TCRLA_Public/190213.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, February 13, 2019, Vol. 20, No. 31



ACHE LABORATORIOS: Fitch Affirms 'BB' FC IDR, Outlook Stable
INVEPAR: S&P Lowers Global Scale Ratings to 'CCC+', On Watch Neg.

D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Customs Hikes Tax on Cell Phones to 8%


UC RUSAL: US Lifts Sanctions


CREDITO REAL: S&P Affirms Global Scale 'BB+' Issuer Credit Rating
DOCUFORMAS S.A.P.I.: Fitch Affirms 'BB-' IDR, Outlook Stable
GRUPO CEMENTOS: Fitch Hikes IDRs to BB+ & USD260M Sr. Notes to BB+
MEXICO: Needs Comprehensive Strategy to Fight Gasoline Theft
RASSINI AUTOMOTRIZ: Moody's Affirms Ba2 CFR, Alters Outlook to Neg

P U E R T O    R I C O

LUBY'S INC: Dimensional Fund Has 7.4% Stake as of Dec. 31
PUERTO RICO: Settlement Agreement with Sales Tax Entity Approved


URUGUAY: Welcomed Fewer Tourists but Spending Rose 15% in January


PETROLEOS DE VENEZUELA: Sued by Owens-Illinois Over $500MM Award

                            - - - - -


ACHE LABORATORIOS: Fitch Affirms 'BB' FC IDR, Outlook Stable
Fitch Ratings has affirmed Ache Laboratorios Farmaceuticos S.A.'s
(Ache) Long-Term, Foreign-Currency Issuer Default Rating (FC IDR)
at 'BB', Long-Term, Local-Currency IDR (LC IDR) at 'BBB' and its
National Scale Rating at 'AAA(bra)'. The Rating Outlook is Stable
for the FC IDR, the LC IDR and the National Scale Rating.

Ache's investment-grade LC IDR reflects the defensive nature of
the pharmaceutical industry, which translates into a low level of
cash flow volatility during a five year rating period, and its
strong business position in the Brazilian pharmaceutical market
with a leadership position in the prescription drug segment. Ache
has higher margins than its Brazilian peers due to its mix
portfolio, focused on the prescription segment, strong brands that
get pricing premiums and its market-leading size, which helps
fixed-cost dilution. The company's position is viewed to be
sustainable due to its large sales team that gives it a key
competitive advantage in terms of outreach to the medical
community and brand awareness.

Ache's financial profile resembles that of global peers rated in
the 'A' category because of its low debt levels relative to cash
flow, high cash balance and strong FCF generation before
dividends. The ratings incorporate Fitch's expectation that Ache
will remain committed to an unleveraged capital structure, while
managing its growth with cash flow supporting organic growth and
small acquisitions. Fitch expects net leverage ratios to remain
below 0.5x in the next four years. Ache has had a shareholder-
friendly dividends policy, but Fitch considers that the company
has flexibility to adjust payouts if necessary to avoid
deterioration of its credit metrics due to the fact that ownership
of the company is concentrated in three families.

Ache's LC IDR has been constrained at 'BBB' by its lack of
geographic diversification, as the company generates essentially
all of its cash flow in Brazil, a country with high operating
risk. The company also does not have the size or global market
positions of peers rated in the 'A' category such as Pfizer, Merck
and Bristol-Myers Squibb. Ache's 'BB' FC IDR is capped by Brazil's
Country Ceiling (BB), as the company's operations are essentially
in Brazil and it does not have substantial assets or cash held
abroad to help mitigate transfer and convertibility risk.


Solid Business Profile: Ache has a solid and recognized brand in
the Brazilian pharmaceutical industry. Its diversified product
portfolio, leadership in the prescription drugs segment, and
presence in the fast-growing over-the-counter (OTC), generics and
dermo-cosmetics segments support its sound business profile. Ache
is the fourth-largest laboratory in Brazil and has one of the
largest sales forces in the domestic market, which provides a key
competitive advantage compared with local and international peers.
This allows an extensive outreach to the medical community, which
is crucial for having its products receive prescriptions.

Low Product-Portfolio Risk: Ache's operating cash flow is not
exposed to license renewals or patent expirations. Similar to
other emerging-markets pharmaceutical companies, Ache has a
narrower research and development (R&D) product pipeline than its
multinational competitors and has a weaker portfolio of patented
products. Positively, the company's exposure to licensing
agreements is low, representing less than 10% of revenues from
these products. Ache has consistently been increasing its efforts
to innovate and renovate its product portfolio by investing about
2.5% of its revenues in R&D. During 2019, Fitch expects product
launches to reach more than 20% of revenues from 16% in 2012.

Increasing Competition: Over the last few years, competition has
increased with the local pharmaceutical players consolidating
brands and expanding their product reach across segments and
therapeutic classes. Also, some competitors started to present
their market position under group basis instead of single
entities. As a result, Ache lost two market positions in the total
Brazilian pharmaceutical market, becoming the fourth-largest
player in terms of net revenues. In its key segment, prescription
segment, Ache is the second largest with a 6.8% market-share.
Fitch expects Ache's margins to be under pressure at the 28%-30%
range but it remains adequate in comparison with the average of
the industry. Increased competition has led to higher product
development and marketing expenses. Fitch believes that Ache's
Brazilian operating expertise and strong distribution system are
key factors to help to mitigate this increasing competition.

CFFO to Remain Sound: Fitch expects Ache's cash flow from
operations (CFFO) to remain robust despite increased competition.
Ache's net revenue and EBITDA during the LTM ended Sept. 30, 2018
were BRL3.2 billion and BRL980 million, respectively, with EBITDA
margins at 30.3%. These figures compare with net revenues of
BRL2.9 billion and EBITDA of BRL871 million in 2017, with an
EBITDA margin of 29.4%. Fitch forecasts the company's EBTIDA
margin will move to around 28%-30%, a decline from the 32%-35%
range over the last four years. FFO and CFFO remained strong, at
BRL813 million and BRL694 million, respectively, during the same

Dividends and Capex to Pressure FCF: Ache has a track record of
maintaining an aggressive shareholder-friendly policy, which has
led to negative FCF since 2012, with 2017 being the exception with
a positive FCF of BRL26 million. Between 2012 and 2016, Ache
generated an average negative FCF of BRL55 million. Dividend
distributions averaged BRL405 million per year in the period,
around 90% dividends payouts. Fitch expects that in a more
challenging scenario, the company would pursue a more conservative
dividend policy in order to increase its financial flexibility and
sustain its strong capital structure. This assumption takes into
consideration Ache's plan to expand its capacity by 50% with a new
production facility in Permanbuco, with estimated costs of BRL600
million. During the LTM ended September 2018, Ache generated
negative FCF of BRL150 million, after BRL185 million capex and
BRL533 million of dividend pay-outs (around 85% of net income).

