TCRLA_Public/170525.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

             Thursday, May 25, 2017, Vol. 18, No. 103


                            Headlines



A N T I G U A   &  B A R B U D A

LIAT: Pilots Warn Airline, 'Turbulance Ahead'


A R G E N T I N A

GALILEO ESTRATEGIA: Moody's Assigns B-bf Global Bond Fund Rating
QUINQUELA RETORNO: Moody's Assigns B-bf GS Bond Fund Rating


B R A Z I L

BANCO ORIGINAL: Liquidity Not Affected by Related Party Events
ELDORADO BRASIL: Fitch Lowers IDR to B; Puts Rating on RWN
MMX SUDESTE: Administrator Seeks U.S. Recognition of Brazil Case
ODEBRECHT SA: Energy Unit Renegotiates $5 Billion in Debt
OI SA: Creditors File US Motion as Bankruptcy Deal Continue

SAO PAULO STATE: Fitch Puts 'BB' Global Scale LT ICR Watch Neg.

* S&P Puts Ratings on Several Brazilian Corporations on Watch Neg.
* S&P Puts Ratings on 38 Brazilian Institutions on Watch Neg.


C A Y M A N  I S L A N D S

BLUE ELITE: Shareholder to Hear Wind-Up Report on May 31
FERLO INVESTMENT: Members' Final Meeting Set for May 25
INSPARO AFRICA: Members' Final Meeting Set for May 31
INSPARO AFRICA (GENERAL PARTNER): Members' Meeting Set for May 31
MINSTREL LTD: Shareholders' Final Meeting Set for June 5

OLYMPIA STAR II: Shareholders' Final Meeting Set for June 20
PATRONUS INVEST: Members' Final Meeting Set for June 14
PROMSTROI SPV: Shareholders' Final Meeting Set for June 1
SYSWIN INC: Creditors' Proofs of Debt Due May 29
TREE INVESTMENT: Members' Final Meeting Set for June 9


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: US to Cut Aid to US$10.5MM From US$21.6MM


J A M A I C A

JAMAICA: BOJ Says Lending Rates Down due to Increased Competition


P U E R T O    R I C O

PUERTO RICO: AFSCME Wants to Be Part of Official Retiree Panel
PUERTO RICO: HTA and ERS Case Summary & List of Unsec. Creditors
PUERTO RICO: Pension System & Highway Agency Enter Bankruptcy
PUERTO RICO: US Trustee to Solicit Three Official Committees


T R I N I D A D  &  T O B A G O

CONSOLIDATED ENERGY: Moody's Rates Proposed $500MM Sr. Notes B2


                            - - - - -


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


LIAT: Pilots Warn Airline, 'Turbulance Ahead'
---------------------------------------------
Trinidad and Tobago Newsday reports that the Leeward Islands
Airline Pilots Association (LIALPA) is urging LIAT to honour its
salary agreement with the union, said LIALPA is a recent
statement.

LIALPA said its relationship with LIAT (1974) Ltd is strained and
at an all-time low, according to Trinidad and Tobago Newsday.

"Since late 2012, the Association has engaged LIAT in negotiations
for a new salary structure for its ATR- 72 aircraft (not covered
under the current MOA) and general salary increases.

"After years of stalling and legal maneuvering by LIAT, including
the Company filing legal action in both the High and Industrial
Courts, the Association in the spirit of fostering and maintaining
a good relationship with LIAT accepted the Company's salary
package offer in January 2017," the association said, the report
notes.  "We accepted this deal on the premise that the pilots
would make this a one-off concession to ensure the survival of the
Company."

Yet LIALPA alleged that "to date LIAT has not honored this
agreement with LIALPA and has even gone so far as to reject our
Attorney's suggestion to seek a Consent Order from the Industrial
Court to formalize the agreement (for years 2012-2017) and pave
the way for its implementation," the report discloses.  "In light
of the aforementioned it is our view that LIAT continues to act in
bad faith. This is also evident by the Company's insistence to
unilaterally impose, yet another salary deferral program on the
pilots even though the Association has publicly objected and
rejected this program."

The union said it had made its position very clear to LIAT's Board
of Directors and Shareholders at a widely-publicized meeting in
Barbados on April 4, the report relates.

The union accused LIAT's management of ignoring the fact that the
matter is now before the Industrial Court for determination.

"As a result of LIAT's actions and the volatility of this
situation, LIALPA would like to once again make a final appeal to
LIAT to honour its agreement with the pilots by June 17, in order
to avoid any further escalation of this matter.

"Failure to do so would leave the Association with no other choice
but to act, so as to protect the interest and rights of its
membership.

"We trust that LIAT would change its present course and respect
the basic principles of industrial relations and collective
bargaining," it added, the report relays.

                            About LIAT

LIAT, operating as Leeward Islands Air Transport, is an airline
headquartered on the grounds of V. C. Bird International Airport
in Antigua.  It operates high-frequency inter-island scheduled
services serving 21 destinations in the Caribbean.  The airline's
main base is VC Bird International Airport, Antigua and Barbuda,
with bases at Grantley Adams International Airport, Barbados and
Piarco International Airport, Trinidad and Tobago.

                         *     *     *

The Troubled Company Reporter-Latin America, citing Trinidad
Express, on November 24, 2016, reported that the Barbados
government defended the operations of the cash-strapped regional
airline, LIAT, even as opposition legislators called for it to be
stop being a financial burden on the island. Both Prime Minister
Freundel Stuart and his Finance Minister, Chris Sinckler, defended
the airline, whose major shareholders are Antigua and Barbuda,
Barbados, Dominica and St. Vincent and the Grenadines. Mr. Stuart,
speaking in Parliament, said despite the criticism the value of
the airline should not be underestimated that the Antigua-based
LIAT remains "important to Barbados.

According to the TCR-LA in May 8, 2015, the Daily Observer said
that LIAT was attempting to lose excess baggage as part of
measures to make the carrier "a smaller airline in 2015."  In a
document, signed by Director of Human Resources Ilean Ramsey,
eligible employees were asked to opt to apply for voluntary
separation or early retirement packages to avoid being
made redundant, according to The Daily Observer.

TCRLA reported on Dec. 2, 2014, citing Caribbean360.com, that
chairman of the shareholder governments of the financially
troubled regional airline LIAT, Dr. Ralph Gonsalves said while he
is unaware of the details regarding any possible retrenchment of
employees, the airline needs to deal with its high cost of
operations.

The TCR-LA on March 10, 2014, citing Caribbean360.com, reported
that LIAT said it will take "decisive action" to deal with
unprofitable routes as the Antigua-based airline seeks to make its
operations financially viable.

On Sept. 23, 2013, the TCRLA, citing Trinidad and Tobago Newsday,
reported that there's much upheaval at the highest levels of
LIAT -- the Board and the Executive. Following the sudden
resignation of Chief Executive Officer Captain Ian Brunton, David
Evans replaced Mr. Brunton as chief executive officer.


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


GALILEO ESTRATEGIA: Moody's Assigns B-bf Global Bond Fund Rating
----------------------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo has
assigned initial bond fund ratings to Galileo Estrategia FCI, a
new bond fund managed by Galileo Argentina SA. The global scale
and national scale ratings assigned are:

- Global scale bond fund rating: B-bf

- National scale bond fund rating: Aa-bf.ar

RATING RATIONALE

The B-bf global scale bond fund rating reflects the expectation
that Galileo Estrategia's portfolio will maintain a maturity
adjusted weighted average expected loss consistent with other B-bf
rated funds. The asset allocation is expected to be approximately
70% in local Treasury bills and 20% in sub-sovereign securities
with the balance invested in corporate bonds. The Aa-bf.ar
national scale rating reflects Moody's expectations that the Fund
will maintain a strong B-bf credit profile which maps to Aa-bf.ar
national scale rating.

The rating agency stated that Galileo Estrategia is a new fund
with no prior track record, but is managed by an experienced
manager. The fund will seek returns above the local CPI Index rate
with an average duration not exceeding 1.5 years. Moody's said its
analysis was performed on a model portfolio provided by the fund
sponsor. The rating agency expects the fund to be managed in line
with the model portfolio. However, Moody's noted that if the
fund's invested portfolio deviates materially from the model
portfolio, the fund's rating could be changed. The Fund is
expected to be launched to the market within the next week

The new fund expects key shareholders to be institutional
investors such as local insurance companies and high net worth
individuals who have historically been clients of Galileo.

Galileo Argentina SGFISA, part of a well-known local and
independent mid-sized asset manager in the Argentinean mutual fund
Industry with a market share of 1.7%. As of April 2017, Galileo
managed approximately AR$4,745.7 million in assets.

The principal methodology used in this rating was Moody's Bond
Fund Rating Methodology published in May 2013.

Other methodologies and factors that may have been considered in
the process of rating this fund can also be found under Rating
Methodologies on Moody's website.


QUINQUELA RETORNO: Moody's Assigns B-bf GS Bond Fund Rating
-----------------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo has
assigned initial bond fund ratings to Quinquela Retorno Total FCI
(the Fund) of B-bf/A-bf.ar, a new bond fund managed by QM Asset
Management. The global scale and national scale ratings assigned
are:

- Global scale bond fund rating: B-bf

- National scale bond fund rating: A-bf.ar

RATING RATIONALE

The B-bf global scale bond fund rating reflects the expectation
that Quinquela Retorno Total's portfolio will maintain a maturity
adjusted weighted average expected loss consistent with other B-bf
rated funds. The Fund will largely invest in Argentinian Sovereign
Bonds with inflation adjustments (CER) rated B3 (positive). The A-
bf.ar national scale rating is based on Moody's expectations that
the Fund's credit profile will be at the lower end of single B-bf
on a global scale rating basis which will likely make it more
comparable to funds with A-bf.ar national scale ratings.

"Quinquela Retorno Total is a fund that offers returns above
inflation, achieving positive real yields" said the Analyst Carlos
de Nevares.

QM Asset Management, is a medium independent asset manager in the
Argentinean mutual fund Industry with 1.14% market share based on
industry assets under management (AUM). As of April 2017, QM Asset
Management, managed approximately ARS 5,252 million or USD 338
million in AUM.

The principal methodology used in this rating was Moody's Bond
Fund Rating Methodology published in May 2013.

Other methodologies and factors that may have been considered in
the process of rating this fund can also be found under Rating
Methodologies on Moody's website.


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


BANCO ORIGINAL: Liquidity Not Affected by Related Party Events
--------------------------------------------------------------
According to Fitch Ratings, Banco Original (Original; Long-Term
Issuer Default Rating [IDR] 'B+'/Outlook Stable) has so far
managed to contain potential pressures on its business and
financial profile arising from the recent news involving its
related parties and its shareholders.

Original is ultimately wholly owned by a holding company named J&F
Investimentos S.A., which also controls its shareholders' other
companies, including JBS S.A. (JBS; Long-Term IDR 'BB'/Rating
Watch Negative). It was announced that some of JBS's executives
had signed a plea bargain with the Brazilian Federal Public
Prosecutor's Office, which included admitting payments of bribes
to various politicians.

Fitch has been closely monitoring Original's liquidity since the
announcement. At present, it remains broadly stable, while the
management remains focused on contingency measures to reinforce
the bank's cash position. The Central Bank of Brazil has allocated
an auditor to facilitate the continuous monitoring of the bank.
The short-term profile of its loan portfolio, the relatively low
proportion of funding with daily liquidity clauses (less than 10%)
and the diversified retail component from Original's funding
distribution agreements (covered by FGC) have been, so far key and
sufficient, to ease potential pressures on Original's financial
profile.

Fitch will continue to monitor to what extent the ongoing
developments involving Original's related parties may hamper the
stability of the financial profile, franchise and liquidity of the
bank. The ratings could be negatively affected if the funding and
liquidity of the bank come under pressure, or if Fitch believes
that the bank's ability to implement its stated business goals is
significantly undermined by the ongoing events.

Fitch currently rates Original as follows:

-- Long-Term Foreign and Local Currency Issuer Default Ratings
    (IDRs) 'B'+;
-- Short-Term Foreign and Local Currency IDRs 'B';
-- Viability Rating (VR) 'b+';
-- National Long-Term Rating 'BBB+(bra)'.
-- National Short-Term Rating 'F2(bra)';
-- Support Rating '5';
-- Support Rating Floor 'NF'.

The Rating Outlook is Stable. Original's IDRs are driven by its
VR.


ELDORADO BRASIL: Fitch Lowers IDR to B; Puts Rating on RWN
----------------------------------------------------------
Fitch Ratings has downgraded Eldorado Brasil Celulose S.A.'s
(Eldorado) Long-Term Foreign and Local Currency Issuer Default
Rating (IDR) to 'B' from 'B+' and its Long-Term National Rating to
'BBB-(bra)' from 'BBB+(bra). Fitch has also downgraded the rating
for the 2021 notes issued by Eldorado Intl. Finance GmbH and
guaranteed by Eldorado and Cellulose Eldorado Austria GmbH to
'B/RR4' from 'B+/RR4'. Fitch has placed all the ratings on
Negative Watch.

KEY RATING DRIVERS

The downgrades follow the announcement that some of the J&F
group's executives, including Eldorado's parent J&F Investimentos
S.A.'s (J&F) major shareholders, have signed a plea bargain with
the Brazilian Federal Public Prosecutor's Office, which was
ratified by the country's supreme court. The agreement establishes
the payment of a fine totalling BRL225 million to be paid by these
executives.

