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Energy
CFE To Facilitate Distribution Of "Green" Energy
March 17, 2010
Under a new contractual scheme developed by the Energy Regulatory Commission (CRE), the Federal Electricity
Commission (CFE) will be able to provide distribution services to residential and small businesses that generate solar,
wind, hydraulic or geothermic-based electricity in capacities as small as 10 kilowatts.
CFE Obtains US$273 Million From Japanese Banks
March 22, 2010
The Federal Electricity Commission (CFE) stated that it secured US$273 million from Japanese banks Bank of Tokyo,
Mitsubishi and Sumitomo Bank as well as Japan's export entity JBIC for the partial financing of a coal-fueled power
plant, and will issue US$338 million in local bonds to complete the US$611 million investment. The Carboelectrica del
Pacifico plant in the southern state of Guerrero, which can also use fuel oil and has a generating capacity of 651
megawatts, was awarded to Mitsubishi back in 2005 for delivery this year. The plant was built as a financed public
project in which the contractor finances the construction stage and is paid by CFE upon completion.
ICA-Fluor Signs Contract With Pemex For Two Refineries
March 24, 2010
The ICA-Fluor joint venture signed a US$622 million contract to do engineering, construction, installation, testing and
start-up work for two plants to produce low-sulfur gasoline at existing refineries in Minatitlan, Veracruz, and Salina
Cruz, Oaxaca. Both projects include 25,000 barrel-per-day catalytic distillation trains, the associated amine
regeneration units and all ancillary facilities. The work is scheduled to be completed by mid-2013.
Gas Natural Receives Authorization To Extend Distribution Network
March 17, 2010
Spanish company Gas Natural received approval from the Energy Regulatory Commission (CRE) to expand its
natural gas distribution network to include the "Guanajuato Puerto Interior" industrial complex, in the municipality of
Silao in the state of Guanajuato. The network will be extended by 2,166 kilometers to reach a total of 4,066
kilometers.
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Mining
Vedanta Revives Battle For Asarco
March 15, 2010
Sterlite, a subsidiary of UK-listed miner Vedanta, has joined the U.S.-based United Steelworkers union in an appeal
against a court decision that handed bankrupt U.S. copper producer Asarco to its previous owner Grupo Mexico.
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Trade & Investment
Foreign Trade Rises 31.2%
March 25, 2010
During February, total exports reported an annual increase of 31.2%, which resulted from increases of 69.8% in oil
exports and 26.8% in non-oil exports, according to National Statistics office INEGI. Non-oil exports to the U.S. grew
by 25.4% and for the rest of the world 32.5%, and were composed mainly of mining, automotive, home appliances
and plastic products.
Safran Inaugurates Mex$2 Billion Aeronautical Plants
March 17, 2010
President Felipe Calderon inaugurated two new Safran group factories in Queretaro, representing an investment of
nearly Mex$2 billion. One plant belongs to Messier-Dowty, a firm specializing in the manufacture of landing
undercarriage systems, and the other to Snecma Propulsion Systems, which produces airplane engines. Calderon
indicated that over the past two years Mexico has become the world leader in attracting new investment in
aeronautical projects, with a sector that now comprises over 200 firms that produce quality jobs for approximately
30,000 people in the country.
EADS Considering Opportunities In Mexico
March 19, 2010
European Aeronautic Defence and Space Company (EADS) said that it is looking at business opportunities in Mexico
as part of a global search for sites to expand outside of Europe. French weekly newsletter La Lettre de l'Expansion
reported that EADS is considering transferring part of its production to Mexico to address unfavorable foreign
exchanges. The newsletter said the company plans to invite European suppliers to the international aeronautics
conference in Guadalajara from October 4 to October 8 to encourage them to set up operations in the country.
Mabe Will Invest US$17.5 Million In Argentina
March 19, 2010
Francisco Berrondo Avalos, general manager of home appliances company Mabe, announced that he will invest in
Argentina US$17.5 million in the period from 2010 to 2011. A press release from Argentina's Ministry of Industry and
Tourism communicated that this investment will be destined to install a manufacturing line for washing machines in
the two plants that the Mexican company owns in the outskirts of Buenos Aires and in the province of San Luis. Mabe
will also use this investment to increase its production of kitchens and refrigerators.
Arhesty Mexicana Grows In Zacatecas
March 22, 2010
Arhesty Mexicana announced an investment of US$80 million for the expansion of its smelter, located in the state of
Zacatecas, for the production of auto parts for the automotive industry. Total investment in the plant, which began
operations in 2006, will thus reach US$200 million.
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Banking, Insurance & Finance
IMF Approves US$48 Billion Credit Line
March 26, 2010
The International Monetary Fund (IMF) has approved a US$48 billion successor credit line for Mexico, though it
stressed it did not expect the line to be drawn on. The one-year arrangement is a successor to a US$47 billion line
extended to Mexico by the IMF last year under a scheme established to throw a cash lifeline to countries hit by the
global economic crisis. John Lipsky, acting chairman of the IMF's executive board, praised Mexico's "sustained record
of sound economic policies" and "very strong economic fundamentals and frameworks."
