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/raid1/www/Hosts/bankrupt/TCRLA_Public/180615.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Friday, June 15, 2018, Vol. 19, No. 118 Headlines B O L I V I A BOLIVIA: Opposition Already Campaigning for 2019 Election B R A Z I L COMPANHIA ENERGETICA: S&P Affirms 'BB-' Corp. Credit Rating CHEMICAL X: Moody's Gives B2 Global Scale Rating to R$50MM Notes HYPERA SA: S&P Affirms 'BB+' Global Scale Corp. Credit Rating USINAS SIDERURGICAS: S&P Raises CCR to 'B', Outlook Positive VTR FINANCE: S&P Affirms 'B+' CCR & B+ Rating on $1.4BB Notes C O L O M B I A BANCO DE BOGOTA: S&P Affirms 'BB+/B' Issuer Credit Ratings D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Needs to Bolster Productive Apparatus E L S A L V A D O R EL SALVADOR: Fitch Affirms 'B-' LT Foreign Currency IDR J A M A I C A * JAMAICA: Deal Signed to Improve Towage Services at Kingston Port N I C A R A G U A NICARAGUA: Moody's Alters Outlook to Stable, Affirms Issuer Rating P U E R T O R I C O JC PENNEY: Moody's Lowers CFR to B2, Outlook Stable PUERTO RICAN PARADE: Hires Sergio & Banks as Real Estate Broker PUERTO RICAN PARADE: Court Denies Approval of Disclosure Statement STAR BODY: Seeks to Hire GSP LAW as Counsel SPANISH BROADCASTING: Stockholders Elected 6 Directors U R U G U A Y NARANJAL/LITORAL ISSUER 2: Moody's Rates $11MM Sub. Notes 'Ba2' - - - - - ============= B O L I V I A ============= BOLIVIA: Opposition Already Campaigning for 2019 Election --------------------------------------------------------- The Bolivian government said Wednesday that the opposition had already started campaigning, one year ahead of the 2019 election, with no program beyond defeating President Evo Morales. "An early electoral campaign has already been launched," Vice President Alvaro Garcia Linera told reporters during a press conference at the Palace of Government in La Paz. As reported in the Troubled Company Reporter-Latin America on May 28, 2018, S&P Global Ratings lowered its long-term foreign and local currency sovereign credit ratings on Bolivia to 'BB-' from 'BB'. At the same time, S&P affirmed its 'B' short-term foreign and local currency ratings. The outlook on the long-term ratings is stable. =========== B R A Z I L =========== COMPANHIA ENERGETICA: S&P Affirms 'BB-' Corp. Credit Rating ----------------------------------------------------------- S&P Global Ratings affirmed its 'BB-' global scale and 'brAA-' Brazil national scale corporate credit ratings on CESP - Companhia Energetica de Sao Paulo (CESP), both with a stable outlook. The company's 'bbb-' stand-alone credit profile (SACP) remains unchanged. The 'bbb-' stand-alone credit profile (SACP) reflects S&P's view that CESP will maintain its very low leverage over the next few years in spite of its increasing dependence on third-party energy to meet its power contracts. Nevertheless, the ratings remain capped by those on its controlling shareholder, the state of Sao Paulo (BB-/Stable/--; brAA-/Stable/--). Although S&P doesn't envision a scenario of government intervention in the near-term, the ratings are constrained by the absence of a legal framework that could protect the company from a potential negative intervention from its controlling shareholder during a hypothetical scenario of default and/or financial distress. The stable outlook mirrors that on p.the state of Sao Paulo, as the controlling shareholder's credit quality caps the company's rating. S&P doesn't expect an upgrade in the short-term since the ratings are currently capped by those on the state of Sao Paulo. CHEMICAL X: Moody's Gives B2 Global Scale Rating to R$50MM Notes ---------------------------------------------------------------- Moody's America Latina has assigned definitive ratings of Baa3 (sf) (Global Scale, Local Currency) and Aaa.br (sf) (Brazilian National Scale) to the senior shares, and B2 (sf) (Global Scale, Local Currency) and Ba1.br (sf) (Brazilian National Scale) to the subordinate mezzanine shares issued by Chemical X - FIDC Industria Petroquimica, a revolving securitization backed by a pool of trade receivables originated by Braskem S.A. (Ba1 stable). The complete rating actions are as follows: Issuer: Chemical X - FIDC Industria Petroquimica (Chemical X - FIDC) R$635,600,000, CDI + 0.85%, Senior Shares, Definitive Ratings Assigned Baa3 (sf) (Global Scale, Local Currency) and Aaa.br (sf) (Brazilian National Scale) R$50,400,000, CDI + 2.40%, Subordinated Mezzanine Shares, Definitive Ratings Assigned B2 (sf) (Global Scale, Local Currency) and Ba1.br (sf) (Brazilian National Scale) RATINGS RATIONALE Chemical X - FIDC is a close-ended FIDC and has a final legal maturity of 60 months from closing. Moody's assigned definitive ratings to the senior shares and to the mezzanine shares. Moody's bases the ratings on the following factors: - Credit enhancement in the form of subordination for senior shares ranging from 9.09% to 13.04% to mitigate losses due to obligor default or dilution. The minimum subordination level for the mezzanine shares is 2%. - The adequate eligibility criteria of the trade receivables, represented by electronic invoices to be acquired by the issuer, which include concentration limits by client, delinquency by client and maximum term of the trade receivables. The maximum individual obligor concentration limit is 3% - Low and stable historical delinquency and dilution levels of the sellers' trade receivables portfolio. - Very low commingling risk as payments by obligors are made directly to the fund's segregated account that it maintains at Banco Bradesco S.A. (Ba2 long-term bank deposit rating, Global Scale, Local Currency; and Aa1.br, Brazilian National Scale) - Braskem's sound track record sponsoring and servicing securitization transactions and the stable performance of these previous transactions. Chemical X -- FIDC is Braskem Group's tenth securitization of its trade receivables portfolio. The performance of past transactions has been in line with the original assumptions that Moody's used to rate the transactions. During the initial 54-months of the transaction, the fund will not make principal payments to the senior and mezzanine shares and interest payments will be paid on a semi-annual basis. After the end of the grace period, the transaction will enter a final 6- month amortization period, when it will make monthly principal and interest payments. Senior and mezzanine shares will follow the same amortization schedule. Amortization payments to the mezzanine shares will only be allowed (1) after the fund has made the scheduled senior amortization payments; and (2) as long as the fund maintains the minimum senior subordination ratio. As long as there are senior and mezzanine shares outstanding, partial amortization payments to junior subordinated shares are allowed upon a unanimous consent of all subordinated shares investors, provided that the minimum subordination level for senior and mezzanine shares is met. Commingling risk is mitigated because obligors are instructed to pay directly into a segregated account in the name