The magnitude of this agreement, which included admitting payments
of bribes to various politicians, and the reputational damage from
the investigations due to the size and nature of these payments is
likely to hurt Eldorado's ability to obtain financing or sell
assets. This has heightened refinancing risk given the company's
tight liquidity position.

Eldorado had BRL2.4 billion of short-term debt as of Dec. 31, 2016
and only BRL1.2 billion of cash and marketable securities. The
company needs to continue to refinance part of its impending debt
maturities or sell assets, as FCF is limited and pressured by high
financial expenses. Eldorado's debt could also be accelerated if
the company is not able provide March 31, 2017 financial
statements by May 31, 2017.

The Negative Watch reflects Fitch's expectation that the fine from
the anticipated leniency agreement that is being negotiated by the
J&F group will further weaken the company's precarious financial
position. Downgrades could be multiple notches if this agreement
does not lead to lending to the group from BNDES and other
Brazilian financial institutions, as the company is currently not
able to tap international capital markets.

RATING SENSITIVITIES

Future Developments That May, Individually or Collectively, Lead
to Positive Rating Action:

-- Positive rating actions are not expected.

Future Developments That May, Individually or Collectively, Lead
to Negative Rating Action:

-- Liquidity falling to levels that considerably weaken short-
    term debt coverage;

-- Negative outcome of the investigations affecting the company's
    ability to access local bank financing.

LIQUIDITY

As of Dec. 31, 2016, Eldorado had cash and marketable securities
of BRL1.2 billion and total debt of BRL9.1 billion, of which about
BRL2.4 billion is due in the short term. Excluding trade finance
lines, debt maturities during 2017 are about BRL941 million.
Eldorado needs to continue to refinance part of its impending debt
maturities, as FCF is still limited and pressured by high
financial expenses.

Total debt was composed of loans from the Brazilian Development
Bank, pre-export financing, export credit agencies, export credit
notes, debentures from Fundo de Investimento do Fundo de Garantia
do Tempo de Servico, a term loan, and senior unsecured notes.

FULL LIST OF RATING ACTIONS

Fitch has downgraded the following ratings:

Eldorado Brasil Celulose S.A.
-- Long-Term Foreign Currency Issuer Default Ratings (IDRs) to
    'B' from 'B+';
-- Long-Term Local Currency IDR to 'B' from 'B+';
-- Long-Term National Scale Rating to 'BBB-(bra)' from
    'BBB+(bra)'.

Eldorado Intl. Finance GmbH
-- Senior unsecured notes, in the amount of USD350 million and
    due in 2021 to 'B/RR4' from 'B+/RR4'.

The transaction was issued by Eldorado Intl. Finance GmbH and
guaranteed by Eldorado Brasil Celulose S.A. and Cellulose Eldorado
Austria GmbH.

The ratings were placed on Negative Watch.


MMX SUDESTE: Administrator Seeks U.S. Recognition of Brazil Case
----------------------------------------------------------------
The administrator of Brazilian company MMX Sudeste Mineracao S.A.
filed a Chapter 15 petition for the company in the U.S. to seek
U.S. recognition of its court-approved reorganization pending in
Brazilian court.

The court-appointed administrator of MMX is currently conducting
an investigation into possible wrongdoings by controlling
shareholders and manager of the Debtor over a failed expansion
project that forced the company to run out of cash.

"[T]he Debtor was part of a larger scheme involving the EBX Group
to defraud investors in connection with the Expansion Project.  As
judicial administrator, I need to conduct an analysis of the
Debtor and its related entities, to understand the activities
related to the Expansion Project that led to the filing of the
Brazilian Proceeding.  In particular, I need to investigate the
business, affairs, and worldwide dealings of the Debtor's
principals and other relevant related companies to, among other
things, reconstruct their affairs in relation to the Debtor, the
Expansion Project, and the resulting Brazilian Proceeding,"
Bernardo Bicalho Alvarenga Mendes, the judicial administrator,
explains.

"Additionally, I have learned through other investigations that
assets of the Debtor may be concealed in foreign tax havens by
using names of the relatives of the Debtor's principals and
offshore entities.  As a result, I need to investigate the nature
and extent of any activities undertaken in the United States that
may be related to the Debtor and the assets of the Debtor.  Also.
I need to investigate the possibility that assets in the United
States may have been acquired using funds belonging to the
Debtor.

"Thereafter, I would hope to make recoveries to the extent
possible, including by filing proceedings and asserting such
proprietary claims as may be available to me in the United States.
I may also bring claims against any third parties that are subject
to suit and may have damaged or owe money to the Debtor in the
U.S., which may be subject for tracing claims."

A hearing will be held on June 8, 2017, at 2:30 pm., at C. Clyde
Atkins U.S. Courthouse, Courtroom 4, in Miami, Florida, on the
verified petition for recognition of the foreign proceeding.

                       Expansion Project

Incorporated in 2005, MMX Sudeste is in the business of extracting
iron ore from mining units located in the metropolitan region of
Belo Horizonte, known as the most prominent mining zone in Brazil.
The Debtor holds mining rights in these mining units until the
year 2034 pursuant to leasing agreements entered into with
Companhia de Mineracao Serra das Farofas (CEFAR).

Since its inception, the Debtor had a sizable mining operation
with the capacity to produce approximately l0.8 million tons of
iron ore per year.  Further, the Debtor also owned ore extraction
rights in Chile and in Bom Sucesso, in the state of Minas Gerais,
Brazil.   The iron ore extracted by the Debtor is used in the
production of steel.

The Debtor is owned and controlled by Bike Furkhen Batista
("Batista"), who directly holds 0.0 l % ownership in the Debtor,
and through his indirect control of MMX Mineracao e Metalicos S.A.
("Mineracao"), holds an additional 99.99% ownership in the Debtor.
Mineracao is publicly traded in the Brazilian stock market and
routinely used the Debtor's information in its investment
materials.

In 2008, the Debtor sought to expand its production to 40 million
tons of iron ore per year.  Its main strategy to attain that goal
was the expansion of the Serra Azul Unit iron ore production,
located in the State of Minas Gerais, Brazil.  The Debtor also
sought to operate the Pau de Vinho mine, which the Debtor
predicted would produce approximately an additional eight million
tons per year.  The expansion plan also included the construction
of ore-pipelines, ports and railways to provide the necessary
infrastructure to accommodate such production expansion, all of
which required licensing, among other things.  The new processing
plant was projected to be Operating by 2014, with an estimated
production of approximately 29 million tons of iron ore per year.
In total, the Debtor disclosed a business plan expecting to yield
a yearly production of 36 million tons of iron ore.

The Expansion Project, according to the Administrator, ultimately
failed to meet expectations.  Rather than producing the projected
36 million tons of iron ore per year, the Debtor produced only 8
million tons.  Further, the Debtor was subject to substantial
fines due to breaches of distribution and logistics contracts.
The foregoing required the Debtor to revalue assets, undertake
significant write-offs, and seek further investments.

The Debtor continued to suffer due to a lack of liquidity and the
Debtor ultimately ran out of cash and funding.

                       Brazilian Proceeding

On Oct. 16, 2014, MMX Sudeste filed a petition with the First
Business Court of the Judicial District of Belo Horizonte -- Minas
Gerais for an order authorizing the reorganization of the Debtor
under the applicable Brazilian law.

On Oct. 22, 2014, the Brazilian Court entered a judgment approving
the application for reorganization of the Debtor.   Pursuant to
the judgment, Bernardo Bicalho Alvarenga Mendes was appointed as
"judicial administrator" of the Debtor.

The Debtor filed the Brazilian Proceeding in 2014 in an effort to
continue its Expansion Project.  Notwithstanding its economic
difficulties, in its reorganization request, the Debtor painted a
favorable future with regard to the Expansion Project based on its
claimed viability and promise.  The Debtor represented that the
Expansion Project would create about 3,000 jobs in addition to tax
revenue of R$40 million Reais per year.

During his initial investigations, the Administrator discovered
information that suggested the wrongdoing as to assets of the
Debtor in benefit of its shareholders, directors, officers, and
other members of its governing body, in furtherance of which he
sought and obtained court approval to put together an
investigatory team.  Additional investigations under Mr. Mendes'
supervision revealed that the corporate form of the Debtor was
ignored in the ordinary course of the Debtor's activities and that
the Debtor's shortage of credit, which led to the Brazilian
Proceeding. was the direct result of the wrongdoings committed by
the Debtor's controlling shareholders, managers and other related
entities.

Consequently, the Administrator filed a Request to Pierce the
Corporate Veil and Damages with Request for Urgent Provisional
Relief (the "Piercing Motion").  The Brazilian court granted the
motion finding, among other things, that the controlling
shareholders of the Debtor ignored the corporate formality of the
Debtor by producing artificially inflated accounting and financial
statements of the Debtor, thereby contributing to the ultimate
need for reorganization.

                   About MMX Sudeste Mineracao

Brazilian company MMX Sudeste Mineracao S.A. is engaged in the
extraction and sale of iron ore.  It was founded in 2005 and owns
mines in Minas Gerais and Mato Grosso do Sul States.  MMX has an
installed capacity to produce about 7 million metric tons of iron
ore per year in its two systems: the Southeast System and the
Corumba System.  In February 2011, MMX acquired the mining rights
for the Pau de Vinho Mine, which belongs to Mineracao Usiminas,
for 30 years.  The mine is located in the area adjacent to the
Serra Azul Unit, which greatly facilitates its operation.

The administrator of MMX Sudeste Mineracao S.A., filed a Chapter
15 bankruptcy petition (Bankr. S.D. Fla. Case No. 17-16113) on May
15, 2017, to seek U.S. recognition of its proceedings before
Brazil's First Business Court of Belo Horizonte (Case No.
0024.14.298.866-6).

Bernardo Bicalho Alvarenga Mendes, the duly appointed judicial
administrator in the Brazilian case, was appointed foreign
representative authorized to sign the Chapter 15 petition.

Annette C Escobar, Esq., and Gregory S. Grossman, Esq., at Sequor
Law, P.A., is U.S. counsel to the Administrator.


ODEBRECHT SA: Energy Unit Renegotiates $5 Billion in Debt
---------------------------------------------------------
Luciana Magalhaes at The Wall Street Journal reports that troubled
engineering conglomerate Odebrecht SA's oil and gas arm said it
has entered into an agreement with a group of creditors to
restructure its financial debt.

Odebrecht Oleo e Gas said it filed the reorganization plan,
covering $5 billion in debt, with a Rio de Janeiro court,
according to The Wall Street Journal.  Creditors representing more
than 60% of the claims accepted the plan, the company said in a
statement, the report notes.

Odebrecht SA signed a multibillion anticorruption settlement with
Brazilian, U.S. and Swiss prosecutors in December following a two-
year investigation of bribery of public officials that has sent
politicians and executives from several construction companies and
from state-controlled oil company Petroleo Brasileiro SA to
prison, the report relays.  The closely held construction firm
admitted to violating foreign bribery laws, the report notes.

The builder has been selling assets and trying to negotiate more
agreements with prosecutors across Latin America in order to stay
solvent, WSJ discloses.

Prosecutors say Odebrecht was the ringleader in a cartel of
construction firms that conspired to overbill the state oil
company, known as Petrobras, for contracts by making illicit
payments to high-level Brazilian politicians and Petrobras
executives along the way, the report adds.

As reporter in the Troubled Company Reporter-Latin America on
Dec. 2, 2016, The Wall Street Journal related 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.


OI SA: Creditors File US Motion as Bankruptcy Deal Continue
-----------------------------------------------------------
Ana Mano and Alberto Alerigi at Reuters report that creditors of
Brazil's Oi SA filed a motion in U.S. bankruptcy court to pressure
the telephone operator to consider a proposal which could give
lenders control of the restructured company, a source close to the
lenders said.

The creditors believe that a U.S. filing made on May 22 in the
Southern District of New York will allow them the right to reject
the company's reorganization plan in the United States if it is
confirmed in Brazil without their input, the source said,
according to Reuters.

"If the company successfully approves the plan, it will need to
have it enforced outside of Brazil," said the source, the report
notes.

Oi said it has no knowledge of the creditors' motion.

Although Oi has no sizeable assets in the United States, it has
strategic commercial agreements with large U.S. telecom carriers
related to interconnection fees, the source said, the report
relays.

"If the plan is not enforced in the U.S., the creditors could seek
judgments to attach moneys that would otherwise go to Oi or go to
other carriers paid by Oi," the source said, the report discloses.

Reuters recalls that Oi SA filed for Brazil's largest ever
bankruptcy protection almost a year ago to restructure BRL65
billion ($19 billion) of debts.  It has sought creditor protection
in other jurisdictions including a Chapter 15 filing in the United
States as it has contractual arrangements and cash flows outside
of the Latin American country, the report relays.

Oi SA has proposed giving financial creditors 25 percent of its
equity or convertible bonds callable in three years, at which
point they could own up to 38 percent of the company's shares, the
report notes.

However, the creditor group has put forward a rival plan which
would involve a capital injection and hand them control of the
ailing carrier through a debt-for-equity swap giving them a 95
percent stake, according to a plan unveiled in December, the
report relays.

The company's plan would more than halve its total financial debt
to about BRL21 billion ($6.4 billion) but would impose deep
discounts on the company's bondholders, the report says.

