/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/160415.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, April 15, 2016, Vol. 17, No. 74 Headlines A N T I G U A & B A R B U D A LIAT: Boss Departs; Airline Keeping Reason Under Wraps A R G E N T I N A CORDIAL COMPANIA: Moody's Withdraws Caa1/Not Prime Deposit Ratings PUENTE S.A.: Moody's Withdraws Caa1 Local Currency Issuer Rating B R A Z I L SAO PAULO: S&P Affirms 'BB' ICR; Outlook Remains Negative OI S.A.: Egan-Jones Cuts LC Sr. Unsecured Debt Rating to CCC- C A Y M A N I S L A N D S ANTIPASTO LTD: Shareholders Receive Wind-Up Report BRADFORD EXCHANGE: Shareholders to Hear Wind-Up Report on April 22 ECR MASTER: Shareholders to Hear Wind-Up Report on May 13 EOS CREDIT: Shareholders to Hear Wind-Up Report on May 13 GAMATONO ASSET: Shareholders to Hear Wind-Up Report on May 10 KUNDERA LTD: Shareholders Receive Wind-Up Report LEXI LIMITED: Shareholder to Hear Wind-Up Report on May 6 LOBSTER INVESTMENT: Sole Member to Hear Wind-Up Report on May 10 MOUNTAIN CAPITAL: Shareholders to Hear Wind-Up Report on May 8 RENJIAN ANTONG: Shareholders to Hear Wind-Up Report on April 20 SIROM LIMITED: Shareholders to Hear Wind-Up Report on April 29 D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Joins Regional Pension Network of the IDB DOMINICAN REPUBLIC: Leader Warns Against a Spiraling Foreign Debt J A M A I C A JAMAICA: Surpasses IMF Primary Surplus Target M E X I C O BANCO AHORRO: S&P Affirms 'B' ICRs; Outlook Remains Stable P A N A M A AVIANCA HOLDINGS: S&P Lowers CCR to 'B'; Outlook Stable P U E R T O R I C O ALONSO & CARUS: Applies for Final Decree Closing Case EFRON DORADO SE: Court Set to Hear Bid to Use Cash Collateral SPORTS AUTHORITY: Hires Irell & Manella as Special Counsel SPORTS AUTHORITY: Mirick, Sullivan File Rule 2019 Statement SPORTS AUTHORITY: Clark Hill Files Rule 2019 Statement SPORTS AUTHORITY: Davidoff Hutcher Representing Vendors SPORTS AUTHORITY: Laufer Files Rule 2019 Statement V I R G I N I S L A N D S BARING PRIVATE: Moody's Affirms B1 Corporate Family Rating X X X X X X X X X LATAM: IMF Says Region Can Expect a 2-Speed Economy - - - - - =============================== A N T I G U A & B A R B U D A =============================== LIAT: Boss Departs; Airline Keeping Reason Under Wraps ------------------------------------------------------ Caribbean360.com reports that regional airline LIAT, operating as Leeward Islands Air Transport, confirmed reports that its British- born Chief Executive Officer David Evans has resigned. But it has not addressed media reports that his decision followed "a heated meeting" with the Board in Barbados, according to Caribbean360.com. After meeting earlier, the Board of Directors announced in a statement that it had accepted Evans' resignation which came just shy of his two-year anniversary at the carrier, the report notes. Director of Finance Julie Reifer-Jones, who served as interim chief after the resignation of Captain Ian Brunton in September 2013 and before Evans was appointed on April 22, 2014, will again act as CEO, the report relays. "The Board of Directors thanks Mr. Evans for his service and wishes him every success in his future endeavors," the Antigua- based airline said in a brief statement, giving no hint as to the reason for the sudden departure of the CEO who has more than 35 years of experience in senior roles in the aviation industry, the report notes. Antigua and Barbuda Prime Minister Gaston Browne had told local media that he was informed that the Board had not accepted Evans' resignation, the report says. Minister Browne held out hope that Evans might reverse his decision and stayed on with the company, 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 ================= CORDIAL COMPANIA: Moody's Withdraws Caa1/Not Prime Deposit Ratings ------------------------------------------------------------------ Moody's Latin America Agente de Calificacion de Riesgo announced that it has withdrawn all of its ratings for Cordial Compania Financiera S.A. for business reasons. The following ratings of Cordial Compania Financiera S.A. were withdrawn: -- Long and short-term global local-currency deposit ratings, Caa1/Not Prime -- Long and short-term global foreign-currency deposit ratings, Caa2/Not Prime -- Long- term global local and foreign currency MTN debt rating: (P)Caa1 -- Long- term global local currency debt rating: Caa1 -- Long-term National Scale local-currency deposit rating: Baa2.ar -- Long-term National Scale foreign-currency deposit rating: Ba2.ar -- Long-term National Scale local and foreign currency MTN debt rating: Baa2.ar -- Long-term National Scale local currency debt rating: Baa2.ar -- Long and short term Counterparty Risk Assessment, B3(cr)/NP(cr) -- Adjusted