Financiera Independencia Reports 3Q11 Net Income of Ps.18.7 Million and Loan Portfolio Growth of 25.4%

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Financiera Independencia, S.A.B. de C.V., SOFOM, E.N.R.

Oct 25, 2011, 08:57 ET

MEXICO CITY, Oct. 25, 2011 /PRNewswire/ --

Total loan portfolio of Ps.7,024.5 million, a 25.4% year-over-year increase, driven by AEF and AFI acquisitions and significant growth at Finsol.
Independencia's individual new loan origination increased to Ps.1,123.4 million, up 13.6% YoY and 12.8% QoQ.
Non-performing loans to total loans ratio down to 10.0% in 3Q11 from 10.5% in 3Q10 and up from 9.8% in 2Q11.
NIM after provisions including fees remained unchanged YoY at 41.1%, but decreased from 44.6% in 2Q11
Provisions for loan losses increased to 42.4% of financial margin in 3Q11, compared with 31.1% in 3Q10, and 34.0% in 2Q11.
Net income was down 83.4% YoY, and 67.2% on a sequential basis.
Equity to total assets of 29.0% compared to 34.7% in 3Q10, and 28.4% in 2Q11.
ROE in 3Q11 decreased to 2.7% compared to 7.6% in 2Q11, and to 15.1% in 3Q10.

Financiera Independencia, S.A.B. de C.V., SOFOM, E.N.R. (BMV: FINDEP; OTC: FNCRY), ("Findep" or the "Company") a leading Mexican microfinance lender of personal loans to lower income segment individuals and working capital loans through group lending microfinance, announced today results for the three- and nine-month periods ended September 30, 2011. Net income for 3Q11 declined 83.4% YoY to Ps.18.7 million.

Commenting on the results, Noel Gonzalez, Chief Executive Officer, said, "Top line performance remained strong this quarter, with a 25.4% year-on-year increase in our loan portfolio. Finsol continued to be a major growth driver, while the acquisitions of AEF and AFI earlier in the year also contributed to results. We are very satisfied with Independencia's individual loan growth, as this was the second quarter, since December 2009 that we see growth in this business. This confirms the positive trend we began to see in 2Q11. Loan origination at Independencia was up 12.8% quarter-on quarter and 13.6% year-on-year."

Financial & Operational Highlights
	3Q11	3Q10	%	9M11	9M10	%
Income Statement Data
Net Interest Income after Provisions*	542.0	533.8	1.5%	1,692.3	1,572.9	7.6%
Net Operating Income*	12.8	108.6	-88.2%	201.4	435.3	-53.7%
Net Income*	18.7	112.9	-83.4%	165.7	398.3	-58.4%
Total Shares Outstanding (million)	715.9	715.9	0.0%	715.9	715.9	0.0%
EPS	0.0261	0.1577	-83.4%	0.2314	0.5563	-58.4%
Profitability & Efficiency
NIM before Provisions Excl. Fees	50.9%	45.3%	5.6 pp	50.0%	50.7%	-0.7 pp
NIM after Provisions Excl. Fees	29.3%	31.2%	-1.9 pp	32.2%	34.7%	-2.5 pp
NIM after Provisions Incl. Fees	41.1%	41.1%	0 pp	43.8%	49.7%	-5.9 pp
ROA	0.8%	5.2%	-4.4 pp	2.3%	7.3%	-5 pp
ROE	2.7%	15.1%	-12.4 pp	7.5%	21.9%	-14.4 pp
Efficiency Ratio Incl. Provisions	98.3%	84.5%	13.8 pp	91.3%	80.7%	10.6 pp
Efficiency Ratio Excl. Provisions	64.5%	62.9%	1.5 pp	64.8%	61.0%	3.8 pp
Operating Efficiency	28.5%	27.3%	1.2 pp	29.3%	33.4%	-4 pp
Fee Income	22.7%	26.6%	-3.9 pp	24.2%	23.8%	0.4 pp
Capitalization
Equity to Total Assets	29.0%	34.7%	-5.8 pp	29.0%	34.7%	-5.8 pp
Credit Quality Ratios
NPL Ratio	10.0%	10.5%	-0.4 pp	10.0%	10.5%	-0.4 pp
Coverage Ratio	72.7%	68.0%	4.8 pp	72.7%	68.0%	4.8 pp
Operational Data
Number of Clients	1,559,466	1,363,913	14.3%	1,559,466	1,363,913	14.3%
Number of Offices	491	370	32.7%	491	370	32.7%
Total Loan Portfolio*	7,024.5	5,603.3	25.4%	7,024.5	5,603.3	25.4%
Average Balance (Ps.)	4,504.4	4,108.3	9.6%	4,504.4	4,108.3	9.6%
* Figures in millions of Mexican Pesos.

"However, this was a challenging quarter in terms of profitability. We experienced an increase in provisions for loan losses due to a more difficult collections environment and lower than expected results from our external collection agents. We are correcting the situation by reverting the assigned portfolio to our internal force which has proven to be more efficient. A more leveraged balance sheet resulting from recent acquisitions also had a negative impact on our bottom line. As new loans mature and interest expenses are amortized, our levels of profitability are expected to reach historic levels. While economic environment worldwide remains uncertain, the acquisitions undertaken over the past year and a half have transformed Findep into a more resilient and diversified company. This means diversification in terms of our business models, geographic reach, type of loans and customer base," concluded Mr. Gonzalez."

All financial figures discussed in this announcement are unaudited and are prepared in accordance with Mexican Banking Accounting Principles unless stated otherwise. Figures for 2010 and 2011 are expressed in nominal pesos. Tables state figures in millions of pesos, unless otherwise noted.

Independencia: refers to operations excluding the recent acquisitions of Finsol, AEF and AFI.

3Q11 CONSOLIDATED RESULTS

Unaudited results for 3Q11 include the effect of the consolidation of the acquisition of Apoyo Economico Familiar ("AEF"), one of the largest unsecured personal lending institutions in Mexico, on March 15, 2011, of Apoyo Financiero Inc. ("AFI"), a microfinance company primarily serving the unbanked Hispanic community in San Francisco, California, on February 28, 2011, and of Financiera Finsol, the second largest group lending microfinance institution in Mexico, and Instituto Finsol Brazil (collectively, "Finsol") on February 19, 2010.

Financial Margin after Provision for Loan Losses

Financial margin after provision for loan losses for 3Q11 increased 1.5% year-on-year to Ps.542.0 million. This is principally explained by the following:

Interest Income

Interest income for the quarter increased 26.2% year-on-year to Ps.1,132.3 million, principally as a result of the Ps.246.9 million, or 28.0%, increase in interest income on loans. The total loan portfolio increased 25.4% during the period, driven by a 14.3% growth in the number of clients and a 9.6% increase in the average balance per client. Significant growth in Finsol since its acquisition and the integration of AEF into the Company's balance sheet drove the increase in the number of clients. The higher average balance per client reflects Finsol's larger share of the total loan portfolio, and the considerably higher average balance per client at AEF.

