/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/160718.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Monday, July 18, 2016, Vol. 17, No. 140 Headlines B O L I V I A BOLIVIA: Fitch Lowers IDR to 'BB-', Outlook Stable B R A Z I L BRAZIL: Ceara State to Boost its Health Program OI SA: Aims to Triple Customers in Key Category Amid Bankruptcy C A Y M A N I S L A N D S 36KR INC: Shareholders' Final Meeting Set for Aug. 8 EAST PARK: Shareholders' Final Meeting Set for July 28 EJF GREATER: Shareholders' Final Meeting Set for July 29 KING INVESTMENTS: Shareholders' Final Meeting Set for Aug. 5 LP GLOBAL: Shareholder to Hear Wind-Up Report on Aug. 2 MONEDA ABSOLUTE: Member to Hear Wind-Up Report on July 28 OHA AVAERO: Shareholders' Final Meeting Set for July 29 PIONERO CHILE: Member to Hear Wind-Up Report on July 28 PIONERO CHILE MASTER: Member to Hear Wind-Up Report on July 28 SJK CAPITAL: Shareholder to Hear Wind-Up Report on July 28 SJK CAPITAL MASTER: Shareholder to Hear Wind-Up Report on July 28 STAR HOLDINGS: Shareholders' Final Meeting Set for Aug. 5 STRAKE INVESTMENTS: Shareholders Receive Wind-Up Report D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Haiti Adds Red Tape to Import Food Staples DOMINICAN REPUBLIC: Bank Dollar 'Injection' Calms the Market E L S A L V A D O R AES EL SALVADOR II: Fitch Affirms 'B+' IDR, Outlook Stable P A N A M A ENA NORTE: Fitch Lowers Rating on Trust to 'BB+' P E R U PESQUERA EXALMAR: S&P Affirms 'B' CCR & Maintains on Watch Neg. P U E R T O R I C O ANTILLES CARPET: Disclosure Statement Hearing on August 24 STAR BODY EXPERT: Plan Outline Okayed, Plan Hearing on Aug. 10 GUSTAVO ARANGO: Hires BDO Puerto Rico PSC as Accountant GUSTAVO ARANGO: Hires C. Conde & Associates as Attorney X X X X X X X X X * BOND PRICING: For the Week From July 11 to July 15, 2016 - - - - - ============= B O L I V I A ============= BOLIVIA: Fitch Lowers IDR to 'BB-', Outlook Stable -------------------------------------------------- Fitch Ratings has downgraded Bolivia's Long-Term Foreign and Local Currency Issuer Default Ratings to 'BB-' from 'BB'. The Rating Outlook is Stable. The issue ratings on Bolivia's senior unsecured Foreign and Local Currency bonds have also been downgraded to 'BB-' from 'BB'. The Country Ceiling has been downgraded to 'BB-' from 'BB' and the Short-Term Foreign Currency IDR is affirmed at 'B'. KEY RATING DRIVERS The downgrade of Bolivia's IDRs reflects these key rating drivers: The weaker gas price outlook and the government's policy response have resulted in large "twin deficits" in Bolivia. Sizeable fiscal and external buffers offer policy flexibility to accommodate the external shock, but they are likely to continue to decline at a rapid pace, as an ambitious state-led development plan focusing on sustaining growth and diversifying the economy unveiled this year envisions fiscal and external deficits rising further. Public finances face a revenue shock as gas prices have fallen below levels expected a year ago. The non-financial public sector deficit jumped to 6.9% of GDP in 2015 from 3.4% in 2014, above the official mid-year forecast of 4.1%. The general government deficit rose to 4.5% of GDP in 2015, above Fitch's previous estimates. Current spending also increased (driven by salaries) but was partly offset by lower capital spending. In line with official projections, Fitch expects the general government deficit will rise further to an average 6% of GDP in 2016-2018, significantly above the 'BB' median of 3.8%, as capital spending on development projects ramps up and current spending pressures persist. Fitch expects deficits will be financed in part by drawdown of sizeable deposit holdings, as observed in 2015, but projects higher borrowing needs will lift general government debt from 35% of GDP in 2015 to 46% of GDP by 2018, converging with the 'BB' median and around 10pp higher than forecast last year. These projections include government guarantees on loans to state-owned companies, which totaled 4.7% of GDP at end-2015. The current account balance swung sharply negative in 2015 (6.6% of GDP) after 12 years of surpluses. Fitch projects the CAD will average 7.5% of GDP in 2016-2018, well above the 'BB' median of 1.6%, partly reflecting higher capital imports related to public development projects. Foreign direct investment flows have fallen to relatively low levels as weaker profits among energy companies have cut into reinvested earnings. The authorities have remained committed to the stable XR regime as an anchor for containing inflation and advancing de-dollarization. The boliviano is estimated to be materially stronger than its 10-year average in real effective terms, posing a challenge to competitiveness and external adjustment. Reserve levels remain the highest in the 'BB' category at 33% of GDP (USD11.6 billion) as of mid-2016, but are declining at a rapid pace on reduced FX inflows and expansive fiscal policy. Reserves fell by USD2 billion in 2015 and by nearly USD1.5 billion in the first half of 2016. The sovereign's strong net external creditor position (73% of CXR in 2015) is expected to deteriorate in the forecast period as reserves fall and external indebtedness rises. The state-led growth model sustained firm growth of 4.8% in 2015, above regional and 'BB' peers, but has not prompted crowding-in of private investment, which fell in nominal terms in 2015. Expansive policies (fiscal, monetary and quasi-fiscal central bank lending to SOEs) and the stable exchange-rate regime could become more difficult to sustain given the current pace of erosion of buffers. In Fitch's view, it is likely that a second referendum to allow President Evo Morales to seek re-election for a fourth term may be introduced after such a referendum failed in February, which could increase political incentives to use buffers in support of growth. The Stable Outlook on Bolivia's 'BB-' ratings reflects its strong fiscal and external balance sheets, which are projected to deteriorate during the forecast period but will likely remain within the tolerance range of the 'BB-' rating. Favorable and stable growth rates also support the current rating. The ratings are constrained by Bolivia's low GDP per capita, weak institutional quality and a poor business environment relative to 'BB'-rated sovereigns. High export commodity dependence of 70% of current external receipts is above the 'BB' median of 20%, exposing credit metrics to terms of trade shocks and gas supply shortages. Gas production should remain stable in the coming years as production at the new Incahuasi field offsets declines at mature fields, fulfilling local demand and export contracts with Brazil and Argentina (notwithstanding some supply cuts to the latter during periods thus far in 2016). The outlook beyond 2019 is less clear in the absence of large new discoveries. To stimulate exploration and production, the authorities passed a hydrocarbon incentives law in late-2015 and have outlined a large USD7.3 billion upstream investment plan for 2016-2020 (21% of GDP). Macroeconomic stability has been preserved in the context of policy stimulus. Inflation has remained around 3%-5% since early- 2015. Lending growth has remained high, fuelled by expansive monetary policies and a 2013 law establishing lending quotas to certain sectors. Fitch's Macro-Prudential Indicator of '3' for Bolivia indicates a potential for financial stress given rapid credit growth and real exchange rate appreciation, but the agency notes that indicators of bank solvency, asset quality and profitability have remained healthy. SOVEREIGN RATING MODEL (SRM) and QUALITATIVE OVERLAY (QO) Fitch's proprietary SRM assigns Bolivia a score equivalent to a rating of 'BB' on the Long-Term Foreign Currency IDR scale. Fitch's sovereign rating committee adjusted the output from the SRM to arrive at the final Long-Term Foreign Currency IDR by applying its QO, relative to rated peers, as follows: -- Macroeconomic Performance and Policy Management: -1 notch, to reflect risks to consistency of expansive policies (fiscal, monetary, quasi-fiscal central bank lending) and the stabilized exchange rate amid eroding policy buffers. Fitch's SRM is the agency's proprietary multiple regression rating model that employs 18 variables based on three year centred averages, including one year of forecasts, to produce a score equivalent to a Long-Term Foreign Currency IDR. Fitch's QO is a forward-looking qualitative framework designed to allow for adjustment to the SRM output to assign