/raid1/www/Hosts/bankrupt/TCRLA_Public/131227.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, December 27, 2013, Vol. 14, No. 255
Headlines
A R G E N T I N A
* ARGENTINA: Economy Grew More Than Expected in Third Quarter
B A R B A D O S
SAGICOR LIFE: S&P Affirms 'BB+' Issuer Credit Rating
B R A Z I L
* BRAZIL: Sao Paulo to Use US$480MM IDB loan for Highway Project
C A Y M A N I S L A N D S
AL-BAIT CORPORATION: Members Receive Wind-Up Report
ARGOS INVESTMENT: Shareholder Receives Wind-Up Report
ASIAN CRC: Members Receive Wind-Up Report
ASIAN LEADERS: Shareholder Receives Wind-Up Report
CHEYNE VISTA: Shareholders Receive Wind-Up Report
CIBC BRAZIL: Shareholders Receive Wind-Up Report
DIALECTIC OFFSHORE: Shareholder Receives Wind-Up Report
PUMA SPHERA: Shareholders Receive Wind-Up Report
PUMA SPHERA MASTER: Shareholders Receive Wind-Up Report
RAIN TREE: Members Receive Wind-Up Report
RAIN TREE MASTER: Members Receive Wind-Up Report
RAIN TREE US: Members Receive Wind-Up Report
THE AVA: Shareholders Receive Wind-Up Report
THE RIVER: Shareholder Receives Wind-Up Report
YORK ENHANCED: Shareholders Receive Wind-Up Report
G U Y A N A
* GUYANA: IMF Exec. Board Concludes 2013 Article IV Consultation
M E X I C O
* MEXICO: To Get US$170MM IDB Loan for Human Resources Program
P E R U
PESQUERA EXALMAR: S&P Affirms 'B+' Corporate Credit Rating
T R I N I D A D & T O B A G O
* TRINIDAD & TOBAGO: Central Bank Revises Outlook for Economy
- - - - -
=================
A R G E N T I N A
=================
* ARGENTINA: Economy Grew More Than Expected in Third Quarter
-------------------------------------------------------------
Charlie Devereux and Silvia Martinez at Bloomberg News report that
Argentina's economy grew more than expected in the third quarter,
boosting the chances that holders of securities linked to the
country's growth will be paid as much as US$3 billion next year.
Gross domestic product expanded 5.5 percent from a year earlier,
according to a report released on Dec. 21 by the national
statistics institute, compared with a 4.9 percent median estimate
of nine economists in a Bloomberg survey, notes the report.
Argentina President Cristina Fernandez de Kirchner is fueling
growth after boosting spending by 36 percent this year and
increasing subsidies to boost consumer spending, according to
Bloomberg. Argentina's economy needs to grow more than 3.22
percent to trigger an annual payment to holders of the country's
GDP warrants, Bloomberg News relates. GDP expanded 5.7 percent
through September.
The warrants rose 0.6 percent to 8.50 cents at 4:13 p.m. in Dec.
21, in Buenos Aires, according to data compiled by Bloomberg.
Payment for GDP warrants based on this year's growth will be made
in December 2014, according to the bond prospectus, Bloomberg News
relates.
Bloomberg News discloses that Argentina posted a current account
deficit of US$1.27 billion in the third quarter, the statistics
institute, known as Indec, said. The deficit helped push central
bank reserves down 29 percent this year to US$30.6 billion as the
country increases fuel imports, Bloomberg News notes.
The International Monetary Fund in February censured Argentina for
failing to report accurate data on inflation and GDP, prompting
the government to announce a new consumer price index to be
unveiled in February and growth figures in March, Bloomberg News
notes.
The peso, whose rate is managed by the central bank, has weakened
23 percent against the dollar this year, Bloomberg News discloses.
===============
B A R B A D O S
===============
SAGICOR LIFE: S&P Affirms 'BB+' Issuer Credit Rating
----------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB+' financial
strength and issuer credit ratings on Sagicor Life Inc. (Sagicor),
and its 'BB-' ratings on Sagicor Finance Ltd.'s $150 million,
10-year senior unsecured notes, and removed them from CreditWatch
negative where S&P placed them on June 13, 2013. The outlook is
negative.
