TCRLA_Public/150701.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, July 1, 2015, Vol. 16, No. 128



BANCO DE GALICIA: S&P Affirms 'CCC+' Rating; Outlook Negative
EMPRESA DISTRIBUIDORA: S&P Affirms 'CCC-' Rating; Outlook Negative


BAHA MAR: Case Summary & 20 Largest Unsecured Creditors


PETROLEO BRASILEIRO: Cuts Spending and Output Targets

C A Y M A N  I S L A N D S

BECKWOOD ESTATES: Shareholders' Final Meeting Set for July 16
BIOMED CAPITAL: Shareholders' Final Meeting Set for July 23
EMERALD INVESTMENTS: Shareholders Receive Wind-Up Report
FIREBIRD GLOBAL: Shareholders' Final Meeting Set for July 15
FIREBIRD GLOBAL II: Shareholders' Final Meeting Set for July 15

GASIAN INVESTMENTS: Shareholders Receive Wind-Up Report
GLOBAL COMMERCIAL: Members Receive Wind-Up Report
GREENHILL LTD: Members' Final Meeting Set for July 13
LEHMAN BROTHERS: Shareholders Receive Wind-Up Report
POLAR STAR: Shareholders' Final Meeting Set for July 23

D O M I N I C A N   R E P U B L I C

* DOMINICAN REPUBLIC: Has a RD$10BB Fund for Low-Cost Home Buyers


GRENADA: IMF Disburses US$2.8 Million Following Review Completion


JAMAICA: Analyst Agrees Further Currency Devaluation Necessary


GRUPO ELEKTRA: Fitch Affirms 'BB-' IDR; Outlook Stable
XIGNUX S.A.: S&P Affirms 'BB+' Corp. Credit Rating; Outlook Stable

P U E R T O    R I C O

ANNA'S LINENS: US Trustee Forms Seven-Member Creditors' Committee
BORDERS GROUP: Atty. Files Petition Over Unused Gift Cards in S.C.
PUERTO RICO: Gov. Calls for "Negotiated Moratorium" on Payments
PUERTO RICO: Fitch Cuts General Obligation, Debt Ratings to 'CC'

T R I N I D A D  &  T O B A G O

CARIBBEAN AIRLINES: Urged to Exploit New Agreement with Canada
TRINIDAD CEMENT: Fitch Ups Currency Issuer Default Ratings to 'B-'

                            - - - - -


BANCO DE GALICIA: S&P Affirms 'CCC+' Rating; Outlook Negative
Standard & Poor's Ratings Services said it affirmed its 'CCC+'
local currency and 'CCC-' foreign currency ratings on Banco de
Galicia y Buenos Aires S.A.  S&P also affirmed out 'CCC-' foreign
currency ratings on the bank's senior unsecured debt.  The outlook
remains negative.

"The local currency ratings on the sovereign limit the local
currency rating on Banco Galicia," Standard & Poor's credit
analyst Sofia Ballester said.  The 'CCC-' transfer and
convertibility (T&C) assessment on Argentina limits the foreign
currency ratings on the bank.  This assessment reflects S&P's view
of the likelihood of the sovereign restricting access to foreign
exchange that a nonsovereign needs to satisfy debt service

The negative outlook on the bank reflects the pressures of
sovereign distress on financial institutions operating in
Argentina.  The 'CCC-' transfer and convertibility (T&C)
assessment on Argentina limits S&P's foreign currency rating on
the bank, which would likely move in tandem with the T&C
assessment.  The local currency rating on Argentina also limits
the local currency rating on the bank.

S&P could revise the outlook on the bank to stable if the
sovereign distress pressures on domestic financial institutions

EMPRESA DISTRIBUIDORA: S&P Affirms 'CCC-' Rating; Outlook Negative
Standard & Poor's Ratings Services affirmed its 'CCC-' local and
foreign currency ratings on Empresa Distribuidora Y
Comercializadora Norte S.A. (EDENOR).  The outlook remains

S&P's 'CCC-' ratings on EDENOR reflect S&P's expectation that the
company will continue to post poor financial performance in the
second half of 2015, which could hinder its ability to continue
complying with its financial obligations in the short term.

The ratings also reflect Argentina's high regulatory risk, the
lack of clear tariff adjustment policy (tariff adjustments are
approved by the executive branch at its discretion), the company's
exposure to foreign exchange risk (because it generates cash in
Argentine pesos, while its debt is denominated in dollars), and
its "weak" liquidity position.  The mitigating factor is the
company's status as Argentina's largest electricity distribution
company and its exclusive concession to distribute electricity in
the northern and northwestern regions of greater Buenos Aires.


BAHA MAR: Case Summary & 20 Largest Unsecured Creditors
Debtor affiliates filing separate Chapter 11 bankruptcy petitions:

      Debtor                                       Case No.
      ------                                       --------
      Northshore Mainland Services Inc.            15-11402
      8403 Southpark Circle, Suite 670
      Orlando, FL 32819

      Baha Mar Enterprises Ltd.                    15-11403

      Baha Mar Land Holdings Ltd.                  15-11404

      Baha Mar Entertainment Ltd.                  15-11405

      Baha Mar Leasing Company Ltd                 15-11406

      Baha Mar Ltd.                                15-11407

      Baha Mar Operating Company Ltd.              15-11408

      Baha Mar Properties Ltd.                     15-11409

      Baha Mar Sales Company Ltd.                  15-11410

      Baha Mar Support Services Ltd.               15-11412

      BML Properties Ltd.                          15-11413

      BMP Golf Ltd.                                15-11414

      BMP Three Ltd.                               15-11415

      Cable Beach Resorts Ltd.                     15-11416

      Riviera Golf Ventures Ltd.                   15-11417

Type of Business: Baha Mar owns, and is in the final stages of
                  developing, a 3.3 million square foot resort
                  complex located in Cable Beach, Nassau, The

Chapter 11 Petition Date: June 29, 2015

Court: United States Bankruptcy Court
       District of Delaware (Delaware)

Judge: Hon. Kevin J. Carey

Debtors'            Paul S. Aronzon, Esq.
General             Mark Shinderman, Esq.
Counsel:            (Los Angeles)
                    601 S. Figueroa Street, 30th Floor
                    Los Angeles, CA 90017
                    Tel: 213.892.4000
                    Fax: 213.629.5063

                      - and -

                    Gerard Uzzi, Esq.
                    Thomas J. Matz, Esq.
                    Steven Z. Szanzer, Esq.
                    MILBANK, TWEED, HADLEY & MCCLOY LLP
                   (New York)
                    28 Liberty Street
                    New York, NY 10005
                    Tel: 212.530.5000
                    Fax: 212.530.5219

Debtors'            Laura Davis Jones, Esq.
Delaware            James E. O'Neill, Esq.
Counsel:            Colin R. Robinson, Esq.
                    Peter J. Keane, Esq.
                    919 North Market Street, 17th Floor
                    Wilmington, DE 19801
                    Tel: 302.652.4100
                    Fax: 302.652.4400

