/raid1/www/Hosts/bankrupt/TCRLA_Public/130430.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
L A T I N A M E R I C A
Tuesday, April 30, 2013, Vol. 14, No. 84
Headlines
A N G U I L L A
COTSWORLD INSURANCE: A.M. Best Downgrades ICR to 'bb'
A R G E N T I N A
BANCO DE SERVICIOS: Moody's Rates New Debt Issuances 'Ba3'
FIDEICOMISO FINANCIERO I: Moody's Assigns New Ratings to Certs.
FUCEREP: Fitch Affirms 'B' Issuer Default Rating
NUEVO BANCO: Fitch Affirms Viability Rating at 'bb-'
B R A Z I L
AVIANCA HOLDINGS: S&P Assigns 'B+' CCR & Rates Sr. Unsec. Notes B
BANCO BILBAO: S&P Affirms 'BB+' Rating; Outlook Remains Negative
BANCO INDUSTRIAL: Moody's Affirms Deposit Ratings at Ba2
USINAS SIDERURGICAS: S&P Affirms 'BB+' CCR; Outlook Negative
USINAS SIDERURGICAS: Fitch Affirms 'BB+' Issuer Default Rating
WPE INTERNATIONAL: S&P Assigns 'B' Rating to Senior Unsec. Notes
C A Y M A N I S L A N D S
AQUA TURKISH: Shareholder Receives Wind-Up Report
CAFFEBENE PHILIPPINES: Shareholders Receive Wind-Up Report
CAFFEBENE VIETNAM: Shareholders Receive Wind-Up Report
CAPITAL TACTICS: Shareholders Receive Wind-Up Report
COGO WOLF: Shareholders Receive Wind-Up Report
COPIA MARKET: Shareholders Receive Wind-Up Report
COPIA MARKET (CAYMAN): Shareholders Receive Wind-Up Report
EHTA HOLDINGS: Shareholders Receive Wind-Up Report
FLYING SPUR: Shareholders Receive Wind-Up Report
FPP EMERGING: Shareholder Receives Wind-Up Report
INVESTCORP FIXED: Shareholders' Final Meeting Set for May 14
IPH FINANCE: Shareholders' Final Meeting Set for May 14
IVC EMPLOYEE: Shareholders' Final Meeting Set for May 14
KBC INVESTMENTS: Shareholders Receive Wind-Up Report
LOTUS PEAK: Shareholders Receive Wind-Up Report
MARIAN CAPITAL: Shareholders Receive Wind-Up Report
OFFSHORE DRILLER 1: Shareholders Receive Wind-Up Report
OFFSHORE DRILLER 3: Shareholder Receives Wind-Up Report
OFFSHORE DRILLER B325: Shareholder Receives Wind-Up Report
RINGWOOD CAPITAL: Shareholders Receive Wind-Up Report
SILVER DAWN: Shareholders Receive Wind-Up Report
UKH SERVICES NO 1: Shareholder Receives Wind-Up Report
WS OPPORTUNITY: Shareholder Receives Wind-Up Report
C O L O M B I A
BANCO GNB: Fitch Puts HSBC Uruguay on RWN Pending Acquisition
D O M I N I C A N R E P U B L I C
* DOMINICAN REPUBLIC: CDEEE CEO Admits Debt Brought Blackouts
M E X I C O
CORPORACION GEO: Moody's Lowers Unsecured Debt Rating to Ca
CORPORACION GEO: Moody's Downgrades LT Issuer Rating to Ca.mx
MAXCOM TELECOMUNICACIONES: Mulls Chapter 11 After Buyout Fails
MAXCOM TELECOMUNICACIONES: Moody's Downgrades CFR 3 Notches to Ca
MAXCOM TELECOM: Ventura Extends Tender Offer for Securities
METROFINANCIERA SAPI: Fitch Cuts Indexed Notes Rating to 'CCC'
S U R I N A M E
* SURINAME: S&P Affirms 'BB-' Sovereign Credit Ratings
X X X X X X X X
CORPORACION INTERAMERICANA: Moody's Withdraws Ba3 CFR
* CARIBBEAN: Construction Costs Likely to Fall
* Large Companies With Insolvent Balance Sheets
- - - - -
===============
A N G U I L L A
===============
COTSWORLD INSURANCE: A.M. Best Downgrades ICR to 'bb'
-----------------------------------------------------
A.M. Best Co. has removed from under review with negative
implications and downgraded the financial strength rating to B
(Fair) from B+ (Good) and the issuer credit ratings to "bb" from
"bbb-" of Cotswold Insurance Limited (Cotswold) (Anguilla, British
West Indies). The outlook assigned to both ratings is negative.
Concurrently, A.M. Best has withdrawn the ratings due to
management's request to no longer participate in A.M. Best's
interactive rating process.
The rating downgrades reflect Cotswold's negative revenue and
earnings trends based on A.M. Best's review of its unaudited data.
This decline was due in part to ongoing changes to its business
strategy and changes in the holding company structure, to
facilitate this change. The company's inability to produce timely
cost efficient consolidated annual financial statements, the lack
of audited data and receipt of other data requirements on a timely
basis were viewed as negative factors in the analysis of the
financial condition of Cotswold.
=================
A R G E N T I N A
=================
BANCO DE SERVICIOS: Moody's Rates New Debt Issuances 'Ba3'
----------------------------------------------------------
Moody's Investors Service assigned a Ba3 global local currency
senior debt rating to Banco de Servicios Financieros' (BSF)
seventh expected debt issuance for an amount of ARS40 million due
in 9 months, and to the eight expected debt issuance for an amount
of ARS115 million due in 18 months. Both issuances together should
not exceed a total amount of ARS115 million.
At the same time, Moody's Latin America assigned Aa1.ar local
currency debt ratings on the Argentinean National Scale to both
expected issuances.
The outlook on all ratings is stable.
The following ratings were assigned to Banco de Servicios
Financieros Argentina:
ARS40 million expected issuance:
Global Local-Currency Debt Rating: Ba3, stable outlook
National Scale Local-Currency Debt Rating: Aa1.ar
ARS115 million expected issuance:
Global Local-Currency Debt Rating: Ba3, stable outlook
National Scale Local-Currency Debt Rating: Aa1.ar
Ratings Rationale:
Moody's explained that the local currency senior debt rating
derives from BSF's Ba3 global local currency deposit rating.
Moody's also noted that seniority was taken into consideration in
the assignment of the debt ratings.
Moody's has assigned a Ba1 deposits rating to BSF, which derives
from a baseline credit assessment (BCA) of b3, and also
incorporates the high probability of parental support from BSF's
ultimate parent, France's Carrefour, currently rated Baa2.
The ratings of BSF captures the bank's role in its niche market as
the main financial services provider within Carrefour's network of
stores, as well as its good capitalization level. However, key
risks include the bank's still small market share, its weak
earnings and funding diversification, as well as its modest asset
quality profile, which reflect the retail nature of the bank's
operations and its high-risk, high return business model.
Banco de Servicios Financieros is headquartered in Buenos Aires,
Argentina, with assets of ARS945 million and equity of ARS135
million as of December 2012.
The principal methodology used in this rating was Moody's
Consolidated Global Bank Rating published in June 2012.
Moody's National Scale Ratings (NSRs) are intended as relative
measures of creditworthiness among debt issues and issuers within
a country, enabling market participants to better differentiate
relative risks. NSRs differ from Moody's global scale ratings in
that they are not globally comparable with the full universe of
Moody's rated entities, but only with NSRs for other rated debt
issues and issuers within the same country. NSRs are designated by
a ".nn" country modifier signifying the relevant country, as in
".mx" for Mexico.
FIDEICOMISO FINANCIERO I: Moody's Assigns New Ratings to Certs.
---------------------------------------------------------------
Moody's Latin America has rated the debt securities and
certificates of Fideicomiso Financiero Bancor Personales I, to be
issued by Deutsche Bank S.A. -- acting solely in its capacity as
issuer and trustee.
Moody's notes that the securities contemplated by this transaction
have not yet settled. If any assumptions or factors considered by
Moody's in assigning the ratings change before closing, Moody's
could change the ratings assigned to the notes.
Moody's has withdrawn the ratings of the Class VRDB because the
liability structure and the pool of the transaction have changed
before issuance and as a result the rating of VRDB tranche will
change. Moody's has assigned new ratings to this tranche as
follows.
ARS34,964,265 in Class A Debt Securities (VRDA) of "Fideicomiso
Financiero Bancor Personales I", rated Aaa.ar (sf) (Argentine
National Scale) and Ba3 (sf) (Global Scale, Local Currency)
ARS4,994,895 in Class B Debt Securities (VRDB) of "Fideicomiso
Financiero Bancor Personales I", rated Aaa.ar (sf) (Argentine
National Scale) and Ba3 (sf) (Global Scale, Local Currency)
ARS9,989,790 in Certificates (CP) of "Fideicomiso Financiero
Bancor Personales I", rated Ba1.ar (sf) (Argentine National Scale)
and Caa1 (sf) (Global Scale, Local Currency).
Ratings Rationale:
The rated securities are payable from the cash flow coming from
the assets of the trust, which is an amortizing pool of
approximately 13,138 eligible personal loans denominated in
Argentine pesos, originated by Banco de Cordoba, in an aggregate
amount of ARS49,948,949.51.
These personal loans are granted to pensioners and employees of
the Government of the Province of Cordoba in Argentina.
For approximately 55.88% of the securitized portfolio, Banco de
Cordoba, as payment agent, deducts the monthly loan installment
directly from the employee's or pensioner's paycheck. For the rest
of the pool, the loan installment is deduct directly from the
employee's paycheck or the pensioner's payment, by the Government
of the Province of Cordoba, after receiving instructions from
Banco de Cordoba.
Overall credit enhancement is comprised of subordination: 30% for
the VRDA and 20% for the VRDB. In addition the transaction has
various reserve funds and excess spread.
Moody's considered the credit enhancement provided in this
transaction through the initial subordination levels for each
rated class, as well as the historical performance of Banco de
Cordoba's portfolio. In addition, Moody's considered factors
common to consumer loans securitizations such as delinquencies,
prepayments and losses; as well as specific factors related to the
Argentine market, such as the probability of an increase in losses
if there are changes in the macroeconomic scenario in Argentina.
These factors were incorporated in a cash flow model that takes
into account all the relevant features of the transaction's assets
and liabilities. Monte Carlo simulations were run, which
determines the expected loss for the rated securities.
Moody's considered factors common to consumer loans
securitizations such as delinquencies, prepayments and losses; as
well as specific factors related to the Argentine market. These
factors were incorporated in a cash flow model in order to
determine the expected loss for the rated securities. Finally,
Moody's also evaluated the back-up servicing arrangements in the
transaction.
In assigning the rating to this transaction, Moody's assumed a
lognormal distribution for defaults on the underlying pool with a
mean 2.5% and a coefficient of variation of 50%. Also, Moody's
assumed a lognormal distribution for with a mean 25% and a
coefficient of variation of 70%.
These assumptions are derived from the historical performance to
date of the Banco de Cordoba's pools. Servicer default was modeled
by simulating the default of the Banco de Cordoba as the servicer
consistent with its current rating of B3/A2.ar.
In the scenarios where the servicer defaults, Moody's assumed that
the defaults on the pool would increase by 20 percentage points.
The model results showed 0.00% expected loss for VRDA, 0.12% for
VRDB and 9.84% for the Certificates.
Moody's ran several stress scenarios, including increases in the
default rate assumptions. If the mean default rate were increased
to 8.5%, the ratings of the VRDA would remain the same. The
ratings for and VRDB and the Certificates would be likely
downgraded to Caa1 (sf) and Caa2 (sf) respectively.
Moody's also considered the risk that a disruption in the flow of
payments from the Government of Cordoba to pensioners and
employees respectively, could severely affect the performance of
the pool. Moody's believes that the ratings assigned are
consistent with this risk.
