Vitro issues debt backed by receivables

Mexican glass maker Vitro SA said 31 March 2005 that it placed MXN 550 million in debt backed by receivables at VENA (Vitro Envases Norteamrica, S.A. de C.V.), the holding company for its glass contai…

Mexican glass maker Vitro SA said 31 March 2005 that it placed MXN 550 million in debt backed by receivables at VENA (Vitro Envases Norteamrica, S.A. de C.V.), the holding company for its glass containers business. In a press release, Vitro said the notes, issued through a trust, will be listed on the Mexican Stock Exchange and pay interest of 120 basis points above the interbank rate TIIE. The TIIE rate was 9.95% on 31 March 2005. The trust also issued subordinated notes for USD 19 million in the USA, Vitro said. Payment of interest and principal of both issues will come from receivables at three VENA units. Proceeds will be used to finance working capital, Vitro added. (USD 1 = MXN 11.1680)