/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/160809.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 Tuesday, August 9, 2016, Vol. 17, No. 156 Headlines B A H A M A S ULTRAPETROL (BAHAMAS): S&P Affirms Then Withdraws 'D' Ratings B R A Z I L BR PROPERTIES: S&P Affirms 'BB-' CCR, Outlook Remains Stable CAIXA ECONOMICA: S&P Affirms 'BB/B' FC & LC Ratings, Outlook Neg. PETROLEO BRASILEIRO: Fitch Retains 'BB' Issuer Default Ratings C A Y M A N I S L A N D S A.P. OPPORTUNITIES: Creditors' Proofs of Debt Due Sept. 1 BG MALAYSIA: Creditors' Proofs of Debt Due Aug. 22 GIA ABSOLUTE: Creditors' Proofs of Debt Due Aug. 17 GLOBALCOM: Creditors' Proofs of Debt Due Aug. 24 JUNIPER NETWORKS: Creditors' Proofs of Debt Due Sept. 1 NEZU KT: Placed Under Voluntary Wind-Up NEZU KUMA: Placed Under Voluntary Wind-Up PELORUS MARITIME: Creditors' Proofs of Debt Due Aug. 22 PPE HOLDINGS: Creditors' Proofs of Debt Due Sept. 1 RICH SOURCE: Creditors' Proofs of Debt Due Aug. 15 TAF MERCURY: Creditors' Proofs of Debt Due Aug. 31 TITAN I G: Creditors' Proofs of Debt Due Aug. 24 TREMONT MARKET: Creditors' Proofs of Debt Due Sept. 1 D O M I N I C A N R E P U B L I C * DOMINICAN REPUBLIC: Talks Leading to Electricity Pact Resume J A M A I C A * JAMAICA: IDB to Cut Difficulty of Doing Business in Country P U E R T O R I C O AEROPOSTALE INC: Plan Confirmation Hearing on Aug. 24 CUPEYVILLE SCHOOL: Unsecureds to Recoup 5% Under Plan V E N E Z U E L A AEROMEXICO: Workers Trafficking Charges TELEFONICA SA: Opens Rate Talks in Venezuela After Maduro's Threat X X X X X X X X X * LATAM: Structural Reforms Can Catalyze Growth, IMF Says - - - - - ============= B A H A M A S ============= ULTRAPETROL (BAHAMAS): S&P Affirms Then Withdraws 'D' Ratings ------------------------------------------------------------- S&P Global Ratings affirmed its 'D' corporate credit and issue- level ratings on South American shipping company Ultrapetrol (Bahamas) Ltd. S&P subsequently withdrew the ratings at the company's request. At the time of the withdrawal, the company was still negotiating with its debtholders to reach a definitive agreement on debt restructuring. =========== B R A Z I L =========== BR PROPERTIES: S&P Affirms 'BB-' CCR, Outlook Remains Stable ------------------------------------------------------------ S&P Global Ratings affirmed its 'BB-' global scale and 'brA' national scale corporate credit ratings on BR Properties S.A. S&P also affirmed the 'brA+' senior secured and 'brA' senior unsecured issue-level ratings. The outlook remains stable. The ratings affirmation and stable outlook reflect S&P's view that BR Properties will improve its credit metrics by 2017 on the back of higher occupancy and lower interest rates. Expected improvements in macroeconomic conditions in Brazil during 2017 would also allow BR Properties to keep its EBITDA margins above 80%, thanks to its high quality portfolio, despite its reduced size. The stable outlook reflects S&P's expectation that a still uncertain macroeconomic scenario and high interest rates will continue to pressure company's EBITDA interest coverage and FFO to debt in the short term, despite the recent debt reductions. Nevertheless, economic recovery from 2017 on should result in increasing cash flow generation leading to stronger credit metrics. S&P could lower the ratings in the next 12 months if it sees persistent pressures on its EBITDA margin and cash flow generation, either due to higher vacancy rates, reduced pricing power, and/or tightening financial flexibility. In that scenario, BR Properties' EBITDA interest coverage would drop below 1.3x, which may be accompanied by persistent deficits in operating cash flow. S&P could also downgrade the company if liquidity weakens under a more aggressive financial policy through dividend distributions or acquisitions. CAIXA ECONOMICA: S&P Affirms 'BB/B' FC & LC Ratings, Outlook Neg. ----------------------------------------------------------------- S&P Global Ratings affirmed its 'BB/B' foreign currency and local currency ratings on Caixa Economica Federal. At the same time, S&P affirmed its 'brAA-/brA-1' national scale ratings on the bank. The negative outlook is based on S&P's outlook on Brazil, and S&P expects the ratings on the bank to move in tandem with those on the sovereign. The bank's stand-alone credit profile (SACP) is 'bb'. The global scale foreign