The creditor group, led by financial adviser Moelis & Co (MC.N)
and backed by Egyptian billionaire Naguib Sawiris, has proposed
injecting $1.25 billion into Oi, notes the report.

A potential objection to Oi's reorganization plan in the United
States may only occur after it has been approved in Rio de
Janeiro, where the company is headquartered, Reuters discloses.

Any hearings in the United States would be unlikely before
September, said the source, the report 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.

As reported in the Troubled Company Reporter-Latin America on
Feb. 24, 2017, S&P Global Ratings affirmed its 'D' corporate
credit and issue-level global and national scale ratings on Oi
S.A.  At the same time, S&P withdrew the recovery ratings on the
company's rated debt, until it has an updated capital structure
once Oi emerges from judicial reorganization.


SAO PAULO STATE: Fitch Puts 'BB' Global Scale LT ICR Watch Neg.
---------------------------------------------------------------
S&P Global Ratings placed on CreditWatch negative its 'BB' global
scale long-term issuer credit ratings on the states of Sao Paulo
and Santa Catarina, and its 'BB/B' ratings on the city of Rio de
Janeiro.  S&P also placed on CreditWatch negative its 'brAA-'
national scale ratings on Sao Paulo, Santa Catarina, and the city
of Rio de Janeiro.

                           CREDITWATCH

S&P aims to resolve the CreditWatch placement within the next
three months.

                         UPSIDE SCENARIO

S&P could affirm the ratings on the states of Sao Paulo and Santa
Catarina, and on the city of Rio de Janeiro if the upside scenario
for Brazil's ratings materializes within the next 90 days.  Under
such a scenario, the uptick in political uncertainties in Brazil
is short-lived, and an administration and economic team has
sufficient support in Congress to continue advancing corrective
and timely policy measures to stanch fiscal deterioration and
strengthen GDP growth prospects.

                         DOWNSIDE SCENARIO

S&P could lower the ratings on the states of Sao Paulo and Santa
Catarina, as well as on the city of Rio de Janeiro within 90 days
if S&P was to lower the ratings on the sovereign.  This is because
S&P don't believe that these LRGs could have a higher rating than
the one on the sovereign.

                            RATIONALE

The rating actions on these local and regional governments (LRGs)
reflect a similar action on Brazil and their close links to the
sovereign.

The prolonged recession in Brazil has reduced the revenue base of
its wealthier LRGs, but we expect a slow and gradual recovery in
the next few years.  However, the worsening political dynamics in
Brazil could undermine Brazilian LRGs' institutional framework,
under which they operate, impacting negatively S&P's current
assessment.

Although S&P views Brazilian LRGs' institutional framework as
evolving and unbalanced, S&P sees the trend as weakening.  That
reflects Brazil's very difficult macroeconomic and political
environment, which could undermine LRGs' already strained finances
in the next two years.  It also reflects the rigidity of fiscal
laws, which are not expected to change significantly in the short
term.  S&P will keep monitoring each LRG's finances and its
intergovernmental relationship with the federal government.

S&P is maintaining the 'bb+' stand-alone credit profile (SACP) on
the state of Sao Paulo and 'bbb-' SACP on the city of Rio de
Janeiro.  Given that S&P don't believe that Brazilian LRGs could
have a higher rating than the one on the sovereign, S&P caps its
ratings on the states of Sao Paulo and Santa Catarina, and on the
city of Rio de Janeiro at the level of the 'BB' foreign currency
long-term rating on Brazil.  This reflects S&P's view that the
states don't meet the criteria under which S&P would rate a LRG
higher than its sovereign.

In accordance with S&P's relevant policies and procedures, the
Rating Committee was composed of analysts that are qualified to
vote in the committee, with sufficient experience to convey the
appropriate level of knowledge and understanding of the
methodology applicable.  At the onset of the committee, the chair
confirmed that the information provided to the Rating Committee by
the primary analyst had been distributed in a timely manner and
was sufficient for Committee members to make an informed decision.

After the primary analyst gave opening remarks and explained the
recommendation, the Committee discussed key rating factors and
critical issues in accordance with the relevant criteria.
Qualitative and quantitative risk factors were considered and
discussed, looking at track-record and forecasts.

The committee's assessment of the key rating factors is reflected
in the
Ratings Score Snapshot above.

The chair ensured every voting member was given the opportunity to
articulate his/her opinion.  The chair or designee reviewed the
draft report to ensure consistency with the Committee decision.
The views and the decision of the rating committee are summarized
in the above rationale and outlook.  The weighting of all rating
factors is described in the methodology used in this rating
action.

RATINGS LIST

CreditWatch Action
                               To                 From
Rio de Janeiro (City of)
Issuer Credit Rating          BB/Watch Neg/B     BB/Neg./B
Brazil National Scale         brAA-/Watch Neg/-- brAA-/Neg./--

Sao Paulo (State of)
Issuer Credit Rating          BB/Watch Neg/--    BB/Neg./--
Brazil National Scale         brAA-/Watch Neg/-- brAA-/Neg./--

Santa Catarina (State of)
Issuer Credit Rating          BB/Watch Neg/--    BB/Neg./--
Brazil National Scale         brAA-/Watch Neg/-- brAA-/Neg./--


* S&P Puts Ratings on Several Brazilian Corporations on Watch Neg.
------------------------------------------------------------------
S&P Global Ratings said that it placed its ratings on several
Brazilian corporations on CreditWatch with negative implications
following similar action on Brazil's 'BB/B' local and foreign
currency sovereign ratings, and 'brAA-' national scale sovereign
rating.  Ratings on these corporations are directly affected by
the ratings on Brazil, either being capped at the same level, or
up to the maximum number of notch differential to the sovereign
ratings.  Therefore, a potential downgrade of the sovereign would
most likely result in a downgrade of these issuers.

The negative CreditWatch listing on the sovereign rating of Brazil
reflects increased political uncertainties spawned from recent
corruption allegations against President Michel Temer.  Such
allegations, if corroborated, would hinder the president's
political viability and set in motion a transition process that
has not been tested before, and can be prolonged or disruptive.
An extended period of policy paralysis amid a weakened
administration, a long transition process, or the absence of a
coherent and well-articulated political support base to advance
reform following a quick political transition would likely weigh
on S&P's view of Brazil's institutional and governance
effectiveness.

The first group of companies covers ratings which are, and S&P
believes would remain, capped at the sovereign level.  These
companies were already rated either 'BB' on the global scale
and/or 'brAA-' on the Brazilian national scale with negative
outlook, reflecting the pressure from a potential sovereign
downgrade.  This group also includes companies that are rated
'brA+', which could be lowered if the sovereign national scale
rating is lowered by more than one notch.  S&P includes in this
group most of the companies with their asset bases largely located
in Brazil, with revenues almost entirely dependent on the domestic
economy, and significant exposure to the Brazilian banking sector
that could crimp the companies' liquidity, and ultimately,
repayment capacity in a sovereign stress scenario.  It also
includes infrastructure entities, such as electric and gas
distributors, transmission assets and toll road concessions,
because they're not only exposed to the general economic
conditions but also their regulated status makes them vulnerable
to potential tariff controls, which could impair revenue
collection and credit availability.  These companies' overall
credit characteristics would likely preclude them from honoring
their financial obligations under a sovereign default scenario.

   -- Algar Telecom S/A;
   -- Camil Alimentos S.A.;
   -- Cosan Group, including Rumo S.A. given S&P's support
      assumption from the group;
   -- Cyrela Brazil Realty S.A. Empreendimentos e Participacoes;
   -- Estacio Participacoes S.A.;
   -- JSL S.A.;
   -- Magazine Luiza S.A.;
   -- MRS Logistica, S.A.;
   -- MRV Engenharia e Participacoes S.A.;
   -- RBS TV Comunicacoes S.A.e empresas combinadas;
   -- Rede D'Or Sao Luiz S.A.;
   -- Ultrafertil S.A.;
   -- Santos Brasil Participacoes S.A.;
   -- Terminal de Conteineres de Paranagua S.A;
   -- Rio Paranapanema Energia S.A.;
   -- Chapada do Piaui I Holding S.A.;
   -- Ampla Energia e Servicos S.A.;
   -- Companhia Energetica do Ceara - Coelce;
   -- CPFL Energia S.A. and its subsidiaries;
   -- Bandeirante Energia S.A.;
   -- Espirito Santo Centrais Eletricas S.A;
   -- Energisa S.A. and its subsidiaries;
   -- Elektro Redes S.A.;
   -- Neoenergia S.A. and its subsidiaries;
   -- Companhia de Gas de Sao Paulo - Comgas;
   -- Cachoeira Paulista Transmissora de Energia S.A;
   -- Iracema Transmissora de Energia S.A.;
   -- Transmissora Alianca de Energia Eletrica S.A.;
   -- Arteris S.A. and its subsidiaries;
   -- CCR S.A. and its subsidiaries;
   -- Ecorodovias Concessoes e Servicos S.A.; and
   -- Concessionaria Ecovias dos Imigrantes S.A.

The second group consists of companies that S&P believes to have
high sensitivity to a sovereign default, given their exposure to
the Brazilian economy, but also have a greater financial strength
either stemming from very low debt, robust cash positions, or
their ownership of foreign assets or export-oriented businesses.
Depending on their individual strengths, these companies may have
a higher rating than the sovereign's foreign currency ratings, but
capped at one or two notches above that of the sovereign and/or
capped at T&C.

   -- Ache Laboratorios Farmaceuticos S.A.;
   -- Braskem S.A.;
   -- The Gerdau group;
   -- Globo Comunicacao e Participacoes S.A. (GLOBO);
   -- Iguatemi Empresa de Shopping Centers S.A. (IESC);
   -- Localiza Rent a Car S.A.;
   -- Lojas Renner S.A.;
   -- Multiplan Empreendimentos Imobiliarios S.A.;
   -- Raizen Combustiveis S.A. and Raizen Energia S.A.;
   -- Telefonica Brasil S.A.;
   -- Ultrapar Participacoes S.A.; and
   -- The Votorantim group.

The third group consists of companies whose sizeable scale,
geographic diversification, or strictly export-oriented businesses
reduce exposure to the Brazilian economy.  Therefore, these
companies' ratings could be up to three or four notches above
those of the sovereign, or might be pressured by S&P's transfer
and convertibility (T&C) assessment, depending on individual
characteristics of operations, cash flows, and capital structure.

   -- AmBev - Companhia de Bebidas das Americas; and
   -- Embraer S.A.

Finally, the ratings on Eletrobras and Itaipu Binacional are
limited by those on the sovereign, because S&P views these
companies as government-related entities (GREs).  S&P views the
likelihood of extraordinary government support for Eletrobras as
almost certain, so S&P equalizes the ratings on it with those on
the sovereign.  Itaipu Binacional benefits from an extremely high
likelihood of support from the government.  As such, all ratings
on Itaipu Binacional are capped to the one of the sovereign.

Ratings on the following companies that are rated 'BB' or higher
on the global scale, or 'brAA-' or higher on the national scale,
haven't been immediately affected by the sovereign's CreditWatch
listing because S&P believes these companies have some headroom to
their respective sovereign caps (one to four notches of headroom).
Therefore, a one notch downgrade of the sovereign rating wouldn't
affect the corporate ratings on these entities immediately.

   -- BRF S.A.;
   -- Companhia Brasileira de Distribuicao;
   -- Fibria Celulose S.A.;
   -- Hypermarcas S.A.;
   -- Klabin S.A.;
   -- Magnesita Refratarios S.A.;
   -- Natura Cosmeticos S.A.;
   -- Qualicorp S.A.;
   -- Sao Martinho S.A.;
   -- Suzano Papel e Celulose S.A.; and
   -- Vale S.A.

In addition, the ratings on Petrobras weren't affected based on
S&P's view that a potential downgrade of Brazil to 'BB-' wouldn't
impact its rating given the company's 'bb-' stand-alone credit
profile.  This is one of the reasons why the outlook on the
company remains stable.

S&P will continue to monitor the overall credit quality of the
corporate sector in Brazil, because the uncertain political
environment, pace for approval of reforms, and economic
stabilization may add volatility to exchange rates and interest
rates, limit the access to debt markets, and slow the pace of
recovery in demand for corporate sector.  S&P expects to resolve
the CreditWatch listing for these companies in connection with the
resolution of Brazil's CreditWatch listing.  S&P will also
incorporate any revised view and updated macro assumptions that
could change S&P's view on each company potential rating
differential to the sovereign.

