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

               Thursday, June 8, 2017, Vol. 18, No. 113


                            Headlines



B R A Z I L

BRAZIL: President's Fate Rests With Top Electoral Court
HAITONG BANCO: S&P Affirms 'BB-/B' Ratings; Outlook Stable


C A Y M A N  I S L A N D S

BLUE LAKE: Shareholders' Final Meeting Set for June 21
COLORADO HOLDING: Shareholders' Final Meeting Set for June 20
FIROSTEFANI: Shareholders' Final Meeting Set for June 23
GAIA GLOBAL: Shareholder to Hear Wind-Up Report on June 20
INVESTCORP GOSI: Shareholders' Final Meeting Set for July 10

LONGPINE INVESTMENT: Shareholders' Final Meeting Set for June 23
PLATO INVESTMENTS: Members' Final Meeting Set for June 30
POSITIVE FUND: Shareholders' Final Meeting Set for June 23
SIMON MURRAY: Members' Final Meeting Set for June 13
THIRTY-EIGHT HUNDRED: Shareholders' Final Meeting Set for June 15


C H I L E

COMPANIA MINERA: Files for Voluntary Bankruptcy Under Chilean Laws


D O M I N I C A N   R E P U B L I C

DOMINICAN REP: 45 More Days to Request Nonmetallic Mining Permits


M E X I C O

* MEXICO: "Buy Mexican" Campaign Lacks Traction; Wages Don't Help


P U E R T O    R I C O

PRWIRELESS INC: S&P Puts 'CCC-' CCR on CreditWatch Developing
PUERTO RICO: Peaje Sues Highway Agency on Bonds Payment
PUERTO RICO SALES: S&P Lowers Rating on Sr. Sales Tax Bonds to 'D'


U R U G U A Y

NAVIOS SOUTH: Moody's Affirms B3 CFR; Changes Outlook to Stable


                            - - - - -


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B R A Z I L
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BRAZIL: President's Fate Rests With Top Electoral Court
-------------------------------------------------------
Samantha Pearson and Paulo Trevisani at The Wall Street Journal
report that President Michel Temer faces his biggest test yet as
Brazil's top electoral court began a landmark trial to rule on
whether to strip him of the presidency over alleged illegal
campaign financing.

The closely watched case, scheduled to last until at least
Thursday, June 9 is set to decide the unpopular leader's fate and
affect his plans to overhaul Latin America's biggest economy,
according to The Wall Street Journal.

Three years into Brazil's massive "Car Wash" corruption
investigation, the Superior Electoral Tribunal, or TSE, is
believed by analysts to have ample evidence that the 2014
presidential ticket benefited from illicit funding, the report
notes.  Herman Benjamin, the justice overseeing the trial, on
dismissed last-minute requests to throw out the case, the report
relays.

The report discloses that Mr. Temer and Dilma Rousseff, who won
the 2014 election with Mr. Temer as her vice presidential running
mate, are under investigation by the TSE for allegedly using
proceeds from the country's corruption scheme at oil company
Petrobras to fund their campaign.  Mr. Temer and Ms. Rousseff deny
wrongdoing. Petrobras has said it was a victim of the scheme, the
report relays.

Until now, the court has moved slowly on the allegations, in part
because of legal wrangling over evidence, the report relays.
Legal experts also say the conservative court was reluctant to
topple the business-friendly president and plunge Brazil into a
new crisis just as the country emerges from its worst recession on
record, the report notes.

But testimony released by Brazil's Supreme Court in May in which
executives of meatpacking giant JBS SA said they paid bribes to
Mr. Temer as part of the country's vast corruption scandal has
paralyzed his government and put pressure on the TSE to act, the
report says.  Mr. Temer denies he accepted bribes.

"Until two weeks ago, the TSE was headed to [spare Mr. Temer] due
to strictly political reasons," said Christopher Garman at
political risk consultancy Eurasia Group, the report notes.