Canada And Mexico Prepare Bourse Accord
March 25, 2010
The Mexican and Canadian stock markets will seek a dual listing agreement according to an announcement by
business development director Janis Koyanagi from the Toronto Stock Exchange (TSX) during the Canada Day
celebration at the Canadian chamber of commerce in Mexico. Additionally, investors will be able to access other
services of the exchanges, such as financing. The announcement was echoed by Luis Tellez, president of the
Mexican Stock Exchange.
Mexico Bank Loans Stagnated In January, February, After Q4 Increase
March 28, 2010
Bank loans in Mexico stagnated in the first two months of this year after experiencing a large increase in last year's
fourth quarter. In last year's fourth quarter, loans surged, driven mainly by mortgage, commercial and public sector
lending increases. The weak economy and tougher credit standards kept consumer lending levels down. Mortgage
and public sector lending grew in January and February of this year, but those gains were offset by falling commercial
lending and weak consumer lending, including credit card lending.
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Business & Industry
Cemex Seeking Purchases In The U.S.
March 23, 2010
Cemex is leading the creation of a fund called Blue Rock Cement which is seeking to raise US$500 million in order to
purchase cement assets in the U.S., Africa and Asia, by providing US$100 million, or 20%. The remaining US$400
million is expected to be raised among some 50 institutional investors. Cemex will have a preferred option to
purchase assets in the fund for a period of five years. Cemex is being advised by investment bank Lazard.
Steel Sector To Invest US$10 Billion Over Next Five Years
March 26, 2010
The steel sector announced the investment of US$10 billion over the next five years, but called on the federal
authorities to present energy, labor and fiscal reforms that generate greater certainty in order to avoid investment
flight.
Big Cola Is Hoping To Export To The U.S. In 2010
March 17, 2010
Ajegroup, the manufacturer of Big Cola in Mexico, invested US$6.5 million in its new plant in Culiacan in the state of
Sinaloa. With the new plant, the company expects to service the northwestern states of Baja California, Sinaloa,
Chihuahua, Durango, Sonora and Coahuila as well as prepare to export into the U.S. The new plant, which is the
group's 6th plant in Mexico and the 26th worldwide, has a 9 million liter-per-month capacity, which represents some
250,000 cases.
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Automotive
Car Exports To Canada Grow
March 18, 2010
During the first two months of 2010, exports from Mexico to Canada grew 87.2% and accounted for 8.1% of Mexico's
automotive production sent to North America, compared with 6.8% a year earlier, according to the Mexican
Automotive Industry Association (AMIA). Last year, exports to Canada amounted to 55,335 cars and 43,614 trucks.
General Motors was the company sending the greatest number of vehicles, with a total of 31,755 units, followed by
Chrysler and Nissan.
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Housing, Real Estate & Mortgaging
Fovissste To Issue Up To US$1.44 Billion RMBS
March 25, 2010
Mexican housing fund for public sector workers Fovissste is looking to issue between Mex$16 billion—Mex$18 billion
(US$1.28 billion – US$1.44 billion) worth of residential mortgage-backed securities (RMBS) or TFOVIS this year in
different tranches. Last year, Fovissste tapped the markets to the tune of Mex$15.5 billion.
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Construction & Infrastructure
Panama To Buy Toll Highway From Mexico's ICA
March 25, 2010
Following expropriation threats during the past presidential election, Panama's government said it was buying a toll
highway from Mexican construction company ICA for US$420 million. ICA's 30-year concession on the 12-mile (20
km) Corredor Sur highway, which connects Panama City to Panama's international airport, runs through 2025. ICA
will continue to operate the project under a service agreement. Panama's government will also purchase 51% of a
second toll road, the Corredor Norte, for $280 million, from Spain's PYCSA.
Governments To Hold Meeting For Nuevo Laredo Dam
March 16, 2010
Mexican and U.S. government representatives will hold a meeting on April 9 to discuss plans to build an international
dam and reservoir on the border near Nuevo Laredo. U.S. firm Dannenbaum Engineering is expected to complete
technical, financial and environmental studies for the project in early April, after being awarded a consultancy contract
at end-2009. The feasibility studies consider four different proposals for the dam wall, ranging from 9 to 18 meters in
height. Initial estimates indicated a price tag of US$80 million for a 5 million cubic meter reservoir.
Conagua Studying US$221 Million Drainage Solution For Valley Of Mexico
March 19, 2010
Mexico's national water authority Conagua is carrying out feasibility studies for a Mex$2.78 billion (US$221 million)
program to solve drainage problems in the Mexico valley metropolitan area. Central to the program is a project to
improve drainage and water storage at the Xico Lake in the State of Mexico (Edomex), which would include a new
potable water plant worth Mex$800 million. Mexico City is built on an underground lake, and has a long history of
flooding. Work is currently under way on the Mex$15 billion Tunel Emisor Oriente (TEO) drainage tunnel, which is
slated to ease the pressure on the city's existing drainage system.