Finally, Moody's also evaluated the back-up servicing arrangements
in the transaction. If Banco de Cordoba is removed as servicer,
Deutsche Bank S.A. will be appointed as the back-up servicer.
The main source of uncertainty for this transaction is the
regulatory and legal framework for the automatic deduction loans
in Argentina.
The principal methodology used in this rating was Moody's Approach
to Rating Consumer Loan ABS transaction published in October 2012.
Moody's National Scale Credit Ratings (NSRs) are intended as
relative measures of creditworthiness among debt issues and
issuers within a country, enabling market participants to better
differentiate relative risks. NSRs differ from Moody's global
scale credit ratings in that they are not globally comparable with
the full universe of Moody's rated entities, but only with NSRs
for other rated debt issues and issuers within the same country.
NSRs are designated by a ".nn" country modifier signifying the
relevant country, as in ".mx" for Mexico.
FUCEREP: Fitch Affirms 'B' Issuer Default Rating
------------------------------------------------
Fitch Ratings has affirmed FUCEREP's - Cooperativa de Ahorro y
Credito (FUCEREP) foreign and local currency Issuer Default Rating
(IDR) at 'B' and upgraded its national long-term rating to 'BBB-
(uy)' from 'BB+(uy)'.
RATING ACTION RATIONALE
FUCEREP's IDR considers its strong capitalization ratios, adequate
liquidity, appropriate asset quality and reasonable performance.
Nevertheless, FUCEREP's IDRs remains constrained by its small
size, weak efficiency and low diversification by business line and
by geographical region.
Fitch affirmed FUCEREP's Support at '5' and Support Floor at 'NF',
given FUCEREP's small size relative to Uruguayan Financial System
there was no considered any kind of state support.
The upgrade of its national long-term rating follows the sustained
improvement in FUCEREP's performance, underpinned by a growing
business volume with an appropriate asset quality and solvency
ratios.
RATING SENSITIVITIES
Fitch does not expect an upgrade in FUCEREP's IDR in the near
future given its limited business volume, low efficiency and
profitability ratios relative to peer's in Latin America with
rated at 'B+'.
A sustained volume of business growth which leaves to an
improvement in its operating performance and efficiency
indicators, coupled with a diversified income sources could lead
to an upgrade in the national long-term rating of the entity.
On the other hand, a significant deterioration in FUCEREP's asset
quality and profitability ratios, could lead to a downgrade of
national long-term rating.
CREDIT PROFILE
FUCEREP's performance is supported by its strong net interest
income and adequate asset quality, which offset its loan book slow
growth in 2012. Fitch consider that FUCEREP still has room for an
improvement on its efficiency ratios that should come from a
greater scale of business. With an appropriate control on their
expenses and asset quality, FUCEREP should maintain a reasonable
operating profitability (around 2% of Average Assets) in the short
term.
Credit risk is the issuer's main challenge. Asset quality ratios
have consistently improved since 2007 due to more conservative
lending policies and the favourable economic cycle. FUCEREP's
past-due loan/total loan ratio reached a 6.6% at year-end 2012.
Although this level is higher than the financial system's average
of 2.27%, it is adequate considering the segments served by
FUCEREP and the ample reserves cushion (126%). However, Fitch
believes there are margins for improvement in the medium term.
The loan portfolio has no significant concentration by amount with
the largest 10 obligors accounting for 5% of the total loan
portfolio. However, the portfolio is concentrated by product, with
consumer/retail loans accounting for 85% of FUCEREP's total loans
to non-financial sector.
Resident deposits are the entity's main source of funding, in
particular its savings product FONAE (46% of liabilities) and term
deposits (53%). However, FUCEREP's deposit base is concentrated,
as the 10 largest depositors accounted for 16% of total deposits.
Liquidity is adequate.
FUCEREP's capitalisation is strong relative to peers'. Fitch
expects the Fitch Core Capital Ratio to decline in the medium term
according to the expected increase in FUCEREP's risk weighted
assets. Nevertheless, this ratio will likely remain high given the
entity's improving financial performance and higher partner base.
Fitch has taken the following rating actions on FUCEREP:
-- Foreign and local currency Issuer Default Rating (IDR) affirmed
at 'B'; Outlook Stable
-- National long-term rating upgraded at 'BBB-(uy)' from
'BB+(uy)'; Outlook to Stable from Positive;
-- Support rating affirmed at '5';
-- Support Rating Floor affirmed at 'NF'.
Credit research on FUCEREP is available on the Fitch Ratings web
site at 'www.fitchratings.com'.
NUEVO BANCO: Fitch Affirms Viability Rating at 'bb-'
----------------------------------------------------
Fitch Ratings has affirmed Nuevo Banco Comercial S.A.'s Foreign
Currency Issuer Default Rating (IDR) at 'BBB+' and Local Currency
IDR at 'A+'. The Rating Outlook is Stable.
RATING ACTION RATIONALE
Nuevo Banco Comercial S.A.'s (NBC) IDRs and National Long-term
ratings reflect the potential support from The Bank of Nova Scotia
(BNS), which holds 100% of the bank's equity, with a FC IDR ('AA-
') higher than the Country Ceiling. NBC's foreign currency IDR is
at the country ceiling, while its local currency IDR is two
notches above that of the Uruguayan sovereign.
Fitch affirmed support rating at 2 given that NBC is considered a
strategically important subsidiary of BNS, as it is part of BNS's
business plan for Latin America and its potential long term growth
in Uruguay. Also, NBC benefit from a complete integration to BNS
business policies and strong franchise, although they don't share
the same brand name yet. So NBC would be expected to receive
timely support from its parent, if required.
NBC's viability ratings reflect its strong national franchise,
good asset quality, high liquidity, limited solvency ratios and
its low profitability.
RATING SENSITIVITIES
NBC's FC IDR is currently constrained by Uruguay's Country Ceiling
while its LC IDR is two notches above the local currency sovereign
ratings, further upgrades will be contingent to positive changes
in the sovereign rating. Also, negative changes on the sovereign
rating or a change on the capacity and willingness to provide
support from BNS may affect NBC's ratings, currently a scenario of
very low probability.
The Outlook on the National long-term rating remains Stable.
CREDIT PROFILE
NBC's performance slightly improved during 2012 underpinned by
loan growth, greater non-interest operating income and lower loan
impairment charges, that offset an unexpected increase on NBC's
expenses due to Central Bank of Uruguay's (BCU) requirement to
account as Non-Interest Expenses its premium paid over stock of
acquired loans (USD14 millions). NBC's profitability is still
limited (ROAA 0.99% at YE12), although with a positive trend
(1.07% at 1Q13).
Fitch expects NBC's operating performance to improve in line with
the expected increase in lending volumes, higher cross selling and
improvements in cost efficiency. In addition, Scotiabank's policy
to centrally hedge the foreign exchange positions stemming from
its investment in subsidiaries enabled NBC to close its
historically open USD position and this will mean lower volatility
on its income statement.
NBC's asset quality is good and its ratios have improved. Only
2.75% of the loan book is past-due (60 days or more overdue, under
local definitions). Loan loss reserves covered 3.89% of total
loans and 152.14% of past-due loans at YE12, which is considered
adequate.
NBC's funding is mainly through deposits; liquidity continues to
be at comfortable level with a gradual downward trend due to high
rate of loan growth in the last two fiscal years. Liquid assets
represent 35% of deposits and short-term funds at YE12. Despite
the short-term nature of its funding, ample liquidity levels, the
support of its parent and its relatively short-term loan portfolio
helps to mitigate the structural maturity mismatch of the bank.
NBC's capitalization has decreased after the redemption of
preferred shares previously held by Uruguay's Central Bank (BCU)
and limited bank's profitability in 2012. The bank's equity to
assets ratio came down to 6.58% of assets and its Fitch Core
Capital (FCC) ratio to 7.97% at YE12; mostly explained by the
aforementioned redemption of the preference shares. Fitch
considers NBC's FCC tight and will monitor its evolution in the
context of the bank's expansion plan. However, Fitch considers the
ability and willingness of Scotiabank to support their
subsidiaries in case were necessary.
NBC is the fourth-largest private sector bank in Uruguay and its
market presence is significant in all segments.
Fitch has taken the following rating actions on Nuevo Banco
Comercial S.A.:
-- Foreign currency Issuer Default Rating (IDR) affirmed at
'BBB+'; Outlook Stable;
-- Local currency IDR affirmed at 'A-'; Outlook Stable;
-- Support rating affirmed at 2;
-- National long-term rating affirmed at 'AAA(uy)'; Outlook
Stable;
-- Viability Rating affirmed at 'bb-'.
===========
B R A Z I L
===========
AVIANCA HOLDINGS: S&P Assigns 'B+' CCR & Rates Sr. Unsec. Notes B
-----------------------------------------------------------------
Standard & Poor's Rating Services assigned its 'B+' corporate
credit rating on Avianca Holdings S.A. (Avianca). At the same
time, S&P assigned its 'B' rating to Avianca's proposed senior
unsecured notes due 2023. The outlook is stable.
The 'B+' corporate credit rating reflects Avianca's "weak"
business risk profile, "aggressive" financial risk profile, and
"adequate" liquidity.
The rating on the note is one notch lower than the corporate
credit rating on Avianca, reflecting the effective subordination
of the notes to existing secured debts. Under S&P's criteria,
operating leases and other aircraft financing are assumed to be
senior secured obligations with priority of payment relative to
unsecured debt. Avianca will use the proceeds from the issuance
to capital expenditures, to extend the overall debt maturity
profile.
BANCO BILBAO: S&P Affirms 'BB+' Rating; Outlook Remains Negative
----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB+' long-term
and 'B' short-term ratings on Banco Bilbao Vizcaya Argentaria
Uruguay (BBVA Uruguay). The outlook remains negative. The SACP
on BBVA Uruguay is now 'bb+' and reflects improved performance and
capitalization metrics.
The issuer credit ratings on BBVA Uruguay reflect the bank's
"strong" business position, "moderate" capital and earnings,
"adequate" risk position, "average" funding, and "adequate"
liquidity.
The ratings also reflect S&P's view of BBVA Uruguay's status as a
"moderately strategic" subsidiary to its parent, Banco Bilbao
Vizcaya Argentaria S.A. (BBB-/Negative/A-3), which owns 100% of
the bank's equity. Under S&P's group methodology, the long-term
issuer credit rating on a "moderately strategic" subsidiary is
generally one notch above its SACP, subject to a cap of one notch
below the parent's credit rating. Current ratings on BBVA Uruguay
are at the same level as its SACP and thus do not incorporate
notch uplift of support from the parent.
S&P classifies the Uruguayan government as "support uncertain"
under S&P's bank criteria methodology. For that reason, and
despite BBVA Uruguay's moderately systemic importance to the
country's financial system, the credit ratings on the bank don't
factor extraordinary government support.
BANCO INDUSTRIAL: Moody's Affirms Deposit Ratings at Ba2
--------------------------------------------------------
Moody's Investors Service has affirmed the ratings of Banco
Industrial do Brasil S.A. (BIB), including the bank financial
strength rating (BFSR) of D, the global local-currency and
foreign-currency deposit ratings of Ba2 and Not Prime, and the
Brazilian national scale deposit ratings of A1.br and BR-1. The
outlook on all ratings is stable.
The following ratings of Banco Industrial do Brasil were affirmed:
Bank financial strength rating: D, stable outlook
Global local currency long and short term deposit ratings: Ba2 and
Not Prime, stable outlook
Foreign currency long and short term deposit ratings: Ba2 and Not
Prime, stable outlook
Brazilian national scale long and short term deposit ratings:
A1.br and BR-1, stable outlook
Ratings Rationale:
Moody's affirmed BIB's D standalone bank financial strength rating
and ba2 baseline credit assessment based on the bank's consistent
capacity to deliver positive, although modest, bottom-line results
during the past several years and to report adequate financial
metrics. This has been accomplished despite increasing competition
for loans to small- and mid-sized companies (SMEs) and declining
interest rates during 2012.
