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Energy
SENER: Pemex Is On Track To Produce 2.5 Million B/D Of Crude In 2010
December 2, 2009
The Energy Ministry (SENER) said that state-owned oil company Petroleos Mexicanos (Pemex) is still on track to
produce an average of 2.5 million barrels a day (b/d) of crude oil in 2010. SENER added that Mexico relies on fossil
fuels for 90% of its electricity generation and needs to move to renewable sources. Pemex's average crude output for
the January-October period of this year was 2.61 million b/d, down from 2.81 million b/d in the same period of 2008.
PAN: Pemex's Losses Due To Illegal Extraction Of Crude Oil Surpass MXN 2 Billion
November 30, 2009
According to legislators from the National Action Party (PAN), as many as 190 clandestine crude-oil extraction spots,
from where felons withdrew as many as 2.88 million barrels of oil in 1H 2009, were discovered recently. Legislators
said that the losses amounted to approximately MXN 2 billion and represent a 10% increase when compared with
results for the same 2008 period.
STPS Upholds Liquidation Of LyFC
December 2, 2009
The Labor and Social Welfare Ministry (STPS) upheld President Calderon's decision to dissolve power utility Luz y
Fuerza del Centro (LyFC) and ruled out further negotiation over the move. STPS noted that the decree terminating
LyFC is final and cannot be reversed. Calderon ordered the utility's liquidation in October, citing inefficiencies in the
company's service amid the fiscal strain of the global economic crisis, and tasked the state-run Federal Electricity
Commission (CFE) with taking over its operations. The decision led to the dismissal of nearly 45,000 LyFC workers
and major protests from the Mexican Electrical Workers' Union (SME). Meanwhile, America's Unions Movement AFLCIO
and the Canadian Federation of Labor said Mexico's government broke the North American Free Trade
Agreement's (NAFTA) labor accord and other deals signed with the International Labor Organization (ILO) by illegally
firing over 44,000 workers. In addition, thousands of former workers of LyFC filled the streets of Mexico City and
marched on government offices demanding their jobs back. It was the third large-scale protest organized by SME and
its supporters since October.
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Trade & Investment
ProMexico Expects As Much As USD 11 Billion In FDI In Mexico In 2010
December 11, 2009
ProMexico, the governmental agency to boost exports, said it expects foreign direct investment (FDI) in Mexico to
amount to approximately USD 11 billion next year. ProMexico's Investment Promotion and International Business Unit
said that the institution's 85-project portfolio for next year would guarantee the aforementioned sum would be invested
in the country.
ProMexico: France Remains Confident To Invest In Mexico
November 30, 2009
According to ProMexico, France quadrupled its investments in the country during the first nine months of the year by
adding USD 195.7 million. At the opening of the France-Mexico Business Meeting 2009, the agency stated that there
is a current investment boom that will continue through 2010, when France plans to invest about EUR 200 million in
Mexico to develop new businesses. About 75 French companies went to Mexico as part of a trade mission within the
framework of the meeting and signed deals with as many as 286 local small and medium enterprises (SMEs). There
currently are 350 French firms in Mexico.
Mexico, Brazil Are Amongst Spanish Investors' Favorites
December 3, 2009
According to a report by U.S. financial, corporate and public affairs communications advisory firm Gavin Anderson &
Company, Mexico and Brazil are among Spanish investors' first investment destinations, since 60% of the analyzed
companies place their capital in those countries. Meanwhile, Brazil and Mexico are currently in talks on ways to
deepen bilateral commerce and focusing on items usually reunited in a free trade agreement (FTA).
Mexico To Invest USD 20 Million In World Expo Shanghai 2010
December 3, 2009
Mexico's government said it will invest USD 20 million to build a pavilion to be featured at the World Expo Shanghai
2010 in order to promote and boost Chinese investments in Mexico. Officials in charge of Mexico's exhibit at the Expo
said that the country is interested in Chinese firms’ investments in mining and other natural resources' sectors.
