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/raid1/www/Hosts/bankrupt/TCRLA_Public/160108.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, January 8, 2016, Vol. 17, No. 5 Headlines A R G E N T I N A ARGENTINA: Debt to Bolivia for Gas Purchases Falls to $202MM B R A Z I L BANCO BRADESCO: Central Bank Approves Purchase of HSBC Unit C A Y M A N I S L A N D S AKSHAR INVESTMENTS: Placed Under Voluntary Wind-Up ASIA INVESTMENT: Commences Liquidation Proceedings BARRICK CAYMAN: Placed Under Voluntary Wind-Up BMB COMIT: Commences Liquidation Proceedings CAPITAL INSTINCT: Placed Under Voluntary Wind-Up EON INVESTMENTS: Placed Under Voluntary Wind-Up IVORY GLOBAL: Placed Under Voluntary Wind-Up KCP GP: Commences Liquidation Proceedings KENSON INC: Shareholder Receives Wind-Up Report LA SALLE VENTURES: Commences Liquidation Proceedings OLD SQUARE: Placed Under Voluntary Wind-Up SLEEP ZAKARIA: Members Receive Wind-Up Report WR MARKET: Shareholders Receive Wind-Up Report WR MARKET MASTER: Shareholders Receive Wind-Up Report C H I L E AUTOMOTORES GILDEMEISTER: Fitch Lowers IDR to 'RD' D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Construction Paces Economy's 7% Growth in 2015 J A M A I C A JAMAICA: To Restrict Firms Eligible for Tax Breaks Under SEZ JAMAICA: Continues to Exceed Primary Surplus Target P U E R T O R I C O PUERTO RICO: REIT Sued Over $41MM Write-Down on Hotel Loans - - - - - ================= A R G E N T I N A ================= ARGENTINA: Debt to Bolivia for Gas Purchases Falls to $202MM ------------------------------------------------------------ EFE News reports that Argentina's debt to Bolivia for gas purchases has fallen to $202 million and will be completely paid off in the first three months of this year, Guillermo Acha, CEO of state-owned oil company YPFB, said. Mr. Acha told state radio that he met with Argentine officials in Buenos Aires to discuss the debt, according to EFE News. "Enarsa (state-owned oil company Energia Argentina) will be honoring its debt by March, the $202 million left as the balance," Mr. Acha said, the report relays. Argentina made a deposit to complete a total payment of $100 million, allowing the debt of $300 million calculated in December to be reduced by one-third, Mr. Acha said, the report notes. Argentine Energy and Mines Minister Juan Jose Aranguren and Enarsa CEO Hugo Balboa also expressed "their total interest in continuing to work in the closest and most coordinated manner, operationally and commercially," the YPFB chief said, the report relays. Bolivia exports about 16 million cubic meters per day of natural gas to Argentina at about $5 per one million BTUs, or about half the price in effect before oil prices collapsed on the international market, the report discloses. Bolivian National Electric Company Chief Executive Officer Eduardo Paz also participated in the meeting in Buenos Aires, the report notes. Last year, officials started negotiating the sale by Bolivia to Argentina of 440 MW of electricity and cooperation in nuclear medicine, the report adds. * * * The Troubled Company Reporter-Latin America reported in Nov. 27, 2015, that Moody's Investors Service has changed the outlook on Argentina's Caa1 issuer rating to positive from stable. The outlook on Argentina's (P)Caa2 foreign legislation and restructured local legislation foreign currency obligations is also changed to positive from stable. The outlook change is based on Moody's view that the accession of president-elect Mauricio Macri of the Cambiemos ("Let's Change") coalition will raise the probability of credit positive policies being implemented, including arriving at a resolution with holdout creditors, one of Argentina's key credit constraints. On Aug. 1, 2014, reported that Argentina defaulted on some of its debt late July 30 after expiration of a 30-day grace period on a US$539 million interest payment. Earlier that day, talks with a court- appointed mediator ended without resolving a standoff between the country and a group of hedge funds seeking full payment on bonds that the country had defaulted on in 2001. A U.S. judge had ruled that the interest payment couldn't be made unless the hedge funds led by Elliott Management Corp., got the US$1.5 billion they claimed. The country hasn't been able to access international credit markets