/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/121019.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, October 19, 2012, Vol. 13, No. 209 Headlines A R G E N T I N A CANDY STORE: Creditors' Proofs of Debt Due Dec. 7 GPAT COMPANIA: Moody's Assigns 'B1' Currency Debt Rating HERRFAL COMPUTERS: Creditors' Proofs of Debt Due Nov. 1 PSA FINANCE: Moody's Assigns 'B1' Senior Debt Rating LEIRATAX SRL: Creditors' Proofs of Debt Due Nov. 23 TCM SRL: Creditors' Proofs of Debt Due Nov. 16 * PROVINCE OF CHACO: Moody's Cuts Issuer & Debt Ratings to 'Caa3' B R A Z I L EMPRESA CATARINENSE: Moody's Assigns 'Ba1' Global Scale Rating C A Y M A N I S L A N D S AIS SPC: Creditors' Proofs of Debt Due Oct. 24 ARES V CLO: Creditors' Proofs of Debt Due Nov. 5 CAIRN COMPANY: Creditors' Proofs of Debt Due Nov. 5 CAPPADOCIA AVIATION: Creditors' Proofs of Debt Due Nov. 5 CAYMO INC: Creditors' Proofs of Debt Due Nov. 5 FARMILO LTD: Creditors' Proofs of Debt Due Nov. 5 MANTIS REEF II: Creditors' Proofs of Debt Due Oct. 25 OSCAR FUNDING: Creditors' Proofs of Debt Due Nov. 5 SP CAYMAN 2: Creditors' Proofs of Debt Due Oct. 25 TROR CORPORATION: Creditors' Proofs of Debt Due Nov. 5 C O L O M B I A LA SOURCE GRENADA: Closes Operations, Cuts 150 Jobs M E X I C O CERVECERIA NACIONAL: S&P Withdraws 'BB' Corporate Credit Rating GRUPO SENDA: S&P Affirms 'B' Corp. Credit Rating; Outlook Positive T R I N I D A D & T O B A G O PETROTRIN: President Denies $2 Billion Loss U R U G U A Y BANCO BILBAO: S&P Revises Outlook on 'BB+' Issuer Credit Rating - - - - - ================= A R G E N T I N A ================= CANDY STORE: Creditors' Proofs of Debt Due Dec. 7 ------------------------------------------------- Adriana E. Torrado, the court-appointed trustee for Candy Store SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until Dec. 7, 2012. Ms. Torrado will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 23 in Buenos Aires, with the assistance of Clerk No. 46, will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by the company and its creditors. The Trustee can be reached at: Adriana E. Torrado Tucuman 1553 Argentina GPAT COMPANIA: Moody's Assigns 'B1' Currency Debt Rating -------------------------------------------------------- Moody's Investors Service assigned a B1 global local-currency debt rating to the expected tenth issuance of GPAT Compania Financiera (GPAT) Class A, up to the amount of Ar$50 million which will be due in 270 days, and Class B, up to the amount of Ar$150 million which will be due in 18 months. The issuances are under an already rated program up to the amount of Ar$800 million. At the same time, Moody's Latin America assigned Aa2.ar national scale local currency debt rating to GPAT's expected issuances. The outlook on all ratings is negative, following the rating action, Moody's change to negative the outlook on rated Argentine financial institutions. The following ratings were assigned to GPAT Compania Financiera S.A.'s issuances: Class A: Ar$50 million senior unsecured debt issuance: B1 Global Local Currency Debt Rating Aa2.ar Argentina National Scale Local Currency Debt Rating Class B: Ar$150 million senior unsecured debt issuance: B1 Global Local Currency Debt Rating Aa2.ar Argentina National Scale Local Currency Debt Rating Ratings Rationale Moody's explained that the local currency senior unsecured debt rating derives from GPAT's B1 global local currency issuer rating. Moody's also noted that seniority was taken into consideration in the assignment of the debt ratings. GPAT Compania Financiera S.A. is headquartered in Buenos Aires, Argentina, and reported Ar$1.297 million of total assets and Ar$ 269 million of shareholders' equity as of June 30, 2012. HERRFAL COMPUTERS: Creditors' Proofs of Debt Due Nov. 1 ------------------------------------------------------- Juan Carlos Sosa, the court-appointed trustee for Herrfal Computers SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until Nov. 1, 2012. Mr. Sosa will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 20 in Buenos Aires, with the assistance of Clerk No. 39, will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by the company and its creditors. The Trustee can be reached at: Juan Carlos Sosa Viamonte 783 Argentina PSA FINANCE: Moody's Assigns 