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Energy
Pemex: January-August Crude Output At 2.61 Million B/D
September 25, 2009
Pemex said that its crude oil production averaged 2.61 million barrels per day (b/d) in the first eight months of the
year, down 7.9% from the 2.82 million b/d in the same period of 2008. Crude output continued to slip in August, falling
to 2.54 million b/d from 2.56 million in July and 2.76 million in August of last year. The drop in production has largely
been the result of the decline at the giant offshore Cantarell field. However, Pemex said that the rapid fall in output at
that field may be slowing.
Slim’s CICSA To Buy 60% Of Bronco Drilling Mexico’s Unit For USD 30 Million
September 21, 2009
Mexican billionaire Carlos Slim’s construction concern Cicsa announced that it has agreed to acquire a 60% stake in
the local unit of U.S. oil firm Bronco Drilling Company to expand its oil services’ activities. Cicsa also said that it will
acquire from Grupo Financiero Inbursa an option to purchase 5.44 million Bronco Drilling shares. Meanwhile, Bronco
Drilling said that it obtained a USD 75 million revolving credit facility with Inbursa, which it is using to pay off existing
debt and for working capital. Under the credit agreements, Bronco issued to Inbursa three-year warrants for up to
5.44 million Bronco shares. Inbursa also is controlled by Carlos Slim.
Calderon Calls For Overhaul Of LFC
September 24, 2009
President Calderon is calling for an overhaul of state-owned power company Luz y Fuerza del Centro (LFC).
President Calderon has singled out LFC several times in recent weeks as a prime example of what is wrong in
Mexico’s public sector. The government has not laid out concrete plans to restructure LFC, but Calderon himself has
said all state companies need to improve their financial performance. LFC is the monopoly electricity distributor in the
capital and parts of four states around Mexico City. The company’s operating losses represent a growing fiscal
burden, especially as Calderon’s government pushes for an austere budget that will raise energy costs and taxes next
year to offset lower oil production.
Pemex Keeps Over 11,000 Idle Workers
September 24, 2009
According to press statements quoting the report on the results of a program to enhance the efficiency of Pemex and
its subsidiaries (PEO), the company intends to keep as many as 11,000 idle workers that have cost Mexico nearly
MXN 19 billion since 2005. The report noted that such workers do not contribute to the development of the firm or its
operations, as they do not engage in any productive activity, and added that only 359 employees belonging to the
group of those considered idle—dubbed "aviators"—have been relocated.
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Mining
CAMIMEX: Investment In Mining To Fall 25.3% On Economic Woes; Taxes
September 24, 2009
According to Mexico’s Mining Chamber (CAMIMEX), investment in new exploration projects and mine expansions in
Mexico will drop 25.3% in 2009 to USD 2.73 billion, compared with USD 3.6 billion a year ago, as the financial crisis
hits credit and metals prices. CAMIMEX said investment in 2010 could drop even further to as little as USD 1.7 billion,
37.7% less than what is expected for 2009. CAMIMEX also added that if a 4% tax on mining activities is passed by
Congress, investment in the sector might be inhibited even more. In addition, the Ministry of Economy’s (SE) General
Direction for Mining Promotion (DGPM) said that 23,545 mining workers lost their jobs during 1Q, 8.1% more than in
the like 2008 period.
U.S. Judge Recommends GMex’s Bid For Asarco For Second Time
September 25, 2009
U.S. bankruptcy Judge Richard Schmidt rejected attempts by India’s Sterlite Industries to increase its offer for
bankrupt U.S. copper miner Asarco LLC, and recommended for the second time that rival Mexican bidder Grupo
Mexico (GMex) regain control of the company. Sterlite, however, maintained it was still in the race to acquire the
copper miner. Judge Schmidt recommended GMex’s USD 2.4799 billion offer to repay Asarco’s creditors in full,
saying it was too late for Sterlite to make changes to its offer.
