Alpek, S.A.B. de C.V. had a significant decline in profitability, reflecting increased exposure to industry volatility and weaker competitive advantages. We also expect adjusted leverage metrics to remain above 3.0x debt-to-EBITDA for a longer period. As a result, S&P Global Ratings revised the outlook on Alpek to negative from stable. We also affirmed our 'BBB-' issuer credit and issue-level ratings. The negative outlook indicates that Alpek could lose its investment-grade rating if it does not have a business transition with more sustainable operating dynamics. Alpek?s adjusted EBITDA margins fell significantly to 6.7% for the nine months ending Sept. 30, 2025, compared with 9.2% the previous year. This decline reflects ongoing challenges in mitigating the negative impact of industry conditions on