Debtors'            GLINTON SWEETING O'BRIEN

Debtors'            KOBRE & KIM LLP


Debtors'            MOELIS & COMPANY LLC
Banker and

Debtors'            PRIME CLERK LLC
Claims and

Total Assets: $3.1 billion

Total Liabilities: $2.7 billion

The petition was signed by Thomas M. Dunlap, authorized

Consolidated List of Debtors' 20 Largest Unsecured Creditors:

   Entity                          Nature of Claim   Claim Amount
   ------                          ---------------   ------------
CCA Bahamas Ltd.                    Construction      $72,635,100
Tiger Wu                              Payable
PO Box SP-64124
Nassau, Bahamas
Tel: (242) 677-9008
     (242) 359-1799
Fax: (201) 876-6737

Bahamas Electricity Corp.             Utility         $19,500,000
Attn: Legal Dept.
PO Box N-7509
Balliou & Tucker Roads
Nassau, Bahamas
Tel: (242) 302-1000
Fax: (242) 323-6852

Yates-Osprey J.V.                      Trade           $5,281,681
Attn: Legal Dept.
PO Box N-1254
17 Montrose Ave.
Nassau, Bahamas
Tel: (242) 356-7049
Fax: (242) 356-9086

Purchasing Solutions Intl Inc.         Trade           $5,251,393
Attn: Legal Dept.
6100 Western Place
Suite 901
Fort Worth, TX 76107
Tel: (817) 862-8774
Fax: (817) 862-9774

Schadler Kramer Group                Marketing         $3,944,489
Bing Opie
8912 Spanish Ridge Ave
Las Vegas, NV 89148
Tel: (702) 370-3513
Fax: (702) 478-4001

BW Dallas, LLC                         Trade           $2,954,336
Attn: Legal Dept.
2655 Crescent Dr. Suite A
Lafayette, CO 80026
Tel: (303) 530-3885
Fax: (303) 530-3959

TBI Caribbean Co. Ltd.                 Trade           $2,353,638
Attn: Legal Dept.
359 East St. South
Nassau, Bahamas

Suddath Global Logistics               Trade           $2,311,193
Attn: Legal Counsel
PO Box 10489
Jacksonville, FL 32247
Tel: (904) 352-2577 (Int'l)
     (888) 799-5033 FREE (US &

Cable Bahamas                         Utility          $1,435,631
Paul Lewis
PO Box CB-13050
Robinson Road at Marathon
Nassau, Bahamas
Tel: (242) 601-2200
Fax: (242) 356-8990

Cable Beach Resort                     Trade           $1,219,372
Association (M)
Richard English
Nassau, Bahamas
Tel: (242) 677-9030

Island Site Development                Trade           $1,153,050
Attn: Legal Counsel
PO Box SP-63796
Nassau, Bahamas
Tel: (242) 328-2025
Fax: (242) 601-0147

AECOM Technical Services               Trade           $1,140,512
Attn: Legal Dept.
800 Douglas Entrance
North Tower 2nd Floor
Coral Gables, FL 33134
Tel: (305) 444-4691
Fax: (305) 447-3580

Jaros Baum & Bolles Cns. Eng.          Trade           $1,099,805
Attn: Legal Dept.
80 Pine Street
New York, NY 10005
Tel: (212) 530-9300
Fax: (212) 269-5894

Terracon Consultants, Inc.             Trade           $1,082,294
Attn: Legal Dept.
18001 W. 106th Street, Suite 300
Olathe, KS 66061
Tel: (800) 593-7777 FREE
     (913) 599-6886

Bally Technologies                     Trade           $1,061,308
Attn: Legal Dept.
6601 S. Burmuda Road
Las Vegas, NV 89119-3605
Tel: (702) 584-7700
Fax: (702) 584-7710

New Continent Ventures, Inc. (M)       Trade           $1,011,773
Attn: Legal Dept.
590 W Peachtree St NW
Atlanta, GA 30308
Tel: (404) 815-2913
Fax: (404) 815-5012

Multimedia Games, Inc.                 Trade             $939,346
Attn: Legal Dept.
206 Wild Basin Road South
Building B, Suite 400
Austin, TX 78746
Tel: (512) 334-7500
     (855) 642-6247 FREE

Styleworks                             Trade             $896,511
Attn: Legal Dept.
6300 Canoga Ave.
Suite 620
Woodland Hills, CA 91367
Tel: (818) 883-1700
Fax: (818) 883-1701

Prodigios Interactivos S.A. (M)        Trade             $809,925
Attn: Legal Dept.
ParcBut, Carretera de
Valldemssa KM 7,4
Pama de Mallorca Baleares, 07120
Tel: 34 971 43 08
Fax: 34 971 43 86 52

SBE Hotel Group LLC                    Trade             $791,044
Chad Shin
800 Beverly Blvd
Los Angeles, CA 90048
Tel: (323) 330-8061
Fax: (323) 330-8083


PETROLEO BRASILEIRO: Cuts Spending and Output Targets
Sabrina Valle and Juan Pablo Spinetto at Bloomberg News report
that Petroleo Brasileiro S.A. cut spending and output targets by
at least a third as Brazil's state-controlled oil company gives up
its dream of being one of the world's biggest producers.

Capital expenditures through 2019 will be $130 billion, while
domestic oil production will average 2.8 million barrels a day in
2020, compared with a prior target of 4.2 million, the Rio de
Janeiro-based company said in a statement, according to Bloomberg
News.  The average spending estimate of three analysts surveyed by
Bloomberg was $136 billion.

Petroleo Brasileiro SA, as it's known formally, is focusing on
exploration and production, scaling back investment in refineries
that have become the subject of Brazil's biggest corruption
scandal at a time of slumping crude prices and development
bottlenecks, Bloomberg News notes.  Investors have been waiting
for clarity on how the world's most indebted oil company will fund
giant offshore fields without having to return to equity markets
to raise cash, Bloomberg News relates.

In 2010, it held a $70 billion share sale, the world's largest,
and failed to deliver on promised growth.

"For the first time in many years we see a business plan that fits
the company's reality and international scenario," Adriano Pires,
the head of Rio-based infrastructure consulting firm CBIE, told
Bloomberg News by telephone.  "It shows this management has a

                         Production Targets

Shares of Brazil's top oil producer dropped 3.5 percent to close
at BRL12.75 in Sao Paulo on June 29, extending a drop in the past
12 months to 26 percent, notes the report.

Petrobras is focused in cutting its debt burden, which reached
uncomfortable levels after missing targets in recent years, Chief
Executive Officer Aldemir Bendine said, Bloomberg News relays.

"It's a challenge but it's a realistic challenge," Mr. Bendine
said in a press conference at company's headquarters in Rio de
Janeiro, Bloomberg News notes.  "This plan is quite feasible," he

Bloomberg News relays that Petrobras, whose total debt stands at
$125 billion, joins other oil companies in cutting spending after
Brent prices dropped by more than half in the past year.

The plan is based on the company not losing money from selling
imported fuel in Brazil, Petrobras said, after it lost about $40
billion between 2011 and 2014 because it subsidized gasoline
prices, Bloomberg News discloses.