the final rating, reflecting factors within our criteria that are not fully quantifiable and/or not fully reflected in the SRM. RATING SENSITIVITIES These risk factors individually, or collectively, could trigger a negative rating action: -- Greater-than-expected deterioration of fiscal and external balance sheets; -- Signs of increased macroeconomic instability or stress in the financial system; -- Evidence of external financing constraints. These risk factors individually, or collectively, could trigger a positive rating action: -- Sustained fiscal deficit reduction that improves public debt dynamics; -- Reduction in the current account deficit and improvement in external solvency and liquidity metrics; -- Evidence of improvement in governance and the business climate that supports stronger investment and growth prospects. KEY ASSUMPTIONS -- Fitch assumes Bolivia will be able to maintain natural gas production around present levels and meet requirements for the local market and export contracts with Argentina and Brazil in 2016-2018. -- Fitch's latest forecasts project Brent oil prices (a benchmark for Bolivia's energy contracts) will average USD35/barrel in 2016, USD45 in 2017, and USD55 in 2018. =========== B R A Z I L =========== BRAZIL: Ceara State to Boost its Health Program ----------------------------------------------- The Inter-American Development Bank (IDB) has approved a $123 million loan to support investments by the Brazilian state of Ceara in the second phase of its healthcare program. Ceara, like many other areas in the country, is undergoing major demographic and epidemiological changes, including an increase in chronic diseases affecting its population. In line with a series of actions implemented over the past few years, the loan will help improve service management efficiency, including full computerization of the hospital information network, building a healthcare logistics hub, training personnel and implementing a medical protocol and accreditation system for some 30 healthcare facilities. The project also contemplates expanding access to more complex services in priority regions and integrating them with primary healthcare services in order to ensure integral health protection. It will also fund the construction and equipping of the Litoral- Jaguaribe Regional Hospital, the Metropolitan Hospital and a polyclinic in Fortaleza. The $123 million loan, from the Bank's ordinary capital, is for a 25-year term, with a 5.5 year grace period, at a Libor-based interest rate. The project includes $55.5 million in local counterpart funding, amounting to a total investment of $178.5 million. The executing agency is the Ceara State government through the state's Health Secretariat. As reported in the Troubled Company Reporter-Latin America on March 29, 2016, severe contraction that was preceded by several years of below-trend growth has impaired Brazil's (Ba2 negative) underlying economic strength, despite the country's large and diversified economy, says Moody's Investors Service. The country's credit rating is also coming under pressure from the government's high level of mandatory spending. OI SA: Aims to Triple Customers in Key Category Amid Bankruptcy --------------------------------------------------------------- Fabiola Moura at Bloomberg News reports that Oi SA is sticking to its year-end goals of tripling subscribers who use multiple services and boosting investments by 25 percent even as the phone carrier works through Brazil's biggest-ever bankruptcy, Chief Executive Officer Marco Schroeder said. The company is current in payments to suppliers and aims to continue on that front to guarantee service to customers during the bankruptcy process, Schroeder said in his first-sit down interview since taking the helm of the Rio de Janeiro-based operator a month ago, according to Bloomberg News. In March, Oi offered a package of mobile, landline, broadband and pay-TV services for customers across the country. Oi Total had 320,000 subscribers as of June and aims to reach 1 million this year, the company said, Bloomberg News notes. "We are working for Oi's bankruptcy protection to be a case of success," Bloomberg News quoted Mr. Schroeder as saying. "Shareholders, debtholders, Anatel, everybody wants to maintain a healthy operation," he said, referring to the country's telecommunications regulator, Bloomberg News relays. Oi filed for protection in June after failing to reach a restructuring agreement with creditors covering BRL65.4 billion ($20 billion) of debt, Bloomberg News notes. As it stops servicing its debt, Oi will have more cash to invest in its business, Mr. Schroeder said. The company plans to spend BRL5 billion this year, compared with BRL4 billion in 2015, Bloomberg News notes. "The longer we stay current with our payment, the safer our suppliers feel that we will continue paying our bills," Schroeder said, Bloomberg News relays. The company is moving forward on discussions with creditors and aims to present a recovery plan to the court before a 60-business day deadline, he said, Bloomberg News discloses. He declined to comment on a group of creditors, advised by New York-based investment bank Houlihan Lokey Inc., that is said to have formed to oppose the reorganization plans on the table, Bloomberg News relays. Oi SA's management is also facing criticism from one of its biggest investors over the company's board makeup, Bloomberg News notes. It has until July 15 to answer a request from Nelson Tanure's Bridge Administradora de Recursos Ltda. for a shareholders' meeting at which it would seek to oust directors who represent Pharol SGPS SA, the Portuguese holding company that is Oi's largest shareholder, according to Oi's website, Bloomberg News discloses. Oi's timetable to present a recovery plan may be extended because of the Olympic Games, scheduled for August in Rio, Bloomberg News says. If the state courts decide not to work during the games, the period could reach into October. Bloomberg News adds. About Oi SA Headquartered in Rio de Janeiro, and operating almost exclusively within Brazil, the Oi Group provides services like fixed-line data transmission and network usage for phones, internet, and cable, Wi-Fi hot-spots in public areas, and mobile phone and data services, and employs approximately 142,000 direct and indirect employees. Ojas N. Shah filed a Chapter 15 petition for Oi S.A. (Bankr. S.D.N.Y. Case No. 16-11791), Oi Movel S.A. (Bankr. S.D.N.Y. Case No. 16-11792), Telemar Norte Leste S.A. (Bankr. S.D.N.Y. Case No. 16-11793), and Oi Brasil Holdings Cooperatief U.A. (Bankr. S.D.N.Y. Case No. 16-11794) on June 21, 2016. The case is assigned to Judge Sean H. Lane. The Chapter 15 Petitioner is represented by John K. Cunningham, Esq., and Mark P. Franke, Esq., at White & Case LLP, in New York; and Jason N. Zakia, Esq., Richard S. Kebrdle, Esq., and Laura L. Femino, Esq., at White & Case LLP, in Miami, Florida. ========================== C A Y M A N I S L A N D S ========================== 36KR INC: Shareholders' Final Meeting Set for Aug. 8 ---------------------------------------------------- The shareholders of 36KR Inc. will hold their final meeting on Aug. 8, 2016, at 11:00 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Maricorp Services Ltd. c/o Roger L. Nelson P.O. Box 2075 Grand Cayman KY1-1105 Cayman Islands Telephone: 345-949-9710 EAST PARK: Shareholders' Final Meeting Set for July 28 ------------------------------------------------------ The shareholders of East Park Global Opportunities Fund will hold their final meeting on July 28, 2016, at 8:00 p.