TCRLA_Public/140717.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, July 17, 2014, Vol. 15, No. 140


                            Headlines



B R A Z I L

BANCO BTG: S&Ps Puts 'BB+/B' Rating on CreditWatch Developing
BES INVESTIMENTO: S&P Cuts ICR to 'B+' & Puts on CreditWatch Neg.
USJ ACUCAR: S&P Revises Outlook to Negative & Affirms 'BB-' CCR


C A Y M A N  I S L A N D S

BOWAY LTD: Shareholder to Receive Wind-Up Report on July 23
DYNAMIC ALPHA: Shareholders' Final Meeting Set for July 24
DYNAMIC ALPHA MASTER: Shareholders' Final Meeting Set for July 24
DYNAMIC GROWTH: Shareholders' Final Meeting Set for July 24
DYNAMIC GROWTH MASTER: Shareholders' Final Meeting Set for July 24

EURO-ASIAN INVESTMENTS: Members' Final Meeting Set for July 22
GRYPHON HIDDEN: Shareholders' Final Meeting Set for Aug. 4
OPTIMA CREDIT: Shareholders' Final Meeting Set for July 22
TRIANGULAR ISM: Shareholders' Final Meeting Set for July 24
TRUESDALE LTD: Shareholder to Receive Wind-Up Report on July 23


D O M I N I C A N   R E P U B L I C

* DOMINICAN REPUBLIC: US$30 Billion Debt Stalks Economy


P U E R T O   R I C O

PUERTO RICO UTILITY: May Default on January Interest Payment


S T.  L U C I A

* ST LUCIA: Under 'Water Emergency' as Drought Situation Worsens


T R I N I D A D  &  T O B A G O

PETROLEUM COMPANY: Workers Want Audit


                            - - - - -


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

BANCO BTG: S&Ps Puts 'BB+/B' Rating on CreditWatch Developing
-------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'BB+/B' global scale
and 'brAA/BrA-1' national scale ratings on Banco BTG Pactual (BTG)
on CreditWatch with developing implications.

The rating action follows the announcement that BTG has signed a
binding agreement to acquire all of the shares of BSI S.A., a
Swiss private bank that Assicurazioni Generali indirectly owns.
This purchase reflects the bank's desire to expand its global
platform by offering asset management products in Europe.

After the merger, BTG will have approximately 65% of its exposures
in Brazil and the remainder in Switzerland, which S&P considers as
lower risk than Brazil.  As a result, S&P could revise upward its
anchor on BTG, the starting point of its rating, when S&P
incorporates its view of the banking industry risk of Switzerland
into its assessment of the bank.  Moreover, BTG's risk-adjusted
capital ratio could also benefit from the lower risk weights that
S&P applies to Switzerland exposures, compared with those in
Brazil.  On the other hand, if BTG funds this transaction without
a capitalization that supports S&P's risk adjusted capital (RAC)
ratio above 5%, it could have negative implications on its capital
position.

Although BTG plans to integrate BSI into its operations, it will
maintain its brand.  S&P understands that BTG will acquire BSI
without any contingencies related to the tax lawsuits that Swiss
banks are currently facing from the U.S. Department of Justice, as
its parent, Generali, will cover the losses related to this issue.

CreditWatch

The CreditWatch developing listing reflects the acquisition's
potential ratings impact following S&P's assessment of BTG's
anchor, capital, and business positions.  S&P could raise the
rating on BTG if it revises the bank's anchor upward if the
Switzerland exposures are above 35% of the consolidated bank and
the investment banking activities represent less relevance, and if
the RAC ratio of the consolidated bank is above 7%.  S&P could
downgrade the bank if BTG funds the acquisition without a
capitalization that doesn't support its RAC ratio above 5% and S&P
don't revise the anchor.  S&P intends to resolve the CreditWatch
listing after the completion of regulatory approvals in Brazil and
Switzerland and S&P's assessment of the acquisition's impact on
the bank's anchor, capital and business profile.


BES INVESTIMENTO: S&P Cuts ICR to 'B+' & Puts on CreditWatch Neg.
-----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its long-term global
scale issuer credit and debt ratings on BES Investimento do Brasil
(BESI Brasil) to 'B+' from 'BB-'.  Also, S&P lowered its national
scale issuer credit ratings to 'brBBB-/brA-3' from 'brA/brA-2'.
At the same time, S&P placed these ratings on CreditWatch
negative.  S&P affirmed the 'B' short-term global-scale issuer
credit rating on the bank.

