TCRLA_Public/141015.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

            Wednesday, October 15, 2014, Vol. 15, No. 204


                            Headlines



C A Y M A N  I S L A N D S

CONTRARIAN ADVANTAGE: Placed Under Voluntary Wind-Up
CONTRARIAN CAPITAL: Placed Under Voluntary Wind-Up
DIAMOND FINANCE: Commences Liquidation Proceedings
FREEDOM COLLATERALIZED: Commences Liquidation Proceedings
GALLATIN CLO II 2005-1: Commences Liquidation Proceedings

INSURE AMERICA: Commences Liquidation Proceedings
MSREF III: Commences Liquidation Proceedings
SOLAR INVESTMENT: Commences Liquidation Proceedings
STUFU DEAL: Commences Liquidation Proceedings
WILBRAHAM CBO: Commences Liquidation Proceedings


C H I L E

SMU S.A.: S&P Raises LT CCR to 'CCC+'; Outlook Stable


D O M I N I C A N   R E P U B L I C

DOMINICAN REP: Big Business Says Wage Hike This Year 'Implausible'


G U Y A N A

* GUYANA: IDB, EU Commit Funds for Programs to Improve Electricity


J A M A I C A

ALCOA INC: Posts US149MM Net Income for Third Quarter
* JAMAICA: Minister Wants G20 to Deliver on Financing Promise


M E X I C O

EMPRESAS ICA: Consortium Signs Deal for Monterrey VI Aqueduct
OCEANOGRAFIA SA: Mediator Said to Deny Some Citigroup Claims


V E N E Z U E L A

VENEZUELA: Default Almost Certain, Harvard Economists Say


                            - - - - -


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


CONTRARIAN ADVANTAGE: Placed Under Voluntary Wind-Up
----------------------------------------------------
On Aug. 27, 2014, the sole shareholder of Contrarian Advantage
Fund I Limited resolved to voluntarily wind up the company's
operations.

Only creditors who were able to file their proofs of debt by
Oct. 13, 2014, will be included in the company's dividend
distribution.

The company's liquidator is:

          Ogier
          c/o Tim Cone
          Telephone: +1 (345) 815 1767
          Facsimile:(345) 949-9877
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands


CONTRARIAN CAPITAL: Placed Under Voluntary Wind-Up
--------------------------------------------------
On Sept. 8, 2014, the sole shareholder of Contrarian Capital
Finance Offshore, Ltd. resolved to voluntarily wind up the
company's operations.

Only creditors who were able to file their proofs of debt by
Oct. 13, 2014, will be included in the company's dividend
distribution.

The company's liquidator is:

          Ogier
          c/o Tim Cone
          Telephone: +1 (345) 815 1767
          Facsimile:(345) 949-9877
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-9007
          Cayman Islands


DIAMOND FINANCE: Commences Liquidation Proceedings
--------------------------------------------------
At an extraordinary meeting held on Sept. 11, 2014, the members of
Diamond Finance Limited resolved to voluntarily liquidate the
company's business.

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

The company's liquidator is:

          David Dyer
          Deutsche Bank (Cayman) Limited
          P.O. Box 1984, Boundary Hall
          Cricket Square, 171 Elgin Avenue
          Grand Cayman KY1-1104
          Cayman Islands


FREEDOM COLLATERALIZED: Commences Liquidation Proceedings
---------------------------------------------------------
At an extraordinary meeting held on Sept. 11, 2014, the members of
Freedom Collateralized Holdings 2000 CDO Ltd resolved to
voluntarily liquidate the company's business.

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

The company's liquidator is:

          David Dyer
          Deutsche Bank (Cayman) Limited
          P.O. Box 1984, Boundary Hall
          Cricket Square, 171 Elgin Avenue
          Grand Cayman KY1-1104
          Cayman Islands


GALLATIN CLO II 2005-1: Commences Liquidation Proceedings
---------------------------------------------------------
At an extraordinary meeting held on Sept. 11, 2014, the members of
Gallatin CLO II 2005-1 Ltd resolved to voluntarily liquidate the
company's business.

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

The company's liquidator is:

          David Dyer
          Deutsche Bank (Cayman) Limited
          P.O. Box 1984, Boundary Hall
          Cricket Square, 171 Elgin Avenue
          Grand Cayman KY1-1104
          Cayman Islands


INSURE AMERICA: Commences Liquidation Proceedings
-------------------------------------------------
On Sept. 11, 2014, the sole shareholder of Insure America (Cayman)
Limited resolved to voluntarily liquidate the company's business.

