/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/140113.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 Monday, January 13, 2014, Vol. 15, No. 8 Headlines A R G E N T I N A ALTO PALERMO: Fitch Affirms IDR at 'B-'; Outlook Negative CRESUD S.A.C.I.F: Fitch Affirms IDR at 'B-'; Outlook Negative C A Y M A N I S L A N D S BELIZE MORTGAGE: Commences Liquidation Proceedings EDDINGTON TRIPLE: Commences Liquidation Proceedings EPIC SPECIAL: Commences Liquidation Proceedings GLOBAL DYNAMIC: Creditors' Proofs of Debt Due Jan. 30 ILION DIVERSIFIED: Placed Under Voluntary Wind-Up IONIC CONVERTIBLE: Commences Liquidation Proceedings NEWCASTLE CDO VIII: Fitch Keeps CCCsf Rating on 7 Classes of Notes NEWCASTLE CDO IX: Fitch Affirms CCCsf Rating on 4 Classes of Notes NOMAR INVESTMENT: Placed Under Voluntary Wind-Up OLD MILL: Commences Liquidation Proceedings PACIFIC STAR: Commences Liquidation Proceedings PLANECO: Placed Under Voluntary Wind-Up RHP MASTER: Placed Under Voluntary Wind-Up ROCK HILL: Placed Under Voluntary Wind-Up SIB MANAGEMENT: Commences Liquidation Proceedings VICTORY PARK: Commences Liquidation Proceedings D O M I N I C A N R E P U B L I C * DOMINICAN REPUBLIC: Haiti Seeks to Close Most Border Crossings J A M A I C A DIGICEL GROUP: To Rebate Customers Affected by Outage SUPREME VENTURES: Cuts Management Team P A R A G U A Y BANCO REGIONAL: Moody's Assigns Ba2 Rating to Senior Debt Issuance P E R U PERU: Fitch Says Framework for Subnationals is Evolving T R I N I D A D & T O B A G O PETROTRIN: Financial Fallout Won't Affect Firm, Howai Says X X X X X X X X X BOND PRICING: For the Week From Jan. 6 to Jan. 10, 2014 - - - - - ================= A R G E N T I N A ================= ALTO PALERMO: Fitch Affirms IDR at 'B-'; Outlook Negative --------------------------------------------------------- Fitch Ratings has affirmed the following ratings of Alto Palermo S.A. (APSA): -- Foreign currency Issuer Default Rating (IDR) at 'B-', -- Local currency IDR at 'B+', -- USD120 million senior unsecured notes due in 2017 at 'B/RR3'. The Rating Outlook is Negative. APSA's ratings reflect the company's exposure to Argentina's business climate and economic conditions, its credit profile, and the credit linkage with its parent company, IRSA Inversiones y Representaciones S.A. (IRSA). Key Rating Drivers APSA's foreign currency (FC) IDR continues to be constrained at 'B-' by the 'B-' country ceiling assigned to Argentina by Fitch. The company's local currency (LC) IDR remains at 'B+' due to the high degree of risk associated with operating in Argentina's real estate industry. The Negative Outlooks on the FC and LC IDRs are in line with those assigned to Argentina's sovereign ratings and reflect the high degree of uncertainty about the business climate and economic conditions. The 'RR3' Recovery Rating reflects good recovery prospects in the event of default. The notching above the soft cap of 'RR4' for bonds issued by Argentine corporates reflects the company's very strong credit profile. APSA has a strong business position in the Argentine shopping center industry. The company operates 13 shopping centers with gross leasable space of approximately 308,000 square meters. The high quality of these malls and their strategic locations has resulted in sales per square meter that exceed the market average and occupancy rates of around 98%. APSA's revenues are partially hedged against consumer inflation, as the company receives a percentage of the sales made by tenants in its malls. The company's high operating margins are due to leases that result in the tenants paying direct expenses and a percentage of the common expenses. APSA shows some near-term concentration in its lease agreements; 39% of lease contracts expire in fiscal 2014, as the contracts are generally for 36 months. While this ratio is high for the industry, APSA's strong market position enables it to renew contracts updating leasing terms. Devaluation risk is also present for APSA as most of its cash flow is denominated in Argentine pesos and a substantial part of its debt is in U.S. dollars. This risk is partially mitigated by APSA's dollar- denominated asset portfolio and its long-term debt profile. APSA's revenues and EBITDA were USD311 million and USD162 million, respectively, during the LTM ended Sept. 30, 2013. The company's EBITDA margin has remained stable at around 53% during the last several years. As of Sept. 30, 2013, the company had USD200 million in total debt (total net debt was USD163 million), the total debt-to-EBITDA ratio was 1.2x, while the EBITDA-to-interest ratio was 8.2x during the period. While debt at APSA is low in relation to cash flow, Fitch has linked the credit quality of APSA with its more highly leveraged parent company, IRSA (APSA is 95.67% owned by IRSA). On a consolidated basis, IRSA had USD416 million of sales and generated USD239 million of EBITDA during LTM September 2013. At Sept. 30, 2013, IRSA had USD651 million of consolidated debt, resulting in a total debt-to-EBITDA ratio of 2.7x. APSA accounted for only 32% of IRSA's consolidated debt. APSA maintains a manageable debt payment schedule with, respectively, USD51 million, USD24 million and USD9 million due during the next 12, 24, and 36 months ended September 2014, 2015, and 2016. The company had USD37 million of cash and marketable securities at the end of September 2013. The company also maintains other liquid assets for a total amount of approximately USD40 million. In addition, APSA's portfolio of assets is strong, with book capital of approximately USD300 million as of Sept. 30, 2013. This value would be higher at market value. These assets are mostly unencumbered, as secured debt represents less than 5% of its total debt load. The large pool of unencumbered assets at APSA provides financial flexibility and results in above-average recovery prospects in the event of default. Rating Sensitivities