'New Reality'

The company expects Brent prices of $60 a barrel in 2015 and $70 a
barrel from 2016 to 2019, it said on June 29's filing, Bloomberg
News notes.

"What we are doing is to adapt Petrobras to a new reality in the
oil and gas market," Mr. Bendine said.  "A barrel at $60 to $70 is
very good for the company, but it's not $120," notes Bloomberg

Petrobras is planning $42.6 billion in divestments and
restructuring in 2017-2018 and boosted expected asset sales to
$15.1 billion for this year and next, Bloomberg News notes.  The
company is also looking to trim its net debt to ebitda ratio, a
measure of leverage, below 3 times by 2018 and 2.5 times by 2020,
it said, Bloomberg News relays.

"Divestitures and a capital increase are the only remaining ways
that Petrobras can resolve its existing financial leverage
problems," said Auro Rozenbaum, a Sao Paulo-based analyst from
Bradesco BBI SA, Bloomberg News says.  "We continue to recommend
that investors should consider avoiding the stock as we find it
hard to see the company's financial puzzle being resolved in the
short term," Mr. Rozenbaum added.

                   About Petroleo Brasileiro

Based in Rio de Janeiro, Brazil, Petroleo Brasileiro S.A. --
Petrobras (Brazilian Petroleum Corporation) -- explores for oil
and gas and it 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
March 12, 2015, Moody's Investors Service said the corruption
investigation into Petroleo Brasileiro S.A. (Petrobras) will
negatively affect parts of the public and private sectors, but
government support for the company is likely to help contain the
credit-negative impact.

On March 6, 2015, the TCLRA reported that the deepening
investigation into the alleged kickback scheme at Petrobras has
triggered concerns for the Brazilian banks with exposures not only
to the state-controlled oil company, but also to its large base of
suppliers, as well as the broader oil and gas (O&G) and
construction industries, says Moody's Investors Service.

Moody's Investors Service downgraded all ratings for Petrobras,
including a downgrade of the company's senior unsecured debt to
Ba2 from Baa3, and assigned a Ba2 Corporate Family Rating to the
company, the TCRLA reported on Feb. 27, 2015.  Its failure to
estimate its losses from the alleged corruption scheme and produce
audited third-quarter results prompted Moody's to cut its rating
to junk, the report said.

Rival agency Standard & Poor's delivered a further blow on March
23 when it revised its outlook on the company from stable to
negative, the TCRLA reported on March 26, 2015.

On Feb. 10, 2015, TCRLA said Fitch Ratings has downgraded the
foreign and local currency Issuer Default Ratings (IDRs) and
outstanding debt ratings of Petrobras to 'BBB-' from 'BBB'.
Concurrently, Fitch has placed all of Petrobras' international and
national scale ratings on Rating Watch Negative.

C A Y M A N  I S L A N D S

BECKWOOD ESTATES: Shareholders' Final Meeting Set for July 16
The shareholders of Beckwood Estates Ltd. will hold their final
meeting on July 16, 2015, at 9:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Matthew Wright
          c/o Omar Grant
          Telephone: (345) 949-7576
          Facsimile: (345) 949-8295
          P.O. Box 897
          Windward 1, Regatta Office Park
          Grand Cayman KY1-1103
          Cayman Islands

BIOMED CAPITAL: Shareholders' Final Meeting Set for July 23
The shareholders of Biomed Capital Management will hold their
final meeting on July 23, 2015, at 4:00 p.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

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

EMERALD INVESTMENTS: Shareholders Receive Wind-Up Report
The shareholders of Emerald Investments received on June 30, 2015,
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Matthew Wright
          c/o Omar Grant
          Telephone: (345) 949-7576
          Facsimile: (345) 949-8295
          P.O. Box 897 Windward 1
          Regatta Office Park
          Grand Cayman KY1-1103
          Cayman Islands

FIREBIRD GLOBAL: Shareholders' Final Meeting Set for July 15
The shareholders of Firebird Global Fund, Ltd. will hold their
final meeting on July 15, 2015, at 10:30 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Matthew Wright
          c/o Omar Grant
          Telephone: (345) 949-7576
          Facsimile: (345) 949-8295
          P.O. Box 897 Windward 1
          Regatta Office Park
          Grand Cayman KY1-1103
          Cayman Islands

FIREBIRD GLOBAL II: Shareholders' Final Meeting Set for July 15
The shareholders of Firebird Global Fund II, Ltd. will hold their
final meeting on July 15, 2015, at 10:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Matthew Wright
          c/o Omar Grant
          Telephone: (345) 949-7576
          Facsimile: (345) 949-8295
          P.O. Box 897 Windward 1
          Regatta Office Park
          Grand Cayman KY1-1103
          Cayman Islands

GASIAN INVESTMENTS: Shareholders Receive Wind-Up Report
The shareholders of Gasian Investments Limited received on
June 30, 2015, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Krys Global VL Services Limited
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237 Grand Cayman KY1-1205
          Telephone: (345) 947 4700

GLOBAL COMMERCIAL: Members Receive Wind-Up Report
The members of Global Commercial Real Estate (Cayman) Inc.
received on June 30, 2015, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Krys Global VL Services Limited
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237 Grand Cayman KY1-1205
          Cayman Islands
          Telephone: (345) 947 4700

GREENHILL LTD: Members' Final Meeting Set for July 13
The members of Greenhill Ltd. will hold their final meeting on
July 13, 2015, at 10:00 a.m., to receive the liquidator's report
on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          Paulo Carvalhinha
          Telephone: +55 11 2601-0452
          Harbour Place, 4th Floor
          103 South Church Street
          P.O. Box 10240 Grand Cayman KY1-1002
          Cayman Islands

LEHMAN BROTHERS: Shareholders Receive Wind-Up Report
The shareholders of Lehman Brothers Real Estate Japan Limited
received on June 30, 2015, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Krys Global VL Services Limited
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237 Grand Cayman KY1-1205
          Telephone: (345) 947 4700

POLAR STAR: Shareholders' Final Meeting Set for July 23
The shareholders of Polar Star Capital Partners will hold their
final meeting on July 23, 2015, at 4:00 p.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

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

D O M I N I C A N   R E P U B L I C

* DOMINICAN REPUBLIC: Has a RD$10BB Fund for Low-Cost Home Buyers
Dominican Today reports that the Dominican Republic Monetary Board
tentatively authorized financial intermediaries to accept
fiduciary guarantees to grant mortgage loans on projects carried
out with public-private trust programs whose land still lack
definitive titles.

The measure forms part of a package of amendments which the Board
submitted at its meeting, on rules to evaluate assets and limits
on credit concentration, according to Dominican Today.

In a statement the Central Bank lists the scope, benefits and
Boards motivation behind the decision, the report notes.  It said
the document aims to apprise the financial intermediaries,
economic agents and the public in general, the report relates.

"In its last meeting the Monetary Board proposed important
regulatory changes to evaluate assets and (place) limits on the
concentration of loans to facilitate access to bank credit for
construction projects of affordable housing, infrastructure and
road grids and productive sectors in general," the Central Bank
said, the notes report. "This decision motorizes this Monetary
Board resolution which calls for the use of up to RD$10.0 billion
of the reserve of banks and savings and loans associations to be
destined to finance temporary and later definitive loans of up to
RD$2.4 million for buyers of low cost homes which are built under
the formula of trust."