The rating action follows S&P's July 11, 2014, similar actions on
BESI Brasil's parents, Banco Espirito Santo S.A. (BES) and Banco
Espirito Santo de Investimento S.A. (BESI).  "The downgrade and
CreditWatch placement of BES reflected a further downgrade
potential if we believed that there are further negative
implications for its business or financial profiles resulting from
the changes in its management and corporate governance or from the
still uncertain prospects for the Grupo Espirito Santo (--the
holding and operating group that includes Espirito Santo Financial
Group, S.A., which has a 25% direct stake in BES" said Standard &
Poor's credit analyst Sebastian Liutvinas.

The CreditWatch negative placement reflects that on BESI Brasil's
parent, as a downgrade on the parent would prompt a downgrade on
BESI Brasil.  S&P will evaluate the implications of the parents'
weakened credit quality on BESI Brasil's liquidity,
capitalization, and business position.  S&P expects to resolve the
CreditWatch listing once it has resolved the CreditWatch on BESI
Brasil's parents.


USJ ACUCAR: S&P Revises Outlook to Negative & Affirms 'BB-' CCR
---------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on USJ
Acucar e Alcool S.A. to negative from stable.  At the same time,
S&P affirmed its 'BB-' global scale corporate credit and debt
ratings and 'brA' national scale corporate credit rating on the
company.

The negative outlook reflects a possible downgrade if unfavorable
industry conditions prevent USJ from improving its profitability
and cash flow generation.  This could result in leverage metrics
higher than what S&P expects for an "aggressive" financial risk
profile, such as debt to EBITDA of more than 5x and funds from
operations (FFO) to debt of less than 12%.  The still low sugar
prices, inflation pressures, weak profitability on ethanol, and
drought's impact on USJ's crushing volumes and productivity
measures should jeopardize the company's debt reduction in the
short term.  In the 2013-2014 harvest ended March 2014, USJ's cash
flows weakened due to sugar prices of 17 cents per pound and to
the longer crop period following excess rains in June and July
2013.  These factors increased costs and required USJ to buy
sugarcane bagasse from third parties to continue crushing, which
lowered its EBITDA margin to 37.1% in fiscal 2014 from 40.3% in
fiscal 2013.


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


BOWAY LTD: Shareholder to Receive Wind-Up Report on July 23
-----------------------------------------------------------
The shareholder of Boway Ltd. will receive on July 23, 2014, at
11:20 a.m., the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Ogier
          c/o Justin Savage
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands
          Telephone: (345) 815 1816
          Facsimile: (345) 949 9877


DYNAMIC ALPHA: Shareholders' Final Meeting Set for July 24
----------------------------------------------------------
The shareholders of Dynamic Alpha Performance Offshore, Ltd will
hold their final meeting on July 24, 2014, 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:

          1832 Asset Management G.P. Inc.
          c/o Simon Mielniczuk
          1832 Asset Management L.P.
          40 King Street West
          52nd Floor, Toronto
          Ontario, M5H 1H1
          Canada
          Telephone: +1 (416) 365 5142


DYNAMIC ALPHA MASTER: Shareholders' Final Meeting Set for July 24
-----------------------------------------------------------------
The shareholders of Dynamic Alpha Performance Master, Ltd. will
hold their final meeting on July 24, 2014, at 10:15 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          1832 Asset Management G.P. Inc.
          c/o Simon Mielniczuk
          1832 Asset Management L.P.
          40 King Street West
          52nd Floor, Toronto
          Ontario, M5H 1H1
          Canada
          Telephone: +1 (416) 365 5142


DYNAMIC GROWTH: Shareholders' Final Meeting Set for July 24
-----------------------------------------------------------
The shareholders of Dynamic Growth Opportunities Offshore, Ltd
will hold their final meeting on July 24, 2014, at 10:30 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          1832 Asset Management G.P. Inc.
          c/o Simon Mielniczuk
          1832 Asset Management L.P.
          40 King Street West
          52nd Floor, Toronto
          Ontario, M5H 1H1
          Canada
          Telephone: +1 (416) 365 5142
          e-mail: simon.mielniczuk@scotiabank.com


DYNAMIC GROWTH MASTER: Shareholders' Final Meeting Set for July 24
------------------------------------------------------------------
The shareholders of Dynamic Growth Opportunities Master, Ltd. will
hold their final meeting on July 24, 2014, at 10:45 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          1832 Asset Management G.P. Inc.
          c/o Simon Mielniczuk
          1832 Asset Management L.P.
          40 King Street West
          52nd Floor, Toronto
          Ontario, M5H 1H1
          Canada
          Telephone: +1 (416) 365 5142


EURO-ASIAN INVESTMENTS: Members' Final Meeting Set for July 22
--------------------------------------------------------------
The members of Euro-Asian Investments Limited will hold their
final meeting on July 22, 2014, to receive the liquidator's report
on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          M. Ayed F. Al-Sharriff
          c/o Maples and Calder, Attorneys-at-law
          P.O. Box 309, Ugland House
          Grand Cayman KY1-1104
          Cayman Islands


