Deriving around 80% of EBITDA from Latin American countries, Codere is the rated gaming company most exposed to the highly volatile and politically unstable Latin American market. This exposure is mainly concentrated in Argentina and Mexico, which together represent around 75% of EBITDA. While those markets have a lot of untapped growth potential, they also carry high potential risks, most associated with foreign-exchange volatility. The most recent example of this volatility is the Argentine peso's extreme devaluation during 2018, which created unexpected volatility in credit metrics. We don't expect any material change in Codere's geographic footprint over the next two-to-three years. Due to the capital-intensive nature of the business, Codere incurs significant capex every year, limiting its ability to generate
