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Energy
Officials: Gas Production At Burgos Basin Up 41% In Past Five Years
August 5, 2009
According to officials at Pemex's Activo Integral Burgos (AIB) project, the country's largest nonassociated gas
development, hydrocarbon production in the Burgos basin has risen by 41% in the past five years as private
companies such as GPA Energy and Industrial Perforadora have contributed to the improved results. AIB officials
said production is expected to soar in upcoming years as Pemex prepares three international public tenders for a joint
amount of MXN 1 billion in the area in a bid to take output to 1.8 billion cubic feet of gas per day, up from the current
1.5 billion. Pemex announced it invested MXN 110.5 billion in 1H, up MXN 30 billion or 38.6% when compared to the
like 2008 figure.
U.S., Mexican Authorities Probe Oil Thefts From Pemex
August 9, 2009
U.S. and Mexican authorities are investigating the purchase by several U.S. companies of millions of dollars worth of
petroleum products stolen from Mexican state-owned oil firm Pemex. The probe is part of a broader two-year joint
U.S.-Mexican investigation into a network of Mexican oil smugglers supported by the Gulf drug cartel. In the
meantime, the U.S. will return USD 2.4 million in funds generated from smuggling to the Mexican government.
According to Nancy Herrera, Executive Assistant U.S. Attorney in Houston, Donald Schroeder, president of Trammo
Petroleum, pleaded guilty in connection with the smugglers after admitting that he and others conspired to purchase
the stolen products, which were loaded onto a barge in Brownsville, Texas. In April, Mexican police arrested the
group that allegedly made USD 46 million in the past two years smuggling stolen petroleum condensates to the U.S.
Pemex: Illegal Oil Extraction Affects 30 States
August 5, 2009
Pemex said that illegal oil extraction and distribution groups have extended their presence to nearly the entire
country, as the company reported it has found fuel theft organizations in 30 out of Mexico's 32 states in the past nine
years. Criminal presence in Mexico is spread from the southern border to the northern border at a rather equal rate.
Meanwhile, Energy Minister Georgina Kessel said that organized crime has surpassed Pemex's economic and
technological capacity, representing a challenge for the firm in order to effectively prevent and address fuel theft.
Pemex Awards Platform-Upgrade Contract To Diavaz
August 4, 2009
Pemex announced it awarded a USD 43.8 million contract to local company Constructora Subacuatica Diavaz to
upgrade a production platform in the Gulf of Mexico. Pemex specified the contract is for MXN 137.6 million and USD
33.3 million, with work to be carried out within nine months. Diavaz presented the best technical and economic bid for
the contract. The platform to be upgraded produced 24,500 barrels a day (b/d) of crude oil in June.
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Trade & Investment
Mexico, Colombia Announce Electronic System For Certificates Of Origin
August 8, 2009
Mexico and Colombia announced that they implemented an electronic system to issue, send and receive electronic
certificates of origin or country-of-origin labeling (COOL) in a bid to simplify trade and with the aim to benefit as many
as 3,000 companies operating in Mexico. Mexico's Ministry of Economy (SE) said that the agreement will ensure a
reduction of procedures to validate the certificates of origin as well as modernizing and simplifying them.
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Banking, Insurance & Finance
Moody's Affirms Mexico's "Baa1" Credit Rating
August 5, 2009
U.S. rating agency Moody's Investors Service (MIS) affirmed Mexico's investment grade sovereign foreign credit
rating of "Baa1," citing a supportive economic framework of continued fiscal discipline. The agency said the rating has
a stable outlook, adding that the country, which has been hit hard by the U.S. economic downturn, still demonstrates
the ability to access capital markets and has a "robust government debt profile." The vote of confidence from MIS
took investors by surprise, particularly after a big opposition win in recent congressional elections appeared to
complicate the prospect for economic reform, raising fears of ratings downgrades. Mexico is rated "BBB-plus" by both
Standard & Poor's and Fitch Ratings.
