REGIO INDEX FALLS 0.15% IN AUGUST. (EL ECONOMISTA 2)  (EL NORTE 0)  (EL HORIZONTE ONLINE 0)  

The Regio index fell 0.15% in August, much lower than the drop recorded by the main Mexican Stock Exchange Quotes and Prices Index that stood at 2.30% in the same period. This index features the 20 companies in the state of Nuevo León listed on the Mexican Stock Exchange. The best performers during this period were Axtel, with 13.9% growth, followed by Gruma with 6.6%, and Grupo Alfa with 4.3%.

THE BEIGE BOOK RAISES HOPE ON WS. (EL FINANCIERO 27)

The New York Stock Exchange enjoyed a session of significant gains because the Beige Book contents countered fears over China. The Mexican Stock Exchange (MSE) barely managed a small 0.14% increase, bringing the index to 42,969.93 units. Several significant shares determined small progress in the market, including Walmart, Televisa, GFNORTE and GFINBUR that left the market. However, the shares benefiting the most on the price index were Cemex, Gruma, Kimber, and Peñoles.

GRUMA, THE MEXICAN COMPANY WITH THE BEST GROWTH “RECIPE” (EL FINANCIERO pp-16-17)

Three years after the death of its founder, Roberto González Barrera, Gruma has positioned itself as the company with greatest value creation in the MSE, even amid volatility in global markets. Led by his son Juan González Moreno since December 2012, the company has increased its value by 514% on the MSE in the last three years, reaching record highs, while the main stock market indicator yielded only 9% in the same period. Gruma has benefited from the dollar's appreciation against the peso because it obtains nearly 62% of its revenues from the U.S. “The company has also benefited from falling corn prices, which is its main input,” said brokerage firms Interacciones analyst, Brian Flores. Other catalysts for future growth are increased margins and higher profits for shareholders, because of the efficiencies and the boosting of their income abroad.

 J. JESÚS RANGEL ​​M. / TUG OF WAR  (MILENIO DIARIO 30) (MONTERREY 0)

The room next door... Raúl Cavazos Morales, Gruma CFO, and CSO is the CFO of the year in Mexico according to Latin Trade Group. He succeeded in making Gruma the best performer on the MSE with significant debt reduction, for the third year running. One more good decision for CEO Juan González Moreno's leadership skills. 

TRENDS. (EL ECONOMISTA 7) GRUMA.

The corn flour producer's shares were up 47.35% in the last 12 months. On the other hand, nine out of 14 analysts recommend buying the issuer's shares, according to Reuters Eikon. 3.19% (sic)

CAPTAINS. (REFORMA 3) (EL NORTE 0)

Good Harvest. Gruma, led by Juan González Moreno has reaped a good harvest. The company has increased its profitability to the extent that its shares are now priced at $227.76 pesos, 54% above the $149.97 price reported one year ago. So far this year, its share price has grown 44.7%, while the MSE's Prices & Quotes Index is down 0.90%. CFO and CSO Raúl Cavazos Morales has played a leading role in all of this by selling assets and managing debt in recent years. By the way, Cavazos is CFO of the Year 2015 in Mexico for the Latin Trade Group

THE ACCOUNTANT. (EXCÉLSIOR 3)

Gruma CFO and CSO Raúl Cavazos Morales was named CFO of the year in Mexico by the Latin Trade Group. And it's no wonder, because his leadership and that of the company's President and CEO, Juan González Moreno have led the company to become the largest generator of value and with the best performing shares on the Mexican Stock Exchange for the third year in a row.

TRENDS (EL ECONOMISTA 7) GRUMA.

Actinver brokerage firm recommended “holding” the corn producer's shares and set a target price of $228 pesos per share, after announcing its application to end trading of its ADRs in the United States.

GRUMA EARMARKS ONE MILLION U.S. DOLLARS TO MEXICO-TEXAS TRADE PROGRAM (EL FINANCIERO 23)

Grupo Maseca contributed one million U.S. dollars to support a program launched by Southern Methodist University (SMU) to promote international trade between Mexico and Texas, according to an SMU press release made by the university based in Dallas, Texas. Mexican GRUMA-Mission Foods, gifted the $1 million program intended to be a “bridge-maker” between Mexico and Texas that seeks to transform frequently fractured conversations between Texas and Mexico into shared issues that promote policy-based discussions on economic, political and social ties. The program was conceived during Governor Greg Abbott’s visit to Mexico last week, where he met with President Enrique Peña Nieto and other Mexican government officials and entrepreneurs.

JULIO PILOTZI / FINANCIAL SPLIT. (EL SOL DE MÉXICO 7)

Voice over ... Gruma Juan González Moreno contributed US $1 million to fund the “Bridge-Maker” program launched by Southern Methodist University to boost trade between Mexico and the State of Texas in the USA...

