/raid1/www/Hosts/bankrupt/TCRLA_Public/141226.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
Friday, December 26, 2014, Vol. 15, No. 254
Headlines
A R G E N T I N A
ARGENTINA: U.S. Court Rules Against Country in Debt Case
GENERACION INDEPENDENCIA: Moody's Rates New ARS70MM Notes 'Caa1'
B R A Z I L
CIMENTO TUPI: Fitch Cuts FC Issuer Default Rating to 'B-'
COMPANHIA DE SANEAMENTO: Moody's Affirms Ba1 Corp. Family Rating
PETROLEO BRASILEIRO: Sets New Daily Production Record
C A Y M A N I S L A N D S
336226 LIMITED: Placed Under Voluntary Wind-Up
CIBC INDIA: Commences Liquidation Proceedings
DRAX GROUP: Commences Liquidation Proceedings
FF GLOBAL: Commences Liquidation Proceedings
FY CONSULTING: Placed Under Voluntary Wind-Up
HERITAGE HEDGED: Commences Liquidation Proceedings
MORGAN STANLEY: Commences Liquidation Proceedings
P.O.S. LIMITED: Commences Liquidation Proceedings
PREMIUM GLOBAL: Commences Liquidation Proceedings
SESAME HOLDINGS: Commences Liquidation Proceedings
TRIOAKS FUND: Commences Liquidation Proceedings
TRIOAKS MASTER: Commences Liquidation Proceedings
TUSKER INVESTMENT: Commences Liquidation Proceedings
US FUND: Placed Under Voluntary Wind-Up
C O L O M B I A
COLOMBIA: Lowers 2015 GDP Growth Forecast to 4.2% Amid Oil Slump
J A M A I C A
JAMAICA: Further Decline in Oil Price Predicted
UC RUSAL: Paulwell Announces Alpart Decision
M E X I C O
GRUPO FERTINAL: Moody's Withdraws Caa1 Corporate Family Rating
MBIA MEXICO: Moody's Assigns Ba1.mx National Scale IFS Rating
T R I N I D A D & T O B A G O
CARIBBEAN AIRLINES: Mulling Service to Cuba
PETROTRIN: Can Function With Oil at US$40, Chairman Says
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A R G E N T I N A
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ARGENTINA: U.S. Court Rules Against Country in Debt Case
--------------------------------------------------------
EFE News reports that an appeals court in New York rejected a
motion filed by Argentina and ordered the South American country
to provide two U.S. hedge funds with information about assets that
could be seized to satisfy a judgment.
The court said that Argentina as a sovereign state should comport
itself in a manner befitting its status, especially in cases that
could affect diplomatic relations and military affairs, according
to EFE News.
* * *
The Troubled Company Reporter-Latin America, on Aug. 1, 2014,
reported that Argentina defaulted on some of its debt late July 30
after expiration of a 30-day grace period on a US$539 million
interest payment. Earlier that day, talks with a court-
appointed mediator ended without resolving a standoff between the
country and a group of hedge funds seeking full payment on bonds
that the country had defaulted on in 2001. A U.S. judge had ruled
that the interest payment couldn't be made unless the hedge funds
led by Elliott Management Corp., got the US$1.5 billion they
claimed. The country hasn't been able to access international
credit markets since its US$95 billion default 13 years ago.
As a result, reported the TCR-LA on Aug. 1, Standard & Poor's
Ratings Services lowered its unsolicited long-and short-term
foreign currency sovereign credit ratings on the Republic of
Argentina to selective default ('SD') from 'CCC-/C'.
The TCR-LA, on Aug. 4, 2014, also reported that Fitch Ratings
downgraded Argentina's Foreign Currency Issuer Default Rating
(IDR) to 'RD' from 'CC', and its Short-Term Foreign Currency
Issuer Default Rating to 'RD' from 'C'.
Meanwhile, Moody's Investors Service affirmed Argentina's Caa1
issuer rating, which also applies to domestic law bonds, confirmed
the (P)Caa2 rating for its foreign law bonds, and affirmed the Ca
rating on the original defaulted bonds. The long-term issuer
rating was placed on negative outlook, reported the TCR-LA on Aug.
5, 2014.
On Aug. 8, 2014, the TCR-LA reported that Moody's Latin America
Agente de Calificacion de Riesgo affirmed the deposit, debt,
issuer and corporate family ratings on Argentina's banks and
financial institutions, both on the global and national scales.
The outlook on these ratings has been changed to negative from
stable. At the same time, the rating agency has affirmed the
banks' Caa2 foreign-currency deposit ratings and Not-
Prime short-term ratings. The banks' standalone E financial
strength ratings corresponding to caa1 baseline credit assessments
(BCA) have also been affirmed.
The TCR-LA, On Aug. 6, 2014, also reported that DBRS Inc. has
downgraded Argentina's long-term foreign currency issuer rating
from CC to Selective Default (SD). The short-term foreign
currency rating has been downgraded to Default (D), from R-5. The
long-term and short-term local currency issuer ratings have been
confirmed at B (low) and R-5, respectively. The trend on the
long-term local currency rating is Negative, and the trend on the
short-term local currency rating is Stable.
