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

               Thursday, September 7, 2017, Vol. 18, No. 178



PROVINCE OF JUJUY: S&P Gives 'B-' Foreign & Local Currency Ratings


BAHAMAS: Firms Warned Against Price Gouging as Hurricane Threatens


BANCO PAN: S&P Affirms B+/B Global Scale Rating, Outlook Still Neg
BRAZIL: Da Silva, Rousseff Accused of Embezzlement Scheme
MILLS ESTRUTURAS: Moody's Lowers CFR and Sr. Unsec. Rating to B3
SUZANO PAPEL: Fitch to Assign BB+ Rating to Prop. Notes Reopening
VALE SA: Moody's Hikes Senior Unsecured Notes Rating to Ba1


CIBONEY GROUP: Ends Year With Losses
DIGICEL GROUP: FTC to Resume Challenge of Claro Acquisition


MEXICO: Hails Successful Conclusion After 2nd Round of NAFTA Talks

P U E R T O    R I C O

BOBALU INC: Taps Almeida & Davila as Legal Counsel

T R I N I D A D  &  T O B A G O

TRINIDAD & TOBAGO: Manufacturers Feeling Pain, Firms Not So Much

                            - - - - -


PROVINCE OF JUJUY: S&P Gives 'B-' Foreign & Local Currency Ratings
S&P Global Ratings assigned its 'B-' long-term foreign and local
currency ratings to the province of Jujuy. S&P also assigned its
'B-' rating to the province's proposed issuance for up to $210
million. The outlook on the province is stable.


S&P said, "The stable outlook on Jujuy reflects our view of an
increasing dialogue between the local and regional governments
(LRGs) and the federal government in Argentina to address various
fiscal and economic challenges. In addition, we estimate that
Jujuy's operating deficits will gradually fall in the next 12-18
months, if the ongoing efforts to contain spending and to improve
tax collection succeed. However, the province is likely to
maintain deficits after capex at above 10%, due to ongoing public-
works investments. The outlook incorporates Jujuy's expected
issuance of its first international bond for up to $210 million to
partly fund the province's needs. We still expect debt levels to
remain high at 62% of operating revenues by the end of 2017."

Downside scenario

"We could lower our ratings on Jujuy within the next 12 months if
it's unable to improve its finances as expected, such that we
perceive that the province's financial commitments are
unsustainable or that it faces a near-term payment crisis."

Upside scenario

"We could raise our ratings on Jujuy in the next 12 months if its
budgetary performance improves beyond our expectations in the form
of operating surpluses and deficits after capex consistently below
5%. Under this scenario, debt relative to operating revenue would
gradually decrease as the province posts a stronger internal cash
generation. Also, a more formal liquidity policy would be required
for an upgrade."


S&P said, "The 'B-' ratings on Jujuy reflect its individual credit
profile and the institutional framework in which it operates.
Jujuy, like all LRGs in Argentina, operates under an institutional
framework that has recently strengthened but remains very volatile
and underfunded, in our view."

The individual credit profile of Jujuy reflects its structural
fiscal deficits that mainly stem from its limited ability to
collect taxes due to low per capita level, and fairly large and
mandatory operating expenditures, mostly for the provincial
payroll. At the same time, increasing debt and Jujuy's overall
contingent liabilities further constrain its credit quality.

Despite a volatile and underfunded institutional framework, S&P
considers the constructive dialogue between the federal and
subnational governments as a positive credit development. Jujuy
has been traditionally governed by Partido Justicilista until
Gerardo Morales won the gubernatorial election in December 2015
for a four-year term through a coalition of Cambiemos, Union
C°vica Radical, Frente Renovador and other political parties. The
provincial government has strong support from the national
government and S&P expects dialogue between the two levels of
government to remain constructive. Since Mr. Macri and Mr. Morales
took office, their administrations developed a plan to address the
provincial structural problems, particularly to mitigate Jujuy's
historical dependence on the national transfers.

The provincial government has traditionally been able to pass
budgets on time, though the latter are constrained by the volatile
macroeconomic conditions in Argentina, which limit medium- to
long-term planning. The government has majority in the local
legislature, and S&P expects this to remain so following the
October elections.

Jujuy's low GDP per capita is a key rating constraint; in 2016 it
reached $4,696, compared with the national average at $12,523. The
provincial economy represents about 0.6% of Argentina's economy
and S&P considers the former as relatively diverse. Its relatively
lesser dependence on a volatile sector like the cereals and soy
bean production makes the provincial economy less vulnerable to
global and regional shocks than its national peers. However, the
decoupling between Jujuy's and the national economies has led to
the province's historical growth level below the national average.
Jujuy's administration intends to broaden the province's economic
base, by investing in various sectors such as the production of
solar energy, lithium battery production, and the tourism sector.