Electronic Payment Firm Prosa Sees Growth In Card Market
August 5, 2009
Mexican electronic payment processing firm Controladora Prosa said it sees good chances for expansion in the cardbased
payment market, where it hopes to draw share away from competitors. Prosa, which operates one of the
largest electronic payment networks in Latin America, relaunched its general purpose card brand Carnet nearly three
years ago, aiming to gain ground in credit, debit and prepaid cards. Carnet, which can only be used in Mexico, is
offered free of charge to card issuers like banks as a lower-cost alternative to the card brands of international firms
like Visa. Executives said as Mexicans tend to use their cards mostly in Mexico, it seemed very logical to use a local
brand to avoid the costs of brands like Visa or MasterCard. Participating lenders have pledged to issue about 4 million
Carnet cards by the end of 2010, a number seen rising to 20 million by the middle of the next decade as banks
convert part of their card base to Carnet.
AXA To Increase Payroll, Will Hire 2,010 Insurance Clerks
August 4, 2009
French insurance company AXA announced that it will increase its payroll in the upcoming months by hiring 2,010
new insurance clerks in a bid to maintain its 1H 9% growth rate. AXA added that, with the new recruits its clerks will
total 9,300 in Mexico. AXA said new employees will be trained at the company's Universidad AXA de Mexico.
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Business & Industry
President Calderon Unveils New Procedures For Setting Up Business
August 3, 2009
President Calderon unveiled a plan to allow businesses to register online, avoiding an existing, rather long, list of
requirements that could take between weeks and months to clear. The new program includes a government Web site
that simplifies the process of establishing a business in Mexico, allowing companies to complete federal government
requirements online, avoiding duplication of procedures. The Web site also gives investors the opportunity to create
within two hours any company from any place that has Internet access. Calderon added that the reduction in the
number of requirements will also decrease the possibility of corruption.
Mexichem Sets Price For Stock Offer
August 3, 2009
Mexican chemical conglomerate Mexichem said its shareholders authorized a share price of MXN 14.70 for a stock
offering to raise capital. Mexichem said shareholders approved the plan to offer 153.6 million new shares, which
would raise around MXN 172 million. The company's current market capitalization is around MXN 2 billion. Current
Mexichem shareholders have 15 days to subscribe to the offering and may buy one new share for every 10.71875
they own. Should any shares remain, shareholders who exercised their maximum bids may then purchase further
shares. Any new shares remaining after that will be offered by local brokerages Banamex, Inbursa and GBM.
GModelo Places Three Brands Among The Most Important Beer Brands In The U.S.
August 3, 2009
Mexican brewer Grupo Modelo (GModelo) said that it has succeeded in placing three of its beer brands among the
top ten premium beer brands in the U.S. market. GModelo said the brands include Corona Extra—which the firm
added is the number one imported beer brand in the U.S.—Corona and Modelo Especial. Meanwhile, Fomento
Economico Mexicano (FEMSA) said its exports grew 2.4% in 2Q due to outstanding demand for its Dos Equis XX
beer. According to analysts from the industry, global Mexican beer exports (including GModelo and FEMSA) fell 3.4%
in 2Q when compared to the like-2008 period, but were up from the 4.8% drop registered in 1Q 2009.
Unionized Steel Workers Go On Strike At ArcelorMittal's Subsidiaries
August 8, 2009
About 3,500 unionized workers from the National Miners Union's section 271 went on strike at companies owned by
global steelmaker ArcelorMittal. The strike by workers in the Pacific coast city of Lazaro Cardenas, in the state of
Michoacan, is mainly over wage increases. The union said it will continue to negotiate with the company to normalize
the situation as soon as possible.
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Automotive
INE: Mexico To Impose Fuel Standards On New Cars
August 3, 2009
The National Ecology Institute (INE) said the government will introduce fuel efficiency standards for all new cars as
part of its effort to help curb the emission of greenhouse gases. INE said the government is currently studying which
type of standards to impose, but it is leaning toward a plan that would be similar to proposed fuel efficiency standards
in California and other U.S. states. The INE ecology institute is one of the main policymaking bodies within the
Environment Ministry (SEMARNAT).
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Housing & Mortgaging
BBVA Bancomer Sells MXN 5.91 Billion In Mortgage Bonds
August 6, 2009
Spanish-Mexican bank BBVA Bancomer has gone to market with the first issuance of mortgage bonds by a private
sector lender this year for MXN 5.91 billion in a sign of easing risk aversion. Government mortgage development bank
Sociedad Hipotecaria Federal (SHF), which provides guarantees for mortgage bond issuances, said the securities
were sold in three series with local AAA ratings. BBVA Bancomer is Mexico's largest private sector mortgage lender.
