Fitch rates Cemex notes B+

Fitch Ratings said it assigned a B+ with recovery rating of RR3 rating to Cemex Finance LLC's proposed senior secured high-yield note issuance.

The notes will be guaranteed by Cemex SAB de CV; Cemex Mexico, SA de CV; Cemex Espana, SA; Cemex Research Group AG; Cemex Shipping BV; Cemex Asia BV; Cemex Egyptian Investments BV; Cemex UK; Cemex France Gestion; and Cemex Corp. as primary guarantors. Cemex Concretos, SA de CV; Empresas Tolteca de Mexico, SA de CV; and New Sunward Holding BV are additional guarantors.

The guarantees are full and unconditional for both principal and interest payment. The proceeds will be used to repay debt under the facilities agreement.

The outlook is stable.

The company has a foreign- and local-currency issuer default rating of B, national scale long-term rating of BB-(mex) and national scale short-term rating of B (mex).

The ratings reflect the company's high leverage and limited free cash flow prospects through 2014, Fitch said.

The agency added that it expects Cemex's leverage to remain high through the end of 2014.

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