/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/150807.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, August 7, 2015, Vol. 16, No. 155 Headlines A N T I G U A & B A R B U D A LIAT: Aircraft Relocated to Barbados A R G E N T I N A TELECOM ARGENTINA: Posts ARS1,978MM Income for 6Mo Ended June 30 B A H A M A S BAHA MAR: Gets Ok to Appeal Decision on Bankruptcy Proceedings ULTRAPETROL (BAHAMAS): To Release 2Q Financial Results on Aug.12 B O L I V I A BNB LEASING: Moody's Assigns Ba3 Global Scale Rating B R A Z I L PARANAPANEMA SA: S&P Affirms 'B+' Global Scale Rating PETROLEO BRASILEIRO: Selling Argentine Unit Stake, Governor Says C A Y M A N I S L A N D S BJB CAREER: Appoints Walker & Jong as Provisional Liquidators JUVE LIMITED: Creditors' Proofs of Debt Due Aug. 14 LEADGATE INVESTMENTS: Creditors' Proofs of Debt Due Aug. 14 PENNANT CREDIT: Placed Under Voluntary Wind-Up PLATINUM NAVIGATOR: Placed Under Voluntary Wind-Up SELECTINVEST ARV MC: Creditors' Proofs of Debt Due Aug. 19 SELECTINVEST ARV SPV: Creditors' Proofs of Debt Due Aug. 19 SSC 400 CAPITAL: Placed Under Voluntary Wind-Up STARFISH ACQUISITION: Creditors' Proofs of Debt Due Aug. 11 STARFISH ACQUISITION CO.: Creditors' Proofs of Debt Due Aug. 11 C H I L E CORPBANCA BANKING: Moody's Reviews ba1 BCA for Upgrade P E R U MAESTRO PERU: Moody's Hikes Corporate Family Rating to Ba2 P U E R T O R I C O DJSP ENTERPRISES: Declares Distribution of $0.70 Per Share TRUMP ENTERTAINMENT: Watchdog Challenges Sale of Golf Club S T. K I T T S & N E V I S BANK OF COMMERCE: Depositors to Recover Losses 30Ys After Collapse - - - - - =============================== A N T I G U A & B A R B U D A =============================== LIAT: Aircraft Relocated to Barbados --------------------------------------- The Daily Observer reports that Chief Executive Officer David Evans has confirmed that one LIAT aircraft has been relocated to Barbados as the airline moves ahead with its strategic plan. Prime Minister Gaston Browne, earlier this year, objected to a plan to re-base two LIAT aircraft from Antigua to Barbados, according to The Daily Observer. But Mr. Evans said one did move on July 15, the report notes. "We have one aircraft that has move to Barbados at the moment, yes," Mr. Evans told Observer, while explaining that the move is nothing more than a decision based on what makes sense for the business. "You know, markets change; demand changes; airlines move aircraft all the time. They move them to where the most demand is. It's entirely possible (that) we may be moving the aircraft back into Antigua when demand increases from Antigua," the report quoted Mr. Evans as saying. Meanwhile, Mr. Evans confirmed that people have begun accepting voluntary separation from the company but would not disclose how many have taken the option, the report relays. "We're still in the process of going through that. You'll understand that I'm not (going to) disclose numbers, but yes, that process is underway," Mr. Evans replied when asked for an update, the report adds. About LIAT LIAT, operating as Leeward Islands Air Transport, is an airline headquartered on the grounds of V. C. Bird International Airport in Antigua. It operates high-frequency inter-island scheduled services serving 21 destinations in the Caribbean. The airline's main base is VC Bird International Airport, Antigua and Barbuda, with bases at Grantley Adams International Airport, Barbados and Piarco International Airport, Trinidad and Tobago. * * * As reported in the Troubled Company Reporter-Latin America on May 8, 2015, the Daily Observer reports that LIAT, operating as Leeward Islands Air Transport, is attempting to lose excess baggage as part of measures to make the carrier "a smaller airline in 2015." In a document, signed by Director of Human Resources Ilean Ramsey, eligible employees were asked to opt to apply for voluntary separation or early retirement packages to avoid being made redundant, according to The Daily Observer. TCRLA reported on Dec. 2, 2014, Caribbean360.com said that chairman of the shareholder governments of the financially troubled regional airline LIAT, Dr. Ralph Gonsalves said while he is unaware of the details regarding any possible retrenchment of employees, the airline needs to deal with its high cost of operations. The TCR-LA on March 10, 2014, citing Caribbean360.com, reported that LIAT said it will take "decisive action" to deal with unprofitable routes as the Antigua-based airline seeks to make its operations financially viable. On Sept. 23, 2013, the TCRLA, citing Trinidad and Tobago Newsday, reported that there's much upheaval at the highest levels of LIAT -- the Board and the Executive. Following the sudden resignation of Chief Executive Officer Captain Ian Brunton, David Evans replaced Mr. Brunton as chief executive officer ================= A R G E N T I N A ================= TELECOM ARGENTINA: Posts ARS1,978MM Income for 6Mo Ended June 30 ---------------------------------------------------------------- Telecom