/raid1/www/Hosts/bankrupt/TCRLA_Public/140127.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
Monday, January 27, 2014, Vol. 15, No. 18
Headlines
A R G E N T I N A
ARGENTINA: Raises Rates for Central Bank Notes After Devaluation
B R A Z I L
BANCO BBM: Moody's Assigns B1 Rating on Senior Unsecured Debt
BANCO BBM: Moody's Affirms 'D+' BFSR; Outlook Stable
INTERCEMENT BRASIL: Moody's Withdraws B1 CFR on $150MM Sr. Notes
OSX BRASIL: Wants to Overturn Decision Taken by Dutch Court
C A Y M A N I S L A N D S
AI-DIVERSIFIED: Shareholders Receive Wind-Up Report
AI-RELATIVE VALUE: Shareholders Receive Wind-Up Report
AI-TACTICAL TRADING: Shareholders Receive Wind-Up Report
ARBITRAGE ASSOCIATES: Shareholder Receives Wind-Up Report
CHASE PRIVATE: Shareholders Receive Wind-Up Report
EPIC SPECIAL: Shareholders Receive Wind-Up Report
FIFTH SQUARE: Shareholders Receive Wind-Up Report
GLOBAL THAI: Shareholders Receive Wind-Up Report
IONIC CONVERTIBLE: Shareholders Receive Wind-Up Report
IONIC CONVERTIBLE FUND: Shareholders Receive Wind-Up Report
IONIC CONVERTIBLE MASTER: Shareholders Receive Wind-Up Report
JAPAN INVESTMENT: Shareholders Receive Wind-Up Report
JAPAN INVESTMENT HOLDINGS: Shareholders Receive Wind-Up Report
MARWOOD ALTERNATIVE: Members Receive Wind-Up Report
OLD MILL: Shareholders Receive Wind-Up Report
RHP MASTER: Shareholder Receives Wind-Up Report
RIDLEY PARK: Shareholder Receives Wind-Up Report
ROCK HILL: Shareholder Receives Wind-Up Report
TIG PROCELLA: Shareholder Receives Wind-Up Report
VICTORY PARK: Shareholders Receive Wind-Up Report
C H I L E
GEOPARK LATIN AMERICA: Fitch Affirms IDRs at 'B'; Outlook Stable
INVERSIONES ALSACIA: Moody's Extends Caa2 Rating Review
G U A T E M A L A
COMCEL TRUST: Moody's Assigns 'Ba1' CFR, Sr. Global Notes Rating
J A M A I C A
NATIONAL COMMERCIAL BANK: Trinidad Acquisition Cost Over JM$300MM
P U E R T O R I C O
SUNSET BLUE: Case Summary & Unsecured Creditor
PUERTO RICO: Plans Debt Sale in Next Month, Officials Say
S U R I N A M E
* SURINAME: Partnership With IDB Expanded in 2013
X X X X X X X X X
BOND PRICING: For the Week From Jan. 20 to Jan. 24, 2014
- - - - -
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A R G E N T I N A
=================
ARGENTINA: Raises Rates for Central Bank Notes After Devaluation
----------------------------------------------------------------
Katia Porzecanski and Daniel Cancel at Bloomberg News report that
Argentina's central bank increased interest rates on notes to be
auctioned Jan. 28 after the peso plunged 15 percent last week.
The monetary authority will offer a fixed rate of 25.89 percent on
peso-denominated notes due in 98 days, a 6 percentage-point
increase from the rate offered last week, it said in an e-mailed
statement obtained by Bloomberg News. The bank is also offering
dollar-denominated notes to yield between 2.5 percent and 4
percent to financial entities holding foreign-currency deposits,
Bloomberg News notes.
Argentina began devaluing the peso on Jan. 22, allowing it to fall
the most since 2002, in a bid to stem a financial crisis and a
drain in foreign reserves amid annual inflation running at an
estimated at 28.4 percent, Bloomberg News relays. The central
bank is trying to boost deposit rates and keep funds in the
banking system, according to an official who asked not to be
identified because he isn't authorized to speak publicly on policy
plans, Bloomberg News discloses.
The badlar will tend to rise as the central bank works to reduce
negative interest rates, the official said, Bloomberg News adds.
The benchmark deposit rate closed at 21.25 percent on Jan. 23.
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B R A Z I L
===========
BANCO BBM: Moody's Assigns B1 Rating on Senior Unsecured Debt
-------------------------------------------------------------
Moody's America Latina Ltda has assigned a Ba1 senior unsecured
debt rating and Aa2.br National Scale debt rating to Banco BBM
S.A.'s (BBM) proposed senior unsecured debt under the program of
"Letras Financeiras" in the amount of BRL150.0 million, due in
2016 (public offering with limited efforts, under CVM 476
instruction). The outlook on all the ratings is stable.
Assignments:
Issuer: Banco BBM S.A. (BBM)
Senior Unsecured Regular Debt (letras financeiras)
The following ratings were assigned to Banco BBM S.A.'s BRL150.0
million senior debt:
Long-term local-currency senior unsecured debt rating of Ba1,
stable
Long-term Brazilian national scale senior unsecured debt rating
(letras financeiras) of Aa2.br, stable
RATINGS RATIONALE
The rating agency noted that Ba1 global local currency senior debt
rating derives from BBM's Ba1 global local currency deposit
rating, which incorporates the bank's standalone bank financial
strength of D+ (equivalent to ba1 baseline credit assessment).
This is the first instance of senior unsecured debt (letras
financeiras) to which Moody's has assigned a rating.
The ba1 baseline credit assessment reflects the bank's defensive
credit risk management, prioritizing asset quality (90-day past
due loans of 1.7% in 3Q13) over market share achievements. Also,
its self-imposed loan leverage target of 3.0x equity further
reflects its limited risk appetite. Moody's also notes BBM's
disciplined liquidity profile (liquid assets to funding of more
than 40%) and comfortable capitalization (22.4% total capital
ratio as of 3Q13). At the same time, Moody's considers that BBM's
frequent strategic changes over the last years reduce earnings
predictability, evidenced by the single-digit return on equity
posted in YTD 3Q13 and FY12. Also, profitability may be challenged
by the competitive pressures posed by peers and larger players.