Conagua Building Two Wastewater Treatment Plants In Queretaro
March 25, 2010
Mexico's state water authority Conagua will complete the construction of two new wastewater treatment plants in the
state of Queretaro this year. The plants are located in state capital Queretaro and in the city of San Juan del Rio, and
will have capacities of 750 liters per second and 350 liters per second, respectively.
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Retail
Comercial Mexicana Faces Judicial Decision
March 20, 2010
Retailer Comercial Mexicana said that a New York court ruled that the company is responsible for losses suffered in
2008 on foreign exchange derivatives that led it to default on its debt, but rejected the request by derivatives
counterparties for summary judgment on the amount that it owes as a result. Given the complexity of the derivatives
contracts, the judge in the case called for a special referee to be named to issue a report and recommendation on the
amount. Comercial Mexicana, which operates Mexico's third-largest supermarket chain, said that it plans to appeal
and, if it is unsuccessful, and the counterparties obtain definitive rulings against the company, it will have to call upon
Mexican courts to seek execution of the ruling.
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Transportation
SCT To Relaunch US$255 Million Riviera Maya Airport Concession
March 22, 2010
The Ministry of Communications and Transportation (SCT) is relaunching the concession tender for the Riviera Maya
international airport in the state of Quintana Roo. The new airport will cost some Mex$3.2 billion (US$255 million) and
will be the first entirely concessioned airport in Mexico. The new airport will be located 130 km south of Cancun
airport, and is expected to handle 3 million passengers each year.
SCT Analyzes Isthmus Rail Concession
March 18, 2010
The Ministry of Communications and Transportation (SCT) is studying the possible concession for a rail line
connecting the town of Estacion Chontalpa with the Dos Bocas port, in a project which dates back to the early 1980s
and for which 96 kilometers of right of ways exist. The line would run through the municipalities of Cardenas,
Comalcalco and Paraiso. Estimates for the cost of the study, which is currently under bid, are at near Mex$20 million.
The construction of the project is estimated at between Mex$1.5 billion and Mex$2.5 billion.
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Telecommunications & Technology
SCT Rejects A Satmex Rescue After Failed Echo Star MVS Bid
March 19, 2010
After the unsuccessful bid for the purchase of Satellites Mexicanos (Satmex) by EchoStar and MVS, who offered
US$347 million but failed to obtain the necessary approval from bondholders, the Ministry of Communications and
Transportation (SCT) discussed alternatives such as requisition, withdrawal of concessions or commercial contest,
but discarded a bailout. In the next two or three weeks, the SCT will determine actions to be taken in terms of the
company that operates the Satmex 2, Satmex 5 and Satmex 6 satellites in both the C and Ku bands.
Televisa Partners With Others For Fiber Optic Auction
March 19, 2010
Mexican media company Grupo Televisa said it will partner with cable operator Megacable Holdings and the local unit
of Spain's Telefonica to bid in an upcoming auction of dark fiber to be leased by the Federal Electricity Commission
(CFE). The government is tendering three routes of dark fiber totaling 21,208 km, significantly smaller than Telmex's
107,000 km network, but significantly larger than other existing private networks which span less than 8,000 km.
Salinas May Combine His Wireless And Television Businesses
March 23, 2010
Ricardo Salinas, Mexico's second-richest businessman, said he may reshape his money-losing wireless business
(Iusacell) by uniting it with his television operations (TV Azteca) to compete with Grupo Televisa SA which is entering
the wireless industry in an alliance with NII Holdings Inc. Azteca's soap operas and soccer broadcasts may help
Iusacell lure customers, Salinas said. The carrier has posted three straight annual losses as clients defect to America
Movil SAB and Telefonica SA, which serve more than 90% of Mexican subscribers.
EchoStar To Use Ku Band To Target Enterprise Customers
March 24, 2010
U.S. equipment and satellite services provider EchoStar Corporation plans to use its newly acquired rights to use Kuband
capacity in Mexico to deliver fixed satellite services for enterprise customers. EchoStar acquired the rights to
use this capacity from SES's local affiliate, SSM, for its AMC-15 and AMC-16 satellites. The deal with SES was
announced just days after a deal to buy a controlling stake in Mexican satellite operator Satmex fell through.
Mexican Mobile Operators Form Pact To Discourage Phone Theft
March 24, 2010
Mexico's two biggest mobile phone companies signed an information-sharing agreement aimed at discouraging
telephone theft by keeping stolen phones from being reactivated. Telcel, the Mexican unit of America Movil SAB, and
the local unit of Spain's Telefonica SA expect to put the system into operation by May 1, company officials said at a
press conference. The two companies, which control more than 90% of Mexico's 83 million mobile phone lines, both
use the GSM system where line information is stored on SIM cards.
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Media & Entertainment
New Media Park Opens In Jalisco
March 17, 2010
The new multimedia production complex located near Chapala is designed to house high-tech enterprises dedicated
to the fields of animation, special effects, 3-D imaging, audiovisuals, sound tracks and dubbing, video games and
applications for new generation telephones. The first stage of the media park development plan was completed
thanks to Mex$40 million from the private sector, close to Mex$25.8 million from the National Council of Science and
Technology (CONACYT) and Mex$30 million kicked in by the state of Jalisco government. The facility opened with
the arrival of a team of computer animation artists employed by Kaxan, a Jalisco-based corporation that is currently
involved in the production of several feature-length animated films.
