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260710.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Friday, July 10, 2026, Vol. 27, No. 137 Headlines A R G E N T I N A ARGENTINA: BlackRock Says Past Defaults, Next Election Cap Rally MASTELLONE HERMANOS: Fitch Affirms & Then Withdraws 'B-' IDRs B R A Z I L GENERAL SHOPPING: Exchange Offer Stays Open After No Valid Tenders USIMINAS: Moody's Affirms 'Ba2' CFR, Outlook Stable J A M A I C A CAC 2000: Returns to Profitability JAMAICA: Minister Promotes MSME Procurement Integration Project P U E R T O R I C O INSTITUTO MEDICO: Seeks to Hire Dage Consulting as Accountant T R I N I D A D A N D T O B A G O CARIBBEAN CEMENT: Cemex Invests J$23B++ Over Last Eight Years NESTLE: Assures Trinidad and Tobago Government on Jobs - - - - - ================= A R G E N T I N A ================= ARGENTINA: BlackRock Says Past Defaults, Next Election Cap Rally ---------------------------------------------------------------- David Feliba & Ignacio Olivera Doll at Bloomberg News report that Argentina's stellar bond rally is set to hit a wall as next year's presidential elections revive concern over the country's turbulent economic past, according to Pablo Goldberg, an emerging markets portfolio manager at BlackRock Inc. The debt has returned about 8.3 percent this year, more than any other sovereign in Latin America, after the country earned two ratings upgrades. Yet that outperformance is set to fade, he said, as Argentina's long-standing political risk premium stays stubbornly high. "If you look at the picture, Argentina's fundamentals would suggest a much better rating," Goldberg said. "But when you watch the whole movie, the past still weighs on it." Argentina has defaulted nine times since it's independence, with the last just six years ago. That history imposes a roughly three-notch penalty in some rating methodologies, according to him, leaving the sovereign rated below where its economic fundamentals alone would place it. Now investors are preparing for presidential elections in October next year, in what is likely to be a stark choice between libertarian President Javier Milei and a return to the state interventionist policies of the opposition Peronists. And despite Milei’s success in slowing rampant inflation and stabilizing the currency, the result is no forgone conclusion amid high unemployment. "Every election in Argentina appears to be so binary," Goldberg said. "Until the swings of the past are gone and there is a more sustainable path forward, the market will continue to trade with a bit of a premium to get paid for that volatility." Fitch Ratings and S&P Global Ratings both upgraded Argentina in the past two months into single-B territory for the first time since 2018. The moves has helped push the extra yield investors demand to hold Argentine debt over its US counterpart to 433 basis points from a high of 1,456 ahead of congressional elections in October last year. BlackRock’s ETF and mutual-fund portfolios own about 3.3 percent of Argentina’s benchmark 2035 bonds and 4.6 percent of its 2030 notes, according to data compiled by Bloomberg. Delayed comeback Milei has slashed inflation to about 33 percent from almost 300 percent, while erasing the fiscal deficit and stepping up reserve accumulation. Those policies have stabilised the peso, which has weakened less than two percent this year, on track for its best year since 2006. Yet investors remain reluctant to value the country solely on its improving economic fundamentals because of its history of recurring debt restructurings and abrupt policy shifts. That, in turn, has led Economy Minister Luis Caputo to delay a comeback to international debt markets, arguing that borrowing costs remain too high even as Argentina faces mounting repayments in some of its global bonds ahead. "There is a wall of maturities building over the next couple of years, and buying some insurance against this would help," Goldberg said. "Maybe right now you do it at a higher yield than you would like, but just getting into the process is going to be import Jobs market The government's success in combating inflation and normalizing the economy helped Milei score a landslide win in midterm elections last year, reviving the rally in bonds. But investors remain skeptical whether it will be enough to convince people to give him a second term next year, specially as concerns over the job market grow. Unemployment rose to 7.8 percent in the first quarter from 7.5 percent three months earlier, while recent data suggest economic activity has moderated following last year's rebound. "Growth is doing well, but concentrated in sectors that are somewhat less intensive in job creation," Goldberg said. "What appears to be increasingly important is jobs, because those translate into votes. This is what everybody is going to be looking at." About Argentina Argentina is a country located mostly in the southern half of South America. Its capital is Buenos Aires. Javier Milei is the current president of Argentina after winning the November 19, 2023 general election. He succeeded Alberto Angel Fernandez 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. In March 2022, the International Monetary Fund (IMF) approved a 30-month arrangement under an Extended Fund Facility for Argentina in the amount of SDR 31.914 billion (equivalent to US$44 billion, or 1000 percent of quota) — with an approved immediate disbursement of an equivalent of US$9.65 billion. Argentina's IMF-supported program sought to improve public finances and start to reduce persistent high inflation through a multi-pronged strategy. On April 11, 2025, the IMF further approved a 48-month Extended Fund Facility (EFF) arrangement for Argentina totaling US$20 billion (or 479 percent of