Argentina S.A. announces consolidated six month period and second quarter results for fiscal year 2015. Telecom Argentina posted a net income of ARS1,978 million for the six month period ended June 30, 2015, or +7.7% when compared to the same period last year. Net income attributable to Telecom Argentina amounted to ARS 1,956 million (+8.4% vs. 1H14). During 1H15 Consolidated Revenues increased by 18.7% to ARS18,496 million (+ARS2,911 million vs. 1H14), mainly fueled by the Broadband businesses, Fixed Data and Mobile Services. Moreover, Operating Income reached ARS3,148 million (+ARS530 million or +20.2% vs. 1H14). A full text copy of the company's financial report is available free at: http://is.gd/Fth6pQ Headquartered in Buenos Aires, Telecom Argentina S.A. -- http://www.telecom.com.ar/index-flash.html-- provides telephone- related services, such as international long-distance service and data transmission and Internet services, and through its subsidiaries, wireless telecommunications services, international wholesale services and telephone directory publishing. As reported by the Troubled Company Reporter-Latin America on May 16, 2014, Moody's Latin America Calificadora de Riesgo has assigned a first time Corporate Family Rating of Caa1 on its Global Scale and Ba1.ar on its Argentina National Scale to Telecom Argentina S.A. (Telecom). The outlook is stable. ============= B A H A M A S ============= BAHA MAR: Gets Ok to Appeal Decision on Bankruptcy Proceedings -------------------------------------------------------------- Caribbean360.com reports that the developer of stalled US$3.5 billion mega resort Baha Mar has been given the green light to challenge a High Court judge's decision not to recognize the company's bankruptcy proceedings in the US. Justice Ian Winder granted the company leave to appeal the ruling he handed down on July 22. Justice Ian Winder ruled in Baha Mar's favor in the application for leave to appeal, despite objections from the lawyers representing the Bahamas government, the Export Import Bank of China which is financing the project, and general contractor China Construction, according to Caribbean360.com. In a brief statement, Baha Mar said it was "gratified" by the court's decision. The report notes that the mega resort was originally scheduled to open last December but that deadline was missed, as was a March deadline, leaving the jobs of 5,000 Bahamians in limbo. The company run by Swiss developer Sarkis Izmiralian filed for Chapter 11 Bankruptcy protection in the US state of Delaware on June 29, claiming US$2.7 billion in debt -- including US$2.4 billion owed to state-owned Export-Import Bank of China -- and arguing that the general contractor had repeatedly missed deadlines which left the company without a sufficient source of revenue to continue its existing business, the report relates. The report says that the company then went to the Supreme Court in the Bahamas, asking that those proceedings be recognized in the island, but that was rejected by Justice Winder, preventing the project from receiving protection available under the US bankruptcy code. Baha Mar has argued that due to the financial consequences of the repeated delays by the general contractor, and the resulting loss of revenue, the Chapter 11 process is "the best path to provide the time to put in place a viable capital structure and working relationships to complete construction and successfully open [the resort]," the report notes. "We are committed to doing all we realistically can to move Baha Mar forward to be completed and opened successfully. We are confident that once opened, Baha Mar will be a world-class destination resort that will attract guests from around the world and serve as a key economic sparkplug in The Bahamas," the company posted on www.bmpathforward.com, a website dedicated to providing information about its current situation, the report relays. Baha Mar and the government have been involved in a public war of words, with chief executive officer Izmiralian being critical of Prime Minister Perry Christie's leadership and Immigration Minister Fred Mitchell recently warning the billionaire that he could lose his permanent residency status, the report discloses. "Let the word be clear -- let him cease and desist. It is the wiser course of action and the old Bahamian proverb says 'If you don't hear, you will feel'," Mr. Mitchell said at an Emancipation Day service, the report notes. "The Immigration Act reminds us . . . that the permission to live in The Bahamas can be revoked where an individual has so conducted himself that, in the opinion of the board, it is not in the public interest that he should continue to enjoy privileges inferred by the certificate," Mr. Mitchell added. The report adds that the minister said no one, no matter how much money they had, could buy influence in the country or "speak to our leaders in any which way or fashion". About Baha Mar