RATINGS LIST

Ratings Placed On CreditWatch Negative

                          To                  From
Ache Laboratorios Farmaceuticos S.A.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  National Scale          brAAA/Watch Neg/--  brAAA/Negative/--

Algar Telecom S/A
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

AmBev - Companhia de Bebidas das Americas
  Global Scale            BBB+/Watch Neg/--   BBB+/Negative/--
Ambev International Finance Co. Ltd.
  Senior Unsecured        BBB+/Watch Neg      BBB+

Ampla Energia e Servicos S.A
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Arteris S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
Autopista Fernao Dias S.A
Autopista Planalto Sul S/A
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Secured          brAA-/Watch Neg     brAA-

Bandeirante Energia S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
Espirito Santo Centrais Eletricas S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

Braskem S.A.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  National Scale          brAAA/Watch Neg/--  brAAA/Negative/--
  Senior Unsecured        BBB-/Watch Neg      BBB-
Braskem America Finance Co.
  Senior Unsecured        BBB-/Watch Neg      BBB-
Braskem Finance Ltd.
  Senior Unsecured        BBB-/Watch Neg      BBB-

Cachoeira Paulista Transmissora de Energia S.A.
  Senior Secured          brAA-/Watch Neg     brAA-/Negative

Camil Alimentos S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

CCR S.A.
Autoban - Concessionaria do Sistema Anhanguera Bandeirantes S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-
Companhia do Metro da Bahia
  National Scale          brA+/Watch Neg/--   brA+/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-
Concessionaria da Rodovia Presidente Dutra S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Secured          brAA-/Watch Neg     brAA-
Rodonorte Concessionaria de Rodovias Integradas S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

Chapada do Piaui I Holding S.A.
  Senior Secured          brA+/Watch Neg      brA+/Negative

Companhia de Gas de Sao Paulo - Comgas
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Companhia Energetica do Ceara - Coelce
  National Scale          brAA-/Watch Neg/    brAA-/Negative/
                                     brA-1              brA-1
  Senior Unsecured        brAA-/Watch Neg     brAA-

Cosan Ltd.
Cosan S.A. Industria e Comercio
Cosan Lubrificantes e Especialidades S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
Cosan Luxembourg S.A.
  Senior Unsecured        BB/Watch Neg        BB
Cosan Overseas Ltd.
  Senior Unsecured        BB/Watch Neg        BB
Rumo S.A.
  Global Scale            BB-/Watch Neg/B     BB-/Negative/B
  National Scale          brA-/Watch Neg/     brA-/Negative/
                                    brA-2              brA-2
Rumo Luxembourg S.a.r.l.
  Senior Unsecured        BB-/Watch Neg       BB-

CPFL Energia S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
Companhia Paulista de Forca e Luz
Companhia Piratininga de Forca e Luz
Rio Grande Energia S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Cyrela Brazil Realty S.A. Empreendimentos e Participacoes
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Ecorodovias Concessoes e Servicos S.A.
Concessionaria Ecovias dos Imigrantes S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Elektro Redes S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Eletrobras - Centrais Eletricas Brasileiras S.A.
  Local Currency          BB/Watch Neg/--     BB/Negative/--
  Foreign Currency        BB/Watch Neg/--     BB/Negative/--
  Senior Unsecured        BB/Watch Neg        BB

Embraer S.A.
  Global Scale            BBB/Watch Neg/--    BBB/Negative/--
  Senior Unsecured        BBB/Watch Neg       BBB
Embraer Netherlands Finance BV
  Senior Unsecured        BBB/Watch Neg       BBB
Embraer Overseas Ltd.
  Senior Unsecured        BBB/Watch Neg       BBB

Energisa S.A.
Energisa Paraiba - Distribuidora de Energia S.A.
Energisa Sergipe - Distribuidora de Energia S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

Estacio Participacoes S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Gerdau S.A.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  National Scale          brAAA/Watch Neg/--  brAAA/Negative/--
  Senior Unsecured        BBB-/Watch Neg      BBB-
Gerdau Ameristeel Corp.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  Senior Unsecured        BBB-/Watch Neg      BBB-
GTL Trade Finance Inc.
  Senior Unsecured        BBB-/Watch Neg      BBB-
Gerdau Holdings Inc.
  Senior Unsecured        BBB-/Watch Neg      BBB-
Gerdau Trade Inc.
  Senior Unsecured        BBB-/Watch Neg      BBB-
Gerdau Ameristeel US Inc.
  Senior Unsecured        BBB-/Watch Neg      BBB-

Globo Comunicacao e Participacoes S.A.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  Senior Unsecured        BBB-/Watch Neg      BBB-

Iguatemi Empresa de Shopping Centers S.A.
  National Scale          brAA+/Watch Neg/--  brAA+/Negative/--
  Senior Unsecured        brAA+/Watch Neg     brAA+

Iracema Transmissora de Energia S.A.
  Senior Secured          brA+/Watch Neg      brA+/Negative

Itaipu Binacional
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

JSL S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brA+/Watch Neg/--   brA+/Negative/--
  Senior Unsecured        brA+/Watch Neg      brA+
JSL Locacoes S.A.
  Senior Unsecured        brA+/Watch Neg      brA+

Localiza Rent a Car S.A.
  Global Scale            BB+/Watch Neg/--    BB+/Negative/--
  National Scale          brAA+/Watch Neg/--  brAA+/Negative/--
  Senior Unsecured        brAA+/Watch Neg     brAA+

Lojas Renner S.A.
  National Scale          brAA+/Watch Neg/--  brAA+/Negative/--
  Senior Unsecured        brAA+/Watch Neg     brAA+

Magazine Luiza S.A.
  National Scale          brA+/Watch Neg/--   brA+/Stable/--
  Senior Unsecured        brA+/Watch Neg      brA+

MRS Logistica S.A.
Global Scale             BB/Watch Neg/--     BB/Negative/--
National Scale           brAA-/Watch Neg/--  brAA-/Negative/--
Senior Unsecured         brAA-/Watch Neg     brAA-

MRV Engenharia e Participacoes S.A.
National Scale           brAA-/Watch Neg/--  brAA-/Negative/--

Multiplan Empreendimentos Imobiliarios S.A.
Global Scale             BB+/Watch Neg/--    BB+/Negative/--
National Scale           brAA+/Watch Neg/--  brAA+/Negative/--
Senior Unsecured         brAA+/Watch Neg     brAA+

Neoenergia S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/    brAA-/Negative/
                                     brA-1              brA-1
  Senior Unsecured        brA+/Watch Neg      brA+
Companhia de Eletricidade do Estado da Bahia
Companhia Energetica de Pernambuco (CELPE)
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-
Companhia Energetica do Rio Grande do Norte
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
Itapebi Geracao de Energia S.A.
NC Energia S.A.
Termopernambuco S.A.
  Senior Unsecured        brA+/Watch Neg      brA+

Raizen Combustiveis S.A.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  National Scale          brAAA/Watch Neg/--  brAAA/Negative/--
Raizen Energia S.A.
  Global Scale            BBB-/Watch Neg/--   BBB-/Negative/--
  National Scale          brAAA/Watch Neg/--  brAAA/Negative/--
  Senior Unsecured        brAAA/Watch Neg     brAAA
Ra°zen Fuels Finance S.A.
  Senior Unsecured        BBB-/Watch Neg      BBB-

RBS TV Comunicacoes S.A. e empresas combinadas
  Global Scale            BB/Watch Neg/--     BB/Negative/--
RBS Zero Hora Editora Jornalistica S.A.
  Senior Unsecured        BB/Watch Neg        BB

Rio Paranapanema Energia S.A
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

Rede D'Or Sao Luiz S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Santos Brasil Participacoes S.A.
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--

Telefonica Brasil S.A.
  National Scale          brAAA/Watch Neg/--  brAAA/Negative/--
  Senior Unsecured        brAAA/Watch Neg     brAAA

Terminal de Conteineres de Paranagua S.A
  National Scale          brAA-/Watch Neg/--  brAA-/Negative/--
  Senior Unsecured        brAA-/Watch Neg     brAA-

Transmissora Alianca de Energia Eletrica S.A.
  Global Scale            BB/Watch Neg/--     BB/Negative/--
  National Scale          brAA-/Watch Neg/    brAA-/Negative/
                                     brA-1              brA-1
  Senior Unsecured        brAA-/Watch Neg     brAA-

Ultrapar Participacoes S.A.
Global Scale             BB+/Watch Neg/--   BB+/Negative/--
National Scale           brAA+/Watch Neg/-- brAA+/Negative/--
Ultrapar International S/A
Senior Unsecured         BB+/Watch Neg      BB+

Ultrafertil S.A.
National Scale           brA/Watch Neg/--   brA/Negative/--
Senior Unsecured         brAA-/Watch Neg    brAA-

Votorantim S.A.
Global Scale             BB+/Watch Neg/--   BB+/Negative/--
National Scale           brAA+/Watch Neg/-- brAA+/Negative/--
Senior Unsecured         BB+/Watch Neg      BB+
Companhia Brasileira de Aluminio
Senior Unsecured         BB+/Watch Neg      BB+
Votorantim Cimentos S.A.
Global Scale             BB+/Watch Neg/--   BB+/Negative/--
Senior Unsecured         BB+/Watch Neg      BB+
St. Marys Cement Inc. (Canada)
Senior Unsecured         BB+/Watch Neg      BB+
VM Holding S.A.
Global Scale             BB+/Watch Neg/B    BB+/Negative/B
Senior Unsecured         BB+/Watch Neg      BB+


* S&P Puts Ratings on 38 Brazilian Institutions on Watch Neg.
-------------------------------------------------------------
Ratings On 38 Brazilian Financial Institutions Placed On
CreditWatch Negative On Heightened Risk For The Sector
SAO PAULO (S&P Global Ratings) May 23, 2017

S&P Global Ratings placed the ratings on 38 Brazilian financial
entities on CreditWatch negative, given that the greater
likelihood of an economic recovery delay, stemming from recent
political developments, increases the risk for the credit
fundamentals of the financial institutions operating in Brazil.

S&P placed long-term foreign currency and/or national scale issuer
credit and debt ratings on CreditWatch negative on these entities:

   -- Caixa Economica Federal S.A.;
   -- Banco Nacional de Desenvolvimento Economico e Social S.A.;
   -- BNDESPar-BNDES Participacoes S.A.;
   -- Banco do Brasil S.A.;
   -- Ativos S.A. Securitizadora de Creditos Financeiros;
   -- Banco Bradesco S.A.;
   -- Bradesco Capitalizacao S.A.;
   -- Itau Unibanco Holding S.A.;
   -- Itau Unibanco S.A.;
   -- BM&FBOVESPA S.A. - Bolsa de Valores, Mercadorias e Futuros
   -- GP Investments Ltd.
   -- Haitong Banco de Investimento do Brasil S.A.
   -- Banco Santander (Brasil) S.A.;
   -- Banco Ole Bonsucesso Consignado S.A.;
   -- Banco do Nordeste do Brasil S.A.;
   -- Banco ABC Brasil S.A.;
   -- Banco Safra S.A.;
   -- Banco Votorantim S.A.;
   -- BV Leasing Arrendamento Mercantil S.A.;
   -- Banco BTG Pactual S.A.;
   -- BRB - Banco de Brasilia S.A.;
   -- Banco Daycoval S.A.;
   -- Banco do Estado do Para S.A.;
   -- Parana Banco S.A;
   -- Banco do Estado do Rio Grande do Sul S.A.;
   -- China Construction Bank (Brasil) Banco Multiplo S.A.;
   -- Banco Pan S.A.;
   -- Banco de Tokyo-Mitsubishi UFJ Brasil S.A.;
   -- Banco Morgan Stanley S.A.;
   -- Banco J.P. Morgan S.A.;
   -- Banco Toyota do Brasil S.A.;
   -- Banco BNP Paribas Brasil S.A.;
   -- Banco Volkswagen S.A.;
   -- Banco Citibank S.A.;
   -- Banco Paulista S.A.;
   -- Banco Pine S.A.;
   -- Banco Intermedium S.A.; and
   -- Caruana S.A. - Sociedade de Credito, Financiamento e
      Investimento.

S&P also placed its issuer credit and debt foreign currency
ratings on BM&FBOVESPA S.A. - Bolsa de Valores, Mercadorias e
Futuros and on GP Investments on CreditWatch negative.  The
ratings on BM&FBOVESPA are limited by those of Brazil because the
entity now can't pass the stress test that assess the potential
resilience to hypothetical scenario of Brazil's default in local
and foreign currencies.  Although GP Investments is domiciled in
Bermuda and has some diversification, its operations are largely
focused in the Brazilian market and cyclical industries.  The
deterioration in business conditions in the Brazilian market would
erode the entity's cash flow generation and could weaken its cash
reserves and financial profile.

The political dynamics in Brazil have worsened following recent
allegations of corruption against President Michel Temer during
the course of the ongoing Lavo Jato investigations.  The political
uncertainty could dampen investor confidence and delay the
economic recovery, increasing the credit risk of the banks'
portfolios.  S&P could revise its Banking Industry Country Risk
Assessment (BICRA) of Brazil, currently at group '6' if this risk
materializes.

S&P views the Brazilian banking sector's economic risk trend as
negative, reflecting the country's low GDP per capita and
political and economic challenges, which remain considerable.
Brazilian banks are going through a correction phase, and both
house prices and credit growth are contracting in real terms.  S&P
considers the correction phase to have a severe impact on
Brazilian banks as a result of a prolonged recession, and S&P
don't expect conditions to improve significantly in 2017.  S&P
believes that continued economic stagnation and stringent
conditions for credit constrain a recovery of the corporate
sector, which is reflected in higher nonperforming loans (NPLs)
and credit losses.  Moreover, the rising level of renegotiated and
restructured loans exacerbates the risk of a sharp uptick in
credit losses that are not fully covered by provisions.
Furthermore, these conditions are taking a toll on Brazil's
already highly indebted households, as unemployment rises.  S&P
expects asset quality and credit losses to continue deteriorating
in 2017.  In addition, S&P believes that small and mid-size banks,
which concentrate on lending to small- and medium-size enterprises
and have higher exposure to cyclical sectors, will continue
suffering significant credit losses, further pressuring their
capital and risk positions.  On the other hand, although S&P
currently don't expect large bank failures, S&P believes that
their bottom-line results will remain under pressure for the next
12 months.