The last rating action on BBM was on January 24 2014, when Moody's
affirmed the bank financial strength (BFSR) of D+ and the long-
term global local and foreign currency deposit ratings of Ba1, and
the long-term Brazilian national scale deposit rating of Aa2.br.
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. For further information on Moody's approach to
national scale ratings, please refer to Moody's Rating Methodology
published in October 2012 entitled "Mapping Moody's National Scale
Ratings to Global Scale Ratings".
The principal methodology used in this rating was Global Banks
published in May 2013.
Banco BBM S.A. is headquartered in Rio de Janeiro, Brazil and
reported total assets of BRL3.4 billion (USD1.5 billion) and
equity of BRL547.2 million (USD245.4 million) as of 30 September
2013.
BANCO BBM: Moody's Affirms 'D+' BFSR; Outlook Stable
----------------------------------------------------
Moody's Investors Service affirmed all ratings assigned to Banco
BBM S.A. (BBM), including the D+ financial strength (BFSR), which
maps to a ba1 baseline credit assessment in the global rating
scale; the long- and short-term global local and foreign currency
deposit ratings of Ba1 and Not Prime, respectively; and the long-
and short-term national scale deposit ratings on Brazilian
national scale of Aa2.br and BR-1, respectively. The outlook on
all ratings remains stable.
The following ratings assigned to Banco BBM S.A. were affirmed,
with stable outlook:
Bank financial strength of D+
Long- and short-term global local-currency deposit rating of Ba1
and Not Prime
Long- and short-term foreign currency deposit rating of Ba1 and
Not Prime
Long- and short-term Brazilian national scale deposit rating of
Aa2.br and BR-1
RATINGS RATIONALE
In affirming BBM's Ba1 ratings, Moody's acknowledges the bank's
defensive credit risk management, and the focus on preserving
asset quality (90-day past due loans of 1.7% in 3Q13) over gains
of market share . A self-imposed loan leverage target of 3.0x
equity further reflects BBM's contained credit risk appetite,
supported by disciplined loan origination.
As a result of management's conservative approach, BBM's loan
portfolio is reasonably diversified and predominantly backed by
collaterals. The bank's active portfolio management has led to a
substantial deleveraging in the period 2008-2010, during which the
appropriateness and execution of guarantees ensured a reversal of
loan loss provisions from fiscal year-end 2010 to 2012.
Moody's also notes BBM's disciplined liquidity management and
profile, as reflected in a positive tenor gap, and liquid assets
that represent in excess of 40% of the bank's funding. Moreover,
BBM records a comfortable capitalization, with total capital ratio
at 22.4% as of 3Q13, consisted exclusively of high-quality
tangible common equity.
At the same time, Moody's considers that BBM's frequent strategic
changes over the last years and the resulting balance sheet
deleveraging led to limited earnings generation. This is
highlighted by the single-digit return on equity posted in YTD
3Q13 and FY12, which in turn limited internal capital generation.
While its conservative risk management offers protection to
bondholders, it may constrain profitability particularly in light
of competitive pressures from peers and larger bank players.
The Ba1 global-local currency deposit rating derives from BBM's
standalone baseline credit assessment of ba1, and does not benefit
from any support uplift because of the bank's modest market share
in terms of deposits.
The last rating action on BBM was on February 14 2012, when
Moody's affirmed the bank financial strength (BFSR) of D+ and the
long-term global local and foreign currency deposit ratings of
Ba1, and the long-term Brazilian national scale deposit rating of
Aa2.br.
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. For further information
on Moody's approach to national scale credit ratings, please refer
to Moody's Credit rating Methodology published in October 2012
entitled "Mapping Moody's National Scale Credit Ratings to Global
Scale Credit Ratings.
Banco BBM S.A. is headquartered in Rio de Janeiro, Brazil and
reported total assets of BRL3.4 billion (USD1.5 billion) and
equity of BRL547.2 million (USD245.4 million) as of 30 September
2013.
INTERCEMENT BRASIL: Moody's Withdraws B1 CFR on $150MM Sr. Notes
----------------------------------------------------------------
Moody's Investors Service has withdrawn, for business reasons, the
B1 global scale Corporate Family Ratings (CFRs) assigned to
InterCement Brasil S.A. and to its USD 150 million senior
unsecured notes due 2015 and issued by Caue Finance Limited .
Ratings withdrawn are as follows:
Issuer: InterCement Brasil S.A.
- Corporate family rating: Withdrawn
Issuer: Caue Finance Limited
- USD 150 million Senior Unsecured Global Notes due 2015:
Withdrawn
RATINGS RATIONALE
Moody's has withdrawn the rating for its own business reasons.
Please refer to the Moody's Investors Service's Policy for
The principal methodology used in this rating was Global Building
Materials Industry published in July 2009.
Moody's last rating action on Intercement Brasil S.A. was on July
25, 2012, when Moody's Investors Service downgraded the corporate
family rating of Intercement Brasil S.A. ("Intercement") and its
senior unsecured debt ratings to B1 from Ba3.
InterCement Brasil S.A. ("InterCement") is a 56.8% owned
subsidiary of Caue Austria Holding GmbH and 43.2% by Cimpor
Inversiones, two holding companies controlled by InterCement
Participacoes Ltda (collectively "InterCement group"). InterCement
Participacoes is wholly owned by Camargo Correa S.A. ("CCSA";
unrated), one of Brazil's largest private non-financial
conglomerates, with net revenues of about BRL 21.4 billion
(approximately USD 10.9 billion) in 2012 originated mainly from
its engineering & construction, cement, footwear, energy and toll-
road concession business.
OSX BRASIL: Wants to Overturn Decision Taken by Dutch Court
-----------------------------------------------------------
Luciana Magalhaes at Daily Bankruptcy Review reports that in a
regulatory filing, OSX Brasil said that it will try to overturn
the embargo of shares of its Netherlands-based OSX Leasing unit.
