Press Release Source: Coca-Cola FEMSA, S.A. de C.V. Friday March 28, 7:56 am ET

MEXICO CITY & MIAMI--(BUSINESS WIRE)--March 28, 2003--Coca-Cola FEMSA, S.A. de C.V. ("Coca-Cola FEMSA") (NYSE:KOF - News) and Panamerican Beverages Inc. ("Panamco") announced today that the Comision Federal de Competencia, the Mexican Antitrust Commission, has approved without any restrictive conditions the acquisition by Coca-Cola FEMSA of Panamco. Additionally, the Brazilian Ministry of Justice issued a favorable legal opinion in support of the acquisition to the Brazilian Antitrust Commission, which will make its final decision on the acquisition within the next 60 days. Coca-Cola FEMSA and Panamco, however, may consummate the transaction before the Brazilian Antitrust Comission renders a final decision. As previously announced, on February 4, 2003 the Company received notice that the waiting period under the U.S. Hart-Scott-Rodino Antitrust Improvements Act with respect to the proposed acquisition by Coca-Cola FEMSA of Panamco had been terminated early. As a result of the receipt of these approvals, all conditions precedent to the completion of the acquisition relating to the receipt of antitrust approvals of governmental agencies have been satisfied.

ADVERTISEMENT The closing of the proposed acquisition remains subject to the satisfaction or waiver of other conditions. These conditions are described in the preliminary proxy statements filed by Panamco with the U.S. Securities and Exchange Commission (the "SEC") on January 30, 2003 and March 18, 2003.

About Coca-Cola FEMSA

Coca-Cola FEMSA produces Coca-Cola, Sprite, Fanta, Lift and other trademark beverages of The Coca-Cola Company in the Valley of Mexico, the Southeast Territories in Mexico and the Buenos Aires Territory in Argentina. The Company has eight bottling facilities in Mexico and one in Buenos Aires and serves more than 283,650 retailers in Mexico and 76,400 retailers in the greater Buenos Aires area. Coca-Cola FEMSA currently accounts for approximately 3.4% of Coca-Cola global sales, 25.0% of all Coca-Cola sales in Mexico and approximately 36.5% of all Coca-Cola sales in Argentina. The Coca-Cola Company owns a 30% equity interest in Coca-Cola FEMSA.

About Panamco

Panamco is the largest soft drink bottler in Latin America and one of the three largest bottlers of Coca-Cola products in the world. The Company produces and distributes substantially all Coca-Cola soft drink products in its franchise territories in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela and Brazil, along with bottled water, beer and other beverages in some of these territories. Panamco is an anchor bottler of The Coca-Cola Company.

FORWARD-LOOKING STATEMENTS

This press release contains certain "forward-looking statements" within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended. These forward-looking statements relate to Coca-Cola FEMSA, Panamco, their respective businesses, the proposed combined company and the transaction are based on Coca-Cola FEMSA's and Panamco's managements current expectations. Readers are cautioned not to put undue reliance on such forward-looking statements, which are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside Coca-Cola FEMSA's and Panamco's control.

ADDITIONAL INFORMATION AND WHERE TO FIND IT

Panamco filed with the SEC a preliminary proxy statement on January 30, 2003 and an amended preliminary proxy statement on March 18, 2003, regarding the proposed business combination transaction referred to in the foregoing information. In addition, Panamco will prepare and file with the SEC a definitive proxy statement and other documents regarding the proposed transaction. Investors and security holders are urged to read the definitive proxy statement, when it becomes available, because it will contain important information. The definitive proxy statement will be sent to shareholders of Panamco seeking their approval of the proposed transaction. Investors and security holders may obtain a free copy of the definitive proxy statement (when it is available) and other documents filed with the SEC by Panamco on the SEC's website at www.sec.gov. The definitive proxy statement (when it is available) and these other documents may also be obtained for free from Panamco by directing a request to Laura I. Maydon (lmaydon@panamcollc.com). Free copies of documents filed with the SEC by Coca-Cola FEMSA may be obtained at the SEC's website at www.sec.gov or by directing a request to Alfredo Fernandez (afernandeze@kof.com.mx).