S&P estimates a gradual improvement in Jujuy's budgetary
performance such that operating deficits will narrow to 4% of
operating revenue by 2019, while deficits after capex will remain
at 13% on average. Strengthening of the provincial tax collection
can increase Jujuy's own-source revenue; however, the low per
capita GDP will constrain the province's ability to reduce its
heavy dependence on federal transfers. At the same time, the
current administration has prioritized reining in operating
spending in the next few years. S&P believes the impact of the
latter to be gradual and likely to materialize after 2018.

The share of the province's own-source revenue to total operating
revenue increased to 14% in 2016 from 11% in 2012. S&P expects
that own-source revenue could reach near 16% by 2019, if efforts
to tighten tax collection continue. At the same time, Jujuy has
historically faced budgetary constraints; public-sector employee
wages and interest payments represent around 66% of operating
expenditure. Despite the province's effort to reduce the number of
public-sector employees to sustainable levels, payroll expenditure
will remain as the main source of pressure on the budget as a
result of still high inflation. At the same time, Jujuy is unable
to reduce its relatively high capex, because the latter reflects
large amount of earmarked capital transfers from the national
government in order for the province to meet its infrastructure
needs. Infrastructure projects are mostly roadways, housing,
schools, and hospitals. For 2017-2019, we expect capex to increase
given that the province is constructing a solar energy farm, which
will be funded through the issuance of a $210 million
international bond.

S&P expects tax-supported debt to represent almost 70% of the
province's operating revenue in 2019. Historically, Jujuy's main
creditor was the national government, preferential treatment of
which allowed the province to refinance its debt and cover its
deficits at negative real interest rates. After President Macri
took office, the province agreed on a debt reduction plan that
incorporates higher but still preferential interest rates,
depending on Jujuy's fiscal performance. S&P expects the new
credit conditions to require a credible fiscal austerity plan and
lower borrowings to finance operating expenditure. However, the
province's debt stock is likely to rise in the next few years if
Jujuy is able to access the capital markets to fund its solar
energy farm. After the proposed $210 million issuance, the
province's debt would reach ARP17.5 billion by the end of 2017,
equivalent to 62% of operating revenue.

S&P said, "In our opinion, Jujuy's free cash and reserves will be
insufficient to cover the 2017 projected debt service.
Nevertheless, we believe that the province will be able and
willing to meet its debt service obligations through the use of
internal and external cash flows. Access to external funding for
Argentine LRGs has increased following the May 2016 cure of the
sovereign default, and we expect subnational governments to keep
issuing debt in the capital markets given that overall debt level
is currently not high.

"However, we view overall access to external liquidity as still
uncertain given the country's weak banking system, reflected in
our Banking Industry Country Risk Assessment scores at group '9'.
In addition, the Fiscal Responsibility Law prevents LRGs from
using debt to finance operating expenditures and requires the
national government's authorization for LRGs to issue new debt."

Finally, Jujuy's contingent liabilities come mainly from three
public companies, which are not consolidated in the provincial
budget: Agua Potable y Saneamiento Jujuy SE, Jujuy Energ°a y
Miner°a SE (JEMSE), and Banco de Desarrollo de Jujuy SE. We
estimate that the last two entities are self-supporting because
they haven't required financial assistance over the past years.
When incorporating loans that JEMSE will receive for the
construction of the solar park, S&P estimates that Jujuy's
contingent liabilities would account for around 24% of its
operating revenue, or ARP6.3 billion.

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 (see 'Related Criteria And Research'). 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
(see 'Related Criteria And Research').


  New Rating; Outlook Action

  Jujuy (Province of)
   Issuer Credit Rating                   B-/Stable/--
   Senior Unsecured                       B-


BAHAMAS: Firms Warned Against Price Gouging as Hurricane Threatens
RJR News reports that with Hurricane Irma being a potential threat
to The Bahamas, businesses are being cautioned against any
attempts to take advantage of consumers by price gouging.

The government issued a statement advising that price gouging and
similar schemes to spike prices in the preparation for and in the
wake of a natural disaster are considered "criminal offenses,"
according to RJR News.

The prime minister has tasked the Price Control Commission to
immediately keep an eye on any increase in prices for essential
items needed in preparation for the natural disaster, the report

As reported in the Troubled Company Reporter-Latin America on
July 31, 2017, reports that Bahamian Prime
Minister Dr. Hubert Minnis has disclosed harsh cuts in the Bahamas
Government spending as he embarks on a strategy to remedy the
country's fiscal deficit, which is projected to reach $500 million
this year.