The Mexicanal Network Taps Into L.A. Market
March 23, 2010
The Mexicanal Network made its Los Angeles debut early last month on KBEH, an MTV Tr3s affiliate that reaches
roughly 700,000 Latino households in the Los Angeles television market. Mexicanal, a joint venture of Castalia
Communications and Cablecom, is a 24-hour Spanish-language channel targeting Mexicans living in the U.S.
Launched in 2005, it reaches nearly 5 million Latino homes with a blend of multi-platform distribution through DirecTV,
Comcast systems in several markets and digital multicasting. Using the tagline "Tu Canal Regional," the network's
content includes news, sports and culturally significant programs from throughout Mexico.
PokerTek Selected By CIE As Supplier Of Automated Poker Tables
March 26, 2010
Today PokerTek, Inc. announced that it has signed a contract with Corporacion Interamericana de Entretenimiento
(CIE) to be their provider of automated poker tables and to place PokerPro tables into many of their gaming
properties. CIE is one of the largest gaming operators in Mexico and has more than 50 properties throughout the
country.
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Farming & Agriculture
Pork Producers Want Trucking Issue With Mexico Solved
March 24, 2010
With rumors the Mexican government might update a trade retaliation list against U.S. products, the National Pork
Producers Council (NPPC) and state pork producer organizations recently urged the Obama administration to resolve
a dispute with Mexico over allowing its trucks into the United States. The NPPC, which worked to keep pork off that
retaliation list, and 37 state producer associations in a letter to President Obama requested the U.S. government live
up to a provision in the 1994 North American Free Trade Agreement (NAFTA) that allows Mexican trucks to haul
freight into and out of the United States.
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Hospitality & Tourism
Aeromexico Resumes Mexico Shanghai Route
March 26, 2010
Aeromexico resumed regular flights from Mexico City to Shanghai after suspending them last year due to the A/H1N1
influenza outbreak, making it the only flight servicing Shanghai from Latin America. Aeromexico also inaugurated a
flight between Mexico City and San Jose Costa Rica.
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Economy
Carstens Raises 2010 Growth Estimate To 4-5%
March 21, 2010
Mexico's economy, recovering from its worst recession in decades, could grow as much as 5% in 2010, according to
Central Bank Governor Agustin Carstens during an annual Inter-American Development Bank meeting in the
Caribbean resort of Cancun. In January, Carstens said Mexico's economy would likely grow between 3.2% and 4.2%
in 2010.
Mexico's GDP Posts Biggest Growth Since July 2008
March 26, 2010
Mexico's economy grew the most in a year and a half in January as the pace of manufacturing and construction
picked up. Economic activity, as measured by the global economic indicator, grew 2.4% from a year earlier, the
biggest gain since July 2008, according to the National Statistics Agency (INEGI).
Inflation Speeds Up
March 24, 2010
Mexico's annual inflation rate accelerated more than expected in early March to its fastest pace in seven months,
raising pressure on the central bank to increase borrowing costs. Mexican consumer prices increased 5.06% in the
year through March 15, the highest such reading since August, after prices rose 0.46% in the first half of March.
Peso Hits 17-Month High Vs U.S. Dollar
March 17, 2010
Mexico's peso firmed to its strongest level in 17 months as investors bought higher-yielding currencies a day after the
U.S. Federal Reserve affirmed its commitment to near-zero interest rates. The peso gained 0.62 percent to 12.44 per
U.S. dollar and hit its strongest level since October 15, 2008.
Government Plans To Save $3.2 Billion In Austerity Plan
March 17, 2010
The Mexican government has announced an austerity plan for trimming general spending US$3.2 billion (Mex$40.1
billion) over the next three years so it can provide more money for social and infrastructure programs. The Finance
Ministry says the plan includes a freeze on pay raises this year for high- and mid-ranking civil servants and a
reduction in expenses. Exempt from the cutbacks are the military, as well as government health, education and
security services.
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Border & Migration
US Retires Funding For "Virtual" Fence
March 17, 2010
The U.S. Government is retiring US$50 million in financing for the controversial virtual fence designed to detect
people illegally crossing the Mexico-US border, and is freezing additional funding for the project due to a series of
problems. US Homeland Security Secretary Janet Napolitano said spending was being halted until the project was
reviewed, and that US$50m will be redirected to other tested technology.
Obama Backs Plan To Legalize Illegals
March 19, 2010
President Obama gave a thumbs-up to the outline of a plan to legalize illegal immigrants and create a flow of lowskilled
foreign workers for the future, saying the immigration bill being worked on by a Republican and a Democrat is
"promising." In their broad blueprint, Sens. Charles E. Schumer, New York Democrat, and Lindsey Graham, South
Carolina Republican, call for illegal immigrants to be put on a path to citizenship, offering green cards to keep highskilled
foreign university graduates and creating a temporary program for low-skilled workers, with some also getting
the chance to become citizens. The carefully orchestrated rollout came just three days before immigrant-rights
advocates expect at least 50,000 supporters to rally and march in Washington, D.C., calling for Congress to act.