'B1' Senior Debt Rating ---------------------------------------------------- Moody's Investors Service assigned a B1 global local currency senior debt rating to PSA Finance Argentina Compania Financiera's ninth bond issuance for an amount up to Ar$80 million, which will be due in 24 months, as well as to the tenth issuance for an amount of Ar$40 million, which will be due in 9 months. At the same time, on the National Scale, Moody's assigned Aa2.ar local currency debt rating to both issuances. The outlook on all ratings is stable. The following ratings were assigned to PSA Finance Argentina Compania Financiera S.A.: AR$80 million senior unsecured debt issuance: B1 Global Local Currency Debt Rating Aa2.ar Argentina National Scale Local Currency Debt Rating AR$40 million senior unsecured debt issuance: B1 Global Local Currency Debt Rating Aa2.ar Argentina National Scale Local Currency Debt Rating Ratings Rationale Moody's explained that the local currency senior unsecured debt rating derives from PSA Finance's B1 global local currency deposit rating. Moody's also noted that seniority was taken into consideration in the assignment of the debt ratings. PSA Finance Argentina Compania Financiera S.A. is headquartered in Buenos Aires, Argentina, with assets of Ar$1.556 million, and equity of Ar$177 million as of June 2012. LEIRATAX SRL: Creditors' Proofs of Debt Due Nov. 23 --------------------------------------------------- Roberto Leibovicius, the court-appointed trustee for Leiratax SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until Nov. 23, 2012. Mr. Leibovicius will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 12 in Buenos Aires, with the assistance of Clerk No. 23, will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by the company and its creditors. The Trustee can be reached at: Roberto Leibovicius Tucuman 1585 Argentina TCM SRL: Creditors' Proofs of Debt Due Nov. 16 ---------------------------------------------- Jose Maria Larrory, the court-appointed trustee for TCM SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until Nov. 16, 2012. Mr. Larrory will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 21 in Buenos Aires, with the assistance of Clerk No. 41, will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by the company and its creditors. The Trustee can be reached at: Jose Maria Larrory Rodriguez Pena 231 Argentina * PROVINCE OF CHACO: Moody's Cuts Issuer & Debt Ratings to 'Caa3' ----------------------------------------------------------------- Moody's Latin America downgraded the Province of Chaco's issuer and debt ratings (local currency) to Caa3/Caa2.ar from B3/A3.ar. This action follows Chaco's recent default on USD-denominated bonds (not rated by Moody's). Moody's Latin America also downgraded the issuer and debt ratings (local currency) of the Province of Formosa to Caa2/B2.ar from B3/A3.ar. At the same time, Formosa's debt ratings (foreign currency) for its USD denominated and payable bond under local law were downgraded to Caa3/Caa2.ar from B3/A3.ar. In addition, Moody's Latin America concludes the review initiated on October 3, 2012 with the following rating actions: 1. The global scale ratings (local currency) of all Argentine sub- sovereigns are now in line with or below Argentina's sovereign bonds rating, B3 negative. 2. The global scale ratings (foreign currency) of all other Moody's rated sub-sovereign governments in Argentina with foreign currency obligations have been capped at Caa1, one notch below the sovereign rating. This adjustment reflects Moody's view on the growing risks that sub-sovereigns face to access foreign currency and serve their obligations in foreign currency. The ratings of the following regional and local governments were affected: City of Buenos Aires, Province of Chubut, Province of Mendoza, Municipality of Mendoza, Municipality of Cordoba, Province of Buenos Aires, Province of Cordoba, Municipality of Rio Cuarto, Province of Chaco, and Province of Formosa. With the exception of the Province of Formosa, the outlook for all the rated provinces and municipalities in Argentina is negative and follows the negative outlook of Argentina's B3 local and foreign currency government bond ratings. Formosa's issuer and debt ratings were placed under review