SHF said it expects the market for mortgage bonds (Borhis) to reactivate following an eight month gap since the last
issuance in December 2008.
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Construction & Infrastructure
CMIC Anticipates 2009 Job Losses In Construction Sector At 250,000
August 4, 2009
According to the Mexican Construction Industry Chamber (CMIC), the construction sector will have laid off as many
as 250,000 employees by the end of the year due to the global economic downturn, a 5.3% reduction when
compared to 2008. CMIC expects, however, that worse results will be reported in 2010.
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Transportation
U.S. Ex-Cabinet Officials, Ambassadors, Executives Urge Resolution Of Truck Issue
August 4, 2009
The Alliance to Keep U.S. Jobs, a group of 150 U.S. manufacturing and agricultural exporters formed after Mexico
imposed retaliatory tariffs on USD 2.4 billion of U.S. goods, is endorsing a letter sent to President Obama by a
bipartisan group of former U.S. Cabinet members and U.S. Ambassadors to Mexico that urged him to resolve the
cross-border trucking dispute. The letter, cosigned by former U.S. Trade Representative Carla Hills, former
Ambassadors to Mexico James Jones, Jeffrey Davidow and Tony Garza, and former Commerce Secretaries Norman
Mineta and Carlos Gutierrez, said that "without prompt resolution of this 14-year-old dispute our nation will needlessly
suffer." Calderon's administration made the move after Obama signed a 2009 spending bill that canceled a pilot
program allowing Mexican trucks to operate beyond a 25-mile (40-km) commercial zone along the U.S. border with
Mexico. In addition, CANACAR, the private organization representing the majority of Mexico's freight haulers said the
4,500 firms forming it will sue the U.S. as it has failed to observe the NAFTA rules on cross-border trucking.
Mexicana Is Awarded MXN 1.2 Billion Loan
August 4, 2009
Mexican airliner Mexicana de Aviacion announced that government export development bank Bancomext awarded it
a MXN 1.2 billion loan to address a difficult financial situation following the global economic downturn. In addition, Mexicana said it will receive MXN 400 million from state-run airport operator Aeropuertos y Servicios Auxiliares (ASA)
to purchase fuel.
Fitch: Mexico's Air Traffic To Fall By 25%
August 5, 2009
U.S. rating company Fitch Ratings announced that according to its estimates, Mexico's air traffic will fall by between
20% and 25% this year, a worse performance than compared to that of 1995, when the country was hit hard by a
severe economic crisis. Nevertheless, Fitch said Mexico's economy will start recovering by 2010, which would lead air
traffic to move in parallel with gross domestic product (GDP) fluctuations. Fitch expects 2010 air traffic to be similar to
that of 2005.
CMIC: SCT's 2009 Budget Lowered; Roads Are Most Affected Sector
August 4, 2009
According to the Mexican Construction Industry Chamber (CMIC), the Communications and Transport Ministry's
(SCT’s) adjustments to the 2009 spending plan lowered it by MXN 10 billion to MXN 75 billion, down approximately
11.76% from the originally programmed expenditures of MXN 85 billion. CMIC said that of the MXN 10 billion cut,
approximately MXN 7.5 million were slated to be spent in road infrastructure.
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Telecommunications & Technology
Telcel, Iusacell To Compete In People Tracking, Security Devices Market
August 7, 2009
According to experts, analysts, and news agencies, the current insecurity in Mexico has prompted mobile operators to
seek new niches to compensate for the decline in the country's demand for mobile services. Reports indicate that
mobile operators Telcel and Iusacell will compete in the people tracking and mobile security devices market. The
firms would use the same technology that is employed for vehicle tracking and would implement panic buttons and
other features in their mobile phones, taking advantage of their current client bases. Sources say the mentioned
market creates about MXN 1.3 billion per year. Reports show that Puebla is the first city to acquire panic buttons from
the companies.
