Grupo IMSA Announces Third Quarter 2001 Results; EBITDA Grows 8.4% vs. Second Quarter to US$89 million

    MONTERREY, Mexico--Oct. 23, 2001--Grupo IMSA, S.A. de C.V. , one of America's leading metal and plastics processors, today announced results for the third quarter of 2001.
    Unless otherwise stated, all figures are presented in millions of September 30, 2001, pesos (Ps), or in millions of nominal U.S. dollars(a) (US$).

                     2001 Third Quarter Highlights
                     -----------------------------

    --  Third quarter revenues in nominal dollar terms rose
        quarter-over-quarter by 6.0% to US$572, and in peso terms by
        4.0% to Ps 5,280.

    --  IMSA ACERO's sales volume for the third quarter grew 7.2%
        quarter-over-quarter.

    --  In the third quarter, ENERMEX's sales volume increased by
        13.4% quarter-over-quarter, reflecting the higher sales volume
        base resulting from the incorporation of new clients.

    --  For the third consecutive quarter, Grupo IMSA achieved an
        increase in its operating margin, which rose from 10.5% in the
        second quarter to 10.8% in the third quarter of 2001.

    --  EBITDA increased year-over-year by 9.0% and
        quarter-over-quarter by 8.4% in nominal dollar terms to US$89.
        In peso terms, EBITDA grew quarter-over-quarter by 4.5%.

    --  Interest coverage, defined as EBITDA divided by net interest
        expense, reached 6.6 times in the third quarter of 2001 and
        5.0 in the first nine months of 2001.

    --  In September, Grupo IMSA acquired the assets of VP Buildings,
        Inc. (VPB) from The LTV Corporation. Starting in October of
        this year, the Company will consolidate VPB's results into its
        IMSATEC business segment.

    --  The Company's debt only increased by US$61 during the quarter,
        despite the investment of US$102 made to acquire the assets of
        VPB. Approximately 40% of the investment was made through cash
        flow the Company generated during the third quarter.

    For a full version of Grupo IMSA's third quarter of 2001 earnings release please visit our web site at www.grupoimsa.com.
    A conference call with Marcelo Canales Clariond, Chief Financial Officer of Grupo IMSA, will be held on Wednesday, October 24, 2001 at 11:30 a.m. U.S. ET. To participate in the conference, please dial 719/457-2642 ten minutes prior to the call. Confirmation Code: 591837

------------------------------ (a) Nominal dollars result from the translation of nominal pesos using the average exchange rate of each month.