GRENADA: IMF Disburses US$2.8 Million Following Review Completion
The Executive Board of the International Monetary Fund (IMF)
completed the second review of Grenada's economic performance
under a three-year program supported by an arrangement under the
Extended Credit Facility (ECF).  The completion of the review
enables the disbursement of SDR 2 million (about US$2.8 million),
bringing total disbursements under the arrangement to SDR 6.04
million (about US$8.5 million).

The ECF arrangement in the amount equivalent to SDR 14.04 million
(then about US$21.7 million, or 120 percent of Grenada's quota at
the IMF) was approved by the Executive Board on June 26, 2014.

Following the Executive Board's discussion on Grenada, Mr. Min
Zhu, Deputy Managing Director and Acting Chair, said:

"The Grenadian authorities have achieved important results in the
context of their Fund-supported economic program. Fiscal targets
have been exceeded, important reforms of the fiscal policy
framework have been put in place, and significant progress has
been made in restructuring public debt.  Stronger economic
activity has supported program implementation, although
unemployment remains elevated. Maintaining social cohesion and
support from all stakeholders remains critical to completing the
reforms and putting Grenada on a higher, sustainable, and more
inclusive growth path.

"Grenada is well advanced in its ambitious fiscal adjustment and
in restoring debt sustainability.  Safeguarding the fiscal
performance achieved thus far and carefully monitoring budget
execution will help achieve this year's fiscal objectives. A final
round of adjustment will be needed, as planned, to achieve the
program's fiscal targets for 2016.  An agreement on debt relief
with the remaining stakeholders will be necessary to return public
debt to a sustainable level.

"Recent reforms to the fiscal policy framework are a major step
forward to promote durable fiscal discipline and support debt
sustainability over the medium-term.  The comprehensive reforms
include the introduction of fiscal responsibility and public debt
management legislation, and reforms of the tax incentive regime
and of the framework governing state-owned enterprises and other
parastatal entities.

"In the context of the exchange rate peg, continued structural
reforms are needed to strengthen competitiveness and boost
potential growth. These reforms should focus on lowering
production costs, including in the energy sector, and improving
the investment environment.  Strengthening social protection
programs should aim at promoting inclusive growth.

"Good progress has been achieved in advancing the regional
strategy to strengthen the banking system, coordinated by the
Eastern Caribbean Central Bank. Full implementation of the
strategy will be essential to preserving financial stability."


JAMAICA: Analyst Agrees Further Currency Devaluation Necessary
RJR News reports that Financial Analyst Dr. Adrian Stokes has
characterized the International Monetary Fund's recommendation
that the Jamaican dollar be further depreciated as not unusual.

The recommendation is included in the IMF's latest report on the
country's progress under the four-year extended fund facility,
according to RJR News.

Dr. Stokes told RJR News that the Jamaican currency was expected
to lose further ground.

"So long as our inflation continues to be higher than that of
U.S., then the Jamaican dollar should depreciate in line with
that," Dr. Stokes said, the report notes.

Failure to achieve that realignment, he said, the Jamaican
currency will remain over-valued, "and then that reduces the
competitiveness of the (Jamaican) economy," Dr. Stokes said, the
report relates.

In its appraisal of Jamaica, the IMF said further slides in the
value of the dollar remain necessary, if the country is to
safeguard the hard earned gains in competitiveness, notes the

The recommendation, released two weeks ago, also pointed out the
risks the currency faces from a possible upswing in the price of
oil and the recent strengthening of the U.S. dollar, the report

Since the start of the year the Jamaican dollar has lost two
percent of its value, the report adds.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 5, 2015, Standard & Poor's Ratings Services raised its long-
term foreign and local currency sovereign credit ratings on
Jamaica to 'B' from 'B-'.  In addition, S&P affirmed the 'B'
short-term ratings on Jamaica.  The outlook on the long-term
ratings is stable.  S&P also raised the transfer and
convertibility assessment to 'B+' from 'B'.


GRUPO ELEKTRA: Fitch Affirms 'BB-' IDR; Outlook Stable
Fitch Ratings has affirmed the 'BB-' foreign currency and local
currency Issuer Default Ratings (IDR), as well as the 'A(mex)'
long-term National Scale rating of Grupo Elektra, S.A.B. de C.V.
(Elektra). The Rating Outlook is Stable. A full list of rating
actions follows at the end of this press release.

The rating actions reflect higher leverage in the retail segment
(excluding banking subsidiaries), due to several reasons such as
lower revenues and margins in the past few years when compared
with a peak in 2012 and devaluation of the Mexican peso, that are
countered by a stronger credit profile of Banco Azteca S.A. (BAZ;
rated 'A+(mex)' and 'F1(mex)' by Fitch) and sound liquidity.

Elektra's ratings are supported by its operation's geographical
diversification; its market position both in the retail and
finance business, as one of the main Mexican department store
chains, an operational and financial linkage with BAZ, as well as
a sizable liquidity position. Elektra's ratings take into account
high leverage, unhedged debt totalling USD550 million due 2018
balanced by cash flows from U.S. operations and money transfer
fees collected in USD, and an improved financial flexibility from
more concentrated funding five years ago. The ratings also
consider the controlling ownership by the Salinas family.


Retail Sales Recovering

Revenue decline in the retail division during 2013 seems to have
been arrested. For the last 12 months (LTM) ended March 31, 2015,
retail sales were MXN24 billion, a 20% increase versus the first
quarter of 2014 (1Q14). Growth was driven by strong performance in
motorcycle sales, as well as new revenues generated by Blockbuster
Mexico. Fitch believes that the retail operation, by diversifying
geographically across Latin America, somewhat mitigates revenue
concentration (operations in Mexico, both retail and financial,
generate about 75% of the Group's consolidated revenues).

BAZ Supports Elektra's Ratings

BAZ's ratings consider the bank's robust franchise in its main
market, consumer loans, giving it a considerable competitive
advantage, as well as its still high and stable interest margins,
despite drops in 2014. Furthermore, they incorporate the bank's
adequate ability to absorb losses, its solid funding structured
through an ample, stable, diversified and low-cost base of core
customer deposits. Its adequate capitalization ratios, which has
benefited from the slow growth of its loan portfolio in 2014, also
support the ratings.

Leverage Expected to Decline Gradually

The retail operation's leverage (excluding BAZ and other Latin
American financial businesses, and including Advance America
(AEA)) is expected to decline gradually as a consequence of
improved results from both retail and AEA and expectation of
slightly lower debt levels. Fitch estimates that total adjusted
debt-to-EBITDAR and debt-to-EBITDA (March 31, 2015 on an LTM basis
and excluding non-cash items) are about 4.8x and 3.5x,
respectively, an increase from 4.3x and 3.1x a year before. Also,
for March 31, 2015 LTM, adjusted net debt-to-EBITDAR is estimated
to be around 3.6x.