since its US$95 billion default 13 years ago. As a result, reported the TCR-LA on Aug. 1, Standard & Poor's Ratings Services lowered its unsolicited long-and short-term foreign currency sovereign credit ratings on the Republic of Argentina to selective default ('SD') from 'CCC-/C'. The TCR-LA, on Aug. 4, 2014, also reported that Fitch Ratings downgraded Argentina's Foreign Currency Issuer Default Rating (IDR) to 'RD' from 'CC', and its Short-Term Foreign Currency Issuer Default Rating to 'RD' from 'C'. Meanwhile, Moody's Investors Service affirmed Argentina's Caa1 issuer rating, which also applies to domestic law bonds, confirmed the (P)Caa2 rating for its foreign law bonds, and affirmed the Ca rating on the original defaulted bonds. The long-term issuer rating was placed on negative outlook, reported the TCR-LA on Aug. 5, 2014. On Aug. 8, 2014, the TCR-LA reported that Moody's Latin America Agente de Calificacion de Riesgo affirmed the deposit, debt, issuer and corporate family ratings on Argentina's banks and financial institutions, both on the global and national scales. The outlook on these ratings has been changed to negative from stable. At the same time, the rating agency has affirmed the banks' Caa2 foreign-currency deposit ratings and Not- Prime short-term ratings. The banks' standalone E financial strength ratings corresponding to caa1 baseline credit assessments (BCA) have also been affirmed. The TCR-LA, On Aug. 6, 2014, also reported that DBRS Inc. has downgraded Argentina's long-term foreign currency issuer rating from CC to Selective Default (SD). The short-term foreign currency rating has been downgraded to Default (D), from R-5. The long-term and short-term local currency issuer ratings have been confirmed at B (low) and R-5, respectively. The trend on the long-term local currency rating is Negative, and the trend on the short-term local currency rating is Stable. On Nov. 3, 2014, the TCR-LA reported that Fitch Ratings downgraded Argentina's rating on Par Bonds issued under Foreign Law to 'D' from 'C' as Argentina has not been able to cure the missed coupon payments on its par bonds issued under foreign law after the expiration of the 30-day grace period on Oct. 30. According to Fitch's criteria, this constitutes an event of default and Fitch has downgraded the affected securities to 'D'. In addition, Fitch has affirmed: -- Foreign Currency Issuer Default Rating (IDR) at 'RD'; -- Local Currency IDR at 'CCC'; -- Short-term Foreign Currency IDR at 'RD'; -- Country Ceiling at 'CCC'. -- Performing Foreign Law Exchanged Securities (Global 17) at 'C'; -- Local Currency exchanged bonds under Argentine Law at 'CCC'; -- Foreign and Local Currency non-exchanged securities under Argentine Law at 'CCC'; -- Discount Bonds issued under Foreign Law at 'D'. On April 22, 2015, Moody's Investors Service expanded the portion of Argentina's debt that is rated (P)Caa2. The (P)Caa2 rating reflects the higher risk of default for both Argentina's restructured foreign legislation debt (as before) and, additionally now, its restructured local legislation foreign currency obligations, as compared with the risk of default on other debt instruments issued by Argentina. Argentina's local currency debt and its non-restructured foreign currency debt are rated Caa1. The debt that remains in default since Argentina's 2001 default is rated Ca. =========== B R A Z I L =========== BANCO BRADESCO: Central Bank Approves Purchase of HSBC Unit ----------------------------------------------------------- Reuters reports that Banco Bradesco SA said the country's central bank approved the acquisition of the local unit of HSBC Holdings Plc. The conclusion of the deal still requires approval from other regulatory agencies, Bradesco said in a securities filing, according to Reuters. Bradesco had announced the $5.2 billion acquisition of HSBC Bank Brasil Banco Multiplo SA on Aug 3, the report notes. Headquartered in Sao Paulo, Brazil, Banco Bradesco S.A. (NYSE: BBD) -- http://www.bradesco.com.br/-- serves low-and medium- income individuals in Brazil since the 1960s. Bradesco is Brazil's largest private bank, with more than 3,000 banking branches, and also a leader in insurance and private pension management. Bradesco has branches throughout Brazil as well as one in New York, and Japan. Bradesco