Mexico's 4,000 square-meter pavilion will feature six areas, including a business center, an exhibit area, a multipurpose
hall, a tourism-promotion module and a restaurant.
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Banking, Insurance & Finance
Mexico Stocks Close At 18-Month High As Dubai Worry Eases
December 1, 2009
Mexican stocks surged to an 18-month high as fears over Dubai's debt troubles eased, and U.S. housing and factory
data shored up hopes of a recovery in demand for Mexican exports. The IPC stock index rose 2.56% to end at
31,750.58 points, its highest closing level since May 30, 2008. In addition, the peso (MXN) strengthened 0.58% to
MXN 12.8625 per USD.
SHCP Names Pedro Ordorica As New Head Of Pension Regulator Consar
December 4, 2009
The Finance and Public Credit Ministry (SHCP) announced that, starting next January, lawyer Pedro Ordorica will
replace Moises Schwartz, the outgoing president of pension-fund regulator Consar. Moises Schwartz will now
represent Mexico at the International Monetary Fund (IMF). During his time as head of Consar, he implemented
measures that lowered the commissions that pension fund managers (Afores) charge contributors. Ordorica holds a
bachelor's degree in law and is currently Consar's vice president of legal affairs. Consar is responsible for supervising
the country's compulsory pension savings system.
NYSE Celebrates Mexico Day
December 1, 2009
The New York Stock Exchange (NYSE) celebrated "Mexico Day" for the second time, and stock authorities, along
with entrepreneurs from Mexican firms listed there and other U.S. businessmen, participated in The Opening Bell
ceremony at the Stock Exchange. Last year NYSE celebrated "Mexico Day" for the first time on March 25.
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Business & Industry
Coparmex: President Calderon Has Been Insensitive To Entrepreneurs' Proposals
December 1, 2009
Edgar Cerecero Lopez, the president of the Employers' Confederation of the Mexican Republic (Coparmex) said that
President Calderon has been insensitive towards proposals of the country's entrepreneurs, that he has been unable
to grasp the messages sent by the country's businessmen, and that he has been deaf to their recommendations as
he failed to boost the structural reforms the Nation needs. Cerecero said they had submitted suggestions for the
recently passed fiscal package oriented towards broadening the reach and spectrum of collections rather than
creating new taxes or increasing existing ones. Alternatively, Coparmex said Calderon has made accurate decisions
such as closing power utility Luz y Fuerza (LyFC) and battling drug cartels.
GISSA Signs Accord On USD 152 Million In Derivatives Debt
December 2, 2009
Mexican conglomerate Grupo Industrial Saltillo (GISSA) announced it signed an agreement with creditors to pay USD
152.4 million in claims on derivatives contracts held by the company. The derivatives claims will be paid back through
loans and equity. GISSA's creditors have agreed to swap a portion of the company's derivatives liabilities into two
eight-year loans, one for USD 48.4 million and a second loan for MXN 352.6 million. The loans carry a five-year grace
period on interest payments.
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Housing, Real Estate & Mortgaging
Financiera Independencia To Buy Finsol, Enter Brazil
November 30, 2009
Mexican consumer finance company Financiera Independencia announced that it has agreed to acquire rival
Financiera Finsol in a MXN 530 million deal that will boost its domestic operations as well as give it a presence in
Brazil via Instituto Finsol Brasil, which has 16 branches and a loan portfolio worth USD 16.4 million. Finsol specializes
in making small loans to groups of individuals. Independencia plans to issue 85 million shares through a capital
increase, the proceeds of which will be used to pay for the acquisition and to capitalize Finsol's subsidiaries for MXN
300 million. Independencia said the deal has been approved by its board of directors, and the capital increase will be
put to a vote by shareholders in the coming days. The acquisition will increase Independencia's loan portfolio by MXN
794.6 million and add 173,179 new clients.