of the fund by means of pay slips that Banco Bradesco and other selected collection banks generate. The seller must remit any monies they receive to the segregated account within two business days. A non- automatic acceleration event (evento de avaliaáao) is triggered if payments made directly to the seller's account are higher than 5% of fund's net assets for two consecutive months or three alternates months over a 12 months horizon. The seller will act as primary servicer. Moody's analyzed the seller's receivables pool for the 36-month period reviewed by E&Y starting in October 2014 and ending in September 2017. During this period, Braskem generated BRL 95.4 billion of trade receivables from approximately 1,019,180 separate invoices. As modeling input assumptions, Moody's used a central mean of 0.30% monthly dilutions and 0.11% monthly losses over the outstanding balance, and it assumed portfolio turnover of 30 days. Moody's calculated loss assumptions using as a proxy delinquencies from 91 to 120 days past due receivables over the total pool. Moody's sensitivity analysis provides a quantitative, model- indicated calculation of how Moody's rating of a structured finance security could vary if certain input parameters used in the initial rating process differed. Moody's key ratings model assumptions for this transaction are Braskem's rating, loss rate and dilution rate. Stress scenarios: If Moody's downgraded Braskem's rating to Ba2 from Ba1 and the loss rate and dilution rate doubled, the ratings on the senior and mezzanine shares would remain the same. Factors that would lead to an upgrade or downgrade of the ratings: Factors that may lead to a downgrade of the ratings include an increase in defaults and dilution levels beyond the level Moody's assumed when rating this transaction and a deterioration in the credit quality of Braskem. The performance of Braskem's trade receivables, may be affected, among other factors, by international competition in the petrochemical industry and a severe economic downturn. HYPERA SA: S&P Affirms 'BB+' Global Scale Corp. Credit Rating ------------------------------------------------------------- S&P Global Ratings affirmed its 'BB+' global scale and 'brAAA' Brazilian national scale corporate credit ratings on Hypera S.A. (Hypera). The outlook remains stable. S&P said, "The ratings affirmation reflects our expectation that Hypera will continue to have solid cash flow generation resulting from its growing pipeline of new drugs launching, the consistent maturation of its existing branded prescription portfolio, and its strict control of costs and expenses. These factors should enable its profitability to remain above the industry average, with an EBITDA margin between 34.5% and 36.5% in the next two years. We also expect the company to continue showing prudent financial policies regarding shareholder remuneration and debt-financed acquisitions. We expect Hypera to focus on sustaining low debt levels, despite its aggressive acquisitive history." USINAS SIDERURGICAS: S&P Raises CCR to 'B', Outlook Positive ------------------------------------------------------------ S&P Global Ratings raised its global scale corporate credit ratings on Usinas Siderurgicas de Minas Gerais S.A. (Usiminas) to 'B' from 'B-' and the national scale ratings to 'brBBB' from 'brBB'. The outlook on the corporate credit ratings remains positive. S&P said, "At the same time, we raised the issue-level national scale rating on Usiminas' senior secured debentures to 'brBBB' from 'brBB'. We've raised the recovery rating on Usiminas' senior secured debentures to '3' from '4', given we now expect a meaningful recovery of 55% (rounded estimate)." The upgrade reflects the company's quickly improving financial metrics, which S&P expects will continue to be supported by: -- Gradually increasing demand for flat steel in the domestic market; -- Slightly higher flat steel prices as demand recovers and supportive global prices keep imports controlled; -- Higher output of iron ore to be sold to third parties from mining subsidiary Mineraáao Usiminas S.A. (MUSA; not rated); a and -- Usiminas' focus on a higher margin product mix and lean operations to optimize cash generation. S&P said, "As operations continue to improve, we expect Usiminas to pay debts as they come due and according to the cash sweep mechanism in its debt restructuring agreement--meaning that the company will use all cash generated in the year to prepay future amortizing debt, which will further improve metrics. Although we also expect the company to increase investments in the next two years to the extent allowed in the cash sweep agreement, we believe that disbursements will remain manageable given the company's now robust cash generation. We also think the lower leverage will help mitigate the still uncertain recovery of industrial activity and potentially volatile demand and prices, especially during the presidential election this year." VTR FINANCE: S&P Affirms 'B+' CCR & B+ Rating on $1.4BB Notes ------------------------------------------------------------- S&P Global Ratings affirmed its 'B+' corporate credit rating on VTR Finance B.V. (VTR). The outlook is stable. S&P also affirmed its 'B+' issue-level rating on VTR's $1.4 billion senior secured notes due 2024. The ratings affirmation reflects the company's stable and consistent performance, which S&P expects to continue during the next two years. S&P said, "We believe VTR will remain an important player in the cable and telecommunication market in Chile, especially in the pay TV and fixed broadband segment. Given that there's still room to grow broadband access in the Chilean market, we believe VTR will have sustained subscription growth and stable profitability, leading to predictable revenue and cash flow generation. Despite debt levels slightly increasing, we forecast VTR's debt to EBITDA to remain between 3.5x and 4.0x in the next two years. During the same time period, the company will continue posting weak free operating cash flow (FOCF) to debt (below 5%), due to considerable capital expenditures (capex) to support growth through network build-up." VTR recently secured a five-year term loan for CLP174 billion. S&P said, "We believe the company could use part of these funds for liability management, and it could upstream the rest to its parent, Liberty Latin America (LLA; not rated). Since we expect VTR's EBITDA to grow gradually, we believe the company can absorb slightly higher levels of debt without hurting its leverage metrics." =============== C O L O M B I A =============== BANCO DE BOGOTA: S&P Affirms 'BB+/B' Issuer Credit Ratings ---------------------------------------------------------- S&P Global Ratings affirmed its long-term 'BB+' and short-term 'B' global scale issuer credit ratings on Banco de Bogota S.A. y Subsidiarias (BBogota). The outlook is stable. At the same time, S&P affirmed the 'BB+' issue-level rating on the bank's senior unsecured debt. The issuer credit ratings on BBogota continue to reflect its solid business position, as evidenced by its leading position