The ratings are expected to be driven primarily by developments in Argentina's business climate and economic conditions. Fitch expects APSA will manage its balance sheet to a targeted debt-to- EBITDA ratio under 1.5x. Headquartered in Buenos Aires, Argentina, Alto Palermo S.A. engages in the ownership, acquisition, development, leasing, management, and operation of shopping centers, as well as residential and commercial complexes in Argentina. CRESUD S.A.C.I.F: Fitch Affirms IDR at 'B-'; Outlook Negative ------------------------------------------------------------- Fitch Ratings has affirmed the ratings of Cresud S.A.C.I.F. y A. (Cresud) as follows: -- Foreign Currency Issuer Default Rating (IDR) at 'B-'; -- Local Currency IDR at 'B-'; -- USD60 million senior unsecured bullet notes due in 2014 at 'B- /RR4'. The Rating Outlook is Negative. Cresud's ratings reflect the company's exposure to Argentina's business climate and economic conditions and its leading business position in the real estate and agribusiness sectors. Rating Drivers Cresud's foreign currency (FC) IDR continues to be constrained at 'B-' because of the 'B-' country ceiling of Argentina. Cresud's 'B-' local currency (LC) IDR is held back by above-average risks associated with operating in the real estate segment in Argentina and by the volatile cash flow of its agribusiness division, which is subject to weather conditions and commodity prices. The Negative Rating Outlooks on Cresud's FC and LC IDRs are in line with those assigned to Argentina's sovereign ratings and reflect the high degree of uncertainty surrounding Argentina's business climate and economic conditions. Cresud's ratings consider its position as a leading company in the real estate and agribusiness sectors in Argentina. Cresud owns 64.5% of IRSA Inversiones y Representaciones S.A. (IRSA; rated with a 'B+' LC IDR by Fitch), a leading real estate company in Argentina dedicated to real estate development, office rentals, and shopping mall operations through Alto Palermo (APSA), which is a 95.68% owned subsidiary of IRSA. Cresud has an important portfolio of farms in Argentina and also has a presence in Bolivia, Paraguay, and in Brazil through its 39.64% stake in BrasilAgro. The results from the agribusiness segment were negatively affected during the last fiscal year ended June 30, 2013 by poor weather conditions. Fitch links the ratings of Cresud and IRSA. Cresud's 'B-' LC IDR is notched down from IRSA's 'B+' LC IDR because of the structural subordination of its debt and its weaker stand-alone financial profile. This linkage reflects factors such as strong strategic and operational ties and the fact that IRSA's upstream dividends represent a significant part of Cresud's cash flow from operations. The dividend flow to Cresud from IRSA is expected to be relatively stable. During fiscal 2013, Cresud received dividends of approximately USD15 million. The ratings also reflect moderate consolidated leverage, as well as manageable liquidity, as a result of unencumbered assets and land that could be sold. Regarding the real estate industry, the emphasis of Fitch's methodology is on portfolio quality, diversity, and the size of the asset base. Cresud's consolidated portfolio of real estate assets is strong, with USD 1.1 billion of book value as of Sept. 30, 2013. This would be higher if valued at market value. These assets are mostly unencumbered and provide Cresud and its direct and indirect subsidiaries with a degree of financial flexibility. On a consolidated basis, Cresud had USD699 million of sales and generated USD230 million of EBITDA during the LTM ended September 2013. These figures compare with USD1 billion of consolidated debt (net debt was USD911 million), resulting in a net debt-to- EBITDA ratio of 4.4x and an EBITDA-to-interest expense ratio of 2.5x. Long-term debt accounts for 68% of total debt and includes USD420 million of senior notes at APSA and IRSA that mature between 2017 and 2020. Cresud's consolidated EBITDA was USD230 million during LTM September 2013, mostly from operations in the real estate segment. The company's stand-alone debt reached USD313 million as of Sept. 30, 2013. Short-term debt accounted for 51% of Cresud's stand-alone total debt. During the period October-September 2013, the company extended the average life of its debt through the issuance of approximately USD110 million of senior unsecured notes in the local market with a five-year tenor. Cresud's debt is supported by its asset portfolio. Its main assets include participations in IRSA and BrasilAgro, its portfolio of farms, and its inventory of crops and livestock. A significant portion of Cresud's assets could be sold in traded markets, providing Cresud with additional liquidity to support its short-term debt obligations. Rating Sensitivities The ratings are expected to be driven primarily by positive developments in Argentina's business climate and economic conditions. Fitch expects that Cresud will manage its balance sheet to a consolidated net debt-to-EBITDA ratio of around 4.0x. Cresud SACIF y A is an Argentina-based company engaged in the production of basic agricultural commodities, livestock industry, as well as in the development and sale of properties. ========================== C A Y M A N I S L A N D S ========================== BELIZE MORTGAGE: Commences Liquidation Proceedings -------------------------------------------------- On Nov. 21, 2013, the sole shareholder of Belize Mortgage Company 2002-1 resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Jan. 2, 2014, will be included in the company's dividend distribution. The company's liquidator is: Mourant Ozannes Cayman Liquidators Limited Mourant Ozannes Attorneys-at-Law for the Company Reference: Tracy Hylton Telephone: +1 (345) 949 4123 Facsimile: +1 (345) 949 4647; or Mourant Ozannes Cayman Liquidators Limited Reference: Peter Goulden Telephone: +1 (345) 949 4123 Facsimile: +1 (345) 949 4647 94 Solaris Avenue, Camana Bay P.O. Box 1348, George Town Grand Cayman KY1-1108 Cayman Islands EDDINGTON TRIPLE: Commences Liquidation Proceedings --------------------------------------------------- On Nov. 15, 2013, the sole shareholder of Eddington Triple Alpha Funds Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Stephen Doran Campbells, Attorneys At Law Willow House, Floor 4 Cricket Square P.O. Box 884 Grand Cayman KY1-1103 Cayman Islands Telephone: (345) 949-2648 EPIC SPECIAL: Commences Liquidation Proceedings ----------------------------------------------- On Nov. 19, 2013, the shareholders of Epic Special Purpose Vehicle resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 16, 2013, will be included in the company's dividend distribution. The company's liquidator is: Appleby Trust (Cayman) Ltd Clifton House, 75 Fort Street P.O. Box 1350 Grand Cayman KY1-1108 Cayman Islands GLOBAL DYNAMIC: Creditors' Proofs of Debt Due Jan. 30 ----------------------------------------------------- The creditors of Global Dynamic Fund Limited are required to file their proofs of debt by Jan. 30, 2014, to be included in the company's final dividend distribution. The company's liquidator is: Alan E.H. Bates Chartered Accountants Kings Court, Third Floor Bay Street Nassau Bahamas c/o M.K. Parnell F.C.A Telephone: (242) 324-8774 or (242) 424-0827 ILION DIVERSIFIED: Placed Under Voluntary Wind-Up ------------------------------------------------- On Nov. 13, 2013, the sole member of Ilion Diversified Fund SPC Ltd. resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 27, 2013, will be included in the company's dividend distribution. The company's liquidator is: Spyridon Vasileiou 267 Ionias Avenue, Athens 111 43 Greece Telephone: +30-6944-907681 c/o Higgs & Johnson P.O. Box 866 George Town Grand Cayman KY1-1103 Cayman Islands IONIC CONVERTIBLE: Commences Liquidation Proceedings ---------------------------------------------------- On Nov. 21, 2013, the sole shareholder of Ionic Convertible Master Fund Ltd resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: David Stephen Sargison 31 Woodland Drive, Lower Valley P.O. Box 414 Savannah Grand Cayman KY1-1502 Cayman Islands Telephone: +1 (345) 946 7274 NEWCASTLE CDO VIII: Fitch Keeps CCCsf Rating on 7 Classes of Notes ------------------------------------------------------------------ Fitch Ratings has affirmed all classes of Newcastle CDO VIII 1, Ltd./Newcastle CDO VIII 2, Ltd./ Newcastle CDO VIII, LLC (collectively, Newcastle CDO VIII) reflecting Fitch's base case loss expectation of 41.9%. Fitch's performance expectation incorporates prospective views regarding commercial real estate market value and cash flow declines. Key Rating Drivers The affirmations are due to relatively stable performance of the collateral since the last rating action. Since the last rating action and as of the December 2013 trustee report, the transaction has paid down by $257.1 million from the full repayment of eight assets, the partial payoff of another asset, and the amortization of several other assets in the pool. The transaction has also realized losses of approximately $44.2 million over the same period from a partial loss on a corporate debt asset and a full loss on a commercial mortgage-backed security (CMBS) bond. As of the December 2013 trustee report, all overcollateralization (OC) and interest coverage tests were in compliance. As of the December 2013 trustee report and per Fitch categorizations, the collateralized debt obligation (CDO) was substantially invested as follows: real estate bank loans/corporate debt (22.3%), CMBS (20.6%), commercial real estate (CRE) mezzanine debt (19.1%), residential mortgage-backed securities (RMBS: 11.2%), CRE CDOs (10.5%), whole loans (7.4%), B- notes (5.5%), and principal cash (3.4%). The percentage of defaulted assets and Fitch Loans of Concern is 1.9% and 17.9%, respectively, compared to 3% and 7.9% at the last rating action. Two assets (1.9%) were reported as defaulted, which include one CMBS (1.1%) and one RMBS (0.8%) bond. Fitch classified four additional assets (17.9%) as Loans of Concern. The CRE loan portion of the collateral is comprised mostly of subordinate debt (24.6% of the pool consists of either mezzanine loans or B-notes). In addition, the CRE loan collateral is comprised entirely of non-traditional property types, which include hotel (25.9%), golf (4.7%), and healthcare (1.4%), all of which typically exhibit greater performance volatility than traditional property types. The weighted average Fitch derived rating of the non-CRE loan portion of the collateral has remained at 'B-/CCC+' since the last rating action. Under Fitch's methodology, approximately 58% of the portfolio is modeled to default in the base case stress scenario, defined as the 'B' stress. In this scenario, the modeled average cash flow decline is 7% from, generally, trailing 12-month third and fourth quarter 2013. Modeled recoveries are below average at 27.8% due to the high percentage of subordinate debt. The largest component of Fitch's base case loss expectation is a mezzanine loan (6.5% of the pool) secured by an interest in a portfolio initially comprised of 12 full-service hotels totaling 4,718 keys located in Puerto Rico, Jamaica, and Florida. Three hotels have since been released. Performance has remained significantly below underwritten expectations at issuance. Fitch modeled a term default and a full loss on this overleveraged position in its base case scenario. The second largest component of Fitch's base case loss expectation is a mezzanine loan (4.7%) secured by an interest in a portfolio of golf courses located across the United States. Fitch modeled a term default and a full loss on this overleveraged position in its base case scenario. The third largest component of Fitch's base case loss expectation is a mezzanine loan (2.4%) secured