"There was clear consensus in Bras°lia that stripping Temer of his
mandate could generate a new political, economic and institutional
crisis that political and economic elites desperately wanted to
avoid," he said, notes the report.  "The million-dollar question
now is whether the scandal that rocked Bras°lia [in May] has
inverted that logic," he added.

Legal experts say the TSE's justices will likely be swayed by a
desire to ease a deep political crisis -- though it is unclear if
that means ousting Mr. Temer or keeping him in power, the report
notes.

"It's unlikely that the country's reality will not influence
them," said Ivar Hartmann, a law professor at Brazil's Getulio
Vargas Foundation, the report relays.

Gilmar Mendes, head justice of the TSE, told reporters in May that
the court's decision will be based solely on the law, and the
result can't be interpreted as a way to solve the political
crisis, the report relays.

Mr. Temer, who is in danger of becoming a lame-duck leader, has no
clear successor, the report notes.  As the former vice president
of Ms. Rousseff, who was impeached last year, Mr. Temer has no
vice president, the report discloses.

Some analysts say there is a chance that one of the TSE's seven
justices could instead suspend the trial midway through to get
more time to study the case, potentially delaying a ruling for
weeks or even months, the report says.  It takes a simple majority
for a verdict, but the court must wait until the final vote to
issue its ruling, and justices are permitted to change their vote
at any time, the report notes.

Mr. Temer could still appeal an unfavorable ruling to the Supreme
Court.

If the TSE rules against Mr. Temer, the PSDB party -- a major ally
of the president -- would likely abandon his government, said Sen.
Paulo Bauer, leader of the PSDB in the Senate, the report relays.
It would be the first time in Brazil's modern history that two
presidents have fallen in short succession, the report notes.  The
Supreme Court isn't very likely to reverse a TSE ruling,
especially since three of the TSE justices also sit on the Supreme
Court, Mr. Hartmann said, the report relays.

If Mr. Temer is ousted, Congress would have 30 days to choose a
successor, the report relays.  But there is also growing pressure
for snap general elections instead, especially from those who want
to see former President Luiz Inacio Lula da Silva and his leftist
Workers' Party, or PT, back in power, the report notes.

Despite facing corruption charges himself, Mr. da Silva still
polls as the country's most popular politician. Mr. da Silva
denies wrongdoing, the report says.

"There is a strong desire in the party for a Lula comeback," the
report quoted Vicente Paulo da Silva, one of the PT's founders, as
sying.  "[Our opponents] don't want a direct vote because they
fear Lula," Mr. da Silva added.

However, if the TSE rules in Mr. Temer's favor -- or even decides
to put the case on hold --the president would be given critical
breathing room, the report notes.  He would then be able to work
on rebuilding his coalition and pushing ahead with pension changes
that economists say are necessary to avoid a full-blown fiscal
crisis, the report relays.

While Mr. Temer would still face a lengthy corruption
investigation by the Supreme Court, as well as impeachment motions
in Congress, a victory at the TSE could allow him to remain in
power until scheduled elections in October 2018, the report
relays.

"Without a shove from the judiciary, it will be difficult to end
his mandate given there is no clear substitute to Temer," said
Rafael Cortez, a political scientist at Sao Paulo-based
consultancy Tendencias, the report notes.  He added that
impeaching him could take as long as a year, making it relatively
pointless, the report adds.

As reported in the Troubled Company Reporter-Latin America on
May 24, 2017, S&P Global Ratings placed its 'BB' long-term foreign
and local currency sovereign credit ratings on the Federative
Republic of Brazil on CreditWatch with negative implications.  S&P
also affirmed the short-term foreign and local currency ratings at
'B'. The transfer and convertibility assessment is unchanged at
'BBB-'. In addition, S&P placed the 'brAA-' national scale rating
on CreditWatch with negative implications.