Orlando, Florida-based Northshore Mainland Services Inc., Baha Mar Enterprises Ltd., and their affiliates sought protection under Chapter 11 of the Bankruptcy Code on June 29, 2015 (Bankr. D.Del., Case No. 15-11402). Baha Mar owns, and is in the final stages of developing, a 3.3 million square foot resort complex located in Cable Beach, Nassau, The Bahamas. The case is assigned to Judge Kevin J. Carey. The Debtors are represented by Paul S. Aronzon, Esq., and Mark Shinderman, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in Los Angeles, California; and Gerard Uzzi, Esq., Thomas J. Matz, Esq., and Steven Z. Szanzer, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York. The Debtors' Delaware counselare Laura Davis Jones, Esq., James E. O'Neill, Esq., Colin R. Robinson, Esq., and Peter J. Keane, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Delaware. The Debtors' Bahamian counsel is Glinton Sweeting O'Brien. The Debtors' special litigation counsel is Kobre & Kim LLP. The Debtors' construction counsel is Glaser Weil Fink Howard Avchen & Shapiro LLP. The Debtors' investment banker and financial advisor is Moelis Company LLC. The Debtors' claims and noticing agent is Prime Clerk LLC. ULTRAPETROL (BAHAMAS): To Release 2Q Financial Results on Aug.12 ---------------------------------------------------------------- Ultrapetrol (Bahamas) Limited, an industrial transportation company serving marine transportation needs in three markets (River Business, Offshore Supply Business, and Ocean Business), will release its second quarter 2015 financial results on Wednesday, August 12, 2015, after the market closes. Ultrapetrol will also host a related conference call on Thursday, August 13, 2015 at 10:00 a.m. Eastern Time, accessible via telephone and Internet with an accompanying slide presentation. As reported in the Troubled Company Reporter-Latin America on May 12, 2015, Standard & Poor's Ratings Services revised its outlook on Ultrapetrol (Bahamas) Ltd. to negative from stable. S&P also affirmed its ratings, including the 'B' corporate credit and issue-level ratings. ============= B O L I V I A ============= BNB LEASING: Moody's Assigns Ba3 Global Scale Rating ---------------------------------------------------- Moody's Latin America Agente de Calificacion de Riesgo (Moody's) assigned a Ba3 global scale rating and a Aaa.bo national scale rating to BNB Leasing S.A.'s first expected issuance of BO60 million under its second senior debt program of up to US$20 million (Programa de Emision de Bonos BNB Leasing II). The outlook for all ratings is stable. The following ratings were assigned to BNB Leasing S.A.: $20 million senior debt program: Global Local-Currency Debt Rating: (P)Ba3 Global Foreign-Currency Debt Rating: (P)Ba3 Bolivian National Scale Local-Currency Debt Rating: Aaa.bo Bolivian National Scale Foreign-Currency Debt Rating: Aaa.bo Expected issuance of BO30 million - Class A - Tenor: 1,440 days - Interest Rate: 4.25%: Global Local-Currency Debt Rating: Ba3 Bolivian National Scale Local-Currency Debt Rating: Aaa.bo Expected issuance of BO30 million - Class B - Tenor: 1,800 days - Interest Rate: 4.75%: Global Local-Currency Debt Rating: Ba3 Bolivian National Scale Local-Currency Debt Rating: Aaa.bo RATINGS RATIONALE BNB Leasing's debt ratings derive from its b3 standalone credit assessment and incorporates three notches of uplift due to Moody's assessment of a very high probability of support from the company's parent, Banco Nacional de Bolivia S.A. (local currency bank deposits rated Ba3) given BNB Leasing's strategic importance to the bank. Banco Nacional de Bolivia is the country's second largest bank in terms of assets. BNB Leasing's stand-alone credit assessment reflects its limited income diversification as a result of its narrow focus on leasing and leaseback of real state, machinery and equipment, its low liquidity ratios, and its heavy reliance on market funding, including both bonds issuances and interbank deposits, which exposes it to refinancing and interest rate risk. This risks are partly offset by the company's well-established franchise in the developing leasing industry in Bolivia, which has allowed it to increase its market share and improve profitability metrics. The ratings also consider the company's healthy asset quality and capitalization metrics. After taking into consideration parental support, BNB Leasing's Ba3 global scale and Aaa.bo national scale debt ratings make it one of the strongest credits in Bolivia. Headquartered in La Paz, Bolivia, BNB Leasing is the second leasing company in the country, with assets of BO163 million and shareholders' equity of BO27 million as of June 30, 2015. =========== B R A Z I L =========== PARANAPANEMA SA: S&P Affirms 'B+' Global Scale Rating ----------------------------------------------------- Standard & Poor's Ratings Services lowered its national scale rating on Paranapanema S.A. to 'brBBB' from 'brBBB+'. The outlook on this rating is