CERTAIN INFORMATION CONCERNING PARTICIPANTS

A detailed list of names, affiliations and interests of participants in the solicitation of proxies of Panamco to approve the proposed business combination is included in the preliminary proxy statement.

CONTACTS

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Coca-Cola FEMSA Investor Relations Guillermo Gonzalez Camarena No. 600, Col. Centro de Ciudad Santa Fe 01210, Mexico D.F., Mexico Alfredo Fernandez / (52) 55 5081 51 20 / afernandeze@kof.com.mx Julieta Naranjo / (52) 55 5081 51 48 / jnaranjo@kof.com.mx

Panamco Investor Relations 701 Waterford Way, Suite 800, Miami, FL 33126 Laura Maydon / 305 929 0867 / lmaydon@panamcollc.com

Contact:

 Coca-Cola FEMSA
 Investor Relations:
 Alfredo Fernandez, (52) 55 5081 51 20
 afernandeze@kof.com.mx
 or
 Julieta Naranjo, (52) 55 5081 51 48
 jnaranjo@kof.com.mx
 or
 Panamco
 Investor Relations:
 Laura Maydon, 305/929-0867
 lmaydon@panamcollc.com

<a href=icliverpool.icnetwork.co.uk>Liverpool Echo Mar 28 2003 by Hugo Duncan

MURDERED couple Tony and Linda O'Malley were asphyxiated, a post mortem in Spain revealed today.

It was thought the couple had been shot by gangsters who lured them to a house they were hoping to buy.

The post mortem showed that Linda had been beaten and strangled, while Tony had a plastic bag over his head and had suffocated.

Today the men accused of torturing and killing them were in a Valencia prison cell after being questioned late into the night by a judge at the Palace of Justice.

The Venezuelans, known only as Jorge RS, 53, and Jose Antonio UG, 38, now face two more sessions of questioning by investigating judges in Benidorm where the O'Malleys were based and Alcoy where the bodies were found.

It is expected that the Alcoy judge will take over the investigation.

Mr O'Malley, 42 originally from Widnes and his 55-year-old Liverpool born wife disappeared in September while house hunting on the Costa Blanca.

The two men are alleged to have lured the couple to a home in Alcoy in the mountains above Benidorm, where they held them in a cellar for two weeks before killing them.

The men and each of their wives, all thought to be from Venezuela, were arrested on Tuesday as Spanish police discovered the bodies of 42 year old Tony and his 55 year old wife Linda.

They were buried in a cellar at the house they had hoped to buy.

The suspects were arrested at a flat in El Suler 30 minutes from Valencia.

Documents linking them to the O'Malleys, including passports and a car registration plate, along with a gun thought to be the murder weapon were in the hands of the Valencian judge last night.

Neighbours of the suspects were still coming to terms with the horrifying tale today.

Filipe Guardiola and Ana Gomez live in number 13 on the fourth floor of the Az Bola De Puchol, three floors below number 25 where the suspects were arrested.

Filipe, 22, said he thought the wives, who were bailed by police in Valencia, had returned to the flat. Yesterday the flat was deserted.

Filipe said: "We heard the men were renting buildings and then putting them up for sale. When people came to look at the house they checked out if they had any money.

"We heard they took this couple hostage and walked them to the bank, took their money, and then killed them and buried them in the cellar.

"We were very surprised when the police turned up. I have met one of the women and she seemed very nice, very normal.

"Everyone here is talking about it."

The majority of the flats are owned by Spaniards, but yesterday the 14 storey block was almost deserted as few are used outside the summer months.

The block, one of five in the immediate area, is a few hundred yards from the sea and has a private swimming pool.

Filipe said: "I met one of the men once. He seemed OK.

"I think he was in telecommunications - he had a lot of computers."

<a href=www.vheadline.com>Venezuela's Electronic News Posted: Friday, March 28, 2003 By: Oscar Heck

VHeadline.com commentarist Oscar Heck writes: After having spent 88 days traveling throughout about half of Venezuela between mid-December 2002 and mid-March 2003, I must give my opinion about Gustavo Coronel’s recent article: “The Venezuelan Referendum: urgent and indispensable.”

Gustavo Coronel, as many pro-opposition and anti-Chavez people, are and have been living in a dream world … a dream world where they, the “haves,” have over many years either exploited or conveniently neglected the “have-nots.” They are just now waking up now from a 40-year dream to face reality.

