TCRLA_Public/161202.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

               Friday, December 2, 2016, Vol. 17, No. 239


                            Headlines



B O L I V I A

LAMIA AIRLINE: Bolivia Suspends License After Colombia Crash


B R A Z I L

BANCO ITAU: Brazilian Police Raid Offices
BRAZIL: Plunging GDP Crushes Hopes of Temer Turnround
ODEBRECHT SA: Former Head Agrees to Plea Deal in Corruption Probe


C A Y M A N  I S L A N D S

ALIXPARTNERS: Strengthens Turnaround Practice With Affiliation
ALVE (SPC): Commences Liquidation Proceedings
ARCTIC EXPRESS: Creditors' Proofs of Debt Due Dec. 21
CAYMAN COMMODITIES: Creditors' Proofs of Debt Due Dec. 12
CSI CAPITAL: Creditors' Proofs of Debt Due Dec. 5

ESO CAYMAN: Court Enters Wind-Up Order
GRANBACO INVESTMENT: Creditors' Proofs of Debt Due Dec. 21
GRAVITY INVESTMENTS: Commences Liquidation Proceedings
IMARKETING SOLUTIONS: Commences Liquidation Proceedings
JACO LTD: Creditors' Proofs of Debt Due Dec. 21

NET GLOBE: Commences Liquidation Proceedings
PCM LIMITED: Commences Liquidation Proceedings
RAIL-SPLITTER: Commences Liquidation Proceedings
SWISS-ASIA: Creditors' Proofs of Debt Due Dec. 12


M E X I C O

MEXICO: Central Bank Chief to Resign
VERACRUZ STATE: Moody's Cuts Issuer Ratings to Caa1/B3.mx


P U E R T O    R I C O

EDGARDO ACEVEDO BADILLO: Plan Confirmation Hearing Set for Jan. 26


S T.  L U C I A

BANK OF ST. LUCIA: Government Exploring Options to Help Bank


T R I N I D A D  &  T O B A G O

TRINIDAD CEMENT: To Pay TT$20 Million Owed to Workers


X X X X X X X X

* LATAM: Better Governance to Determine Fate in 2030


                            - - - - -

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


LAMIA AIRLINE: Bolivia Suspends License After Colombia Crash
------------------------------------------------------------
Sara Schaefer Munoz at The Wall Street Journal reports that the
Bolivian Civil Aviation Authority said it indefinitely suspended
the operating license for LaMia airlines following the deadly
crash of its charter plane in Colombia.

Officials made the announcement without providing additional
details, according to The Wall Street Journal.  The LaMia charter
flight crashed Monday night while approaching Medellin from Santa
Cruz, Bolivia, the report notes.  All but six of the 77 people on
board were killed.

Colombian authorities said they positively identified all 71
people killed in the mountainside crash, which all but wiped out a
soccer team from Brazil, the report says.

They said that 64 of the passengers who perished were Brazilian,
five were Bolivian, one was Paraguayan and one was Venezuelan, the
report discloses.  Authorities from those countries will now begin
repatriating the remains, Colombian officials said, the report
notes.

The report relays that the flight went down carrying its crew,
journalists and the Associacao Chapecoense de Futebol, the soccer
team traveling to the finals of the Copa Sudamericana.

Civil aviation authorities said the Avro RJ85 aircraft was out of
fuel when it crashed, the report relays.  The Avro RJ85 was built
by a predecessor of BAE Systems PLC, the report notes.

"We can clearly affirm that the plane did not have fuel at the
moment of impact," said Freddy Bonilla, Colombia's secretary of
air security, the report discloses.

Mr. Bonilla said the plane, which went down in the mountains
outside Medellin's international airport, had been in violation of
international and local regulations that require planes to carry
reserve fuel between airports, the report notes.

Bolivia's civil aviation director of operations, Miguel Patino,
said Bolivia's airport authority Aasana is responsible for
approving flight plans, the report relays.  An Aasana spokesman
couldn't be reached for comment. Calls to LaMia's office in Santa
Cruz weren't answered.

The Chapecoense soccer team, a scrappy underdog that was on its
way to compete in its first international finals match, was
scheduled to play against Atletico Nacional of Medellin on
Wednesday evening, the report discloses.

Tens of thousands of fans and mourners packed the Atanasio
Girardot soccer stadium in Medell°n on Wednesday night, lighting
candles and listening to tributes to those who died, the report
notes.

Meanwhile, air-accident investigators said they are also looking
into why a relatively short-range aircraft made the
transcontinental trip, the report relays.  The distance between
the two airports, according to website Great Circle Mapper, is
1,839 miles (2930 kilometers), the report notes.  The Avro RJ85's
maximum range with a full tank of fuel is 1,842 miles, according
to a fact sheet on Airliners.net, the report discloses.