offers Internet banking, insurance, pension plans, annuities, credit card services (including football-club affinity cards for the soccer-mad population), and Internet access for customers. The bank also provides personal and commercial loans, along with leasing services. * * * As reported in the Troubled Company Reporter-Latin America on May 28, 2010, Fitch Ratings affirmed ratings of Banco Bradesco S.A.'s Support Rating Floor at 'BB'. ========================== C A Y M A N I S L A N D S ========================== AKSHAR INVESTMENTS: Placed Under Voluntary Wind-Up -------------------------------------------------- On Nov. 5, 2015, the sole shareholder of Akshar Investments Limited resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 23, 2015, will be included in the company's dividend distribution. The company's liquidator is: Eagle Holdings Ltd. c/o Barclays Trust Company (Cayman) Limited FirstCaribbean House, 4th Floor P.O. Box 487 Grand Cayman KY1-1106 Cayman Islands Telephone: (345) 949-7128 ASIA INVESTMENT: Commences Liquidation Proceedings -------------------------------------------------- On Oct. 30, 2015, the sole member of Asia Investment Funds II SPC resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 14, 2015, will be included in the company's dividend distribution. The company's liquidator is: Richard Fear c/o Ryan Charles P.O. Box 2681 Grand Cayman KY1-1111 Cayman Islands Telephone: (345) 814 7364 Facsimile: (345) 945 3902 BARRICK CAYMAN: Placed Under Voluntary Wind-Up ---------------------------------------------- On Nov. 12, 2015, the sole shareholder of Barrick Cayman (D) Ltd. resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 15, 2015, will be included in the company's dividend distribution. The company's liquidator is: Stephen Galbraith c/o Barrick International (Barbados) Corp. Balmoral Hall, Balmoral Gap, 2nd Floor Hastings, Christ Church Barbados BB14033 Telephone: (246) 430 8801 Facsimile: (246) 437 8860 BMB COMIT: Commences Liquidation Proceedings -------------------------------------------- On Nov. 13, 2015, the shareholder of BMB Comit III LDC resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 15, 2015, will be included in the company's dividend distribution. The company's liquidator is: Michael Pearson c/o Trudy-Ann Scott Fund Solution Services Limited Harbour Centre, 2nd Floor 42 North Church Street George Town, Grand Cayman 10 Market Street, #769 Camana Bay Grand Cayman KY1-9006 Cayman Islands Telephone: +1 (345) 640 5861 CAPITAL INSTINCT: Placed Under Voluntary Wind-Up ------------------------------------------------ On Nov. 13, 2015, the sole shareholder of Capital Instinct International Limited resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 15, 2015, will be included in the company's dividend distribution. The company's liquidator is: Man Kwong Bute Flat 09, 20th Floor, Block C Villa Lotto, 18 Broadwood Road Happy Valley, Hong Kong, China Telephone: (852) 3643 8608 Facsimile: (852) 3690 5068 EON INVESTMENTS: Placed Under Voluntary Wind-Up ----------------------------------------------- On Nov. 4, 2015, the sole shareholder of Eon Investments Limited resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 23, 2015, will be included in the company's dividend distribution. The company's liquidator is: Eagle Holdings Ltd. c/o Barclays Trust Company (Cayman) Limited FirstCaribbean House, 4th Floor P.O. Box 487 Grand Cayman KY1-1106 Cayman Islands Telephone: (345) 949-7128 IVORY GLOBAL: Placed Under Voluntary Wind-Up -------------------------------------------- The shareholders of Ivory Global Energy Fund Ltd. resolved to voluntarily wind up the company's operations. Only creditors who were able to file their proofs of debt by Dec. 16, 2015, will be included in the company's dividend distribution. The company's liquidator is: Alric Lindsay Artillery Court Shedden Road P.O. Box 11371, George Town Grand Cayman KY1-1008 Cayman Islands Telephone: (345)-926-1688 KCP GP: Commences Liquidation Proceedings ----------------------------------------- On Nov. 13, 2015, the shareholders of KCP GP Ltd. resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 14, 2015, will be included in the company's dividend distribution. The company's liquidators are: E. Andrew Hersant Christopher Humphries Stuarts Walker Hersant