In their dream, it did not matter if they abused others or if they used the expression “That’s the way it is done here in Venezuela.” In that dream, it was ok to pay the minimum wage (and blame the government for the fact that the wage is too low ú but of course, they will not pay more!). In that dream it is a well-known fact that they were considered “wise” when finding creative ways to steal, and that the “wise” poor person was considered a “thief.”

(El que es mas vivo, vive major! ú The one who is the most resourceful lives better.)

(El rico que roba es vivo y el pobre es un ladron. When a rich person steals he is considered resourceful but when a poor person steals, he is considered a thief.)

There is much more to this dream ... but I will stop here.

The reality that most of the opposition people (the 20%), are awakening to, must seem like a nightmare to them, as it appears to Gustavo Coronel. They have been in a comfortable coma. They fell asleep 40 years ago, along with the laws and customs of the time. Suddenly, Gustavo Coronel and party find themselves in a new world where the 80% no longer accept being called “monos” (monkeys) or “negros” (black). Welcome to reality!

Gustavo, you have often expressed that the non-black Venezuelans use the description “monos” in an affectionate ways, and that the “monos” do not take offence. Not true, Gustavo Coronel. The “monos” were in no position to argue or express their views, much less their feelings! And you know that!

This leads to one of the comments that you make in the above-mentioned article:

“Ideological conflict has not been good for our country ... it has done little more than hardening the resolve of the adversaries and putting hate in many hearts. The house is divided and the house is falling.”

Guess what? Your house is falling. The house has always been divided … but you could not see it because you were living in a dream.

You also state, “The state of the Venezuelan nation is chaotic. Unemployment is nearing 30%, while under-employment (street vendors and occasional workers) is about 50%. Only 20% of the working population are receiving some sort of regular income, largely minimum wage ($130 per month at the current official rate of exchange and about $100 on the black market).”

Who created the increase in unemployment? Chavez? No way. It was the opposition, and you and all your opposition supporters know it. The problem is that you are too proud to admit that you guys really messed up … royally!

“Food price controls have been established, often below production costs, already producing severe shortages, as no one can be obliged to sell below cost.”

Sorry, what you state here cannot be true (except perhaps in very rare cases). If you believe your statement then you either don’t know how to count very well (but I suspect you do), or you are simply quoting lies that others have been propagating! How can a small can of sardines (say about 400 grams) be sold at Bs.1000 ($0.63) when the processor pays the fishermen less than $0.04 per kilo (1000 grams)?  This means that the amount of sardine contained in the can is in the vicinity of $0.01.

This happens because this is the typical way in which most wealthy Venezuelans have always operated. (The Venezuelan way?) You cannot state that the food price controls are often below cost! They are often below “standard profit levels.” All one has to do is to include increased “executive salaries” within the expenses, thus “assuring” loss of profit!

You should know that, so why do you support such illogical and false comments?

You state, “The oil industry is severely crippled.” Don’t you mean that the oil industry “was” severely crippled by the opposition’s sabotage?  When I left Venezuela in mid-March, 2003, the gasoline situation was completely normal.

You state, “Venezuela is essentially paralyzed.”  This is an exaggeration. During the 88 days of travel, I could confirm that most of the country was operating almost as normal, except for gasoline, cooking gas, beer, harina PAN flour and soda shortages. The place that was most severely affected was the eastern part of Caracas, that is, Altamira, Chuao, Chacao, Las Mercedes, etc. Of course, this was also the area where the opposition supporters “hung out,” blocked streets and where crews filmed for international propaganda purposes.

You state: “How to install an education revolution (yes, here the word applies) to create skilled workers in two year programs and, at the same time, create good citizens, instead of a parasitic population.”

Your comment here is typical of the “elite” and of most of the opposition supporters. They, as you, have a misconception etched into the inside of your skulls … as if it were an inborn natural trademark. What is the misconception? It is, that all (or most) poor Venezuelans are poor because they want to be poor. I think I will write a book about this. You know as well as I, and as well as the opposition, that there are few “real” jobs for what you call “los negritos” or “los monitos”. You know that most servants are “negritas and monitas.” You “allow” the government to dictate to you what the minimum wage should be, and pay them thus … never bothering to question yourselves, “How can they survive on this wage?”