The rating affirmation and stable outlook are also supported by
conservative credit and liquidity risk management practices
including maintenance of strong capital cushion to support
potential losses and good coverage of short term liabilities.
Moreover, for the past years, management has followed a prudent
growth strategy based on a conservative credit risk appetite that
is reflected in relatively low delinquencies, said Moody's.
The bank's good asset quality reflects the highly-collateralized,
short-term nature of its loan book. The predominance of wholesale
commercial loans in the bank's portfolio, at 84% of total loans in
2012 and generating 69% of earnings, reflects the bank's
consistent business model and strategy over the years. During the
second half of 2012, the bank's profitability ratios recovered
from a gradual, downward trend, which began in mid-2010, as
management shifted its focus towards purchasing credit rights, on
a non-recourse basis, collateralized by receivables from
commercial companies. These operations complemented the bank's own
loan origination and contributed to increase earnings.
Nonetheless, the high concentration of borrowers in BIB's loan
portfolio heightens its credit risk and is a key constraint on the
bank's ratings, together with its relatively tight margins and
limited diversification of products. As of December 2012, the ten
largest borrowers in the wholesale segment represented roughly
74.5% of Tier 1 capital and 468% of pre-provision income. The
bank's high deposit concentration, with the ten largest investors
accounting for 46% of deposits, is also an important limitation to
the ratings, added Moody's.
Moody's last rating action on BIB was on May 20, 2010, when it
upgraded BIB's bank financial strength rating to D, from D-, the
long-term global local currency and foreign currency deposit
ratings to Ba2, from Ba3, and the Brazilian national scale deposit
ratings to A1.br and BR-1, from A3.br and BR-2, long- and short-
term, respectively. The short-term global local currency and
foreign currency deposit ratings of Not Prime were affirmed. The
outlook on all these ratings was stable.
The principal methodology used in BIB's ratings was the
"Consolidated Global Bank Rating Methodology", published on June
29, 2012.
Moody's National Scale Ratings (NSRs) are intended as relative
measures of creditworthiness among debt issues and issuers within
a country, enabling market participants to better differentiate
relative risks. NSRs differ from Moody's global scale ratings in
that they are not globally comparable to the full universe of
Moody's rated entities, but only with NSRs for other rated debt
issues and issuers within the same country. NSRs are designated by
a ".nn" country modifier signifying the relevant country, as in
".mx" for Mexico.
Banco Industrial do Brasil S.A. is headquartered in Sao Paulo,
Brazil. As of December 2012, the bank had total assets of
approximately BRL2.6 billion ($1.3 billion) and equity of BRL442
million ($216 million).
USINAS SIDERURGICAS: S&P Affirms 'BB+' CCR; Outlook Negative
------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on Usinas
Siderurgicas de Minas Gerais S.A. (Usiminas) to negative from
stable. At the same time, S&P affirmed its 'BB+' global scale and
'brAA+' national scale corporate credit ratings on the company.
The outlook revision reflects S&P's opinion that it may lower the
ratings if the company maintains its high leverage metrics as a
result of a still weak operating profit amid a subdued demand for
flat steel in Brazil. As S&P's base case, it assumes Usiminas'
margins will recover amid an improvement in the domestic market,
particularly due to lower competition from imports. However, S&P
sees risks to its base case, which could trigger a downgrade, if
demand remains weak and recent price increase is not sustainable,
resulting in adjusted debt to EBITDA consistently above 4x.
USINAS SIDERURGICAS: Fitch Affirms 'BB+' Issuer Default Rating
--------------------------------------------------------------
Fitch Ratings has affirmed the long-term foreign and local
currency Issuer Default Ratings (IDRs) of Usinas Siderurgicas de
Minas Gerais S.A. at 'BB+' and national scale rating at 'AA(bra)'.
The Rating Outlook is Negative.
KEY RATING DRIVERS:
Negative Outlook Linked to Execution of Recovery Plan:
The Negative Outlook reflects the worse than expected
profitability of Usiminas during 2012 and Fitch's expectation of a
continued slow recovery for the Brazilian economy during 2013 as
the company continued to post losses into 1Q13. Benefits expected
from higher sales volumes due to steel import tariffs imposed by
the Brazilian government in 3Q12 and improved sales mix should
contribute to a degree of recovery, but challenges remain to the
company's ability to recover its operational cashflows to
historical levels in the near term. The delays to the completion
of the MMX port, now expected to begin operations by December
2013, could also constrain volumes of more profitable iron ore
shipments for the year.
Cost Control Improvement is Crucial:
Fitch does not expect credit metrics for Usiminas to recover
significantly during 1H13, as the effect of recent cost
efficiencies, steel tariffs, and better product mix will take time
to filter through. The company continued to operate at a loss in
1Q13, the fifth consecutive quarter it has done so. Usiminas
reported a net loss of BR123 million in 1Q13 compared to a net
loss of BRL37 million in 1Q12. Net losses of BRL531 million were
reported in 2012, and Fitch expects a net loss of about BR150
million for 2013, turning positive from 2014 onwards.
Total adjusted debt to LTM EBITDA and net adjusted debt to LTM
EBITDA ratios in 1Q13 improved to 9.0x and 4.4x, respectively,
from their peaks of 11.0x and 5.1x at year-end 2012 but remain
high for the rating category. The deleveraging reflects modest
improvements in EBITDA and a reduction of total adjusted debt to
BRL8.3 billion in 1Q13 from BRL8.8 billion in 1Q12. The spike in
the company's leverage ratios during 2012 was due to a significant
decrease in EBITDA to BRL798mn in 2012 from BRL1.3 billion in
2011. EBITDA was mainly lower in 2012 due to the reduction of
higher cost inventories and non-recurring items. Actual total
adjusted debt decreased to BRL8.7 billion in 2012 from BRL9.5
billion in 2011.
Through-the-Cycle Credit Metrics Deterioration:
The challenging operating environment over the last four years has
led to a sustained deterioration in Usiminas' five-year rolling
average credit ratios. The company's five-year rolling average
total adjusted debt-to-EBITDA and net adjusted debt-to-EBITDA
ratios increased to 5.4x and 2.5x in 2012 from 3.3x and 1.4x in
2011, respectively. Coverage ratios have also weakened, as
demonstrated by the company's five-year rolling average FFO fixed-
charge coverage ratio, which fell to 3.9x in 2012 from 6.9x in
2011.
Usiminas has exhibited sustained deterioration in its 'through-
the-cycle' five-year rolling average credit ratios, indicating a
structural shift in the company's credit profile away from strong
historical levels. While the company embarked on cost efficiency
measures and structural reorganization, Fitch does not envisage a
return to the company's historical credit profile as seen during
2006 to 2009 that exhibited long-term net adjusted debt to EBITDA
ratios below 1.5x, in the near term.
Solid Liquidity Position Maintained, Supporting Affirmation:
Usiminas has no liquidity issues and benefits from a comfortable
debt amortization profile as of March 31, 2013. Usiminas had a
cash to short term adjusted debt ratio of 4.1x reflecting cash and
marketable securities of BRL4.2 billion and short term adjusted
debt of BRL1 billion. Cash on balance sheet is enough to cover
debt repayments through to 2016, with only BRL520 million due for
the remainder of 2013. Total adjusted debt decreased to BRL8.3
billion in 1Q13 from BRL8.8 billion in 1Q12, but leverage ratios
increased during the intervening period due to lower EBITDA
generation. The company has access to a RCF for BRL2 billion with
BNDES available for use in capex projects. Usiminas also has a
USD120 million credit facility available with JBIC.
The most restrictive covenant for Usiminas is its net debt-to-
EBITDA ratio of 3.5x. Usiminas received a waiver for the expected
breach of this covenant in December 2012. Fitch's 2013
conservative Base Case scenario indicates the company's net-
adjusted debt to EBITDA ratio will not fall below 3.5x until the
end of 2013. As a result, the company is expected to continue
requesting covenant waivers as needed.
Cash Flows See Recovery in 2012 but Challenges Remain:
Fitch expects to see deterioration in Usiminas' CFFO to around
BRL700 million in 2013 as a result of lower FFO generation and an
increase in working capital requirements. FCF is expected to turn
negative once again at the end of the year by around negative
BRL800 million following Fitch's expectation of capex in the
region of BRL1.5 billion. During 1Q13, CFFO was negative BRL98
million compared to BRL1.2 billion in 4Q12 with the last quarter
of 2012 benefitting significantly from reducing higher cost
inventories.
2012 was the first instance of positive FCF generation for the
company since 2007. Usiminas generated FFO of BRL2.3 billion in
2012 compared to BRL1.1 billion in 2011. CFFO in 2012 benefited
from a working capital inflow of BRL1.8 billion as higher cost
inventories unwound and was strong at BRL4.1 billion. As a result,
Usiminas' generated positive FCF of BRL2.1 billion compared to
negative BRL3.5 billion in 2011. FCF was also aided by lower
capital expenditures of BRL1.9 and dividends of BRL94 million in
2012 compared to BRL2.7 billion and BRL372 million respectively in
2011.
RATING SENSITIVITIES:
Return to Profitability Key:
Conversely, Usiminas reported improved revenues of BRL12.7 billion
in 2012 compared to BRL11.9 billion in 2011, but due to higher
operating costs, non-recurring items, and the impact from higher
cost inventories, reported an EBITDA margin of 6.3% in 2012
compared to 10.6% in 2011. Fitch would consider revising the
Outlook to Stable or upgrading the ratings if there were a
significant improvement in profitability and a sustained return of
credit metrics to through-the-cycle historical levels, with the
net adjusted debt to EBITDA ratio sustained at around 2.5x.
Stagnation of Weak Profile:
Fitch could downgrade Usiminas' ratings if its credit metrics and
cash flow generation remain stagnant at current levels with net
adjusted debt to EBITDA above 4.0x. A downgrade could also follow
deterioration in the company's comfortable liquidity position
because of market conditions leading to a weakening of the
company's capital structure.
Fitch has affirmed the credit ratings of Usiminas as follows:
-- Foreign currency IDR 'BB+';
-- Local currency IDR 'BB+'';
-- National scale rating to 'AA(bra)';
-- US$500 million Global Medium-Term Note Program to 'BB+';
-- US$400 million notes due 2018 to 'BB+'.
The Outlook is Negative.
WPE INTERNATIONAL: S&P Assigns 'B' Rating to Senior Unsec. Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' issue-level
rating to WPE International Cooperatief U.A.'s (WPEIC;
B/Negative/--) proposed five-year senior unsecured notes. Wind
Power Energia S.A. (WPE; not rated), the parent company of WPEIC,
and Argentina- and Brazil-based turbine producer Industrias
Metalurgicas Pescarmona S.A.I.C.y.F (IMPSA; B/Negative/--), the
parent company of WPE, will guarantee the notes unconditionally.
S&P expects the company to use the net proceeds to refinance
existing debt. As of December 2012, the company had consolidated
debt maturities for about $224 million in 2013 and $144 million
in 2014 (corresponds only to recourse debt and includes rolling
maturities for $122 million in 2013).
Because of IMPSA's 100% ownership of WPEIC and their integrated
business and financial management, S&P views both companies as
bearing a single-default risk. S&P bases its financial analysis
on IMPSA's consolidated figures, but exclude cash flows and debt
from its project-financed wind parks, because their debt is
structured as nonrecourse and matched with the assets' cash flows.
The ratings on IMPSA and WPEIC continues to reflect S&P's
assessment of a "weak" business risk profile and "aggressive"
financial risk profile. S&P's corporate credit rating on IMPSA
continues to reflect its exposure to challenging business
conditions in Argentina and still limited cash contribution from
its sizable and growing business in Brazil. It also reflects the
company's exposure to intense competition and technological and
logistic challenges. The company partly mitigates these negative
factors by focusing on hydro- and wind-power generation projects
in Latin America, where it has competitive advantages, such as
existing facilities and solid relationships with major electric
utilities and financing entities. Also, the company maintains a
sizable backlog totaling about $4 billion, reflecting the success
of its investment strategy outside Argentina. Significant debt
levels, volatile working capital requirements, and a relatively
aggressive growth plan, which results in fluctuating and often
negative free cash generation, underpin IMPSA's financial risk
profile.
