FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the month of September, 2003
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): ____
[Logo]Cristalchile
NYSE: CGW
Santiago: CRISTALES
www.cristalchile.cl
-------------------
CONTACT IN SANTIAGO: Ricardo Dunner
Head of Investor Relations PH: (562) 787-8855
FAX: (562) 787-8800
EMAIL: rdunner@cristalchile.cl
-----------------------
FOR IMMEDIATE RELEASE
CRISTALERIAS DE CHILE REPORTS ITS RESULTS FOR
THIRD QUARTER AND NINE-MONTH
PERIOD ENDED SEPTEMBER 30, 2003
Santiago, Chile (November 14, 2003) - Cristalerias de Chile S.A.
("Cristalerias"), a Chilean conglomerate and the largest producer of glass
containers in Chile, today announced its results for the third quarter and
nine-month periods ended September 30, 2003. All figures have been prepared
according to Chilean GAAP and are stated in constant Chilean Pesos and in US
Dollars at Ch$660.97/US$1, the exchange rate at the close of September 30,
2003.
3Q03 HIGHLIGHTS (vs. 3Q02):
o Consolidated sales increased 3.4%
o Operating income down 11.6%
o EBITDA down 7.1%
o Non-operating loss of Ch$11,517 million in 3Q03 compared to a Ch$4,178
million income in 3Q02.
o Net loss of Ch$524 million, compared to Ch$12,772 million income in 3Q02.
YTD 2003 HIGHLIGHTS (vs. YTD 2002):
o Consolidated sales increased 5.9%
o Operating income down 10.2%
o EBITDA down 6.0%
o Non-operating loss of Ch$21,364 million compared to a loss of Ch$4,340
million in 2002.
o Net income reached Ch$2,416 million compared to Ch$16,448 million reported
in 2002.
o Earnings Per ADR reached US$0.17
----------------------------------------------------------------------------------------
CONSOLIDATED REVENUE
----------------------------------------------------------------------------------------
3Q03 vs.
(in Ch$ millions) 3Q03 3Q02 3Q02 YTD03
----------------------------------------------------------------------------------------
TOTAL REVENUE 47,092 45,539 3.4% 123,648
----------------------------------------------------------------------------------------
Cristalchile (glass containers) 21,175 19,606 8.0% 54,533
----------------------------------------------------------------------------------------
Vina Santa Rita (wine) 20,191 21,127 -4.4% 54,682
----------------------------------------------------------------------------------------
CIECSA (media) 7,241 6,633 9.2% 18,762
----------------------------------------------------------------------------------------
Adjustments 1,515 1,827 N/A 4,329
----------------------------------------------------------------------------------------
RELATED COMPANIES
----------------------------------------------------------------------------------------
Metropolis-Intercom (cable) 11,470 11,876 -3.4% 33,763
----------------------------------------------------------------------------------------
Envases CMF (plastic containers) 8,891 9,115 -2.5% 25,035
----------------------------------------------------------------------------------------
THIRD QUARTER 2003 RESULTS
CONSOLIDATED RESULTS
During 3Q03, Cristalerias' total consolidated revenue reached Ch$47,092
million, a 3.4% increase versus 3Q02. Main factors behind this increase were
improved sales in the glass container business (+8.0%) and CIECSA (+9.2%);
partially offset by lower sales in Santa Rita (-4.4%). Adjustments for
factors such as intercompany sales reached Ch$1,515 million during the
quarter.
3Q03 Revenue Breakdown
----------------------
Media 15%
Glass 44%
Wine 41%
Consolidated operating income decreased by 11.6% during the quarter, totaling
Ch$11,565 million (US$17.5 million). This includes Ch$7,714 million from the
glass container business, Ch$2,891 million from Santa Rita and Ch$954 million
from CIECSA.
