Economic overview of Mexico and Canada - February 27, 2007

Mexico: GDP: + 4.3% in Q4 2006, + 4.8% for the year. Government expects + 3.6% for 2007. Industrial Production: + 1.6% in December 2006, the lowest level in eight months. Automobile output dropped 4.8% in December because of fewer exports to the US. Vehicle Production: 140,822 units in January or 13.7% less than January 2006 Consumer Prices: + 3.98% in January (3.9% a year ago) Unemployment: 4.0% in January Trade Balance: - $5.8 billion in December 2006 Currency: Peso 11.0 to US$1 as of February 21 (Peso 10.50 to US$1 a year ago) Steel Production: 1.4 million mt in January (unchanged from December and January 2006) Canada: GDP: an anemic 0.2% in November 2006 or 1.6% for the previous 12 months. Industrial Production: - 2.2% in November 2006 Vehicle Production: 210,565 units in January or 2.2% less than January 2006 Consumer Prices: + 1.2% in January (2.8% a year ago) Unemployment: 6.2% in January Trade Balance: + 47.2 billion in December 2006 Currency: C$1.16 to US$1 as of February 21 (C$1.15 to US$1 a year ago) Steel Production: 1.05 million mt in January (1.14 million mt in December, 1.29 million mt in January 2006)