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

               Monday, May 7, 2018, Vol. 19, No. 88


                            Headlines



A R G E N T I N A

ARGENTINA: Central Bank Hikes Interest Rates by 40%
ARCOR S.A.I.C.: Fitch Affirms LC IDR at 'BB' & FC IDR at 'B+'


B A R B A D O S

BARBADOS: Turns to Private Sector for Foreign Reserves Bail-Out


B R A Z I L

BRAZIL: Braces for Next Wave of Venezuelan Immigrants
CAP SA: S&P Affirms 'BB+' Global-Scale Rating, Outlook Stable
USINAS SIDERURGICAS: Fitch Hikes IDRs to 'B+', Outlook Pos.


M E X I C O

SIXSIGMA NETWORKS: S&P Rates New $300MM Senior Unsecured Notes BB-


P U E R T O    R I C O

QUE GOLAZO: Taps Jimenez Vazquez as Accountant
RISE ENTERPRISES: Seeks 60-Day Plan Exclusivity Period Extension


V E N E Z U E L A

VENEZUELA: Opposition Calls for Boycott of May 20 Election
VENEZUELA: Supreme Court in Exile Rules Maduro Suspended


X X X X X X X X X

* BOND PRICING: For the Week From May 30 to April 4, 2018


                            - - - - -


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A R G E N T I N A
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ARGENTINA: Central Bank Hikes Interest Rates by 40%
----------------------------------------------------
RJR News reports that Argentina's central bank has raised interest
rates for the third time in eight days as the country's currency,
the peso, continues to fall sharply.

The bank hiked rates to 40 per cent from 33.25 per cent, a day
after they were raised from 30.25 per cent, according to RJR News.

A week ago, they were raised from 27.25 per cent, the report
notes.

The rises are aimed at supporting the peso, which has lost a
quarter of its value over the past year, the report relays.

Analysts say the crisis is escalating and looks set to continue,
the report adds.

As reported in the Troubled Company Reporter-Latin America on
December 4, 2017, Moody's Investors Service has upgraded the
Government of Argentina's local and foreign currency issuer and
senior unsecured ratings to B2 from B3. The senior unsecured
shelves were upgraded to (P)B2 from (P)B3. The outlook on the
ratings is stable.  At the same time, Argentina's short-term
rating was affirmed at Not Prime (NP). The senior unsecured
ratings for unrestructured debt were affirmed at Ca and the
unrestructured senior unsecured shelf affirmed at (P)Ca.

Moody's said the key drivers of the upgrade of the rating to B2
are: (1) a record of macro-economic reforms that are beginning to
address long existing distortions in Argentina's economy; and (2)
the likelihood that reforms will continue and in turn sustain
the recent return to positive economic growth.

The stable outlook on Argentina's B2 ratings balances Argentina's
credit strengths of its large, diverse economy and moderate income
levels against the credit challenges posed by still high fiscal
deficits and a reliance on external financing, which increases its
vulnerability to external event risk, said Moody's.

On Nov. 10, 2017, Fitch Ratings revised Argentina's Outlook to
Positive from Stable and has affirmed its Long Term Foreign-
Currency Issuer Default Rating (IDR) at 'B'.

On Oct. 30, 2017, S&P Global Ratings raised its long-term
sovereign credit ratings on the Republic of Argentina to 'B+' from
'B'. The outlook on the long-term ratings is stable.  S&P also
affirmed its short-term sovereign credit ratings on Argentina at
'B'. At the same time, S&P raised its national scale ratings to
'raAA' from 'raA+'. In addition, S&P raised its transfer and
convertibility assessment to 'BB-' from 'B+', in line with its
assessment of sustained local access to foreign exchange.

As previously reported by the TCR-LA, Argentina defaulted on some
of its debt late July 30, 2014, after expiration of a 30-day grace
period on a US$539 million interest payment.  Earlier that day,
talks with a court-appointed mediator ended without resolving a
standoff between the country and a group of hedge funds seeking
full payment on bonds that the country had defaulted on in 2001.
A U.S. judge had ruled that the interest payment couldn't be made
unless the hedge funds led by Elliott Management Corp., got the
US$1.5 billion they claimed. The country hasn't been able to
access international credit markets since its US$95 billion
default 13 years ago. On March 30, 2016, Argentina's Congress
passed a bill that will allow the government to repay holders of
debt that the South American country defaulted on in 2001,
including a group of litigating hedge funds that won judgments
in a New York court. The bill passed by a vote of 54-16.


ARCOR S.A.I.C.: Fitch Affirms LC IDR at 'BB' & FC IDR at 'B+'
--------------------------------------------------------------
Fitch Ratings has affirmed the long-term, local-currency Issuer
Default Ratings (LC IDR) of Arcor S.A.I.C (Arcor) at 'BB' and the
senior unsecured notes at 'BB-/RR3'. In conjunction with these
rating actions, Fitch affirmed Arcor's foreign-currency (FC) IDRs
at 'B+', one notch higher than the 'B' Country Ceiling of
Argentina.

The affirmation of the ratings reflects Arcor's resilient
operating performance, despite high inflation and challenging
economic conditions. It also reflects Fitch's expectation that the
company will reduce leverage quickly and maintain a conservative
capital structure.

The Positive Outlook on Arcor's FC IDR mirrors the sovereign
rating Outlook for Argentina. The LC IDR Outlook is Stable.

The affirmation of Arcor's notes at 'BB-'/'RR3' reflects above-
average recovery expectations for these obligations, as it is
Fitch's belief that a default on debt denominated in a foreign
currency by Arcor would be driven by exchange controls rather than
a deterioration of its solid financial profile or strong business
position.

