Mexican cement maker Cemex said Spanish tax authorities have fined its Spanish subsidiary 455 million euros ($620 million) following an audit of the unit’s tax returns for the years 2006 through 2009.
Cemex España plans to appeal the fines, the company said Friday in a filing with the Mexican Stock Exchange.
If the appeals are not resolved in the company’s favor, this matter “could have a material adverse impact on our operating results, liquidity and financial situation,” Cemex added.
The Spanish unit of the Monterrey, Mexico-based company, one of the world’s largest cement makers, has been hard hit by the collapse of the Iberian nation’s construction sector.
“Spanish tax authorities disputed a portion of the fiscal losses reported by Cemex España for those years,” the filing said.