Baseline Credit Assessment, caa1 -- Baseline Credit Assessment, caa1 -- Outlook, Changed To Rating Withdrawn From Positive(m) Cordial Compania Financiera S.A. is headquartered in Buenos Aires, Argentina, and as of December 2015 it had ARS 2,741.6 million in assets and ARS 283.97 million in equity. PUENTE S.A.: Moody's Withdraws Caa1 Local Currency Issuer Rating --------------------------------------------------------------- Moody's Latin America Agente de Calificacion de Riesgo announced that it has withdrawn all of its ratings for Puente S.A. for business reasons. The following ratings of Puente S.A. were withdrawn: Long-Term Global Scale Local Currency Issuer Rating: Caa1, positive outlook Long-Term Global Scale Local and Foreign Currency MTN Debt Rating: (P)Caa1 Long-Term Global Scale Local Currency Debt Rating: Caa1, positive outlook Long-Term National Scale Local Currency Issuer Rating: Baa2.ar, positive outlook Long-Term National Scale Local and Foreign Currency MTN Debt Rating: Baa2.ar Long-Term National Scale Local Currency Debt Rating: Baa2.ar, positive outlook Baseline Credit Assessment: caa1 Adjusted Baseline Credit Assessment: caa1 RATINGS RATIONALE Moody's has withdrawn the rating for its own business reasons. Please refer to the Moody's Investors Service's Policy for Withdrawal of Credit Ratings, available on its website, www.moodys.com.ar. Moody's National Scale Credit Ratings (NSRs) are intended as relative measures of creditworthiness among debt issues and issuers within a country, enabling market participants to better differentiate relative risks. NSRs differ from Moody's global scale credit ratings in that they are not globally comparable with the full universe of Moody's rated entities, but only with NSRs for other rated debt issues and issuers within the same country. NSRs are designated by a ".nn" country modifier signifying the relevant country, as in ".za" for South Africa. For further information on Moody's approach to national scale credit ratings, please refer to Moody's Credit rating Methodology published in June 2014 entitled "Mapping Moody's National Scale Ratings to Global Scale Ratings". Puente S.A. is headquartered in Buenos Aires, Argentina, and as of December 2015 it had ARS 2,158.4 million in assets and ARS 499.8 million in equity. =========== B R A Z I L =========== SAO PAULO: S&P Affirms 'BB' ICR; Outlook Remains Negative --------------------------------------------------------- Standard & Poor's Ratings Services affirmed its global scale 'BB' long-term foreign and local currency issuer credit ratings on the state of Sao Paulo. S&P also affirmed its national scale 'brAA-' rating on the state. The outlook on the long-term foreign and local currency and national scale ratings remains negative. RATIONALE The ratings on Sao Paulo mainly reflect its average budgetary flexibility, strong budgetary performance, as well as its satisfactory financial management compared with those of its domestic and international peers. Despite recession, S&P expects the state's own-source revenue to remain above 90% of its total revenue in fiscal 2016 and 2017. And S&P expects that Sao Paulo will maintain satisfactory financial management and strong budgetary performance in the next couple of years as a result of fiscal adjustment measures to keep deficits low in 2016 and 2017. The state economy, with an estimated GDP per capita of $12,000 for 2015, is stronger than those of other states such as Minas Gerais. However, S&P assess Sao Paulo's economy as weak in light of its 4.1% contraction in 2015 and Brazil's likely prolonged recession. As a result, the state's main tax revenue has shrunk during 2015 and so far in 2016. Also, S&P's view of Sao Paulo's liquidity as weak and its debt burden as high are rating constraints that will remain unchanged in the next couple of years. However, S&P views the state's contingent liabilities as moderate. Sao Paulo has limited ability to cut its operating expenses because about 75% of them consist of debt interest payments, personnel costs, and transfers to municipalities. These budgetary constraints are exacerbated by the limited access to external liquidity and the borrowing limits that the nation's Fiscal Responsibility Law imposes on local and regional governments (LRGs). Sao Paulo has what S&P views as strong budgetary performance compared with those of its domestic and international peers, with a deficit after capital expenditures (capex) of less than 1%. S&P includes in its debt analysis the state's payments to service suppliers. S&P don't expect Sao Paulo's overall budgetary performance to weaken significantly in 2016 and 2017, even if access to external financing becomes more uncertain than in the past few