by an interest in a 424-room full-service hotel located in Boston, MA. Fitch modeled a term default and a full loss on this overleveraged position in its base case scenario. This transaction was analyzed according to the 'Surveillance Criteria for U.S. CREL CDOs and CMBS Large Loan Floating-Rate Transactions', which applies stresses to property cash flows and debt service coverage ratio tests to project future default levels for the underlying portfolio. Recoveries for the CRE loan portion of the collateral are based on stressed cash flows and Fitch's long-term capitalization rates. The non-CRE loan portion of the collateral was analyzed in the Portfolio Credit Model according to the 'Global Rating Criteria for Structured Finance CDOs'. The combined default levels were then compared to the breakeven levels generated by Fitch's cash flow model of the CDO under the various default timing and interest rate stress scenarios, as described in the report 'Global Rating Criteria for Structured Finance CDOs'. The breakeven rates for classes I-A through III are generally consistent with the ratings listed below. The 'CCCsf' ratings on classes V through XII are based upon a deterministic analysis that considers Fitch's base case expected loss for the pool and the current percentage of defaulted assets and Fitch Loans of Concern factoring in anticipated recoveries relative to each class' credit enhancement. Newcastle CDO VIII is a CRE CDO managed by Newcastle Investment Corp. The CDO exited its reinvestment period in November 2011. The CDO was originally issued as a $950 million CRE CDO; however, in April and September 2009, notes with a face amount totaling $80.19 million were surrendered to the trustee for cancellation, which has resulted in greater cushion to the OC ratios. Rating Sensitivities The ratings of classes I-A and I-AR are expected to remain stable and reflect the continued paydown of these classes and their seniority in the capital structure. If the transaction continues to delever and the underlying collateral continues to repay at higher than expected recoveries, the senior classes may be upgraded, although adverse selection of the pool remains a concern. The Negative Outlooks on classes I-B through III reflects the pool's collateral concentrations and the potential for future downgrades if there is deterioration in loan performance or if the ratings of the underlying rated securities migrate downward. The distressed classes are subject to downgrade as losses are realized or if realized losses exceed Fitch's expectations. Fitch affirms the following classes: -- $180.9 million class I-A at 'BBsf'; Outlook Stable; -- $23.5 million class I-AR at 'BBsf'; Outlook Stable; -- $38 million class I-B at 'BBsf'; Outlook Negative; -- $42.8 million class II at 'BBsf'; Outlook Negative; -- $42.8 million class III at 'Bsf'; Outlook Negative; -- $28.5 million class V at 'CCCsf'; RE 0%; -- $22.6 million class VIII at 'CCCsf'; RE 0%; -- $6 million class IX-FL at 'CCCsf'; RE 0%; -- $7.6 million class IX-FX at 'CCCsf'; RE 0%; -- $18.7 million class X at 'CCCsf'; RE 0%; -- $24.1 million class XI at 'CCCsf'; RE 0%; -- $28.5 million class XII at 'CCCsf'; RE 0%. Class S has paid in full. Fitch previously withdrew the ratings on classes IV, VI, and VII. Fitch does not rate the preferred shares. Headquartered in George Town, Cayman Islands Newcastle CDO VIII 1, Limited is managed by Newcastle Investment Corp. NEWCASTLE CDO IX: Fitch Affirms CCCsf Rating on 4 Classes of Notes ------------------------------------------------------------------ Fitch Ratings has affirmed all classes of Newcastle CDO IX Ltd./ LLC (Newcastle CDO IX) reflecting Fitch's base case loss expectation of 37.9%. Fitch's performance expectation incorporates prospective views regarding commercial real estate market value and cash flow declines. Key Rating Drivers The affirmations are due to relatively stable performance of the collateral since the last rating action. Since the last rating action and as of the December 2013 trustee report, the transaction has paid down by $189.2 million from the full repayment of seven assets, the partial payoff of another asset, and the amortization of several other assets in the pool. The transaction has also realized losses of $19.1 million over the same period from a partial loss on a corporate debt asset. As of the December 2013 trustee report, all overcollateralization (OC) and interest coverage tests were in compliance. As of the December 2013 trustee report and per Fitch categorizations, the collateralized debt obligation (CDO) was substantially invested as follows: commercial real estate (CRE) mezzanine debt (29.7%), corporate debt (19.2%), B-notes (14.9%), CRE CDOs (10.3%), commercial mortgage-backed securities (CMBS; 9.5%), preferred equity (9.2%), whole loans/A-notes (3.1%), principal cash (2.2%), and residential mortgage-backed securities (RMBS; 1.8%). The percentage of defaulted assets and Fitch Loans of Concern has increased to 2.4% and 27.6%, respectively, compared to 1.8% and 18.2% at the last rating action. Two assets (1.4%), both secured by the same property, were reported as defaulted, which include one CMBS rake bond (0.3%) and a mezzanine loan (2.1%). Fitch classified eight additional assets (27.6%) as Loans of Concern. The CRE loan portion of the collateral is comprised mostly of subordinate debt (53.9% of the pool is comprised of mezzanine loans, B-notes, or preferred equity). In addition, the CRE loan collateral is comprised mostly of non-traditional property types, which include hotel (27.2%), construction (9.2%), and golf (6.8%), all of which typically exhibit greater performance volatility and uncertainty than traditional property types. The weighted average Fitch derived rating of the non-CRE loan portion of the collateral has improved slightly to 'B/B-' from 'B-/CCC+' at the last rating action. Under Fitch's