On Nov. 3, 2014, the TCR-LA reported that Fitch Ratings downgraded
Argentina's rating on Par Bonds issued under Foreign Law to 'D'
from 'C' as Argentina has not been able to cure the missed coupon
payments on its par bonds issued under foreign law after the
expiration of the 30-day grace period on Oct. 30. According to
Fitch's criteria, this constitutes an event of default and Fitch
has downgraded the affected securities to 'D'. In addition, Fitch
has affirmed:
-- Foreign Currency Issuer Default Rating (IDR) at 'RD';
-- Local Currency IDR at 'CCC';
-- Short-term Foreign Currency IDR at 'RD';
-- Country Ceiling at 'CCC'.
-- Performing Foreign Law Exchanged Securities (Global 17) at
'C';
-- Local Currency exchanged bonds under Argentine Law at 'CCC';
-- Foreign and Local Currency non-exchanged securities under
Argentine Law at 'CCC';
-- Discount Bonds issued under Foreign Law at 'D'.
GENERACION INDEPENDENCIA: Moody's Rates New ARS70MM Notes 'Caa1'
----------------------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo S.A.
("Moodys") has assigned a Caa1/Baa3.ar rating to the ARS 70
million proposed notes by Generacion Independencia S.A. (GISA). At
the same time, Moody's has affirmed GISA' outstanding ratings at
Caa1/Baa3.ar. The rating outlook is negative.
GISA will use proceeds from the new notes to repay other short
term debt and to finance its working capital needs and capital
expenditures.
Ratings Rationale
GISA's Caa1/Baa3.ar ratings are supported by our expectation of
stable operations and predictable cash flows arising from the
relatively simple nature of the thermal power plant that has been
in commercial operations for more than three years.
GISA operates a 120 MW dual fuel power plant (natural gas and oil)
and receives capacity payments under a long term supply contract
(under the Res. 220 framework). More than 90% of its revenues are
tied to this supply contract and as long as the plant is available
for dispatch, it receives the contractual price for its contracted
capacity. A reasonable level of debt in relation to the project's
cash generation capacity is also a supporting factor for the
ratings.
A constraining rating consideration is the fact that the company
is a single-asset operation and is therefore exposed to
concentration and event risks. In addition, most of the project's
capacity is contracted under a sole contract with CAMMESA, the
federal government agency that manages the wholesale electricity
market and is in charge of managing the system's collections and
payments for all electricity brought and sold. Since the
electricity price paid by consumers is only a fraction of the
energy production costs, the system as a whole is in an deficit
operating position and thus relies on the periodic transfer of
funds from the federal government to make payments to the
generating companies. Therefore, we believe that is appropriate
that the ratings and outlook reflect the direct linkage the
company has with the sovereign government (Argentina, Caa1,
negative).
Finally, although in our view the debt levels for the company are
reasonable, the maturity profile of the debt is highly
concentrated and exposes the company to refinancing risk. However,
a successful issuance of the ARS 70 million proposed notes will
slightly improve GISA' debt maturity profile as the new notes
first principal payment will not become due until the third
quarter of 2016, with a final maturity in early 2017.
Additionally, the new notes' proceeds will help GISA to meet more
comfortably the next bank loan principal maturities.
Liquidity
GISA's total debt currently amounts to USD 38 million, out of
which USD 30 million is the amount outstanding under the UBS AG
bank loan that the company incurred to finance the project (USD 60
million). The bank loan has an amortizing profile with scheduled
quarterly principal payments of USD 3.6 million beginning in
February 2015 through February 2016 with a final payment of USD 12
million in May 2016. The rest of the debt is comprised by the ARS
35 million notes issued last September and bank overdrafts (and
ARS 3.5 million outstanding of Class I Notes).
With the issuance of the new Class III notes, the company expects
to repay the scheduled bank debt and to fund its working capital
and investment needs for the next several quarters. Nevertheless,
later in 2015 and 2016 the company will need to access additional
refinancing to cover about 50% of the scheduled principal payments
on the outstanding UBS AG loan.
GISA expects to fund those needs through a combination of debt
(banks or notes) and loans from its parent. While the amounts to
be refinanced (approximately USD 15 million each year) are
manageable, access to the debt or bank markets in Argentina is
highly uncertain and GISA, as is the case with most companies in
Latam, has no access to any committed bank facility. On the other
hand, GISA's leverage is expected to be considerably lower towards
the end of 2015 and 2016 than it is, which should help to
facilitate the company's access to additional financing assuming
economic and market conditions are not materially different. In
addition, the parent company Albanesi S.A. has provided financial
support in the past not only to GISA but to other affiliated
companies. For example, during 2014 the parent provided funding to
GISA for approximately ARS 23 million. In the two previous years,
the parent's support to affiliated companies was also significant.
Cross default provisions contained in several of the group's loan
agreements also supports the idea of financial assistance from the
group in the case of need.
Rating Outlook
The negative outlook for GISA reflects Moody's negative outlook
for Argentina's Caa1 government bond rating due to the company's
significant exposure to CAMMESA.
What Could Change the rating --UP
GISA' Caa1 local currency rating is constrained by Argentina's
Caa1 foreign currency bond ceiling; therefore, GISA' ratings
would, most likely, be upgraded if Argentina's foreign currency
bond ceiling is upgraded.
