Notes to consolidated financial statements
For the years ended December 31, 2011 and 2010 (as adjusted)
(In thousands of Mexican pesos ($) and thousands of U.S. dollars (US$))

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7. Property, machinery and equipment

Given the diversity of the business activities in which the Company is engaged, the estimated useful lives of the assets vary significantly; and it is therefore impractical to disclose them here.

The Company is constantly evaluating its idle assets in order to determine their possible short-term use or take the necessary measures for their realization. At December 31, 2011, the Company has no assets outside temporary use.

At December 31, 2011, the Company made a reversal of previously recorded a loss of $2,000 due to improved recovery value trends.

Reconciliation of beginning and ending book balances in 2011 and 2010 (adjusted) is as follows:

		Balances as of December 31, 2010 (as adjusted)		Additions		Retirements / disposals		Transfers		Impairment effect		Translation effect		Balances as of December 31, 2011
Investment:
Buildings and leasehold improvements	$	11,316,474	$	885,091	$	(226,780)	$	(76,632)	$	-	$	35,278	$	11,933,431
Machinery and equipment		13,253,968		334,396		(263,965)		696,282		-		102,197		14,122,878
Vehicles		982,229		65,681		(67,037)		6,746		-		3,718		991,337
Furniture and equipment		2,921,234		333,920		(50,364)		(34,207)		-		2,069		3,172,652
Computers		1,386,313		156,268		(37,793		(30,416)		-		12,041		1,486,413
Total investment		29,860,218		1,775,356		(645,939)		561,773		-		155,303		31,706,711
Depreciation:
Buildings and leasehold improvements		(4,533,927)		(319,156)		26,083		108,394		-		(26,794)		(4,745,400)
Machinery and equipment		(8,997,137)		(470,229)		214,208		(69,214)		2,000		(89,593)		(9,409,965)
Vehicles		(595,588)		(86,345)		51,646		27,369		-		(2,843)		(605,761)
Furniture and equipment		(1,866,187)		(146,433)		20,290		22,979		-		(2,075)		(1,971,646)
Computers		(1,145,646)		(113,643)		7,413		66,832		-		(7,538)		(1,192,582)
Total accumulated depreciation		(17,138,485)		(1,135,806)		319,640		156,360		2,000		(128,843)		(17,925,134)
		12,721,733		639,550		(326,299)		718,133		2,000		26,460		13,781,577
Land		3,028,770		40,122		(322,569)		(466)		-		16,317		2,762,174
Construction in progress		1,634,506		886,763		(579,586)		(885,129)		-		673		1,057,227
Net investment	$	17,385,009	$	1,566,435	$	(1,228,454)	$	(167,462)	$	2,000	$	43,450	$	17,600,978
		Balances as of January 31, 2010 (as adjusted)		Additions		Retirements / disposals		Transfers		Impairment effect		Translation effect		Balances as of December 31, 2010 (as adjusted)
Investment:
Buildings and leasehold improvements	$	11,492,977	$	503,020	$	(798,261)	$	167,019	$	-	$	(48,281)	$	11,316,474
Machinery and equipment		10,679,884		2,666,519		(455,902)		418,798		-		(55,331)		13,253,968
Vehicles		897,116		89,136		(129,320)		119,755		-		5,542		982,229
Furniture and equipment		2,781,729		229,303		(125,476)		53,322		-		(17,644)		2,921,234
Computers		1,468,529		54,840		(170,939)		45,967		-		(12,084)		1,386,313
Total investment		27,320,235		3,542,818		(1,679,898)		804,861		-		(127,798)		29,860,218
Depreciation:
Buildings and leasehold improvements		(4,458,358)		(389,933)		401,755		(100,313)		-		12,923		(4,533,926)
Machinery and equipment		(8,889,861)		(597,768)		160,177		389,403		(82,498)		23,411		(8,997,136)
Vehicles		(625,975)		(70,904)		71,742		33,802		-		(4,253)		(595,588)
Furniture and equipment		(1,773,407)		(152,875)		63,840		(12,902)		-		9,156		(1,866,188)
Computers		(1,145,195)		(104,878)		138,846		(35,862)		-		1,442		(1,145,647)
Total accumulated depreciation		(16,892,796)		(1,316,358)		836,360		274,128		(82,498)		42,679		(17,138,485)
		10,427,439		2,226,460		(843,538)		1,078,989		(82,498)		(85,119)		12,721,733
Land		3,321,852		20,216		(246,854)		(65,931)		-		(513)		3,028,770
Construction in progress		1,690,744		357,229		(20,078)		(397,589)		-		4,200		1,634,506
Net investment	$	15,440,035	$	2,603,905	$	(1,110,470)	$	615,469	$	(82,498)	$	(81,432)	$	17,385,009