HAITONG BANCO: S&P Affirms 'BB-/B' Ratings; Outlook Stable
----------------------------------------------------------
S&P Global Ratings said that it affirmed its 'BB-/B' global scale
on Haitong Banco de Invetimento do Brasil S.A. (Haitong Brasil).
The outlook on long-term global scale rating remains stable.  S&P
also kept its 'brA/brA-2' national scale ratings on CreditWatch
negative.  The bank's stand-alone credit profile (SACP) remains
'b-'.

S&P bases its ratings on Haitong Brasil on its core subsidiary
status, given its significant revenue contribution, the group's
ownership, strategic importance, and the parent's long-term
commitment.  In addition, the bank has become a significant
earnings contributor for its parent.  Haitong Brasil is fully
integrated with its parent, and S&P believes the rest of the group
will provide support to the bank under any foreseeable
circumstances, except in an event of sovereign distress.  Due to
Haitong Brasil's core subsidiary status, S&P equalizes the ratings
on it with the ratings on its parent.

Haitong Brasil's stand-alone assessment reflects its concentrated
business profile that mostly consists of investment banking
activities, which S&P believes to be more sensitive to market
perceptions of creditworthiness.  S&P also bases its ratings on
the bank on S&P's forecasted risk-adjusted capital (RAC) ratio of
about 5.6% for the next two years.  Moreover, S&P's assessment
incorporates the potential risks stemming from the group's
strategy to expand rapidly in various countries.  The ratings also
reflect S&P's view of Haitong Brasil's funding structure that
still has narrow diversification among stable funding sources and
its liquidity position that provides adequate cushion to cope with
cash outflows over the next 12 months.

Under S&P's bank criteria, it uses its Banking Industry Country
Risk Assessment's (BICRA) economic risk and industry risk scores
to determine a bank's anchor, the starting point in assigning an
issuer credit rating.  S&P's anchor for a commercial bank
operating only in Brazil is 'bb+', based on the country's economic
risk score of '7' and an industry risk score of '5'.

The stable outlook on Haitong Brasil's long-term global scale
rating reflects the one on Haitong Bank and S&P's view that the
ratings on the bank will move accordingly with its parent's, given
the subsidiary's core status.  S&P believes the rest of the group
will provide support to the bank under any foreseeable
circumstances except in an event of sovereign distress.

The CreditWatch with negative implications on the national scale
rating reflects that on Brazil's sovereign rating and S&P's view
that the rating should move in tandem with the latter.  S&P
believes that there is at least one-in-two possibility that it
could lower the sovereign rating on Brazil in the next 90 days.

A positive rating action on the bank would follow the same action
on its parent as long as its ratings are not higher than those on
Brazil.  S&P believes the group would provide support to the bank
under any foreseeable circumstances, except in an event of
sovereign distress.

A negative rating action on the bank would follow a downgrade of
its parent or if S&P revises Haitong Brasil's group status
downwards.  A negative action on the bank on the national scale
could also occur if S&P was to downgrade the sovereign.



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C A Y M A N  I S L A N D S
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BLUE LAKE: Shareholders' Final Meeting Set for June 21
------------------------------------------------------
The shareholders of Blue Lake Incorporation will hold their final
meeting on June 21, 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:

          Blue Lake Incorporation
          Marcos Antonio Sorrilha
          Avenida Heraclito Fontoura Sobral Pinto, 551
          Guapore 11, Casa 45, Jardim Botanico
          Ribeirao Preto, SP, 14022-000
          Brazil


COLORADO HOLDING: Shareholders' Final Meeting Set for June 20
-------------------------------------------------------------
The shareholders of Colorado Holding Ltd will hold their final
meeting on June 20, 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:

          Ita Global Trust Ltd.
          Suite 4210 Canella Court
          48 Market Street, Camana Bay
          P.O. Box 32203 Grand Cayman KY-1208
          Cayman Islands


FIROSTEFANI: Shareholders' Final Meeting Set for June 23
--------------------------------------------------------
The shareholders of Firostefani will hold their final meeting on
June 23, 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