Unleveraged Capital Structure: Ache has historically maintained
low leverage ratios, and its credit measures continue to be quite
strong. Fitch's projections indicate a net debt/EBITDA ratio
remaining below 0.5x in the next four years. Fitch's base case
scenario incorporates the new capex for the new facility and
around 80% of dividends payout. In the past five years, the
company's average leverage, as measured by the FFO-adjusted
leverage ratio, was 0.4x, while its net debt/EBITDA ratio was
negative at 0.2x.


Ache's LC IDR and National Scale 'BBB'/'AAA(bra)' ratings reflect
the defensive nature of the pharmaceutical industry, its leading
position in the prescription drug segment and low product
portfolio risk with no exposure to patents or licenses. Ache's
lack of geographic diversification, lower business scale,
relatively narrower research portfolio and credit access/financial
flexibility compared with top pharmaceutical companies currently
constrains its 'BBB' local-currency ratings. Ache is well
positioned in terms of profitability and leverage compared with
most of the top global pharmaceutical issuers that are rated
'A'/'AA' by Fitch, with average EBITDA margin of 31% and average
net leverage of 1.5x.

In comparison with others Brazilian issuers in Fitch's rated
universe, Ache's business resilience to economic cycles, strong
CFFO generation, financial flexibility as well as its unleveraged
capital structure stands out amongst its peers. Fitch's 'BBB'
portfolio average net leverage, measured by net debt/EBITDA, is
2.2x. Ache's capital structure has consistently been stronger.
During the next four years, Fitch projects the company's net
leverage will remain below 0.5x. Ache's operations being
concentrated in Brazil and lack of operating/financial assets
abroad cap its ratings at the Brazilian Country Ceiling of 'BB'.


  -- Revenue growth close to 10% from 2019 to 2021;

  -- Innovation to continue to represent around 20% of revenues
(R&D expenses of around 2% of revenue);

  -- EBITDA margin in the range of 28%-30% due to increasing SG&A
related to diversification of the portfolio;

  -- Capex of BRL785 million from 2019-2021, which includes the
construction of the new plant in Pernambuco;

  -- Maintenance of the high dividend pay-outs at around 80% of
net income.


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

For the Foreign-Currency IDR, positive rating actions are limited
by Brazil's country ceiling of 'BB', while for the Local Currency
IDR of 'BBB', an upgrade is unlikely in the medium term.

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

Ache's credit ratios are very strong at the current rating level,
but unexpected events that move the company's net bet/EBITDA
beyond 2.0x or FFO-adjusted leverage beyond 3.0x could result in
negative rating action for the Local Currency IDR or National
Scale Rating. Significant market-share or brand deterioration
could also trigger a downgrade. A further negative rating action
on Brazil's sovereign ratings and country ceiling could also
result in negative rating action for the company's foreign-
currency IDR.


Robust Liquidity: Ache has historically held a robust liquidity
position. As of Sept. 30, 2018, Ache's cash balances covered its
short-term debt by 3.3x. As of the same date, the company reported
BRL154 million of cash and marketable securities and total
adjusted debt of BRL243 million, of which BRL46 million was short-
term. About 85% of Ache's debt is with the Brazilian Development
Bank (BNDES).


Fitch has affirmed the following ratings:

Ache Laboratorios Farmaceuticos S.A. (Ache):

  -- Foreign Currency Issuer Default Rating (IDR) at 'BB'; Outlook

  -- Local currency IDR at 'BBB'; Outlook Stable;

  -- National Scale rating at 'AAA(bra)'; Outlook Stable.

INVEPAR: S&P Lowers Global Scale Ratings to 'CCC+', On Watch Neg.
On Feb. 11, 2019, S&P Global Ratings downgraded Invepar and its
subsidiaries to 'CCC+' from 'B' on the global scale and to 'brBB-'
from 'brA-' on the Brazilian national scale.

The ratings remain on CreditWatch with negative implications,
reflecting the risk of a multiple-notch downgrade if the company
doesn't avoid a debt acceleration at subsidiary CART's level that
could be triggered if it doesn't obtain a waiver from its
debenture holders.

S&P said, "The downgrade of Invepar reflects our view that its
capital structure is unsustainable. Since mid-2018, the company
has attempted to refinance about R$1 billion of debt issued by the
holding company Invepar, which matures on March 11, 2019. Even
assuming that the group will manage to extend this debt, a
permanent solution would depend on deleveraging using fresh equity
or asset sales, options with outcomes outside the company's
control. Although its consolidated cash position was R$1.4 billion
as of September 2018, only R$400 million was at the holding level
and the rest was liquidity at subsidiaries that the holding
company doesn't have full access to. Moreover, the amount of
dividends received isn't enough to service its sizable debt, and
we don't expect this to change in the near future."

The negative CreditWatch listing reflects the risk of multiple
downgrades in the case of a debt acceleration, considering that
the debt documents of CART's two series of debentures -- totaling
R$1 billion as of September 2018 -- contain a clause stating that
a downgrade to below 'brA-' is a non-automatic acceleration. The
downgrade of CART to 'brBB-' will require a waiver by at least 75%
of the debenture holders, and as mentioned above, S&P believes
executing this may be difficult.

The CreditWatch also reflects the default risk if Invepar is
required to make unforeseen payments because of cross-default
clauses, if it's unable to refinance the holding company's debt
that matures on March 11, 2019, or if it performs an exchange that
S&P believes is distressed.

