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       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, August 8, 2023, Vol. 24, No. 158

                           Headlines



A R G E N T I N A

ARGENTINA: Reserves Fall to 17-year Low After $2.6B Payment to IMF


B R A Z I L

BRAZIL: Agriculture, the Only Sector With Export Revenue Increase
BRAZIL: Bank Cuts Interest Rate Amid Economic Considerations


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Needs to Prioritize Tax Reform, World Bank Says


J A M A I C A

JAMAICA: Cost of Services in Fuel Index Increased by 1.4%


P U E R T O   R I C O

CHALLENGER BRASS: Has Deal on Cash Collateral Access
MANANTIAL ROCA: Hires Pullucksingh Accounting as Accountant

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A R G E N T I N A
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ARGENTINA: Reserves Fall to 17-year Low After $2.6B Payment to IMF
------------------------------------------------------------------
Patrick Gillespie at Bloomberg News reports that Argentina's
central bank reserves fell to the lowest level since 2006 after the
government made a payment to the International Monetary Fund to
avoid falling into arrears.

Total gross reserves dropped to $24 billion after the government
paid the IMF $2.6 billion by tapping its currency swap line with
China and a bridge loan from a Latin American development bank,
according to Bloomberg News.  Economy Minister Sergio Massa said in
an announcement that Argentina wasn't using any of its own money to
pay the IMF, Bloomberg News notes.

With inflation over 115%, historically low reserves are stoking
market concerns about an abrupt currency devaluation of Argentina's
official exchange rate around the crucial Aug. 13 primary election,
Bloomberg News relays.  The government maintains strict controls on
the peso, Bloomberg News discloses.

Massa is also the ruling party's main presidential candidate and
faces a tough election bid against the worsening economic backdrop,
Bloomberg News says.  His Peronist bloc lost a gubernatorial
election in a province it had governed for 20 years, Bloomberg News
notes.  Argentina is also expected to be in recession by the end of
the third quarter this year, according to the central bank's most
recent monthly survey, Bloomberg News adds.

                      About Argentina

Argentina is a country located mostly in the southern half of South
America. Its capital is Buenos Aires. Alberto Angel Fernandez is
the current president of Argentina after winning the October 2019
general election. He succeeded Mauricio Macri in the position.

Argentina has the third largest economy in Latin America.  The
country's economy is an upper middle-income economy for fiscal year
2019, according to the World Bank. Historically, however, its
economic performance has been very uneven, with high economic
growth alternating with severe recessions, income maldistribution
and in the recent decades, increasing poverty.

S&P Global Ratings, on June 13, 2023, raised its local currency
sovereign credit ratings on Argentina to 'CCC-/C' from 'SD/SD' and
its national scale rating to 'raCCC+' from 'SD'. S&P also affirmed
its 'CCC-/C' foreign currency sovereign credit ratings on
Argentina. The outlook on the long-term ratings is negative. S&P's
'CCC-' transfer and convertibility assessment is unchanged. None
of
its rated bond issues are affected.

S&P said the negative outlook  on the long-term ratings is based on

the risks surrounding pronounced  economic imbalances and policy
uncertainties before and after the 2023 national elections.
Divisions
within the government coalition, and infighting among the
opposition,
constrain the sovereign's ability to implement timely changes in
economic policy.

Fitch Ratings also upgraded on June 13, 2023, Argentina's
Long-Term Foreign Currency (FC) Issuer Default Rating (IDR) to
'CC' from 'C' and affirmed the Long-Term Local Currency (LC) IDR
at 'CCC-'. Fitch typically does not assign Outlooks to sovereigns
with a rating of 'CCC+' or below.

The upgrade of the FC IDR reflects that Fitch no longer deems a
default-like process to have begun, as the authorities have not
signaled a clear intention to follow through with an intra-public
debt swap announced in March. The new 'CC' rating signals a default

event of some sort appears probable in the coming years, regardless

of the outcome of upcoming elections. The affirmation of the LC IDR

at 'CCC-' follows the peso debt swap in June that Fitch did not
deem to be a "distressed debt exchange" (DDE).

Moody's Investors Service, in September 2022, affirmed Argentina's
Ca foreign-currency and local-currency long-term issuer and senior
unsecured ratings.  The outlook remains stable.  The decision to
affirm the Ca ratings balances Argentina's limited market access,
weak governance, and history of recurrent debt restructurings with
recent efforts to marshal fiscal and monetary measures to start
addressing underlying macroeconomic imbalances in the context of
the IMF program that was approved in 2022, according to Moody's.

