,584
PGC Peapack Gladstone Financial 534
BMA Macro Bank 0
AVAL Grupo Aval Acciones Y Valores 0
BSMX 2018-12-31
Part I
Item 1. Identity of Directors, Senior Management and Advisers
Item 2. Offer Statistics and Expected Timetable
Item 3. Key Information
Item 4. Information on The Company
Item 4A. Unresolved Staff Comments
Item 5. Operating and Financial Review and Prospects
Item 6. Directors, Senior Management and Employees
Item 7. Major Shareholders and Related Party Transactions
Item 8. Financial Information
Item 9. The Offer and Listing
Item 10. Additional Information
Item 11. Quantitative and Qualitative Disclosures About Market Risk
Item 12. Description of Securities Other Than Equity Securities
Part II
Item 13. Defaults, Dividend Arrears and Delinquencies
Item 14. Material Modifications To The Rights of Security Holders and Use of Proceeds
Item 15. Controls and Procedures
Item 16. [Reserved]
Item 16A. Audit Committee Financial Expert
Item 16B. Code of Ethics
Item 16C. Principal Accountant Fees and Services
Item 16D. Exemptions From The Listing Standards for Audit Committees
Item 16E. Purchases of Equity Securities By The Issuer and Affiliated Purchasers
Item 16F. Change in Registrant’S Certifying Accountant
Item 16G. Corporate Governance
Item 16H. Mine Safety Disclosure
Part III
Item 17. Financial Statements
Item 18. Financial Statements
Item 19. Exhibits
Note 11.G Contains Information Regarding Securitized Mortgage Assets.
Note 44.A Contains A Breakdown of The Remaining Maturity Periods of These Assets.
Note 44.A Contains A Breakdown of The Remaining Maturity Periods of Trading Derivatives.
Note 44.A Contains A Breakdown of The Remaining Maturity Periods of These Liabilities.
Note 44.A Contains A Breakdown of The Remaining Maturity Periods of Hedging Derivatives.
EX-8.1 bsmx-20181231ex8161a12c2.htm
EX-12.1 bsmx-20181231ex121bc4033.htm
EX-12.2 bsmx-20181231ex12291ffdc.htm
EX-13.1 bsmx-20181231ex131b1ee12.htm
EX-13.2 bsmx-20181231ex132bf304c.htm
EX-14.1 bsmx-20181231ex14143d4c9.htm

Banco Santander Earnings 2018-12-31

BSMX 20F Annual Report

Balance SheetIncome StatementCash Flow

20-F 1 bsmx-20181231x20f.htm 20-F bsmx_Current_Folio_20F_F_Pages

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 20-F

(Mark One)

REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934

OR

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2018

OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

OR

SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of event requiring this shell company report

For the transition period from                           to                     

Commission file number: 001-35658

BANCO SANTANDER MÉXICO, S.A., INSTITUCIÓN DE BANCA MÚLTIPLE,

GRUPO FINANCIERO SANTANDER MÉXICO
(Exact name of Registrant as specified in its charter)

United Mexican States
(Jurisdiction of incorporation or organization)

Avenida Prolongación Paseo de la Reforma 500

Colonia Lomas de Santa Fe

Delegación Álvaro Obregón

01219 Mexico City
(Address of principal executive offices)
Fernando Borja Mujica

Deputy General Legal and Compliance Director

BANCO SANTANDER MÉXICO, S.A., INSTITUCIÓN DE BANCA MÚLTIPLE,

GRUPO FINANCIERO SANTANDER MÉXICO

Avenida Prolongación Paseo de la Reforma 500

Colonia Lomas de Santa Fe

Delegación Álvaro Obregón

01219 Mexico City

Telephone: +(52) 55-5257-8000

Fax: +52 55-5269-2701

(Name, Telephone, E-mail and/or Facsimile number and Address of Company Contact Person)

Securities registered or to be registered pursuant to Section 12(b) of the Act:

 

 

Title of each class

Name of each exchange on which registered

American Depositary Shares, each representing five shares of the Series B common stock of Banco Santander México, S.A., Institución de Banca Múltiple, Grupo Financiero Santander México., par value of Ps.3.780782962

New York Stock Exchange

Series B shares, par value of Ps.3.780782962

New York Stock Exchange*

 


*Banco Santander México, S.A., Institución de Banca Múltiple, Grupo Financiero Santander México’s Series B shares are not listed for trading, but are only listed in connection with the registration of the American Depositary Shares, pursuant to the requirements of the New York Stock Exchange.

Securities registered or to be registered pursuant to Section 12(g) of the Act:

None

(Title of Class)

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act:

U.S.$500,000,000 8.500% Perpetual Subordinated Non-Preferred Contingent Convertible Additional Tier 1 Capital Notes
(Title of Class)

Indicate the number of outstanding shares of each of the issuer’s classes of capital stock or common stock as of the close of the period covered by the annual report.

Series B shares: 3,322,685,212

Series F shares: 3,464,309,145

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

  Yes        No

If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.

  Yes        No

Note – Checking the box above will not relieve any registrant required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 from their obligations under those Sections.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

  Yes        No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

  Yes        No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or an emerging growth company. See definition of “large accelerated filer," accelerated filer,” and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

 

 

 

Large accelerated filer  

Accelerated filer  

Non-accelerated filer  

 

 

Emerging growth company 

 

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards† provided pursuant to Section 13(a) of the Exchange Act. 

† The term “new or revised financial accounting standard” refers to any update issued by the Financial Accounting Standards Board to its Accounting Standards Codification after April 5, 2012.

Indicate by check mark which basis of accounting the registrant has used to prepare the financial statements included in this filing:

 

 

 

U.S. GAAP  

International Financial Reporting Standards as issued by the International Accounting Standards Board  

Other  

If “Other” has been checked in response to the previous question, indicate by check mark which financial statement item the registrant has elected to follow.

