TCRLA_Public/140818.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, August 18, 2014, Vol. 15, No. 162


                            Headlines



A R G E N T I N A

MENDOZA: Moody's Rates Treasury Note Program (P)Caa1


B R A Z I L

BESI BRASIL: S&P Affirms 'C' Counterparty Credit Rating
NII HOLDINGS: Misses $118.8 Million Bond Payment


C A Y M A N  I S L A N D S

ASUKA FIXED: Creditors' Proofs of Debt Due Sept. 5
BLUE ARROW: Creditors' Proofs of Debt Due Sept. 8
CAPWEST IMPERIAL: Creditors' Proofs of Debt Due Aug. 30
LOVE FOR EVER: Creditors' Proofs of Debt Due Sept. 2
MAYERCAP HIGH: Creditors' Proofs of Debt Due Sept. 1

MULBERRY CAPITAL: Creditors' Proofs of Debt Due Sept. 1
MYRTLE LTD: Creditors' Proofs of Debt Due Sept. 5
SECOND COMPANY: Creditors' Proofs of Debt Due Sept. 11
SOUTHERN CAPITAL: Creditors' Proofs of Debt Due Sept. 1
TROIKA RUSSIA: Creditors' Proofs of Debt Due Sept. 2


D O M I N I C A N   R E P U B L I C

* DOMINICAN REP: Customs Says Online Shopping Spurs Shadow Economy


J A M A I C A

CARIBBEAN CEMENT: Incurs $89MM Loss in 3-Mos. Ended June 2014


H O N D U R A S

HONDURAS: S&P Affirms 'B' Sovereign Credit Rating; Outlook Stable


M E X I C O

SU CASITA: Fitch Keeps 'CCsf' & 'CC(mex)vra' Ratings on 2035 Notes


P A N A M A

AES PANAMA: Power Barge Acquisition Reflected in Fitch BB+ Rating


X X X X X X X X X

* BOND PRICING: For the Week From August 11 to August 15, 2014


                            - - - - -


=================
A R G E N T I N A
=================


MENDOZA: Moody's Rates Treasury Note Program (P)Caa1
----------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo has
assigned a (P)Caa1 (global scale local currency) and Baa3.ar
(Argentina National Scale) ratings to the 2014 Short-Term Treasury
Note Program of the Province of Mendoza. The ratings are in line
with the provincial's long term local currency issuer ratings,
which carry a negative outlook.

Ratings Rationale

The 2014 program was created by Governors Decree N§1182 of 2014
and considers a maximum issuance of ARS280 million whereas
Resolution N§225 of Mendoza's Ministry of Finance sets the
specific issuance conditions of the first two classes.

The assigned debt ratings reflect Moody's view that the
willingness and capacity of the Province of Mendoza to honor these
short-term treasury notes is in line with the provincial's long-
term credit quality as reflected in the Caa1/Baa3.ar issuer
ratings.

The first two issuances under the 2014 program (Class I and Class
II, for up to ARS280 million in total) present bullet amortization
and will mature in the months of October and November
respectively. The total amount to be issued by these two classes
represents approximately 1% of the province's 2014 expected total
revenues.

The assigned ratings are based on preliminary documentation
received by Moody's as of the rating assignment date. Moody's does
not expect changes to the documentation reviewed over this period
or anticipates changes in the main conditions that the notes will
carry. Should issuance conditions and/or final documentation of
any of the classes under this program deviate from the original
ones submitted and reviewed by the rating agency, Moody's will
assess the impact that these differences may have on the ratings
and act accordingly.

What Could Change The Rating Up/Down

Given the negative outlook on the issuer ratings, Moody's does not
expect upward pressures in the Province of Mendoza's ratings in
the near to medium term. A downgrade in Argentina's bond ratings
and/or further systemic deterioration or idiosyncratic risks
arising in this issuer could continue to exert downward pressure
on the ratings assigned and could translate in to a downgrade in
the near to medium term.

The principal methodology used in this rating was Regional and
Local Governments published in January 2013.

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 June 2014
entitled "Mapping Moody's National Scale Ratings to Global Scale
Ratings".