Infonavit Hopes To Make 525,000 Mortgage Loans In 2010
November 30, 2009
Federal government-run housing fund Infonavit announced it will ask its board of directors to approve a program of up
to 525,000 loans in 2010, after missing its lending target this year. Infonavit said it will seek authorization for a goal of
between 475,000 and 525,000 mortgages next year. Infonavit expects to fall short of its 2009 goal of half a million
loans due to a shortage of homes and noted it might end the year with between 450,000 and 475,000 loans
originated. Infonavit accounts for more than half of all the home loans made in Mexico every year and is a key source
of support for the home-construction industry. The agency is funded by its lending operations, mandatory employer
contributions on behalf of the country's 13.9 million salaried workers, and mortgage bonds known locally as Cedevis.
Infonavit Launches Mutual Fund To Attract Small Investors
November 30, 2009
Infonavit announced it is launching a mutual fund of mortgage-backed securities to boost liquidity and help deepen
Mexico's capital markets. Infonavit, which in recent years started placing mortgage-backed debt to raise financing for
further lending, will start off the fund with MXN 200 million. The fund will be available through banks and brokerages
to Mexicans investing a minimum of MXN 20,000.
Homex May Expand Project In Brazil
November 30, 2009
Mexican homebuilder Homex announced that it may expand a 1,300-unit project in Brazil next year. Homex said that
Brazil alone is an opportunity that could become more important in the future, noting that it is analyzing the different
possibilities to expand that pilot in the Sao Paulo region. Homex could use as much as USD 100 million in cash
generated from the issuance of new stock in order to expand its Brazil operations.
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Construction & Infrastructure
Cemex Sees USD 446 Million Loss, Eyes Tax Fight
December 2, 2009
Mexican cement maker Cemex said it sees a USD 446 million loss from the sale of its Australian assets and could
also challenge a Mexican tax reform in the courts. Cemex, weighed down by falling sales and USD 15 billion in debt,
sold its Australian operations to Swiss rival Holcim for USD 1.76 billion in June, or about half what it paid for them in
2007. Cemex said the loss was due to the difference between the book value of the assets and the price at which it
sold them. In addition, Cemex said that Mexico's 2010 income tax increases are unconstitutional and the company
could take the government to court. Cemex says the reform, which seeks to improve Mexico's low tax take, will
require the company to pay taxes on its individual units that were previously consolidated in the group's total tax
declaration.
INEGI: 37,500 Employees From The Construction Sector To Lose Their Jobs
December 2, 2009
According to the National Statistics Institute (INEGI), a slowdown in Mexico's construction sector led the value of
production in that industry to fall by 7.9% in real terms in September when compared with the same 2008 month. As a
result, employment in the sector fell by 8.9% to 382,100 workers, down from 420,000, meaning 37,500 jobs were lost.
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Retail
Walmex To Acquire Wal-Mart Centroamerica
December 2, 2009
Walmex, the Mexican unit of U.S. retailer Wal-Mart Stores, announced it has agreed to acquire Central American
retailer Wal-Mart Centroamerica from its parent company and regional investors. The planned acquisition, for an
estimated USD 2.7 billion, will be submitted to a shareholder vote later this month; it will give Walmex an additional
519 stores and expand its operations to Guatemala, El Salvador, Honduras, Nicaragua and Costa Rica, representing
a USD 44.3 billion retail market of around 38.5 million inhabitants. Wal-Mart Stores owns 51% of Wal-Mart
Centroamerica and minority shareholders in the region own the rest. Meanwhile, Walmex said that same-sale stores
in November rose 2.1% year-on-year as higher customer traffic offset a drop in purchases. Total sales at Walmex
rose 8.8% to MXN 23.71 billion last month.