Aviation experts say fuel consumption can be influenced by several
factors, including winds and the weight the aircraft is carrying,
the report says.

Mr. Bonilla and the head of Colombia's civil aviation authority,
Alfredo Bocanegra, said the flight plan of the airliner, which was
approved by Bolivian authorities, was direct and didn't include a
stop to refuel, the report adds.



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


BANCO ITAU: Brazilian Police Raid Offices
-----------------------------------------
Paul Kiernan at The Wall Street Journal reports that Brazil's
Federal Police raided offices of the country's largest bank, Banco
Itau SA, as part of their Operation Zealots investigation into tax
fraud and bribery.

Police said they have evidence of "collusion" between a member of
Brazil's tax-appeals council CARF and "a financial institution"
between 2006 and 2015, according to The Wall Street Journal.
Banco Itau confirmed that police searched its offices for
documents, the report notes.

The bank said the documents in question pertained to tax issues at
BankBoston, which Banco Itau acquired in 2006 from Bank of America
Corp, the report relays.  The acquisition, Banco Itau added,
didn't include BankBoston's "tax processes," which "remain the
full responsibility of Bank of America," the report notes.

The report discloses that Banco Itau denied any wrongdoing and
said it is "totally at the disposal of the authorities."  Brazil's
Finance Ministry, which oversees CARF, declined to immediately
comment. Bank of America didn't immediately respond to an emailed
request for comment.

Brazilian Finance Minister Henrique Meirelles worked for 28 years
at BankBoston, where he became president and chief operating
officer before leaving in 2002, the report relays.  The minister
declined through a spokesman to comment on the investigation
targeting his former employer, the report notes.

Since it began in March 2015, Operation Zealots has ensnared a
number of major Brazilian firms, including the No. 2 private-
sector bank, Banco Bradesco SA, the report discloses.

The probe focuses on allegations that companies avoided paying
large fines by bribing members of CARF, which adjudicates disputes
between Brazil's tax agency and the nation's top taxpayers, the
report says.

Bradesco's chief executive was charged with corruption in July for
allegedly bribing tax officials, the report relays.  Bradesco said
at the time its executives hadn't broken any laws, the report
notes.


BRAZIL: Plunging GDP Crushes Hopes of Temer Turnround
-----------------------------------------------------
globalinsolvency.com, citing Financial Times, reports that
Brazil's economy recorded its seventh straight quarterly
contraction between July and September, disappointing hopes the
new government of president Michel Temer could engineer a quick
turnround in the fortunes of Latin America's biggest economy,
reported.

The news on the economy, with gross domestic product contracting
at an annual rate of 2.9 per cent during the third quarter, came
after protesters fought pitched battles in the streets of Bras°lia
overnight, according to globalinsolvency.com.

As reported in the Troubled Company Reporter-Latin America on
Nov. 15, 2016, Fitch Ratings has affirmed Brazil's Long-Term
Foreign and Local Currency Issuer Default Ratings (IDRs) at 'BB'/
Negative Outlook.  Brazil's senior unsecured Foreign- and Local-
Currency bonds are also affirmed at 'BB'. The Country Ceiling is
affirmed at 'BB+' and the Short-Term Foreign and Local-Currency
IDRs at 'B'.


ODEBRECHT SA: Former Head Agrees to Plea Deal in Corruption Probe
-----------------------------------------------------------------
Luciana Magalhaes and Reed Johnson at The Wall Street Journal
report that Marcelo Odebrecht, the jailed former head of Brazilian
construction giant Odebrecht SA, agreed to sign a plea-bargain
agreement in connection with Brazil's largest corruption probe
ever, according to a person close to the negotiations.

The move could roil the nation's political class yet again.  The
testimony of the former industrialist, which is part of the deal,
has the potential to implicate numerous politicians who allegedly
took kickbacks from contractors as part of a years-long graft ring
centered on Brazil's state-run oil company, Petroleo Brasileiro
SA, known as Petrobras, according to The Wall Street Journal.

The report notes that Mr. Odebrecht was one of 77 people,
including former and current Odebrecht executives, who started
signing plea agreements in Brasilia, the person close to
negotiations said.  The lengthy negotiations for the plea deals
have kept power brokers in Brazil's capital on edge for months,
the report relays.

Separately, the privately held Odebrecht firm has agreed to pay
about $2 billion in fines for its role in the corruption scandal,
the person said, the report notes.  It would be the largest such
deal ever negotiated in Brazil, the report discloses.