D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Customs Hikes Tax on Cell Phones to 8%
Dominican Today reports that Dominican Republic customs agency
disclosed a tax increase from 3 to 8% on imported mobile
communication equipment.

It said the decision is based on Law 146-00 which allows Customs
to charge up to 20%, but because of complaints at the time it
postponed its enforcement and only began to charge 3%, according
to Dominican Today.

Reactions against the measure came swiftly from various sides,
including opposition party(PRM) presidential candidate Luis
Abinader and the telecoms Claro and Altice, the report notes.

In a statement, Customs said that it took the complaints into
account and decided to limit the tax to 8% and not 20%, the report

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.


UC RUSAL: US Lifts Sanctions
---------------------------- reports that the United States government has
lifted sanctions on UC Rusal, the parent company of Jamaican-based
West Indies Alumina Company (Windalco).

Minister of Transport and Mining Robert Montague told the House of
Representatives that means entities in Jamaica can now freely do
business with Windalco without the threat of direct and/or
secondary sanctions, according to

"This is positive news for the Government of Jamaica.  It is
positive news for Windalco and its over 1,000 employees who had
faced an uncertain future when the sanctions were initially
announced, and it is positive news for Jamaican companies and
individuals that conduct business with Windalco.  It is positive
news for the economy," he said, the report relays.

The report notes that Mr. Montague added that UC Rusal has agreed
to "unprecedented transparency into its operations by undertaking
extensive, ongoing auditing, certification, and reporting

In addition, independent persons will control a significant bloc
of the shares of the En+ Group, which is UC Rusal's parent
company, the report relays.

On April 6, 2018 the US Department of the Treasury's Office of
Foreign Assets Control (OFAC), via General Licence No. 14, imposed
various sanctions on Russian Oleg Deripaska and several companies
that were wholly or primarily owned by him, the report discloses.

The report notes that the sanctions resulted in the assets of UC
Rusal that were within the US jurisdiction being frozen and US
persons being prohibited from having dealings with them.  Further,
non-US persons could face secondary sanctions for knowingly
facilitating significant transactions for, or on behalf of
Deripaska and with his companies, the report says.

Mr. Montague noted the significant efforts were made by the
Government towards mitigating the effects of the sanctions on the
people, government and economy of Jamaica, the report notes.

He said that through his Ministry and the Ministry of Foreign
Affairs and Foreign Trade, applications were made to the relevant
US authorities for waivers to conduct business with UC Rusal, the
report says.

The report discloses that this was with a view to sustaining the
operations of Windalco towards preserving the livelihood of the
citizens and preventing any major fallout in the economy.

The report relays that Mr. Montague said a formal response was
received from OFAC, which stated that Jamaica was covered by
General Licence No.14 and would not be the direct subject of

The Transport and Mining Minister also noted the timely
intervention by Prime Minister Andrew Holness in the matter, the
report notes.

"The Prime Minister, at a critical point, when all looked bleak,
had a very productive meeting with the US Treasury Secretary. This
meeting, along with the help of the US Congress black Caucus and
many others, contributed," he told the House, the report adds.

As reported in the Troubled Company Reporter-Latin America on
April 18, 2018, Fitch Ratings revised the Rating Watch on
Russia-based aluminium company United Company Rusal Plc's Long-
Term Issuer Default Rating (IDR) of 'BB-', Short-Term IDR of
'B' as well as Rusal Capital D.A.C.'s senior unsecured rating of
'BB- '/'RR4' to Negative from Evolving. Fitch simultaneously
withdrew all the ratings.


CREDITO REAL: S&P Affirms Global Scale 'BB+' Issuer Credit Rating
S&P Global Ratings affirmed its global scale 'BB+' issuer credit
ratings on Credito Real S.A.B. de C.V. SOFOM, E.N.R. (Credito
Real). S&P said, "We also affirmed our 'mxA+/mxA-1' national scale
issuer credit and issue-level ratings on the company. The outlook
remains stable. In addition, we affirmed our 'B+' issue-level
rating on the subordinated perpetual notes, and our 'BB+' issue-
level rating on the lender's senior unsecured notes. The ratings
on Credito Real's senior unsecured debt incorporate that, as of
Sept. 30, 2018, secured debt represented less than 15% of adjusted
assets, and unencumbered assets completely covered unsecured debt.
Consequently, we don't apply notches of subordination to these

The ratings on Credito Real incorporate its sound market share in
Mexico's non-bank payroll lending segment that translates into a
steady growth in operating revenue and business stability. S&P
said, "In addition, we incorporate the still solid
capitalization -- thanks to the rising internal capital
generation -- despite the share buyback program for up to $100
million the lender announced in October 2018. This results in an
expected risk-adjusted capital (RAC) ratio of 11.8% on average for
2019 and 2020. Although credit losses have increased since
Instacredit's acquisition in 2016, we expect them to diminish
gradually." Finally, Credito Real has sufficient liquidity to
support its daily operations in the next 12 months, and the
issuance of $400 million in January 2019 helped by reducing short-
term debt refinancing risk. The stand-alone credit profile (SACP)
of Credito Real remains at 'bb+'. The issuer credit rating is
'BB+' because it doesn't incorporate notching for potential
government or group support.

DOCUFORMAS S.A.P.I.: Fitch Affirms 'BB-' IDR, Outlook Stable
Fitch Ratings has affirmed the ratings for Docuformas S.A.P.I. de
C.V. (Docuformas) as follows:

  -- Long-term local- and foreign-currency Issuer Default Ratings
at 'BB-';

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

  -- USD150 million Regs/144A senior unsecured notes at 'BB-';

  -- National long-term rating at 'A-(mex)';

  -- National long-term unsecured notes at 'A-(mex)';

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

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

The Rating Outlook for the long-term ratings is Stable.

The affirmations follow the announcement that Docuformas has
acquired 100% of the capital of Mexarrend, S.A. de C.V. and
Compania Mexicana de Arrendamiento, S.A. de C.V. (Grupo
Mexarrend). The affirmations also reflect recent covenant changes
for Docuformas' outstanding senior notes due 2022.