Industrias Peñoles Probed After Suspicious Money Found In Cargo
September 21, 2009
The Federal Attorney General’s Office (PGR) said that Mexican miner Industrias Peñoles is part of a police
investigation into USD 13 million in cash found in shipments of chemicals marked with the logo of a subsidiary
company. The navy found USD 2.15 million hidden in bags of sodium sulfate bearing the name "Quimica del Rey," a
unit of Peñoles, while searching cargo for export at the port of Manzanillo, in the state of Colima. Days earlier,
investigators had uncovered more than USD 11 million in bags of the chemical, used in laundry detergents and glass
manufacturing, also marked with the company logo at Manzanillo.
Goldcorp: Peñasquito On Track To Open January 1, 2010
September 24, 2009
Canadian miner Goldcorp announced it is set to begin commercial production at its massive Peñasquito gold deposit
in the central state of Zacatecas on January 1, 2010. Goldcorp said that the mine would still be developed within the
planned budget for the project. Once Peñasquito reaches peak production in about five years, the mine is expected to
produce 500,000 ounces of gold a year over its 22-year life.
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Trade & Investment
INEGI: August Trade Deficit Shrinks To USD 835 Million
September 24, 2009
According to the National Statistics Institute (INEGI), Mexico’s trade deficit shrank in August as both imports and
exports showed signs of picking up from the slump early in the year, while remaining well below year-ago levels.
INEGI said that the country ran up a trade deficit of USD 835 million last month, smaller than July’s USD 1.3 billion
gap and the USD 2.28 billion deficit in August 2008. INEGI said exports last month fell 25% year-on-year to USD 19.4
billion, led by a 50% drop in petroleum exports, while imports fell 28% to USD 20.23 billion.
Brewers: New Taxes Will Inhibit Investment In The Industry
September 21, 2009
Entrepreneurs from the brewing industry rejected President Calderon’s proposal of setting a tax on beer and other
measures affecting their business, adding that the new suggested taxation will inhibit investment in the industry.
Meanwhile, the National Beer and Stout Chamber (CANICERM) said that brewers had planned to invest as much as
USD 1.2 billion in the states of Chihuahua and Coahuila but under different fiscal circumstances, suggesting the
possibility of indefinitely cutting the investment.
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Banking, Insurance & Finance
Carlos Slim, Grameen Bank Launch Microfinance Venture
September 24, 2009
A charity run by Mexican billionaire Carlos Slim that bears his name and the international arm of Bangladesh’s
Grameen Bank announced they have launched a microfinance company aimed at reducing poverty in Mexico.
Fundacion Carlos Slim and Grameen Trust said in a joint press release that Grameen-Carso hopes to make more
than 100,000 loans during its first five years of operations, which started in the state of Oaxaca with an initial
capitalization of USD 5 million plus USD 40 million in credit lines, with plans to eventually cover the entire country.
Congress: SCJN To Determine If U.S. Citi’s Banamex Violates Mexican Law
September 25, 2009
The Senate said it will submit an appeal to the Supreme Court (SCJN) so that it can determine whether Banamex, the
Mexican subsidiary of U.S. bank Citigroup, violates Mexico’s Foreign Investment Law by having the U.S. government
as its majority shareholder.
AXA: Lack Of Communication, Trust Are Insurance Firms First Obstacles In Mexico
September 21, 2009
According to French insurance company AXA, Mexicans’ lack of trust towards insurers and deficient communication
from the companies to better highlight the benefits of insurance are the main obstacles for firms from that sector in
Mexico. However, the company said that it is in the process of trying to change such trends and that it is confident it
will succeed in securing an important market share, mostly focusing on middle-income clients.
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Housing & Mortgaging
Urbi To Open 2,000-Home Complex In Veracruz
September 22, 2009
Mexican developer Urbi Desarrollos Urbanos announced it will open a new 2,000-home complex in the state of
Veracruz for low-income workers. Construction of the complex is expected to create as many as 14,000 direct and
indirect jobs. Urbi said the compound will be located near a USD 1.6 billion facility of Luxembourg-based steelmaker
Tenaris-TAMSA that will create about 2,000 jobs.