As reported in the Troubled Company Reporter-Latin America on
Jan. 26, 2014, Daily Bankruptcy Review said that Spanish
construction company Acciona S.A. has won a court order preventing
the sale of shares of Netherlands-based OSX Leasing, said
Acciona's lawyer Leonardo Pietro Antonelli, a partner at Rio de
Janeiro-based Antonelli e Advogados Associados.
OSX Leasing is a subsidiary of shipbuilding firm OSX Brasil S.A .
OSX has been trying to sell its large oil drilling platforms to
raise cash, according to Daily Bankruptcy Review.
According to TCRLA on Dec. 20, 2013, Reuters said that OSX Brasil
SA Chief Financial Officer Claudio Antonio da Silva Zucker said
the company expected a deal to delay an interest payment on bonds
sold to finance an oil production ship, a move that will help the
ailing Brazilian shipbuilder move ahead with a restructuring plan.
A deal will allow OSX SA, controlled by tycoon Eike Batista, to
put off a Dec. 20 interest payment on US$500 million of 9.25%
bonds due in 2015.
Reuters reported on Dec. 5 that 95% of the holders of the
securities had agreed to delay the Dec. 20 payment, worth about
US$11.6 million. One of the conditions is that OSX give up
control, but not ownership, of the OSX-3 ship that secured the
bonds to a captain and crew under the control of creditors,
sources told Reuters at that time.
OSX Brasil, which operates a shipyard north of Rio de Janeiro,
filed for protection from creditors in November on liabilities of
BRL5.34 billion (US$2.30 billion). OSX Brasil, part of Mr.
Batista's troubled Grupo EBX, filed for bankruptcy after Oleo e
Gas Participacoes SA, formerly known as OGX Petroleo e Gas
Participacoes, filed for bankruptcy Oct. 30.
Reuters notes that the bankruptcy petition left OSX's ship-leasing
unit, which owns three floating, production, storage and
offloading (FPSO) ships, out of the petition as it seeks buyers
for the ships and deals with bondholders and banks that financed
them.
A deal to sell the OSX-2 FPSO, which is in storage in Malaysia,
could be complete in the first half of 2014, Mr. Zucker said,
Reuters relates. OSX is renegotiating its US$263,000 a day lease-
fee on the OSX-1 in Tubarao Azul, Mr. Zucker added.
==========================
C A Y M A N I S L A N D S
==========================
AI-DIVERSIFIED: Shareholders Receive Wind-Up Report
---------------------------------------------------
The shareholders of AI-Diversified Strategies Fund, Ltd. received
on Dec. 27, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Figaro Advisors, Ltd
Telephone: (441) 295 5588
Facsimile: (441) 295 5578
2 Reid Street, Hamilton HM 11
Bermuda
AI-RELATIVE VALUE: Shareholders Receive Wind-Up Report
------------------------------------------------------
The shareholders of AI-Relative Value Strategies Fund, Ltd.
received on Dec. 27, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Figaro Advisors, Ltd
Telephone: (441) 295 5588
Facsimile: (441) 295 5578
2 Reid Street, Hamilton HM 11
Bermuda
AI-TACTICAL TRADING: Shareholders Receive Wind-Up Report
--------------------------------------------------------
The shareholders of AI-Tactical Trading Strategies Fund, Ltd
received on Dec. 27, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Figaro Advisors, Ltd
Telephone: (441) 295 5588
Facsimile: (441) 295 5578
2 Reid Street, Hamilton HM 11
Bermuda
ARBITRAGE ASSOCIATES: Shareholder Receives Wind-Up Report
---------------------------------------------------------
The shareholder of Arbitrage Associates II, Ltd. received on
Dec. 23, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Ogier
c/o Michael Lubin
Telephone: (345) 815-1793
Facsimile: (345) 949-9877
CHASE PRIVATE: Shareholders Receive Wind-Up Report
--------------------------------------------------
The shareholders of Chase Private Equity Partners Corporate
Investor, Ltd received on Dec. 30, 2013, the liquidator's report
on the company's wind-up proceedings and property disposal.
The company's liquidator is:
Trident Liquidators (Cayman) Limited
c/o Eva Moore
Trident Trust Company (Cayman) Limited
Telephone: (345) 949 0880
Facsimile: (345) 949 0881
P.O. Box 847, George Town Grand Cayman KY1-1103
Cayman Islands
EPIC SPECIAL: Shareholders Receive Wind-Up Report
-------------------------------------------------
The shareholders of Epic Special Purpose Vehicle received on
Dec. 23, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Appleby Trust (Cayman) Ltd
Clifton House, 75 Fort Street
P.O. Box 1350 Grand Cayman KY1-1108
Cayman Islands
FIFTH SQUARE: Shareholders Receive Wind-Up Report
-------------------------------------------------
The shareholders of Fifth Square Tower A Asset Management Co Ltd
received on Dec. 24, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Gerald Yung
Harvest Capital Partners Limited
China Resources Building, 37th Floor
26 Harbour Road, Wanchai
Hong Kong
GLOBAL THAI: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of Global Thai Dot Com (Cayman) Limited received
on Jan. 9, 2014, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Krys Global VL Services Limited
c/o Christopher Smith
Governor's Square, Building 6, 2nd Floor
23 Lime Tree Bay Avenue
P.O. Box 21237 Grand Cayman KY1-1205
Cayman Islands
Telephone: +1 (345) 947 4700
Facsimile: +1 (345) 946 6728
IONIC CONVERTIBLE: Shareholders Receive Wind-Up Report
------------------------------------------------------
The shareholders of Ionic Convertible Intermediate Fund Ltd.