  Item 17        Item 18

If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

  Yes      No

 

 

 

 


 

 

BANCO SANTANDER MÉXICO, S.A., INSTITUCIÓN DE BANCA MÚLTIPLE, GRUPO FINANCIERO SANTANDER MÉXICO

TABLE OF CONTENTS


 

 

 

 

 

 

 

Page

PRESENTATION OF FINANCIAL AND OTHER INFORMATION 

iii

GLOSSARY OF SELECTED TERMS 

vi

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS 

x

ENFORCEMENT OF JUDGMENTS 

xii

PART I 

1

ITEM 1. IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS 

1

A.  Directors and Senior Management 

1

B.  Advisers 

1

C.  Auditors 

1

ITEM 2. OFFER STATISTICS AND EXPECTED TIMETABLE 

1

A.  Offer Statistics 

1

B.  Method and Expected Timetable 

1

ITEM 3. KEY INFORMATION 

1

A.  Selected Financial Data 

1

B.  Capitalization and Indebtedness 

8

C.  Reasons for the Offer and Use of Proceeds 

8

D.  Risk Factors 

8

ITEM 4. INFORMATION ON THE COMPANY 

53

A.  History and Development of the Company 

53

B.  Business Overview 

57

C.  Organizational Structure 

154

D.  Property, Plants and Equipment 

155

ITEM 4A. UNRESOLVED STAFF COMMENTS 

156

ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS 

156

A.  Operating Results 

160

B.  Liquidity and Capital Resources 

198

C.  Research and Development, Patents and Licenses, etc. 

212

D.  Trend Information 

213

E.  Off-Balance Sheet Arrangements 

213

F.  Tabular Disclosure of Contractual Obligations 

215

G.  Safe Harbor 

215

ITEM 6. DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES 

215

A.  Directors and Senior Management 

215

B.  Compensation 

225

C.  Board Practices 

226

D.  Employees 

232

E.  Share Ownership 

233

ITEM 7. MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS 

233

A.  Major Shareholders 

233

B.  Related Party Transactions 

235

C.  Interests of Experts and Counsel 

242

ITEM 8. FINANCIAL INFORMATION 

242

A.  Consolidated Statements and Other Financial Information 

242

B.  Significant Changes 

243

ITEM 9. THE OFFER AND LISTING 

244

A.  Offering and Listing Details 

244

B.  Plan of Distribution 

244

C.  Markets 

244

D.  Selling Shareholders 

251

E.  Dilution 

251

F.  Expenses of the Issue 

251

ITEM 10. ADDITIONAL INFORMATION 

252

A.  Share Capital 

252

B.  Memorandum and Articles of Association 

252

C.  Material Contracts 

263

D.  Exchange Controls 

264

E.  Taxation 

264

F.  Dividends and Paying Agents 

270

G.  Statement by Experts 

270

H.  Documents on Display 

270

I.   Subsidiary Information 

270

ITEM 11. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 

270

ITEM 12. DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES 

289

A.  Debt Securities 

289

B.  Warrants and Rights 

290

C.  Other Securities 

290

D.  American Depositary Shares 

290

PART II 

292

ITEM 13. DEFAULTS, DIVIDEND ARREARS AND DELINQUENCIES 

292

A.  Defaults 

292

B.  Arrears and Delinquencies 

292

ITEM 14. MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS 

292

A.  Material Modifications to Instruments 

292

B.  Material Modifications to Rights 

292

C.  Withdrawal or Substitution of Assets 

292

D.  Change in Trustees or Paying Agents 

292

E.  Use of Proceeds 

292

ITEM 15. CONTROLS AND PROCEDURES 

292

A.  Disclosure Controls and Procedures 

292

B.  Management’s Annual Report on Internal Control over Financial Reporting 

293

C.  Changes in Internal Control over Financial Reporting 

295

ITEM 16. [RESERVED] 

295

ITEM 16A. AUDIT COMMITTEE FINANCIAL EXPERT 

295

ITEM 16B. CODE OF ETHICS 

295

ITEM 16C. PRINCIPAL ACCOUNTANT FEES AND SERVICES 

296

ITEM 16D. EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES 

297

ITEM 16E. PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS 

297

ITEM 16F. CHANGE IN REGISTRANT’S CERTIFYING ACCOUNTANT 

297

ITEM 16G. CORPORATE GOVERNANCE 

297

ITEM 16H. MINE SAFETY DISCLOSURE 

300

PART III 

301

ITEM 17. FINANCIAL STATEMENTS 

301

ITEM 18. FINANCIAL STATEMENTS 

301

ITEM 19. EXHIBITS 

301

}

 

 

i


 

PRESENTATION OF FINANCIAL AND OTHER INFORMATION

Definitions

Unless otherwise indicated or the context otherwise requires, all references in this annual report on Form 20-F (hereinafter the “Report”)  to “Banco Santander México,” the “Bank,” “we,” “our,” “ours,” “us” or similar terms, refer to Banco Santander México, S.A., Institución de Banca Múltiple, Grupo Financiero Santander México, together with its consolidated subsidiaries.

When we refer to “Banco Santander Parent” or the “Parent,” we refer to our controlling shareholder, Banco Santander, S.A., a Spanish bank.

When we refer to “Former Holding Company,” we refer to Grupo Financiero Santander México, S.A.B. de C.V., our former parent company.

When we refer to “Grupo Financiero Santander México” we refer to Grupo Financiero Santander México, S.A. de C.V. our new parent company as of January 1, 2018, which is not a public company and is a wholly-owned subsidiary of Banco Santander Parent.

When we refer to Casa de Bolsa Santander, S.A. de C.V., Grupo Financiero Santander México, a Mexican broker-dealer, we refer to the Former Holding Company’s brokerage subsidiary, which is now owned by Grupo Financiero Santander México.