DBRS, Inc. confirmed Argentina's Long-Term Foreign Currency Issuer
Rating at CCC and downgraded its Long-Term Local Currency Issuer
Rating to CCC from CCC (high) on March 3, 2023.



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B R A Z I L
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BRAZIL: Agriculture, the Only Sector With Export Revenue Increase
-----------------------------------------------------------------
Richard Mann at Rio Times Online reports that in the first seven
months of 2023, the agricultural sector was the only area in Brazil
to see a growth in export revenue.

The international market earnings for the period closed at nearly
US$50 billion, a 6% increase compared to the same period in 2022,
according to Rio Times Online.

While agricultural exports grew by almost US$3 billion, revenues
from the extraction and transformation industries fell by
approximately US$1.5 billion and US$1 billion respectively,
according to preliminary data from Brazil's trade balance, the
report notes.

                          About Brazil
 
Brazil is the fifth largest country in the world and third largest
in the Americas. Luiz Inacio Lula da Silva won the 2022
Brazilian general election. He was sworn in on January 1, 2023, as
the 39th president of Brazil, succeeding Jair Bolsonaro.

Fitch Ratings upgraded on July 26, 2023, Brazil's Long-Term
Foreign-Currency Issuer Default Rating (IDR) to 'BB', from 'BB-',
with a Stable Outlook. The upgrade reflects better-than-expected
macroeconomic and fiscal performance amid successive shocks in
recent years, proactive policies and reforms that have supported
this, and Fitch's expectation that the new government will work
toward further improvements.
 
In mid-June 2023, S&P Global Ratings, revised the outlook on its
long-term global scale ratings on Brazil to positive from stable.
S&P affirmed its 'BB-/B' long- and short-term foreign and local
currency sovereign credit ratings on Brazil. S&P also affirmed its
'brAAA' national scale rating, and the outlook remains stable. The
transfer and convertibility assessment remains 'BB+'. The positive
outlook reflects signs of greater certainty about stable fiscal and
monetary policy that could benefit Brazil's still-low GDP growth
prospects. Continued GDP growth plus the emerging framework for
fiscal policy could result in a smaller government debt burden than
expected, which could support monetary flexibility and sustain the
country's net external position.
 
Moody's credit rating for Brazil was last set at Ba2 in 2018 with
stable outlook.  Moody's affirmed the Ba2 issuer ratings and
senior unsecured bond ratings in April 2022.
 
DBRS's credit rating for Brazil is BB (low) with stable outlook
(March 2018).

BRAZIL: Bank Cuts Interest Rate Amid Economic Considerations
------------------------------------------------------------
Richard Mann at Rio Times Online reports that the Central Bank of
Brazil has reduced the country's basic interest rate by 0.50
percentage points to 13.25% annually, the first decrease in nearly
three years since September 2020.

The decision follows pressure from the progressive leader, Luiz
Inacio Lula da Silva, who, since taking his third term in office in
January, has been urging the bank to reduce the cost of money in
Brazil to enable economic growth, notes the report.

                          About Brazil
 
Brazil is the fifth largest country in the world and third largest
in the Americas. Luiz Inacio Lula da Silva won the 2022
Brazilian general election. He was sworn in on January 1, 2023, as
the 39th president of Brazil, succeeding Jair Bolsonaro.

Fitch Ratings upgraded on July 26, 2023, Brazil's Long-Term
Foreign-Currency Issuer Default Rating (IDR) to 'BB', from 'BB-',
with a Stable Outlook. The upgrade reflects better-than-expected
macroeconomic and fiscal performance amid successive shocks in
recent years, proactive policies and reforms that have supported
this, and Fitch's expectation that the new government will work
toward further improvements.
 
In mid-June 2023, S&P Global Ratings, revised the outlook on its
long-term global scale ratings on Brazil to positive from stable.
S&P affirmed its 'BB-/B' long- and short-term foreign and local
currency sovereign credit ratings on Brazil. S&P also affirmed its
'brAAA' national scale rating, and the outlook remains stable. The
transfer and convertibility assessment remains 'BB+'. The positive
outlook reflects signs of greater certainty about stable fiscal and
monetary policy that could benefit Brazil's still-low GDP growth
prospects. Continued GDP growth plus the emerging framework for
fiscal policy could result in a smaller government debt burden than
expected, which could support monetary flexibility and sustain the
country's net external position.
 
Moody's credit rating for Brazil was last set at Ba2 in 2018 with
stable outlook.  Moody's affirmed the Ba2 issuer ratings and
senior unsecured bond ratings in April 2022.
 
DBRS's credit rating for Brazil is BB (low) with stable outlook
(March 2018).