As of March 2015, the retail business' total debt (excluding BAZ
and other financial businesses) was MXN17.7 billion, down from
MXN18.1 billion in the same period the previous year. Debt is
composed of bank loans, local and international debt issuances and
local structured issuances and is expected to be around MXN17
billion by year-end 2015. Furthermore, Fitch estimates off-
balance-sheet debt related to operating leases at about MXN21.7


Fitch's key assumptions within the rating case for the issuer

-- Consolidated EBITDA margins in the low teens;
-- Consolidated EBITDA above MXN9 billion;
-- Dividend payments growing about the Mexican inflation rate.


Future developments that may, individually or collectively, lead
to negative rating actions include sustained adjusted debt to
EBITDAR above 5.0x due to operational trends or further MXN
devaluation, sustained adjusted net debt to EBITDAR above 4.0x
(including readily available cash equivalents, as per Fitch's
calculations), a breach of covenants, as well as deterioration in
Banco Azteca's creditworthiness.

Factors that may, individually or collectively, lead to positive
rating actions include a sustained decrease in adjusted leverage
and adjusted net leverage to levels of about 3.5x and 3.0x over
time, respectively, due either to an increase in retail sales and
EBITDA or through debt reduction. Other factors would be a
strengthening of the bank's creditworthiness coupled with
stabilization and recovery of the retail operations' revenue and
cash flow dynamics.


Elektra's liquidity position is sound. As of March 31, 2015, cash
for the retail division was MXN5.6 billion. Fitch takes into
account that Elektra's MXN13 billion marketable financial
instruments portfolio could partially provide liquidity against
short-term debt of MXN7.6 billion. In 2015, Elektra has paid
annual dividends of MXN563 million and Fitch expects for this
amount to increase broadly in line with inflation for following


Fitch has affirmed the following ratings:

Grupo Elektra, S.A.B. de C.V.

-- Foreign and local currency Issuer Default Rating (IDR)
    at 'BB-';
-- Long-term National Scale rating at 'A(mex)';
-- Short-term National Scale rating at 'F2(mex)';
-- USD550 million senior notes due 2018 at 'BB-';
-- MXN7.6 billion long-term Certificados Bursatiles issuances
    (ELEKTRA13, ELEKTRA14 and ELEKTRA14-2) at 'A(mex)';
-- Short-term portion of Certificados Bursatiles program for up
    to MXN10 billion at 'F2(mex)'.

The Rating Outlook is Stable.

XIGNUX S.A.: S&P Affirms 'BB+' Corp. Credit Rating; Outlook Stable
Standard & Poor's Ratings Services affirmed its 'BB+' global scale
corporate credit rating and its 'mxA-1' short-term corporate and
debt national scale ratings on Xignux S.A. de C.V.  At the same
time, S&P raised its national scale corporate credit rating to
'mxAA-' from 'mxA+'.  The outlook remains stable.

The rating actions reflect the company's efforts to diversify and
strengthen its operations amid more challenging macroeconomic
conditions and lower copper prices.  Moreover, Xignux has paid
down about $50 million in debt, which has allowed its ratios to
remain in line with its "significant" financial risk profile,
although Mexican peso's depreciation was a mitigating factor.  It
also reflects S&P's expectation that the copper prices will
recover in the next two years, which will improve the company's
margins and thus leverage metrics.

Xignux's "fair" business risk profile reflects mainly S&P's view
of the company's significant shares in most of its markets
(particularly cables and wires and power and distribution
transformers), its stable food business segment, its improving
operations and competitiveness, and its revenue stream strengthens
the company's financial performance.  The assessment also reflects
the company's wider geographic and product portfolio
diversification and customer base expansion.  The mitigating
factors are the cyclicality of most of the company's end markets,
exposure to raw-material price volatility (particularly for
copper), product concentration of revenues with about 73% in the
cable business, and weak profitability as seen in its single-digit
EBITDA margins.

The "significant" financial risk profile reflects Xignux's
consistent cash flow generation, some reduction in debt, and key
credit metrics in line with its financial risk profile.  This
results from the company's prudent financial policy, revamping of
its food business, and continued operating efficiencies and cost

P U E R T O    R I C O

ANNA'S LINENS: US Trustee Forms Seven-Member Creditors' Committee
The U.S. trustee overseeing the Chapter 11 case of Anna's Linens
Inc. appointed seven creditors to serve on the official committee
of unsecured creditors.

The unsecured creditors' committee is composed of:

     (1) Shewak Lajwanti Home Fashions, Inc.
         Bhart Manwani
         5601 S. Downey Rd.
         Vernon, CA 90068

     (2) Brixmor Property Group, Inc.
         Michael Moss or Matthew Berger
         420 Lexington Avenue, 7th Floor
         New York, NY 10170

     (3) Roind Hometex Co, Ltd.
         Feng Huang
         91 E. Zhongxing Rd.
         Luoshe Town, Wuxi, Jiangsu
         China, 214187

     (4) Welcome Industrial Corp.
         John Morgenson
         2724 N. 1825 E.
         Layton, UT 84040

     (5) S. Lichtenberg & Co., Inc.
         Michael Lichtenberg
         295 Fifth Ave.
         Suite 918
         New York, NY 10016

     (6) P and A Marketing
         Andy Pisciona
         10 Crescent Drive
         Albertson, NY 11507

     (7) Greenleaf Advertising & Media, Inc.
         Kevin White
         6-1 Silveron Blvd., Suite 200
         Flower Mound, TX 75028

Official creditors' committees have the right to employ legal and
accounting professionals and financial advisors, at a debtor's
expense.  They may investigate the debtor's business and financial
affairs.  Importantly, official committees serve as fiduciaries to
the general population of creditors they represent.

                       About Anna's Linens

Anna's Linens is a specialty retailer offering home textiles,
furnishings and decor at attractive prices.  Headquartered in
Costa Mesa, California, operates a chain of 268 company owned
retail stores throughout 19 states in the United States (including
Puerto Rico and Washington, D.C.) generates over $300 million in
annual revenue and employs a workforce of over 2,500 associates.

Anna's Linens sought Chapter 11 bankruptcy protection (Bankr. C.D.
Cal. Case No. 15-13008) in Santa Ana, California, on June 14,

The case is assigned to Judge Theodor Albert.  The Debtor tapped
Levene, Neale, Bender, Yoo & Brill LLP as counsel.  The Debtor
estimated assets of $50 million to $100 million and debt of $100
million to $500 million.

BORDERS GROUP: Atty. Files Petition Over Unused Gift Cards in S.C.
Sara Randazzo, writing for The Wall Street Journal, reported that
a Chicago plaintiff has filed a petition with the U.S. Supreme
Court, making a last-ditch effort to recover some value for
holders of gift cards sold by Borders Group.

According to the Journal, the petition, filed by attorney Clinton
Krislov, is the last chapter in a long-running fight over whether
the gift-card holders waited too long to try to turn their credits
into cash.  The Journal pointed out that the defunct retailer
estimates customers never redeemed 17.7 million gift cards worth
$210.5 million by the time it shut its doors in September 2011.