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


BESI BRASIL: S&P Affirms 'C' Counterparty Credit Rating
-------------------------------------------------------
Standard & Poor's Ratings Services revised the CreditWatch
implications on its long-term ratings on BES Investimento do
Brasil S.A. - Banco de Investimento (BESI Brasil) to developing
from negative, following a similar action on its parent, Banco
Espirito Santo de Investimento S.A. (BESI).  This affects S&P's
'B-' global long-term and 'brB-' national scale long-term
counterparty credit and 'B-' senior debt ratings.  At the same
time, S&P affirmed the 'C' global scale and 'brC' national scale,
short-term counterparty credit ratings on BESI Brasil and placed
them on CreditWatch with developing implications.  S&P then
suspended all its ratings on BESI Brasil.

"The rating actions reflect the Bank of Portugal's Aug. 3, 2014
resolution to transfer BES and its general banking activities and
assets, including BESI Brasil--together with almost all customer
deposits and other senior obligations--to the newly-formed Novo
Banco," said Standard & Poor's credit analyst Sebastian Liutvinas.

S&P has revised the CreditWatch implications to developing from
negative on its long-term ratings and placed its short-term
ratings on CreditWatch with developing implications.

S&P then suspended its global and national scale long- and short-
term counterparty credit ratings and issue rating on BESI Brasil
following same action on its parent.  BESI Brasil posted positive
performance during the first semester of 2014 increasing its net
income by around 77% compared with the first semester of 2013, as
a result of higher net interest income and fees and commissions.
S&P suspended the ratings because BESI Brasil has been transferred
to Novo Banco and S&P currently don't have information of
satisfactory quality to perform surveillance of BESI Brasil's and
BESI's group status within Novo Banco Group and of Novo Banco's
group credit profile (GCP).  In accordance with S&P's criteria,
these aspects are central in the determination of counterparty
credit ratings on subsidiaries.

S&P may reinstate the counterparty credit and issue ratings on
BESI Brasil if it receives sufficient and ongoing information for
adequate surveillance at the Novo Banco level.  If not, S&P will
likely withdraw the ratings.


NII HOLDINGS: Misses $118.8 Million Bond Payment
------------------------------------------------
Jodi Xu at Bloomberg News reports that NII Holdings Inc. missed
$118.8 million in coupon payments due Aug. 16 and went into a 30-
day grace period as restructuring negotiations continue with
creditors, according to a statement.

The mobile-phone carrier that operates under the Nextel brand in
Latin America may still make the payment during the grace period,
the Reston, Virginia-based company said in the statement obtained
by Bloomberg News.

The report discloses that NII's $800 million of 10 percent notes
due August 2016, which have a coupon payment due Aug. 16, rose 4
cents to 21.8 cents on the dollar at 12:33 p.m., Aug. 16, in New
York, before the release of the statement, according to Trace, the
bond-price reporting system of the Financial Industry Regulatory
Authority.

The phone carrier, which does most of its business in Latin
America, said it's negotiating with creditors about how to
restructure, including possible debt swaps or exchanging bonds for
equity in a reorganized company, according to the statement. No
agreements have been made yet, according to Bloomberg News.

Recovery rates for creditors of NII, which has $5.8 billion in
debt, may be as little as 20 percent, according to Moody's
Investors Service, Bloomberg News relays.  Aurelius Capital
Management, the distressed-debt investor that's battling the
government of Argentina and is also an NII creditor, has claimed
the company is already in default, Bloomberg News adds.

With headquarters in Reston, Virginia, NII Holdings, Inc. ("NII"
or "the company") is an international wireless operator with about
9.4 million largely post-pay subscribers in Latin America. NII had
approximately $4.14 billion in consolidated operating revenue for
the LTM period ended 2Q'14 generated from a subscriber base across
Mexico, Brazil, Argentina, and Chile.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on Aug.
15, 2014, Standard & Poor's Ratings Services said it lowered the
corporate credit rating on Reston, Va.-based wireless carrier NII
Holdings Inc. to 'CC' from 'CCC'.  The outlook is negative.


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


ASUKA FIXED: Creditors' Proofs of Debt Due Sept. 5
--------------------------------------------------
The creditors of Asuka Fixed Income Ltd. are required to file
their proofs of debt by Sept. 5, 2014, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on July 24, 2014.