and local currency ratings on Caixa are the same as the sovereign ratings on Brazil and reflects S&P's view of an almost certain likelihood of extraordinary government support if needed. Though the SACP has no impact on the issuer credit rating because of the almost certain likelihood of government support, S&P believes that one-the bank has an adequate business position, weak capital and earnings, moderate risk position, above average funding and strong liquidity, leading to an SACP of 'bb'. The negative outlook reflects S&P's view that its ratings on Caixa should move in tandem with the sovereign, and there is a greater than one-in-three likelihood that S&P could lower the ratings on Brazil again. S&P anticipates that within the next year a downgrade could stem, in particular, from potential key policy reversals given the fluid political dynamics in Brazil, including lack of cohesion within the cabinet, inconsistent policy initiatives, and uncertainties during or following the impeachment process. A downgrade could also result from greater economic turmoil than S&P currently expects either due to governability issues or the weakened external environment. S&P could revise the outlook to stable, and the ratings could stabilize, if Brazil's political uncertainties and conditions for consistent policy execution were to improve across branches of government, stanching fiscal deterioration and strengthening GDP growth prospects. S&P expects that these improvements would support a quicker turnaround and could help Brazil exit from the current recession, facilitating improved fiscal performance and providing more room to maneuver in the face of economic shocks PETROLEO BRASILEIRO: Fitch Retains 'BB' Issuer Default Ratings -------------------------------------------------------------- Fitch Ratings has withdrawn its 'AA+(bra)' rating on Petroleo Brasileiro S.A.'s debenture issuance of up to BRL3 billion. The withdrawal of the rating follows Petrobras' cancelation of the issuance. As there is no set time frame for resuming the issuance process, no rating is required at this time. FULL LIST OF RATING ACTIONS Fitch currently rates Petrobras as follows: Petroleo Brasileiro S.A. -- Long-Term Foreign-Currency IDR 'BB'; Outlook Negative; -- Long-Term Local-Currency IDR 'BB'; Outlook Negative. Petrobras International Finance Company (PIFCO) -- International debt issuances 'BB'. Petrobras Global Finance B.V. (PGF) -- International debt issuances 'BB'. Petrobras Argentina S.A. -- International debt issuances 'BB'. ========================== C A Y M A N I S L A N D S ========================== A.P. OPPORTUNITIES: Creditors' Proofs of Debt Due Sept. 1 --------------------------------------------------------- The creditors of A.P. Opportunities Fund, Ltd. are required to file their proofs of debt by Sept. 1, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 14, 2016. The company's liquidator is: Norman Chan DMS Corporate Services Ltd. P.O. Box 1344 George Town KY1-1108 dms House, 20 Genesis Close Cayman Islands Telephone: (345) 946 7665 Facsimile: (345) 949 2877 BG MALAYSIA: Creditors' Proofs of Debt Due Aug. 22 -------------------------------------------------- The creditors of BG Malaysia SA are required to file their proofs of debt by Aug. 22, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on July 14, 2016. The company's liquidator is: Hugh Dickson c/o Prudence Pryce 10 Market Street #765, Camana Bay Grand Cayman KY1-9006 Cayman Islands Telephone: (345) 769 7207 Facsimile: (345) 949 7120 GIA ABSOLUTE: Creditors' Proofs of Debt Due Aug. 17 --------------------------------------------------- The creditors of Gia Absolute Return Fund are required to file their proofs of debt by Aug. 17, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 30, 2016. The company's liquidator is: Andre Slabbert c/o James Macfee Estera Trust (Cayman) Limited Clifton House, 75 Fort Street P.O. Box 1350 Grand Cayman KY1-1108 Cayman Islands Telephone: +1 (345) 814 4900 GLOBALCOM: Creditors' Proofs of Debt Due Aug. 24 ------------------------------------------------ The creditors of Globalcom are required to file their proofs of debt by Aug. 24, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 27, 2016. The company's liquidator is: Paget-Brown Trust Company Ltd. c/o Dominique Massias P.O. Box 1111 Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Facsimile: (345)-949-7920 JUNIPER NETWORKS: Creditors' Proofs of Debt Due Sept. 1 ------------------------------------------------------- The creditors of Juniper Networks Holdings (Ireland) are required to file their proofs of debt by Sept. 1, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on July 21, 2016. The company's liquidator is: Intertrust SPV (Cayman) Limited c/o Susan Craig 190 Elgin Avenue, George Town Grand Cayman KY1-9005 Cayman Islands Telephone: (345) 943-3100 NEZU KT: Placed Under Voluntary Wind-Up --------------------------------------- On July 20, 2016, the sole shareholder of Nezu KT Fund Ltd. resolved to voluntarily wind up the company's operations. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Richard Kincaid c/o Richard Bennett Ogier Central Tower, 11th Floor 28 Queen's Road Central Hong Kong Telephone: +852 3656 6069 Facsimile: +852 3656 6001 NEZU KUMA: Placed Under Voluntary Wind-Up ----------------------------------------- On July 20, 2016, the sole shareholder of Nezu Kuma Fund Ltd. resolved to voluntarily wind up the company's operations. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Richard Kincaid c/o Richard Bennett Ogier Central Tower, 11th Floor 28 Queen's Road Central Hong Kong Telephone: +852 3656 6069 Facsimile: +852 3656 6001 PELORUS MARITIME: Creditors' Proofs of Debt Due Aug. 22 ------------------------------------------------------- The creditors of Pelorus Maritime Ltd. are required to file their proofs of debt by Aug. 22, 2016, to be included in the company's dividend distribution. The company commenced wind-up proceedings on July 19, 2016. The company's liquidator is: Guy Neivens P.O. Box 33639 United Arab Emirates Abu Dhabi Telephone: +971 2551 1336 Facsimile: +971 2551 1556 PPE HOLDINGS: Creditors' Proofs of Debt Due Sept. 1 --------------------------------------------------- The creditors of PPE Holdings Ltd. are required to file their proofs of debt by Sept. 1, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on July 21, 2016. The company's liquidator is: Norman Chan DMS Corporate Services Ltd. dms House 20 Genesis Close George Town P.O. Box 1344 KY1-1108 Cayman Islands Telephone: (345) 946 7665 Facsimile: (345) 949 2877 RICH SOURCE: Creditors' Proofs of Debt Due Aug. 15 -------------------------------------------------- The creditors of Rich Source International Energy Co. Ltd. are required to file their proofs of debt by Aug. 15, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on July 15, 2016. The company's liquidator is: Zhai Wangtong A-222, Hui ZhongLi Chaoyang District Beijing, China Telephone: +86 10 64815885 598 Facsimile: +86 10 64815889 TAF MERCURY: Creditors' Proofs of Debt Due Aug. 31 -------------------------------------------------- The creditors of TAF Mercury Lease Limited are required to file their proofs of debt by Aug. 31, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on July 22, 2016. 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 TITAN I G: Creditors' Proofs of Debt Due Aug. 24 ------------------------------------------------ The creditors of Titan I G are required to file their proofs of debt by Aug. 24, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 27, 2016. The company's liquidator is: Paget-Brown Trust Company Ltd. c/o Dominique Massias P.O. Box 1111 Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Facsimile: (345)-949-7920 TREMONT MARKET: Creditors' Proofs of Debt Due Sept. 1 ----------------------------------------------------- The creditors of Tremont Market Neutral Fund Limited are required to file their proofs of debt by Sept. 1, 2016, to be included in the company's dividend distribution. The company commenced liquidation proceedings on July 22, 2016. 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 =================================== D O M I N I C A N R E P U B L I C =================================== * DOMINICAN REPUBLIC: Talks Leading to Electricity Pact Resume -------------------------------------------------------------- Dominican Today reports that the Economic and Social Council resumed the fourth and what could be the last phase leading to the Electricity Pact of The Dominican Republic when the meetings resume Thursday. The meetings between the government of The Dominican Republic, the social and the business sectors will resume with the presentation of the preliminary version of the