On June 3, 2005, Standard&Poor's Ratings Services affirmed its 'BBB' corporate credit rating on Mexico-based Coca-Cola FEMSA S.A. de C.V. (KOF). The outlook remains stable. The ratings for KOF reflect the company's solid business position as evidenced by strong soft-drink market presence in its franchise territories in several countries throughout Latin America, its relative cash flow diversification, Coca-Cola Co.'s (KO) equity participation, and the company's strategic importance to the Coke system. These factors are partially offset by a highly competitive environment, KOF's intermediate financial risk profile, and country risk exposure related to its operations in Mexico and other countries in Latin America. As the largest soft-drink bottler in Latin America and the second-largest worldwide within the KO system,
