TCRLA_Public/131107.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

            Thursday, November 7, 2013, Vol. 14, No. 221


                            Headlines



A N T I G U A  &  B A R B U D A

LIAT: Flights Disrupted by Sudden Pilots Strike


B R A Z I L

BANCO DO BRASIL: Sees Demand for Infrastructure Loans
LUPATECH SA: Board Approves Debt Restructuring Plan


C A Y M A N  I S L A N D S

BARRENJOEY CAPITAL: Shareholders' Final Meeting Set for Nov. 28
BLUE T FUND: Commences Liquidation Proceedings
CMT CAYMAN: Shareholder to Receive Wind-Up Report on Nov. 29
EATON VANCE: Shareholder to Receive Wind-Up Report on Nov. 22
EOP FUNDING: Shareholder to Receive Wind-Up Report on Nov. 29

EOP MASTER: Shareholder to Receive Wind-Up Report on Nov. 29
EXPEDITION ADVISORS: Members' Final Meeting Set for Dec. 6
HELLENIC ALTERNATIVE: Commences Liquidation Proceedings
HERA SECURITIES: Shareholder to Receive Wind-Up Report on Nov. 22
MH INTERMEDIATE: Shareholders' Final Meeting Set for Dec. 19

NEWCASTLE CDO X: Members' Final Meeting Set for Nov. 21
PALABONO FINANCE: Shareholder to Receive Wind-Up Report on Nov. 22
SUNBRIDGE LIMITED: Members' Final Meeting Set for Nov. 13
TBR FINANCE: Shareholder to Receive Wind-Up Report on Nov. 22
WHITE T: Commences Liquidation Proceedings


G U A T E M A L A

INGENIO MAGDALENA: Fitch Assigns 'BB-' Issuer Default Rating


J A M A I C A

* JAMAICA: Sugar Industry Hit Hard by Slide of Local Dollar


N I C A R A G U A

NICARAGUA: To Get US$20MM IDB Loan to Aid Cocoa and Dairy Farmers


P A N A M A

PANAMA: Fitch Reviews Mid-Sized Banks' Ratings


P E R U

INTERCORP RETAIL: Fitch Affirms Issuer Default Rating at 'BB'


X X X X X X X X X

* Upcoming Meetings, Conferences and Seminars


                            - - - - -


===============================
A N T I G U A  &  B A R B U D A
===============================


LIAT: Flights Disrupted by Sudden Pilots Strike
-----------------------------------------------
Caribbean360.com reports that pilots employed with Leeward Islands
Air Transport, known as LIAT, stayed away from their jobs on Nov.
5, 2013, severely disrupting the schedule of the Antigua-based
airline.

A statement issued by the carrier said that it was advising
passengers "that due to action taken by its airline pilots' trade
union, Leeward Islands Airline Pilots Association (LIALPA), pilots
who were scheduled to fly this morning, Tuesday, November 5, 2013,
have not reported for duty.

"The company has not been provided with the required notification
of industrial action as required under its agreement with the
pilots.  As a result of the action, some of the company's morning
flights have been disrupted.  This is also likely to affect
service for the remainder of the day," the statement said,
according to Caribbean360.com.

                            About LIAT

Headquartered in V. C. Bird International Airport in Saint George
Parish, Antigua, Leeward Islands Air Transport, known as LIAT,
operates high-frequency interisland scheduled services serving 22
destinations in the Caribbean.  The airline's main base is VC
Bird International Airport, Antigua and Barbuda, with bases at
Grantley Adams International Airport, Barbados and Piarco
International Airport, Trinidad and Tobago.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 3, 2012, Antigua Caribarena related that former Antigua
Aviation Minister Robin Yearwood wants to see a merger between
Leeward Islands Air Transport (LIAT) and the Trinidad and Tobago-
owned Caribbean Airlines Limited, as he believes this is the only
way the Antigua-based regional carrier can survive.  Mr.
Yearwood's call came against the background of media reports out
of Port of Spain that suggested CAL's management may be eyeing
expansion into the OECS territories, according to Antigua
Caribarena.


===========
B R A Z I L
===========


BANCO DO BRASIL: Sees Demand for Infrastructure Loans
-----------------------------------------------------
Reuters reports that Banco do Brasil SA sees demand for
infrastructure-related lending among its clients at BRL330 billion
(US$151 billion), Paulo Rogerio Caffarelli, senior vice president
for wholesale, private and international banking, said.

Mr. Caffarelli said Brazil might need a total BRL1.5 trillion in
loans for roads, ports, airports and other infrastructure over the
next few years, of which about BRL900 billion are likely to help
fund oil and gas exploration in the country, according to Reuters.

The report notes that Brazil's government is pushing to create an
attractive environment for infrastructure spending in an economy
that has struggled over the past three years.

The government expects US$90 billion in annual investments through
2017 to help Brazil overcome soaring logistics costs and overheads
for farmers and exporters, Reuters notes.

Currently, a small part of the banking system's loan book goes to
fund the construction of dams, ports and roads, with state
development bank BNDES assuming a bigger part of that lending
segment in Latin America's largest economy, the report discloses.