GAIA GLOBAL: Shareholder to Hear Wind-Up Report on June 20
----------------------------------------------------------
The shareholder of GAIA Global Investment Fund Limited will hear
on June 20, 2017, at 10:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          An-Hung Chen
          Gaia Global Holding Limited
          5th Floor No. 6, Lane 224, Jixian Rd.
          Luzhou District, New Taipei City
          Taiwan
          Telephone: +886 952 003 832
          Facsimile: +1 345 949 8613


INVESTCORP GOSI: Shareholders' Final Meeting Set for July 10
------------------------------------------------------------
The shareholders of Investcorp Gosi Saudi Arabia Investments
S.P.C. will hold their final meeting on July 10, 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:

          Westport Services Ltd.
          c/o Evania Ebanks
          P.O. Box 1111 Grand Cayman KY1-1102
          Cayman Islands
          Telephone: (345) 949 5122
          Facsimile: (345) 949 7920


LONGPINE INVESTMENT: Shareholders' Final Meeting Set for June 23
----------------------------------------------------------------
The shareholders of Longpine Investment Corp. will hold their
final meeting on June 23, 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:

          Longpine Investment Corp.
          c/o Jeronymo Coimbra Bueno Filho
          Rua Leoncio Correa, 161 Leblon
          Rio De Janeiro, RJ 22450120
          Brazil


PLATO INVESTMENTS: Members' Final Meeting Set for June 30
---------------------------------------------------------
The members of Plato Investments Limited will hold their final
meeting on June 30, 2017, to receive the liquidator's report on
the company's wind-up proceedings and property disposal.

The company's liquidator is:

          Zedra Directors (Cayman) Limited
          c/o Felisiana Ebanks
          136 Shedden Road
          One Capital Place, 3rd Floor
          P.O. Box 487 George Town
          Grand Cayman KY1-1106
          Cayman Islands
          Telephone: +1 (345) 914-5424


POSITIVE FUND: Shareholders' Final Meeting Set for June 23
----------------------------------------------------------
The shareholders of The Positive Fund SPC will hold their final
meeting on June 23, 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:

          David A.K. Walker
          c/o Jodi Jones
          P.O. Box 258 Grand Cayman, KY1-1104
          Cayman Islands
          Telephone: (345) 949 7000
          Facsimile: (345) 945 4237


SIMON MURRAY: Members' Final Meeting Set for June 13
----------------------------------------------------
The members of Simon Murray & Co. China Fund Limited will hold
their final meeting on June 13, 2017, to receive the liquidator's
report on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          Tung Yam
          Red Gate Asset Management Company Limited
          c/o Maples and Calder, Attorneys-at-law
          PO Box 309, Ugland House Grand Cayman KY1-1104
          Cayman Islands


THIRTY-EIGHT HUNDRED: Shareholders' Final Meeting Set for June 15
-----------------------------------------------------------------
The shareholders of Thirty-Eight Hundred Investments Limited will
hold their final meeting on June 15, 2017, at 10:10 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 Cayman Corporate Centre
          27 Hospital Road, George Town
          Grand Cayman KY1-9008
          Cayman Islands
          Telephone: +1 (345) 949 0100


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C H I L E
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COMPANIA MINERA: Files for Voluntary Bankruptcy Under Chilean Laws
------------------------------------------------------------------
Cerro Grande Mining Corporation reported that further to its News
Release dated May 12, 2017 announcing the closure of its Pimenton
Mine and on the advice of its Chilean lawyers, the Directors and
Management of Compania Minera Pimenton in consultation with the
Board of Directors of Cerro Grande Mining Corporation have taken
the decision to place Compania Minera Pimenton, effective as of
the evening of June 1, 2017, into voluntary bankruptcy versus
waiting for its creditors to place Pimenton into involuntary
bankruptcy.

Under Chilean law, a court appointed bankruptcy Liquidator will
take possession of Compania Minera Pimenton and its assets and is
responsible for all ongoing costs of Pimenton until they are
successful in obtaining the sale or liquidation of Compania Minera
Pimenton in both voluntary and involuntary filings.