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

The company's liquidator is:

          John. M. Noel
          P.O. Box 1990 Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 949-0488
          Facsimile: (345) 949-0364


MSREF III: Commences Liquidation Proceedings
--------------------------------------------
On Sept. 11, 2014, the members of MSREF III International Funding
Limited resolved to voluntarily liquidate the company's business.

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

The company's liquidator is:

          Stephen Nelson
          Telephone: (345) 949.4544
          Facsimile: (345) 949.8460
          Charles Adams Ritchie & Duckworth
          P.O. Box 709, 122 Mary Street
          Grand Cayman KY1-1107
          Cayman Islands


SOLAR INVESTMENT: Commences Liquidation Proceedings
---------------------------------------------------
At an extraordinary meeting held on Sept. 11, 2014, the members of
Solar Investment Grade CBO II, Limited resolved to voluntarily
liquidate the company's business.

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

The company's liquidator is:

          David Dyer
          Deutsche Bank (Cayman) Limited
          P.O. Box 1984, Boundary Hall
          Cricket Square, 171 Elgin Avenue
          Grand Cayman KY1-1104
          Cayman Islands


STUFU DEAL: Commences Liquidation Proceedings
---------------------------------------------
At an extraordinary meeting held on Sept. 11, 2014, the members of
Stufu Deal Limited resolved to voluntarily liquidate the company's
business.

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

The company's liquidator is:

          David Dyer
          Deutsche Bank (Cayman) Limited
          P.O. Box 1984, Boundary Hall
          Cricket Square, 171 Elgin Avenue
          Grand Cayman KY1-1104
          Cayman Islands


WILBRAHAM CBO: Commences Liquidation Proceedings
------------------------------------------------
At an extraordinary meeting held on Sept. 11, 2014, the members of
Wilbraham CBO Ltd resolved to voluntarily liquidate the company's
business.

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

The company's liquidator is:

          David Dyer
          Deutsche Bank (Cayman) Limited
          P.O. Box 1984, Boundary Hall
          Cricket Square, 171 Elgin Avenue
          Grand Cayman KY1-1104
          Cayman Islands


=========
C H I L E
=========


SMU S.A.: S&P Raises LT CCR to 'CCC+'; Outlook Stable
-----------------------------------------------------
Standard & Poor's Ratings Services raised its long-term corporate
credit and senior unsecured ratings on SMU S.A. y Subsidiarias
(SMU) to 'CCC+ from 'CCC-'.  The outlook is stable.

The upgrade reflects S&P's opinion that the company doesn't face a
default risk until Dec. 31, 2015, thanks to SMU's final agreement
with its banks.  By that date, SMU will need to comply with the
bank covenants that S&P believes still depend on the continuing
improvement of the company's operating performance.  Otherwise,
SMU would have to depend again on negotiating waivers with the
banks.

On Sept. 30, 2014, SMU reached a final agreement with its banks as
follows:

   -- On Sept. 30, 2014, the controlling shareholders bought the
      company's CLP10 billion ($17 million) in syndicated loans it
      owes to banks and CLP1.6 billion ($2.7 million) in debt it
      owes to Banco BICE.  The remaining amount still owed to the
      syndicated banks is about CLP53 billion ($89 million).

   -- On June 1, 2015, the controlling shareholders will buy SMU's
      debt for about CLP1 billion ($1.7 million) that the company
      still owes to Banco BICE.

   -- SMU will continue seeking to sell Construmart and its 40% z
      take in Montserrat.  The company has until June 1, 2015
      (which could be extended up to Dec. 1, 2015) to sell its
      assets and use the proceeds to pay down the Construmart and
      Montserrat tranches, which are now consolidated in one
      installment.  If SMU fails to sell its assets by Dec. 2015
      or the sale price is less than the outstanding debt, the
      shareholders will pay down 50% of the total debt related to
      the new consolidated installment.  The remaining amount of
      about CLP31.2 billion ($53.1 million) will be amortized
      during the following five years.

   -- As stipulated in the agreement, the amortization payments
      mentioned above for the remaining amount will be possible
      only if the controlling shareholders pay down the CLP48.3
      billion ($87.8 million) of the local bond due Nov. 2015, and
      the company pays the accrued interest to the banks
      corresponding to the Restructuring Agreement of about CLP1.4
      billion ($2.5 million).