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Construction & Infrastructure
Spain’s Antitrust Authorities Launch Probe Against Cemex Unit
September 22, 2009
Mexican cement manufacturer Cemex said that Spanish antitrust authorities searched the offices of its unit in Spain
as part of an investigation into possible price fixing. Cemex said the Spanish National Antitrust Commission searched
the premises of Cemex España as part of a sector-wide investigation of cement, concrete and aggregates companies
in Spain "for possible unlawful practices consisting of price fixing and market sharing agreements in violation of
Spanish antitrust regulations." Cemex said the antitrust commission may start a formal proceeding and, in the event
illegal practices were proved, could impose penalties up to 10% of the total sales volumes of any companies involved.
Meanwhile, Mexico’s Federal Competition Commission (CFC) said that it supports Spain’s measure and offered to aid
in the investigation.
Cemex Prices 1.3 Billion CPO Shares In Capital Increase, Secures USD 1.7 Billion
September 22, 2009
Mexican cement manufacturer Cemex said it raised USD 1.7 billion after pricing 1.4 billion of its CPO shares in a
global offering, which will be used to pay down its heavy debt load. Cemex said it sold the CPO shares in Mexico, the
U.S. and other international markets. The offering was increased from the originally announced amount of 1.2 billion
CPOs.
Edomex Governor Inaugurates Periferico Norte’s Second Floor
September 21, 2009
Enrique Peña Nieto, Governor of the State of Mexico (Edomex) and a member of the Institutional Revolutionary Party
(PRI), inaugurated the first stretch of the second floor of Mexico City’s largest road "Anillo Periferico" in the northern
area of the capital. The road, which covers the Toreo-Lomas Verdes stretch, was inaugurated one year and 20 days
after the beginning of its construction by Spanish firm OHL. Work for further stretches north of Mexico City is to begin
shortly.
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Retail
INEGI: July Retail Sales Down 4.8% On Year
September 23, 2009
According to the National Statistics Institute (INEGI), Mexico’s retail sales fell in July for an 11th straight month when
compared to a year ago, although recent data suggested a pickup could be under way. INEGI said retail sales fell
4.8% from July 2008, but rose 0.49% from June in seasonally adjusted terms, a second straight month of sequential
growth. In the first seven months of 2009, retail sales were down 5.4% from the like 2008 period.
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Transportation
Mexicana To Join Oneworld Alliance In November
September 21, 2009
Mexican airline Mexicana de Aviacion announced that it plans to join the Oneworld airline alliance in November.
Mexicana said that its low-cost airline Click Mexicana and regional carrier Mexicana Link will join the alliance as
affiliates. Spanish peer Iberia sponsored Mexicana’s entry into the group. The company said it expects to achieve
competitive and financial benefits by joining the alliance while contributing new destinations.
WTA: Mexicana De Aviacion Is Mexico’s, Central America’s Best Airline
September 21, 2009
According to the annual survey World Travel Awards (WTA), Mexican airline Mexicana de Aviacion was voted the
best carrier in Mexico and Central America by 170,000 hospitality and travel industry experts worldwide. It is the
eighth consecutive year that Mexicana has received the award.
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Telecommunications & Technology
Iusacell Signs Agreement With Chiapas For Mobile-Phone-Operated Surveillance System
September 22, 2009
Mexican mobile telephony provider Grupo Iusacell announced it signed an agreement with the government of the
state of Chiapas to create a surveillance system operated by local taxi drivers through their cell phones, in a bid to
reduce the insecurity rate. The move places Iusacell a step ahead of rival Telcel in the surveillance and peopletracking
market, an industry some mobile operators are preparing to explore shortly.
Axtel Seeks Alliance To Better Rival Telcel
September 23, 2009
Mexican telecommunications company Axtel announced it is currently seeking to enter a strategic partnership with a
mobile telephony operator to better compete with rival Telcel and in a bid to reduce costs. Axtel added that it would be
better to have an ally to submit bids for an upcoming mobile telephony frequencies’ tender.