GRYPHON HIDDEN: Shareholders' Final Meeting Set for Aug. 4
----------------------------------------------------------
The shareholders of Gryphon Hidden Values Limited will hold their
final meeting on Aug. 4, 2014, 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:

          David A.K. Walker
          c/o Jodi Jones
          Telephone: (345) 914 8694
          Facsimile: (345) 945 4237
          P.O. Box 258 Grand Cayman KY1-1104
          Cayman Islands


OPTIMA CREDIT: Shareholders' Final Meeting Set for July 22
----------------------------------------------------------
The shareholders of The Optima Credit Special Investment Fund will
hold their final meeting on July 22, 2014, at 9:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Richard Fear
          c/o Daniel Woolston
          Telephone: (345) 814 7782
          Facsimile: (345) 945 3902
          P.O. Box 2681 Grand Cayman KY1-1111
          Cayman Islands


TRIANGULAR ISM: Shareholders' Final Meeting Set for July 24
-----------------------------------------------------------
The shareholders of Triangular ISM Fund Ltd will hold their final
meeting on July 24, 2014, at 10:15 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Alun Davies
          Walkers
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9001
          Cayman Islands
          Telephone: (345) 914 6365


TRUESDALE LTD: Shareholder to Receive Wind-Up Report on July 23
---------------------------------------------------------------
The shareholder of Truesdale Ltd. will receive on July 23, 2014,
at 11:30 a.m., the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Ogier
          c/o Justin Savage
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands
          Telephone: (345) 815 1816
          Facsimile: (345) 949 9877


===================================
D O M I N I C A N   R E P U B L I C
===================================


* DOMINICAN REPUBLIC: US$30 Billion Debt Stalks Economy
------------------------------------------------------
Dominican Today reports that runaway public debt already near
US$30 billion, unemployment and a distorted production model that
spooks investments are the Dominican economy's main pitfalls,
according to economists Miguel Ceara and Ernesto Selman.

But of the three woes the external debt is what most concerns
experts, and with reason: 91% of the interests due in 2014 are
being paid with new loans, according to Dominican Today.

"We're not only are paying capital with debt, but also the
interests," the report quoted Mr. Ceara as saying.  "That's money
which is literally bouncing because it is not used for any
productive activity, and to pay off interest instead."

"There's a doubt as to whether the money borrowed in the past was
used effectively, because in a country with so many institutional
weaknesses, it is legitimate to think that the money has been
misused," Mr. Ceara said, the report relates.

Speaking in the Corripio Media Group luncheon, Mr. Ceara added
that according to budget figures, this year's net new debt is
RD$77.0 billion, and RD$71.0 billion has to be paid in interest,
the report discloses.


=====================
P U E R T O   R I C O
=====================


PUERTO RICO UTILITY: May Default on January Interest Payment
------------------------------------------------------------
Michelle Kaske at Bloomberg News reports that the Puerto Rico
Electric Power Authority (PREPA) may miss a January interest
payment to investors, according to Municipal Market Advisors,
potentially triggering the largest restructuring ever of state and
local debt.

PREPA used $41.6 million of reserve funds to help make a $417.6
million payment to bondholders on July 1.  With the reserve now
depleted by about 10 percent, "we expect the bond trustee is
unlikely to make any more distributions to bondholders, reserving
cash for likely litigation expenses," Matt Fabian, a managing
director at Concord, Massachusetts-based MMA wrote in a report,
according to Bloomberg News.

The next payment is due Jan. 1, according to Mr. Fabian.

Unless the utility replenishes the reserve, investors in uninsured
Prepa bonds "have likely seen their last cash in awhile," wrote
Mr. Fabian, who's been analyzing the municipal-debt market for 18
years, Bloomberg News notes.

While a new law aims to restructure some Puerto Rico public-
corporation debt outside of a bankruptcy filing, Prepa's $8.6
billion alone exceeds the $8 billion of general obligations and
water-and-sewer debt in Detroit's record bankruptcy and Jefferson
County, Alabama's $4.2 billion failure, Bloomberg News relates.

                          Bond Insurance

About 70 percent of the debt from Prepa, which supplies most of
the commonwealth's electricity, doesn't have bond insurance, data
compiled by Bloomberg show.  The agency is a prime candidate to
restructure its obligations under the law passed last month that
allows certain public corporations to negotiate with bondholders
to reduce debt, Bloomberg News adds.

Fitch Ratings on June 26 cut Prepa to CC, its third-lowest
speculative grade.  Standard & Poor's and Moody's Investors
Service also give it junk ratings.