"These actions reinforce the support of the controlling
shareholders to SMU, which we believe will continue in the next
few years," said Standard & Poor's credit analyst Sandra Tinoco.


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


DOMINICAN REP: Big Business Says Wage Hike This Year 'Implausible'
-----------------------------------------------------------------
Dominican Today reports that National Business Council Executive
Vice President (CONEP) Rafael Paz said a salary increase isn't
legally plausible this year, as labor unions demand.

Mr. Paz said labor legislation stipulates a review of the minimum
wage every two years, during which the National Wage Committee
convenes talks between management and labor, according to
Dominican Today.

Citing Central Bank data, Mr. Paz said employers were ordered to
raise wages 14 percent last year, a figure he affirms is higher
than the accumulated inflation in that period, the report notes.

Interviewed on Telesistema Channel 11, Mr. Paz denied that
employers agreed to review wages this year as union leaders
allege, the report relates.

Mr. Paz said employers are only subjected to what the law says,
for which all Conept actions are in compliance, the report notes.
"The rule of law is very clear in that regard, that the minimum
wage is reviewed every two years, and now the private sector hand
applied a wage increase of 14 per cent last year, which was higher
than the increase in inflation for that period," the report quoted
Mr. Paz as saying.


===========
G U Y A N A
===========


* GUYANA: IDB, EU Commit Funds for Programs to Improve Electricity
------------------------------------------------------------------
The Inter-American Development Bank (IDB) and the European Union
(EU) are committed to supporting the efforts of the Government of
Guyana to improve the quality and delivery of reliable water
supply and also to strengthen the reliability and efficiency of
electricity service delivery.  In this regard, both organizations
met to sign a loan and investment grant agreement with the
Government of Guyana.

The signing took place at the IDB's headquarters in Washington,
D.C. on October 10, 2014 with the participation of IDB President
Luis Alberto Moreno, Guyanese Finance Minister Ashni Singh, and
European Union Commissioner Andris Piebalgs.

Both the EU and the IDB recognize the need to assist Guyana's
continued development through investments in the energy and water
sectors and have therefore allocated US$54,480,000 of IDB
resources, further leveraging up to US$41,769,500 through the
European Union's Caribbean Investment Facility (CIF) to address
the priority needs of these sectors.

IDB financing comprises US$24,480,000 in blended resources from
the Fund for Special Operations (FSO) and Ordinary Capital (OC),
as well as US$30,000,000 from the Grant Leveraging Mechanism
(GLM).  The EU contribution represents sixty percent of the total
10th European Development Fund national allocation for Guyana
totalling US$68,300,000.  This is the first IDB project using the
Grant Leveraging Mechanism, which leverages grant resources from
bilateral and multilateral donors with US$100 million of the IDB's
ordinary capital to finance operations in shared priority areas
for some of the poorest countries in Latin America and the
Caribbean region.

Guyana will strengthen and improve access to drinking water and
sanitation services with a US$16,838,250 loan from the IDB and a
US$14,838,250 grant from the Caribbean Investment Fund of the
European Union.  The Program to Improve Water and Sanitation
Infrastructure and Supply will finance infrastructure projects to
build, upgrade and expand water treatment plants as well as to
enhance access to adequate sanitation through measures to
strengthen the Guyana Water Incorporated (GWI).  The IDB-EU
program is expected to increase the percentage of households with
24-hour access to water and water pressure that is in line with
national standards, reduce the percentage of water that goes
unaccounted for and raise the number of homes with improved access
to drinking water and proper sanitation arrangements.  The program
will also fund the design and implementation of an initiative to
reduce Non-Revenue Water and a public awareness campaign on the
use of water and proper hygiene practices.

In addition, the Inter-American Development Bank approved a loan
totaling US$37,641,750 and a US$26,931,250 grant from the
Caribbean Investment Fund of the European Union to help boost the
efficiency and reliability of Guyana's power system through
increasing operational efficiency, reducing energy losses, and
strengthening the management and corporate performance of the
country's utility, the Guyana Power and Light, Inc. (GPL).

GPL is now facing various challenges in trying to provide
additional electricity on an efficient and reliable basis, which
include high levels of electricity losses.  As Guyana's energy
demand increases due to the growth of its residential and
commercial sectors and the expected return of large customers to
the national power grid, the distribution infrastructure will
experience greater stresses, and in turn, this will challenge
GPL's management and its ability to manage electricity supply.