The report relays that the deal could be signed as soon as
Thursday, Dec. 8, according to the person.  If accepted by the
judge heading the Petrobras investigation, Latin America's largest
construction firm would once again be allowed to bid on government
contracts, from which it has been banned since the scandal
surfaced in 2014, the report notes.

In a statement, the company admitted to unspecified "improper
practices" and vowed to fight corruption in all forms in the
future, the report relays.  A company spokeswoman declined to
confirm the signings of either the individual plea bargains or the
company's new settlement with authorities, the report relays.

"Odebrecht has learned several lessons from its mistakes," the
statement said, the report notes.  "And it's evolving," it added.

Mr. Odebrecht was one of the masterminds of the bribery scheme,
the report notes.  Nicknamed "Prince of the Contractors," he is
the former chief executive of Odebrecht and a third-generation
scion of a wealthy family, the report relays.

Sentenced last year to 19 years in prison for corruption, money
laundering and conspiracy, Mr. Odebrecht has been held in a lockup
in the southern Brazilian city of Curitiba, where the
investigation, called "Operation Car Wash," has been based since
his arrest in June 2015, the report discloses.  The 48-year-old
will likely receive a significant reduction in prison time in
exchange for turning state's evidence.

The widespread investigation already has toppled dozens of
business people and lawmakers, upended the country's political
structure, and been a major factor in stalling Brazil's once-
booming economy, the report notes.  The probe helped speed the
ouster of President Dilma Rousseff, whose leftist Workers' Party
was tarnished by the scandal, the report says.

Prosecutors said illegal payoffs were so institutionalized that
the Odebrecht firm maintained a clandestine "department of bribes"
along with a detailed accounting of payments to potentially
hundreds of political figures, the report notes.

The plea deals now being signed are "the climax of Car Wash," said
Thiago de Aragao, political scientist at consulting firm Arko
Advice in Bras°lia," the report relays.  It's the moment that may
bring the resolution of the story," Mr. Aragao added.

The plea deals by Mr. Odebrecht and others come at a sensitive
time for Ms. Rousseff's successor, President Michel Temer, who is
trying to push controversial austerity measures through Congress
to close a massive deficit that's weighing on Brazil's economy,
the report notes.  High-ranking members of his Brazilian
Democratic Movement Party are under investigation in the probe.
Concern is growing that Mr. Odebrecht's testimony could drive the
investigation into Mr. Temer's inner circle or even reach the
president himself, the report says.

"The deal could unearth revelations that would reduce the chances
of this administration surviving through the 2018 elections," said
Joao Pedro Brugger, from Leme Investimentos asset-management firm.
"It creates uncertainty about the economic agenda," the report
notes.

The Odebrecht company has figured prominently in the corruption
scandal, and a number of its executives have been jailed, the
report discloses.

Prosecutors say Odebrecht and other builders were part of a bi-
rigging and bribery ring that operated for at least a decade, the
report relays.  The firms skimmed billions of reais from Petrobras
through inflated contracts, sharing the ill-gotten gains with
politicians who used it to enrich themselves and illegally fund
political campaigns, authorities said, the report adds.

As reported in the Troubled Company Reporter-Latin America on
September 1, 2016, Bloomberg News said that Odebrecht SA,
the once-powerful Brazilian construction firm with BRL110 billion
($35.2 billion) in debt, hired Eduardo Munhoz, founding partner at
E. Munhoz Advogados, to help with the "company restructuring
process."  Mr. Munhoz was hired by the holding company about six
months earlier and has been working with Odebrecht Agroindustrial
on its successful BRL13 billion-real debt restructuring for more
than a year. The company, which is struggling to find the cash to
pay for projects already in its pipeline, is selling assets and
the dialogue with banks continues in a positive way. It added that
"a bankruptcy filing isn't an alternative.  The firm's
difficulties started in June 2015, when Marcelo Odebrecht, the
conglomerate's former chief executive officer and a
controlling shareholder, began serving a 19-year prison sentence
on charges of colluding with other builders to pay kickbacks in
exchange for lucrative public works contracts in the so-called
Carwash Probe.



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


ALIXPARTNERS: Strengthens Turnaround Practice With Affiliation
--------------------------------------------------------------
AlixPartners announced it has expanded its internationally
renowned Turnaround & Restructuring Services practice via an
affiliation with a leading Caribbean practice.  The affiliation,
which will operate under the AlixPartners brand, brings a team of
five managing directors and twenty staff operating from offices in
both the Cayman Islands and the British Virgin Islands. The
affiliation is effective immediately.

This key addition to AlixPartners expands the Firm's breadth of
turnaround, restructuring, financial advisory, litigation support
and forensic investigation services throughout the Caribbean.
Additionally it enables the Firm to leverage the region's
strategic importance within the global restructuring and finance
markets, working alongside its existing specialist teams in the
world's leading financial centers.