received on Dec. 24, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
David Stephen Sargison
c/o Peter Kendall
Walkers
190 Elgin Avenue, George Town
Grand Cayman KY1-9001
Cayman Islands
Telephone: +1 (345) 814 4572
IONIC CONVERTIBLE FUND: Shareholders Receive Wind-Up Report
-----------------------------------------------------------
The shareholders of Ionic Convertible Fund Ltd. received on
Dec. 24, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
David Stephen Sargison
c/o Peter Kendall
Walkers
190 Elgin Avenue, George Town
Grand Cayman KY1-9001
Cayman Islands
Telephone: +1 (345) 814 4572
IONIC CONVERTIBLE MASTER: Shareholders Receive Wind-Up Report
-------------------------------------------------------------
The shareholders of Ionic Convertible Master Fund Ltd. received on
Dec. 24, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
David Stephen Sargison
c/o Peter Kendall
Walkers
190 Elgin Avenue, George Town
Grand Cayman KY1-9001
Cayman Islands
Telephone: +1 (345) 814 4572
JAPAN INVESTMENT: Shareholders Receive Wind-Up Report
-----------------------------------------------------
The shareholders of Japan Investment Partnership Inc. received on
Jan. 9, 2014, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Krys Global VL Services Limited
c/o Christopher Smith
Governor's Square, Building 6, 2nd Floor
23 Lime Tree Bay Avenue
P.O. Box 21237 Grand Cayman KY1-1205
Cayman Islands
Telephone: +1 (345) 947 4700
Facsimile: +1 (345) 946 6728
JAPAN INVESTMENT HOLDINGS: Shareholders Receive Wind-Up Report
--------------------------------------------------------------
The shareholders of Japan Investment Partnership Holdings Inc.
received on Jan. 9, 2014, the liquidator's report on the company's
wind-up proceedings and property disposal.
The company's liquidator is:
Krys Global VL Services Limited
c/o Christopher Smith
Governor's Square, Building 6, 2nd Floor
23 Lime Tree Bay Avenue
P.O. Box 21237 Grand Cayman KY1-1205
Cayman Islands
Telephone: +1 (345) 947 4700
Facsimile: +1 (345) 946 6728
MARWOOD ALTERNATIVE: Members Receive Wind-Up Report
---------------------------------------------------
The members of Marwood Alternative Asset Management LLC received
on Dec. 23, 2013, 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
OLD MILL: Shareholders Receive Wind-Up Report
---------------------------------------------
The shareholders of Old Mill Road Fund, Ltd. received on Dec. 24,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
RHP MASTER: Shareholder Receives Wind-Up Report
-----------------------------------------------
The shareholder of RHP Master Fund, Ltd. received on Dec. 30,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Ogier
Desiree Jacob
Associate
c/o Jonathan Roney
Telephone: (345) 815-1404
Facsimile: (345) 949-9877
RIDLEY PARK: Shareholder Receives Wind-Up Report
------------------------------------------------
The shareholder of Ridley Park Paragon GP Limited received on
Dec. 23, 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
ROCK HILL: Shareholder Receives Wind-Up Report
----------------------------------------------
The shareholder of Rock Hill International Partners, Ltd. received
on Dec. 30, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Ogier
Desiree Jacob
Associate
c/o Jonathan Roney
Telephone: (345) 815-1404
Facsimile: (345) 949-9877
TIG PROCELLA: Shareholder Receives Wind-Up Report
-------------------------------------------------
The shareholder of Tig Procella Fund Ltd received on Dec. 23,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Ogier
c/o Michael Lubin
Telephone: (345) 815-1793
Facsimile: (345) 949-9877
VICTORY PARK: Shareholders Receive Wind-Up Report
-------------------------------------------------
The shareholders of Victory Park Credit Opportunities Master Fund,
Ltd. received on Dec. 27, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
Victory Park Capital Advisors, LLC
c/o Scott Zemnick
227 W. Monroe
Suite 3900
Chicago IL 60606
USA
Telephone: (312) 705-2786
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C H I L E
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GEOPARK LATIN AMERICA: Fitch Affirms IDRs at 'B'; Outlook Stable
----------------------------------------------------------------
Fitch Ratings has affirmed the local and foreign currency Issuer
Default Ratings (IDR) of GeoPark Latin America Limited Agencia en
Chile (GeoPark) at 'B'. The Rating Outlook is Stable. In
addition, Fitch has affirmed GeoPark's senior unsecured debt 'B'
rating.
GeoPark's ratings reflect the company's small, but growing scale
of production and relatively small reserve profile as well as its
production concentration. Free cash flow (FCF) is expected to
remain negative during the next couple of years due to the
company's aggressive growth strategy, which could limit financial
flexibility. Positively, GeoPark's ratings also reflect the
company's improving financial and operating performance and its
adequate leverage. The company's production and reserves
diversification efforts via its Colombian and Brazilian market
entries also augur well for its credit quality prospects.
Key Rating Drivers
Small And Concentrated Production Profile: GeoPark's ratings
reflect the company's production concentration and relatively
small reserve base. Although the company has exploration and
production interest in 19 blocks in Chile, Colombia, and
Argentina, 96% of the current net production is concentrated in
four of them. This limited diversification exposes the company to
operational macroeconomic risks associated with small-scale oil
and gas production.
Ongoing Diversification Efforts Are Positive Steps; Company
Retains Solid Access To Capital Markets: Increasing geographic
diversification is positive for the company's credit quality,
which is why its foray into Brazil via the acquisition of Rio das
Contas and winning nine concession licenses represent positive
steps for GeoPark. Following GeoPark's US$160 - US$200 million
IPO, the company will have enough cash on hand for further
acquisitions in 2014-2015, with Peru representing an attractive
target market (though GeoPark may also consider other targets in
Brazil, Argentina, Colombia and Chile). However, execution risk
will remain prevalent for the company given its rapid expansion
plans.
Strategic Alliances Another Key For Responsible Growth: Since
2010, GeoPark and LG International Corporation (LGI, subsidiary of
the Korean LG Group) agreed on a strategic alliance to build a
portfolio of upstream oil and gas assets throughout Latin America
through 2015. This partnership has targeted new project
acquisitions in Brazil, Colombia, Peru and Chile. Fitch believes
that this partnership is positive for GeoPark as it could provide
additional cash resources to help fund the company's growth
strategy and provide technical support and expertise.
