Fitch: Latin American Media Outlook Remains Stable

CHICAGO--(BUSINESS WIRE)-- Link to Fitch Ratings' Report: 2016 Outlook: Latin America Media (Diversification Mitigates Weak Demand)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=875069

Fitch Ratings has published a new report on the 2016 outlook for Latin American media industry.

Fitch expects the credit profiles of the rated Latin American broadcasters, except TV Azteca S.A.B. de C.V., to remain broadly stable in 2016, despite weak advertising demand under a sluggish economy.

'Most operators are well positioned to mitigate the suppressed free-to-air (FTA) TV's advertising demand in 2016 given their diversified cash flow sources and solid balance sheets,' according to Alvin Lim, Director at Fitch. 'On that note, TV Azteca will remain most vulnerable among the rated issuers given its over-reliance on the FTA revenues,' added Lim.

Fitch does not foresee any material industry-wide advertising price increases in 2016 as advertisers' budget could remain constrained. This, combined with increasing production costs, could pressure the issuers' profitability of the FTA segments, but cash flow generation from other sources, such as content sales and new business platforms, would help retain stable operational cash flow generation and financial metrics.

Fitch also believes that free-to-air TV's dominant position among advertisement media will remain intact given high penetrations and viewership in households against the backdrop of the increasing pay-TV and Internet market shares.

The full report 'Outlook 2016: Latin American Media' is available at 'www.fitchratings.com'.

Additional information is available on www.fitchratings.com

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.

View source version on businesswire.com: http://www.businesswire.com/news/home/20151208006463/en/

Fitch Ratings
Alvin Lim, CFA
Director
+1 312 368 3114
Fitch Ratings, Inc.
70 West Madison Street
Chicago, IL 60602
or
Mauro Storino
Senior Director
+55 21 4503-2625
or
Velia Valdes
Analyst
+52 81 8399 9100
or
Media Relations
Alyssa Castelli, +1 212-908-0540
[email protected]

Source: Fitch Ratings

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• FLSmidth: Transactions under share buy-back programme
• Aktsiaselts Infortar own share acquisition transactions
• LHV Group's own share acquisition transactions