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Gonzalo Jalles Telephone: (345) 949-8599 Facsimile: (345) 949-4451 Harneys Services (Cayman) Limited Harbour Place, 4th Floor 103 South Church Street P.O. Box 10240 Grand Cayman KY1-1002 Cayman Islands EJF GREATER: Shareholders' Final Meeting Set for July 29 -------------------------------------------------------- The shareholders of EJF Greater China Fund, Ltd. will hold their final meeting on July 29, 2016, at 11:00 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Walkers Liquidations Limited Cayman Corporate Centre 27 Hospital Road, George Town Grand Cayman KY1-9008 Cayman Islands Telephone: +1 345 949 0100 KING INVESTMENTS: Shareholders' Final Meeting Set for Aug. 5 ------------------------------------------------------------ The shareholders of King Investments GP, Inc will hold their final meeting on Aug. 5, 2016, at 9:15 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Intertrust SPV (Cayman) Limited 190 Elgin Avenue, George Town Grand Cayman KY1-9005 Cayman Islands c/o Susan Craig Telephone: (345) 943-3100 LP GLOBAL: Shareholder to Hear Wind-Up Report on Aug. 2 ------------------------------------------------------- The shareholder of LP Global Holdings Co. will hear on Aug. 2, 2016, at 10:15 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Palmer Law Firm, Chtd c/o Daniella Skotnicki Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949 9877 MONEDA ABSOLUTE: Member to Hear Wind-Up Report on July 28 --------------------------------------------------------- The member of Moneda Absolute Return Master Fund, Ltd. will hear on July 28, 2016, at 10:20 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Elian Fiduciary Services (Cayman) Limited c/o Padraig Hoare Telephone: +1 (345) 815 1415 Facsimile: +1 (345) 945-6265 OHA AVAERO: Shareholders' Final Meeting Set for July 29 ------------------------------------------------------- The shareholders of Oha Avaero Holdings, Ltd. will hold their final meeting on July 29, 2016, at 10:50 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Walkers Liquidations Limited Cayman Corporate Centre 27 Hospital Road, George Town Grand Cayman KY1-9008 Cayman Islands Telephone: +1 345 949 0100 PIONERO CHILE: Member to Hear Wind-Up Report on July 28 ------------------------------------------------------- The member of Pionero Chile Small Cap Fund will hear on July 28, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Elian Fiduciary Services (Cayman) Limited c/o Padraig Hoare Telephone: +1 (345) 815 1415 Facsimile: +1 (345) 945-6265 PIONERO CHILE MASTER: Member to Hear Wind-Up Report on July 28 -------------------------------------------------------------- The member of Pionero Chile Small Cap Master Fund will hear on July 28, 2016, at 10:10 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Elian Fiduciary Services (Cayman) Limited c/o Padraig Hoare Telephone: +1 (345) 815 1415 Facsimile: +1 (345) 945-6265 SJK CAPITAL: Shareholder to Hear Wind-Up Report on July 28 ---------------------------------------------------------- The shareholder of SJK Capital Offshore Fund Ltd will hear on July 28, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: SJK Capital Management LLC c/o Madeleine Welham Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949 9877 SJK CAPITAL MASTER: Shareholder to Hear Wind-Up Report on July 28 ----------------------------------------------------------------- The shareholder of SJK Capital Master Fund Ltd will hear on July 28, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: SJK Capital Management LLC c/o Madeleine Welham Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949 9877 STAR HOLDINGS: Shareholders' Final Meeting Set for Aug. 5 --------------------------------------------------------- The shareholders of Star Holdings Ltd. will hold their final meeting on Aug. 5, 2016, 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: SCL Limited Smeets Law (Cayman Reference: JAPF Telephone: (+1) 345 815 2800 Facsimile: (+1) 345 947 4728 Suite 2206, Cassia Court 72 Market Street Camana Bay P.O. Box 32302 Grand Cayman, KY1-1209 Cayman Islands STRAKE INVESTMENTS: Shareholders Receive Wind-Up Report ------------------------------------------------------- The shareholders of Strake Investments Ltd. received on July 11, 2016, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: TC Directors (Channel Islands) Limited Lefevbre Court, Lefevbre Street St. Peter Port Guernsey Channel Islands =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Haiti Adds Red Tape to Import Food Staples -------------------------------------------------------------- Dominican Today reports that Haiti's Government has placed new requirements in place for imports into that country on food staples such as flour, bouillon cubes and other forms of soups and broths. The measure that took effect June 30 drafted by the economic ministries restrict the entry of products to the Haitian market require an import authorization issued upon request" to the Commerce and Industry Ministry, said the notice to importers, according to Dominican Today. It says five duly authenticated documents must accompany the import request, the first a "favorable opinion" of those agencies, the report notes. Prior to import, Port-au-Prince also requires a declaration by the Societe Generale de Suveillance SA (SGS), a multinational that provides inspection, verification, testing and certification, the report relays. Moreover, the Haitian government demands Dominican phytosanitary certificates issued by the competent authority for suppliers of industrial products, in this case, Dominican Republic, the report adds. As reported in the Troubled Company Reporter-Latin America on July 1, 2016, Moody's Investors Service has changed the outlook on the Dominican Republic's long term issuer and debt ratings to positive from stable. The ratings have been affirmed at B1. DOMINICAN REPUBLIC: Bank Dollar 'Injection' Calms the Market ------------------------------------------------------------ Dominican Today reports that Herrera and Santo Domingo Province Industries Association (AEIH) President Antonio Taveras said the flow of currency in the Dominican Republic is back to normal, after the Central Bank injected US$100 million in the market. Mr. Taveras lauded the Central Bank's intervention, but warned that the currencies market especially the dollar, has a "profound character" in the Dominican economy which in his view could be repeated cyclically, according to Dominican Today. "The local economy isn't producing enough dollars needed for imports," the business leader said when asked if there's a lull in production, the report quoted Mr. Taveras as saying. "We're still uncompetitive in international markets and have payments deficit in the balance of trade with many countries, and we're increasingly importing more and exporting less," Mr. Taveras added. Although Central Bank Hector Valdez Albizu last week said the country has the necessary currency reserves to deal with any situation with the US currency, Taveras reiterated that the country's economy needs more dollars every day, "which aren't being produced," the report discloses. As reported in the Troubled Company Reporter-Latin America on July 1, 2016, Moody's Investors Service has changed the outlook on the Dominican Republic's long term issuer and debt ratings to positive from stable. The ratings have been affirmed at B1. ==================== E L S A L V A D O R ==================== AES EL SALVADOR II: Fitch Affirms 'B+' IDR, Outlook Stable ---------------------------------------------------------- Fitch Ratings has affirmed AES El Salvador Trust II's Long-Term Foreign and Local Currency Issuer Default Ratings at 'B+'. The Rating Outlook is Stable. In addition, Fitch affirms the USD310 million notes due 2023 at 'B+/RR4'. AES El Salvador Trust II is a special purpose vehicle created to issue notes guaranteed by four AES-controlled distribution companies in El Salvador: Compania de Alumbrado Electrico de San Salvador S. A. de C. V., AES CLESA y Compania, S. en C. de C.V., Empresa Electrica de Oriente, S.A. de C.V., and Distribuidora Electrica de Usulutan, S.A. de C.V. KEY RATING DRIVERS The rating affirmation reflects Fitch's expectations that AES El Salvador's cash flow generation will be unaffected amidst increased uncertainty surrounding continuity of existing subsidy scheme. Fitch expects AES El Salvador to collect subsidies for low consumption users from industrial and high consuming residential users after the recent news that the El Salvador government and its hydroelectric generation company will not be able to continue funding such subsidy. AES El Salvador ratings also consider the company's exposure to the sustained weakening macroeconomic conditions in El Salvador, which could affect electricity demand, collections and non-technical electric losses. NEW SOURCES FOR SUBSIDY FUNDING UNDER DISCUSSION There are significant downside risks to wholly defunding subsidies for Salvadorian user consuming less than 100kWh, which could affect AES El Salvador's cash flow generation. Based on first quarter 2016 (1Q16) invoicing, AES El Salvador is on track for approximately USD77 million of subsidized revenues for the full year 2016, or approximately 12% of total revenues under Fitch's base case assumptions. This amount compares with approximately USD80 million of expected EBITDA generation for 2016. Failure to find alternate