Telmex Seeks To Compete With Cable Firms In The Internet Market
September 24, 2009
According to analysts, Mexican fixed telephony giant Telmex has decided to focus on the Internet market to compete
with cable TV companies that provide triple-play services. Experts say Telmex is keeping its Internet tariffs steady but
improving its services and its broadband speed. Analysts say firms such as Megacable and Cablevision have
increased their market share in the Internet market by drawing Telmex’s clients with better offers, to which Telmex is
responding with higher quality at fixed costs for its clients.
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Media & Entertainment
TV Azteca Beats Televisa Over National Soccer Team Slogan Dispute
September 24, 2009
Mexican broadcaster TV Azteca beat rival Grupo Televisa in a dispute over which firm had the rights to use the
"ponte la verde" (wear the green one) slogan, referring to the national soccer team’s uniform. The Supreme Court
(SCJN) denied protection to Televisa, which expected to be declared the only legal user of the slogan because it
employed it first. TV Azteca, however, registered it before its rival at the Mexican Intellectual Property Institute (IMPI),
becoming the sole legal user of the slogan.
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Hospitality & Tourism
Ibertur: Mexico Is 4th Most Visited Country For Cultural Tourism
September 26, 2009
According to Spain’s Patrimony, Tourism and Sustainable Development Network (Ibertur), Mexico ranks fourth among
the most visited countries for cultural tourism, behind France, Italy and Spain. Ibertur said that archeological sites
such as Tulum or Chichen Itza have strongly contributed to the ranking and added that it elected certain variables to
create its list of most visited countries for cultural reasons, including the amount of sites in a country that were
declared human heritage by the United Nations Educational Scientific and Cultural Organization (UNESCO). Mexico
currently has 29.
Quintana Roo Obtains Seven World Travel Prizes; Elected Best Tourism Destination
September 27, 2009
The Mexican southern state of Quintana Roo won World Travel prizes in seven out of ten categories, a recognition
awarded by international travel agencies and multinational tourism companies. Among the prizes were the "Best
Tourism Destination" and "Best Beaches in North and Central America" awards.
AMH: Mexico’s Hotel Sector To Lose USD 4 Billion In 2009
September 27, 2009
According to Mexico’s Hotel Association (AMH), the country’s hotel industry will lose about USD 4 billion this year and
will end 2009 with USD 9.5 billion, down from USD 13.2 billion in 2008. AMH said that the main reasons for a deficient
performance are the global economic downturn, increasing violence and the international and domestic fear due to
the A/H1N1 influenza virus outbreak.
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Economy
President Calderon Attends G20 Leaders Summit In The U.S.
September 25, 2009
President Calderon attended the latest G20 Leaders Summit hosted by President Barack Obama in Pittsburgh and
pledged, along with his 19 remaining G20 counterparts, to take quick action to conclude long-running world trade
talks. The leaders vowed to send their top trade officials to meet by early next year to begin the final push for a deal.
In addition, Mexico and a group of around 100 developing countries—including G20 members Brazil, India, China,
Indonesia, Argentina, South Africa, South Korea and Turkey—issued a separate statement urging a deal based on a
package of proposed tariff and farm subsidy cuts already on the table. Mexico also proposed with Spain and
Argentina to recapitalize the Inter-American Development Bank (WB).
SHCP Sees Recession Easing As U.S. Consumer Demand Grows
September 25, 2009
According to the Finance and Public Credit Ministry (SHCP), Mexico’s recession, the most severe since the 1930s, is
showing signs of easing on growing consumer demand from the U.S. SHCP noted that in this year’s 3Q, Mexico’s
economy could contract 7% year-on-year, after shrinking 10.3% in 2Q. SHCP added that the July-through-September
period will have growth from the previous quarter because of rising demand for items, including housing and vehicles.
In August, retail sales in the U.S., which purchases 80% of Mexico’s exports, grew 2.7%.
Switzerland, Mexico Sign Double Taxation Agreement
September 22, 2009
The Swiss government announced it has signed a protocol with Mexico to amend the double taxation agreement
(DTA) in the area of taxes on income. Mexico is the seventh country with which Switzerland has signed a DTA
containing the extended administrative assistance clause in accordance with OECD standards. In addition to the
extension of administrative assistance, the Protocol of Amendment also contains further provisions of benefit to Swiss
businesses. The signing of the revised agreement was broadly welcomed by both countries.