An improved debt profile and sustained cash flow generation in
relation to debt would be also required for a rating upgrade.
Quantitatively, a rating upgrade would require cash from
operations - CFO pre WC to debt consistently above 25% and
interest coverage (FFO+ Interest to Interest) of more than 2.5
times on a sustainable basis.
What Could Change the rating -Down
Moody's notes that the creditworthiness of the company is highly
dependent on the credit quality of the Argentine government.
Therefore, a further rating downgrade of the sovereign would
likely result in negative rating actions for this company.
Additional pressure for a rating downgrade could occur if CFO pre-
WC to debt were to decline below 15% and interest coverage fell
below 1.5 times for an extended period. Unexpected changes to the
Res. 220 or Energia Plus market could also have negative
implications for the ratings. A significant delay on the payments
it receives from CAMMESA could also add pressure for a rating
downgrade.
Generacion Independencia S.A. (GISA) owns and operates a 120 MW
thermal power plant located in the Tucuman Province in the North-
West region of Argentina. GISA is controlled by Albanesi S.A. (not
rated), an Argentine holding company that owns and operates
approximately 900 MW of installed power capacity within the
country. In 2013, Albanesi's consolidated revenues in the
electricity market reached USD 250 million. Rafael G. Albanesi
S.A. (RGA), the biggest gas marketing company in Argentina (2013
revenues of USD 500 million) and Albanesi Inversora S.A. are also
key components of the "Albanesi Group".
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B R A Z I L
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CIMENTO TUPI: Fitch Cuts FC Issuer Default Rating to 'B-'
---------------------------------------------------------
Fitch Ratings has downgraded the following ratings of Cimento Tupi
S.A. (Tupi):
-- Foreign currency Issuer Default Rating (IDR) to 'B-' from 'B';
-- Local currency IDR to 'B-' from 'B';
-- Senior unsecured notes due 2018 to 'B-/RR4' from 'B/RR4';
-- Long-term National Rating to 'BB+(bra)' from 'BBB-(bra)'.
The Rating Outlook remains Negative.
The downgrade reflects the company's inability to delever or
improve its liquidity position despite solid growth in sales
volumes during 2014. Tupi's 'B-' ratings reflect its small
business position, high leverage and the volatility of its cash
flow generation due to the cyclicality of the cement industry.
KEY RATING DRIVERS
Liquidity Is Deteriorating:
Tupi's poor liquidity position has not improved during 2014. Tupi
had cash and equivalents of BRL53 million which compared
unfavorably to short-term debt of BRL129 million as of Sept. 30,
2014. The levels of short-term debt coverage as measured by cash
plus free cash flow (FCF)/short-term debt was -0.2x for latest 12
months (LTM) Sept. 30, 2014 compared to 0.0x at Dec. 31, 2013.
Sustained High Leverage:
Tupi has been unable to decrease its leverage since the completion
of its expansionary capex plan in 2013. Per Fitch's Methodology,
net leverage was 7.2x for the LTM period ended Sept. 30, 2014,
which compared unfavorably to net leverage of 6.9x at 2013. Fitch
believes the company will have a difficult time delevering its
business during 2015 as increasing cement sales volumes will not
generate enough cashflow to significantly change the financial
position of the company.
Negative Cash Flow:
Tupi generated cash flow from operations of negative BRL3.9
million for LTM ended Sept. 30, 2014 compared to negative BRL132
thousand for 2013 due to working capital needs and lower net
income. FCF has been negative for the past three years and Fitch
does not expect FCF to turn positive in 2015, hampering Tupi's
ability to restore its liquidity base.
Weak Business Profile:
Tupi's small production scale heightens the risk of its exposure
to the volatility of the cement industry. Tupi had a 2.7% market
share in the domestic market and 5.8% of market share in the
southwest region during 2013. Tupi has a higher cost structure
than the larger integrated Brazilian cement producers due to its
small size. The strong credit profile of these conglomerates may
allow them to pressure prices, which would negatively affect
Tupi's cash flow and ability to service its debt.
No Geographic Diversification:
Tupi's production facilities are concentrated solely in the
southeast region of Brazil, with operations in Minas Gerais, Rio
de Janeiro and Sao Paulo. As a result, revenue is concentrated in
these regions, with 58% of sales derived from retailers and
wholesalers. The lack of geographic diversification limits Tupi's
growth potential and also its ability to absorb market share loss
from bigger cement players.
Rating Sensitivities
Negative Rating Action:
Further downgrades could result from the company's inability to
reduce its high leverage position and improve its weak liquidity
position.
Positive Rating Action:
Key considerations for a positive rating action or outlook would
be a significant deleveraging process, coupled with stronger than
expected volume growth and solid operations over the medium term.
Fitch would consider a Stable Outlook if the company is able to
reduce and maintain its net leverage to around 5.5x and
significantly improve its liquidity position within the next six
to 12 months.
