Mexico to inject $3.9 billion in Pemex, seeks to prevent credit downgrade

Mexico moves to bailout its state owned oil company.

(From Reuters)

Mexico will inject $3.9 billion into ailing state oil company Pemex, officials said on Friday, promising to strengthen its finances and prevent a further credit downgrade, although investors saw the plan as only a short-term fix.

Falling oil output, corruption and high labor costs have contributed to the decline of the company that was once a symbol of national pride.

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