INEGI: Private Spending Falls 9.6% In 2Q
September 21, 2009
According to the National Statistics Institute (INEGI), Mexican private spending fell 9.6% in 2Q compared with the
year-ago period. Aggregate demand, which includes private and government demand, gross fixed investment and
exports, dropped 14.8% in 2Q over the year-ago period. A fall in U.S. demand for its exports has sent Mexico into its
deepest recession since the 1930s. The economy plunged 10.3% in 2Q.
SHCP: Mexico’s EMBI+ Country Risk Falls For Third Straight Week
September 20, 2009
According to the Finance and Public Credit Ministry (SHCP), Mexico’s country risk measured through J.P. Morgan’s
EMBI+ index fell for the third straight week to 181 basis points (BP). The index fell 24 points when compared to
September 11’s measurement. The EMBI+ tracks returns for actively traded external debt instruments in emerging
market, and is also J.P. Morgan’s most liquid USD emerging markets debt benchmark.
INEGI: August Unemployment Rises To 6.3%
September 22, 2009
According to the National Statistics Institute (INEGI), unemployment in Mexico rose in August as the labor market
continues to feel the effects of the recession. INEGI’s figures indicated the unemployment rate rose to 6.28% in
August, the highest figure in more than 13 years, up from 4.2% in August 2008. INEGI said the August rate was the
highest since February 1996, when unemployment reached 6.3% as Mexico struggled to recover from the financial
collapse of 1995. The Labor and Social Welfare Ministry (STPS) said that the phenomenon is due to a large number
of students who looked for summer jobs unsuccessfully.
Inflation Cools In Early September, Banxico Holds Rates Steady
September 24, 2009
Mexican inflation cooled in early September, as recession made it harder for businesses to raise prices, although the
central bank (Banxio) is not expected to cut interest rates, because the economy could turn around soon. Consumer
prices rose 5% in the 12 months through September 15, down from a 5.12% 12-month rate in early August. Prices
increased 0.39% in the first half of September, in line with the market consensus. Banxico warned recently about an
increased threat of inflation while holding borrowing costs steady, saying the economy is emerging from a severe
recession.
AMLO Presents Alternative 2010 Federal Budget Proposal
September 22, 2009
Former presidential candidate and self-proclaimed "Legitimate President of Mexico" Andres Manuel Lopez Obrador
(AMLO) submitted his alternative 2010 federal budget proposal, including measures such as eliminating special fiscal
regimes like the exemption of paying taxes on sales of companies’ assets on the Mexican Stock Exchange (BMV),
the existence of low taxes on dividends—below U.S. levels—and abusive rates of fiscal deductions from donations,
among others. The proposal also suggests eliminating resources budgeted for private medical attention, the
government’s special savings account and the extraordinary benefits awarded to high-level public officials.
SHCP Asks Congress To Change Law, Allow It To Confiscate Tax Evaders’ Property Without Previous Notice
September 24, 2009
The Finance and Public Credit Ministry (SHCP) announced that in order to efficiently raise fiscal collections in these
times of crisis, it will ask Congress to make legal changes to article 145 of the Federation’s Fiscal Code to allow it to
confiscate tax evaders’ properties without previous notice or make arbitrary deductions from their bank accounts.
Article 145 currently compels SHCP to warn evaders about embargoes and allows them to withdraw funds from their
accounts before the due amounts are taken by the government.
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Border & Migration
PRC Survey: Pull Of The U.S. Is Still Strong Inside Mexico
September 24, 2009
According to a survey published by U.S. nonpartisan group Pew Research Center (PRC), in spite of high
unemployment in the U.S. and strict border enforcement, one-third of Mexicans said they would move to the U.S. if
they could, and more than half of those would move even if they did not have legal immigration documents. The
United States still exerts a powerful attraction for Mexicans, the survey found, with 57% saying that those who leave
home to settle there have better lives, while only 14% say life is worse in the U.S.