Fitch views the acquisition and funding profile changes that will
likely result from the covenant update as commensurate with the
current ratings. Fitch expects the effects on Docuformas' business
and financial profile from the acquisition to be minor due to the
manageable size of the transaction and the small workforce of the
companies acquired (around 10 employees). Fitch will, however,
closely monitor the incorporation of the acquired companies'
operations to assess possible execution risks. Fitch will also
monitor the evolution of Docuformas' funding profile once it
increases its secured credit facilities to ensure the unsecured
debt to total funding ratio and unencumbered assets remain within
expected ranges.

The acquired companies' have a long track record of more than 20
years. Their business, financial profiles and targeted segments
are in line with those of Docuformas and should complement and
widen its client base. Based on the information currently
available Fitch does not anticipate significant changes to
Docuformas' company profile.

The total assets of the acquired companies were approximately 6.1%
of Docuformas' total assets as of September 2018 with an asset
quality commensurate with Docuformas' averages. The transaction
will generate approximately MXN60 million of goodwill, and
therefore, Fitch has estimated pro forma leverage ratios of around
4.9x, which are still adequate for the current rating level. Fitch
continues to believe Docuformas' external communication practices
have room for improvement, particularly regarding expectations for
inorganic growth. The company was expecting high double-digit
balance sheet growth in 2019, and this acquisition represents a
proportion of the forecasted growth.

On January 30, 2019 Docuformas announced the completion of a
Consent Solicitation process related to its outstanding senior
notes due 2022. The purpose of the amendment was to give the
company more flexibility to access secured facilities and to
achieve a competitive cost of funding under a more complex
operating environment and to align covenants with other notes
issued by comparable companies. The completed solicitation
modification included maintenance of the fixed charge coverage
ratio and change on the additional indebtedness ratio with the
inclusion of a capitalization ratio, as well as inclusion of a
total unencumbered assets to total unsecured debt ratio to
substitute for the previous permitted liens.

Fitch does not expect its view on Docuformas to change solely due
to the adoption of the amendments. However, Docuformas expects to
increase its secured indebtedness, which could drive the unsecured
debt to total debt ratio to nearly 48% (69.2% as of September
2018) but is expected to return to previous years' levels in 2020
and 2021. Docuformas' ratings may come under pressure in the event
that unsecured debt to total funding substantially deviate from
expected ratios.

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.
However, its market penetration within the financial system is
low. The ratings also reflect Docuformas' improved leverage
position after a capital injection of USD27million as of YE2018,
the company's adequate profitability metrics, its positive
maturity gaps, the wholesale nature of its funding mix and its
higher-than-peers impaired loan ratios.

The company's impaired loans ratio improved to 5.3% at the close
of 3Q18 compared from the 5.9% past four-year average, but this
still compares negatively against its closest peers. Positively,
top 20 client concentrations decreased to close to 1.1x equity as
a result of the capital injection. 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 which add volatility to its earnings.

Fitch's affirmation of Docuformas' global senior debt rating
following the recent covenant changes reflects that the debt ranks
pari passu with other senior indebtedness. Therefore, the rating
is at the same level as the company's IDRs. The local debt issues
are at the same level as Docuformas' long- and short-term national
ratings, reflecting its senior unsecured nature.



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, from substantial deterioration of its funding mix 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. The notes'
rating may diverge from the IDRs if asset encumbrance increases to
the extent that it subordinates senior unsecured bondholders.

GRUPO CEMENTOS: Fitch Hikes IDRs to BB+ & USD260M Sr. Notes to BB+
Fitch Ratings has upgraded Grupo Cementos de Chihuahua, S.A.B. de
C.V.'s (GCC) local and foreign currency Issuer Default Ratings
(IDRs) to 'BB+' from 'BB'. Fitch also upgraded GCC's USD260
million senior notes due 2024 to 'BB+' from 'BB'. The Rating
Outlook is Stable.

These rating actions reflect GCC's improved business profile
following a series of organic and inorganic transactions that have
increased the company's product mix and market position. Demand
for the company's products has also increased due to improvements
in the competitive cost position of shale producers in the Permian
and Bakken basins. The changes have bolstered GCC's capacity
utilization rates and boosted its margins given the high operating
leverage of the cement industry.

Fitch expects GCC's net debt/EBITDA to reach 1.0x in 2019 due to
strong FCF generation of about USD100 million. This compares with
1.6x as of LTM 3Q18 and with 1.9x in 2017. The upgrades reflect
Fitch's expectations that the company will continue to pursue
acquisitions that further enhance its position within its key
markets. Given the projected leverage levels, GCC should have
sufficient rating headroom to pursue mid-size acquisitions while
still maintaining net debt/ EBITDA below 3x.

GCC increased its U.S. cement production capacity through the
acquisition of plants in Odessa, TX (acquired in 2016; 514,000
tons) and Trident, MT (2018; 315,000 tons) as well as through its
440,000 ton expansion in Rapid City, SD, which was completed in
fourth-quarter of 2018. These transactions have lowered
transportation costs within the company's geographic footprint and
have bolstered barriers to entry in its key markets. Fitch expects
cement demand for oil well cement, which represents about one
quarter of GCC's U.S. volumes, to remain robust as the full cycle
cash cost of producing a barrel of oil is around USD35 in the
Permian basin.


Leading Market Shares: Grupo Cementos de Chihuahua, S.A.B. de
C.V.'s (GCC) contiguous presence from Chihuahua in northern Mexico
to North Dakota and its efficient distribution and logistics
system allow it to serve markets in 16 states across the U.S.
Midwest, Southwest and Rocky Mountain regions and in the Canadian
province of Alberta. The company is the dominant cement producer
in the state of Chihuahua and has strong market positions in
Colorado, North Dakota, South Dakota, Wyoming, New Mexico and
western Texas. GCC faces a lower threat from seaborne imports,
which can significantly pressure prices, due to its contiguous
presence away from the coasts.

Rising Oil Well Cement Demand: Oil production in the Permian
region in western Texas and eastern New Mexico has grown to 3.8
million barrels of crude oil per day at the end of 2018 from 2.9
million at year-end 2017 and 2.1 million at the end of 2016.
Rising oil production should continue in the coming years, which
bodes well for cement demand in the region since cement is used in
oil and gas drilling. GCC's plants in Odessa, TX, Tijeras, NM and
Samalayuca, Chih. should benefit from increased cement demand in
the region. The Permian basin's competitive oil production costs
and the need to replenish oil rigs should lead to continued demand
for cement from these plants.

