Fitch Ratings has released a credit analysis of Grupo
Mexico, S.A. de C.V. (Grupo Mexico) and its subsidiaries. This report
explains Fitch's rating rationale for the six-rated entities,
including Grupo Mexico, Americas Mining Corporation (AMC), Southern
Peru Copper Corporation (SPCC), Minera Mexico, S.A. de C.V. (Minera
Mexico), Asarco, Inc. (Asarco), and Grupo Ferroviario Mexicano, S.A.
de C.V. (GFM). The report also includes an analysis of the companies'
financial and business positions.
Grupo Mexico is a holding company whose copper mining assets are aggregated under AMC. Through AMC, Grupo Mexico owns a 75% stake in SPCC, one of the world's lowest cost copper producers. SPCC's operating assets are located in Peru and Mexico, as SPCC now owns 99% of Minera Mexico, Mexico's largest mining group. In 2004, SPCC, on a stand-alone basis, accounted for 45% of consolidated sales of 868,000 tons of refined copper, and Minera Mexico accounted for 37%. GM also owns 100% of Asarco in the U.S., which accounted for 18% of consolidated copper sales volumes. Grupo Mexico also owns a major railway in Mexico via its GFM subsidiary. The railway connects Mexico's major cities and six seaports and has five points of connection along the U.S. border. Grupo Mexico's 2004 revenues of $4.2 billion were generated from sales of copper (61%), molybdenum (15%), transportation services, (15%), silver (3.0%), zinc (3.0%), gold (1.0%), and sulphuric acid (1%). In 2004, AMC generated about 89% of Grupo Mexico's consolidated EBITDA, while GFM generated about 11% of the group's EBITDA.
A full copy of Fitch's credit analysis reports about Grupo Mexico and its subsidiaries can be found within Fitch Research, on Fitch's subscription-based web site, located at www.fitchratings.com.
Fitch's rating definitions are available on the agency's public web site, www.fitchratings.com. Published ratings, criteria and methodologies, and relevant policies and procedures are also available from this site, at all times. This document will remain on the public site for seven days.
Grupo Mexico is a holding company whose copper mining assets are aggregated under AMC. Through AMC, Grupo Mexico owns a 75% stake in SPCC, one of the world's lowest cost copper producers. SPCC's operating assets are located in Peru and Mexico, as SPCC now owns 99% of Minera Mexico, Mexico's largest mining group. In 2004, SPCC, on a stand-alone basis, accounted for 45% of consolidated sales of 868,000 tons of refined copper, and Minera Mexico accounted for 37%. GM also owns 100% of Asarco in the U.S., which accounted for 18% of consolidated copper sales volumes. Grupo Mexico also owns a major railway in Mexico via its GFM subsidiary. The railway connects Mexico's major cities and six seaports and has five points of connection along the U.S. border. Grupo Mexico's 2004 revenues of $4.2 billion were generated from sales of copper (61%), molybdenum (15%), transportation services, (15%), silver (3.0%), zinc (3.0%), gold (1.0%), and sulphuric acid (1%). In 2004, AMC generated about 89% of Grupo Mexico's consolidated EBITDA, while GFM generated about 11% of the group's EBITDA.
A full copy of Fitch's credit analysis reports about Grupo Mexico and its subsidiaries can be found within Fitch Research, on Fitch's subscription-based web site, located at www.fitchratings.com.
Fitch's rating definitions are available on the agency's public web site, www.fitchratings.com. Published ratings, criteria and methodologies, and relevant policies and procedures are also available from this site, at all times. This document will remain on the public site for seven days.
© 2005 Business Wire