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D O M I N I C A N   R E P U B L I C
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DOMINICAN REPUBLIC: Needs to Prioritize Tax Reform, World Bank Says
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Dominican Today reports that the World Bank's recent report on the
sustainability of the Dominican economy emphasizes the need for tax
reform and efficiency in public spending to generate significant
fiscal savings for the State.

The report points out low business productivity as a constraint to
the country's economic potential and highlights obstacles such as a
lack of adequate human capital, climate change-related disasters,
and distortions in key markets, including inefficient allocation of
tax breaks, according to Dominican Today.

The report suggests that eliminating tax exemptions and expanding
the tax base should be a priority for the government to ensure
sustainable economic growth in the long term, Dominican Today
notes.  Tax breaks have been contributing to low productivity
growth, particularly in sectors associated with low-sophistication
manufactured products, Dominican Today relays.  Companies
benefiting from special tax regimes in special economic zones have
been found to have approximately 30% lower productivity than
similar companies outside of those zones, Dominican Today says.

The lack of innovation and creativity in the creation of
specialized products is also addressed in the report, with 96% of
innovation in the country focused on imitation, limiting its
effects on productivity, Dominican Today relays.

To maintain long-term growth, the World Bank recommends a new round
of economic reforms, including improving the quality of human
capital, fostering competitive markets, modernizing the innovation
strategy, reducing inefficiencies in public spending, and
strengthening resilience to extreme events like climate change,
Dominican Today relays.

Despite these challenges, the Dominican economy has experienced
robust growth, averaging 5.8% per year between 2005 and 2019, well
above the regional average of 2.6% for Latin America and the
Caribbean, Dominican Today discloses.  However, the growth model
has relied more on factor accumulation than on productivity, with
capital formation being the main contributor to GDP growth during
this period, Dominican Today adds.

                About Dominican Republic

The Dominican Republic is a Caribbean nation that shares the island
of Hispaniola with Haiti to the west. Capital city Santo Domingo
has Spanish landmarks like the Gothic Catedral Primada de America
dating back 5 centuries in its Zona Colonial district. Luis Rodolfo
Abinader Corona is the current president of the nation.

TCRLA reported in April 2019 that the Dominican To related that
Juan Del Rosario of the UASD Economic Faculty cited a current
economic slowdown for the Dominican Republic and cautioned that if
the trend continues, growth would reach only 4% by 2023. Mr. Del
Rosario said that if that happens, "we'll face difficulties in
meeting international commitments."

An ongoing concern in the Dominican Republic is the inability of
participants in the electricity sector to establish financial
viability for the system.

S&P Global Ratings, in December 2022, raised its long-term foreign
and local currency sovereign credit ratings on the Dominican
Republic to 'BB' from 'BB-'. The outlook on the long-term ratings
is stable. S&P affirmed its 'B' short-term sovereign credit
ratings. S&P also revised its transfer and convertibility (T&C)
assessment to 'BBB-' from 'BB+'.  The stable outlook reflects S&P's
expectation of continued favorable GDP growth and policy continuity
over the next 12-18
months that will likely stabilize the government's debt burden.

In February 2023, S&P said its BB ratings reflect the country's
fast-growing and resilient economy.  It also incorporates the
country's historical political and social challenges in passing
structural reforms to contain fiscal deficits, despite recent
improvements in the electricity sector. The ratings are constrained
by relatively high debt, a hefty interest burden, and limited
monetary policy flexibility.

Fitch Ratings, in December 2022, affirmed the Dominican Republic's
Long-Term Foreign Currency Issuer Default Rating (IDR) at 'BB-'
with a Stable Rating Outlook.

Moody's affirmed the Dominican Republic's long-term issuer and
senior unsecured ratings at Ba3 and maintained the stable outlook
in March 2021.



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J A M A I C A
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JAMAICA: Cost of Services in Fuel Index Increased by 1.4%
---------------------------------------------------------
RJR News reports that the cost of services in the index 'Housing,
Water, Electricity, Gas and Other Fuels' increased by 1.4 per cent
on an annual basis as at March.

The Statistical Institute of Jamaica says the index fell by 0.8 per
cent for the first quarter alone, according to RJR News.

This was mainly linked to lower rates for electricity, water and
sewage, the report notes.

There was a 1.7 per cent decline in the cost of 'Electricity, Gas
and Other Fuels' for the quarter, the report discloses.

For the group, 'Water Supplies and Miscellaneous Services related
to the Dwelling', there was a 4.1 per cent fall in prices, the
report relays.