Competitive Industry: GCC derives about 62% of its EBITDA from the
U.S. market, where it often competes with larger global and
regional players with more financial resources. This competitive
threat has been somewhat mitigated by GCC's wide distribution
reach relative to its scale. The company continued to generate
positive FCF through the most recent industry downturn and
maintained relatively high profitability. Fierce price competition
following periods of waning demand is a key risk for cement
producers, particularly in more competitive markets such as the
U.S. operations.

Solid Operating Performance: Operating EBITDA strengthened to
USD259 million on a LTM basis as of third quarter in 2018 from
USD221 million a year ago, primarily due to cement demand growth
of oil well cement, increasing exports to the U.S. and higher
cement prices in the U.S. and Mexico. Limited capacity expansions
and rising demand in the U.S. should support rising prices in the
intermediate term and higher sales volumes, while price increases
in Mexico are expected to moderate considering double digit price
hikes since 2016. Although cement demand in Chihuahua should slow
it will likely outperform Mexico's overall cement demand.

Leverage expected to trend down: GCC's total debt was USD662
million as of third-quarter 2018 and gross leverage was 2.6x. This
compares with gross leverage of 3.2x a year ago. GCC's net debt
decreased by around USD35 million when compared to YE 2017 as the
company invested in its South Dakota plant expansion, which was
completed in fourth-quarter 2018. Absent committed capex, GCC
should generate about USD100 million of FCF in 2019. Fitch expects
GCC's gross leverage to decline to 2.3x in 2019 due to increased
cement demand, higher prices in GCC's main U.S. markets.


GCC derives about 65% of its EBITDA from the U.S. market, where it
often competes with larger global and regional players with more
financial resources. The remainder of the group's EBITDA is
generated in Mexico's Chihuahua state where the company is the
sole cement producer. This dual Mexico and U.S. presence is shared
by Elementia (BB+/Stable) albeit in different markets within both
countries. Elementia's product and geographic diversification as a
building product and building materials hybrid with operations in
North, Central and South America compare favorably although
projected cement demand in GCC's markets is expected to be
stronger. Fitch expects GCC to maintain slightly similar net
leverage to Elementia at around 2.5x or below over the
intermediate term. Cementos Pacasmayo (BBB-/Stable), a dominant
cement producer in Northern Peru, has a stronger capital structure
with its net leverage projected to gravitate below 2x. Pacasmayo's
long-term growth prospects are supported by Peru's infrastructure
spending which should benefit Peru's Northern region. While the
U.S. market is expected to continue to recover, its more developed
infrastructure network make it a mature market that, combined with
competitive industry dynamics, is likely to be more volatile.

GCC's capital structure is projected to be stronger than that
maintained by investment-grade cement companies such as CRH (IDR
BBB/Stable), Lafarge Holcim (IDR BBB/Stable) and Heidelberg (IDR
BBB-/Stable) during the next two to three years. The lack of
geographic diversification of GCC relative to these companies, its
smaller scale, and competitive nature of U.S. result in a business
profile more consistent with issuers rated in the BB category.

Cemex (IDR BB-/Positive) and InterCement (IDR B/Stable) have lower
ratings than GCC because their credit protection measures are
projected to be materially worse than GCC's during the next two
years. Both of these companies have strong businesses in several
markets. Votorantim Cimentos (IDR BBB-/Stable), which is a much
larger cement producer with a dominant position in Brazil and
operations throughout the world, is not a direct peer, as its
rating is tied to that of the Votorantim Group, which includes
mining, pulp and financial services subsidiaries.


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

  -- Revenues measured in U.S. dollars grow close to mid-single in
2019-2020, reflecting higher volumes and robust pricing;

  -- EBITDA rises above USD280 million in 2019 and increases to
around USD300 million in 2020;

  -- Debt amortizes according to schedule;

  -- Capex is financed mostly through internal cash flow
generation and available cash;

  -- Dividends remain USD20 million per year in the intermediate


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

A rating upgrade in the near term is unlikely considering the
company's business profile, targeted capital structure and current
credit metrics. A larger scale coupled with a track record of
maintaining gross leverage levels below 2.0x and a strong
liquidity profile would be considered positive for credit quality.

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

Future developments that may, individually or collectively, lead
to a negative rating action include:

  -- Weak operational results reflecting increased price
competition, market share loss or a material slowdown in cement
demand on GCC's key markets of Chihuahua, Western Texas, Colorado,
South Dakota and New Mexico;

  -- Expectations of net debt/EBITDA leverage above 3.0x or FFO
adjusted net leverage above 3.5x or above 3.5x on gross
debt/EBITDA or FFO adjusted leverage above 4x;
  -- Sustained negative FCF generation.

The net leverage sensitivities for a downgrade take into account
the lower business risk associated with the company's now larger
cement distribution network through its contiguous presence in the
U.S. and a favorable outlook for oil well cement demand. They also
reflect Fitch's expectations relative to peers.


GCC's liquidity is sound. The company's cash position as of third-
quarter 2018 was USD224 million, and Fitch expects its FCF to be
around USD100 million in 2019and 2020. This compares with debt
maturities of USD4 million for 2019 and USD25 million in 2020. FCF
expectations are based on robust yearly CFFO of around USD200
million, capex of around USD80 million and dividends of less than
20 million. GCC completed its Rapid City, SD plant expansion
during fourth-quarter 2018. This expansion will increase this
plant's capacity by 440,000 tons to 1.2 million metric tons.

GCC's total debt as of Sept. 30, 2018 was USD662 million and
consists mostly of USD260 million of notes due 2024 and amortizing
bank debt. GCC's net debt/EBITDA leverage was 1.7x as of third-
quarter 2018, compared with 2.3x a year ago. The company maintains
good access to bank lending and capital markets, as evidenced by
debt refinancings during, 2015, 2016, 2017 and 2018.


Fitch has upgraded GCC's ratings as follows:

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

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

  -- USD260 million senior notes due 2024 to 'BB+' from 'BB'.

The Rating Outlook is Stable.

