TCRLA_Public/181212.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

             Wednesday, December 12, 2018, Vol. 19, No. 246


                            Headlines



B R A Z I L

BRAZIL: Takes Control of State Struggling With Strikes
EMBRAER SA: Brazil Court Overturns Injunction Blocking Boeing Deal


C O S T A   R I C A

AERIS HOLDING: Moody's Cuts Sr. Unsec. Rating to Ba3, Outlook Neg.
REVENTAZON FINANCE: Moody's Cuts Corporate Family Rating to B1


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Don't Deport Haitians, Agro Free Zone Warns


J A M A I C A

JAMAICA: Growth Seen in Construction Industry in July-Sept Quarter
JAMAICA: Ministers Mandated to Have Quarterly Meetings With Boards


M E X I C O

DOCUFORMAS SAPI: Fitch Hikes IDRs to BB-, Outlook Stable
TUXPAN MUNICIPALITY: Moody's Affirms B2 Global Scale Issuer Rating


P U E R T O    R I C O

COLONIAL MEDICAL: Unsecureds to Get 50% in 12 Monthly Payments
EMPRESAS CARRION: Case Summary & 5 Unsecured Creditors
RGE CARIBBEAN: Case Summary & Unsecured Creditor
SEARS HOLDING: Bid Deadline for SHIP Business Set for Dec. 11
SEARS HOLDINGS: U.S. Trustee Appoints Elise Frejka as CPO


                            - - - - -


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B R A Z I L
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BRAZIL: Takes Control of State Struggling With Strikes
------------------------------------------------------
Latinx Today reports that the governor-elect of the northeastern
Brazilian state of Roraima was named as interim administrator
after President Michel Temer removed the outgoing governor amid a
strike by police, prison guards and other public employees.

Antonio Denarium, who belongs to the same right-wing PSL party as
President-elect Jair Bolsonaro, was originally scheduled to take
office Jan. 1, according to Latinx Today.

Between now and then, he will exercise the powers of governor and
state finance minister, but with a requirement that he report to
the federal government on his actions, the report notes.

Public employees in Roraima, one of Brazil's poorest states, have
gone unpaid for several months, the report relays.

"Today, I'm taking over the task of administrator. In practice,
we're going to implement an administrative and tax reform to
eliminate unnecessary spending, put an end to irregular contracts
and, with the resources that remain, rigorously pay . . . . all
officials," the report quoted Mr. Denarium as saying.

The federal takeover was agreed to by Temer and outgoing-Gov, the
report discloses.  Suely Campos, who said that he lacked the
political and financial conditions to try and resolve the serious
problems, the report notes.

Mr. Campos said that Roraima's financial crisis worsened with the
arrival of thousands of migrants from neighboring Venezuela, to
whom the state offered healthcare, housing and education services,
the report relays.

The report notes that Mr. Denarium, who during the campaign backed
measures to halt the influx of Venezuelans into Roraima, said that
he will discuss the matter with Temer because only the federal
government can order the closure of the border or place
restrictions on travelers.

According to official figures, between Jan 1. 2017, and Sept. 30,
2018, at least 154,920 Venezuelans entered Brazil via the town of
Pacaraima, the only border crossing post between the two
countries, the report says.  But more than half of them have
already left Brazilian territory, the report relays.

Despite the fact that police in Roraima have not formally declared
a strike, officers' wives set up camps in front of the police
barracks to prevent their husbands from taking to the streets to
protest the delay in salary payments, the report discloses.

The strike by prison guards, meanwhile, led the Attorney General's
Office to demand immediate measures amid fears that the massacres
of prisoners that have been common in Roraima prisons in recent
months would commence once again, the report adds.

As reported in the Troubled Company Reporter-Latin America on
Oct. 18, 2018, Egan-Jones Ratings Company, on October 8, 2018,
withdrew its 'B+' foreign currency and local currency senior
unsecured ratings on debt issued by the Federative Republic of
Brazil.


EMBRAER SA: Brazil Court Overturns Injunction Blocking Boeing Deal
------------------------------------------------------------------
Anthony Boadle at Reuters reports that a Brazilian federal court
has overturned a provisional injunction that blocked a proposed
tie-up between planemakers Empresa Brasileira de Aeronautica SA
(Embraer) and Boeing, Embraer said in a securities filing.

Brazil's Embraer disclosed in July its intention to sell 80
percent of its commercial aviation business to Chicago-based
Boeing for $3.8 billion, according to Reuters.  Embraer has said
the deal is crucial for its survival, the report notes.

The injunction emerged from a class action brought by four
congressmen from Brazil's left-wing Workers Party and had been
granted, the report relays.

Brazil's solicitor general's office confirmed the injunction that
halted Embraer's negotiations with Boeing had been thrown out, the
report discloses.

The government's top lawyer had asked the court to overturn the
injunction, arguing that it violated the constitutional right to
freedom of enterprise by interfering in the negotiations between
two private companies, the report notes.

Trading of Embraer ADRs on the New York Stock Exchange was halted
temporarily and for 30 minutes on the Sao Paulo bourse, on Dec.
11, the report says.  Embraer shares rose nearly 2 percent and
then settled 0.75 percent higher than its opening price, the
report relays.