for a possible downgrade. Ratings Rationale The downgrade of the Province of Chaco to Caa3/Caa2.ar from B3/A3.ar follows the province's recent default on its US dollar- denominated bonds with an outstanding value of around US$34 million USD. On October 4, the province failed to honor debt service payment in US dollars due to the restrictions imposed by the central bank to acquire US dollars to service local debt obligations. Consequently, the province paid in pesos at the official exchange rate implying a loss of about 25%. Formosa's issuer ratings downgrade to Caa2/B2.ar from B3/A3.ar reflects the increased probability of default on its US dollar- denominated bond in the local market. In addition, the current ratings reflect Moody's assessment of the province's high exposure to a deteriorating operating environment. Formosa's debt ratings on the US dollar 5% coupon Co-participation Tax Revenue Secured Notes due 2022 were downgraded to Caa3/Caa2.ar from B3/A3.ar. The review for a possible further downgrade will focus on assessing the magnitude of the loss to investors following a default caused by the forced conversion of the debt service payments in Argentinean pesos instead of US dollars. The next debt service payment date is November 27. Additionally, for other sub-sovereign governments with foreign currency obligations, the foreign currency global scale rating has been downgraded to Caa1 reflecting Moody's view on the growing risks that Argentine sub-sovereigns face to access foreign currency in an environment of increasingly restrictive policies by the central bank. The negative outlook reflects the ongoing deterioration in Argentina's operating environment, including a decelerating economy and rising fiscal and foreign exchange pressures. Despite the intrinsic financial characteristics of various Argentinean provinces and municipalities, the lack of consistent and predictable policies at the national level affects the institutional framework under which provinces and municipalities operate and ultimately anchors their credit quality to that of the Sovereign. With these actions, Moody's concludes the review initiated on October 3, 2012. ISSUERS AND RATINGS AFFECTED (1) Sub-sovereigns previously rated above the Sovereign - City of Buenos Aires: Downgrade of issuer and debt ratings (local currency) to B3/A3.ar from B1/Aa2.ar; Downgrade of issuer and debt ratings (foreign currency) to Caa1/Ba1.ar from B2/Aa3.ar; Negative Outlook. - Province of Chubut: Downgrade of issuer and debt ratings (local currency) to B3/Baa1.ar from B2/Aa3.ar; Negative Outlook. - Province of Mendoza: Downgrade of issuer and debt ratings (local currency) to B3/Baa1.ar from B2/A1.ar; Downgrade of issuer and debt ratings (foreign currency) to Caa1/Ba2.ar from B2/A1.ar; Negative Outlook. - Municipality of Mendoza: Downgrade of issuer and debt ratings (local currency) to B3/Baa1.ar from B2/Aa3.ar; Negative Outlook. - Municipality of Cordoba: Downgrade of issuer and debt ratings (local currency) to B3/Baa2.ar from B2/Aa3.ar; Negative Outlook. (2) Sub-sovereigns that were previously rated at the Sovereign level - Province of Buenos Aires: Downgrade of issuer and debt ratings (local currency) to B3/Baa3.ar from B3/A3.ar; Downgrade of issuer and debt ratings (foreign currency) to Caa1/Ba3.ar from B3/A3.ar; Negative Outlook. - Province of Cordoba: Downgrade of issuer and debt ratings (local currency) to B3/Baa2.ar from B3/A2.ar; Downgrade of issuer and debt ratings (foreign currency) to Caa1/Ba3.ar from B3/A2.ar; Negative Outlook. - Municipality of Rio Cuarto: Downgrade of issuer and debt ratings (local currency) to B3/Baa2.ar from B3/A2.ar; Negative Outlook. - Province of Chaco: Downgrade of issuer and debt ratings (local currency) to Caa3/Caa2.ar from B3/A3.ar; Negative Outlook. - Province of Formosa: Downgrade of issuer and debt ratings (local currency) to Caa2/B2.ar from B3/A3.ar; Downgrade of issuer and debt ratings (foreign currency) to Caa3/Caa2.ar from B3/A3.ar; Ratings under review for a possible downgrade. What Could Change The Rating Up/Down Moody's does not expect upward pressures in rated Argentinean sub- sovereigns in the near to medium term. These issuers could be further downgraded if the negative outlook on the sovereign rating materializes