This IDB-EU program will fundthe rehabilitation of 830 km of
distribution lines in GPL's network.

The European Union approved the creation of the Caribbean
Investment Facility (CIF) on April 30, 2012.  The purpose of the
CIF is to strengthen Caribbean regional integration and to foster
investments in key infrastructure in the Caribbean, with a
particular focus on the energy, environment, climate change
mitigation and adaptation, transport and social infrastructure
sectors.  These projects are the first to be funded under the CIF
program.


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


ALCOA INC: Posts US149MM Net Income for Third Quarter
-----------------------------------------------------
RJR News report that Alcoa Inc., the US based part owner of the
Jamalco alumina operation in Clarendon, Jamaica, has reported a
stronger-than-expected increase in third-quarter profit as higher
aluminum prices and lower costs drove a recovery in its business
unit that produces aluminum.

Alcoa Inc.'s net income rose to US149 million, from US$24 million
a year ago, even as it took restructuring charges for smelter
closures, according to RJR News.

The report notes that Alcoa Inc.'s growing business making
specialized goods for automotive and aerospace customers has
helped offset a weak market for aluminum.  The company has also
been working to improve costs.

                         Plans to Sell

News came in June that Alcoa Inc., is moving to sell its interest
in Jamalco, RJR News notes.  The company has 55% ownership in the
refinery, while the government-owned Clarendon Alumina Production
(CAP) owns the remaining 45%.

Alcoa Inc. produces and manages primary aluminum, fabricated
aluminum, and alumina. The company operates in four segments:
Alumina, Primary Metals, Global Rolled Products, and Engineered
Products and Solutions.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 22, 2014, Fitch Ratings has assigned a 'BB+' rating to Alcoa
Inc.'s issuance of approximately US$1 billion in senior notes due
2024.  The Rating Outlook is Stable.


* JAMAICA: Minister Wants G20 to Deliver on Financing Promise
-------------------------------------------------------------
RJR News report that Dr. Peter Phillips, Jamaica's Finance and
Planning Minister, is urging the G20 nations to carry out their
promise to assist the Caribbean to mitigate the effects of the
financial recession of 2008.

Dr. Phillips, speaking at a Caribbean breakfast and caucus meeting
in Washington D.C on Oct. 9, expressed concern that the group of
major economies has not kept its promise to provide financial
support to the region, according to RJR News.

The report notes that Dr. Phillips cited the region's high debt
burden, climatic vulnerabilities, along with energy insecurity.

Dr. Phillips said the Caribbean was most severely affected by the
recession and is the region where the effects have been the most
prolonged, the report adds.



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


EMPRESAS ICA: Consortium Signs Deal for Monterrey VI Aqueduct
------------------------------------------------------------
Empresas ICA, S.A.B. de C.V. disclosed that a consortium led by
its subsidiary Controladora de Operaciones de Infraestructura,
S.A. de C.V. signed one of the first contracts under the new
Public Private Partnership law in Mexico with Servicios de Agua y
Drenaje de Monterrey, the water and sanitation services company of
the State of Nuevo Leon.  CONOISA has a 37.75% interest in the
consortium.

The bulk water delivery contract includes the construction,
equipment, operation, and maintenance of the Monterrey VI
Aqueduct.  The 372 km pipeline will have a capacity of 6 m3/s and
will increase by more than 40% the supply of potable water for the
Monterrey metropolitan region -- Mexico's third largest metropolis
and industrial capital -- ensuring adequate supplies for the next
30 years.  Total investment in the project is expected to be
approximately MXN 17,684 million.

The Monterrey VI Aqueduct will bring water from intake works on
the Rio Panuco to the existing Cerro Prieto reservoir in Linares,
Nuevo Leon and pass through the states of San Luis Potosi,
Veracruz, and Tamaulipas.  The 84-inch diameter pipeline will have
a maximum capacity of 6,000 liters/second. The project also
includes six pumping stations, seven regime change tanks, a
regulation tank, a pre-treatment system, and telemetry.

Alonso Quintana, ICA's CEO, said, "We are proud to be part of the
solution for Monterrey's need for additional water resources. As a
result of the region through which it passes, the Monterrey VI
aqueduct will be a great engineering challenge in which we are
pleased to participate.  This project is an important addition to
our portfolio of concessions, and keeps us in the vanguard of
public private partnerships in Mexico."