                      About Jamaica

Jamaica is an island country situated in the Caribbean Sea.
Jamaica is an upper-middle income country with an economy heavily
dependent on tourism.  Other major sectors of the Jamaican economy
include agriculture, mining, manufacturing, petroleum refining,
financial and insurance services.

Standard & Poor's credit rating for Jamaica stands at B+ with
negative outlook (April 2020).  Moody's credit rating for Jamaica
was last set at B2 with stable outlook (December 2019).  Fitch's
credit rating for Jamaica was last reported at B+ with stable
outlook (April 2020).

In March 2022, Fitch Ratings affirmed Jamaica's Long-Term Foreign
Currency Issuer Default Rating (IDR) at 'B+'. The Rating Outlook is
Stable.



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P U E R T O   R I C O
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CHALLENGER BRASS: Has Deal on Cash Collateral Access
----------------------------------------------------
Challenger Brass & Copper Co., Inc. and Banco Popular de Puerto
Rico advised the U.S. Bankruptcy Court for the District of Puerto
Rico that they have reached an agreement regarding the Debtor's use
of cash collateral and now desire to memorialize the terms of this
agreement into an agreed order.

BPPR consents to the Debtor's limited use of the cash collateral to
satisfy certain operating and other expenses solely under and
pursuant to the terms of the Stipulation and the adequate
protection provided therein.

After some negotiations, the Debtor and BPPR have agreed to enter
into the Stipulation, to allow the Debtor to use the cash
collateral, on an interim basis,from July 28, 2023 through
September 27, 2023, so that the Parties can explore the possibility
of a potential consensual resolution during this period and
preserve the going concern value of the Debtor.

Prior to the Petition Date, the Debtor and BPPR entered into
several credit facilities. Specifically, on May 24, 2019, the
Debtor and BPPR entered into a Credit Agreement, pursuant to which
BPPR provided to the Debtor a revolving line of credit in the
aggregate principal amount of $2 million to finance the Debtor's
accounts receivable and to satisfy a previous line of credit.

The First Loan is evidenced by a Note dated May 24, 2019, executed
by the Debtor in favor of BPPR in the principal amount of $2
million.

On March 19, 2021, the Debtor and BPPR entered into a Credit
Agreement, pursuant to which BPPR made available to the Debtor a
non-revolving line of credit in the aggregated principal amount of
$600,000 to finance the acquisition of raw material.

The Second Loan is evidenced by a Note dated March 19, 2021,
executed by the Debtor and Guarantors in the principal amount of
$600,000.

To secure the payment and performance of the Debtor under the
Loans, the Debtor and the Guarantors granted to BPPR a first
priority lien and security interest on the real properties, as well
as personal guarantees of the Guarantors, pursuant to certain
agreements, instruments, and other documents.

As a result, in an attempt to consensually resolve such defaults,
on October 28, 2022, the Debtor, Guarantors, and BPPR executed a
Forbearance Agreement, pursuant to which the Debtor and Guarantors
agreed to certain actions to remedy the outstanding events of
default.

As part of the Forbearance Agreement, the Debtor and Guarantors
executed a Consent Judgment in favor of BPPR.

The Debtor and the Guarantors failed to comply with their
obligations under the Forbearance Agreement. As a result, on May 4,
2023, BPPR issued a notice of events of default to the Debtor and
the Guarantors.

Since the Debtor and Guarantor failed to remedy the outstanding
events of default, on June 14, 2023, BPPR filed the Consent
Judgment in the Puerto Rico Court, Bayamon Part, Banco Popular de
Puerto Rico v. Challenger Brass & Copper Co., Inc., et al, Civil
No. BY2023CV03279, and requested that the local court issue the
corresponding judgment allowing BPPR to foreclose over its
Collateral.

As part of the Collateral granted to BPPR, the Debtor pledged all
cash collateral to BPPR.

Specifically, on May 24, 2019, the Debtor executed a Security
Agreement, Pledge and Assignment with BPPR.

BPPR duly perfected its security interest over the First Cash
Collateral by filing a UCC Financing Statement on May 29, 2019,
covering all of the First Cash Collateral granted under the First
Security Agreement.

Similarly, on March 19, 2021, the Debtor executed a Security
Agreement, Pledge and Assignment with BPPR.

The Second Security Agreement provides that the Debtor is granting
and pledging to BPPR as collateral for the Second Loan, among other
assets, all of the Debtor's Accounts, Accounts Receivable, Contract
Collateral, Inventory, Deposit and Collection and Account
Collateral and all Proceeds.