On Dec. 23, 2013, Sagicor announced the completion of the sale of
Sagicor at Lloyd's for which it will receive GBP86 million. "The
sale of the unit will help stabilize the company's revenues, and
combined ratios and will allow it to refocus on life insurance,
its main area of expertise. The sale also strengthens the
company's capital," said Standard & Poor's credit analyst Angelica
Bala.
Based on S&P's ratings above the sovereign criteria, it has
applied capital and liquidity stress tests related to sovereign
stresses on Barbados, Sagicor's country of domicile, and Jamaica,
a country to which Sagicor has material exposure. The company
passes both stress tests, therefore S&P's rating reflects its
stand-alone credit profile, but will be limited to two notches
above the rating on Barbados (BB-/Negative/B), as per S&P's
criteria.
The rating on Sagicor Finance's $150 million, 10-year senior
unsecured notes is two notches below the issuer credit rating on
Sagicor, reflecting the subordination of this debt to
policyholders' obligations. Sagicor Financial Corp. (not rated)
and Sagicor guarantee the debt.
===========
B R A Z I L
===========
* BRAZIL: Sao Paulo to Use US$480MM IDB loan for Highway Project
----------------------------------------------------------------
Brazil's state of Sao Paulo will receive a loan for US$480 million
from the Inter-American Development Bank (IDB) to improve freight
and passenger transport in the state highway system in order to
enhance competitiveness and regional and international integration
by reducing transport costs and travel time.
With its 41 million people and a third of the country's gross
domestic product, the state of Sao Paulo directly administers a
road network marked by intensive use. Two thousand vehicles
operate daily on 75 percent of the network while more than four
thousand vehicles operate on 30 percent of the roadways
The program will finance the rehabilitation of 570 kilometers of
highways, including improved access facilities, construction and
paving of third lanes and shoulders, designation of bicycle lanes,
and highway signage upgrades. The works will result in greater
higher safety in addition to improved efficiency. The Bank loan
will also finance technical, economic, and environmental studies,
as well as the preparation of engineering designs.
The Sao Paulo Department of Highways (DER/SP) will implement the
program. Training will be provided to strengthen the department's
management capacity for performing internal audits. The improved
capacity will result in enhanced implementation of internal
control procedures and the development of a system for
prioritizing investments that will improve DER/SP's ability to
allocate resources.
According to IDB project team Andr‚s Pereyra da Luz, "This project
marks a further step in the partnership between the Bank and the
state of Sao Paulo for improving the state's logistical
infrastructure and the strengthening of the DER/SP's institutional
capacity for allocating resources for the transport system."
The IDB financing has a term of 25 years, a grace period of five
years, and an interest rate based on LIBOR.
==========================
C A Y M A N I S L A N D S
==========================
AL-BAIT CORPORATION: Members Receive Wind-Up Report
---------------------------------------------------
The members of Al-Bait Corporation received on Dec. 20, 2013, the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Waleed M. Mohammed
Kuwait Finance House
Abdullah Al-Mubarok Street
P.O. Box 24989, Safat-13110
Kuwait
ARGOS INVESTMENT: Shareholder Receives Wind-Up Report
-----------------------------------------------------
The shareholder of Argos Investment Fund Ltd. received on Dec. 11,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Jarard Blake
c/o UBS Fund Services (Cayman) Ltd.
UBS House, 227 Elgin Avenue
P.O. Box 852 Grand Cayman KY1-1103
Cayman Islands
ASIAN CRC: Members Receive Wind-Up Report
-----------------------------------------
The members of Asian CRC Hedge Fund received on Dec. 20, 2013, the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Lachlan Campbell
3311-3313 Two IFC, 8 Finance Street
Central
Hong Kong
ASIAN LEADERS: Shareholder Receives Wind-Up Report
--------------------------------------------------
The shareholder of Asian Leaders Fund received on Dec. 17, 2013,
the liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Ogier
c/o Jonathan Turnham
Telephone: (345) 815-1839
Facsimile: (345) 949-9877
CHEYNE VISTA: Shareholders Receive Wind-Up Report
-------------------------------------------------
The shareholders of Cheyne Vista General Partner Inc. received on
Dec. 18, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Mourant Ozannes Cayman Liquidators Limited
94 Solaris Avenue, Camana Bay, George Town
P.O. Box 1348 Grand Cayman KY1-1108
Cayman Islands
CIBC BRAZIL: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of CIBC Brazil Management I, LDC received on
Dec. 16, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
CIBC Private Equity Management, Inc.