There are no bonds in place to cover the reclamation procedures at
Pimenton and none were requested by Sernageomin, the Chilean
government mining agency. The Liquidator will be responsible for
all mine closure costs, if any, until the Liquidator is successful
in selling the mine, claims and/or liquidating the assets of
Compania Minera Pimenton. All men on the payroll of Compania
Minera Pimenton have been terminated and their salaries and
severance costs will be paid for by the Liquidator from the sale
or liquidation of Compania Minera Pimenton.

Under Chilean law, salary and some severance costs must be paid
first and once paid, the creditors of the mine are second to be
paid.

The Liquidator is paid his fees from the proceeds of the sale of
Compania Minera Pimenton or liquidation of its assets.

The other subsidiaries of CEG, including Compania Minera Til Til,
Compania Minera Catedral, Compania Minera Tordillo, Compania
Minera Bandurrias and Compania Minera Cal Norte are not affected
by the bankruptcy of Compania Minera Pimenton.

No Officers or Directors of Cerro Grande Mining Corporation have
resigned. The transfer Agent is still in place. Stephen W.
Houghton, Chief Executive Officer of Cerro Grande Mining
Corporation has signed off on the contents of this Press Release.


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D O M I N I C A N   R E P U B L I C
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DOMINICAN REP: 45 More Days to Request Nonmetallic Mining Permits
-----------------------------------------------------------------
Dominican Today reports that the Environment Ministry announced a
45-day extension on the period to initiate the paperwork to grant
environmental permits for nonmetallic mining operations.

Resolution No. 0001/2017 -- issued January and which expired on
June 4 -- seeks to regulate, expedite and make the authorizations
to extract materials more transparent, according to Dominican
Today.

The measure establishes greater controls of the mechanisms and
supervision on mining's environmental impact and to assure the
remediation of the damages it usually causes, the report relays.

Moreover, Environment will automatically reject projects within
protected areas, along rivers, streams and wetlands as well as
those located within 150 meters of the coast; areas of high risk
for populations or public service infrastructure, among others,
the report notes.

Also rejected will be the extraction of materials in areas
declared "of tourist interest, world heritage or protected
archaeological sites," the report relays.

Specific projects will require the use of photogrammetric
measurement systems, 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+'.



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M E X I C O
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* MEXICO: "Buy Mexican" Campaign Lacks Traction; Wages Don't Help
-----------------------------------------------------------------
Juan Montes at The Wall Street Journal reports that after U.S.
President Donald Trump took office in January, Mexico's government
and trade groups encouraged Mexicans to buy domestic goods in a
campaign that included the installation of large banners across
the country displaying the standard bar code for products made in
Mexico.

The goal was to ride a wave of nationalism provoked by Mr. Trump's
protectionist rhetoric, his insults of Mexicans during the
campaign and his plans to build a "beautiful, big" wall along the
U.S.-Mexico border, according to The Wall Street Journal.

But so far, the strategy doesn't seem to have had a great impact,
though inflation and low wages don't help, the report notes.
Seasonally adjusted consumption of domestic goods fell 0.9% in
March from the previous month, following a 0.2% contraction in
February, the national statistics agency said, the report relays.
Consumption of national goods was also down 0.1% from a year
earlier.

The main reason for the decline is rising inflation that has hurt
purchasing power, said Viridiana R°os, a researcher at the
Washington-based Wilson Center who specializes in Mexico's
economy, the report notes.  Average wages in Mexico fell 1.8% in
real terms in March from the year before, due to a large extent to
a big jump in consumer prices since January, the report relays.

A weak peso at the beginning of the year and higher gasoline
prices propelled annual inflation to an eight-year high of 6.17%
in early May, the report notes.  Employment has continued to grow,
although wages remain low, averaging $2.20 per hour compared with
$21 in the U.S, the report discloses.