The two aircraft manufacturers announced in June a $4.75 billion
joint venture giving Boeing a controlling stake in Embraer's
commercial aircraft arm, the report discloses.

The Boeing-Embraer alliance, coming on the heels of the tie-up of
Airbus and Bombardier disclosed last year, represents the biggest
realignment in the global aerospace market in decades,
strengthening established Western planemakers against newcomers
from China, Russia and Japan, the report says.

Boeing and Embraer executives have said they are confident their
deal would win regulatory and shareholder approvals by the end of
2019, the report relays.

A final decision would be in the hands of Embraer shareholders.
But they first need a green light from the Brazilian government,
which has a golden share in Embraer, the report notes.

President Michel Temer's outgoing government has said it will
leave that decision to the administration of right-wing President-
elect Jair Bolsonaro, who takes office on Jan. 1, the report says.

Bolsonaro and other members of his future cabinet have said they
favor the deal in principle, the report adds.

                        About Embraer SA

Headquartered in Brazil, Empresa Brasileira de Aeronautica SA
(Embraer) -- http://www.embraer.com-- is a company engaged in the
manufacture of aircrafts for commercial aviation, executive jet
and defense and government purposes.  The Company has developed a
line of executive jets based on one of its regional jet platforms
and launched executive jets in the entry-level, light, ultra-large
and mid-light/mid-size categories, the Phenom 100/300 family, the
Lineage 1000 and the Legacy 450/500 family, respectively.  The
Company supplies defense aircraft for the Brazilian Air Force
based on number of aircraft sold, and sells aircraft to military
forces in Europe, Asia and Latin America.  In July 2008, the
Company acquired a 40% interest owned by Liebherr Aerospace SAS in
ELEB Equipamentos Ltda (ELEB).  ELEB is an aerospace system and
component manufacturer, and its products include landing gear
systems, hydraulics and electro-mechanical sub-assemblies, such as
actuators, valves, accumulators and pylons.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on Aug.
2, 2018, The Latin American Herald said that Brazilian aircraft
maker Empresa Brasileira de Aeronautica SA (Embraer) reported a
net loss in the second quarter as sales declined, financial
expenses rose and the Brazilian currency weakened.  The company
posted a loss of $126.5 million in the quarter, after earning a
$61.7 million gain a year before, the company said, according to
The Latin American Herald.  Embraer had revenue of $1.26 billion
in the period, a decline from the same period a year earlier, the
report noted.

TCRLA reported in Apr 30, 2018, that a class action against
Embraer was recently dismissed by U.S. District Judge Richard
Berman.  The class action, which was brought in federal district
court in New York, alleged that the firm had failed to adequately
disclose the scope and possible financial impact of ongoing
corruption investigations by the DOJ and SEC, harming the
company's investors.

In September 2016, the TCRLA reported that Embraer confirmed that
it would cut nearly 8 percent of its workforce through a voluntary
buyout program, slashing costs amid weak business jet sales and
downsized defense contracts.

The TCRLA further reported that Egan-Jones Ratings Company, on
Sept. 23, 2016, lowered the senior unsecured ratings on debt
issued by Embraer SA to BB+ from BBB-.



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C O S T A   R I C A
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AERIS HOLDING: Moody's Cuts Sr. Unsec. Rating to Ba3, Outlook Neg.
------------------------------------------------------------------
Moody's Investors Service downgraded the Senior Unsecured rating
of Aeris Holding Costa Rica S.A. to Ba3 from Ba2 and changed the
outlook to negative. The rating action concludes the rating review
that was initiated on October 19, 2018.

This follows Moody's rating action in which the agency downgraded
the Government of Costa Rica's ratings to B1 and changed the
rating outlook to negative. For more information on the Government
of Costa Rica please visit moodys.com.

RATINGS RATIONALE

The Ba3 rating of Aeris, one-notch above the Government of Costa
Rica's rating of B1, reflects certain characteristics that limit
its exposure to Costa Rica: substantial international revenues,
access to international financing, and a transparent tariff
setting framework under the Contrato de Gestion Interesada.

Its rating is also supported by the project finance features under
the Notes, including a trust managed cash waterfall, a 6-month
(one semiannual payment) debt service reserve account, a forward
looking 3-month Operation and Maintenance Reserve Account,
limitations on additional indebtedness, distribution lock-up
tests, and a Capital Expenditure Prefunding Account.

Passenger traffic continues to perform adequately supporting
Aeris' financial position. As of September 2018,traffic has grown
approximately 4% in line with the company's expectations.
Projected financial metrics for year-end 2018 are solid, with a
Cash interest coverage ("CIC", cash flow available for debt
service / interest) close to 2.5x and Funds from operations to
debt of approximately 9%.

Notwithstanding, the downgrade to Ba3 recognizes that Aeris has
various linkages with the Government of the Costa Rica. These
include the reliance on the CGI with the government under which
the airport operates and the tariff setting process that requires
government approval.

The negative outlook mirrors the outlook on the ratings of Costa
Rica, acknowledging that the linkages mentioned could limit its
underlying credit profile if the credit quality of Cost Rica
deteriorates further.