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Transportation
Mexico City Proposes Subway Fare Hike To Help Fund 2010 Budget
December 2, 2009
Mexico City's government proposed a controversial 50% increase in the cost of subway tickets, along with higher fees
and taxes, to fund its MXN 128.43 billion budget proposal for 2010. In addition to the controversial measure to raise
the subway fair to MXN 3 per ticket from MXN 2, Mayor Marcelo Ebrard proposed increasing water rates and charge
more in wealthier neighborhoods. The goal, Ebrard said, is to offset reduced funds from the federal government,
which has seen its own tax revenues crimped by a recession and declining production at state-run oil company
Pemex.
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Telecommunications & Technology
Cofetel: Mexico's Telecoms Activity Up 13.4% In 3Q
December 1, 2009
According to the Federal Telecommunications Commission (Cofetel), Mexico's telecommunications index rose 13.4%
in 3Q as growth in that sector's services outpaced the overall economy. Cofetel said, however, that the figure is 11%
lower than what was observed in the same 2008 period. Cofetel said mobile telephony, domestic long distance and
satellite TV services grew the most in 3Q, while paging and international long distance posted declines. Mobile
telephony traffic increased 18.7% in 3Q, compared to the same quarter in 2008. Incoming international long distance
traffic fell 7.6% while outgoing long distance traffic plunged 22.6%. Domestic long distance traffic rose 0.9%. The
telecommunication services index expanded 12.6% year-on-year for the first nine months of the year.
Congressional Aide: Vote On Mexico's Telecom Laws Delayed Until 2010
December 2, 2009
Senators will wait until next year to vote on a proposal to remove foreign-investment limits in fixed-line telephone
companies. Legislators are still debating a reciprocity clause in the plan that would restrict unlimited investment terms
to companies whose home countries offer the same to Mexico. The proposal will also have to be approved in the
lower house of Congress. With an eye to making Mexico's economy more competitive, President Calderon has urged
lawmakers to remove limits on foreign investment in Mexican fixed-line telephone companies. Meanwhile, the Federal
Telecommunications Commission (Cofetel) said that a new rival for Telcel, Mexico's largest player in the country's
mobile telephony industry, might not start operating before 2012.
America Movil's Subsidiary In Chile Is Eyed By Authorities On Deficient Services
December 2, 2009
Claro, the Chilean subsidiary of Mexico's mobile telephony giant America Movil might be sanctioned by Chile's
National Service For Consumers (SERNAC) due to deficient services as clients reported signal failures three different
times within a month. SERNAC said that it is mulling different outcomes to the issue to guarantee the affected
customers will be fully taken care of by the firm and that the failures won't happen again.
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Media & Entertainment
CFC Fines Televisa MXN 47 Million
December 1, 2009
The Federal Competition Commission (CFC) decided to fine Mexican media conglomerate Grupo Televisa MXN 47
million for refusing to let cable operator Telecable Centro Occidente transmit its channels, the latest in a push to boost
competition in the sector. CFC, which accused Televisa of monopolist practices, has not yet published details of the
ruling. Televisa controls about 70% of the broadcast television market share in Mexico, with TV Azteca accounting for
most of the rest. That puts any cable company that cannot offer Televisa's programming at a disadvantage. Televisa,
which may appeal the resolution, had no immediate comment.
Televisa Unveils Broadcast Plans For 2010 South Africa Soccer World Cup
December 2, 2009
Mexican media conglomerate Grupo Televisa is launching an aggressive online initiative to cover the upcoming 2010
South Africa Soccer World Cup, including the live streaming of key matches, which could mean up to USD 15 million
in advertising revenue. Televisa, the world's largest producer of Spanish-language content, announced it will air 30
soccer matches for free in Mexico on its sports website, TelevisaDeportes.com. Televisa has said it is interested in
launching a cell phone network in Mexico and is expected to participate in frequency auctions next year in a renewed
effort to expand outside its core broadcast television services.