Empresas ICA, S.A.B. de C.V. is an infrastructure company in
Mexico.  ICA carries out large-scale civil and industrial
construction projects and operates a portfolio of long-term
assets, including airports, toll roads, water systems, and real
estate.  Founded in 1947, ICA is listed on the Mexican and New
York Stock exchanges.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 23, 2014, Standard & Poor's Ratings Services affirmed its 'B+'
global scale and 'mxBBB' national scale corporate credit ratings
on Empresas ICA S.A.B. de C.V. (ICA). At the same time, S&P
assigned its 'B' issue-level rating on the company's proposed $500
million senior unsecured notes. The recovery rating of '5' on the
notes, indicating expectation of modest (10% to 30%) recovery in
the event of a payment default, remains unchanged. The outlook is
negative.


OCEANOGRAFIA SA: Mediator Said to Deny Some Citigroup Claims
------------------------------------------------------------
Ben Bain at Bloomberg News reports that Oceanografia SA's
bankruptcy has rejected at least MXN2 billion (US$150 million) of
claims sought by Citigroup Inc., said a person with knowledge of
the matter.

Citigroup Inc. had sought about MXN7.7 billion of claims in the
case, said the person, who asked not to be named because the
findings aren't public, according to Bloomberg News.  The
government-appointed mediator, Jose Antonio de Anda Turati,
excluded some of the New York-based bank's claims because it
didn't provide sufficient documentation to support them, the
person said, Bloomberg News relates.

Bloomberg News notes that the mediator's decision marks the latest
setback for Citigroup Inc.'s Mexican unit, Banamex, since it
disclosed in February a US$360 million pretax loss on loans to
Oceanografia linked to fraud.  Earlier this month, Citigroup Inc.
said that Javier Arrigunaga resigned as Banamex chief executive
officer because of "challenges" at the unit this year, Bloomberg
News notes.  Prosecutors have obtained arrest warrants for at
least three former Banamex executives amid regulatory and criminal
probes of the fraud, Bloomberg News relates.

With more than MXN5 billion of claims that were accepted by the
mediator, Citigroup Inc. remains the biggest creditor in
Oceanografia's bankruptcy case, the person said, Bloomberg News
relates.  Mr. De Anda Turati recognized about MXN20 billion of
claims from all creditors, the person said, notes the report.
Citigroup's claims were not granted priority status, meaning they
will be subordinated to others including workers, social security,
fiscal authorities and bondholders, the person said, Bloomberg
News relays.

                           100 Boxes

The bank presented its claims to the mediator in September along
with more than 100 small boxes of supporting documents, Mr. de
Anda Turati said at the time, Bloomberg News notes.

The mediator submitted the list of creditors on Oct. 10 to the
bankruptcy judge for approval, the person said, Bloomberg News
relays.  Citigroup Inc. would still have a chance to appeal.

Oceanografia SA owns a fleet of ships that provide offshore
drilling support to the government oil company, Petroleos
Mexicanos, known as Pemex.  The government seized Ciudad del
Carmen-based Oceanografia SA following the Citigroup Inc.
accusations, saying jobs had to be protected and critical oil-
servicing operations preserved.

Oceanografia SA de CV provides offshore services for the oil
industry in the Gulf of Mexico. It offers engineering, diving,
installation, inspection and maintenance of marine structures;
drilling support services; materials logistics; and personal
carriers and inspection, installation, and construction of subsea
pipelines.


=================
V E N E Z U E L A
=================


VENEZUELA: Default Almost Certain, Harvard Economists Say
---------------------------------------------------------
Anatoly Kurmanaev, Katia Porzecanski and Sebastian Boyd at
Bloomberg News report that Venezuela will probably default on its
foreign debt as a shortage of dollars makes it impossible for the
government to meet its citizens' basic needs, Harvard University
economists Carmen Reinhart and Kenneth Rogoff said.

The economy is so badly managed that per-capita gross domestic
product is 2 percent below 1970 levels, the professors wrote in a
column published by Project Syndicate on Oct. 13, according to
Bloomberg News.  A decade of currency controls has made dollars
scarce in the country with the world's biggest oil reserves,
causing shortages of everything from deodorant to airplane
tickets, Bloomberg News relates.