S&P's industry risk assessment of '5' for Brazil reflects the
large presence of government-owned banks, which has caused
significant distortions in the financial system over the past few
years, weakening competitive dynamics.  S&P views the banking
sector's industry risk trend as negative.  In S&P's view, there is
at least a one-in-three chance that corruption investigations--
such as Lava Jato and Zelotes that have already implicated senior
management of several domestic banks--could weaken credit quality
of a large number of banks.  Such a scenario would prompt S&P to
revise its assessment of governance and transparency in its
institutional framework score.

                            CREDITWATCH

The negative CreditWatch listing reflects the risk that S&P could
lower the ratings, on the abovementioned banks in the next three
months amid more stressed political and economic dynamics.  A
politically weakened President Temer, a long or disruptive
transition process, or a caretaker president with diminished
ability and willingness to advance reforms would likely further
delay economic recovery, increasing the credit risk for the
financial institutions operating in the country.

Downside scenario

S&P could resolve the CreditWatch listing by lowering the ratings
on banks that are currently limited by those on the sovereigns.
S&P could also lower the ratings on all other banks that are now
on CreditWatch negative by multiple notches if S&P reevaluates its
view of the banking sector's risk and of each bank's credit
fundamentals in light of a more difficult economic scenario that
may constrain the improvement of Brazil's recovery and undermine
the performance of banks' loan portfolios.

Upside scenario

S&P could remove the CreditWatch negative listing on banks whose
ratings are limited by the sovereign if the same rating action is
taken on Brazil and on all other banks if S&P sees political
uncertainties as short-lived, and if an administration and
economic team has sufficient support in Congress to continue
advancing corrective and timely policy measures to stanch fiscal
deterioration and strengthen GDP growth prospects.

RATINGS LIST

Ratings Placed On CreditWatch Negative

                 To                        From
Caixa Economica Federal
Issuer credit rating
Local currency
  Global Scale   BB/Watch Neg/B           BB/Negative/B
Foreign Currency
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Senior unsecured
                 BB/Watch Neg             BB

Banco Nacional de Desenvolvimento Economico e Social
Issuer credit rating
Local currency
  Global scale
                 BB/Watch Neg/--          BB/Negative/--
Foreign Currency
Global scale
                 BB/Watch Neg/--          BB/Negative/--
Brazil national scale
                 brAA-/Watch Neg/--       brAA-/Negative/--

Senior unsecured
                 BB/Watch Neg             BB

BNDESPar-BNDES Participacoes S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/--       brAA-/Negative/--

Banco Safra S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Senior unsecured
                 BB/Watch Neg             BB

Banco Bradesco S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Senior unsecured
                 BB/Watch Neg             BB

Bradesco Capitalizacao S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/--       brAA-/Negative/--

Banco Citibank S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

BM&FBOVESPA S.A-Bolsa de Valores, Mercadorias e Futuros
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B

Senior unsecured
                 BB/Watch Neg             BB

GP Investments Ltd.
Issuer credit rating
  Global scale
                 BB/Watch Neg/--          BB/Negative/--

Senior unsecured
                 BB/Watch Neg             BB

Itau Unibanco Holding S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Senior unsecured
                 BB/Watch Neg             BB

Itau Unibanco S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Banco BTG Pactual S.A.
Issuer credit rating
  Global scale
                 BB-/Watch Neg/B          BB-/Negative/B
  Brazil national scale
                 brA-/Watch Neg/brA-2     brA-/Negative/brA-2

Banco Pan S.A.
Issuer credit rating
  Global scale
                 B+/Watch Neg/B           B+/Negative/B
  Brazil national scale
                 brBBB-/Watch Neg/brA-3   brBBB-/Negative/brA-3

Junior subordinated
                 CCC/Watch Neg            CCC

Banco J.P. Morgan S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Banco Toyota do Brasil S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/--       brAA-/Negative/--

Banco BNP Paribas Brasil S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/--       brAA-/Negative/--

Banco Volkswagen S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/--       brAA-/Negative/--

Banco de Tokyo-Mitsubishi UFJ Brasil S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Banco Morgan Stanley S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Banco Santander (Brasil) S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B          BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1   brAA-/Negative/brA-1

Subordinated     B/Watch Neg             B

Junior subordinated
                 CCC+/Watch Neg          CCC+

Banco Ole Bonsucesso Consignado S.A.
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/brA-1   brAA-/Negative/brA-1

Banco do Nordeste do Brasil S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B          BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/--      brAA-/Negative/--

Senior unsecured
                 BB/Watch Neg            BB

Banco do Brasil S.A
Issuer credit rating
  Global scale
    Local currency
                 BB/Watch Neg/--         BB/Negative/--
    Foreign currency
                 BB/Watch Neg/B          BB/Negative/B

Senior unsecured
                 BB/Watch Neg            BB

Subordinated     B/Watch Neg             B

Junior subordinated
                 B-/Watch Neg            B-

Ativos S.A. Securitizadora de Creditos Financeiros
Issuer credit rating
  Brazil national scale
                 brAA-/Watch Neg/--      brAA-/Negative/--

Banco Votorantim S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brA+/Watch Neg/brA-1     brA+/Negative/brA-1

BV Leasing Arrendamento Mercantil S.A.
Issuer credit rating
  Brazil national scale
                 brA+/Watch Neg/brA-1     brA+/Negative/brA-1

Subordinated     brA-/Watch Neg           brA-

Banco ABC Brasil S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg/brA-1    brAA-/Negative/brA-1

Banco do Estado do Rio Grande do Sul S.A.
Issuer credit rating
  Global scale
                 BB-/Watch Neg/--         BB-/Negative/--
  Brazil national scale
                 brA-/Watch Neg/--        brA-/Negative/--

Banco Daycoval S.A.
Issuer credit rating
  Global scale
                 BB-/Watch Neg/B          BB-/Negative/B
  Brazil national scale
                 brA/Watch Neg/brA-2      brA/Negative/brA-2

Senior unsecured
                 BB-/Watch Neg            BB-

Banco do Estado do Para S.A.
Issuer credit rating
  Global scale
                 BB-/Watch Neg/B          BB-/Negative/B
  Brazil national scale
                 brA/Watch Neg/brA-2      brA/Negative/brA-2

BRB - Banco de Brasilia S.A.
Issuer credit rating
  Global scale
                 BB-/Watch Neg/B          BB-/Negative/B
  Brazil national scale
                 brA-/Watch Neg/brA-2     brA-/Negative/brA-2

Banco Intermedium S.A.
Issuer credit rating
  Brazil national scale
                 brBBB-/Watch Neg/--      brBBB-/Negative/--

Banco Pine S.A.
Issuer credit rating
  Global scale
                 B+/Watch Neg/B           B+/Negative/B
  Brazil national scale
                 brBBB-/Watch Neg/--      brBBB-/Negative/--

Parana Banco S.A
Issuer credit rating
  Global scale
                 BB-/Watch Neg/B          BB-/Negative/B
  Brazil national scale
                 brA/Watch Neg            brA/Negative

Caruana S.A. - Sociedade de Credito, Financiamento e Investimento
Issuer credit rating
  Brazil national scale
                 brBB-/Watch Neg/brB      brBB-/Negative/brB

China Construction Bank (Brasil) Banco Multiplo S.A.
Issuer credit rating
  Global scale
                 BB/Watch Neg/B           BB/Negative/B
  Brazil national scale
                 brAA-/Watch Neg          brAA-/Negative/--

Haitong Banco de Investimento do Brasil S.A.
Issuer credit rating
  Global scale
                 BB-/Stable/B             BB-/Stable/B
  Brazil national scale
                 brA/Watch Neg/brA-2      brA/Stable/brA-2

Banco Paulista S.A.
Issuer credit rating
  Brazil national scale
                 brBBB-/Watch Neg/brA-3   brBBB-/Negative/brA-3


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


BLUE ELITE: Shareholder to Hear Wind-Up Report on May 31
--------------------------------------------------------
The shareholder of Blue Elite Enhanced Ltd. will hear on May 31,
2017, the liquidator's report on the company's wind-up proceedings
and property disposal.

The company's liquidator is:

          Priestleys
          c/o Charlotte Jones
          P.O. Box 30310 Grand Cayman KY1-1202
          Cayman Islands
          Telephone: (345) 946 1577
          Facsimile: (345) 947 0826


FERLO INVESTMENT: Members' Final Meeting Set for May 25
-------------------------------------------------------
The members of Ferlo Investment Company Ltd. will hold their final
meeting on May 25, 2017, to receive the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


INSPARO AFRICA: Members' Final Meeting Set for May 31
-----------------------------------------------------
The members of Insparo Africa Equity Fund Limited will hold their
final meeting on May 31, 2017, 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:

          Walkers Liquidations Limited
          c/o Cate Barbour
          Walkers
          6 Gracechurch Street
          London EC3V 0AT
          UK
          Telephone: +1 44 207 2204970


INSPARO AFRICA (GENERAL PARTNER): Members' Meeting Set for May 31
-----------------------------------------------------------------
The members of Insparo Africa Equity (General Partner) Limited
will hold their final meeting on May 31, 2017, 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:

          Walkers Liquidations Limited
          c/o Cate Barbour
          Walkers
          6 Gracechurch Street
          London EC3V 0AT
          UK
          Telephone: +1 44 207 2204970


MINSTREL LTD: Shareholders' Final Meeting Set for June 5
--------------------------------------------------------
The shareholders of Minstrel Ltd. will hold their final meeting on
June 5, 2017, to receive the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

          John Donnelly
          Office 1503, Level15
          AI Moosa Tower 1
          Sheikh Zayed Road
          Dubai, United Arab Emirates
          Telephone: 971 50 372 1726
          Facsimile: 971 4 401 9666


OLYMPIA STAR II: Shareholders' Final Meeting Set for June 20
------------------------------------------------------------
The shareholders of Olympia Star II PF Ltd. will hold their final
meeting on June 20, 2017, 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:

          Newington Ltd.
          J. Andrew Murray
          P.O. Box 2075 Grand Cayman, KY1-1105
          Cayman Islands
          Telephone: (345) 949 9710


PATRONUS INVEST: Members' Final Meeting Set for June 14
-------------------------------------------------------
The members of Patronus Invest SPC will hold their final meeting
on June 14, 2017, at 9:00 a.m., to receive the liquidator's report
on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          Trinity Fund Administration (Cayman) Ltd
          c/o Angela Nightingale
          Telephone: (345) 743 6620
          Facsimile: (345) 743 6720
          Citrus Grove, 3rd Floor, 106 Goring Ave
          P.O. Box 10364 Grand Cayman KY1-1004
          Cayman Islands


PROMSTROI SPV: Shareholders' Final Meeting Set for June 1
---------------------------------------------------------
The shareholders of PROMSTROI SPV Limited will hold their final
meeting on June 1, 2017, 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:

          Walkers Liquidations Limited
          c/o Cate Barbour
          Walkers
          6 Gracechurch Street
          London EC3V 0AT
          UK
          Telephone: +1 44 207 2204970


SYSWIN INC: Creditors' Proofs of Debt Due May 29
------------------------------------------------
The creditors of Syswin Inc. are required to file their proofs of
debt by May 29, 2017, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on April 28, 2017.

The company's liquidator is:

          Richard Fear
          c/o Kevin Butler
          P.O. Box 2681 Grand Cayman KY1-1111
          Cayman Islands
          Telephone: (345) 814 7374
          Facsimile: (345) 945 3902


TREE INVESTMENT: Members' Final Meeting Set for June 9
------------------------------------------------------
The members of Tree Investment Ltd. will hold their final meeting
on June 9, 2017, to receive the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


===================================
D O M I N I C A N   R E P U B L I C
===================================


DOMINICAN REPUBLIC: US to Cut Aid to US$10.5MM From US$21.6MM
-------------------------------------------------------------
Dominican Today reports that US President Donald Trump's first
budget proposal includes a substantial cut in foreign aid to Latin
America, reduced to all countries on the continent, a change that
could be especially noticeable in Mexico and Central America.

The US Congress must approve the budget presented, but could
change -- allocates US$37.6 billion to the State Department, of
which US$1.09 billion goes to operations in the Americas and the
Caribbean, or US$614 million less compared to fiscal year 2016,
according to Dominican Today.

The country-by-country breakdown of that budget for fiscal year
2018 shows cuts for all nations in the region, and eliminates the
funds for Cuba, which received US$20 million in fiscal year 2016;
And to Venezuela, which obtained US$6.5 million that year and has
no specific funds this time, the report notes.

In Dominican Republic's case, the cut will bring it to US$10.5
million, compared with US$21.6 million in 2016, the report relays.

However, funds for each country should be added to the amounts set
aside for programs for security, democracy, the fight against drug
trafficking or immigration, which have joint accounts for the
entire continent and allocate funds as deemed necessary, the
report adds.

As reported in the Troubled Company Reporter-Latin America on
May 1, 2017, S&P Global Ratings affirmed its 'BB-/B' long- and
short-term sovereign credit ratings on the Dominican Republic.
The outlook remains stable.  The transfer and convertibility (T&C)
assessment is unchanged at 'BB+'.