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Media & Entertainment
SEGOB: "Participations" Contributions From Casinos Increase By 37% In 2008
August 3, 2009
According to figures from the Ministry of Interior (SEGOB), the so-called "participations" contributions from the 24
casinos and betting parlors that operate legally in Mexico amounted to MXN 555.4 in 2008, up 37% when compared
to 2007 data. Participations are a direct contribution by casinos to SEGOB and amount to 2% of the companies'
earnings after they have yielded prizes to the winners at their establishments. SEGOB said betting parlors' income in
2008 amounted to MXN 27.7 billion.
ITunes Launches ITunes Store In Mexico
August 7, 2009
California based computer and technology giant Apple launched its popular iTunes Store in Mexico, hoping to grow its
presence in a market where trademark products such as the iPod and iPhone are all the rage. Apple said that with
most songs priced at MXN 12 and most albums at MXN 120, the iTunes Store in Mexico is the best way for Mac and
PC users to legally discover, purchase and download music online. In addition, an expected surge in smartphone
sales could bode well for the iTunes music store, and as industry observers hope, could help jump-start the region's
mobile-centric digital music market. However, illegal music downloads in Mexico are growing faster than Internet
penetration, and 14.1 million people downloaded a total of 4.73 billion songs last year, an 80% increase from 2007,
according to a study by research firm Ipsos MediaCT. Meanwhile, in the streets of Mexican cities, vendors sell pirated
CDs—some loaded with more than 100 songs in MP3 format—for as little as MXN 10, representing a complicated
challenge for iTunes.
Dish Entry To Market Boosts Pay TV Operations
August 5, 2009
According to analysts, Mexican pay-TV provider Dish, a joint project involving the MVS-Echostar and Telmex strategic
alliance, has boosted the pay TV market and led to a global increase of satellite TV customers to 2.3 million. Dish,
which offers very low prices, reached 500,000 subscribers in only six months, while rival Sky secured the same
number of clients in four years. Meanwhile, Sky's "Mi Sky" newly launched service also offers very low prices and firm
executives said sales grew 30% within the first month in the market. In addition, Sky said that it is seeking alliances to provide triple play services and that it will inaugurate its HD broadcast a few months before the upcoming South
Africa 2010 soccer World Cup in a bid to draw more clients.
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Farming & Agriculture
SACM: Mexico Faces Historic Drought And Water Shortage
August 4, 2009
According to Mexico City's Water System (SACM), Mexico faces the worst drought in the past 40 years and Mexico
City and other regions are experiencing a serious water shortage. SACM said that the dams forming the Cutzamala
System began the year filled at very low levels and that they have not been able to regain optimal levels despite
increased rains during the summer months. SACM announced more water cuts in Mexico City and measures to use
the available water as efficiently as possible. Other sources, such as the National Water Commission (CONAGUA)
said the drought is very serious and that July was the driest month in 68 years.
U.S.: Mexico Fixes Sugar Import Quota At 400,000 Tons
August 5, 2009
According to U.S. trade authorities, Mexico is setting a refined sugar import quota, believed to be 400,000 tons. Trade
sources said that an official announcement is expected soon in Mexico's Official Gazette (DOF) and that some of the
sugar may have been committed from Latin America. A report in Mexican press said that the Ministry of Economy
(SE) had established the import quota of 400,000 tons of refined sugar after a meeting with producers. Mexico's
sugar output was hurt by drought.
Yucatan To Export Pork Meat To Japan, South Korea
August 4, 2009
The Pork Meat Producers' Association of Yucatan (APY) announced that its member companies will export their
merchandise to Japan and South Korea before the end of the year to supply demand in those nations. Estimated
revenue from those sales is expected to amount to approximately MXN 4 billion this year. APY expects to sign pork
meat export agreements with Russia, China, Hong Kong and Vietnam in the upcoming years.
OECD: Food Prices Up 10% In Mexico
August 4, 2009
According to the Organization For Economic Cooperation and Development (OECD), Mexico's food prices increased
by 10% in June, in what was one of the largest annualized food increases among the organization’s 30 member
states. OECD said inflation in foods in Mexico was below only Iceland's in June at annual rates.
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Hospitality & Tourism
Lower House's CEFP: Tourism Income To Fall USD 5.6 Billion In 2009
August 8, 2009
According to the Lower House's Public Finances' Studies Center (CEFP), tourism revenue in 2009 might fall USD 5.6
billion to USD 7.5 billion when compared to the USD 13.2 billion registered in 2008, as a result of the A/H1N1
influenza virus outbreak that scared foreign and local tourists, emptying tourist meccas such as Cancun.