WHAT COULD CHANGE THE RATING UP/DOWN

In light of the current negative outlook, Moody's doesn't expect
upward pressure.

Downward pressure on the rating could develop due to sustained
decreases in passenger traffic and cash flow generation, material
capital expenditure overruns, or weaker financial metrics on a
sustained basis with cash interest coverage ratio consistently
below 2.0 times or its FFO/Debt ratio was consistently below 7.5%.
Further deterioration of the rating of the Government of Costa
Rica, could also lead to downward pressure on the rating.

Aeris Holding Costa Rica S.A. is the operator of the country's
main international airport, Aeropuerto Internacional Juan
Santamaria.

The principal methodology used in this rating was Privately
Managed Airports and Related Issuers published in September 2017.


REVENTAZON FINANCE: Moody's Cuts Corporate Family Rating to B1
--------------------------------------------------------------
Moody's Investors Service downgraded the ratings of Costa Rican
issuers Instituto Costarricense de Electricidad (ICE) and
Reventazon Finance Trust ratings to B1 from Ba2 and changed the
outlook to negative. The rating action concludes the rating review
that was initiated on October 19, 2018.

This follows Moody's rating action in which the agency downgraded
the Government of Costa Rica's ratings to B1 and changed the
rating outlook to negative.

Downgrades:

Issuer: Instituto Costarricense de Electricidad (ICE)

  Corporate Family Rating, Downgraded to B1 from Ba2

  Senior Unsecured Regular Bond/Debenture, Downgraded to B1 from
  Ba2

Issuer: Reventazon Finance Trust

  Corporate Family Rating, Downgraded to B1 from Ba2

  Senior Secured Regular Bond/Debenture, Downgraded to B1 from Ba2

Outlook Actions:

Issuer: Instituto Costarricense de Electricidad (ICE)

  Outlook, Changed To Negative From Rating Under Review

Issuer: Reventazon Finance Trust

  Outlook, Changed To Negative From Rating Under Review

RATINGS RATIONALE

The rating action reflects Moody's view that the creditworthiness
of these entities cannot be completely de-linked from the current
operating environment and regulatory regimes in Costa Rica.

The downgrade of ICE's ratings is prompted by the December 5, 2018
downgrade of Costa Rica's government bond rating to B1 from Ba2
with a negative outlook. The rating action on the Reventazon
Finance Trust's ratings follows the downgrade of ICE's rating as
the project is highly dependent on ICE's financial performance
given the obligations that ICE has assumed under the contractual
arrangements as sponsor, off-taker, EPC contractor, lessee and
operator.

Given that ICE is fully owned by the Costa Rican government, it
falls under the scope of Moody's rating methodology for
government-related issuers. ICE's Baseline Credit Assessment,
which is a representation of the group's intrinsic
creditworthiness before taking into account possible extraordinary
support from the sovereign was lowered to b1 from ba3. ICE's BCA
captures its key role as an autonomous government entity and its
dominant position as the largest vertically integrated utility in
the country, its fully regulated nature and government ownership,
which creates material linkages with Costa Rica.

The Costa Rican government does not guarantee ICE's debt
obligations rated by Moody's. However, Moody's believes that there
is a "high" likelihood of government extraordinary support in the
case of financial distress for several reasons including
reputational given the company's status as a major government-
owned entity and its strategic importance to the country's economy
overall. Furthermore, Moody's views that the government of Costa
Rica and ICE are exposed to common risk factors as capture by the
"high" default dependence assigned to ICE.

The creditworthiness of Reventazon Finance Trust reflects the
credit profile of ICE, as the project is highly dependent on ICE's
financial performance given the obligations that it has assumed
under the contractual arrangements. In addition, ICE is required
to pay any shortfall of funds to service the debt, including any
accelerated debt service following a termination event of the key
contractual arrangements.

The negative rating outlook of ICE and Reventazon Finance Trust
reflects the negative outlook of the rating of the Government of
Costa Rica and Moody's expectation that the high implied
extraordinary support and dependence levels from the sovereign
will not change.

WHAT COULD CHANGE THE RATING UP/DOWN

In light of the current negative outlook of the ratings of ICE and
the Government of Costa Rica, Moody's doesn't expect upward
pressure.

ICE's ratings are likely to come under pressure following a
downgrade of the sovereign rating or in the case of lower than
anticipated implied sovereign support. Negative rating pressure on
the BCA could surface from a deterioration in the credit
supportiveness of the Costa Rican regulatory framework or if ICE's
indebtedness increases significantly above anticipated levels such
that the credit metrics deteriorate and cash flow interest
coverage falls below 2.0x or RCF to debt declines below 6% for an
extended period.

A downgrade of ICE's ratings would also likely result in an
downgrade of Reventazon Finance Trust's ratings.

The methodologies used in these ratings were Government-Related
Issuers published in June 2018, and Regulated Electric and Gas
Utilities published in June 2017.