US, Mexican Officials Meet To Review Merida Initiative
March 22, 2010
Public officials from the Mexican and U.S. governments will participate in the meeting to study the advances of the
Merida Initiative in 2009 and plan objectives for 2010. According to the Mexican State Department, U.S. Secretary of
Defense Robert M. Gates, U.S. Homeland Security Secretary Janet Napolitano and the U.S. Chairman of the Joint
Chiefs of Staff, Admiral Michael G. Mullen, will attend the meeting on March 23rd. Tuesday. The meeting will seek to
assess and analyze the evolution of the Merida Plan, which makes provision for joint action between Mexico and the
United States in the war against drug trafficking on the border. The U.S. State Department said that the Merida
Initiative, originally set to end in 2011, should be extended in time due to the amount of work there is to do. The
meetings are likely to focus on how to dismantle the cartels, develop modern and safe border relations and
strengthen social cohesiveness.
Arizona Set To Radicalize Measures Against Immigrants
March 25, 2010
Bill HB 2632, which empowers police to arrest illegal immigrants and charge them with trespassing for simply being in
the state of Arizona, is likely just weeks away from becoming the toughest law of its kind anywhere in the country.
Already passed by the state's Senate and currently being reconciled with a similar version in the House, the bill would
essentially criminalize the presence of the 460,000 illegal immigrants living in the state. The measure allows police to
detain people on the suspicion that they are illegal immigrants, outlaws citizens from employing day laborers, and
makes it illegal for anyone to transport an illegal immigrant, even a family member, anywhere in the state.
Mexico-US Judicial Program Begins
March 18, 2010
Two men caught smuggling marijuana at an Arizona border crossing have been sentenced in a Mexican court to 10-
year prison terms under a pilot program that sends some Mexican criminal suspects back home for prosecution. The
convictions and sentencing by a judge in Sonora were the first under what officials in the Justice and Homeland
Security Departments called an unprecedented program to allow some Mexicans arrested at border crossings to be
returned to Mexico for federal prosecution. Since the program began in October, 24 people have been referred to
Mexican prosecutors; the other cases are pending, according to the United States attorney's office in Arizona.
Immigrants Vulnerable To Unscrupulous Employers
March 18, 2010
Jobs With Justice, a national campaign for workers' rights, has indicated that there are signs that the recession has
prompted more employers to shortchange their workers, either by failing to pay the promised amount or by offering
less than minimum wage in the first place. Construction, restaurant and janitorial workers appear particularly
vulnerable, especially if they are immigrants who don't speak English or lack legal status.
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Politics
Reforms In Mexico At Risk Due To Electoral Strife
March 16, 2010
Carlos Navarrete of the leftwing Democratic Revolution Party (PRD), who took over as president of the Senate last
August, admitted that a series of electoral alliances between his PRD party and the governing center-right National
Action Party (PAN) for upcoming State and Municipal elections to be held in July, is at the center of the recent political
controversy that could risk legislative processes seeking to promote structural reform initiatives, including labor,
political and fiscal, needed to consolidate the country's recovery. The two parties, which occupy opposite ends of the
political spectrum on many issues, have formalized at least four alliances for gubernatorial elections in an effort to
check the recent and vigorous comeback of the opposition Institutional Revolutionary Party (PRI).
Mexico's Ruling Party Proposes Wide-Reaching Labor Reform
March 18, 2010
Mexico's ruling National Action Party, or PAN, submitted a bill to Congress seeking broad changes in the country's
labor laws. The proposal, it said, seeks to make hiring more flexible and reward productivity, while calling for greater
labor union transparency and enforcement of employer obligations. Mexico's often inflexible labor laws are
considered at least partly responsible for sluggish gains in productivity and low wages, discouraging hiring in the
formal economy and pushing many people to seek work in the informal economy.
Conago Supports The Creation Of 32 State Police Entities
March 24, 2010
The National Governors Conference (Conago) endorsed the creation of single statewide police entities in the 32
states and a national police force, while expressing support for the federal government's initiative to implement a joint
strategy with the U.S. for greater coordination, strategizing, and effectiveness of police and security forces actions
against drug trafficking. The Conago has called on Congress to launch discussion on the initiative.
Congress Approves Collective Actions
March 25th, 2010
The House of Representatives approved the establishment of collective action in the Mexican legal framework in
order to allow for the advocacy, legal representation and protection of the rights and interests of members of a
community or social group. The initiative, which modifies article 17 of the Constitution, had already been approved by
the Senate. The amendment now allows for the effects of a ruling to be valid for a group of people who are in the
same situation as a nonconformist who filed a lawsuit against any institution.