Commenting on this important addition to the AlixPartners network,
Alastair Beveridge, head of Turnaround and Restructuring in the UK
said:

"These particular Caribbean jurisdictions are key for any
internationally-focused turnaround and restructuring practice.
Many of us at AlixPartners have worked with our new colleagues
before and we have been impressed by their local market knowledge,
technical ability, team ethic and pragmatic approach. Above all
else, they are held in extremely high regard by their clients and
we know they will be a terrific addition to our global team of
professionals."

Eleanor Fisher, Managing Director and Head of the newly added
Caribbean team, added: "We're delighted to become part of the
AlixPartners global team. Operating alongside our new colleagues
with such a well-regarded and internationally recognized brand in
the restructuring arena will provide a platform for growth as we
combine our skills, relationships and experiences. Having access
to AlixPartners' broad range of services, deep industry sector
expertise and global network will enhance our ability to help our
clients both in the Caribbean and beyond."

AlixPartners is a leading global business advisory firm of
results-oriented professionals who specialize in creating value
and restoring performance at every stage of the business life
cycle. We thrive on our ability to make a difference in high-
impact situations and to deliver sustainable, bottom-line results.
The firm's expertise covers a wide range of businesses and
industries whether they are healthy, challenged or distressed.


ALVE (SPC): Commences Liquidation Proceedings
---------------------------------------------
On Nov. 4, 2016, the sole member of Alve (SPC) Ltd. resolved to
voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidators are:

          Desmond Campbell
          Stuart Brankin
          Circumference FS (Cayman) Ltd.
          P.O. Box 32322 Grand Cayman KY1-1209
          Cayman Islands
          Telephone: (345 814 0711


ARCTIC EXPRESS: Creditors' Proofs of Debt Due Dec. 21
-----------------------------------------------------
The creditors of Arctic Express Investments Limited are required
to file their proofs of debt by Dec. 21, 2016, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on Nov. 3, 2016.

The company's liquidator is:

          CDL Company Ltd.
          P.O. Box 31106 Grand Cayman KY1-1205
          Cayman Islands


CAYMAN COMMODITIES: Creditors' Proofs of Debt Due Dec. 12
---------------------------------------------------------
The creditors of Cayman Commodities Trading SEZC are required to
file their proofs of debt by Dec. 12, 2016, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on Nov. 3, 2016.

The company's liquidator is:

          Tarsem A. Basran
          Roxbury Hamilton Directors Group Limited
          Campbells, Romasco Place, Floor 2
          Road Town, Tortola VG1110,
          P.O. Box 4541, British Virgin Islands
          Telephone: +1 (284) 494 2423
          Facsimile: +1 (284) 494 2475


CSI CAPITAL: Creditors' Proofs of Debt Due Dec. 5
-------------------------------------------------
The creditors of CSI Capital GP Company, Ltd. are required to file
their proofs of debt by Dec. 5, 2016, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on Nov. 7, 2016.

The company's liquidator is:

          Koo Chi Sum
          c/o Maples and Calder, Attorneys-at-law
          The Center, 53rd Floor
          99 Queen's Road, Central
          Hong Kong


ESO CAYMAN: Court Enters Wind-Up Order
--------------------------------------
The Grand Court of Cayman Islands, on Oct. 27, 2016, entered an
order to wind up the operations of Eso Cayman Ltd.

David Griffin and Andrew Morrison of FTI Consulting (Cayman)
Limited were appointed as the company's liquidators.

The company's liquidators are:

          David Griffin
          Andrew Morrison
          FTI Consulting (Cayman) Limited
          Suite 3212, 53 Market Street
          Camana Bay
          PO Box 30613 KY1-1203
          Cayman Islands


GRANBACO INVESTMENT: Creditors' Proofs of Debt Due Dec. 21
----------------------------------------------------------
The creditors of Granbaco Investment Company are required to file
their proofs of debt by Dec. 21, 2016, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on Nov. 3, 2016.