Sectur To Promote 241 Tourism Centers' Improvement Projects
August 5, 2009
The Tourism Ministry (SECTUR) announced a joint effort with state and municipal authorities to promote 241 projects
to improve tourist centers countrywide. SECTUR said required investment for the initiative amounts to over MXN 2.8
billion, the largest figure allocated for such purposes in the 2003-2009 period. SECTUR said in the "Tourism Activity's
Advances and Results 2003-2009" report that the funds were allocated through the Resource Reassignment and
Coordination Agreements.
Mexico City Ranks 4th Among Forbes' World's Best Food Cities Survey
August 7, 2009
According to Forbes magazine's "World's Best Food Cities" survey, Mexico City is the world's fourth best city in terms
of fine dining, behind only Paris, Rome and Tokyo. The magazine surveyed people in several countries, taking into
account the diversity of restaurants and dishes offered in a series of selected destinations. Among the countries that
are home to the majority of persons surveyed who elected Mexico City as the best destination to eat well are Russia,
Egypt, Australia and Sweden, among others.
Mexico City Spends EUR 45,000 On New Bicycles For Rental Program
August 4, 2009
Mexico City spent approximately EUR 45,000 to purchase 1,141 bicycles from SmartBike in a new transportation and
bicycle rental program that is slated to kick off in December. The cost per unit was EUR 390. The entire program,
which includes parking for the bicycles, rental hubs, and maintenance, among other requirements, will cost about
MXN 8.2 million.
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Economy
President Calderon Praises His Administration's Countercyclical Measures
August 4, 2009
President Calderon praised his administration's countercyclical measures employed to buffer the impact in Mexico of
the current global economic downturn and said recession would have been worse if the government had not acted in
a timely manner. President Calderon also said that his administration has boosted employment and noted that 19,000
and 13,000 jobs were created in June and July, respectively.
Banxico Survey: Mexico GDP Seen Contracting 6.9% In 2009
August 3, 2009
According to a survey by the central bank (Banxico) of 32 private economists, the country's economic output this year
could contract by 6.9%, in the nation's deepest recession in decades. The Banxico survey produced an average
forecast of a 2.5% rebound in gross domestic product (GDP) in 2010. The 2009 estimate is below the 6.3%
contraction that economists had expected in June, and is in the middle of Banxico's own forecast range of a drop
between 6.5% and 7.5%.
Moody’s: Government Might Be Compelled To Make Cuts In Budget
August 3, 2009
U.S. rating agency Moody's said that the federal government might have no other choice but to make cuts in this
year's federal budget, as the deepened recession and lower oil prices could lead the country's income to fall by an
amount equivalent to 4.1% of the gross domestic product (GDP) by the end of the year. Moody's said the government
drafted its 2009 budget based on a 1.8% growth estimate but noted that the current economic situation yields an
expected contraction of 4.1%.
Banxico: Mexico Annual Inflation Rate Slows In July
August 7, 2009
According to the central bank (Banxico), inflation slowed in July to its lowest level in a year as recession prompted
businesses to reconsider raising prices, though the institution is still expected to refrain from cutting interest rates this
month. Mexican consumer prices rose 5.44% in the 12 months through July, down from 5.74% the previous month.
Prices fell for avocados, sugar and airplane tickets. The bank said in July it was taking a break in its campaign to cut
rates because it expected that the economy would begin to recover soon. Many analysts think it will hold its
benchmark overnight rate at 4.5% for at least several months.
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Border & Migration
SRE: Flow Of Immigrants To The U.S. Affected By Drug Cartels
August 7, 2009
According to a report by the Foreign Affairs Ministry (SRE), the increased violence across the border and the
dominant presence of drug traffickers have contributed to a decrease in the number of immigrants traveling illegally to
the U.S. since 2008. SRE's study said that the number of Mexicans crossing into the U.S. without the proper
documents fell to 300,000 since 2008, while the figure stood at 500,000 immigrants per year in the 2000-2007 period.
