TCRLA_Public/160512.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     L A T I N   A M E R I C A

            Thursday, May 12, 2016, Vol. 17, No. 93


                            Headlines



A R G E N T I N A

ARGENTINA: Fitch Hikes LT FC Issuer Default Ratings to 'B'
PROVINCE OF CORDOBA: Moody's Repositions NS Debt Rating to Baa2.ar


B O L I V I A

SEGUROS PROVIDA SA: Moody's Repositions NSR to B2.bo


B R A Z I L

BANCO DO BRASIL: Is Cheapest Stock as Impeachment Revived
BRAZIL: Markets Thrown Into Disarray as Impeachment Vote Annulled
GOL LINHAS: Announces Private Exchange Offer
GOL LINHAS: Bondholders Said to Hire Bankers and Oppose Debt Plan
HYPERMARCAS SA: Fitch Affirms Issuer Default Ratings to 'BB+'

SAMARCO MINERACAO: Fitch Cuts Issuer Default Ratings to 'CCC'


C A Y M A N  I S L A N D S

ANTHRACITE REFERENCE: Creditors' Proofs of Debt Due May 31
BRONSON POINT: Creditors' Proofs of Debt Due June 8
ECNA FINANCIAL: Shareholder to Hear Wind-Up Report on May 30
FMCP AFRICA: Creditors' Proofs of Debt Due June 16
LIBEAN HOLDINGS: Creditors' Proofs of Debt Due May 25

MCE FINANCE: Share Repurchase Won't Affect Moody's Ba3 CFR
NAN FUNG: Creditors' Proofs of Debt Due May 30
PALARK SA: Shareholder to Hear Wind-Up Report on May 30
PORTOLAN PILOT: Creditors' Proofs of Debt Due May 31
PURSUIT CAPITAL: Commences Liquidation Proceedings

PURSUIT OPPORTUNITY: Commences Liquidation Proceedings
SANTO STEFANO: Creditors' Proofs of Debt Due June 8
TRYALL MANAGEMENT: Creditors' Proofs of Debt Due June 8
WHITE OAK: Creditors' Proofs of Debt Due June 8


P U E R T O    R I C O

PUERTO RICO: Seeking to Sell Water Bonds Even as Crisis Worsens
PUERTO RICO: Lew, Lawmakers Intensity Bill Push After Default


T R I N I D A D  &  T O B A G O

TRINIDAD AND TOBAGO: Unemployment Rate Rises to 3.5%


                            - - - - -



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


ARGENTINA: Fitch Hikes LT FC Issuer Default Ratings to 'B'
----------------------------------------------------------
Fitch Ratings has upgraded Argentina's Long-Term Foreign Currency
Issuer Default Rating (LT FC IDR) to 'B'/Stable Outlook from 'RD'.
Fitch has also upgraded the Short-Term FC IDR to 'B' from 'RD'.
The issue ratings on Argentina's senior unsecured foreign-currency
bonds were affirmed at 'B'. Fitch has affirmed Argentina's Long-
Term Local-Currency (LC) IDR at 'B'/Stable Outlook and Country
Ceiling at 'B'.

KEY RATING DRIVERS

The LT FC IDR upgrade to 'B' is driven by Argentina's resumption
of debt payments to restructured bondholders, thus curing the
default of July 2014. In addition, Argentina's ratings reflect the
improved consistency and sustainability of Argentina's policy
framework, reduced external vulnerability, and the easing of
external and fiscal financing constraints.

The Stable Outlook balances these improvements against risks
related to relatively weak external liquidity, continued
macroeconomic underperformance compared with peers, and
deterioration of public finances in recent years. Argentina's
ratings also balance structural strengths such as GDP per capita
and social indicators against a weak debt repayment record.

Argentina has been able to resume service on its restructured bond
debt, after meeting the conditions to lift the injunction that
blocked payments. The Macri administration obtained congressional
approval to remove the Lock Law and Sovereign Payments Law (two
pieces of legislation that prevented authorities from negotiating
with holdouts) and paid settlement agreements with holdout
creditors on April 22nd after raising the necessary funds in
external markets.

After an absence of more than a decade and a half, Argentina was
able to directly tap international capital markets for a total of
$US16.5 billion in order to pay for settlement agreements with
holdouts creditors and meet part of its 2016 financing needs, thus
increasing the government sources of financing and removing a key
constraint to Argentina's creditworthiness over the past decade.
Greater availability of market financing would reduce pressure on
the central bank through the phasing out of both monetary
financing and the use of international reserves to meet FC debt
repayments.

Improved financing sources complement the increased coherence and
credibility of Argentina's new policy framework characterized by
the removal of FX controls, increased exchange rate flexibility,
and revived focus of monetary policy on fighting inflation with
the objective of implementing a fully-fledged inflation targeting
regime.

Monetary policy has been tightened by the new administration, and
decelerated the growth of monetary aggregates, which has been
fuelled in previous years by monetary financing of the budget
deficit. Fitch expects better coordination with fiscal policy and
access to fresh sources of financing to allow authorities to phase
out central bank financing, a key source of inflationary
pressures.

After the removal of FX controls in December 2015, the government
has increased the flexibility of the Argentine peso, which should
contribute towards improving the capacity of the economy to absorb
external shocks and relieve pressure on international reserves.
Moreover, these policy changes have removed growing exchange rate
distortions, evident by a widening spread between the official and
parallel exchange rates during 2015.

International reserves have increased to $US31.5 billion in early
May, driven by the liquidation of agricultural export proceeds,
reduced pressure to intervene in the FX market and external
borrowing by the central bank, and most recently the external
issuance of the sovereign and non-financial sector entities.
Nevertheless, Argentina's external liquidity ratio, estimated by
Fitch at 55.7% in 2016, remains low in relation to 'B' rated
peers, especially given the country's high commodity dependence
and recent episodes of balance of payments pressures.

Inflation, relatively large fiscal deficits and a slowing economy
represent key policy challenges for the Macri administration.
Inflation remains high (well above 30% in the first months of the
year) according to private and local government estimates. While
Fitch expects monetary and fiscal policy objectives to be
conducive to disinflation, this process is likely to be gradual
and inflation is likely to remain above 'B' rated sovereign
levels.

Short-term growth prospects remain weak, as the economy could
contract in 2016 reflecting the impact of higher utility tariffs,
weaker exchange rate, and reduced policy stimulus. Growth could
recover in 2017 through the easing of macroeconomic distortions,
reduced government intervention, and greater access to external
sources of financing.

Fitch estimates the general government deficit widened to 4.7% of
GDP, up from 2.5% in 2014 and above the 4.1% 'B' category median.
Fitch expects that a gradual fiscal consolidation involving the
phasing out of monetary financing by the central bank will reduce
the general government deficit to 4.2% of GDP in 2016 and 3.4% in
2019.

Fitch estimates gross government debt rose to 59% of GDP in 2015,
from 49% in 2014, and above the 52% 'B' median, driven by the
wider fiscal deficit and the depreciation of the Argentine peso.
Public sector entities (central bank and ANSES) hold approximately
62% of government's debt stock, thus reducing refinancing risks.
Financing needs are likely to remain high in 2016 at 10.2% of GDP,
but intra-public sector debt repayments/roll-overs constitute at
least 56% of total debt repayments.

In spite of having a minority in congress, President Macri's
coalition was able to muster enough political support to approve
the necessary legislation to finalize the deal with holdouts
creditors. Nevertheless, a slowing economy, rising unemployment
and high inflation represent challenges for the government to
maintain political support and opposition cooperation to
successfully complete the process of rebalancing the Argentine
economy and entrench macroeconomic stability.

RATING SENSITIVITIES

The main risk factors that, individually or collectively, could
trigger a positive rating action are:

-- Faster-than-anticipated fiscal consolidation and deepening of
    non-public-sector funding sources;
-- Strengthening of external buffers;
-- Consolidation of strengthened policy framework leading to
    improvement in macroeconomic performance in relation to peers.

Conversely, the main factors that could lead to a negative rating
action are:

-- Re-emergence of financing pressures due to failure to
    consolidate fiscal accounts or to improve funding sources such
    as maintaining access to capital markets and reducing reliance
    on intra-public sector financing;
-- Erosion of international reserves.