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D O M I N I C A N   R E P U B L I C
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DOMINICAN REPUBLIC: Don't Deport Haitians, Agro Free Zone Warns
---------------------------------------------------------------
Dominican Today reports that Maguana Tropical, the first and only
agro-industrial free zone installed in the province, began its
operations in 2004 with just Dominican workers, but 14 years
later, of its 638 employees, 348 or 54% are Haitians.

Each month, company executives of Israeli origin are forced to
recruit Haitian labor, the report says.  Therefore if they comply
with the Law that establishes an 80-20 (Dominican-Haitian
proportion) they will have no alternative but to shut down and go
to another country in the region, according to Dominican Today.

The company, which produces peppers of different varieties for
export and is located on the San Juan-Azua highway, also has six
Venezuelan employees, the report notes.

It cautions that if the deportation of Haitians continues, as
nationalists demand, at least 80% of the agricultural activity,
especially farming would vanish in the province, the report
relays.

"As an example, just in a farm planted with beans, located on the
San Juan-Las Matas de Farfan road, the 30 workers who worked on
the farm were Haitians, including the foreman," outlet Hoy
reported, RJR News adds.

As reported in the Troubled Company Reporter-Latin America on
Sept. 24, 2018, Fitch Ratings affirmed Dominican Republic's
Long-Term, Foreign-Currency Issuer Default Rating (IDR) at 'BB-'
with a Stable Outlook.



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J A M A I C A
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JAMAICA: Growth Seen in Construction Industry in July-Sept Quarter
------------------------------------------------------------------
RJR News reports that the local construction scene in Jamaica grew
during the July to September quarter.

According to the Bank of Jamaica's quarterly monetary policy
report, this performance was largely driven by the continued
expansion and upgrade of road infrastructure, the report notes.

The estimated growth in the sector was partly offset by a decline
in residential construction, according to RJR News.

This was due to a reduction in housing starts by the National
Housing Trust, the report adds.

As reported in the Troubled Company Reporter-Latin America on
Sept. 27, 2017, Moody's Investors Service has upgraded the
Government of Honduras' foreign currency and local currency issuer
and senior unsecured ratings to B1 from B2. The rating outlook was
moved to stable from positive.


JAMAICA: Ministers Mandated to Have Quarterly Meetings With Boards
------------------------------------------------------------------
RJR News reports that it's now compulsory for all Government
Ministers to have quarterly meetings with the heads of boards,
which fall under their portfolio as part of efforts to tighten the
monitoring of state entities.

Prime Minister Andrew Holness, who made the disclosure during a
media briefing, says the new mandate will be placed in the code of
conduct for ministers, according to RJR News.

"I'm also mandating that minister's meet with their board chairmen
and the board bi-annually to have a policy review.  So the
quarterly meeting, is more to enshrine the process of
administration and the bi-annual meeting is to ensure that the
boards are focused on policy.  So this is a mechanism for
evaluation . . . . ," the report quoted Minister Holness as
saying.

Minister Holness also responded to suggestions that the state-run
oil refinery Petrojam should be privatized, the report relays.

"We are not at that stage yet. (A) couple months ago, we put
together the Petrojam review commission to advise the government
as to what is the best approach to Petrojam.  The policy of the
government is to have full utilization of national assets," the
Prime Minister said.

As reported in the Troubled Company Reporter-Latin America on
Sept. 27, 2017, Moody's Investors Service has upgraded the
Government of Honduras' foreign currency and local currency issuer
and senior unsecured ratings to B1 from B2. The rating outlook was
moved to stable from positive.



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M E X I C O
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DOCUFORMAS SAPI: Fitch Hikes IDRs to BB-, Outlook Stable
--------------------------------------------------------
Fitch Ratings has upgraded Docuformas S.A.P.I. de C.V.'s
(Docuformas) long-term, local- and foreign-currency Issuer Default
Ratings (IDRs) to 'BB-' from 'B+'. Its short-term, foreign- and
local-currency ratings were affirmed at 'B'. The long-term
National Scale ratings were upgraded to 'A-(mex)' from
'BBB+(mex)', while the short-term national scale rating was
affirmed at 'F2(mex)'. The Rating Outlook for the long-term
ratings is Stable.

The upgrade reflects the significant improvement in Docuformas'
leverage position after the recent capital injection of USD27
million, as well as the strengthening of corporate governance
practices and reduction of key person risk under the new
shareholder structure. The upgrade also considers the
strengthening of its company profile, driven by sustained double-
digit portfolio growth rates that support its growing franchise in
the leasing sector in Mexico.

KEY RATING DRIVERS

IDRS, NATIONAL RATINGS AND SENIOR DEBT

Docuformas' ratings are highly influenced by its company profile,
which is underpinned by its stable business model and well-
positioned franchise among Mexican independent leasing companies,
although low within the financial system. The ratings also
consider its improved leverage position, good profitability
metrics, a funding structure with an adequate portion of unsecured
funding and a comfortable liquidity position reflected in positive
maturity gaps. Higher impaired loan ratios than peers and the
wholesale nature of its funding mix are also factored in the
ratings.