COMPANHIA DE SANEAMENTO: Moody's Affirms Ba1 Corp. Family Rating
----------------------------------------------------------------
Moody's America Latina Ltda. affirmed the Ba1 global scale, local
currency as well as the Aa2.br Brazilian national scale ("NSR"),
local currency corporate family ratings of Companhia de Saneamento
de Minas Gerais S.A.("COPASA"). In addition, Moody's affirmed the
Ba1 and Aa2.br global scale, local currency as well as the NSR,
local currency ratings, respectively, of COPASA's outstanding
BRL250 million senior unsecured, non-convertible debentures issued
in 2014 as well as the BRL400 million senior unsecured debentures
issued in 2012. At the same time, Moody's changed the outlook to
stable from positive for all ratings.
Ratings Rationale
The Ba1 and Aa2.br corporate family ratings reflect COPASA's
strong credit metrics for its rating category along with its
stable and predictable operating cash flows derived from long-term
concession contracts executed with 74% of the municipalities in
the State of Minas Gerais (Baa3 NEG), an above average operating
efficiency as compared with domestic peers, low delinquency rates,
secure access to adequate water supplies, diversified customer
base, and expected support from the State given COPASA's role as
provider of essential services. Moody's also expect that the
Company will continue to stay focused on its core business (i.e.
the provision of water and sewerage services) by continuing to
grow its portfolio of water and sewerage concessions and
customers, delivering high quality services in an efficient manner
to its customers.
Notwithstanding COPASA's stable operating cash flows, the change
of outlook to stable from positive reflects the fact that the
methodology for tariff review, which Moody's expected would have
been implemented in the first half of 2014, has not yet been
defined by the State regulatory agency, ARSAE-MG. In the meantime,
ARSAE-MG has temporarily set the productivity factor for tariff
adjustments to zero until the first tariff review takes place. At
the same time, COPASA's ratings continue to be somewhat
constrained by its large CAPEX investment program and the
potential political interference given the importance of the
services provided by COPASA to a large portion (70%) of the
State's population.
COPASA has invested, on average, around BRL800 -- 900 million per
year. This level of CAPEX is expected to continue in the near term
(2014/2015), stabilizing around BRL700 million per year
thereafter. Therefore, COPASA needs to continue to raise low cost,
long-tenor financing in line with the long term nature of its
CAPEX program.
The recent track record of tariff adjustments shows that, at least
since 2005, the State Government has supported COPASA by granting
adjustments indexed to domestic inflation (as measured by the IGPM
index). In 2009, the adjustment was suspended by the State's
courts until the state sector regulatory agency was created. In
2010, ARSAE-MG set a tariff adjustment of 3.96%. In 2011, ARSAE-MG
defined the parametric formula for tariff adjustments, but not the
formula for periodic tariff reviews. The tariff adjustment in 2011
was 7.02%. Thereafter, tariffs were adjusted by 4.34% in 2012,
5.25% in 2013 and 6.18% in 2014, indicating a relatively long,
positive track record of annual tariff adjustments being granted
by the regulator.
On September 16, 2014, while Moody's affirmed the State of Minas
Gerais' rating at Baa3 (global scale, local and foreign currency),
Moody's revised the outlook to negative from stable. In our view,
the reduction of economic growth perspectives in Brazil and the
ongoing deterioration of the sovereign's fiscal position have a
direct impact on the operating environment of Brazilian states and
municipalities. In addition, the fiscal position of Brazilian
states and municipalities could see some deterioration resulting
from our expectation of lower revenues, both own-source revenues
but also through a reduction of federal transfers. In the context
of expenditure rigidities, a sustained reduction in the revenue
stream would exert pressure on the credit quality of Brazilian
states and municipalities.
The State of Minas Gerais controls COPASA by holding 51.1% of its
voting shares. Consequently, COPASA is considered a Government-
Related Issuer (GRI) in accordance with Moody's rating methodology
entitled "The Application of Joint Default Analysis to Government-
Related Issuers". Moody's methodology for GRIs incorporates the
Company's stand-alone credit risk profile or Baseline Credit
Assessment (BCA) as well as the likelihood that a government would
provide support to the Company to help it meet its debt
obligations, when needed.
An upward rating action would require: (i) a stronger perceived
support from the State of Minas Gerais, given that COPASA is a
GRI; (ii) the implementation of a market-based tariff review
methodology; (iii) the perceived absence of political interference
in the sector's legal and regulatory framework; (iv) the continued
access to sources of financing in line with the long-term nature
of COPASA's business; and (v) credit metrics in line with the Baa3
rating category, according to our Global Regulated Water Utilities
methodology.
Conversely, downward rating pressure could result from: (i) tariff
adjustments that do not reflect, at a minimum, official inflation;
(ii) political interference which could affect COPASA's operating
and financial performance; (iii) weaker perceived support from the
State of Minas Gerais; (iv) deteriorating liquidity; (v)
deteriorating metrics as a result of increased leverage to finance
CAPEX and/or higher than historical dividend payments; or (vi)
challenging rainfall conditions, which could limit the supply of
water and sewerage services resulting in lower operating cash
flows.
Companhia de Saneamento de Minas Gerais S.A. -- COPASA was founded
in 1963. It is the second largest state water and sewage company
in Brazil, serving 14.9 million people, which corresponds to
approximately 70% of the total population of the State of Minas
Gerais, through its 48,151 km water distribution and 23,092 km
sewerage collection networks (as of September 2014). COPASA is
controlled by the State of Minas Gerais (Baa3/NEG), which owns
51.1% of COPASA's voting shares; the remaining are listed on the
domestic BM&FBOVESPA's stock exchange (Symbol: CSMG3). The
majority of the floated shares are held by foreign investors.