in Colombia and in Central America through its main subsidiary, BAC International Bank. It also reflects S&P's view of the bank's capital and earnings; it expect a risk-adjusted capital (RAC) ratio of 4.0% for the next 24 months, as well as stable asset quality metrics, supported by its strong geographic diversification. BBogota's funding continues to be supported by its large and stable deposit base, with no significant liquidity needs in the near future. Its stand-alone credit profile (SACP) is 'bb+'. S&P said, "The stable outlook on Bogota's reflects our expectation that the bank will maintain its RAC ratio around 4.0% over the next two years as a result of manageable credit growth (around 7.5% in 2018 and 2019), stable asset quality metrics, and a stable dividend payout ratio. We also expect the bank to maintain its solid market position in Colombia, as well as funding and liquidity metrics in line with the system." =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Needs to Bolster Productive Apparatus --------------------------------------------------------- Dominican Today reports that Dominican Industries Association (AIRD) Vice President Circe Almanzar said the Dominican Republic has to strengthen its productive apparatus, because in her view, the country's services sector has been growing based on external resources. "And they're not always necessarily going to come all the time. Although remittances have been a great help for the Dominican Republic, so has access to external financing, but it is no less true that these channels are exhausted and precisely the growth we have had in our country is due to the fact that we have had these resources, but there comes a time when if we don't strengthen our productive system, we will not get it," she said, according to Dominican Today. Vice President Almanzar spoke during the evaluation session of the 3rd Industrial Congress that defined the priority issues for industry and free zones and where the goals proposed in the Second Congress were discussed but weren't reached, the report relays. The business leader said the countries that have grown globally have been those that have waged on their industry, employment, productive development and national added value, the report notes. More Participation "We have a sector that doesn't generate more sources of employment internally and that precisely what we want to achieve now is that tourism consumes what is ours, that the free zones consume what is ours and that the entire sector and everyone who comes here consumes what is ours, mining consumes what is ours, all investment consumes what is ours," the report quoted Vice President Almanzar as saying. As reported in the Troubled Company Reporter-Latin America on April 23, 2018, S&P Global Ratings affirmed its 'BB-/B' long- and short-term sovereign credit ratings on the Dominican Republic. The outlook remains stable. ==================== E L S A L V A D O R ==================== EL SALVADOR: Fitch Affirms 'B-' LT Foreign Currency IDR ------------------------------------------------------- Fitch Ratings has affirmed El Salvador's long-term, foreign- currency Issuer Default Rating (IDR) at 'B-' with a Stable Outlook. KEY RATING DRIVERS El Salvador's 'B-' rating reflects its recent history of local currency defaults and heightened political tensions that made reaching agreements on government financing difficult (a two- thirds majority in the legislature is needed for external debt authorization). Political agreements between the FMLN-led executive branch and the main opposition party, ARENA, over pension reform in October 2017 and the 2018 budget passed in January (with current-year financing authorizing) signaled a reduction in political tensions. Nevertheless, the 2019 presidential election cycle could make further agreements difficult to achieve toward the end of 2018 when the campaigns begin for the February 2019 presidential election. In congressional elections in March 2018, the ARENA party increased its share of seats in the National Assembly, although it will have to pass legislation with minority GANA, PCN or PDC party support. Public disaffection with corruption allegations and political gridlock contributed to the loss of votes in absolute terms for both of the major parties. This could increase the odds of a win by an outsider presidential candidate, such as Nayib Bukele, the former mayor of San Salvador. However, he would need to form his own political party or receive the backing of a qualified political party to be eligible to stand. Governability challenges could re-emerge post-election if the branches of government remain divided. The government faces a significant jump in financing needs in 2019 with a USD800 million external bond amortization in December. The government is seeking congressional authorization to issue up to USD2.46 billion to re-profile maturities due in 2019 through 2024. A successful debt authorization agreement, especially for the 2019 maturity would reduce rollover risk heading into the presidential election cycle. Economic growth remained steady at 2.3% in 2017, driven in large part by consumption propelled by a sharp increase in remittances. Fitch expects growth to remain relatively steady at 2.4% in 2018 with consumption slowing marginally while investment -- both public and private -- rises. Private credit demand and construction have picked up with confidence in 2018. However, El Salvador's potential growth remains weak, near 2.5%, due to a number of factors including political polarization, high crime rates, poor infrastructure and net outward migration. Inflation and inflation expectations remain low compared with the 'B' median due to official dollarization. In March 2018, the central bank released the revised national income accounts with a 2005 base year from 1990. The new series showed that nominal GDP was 11.5% lower than the previous series for 2016. As a result, a number of key sovereign indicators are now lower than the previous series such as per capita GDP, the fiscal deficit to GDP and general government debt to GDP. The fiscal deficit has improved markedly (notwithstanding the deteriorating effect of the GDP series revision) over the last four years falling to 2.5% of GDP in 2017 from 4.5% of GDP in 2013. Improved tax collection was a key element of the improvement due to increased taxes on profits from large firms and on telecommunications services. Subsidies were trimmed as well. Fitch expects the fiscal deficit to remain relatively steady over the forecast horizon due to a higher interest burden and spending pressures that could largely offset the expected savings from the 2017 pension reform. The national assembly passed the pension reform in October 2017, which provides the government fiscal savings estimated at 0.8% of GDP per annum and reduces the financing needs over the near term as well. Key elements of the reform included an increase in the contribution rate to 15% from 13%, extending the maturity of the outstanding non-negotiable pension fund certificates (CIPs) held by private pension