The company's liquidator is:

          CDL Company Ltd.
          P.O. Box 31106 Grand Cayman KY1-1205
          Cayman Islands


GRAVITY INVESTMENTS: Commences Liquidation Proceedings
------------------------------------------------------
On Nov. 4, 2016, the sole shareholder of Gravity Investments
Limited resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Neil Montgomery
          c/o Genesis Trust & Corporate Services Ltd.
          P.O. Box 448 Grand Cayman KY1-1106
          Elgin Court, Elgin Avenue, George Town
          Cayman Islands
          Telephone: (345) 815 8512
          Facsimile: (345) 945 3470


IMARKETING SOLUTIONS: Commences Liquidation Proceedings
-------------------------------------------------------
On Nov. 4, 2016, the sole shareholder of Imarketing Solutions Ltd.
resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Neil Montgomery
          c/o Genesis Trust & Corporate Services Ltd.
          P.O. Box 448 Grand Cayman KY1-1106
          Elgin Court, Elgin Avenue, George Town
          Cayman Islands
          Telephone: (345) 815 8512
          Facsimile: (345) 945 3470


JACO LTD: Creditors' Proofs of Debt Due Dec. 21
-----------------------------------------------
The creditors of Jaco Ltd. are required to file their proofs of
debt by Dec. 21, 2016, to be included in the company's dividend
distribution.

The company commenced liquidation proceedings on Nov. 3, 2016.

The company's liquidator is:

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


NET GLOBE: Commences Liquidation Proceedings
--------------------------------------------
On Nov. 4, 2016, the sole shareholder of Net Globe resolved to
voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Neil Montgomery
          c/o Genesis Trust & Corporate Services Ltd.
          P.O. Box 448 Grand Cayman KY1-1106
          Elgin Court, Elgin Avenue, George Town
          Cayman Islands
          Telephone: (345) 815 8512
          Facsimile: (345) 945 3470


PCM LIMITED: Commences Liquidation Proceedings
----------------------------------------------
On Nov. 3, 2016, the sole shareholder of PCM Limited resolved to
voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Walkers Liquidations Limited
          Cayman Corporate Centre
          27 Hospital Road
          George Town
          Grand Cayman, KY1-9008
          Cayman Islands
          Telephone: +1 (345) 949 0100


RAIL-SPLITTER: Commences Liquidation Proceedings
------------------------------------------------
On Nov. 1, 2016, the shareholders of Rail-Splitter Fund, Ltd
resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Elian Fiduciary Services (Cayman) Limited
          Lynden John
          Tamara Hill
          Telephone: +1 (345) 815-1456
          e-mail: lynden.john@elian.com


SWISS-ASIA: Creditors' Proofs of Debt Due Dec. 12
-------------------------------------------------
The creditors of Swiss-Asia Growth Fund are required to file their
proofs of debt by Dec. 12, 2016, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on Nov. 3, 2016.

The company's liquidator is:

          Joanna Boo Si Yan
          16 Walmer Drive
          Singapore 555041
          Telephone + 65 6887 5790
          Facsimile: + 65 6887 5767


===========
M E X I C O
===========


MEXICO: Central Bank Chief to Resign
------------------------------------
dw.com reports that the central bank of Mexico has announced
Governor Agustin Carstens will step down in mid-2017. The news
came as the peso kept being under enormous pressure over Donald
Trump's plan to rip up a trade deal.

Mexican Central Bank Governor Agustin Carstens will resign on July
1, 2017, leaving his post amid rising doubt about the direction of
the national economy following the election of Donald Trump as US
president, according to dw.com.

Mr. Trump had threatened to rip up a free trade deal with Mexico
during his campaign; and any such move could hit Mexico's economy,
which sends around 80 percent of its exports to the United States.

Mr. Carstens for his part had compared Trump with a maximum
category five hurricane because of his tough stance toward the
Latin American nation, the report notes.

                        Currency Downslide

Mr. Carstens, a former Mexican finance minister, has been at the
helm of the central bank since 2010 and is highly respected by
international investors, the report notes.

After stepping down, he looks set to take the top job at the Bank
for International Settlements in October next year, the report
relays.

Mr. Carstens has fought an uphill battle to slow the peso's recent
fall, with the currency battered by fears surrounding the Trump
presidency, the report discloses.

Most members of the central bank's board were concerned that
uncertainty about new economic policies under Trump could further
hammer the peso, according to minutes from the lender's latest
meeting, the report adds.


VERACRUZ STATE: Moody's Cuts Issuer Ratings to Caa1/B3.mx
---------------------------------------------------------
Moody's de Mexico (Moody's) downgraded the state of Veracruz's
issuer ratings to Caa1/B3.mx from B3/B1.mx. The outlook is
negative. At the same time, Moody's downgraded the debt ratings of
the following 12 enhanced loans:

   -- Banco del Baj°o for MXN1500 million (original amount) to
      Ba2/A2.mx from Ba1/A1.mx

   -- Banobras for MXN1220 million (original amount) to Ba2/A2.mx
      from Ba1/A1.mx

   -- Inbursa for MXN5500 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

   -- Banobras for MXN4600 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

   -- Banorte for MXN4500 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

   -- Banobras (FAIS) for MXN1730 million (original amount) to
      Ba3/A3.mx from Ba2/A2.mx