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Politics
President Calderon Welcomes Deposed Honduran Counterpart
August 5, 2009
President Calderon welcomed deposed Honduran counterpart Manuel Zelaya in Mexico City and called for the leftleaning
leader to be restored to power by those who forced him into exile more than five weeks ago. Both leaders
reiterated their mutual support for the return of constitutional order to Honduras, and Calderon said involved parties should accept the plan presented by Costa Rican President Oscar Arias, who has been brokering talks in San Jose.
The proposal presented by Arias, which includes the reinstatement of Zelaya with limited powers and early
presidential elections, has been repeatedly rejected by the interim government over the issue of Zelaya's return.
Meanwhile, as Zelaya was leaving Mexico City, personnel at President Calderon's office prevented him to address
the press as he had publicly addressed a support message to Andres Manuel Lopez Obrador, Calderon's main
political rival during the 2006 presidential election.
U.S. Senate Approves Obama Nominee For Ambassador To Mexico
August 8, 2009
The U.S. Senate has approved U.S. diplomat Carlos Pascual, President Barack Obama's nominee, to be the new
U.S. Ambassador to Mexico. Pascual's appointment was unanimously approved by the legislators.
Cesar Nava Elected As New PAN Leader
August 8, 2009
Mexican politician and former secretary for President Calderon Cesar Nava was elected as the new president for the
ruling National Action Party (PAN). Nava, who was the sole candidate for the party after Ernesto Ruffo Appel declined
to submit his candidacy for the post, was congratulated by President Calderon. Nava's candidacy deepened
differences within the party and a fracture among its members. Nava's opponents sought to lobby with PAN's
counselors to ensure the candidate wouldn't secure the necessary votes, but failed. Nava pledged to conciliate
antagonist parts' positions.
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Justice, Safety & Crime
President Calderon, Officials Defend Drug War Strategy As Deaths Rise
August 2, 2009
President Calderon and officials from his cabinet defended the administration's strategy to battle drug cartels and
noted that needed adjustments will be made. Calderon made the announcement as July ended as the drug war's
bloodiest month ever, with the latest related incident leaving 12 dead in Hidalgo, in the state of the same name.
Meanwhile, officials specified that adjustments would come in response to a change in tactics by the cartels.
U.S. Senator Blocks Positive Report On Mexico's Rights Record; Delays Aid
August 5, 2009
U.S. key senator Patrick J. Leahy rejected a U.S. Department of State (DOS) plan to issue a report this week
affirming that Mexico is respecting human rights in its war against drug traffickers, delaying the release of millions of
dollars in U.S. antinarcotics assistance. The DOS intended to send the favorable report on Mexico's human rights
record to Congress in advance of President Obama's visit to Guadalajara for the summit of North American leaders.
The plan was scrapped after aides to Senator Leahy, chairman of the Senate Appropriations foreign operations
subcommittee, told DOS officials that the findings contradicted reports of human rights violations in Mexico, including
torture and forced disappearances, in connection with the drug war. In addition, human rights NGO Amnesty
International exhorted the U.S. Congress to hold 15% of the funds from the Merida Initiative antidrug aid package
from Mexico until the latter proves it protects and guarantees human rights.
U.S. To Assist Mexico's Drug Fight In The Gulf Area Through Air Surveillance
August 5, 2009
Mexican Navy officials announced that the U.S. will assist Mexico in its drug fight in the Gulf area through air
surveillance in order to reduce drug trafficking and arms and people smuggling. Officials said the aid will be awarded
under the Merida Initiative program's funds and assistance destined to the Navy, such as two airplanes and some
helicopters. The U.S. said its help to Mexico is a long term commitment, and authorities praised an improvement in
the training Mexican police receive.
Mexico Captures La Familia Operative Who Smuggled Drugs Into The U.S.
August 6, 2009
Federal agents captured Miguel Veraza Villa, a.k.a. "La Troca," the La Familia drug cartel's leading operative for the
transportation and smuggling of synthetic drugs into the U.S., along with 32 other people. Veraza Villa was in charge
of delivering drugs known as ICE or Krystal into the U.S. through Tijuana, from where he distributed the narcotics in
San Diego, Los Angeles, El Paso and Houston. Meanwhile, the federal Public Security Ministry (SSPF) uncovered
ties between the La Familia cartel and the Sinaloa cartel through the arrest of Veraza. The U.S. Drug Enforcement
Administration (DEA) said it also contributed to the capture and vowed to continue cooperation.
