TCRLA_Public/190618.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

          Tuesday, June 18, 2019, Vol. 20, No. 121

                           Headlines



A R G E N T I N A

[*] ARGENTINA: Recovers Electricity After Massive Blackout


B R A Z I L

AVIANCA BRASIL: Court Allows Carrier to Hold Bankruptcy Auction
BRAZIL: General Strike Presents Mixed Picture
GRAPHIC PACKAGING: Moody's Rates New $300MM Unsecured Notes 'Ba2'
JBS SA: To Increase Capacity at Ituiutaba Site
RUMO SA: Fitch Hikes LongTerm IDR to 'BB+', Outlook Stable

SONAE SIERRA: Moody's Affirms Ba2 Global Scale CFR, Outlook Stable


C A Y M A N   I S L A N D S

WHITE OAK: Chapter 15 Case Summary
ZHENRO PROPERTIES: Moody's Rates Proposed USD Perpetual Notes 'B2'


C O L O M B I A

AVIANCA HOLDINGS: Fitch Lowers LT IDRs to 'B-', On Watch Negative


J A M A I C A

JAMAICA: Improved Economic Growth in FY2018/19, IMF Says


V E N E Z U E L A

PETROLEOS DE VENEUELA: Guaido Asks Jamaica Not To Seize Shares


X X X X X X X X

KIDOZ INC: Losses, Accumulated Deficit Cast Going Concern Doubt

                           - - - - -


=================
A R G E N T I N A
=================

[*] ARGENTINA: Recovers Electricity After Massive Blackout
----------------------------------------------------------
EFE News reports that Argentines woke to a massive blackout on June
16 -- when the country was both celebrating Father's Day and four
provinces were holding elections -- but electricity was gradually
and almost fully restored during the course of the day and
authorities have launched an investigation of the disruptive
incident.

A "collapse" in the Argentine Interconnection System (SADI) caused
the "massive outage in electric energy" across Argentina and
Uruguay, the Energy Secretariat said, according to EFE News.

As reported in the Troubled Company Reporter-Latin America, S&P
Global Ratings in June 2018 affirmed its 'B+' long-term sovereign
credit ratings on the Republic of Argentina. S&P's long-term
sovereign credit ratings on Argentina was raise to 'B+' from 'B' in
October 2017. The outlook on the long-term ratings remains stable.

In May 2018, Fitch Ratings affirmed Argentina's Long-Term
Foreign-Currency Issuer Default Rating (IDR) at 'B' and revised the
Outlook to Stable from Positive.

In December 2017, Moody's Investors Service upgraded the Government
of Argentina's local and foreign currency issuer and senior
unsecured ratings to B2 from B3. The senior unsecured shelves were
upgraded to (P)B2 from (P)B3. The outlook on the ratings is stable.
At the same time, Argentina's short-term rating was affirmed at Not
Prime (NP). The senior unsecured ratings for unrestructured debt
were affirmed at Ca and the unrestructured senior unsecured shelf
affirmed at (P)Ca. Moody's said the key drivers of the upgrade of
the rating to B2 are: (1) a record of macro-economic reforms that
are beginning to address long existing distortions in Argentina's
economy; and (2) the likelihood that reforms will continue and in
turn sustain the recent return to positive economic growth. The
stable outlook on Argentina's B2 ratings balances Argentina's
credit strengths of its large, diverse economy and moderate income
levels against the credit challenges posed by still high fiscal
deficits and a reliance on external financing, which increases its
vulnerability to external event risk, said Moody's.

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




===========
B R A Z I L
===========

AVIANCA BRASIL: Court Allows Carrier to Hold Bankruptcy Auction
---------------------------------------------------------------
Marcelo Rochabrun at Reuters reports that a Brazilian appeals court
ruled that airline Avianca Brasil should be allowed to hold a
bankruptcy auction in which it is expected to sell its most coveted
airport landing and departure rights.

The bankruptcy auction had been originally scheduled for early May,
but was suspended at the last minute after an injunction was
issued, according to Reuters.  Avianca Brasil filed for bankruptcy
protection in December after falling behind on lease payments for
its fleet and fell victim to high oil prices and a weak local
currency, the report relays.

Avianca Brasil has been reducing its operations and lost nearly all
of its Airbus planes by April, the report notes.  Brazil's civil
aviation regulator ANAC suspended all remaining activity in late
May. The airline has not flown since, the report says.

Avianca Brasil's largest creditor is U.S. hedge fund Elliott
Management, with claims of around $500 million, the report relays.

The carrier is controlled by the Efromovich family, whose aviation
businesses have been battered recently. German Efromovich was
ousted as chairman of Colombia-based Avianca Holdings SA in a
boardroom shakeup led by United Airlines, which has lent millions
to Efromovich's companies, the report discloses.

                       About Avianca Brasil

Avianca Brazil, officially Oceanair Linhas Aereas S/A, is a
Brazilian airline based in Sao Paulo, Brazil.  It operates
passenger services from more than 20 destinations.  It is hailed as
the fourth largest airline in Brazil.  Synergy Group is the parent
company of Avianca Brazil.

On December 10, 2018, Avianca Brazil filed for bankruptcy when
three lessors took a move to gain possession of 30% of the
airline's 50 all-Airbus fleet.  The airline further blamed high
fuel prices and a strong dollar for its troubles.  The airline
noted at that time that flights won't be affected.


BRAZIL: General Strike Presents Mixed Picture
---------------------------------------------
Latinx Today reports that events took place in each of Brazil's 27
states as a part of a general strike called by unions against
right-wing President Jair Bolsonaro's plan to cut pensions, but the
material impact of the mobilization varied widely by location and
economic sector.

Roughly 45 million workers heeded the call to walk off the job, the
unions said, according to Latinx Today.

While many businesses were unaffected, most teachers joined the
strike and public transportation was sharply curtailed in hundreds
of municipalities in 19 states, the report relays.

The morning hours saw isolated incidents surrounding protests.

The report notes that in Niteroi, a suburb of Rio de Janeiro, a
motorist drove his vehicle into a group of demonstrators, while
militants in Sao Paulo set a car on fire to block a street,
prompting police to respond with stun grenades.

As evening approached, thousands of people gathered in Sao Paulo's
financial district for a peaceful protest that addressed not only
the proposed pension reforms but other grievances, including the
2018 assassination of leftist Rio city councilor Marielle Franco,
amid a general rejection of Bolsonaro, the report says.

The crowd in Sao Paulo also demanded the release from prison of
former two-term President Luiz Inacio Lula da Silva, whose 2017
conviction for corruption has been called into question with the
publication of messages showing bias on the part of Judge Sergio
Moro, who is now justice minister, the report relays.

The biggest concentration of protesters was around the Candelaria
Church in Rio de Janeiro, the report notes.

The event unfolded peacefully when police used stun grenades to
disperse a large group of protesters, the report says.

June 14 marked the unions' first direct challenge to Bolsonaro,
whose tenure, which began Jan. 1, has been shaped by scandals and a
seeming lack of coordination on the policy front, the report
relays.

