Moody's could lower Industrias Unidas

Moody's Investors Service said it placed under review for downgrade Industrias Unidas, SA de CV's B2 corporate family rating and B3 rating for $200 million guaranteed senior unsecured notes due 2016.

According to Moody's, the company has been hurt the past few quarters by fluctuating copper prices and tumbling new home starts mainly in the United States.

Moody's said it is concerned that the company's liquidity from operating swings and narrow flexibility may affect its ability to meet medium-term financial obligations despite certain flexibility in capital investment spending.

The agency also said it recognizes the company's ability to pass on cost increases as well as its strong market position both in Mexico and in the United States.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.