"With such low wages, you can't build in Mexico a robust internal
demand. That's the big problem," Ms. Rios said, the report relays.

Some goods, such as medicines, are mainly provided by foreign
companies, and other local products are often not competitive,
even after a strong peso depreciation during the last two years,
the report notes.

"I do care about my country, but I care more about my pocket,"
said 83-year-old Marisa Dominguez recently as she reluctantly
tossed two imported cans of soup, which were on sale, into her
supermarket shopping cart, the report relays.

In early February, when tensions in the bilateral relationship
were running high, the government launched the campaign to promote
the purchase of domestic products, such as processed food, toys
and household appliances, the report relays.  It displayed the
Made in Mexico logo, the symbol of a Mexican eagle that was first
used in 1978 when Mexico was a closed economy, the report
discloses.  Many Mexicans replaced their social network avatars
with the green, white and red Mexican flag, the report says.

Well-established consumer habits, and the fact most Mexicans
haven't felt any major economic harm so far from Trump
administration policies, could also help explain the data, some
analysts said, the report relays.  Polls show 90% of Mexicans
disapprove of Mr. Trump, but the economy maintained steady growth
in the first quarter, and the peso has appreciated 20% against the
U.S. dollar since February, the report notes.

Consumption of imported goods, after declining in much of 2016,
was up 0.3% in March from the month before and up 3.7% from the
year before, benefiting from the recent appreciation of the peso,
the report relays.

A U.S. withdrawal from the North American Free Trade Agreement
seems increasingly improbable, and Mr. Trump's rhetoric against
Mexico has softened since he took office, the report notes.

The latest consumption data suggest that the reality of
interconnected economies has greater weight than a short-lived
wave of nationalism that included anti-Trump marches and calls on
social media for boycotts of U.S. companies and products, the
report discloses.

Since the 1980s, Mexico has pursued an export-oriented economic
model that has become the country's growth engine, and it's opened
its markets to imports of myriad consumer products, the report
says.  That's a far cry from the protectionism of the 1970s when
state-owned companies produced everything from refrigerators to
cars and train carriages under the slogan, "What's made in Mexico
is well made," the report adds.


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P U E R T O    R I C O
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PRWIRELESS INC: S&P Puts 'CCC-' CCR on CreditWatch Developing
-------------------------------------------------------------
S&P Global Ratings said it placed its 'CCC-' corporate credit
rating on San Juan, Puerto Rico-based PRWireless Inc. and S&P's
'CCC-' issue rating on its senior secured debt on CreditWatch with
developing implications.

"The CreditWatch placement follows the disclosure that the company
would have been in breach of its bank facility financial
maintenance covenants had it not received waivers and reflects the
uncertainty regarding the company's ability to obtain future
waivers or an amendment to its credit agreement," said S&P Global
Ratings credit analyst Ryan Gilmore.

S&P could raise the ratings on PRWireless at least one notch if
the company is able to obtain covenant relief with favorable terms
and sufficient headroom over the next 12 to 18 months.  S&P
believes the new joint venture with Sprint could result in an
improved credit profile for PRWireless, potentially aiding the
company's ability to receive a waiver or amend covenant levels.
Conversely, S&P could lower the ratings one notch or more if
PRWireless is unable to obtain waivers and an amendment from its
lenders that provides sufficient cushion under its covenants since
S&P believes a default would be a virtual certainty.

S&P intends to resolve the CreditWatch placement over the coming
months when more information regarding a potential amendment to
the credit agreement becomes available.  S&P's resolution of the
CreditWatch will incorporate additional clarity with respect to
the joint venture and S&P's longer-term view of the combined
business, including subscriber trends, churn, and potential cash
flow generation.

If PRWireless is able to obtain covenant relief with favorable
terms and sufficient headroom over the next 12 to 18 months, S&P
could raise the rating at least one notch.

Conversely, if PRWireless is unable to obtain a waiver or
amendment from its lenders, S&P could lower the rating one notch
or more.