The company's liquidator is:

          Ogier
          c/o Jonathan Turnham
          Telephone: +1 (345) 815 1839
          Facsimile: +1 (345) 949 9877
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands


BLUE ARROW: Creditors' Proofs of Debt Due Sept. 8
-------------------------------------------------
The creditors of Blue Arrow Fund are required to file their proofs
of debt by Sept. 8, 2014, to be included in the company's dividend
distribution.

The company commenced liquidation proceedings on July 28, 2014.

The company's liquidator is:

          Ross Allen & Frank Connolly
          c/o Richard Gordon
          Telephone: (345) 814-2066
          Appleby Trust (Cayman) Ltd.
          75 Fort Street, PO Box 1350
          Grand Cayman KY1-1108
          Cayman Islands


CAPWEST IMPERIAL: Creditors' Proofs of Debt Due Aug. 30
-------------------------------------------------------
The creditors of Capwest Imperial Assurance, Ltd. are required to
file their proofs of debt by Aug. 30, 2014, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on July 28, 2014.

The company's liquidator is:

          Russell Smith
          c/o Antoine Powell
          Telephone: (345) 815 4558
          BDO CRI (Cayman) Ltd.
          Governors Square, Floor 2-Building 3
          23 Lime Tree Bay Ave, PO Box 31229
          Grand Cayman, KY1 1205
          Cayman Islands


LOVE FOR EVER: Creditors' Proofs of Debt Due Sept. 2
----------------------------------------------------
The creditors of Love For Ever, Ltd are required to file their
proofs of debt by Sept. 2, 2014, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on July 24, 2014.

The company's liquidator is:

          Out of the Blue Ltd
          Willow House, Floor 4
          Cricket Square
          PO Box 268 Grand Cayman KY1-1104
          Cayman Islands
          Telephone: +1 (345) 949 2648
          Facsimile: +1 (345) 949 861


MAYERCAP HIGH: Creditors' Proofs of Debt Due Sept. 1
----------------------------------------------------
The creditors of Mayercap High Alpha Fund, Ltd. are required to
file their proofs of debt by Sept. 1, 2014, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on July 8, 2014.

The company's liquidator is:

          Ogier
          c/o Daniella Scotnicki
          Telephone: (345) 815-1861
          Facsimile: (345) 949-9877
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands


MULBERRY CAPITAL: Creditors' Proofs of Debt Due Sept. 1
-------------------------------------------------------
The creditors of Mulberry Capital Partners Limited are required to
file their proofs of debt by Sept. 1, 2014, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on July 30, 2014.

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


MYRTLE LTD: Creditors' Proofs of Debt Due Sept. 5
-------------------------------------------------
The creditors of Myrtle Ltd. are required to file their proofs of
debt by Sept. 5, 2014, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on July 31, 2014.

The company's liquidator is:

          Ogier
          c/o Jonathan Turnham
          Telephone: (345) 815 1839
          Facsimile: (345) 949-9877
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands


SECOND COMPANY: Creditors' Proofs of Debt Due Sept. 11
------------------------------------------------------
The creditors of The Second Company are required to file their
proofs of debt by Sept. 11, 2014, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on July 24, 2014.

The company's liquidator is:

          Campbells Directors Limited
          Willow House, Floor 4
          Cricket Square
          PO Box 268 Grand Cayman KY1-1104
          Cayman Islands
          Telephone: +1 (345) 949-2648
          Facsimile: +1 (345) 949-8613


SOUTHERN CAPITAL: Creditors' Proofs of Debt Due Sept. 1
-------------------------------------------------------
The creditors of Southern Capital Partners Limited are required to
file their proofs of debt by Sept. 1, 2014, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on July 30, 2014.

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


TROIKA RUSSIA: Creditors' Proofs of Debt Due Sept. 2
----------------------------------------------------
The creditors of Troika Russia Fund General Partner Limited are
required to file their proofs of debt by Sept. 2, 2014, to be
included in the company's dividend distribution.

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


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


* DOMINICAN REP: Customs Says Online Shopping Spurs Shadow Economy
------------------------------------------------------------------
Dominican Today reports that Customs Director Fernando Fernandez
said that the online shopping business gives rise to a shadow
economy, because it's an undeclared illicit commerce, which he
affirms has led to billions of dollars in losses to the State.

