8/26/15 Financial Times
Moody’s said it had put Pemex’s A3 ratings, the same as Mexico’s sovereign rating, under revision for a possible downgrade because of weak cash generation and a deterioration in the company’s financial profile this year, reports Jude Webber in Mexico City. And, it added: “Moody’s opinion is that it will continue its deterioration in the coming years … and will have large debt needs in the near future”.
Ouch. The downgrade prospect touched a raw nerve at the company, which is already navigating a brave new world at home after been stripped of its nearly 80-year monopoly as Mexico liberalises its energy sector. Its financial debt increased in the second quarter by 16.4 per cent to $85.5bn and 75.5 per cent of its debt is denominated in dollars.