The average balance per client increased from Ps.4,108 in 3Q10 to Ps.4,504 in 3Q11. The average lending rate(1) of the total loan portfolio increased to 65.8% in 3Q11 from 65.3% in 3Q10 and from 65.7% in 2Q11. The increase reflects the complete consolidation of AEF in the Company's results. Excluding AEF, the average lending rate was 62.4%.

Findep's total informal sector loans increased 33.8% year-on-year to Ps.3,480.6 million in 3Q11, representing 49.5% of the loan portfolio. Growth reflects the 45.9% increase in Finsol's group loans combined with the acquisition of AEF. Independencia's individual loans to the informal sector increased 1.5% year-on-year, driven by a 5.7% and 20.3% growth in the CrediPopular and CrediMama products, respectively. Growth was partially offset by a 34.4% decline in the CrediConstruye product. The share of non-Independencia loans to the informal sector increase from 17.4% of Findep's total loans in 3Q10 to 26.0% in 3Q11, reflecting the acquisitions of Finsol and AEF which have contributed to further diversify our business.

The Company's total formal sector loans represented 50.5% of the total loan portfolio and increased by 18.1% to Ps.3,543.9 million in 3Q11, from Ps.3,001.7 million in 3Q10. Growth was the result of the AEF and AFI acquisitions. The CrediInmediato loan product, a revolving line of credit that targets the formal sector, represented a lower share of Findep's total loan portfolio, accounting for 42.6% of total loans in 3Q11 from 53.6% in 3Q10 and 42.8% in 2Q11. The number of CrediInmediato clients in 3Q11 declined 2.3% year-on-year, while the total loan portfolio of this product fell 0.4% to Ps.2,989.8 million. However, on a sequential basis the number of CrediInmediato clients increased 1.8% and the loan portfolio grew 3.7%. The average balance per contract for CrediInmediato was Ps.4,175 in 3Q11, up 1.9% year-on-year, with the draw-down rate dropping from 73.5% to 71.7%.

Finsol's total loans reached Ps.1,420.3 million in 3Q11, a 7.5% increase from the Ps.1,321.2 million reported in 2Q11 and a 45.9% increase from 3Q10. During 3Q11, a total of Ps.1,096.2 million loans were originated at Finsol Mexico and Ps.368.5 million at Finsol Brazil, representing a 7.7% and 16.2% sequential increase, respectively. Group loans represented 20.2% of the total loan portfolio, practically unchanged from the 19.6% reported in 2Q11 but increased 2.8 pps. from the 17.4% posted in 3Q10.

Apoyo Economico Familiar total loan portfolio was Ps.915.4 million in 3Q11, a 3.4% sequential increase and a 16.5% increase from the Ps.785.6 million in 3Q10, date in which the acquisition was announced. The acquisition of AEF will allow Independencia to establish a strong presence in Mexico City and the Metropolitan area, a market where the Company did not have a personal loan operation. Apoyo Financiero Inc. total loan portfolio was Ps.46.5 million in 3Q11, representing 0.7% of the total consolidated portfolio.

Table 1: Financial Margin*
		3Q11	2Q11	3Q10	QoQ %	YoY %	9M11	9M10	%
Interest Income		1,132.3	1,092.7	897.1	3.6%	26.2%	3,174.8	2,646.8	20.0%
	Interest on Loans	1,129.5	1,089.3	882.6	3.7%	28.0%	3,158.7	2,598.0	21.6%
	Interest from Investment in Securities	2.8	3.4	14.5	-17.6%	-80.5%	16.2	48.7	-66.8%
Interest Expense		191.1	188.7	121.9	1.3%	56.7%	542.3	345.5	57.0%
Financial Margin		941.3	904.0	775.2	4.1%	21.4%	2,632.5	2,301.3	14.4%
Provision for Loan Losses		399.3	307.8	241.3	29.7%	65.4%	940.3	728.4	29.1%
Financial Margin After Provision for Loan Losses		542.0	596.2	533.8	-9.1%	1.5%	1,692.3	1,572.9	7.6%

* Figures in millions of Mexican Pesos

Table 2: Loan Portfolio, Number of Clients & Average Balance
	3Q11	2Q11	3Q10	QoQ %	YoY %
Loan Portfolio (million Ps.)	7,024.5	6,742.9	5,603.3	4.2%	25.4%
Number of Clients	1,559,466	1,512,141	1,363,913	3.1%	14.3%
Average Balance (Ps.)	4,504.4	4,459.2	4,108.3	1.0%	9.6%

Table 3: Number of Clients by Product Type
	3Q11	% of Total	2Q11	% of Total	3Q10	% of Total	QoQ % Change	YoY % Change
Formal Sector Loans	716,071	45.9%	703,180	46.5%	732,578	53.7%	1.8%	-2.3%
- CrediInmediato	716,071	45.9%	703,180	46.5%	732,578	53.7%	1.8%	-2.3%
Informal Sector Loans	446,517	28.6%	431,717	28.6%	437,386	32.1%	3.4%	2.1%
- CrediPopular	356,442	22.9%	340,187	22.5%	332,264	24.4%	4.8%	7.3%
- CrediMama	53,747	3.4%	50,644	3.3%	47,092	3.5%	6.1%	14.1%
- CrediConstruye	36,328	2.3%	40,886	2.7%	58,030	4.3%	-11.1%	-37.4%
Finsol Loans	272,613	17.5%	257,161	17.0%	193,949	14.2%	6.0%	40.6%
- Finsol Mexico	218,837	14.0%	210,290	13.9%	159,434	11.7%	4.1%	37.3%
- Finsol Brasil	53,776	3.4%	46,871	3.1%	34,515	2.5%	14.7%	55.8%
Apoyo Economico Familiar Loans	123,039	7.9%	118,995	7.9%	0	0.0%	3.4%	n/a
Apoyo Financiero Inc Loans	1,226	0.1%	1,088	0.1%	0	0.0%	12.7%	n/a
Total Number of Loans	1,559,466	100.0%	1,512,141	100.0%	1,363,913	100.0%	3.1%	14.3%

Table 4: Total Loan Portfolio by Product Type*
	3Q11	% of Total	2Q11	% of Total	3Q10	% of Total	QoQ % Change	YoY % Change
Formal Sector Loan Portfolio	2,989.8	42.6%	2,883.6	42.8%	3,001.6	53.6%	3.7%	-0.4%
- CrediInmediato	2,989.8	42.6%	2,883.6	42.8%	3,001.6	53.6%	3.7%	-0.4%
Informal Sector Loan Portfolio	1,652.5	23.5%	1,617.9	24.0%	1,628.1	29.1%	2.1%	1.5%
- CrediPopular	1,341.9	19.1%	1,302.0	19.3%	1,269.6	22.7%	3.1%	5.7%
- CrediMama	165.8	2.4%	158.9	2.4%	137.8	2.5%	4.3%	20.3%
- CrediConstruye	144.8	2.1%	156.9	2.3%	220.7	3.9%	-7.7%	-34.4%
Finsol Loan Portfolio	1,420.3	20.2%	1,321.2	19.6%	973.6	17.4%	7.5%	45.9%
- Finsol Mexico	912.1	13.0%	864.0	12.8%	675.4	12.1%	5.6%	35.0%
- Finsol Brasil	508.3	7.2%	457.2	6.8%	298.2	5.3%	11.2%	70.4%
Apoyo Economico Familiar Loans	915.4	13.0%	885.0	13.1%	0.0	0.0%	3.4%	n/a
Apoyo Financiero Inc Loans	46.5	0.7%	35.2	0.5%	0.0	0.0%	32.1%	n/a
Total Loan Portfolio	7,024.5	100.0%	6,742.9	100.0%	5,603.3	100.0%	4.2%	25.4%

* Figures in millions of Mexican Pesos.