KEY RATING DRIVERS

FC IDR Above Country Ceiling: Fitch's criteria for rating FC IDRs
higher than an issuer's applicable Country Ceiling takes into
consideration the relationship between 12 months of foreign
currency debt service and cash held abroad, cash generated by
exports, undrawn committed credit lines and cash flow from foreign
operations. If the ratio of these factors covers debt service by
more than 1.0x-1.5x for 12 months, issuers' FC IDRs may be notched
one level above the applicable Country Ceiling. Fitch has notched
up the FC IDR of Arcor to 'B+' from Argentina's 'B' Country
Ceiling because of the cash it holds abroad, cash generation from
its operations outside of the country and exports. Combined, these
items cover its annual debt service by more than 1.5x.

Deleveraging Expected: Arcor's credit leverage peaked in 2017 as a
result of the Zucamor acquisition and dividends paid to
minorities. Fitch expects Arcor's gross debt/EBITDA ratio to
improve to below 3x in 2018 from 3.8x in 2017 due to increased
EBITDA thanks to the improved consumer environment in Argentina,
the full contribution of Zucamor and improved FCF. The company's
solid business profile but moderate operating scale when compared
with international players are key credit factors that support its
'BB' local-currency rating.

Growth: Fitch expects Arcor to continue to consolidate its
leadership position in Latin America. However, Fitch does not
factor in any large M&A transaction in 2018 due to the integration
of Zucamor S.A. (Zucamor), a packaging company that Arcor acquired
for USD128 million plus the assumption USD102 million of debt in
July 2017. The company has been growing organically through
strategic partnerships and acquisitions to enhance its geographic
footprint, product diversification and increase its size to gain
economy of scale. The group has also increased its participation
in Mastellone Hermanos S.A. (Mastellone), a leading dairy producer
in Argentina and owns 40.2% Mastellone jointly in Bagley Argentina
(its joint venture with Danone Group). The group can acquire up to
49% stake of Mastellone by 2020.

Strong Business Position: Arcor's ratings reflect its strong
business position as a leading Latin American producer of
confectionary and cookie products. The company's vertical
integration ensures the quality of supplies as well as the
availability of main inputs. Arcor's brand names and distribution
platform support its leading market shares in chocolates, candies,
cookies and packaging in its main market of Argentina. The
company's brands reach consumers in 120 countries. Argentina
(including exports to third parties) contributed to 73% of Arcor's
revenues and 93% of its EBITDA in 2017. The balance of its
revenues and EBITDA came from the Andean region (10% and 8%,
respectively) and Brazil (9% and negative 4%, respectively).

DERIVATION SUMMARY

Arcor is well-positioned in its rating given its vertically-
integrated model as a leading Latin American producer of
confectionary and cookie products. The group's export capacity and
presence in several countries in Latin America outside of
Argentina support the FC IDR ratings. A constraining factor on the
business profile is Arcor's moderate size relative to other large
consumer goods companies such as Mondelez International Inc.
(BBB/Stable), Unilever NV(A+/Negative), Nestle (AA-/Stable) or
Grupo Bimbo S.A. de CV (BBB/Stable Outlook), which have achieved a
global presence in developed and developing markets.

Arcor's leverage is low relative to its 'B+' FC IDR and 'BB' LC
IDR. The conservative rating relative to its credit metrics
reflect the fact that most of Arcor's EBITDA is generated in
Argentina (B/Positive) and the company has been reporting losses
in Brazil for many years. Upgrades of Argentina's sovereign rating
would be viewed positively for all of the company's ratings, as an
upgrade of the countries' credit rating would be reflective of a
better economic environment and improved financial access for the
government and private companies.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within its Rating Case for the Issuer

  -Revenues growth in line with inflation;

  -EBITDA margin of about 10.5%-11.0%;

  -Capex of about USD80 million;

  -Debt/EBITDA below 3x in 2018.

KEY RECOVERY RATING ASSUMPTIONS

Fitch believes that a debt restructuring would like occur under
economic conditions that result in the government imposing
transfer and convertibility restrictions that would prevent the
company from paying its creditors despite having operating cash
flows that are consistent with its position as the leading
producer of confectionary and cookie products in Argentina.
Therefore, Fitch has performed a going concern recovery analysis
for Arcor that assumes that the company would be reorganized
rather than liquidated.

Key Going-Concern Assumptions Include:

Arcor would have a going-concern EBITDA of ARS3.1billion. This
very conservative figure is 35% below the company LTM EBITDA of
ARS4.7 billion. It takes into consideration factors such as
intense price competition, depressed consumer environment, cost
inflation and currency risks.

A distressed multiple of 6.5x, which reflects the company's well-
established brands in the confectionary, cookies and packaging
segments.

A distressed entreprise value (EV) of AR18.2 billion (post 10% of
administrative claims).

Total debt of ARS16.5 billion. The recovery performed under this
scenario resulted in a recovery level of 'RR1', which is an
anticipated range of 91%-100%. Because of the 'RR4' cap for
Argentine corporates, Fitch would typically limit the recovery for
the senior unsecured bond at 'RR4' despite a higher projected
recovery. However, Fitch's criteria 'Country-Specific Treatment of
Recovery Ratings' allows issuers' debt instruments to be rated one
notch above its long-term FC IDR if the long-term LC IDR of the
company is rated two notches above the long-term FC IDR.

This notching for debt instruments of companies that are
materially stronger than their FC IDR indicates on a standalone
basis reflects Fitch's belief that these issuers would default due
to exchange controls rather than a deterioration of the company's
business position and financial profile. In these instances,
issuers are not incentivized to fight their creditors in an
attempt to get large haircuts on the principal of their
outstanding debt. They only need relief on the timing of payments
until the debt payment moratoriums are lifted. This criterion
applies to Arcor's Recovery Ratings, as the company's LC IDR is
'BB' and its FC IDR is 'B+'. It has resulted in its unsecured bond
being rated 'BB-/RR3', or one notch above its long-term FC IDR.