To make matters worse, Brazil's economy seems on the verge of
falling into recession. Brazilian gross domestic product (GDP)
plunged nearly 7 percent in 2015-2016, but growth resumed in 2017,
albeit at a modest annual rate of 1 percent, the report discloses.
After gaining 1 percent again last year, GDP inched up 0.5 percent
in the first quarter of 2019 and more than 13 million Brazilians
are unemployed, the report adds.

As reported in the Troubled Company Reporter-Latin America on May
27, 2019, Fitch Ratings has affirmed Brazil's Long-Term
Foreign-Currency Issuer Default Rating (IDR) at 'BB-' with a Stable
Outlook.


GRAPHIC PACKAGING: Moody's Rates New $300MM Unsecured Notes 'Ba2'
-----------------------------------------------------------------
Moody's Investors Service assigned a Ba2 rating to Graphic
Packaging International, LLC's new $300 million senior unsecured
notes due in 2027. The proceeds of the note offering will be used
to repay a portion of the revolver borrowings and fund transaction
related fees and expenses. At the same time, Moody's affirmed the
company's existing ratings, including the Ba1 Corporate Family
Rating, Ba1-PD Probability of Default Rating, Baa3 senior secured
bank credit facility rating, Ba2 senior unsecured rating and the
SGL-2 Speculative Grade Liquidity Rating. The outlook remains
stable.

Assignments:

Issuer: Graphic Packaging International, LLC

Senior Unsecured Regular Bond/Debenture, Assigned Ba2 (LGD5)

Outlook Actions:

Issuer: Graphic Packaging International, LLC

Outlook, Remains Stable

Affirmations:

Issuer: Graphic Packaging International, LLC

Probability of Default Rating, Affirmed Ba1-PD

Speculative Grade Liquidity Rating, Affirmed SGL-2

Corporate Family Rating, Affirmed Ba1

Senior Secured Revolving Credit Facility, Affirmed Baa3 (LGD2 from
LGD3)

Senior Secured Term Loan A, Affirmed Baa3 (LGD2 from LGD3)

Gtd. Senior Unsecured Regular Bond/Debenture, Affirmed Ba2 (LGD5)

RATINGS RATIONALE

The Ba1 CFR is supported by Graphic Packaging's scale, its leading
market position in a consolidated industry, modest leverage
(Debt/EBITDA of 3.4x in the twelve months ended March 31, 2019 on a
Moody's adjusted basis) and strong cash flow generation (RCF/Debt
above 21%). Graphic Packaging is the largest North American
producer of coated unbleached kraft (CUK) paperboard and coated
recycled paperboard (CRB) and the second largest producer of solid
bleached sulfate (SBS) board. The company has the largest network
of converting plants among North American paperboard producers,
converts 71% of the board it produces and passes through cost
increases on a contractual basis, albeit with a lag. The rating is
constrained by exposure to volatile recycled fiber costs and low
organic volume growth. The rating reflects Moody's expectations
that Graphic Packaging will continue to increase vertical
integration in the SBS consumer packaging business through
acquisitions or use free cash flow to buy back shares rather than
further reducing debt. The rating also reflects its  expectations
that leverage metrics will remain near current levels if
International Paper Company (IP, Baa2 stable) decides to start
monetizing its shares in the combined company in 2020.Under the
terms of the current agreement, IP can monetize up to $250 million
worth of its holding at a time and has to wait six months between
each request to monetize its stake. IP can receive the proceeds in
either cash or stock at Graphic Packaging's option. Assuming an all
cash payment, Graphic Packaging's leverage could increase half a
turn if IP exercises its right twice in one year. The rating
reflects expectations that the company would slow down share
repurchases to return metrics within its own stated net leverage
target of 2.5-3.0x if leverage increases as a result of the IP
transaction.

Graphic Packaging's SGL-2 speculative grade liquidity rating
indicates good liquidity. The company maintains low cash balances
and relies on internally generated cash and a large revolver for
its liquidity. Graphic Packaging had approximately $62 million of
cash on hand as of March 2019, which was mostly located in foreign
jurisdictions. Internal cash generation is supported by a
significant amount of NOLs (approximately $168 million as of
December 31, 2018). Graphic Packaging is not expected to become a
meaningful federal cash taxpayer until 2021. The company had over
$880 million of availability under its $1.45 billion U.S. senior
secured revolving credit facility. The company intends to use the
proceeds from the proposed $300 million note offering to repay a
portion of its revolver borrowings. The revolver and a $800 million
term loan mature in 2023 along with assumed $660 million term loan
from IP. The nearest maturity is $425 million of notes due in
2021.

The company's amended and extended senior credit agreement has a
total leverage ratio covenant of 4.25 times as well as an interest
coverage covenant of 3 times. Moody's expects the company will
remain in compliance with its debt covenants over the next 12
months.

The senior secured revolver and the senior secured term loans are
rated Baa3 (one notch above the Ba1 CFR), reflecting their
preferential position in the capital structure and the loss
absorption cushion provided by the unsecured notes and other
unsecured obligations. The secured facilities are secured and
guaranteed by all significant domestic operating subsidiaries. The
company's unsecured notes are rated Ba2, one notch below the Ba1
CFR, due to the effective subordination to the sizable senior
secured debt. The new senior unsecured notes will be guaranteed by
Graphic Packaging International Partners, LLC, a holding company
that owns the obligor and operating subsidiaries. The existing
senior unsecured notes are guaranteed by Graphic Packaging Holding
Company, another holding company. Moody's views guarantees as
similar and rates both new and existing unsecured notes the same.

The stable outlook reflects expectations that Graphic Packaging
will benefit from implemented price increases and maintain strong
credit metrics over the next 12 to 18 months.

For the ratings to be upgraded to the investment grade level, the
company's management would need to publicly commit to maintaining
investment-grade financial policies and achieve an unsecured
capital structure. The company would also need to maintain
debt/EBITDA below 3 times (3.4x as of March 31, 2019), maintain
EBITDA margin above 16% (16.8% as of March 31, 2019) and retained
cash flow to debt above 20% (21.2% as of March 31, 2019).The
ratings could be downgraded if operating performance and credit
metrics deteriorate such as debt/EBITDA rises to 4 times and
retained cash flow to debt falls below 15%. The ratings could also
be downgraded if the company undertakes a large debt-financed
acquisition or shareholder-friendly actions that significantly
increases its leverage.

The principal methodology used in these ratings was Paper and
Forest Products Industry published in October 2018.

Headquartered in Atlanta, GA, Graphic Packaging is one of North
America's leading manufacturers of CUK, CRB and SBS paperboard
packaging for food, food service, beverages and consumer goods.
Graphic Packaging operates 8 paperboard mills that produce 3.8
million tons of boxboard, including approximately 1.5 million tons
of CUK, roughly 1 million tons of CRB, 1.2 million tons of SBS and
roughly 100,000 tons of corrugated medium. The company has over 65
converting plants in North America, Brazil, Europe, Australia and
New Zealand. Graphic Packaging Holding Company owns 78.8% of
Graphic Packaging International, LLC and International Paper owns
the rest of the company. Graphic Packaging generated sales of
approximately $6 billion for the twelve months ended March 31,
2019.