"We have ample room to expand loans in the area," Reuters quoted
Mr. Caffarelli as saying.

Reuters adds that Banco do Brasil's loan book stood at BRL638.5
billion at the end of June.

                          About Banco do Brasil

Banco do Brasil SA is Brazil's federal bank and is the largest in
Latin America with some 20 million clients and more than 7,000
points of sale (3,200 branches) in Brazil, and 34 offices and
partnerships in 26 other countries.  In addition to its
traditional retail banking services, Banco do Brasil underwrites
and sells bonds, conducts asset trading, offers investors
portfolio management services, conducts financial securities
advising, and provides market analysis and research.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 5, 2013, Standard & Poor's Ratings Services affirmed its 'BB'
issue-level rating on Banco do Brasil S.A.'s perpetual,
noncumulative, junior subordinated securities.  The outlook on the
issuer credit rating is negative.


LUPATECH SA: Board Approves Debt Restructuring Plan
---------------------------------------------------
Paulo Prada at Reuters reports that Lupatech SA, in a securities
filing, said its board has approved a debt-for-equity swap
designed to help it push past a series of missed payments to
creditors.

Lupatech SA said it would renegotiate some of its debt with
lenders and that holders of perpetual bonds and debentures would
be offered an option of swapping 85 percent of their debt for new
equity, according to Reuters.

The report notes that the company is one of several Brazilian oil
and gas companies, including OGX Petroleo e Gas SA and HRT
Participacoes em Petroleo SA, whose share prices have dropped in
the last year after missing profit and production targets.

The report recalls that on Oct. 10 Lupatech failed to make a
US$6.79 million payment on $275 million of outstanding perpetual
bonds.  Lupatech also missed payments in April and July and the
company has missed payments on local debt in reais, the report
relates.

Headquartered in Nova Odessa, Brazil, Lupatech S.A. is a major
equipment manufacturer for the oil & gas, industrial valves and
casting parts sectors, with net revenues of BRL 628 million ($322
million) for the last twelve months ended March 31, 2013.
Lupatech's Products division represented some 45% of net sales for
the most recent quarter, and includes oil and gas valves,
synthetic fiber ropes for platform anchoring and industrial
valves. The Services division, focused on oilfield services in
Brazil and Colombia, as well as tubular and coating services,
represented 55% of net sales.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 21, 2013, Moody's Investors Service downgraded Lupatech's
corporate family rating to Ca from Caa2 (and to Ca.br from Caa2.br
on the national scale rating) and its senior unsecured debt
ratings to C from Caa3.  The outlook for the ratings is stable.


==========================
C A Y M A N  I S L A N D S
==========================


BARRENJOEY CAPITAL: Shareholders' Final Meeting Set for Nov. 28
---------------------------------------------------------------
The shareholders of Barrenjoey Capital Holtermann Fund will hold
their final meeting on Nov. 28, 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:

          Alric Lindsay
          Telephone: (345) 926 1688
          Artillery Court, Shedden Road
          P.O. Box 11371, George Town
          Grand Cayman KY1-1008
          Cayman Islands


BLUE T FUND: Commences Liquidation Proceedings
----------------------------------------------
On Sept. 30, 2013, the sole shareholder of Blue T Fund resolved to
voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Christopher P. Meyering
          667 Madison Avenue
          New York, New York 10065
          USA


CMT CAYMAN: Shareholder to Receive Wind-Up Report on Nov. 29
------------------------------------------------------------
The shareholder of CMT Cayman GP Limited will receive on Nov. 29,
2013, at 8:30 a.m., the liquidator's report on the company's wind-
up proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


EATON VANCE: Shareholder to Receive Wind-Up Report on Nov. 22
-------------------------------------------------------------
The shareholder of Eaton Vance CDO, Limited will receive on
Nov. 22, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          David Dyer
          Telephone: (345) 949 8244
          Facsimile: (345) 949 5223
          P.O. Box 1984 Grand Cayman KY1-1104
          Cayman Islands


EOP FUNDING: Shareholder to Receive Wind-Up Report on Nov. 29
-------------------------------------------------------------
The shareholder of EOP Funding Ltd. will receive on Nov. 29, 2013,
at 8:45 a.m., the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


EOP MASTER: Shareholder to Receive Wind-Up Report on Nov. 29
------------------------------------------------------------
The shareholder of EOP Funding Master Ltd. will receive on
Nov. 29, 2013, at 9:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


EXPEDITION ADVISORS: Members' Final Meeting Set for Dec. 6
----------------------------------------------------------
The members of Expedition Advisors (Offshore) Limited will hold
their final meeting on Dec. 6, 2013, at 4:00 p.m., to receive 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 Nicola Cowan
          Telephone: (345) 946 7665
          Facsimile: (345) 949 2877
          dms House, 2nd Floor
          P.O. Box 1344 Grand Cayman KY1-1108
          Cayman Islands


HELLENIC ALTERNATIVE: Commences Liquidation Proceedings
-------------------------------------------------------
On Sept. 30, 2013, the sole shareholder of Hellenic Alternative
Assets Recovery Fund resolved to voluntarily liquidate the
company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Christopher P. Meyering
          667 Madison Avenue
          New York, New York 10065
          USA


HERA SECURITIES: Shareholder to Receive Wind-Up Report on Nov. 22
-----------------------------------------------------------------
The shareholder of Hera Securities Ltd. will receive on Nov. 22,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.