stable. S&P also revised the global scale rating outlook to stable from positive and affirmed this rating at 'B+'. The stable outlook on both ratings reflects the potentially lower cash generation due to the weakening prices for Paranapanema's products and its operational disruptions, limiting the company's ability to reduce debt. Also, S&P sees an increasing risk of Paranapanema breaching its financial covenants by the end of 2015 due to impact of hedge accounting. Although the possible breach isn't substantial at this point, it may require Paranapanema to ask for a waiver or to prepay a portion of the debt. The second-quarter operating performance weakened due to maintenance stoppages and lower price premiums for refined copper both in domestic and international markets amid lower demand for copper products in Brazil and stronger competition abroad. In addition, poor working capital management in the second quarter pushed up the company's debt. The offsetting factors are the strong cash position, which prevents net debt metrics from weakening, and S&P's expectation that working capital needs will drop in the second half of the year. Credit metrics were weaker in the second quarter of 2015 because the hedge accounting standards resulted in lower EBITDA. As such, S&P tends to focus more on cash flow metrics rather than the debt-to-EBITDA ratio. PETROLEO BRASILEIRO: Selling Argentine Unit Stake, Governor Says ---------------------------------------------------------------- Pablo Rosendo Gonzalez at Bloomberg News reports that Petroleo Brasileiro SA (Petrobras) is selling its controlling stake in an Argentine unit, Neuquen Province Governor Jorge Sapag said. YPF SA, Pan American Energy LLC, Pluspetrol SA and Tecpetrol SA are among the companies planning to jointly buy about 70 percent of Petrobras Argentina SA owned by the Rio de Janeiro-based parent, Mr. Sapag said, according to Bloomberg News. The report relays that Petrobras Argentina's most lucrative oil and natural gas assets are located in Neuquen province, home to the Vaca Muerta formation, the world's second-largest shale-gas deposit. "I was very surprised when they announced the sale to me," Mr. Sapag told Bloomberg in an interview at his home in Neuquen, the Argentina province's capital. "I only hope the group has the financial strength to fulfill all the investment commitment Petrobras Argentina has with my province and with Argentina," Mr. Sapag added. Bloomberg News relates that Petrobras is cutting spending and selling assets after crude prices tumbled and Brazil's biggest corruption scandal led to a management reshuffle. The producer plans to raise $15.1 billion from the sales this year and next. Selling the whole stake to a group rather than separate assets to different buyers will speed up the deal and allow the unit to continue operating as a single company, Mr. Sapag said, Bloomberg News discloses. Petrobras Argentina, which the parent has failed to sell in three prior attempts, owns filling stations, a refinery, stakes in electricity companies and drilling rights for several oil and gas fields, among other assets, Bloomberg News says. Regulatory Hurdles YPF SA, Argentina's state-owned oil company, could face antitrust restrictions if it sought to buy the refinery and gasoline stations by itself, Bloomberg News notes. Teaming up will allow the buyers to avoid several regulatory approvals in different jurisdictions, Mr. Sapag said, Bloomberg News relays. A few small Argentine companies and a foreign company may join the group of buyers, Mr. Sapag said, declining to name them, Bloomberg News adds. About Petroleo Brasileiro Based in Rio de Janeiro, Brazil, Petroleo Brasileiro S.A. -- Petrobras (Brazilian Petroleum Corporation) -- explores for oil and gas and it produces, refines, purchases, and transports oil and gas products. The Company has proved reserves of about 14.1 billion barrels of oil equivalent and operates 16 refineries, an extensive pipeline network, and more than 8,000 gas stations. * * * As reported in the Troubled Company Reporter-Latin America on March 12, 2015, Moody's Investors Service said the corruption investigation into Petroleo Brasileiro S.A. (Petrobras) will negatively affect parts of the public and private sectors, but government support for the company is likely to help contain the credit-negative impact. On March 6, 2015, the TCLRA reported that the deepening investigation into the alleged kickback scheme at Petrobras has triggered concerns for the Brazilian banks with exposures not only to the state-controlled oil company, but also to its large base of suppliers, as well as the broader oil and gas (O&G) and construction industries, says Moody's Investors Service. Moody's Investors Service downgraded all ratings for Petrobras, including a downgrade of the company's senior unsecured debt to Ba2 from Baa3, and assigned a Ba2 Corporate Family Rating to the company, the TCRLA reported on Feb. 27, 2015. Its failure to estimate