KEY ASSUMPTIONS

-- Fitch assumes that China will avoid a hard landing, growing by
    6.2% and 6.0% in 2016 and 2017, respectively. In contrast,
    Fitch expects Brazil to contract by 3.8% in 2016 and grow by
    0.5% in 2017.
-- Fitch assumes that remaining legal risks from holdouts
    creditors will not prevent Argentina from servicing external
    debt or accessing external capital markets.


PROVINCE OF CORDOBA: Moody's Repositions NS Debt Rating to Baa2.ar
------------------------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo has
repositioned the national scale ratings (NSRs) of 8 Argentine sub-
sovereigns issuers in conjunction with the recalibration of the
Argentine national rating scale.  The NSRs of other sub-sovereign
issuers have been confirmed.  This concludes the reviews on these
ratings that were initiated on April 21, 2016, and on May 4, 2016,
for the Province of Rio Negro.

NSRs, which provide a measure of relative creditworthiness within
a single country, are derived from global scale ratings (GSRs)
using country-specific maps.

With nearly 100 rated fundamental issuers in Argentina, the new
map has been designed using the modified approach, whereby the map
design is adjusted to reflect the distribution of fundamental
ratings in the country in order to ensure adequate opportunity for
differentiation where ratings are most highly concentrated.
Structured finance ratings are not taken into consideration in the
determination of the map design.  Because more than 10% of
fundamental issuers are rated above Argentina's B3 sovereign
rating, as well as the previous anchor point of B1, the anchor
point, or the lowest GSR that can map to a Aaa.ar, has been raised
to Ba3, the level of the local currency country ceiling.  All GSRs
from B1 to Caa3 now map to three NSRs each.  This provides
adequate opportunity for differentiation on the national scale
among the more than 50% of Argentine fundamental issuers rated B3
on the global scale.

As a result of these changes, GSRs will generally correspond to
lower NSRs on the Argentine national scale than they did
previously.  Consequently, the majority of Argentine NSRs that are
currently under review direction uncertain are being confirmed at
their current levels notwithstanding the recent upgrades of their
corresponding GSRs.  However, a small number of fundamental
issuers' primary local currency NSRs are being raised, while the
NSRs of those issuers whose GSRs were not upgraded following the
recent sovereign upgrade are in most cases being lowered,
reflecting their relatively weaker creditworthiness compared to
the majority of domestic peers, whose GSRs were raised.  In total,
slightly more than 10% of Argentine fundamental issuers' primary
NSRs are being repositioned an average of 1.3 notches higher,
while almost 20% are being repositioned an average of 2.3 notches
lower.  Other NSRs are also being raised or lowered for these and
other issuers.

As a result of the recalibration, the level of risk associated
with a particular Argentine NSR level (e.g. Baa2.ar) has changed
in many cases.  NSRs have no inherent absolute meaning in terms of
default risk or expected loss; they are ordinal rankings of
creditworthiness relative to other domestic issuers within a given
country.  A historical probability of default and/or expected loss
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time.  However, both the
probability of default and the expected loss of an NSR may change
if and when a country's national scale is remapped.

ISSUERS AND RATINGS AFFECTED

The specific rating actions taken are described:

  1) Moody's changed the issuer and debt ratings of these issuers
     on Argentina's national scale.

   -- Province of Cordoba: local and foreign currency issuer and
      debt ratings repositioned to Baa2.ar/Baa2.ar from
      Baa3.ar/B1.ar respectively,

Municipality of Cordoba: local currency issuer and debt ratings
repositioned to Baa2.ar from Baa3.ar.  Treasury Bills program debt
ratings repositioned to Baa2.ar from Baa3ar.  The national scale
ratings of the Series 1 and Series 2's Secured Notes were
repositioned to Baa1.ar from Baa2.ar,

   -- Municipality of Rio Cuarto: local currency issuer and debt
      ratings repositioned to Baa3.ar from Ba1.ar,
   -- Province of Chaco: local currency issuer and debt ratings
      repositioned to Ba1.ar from Ba3.ar,
   -- Province of Formosa: local currency issuer and debt ratings
      repositioned to Ba1.ar from Ba3.ar,
   -- City of Buenos Aires: foreign currency debt/program ratings
      repositioned to Baa1.ar from B1.ar
   -- Province of Buenos Aires: foreign currency issuer and debt
      ratings repositioned to Baa3.ar from B1.ar
   -- Province of Mendoza foreign currency issuer and debt ratings
      repositioned to Baa3.ar from B1.ar.

  2) Moody's confirmed the issuer and debt ratings of these
     issuers on Argentina's national scale:

   -- Province of Rio Negro: local currency issuer and debt
      ratings confirmed at Baa3.ar, Treasury Bills program ratings
      confirmed at Baa3.ar
   -- Province of Chubut: local currency issuer and debt ratings
      confirmed at Baa2.ar. Treasury Bills program ratings
      confirmed at Baa2.ar.  The national scale ratings of BODIC 1
      and BODIC 2 Notes were confirmed at Baa1.ar.
   -- City of Buenos Aires: local currency debt ratings confirmed
      at Baa1.ar; Treasury Bills program debt ratings confirmed at
      Baa1.ar
   -- Province of Buenos Aires: local currency issuer and debt
      ratings confirmed at Baa3.ar. Treasury Bills program debt
      ratings confirmed at Baa3.ar

Province of Mendoza: local currency issuer and debt ratings
confirmed at Baa3.ar, Treasury Bills program debt ratings
confirmed at Baa3.ar

                         RATING RATIONALE

NSRs are assigned by applying the published correspondence from
GSRs.  Where a single GSR maps to multiple NSRs, rating committees
assigned higher or lower NSRs to individual issuers and debts
depending on their relative credit position within the same GSR
category, using the same methodologies as were used to determine
the GSRs themselves.

WHAT COULD CHANGE THE RATINGS -- UP AND DOWN

The NSRs would face upward or downward pressure if their
corresponding GSRs are upgraded or downgraded, unless this is in
conjunction with a sovereign rating action that results in another
recalibration of the Argentine national scale with an offsetting
impact on NSRs.  In addition, the NSRs may be repositioned upwards
(downwards) if Argentina's sovereign is downgraded (upgraded) and
the map is revised accordingly, but the corresponding GSRs have
not changed as a result of the sovereign action.  Because of the
higher granularity of national scales, NSRs may also face pressure
due to changes in creditworthiness that are not sufficient to
cause a change in the corresponding GSR, measured using the same
methodologies used to determine the GSR.

METHODOLOGIES USED

The principal methodology used in these ratings was Regional and
Local Governments published in January 2013.

Moody's National Scale Credit Ratings (NSRs) are intended as
relative measures of creditworthiness among debt issues and
issuers within a country, enabling market participants to better
differentiate relative risks.  NSRs differ from Moody's global
scale credit ratings in that they are not globally comparable with
the full universe of Moody's rated entities, but only with NSRs
for other rated debt issues and issuers within the same country.
NSRs are designated by a ".nn" country modifier signifying the
relevant country, as in ".za" for South Africa.

While NSRs have no inherent absolute meaning in terms of default
risk or expected loss, a historical probability of default
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time.

For information on the historical default rates associated with
different global scale rating categories over different investment
horizons, please see:

https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_
189530


=============
B O L I V I A
=============


SEGUROS PROVIDA SA: Moody's Repositions NSR to B2.bo
----------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo S.A. has
repositioned the national scale ratings (NSRs) of 15 Bolivian
insurers in conjunction with the recalibration of the Bolivian
national rating scale.

NSRs, which provide a measure of relative creditworthiness within
a single country, are derived from global scale ratings (GSRs)
using country-specific maps.  The adoption of a revised
correspondence between Moody's GSRs and the Bolivian national
scale follows the publication of Moody's updated methodology
"Mapping National Scale Ratings from Global Scale Ratings"

https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_
189032

With approximately 40 rated fundamental issuers in Bolivia, the
new map has been designed using the standard approach, whereby the
map design is selected from a set of standard maps based upon the
anchor point, or the lowest GSR that can map to a Aaa.bo. Per the
standard approach, Bolivia's anchor point is unchanged at Ba3,
which is equal to the sovereign bond rating.  However, the rest of
the map design has been significantly altered.  The revised map
provides significantly more opportunities for credit
differentiation on the national scale where GSRs concentration is
highest -- specifically at the anchor point as well as at the B1
and B2 GSR levels -- than the previous map did.  As a result of
these changes, GSRs will generally correspond to lower NSRs on the
Bolivian national scale than they did previously, in some cases
considerably so.