funds to 30 years from 25 years with new certificates that have yet to be issued having a maturity up to 50 years, and introducing a 3-5 year grace period on the existing bonds. Fitch expects the primary fiscal balance to stabilize El Salvador's government debt burden at nearly 70% of GDP over 2018- 2019. However, El Salvador's debt and interest burdens remain above the 'B' median. Fitch expects that further fiscal adjustment and/or stronger economic performance would be necessary to place the government debt/GDP ratio firmly on a downward trajectory. El Salvador's current account deficit improved to 2% of GDP in 2017 down from 5.4% of GDP in 2014 as a result of strong growth in remittances and the fall in the oil price that has reduced imports. The current account deficit is expected to widen in 2018 and 2019 to 2.6% and 2.8% of GDP, respectively, due to the reversal of these positive trends with remittance growth slowing and imports rising on the back of higher oil prices. External balance sheet weaknesses reflect the sovereign debt. El Salvador's external debt service, 26% of CXR in 2017, is more than double the 'B' median of 12%. El Salvador's sovereign net foreign liability position, 22.6% of GDP in 2017, is in line with the 'B' median as well as its international reserve buffer at 3.4 months current external payments in 2017. El Salvador's commodity export dependence is also well below most 'B' peers. SOVEREIGN RATING MODEL (SRM) and QUALITATIVE OVERLAY (QO) Fitch's proprietary SRM assigns El Salvador a score equivalent to a rating of 'B-' on the long-term, foreign-currency (LT FC) IDR scale. Fitch's sovereign rating committee did not adjust the output from the SRM to arrive at the final LT FC IDR. Fitch's SRM is the agency's proprietary multiple regression rating model that employs 18 variables based on three-year centered averages, including one year of forecasts, to produce a score equivalent to a LT FC IDR. Fitch's QO is a forward-looking qualitative framework designed to allow for adjustment to the SRM output to assign the final rating, reflecting factors within its criteria that are not fully quantifiable and/or not fully reflected in the SRM. RATING SENSITIVITIES Future developments that could, individually or collectively, result in a positive rating action include: -- Political agreements that increase the government's capacity to access external financing and that reduce the rollover risk for the global 2019 bond amortizations; -- Further fiscal adjustments that lead to a steady improvement in the government's debt and interest burdens. Future developments that could, individually or collectively, result in a negative rating action include: -- Failure to obtain the external financing necessary to make upcoming amortization payments; -- Fiscal deterioration and re-emergence of financing constraints. KEY ASSUMPTIONS Fitch assumes that U.S. growth continues to support El Salvador's economy and balance of payments prospects and that international oil prices evolve in line with the forecasts published in the Global Economic Outlook. Furthermore, Fitch assumes that monetary policy normalization in the U.S. proceeds in a gradual and orderly manner and does not seriously jeopardize market access for emerging markets. The full list of rating actions is as follows: -- Long-term, foreign-currency IDR affirmed at 'B-'; Outlook Stable; -- Long-term, local-currency IDR affirmed at 'B-'; Outlook Stable; -- Short-term, foreign-currency IDR affirmed at 'B'; -- Short-term, local-currency IDR affirmed at 'B'; -- Country Ceiling affirmed at 'B'; -- Issue ratings on long-term senior unsecured foreign-currency bonds affirmed at 'B-'. ============= J A M A I C A ============= * JAMAICA: Deal Signed to Improve Towage Services at Kingston Port ------------------------------------------------------------------ RJR News reports that the Port Authority of Jamaica and Canadian maritime company, Ocean, have signed a 10-year concession agreement, which will result in an improvement in towage services in the Port of Kingston. Towage is the pulling of ships and other vessels along the water, usually by means of a small steamer called a tug, according to RJR News. The report notes that aimed at meeting the growing demand for harbor towing services, the agreement will result in three of the latest generation of tugboats, capable of approximately a 70 ton bollards pull, being deployed from Ocean's fleet to the Kingston Harbour at the end of this month, the report says. Port Authority President Professor Gordon Shirley said the agreement is among steps being taken to develop the port community since the 2016 signing of a 30-year concession agreement with Kingston Freeport Terminal, a fully owned subsidiary of one of the world's largest shipping lines - CMA CGM, the report adds. As reported in the Troubled Company Reporter-Latin America on Feb. 5, 2018, Fitch Ratings affirmed Jamaica's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'B' and has revised the Rating Outlook to Positive from Stable. ================= N I C A R A G U A ================= NICARAGUA: Moody's Alters Outlook to Stable, Affirms Issuer Rating ------------------------------------------------------------------ Moody's Investors Service has changed Nicaragua's rating outlook to stable from positive and affirmed its B2 long-term issuer ratings. In Moody's view, the factors that supported its July 2017 decision to assign a positive outlook on Nicaragua's rating have dissipated following what it believes is a marked weakening of the country's consensus-building institutions following recent episodes of social unrest triggered by the government's attempt to reform its pension system. The country's increasingly established track record of consensus- building policymaking and the planned pension reforms for this year were the two key drivers supporting the positive outlook. Now, however, the shifting political and institutional landscape has increased uncertainty regarding policy direction; and, related to that, likely delays in pension reforms point to budgetary outcomes potentially weaker than the rating agency had previously assumed. The affirmation of the B2 rating reflects credit strengths including the country's strong medium-term potential growth as well as debt and interest burdens that are lower than peers. These strengths balance the credit challenges posed by low per capita income, institutional shortcomings, and a high share of foreign currency-denominated government debt, although this external debt is mainly owed to multilateral creditors and has a very long maturity profile. Nicaragua's foreign and domestic currency bond and deposit ceilings were unaffected by Moody's outlook change. The long-term foreign currency bond and bank deposit ceilings remain at B1 and B3, respectively. The short-term foreign-currency bond and deposit ceilings remain at NP. The long-term local-currency bond and bank deposit ceilings remain at Ba3. RATINGS RATIONALE RATIONALE FOR CHANGE IN OUTLOOK TO STABLE FROM POSITIVE BREAKDOWN OF NICARAGUA'S CONSENSUS-BUILDING