   -- Interacciones for MXN1500 million (original amount) to
      Ba3/A3.mx from Ba2/A2.mx

   -- Multiva for MXN1500 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

   -- Multiva for MXN1300 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

   -- Santander for MXN750 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

   -- Interacciones for MXN695 million (original amount) to
      Ba3/A3.mx from Ba2/A2.mx

   -- Banamex for MXN500 million (original amount) to Ba3/A3.mx
      from Ba2/A2.mx

RATINGS RATIONALE

RATIONALE FOR THE DOWNGRADE OF THE RATINGS

The downgrade reflects the ongoing deterioration in Veracruz's
liquidity and financial position as reported in its financial
statements corresponding to the third quarter of 2016. The
combination of an extremely tight liquidity position, falling
revenues, and expected higher interest payments and expenditure
pressures compromises the state's ability to ensure timely debt
repayments over the next 12 to 18 months.

The state reported a decrease in cash and equivalents from MXN 865
million to MXN 370 million between June and September of 2016 and
an increase of current liabilities from MXN 18 billion to 46
billion. These two developments lowered the state's already low
cash-to-current liabilities to a very weak 0.008X. Details on
current liabilities are not available and Moody's cannot presently
confirm the existence of new short-term lines of credit.

In the third quarter financial results, revenues decreased by 4.6%
over the first nine months of 2016 compared with the same period
of 2015. Moody's notes that Veracruz breached minimum-rating
covenants in most of its long-term secured banking obligations,
which will lead to an increase in interest payments of MXN 1.4
billion throughout 2017. Moody's also notes operating expenditure
pressures throughout 2016 and 2017 as a result of delayed payroll
and transfers.

As a result, Moody's revised its financial result projections,
which result now on an average deficit of 10% of total revenues in
2016 and 2017. Although the state's financial debt position is
still manageable, the projected deficits and an eventual
refinancing of supplier arrears could push debt levels to above
60% of total revenues, one of the highest levels among Mexican
states qualified by Moody's.

RATIONALE FOR THE NEGATIVE OUTLOOK

The negative outlook reflects the state's challenges to redress
its financial situation over the next 12 to 18 months. Moody's
will monitor the incoming administration's measures that could
result in an improvement in Veracruz's financial situation,
liquidity and future debt burden.

RATIONALE FOR THE DOWNGRADE OF THE ENHANCED LOANS' RATINGS

The rating downgrades of the enhanced loans reflects the downgrade
of Veracruz's issuer ratings. According to Moody's projections,
the loan enhancements provide three- to four-notches uplifts from
the global scale issuer ratings. However, given the strong
positive track record of the existing enhanced loans, as well as
the solid trust framework in which these loans are embedded, it is
Moody's opinion that these loans have demonstrated increased
security to the lenders. Per Moody's methodology on rating
enhanced loans, the loan ratings are linked to the credit quality
of the issuer, which ensures that underlying contract enforcement
risks, economic risks and credit culture risks (for which the
issuer rating acts as a proxy) are embedded in the ratings of the
enhanced loans.

WHAT COULD CHANGE THE RATINGS UP/DOWN

Given the negative outlook, a rating upgrade is unlikely in the
next 12 to 18 months. However, the outlook could be stabilized if
the incoming administration implements measures that effectively
restore a healthy liquidity position and if banking debt increases
are below Moody's expectations . Conversely, the ratings could be
downgraded if Veracruz's consolidated results and/or cash position
deteriorate further, or if it contracts a significant amount of
short-term unsecured loans.

Given the links between the loans and the credit quality of the
obligor, an upgrade of the state of Veracruz issuer ratings would
likely result in an upgrade of the ratings on the three enhanced
loans. Conversely, a downgrade of Veracruz's issuer ratings could
also exert downward pressure on the debt ratings of the loans. In
addition, the ratings could face downward pressure if debt service
coverage levels fall materially below our expectations.

The methodologies used in these ratings were Rating Methodology
for Enhanced Municipal and State Loans in Mexico published in June
2014 and Regional and Local Governments published in January 2013.

The period of time covered in the financial information used to
determine Veracruz, State of rating is between 01/01/2011 and
31/12/2015 (source: State of Veracruz).


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


EDGARDO ACEVEDO BADILLO: Plan Confirmation Hearing Set for Jan. 26
------------------------------------------------------------------
Judge Edward A. Godoy of the U.S. Bankruptcy Court for the
District of Puerto Rico has issued an order approving the
disclosure statement describing the Chapter 11 plan filed by
Edgardo Acevedo Badillo and Jennifer Enid Jimenez.