Table 5: Total Loan Portfolio by Segment*
	3Q11	% of Total	2Q11	% of Total	3Q10	% of Total	QoQ % Change	YoY % Change
Formal Sector Loan Portfolio	3,543.9	50.5%	3,408.7	50.6%	3,001.6	53.6%	4.0%	18.1%
- Independencia (CrediInmediato)	2,989.8	42.6%	2,883.6	42.8%	3,001.6	53.6%	3.7%	-0.4%
- AEF Formal	507.6	7.2%	489.9	7.3%	0.0	0.0%	3.6%	0.0%
- AFI	46.5	0.7%	35.2	0.5%	0.0	0.0%	32.1%	0.0%
Informal Sector Loan Portfolio	3,480.6	49.5%	3,334.2	49.4%	2,601.7	46.4%	4.4%	33.8%
- Independencia	1,652.5	23.5%	1,617.9	24.0%	1,628.1	29.1%	2.1%	1.5%
- Finsol Mexico	912.1	13.0%	864.0	12.8%	675.4	12.1%	5.6%	35.0%
- Finsol Brasil	508.3	7.2%	457.2	6.8%	298.2	5.3%	11.2%	70.4%
- AEF Informal	407.8	5.8%	395.1	5.9%	0.0	0.0%	3.2%	0.0%
Total Loan Portfolio	7,024.5	100.0%	6,742.9	100.0%	5,603.3	100.0%	4.2%	25.4%

* Figures in millions of Mexican Pesos.

Interest Expense

Interest expense during 3Q11 increased by Ps.69.1 million, or 56.7%, year-on-year, to Ps.191.1 million principally as a result of the additional debt incurred to finance the Ps.1,180 million AEF and AFI acquisitions. The financing of the acquisitions resulted in a Ps.29.2 million increase in interest expenses for the quarter. Excluding this impact, interest expense increased by Ps.40.0 million or 32.8% year-on-year, reflecting the integration of AEF into the Company's results and the 25.4% year-on-year growth in the loan portfolio. The average interest rate paid(2) increased to 11.26% in 3Q11 from 11.14% in 3Q10, and from 10.82% in 2Q11. The higher average interest rate paid also reflects the refinancing in June 2011 of a Ps.784.0 million medium-term notes with a new Ps.1,500.0 million "Certificado Bursatil" issued at a higher rate due to market conditions. The average TIIE stood at 4.8% in 3Q11 compared with 4.9% in 3Q10.

Provision for Loan Losses

Provisions for loan losses increased year-on-year by 65.4%, or Ps.157.9 million, to Ps.399.3 million in 3Q11. Excluding AEF and AFI provisions for loan losses increased year-on-year by 52.2% or Ps.126.0 million. Write-offs in 3Q11 increased 33.1%, or by Ps.86.8 million, to Ps.349.2 million from Ps.262.4 million in 3Q10. Excluding AEF and AFI write-offs increased by 22.3% to Ps.321.0 million. Total non-performing loans reached Ps.703.5 million, up 20.1% from Ps.585.8 million on 3Q10. AEF reported Ps.12.1 million in non-performing loans, representing an NPL ratio of 1.3%.

Market Related Income

During 3Q11, the Company reported a Ps.29.0 million benefit, principally as a result of foreign exchange operations between Financiera Independencia, Finsol Brazil and Apoyo Financiero Incorporated. As explained in previous reports, since 3Q10 the mark-to-market impact of the cross currency swap to hedge the US dollar bond issuance has been reported in the Stockholders Equity line on the Balance Sheet.

Net Operating Revenue

Net operating revenue increased year-on-year by Ps.57.6 million, or 8.2%, to Ps.760.6 million in 3Q11 due to the reasons stated above as well as a decrease in non-interest income. Non-interest income decreased to Ps.188.4 million in 3Q11 from Ps.199.8 million in 3Q10. The year-on-year decline reflects the 14.3% decrease in the number of clients using the revolving line of credit, which resulted in lower annual fees. The introduction of CrediInmediato Simple, an annual fee-free variation of the CrediInmediato product also impacted non-interest income. In 3Q11, CrediInmediato Simple accounted for 33% of Independencia's total individual loan origination. On a sequential comparison, net operating revenue decreased 5.4% from Ps.803.7 million in 2Q11.

Net Operating Income

Net operating income for 3Q11 decreased year-on-year by Ps.95.8 million, or 88.2%, to Ps.12.8 million. On a sequential comparison, net operating income decreased 82.0% from Ps.71.2 million in 2Q11.

Non-interest expense increased by Ps.153.5 million year-on-year, or 25.8%, in line with the 25.4% growth in total loans achieved during the period. The consolidation of AEF into the Company's results and expenses related to Finsol's expansion plan were the main drivers behind the increase. Excluding AEF and AFI, non-interest expense increased year-on-year by Ps.14.5 million, or 2.4%, to Ps.608.9 million, reflecting efficiencies from cost reduction initiatives implemented in 4Q10. On a sequential basis, non-interest expense increased by Ps.15.3 million, or 2.1%.

During the last twelve months, the Company added a total of 121 branches to its network, 18 of which were added during the quarter and 97 resulted from the acquisition of AEF and AFI. Out of the 18 additional branches, 13 were opened by Finsol Mexico and five by AEF. During the quarter, the Company also closed five Financiera Independencia's service offices bringing the total network to 491 units.

Table 6: Net Operating Income*				Change
	3Q11	2Q11	3Q10	QoQ %	YoY %	9M11	9M10	% Change
Financial Margin	941.3	904.0	775.2	4.1%	21.4%	2,632.5	2,301.3	14.4%
Provision for Loan Losses	399.3	307.8	241.3	29.7%	65.4%	940.3	728.4	29.1%
Financial Margin After Provision for Loan Losses	542.0	596.2	533.8	-9.1%	1.5%	1,692.3	1,572.9	7.6%
Non-Interest Income, net	172.5	193.9	187.0	-11.0%	-7.8%	557.3	536.6	3.9%
- Commissions and Fees Collected	188.4	208.5	199.8	-9.7%	-5.7%	600.3	571.1	5.1%
- Commissions and Fees Paid	15.8	14.7	12.8	8.1%	23.6%	43.0	34.5	24.6%
Market Related Income	29.0	0.1	-33.1	39664.9%	-187.7%	14.2	91.2	-84.5%
Other income (expense) of the operation	17.1	13.6	15.2	26.1%	12.3%	42.7	55.1	-22.5%
Net Operating Revenue	760.6	803.7	703.0	-5.4%	8.2%	2,306.4	2,255.8	2.2%
Non-Interest Expense	747.8	732.6	594.4	2.1%	25.8%	2,105.0	1,820.5	15.6%
- Other Administrative & Operational Expenses	265.4	256.2	196.1	3.6%	35.3%	723.2	571.2	26.6%
- Salaries & Employee Benefits	482.5	476.4	398.3	1.3%	21.1%	1,381.8	1,249.3	10.6%
Net Operating Income	12.8	71.2	108.6	-82.0%	-88.2%	201.4	435.3	-53.7%