POLICYMAKING MODEL Over the past decade, Nicaragua's consensus-building policymaking model bringing together government, business, labor and other key institutions in a cooperative framework emerged as an important supportive feature of the country's credit profile, providing macroeconomic policy predictability. The presence of a prudent and predictable policy framework with strong support from the private sector has contributed positively to economic growth, a condition that made Nicaragua attractive to investment in general, and foreign direct investment in particular, relative to some other Central American countries. Moody's decision to assign a positive outlook last year reflected the longer-term economic and fiscal benefits likely to be derived from the strengthening institutional framework. Recently, however, social protests triggered by a pension reform unilaterally introduced by the government in April -- which was subsequently reversed -- have significantly weakened this consensus-building institutional setting. Attempts to maintain a national dialogue have proven unsuccessful and increased tensions between the government and all other sectors of society are evident. So far, there is no indication that a constructive dialogue will emerge as the positions of various social groups have become more polarized. While a resolution of this political and social unrest could surface in the coming months, it is becoming increasingly likely that the country's consensus-building model has been permanently weakened, reducing the effectiveness and predictability of policy. POTENTIALLY HIGHER FISCAL PRESSURES AS THE PENSION REFORM WILL BE DELAYED One specific driver of Moody's decision to change Nicaragua's outlook to positive from stable in July 2017 was its expectation that the government would address the deterioration of the social security body's (INSS) financial position before the end of 2018. The INSS financial deficit has grown every year since 2013, reaching 0.6% of GDP in 2017 and contributing to the exhaustion of its cash reserves, which will run out by next year. Without pension reform, the INSS's financial shortfall could reach 2% of GDP by 2026, with the INSS requiring direct budgetary support from the central government from 2019 onwards. Given the deteriorating political situation, it is now less likely that the pension reform will proceed as planned. A set of revenue- raising measures that were announced in April 2018 to support the INSS were cancelled after large-scale protests broke out. In the absence of pension reform, the central government will have to provide recurrent financial support to the INSS. In order to preserve its own fiscal position (i.e., moderate government deficits and favorable debt metrics) the authorities will have to lower spending, including scaling back on plans to increase capital expenditures on social infrastructure, negatively affecting growth. Alternatively, they would have to get additional financing to cover larger deficits, with reliance on higher borrowing leading to some deterioration in Nicaragua's debt metrics, which now compares favorably to similarly-rated peers. In short, as well as potentially undermining the longer-term strength of Nicaragua's institutions, the recent political turmoil also suggests that the fiscal and debt trajectory in the coming years is unlikely to be as credit supportive as Moody's had assumed last July when the positive outlook was assigned. RATIONALE FOR THE AFFIRMATION OF NICARAGUA'S B2 RATING The affirmation is based on the country's still favorable growth potential over the medium term and the expectation that, despite some deterioration, the country will be able to preserve its comparatively favorable debt metrics in the coming years. The rating agency expects that the current political and social unrest will negatively impact growth this year, but still expects Nicaragua to recover in 2019 and resume a growth trajectory of about 4% should current adverse developments subside starting next year. Additionally, while Moody's expects that Nicaragua will likely experience some deterioration in its debt metrics, with the debt-to-GDP and interest-to-revenue ratios coming to 35% and 4.5% in 2019, respectively, Nicaragua will continue to compare favorably relative to peers -- the 'B' medians will be 60% and 9.9%, respectively. At the same time, Nicaragua's credit profile will continue to be challenged by (1) one of the lowest per capita income levels among B-rated peers, which can limit the revenue-raising capabilities of the government; (2) a weak institutional framework, particularly related to political institutions pertaining to the rule of law and control of corruption; and, (3) a high degree of government debt dollarization, although this is partially mitigated by the fact that Nicaragua's public external debt is mainly owed to multilateral creditors. WHAT COULD CHANGE THE RATING DOWN Given the still uncertain outcome of the political crisis, negative rating pressures could emerge, potentially quite quickly, if the ongoing social unrest and political tensions were to intensify or persist beyond this year and undermine growth, public finances and/or access to financial support from multilateral institutions, which together account for the bulk of the country's sources of financing. Additionally, as oil prices have risen and Nicaragua still relies on oil imports -- albeit to a lesser extent than in previous years -- and Venezuelan flows have materially decreased over the past few years, a significant reduction in external financing from other sources, including foreign direct investment, would add significant external funding pressures. WHAT COULD CHANGE THE RATING UP A more constructive assessment could be considered if the political crisis and social unrest were to subside and the consensus-building policymaking tradition was quickly restored providing the path for pension reforms, improved fiscal outcomes and increased policy predictability. GDP per capita (PPP basis, US$): 5,849 (2017 Actual) (also known as Per Capita Income) Real GDP growth (% change): 4.9% (2017 Actual) (also known as GDP Growth) Inflation Rate (CPI, % change Dec/Dec): 5.7% (2017 Actual) Gen. Gov. Financial Balance/GDP: -2.2% (2017 Actual) (also known as Fiscal Balance) Current Account Balance/GDP: -5% (2017 Actual) (also known as External Balance) External debt/GDP: 76.8% (2017 Actual) Level of economic development: Low level of economic resilience Default history: At least one default event (on bonds and/or loans) has been recorded since 1983. On June 11, 2018, a rating committee was called to discuss the rating of the Nicaragua, Government of. The main points raised during the discussion were: The issuer's economic fundamentals, including its economic strength, have not changed. The issuer's institutional strength/framework, has decreased. The issuer's fiscal or financial strength, including its debt profile, has not materially changed. ====================== P U E R T O R I C O ====================== JC PENNEY: Moody's Lowers CFR to B2, Outlook