Mr. Fernandez said among the most serious findings were 2,137
unsigned checks written for RD$250 million, retained during just
three weeks, according to Dominican Today.  "There's an
underground economy here that no one knew about," the report
quoted Mr. Fernandez as saying.

"There are checks here for every taste; checks to be paid by 2015;
checks with unknown payment date and payroll checks from companies
in this country or to pay bills that don't have proof of tax
payment," Mr. Fernandez said while showing reporters several boxes
full of documents, the report notes.

Mr. Fernandez, the report notes, said the revisions found
undervaluation as high as 800% in the value goods, which has led
to simple tax losses of RD$1.3 billion just in 2013  and if it
continues in 2014, "would total RD$ 4.5 billion if online
purchases aren't taxed."


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


CARIBBEAN CEMENT: Incurs $89MM Loss in 3-Mos. Ended June 2014
-------------------------------------------------------------
RJR News reports that Caribbean Cement Company Limited said its
sales of cement and clinker rose 20% in the three months to the
end of June.

The company however said it racked up a loss of $89 million in the
period compared to a $359 million profit in the corresponding
period a year ago, according to RJR News.

The report notes that Caribbean Cement said the loss was due to
the shutdown of a clinker line to facilitate maintenance work.

Caribbean Cement Company Limited manufactures and sells cement.
The company was incorporated in 1947 and is based in Kingston,
Jamaica.  Caribbean Cement Company Limited is a subsidiary of
Trinidad Cement Limited.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 7, 2013, RJR News said that Caribbean Cement Company Limited
suffered a consolidated loss of J$137 million for the first six
months of 2013 down from J$1.2 billion during the corresponding
period last year, according to RJR News.  The report related that
the loss resulted from J$701 million of non-cash foreign exchange
losses compared to J$136 million in 2012.


===============
H O N D U R A S
===============


HONDURAS: S&P Affirms 'B' Sovereign Credit Rating; Outlook Stable
-----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B' long-term and
'B' short-term foreign and local currency sovereign credit ratings
on the Republic of Honduras.  The ratings outlook remains stable.
In addition, the transfer and convertibility assessment remains
unchanged at 'B+'.

RATIONALE

The ratings on Honduras reflect its rising debt burden resulting
from diminished fiscal flexibility, increased external
liabilities, weak political institutions, low-income economy, and
foreign exchange regime rigidities that constrain monetary policy.

Fiscal measures undertaken earlier this year could help reduce the
general government's fiscal deficit--which includes the central
bank's losses on open market operations and budgetary transfers to
public utilities--to 6.3% of GDP in 2014 and to 6% of GDP in 2015
from an unprecedented 8.2% of GDP in 2013.  Continued high fiscal
deficits will boost net general government debt to about 39% of
GDP in 2015, up from 13% in 2009, and interest expenses to 15% of
general government revenues. Financing the budget deficit, as well
as substantial amortization of internal debt in the next three
years, could strain Honduras' shallow domestic capital markets.

S&P projects that Honduras' current account deficit will be lower
than last year but remain high at 7.8% of GDP in 2014.  The
deficit could fall modestly to 7% in 2015, based on higher exports
and higher remittances, both linked to the expected recovery of
the U.S. economy.  S&P projects that the country's gross external
financing needs could be 100% of current account receipts (CAR)
and usable reserves over the next two years.  Despite Honduras'
low narrow net external debt--18% of CAR this year--net external
liabilities close to 90% of CAR demonstrate a wider set of
external liabilities.

Honduras' political institutions, including the system of checks
and balances among government branches, remain weak.  The recently
elected administration of President Juan Orlando Hernandez of the
National Party faces the challenge of improving security,
addressing the fiscal deficit, and strengthening the government's
implementation capacity for its planned reforms.

Foreign exchange regime rigidities continue to constrain the
central bank's monetary policy.  Honduras has heavily managed its
exchange rate within a narrow band since 2011, which would allow
local currency to depreciate about 4% (plus/minus 1) this year.
S&P expects inflation to increase this year toward 6.5%.  Nearly
30% of commercial bank claims and deposit liabilities are
denominated in foreign currency, creating a vulnerability to sharp
movements in the exchange rate.