into a rating downgrade. Furthermore, any action taken by the central government that would negatively impact the ability of a sub-sovereign entity to repay its financial obligations could lead to a further downgrade of Moody's rated sub-sovereigns in Argentina. Any such actions would be viewed by Moody's as further illustration of a deteriorating institutional framework and an unstable policy environment. Formosa's issuer and debt ratings could be further downgraded if the review concludes with Moody's assessment that the expected loss to the bondholders is greater than the loss captured by the current assigned ratings. =========== B R A Z I L =========== EMPRESA CATARINENSE: Moody's Assigns 'Ba1' Global Scale Rating -------------------------------------------------------------- Moody's America Latina assigned a Ba1 global scale rating and Aa2.br rating on the Brazilian National Scale to the 5-year BRL80 million senior unsecured amortizing debentures to be issued by Empresa Catarinense de Transmissao de Energia S.A. (ECTE) in the local market. At the same time, Moody's affirmed ECTE's issuer ratings of Ba1 on the global scale and Aa2.br on the Brazilian National Scale. The outlook for all ratings is stable. The proceeds of the proposed BRL80 million debentures will be used to support capital expenditures at the level of its subsidiary Empresa de Transmissao Serrana S/A (ETSE) to construct two transmission substations in the state of Santa Catarina, estimated at around BRL130 million from 2012 through 2014. Management indicated it would tap for additional funding, which Moody's expects to be either BNDES or the local capital markets, to complement the funding needs most likely in the second half of 2013. Ratings Rationale The Ba1 and Aa2.br issuer ratings reflect ECTE's predictable and stable cash flows provided by its long-term regulated concession agreement to operate an electricity network in the south of Brazil. The relatively long track record of operations, management's expertise in the transmission business and the company's strong credit metrics further support the ratings. ECTE's small scale and geographic concentration constrain the rating, as do its aggressive dividend distribution policy, relatively high capital expenditures and the company's evolving corporate governance practices. Moody's views the regulatory framework for transmission companies in Brazil as well developed and highly predictable in terms of cost recovery and return on invested capital. The predictable and stable cash flow nature of the transmission segment stems from the Permitted Annual Revenues (RAP), which are based on fixed capacity payments throughout the concession period that have provisions for automatic annual adjustments for inflation. Nevertheless, the track record of the current framework is rather limited and some procedures are still untested, such as the indemnification of non- depreciated assets upon the non-renewal or termination of an existing concession. ECTE operates a single transmission line under a 30-year concession that was signed in November 2000; the line started operations in March 2002. The company largely benefits from a concession granted prior to 2006, which is not subject to periodic tariff reviews. On the other hand, the Permitted Annual Revenue (RAP) for this concession is scheduled to step down 50% starting in March 2017. The current RAP authorized by the regulator is BRL71 million, which is valid from July 2012 through June 2013. The inherently stable nature of its transmission services provides ECTE with predictable and stable cash flows, which support its strong credit metrics for the rating category. The network availability has been around 99.9% over the last three years and maintenance capital expenditures represent less than 1% of its regulated asset base. As a result of very low capital requirements, ECTE's leverage has been very low, which is evidenced by a Net Debt to EBITDA ratio of just 1.0x as of December 31, 2011. Moody's foresees an increase in leverage over the next three years as a result of the BRL130 million capital expenditures program at the level of its subsidiary ETSE, which is expected to be partly tempered by a significant reduction in the payment of dividends as indicated by