COPASA's customers are spread across 631 municipalities, which
corresponds to 74% of the State's 853 municipalities. COPASA has
concessions to operate water-only services in 343 municipalities,
and water and sewage services in 288 municipalities. COPASA fully-
owns three operating subsidiaries: (i) COPASA Aguas Minerais de
Minas S/A, which explores and commercializes mineral water;(ii)
COPASA Servicos de Saneamento Integrado do Norte e Nordeste de
Minas Gerais S/A - Copanor, which provides water and sewage
services to the northern region of MG; and (iii) COPASA Servicos
de Irrigacao S/A, which provides irrigation services for the Jaiba
project. In the first nine months of 2014 (9M2014), these
subsidiaries generated net operating revenues of BRL15.1 million,
which accounted for only 0.5% of COPASA's consolidated operating
revenues.
In the last twelve months (LTM) ended on September 30, 2014, the
population being supplied with water, increased by 453 thousand
inhabitants, representing growth of 3.1% compared to the same
period in 2013, reaching about 14.9 million inhabitants. This
increase was a result of water supply capacity expansions in
several municipalities. With respect to sewerage services, the
population being supplied increased from 9,234 thousand in 3Q2013
to 9,680 thousand in 3Q2014, representing an increase of 446
thousand in the number of people served, a growth of 4.8%. This
increase was a result of the implementation of sewerage systems in
several municipalities already being supplied with water.
In the last twelve months (LTM) ended on September 30, 2014 ,
COPASA had net operating revenues (excluding construction
revenues) from water and sewage services of about BRL3.15 billion,
an increase of 4.3% over net operating revenues in 2013 (BRL 3.02
billion). According to our standard adjustments, EBITDA stood
relatively flat at BRL1.21 billion in the LTM ended on September
30, 2014 versus BRL1.19 billion in the FY 2013, while net income
had a slight decrease to BRL402.8 million from BRL419.8 million in
the previous year.
PETROLEO BRASILEIRO: Sets New Daily Production Record
-----------------------------------------------------
EFE News report that Petroleo Brasileiro S.A. said it produced
2.286 million barrels of oil equivalent (boe) per day at the start
of this week, setting a new daily production record.
The new record was set on Dec. 21, Sunday, the company said,
according to RJR News.
Based in Rio de Janeiro, Brazil, Petroleo Brasileiro S.A. --
Petrobras (Brazilian Petroleum Corporation) -- explores for oil
and gas and produces, refines, purchases, and transports oil
and gas products. The Company has proved reserves of about 14.1
billion barrels of oil equivalent and operates 16 refineries, an
extensive pipeline network, and more than 8,000 gas stations.
As reported in the Troubled Company Reporter-Latin America on
Dec. 11, 2014, Moody's Investors Service lowered Petrobras'
Baseline Credit Assessment (BCA) to ba1 from baa3. The outlooks on
all of the ratings remain negative for Petrobras, Brazil's
national oil company.
==========================
C A Y M A N I S L A N D S
==========================
336226 LIMITED: Placed Under Voluntary Wind-Up
----------------------------------------------
At an extraordinary general meeting held on Oct. 31, 2014, the
shareholders of 336226 Limited resolved to voluntarily wind up the
company's operations.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidators are:
Rakia Turner
Carina Pires
c/o Steering Group S.A.
Telephone: + 44 1534 282276
Facsimile: + 44 1534 282400
13, Quai de I'lle CH-1211
Geneva 11
Switzerland
CIBC INDIA: Commences Liquidation Proceedings
---------------------------------------------
On Nov. 5, 2014, the shareholders of CIBC India Management I, LDC
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:
CIBC Private Equity Management, Inc.
Kathryn Casparian/Peter Martin
c/o CIBC World Markets Corp.
425 Lexington Avenue, 2nd Floor
New York
New York 10017
United States of America
Telephone: +1 (416) 594 7506
DRAX GROUP: Commences Liquidation Proceedings
----------------------------------------------
On Nov. 6, 2014, the shareholder of Drax Group 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:
Michael Iain Scott
c/o Drax Power Station, Selby
North Yorkshire YO8 8PH
England
Telephone: +1 (345) 914 6365
FF GLOBAL: Commences Liquidation Proceedings
--------------------------------------------
At an extraordinary general meeting held on Nov. 5, 2014, the
shareholders of FF Global Triggered Alpha Limited resolved to
voluntarily liquidate the company's business.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
DMS Corporate Services Ltd
c/o Nicola Cowan
DMS Corporate Services Ltd
dms House, 2nd Floor
P.O. Box 1344 Grand Cayman KY1-1108
Cayman Islands
Telephone: (345) 946 7665
Facsimile: (345) 949 2877
FY CONSULTING: Placed Under Voluntary Wind-Up
---------------------------------------------
On Nov. 6, 2014, the sole shareholder of FY Consulting Ltd
resolved to voluntarily wind up the company's operations.