quota), with an immediate disbursement of US$12 billion, and a first review planned for June 2025 with an associated disbursement of about US$2 billion. The program is expected to help catalyze additional official multilateral and bilateral support, and a timely re-access to international capital markets. Fitch Ratings, on May 5, 2026, upgraded Argentina's Long-Term Foreign Currency and Local Currency Issuer Default Rating (IDR) to 'B-' from 'CCC+'. The rating Outlook is Stable. S&P Global Ratings, on Dec. 17, 2025, raised its local currency sovereign credit ratings on Argentina to 'CCC+/C' from 'SD/SD'. S&P also raised its long-term foreign currency sovereign credit rating to 'CCC+' from 'CCC' and affirmed its 'C' short-term foreign currency rating. The outlook on the long-term ratings is stable. In addition, S&P raised its issue ratings on local currency bonds to 'CCC+' from 'CCC'. Its 'B-' transfer and convertibility assessment is unchanged. Moody’s Ratings, on July 17, 2025 upgraded the Government of Argentina’s long-term foreign currency and local currency issuer ratings to Caa1 from Caa3 and changed the outlook to stable from positive. The upgrade reflects its view that the extensive liberalization of exchange and (to a lesser extent) capital controls, alongside a new International Monetary Fund (IMF) program, support the availability of hard currency liquidity and ease pressure on external finances. This reduces the likelihood of a credit event. DBRS, Inc. upgraded Argentina's Long-Term Foreign and Local Currency Issuer Ratings to B (low) from CCC in November 2024, and confirmed such ratings in November 2025. MASTELLONE HERMANOS: Fitch Affirms & Then Withdraws 'B-' IDRs ------------------------------------------------------------- Fitch Ratings has affirmed Mastellone Hermanos S.A.'s Long-Term Foreign Currency Issuer Default Rating (IDR) at 'B-' and Long-Term Local Currency IDR at 'B'. The Rating Outlook is Stable. Fitch has simultaneously withdrawn all of the company's ratings. The affirmation reflects Mastellone's leading position in Argentina's dairy industry, meaningful scale advantages and manageable debt maturity profile, which should support financial flexibility amid the country's evolving operating environment. The company's Long-Term FC IDR is constrained by Argentina's 'B-' Country Ceiling. Fitch has withdrawn Mastellone's ratings for commercial reasons and will therefore no longer conduct analytical coverage or provide ratings for the company. Key Rating Drivers LC IDR and Security Ratings: Following the upgrade of Argentina's sovereign rating to 'B-' from 'CCC+', Argentina's sovereign rating is no longer consistent with a distressed environment. For rated Argentine corporates whose LC IDR exceeds their FC IDR, Fitch aligns the FC issue rating with the issuer's LC IDR as it believes exchange and capital controls, rather than issuer-specific credit weakness, would most likely drive any FC default or default-like process based on historical precedents in Argentina. In these cases, Fitch assigns Recovery Ratings above Argentina's 'RR4'. This allows a one-notch uplift from the FC IDR. Challenging Operating Environment: A more challenging macroeconomic and financial environment in 2H25 pressured Mastellone's profitability margins. The company prioritized preserving volumes over fully passing along higher costs and expenses. In addition, the depreciation of the Argentine peso, combined with high inflation, resulted in a significant FX loss due to the company's net exposure to FC-denominated assets and liabilities. Fitch expects Mastellone's operating performance to recover gradually throughout 2026, supported by Argentina's economic recovery, which is likely to benefit dairy product consumption. Fitch projects sales volume growth across all business segments and a gradual EBITDA recovery, with EBITDA around USD70 million in 2026-2027. Geographic Concentration: Mastellone remains highly concentrated in Argentina (B-/Stable), which accounted for about 80% of sales in 2025. This concentration exposes the company to inflation, FX volatility and sovereign-related risks. Brazil (BB/Stable) represented around 14% of sales and other markets, including Paraguay (BB+/Positive), about 6%. Fitch expects this geographic mix to remain broadly unchanged in 2026. Foreign Currency Exposure: Mastellone's debt structure remains exposed to FX risk, as most debt is denominated in U.S. dollars while over 80% of revenue is generated in Argentine pesos. Recent changes to Argentina's FX controls have improved domestic companies' access to U.S. dollars and reduced refinancing risk; Fitch expects this framework to remain in place in the near term. Manageable Debt Maturity Profile: Mastellone's debt maturity profile is manageable due to moderate EBITDA net leverage around 3.0x. In addition, the company has demonstrated operational resilience and access to funding alternatives to address the upcoming maturity of its USD111 million secured bond due June 2026. Fitch expects the company to meet its obligations in full and on time. Profit and Leverage Metrics Recovery: Fitch expects Argentina's economic recovery and disinflation to support profit recovery and improve leverage metrics. The company has invested in expanding capacity in recent years and expects a more stable capex program which will result in neutral FCF in the coming years. Fitch's base projections consider that EBITDA net leverage in Argentine pesos to be around 3.0x over the next two years. Volatile Raw Milk Supply: Raw milk production volatility exposes the company to potential shortages that could disrupt exports and foreign operations or increase production costs. Mastellone allocates raw milk production across domestic sales in Argentina, Brazil and Paraguay, exporting