JBS SA: To Increase Capacity at Ituiutaba Site
----------------------------------------------
Aidan Fortune at Global Meat News reports that Brazilian processor
JBS SA has invested BRL45 million in the expansion of its plant in
Ituiutaba in Minas Gerais to help create 700 new jobs.

The investment will enable the business to increase the production
capacity of its Friboi unit by 50%, according to Global Meat News.

JBS said it hoped the increased capacity would help the business to
serve its main export markets, such as Europe, the Middle East,
China and Chile, as well as the domestic market.

The report notes that as part of the expansion, the business plans
to modernize equipment and implement a project that allows a better
flow to increase production, the report discloses.  Due to the
expansion, JBS will start a second shift of the work in the unit
and, during the second half, will open 700 new jobs in the city,
the report relays.

In May, JBS USA announced it was to invest US$95 million in its
Grand Island beef production facility in Nebraska, the report
relays.  In the same month, it outlined sustainability progress
made over the past year, the report adds.   

As reported in the Troubled Company Reporter-Latin America on
May 1, 2019, S&P Global Ratings affirmed its 'BB' global scale
corporate credit ratings on JBS S.A. and JBS USA Lux S.A. and S&P's
'brAA-' national scale corporate credit rating on JBS.  S&P also
affirmed its 'BB' senior unsecured ratings on JBS and JBS USA.  In
addition, S&P raised senior secured debt ratings on JBS USA to
'BBB-' from 'BB'.   S&P revised the recovery rating on this debt to
'1', reflecting a very high (90%-100%) recovery, from '3'.
Moreover, S&P revised its recovery rating on JBS USA's unsecured
debt to '3', reflecting a meaningful (50%-70%; the lower band of
the range) recovery, from '4'.  Finally, S&P kept its recovery
rating on JBS's unsecured debt at '4', reflecting an average
(30%-50%; now in the lower band of the range) recovery, unchanged.


RUMO SA: Fitch Hikes LongTerm IDR to 'BB+', Outlook Stable
----------------------------------------------------------
Fitch Ratings has upgraded Rumo S.A.'s Long-Term Local-Currency
Issuer Default Rating to 'BB+' from 'BB'. In addition, Fitch has
upgraded Rumo's National Long-Term Ratings, and its subsidiaries'
and respective unsecured debentures ratings to 'AAA(bra)' from
'AA(bra)'. The Rating Outlook for the Local-Currency IDR and the
National Long-Term Ratings has been revised to Stable from
Positive. The Long-Term Foreign-Currency IDR and Rumo's unsecured
bonds due in 2024 and 2025, which were issued by Rumo Luxembourg
S.a.r.l., were affirmed at 'BB'. The Rating Outlook for the
Long-Term Foreign-Currency IDR remains Stable.

The rating upgrades are supported by Rumo's consistent scale gains,
which have resulted in solid operating margins expansion and
boosted operating cash flow generation. These factors led to a
strong capital structure that, combined with the robust liquidity
position and consistent access to long-term credit lines,
positively prepared the company to face the challenges of financing
the new cycle of important investments, while maintaining its
robust financial profile. The upgrades also factor Fitch's forecast
that the investments into Ferrovia Norte Sul (FNS) are likely to
benefit Rumo's business profile starting in 2022. This includes the
stronger penetration of its rail net and the consolidation of the
company's presence in the mid-western region of the country, with
solid long-term growth perspectives, leading to important
opportunities to capturing increasing volumes of transportation.
Rumo's Foreign-Currency IDR is constrained by Brazil's 'BB' Country
Ceiling.

Rumo's ratings are also supported by its solid business position as
one of the largest railroad operators in Brazil, with competitive
advantages compared with alternative transportation options,
relatively high and stable operating profitability and strong cash
flow generation capacity. In addition, the ratings consider the
solid fundamentals of the industry, which include stable demand
over the cycles. Factored into the rating is Fitch's expectation
that Rumo will preserve its robust liquidity position during the
challenging investment period, derived from the company's sound
access to local and international debt and capital markets. Fitch
sees Rumo's affiliation with Cosan Limited (BB/Stable) as credit
positive, as it provides the company reasonable financial
flexibility, illustrated by capital injections.

The Stable Outlook for the Local-Currency IDR and the National
Long-Term Rating is based on the expectations that Rumo will be
able to manage its net debt/EBITDA consistent with its ratings,
peaking at 2.5x-3.0x in 2021 and 2022, when capex is at the highest
level. In addition, Fitch does not foresee constraints on Rumo's
financial flexibility to support the expected negative free cash
flow (FCF) in coming years. The Stable Outlook for the
Foreign-Currency IDR mirrors the Outlook for the sovereign IDR.

KEY RATING DRIVERS

Business Profile Remains Strong: Fitch believes that the railroad
sector's risk is low. Within this sector, Rumo enjoys a robust
business position as the sole railroad transportation company in
the south and mid-western regions of Brazil, with four concessions
to operate railway lines extending more than 12,000km within
Brazil, with access to three main Brazilian ports. Due to its lower
cost structure, Rumo's businesses enjoy solid competitive
advantages over truck services, which enhance consistent demand and
limits volume volatilities over cycles. Fitch sees as credit
positive Rumo's successful bid to operate the central stretch of
FNS, which is linked with its rail network in Sao Paulo (Malha
Paulista). The new stretch, when operational, is likely to increase
the company's penetration in the central region of Brazil, which
brings vast opportunities to capture large volumes of grains to be
transported from Brazil's mid-western region to Santos Port.

Business Environment is Solid: Rumo's operations benefit from the
solid agricultural international trade flow in Brazil, which
presents high growth potential. This fact reduces the risks of
operating solely in one region, protecting the company's cash flow
against the country's economic downturns. Rumo's strong demand is
driven by consistent cargo volume, as demonstrated by the 56
billion revenue per ton kilometers (RTK), in 2018, which compares
favorably versus 50 billion RTK in 2017. Fitch forecasted volumes
to increase by 9%-11% from 2019 onwards, benefited by increased
capacity provided by the recent investments.

FCF Negative Should Persist: Fitch expects Rumo's EBITDA margins to
slightly decline to about 47% in 2019 and 2020, after consistent
improvements up to 49.7% in 2018, as pre-operational expenses of
the newest concession contract start to kick in, thus offsetting
the impact of solid gains of scale on its margins. Supported by
volume expansion, Fitch projects Rumo's EBITDA and funds from
operations (FFO) will reach BRL3.4 billion and BRL2.3 billion,
respectively, in 2019. Nevertheless, pressures on the company's
cash flow are expected to come from the new cycle of investments
that will result from the addition of the FNS stretch to Rumo's
portfolio, which will become fully operational only in 2022. The
company's FCF is not expected to become positive before 2022, after
capex of about BRL15 billion in the period, with a total of BRL5.0
billion in the next couple of years. Fitch anticipates that the
early renewal of Rumo Malha Paulista S.A.'s concession contract,
which will mature in 2028, does not have rating implications, as it
is unlikely to result in material capex increases.