=============
J A M A I C A
=============


JAMAICA: BOJ Says Lending Rates Down due to Increased Competition
-----------------------------------------------------------------
RJR News reports that the Bank of Jamaica says increased
competition in the financial sector since the start of the year
has resulted in a further reduction in lending rates.

The Central Bank says that, with the entry of JN Bank, the
weighted average lending rate of commercial banks declined by 123
basis points for the January to March quarter, according to RJR
News.

In its quarterly monetary policy report, the Central Bank said
this decline reflected lower interest rates on loans to both the
public and private sectors, the report notes.

Lending rates to the private sector declined by 172 basis points
for the March 2017 quarter, relative to the corresponding quarter
in 2016, with rates for instalment credit recording the sharpest
decline, the report relays.

The BOJ said the overall reduction in loan rates for the review
period reflected the impact of the inclusion of the new commercial
bank which had lower rates, as well as increased competition by
institutions as lenders attempted to maintain and possibly
increase market share, the report says.

Meanwhile, the Bank says, in the wake of the increase in loans,
there was an improvement in the quality of commercial banks' loan
portfolio, the report discloses.

The ratio of non-performing loans to private sector loans at the
end of March this year was 3.2 per cent, representing a fall of
1.2 percentage points, relative to the end of March 2016, the
report says.

The annual decline in the non-performing loan ratio reflected a
fall of 4.1 per cent or J$700 million in total past due loans over
the 12 months to February 2017, the report notes.

Private sector loans grew by 32.2 per cent over this period, the
report adds.

As reported in the Troubled Company Reporter-Latin America on
Feb. 9, 2017, Fitch Ratings affirmed Jamaica's Long-Term Foreign
and Local Currency Issuer Default Ratings (IDRs) at 'B' with a
Stable Outlook. The issue ratings on Jamaica's senior unsecured
Foreign and Local Currency bonds are also affirmed at 'B'. The
Outlooks on the Long-Term IDRs are Stable. The Country Ceiling is
affirmed at 'B' and the Short-Term Foreign Currency and Local
Currency IDRs at 'B'.


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


PUERTO RICO: AFSCME Wants to Be Part of Official Retiree Panel
--------------------------------------------------------------
Servidores Publicos Unidos Council 95 of the American Federation
of State, County & Municipal Employees ("AFSCME"), AFL-CIO, along
with SPU's Retiree Chapter said in a court filing that AFSCME
should be considered for representation on any proposed retired
committee that will be formed in Puerto Rico's Title III cases.

AFSCME is the exclusive collective bargaining representative for
approximately 12,000 active Commonwealth employees who participate
in and earned accrued vested benefits administered by, and
deposited property into individual retirement accounts held at,
the Commonwealth's Employee Retirement System ("ERS").

Separately, the SPU Retiree Chapter represents dues-paying retired
members and other retirees receiving benefits administered by ERS
who have expressed an interest in being represented by the SPU
Retiree Chapter in this Title III case.

Between the Active AFSCME employees and the ERS retirees, AFSCME
represents at least 25,000 active and retired participants in and
beneficiaries of the ERS for purposes of these proceedings with
vested claims to earned retirement benefits administered by ERS,
as well as property deposited at ERS in the form of wage
deductions to individual retirement accounts.

The Ad Hoc Committee for the Protection of Accrued Retirement
Benefits of Puerto Rico's Public Employees and Retirees filed a
motion asking the U.S. District Court for the Commonwealth of
Puerto Rico for entry of an order directing the appointment of an
official retiree committee with respect to the interests of Puerto
Rico's public employees and retirees as holders of accrued pension
and other retirement benefits.  However, it also wants the
District Court to enter an order specifically appointing the
members of the Ad Hoc Retiree Committee to serve as the members of
the Official Retiree Committee.

AFSCME, and the other largest non-teacher labor unions of
Commonwealth employees under Law 45 -- the Service Employees
International Union (SEIU) and the United Automobile, Aerospace
and Agricultural Implement Workers of America (UAW) -- are not
currently members of the Ad Hoc Retiree Committee.

AFSCME supports the Retiree Committee Motion.  AFSCME believes
that the claims of retired public employees holding accrued
retirement benefits would benefit from committee representation to
protect their interests in these proceedings.  In fact, AFSCME has
already discussed with the movants that AFSCME and other retiree
groups would be welcomed by the movants on their committee should
the Retiree Committee Motion be granted by the Court in its
entirety.

As the Retiree Committee Motion states, to date, the Ad Hoc
Retiree Committee "has not turned away any Retiree organization or
association wishing to join the Committee", and AFSCME understands
that the Ad Hoc Retiree Committee would continue that policy of
openness if it were designated as the official Retiree Committee
by the Court.

Alternatively, should the Court grant the Retiree Committee Motion
in part, forming a retiree committee but leaving to the U.S.
Trustee the selection process for determining who serves on that
committee, AFSCME would hope to be considered by the U.S. Trustee
for service on that committee either itself, through its retiree
chapter or through individual AFSCME retirees.

AFSCME says it fully intends to protect the Active AFSCME
Employees and ERS Retirees throughout this process, including, to
the extent permitted, through the retiree committee process.
AFSCME submits that its presence on any such committee would
facilitate the committee fully and adequately representing the
constituents on whose behalf it is convened. Certain public
Commonwealth employees in Puerto Rico have the right to, and do,
collectively bargain with their Commonwealth employer through an
elected exclusive representative under Commonwealth Law 45 of
1998, as amended ("Law 45").

                       AFSCME Complaint

AFSCME says it has been involved in representing the claims at
issue here prior to the Commonwealth's invocation of Title III of
PROMESA. Absent the opportunity for meaningful alternative dispute
resolution, on April 12, 2017, SPU, along with an individual
Active AFSCME Employee (SPU member) and two ERS Retirees (who are
both SPU Retiree Chapter members), filed a complaint in federal
district court challenging the legality of the pension cuts
proposed by the Oversight Board. See Servidores Publicos Unidos de
Puerto Rico v. Financial Oversight and Management Board, Case No.
3:17-cv-01483 (FAB) (D.P.R.).

AFSCME believes that this restructuring process would benefit from
a constructive forum for it to work to resolve the issues raised
in AFSCME's complaint, which was automatically stayed upon the
filing of the Title III petition.  AFSCME understands the serious
and difficult issues facing Puerto Rico and wants to take
advantage of the opportunity presented here for communication and
frank negotiations -- perhaps assisted by a Court-appointed
mediator.

AFSCME's attorneys:

         SAUL EWING LLP
         Sharon L. Levine, Esq.
         Dipesh Patel, Esq.
         1037 Raymond Blvd., Suite 1520
         Newark, NJ 07102
         Tel: (973) 286-6713
         Fax: (873) 286-6821
         E-mail: slevine@saul.com
                 dpatel@saul.com

              - and -

         AMERICAN FEDERATION OF STATE, COUNTY
         & MUNICIPAL EMPLOYEES, AFL-CIO
         Judith Rivlin, Esq.
         Teague P. Paterson, Esq.
         Matthew S. Blumin, Esq.
         1101 17th Street NW, Suite 900
         Washington, D.C. 20036
         Tel: (202) 775-5900
         Fax: (202) 452-0556
         E-mail: jrivlin@afscme.org
                 tpaterson@afscme.org
                 mblumin@afscme.org

             - and -

         Manuel A. Rodriguez Banchs, Esq.
         P.O. Box 368006
         San Juan, Puerto Rico 00936
         Tel: (787) 764-8896
         Fax: (787) 721-0975
         E-mail: manuel@rodriguezbanchs.com

                      About Puerto Rico

Puerto Rico is a self-governing commonwealth in association with
the United States.  The chief of state is the President of the
United States of America.  The head of government is an elected
Governor.  There are two legislative chambers: the House of
Representatives, 51 seats, and the Senate, 27 seats.  The
governor-elect is Ricardo Antonio "Ricky" Rossello Nevares, the
son of former governor Pedro Rossello.

In 2016, the U.S. Congress passed PROMESA, which, among other
things, created the Financial Oversight and Management Board and
imposed an automatic stay on creditor lawsuits against the
government, which expired May 1, 2017.

The members of the oversight board are: (i) Andrew G. Biggs, (ii)
Jose B. Carrion III, (iii) Carlos M. Garcia, (iv) Arthur J.
Gonzalez, (v) Jose R. Gonzalez, (vi) Ana. J. Matosantos, and
(vii) David A. Skeel Jr.

On May 3, 2017, the Commonwealth of Puerto Rico filed a petition
for relief under Title III of the Puerto Rico Oversight,
Management, and Economic Stability Act ("PROMESA").  The case is
pending in the United States District Court for the District of
Puerto Rico under case number 17-cv-01578.  A copy of Puerto
Rico's PROMESA petition is available at

         http://bankrupt.com/misc/17-01578-00001.pdf

On May 5, 2017, the Puerto Rico Sales Tax Financing Corporation
(COFINA) commenced a case under Title III of PROMESA (D.P.R. Case
No. 17-01599).  Joint administration has been sought for the
Title III cases.

On May 21, 2017, two more agencies -- Employees Retirement System
of the Government of the Commonwealth of Puerto Rico and Puerto
Rico Highways and Transportation Authority (Case Nos. 17-01685 and
17-01686) -- commenced Title III cases.

U.S. Chief Justice John Roberts has named U.S. District Judge
Laura Taylor Swain to preside over the Title III cases.

The Oversight Board has hired as advisors, Proskauer Rose LLP and
O'Neill & Borges LLC as legal counsel, McKinsey & Co. as strategic
consultant, Citigroup Global Markets as municipal investment
banker, and Ernst & Young, as financial advisor.

Martin J. Bienenstock, Esq., Scott K. Rutsky, Esq., and Philip M.
Abelson, Esq., of Proskauer Rose LLP; and Hermann D. Bauer, Esq.,
at O'Neill & Borges LLC are onboard as attorneys.

Prime Clerk LLC is the claims and noticing agent.  Prime Clerk
maintains a case web site at:

           https://cases.primeclerk.com/puertorico

Jones Day is serving as counsel to certain ERS bondholders.

Paul Weiss is counsel to the Ad Hoc Group of Puerto Rico General
Obligation Bondholders.


PUERTO RICO: HTA and ERS Case Summary & List of Unsec. Creditors
----------------------------------------------------------------
Agencies of the Commonwealth of Puerto Rico that filed filing a
voluntary petitions for relief under Title III of the Puerto Rico
Oversight, Management, and Economic Stability Act ("PROMESA") on
May 21, 2017:

    Entity                                          Case No.
    ------                                          --------
Puerto Rico Highways and Transportation Authority   17-01686
P.O. Box 41269, Minilas Station
San Juan, Puerto Rico

Employees Retirement System of
the Government of the Commonwealth of Puerto Rico  17-01685
P.O. Box 42003
San Juan, Puerto Rico

Related entities that earlier filed Title III Petition Under
PROMESA:

                                                  Petition
   Entity                              Case No.     Date
   ------                              --------     ----
Commonwealth of Puerto Rico            17-03283  May 3, 2017
Puerto Rico Sales Tax Financing Corp   17-03284  May 5, 2017

About HTA and ERS: The Puerto Rico Highways and Transportation
                   Authority (HTA) was created to assume
                   responsibility for the construction and
                   maintenance of roads and highways and related
                   transportation facilities in Puerto Rico.  The
                   Employees Retirement System (ERS) is a trust by

                   law in 1951 by the Legislature of the
                   Commonwealth of Puerto Rico to provide pension
                   and other benefits to retired employees of the
                   government of the Commonwealth and its
                   instrumentalities.

Court: United States District Court
       District of Puerto Rico
       150 Carlos Chardon Street
       San Juan, PR 00918-1767
       http://www.prd.uscourts.gov/

Judge: Judge Laura Taylor Swain

Attorneys for the
Financial Oversight and
Management Board:         Martin J. Bienenstock, Esq.
                          Scott K. Rutsky, Esq.
                          Philip M. Abelson, Esq.
                          PROSKAUER ROSE LLP
                          11 Times Square, New York NY 10036
                          Tel: (212) 969-3000
                          Fax: (212) 969-2900
                          E-mail: mbienenstock@proskauer.com
                                  srutsky@proskauer.com
                                  pabelson@proskauer.com

Co-Attorneys for the
Oversight Board:          Hermann D. Bauer, Esq.
                          O'NEILL & BORGES LLC
                          250 Munoz Rivera Ave., Suite 800
                          San Juan, PR 00918-1813
                          Tel: (787) 764-8181
                          Fax: (787) 753-8944
                          E-mail: hermann.bauer@oneillborges.com

Oversight Board's
Strategic Consultant:     McKINSEY & CO.

Oversight Board's
Municipal Investment
Banker:                   CITIGROUP GLOBAL MARKETS

Oversight Board's
Financial Advisor:        ERNST & YOUNG

Counsel to the
Puerto Rico Fiscal
Agency and Financial
Advisory Authority:       John J. Rapisardi, Esq.
                          Suzzanne Uhland, Esq.
                          Peter Friedman, Esq.
                          O'MELVENY & MYERS LLP
                          7 Times Square
                          New York, NY 10036
                          Tel: 212.326.2000
                          Fax: 212.326.2061
                          E-mail: jrapisardi@omm.com
                                  suhland@omm.com
                                  pfriedman@omm.com

Claims &
Noticing
Agent:                    PRIME CLERK LLC

The petitions were signed by Jaime El Koury, general counsel.