GRUPO MASECA SUPPORTS PROGRAM TO PROMOTE TRADE BETWEEN TEXAS AND MEXICO. (MILENIO RADIO (GDL) FIRST EDITION 0)

Barbara Anderson: My story today is about social responsibility becauseGrupo Maseca contributed US $1 million to support a program launched by Southern Methodist University to promote international trade between Mexico and Texas.

The university based in Dallas said that the Monterrey-based company donated the program's initial funding... 

THE U.S. DOLLAR HAS CONSUMER COMPANIES ON EDGE. (MILENIO DIARIO 24) Gruma.

Brian Flores said that food company Gruma founded by Roberto Gonzalez Barrera and led by Juan González Moreno should take certain points into account, such as the price of grain it needs for production. It bears noting that the company has subsidiaries, such as Gruma Corporation with operations in the United States and Europe, representing 62% of its consolidated income; Gimsa in Mexico, and Gruma in Central America, which allows it to have a better financial balance without relying exclusively on the Mexican market. “The cost of corn, its main input, is not only covered with derivative semesters but has historically shown lower price levels,” he said. “They could be at ease,” said the specialist

ALFREDO HUERTA / FINANCES 24. (24 HORAS 17)

The Mexican economy is growing at a moderate pace this year, lower than expected by both the federal government and financial economists and analysts. Domestic consumption, consisting of the formal and traditional market discussed above, including Mom & Pop stores that have clearly grown in 2015. This consumer industry is cyclical in the economic environment. However, we are also seeing how companies comprising the sector, at least those listed on the Mexican Stock Exchange, are looking for rebate strategies, interest-free payments, and improving their own internal processes in working together to ensure consumer growth. Of these, we could say thatGruma has benefited by consumption in economies like the United States, where depreciation of the Mexican peso has contributed to strengthening its income statement, in addition to its growth inertia.

THE TOP 100 COMPANIES IN MEXICO / ONE. (EXPANSIÓN 104-112)

Expansión magazine publishes the list of Mexico's top 100 businessmen rankingGruma'sJuan A. González Moreno 22nd. He bought Azteca Foods Europe that produces tortillas, wraps, chips, sauces and prepared foods in Spain for distribution in several countries in Europe, Middle East, and North Africa US for $48.4 million. It could benefit from the increased U.S. dollar exchange as 70% of its sales come from abroad. It closed 2014 with close to $50 billion pesos in sales and net income growth of 35%. Interacciones analyst Brian Flores explains that the price of corn remained below expectations, butGruma Corp. in charge of exports did not have to cut prices.“People in Europe and the U.S. do not buy flour rather buy tortillas,” says Flores.“We believe that it is still one of the best investment options in the stock market.” 

THE TOP 100 COMPANIES IN MEXICO / TWO. (EXPANSIÓN 104-112)

Expansión magazine publishes the list of Mexico's top 100 businessmen ranking Carlos Hank González of Banorte, Gruma, and Grupo Hermes in the 71st position. Hank is Vice President at corn flour and tortilla producer Gruma, which share price grew 38% between January and August 2015. 

VOLATILITY OF THE MEXICAN PESO AND ITS IMPACT ON INVESTMENT. (Finance EXECUTIVES 24-27)

The exchange rate has become relevant not only in Mexico but in other countries following the U.S. dollar's significant rally against the Mexican peso and the main currencies in the international market ... Cemex is one of the companies that has subsidiaries abroad, which recorded a gain of currency movements amounting to 147% in Q115 over the same period last year.Gruma increased its flow 21% and reported a 16% growth in sales benefiting U.S.GRUMA Corporationoperations, where the rising dollar has served as an important catalyst in improving its figures in pesos since 60% of its sales and nearly 50% of its EBITDA come from the USA. 

CORONA, TELCEL, AND TELEVISA, THE MOST VALUABLE BRANDS IN MEXICO. (EL ECONOMISTA 26) (MILENIO DIARIO 33) (EXCÉLSIOR 2) (EL FINANCIERO 23) (EL SOL DE MÉXICO 1-5) (EL NORTE 0) (MILENIO DIARIO DE MONTERREY 0)

Corona, Telcel, Televisa, Modelo, Telmex, Bodega Aurrerá, Cemex, Bimbo, Liverpool and Banorte are the top 30 the most valuable brands in Mexico in 2015, according to the market research organization Millward Brown BrandZ study. Rankings 11 through 20 include Inbursa, Banco Azteca, Oxxo, Banamex, Tecate, Sanborns, Marinela, Soriana, Sol, andMaseca, said Millward Brown Vice President Fernando Álvarez. 

(GRUMA) RAISES UBS PO TO 265 PS FROM 229 PS, REITERATES “BUY” (TERRA.COM)

Grupo Financiero UBS (UBS) raised its target price for Gruma (GRUMA) shares to $265 pesos (Ps), from 229 pesos and reiterated its“Buy”investment recommendation. The company's bullish price is based on the fact that company continues to expand its range, advancing earnings before interest, taxes, depreciation and amortization (EBITDA) consolidated at 8.2% in 2012 to 15% in 2014“which could reach 17% in 2015,”said UBS in a document. It also stressed the opportunities to improve Gimsa earnings, as GRUMA's second largest subsidiary and the consistent leader in the corn flour industry in Mexico with 70% market share. Furthermore, operations outside of Mexico accounted for 73% of total sales and 66% of EBITDA in the last quarter, he said. It bears noting that, while the Mexican peso lost more strength against the dollar, the company will continue to invest abroad, he added.