RATINGS LIST
WPE International Cooperatief U.A.
Corporate credit rating B/Negative/--
Rating Assigned
WPE International Cooperatief U.A.
Senior unsecured notes B
==========================
C A Y M A N I S L A N D S
==========================
AQUA TURKISH: Shareholder Receives Wind-Up Report
-------------------------------------------------
The shareholder of Aqua Turkish Equities Long/Short Fund received,
on May 2, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Jagjit K. Comins
c/o BNP Paribas Bank & Trust Cayman Limited
PO Box 10632, 3rd Floor, Royal Bank House
24 Shedden Road, George Town
Grand Cayman KY1-1006
Cayman Islands
E-mail: jagjit.toor-comins@bnpparibas.ky
CAFFEBENE PHILIPPINES: Shareholders Receive Wind-Up Report
----------------------------------------------------------
The shareholders of Caffebene Philippines Ltd received, on
April 23, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Jae-Hee Lim
Trade Center ASEM Tower 704
Samseong 1-dong
Gangnam-gu, Seoul, Korea
Telephone: +8 (223) 438 6858
Facsimile: +8 (226) 001 1057
CAFFEBENE VIETNAM: Shareholders Receive Wind-Up Report
------------------------------------------------------
The shareholders of Caffebene Vietnam Ltd received, on April 23,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Jae-Hee Lim
Trade Center ASEM Tower 704
Samseong 1-dong
Gangnam-gu, Seoul
Korea
Telephone: +8 (223) 438 6858
Facsimile: +8 (226) 001 1057
CAPITAL TACTICS: Shareholders Receive Wind-Up Report
----------------------------------------------------
The shareholders of Capital Tactics Opportunity Offshore Fund,
Ltd. received, on April 18, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
William Chesley Davis Parr
100 Crescent Court, Suite 575
Dallas Texas 75201
United States of America
Telephone: + 1 (214) 273 5209
E-mail: davis@captac.com
COGO WOLF: Shareholders Receive Wind-Up Report
----------------------------------------------
The shareholders of Cogo Wolf Global Strategy Fund, Ltd. received,
on April 29, 2013, the liquidator's report on the company's wind-
up proceedings and property disposal.
The company's liquidator is:
Delta FS Limited
c/o Janeen Aljadir
Telephone: (345) 743 6626
Harbour Place, 4th Floor
103 South Church Street
PO Box 11820 Grand Cayman KY1-1009
Cayman Islands
COPIA MARKET: Shareholders Receive Wind-Up Report
-------------------------------------------------
The shareholders of Copia Market Neutral Fund Ltd received, on
April 29, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Matthew Wright
c/o Omar Grant
Telephone: (345) 949 7576
Facsimile: (345) 949-8295
P.O. Box 897
Windward 1, Regatta Office Park
Grand Cayman KY1-1103
Cayman Islands
COPIA MARKET (CAYMAN): Shareholders Receive Wind-Up Report
----------------------------------------------------------
The shareholders of Copia Market Neutral Fund (Cayman) Ltd.
received, on April 29, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Matthew Wright
c/o Omar Grant
Telephone: (345) 949 7576
Facsimile: (345) 949-8295
P.O. Box 897
Windward 1, Regatta Office Park
Grand Cayman KY1-1103
Cayman Islands
EHTA HOLDINGS: Shareholders Receive Wind-Up Report
--------------------------------------------------
The shareholders of Ehta Holdings Limited received, on April 17,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Tam Tsz Kwan
c/o Maples and Calder, Attorneys-at-law
PO Box 309, Ugland House
Grand Cayman KY1-1104
Cayman Islands
FLYING SPUR: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of Flying Spur Ltd received, on April 17, 2013,
the liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Roland Staub
Obere Heslibachstrasse 8
PO Box 1599 8700 Kusnacht
Switzerland
FPP EMERGING: Shareholder Receives Wind-Up Report
-------------------------------------------------
The shareholder of FPP Emerging Markets Fund Limited received, on
April 26, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Intertrust Corporate Services (Cayman) Limited
190 Elgin Avenue, George Town
Grand Cayman, KY1-9005
Cayman Islands
c/o Jennifer Chailler
Telephone: (345) 914 3115
INVESTCORP FIXED: Shareholders' Final Meeting Set for May 14
------------------------------------------------------------
The shareholders of Investcorp Fixed Income Relative Value Fund
Limited will hold their final meeting on May 14, 2013, at
11:00 a.m., to receive the liquidator's report on the company's
wind-up proceedings and property disposal.
The company's liquidator is:
Mufeed Rajab
c/o Evania Ebanks
Telephone: (345) 949 5122
Facsimile: (345) 949 7920
Boundary Hall, Cricket Square
P.O. Box 1111 Grand Cayman KY1-1102
Cayman Islands
IPH FINANCE: Shareholders' Final Meeting Set for May 14
-------------------------------------------------------
The shareholders of IPH Finance Limited will hold their final
meeting on May 14, 2013, at 10:30 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Westport Services Ltd.
c/o Evania Ebanks
Telephone: (345) 949 5122
Facsimile: (345) 949 7920
Boundary Hall, Cricket Square
P.O. Box 1111 Grand Cayman KY1-1102
Cayman Islands
IVC EMPLOYEE: Shareholders' Final Meeting Set for May 14
--------------------------------------------------------
The shareholders of IVC Employee Finance Limited will hold their
final meeting on May 14, 2013, at 10:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Westport Services Ltd.
c/o Evania Ebanks
Telephone: (345) 949 5122
Facsimile: (345) 949 7920
Boundary Hall, Cricket Square
P.O. Box 1111 Grand Cayman KY1-1102
Cayman Islands
KBC INVESTMENTS: Shareholders Receive Wind-Up Report
----------------------------------------------------
The shareholders of KBC Investments Cayman Islands Limited
received, on April 19, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Darach E. Haughey
Deloitte Touche Tohmatsu
One Pacific Place, 35th Floor
88 Queensway
Hong Kong
Telephone: +8 (522) 852 1659
Facsimile: +8 (522) 850 8362
LOTUS PEAK: Shareholders Receive Wind-Up Report
-----------------------------------------------
The shareholders of The Lotus Peak Fund received, on April 25,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
DMS Corporate Services Ltd
c/o Ronan Guilfoyle
Telephone: (345) 946 7665
Facsimile: (345) 946 7666
dms Corporate Services Ltd.
dms House, 2nd Floor
P.O. Box 1344 Grand Cayman KY1-1108
Cayman Islands
MARIAN CAPITAL: Shareholders Receive Wind-Up Report
---------------------------------------------------
The shareholders of Marian Capital received, on April 8, 2013, the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Philippe De Patoul
38 Boulevard Napoleon
OFFSHORE DRILLER 1: Shareholders Receive Wind-Up Report
-------------------------------------------------------
The shareholders of Offshore Driller 1 Ltd received, on April 16,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Geir Johansen
10 Collyer Quay, Ocean Financial Centre
#37-06/10 Singapore 049315
OFFSHORE DRILLER 3: Shareholder Receives Wind-Up Report
-------------------------------------------------------
The shareholder of Offshore Driller 3 Ltd received, on April 16,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Geir Johansen
10 Collyer Quay, Ocean Financial Centre
#37-06/10 Singapore 049315
OFFSHORE DRILLER B325: Shareholder Receives Wind-Up Report
----------------------------------------------------------
The shareholder of Offshore Driller B325 Ltd received, on
April 16, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Geir Johansen
10 Collyer Quay, Ocean Financial Centre
#37-06/10 Singapore 049315
RINGWOOD CAPITAL: Shareholders Receive Wind-Up Report
-----------------------------------------------------
The shareholders of Ringwood Capital, Inc. received, on April 25,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
DMS Corporate Services Ltd
c/o Ronan Guilfoyle
Telephone: (345) 946 7665
Facsimile: (345) 946 7666
dms House, 2nd Floor
P.O. Box 1344 Grand Cayman KY1-1108
Cayman Islands
SILVER DAWN: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of Silver Dawn Ltd received, on April 17, 2013,
the liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Roland Staub
Obere Heslibachstrasse 8
PO Box 1599 8700 Kusnacht
Switzerland
UKH SERVICES NO 1: Shareholder Receives Wind-Up Report
------------------------------------------------------
The shareholder of UKH Services No 1 Limited received, on
April 22, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
K.D. Blake
c/o Dorra Mohammed
Telephone: (345) 914 4475/ 345-949-4800
Facsimile: (345) 949 7164
P.O. Box 493 Grand Cayman KY1-1106
Cayman Islands
WS OPPORTUNITY: Shareholder Receives Wind-Up Report
---------------------------------------------------
The shareholder of WS Opportunity Fund International, Ltd.
received, on April 26, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Intertrust Corporate Services (Cayman) Limited
190 Elgin Avenue, George Town
Grand Cayman, KY1-9005
Cayman Islands
c/o Jennifer Chailler
Telephone: (345) 914 3115
===============
C O L O M B I A
===============
BANCO GNB: Fitch Puts HSBC Uruguay on RWN Pending Acquisition
-------------------------------------------------------------
Fitch Ratings maintains HSBC Bank (Uruguay) S.A.'s Long-term
Foreign and Local Currency Issuer Default ratings (IDRs), as well
as National Long-term and Support ratings on Rating Watch Negative
as the bank's acquisition by Colombia's Banco GNB Sudameris SA is
still pending regulatory approval.
KEY RATING DRIVERS
HSBC Bank (Uruguay)'s IDRs, National Scale and Support Ratings
reflect the bank's solid ownership structure and its shareholder's
strong commitment to the bank. Fitch considers HSBC Bank (Uruguay)
to be of limited strategic importance for its shareholder given
the announcement of the sale of the entity.
RATING SENSITIVITIES
The Rating Watch will be resolved once the transaction is approved
by Uruguayan and Colombian regulators, which is expected during
the second or third quarter of 2013. HSBC Bank (Uruguay)'s IDRs,
National Scale and Support ratings will be likely downgraded once
a full review of the new shareholder's capacity and willingness to
provide support or the intrinsic financial profile of the bank in
Uruguay. Fitch rates Banco GNB Sudameris SA's Long-term Foreign
and Local Currency IDRs 'BB+'.
HSBC Bank (Uruguay)'s intrinsic financial profile is affected by
its small size, thin capitalization, low, although improving,
profitability, and a relatively high loan and deposits
concentration. Additionally, as is the case with most other
Uruguayan banks, the bank's balance sheet is highly dollarized. On
the other hand, the bank has sound asset quality and ample
liquidity.
In Fitch's opinion, the main challenge the bank faces in 2013, and
that could affect its intrinsic financial profile, is to navigate
the transition period once the acquisition by the new shareholder
is approved without losing a significant amount of clients and
business. If the bank is able to retain its client base after the
acquisition, and if operating revenues continue to improve while
it maintains adequate asset quality and liquidity, and it improves
its capital adequacy ratios, Fitch would view this as a positive
for the banks's financial profile.
CREDIT PROFILE
HSBC Bank (Uruguay)'s operating revenues have grown along with the
bank's expansion since 2008, leading to a net profit in 2012 after
four years of negative results; which was a consequence of hefty
investments related to its expansion plan, and the losses due to
the banks position in U.S. Dollars. Fitch expects the bank's
profitability to continue to improve, although it will be heavily
correlated with its success in retaining its client base.
HSBC Bank (Uruguay)'s asset quality is healthy. At Dec. 31, 2012,
its past due loans accounted for a low 0.17% of the total and
reserve coverage was ample.