Docuformas' tangible leverage position materially improved
following capital injections in the third and fourth quarters of
2018. Its debt to tangible equity ratio decreased to 4.6 x as of
the third quarter of 2018 (3Q18) from 9.2x at the close of 2017
(on a pro-forma basis including the USD12 million portion received
during the fourth quarter). Moreover, the stronger capital base
provides cushion to sustain estimated double-digit balance sheet
growth in 2018 and 2019 while maintaining tangible leverage ratios
at levels commensurate with a 'BB-' rating. The company plans to
maintain a debt to equity ratio of around 5x, which Fitch
estimates translates to a debt to tangible equity ratio of around
7x.

As part of the transaction and change in shareholder structure, a
more flexible shareholder agreement was signed. There is no
mandatory payment of dividends, as these will now be determined
each year based on the company's financial performance.
Additionally, key person risk decreased significantly after a new
Chairman of the Board was named and Adam Wiaktor, Docuformas'
founder who previously also served as Chairman, will only remain
as CEO and as a minority shareholder. Other corporate governance
changes are also taking place, including the strengthening of
committee composition, which in Fitch's views, will result in
corporate governance practices more aligned to the industry's best
practices. However, areas of improvement persist, such as the
inclusion of more independent members in the board of directors
(currently one member is independent).

The company's impaired loans ratio improved to 5.3% at the close
of 3Q18 compared with the past four-year average of 5.9%; however,
this still compares negatively against its closest peers.
Positively, concentrations on top-20 clients relative to equity
decreased to close to 1.1x equity as a result of the capital
injection and compare positively against similarly rated non-bank
financial institutions. Docuformas' pre-tax net income to average
assets ratio improved to 4.6% at the close of September 2018, from
1.6% at the close of 2017, when profitability was adversely
affected by non-cash items that add volatility to its earnings.
Nevertheless, good and recurring profitability ratios are a rating
strength; these are supported by continued volume growth and
improving efficiency ratios that partially offset decreasing
margins, which were pressured in 2017 by the negative carry of the
international bond issuance.

As of the close of 3Q18, 69.6% of Docuformas' funding was
unsecured, benefitting from its recent international debt
issuance; this increased its unencumbered portfolio to 73.6% as of
3Q18, up from 50% at the close of 2016. This portfolio covered
1.5x its balance of unsecured debt at the close of 3Q18. In
Fitch's view, the recent issuance of international notes provided
better funding flexibility as it increased its unpledged asset
base and the duration of debt.

Docuformas' global issuance rating reflects senior unsecured
obligations that rank pari passu with other senior indebtedness,
and therefore, the rating is at the same level as the company's
IDRs. The notes are unconditionally guaranteed by three
subsidiaries of the company: Analistas de Recursos Globales,
S.A.P.I. de C.V.; ARG Fleet Management, S.A.P.I. de C.V.; and
Rentas y Remolques de Mexico, S.A. de C.V. The notes and the
subsidiary guarantees will be Docuformas' and the guarantors'
senior unsecured obligations. The local debt issues are at the
same level as Docuformas' long- and short-term national ratings,
reflecting its senior unsecured nature.

RATING SENSITIVITIES

Rating upside potential is limited in the short term. Docuformas'
ratings could be upgraded in the medium term if the company
materially improves its company profile through orderly growth and
business model diversification, together with the greater
flexibility of its funding mix and improving asset quality, while
it maintains a tangible leverage ratio consistently close to 5x
and sustains strong profitability ratios.

Docuformas' ratings could be downgraded if its financial profile
considerably deteriorates as a result of an increased NPL ratio,
its debt to tangible equity ratio increases to levels consistently
above 7x, and/or from material pressures and volatility on its
profitability.

The ratings of the international and local debt issues will mirror
any movement in the company's long-term IDRs and national ratings,
respectively, reflecting their senior unsecured nature. However,
the rating of the notes may diverge from the IDRs if asset
encumbrance increases to the extent that it materially
deteriorates the effective recovery for the senior unsecured
bondholders.

Fitch has upgraded the following ratings:

  -- Foreign- and local-currency, long-term IDRs to 'BB-' from
     'B+';

  -- USD150 million Regs/144A senior unsecured notes to 'BB-' from
     'B+'/'RR4';

  -- National long-term Rating to 'A-(mex)' from 'BBB+(mex)';

  -- National long-term unsecured notes to 'A-(mex)' from
     'BBB+(mex)'.

Fitch affirmed the following ratings:

  -- Foreign- and local-currency, short-term IDRs at 'B';

  -- National short-term Rating at 'F2(mex)';

  -- National short-term unsecured debt program at 'F2(mex)'.

The Rating Outlook is Stable.


TUXPAN MUNICIPALITY: Moody's Affirms B2 Global Scale Issuer Rating
------------------------------------------------------------------
Moody's de Mexico S.A. de C.V. affirmed the Municipality of
Tuxpan's issuer rating of B2 (Global Scale, local currency) and
changed the outlook to positive from stable. At the same time,
Moody's upgraded to Ba1.mx from Ba2.mx the Mexican National Scale
issuer rating of the municipality.

Moody's de Mexico also affirmed the debt ratings of the
municipality's MXN 220 million loan (original face value) with
Banorte-Interacciones at Ba3/A3.mx (Global Scale, local
currency/Mexico National Scale).

