Mexico’s Grupo Modelo plans beer price hike
Grupo Modelo, a Mexican brewery half owned by Anheuser-Busch Cos. Inc., plans to raise its beer prices in Mexico Jan. 1, according to published reports.
The increase will be in line with expected inflation, the Mexico City-based brewer reportedly said in a Dec. 23 filing with the Mexican Stock Exchange. Modelo also said the increase takes into account tax law changes favoring recycled containers.
Mexico’s annual inflation rate fell to 2.9 percent at the end of November but is expected to climb to 3.5 percent by many fund managers, according to media reports.
Grupo Modelo exports five brands, including Corona products, and is the exclusive importer and distributor of Anheuser-Busch’s products in Mexico.
St. Louis-based Anheuser-Busch Cos. Inc. (NYSE: BUD), the largest domestic brewer, manufactures and recycles aluminum cans and operates theme parks.
More: stlouis.bizjournals.com
Mexico's Modelo 4th-qtr net drops 22 pct
No. 1 Mexican brewer Modelo, maker of Corona beer, said on Monday its fourth-quarter net profit declined 22 percent as it was hit by higher tax payments, although a jump in exports boosted sales.
Modelo (GMODELOC.MX: Quote, Profile, Research), half-owned by U.S. brewer Anheuser Busch Cos. Inc. (BUD.N: Quote, Profile, Research), said its October-December net profit was 1.348 billion pesos ($127 million).
Revenue rose 6.8 percent to 12.133 billion pesos, aided by another expansion in exports, mainly to the United States, where Corona is the top selling imported beer. ($1 = 10.6271 pesos at end December)
World Cup boosts Mexicos Modelo net profit
No. 1 Mexican brewer Modelo, the maker of top U.S. import beer Corona, posted a 4.8 percent rise in second quarter net profit on solid growth in foreign and domestic sales, aided by the World Cup.
Modelo (GMODELOC.MX: Quote, Profile, Research) said on Friday its April-June net was 2.603 billion pesos ($230 million), in line with expectations, as sales rose 9.7 percent to 15.101 billion pesos. ($1 = 11.3070 pesos at end June)
Source : today.reuters.com
Mexico eyes tax cut for reusable beer bottles
Mexico is proposing to tax beer sold in reusable bottles at a lower rate than for disposable cans and bottles, in a bid to twist the arms of brewers Modelo and Femsa to sell more environmentally friendly products.
Under the budget the government sent to Congress late Monday, Mexico plans to tax beer served in reusable bottles, such as Modelo's Corona or Femsa's Carta Blanca, at a rate 72 percent lower than the rate for disposable bottles and cans.
The proposal would have to be passed by the opposition-controlled Congress, which has in the
Mexicos Vitro shareholders approve capital hike
Vitro, Mexicos largest glass producer, said on Wednesday its shareholders approved a capital increase for 550 million pesos ($50 million) that will be used to pay down debt.
Vitro (VITROA.MX: Quote, Profile, Research) (VTO.N: Quote, Profile, Research) said it will offer almost 63 million new series A shares to existing shareholders at a price of 8.75 pesos.
Vitros shares dropped 5.6 percent on Wednesday to 12.14 pesos in light volume.
Source : today.reuters.com
Merrill Lynch opens Grupo Mexico cover with "buy"
Merrill Lynch began coverage of Mexican copper giant Grupo Mexico with a "buy" rating on Tuesday, pointing to strong prices, a debt restructuring and improvements in returning cash to shareholders.
Merrill Lynch set its 12-month price target for Grupo Mexico at 26 pesos per share. They were trading on Tuesday morning at 18.57 pesos, up 1.31 percent in the session.
Grupo Mexico has leveraged record metals prices to tidy up its finances, reducing net debt from $2.5 billion in December 2004 to $1.4 at the end of June.
Grupo Mexico is the world's No. 3 copper
VW Mexico workers may strike Thursday for 12.5 pct pay hike
Volkswagen AG workers at its Puebla plant in Mexico may go on strike on Thursday to support demands for a 12.5 pct pay hike, Financial Times Deutschland reported, citing a trade union spokesman.
The spokesman said while VW has not made an offer yet it has rejected a 'spectacular salary adjustment'.
Workers at the plant last staged a three-day strike one year ago and pushed through a 4.5 pct wake increase.
The Puebla plant makes the New Beetle and Jetta and employs 12,000 workers.
More: forbes.com
BASE METALS UPDATE: Grupo Mexico: Cananea Talks Going Well
Workers at La Cananea, a copper mine located in northern Sonora state, said Tuesday that talks were advancing well with parent company Grupo Mexico SA (GMEXICO.MX) over annual contract revisions.
Union Committee Plans To Discuss Asarco Offer Wednesday
The union bargaining committee representing workers striking against Asarco Inc. (ASX.XX) is planning to meet Wednesday to discuss a one-year contract offer that has been made by the company, as well as other issues, a union official reported Tuesday morning.
Mexico Steel Talks End Without Deal, No Strikes Seen Tue
Mexico offers spicy beer drink michelada to U.S.
Now that Americans have become accustomed to sticking lime wedges in their beers, Mexican companies are hoping they will start reaching for cold ones with a spicy kick.
Brewers, distributors and a company peddling a pre-made mix are trying to cash in on the michelada — beer served with lime juice, assorted sweet-and-sour spices, chile pepper, ice and a salted rim — which has been a best seller south of the border for decades.
"The michelada isn't new for Mexico, but in the United States it's something special, something they only began to try recently
Mexico's Grupo TMM Sells 18 Mln Kansas City Shares
Grupo TMM SA, Mexico's largest transportation company, said it sold 18 million shares of Kansas City Southern common stock at $22.25 a share, about 10 percent lower than the U.S. railway's closing price yesterday.
Mexico City-based Grupo TMM said in a statement on Business Wire today that it sold the stock to Morgan Stanley and will apply the proceeds toward debt. Kansas City Southern shares fell 32 cents to $24.68 yesterday in New York Stock Exchange composite trading.
Kansas City Southern, based in Kansas City, Missouri, said separately it would offer 9
Grupo Mexico official says Asarco strike settlement possible
Officials from Mexican copper mining concern Grupo Mexico SA were meeting with union representatives Friday to try to resolve a three-week-old U.S. strike at the company's Asarco unit, an official said Friday.
In a conference call with analysts to discuss Grupo Mexico's second-quarter results, chief financial officer Eduardo Gonzalez said he believed a solution to the strike was possible.
Friday's meeting was the first between management and the union since more than 1,500 workers went on strike in Arizona and Texas to protest the company's proposed wage freeze and reductions in health and pension