RATING SENSITIVITIES

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

  --An upgrade of Argentina's sovereign rating could lead to an
upgrade of Arcor's FC IDR given the high cash generated from
Argentine operations;

  --Higher than expected cash generation from investment-grade
countries, such as Chile, Mexico or a turnaround of performance in
Brazil, would be viewed positively and could lead to a two-notch
rating uplift for the FC IDR from the country ceiling (currently
this rating has received a one-notch uplift);

  --Gross debt/ EBITDA at about 2.5x on a sustained basis could
lead to a Positive Outlook or Upgrade of the LC IDR.

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

  --Debt to EBITDA above 4x on a sustained basis

  --Debt service ratios of exports, cash abroad and committed bank
lines not covering 1.5x hard currency interest expenses and debt
amortisation over a period of 24 months.

LIQUIDITY

As of Dec. 31, 2017, Arcor had ARS2.6 billion of cash and cash
equivalents and short-term debt of ARS4.2 billion, which is about
25% of total debt; 59% of the debt was in US dollars. Most of the
short-term debt is bank debt. The company has strong access to
bank lines to finance exports. The USD500 senior unsecured note is
due in 2023.

FULL LIST OF RATING ACTIONS

Fitch has affirmed the following ratings:

  --Long-term, foreign -currency IDR 'B+'; Outlook Positive;

  --Long-term, local-currency 'BB'; Outlook Stable;

  --International senior unsecured bonds 'BB-/RR3'.


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B A R B A D O S
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BARBADOS: Turns to Private Sector for Foreign Reserves Bail-Out
----------------------------------------------------------------
Caribbean360.com reports that Barbados' foreign reserves problem
is so serious that Government is seeking a US$60 million to US$70
million bail-out from the private sector.

Governor of the Central Bank Cleviston Haynes revealed that for
the first time in 27 years, the bank was requesting the private
sector to repatriate some of its overseas funds as Government
faced a major foreign loan payment next month, according to
Caribbean360.com.

But the private sector funds will not be enough, says the report.

The report notes that Mr. Haynes, who delivered the first-quarter
economic review during a press conference at the bank, said
Government's effort to divest assets, including the Barbados
National Terminal Co. Ltd and the Hilton Barbados property, needed
to proceed so that the reserves problem could be fixed.

His concerns came as the Central Bank reported that "higher public
sector debt service obligations than usual contained the growth of
international reserves at the Central Bank to $14 million for the
period," the report relays.

"As a result, the import cover of 6.9 weeks at the end of March
remained below the 12-week minimum holding that the bank considers
as adequate," the report quoted Mr. Haynes as saying.

Barbados' reserves were $423 million at the end of March, compared
to $709.4 million in the same quarter last year, the report
relays.

With the island due to service the US$225 Credit Suisse loan next
month and in December, Haynes said the authorities could not
afford to take any chances with the falling reserves, the report
notes.

"In 1991 as part of the adjustment effort, several private sector
entities came together and provided on a voluntary basis, support
to the Central Bank to help keep our liquidity at a certain level
which we went through the adjustment phase. And once the
adjustment was over, we were able to return those funds to those
individuals," he said, the report discloses.  "The bank
contemplates that we will do some similar exercise on this
occasion. We do so on the understanding that in the early 2000s,
the bank allowed some of our corporate entities, particularly in
the financial sector which had large investment balances, to
invest some of those balances abroad on the condition that should
the country need them in the future, that those funds would be
returned to assist as they were done in '91."

The report notes that Mr. Haynes added that the private sector
funds would be sought on the understanding that "we would
reciprocate in much the same way as we did once the challenge was
over . . . by allowing them to take those funds back out.

"That is what we envisage and therefore in that context we
anticipate that we should be able to stabilize the foreign
reserves during this second quarter once we start to receive those
funds," he said, the report relays.

In his presentation, Mr. Haynes also reported that the Barbados
economy contracted in the first quarter of this year by 0.7 per
cent.

He said that performance reflected a decline in real output from
the tourism sector, a slowdown in construction activity, the late
start to the annual sugar harvest and the slowdown in domestic
demand, the report relays.

The Governor said the fiscal deficit fell by almost 1.5 per cent
to 4.2 per cent in the fiscal year which was above the small
surplus targeted by Government in the May 2017 Budget, the report
notes.

The report discloses that Mr. Haynes said the Bank's growth
forecast is now in the region of -0.25 to 0.25 per cent. This is
down from the 0.5 per cent to one per cent projected at the end of
last year.

The economist said improving the outlook requires Government's
fiscal strategies to embrace durable expenditure reforms,
including for state-owned enterprises and improved tax
administration, the report adds.


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BRAZIL: Braces for Next Wave of Venezuelan Immigrants
-----------------------------------------------------
Eduardo Davis and Boa Vista at EFE News report that the Brazilian
government is preparing to set up new inns for refugees in Roraima
state in expectation of an eventual new wave of Venezuelan
immigrants, who since last year have been arriving in the
thousands to this northern region of the country.

"We can't afford to be surprised" by another exodus, said Gen.
Eduardo Pazuello, head of the humanitarian operation deployed to
help Venezuelans in the border city of Pacaraima and in the
Roraima capital of Boa Vista, according to EFE News.

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2018, Fitch Ratings has downgraded Brazil's Long-Term
Foreign Currency Issuer Default Rating (IDR) to 'BB-' from 'BB'
and revised the Rating Outlook to Stable from Negative.