BANCO PAN: S&P Affirms B+/B Global Scale Rating, Outlook Still Neg
Brazil-based midsize-bank Banco Pan has been gradually improving
its operating efficiency, while maintaining high net interest
margins, resulting in the bank posting net income during 2017.  On
the other hand, the bank continues to face risk of reaching the
minimum capital regulatory if new adverse developments emerge,
given that the bank has maintained a narrow cushion between its
regulatory capital and the minimal required in 2017. Nevertheless,
S&P Global Ratings expect the bank shareholders to provide support
in order for Banco Pan to maintain its regulatory ratios above the
regulatory minimum.

S&P Global Ratings, therefore, affirmed its 'B+/B' global scale
and 'brBBB+/brA-2' national scale ratings on Banco Pan S.A. The
outlook remains negative. At the same time, we affirmed our 'CCC'
junior subordinated debt rating.

The ratings on Banco Pan reflect its 'b+' stand-alone credit
profile (SACP), which is based on the bank's small market share
but still diversified portfolio focused on payroll lending and
vehicle financing, which have been maintaining the bank's asset
quality metrics stable in the past two years.

At the same time, the bank benefits from the funding it received
from Caixa Economica Federal (CEF), which also strengthens its
liquidity. On the other hand, S&P believes Banco Pan has a narrow
cushion between its regulatory capital and the required minimum in
2017, while its internal capital generation remains weak in light
of Brazil's current economic slump.

BRAZIL: Da Silva, Rousseff Accused of Embezzlement Scheme
Paulo Trevisani at The Wall Street Journal reports that Brazil's
attorney general accused former presidents Luiz Inacio Lula da
Silva and Dilma Rousseff and some of their political allies of
embezzling around $500 million between 2002 and 2016, a period
encompassing all of the leftist party's 13 years in power.

Attorney General Rodrigo Janot said that during Mr. da Silva's and
Ms. Rousseff's terms, the suspects, all members of the Workers'
Party, or PT, used state-run companies to pocket taxpayer money,
according to The Wall Street Journal.

Mr. Janot's office said that the alleged scheme cost at least $9
billion to public coffers, the report notes.  Mr. Janot sent the
charges to the Supreme Court, which has an undefined amount of
time to either accept or dismiss them before any trial is
launched, the report relays.

Ms. Rousseff said in a statement that there is no proof against

The report notes that Mr. da Silva said in his Facebook page that
the charges are a groundless political action.

The PT said in a statement the accusations are "lies."

The accusations are the latest development in a multiyear graft
probe known as Operation Carwash and which is centered on state-
run oil company Petroleo Brasileiro SA, or Petrobras, the report
notes.  This is the first time Ms. Rousseff was accused of
criminal charges, the report relays.  Mr. da Silva is already a
defendant in other graft probes and denies wrongdoing, the report

The alleged wrongdoing took place between mid-2002 and May 12,
2016, Mr. Janot's office said, the report notes.  That spans the
months before Mr. da Silva was first elected to Brazil's highest
office, through the last day in which his protÇgÇ and successor,
Ms. Rousseff, held the helm before being impeached on charges of
mishandling the budget, the report discloses.

The attorney general's office said Mr. da Silva was a leading
figure in the alleged scheme, which also included some of his and
Ms. Rousseff's top ministers, the report relays.  Mr. Janot said
Mr. da Silva, one of the most popular leaders in Brazil's history,
used his clout to keep the alleged scheme running under Ms.
Rousseff's watch, the report notes.

Mr. Janot said the group traded key positions at state-run
companies to reap bribes that were channeled to the PT and its key
allies, the report says.  Mr. Janot said the ring also engaged in
money-laundering using bank accounts in different countries, the
report discloses.

Mr. Janot said other political groups partook in the alleged
scheme, including the Brazilian Democratic Movement Party, or
PMDB, Brazil's largest and the party of President Michel Temer,
who was Ms. Rousseff's deputy and took over after her impeachment,
the report notes.

Mr. Temer was accused earlier this year by Mr. Janot of taking
bribes, the report discloses.  Under Brazil's constitution,
charges against the president need to be approved by lawmakers
before a case can proceed, and Mr. Temer's supporters shelved them
in Congress last month, the report relays.  Mr. Janot has
indicated he could press new charges against the president, the
report notes.

The PMDB has denied any wrongdoing, as has Mr. Temer, the report

MILLS ESTRUTURAS: Moody's Lowers CFR and Sr. Unsec. Rating to B3
Moody's America Latina downgraded Mills Estruturas e Servicos de
Engenharia S.A.'s corporate family ratings and senior unsecured
ratings to B3 (global scale) and (national scale) from B2
(global scale) and (national scale). The outlook for the
ratings remains negative.