Stable --------------------------------------------------- Moody's Investors Service downgraded Penney (J.C.) Company, Inc.'s Corporate Family Rating to B2 from B1. Moody's also affirmed Penney (J.C.) Corporation, Inc.'s ("the Corporation") senior secured ABL Revolving Credit Facility at Ba2 and its senior secured term loan and senior secured notes were affirmed Ba3. The Corporation's secured second lien notes were downgraded to B3 and its senior unsecured notes were downgraded to Caa1. The rating outlook is stable. The company's SGL-1 rating has also been affirmed. "The downgrade reflects the continued weakness in operating performance coupled with the uncertainty in its strategic plan given the recent departure of its CEO", stated Vice President, Christina Boni. "Although the company has opportunities for further improvements in merchandising, sourcing and operations as well as very good liquidity, significant headwinds remain. J.C. Penney must close the operating performance gap with its department store peers, as well as manage weak mall traffic and continued market share gains by off-price and online retailers." Downgrades: Issuer: Penney (J.C.) Company, Inc. - Probability of Default Rating, Downgraded to B2-PD from B1-PD - Corporate Family Rating, Downgraded to B2 from B1 Issuer: Penney (J.C.) Corporation, Inc. - Senior Secured 2nd Lien Notes, Downgraded to B3 (LGD4) from B2 (LGD5) - Senior Unsecured Medium-Term Note Program, Downgraded to (P)Caa1 from (P)B3 - Senior Unsecured Regular Bond/Debenture, Downgraded to Caa1(LGD5) from B3 (LGD5) - Senior Unsecured Shelf, Downgraded to (P)Caa1 from (P)B3 Outlook Actions: Issuer: Penney (J.C.) Company, Inc. - Outlook, Remains Stable Affirmations: Issuer: Penney (J.C.) Company, Inc. - Speculative Grade Liquidity Rating, Affirmed SGL-1 Issuer: Penney (J.C.) Corporation, Inc. - Senior Secured Term Loan, Affirmed Ba3 (LGD3) - Senior Secured ABL Revolving Credit Facility, Affirmed Ba2 (LGD2) - Senior Secured Regular Bond/Debenture, Affirmed Ba3 (LGD3) RATINGS RATIONALE J.C. Penney's credit profile is supported by the company's very good liquidity profile with total liquidity of approximately $2.0 billion ($181 million of cash and $1.86 billion of undrawn revolving credit commitments as of May 5, 2018). Moody's expects the company will generate positive free cash flow of over $150 million over the next 12 months. Debt/EBITDA is estimated to be around 5.8 times as of fiscal year-end 2018. Although the company has recovered a portion of its lost market share, recent challenges suggest that further progress will be at a much slower pace. Ongoing merchandising and operational efficiencies should support margins over time. The credit is constrained by the structural challenges facing the department store segment, which include market share losses to off-price retailers, weak mall traffic, and the cost of investments associated with managing consumer preferences for online shopping. The stable rating outlook assumes that J.C. Penney will continue stabilize both sales and operating margins as it prioritizes debt reduction. Ratings could be upgraded if the company maintains continued growth in operating earnings indicating its business initiatives continue to succeed. Quantitatively ratings could be upgraded if debt/EBITDA approaches 5.0x times and EBIT/Interest above 1.25x. Quantitatively ratings could be downgraded if credit metrics were to weaken such that debt/EBITDA exceeded 6.0x on a sustained basis, or if the company's very good liquidity profile were to erode. J.C. Penney Company, Inc. is the holding company of J.C. Penney Corporation, Inc., a U.S. department store operator headquartered in Plano, Texas, with about 871 locations in the United States and Puerto Rico. PUERTO RICAN PARADE: Hires Sergio & Banks as Real Estate Broker --------------------------------------------------------------- Puerto Rican Parade Committee of Chicago, Inc., seeks authority from the U.S. Bankruptcy Court for the Northern District of Illinois to employ Sergio & Banks Real Estate, as real estate broker to the Debtor. Puerto Rican Parade requires Sergio & Banks to market and sell the Debtor's real property located at 1237 N. California Avenue, Chicago, Illinois. Sergio & Banks will be paid a commission of 4% of the purchase price. Ron Ohr, a partner at Sergio & Banks Real Estate, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estates. Sergio & Banks can be reached at: Ron Ohr SERGIO & BANKS REAL ESTATE 2100 W. Armitage Chicago, IL 60647 Tel (773) 235-6100 About Puerto Rican Parade Committee of Chicago Puerto Rican Parade Committee of Chicago, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 17-03480) on Feb. 6, 2017. In the petition signed by Angel Medina, president, the Debtor estimated assets of less than $1 million. The case is assigned to Judge Carol A. Doyle. Paul M. Bach, Esq., and Penelope N. Bach, Esq., at the Bach Law Offices, serve as the Debtor's bankruptcy counsel. PUERTO RICAN PARADE: Court Denies Approval of Disclosure Statement ------------------------------------------------------------------ Judge Carol A. Doyle of the U.S. Bankruptcy Court for the Northern District of Illinois denied approval of the third amended disclosure statement explaining Puerto Rican Parade Committee of Chicago, Inc.'s plan of reorganization. As previously reported by The Troubled Company Reporter, the Plan provides that on its Effective Date, the Debtor will retain all of its assets and will thereafter be responsible for paying the Claims of their creditors. The plan proposes to pay Class 7 general unsecured creditors $330 monthly for 60 months, then $1,000/month until balance is paid in full with 1% interest. The Debtor intends to continue the operations of its business which, based upon historical data, should generate funds sufficient to pay the monies required under this Plan. All distributions under the Plan will be made from the ongoing business operations. A full-text copy of the Third Amended Disclosure Statement is available at: http://bankrupt.com/misc/ilnb17-03480-38.pdf About Puerto Rican Parade Committee Puerto Rican Parade Committee of Chicago, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 17-03480) on Feb. 6, 2017. In the petition signed by Angel Medina, president, the Debtor estimated assets of less than $1 million. The case is assigned to Judge Carol A. Doyle. Paul M. Bach, Esq., and Penelope N. Bach, Esq., at the Bach Law Offices, serve as the Debtor's bankruptcy counsel. STAR BODY: Seeks to Hire GSP LAW as Counsel ------------------------------------------- Star Body Experts, Inc., seeks authority from the U.S. Bankruptcy Court for the District of Puerto to employ GSP LAW, P.S.C., as attorney to the Debtor. Star Body requires GSP LAW to: a. prepare pleading and applications and conducting of examinations incidental to administration; b. develop the relationship of the status of the Debtor to the claims of creditors in the bankruptcy case; c. advise the Debtor of its rights, duties, and obligations as the Debtor operating under Chapter 11 of the Bankruptcy Code; d. take any and all other necessary action incident to the proper preservation and administration of the Chapter 11 estate; and e. advise the Debtor in possession and assist the Debtor in the formulation and presentation of a plan pursuant to Chapter 11 of Bankruptcy Code, the disclosure statement and concerning any and all matters relating thereto. GSP LAW will be paid at the hourly rate of $200. GSP LAW will be paid a retainer in the amount of $4,289. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Gerardo L. Santiago Puig, a partner at GSP LAW, P.S.C., assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estates. GSP LAW can be reached at: Gerardo L. Santiago Puig, Esq. GSP LAW, P.S.C. Doral Bank Plaza Suite 801 33 Resolucion St San Juan, PR 00920 Tel: (787) 777-8000 Fax: (787) 767-7107 E-mail: gsantiagopuig@gmail.com About Star Body Experts Star Body Expert, Inc., operates an auto body shop in Toa Baja, Puerto Rico. Founded in 1984, the company recently added a store specializing in auto paints sold to other shops. Star Body Expert previously sought protection from creditors on Aug. 11, 2015 (Bankr. D.P.R. Case No. 15-06125). Star Body Expert Inc., based in Toa Baja, PR, filed a Chapter 11 petition (Bankr. D.P.R. Case No. 18-02960) on May 29, 2018. In the petition signed by Carlos Oliveros, president, the Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in liabilities. The Hon. Brian K. Tester presides over the case. Gerardo L. Santiago Puig, Esq., at GSP LAW, P.S.C., serves as bankruptcy counsel to the Debtor. SPANISH BROADCASTING: Stockholders Elected 6 Directors ------------------------------------------------------ Spanish Broadcasting System, Inc. held its annual meeting of stockholders on June 7, 2018, at which the stockholders elected Raul Alarcon, Joseph A. Garcia, Manuel E. Machado, Jason L. Shrinsky, Jose A. Villamil and Mitchell A. Yelen as directors to hold office until such time as their respective successors have been duly elected and qualified. About Spanish Broadcasting Based in Miami, Florida, Spanish Broadcasting System, Inc. (OTCMKTS:SBSAA) -- http://www.spanishbroadcasting.com/-- owns and operates 17 radio stations located in the top U.S. Hispanic markets of New York, Los Angeles, Miami, Chicago, San Francisco and Puerto Rico, airing the Spanish Tropical, Regional Mexican, Spanish Adult Contemporary, Top 40 and Latin Rhythmic format genres. SBS also operates AIRE Radio Networks, a national radio platform which creates, distributes and markets leading Spanish- language radio programming to over 250 affiliated stations reaching 94% of the U.S. Hispanic audience. SBS also owns MegaTV, a television operation with over-the-air, cable and satellite distribution and affiliates throughout the U.S. and Puerto Rico. SBS also produces live concerts and events and owns multiple bilingual websites, including www.LaMusica.com, an online destination and mobile app providing content related to Latin music, entertainment, news and culture. The report from the Company's independent accounting firm Crowe Horwath LLP, the Company's auditor since 2013, on the consolidated financial statements for the year ended Dec. 31, 2017, includes an explanatory paragraph stating that the 12.5% Senior Secured Notes had a maturity date of April 15, 2017. Cash from operations or the sale of assets was not sufficient to repay the notes when they became due. In addition, for the year ended Dec. 31, 2017, the Company had a working capital deficiency and negative cash flows from operations. These factors raise substantial doubt about its ability to continue as a going concern. Spanish Broadcasting reported net income of $19.62 million for the year ended Dec. 31, 2017, compared to a net loss of $16.34 million for the year ended Dec. 31, 2016. As of Dec. 31, 2018, Spanish Broadcasting had $435.9 million in total assets, $531.8 million in total liabilities and a total stockholders' deficit of $95.91 million. * * * In May 2017, S&P Global Ratings withdrew its 'D' corporate credit rating and issue-level ratings on Spanish Broadcasting System. "We withdrew the ratings because we were unlikely to raise them from 'D', based on SBS' ongoing plans to restructure its debt," said S&P Global Ratings' credit analyst Scott Zari. S&P had downgraded SBS to 'D' on April 21, 2017, following the company's announcement that it didn't repay its $275 million 12.5% senior secured notes that were due April 15, 2017, as reported by the TCR on May 25, 2017. In April 2017, Moody's Investors Service downgraded SBS's corporate family rating to 'Ca' from 'Caa2'. SBS's 'Ca' corporate family rating reflects an elevated expected loss rate following the default under the company's 12.5% senior secured notes due April 2017, said Moody's. ============= U R U G U A Y ============= NARANJAL/LITORAL ISSUER 2: Moody's Rates $11MM Sub. Notes 'Ba2' --------------------------------------------------------------- Moody's Investors Service assigned a Baa3 rating to the proposed issuance by Naranjal/Litoral Uruguay Issuer 1 for approximately $97.3 million of senior secured notes due June 2042 and a Ba2 rating to the proposed issuance by Naranjal/Litoral Uruguay Issuer 2 of approximately $11.0 million of subordinated notes due June 2033. The rating outlook is stable. Proceeds from the notes will be used to refinance an existing loan used for the development and construction of El Naranjal and Del Litoral, two solar power projects located in Salto, Uruguay. The issuers of the notes are two special purpose vehicles, established solely for the purpose of issuing the senior and subordinated B Notes to fund the senior B loan participation and the subordinated B loan participation, per the participation agreement with the Inter-American Investment Corporation ("IDB Invest"), the lender of record. The proceeds from the notes will be provided by IDB Invest to Colidim S.A. and Jolipark S.A., the borrowers, which are wholly owned by Atlas and indirectly by Actis. Moody's has reviewed the draft legal documentation provided to date related to the transaction and the assigned ratings assume that there will be no material variation from the drafts reviewed and that all agreements will be legally valid, binding and enforceable. Assignments: Issuer: Naranjal/Litoral Uruguay Issuer 1 Senior Secured Regular Bond/Debenture, Assigned Baa3 Issuer: Naranjal/Litoral Uruguay Issuer 2 Subordinated Regular Bond/Debenture, Assigned Ba2 RATINGS RATIONALE The assigned ratings take into consideration the project's expected cash flows profile, derived from a fixed-price, long term power purchase agreement ("PPA") due in December 2043 executed with Administracion Nacional de Usinas y Trasmisiones Electricas ("UTE", not rated), Uruguay's (Baa2, stable) fully owned vertically integrated electricity company. Moody's view of cash flows predictability under the PPAs is based on the following features of the projects: 1) fixed-price payments under the PPAs, adjusted by inflation, over the life of the contracts, 2) no minimum production required; 3) curtailment provisions that