funding sources for these subsidies would have social and economic consequences for the country, as roughly 60% of AES El Salvador's users qualify for subsidy support. If AES El Salvador's companies were forced to reflect the full energy cost on low-consumption users' bill, it would likely result in attrition from the formal distribution system and a higher incidence of non-technical losses. Alternately, a poorly communicated or executed tariff adjustment process could also precipitate similar responses from non-subsidized residential and commercial users who feel that cross subsidies would represent an undue burden. Reasons to remain sanguine about the likelihood of relatively painless transition to a cross subsidy scheme that would not result in a meaningful cash flow impact for AES El Salvador include: a government commitment to cover subsidies up to June of 2016 and the expectation of a smooth transition into a new cross subsidy scheme. The government has already agreed to satisfy all subsidy-related invoices incurred in the first half of 2016 (1H2016), and has maintained its historically consistent payment cycle of around 55 days. Furthermore, the importance of a smoothly functioning electricity system has been recognized by the government as recently as 2013, when it revised the country's tariff structure to provide greater cost flexibility to the sector. While public reaction to the cross subsidy proposal has been largely negative, El Salvador, recently affirmed by Fitch at 'B+', benefits from better social development and governance indicators, as well as higher per capita income than its rating category peers. Finally, with AES El Salvador's broad geographic coverage, its companies are well positioned to negotiate with regulators for an effective solution. The current uncertainty surrounding this issue follows the recent news that the Salvadorian state-owned hydroelectric company, Comision Ejecutiva Hidroelectrica del Rio Lempa (CEL), would be defunding its subsidies for low-consumption residential users. Consequently, the president and Minister of Economy signed and published a decree roughly outlining a proposal to modify the country's electricity tariff structure such that it would effectively create cross-subsidies within the system, due to begin July 16, 2016. STRONG MARKET POSITION AND LOW BUSINESS RISK AES El Salvador's low business risk results from its stable customer base and predictable cash flows. Although distribution service territories are not exclusive and distributors are free to compete for customers, the risk of new competition is low given that distribution companies possess significant economies of scale that make it inefficient for more than one company to operate in any particular geographic area. The ratings factor in the strong market position of AES El Salvador as the largest electric distribution group in the country. The group serves approximately 1.3 million customers and covers 80% of El Salvador's electricity distribution area. The group supplied 76% of the total energy demand in the country during 2015 (60% in 2014, 63% in 2013). The company's operations are considered efficient compared with other distribution companies in the region. In 2015, energy losses were 9.52% (2014: 9.32%). The tariff allows for recovery of 100% of technical losses recognized through tariff and 50% of non-technical losses. STRENGTHENING CREDIT FUNDAMENTALS SUPPORTED ON TARIFF STRUCTURE The company's credit profile is supported by its stable and predictable cash flow generation and strengthening credit metrics as result of higher EBITDA levels as outcome of the tariff reset for the 2013-2017 period. The tariff reset was determined as per the new methodology that considers real costs of the companies based on El Salvador distribution grid instead of an optimized company model as it was considered in the past methodology. Fitch considers that although the new methodology is positive for the issuer, it continues to be exposed to government intervention. Latest 12 month (LTM) EBITDA for the period ended in March 31, 2016, is USD88 million, and leverage is 3.6x (2015 EBITDA: USD89 million, debt/EBITDA 3.6x). KEY ASSUMPTIONS -- Minor, short-term impact to total demand and non-technical losses following the implementation of a cross subsidy program. -- Six months of subsidies are paid by CEL in 2016; all subsidies thereafter are passed through price adjustments. -- Company pays out cash above USD18 million as dividends. -- Spot energy prices gradually increasing through the medium term. -- Shrinking proportion of spot purchases versus PPAs. RATING SENSITIVITIES AES El Salvador's ratings could be negatively affected by any combination of the following factors: Failure to resolve the issue of subsidy funding sources in a timely manner; shortages of electricity supply resulting in lower consumption and lower cash flow generation; or further political or regulatory intervention that negatively affects the company's financial performance, including sustained deterioration in leverage above 4.5x. AES El Salvador's ratings could be positively affected by consistent leverage reduction; regulatory stability; sustainable independence from the government funding, and improving macroeconomic conditions in El Salvador. LIQUIDITY AES El Salvador's liquidity is supported by its cash on hand, which as of March 2016, was approximately USD55 million (year end 2015: USD45.3 million), and USD43 million of undrawn short-term bank credit facilities. Liquidity could be affected in case of higher energy prices for final users that could lead to higher aging account receivables. Should distribution companies be forced to issue additional debt to fund their working capital requirements, while they continue distributing dividends, their credit quality could deteriorate. In 2015, subsidies received by AES El Salvador totaled USD89.2 million compared to USD136.1 million in 2014. This reflects both a reduction in subsidy-eligible users and lower fuel and energy prices. Based on the first three months of 2016, AES El Salvador is on pace for USD77.7 million of subsidy charges for the full year 2016 (not including the possible 13% energy surcharge). FULL LIST OF RATING ACTIONS Fitch has affirmed these ratings: AES El Salvador Trust II -- Long-Term Foreign Currency IDR at 'B+'; -- Long-Term Local Currency IDR at 'B+'; -- Senior unsecured notes rating at 'B+/RR4'. The Rating Outlook is Stable. =========== P A N A M A =========== ENA NORTE: Fitch Lowers Rating on Trust to 'BB+' ------------------------------------------------ Fitch Ratings has taken rating actions on ENA Sur, ENA Este and ENA Norte Trusts' notes as: -- ENA Sur Trust (ENA Sur) affirmed at 'BBB' and 'AAA(pan)'; Outlook Negative; -- ENA Este Trust (ENA Este) downgraded to 'BB-' from 'BBB-' and to 'A(pan)' from 'AA+(pan)'; Outlook Negative; -- ENA Norte Trust (ENA Norte) downgraded to 'BB+' from 'BBB' and to 'AA-(pan)' from 'AAA(pan)'; Outlook Stable. ENA Sur's rating affirmation reflects the fact that its robust debt structure has allowed it to benefit from past positive performance and to deleverage to a point where nowadays it has no dependence on future traffic growth. ENA Sur's recent traffic performance shows decreases of 7.7% in 2015. Notwithstanding this fact, Fitch's base case long term expected traffic compound annual growth rate (CAGR) does not materially differ from ENA's. Yet, the lack of inflation adjustments in toll rates since the transactions have been placed has led to a general deterioration of the three toll roads' projected metrics. Fitch will assume henceforth that tolls will remain unchanged. As a result, ENA Sur's rating case loan life coverage ratio (LLCR) is 1.34x (1.43x in past review), on the low side of its rating category, but the project maintains low leverage as reflected in its debt to cash flow available for debt service (CFADS) at 6.8x. The downgrade of ENA Este's rating to 'BB-', Outlook Negative is mostly explained by its significant dependence on distributions from ENA Sur, which are now expected to be considerably lower and delayed in time. This, coupled with a one-year delay in its start of operations and a slower-than-expected traffic ramp-up, has led to an even lower cash flow generation. As a consequence, the likelihood of a default over the longer term will substantially increase, should government chose not to adjust toll rates in the coming years and prevent this outcome from happening. As with ENA Sur and Este, ENA Norte's Fitch base case