During the quarter, Cristalerias had a Ch$524 million (US$0.8 million) net
loss, compared with a Ch$12,772 million (US$19.3 million) income in 3Q02. This
is mainly explained by a non-operating loss of Ch$11,517 million (US$ 17.4
million) in 3Q03, compared to a non-operating income of Ch$4,178 million
(US$6.3 million) in 3Q02. The latter is mainly explained by a Ch$7,828 million
loss from exchange rate differences (Ch$8,658 million income in 3Q02). The net
loss from subsidiaries that do not consolidate reached Ch$2,051 million
(Ch$1,753 million loss in 3Q02), mainly due to a Ch$1,803 million loss from
Cordillera Comunicaciones (Ch$1,897 million loss in 2002) and a Ch$248 million
loss from Envases CMF (Ch$439 million income in 3Q02). The net loss from
subsidiaries includes a Ch$1,046 million charge (Ch$1,041 million charge in
3Q02) corresponding to goodwill amortization, which does not constitute cash
flow.
EBITDA: Operating cash generation decreased from Ch$16,613 million (US$25.1
million) in the 3Q02 to Ch$15,441 million (US$23.4 million) in the 3Q03.
EBITDA margin for the quarter was 32.8% (36.5% in 3Q02).
The following analysis explains Cristalerias' results based on individual
financial statements, as well as those of its main subsidiaries:
2
PACKAGING BUSINESS
Glass
Glass packaging sales during the quarter increased by 8.0% to Ch$21,175
million (US$32.0 million). Volume sales increased by 11.7%, totaling 73,856
tons. Wine bottle sales increased by 8.8% mainly due to an increase in export
volumes. Beer bottle sales increased by 15.5%, due to higher sales of both
returnable and one-way formats. Softdrink bottle sales increased by 1.3%,
mainly due to the launching of a new 237cc crown-top returnable format.
Containers for the food industry increased due to anticipated sales to a
customer. Liquor bottle sales decreased by 4.3%, due to clients' inventory
build-up during 3Q02.
-------------------------------------------------------------------------------
GLASS
-------------------------------------------------------------------------------
3Q03 vs.
3Q03 3Q02 3Q02
-------------------------------------------------------------------------------
Net Sales (in Ch$ millions) 21,175 19,606 8.0%
-------------------------------------------------------------------------------
Wine 13,416 12,332 8.8%
-------------------------------------------------------------------------------
Beer 2,996 2,593 15.5%
-------------------------------------------------------------------------------
Soft Drinks 2,513 2,480 1.3%
-------------------------------------------------------------------------------
Liquor 1,674 1,750 -4.3%
-------------------------------------------------------------------------------
Food 480 380 26.3%
-------------------------------------------------------------------------------
Pharmaceutical 97 72 34.2%
-------------------------------------------------------------------------------
Volume in tons 73,856 66,139 11.7%
-------------------------------------------------------------------------------
Operating income increased by 8.0% to reach Ch$7,714 million (US$11.7
million). Operating margins remained flat at 36.4% in 3Q03.
Results for 3Q03 include a non-operating loss of Ch$8,087 million (US$12.2
million), compared to a Ch$6,929 million (US$10.5 million) non-operating
income in 3Q02. The Company registered a loss from exchange rate differences
of Ch$6,302 million (Ch$6,803 million income in 3Q02) and a net loss from
subsidiaries of Ch$893 million in 3Q03 (Ch$1,246 million income in 3Q02),
mainly due to a lower income from Vina Santa Rita and a loss from Envases CMF.
EBITDA: Operating cash generation increased by 9.4% reaching Ch$10,367 million
(US$15.7 million) in 3Q03. EBITDA margin was 49.0% (48.3% in 3Q02).
3
Plastic
During 3Q03, Envases CMF posted a Ch$496 million (US$ 0.8 million) net loss,
compared to a Ch$879 million (US$ 1.3 million) net income in 3Q02. Total sales
reached Ch$8,891 million (US$13.5 million), compared with Ch$9,115 million in
3Q02. Volumes decreased by 5.0%, reaching 5,691 tons, while prices increased
by 2.4%. Operating income reached Ch$646 million, compared to Ch$1,148 million
in 3Q02, due to higher raw material costs. The Company had a Ch$1,298 million
non-operating loss (Ch$266 million non-operating loss in 3Q02) mainly due to a
loss from exchange rate differences.