Consequently, slightly more than half of Bolivian issuers' primary
long-term NSRs are being repositioned an average of 3 notches
lower.  Certain short-term and other NSRs may be affected for
these and other issuers as well.  While many ratings will decline
by just one or two notches, some ratings will be lowered by as
many as 6 or 7 notches.  The repositioned NSRs of individual
issuers do not signify a change in credit risk, since the GSRs for
these issuers remain unchanged.

As a result of the recalibration, the level of risk associated
with a particular Bolivian NSR level (e.g. Baa2.bo) has changed in
many cases.  NSRs have no inherent absolute meaning in terms of
default risk or expected loss; they are ordinal rankings of
creditworthiness relative to other domestic issuers within a given
country.  A historical probability of default and/or expected loss
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time.  However, both the
probability of default and the expected loss of an NSR may change
if and when a country's national scale is remapped.

ISSUERS AND RATINGS AFFECTED

   -- Alianza Seguros y Reaseguros S.A.: NSR has been repositioned
      to Aa3.bo from Aa2.bo. GSR is B1
   -- Alianza Vida Seguros y Reaseguros S.A.: NSR has been
      repositioned to Aa3.bo from Aa2.bo. GSR is B1
   -- BISA Seguros y Reaseguros S.A.: NSR has been affirmed at
      Aaa.bo. GSR is Ba3
   -- Bupa Insurance (Bolivia) S.A.: NSR has been affirmed at
      Aaa.bo. GSR is Ba3
   -- Compania de Seguros y Reaseguros Fortaleza S.A.: NSR has
      been repositioned to A3.bo from Aa3.bo. GSR is B2
   -- Compania de Seguros de Vida Fortaleza S.A.: NSR has been
      repositioned to A3.bo from Aa3.bo. GSR is B2
   -- Crediseguro S.A. Seguros Personales: NSR has been
      repositioned to A1.bo from Aa2.bo. GSR is B1
   -- La Boliviana Ciacruz Seguros Personales: NSR has been
      affirmed at Aa1.bo. GSR is Ba3
   -- La Boliviana Ciacruz Seguros y Reaseguros: NSR has been
      affirmed at Aa1.bo. GSR is Ba3
   -- La Vitalicia Seguros y Reaseguros de Vida: NSR has been
      repositioned to A2.bo from Aa2.bo. GSR is B1
   -- Nacional Seguros Patrimoniales y Fianzas S.A.: NSR has been
      repositioned to Aa3.bo from Aa2.bo. GSR is B1
   -- Nacional Seguros Vida y Salud S.A.: NSR has been
      repositioned to Aa3.bo from Aa2.bo. GSR is B1
   -- Seguros Illimani S.A.: NSR has been repositioned to B3.bo
      from Ba2.bo. GSR is Caa2
   -- Seguros Provida S.A.: NSR has been repositioned to B2.bo
      from Baa3.bo. GSR is Caa1
   -- Seguros y Reaseguros Credinform International: NSR has been
      repositioned to Ba1.bo from A1.bo. GSR is B3

                       RATINGS RATIONALE

National scale ratings are assigned by applying the published
correspondence from global scale ratings.  Where a single global
scale rating maps to multiple NSRs, rating committees assigned
higher or lower NSRs to individual issuers and debts depending on
their relative credit position within the same global scale rating
category, using the same methodologies as were used to determine
the GSRs themselves.

WHAT COULD CHANGE THE RATINGS -- UP AND DOWN

The NSRs would face upward or downward pressure if their
corresponding GSRs are upgraded or downgraded, unless this is in
conjunction with a sovereign rating action that results in another
recalibration of the Bolivian national scale with an offsetting
impact on NSRs.  In addition, the NSRs may be repositioned upwards
(downwards) if Bolivia's sovereign is downgraded (upgraded) and
the map is revised accordingly, but the corresponding GSRs have
not changed as a result of the sovereign action.  Because of the
higher granularity of national scales, NSRs may also face pressure
due to changes in creditworthiness that are not sufficient to
cause a change in the corresponding GSR, measured using the same
methodologies used to determine the GSR.

METHODOLOGIES USED

The principal methodology used in rating Alianza Seguros y
Reaseguros S.A., BISA Seguros y Reaseguros S.A., Bupa Insurance
(Bolivia) S.A., Cia de Seguros y Reaseguros Fortaleza S.A., La
Boliviana Ciacruz Seguros y Reaseguros, Nacional Seguros
Patrimoniales y Fianzas S.A., Seguros Illimani S.A., and Seguros y
Reaseguros Credinform International was Global Property and
Casualty Insurers published in April 2016.  The principal
methodology used in rating Alianza Vida Seguros y Reaseguros S.A.,
Compania de Seguros de Vida Fortaleza S.A., Crediseguro S.A.
Seguros Personales, La Boliviana Ciacruz Seguros Personales, La
Vitalicia Seguros y Reaseguros de Vida, Nacional Seguros Vida y
Salud S.A., and Seguros Provida S.A. was Global Life Insurers
published in April 2016.

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 information on the historical default rates associated with
different global scale rating categories over different investment
horizons, please see:

https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_
189530


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


BANCO DO BRASIL: Is Cheapest Stock as Impeachment Revived
----------------------------------------------------------
Denyse Godoy at Bloomberg News reports that at 6 times estimated
earnings for the current quarter, Banco do Brasil SA, Latin
America's biggest lender by assets, is trading at the cheapest
valuation among the 59 stocks of the benchmark Ibovespa index.

With five buy recommendations, 11 holds and three sells, it's
analysts' favorite Brazilian state-owned company, according to
Bloomberg News.  The bank is the best choice for investors betting
on a Brazilian rebound after the process to impeach President
Dilma Rousseff got back on track, according to Jason Vieira, chief
economist at Infinity Asset Management, Bloomberg News notes.  The
lender has suffered less intervention from the government than oil
producer Petroleo Brasileiro SA and power utility Centrais
Eletricas Brasileiras SA, he said, Bloomberg News adds.

As reported in the Troubled Company Reporter-Latin America on
March 1, 2016, Moody's Latin America Agente de Calificacion de
Riesgo has downgraded Banco do Brasil S.A. (BDBB)'s global long
term local currency deposit rating to Ba2 from Ba1.


BRAZIL: Markets Thrown Into Disarray as Impeachment Vote Annulled
-----------------------------------------------------------------
Filipe Pacheco and Paula Sambo at Bloomberg News report that
Brazilian markets were thrown into turmoil after the effort to
impeach President Dilma Rousseff appeared to hit a roadblock,
spurring concern that some of the world's biggest stock and
currency rallies would be undone.

The Ibovespa stock benchmark plummeted as much as 3.5 percent and
the real weakened as much as 4.6 percent, the most since September
2011, before paring some of those losses, according to Bloomberg
News' May 9 report.  The selloff was sparked after the interim
chief of Brazil's lower house called for a new vote on the
impeachment, accepting an argument by the attorney general that
the ballot last month had procedural irregularities, Bloomberg
News notes.  The Senate decided to continue with the impeachment
process, Bloomberg News relates.

The Ibovespa and real posted the biggest rallies among major
markets this year on speculation Rousseff's ouster would usher in
a new government better able to pull Latin America's biggest
economy out of its worst recession in a century, tame inflation
and reduce a fiscal deficit, Bloomberg News notes. Analysts were
split on how much of an impediment the May 9 annulment
represented, while investors were quick to sell after the initial
headlines, Bloomberg News says.

"This was never going to be a smooth and orderly process,
something which is now plain for all to see," said Nicholas Spiro,
a partner at Lauressa Advisory Ltd., said from London, Bloomberg
News relays.   "The sharp improvement in sentiment towards Brazil
has been an emotionally fueled' anyone-but-Dilma' rally that never
looked convincing from the start," he added.