The bank's capital base is somewhat low (Fitch Core Capital ratio
of 8.42% as of Dec. 31, 2012), although this is in line with the
HSBC Group's capital allocation policy; which may change under the
management of its new shareholder. Its main funding source is its
deposit base and its liquidity is ample, with very liquid assets
representing 37.3% of total deposits and short term funds.
HSBC Bank (Uruguay) offers commercial banking services to
important clients of the HSBC Group as well as personal banking
services to high income individuals. HSBC Bank (Uruguay) is fully
owned by HSBC Latin America Holdings (UK) Limited, which in turn
is a subsidiary of HSBC Holdings Plc.
The following ratings for HSBC Bank (Uruguay)remain on Rating
Watch Negative:
--Foreign currency Issuer Default Rating (IDR) 'BBB'
--Local currency IDR 'BBB+'
--National long-term rating 'AAA(uy)'
--Support rating '2'
===================================
D O M I N I C A N R E P U B L I C
===================================
* DOMINICAN REPUBLIC: CDEEE CEO Admits Debt Brought Blackouts
-------------------------------------------------------------
Dominican Today reports that state-owned electric utility (CDEEE)
Chief Executive Officer Ruben Jimenez Bichara admitted that the
recent spate of blackouts result from a lack of payment and not
from technical problems as he suggested before.
Mr. Bichara said all outages are financial because there's no
money to keep plants burning oil 24 hours, and the resulting 50
megawatt deficit will cease when people pay the service regularly
and promptly, according to Dominican Today.
"In these times while they pay their energy, the more we pay for
the fuel that takes, those who haven't paid your bill do so, to
pay the power companies and in turn buy fuel," the report quoted
Mr. Bichara as saying.
Mr. Bichara admitted that the power cuts are financial, and warned
that the plants must be converted to burn coal, natural gas or
"other cheaper fuel," adding that the power companies are owed
around US$600 million, the report notes.
===========
M E X I C O
===========
CORPORACION GEO: Moody's Lowers Unsecured Debt Rating to Ca
-----------------------------------------------------------
Moody's Investors Service downgraded GEO's global scale foreign
currency senior unsecured debt rating to Ca from Caa1 and left the
rating under review for downgrade.
Ratings Rationale:
This rating action reflects GEO's announcement on April 26 that it
would not make the required interest payment on its GEO11 $400
million pesos unsecured bond. The company is not expected to avail
itself of the five-day grace period to make the payment, and
Moody's therefore expects that the GEO11 bond will enter into
default. A default of GEO11 will trigger an Event of Default and
the likely acceleration of the company's remaining debt, including
approximately $700 million of unsecured bonds. The Ca rating
implies a diminished recovery to bondholders and other
stakeholders.
In its review Moody's will monitor GEO's ability to repay its
short-term obligations, in light of the company's limited access
to external sources of capital. Moody's will also closely monitor
the company's ultimate strategic direction and capital structure
as well as the overall recovery for bondholders once the
restructuring plan is consummated.
GEO's currently liquidity position is weak. Should the debt
restructuring plan result in higher loss severity for bondholders
than the loss reflected in the Ca rating, the ratings will be
downgraded to C.
Moody's de Mexico downgraded GEO's national scale long-term issuer
rating to Ca.mx from Caa1.mx (global scale local currency rating
to Ca from Caa1), national scale rating on the company's
Certificados Bursatiles program to Ca.mx from Caa1.mx (global
scale local currency rating to (P)Ca from (P)Caa1) and the
national scale senior unsecured debt rating to Ca.mx from Caa1.mx
(global scale local currency to Ca from Caa1). The ratings remain
on review for downgrade. GEO's national scale short-term issuer
rating was affirmed at MX-4 (global scale local currency rating
affirmed at Not Prime).
The following ratings were downgraded and left on review for
possible downgrade.
Moody's Investors Service
Corporacion GEO, S.A.B. de C.V. -- global scale foreign currency
senior unsecured notes issued in US dollars to Ca from Caa1
Moody's De Mexico
Corporacion GEO, S.A.B. de C.V. -- national scale rating on
Certificados Bursatiles program to Ca.mx from Caa1.mx (global
scale local currency rating to (P)Ca from (P)Caa1)
Corporacion GEO, S.A.B. de C.V. -- national scale senior unsecured
notes to Ca.mx from caa1.mx (global scale local currency rating to
Ca from Caa1)
Corporacion GEO, S.A.B. de C.V. -- national scale long-term issuer
rating to Ca.mx from Caa1.mx (global scale local currency rating
to Ca from Caa1)
The following rating was affirmed:
Corporacion GEO, S.A.B. de C.V. -- national scale short-term
issuer rating at MX-4 (global scale short-term issuer local
currency rating at Not Prime)
The last rating action with respect to GEO was on April 16, 2013,
when Moody's de Mexico downgraded GEO's national scale long-term
issuer rating to Caa1.mx from Baa1.mx (global scale local currency
long rating to Caa1 from Ba3), national scale short-term issuer
rating to MX-4 from MX-3 (global scale local currency rating
affirmed at Not Prime), national scale rating on the company's
Certificados Bursatiles program to Caa1.mx from Baa1.mx (global
scale local currency rating to (P)Caa1 from (P)Ba3) and the
national scale senior unsecured debt rating to Caa1.mx from
Baa1.mx (global scale local currency to Caa1 from Ba3). Moody's
Investors Service downgraded GEO's global scale foreign currency
senior unsecured debt rating to Caa1 from Ba3. The ratings were
placed on review for downgrade.
The principal methodology used in this rating was Global
Homebuilding Industry Methodology published in March 2009.
Corporacion GEO, S.A.B. de C.V., based in Mexico City, Mexico, is
a publicly traded, fully integrated homebuilder engaged in the
development, construction, marketing and sale of affordable
housing developments in Mexico. The firm reported total assets of
approximately $40.5 billion Mx pesos and total equity of
approximately $11.1 billion Mx pesos at March 31, 2013.
CORPORACION GEO: Moody's Downgrades LT Issuer Rating to Ca.mx
-------------------------------------------------------------
Moody's de Mexico downgraded Corporacion GEO, S.A.B. de C.V.'s
national scale long-term issuer rating to Ca.mx from Caa1.mx
(global scale local currency rating to Ca from Caa1), national
scale rating on the company's Certificados Bursatiles program to
Ca.mx from Caa1.mx (global scale local currency rating to (P)Ca
from (P)Caa1) and the national scale senior unsecured debt rating
to Ca.mx from Caa1.mx (global scale local currency to Ca from
Caa1). The ratings remain on review for downgrade. GEO's national
scale short-term issuer rating was affirmed at MX-4 (global scale
local currency rating affirmed at Not Prime).
Ratings Rationale:
This rating action reflects GEO's announcement on April 26 that it
would not make the required interest payment on its GEO11 $400
million pesos unsecured bond. The company is not expected to avail
itself of the five-day grace period to make the payment, and
Moody's therefore expects that the GEO11 bond will enter into
default. A default of GEO11 will trigger an Event of Default and
the likely acceleration of the company's remaining debt, including
approximately $700 million of unsecured bonds. The Ca rating
implies a diminished recovery to bondholders and other
stakeholders.
In its review Moody's will monitor GEO's ability to repay its
short-term obligations, in light of the company's limited access
to external sources of capital. Moody's will also closely monitor
the company's ultimate strategic direction and capital structure
as well as the overall recovery for bondholders once the
restructuring plan is consummated.
GEO's currently liquidity position is weak. Should the debt
restructuring plan result in higher loss severity for bondholders
than the loss reflected in the Ca rating, the ratings will be
downgraded to C.
Moody's Investors Service downgraded GEO's global scale foreign
currency senior unsecured debt rating to Ca from Caa1 and left the
rating under review for downgrade.
The following ratings were downgraded and left on review for
possible downgrade.
Moody's Investors Service
Corporacion GEO, S.A.B. de C.V. -- global scale foreign currency
senior unsecured notes issued in US dollars to Ca from Caa1
Moody's De Mexico
Corporacion GEO, S.A.B. de C.V. -- national scale rating on
Certificados Bursatiles program to Ca.mx from Caa1.mx (global
scale local currency rating to (P)Ca from (P)Caa1)
Corporacion GEO, S.A.B. de C.V. -- national scale senior unsecured
notes to Ca.mx from Caa1.mx (global scale local currency rating to
Ca from Caa1)
Corporacion GEO, S.A.B. de C.V. -- national scale long-term issuer
rating to Ca.mx from Caa1.mx (global scale local currency rating
to Ca from Caa1)
The following rating was affirmed:
Corporacion GEO, S.A.B. de C.V. -- national scale short-term
issuer rating at MX-4 (global scale short-term issuer local
currency rating at Not Prime)
Corporacion GEO, S.A.B. de C.V., based in Mexico City, Mexico, is
a publicly traded, fully integrated homebuilder engaged in the
development, construction, marketing and sale of affordable
housing developments in Mexico. The firm reported total assets of
approximately $40.5 billion Mx pesos and total equity of
approximately $11.1 billion Mx pesos at March 31, 2013.
The principal methodology used in this rating was Global
Homebuilding Industry Methodology published in March 2009.
Moody's National Scale Ratings (NSRs) are intended as relative
measures of creditworthiness among debt issues and issuers within
a country, enabling market participants to better differentiate
relative risks. NSRs differ from Moody's global scale ratings in
that they are not globally comparable with the full universe of
Moody's rated entities, but only with NSRs for other rated debt
issues and issuers within the same country. NSRs are designated by
a ".nn" country modifier signifying the relevant country, as in
".mx" for Mexico.
MAXCOM TELECOMUNICACIONES: Mulls Chapter 11 After Buyout Fails
--------------------------------------------------------------
Anthony Harrup at Dow Jones' DBR Small Cap reports Maxcom
Telecomunicaciones SAB is considering filing for Chapter 11
bankruptcy protection in the U.S. or carrying out some other
restructuring after a debt swap and a buyout offer from a Mexican
private equity concern fell through.
Maxcom Telecomunicaciones, S.A.B. de C.V., headquartered in Mexico
City, Mexico, is a facilities-based telecommunications provider
using a "smart-build" approach to deliver last-mile connectivity
to micro, small and medium-sized businesses and residential
customers in the Mexican territory. Maxcom launched commercial
operations in May 1999 and is currently offering local, long
distance, data, value-added, paid TV and IP-based services on a
full basis in greater metropolitan Mexico City, Puebla, Tehuacan,
San Luis, and Queretaro, and on a selected basis in several cities
in Mexico.
* * *
Maxcom carries a 'CC' corporate credit rating from Standard &
Poor's Ratings Services and a "Caa1" from Moody's Investors
Service.
MAXCOM TELECOMUNICACIONES: Moody's Downgrades CFR 3 Notches to Ca
-----------------------------------------------------------------
Moody's Investors Service downgraded the corporate family rating
of Maxcom Telecomunicaciones, S.A.B. de C.V. and Maxcom's existing
$200 million senior secured notes due 2014 rating to Ca from Caa1.
The outlook on the ratings is negative.
The date of the last Credit Rating Action was February 21, 2013.
Ratings Rationale:
On April 25, 2013, Maxcom announced that conditions for the
consummation of the Exchange Offer were not satisfied. The
exchange of at least 80% of the existing 2014 notes was a
condition precedent for Ventura Capital (a Mexican private equity
fund) to acquire and take control of Maxcom. The company announced
that only 61.93% of its outstanding notes had been validly
tendered for exchange.
Maxcom's current weak liquidity position (as of March 31, 2013 the
company held only about $8.5 million in readily available cash)
and the limited prospects of a short-term solution increases the
probability that the company misses its next interest payment due
on June 15th for about $ 11 million.
The negative outlook reflects Moody's expectation that the company
will have limited choices other than filing for bankruptcy.
Maxcom's ratings could be further downgraded if the company is
still in default after the cure period of 30 days, depending on
Moody's recovery expectation for the defaulted debt.