When we refer to “Gestión Santander,” we refer to SAM Asset Management, S.A. de C.V., Sociedad Operadora de Sociedades de Inversión (formerly known as Gestión Santander, S.A. de C.V., Grupo Financiero Santander México) (entity sold in December 2013).

When we refer to “Seguros Santander”, we refer to Zurich Santander Seguros México, S.A. (formerly known as Seguros Santander, S.A., Grupo Financiero Santander) (entity sold in November 2011).

When we refer to the “Santander Group,” we refer to the worldwide Banco Santander Parent conglomerate and its consolidated subsidiaries.

References in this Report to certain financial terms have the following meanings:

·

References to “IFRS” are to the International Financial Reporting Standards as issued by the International Accounting Standards Board (“IASB”) and interpretations issued by the IFRS Interpretations Committee.

·

References to “Mexican Banking GAAP” are to the accounting standards and regulations prescribed by the Mexican National Banking and Securities Commission (Comisión Nacional Bancaria y de Valores, or “CNBV”) for credit institutions, as amended.

·

References to our “audited financial statements” are to the audited consolidated financial statements of Banco Santander México as of December 31, 2017 and 2018, and for each of the fiscal years ended December 31, 2016, 2017 and 2018, together with the notes thereto. The audited financial statements were prepared in accordance with IFRS and are contained in this Report.

·

References herein to “UDIs” are to Unidades de Inversión, a peso-equivalent unit of account indexed for Mexican inflation. UDIs are units of account created by the Mexican Central Bank on April 4, 1995, the value of which in pesos is indexed to inflation on a daily basis, as measured by the change in the National Consumer Price Index (Índice Nacional de Precios al Consumidor). Under a UDI-based loan or financial instrument, the borrower’s nominal peso principal balance is converted either at origination or upon restructuring to a UDI principal balance and interest on the loan or financial instrument is calculated on the outstanding UDI balance of the loan or financial instrument. Principal and interest payments are made by the borrower in an amount of pesos equivalent to the amount due in UDIs at

ii


 

the stated value of UDIs on the day of payment. As of December 31, 2018, one UDI was equal to Ps.6.22663 (U.S.$0.3169).

As used in this Report, the following terms relating to our capital adequacy have the meanings set forth below, unless otherwise indicated. See “Item 4. Information on the Company—B. Business Overview—Supervision and Regulation.”

·

“Capital Ratio” refers to the ratio of the total net capital (capital neto) to risk-weighted assets calculated in accordance with the methodology established or adopted from time to time by the CNBV pursuant to the Mexican Capitalization Requirements.

·

“General Rules Applicable to Mexican Banks” means the General Provisions Applicable to Credit Institutions (Disposiciones de Carácter General Aplicables a las Instituciones de Crédito) issued by the CNBV.

·

“Mexican Capitalization Requirements” refers to the capitalization requirements for commercial banks, including Banco Santander México, set forth in the Mexican Banking Law (Ley de Instituciones de Crédito) and in the General Rules Applicable to Mexican Banks, as such laws and regulations may be amended from time to time or superseded.

·

“Tier 1 capital (capital básico)” means the basic capital (capital básico) of the Total Net Capital (capital neto), as such term is determined based on the Mexican Capitalization Requirements, as such determination may be amended from time to time, which is comprised of Fundamental Capital (capital fundamental) and Additional Tier 1 Capital (capital básico no fundamental).

·

“Tier 2 capital (capital complementario)” means the additional capital (capital complementario) of the Total Net Capital (capital neto), as such term is determined based on the Mexican Capitalization Requirements, as such determination may be amended from time to time.

As used in this Report, the term “billion” means one thousand million (1,000,000,000).

In this Report, the term “Mexico” refers to the United Mexican States, and the terms “Mexican government” or the “government” refer to the federal government of Mexico. References to “U.S.$,” “U.S. dollars” and “dollars” are to United States dollars, and references to “Mexican pesos,” “pesos,” or “Ps.” are to Mexican pesos. References to “euros” or “€” are to the common legal currency of the member states participating in the European Economic and Monetary Union.

Financial and Other Information

Market position. We make statements in this Report about our competitive position and market share in the Mexican financial services industry and the size of the Mexican financial services industry. We have made these statements on the basis of statistics and other information from third-party sources, primarily the CNBV, that we believe are reliable.

Currency and accounting standards. We maintain our financial books and records in pesos. Our consolidated income statement data for each of the years ended December 31, 2014, 2015, 2016, 2017 and 2018 and our consolidated balance sheet data as of December 31, 2014, 2015, 2016, 2017 and 2018, included in this Report, have been audited under the standards of the Public Company Accounting Oversight Board (“PCAOB”), and are prepared in accordance with IFRS. For regulatory purposes, including Mexican Central Bank regulations and the reporting requirements of the CNBV, we concurrently prepare and will continue to prepare and make available to our shareholders, statutory financial statements in accordance with Mexican Banking GAAP, which prescribes generally accepted accounting criteria for all financial institutions in Mexico.

IFRS differs in certain significant respects from Mexican Banking GAAP. We adopted IFRS in 2014. While we have prepared our consolidated financial data as of and for the years ended December 31, 2014, 2015,

iii


 

2016, 2017 and 2018 in accordance with IFRS, data reported by the CNBV for the Mexican financial sector as a whole as well as individual financial institutions in Mexico, including our own, is prepared in accordance with Mexican Banking GAAP and, thus, may not be comparable to our results prepared in accordance with IFRS. All statements in this Report regarding our relative market position and financial performance vis-à-vis the financial services sector in Mexico, including financial information as to net income, return-on-average equity and non-performing loans, among others, are based, out of necessity, on information obtained from CNBV reports, and accordingly are presented in accordance with Mexican Banking GAAP. Unless otherwise indicated, all financial information provided in this Report has been prepared in accordance with IFRS.