Honduras is a low-income country with a projected per capita GDP
of $2,265 in 2014.  The country's small, open economy is
moderately diversified, with agricultural and light manufacturing
exports, financial and communication services, and mining.  S&P
projects that GDP could grow 3% in 2014 (up from 2.6% in 2013),
equal to per capita growth of 1%. The country's trend rate of
growth is likely to be 3% over the next two years.

The local currency rating on Honduras is 'B', reflecting the
limited flexibility of the country's monetary policy, its shallow
domestic capital markets, and its history of fiscal slippage,
typically around the time of national elections.

The transfer and convertibility assessment is 'B+', one notch
higher than the foreign currency sovereign rating.  The ready
availability of U.S. dollars provided by tourism, remittances,
exports, and the close economic ties with El Salvador (whose
currency is the U.S. dollar) reduces the risk, in S&P's view, that
the Honduran government would try to impose exchange controls and
block the outflow of foreign currency during an event of default.

OUTLOOK

The stable outlook reflects S&P's expectation that the government
will gradually reduce its fiscal deficit this year and next year,
slowly containing its financing needs.  S&P also expects that the
net general government debt burden, projected to be 34.4% of GDP
in 2014, will gradually stabilize over the next years, thanks to
both moderately higher GDP growth and continued fiscal correction.
The government is likely to rely mainly on the domestic market for
funding its deficit this year following a sharp recent increase in
external commercial debt.

S&P could lower the ratings if the government fails to reduce its
fiscal deficit this year and next and address perennial losses in
the energy sector, resulting in greater financing needs and
potential pressures on the level of official foreign exchange
reserves.  A continued increase in the net general government debt
burden, or a material decline in foreign exchange reserves, could
undermine investor confidence and raise the risk of instability,
leading to a downgrade. Conversely, a substantial fiscal
correction, including measures that strengthen structural
deficiencies in the energy sector, could enhance investor
confidence.  That, along with policies that promote faster GDP
growth while containing the current account deficit, could
stabilize and eventually reverse the trend of a rising government
debt burden and improve the sovereign's financial profile.  S&P
could raise the rating under such a scenario.

In accordance with S&P's relevant policies and procedures, the
Rating Committee was composed of analysts that are qualified to
vote in the committee, with sufficient experience to convey the
appropriate level of knowledge and understanding of the
methodology applicable.  At the onset of the committee, the chair
confirmed that the information provided to the Rating Committee by
the primary analyst had been distributed in a timely manner and
was sufficient for Committee members to make an informed decision.

After the primary analyst gave opening remarks and explained the
recommendation, the Committee discussed key rating factors and
critical issues in accordance with the relevant criteria.
Qualitative and quantitative risk factors were considered and
discussed, looking at track-record and forecasts.  The chair
ensured every voting member was given the opportunity to
articulate his/her opinion.  The chair or designee reviewed the
draft report to ensure consistency with the Committee decision.
The views and the decision of the rating committee are summarized
in the above rationale and outlook.

RATINGS LIST

Ratings Affirmed

Honduras (Republic of)
Sovereign Credit Rating                     B/Stable/B
Transfer & Convertibility Assessment        B+
Senior Unsecured                            B


===========
M E X I C O
===========


SU CASITA: Fitch Keeps 'CCsf' & 'CC(mex)vra' Ratings on 2035 Notes
------------------------------------------------------------------
Fitch Ratings currently maintains outstanding ratings of 'CCsf'
and 'CC(mex)vra' on the Class A Floating Rate Notes due 2035 and
'D(mex)vra' on the Class B UDI-Indexed Notes due 2035, both issued
by Irrevocable Trust number F/430 (Su Casita Trust 430).
Fitch also maintains a rating of 'D(mex)vra' on the Certificados
Bursatiles Fiduciarios Serie A3 issued by Irrevocable Trust number
F/234036 (Su Casita Trust 234036). The notes issued by Su Casita
Trust 430 and Su Casita Trust 234036 are backed by different
closed pools of mortgage loans originated by Hipotecaria Su Casita
S.A. de C.V. in Mexico.