MEXICO: Needs Comprehensive Strategy to Fight Gasoline Theft
EFE News reports that all-out fight against fuel theft being
pushed by Mexican President Andres Manuel Lopez Obrador required a
comprehensive strategy that also includes marketing the plan and
using technology to detect stolen gasoline.

According to experts consulted by EFE, shipping fuel in tanker
trucks, an option that has been employed by the Lopez Obrador
administration, is not the best long-term alternative.

RASSINI AUTOMOTRIZ: Moody's Affirms Ba2 CFR, Alters Outlook to Neg
Moody's Investors Service changed Rassini Automotriz S.A. de
C.V.'s (Rassini) rating outlook to negative from stable. At the
same time, Moody's affirmed Rassini's Ba2 corporate family rating.


The change in the company's outlook to negative from stable
reflects Rassini's substantial increase in its financial
obligations and leverage as Rassini guarantees the new debt used
to finance the repurchase of 55% of its shares, among other
general corporate purposes.

The affirmation of Rassini's Ba2 rating is supported by the
company's leading market position in automotive leaf spring
suspension components in North America and Brazil, its stable
operating performance, adequate leverage and positive free cash
flow over the last few years. Credit positives also include
limited steel price exposure, fixed-price arrangements for key
platforms and a largely US dollar-based revenue stream, which
provides a natural hedge for US dollar costs and liabilities.
Rassini also maintains a competitive cost position, which helps
protect its strong market shares.

The ratings are constrained by the highly competitive environment
in the automotive supplier industry; Rassini's small scale when
compared to industry peers; and its limited business
diversification with product focus on three main components
(brakes, leaf and coil spring suspensions).

In December 2018, GGI INV SPV, S.A.P.I. de C.V, a special vehicle
purpose, launched a tender offer to repurchase 55% of Rassini's
shares traded in the Mexican stock exchange. The share repurchase
was financed through a five-year $455 million secured term loan
guaranteed by Rassini and certain of its operating subsidiaries.
The term loan was used for the share repurchase, to refinance
existing debt, and for other general corporate purposes.

When considering the new $455 million term loan guaranteed by
Rassini, its leverage increased substantially. Absent any
incremental debt, we estimate Rassini's Moody's adj. debt/EBITDA
to reach 3.3x by year end 2018; up from 0.8x over the twelve
months ended September 30, 2018. Moody's estimates the company
will be able to gradually reduce leverage over the following years
reaching 2.8x by year-end 2019 and 2.2x by year-end 2020.

Rassini's liquidity is adequate. Moody's estimates Rassini's cash
on hand will be around $84 million at year-end 2018, covering 2.2x
its short-term debt. Going forward, we anticipate that the company
will continue to generate positive free cash flow (defined as cash
from operations minus dividends minus capex) of an average of
around $70 million per year in 2019-20 and maintain cash balances
around $100-$110 million over the same period of time. In
addition, Rassini's liquidity is further supported by a $30
million, fully available committed credit facility maturing in
2021. The company has a comfortable long-term debt maturity
profile with $36.9 million due 2019, $73.4 million due 2020, $83.5
million due 2021, $83.5 million due 2022, and $176.5 million due

The rating could be downgraded if there is a weakening in the
company's financial policies or corporate governance practices
resulting in a weaker credit profile or liquidity. Failure to
improve its credit metrics showing a de-leveraging trend could
also lead to a downgrade. Furthermore, the rating could be
downgraded if the company's margins are affected by unfavorable
dynamics such as a change in the pass-through steel price
agreements with OEMs or a loss of market position originated by
the changes in trade conditions from the implementation of the new
USMCA. Also, a deterioration of its credit metrics, with its
debt/EBITDA increasing over 3.5x and EBITA/interest expense
declining below 3.0x or negative free cash flow generation, could
lead to a downgrade.

Rassini's ratings could be upgraded if the company maintains its
positive free cash flow generation and strong credit metrics, with
its adjusted gross debt/EBITDA below 1.5x and EBITA/interest
expense over 5.0x. To be considered for an upgrade, the company
would also need to achieve greater size and diversification, while
maintaining its prudent financial policies and adequate liquidity.

The principal methodology used in these ratings was Global
Automotive Supplier Industry published in June 2016.

Rassini Automotriz S.A. de C.V., headquartered in Mexico City,
Mexico, is the leading manufacturer of leaf spring suspension
components for light trucks and commercial vehicles in the NAFTA
region and Brazil. The company is the main leaf spring suspension
components supplier for GM, Ford and Chrysler light trucks in the
NAFTA region and also for a number of heavy truck manufacturers in
Brazil. The company also operates brake rotor and coil spring
suspension divisions, which account for about 33% and 10% of its
sales, respectively. Rassini Automotriz S.A. de C.V. is the main
operating subsidiary of Rassini, S.A.B. de C.V., a privately
controlled holding company based in Mexico City, which trades on
the Mexican Stock Exchange. For the 12 months ended September 30,
2018, Rassini reported sales of $987 million.

P U E R T O    R I C O

LUBY'S INC: Dimensional Fund Has 7.4% Stake as of Dec. 31
In a Schedule 13G/A filed with the Securities and Exchange
Commission, Dimensional Fund Advisors LP reported beneficial
ownership of 2,201,011 shares of common stock of Luby's Inc., as
of Dec. 31, 2018, which represents 7.42 percent of the shares
outstanding.  Dimensional Fund Advisors LP, an investment adviser
registered under Section 203 of the Investment Advisors Act of
1940, furnishes investment advice to four investment companies
registered under the Investment Company Act of 1940, and serves as
investment manager or sub-adviser to certain other commingled
funds, group trusts and separate accounts.  A full-text copy of
the regulatory filing is available for free at:


                           About Luby's

Houston, Texas- based Luby's, Inc. (NYSE: LUB) -- operates 140 restaurants nationally as
of Dec. 19, 2018: 82 Luby's Cafeterias, 57 Fuddruckers, one
Cheeseburger in Paradise restaurants.  Luby's is the franchisor
for 103 Fuddruckers franchise locations across the United States
(including Puerto Rico), Canada, Mexico, the Dominican Republic,
Panama, and Colombia.  Luby's Culinary Contract Services provides
food service management to 30 sites consisting of healthcare,
corporate dining locations, and sports stadiums.