the company's management. Moody's projects that the FFO over debt ratio will average 26% from 2012 through 2014, which compares with the previous 58.5% three-year average. Interest coverage is expected to shrink to 3.3x in the same period down from 4.4x in the previous three-year period. Despite expected deterioration in ECTE's credit metrics, they are expected to remain appropriate for the Ba1 rating category. When the Ba1 issuer rating was assigned to ECTE in February 2011, Moody's had factored into the rating the potential for new capital expenditures and corresponding deterioration in credit metrics. ECTE has corporate governance standards that are below the average of its peer group of electric utilities with investment grade ratings. Moody's understands there is room for further improvement in corporate governance, which could be accomplished by the publication of audited and consolidated cash flows on a quarterly basis and the preparation of financial projection based on IFRS. The stable outlook reflects Moody's expectation that ECTE will continue to prudently manage the capital expenditures and the distribution of dividends in line with its cash flow capacity while maintaining an adequate liquidity position. ECTE's management forecasts it will need to raise around BRL60 million in the second half of 2013, which Moody's expects to be raised either in the local capital markets or BNDES to complement ETSE's funding needs. Moody's believes that ECTE has adequate access to the banking and local capital markets not just because of the inherently stable nature of its business but also because the company can count on the support of financially strong shareholders, which could step in, if necessary, to make sure ETSE obtains timely and adequate funding. The ratings could be upgraded if ECTE's corporate governance practices improve along with a track record of continued strong financial performance, such that the FFO interest coverage ratio is greater than 3.5x along with a FFO to Net debt above 35% on a sustainable basis. The ratings or outlook could be downgraded if there is significant increase in leverage and deterioration of the liquidity profile driven by an unexpected sizeable investment program, capital split or inability to raise timely funding as planned. Quantitatively, the ratings or outlook could come under downward pressure if the FFO interest coverage ratio falls below 2.5x and the FFO to Net debt stays below 25% for an extended period. The principal methodology used in this rating was Regulated Electric and Gas Networks published in August 2009. Empresa Catarinense de Transmissao de Energia S.A. (ECTE), owns a 30-year concession contract that expires in November 2030 to operate a 253 kilometer high-voltage transmission line in the state of Santa Catarina. Alupar Investimentos S.A. (Alupar) is ECTE major shareholder with 45.02% of its voting and total capital. The other shareholders are Centrais Eletricas de Santa Catarina (Celesc) with 30.88%, Companhia Energetica de Minas Gerais S.A. (CEMIG) with 19.09% and MDU Resources (MDU) with 5.00%. In 2011, ECTE posted consolidated net revenues of BRL59 million (USD35 million) and EBITDA of BRL54 million (USD32 million) under Moody's standards, which include financial income from cash and cash equivalents. ========================== C A Y M A N I S L A N D S ========================== AIS SPC: Creditors' Proofs of Debt Due Oct. 24 ---------------------------------------------- The creditors of AIS SPC Ltd. are required to file their proofs of debt by Oct. 24, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Aug. 29, 2012. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949 7576 Facsimile: (345) 949 8295 P.O. Box 897 Windward 1, Regatta Office Park Grand Cayman KY1-1103 Cayman Islands ARES V CLO: Creditors' Proofs of Debt Due Nov. 5 ------------------------------------------------ The creditors of Ares V CLO Ltd. are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 13, 2012. The company's liquidator is: David Dyer Deutsche Bank (Cayman) Limited PO Box 1984, Boundary Hall Cricket Square, 171 Elgin Avenue Grand Cayman KY1-1104 Cayman Islands CAIRN COMPANY: Creditors' Proofs of Debt Due Nov. 5 --------------------------------------------------- The creditors