Prepa has $671 million in bank lines of credit maturing by mid-
August, which it can't repay, according to S&P.


===============
S T.  L U C I A
===============


* ST LUCIA: Under 'Water Emergency' as Drought Situation Worsens
----------------------------------------------------------------
Caribbean360.com reports that the St. Lucia Water and Sewage
Company (WASCO) placed the entire island under a water emergency
schedule as drought situation worsened.

Initially, the emergency had been confined to the north of the
island, but WASCO managing director Vincent Hippolyte said that
there had not been sufficient rainfall to meet the demands of
consumers, according to Caribbean360.com.

"Despite the rains and the greenery, drought conditions exist
because the rivers are not moving.  They do not have the volume of
water that will enable WASCO to extract sufficient water to meet
demand.  We are in the early stages in the drought situation.  It
is not as severe as the later stages, but we are still in drought
conditions," the report quoted Mr. Hippolyte as saying.

WASCO said that as a result, the island-wide water-rationing
program would remain in effect and that communities will
experience periodic water outages, the report notes.

The report discloses that WASCO is urging consumers to conserve
water amid suggestions by experts that the drought may continue
until the end of August.

"The public is also reminded that the Water Emergencies Act
enforces water conservation restrictions that limit lawn
sprinkling, vehicle washing, golf course and park irrigation, and
other nonessential uses", it added, the report relays.


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


PETROLEUM COMPANY: Workers Want Audit
-------------------------------------
Trinidad and Tobago Express reports that Petroleum Company of
Trinidad and Tobago (Petrotrin) workers want the State to conduct
a forensic audit into the operations of the South West Soldado
Development Project, where a floating facility is expected to be
built.

They say some $8 million was paid to a company two years ago but
no work was done, according to Trinidad and Tobago Express.

The report notes that on July 10, employees of Petrotrin's Trinmar
operations in Point Fortin held a meeting to discuss their issues.
It was held at the Oilfields Workers' Trade Union (OWTU) Branch
Hall, Newlands, Point Fortin.

The report notes that Emile James, the branch's vice-president,
said they were concerned about the operations at Trinmar and the
southwestern region that was why an audit was being requested.

"Our livelihood is Trinmar.  We want to see Trinmar move. Trinmar
is the only oil establishment and produces the most amount of oil
in Trinidad and Tobago.  We are calling for an investigation, a
forensic audit into the operations on that whole southwest team
and the whole arrangement with that certain facility," the report
quoted Mr. James as saying.

The report notes that Mr. James said: "To date, we have not seen
or heard anything about that production facility and we want to
know what is happening with that.  Where has the money gone? We
could do whatever is necessary to have the production where it
supposed to be."

In 2012, Prime Minister Kamla Persad-Bissessar announced that 48
million barrels of crude oil were found off the Gulf of Paria near
Point Fortin.

However, the report continues, Mr. James said: "To date, we have
had no production from that area.  They drilled about three or
four wells. Lines have not been attached so we have had no joy of
that oil that the Prime Minister spoke about in that area."

Gillian Friday, Petrotrin's manager of corporate communication, in
an e-mailed response to the new agency, stated: "Petrotrin
understands that the Trinmar branch of the OWTU held a meeting
attended by some of Petrotrin's employees and contractors'
employees at the OWTU Branch Hall in Point Fortin this morning.

"We do not have any information on what transpired at that meeting
at this time. In the meantime, we remain focused on boosting
efforts to increase crude oil production, which is critical to our
continued survival."

                          About Petrotrin

Petroleum Company of Trinidad and Tobago is the major state-owned
oil company in Trinidad and Tobago.  The company was established
in 1993 by the merger of Trintopec and Trintoc, two state-owned
oil companies.  Petrotrin's main holdings are extensive, mature
onshore fields located across southern Trinidad.  Large areas
have been leased out to small private producers who are able to
make a profit on wells that are unprofitable for Petrotrin,
giving it higher labor costs.  The company operates a refinery at
Pointe-Pierre, just north of San Fernando in south Trinidad.
Most crude petroleum produced in Trinidad is exported without
being refined. The refinery depends on imported crude (mostly
from Venezuela), which is either used domestically or exported.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 8, 2013, Trinidad Express reports that production levels at
Petroleum Company of Trinidad and Tobago (Petrotrin)'s Trinmar
operations in Point Fortin have been affected by industrial action
involving employees of the company's marine transport contractors.
Petrotrin stated that it was informed of a what it described as a
stand-off between its marine contractors and their employees, who
cited issues, including their current rates of remuneration,
according to Trinidad Express.


                            ***********


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 * * *