June 2011

Lozano denies favoritism in Mexicana takeover

Milenio - Labor Secretary Javier Lozano said that the government does not have a preference regarding which of the groups vying to acquire bankrupt Mexicana Airlines, adding financial support will be the determining factor.


Interjet calls off IPO due to uncertain markets

Reuters - Mexico's second-largest carrier, low-cost airline Interjet, has called off its planned listing on the Bolsa Mexicana de Valores on Thursday due to the "complicated situation" on financial markets.


Mexico halts 3-month gold reserve expansion

Bloomberg - Mexico reduced its gold reserves by 0.18 metric ton in May after boosting holdings the previous three months, according to International Monetary Fund data. Mexico’s reserves declined to 105.95 tons last month.


Opponents say PRI is back to old, autocratic ways

Los Angeles Times - State elections this weekend in Mexico are shaping up as a revealing test of whether the once-dominant Institutional Revolutionary Party, on a steady march to retake the presidential palace, has changed its old autocratic ways.


Nafta surface trade rises 12.1% in April

Truckinginfo - Trade using surface transportation between the United States and its North American Free Trade Agreement partners Canada and Mexico was 12.1 percent higher in April 2011 than in April 2010, reaching $73.8 billion.


Valeant buys rights for two skin medications

The Canadian Press - Valeant Pharmaceuticals International Inc. said Thursday it will pay $76 million plus additional royalties to acquire the marketing rights to skin medications Elidel and Xerese for the U.S., Canada and Mexico markets.


As poppy fields flourish in Mexico, use surges in U.S.

McClatchy Newspapers - Mexico's heroin industry has had a bullish few years, and for traffickers the outlook is as uplifting as the scarlet, orange and yellow poppy flowers from which the narcotic is processed.


Investors shun Mexican firms' corporate debt bonds as growth decelerates to slowest pace in 13 months


Mexican corporate bonds are slumping the most in 13 months as slowing growth in Latin America's second-largest economy prompts investors to shun debt sold by companies from Cemex to Grupo Famsa.

Corporate dollar debt fell 1.26 percent in June, the biggest monthly loss since May 2010, according to JPMorgan Chase & Co. Bonds sold by Brazilian companies were little changed in June, while Russian corporate notes slid 0.59 percent.

Mexico's economy grew 2.4 percent in April, the slowest pace since December 2009, amid faltering export demand from the U.S., the Latin American nation's biggest trade partner.

Average corporate borrowing costs jumped 25 basis points, or 0.25 percentage point, in June to 6.40 percent, according to JPMorgan. Rising yields led Cemex, the largest cement maker in the Americas, to scrap a $650 million bond sale on June 23.

"Mexico continues to be directly affected by the U.S. economy, and you aren't seeing a solid recovery in the U.S. economy yet," Alvaro Gonzalez, an emerging-market credit analyst at Miller Tabak Roberts Securities Llc in New York, said in a telephone interview. "This is obviously impacting some industries in Mexico."

The average yield on Mexican government dollar bonds fell three basis points in June to 4.73 percent, according to JPMorgan.


Archeologists discover hundreds of Mayan burials in Tabasco

International Business Times
In a recent archeological excavation in the state of Tabasco, some 116 Mayan burials were discovered, 66 of which were deposited in funeral ballot boxes while the rest were scattered around the urns.

Archeologists at the National Institute of Anthropology and History, who were involved in this excavation, believe the finding could be a pre-Hispanic Mayan cemetery.

The funeral deposits were found underneath three mounds in the area that had been devastated previously by agricultural activities.


Arlene to drench large sections of central Mexico

Reuters - Large parts of central Mexico were facing torrential rains as Arlene reached the coast early on Thursday. Mexican emergency services advised communities in the storm’s direct path to evacuate.