any excess supply. Change of Shareholders: Fitch considers the change in Mastellone's shareholders positive for its credit quality due to strategic and operational incentives with Arcor S.A.I.C. On March 24, 2026, Mastellone's shareholders agreed to transfer shares under the Dec. 3, 2015, purchase and sale option agreement. Under the transaction, Bagley Argentina S.A., a joint venture formed by Arcor and Grupo Danone, would acquire class A, B, C and D shares from members of the Mastellone family and Dallpoint Investment LLC, representing 51.323% of total share capital and voting rights. The transaction remains subject to regulatory and corporate approvals. Peer Analysis Mastellone has a weaker position in scale, product diversification, profitability and geographic diversification compared with international peers like Fonterra Co-operative Group Limited (A/Stable), Sigma Alimentos, S.A. de C.V. (BBB/Stable) and Arcor (B/Stable). Its ratings are constrained by Argentina's Country Ceiling. Mastellone's business profile is broadly comparable to that of Grupo Lala, S.A.B. de C.V. (AA(mex)/Stable). However, Mastellone's EBITDA margins and leverage metrics in 2025 and 1Q26 were pressured by Argentina's challenging operating environment. Both companies also exhibit high geographic concentration in their domestic markets, which is a relevant business profile consideration and results in exposure to country-specific economic risks. Corporate Rating Tool Inputs and Scores Fitch scored the issuer as follows, using its Corporate Rating Tool (CRT) to produce the Standalone Credit Profile (SCP): Business and financial profile factors (assessment, relative importance): management ('bb', Lower), sector characteristics ('bb', Moderate), market and competitive positioning ('bb', Moderate), diversification and asset quality ('b+', Moderate), company operational characteristics ('bb-', Moderate), profitability ('b-', Higher), financial structure ('b+', Moderate), and financial flexibility ('bb-', Moderate). The quantitative financial subfactors are based on standard CRT financial period parameters: 20% weight for the latest historical year 2025, 40% for the forecast year 2026 and 40% for the forecast year 2027. The governance assessment of 'good' has no impact. The operating environment assessment of 'b' has no impact. The SCP is 'b'. To derive the Long-Term IDR: For the LC IDR, Fitch made no adjustments to the SCP, resulting in a LC IDR of 'B'. For the FC IDR, Country Ceiling considerations apply and result in an adjustment of -1 notch, resulting in a FC IDR of 'B-'. RATING SENSITIVITIES Rating Sensitivities are no longer applicable as the ratings have been withdrawn. Liquidity and Debt Structure Mastellone has adequate liquidity, with a cash position of ARS25.5 billion (approximately USD18.6 million) and short-term debt of ARS225 billion (approximately USD164 million) as of 1Q26. Mastellone's cash and cash equivalents were lower than its short-term debt, but Fitch does not foresee any liquidity shortage given its good banking relationships. Issuer Profile Mastellone is the largest dairy company and leading processor of dairy products in Argentina. It holds the top position in the fluid milk market based on physical volume. It ranks first or second in most of its product lines. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Sector Forecasts Monitor data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. Climate Vulnerability Signals The results of its Climate.VS screener did not indicate an elevated risk for Mastellone. ESG Considerations Following the withdrawal of the ratings for Mastellone, Fitch will no longer provide the associated ESG scores. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Prior ----------- ------ ----- Mastellone Hermanos Sociedad Anonima LT IDR B- Affirmed B- LT IDR WD Withdrawn LC LT IDR B Affirmed B LC LT IDR WD Withdrawn =========== B R A Z I L =========== GENERAL SHOPPING: Exchange Offer Stays Open After No Valid Tenders ------------------------------------------------------------------ General Shopping e Outlets do Brasil S.A. provided an early settlement update regarding the exchange offer by its subsidiary General Shopping Investments Limited, a Cayman Islands exempted company, in respect of any and all of the Issuer's outstanding 10%/12% Regulation S Senior Secured PIK Toggle Notes due 2026 (CUSIP No. G3812T AB7; ISIN No. USG3812TAB73), pursuant to the exchange offer memorandum dated June 26, 2026. The Exchange Offer provided that Eligible Holders who validly tendered their Reg S Notes at or prior to 5:00 p.m. (New York City time) on July 2, 2026 would be eligible to receive the Early Exchange Consideration of 5,523 quotas issued by Clear Fundo de Investimento Imobiliário Responsabilidade Limitada per US$1,000 outstanding principal amount of Reg S Notes validly tendered and accepted for exchange. As of the Early Tender Date, the Issuer had received tenders with respect to the Reg S Notes; however, none constituted valid tenders in accordance with the requirements set forth in the Exchange Offer Memorandum. Accordingly, the Issuer has not accepted any Reg S Notes for exchange in connection with the Early Tender Date, no Early Exchange Consideration will be delivered, and the full US$8,923,000 aggregate principal amount of Reg S Notes remains outstanding. Capitalized terms used but not otherwise defined herein have the meanings ascribed to them in the Exchange Offer Memorandum. The Exchange Offer and the Quotas offered thereby have not been and will not be registered under the U.S. Securities Act of 1933, as amended, or any state securities laws or the laws of any other jurisdiction. Early Settlement Because the Issuer had not received any valid tenders of Reg S Notes in