years. S&P estimates that the state's operating surplus will be about 4% of its operating revenue in 2016, down from 5% in 2015 and 8% in 2014. Due to recession, S&P assumes that Sao Paulo's tax revenue will continue to decline in real terms in 2016 and start to recover in 2017 if economic performance picks up. In S&P's opinion, for Sao Paulo to maintain its strong budgetary performance, it would have to restrict or cut its operating and capital expenses. Deficits after borrowings close to 5% of total revenue could hurt the state's finances amid limited external liquidity, tightening credit conditions, and already high debt burden. S&P's base-case scenario for 2016 excludes a potential debt refinancing agreement with the federal government, which could reduce Sao Paulo's annual debt service cost. However, S&P considers that if this refinancing occurs, it wouldn't fully compensate for the state's difficulties in financing this year's budget. Sao Paulo may have to maintain its capex levels similar to 2015 or reduce them if its internal cash flows drop to avoid widening deficits after capex higher than 1% of total revenue this year. Our base-case scenario for 2016 assumes the state will obtain approximately R$5 to $6 billion in loans from government-owned banks--mainly Banco do Brasil and Caixa Economica Federal--and from multilateral lending agencies. Sao Paulo will use these funds mainly to finance public transportation projects. Sao Paulo's consolidated debt reached R$275 billion as of Feb. 29, 2016, or equivalent to 140% of its expected operating revenue for that year, which is in line with S&P's base case. Although the state's debt level is likely to remain high, the debt-to-revenue ratio should drop to no more than 120% after 2018. Sao Paulo's debt level is higher than those of most of its domestic peers such as Santa Catarina but lower than those of its global peers' with the same rating such as the Autonomous Community of Valencia (BB/Stable/B). The state's contingent liabilities are moderate; S&P's analysis incorporates the impact from the cross-default clauses in Sao Paulo's government-related entities' loan agreements with the Brazilian Development Bank (BNDES). The state administration of Geraldo Alckmin from the Brazilian Social Democracy Party, who's currently serving his second term, maintains prudent fiscal policies that restrict operating spending amid falling revenue. In addition, S&P believes the administration will continue improving the quality of public- sector spending ("smart spending initiatives") and promoting public-private partnerships and large infrastructure investments during 2016. The governor has been actively participating with his counterparts from the Rio de Janeiro and Minas Gerais states in negotiations with the federal government on debt refinancing agreements, because these three states owe the bulk of debt Brazilian LRGs owe to the federal government. Sao Paulo generates more than 30% of Brazil's GDP; therefore, its growth prospects are tightly linked with the country's. The state is home to about a quarter of the nation's 190 million people. Given S&P's expectations that Brazil will continue to face grim economic prospects for the next two years, S&P expects the state of Sao Paulo's economy to follow a similar trend in 2016 and 2017. Sao Paulo, similar to its domestic peers, operates in what S&P views as an evolving and unbalanced institutional framework in Brazil with a weakening trend. The system that divides the fiscal powers between the central and the local and regional governments in Brazil is based on three key parameters that have remained in place for a long time and have gained strong political and economic support. S&P don't expect major significant changes in the intermediate term, and if they do occur, it will reassess its opinion on Brazilian LRGs' credit quality. Liquidity S&P considers Sao Paulo's liquidity as weak based on S&P's view of its relatively high debt service costs and limited access to external liquidity amid weak economy, which could delay its already approved loan disbursements. S&P also incorporates in its base-case scenario the federal government's restrictions in authorizing the state's new borrowings. S&P expects Sao Paulo to have a liquidity-to-debt service coverage ratio of about 60% in 2016. The state's debt service cost continues to be high in 2016 reaching R$18 billion. As of February 2016, the state payed debt service of R$2.5 billion compared to R$2.2 billion same period last year. If the state and the federal government agree on debt refinancing during 2016, it could save up to R$3 billion in annual debt service costs, which would benefit its liquidity position mostly in 2017. However, due to uncertainty