WINNERS / LOSERS (FORBES MEXICO 14) Winners.

Juan Antonio González Moreno +6.64%Gruma's market value: $97.420 billion pesos. The company maintains its growth and profitability forecast for 2015-2016, supported by an attractive 328% increase in profits.  

CORONA, TELCEL, TELEVISA, TELMEX, BANORTE AND MODELO, THE MOST VALUABLE BRANDS IN MEXICO (LA JORNADA 33) (EL PORVENIR.MX 0) (MILENIO NOTICIAS 12 TO 4 P.M.)(GLOBAL MEXICO WITH CARLOS MOTA)

Market research organization Millward Brown announced the list of 30 most valuable companies in Mexico, including Corona, Telcel, Televisa, Teléfonos de México (Telmex), Banorte and Modelo. Corona grew 6% in the last year, so the brand value stood at US $8.476 billion, as the most valuable brand in Mexico for the fourth year running. Bodega Aurrerá, Cemex, Bimbo, Liverpool, Banorte, Inbursa, Banco Azteca and Oxxo are also on the list of Mexico's 30 most valuable brands as well as Banamex, Tecate, Sanborns, Marinela, Soriana, Sol and Maseca. 

IRASEMA ANDRÉS DAGNINI / CLEAR ACCOUNTS. (LA RAZÓN 23)

Maseca stands out for its value. The world's leading cornmeal producer and Gruma's leading brand is valued at US $710 million in the BrandZTM Mexico ranking produced by WPP and Millward Brown. Maseca is ranked 20th  

WINNERS / LOSERS. (FORBES MEXICO 14)  Winners.

Juan Antonio González Moreno +6.64%Gruma's market value: $97.420 billion pesos. The company maintains its growth and profitability forecast for 2015-2016, supported by an attractive 328% increase in profits.

GRUMA, BACHOCO AND HERDEZ CRUSH REGIONAL RIVALS THANKS TO THE MEXICAN PESO. (EL FINANCIERO ONLINE 0)

Mexico's largest tortilla, bread, mayonnaise and chicken producers have given investors an average 14% increase in terms of U.S. dollars this year, compared with the average 15% decline reported by food companies in Latin America, according to data compiled by Bloomberg.  Gruma, the world's largest tortilla producer, reported 32% as the best return in the region, while Mexico's largest poultry producer, Industrias Bachoco, reported a 24% ROI. At least 60% of the analysts Bloomberg spoke with recommend buying stock in the following three of the four major food companies Mexico, based on their market value: Gruma, Bachoco, and Grupo Herdez.

TRENDS (EL ECONOMISTA 7) GRUMA.

Financial services firm UBS raised its price target for the company’s shareholders from 229 to 265 Mexican pesos, and reiterated its recommendation to buy. The firm could increase its EBITDA by 17%, UBS indicated. 

MEXICANS DOMINATE BRAND EQUITY IN LATIN AMERICA (CAPITAL DE MÉXICO p-6) 

Four of the ten most valuable brands in Latin America are Mexican with a combined value of USD 22.68 billion, an amount that accounts for 43% of the regional top ten. According to BrandZ’s figures for 2015, Mexico and Brazil have the most valuable commercial brands, each with four companies on the list. Brands from Chile and Colombia completing the ranking. Another development this year is the addition of four brands to the top 30 list: Banco Azteca with a value of USD 1.53 billion, Cerveza Sol at USD 800 million, Maseca at USD 710 million and Aeromexico at USD 475 million.

MODERATE GROWTH ANTICIPATED IN Q315 (EL ECONOMISTA 5)

Grupo Alsea, Fibra Hotel, Grupo Aeroportuario del Pacífico and Promotora y Operadora de Infraestructura are the Mexican issuers expected to post the best results in their sales and EBITDA in Q3 of this year, according to financial group Ve por Más (BX+)… Other issuers expected to present a favorable outlook in these categories are Grupo Aeroportuario de Sureste, Aeroméxico, Volaris, Fibra Uno and Gruma…

THE ACCOUNTANT (EXCÉLSIOR 3)

Juan González Moreno, Chairman and CEO of Gruma and President of the Mexico-China High-Level Business Group, is lumbering up for the Group’s third meeting, to be held in Guadalajara, Jalisco, on October 13 during the China-Latin America and the Caribbean Business Summit. The forum will focus on extending commercial relations and business opportunities between Mexico and China. As the Group’s President, González Moreno called together Chinese business leaders in order to extend the business and investment relations between both nations. The Mexico-China High-Level Business Group is composed of 24 members from both nations...