Conservative Leverage for the Industry: Rumo's net debt/EBITDA
ratio should remain below 3.0x in the coming years, despite of the
higher capex, which is a low metric for the industry. The base case
scenario considers gross and net leverage of 3.4x and 2.2x,
respectively, in 2019. The peak should occur in 2021 and 2022, when
large amounts of rolling assets will be financed under the FNS
project. In the LTM ended March 31, 2019, total debt/EBITDA was 3.1
x and net debt/EBITDA was 2.3 x.

Credit Linkage Incorporated: The ratings of Rumo and the
subsidiaries are equalized, due to strong operational, financial
and legal ties among them. The strong operating synergies, the
centralized cash management and the cross guarantees on their debt
permit the credit profile to be analyzed on a consolidated basis
along with the ratings.

DERIVATION SUMMARY

Rumo's ratings reflect its strong business profile in the logistics
infrastructure industry in Brazil, which enjoys positive
perspectives. The railroad's low cost structure and Rumo's position
as the sole railroad provider in its covered region provides
important competitive advantages, allowing it to report consistent
volume improvements and increasing operating cash flow generation
while its operational capacity expands. A rating constrain is its
business concentration in one country, as it only serves Brazil's
agribusiness and industrial regions, like most of its Brazilian
peers, but different from other railroads worldwide, which enjoy a
more diversified covered region. The company's track record on
generating strong cash generation and its ability to improve its
credit metrics over the last three years are important credit
factors that support Rumo's ratings.

Rumo's ratings are positioned below Brazil's MRS S.A., rated
'BBB-'/Stable, which is the best-positioned railroad in the
country, due to its consistent operating cash flow generation, flat
operating margins, track record of positive FCF, low leverage and
sound liquidity. Rumo's rating is constrained by the negative FCF
expectation, derived from its large investment programs. Rumo's and
MRS's ratings are below those of other mature, more geographically
diversified and less leveraged rail companies in Mexico, the U.S.
and Canada, like Kansas City Southern, which are generally rated in
the mid 'BBB' to low 'A' range. Rumo's operating margins are in
line with Brazilian peers but below levels achieved by railroads in
the Northern hemisphere. Rumo's 'BB+' Local-Currency IDR is above
that of Hidrovias do Brasil S.A. (HdB, BB/Stable), due to the
railroad's ability to generate more stable operating cash flow and
to finance the large investment to increase volumes. HdB's net
leverage is higher than Rumo's, consistent with its still immature
profile, based on predictable cash flow generation within the low
competition cabotage business in Brazil, in the midterm.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within Its Rating Case For The Issuer
Include:

  -- Annual volume increases of 9% to 11% from 2019 and 2021;

  -- Additional 5 million RTK coming from FNS in 2022;

  -- Tariff increases in line with inflation rate expected for 2019
and 2020;

  -- Capex of BRL5.0 billion in the 2019-2022 period.

RATING SENSITIVITIES

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

  -- Net adjusted leverage trending below 2.5x, on a sustainable
basis;

  -- Maintenance of strong liquidity and positive debt refinancing
schedule;

  -- Consistent Positive FCF trends;

  -- Positive actions toward the sovereign rating may lead to
positive actions regarding Rumo's Foreign-Currency IDR and the
rating of its unsecured bonds, currently limited by the Brazilian
Country Celling.

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

  -- Inability to finance capex with long-term and low cost debt,
putting pressure on debt amortization schedule;

  -- Substantial weakening of current EBITDA margin;

  -- Net adjusted leverage trends above 3.5x, on a sustainable
basis.

LIQUIDITY

Sound Liquidity: Fitch understands Rumo's liquidity will remain
strong and sustainable in the long-term, considering the financial
flexibility the company has presented to finance its past capex
plan. The agency anticipates Rumo's ability to raise funds with
Banco Nacional de Desenvolvimento Economico e Social (BNDES) and
other Brazilian foment entities, as well as national and
international capital markets, should lead cash-to-short term debt
to remain above 1.0x in the medium term, while the company presents
negative FCF. The company has presented cash on hand above BRL2.5
billion and the liquidity coverage ratio has been above 1.5x since
2017. At the end of March 2019, Rumo's consolidated debt was
BRL10.4 billion, mainly comprised of senior notes (BRL5.1 billion),
BNDES debt (BRL3.6 billion) and debentures (BRL1.0 billion), with
BRL1.2 billion on short-term debt covered by cash and equivalents
of BRL2.7 billion by 2.3 x.

FULL LIST OF RATING ACTIONS

Rumo S.A.

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

  -- Long-Term Foreign-Currency IDR affirmed at 'BB';

  -- National Scale Long-Term Rating upgraded to 'AAA(bra)' from
'AA(bra)'.

Rumo Luxembourg S.a.r.l.:

  -- Senior unsecured notes due 2024 and 2025 affirmed at 'BB'.

Rumo Malha Norte S.A.

  -- National Scale Rating upgraded to 'AAA(bra)' from 'AA(bra)';

  -- BRL160 million 8th debentures issuance maturing in 2020
upgraded to 'AAA(bra)' from 'AA(bra)'.

Rumo Malha Sul S.A.

  -- National Scale Rating upgraded to 'AAA(bra)' from 'AA(bra)'.

Rumo Malha Paulista S.A.

  -- National Scale Rating upgraded to 'AAA(bra)', from 'AA(bra)'.

The Outlook for the Local-Currency IDR and the National Scale
ratings were revised to Stable from Positive. The Outlook of the
Foreign-Currency IDR remains Stable, as Fitch expects the
Foreign-Currency IDR to continue to be constrained by Brazil's 'BB'
Country Ceiling.


SONAE SIERRA: Moody's Affirms Ba2 Global Scale CFR, Outlook Stable
------------------------------------------------------------------
Moody's America Latina Ltda. placed Sonae Sierra Brasil S.A.'s
Aa2.br national scale, corporate family rating under review for
upgrade, following the June 7, 2019 announcement of the company
entering into an agreement for a stock for stock merger (no cash or
extraordinary dividend distribution) with Aliansce Shopping Center
S.A, a local mall operator, to form Brazil's largest mall company,
in terms of total gross leasable area (GLA) under management. In
the same action, Moody's affirmed Sonae Sierra's Ba2 global scale,
corporate family rating. The outlook remains stable.

Sonae Sierra would benefit from the merger with increased scale,
revenue and earnings diversification, and greater financial
flexibility from higher operating cash flows. Additionally, there
is potential revenue benefit from new development and redevelopment
opportunities in the combined portfolio. Aliansce Sonae's portfolio
will comprise 40 malls (29 owned and 11 managed) with approximately
7,000 stores and 1.44 million square meters (m2) of total GLA under
management across 12 states and the Federal District. In aggregate,
gross assets will almost double to approximately R$10 billion,
compared to Sonae's reported R$5.56 billion, as of the first
quarter of 2019. However, pro forma debt to gross assets and net
debt to EBITDA are expected to increase to 25% and 2.7x,
respectively, based on the last twelve months ending on March 31,
2019, compared to Sonae's 14% and net debt 2.2x, for the same
period. These pro forma leverage metrics would still be within the
company's credit profile.