of Cairn Company Cayman Islands No. 2. Limited are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 13, 2012. The company's liquidator is: David Dyer Deutsche Bank (Cayman) Limited PO Box 1984, Boundary Hall Cricket Square, 171 Elgin Avenue Grand Cayman KY1-1104 Cayman Islands CAPPADOCIA AVIATION: Creditors' Proofs of Debt Due Nov. 5 --------------------------------------------------------- The creditors of Cappadocia Aviation Limited are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 13, 2012. The company's liquidator is: David Dyer Deutsche Bank (Cayman) Limited PO Box 1984, Boundary Hall Cricket Square, 171 Elgin Avenue Grand Cayman KY1-1104 Cayman Islands CAYMO INC: Creditors' Proofs of Debt Due Nov. 5 ----------------------------------------------- The creditors of Caymo Inc. are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Sept. 12, 2012. The company's liquidator is: Commerce Corporate Services Limited P.O. Box 694 Grand Cayman Telephone: 949 8666 Facsimile: 949 0626 P.O. Box 694 Grand Cayman Cayman Islands Telephone: 949 8666 Facsimile: 949 0626 FARMILO LTD: Creditors' Proofs of Debt Due Nov. 5 ------------------------------------------------- The creditors of Farmilo Ltd are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Sept. 11, 2012. The company's liquidator is: Commerce Corporate Services Limited P.O. Box 694 Grand Cayman Telephone: 949 8666 Facsimile: 949 0626 P.O. Box 694 Grand Cayman Cayman Islands Telephone: 949 8666 Facsimile: 949 0626 MANTIS REEF II: Creditors' Proofs of Debt Due Oct. 25 ----------------------------------------------------- The creditors of Mantis Reef II Limited are required to file their proofs of debt by Oct. 25, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 10, 2012. The company's liquidator is: Intertrust SPV (Cayman) Limited 87 Mary Street, George Town Grand Cayman KY1-9005 Cayman Islands c/o Jennifer Chailler Telephone: (345) 814 6847 OSCAR FUNDING: Creditors' Proofs of Debt Due Nov. 5 --------------------------------------------------- The creditors of Oscar Funding Corp. XV are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 13, 2012. The company's liquidator is: David Dyer Deutsche Bank (Cayman) Limited PO Box 1984, Boundary Hall Cricket Square, 171 Elgin Avenue Grand Cayman KY1-1104 Cayman Islands SP CAYMAN 2: Creditors' Proofs of Debt Due Oct. 25 -------------------------------------------------- The creditors of SP Cayman 2 Ltd. are required to file their proofs of debt by Oct. 25, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 12, 2012. The company's liquidator is: Intertrust SPV (Cayman) Limited 87 Mary Street George Town Grand Cayman KY1-9005 Cayman Islands c/o Jennifer Chailler Telephone: (345) 814 6847 TROR CORPORATION: Creditors' Proofs of Debt Due Nov. 5 ------------------------------------------------------ The creditors of Tror Corporation Limited are required to file their proofs of debt by Nov. 5, 2012, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Sept. 13, 2012. The company's liquidator is: David Dyer Deutsche Bank (Cayman) Limited PO Box 1984, Boundary Hall Cricket Square, 171 Elgin Avenue Grand Cayman KY1-1104 Cayman Islands =============== C O L O M B I A =============== LA SOURCE GRENADA: Closes Operations, Cuts 150 Jobs --------------------------------------------------- Caribbean360.com reports that La Source Grenada Limited closed its operation on Oct. 15 due to "unforeseen circumstances" cutting 150 jobs in the process. The 100-room luxury resort was seriously damaged by Hurricane Ivan in 2004 and didn't reopen until February 2008, according to Caribbean360.com. The report relates that La Source's demise comes just months after Delta Air Lines and American Eagle cancelled service to Grenada. The report relays that American Airlines, British Airways and regional carrier LIAT have also announced flight reductions to the island. =========== M E X I C O =========== CERVECERIA NACIONAL: S&P Withdraws 'BB' Corporate Credit Rating --------------------------------------------------------------- Standard & Poor's Ratings Services withdrew its 'BB' corporate credit and senior unsecured debt rating on the Dominican Republic- based beverage producer and distributor Cerveceria Nacional Dominicana S.A. (CND) at its