first part of the synthesis document of consensus and dissent, according to Dominican Today. The decision was announced at a meeting held in PUCMM University, headed by CES president monsignor Agripino Nunez, Energy and Mines minister Antonio Isa, whereas Felix Roque and Rolando Guzman represent the social sector, the report notes. National Business Council (CONEP) president Rafael Blanco and Herrera Industrial Association president Antonio Taveras represent the business sector, the report relays. The talks to strike the Electricity Pact began January 19, 2015, seeking to unify the proposals from the public and private sectors linked to electricity generation and distribution, with the consensus of civil society, the report discloses. Six workgroups were created to analyze proposals on the institutional and regulatory framework, generation, transmission, distribution, financial and tariff issues and consumer-users, the report notes. Its goal is to solve the crisis that has hobbled Dominican Republic's electricity sector for more than half a century, 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. ============= J A M A I C A ============= * JAMAICA: IDB to Cut Difficulty of Doing Business in Country ------------------------------------------------------------- Caribbean360.com reports that the Jamaica government has received a US$100 million loan from the Inter-American Development Bank (IDB) to increase access to financing for firms and individuals as well as improving the regulation and supervision of the country's financial system. Dubbed the 'Financial System Reform Support Program', the initiative seeks to promote private investment and reduce the cost of, and the perceived level of difficulty in, doing business in Jamaica, according to Caribbean360.com. Minister of State in the Ministry of Finance Fayval Williams said the Government anticipates a positive impact on the country's Gross Domestic Product (GDP) and economic growth that will be spurred by the reform measures that are being undertaken, the report notes. "The Government appreciates the contribution of the IDB to financial sector reform in Jamaica and looks forward to continued collaboration with the Bank in support of the Government's overall objectives as outlined in the Vision 2030 National Development Plan," the report quoted Ms. Williams as saying. Ms. Williams said economic growth remains a priority for the Government, adding that the initiative will also help firms and individuals develop their productive potential, the report notes. "Although the implementation of reforms under the Extended Fund Facility with the International Monetary Fund has led to an increase in gross domestic product as well as an increase in Jamaica's credit rating, high sustained economic growth remains a challenge for Jamaica," Ms. Williams said, the report relays. Meanwhile, General Manager, Country Department, Caribbean Group, Inter-American Development Bank, Therese Turner-Jones, said the initiative will "shore-up" the environment for a more robust financial sector and access to financing, the report notes. Ms. Williams said the money will be disbursed in about a week's time, allowing more citizens to have access to the financial sector, the report relays. The program consists of four components, including macroeconomic stability; strengthening financial sector stability; enhancing financial inclusion of firms and individuals; and improving the financial legal framework, the report notes. It is expected that more effective regulation and supervision of the financial sector will improve its development and stability, and reduce the cost of participation in the sector, while improving efficiency by lowering operational costs. These combined actions will provide a more solid foundation for economic growth, the IDB says, the report discloses. The Financial System Reform Support Program is being executed under two consecutive programmatic operations, with the policy conditions under the first operation having been successfully fulfilled, the report relays. The Ministry of Finance and the Public Service is the implementing agency for the initiative, the report adds. * * * As reported in the Troubled Company Reporter-Latin America on Feb. 15, 2016, Fitch Ratings has upgraded Jamaica's Long-term foreign and local currency IDRs to 'B' from 'B-' and revised the Rating Outlooks