In turn, Maxcom's ratings could experience upward pressure if it
is able to strengthen its capital structure, refinance existing
debt, and also significantly improve its liquidity position. This,
provided that operating performance improves and so results in
better visibility on future cash flow generation.
Maxcom's current Ca ratings reflect high expectations of default
and the company's weak sales performance; small revenue size; and
negative free cash flow, as calculated by Moody's. Maxcom's
current leverage (at 3.7 times adjusted debt to EBITDA for LTM
December 31, 2012) is low for its Ca rating category. However,
weak liquidity and interest coverage, as per adjusted EBITDA minus
capex to interest payments at 0.3 times during the last twelve
months, restrain its ratings.
The principal methodology used in this rating was Global
Telecommunications Industry published in December 2010.
Maxcom Telecomunicaciones, S.A.B. de C.V., headquartered in Mexico
City, Mexico, is a facilities-based telecommunications provider.
It delivers last-mile connectivity to micro, small and medium-
sized businesses and residential customers (social classes C and
D) in Mexico. It provides local and long-distance voice, data,
high speed, dedicated and dial-up Internet access, cable TV,
public telephony and Voice over Internet Protocol telephony, as
well as service bundles. Maxcom launched commercial operations in
May 1999 and is currently offering services in greater
metropolitan Mexico City, Puebla, Queretaro and San Luis Potosi
and, on a selected basis to business subscribers, in several
cities in Mexico. Revenues during the last twelve months ended in
December 31, 2012 amounted to about $167 million with a 33%
adjusted EBITDA margin.
MAXCOM TELECOM: Ventura Extends Tender Offer for Securities
-----------------------------------------------------------
Ventura Capital Privado S.A. de C.V., on behalf of Trust Number
1387, said that the Purchaser has extended the expiration date of
its tender offer to purchase (i) all of the outstanding Series A
Common Stock, without par value of Maxcom Telecomunicaciones,
S.A.B. de C.V., (ii) all of the outstanding Ordinary Participation
Certificates of Maxcom, and (iii) all of the outstanding American
Depository Shares of Maxcom, in each case held by persons who are
not Mexican residents. In Mexico, the Purchaser is offering to
purchase all of the outstanding Shares and CPOs of Maxcom. The
Mexican Offer is being made on substantially the same terms and at
the same prices as the U.S. Offer.
The tender offer, which was previously scheduled to expire at
12:00 midnight, New York time, on April 10, 2013, will now expire
at 12:00 midnight, New York City time, on April 24, 2013, unless
further extended in accordance with the terms of the tender offer.
The closing of the tender offer will occur on April 29, 2013. The
extension to April 24, 2013 was made to accommodate the timetable
for the simultaneous exchange offer for any and all outstanding
Maxcom's 11% Senior Notes due 2014 for Maxcom's Step-Up Senior
Notes due 2020.
In addition, the Purchaser is also amending and supplementing the
tender offer to reflect that Maxcom, according to a press release
issued on April 10, 2013, has stated that (i) Maxcom has increased
the minimum tender condition in the Exchange Offer from 61.44% to
80%, subject to Maxcom's right, in its sole discretion, to
decrease the minimum tender condition to 75.1% without extending
the Exchange Offer or granting withdrawal rights; (ii) the
Exchange Offer has been extended three times and as a result has
remained open longer than anticipated; (iii) since the Exchange
Offer and the Equity Tender Offer have not been consummated to
date, Maxcom has not yet received the capital contribution the
Purchaser agreed to make in connection with the Equity Tender
Offer; (iv) during the period that the Exchange Offer has remained
open, Maxcom's operational and financial viability has further
deteriorated in light of not having received the capital
contribution from the Purchaser; (v) as of March 1, 2013, Maxcom's
cash and temporary investment balance was Ps.82.8 million (US$6.4
million); (vi) if the Exchange Offer is not consummated and Maxcom
does not receive the capital contribution from the Purchaser in
connection with the Equity Tender Offer, Maxcom does not expect to
be able to make the coupon payment due on June 15, 2013 with
respect to the Old Notes and Maxcom may not be able to meet other
financial obligations as they come due; (vii) if this occurs,
holders of the Old Notes and the creditors could commence
involuntary bankruptcy proceedings against Maxcom in Mexico or in
the United States; and (viii) if the Exchange Offer is not
consummated, Maxcom currently intends to implement a restructuring
by (a) commencing voluntary cases under Chapter 11 of the United
States Bankruptcy Code through a plan of reorganization; (b)
seeking expedited confirmation of a plan of reorganization or (c)
seeking other forms of bankruptcy relief, all of which involve
uncertainties, potential delays, reduced payments to all creditors
(including holders of the Old Notes) and litigation risks.
Moreover, Maxcom has also stated that (i) such a restructuring may
be protracted and contentious and disruptive to Maxcom's business
and could materially adversely affect Maxcom's relationships with
its customers, suppliers and employees who may terminate their
relationships with Maxcom; (ii) a restructuring would also cause
Maxcom to incur significant legal, administrative and other
professional expenses; (iii) no assurances can be given that any
such restructuring will be successful or that holders of Maxcom's
debt obligations will not have their claims significantly reduced,
converted into equity or eliminated; (iv) if a restructuring is
not successful, Maxcom may be forced to liquidate its business and
assets; (v) the board of directors of Maxcom has approved the
engagement of, and the Maxcom has engaged, counsel to advise it on
a Chapter 11 reorganization and authorized the preparatory
activities related to a restructuring, including the negotiating
of a plan support agreement and a Chapter 11 plan term sheet with
certain of the holders of the Old Notes during the pendency of the
Exchange Offer; and (vi) in the event Maxcom implements a
restructuring through Chapter 11, holders of the Old Notes may
receive New Notes with terms less favorable than those offered
pursuant to the Exchange Offer .
The depositary for the Equity Tender Offer has advised the
Purchaser in connection with the Equity Tender Offer that as of
5:00 p.m., New York City time, on April 10, 2013, approximately
354,540,391 of Maxcom's Series A Common Stock, or 44.87% of the
total outstanding Series A Common Stock, had been validly tendered
and not withdrawn in the Equity Tender Offer.
Maxcom Telecomunicaciones, S.A.B. de C.V., headquartered in Mexico
City, Mexico, is a facilities-based telecommunications provider
using a "smart-build" approach to deliver last-mile connectivity
to micro, small and medium-sized businesses and residential
customers in the Mexican territory. Maxcom launched commercial
operations in May 1999 and is currently offering local, long
distance, data, value-added, paid TV and IP-based services on a
full basis in greater metropolitan Mexico City, Puebla, Tehuacan,
San Luis, and Queretaro, and on a selected basis in several cities
in Mexico.
* * *
Maxcom carries a 'CC' corporate credit rating from Standard &
Poor's Ratings Services and a "Caa1" from Moody's Investors
Service.
METROFINANCIERA SAPI: Fitch Cuts Indexed Notes Rating to 'CCC'
--------------------------------------------------------------
Fitch Ratings has downgraded and removed from Rating Watch
Negative the following Metrofinanciera, S.A.P.I. de C.V., SOFOM,
E.N.R. residential mortgage back securities (RMBS) as follows:
MTROCB 07U
-- UDI indexed notes due 2033 downgraded to 'CCCsf' from 'B+sf'
and to 'CCC(mex)vra' from 'BBB(mex)vra'; removed from Rating
Watch Negative.
MTROCB 08U
-- UDI indexed notes due 2033 downgraded to 'CCCsf' from 'B+sf'
and to 'CCC(mex)vra' from 'BBB(mex)vra'; removed from Rating
Watch Negative.
KEY RATING DRIVERS
The rating actions reflect the transactions' exposure to liquidity
risk given Metro's inability to transfer collections from its
banking accounts to the trust accounts in order to cover near term
coupon payments. This rating action also considers the consistent
deterioration of the underlying loan collateral which results in
weaker credit protection for both notes.
As of the April 2013 distribution date, overcollateralization
(excluding +90 days delinquent loans) for MTROCB 07U and MTROCB
08U stands at -45.1% and -46.1%, respectively. Both levels
negatively compare with those observed twelve months ago which
were -34.7% and -33.4%, respectively.
Metro is the primary servicer on these transactions, and its
collection accounts are temporarily frozen following a lawsuit
filed by an unsecured investor. Metro is leading different
alternatives to redirect borrowers' payments to the issuer trust
accounts in order to stabilize cash-flows.
RATING SENSITIVITIES
Further downgrades could occur if, despite paying the next
coupons, Metro's banking accounts continue to be frozen in the
coming months and its servicing abilities remain challenged
worsening asset quality metrics and expected losses.
===============
S U R I N A M E
===============
* SURINAME: S&P Affirms 'BB-' Sovereign Credit Ratings
------------------------------------------------------
Standard & Poor's Ratings Services said it revised its outlook on
the Republic of Suriname to positive from stable. At the same
time, S&P affirmed its 'BB-/B' foreign and local currency
sovereign credit ratings on Suriname.
"The outlook revision to positive reflects our expectation that
large investments in the mining and oil sectors could lead to
higher growth prospects as well as higher levels of exports and
government revenues," said Standard & Poor's credit analyst
Richard Francis. "Additionally, tax reform and the creation of a
sovereign wealth fund could lead to improved fiscal flexibility."
The ratings on Suriname reflect its improving macroeconomic
fundamentals, robust medium-term growth prospects, low debt
position (with net general government debt at less than 20% of GDP
at the end of 2012), and solid external indicators based on
current account surpluses, higher foreign direct investment, and
rising international reserves. Moreover, political consensus on
the need to maintain macroeconomic stability in the country is
growing.
Offsetting these factors is Suriname's narrow economic base that's
strongly tied to commodities. Alumina, gold, and oil constituted
more than 80% of current account receipts at the end of 2012. In
addition, ongoing institutional capacity constraints hinder debt
management, public investment, and a more forceful advancement of
structural reforms.
Suriname's domestic capital markets are shallow and illiquid,
limiting the government's financing options. As a result, the
government relies heavily on costly central bank advances and
privately placed short-term instruments to cover financing needs.
Although traditionally economic policy has relied heavily on the
credibility of individual public officials, strengthening the
institutional capacity of the monetary and fiscal authorities is
key to enhancing macroeconomic performance and reducing the risk
of policy reversals. Despite continued improvements in recent
years, the quality of official economic statistics compares
unfavorably with those of similarly rated sovereigns.
The country's growth prospects benefit from significant
investments in the oil and mining sectors. Average GDP growth for
the past 10 years has been 5%. The country's growth potential is
likely 4%-5% during the next three years.
The government of Suriname intends to issue its first ever
sovereign bond for approximately US$600 million to raise funds for
the financing of its equity share in planned joint ventures with
two North American mining companies as well as for providing
funding to state-owned oil company Staatsolie.
The positive outlook reflects S&P's expectation of continued GDP
growth and current account surpluses, along with steps to
strengthen fiscal policy. Implementation of planned large
investments in the mining and oil sectors could lead to higher
growth prospects, as well as higher exports and government
revenues, which could lead to an upgrade. Similarly, successful
implementation of a proposed sovereign wealth fund, tax reform
(including a value-added tax), and the introduction of new
monetary policy tools such as open market operations could
strengthen macroeconomic policy, leading to a higher rating.
A slowdown or reversal in the government's reform agenda could
lead S&P to revise the outlook to stable. Furthermore, a
sustained sharp fall in commodity prices that would significantly
lower exports and government revenues could pressure public
finances and the balance of payments. Failure to respond in a
timely and forceful manner to such a scenario could result in
fiscal slippage and other significant economic imbalances,
resulting in negative rating actions
===============
X X X X X X X X
===============
CORPORACION INTERAMERICANA: Moody's Withdraws Ba3 CFR
-----------------------------------------------------
Moody's Investors Service has withdrawn the Ba3 Corporate Family
Rating and B1 issuer rating of Corporacion Interamericana para el
Financiamiento de Infraestructura (CIFI). Before the withdrawals,
all the ratings had a stable outlook.