To date, the management teams for both companies have established a
proven record in retail and development as well as have aggregated
or developed a good-quality, resilient mall portfolio.
Additionally, the new company will receive strong sponsorship from
the Canadian Pension Plan Investment Board ("CPPIB"), the Alexander
Otto Group and Sonae Sierra SGPS.

Subject to shareholder and regulatory approval, the formation of
Aliansce Sonae is expected to be completed before the end of 2019.

The following rating for Sonae Sierra was placed on review for
upgrade:

  -- Corporate Family Rating (National scale) currently at Aa2.br,
outlook Rating Under Review

The following rating for Sonae Sierra was affirmed:

  -- Corporate Family Rating at Ba2 (Global scale)

RATINGS RATIONALE

Sonae Sierra Brasil's Ba2 (global scale) / Aa2.br (national scale)
corporate family rating (on review for upgrade) reflects the
company's position as one of the leading owners, managers and
developers of good-quality shopping malls in Brazil, as well as its
low leveraged balance sheet and good financial flexibility,
supported by a large unencumbered asset pool. As Brazil's economy
continues its recovery, driven by investments and private
consumption, national retail sales growth continue to accelerate
for the second consecutive year, benefitting SSBR and the broader
shopping mall sector. These credit strengths, however, are
partially counterbalanced by the firm's current small gross asset
size, in comparison to some of its domestic peers, as well as its
elevated near-term lease maturity risk.

Moody's review of Sonae Sierra's ratings will focus on several
factors, including 1) the successful integration of the two
companies; 2) the new company's final capital structure, leverage
levels and cash flow stream; 3) management's operational strategy
and synergy realization and 4) corporate governance. Moody's notes
that should the transaction close and be structured as currently
contemplated, Sonae Sierra's national scale corporate family rating
would likely be upgraded by one notch.



===========================
C A Y M A N   I S L A N D S
===========================

WHITE OAK: Chapter 15 Case Summary
----------------------------------
Two affiliates that simultaneously filed voluntary petitions
seeking relief under Chapter 15 of the Bankruptcy Code:

        Debtor                                    Case No.
        ------                                    --------
        White Oak Strategic Master Fund, L.P.     19-30635
        Strathvale House, 3rd Floor
        90 North Church Street
        PO Box 30847
        Grand Cayman KY1-1204
        Cayman Islands

        White Oak Strategic Fund, Ltd.            19-30639
        3rd Floor, Strathvale House
        90 North Church Street
        PO Box 30847
        Grand Cayman KY1-1204
        Cayman Islands

Business Description: White Oak Strategic Master Fund, L.P., and
                      White Oak Strategic Fund, Ltd. are part of
                      a 'master-feeder' fund structure.  The
                      Feeder Funds invested all or substantially
                      all of their investable assets into the
                      Master Fund and, in turn, the Master Fund
                      invested in the market.

Foreign
Proceeding:           Fin. Servs. Div. of Grand Ct. of Cayman Is.
                      (Cause No.14 of 2019 (CRJ))

Chapter 15
Petition Date:        June 12, 2019

Court:                United States Bankruptcy Court
                      Northern District of California
                      (San Francisco)

Judge:                Hon. Hannah L. Blumenstiel

Foreign
Representatives:      Luke Oliver Almond
                      BORRELLI WALSH (CAYMAN) LIMITED

                           - and -

                      Cosimo Borrelli
                      BORRELLI WALSH LIMITED
                      Strathvale House, 3rd Floor
                      90 North Church Street
                      PO Box 30847
                      Grand Cayman KY1-1204
                      Cayman Islands

Foreign
Representatives'
Counsel:              Lisa S. Tsai, Esq.
                      Marc Dworsky, Esq.
                      REID COLLINS & TSAI LLP
                      7 W. Figueroa Street, Suite 300
                      Santa Barbara, California 93101
                      Tel: (512) 647-6100
                           (213) 429-4022
                      E-mail: ltsai@rctlegal.com
                              mdworksy@rctlegal.com

                             - and -

                      Adam R. Swick, Esq.
                      Craig A. Boneau, Esq.
                      Leo Oppenheimer, Esq.
                      REID COLLINS & TSAI LLP
                      1301 S. Capital of Texas Hwy
                      Building C, Suite 300
                      Austin, Texas 78746
                      Tel: (512) 647-6100
                      Fax: (512) 647-6129
                      E-mail: aswick@rctlegal.com
                              cboneau@rctlegal.com
                              loppenheimer@rctlegal.com

Estimated Assets:     Unknown

Estimated Debt:       Unknown

Full-text copies of the petitions are available for free at:

        http://bankrupt.com/misc/canb19-30635.pdf
        http://bankrupt.com/misc/canb19-30639.pdf


ZHENRO PROPERTIES: Moody's Rates Proposed USD Perpetual Notes 'B2'
------------------------------------------------------------------
Moody's Investors Service has assigned a B2 senior unsecured rating
to Zhenro Properties Group Limited's (B1 stable) proposed USD
senior perpetual capital securities.

The perpetual securities will be issued directly by Zhenro and rank
pari passu with all of Zhenro's other present and future unsecured
and unsubordinated obligations.

Zhenro plans to use the proceeds from the proposed notes to
refinance existing debt.

RATINGS RATIONALE

"The proposed bond issuance will not materially change Zhenro's
credit metrics because the proceeds will mainly be used to
refinance existing debt," says Cedric Lai, a Moody's Vice President
and Senior Analyst.

Zhenro's B1 corporate family rating reflects the company's (1)
sizable scale, (2) strong sales execution, and (3) quality and
geographically diversified land bank, with no one city representing
more than 20% of its total land bank. Zhenro has also demonstrated
improved assess to funding, especially in the debt capital
markets.

On the other hand, the CFR is constrained by Zhenro's moderate but
improving financial metrics, because of its rapid debt-funded
growth. In addition, the rating reflects Zhenro's increasing
exposure to joint venture (JV) businesses; a situation which lowers
the transparency of its credit metrics. Nevertheless, this risk is
mitigated by the company's reputable JV partners.

Moody's has taken into account the concentrated ownership of
Zhenro's key shareholder, Mr. Ou Zongrong and his two sons, acting
in concert, who together held a total 68.4% stake in the company at
the end of 2018.

The concentrated ownership is incorporated in the B1 CFR and is
partly mitigated by: 1) the presence of three independent
non-executive directors on the board, who also chair the audit and
remuneration committees, 2) the low level of related-party
transactions and dividend payout ratio of around 24% in 2018, and
3) the presence of other internal governance structures and
standards as required under the Corporate Governance Code for
companies listed on the Hong Kong Exchange.

The B2 senior unsecured debt rating is one notch lower than the CFR
due to structural subordination risk.

This subordination risk refers to the fact that the majority of
Zhenro's claims are at its operating subsidiaries and have priority
over claims at the holding company in a bankruptcy scenario. In
addition, the holding company lacks significant mitigating factors
for structural subordination. Consequently, the expected recovery
rate for claims at the holding company will be lower.

The B2 senior unsecured rating for the proposed perpetual capital
securities also considers the following factors:

(1) Moody's treatment of the proposed perpetual securities as pure
debt instruments. Moody's therefore does not apply any equity
treatment to these securities.