As previously reported by The Troubled Company Reporter, the U.S.
Court of Appeals for the Second Circuit, in November last year,
sided with two lower courts and ruled that a group of Borders
customers waited too long to raise their claims for the unused
gift cards.

                        About Borders Group

Borders Group operated book, music and movie superstores and mall
based bookstores under the Borders, Waldenbooks, Borders Express
and Borders Outlet names, as well as Borders-branded airport
stores in the United States.  At Jan. 29, 2011, the Company
operated 639 stores in the United States and 3 in Puerto Rico.
The Company also operated a proprietary e-commerce Web site -- launched in May 2008, which included
both in-store and online e-commerce components.  As of Feb. 11,
2011, Borders employed a total of 6,100 full-time employees,
11,400 part-time employees, and roughly 600 contingent employees.

Borders Group Inc. and its affiliates filed for Chapter 11
protection (Bankr. S.D.N.Y. Case No. Lead Case No. 11-10614) in
Manhattan on Feb. 16, 2011.  David M. Friedman, Esq., David S.
Rosner, Esq., Andrew K. Glenn, Esq., and Jeffrey R. Gleit, Esq.,
at Kasowitz, Benson, Torres & Friedman LLP, in New York, served as
counsel to the Debtors.  Jefferies & Company's Inc. served as the
financial advisor.  DJM Property Management is the lease and real
estate services provider.  AP Services LLC served as the interim
management and restructuring services provider.  The Garden City
Group, Inc., acted as the claims and notice agent.

Attorneys at Morgan, Lewis & Bockius LLP, and Riemer & Braunstein
LLP, served as counsel to the DIP Agents.  Lowenstein Sandler
represented the official unsecured creditors committee for Borders

The Debtor disclosed $1.28 billion in assets and $1.29 billion in
liabilities as of Dec. 25, 2010.

Borders selected proposals by Hilco and Gordon Brothers to conduct
going out of business sales for all stores after no going concern
offers of higher value were submitted by the deadline.

In January 2012, Borders' First Amended Joint Chapter 11 Plan of
Liquidation became effective, and the Company emerged from Chapter
11 protection.  The Court confirmed the Plan filed by the Debtors
and the Official Committee of Unsecured Creditors at a Dec. 20,
2011 hearing.

The Debtors have been renamed BGI Inc.

Curtis R. Smith has been appointed as Liquidating Trustee of the
BGI Creditors' Liquidating Trust.  He is represented by Bruce
Buechler, Esq., Bruce S. Nathan, Esq., and Andrew Behlmann, Esq.,
at Lowenstein Sandler LLP.

PUERTO RICO: Gov. Calls for "Negotiated Moratorium" on Payments
EFE News reports that Puerto Rico Gov. Alejandro Garcia Padilla on
June 29 disclosed his intention to call together the island's
creditors and bondholders to seek a "negotiated moratorium"
lasting several years on paying its huge debt, which has choked
the public finances in an economy that has been practically
stalled for the past 20 years.

In a televised message, Garcia Padilla said that without
aggressive growth in production the island will never get out of
the vicious cycle of contraction, emigration, austerity and taxes,
and he explained that the situation is unsustainable and that the
moment has come to safeguard economic growth, according to EFE

"We've done everything that was in our power," Mr. Padilla said,
"but the next step must be to achieve more favorable terms for
paying off the $72 billion public debt, and he warned that
bondholders are also responsible for the current situation," notes
the report.

In his televised address, which was broadcast an hour after it had
been scheduled, he acknowledged that the measures taken during his
two years in office had not been enough to reactivate the island's
economy and bring its finances back into good health, the report

However, Mr. Padilla said that all the measures taken over the
past two years demonstrate Puerto Rico's willingness to pay off
its debt and, if they had not been taken, the government would not
be in a position to demand its restructuring, the report

But Mr. Padilla ruled out reducing the minimum wage and said he
will defend jobs as a key objective, going against some of the
recommendations made by a group of experts headed by former World
Bank chief economist Anne Krueger, notes the report.

Mr. Padilla said that the island needs a restructuring and
development plan and if one is not achieved, the alternative would
be to default on the debt with all the negative consequences that
implies, the report discloses.

Garcia Padilla also said that conversations would be initiated to
transparently achieve a restructuring of the public debt, along
with a negotiated moratorium with the bondholders to extend the
number of years within which the debt must be retired so that the
money that would otherwise go to those payments "may be invested
here in Puerto Rico," the report relays.

Mr. Padilla also asked Washington to include Puerto Rico in the
bankruptcy law, to help with paying for improvements in public
health and providing tools to help the island attract
manufacturing investment, and he said that the private sector, not
the government, must be the main driver of job creation, the
report notes.

In an interview published in The New York Times, Garcia Padilla
had acknowledged that the island's debt is "not payable" and said
he believes the time has come to pull this U.S. commonwealth out
of the "death spiral" into which its public finances have plunged
it, the report says.

The governor also said that he was set to announce his decision to
seek the restructuring of the debt, which now tops $72 billion,
the report notes.

Mr. Padilla's statement that "the debt is not payable . . . this
is not politics, this is math" is an admission that Garcia Padilla
refused to make up to now, and which leaves the island in limbo,
as U.S. legislation does not give the Puerto Rican administration
the option of filing for bankruptcy, notes the report.

The interview took place last week, but was published to coincide
with Garcia Padilla's plan to release the results of the report
prepared by former officials of the International Monetary Fund
and the World Bank, in which they concluded, according to the
daily, that "the debt load is unsustainable."

With this interview, the government appeared to prepare the way
for its announcement on June 29 of its intention to postpone and
renegotiate payment of the debt, a decision that, in the words of
the daily, "will probably have wide-reaching financial
repercussions," the report says.

The decision coincides with the deepening crisis in Greece, also
the result of the government's debt load, which makes comparisons
inevitable, the report discloses.

"My administration is doing everything not to default, but we have
to make the economy grow.  If not, we will be in a death spiral,"
Garcia Padilla told the daily, which recalled that the island,
with its population of 3.6 million, accumulates more debt than any
state in the U.S., the report adds.

PUERTO RICO: Fitch Cuts General Obligation, Debt Ratings to 'CC'
Fitch Ratings has downgraded the Commonwealth of Puerto Rico's
general obligation (GO) and related debt ratings to 'CC' from 'B'.
The ratings remain on Rating Watch Negative. The complete list of
affected credits is included at the end of this release.

The downgrade of the ratings to 'CC', which indicates Fitch's
belief that default of some kind appears probable, is based on
public comments by the governor supporting the broad debt
restructuring strategy included in an external report released
this morning by GDB.

Fitch no longer believes that the commonwealth views GO debt as
worthy of the higher level of protection that to date has been
assumed due to the very strong legal pledge and repeated public
statements to this effect. As it is difficult at this point to
predict the course that the commonwealth will take from here in
pursuing debt restructuring, Fitch does not believe it is
meaningful to distinguish among the various securities and with
today's rating action brings all of the commonwealth debt that is
rated by Fitch to 'CC' Rating Watch Negative.