Ratings downgraded:

- Corporate Family Rating ("CFR"): to B3 from B2 (global scale);
   to from (national scale)

- BRL 200.00 million 5-year senior unsecured debentures due 2019:
   to B3 from B2 (global scale); to from (national

- BRL 109.06 million senior unsecured debentures due 2020: to B3
   from B2 (global scale); to from (national scale)

The outlook for the ratings remains negative.


The downgrade reflects Moody's expectations that Mills' operating
performance will remain weak through at least 2018, which mirrors
the fundamentals for the company's key heavy construction and
homebuilding industries. Mills has been downsizing over the last
few years, selling assets and keeping investment low to generate
cash and meet debt obligations. While Moody's acknowledge that the
short cycle of Mills' investments provides the company flexibility
to efficiently react to slowdowns by selling assets, this model is
unsustainable if the downturn persists for a longer than
anticipated period of time. In addition, despite the smaller size,
the company has a heavy cost structure that leads to negative
operating margins, and depends on asset sales to generate cash,
which increased its overall credit risk.

Mills' B3/ ratings continue to incorporate its leading
position in the Brazilian concrete formwork and access equipment
sector backed by long-standing relationship with the major local
construction companies and offering of innovative solutions and
updated technology. The rating is also supported by Mills'
flexible business model, prudent financial management, and current
adequate liquidity that is sufficient to cover cash needs at least
until the end of 2018.

On the other hand, the ratings are constrained by Mills' reduced
size and still high exposure to the cyclical construction
industry. The ratings also incorporate Mills' dependence on
additional asset sales throughout 2018 to generate cash and fully
service debt maturing from 2019 onwards. Finally, Moody's
expectations that conditions in the heavy construction and
homebuilding industries will remain weak at least until the end of
2018 is an additional rating constraint.

Mills' operating performance has been deteriorating since 2014
along with fundamentals for the Brazilian construction industry.
The company's revenues declined to BRL 298 million in the last
twelve months ending June 2017 from BRL 832 million in 2013, and
its efforts to reduce operating expenses only partially mitigated
the negative impact of the lower revenue stream in the company's
margins, and adjusted EBITDA margins shrank to 17% from 52% in the
same period.

While Moody's does not anticipates additional deterioration in
Brazil's construction industry and in Mills' operating
performance, Moody's also does not expects a material recovery in
the near term. Activity in the heavy construction industry will
remain weak until the end of 2018 due to Brazil's government
fiscal constraints and presidential elections, and new launches in
the homebuilding industry will take time to recover based on still
high inventories of finished units. Some relief may come from
higher industrial activity in Brazil in 2018, which will increase
demand for industrial equipment rental. Nevertheless, Mills'
credit metrics will remain under stress, with weak EBITDA
generation and high leverage metrics in 2017 and 2018.

In this context, Moody's expects Mills' to continue pursuing asset
sales and reducing absolute debt levels. The renegotiation of
covenants applicable to the company's debentures in March 2017 and
consequent assignment of a cash collateral corresponding to 50% of
the debentures outstanding amount increased the predictability of
debt payments until the end of 2018, but from 2019 onwards Mills
will need to successfully sell assets and raise cash to amortize

The negative outlook reflects Moody's expectations that Mills'
operating performance will remain weak in the next 12-18 months,
leaving the company dependent on asset sales to generate cash and
meet debt obligations.

The ratings could be further downgraded if conditions in the
construction industry deteriorate further or if the company is not
able to sell assets and generate positive free cash flow to fully
service debt obligations from 2019 onwards.

The ratings could be upgraded if there are clear signs of
sustained recovery in the construction industry and if Mills is
successful in prudently managing dividends and investments, and
consequently leverage, while maintaining a solid liquidity
position. Quantitatively, the ratings could be upgraded if Mills'
total adjusted debt to EBITDA remains below 5.5x (7.7x in LTM
ending June 2017), EBITA to interest expense above 2.0x (-1.7x in
LTM ending June 2017) and EBITA margin above 12.5% (-34% in the
LTM ending June 2017) on a sustained basis.

Founded in 1952 and headquartered in Rio de Janeiro, Mills
Estruturas e Servicos de Engenharia S.A. ("Mills") is a leading
provider of concrete formwork and access equipment services to
construction companies and rental of motorized access equipment in
Brazil, having reported BRL 298 million (USD92 million) in net
revenues in the last twelve months ended June 2017.

The principal methodology used in these ratings was Business and
Consumer Service Industry published in October 2016.