Ratings Rationale:
Moody's has withdrawn the ratings for its own business reasons.
The last rating action on CIFI occurred on September 21, 2012,
when Moody's assigned the company a Ba3 Corporate Family Rating
and lowered the issuer rating to B1 from Ba3, reflecting the
implementation of Moody's revised global rating methodology for
finance companies titled, "Finance Company Global Rating
Methodology," published in March 2012.
CIFI is a privately-owned corporation specializing in the
financing of private infrastructure projects in Latin America and
the Caribbean. The company reported total assets of $354.7 million
and shareholders' equity of $90.1 million as of December 31, 2012.
The following ratings assigned to CIFI were withdrawn:
Foreign Currency Corporate Family Rating: Ba3, stable outlook
Foreign Currency Issuer Rating: B1, stable outlook
* CARIBBEAN: Construction Costs Likely to Fall
----------------------------------------------
Jason Smith at BVI Beacon reports that Caribbean construction
costs are likely to decline in the coming years until 2015, a
research study shows, attributing the fall to a decrease in
activity and predictions of commodity prices.
The BCQS Market Trend Report 2012 studied 10 jurisdictions across
the region and recorded a decrease in construction costs last year
for the Bahamas, the Virgin Islands and St. Lucia, according to
BVI Beacon. While the prediction from the quantity surveying and
construction management firm's news is good for developers, others
in the industry may face tough times, the report relates.
"We can only foresee that the property and construction industries
will be forced into measures to keep their markets moving and
generating income," BCQS Market Trend Report 2012 said, BVI Beacon
notes.
BVI Beacon relays that BCQS Market Trend Report 2012 add that
across the region, property prices have "bottomed out" in some
countries and there are signs of growth.
"Whil[e] a staggering number of construction projects still remain
on hold, it would appear that banks are now initiating steps for
reviewing, evaluating and offloading their liabilities, which may
be just the stimulus required for the region," BCQS Market Trend
Report 2012 stated, BVI Beacon notes.
While the region's construction costs vary markedly depending on
geography, infrastructure and population, high-quality builders
often are able to distinguish themselves from the competition,
according to the BCQS Market Trend Report 2012, BVI Beacon
discloses.
"Build quality plays a major role and is not only restricted to a
change in finishing materials or local standards. . . . Changes in
building technology and the quality of standard finishes can vary
drastically between semi-skilled, skilled and professionally
trained tradesmen, making an acceptable product in one
jurisdiction subpar for another," ," BCQS Market Trend Report 2012
stated, BVI Beacon adds.
* Large Companies With Insolvent Balance Sheets
-----------------------------------------------
Total
Total Shareholders
Assets Equity
Company Ticker (US$MM) (US$MM)
------- ------ --------- ------------
ARGENTINA
---------
SNIAFA SA-B SDAGF US 11229696.2 -2670544.88
CENTRAL COSTAN-B CRCBF US 369642685 -49030758.7
ENDESA COSTAN-A CECO1 AR 369642685 -49030758.7
ENDESA COSTAN- CECO2 AR 369642685 -49030758.7
CENTRAL COST-BLK CECOB AR 369642685 -49030758.7
ENDESA COSTAN- CECOD AR 369642685 -49030758.7
ENDESA COSTAN- CECOC AR 369642685 -49030758.7
ENDESA COSTAN- EDCFF US 369642685 -49030758.7
CENTRAL COSTAN-C CECO3 AR 369642685 -49030758.7
CENTRAL COST-ADR CCSA LI 369642685 -49030758.7
ENDESA COST-ADR CRCNY US 369642685 -49030758.7
CENTRAL COSTAN-B CNRBF US 369642685 -49030758.7
SNIAFA SA SNIA AR 11229696.2 -2670544.88
SNIAFA SA-B SNIA5 AR 11229696.2 -2670544.88
IMPSAT FIBER NET IMPTQ US 535007008 -17164978
IMPSAT FIBER NET 330902Q GR 535007008 -17164978
IMPSAT FIBER NET XIMPT SM 535007008 -17164978
IMPSAT FIBER-CED IMPT AR 535007008 -17164978
IMPSAT FIBER-C/E IMPTC AR 535007008 -17164978
IMPSAT FIBER-$US IMPTD AR 535007008 -17164978
IMPSAT FIBER-BLK IMPTB AR 535007008 -17164978
BRAZIL
------
FABRICA TECID-RT FTRX1 BZ 70649866 -75488504.5
TEKA-ADR TEKAY US 363575481 -371579997
BOMBRIL BMBBF US 344846084 -16082109.1
TEKA TKTQF US 363575481 -371579997
TEKA-PREF TKTPF US 363575481 -371579997
BATTISTELLA-RIGH BTTL1 BZ 246036232 -51251360.7
BATTISTELLA-RI P BTTL2 BZ 246036232 -51251360.7
BATTISTELLA-RECE BTTL9 BZ 246036232 -51251360.7
BATTISTELLA-RECP BTTL10 BZ 246036232 -51251360.7
AGRENCO LTD-BDR AGEN11 BZ 325151004 -611658179
REII INC REIC US 14423532 -3506007
PET MANG-RIGHTS 3678565Q BZ 246810937 -224879124
PET MANG-RIGHTS 3678569Q BZ 246810937 -224879124
PET MANG-RECEIPT 0229292Q BZ 246810937 -224879124
PET MANG-RECEIPT 0229296Q BZ 246810937 -224879124
LUPATECH SA LUPA3 BZ 943240001 -5971578.45
BOMBRIL HOLDING FPXE3 BZ 19416015.8 -489914902
BOMBRIL FPXE4 BZ 19416015.8 -489914902
SANESALTO SNST3 BZ 31802628.1 -2924062.87
B&D FOOD CORP BDFCE US 14423532 -3506007
BOMBRIL-RGTS PRE BOBR2 BZ 344846084 -16082109.1
BOMBRIL-RIGHTS BOBR1 BZ 344846084 -16082109.1
AGRENCO LTD AGRE LX 325151004 -611658179
LUPATECH SA LUPAF US 943240001 -5971578.45
CELGPAR GPAR3 BZ 2657428496 -817505840
RECRUSUL - RT 4529781Q BZ 41094940.3 -21379158.8
RECRUSUL - RT 4529785Q BZ 41094940.3 -21379158.8
RECRUSUL - RCT 4529789Q BZ 41094940.3 -21379158.8
RECRUSUL - RCT 4529793Q BZ 41094940.3 -21379158.8
RECRUSUL-BON RT RCSL11 BZ 41094940.3 -21379158.8
RECRUSUL-BON RT RCSL12 BZ 41094940.3 -21379158.8
BALADARE BLDR3 BZ 159454016 -52992212.8
TEXTEIS RENAU-RT TXRX1 BZ 113010473 -78451102.1
TEXTEIS RENAU-RT TXRX2 BZ 113010473 -78451102.1
TEXTEIS RENA-RCT TXRX9 BZ 113010473 -78451102.1
TEXTEIS RENA-RCT TXRX10 BZ 113010473 -78451102.1
CIA PETROLIF-PRF MRLM4 BZ 377602195 -3014291.72
CIA PETROLIFERA MRLM3 BZ 377602195 -3014291.72
NOVA AMERICA SA NOVA3 BZ 21287489 -183535527
NOVA AMERICA-PRF NOVA4 BZ 21287489 -183535527
LUPATECH SA-RT LUPA11 BZ 943240001 -5971578.45
ALL ORE MINERACA AORE3 BZ 21657457.4 -7184940.82
B&D FOOD CORP BDFC US 14423532 -3506007
LUPATECH SA-ADR LUPAY US 943240001 -5971578.45
PET MANG-RT 4115360Q BZ 246810937 -224879124
PET MANG-RT 4115364Q BZ 246810937 -224879124
STEEL - RT STLB1 BZ 21657457.4 -7184940.82
STEEL - RCT ORD STLB9 BZ 21657457.4 -7184940.82
MINUPAR-RT 9314542Q BZ 153054388 -2037402.69
MINUPAR-RCT 9314634Q BZ 153054388 -2037402.69
CONST LINDEN RT CALI1 BZ 14128873.9 -2140102.39
CONST LINDEN RT CALI2 BZ 14128873.9 -2140102.39
PET MANG-RT 0229249Q BZ 246810937 -224879124
PET MANG-RT 0229268Q BZ 246810937 -224879124
RECRUSUL - RT 0163579D BZ 41094940.3 -21379158.8
RECRUSUL - RT 0163580D BZ 41094940.3 -21379158.8
RECRUSUL - RCT 0163582D BZ 41094940.3 -21379158.8
RECRUSUL - RCT 0163583D BZ 41094940.3 -21379158.8
PORTX OPERA-GDR PXTPY US 976769403 -9407990.35
PORTX OPERACOES PRTX3 BZ 976769403 -9407990.35
ALL ORE MINERACA STLB3 BZ 21657457.4 -7184940.82
MINUPAR-RT 0599562D BZ 153054388 -2037402.69
MINUPAR-RCT 0599564D BZ 153054388 -2037402.69
CONST LINDEN RCT CALI9 BZ 14128873.9 -2140102.39
CONST LINDEN RCT CALI10 BZ 14128873.9 -2140102.39
PET MANG-RT RPMG2 BZ 246810937 -224879124
PET MANG-RT RPMG1 BZ 246810937 -224879124
PET MANG-RECEIPT RPMG9 BZ 246810937 -224879124
PET MANG-RECEIPT RPMG10 BZ 246810937 -224879124
RECRUSUL - RT 0614673D BZ 41094940.3 -21379158.8
RECRUSUL - RT 0614674D BZ 41094940.3 -21379158.8
RECRUSUL - RCT 0614675D BZ 41094940.3 -21379158.8
RECRUSUL - RCT 0614676D BZ 41094940.3 -21379158.8
TEKA-RTS TEKA1 BZ 363575481 -371579997
TEKA-RTS TEKA2 BZ 363575481 -371579997
TEKA-RCT TEKA9 BZ 363575481 -371579997
TEKA-RCT TEKA10 BZ 363575481 -371579997
LUPATECH SA-RTS LUPA1 BZ 943240001 -5971578.45
LUPATECH SA -RCT LUPA9 BZ 943240001 -5971578.45
MINUPAR-RTS MNPR1 BZ 153054388 -2037402.69
MINUPAR-RCT MNPR9 BZ 153054388 -2037402.69
RECRUSUL SA-RTS RCSL1 BZ 41094940.3 -21379158.8
RECRUSUL SA-RTS RCSL2 BZ 41094940.3 -21379158.8
RECRUSUL SA-RCT RCSL9 BZ 41094940.3 -21379158.8
RECRUSUL - RCT RCSL10 BZ 41094940.3 -21379158.8
ARTHUR LANGE ARLA3 BZ 11642255.9 -17154461.9
ARTHUR LANGE SA ALICON BZ 11642255.9 -17154461.9
ARTHUR LANGE-PRF ARLA4 BZ 11642255.9 -17154461.9
ARTHUR LANGE-PRF ALICPN BZ 11642255.9 -17154461.9
ARTHUR LANG-RT C ARLA1 BZ 11642255.9 -17154461.9
ARTHUR LANG-RT P ARLA2 BZ 11642255.9 -17154461.9
ARTHUR LANG-RC C ARLA9 BZ 11642255.9 -17154461.9
ARTHUR LANG-RC P ARLA10 BZ 11642255.9 -17154461.9