SSPF: Kidnappings Increase, Youngsters Are Most Targeted Victims
August 3, 2009
The federal Public Security Ministry (SSPF) said that kidnappings across the country are on the rise, as the
government's crackdown on drug cartels is prompting criminal groups to diversify their operations and change their structure. SSPF said arrests of kidnappers rose 20% between November 2008 and July 2009, and the Mexico United
Against Delinquency Association (MUCD) said kidnappings soared 154% in only five years. So far, authorities have
detained and imprisoned 9,014 people on kidnapping charges. In addition, SSPF said that the criminal groups'
preferred victims are youngsters, with 40% of the victims aged between 16 and 30 and about 14% aged 15 or less.
From the grand total, 28% are businessmen or shopkeepers, while 21% are students.
U.S. Pentagon: Mexican Shrimp, Tuna Could Be Used To Smuggle Drugs
August 3, 2009
According to recently declassified documents from the U.S. Pentagon Defense Intelligence Agency (DIA), shrimp
from the Mexican state of Sonora and tuna from the state of Baja California are ideal smuggling cocaine into the U.S.
in refrigerated containers, as the smell is strong enough to mask the narcotics' odor from trained police dogs.
Mexico Apologizes To Church After Raid During Mass
August 5, 2009
The Mexican government has apologized to Roman Catholic officials and parishioners after storming a church during
Mass to arrest a drug suspect. The Public Security Ministry (SSPF) is standing by the decision to launch the raid,
saying it was necessary to avoid a violent confrontation or escape. SSPF said it respects religion and apologized "for
the circumstances under which the operation had to be carried out." Federal police arrested Miguel Angel Baeza, an
alleged high-ranking lieutenant in the La Familia drug cartel, during a church service in the drug-plagued state of
Michoacan. Mexican bishops protested the following day, saying, "Mass is sacred and must be respected."
SCJN To Probe Day-Care Fire That Killed 49
August 6, 2009
The Supreme Court (SCJN) voted to open an investigation of alleged irregularities at a day care center where a fire
killed 49 children in the state of Sonora. The Court voted 8-3 to form a two-judge commission that will probe the June
5 blaze. The panel will have at least six months to report its findings. A judge ordered the ABC day care center's four
owners to stand trial. The Court commission will have the power to make recommendations, but cannot order the
government to take any specific action.
Somalia, Mexico Are World's Most Dangerous Countries For Journalists
August 3, 2009
According to a report by the International News Safety Institute (INSI), at least 46 journalists have died since the
beginning of the year while working, and it noted that Somalia and Mexico are the world's most dangerous places for
media employees and journalists.
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Arts & Culture
Mexico Pavilion Breaks Ground For Shanghai World Expo 2010
August 7, 2009
Mexico Pavilion broke ground for the Shanghai 2010 World Expo with colorful kites flown by kids from China and
Mexico. With the "living better" theme, Mexico's Pavilion is designed to be a semiunderground sloped building.
Mexican representatives acknowledged the kites were originated in China and were later introduced into Mexico.
They said they hope kites will be employed in exchanges and crossroads between the two countries' cultures.
Mexico's 4,000 square-meter Pavilion will display the nation's cultural and historic heritage, and promote
environmental preservation and future harmony in the cities.
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Other
Mexico Independence Act Sought In Spain
August 5, 2009
Spain's National Patrimony organization announced that it has begun tracking the original manuscript of Mexico's
Independence Act, which, according to a document dated 1830, could have been hidden by Spanish King Fernando
VII behind one of his portraits. A first effort proved negative, but the search is ongoing.
Baja California Hit By 6.9 , 5.5 Magnitude Quakes
August 3, 2009
The U.S. Geological Survey (USGS) announced that 6.9 and 5.5 magnitude earthquakes struck off the state of Baja
California. The first quake was 49 miles (79 km) from Santa Isabel on the Baja California peninsula and was 9.3 miles
(15 km) deep. Two days later a 5.5 magnitude earthquake struck the Baja Peninsula, 91 miles (146 km) northwest of
Santa Isabel, at a depth of 6.2 miles.
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