Banorte Frets CCM Loans

Mexico’s Banorte acknowledged it has MXP1bn in credit risk exposure to retailer CCM through an unsecured loan that expires in March. The loan represents 0.3% of its total assets and 0.5% of its total loans, it says, and claims it could recover part or all of the loan depending on the outcome of the retailer’s bankruptcy filing. Banorte said it isn’t counterparty to CCM’s derivatives operations, nor to those of Durango or Grupo Industrial Saltillo, with whom it does not have loans. CCM defaulted last week and entered restructuring. The collapse of Mexico’s third biggest supermarket chain follows the recent collapse of Durango.