accordance with the requirements set forth in the Exchange Offer Memorandum at or prior to the Early Tender Date, there will be no early settlement under the Exchange Offer. No Reg S Notes have been accepted for exchange in connection with the Early Tender Date, no Early Exchange Consideration will be delivered and no Early Settlement Date will occur. The full US$8,923,000 aggregate principal amount of Reg S Notes remains outstanding and eligible for exchange pursuant to the Exchange Offer on the terms and subject to the conditions set forth in the Exchange Offer Memorandum. Exchange Offer Remains Open The Exchange Offer remains open on its original terms and will expire at 5:00 p.m. (New York City time) on July 9, 2026, unless extended or earlier terminated by the Issuer. Eligible Holders who validly tender their Reg S Notes at or prior to the Expiration Time will be eligible to receive the Late Exchange Consideration of 5,021 Quotas per US$1,000 outstanding principal amount of Reg S Notes validly tendered and accepted for exchange. Because no valid tenders of Reg S Notes were received in accordance with the requirements set forth in the Exchange Offer Memorandum at or prior to the Early Tender Date, the full US$8,923,000 aggregate principal amount of Reg S Notes remains available for exchange pursuant to the Exchange Offer. Conditions and Reservations of Rights The Exchange Offer may be amended, extended, terminated or withdrawn at any time prior to the Expiration Time. The obligation of the Issuer to complete the Exchange Offer is subject to the satisfaction or waiver (in the Issuer's sole and absolute discretion) of the General Conditions described in the Exchange Offer Memorandum. The Issuer reserves the right, in its sole and absolute discretion, subject to applicable law, to: (i) extend the Expiration Time or change the Late Exchange Consideration, (ii) terminate, withdraw or amend the Exchange Offer, (iii) waive any conditions to the Exchange Offer, (iv) retain tendered Reg S Notes during extensions of the Exchange Offer, and (v) otherwise modify the terms of the Exchange Offer. Instructions to tender are irrevocable and may not be withdrawn, except as required by applicable law. Eligible Holders must tender their entire holding of Reg S Notes; the Issuer reserves the right not to accept partial tenders. Information and Exchange Agent D.F. King & Co., Inc. is acting as Information and Exchange Agent for the Exchange Offer. Holders of Reg S Notes can contact the Information and Exchange Agent, D.F. King & Co., Inc., at 28 Liberty Street, 53rd Floor, New York, NY 10005, telephone number: (800) 515-4479 (toll-free), (646) 759-4548 (collect) or e-mail generalshopping@dfking.com. Requests for documentation should be directed to the Information and Exchange Agent. The Issuer, the Company, the Fund and their respective affiliates reserve the right, in their sole and absolute discretion, to purchase or make offers to purchase, to make offers to exchange or to redeem in accordance with the terms and conditions of the Reg S Notes, any Reg S Notes that remain outstanding and, to the extent permitted by applicable law, to purchase Reg S Notes in the open market, in privately negotiated transactions or otherwise. The terms of any such purchase or offer could differ from the terms of the Exchange Offer. The Exchange Offer is being made solely pursuant to the Exchange Offer Memorandum, and only to such persons and in such jurisdictions as are permitted under applicable law. THIS ANNOUNCEMENT IS NEITHER AN OFFER TO PURCHASE NOR THE SOLICITATION OF AN OFFER TO SELL OR EXCHANGE ANY OF THE SECURITIES DESCRIBED HEREIN IN THE UNITED STATES OR IN ANY OTHER JURISDICTION WHERE SUCH OFFER IS PROHIBITED, AND SUCH SECURITIES MAY NOT BE OFFERED, SOLD OR EXCHANGED IN THE UNITED STATES ABSENT REGISTRATION OR AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT. NONE OF THE COMPANY, THE ISSUER OR THE FUND INTENDS TO REGISTER ANY SECURITIES TO BE DELIVERED IN THE EXCHANGE OFFER IN THE UNITED STATES OR TO CONDUCT A PUBLIC OFFERING OF SUCH SECURITIES IN ANY JURISDICTION. THE EXCHANGE OFFER IS MADE SOLELY PURSUANT TO THE EXCHANGE OFFER MEMORANDUM. NEITHER THE EXCHANGE OFFER MEMORANDUM NOR ANY OF THE OTHER DOCUMENTS RELATING TO THE EXCHANGE OFFER HAVE BEEN FILED WITH OR REVIEWED BY THE FEDERAL OR ANY STATE SECURITIES COMMISSION OR REGULATORY AUTHORITY OF ANY COUNTRY, NOR HAS ANY SUCH COMMISSION OR AUTHORITY PASSED UPON THE ACCURACY OR ADEQUACY OF THE EXCHANGE OFFER MEMORANDUM. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL AND MAY BE A CRIMINAL OFFENSE. NONE OF THE INFORMATION AND EXCHANGE AGENT, THE ISSUER, THE COMPANY, THE FUND OR THEIR RESPECTIVE AFFILIATES MAKES ANY RECOMMENDATION IN CONNECTION WITH THE EXCHANGE OFFER AS TO WHETHER OR NOT ANY ELIGIBLE HOLDER OF REG S NOTES SHOULD TENDER OR REFRAIN FROM TENDERING THEIR REG S NOTES, AND NO PERSON HAS BEEN AUTHORIZED BY ANY OF THEM TO MAKE SUCH A RECOMMENDATION. ACCORDINGLY, ELIGIBLE HOLDERS MUST MAKE THEIR OWN DETERMINATION AS TO WHETHER TO TENDER THEIR REG S NOTES AND, IF SO, THE AGGREGATE PRINCIPAL AMOUNT OF REG S NOTES TO TENDER. ELIGIBLE HOLDERS ARE URGED TO READ THE EXCHANGE OFFER MEMORANDUM AND CONSULT WITH THEIR FINANCIAL, LEGAL AND TAX ADVISORS TO MAKE THAT DECISION. This announcement contains forward-looking statements and information that is necessarily subject to risks, uncertainties and assumptions. No assurance can be given that the transactions described herein will be consummated or as to the terms of any such transactions. No person assumes any obligation to update or correct the information contained in this announcement. This communication is only being distributed to and is only directed at persons in member states of the European Economic Area who are "qualified