its losses from the alleged corruption scheme and produce audited third-quarter results prompted Moody's to cut its rating to junk, the report said. Rival agency Standard & Poor's delivered a further blow on March 23 when it revised its outlook on the company from stable to negative, the TCRLA reported on March 26, 2015. On Feb. 10, 2015, TCRLA said Fitch Ratings has downgraded the foreign and local currency Issuer Default Ratings (IDRs) and outstanding debt ratings of Petrobras to 'BBB-' from 'BBB'. Concurrently, Fitch has placed all of Petrobras' international and national scale ratings on Rating Watch Negative. ========================== C A Y M A N I S L A N D S ========================== BJB CAREER: Appoints Walker & Jong as Provisional Liquidators ------------------------------------------------------------- On July 3, 2015, the Grand Court of Cayman Islands appointed David A.K. Walker and Yat Kit Jong as provisional liquidators of BJB Career Education Company Limited. The Liquidators can be reached at: David A.K. Walker PwC Corporate Finance & Recovery (Cayman) Limited P.O. Box 258 Grand Cayman KY1-1104 Strathvale House Cayman Islands; and Yat Kit Jong PricewaterhouseCoopers Centre 202 Hubin Road Shanghai People's Republic of China 200021 JUVE LIMITED: Creditors' Proofs of Debt Due Aug. 14 --------------------------------------------------- The creditors of Juve Limited are required to file their proofs of debt by Aug. 14, 2015, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 26, 2015. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949 7576 Facsimile: (345) 949 8295 P.O. Box 897 Grand Cayman KY1-1103 Windward 1, Regatta Office Park Cayman Islands LEADGATE INVESTMENTS: Creditors' Proofs of Debt Due Aug. 14 ----------------------------------------------------------- The creditors of Leadgate Investments Limited are required to file their proofs of debt by Aug. 14, 2015, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 29, 2015. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949 7576 Facsimile: (345) 949 8295 P.O. Box 897 Grand Cayman KY1-1103 Windward 1, Regatta Office Park Cayman Islands PENNANT CREDIT: Placed Under Voluntary Wind-Up ---------------------------------------------- On June 30, 2015, the sole shareholder of Pennant Credit Opportunities Offshore Fund, Ltd. 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: Pennant Capital Management, L.L.C. c/o Jonathan Turnham Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949-9877 Ogier 89 Nexus Way Camana Bay Grand Cayman KY1-9007 Cayman Islands PLATINUM NAVIGATOR: Placed Under Voluntary Wind-Up -------------------------------------------------- On July 10, 2015, the sole shareholder of Platinum Navigator Fund Limited 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: Platinum Trading Management Ltd. c/o Piers Dryden Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949-9877 Ogier 89 Nexus Way Camana Bay Grand Cayman KY1-9007 Cayman Islands SELECTINVEST ARV MC: Creditors' Proofs of Debt Due Aug. 19 ---------------------------------------------------------- The creditors of Selectinvest ARV II MC Ltd. are required to file their proofs of debt by Aug. 19, 2015, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 30, 2015. The company's liquidator is: Stuart Sybersma c/o Robbie Cribb Deloitte & Touche Citrus Grove Building, 4th Floor Goring Avenue George Town KY1-1109 Cayman Islands Telephone: +1 (345) 814 2254 Facsimile: +1 (345) 949 8258 SELECTINVEST ARV SPV: Creditors' Proofs of Debt Due Aug. 19 ----------------------------------------------------------- The creditors of Selectinvest ARV II SPV Ltd. are required to file their proofs of debt by Aug. 19, 2015, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 29, 2015. The company's liquidator is: Stuart Sybersma c/o Robbie Cribb Deloitte & Touche Citrus Grove Building, 4th Floor Goring Avenue George Town KY1-1109 Cayman Islands Telephone: +1 (345) 814 2254 Facsimile: +1 (345) 949 8258 SSC 400 CAPITAL: Placed Under Voluntary Wind-Up ----------------------------------------------- On July 10, 2015, the sole shareholder of SSC 400 Capital Fund Ltd. 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: 400 Capital Management LLC c/o Jonathan Turnham Ogier 89 Nexus Way Camana Bay Grand Cayman KY1-9007 Cayman Islands Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949-9877 STARFISH ACQUISITION: Creditors' Proofs of Debt Due Aug. 11 ----------------------------------------------------------- The creditors of Starfish Acquisition Limited are required to file their proofs of debt by Aug. 11, 2015, to be included in the company's dividend distribution. The company commenced wind-up proceedings on July 10, 2015. The company's liquidator is: Campbells Directors Limited Willow House, Floor 4 Cricket Square PO Box 884 Grand Cayman KY1-1103 Cayman Islands Telephone: +1 (345) 949 2648 Facsimile: +1 (345) 949 8613 STARFISH ACQUISITION CO.: Creditors' Proofs of Debt Due Aug. 11 --------------------------------------------------------------- The creditors of Starfish Acquisition Company Limited are required to file their proofs of debt by Aug. 11, 2015, to be included in the company's dividend distribution. The company commenced wind-up proceedings on July 10, 2015. The company's liquidator is: Campbells Directors Limited Willow House, Floor 4 Cricket Square PO Box 884 Grand Cayman KY1-1103 Cayman Islands Telephone: +1 (345) 949 2648 Facsimile: +1 (345) 949 8613 ========= C H I L E ========= CORPBANCA BANKING: Moody's Reviews ba1 BCA for Upgrade ------------------------------------------------------ Moody's Investors Service said that the ratings of CorpBanca (deposits and senior debt Baa3 review up, BCA ba1 review up) and its holding company, CorpGroup Banking S.A. (issuer and senior debt B1, review up) remain under review for possible upgrade pending consummation of the bank's merger with Banco Itau Chile. The review was initiated on January 31, 2014 following the announcement on January 29, 2014 by which CorpBanca's controlling shareholder, CorpGroup, agreed to merge the bank with Itau Unibanco S.A.'s (deposits Baa2 negative, BCA baa2) Chilean subsidiary, Banco Itau Chile (deposits A2 stable, BCA baa2) in a stock-for-stock transaction to create Itau CorpBanca. The ratings of CorpGroup Banking remain on review for possible upgrade as they are anchored on CorpBanca's standalone assessment. RATINGS RATIONALE The merger was approved by CorpBanca's shareholders on 26 June 2015 and according to the Transaction Agreement amendment, is currently on course for completion between January 2016 and May 2016, pending receipt of approval from Chile's Superintendency of Banks (SBIF). Moody's said it expects to complete the review once that regulatory approval has been received, clearing all remaining hurdles to the successful consummation of the transaction. The change in control that will result from this transacton has already received approval from the Brazilian, Colombian, and Panamanian banking regulators. Moody's expects that the proposed merger of CorpBanca and Banco Itau Chile and its association with Itau Unibanco will strengthen the combined bank's market presence across multiple customer segments in Chile's highly competitive banking market, and provide it with greater economies of scale, thereby increasing its earnings potential. Itau's experience in integrating acquisitions, its successful presence and brand identity in Chile, and its partnership and co-management with existing shareholders will allow the combined bank to better leverage existing relationships and take advantage of new opportunities for growth. CorpBanca's relatively weak capitalization would also be somewhat supported through the merger as the bank's new controlling shareholder, Itau Unibanco Holding S.A. (issuer rating Baa3 negative), is committed by the transaction agreement to inject an additional $552 million of fresh capital into Banco Itau Chile before the merger. The principal methodology used in these ratings/analysis was Banks published in March 2015. Please see the Credit Policy page on www.moodys.com for a copy of this methodology. The last rating action on CorpBanca was on 9 September 2014 when Moody's assigned the bank a Baa3 foreign currency senior unsecured debt rating, on review for possible upgrade. The last rating action on CorpGroup Banking was on 31 January 2014 when Moody's changed the rating review direction to possible upgrade, from review for downgrade, on the entity's issuer and senior unsecured debt ratings. Based in Santiago de Chile, CorpBanca was the country's fifth largest bank with about USD33 billion (CLP21 trillion) of consolidated assets and USD2.4 billion in shareholders' equity as of June 30, 2015. CorpGroup Banking reported total consolidated assets of USD33.8 billion and total net equity of USD2.7 billion as of December 31, 2014. ======= P E R U ======= MAESTRO PERU: Moody's Hikes Corporate Family Rating to Ba2 ---------------------------------------------------------- Moody's Investors Service has upgraded Maestro Peru S.A.'s corporate family rating and its USD 200 million senior unsecured ratings to Ba2. The outlook is stable. These actions conclude the review for upgrade initiated on May 04, 2015. Ratings are: Issuer: Maestro S.A. -- Corporate Family Rating: Upgraded to Ba2 (Global Scale) -- USD 200 million Senior Unsecured Notes due 2019: Upgraded to Ba2. Outlook: Stable RATINGS RATIONALE Maestro's upgrade ultimately reflects the evidences of strong integration with and financial support from Grupo Falabella (unrated), as well as the perceived important role of Maestro in the group's expansion strategy in Peru. The rating also considers the solid business profile and credit strength of Grupo Falabella. Moreover, the rating incorporates our views that, in addition to financial support, the integration with Sodimac (unrated), its former main competitor in the country, will lead to