In 2011, LGI acquired a 20% equity interest in GeoPark's Chilean
business for US$148 million. LGI also committed US$31.6 million
of new capital injections in Tierra del Fuego licenses over the
next three years. In December 2012, LGI acquired a 20% equity
interest in GeoPark's Colombian business for a consideration of
US$20.1 million. Notably, in 2013, GeoPark announced the
formation of another significant strategic alliance, this time
with Tecpetrol S.A. This alliance will seek to jointly identify,
study, and potentially acquire upstream oil and gas opportunities
in Brazil.
Negative Fcf Due To Large Capex: The company has reported negative
annual FCF over the past six years, mainly as a result of its
aggressive growth strategy. For the LTM ended Sept. 30, 2013, FCF
was US -$81 million (above US-$66 million in 2012), mainly as a
result of significant capital expenditures of US$238 million as
GeoPark integrated its 2012 Colombia acquisitions (for which it
paid US$105 million). GeoPark's significant investment plans over
the next five years will involve developing and increasing
production at existing operations as well as new acquisitions in
the region, such as the US$140 million Rio das Contas acquisition
which is expected to close in 1Q'14. This could continue
pressuring FCF in the near term and reduce the company's financial
flexibility. Fitch is forecasting negative FCF at GeoPark during
the 2014 - 2015 period.
Improving Financial Metrics: GeoPark's credit metrics have been
improving over the past few years as a result of the company's
growth strategy. As of the LTM ended Sept. 30, 2013, leverage
ratio, as measured by total debt/EBITDA, reached 2.0x, down from
2.1x in 2012 and 2.6x in 2011. Fitch is forecasting for total
debt/EBITDA in the 2x level for the next three years, as
production increases more than offset continued aggressive capex
spending. At this level, the company would remain below its debt
covenants, which include: consolidated debt to consolidated EBITDA
ratio not higher than 2.75x for the first two years, and 2.5x for
the remaining life of the company's senior notes, and consolidated
EBITDA to consolidated interest expenses over 3.5x.
Rating Sensitivity
Drivers for a negative rating action are either failure to reach
and maintain leverage at 2.5x-2.75x or below, or an overly
aggressive growth strategy that could pressure credit metrics. In
addition, a significant increase in leverage, driven by an
increase in debt for exploration combined with a low success rate
of discoveries could lead to a negative rating action.
Drivers for a positive rating action or outlook include increased
diversification of the company's production profile, and
consistent growth in both production and reserves while
maintaining adequate financial metrics. A substantial reduction
in the debt/proved-reserves ratio would also be viewed favorably.
INVERSIONES ALSACIA: Moody's Extends Caa2 Rating Review
-------------------------------------------------------
Moody's Investors Service extends the review for downgrade of the
Caa2 rating of Inversiones Alsacia due to the prevailing
uncertainty regarding Alsacia's ability to pay its next debt
service payment due February.
Ratings Rationale
The extension of the review for a downgrade of Inversiones Alsacia
rating of Caa2 reflects the uncertainty with respect to
Inversiones Alsacia's ability to pay its next debt service payment
due February of roughly US$55 million, along with the associated
exchange rate hedge payment.
Last October, Alsacia successfully obtained a waiver from
bondholders of the applicability of early amortization and default
events related to covenants requiring maintenance of minimum DSCR
and balances in O&M and Overhaul Accounts. Notwithstanding the
waiver, the likelihood of default continues to be high in the near
to medium term, as evidenced by: a) weak financial performance and
extremely tight expected cash flows available for debt service
payments going forward, b) underfunded debt service reserve
account which could be depleted on the next coupon payment,
increasingly exposing the transaction to a default, and c)
increasing dependence on government compensation for concession
amendments and for lower passenger demand to meet debt service
payments. The rating also incorporates the fact that the offer of
the sponsor (Grupo GPS, unrated) to contribute funds to the
project either via an equity contribution or subordinated debt to
partially fund the upcoming debt service payment is very limited
in amount.
The review will focus on whether Alsacia's cash flows available
are sufficient to meet its forthcoming debt service payment,
including projected receipt of compensations from the Government
of Chile (Aa3/Stable)- through the Ministry of Transportation and
Telecommunications (MTT), and the amount and timeliness of the
sponsor's support.
Moody's does not expect upward pressure on the ratings in the near
to medium term. The review could, however, conclude with the
confirmation of the rating if projected cash flows are in line
with expectations that support the rating.
If there is a material delay on the government compensations, or
if poor financial performance continues to increase the likelihood
of a default, the review could conclude with a further downgrade
if Moody's assesses that the loss given default is not captured by
the assigned rating.
=================
G U A T E M A L A
=================
COMCEL TRUST: Moody's Assigns 'Ba1' CFR, Sr. Global Notes Rating
----------------------------------------------------------------
Moody's Investors Service (Moody's) assigned a Ba1 corporate
family rating to Comcel Trust (Comcel) and a Ba1 rating to its
proposed senior guaranteed unsecured global notes for about USD
500 million. The ratings outlook is stable. Proceeds from the
notes will be used to repay debt and for payouts to shareholders.
The ratings assume that final terms and conditions on the notes
will not materially change from those reviewed by Moody's.
This is the first time Moody's has rated Comcel.
Ratings Rationale
Comcel's Ba1 rating reflects the company's leading position in the
Guatemalan market, strong EBITDA margin at 54% in the last twelve
months ended September 2013, and moderate Moody's-adjusted
leverage, pro forma for the proposed notes. Factors constraining
the ratings include the company's small revenue size, limited
growth potential and high payouts to shareholders that result in
low to negative free cash flow.
Comcel is the incumbent mobile service provider in Guatemala (Ba1
stable, USD 54 billion GDP and USD 5,153 GDP per capita in 2012),
with a company's-estimated mobile market share of over 53% in a
market with mobile penetration at 125%. The company's business
lines include mobile services (voice, SMS, data and other value-
added services, 88% of revenues); enterprise (corporate and
productivity solutions, 10%); residential (cable TV, fixed-line
broadband and fixed-line telephone services, 2%); and financial
services (MFS, developing). Prepaid customers represent 95% of
total mobile subscribers and postpaid 5%.