EBITDA: Operating cash generation reached Ch$1,773 million (US$2.7 million) in
3Q03, compared to Ch$2,267 million (US$3.4 million) in 3Q02. EBITDA margin was
19.9% (24.9% in 3Q02).
4
WINE BUSINESS
During 3Q03, Santa Rita's consolidated sales totaled Ch$20,191 million
(US$30.5 million), compared to Ch$21,127 million (US$32.0 million) in 3Q02.
The Company's profits came in at Ch$871 million (US$1.3 million), compared
with Ch$4,120 million (US$6.2 million) in 3Q02, due to both lower operating
and non-operating results, the latter including a loss from exchange rate
differences.
In the domestic market, Santa Rita's volumes increased by 5.5% compared to
3Q02 due to an increase in market share. Prices fell by 6.0% in real terms as
a result of sharp competition. These conditions led net sales in the domestic
market to drop by 0.8%.
In the export market sales dropped by 5.5%, mainly due to lower sales to the
North American and European markets as clients made stock adjustments. During
the period, exports of US$15.0 million accounted for 51.6% of total revenues.
The average price in Dollars per case in the export market reached US$33.9
(US$30.6 in 3Q02), compared with an industry average of US$23.55 (US$23.22 in
3Q02).
Operating income reached Ch$2,891 million, compared to Ch$4,312 million in
3Q02. Operating margin was 14.3% (20.4% in 3Q02).
EBITDA: Operating cash generation was Ch$3,906 million (US$5.9 million) during
the quarter, compared to Ch$5,279 million in 3Q02. Accordingly, EBITDA margin
was 19.3% (25.0% in 3Q02).
-------------------------------------------------------------------------------
SANTA RITA
-------------------------------------------------------------------------------
3Q03 vs.
3Q03 3Q02 3Q02
-------------------------------------------------------------------------------
Net Sales (in Ch$ millions) 20,191 21,127 -4.4%
-------------------------------------------------------------------------------
Domestic 9,530 9,611 -0.8%
-------------------------------------------------------------------------------
Exports 10,421 11,026 -5.5%
-------------------------------------------------------------------------------
Others 240 490 -51.0%
-------------------------------------------------------------------------------
Volume
-------------------------------------------------------------------------------
Exports (Th cases) 444 484 -8.3%
-------------------------------------------------------------------------------
Domestic (Th liters) 18,910 17,923 5.5%
-------------------------------------------------------------------------------
Price per case - Export Mkt.( US$) 33.9 30.6 10.9%
-------------------------------------------------------------------------------
Avg. price per case - Domestic Mkt. (Ch$) 4,536 4,824 -6.0%
-------------------------------------------------------------------------------
5
MEDIA BUSINESS
Television Broadcasting, Financial Printed Press, and Other Media
During 3Q03, CIECSA reported a net income of Ch$751 million (US$1.1 million)
compared to Ch$746 million (US$1.1 million) in 3Q02.
MEGA, CIECSA's main subsidiary, reached an average viewership share of 23.0%
in 3Q03 (28.6% in 3Q02). Net sales increased by 8.8% in 3Q03 to reach Ch$7,192
million (US$10.9 million). MEGA had a Ch$952 million (US$1.4 million)
operating income, compared to Ch$1,673 million in 3Q02, due to higher internal
production that increased costs. Therefore, MEGA posted an Ch$817 million net
income, compared to Ch$1,208 million net income in 3Q02.
Media Subsidiaries
------------------
CGW
98.5% 99.9%
CIECSA Cristalchile
Comunicaciones
99.9% 50.0%
MEGA Cordillera
Comunicaciones
37.4%
EL
DIARIO 95.6%
Metropolis-
Intercom
EBITDA: CIECSA's operating cash generation reached Ch$1,159 million (US$1.8
million) in 3Q03, compared to Ch$1,845 million (US$2.8 million) in 3Q02.