investors" within the meaning of Article 2(e) of Regulation (EU) 2017/1129. The Quotas are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with qualified investors. This communication and its contents should not be acted upon or relied upon in any member state of the EEA by persons who are not qualified investors. This communication does not constitute a "prospectus" for the purposes of the Prospectus Regulation. In the United Kingdom, this communication is only being distributed to, and are only directed at, "qualified investors" within the meaning of paragraph 15 of Schedule 1 of the POATRs that are (i) investment professionals falling within Article 19(5) of the Order, (ii) high net worth entities or other persons falling within Article 49(2)(a) to (d) of the Order, or (iii) persons to whom an invitation or inducement to engage in investment activity (within the meaning of section 21 of the FSMA), in connection with the issue or sale of any securities may otherwise lawfully be communicated or caused to be communicated (all such persons together being referred to as "relevant persons"). This communication should not be distributed, published or reproduced (in whole or in part) or disclosed by recipients to any other persons in the United Kingdom. This communication is directed only at relevant persons and must not be acted on or relied on by persons who are not relevant persons. The Quotas are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with relevant persons. Any person in the United Kingdom that is not a relevant person should not act or rely on this communication or any of its contents. This communication does not constitute a "prospectus" for the purposes of the POATRs and the Prospectus Rules: Admission to Trading on a Regulated Market sourcebook. About General Shopping e Outlets do Brasil S.A. GSB is a Brazilian shopping mall developer and operator. As of December 2025, it managed 15 projects with an owned GLA of 80,910 sqm. USIMINAS: Moody's Affirms 'Ba2' CFR, Outlook Stable --------------------------------------------------- Moody's Ratings has affirmed Usinas Siderurgicas de Minas Gerais S.A.'s ("Usiminas") Ba2 corporate family rating and the Ba2 rating of the $500 million backed senior unsecured notes due 2032 issued by Usiminas International S.a r.l. and fully and unconditionally guaranteed by Usiminas. The outlook for the issuers is stable. RATINGS RATIONALE Usiminas' Ba2 ratings reflect the company's solid position in the Brazilian flat-steel market and its track record of quickly adjusting operations to market conditions in Brazil. The ratings are also supported by Usiminas' good credit metrics and liquidity through economic and commodity cycles, and its enhanced financial flexibility to withstand the volatility in its main end markets. Usiminas has been able to prevent cash burn and maintain covenant compliance in the recent past, which reduces the potential liquidity risks in tougher operating environments. The ratings are mainly constrained by Usiminas' exposure to the volatility of the automotive industry in Brazil because of its concentration in flat-steel production in the country, and by the competitive pressures stemming from elevated steel imports, which reached record levels in 2024-2025 and compressed domestic margins. Although Usiminas' ability to downsize provides some flexibility, its concentration of operations in two plants introduces event risks and is an additional negative credit consideration. Despite persistent competitive pressures from imports and rising raw material and energy costs, Usiminas' consolidated EBITDA increased to BRL3.0 billion in the 12 months that ended March 2026 from BRL2.0 billion in 2024 supported by price and mix improvements, cost efficiencies from the Ipatinga blast furnace revamp and stronger mining results. The company's gross leverage ratio (measured by EBITDA/Debt) improved to 2.3x in the 12 months that ended March 2026 from 3.8x in 2024. Moody's expects leverage to remain in the 2.0x-2.5x range over the next 12-18 months, supported by further efficiency gains from the blast furnace revamp and the new pulverized coal injection (PCI) plant, which is expected to be fully operational in the second half of 2026. Overtime, Moody's expects Usiminas' leverage to remain within a normalized range of 1.5x-3.5x through commodity cycles, and its net leverage ratio will remain stable over time based on a sustainably higher cash position. LIQUIDITY Usiminas has good liquidity, with a total cash position of BRL6.7 billion as of the end of March 2026, sufficient to cover its total Moody's-adjusted debt of BRL6.8 billion by approximately 1.0x. The company benefits from a comfortable debt amortization schedule, with no material debt maturities until 2028, following the successful redemption of the 2026 notes and the early repayment of certain debenture series in 2025. Usiminas also maintains a significant buffer under its financial covenants, with a reported net leverage ratio of -0.20x against a 3.5x threshold. About BRL3.9 billion in cash is available at the parent level, with the remainder held primarily by the mining subsidiary, MUSA. This cash is mainly accessible to Usiminas via a dividend upstream, which requires approval from MUSA's minority shareholder, Sumitomo Corporation (Baa1 stable). The company's normalized annual cash flow from operations is sufficient to cover non-discretionary cash outflow such as maintenance capital spending (around BRL800 million) and net interest payments (about BRL200 million). In addition, the company's dividend payments are usually capped at the minimum required by Brazilian law (25% of net income). Usiminas has outlined a BRL3.5 billion capital expenditure pipeline to be deployed through 2029, centered on the