long term expected traffic CAGR also does not materially differ from ENA's original traffic projections. Thus, despite recent positive traffic performance, the two notches downgrade of its rating to 'BB+' incorporates the expectation of weakened credit metrics (rating case LLCR of 1.12x), driven by the prospect of flat toll rates over an extended period of time. Differently from ENA Sur, which debt matures in 2025, ENA Norte's debt service repayment is dependent upon three more years of revenues, which explains unchanged tolls' more pronounced effect on the transaction's metrics. The Negative Outlook on ENA Sur and ENA Este's ratings reflects the fact that transactions' respective metrics are consistent with weaker ratings. The implementation of sufficient adjustments to tolls rates coupled with a solid traffic performance in the near future would likely strengthen credit protection measures to levels consistent with their rating categories, leading to an Outlook revision to Stable. KEY RATING DRIVERS Limited Volume Risk (Revenue Risk-Volume: Stronger for ENA Sur and ENA Norte; Midrange for ENA Este): The corridors represent a critical link for commuters and commercial traffic in the city of Panama. Given the recent infrastructure changes in the city, the assets have limited but increasing competition from free alternatives and other transportation modes. While traffic of corridors Sur and Norte has a long track record, corridor Este has recently started operations and traffic is currently in the ramp- up phase. Fixed Toll Rates (Revenue Risk-Price: Weaker): Although the concessionaire is entitled to annually adjust toll rates at inflationary levels, toll rates have not been increased by inflation and are not expected to be updated in the medium term. Toll rates are structurally protected with a covenant that prohibits toll rate reductions if debt service coverage ratio (DSCR) does not meet a minimum threshold. Suitable Infrastructure Plan (Infra Development & Renewal: Midrange): Sound contractual requirements to fund capital expenditure costs are in place for the three corridors. The roads are maintained in adequate conditions, while a moderate and inclusive maintenance plan is in place to maintain certain sections of corridor Sur requiring major investment. The capital investment program (CIP) is mainly internally funded. Given that corridor Este was recently built, it is not expected to require large major maintenance in the medium term. Construction works for a bridge located in corridor Este were reactivated. Conservative Debt Structure (Debt Structure: Stronger for ENA Sur and ENA Norte; Midrange for ENA Este): ENA Sur's debt carries fixed interest rates and a fully amortizing profile. The Class A notes have scheduled principal payments while the Class B notes feature a pass-through amortization scheme (flow zero). While ENA Norte Trust's debt structure is flow zero, ENA Este Trust's debt is structurally subordinated to ENA Sur as debt repayment is highly dependent on ENA Sur's distributions. There is a six-month debt service reserve account for ENA Sur and ENA Norte, while ENA Este maintains approximately USD30 million as debt reserve. Metrics ENA Sur's leverage has decreased over time and is now 6.8x under Fitch's rating case. The project generates sufficient revenues to maintain LLCR at 1.41x and 1.34x under the base and rating cases, respectively. ENA Norte's level of indebtedness is significant, reflected by its debt to CFADS of 10.1x in Fitch's rating case, and requires stable traffic growth to fully repay debt. Mandatory interest payments are vastly covered and Fitch's base case projections show full debt repayment with a small cushion of one year before maturity, while rating case shows debt fully paid at maturity. ENA Este's leverage is significant during the first years and the transaction requires a robust traffic growth to preserve financial flexibility. Rating case LLCR at 0.82x is low for the rating category. However, the transaction's debt structure (flow zero) and the view that the road is a public asset provide a considerable timeframe for actions to be taken by the Panamanian government to address economic imbalance. Peers: ENA Sur compares well particularly with RCO's 2013 notes, rated 'BBB', Outlook Stable, with Infrastructure Development and Renewal attribute at similar levels. ENA Sur has a Price Risk attribute at weaker, while RCO's is midrange. RCO's stronger Volume Risk assessment is partially offset by ENA Sur's Debt Structure considered as stronger. RCO's higher LLCR at 1.70x (versus 1.34x) comes from a longer debt term, which is reflected in ENA Sur's lower debt to CFADS (6.84x versus 7.58x). RATING SENSITIVITIES -- Positive: Positive actions taken by the government to support bond holder's interests. -- Negative: 2017 traffic below Fitch's expectations, insufficient toll rate adjustments, O&M expenses materially above expectations that cause financial flexibility to be reduced and result in a materially lower LLCR. This is an additional sensitivity for ENA Este: -- Negative: Sustainable lag in amount and timing of ENA Sur excess cash flow could pressure financial ratios. SUMMARY OF CREDIT ENA Sur's traffic levels decreased considerably in 2015, with tolled traffic decreasing by 7.7% and revenue decreasing 4.7%. This compares negatively to the traffic decreases of 5% and 7% expected by Fitch in its base and rating cases, respectively. The loss in volume was due to the following factors: i) the recent opening of the subway's first line, which is now an alternative form of transportation for the citizens of Panama, ii) the start of operations of corridor Este, as users in order to get to the airport of Tocumen are now using corridor Norte and continuing through corridor Este, instead of taking corridor Sur as they did in the past, iii) the implementation of the Panapass tolling system, and iv) the continued improvements of bus transportation in the city. As of the first four months of 2016, traffic in ENA Sur shows an increase of 4.4%, driven by an increase in light vehicles. However, revenue shows a lower increase at 1.1%, due to the fact that traffic of trucks has decreased significantly (-27.4%) with respect to the same period of 2015. This is due to the fact that heavy vehicles are using corridor Este. Following the same trend as in corridor Sur, traffic in corridor Norte decreased 3.5% in 2015, while revenue declined 1.6%. Nonetheless, as of May 2016, traffic and revenue show a strong recovery, growing at 11.5% and 10.2%, respectively when compared to the same period of last year. Corridor Este began operations in November 2015, with a delay of over one year, as initial estimates considered start of operations in September 2014. The delay did not only cause foregone revenues during most of 2015, but has also postponed traffic ramp-up. The concessionaire is currently implementing several initiatives in order to catch-up with projected traffic; however, in Fitch's opinion, at least a full year of operations will be needed to assess the extent of its impact on revenues. As of May 2016, traffic in corridor Este is still well below expectations for the whole year. As of the first five months of 2016, all roads remain predominantly commuting, as cars provide more than 90% of total traffic, and more than 80% of revenue. According to the transactions' documents, the issuer is to provide an updated traffic report by mid-2017. This will allow Fitch to better assess future traffic behaviour given the recent infrastructure changes in the city of Panama. The concessionaire is working on improving cash flow generation by optimising the operations of the assets. Some of these initiatives include the installation of police stations to reinforce the order and security of the roads, the implementation of Optical Character Recognition (OCR) programs in every toll booth to detect cars that avoid paying tolls and automatically apply fines to offenders, and the charging of tolls in segments that were free. In addition, the concessionaire has reactivated the construction works of a bridge located in corridor Este, which is expected to contribute with additional traffic. Partially offsetting the negative effect on the transactions' CFADS of assuming flat toll rates in the coming years, Fitch has adjusted down its assumptions of O&M costs increases to reflect past performance and management expectation. Thus, Fitch's base case for the three issuances assumed operating expenses were increased yearly at