Effect of rounding. Certain amounts and percentages included in this Report and in our audited financial statements have been rounded for ease of presentation. Percentage figures included in this Report have not in all cases been calculated on the basis of such rounded figures but on the basis of such amounts prior to rounding. For this reason, certain percentage amounts in this Report may vary from those obtained by performing the same calculations using the figures in our audited financial statements. Certain other amounts that appear in this Report may not sum due to rounding.

Exchange rates and translation into U.S. dollars. This Report contains translations of certain peso amounts into U.S. dollars at specified rates solely for your convenience. These translations should not be interpreted as representations by us that the peso amounts actually represent such U.S. dollar amounts or could, at this time, be converted into U.S. dollars at the rate indicated. Unless otherwise indicated, we have translated peso amounts into U.S. dollars at an exchange rate of Ps.19.65 per U.S.$1.00, the rate calculated on December 31, 2018 (the last business day in December) and published on January 2, 2019 in the Federal Official Gazette by the Mexican Central Bank, as the exchange rate for the payment of obligations denominated in currencies other than pesos and payable within Mexico (tipo de cambio para solventar obligaciones denominadas en moneda extranjera). The translation of income statement transactions expressed in pesos using such rates may result in presentation of dollar amounts that differ from the U.S. dollar amounts that would have been obtained by translating Mexican pesos into U.S. dollars at the exchange rate prevailing when such transactions were recorded. See “Item 3. Key Information—A. Selected Financial Data—Exchange Rates” for information regarding exchange rates between the peso and the U.S. dollar for the periods specified therein.

New impairment model. IFRS 9, Financial instruments establishes new recognition and measurement requirements for financial instruments and became mandatory for financial statement periods commencing January 1, 2018. As of January 1, 2018, the Bank now classifies its financial assets in the following measurement categories: (i) those to be measured subsequently at fair value (either through other comprehensive income or through profit or loss) and (ii) those to be measured at amortized cost. The Bank determines the applicable category of a financial asset based on the business model for managing that financial asset. We applied IFRS 9 in a retrospective manner, by adjusting the opening balance of affected financial instruments at January 1, 2018, without restating prior period amounts. Regarding the recognition of credit risk impairment, the most important change is that the new accounting standard introduces the concept of expected loss, whereas the previous model was based on incurred loss. As of January 1, 2018, the allowance for impairment losses and provisions for off-balance sheet risk increased from Ps.17,961 million to Ps.21,217 million as result of the application of IFRS 9. The Bank has applied these requirements in a retrospective manner, by adjusting the opening balance at January 1, 2018, without restating the comparative financial statements, and as a result, there was no income statement impact. The primary reasons for this increase are the requirements to recognize (i) an allowance for impairment losses for the expected life of the transaction for financial instruments where a significant risk increase has been identified after initial recognition and (ii) use of forward-looking information as the application of this impairment methodology looks to whether there has been a significant increase in credit risk in the allowance for impairment losses and in the provisions for off-balance sheet risk. See Note 2.h to our audited financial statements included elsewhere in this Report for more details on the new recognition and measurement requirements for financial instruments. Because the Bank did not restate prior period amounts upon adoption of IFRS 9, prior period financial information may not be comparable.

iv


 

GLOSSARY OF SELECTED TERMS 

The following is a glossary of selected terms used in this Report.

 

 

Afore

An entity established pursuant to Mexican law that manages independent retirement accounts. The main functions of an Afore include, among others, (i) managing pension funds, (ii) creating and managing individual pension accounts for each worker, (iii) creating, managing and operating specialized pension funds known as Siefores, (iv) distributing and purchasing Siefores’ stock, (v) contracting pension insurance, and (vi) distributing, in certain cases, the individual funds directly to the pensioned worker

 

 

ALCO

Our Assets and Liabilities Committee (Comité de Activos y Pasivos), which is responsible for determining guidelines for managing risk with respect to financial margin, net worth and long-term liquidity

 

 

Basel III

An international framework of capital and liquidity standards for internationally active banking organizations that includes, among other things, the definition of capital, capital requirements, the treatment of counterparty credit risk, the leverage ratio and the global liquidity standard. The Basel III framework was designed by the Basel Committee in 2010

 

 

Basel Committee

Basel Committee on Banking Supervision, which includes the supervisory authorities of twelve major industrial countries

 

 

BIVA

Bolsa Institucional de Valores, S.A. de C.V.

 

 

Bonding Companies Law

Ley Federal de Instituciones de Fianzas

 

 

BSC

Banking Stability Committee (Comité de Estabilidad Bancaria)

 

 

Cetes

Mexican Treasury Bills (Certificados de la Tesorería de la Federación)

 

 

CDI

Certificate of interbank deposit

 

 

CNBV

Mexican National Banking and Securities Commission (Comisión Nacional Bancaria y de Valores)

 

 

CNSF

Mexican National Insurance and Bonding Commission (Comisión Nacional de Seguros y Fianzas)

 

 

COFECE

Mexican Federal Antitrust Commission (Comisión Federal de Competencia Económica)

 

 

CONSAR

Mexican National Commission for the Mexican Pension Saving System (Comisión Nacional del Sistema de Ahorro para el Retiro)

 

 

CONDUSEF

Mexican National Commission for the Protection and Defense of Financial Service Users (Comisión Nacional para la Protección y Defensa de los Usuarios de Servicios Financieros)

 

 

CRM

Customer relationship management

v


 

 

 

Exchange Act

Securities Exchange Act of 1934, as amended

 

 

IASB

International Accounting Standards Board

 

 

IFRS

International Financial Reporting Standards, accounting standards issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Standards Interpretations Committee

 