Dish-Sky Competition Increases Satellite TV Services Growth By 32%
December 2, 2009
The current and fierce competition between Mexican media conglomerate Grupo Televisa's satellite TV services firm
Sky and Dish Mexico—a venture between MVS Comunicaciones and set-top provider EchoStar—has led such
services to grow at a 32% rate during 3Q, the highest growth rate in the past eight years. The number of satellite TV
subscribers amounted to some 2 million in September, according to a report by the Federal Telecommunications
Commission (Cofetel).
CANITEC: Cable TV Firms To Grow By 16% In 2009
December 2, 2009
According to Mexico's Cable TV Industry Chamber (CANITEC), the recent supply of triple play services by the
country's cable TV firms increased the demand for their products and will lead the industry to an estimated growth of
16% by the end of the year. CANITEC said cable TV providers expect to jointly have 7 million subscribers to cable TV
services, 1.7 million subscribers to internet services and about 800,000 subscribers to telephony services.
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Farming & Agriculture
Reports: Mexican Farmers Report Losses For USD 54 Million On Labeling Issues
December 2, 2009
According to analysts and press reports, a lack of bilateral agreements and specifications between the U.S. and
Mexico regarding country-of-origin labeling (COOL) for agricultural and livestock products has led Mexican farmers to
lose as much as USD 54 million per year. The issue encouraged The Ministry of Economy (SE) to seek the World
Trade Organization's (WTO) intervention to set a series of consultations with the U.S. regarding the COOL rules it
applies to meat products and which Mexico considers to be discriminatory.
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Hospitality & Tourism
CANIRAC: Restaurants Lose As Much As MXN 15 Billion On National Concerns
December 4, 2009
The National Restaurant Industry and Spiced Foods Chamber (CANIRAC) said that the restaurant sector has lost
about MXN 15 billion so far this year due to national concerns such as the A/H1N1 influenza virus outbreak in April
and the measures taken by the government to prevent its spread, in addition to security issues resulting from the
country's current crime wave and a recently passed law preventing customers from smoking in restaurants. In
addition, some restaurants absorbed the recently passed increase on beer. The loss represents a 10% increase when
compared to the same 2008 figure.
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Economy
Banxico: Remittances To Mexico See Record Drop In October, Fall 36%
December 4, 2009
According to the central bank (Banxico), remittances to Mexico fell 36% to USD 1.69 billion in October from USD 2.64
billion in the same month last year, the largest drop since the government began keeping records of remittances in
1996. The October numbers were also lower than the USD 1.74 billion that Mexican workers sent home in
September. Remittances for the first 10 months of the year fell 16% from the year-earlier period, to USD 18.13 billion.
After peaking in 2007 at USD 26.07 billion, remittances fell 3.6% last year to USD 25.14 billion.
SHCP: January-October Fiscal Deficit At MXN 179.6 Billion
November 30, 2009
According to the Finance and Public Credit Ministry (SHCP), Mexico ran up a fiscal deficit of MXN 179.6 billion in the
first 10 months of 2009 as the government increased spending to counter a recession, while oil and tax revenue fell.
SHCP specified that revenue fell 11.7% to MXN 2.199 trillion from the January-October period of 2008, with oil
income falling 28% and non-oil tax revenue down 12.4%. Public sector spending in the 10-month period rose 5% to
MXN 2.380 trillion. The drop in oil revenue on lower export volumes and prices will be partially compensated with
money from hedges that the government took out last year to guarantee a minimum export price of USD 70 a barrel.
Banxico: 2010 Inflation Could Be Expected At 4.86%
November 30, 2009
According to the central bank's (Banxico) monthly poll of economists and analysts in late November inflation
expectations jumped to 4.86% in 2010 compared to a forecast of 4.54% a month earlier. Meanwhile, underlying
inflation is expected to reach 4.51% next year. Meanwhile, the Organization for Economic Cooperation and
Development (OECD) said that Mexico's 4.5% inflation rate in October was among the 30 member institution's
highest.