to Stable from Positive. In addition, Fitch upgraded Jamaica's senior unsecured Foreign- and Local-Currency bonds to 'B' from 'B-'. The Country Ceiling has been affirmed at 'B' and the Short- Term Foreign-Currency IDR affirmed at 'B'. ====================== P U E R T O R I C O ====================== AEROPOSTALE INC: Plan Confirmation Hearing on Aug. 24 ----------------------------------------------------- Aeropostale, Inc., et al., on Aug. 24, 2016, will seek confirmation from Judge Sean H. Lane of a Chapter 11 plan that provides that proceeds from the sale transaction will be distributed to holders of claims and interests in accordance with their relative priority as set forth in the Bankruptcy Code. According to the Second Amended Disclosure Statement for the Amended Joint Plan of Reorganization, the projected recovery for holders of $110 million to $340 million in general unsecured claims is "unknown", as the distribution to unsecured creditors is dependent on the amount of proceeds received from the sale transactions entered into by the Debtors in accordance with the Plan. The Plan provides for the sale of substantially all of the Debtors' assets pursuant to the terms of one or more asset purchase agreements submitted at or prior to the bid deadline and subsequently determined by the Debtors pursuant to the Bid Procedures to be the highest or otherwise best offer for such assets, subject to Bankruptcy Court approval of the Debtors' entry into an alternative transaction with a potential plan sponsor in connection with the auction. The Debtors will be considering any and all types of bids including going concern and GOB or liquidation offers. The proceeds from the Sale Transaction will be used in the first instance to satisfy all DIP Claims, consistent with the Final DIP Order, and then, to the extent available, to fund the ongoing wind-down costs of the Chapter 11 cases and distributions under the Plan. The Debtors have certain unencumbered assets including the proceeds of any avoidance actions, intercompany receivables from Aeropostale Canada Corporation and Aeropostale Puerto Rico, Inc., and recoveries from certain other litigations of which the Debtors are potential beneficiaries. The Debtors estimate that the current value of their unencumbered assets is approximately $11 million, although it could be higher depending on the recoveries from any causes of action, including avoidance actions. The Debtors estimate that the ongoing wind-down costs of the Chapter 11 cases will range from $10 million to $25 million depending on the exact nature of the sale transaction. The Debtors will seek confirmation of the Plan and pursue a sale transaction in accordance with this timeline: * Deadline to file proposed Cure Costs: Aug. 1, 2016 * Deadline to file Plan Supplement: Aug. 9, 2016 * Deadline to file and serve notice regarding sale process status update: Aug. 11, 2016 * Deadline to file and serve any objection or response to the Plan: Aug. 12, 2016 at 12:00 p.m. (prevailing Eastern Time) * Deadline to object to proposed Cure Costs: Aug. 12, 2016 at 12:00 p.m. (prevailing Eastern Time) * Potential Bidders to submit adequate assurance information: Aug. 15, 2016 * Deadline to submit bids in connection with the Sale Transaction: Aug. 18, 2016 at 5:00 p.m. (prevailing Eastern Time) * Deadline to notify Qualified Bidders: Aug. 19, 2016 at 5:00 p.m. (prevailing Eastern Time) * Scheduled date and time for the auction, if necessary, in connection with the Sale Transaction: Aug. 22, 2016 at 9:00 a.m. (prevailing Eastern Time) * Deadline to file and serve second notice regarding sale process status update: Aug. 22, 2016 at 6:00 p.m. (prevailing Eastern Time) * Voting Deadline: Aug. 22, 2016 at 11:59 p.m. (prevailing Eastern Time) * Deadline to object to proposed assumption and assignment of executory contracts or unexpired leases: Aug. 23, 2016 at 12:00 p.m. (prevailing Eastern Time) * Scheduled date and time for the commencement of the hearing to consider confirmation of the Plan including the approval of the Sale Transaction: Aug. 24, 2016 at 11:00 a.m. (prevailing Eastern Time) A copy of the Second Amended Disclosure Statement for Amended Joint Plan of Reorganization is available at: http://bankrupt.com/misc/Aeropostale_526_2nd_Am_DS.pdf About Aeropostale Inc. Aeropostale, Inc. (OTC Pink: AROPQ) is a specialty retailer of casual