 

IMPI

Mexican Institute of Industrial Property (Instituto Mexicano de la Propiedad Industrial)

 

 

Infonavit

Mexican Institute of the National Housing Fund for Workers (Instituto Nacional para el Fomento de la Vivienda de los Trabajadores)

 

 

Insurance Companies Law

Ley General de Instituciones y Sociedades Mutualistas de Seguros

 

 

Investment Services Rules

Disposiciones de Carácter General Aplicables a las Entidades Financieras y otras Personas que Proporcionan Servicios de Inversión

 

 

IPAB

Mexican Institute for the Protection of Bank Savings (Instituto para la Protección al Ahorro Bancario)

 

 

IPC

Mexican Stock Exchange Prices and Quotations Index (Índice de Precios y Cotizaciones)

 

 

Law of the Mexican Central Bank

Ley del Banco de México

 

 

LCR

Liquidity coverage ratio

 

 

LGD

Loss given default

 

 

LIC

Mexican Banking Law (Ley de Instituciones de Crédito)

 

 

LMV

Mexican Securities Market Law (Ley del Mercado de Valores)

 

 

Mexican Banking GAAP

The financial accounting standards and regulations prescribed by the CNBV for financial institutions, as amended

 

 

Mexican Central Bank

Banco de México

 

 

Mexican Corporations Law

Ley General de Sociedades Mercantiles

 

 

Mexican Financial Groups Law

Ley para Regular las Agrupaciones Financieras

 

 

Mexican Stock Exchange

Bolsa Mexicana de Valores, S.A.B. de C.V.

 

 

MIEA

Internal Methodology with Advanced Approach (Metodología Interna con Enfoque Avanzado)

 

 

MIEB

Internal Methodology with Basic Approach (Metodología Interna con Enfoque Básico)

 

 

vi


 

MORENA

Mexican Political Party “Movimiento de Regeneración Nacional

 

 

MVE

Market value of equity

 

 

NAFIN

Nacional Financiera, Sociedad Nacional de Crédito, Institución de Banca de Desarrollo, a Mexican government bank that provides support for SMEs

 

 

NAFTA

North American Free Trade Agreement

 

 

National Consumer Price Index

Índice Nacional de Precios al Consumidor

 

 

NIM

Net interest margin

 

 

NIM Sensitivity

Net interest margin sensitivity is the difference between the return on assets and the financial cost of our financial liabilities based on a one-year time frame and a parallel movement of 100 basis points (1%) in market interest rates

 

 

NYSE

New York Stock Exchange

 

 

NSFR

Net Stable Funding Ratio

 

 

Federal Official Gazette

Diario Oficial de la Federación

 

 

PCAOB

Public Company Accounting Oversight Board (United States)

 

 

Public Registry of Commerce

Registro Público de Comercio

 

 

RNV

Mexican National Securities Registry (Registro Nacional de Valores)

 

 

RWA

Risk-weighted assets

 

 

SEC

U.S. Securities and Exchange Commission

 

 

SHCP

Mexican Ministry of Finance and Public Credit (Secretaría de Hacienda y Crédito Público)

 

 

Siefores

Specialized pension funds (Sociedades de Inversión Especializadas de Fondos para el Retiro) established pursuant to Mexican law

 

 

SME

Small and medium-sized enterprises, consisting of small companies with annual revenue of less than Ps.250,000,000 (U.S.$12,721,869).

 

 

Sofoles

Sociedades Financieras de Objeto Limitado, non-banking institutions in Mexico that focus primarily on offering credit or financing for specific purposes (housing, automobiles, personal loans, etc.) to middle- and low-income individuals. All existing Sofol authorizations automatically terminated on July 19, 2013. Existing Sofoles had the option of converting to Sofomes or otherwise extending their corporate purpose to include activities carried out by Sofomes 

 

 

vii


 

Sofomes

Sociedades Financieras de Objeto Múltiple, non-banking institutions in Mexico that engage in lending and/or financial leasing and/or factoring services and may be regulated or non-regulated

 

 

TIIE

Mexican benchmark interbank money market rate (Tasa de Interés Interbancaria de Equilibrio)

 

 

UDI

Unidades de inversión, a peso-equivalent unit of account indexed for Mexican inflation

 

 

VaR

Value at risk, an estimate of the expected maximum loss in the market value of a given portfolio over a one-day time horizon at a 99% confidence interval

 

 

 

viii


 

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This Report includes forward-looking statements, principally under the captions “Item 3. Key Information—D. Risk Factors,” “Item 4. Information on the Company—B. Business Overview” and “Item 5. Operating and Financial Review and Prospects.” These statements appear throughout this Report and include statements regarding our intent, belief or current expectations in connection with :

asset growth and sources of funding;

growth of our fee-based business;

expansion of our distribution network;

financing plans;

competition;

impact of regulation and the interpretation thereof;

action to modify or revoke our banking license;

exposure to market risks including interest rate risk, foreign exchange risk and equity price risk;

exposure to credit risks including credit default risk and settlement risk;

projected capital expenditures;

capitalization requirements and level of reserves;

investment in its information technology platform;

liquidity;

trends affecting the economy generally; and

trends affecting our financial condition and our results of operations.