Only creditors who were able to file their proofs of debt by
Dec. 8, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
Morval Bank & Trust Cayman Ltd.
c/o Cherrie Graham
Telephone: (345) 949-9808
Facsimile: (345) 949-9793/4
P.O. Box 30622, Grand Cayman KY1-1203
Cayman Islands
HERITAGE HEDGED: Commences Liquidation Proceedings
--------------------------------------------------
On Nov. 5, 2014, the sole shareholder of Heritage Hedged Equity
Fund, Ltd. resolved to voluntarily liquidate the company's
business.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidators are:
Peter Goulden
Mourant Ozannes Cayman Liquidators Limited
Attorneys-at-Law for the Company
Reference: NDL
Telephone: (+1) 345 949 4123
Facsimile: (+1) 345 949 4647; or
MORGAN STANLEY: Commences Liquidation Proceedings
-------------------------------------------------
On Nov. 5, 2014, the members of Morgan Stanley Global Emerging
Markets Holdings (Cayman) 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:
Yu Gao
International Commerce Centre, 40th Floor
1 Austin Road West, Kowloon
Hong Kong
P.O.S. LIMITED: Commences Liquidation Proceedings
-------------------------------------------------
On Oct.30, 2014, the shareholders of P.O.S. 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:
Sarah Treanor
Charles Adams Ritchie & Duckworth
122 Mary Street
PO Box 709 Grand Cayman KY1-1107
Cayman Islands
Telephone: (345) 949.4544
Facsimile: (345) 949.8460
PREMIUM GLOBAL: Commences Liquidation Proceedings
-------------------------------------------------
On Nov. 6, 2014, the sole shareholder of Premium Global Markets
Investment Fund resolved to voluntarily liquidate the company's
business.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
SCL Limited
Smeets Law (Cayman)
Reference: JAPF
Telephone: (+1) 345 815 2800
Facsimile: (+1) 345 947 4728
Suite 2206, Cassia Court
72 Market Street, Camana Bay
P.O. Box 32302 Grand Cayman KY1-1209
Cayman Islands
SESAME HOLDINGS: Commences Liquidation Proceedings
--------------------------------------------------
On Nov. 6, 2014, the members of Sesame Holdings Ltd resolved to
voluntarily liquidate the company's business.
Only creditors who were able to file their proofs of debt by
Dec. 16, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
Alexander Gustav Lennart West
2102 Prosperity Tower
39 Queen's Road Central
Hong Kong
TRIOAKS FUND: Commences Liquidation Proceedings
-----------------------------------------------
At an extraordinary general meeting held on Nov. 5, 2014, the
members of Trioaks Fund Ltd. resolved to voluntarily liquidate the
company's business.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
DMS Corporate Services Ltd
c/o Nicola Cowan
DMS Corporate Services Ltd
dms House, 2nd Floor
P.O. Box 1344 Grand Cayman KY1-1108
Cayman Islands
Telephone: (345) 946 7665
Facsimile: (345) 949 2877
TRIOAKS MASTER: Commences Liquidation Proceedings
-------------------------------------------------
At an extraordinary general meeting held on Nov. 5, 2014, the
members of Trioaks Master Fund Limited resolved to voluntarily
liquidate the company's business.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
DMS Corporate Services Ltd
c/o Nicola Cowan
DMS Corporate Services Ltd
dms House, 2nd Floor
P.O. Box 1344 Grand Cayman KY1-1108
Cayman Islands
Telephone: (345) 946 7665
Facsimile: (345) 949 2877
TUSKER INVESTMENT: Commences Liquidation Proceedings
----------------------------------------------------
At an extraordinary meeting held on Nov. 4, 2014, the members of
Tusker Investment Fund Offshore resolved to voluntarily liquidate
the company's business.
Only creditors who were able to file their proofs of debt by
Dec. 17, 2014, will be included in the company's dividend
distribution.
The company's liquidator is:
DMS Corporate Services Ltd
c/o Nicola Cowan
Telephone: (345) 946 7665
Facsimile: (345) 949 2877
dms House, 2nd Floor
P.O. Box 1344 Grand Cayman KY1-1108
Cayman Islands
US FUND: Placed Under Voluntary Wind-Up
---------------------------------------
On Nov. 4, 2014, the sole member of US Fund Investment Holding
Corp. resolved to voluntarily wind up the company's operations.
Only creditors who were able to file their proofs of debt by
Dec. 8, 2014, will be included in the company's dividend
distribution.
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
===============
C O L O M B I A
===============
COLOMBIA: Lowers 2015 GDP Growth Forecast to 4.2% Amid Oil Slump
----------------------------------------------------------------
Oscar Medina and Andrea Jaramillo at Bloomberg News report that
Colombia's economic growth will slow to 4.2 percent next year amid
lower prices of oil, the nation's biggest export, according to
President Juan Manuel Santos.
The government had previously expected the Andean economy to
expand 4.8 percent in 2015, according to Bloomberg News.
Colombia's gross domestic product will rise 4.7 percent this year,
President Santos said, Bloomberg News relays.
That pace would be the fastest among major Latin American
economies, according to analysts surveyed by Bloomberg.