On July 21st 2014, MBIA Insurance Corporation and MBIA Mexico S.A.
de C.V. (MBIA, as insurers for both transactions) informed Fitch
of intent to substitute the current primary servicer Patrimonio
S.A. de C.V. SOFOM E.N.R. (Patrimonio) with Adamantine Servicios
S.A. de C.V. MBIA also requested that Fitch provide an opinion as
to whether the servicer substitution event would negatively affect
the notes' ratings below the current level. Fitch is treating this
request as a notification. As part of this review, Fitch received
documents related to preliminary servicing contracts and addendums
to issuing trusts, among others.


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


AES PANAMA: Power Barge Acquisition Reflected in Fitch BB+ Rating
-----------------------------------------------------------------
AES Panama's (AESP, 'BB+'/Negative Outlook) proposed acquisition
of a 72 MW Power Barge was already incorporated in Fitch Ratings'
most recent rating action on AESP in April 2014. Fitch considers
this acquisition will improve the company's cash flows, diversify
its assets portfolio and slightly mitigate the impact of ongoing
adverse hydrology conditions. Rating actions may follow depending
on company's ability to execute the project in the terms set forth
and to continue reducing its elevated exposure to hydrological
risk.

          Acquisition Mitigates Hydrological Risk

Fitch believes the acquisition will help AESP to diversify its
sources of revenues and to mitigate the elevated exposure to
hydrology risk. The company's ratings also incorporate the
increase in leverage resulting from this acquisition in the short-
term (before the project starts generating cash flows). The
company's exposure to political risk may increase given that the
PPA's counterparty is a state-owned company,.

The power barge will have a stable and predictable cash generation
profile given its fully contracted capacity, ability to transfer
changes in fuel prices and adequate margins. Capacity payments
will generate a cumulative incremental EBITDA of USD108 million in
five years. This compares with incremental debt of USD57.3
Million. Revenues derived from energy dispatches will depend on
future market conditions, including spot prices. AESP expects
elevated levels of dispatch in the short to medium term given that
the current variable cost of the plant is approximately USD135/MWh
and spot prices are above USD250/MWh. The contracted base energy
price for the first three years is USD190/MWh and USD210/MWh for
the remaining two.

The company's financial results will likely continue to be
stressed in the short to medium term given the ongoing severe
drought in Panama, the possible occurrence of 'El Nino' phenomenon
during 2015 and AESP's elevated contracted position. Consequently
the Rating Outlook is Negative. The acquisition of the barge is
part of the actions being taken by the company to reduce its
exposure to hydrology risk. Failure to materialize these plans,
including this acquisition, in the terms set forth by the company
may negatively impact the ratings.

          New Asset to Increase Revenue and Leverage

AESP has announced the acquisition of a 72MW power barge, Estrella
del Mar, at a total cost of USD 57.3 million. This investment will
be financed 100% with new debt. The barge will be fully contracted
through a five-year Power Purchase Agreement (PPA) with EGESA, a
government-owned generation company. EGESA is committed to buy
total energy output at prices partly indexed to fuel costs plus
U.S. Inflation (CPI). The new plant's EBITDA, considering capacity
payments only, will be on average USD 21.5 million per year over
the life of the PPA. AESP expects the barge will start operations
in early 2015.

The company has requested a waiver on the incurrence covenant that
limits additional indebtedness when the interest coverage ratio is
below 2.5:1 or the debt service reserve account is not fully
funded. The EBITDA-to-Gross Interest Expense ratio was 0.53x for
the last 12 months ended in March 31, 2014. In 1Q2014, the company
recorded a negative EBITDA of USD28.2 million mainly as result of
non-expected net purchases in the spot market for USD74.6 million
(USD32.8 million in 1Q2013).

                     Rating Sensitivities

A rating downgrade could result from a combination of the
following factors: leverage above 4.0x on a sustained basis,
increased government intervention in the sector coupled with
weakening regulatory framework, inability to reduce exposure to
the spot market, and/or payment of dividends coupled with high
leverage levels.

Factors that could trigger a positive rating action include: a
sustained decrease in leverage below 3.0x coupled with an
effective diversification of revenues among different fuels, and
reduced exposure to the spot market.