Many important factors, in addition to those discussed elsewhere in this Report, could cause our actual results to differ substantially from those anticipated in our forward-looking statements, including, among other things:

changes in capital markets in general that may affect policies or attitudes towards lending to Mexico or Mexican companies;

changes in economic conditions, in Mexico, in particular, in the United States, or globally;

the monetary, foreign exchange and interest rate policies of the Mexican Central Bank;

inflation;

deflation;

ix


 

unemployment;

unanticipated turbulence in interest rates;

the entry into force of the USMCA or the deterioration of the terms of trade between Mexico and the United States;

the implementation of new economic policy by the new administration in Mexico;

movements in foreign exchange rates;

movements in equity prices or other rates or prices;

changes in Mexican and foreign policies, legislation and regulations;

changes in requirements to make contributions to, for the receipt of support from programs organized by or requiring deposits to be made or assessments observed or imposed by, the Mexican government;

changes in taxes and tax laws;

competition, changes in competition and pricing environments;

our inability to hedge certain risks economically;

economic conditions that affect consumer spending and the ability of customers to comply with obligations;

the adequacy of allowance for impairment losses and other losses;

increased default by borrowers;

our inability to successfully and effectively integrate acquisitions or to evaluate risks arising from asset acquisitions;

technological changes;

changes in consumer spending and saving habits;

increased costs;

unanticipated increases in financing and other costs or the inability to obtain additional debt or equity financing on attractive terms;

changes in, or failure to comply with, banking regulations or their interpretation; and

the other risk factors discussed under “Item 3. Key Information—D. Risk Factors” in this Report.

The words “believe,” “may,” “will,” “aim,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “forecast” and similar words are intended to identify forward-looking statements. You should not place undue reliance on such statements, which speak only as of the date they were made. We undertake no obligation to update publicly or to revise any forward-looking statements after we distribute this Report because of new information, future events or other factors. Our independent public accountants have neither examined nor

x


 

compiled the forward-looking statements and, accordingly, do not provide any assurance with respect to such statements. In light of the risks and uncertainties described above, the future events and circumstances discussed in this Report might not occur and are not guarantees of future performance. Because of these uncertainties, you should not make any investment decision based upon these estimates and forward-looking statements.

 

ENFORCEMENT OF JUDGMENTS

We are a corporation (sociedad anónima) incorporated in accordance with the laws of Mexico. All of our directors and officers and experts named herein are non-residents of the United States, and all or substantially all of the assets of such persons and substantially all of our assets are located outside the United States. As a result, it may not be possible for investors to effect service of process within the United States upon such persons or to enforce against them or us in United States courts judgments predicated upon the civil liability provisions of United States federal securities laws. We have been advised by our special counsel as to Mexican law, that there is doubt as to the enforceability, in original actions in Mexican courts, of liabilities predicated solely on U.S. federal securities laws and as to the enforceability in Mexican courts of judgments of United States courts obtained in actions predicated upon the civil liability provisions of U.S. federal securities laws. We have been advised by such special Mexican counsel, Ritch, Mueller, Heather y Nicolau, S.C., that no bilateral treaty is currently in effect between the United States and Mexico that covers the reciprocal enforcement of civil foreign judgments. In the past, Mexican courts have enforced judgments rendered in the United States by virtue of the legal principles of reciprocity and comity, consisting of the review in Mexico of the United States judgment, in order to ascertain, among other matters, whether Mexican legal principles of due process, public policy (orden público) and non-violation of Mexican law have been complied with, without reviewing the merits of the subject matter of the case.

 

 

xi


 

PART I

ITEM 1. IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS

A.   Directors and Senior Management

Not applicable.

B.   Advisers

Not applicable.

C.   Auditors

Not applicable.

ITEM 2. OFFER STATISTICS AND EXPECTED TIMETABLE

A.   Offer Statistics

Not applicable.

B.   Method and Expected Timetable

Not applicable.

ITEM 3. KEY INFORMATION

A.Selected Financial Data

The following tables present our selected consolidated financial data for each of the periods indicated. You should read this information in conjunction with our audited financial statements and related notes and the information under “Item 5. Operating and Financial Review and Prospects” included elsewhere in this Report.

We have derived our selected consolidated income statement data for the years ended December 31, 2014, 2015, 2016, 2017 and 2018 and our selected consolidated balance sheet data as of December 31, 2014, 2015, 2016, 2017 and 2018 from our audited financial statements, which have been prepared in accordance with IFRS. We have included in Item 18 hereto our audited financial statements as of December 31, 2017 and 2018 and for each of the three years in the three-year period ended December 31, 2018.

1


 

CONSOLIDATED INCOME STATEMENT DATA IN ACCORDANCE WITH IFRS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the year ended December 31, 

 

  

2014

  

  

2015

  

  

2016

  

  

2017

  

  

2018

  

  

2018

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(Millions of U.S.

 

 

 

(Millions of pesos)(1)

 

 

dollars) (1)(2)

 

Interest income

 

Ps.

57,956

 

 

Ps.

64,230

 

 

Ps.

77,453

 

 

Ps.

98,002

 

 

Ps.

99,537

 

 

U.S.

5,065

 

Interest income from financial assets at fair value through profit or loss

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

14,049

 

 

 

715

 

Interest expenses and similar charges

 

 

(20,386)

 

 

 

(21,242)

 

 

 

(28,323)

 

 

 

(42,158)

 

 

 

(51,589)

 

 

 

(2,625)

 

Net interest income

 

 

37,570

 

 

 

42,988

 

 

 

49,130

 

 

 

55,844

 

 

 

61,997

 

 

 

3,155

 

Dividend income

 

 

137

 

 

 

104

 

 

 

94

 

 

 

150

 

 

 

210

 

 

 

11

 

Fee and commission income (net)

 

 

12,858

 

 

 

13,632

 

 

 

13,940

 

 

 

14,813

 

 

 

15,722

 

 

 

800

 

Gains/(losses) on financial assets and liabilities (net)

 

 

2,610

 

 

 

2,504

 

 

 

3,760

 

 

 

3,458

 

 

 

1,484

 

 

 

76

 

Exchange differences (net)

 

 

(11)

 

 

 

 6

 

 

 

 2

 

 

 

 6

 

 

 

 —

 

 

 

 —

 

Other operating income

 

 

509

 

 

 

472

 

 

 

486

 

 

 

669

 

 

 

748

 

 