The company's liquidator is:

          David Dyer
          Telephone: (345) 949 8244
          Facsimile: (345) 949 5223
          P.O. Box 1984 Grand Cayman KY1-1104
          Cayman Islands


MH INTERMEDIATE: Shareholders' Final Meeting Set for Dec. 19
------------------------------------------------------------
The shareholders of MH Intermediate Investment Limited will hold
their final meeting on Dec. 19, 2013, at 2:00 p.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
          P.O. Box 1111 Grand Cayman KY1-1102
          Cayman Islands


NEWCASTLE CDO X: Members' Final Meeting Set for Nov. 21
-------------------------------------------------------
The members of Newcastle CDO X, Limited will hold their final
meeting on Nov. 21, 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:

          Ellen J. Christian
          c/o BNP Paribas Bank & Trust Cayman Limited
          P.O. Box 10632, 3rd Floor
          Royal Bank House
          24 Shedden Road, George Town
          Grand Cayman KY1-1006
          Cayman Islands


PALABONO FINANCE: Shareholder to Receive Wind-Up Report on Nov. 22
------------------------------------------------------------------
The shareholder of Palabono Finance Limited will receive on
Nov. 22, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          David Dyer
          Telephone: (345) 949 8244
          Facsimile: (345) 949 5223
          P.O. Box 1984 Grand Cayman KY1-1104
          Cayman Islands


SUNBRIDGE LIMITED: Members' Final Meeting Set for Nov. 13
---------------------------------------------------------
The members of Sunbridge Limited will hold their final meeting on
Nov. 13, 2013, to receive the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

          Buchanan Limited
          P.O. Box 1170, George Town
          Grand Cayman KY1-1102
          Cayman Islands


TBR FINANCE: Shareholder to Receive Wind-Up Report on Nov. 22
-------------------------------------------------------------
The shareholder of TBR Finance Inc. will receive on Nov. 22, 2013,
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          David Dyer
          Telephone: (345) 949 8244
          Facsimile: (345) 949 5223
          P.O. Box 1984 Grand Cayman KY1-1104
          Cayman Islands


WHITE T: Commences Liquidation Proceedings
------------------------------------------
On Sept. 30, 2013, the sole shareholder of White T Fund resolved
to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Christopher P. Meyering
          667 Madison Avenue
          New York, New York 10065
          USA


=================
G U A T E M A L A
=================


INGENIO MAGDALENA: Fitch Assigns 'BB-' Issuer Default Rating
------------------------------------------------------------
Fitch Ratings has assigned a foreign currency and local currency
Issuer Default Rating (IDR) of 'BB-' to Ingenio Magdalena S.A.
(Imsa). The Rating Outlook is Stable. Fitch has also assigned a
'BB-(exp)' rating to Imsa's proposed senior unsecured notes up to
USD400 million with a maturity between 5 to 10 years. The proceeds
from the debt issuance will be used to refinance existing debt and
for general corporate purposes. The proposed notes will have the
guarantee of certain Imsa's subsidiaries that represent
approximately 94% of total assets and close to 100% of
consolidated EBITDA.

Key Rating Drivers:

Imsa's ratings are supported by the company's solid business
position as the largest sugar mill and producer in Guatemala and a
leading player in the exports of refined sugar in Latin America,
diversified operations through the production of sugar and alcohol
and generation of power and energy, and good operating margins
coming from its low cost structure that benefits from its
strategic location near the sugar cane fields and ports, and self-
sufficient energy requirements. The ratings also benefit from the
company's track record of continuous growth of its operating
performance through the cycle, with moderate credit metrics and
adequate liquidity.

The ratings of Imsa are constrained by the volatility of the sugar
industry which is exposed to fluctuations in commodity prices,
climate changes and seasonality of its operations. Concentration
of its operations in one location, as well as its expected
increase in financial leverage and negative free cash flow
generation associated to higher capital expenditures (capex) in
its power and energy business segment also limits the ratings.

Solid Position:

Imsa's ratings are supported by the company's leading positions in
the segments where it operates. The company is the leading
exporter of sugar in Guatemala and refined sugar to Latin America,
while in Guatemala has an approximately 24% of market share in
sugarcane crushing. In the last harvest period Imsa crushed 6.4
millions tons of sugarcane. Imsa's biomass based electricity
production represented 31% of the total electricity produced by
the sugar industry and around 4% of the total electricity produced
in Guatemala. The company's installed capacity is 175MW. Its
alcohol business has the largest hydrous alcohol distillery in the
country with a daily production of 420 thousand liters.

Diversifying Into Power Generation:

Fitch views as positive Imsa's business strategy oriented to
increasing the operations of its power and energy business, which
is less volatile than its sugar operations and will provide cash
flow stability. In the medium to long term, operating cash flow
generation should be balanced between the sugar and power
operations. Fitch believes that Imsa's diversified portfolio of
revenues lowers business risk and cash flow volatility. In 2012,
the company generated around 73%, 12% and 12% of its total sales
from sugar, power and energy, and alcohol, respectively; while
EBITDA generation was mainly supported by sugar, power and energy,
and to a lesser extent alcohol.