PUERTO RICO: Peaje Sues Highway Agency on Bonds Payment
-------------------------------------------------------
BankruptcyData.com reported that Peaje Investments (Plaintiff)
filed with the U.S. Bankruptcy Court a verified complaint against
defendants Puerto Rico Highways & Transportation Authority (HTA)
and its executive director, currently the Hon. Carlos Contreras
Aponte; the Commonwealth of Puerto Rico and its Governor,
currently the Hon. Ricardo Rossello; the Puerto Rico Fiscal Agency
and Financial Advisory Authority (AAFAF) and its executive
director, currently the Hon. Gerardo Portela Franco and Hon. Raul
Maldonado Gautier and Hon. Jose Ivan Marrero Rosado.

The complaint notes, "As a result of this ongoing diversion, the
Fiscal Agent has insufficient funds to satisfy the entire payment
of principal and interest due on Plaintiff's bonds in July 2017.
Moreover, HTA and its Executive Director have indicated that they
have no intention of depositing the Toll Revenues with the Fiscal
Agent as required under the 1968 Resolution and applicable law . .
. . Through this adversary proceeding, Plaintiff seeks to enforce
and protect its lien and other rights in the pledged Toll Revenues
in the manner provided under PROMESA and other applicable law. The
immediate relief sought herein, however, is limited to what is
necessary to protect Plaintiff's rights."

                        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 SALES: S&P Lowers Rating on Sr. Sales Tax Bonds to 'D'
------------------------------------------------------------------
S&P Global Ratings has lowered its rating on Puerto Rico Sales Tax
Financing Corp.'s (COFINA) senior sales tax bonds to 'D' from 'CC'
on non-disbursement by the trustee of scheduled monthly interest
payments due June 1, 2017, in compliance with an order of the U.S.
District Court for the District of Puerto Rico. On May 30, the
court ordered the trustee to interplead future payments of
principal and interest on both the senior and subordinated COFINA
sales tax bonds by holding those funds in their existing accounts
until a final order of the court has been entered directing the
timing and manner of disbursement of funds.  At this time, the
court's order has only affected the disbursement of interest
payments on the COFINA sales tax bonds that require current
monthly interest payments; principal payments on certain of the
COFINA sales tax bonds are due Aug. 1, 2017.

"We understand that the trustee holds funds sufficient to make
debt service payments through at least Aug. 1, 2017, on both the
senior and subordinated sales tax bonds," said S&P Global Ratings
credit analyst David Hitchcock.  "However, due to disputes between
senior and subordinate bondholders regarding the application of
funds held by the trustee and a dispute between the trustee and
COFINA as to whether an event of default has occurred, the court
has stayed all claims to the funds pending a further order of the
court," Mr. Hitchcock added.

An acceleration, if determined by the court to have occurred
and/or permitted by the court under applicable law, could
potentially affect relative recovery between senior and
subordinated bondholders.  All parties claiming a right to the
disputed funds are required to assert their rights to the funds in
the court proceeding.



=============
U R U G U A Y
=============


NAVIOS SOUTH: Moody's Affirms B3 CFR; Changes Outlook to Stable
----------------------------------------------------------------
Moody's Investors Service affirmed the B3 corporate family rating
of Navios South American Logistics Inc., as well as the B3 rating
on Navios Logistics' $375 million senior unsecured notes due 2022.
Moody's has also changed the outlook for all ratings to stable
from negative.

RATINGS RATIONALE

"This rating action reflects improvements in the liquidity and
performance of Navios Holdings, the majority owner of Navios
Logistics and the manager of its fleet," says Maria Maslovsky,
Vice President-Senior Analyst at Moody's and the lead analyst for
Navios. "The favourable resolution of its dispute with Vale
regarding a 20-year contract which is expected to generate $35
million of EBITDA per annum leads us to expect an improved revenue
and EBITDA in the next twelve to 24 months," adds Ms. Maslovsky.