Comcel's operating results have suffered from competition from
America Movil and Telefonica and its Moody's-adjusted EBITDA
margin declined to 54% in the last twelve months ended in
September 2013 from 57% in 2011. While bundling of mobile,
broadband and video services (a global industry trend) helps
increase customers loyalty and reduce churn, blended EBITDA is
affected by lower-margin video services and higher operating
expenses in the short to medium term. In addition, Comcel has had
to increase handset subsidies in order to boast smartphone
adoption and data usage penetration. Given market conditions of
high mobile penetration rate and the populations' low disposable
income for extensive data usage, Moody's expects margins to
continue to decline during the next three to four years but to
remain in a solid 50%-45% range in this period, which favorably
compares to the global industry average of 30-35%.
Comcel's funds from operations have been strong and equivalent to
over two times capex, which is positive to the company's market
position sustainability. However, free cash flow is and will
continue to be negative given high dividend payouts resulting from
shareholder's financial policies. But, assuming no additional debt
increase to pay dividends, Moody's expects that the company's
leverage will be well below 2 times during the next 3 to 4 years.
In addition, solid operating margins and low debt leverage will
support strong interest coverage before dividend payments.
Comcel has solid operating capabilities for the market where it
operates. Its 2G network is deployed in all urban areas in
Guatemala, which represents 87.4% of the country's population. In
turn, its 3G network covers 60.2% of the country's population. The
company also has sizable distribution network in Guatemala. In
addition, through international distributors, Comcel's customers
can receive airtime credits sent by their family and friends from
the United States and Canada, where a large number of expatriate
Guatemalans live. In 2013, the company estimates that over USD 257
million in sales were generated in hard currencies.
Comcel's liquidity is good. Moody's foresees that, during the next
5 quarters ending in December 31, 2014, the company will be able
to use cash on hand of about USD 41 million as of September 2013
and high amounts of projected EBITDA to fund capex and also
fulfill cash obligations such as interest payments, working
capital needs and taxes. Proceeds from the proposed notes will be
used to repay all outstanding debt and pay extraordinary
dividends. Pro forma for the proposed notes, debt maturity profile
is comfortable. Comcel does not have committed revolving credit
facilities.
As usual for Millicom's subsidiaries, Comcel pays out most of its
generated cash in dividends, after investing in capex. In its
assessment of Comcel's liquidity, Moody's assumed that
shareholders will keep dividend congruent with the company's capex
needs in order to sustain its long term business performance at
current standards of market leadership, revenue size, operating
profile and financial strength.
The stable rating outlook reflects Moody's expectation that given
its strong operating abilities, Comcel will be able to sustain its
leading mobile market position and benefit from bundling of
growing broadband and video services thus posting revenue
expansion above GDP growth rates and solid credit metrics despite
the competitive telecom market conditions.
A rating upgrade could result from a meaningful increase in the
company's revenue size or a significant change in its financial
policies where dividend payouts are reduced and free cash flow
increases considerably to about 8% of debt.
A rating downgrade would be considered if expected revenue growth
is not achieved or if operating margins decline further than
anticipated as a consequence competitors' irrational business
behavior. A negative rating action could also be triggered by a
debt leverage that surpasses 2.5 times for a prolonged period of
time without a clear path to subsequent de-leveraging. Dividend
payouts consistently above cash generated after capex would also
place negative pressure on ratings.
The principal methodology used in this rating was the Global
Telecommunications Industry published in December 2010. Please see
the Credit Policy page on www.moodys.com for a copy of this
methodology.
Comcel is the leading provider of mobile communications services
in Guatemala, providing communications, data, entertainment and
other telecom services under the Tigo brand across 2G and 3G
networks in the country. With 8.3 million mobile subscribers, the
company estimates its market share at approximately 53.7% as of
September 30, 2013. Comcel is 55% owned by Millicom International
Celular, S.A. ("Millicom", Ba1 negative) and 45% owned by Miffin
Associates Corporation (''Miffin'', unrated). In the last twelve
months ended in September 30, 2013, Comcel's revenue and EBITDA
margin were at USD 1.14 billion and 54%, respectively.
=============
J A M A I C A
=============
NATIONAL COMMERCIAL BANK: Trinidad Acquisition Cost Over JM$300MM
-----------------------------------------------------------------
RJR News reports that Jamaica's National Commercial Bank has
indicated that the cost of its recent acquisition of AIC Trinidad
was more than JM$300 million.
This information was provided in the bank's financial report,
released to the Jamaica Stock Exchange, according to RJR News.
The report relates that the data showed JM$307 million was spent
to acquire a subsidiary and provide capital injection in the
October to December quarter. AIC Trinidad was the only subsidiary
acquired by NCB in the period.
In the meantime, RJR News notes that NCB said its earnings from
foreign currency trading and investment activities fell in the
October to December quarter. The report relates that the bank's
financial results show it suffered a JM$739 million reduction in
operating income.
RJR News notes that NCB said the reduced earnings was due to it
lessening activity in the foreign exchange and fixed income
investment securities markets.
As reported in the Troubled Company Reporter - Latin America on
Jan. 8, 2014, go-jamaica.com reports that National Commercial Bank
(NCB) Jamaica has decided to exit the remittance business to
mitigate against the risk of money laundering, financing of
terrorism and lottery scam activities. As a result, the Bank said
that by mutual agreement, effective January 22 it will be
cancelling its existing agent relationship with MoneyGram Services
for NCB Remittance Services (UK) Limited, and March 31 for NCB
Remittances Services (Jamaica) Limited, according to go-
jamaica.com. The report related that NCB said the decision was
made because its continued provision of remittance services has
negatively impacted the global risks facing the group.