CAP SA: S&P Affirms 'BB+' Global-Scale Rating, Outlook Stable
-------------------------------------------------------------
S&P Global Ratings affirmed its global-scale rating on CAP S.A. at
'BB+'. We have also affirmed our issue-level rating on CAP's
senior unsecured notes at 'BB+'. The outlook on the corporate
rating is stable.

S&P said, "The affirmation reflects our expectations that the
company will continue to present strong financial metrics backed
by resilient free cash flow generation and overall low
indebtedness. We expect the company to continue focusing on
improving the efficiency of its assets, which will partly offset
the effects of volatile iron ore prices and pellet premiums.
However, improvements will demand an increasing investment
pipeline over the next few years and fairly stable leverage. We
also expect the company to continue benefiting from its niche
market position, with higher grade iron ore products (63%-68% iron
content), some integration into the steel market, and an overall
prudent capital expenditures (capex) strategy, to offset the risks
inherent to the iron ore industry--especially when considering its
small scale of operations and the impact on EBITDA and cash
generation in downward pricing cycles.

"The stable outlook reflects our expectation that CAP will be able
to increase investments in its current operations thanks to its
resilient cash generation and flexibility in its product mix, as
well as efficiency in producing higher value-added products to
offset the volatility of iron ore prices over the next 12 months.
We expect that the company's steel, infrastructure, and logistics
businesses will continue to contribute positively to CAP's cash
generation. Thus, we expect credit metrics to remain strong over
the next several quarters, such as debt to EBITDA of about 0.6x,
FFO to debt above 100%, and positive FOCF generation in 2018,
despite higher capex levels. Our current analysis does not
incorporate any material acquisition or sizeable new projects in
the medium term."


USINAS SIDERURGICAS: Fitch Hikes IDRs to 'B+', Outlook Pos.
-----------------------------------------------------------
Fitch Ratings has upgraded Usinas Siderurgicas de Minas Gerais
S.A.'s (Usiminas) Long-Term Foreign and Local Currency Issuer
Default Ratings (IDRs) to 'B+' from 'B' and its National Scale
rating to 'A-(bra)' from 'BBB-(bra)'. The Rating Outlook has been
revised to Positive from Stable.

The upgrade reflects the ongoing improvements in Usiminas' credit
risk profile, supported by growing operating cash flow generation
due to better prices and volumes, as well as efficiency gains
achieved through various measures such as closing the primary area
of its Cubatao plant. The upgrade also reflects the improved debt
profile and the recent shareholders agreement, which should result
in unified business strategy for the company.

The Positive Outlook is supported by Fitch's expectation that
Usiminas' credit profile and financial flexibility will be further
enhanced over the medium term. Fitch forecasts Usiminas's net
leverage ratio will remain below 2.0x through the next few years.
The sustainability of strong domestic steel prices and growing
volumes, in a scenario of continued uncertainty over the pace of
Brazil's economic recovery, will be key to support this low
leverage and positive rating actions in the next 24 months.

Usiminas' current financial flexibility is considered low as all
of its outstanding debt is secured and the company's debt
obligations are structured with a cash sweep mechanisms, both part
of its 2016 debt restructuring agreement. Usiminas' ability to
raise new unsecured debt at attractive costs in order to refinance
most or all of its existing debt agreement would lead to improve
liquidity, better financial flexibility and an overall lower
credit risk profile.


KEY RATING DRIVERS

Business Position Hampered by Recession: Usiminas is the leading
flat steel producer in Brazil, with a 34% market-share and strong
position in the local automotive industry. The company has
operations in multiple segments of the steel value chain including
mining, capital goods, services and distribution centers.
Usiminas' initial strategy was to operate under a vertically
integrated business model including operations in iron ore and
energy. The severe deterioration of the local steel industry over
the last several years coupled with its high cost mining
operations relative to peers resulted in the company adjusting its
business model to adapt to the much weaker economic environment.
The company halted the primary operations of one of its mills
(Cubatao), maintaining only the rolling operations, which are
supplied by third parties' input.

Better Local Industry Fundamentals: Fitch expects flat steel
volumes in Brazil to show a moderate recovery during 2018 of about
7%. The scenario of relatively favorable steel prices in the
global market plus the weak Brazilian Real are key factors in the
ongoing prices hikes in the local market, which have been
fundamental for the Brazilian steel producers. Import levels
remain a concern for domestic steel players; however, this has
been kept at manageable levels due to the weakness of the Real.
The automotive and agribusiness sectors will be key drivers of
this growth as business activity in several other sectors remains
stagnant. Further demand recovery will largely depend on
improvement in overall Brazilian macroeconomic drivers. Fitch
recognizes that Usiminas has minimal direct exposure to the United
States' more restrictive trading policies, due to its low exports
volume to this market and the expected quotas agreement for the
Brazilian producers.

Ongoing EBITDA Improvements: The scenario of increasing volumes
and better prices in all of Usiminas' segments have supported its
revenue expansion, while its efficient cost initiatives program
over the last few quarters are helping to sustain better operating
margins despite higher raw material prices. Brazilian flat steel
apparent demand increased approximately 11% to 11.4 million tons
in 2017. Usiminas' strategy to resize its operation to the new
reality of the Brazilian flat steel market has been well executed.
These initiatives together with improving product mix (focus on
galvanized products) have boost Usiminas' EBITDA generation.
Fitch's base case projects EBITDA generation of around BRL2.4
billion in 2018, a significant improvement from BRL437 million
during 2016 and BRL200 million in 2015, in accordance with Fitch's
calculations.