request. The withdrawal follows CND's redemption of the remaining portion of its $270 million senior unsecured notes due 2014 after AmBev - Companhia de Bebidas das Americas completed the acquisition of 51% of the company. The outlook was stable at the time of the withdrawal. GRUPO SENDA: S&P Affirms 'B' Corp. Credit Rating; Outlook Positive ------------------------------------------------------------------ Standard & Poor's Ratings Services revised its outlook on Grupo Senda Autotransporte S.A. de C.V. (Senda) to positive from stable. "At the same time, we affirmed our 'B' global scale corporate credit and senior secured ratings. The recovery rating of '3' remains unchanged. We also affirmed our 'mxBBB-' national scale long-term corporate credit rating and of 'mxA-3' short-term and commercial program notes ratings," S&P said. "The outlook revision reflects our expectation that Senda should be able to maintain its improved operating performance thanks to lower administrative, transportation, and maintenance costs, fleet and route optimization, price increases, and organic growth," said Standard & Poor's credit analyst Bernardo Gonzalez. "Our ratings on Senda reflect our assessment of the company's 'aggressive' financial risk profile that is based on its sizable outstanding debt relative to its cash generation, 'less than adequate' liquidity, additional debt mainly to finance capital expenditures, and exposure to exchange rate volatility. The ratings also reflect our assessment of its 'weak' business risk profile which reflects the company's small size relative to its peers, the competitive Mexican bus transportation market, and the industry's slow growth," S&P said. =============================== T R I N I D A D & T O B A G O =============================== PETROTRIN: President Denies $2 Billion Loss ------------------------------------------- Carolyn Kissoon South Bureau at Trinidad Express reports that Petroleum Company of Trinidad and Tobago (Petrotrin) President Khalid Hassanali has admitted to multiple delays and cost overruns during the time the Fluidised Catalytic Cracking Unit (FCCU) was out of service at the company's Pointe-a-Pierre refinery. However, Mr. Hassanali denied that the shutdown cost $2 billion, according to Trinidad Express. The report notes that Mr. Hassanali said the $2 billion was an operating expenditure for purchasing blending stock to ensure continuity of quality supply to customers. Mr. Hassanali was responding to Opposition Senator Terrence Deyalsingh's claims made during the 2012/2013 budget debate in the Senate, the report notes. Mr. Deyalsingh, the report relates, said the unprecedented shutdown of the FCCU for 16 months had resulted in a cost of about $2 billion. However, speaking with reporters at an Energy Chamber luncheon at Paria Suites, La Romaine, Mr. Hassanali said: "The $2 billion loss took me by surprise because the $2 billion that was spent over the last period when the cat cracker was out of service was really for purchasing blending stock . . . We didn't stop the refinery over the last two years. The refinery has been running. It is only a little more than 12 months now that the cat cracker was taken out of service. It has been upgraded while it was running, but since December last year it was taken out of service," the report discloses. The report notes that Mr. Hassanali said upgrade works on the FCCU began in 2006 at an estimated cost of US$173 million. The contract comprised a lumpsum portion for engineering, procurement and some management and fabrication services and the rest of the work comprising the major part was on a cost reimbursable basis, meaning Petrotrin took all the costs of construction, the report relates. The report notes that Mr. Hassanali said the procurement process proved a major delay, but an accident in the boiler and a death at the refinery further delayed the completion of upgrades this year. The initial estimate was revised on two occasions - 2008 and 2010 - to US$439 million, the report says. Mr. Hassanali said that final commissioning activities are in progress and full commercial production is expected in November 2012, the report adds. Petroleum Company of Trinidad and Tobago is the major state-owned oil company in Trinidad and Tobago. The company