Luby's reported a net loss of $33.56 million for the year ended
Aug. 29, 2018, compared to a net loss of $23.26 million for the
year ended Aug. 30, 2017.  As of Dec. 19, 2018, Luby's had $208.89
million in total assets, $100.83 million in total liabilities, and
$108.05 million in total shareholders' equity.

Grant Thornton LLP, in Houston, Texas, issued a "going concern"
qualification in its report on the consolidated financial
statements for the year ended Aug. 29, 2018, noting that the
Company sustained a net loss of approximately $33.6 million and
net cash used in operating activities of approximately $8.5

The Company's term and revolving debt of approximately $39.5
million is due May 1, 2019.  The Company was in default of certain
debt covenants of its term and revolving credit agreements
maturing on May 1, 2019.  On Aug. 24, 2018, the lenders agreed to
waive the existing events of default resulting from any breach of
certain financial covenants or the limitation on maintenance
capital expenditures, in each case that may have occurred during
the period from and including May 9, 2018 until Aug. 24, 2018, and
any related events of default.  Additionally, the lenders agreed
to waive the requirements that the Company comply with certain
financial covenants until Dec. 31, 2018, at which time the Company
will be in default without an additional waiver or alternative

These conditions, along with other matters, raise substantial
doubt about the Company's ability to continue as a going concern.

PUERTO RICO: Settlement Agreement with Sales Tax Entity Approved
District Judge Laura Taylor Swain entered an order approving the
settlement between the Commonwealth of Puerto Rico and Puerto Rico
Sales Tax Financing Corporation.

The Commonwealth of Puerto Rico, by and through the Financial
Oversight and Management Board for Puerto Rico, filed a motion
pursuant to Bankruptcy Rule 9019 for an order approving the
settlement between the Commonwealth of Puerto Rico and Puerto Rico
Sales Tax Financing Corporation.

The motion presents the Court with the question of whether to
approve an agreement embodying a settlement ("Settlement
Agreement") that divides rights to a significant flow of tax
revenues between two debtors--the Commonwealth of Puerto Rico and
COFINA--that have been involved in complex litigation concerning
claims, on the one hand, that the Commonwealth previously made a
valid transfer of the disputed tax revenue stream to COFINA to
support the repayment of billions of dollars of bonds and, on the
other hand, that the Commonwealth did not have the power to
transfer rights to the revenue stream to COFINA or did not make
the transfer in an effective way. Hundreds of millions of dollars
of projected annual revenues over a period of decades are
implicated in this dispute, which is commonly referred to as the
Commonwealth-COFINA Dispute. The Commonwealth-COFINA Dispute
itself arises in the extraordinary circumstances of a sovereign
restructuring under a special statute, PROMESA, that was enacted
in 2016 to enable Puerto Rico and other United States territories
to seek bankruptcy type relief in federal court. Thus, unlike in a
typical commercial restructuring involving private commercial
entities, here one of the debtor parties is the Commonwealth of
Puerto Rico--a public, government entity upon which millions of
people depend for essential services and economic and physical
infrastructure--and the other is a Commonwealth instrumentality
that has issued bonds to finance governmental obligations.

Here, the Court is satisfied that it should approve the Settlement
Agreement because the Settlement Agreement represents a reasonable
compromise of the Commonwealth-COFINA Dispute. The litigation
concerning that underlying dispute has been complex and costly,
and, absent approval of the Settlement Agreement, threatens to
drag on for months or even years. Continuing that litigation would
further deplete the resources available to the Commonwealth and
its many stakeholders. Further litigation would also present a
significant gamble for the Commonwealth: if litigated to its
conclusion, an adverse judgment in the Commonwealth-COFINA dispute
could deprive the Commonwealth of billions of dollars of sales tax
revenue over the course of decades. The Settlement Agreement
represents a well-reasoned choice to reject that risky gamble and
to accept a compromise that is, admittedly, deeply disappointing
to countless citizens of Puerto Rico and investors in Commonwealth

The Court is hopeful that, by settling the Commonwealth-COFINA
dispute and ensuring the Commonwealth's access to a meaningful
share of sales tax revenues that were previously pledged to
COFINA, the Settlement Agreement can pave the way for the
responsible officials to marshal resources, reach future
agreements, and design a plan of adjustment for the Commonwealth
that meets PROMESA's goals of achieving fiscal responsibility and
access to capital markets for the benefit of the Commonwealth, its
people, and its many other stakeholders.

A copy of the Court's Memorandum Opinion and Order dated Feb. 4,
2019 is available at:

                      About Puerto Rico

Puerto Rico is a self-governing commonwealth in association with
the United States that's facing a massive bond debt of $70
billion, a 68% debt-to-GDP ratio and negative economic growth in
nine of the last 10 years.

The Commonwealth of Puerto Rico has sought bankruptcy protection,
aiming to restructure its massive $74 billion debt-load and $49
billion in pension obligations.

The debt restructuring petition was filed by Puerto Rico's
financial oversight board in U.S. District Court in Puerto Rico
(Case No. 17-01578) on May 3, 2017, and was made under Title III
of 2016's U.S. Congressional rescue law known as the Puerto Rico
Oversight, Management, and Economic Stability Act ('PROMESA').

The Financial Oversight and Management Board later commenced Title
III cases for the Puerto Rico Sales Tax Financing Corporation
(COFINA) on May 5, 2017, and the Employees Retirement System (ERS)
and the Puerto Rico Highways and Transportation Authority (HTA) on
May 21, 2017.  On July 2, 2017, a Title III case was commenced for
the Puerto Rico Electric Power Authority ("PREPA").

U.S. Chief Justice John Roberts has appointed U.S. District Judge
Laura Taylor Swain to oversee the Title III cases.  The Honorable
Judith Dein, a United States Magistrate Judge for the District of
Massachusetts, has been designated to preside over matters that
may be referred to her by Judge Swain, including discovery
disputes, and management of other pretrial proceedings.

Joint administration of the Title III cases, under Lead Case No.
17-3283, was granted on June 29, 2017.