Actually, you and the opposition probably just don’t care!

Are you suggesting that technical schools should flourish so that you can hire technically trained “negritos and monitas” at a minimum wage dictated by a government?

That would be really convenient, Gustavo, and you know as well as I, that most, if not all the opposition people, would go for that! Another guise to bury the shameless action?

You state, “Venezuela, I have said before, is a country of bulky and numerous laws...”

This is a complete lie. Numerous laws compared to what? Have you ever seen the size of Canadian or USA civil and criminal laws and penal codes? Volumes and volumes worth compared to the few small booklets that Venezuela had before Chavez (now there are a few more booklets, at the disadvantage of the pro-opposition elite!).

Then you state, “But the law is something that is born from within your heart and depends on your level of civilization. The more civilized we can build our society the less laws we will need.”

Yeah sure! From what I can see, the opposition in completely uncivilized (blocking streets, sabotaging, treason, sedition, etc.) and thus Venezuela requires a greater amount of laws and penal codes. In addition, if Venezuela were to depend on what comes from the “hearts” of opposition people, Venezuela would be in complete ruin … as witnessed by us all after the opposition’s failed attempt to paralyze Venezuela (December 2, 2002 to the end of February, 2003). “Civilized”? Sure. That is what the opposition calls itself, “civilized.”

You state, “We have to go to the polls to conserve our racial and religious harmony.”

I see where you are coming from, as most opposition people. You probably want to conserve the capacity for the 20% to continue their bad habits. “Racial harmony.” What is that? Is racial harmony the ability to continue calling fellow Venezuelan have-nots, “negritos and monitas” and expecting them to smile when you make such remarks? (Oh, and not to forget that “los monitos” live in the “serros”, but people who are not “monitos” live in “las Colinas”. Ever noticed that?).

NOTE: “Los serros” means “the hills”, and is a derogatory way to categorize “where you come from”. “Los serros” often refers to the slum areas, which are found of these “hills”. If you come from “Las Colinas” ú which means “the slopes” ú then you are not from the poor classes, and you are considered more “worthy” and “educated.”

You state, “Honest Venezuelans from all political sides will have to accept that voting is urgently required.“

Is August too far away? The opposition, with their criminal tactics (and you support them Gustavo) had promised “all Venezuelans” that Chavez would be out by December 2002. Where is Chavez now? It is the opposition that is in a hurry … and by inference, you are portraying them as “honest”. May I suppose then, that you would consider acts of sabotage and sedition as “honest”? What if elections were held and Chavez wins again (which I believe he will), will the opposition continue with what they call “civilized and democratic” action to oust Chavez? In an “honest” way?

You state, “All those who love our country should support the Referendum and work to make it happen as soon as possible...”

Hasn’t the opposition learned anything? You consider yourselves so “civilized” and “educated.” Why not act thus? Why do you people continue the path of sedition? Out of desperation I suspect?

As I have mentioned before, I am against the opposition because of the without-conscience actions that they have been sponsoring and participating in over the last many months. I say without-conscience because their actions have negatively affected the poorer Venezuelans, that is, the vast majority … and this, without ever a word of compassion or mercy from the opposition. Instead, the opposition rhetoric was (and still is, but less now) inundated with calls for sedition, treason, sabotage and vandalism.

I also believe that the opposition is planning something for April 8, 2003. I do not know what it is, but there appears to be a violent group of people getting organized to act out some of their fantasies for that date.

There is a message circulating on the net calling for an “attack” on Miraflores (the Presidential Palace), saying, “… HOMBRES DISPUESTOS AL FRENTE … DE TI DEPENDE … ES AHORA O NUNCA …"

Translated: “… men ready to fight … it will depend on you … it is now or never…”

Oscar Heck oscar@vheadline.com

<a href=www.canada.com>Freelance PETER HADEKEL Friday, March 28, 2003

The war's outlook is as clouded as the sand storms blowing through the Iraqi desert. And so is the outlook for oil and gasoline prices.

Early optimism about a rapid and successful outcome in Iraq sent oil prices plunging by 30 per cent last week, sparking a huge rally in the stock market.

But as traders and investors remained glued to their TV screens this week, crude-oil futures began to rise with the realization that the war won't end quickly.