Bloomberg News notes that the Senate had been scheduled to vote on
whether to move forward with the impeachment and compel Rousseff
to stand trial on allegations she used state banks to shore up the
government's accounts.  The Senate will move ahead with
impeachment proceedings against Rousseff, said the head of the
chamber, Renan Calheiros, Bloomberg News notes.

Bloomberg News relays that Mr. Calheiros said he "doesn't
recognize" Maranhao's decision and will move forward with the
impeachment motion. Opposition parties will challenge the decision
in court if necessary, according to Pauderney Avelino, head of the
Democratas party in the lower house.

"Changing the game plan now is crazy," said Reginaldo Galhardo, a
foreign exchange manager at Treviso Corretora de Cambio in Sao
Paulo, Bloomberg News discloses. "People will have to reconsider
everything.  It is hard to imagine how," he added.

Bloomberg News relays that after the initial panic, Brazilian
assets pared the worst of the day's losses.  The Ibovespa fell 1.4
percent to 50,990.07 and the real weakened 0.4 percent to 3.5164
per dollar as of in Sao Paulo, Bloomberg News notes.  The cost of
hedging the country's sovereign debt against losses using five-
year credit-default swaps rose 6.1 basis points to 347.56 basis
points, Bloomberg News relays.

Petroleo Brasileiro SA, the state-controlled oil company, sank 6
percent, Bloomberg News notes.  Iron-ore producer Vale SA declined
8.6 percent while foodmaker JBS SA lost 4.3 percent to the lowest
since January, Bloomberg News relates.  Yields on the government's
$4.3 billion of bonds due in 2025 rose 0.02 basis points to 5.23
percent, Bloomberg News discloses.

The lower house chief's decision could just be a temporary setback
for efforts to impeach Rousseff, according to Edwin Gutierrez, the
head of emerging-market sovereign debt at Aberdeen Asset
Management in London, which oversees an $11 billion portfolio,
Bloomberg News says.

"The House can call as many votes as it wants," he said.  "The
result will be the same every time," he added.

Bloomberg News discloses that the Ibovespa plunged 42 percent in
dollar terms last year as the real gave up a third of its value as
the country lost its investment-grade credit rating while business
confidence eroded.  Brazil, a global superstar a decade ago when
its economy was rapidly expanding, has suffered with a plunge in
the prices of its commodity exports and a collapse in business
confidence, Bloomberg News notes.

This year, the real is the best-performing major currency, stocks
have soared 29 percent in dollar terms, and bond yields are
plunging amid speculation that a new administration will push
through a slew of austerity measures and reforms to stabilize the
ailing economy, Bloomberg News relays.  Vice President Michel
Temer was expected to take over temporarily as soon as this week
and name new cabinet officials broadly supported by investors and
the business community, Bloomberg News notes.

"Markets were considering it would be a simple procedure," said
Enestor dos Santos, the principal economist at Banco Bilbao
Vizcaya Argentaria SA in Madrid, Bloomberg News notes.  "Maybe
there has been some exaggeration in the optimism," he added.


GOL LINHAS: Announces Private Exchange Offer
--------------------------------------------
GOL Linhas Aereas Inteligentes S.A. announced announced that its
subsidiary GOL LuxCo S.A. has commenced private Exchange Offers
for any and all of the outstanding 7.50% Senior Notes due 2017
issued by GOL Finance for cash and LuxCo's newly issued 8.50%
Secured Amortizing Notes due 2018; 9.250% Senior Notes due 2020
issued by Finance, 8.875% Senior Notes Due 2022 issued by LuxCo
and 10.750% Senior Notes due 2023 issued by LuxCo for cash and
LuxCo's newly issued 8.50% Secured Notes due 2022; and 8.75%
Perpetual Notes (the "Perpetual Notes" and, together with the 2017
Notes, 2020 Notes, 2022 Notes and 2023 Notes, the "Old Notes")
issued by Finance for newly issued 8.50% Secured Notes due 2028
(the "New 2028 Notes" and, together with the New 2018 Notes and
New 2022 Notes, the "New Notes").  The New Notes will be
guaranteed by the Company and VRG Linhas Aereas S.A.

The New Notes will be secured by a first priority security
interest in all spare parts owned by GOL and, as a result,
structurally senior to all of GOL's existing and future unsecured
indebtedness, including the Old Notes, to the extent of the value
of collateral securing the New Notes and, in the case of the New
2028 Notes, until January 21, 2022, and senior to any future
subordinated indebtedness that GOL may incur. Old Notes will not
get the benefit of the collateral securing the New Notes and
holders of Old Notes who do not participate in the Exchange Offers
will be effectively subordinated to the New Notes, to the extent
of the value of the collateral securing the New Notes.

GOL has in recent years faced a challenging economic scenario,
including: (1) political instability; (2) contraction of the
Brazilian economy; (3) sharp devaluation of the Brazilian real;
and (4) inflationary pressures and high interest rates. In
addition, GOL and the Brazilian aviation sector were affected by:
(1) decreased demand; (2) industry overcapacity; (3) increased
labor costs; (4) scarce and expensive credit; (5) ratings decline;
(6) operating cost increase; (7) high financial expenses; and (8)
reduced payment capacity.

GOL embarked in the past year on a series of initiatives to
comprehensively address its liquidity and capital structure
concerns. The initiatives in the second half of 2015 and first
months of 2016 include: (1) an equity infusion; (2) financing
support from Delta Air Lines; (3) fleet reduction; (4) operating
cost reductions; (5) advanced ticket sales to Smiles; (6) route
network changes; (7) supplier negotiations; (8) leasing contract
negotiations; and (9) capital structure improvements. Together
with these efforts, the Exchange Offers are intended to ensure
that GOL emerges from the current political and economic crisis in
the best competitive position.

In exchange for each US$1,000 principal amount of the Old Notes
that are validly tendered (and not validly withdrawn) at or before
the Early Participation Time, 5:00 p.m., New York City time, on
May 17, 2016, and accepted for exchange, Eligible Holders will
receive the Following Total Exchange Consideration:

-- 2017 Notes: US$210 in cash and US$490 in principal amount of
    the New 2018 Notes, including the Early Participation Premium
    of US$15 in cash and US$35 in principal amount of the New 2018
    Notes;

-- 2020 Notes: US$70 in cash and US$280 in principal amount of
    the New 2022 Notes, including the Early Participation Premium
    of US$10 in cash and US$40 in principal amount of the New 2022
    Notes;

-- 2022 Notes: US$70 in cash and US$280 in principal amount of
    the New 2022 Notes, including the Early Participation Premium
    of US$10 in cash and US$40 in principal amount of the New 2022
    Notes;

-- 2023 Notes: US$70 in cash and US$280 in principal amount of
    the New 2022 Notes, including the Early Participation Premium
    of US$10 in cash and US$40 in principal amount of the New 2022
    Notes; and

-- Perpetual Notes: US$300 in principal amount of the New 2028
    Notes, including the Early Participation Premium of US$50 in
    principal amount of the New 2028 Notes.

For each US$1,000 principal amount of the Old Notes that are
validly tendered (and not validly withdrawn) after the Early
Participation Time but at or before the Expiration Time, 11:59
p.m., New York City time, on June 1, 2016, that are accepted for
exchange, Eligible Holders will receive only the applicable
Exchange Consideration which is equal to the applicable Total
Exchange Consideration less the applicable Early Participation
Premium. GOL will pay, upon closing of the Exchange Offers, all
accrued and unpaid interest on the Old Notes exchanged for New
Notes.

Tendered Old Notes may not be withdrawn subsequent to the
Withdrawal Deadline, subject to limited exceptions.  If, after the
Withdrawal Deadline, at 5:00 p.m., New York City time, on May 17,
2016, the Issuer (i) reduces the principal amount of Old Notes
subject to the Exchange Offers, (ii) reduces the Exchange
Consideration or (iii) is otherwise required by law to permit
withdrawals, then previously tendered Old Notes may be validly
withdrawn within a reasonable period under the circumstances after
the date that notice of such reduction or permitted withdrawal is
first published or given or sent to holders of the Old Notes by
the Issuer.  The Issuer may extend the Early Participation Time or
the Expiration Time without extending the Withdrawal Deadline,
unless otherwise required by law.