apparel and accessories, principally serving young women and men through its Aeropostale(R) and Aeropostale Factory(TM) stores and website and 4 to 12 year-olds through its P.S. from Aeropostale stores and website. The Company provides customers with a focused selection of high quality fashion and fashion basic merchandise at compelling values in an exciting and customer friendly store environment. Aeropostale maintains control over its proprietary brands by designing, sourcing, marketing and selling all of its own merchandise. As of May 1, 2016 the Company operated 739 Aeropostale(R) stores in 50 states and Puerto Rico, 41 Aeropostale stores in Canada and 25 P.S. from Aeropostale(R) stores in 12 states. In addition, pursuant to various licensing agreements, the Company's licensees currently operate 322 Aeropostale(R) and P.S. from Aeropostale(R) locations in the Middle East, Asia, Europe, and Latin America. Since November 2012, Aeropostale, Inc. has operated GoJane.com, an online women's fashion footwear and apparel retailer. Aeropostale, Inc. and 10 of its affiliates each filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 16-11275) on May 4, 2016. The petitions were signed by Marc G. Schuback as senior vice president, general counsel and secretary. The Debtors listed total assets of $354.38 million and total debts of $390.02 million as of Jan. 30, 2016. The Debtors have hired Weil, Gotshal & Manges LLP as counsel; FTI Consulting, Inc. as restructuring advisor; Stifel, Nicolaus & Company, Inc. and Miller Buckfire & Company LLC as investment bankers; RCS Real Estate Advisors as real estate advisors; Prime Clerk LLC as claims and noticing agent; Stikeman Elliot LLP as Canadian counsel; and Togut, Segal & Segal LLP as conflicts counsel. Judge Sean H. Lane is assigned to the cases. The U.S. trustee for Region 2 on May 11, 2016, appointed seven creditors of Aeropostale Inc. to serve on the official committee of unsecured creditors. The Committee hired Pachulski Stang Ziehl & Jones LLP as counsel. * * * The Bankruptcy Court entered an order establishing (i) July 25, 2016 at 5:00 p.m. (Eastern Time) as the deadline for each person or entity, not including governmental units to file proofs of claim in respect of any prepetition claims against any of the Debtors, and (ii) Oct. 31, 2016 at 5:00 p.m. (Eastern Time) as the deadline for governmental units to file proofs of claim in respect of any prepetition claims against any of the Debtors. CUPEYVILLE SCHOOL: Unsecureds to Recoup 5% Under Plan ----------------------------------------------------- Cupeyville School, Inc., filed with the U.S. Bankruptcy Court for the District of Puerto Rico a disclosure statement describing the Debtor's Chapter 11 plan. Class 4 - General Unsecured Claims, estimated at $2,335,730.26, are impaired. Holders of allowed General Unsecured Claims (excluding those from Debtor's Shareholders), of $75,000 or less, will be paid in full satisfaction of their claims 5% thereof, in cash, on the Effective Date. The Holders of Allowed General Unsecured Claims over $75,000, will be paid in full satisfaction of their claims 5% thereof through 60 equal consecutive monthly installments of $1,324.37, commencing on the Effective Date of Debtor's Plan and continuing on the 30th day of the subsequent 59 months. The Debtor will effect payments of pending administrative expense claims on or before the Effective Date from the estimated cash balance in its DIP accounts, as of the Effective Date. Banco Popular de Puerto Rico's secured claims, will be paid in full (100%), in cash, pursuant to the agreement. Toyota's secured claim, executory contracts cure claims, General Unsecured Claims, as well as priority tax Claims, will be paid through the payment plans from the cash resulting from Debtor's operations. The Disclosure Statement is available at: http://bankrupt.com/misc/prb15-09822-76.pdf The Plan was filed by the Debtor's counsel: Alexis Fuentes-Hernandez, Esq. Fuentes Law Offices P.O. Box 9022726 San Juan, PR 00902-2726 Tel: (787) 722-5215 Fax: (787) 722-5206 E-mail: alex@fuentes-law.com About Cupeyville School Cupeyville School, Inc., is a private, non-sectarian, co-educational college preparatory institution, located at Cupey Bajo, Ra-o Piedras, Puerto Rico. It serves a predominantly Hispanic population offering a learning program for students in grades from Pre