Vitro provides update on financial situation

Date: 11 March 2009
Source: Vitro, S.A.B. de C.V.
Vitro, S.A.B. de C.V. (BMV: VITROA; NYSE: VTO), (the “Company”) announced on February 5, 2009 that in order to preserve the necessary cash to continue its operations and consistent with last week’s Senior Notes interest payments to bondholders announcement, it elected not to make a scheduled payment of $150 million pesos, plus accrued interest, due February 5, 2009 on its Certificados Bursátiles issued in 2003 (“CEBURES 03”).Although the documents governing the CEBURES 03 grant the Company a 3-day grace period, the Company does not intend to make the payment in such term; instead Vitro intends to hold discussions with the holders of the CEBURES 03 in an effort to reach a mutually acceptable agreement to restructure this financial obligation along with the rest of the financial creditors.Vitro also announced today that it was informed that Credit Suisse International (CSIN) has filed a lawsuit against one of its subsidiaries in the Supreme Court of the State of New York demanding payment of approximately US$85 million dollars.

This complaint arises out of a derivative financial instrument (this amount is part of the $293 million dollars previously announced) and therefore the Company is analyzing alternatives.

Additionally, the Company informs that an accounts receivable credit facility with The Royal Bank of Scotland, which provides funds to one of Vitro’s subsidiaries, with a balance of approximately $19 million dollars, which was scheduled to end April, 2009, was concluded and we expect to finish the settlement process within the next three weeks.

Vitro is continuing its discussions with the counterparties of the derivative financial instruments (“Counterparties”), its bondholders and its creditors to achieve an organized financial restructuring to improve its balance sheet. There can be no assurance that the Company’s discussions with the Counterparties, its bondholders, and other creditors will be successful. Vitro will provide updates on these discussions, from time to time, as appropriate.

Vitro is committed to providing the quality products and services its broadly diversified customers need. Vitro intends to maintain its operations and continue its business relationships with its customers and suppliers as it seeks to achieve a restructuring of its indebtedness. Vitro, which is commemorating its first century in 2009, has a strong foundation in place with solid business operations, strong franchise and market positions and superior quality products.

Vitro, S.A.B. de C.V. (BMV: VITROA; NYSE: VTO), is one of the largest glass manufacturers in the world. Through our subsidiary companies we offer products with the highest quality standards and reliable services to satisfy the needs of two distinct business sectors: glass containers and flat glass. Our manufacturing facilities produce, process, distribute and sell a wide range of glass products that offer excellent solutions to multiple industries including: wine, beer, cosmetic, pharmaceutical, food and beverage, as well as the automotive and construction industries. We also supply raw materials, machinery and industrial equipment to a number of other industries. We constantly strive to improve the quality of life for our employees as well as the communities in which we do business by generating employment and economic prosperity. Vitro is committed to providing outstanding quality products and continuous service improvements, as well as promoting sustainable development. Our World Headquarters are located in Monterrey, Mexico where Vitro was founded in 1909. Vitro has major facilities and a broad distribution network in ten countries in the Americas and Europe. For more information, you can access Vitro’s Website at:

600450 Vitro provides update on financial situation

See more news about:

Others also read

Energy-saving, bird-friendly glass optimizes daylight, adds depth to Centre for Entrepreneurship.
Specifiers can order 4-by-6 and 12-by-12-inch samples at
While we have always crafted spacers for our insulated units beautifully by hand, we are now capable of making more sophisticated shapes and patterns with the addition of a CNC spacer bender.
SOLARBAN 60 STARPHIRE glass supports unique forested atmosphere inside new glass-domed headquarters.
Current president Richard Beuke set to retire on March 31, 2019.
Vitro announces that after a distinguished career in the industry, Richard Beuke has taken the decision to retire effective March 31st , 2019.

From industry


Vitro Architectural Glass (Formerly PPG Glass)
Vitro Architectural Glass (Formerly PPG Glass)

Add new comment