(2) The ranking of the securities, which will be pari passu with
all of Zhenro's other present and future senior obligations.

Moody's expects that Zhenro's debt leverage -- as measured by
revenue/adjusted debt -- will trend towards 60%-65% over the next
12-18 months from 50% at the end of 2018. Its interest coverage --
as measured by adjusted EBIT/interest -- should also improve to
around 2.3x-2.5x from 1.9x over the same period.

Zhenro's liquidity is good. The company's cash and cash
equivalents/short-term debt improved to 119% at the end of 2018
from 86% at the end of 2017, largely driven by an increase in cash
and deposits -- including restricted cash -- to RMB28.4 billion
from RMB19.7 billion over the same period.

The stable ratings outlook reflects Moody's expectation that over
the next 12-18 months, Zhenro will be able to execute its sales
plan, demonstrate its prudent financial management with sufficient
liquidity.

Moody's could upgrade Zhenro's ratings if the company (1)
demonstrates sustained growth in its contracted sales and revenue
through the economic cycles without sacrificing its profitability;
(2) remains prudent in its land acquisitions and financial
management; (3) improves its credit metrics, such that
EBIT/interest registers at least 3.0x and revenue/adjusted debt
rises to 75%-80% or above on a sustained basis; and (4) maintains
adequate liquidity.

On the other hand, the company's ratings could come under downward
pressure if Zhenro: (1) generates weak contracted sales; (2)
suffers from a material decline in its profit margins; (3)
experiences an impairment of its liquidity position, such that
cash/short-term debt falls below 1.0x; and/or (4) materially
increases its debt leverage.

Credit metrics indicative of a ratings downgrade include
EBIT/interest coverage falling below 2.0x, and/or adjusted
revenue/debt falling below 50%-55% on a sustained basis.

Zhenro Properties Group Limited was incorporated in the Cayman
Islands in 2014 and listed on the Hong Kong Stock Exchange in
January 2018. At December 31, 2018, Zhenro had 145 projects in 28
cities across China. Its key operating cities include Shanghai,
Nanjing, Fuzhou, Suzhou, Tianjin and Nanchang.

The company was founded by Mr. Ou Zongrong, who indirectly owned
57.85% of Zhenro Properties at 31 December 2018. His sons, Mr. Ou
Guowei and Mr. Ou Guoqiang, together owned 10.55% of the company as
of the same date.




===============
C O L O M B I A
===============

AVIANCA HOLDINGS: Fitch Lowers LT IDRs to 'B-', On Watch Negative
-----------------------------------------------------------------
Fitch Ratings has downgraded Avianca Holdings S.A.'s Long-Term
Foreign and Local Currency Issuer Default Ratings to 'B-' from 'B'
and its USD550 million senior unsecured notes to 'CCC+'/'RR5' from
'B-'/RR5'. Fitch has placed all of Avianca's ratings on Rating
Watch Negative.

The rating downgrade reflects deterioration of Avianca's credit
profile as a result of persistently high leverage ratios, limited
financial flexibility and high refinancing risks. The ongoing
macroeconomic and FX volatilities in the region associated with
increasing competition from LCCs are negative headwinds and
challenge the company's ability to improve leverage levels during
2019. Fitch expects Avianca's total debt/EBITDAR to be around 6.7x
at 2019 and 6.3x by 2020, which compares to 6.6x in 2018 and 7.5x
in 2017. The ratings also consider the vulnerability of the
company's cash flow generation to fuel price variations and the
inherent risks of the airline industry.

The Rating Watch Negative reflects the increasing refinancing risks
the company faces with its USD550 million unsecured bonds due May
2020. As of March 31 2019, the company reported USD357 million of
cash and USD626 million of short-term debt (excluding rental
obligations). If the company is able to complete the bond
refinancing, Fitch would consider removing the Rating Watch
Negative.

The recent changes at the controlling shareholder level may help
support the company in its refinancing efforts, but the terms and
time of execution remain uncertain. Fitch views as positive the
announcement from United Airlines, Inc. (United, IDR 'BB'/Stable)
that it had exercised certain rights under the Loan Agreement
(USD456 million) with BRW Aviation LLC (BRW), Avianca's main
shareholders (78.1% of voting rights). United had granted
independent authority to Kingsland Holdings Limited (Kingsland,
21.9%) as well as the offer of USD150 million in loans to Avianca,
after certain conditions are met. Kingsland would also add USD100
million in financing. It is not clear yet the terms of the
financial support, but this new credit line could help Avianca to
succeed in its refinancing plan and maintain the company's rating
at 'B-'.

KEY RATING DRIVERS

Change in Shareholder Structure: If executed as planned, the new
shareholder structure at Avianca could be supportive to its
refinancing strategy as well as to support its transformational
plan. Fitch assesses Avianca on stand-alone basis, with no link to
United's ratings, but the presence of United as a strategic partner
and the USD150 million loan are credit positive. Avianca needs to
amend contracts and request waivers from several ECAs (Export
Credit Agency) that are the creditors on around USD1.1 billion of
Avianca's debt (total of USD4 billion as of Dec. 31 2018). The
amendments and waivers refer to changes in the shareholder
structure: add United as permitted holder of Avianca' shares and
removal of Synergy Group from being a guarantor in the ECAs
contracts.

Strong Regional Market Position: Avianca's business model combines
operations in Colombia, Central and South America, allowing it to
rotate capacity according to market conditions. Its geographic
diversification allows the company to maintain consistently solid
average load factors of 82% during 2015-2018. The company's
business diversification is viewed as adequate with international
passengers, domestic passengers, cargo operations, and the loyalty
program and other segments representing approximately 42%, 41%,
13%, and 4% of its total revenues. Avianca's dominant position in
the Colombian market is positively incorporated into the ratings.
The announcement of a joint business agreement with United and Copa
Airlines (not rated) should only benefit Avianca's competitive
business position in the medium to long term. Regulatory approval
for this transaction is expected to take approximately 12 to 18
months.

Challenge to Improve EBIT Margins: Fitch expects Avianca's EBIT
margin decrease about 5.5%-7.0% during 2019 and 2020, driven
primarily by rationalization of its route network and several costs
cutting initiatives. This compares with the 6.0% adjusted EBIT
margin of 2018. Avianca has announced the removal of E190 aircrafts
and eliminations of unprofitable routes, mainly in Peru and in
selected regional markets in Colombia, while focusing on its points
of network strength. Higher fuel prices and currency devaluation(s)
remain as ongoing concerns. The scenario of increasing competition
from smaller players in Avianca's main markets is a concern and may
pressure the company's solid load factor and yields levels, as
observed during 1Q19.

Fleet Management Key to Restore FCF: Avianca's strategy to
rightsizing its fleet delivery plan is key to improving its cash
flow generation. The high capex level of USD659 million in 2018 was
a major driver for the negative FCF of USD248 million during 2018.
The company announced the revision of its aircraft backlog, aiming
to defer up to 35 narrow-body aircraft while cancelling the
delivery of another 17. In its base case scenario, Fitch forecasts
Avianca's FCF to be neutral to slightly negative during 2019 and
2020, up to USD50 million negative. Capex for 2019 and 2020 is
expected to be USD441 million and USD500 million, respectively.
Fitch also expects Avianca to remain disciplined on its dividends
distributions, maintaining minimum level payouts to avoid further
leverage deterioration.