Mexican Stocks Rally As JP Morgan Chase Recommends Buying
December 2, 2009
Mexico's stock rallied as U.S. financial services firm JP Morgan Chase upgraded them to "buying." An ease on
Dubai's recent debt worries also led the IPC stock index to rise 2.56% ending at 31,750.58 points, its highest closing
level since May 30, 2008. In addition, the peso (MXN) strengthened 0.58% to MXN 12.8625 per USD.
INEGI: Consumer Confidence Rises Slightly In November
December 4, 2009
According to the National Statistics Institute (INEGI), Mexico's consumer confidence rose slightly in November from
October but remained below year-ago levels, suggesting the nascent economic recovery has yet to be felt by local
households. INEGI said its consumer confidence index rose to 78.2 last month from a record-low 77.0 in October.
The index was 83.9 in November 2008. Consumers surveyed by INEGI last month were more pessimistic than in
October about their ability to buy big-ticket items, such as electric appliances or furniture. They were also more
pessimistic about their current household economic situation.
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Border & Migration
Calderon Discusses Migration Reform Proposal With L.A. Mayor Villaraigosa
December 4, 2009
President Calderon discussed U.S. President Barack Obama's efforts to promote an integral migratory reform with
Los Angeles Mayor Antonio Villaraigosa at Mexico's Los Pinos official presidential residence. Both leaders talked
about initiatives that could boost economic growth and cooperation at the federal and local levels to protect the most
vulnerable victims in the migration process. Mayor Villaraigosa has said he supports the passage of an integral
migration reform.
CONAPO: Mexican Emigration To The U.S. Increases Threefold In Last 3 Years
December 4, 2009
According to the National Population Council (CONAPO), the number of Mexicans emigrating to the U.S. every year
has increased threefold in the past 30 years and stood at 460,000 at last count, up from 136,000. Some U.S. states
that weren't too attractive for Mexican immigrants, such as North Dakota, have seen Mexican immigrants’ arrival rise
by as much as 700%. Meanwhile, Human Rights Watch (HRC) said that according to figures from the U.S.
Immigration and Customs Enforcement (ICE), the number of illegal immigrant detentions increased to 369,483 last
year, increasing almost twofold when compared to figures from ten years ago. The report indicated that 40% of those
detained were Mexican.
Mexico City Police Free 107 Workers In Slavery Conditions
December 4, 2009
Authorities reported that Mexico City's police freed 107 people who were forced to work under slave-like conditions in
a clandestine factory making shopping bags and clothing clasps. Police raided the factory, which was hidden inside
an alcohol and drug rehabilitation center, after a worker escaped and informed authorities. Twenty-three people were
arrested for human trafficking and the victims were being exploited; some even sexually abused and suffering from
dehydration and malnutrition. Some others had cuts and broken bones. Most were from indigenous communities and
didn't speak Spanish. They were abducted or lured from communities across Mexico and taken to the St. Thomas-
The Chosen by God rehabilitation center. The freed workers, whose ages ranged from 14 to 70, were forced to work
16 hours a day.
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Politics
President Calderon To Propose Reelecting Legislators And Mayors
December 4, 2009
President Calderon said he will submit five structural reform proposals to Congress to make deep changes in Mexico,
including politics, energy, telecommunications, administrative procedures, and labor. President Calderon caused an
uproar with a suggestion to reelect legislators and mayors at the federal level to allegedly compel them to report their
administrations’ performances with details.
Polls, Reports: Mexicans Perception Of Calderon Administration Worsens
December 4, 2009
According to recently published polls and press reports, Mexico's public opinion of President Calderon's
administration has been worsening lately, with increasing poverty, insecurity, political conflicts and economic woes.
Public opinion's belief and tolerance toward Calderon's administration seems to have eroded at a hasty pace during
the middle of his six-year term, although 40% of those surveyed still hope he will be able to lead the country to a
better situation in 2012.