Capex Strategy to Drive FCF Trend: The improved volume and price
mix associated with lower interest expenses, following the decline
of local interest rates (Selic), and supressed capex levels
(average of BRL220 million) have allowed Usiminas to restore its
positive free cash flow (FCF) generation over the last few
quarters. During 2017, Usiminas' CFFO was BRL584 million, and
during the latest-12-month (LTM) period ended on March 30 2018, it
was BRL836 million. FCF reached BRL350 million during 2017 and
BRL564 million during LTM March 2018, both excluding BRL201
million of non-recurring cash inflow from Porto do Sudeste. For
2018, Fitch expects CFFO to reach BRL860 million, after BRL971
million of working capital requirements, and FCF of BRL304
million, after BRL500 million of capex. For 2019, Fitch expects
CFFO to reach BRL1.1 billion, benefit from more normalized working
capital requirements.

Deleveraging Process: Usiminas has successfully completed all
stages of its debt restructuring plan. The company received a BRL1
billion capital injection, up-streamed BRL700 million of cash from
its jointly-controlled iron ore subsidiary and extended 92% of its
debt maturities for 10 years, with a three-year principal grace
period. Per Fitch's criteria, Usiminas' total debt was BRL6.2
billion as of March 31 2018, a reduction of BRL1.1 billion when
compared to Dec. 2016. Usimina's net leverage, measured by Fitch's
Net Adjusted Debt/EBITDA ratio, was 2.3x, a significant
improvement from the 9.4x reported during 2016. Fitch expects
Usiminas' net leverage to be below 2.0x during 2018 and 2019.

End to Shareholders Disputes: Usiminas new shareholders agreement
should bring more stability to its long term strategy with Board
and management team working together. After over four years of
intense disputes, disagreements and legal actions, Usiminas'
controlling shareholders, Ternium and Nippon Steel, finally agree
to cooperate mutually. The agreement between the controlling
shareholders of Usiminas also sets rules for appointment of
Chairman, Board members, CEO and Directors. It also establishes an
exit clause to be used in future disagreements, and both companies
agreed to amicably terminate all pending disputes.

DERIVATION SUMMARY

Usiminas has relatively similar business risk to its peer
Companhia Siderurgica Nacional (CSN; B-/RWN) in that both
companies are highly exposed to the local steel industry in
Brazil. While CSN shows greater business diversification with
larger mining operations and operations in the cement industry as
well, Usiminas robust business position in its niche markets and
strong operating margins are a competitive advantage. Both players
show much weaker business position compared to the other Brazilian
steel producer Gerdau S.A (Gerdau; BBB-/Stable), that has a
diversified footprint of operations with important operating cash
flow generated from its assets abroad, mainly in US, and flexible
business model that allow it to better withstand economic and
commodities cycles.

From a financial risk perspective, Usiminas and CSN are far weaker
than Gerdau, which has been able to maintain positive free cash
flow generation, strong liquidity and no refinancing risks over
the last few years of recession in Brazil. Gerdau's asset sale
strategy has been key to recently improve its credit metrics to
around 2x to 2.5x range. Usiminas strong operating rebound has
significant improved its credit metrics but it still need to show
some consistence. Also further clarification on expected capex
level for 2019 and 2020 are important rating drivers. Usiminas's
current credit metrics looks strong for its rating, but its
limited financial flexibility pressures its credit profile. CSN's
elevated refinancing risk in the short to medium term is a major
concern for its ratings.


KEY ASSUMPTIONS

Fitch's Key Assumptions Within the Rating Case for the Issuer

  --High single digit increase in steel volumes in 2018 and 2019;

  --10% increase in domestic prices in 2018 and a modestly decline
from 2019 on;

  --BRL500 million in capex in 2018 and BRL900 million in 2019;

  --Dividends at 25% of Net Income;

  --Iron ore prices follow Fitch's mid-cycle commodity price
assumptions (USD55 in 2018 and 2019);

RATING SENSITIVITIES

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

  --Clear definition on future capex requirements for the
resumption of Cubatao operations that are manageable for the
company;

  --Maintenance of net leverage ratio to levels 2.0x-2.5x through
the capex cycle;

  --Improving liquidity and financial flexibility;

  --Maintenance of strong FCF generation,

  --Faster than expected recovery of the local steel industry in
Brazil.

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

  --Maintenance of net leverage ratio to levels above 4.0x;

  --Significant adverse changes in industry dynamics, or a
stronger BRL valuation leading to significant inflow of import
steel products in Brazil;

  --Return of shareholders disputes.

LIQUIDITY

Limited Financial Flexibility: Usiminas' cash and marketable
securities as of March 31, 2018 were BRL1.5 billion, but Fitch
believes readily available cash to Usiminas to be only around
BRL961 million. Around BRL600 million of the consolidated cash,
Fitch assumes is allocated at Musa, its mining joint venture.
Given the cash sweep mechanism, measured in June 30 and December
31 - the company has the obligation to use surplus cash at the
holding level to pay creditors. During 1Q18, Usiminas was obliged
to amortize BRL379 million of debt due to the structure of its
cash sweep.

As of March 31, 2018 Usiminas total consolidated debt was BRL6.2
billion, this includes BRL527 million of short-term forfaiting
transaction that Fitch includes in the calculation. Around 99% of
the consolidated debt was at the holding level. Following the debt
agreement, Usiminas debt schedule amortization was lengthened
which improved its refinancing risk. As of March 21 2018, around
BRL550 million is due in the short term (BRL527 million of
forfaiting), BRL79 million in 2019, BRL399 in 2020, BRL745 in 2021
and the remaining after 2022.