"The situation next year won't be the same as this year, it will
be more difficult," President Santos said in a televised speech,
Bloomberg News discloses.
The price of crude, which accounts for more than half of
Colombia's exports, has fallen 47 percent in six months leading
the nation's currency to weaken and bonds to fall, Bloomberg News
notes. Colombia is prepared to face the COP9 trillion (US$3.8
billion) shortfall that it will face in 2015 due to lower oil
revenue, President Santos said, Bloomberg News relays.
Half of the funds will be covered with increased income from tax
changes approved by Congress this year, Bloomberg News says.
Reduced interest payments after a debt swap will cover the
remainder, President Santos said, notes the report. The country's
structural deficit will be 2.3 percent of GDP this year, meeting
the so-called Fiscal Rule, President Santos added, Bloomberg News
notes. While Colombia's 2015 budget gap will widen to 2.8 percent
of GDP, this won't entail increasing debt sales beyond current
plans, President said, Bloomberg News says.
About 20 percent of government revenue comes from oil.
=============
J A M A I C A
=============
JAMAICA: Further Decline in Oil Price Predicted
-----------------------------------------------
RJR News reports that another powerful signal has been sent that
that the price of oil will continue to plunge. Ali al-Naimi,
Saudi Arabia's Oil Minister, has declared that OPEC, the oil
producers' cartel, will not cut production, even if the price
falls to US$20 a barrel, according to RJR News.
The report notes that Ali al-Naimi's comments reinforce OPEC's
recent policy change away from restricting output as prices fall.
Last month, OPEC said it would keep its target output at 30
million barrels per day, the report relates.
While alternative sources of crude oil, such as shale and tar
sands, have caused a big increase in supply, some analysts argue
that the oil price collapse has more to do with falling demand,
due to a slowing global economy, the report discloses.
UC RUSAL: Paulwell Announces Alpart Decision
--------------------------------------------
RJR News reports that Phillip Paulwell, Jamaica's Minister of
Mining was to announce whether UC Rusal, the Russian aluminium
conglomerate, will meet the December 31 deadline to reopen one of
its plants in Jamaica.
Mr. Paulwell scheduled a press conference last Dec. 22, during
which he will say if Rusal will resume operations at the Alpart
plant, situated in the south western Jamaica parish of St.
Elizabeth, or have its mining rights revoked, according to RJR
News.
Mr. Paulwell has declined to disclose commitments, given by Rusal,
during a meeting last month on the future of Jamaica's
bauxite/alumina sector, the report relays.
* * *
As reported in the Troubled Company Reporter-Latin America on
March 31, 2014, RJR News said that UC Rusal reported a massive
increase in net losses in the year to December 31. This was due
mainly to a large impairment cost and one-off restructuring
charges combined with lower production and a fall in aluminum
prices. The report said the company reported a net loss of US$3.2
billion. It suffered a US$528 million loss in 2012.
===========
M E X I C O
===========
GRUPO FERTINAL: Moody's Withdraws Caa1 Corporate Family Rating
--------------------------------------------------------------
Moody's Investors Service withdrew the Caa1 corporate family
rating on Grupo Fertinal, S.A. de C.V. due to business reasons.
There were no ratings assigned to specific debt instruments.
Ratings Rationale
Moody's has withdrawn the rating for its own business reasons.
Moody's last rating action on Grupo Fertinal was on August 7, 2013
when the agency downgraded the corporate family rating to Caa1
from B2.
Grupo Fertinal, S.A. de C.V. produces various phosphate and
nitrogen-based fertilizers and related industrial products. The
company has a single fertilizer production site in an industrial
complex at the port of Lazaro Cardenas, Michoacan (on the west
coast of Mexico) and an underground phosphate mine in San Juan de
la Costa, Baja California Sur with a stated annual capacity of 5.2
million tonnes of phosphate ore or 2.1 million tonnes of phosphate
rock that supplies all of its phosphate rock needs. Fertinal had
revenues of approximately USD487 million during the twelve months
ended September 31, 2014.
MBIA MEXICO: Moody's Assigns Ba1.mx National Scale IFS Rating
-------------------------------------------------------------
Moody's de Mexico S.A. de C.V. has assigned a Ba1.mx national
scale insurance financial strength (IFS) rating to MBIA Mexico,
S.A. de C.V. (MBIA Mexico, B2 IFS, stable outlook).
Ratings Rationale
MBIA Mexico is fully owned by MBIA Insurance Corporation (MBIA
Corp., B2 IFS, stable outlook) a subsidiary of MBIA Inc. (NYSE:
MBI, Ba1, senior debt, negative outlook), the group's ultimate
holding company. "MBIA Mexico's rating is based primarily on the
explicit and implicit support provided by MBIA Corp." said Jos‚
Monta¤o, a Moody's analyst. Its rating is expected to remain
closely linked to that of its parent. Furthermore, the Ba1.mx
national scale rating is based on the application of Moody's
mapping for global and national scale ratings in Mexico.
Moody's said that the Ba1.mx national scale, and B2 global scale,
IFS ratings could be raised if MBIA Corp.'s financial profile,
including capital adequacy and liquidity, improved materially.
Conversely, the ratings could be lowered if insured risks at MBIA
Corp were to perform worse than expected and/or if MBIA Corp. were
to experience material liquidity stress.
