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

Table of Contents
Overview Cash Flows
Historically, our cash and capital requirements have been satisfied through cash from operations and bank loans. We plan to continue to satisfy our cash and capital
expenditure requirements primarily through cash from our operations. If deemed necessary, we can access our revolving credit facilities totaling an aggregate principal amount of up to
Ps. 3,493.3 million. Net working capital (current assets minus current liabilities) as of December 31, 2011 was Ps. 4,273.8 million compared to (Ps. 2,971.7) million as of December 31, 2010.
Our inventories, net as of December 31, 2011, were Ps. 8,704.9 million or 2.1% higher than the Ps. 8,526.2 million on December 31, 2010. For the year ended December
31, 2011, our inventory days were 84.0 days, 5.0 days higher than the 79.0 days registered for the year ended December 31, 2010. As of December 31, 2010, our inventory days were 79.0
days, 9.3 days higher than the 69.7 days for the year ended December 31, 2009. Accounts Receivable for the year ended December 31, 2011 registered 51.0 days while accounts payable
were 84.3 days for the same period. Accounts Receivable for the year ended December 31, 2010 were 72.9 days while accounts payable were 85.7 days for the same period. Accounts
Receivable for the year ended December 31, 2009 were 63.2 days while accounts payable were 68.5 days for the same period.
Our cash flows are also subject to seasonal fluctuations and market conditions. To maintain a larger winter inventory and to ensure adequate inventory levels for the
two or more weeks of holidays in December, during which suppliers in Mexico and Chile do not make sales or deliveries, our accounts payable and inventories typically increase at yearend
for both our distribution and Mexican retail divisions. After reaching their highest levels in November/December our inventories gradually decrease to what we estimate is a normal
operational level of approximately 50 inventory days. The Retail Division also increases its inventory of both pharmaceutical and non-pharmaceutical products during the winter months
when the demand for these products is generally at its peak.
Accounts Receivable
As of December 31, 2011, our accounts receivable net decreased to Ps. 5,381.0 million, 22.2% lower than the Ps. 6,920.4 million as of December 31, 2010. This decline
was largely due to the fact that our retail division sales are primarily cash transactions. Accounts receivable days as of December 31, 2011 decreased 21.9 days to 51.0 days from 72.9
days in 2010. As of December 31, 2009, accounts receivable days were 63.2.
For a description of the nature and amounts of accounts receivable due from current and former related parties, see “Item 7. Major Shareholders and Related Party
Transactions—Related Party Transactions” and Note 11 to our audited consolidated financial statements.
Trade Accounts Payable
As of December 31, 2011, trade accounts payable decreased to Ps. 8,848.8 million or 4.7% lower compared to Ps. 9,288.8 million as of December 31, 2010. The decrease
was due to the incorporation of FASA. As a result, our trade accounts payable days decreased to 84.3 in 2011 compared to 85.7 days for the year ended December 31, 2010. As of
December 31, 2009, our trade accounts payable days were 68.5. Beginning in 2010, this calculation takes into account FASA’s total accounts payable balance with its suppliers;
therefore, the figures are not comparable with previous years.
For a description of the nature and amounts of trade accounts payable owed to current and former related parties, see “Item 7. Major Shareholders and Related Party
Transactions—Related Party Transactions” and Note 11 to our audited consolidated financial statements.
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