over this agreement, S&P is excluding the savings in its base-case scenario for 2016. OUTLOOK The negative outlook on Sao Paulo reflects the outlook on Brazil because S&P don't believe that the state could have a higher rating than the sovereign. Also, the negative outlook reflects the weakening trend in the institutional framework, and the downward reassessment on the latter would likely trigger downgrades of most of Brazilian LRGs. S&P could also take a negative rating action if Sao Paulo's deficits after capex rise to more than 5% of total revenue, while the state finances them through additional debt or depletes its cash reserves in doing so. S&P could revise the outlook to stable to mirror a similar action on the sovereign. In accordance with S&P's relevant policies and procedures, the Rating Committee was composed of analysts that are qualified to vote in the committee, with sufficient experience to convey the appropriate level of knowledge and understanding of the methodology applicable. At the onset of the committee, the chair confirmed that the information provided to the Rating Committee by the primary analyst had been distributed in a timely manner and was sufficient for Committee members to make an informed decision. After the primary analyst gave opening remarks and explained the recommendation, the Committee discussed key rating factors and critical issues in accordance with the relevant criteria. Qualitative and quantitative risk factors were considered and discussed, looking at track-record and forecasts. The committee's assessment of the key rating factors is reflected in the Ratings Score Snapshot above. The chair ensured every voting member was given the opportunity to articulate his/her opinion. The chair or designee reviewed the draft report to ensure consistency with the Committee decision. The views and the decision of the rating committee are summarized in the above rationale and outlook. The weighting of all rating factors is described in the methodology used in this rating action. RATINGS LIST Ratings Affirmed Sao Paulo (State of) Issuer Credit Rating Global Scale BB/Negative/-- Brazil National Scale brAA-/Negative/-- OI S.A.: Egan-Jones Cuts LC Sr. Unsecured Debt Rating to CCC- ------------------------------------------------------------- Egan-Jones Ratings Company downgraded local currency senior unsecured rating on debt issued by Oi S.A. to CCC- from B+ and foreign currency senior unsecured rating to CCC- from BB+ on March 29, 2016. EJR also lowered the Company's local currency commercial paper rating to C from A3 and foreign currency commercial paper rating to C from B. Oi SA is a Brazil-based company engaged in the operation of switched fixed-line telephony services (STFC) concessions. The Company is active in the provision of STFC as a local and intraregional long-distance carrier. ========================== C A Y M A N I S L A N D S ========================== ANTIPASTO LTD: Shareholders Receive Wind-Up Report -------------------------------------------------- The shareholders of Antipasto Ltd. received on March 23 2016, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Amicorp Cayman Fiduciary Limited The Grand Pavilion Commercial Centre, 2nd Floor 802 West Bay Road P.O. Box 10655 Grand Cayman KY1-1006 Cayman Islands c/o Nicole Ebanks-Sloley Telephone: (345) 943-6055 BRADFORD EXCHANGE: Shareholders to Hear Wind-Up Report on April 22 ------------------------------------------------------------------ The shareholders of Bradford Exchange A.G. will hear on April 22, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Richard W. Tinberg Walkers 190 Elgin Avenue George Town Grand Cayman KY1-9001 Cayman Islands Telephone: (345) 914 6365 ECR MASTER: Shareholders to Hear Wind-Up Report on May 13 --------------------------------------------------------- The shareholders of ECR Master Fund Limited will hear on May 13, 2016, at 4:00 p.m., the liquidator's report on the company's wind- up proceedings and property disposal. The company's liquidator is: Nicola Cowan DMS Corporate Services Ltd. Telephone: (345) 946 7665 Facsimile: (345) 949 2877 dms House, 2nd Floor P.O. Box 1344 Grand Cayman KY1-1108 Cayman Islands EOS CREDIT: Shareholders to Hear Wind-Up Report on May 13 --------------------------------------------------------- The shareholders of EOS Credit Recovery Offshore Limited will hear on May 13, 2016, at 4:00 p.