inflation plus 5%, while major maintenance was increased at inflation plus 5% above its respective maintenance program. Tariffs were assumed fixed for the rest of the term. Inflation was considered at 2.5% for 2016 and then fixed at 3.0% for the rest of the term. Traffic CAGR for ENA Sur, Norte and Este was assumed at 3.7%, 3.5% and 8.3%, respectively. Fitch's rating case assumed 7.5% real increase to operating expenses and major maintenance and traffic CAGR of 2.8%, 2.7% and 7.4%, respectively for ENA Sur, Norte and Este. ENA Sur's base case LLCR was 1.41x with a debt to CFADS ratio at 6.8x, while rating case metrics were 1.34x and 6.8x for LLCR and debt to CFADS, respectively. ENA Norte's base case LLCR was 1.19x with a debt to CFADS ratio at 10.0x, while rating case metrics were 1.12x and 10.1x for LLCR and debt to CFADS, respectively. ENA Este's base case LLCR was 0.92x with a debt to CFADS ratio at 17.8x and 29% of debt is not paid. Under the rating case LLCR is 0.82x, debt to CFADS is 17.9x and 44% of debt is not paid. The macroeconomic health of the country is supported by Fitch's view of the Panamanian sovereign. The country's rating was affirmed at 'BBB' with a Country Ceiling of 'A' in February 2016. Corridor Sur extends over 19.8 kilometers (approximately 12.3 miles) connecting Panama City's international airport (in the East) to the CBD (in the West). ENA Sur operates the toll road concession of corridor Sur, and has no other significant commercial activities. Empresa Nacional de Autopistas holds 100% of ENA Sur's shares. The Panama-Madden Segment (corridor Norte) is a 13.5-kilometer (8.4-mile) toll road that intersects Phase I on the eastern end and runs northwest, connecting to the Interstate Colon Highway. Phase IIB (corridor Este) is an extension of corridor Norte and is part of Phase II, connecting the eastern end of Phase IIA with the Pan-American highway in the Tocumen at the international airport. ======= P E R U ======= PESQUERA EXALMAR: S&P Affirms 'B' CCR & Maintains on Watch Neg. --------------------------------------------------------------- S&P Global Ratings affirmed its 'B' long-term corporate credit and issue-level ratings on Pesquera Exalmar S.A.A. and maintained its CreditWatch negative listing. The CreditWatch listing now reflects the potential negative implications on Exalmar's issue-level rating if the existing notes due 2020 become structurally subordinated to the secured debt that would be used to fund the proposed tender offer. It also continues to incorporate the downside risks related to the delays in the announcement of a lower than expected fishing quota for the first season of 2016, and the potential impact on production volumes. On July 12, 2016, Pesquera Exalmar announced a tender for up to 51% of its 7.375% $200 million notes outstanding due 2020, which the company intends to fund in part with up to $80 million in debt secured by several operating assets, including its vessels. Accordingly, if Exalmar receives 51% consent from bondholders and executes the tender offer, the company's priority liabilities would exceed 15% of its consolidated total adjusted assets, resulting in an at least a one-notch downgrade on all senior unsecured debt, due to structural subordination. The offer is set to expire on Aug. 5, 2016 and is comprised of two rounds: (1)An early tender date expiring on July 22, 2016, which considers an offer price of $810 for 1,000 notes; and (2) a late exchange commencing after the end of the early tender date and expiring on Aug. 5, 2016 with an offer price of $765 for 1,000 notes. S&P will resolve the CreditWatch listing within the next 90 days, after the tender offer is completed, and once S&P assess the company's liquidity and cash flow generation prospects upon confirmation of realized catch during the first season of 2016. ====================== P U E R T O R I C O ====================== ANTILLES CARPET: Disclosure Statement Hearing on August 24 ---------------------------------------------------------- The U.S. Bankruptcy Court for the District of Puerto Rico is set to hold a hearing on August 24, at 9:00 a.m., to consider the disclosure statement detailing Antilles Carpet, Inc.'s Chapter 11 plan. Objections to the disclosure statement must be filed not less than 14 days prior to the hearing. Antilles Carpet can be reached through: Carmen D. Conde Torres, Esq. C. Conde & Assoc. 254 San Jose Street, 5th Floor San Juan, PR 00901-1523 Tel: 787-729-2900 Fax: 787-729-2203 Email: condecarmen@condelaw.com About Antilles Carpet Antilles Carpet, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. P.R. Case No. 16-01724) on March 3, 2016. The petition was signed by John Hernandez Vazquez, vice-president. The case is assigned to Judge Brian K. Tester. At the time of the filing, the Debtor disclosed $224,281 in assets and $3.13 million in liabilities. STAR BODY EXPERT: Plan Outline Okayed, Plan Hearing on Aug. 10 -------------------------------------------------------------- Star Body Expert, Inc., is now a step closer to emerging from Chapter 11 protection after a bankruptcy court approved the outline of its plan of reorganization. The U.S. Bankruptcy Court in Puerto Rico on July 7 conditionally approved Star Body Expert's disclosure statement, allowing the company to begin soliciting votes from creditors for its plan. The bankruptcy court will hold a hearing on August 10, at 9:00 a.m., to consider final approval of the disclosure statement and confirmation of the plan. Objections to the restructuring plan and ballots accepting or rejecting the plan must be filed at least 10 days before the hearing. A copy of the court order is available without charge at https://is.gd/KSaxYo About Star Body Expert Star Body Expert, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. P.R. Case No. 15-06125) on August 11, 2015. The petition was signed by Carlos Olivero Pinero, president. The case is assigned to Judge Brian K. Tester. The Debtor is represented by Gerardo L Santiago Puig, Esq., at Santiago Puig Law Offices. At the time of the filing, the Debtor estimated its assets at $500,000 to $1 million and debts at $1 million to $10 million. GUSTAVO ARANGO: Hires BDO Puerto Rico PSC as Accountant ------------------------------------------------------- Gustavo Arango, Inc., seeks authorization from the U.S. Bankruptcy Court for the District of Puerto Rico to employ BDO Puerto Rico,PSC as accountant. The Debtor requires BDO Puerto Rico to: a. assist in the preparation of all financial data to be presented to the US Trustee's Office within the first 15 days after the filing. This date will be used for the IDI ("Initial Debtor's Interview") and the General Meeting of Creditors b. prepare financial projections and cash flows together with Accountant's Report therein; c. prepare Liquidation Analysis for the Bankruptcy Court along with its related Notes and Accountant's Report; d. assist Debtor's Legal Counseling in the preparation of the Plan of Reorganization, Disclosure Statement, and all the related documents for the Bankruptcy Court; e. prepare a Summary of Claims and Payment Plan Worksheets, reconciling the claims presented in the schedules with the proof of claims filed, presenting the status of each claims; f. classify claims and prepare the payment plan suggested for each class of claims, individually and in the aggregate; g. prepare the Feasibility Analysis and the Accountant's Report thereto; h. assist the Client in developing internal Plan of Reorganization and Cost Containment Program to reduce expenses, find revenues increase alternatives, and analysis of Debtor's operations; i. prepare and/or review of the Monthly Operating Reports for the Bankruptcy Court; j. assist in any matters related to creditors meetings, such as meetings with banks and major creditors, looking forward for effective negotiations which mat result in an effective reorganization of the client; k. assist in the organization of the dockets, proof of claims, and other related documents to reduce electronic filing costs and have effective access to all documents related to the Bankruptcy Court; l. assist the legal counselor in the efforts to restructure bank debts, obtain new financing source, and/or any Debtor-in-Possession or post-petition financing; m. provide litigation support as specialized financial witness; and n. assist the Legal Counselors in any litigation that may arise in the course of the reorganization that may require financial and accounting testimony and litigation support. BDO Puerto