ARTHUR LAN-DVD C ARLA11 BZ 11642255.9 -17154461.9
ARTHUR LAN-DVD P ARLA12 BZ 11642255.9 -17154461.9
BOMBRIL BOBR3 BZ 344846084 -16082109.1
BOMBRIL CIRIO SA BOBRON BZ 344846084 -16082109.1
BOMBRIL-PREF BOBR4 BZ 344846084 -16082109.1
BOMBRIL CIRIO-PF BOBRPN BZ 344846084 -16082109.1
BOMBRIL SA-ADR BMBPY US 344846084 -16082109.1
BOMBRIL SA-ADR BMBBY US 344846084 -16082109.1
BUETTNER BUET3 BZ 106809932 -26451201
BUETTNER SA BUETON BZ 106809932 -26451201
BUETTNER-PREF BUET4 BZ 106809932 -26451201
BUETTNER SA-PRF BUETPN BZ 106809932 -26451201
BUETTNER SA-RTS BUET1 BZ 106809932 -26451201
BUETTNER SA-RT P BUET2 BZ 106809932 -26451201
CAF BRASILIA CAFE3 BZ 160938140 -149281089
CAFE BRASILIA SA CSBRON BZ 160938140 -149281089
CAF BRASILIA-PRF CAFE4 BZ 160938140 -149281089
CAFE BRASILIA-PR CSBRPN BZ 160938140 -149281089
CHIARELLI SA CCHI3 BZ 11165368.9 -88048393.7
CHIARELLI SA CCHON BZ 11165368.9 -88048393.7
CHIARELLI SA-PRF CCHI4 BZ 11165368.9 -88048393.7
CHIARELLI SA-PRF CCHPN BZ 11165368.9 -88048393.7
IGUACU CAFE IGUA3 BZ 262778568 -57161259.5
IGUACU CAFE IGCSON BZ 262778568 -57161259.5
IGUACU CAFE IGUCF US 262778568 -57161259.5
IGUACU CAFE-PR A IGUA5 BZ 262778568 -57161259.5
IGUACU CAFE-PR A IGCSAN BZ 262778568 -57161259.5
IGUACU CAFE-PR A IGUAF US 262778568 -57161259.5
IGUACU CAFE-PR B IGUA6 BZ 262778568 -57161259.5
IGUACU CAFE-PR B IGCSBN BZ 262778568 -57161259.5
SCHLOSSER SCLO3 BZ 56671769.6 -52218991.3
SCHLOSSER SA SCHON BZ 56671769.6 -52218991.3
SCHLOSSER-PREF SCLO4 BZ 56671769.6 -52218991.3
SCHLOSSER SA-PRF SCHPN BZ 56671769.6 -52218991.3
COBRASMA CBMA3 BZ 84044218.1 -2153724140
COBRASMA SA COBRON BZ 84044218.1 -2153724140
COBRASMA-PREF CBMA4 BZ 84044218.1 -2153724140
COBRASMA SA-PREF COBRPN BZ 84044218.1 -2153724140
CONST A LINDEN CALI3 BZ 14128873.9 -2140102.39
CONST A LINDEN LINDON BZ 14128873.9 -2140102.39
CONST A LIND-PRF CALI4 BZ 14128873.9 -2140102.39
CONST A LIND-PRF LINDPN BZ 14128873.9 -2140102.39
D H B DHBI3 BZ 138254322 -115344519
DHB IND E COM DHBON BZ 138254322 -115344519
D H B-PREF DHBI4 BZ 138254322 -115344519
DHB IND E COM-PR DHBPN BZ 138254322 -115344519
DOCA INVESTIMENT DOCA3 BZ 262638432 -199076300
DOCAS SA DOCAON BZ 262638432 -199076300
DOCA INVESTI-PFD DOCA4 BZ 262638432 -199076300
DOCAS SA-PREF DOCAPN BZ 262638432 -199076300
DOCAS SA-RTS PRF DOCA2 BZ 262638432 -199076300
FABRICA RENAUX FTRX3 BZ 70649866 -75488504.5
FABRICA RENAUX FRNXON BZ 70649866 -75488504.5
FABRICA RENAUX-P FTRX4 BZ 70649866 -75488504.5
FABRICA RENAUX-P FRNXPN BZ 70649866 -75488504.5
HAGA HAGA3 BZ 20081896.3 -49045924.8
FERRAGENS HAGA HAGAON BZ 20081896.3 -49045924.8
FER HAGA-PREF HAGA4 BZ 20081896.3 -49045924.8
FERRAGENS HAGA-P HAGAPN BZ 20081896.3 -49045924.8
CIMOB PARTIC SA GAFP3 BZ 44047411.7 -45669963.6
CIMOB PARTIC SA GAFON BZ 44047411.7 -45669963.6
CIMOB PART-PREF GAFP4 BZ 44047411.7 -45669963.6
CIMOB PART-PREF GAFPN BZ 44047411.7 -45669963.6
HOTEIS OTHON SA HOOT3 BZ 255452990 -73565093.7
HOTEIS OTHON SA HOTHON BZ 255452990 -73565093.7
HOTEIS OTHON-PRF HOOT4 BZ 255452990 -73565093.7
HOTEIS OTHON-PRF HOTHPN BZ 255452990 -73565093.7
RENAUXVIEW SA TXRX3 BZ 113010473 -78451102.1
TEXTEIS RENAUX RENXON BZ 113010473 -78451102.1
RENAUXVIEW SA-PF TXRX4 BZ 113010473 -78451102.1
TEXTEIS RENAUX RENXPN BZ 113010473 -78451102.1
PARMALAT LCSA3 BZ 388720096 -213641152
PARMALAT BRASIL LCSAON BZ 388720096 -213641152
PARMALAT-PREF LCSA4 BZ 388720096 -213641152
PARMALAT BRAS-PF LCSAPN BZ 388720096 -213641152
PARMALAT BR-RT C LCSA5 BZ 388720096 -213641152
PARMALAT BR-RT P LCSA6 BZ 388720096 -213641152
ESTRELA SA ESTR3 BZ 83538938.3 -102223933
ESTRELA SA ESTRON BZ 83538938.3 -102223933
ESTRELA SA-PREF ESTR4 BZ 83538938.3 -102223933
ESTRELA SA-PREF ESTRPN BZ 83538938.3 -102223933
WETZEL SA MWET3 BZ 93591243.4 -7959637.41
WETZEL SA MWELON BZ 93591243.4 -7959637.41
WETZEL SA-PREF MWET4 BZ 93591243.4 -7959637.41
WETZEL SA-PREF MWELPN BZ 93591243.4 -7959637.41
MINUPAR MNPR3 BZ 153054388 -2037402.69
MINUPAR SA MNPRON BZ 153054388 -2037402.69
MINUPAR-PREF MNPR4 BZ 153054388 -2037402.69
MINUPAR SA-PREF MNPRPN BZ 153054388 -2037402.69
NORDON MET NORD3 BZ 12234778.3 -30283728.6
NORDON METAL NORDON BZ 12234778.3 -30283728.6
NORDON MET-RTS NORD1 BZ 12234778.3 -30283728.6
NOVA AMERICA SA NOVA3B BZ 21287489 -183535527
NOVA AMERICA SA NOVAON BZ 21287489 -183535527
NOVA AMERICA-PRF NOVA4B BZ 21287489 -183535527
NOVA AMERICA-PRF NOVAPN BZ 21287489 -183535527
NOVA AMERICA-PRF 1NOVPN BZ 21287489 -183535527
NOVA AMERICA SA 1NOVON BZ 21287489 -183535527
RECRUSUL RCSL3 BZ 41094940.3 -21379158.8
RECRUSUL SA RESLON BZ 41094940.3 -21379158.8
RECRUSUL-PREF RCSL4 BZ 41094940.3 -21379158.8
RECRUSUL SA-PREF RESLPN BZ 41094940.3 -21379158.8
PETRO MANGUINHOS RPMG3 BZ 246810937 -224879124
PETRO MANGUINHOS MANGON BZ 246810937 -224879124
PET MANGUINH-PRF RPMG4 BZ 246810937 -224879124
PETRO MANGUIN-PF MANGPN BZ 246810937 -224879124
RIMET REEM3 BZ 103098361 -185417655
RIMET REEMON BZ 103098361 -185417655
RIMET-PREF REEM4 BZ 103098361 -185417655
RIMET-PREF REEMPN BZ 103098361 -185417655
SANSUY SNSY3 BZ 183655397 -138233505
SANSUY SA SNSYON BZ 183655397 -138233505
SANSUY-PREF A SNSY5 BZ 183655397 -138233505
SANSUY SA-PREF A SNSYAN BZ 183655397 -138233505
SANSUY-PREF B SNSY6 BZ 183655397 -138233505
SANSUY SA-PREF B SNSYBN BZ 183655397 -138233505
BOTUCATU TEXTIL STRP3 BZ 27663604.9 -7174512.03
STAROUP SA STARON BZ 27663604.9 -7174512.03
BOTUCATU-PREF STRP4 BZ 27663604.9 -7174512.03
STAROUP SA-PREF STARPN BZ 27663604.9 -7174512.03
TEKA TEKA3 BZ 363575481 -371579997
TEKA TEKAON BZ 363575481 -371579997
TEKA-PREF TEKA4 BZ 363575481 -371579997
TEKA-PREF TEKAPN BZ 363575481 -371579997
TEKA-ADR TKTPY US 363575481 -371579997
TEKA-ADR TKTQY US 363575481 -371579997
F GUIMARAES FGUI3 BZ 11016542.1 -151840377
FERREIRA GUIMARA FGUION BZ 11016542.1 -151840377
F GUIMARAES-PREF FGUI4 BZ 11016542.1 -151840377
FERREIRA GUIM-PR FGUIPN BZ 11016542.1 -151840377
VARIG SA VAGV3 BZ 966298048 -4695211008
VARIG SA VARGON BZ 966298048 -4695211008
VARIG SA-PREF VAGV4 BZ 966298048 -4695211008
VARIG SA-PREF VARGPN BZ 966298048 -4695211008
BATTISTELLA BTTL3 BZ 246036232 -51251360.7
BATTISTELLA-PREF BTTL4 BZ 246036232 -51251360.7
SAUIPE SA PSEGON BZ 18005034.4 -5223527.47
SAUIPE PSEG3 BZ 18005034.4 -5223527.47
SAUIPE SA-PREF PSEGPN BZ 18005034.4 -5223527.47
SAUIPE-PREF PSEG4 BZ 18005034.4 -5223527.47
CIA PETROLIFERA MRLM3B BZ 377602195 -3014291.72
CIA PETROLIF-PRF MRLM4B BZ 377602195 -3014291.72
CIA PETROLIFERA 1CPMON BZ 377602195 -3014291.72
CIA PETROLIF-PRF 1CPMPN BZ 377602195 -3014291.72
LATTENO FOOD COR LATF US 14423532 -3506007
VARIG PART EM TR VPTA3 BZ 49432124.2 -399290396
VARIG PART EM-PR VPTA4 BZ 49432124.2 -399290396
VARIG PART EM SE VPSC3 BZ 83017828.6 -495721700
VARIG PART EM-PR VPSC4 BZ 83017828.6 -495721700
COLOMBIA
--------
PUYEHUE RIGHT PUYEHUOS CI 24251713.9 -3390038.99
PUYEHUE PUYEH CI 24251713.9 -3390038.99
***********
Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Monday
Bond Pricing table is compiled on the Friday prior to publication.
Prices reported are not intended to reflect actual trades. Prices
for actual trades are probably different. Our objective is to
share information, not make markets in publicly traded securities.
Nothing in the TCR-LA constitutes an offer or solicitation to buy
or sell any security of any kind. It is likely that some entity
affiliated with a TCR-LA editor holds some position in the
issuers' public debt and equity securities about which we report.
Tuesday's edition of the TCR-LA features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets. A company may establish reserves on its balance sheet for
liabilities that may never materialize. The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.
A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR-LA. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
***********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, Frauline S.
Abangan, and Peter A. Chapman, Editors.
Copyright 2013. All rights reserved. ISSN 1529-2746.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.
Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.
The TCR Latin America subscription rate is US$775 per half-year,
delivered via e-mail. Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each. For subscription information,
contact Peter A. Chapman at 215-945-7000 or Nina Novak at
202-241-8200.
* * * End of Transmission * * *