BPPR duly perfected its security interest over the Debtor's Second
Cash Collateral by filing a UCC Financing Statement on March 26,
2021, covering all of the Second Cash Collateral granted under the
Second Security Agreement.  

Further, as evidenced by the UCC search report, BPPR holds a first
priority lien over the cash collateral.

After the Petition Date, on June 28, 2023, BPPR sent a letter to
the Debtor stating that it did not consent to the use of its cash
collateral until and unless an agreement was reached regarding its
use, or the Bankruptcy Court ordered otherwise.

As adequate protection for BPPR, the Debtor will pay to BPPR the
amount of $9,892 on or before August 3, 2023 and a second payment
of $9,892 on or before September 3, 2023.

As additional adequate protection for BPPR, the Debtor grants to
BPPR a replacement lien and a post-petition security interest on
all of the assets and Collateral acquired by the Debtor on and
after the Petition Date. The Replacement Liens will be deemed
effective and perfected as of the Petition Date without the need of
the execution or filing by the Debtor or BPPR of any additional
security agreements, pledge agreements, financing statements or
other agreements.

On or before August 11, 2023, the Debtor will provide to BPPR:

(a) detailed business plan with projections for the Debtor's
operations through December 31, 2023;
(b) an aging report of all Accounts Receivables, Accounts Payable,
Inventory, and Accounts; and
(c) a detailed report showing all payments received since June 1,
2023, on all Accounts Receivables and Accounts.
Pursuant to Sections 361, 363 and 507(b) of the Bankruptcy Code, as
additional adequate protection, BPPR is granted a super-priority
claim in an amount equal to any diminution in value of the
pre-petition Cash Collateral, resulting from the Debtor's use of
the cash collateral and the imposition of the automatic stay,
having priority over all administrative expenses specified in 11
U.S.C. sections 503(b) and 507.

As additional adequate protection, the post-petition Collateral
under the Replacement Liens and the pre-petition Collateral, will
all serve as cross-Collateral for the amounts owed under the Credit
Agreement and any and all other amounts disbursed by BPPR under the
Loan Documents.

A copy of the stipulation is available at
https://urlcurt.com/u?l=Ofr0On from PacerMonitor.com.

        About Challenger Brass & Copper Co Inc.

Challenger Brass & Copper Co Inc. is engaged in the manufacturing
and commercialization of copper, brass, bronze, stainless steels,
and aluminum. The company is based in Toa Baja, P.R.

Challenger Brass & Copper filed its voluntary petition for relief
under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No.
23-01917) on June 23, 2023. The petition was signed by Abimael
Padilla Negron as authorized representative of the Debtor. At the
time of filing, the Debtor reported $1,031,500 in assets and
$2,540,722 in liabilities.

Judge Edward A. Godoy presides over the case.

Jesus Enrique Batista Sanchez, Esq. at The Batista Law Group, PSC
represents the Debtor as counsel.

MANANTIAL ROCA: Hires Pullucksingh Accounting as Accountant
-----------------------------------------------------------
Manantial Roca Cristal, LLC seeks approval from the U.S. Bankruptcy
Court for the District of Puerto Rico to employ Pullucksingh
Accounting Services as accountant.

The firm will provide these services:

   a. close out the Debtor's books as of the date of the filing of
the case, and to open new books as of the next day thereafter;

   b. establish a new bookkeeping system to replace the system
heretofore used by the Debtors;

   c. prepare the periodic statements of the Debtor in Possession's
operations as required by the rules of the court; and

   d. prepare and file the Debtor's state and federal tax return
for the fiscal year which ended in the semester prior to the date
of the filing of the bankruptcy case;

The firm will be paid $75 per month.

The firm will also be reimbursed for reasonable out-of-pocket
expenses incurred.

As disclosed in a court filing that the firm is a "disinterested
person" as the term is defined in Section 101(14) of the Bankruptcy
Code.

The firm can be reached at:

     Roshanne Pullucksingh
     Pullucksingh Accounting Services
     1029 Suite 2 Bo. Asomante
     Aguada, PR 00602
     Tel: (787) 868-2832
     Email: hpulluck51@yahoo.com

                    About Manantial Roca Cristal

Manantial Roca Cristal, LLC in Moca, PR, filed its voluntary
petition for Chapter 11 protection (Bankr. D.P.R. Case No.
23-02122) on July 10, 2023, listing $721,764 in assets and
$1,022,313 in liabilities. Lourdes Socorro Ramirez Benique as
presidente, signed the petition.

Judge Enrique S. Lamoutte Inclan oversees the case.

Juan C. Bigas-Valedon, Esq. serve as the Debtor's legal counsel.



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