Operational Data
Number of Offices	491	478	370	2.7%	32.7%	491	370	32.7%
- Financiera Independencia	202	207	207	-2.4%	-2.4%	202	207	-2.4%
- Finsol	183	170	163	7.6%	12.3%	183	163	12.3%
- Apoyo Economico Familiar	104	99	0	5.1%	n/a	104	0	n/a
- Apoyo Financiero Inc	2	2	0	0.0%	n/a	2	0	n/a
Total Labor Force	11,354	10,734	11,153	5.8%	1.8%	11,354	11,153	1.8%
- Financiera Independencia	7,853	7,488	9,686	4.9%	-18.9%	7,853	9,686	-18.9%
- Finsol	1,917	1,732	1,467	10.7%	30.7%	1,917	1,467	30.7%
- Apoyo Economico Familiar	1,575	1,506	0	4.6%	n/a	1,575	0	n/a
- Apoyo Financiero Inc	9	8	0	12.5%	n/a	9	0	n/a

* Financial data in millions of Mexican Pesos.

Net Income

As a result of the factors discussed above, and after other income and expenses, and income tax, net income for 3Q11 decreased 67.2% on a sequential basis and 83.4% year-on-year to Ps.18.7 million.

Earnings per share (EPS) for the quarter were Ps.0.0261 compared with Ps.0.1577 for the same period last year.

Apoyo Economico Familiar Contribution

During 3Q11 AEF generated financial margin after provisions of Ps.148.8 million, or 27.5% of consolidated results, and net operating revenue of Ps.165.9 million, or 21.8% of consolidated results. Additionally, AEF contributed with Ps.136.1 million of non-interest expense, or 18.2% of consolidated results.

Apoyo Financiero Inc. Contribution

During 3Q11 AFI generated financial margin after provisions of Ps.3.0 million, or 0.5% of consolidated results, and net operating revenue of Ps.10.3 million. Additionally, AFI contributed with Ps.2.8 million of non-Interest expense, or 0.4% of consolidated results.

FINANCIAL POSITION

Total Loan Portfolio

The total loan portfolio rose year-on-year by 25.4% to Ps.7,024.5 million, reflecting a 14.3% increase in the number of clients during the period, and a 9.6% increase in the average outstanding balance. At the end of the quarter, Findep had a total of 1,559,466 clients, of which 272,613 were Finsol clients, 123,039 were AEF clients and 1,226 were AFI clients.

As of September 30, 2011, the total loan portfolio represented 67.1% of Findep's total assets, compared with 65.2% as of September 30, 2010. Cash and Investments represented 3.6% of total assets for 3Q11 compared with 13.7% in 3Q10.

Non-Performing Loan Portfolio

Total non-performing loans reached Ps.703.5 million, up 6.1% on a sequential basis from Ps.662.9 million and 20.1% year-over-year. The NPL ratio declined to 10.0% in 3Q11 from 10.5% in 3Q10, but increased from 9.8% in 2Q11. Excluding Finsol, AEF, and AFI, total non-performing loans reached Ps.626.0 million, up 10.6% year-on-year.

The NPL ratio for the CrediInmediato product in 3Q11 was 13.0%, compared with 13.2% in 2Q11. The NPL ratio for Independencia's individual informal segment was 14.3% in 3Q11, from 13.4% in 2Q11 and 10.7% in 3Q10. The NPL ratio in 3Q11 for the group lending segment (Finsol) was 4.8% in Mexico and 4.0% in Brazil, compared to 2.0% and 2.1% respectively, in 3Q10. The year-on-year increase in Finsol Mexico's NPLs is mainly the result of a higher exposure in the loan portfolio to clients within their first three loan cycles which historically experience higher NPL rates than those with a history of more than three cycles. The higher year-on-year exposure to clients within the first three loan cycles reflects the rapid loan growth at Finsol following its acquisition. Before that, due to funding constraints, Finsol focused on renewing loans to its existing and best performing clients and was not able fund loans to new and higher risk clients. As the portfolio matures, non-performing loans are expected to stabilize.

For the quarter, AEF's NPL ratio stood at 1.3% compared to 1.1% in 2Q11.

The coverage ratio for 3Q11 was 72.7%, compared with 69.6% in 2Q11 and 68.0% in 3Q10. The increase in the coverage ratio reflects the increase in default probabilities of the loan portfolio and AEF's high coverage ratio.

Liabilities

As of September 30, 2011 total liabilities were Ps.7,438.5 million, a 32.5% increase from Ps.5,612.4 million reported on September 30, 2010. The year-on-year increase was the result of the AEF acquisition as well as higher working capital needs. On a sequential comparison, total liabilities decreased 1.0% from Ps.7,510.3.3 million in June 30, 2011.

During the quarter, the Company reached an agreement with NAFIN to modify the terms and conditions of Finsol Mexico's existing line of credit. As of September 22, 2011 the line of credit increased from Ps.280 million to Ps.500 million. The terms include a floating interest rate based on the TIIE plus 450 basis points. On that same date NAFIN also granted a new Ps.200 million line of credit to Apoyo Economico Familiar that pays an interest rate of TIIE plus 400 basis points. Both lines of credit have an evergreen feature.

At the end of 3Q11, Findep's debt consisted of Ps.2,614.0 million (US$200 million) of senior guaranteed notes due March 2015, Ps.1,500.0 million in medium-term notes "Certificados Bursatiles" due May 2014, as well as Ps.2,886.7 million of bank and other entities loans. The Company's total lines of credit amounted to Ps.4,956.1 million at the end of 3Q11, of which Ps.2,215 million or 44.7% are available. This includes the lines of credit at Finsol and AEF.

Of the total lines of credit, Ps.336 million mature in January 2012, Ps.1,330 million in December 2012, Ps.1,520 million in December 2013, Ps.70 million in July 2014 and the remaining Ps.1,700 million have an evergreen feature. These amounts include the available lines of credit at Finsol and AEF.

On August 30 2011, the Company entered on a step-up interest rate swap from a floating to a fixed rate for a notional amount of Ps.1,500.0 million to hedge the medium-term notes "Certificados Bursatiles" for a three-year period starting on September 7, 2011. The interest rate is 6.95% for the first twelve months and 7.80% until maturity.

Stockholders' Equity

As of September 30, 2011 stockholder's equity was Ps.3,031.2 million, a 1.4% increase from Ps.2,987.9 million in the same year-ago period. This increase principally reflects net income generated during the current period partially offset by the Ps.150.3 million dividend paid for 2010.