RATINGS RATIONALE

RATINGS RATIONALE FOR THE ISSUER RATINGS

The upgrade of the Mexican National Scale issuer rating to Ba1.mx
from Ba2.mx reflects the strengthening of Tuxpan's gross operating
balance (GOB), which led to stronger cash financing balances and
liquidity over the past two years. The Ba1.mx rating also reflects
the absence of short-term debt, which decreases liquidity concerns
slightly. These factors have helped improve Tuxpan's credit
quality relative to national peers. The affirmation of the B2
issuer rating (Global Scale, local currency) takes into account
continued credit challenges including a relatively high debt
burden and low own-source revenue collection.

In the period of 2016 to 2017, Tuxpan's GOB averaged 9.8% of
operating revenues, which compares very favorably to the -1.2%
median of B2-rated Mexican municipalities. This improvement is the
result of an increase in operating revenues, in conjunction with a
reduction in operating expenditures, which have shown a compound
annual growth rate over the 2015-2017 period of 6.9% and -2.5%,
respectively. These strong operating results have permitted Tuxpan
to post cash financing balances equivalent to an average of 16.4%
of total revenue. For 2018-19, Moody's estimates that the GOB and
cash financing balance will remain at a solid 5.5% of operating
revenues and 10.8% of total revenues.

Due to these operating and financial surpluses, Tuxpan's liquidity
improved, registering a ratio of cash to current liabilities of
1.78 times (x) in 2017, higher than the median for B2 Mexican
rated peers (0.17x). This coverage was increased from a
significant reduction in current liabilities, prompted by a
depuration in current liabilities accounts that did not have a
financial support. For 2018-19, Moody's estimates that the
liquidity position of the entity will remain in a solid average of
2.2x.

Offsetting these improvements, the ratio of net direct and
indirect debt to operating revenues measured 52.6% 2017,
substantially well above the median of Mexican municipalities
rated at B2 (10.9%) and among the highest of any Moody's-rated
Mexican municipalities. Moody's forecasts that Tuxpan's net direct
and indirect debt will increase to 61.1% of operating revenue as a
result of the acquisition of a PPP to modernize the municipal
public lighting, with a pledge of federal participations in a
trust as a source of payment. Including this PPP, Tuxpan's annual
debt service will measure an average of 10% of its operating
revenues for 2018-19.

RATIONALE FOR THE POSITIVE OUTLOOK

The positive outlook reflects Moody's expectation that the
municipality will maintain strong operating and cash financing
balances, which will continue to support liquidity. Additionally,
the positive outlook reflects the improvement in Tuxpan's debt
burden which, while still high, is lower than the 81% recorded in
2014. Tuxpan's debt burden is not expected to increase beyond
2019.

RATIONALE FOR THE ENHANCED LOAN RATING

The affirmation of the enhanced loan ratings reflects the
affirmation of the issuer ratings. In Moody's opinion there have
been no material changes to the debt service coverage metrics.

WHAT COULD CHANGE THE RATINGS UP/DOWN

If the municipality continues to maintain positive operating and
financial balances and a strong liquidity position in addition to
a declining trend in the debt burden, upward pressure on their
ratings could emerge. Conversely, a deterioration in the operating
and financial balances, leading to weaker liquidity, could exert
downward pressure on the ratings.

In addition, given the link between the enhanced loan and the
credit quality of Tuxpan, an upgrade/downgrade of the issuer
ratings could exert upward/downward pressure on debt ratings for
the enhanced loan. Also, if debt service coverage metrics
improve/fall materially above/below Moody's expectations, the
ratings could face similar upward/downward pressure.

The methodologies used in these ratings were Regional and Local
Governments published in January 2018, and Rating Methodology for
Enhanced Municipal and State Loans in Mexico published in July
2017.



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


COLONIAL MEDICAL: Unsecureds to Get 50% in 12 Monthly Payments
--------------------------------------------------------------
Colonial Medical Management Corp. filed an amended plan of
reorganization and accompanying disclosure statement proposing
that general unsecured claims, classified in Class 3, will receive
50% payable in equal monthly payments starting April 2019 for one
year until March 2020.

Municipio de Anasco claim no. 12 alleged montly rent arrears.  The
total amount of claim no. 12 is $573,213.36.  Claim is objected.
If the claim is not disallowed as requested by the Debtor in the
objection, the Debtor proposes: (A) continuing the payment of the
rent as per the contract and until the expiration date of March
19, 2020; (B) Eight installment payments for the payment in full
of the claim as follows:  1. Payments of $75,000 payable on:
February 28, 2019; March 31, 2019; May 31, 2019; July 31, 2019;
September 30, 2019; November 30, 2019, January 31, 2020 and a
final payment of $48,213.36 on March 15, 2020 for a total of
$573,213.36.

Payments and distributions under the Plan will be funded by the
income after deducting operational expenses of the services
provided by the business.

A full-text copy of the Disclosure Statement dated November 27,
2018, is available at:

       http://bankrupt.com/misc/prb18-1706925BKT11-138.pdf

                     About Colonial Medical

Colonial Medical Management Corp. is an ambulatory health care
clinic located in Anasco, Puerto Rico.  Its practice location is
listed as Carretera 402 Km 1.8 Bo. Marias Anasco, Puerto Rico.