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Nicola Cowan DMS Corporate Services Ltd. Telephone: (345) 946 7665 Facsimile: (345) 949 2877 dms House, 2nd Floor P.O. Box 1344 Grand Cayman KY1-1108 Cayman Islands GAMATONO ASSET: Shareholders to Hear Wind-Up Report on May 10 ------------------------------------------------------------- The shareholders of Gamatono Asset Management Co will hear on May 10, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Lion International Management Limited Craigmuir Chambers Road Town Tortola VG1110 British Virgin Islands KUNDERA LTD: Shareholders Receive Wind-Up Report ------------------------------------------------ The shareholders of Kundera Ltd. received on March 23, 2016, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Amicorp Cayman Fiduciary Limited The Grand Pavilion Commercial Centre, 2nd Floor 802 West Bay Road P.O. Box 10655 Grand Cayman KY1-1006 Cayman Islands c/o Nicole Ebanks-Sloley Telephone: (345) 943-6055 LEXI LIMITED: Shareholder to Hear Wind-Up Report on May 6 --------------------------------------------------------- The shareholder of Lexi Limited will hear on May 6, 2016, at 9:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Intertrust SPV (Cayman) Limited 190 Elgin Avenue, George Town Grand Cayman KY1-9005 Cayman Islands c/o Susan Craig Telephone: (345) 943-3100 LOBSTER INVESTMENT: Sole Member to Hear Wind-Up Report on May 10 ---------------------------------------------------------------- The sole member of Lobster Investment Ltd. will hear on May 10, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Lion International Management Limited Craigmuir Chambers Road Town Tortola VG1110 British Virgin Islands MOUNTAIN CAPITAL: Shareholders to Hear Wind-Up Report on May 8 -------------------------------------------------------------- The shareholders of Mountain Capital CLO IV, Ltd. will hear on May 8, 2016, at 10:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Darren Riley c/o Summit Management Limited Suite # 4-210 Governors Square 23 Lime Tree Bay Avenue P.O. Box 32311 Grand Cayman KY1-1209 Cayman Islands RENJIAN ANTONG: Shareholders to Hear Wind-Up Report on April 20 --------------------------------------------------------------- The shareholders of Renjian Antong International Holdings Limited will hear on April 20, 2016, at 9:00 a.m., the liquidator's report on the company's wind-up proceedings and property disposal. 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 SIROM LIMITED: Shareholders to Hear Wind-Up Report on April 29 -------------------------------------------------------------- The shareholders of Sirom Limited will hear on April 29, 2016, the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Citron 2004 Limited Telephone: + 44 1534 282276 Facsimile: + 44 1534 282400 23-25 Broad Street St Helier Jersey JE4 8ND Telephone: 01534 282147 =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Joins Regional Pension Network of the IDB ------------------------------------------------------------- Dominican Today reports that the Inter-American Development Bank launched a project that seeks to improve the institutional and technical capacity of pension institutions in Latin America and the Caribbean, the bank said in a statement. Through the project called Pension Network in Latin America and the Caribbean (PLAC Red), the IDB will finance activities for pension institutions in the region have access to the best practices of other countries and the rest of the world, according to Dominican Today. "This international cooperation includes courses, workshops, technical assistance consultancies government officials and international experts," the report notes. "The limited coverage and insufficient implementation of social security laws pose significant challenges for Latin America and the Caribbean. Achieving universal coverage is necessary to rethink pension systems in the region, said Solange Berstein, IDB Pension specialist, during the presentation of the PLAC network," the report relays. The project has a budget of US$400,000 and so far have formalized their integration into the PLAC 13 countries: Brazil, Chile, Colombia, Costa Rica, El Salvador, Haiti, Honduras, Jamaica, Mexico, Panama, Peru, Dominican Republic and Uruguay, the report notes. The presentation in the Uruguayan capital formed part of the annual meeting of the International Association of Pension Fund Supervisors (IDRA), 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'. DOMINICAN REPUBLIC: Leader Warns Against a Spiraling Foreign Debt ----------------------------------------------------------------- Dominican Today reports that the National Business Council (CONEP) president Rafael Blanco said one of his sector's priorities is to make the Dominican economy an exporter, because in his view, if the country doesn't solve the trade deficit, "development may will difficult." Mr. Blanco suggested a halt to external borrowing and avert going to the International Monetary Fund, according to Dominican Today. "There's also the issue of labor reform, because until the Labor