BP: Cartels Kidnap, Kill Migrants Headed To The U.S.
September 22, 2009
According to the U.S. Border Patrol (BP), many migrants trying to cross illegally into the U.S. are kidnapped on the
Mexican side of the border by drug cartels seeking to use them for smuggling. BP said some make it to safe houses
in U.S. cities such as Phoenix but are then prevented from leaving until they drum up more money. Others are
abducted by rival gangs who storm the houses. The cartels’ diversification into migrant trafficking poses another
challenge to President Calderon as he fights a war that has killed more than 14,000 people since he took office in late
2006.
U.S. Closes Mexico Crossing After Shooting
September 23, 2009
U.S. authorities closed the San Ysidro border crossing between the Mexican city of Tijuana and San Diego for several
hours after a shootout between U.S. agents and suspected Mexican people traffickers that tried to enter the U.S. with
illegal immigrants in vans. U.S. agents fired at three vehicles packed with about 70 illegal immigrants that tried to
evade heavy security and cross into the United States. The port, which is the world’s busiest land border crossing,
remained closed for several hours. Three people in the vans and a motorist were wounded.
PHC: U.S. Hispanics Lag In Health Insurance
September 25, 2009
According to a survey by the Pew Hispanic Center (PHC), 6 out of 10 U.S. Hispanic illegal immigrants lack health
insurance, more than twice the rate for legal Latino residents and citizens and three times the average for the
population as a whole. The survey, which drew on a nationally representative sample of 4,013 U.S. Latinos in 2007,
found 60% of adult Hispanic illegal migrants lacked health insurance. The study found that 28% of adult Hispanics
who are either legal permanent residents or U.S. citizens go without health insurance, compared to 17% of the U.S.
adult population as a whole.
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Politics
Calderon Calls For Global Nuclear Disarmament
September 24, 2009
President Calderon exhorted the international community during a United Nations’ Security Council meeting to start a
global nuclear disarmament campaign, as he considers it to be the only truly effective way to achieve the
nonproliferation of nuclear weapons in the world. Calderon added that lasting international peace cannot be built on
an international system dominated by fear and armament races. Calderon also suggested conventional disarmament
and added that small weapons cause about 1,000 deaths and 3,000 wounded every day worldwide.
Survey: Public Approval Of President Calderon Falls
September 24, 2009
According to a quarterly survey by a local newspaper, the public’s approval of President Calderon’s administration
has fallen to 6.71 over 10, down from 7.02 over 10 in the previous issue of the poll. Overall figures indicate that 54%
of the population over 18 approves of his performance, 3% more than the latest survey’s results, but 27% gave him
failing grades, 12% more than those that had answered alike in the previous issue of the poll.
Iran Says It Seeks To Improve Relationship With Mexico
September 25, 2009
Iranian President Mahmoud Ahmadineyad said during a United Nations’ (U.N.) General Assembly meeting that one of
his following objectives is to improve his country’s bilateral ties with Mexico and that he will seek to deepen his
government’s relationship with the rest of Latin America. Ahmadineyad said that Mexico and Iran are linked by a
friendly relationship within a framework of respect and mutual interests.
Mexico Ranks Second In Political Corruption Worldwide
September 25, 2009
According to Transparency International (TI), the global civil society organization leading the fight against corruption,
Mexico is the second most politically corrupt country in the world, behind only Russia. A report by TI said that the
corrupt practices include bribing low-ranking public officials to accelerate procedures and the use of personal or family
relationships to obtain public concessions or contracts.
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Justice, Safety & Crime
U.S. Ambassador To Mexico: Drug Trafficking Is Hemispheric Problem
September 25, 2009
According to Carlos Pascual, the U.S. Ambassador to Mexico, drug trafficking and violence resulting from the
operations of criminal organizations are not only binational problems from the U.S. and Mexico, but a hemispheric
issue. Pascual hence called on the governments of the Americas to individually and jointly boost efforts in the fight
against crime to ensure a lasting environment of trust, peace and security.