Moody's National Scale Credit Ratings (NSRs) are intended as
relative measures of creditworthiness among debt issues and
issuers within a country, enabling market participants to better
differentiate relative risks. NSRs differ from Moody's global
scale credit ratings in that they are not globally comparable with
the full universe of Moody's rated entities, but only with NSRs
for other rated debt issues and issuers within the same country.
NSRs are designated by a ".nn" country modifier signifying the
relevant country, as in ".za" for South Africa. For further
information on Moody's approach to national scale credit ratings,
please refer to Moody's Credit rating Methodology published in May
2016 entitled "Mapping National Scale Ratings from Global Scale
Ratings". While NSRs have no inherent absolute meaning in terms of
default risk or expected loss, a historical probability of default
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time. For information on
the historical default rates associated with different global
scale rating categories over different investment horizons.

SUZANO PAPEL: Fitch to Assign BB+ Rating to Prop. Notes Reopening
Fitch Ratings expects to assign a 'BB+' rating to Suzano Papel e
Celulose S.A.'s (Suzano) proposed notes reopening. The reopening
is part of Suzano Austria GmbH 2026 and 2047 senior unsecured
notes and will be unconditionally and irrevocably guaranteed by
Suzano. Proceeds from these unsecured notes reopening, which is
expected to total between USD300 million and USD400 million, will
be used to repurchase up to USD100 million of senior notes due
2021 and to extend the company's debt maturity profile. Fitch
currently rates Suzano's Foreign Currency and Local Currency
Issuer Default Ratings (IDRs) 'BB+' with a Positive Outlook.

Suzano's ratings reflect the company's leading position in
printing and writing paper and paperboard in Brazil, and its
position as the fourth largest producer of market pulp in the
world. The ratings also incorporate Suzano's strong liquidity and
comfortable debt amortization schedule.

The Positive Outlook for the corporate ratings reflects Fitch's
expectation that Suzano's FCF will remain strong in 2017 and 2018,
and net adjusted leverage will decline to below 2x by 2018. An
upgrade could occur if the company uses its FCF to continue
reducing gross debt. The Positive Outlook also reflects Fitch's
expectation that the company's strategy to decrease leverage and
improve its capital structure will remain unchanged.


Solid Business Position: Suzano is the leading producer of
printing and writing paper in Brazil, as well as paperboard, with
1.3 million tons of annual production capacity. The company's
strong market shares in uncoated printing and writing paper and in
paperboard allow it to be a price leader in Brazil. With 3.5
million tons of market pulp capacity, Suzano is the fourth largest
producer of market pulp in the world.

Leverage Will Continue to Decline: Stronger operating cash flow
and lower investments will contribute to Suzano's debt reduction
efforts. Fitch expects net adjusted leverage to reduce to below 2x
during 2018. Suzano's net adjusted leverage remained relatively
stable during 2016 and it did not reduce to below 3.0x as
previously projected due to the strong Brazilian real and weak
pulp prices. Suzano's adjusted net debt /adjusted EBITDA ratio in
the LTM ended June 30, 2017 was 3.2x, comparing with 3.1x at year-
end 2016 and 2015. Historically, Suzano has operated with higher
leverage within its Latin America peer group, with an average net
adjusted leverage ratio of 3.6x between 2008 and 2011, and 4.2x
between 2012 and 2016. However, in Fitch's opinion, Suzano's
financial strategy approved by the Board of Directors in May 2017
demonstrates the company's commitment to leverage reduction.

Operational Cash Flow to Improve: Fitch projects that Suzano will
generate about BRL4.1 billion of adjusted EBITDA in 2017 and
BRL4.9 billion in 2018. Key assumptions are net BEKP prices of
USD550 and USD575 per ton and FX rate of 3.2 BRL/USD and 3.3
BRL/USD in 2017 and 2018, respectively. Fitch's base case scenario
incorporates total investments around BRL3.5 billion during 2017
and 2018, a downward trend of costs and some efficiency gains from
adjacent business projects.

Suzano generated BRL3.5 billion of adjusted EBITDA and BRL2.8
billion of cash flow from operations (CFFO) in the LTM ended June
30, 2017. This compares with BRL3.7 billion of adjusted EBITDA and
BRL3.1 billion of CFFO during 2016, and BRL4.5 billion and BRL2.6
billion, respectively, in 2015. FCF was BRL40 million in the LTM,
after dividends of BRL371 million and investments of BRL2.4
billion, including BRL789 million from acquisition of land and

Forestry Assets a Key Credit Consideration: A key credit
consideration that further enhances Suzano's credit profile is its
ownership of about 1.2 million hectares of land, where the company
developed about 575,000 hectares of eucalyptus plantations. The
forestry assets are valued at BRL4.2 billion. Importantly, the
region's nearly ideal conditions for growing trees make these
plantations extremely efficient by global standards and give the
company a sustainable advantage in terms of cost of fiber and
transportation costs between forests and mills.