 

38

 

Other operating expenses

 

 

(2,472)

 

 

 

(3,010)

 

 

 

(3,361)

 

 

 

(3,614)

 

 

 

(4,393)

 

 

 

(223)

 

Total income

 

 

51,201

 

 

 

56,696

 

 

 

64,051

 

 

 

71,326

 

 

 

75,768

 

 

 

3,857

 

Administrative expenses

 

 

(19,290)

 

 

 

(20,780)

 

 

 

(22,655)

 

 

 

(25,437)

 

 

 

(28,649)

 

 

 

(1,457)

 

Personnel expenses

 

 

(9,557)

 

 

 

(10,625)

 

 

 

(11,472)

 

 

 

(12,748)

 

 

 

(14,354)

 

 

 

(730)

 

Other general administrative expenses

 

 

(9,733)

 

 

 

(10,155)

 

 

 

(11,183)

 

 

 

(12,689)

 

 

 

(14,295)

 

 

 

(727)

 

Depreciation and amortization

 

 

(1,682)

 

 

 

(1,863)

 

 

 

(2,058)

 

 

 

(2,533)

 

 

 

(2,973)

 

 

 

(151)

 

Impairment losses on financial assets (net)

 

 

(13,132)

 

 

 

(16,041)

 

 

 

(16,661)

 

 

 

(18,820)

 

 

 

(18,810)

 

 

 

(956)

 

Loans and receivables(3)

 

 

(13,132)

 

 

 

(16,041)

 

 

 

(16,661)

 

 

 

(18,820)

 

 

 

 —

 

 

 

 —

 

Financial assets at amortized cost(3)

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

(18,806)

 

 

 

(956)

 

Financial assets at fair value through other comprehensive income

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

(4)

 

 

 

 —

 

Impairment losses on other assets (net)

 

 

(48)

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

(5)

 

 

 

 —

 

Other intangible assets

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

Non-current assets held for sale

 

 

(48)

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

(5)

 

 

 

 —

 

Provisions (net)(4)

 

 

(137)

 

 

 

258

 

 

 

(881)

 

 

 

(437)

 

 

 

(562)

 

 

 

(28)

 

Gains/(losses) on disposal of assets not classified as non-current  assets held for sale

 

 

 2

 

 

 

 7

 

 

 

20

 

 

 

 6

 

 

 

 7

 

 

 

 —

 

Gains/(losses) on disposal of non-current assets held for sale not
classified as discontinued operations

 

 

(15)

 

 

 

91

 

 

 

71

 

 

 

69

 

 

 

38

 

 

 

 2

 

Operating profit before tax

 

 

16,899

 

 

 

18,368

 

 

 

21,887

 

 

 

24,174

 

 

 

24,814

 

 

 

1,267

 

Income tax

 

 

(3,539)

 

 

 

(4,304)

 

 

 

(5,351)

 

 

 

(5,496)

 

 

 

(5,458)

 

 

 

(278)

 

Profit from continuing operations

 

 

13,360

 

 

 

14,064

 

 

 

16,536

 

 

 

18,678

 

 

 

19,356

 

 

 

989

 

Profit from discontinued operations (net)

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

Consolidated profit for the year

 

Ps.

13,360

 

 

Ps.

14,064

 

 

Ps.

16,536

 

 

Ps.

18,678

 

 

Ps.

19,356

 

 

U.S.

989

 

Profit attributable to the Parent

 

 

13,359

 

 

 

14,051

 

 

 

16,536

 

 

 

18,678

 

 

 

19,353

 

 

 

989

 

Profit attributable to non-controlling interests

 

 

 1

 

 

 

13

 

 

 

 —

 

 

 

 —

 

 

 

 3

 

 

 

 —

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share from continuing and discontinued operations:

 

 

  

 

 

 

  

 

 

 

  

 

 

 

  

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

 

1.97

 

 

 

2.07

 

 

 

2.44

 

 

 

2.76

 

 

 

2.86

 

 

 

0.15

 

Diluted earnings per share(5)

 

 

1.97

 

 

 

2.07

 

 

 

2.44

 

 

 

2.75

 

 

 

2.85

 

 

 

0.15

 

Earnings per share from continuing operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

 

1.97

 

 

 

2.08

 

 

 

2.44

 

 

 

2.76

 

 

 

2.86

 

 

 

0.15

 

Diluted earnings per share(5)

 

 

1.97

 

 

 

2.07

 

 

 

2.44

 

 

 

2.75

 

 

 

2.85

 

 

 

0.15

 

Cash dividend per share(6)

 

 

0.51

 

 

 

1.00

 

 

 

2.58

 

 

 

1.31

 

 

 

1.36

 

 

 

0.07

 

Weighted average shares outstanding

 

 

6,777,381,551

 

 

 

6,777,381,551

 

 

 

6,777,381,551

 

 

 

6,777,381,551

 

 

 

6,776,220,369

 

 

 

6,776,220,369

 

Dilutive effect of rights on shares(5)

 

 

9,612,806

 

 

 

9,612,806

 

 

 

9,612,806

 

 

 

9,612,806

 

 

 

10,773,988

 

 

 

10,773,988

 

Adjusted number of shares

 

 

6,786,994,357

 

 

 

6,786,994,357

 

 

 

6,786,994,357

 

 

 

6,786,994,357

 

 

 

6,786,994,357

 

 

 

6,786,994,357

 

Dividend paid

 

 

3,473

 

 

 

6,760

 

 

 

17,468

 

 

 

8,910

 

 

 

9,228

 

 

 

470

 

Basic earnings per share 

 

 

1.97

 

 

 

2.07

 

 

 

2.44

 

 

 

2.76

 

 

 

2.86

 

 

 

0.15

 

Diluted earnings per share

 

 

1.97

 

 

 

2.07

 

 

 

2.44

 

 

 

2.75

 

 

 

2.85

 

 

 

0.15

 

Dividend pay-out ratio

 

 

26.03%

 

 

 

48.18%

 

 

 

105.64%

 

 

 

47.77%

 

 

 

47.76%

 

 

 

47.60%

 

(1)

Except share and per share amounts.