The Oversight Board has hired as advisors, Proskauer Rose LLP and
O'Neill & Borges LLC as legal counsel, McKinsey & Co. as strategic
consultant, Citigroup Global Markets, as municipal investment
banker, and Ernst & Young, as financial advisor.

Martin J. Bienenstock, Esq., Scott K. Rutsky, Esq., and Philip M.
Abelson, Esq., of Proskauer Rose; and Hermann D. Bauer, Esq., at
O'Neill & Borges are on-board as attorneys.

McKinsey & Co. is the Board's strategic consultant, Ernst & Young
is the Board's financial advisor, and Citigroup Global Markets
Inc. is the Board's municipal investment banker.

Prime Clerk LLC is the claims and noticing agent.  Prime Clerk
maintains a case web site at

Epiq Bankruptcy Solutions LLC is the service agent for ERS, HTA,
and PREPA.

O'Melveny & Myers LLP is counsel to the Commonwealth's Puerto Rico
Fiscal Agency and Financial Advisory Authority (AAFAF), the agency
responsible for negotiations with bondholders.

The Oversight Board named Professor Nancy B. Rapoport as fee
examiner and to chair a committee to review professionals' fees.

                    Bondholders' Attorneys

Kramer Levin Naftalis & Frankel LLP and Toro, Colon, Mullet,
Rivera & Sifre, P.S.C. and serve as counsel to the Mutual Fund
Group, comprised of mutual funds managed by Oppenheimer Funds,
Inc., and the First Puerto Rico Family of Funds, which
collectively hold over $4.4 billion of GO Bonds, COFINA Bonds, and
other bonds issued by Puerto Rico and other instrumentalities.

White & Case LLP and Lopez Sanchez & Pirillo LLC represent the UBS
Family of Funds and the Puerto Rico Family of Funds, which hold
$613.3 million in COFINA bonds.

Paul, Weiss, Rifkind, Wharton & Garrison LLP, Robbins, Russell,
Englert, Orseck, Untereiner & Sauber LLP, and Jimenez, Graffam &
Lausell are co-counsel to the ad hoc group of General Obligation
Bondholders, comprised of Aurelius Capital Management, LP,
Autonomy Capital (Jersey) LP, FCO Advisors LP, and Monarch
Alternative Capital LP.

Quinn Emanuel Urquhart & Sullivan, LLP and Reichard & Escalera are
co-counsel to the ad hoc coalition of holders of senior bonds
issued by COFINA, comprised of at least 30 institutional holders,
including Canyon Capital Advisors LLC and Varde Investment
Partners, L.P.

Correa Acevedo & Abesada Law Offices, P.S.C., is counsel to Canyon
Capital Advisors, LLC, River Canyon Fund Management, LLC, Davidson
Kempner Capital Management LP, OZ Management, LP, and OZ
Management II LP (the QTCB Noteholder Group).


The U.S. Trustee formed an official committee of retirees and an
official committee of unsecured creditors of the Commonwealth.
The Retiree Committee tapped Jenner & Block LLP and Bennazar,
Garcia & Milian, C.S.P., as its attorneys.  The Creditors
Committee tapped Paul Hastings LLP and O'Neill & Gilmore LLC as


URUGUAY: Welcomed Fewer Tourists but Spending Rose 15% in January
EFE News reports that Uruguayan Tourism Minister Liliam Kechichian
disclosed that during January, the country welcomed 432,000
visitors, 29 percent fewer than during the same month in 2018, but
each spent an average of $820, 15 percent more than during the
previous period.

"Both the average spending and the spending per person ($117 per
person per day) grew -- by 15 percent in terms of average spending
and by 23 percent in average spending per person per day -- which
tells us that fewer visitors came in . . . January than in 2018,
but they spent more," she said at a press conference, according to
EFE News.


PETROLEOS DE VENEZUELA: Sued by Owens-Illinois Over $500MM Award
Bob Van Voris at Bloomberg News reports that Owens-Illinois Inc.
sued four companies owned by Venezuela, including Petroleos de
Venezuela SA and Citgo Petroleum Corp., to collect a $500 million
arbitration award over the 2010 nationalization of two plants
located in the South American nation.

The suit, filed in federal court in Delaware, claims the companies
are "alter egos, and mere instrumentalities of Venezuela itself,"
and should be forced to pay the award, according to Bloomberg

Owens-Illinois, a U.S. manufacturer of glass containers, is among
a group of companies that have made claims against Venezuela over
expropriations of property under President Hugo Chavez, who died
in 2013, Bloomberg News recalls.  Crystallex International Corp.
and Venezuela agreed to settle a $1.2 billion dispute over the
2011 nationalization of a gold deposit in the South American
nation and ConocoPhillips said it'll get $2 billion in a separate
settlement with PDVSA, Bloomberg News notes.

Perrysburg, Ohio-based Owens-Illinois is trying to collect on a
2015 award by a three-member panel of the International Centre for
Settlement of Investment Disputes, which said the company was
entitled to $372 million plus interest, Bloomberg News discloses.
The suit was filed by a Dutch subsidiary, OI European Group BV,
Bloomberg News says.

The tribunal found that Venezuela violated its obligations under a
1991 investment treaty with the Netherlands, Bloomberg News says.

PDVSA is a Venezuela corporation. PDVH, Citgo Holding and Citgo
Petroleum are all registered in Delaware with headquarters in

Venezuela in the midst of a political crisis that threatens the
leadership of President Nicolas Maduro, Bloomberg News notes.  The
U.S. and dozens of countries have backed National Assembly leader
Juan Guaido as interim president, with the U.S. imposing economic
sanctions in hopes of pressuring Maduro to step down, Bloomberg
News relays.

The case is OI European Group BV v. Bolivarian Republic of
Venezuela, 19-cv-00290, U.S. District Court, District of Delaware

As reported in the Troubled Company Reporter-Latin America on
Aug. 24, 2018, S&P Global Ratings affirmed its 'SD' global scale
issuer credit rating and 'D' issue-level ratings on Petroleos de
Venezuela S.A. (PDVSA).


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

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

Submissions about insolvency-related conferences are encouraged.
Send announcements to


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A.
Chapman, Editors.

Copyright 2019.  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,
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