Kathryn Casparian/Peter Martin
c/o CIBC World Markets Corp.
425 Lexington Avenue, 2nd Floor
New York
New York 10017
United States of America
Telephone: +1 (416) 594 7506
DIALECTIC OFFSHORE: Shareholder Receives Wind-Up Report
-------------------------------------------------------
The shareholder of Dialectic Offshore L2, Ltd received on Dec. 17,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Ogier
c/o Jonathan Turnham
Telephone: (345) 815-1839
Facsimile: (345) 949-9877
PUMA SPHERA: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of Puma Sphera received on Dec. 18, 2013, the
liquidator's report on the company's wind-up proceedings and
property disposal.
PUMA SPHERA MASTER: Shareholders Receive Wind-Up Report
-------------------------------------------------------
The shareholders of Puma Sphera Master Fund received on Dec. 18,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
RAIN TREE: Members Receive Wind-Up Report
-----------------------------------------
The members of Rain Tree Capital Fund Ltd. received on Dec. 16,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
CDL Company Ltd.
P.O. Box 31106 Grand Cayman KY1-1205
Cayman Islands
RAIN TREE MASTER: Members Receive Wind-Up Report
------------------------------------------------
The members of Rain Tree Capital Master Fund Ltd. received on
Dec. 16, 2013, the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
CDL Company Ltd.
P.O. Box 31106 Grand Cayman KY1-1205
Cayman Islands
RAIN TREE US: Members Receive Wind-Up Report
--------------------------------------------
The members of Rain Tree Capital US Fund Ltd. received on Dec. 16,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
CDL Company Ltd.
P.O. Box 31106 Grand Cayman KY1-1205
Cayman Islands
THE AVA: Shareholders Receive Wind-Up Report
--------------------------------------------
The shareholders of The Ava Foundation received on Dec. 20, 2013,
the liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Alexandria Bancorp Limtied
The Grand Pavilion Commercial Centre
802 West Bay Road
P.O. Box 2428 Grand Cayman KY1-1105
Cayman Islands
Telephone: (345) 945-1111
Facsimile: (345) 945-1122
THE RIVER: Shareholder Receives Wind-Up Report
----------------------------------------------
The shareholders of The River Foundation received on Dec. 20,
2013, the liquidator's report on the company's wind-up proceedings
and property disposal.
The company's liquidator is:
Alexandria Bancorp Limtied
The Grand Pavilion Commercial Centre
802 West Bay Road
P.O. Box 2428 Grand Cayman KY1-1105
Cayman Islands
Telephone: (345) 945-1111
Facsimile: (345) 945-1122
YORK ENHANCED: Shareholders Receive Wind-Up Report
--------------------------------------------------
The shareholders of York Enhanced Strategies Feeder Fund (Cayman)
Ltd. received on Dec. 11, 2013, the liquidator's report on the
company's wind-up proceedings and property disposal.
The company's liquidator is:
John J. Fosina
c/o Maples and Calder, Attorneys-at-law
P.O. Box 309, Ugland House
Grand Cayman KY1-1104
Cayman Islands
===========
G U Y A N A
===========
* GUYANA: IMF Exec. Board Concludes 2013 Article IV Consultation
----------------------------------------------------------------
On December 9, 2013, the Executive Board of the International
Monetary Fund (IMF) concluded the Article IV consultation with
Guyana.
During the last decade, Guyana's strong macroeconomic performance
has contributed to a reduction in public debt levels and sustained
poverty reduction. The economy has experienced seven years of
uninterrupted growth averaging about 4 percent annually. The key
pillars of the macroeconomic resurgence have been sustained
reforms, in particular the implementation of VAT, favorable
commodity prices, significant inflows of Foreign Direct Investment
(FDI) and debt relief under the Heavily Indebted Poor Countries
Initiative (HIPC) and Multilateral Debt Relief Initiative (MDRI)
initiatives.
Real economic activity expanded by 4.8 percent in 2012 on the back
of broad-based growth in agriculture, manufacturing, mining,
construction and other services. Twelve-month inflation remained
low at 3.4 percent, notwithstanding higher energy and food prices.