EBITDA margin was 16.0% (27.8% in 3Q02).
Cable Television
Cristalchile Comunicaciones S.A. (Cristalerias' wholly-owned subsidiary),
owner of 50% of Cordillera Comunicaciones Ltda., had a net loss of Ch$1,803
million (US$2.7 million) during the quarter compared to a net loss of Ch$1,872
(US$2.8 million) in 3Q02. Similarly, Cordillera Comunicaciones Ltda. (owner of
96% of Metropolis-Intercom S.A.) had a net loss of Ch$3,606 million (US$5.5
million) in 3Q03, compared to a net loss of Ch$3,795 million (US$5.7 million)
in 3Q02. The aforementioned result includes a goodwill amortization charge of
Ch$1,046 million (Ch$1,041 million in 3Q02).
6
During 3Q03 Metropolis-Intercom S.A. posted sales of Ch$11,470 million
(US$17.4 million), compared to Ch$11,876 million (US$18.0 million) in 3Q02. At
the operating level, the Company renegotiated programming costs with content
providers. Metropolis-Intercom posted a net loss of Ch$2,580 million (US$3.9
million), compared to a net loss of Ch$2,721 million (US$4.1 million) in 3Q02.
The latter includes Ch$3,409 million (US$5.2 million) depreciation charge,
compared to Ch$3,015 million (US$4.6 million) charge in 3Q02, mainly coming
from the HFC network bought in July 2000. The Company ended the period with
235,596 basic subscribers (238,839 in 3Q02), and 32,227 broad-band internet
subscribers, 63.7% over 3Q02.
-------------------------------------------------------------------------------
METROPOLIS-INTERCOM
-------------------------------------------------------------------------------
3Q03 vs.
09/30/03 06/30/03 2Q03
-------------------------------------------------------------------------------
Basic Subscribers (1) 235,596 237,324 -0.7%
-------------------------------------------------------------------------------
Premium customers 33,305 33,440 -0.4%
-------------------------------------------------------------------------------
Internet customers 32,227 29,286 10.0%
-------------------------------------------------------------------------------
Home Passed 1,187,296 1,172,109 1.3%
-------------------------------------------------------------------------------
3Q03 vs.
3Q03 3Q02 3Q02
-------------------------------------------------------------------------------
Sales (Ch$ Million) 11,470 11,876 -3.4%
-------------------------------------------------------------------------------
Net Profit (loss) (Ch$ Million) (2,580) (2,721) 5.2%
-------------------------------------------------------------------------------
(1) Includes Premium and Internet customers.
7
9-MONTH PERIOD ENDED SEPTEMBER 30, 2003 RESULTS
CONSOLIDATED RESULTS
The Company consolidates its results with those of Vilna Santa Rita, CIECSA,
Cristalchile Comunicaciones, Cristalchile Inversiones and Apoger. During the
first nine months of 2003, Cristalerias' total consolidated revenue
reached Ch$123,648 million (US$187.1 million), a 5.9% increase over 2002. The
main factors behind this growth include improved sales in the glass container
(+6.8%), media (+12.4%) and wine (+0.6%) businesses.
YTD03 Revenue Breakdown
-----------------------
Media 15%
Glass 42%
Wine 43%
Consolidated operating income totaled Ch$27,107 million (US$41.0 million),
compared to Ch$30,178 million in 2002. This includes Ch$17,356 million from
the glass container business, Ch$7,863 million from Santa Rita and Ch$1,808
million from CIECSA.
For the nine-month period ended on September 30, 2003, Cristalerias' net
income was Ch$2,416 million (US$3.7 million), compared to Ch$16,448 million
(US$24.9 million) in 2002. The Company had a non-operating loss of Ch$21,364
million (US$32.3 million), compared to a non-operating loss of Ch$4,340
million (US$6.6 million) in 2002. The latter is mainly explained by a loss
from exchange differences of Ch$12,269 million in 2003, compared to an
Ch$11,661 million income in 2002. The aforementioned was partially offset
by a lower net loss from subsidiaries that do not consolidate of Ch$3,959
million (Ch$9,425 million loss in 2002), mainly due to improved results at
Rayen Cura, Vilna Los Vascos and Envases CMF and a lower loss at
Metropolis-Intercom. The net loss from subsidiaries includes a Ch$3,128
million charge (Ch$3,109 million charge in 2002) corresponding to goodwill
amortization, which does not constitute cash flow.