As a result of the revaluation of foreign currency denominated debt and the underlying derivatives position to hedge for foreign exchange risk, in 3Q11 the Company posted a Ps.21.4 million impact recorded as Financial Instruments - Derivatives. This impact will be naturally eliminated as the contract progresses and expires. The breakdown of this impact is as follows: a Ps.110.8 million gain from marking-to-market the Cross Currency Swap, a Ps.145.9 million loss from the revalorization of the bond, Ps.9.2 million in deferred taxes, and a Ps.4.0 million loss from hedge-ineffectiveness. In this same line-item, the Company recorded a Ps.8.5 million gain from the mark-to-market of the interest rate swap of the Certificados Bursatiles outstanding.

PROFITABILITY AND EFFICIENCY RATIOS

ROAE/ROAA

ROAE for 3Q11 was 2.7% compared with 15.1% in 3Q10 and 7.6% in 2Q11. These figures reflect the Ps.850 million capital increase in 1Q10.

ROAA for 3Q11 was 0.8% compared with 5.2% in 3Q10 and 2.2% in 2Q11.

Efficiency Ratio & Operating Efficiency

From 3Q10 to 3Q11 Independencia increased the size of its loan portfolio by 25.4% and the number of clients by 14.3%. During the quarter, the Company added a net of 13 offices and increased its total labor force by 5.8% to 11,354 people.

During 3Q11 the Company's efficiency ratio was 98.3%, compared with 84.5% in 3Q10 and 91.1% in 2Q11. The year-on-year increase is principally the result of the 65.4% rise in provisions for loan losses during the period and the increase in interest expense as a result of the AEF and AFI acquisitions. Excluding provisions for loan losses, the efficiency ratio in 3Q11 was 64.5% compared to 62.9% in 3Q10. Operating efficiency was 28.5% in 3Q11, up 1.2 pps year-on-year and down 0.1 pps quarter-on-quarter.

DISTRIBUTION NETWORK

At the end of the quarter, Independencia operated 491 offices in Mexico, Brazil, and the US, 18 of which were added during the quarter. This includes 466 offices in Mexico of which 202 operated under the Financiera Independencia brand name, 160 offices under the Finsol brand name, and 104 offices under the Apoyo Economico Familiar brand name. The Company also operated 23 branches in Brazil under the Finsol Brazil brand name, and two branches in San Francisco, CA under the Apoyo Financiero Inc. brand name.

The Company's total loan portfolio is well diversified and no federal entity represents more than 10.0% of the total loan portfolio. The three federal entities with the highest loan portfolio concentration are Veracruz, Tamaulipas and Estado de Mexico, with a 10.0%, 8.2%, and 7.8% share of the total portfolio, respectively.

3Q11 EARNINGS CONFERENCE CALL

Day:	Wednesday, October 26, 2011

Time:	11:00 AM US ET; 10:00 AM Mexico City time

Dial-in number:	866-393-9621 (US & Canada)
	706-758-4196 (International & Mexico)
.

Access Code:	16421351
.
Web cast:	A live web cast of the conference call and replay will be available at www.findep.mx

Replay:	Starting at 12:00 pm EDT on October 26 and ending at 11:59 pm ET on November 2,, 2011. The replay is accessible by dialing 800-585-8367 (U.S./Canada) or 404-537-3406 (international) and entering passcode 16421351.

About Financiera Independencia:

Financiera Independencia, S.A.B. de C.V., SOFOM, E.N.R. (Independencia), is a Mexican microfinance lender of personal loans to individuals and working capital loans through group lending microfinance. Independencia provides microcredit loans on an unsecured basis to individuals in the low-income segments in Mexico in urban and rural areas of both the formal and informal economy. As of September 30, 2011, Independencia had a total outstanding loan balance of Ps.7,024.5 million, operated 491 offices in Mexico, Brazil, and the US and had a total labor force of 11,354 people. The Company listed on the Mexican Stock Exchange on November 1, 2007, where it trades under the symbol "FINDEP". On November 30, 2009 Independencia launched a sponsored Level I American Depositary Receipt (ADR) program in the United States. Each ADR represents 15 shares of Independencia common stock and trades over-the-counter (OTC). More information can be found at www.findep.mx

Some of the statements contained in this press release discuss future expectations or state other forward-looking information. Those statements are subject to risks identified in this press release and in Financiera Independencia's filings with the Mexican Stock Exchange. Actual developments could differ significantly from those contemplated in these forward-looking statements. The forward-looking information is based on various factors and was derived using numerous assumptions. Our forward-looking statements speak only as of the date they are made and, except as may be required by applicable law, we do not have an obligation to update or revise them, whether as a result of new information, future or otherwise.

(1) Average lending rate: interest income / average balance of the total loan portfolio.

(2) Average interest rate paid = interest expense / daily average balance of interest bearing liabilities for the period.

# # # TABLES TO FOLLOW # # #

FINANCIERA INDEPENDENCIA S.A.B. DE C.V., SOFOM, E.N.R.

Consolidated Income Statement

For the Three and Nine-Months Periods Ended September 30, 2011 and 2010

(Millions of Mexican Pesos)

3Q11 vs 3Q10

3Q11

2Q11

1Q11

4Q10

3Q10

Absolute

9M11

9M10

Absolute

Interest Income

1,132.3

1,092.7

949.8

948.9

897.1

235.2

26.2%

3,174.8

2,646.8

528.1

20.0%

Interest Expense

191.1

188.7

162.5

159.0

121.9

69.1

56.7%

542.3

345.5

196.8

57.0%

Financial Margin

941.3

904.0

787.3

789.8

775.2

166.1

21.4%

2,632.5

2,301.3

331.3

14.4%

Provision for Loan Losses

399.3

307.8

233.2

243.1

241.3

157.9

65.4%

940.3

728.4

211.9

29.1%

Financial Margin After Provision for Loan Losses

542.0

596.2

554.0

546.7

533.8

8.2

1.5%

1,692.3

1,572.9

119.4

7.6%

Commissions and Fees Collected

188.4

208.5

203.4

204.7

199.8

(11.5)

(5.7%)

600.3

571.1

29.2

5.1%

Commissions and Fees Paid

15.8

14.7

12.5

12.3

12.8

3.0

23.6%

43.0

34.5

8.5

24.6%

Market Related Income

29.0

0.1

(14.9)

4.2

(33.1)

62.1

(187.7%)

14.2

91.2

(77.1)

(84.5%)

Other income (expense) of the operation

17.1

13.6

12.0

12.5

15.2

1.9

12.3%

42.7

55.1

(12.4)

(22.5%)

Net Operating Revenue

760.6

803.7

742.1

755.8

703.0

57.6

8.2%

2,306.4

2,255.8

50.7

2.2%

Non-Interest Expense

747.8

732.6

624.7

686.0

594.4

153.5

25.8%

2,105.0

1,820.5

284.6

15.6%

Net Operating Income

12.8

71.2

117.4

69.8

108.6

(95.8)

(88.2%)

201.4

435.3

(233.9)

(53.7%)

Other Income (expense) - Net

35.8

19.7

4.6

23.9

10.3

25.5

248.6%

60.1

40.5

19.6

48.2%

Total Income Before Income Tax and Employees' Statutory Profit Sharing

48.6

90.9

122.0

93.7

118.9

(70.3)

(59.1%)

261.5

475.8

(214.3)

(45.0%)

Income Tax and Employees' Statutory Profit Sharing

Current

6.9

65.8

83.0

19.9

21.3

(14.4)

(67.6%)