First, the good news.

"There is more oil in the market than it can absorb," OPEC president Abdullah al-Attiyah declared yesterday. "This is obvious from the fact that prices have dropped."

Production in other Middle Eastern countries has not been disrupted and is running smoothly.

Crude-oil futures in the U.S., which traded yesterday at around $30 a barrel, are much cheaper than they were last month, when they hit $40. Fears of gasoline prices hitting $2.50 a gallon in the U.S. have receded.

So have fears that retreating Iraqi troops would torch the country's oil fields, as they did during the 1991 Gulf War.

Most of the wells in southern Iraq, the centre of the country's industry, have been secured by coalition troops, and oil-well recovery teams are poised to fly into Iraq to restore as much production as they can.

Now, the bad news.

A British military official said Iraq's Rumaila oil field, the country's largest, is in bad shape and will require investment of at least $1 billion to restore its production of 1.8 billion barrels a day.

By some estimates, it will take at least three months for oil exports to resume from southern Iraq.

This will not help to ease fears of looming crude shortages elsewhere.

While oil production in strike-torn Venezuela has stabilized, there are new concerns about instability in Nigeria, the fifth-largest oil exporter to the U.S. market.

Royal Dutch Shell, Chevron Texaco and Total Fina Elf are among oil companies that have shut down operations in Nigeria because of clashes between soldiers and ethnic militants.

The violence has halted production of 800,000 barrels a day - almost 40 per cent of Nigeria's oil production.

For the U.S. domestic economy, this complicates an already tight supply situation. The Department of Energy this week reported a larger-than-expected decline in gasoline inventories, raising fears about supply shortages during the summer driving season. The DOE said inventories are about seven per cent below where they would normally be at this time of year.

U.S. pump prices are about 30 cents a gallon higher than they were a year ago, according to the American Automobile Association.

"Current inventory levels are below the tight levels of 2000, and well below the surpluses that existed during the 1991 Gulf War," said Steven Pfeifer, Merrill Lynch's senior Integrated Oils Analyst. Inventories need to start climbing now in order to avoid a summer spike in gasoline prices.

Many parts of the country suffered the coldest winter in years, putting further pressure on refiners.

The importance of oil and gasoline prices to the U.S. economic recovery can't be overstated. Soaring prices over the last few months have acted like a big tax increase on U.S. consumers and businesses.

But while the consensus among economists is that a short war will send oil prices back to the $25 range, the risks of prolonged conflict remain.

phadekel@videotron.ca

IRNA Vienna, March 28, IRNA -- The price of the OPEC Basket of seven
crudes stood at 26.66 dollars a barrel on Thursday, compared with
25.54 dollars the previous day, according to OPEC Secretariat
calculations here, Friday.
Fri 14 February 32.33
Mon 17 February 31.90
Tue 18 February 31.85
Wed 19 February 31.95
Thu 20 February 31.48
Fri 21 February 31.84
Mon 24 February 32.44
Tue 25 February 32.73
Wed 26 February 32.49
Thu 27 February 32.48
Fri 28 February 32.63
Mon 03 March 31.63
Tue 04 March 32.12
Wed 05 March 32.29
Thu 06 March 32.50
Fri 07 March 33.79
Mon 10 March 33.11
Tue 11 March 32.54
Wed 12 March 32.74
Thu 13 March 32.42
ri 14 March 30.98
Mon 17 March 29.80
Tue 18 March 27.69
Wed 19 March 27.12
Thu 20 March 26.51
Fri 21 March 24.81
Mon 24 March 25.70
Tue 25 March 26.84
Wed 26 March 25.54
For the first quarter of 2002, the basket price averaged Dlrs
19.83 a barrel as opposed to Dlrs 18.38 in the 4th quarter of 2001.
For 2001 as a whole, the price of the basket averaged Dlrs
23.12 a barrel, compared with Dlrs 27.60 in 2000, Dlrs 17.47 in 1999
and Dlrs 12.28 in 1998.
The OPEC basket comprises Algeria's Saharan Blend, Indonesia's
Minas, Nigeria's Bonny Light, Saudi Arabian Light, Dubai of the United Arab Emirates, Venezuela's Tia Juana and Mexico's Istmus Crude.
MN/AR