Pre-Kinder through 12th grade. It was organized in 1963, responding to the needs of a growing suburban community interested in a bilingual/co-educational learning program. It is accredited by the Middle States Association, the Department of Education of Puerto Rico, and recognized as a School of Excellence by the U.S. Department of Education, Blue Ribbon School of Excellence. It is the only accredited school in Puerto Rico in hands of a Puerto Rican family. It is ranked by the Caribbean Business as fifth of the 28 Largest Private Schools in Puerto Rico (2013-2014). The Debtor filed for Chapter 11 bankruptcy protection (Bankr. D. P.R. Case No. 15-09822) on Dec. 12, 2015. The petition was signed by Ricardo Gonzalez, president. The case is assigned to Judge Mildred Caban Flores. At the time of the filing, the Debtor disclosed $7.01 million in assets and $7.25 million in liabilities. ================= V E N E Z U E L A ================= AEROMEXICO: Workers Trafficking Charges --------------------------------------- Fox News reports that Venezuelan officials have charged a security official for the Mexican airline Aeromexico and four members of the Venezuelan national guard with conspiring to traffic cocaine. The public prosecutor's office says it has also filed charges against 11 other people in connection with the discovery of 600 kilograms (1,300 pounds) of cocaine at the Mexico City international airport in June, according to Fox News. The cocaine was found distributed among eight suitcases on a plane originating in Venezuela, the report notes. The prosecutor's office said Saturday that the Aeromexico security official and the other 15 suspects are all under arrest, the report relays. In June, Aeromexico became the latest airline to indefinitely suspend flights to Venezuela, citing the South American nation's economic problems, the report adds. TELEFONICA SA: Opens Rate Talks in Venezuela After Maduro's Threat ------------------------------------------------------------------ Rodrigo Orihuela at Bloomberg News reports that Telefonica SA is holding talks with the Venezuelan government to adjust phone- service rates after President Nicolas Maduro blocked an attempt to increase prices and said the state was open to taking over carriers if necessary. The company is in "talks with the authorities to define new prices," according to a statement on its Venezuelan website, according to Bloomberg News. The Madrid-based company also plans to reimburse customers who already paid bills after a July price increase, which was later overturned by the government, Bloomberg News notes. As Venezuela struggles with the world's fastest inflation, Telefonica and rivals had raised prices to stay afloat and be able to pay interconnection fees for international data and call traffic, Bloomberg News relays. Nobody can "set prices just like that," Maduro said Aug. 1 on national television, and warned that he was open to taking control of phone carriers if they can't manage their businesses amid the country's worst economic recession in decades, Bloomberg News discloses. Telecom companies had increased prices as much as 10-fold until the government stopped them, Bloomberg News says. Telefonica's cheapest pre-paid package, called Full 1.2, currently costs 1,045 bolivares ($1.62) a month, according to its website. In February 2015, Telefonica wrote down the value of its Venezuelan assets by EUR2.8 billion ($3.1 billion) to adjust for a lower exchange rate, Bloomberg News notes. At the time, the company used an exchange rate of VEB50 to the euro. In this year's second-quarter earnings report, it used an average exchange rate of 697.3 bolivares per euro and said that it considers the country as hyper-inflationary for accounting purposes, Bloomberg News notes. Venezuela accounted for less than 1 percent of Telefonica's revenue last quarter, Bloomberg News adds. ================= X X X X X X X X X ================= * LATAM: Structural Reforms Can Catalyze Growth, IMF Says --------------------------------------------------------- Latin America should strengthen regional trade and financial linkages to boost growth and further the social achievements of the past 15 years, according to participants in a recent conference in Montevideo. Thanks to sustained growth during the last commodity boom, Latin American countries have achieved a significant reduction in