Leverage to Decline By 2020: Avianca's high leverage has pressured
its ratings, and the challenging operating environment in 2019
should delay any deleveraging to 2020. Fitch expects Avianca's
total adjusted leverage to improve to around 6.3x by 2020 from 6.7x
in 2019. Avianca's total adjusted debt/EBITDAR was 6.6x during 2018
and 7.5x in 2017. Fitch base case does not incorporate any major
non-core assets sales besides those already announced, including
the Embraer's fleet.

High Refinancing Risks: Avianca's ability to proceed with their
refinancing plan is crucial to avoid an additional downgrade. As of
March 31, 2019, the company had USD357 million in cash. USD626
million of debt will come due in the short term (excluding
operating leases), and USD568 million of its unsecured notes are
due in May 2020. Excluding the bonds, the majority of its
obligations are aircraft related, which the company is expected to
refinance with ongoing secured loans. Fitch considers that the
company has some financial flexibility to raise additional cash
using part of its unencumbered aircraft fleet. Nonetheless, ongoing
discussion at the shareholder level has led to some uncertainties
and concerns that the company's debt will be impacted by changes of
control clauses.

Credit Linkages and Notes' Guarantees Structure Incorporated: The
ratings also reflect Avianca's corporate structure and credit
linkage with its subsidiaries, Aerovias del Continente Americano
S.A. (Avianca) and Grupo Taca. Combined, these two operating
companies represent the main source of cash flow generation for the
holding company. The significant legal and operational linkages
between the two operating companies are reflected in the existence
of cross-guarantee and cross-default clauses relating to the
financing of aircraft acquisitions for both companies.

DERIVATION SUMMARY

Avianca is well positioned in the 'B' rating category relative to
its regional peers based on its network, route diversification and
important regional market position. Nevertheless, these factors are
tempered by the company's higher gross adjusted leverage and
refinancing risks, weaker liquidity and financial flexibility
relative to peers. Avianca's 'B-' rating is below LATAM Airlines
S.A. (LATAM, B+/Positive) and GOL Linhas Aereas Inteligentes S.A.
(GOL, B/Stable), which have recently showed improvements in credit
metrics. The ratings distinction among the three airlines reflects
differences in the financial strategies, credit access, operational
performance volatility and business diversification.

Avianca's 2018 adjusted EBIT margin of 6% compares poorly to 9% and
7% for GOL and LATAM, respectively. Fitch expects Avianca to
maintain operational margins in the 5.5% to 7.0% range during
2019-2020. These levels are below those expected for LATAM and GOL
during the same period. Avianca's ratings are constrained by its
high gross adjusted leverage (6.6x), which is at the high end of
its peer group. LATAM and GOL ended 2018 with gross adjusted
leverage metrics of 5.0x and 5.8x, respectively.

Avianca has maintained a low cash position relative to its annual
revenues. Given the company's limited financial flexibility at the
moment, the percentage has declined to 7%. This level is below
Fitch's previous expectation of 12% for 2019. This liquidity
position is lower than those levels expected by LATAM (18%) and GOL
(15%) during the same period. Due to its debt payment schedule and
currently limited access to capital market, Fitch views Avianca
Holdings' financial flexibility as weaker than LATAM and GOL.

KEY ASSUMPTIONS

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

  -- Neutral to low single-digit yield growth;

  -- Load factor in the 80%-82% range;

  -- 2019-2020 EBIT margin moving around 5.5%-7.0%;

  -- Capex of USD441 million in 2019 and USD500million in 2020

KEY RECOVERY RATING ASSUMPTIONS

  - The recovery analysis is based on a liquidation approach given
the high value of its aircraft fleet, which positively compares to
the going concern approach.

  - Fitch has assumed a 10% administrative claim.

Liquidation Approach:

  - The liquidation estimate reflects Fitch's view of the value of
aircraft and other assets that can be realized in advance rate of
70%, 75% account receivables due high percentage of credit card
receivables and 50% inventories.

  - These assumptions result in a recovery rate for the unsecured
bonds within the 'RR5' range, which generates a one-notch downgrade
to the debt rating from the IDR.

RATING SENSITIVITIES

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

Fitch would review the Rating Watch Negative if the company
successfully completes the refinancing of its USD550 million senior
unsecured notes.

  -- Adjusted gross leverage below 6.5x on sustainable basis;

  -- EBIT margin consistently above 6.5%;

  -- Coverage ratio, measured as total EBITDAR/(interest expense
plus rents) ratio, consistently above 2x;

  -- Liquidity, cash/LTM revenues, consistently above 10%.

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

  -- Failure to proceed with current refinancing strategies in
order to reduce the high refinancing risks;

  -- Adjusted gross leverage above 7.5x;

  -- EBIT margin consistently below 5%;

  -- Coverage ratio, measured as the total EBITDAR/(interest
expense + rents), consistently below 1.5x;

  -- Liquidity, cash/ LTM revenues, consistently below 8%.

LIQUIDITY

Limited Financial Flexibility: As of March 31, 2019, the company
had USD357 million in cash. USD626 million of debt will come due in
the short term (excluding operating leases), and USD568 million of
its unsecured notes are due in May 2020. Total adjusted debt was
USD5.9 billion at YE 2018. Debt consists primarily of USD4 billion
of on-balance-sheet debt, most of which is secured, and an
estimated USD1.9 billion of off-balance-sheet debt associated with
lease obligations, per Fitch's criteria. Avianca's cash position in
percentage of its last 12 months has deteriorated to 7.3% as March
31 2019 from 10.3% in December 2018.

FULL LIST OF RATING ACTIONS

Fitch has downgraded and placed the following ratings on Rating
Watch Negative:

Avianca Holdings S.A.

  -- Long-Term Issuer Default Rating (IDR) to 'B-' from 'B';

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

  -- USD550 million unsecured notes due in 2020 to 'CCC+'/'RR5'
from 'B-'/'RR5'.

Aerovias del Continente Americano S.A.

  -- Long-Term IDR to 'B-' from 'B';

  -- Long-Term Local Currency IDR to 'B-' from 'B'.

Grupo Taca Holdings Limited

  -- Long-Term IDR to 'B-' from 'B'.

Avianca Holdings, Grupo Taca, and Avianca Leasing are co-issuers of
the USD550 million unsecured notes.




=============
J A M A I C A
=============

JAMAICA: Improved Economic Growth in FY2018/19, IMF Says
--------------------------------------------------------
An International Monetary Fund (IMF) staff team led by Uma
Ramakrishnan visited Kingston from June 10 to 14, 2019, ahead of
the sixth and final review under the SBA planned for September
2019.  The team took stock of progress on Jamaica's economic reform
program supported by the IMF's precautionary Stand-By Arrangement
(SBA).