In the event of a termination of an Exchange Offer, no Exchange
Consideration will be paid, and the Old Notes tendered pursuant to
that Exchange Offer will be promptly returned to the tendering
holders.

The obligation of the Issuer to consummate the Exchange Offers is
conditioned upon, among other items identified in an exchange
offer memorandum available to Eligible Holders (as defined below),
for each Exchange Offer individually, the valid tender, without
subsequent withdrawal, of at least 95% in aggregate principal
amount of outstanding Old Notes that are the target of that
Exchange Offer, unless lowered by the Company. None of the
Exchange Offers is conditioned upon any of the other Exchange
Offers. In addition, the Company has the right to amend, terminate
or withdraw, in its sole discretion, any of the Exchange Offers at
any time and for any reason, including failure to satisfy any
condition to the Exchange Offers.

The New Notes (including the guarantees) have not been registered
under the Securities Act and may not be offered or sold within the
United States or to, or for the account or benefit of, U.S.
persons except to qualified institutional buyers in compliance
with applicable exemptions.

Documents relating to the Exchange Offers will only be distributed
to "Eligible Holders" of Old Notes who complete and return an
eligibility form confirming that they are (1) a "Qualified
Institutional Buyer" (as defined in Rule 144A under the Securities
Act of 1933, as amended (the "Securities Act")) or (2) a person
outside the United States that is not a "U.S. Person," (as that
term is defined in Rule 902 of Regulation S under the Securities
Act).

As reported in the Troubled Company Reporter-Latin America on
May 9, 2016, S&P Global Ratings lowered its global scale ratings
on Gol Linhas Aereas Inteligentes S.A. (GOL) to 'CC' from 'CCC-'.



GOL LINHAS: Bondholders Said to Hire Bankers and Oppose Debt Plan
-----------------------------------------------------------------
Cristiane Lucchesi at Bloomberg News reports that a group of Gol
Linhas Aereas SA's bondholders views the Brazilian airline's debt
restructuring proposal as unfair and has hired U.S. investment
bank Houlihan Lokey Inc. to negotiate with the company, according
to two people with direct knowledge of the matter.

The investor group, representing owners of more than 20 percent of
Gol's dollar notes, sees the plan as failing to provide equal
treatment for all unsecured bondholders, the people said,
according to Bloomberg News.

They asked not to be named because the discussions are private,
notes the report.

Creditors represented by Houlihan Lokey say the restructuring
proposal protects local bondholders Banco do Brasil SA and Banco
Bradesco SA, which will face no haircut, while handing out most of
the losses to the owners of overseas notes, the people said,
Bloomberg News relays.  The group argues that the airline
shouldn't have used the market price of its bonds as a basis for
bondholder haircuts, the people said, Bloomberg News says.  They
also said the holders of perpetual bonds receive the worst
treatment, Bloomberg News discloses.

Gol fell 16 percent to BRL2.72 at 4:24 p.m. on May 6 in Sao Paulo
after Bloomberg reported the opposition to the restructuring
proposal.

Shares earlier tumbled as much as 18 percent, the biggest intraday
decline in two months, Bloomberg News says.

                         'Good Offer'

Gol declined to comment.  Chief Financial Officer Edmar Lopes told
reporters that the proposal was "a good offer, considering market
conditions.  This is what is possible within the company's cash
flow, looking at our balance sheet and considering how we aim to
deleverage the company for the upcoming years," Bloomberg News
discloses.

Houlihan Lokey declined to comment.

The Sao Paulo-based airline is offering to exchange $780 million
of dollar-denominated notes for new securities maturing over a
decade as it struggles to reshape its finances amid a deepening
recession in the domestic market, Bloomberg News says.  The
haircut for international bondholders, who have until June 1 to
accept the offer, will range from 30 percent to 70 percent, Lopes
said, Bloomberg News relays.

The new notes will be secured by all spare parts owned by Gol and
will be senior to all of the airline's existing and future
unsecured debt, the carrier said in a statement, Bloomberg News
notes.  All the new bonds offer premiums over the current market
value of the existing notes, the company said, Bloomberg News
adds.

                         Moody's Downgrade

Debtholders who accept the offer by the end of the business day on
May 17 will be entitled to an early participation premium,
Bloomberg News discloses. While Gol would like an acceptance rate
equal to 95 percent of the aggregate amount of each bond series,
the operation can happen with lower participation, Lopes said, the
report relays.

Moody's Investors Service downgraded its corporate family rating
on Gol two steps to Caa3.  The ratings company also maintained a
negative outlook on the airline, citing "uncertainties related to
the ongoing exchange offer amid a prolonged scenario of weaker
market fundamentals, which will keep the company's profitability
and cash flow generation under pressure at least through 2017."

Standard & Poor's lowered its rating one step to CC.

Gol, Brazil's second-biggest airline by market share, said it is
negotiating with Banco do Brasil and Bradesco, the holders of its
BRL1.05 billion ($296 million) in local bonds called debentures,
to waive certain financial obligations for a year and extend the
maturity of 90 percent of the principal payments to 2018 and
beyond, Bloomberg News notes.   The measure would reduce debt
payments by BRL225 million until 2018, according to the statement,
Bloomberg News relays.

D.F. King & Co. has been appointed as the information agent and
the exchange agent for the offer. PJT Partners is serving as
financial adviser, while Milbank, Tweed, Hadley & McCloy LLP is
serving as legal adviser to Gol.

As reported in the Troubled Company Reporter-Latin America on
May 9, 2016, S&P Global Ratings lowered its global scale ratings
on Gol Linhas Aereas Inteligentes S.A. (GOL) to 'CC' from 'CCC-'.



HYPERMARCAS SA: Fitch Affirms Issuer Default Ratings to 'BB+'
-------------------------------------------------------------
Fitch Ratings has downgraded the Long-Term Foreign-Currency Issuer
Default Ratings (IDRs) of several Brazilian corporates following
the May 5th downgrade of the Sovereign foreign currency rating to
'BB' from 'BB+' and the Country Ceiling to 'BB+' from 'BBB-'. The
Rating Outlook on the sovereign is Negative as it is on the
corporates that have been downgraded.

At the same time, Fitch has affirmed the ratings of several
issuers at 'BB+' and higher based on factors that mitigate
sovereign transfer and convertibility risk. These factors include
hard-currency export revenues, overseas production facilities,
foreign parent or strategic partner, unrestricted cash held
abroad, or committed credit facilities.

Brazil's downgrade reflects the deeper-than-anticipated economic
contraction, failure of the government to stabilize the outlook
for public finances, and the sustained legislative gridlock and
elevated political uncertainty that are sapping domestic
confidence and undermining governability as well as policy
effectiveness. Maintenance of the Negative Outlook reflects
continued uncertainty as to the progress that can be made to
improve the outlook for growth, public finances and the government
debt trajectory.

RATING SENSITIVITIES
The foreign currency ratings of the following companies could be
negatively impacted by a negative rating action on the sovereign
rating of Brazil and/or a downgrade of its country ceiling. The
Outlook for Brazil's foreign currency rating is currently
Negative.

Sovereign rating sensitivities include:

-- Failure to take policy action to arrest the pace of increase
    in the government debt burden. Crystallization of contingent
    liabilities would be negative.
-- Policy drift and an inability to implement measures that
    improve the outlook for growth and public finances.
-- Erosion of international reserves and deterioration in
    government debt composition.

The Rating Outlook is Negative. Consequently, Fitch's sensitivity
analysis does not currently anticipate developments with a high
likelihood of leading to a positive rating change. Future
developments that could individually, or collectively, result in
stabilization of the Outlook include:

-- An improvement in the political environment that improves
    policy implementation and supports confidence, growth and
    reform prospects.
-- Fiscal consolidation that leads to greater confidence in the
    capacity of the government to achieve debt stabilization.
-- Improved investment and growth environment and a reduction in
    macroeconomic imbalances.

Fitch has taken the following rating actions:

Ache Laboratorios Farmaceuticos S.A.
-- Long-Term Foreign-Currency IDR downgraded to 'BB+' from 'BBB-
    '; Outlook Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
    Stable.

BR Malls Participacoes S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Positive;
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Positive.