Suzano is the leading producer of printing and writing paper in
Brazil, as well as paperboard and is the fourth largest producer
of market pulp in the world, after Fibria Celulose S.A. (BBB-
/Stable), Celulosa Arauco (BBB'/Negative) and Empresas CMPC
('BBB'/Stable). As other Latin American pulp producers, Suzano's
cash production costs are amongst the lowest in the world for
hardwood pulp, ensuring its long-term competitiveness. Suzano's
ratings incorporate the historical higher leverage within its
Latin America peer group, and the positive Outlook reflects
Fitch's expectation that the company will continue to reduce to
more conservative levels in the short term. Liquidity is
historically strong for the pulp producers. Suzano operating
margins are similar to Fibria's and higher than the Chilean
companies that also operate in lower margins business segments as
tissue, packaging and boards.


Fitch's key assumptions within Fitch ratings case for the issuer
-- Pulp sales volume of 3.6 million tons in 2017 and 3.7 million
    tons in 2018;
-- Paper sales volume between 1.2 million tons and 1.3 million
    tons in 2017 and 2018;
-- Average hardwood pulp price between USD550 and USD575 per ton.
-- FX rate at 3.2 BRL/USD in 2017 and 3.3 BRL/USD in 2018.


Future Developments That May, Individually or Collectively, Lead
to Positive Rating Action:
-- Maintenance of net adjusted leverage below 2.0x during low
    investment cycle;
-- Higher than expected cash generation during 2017;
-- A positive outlook for pulp prices in the next couple of years
    could also bolster the probability of positive rating actions.

Future Developments That May, Individually or Collectively, Lead
to Negative Rating Action:
-- Weaker liquidity position;
-- Increase in net adjusted leverage ratio to levels above 4.0x,
    considering pulp prices at USD550 per ton;
-- Sharp deterioration of market conditions with significant
    reduction of pulp prices;
-- A debt financed acquisition;
-- Any change in the company's strategy to reduce leverage and
    improve capital structure.


Suzano has historically maintained a strong cash position. As of
June 30, 2017, the company had BRL3.6 billion of cash and
marketable securities and total debt was BRL14.6 billion.
Liquidity covered short-term debt obligations by a multiple of
1.5x. Suzano has manageable debt maturities of BRL2.4 billion in
the short term and BRL935 million in the second half 2018. Suzano
does not have a standby facility. The company will use proceeds
from the proposed reopening to extend its debt maturity profile.


Fitch currently rates Suzano as follows:

-- Long-Term Foreign Currency IDR 'BB+';
-- Long-Term Local Currency IDR 'BB+';
-- National long-term rating 'AA+(bra)'.

Suzano Austria GmbH
-- USD500 million senior unsecured notes, due in 2026 and
    guaranteed by Suzano 'BB+';
-- USD300 million senior unsecured notes, due in 2047 and
    guaranteed by Suzano 'BB+'.

Suzano Trading Ltd.
-- USD650 million senior notes, due 2021 and guaranteed by Suzano

The Rating Outlook for the corporate ratings is Positive.

VALE SA: Moody's Hikes Senior Unsecured Notes Rating to Ba1
Moody's Investors Service has upgraded to Ba1 from Ba2 Vale S.A.
senior unsecured ratings and the ratings on the debt issues of
Vale Overseas Limited (fully and unconditionally guaranteed by
Vale). Moody's also upgraded to Ba3 from B1 the rating for the
senior unsecured ratings of Vale Canada Ltd. The outlook was
changed to stable from positive.

At the same time, Moody's America Latina upgraded Vale's corporate
family rating to Ba1 (global scale) from Ba2 and to from (national scale), and the senior unsecured notes issued by
Vale S.A. (Debentures de Infraestrutura) to Ba1/ from
Ba2/ The outlook for all ratings is stable.

Ratings Upgraded:

Issuer: Vale S.A.

-- Senior Unsecured Notes due 2023, to Ba1 from Ba2

-- Senior Unsecured Notes due 2042, to Ba1 from Ba2

Issuer: Vale Canada Ltd.

-- Senior Unsecured Bonds due 2032, to Ba3 from B1

Issuer: Vale Overseas Limited

-- Gtd Senior Unsecured Notes due 2019, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2020, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2021, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2022, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2026, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2034, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2036, to Ba1 from Ba2

-- Gtd Senior Unsecured Notes due 2039, to Ba1 from Ba2

The outlook of all ratings is stable


The upgrade of Vale's ratings reflects its strengthening credit
profile, supported by the execution of debt reduction, positive
free cash flow generation and a sound liquidity position. The
company will continue to benefit from increased operating
efficiency and rising production levels as the S11D operation
unfolds as well as lower capital spending needs and reduced
dividend payments compared to prior years. The combination of
lower debt levels, greater production capacity and a lower-cost
operation will furthermore allow the company to uphold a more
robust position against potential commodity price volatility.