At the end of the visit, Ms. Ramakrishnan issued the following
statement:

"Jamaica's improved economic growth in FY2018/19 was buoyed by
construction and mining. Unemployment is now at an all-time low of
8 percent. The inflation outturn was 3.9 percent (y/y) in April,
closer to the Bank of Jamaica's (BOJ) target range of 4-6 percent.
The primary surplus was almost 7 1/2 percent of GDP in FY2018/19,
with public debt falling to about 95 percent of GDP at end-March
2019 -- the lowest since FY2000/01. Non-borrowed reserves were
US$430 million above target at end-March 2019, providing critical
buffer against unforeseen global economic shocks.

"The IMF team welcomes the recent BOJ's accommodative policies
aimed at restoring inflation to the target range. The reduction in
the Cash Reserve Requirement by 5 ppts this year and the successive
policy rate cuts to 0.75 percent should support private credit
expansion as the government continues to deleverage. That said,
enhanced central bank supervision and risk management practices at
lending institutions will be critical to ensure careful assessment
of risks to maintain financial stability.

"Meanwhile, the FY2019/20 budget execution is underpinned by
continued buoyant tax collections in April and above budget capital
expenditure -- an encouraging new normal for Jamaica.

"Consistent with the overall objective of reducing its footprint in
the foreign exchange (FX) market and promoting interbank market
development, the BOJ should limit its FX interventions to episodes
of significant market dislocations. At the same time, continued
swings in the currency highlight the urgency to adopt an FX trading
platform (to enhance market transparency and price discovery), and
develop FX hedging instruments.

"Looking ahead, having strong institutions in place will be
critical to entrench the hard-earned gains from the economic
reforms. In this regard, the GOJ's commitments to (i) enacting
amendments to the BOJ Act to adopt a full-fledged inflation
targeting framework, (ii) creating a policy framework for natural
disasters risk financing, and (iii) tabling legislation for the
establishment of an independent Fiscal Council are important next
steps.

"Strengthening efforts to enhance the special resolution regime and
consolidated supervision of financial conglomerates -- as
recommended by the recent IMF Financial Sector Assessment Program
(FSAP) -- are also critical. These actions require strong
coordination among the BOJ and the Financial Services Commission
(FSC).

"The IMF team also reiterated the need to institute a new
streamlined and performance-based compensation framework for
government employees before the next round of wage negotiations.
This reform will ultimately lead to a more cost-effective and
efficient public sector.

"The IMF team welcomes the open and transparent process for
selection of the new Governor of the Bank of Jamaica.

"During the visit, the IMF team met with the Minister of Finance
and the Public Service Dr. Nigel Clarke, Minister of Health
Christopher Tufton, Minister of Energy, Science and Technology
Fayval Williams, Bank of Jamaica Governor Brian Wynter, Financial
Secretary Darlene Morrison, Planning Institute Director General Dr.
Wayne Henry, senior government officials, private sector
representatives, the opposition, and held a townhall meeting with
students at the University of the Commonwealth Caribbean.

"We would like to thank the Jamaican authorities for their
continued hospitality and frank discussions."

As reported in the Troubled Company Reporter-Latin America on Sept.
27, 2018, S&P Global Ratings revised its outlook on Jamaica to
positive from stable. At the same time, S&P  affirmed its 'B'
long-and short-term foreign and local currency sovereign credit
ratings, and its 'B+' transfer and convertibility assessment on the
country.




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

PETROLEOS DE VENEUELA: Guaido Asks Jamaica Not To Seize Shares
--------------------------------------------------------------
Luc Cohen at Reuters reports that the ad-hoc board of Venezuelan
state-run oil company Petroleos de Venezuela, S.A. (PDVSA),
appointed by opposition leader Juan Guaido, said it had asked
Jamaica's government not to seize the company's shares in an oil
refinery on the island.

Jamaica's Senate in February passed legislation clearing the way
for the government to acquire the 49 percent stake in the Petrojam
refinery that PDVSA acquired in 2006, part of late leftist
President Hugo Chavez's energy diplomacy efforts in the Caribbean,
according to Reuters.

The board, appointed by Guaido earlier this year in part to defend
PDVSA's interests abroad, said it had also warned Jamaica's
government that "it cannot maintain any arrangements" with the
government of President Nicolas Maduro, a Chavez protege whose
legitimacy as Venezuela's leader is disputed, the report relays.

"We formally request the suspension of this expropriation process,"
the board said in a statement, adding that Guaido had made a
similar request personally to Jamaican Prime Minister Andrew
Holness, the report notes.

The Caribbean nation's government owns the other 51% of shares in
the refinery.

Guaido, the leader of Venezuela's opposition-controlled National
Assembly, in January invoked the constitution to assume an interim
presidency, arguing Maduro's 2018 re-election was illegitimate, the
report relays.  He has been recognized as rightful leader by dozens
of countries, including the United States, but Jamaica has not
recognized him as president, the report discloses.

His representatives abroad have fought efforts by creditors of
Venezuela's highly-indebted government to seize foreign assets
belonging to PDVSA, the report says.

But Maduro retains control of the military and most state
functions, including PDVSA's day-to-day operations within
Venezuela, the report notes.  He calls Guaido a U.S.-backed puppet
seeking to oust him in a coup, the report discloses.

The United States in January slapped sanctions on PDVSA as part of
its bid to oust Maduro, which has contributed to a further drop in
the OPEC nation's crude output following years of steady decline
due to underinvestment and mismanagement, the report relays.

Those sanctions paved the way for Guaido's allies to take control
of U.S. refiner Citgo, PDVSA's most important overseas asset, the
report adds.

As reported in Troubled Company Reporter-Latin America on June 3,
2019,  Moody's Investors Service has withdrawn all the ratings of
Petroleos de Venezuela, S.A. including the senior unsecured and
senior secured ratings due to insufficient information. At the time
of withdrawal, the ratings were C and the outlook was stable.




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

KIDOZ INC: Losses, Accumulated Deficit Cast Going Concern Doubt
---------------------------------------------------------------
Kidoz Inc. filed its quarterly report on Form 10-Q, disclosing a
comprehensive loss of $826,304 on $305,956 of total revenue for the
quarterly period ended March 31, 2019, compared to a comprehensive
loss of $835,368 on $24,351 of total revenue for the same period in
2018.

At March 31, 2019, the Company had total assets of $23,022,015,
total liabilities of $797,656, and $22,224,359 in total
stockholders' equity.

The Company has reported losses from operations for the quarters
ended March 31, 2019 and 2018, and has an accumulated deficit of
$26,724,524 as at March 31, 2019.  These material uncertainties
raise substantial doubt about the Company's ability to continue as
a going concern.

A copy of the Form 10-Q is available at:

                       https://is.gd/fG1i0J

Kidoz Inc. develops and sells consumer mobile software products and
games in Anguilla and internationally. It focuses on the
development and marketing of a platform of interactive games for
families and children. The company's products include Rooplay, a
platform of educational and entertainment games; Garfield's Bingo,
a bingo game; and Trophy Bingo, live through mobile platforms. The
company was formerly known as Shoal Games Ltd. and changed its name
to Kidoz Inc. in April 2019. Kidoz Inc. was founded in 1987 and is
based in The Valley, Anguilla.



                           *********


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,
contact Peter A. Chapman at 215-945-7000.
.


                  * * * End of Transmission * * *