FULL LIST OF RATING ACTIONS

Fitch has upgraded Usiminas' ratings as follows:

  --Long-Term Foreign Currency IDR to 'B+' from 'B';

  --Long-Term Local Currency IDR to 'B+' from 'B';

  --National Scale rating to 'A-(bra)' from 'BBB-(bra)';

Fitch has revised the Rating Outlook to Positive from Stable.


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


SIXSIGMA NETWORKS: S&P Rates New $300MM Senior Unsecured Notes BB-
------------------------------------------------------------------
S&P Global Ratings assigned its 'BB-' issue-level rating on
Sixsigma Networks Mexico, S.A. de C.V.'s (KIO Networks; BB-
/Stable/--) proposed senior unsecured notes for $300 million due
2025. S&P is also assigning its '3' recovery rating to the notes,
indicating its expectation for a meaningful (50% to 70%; rounded
estimate: 60%) recovery in the event of payment default. The
issue-level rating on the proposed notes is the same as the
corporate credit rating.

Kio Networks will use proceeds to repay the outstanding amount of
$230 million of its $500 million senior unsecured notes due 2021,
$14 million to pay the call premium for the redemption of the 2021
notes, and the remaining $56 million for general corporate
purposes (mainly capex).

"We believe the company will have  headroom under its covenant in
2018, given that the new notes will have an incurrence covenant of
a net consolidated debt to EBITDA ratio no greater than 4.25x. We
believe the new notes will extend Kio Networks' maturity debt
profile to seven years from three, and we expect the company to be
able to issue these notes with a lower interest rate and generate
some interest savings in the future.

"Although the new notes will increase the company's expected gross
debt to EBITDA  in 2018 to 4.0x and decrease funds from operations
to gross debt to 23.6%, the five-year weighted average for these
metrics is still commensurate with the current rating.
Additionally, Kio Networks has a cash position of MXN2.3 billion
as of Dec. 31, 2017, which enhances its liquidity position.

"Although key credit metrics could qualify for a better financial
risk profile assessment, our rating incorporates the financial
sponsor ownership of KIO Networks, given that Tresalia Capital
S.A. de C.V. (not rated), a private equity firm, owns the
controlling interest. We assess the financial-sponsor-owned
companies as having aggressive financial risk profiles to
incorporate the risk of subsequent leveraging, even if the current
balance sheet indicates otherwise.

"The rating reflects the company's continuing expansion in the
public and private sectors, as seen in the signed agreement (the
PITA project [Proyecto de Integraci¢n Tecnol¢gica Aduanera]) with
the Mexican fiscal authorities to provide managed services for the
next four years. The total contract value is MXN5 billion - MXN9
billion. We expect KIO Networks' revenue to surge as a result of
this new contract and to provide certainty to cash flow
generation.

"The rating continues to reflect the company's small scale, narrow
geographic presence, and slightly lower EBITDA margin than those
of its peers, although the latter is improving. In our view, the
mitigating factor is KIO Networks' leading market position in
Mexico thanks to its long-term contracts with mid- and large-size
customers."

  RATINGS LIST

  Sixsigma Networks Mexico, S.A. de C.V. (KIO Networks)
    Corporate credit rating             BB-/Stable/--

  Ratings Assigned

  Sixsigma Networks Mexico, S.A. de C.V. (KIO Networks)
    Senior unsecured                    BB-
     Recovery rating                    3(60%)


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


QUE GOLAZO: Taps Jimenez Vazquez as Accountant
----------------------------------------------
Que Golazo Inc. seeks approval from the U.S. Bankruptcy Court for
the District of Puerto Rico to hire Jimenez Vazquez & Associates,
PSC.

The firm will provide accounting services necessary to the
Debtor's operations during its Chapter 11 case.

Jose Victor Jimenez, the accountant who will be providing the
services, charges an hourly fee of $155.  His firm received a
retainer in the sum of $2,000.

Mr. Jimenez disclosed in a court filing that he and other
employees
of his firm are "disinterested persons" as defined in section
101(14) of the Bankruptcy Code.

The firm can be reached through:

     Jose Victor Jimenez, CPA
     Jimenez Vazquez & Associates, PSC
     D-1 8 Th., St. Valparaiso
     Toa Baja, PR 00949
     Phone: 787-447-0098
     Fax: 939-338-2362

                         About Que Golazo

Based in San Juan Puerto Rico, Que Golazo, Inc., filed a Chapter
11 petition (Bankr D.P.R. Case No. 18-01468) on March 19, 2018,
estimating under $1 million in both assets and liabilities.  Mary
Ann Gandia-Fabian, Esq., at Gandia-Fabian Law Office, is the
Debtor's counsel.


RISE ENTERPRISES: Seeks 60-Day Plan Exclusivity Period Extension
----------------------------------------------------------------
Rise Enterprises, S.E., requests the U.S. Bankruptcy Court for the
District of Puerto Rico for a 60-day extension of the exclusivity
period and the period for filing Disclosure Statement and Plan of
Reorganization, and to allow a term of 60 days after the order
approving the Disclosure Statement is entered to procure the votes
for the Plan.

The Debtor tells the Court that:

      (a) There are pending negotiations with its creditors that
need to be resolved prior to the filing of the Disclosure
Statement
and Plan of Reorganization.

      (b) The Debtor is meeting its obligations as
debtor-in-possession since Monthly Operating Reports have been
filed and quarterly fees have been paid.

      (c) Any extension of time will not harm the creditors but
rather, it will increase the possibilities of a successful
reorganization.

      (d) The request is made in good faith and without any intent
to cause undue delay to these proceedings.

                     About Rise Enterprises

Rise Enterprises, S.E., sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. D.P.R. Case No. 17-04678) on June 30,
2017.  In the petition signed by Ismael Falcon Ortega, partner,
the Debtor estimated assets of less than $1 million and
liabilities of $1 million to $10 million.  Judge Mildred Caban
Flores presides over the case.  Mary Ann Gandia, Esq., at Gandia-
Fabian Law Office, serves as the Debtor's bankruptcy counsel.