With no major expansion projects planned in the near-term, Vale
will direct strong cash generation to reduce debt levels. From
January through June 2017, Vale has reduced USD1.5 billion in debt
maturities, and plans to continue doing so through 2017 and 2018.
As part of this strategy, in August the company announced the
redemption of its USD1 billion bonds due 2019 and announced a
tender offer for up to USD750 million for the 2020 notes issued by
Vale Overseas. Funding for further debt reduction will come in
part from the conclusion of a USD2.2 billion project finance
transaction, the sale of additional vessels (around USD200
million) and proceeds from the divestiture of fertilizer assets
(USD1.25 billion). Moody's expects total debt levels to decline
from USD27.8 billion at the end of June 2017 to levels of around
USD22 billion at the end of 2017. As such, pro-forma adjusted
leverage, based on current EBITDA levels and adjustments, would
decline to 1.6x (total debt to EBITDA) from current levels of

Vale's Ba1 ratings continue to be supported by the company's
diversified product base and competitive cost position, and
substantive portfolio of long lived assets. While Vale has
diversified its geographic footprint through various acquisitions,
the dominant revenue, earnings and cash flow driver continues to
be its Brazilian-based iron ore operations and its major position
in the seaborne iron ore markets. The rating acknowledges Vale's
more disciplined approach to project development, capital
allocation, resizing of its asset portfolio to strategically
important business segments, divestiture of non-strategic assets,
maintenance of competitive cost position and focus on debt
reduction, which better positions Vale to withstand volatility in
the prices for its major products.

Vale remains exposed to iron ore and base metals. Despite price
improvements in 2016 and early 2017 from lows observed in late
2015, this movement was mostly driven by stimulus initiatives in
China and significant trading activity, rather than a material
change in supply and demand fundamentals. While Moody's does not
expects a retreat of the magnitude seen a couple of years ago,
Moody's believes there could be a moderate correction in the near
term, supported by additional, low cost iron ore supply coming to
the market.

Vale's ratings also incorporate the long term overhang represented
by the uncertainties regarding the level of support Vale will
provide to Samarco or the outcome of existing litigations and the
impact it would have on the company's liquidity and debt profile.

The stable outlook on the ratings reflects Moody's expectations
that Vale will further reduce debt levels, and maintain its
ongoing focus on cost efficiency, with financial discipline
regarding capex and dividend payment that will allow the company
to become more resilient and to withstand the volatility of
commodity prices.

An upgrade on Vale's rating would require the maintenance of
strong credit metrics and market positioning in its main segments.
A sound liquidity position and further debt reduction are
necessary conditions for an upgrade. Quantitatively, an upgrade
would also require Vale's adjusted total debt/EBITDA to remain
below 2.5x, EBIT/interest expense above 4.5x and positive free
cash flow generation on a sustainable basis.

The ratings or outlook could suffer negative pressure should
conditions for iron ore and base metals deteriorate, leading to
lower profitability, and if Vale is not able to make meaningful
progress in debt levels, with leverage ratios (total debt to
EBITDA) trending towards 3.5x or above and EBIT/Interest expense
falling below 4.0x. A marked deterioration in the company's
liquidity position could also precipitate a downgrade. Negative
pressure would arise to the extent Vale is required to provide
material financial support to Samarco, or faces liabilities from
litigation and class actions resulting from the Samarco's
accident, in addition to the amount related to the Framework
Agreement set with Brazilian Authorities in March 2016 and the
announced support to Samarco's working capital needs.

Headquartered in Rio de Janeiro, Brazil, Vale is one of the
largest mining enterprises globally, with substantive positions in
iron ore and nickel, and participation in copper, coal and
fertilizers, as well as supplemental positions in energy and steel
production. Vale is the largest global supplier of iron ore, with
approximately 363 million metric tons (t) of production during the
last twelve months ended June 2017 and the largest global producer
of nickel, with around 296,000t produced during the same period.
Vale's principal mining operations are located in Brazil, Canada,
Indonesia, and Mozambique. In addition, the company is active in
exploration activities in six countries. For the twelve months
through June 2017, Vale had net operating revenues of USD31.7

The principal methodology used in these ratings was Global Mining
Industry published in August 2014.


CIBONEY GROUP: Ends Year With Losses
RJR News reports that Ciboney Group has ended another financial
year with losses.

Its audited results for the year ended May 31 show J$5.2 million
in losses, according to RJR News.

While it was another year of Ciboney being in the red, the figure
was lower than the $7.4 million loss suffered in the previous
financial year, the report notes.

DIGICEL GROUP: FTC to Resume Challenge of Claro Acquisition
RJR News reports that the Fair Trading Commission said judgment by
the UK Privy Council paves the way for it to resume its challenge
in the Supreme Court of Digicel's acquisition of Claro.