A hearing for the consideration of confirmation of the Plan and of
such objections as may be made to the confirmation of the Plan
will be held on Jan 26, 2017 at 09:30 A.M. at the U.S. Bankruptcy
Court, Southwestern Divisional Office, MCS Building, Second Floor,
880 Tito Castro Avenue, Ponce, Puerto Rico.

Objections to claims must be filed prior to the hearing on
confirmation. Debtor will include in its objection to claim a
notice that if no response to the objection is filed within thirty
days, the motion will be considered and decided without the actual
hearing. If a written response or opposition to the objection to
claim is timely filed, the contested matter will be heard on the
date that the hearing on confirmation has been scheduled.

That acceptances or rejections of the Plan may be filed in writing
by the holders of all claims on/or before fourteen days prior to
the date of the hearing on confirmation of the Plan.

That any objection to confirmation of the plan shall be filed
on/or before fourteen days prior to the date of the hearing on
confirmation of the Plan.

As previously reported in the Troubled Company Reporter, Edgardo
Acevedo Badillo and Jennifer Enid Jimenez filed a disclosure
statement describing their Chapter 11 Plan dated Sept. 25, 2016.

Under the plan, Class G claimants will receive from the Debtor a
non-negotiable, interest bearing at 3.25% annually, promissory
note dated as of the Effective Date. Creditors in this class shall
receive a total repayment of 6% of their claimed or listed debt
which equals to $9,117 to be paid pro rata to all allowed
claimants under this class. Unsecured Creditors will receive
monthly payment of $75.98 to be distributed pro rata among them,
for a 10-year term.

A full-text copy of the Disclosure Statement is available at:

         http://bankrupt.com/misc/prb15-05928-87.pdf

                   About Edgardo Badillo

Edgardo Acevedo Badillo and Jennifer Enid Jimenez Ramos sought
protection under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R.
Case No. 15-05928) on Aug. 3, 2015. The Debtor is represented by
Miriam S. Lozada Ramirez, Esq.



===============
S T.  L U C I A
===============


BANK OF ST. LUCIA: Government Exploring Options to Help Bank
-------------------------------------------------------------
Trinidad Express reports that the St. Lucia government says the
government is exploring its options as it seeks to help the Bank
of St. Lucia (BOSL) deal with an estimated EC$300 million (One EC
dollar = US$0.37 cents) in accumulated bad loans.

But Opposition Leader Phillip J. Pierre is urging the government
to be careful in its statements about the financial institution,
which he said in the past had recorded healthy profits, according
to Trinidad Express.

"The bank still has heavy deposits, it still employs a substantial
number of people," he said, the report notes.

Minister in the Ministry of Finance, Doctor Ubaldus Raymond, has
said that the situation confronting the bank calls for urgent
action, the report relays.

In a statement, Dr. Ramond said that the Eastern Caribbean Central
Bank (ECCB) has held many discussions with BOSL which is under
capitalized and that a quarter of all loans at the institution are
bad -- amounting to almost EC$300 million dollars.

Dr. Raymond said that the government is in discussion as to how
best to address what he said was a serious problem, the report
notes.

"We are aware that there are many depositors at the bank and we
want to ensure that depositors' money is safe and the government
is doing its best in ensuring that this is done," Dr. Raymond
said, dismissing reports that the bank is to be sold.

Dr. Raymond said the government would continue to be a shareholder
of the bank amid reports that the Republic Bank of Trinidad and
Tobago is likely to make a proposal to the government next year,
the report relays.

The report notes that Mr. Pierre insists that all is not lost at
BOSL and that Raymond should be very careful when making any
statements about the institution.

"I think we should all try to protect the Bank of St. Lucia; we
should all try to ensure that the bank . . . . survives," he said,
noting that making statements that are unfounded or which will
cause depositors to lose confidence in the bank, would be very
disappointing, says the report.

"I think all efforts should be made to save the Bank of St. Lucia
if it is in problems but the confidence must remain and statements
about the bank should be guarded and made with full knowledge --
there should be no speculation as far as the bank is concerned,"
he told the Times newspaper, the report relates.


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


TRINIDAD CEMENT: To Pay TT$20 Million Owed to Workers
-----------------------------------------------------
Aleem Khan at the Trinidad Express reports that local producer
Trinidad Cement Ltd will settle its remaining debt to workers who
won a court case against the company two years ago by giving them
$20 million in shares.

TCL said in a notice on the Trinidad and Tobago Stock Exchange:
"In December 2014 and January 2015, TCL published notices advising
that a Memorandum of Agreement was entered into with the Oilfields
Workers' Trade Union (OWTU), regarding the order of the Industrial
Court on certain trade disputes and all other outstanding items
for the period 2012-2014," according to Trinidad Express.