Fitch notes that in recent months the legislature passed a
significant tax increase in support of budget balance and now
seems to be in the final stages of negotiating a budget that both
funds debt service and makes further progress in controlling
operating spending. Nevertheless, it now seems clear that this
provides only minimal comfort that the commonwealth will make full
and timely payment on its obligations to bondholders. In addition,
the advocacy of restructuring has further increased the challenges
to a successful Puerto Rico Infrastructure Finance Authority
(PRIFA) financing to bolster liquidity.


GO bonds are secured by the good faith, credit and taxing power of
the commonwealth of Puerto Rico. Strong legal provisions for GO
debt include a constitutional first claim on commonwealth
revenues, including transportation-related and rum excise tax
revenues that are dedicated to specific authorities and other


FULL AND TIMELY PAYMENT: Any restructuring that does not result in
full and timely payment of the bonds according to the original
terms promised would likely result in a further downgrade to 'D'.

NEGOTIATED RESOLUTION: Any negotiated resolution would be
evaluated for its effect on bondholders.

LIQUIDITY: The rating could be lowered further if the commonwealth
is unable to bolster liquidity.

With today's action, Fitch has downgraded to 'CC' and maintains
the Rating Watch Negative on all of the following ratings:

-- $13 billion Commonwealth of Puerto Rico GO bonds, downgraded
    to 'CC' from 'B';

-- $6.7 billion Puerto Rico Sales Tax Financing Corporation
    (COFINA) senior lien sales tax revenue bonds and $8.5 billion
    COFINA first subordinate lien sales tax revenue bonds,
    downgraded to 'CC' from 'B';

-- $2.9 billion Employees Retirement System of the Commonwealth
    of Puerto Rico (ERS) pension funding bonds, downgraded to 'CC'
    from 'B';

-- $1.4 billion Puerto Rico Public Buildings Authority (PBA)
    government facilities revenue bonds guaranteed by the
    Commonwealth and rated by Fitch and $658 million Puerto Rico
    Aqueduct and Sewer Authority (PRASA) Commonwealth guaranty
    revenue bonds, downgraded to 'CC' from 'B';

-- $3.4 billion PRASA senior lien revenue bonds, downgraded to
    'CC' from 'B'.

Today's action does not affect Fitch's ratings on debt of the
Puerto Rico Electric Power Authority (PREPA), which has been rated
'CC', Rating Watch Negative since June 26, 2014.

Fitch does not rate any other appropriation- or special tax-
secured debt of the commonwealth.

Fitch's public finance ratings do not address the loss given
default of the rated liability, focusing instead on the
vulnerability to default of the rated liability.

For more information on Fitch's analysis of the GO and related
credits, including security information for all related credits,
please see 'Fitch Downgrades Puerto Rico's GO and Related Ratings
to 'B' on Rating Watch Negative' dated March 26, 2015.

T R I N I D A D  &  T O B A G O

CARIBBEAN AIRLINES: Urged to Exploit New Agreement with Canada
Trinidad and Tobago Newsday reports that Caribbean Airlines
Limited could expand its services to Canada based on an air
services agreement signed between Trinidad and Tobago and Canada,
according to Director of Civil Aviation, Ramesh Lutchmedial.

Mr. Lutchmedial said the agreement allows any carrier from
Trinidad and Tobago or Canada to fly to any point in each country
any number of times without having to seek approval for the ticket
fares, according to Trinidad and Tobago Newsday.  Mr. Lutchmedial
said the agreement coupled with a similar one signed with the
United States of America "presents tremendous marketing
opportunities for Caribbean Airlines into North America which the
airline is not yet fully exploiting and which they should exploit
if they want to become very profitable," the report notes.

Mr. Lutchmedial was speaking following the signing of an air
agreement between Foreign Affairs Minister, Winston Dookeran and
Canadian High Commissioner, Gerard Latulippe at the Ministry of
Foreign Affairs, the report relates.  The signing was witnessed by
Minister of Transport, Stephen Cadiz, who delivered a brief

The report notes that Mr. Latulippe said the agreement removes all
restrictions on the numbers of flights which may be flown by
airlines of the respective countries into each other's territory
and provides for strong safety and security provisions.

Mr. Latulippe said that in 2013 the scheduled passenger traffic
reached 187,000 one-way passenger trips, making Trinidad and
Tobago Canada's 47th largest international air transport market,
the report relays.  Mr. Latulippe hoped the new agreement would
help to expand that market, adding that it would include increased
opportunities for trade, investment, tourism, the report

Mr. Cadiz said that two and a half million people pass through
Piarco International Airport on a yearly basis, adding that the
Government's plan is to make Piarco the transport hub of the
region, adding that Government was interested in having direct
flights from Canada to Tobago, the report notes.

Mr. Cadiz said the Government was also exploring ways of
increasing capacity between Trinidad and Tobago and Canada either
through existing airlines or encouraging other airlines to service
the route, the report relays.  Mr. Cadiz said this would lead to
the creation of new high paying jobs at Piarco, the report notes.

In his address, Mr. Dookeran said the agreement will permit
greater flexibility in scheduling, choosing the type of aircraft
used, selecting routes and other issues, the report relays.

Mr. Dookeran said Caribbean Airlines has had a long and consistent
relationship in providing links to Canada while Westjet has began
flying the route since the withdrawal of Air Canada, the report
notes.  Mr. Dookeran said the number of flights and number of
passengers between Trinidad and Tobago and Canada has increased in
recent times and this was an indication that the commercial and
people relationship between the two countries has been improving,
the report relays.

Mr. Dookeran said the negotiations for the agreement took six
years to be completed but has been provisionally in place for some
time. He said it was a significant agreement and an important
milestone for both countries, the report adds.

                        About Caribbean Airlines

Caribbean Airlines Limited --
-- 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
March 19, 2015, RJR News said that Caribbean Airlines Limited is
still facing an acute shortage of pilots.  Trinidad's Newsday
newspaper said the airline is still reeling from the loss of close
to a dozen pilots from its Jamaican operations last year, forcing
it to send Trinidadian pilots to operate some of the Jamaican
routes to US destinations, according to RJR News.

The TCRLA reported on Sept. 24, 2014, that Trinidad Express said
Caribbean Airlines Limited will get a total of TT$1.8 billion
support from the Government during the period 2013 and 2015.
Finance Minister Larry Howai stated that the Caribbean
Airlines management had informed him that the company expects to
break-even in three years time.  Mr. Howai, however, said that
government would have to provide funds for CAL in 2015, 2016 and

On July 11, 2014, the TCRLA citing Trinidad and Tobago Newsday,
said that Caribbean Airlines is facing a loss.  Minister Howai was
hopeful the loss could be narrowed down to less than TT$100

Caribbean Airlines Limited recorded losses estimated at US$70
million in 2012.  In 2011, CAL had recorded losses of US43.7
million, the TCRLA reported on May 20, 2013.