155.6

81.7

74.0

90.6%

Deferred

21.3

(31.7)

(50.9)

20.3

(15.3)

36.6

(239.1%)

(61.2)

(4.1)

(57.1)

1393.6%

Total Income Before Minority Interest

20.4

56.8

89.9

53.4

112.9

(92.5)

(82.0%)

167.1

398.3

(231.2)

(58.0%)

Minority Interest

(1.7)

0.1

(1.7)

n/a

(1.4)

(1.4)

n/a

Net Income

18.7

57.0

90.0

53.4

112.9

(94.2)

(83.4%)

165.7

398.3

(232.6)

(58.4%)

Weighted Average Number of Shares

715.9

715.9

715.9

0.0%

715.9

0.0%

EPS

0.0261

0.0796

0.1258

0.0746

0.1577

(0.1316)

(83.4%)

0.2314

0.5563

(0.3249)

(58.4%)

FINANCIERA INDEPENDENCIA S.A.B. DE C.V., SOFOM, E.N.R.
Consolidated Balance Sheet
As of September 30, 2011 and 2010
(Millions of Mexican Pesos)
						3Q11 vs 3Q10
	3Q11	2Q11	1Q11	4Q10	3Q10	Absolute	%

ASSETS

Cash	203.1	133.3	172.6	153.7	153.6	49.4	32.2%
Investments in Securities	177.1	522.5	297.3	702.0	1,026.1	(849.0)	(82.7%)

Cash and Cash Equivalents	380.2	655.9	469.9	855.7	1,179.8	(799.6)	(67.8%)

Performing Loans	6,321.1	6,080.0	6,025.8	5,202.8	5,017.5	1,303.5	26.0%
Non-Performing Loans	703.5	662.9	535.9	570.2	585.8	117.6	20.1%

Total Loan Portfolio	7,024.5	6,742.9	6,561.7	5,773.0	5,603.3	1,421.2	25.4%

Allowances for Loan Losses	(511.7)	(461.4)	(404.8)	(375.5)	(398.1)	(113.5)	28.5%

Total Loan Portfolio - Net	6,512.9	6,281.5	6,156.9	5,397.6	5,205.2	1,307.7	25.1%

Other Accounts Receivable - Net	387.8	397.7	205.7	410.6	247.4	140.4	56.8%
Property, Plant & Equipment - Net	430.7	451.7	461.4	403.3	378.6	52.2	13.8%
Deferred Income Tax	800.3	851.5	833.6	708.4	683.4	116.9	17.1%
Derivative Financial Instruments	134.6	-	-	-	-	134.6	n/a
Other Assets	1,823.1	1,853.8	1,845.9	903.7	906.0	917.2	101.2%

Total Assets	10,469.6	10,492.0	9,973.5	8,679.2	8,600.3	1,869.3	21.7%

LIABILITIES

Commercial Paper	1,506.7	1,504.7	784.0	787.1	785.5	721.2	91.8%
Bank and Other Entities Loans	5,494.1	5,155.6	5,683.5	4,342.5	4,385.1	1,109.0	25.3%
Derivative Financial Instruments	-	396.1	315.5	232.4	166.6	(166.6)	(100.0%)
Other Accounts Payable	437.7	453.9	196.3	370.7	275.2	162.5	59.0%

Total Liabilities	7,438.5	7,510.3	6,979.3	5,732.6	5,612.4	1,826.0	32.5%

STOCKHOLDERS' EQUITY

Capital Stock	157.2	157.2	157.2	157.2	157.2	-	0.0%
Additional Paid-In Capital	1,579.2	1,579.2	1,577.4	1,550.8	1,549.2	30.0	1.9%
Capital Reserves	14.3	14.3	14.3	14.3	14.3	0.0	0.1%
Retained Earnings	1,125.4	1,163.6	1,205.2	837.3	941.9	183.4	19.5%
Net Income for the Year	165.7	147.0	90.0	451.7	398.3	(232.6)	(58.4%)
Financial Instruments - Derivatives	(21.4)	(88.7)	(59.2)	(64.7)	(73.0)	51.6	(70.7%)
Minority Interest	10.9	9.2	9.3	-	-	10.9	n/a

Total Stockholders' Equity	3,031.2	2,981.7	2,994.2	2,946.6	2,987.9	43.3	1.4%

Total Liabilities and Stockholders' Equity	10,469.6	10,492.0	9,973.5	8,679.2	8,600.3	1,869.3	21.7%

Finsol Mexico
Income Statement
For the Nine Months Periods Ended September 30, 2011 and 2010
(Millions of Mexican Pesos)
						3Q11 vs 3Q10
	3Q11	2Q11	1Q11	4Q10	3Q10	Absolute	%	9M11

Interest Income	171.6	173.8	178.4	163.1	134.3	37.3	27.8%	523.8
Interest Expense	16.3	17.3	29.7	31.9	26.0	(9.7)	(37.5%)	63.2

Financial Margin	155.4	156.5	148.8	131.3	108.3	47.1	43.5%	460.6

Provision for Loan Losses	33.1	34.5	40.1	34.3	20.1	13.0	64.9%	107.8

Financial Margin After Provision for Loan Losses	122.3	122.0	108.6	96.9	88.2	34.0	38.6%	352.9

Commissions and Fees Collected	0.0	0.0	(0.0)	0.0	0.0	(0.0)	(95.4%)	0.0
Commissions and Fees Paid	4.0	4.2	3.6	4.1	4.0	(0.0)	(0.7%)	11.8
Market Related Income	0.0	(0.0)	0.5	(0.4)	0.2	(0.2)	(90.2%)	0.5
Other income (expense) of the operation	0.5	-	-	-	-	0.5	n/a	0.5

Net Operating Revenue	118.8	117.8	105.6	92.4	84.4	34.4	40.8%	342.1

Non-Interest Expense	104.8	98.5	95.7	90.5	87.4	17.5	20.0%	299.1

Net Operating Income	13.9	19.2	9.9	1.9	(3.0)	16.9	(567.8%)	43.0

Other Income (expense) - Net	16.5	2.0	2.3	4.6	7.0	9.5	137.0%	20.8

Total Income Before Income Tax and Employees' Statutory Profit Sharing	30.4	21.3	12.2	6.6	4.0	26.5	663.8%	63.9

Income Tax and Employees' Statutory Profit Sharing
Current	4.5	-	-	10.8	-	4.5	n/a	4.5
Deferred	8.0	8.0	0.9	(5.3)	(14.3)	22.4	(156.1%)	17.0

Total Income Before Minority Interest	17.9	13.2	11.3	1.0	18.3	(0.5)	(2.5%)	42.4

Net Income	17.9	13.2	11.3	1.0	18.3	(0.5)	(2.5%)	42.4

Finsol Mexico
Balance Sheet
As of September 30, 2011 and 2010
(Millions of Mexican Pesos)
						3Q11 vs 3Q10
	3Q11	2Q11	1Q11	4Q10	3Q10	Absolute	%

ASSETS

Cash and Cash Equivalents	131.0	345.4	113.3	193.1	167.4	(36.4)	(21.7%)