modernization of its coke plant complex, the installation of a new PCI system and the construction of a new gasometer at the Ipatinga plant. These investments are designed to reduce production costs — primarily through lower third-party coke purchases and improved energy efficiency — support the company's decarbonization targets and extend the operational longevity of key steelmaking equipment. The company guides for annual capex of BRL1.4-1.6 billion in 2026, a level Moody's expects to remain broadly stable over the investment horizon. Moody's considers the program manageable in the context of Usiminas' positive free cash flow generation and its current net cash position. The company generated positive free cash flow of BRL1.2 billion in 2025 and BRL1.9 billion in the 12 months that ended March 2026, even as capex remained elevated at approximately BRL1.3 billion. Capex declined meaningfully from a peak of BRL3.0 billion in 2024, when the Ipatinga blast furnace revamp was completed, while dividend distributions remained minimal at BRL76 million in the 12 months that ended March 2026. Moody's expects Usiminas to continue generating positive free cash flow over the next 12-18 months, supported by the ongoing realization of efficiency gains. Usiminas' strong cash position and ability to quickly adjust operations to market conditions show its commitment to a certain degree of financial discipline. All these factors support Moody's views that the company will continue to prevent cash burn, thereby reducing liquidity and covenant breach risks. Moody's expects Usiminas to maintain its conservative financial approach to leverage and liquidity, matching any future potential expansion investments (that is, investments at MUSA and new rolling lines) with its internal cash generation, thus preserving its creditworthiness. RATING OUTLOOK The stable rating outlook incorporates Moody's assumptions that Usiminas will maintain good liquidity and adequate credit metrics over the next 12-18 months despite softening market conditions, and that the company will maintain a disciplined approach to liquidity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS An upgrade of Usiminas' ratings would require further strengthening of the company's capital structure through gross debt reduction or an improvement in the business profile that would reduce Usiminas' exposure to the volatility in the flat-steel market in Brazil. Quantitatively, an upgrade would also require strong operating performance and market fundamentals on a sustained basis, with Moody's-adjusted leverage remaining below 2.5x, interest coverage of at least 3.5x (EBIT/interest expense) and maintenance of strong liquidity and cash flow, which will enhance the buffer to withstand the volatility in its end markets. The ratings would be downgraded if Usiminas' performance deteriorates significantly with no prospects of improvement, with leverage exceeding 4.0x, EBIT/interest declining below 2.0x, liquidity contracting significantly or if market conditions deteriorate. COMPANY PROFILE Headquartered in Belo Horizonte, Minas Gerais, Usinas Siderurgicas de Minas Gerais S.A. (Usiminas) is the largest integrated flat-steel manufacturer in Latin America. It has a production capacity of 5 million tons of crude steel and sales capacity for 6.9 million tons of flat-rolled steel products. The company reported consolidated net revenue of BRL25.3 billion ($4.6 billion) for the 12 months that ended March 2026. Usiminas also owns iron ore mining properties, as well as steel distribution and capital goods subsidiaries in Brazil. In the 12 months that ended March 2026, Usiminas produced 9.0 million tons of iron ore, of which 7.3 million tons were sold to third parties. The principal methodology used in these ratings was Steel published in September 2025. ============= J A M A I C A ============= CAC 2000: Returns to Profitability ---------------------------------- RJR News reports that construction and engineering company, CAC 2000, has returned to profitability in its latest quarter, reporting a net profit of $3.7 for the three months ended April 30. The company says the improved performance was driven by stronger margins and tighter cash management, according to RJR News. However, for the six-month period, CAC 2000 recorded a net loss of $69.8 million, representing a 24.4 per cent increase in losses, compared with the same period last year, the report notes. Revenue for the half-year stood at $226.1 million, representing a decline of almost 48 per cent year-over-year, the report relays. CAC 2000 says the lower revenue reflects prevailing market conditions and its continued focus on maintaining credit quality while prioritising cash-generating activities, the report adds. JAMAICA: Minister Promotes MSME Procurement Integration Project --------------------------------------------------------------- RJR News reports that micro, small and medium-sized enterprises, which account for 44 per cent of Jamaica's GDP, represent about 425,000 businesses and provide employment for up to 70 per cent of the workforce, are being targeted for greater access to government contracts as the authorities move to close the procurement gap. The government is now moving to level the playing field through its MSME Procurement Integration Project, an initiative designed to help smaller businesses compete for public contracts, according to RJR News. "The Public Procurement Set-Asides Order was specifically designed to create opportunities for qualifying micro, small, and medium-sized enterprises to compete for contracts that match their scale and capacity, allowing them to build experience, strengthen their businesses, and expand over time, Finance Minister Fayval Williams explained at the launch of the MSME Procurement