methodology, approximately 60.5% of the portfolio is modeled to default in the base case stress scenario, defined as the 'B' stress. In this scenario, the modeled average cash flow decline is 7% from, generally, trailing 12-month third and fourth quarter 2013. Modeled recoveries are below average at 37.3% due to the higher percentage of subordinate debt. The largest component of Fitch's base case loss expectation is preferred equity (9.2% of the pool) on a construction project of a super-regional mall and retail/entertainment facility located in East Rutherford, New Jersey. The project's original business plan was stalled due to the economic downturn and multiple delays and cost overruns. A replacement developer has been selected and negotiations to secure minimum financing to continue the construction of the project remain in progress. The original loan was recently restructured whereby the existing lender debt was subordinated to additional debt from new construction financing and new equity contributions by the replacement developer. The second largest component of Fitch's base case loss expectation is a mezzanine loan (6.8%) secured by an interest in a portfolio of golf courses located across the United States. Fitch modeled a term default and a full loss on this overleveraged position in its base case scenario. The third largest component of Fitch's base case loss expectation is a mezzanine loan (4.3%) secured by an interest in a portfolio that was initially comprised of 12 full service hotels totaling 4,718 keys located in Puerto Rico, Jamaica, and Florida. Three hotels have since been released. Performance has remained significantly below underwritten expectations at issuance. Fitch modeled a term default and a full loss on this overleveraged position in its base case scenario. This transaction was analyzed according to the 'Surveillance Criteria for U.S. CREL CDOs and CMBS Large Loan Floating-Rate Transactions', which applies stresses to property cash flows and debt service coverage ratio tests to project future default levels for the underlying portfolio. Recoveries for the CRE loan portion of the collateral are based on stressed cash flows and Fitch's long-term capitalization rates. The non-CRE loan portion of the collateral was analyzed in the Portfolio Credit Model according to the 'Global Rating Criteria for Structured Finance CDOs'. The combined default levels were then compared to the breakeven levels generated by Fitch's cash flow model of the CDO under the various default timing and interest rate stress scenarios, as described in the report 'Global Rating Criteria for Structured Finance CDOs'. The breakeven rates for classes A-1 through G are generally consistent with the ratings listed below. The 'CCCsf' ratings for classes H through L are based upon a deterministic analysis that considers Fitch's base case expected loss for the pool and the current percentage of defaulted assets and Fitch Loans of Concern factoring in anticipated recoveries relative to each class' credit enhancement. Newcastle CDO IX is a CRE CDO managed by Newcastle Investment Corp. The CDO exited its reinvestment period in May 2012. The CDO was originally issued as an $825 million CRE CDO; however, in April and September 2009, notes with a face amount of $64.525 million were surrendered to the trustee for cancellation, which has resulted in greater cushion to the OC ratios. Rating Sensitivities The ratings of classes A-1 and A-2 are expected to remain stable. The Stable Outlook on class A-1 reflects the continued paydown of the class and its seniority in the capital structure. The Stable Outlook on class A-2 reflects positive cushion in Fitch's modeling. If the transaction continues to delever and the underlying collateral continues to repay at higher than expected recoveries, the senior classes may be upgraded, although adverse selection of the pool remains a concern. The Negative Outlooks on classes B through G reflects the pool's collateral concentrations and the potential for future downgrades if there is deterioration in loan performance or if the ratings of the underlying rated securities migrate downward. The distressed classes are subject to downgrade as losses are realized or if realized losses exceed Fitch's expectations. Fitch affirms the following classes: -- $111.1 million class A-1 at 'BBBsf'; Outlook Stable; -- $115.5 million class A-2 at 'BBsf'; Outlook Stable; -- $37.1 million class B at 'BBsf'; Outlook Negative; -- $24.8 million class E at 'BBsf'; Outlook Negative; -- $18.6 million class F at 'Bsf'; Outlook Negative; -- $11.3 million class G at 'Bsf'; Outlook Negative; -- $18.1 million class H at 'CCCsf'; RE 100%; -- $21.7 million class J at 'CCCsf'; RE 100%; -- $19.6 million class K at 'CCCsf'; RE 0%; -- $23.7 million class L at 'CCCsf'; RE 0%. Class S has paid in full. Fitch has previously withdrawn the ratings on classes C and D. Fitch does not rate class M and the preferred shares. Headquartered in George Town, Cayman Islands Newcastle CDO VIII 1, Limited is managed by Newcastle Investment Corp. NOMAR INVESTMENT: Placed Under Voluntary Wind-Up ------------------------------------------------ On Nov. 20, 2013, the sole shareholder of Nomar Investment Ltd. resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 20, 2013, will be included in the company's dividend distribution. The company's liquidator is: MBT Trustees Ltd. Telephone: 945-8859 Facsimile: 949-9793/4 P.O. Box 30622 Grand Cayman KY1-1203 Cayman Islands OLD MILL: Commences Liquidation Proceedings ------------------------------------------- On Nov. 21, 2013, the shareholder of Old Mill Road Fund, Ltd resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Marwood Alternative Asset Management LLC c/o Intertrust Corporate Services (Cayman) Limited 190 Elgin Avenue, George Town Grand Cayman KY1-9005 Cayman Islands PACIFIC STAR: Commences Liquidation Proceedings ----------------------------------------------- Pacific Star Growth Opportunities Fund SPC Ltd commenced liquidation proceedings on Nov. 22, 2013. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Keong Wen Hui 3 Church Street #20-00 Samsung Hub Singapore 049483 PLANECO: Placed Under Voluntary Wind-Up --------------------------------------- On Nov. 21, 2013, the shareholders of Planeco resolved to voluntarily wind up the company's operations. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Avalon Management Limited Reference: GL Telephone: +1 (345) 769 4422 Facsimile: +1 (345) 769 9351 Landmark Square, 1st Floor 64 Earth Close West Bay Beach P.O. Box 715, George Town Grand Cayman KY1-1107 Cayman Islands RHP MASTER: Placed Under Voluntary Wind-Up ------------------------------------------ On Nov. 21, 2013, the sole shareholder of RHP Master Fund, Ltd. resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 27, 2013, will be included in the company's dividend distribution. The company's liquidator is: Ogier Jonathan Roney Telephone: (345) 815-1404 Facsimile: (345) 949-9877 c/o Ogier Fiduciary Services (Cayman) Limited 89 Nexus Way Camana Bay Grand Cayman KY1-9007 Cayman Islands ROCK HILL: Placed Under Voluntary Wind-Up ----------------------------------------- On Nov. 21, 2013, the sole shareholder of Rock Hill International Partners, Ltd. resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 27, 2013, will be included in the company's dividend distribution. The company's liquidator is: Ogier Jonathan Roney Telephone: (345) 815-1404 Facsimile: (345) 949-9877 c/o Ogier Fiduciary Services (Cayman) Limited 89 Nexus Way Camana Bay Grand Cayman KY1-9007 Cayman Islands SIB MANAGEMENT: Commences Liquidation Proceedings ------------------------------------------------- SIB Management Holding (Cayman) Limited commenced liquidation proceedings on Nov. 19, 2013. Only creditors who were able to file their proofs of debt by Dec. 2, 2013, will be included in the company's dividend distribution. The company's liquidator is: Jorge A. Kininsberg c/o Maples and Calder, Attorneys-at-law P.O. Box 309, Ugland House Grand Cayman KY1-1104 Cayman Islands VICTORY PARK: Commences Liquidation Proceedings ----------------------------------------------- On Nov. 22, 2013, the sole shareholder of Victory Park Credit Opportunities Master Fund, Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Victory Park Capital Advisors, LLC Scott Zemnick 227 W. Monroe Suite 3900 Chicago IL 60606 USA Tel: (312) 705-2786 =================================== D O M I N I C A N R E P U B L I C =================================== * DOMINICAN REPUBLIC: Haiti Seeks to Close Most Border Crossings ---------------------------------------------------------------- Dominican Today reports that the Haiti Government asked Dominican Republic to close 55 of 59 border crossings between the two countries, as a way for Port-au-Prince to exert stricter tariff controls and boost revenue from the goods that enter its territory. Haiti's proposal, which came during the high level talks held between the two countries held in the Haitian town of Ouanaminthe, also coincides with many Dominicans' demand for tighter border controls, according to Dominican Today. The report relates that Haiti's officials asked that only the crossings at Ouanaminthe-Dajabon, Anse a Pitre-Pedernales, Malpasse-Jimani and Belledere-Elias Pina should be kept open, noting the opening of others mean losses "in the millions of dollars" for the authorities. ============= J A M A I C A ============= DIGICEL GROUP: To Rebate Customers Affected by Outage ----------------------------------------------------- RJR News reports that Digicel Group said it will rebate customers affected by July 8's outage when its system was vandalized. Senior Communications Manager at Digicel Group, Shelly Ann Harris, said its 4G data customers have started receiving rebates, according to RJR News. Ms. Harris, the report notes, said the company will also put measures in place to prevent a reoccurrence. The report discloses that Digicel Group reported that saboteurs cut both its primary and back up fibre optics on the Mandela Highway in St Catherine, which affected close to a million customers. It has since offered a J$1 million reward to information leading to a conviction in conjunction with Flow which was also affected by the outage, the report relays. Headquartered in Jamaica, Digicel Group Limited provides mobile telecommunications services in the Caribbean and the Central American markets. The company's services include rollover minutes, GPRS data services, prepaid roaming, SMS to e-mail, and multimedia messaging, as well as broadband. As reported in the Troubled Company Reporter on Dec 13, 2013, Moody's Investors Service has affirmed Digicel Group Limited B2 Corporate Family Rating (CFR), B2-PD Probability of Default Rating and the existing debt instrument ratings at DGL and Digicel Limited ("DL") following the company's recent announcement that it plans to issue up to $500 million of add-on notes to DGL's existing $1.5 billion 8.25% senior unsecured notes due 2020. The rating outlook remains stable. SUPREME VENTURES: Cuts Management Team -------------------------------------- RJR News reports that Supreme Ventures has reduced the size of its management team, following the closure of its Montego Bay operations. The company has made the position of Assistant Vice President Facilities and Maintenance redundant, according to RJR News. The report relates that as a result, Supreme Ventures said Nigel Warmington demitted office on Jan. 6. On Jan. 3, the report relays, the company disclosed that it will close its Acropolis Montego Bay operation to improve profitability this year. In the meantime, the company has declared its intentions to enhance its Kingston based operations, the report says. Headquartered in Kingston, Jamaica, Supreme Ventures Limited -- http://www.supremeventures.com/-- together with its subsidiaries, engages in lottery and gaming operations. It was founded in 1995. =============== P A R A G U A Y =============== BANCO REGIONAL: Moody's Assigns Ba2 Rating to Senior Debt Issuance ------------------------------------------------------------------ Moody's Investors Service assigned a Ba2 foreign currency debt rating to Banco Regional S.A.E.C.A.'s (Regional) senior debt issuance of up to $ 300 million and maximum tenor of up to 5 years. The Notes will be governed by the laws of the State of New York. The outlook on the debt rating is stable. The following ratings were assigned to Banco Regional S.A.E.C.A.: Global Foreign-Currenc Debt Rating: Ba2, stable outlook RATINGS RATIONALE Moody's explained that the foreign currency senior unsecured debt rating derives from Regional's Ba2 global local currency deposit rating and takes into account the seniority of the notes. Moody's ratings capture its established business model and well- defined footprint in lending to corporations and small and medium size companies (SMEs), that positions the bank as the second largest in the Paraguayan banking system. As of Sept. 2013, Regional had a 16.8% market share in terms of deposits and 17.2% in terms of loans . The ratings also incorporate Regional's broad access to stable and relatively inexpensive core customer deposits, which supports a net interest margin of 3.8%, and increasing non interest income. Regional's governance and risk management benefits from the 40% ownership of Netherlands's Rabobank since 2008, which provides management services and technical assistance. The rating is challenged by the highly competitive environment in Paraguay, particularly among the four largest banks in the system, as well as by Regional's assets and earnings concentration within the agribusiness segment, which however, is the basis of the Paraguayan economy. Banco Regional S.A.E.C.A. is headquartered in Encarnacion, Paraguay, and it had assets of $2,5 billion and equity for $203 million as of September 2013. ======= P E R U ======= PERU: Fitch Says Framework for Subnationals is Evolving ------------------------------------------------------- Fitch Ratings has updated its Institutional Framework for Subnationals in Peru. The framework for local and regional governments (LRGs) is still at an early stage and evolving despite significant devolution to the local level. There is still a need to clarify the functional spending responsibilities of each tier of government. The decentralization process in Peru commenced in 2002 and after 10 years the process is in some respects relatively advanced; the legal framework covers most aspects of the system of intergovernmental fiscal relations, and subnational governments have become important players on fiscal policy. Subnationals now concentrate a growing quantity of public expenditure decisions and they represented over 44% of total general government non- financial expenditure in 2012. Fitch believes that the institutional framework has a number of strengths compared with its international peers, including tight control and monitoring of indebtedness by the central government and a solid level of transparency. There are a number of prudential regulations in place which limits the level of liabilities at all tiers of subnationals. These regulations are necessary in a developing institutional framework system as the local debt management capacity is still unsophisticated. In addition, there are regular reporting requirements and high transparency in relation to subnational budget execution and debt levels. Subnationals are required to submit budget settlement data to the national Ministry of Economy and Finance. This data is published on the ministerial website. In addition, subnationals have to produce a multi-year Fiscal Management Report which needs to include the actual performance measured against target and prudential regulations and projections for the following three years. Nevertheless, there are some weaknesses in the Peruvian subnational institutional framework, including the lack of fiscal flexibility by LRGs. The local tax base and rates are established and determined by the national government. The lack of flexibility makes subnationals wholly reliant on decisions taken at the national level with little accountability to the local population or the ability to increase fiscal revenues in case of need. Furthermore, the equalization revenue system does not fully take into account the different costs of providing the services. In light of the limited level of devolved responsibilities this is not a major problem. However, if large responsibilities, such as the provision of health care, are devolved a failure to factor the costs of providing these services into the equalisation mechanism could lead to cost pressures, particularly in remote regions with widely dispersed populations. Also the assignment of revenue- sharing, in the form of the minin and and other royalties do not help address horizontal fiscal disparities among subnational governments because these revenues accrue exclusively to LRGs located in mining producing areas. As a result there is a wide fiscal imbalance among producing and non-producing areas. =============================== T R I N I D A D & T O B A G O =============================== PETROTRIN: Financial Fallout Won't Affect Firm, Howai Says ---------------------------------------------------------- Andre Bagoo at Trinidad and Tobago Newsday reports that any financial fallout from the oil-spills at southwest Trinidad will not hamper the operations of Petroleum Company of Trinidad and Tobago (Petrotrin), Finance and Economy Minister, Larry Howai said. Mr. Howai said the issue is an environmental and social one, and not a financial one, according to Trinidad and Tobago Newsday. "It is really the clean-up cost for Petrotrin," the report quoted