Industry Cyclicality:

The ratings consider the risks associated to the sugar industry
which is highly volatile. The profitability margins of Imsa are
exposed to the international prices of sugar which are affected by
the cyclical imbalances coming from the domestic and international
markets resulting from weather conditions, global economic growth,
and changes in consumption habits and government imposed trade
conditions. In 2012 the company's EBITDA margin as per Fitch
calculation was 37% which was lower than 41% at the end of 2011.
Lower average sales sugar prices contributed mainly to this
deterioration. Fitch expects that the company's EBITDA margin
remains pressured in the following 12 to 18 months as sugar prices
have been declining during the year. For the last 12 months as of
June 30, 2013, EBITDA margin was approximately 22%.

Fitch's expectative incorporates higher leverage in the following
18 to 24 months and gradual decrease starting 2015. Imsa's
financial strategy contemplates to refinance its total debt with
the proposed USD400 million of senior notes and with USD125
million of a syndicated loan signed in October 2013. Failure to
achieve this will pressure liquidity. Total debt calculated by
Fitch, which includes capital leases, was USD583 million as of
June 30, 2013. On a proforma basis, Fitch incorporates that the
company's total debt to EBITDA will be around 3.6x by the end of
2014 and then should gradually deleverage in the mid to long term
to levels below 3.0x through higher EBITDA generation and debt
reduction. On an adjusted basis, including capital leases and the
annual rent expenses of land multiplied by 8 times, Fitch expects
for 2014 an adjusted debt to EBITDAR of around 4.4x. Imsa's long
term total debt to EBITDA target is between 2.5x and 3.0x.

Improved Liquidity Expectation:

Following the refinancing of its current debt the company's debt
maturities will be manageable with annual debt amortizations below
USD63 million in the following five years. In addition, Imsa's
liquidity position has been supported by its generation of funds
from operations (FFO) which in the last three years has averaged
annually around USD92 million, and an available committed credit
line of USD30 million. As of June 30, 2013, the company had USD35
million of cash and marketable securities and USD203 million of
short-term debt.

Negative Fcf Until 2014:

Fitch expects a negative free cash flow (FCF) generation due to
higher capex in 2013 and 2014. Imsa's capex program in 2013, 2014
and 2015 of around USD136 million, USD189 million, and USD64
million, respectively, includes the construction of two hydro
electrical plants and two biomass/coal generation plants that will
be fully operating by 2015 and 2016, as well as annual maintenance
capex of approximately USD35 million. Fitch estimates that
positive FCF generation could resume by the end of 2015. Imsa does
not have a formal dividend policy but management's guidance is
that dividend payment would be around USD20 million annually.
Fitch considers that the company has financial flexibility to
manage its capex requirements and dividend payment if there is a
pressure in its liquidity position.

Imsa's operating performance has followed a continuous growth
through the cycle; however, operations are highly linked to the
seasonality of the harvest period and sugar prices. In 2012 the
company generated net sales and EBITDA of USD448 million and
USD165 million, respectively, which represented an increase of 22%
and 9%, when compared to 2011. Higher volume sales of sugar and
EBITDA generation from electricity contributed mainly to this
increase. Fitch expects that the company's sales and EBITDA
maintain a positive growth over the cycle supported by higher
sales of electricity that will offset an scenario of lower sugar
sale prices over the long term. Fitch estimates that EBITDA
generation in 2013 will be at lower levels than 2012, mainly as a
result of declining sugar prices during the year.

Rating Sensitivity:

The ratings could be pressured by a deterioration of the company's
operating performance due to industry trends or economic activity
resulting in higher leverage ratios and weaker liquidity position
than Fitch's expectation. Fitch does not anticipate positive
ratings actions in the midterm; however, a combination of debt
reduction, higher operating income, and positive free cash flow
generation leading to a sustained improvement in the company's
financial position and capital structure, would be viewed as
positive to credit quality.


=============
J A M A I C A
=============


* JAMAICA: Sugar Industry Hit Hard by Slide of Local Dollar
-----------------------------------------------------------
RJR News reports that the local sugar industry is reportedly being
hit hard by the slide in the value of the Jamaican dollar against
the US currency.

The movement in the exchange rate has among other things, resulted
in higher operational costs, according to RJR News.

The report notes that Karl James, general manager of Jamaica Cane
Products Sales, outlined some of the areas which have been
impacted:

"Right now it is impacting on the cost of inputs. The factors that
have been concerning the cane farmers are the cost of fertilizers
and the cost of transportation. Other things will come into play
as the crop proceeds, but that is what we have to contend with for
the time being."

In the meantime, there are signs that sugar production will
increase when the new crop begins this month. Production levels
are set surpass last year's, RJR News relates.

"The indication from the non-Chinese factories is that there
should be increase in production this year.  The Chinese are
hoping, but not confirming yet that there is increase over last
year, but they would not be less than last year," the report
quoted Mr. James as saying.