Senate Ratifies President Calderon’s Election Of New Attorney General
September 25, 2009
The Senate ratified Arturo Chavez, President Calderon’s proposed man for the Federal Attorney General post, in a
75-27 vote. The divided ballot followed questioning of his performance as a state prosecutor in the 1990s while
investigating the killings of hundreds of women in Ciudad Juarez, in the state of Chihuahua. Chavez, 49, belongs to
the governing National Action Party (PAN) and replaces Eduardo Medina Mora as the nation’s top law enforcement
official and a key figure in the war on drugs.
U.S. DOS: Mexico Has Top Crime-Fighting Facilities Ready To Start Operating
September 21, 2009
According to the U.S. Department of State (DOS), Mexico’s Federal Public Security Ministry (SSPF) has three out of
ten planned anticrime mega complexes ready to operate. The DOS said in its report, to be given to President Obama
so that he can appear before the U.S. Congress and provide updates regarding the drug-producing countries in the
world, that the facilities are equipped with Black Hawk helicopters and have a capacity to respond to any security
emergency across Mexico. The DOS said it did not have further details on the complexes.
PRC: 30% Of Mexicans Would Approve Presence Of U.S. Troops On Mexican Soil
September 27, 2009
According to a poll by U.S. nonpartisan group Pew Research Center (PRC), 30% of the surveyed Mexicans said that
they would approve of the existence of U.S. military bases and troops on Mexican soil, as they believe it would
definitively solve the security issues that arose due to the recent crime wave. Meanwhile, 78% of respondents to the
poll said that they are optimistic about the U.S. military training Mexican security forces and 63% approved of the U.S.
financial aid and equipment supply to Mexico to fight drug cartels.
U.S. Targets Mexican Drug Cartels’ Operatives
September 27, 2009
U.S. police arrested 70 people in Phoenix and seized guns, cash and kidnapping paraphernalia in a sting operation
targeting violent criminals linked to the Mexican drug trade. In recent months Phoenix has gained notoriety as the
U.S. "kidnap capital," averaging about one daily abduction linked to violent criminal gangs in the lucrative crossborder
drug trade from Mexico. The four-month undercover operation by agents of the U.S. Bureau of Alcohol,
Tobacco, Firearms and Explosives and Phoenix police also seized USD 39,000 in cash, together with ballistic vests,
plastic restraints, duct tape, gloves and ski masks.
Army Raid Secures Cash Addressed To Police
September 22, 2009
Soldiers raiding a drug gang safe-house in northern Mexico found money-stuffed envelopes earmarked for various
police forces and one marked for "press." Four people were arrested and USD 5 million in U.S. and Mexican currency
was seized during the raid in the industrial city of Monterrey, in the state of Nuevo Leon. Soldiers, acting on an
anonymous tip, also seized drugs, money-counting machines, cell phones and five vehicles.
SEDENA: Army Desertion Falls 45%
September 21, 2009
According to the National Defense Ministry (SEDENA), desertion from the army fell 45% during the past year, a trend
that experts believe to be a result of the global economic downturn, and due to a better recruitment system, better pay
and more benefits. SEDENA said that desertions fell from 16,641 in 2007 to 9,112 last year.
Authorities Capture Leader Of Kidnapping Rings
September 23, 2009
Federal police announced the capture of Abel Silva Petriciolet, leader of the kidnapping ring that bears his second last
name and the "Los Tiras" ring, which disbanded in 2005. Silva’s crime groups are responsible for at least 22
abductions, plus others that might not have been denounced, and several murders. Silva’s rings kidnapped about 10
minors, among whom were the sons of two powerful Mexican businessmen and who were executed even when the
ransom had been paid.
U.S. Extradites Kidnapping Suspect To Mexico
September 26, 2009
The U.S. has extradited to Mexico a woman wanted in a kidnapping that grabbed headlines after the victim’s mother
outperformed police in finding several suspects. The U.S. Attorney General’s Office said that Brenda Quevedo, a
suspect in the 2005 kidnapping of Hugo Alberto Wallace, is in the custody of Mexican federal authorities. Quevedo
was arrested in Louisville, Kentucky, in 2007 after Wallace’s mother, Maria Isabel Miranda, received a tip and tracked
her down. Frustrated with investigators’ lack of progress in her son’s case, Miranda launched her own investigation,
tracking down five suspects, including Quevedo.