=================
V E N E Z U E L A
=================


VENEZUELA: Opposition Calls for Boycott of May 20 Election
-----------------------------------------------------------
The Rappler reports that Venezuela's opposition on May 3, called
for a boycott of the May 20 presidential election, urging those
running against President Nicolas Maduro to withdraw their
candidacy.

"Don't take part and leave the streets empty," said a statement
issued by the Democratic Unity Roundtable (MUD), the main
opposition coalition, which said it would be a clear sign
"rejecting Maduro's regime and electoral fraud," according to The
Rappler

The report notes that there are only two challengers running
against Maduro, both former supporters of the late Hugo Chavez
supporters who have distanced themselves from the current
government.

The report says that President Maduro's only serious opponent is
Henri Falcon, a 56-year old former mayor and state governor who
has already rejected MUD's calls for a boycott.  The other
candidate is a little-known evangelical pastor called Javier
Bertucci, the report relays.

"We continue to call on Mr. Falcon to refuse to be a part of this
farce," opposition deputy Delsa Solorzano told reporters, the
report notes.

Henry Ramos Allup, former president of the National Assembly, said
the number of people expected to boycott the vote was "dramatic"
with the latest polls suggesting it could be as high as 60%, the
report discloses.

Debt-ridden Venezuela is living through one of its worst crises in
decades, which the International Monetary Fund has described as
one of the worst in modern history, the report says.

Despite having huge reserves of oil, the nation has been ravaged
by hyperinflation, scarcities of basic food and medicine, and
skyrocketing violence that has forced nearly a million Venezuelans
to flee, the report relays.

Even so, President Maduro's reelection looks very likely in the
absence of any real rival to his authority, the report notes.

If the vote goes ahead as planned, it looks set to further isolate
Maduro and his government, the report relays.

Last month, the United States and more than a dozen Latin American
countries warned Venezuela that its presidential election would be
seen as illegitimate by the region unless it restored democratic
standards, the report discloses.

In a statement at the Summit of the Americas, Washington and the
16-nation Lima Group which counts Latin America's biggest
economies, said the poll would be "void of legitimacy and
credibility" if it went ahead under current conditions, the report
adds.

As reported in the Troubled Company Reporter-Latin America on
March 13, 2018, Moody's Investors Service has downgraded the
Government of Venezuela's foreign currency and local currency
issuer ratings, foreign and local currency senior unsecured
ratings, and foreign currency senior secured rating to C from
Caa3. Concurrently, the foreign currency senior unsecured medium
term note program has also been downgraded to (P)C from (P)Caa3.
The outlook has been changed to stable from negative.


VENEZUELA: Supreme Court in Exile Rules Maduro Suspended
--------------------------------------------------------
Carlos Camacho at The Latin American Herald reports that embattled
head of state Nicolas Maduro is suspended and can no longer run
for President of Venezuela, the Venezuela Supreme Court in Exile
said from Panama.

"The Supreme Court of #Venezuela in exile declares the suspension
of @NicolasMaduro as president," Tweeted the court from its
official account, according to The Latin American Herald.

With a terse tweet in Spanish, the court that has had some of its
33 justices jailed and all of them chased out of Venezuela, is
seeking to end the polemical rule of President Maduro, which
started in early 2013 amidst allegations of fraud, accusations of
corruption and questions about his real nationality, the report
relays.

The court is investigating Maduro in connection with the Odebretch
corruption scandal, the report notes.  Executives from the
disgraced Brazilian construction company have said Maduro received
at least $35 million in kickbacks from them, the report discloses.

Shortly after the court's announcement, the Organization of
American States (OAS) recognized the ruling, the report relays.

The report notes that OAS Secretary General Luis Almagro tweeted:
"We recognize the disabling and suspension of Nicolas Maduro as
President of Venezuela decided by the @TSJ_Legitimo", the Twitter
handle of the Supreme Court in exile, which is sitting in Panama,
said.

The court also instructed the opposition-controlled National
Assembly legislative to enforce the decision, the report relays.

However, the legitimately elected National Assembly has been
largely stripped of all its powers and ignored by the Maduro-
controlled Supreme Court, which is sitting in Caracas, the report
discloses.

President Maduro is seeking reelection May 20th in a polemical,
hastily organized vote that has been described as fraudulent by
the opposition and which will not be recognized by the United
States or the European Union, as well as by a dozen-plus Latin
American countries in the "Lima Group," the report adds.

As reported in the Troubled Company Reporter-Latin America on
March 13, 2018, Moody's Investors Service has downgraded the
Government of Venezuela's foreign currency and local currency
issuer ratings, foreign and local currency senior unsecured
ratings, and foreign currency senior secured rating to C from
Caa3. Concurrently, the foreign currency senior unsecured medium
term note program has also been downgraded to (P)C from (P)Caa3.
The outlook has been changed to stable from negative.