* * *
As reported in the Troubled Company Reporter-Latin America on
Oct. 1, 2013, Standard & Poor's Ratings Services raised its issuer
credit ratings on National Commercial Bank Jamaica Ltd. (NCBJ) to
'B-/B' from 'CCC+/C'. The upgrade follows Jamaica's entrance into
an IMF (International Monetary Fund) program, which along with
additional external funding from other multilateral lenders,
improved the country's external liquidity and bolstered investor
confidence. S&P removed the ratings on the bank from the
CreditWatch negative and assigned a stable outlook. NCBJ's 'b'
stand-alone credit profile (SACP) remains unchanged.
====================
P U E R T O R I C O
====================
SUNSET BLUE: Case Summary & Unsecured Creditor
----------------------------------------------
Debtor: Sunset Blue Development SE LLP
PO Box 8140
San Juan, PR 00910
Case No.: 14-00347
Chapter 11 Petition Date: January 22, 2014
Court: United States Bankruptcy Court
District of Puerto Rico (Old San Juan)
Debtor's Counsel: Jacqueline Hernandez Santiago, Esq.
JACQUELINE HERNANDEZ SANTIAGO
PO Box 366431
San Juan, PR 00936-6431
Tel: 787 751-1836
Email: quiebras1@gmail.com
Total Assets: $400,000
Total Liabilities: $2 million
The petition was signed by Francisco Javier Mendez, administrator.
The Debtor listed Scotia Bank, PO Box 36220, San Juan, PR 00936,
as its largest unsecured creditor holding a claim of $2 million.
PUERTO RICO: Plans Debt Sale in Next Month, Officials Say
---------------------------------------------------------
Michelle Kaske at Bloomberg News reports that Puerto Rico, rated
one step above junk, is set to issue debt in the next month, the
first borrowing from the U.S. territory since August, officials
said.
The island has sufficient cash through June, David Chafey,
chairman of the Government Development Bank, said in an interview
on CNBC, according to Bloomberg News. The commonwealth may issue
bonds in February, Mr. Chafey said, Bloomberg News notes.
Bloomberg News relates that while Puerto Rico debt has rallied
this month, the securities are trading at speculative-grade
yields. Mr. Chafey, Bloomberg News notes, declined to say the
yield level at which Puerto Rico can afford to borrow. The
interest rates on commonwealth debt may attract buyers, Mr. Chafey
said, Bloomberg News discloses.
Bloomberg News recalls that Moody's Investors Service on Dec. 11
threatened to cut Puerto Rico to speculative grade within 90 days
if it's unable to access capital markets. Bloomberg News relates
that the commonwealth and its agencies have US$70 billion of debt.
About 70 percent of U.S. municipal mutual funds own the
securities, which are tax-exempt nationwide, according to
Morningstar Inc., Bloomberg News relays.
Meanwhile, Bloomberg News discloses that Standard & Poor's lowered
the credit outlook to negative for the commonwealth and the
Government Development Bank.
===============
S U R I N A M E
===============
* SURINAME: Partnership With IDB Expanded in 2013
-------------------------------------------------
The government and people of Suriname continued to build on their
relations with the International Developmental Bank in 2013 to
expand opportunities for all and catalyze lasting reforms in key
sectors-main objectives of the Development Plan. With a lending
total of US$175 million (US$125 from Ordinary Capital and US$50
million from China co-financing funds), the partnership
consolidated structural reforms in the energy and financial
sectors while beginning activities on modernizing the revenue
management system and the agriculture sector. An investment loan
for US$30 million will finance capital works in energy.
Specifically, these interventions contribute in part to:
-- strengthening supervision of the financial sector and
promoting inter-bank and securities market development
improving the delivery of agricultural services to benefit
more than 10,000 farmers;
-- enhancing the quality and reliability of the local
electricity service in addition to expanding access to 24-
hour electricity supply to some locations in the Hinterland
while promoting renewable energy solutions; and
-- developing a clear and concise tax framework to cut
compliance costs for the tax payer and improve taxpayer
services, among others.
Suriname received US$5.4 million in grants and technical
assistance in energy, social protection, and transport. IDB
facilitated the implementation of Early Childhood Development
policies under the guidance of, Her Excellency First Lady Ingrid
Bouterse as chairperson of the Early Childhood Development
Steering Committee.
On the private sector front, IDB followed the lead of Vice
President Ameerali and the recently established Competitiveness
Unit Suriname to deepen dialogue with stakeholders through the
Caribbean Growth Forum initiative and the National Competitiveness
Forum, financed by Compete Caribbean. The Competitiveness Forum
was an opportunity to build an organic, local partnership among
members from realms to move quickly toward private sector-led
growth in Suriname. To this end, the Multilateral Investment Fund
approved a US$1.0 million grant to deliver job skills training for
the expanding youth population.
Knowledge generation and dissemination continued to be prominent
features of the partnership in 2013. The IDB facilitated the
project management training of more than 100 public officials,
executing agencies' staff, and prospective project members for
results, procurement, and financial management. The Bank's
analytical efforts concentrated on understanding the role of
productivity, strategies for enhancing the business climate,
effects of commodity price shocks, and the informal sector. While
the Bank supported the National Census activity and the household
budget survey, it collaborated with authorities to gather data
regarding enterprises, labor, innovation, productivity, the social
sector, and more.
The 2013 interventions were delivered within the context of the
2011-2015 Country Strategy with Suriname, approved by the Board of
the IDB in November 2011.