EBITDA: Operating cash generation reached Ch$37,999 million (US$57.5 million),
compared to Ch$40,439 million (US$61.2 million) in 2002. EBITDA margin was
30.7% (34.6% in 2002).
The following analysis explains Cristalerias' results based on individual
financial statements, as well as those of its main subsidiaries:
8
PACKAGING BUSINESS
Glass
The Company had non-consolidated sales of Ch$54,533 million (US$82.5 million),
6.8% higher than in 2002. Volume sales increased by 6.7%, totaling 185,976
tons. Wine bottle sales increased by 6.6% during the period mainly due to an
increase in wine export volumes. Beer bottle sales increased by 5.5% due to
higher sales of one-way formats, partially compensated by lower sales of
returnable formats. Soft drink bottle sales increased by 5.3% due to the
launching of a 237cc crown-top returnable format. Liquor bottle sales
increased by 15.2%, due to the launching of a 700cc format for a new pisco
brand. Sales of containers for the food industry increased due to anticipated
sales to a client.
-------------------------------------------------------------------------------
GLASS
-------------------------------------------------------------------------------
YTD03 vs.
YTD03 YTD02 YTD02
-------------------------------------------------------------------------------
Net Sales (in Ch$ millions) 54,533 51,083 6.8%
-------------------------------------------------------------------------------
Wine 34,734 32,596 6.6%
-------------------------------------------------------------------------------
Beer 7,457 7,069 5.5%
-------------------------------------------------------------------------------
Soft Drinks 6,407 6,085 5.3%
-------------------------------------------------------------------------------
Liquor 4,421 3,836 15.2%
-------------------------------------------------------------------------------
Food 1,231 1,160 6.1%
-------------------------------------------------------------------------------
Pharmaceutical 283 337 -15.9%
-------------------------------------------------------------------------------
Volume in tons 185,976 174,219 6.7%
-------------------------------------------------------------------------------
Operating income reached $17,356 million (US$26.3 million), compared to
Ch$17,508 million (US$26.5 million) in 2002. Operating margin was 31.8% (34.3%
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$14,052 million
(US$21.3 million), compared to a non-operating income of Ch$2,370 million
(US$3.6 million) in 2002. During the period the Company registered a Ch$9,902
million loss from exchange rate differences (Ch$8,371 million income in 2002),
a lower income from Santa Rita and CIECSA and higher interest expenses;
partially compensated by a lower net loss from subsidiaries (Ch$1,587 million
loss in 2003, Ch$3,783 million loss in 2002), due to better results at
Cristalchile Inversiones (40% owner of Rayen Cura), Cristalchile
Comunicaciones (50% owner of Metropolis-Intercom) and Envases CMF.
EBITDA: Operating cash generation reached Ch$24,652 million (US$37.3 million),
compared to Ch$24,264 million (US$36.7 million) in 2002. EBITDA margin for the
period was 45.2% (47.5% in 2002).
9
Plastic
During the first nine months of 2003, Envases CMF posted a Ch$713 million
(US$1.1 million) net income in 2003 (Ch$464 million net income in 2002). Total
sales reached Ch$25,035 million (US$37.9 million), compared with Ch$24,598
million (US$37.2 million) in 2002. Volumes increased by 0.4%, reaching 16,697
tons, while prices increased by 1.3%. Operating income reached Ch$2,237
million, 17.6% over 2002, due to higher operating efficiencies and a more
profitable sales mix. The Company had a Ch$1,317 million non-operating loss
(Ch$1,505 million non-operating loss in 2002).