Code is modernized the country won't be able to increase wages the way they should be," Mr. Blanco said, the report notes. Mr. Blanco said changes must be made because the foreign debt is taking very high portion of GDP and leads to the consumption of a very important part of tax revenues, the report relays. "And any fiscal deficit may end up being covered with external debt, because there's no ability to raise those resources internally," he added. Mr. Blanco said that the only way to stop this process is through an electricity pact to eliminate sector subsidies and a fiscal pact that really rationalizes government spending and allows it to increase tax revenues, notes the report. "I don't want to think that the Dominican Republic would have to go back to an agreement with the International Monetary Fund to manage the country's economy, and that scenario could arise from not taking serious measures in the Dominican Republic to control the issue of debt," Mr. Blanco said, after a gathering with major opposition party (PRM) presidential candidate Luis Abinader, the report notes. 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: Surpasses IMF Primary Surplus Target --------------------------------------------- RJR News reports that Jamaica surpassed the International Monetary Fund's (IMF) Primary Surplus target for the 11-month period ending February this year. It amounted to J$80.1 billion, according to RJR News. Co-Chairman of the Economic Program Oversight Committee (EPOC), Richard Byles, says this was J$800 million above budget, and puts the country in a good position to achieve the $120.7 billion target for the January to March quarter, the report notes. During the EPOC's monthly media briefing, Mr. Byles added that Jamaica's Net International Reserves totaled US$2.4 billion at the end of March, ahead of the IMF's target of US$1.5 billion, the report relays. According to Mr. Byles, tax inflows continue to perform well, despite the overall revenue intake of $387.2 billion at the end of February, being $1.5 billion below target, the report relays. Mr. Byles indicated that the tax revenue out turn amounted to $354.6 billion which was $1.5 billion above budget, the report notes. The EPOC Co-Chairman said the top performing categories were - company tax, which was $1.9 billion above target; tax on interest which was $1.7 billion over budget; and Special Consumption Tax, up $1.5 billion, the report discloses. The under-performing categories included: telephone tax, which declined by $1.4 billion; customs duty, down $1.2 billion and tax on dividends, which fell by $900 million, 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. =========== M E X I C O =========== BANCO AHORRO: S&P Affirms 'B' ICRs; Outlook Remains Stable ---------------------------------------------------------- Standard & Poor's Ratings Services affirmed its 'B' global scale and 'mxBBB-/mxA-3' national scale issuer credit ratings on Banco Ahorro Famsa S.A. Institucion de Banca Multiple (BAF). The outlook remains stable. The issuer credit ratings on BAF reflect its core status to Grupo Famsa (GFamsa; B/Stable/--) because S&P believes both entities share the same customer base, brand, and reputation. Also, BAF's strategy is closely linked with the group's; therefore, it's highly unlikely that bank will be sold. GFamsa has shown a strong long-term commitment to the bank by supporting it in the previous few years under stressful conditions. The issuer credit rating on BAF received one notch of support, higher than its stand-alone credit profile (SACP) of 'b-', due to the bank's core status. The ratings also reflect S&P's view of the bank's business position as weak mainly due to a revenue concentration in the Famsa's credit card business. S&P also views its capital and earnings as adequate, based on its forecasted risk-adjusted capital (RAC) ratio of 8.7% on average for the next 18 months. The ratings also reflect S&P's assessment of BAF's risk position as very weak because its nonperforming assets (NPAs) and net charge-offs (NCOs) ratios--although gradually improved in the past 12 months--remain weaker than those of banks that operate in countries with the same Banking Industry Country Risk Assessment (BICRA) economic risk score and of the Mexican financial system average. The ratings also incorporate S&P's assessment of BAF's funding as average and its liquidity as adequate. =========== P A N A M A =========== AVIANCA HOLDINGS: S&P Lowers CCR to 'B'; Outlook Stable ------------------------------------------------------- Standard & Poor's Ratings Services lowered its corporate credit rating on Avianca Holdings S.A. to 'B' from 'B+'. The outlook is stable. At the same time, S&P lowered its issue-level rating on