Rico will be paid at these hourly rates: Shareholder $175 Senior Manager/Manager $150 Senior Associate $100 Associate $85 Administrative/Intern $60 A retainer in the amount of $5,500 plus Sales and Use Tax has been required un this case and paid by Gustavo Arango. BDO Puerto Rico will also be reimbursed for reasonable out-of-pocket expenses incurred. Aida M. Escribani Ramallo from BDO Puerto Rico, PSC, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. BDO Puerto Rico may be reached at: Aida M. Escribani Ramallo BDO Puerto Rico, PSC PO Box 363436 1302 Ponce de Leon Avenue, 1st Floor San Juan, PR 00907 Tel: 787-754-3999 Fax: 787-754-3105 E-mail: aescribano@bdo.com.pr Gustavo Arango, Inc., filed a Chapter 11 petition (Bankr. D. P.R. Case No. 16-05118) on June 28, 2016, and is represented by Carmen D. Conde Torres, Esq. of C. Conde & Assoc. GUSTAVO ARANGO: Hires C. Conde & Associates as Attorney ------------------------------------------------------- Gustavo Arango, Inc., seeks authorization from the U.S. Bankruptcy Court for the District of Puerto Rico to employ C. Conde & Assoc., as Attorney. The Debtor requires C. Conde & Associates to: a. advise the debtor with respect to its duties, powers and responsibilities in his case under the laws of the United States and Puerto Rico in which the debtor in possession conducts its operation, do business, or is involved in litigation; b. advise the debtor in connection with a determination whether a reorganization is feasible and, if not, helping the debtor in the orderly liquidation of its assets; c. assist the debtor with respect to negotiations with creditors for the purpose of arranging the orderly liquidation of assets and/or for proposing a viable plan of reorganization; d. prepare on behalf of the debtor the necessary complaints, answers, orders, reports, memoranda of law and/or any other legal papers or documents; e. appear before the bankruptcy court, or any court which debtors assert a claim interest or defense directly or indirectly related to this bankruptcy case; f. perform other legals services for the debtor as may be required in these proceedings or in connection with the operation of/and involvement with the debtor's business, including but not limited to notarial services; g. employ other professional services, if necessary. C. Conde & Assoc., will be paid at these hourly rates: Carmen D. Conde Torres, Esq. $300 Associates $275 Junior Attorney $250 Paralegal $150 C. Conde & Assoc., received a retainer in the amount of $25,000. Carmen D. Conde Torres, Esq., senior attorney of C. Conde & Assoc., assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. C. Conde & Assoc., may be reached at: Carmen D. Conde Torres, Esq. 254 San Jose Street, 5th Floor Old San Juan, PR 00901 Telephone: 787-729-2900 Facsimile: 787-729-2203 E-mail: condecarmen@condelaw.com Gustavo Arango, Inc., filed a Chapter 11 petition (Bankr. D. P.R. Case No. 16-05118) on June 28, 2016, and is represented by Carmen D. Conde Torres, Esq. of C. Conde & Assoc. The Hon. Brian K. Tester presides over the case. ================= X X X X X X X X X ================= * BOND PRICING: For the Week From July 11 to July 15, 2016 ---------------------------------------------------------- Issuer Name Cpn Price Maturity Country Curr ----------- --- ----- -------- ------- ---- Alpha Star Holding II Lt 8.45 66.477 3/19/2034 EC USD Andino Investment Holdin 5.36 74.336 11/25/2020 EC USD Andino Investment Holdin 8.5 37.1 4/10/2018 VE USD Anton Oilfield Services 11.75 41 10/21/2026 VE USD Anton Oilfield Services 8.875 19.5 3/29/2017 MN USD BA-CA Finance Cayman 2 L 8 6.625 12/31/2018 CL USD BA-CA Finance Cayman Ltd 5.75 69.812 12/1/2034 KY USD Banco Bilbao Vizcaya Arg 4.375 46.75 4/25/2025 KY USD Banco BPI SA/Cayman Isla 7.5 61.25 4/3/2017 BR USD Banco do Brasil SA/Cayma 7.5 45.88 KY USD Banco do Brasil SA/Cayma 7.5 44.2 KY USD Banco do Brasil SA/Cayma 10 128.271 12/31/2020 KY USD Banco do Brasil SA/Cayma 4.625 69.075 3/1/2021 KY USD Banco Santander Puerto R 7.5 45 4/25/2019 HK USD BCP Singapore VI Cayman 8.625 68.5 11/1/2018 AE USD BCP Singapore VI Cayman 0.9551 42.75 12/1/2039 KY USD CA La Electricidad de Ca 5.93 73.652 11/1/2021 EC USD Caixa Geral De Depositos 9.5 29.75 4/23/2019 BR USD China Shanshui Cement Gr 7.375 69.875 1/31/2020 PE USD China Shanshui Cement Gr 6.5 69.989 12/1/2023 EC USD China Shanshui Cement Gr 7 47.25 4/21/2020 KY USD CSN Islands XI Corp 5.93 73.051 1/1/2022 EC USD CSN Islands XI Corp 10.75 34.639 2/12/2023 BR USD CSN Islands XII Corp 7 73.33 1/17/2023 CO COP CSN Islands XII Corp 3.95 61.977 3/15/2022 KY USD Decimo Primer Fideicomis 6.375 73.875 5/15/2043 CR USD Decimo Primer Fideicomis 7.7 68.067 7/1/2029 EC USD Delta Investment Horizon 5.36 75.108 12/30/2020 EC USD Ecuador Government Domes 7.75 71.389 4/25/2028 EC USD Ecuador Government Domes 7.75 71.389 4/25/2028 EC USD Ecuador Government Domes 7.5 65.375 4/3/2017 BR USD Ecuador Government Domes 6 43.875 4/5/2023 KY USD Ecuador Government Domes 6.25 73.089 4/6/2017 VE USD Ecuador Government Domes 6.375 73.835 5/15/2043 CR USD Ecuador Government Domes 6 31 5/16/2024 VE USD Ecuador Government Domes 9.75 36.95 5/17/2035 VE USD Ecuador Government Domes 4.625 69.5 5/21/2023 CN USD Ecuador Government Domes 8.5 75.01 5/25/2016 CN USD Ecuador Government Domes 3 74.109 5/26/2020 ID USD Ecuador Government Domes 8.45 65.784 5/30/2034 EC USD Ecuador Government Domes 9.25 35 5/7/2028 VE USD Ecuador Government Domes 4.875 75.819 6/1/2027 KY USD Ecuador Government Domes 5.75 74.625 6/11/2025 DO USD Ecuador Government Domes 5.75 74.625 6/11/2025 DO USD Ecuador Government Domes 7.7 68.164 6/11/2029 EC USD Ecuador Government Domes 7.7 68.201 6/11/2029 EC USD Ecuador Government Domes 7.7 68.201 6/11/2029 EC USD Ecuador Government Domes 8.45 65.975 6/11/2034 EC USD Ecuador Government Domes 8.45 67.415 6/11/2034 EC USD Ecuador Government Domes 8.45 67.415 6/11/2034 EC USD Ecuador Government Domes 7.7 68.158 6/12/2029 EC USD Ecuador Government Domes 7.7 68.195 6/12/2029 EC USD Ecuador Government Domes 8.45 67.408 6/12/2034 EC USD Ecuador Government Domes 8.45 67.408 6/12/2034 EC USD Ecuador Government Domes 7.75 70.121 6/25/2028 EC USD Ecuador Government Domes 7.75 71.073 6/25/2028 EC USD Ecuador Government Domes 7.75 71.073 6/25/2028 EC USD Ecuador Government Domes 5.125 43.35 6/26/2022 KY USD Ecuador Government Domes 5.125 44.625 6/26/2022 KY USD Ecuador Government Domes 7.125 43.5 6/26/2042 KY USD Ecuador Government Domes 7.125 42 6/26/2042 KY USD Ecuador Government Domes 5.25 43 6/27/2029 KY USD Ecuador Government Domes 6.35 31.25 6/30/2021 KY USD Ecuador Government Domes 6.35 31.5 6/30/2021 KY USD Ecuador Government Domes 7.7 68.032 7/1/2029 EC USD Ecuador Government Domes 7.7 68.067 7/1/2029 EC USD Ecuador Government Domes 8.45 67.291 7/1/2034 EC USD Ecuador Government Domes 8.45 65.863 7/1/2034 EC USD Ecuador Government Domes 8.45 67.291 7/1/2034 EC USD Ecuador Government Domes 13.625 62 8/15/2018 VE USD Ecuador Government Domes 13.625 45 8/15/2018 VE USD Ecuador Government Domes 13.625 49.881 8/15/2018 VE USD Empresa de Telecomunicac 5.64 71.931 12/30/2021 EC USD Empresa de Telecomunicac 5.42 50 3/28/2019 NO NOK Empresa Generadora de El 8.25 45.75 4/25/2018 KY BRL Empresa Generadora de El 4.625 72.512 5/21/2023 CN USD ESFG International Ltd 5.25 52 4/12/2017 VE USD General Exploration Part 5.125 34.75 12/15/2017 BR EUR General Shopping Finance 6.21 71.552 11/25/2023 EC USD General Shopping Finance 11.75 70.75 4/23/2018 KY USD Global A&T Electronics L 7.75 69.333 11/7/2028 EC USD Global A&T Electronics L 5.93 73.359 12/1/2021 EC USD Global A&T Electronics L 10 62.75 2/1/2019 SG USD Global A&T Electronics L 8.45 66.646 2/6/2034 EC USD Gol Finance Inc 6.75 23.75 10/1/2022 KY USD Gol Finance Inc 8.625 67.75 11/1/2018 AE USD Gol Finance Inc 4.15 71.5 11/14/2035 KY EUR Gol Finance Inc 5.25 47.25 3/15/2042 KY USD Gol Finance Inc 5.375 31.45 4/12/2027 VE USD Gol Finance Inc 5.5 32.64 4/12/2037 VE USD Gol Finance Inc 8.25 45.75 4/25/2018 KY BRL Golden Eagle Retail Grou 6 70.25 10/25/2041 PA USD Golden Eagle Retail Grou 6.95 65 4/1/2025 KY USD Greenfields Petroleum Co 12.75 42.4 2/17/2022 VE USD Honghua Group Ltd 6.5 67.24 11/15/2020 KY USD Honghua Group Ltd 8.45 66.414 4/2/2034 EC USD Instituto Costarricense 7.75 69.149 11/8/2028 EC USD Instituto Costarricense 7.5 51.602 4/15/2031 KY USD Inversiones Alsacia SA 7.5 46.274 11/6/2018 CN USD Inversiones Alsacia SA 10 62.75 2/1/2019 SG USD Inversora Electrica de B 7.5 34 4/25/2019 HK USD Kaisa Group Holdings Ltd 