was established in 1993 by the merger of Trintopec and Trintoc, two state-owned oil companies. Petrotrin's main holdings are extensive, mature onshore fields located across southern Trinidad. Large areas have been leased out to small private producers who are able to make a profit on wells that are unprofitable for Petrotrin, giving it higher labor costs. The company operates a refinery at Pointe-Pierre, just north of San Fernando in south Trinidad. Most crude petroleum produced in Trinidad is exported without being refined. The refinery depends on imported crude (mostly from Venezuela), which is either used domestically or exported. * * * As reported in the Troubled Company Reporter-Latin America on June 9, 2010, Trinidad Express related that four members of Petrotrin submitted their resignation letters. According to the report, Malcom Jones resigned as chairman of Petrotrin and from the State boards. The report related board members Lawford Dupres, who chaired the National Petroleum board, attorney Kerwin Garcia and Andrew McIntosh had also resigned. Prime Minister Kamla Persad-Bissessar, the report noted, said that Cabinet had ordered a forensic audit of Petrotrin as there were "grounds for suspicion of misconduct" at Petrotrin similar to what may have transpired at special-purpose State enterprise UDeCOTT. The report said that the company was experiencing serious financial difficulties resulting in high cost overruns of its refinery upgrade. The situation was exacerbated by a US$12 billion lawsuit by World GTL Inc. against Petrotrin, the report added. ============= U R U G U A Y ============= BANCO BILBAO: S&P Revises Outlook on 'BB+' Issuer Credit Rating --------------------------------------------------------------- Standard & Poor's Ratings Services revised its outlook on Banco Bilbao Vizcaya Argentaria Uruguay (BBVA Uruguay) 'BB+' issuer credit rating to negative from stable. The outlook revision follows the downgrade of the parent bank, Banco Bilbao Vizcaya Argentaria (BBVA; BBB-/Negative/A-3), which resulted in its weakened capacity to provide support to BBVA Uruguay. "We consider BBVA Uruguay as a 'moderately strategic' subsidiary to its parent. Under our group methodology, the long-term issuer credit rating on a 'moderately strategic' subsidiary is generally one notch above its stand-alone credit profile (SACP), subject to a cap of one rating notch below the group credit profile. The ratings on BBVA Uruguay include one-notch uplift over its SACP of 'bb'," S&P said. "The ratings on BBVA Uruguay would depend on its SACP and the creditworthiness of its parent. We classify the Uruguayan government as 'support uncertain' under bank criteria methodology. For that reason, and despite BBVA Uruguay's moderately systemic importance to the country's financial system, the credit ratings on the bank are not expected to factor extraordinary government support.The ratings on BBVA Uruguay reflect its 'strong' business position, 'weak' capital and earnings, 'adequate' risk position, 'average' funding, and 'adequate' liquidity," S&P said. *********** Monday's edition of the TCR-LA delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR-LA editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR-LA constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR-LA editor holds some position in the issuers' public debt and equity securities about which we report. Tuesday's edition of the TCR-LA features a list of companies with insolvent balance sheets obtained by our editors based on the latest balance sheets publicly available a day prior to publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. A list of Meetings, Conferences and Seminars appears in each Thursday's edition of the TCR-LA. Submissions about insolvency- related conferences are encouraged. Send announcements to conferences@bankrupt.com *********** S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Latin America is a daily newsletter co-published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Valerie U. Pascual, Ivy B. Magdadaro, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2012. 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$625 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 Chapman at 240/629-3300. * * * End of Transmission * * *