Humphries 36A Dr. Roy's Drive, George Town P.O. Box 2510, Grand Cayman KY1-1104 Cayman Islands KENSON INC: Shareholder Receives Wind-Up Report ----------------------------------------------- The shareholder of Kenson Inc received on Dec. 30, 2015, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidators are: Fiona Crellin Samantha Powell Equitas Limited Clifton House, 75 Fort Street P.O. Box 1350 Grand Cayman KY1-1108 Cayman Islands LA SALLE VENTURES: Commences Liquidation Proceedings ---------------------------------------------------- On Nov. 4, 2015, the shareholders of La Salle Ventures Limited resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 11, 2015, will be included in the company's dividend distribution. The company's liquidator is: J. Barry Smith Cassia Court, Camana Bay Suite 716, 10 Market Street Grand Cayman KY1-9006 Cayman Islands Telephone: +1 (345) 943-7700 OLD SQUARE: Placed Under Voluntary Wind-Up ------------------------------------------ On Nov. 6, 2015, the sole shareholder of Old Square Capital, 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: Ogier c/o Jacqueline Haynes Telephone: +1 (345) 949 9876 Facsimile: +1 (345) 949-9877 89 Nexus Way, Camana Bay Grand Cayman KY1-9009 Cayman Islands SLEEP ZAKARIA: Members Receive Wind-Up Report --------------------------------------------- The members of Sleep, Zakaria and Company (Cayman), Ltd. received on Dec. 17, 2015, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Avalon Ltd. Landmark Square, 1st Floor 64 Earth Close P.O. Box 715 Grand Cayman KY1-1107 Cayman Islands WR MARKET: Shareholders Receive Wind-Up Report ---------------------------------------------- The shareholders of WR Market Neutral Offshore Fund, Ltd received on Dec. 23, 2015, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949-7576 Facsimile: (345) 949-8295 Windward 1, Regatta Office Park P.O. Box 897 Grand Cayman KY1-1103 Cayman Islands WR MARKET MASTER: Shareholders Receive Wind-Up Report ----------------------------------------------------- The shareholders of WR Market Neutral Master Fund, Ltd received on Dec. 23, 2015, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949-7576 Facsimile: (345) 949-8295 Windward 1, Regatta Office Park P.O. Box 897 Grand Cayman KY1-1103 Cayman Islands ========= C H I L E ========= AUTOMOTORES GILDEMEISTER: Fitch Lowers IDR to 'RD' -------------------------------------------------- Fitch Ratings has downgraded the ratings of Automotores Gildemeister S.A.'s (AG) as: -- Foreign currency Issuer Default Rating (IDR) to 'RD' from 'C'; -- Local currency IDR to 'RD' from 'C'. Fitch has also affirmed these ratings for AG's unsecured notes as: -- US$400 million unsecured senior notes due in 2021 at 'C/RR4'; -- US$300 million unsecured senior notes due in 2023 at 'C/RR4'. KEY RATING DRIVERS The downgrades follow the expiration of the 30-day grace period after the non-payment of the company's interest payments for its 8.250% May 2021 bond. The bond's interest payment was due on Nov. 24, 2015, with the 30-day grace period expiring on Dec. 24, 2015. In addition, on Dec. 18, 2015, AG launched a tender offer for the bonds. The company is asking holders of existing unsecured notes to tender their existing unsecured notes for new senior secured notes in an aggregate amount of US$450 million, representing a 35% reduction in principal. The new notes would be denominated and payable in U.S. dollars and mature on May 23, 2022 provided 97% of the aggregate outstanding principal amount of the 2021 notes has been tendered. Interest on the new senior secured notes would be at a rate of 7.50% per annum versus the rates of 8.25% and 6.75% on the original US$400 million notes due in 2021 and US$300 million notes due in 2023, respectively. AG has the right to capitalize the interest at a rate of 10.00% per annum (payment-in-kind) on the interest payment date for interest payment dates occurring in the first 24 months after the settlement date of the exchange offer as permitted under the terms and conditions of the new senior secured notes. If the proposed tender offer is completed, Fitch will assign a rating to the new notes and raise AG's IDRs to a performing level, usually still low speculative grade. RATING SENSITIVITIES The company's IDRs and debt ratings will be reviewed once it announces and executes the next steps related to its debt restructuring process. FULL LIST OF RATING ACTIONS Fitch has downgraded the ratings of Automotores Gildemeister S.A.'s (AG) as: -- Foreign currency Issuer Default Rating (IDR) to 'RD' from 'C'; -- Local currency IDR to 'RD' from 'C'; Fitch has also affirmed the ratings for AG's unsecured notes as: -- US$400 million unsecured senior notes due in 2021 at 'C/RR4'; -- US$300 million unsecured senior notes due in 2023 at 'C/RR4'. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Construction Paces Economy's 7% Growth in 2015 ------------------------------------------------------------------ Dominican Today reports that Central banker Hector Valdez Albizu said Dominican Republic's economy grew 7% in 2015, and called the results "satisfactory." Preliminary figures show that the country leads the region's economic growth for the second consecutive year, followed by Panama in Latin America, with 5.9% growth, according to the official, according to Dominican Today. Mr. Albizu said yearend inflation was 2.34%, with the construction (18.2%) and financial intermediation (9.2%) sectors which most contributed to annual growth Valdez said tourism grew 8.9% last year, with 5.6 million nonresident passengers arriving in the country, or 458,482 more visitors than in 2014, of 5.1 million tourists, the report notes. The central banker added that 155,189 jobs were created in the last 12 months, and now total 390,789 during the 36 months of Danilo Medina's administration, with 235,600 created between October 2012 and October 2014, and 85% of them in the formal sector, the report adds. As reported in the Troubled Company Reporter-Latin America on Dec. 3, 2015, Fitch Ratings affirmed the Dominican Republic's long-term foreign and local currency Issuer Default Ratings (IDRs) at 'B+'. The Rating Outlooks on the long-term IDRs are revised to Positive from Stable. The issue ratings on the Dominican Republic's senior unsecured foreign and local currency bonds are affirmed at 'B+'. The Country Ceiling is affirmed at 'BB-' and the short-term foreign currency IDR at 'B'. ============= J A M A I C A ============= JAMAICA: To Restrict Firms Eligible for Tax Breaks Under SEZ ------------------------------------------------------------ RJR News reports that the government of Jamaica has announced that it will move to restrict the categories of firms which are eligible to get tax breaks under the Special Economic Zones (SEZ) regime. As a result, firms operating in the extractive industries, tourism, telecommunication services and public utilities are not eligible, according to RJR News. Firms operating in the financial sector, construction sector, real estate and property management, the health sector (excluding research and development) and retail will also not be eligible for SEZ treatment, the report relays. However, firms in the Business Process Outsourcing (BPO) and export processing sectors will be eligible, the report adds. * * * As reported in Troubled Company Reporter-Latin America on July 29, 2015, Standard & Poor's Ratings Services assigned its 'B' issue rating on Jamaica's up to US$2 billion in bonds issued in two tranches. The first tranche is for up to US$1,350 million due in 2028. The second tranche is for up to US$650 million due in 2045. The government will use the proceeds to purchase debt that Jamaica owes to Venezuela as well as to finance the government's 2015/2016 budget. JAMAICA: Continues to Exceed Primary Surplus Target --------------------------------------------------- RJR News reports that Jamaica continued to exceed the target for its primary surplus up to the end of November. At the end of that month, the primary surplus was J$56 billion. That was more than J$5 billion over the target, according to RJR News. The primary surplus is money set aside to pay down the country's debt, the report notes. Just last month, the International Monetary Fund approved a request for Jamaica to reduce debt payments by $4 billion this year, the report adds. * * * As reported in Troubled Company Reporter-Latin America on July 29, 2015, Standard & Poor's Ratings Services assigned its 'B' issue rating on Jamaica's up to US$2 billion in bonds issued in two tranches. The first tranche is for up to US$1,350 million due in 2028. The second tranche is