FORM 20-F Grupo Casa Saba, S.A.B. de C.V.

Table of Contents
On December 7, 2010, the Technical Ministry of the Commission of Free Competition notified Farmacias Peruanas, S.A. of the beginning of a proceeding for presumed monopolistic
practices. Such proceedings are a normal occurrence in the industry in which the Company operates. The presumed violation amounted to USD $1,290,785, should the setting of prices
be evidenced. The preliminary report of the external advisors engaged by FASA indicates that it is not very likely that there will be a negative effect on the Company’s consolidated
financial statements.
i) Farmacias Peruanas, S.A. filed a lawsuit against a liquidation issued by the Peruvian tax authority (SUNAT) for a presumed difference in criterion for determining the tax base of
2001 and 2003 for $7,170,000 and $1,827,000 Peruvian Soles, respectively (Ps. 31,600 and Ps. 8,052, respectively). In November 2010, the Company disputed the rejection notified by the
SUNAT. Management estimates that it is not very likely that there will be a negative effect on the Company’s consolidated financial statements.
At December 31, 2011, and 2010, Management maintains a provision in the amount of Ps. 3,534 which, based on the opinion of its legal advisors, it considers that it is sufficient to cover
a possible liquidation. However, Management has reasonable arguments to obtain a ruling handed down in its favor. At the date of the auditors’ report, the SUNAT had not handed
down the final ruling.
j) As part of the agreements related to the purchase of the stock of Drogasmil (now CSB Drogarias), the Company maintains a contingent liability that will be paid if certain events
occur in the future. The liability recorded amounts to R$9,585 thousand, which is included in the caption “other long-term liabilities” in the consolidated balance sheet.
k) The subsidiary Drogarias maintains a provision to cover possible labor and tax suits, classified as a likely loss risk, taking into account the opinion of its legal advisors. At
December 31, 2011 and 2010, the liability recorded this item amounted to R$2,980 and R$1,619, respectively (Ps. 22,052 and Ps. 12,013), which is included in the caption “other long-term
payables”.
l) Drogarias may be subject to certain contingencies that may result in present obligations. The solution of these matters still is in a preliminary stage and a conclusion might
span various years. Drogarias has considered that it has incurred a probable liability. Management considers this probable liability in the estimated amount of R$10,000 (Ps.78,000,
approximately). However, it cannot carry out an accurate estimate thereof, since there are no reasonable elements to be quantified. This contingency relates to different forms of
remuneration to its management that do not conform to labor legislation in Brazil. Notwithstanding the foregoing, from fiscal 2010 Drogarias has maintained a provision for those
contingencies in the equivalent amount of R$1,822 (Ps. 13,512, approximately) which is included in the caption “other payables and accrued long-term liabilities” in the consolidated
balance sheet.
m) The Company and its subsidiaries have entered into various service contracts among them, related to the purchase, storage, and transportation of products, as well as
administrative, legal, financing, and electronic data processing services.
In accordance with the Mexican Income Tax Law, companies that carry out related party transactions are subject to tax obligations, with respect to the determination of prices agreed
upon. Such prices should be comparable to prices that would be used with or among independent parties at arm’s length transactions. Management believes that all related party
transactions were agreed upon at arm’s length basis and, therefore, there is no contingency in its charge.
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