Calderon Calls U.S. Lobbyists A Hurdle In Drug War
March 28, 2010
During an Interview with Fareed Zakaria's "GPS" program on CNN, President Calderon said that powerful groups in
the United States appear to be blocking efforts to stem the flow of assault weapons fueling Mexico's drug war. The
Mexican leader added that solving the cross-border gun trafficking problem was critical to his bid to crack down on the
drug-related violence that has killed thousands of people in the past two years. Mexico says 90 percent of the
weapons used by drug gangs are bought in the United States, half of them are assault weapons, thus Mexican
officials also want to see the U.S. Congress reinstate a ban on the sale of assault weapons that expired in 2004.
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Justice, Safety & Crime
U.S. And Mexico Revise Joint Antidrug Strategy
March 23, 2010
Responding to a growing sense that Mexico's military-led fight against drug traffickers is not gaining ground, the
United States and Mexico set their counternarcotics strategy on a new course by refocusing their efforts on
strengthening civilian law enforcement institutions and rebuilding communities crippled by poverty and crime. Leading
a delegation of senior U.S. security officials, U.S. Secretary of State Hillary Rodham Clinton pledged long-term
support for Mexico's drug war while acknowledging that an insatiable U.S. appetite for illegal narcotics, coupled with a
flow of U.S. arms into Mexico, is at the core of the problem. The revised strategy will include cooperation among
American and Mexican intelligence agencies and American support for training Mexican police officers, judges,
prosecutors and public defenders. American and Mexican agencies will work together to refocus border enforcement
efforts away from building a better wall to creating systems that would allow goods and people to be screened before
they reach the crossing points. The plan will also provide support for Mexican programs intended to strengthen
communities where socioeconomic hardships force many young people into crime.
Gates, Mullen Report On Merida Summit In Mexico
March 24, 2010
Defense Secretary Robert M. Gates assured Mexican military leaders during the Cabinet-level visit to Mexico City that
he'll look into ways to speed up equipment deliveries to support their fight against drug cartels, and he told a U.S.
congressional panel that he shares their concern about how long it's taking to deliver helicopters and aircraft the
United States has committed to Mexico as part of the three-year, $1.6 billion Merida Initiative. Testifying before the
House Appropriations Committee, the secretary and Navy Admiral Mike Mullen, chairman of the Joint Chiefs of Staff,
called the one-day visit to Mexico City a positive step in advancing U.S. aid to Mexico in combating drug trafficking
and related violence by the cartels, while praising the partnership that has developed between the U.S. and Mexican
military forces.
Two Americans And A Third Victim Are Killed In Mexico Shootings
March 15, 2010
Three people connected to the U.S. Consulate in Mexico's deadliest city, Ciudad Juarez, were shot to death by men
who intercepted their cars as they returned from a child's birthday party. Consulate employee Lesley Enriquez and
her husband, Arthur Redelfs, a detention officer with the El Paso Sheriff's Office, were gunned down in their car after
having been chased through Juarez's streets by men in another vehicle on March 13. Both were U.S. citizens and
were traveling with a baby who was unharmed. Within minutes of the first attack, gunmen chased and killed Jorge
Alberto Salcido, a Mexican citizen whose spouse was a consular employee. President Obama expressed outrage at
the drive-by slayings. The three victims were killed in broad daylight near the city's border with El Paso. This is the
first time in recent years that Mexican drug traffickers have attacked U.S. diplomatic personnel and their families.
New Mexico And Texas Gang Questioned In Mexico Killings
March 19, 2010
A group of 200 U.S. federal, state and local law-enforcement agents questioned members of a dangerous El Paso
gang called Barrio Azteca which authorities believe may have been involved in the killings of three people linked to
the U.S. consulate in Ciudad Juarez, Mexico. Authorities questioned around 100 members of the gang in the field,
said Andrea Simmons, a spokeswoman for the Federal Bureau of Investigation, at the El Paso office. Some arrests
were made, but only in relation to outstanding warrants and no gang members were brought in for direct involvement
in the killings, she said.
Two Slain Mexican Students In Monterrey
March 23, 2010
On Friday the 19th, two scholarship recipient mechanical engineering graduate students at the Technological Institute
of Higher Learning of Monterrey, Jorge Antonio Mercado Alonso and Javier Arredondo Verdugo, were shot to death in
a firefight between Mexican army soldiers and gangsters who had sought refuge at the university campus. Interior
Minister Fernando Gomez Mont said Monday the students were caught in the crossfire. Initially, authorities had
identified the two dead men as drug gang members. University officials had also said Friday after the campus
shooting that all students were safe. On Sunday, authorities at the highest level of the Mexican government, and the
University, admitted their mistake. On Monday, Mercado was laid to rest in his native town of Saltillo in the state of
Coahuila. Arredondo will be buried in Los Cabos in the state of Baja California.
Government Report Says Mexican Criminal Organizations Operate In Every Region Of The U.S.