for up to US$650 million due in 2045. The government will use the proceeds to purchase debt that Jamaica owes to Venezuela as well as to finance the government's 2015/2016 budget. ====================== P U E R T O R I C O ====================== PUERTO RICO: REIT Sued Over $41MM Write-Down on Hotel Loans ----------------------------------------------------------- Cara Salvatore at law360.com reports that real estate investment trust Resource Capital Corp.'s directors have been sued in New York court by a shareholder angry over their handling of a Puerto Rico hotel loan portfolio that prompted a $41 million write-down in August, another ripple from Puerto Rico's tenacious debt crisis. Josh Reaves, suing the directors derivatively on behalf of the company, said in the Dec. 30 complaint that the company knew ominous information about Puerto Rico long before an August press release announcing the $41 million write-down on a mezzanine loan for the hotels, according to law360.com. The news sent Resource stock tumbling 12.4 percent and wiped out $55 million in market capitalization, Mr. Reaves said. The report notes that the U.S. territory is in the grip of a painful and enduring debt crisis that it has thus far been blocked from resolving through the type of in-court bankruptcy that mainland municipalities enjoy. Resource Capital, an affiliate of Resource America Inc., should have known by the time of a major February 2014 Puerto Rico debt downgrade that its investments were in trouble, according to the suit, the report discloses. "Despite that . . . . [Resource Capital's March 2014 SEC filings] failed to disclose its loan portfolio's exposure to the Puerto Rican economy, misrepresented the risk level of the company's commercial real estate loans portfolio, failed to follow the company's disclosed practices relating to impairment of loans . . . . and misrepresented the value of the company's loan portfolio," Mr. Reaves said, the report relays. In its August SEC filing, Resource wrote down the outstanding balance of the loan, $38.1 million, and switched accrued interest of $3 million from the positive to the negative column, the report notes. The $41.1 million write-down led to a $31 million overall loss that quarter, according to the suit, the report says. The company also didn't have internal controls to prevent things from becoming so dangerous, the suit says. Since it's a derivative suit on behalf of the company, Resource is simply a nominal defendant, the report discloses. A dozen executives and board members are named as defendants: -- CEO Jonathan Cohen, -- Chief Financial Officer and Chief Accounting Officer David Bryant, -- Chairman Steven Kessler, and board members Edward Cohen; -- Walter Beach, managing director of Beach Investment Counsel Inc.; -- William Hart; -- Gary Ickowicz, a managing principal of Lazard Freres Real Estate Investors; -- Murray Levin, a litigation partner at Pepper Hamilton LLP; -- P. Sherill Neff, founder of Quaker BioVentures Inc.; -- Richard Fore, CEO of Fore Property Co.; -- Stephanie Wiggins, chief investment officer of the AFL-CIO Housing Investment Trust; and -- Eldron Blackwell. Resource was founded in 2005 and has offices in New York and Philadelphia, according to the company, the report discloses. It invests in various structures and classes of notes, loans and derivatives, the report relays. The suit also said that making a demand on the board of directors would have been futile, the report notes. Mr. Reaves is represented by Phillip Kim -- pkim@rosenlegal.com -- and Laurence Rosen -- lrosen@rosenlegal.com -- of The Rosen Law Firm PA and Timothy Brown -- tbrown@brownfirm.com -- of The Brown Law Firm PC. Counsel information for Resource was not immediately available. The case is Josh Reaves v. Steven Kessler et al., case number 654485/2015, in the Supreme Court of the State of New York, County of New York. As reported in the Troubled Company Reporter-Latin America on Dec. 28, 2015, Moody's Investors Service has downgraded $1.09 billion of Puerto Rico appropriation bonds issued by the Public Finance Corporation (PFC) to C from Ca, while maintaining other ratings assigned to the US territory's debt. *********** 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 2016. 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 * * *