EBITDA: Operating cash generation increased from Ch$5,154 million (US$7.8
million) in 2002 to Ch$5,625 million (US$8.5 million) during 2003. EBITDA
margin increased to 22.5% (21.0% in 2002).
10
WINE BUSINESS
During the first nine months of 2003, Santa Rita's consolidated sales totaled
Ch$54,682 million (US$82.7 million), flat compared with 2002. The Company's
profits came in at Ch$3,735 million (US$5.7 million), compared to Ch$8,388
million (US$12.7 million) in 2002. These results are due to a decrease in both
the operating but mainly the nonoperating result, that registered a loss from
exchange rate differences.
In the domestic market, Santa Rita sales volumes were 1.9% higher than in
2002. Prices dropped by 4.4% in real terms as a result of strong competition.
These conditions led net sales in the domestic market to drop by 2.6%.
During the period, exports at US$41.9 million accounted for 54.2% of total
revenues (US$40.0 million in 2002). The average price in dollars per case
reached US$33.0 (US$30.5 in 2002), compared with an industry average of
US$23.6 (US$23.2 in 2002). Volumes in cases decreased by 3.2%.
-------------------------------------------------------------------------------
SANTA RITA
-------------------------------------------------------------------------------
YTD03 vs.
YTD03 YTD02 YTD02
-------------------------------------------------------------------------------
Net Sales (in Ch$ millions) 54,682 54,342 0.6%
-------------------------------------------------------------------------------
Domestic 23,898 24,542 -2.6%
-------------------------------------------------------------------------------
Export 29,658 28,495 4.1%
-------------------------------------------------------------------------------
Others 1,126 1,305 -13.7%
-------------------------------------------------------------------------------
Volume
-------------------------------------------------------------------------------
Exports (Th cases) 1,269 1,311 -3.2%
-------------------------------------------------------------------------------
Domestic (Th liters) 48,140 47,238 1.9%
-------------------------------------------------------------------------------
Price per case - Export Mkt.( US$) 33.0 30.5 8.0%
-------------------------------------------------------------------------------
Avg. price per case - Domestic Mkt. (Ch$) 4,464 4,680 -4.4%
------------------------------------------------------------------------------
EBITDA: Operating cash generation reached Ch$10,857 million (US$16.4 million)
in 2002, compared to Ch$12,001 million (US$18.2 million) in 2002. EBITDA
margin was 19.9% (22.1% in 2002).
11
MEDIA BUSINESS
Television Broadcasting, Financial Printed Press and Other Media
During 2003, CIECSA reported a net profit of Ch826 million (US$1.2 million)
compared to a net profit of Ch$1,063 million (US$1.6 million) in 2002.
MEGA, CIECSA's main subsidiary, reached an average viewership share of 23.0%
during the period(1) (25.9% in 2002). The Company increased net sales by 11.9%
reaching Ch$18,530 million (US$28.0 million). MEGA had a Ch$1,762 million
operating income, compared to Ch$3,454 million operating income in 2002, as
higher internal productions resulted in higher costs. Net income reached
Ch$1,026 million (US$1.6 million), compared to Ch$1,729 million (US$2.6
illion) during 2002.
EBITDA: CIECSA's operating cash generation reached Ch$2,406 million
(US$3.6 million), compared to Ch$4,104 million (US$6.2 million) during 2002.
EBITDA margin was 12.8% (24.6% 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$5,250 million
(US$7.9 million) during the period compared with a net loss of Ch$6,846
million (US$10.4 million) in 2002. Similarly, Cordillera Comunicaciones Ltda.
(owner of 95.6% of Metropolis-Intercom S.A.) posted a net loss of Ch$10,498
million (US$15.9 million) in 2003, compared to a net loss of Ch$13,682 million
(US$20.7 million) in 2002. The aforementioned result includes a goodwill
amortization charge of Ch$3,128 million for the period (Ch$3,109 million in
2002).
-------------
1 Measured between 7:30AM and 1:30AM (i.e.: 18 hours daily) from Monday to
Sunday.
