Fitch Mulls Mabe Downgrade

Fitch has placed Mexican home appliance manufacturer Mabe’s BBB minus rating on watch negative, including senior notes due 2015. The action reflects risk and uncertainty following the recent announcement from GE, its major stockholder that it is reviewing strategic options for its appliances business, which include a strategic partnership or joint venture, spin off or sale of the business. Last week S&P also placed Mabe on credit watch negative. Meanwhile, GE chief executive Jeffrey Inmelt has named Mabe as one of the potential buyers of its appliance business, wires report.