Mr. Howai as saying. "So far, it has not hampered the operations of the company per se. The operations of the company continue, and that is the bulk of the revenue for the company. So we are not seeing it as a major issue just yet, from a fiscal point of view," Mr. Howai said, the report notes. Of the Environmental Management Authority's decision to fine Petrotrin $20 million, Howai said this was the EMA's own prerogative, but it was also unlikely to affect the fiscal outlook of the company, the report relates. "I would not want to comment on the EMA's decision. It is an independent body. It does what it thinks is right. It imposed what it thought was an appropriate penalty," Mr. Howai said, the report notes. "But you are dealing with a company whose revenues are several billions of dollars. It is a relatively manageable number inside the total revenue figure," Mr. Howai added, the report relays. Mr. Howai said the real 'cost' of the current situation was social, the report discloses. "Certainly it is from an environmental point of view a source of concern," Mr. Howai said, the report notes. "Which is why the Minister of Energy (Kevin Ramnarine) has been going all out to ensure we put things in place to ensure we clean-up the spill," Mr. Howai added, the report says. About Petrotrin 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 Aug. 8, 2013, Trinidad Express reports that production levels at Petroleum Company of Trinidad and Tobago (Petrotrin)'s Trinmar operations in Point Fortin have been affected by industrial action involving employees of the company's marine transport contractors. Petrotrin stated that it was informed of a what it described as a stand-off between its marine contractors and their employees, who cited issues, including their current rates of remuneration, according to Trinidad Express. ================= X X X X X X X X X ================= BOND PRICING: For the Week From Jan. 6 to Jan. 10, 2014 ------------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- Aguas Andinas SA 4.15 12/1/2026 CLP 72.61 Almendral Telecomunicaciones SA3.5 12/15/2014 CLP 33.5 Argentina Bocon 2 1/3/2016 ARS 9.15 Argentina Bocon 2 3/15/2014 ARS 0.21 Argentina Bocon 2 3/15/2024 ARS 17.89 Argentina Bo 2 9/30/2014 ARS 599.6 Argentina Bonar Bonds 21.792 1/30/2014 ARS 11.01 Argentina International Bond 4.33 12/31/2033 JPY 39 Argentina International Bond 4.33 12/31/2033 JPY 39 Argentinal International Bond 7.82 12/31/2033 EUR 69.5 Argentinal International Bond 1.18 12/31/2038 ARS 7.13 Argentinal International Bond 7.82 12/31/2033 EUR 72.75 Argentinal International Bond 7.82 12/31/2033 EUR 70 Argentinal International Bond 0.45 12/31/2038 JPY 8 BA-CA Finance Cayman 2 Ltd 1.838 EUR 60 Banco BPI SA/Cayman Islands 4.15 11/14/2035 EUR 55.5 Banif Finance Ltd 1.591 EUR 44 Bank Austria Creditanstalt Finance Cayman Ltd 2.156 EUR 59.93 BCP Finance Co Ltd 5.543 EUR 45 BCP Finance Co Ltd 4.239 EUR 44.33 BES Finance Ltd 5.58 EUR 72 BES Finance Ltd 4.5 EUR 63.5 CA La Electricidad de Caracas 8.5 4/10/2018 USD 75.5 Caixa Geral De Depositos Finance 0.991 EUR 39.2 Caixa Geral De Depositos Finance 1.021 EUR 39.2 China Precious Metal Resources Holdings Co Ltd 7.25 2/4/2018 HKD 68.67 Cia Cervecerias Unidas SA 4 12/1/2024 CLP 59.51 Cia Energetica de Sao Paulo 9.75 1/15/2015 BRL 66.27 CSAV 6.4 10/1/2022 CLP 64.89 CLISA 9.5 12/15/2016 USD 73 Edenor SA 9.75 10/25/2022 USD 65.5 Edenor SA 10.5 10/9/2017 USD 70 Edenor SA 9.75 10/25/2022 USD 67.13 ERB Hellas Cayman Islands Ltd 1.825 6/8/2017 EUR 58.67 ERB Hellas Cayman Islands Ltd 9 3/8/2019 EUR 49.38 ESFG International Ltd 5.753 EUR 50 Formosa Province of Argentina 5 2/27/2022 USD 75.13 Gol Finance 8.75 USD 68.5 Gol Finance 8.75 USD 68.25 Hidili Industry International Development Ltd 8.625 11/4/2015 USD 70.75 Hidili Industry International Development Ltd 8.625 11/4/2015 USD 71.88 Inversiones Alsacia SA 8 8/18/2018 USD 78 Inversiones Alsacia SA 8 8/18/2018 USD 75.58 Inversora de Electrica de Buenos Aires SA 6.5 9/26/2017 USD 45.25 Metro de Santiago 5.5 7/15/2027 CLP 3.635 MetroGas SA 8.875 12/31/2018 USD 71.63 MetroGas SA 8.875 12/31/2018 USD 68.5 NQ Mobile Inc 4 10/15/2018 USD 70.2 Petroleos de Venezuela SA 5.25 4/12/2017 USD 71.75 Petroleos de Venezuela SA 9.75 5/17/2035 USD 69.85 Petroleos de Venezuela SA 5.375 4/12/2027 USD 55 Petroleos de Venezuela SA 9 11/17/2021 USD 72.5 Petroleos de Venezuela SA 5.5 4/12/2037 USD 52.5 Petroleos de Venezuela SA 5.125 10/28/2016 USD 76.25 Petroleos de Venezuela SA 5.125 10/28/2016 USD 73.75 Petroleos de Venezuela SA 9 11/17/2021 USD 71.36 Petroleos de Venezuela SA 9.75 5/17/2035 USD 69.63 Petroleos de Venezuela SA 6 11/15/2026 USD 49.63 Provincia del Chaco 4 12/4/2026 USD 38.63 Provincia del Chaco 4 11/4/2023 USD 66.13 Renhe Commercial Holdings Co Ltd 13 3/10/2016 USD 62.55 Renhe Commercial Holdings Co Ltd 11.75 5/18/2015 USD 71 Renhe Commercial Holdings Co Ltd 13 3/10/2016 USD 66.25 Renhe Commercial Holdings Co Ltd 11.75 5/18/2015 USD 71 Republic of Venezuela 9.25 9/15/2027 USD 72.92 Republic of Venezuela 7 3/31/2038 USD 59.17 Sifco SA 11.5 6/6/2016 USD 42.63 SMU SA 7.75 2/8/2020 USD 62.75 SMU SA 7.75 2/8/2020 USD 62.24 Talca Chillan Sociedad Concesionaria SA 2.75 12/15/2019 CLP 62.08 Transener 9.75 8/15/2021 USD 65.75 Transener 9.75 8/15/2021 USD 62.5 Venezuela Gov't International Bond 9 5/7/2023 USD 71.5 Venezuela Gov't International Bond 7.75 10/13/2019 USD 73.75 Venezuela Gov't International Bond 9.25 5/7/2028 USD 70.5 Venezuela Gov't International Bond 9.375 1/13/2034 USD 70.75 Venezuela Gov't International Bond 7.65 4/21/2025 USD 65 Venezuela Gov't International Bond 7 3/31/2038 USD 59.75 Venezuela Gov't International Bond 6 12/9/2020 USD 64.75 Venezuela Gov't International Bond 8.25 10/13/2024 USD 67.5 *********** 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, and Peter A. Chapman, Editors. Copyright 2014. 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 * * *