operating improvements and an acceleration in Maestro's credit metrics recovery. Maestro was acquired by Sodimac Peru, a wholly-owned subsidiary of Grupo Falabella, in September 2014. The sale gave the owner of 30 stores throughout Peru the financial backing of a far larger entity, with USD 12.3 billion in revenues as of March 2015 and 439 department, home improvement and grocery stores across South America. Moody's will continue to assess the extent of Maestro's integration into Grupo Falabella, and the benefits accruing from such integration. These include various cost synergies, and also revenue synergies through an extensive cost reduction process, which together may benefit revenues and margins. Moody's will also monitor the extent of possible financial integration of Maestro with Grupo Falabella. Maestro's Ba2 ratings are supported by Grupo Falabella's sponsorship, as well as its leading position in the Peruvian home improvement retail industry. On the other hand, the ratings are constrained by very weak credit metrics for its rating category, including a Moody's adjusted leverage at 12 times as of the last of last twelve months ended March 2015. The stable outlook is based on the expectation that Maestro will continue to receive significant support from the Grupo Falabella, while gradually improving its operating performance and credit metrics. Although unlikely in the near term, the ratings could be upgraded depending upon the extension of Maestro's integration into Grupo Falabella, and the benefits accruing from such integration. An upgrade would also require a significant improvement in Maestro's overall credit metrics. The ratings could be downgraded in case the perception of support coming from the Grupo Falabella decreases or if Maestro's credit metrics or liquidity deteriorate further. Headquartered in the city of Lima, Peru, Maestro is one of the major home improvement retailers in Peru, with 30 stores spread across the country. For the last twelve months ended March 2015, Maestro reported revenues of SOL 1.5 billion (approximately USD 500 M). Headquartered in Chile, the Grupo Falabella is one of the leading retail companies in Latin America, with operations in Chile, Peru, Colombia, Argentina, Brazil and Uruguay. Grupo Falabella is organized in five business divisions: Department Stores, Home Improvement, Supermarkets, Financial Services and Real Estate. The Group has 439 stores, 38 shopping centers and 207 bank branches. For the last twelve months ended March 2015, Grupo Falabella reported revenues of CH $ 7.009 billion (approximately USD 12.3B). ====================== P U E R T O R I C O ====================== DJSP ENTERPRISES: Declares Distribution of $0.70 Per Share ---------------------------------------------------------- The Board of Directors of DJSP Enterprises, Inc. declared a cash nondividend distribution of $0.7000 per ordinary share, payable to shareholders of record as of Aug. 10, 2015. The Distribution will be paid as soon as possible following the Record Date, but in no event later than Aug. 17, 2015. The amount of dividends or distributions, if any, that the Company pays to its shareholders is determined by the Company's Board of Directors, at its discretion, and is dependent on a number of factors, including the Company's financial position, results of operations, cash flows, capital requirements and restrictions under its credit agreements, and will be in compliance with applicable law. The Company cannot guarantee the amount of dividends or distributions paid in the future, if any. About DJSP Enterprises Based in Plantation, Florida, DJSP Enterprises, Inc. (Nasdaq: DJSP, DJSPW, DJSPU) provides a wide range of processing services in connection with mortgages, mortgage defaults, title searches and abstracts, REO (bank-owned) properties, loan modifications, title insurance, loss mitigation, bankruptcy, related litigation and other services. Its principal customer is The Law Offices of David J. Stern, P.A. It has additional operations in Louisville, Kentucky and San Juan, Puerto Rico. Its U.S. operations are supported by a scalable, low-cost back office operation in Manila, the Philippines, that provides data entry and document preparation support for its U.S. operations. As reported in the Jan. 20, 2011, edition of the TCR, DAL Group, LLC, a subsidiary of DJSP Enterprises, has obtained waivers on notes held by these parties for payments due through April 1, 2011: Amount of Note -------------- Law Offices of David J. Stern, P.A. $47,869,000 Chardan Capital, LLC, $1,000,000 Chardan Capital Markets, LLC $250,000 Kerry S. Propper $1,500,000 The waivers were sought by DAL as it develops and implements plans to restructure its ongoing operations to reflect its significantly reduced revenues and operations and the other changes. DAL did not make the interest payments due Jan. 3, 2011, for (i) unsecured term notes in the aggregate principal amount of $1,600,000 (ii) and a $500,000 term note