Integration Project at Iberostar Hotels and Resorts in St James," the report notes. According to the finance minister, the opportunity that is before the Jamaican MSME sector is unprecedented in both scale and potential, RJR News says. She said too few of those contracts have reached small businesses and now the government was determined to change that, vowing that “by this same time next year, PPC, when we come back here, we must have numbers about companies, new companies that have participated in government's procurement,” the report adds 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. On Feb. 21, 2025, Fitch Ratings affirmed Jamaica's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-', with a positive rating outlook. In October 2023, Moody's upgraded the Government of Jamaica's long-term issuer and senior unsecured ratings to B1 from B2, and senior unsecured shelf rating to (P)B1 from (P)B2. The outlook has been changed to positive from stable. In September 2024, S&P affirmed 'BB-/B' longterm foreign and local currency sovereign credit ratings on Jamaica and revised outlook to positive. ===================== P U E R T O R I C O ===================== INSTITUTO MEDICO: Seeks to Hire Dage Consulting as Accountant ------------------------------------------------------------- Instituto Medico Del Norte Inc. seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to hire Dage Consulting CPA's P.S.C. as accountant. The firm will render these services: a. assist the Debtor in gathering and compiling the necessary information required to file the Chapter 11 Petition and court required information and schedules, provide consulting services including expert witness and assist the Debtor and his attorney in documenting the reorganization plan to be filed in the case; and b. prepare monthly operating reports, prepare all necessary tax returns to ascertain Debtor is in full compliance with his fiscal responsibilities, assist the Debtor and his attorney in all matters related to court instructions, transactions, and or information requests of an accounting or financial nature. The firm will be paid as follows: José A. Díaz Crespo, CPA $250 per hour Manager consultant $180 per hour Senior consultant $135 per hour Staff consultant $100 per hour A retainer fee in the amount of $20,000 has been required in this case and Debtor made a partial payment of $10,000. The firm can be reached through: Jose A. Diaz Crespo, CPA Dage Consulting CPA's P.S.C. P.O Box 367457 San Juan PR 00936-7457 Tel: (787) 428-3388 E-mail: jdiaz@dageconsulting.com About Instituto Medico Del Norte Instituto Medico del Norte Inc., operating as Centro Medico Wilma N. Vazquez, provides hospital and health-care services in Vega Baja, Puerto Rico. The company's Wilma N. Vazquez health system offers emergency care, skilled nursing, primary care, imaging, clinical laboratory, wound-care, pediatric and infusion services, serving adults, children and patients requiring acute, specialty or transitional medical care. Instituto Medico Del Norte sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R., Case No. 26-01886) on April 28, 2026. At the time of the filing, Debtor had estimated assets of between $0 to $50,000 and liabilities of between $1,000,001 to $10 million. Judge Mildred Caban Flores oversees the case. The Batista Law Group, PSC is Debtor's legal counsel. ===================================== T R I N I D A D A N D T O B A G O ===================================== CARIBBEAN CEMENT: Cemex Invests J$23B++ Over Last Eight Years ------------------------------------------------------------- RJR News reports that Mexico-based Cemex Cement Company says it has invested more than J$23 billion in Caribbean Cement Company over the last eight years, as part of its commitment to the company and Jamaica. Speaking at a town hall meeting with workers, Cemex CEO Jaime Muguiro said the investment over the period 2017 to 2025 has helped to improve efficiency, strengthen operations, expand production capacity and sustain profitability, according to RJR News. Despite the major investments, however, Caribbean Cement has been unable to fully satisfy the growing demand for cement in the Jamaican market, and that has prompted the government to grant licences to five companies to import 390,000 tonnes of cement in an effort to address supply challenges, the report notes. The government has said increasing cement availability is critical to maintaining construction output and protecting employment in the sector, the report adds. About Caribbean Cement Caribbean Cement Company Limited, together with its subsidiaries, manufactures and sells cement and clinker in Jamaica and other Caribbean countries. The company was incorporated in 1947 and is based in Kingston, Jamaica. As reported in the Troubled Company Reporter-Latin America on Aug 10, 2023, Jamaica Observer said that high cost attributed to a scheduled annual maintenance exercise done during the first quarter sent operational earnings and six months profit falling for cement manufacturer Carib Cement at the end of June. For the reporting period, net profit, which amounted to $2.4 billion, was approximately 20 per cent below the $3 billion earned for the half-year mark in 2022, according to Jamaica Observer. Operating earnings for the period also fell by about 24 per cent to total $3.6 billion when compared to the $4.8 billion seen for last year's period, the report noted. NESTLE: Assures Trinidad and Tobago Government on Jobs ------------------------------------------------------ Joel Julien at Trinidad and Tobago Express reports that amid uncertainty over the future of its dairy and juice businesses, Nestle assured the Government that jobs and local factory operations will be preserved as the company evaluates