12
During the first nine months of 2003 Metropolis-Intercom S.A. posted sales of
Ch$33,763 million (US$51.1 million), compared to Ch$35,227 million in 2002. At
operating level, the Company renegotiated programming costs with content
providers. Metropolis-Intercom posted a net loss of Ch$7,394 million (US$11.2
million), compared to a net loss of Ch$10,525 million (US$15.9 million) in
2002. The latter includes a depreciation charge of Ch$10,040 million (US$15.2
million) compared to Ch$8,637 million (US$13.1 million) charge in 2002 coming
mainly from the HFC network (acquired in July 2000). The Company ended the
period with 235,596 basic subscribers (238,839 in 2002), and 32,227 broad-band
internet subscribers, 63.7% over 2002.
-------------------------------------------------------------------------------
METROPOLIS-INTERCOM
-------------------------------------------------------------------------------
09/30/03 12/31/02 % Change
-------------------------------------------------------------------------------
Basic Subscribers (1) 235,596 238,725 -1.3%
-------------------------------------------------------------------------------
Premium customers 33,305 31,840 4.6%
-------------------------------------------------------------------------------
Internet customers 32,227 23,559 36.8%
-------------------------------------------------------------------------------
Home Passed 1,187,296 1,128,247 5.2%
-------------------------------------------------------------------------------
YTD03 vs.
YTD03 YTD02 YTD02
-------------------------------------------------------------------------------
Sales (Ch$ Million) 33,763 35,227 -4.2%
-------------------------------------------------------------------------------
Net Profit (loss) (Ch$ Million) (7,394) (10,525) 29.7%
-------------------------------------------------------------------------------
(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 September 30, 2003)
1 US Dollar = 660.97 Chilean Pesos
BALANCE SHEET
As of September 30
2003 2002
ASSETS MCh$ MCh$
-----------------------------------------
Cash, time deposits, marketable securities 82,159 99,290
Receivables 47,449 44,460
Inventories, net 36,489 35,406
Other current assets 5,502 3,203
TOTAL CURRENT ASSETS 171,599 182,359
NET P.P.&E. 138,676 130,156
Investment in related companies 105,660 112,855
Long-term receivables 9,835 10,576
Goodwill on investments 827 1,320
Accounts receivable, related companies 3 1
Others 25,183 29,468
TOTAL OTHER ASSETS 141,508 154,220
TOTAL ASSETS 451,782 466,735
LIABILITIES AND SHAREHOLDERS' EQUITY
-------------------------------------------------------------------------
Current portion of long-term &
short-term debt 5,364 28,942
Dividends payable 506 553
Accounts and notes payable 16,374 17,869
Provisions, withholdings, income taxes 17,799 16,294
Advances from customers 4,919 2,836
TOTAL CURRENT LIABILITIES 44,961 66,494
Long-term bank liabilities and bonds
payable 129,095 115,676
Miscellaneous creditors 361 3,422
Provisions and others 12,339 8,680
TOTAL LONG-TERM LIABILITIES 141,794 127,778
MINORITY INTEREST 37,648 36,695
TOTAL SHAREHOLDERS' EQUITY 227,380 235,769
TOTAL LIAB. & SHAREHOLDERS' EQUITY 451,782 466,735
STATEMENT OF INCOME
9 month period Third
ended September 30 quarter
2003 2002 2003 2002
MCh$ MCh$ MCh$ MCh$
OPERATING RESULTS:
Net sales 123,648 116,809 47,092 45,539
Cost of sales (78,108) (68,640) (29,080) (25,928)