TRINIDAD CEMENT: Fitch Ups Currency Issuer Default Ratings to 'B-'
Fitch Ratings has upgraded the Foreign and Local currency Issuer
Default Ratings (IDRs) of Trinidad Cement Limited (TCL) to 'B-'
from 'D' and assigned an expected rating to the company's proposed
senior secured term loan of 'B-(EXP)/RR4'. The Rating Outlook is

The upgrade reflects the restructuring steps TCL has taken under
the increased ownership, support and strategic guidance from CEMEX
S.A.B. de C.V. (CEMEX; 'B+'/Stable Outlook) following the default
on its bank loans in September 2014. Fitch expects that the
company will refinance its existing bridge loan with a long-term
financing agreement within the next three to six months.

TCL's 'B-' ratings also reflect its business position in the
relatively small Caribbean cement market, high leverage, weak
liquidity, and volatility of its cash flow generation due to the
cyclicality of the cement industry. TCL has relatively small
operations with total capacity across its three cement operating
facilities of 2.4 million tonnes. Fitch believes the company will
be able to slowly deleverage through improved operating cash flow
driven by higher volumes and sales price increases. Further
factored into the ratings is the favorable outlook for the
Caribbean cement industry over the medium term driven by the
region's positive macroeconomic and business environment.


Increased Ownership and Support from CEMEX

Fitch views the increased ownership by CEMEX as tacit support for
TCL and its strategic market position. CEMEX increased its
ownership in TCL following the company's rights issue for its
existing shareholders on March 31, 2015 at TT$2.90 per share.
CEMEX's ownership increased to 39.5% from 20% at a cost of USD44.8
million (total equity injection of USD57 million from rights
issue). In addition, CEMEX entered into a Technical Services
Agreement with TCL on April 23, 2015 which provides TCL with a
restructured management team, technical assistance to support the
operations of TCL's trading and shipping departments, along with
additional support. The agreement has a three-year term.

Restructuring Following Default in September 2014

TCL has undergone numerous changes over the last nine months,
following the moratorium the company gave to its creditors. The
default in September 2014 was the result of a failed bond
issuance, weak liquidity, and an unfavorable ruling which resulted
in labor backpay of USD23 million. Following the default, TCL took
numerous steps including hiring a new management team, an equity
rights issue, negotiating with labor unions, and refinancing its
previous debt with a bridge loan. The ratings for TCL reflect the
expectation of a successful refinancing of its bridge loan which
matures in February 2016.

Improved Credit Metrics Expected

Fitch projects TCL will achieve a total debt/EBITDA ratio of
around 3.3x during 2015, an improvement on 4.6x in 2014,
contingent upon a successful refinancing of its bridge loan. TCL's
free cash flow (FCF) was approximately USD20 million during 2013
and 2014, and should remain positive over the near term. TCL's net
leverage peaked at 18.5x at Dec. 31, 2011, and declined to 13.2x
at Dec. 31, 2012, and eventually to 4.3x at Dec. 31, 2014. The
high leverage in 2011 and 2012 was attributable to the poor
macroeconomic environment during the period. This resulted in the
first of two legal defaults in the last five years for all loan
agreements on Dec. 31, 2011.

Weak Liquidity Projected to Remain

Fitch projects TCL's cash balance to be approximately USD40
million by Dec. 31, 2015. Liquidity will likely remain weak over
the next four years as projected positive FCF generation is used
to service debt obligations on its expected term-loan refinancing.
TCL reported cash and cash equivalents of approximately USD86
million compared to total debt of USD245 million as of March 31,

Leading Caribbean Producer of Cement

TCL is the leading producer of cement with eight operating
companies in Trinidad, Barbados, Guyana, Jamaica and Anguilla. TCL
has a dominant market position in the CARICOM region and 100% and
82% of the market share in Trinidad and Jamaica, respectively. The
region had annual total cement demand of 11.4 million tonnes in
2014, and the Caribbean Development Bank is projecting regional
economies to grow by an average of 2.0% in 2015.

Significant Barriers to Entry

A majority of the demand for shipments of cement to Caribbean
islands is for smaller quantities and, coupled with the shallow
ports at most of the islands, makes it cost prohibitive for many
of the larger cement players to penetrate the market. The small
size of the cement market in the Caribbean, as well as the
difficulty of logistics in this region, has limited the impact of
imports and provided TCL with an EBITDA margin of 19% for 2014.
TCL's strategic locations and strong reputation in the region
translate into cost advantages that are difficult for competitors
to replicate.


-- Successful refinancing of bridge loan;
-- Modest cement volumes sold growth of 1%-3%;
-- EBITDA margin above 20%;
-- Positive FCF generation to be applied to debt service


Negative Rating Action: TCL's rating could be negatively affected
if the company is unable to refinance its bridge loan with longer-
term debt, significant deterioration in the Caribbean
macroeconomic and business environment resulting in declining
profitability and an inability to deleverage from its current
leverage position; increasing competition resulting in the
company's EBITDA margin deterioration; or significantly higher
levels of capital expenditures. TCL's ratings could also be
downgraded if Fitch perceives deterioration in the level of
support from CEMEX.

Positive Rating Action: TCL's rating or Outlook could be affected
positively by a successful refinancing of its bridge loan,
improved liquidity position with FCF + cash and marketable
securities / debt service coverage ratio above 1.0x on a sustained
basis, gross leverage below 4.0x on a sustained basis, and/or
significant improvement in profitability metrics. An increase to
over 80% ownership by CEMEX could also lead to a ratings upgrade.


TCL's liquidity position has generally been weak over the last
several years due to the company's high debt service payments
coupled with poor cash management strategies. Going forward, TCL
is expected to be more conservative with its liquidity position
with better cash management given the technical support from CEMEX
and the new management team in place.

In January 2011, TCL initiated a debt restructuring in which
interest that accrued over 2011 and 2012 on the debt would be
capitalized, increasing the debt balance to just over USD300
million. On Dec. 31, 2011, all loan agreements were in legal
default through non-payment of interest and principal and non-
compliance with other covenant terms. On May 10, 2012, TCL
executed the various agreements on its debt restructuring and on
June 15, 2012 all conditions and requirements were satisfied.

On May 6, 2014, TCL announced to the market its intentions to
raise USD325 million senior secured notes to refinance its
previously restructured debt in 2012. Following the announcement,
the company did not receive adequate investor appetite and
terms/pricing were unfavorable, so the issuance failed. In
September 2014, a scheduled payment of USD14 million in principal
and interest was due and TCL informed creditors of a moratorium on
payments. TCL still made interest payments for the third and
fourth quarters of 2014. In May 2015, TCL received a bridge loan
of USD245 million which repaid its outstanding bank debt and
reduced total debt outstanding to USD245 million from USD291
million due to USD16 million of internal cash used to pay
creditors plus an 11% discount agreed upon with previous


Fitch has taken the following rating actions:

Trinidad Cement Limited
-- Foreign Currency Issuer Default Rating upgraded to 'B-' from
-- Local Currency Issuer Default Rating upgraded to 'B-' from
-- Expected Senior Secured Term Loan rated 'B-(EXP)/RR4'.


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.
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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
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USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, and Peter A.
Chapman, Editors.

Copyright 2015.  All rights reserved.  ISSN 1529-2746.

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