Further to those notices, TCL said it "entered into a Deed of
Settlement and Trust (the Trust Deed) on November 24, 2016 with
First Citizens Trustee Services Ltd (FCTSL) as the trustee, in
order to settle the remaining obligations to eligible employees
under the order and the Memorandum of Agreement," the report
notes.

As reported in the Troubled Company Reporter-Latin America on June
30, 2016, S&P Global Ratings revised its outlook on Trinidad
Cement Limited Group (TCL) to positive from stable.  At the same
time, S&P affirmed its 'B-' corporate credit and issue-level
ratings on TCL.


===============
X X X X X X X X
===============


* LATAM: Better Governance to Determine Fate in 2030
----------------------------------------------------
The Atlantic Council released "Latin America and the Caribbean
2030: Future Scenarios," a report commissioned by the Inter-
American Development Bank (IDB) that looks at how the region's
countries could evolve over the next 14 years, underscoring how
more integration and better governance hold the key to greater
prosperity.

The report was launched at an event in which IDB President Luis
Alberto Moreno and the Atlantic Council's Jason Marczak debated
its findings with representatives of the business, academic and
diplomatic communities.

The report describes a baseline "business as usual" scenario that
would see 57 million more Latin Americans and Caribbean citizens
joining the middle class over the coming 14 years, assuming that
the region's governments continue largely on their current course.
Annual GDP growth rate in this scenarios would be 2.4 percent,
slightly outperforming the U.S. growth rate of 2.2 percent. The
region would face growing challenges in the areas of income
distribution, demographic changes and climate change impacts.

However, the report also indicates that global and regional
trends, combined with ambitious domestic reforms, could put Latin
America and the Caribbean on a path toward faster growth and
prosperity. It offers positive scenarios in which the region
embraces better governance and more integration, leading to a
doubling of infrastructure investments, big reductions in
homicides and less tax evasion, among other pluses.

On the other hand, less optimistic scenarios based on a more
fragmented region forecast continued high crime, more political
instability, low productivity, dependence on commodity exports and
difficulties in attracting foreign investments.

Latin America and the Caribbean 2030: Future Scenarios, written by
Jason Marczak of the Atlantic Council's Adrienne Arsht Latin
America Center and Peter Engelke of its Strategic Foresight
Initiative, outlines several alternative scenarios as to how the
region could unfold.

"Muddling Through" the base-case scenario, shows what current
trends point to modest economic fortunes and relatively stable
democracies. Among its findings: the middle class increases to 345
million people by 2030.

"Governance on the Rise or an Illicit World Afloat" looks at the
potential for qualitative jumps in governance on the heels of
active citizen engagement and digital revolutions or,
alternatively, the potential for corruption scandals,
transnational crime, and weakened rule of law. Two key data
points: with better governance, the regional economy grows by an
additional 7 to 10 percent. But foreign direct investment shrinks
by more than 50 percent in a scenario of growing crime and
impunity.

"Toward Integration or Fragmentation Prevails" foresees what could
happen if countries cooperate in making investments and joint
policies in finance, labor markets, energy, infrastructure, and
education. In a contrasting scenario, some countries may be pulled
toward different economic poles, making the region less coherent
than ever. In the first case infrastructure investments reach 5
percent of GDP and Central America's economies grow by over 9
percent. But fragmentation could result in regional exports
declining by $200 billion annually.

Climate change has its own set of challenges. More natural
disasters, droughts, flooding, and new diseases could be more
common, but an opportunity also exists for the region to become
the world's bread basket and its global green leader. In the
2020s, most glaciers in the Peruvian and Bolivian Andes below
5,000 meters could disappear entirely.

"The future holds great promise but also the risk of great
uncertainty. Looking to 2030, middle-class growth, stronger
economies, healthier people, and greater security will come only
through a call to action today," says Jason Marczak. Adds Peter
Engelke: "the key question will be how the region anticipates and
addresses global and regional drivers of change. Latin America
will soon be at a decision point in its place regionally but also
in the world."

The publication, produced in collaboration with the Frederick S.
Pardee Center for International Futures at the University of
Denver, reflects insight from over 110 decision makers
representing 15 countries. It provides specific numbers on how the
region's trajectory may unfold -- from economic growth to security
and health to education.

"Latin America and the Caribbean 2030: Future Scenarios" includes
an introduction by IDB President Luis Alberto Moreno and 17 guest
columns by prominent experts such as Marta Lagos, director of
Latinobarometro; Paul Farmer, co-founder of Partners In Health;
and Esteban Bullrich, Minister of Education of Argentina.




                            ***********


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 commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$775 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Peter A. Chapman at 215-945-7000 or Nina Novak at
202-362-8552.


                   * * * End of Transmission * * *