=================
X X X X X X X X X
=================
BOND PRICING: For the Week From Jan. 20 to Jan. 24, 2014
--------------------------------------------------------
Issuer Coupon Maturity Currency Price
------ ------ -------- -------- -----
Aguas Andinas SA 4.15 12/1/2026 CLP 72.61
Aguas Andinas SA 4.15 12/1/2026 CLP 69.55
Almendral
Telecomunicaciones SA 3.5 12/15/2014 CLP 22.19
Argentina Bocon 2 1/3/2016 ARS 9.05
Argentina Bocon 2 3/15/2014 ARS 13.8
Argentina Boden Bonds 2 9/30/2014 ARS 55.13
Argentine International Bond 7.82 12/31/2033 EUR 67.75
Argentine International Bond 7.82 12/31/2033 EUR 66.7
Argentine International Bond 8.28 12/31/2033 USD 67.5
Argentine International Bond 1.18 12/31/2038 ARS 42.26
Argentine International Bond 8.28 12/31/2033 USD 70.5
Argentine International Bond 7.82 12/31/2033 EUR 67.63
Argentine International Bond 8.28 12/31/2033 USD 71.5
Argentine International Bond 4.33 12/31/2033 JPY 39.5
Argentine International Bond 4.33 12/31/2033 JPY 39.5
Argentine International Bond 0.45 12/31/2038 JPY 15.5
Argentine International Bond 8.28 12/31/2033 USD 69
Automotores Gildemeister SA 6.75 1/15/2023 USD 72.14
BA-CA Finance Cayman 2 Ltd 1.838 EUR 68.5
BCP Finance Co Ltd 5.543 EUR 50.75
BCP Finance Co Ltd 4.239 EUR 50.42
BES Finance Ltd 4.5 EUR 71.17
Banco BPI SA/Cayman Islands 4.15 11/14/2035 EUR 57.38
Banco BVA SA 9.125 2/7/2014 USD 10.01
Banif Finance Ltd 1.663 EUR 44
Bank Austria Creditanstalt
Finance Cayman Ltd 2.156 EUR 68.25
Bolivarian Republic
of Venezuela 9.25 9/15/2027 USD 73.68
Bolivarian Republic of
Venezuela 7 3/31/2038 USD 60.12
CA La Electricidad
de Caracas 8.5 4/10/2018 USD 74.7
Caixa Geral De
Depositos Finance 1.064 EUR 41.14
Caixa Geral De
Depositos Finance 1.094 EUR 39
China Forestry
Holdings Co Ltd 10.25 11/17/2015 USD 38.6
China Forestry
Holdings Co Ltd 10.25 11/17/2015 USD 36.5
China Precious Metal
Resources Holdings Co Ltd 7.25 2/4/2018 HKD 69.78
Cia Cervecerias Unidas SA 4 12/1/2024 CLP 55.51
Cia Sud Americana
de Vapores SA 6.4 10/1/2022 CLP 65.75
Transener S.A 9.75 8/15/2021 USD 68
Transener S.A 9.75 8/15/2021 USD 67.13
City of Buenos
Aires Argentina 3.95 5/17/2019 USD 73
ERB Hellas Cayman
ERB Hellas Cayman Islands Ltd 9 3/8/2019 EUR 56
ESFG International Ltd 5.753 EUR 59
Empresa Distribuidora
Y Comercializadora Norte 9.75 10/25/2022 USD 66.5
Empresa Distribuidora
Y Comercializadora Norte 10.5 10/9/2017 USD 64.5
Empresa Distribuidora
Y Comercializadora Norte 9.75 10/25/2022 USD 63.63
Formosa Province of Argentina 5 2/27/2022 USD 71.25
Gol Finance 8.75 USD 67.5
Gol Finance 8.75 USD 67.38
Hidili Industry International
Development Ltd 8.6 11/4/2015 USD 75.63
Inversiones Alsacia SA 8 8/18/2018 USD 72.53
Inversora de Electrica
de Buenos Aires SA 6.5 9/26/2017 USD 43.75
MTR Corp Cayman Islands Ltd 3.25 3/12/2043 HKD 73.01
MTR Corp Cayman Islands Ltd 3.25 1/28/2043 HKD 72.13
Petroleos de Venezuela SA 6 11/15/2026 USD 55.75
Petroleos de Venezuela SA 5.37 4/12/2027 USD 53.25
Petroleos de Venezuela SA 5.25 4/12/2017 USD 72
Petroleos de Venezuela SA 9.75 5/17/2035 USD 70
Petroleos de Venezuela SA 9 11/17/2021 USD 73
Petroleos de Venezuela SA 5.5 4/12/2037 USD 50
Petroleos de Venezuela SA 6 11/15/2026 USD 55.16
Petroleos de Venezuela SA 9 11/17/2021 USD 71.46
Petroleos de Venezuela SA 9.75 5/17/2035 USD 68.66
Provincia del Chaco 4 11/4/2023 USD 62.38
Provincia del Chaco 4 12/4/2026 USD 33
Renhe Commercial Holdings
Co Ltd 13 3/10/2016 USD 69.13
Renhe Commercial
Holdings Co Ltd 11.75 5/18/2015 USD 72.38
Renhe Commercial
Holdings Co Ltd 13 3/10/2016 USD 69.88
Renhe Commercial
Holdings Co Ltd 11.75 5/18/2015 USD 72.38
SMU SA 7.75 2/8/2020 USD 73.03
SMU SA 7.75 2/8/2020 USD 72.63
Sifco SA 11.5 6/6/2016 USD 33.5
Talca Chillan Sociedad
Concesionaria SA 2.75 12/15/2019 CLP 55.64
Venezuela International Bond 7.75 10/13/2019 USD 71.75
Venezuela International Bond 9 5/7/2023 USD 70
Venezuela International Bond 9.375 1/13/2034 USD 69.75
Venezuela International Bond 7 12/1/2018 USD 73.75
Venezuela International Bond 9.25 5/7/2028 USD 69
Venezuela International Bond 8.25 10/13/2024 USD 66
Venezuela International Bond 7.65 4/21/2025 USD 64.25
Venezuela International Bond 6 12/9/2020 USD 64.25
Venezuela International Bond 9.25 9/15/2027 USD 72.25
Venezuela International Bond 7 3/31/2038 USD 60.5
Virgolino de Oliveira
Finance Ltd 10.5 1/28/2018 USD 67
Virgolino de Oliveira
Finance Ltd 11.75 2/9/2022 USD 66.45
Virgolino de Oliveira
Finance Ltd 10.5 1/28/2018 USD 65
Virgolino de Oliveira
Finance Ltd 11.75 2/9/2022 USD 65.13
***********
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.
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, and Peter A.
Chapman, Editors.
Copyright 2014. 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 * * *