Performing Loans	868.5	822.7	839.6	837.0	661.9	206.5	31.2%
Non-Performing Loans	43.6	41.3	37.3	23.0	13.4	30.2	224.3%

Total Loan Portfolio	912.1	864.0	876.9	860.0	675.4	236.7	35.0%

Allowances for Loan Losses	(60.4)	(67.5)	(69.3)	(52.3)	(30.7)	(29.7)	96.9%

Total Loan Portfolio - Net	851.6	796.5	807.6	807.8	644.7	206.9	32.1%

Assets, Accounts Receivable & Other Assets	254.3	285.0	642.2	884.6	781.7	(527.4)	(67.5%)

Total Assets	1,237.0	1,426.9	1,563.1	1,885.5	1,593.8	(356.8)	(22.4%)

LIABILITIES

Bank and Other Entities Loans	722.1	851.1	732.4	370.2	499.4	222.7	44.6%
Other Accounts Payable	196.8	275.6	543.0	1,238.9	819.0	(622.2)	(76.0%)

Total Liabilities	918.9	1,126.7	1,275.4	1,609.1	1,318.4	(399.5)	(30.3%)

Total Stockholders' Equity	318.0	300.2	287.7	276.4	275.4	42.6	15.5%

Total Liabilities and Stockholders' Equity	1,237.0	1,426.9	1,563.1	1,885.5	1,593.8	(356.8)	(22.4%)

Finsol Brasil
Income Statement
For the Nine Months Periods Ended September 30, 2011 and 2010
(Millions of Mexican Pesos)
						3Q11 vs 3Q10
	3Q11	2Q11	1Q11	4Q10	3Q10	Absolute	%	9M11

Interest Income	71.6	53.2	55.1	51.5	41.4	30.2	73.0%	179.9
Interest Expense	24.3	18.4	17.9	10.7	10.4	13.8	132.9%	60.5

Financial Margin	47.3	34.9	37.2	40.8	31.0	16.4	52.8%	119.4

Provision for Loan Losses	9.3	6.3	3.9	1.3	0.1	9.2	9967.8%	19.4

Financial Margin After Provision for Loan Losses	38.0	28.6	33.3	39.4	30.9	7.2	23.3%	100.0

Commissions and Fees Paid	1.0	0.8	0.8	0.8	0.7	0.3	37.0%	2.6
Market Related Income	(35.8)	1.2	(10.8)	0.9	6.9	(42.8)	(617.2%)	(45.5)

Net Operating Revenue	1.2	29.0	21.7	39.5	37.1	(35.8)	(96.7%)	51.9

Non-Interest Expense	45.0	40.7	37.1	33.1	31.8	13.2	41.6%	122.8

Net Operating Income	(43.8)	(11.7)	(15.4)	6.3	5.3	(49.1)	(931.3%)	(70.9)

Other Income (expense) - Net	0.1	0.1	0.3	0.4	0.9	(0.7)	(82.6%)	0.5

Total Income Before Income Tax and Employees' Statutory Profit Sharing	(43.6)	(11.7)	(15.1)	6.7	6.1	(49.8)	(812.3%)	(70.4)

Net Income	(43.6)	(11.7)	(15.1)	6.7	6.1	(49.8)	(812.3%)	(70.4)

Finsol Brasil
Balance Sheet
As of September 30, 2011 and 2010
(Millions of Mexican Pesos)
						3Q11 vs 3Q10
	3Q11	2Q11	1Q11	4Q10	3Q10	Absolute	%

ASSETS

Cash and Cash Equivalents	30.5	45.8	113.7	32.0	30.3	0.2	0.8%

Performing Loans	488.0	444.0	395.4	394.1	291.9	196.1	67.2%
Non-Performing Loans	20.3	13.2	7.7	5.6	6.3	14.0	222.1%

Total Loan Portfolio	508.3	457.2	403.1	399.7	298.2	210.0	70.4%

Allowances for Loan Losses	(20.3)	(13.2)	(7.7)	(5.6)	(6.3)	(14.0)	222.1%

Total Loan Portfolio - Net	488.0	444.0	395.4	394.1	291.9	196.1	67.2%

Assets, Accounts Receivable & Other Assets	36.2	17.1	16.3	11.2	11.3	24.9	220.2%

Total Assets	554.8	506.9	525.4	437.2	333.5	221.2	66.3%

LIABILITIES

Bank and Other Entities Loans	375.0	363.0	339.3	-	-	375.0	n/a
Other Accounts Payable	390.9	311.4	341.9	575.1	478.1	(87.2)	(18.2%)

Total Liabilities	765.9	674.4	681.2	575.1	478.1	287.8	60.2%

Total Stockholders' Equity	(211.2)	(167.5)	(155.9)	(137.9)	(144.6)	(66.6)	46.0%

Total Liabilities and Stockholders' Equity	554.8	506.9	525.4	437.2	333.5	221.2	66.3%

Finsol Brasil
Balance Sheet
As of September 30, 2011 and 2010
(Millions of Mexican Pesos)
						3Q11 vs 3Q10
	3Q11	2Q11	1Q11	4Q10	3Q10	Absolute	%

ASSETS

Cash and Cash Equivalents	30.5	45.8	113.7	32.0	30.3	0.2	0.8%

Performing Loans	488.0	444.0	395.4	394.1	291.9	196.1	67.2%
Non-Performing Loans	20.3	13.2	7.7	5.6	6.3	14.0	222.1%

Total Loan Portfolio	508.3	457.2	403.1	399.7	298.2	210.0	70.4%

Allowances for Loan Losses	(20.3)	(13.2)	(7.7)	(5.6)	(6.3)	(14.0)	222.1%

Total Loan Portfolio - Net	488.0	444.0	395.4	394.1	291.9	196.1	67.2%

Assets, Accounts Receivable & Other Assets	36.2	17.1	16.3	11.2	11.3	24.9	220.2%

Total Assets	554.8	506.9	525.4	437.2	333.5	221.2	66.3%

LIABILITIES

Bank and Other Entities Loans	375.0	363.0	339.3	-	-	375.0	n/a
Other Accounts Payable	390.9	311.4	341.9	575.1	478.1	(87.2)	(18.2%)

Total Liabilities	765.9	674.4	681.2	575.1	478.1	287.8	60.2%

Total Stockholders' Equity	(211.2)	(167.5)	(155.9)	(137.9)	(144.6)	(66.6)	46.0%

Total Liabilities and Stockholders' Equity	554.8	506.9	525.4	437.2	333.5	221.2	66.3%

Apoyo Economico Familiar
Income Statement
For the Nine Months Periods Ended September 30, 2011
(Millions of Mexican Pesos)
					3Q11 vs 2Q11
	3Q11	2Q11	From 3/15/11 to 3/31/11	From 1/1/11 to 3/14/11	Absolute	%	9M11

Interest Income	201.5	194.8	35.1	149.2	6.7	3.4%	580.6
Interest Expense	21.2	16.3	3.1	18.6	5.0	30.7%	59.1

Financial Margin	180.2	178.5	32.0	130.7	1.7	1.0%	521.4

Provision for Loan Losses	31.4	22.9	3.5	18.0	8.6	37.4%	75.8

Financial Margin After Provision for Loan Losses	148.8	155.6	28.6	112.6	(6.8)	(4.4%)	445.7