Braskem S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
    Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Stable;
-- Notes due 2017 affirmed at 'BBB-'.

Braskem Finance Limited
-- Unsecured senior notes due 2018, 2020, 2021, 2022 & 2024
    affirmed at 'BBB-';
-- Perpetual bonds affirmed at 'BBB-'.

Braskem America Finance Company
-- Notes due 2041 affirmed at 'BBB-'.

BRF S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB'; Outlook
    Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
    Stable;
-- Notes due 2018, 2022, 2023, 2024 affirmed at 'BBB'.

BFF International Ltd.
--Notes due 2020 guaranteed by BRF S.A. affirmed at 'BBB'.

Centrais Eletricas Brasileiras S.A.
-- Long-Term Foreign-Currency IDR downgraded to 'BB-' from 'BB';
    Outlook Negative;
-- Long-Term Local-Currency IDR downgraded to 'BB-' from 'BB';
    Outlook Negative;
-- $US1 billion senior unsecured notes due 2019 downgraded to
    'BB-' from 'BB';
-- $US1.75 billion senior unsecured notes due 2021 downgraded to
    'BB-' from 'BB'.

Cielo S.A.
-- Long-Term Foreign-Currency IDR downgraded to 'BB+' from 'BBB-
    '; Outlook Negative
-- Long-Term Local-Currency IDR downgraded to 'BBB-' from 'BBB';
    Outlook Negative.

Cielo USA Inc.
-- Notes due in 2022 downgraded to 'BB+' from 'BBB-'.

Companhia Brasileira de Aluminio S.A. (CBA)
-- Guaranteed notes due 2019, 2021, and 2024 affirmed at
    'BBB-'.

Companhia de Gas de Sao Paulo - COMGAS
-- Long-Term Foreign-Currency IDR downgraded to 'BB+' from 'BBB-
    '; Outlook Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Stable.

Cosan Luxembourg S.A.
-- Notes due in 2018, 2023 affirmed at 'BB+'.

Cosan Overseas Limited
-- Perpetual Notes affirmed at 'BB+'.

Cosan S.A. Industria e Comercio
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Stable;
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable.

Embraer S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
    Stable
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Stable
-- Senior unsecured debt affirmed at 'BBB-'.

Embraer Overseas Limited
-- Senior unsecured debt affirmed at 'BBB-'.

Embraer Netherlands Finance BV
-- Senior unsecured debt affirmed at 'BBB-'.

Energisa Paraiba - Distribuidora de Energia S/A (Energisa Paraiba)
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Stable.
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable.

Energisa Sergipe - Distribuidora de Energia S/A (Energisa Sergipe)
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Stable.
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable.

Energisa Minas Gerais - Distribuidora de Energia S/A (Energisa
Minas Gerais)
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Stable.
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable.

Fibria Celulose S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
    Stable
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Stable.

Fibria Overseas Finance Ltd.
-- Notes due 2024 affirmed at 'BBB-'.

Furnas Centrais Eletricas S.A.
-- Long-Term Foreign-Currency IDR downgraded to 'BB-' from 'BB';
    Outlook Negative;
-- Long-Term Local-Currency IDR downgraded to 'BB-'from 'BB';
    Outlook Negative.

Gerdau S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
    Stable;
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Stable;
-- Port Auth of the City of St Paul (MN) Solid Waste Disposal
    Revs (Gerdau) 2012-7 affirmed at 'BBB-'.

Gerdau Holdings Inc.
-- Notes due 2020 and 2024 affirmed at 'BBB-'.

Gerdau Trade Inc.
-- Notes due 2021 and 2023 affirmed at 'BBB-'.

GTL Trade Finance Inc.
-- Notes due 2017, 2024 and 2044 affirmed at 'BBB-'.

Hypermarcas S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    Revised to Negative from Positive;
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Positive;

ISA Capital do Brasil S.A. (ISA Capital)
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable;
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Stable;
-- Senior secured notes outstanding $US31.6 million affirmed at
    'BBB-'.

Itaipu Binacional (Itaipu)
-- Long-Term Foreign-Currency IDR downgraded to 'BB' from 'BB+';
    Outlook Negative;
-- Long-Term Local-Currency IDR downgraded to 'BB' from 'BB+';
    Outlook Negative.

JBS S.A.:
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    Stable
-- Long-Term Local-currency IDR affirmed at 'BB+'; Outlook Stable
-- Notes due 2016 affirmed at 'BB+'.

JBS USA Lux S.A.:
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    Stable;
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable;
-- Term loan B facility due in 2018 affirmed at 'BBB-';
-- Notes due 2020, 2021 affirmed at 'BB+'.

JBS USA Finance, Inc:
-- Notes due 2020, 2021 affirmed at 'BB+'.

JBS Investments GmbH
-- Notes due 2020, 2023, 2024 affirmed at 'BB+'.

Klabin S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
    Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Stable

Klabin Finance S.A.
-- Notes due 2024 affirmed at 'BBB-'.

Localiza Rent a Car S.A. (Localiza)
-- Long-Term Foreign-Currency IDR downgraded to 'BB+' from 'BBB-
    '; Outlook Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
Stable.

Petroleo Brasileiro S.A. (Petrobras)
-- Long-Term Foreign-Currency IDR downgraded to 'BB' from 'BB+';
    Outlook Negative;
-- Long-Term Local-Currency IDR downgraded to 'BB' from 'BB+';
    Outlook Negative;

Petrobras International Finance Company (PIFCO)
-- International debt issuances downgraded to 'BB' from 'BB+'.

Petrobras Global Finance B.V. (PGF)
-- International debt issuances downgraded to 'BB' from 'BB+'.

Petrobras Argentina S.A.
-- International debt issuances downgraded to 'BB' from 'BB+'.

Raizen Energia S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB'; Outlook
    Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
    Stable.

Raizen Combustiveis S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BBB'; Outlook
    Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
    Stable.

Raizen Energy Finance Limited (Raizen Energy Finance)
-- Notes due in 2017 affirmed at 'BBB'.

Rede DOr Sao Luiz S.A.
-- Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook
    revised to Negative from Stable;
-- Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook
    Stable.

Sadia Overseas Ltd.
-- Senior unsecured notes due 2017 guaranteed by BRF S.A.
    affirmed at 'BBB'.

Tractebel Energia S.A. (Tractebel)
-- Long-Term Foreign-Currency IDR downgraded to 'BB+' from 'BBB-
    ', Outlook Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
    Revised to Negative from Stable.

Transmissora Alianca de Energia Eletrica S.A.
-- Long-Term Foreign-Currency IDR downgraded to 'BB+' from 'BBB-
    ', Outlook Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB'; Outlook
    revised to Negative from Stable.

Vale S.A.
--Long-Term Foreign-Currency IDR affirmed at 'BBB', Outlook
Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB+', Outlook
    Negative;
-- Senior unsecured debt issuance affirmed at 'BBB'.

Vale Overseas Limited:
-- Notes guaranteed by Vale affirmed at 'BBB'.

Vale Canada Limited:
-- Notes guaranteed by Vale affirmed at 'BBB'.

Votorantim Cimentos S.A. (VCSA)
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
Negative;
-- Notes due 2021, 2022, and 2041 affirmed at 'BBB-'.

Votorantim S.A. (Votorantim)
-- Long-Term Foreign-Currency IDR affirmed at 'BBB-'; Outlook
    Negative;
-- Long-Term Local-Currency IDR affirmed at 'BBB-'; Outlook
    Negative.

Voto-Votorantim Overseas Trading Operations IV Limited
-- Notes due 2020 affirmed at 'BBB-'.


SAMARCO MINERACAO: Fitch Cuts Issuer Default Ratings to 'CCC'
-------------------------------------------------------------
Fitch Ratings has downgraded the Long-Term Foreign-Currency (LT
FC) and Long-Term Local-Currency (LT LC) Issuer Default Ratings
(IDRs) and senior unsecured debt ratings of Samarco Mineracao S.A.
(Samarco) to 'CCC' from 'BB-', as well as its National Long-Term
Ratings to 'CCC(bra)' from 'A(bra)'. In conjunction with these
downgrades, Fitch has assigned a recovery rating of 'RR4' to the
securities that have been issued by Samarco. A full list of rating
actions follows at the end of this release.