March 25, 2010
The National Drug Threat Assessment 2020 report found that Mexican groups were the only drug trafficking
enterprises operating in every region of the United States and that they have more than doubled heroin production in
a year, while cementing their grip as the predominant wholesale suppliers of illicit drugs in the U.S. According to the
report, Mexican cartels are "the single greatest drug trafficking threat to the United States" and have stepped up
cooperation with U.S. street and prison gangs for distribution. In 2009, the prevalence was increasing in some areas
of the United States for four of the five major drugs: heroin, methamphetamine, marijuana and MDMA. Heroin
production in Mexico rose from 17 pure metric tons in 2007 to 38 pure metric tons in 2008, with the increase
translating to lower heroin prices and more heroin-related overdoses and more overdose deaths, according to
government estimates in the report by the National Drug Intelligence Center.
U.S. And Mexican Attorneys Stress Importance Of Strengthening Ties
March 25, 2010
Attorney General Arturo Chavez Chavez, met with his U.S. counterpart Eric Holder and 10 district attorneys from
Arizona, California, New Mexico and Texas in a private meeting held in Phoenix, Arizona, in order to coordinate
efforts to combat organized crime on both sides of the border by battling drugs, people and arms trafficking, and, in
general, confronting federal crimes affecting both nations.
Mexico's "King Of Heroin" Busted
March 25, 2010
Mexican authorities have arrested Jose Antonio Medina, a major drug trafficker known as the "King of Heroin" for the
massive amounts of drugs he moved into the U.S. each year, in the western State of Michoacan. Ramon Pequeno is
head of the anti-narcotics division for Mexico's federal police. He said Thursday that Medina worked for the La Familia
cartel running a complex smuggling operation that hauled 440 pounds (200 kilograms) of heroin each month across
the border and into Southern California.
Drug Cartels Block Roads In Northern Mexico
March 19, 2010
Five presumed drug gang members and one soldier were killed in shootouts Thursday and Friday after criminals
blocked thoroughfares in two northern Mexico states to prevent military reinforcements from arriving, authorities said.
The criminals used cars, transit buses and tractor-trailers to block roads and streets in the states of Tamaulipas and
Nuevo Leon in northeastern Mexico. Two of the road blocks happened Thursday the 18th and five more were set up
before dawn on Friday. All were cleared within a matter of hours.
Forty-One Flee From Matamoros Jail
March 26, 2010
The state government of Tamaulipas said 41 inmates escaped from jail and 2 guards disappeared in the city of
Matamoros, across from Brownsville, Texas. Most of the prisoners had been detained for federal crimes, including
organized crime and drug trafficking. The statement said that the prison director had been immediately fired but gave
no further information.
U.S. Offers US$5 Million Rewards For Zeta And Gulf Cartel Leaders
March 24, 2010
The U.S. Treasury Department has ordered the confiscation of real estate and businesses and the freezing of funds
of 54 members of the Gulf and the Zetas cartels, along with the issuance of bounties ranging from US$1 million to
US$5 million for information leading to their arrests. However, many of the leaders of the said organizations are not
included in the list.
Government Employees Involved In 85% Of Corrupt Acts, Police Top List
March 26, 2010
A study conducted by the U.S. organization Trace International, entitled "BRIBEline for Mexico 2010," revealed that
85% of bribes in Mexico are made to individuals linked to the government, and in 45% of the cases, it involves police
officers. The study analyzed 151 cases of bribery between July 2007 and January 2010 and found that 12% of the
bribes go to public officials of the federal government. Other public officials involved in corruption include: state
officials (10%), employees of government dependencies (6%), municipal officials (4%), judges and representatives of
the judicial power (4%), employees of the military (2%), and employees of the party in power (2%).
Wachovia Agrees To Pay US$160 Million To Settle Drug Money Probe
March 18, 2010
Wachovia Bank has agreed to pay US$160 million to settle U.S. charges that it failed to stop more than US$100
million of Colombian and Mexican drug traffickers' money being laundered through accounts at the bank, U.S.
authorities said. The deferred prosecution agreement announced in Miami, which included a US$50 million fine to be
paid to the U.S. Treasury, was the largest penalty ever imposed for a violation of the U.S. Bank Secrecy Act, said
U.S. Attorney for the Southern District of Florida Jeffrey H. Sloman. Sloman said a "systematic" failure by Wachovia,
now a unit of Wells Fargo & Co (WFC.N), to maintain effective anti-money laundering (AML) controls had led to more
than $400 billion in unmonitored funds being channeled to accounts at the bank between 2004 and 2007 by currency
exchange houses in Mexico, mostly through wire transfers.
Authorities In Mexico Are Warned On Detector
March 16, 2010
The British government has notified Mexico that a handheld device widely used by the Mexican military and police to
search for drugs and explosives may be ineffective, British officials said. Mexico's National Defense Secretariat has
spent more than $10 million to purchase hundreds of the detectors known as the GT 200, manufactured by the British
company Global Technical Ltd., are similar to the "magic wands" in use in Iraq and Afghanistan, for its antidrug fight.
Although critics have called them nothing more than divining rods, Mexican defense officials praise the devices as a
critical part of their efforts to combat drug traffickers.
Costa Rica's President-Elect Says She Will Launch Crackdown On Drug Trafficking Gangs
March 16, 2010
Costa Rican President-elect Laura Chinchilla says fighting drug trafficking will be one of her government's priorities.
