IIn early 2010, almost two years after defaulting on its debt
at the height of the 2008 financial crisis,
Mexico’s third largest supermarket chain,
Controladora Comercial Mexicana (CCM), was mired in fruitless
talks with creditors.
After losing more than $2.0 billion to bad bets in currency
derivatives, the company was struggling to refinance more than
$3.2 billion in debt and derivatives claims. It was not until
June of 2010 that Comerci, as the company is known, moved to
pursue a debt restructuring under a concurso mercantil, using
Mexico’s relatively untested insolvency law.
In doing so, CCM became the first listed company in Mexican
history to file a pre-packaged restructuring, where the debtor
and creditors strike an agreement before going to court.
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