=================
X X X X X X X X X
=================


* BOND PRICING: For the Week From August 11 to August 15, 2014
--------------------------------------------------------------


Issuer                     Coupon   Maturity   Currency   Price
------                     ------   --------   --------   -----

BES Finance Ltd                 2.9              EUR     211913000
PDVSA                             6  11/15/2026  USD    4500000000
ESFG International Ltd          5.8              EUR      52950000
PDVSA                             6  5/16/2024   USD    5000000000
PDVSA                           5.4  4/12/2027   USD    3000000000
Mongolian Mining Corp           8.9  3/29/2017   USD     600000000
PDVSA                           5.5  4/12/2037   USD    1500000000
Hindili Industry                8.6  11/4/2015   USD     380000000
BES Finance Ltd                 4.5              EUR      95767000
Automotores Gildemeister SA     8.3  5/24/2021   USD     400000000
SMU SA                          7.8  2/8/2020    USD     300000000
NQ Mobile Inc                     4  10/15/2018  USD     172500000
Inversiones Alsacia SA            8  8/18/2018   USD     347300000
Venezuela Governement           7.7  4/21/2025   USD    1599817000
Glorious Property Holdings Ltd   13  3/4/2018    USD     400000000
Renhe Commercial                 13  3/10/2016   USD     600000000
Bank Austria                    1.9              EUR      97608000
China Precisoin                 7.3  2/4/2018    HKD    1028000000
BCP Finance Co                  2.4              EUR   99063406.25
Automotores Gildemeister SA     6.8  1/15/2023   USD     300000000
BA-CA Finance Cayman 2 Ltd        2              EUR      51481000
Argentina Bonar Bonds            26  9/10/2015   ARS    5424358000
Inversora de Electrica          6.5  9/26/2017   USD     130263886
BCP Finance Co                  4.2              EUR      72112000
Mongolian Mining Corp           8.9  3/29/2017   USD     600000000
Argentina Government            4.3  12/31/2033  JPY    5840497000
PDVSA                             6  5/16/2024   USD    5000000000
Argentina Boden Bonds             2  9/30/2014   ARS     930445250
PDVSA                             6  11/15/2026  USD    4500000000
Greenfields Petroleum Corp        9  5/31/2017   CAD      23750000
Hindili Industry                8.6  11/4/2015   USD     380000000
Argentina Government            4.3  12/31/2033  JPY    2553017000
Argentina Bocon                   2  1/3/2016    ARS    1608749924
Argentina Government            0.5  12/31/2038  JPY   21037843000
Automotores Gildemeister SA     8.3  5/24/2021   USD     400000000
Caixa Geral De Depositos Finance  1              EUR      44885000
SMU SA                          7.8              USD     300000000
Renhe Commercial                 13  3/10/2016   USD     600000000
Caixa Geral De Depositos Finance  2              EUR      65843000
Inversiones Alsacia SA            8  8/18/2018   USD     347300000
Automotores Gildemeister SA     6.8  1/15/2023   USD     300000000
BPI Capital Finance Ltd         2.9              EUR      15290000
Banif Finance Ltd               1.6              EUR      42234000
Banco BPI SA/Cayman Islands     4.2  11/14/2035  EUR      20000000
Empresas La Polar SA            3.8  10/10/2017  CLP       5000000
City of Buenos Aires Argentina    2  1/28/2020   USD     146771000
Aguas Andinas SA                4.2  12/1/2026   CLP    3289471.68
City of Buenos Aires Argentina    2  12/20/2019  USD     113229000
Venezuela Governement             7  3/31/2038   USD    1250003000
Empresa de Transporte           5.5  7/15/2027   CLP     3732799.8
Cia Cervecerias Unidas SA         4  12/1/2024   CLP       1050000
Almendral Telecomunicaciones SA 3.5  12/15/2014  CLP     644441.04
Cia Sud Americana de Vapores SA 6.4  10/1/2022   CLP     607142.76
Decimo Primer                   4.5  10/25/2041  USD      37800000
Provincia del Chaco               4  12/4/2026   USD   10111047.85
Ruta de Bosque                  6.3  3/15/2021   CLP    5062781.25
Talcan Chillan                  2.8  12/15/2019  CLP    2978764.16
EMP Ferrocarriles Estado        6.5  1/1/2026    CLP     788572.14



                            ***********


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.


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