SRE: Mexico Is Reelected As Member Of The FAO's Board
December 4, 2009
According to the Foreign Affairs Ministry (SRE), Mexico was reelected as a member of the Food and Agriculture
Organization's (FAO’s) Board for the 2011-2013 period. Mexico's candidacy was supported by Latin America and the
Caribbean's Regional Group. According to sources, Mexico's reelection reflects the country's leadership as one of the
main contributors to the United Nations' (UN’s) budget.
President Calderon Travels To Portugal For Estoril Meeting
December 4, 2009
President Calderon traveled to Portugal to attend the XIX Ibero-American Summit of Leaders in Estoril, amid divided
points of view among present nations regarding the recent events that occurred in Honduras. President Calderon also
met with lbero-American leaders and held discussions ahead of the Copenhagen meeting on environment.
Konrad Adenauer/Polilat: Mexico Is Fifth Among Latin America's Most Democratic Nations
December 4, 2009
According to German research foundation Konrad Adenauer and Argentine consultancy group Polilat, Mexico is Latin
America's fifth most democratic nation, only below Chile, Costa Rica, Uruguay, and Panama. Researchers reporting
results from the investigation at both institutions said that the main threats to Mexico's democracy are drug trafficking
and organized crime, in addition to the deficient quality of public institutions.
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Justice, Safety & Crime
Ambassador Pascual: U.S.-Mexico Drug War Aid On Track
December 3, 2009
U.S. ambassador to Mexico Carlos Pascual said that programs to provide more than USD 1.1 billion in equipment
and training to help Mexico fight organized crime are on track. Ambassador Pascual's comments followed the release
of a U.S. government report indicating that only about USD 24 million of the aid had been spent by the end of
September. The U.S. Congress appropriated the first USD 400 million for Mexico as part of the Merida Initiative in
June 2008. Pascual said expenditures had increased several times since the report was completed and noted that
five new helicopters would be delivered to Mexico in a matter of weeks. Another report by the U.S. Government
Accountability Office indicates, however, that while nearly all of the USD 1.4 billion pledged in October 2007 as part of
the Merida Initiative has been appropriated by Congress, only about 2% was spent as of September 30 because of
red tape.
President Calderon: Cartels Bribe Future Officials With Campaign Funds
December 2, 2009
President Calderon said that cartels are seeking to control territory by sinking drug money into political campaigns
and buying off officials before they are even elected. Calderon suggested reforms are needed to make local officials
more accountable, including allowing them to stand for reelection—giving them more reason to answer to
constituents—and more closely supervising cash used in campaigns. Calderon noted that "the main and most
practiced method used by criminals is to make contact with officials before they are elected, by financing their
campaigns." Calderon said such corruption is aimed mainly at local officials, because drug and crime gangs now want
to control specific territories for street-level drug sales and need the help of local authorities to do so.
Murder Of Protected Witness Prompts Mexico To Review Protection Program
December 2, 2009
Federal prosecutors said they will review their witness protection program after gunmen killed drug case informant
Edgar Bayardo in a Starbucks coffee shop in Mexico City. The Federal Attorney General's Office (PGR) said
prosecutors will review whether protected witnesses should be forced to be accompanied by bodyguards, among
other things. Currently, protected witnesses are not obliged to have bodyguards when they leave government safe
houses. The decision came after gunmen killed Bayardo, who was accompanied only by a personal assistant who
was wounded in the attack. Bayardo was a former federal police investigator who was detained in 2008 on suspicion
of collaborating with the Sinaloa drug cartel. After his arrest, Bayardo became a witness in a drug corruption case
against government officials that reached all the way to Mexico's former drug czar, Noe Ramirez.