The rating action to revise the outlook to stable follows Moody's
recent change in the outlook for Navios Maritime Holdings, Inc. to
positive from negative. Navios Holdings owns 63.8% of Navios South
American Logisitics and manages its fleet; therefore, the
financial and operational stability of this entity is very
important for Navios Logistics.

One of the key drivers of the action on Navios Holdings was the
strengthening in the dry bulk market resulting in the dramatic
improvement in the time charter rates and leading us to expect
Navios Holdings to generate neutral to positive free cash flow in
2017 following negative $114 million free cash flow in 2016.
Moody's includes capital expenditures in its calculation of the
free cash flow.

Another positive development for Navios Logistics is the
affirmation by a London arbitration tribunal of its 20-year
contract with Vale S.A. (Ba2 positive) related to an iron ore port
facility pursuant to which Navios Logistics is expected to
generate approximately $35 million per annum minimum EBITDA. The
contract is expected to generate over $1.0 billion EBITDA over its
life and contributes significantly to Navios Logistics'
performance.

Offsetting the positive developments with respect to the Vale
contract and at Navios Holdings, the end markets where Navios
Logistics operates have experienced some pressure in 2016. This
weakness was driven by lower throughput in the dry terminal, which
was affected by weak Uruguayan soybean production due to heavy
rains earlier in the year and reduced shipments of Paraguayan
corn. The barge business was also impacted by lower voyage and
time charter revenues due to the expiration of certain iron ore
transportation contracts and increased operating and other costs.
The expiration of these contracts occurred during the low season
for grains, and Navios Logistics was unable to re-charter the
vessels. In 2017, Moody's expects the terminals to perform
significantly better due to the commencement of the Vale contract
in the second half while the barge business may continue to lag
(although 2017 harvest is likely to be better) and the cabotage
business is expected to be in line with 2016. In the first quarter
of 2018 a new river tanker is expected to be delivered with a 5-
year charter which will boost cabotage earnings.

As a result of the challenges experienced by Navios Logistics in
2016, its leverage measured as debt/EBITDA deteriorated to 7.0x at
year-end 2016 from 5.3x the year before, its coverage declined to
2.4x from 2.8x over the same period and its free cash flow was
negative for the year (after capex). All metrics include Moody's
standard adjustments. Moody's anticipates NSAL's leverage to trend
down toward 6.0x in 2017.

Navios Logistics' liquidity is adequate with cash of approximately
$70 mm at March 31, 2017 and Moody's expected FFO of $41 mm in
2017. NSAL's largest debt maturity is in 2022 when its senior
unsecured bonds are due; its other financings are amortizing.
Positively, the majority of the company's tangible assets are
unencumbered.

The stable rating outlook reflects Moody's expectations that the
company's financial profile will improve from its year-end levels
in the next 12-18 months; in particular, Moody's anticipates
Navios Logistics to maintain adequate liquidity and moderately
reduce leverage.

Positive rating movement would be likely if the rating of Navios
Holdings is upgraded and, at the same time, NSAL maintains
debt/EBITDA below 5.5x and (fund from operations +
interest)/interest above 2.5x, together with an adequate liquidity
profile.

Negative rating pressure could arise if (1) NSAL's liquidity
profile weakens materially; (2) its leverage deteriorates further
from year-end 2016 level of 7.0x debt/EBITDA; or (3) if the rating
of Navios Holdings is downgraded.

The principal methodology used in these ratings was Global
Shipping Industry published in February 2014.

Navios South American Logistics Inc. is one of the principal
logistics companies operating in the Hidrovia Region river system,
which flows through Argentina, Brazil, Bolivia, Paraguay and
Uruguay. The company's operations comprise waterborne
transportation services for liquid and dry cargoes, as well as
port, storage and related services. In 2016, NSAL generated
revenues of $220 million and EBITDA of $68 million (as reported by
the company).




                            ***********


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.

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                            ***********


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
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