U.S. managed services and cloud connectivity provider GTT, formerly called Global Telecom and Technology, has emerged from its Chapter 11 bankruptcy cases after more than two years of corporate and financial restructuring, BNAmericas.com reported. The company, which maintains ethernet and IP sites in São Paulo, Rio de Janeiro and Mexico City, first filed for bankruptcy protection in October 2021. "Over the past two years, we have concentrated relentlessly on transforming our business into a customer-focused, managed services provider with a culture of continuous improvement.
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Mexico's government said on Friday that it will issue a new decree for a temporary exemption on import tariffs for various items, a measure intended to tame inflation, Reuters reported. The new decree, set to be published in the official gazette on Friday, will extend a prior order to temporarily waive tariffs and include more items, according to a government statement.
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Mexican President Andres Manuel Lopez Obrador said on Wednesday the government would help Petroleos Mexicanos (Pemex) if needs be, when asked about the state oil company's ability to shoulder its debt obligations in 2023, Reuters reported. The president, a resource nationalist who has made reviving the cash-strapped Pemex a priority, has given tax breaks and capital injections to the firm as it battles to increase oil and gas output while laboring under a hefty debt load.
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Aeromexico has formally completed its chapter 11 bankruptcy filing in the U.S., Simple Flying reported. Last week, the U.S. Bankruptcy Court for the Southern District of New York issued a final decree, closing the chapter 11 cases of the company and its subsidiaries. Although Aeromexico had successfully emerged from the chapter 11 process in March 2022, the case was still open. On Dec. 22, 2022, the court closed the case, considering, among other things, that Aeromexico’s plan of reorganization “has been substantially consummated,” the airline announced in a statement.
Mexico's economy likely contracted by 0.1% in November compared with the previous month, a preliminary estimate from national statistics agency INEGI showed on Monday, Reuters reported. The probable drop in activity follows months of aggressive monetary policy tightening in Mexico, rising core inflation and signs of an economic slowdown in the United States. Compared with the same month a year earlier, the economy was estimated to have grown by 4.2% in November. Mexico's economy expanded by 0.9% in the third quarter from the previous three-month period.
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Mexico’s central bank will likely decouple from the Federal Reserve early next year by raising interest rates less than the US, after it matches the Fed during its meeting this week, according to Barclays Plc, Bloomberg News reported. Banxico will raise its key rate by 50 basis points to 10.50% on Thursday, mirroring what’s expected by the Federal Open Market Committee, before delivering a last hike of 25 basis points in February, less than the 50 basis-point increase by the Fed in January, Barclays’s analysts wrote in a report.
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Troubled Mexican nonbank lender Credito Real is in talks with foreign bondholders, prompting creditors to delay their request for an involuntary U.S. bankruptcy hearing, according to two sources close to the matter, Reuters reported. Credito Real collapsed after it defaulted on a 170 million Swiss franc ($176 million) bond in February, prompting bonds to shed 99% of their value. The talks are centered on establishing what assets the company still had left and are viable for recovery, offering a rare chance for transparency, one source directly involved told Reuters Wednesday.
Mexican leasing firm Unifin said on Tuesday a Mexican court approved its voluntary application for declaration of bankruptcy, Reuters reported. The firm said in a statement it was forced to advance the bankruptcy filing to "protect" assets from legal proceedings, adding that the ruling will allow continued talks with creditors and the implementation of a liability restructuring plan. In addition, Unifin continues to evaluate financing opportunities to minimize disruptions in its operations and finances, the statement said.
Mexican telecommunications company Altan Redes has emerged from bankruptcy with government assistance, according to a statement published by the firm on Thursday, Reuters reported. Altan Redes announced it filed for bankruptcy in July 2021 and said it was seeking protection under Mexican law to renegotiate its debts. Mexican President Andres Manuel Lopez Obrador announced in June that the government had signed an agreement to become the majority stakeholder in Altan Redes and would bail it out.
The Bank of Mexico is expected to raise its key interest rate by 75 basis points, a Reuters poll showed on Monday, following the U.S. Federal Reserve's three-quarters of a percentage point hike last week in an effort to tame stubbornly high inflation. All 17 analysts consulted for the poll expect Banxico, as Mexico's central bank is known, to raise its benchmark rate to a record 10% this week, from 9.25%.
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