Kimberly-Clark de Mexico's Michoacan Plant Damaged by Fire

MEXICO CITY--Paper-goods maker Kimberly-Clark de Mexico SAB (KIMBER.MX) said Monday that a fire damaged its Morelia mill on Friday in the state of Michoacan, but that none of its personnel were injured.

The manufacturer of products such as Huggies diapers and Kleenex tissues said that while investigations into the cause of the fire continue, preliminary reports point to a short circuit.

The company doesn't expect the blaze will have a material impact on its financial results, as the installations were insured and Kimberly-Clark has available production capacity at 11 manufacturing sites. The damaged property represents less than 3% of the company's fixed assets.

In May, also in the state of Michoacan, a criminal group calling itself the Knights Templar allegedly set fire to warehouses and delivery trucks belonging to PepsiCo Inc.'s (PEP) Mexican snacks division, Sabritas.

It was suggested in various media outlets that the Knights Templar attacked Sabritas because the group thought Mexican authorities were using the multinational company's extensive fleet of delivery trucks to gather intelligence on drug cartels.

Mexico's Interior Ministry said last week in a statement that no information points to the Sabritas vehicles having been used for anything other than snack-product deliveries.

Write to Amy Guthrie at [e-mail].