issued by Cornix Management, LLC. DAL is seeking waivers from the holders of the unsecured notes and Cornix of principal and interest payments otherwise due under these notes, and the default interest rates under these notes, through April 1, 2011. DAL has entered into a forbearance agreement with BA Note Acquisition, LLC, pursuant to which BNA has agreed to forbear from taking action on a $5.5-million line of credit until March 9, 2011. TRUMP ENTERTAINMENT: Watchdog Challenges Sale of Golf Club ---------------------------------------------------------- Jacqueline Palank, writing for Dow Jones' Daily Bankruptcy Review, reported that a federal bankruptcy watchdog is challenging the proposed sale of the Trump International Golf Club in Puerto Rico, including how the deal will affect the distressed island's taxpayers. According to the report, Acting U.S. Trustee Guy Gebhardt is urging the U.S. Bankruptcy Court in Puerto Rico to block the golf and country club from moving forward with plans to sell itself to OHorizons Global LLC for $2 million, subject to higher bids at a court-overseen auction. About Trump Entertainment Resorts Trump Entertainment Resorts Inc., owner of the Atlantic City Boardwalk casinos that bear the name of Donald Trump, returned to Chapter 11 bankruptcy (Bankr. D. Del. Case No. 14-12103) on Sept. 9, 2014, with plans to shutter its casinos. TER and its affiliated debtors own and operate two casino hotels located in Atlantic City, New Jersey. TER said it will close the Trump Taj Mahal Casino Resort by Sept. 16, 2014, and, absent union concessions, the Trump Plaza Hotel and Casino by Nov. 13, 2104. The Debtors have sought an order authorizing the joint administration of their Chapter 11 cases and the consolidation thereof for procedural purposes only. Judge Kevin Gross presides over the Chapter 11 cases. The Debtors have tapped Young, Conaway, Stargatt & Taylor, LLP, as counsel; Stroock & Stroock & Lavan LLP, as co-counsel; Houlihan Lokey Capital, Inc., as financial advisor; and Prime Clerk LLC, as noticing and claims agent. TER estimated $100 million to $500 million in assets as of the bankruptcy filing. The Debtors as of Sept. 9, 2014, owe $285.6 million in principal plus accrued but unpaid interest of $6.6 million under a first lien debt issued under their 2010 bankruptcy-exit plan. The Debtors also have trade debt in the amount of $13.5 million. * * * Judge Kevin Gross of the U.S. Bankruptcy Court for the District of Delaware on March 12, 2015, confirmed Trump Entertainment Resorts, Inc., et al.'s Third Amended Joint Plan of Reorganization and Disclosure Statement pursuant to Section 1129 of the Bankruptcy Code. The Debtors filed on January 5, 2015, the Plan and accompanying Disclosure Statement to, among other things, provide that holders of General Unsecured Claims will receive Distribution Trust Interests, which will include $1 million in cash and the proceeds, if any, of certain avoidance actions. Under the revised plan, holders of general unsecured claims are estimated to recover 0.47% to 0.43% of their total allowed claim amount. The Amended Plan also includes language reflecting the recently-approved $20 million loan from Carl Icahn. A full-text copy of the Findings of Fact is available for free at: http://bankrupt.com/misc/TRUMPENTERTAINMENT_Plan_Findings.pdf ============================= S T. K I T T S & N E V I S ============================= BANK OF COMMERCE: Depositors to Recover Losses 30Ys After Collapse ------------------------------------------------------------------ Caribbean360.com reports that customers and creditors who lost money when the Bank of Commerce closed 30 years ago are in line for an EC$15 million (US$5.5 million) payout. Prime Minister Dr. Timothy Harris announced that after three decades of the bank being in liquidation, a court settlement had been reached and payments would be made "in the not too distant future," according to Caribbean360.com. The report notes that making the disclosure during sitting of Parliament, he acknowledged that the 30 years it took to reach this stage was an "entirely unsatisfactory period of time" but said the settlement would still bring "tremendous relief to the many suffering depositors in the Bank of Commerce". The bank was put into liquidation on May 9, 1985 by order of the court, in response to a petition filed on February 2, 1985, by the Social Security Board (SSB), one of the financial institution's creditors, the report relates. The report discloses that as a result of the settlement, the SSB will receive about EC$1.4 million (US$518,518) and the government, which had substantial investment in the bank, would get about EC$1.2 million (US$444,444). Additionally, the Nevis Philatelic Bureau is in line for just over EC$250,000 (US$92,592), the report adds. *********** 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 2015. 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 202-362-8552. * * * End of Transmission * * *