KEY RATING DRIVERS

The downgrade reflects Fitch's view that Samarco will not regain
the necessary licenses to restart operations before it runs out of
cash in 2016. Recently the Minas Gerais branch of the Federal
Public Prosecutor's Office filed a class action (Acao Civil
Publica) against the company. While this lawsuit is not related to
operating licenses, it illustrates the political climate
surrounding Samarco and the pressure that could be faced by
parties that are responsible for issuing operating licenses.

Fitch believes that Samarco will run out of cash to repay its
short-term debt obligations between August and October without
these licenses, which would lead to a restructuring of its short-
term debt obligations absent an equity infusion from its parents.
Fitch believes that Vale S.A. (Vale; rated 'BBB'/Negative Outlook)
and BHP Billiton Ltd/Plc (BHPB; 'A+'/Negative Outlook) will not
inject cash for working capital purposes and debt repayment
without a clear path to a restart of operations in the near term.
Samarco has more than $US250 million of restricted cash it cannot
use for debt service and other corporate purposes, which if
available for use, could push this time frame back a few months.

Fitch maintained its 'BB-' rating for Samarco following the
agreement between the company, the Brazilian authorities, BHPB and
Vale on March 2, 2015. This agreement, which was ratified by a
federal judge on May 5, 2016, covers remediation, mitigation and
compensation for the tailings dam accident. At the time of this
rating action, Fitch noted that the company should be able to pay
its debt as discussed in Fitch's special report: 'Samarco - Binary
Outcome' (February 2016), if Samarco's operations resumed in late
2016.

Fitch placed the ratings on Negative Watch concurrent with its
March rating action. Fitch stated then, that Samarco had
approximately three months to regain the necessary operating
licenses required to restart operations and that failure to do so
could result in a multi-notch downgrade, notwithstanding tangible
shareholder intervention in the form of a capital contribution.

Fitch's decision to downgrade the rating before the expiration of
the aforementioned timeframe reflects the agency's perception that
restarting operations by the end of 2016 is not achievable given
the lack of progress made by Samarco to date. If the company is
able to restart operations by the first half of 2017, Fitch
believes creditors will receive an above average recovery. If the
company is unable to restart operations, Fitch expects a very poor
recovery given statements made by the company's shareholders that
they will not support obligations to creditors.

KEY ASSUMPTIONS

Fitch's believes the company will not be able to restart
operations by the end of 2016 and will run out of cash to support
timely payments to creditors within the next five months.

RATING SENSITIVITIES

Receiving an operating license within the next two months would
likely lead to material positive rating actions, as Fitch believes
that Vale and BHPB would support Samarco financially if it were
able to restart operations before the end of 2016. Restarting
operations would likely also open the company up to receive export
financing, which would further fortify its working capital
position and debt servicing needs.

Fitch could downgrade Samarco's ratings to 'C' upon the
announcement of a DDE and then to 'RD' following the execution of
the grace period. The company would then be rated corresponding to
its new capital structure.

LIQUIDITY

Fitch assumes that the ongoing delay for Samarco to regain its
operating licenses will result in the company running out of cash
during the third quarter of 2016. Access to new financing, as well
as financial assistance from shareholders, is expected to be
possible once the company resumes operations.

Vale and BHPB have guaranteed the funding for the foundation
created as part of the agreement, supporting Samarco in case it is
unable to comply with the terms in the short to medium term.

FULL LIST OF RATING ACTIONS

Fitch has downgraded the following:

Samarco Mineracao S.A.

-- Long-Term Local-Currency IDR to 'CCC' from 'BB-';
-- Long-Term Foreign-Currency IDR to 'CCC' from 'BB-;
-- National Long-Term Rating to 'CCC(bra)' from 'A(bra)';
-- Senior unsecured debt rating to 'CCC/RR4' from 'BB-'.

Fitch has removed the ratings from Negative Watch.


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


ANTHRACITE REFERENCE: Creditors' Proofs of Debt Due May 31
----------------------------------------------------------
The creditors of Anthracite Reference Company (12) Limited are
required to file their proofs of debt by May 31, 2016, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on April 15, 2016.

The company's liquidator is:

          Simon Conway
          c/o Gabby Whitter
          P.O. Box 258 Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8730
          Facsimile: (345) 945 4237


BRONSON POINT: Creditors' Proofs of Debt Due June 8
---------------------------------------------------
The creditors of Bronson Point Oakwood Fund Ltd are required to
file their proofs of debt by June 8, 2016, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on April 18, 2016.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman
          Telephone: (345) 943-3100


ECNA FINANCIAL: Shareholder to Hear Wind-Up Report on May 30
------------------------------------------------------------
The shareholder of Ecna Financial Management will hear on May 30,
2016, the liquidator's report on the company's wind-up proceedings
and property disposal.

The company's liquidator is:

          Commerce Corporate Services Limited
          P.O. Box 694 Grand Cayman
          Grand Cayman
          Cayman Islands
          Telephone: 949 8666
          Facsimile: 949 0626


FMCP AFRICA: Creditors' Proofs of Debt Due June 16
--------------------------------------------------
The creditors of FMCP Africa Liquid Strategies Master Fund Limited
are required to file their proofs of debt by June 16, 2016, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on April 14, 2016.

The company's liquidator is:

          Christopher Smith
          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


LIBEAN HOLDINGS: Creditors' Proofs of Debt Due May 25
-----------------------------------------------------
The creditors of Libean Holdings are required to file their proofs
of debt by May 25, 2016, to be included in the company's dividend
distribution.

The company commenced liquidation proceedings on April 18, 2016.

The company's liquidator is:

          CDL Company Ltd.
          89 Nexus Way, Camana Bay
          Grand Cayman KY1-1205
          P.O. Box 31106 Grand Cayman KY1-1205
          Cayman Islands


MCE FINANCE: Share Repurchase Won't Affect Moody's Ba3 CFR
----------------------------------------------------------
Moody's Investors Service says that Melco Crown Entertainment
Limited's (unrated) share repurchase is credit negative for MCE
Finance Limited, but the move will not immediately affect MCE
Finance's Ba3 corporate family rating, Ba3 senior unsecured
rating, or the stable outlook on the ratings.

On May 4, 2016, Melco Crown Entertainment, the parent of MCE
Finance, entered into an agreement to purchase 155 million Melco
Crown Entertainment ordinary shares from Crown Asia Investments
Pty. Ltd. (unrated), a wholly-owned subsidiary of Crown Resorts
Limited (Baa2 stable), for $801 million.

The transaction, to be funded by internal resources, represents
around 39% of Melco Crown Entertainment's unrestricted cash as of
March 2016.

"The sizable transaction will materially reduce MCE Finance's
balance sheet liquidity for its own working capital and capex
needs, because MCE Finance will provide the majority of the funds
for the share buyback," says Kaven Tsang, a Moody's Vice President
and Senior Credit Officer.

Moody's estimates that approximately $600 million of the funding
will come from MCE Finance.

Nevertheless, MCE Finance's liquidity will remain adequate after
the completion of the transaction.

MCE Finance held cash and deposits of around $1.6 billion at end-
2015.  This amount can fully cover its capex of about $350-$400
million and debt repayments of about $23 million in 2016, the
$350 million special dividends announced in February 2016 and this
share buyback.

Moody's also expects that MCE Finance will continue to generate
positive free cash flow, supported by an estimated annual EBITDA
of $700-$800 million from City of Dreams, its flagship gaming
property in Macau, and based on its moderate amount of capex.

The company also has access to undrawn committed banking
facilities of $1.25 billion as backup liquidity.

Apart from liquidity, MCE Finance's established operations in
Macau and strong financial metrics continue to support its Ba3
ratings.

MCE Finance's adjusted debt/EBITDA registered 2.0x in 2015 and its
EBITDA/interest was at 12.2x in the same period.  Moody's expects
that these ratios will remain largely stable over the next 12-18
months, with adjusted debt/EBITDA at 2.0x-2.5x and EBITDA/interest
exceeding 10x.  These ratios are strong for its Ba3 ratings.

Moody's notes that the repurchased shares will be canceled in due
course, after the completion of the transaction.