poverty and income inequality over the past decade. However, as the external environment has turned less supportive and policy options are becoming more limited, economic reforms are needed to preserve and deepen these social gains. "Today is a good time to talk about structural reforms" said Alejandro Werner, Director of the IMF's Western Hemisphere Department in his introductory remarks. Reform priorities depend on individual countries' circumstances, as the region varies widely from country to country on product and labor market regulations and trade and financial openness. Yet participants emphasized that there were key areas in which progress could be made. The conference, jointly organized by the IMF and the government of Uruguay in late July, brought together policymakers from Argentina, Brazil, Chile, Colombia, Mexico, Paraguay, Peru and Uruguay, as well as academics and officials from the IMF and other international financial institutions. Regional integration Many participants saw benefits in deepening regional integration. Latin American countries remain relatively closed compared with advanced and emerging countries in other regions. Intraregional trade represents only about a fifth of total trade in Latin America, versus more than a half in Asia. More regional trade integration would allow countries to increase effective market size, stimulate competition, and support the development of regional value chains of intermediary goods, while more financial integration would lead to better risk-sharing, lower transaction costs, and easier investment financing. Regional integration would also support economic diversification and complexity -- that is, the range of exported products and their degree of sophistication -- by fostering cross-country technology transfers and a reorganization of production at the regional level. Diversification in turn can increase productivity and growth, while reducing the region's strong dependence on exporting commodities, participants said. A role for targeted policies To deepen regional integration, participants suggested that reforms harmonize rules of origin, remove remaining barriers to the free movement of goods and services within Mercosur, and create the preconditions for successful financial integration, such as the implementation of consolidated banking supervision. To enhance diversification directly, some participants advocated fairly activist industrial policies, targeted at specific sectors, where returns are higher or market failures larger. Others, however, cautioned that institutions in some countries may not be strong enough for effective implementation, preferring so-called "horizontal" policies that benefit a broad range of sectors. Andres Velasco of Columbia University suggested that independent institutions be created to select projects or sectors that would benefit from public support completely separate from the political cycle. Infrastructure improvements can also support the diversification process. Both Danilo Astori, Uruguayan Minister of Economy and Finance, and Murilo Portugal, President of the Federation of Brazilian Banks, emphasized that diversification can result from upgrading and widening existing production clusters (including for services such as tourism) rather than creating new ones. Infrastructure investment, aimed at increasing the capital involved in the production process, can foster such a change. "Investments in infrastructures are like a perfect trinity," said Mauricio Cardenas, Colombian Minister of Finance. They improve productivity, stimulate aggregate demand, and when they are financed through public-private partnerships, they do not entail upfront costs for the public sector. Need for confidence Public opinion's support is crucial for the effective implementation of reforms. Such support requires continuity in economic policy-making, greater transparency, and more efficiency in public spending. It also requires awareness of workers' demand for economic security. Policies must have "the capacity to deal with social expectations," said Uruguayan economist and former President of the Inter-American Development Bank Enrique Iglesias. Recent IMF work has shown the importance of macroeconomic conditions and timing for the effects of product and labor market reforms. *********** 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 * * *