Copies of the petitions are available at:

          http://bankrupt.com/misc/ERS_Petition.pdf
          http://bankrupt.com/misc/HTA_Petition.pdf

A. HTA's List of Creditors Who Have the 20 Largest Unsecured
Claims and Are Not Insiders:

   Entity                          Nature of Claim       Amount
   ------                          ---------------       ------
AUTORIDAD DE ENERGIA ELECTRICA    Trade Creditor     $46,037,043
PO BOX 364267
SAN JUAN, PR 00936-4267
Attn: CYNTHIA MORALES COLON
Fax: 787-521-4120
E-mail: c_morales@aeepr.com

ADMINISTRACION SISTEMA
DE RETIRO DEL GOBIERNO            Government         $14,454,532
EDIFICIO INTENDENTE RAMIREZ
PDA 1
SAN JUAN PR 00905-4515
Attn: CECILE TIRADO
Fax: 787-294-1391
E-mail: mguzman@retiro.pr.gov

SECRETARIO TRIBUNAL DE
SAN JUAN                          Government          $3,559,792
268 AVE MU•OZ RIVERA
SAN JUAN PR 00921
Attn: JOSE SILVA JIMêNEZ
Fax: 787-754-0769
E-mail: josesilvajimenez@ramajudicial.pr

GILA LLC                          Trade Debt          $3,354,906
METRO OFFICE PARK CALLE 1
BUILDING 3 STE 200
GUAYNABO PR 00968
Attn: LUIS ALBERTO SANCHEZ
Fax: 787-522-7010
E-mail: luisalberto.sanchez@gilacorp.com

FIRST TRANSIT, INC.               Trade Debt          $1,981,901
MARGINAL AVE MARTINEZ
NADAL ESQ PR-19
SAN JUAN PR 00920
Attn: JULIO BADIA
Fax: 787-622-6163
E-mail: julio.badia@firstgroup.com

AUT EDIFICIOS PUBLICOS            Government          $1,977,922
CENTRO GUBERNAMENTAL
MINILLAS EDIF NORTE PISO 17
SAN JUAN PR 00940
Attn: AMILCAR GONZALEZ ORTIZ
Fax: 787-724-1533
E-mail: amgonzalez@aep.pr.gov

FERROVIAL AGROMAN                 Trade Debt          $1,884,822
1250 PONCE DE LEON AVE SAN
JOSê BUILDING SUITE 901-902
SAN JUAN PR 00907
Attn: MANUEL SANCHEZ PEREIRA
Fax: 787-725-5530
E-mail: msanchez.portugal@ferrovial.com

DEL VALLE GROUP, S.P.             Trade Debt          $1,186,270
STATE RD 864 KM 0.6 BO
CAMPANILLAS
TOA BAJA PR 00949
Attn: RAFAEL A CALDERON
Fax: 787-794-3239
E-mail: rcalderon@delvallegroup.net

CONSTRUCTORA I. MELENDEZ          Trade Debt            $961,828
15 BETANCES STE 3
SANTA ISABEL PR 00926
Attn: ABIMAEL MELENDEZ
Fax: 787-645-6475
E-mail: cimelendez@coqui.net
cimoc@coqui.net

THE ENIAC CORPORATION             Trade Debt           $512,403
# 27 CALLE GONZALEZ GIUSTI 600
ST
GUAYNABO PR 00968
Attn: ALBILDA BOSH
Fax: 787-793-4255
E-mail: albilda.bosh@enia-corp.com

L.P.C.& D., INC                   Trade Debt           $458,667
PO Box 2025
Las Piedras, PR 00771
Attn: JORGE L. GONZALEZ CRESPO
Fax: 787-733-4808
E-mail: jorge@lpcdinc.com

PUERTO RICO TELEPHONE CO          Trade Debt           $452,087
1515 F.D. ROOSEVELT AVE
GUAYNABO PR 00968
Attn: ANA M . BETANCOURT
Fax: 787-793-6265
E-mail: abetancourt@claropr.net

TAMRIO INC.                       Trade Debt           $421,994
CALLE ROCHERLICE #31 PARQUE
INDUSTRIAL DEL OESTE
MAYAGUEZ PR 00680
Attn: CLAUDIO TORRES
Fax: 787-265-6885
E-mail: ctorres@tamrio.com

SUPER ASPHALT
PAVEMENT CORP.                    Trade Debt           $311,200
BO CAIMITO CARR 1 KM 18.5
SAN JUAN PR 00926
Attn: PARIDE MAZZA
Fax: 787-720-2350
E-mail: jose@superasphalt.net

ACI-HERZOG A JOINT VENTURE        Trade Debt           $262,550
24 ROAD 21 MARTINEZ NADAL AVE.
GUAYNABO, PR 00966
Attn: LUIS VILLARES
Fax: 787-625-0464
E-mail: luis.villares@aciherzog.com

CD BUILDERS, INC                  Trade Debt           $230,544
BO CELADA CARR 9945 KM 2.4
GURABO PR 00778
Attn: ISMAEL CARRASQUILLO
Fax: 787-737-2143
E-mail: cdbuilders@live.com

BETTERRECYCLING CORP.             Trade Debt           $224,908
MARG 65 DE INF. CALLE ANDES
URB MC
SAN JUAN PR 00928
Attn: MARISEL RIVERA
Fax: 787-282-6408
E-mail: mrivera@emdi.net

BERMUDEZ, LONGO, DIAZMASSO, S.E.  Professional Svcs   $195,835
CALLE SAN CLAUDIO CARR 845
AVE PRINCIPAL KM 0.5
SAN JUAN PR 00926
Attn: CARMELO DIAZ
Fax: 787-760-1230
E-mail: cdiaz@blbmpr.com

GLOBAL INSURANCE AGENCY INC       Professional Svcs   $182,205
257 CALLE DE RECINTO SUR
SAN JUAN PR 00901-1914
Attn: VIVIAN PEREZ
Fax: 787-722-4894
E-mail: vperez@globalinsagency .com

PEERLESS OIL & CHEMICALS, INC.    Trade Debt          $171,590
671 ROAD 337
PE•UELAS PR 00624-7513
Attn: SONIA CONCEPCION
E-mail:
sonia.concepcion@peerlessoil.com

B. ERS's List of Creditors Who Have the 20 Largest Unsecured
Claims and Are Not Insiders:

   Entity                          Nature of Claim       Amount
   ------                          ---------------       ------
ARROYO FLORES
CONSULTING GROUP INC.             Professional Svcs.     $91,350
AVE LOMAS VERDES 1820 LOCAL 3
SAN JUAN, PR 00926
Attn: REINALDO ARROYO
E-mail: arroyo@afcg.biz

TAPLIN, CANIDA AND HABACHT        Professional Svcs.     $53,652
1001 BRICKELL BAY DR., SUITE 2100
MIAMI, FL 33131
Attn: TERE ALVAREZ CANIDA CFA
Fax: 305-379-4452
E-mail: tac@tchinc.com

AUTORIDAD FINANCIAMIENTO
VIVIENDA                          Government             $51,673
606 AVE BARBOSA EDIF JUAN C
CORDERO
SAN JUAN, PR 00936
Attn: MELVIN GONZALEZ PEREZ
E-mail: melvin.gonzalez@afv.pr.gov

DATABASE MARKETING SERVICES       Trade Debt             $43,648
ZONA INDUSTRIAL AMELIA 20
CALLE DIANA
GUAYNABO, PR 00968
Attn: KENNETH SEWELL
Fax: 787-720-0576
E-mail: ksewell@databasepr.com

OL MAINTENANCE                    Trade Debt            $24,620
W E34 AVE COSTO STA JUANITA
BAYAMON, PR 00956
Attn: JUAN CALO CALDERON
Fax: 787-779-8510
E-mail: olmaintenance@yahoo.com

THE BANK OF NEW YORK MELLON       Professional Svcs.    $23,333
225 LIBERTY STREET
NEW YORK, NY 10286
Attn: JON BANGOR VICE PRESIDENT
Fax: 1-615-779-5109
E-mail: debbi.reid@bnymellon.com

POPULAR ASSET MANAGEMENT          Professional Svcs.    $22,062
209 MU•OZ RIVERA AVE 9TH FLOOR
HATO REY, PR 00918
Attn: JAVIER RUBIO CFA
Fax: 787-754-4777
E-mail: jrubio@bppr.com

SANTANDER ASSET MANAGEMENT        Professional Svcs.    $21,373
SANTANDER TOWER SAN PATRICIO
B7 CALLE TABONUCO STE 1800
GUAYNABO, PR 00968
Attn: DESIREE MIESES
Fax: 787-296-5435
E-mail: Dmieses@sampr.com

CHICAGO EQUITY PARTNERS           Professional Svcs     $20,870
180 N LA SALLE STREET SUITE 3800
CHICAGO, IL 60601
Attn: MARTY DOROW
Fax: 312-629-2728
E-mail: mdorow@chicagoequity.com

ALPHA GUARDS MGT INC              Trade Debt            $18,595
49 CALLE MAYAGUEZ PISO 3
HATO REY, PR 00917
Attn: JORGE MORALES LABOY
Fax: 787-294-6984
E-mail: alphaguards@aol.com

MESIROW FINANCIAL
INVESTMENT MGT INC.               Professional Svcs     $18,018
353 N. CLARK ST.
CHICAGO, IL 60654
Attn: LUIS VILLAREJO
Fax: 787-281-6157
E-mail: lvillarejo@mesirowfinancial.com

STATE STREET GLOBAL ADVISORS      Professional Svcs     $17,655
3475 PIEDMONT ROAD, NE SUITE 1920
ATLANTA, GA 30305
Attn: MICHAEL HALEY
Fax: (404) 442-0501
E-mail: Michael_Haley@ssga.com

AIR CHILLER MECHANICAL CONST.INC.   Trade Debt          $13,175
CAGUAS INDUSTRIAL COMM PARK
BO RIO CA•O CARR 1 LOCAL 1
CAGUAS, PR 00725
Attn: JULIA TOLENTINO
Fax: 787-744-4969
E-mail: airchmech@aol.com

NETWAVE EQUIPMENT CORP.             Professional Svcs    $9,186
316 AVE DE LA CONSTITUCION
SAN JUAN, PR 00901
Attn: MELISSA PIOVANNETTI
Fax: 787-722-4843
E-mail: melissa@nustream.com

MAINLINE INFORMATION SYSTEMS        Trade Debt           $8,466
1700 SUMMIT LAKE DR
TALLAHASSEE, FL 32317
Attn: MARTHA LUCIA RODRIGUEZ
Fax: 888-381-6851
E-mail: marthalucia@mainline.com

PUERTO RICO ATTORNEYS
AND COUNSELORS AT LAW PSC           Professional Svcs    $6,781
203 CALLE ELEONOR ROOSEVELT
HATO REY, PR 00918-3006
Attn: JOSE F CHAVES CARABALLO
Fax: 787-764-9120
E-mail: chaves@fc-law.com

MARTA GISELA ALVAREZ                Professional Svcs    $5,500
URB GARDEN HILLS A 19 CALLE
SERANIA,
GUAYNABO PR 00966
Attn: MARTA GISELA ALVAREZ
E-mail: alvamarta@gmail.com

BELTRAN BELTRAN AND ASSOC PSC       Professional Svcs    $5,275
623 AVE. PONCE DE LEON
EXECUTIVE BUILDING, SUITE 1100A
SAN JUAN, PR 00917
Attn: CARLOS BELTRAN
Fax: 787-919-0645
E-mail: beltranbeltranassociates@gmail.com

HERNANDEZ GUTIERREZ LAW             Professional Svcs    $3,897
PONCE DE LEON AVE. FIRST
FEDERAL BUILDING SUITE 713-715
SAN JUAN, PR 00909
Attn: MARIANA HERNANDEZ
E-mail: mhernandez@mihglaw.com

BANCO POPULAR DE PR                 Professional Svcs    $3,640
206 AVE MU•OZ RIVERA
SAN JUAN, PR 00919
Attn: CARLOS GARCIA ALVIRA
Fax: 787-764-4318
E-mail: carlos.garcia3@popular.com


PUERTO RICO: Pension System & Highway Agency Enter Bankruptcy
-------------------------------------------------------------
The federal board overseeing Puerto Rico's restructuring is
enlarging the Commonwealth's court-supervised bankruptcy, placing
its pension system and its transportation agency under court
protection.

The Financial Oversight and Management Board filed Title III cases
for the Employees Retirement System, known as ERS, and the
Highways and Transportation Authority, known as HTA, on May 21,
2017.

The Oversight Board sent the Puerto Rico government and its
sales-tax bond issuer, known as COFINA, early this month.

"This is part of a court-supervised process within a framework
that provides for an orderly restructuring of the debt of each
entity and allows as much creditor consensus as possible," said a
spokesman for Puerto Rico's fiscal agency, according to reporting
by Andrew Scurria at MarketWatch.

According to the MarketWatch report, the pension system's
bankruptcy has implications for hundreds of thousands of
government retirees and pensioners who are up against bondholders
in the renegotiation of Puerto Rico's debts.  So far, the
oversight board has signaled it wanted more of the restructuring
burden to fall on financial creditors compared with retirees,
proposing a 10% cut in pension benefits while allocating less than
a quarter of the debt service owed for the next 10 years.