It says it also opens the door for divestitures in completed
mergers or remedies to adjust whatever anti-competitive effects
may be experienced, according to RJR News.

The Privy Council ruled that the Fair Trading Commission has
jurisdiction over the 2011 acquisition by Digicel Jamaica of
Claro, the report notes.

The Law Lords considered three main issues and ruled in favor of
the FTC, the report relays.

In particular, the Privy Council held that the FTC has
jurisdiction to intervene in the telecommunications market in the
same way as in any other market, the report notes.

It also ruled that section 17 of the Fair Competition Act
governing anti-competitive agreements applies to mergers and
acquisitions, the report discloses.

The Law Lords also held that the FTC's jurisdiction was not
affected by the approval of the agreement between Digicel and
Claro by the relevant Minister under the Telecommunications Act,
the report says.

The FTC appealed to the Privy Council after the Court of Appeal
held that while the Commission has jurisdiction in the
telecommunications industry, it did not have jurisdiction over the
acquisition by Digicel of Claro, the report adds.

As reported in the Troubled Company Reporter-Latin America on
May 26, 2017, Fitch Ratings has affirmed at 'B' the Long-term
Foreign-currency Issuer Default Ratings (IDR) of Digicel Group
Limited (DGL) and its subsidiaries, Digicel Limited (DL) and
Digicel International Finance Limited (DIFL), collectively
referred to as Digicel. The Rating Outlook is Stable. Fitch has
also affirmed all existing issue ratings of Digicel's debt


MEXICO: Hails Successful Conclusion After 2nd Round of NAFTA Talks
EFE News reports that Mexico hailed the "successful" end of the
second round of NAFTA negotiations, which concluded in this
capital, and announced progress on several issues, although the
talks have not come to fruition as yet.

Economy Minister Ildefonso Guajardo said that there had been
"important progress in several areas and the parties hope to
advance even more," speaking publicly after the end of the latest
round of talks to renegotiate the North Atlantic Free Trade
Agreement demanded by US President Donald Trump, who claims that
the pact has been harmful to his country's interests, according to
EFE News.

P U E R T O    R I C O

BOBALU INC: Taps Almeida & Davila as Legal Counsel
Bobalu Inc. seeks approval from the U.S. Bankruptcy Court for the
District of Puerto Rico to hire legal counsel.

The Debtor proposes to employ Almeida & Davila, P.S.C. to give
legal advice regarding its duties under the Bankruptcy Code and
provide other legal services related to its Chapter 11 case.

The hourly rates charged by the firm are:

     Enrique Almeida Bernal     $200
     Zelma Carrasquillo         $200
     Associates                 $175
     Paralegals                  $85

Almeida & Davila will receive a retainer in the mount of $7,000.

Enrique Almeida Bernal, Esq., disclosed in a court filing that the
members of his firm are "disinterested persons" as defined in
section 101(14) of the Bankruptcy Code.

Almeida & Davila can be reached through:

     Enrique M. Almeida Bernal, Esq.
     Almeida & Davila, P.S.C.
     P.O. Box 191757
     San Juan, PR 00919-1757
     Phone: (787) 722-2500
     Fax: (787) 777-1376

                        About Bobalu Inc.

Bobalu Inc. sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. D. P.R. Case No. 17-06083) on August 29, 2017.
Lourdes Milagros Santiago Torres, president, signed the petition.
Judge Mildred Caban Flores presides over the case.

At the time of the filing, Bobalu disclosed $45,275 in assets and
$1.37 million in liabilities.

Bobalu is a small business debtor as defined in 11 U.S.C. Section
101(51D).  It previously sought bankruptcy protection (Bankr.
D.P.R. Case No. 16-03662) on May 6, 2016.

T R I N I D A D  &  T O B A G O

TRINIDAD & TOBAGO: Manufacturers Feeling Pain, Firms Not So Much
Anthony Wilson at Trinidad Express reports that manufacturers in
Trinidad and Tobago seem to be feeling the most pain from the
double-barrelled impact of the three-year economic downturn and
the current administration's economic policies, which have raised
corporate taxes and levies.

Express Business analysis of the impact of current tax policy on
the performance of some local public companies found that
financial institutions, on the other hand, seem to have found ways
to increase their profitability, despite the burden of higher
taxes, according to Trinidad Express.

The analysis looked at the after-tax performance of ten companies
listed on the T&T Stock Exchange: five manufacturing entities and
five financial institutions, the report notes.

The focus was on the 2017 financial reporting of the companies
because the new tax bracket of 30 per cent on individuals whose
chargeable income exceeds $1 million per year and companies with
chargeable profits in excess of $1 million per annum started on
January 1, 2017, the report relays.


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


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, 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

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