In FY2012, the overall fiscal deficit was 4.5 percent of Gross
Domestic Product (GDP), virtually unchanged from the 2011 outturn.
Central government revenues net of grants declined by 0.8 percent
of GDP, reflecting lower income and consumption tax receipts, and
non-interest current expenditures rose by 1 percent of GDP mainly
on account of higher transfer payments to the electricity and
sugar companies. The deterioration in the central government
balance was offset by improved performance of state-owned
enterprises whose financial position shifted from deficit to
surplus. The external current account balance was broadly
unchanged from 2011 and gross international reserves stood at 4.2
months of imports at end-2012. Meanwhile, the banking soundness
indicators have remained strong, with capital adequacy ratios well
above the regulatory minimum requirement, non-performing loans
(NPLs) between 5 and 6 percent over the last three years, and
provisioning for bad loans at comfortable levels.
The macroeconomic outlook is generally positive for 2013 and the
medium term. Growth is projected at 4.8 percent in 2013,
continuing the broad-based robust expansion in economic activity.
Twelve-month inflation is expected to remain low at around 3.5
percent by year-end. The revised 2013 budget envisages an overall
fiscal deficit of 5.2 percent of GDP, largely related to worsening
performance of public enterprises which are projected to return a
deficit of 0.4 percent of GDP compared to a surplus of 1.3 percent
in 2012. Higher VAT receipts are projected to raise central
government non-grant revenue by 0.9 percent of GDP. Meanwhile,
central government capital expenditure is projected to rise by 0.4
percent of GDP, while the public wage bill as a percent of GDP
will remain broadly stable and transfers will decline by 0.7
percent of GDP. The current account deficit is expected to widen
to 16.8 percent of GDP in 2013, driven by higher fuel imports,
lower commodity prices, and lower remittances, which are projected
to fall with slowing activity in major host countries. At the
same time, with larger disbursements related to an ambitious
public investment program and resilient FDI, gross international
reserves are projected to remain adequate at 3.6 months of
imports.
Executive Board Assessment
Executive Directors welcomed Guyana's strong growth over the past
several years, underpinned by favorable commodity prices and
robust foreign direct investment. While the medium-term economic
outlook remains positive, Directors encouraged the authorities to
persevere in their commitment to sound policies and reforms to
strengthen policy buffers, promote more inclusive growth, and
further reduce poverty.
Directors underscored the importance of prudent fiscal
consolidation anchored in a medium-term policy framework that
safeguards debt sustainability, bolsters fiscal and external
buffers, and addresses unmet development needs.
Priority should continue to be given to implementing reforms to
boost the efficiency of public enterprises and replacing universal
subsidies with better-targeted social assistance.
Acknowledging the potential benefits of a more stable and reliable
source of energy, Directors encouraged the authorities to ensure
that the large hydroelectric project under consideration remains
financially and economically viable to curb fiscal risks. In this
context, they saw merit in strengthening the project and debt
management framework, and pursuing international best practices as
regard public-private partnerships.
Directors considered that a modestly tighter stance of monetary
policy and continued exchange rate flexibility would help
safeguard international reserves, contain inflationary pressures,
and reduce the current account deficit.
Although risks appear generally limited, Directors recommended
continued vigilance over the financial sector. In light of rapid
credit growth in recent years and high loan concentration, they
advised frequent on-site inspections for larger banks and a better
integrated supervision of financial business groups. It is urgent
to address remaining gaps in the regime to combat money laundering
and the financing of terrorism.
Directors commended the authorities for the progress so far in
poverty reduction. However, they considered that further efforts
are needed to ensure a more even distribution of the benefits from
economic growth. In this regard, efforts to lower the cost of
energy, address skill mismatches, and improve the business
environment represent important policy initiatives. Steps to
increase productivity in traditional sectors, such as agriculture
and mining, should also be part of a strategy to foster more
inclusive growth. Directors also encouraged further improvements
in data provision and dissemination.
===========
M E X I C O
===========
* MEXICO: To Get US$170MM IDB Loan for Human Resources Program
--------------------------------------------------------------
The Inter-American Development Bank (IDB) approved a loan for $170
million to Mexico to help finance the country's Skill-based Human
Resources Development Program, which supports training for youths
aged 16 to 18 who pursue technical upper secondary education,
vocational training, and job skills development. The IDB
financing will help ensure the high quality of the training and
its relevance to the country's labor market.