5.64 70.192 11/25/2021 EC USD Kaisa Group Holdings Ltd 5.61 68.567 12/1/2022 EC USD MIE Holdings Corp 7.75 70.495 10/23/2028 EC USD MIE Holdings Corp 6.21 71.691 11/1/2022 EC USD MIE Holdings Corp 8 57.65 4/15/2021 KY USD Mongolian Mining Corp 5.5 36.5 10/23/2020 BR USD Mongolian Mining Corp 8.875 16 3/29/2017 MN USD NB Finance Ltd/Cayman Is 7.75 69.111 11/8/2028 EC USD Newland International Pr 12.75 44.25 2/17/2022 VE USD Newland International Pr 7 46.125 4/21/2020 KY USD Noble Holding Internatio 6.625 22 10/1/2022 KY USD Noble Holding Internatio 5.75 61.11 10/24/2023 BR USD Noble Holding Internatio 4.125 61.46 11/1/2022 BR USD Noble Holding Internatio 6 30.75 11/15/2026 VE USD Noble Holding Internatio 5.93 71.815 11/25/2022 EC USD Noble Holding Internatio 7.5 46.5 11/6/2018 CN USD Noble Holding Internatio 7.75 69.371 11/7/2028 EC USD Noble Holding Internatio 9.875 31.05 11/9/2019 BR USD Odebrecht Drilling Norbe 7.25 53.375 1/18/2018 KY USD Odebrecht Drilling Norbe 7.75 69.102 12/19/2028 EC USD Odebrecht Finance Ltd 7 38.55 BR USD Odebrecht Finance Ltd 7 39.5 BR USD Odebrecht Finance Ltd 5.753 1 KY EUR Odebrecht Finance Ltd 7.75 37.25 10/13/2019 VE USD Odebrecht Finance Ltd 8.25 35.75 10/13/2024 VE USD Odebrecht Finance Ltd 9 35.75 11/17/2021 VE USD Odebrecht Finance Ltd 4 70.666 11/4/2023 AR USD Odebrecht Finance Ltd 0.9551 42.75 12/1/2039 KY USD Odebrecht Finance Ltd 7.75 69.102 12/19/2028 EC USD Odebrecht Finance Ltd 8 74.5 12/20/2049 CN CNY Odebrecht Finance Ltd 6 33.25 12/9/2020 VE USD Odebrecht Finance Ltd 3.38 63.175 2/7/2035 KY EUR Odebrecht Finance Ltd 3.8734 98 3/21/2017 KY USD Odebrecht Finance Ltd 7 36 3/31/2038 VE USD Odebrecht Finance Ltd 7.45 53.07 4/15/2027 KY USD Odebrecht Finance Ltd 6.875 73.411 4/22/2016 CN CNY Odebrecht Offshore Drill 9.375 37.75 1/13/2034 VE USD Odebrecht Offshore Drill 6 29.125 10/28/2022 VE USD Odebrecht Offshore Drill 7.125 65.73 12/15/2021 KY USD Odebrecht Offshore Drill 7.75 69.066 12/19/2028 EC USD Oi SA 7 73.33 1/17/2023 CO COP Oi SA 8 6 12/31/2018 CL USD Pesquera Exalmar SAA 2.8791 73.715 11/30/2032 CL USD Pesquera Exalmar SAA 7.65 35.5 4/21/2025 VE USD Petroleos de Venezuela S 6.25 54.25 KY USD Petroleos de Venezuela S 8.75 28.25 BR USD Petroleos de Venezuela S 0.99 43.333 KY EUR Petroleos de Venezuela S 5.95 50.25 1/30/2018 NO NOK Petroleos de Venezuela S 7.375 73.5 1/31/2020 PE USD Petroleos de Venezuela S 5.93 73.967 10/1/2021 EC USD Petroleos de Venezuela S 6.625 22.375 10/1/2022 KY USD Petroleos de Venezuela S 5.5 35.59 10/23/2020 BR USD Petroleos de Venezuela S 4.125 62 11/1/2022 BR USD Petroleos de Venezuela S 11 70.125 11/13/2020 PE USD Petroleos de Venezuela S 10 63.75 2/1/2019 SG USD Petroleos de Venezuela S 10.75 34.125 2/12/2023 BR USD Petroleos de Venezuela S 6.05 49 3/1/2041 KY USD Petroleos de Venezuela S 6.8 50 3/15/2038 KY USD Petroleos de Venezuela S 7.95 55.25 4/1/2045 KY USD Petroleos de Venezuela S 8 66.25 4/15/2021 KY USD Polarcus Ltd 7.75 69.371 11/7/2028 EC USD Provincia del Chaco 6 45 4/5/2023 KY USD PSOS Finance Ltd 7 41.5 12/1/2018 VE USD Rabobank Chile 5.25 41.55 6/27/2029 KY USD Republic of Ecuador Mini 8.45 65.752 5/30/2034 EC USD Republic of Ecuador Mini 9 37.25 5/7/2023 VE USD Republic of Ecuador Mini 6.4 72.465 6/12/2024 EC USD Republic of Ecuador Mini 6.4 72.563 6/12/2024 EC USD Republic of Ecuador Mini 6.4 72.563 6/12/2024 EC USD Republic of Ecuador Mini 8.45 65.97 6/12/2034 EC USD Republic of Ecuador Mini 8.45 67.196 7/17/2034 EC USD Republic of Ecuador Mini 8.45 65.789 7/17/2034 EC USD Republic of Ecuador Mini 8.45 67.196 7/17/2034 EC USD Republic of Ecuador Mini 9.25 36.1 7/20/2020 BR USD Republic of Ecuador Mini 9.25 38 7/20/2020 BR USD Republic of Ecuador Mini 7.75 69.949 7/24/2028 EC USD Republic of Ecuador Mini 7.75 70.932 7/24/2028 EC USD Republic of Ecuador Mini 7.75 70.932 7/24/2028 EC USD Republic of Ecuador Mini 9.5 23.375 7/3/2017 PA USD Republic of Ecuador Mini 9.5 23.375 7/3/2017 PA USD Republic of Ecuador Mini 4.9 73.401 8/1/2020 KY USD Republic of Ecuador Mini 7.75 69.885 8/1/2028 EC USD Republic of Ecuador Mini 7.75 70.899 8/1/2028 EC USD Republic of Ecuador Mini 7.75 70.899 8/1/2028 EC USD Republic of Ecuador Mini 6.2 50.923 8/1/2040 KY USD Republic of Ecuador Mini 12.75 43 8/23/2022 VE USD Republic of Ecuador Mini 11.95 40.5 8/5/2031 VE USD Republic of Ecuador Mini 7.7 67.63 9/10/2029 EC USD Republic of Ecuador Mini 7.7 67.663 9/10/2029 EC USD Republic of Ecuador Mini 7.7 67.663 9/10/2029 EC USD Republic of Ecuador Mini 8.45 65.552 9/10/2034 EC USD Republic of Ecuador Mini 8.45 66.897 9/10/2034 EC USD Republic of Ecuador Mini 8.45 66.897 9/10/2034 EC USD Republic of Ecuador Mini 7.75 69.687 9/11/2028 EC USD Republic of Ecuador Mini 7.75 70.719 9/11/2028 EC USD Republic of Ecuador Mini 7.75 70.719 9/11/2028 EC USD Republic of Ecuador Mini 5.625 72.25 9/11/2042 BR USD Republic of Ecuador Mini 9.75 33.382 9/15/2016 BR BRL Republic of Ecuador Mini 9.75 33.625 9/15/2016 BR BRL Republic of Ecuador Mini 9.125 67.887 9/15/2017 VE USD Republic of Ecuador Mini 9.25 40 9/15/2027 VE USD Republic of Ecuador Mini 6.875 55.25 9/21/2019 KY USD Republic of Ecuador Mini 6.875 57 9/21/2019 KY USD Republic of Ecuador Mini 7.45 45.015 9/25/2019 CN USD Republic of Ecuador Mini 7.45 45.125 9/25/2019 CN USD Republic of Ecuador Mini 6.5 58.5 9/26/2017 AR USD Republic of Ecuador Mini 5.375 61.25 9/26/2024 BR USD Republic of Ecuador Mini 5.375 53.75 9/26/2024 BR USD Republic of Ecuador Mini 7.7 67.506 9/30/2029 EC USD Republic of Ecuador Mini 7.7 68.779 9/30/2029 EC USD Republic of Ecuador Mini 7.7 68.779 9/30/2029 EC USD Republic of Ecuador Mini 8.45 65.454 9/30/2034 EC USD Republic of Ecuador Mini 8.45 66.784 9/30/2034 EC USD Republic of Ecuador Mini 8.45 66.784 9/30/2034 EC USD Samarco Mineracao SA 0.719 43 KY EUR Samarco Mineracao SA 7.75 69.436 10/23/2028 EC USD Samarco Mineracao SA 11.5 35.375 11/13/2018 CA USD Samarco Mineracao SA 1.353 73.375 12/17/2017 KY EUR Samarco Mineracao SA 6.21 68.503 12/30/2023 EC USD Samarco Mineracao SA 8.45 66.646 2/6/2034 EC USD Seagate HDD Cayman 7.75 70.495 10/23/2028 EC USD Seagate HDD Cayman 6.5 69.477 11/25/2024 EC USD Shelf Drilling Holdings 5.125 34.584 12/15/2017 BR EUR Shelf Drilling Holdings 8 52.15 4/15/2027 KY USD Siem Offshore Inc 10 67.99 2/1/2019 SG USD Siem Offshore Inc 7.5 79.5 3/10/2020 CN USD Telemar Norte Leste SA 9 68 KY USD Telemar Norte Leste SA 6.25 50.25 KY USD Telemar Norte Leste SA 5.75 61.25 10/24/2023 BR USD Telemar Norte Leste SA 7.75 69.149 11/8/2028 EC USD Telemar Norte Leste SA 6.875 49 2/6/2018 HK USD Telemar Norte Leste SA 5.25 43.273 3/21/2019 VE USD Telemar Norte Leste SA 5.6 45 3/30/2022 AE USD Transocean Inc 10 55 KY USD Transocean Inc 9 69.75 KY USD Transocean Inc 7.25 54 1/18/2018 KY USD Transocean Inc 4.54 58.625 10/25/2041 PA USD Transocean Inc 11 70 11/13/2020 PE USD Transocean Inc 6.75 104.4036 11/5/2021 PY USD Transocean Inc 7.5 75.375 12/10/2028 PR USD Transocean Inc 8.45 66.618 2/6/2034 EC USD US Capital Funding IV Lt 7.75 70.502 4/25/2028 EC USD US Capital Funding IV Lt 9.75 37.65 5/17/2035 VE USD Usiminas Commercial Ltd 10 55 KY USD Usiminas Commercial Ltd 8.45 66.451 3/19/2034 EC USD USJ Acucar e Alcool SA 6.5 69.901 1/1/2024 EC USD USJ Acucar e Alcool SA 5.93 73.323 12/30/2022 EC USD Vale SA 6.21 71.086 1/1/2023 EC USD Vantage Drilling Interna 9.875 33.25 11/9/2019 BR USD Venezuela Government Int 6.5 69.654 IE USD Venezuela Government Int 8.75 30.125 BR USD Venezuela Government Int 6.75 24.01 10/1/2022 KY USD Venezuela Government Int 4.3 54.766 10/15/2022 KY USD Venezuela Government Int 5.5 35.5 10/23/2020 BR USD Venezuela Government Int 6.5 70.288 11/1/2023 EC USD Venezuela Government Int 6 31.21 11/15/2026 VE USD Venezuela Government Int 9 33.9 11/17/2021 VE USD Venezuela Government Int 8.5 53.55 11/2/2017 VE USD Venezuela Government Int 8.45 66.477 3/19/2034 EC USD Venezuela Government Int 7.5 68.052 4/3/2017 BR USD Venezuela Government Int 6 30.25 5/16/2024 VE USD Venezuela Government Int 8.5 75.01 5/25/2016 CN USD Venezuela Government Int 8.45 65.784 5/30/2034 EC USD Venezuela Government Int 9 12.5 5/31/2017 US CAD Venezuela Government Int 7.7 68.195 6/12/2029 EC USD Venezuela Government TIC 8.45 66.414 4/2/2034 EC USD Venezuela Government TIC 9.5 30.05 4/23/2019 BR USD Venezuela Government TIC 4.375 41 4/25/2025 KY USD VRG Linhas Aereas SA 8.1 53.131 12/15/2041 KY USD VRG Linhas Aereas SA 8.45 66.386 4/2/2034 EC USD XLIT Ltd 8.5 53 11/2/2017 VE USD *********** 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. * * * End of Transmission * * *