Selling and administrative expenses (18,433) (17,991) (6,447) (6,526)
OPERATING INCOME 27,107 30,178 11,565 13,085
NON-OPERATING RESULTS:
Cordillera Comunicaciones Ltda (5,249) (6,841) (1,803) (1,897)
Editorial Zig-Zag (161) (132) (51) (39)
Vina Los Vascos S.A. 478 63 81 (9)
Rayen Cura S.A.I.C. 717 (2,675) (21) (209)
Envases CMF 357 232 (248) 439
Ediciones Chiloe (101) (67) (9) (34)
Others (0) (4) (0) (4)
Equity in net income related companies (net) (3,959) (9,425) (2,051) (1,753)
Interest income (expense) net (2,998) (2,688) (1,177) (1,396)
Other nonrecurring income (net) (968) (1,833) (288) (672)
Amortization of goodwill (464) (475) (146) (176)
Price-level restatement (706) (1,582) (27) (482)
Exchange Rate Variations (12,269) 11,661 (7,828) 8,658
NON-OPERATING INCOME (21,364) (4,340) (11,517) 4,178
Income tax (1,590) (5,282) (161) (2,476)
Extraordinary Items - - - -
Minority interest (1,737) (4,108) (410) (2,014)
NET INCOME 2,416 16,448 (524) 12,772
14
[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 September 30, 2003)
1 US Dollar = 660.97 Chilean Pesos
BALANCE SHEET
As of September 30
2003 2002
ASSETS MCh$ MCh$
-------------------------------------
Cash, time deposits, marketable securities 64,873 76,386
Receivables 24,615 24,502
Inventories, net 5,660 5,301
Other current assets 2,303 966
TOTAL CURRENT ASSETS 97,452 107,155
NET P.P.&E. 78,831 70,414
Investment in related companies 146,844 145,370
Long-term receivables 143 177
Goodwill on investments 1,939 2,111
Accounts receivable, related companies 21,334 24,860
Others 12,227 14,240
TOTAL OTHER ASSETS 182,488 186,758
TOTAL ASSETS 358,770 364,327
LIABILITIES AND SHAREHOLDERS' EQUITY
-------------------------------------
Current portion of long-term debt 912 22,791
Dividends payable 505 552
Accounts and notes payable 6,352 4,071
Provisions, withholdings, income taxes 10,915 6,933
TOTAL CURRENT LIABILITIES 18,683 34,347
Long-term bank liabilities and bonds payable 102,527 85,932
Miscellaneous creditors 169 1,067
Provisions 7,623 5,444
Others 2,388 1,767
TOTAL LONG-TERM LIABILITIES 112,707 94,210
TOTAL SHAREHOLDERS' EQUITY 227,380 235,769
TOTAL LIAB. & SHAREHOLDERS' EQUITY 358,770 364,327
STATEMENT OF INCOME
9 month period Third
ended September 30 quarter
2003 2002 2003 2002
MCh$ MCh$ MCh$ MCh$
OPERATING RESULTS:
Net sales 54,533 51,083 21,175 19,606
Cost of sales (33,262) (29,421) (12,055) (10,688)
General and administrative expenses (3,915) (4,155) (1,407) (1,776)
OPERATING INCOME 17,356 17,508 7,714 7,143
NON-OPERATING RESULTS:
Cristalchile Comunicaciones (5,250) (6,846) (1,803) (1,901)
S.A. Vina Santa Rita 2,021 4,538 471 2,229
Envases CMF S.A. 357 232 (248) 439
Ciecsa S.A. 813 1,045 739 734
Cristalchile Inversiones S.A. 474 (2,752) (52) (258)
Others (1) 0 (0) 3
Equity in net income related companies (net) (1,587) (3,783) (893) 1,246
Interest income (net) (1,663) (1,388) (723) (884)
Other nonrecurring income (net) (339) (58) (89) 46
Amortization of goodwill (129) (129) (43) (43)
Price-level restatement (432) (642) (36) (239)
Exchange Rate Variations (9,902) 8,371 (6,302) 6,803
NON-OPERATING INCOME (14,052) 2,370 (8,087) 6,929
Income tax (888) (3,430) (151) (1,299)
Amortization of negative goodwill - - - -
Extraordinary Items - - - -
NET INCOME 2,416 16,448 (524) 12,772
SALES VOLUME Th Tons Th Tons Th Tons Th Tons
Glass sales in Th tons 186.0 174.2 73.9 66.1
15
Signatures
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: September, 2003