=================
N I C A R A G U A
=================


NICARAGUA: To Get US$20MM IDB Loan to Aid Cocoa and Dairy Farmers
-----------------------------------------------------------------
Nicaragua will implement a pilot project to increase the
productivity of small-and medium-scale farmers in the cocoa and
dairy chain, among others, with a loan for US$20 million approved
by the Inter-American Development Bank (IDB).

Over the next five years the project aims to double average
productivity of the dairy chain from 3.95 liters to 8 liters of
milk per cow and increase production of cocoa from 7.5 quintals to
13 quintals per acre.  The operation will benefit more than 12,000
livestock producers and 6,400 cocoa producers.

Through the project, Nicaragua will address two market failures
related to low productivity: lack of access to investment
resources for technical assistance, and difficulties in market
access due to inadequate linkage in value chains.  Although per
hectare productivity has grown on average 3.9 percent annually in
the period 2000-2011, it remains lower than that of other Central
American countries.  Low productivity negatively impacts rural
living conditions.

The IDB operation will function as a global credit program that
will facilitate financing to small- and medium-scale farmers with
limited access to credit, but with sustainable business plans.
Linkages in the value chain will be promoted through co-financing
for the design and implementation of business plans, technical
assistance, and organizational and institutional strengthening of
cooperatives or organizations of small- and medium-scale
producers.

The IDB financing consists of US$10 million from the Bank's
ordinary capital for a term of 30 years, a grace period of 5.5
years, and an SCF-fixed interest; and US$10 million from the Fund
for Special Operations for a term and grace period of 40 years and
an interest rate of 0.25 percent.  Nicaragua's Banco de Fomento a
la Produccion will implement the operation as trustee of the trust
fund set up to administer the project resources.


===========
P A N A M A
===========


PANAMA: Fitch Reviews Mid-Sized Banks' Ratings
----------------------------------------------
Fitch Ratings has completed a peer review of the following seven
Panamanian mid-sized banks: Banco Aliado, S.A. (Aliado), Banco
Panameno de la Vivienda, S.A. y Subsidiarias (Banvivienda),
Banesco, S.A. (Banesco), Credicorp Bank, S.A. (Credicorp), Global
Bank Corporation (Global), Towerbank International, Inc.
(Towerbank) and Multibank, Inc. (Multibank).

The banks included in this review have assets ranging from $800
million to $4,000 million with operations mainly in Panama.  The
ratings for this group of banks are based on their intrinsic
strength rather than external support.  The banks reviewed are
owned by domestic investors, excluding Banesco.

Rating Actions

Fitch has affirmed the ratings of Aliado, Banvivienda, Banesco,
Global, Multibank and Towerbank after assessing their credit
profiles and concluding that their relativities with peers remain
unchanged.

At the same time, Fitch upgraded Credicorp's long-term national
rating as a result of its strengthened risk profile relative to
its peers.  Credicorp's consistent improvement in capital ratios
in recent years, along with its ability to sustain a loan loss
reserve coverage coherent with its risk profile, has strengthened
its capacity to absorb losses.  The combination of consistent,
albeit moderate, profitability and the capitalization of profits,
boosted the bank's capital ratios.  Fitch expects Credicorp to
continue performing adequately, maintaining profitability levels
similar to industry averages based on outstanding credit quality
and good efficiency.  The agency estimates that the bank's Fitch
Core Capital will remain above 14%, exceeding the banking system's
average.

Key Rating Drivers

Credicorp

Credicorp's ratings are based on the good quality of its assets,
relatively high capital ratios and moderate but consistent
profitability.  The ratings are constrained by its relatively
small size, the correlation of its performance with the economic
cycle and the moderate levels of concentration on both sides of
the balance sheet.

Aliado

The bank's ratings reflect its low risk appetite, consistent
strategy, expertise in its target market and good liquidity mostly
comprised of bank deposits.  The ratings also reflect the bank's
ability to maintain its capital position and grow at rates higher
than the system average given its conservative dividend pay-out
policy.  The ratings also take into account the modest but
consistent returns, low revenue diversification and relatively
high loan and deposits concentrations.

Banvivienda

Banvivienda's current ratings are based on the effective execution
of its strategy, adequate capital ratios, steady growth of
operating profit and improved credit risk management.  The ratings
also take into account the structural tenure mismatch, high
concentrations in main depositors and low efficiency, which
continues limiting profitability.

Banesco

Banesco's ratings reflect the bank's accelerated growth in
previous years coupled with their customer's adequate payment
behaviour.  The ratings also factors in the bank's sustained
profitability, exceeding the system's average and its moderate
capitalization.  Also, the ratings convey the bank's links with
its related company, Banesco Banco Universal, based in Venezuela.
Leveraged by the Venezuelan bank's franchise, Banesco has access
to customer deposits of that country, which are fundamental to the
business development and define the risk profile of the Panamanian
entity.  These low-cost deposits have helped sustain profitability
and have financed the loan portfolio's rapid growth within Panama.
However, their short term nature poses a higher maturity mismatch
for the bank relative to its peers, which is closely monitored by
the bank.