The latest filings could set the stage for an unconventional fight
between retirees and the very lenders whose money was supposed to
sustain them, an indication of just how complex Puerto Rico's debt
structure is, according to reporting by Reuters' Nick Brown.

Puerto Rico has $70 billion in public debt, a 45 percent poverty
rate and unemployment more than twice the U.S. average.  In
addition, the island has $49 billion of pension liabilities, only
approximately 1.57% of which were funded as of June 30, 2015.

Reuters relates that ERS is unique in that it also owes $3.1
billion in bond debt, the result of a financing effort in 2008
that was meant to plug its growing funding gap.  The structure of
the bonds, which gives holders a lien on employer pension
contributions, is exceedingly rare, and means bondholders may be
battling with retirees for recoveries.  ERS was on track to
deplete its reserves this month, potentially triggering a default,
Moody's Investors Service said in February.

HTA owes some $6 billion in debt -- including more than $46
million to Puerto Rico's power utility, PREPA.

The debt restructuring petitions were filed in the U.S. District
Court in Puerto Rico on May 3, 2017, and was made under Title III
of last year's U.S. Congressional rescue law known as the Puerto
Rico Oversight, Management, and Economic Stability Act
("PROMESA").

                      About Puerto Rico

Puerto Rico is a self-governing commonwealth in association with
the United States.  The chief of state is the President of the
United States of America.  The head of government is an elected
Governor.  There are two legislative chambers: the House of
Representatives, 51 seats, and the Senate, 27 seats.  The
governor-elect is Ricardo Antonio "Ricky" Rossello Nevares, the
son of former governor Pedro Rossello.

In 2016, the U.S. Congress passed PROMESA, which, among other
things, created the Financial Oversight and Management Board and
imposed an automatic stay on creditor lawsuits against the
government, which expired May 1, 2017.

The members of the oversight board are: (i) Andrew G. Biggs, (ii)
Jose B. Carrion III, (iii) Carlos M. Garcia, (iv) Arthur J.
Gonzalez, (v) Jose R. Gonzalez, (vi) Ana. J. Matosantos, and
(vii) David A. Skeel Jr.

On May 3, 2017, the Commonwealth of Puerto Rico filed a petition
for relief under Title III of the Puerto Rico Oversight,
Management, and Economic Stability Act ("PROMESA").  The case is
pending in the United States District Court for the District of
Puerto Rico under case number 17-cv-01578.  A copy of Puerto
Rico's PROMESA petition is available at

         http://bankrupt.com/misc/17-01578-00001.pdf

On May 5, 2017, the Puerto Rico Sales Tax Financing Corporation
(COFINA) commenced a case under Title III of PROMESA (D.P.R. Case
No. 17-01599).  Joint administration has been sought for the
Title III cases.

On May 21, 2017, two more agencies -- Employees Retirement System
of the Government of the Commonwealth of Puerto Rico and Puerto
Rico Highways and Transportation Authority (Case Nos. 17-01685 and
17-01686) -- commenced Title III cases.

U.S. Chief Justice John Roberts has named U.S. District Judge
Laura Taylor Swain to preside over the Title III cases.

The Oversight Board has hired as advisors, Proskauer Rose LLP and
O'Neill & Borges LLC as legal counsel, McKinsey & Co. as strategic
consultant, Citigroup Global Markets as municipal investment
banker, and Ernst & Young, as financial advisor.

Martin J. Bienenstock, Esq., Scott K. Rutsky, Esq., and Philip M.
Abelson, Esq., of Proskauer Rose LLP; and Hermann D. Bauer, Esq.,
at O'Neill & Borges LLC are onboard as attorneys.

Prime Clerk LLC is the claims and noticing agent.  Prime Clerk
maintains a case web site at:

           https://cases.primeclerk.com/puertorico

Jones Day is serving as counsel to certain ERS bondholders.

Paul Weiss is counsel to the Ad Hoc Group of Puerto Rico General
Obligation Bondholders.


PUERTO RICO: US Trustee to Solicit Three Official Committees
------------------------------------------------------------
Guy G. Gebhardt, Acting United States Trustee for Region 21, said
he intends to solicit for and appoint three official committees in
the Title III cases under PROMESA of the Commonwealth of Puerto
Rico and the Puerto Rico Sales Tax Financing Corporation (COFINA):

   (1) a committee of general unsecured creditors in the
Commonwealth's case;

   (2) a committee of retirees in the Commonwealth's case; and

   (3) a committee of general unsecured creditors in COFINA's case
(recognizing there may be an insufficient number of unsecured
creditors qualified or willing to serve).

The United States Trustee expects to complete the committee
solicitation process no later than June 16, 2017, and will hold
one or more formation meetings as soon as possible after the
solicitation is complete.

The Ad Hoc Committee for the Protection of Accrued Retirement
Benefits of Puerto Rico's Public Employees and Retirees had filed
a motion asking the U.S. District Court for the Commonwealth of
Puerto Rico for entry of an order directing the appointment of an
official retiree committee with respect to the interests of Puerto
Rico's public employees and retirees as holders of accrued pension
and other retirement benefits.

Cesar Castillo, which has an unsecured claim of $6,008,918, filed
a motion requesting Court appointment of an official unsecured
creditors' committee.

                      About Puerto Rico

Puerto Rico is a self-governing commonwealth in association with
the United States.  The chief of state is the President of the
United States of America.  The head of government is an elected
Governor.  There are two legislative chambers: the House of
Representatives, 51 seats, and the Senate, 27 seats.  The
governor-elect is Ricardo Antonio "Ricky" Rossello Nevares, the
son of former governor Pedro Rossello.

In 2016, the U.S. Congress passed PROMESA, which, among other
things, created the Financial Oversight and Management Board and
imposed an automatic stay on creditor lawsuits against the
government, which expired May 1, 2017.

The members of the oversight board are: (i) Andrew G. Biggs, (ii)
Jose B. Carrion III, (iii) Carlos M. Garcia, (iv) Arthur J.
Gonzalez, (v) Jose R. Gonzalez, (vi) Ana. J. Matosantos, and
(vii) David A. Skeel Jr.

On May 3, 2017, the Commonwealth of Puerto Rico filed a petition
for relief under Title III of the Puerto Rico Oversight,
Management, and Economic Stability Act ("PROMESA").  The case is
pending in the United States District Court for the District of
Puerto Rico under case number 17-cv-01578.  A copy of Puerto
Rico's PROMESA petition is available at

         http://bankrupt.com/misc/17-01578-00001.pdf

On May 5, 2017, the Puerto Rico Sales Tax Financing Corporation
(COFINA) commenced a case under Title III of PROMESA (D.P.R. Case
No. 17-01599).  Joint administration has been sought for the
Title III cases.

On May 21, 2017, two more agencies -- Employees Retirement System
of the Government of the Commonwealth of Puerto Rico and Puerto
Rico Highways and Transportation Authority (Case Nos. 17-01685 and
17-01686) -- commenced Title III cases.

U.S. Chief Justice John Roberts has named U.S. District Judge
Laura Taylor Swain to preside over the Title III cases.

The Oversight Board has hired as advisors, Proskauer Rose LLP and
O'Neill & Borges LLC as legal counsel, McKinsey & Co. as strategic
consultant, Citigroup Global Markets as municipal investment
banker, and Ernst & Young, as financial advisor.

Martin J. Bienenstock, Esq., Scott K. Rutsky, Esq., and Philip M.
Abelson, Esq., of Proskauer Rose LLP; and Hermann D. Bauer, Esq.,
at O'Neill & Borges LLC are onboard as attorneys.

Prime Clerk LLC is the claims and noticing agent.  Prime Clerk
maintains a case web site at:

           https://cases.primeclerk.com/puertorico

Jones Day is serving as counsel to certain ERS bondholders.

Paul Weiss is counsel to the Ad Hoc Group of Puerto Rico General
Obligation Bondholders.


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


CONSOLIDATED ENERGY: Moody's Rates Proposed $500MM Sr. Notes B2
----------------------------------------------------------------
Moody's Investors Service assigned a B2 rating to Consolidated
Energy Finance, S.A.'s (CEF) proposed $500 million senior
unsecured notes. The company's corporate family rating of B1
remains unchanged. The rating outlook is stable.

The proposed notes will be issued in two tranches: an 8-year fixed
rate tranche and a 5-year floating rate tranche. The company will
use the proceeds of the new bond to refinance a portion of its
existing $1,250 million unsecured bonds maturing in 2019.

RATINGS RATIONALE

The B1 corporate family rating reflects Consolidated Energy
Limited's -- CEF ultimate parent company -- relatively high
leverage and business profile characterized by limited product
diversity. The ratings are tempered by the commodity nature of the
product portfolio (methanol accounts for three-quarters of
revenues and ammonia, fertilizer and melamine account for the
balance), cyclical nature of pricing and demand in the methanol
and fertilizer markets, and periodic feedstock curtailments
(natural gas) in Trinidad and Tobago since 2011. The B2 rating on
CEF's senior unsecured notes reflects its effective subordination
to the group's secured debt which as of March 31, 2017 represented
40% of the group's total consolidated debt.

On the other hand, the company benefits from meaningful methanol
market shares, high EBITDA margins, a favorable feedstock cost
structure, and good liquidity. Its world scale methanol plant and
AUM complex in Trinidad and Tobago benefits from low cost natural
gas sold at prices referenced to market prices of methanol and
fertilizers, thereby alleviating the negative impact on its
profitability of low end product selling prices. Its investment in
G2X allows the company to geographic diversify its operation into
the US.

The recent recovery on methanol prices has benefited the company's
EBITDA; however, leverage is still high for the rating category.
Over the last two years, the company's revenues and EBITDA have
been negatively affected by the decline in methanol prices.
Nevertheless, methanol prices started to recover in late 2016 and
have reached an average of $424/MT in the 1Q17 (up from an average
of $268/MT in 2016). As a result, the company's EBITDA has also
increased to $260 million in the twelve months ended March 31,
2017. The recovery in EBITDA has already reduced leverage
(debt/EBITDA) to 7.6x as of March 31, 2017; down from 8.1x as of
December 31, 2016. Moody's expects leverage to reach close to 3.0x
by year end 2018 given the recovery in methanol prices combined
with additional EBITDA from the completion of the company's
Natgasoline project. CEL invested in G2X's Natgasoline project to
increase its geographic diversification into the US and produce
around 1.75 million tonnes of methanol per year. The expansion is
expected to be completed in the last quarter of 2017 and will add
close to $300 million per year of EBITDA at full production.

The company's operations benefit from a source of low cost natural
gas, as Trinidad and Tobago (Ba1 stable) is the largest oil and
natural gas producer in the Caribbean. However, natural gas supply
has been unable to match demand over the last several years which
has led to supply curtailments. Natural gas production could
benefit in the foreseeable future from a new gas field, Angostura
Field, that started production in late 2016 and two gas projects
scheduled to become operational in 2017. The Juniper offshore gas
platform, one of the two projects, is a $2 billion investment by
BP and will have a production capacity of approximately 590
million standard cubic feet a day. In terms of future investment
projects, the government expects the construction of a pipeline
from Venezuela's Dragon gas fields to Trinidad and Tobago, to
transfer natural gas that Venezuela is not monetizing. This
project would boost production in Trinidad and would help cover
the country's gas supply shortage by 2019.  In addition, CEL's
majority shareholder Proman is developing its own gas field with
80MMSCFD gas production supplying directly 17% of MHTL's total
annual gas demand or around 800k production of methanol by mid-
2018.

CEL has adequate liquidity, supported by its $206 million
consolidated cash balances as of March 31, 2017 that can cover
short-term debt by over 3 times. Moody's expects the company's
free cash flow (defined as cash from operations minus dividends
minus capex) to be positive in 2018 from higher cash from
operations combined with lower capital expenditures.

The stable rating outlook reflects Moody's expectations that the
company will be able to improve its profitability and capital
structure.

The ratings could be upgraded if the company reduces its
debt/EBITDA below 4.0 times with interest coverage
(EBITDA/Interest expense) above 5.0 times and maintains adequate
liquidity. To be considered for an upgrade the company should
maintain strong profitability and have a stable, with no
curtailments, supply of natural gas.

The ratings could be downgraded if leverage does not show a
downward trend towards 5.5 times over the next 18 months or if
interest coverage deteriorates with EBITDA/Interest expense below
3.0 times. A deterioration in liquidity or in profitability, for
example due to volatility in its gas supply, could also lead to a
downgrade.

The principal methodology used in this rating was the Global
Chemical Industry Rating Methodology published in December 2013.

Consolidated Energy Finance, S.A. is a special purpose vehicle
wholly-owned by its holding company Consolidated Energy Ltd.
(CEL). CEL is the second largest methanol producer in the world.
In addition to its wholly owned subsidiaries, it owns minority
stakes in methanol producer Oman Methanol Company and in ammonia
producers Nitrogen 2000 Unlimited and Caribean Nitrogen Company
Limited. Through its wholly owned subsidiary Methanol Holdings
(Trinidad) Limited, CEL is the largest methanol exporter to North
America and a significant producer of fertilizer products
(anhydrous ammonia, urea ammonium nitrate, and melamine). The
company reported revenues of USD899.5 million over the twelve
months ended March 31, 2017.


                            ***********


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, Ivy B.
Magdadaro, and Peter A. Chapman, Editors.

Copyright 2017.  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 Joseph Cardillo at
856-381-8268.


                   * * * End of Transmission * * *