Costa Rican officials say powerful Mexican drug cartels are increasingly using Costa Rica as a transshipment point
for cocaine heading north from Colombia. Last month, Costa Rican police seized more than a ton of cocaine at a
house in a rural area outside the capital and detained two Mexican men allegedly working for the Juarez cartel.
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Health & Science
IMSS To Invest Mex$5.6 Billion In Equipment And Supplies
March 18, 2010
The Mexican Social Security Institute (IMSS) will invest Mex$5.6 billion in order to combat equipment and materials
shortage. The resources will be earmarked for the renewal of medical and diagnostics equipment in spite of the
difficult economic situation affecting the Institute. According to the Institute's Director Daniel Karam, the
unprecedented investment intends to satisfy 50% of the Institute's shortfall in terms of equipment and materials.
Similarly, 15,000 doctors and nurses across the country will be recruited, and the construction of five additional
hospitals will be undertaken.
Mexico Sets Plan To Crack Down On Antibiotic Sales
March 26, 2010
Mexican authorities say they will start cracking down on the sale of antibiotics without a prescription, something that is
common in Mexico. The Health Department says new procedures are being drawn up to ensure that current laws
requiring a doctor's prescription for such medications are enforced. The department says the plan is aimed at
preventing self-medication and the growing problem of drug-resistant infections. Counter clerks at Mexican
pharmacies frequently supply antibiotics on demand and sometimes even suggest antibiotics for specific ailments.
The program is said to start in April and will carry a threat of closure for pharmacies that violate the rule.
World Bank OKs US$1.25 Billion For Mexico Health Insurance
March 25, 2010
The World Bank approved a US$1.25 billion loan to help expand health insurance coverage to Mexico's poor. "The
loan will support Mexico's Social Health Protection System Project promise to achieve universal medical insurance by
2012," the World Bank said in a statement. The loan will also be used to make the health insurance program, which is
available to Mexicans not covered by private plans or government plans for officially employed workers, become more
efficient. The loan, maturing in 18 years, should help the government offer healthcare to an additional 10 million
people.
PepsiCo To Stop Selling Sugary Drinks In Schools Worldwide By 2012
March 16, 2010
PepsiCo plans to remove full-calorie, sweetened drinks from schools in more than 200 countries by 2012, following
the success of programs in the U.S. aimed at cutting down on childhood obesity and marking the first such move by a
major soft drink producer. Both PepsiCo Inc., the world's second-biggest soft drink maker, and No. 1 player Coca-
Cola Co. adopted guidelines to stop selling sugary drinks in U.S. schools in 2006. The World Heart Federation has
been negotiating with soft drink makers to have them remove sugary beverages from schools for the past year as it
looks to fight a rise in childhood obesity, which can lead to diabetes, heart problems and other ailments. Developing
countries such as Mexico are particularly affected by strong marketing.
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Arts & Culture
Florentine Codex To Return To The American Continent
March 25, 2010
The wisdom of the Gods, secrets of war, knowledge relating to medical use of plants, customs, commerce and the
history of Aztecs before and during the fall of their capital Tenochtitlan are only part of the tales included in the
Florentine Codex that will return to the American Continent after having left four centuries ago, as part of an exhibit at
the Getty Villa, in the Paul Getty Museum in Malibu California. Other items such as a 1,200-pound stone head of an
Aztec moon goddess and life-size statues of a warrior adorned with eagle feathers, a duck-billed wind god and a
demon known as the Lord of Death, made between 1440 and 1521 and on loan from Mexico City's National Museum
of Anthropology and the Templo Mayor Museum, will be part of the 64 sculptures, paintings and massive artworks on
paper in "The Aztec Pantheon and the Art of Empire" exhibit, which has been called the most surprising exhibition yet
to appear at Southern California's bastion of classical Greek and Roman antiquities as the Getty celebrates the
bicentennial of Mexican independence by exploring how Europeans came to understand the Aztecs.
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Environment
UNESCO Honors Indigenous Mexican Radio Station
March 22, 2010
The first indigenous community radio station in Mexico and an Egyptian journalist dedicated to informing people in
country areas about health and education will share this year's United Nations award for rural communication. The
UN Educational, Scientific and Cultural Organization International Program for the Development of Communication
(UNESCO-IPDC) gives out a prize every two years in recognition of meritorious and innovative efforts to improve
communication for rural communities in developing countries. The Mexican station, La voz de campesinos, promotes
interactive radio communication with communities, encouraging them to share their history, customs and music, and
helps reinforce the collective rights of the indigenous populations of the Veracruz region, according to UNESCO.
Programs are transmitted in three local languages and Spanish to some 100,000 people in 400 communities.
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Other
White House Announces May 19 State Dinner For Mexican President Felipe Calderon
March 18, 2010
President Barack Obama will hold a state dinner for Mexican President Felipe Calderon on May 19. It will be the
second such affair for the Obama administration. The Obamas' first state dinner was held in November for India's
prime minister. First lady Michelle Obama is scheduled to visit her Mexican counterpart, Margarita Zavala, next
month. The president has met twice with Calderon in Mexico.
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