Global

Global's ratings consistent strategy, improving capitalization
ratios, sound positioning within its core market and consistently
good asset quality indicators support its ratings.  Also, the
bank's limited revenue diversification and moderate loan portfolio
concentration by size was taken into account.  Global has a more
diversified funding than the peers included in this review,
nevertheless, its franchise is still smaller than that of largest
Panamanian banks.

Multibank

Multibank's national ratings, Issuer Default Ratings (IDR) and
Viability Ratings (VR) are based on its clear strategy, consistent
performance, good asset quality and adequate capital and reserves.
The ratings also factors in the improved funding mix and adequate
liquidity, as well as the challenges faced by the bank to improve
its market position and increase profitability in a highly
competitive market.

The support rating of '5' reflects Fitch's opinion that external
support for Multibank cannot be relied upon. Thus, there is no
reasonable presumption of potential support being forthcoming,
which is reflected in the bank's 'No Floor' (NF) rating.

Towerbank

Towerbank's ratings are based on its good and consistent credit
quality, high liquidity and progress in its loan portfolio
diversification by economic sector.  Concentrations in the largest
debtors and depositors are still high, despite having fallen in
the past year.  The bank's ratings are also limited by the tight
capital ratios, resulting in a moderate loss absorption capacity,
below that of its peers.

Rating Sensitivies

Credicorp

The Stable Outlook indicates that Fitch does not anticipate
changes in the bank's ratings in the foreseeable future.  However,
over the medium term, a material strengthening of its franchise,
competitive position, and diversification, coupled with a
sustained or improved financial profile, could gradually affect
its ratings positively.

Further increases in the concentration of the portfolio's largest
debtors and/or related borrowers, could pressure the ratings
downward, as they would increase the bank's balance sheet
sensitivity to changes in the economic environment.  Moreover, a
setback in the positive trend reflected by the capital position or
lower loan loss reserve coverage could also be negative for the
ratings as it weakens the bank's capacity to absorb losses.

Aliado

Further diversification and expansion of the bank's business
volume that leads to a material reduction in lending and deposit
concentrations as well as to a more diversified revenue structure,
could improve the bank's ratings.

Given the bank's limited scope to absorb losses, deterioration in
the credit quality of main debtors could compromise profitability
and/or capital position and consequently negatively affect current
ratings.

Banvivienda

Improvements in Banvivienda's ratings would come from the
sustained strengthening in operating profit resulting in
sufficient internally generated capital to support asset growth.
In addition, further progress in the diversification and quality
of the loan portfolio, accompanied by sustained improvements in
maturity mismatch would have a positive effect on the ratings.
Although it is not Fitch's base case scenario, negative changes in
the bank's ratings would result from a sharp deterioration in
asset quality that weaken profitability and drive a reduction in
the Fitch Core Capital ratio below 10%.

Banesco

Further maturity achieved by the bank's portfolio that
consolidates the customer's good payment behavior to date, would
improve the ratings.  Also, the ratings would benefit from a
reduction in the asset and liability gap, a greater proportion of
local deposits as well as extension of the liabilities average
tenor.

The bank's ratings would be pressured by the deterioration in the
portfolio's quality leading to a weakening of the Fitch Core
Capital ratio below 10%, as well as significant increases in the
volatility of deposits.

Global

Improved ratings depend on the continued strengthening of the
bank's capital, driven by internal capital generation sufficient
to sustain the expected growth in assets.  The ratings would also
be benefited from improvements in revenue diversification, as well
as an increase in the net interest margin, resulting in a greater
ability to absorb losses in a stress scenario.

Global's ratings would be downgraded given a severe deterioration
in asset quality or a decline in its financial performance,
resulting in a Fitch Core Capital ratio below its recent average.

Multibank

Consistent progress in the bank's capital, driven by sufficient
internal capital generation to support the expected growth of
assets would lead to an improvement in the bank's ratings.

Additionally, the ratings could improve in the medium term if the
bank continues to increase its market share and diversify its
revenues while maintaining low concentrations on both sides of the
balance sheet and good asset quality.

Multibank's ratings could be negatively affected by unexpected
deterioration in asset quality that weaken profitability and erode
capital and reserves cushion.  Additionally, that overstretches
the bank's capital (i.e., Fitch Core Capital below 9%) could also
be negative.  Furthermore, an extension of the average tenor of
its loans without a corresponding extension of its liability
maturity profile would be a rating negative.

Towerbank

Improvements in Towerbank's ratings would come from a sustained
reduction in the concentration on the largest debtors and
depositors (top 20 borrowers and depositors below 20%).  Also, a
stronger Fitch Core Capital ratio (above 12%), could improve the
ratings.

On the other hand, the ratings would be downgraded given a
significant deterioration in asset quality, decline in
profitability, and/or distribution of dividends amid aggressive
expansion involving a decrease in Fitch Core Capital below 8%.

Additionally, impairments in the liquidity position and increases
in maturity mismatches could pressure the ratings downward.

Fitch upgraded Credicorp's long-term national rating and affirmed
its short-term national rating as follows:

Credicorp

--National long-term rating upgraded to 'A+(pan)' from 'A(pan);
Outlook Stable;
--National short-term rating affirmed at 'F1(pan)'.
Fitch has affirmed the ratings for Aliado, Banvivienda, Banesco,
Global, Towerbank and Multibank as follows:

Aliado

--National long-term rating affirmed at 'A(pan)'; Outlook Stable;
--National short-term rating affirmed at 'F1(pan)'.