Police Arrest Five In Drug Rehab Executions
September 26, 2009
Police announced they have arrested five men accused of dozens of murders, including two mass killings at drug
treatment centers in the city of Ciudad Juarez, in the state of Chihuahua. Police say the men, members of the Sinaloa
cartel, are accused of 45 executions in Ciudad Juarez. They were arrested by law enforcement agents during a
routine street patrol.
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Health & Science
SSA Requests MXN 5 Billion To Address New A/H1N1 Outbreak
September 22, 2009
The Health Ministry (SSA) has requested Congress to approve funds for as much as MXN 5 billion to address a new
expected outbreak of the A/H1N1 influenza virus during next winter through the creation of a fund for sanitary
contingencies. SSA said that vaccines alone are expected to cost some MXN 2.5 billion and that further resources are
required to efficiently address an expected outbreak. So far, SSA has had to employ money from the Protection Fund
against Expenditures for Catastrophes, a branch of the government’s Popular Insurance (PI). SSA also said that a
reform is needed in order to provide funds from the PI individually rather than to families as a whole.
SSA Raises Alert On Influenza To Intermediate Level
September 22, 2009 The Health Ministry (SSA) has raised the national alert level on the A/H1N1 influenza to
intermediate, reinforcing measures to avoid a rapid and broad spread of the virus. SSA warned that if the numbers of
infections increase dangerously, a contingency plan such as the one implemented in April might be set up again.
IMSS Launches Biannual Scheme For Medicines’ Tenders Through Recurrent Discount Offers
September 23, 2009
The Mexican Social Security Institute (IMSS) announced it will start applying the new biannual scheme for medicines’
tenders through the Recurrent Discount Offers system. Three current tenders under this method are for a joint
amount of MXN 4.8 billion or 25% of the total planned tenders for 2010, for which IMSS has allocated MXN 20 billion.
Bidders will submit their proposals through the electronic reverse bidding scheme.
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Arts & Culture
UNESCO Declares Papantla’s Voladores As World Heritage
September 21, 2009
The United Nations Educational, Scientific and Cultural Organization (UNESCO) announced it declared Mexico’s
"Voladores de Papantla" (Papantla’s Flying Men), from the state of Veracruz, as Intangible World Heritage. The
formal announcement will be made shortly in Abu Dhabi, United Arab Emirates.
Federal Prosecutors Probe Possible Frida Fakes
September 22, 2009
Federal prosecutors said that they are investigating a claim that more than 1,000 items attributed to Mexican artist
Frida Kahlo were forged. The Federal Attorney General’s Office (PGR) said that the Diego Rivera and Frida Kahlo
Trust filed a complaint saying signed paintings, notes and drawings featured in two recent art history books are fakes.
The works in question come from a private collection and appear in two books, Finding Frida Kahlo and The Labyrinth
of Frida Kahlo: Death, Pain and Ambivalence. Katharine Myers at Princeton Architectural Press, the publisher of
Finding Frida Kahlo, said it plans to keep selling the book.
Banxico Issues Bills To Commemorate Mexico’s Independence Bicentennial
September 23, 2009
The central bank (Banxico) said that it issued 50 million MXN 200 special-edition bills to commemorate Mexico’s
Independence Day Bicentennial and 50 million MXN 100 special-edition bills to commemorate the 100th anniversary
of the country’s revolution.
Argentinean Senate Approves Expropriation Of Mural By Mexican Muralist
September 23, 2009
The Argentinean Senate announced that it approved the expropriation of the Ejercicio Plastico (Plastic Exercise)
mural by Mexican muralist David Alfaro Siqueiros, painted in Buenos Aires in 1933 and which was on the verge of
disappearance due to a serious lack of proper maintenance and care.
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