The financing is expected to benefit 8 million students over the
next four years through improvements in curricula and redesign of
courses. Activities include technical assistance, purchase of
equipment, vocational counseling, monitoring of learning
performance, and application of new instructional approaches. In
addition, the program will provide financial support for learning
in the workplace to 16,000 students and training for 4,000
teachers.
The IDB support will also strengthen Mexico's National Skills
System to improve training and to standardize skills needed by the
productive sector. In partnership with strategic sectors,
approaches will be analyzed for reorienting and strengthening
Mexico's skills development system, and the use and value-added of
job skills certificates by businesses and individuals will be
evaluated, among other activities.
According to official statistics, 70 percent of students in the
final year of secondary school receive only minimal or inadequate
basic skills training, and only 40 percent of employers report
that graduates are prepared to enter the labor market.
The IDB loan for US$170 million will have a bullet repayment in
2024, a grace period of 10.6 years and an interest rate based on
LIBOR. The local counterpart contribution totals US$30 million.
=======
P E R U
=======
PESQUERA EXALMAR: S&P Affirms 'B+' Corporate Credit Rating
----------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B+' long-term
corporate credit rating on Pesquera Exalmar S.A.A. (Exalmar). At
the same time, S&P affirmed its 'B+' issue-level rating on
Exalmar's $200 million senior unsecured notes due 2020. The
outlook is stable.
The ratings on Exalmar reflect S&P's assessment of the company's
"weak" business risk profile, "aggressive" financial risk profile,
"less-than-adequate" liquidity and "fair" management and
governance.
S&P's assessment of Exalmar's business risk profile as "weak"
reflects the intermediate industry risk related to the inherent
volatility of the fishing sector, which is affected by weather
conditions, global demand, and government regulation. It also
reflects S&P's assessment of the Exalmar's moderately high country
risk and weak competitive position due to the company's business
concentration in anchoveta fishing along the Peruvian coast, and
its relatively small scale as the fourth-largest fishmeal producer
in Peru with an 11% share. "Offsetting factors are the company's
favorable geographic location as Peru is the main producer of
fishmeal and fish oil worldwide, dominating about 20% of total
output globally. Additionally, favorable demand growth prospects
for fishmeal and fish oil consumption, coupled with the company's
gradual diversification into the direct human consumption segment
support the long-term sustainability of the company's business
model," said Standard & Poor's credit analyst Luis Manuel
Martinez. Moreover, the company maintains a competitive cost
structure thanks to its operating vertical integration; it
benefits from a positive and long-term track record in the fishing
industry, and maintains sound and reliable relationships with
third-party suppliers.
===============================
T R I N I D A D & T O B A G O
===============================
* TRINIDAD & TOBAGO: Central Bank Revises Outlook for Economy
-------------------------------------------------------------
RJR News reports that Trinidad and Tobago Central Bank predicted
that the country's economy is now projected to grow by 1.5 per
cent this year as against earlier predictions of 2.5 per cent.
The Central Bank said the economy had grown by 1.3 per cent during
the first nine months of the year, compared to 0.3 per cent for
the corresponding period last year, according to RJR News.
In January, the report notes, the Central Bank had projected 2.5
per cent economic growth for 2013 even as the Washington-based
International Monetary Fund (IMF) had in March projected a 1.5 per
cent growth.
The bank's Monetary Policy Report for April 2013 maintained the
2.5 per cent outlook based on projected growth in energy output by
1.8 per cent, says RJR News.
***********
Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Monday
Bond Pricing table is compiled on the Friday prior to publication.
Prices reported are not intended to reflect actual trades. Prices
for actual trades are probably different. Our objective is to
share information, not make markets in publicly traded securities.
Nothing in the TCR-LA constitutes an offer or solicitation to buy
or sell any security of any kind. It is likely that some entity
affiliated with a TCR-LA editor holds some position in the
issuers' public debt and equity securities about which we report.
Tuesday's edition of the TCR-LA features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets. A company may establish reserves on its balance sheet for
liabilities that may never materialize. The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.
Submissions about insolvency-related conferences are encouraged.
Send announcements to 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., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, Frauline S.
Abangan, and Peter A. Chapman, Editors.
Copyright 2013. 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 or Nina Novak at
202-241-8200.
* * * End of Transmission * * *