The principal methodology used in this rating was Moody's Rating
Methodology for the Financial Guaranty Insurance Industry
published in September 2006.
The sources and items of information used to determine MBIA
Mexico's ratings include September 2014 financial statements
(source: Comision Nacional de Seguros y Fianzas (CNSF)).
The period of time covered in the financial information used to
determine MBIA Mexico's ratings are between 1 January 2008 and 30
September 2014 (source: Comision Nacional de Seguros y Fianzas
(CNSF)).
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 ".za" for South Africa. 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".
================================
T R I N I D A D & T O B A G O
================================
CARIBBEAN AIRLINES: Mulling Service to Cuba
-------------------------------------------
RJR News reports that Caribbean Airlines Limited is reportedly
looking at the possibility of providing service to Cuba.
Vasant Bharath, Trinidad & Tobago's Trade Minister, confirmed in a
statement that CAL could embark on flights to Cuba, now that
relations between that Caribbean island and the United States have
started to improve, according to RJR News.
The report notes that Caribbean Airlines, in a response to
Trinidad's Guardian newspaper, said as the entity continues to
work towards profitability, the management will review various
opportunities.
US President Barack Obama announced that steps had been taken
towards normalizing diplomatic and economic relations with Cuba,
the report notes.
No decision has been made yet, however, on the full lifting of the
economic embargo, the report relays. That's a measure that would
have to be authorized by the US Congress, the report adds.
About Caribbean Airlines
Caribbean Airlines Limited -- http://www.caribbean-airlines.com/
-- provides passenger airline services in the Caribbean, South
America, and North America. The company also offers freighter
services for perishables, fish and seafood, live animals, human
remains, and dangerous goods. In addition, it operates a duty
free store in Trinidad. Caribbean Airlines Limited was founded in
2006 and is based in Piarco, Trinidad and Tobago.
As reported in the Troubled Company Reporter-Latin America on July
11, 2014, Trinidad and Tobago Newsday said that Caribbean Airlines
is facing another loss. However, Finance Minister Larry Howai is
hopeful the loss could be narrowed down to less than TT$100
million, according to Trinidad and Tobago Newsday. Mr. Howai
noted the airline industry is not the easiest and many airlines
have gone bankrupt at some point.
Citing Caribbean360.com, the TCRLA on May 20, 2013, said Minister
Howai said Caribbean Airlines Limited recorded losses estimated at
US$70 million in 2012. In 2011, CAL had recorded losses of US43.7
million.
PETROTRIN: Can Function With Oil at US$40, Chairman Says
--------------------------------------------------------
Joel Julien at Trinidad Express reports that Petroleum Company of
Trinidad and Tobago (Petrotrin) can function with oil prices as
low as US$40 a barrel, and therefore there is no need to "panic"
at the moment, Chairman Lindsay Gillette has said.
We must however be "concerned" by the falling oil prices, Mr.
Gillette said, according to Trinidad Express.
The report notes that Mr. Gillette made the statement following
the East Brighton Block licence signing ceremony held at the
Ministry of Energy and Energy Affairs', Tower C of the
International Waterfront Centre in Port of Spain.
The 2014/2015 budget was calculated using an expected oil price of
US$80 a barrel based on the prices for crude oil at the West Texas
Intermediate (WTI) benchmark, the report notes.
As of Dec. 21, the oil price was US$55.68, the report relays.
"We have to be concerned about it (the falling oil price) but the
more oil we get the better it is for our refinery," the report
quoted Mr. Gillette as saying.
The report notes that Mr. Gillette said while the situation is a
cause for concern but there is no reason for any panic.
"I don't think we need to panic because Petrotrin is functional at
oil even at (US)$40 in terms of cash flow positive but it does
concern me from the point of view of taxes to the government but
then again our refinery with crude equity it really reduces the
price of our refining and increases our refining margin so what we
have to do is drill for more and more oil," Mr. Gillette said, the
report discloses.
"Anything that drops is a cause for concern, anything, but we just
have to buckle the hatches and really move forward," he added.
Energy Minister Kevin Ramnarine said multinational companies such
as BP, are not "easily rattled" and it is expected 2015 will be a
"fantastic year" for capital expenditure, the report notes.
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 Dec.
2, 2014, Trinidad and Tobago Newsday said that in the face of
falling global oil prices, which is beginning to impact on
Trinidad and Tobago's earnings from its petroleum resources,
Petroleum Company of Trinidad and Tobago has rolled out a plan to
remain viable and to survive in the harsh global oil industry.
Petrotrin said in a media release that it is forging ahead with
objective cost management decisions imperative to secure its
viability, according to Trinidad and Tobago Newsday. The report
said Petrotrin's operations have also been severely impacted due
to unfavorable margins.
The TCRLA reported on Jan. 21, 2014 that Trinidad Express, citing
Energy Minister Kevin Ramnarine, said Petrotrin will make a loss
for its 2013 financial year. According to Mr. Ramnarine,
Petrotrin was scheduled to make the loss even before the series of
oil spills affecting Trinidad's southwestern peninsula since
December, reports 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
202-362-8552.
* * * End of Transmission * * *