The Debtor previously sought bankruptcy protection (Bankr. D.P.R.
Case No. 14-01922) on March 13, 2014.

Colonial Medical sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. D.P.R. Case No. 17-06925) on Nov. 21,
2017.

In the petition signed by Luis Jorge Lugo Velez, its president,
the Debtor estimated assets of less than $50,000 and liabilities
of $1 million to $10 million.  Judge Brian K. Tester presides over
the case.  Ada Conde, Esq., at 1611 Law and Justice for All, Inc.,
is the Debtor's bankruptcy counsel.

The U.S. Trustee appoints Edna Diaz De Jesus, the Puerto Rico
State Patient Care Ombudsman, as the Patient Care Ombudsman.


EMPRESAS CARRION: Case Summary & 5 Unsecured Creditors
------------------------------------------------------
Debtor: Empresas Carrion Allende, Inc.
           dba Antiguo Supermercado Jaime
        1054 Santana
        Arecibo, PR 00612

Business Description: Empresas Carrion Allende, Inc. operates a
                      grocery store in Arecibo, Puerto, Rico.

Chapter 11 Petition Date: December 6, 2018

Court: United States Bankruptcy Court
       District of Puerto Rico (Old San Juan)

Case No.: 18-07111

Judge: Hon. Mildred Caban Flores

Debtor's Counsel: Francisco J. Ramos Gonzalez, Esq.
                  FRANCISCO J RAMOS & ASOCIADOS CSP
                  PO Box 191993
                  San Juan, PR 00919-1993
                  Tel: 787 764-5134
                  Fax: 787 758-5087
                  E-mail: fjramos@coqui.net

Estimated Assets: $1 million to $10 million

Estimated Liabilities: $1 million to $10 million

The petition was signed by Sandra I. Carrion Montalvo, president.

A full-text copy of the petition containing, among other items, a
list of the Debtor's five unsecured creditors is available for
free at http://bankrupt.com/misc/prb18-07111.pdf


RGE CARIBBEAN: Case Summary & Unsecured Creditor
------------------------------------------------
Debtor: RGE Caribbean LLC
        605 Condado Street
        Edificio San Alberto, Suite 322
        San Juan, PR 00907

Business Description: RGE Caribbean LLC is privately held
                      company in San Juan, Puerto Rico engaged
                      in the business of utility system
                      construction.

Chapter 11 Petition Date: December 9, 2018

Court: United States Bankruptcy Court
       District of Puerto Rico (Old San Juan)

Case No.: 18-07178

Judge: Hon. Edward A. Godoy

Debtor's Counsel: Maria Mercedes Figueroa Y Morgade, Esq.
                  FIGUEROA Y MORGADE LEGAL ADVISORS
                  3415 Alejandrino Ave., Apt. 703
                  Guaynabo, PR 00969-4956
                  Tel: (787)234-3981
                  Email: figueroaymorgadelaw@yahoo.com

Total Assets: $1,353,420

Total Liabilities: $1,904,761

The petition was signed by Miguel Roberto Camino Landron, member.

The Debtor lists Vitol Virgin Island Corp as its sole unsecured
creditor holding a claim of $1,904,761.

A full-text copy of the petition is available for free at:

        http://bankrupt.com/misc/prb18-27178.pdf


SEARS HOLDING: Bid Deadline for SHIP Business Set for Dec. 11
-------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
approved the bidding procedures for the sale of Sears Holdings
Corporation, et al.'s Sears Home Improvement Business.

As reported by the Troubled Company Reporter on Nov. 23, 2018, the
Debtors and Service.com (the "Stalking Horse Bidder") entered into
an asset purchase agreement (the "Stalking Horse Agreement") for
the sale of the SHIP Business, pursuant to which:

   (i) the Stalking Horse Bidder agreed to pay $60,000,000 in
       cash, prior to adjustment of such amount in accordance with

       the terms of the Stalking Horse Agreement (the 'Cash
       Purchase Price'), and to assume certain assumed liabilities

       (together with the Cash Purchase Price, the 'Stalking Horse

       Bid') for the Assets, subject to higher or better offers,
       and Court approval; and

  (ii) the Debtors agreed that, in the event that the Court
       approves the purchase of the SHIP Business by any bidder
       other than the Stalking Horse Bidder, to pay the Stalking
       Horse Bidder and such transaction is consummated, a
       break-up fee in the amount of 1.5% of the Cash Purchase
       Price (the 'Break-Up Fee').

Any person or entity interested in participating in the auction
must submit a qualified bid on or before Dec. 11, 2018, at 4:00
p.m. (prevailing Eastern time).  Objections to the sale, if any,
are due no later than 4:00 p.m. (prevailing Eastern time) on Dec.
11, 2018.