As a result, Crown Resorts' shareholding will fall to about 27.4%
from 34.3%, after the completion of the transaction.
Nevertheless, Crown Resorts will remain Melco Crown
Entertainment's second largest shareholder.  Moody's does not
expect this change in shareholding to materially affect MCE
Finance's operations or credit profile.

MCE Finance Limited is a subsidiary of Melco Crown Entertainment
Limited (unrated), which is in turn majority-owned by the
Australian-based gaming operator, Crown Resorts Limited (Baa2
stable) and the Hong Kong-listed Melco International Development
Limited (unrated), with each company holding an approximately
34.3% equity stake as of 5 April 2016.

MCE Finance Ltd. is based in Cayman Islands.

NAN FUNG: Creditors' Proofs of Debt Due May 30
----------------------------------------------
The creditors of Nan Fung Feeder Fund I are required to file their
proofs of debt by May 30, 2016, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on April 21, 2016.

The company's liquidator is:

          Richard Fear
          c/o Ryan Charles
          Telephone: (345) 814 7364
          Facsimile: (345) 945 3902
          P.O. Box 2681 Grand Cayman KY1-1111
          Cayman Islands


PALARK SA: Shareholder to Hear Wind-Up Report on May 30
-------------------------------------------------------
The shareholder of Palark S.A. will hear on May 30, 2016, the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Commerce Corporate Services Limited
          P.O. Box 694 Grand Cayman Cayman Islands
          Telephone: 949 8666
          Facsimile: 949 0626


PORTOLAN PILOT: Creditors' Proofs of Debt Due May 31
----------------------------------------------------
The creditors of Portolan Pilot Master Fund, Ltd. are required to
file their proofs of debt by May 31, 2016, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on Dec. 31, 2015.

The company's liquidator is:

          Gene Dacosta
          P.O. Box 2681 Grand Cayman KY1-1111
          Cayman Islands
          Telephone: (345) 814 7765
          Facsimile: (345) 945 3902


PURSUIT CAPITAL: Commences Liquidation Proceedings
--------------------------------------------------
At an extraordinary meeting held on April 18, 2016, the members of
Pursuit Capital Partners (Cayman) Ltd. resolved to voluntarily
liquidate the company's business.

The company's liquidators are:

          Anthony Schepis
          Frank Canelas
          34 E. Putnam Ave, St 113
          Greenwich, Connecticut
          Unites States of America 06830


PURSUIT OPPORTUNITY: Commences Liquidation Proceedings
------------------------------------------------------
At an extraordinary meeting held on April 18, 2016, the members of
Pursuit Opportunity Fund I, Ltd. resolved to voluntarily liquidate
the company's business.

The company's liquidators are:

          Anthony Schepis
          Frank Canelas
          34 E. Putnam Ave, St 113
          Greenwich, Connecticut
          Unites States of America 06830


SANTO STEFANO: Creditors' Proofs of Debt Due June 8
---------------------------------------------------
The creditors of Santo Stefano Limited are required to file their
proofs of debt by June 8, 2016, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on April 15, 2016.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman
          Telephone: (345) 943-3100


TRYALL MANAGEMENT: Creditors' Proofs of Debt Due June 8
-------------------------------------------------------
The creditors of Tryall Management Company are required to file
their proofs of debt by June 8, 2016, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on April 8, 2016.

The company's liquidator is:

          K.D. Blake
          P.O. Box 493 Grand Cayman KY1-1106
          Cayman Islands
          Jenna Nicholson
          Telephone: +1 (345) 914-4494/ +1 (345) 949-4800
          Facsimile: +1 (345) 949-7164


WHITE OAK: Creditors' Proofs of Debt Due June 8
-----------------------------------------------
The creditors of White Oak Opportunity Fund, Ltd. are required to
file their proofs of debt by June 8, 2016, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on April 19, 2016.

The company's liquidator is:

          Nicola Cowan
          DMS Corporate Services Ltd.
          Telephone: (345) 946 7665
          Facsimile: (345) 949 2877
          dms House, 2nd Floor
          P.O. Box 1344 Grand Cayman KY1-1108
          Cayman Islands


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


PUERTO RICO: Seeking to Sell Water Bonds Even as Crisis Worsens
---------------------------------------------------------------
Michelle Kaske, writing for Bloomberg News, reported that Puerto
Rico is pushing for its water utility to borrow hundreds of
millions of dollars to avoid a July bond default, seeking to
overcome investors' skepticism as the island's fiscal crisis
pushes it to skip payments on a growing share of its $70 billion
of debt.

According to the report, the commonwealth's lawmakers are working
to reach a compromise on legislation that would create a new
public corporation to sell securities for the Puerto Rico Aqueduct
and Sewer Authority, known as Prasa.  The debt would be repaid
with a charge on customers' bills steered straight to the new
agency, providing some measure of security to bondholders by
putting it beyond the utility's reach, the report related.

"Once we get this bill done and it becomes law, I'm confident that
the market will see it as a good way to invest and lend money to
Prasa," said Senator Ramon Luis Nieves, who chairs that chamber's
committee on energy affairs and water resources and is working on
the bill, the report further related.

As reported in the Troubled Company Reporter-Latin America on Dec.
28, 2015, Moody's Investors Service has downgraded $1.09 billion
of Puerto Rico appropriation bonds issued by the Public Finance
Corporation (PFC) to C from Ca, while maintaining other ratings
assigned to the US territory's debt.

PUERTO RICO: Lew, Lawmakers Intensity Bill Push After Default
-------------------------------------------------------------
Laura Litvan and Saleha Mohsin, writing for Bloomberg News,
reported that lawmakers have missed one deadline to prevent Puerto
Rico from defaulting on its debt, and they're trying to figure out
how to build support for legislation that could prevent a second
missed payment.

According to the report, Republicans are seeking to produce a
revised bill, while U.S. Treasury Secretary Jacob J. Lew and the
top Democrat on the House Natural Resources Committee are
separately visiting the commonwealth to keep up the pressure for
Congress to act.

"There's an urgency because the situation is one that will just
get worse and worse if it doesn't get resolved," Lew told
reporters in San Juan on May 9.

The report said all sides are under pressure after a week-long
congressional recess, punctuated by Puerto Rico's default on most
of a $422 million debt payment.  Puerto Rico is in an economic
recession that's poised to worsen as residents continue to leave,
threatening to deepen the fiscal crisis that's pushing the island
to default on a growing share of its $70 billion of debt, the
report related.

House Natural Resources Chairman Rob Bishop of Utah plans to
revise Republican-drafted legislation that would create a federal
oversight board to help manage the island and supervise a debt
restructuring, the report further related.  It will be similar to
an earlier version, H.R. 4900, that ran into snags, according to a
committee aide who asked for anonymity to discuss the matter, who
said that the measure could be advanced by the panel, the report
added.

As reported in the Troubled Company Reporter-Latin America on Dec.
28, 2015, Moody's Investors Service has downgraded $1.09 billion
of Puerto Rico appropriation bonds issued by the Public Finance
Corporation (PFC) to C from Ca, while maintaining other ratings
assigned to the US territory's debt.



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


TRINIDAD AND TOBAGO: Unemployment Rate Rises to 3.5%
----------------------------------------------------
Trinidad Express reports that Trinidad and Tobago's unemployment
rate has increased again.

Data from the Central Statistical Office (CSO) showed that the
rate climbed from 3.4 per cent in the third quarter of 2015 to 3.5
per cent in the fourth quarter of 2015, according to Trinidad
Express.


                            ***********


Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Monday
Bond Pricing table is compiled on the Friday prior to publication.
Prices reported are not intended to reflect actual trades.  Prices
for actual trades are probably different.  Our objective is to
share information, not make markets in publicly traded securities.
Nothing in the TCR-LA constitutes an offer or solicitation to buy
or sell any security of any kind.  It is likely that some entity
affiliated with a TCR-LA editor holds some position in the
issuers' public debt and equity securities about which we report.

Tuesday's edition of the TCR-LA features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets.  A company may establish reserves on its balance sheet for
liabilities that may never materialize.  The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.

Submissions about insolvency-related conferences are encouraged.
Send announcements to conferences@bankrupt.com


                            ***********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, and Peter A.
Chapman, Editors.

Copyright 2016.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any comillionercial 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.


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