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


* BOND PRICING: For the Week From May 30 to April 4, 2018
---------------------------------------------------------

Issuer Name               Cpn     Price   Maturity  Country  Curr
-----------               ---     -----   --------  -------   ---

BA-CA Finance Cayman Lt   0.518    62.07               KY    EUR
AES Tiete Energia SA      6.7842   1.109  4/15/2024    BR    BRL
Argentina Bogar Bonds     2       39.36   2/4/2018     AR    ARS
Automotores Gildemeister  8.25    73.25   5/24/2021    CL    USD
Automotores Gildemeister  6.75    67      1/15/2023    CL    USD
Automotores Gildemeister  8.25    73.25   5/24/2021    CL    USD
Automotores Gildemeister  6.75    65.5    1/15/2023    CL    USD
CA La Electricidad        8.5     63.664  4/10/2018    VE    USD
Caixa Geral De Depositos  1.439   63.167               KY    EUR
Caixa Geral De Depositos  1.469                        KY    EUR
CSN Islands XII Corp      7       68                   BR    USD
CSN Islands XII Corp      7       66.266               BR    USD
Decimo Primer Fideicomiso 6       53.225 10/25/2041    PA    USD
Decimo Primer             4.54    43.127 10/25/2041    PA    USD
Dolomite Capital         13.217   73.108 12/20/2019    CN    ZAR
Enel Americas SA          5.75    56.172  6/15/2022    CL    CLP
Gol Linhas Aereas SA     10.75    35.861  2/12/2023    BR    USD
Gol Linhas Aereas SA     10.75    35.601  2/12/2023    BR    USD
Inversora Electrica       6.5     67.625  9/26/2017    AR    USD
Inversora Electrica       6.5     67.625  9/26/2017    AR    USD
MIE Holdings Corp         7.5     64.78   4/25/2019    HK    USD
MIE Holdings Corp         7.5     64.982  4/25/2019    HK    USD
NB Finance Ltd            3.88    61.816  2/7/2035     KY    EUR
Noble Holding             7.7     74.433  4/1/2025     KY    USD
Noble Holding             5.25    56.279  3/15/2042    KY    USD
Noble Holding             8.7     71.881  4/1/2045     KY    USD
Noble Holding             6.2     60.129  8/1/2040     KY    USD
Noble Holding             6.05    58.38   3/1/2041     KY    USD
Odebrecht Finance Ltd     7.5     42.5                 KY    USD
Odebrecht Finance Ltd     5.125   56.938  6/26/2022    KY    USD
Odebrecht Finance Ltd     7       68.053  4/21/2020    KY    USD
Odebrecht Finance Ltd     7.125   41.366  6/26/2042    KY    USD
Odebrecht Finance Ltd     4.375   40.002  4/25/2025    KY    USD
Odebrecht Finance Ltd     5.25    39.211  6/27/2029    KY    USD
Odebrecht Finance Ltd     6       44.75   4/5/2023     KY    USD
Odebrecht Finance Ltd     5.25    39.018  6/27/2029    KY    USD
Odebrecht Finance Ltd     7.5     42.95                KY    USD
Odebrecht Finance Ltd     4.375   40.363  4/25/2025    KY    USD
Odebrecht Finance Ltd     7.125   41.635  6/26/2042    KY    USD
Odebrecht Finance Ltd     6       52.625  4/5/2023     KY    USD
Odebrecht Finance Ltd     5.125   55.873  6/26/2022    KY    USD
Odebrecht Finance Ltd     7       67.368  4/21/2020    KY    USD
Petroleos de Venezuela    8.5     74.5   10/27/2020    VE    USD
Petroleos de Venezuela    6       30.458  5/16/2024    VE    USD
Petroleos de Venezuela    6       30.517 11/15/2026    VE    USD
Petroleos de Venezuela    9.75    35.677  5/17/2035    VE    USD
Petroleos de Venezuela    9       39.279 11/17/2021    VE    USD
Petroleos de Venezuela    5.375   30.267  4/12/2027    VE    USD
Petroleos de Venezuela    8.5     72.5   10/27/2020    VE    USD
Petroleos de Venezuela   12.75    45.278  2/17/2022    VE    USD
Petroleos de Venezuela    6       30.367  5/16/2024    VE    USD
Petroleos de Venezuela    6       30.387 11/15/2026    VE    USD
Petroleos de Venezuela    9       39.316 11/17/2021    VE    USD
Petroleos de Venezuela    9.75    35.893  5/17/2035    VE    USD
Petroleos de Venezuela    6       28.346 10/28/2022    VE    USD
Petroleos de Venezuela    5.5     30.123  4/12/2037    VE    USD
Petroleos de Venezuela   12.75    45.23   2/17/2022    VE    USD
Polarcus Ltd              5.6     75      3/30/2022    AE    USD
Provincia del Chubut      4              10/21/2019    AR    USD
Siem Offshore Inc         4.04527 69.5   10/30/2020    NO    NOK
Siem Offshore             3.75176 65.75  12/28/2021    NO    NOK
STB Finance               2.05771 56.243               KY    JPY
Sylph Ltd                 2.367   64.438  9/25/2036    KY    USD
US Capital                1.63611 54.774 12/1/2039     KY    USD
US Capital                1.63611 54.774 12/1/2039     KY    USD
USJ Acucar                9.875   67     11/9/2019     BR    USD
USJ Acucar                9.875   67     11/9/2019     BR    USD
Venezuela                13.625   68.25   8/15/2018    VE    USD
Venezuela                 7.75    44.065 10/13/2019    VE    USD
Venezuela                11.95    40.785  8/5/2031     VE    USD
Venezuela                12.75    45.19   8/23/2022    VE    USD
Venezuela                 9.25    39.645  9/15/2027    VE    USD
Venezuela                11.75    40.005 10/21/2026    VE    USD
Venezuela                 9       36.285  5/7/2023     VE    USD
Venezuela                 9.375   37.69   1/13/2034    VE    USD
Venezuela                13.625   72.25   8/15/2018    VE    USD
Venezuela                 7       34.23   3/31/2038    VE    USD
Venezuela                 7       59.19  12/1/2018     VE    USD






                            ***********


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, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A.
Chapman, Editors.

Copyright 2018.  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.
.


                   * * * End of Transmission * * *