(2)

Results for the year ended December 31, 2018 have been translated into U.S. dollars, for convenience purposes only, using the exchange rate of Ps.19.65 per U.S.$1.00 as calculated on December 31, 2018 and reported by the Mexican Central Bank in the Federal Official Gazette on January 2, 2019 as the exchange rate for the payment of obligations denominated in currencies other than pesos and payable within Mexico. These translations should not be construed as representations that the pesos amounts represent, have been or could have been converted into, U.S. dollars at such or at any other exchange rate.

(3)

Impairment losses less recoveries of previously written-off loans (net of legal expenses).

(4)

Principally includes provisions for off-balance sheet risk and provisions for tax and legal matters. See “Item 5. Operating and Financial Review and Prospects.”

(5)

To calculate diluted earnings per share, the amount of profit attributable to the Parent and the weighted average number of shares issued, excluding the average number of treasury shares, are adjusted to

2


 

consider all the dilutive effects inherent to potential shares. For additional information on earnings per share, see Note 4.2.ii to our audited financial statements included elsewhere in this Report.

(6)

On December 29, 2014, we paid a dividend of Ps.3,473 million, equal to Ps.0.0430 per share. On May 29, 2015, we paid a dividend of Ps.3,534 million, equal to Ps.0.0437 per share. On December 22, 2015, we paid a dividend of Ps.3,226 million, equal to Ps.0.0399 per share. On May 26, 2016, we paid a dividend of Ps.3,844 million, equal to Ps.0.0475 per share. On December 30, 2016, we paid a dividend of Ps.13,624 million, equal to Ps.0.1685 per share. On May 30, 2017 we paid a dividend of Ps.4,234 million, equal to Ps.0.0524 per share. On December 27, 2017, we paid a dividend of Ps.4,676 million, equal to Ps.0.0578 per share. On June 29, 2018, we paid a dividend of Ps.4,279 million, equal to Ps.0.6304 per share.On December 28, 2018, we paid a dividend of Ps.4,949 million, equal to Ps.0.7292 per share.

3


 

CONSOLIDATED BALANCE SHEET DATA IN ACCORDANCE WITH IFRS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of December 31, 

 

  

2014

  

  

2015

  

  

2016

  

  

2017

  

  

2018(1)

  

  

2018(1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(Millions of U.S.

 

 

 

(Millions of pesos)

 

 

dollars)(2)

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and balances with Mexican Central Bank

 

Ps.

51,823

 

 

Ps.

59,788

 

 

Ps.

78,663

 

 

Ps.

57,687

 

 

Ps.

55,310

 

 

U.S.

2,815

 

Financial assets at fair value through profit or loss

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

267,524

 

 

 

13,614

 

Financial assets held for trading

 

 

207,651

 

 

 

326,872

 

 

 

342,582

 

 

 

315,570

 

 

 

 —

 

 

 

 —

 

Other financial assets at fair value through profit or loss

 

 

32,501

 

 

 

28,437

 

 

 

42,340

 

 

 

51,705

 

 

 

107,425

 

 

 

5,467

 

Financial assets at fair value through other comprehensive income

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

155,789

 

 

 

7,928

 

Available-for-sale financial assets

 

 

83,340

 

 

 

113,873

 

 

 

154,644

 

 

 

165,742

 

 

 

 —

 

 

 

 —

 

Financial assets at amortized cost

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

 —

 

 

 

766,225

 

 

 

38,991

 

Loans and receivables

 

 

530,225

 

 

 

598,712

 

 

 

675,498

 

 

 

679,300

 

 

 

 —

 

 

 

 —

 

Hedging derivatives

 

 

4,740

 

 

 

12,121

 

 

 

15,003

 

 

 

15,116

 

 

 

9,285

 

 

 

472

 

Non-current assets held for sale

 

 

844

 

 

 

1,101

 

 

 

1,107

 

 

 

1,295

 

 

 

1,277

 

 

 

65

 

Tangible assets

 

 

5,259

 

 

 

5,547

 

 

 

5,692

 

 

 

6,498

 

 

 

8,714

 

 

 

443

 

Intangible assets

 

 

4,079

 

 

 

4,877

 

 

 

5,772

 

 

 

6,960

 

 

 

8,044

 

 

 

409

 

Tax assets

 

 

22,923

 

 

 

18,659

 

 

 

23,301

 

 

 

20,209

 

 

 

21,968

 

 

 

1,118

 

Other assets

 

 

6,209

 

 

 

5,847

 

 

 

6,335

 

 

 

9,109

 

 

 

7,163

 

 

 

366

 

Total assets

 

Ps.

949,594

 

 

Ps.

1,175,834

 

 

Ps.

1,350,937

 

 

Ps.

1,329,191

 

 

Ps.

1,408,724

 

 

U.S.

71,688

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

  

 

 

 

  

 

 

 

  

 

 

 

 

 

 

 

 

 

Financial liabilities at fair value through profit or loss

 

Ps.

 —

 

 

Ps.

 —

 

 

Ps.

 —

 

 

Ps.

 —

 

 

Ps.

255,481

 

 

U.S.

13,001

 

Financial liabilities held for trading

 

 

136,805

 

 

 

172,573

 

 

 

266,828

 

 

 

239,725

 

 

 

 —

 

 

 

 —

 

Other financial liabilities at fair value through profit or loss

 

 

110,520

 

 

 

208,341

 

 

 

136,860

 

 

 

120,653

 

 

 

105,430

 

 

 

5,365