"They have extensive domestic defaults and an economy that is
really imploding," Mr. Reinhart said in a telephone interview with
Bloomberg News from Cambridge, Massachusetts.  "What they really
need to do is get their house in order.  If an external default
would trigger such a possibility, that's not a bad thing," Mr.
Reinhart added.

Bloomberg News relays that the suggestion that the country stop
servicing its bonds comes a month after Harvard colleagues Ricardo
Hausmann and Miguel Angel Santos wrote that Venezuela should
consider defaulting given that it was piling up arrears to
importers.  Venezuela owes about US$21 billion to domestic
companies and airlines, according to Caracas-based consultancy
Ecoanalitica, Bloomberg News notes.

Venezuelan debt is the riskiest in the world, yielding 15.42
percentage points more than similar maturity Treasuries, according
to data compiled by JPMorgan Chase & Co, Bloomberg News relays.
The cost to insure the country's bonds against default with
credit-default swaps is also the highest for any government
globally, Bloomberg News notes.

"Given that the government is defaulting in numerous ways on its
domestic residents already, the historical cross-country
probability of an external default is close to" 100 percent,
Messrs. Reinhart and Mr. Rogoff wrote in their piece, Bloomberg
News discloses.

                          Bond Decline

The country's bonds lost 1.9 percent on Sept. 5, the day Messrs.
Hausmann and Santos published their article, and 4.4 percent on
Sept. 8, the next trading day, Bloomberg News notes.

The two-day decline was the steepest in more than a year.
President Nicolas Maduro dubbed Mr. Hausmann a "financial hitman"
and "outlaw," and instructed the attorney general and public
prosecutor to take "actions" against the Venezuelan-born professor
for seeking to destabilize the country, Bloomberg News discloses.

For Venezuela to recover, President Maduro must unwind policies
that have fueled annual inflation of 63 percent and eroded wages,
Mr. Reinhart said, Bloomberg News relays.  The poverty rate has
risen since President Maduro came to power 18 months ago, climbing
to 32 percent at the end of last year from a record low 25 percent
in 2012, according to the National Statistics Institute, reports
Bloomberg News.

"They're paying no one," Bloomberg News quoted Mr. Reinhart as
saying.  "At those levels, inflation is certainly expropriation,"
Mr. Reinhart added.

                           Debt Payments

Discontent over rising prices, soaring crime and mounting
shortages sparked nationwide protests in February that were put
down by soldiers and police, Bloomberg News notes.  Forty-three
people will killed in clashes, according to the public
prosecutor's office.

Venezuela paid back US$1.5 billion of debt that matured Oct. 8.
It dipped into its international reserves to make the payment,
pushing them to an 11-year low of US$19.8 billion, Bloomberg News
relays.  The payment didn't end the decline in the country's
bonds, which have lost 22 percent in the past three months,
Bloomberg News notes.

State-owned oil company Petroleos de Venezuela SA is due to repay
$3 billion of bonds maturing on Oct. 28.  It has already bought
back 60 percent of the debt, a company official said Oct. 10,
notes Bloomberg News.  The company will also pay interest on bonds
due in 2017, 2027 and 2037 on Oct. 14, it said in an e-mailed
statement obtained by Bloomberg News.

Mr. Rogoff is the former chief economist at the International
Monetary Fund and author of a 1985 paper suggesting central banks
should focus more on low inflation than spurring employment,
Bloomberg News relays.

                          Debt Ratios

Mr. Rogoff and Mr. Reinhart wrote the 2009 book "This Time Is
Different: Eight Centuries of Financial Folly," which predicted
that the recovery from the financial crisis would be a "protracted
affair," featuring extended declines in asset markets, large
contractions in output and employment, and an explosion of
government debt -- similar to the aftermath of past financial
crises, Bloomberg News notes.

Mr. Reinhart and Mr. Rogoff argued in a 2010 paper that high
government debt depresses GDP growth.  In developing countries,
high debt-to-GDP ratios may also spark inflation, they wrote,
Bloomberg News discloses.

In 2013, the professors acknowledged they had inadvertently left
some data out of their calculations for the paper, which had been
used by some policy makers to justify austerity in the U.S. and
Europe, after researchers at the University of Massachusetts at
Amherst questioned their methods, Bloomberg News says.  The
professors said the error didn't change the thrust of their
research, Bloomberg News adds.


                            ***********


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


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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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