Banvivienda:

--National long-term rating affirmed at 'BBB+(pan)'; Outlook
Stable;
--National short-term rating affirmed at 'F2(pan)'.

Banesco:

--National long-term rating affirmed at 'BBB-(pan)'; Outlook
Stable;
--National short-term rating affirmed at 'F3(pan)'.

Global:

--National long-term rating affirmed at 'AA-(pan)'; Outlook
Stable;
--National short-term rating affirmed at 'F1+(pan)'.

Towerbank:

--National long-term rating affirmed at 'A(pan)'; Outlook Stable;
--National short-term rating affirmed at 'F1(pan)'.

Multibank:

National Ratings
--National long-term rating affirmed at 'AA-(pan)'; Outlook
Stable;
--National short-term rating affirmed at 'F1+(pan)'.

International Ratings

--Long-term IDR affirmed at 'BB+'; Outlook Stable;
--Short-term IDR affirmed at 'B'.
--VR affirmed at 'bb+';
--Support Rating affirmed at '5';
--Support Rating floor affirmed at 'NF';


=======
P E R U
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INTERCORP RETAIL: Fitch Affirms Issuer Default Rating at 'BB'
-------------------------------------------------------------
Fitch Ratings has affirmed the ratings of Intercorp Retail Inc.
(Intercorp Retail) and Intercorp Retail Trust (IRT) as follows:

Intercorp Retail

-- Foreign currency Issuer Default Rating (IDR) 'BB';
-- Local currency IDR 'BB'.

IRT

-- Foreign currency IDR 'BB';
-- USD300 million senior guaranteed notes due in 2018 'BB'.

IRT, a fully owned subsidiary of Intercorp Retail, is a trust
formed under the laws of the Cayman Islands solely to issue the
guaranteed notes.

Fitch has also affirmed the ratings of Interproperties Holding
(Interproperties) as follows:

Interproperties:

-- Foreign currency IDR 'BB';
-- Local currency IDR 'BB'.

Interproperties Finance Trust (IFT):

-- Foreign currency IDR 'BB';
-- Local currency IDR 'BB';
-- USD185 million senior secured notes 'BB'.

IFT is a trust constituted under the laws of the Cayman Islands
solely to issue the secured notes. The notes are structured as if
they were senior secured obligations of Interproperties.

The Rating Outlook for Intercorp Retail, IRT, Interproperties and
IFT is Stable. The ratings of these companies are linked through
Fitch's parent and subsidiaries rating criteria.

Intercorp Retail's ratings reflect its diversified business model,
continued growing operations, and solid market position in Peru's
supermarket, pharmacy retail, and real estate segments. Factors
that constrain the rating are the company's high leverage and
negative free cash flow generation due to a significant capex plan
being developed. The ratings also consider the company's limited
geographic position, as all of its retail operations are in Peru,
and the increasing competition in Peru's highly concentrated
formal retail sector, as key competitors are implementing
significant capex plans to expand operations.

Interproperties' ratings reflect its solid business position in
Peru's shopping center industry with participation in eight
shopping centers, stable and predictable cash flow generation, and
the low working capital requirements nature of the industry.
Incorporated in the ratings is the Interproperties' stable revenue
stream derived from its lease portfolio and the credit profile of
its main tenants. The lease revenues are predominately fixed in
nature and also provide for the pass-through of ongoing
maintenance and operating expenses for the company's properties,
which lowers business risk. Factors that constrain the rating are
limited asset and tenant diversification, high leverage, and the
execution risk related to its capex plan.

Rating drivers:

Integrated Retail Business Model Support Business Position:

Fitch views Intercorp Retail's business position in the Peruvian
retail industry as solid driven by a sound business strategy of
developing and integrating several retail formats with its real
estate operations to meet growing needs of Peruvian consumers.
Intercorp Retail manages a leading multi-format retail operation
in Peru, which primarily include Supermercados Peruanos, Eckerd
Peru, the operator of the InkaFarma brand, and InRetail Real
Estate, the operator of Real Plaza shopping center chain. These
three core businesses support Intercorp Retail's cash flow
generation, representing approximately 44% (Supermarkets), 32%
(Retail Pharmacy), and 24% (Shopping Centers) of the company's
total adjusted EBITDA. The company's business model of integrating
retail operations with its shopping center platform allows
attracting growing consumer traffic through its retail brands and
locations, and enhances the company's ability to develop
commercial sites and attract and develop adequate tenant mix.

Solid Market Share in Core Businesses

The supermarket chain is the second largest in Peru, with an
estimated market share of 33% - based on revenues - as of June 30,
2013. The pharmacy chain is the largest in Peru, with a 53% market
share in the formal segment. InRetail Real Estate is the leader in
the Peruvian's shopping center industry with a market share of 20%
over the country's total gross leasable area (GLA). In addition,
Intercorp Retail is also expanding retail operations in the
department store, consumer finance and home improvement
businesses, which are currently no material in terms of cash flow
generation due to the early stage of development of these
businesses.