compensate the projects if the grid is unavailable and 4) projects are already in operations. The rating also incorporates that the projects have recently secured an Operations & Maintenance ("O&M") agreement with Ingener, an Uruguayan engineering and services company, also under a fixed-price contract that includes a 2% yearly escalation. The 10 year contract term (5 years automatically renewable for another 5 years) is however shorter than the duration of the PPAs or the debt maturity. The assigned ratings capture Moody's understanding of fairly standard prices contained in the O&M agreement and the project's ability to replace or renew the contract after the first 10 years at reasonable terms. However, Moody's considers that the shorter duration of the O&M contract relative to the tenor of the debt adds some level of uncertainty to the projects cash flows, a weakness relative to other rated power generation projects in Uruguay. While the technology used by the projects is well-known (solar panels are provided by Trina Solar, a leading firm in the sector) it also incorporates trackers (from Nextracker). Tracking technology for solar panels increases generation efficiency but also adds complexity to the operation of a solar plant. Moody's acknowledges that both solar projects experienced underperformance during the first months of operations and understands that such problem is partly related to the absence of a full service O&M contract in place during such time. In addition, Moody's understands that there are pending maintenance items identified after construction completion and that Atlas, the project's sponsor, has designed a recovery plan with Ingener. Moody's observes that until the recovery plan is completely implemented, production levels will not reach their full estimated potential. In relation to financial metrics, the financial model is designed to achieve an average senior debt service coverage ratio (SDSCR) of 1.40 times under a P90 (10-year) generation scenario (1.27 times for total debt). Moody's case considers a P90 (10-year) generation assumption, lower inflation, higher degradation levels, higher O&M contract renewal price and a more conservative view of the effect of the recovery plan on production amounts. Under such scenario, the SDSCR averages 1.26 times (1.14 times for the total debt DSCR). These metrics reflect a relatively high leverage for the rating category that Moody's expects to be partially mitigated by the stable nature of the cash flows anticipated over the life of the transaction. The notching applied between the senior and subordinated debt ratings incorporates the existence of a distribution test that could stop payments of the subordinated debt should the SDSCR in any year be below 1.20 times. While the existence of a twelve month debt service reserve account mitigates default risk, the two notch difference in the ratings between the senior and the subordinated notes reflect this potential restriction on cash flows for the subordinated debt. The projects benefit from standard project finance protections including a 1st lien on assets, a cash flow waterfall, limitations on the incurrence of additional debt, and a distribution test. In addition to those standard features, the projects benefit from additional liquidity in the form of a senior debt service reserve account ( SDSRA) sized to twelve months of debt service, a credit positive relative to similar rated projects in Uruguay. In addition, the projects benefit from defined termination payment provisions within the PPAs, a credit positive. Finally, Moody's views that the presence of IDB Invest as lender of record is positive for bondholders by helping ensure a strong governance around the project's reporting and overall execution. The stable outlook considers Moody's expectation of stable and predictable cash flows derived from long term PPAs. The stable outlooks incorporate Moody's view of a Senior DSCR in the range of 1.20 to 1.35 times. Factors that Could Lead to an Upgrade Given the stable nature of the payments under the PPAs and the expected level of the Senior DSCR, there is limited potential for the rating to be upgraded over the rating horizon. Nevertheless, higher than anticipated energy production leading to a Senior DSCR above 1.40 times could create positive pressure on ratings. Given the close linkages between the off-taker and the government of Uruguay, a rating upgrade of the sovereign would also be an important rating consideration. Factors that Could Lead to a Downgrade Given the project's strengths and anticipated cash flow stability, a near-term rating downgrade is unlikely. However, an unforeseen reduction of cash flows or operational problems that lead to a Senior DSCR below 1.2 times for an extended period could exert downward pressure on the rating. Similarly, a rating downgrade of the sovereign or perceived deterioration in the credit quality of the off-taker could also exert negative rating pressure. The project's sponsor is Atlas Renewable Energy Spain, S.L.U., a Latin-American renewable power generation company founded in 2017 through the acquisition of SunEdison Latin American assets by Actis LLP ("Actis"), a private equity fund manager with $ 9 billion assets under management mostly in emerging markets. Actis' energy funds are entirely focused on power distribution and power generation and has a current portfolio of some 800MW, considering projects in operation, under construction and contracted. Atlas is headquartered in Santiago, Chile. The issuers of the notes Naranjal/Litoral Issuer 1 and Naranjal/Litoral Issuer 2 are two special purpose vehicles, established solely for the purpose of issuing the senior and subordinated B Notes to fund the senior B loan participation and the subordinated B loan participation, per the participation agreement with the Inter-American Investment Corporation ("IDB Invest"), the lender of record. The proceeds from the notes will be provided by IDB Invest to Colidim S.A. and Jolipark S.A., the borrowers, which are wholly owned by Atlas and indirectly by Actis. The principal methodology used in these ratings was Power Generation Projects published in May 2017. *********** Monday's edition of the TCR-LA delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR-LA editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR-LA constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR-LA editor holds some position in the issuers' public debt and equity securities about which we report. Tuesday's edition of the TCR-LA features a list of companies with insolvent balance sheets obtained by our editors based on the latest balance sheets publicly available a day prior to publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. Submissions about insolvency-related conferences are encouraged. Send announcements to conferences@bankrupt.com *********** S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Latin America is a daily newsletter co-published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, 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 * * *