strategic options, including a potential exit from those segments. The commitment came during a meeting between Agriculture and Fisheries Minister Ravi Ratiram and a senior delegation from the multinational food company, as both sides explored opportunities to strengthen support for local dairy farmers and expand investment in the sector, according to Trinidad and Tobago Express. "During the meeting, Nestle informed the minister that in alignment with the company's global business strategy, it intends to restructure their local portfolio with particular attention to its operations with dairy and juices," a release stated, the report notes. "The minister received assurance from the Nestlé delegation that its goal is the preservation of jobs and to ensure that the factory's legacy and operations remain intact throughout the transition," it stated, the report relays. According to the release discussions also focused on opportunities to expand collaboration between the ministry and Nestle in advancing the revitalisation of the dairy sector, the report says. "Particular emphasis was placed on Nestlé's support of the National Agricultural Training Initiative (NATI), with both parties exploring future partnerships to deliver technical training, capacity-building programmes and knowledge-transfer initiatives designed to strengthen the skills of dairy farmers," the ministry stated, the report discloses. "Additionally, Minister Ratiram and the Nestlé delegation agreed to undertake a joint visit to Nestlé’s Model Farm Development Project in Turure, to review existing infrastructure, assess areas for improvement and identify potential opportunities for future collaboration," it stated, the report notes. Ratiram said the Government remains committed to working closely with dairy farmers and other key stakeholders to ensure there are no disruptions to the dairy supply chain during the restructuring process, the report says. Minister Ratiram also reaffirmed the ministry's commitment to working closely with dairy farmers and other key stakeholders to ensure there are no disruptions to the dairy supply chain during the transition, the report discloses. "The Ministry of Agriculture and Fisheries remains committed to engaging with stakeholders to support economic development, protect employment, and advance initiatives that strengthen the nation’s agricultural sector," it stated, the report relays. The Nestlé delegation comprised Siti Jones-Gordon, head of Communications for the Caribbean; Pedro Ospina, director of Corporate Affairs for the Central America and Caribbean Region; and Jorge Hoyos, chief financial officer for the Caribbean, the report notes. Ratiram was accompanied by acting permanent secretary Michelle Anne Thomas; Dr Michelle Mellows, chief technical officer; Dr Anil Ramnanan, technical advisor to the Minister; and Ravi Pooran-Maharaj, advisor to the minister, the report discloses. At a meeting followed Nestle's announcement that it was reviewing options for its dairy and juice businesses in Trinidad and Tobago, including a possible exit, as part of a broader global strategic review, the report notes. Among the brands that could be affected are Orchard juices and Proud Land milk, the report discloses. "Nestlé's new global strategy sharpens the company’s focus on the specific product categories of nutrition, food, coffee, pet care, and confectionary, while reducing emphasis on other parts of its existing portfolio,” a release stated, the report says. "In line with this approach, Nestlé has commenced a strategic review of its operations and product portfolio in Trinidad and Tobago," it stated, the report relays. The company said a definitive position has not yet been reached, the report notes. "At this point, no final decisions have been made. Nestlé is in the initial, exploratory stages of its strategic review and is assessing a full range of alternatives, among them a revision of the operating model for its dairy and juices business, including the consideration of a potential sale of that business," it stated, the report relays. "Nestlé is also assessing a distribution model via third-party partners in Trinidad and Tobago," the release stated, the report says. The report relays that according to Nestlé, during the "exploration phase" its objective is "to preserve jobs, to protect well-known local brands and to support the continuity of the value chain as far as possible." The company said it would provide clear communication when decisions are made and remains committed to transparency with stakeholders, the report notes. "Nestlé remains committed to a strong presence in Trinidad and Tobago and the wider Caribbean and will ensure that Nestlé products continue to be widely available, meeting the needs of consumers and contributing to the region for the long term," it stated, the report discloses. Local Dairy Heritage Nestle's presence in Trinidad and Tobago dates back to 1914, the report recalls. Its Valsayn facility, commissioned in 1962 by then-prime minister Dr Eric Williams, houses its corporate office, distribution centre and manufacturing operations, the report notes. The site produces brands including Milo, Carnation and Choc-Nut, and is located at the intersection of the Churchill-Roosevelt and Solomon Hochoy highways, the report says. Milk production began at the Valsayn facility when it opened in 1962, with the company collecting fresh milk daily from local dairy farmers, the report relays. Today, it makes the brand Nestlé Proud Land, which its website states is: "100% fresh milk, farmed and produced right here, by our own people, from our own land, and this is why we are Proud!" ********* 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 2026. 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 * * *