The company margins are expected to remain stable. Intercorp
Retail's achieved consolidated revenues, EBITDA, and EBITDAR of
S/. 5.7 billion, S/.422 million, and S/. 526 million,
respectively, during LTM June 30, 2013. This resulted in the
company's EBITDA and EBITDAR margins of 7.4% and 9.3%, similar to
those levels achieved in 2012

Consolidated Leverage Expected to Remain High:

The ratings are constrained by Intercorp Retail's high adjusted
gross leverage driven by high capital expenditures (capex). The
company is expected to maintain similar capex levels during the
next 12 month period ended in June 2014, capex levels will be
funded with the company's own resources and incremental debt.
Intercorp Retail's consolidated financial gross and net leverage
ratios, measured by the Total Adjusted Debt/ EBITDAR and Net
Adjusted Debt/ EBITDAR, were 5.4x and 4.3x, respectively, during
the LTM June 30, 2013. The company reached cash flow from
operations and capex levels of S/.200 million and S/.643 million
during LTM June 2013, resulting in negative free cash flow (FCF)
of S/.443 for the period. The company's LTM capex levels were
primarily funded with proceeds from the USD460 million IPO
completed by InRetail Peru Corp. during the fourth quarter of
2012. InRetail Peru Corp. is the holding company for the
supermarket, retail pharmacy, and real estate operations and it is
58% owned by Intercorp Retail Inc.

As of June 30, 2013, Intercorp Retail's total adjusted debt (on-
balance and off-balance) was S/.2.8 billion. The company's total
on-balance debt was S/.2.1 billion and it was composed primarily
of bank loans, public debt, and financial leasing. The company's
off-balance debt associated with operating lease obligations was
S/.729 million, resulting from LTM June 2013 rental expenses of
S/.104 million. The company maintains approximately a combination
of 2/3 versus 1/3 in terms of the number of owned stores versus
rented stores at the consolidated levels

Adequate Liquidity:

The company's liquidity is viewed as adequate considering its
capacity to maintain satisfactory coverage ratios and the
company's credit access. The company is not expected to maintain
substantial cash position. Intercorp Retail ended 2012 with solid
cash position of S/.1.2 billion, which has been declining through
2013 as the capex plan was executed. The company's coverage ratio
measured as total EBITDAR over interest expenses plus rents was
1.8x and 1.6x during 2012 and LTM June 2013. The company's had S/.
567 million of cash and marketable securities as of June 30, 2013,
which compares favorably with S/.313 million of short-term debt.

Interproperties, Capex Plan Execution as Scheduled:

The company's capex plan is being executed according to the
original schedule. During LTM June 2013, Interproperties' total
revenues and adjusted EBITDA reached levels of S/.82 million and
S/. 67 million, resulting in EBITDA level of 82%. The company's
capex during LTM were S/.149 million funded partially with S/.92
million equity increase completed during the period. By the end of
June 30, 2013, the company's total gross leasable area (GLA) was
213 thousand square meters (m2). The completion of
Interproperties' scheduled capex - with the major development of
Salaverry mall scheduled to start operations in April 2014 - is
expected to result in the increase of Interproperties' revenue to
S/.145 million in 2014.

Interproperties, Financial Leverage to Decline in 2014:

The ratings incorporate the expectation that Interproperties'
financial leverage will decline as major developments are
completed and start operations. The company's gross leverage,
measured by Adjusted EBITDA/ Total Debt was 7.4x by the end of
June 30, 2013. Interproperties' financial leverage is expected to
decline reaching levels below 5.5x by December 2014. The Salaverry
mall will add 75 thousand of m2, an increase of 35% over
Interproperties' current levels.

Good collateral support. The structure of the USD185 million
secured issuance is secured by assets, which are composed by real
properties with a commercial value of approximately USD175 million
as of June 2011. These properties have increased its value - as
the company has developed its capex plan - reaching a total value
of approximately USD260 million by June 30, 2013. The loan to
value ratio as of June 30, 2013 is estimated at 70%.

Rating sensitivities:

The Stable Outlook for Intercorp Retail and Interproperties'
ratings incorporate the view that the consolidated adjusted gross
leverage will remain around 5x during the next 12 month ended in
June 2014.

Negative Rating Actions: A rating downgrade could be triggered by
a decline in the Peruvian macroeconomic environment affecting
retail operations' cash flow generation, delays in the capex plan
execution for Interproperties' operations, and/or incremental debt
associated with acquisition activity.

Positive Rating Actions: Intercorp Retail and Interproperties'
ratings could be positively affected by significant improvement in
consolidated margins, leverage and liquidity above the levels
incorporated in the ratings.


=================
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* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
Dec. 2, 2013
   BEARD GROUP, INC.
      19th Annual Distressed Investing Conference
          The Helmsley Park Lane Hotel, New York, N.Y.
          Contact:   240-629-3300 or http://bankrupt.com/

Dec. 5-7, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Terranea Resort, Rancho Palos Verdes, Calif.
            Contact:   1-703-739-0800; http://www.abiworld.org/



                            ***********


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
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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,
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of the same firm for the term of the initial subscription or
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