Commissions and Fees Collected	15.6	14.3	4.3	16.3	1.3	9.0%	50.4
Commissions and Fees Paid	0.6	0.5	0.1	0.3	0.2	33.0%	1.6
Market Related Income	0.0	(0.1)	(0.0)	(0.1)	0.1	(104.8%)	(0.2)
Other income (expense) of the operation	2.2	2.0	0.5	1.3	0.1	6.8%	6.1

Net Operating Revenue	165.9	171.4	33.2	129.9	(5.5)	(3.2%)	500.3

Non-Interest Expense	136.1	138.9	22.6	113.8	(2.8)	(2.0%)	411.5

Net Operating Income	29.8	32.5	10.5	16.0	(2.7)	(8.2%)	88.8

Other Income (expense) - Net	11.1	8.6	0.0	0.0	2.6	30.0%	19.7

Total Income Before Income Tax and Employees' Statutory Profit Sharing	41.0	41.1	10.5	16.0	(0.1)	(0.2%)	108.6

Income Tax and Employees' Statutory Profit Sharing
Current	15.7	14.9	5.3	4.5	0.8	5.4%	40.5
Deferred	(3.7)	(3.0)	(2.4)	0.2	(0.7)	24.6%	(8.8)

Total Income Before Minority Interest	28.9	29.1	7.6	11.3	(0.2)	(0.6%)	76.9

Net Income	28.9	29.1	7.6	11.3	(0.2)	(0.6%)	76.9

Apoyo Economico Familiar
Balance Sheet
As of September 30, 2011
(Millions of Mexican Pesos)
					3Q11 vs 2Q11
	3Q11	2Q11	1Q11	as of Mar.14, 2011	Absolute	%

ASSETS

Cash and Cash Equivalents	54.6	34.8	56.6	72.9	19.8	57.0%

Performing Loans	903.3	875.1	833.6	822.5	28.2	3.2%
Non-Performing Loans	12.1	9.9	8.7	8.5	2.2	22.4%

Total Loan Portfolio	915.4	885.0	842.3	831.0	30.4	3.4%

Allowances for Loan Losses	(38.1)	(34.6)	(34.6)	(34.6)	(3.5)	10.1%

Total Loan Portfolio - Net	877.3	850.4	807.7	796.4	26.9	3.2%

Assets, Accounts Receivable & Other Assets	163.4	176.4	187.3	189.0	(13.0)	(7.4%)

Total Assets	1,095.3	1,061.6	1,051.6	1,058.4	33.7	3.2%

LIABILITIES

Bank and Other Entities Loans	203.2	65.4	81.7	87.2	137.8	210.6%
Other Accounts Payable	610.6	743.6	747.2	755.9	(133.0)	(17.9%)

Total Liabilities	813.8	809.0	828.8	843.2	4.8	0.6%

Total Stockholders' Equity	281.5	252.6	222.8	215.2	28.9	11.5%

Total Liabilities and Stockholders' Equity	1,095.3	1,061.6	1,051.6	1,058.4	33.7	3.2%

FINANCIERA INDEPENDENCIA S.A.B. DE C.V., SOFOM, E.N.R.
Key Ratios & Operating Data
For the Three and Nine-Months Periods Ended September 30, 2011 and 2010
(Millions of Mexican Pesos)

	3Q11	2Q11	3Q10	QoQ %	YoY %	9M11	9M10	%
Key Ratios
Profitability & Efficiency
NIM after Provisions Excl. Fees (1)	29.3%	33.1%	31.2%	-3.8 pp	-1.9 pp	32.2%	34.7%	-2.5 pp
NIM after Provisions Incl. Fees (2)	41.1%	44.6%	41.1%	-3.5 pp	0 pp	43.8%	49.7%	-5.9 pp
Provisions / Financial Margin	42.4%	34.0%	31.1%	8.4 pp	11.3 pp	35.7%	31.7%	4.1 pp
ROAA (3)	0.8%	2.2%	5.2%	-1.4 pp	-4.4 pp	2.3%	7.3%	-5 pp
ROAE (4)	2.7%	7.6%	15.1%	-4.9 pp	-12.4 pp	7.5%	21.9%	-14.4 pp
Efficiency Ratio Incl. Provisions (5)	98.3%	91.1%	84.5%	7.2 pp	13.8 pp	91.3%	80.7%	10.6 pp
Efficiency Ratio Excl. Provisions (6)	64.5%	65.9%	62.9%	-1.4 pp	1.5 pp	64.8%	61.0%	3.8 pp
Operating Efficiency (7)	28.5%	28.6%	27.3%	-0.1 pp	1.2 pp	29.3%	33.4%	-4 pp
Fee Income (8)	22.7%	24.1%	26.6%	-1.4 pp	-3.9 pp	24.2%	23.8%	0.4 pp
Capitalization
Equity to Total Assets	29.0%	28.4%	34.7%	0.5 pp	-5.8 pp	29.0%	34.7%	-5.8 pp
Credit Quality Ratios
NPL Ratio (9)	10.0%	9.8%	10.5%	0.2 pp	-0.4 pp	10.0%	10.5%	-0.4 pp
Coverage Ratio (10)	72.7%	69.6%	68.0%	3.1 pp	4.8 pp	72.7%	68.0%	4.8 pp
Operating Data
Number of Clients	1,559,466	1,512,141	1,363,913	3.1%	14.3%	1,559,466	1,363,913	14.3%
- Formal Sector	716,071	703,180	732,578	1.8%	-2.3%	716,071	732,578	-2.3%
- Informal Sector	446,517	431,717	437,386	3.4%	2.1%	446,517	437,386	2.1%
- Finsol México	218,837	210,290	159,434	4.1%	37.3%	218,837	159,434	37.3%
- Finsol Brasil	53,776	46,871	34,515	14.7%	55.8%	53,776	34,515	55.8%
- Apoyo Economico Familiar	123,039	118,995	0	3.4%	n/a	123,039	0	n/a
- Apoyo Financiero Inc	1,226	1,088	0	12.7%	n/a	1,226	0	n/a
Number of Offices	491	478	370	2.7%	32.7%	491	370	32.7%
Total Labor Force	11,354	10,734	11,153	5.8%	1.8%	11,354	11,153	1.8%
(1) Net Interest Margin after Provisions (excluding Fees): Net Interest Margin after Provision for Loan Losses / Average Interest-Earning Assets
(2) Net Interest Margin after Provisions (including Fees): Net Interest Margin after Provision for Loan Losses + Fees Collected - Fees Paid / Average Interest-Earning Assets
(3) ROAA: Net Income / Average Total Assets
(4) ROAE: Net Income / Average Total Equity
(5) Efficiency Ratio: Non-Interest Expense / Net Operating Revenues
(6) Efficiency Ratio: Non-Interest Expense / Net Operating Revenues + Provision for Loan Losses
(7) Operating Efficiency: Non-interest Expense / Average Assets
(8) Commissions and Fees (Net) / Net Operating Revenue
(9) NPL Ratio: Non-Performing Loans / Total Loan Portfolio
(10) Coverage Ratio: Allowances for Loan Losses / Non-Performing Loans