Ciudad Juarez's Inhabitants Demand That Army Leave
December 6, 2009
Approximately 5,000 people marched through Ciudad Juarez on the U.S. border, many with white balloons and
holding signs saying "leave Juarez, soldiers and federal police." Thousands of people demanded that soldiers leave
Ciudad Juarez, Mexico's most violent city, accusing troops of provoking a surge in drug-war killings and running
protection rackets. Gruesome drug killings have surged in Ciudad Juarez since President Calderon sent in 10,000
troops and federal police to crush warring cartels in March, according to police and media tallies. After being received
as heroes, the army has lost public support as the city's death tally from cartel violence has risen to 2,400 so far this
year, compared with 1,600 in all of 2008.
Authorities: Two Shootouts In Mexico Leave 13 Dead
December 5, 2009
Authorities said that a pair of shootouts between troops and gunmen in northern Mexico killed 13 people, including a
bystander and Ricardo Almanza Morales, a hit man accused of working for the Zeta drug gang and linked to the
murder of Brig. Gen. Juan Arturo Esparza and his four bodyguards in a November attack. Both shootouts happened
in the northern city of Monterrey, in the state of Nuevo Leon.
Congress Appoints Aguilar And Zaldivar As New SCJN Ministers
December 1, 2009
Congress appointed Luis Maria Aguilar Morales and Arturo Zaldivar Lelo de Larrea as new Ministers of the Supreme
Court (SCJN), replacing Mariano Azuela Güitron and Genaro Gongora Pimentel. Both Aguilar Morales and Zaldivar
studied law at Mexico's National Autonomous University of Mexico (UNAM). Mr. Aguilar has occupied important
positions in Mexico's judicial system and has written several law books and articles, while Mr. Zaldivar teaches
Constitutional and Amparo Law at the Panamerican University and the Escuela Libre de Derecho.
DEA: Mexico Police Find Border Tunnel From Tijuana To San Diego
December 2, 2009
The U.S. Drug Enforcement Administration (DEA) says Mexican authorities discovered an incomplete tunnel that
extends into San Diego and is equipped with a lift system, ventilation and lighting. The DEA said that the tunnel runs
nearly 1,000 feet from its entry in Tijuana, Mexico, including 860 feet into the United States. There is no exit on the
U.S. side. The DEA says Mexican authorities arrested more than a dozen people inside the tunnel, which reaches a
depth of 90 to 100 feet and is believed to have been under construction for about two years.
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Sports
Mexico To Inaugurate 2010 World Cup Against Host South Africa
December 2, 2009
Mexico will inaugurate the 2010 soccer World Cup in South Africa on June 11 by playing against the host's national
team. The other two rivals in Mexico's Group A are Uruguay and France.
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Arts & Culture
Mexican Writer Jose Emilio Pacheco Wins Cervantes Literary Award
November 30, 2009
Spain's Culture Ministry said that Mexican writer Jose Emilio Pacheco has won the Cervantes Prize, the Spanishspeaking
world's highest literary honor. The 70-year-old poet, novelist, journalist, essayist and literary critic said he
was overwhelmed by the award. Pacheco, a Mexico City native, is widely regarded as one of the country's foremost
poets and short narrative writers, and a leading representative of the generation that came of age in the late 1950s
and 1960s.
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Environment
Mexico Issues Proposal For Cutting Polluting Emissions
November 30, 2009
President Calderon proposed during the Ibero-American Summit in Estoril, Portugal, to create a "green fund" by
which developed countries would help finance efforts to reduce greenhouse gases in the developing world. Calderon
said that the fund he proposes, which was supported by Spain, could raise EUR 150 billion over ten years. Mexico
said the proposal will be presented at the U.N.-sponsored climate change conference, scheduled for December 7
through 18 in Copenhagen, Denmark.
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Other
GDF Sets Organizing Committee For World Congress Of Cities
November 30, 2009
Mexico City's government (GDF) announced that it set up the organizing committee for the Third World Congress of
Cities and Local Governments that will be held from November 17 through 20, 2010, in Mexico City and will feature
the presence of over 3,000 mayors from cities across the planet.
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