An auction for the assets has been set for Dec. 13, 2018, at 10:00
a.m. (prevailing Eastern Time), and will be conducted at the
offices of:

   Weil, Gotshal & Manges LLP
   767 Fifth Avenue
   New York, New York
   Tel: (212) 310-8000

The Court will hold a sale hearing on Dec. 18, 2018, at 10:00 p.m.
(prevailing Eastern Time), at the U.S. Bankruptcy Court for the
Southern District of New York, 300 Quarropas Street, White Plains,
New York 10601.

                      About Sears Holdings

Sears Holdings Corporation (NASDAQ: SHLD) --
http://www.searsholdings.com/-- began as a mail ordering catalog
company in 1887 and became the world's largest retailer in the
1960s.  At its peak, Sears was present in almost every big mall
across the U.S., and sold everything from toys and auto parts to
mail-order homes.  Sears claims to be is a market leader in the
appliance, tool, lawn and garden, fitness equipment, and automotiv
repair and maintenance retail sectors.

Sears and Kmart merged to form Sears Holdings in 2005 when they
had 3,500 US stores between them.  Kmart emerged in 2005 from its
own bankruptcy.

Unable to keep up with online stores and other brick-and-mortar
retailers, a long series of store closings has left it with 687
retail stores in 49 states, Guam, Puerto Rico, and the U.S. Virgin
Islands as of mid-October 2018.  The Company employs 68,000
individuals, of whom 32,000 are full-time employees.

As of Aug. 4, 2018, Sears Holdings had $6.93 billion in total
assets, $11.33 billion in total liabilities and a total deficit of
$4.40 billion.

Unable to cover a $134 million debt payment due Oct. 15, 2018,
Sears Holdings Corporation and 49 subsidiaries sought Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 18-23538) on Oct. 15,
2018.

The Hon. Robert D. Drain is the case judge.

Weil, Gotshal & Manges LLP is serving as legal counsel, M-III
Partners is serving as restructuring advisor and Lazard Freres &
Co. LLC is serving as investment banker to Holdings.  DLA Piper
LLP is the real estate advisor.  Prime Clerk is the claims and
noticing agent.


SEARS HOLDINGS: U.S. Trustee Appoints Elise Frejka as CPO
---------------------------------------------------------
William K. Harrington, United States Trustee for Region 2,
appoints Elise S. Frejka as Consumer Privacy Ombudsman for Sears
Holdings Corporation, et al.

The CPO's appointment was made in respect of the transactions set
forth in Orders of the Bankruptcy Court Approving (1) the Bidding
Procedures for the sale of Sears Home Improvement Business and (2)
the Global Bidding Procedures to sell the Debtors' assets.

Elise Frejka established in her Verified Statement that she is a
"disinterested person" as that term is defined in 11 U.S.C. Sec.
101(14) in connection with her appointment as the Consumer Privacy
Ombudsman in the jointly administered chapter 11 cases of Sears
Holdings Corporations and its debtor affiliates.

Frejka can be reached at:

     Elise S. Frejka, Esq.
     FREJKA PLLC
     420 Lexington Avenue, Suite 310
     New York, NY 10170

                         About Sears Holdings

Sears Holdings Corporation (NASDAQ: SHLD) --
http://www.searsholdings.com/-- began as a mail ordering catalog
company in 1887 and became the world's largest retailer in the
1960s.  At its peak, Sears was present in almost every big mall
across the U.S., and sold everything from toys and auto parts to
mail-order homes.  Sears claims to be is a market leader in the
appliance, tool, lawn and garden, fitness equipment, and
automotive repair and maintenance retail sectors.

Sears and Kmart merged to form Sears Holdings in 2005 when they
had 3,500 US stores between them.  Kmart emerged in 2005 from its
own bankruptcy.

Unable to keep up with online stores and other brick-and-mortar
retailers, a long series of store closings has left it with 687
retail stores in 49 states, Guam, Puerto Rico, and the U.S. Virgin
Islands as of mid-October 2018.  The Company employs 68,000
individuals, of whom 32,000 are full-time employees.

As of Aug. 4, 2018, Sears Holdings had $6.93 billion in total
assets, $11.33 billion in total liabilities and a total deficit of
$4.40 billion.

Unable to cover a $134 million debt payment due Oct. 15, 2018,
Sears Holdings Corporation and 49 subsidiaries sought Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 18-23538) on Oct. 15,
2018.

The Hon. Robert D. Drain is the case judge.

Weil, Gotshal & Manges LLP is serving as legal counsel, M-III
Partners is serving as restructuring advisor and Lazard Freres &
Co. LLC is serving as investment banker to Holdings.  DLA Piper
LLP is the real estate advisor.  Prime Clerk is the claims and
noticing agent.


                            ***********


Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Monday
Bond Pricing table is compiled on the Friday prior to publication.
Prices reported are not intended to reflect actual trades.  Prices
for actual trades are probably different.  Our objective is to
share information, not make markets in publicly traded securities.
Nothing in the TCR-LA constitutes an offer or solicitation to buy
or sell any security of any kind.  It is likely that some entity
affiliated with a TCR-LA editor holds some position in the
issuers' public debt and equity securities about which we report.

Tuesday's edition of the TCR-LA features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets.  A company may establish reserves on its balance sheet for
liabilities that may never materialize.  The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.

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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
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Information contained herein is obtained from sources believed to
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