the company's $550 million senior unsecured notes due 2020 to 'B-' from 'B'. The downgrade reflects continued weakness in the company's continued operating performance, leading to key credit metrics that fell short of S&P's original expectations--around $764 million of EBITDA and $508 million of FFO, with a debt to EBITDA ratio of 5.9x and FFO to debt of 11.3x, respectively. Although, S&P projects that financial performance would gradually improve in 2016, it believes its key credit metrics will be in line with a highly leveraged financial risk profile (debt to EBITDA roughly below 5.0x and FFO to debt of 13.5% over the next 12 months). In S&P's opinion, its key credit metrics will continue to be highly exposed and sensitive to regional macroeconomic and foreign exchange conditions. Avianca has faced a combination of challenges in 2015 and during the first quarter of 2016, including regional sluggish macroeconomic growth that impacted ticket demand and consumption patterns. It also faced exchange rate volatility with a 40% depreciation of the Colombian peso (COP) in 2015 (COP2,749) compared to 2014 (COP2,000 per U.S dollar). In S&P's view, these challenges also hampered the company's ability to increase fares and to pass through costs to consumers, which hurt its margins. The stable outlook reflects S&P's view that Avianca's credit metrics will remain exposed to sluggish economic growth and a volatile exchange rate over the next 12 months, which would result in a highly leveraged financial risk profile with debt to EBITDA of about 5.0x and FFO to debt slightly above 12%. A downgrade is possible if adverse industry conditions--such as lower-than-expected economic growth and foreign exchange volatility, a prolonged spike in jet fuel prices, increased competition, or the incurrence of additional debt for fleet renewal program--weaken the company's operating margins and lead to debt to EBITDA of more than 5.0x or FFO to debt below 12% on a sustained basis. Although unlikely in the short to medium term, S&P could raise the ratings if the company's operating performance is above S&P's expectations, which would result in debt to EBITDA well below 5.0x and FFO to debt well above 12% as a consequence of improved conditions in the markets (such as a boost in regional economic growth or COP appreciation against the dollar). ====================== P U E R T O R I C O ====================== ALONSO & CARUS: Applies for Final Decree Closing Case ----------------------------------------------------- Alonso & Carus Iron Works, Inc., asks the U.S. Bankruptcy Court for the District of Puerto Rico for the issuance of a final decree closing its Chapter 11 case. The Debtor contends that the Plan has been substantially consummated and accordingly, the Court can issue a final decree if no opposition to its application is filed. Alonso & Carus Iron Works is represented by: Charles A. Cuprill-Hernandez, Esq. CHARLES A. CUPRILL, P.S.C. LAW OFFICES 356 Fortaleza Street, Second Floor San Juan, PR 00901 Telephone: (787)977-0515 Facsimile: (787)977-0518 E-mail: ccuprill@cuprill.com About Alonso & Carus Iron Works Alonso & Carus Iron Works, Inc., is the largest integrated structural steel and tank builder in Puerto Rico. The Company provides a full range of design, engineering, construction and erection services through an innovative, responsive and customer focused organization. The Company has participated in the construction of hundreds of demanding and challenging projects, including many landmarks in Puerto Rico and the Caribbean that showcase the superior capabilities of steel. Alonso & Carus Iron Works sought Chapter 11 protection (Bankr. D.P.R. Case No. 15-02250) in Old San Juan, Puerto Rico, on March 27, 2015. The case is assigned to Judge Enrique S. Lamoutte Inclan. The Catano, Puerto Rico-based debtor has filed schedules of assets and liabilities, disclosing $23,028,113 in total assets and $14,919,146 in total debt. EFRON DORADO SE: Court Set to Hear Bid to Use Cash Collateral ------------------------------------------------------------- A bankruptcy court is set to hear a motion of Efron Dorado SE to use the cash collateral of PR Asset Portfolio 2013-1 International Sub 1, LLC. The U.S. Bankruptcy Court in Puerto Rico will take up the motion at a hearing on May 18, 2016. PRAPI asserts a lien on the company's accounts receivable arising from the operation of a shopping center in Dorado, Puerto Rico. Efron Dorado is the owner of the real property where the shopping center is located, according to court filings. PRAPI had earlier opposed the use of its cash collateral, saying it should not be forced to finance a bankruptcy proceeding that "appears to have a minimum, if any, probability of reorganization." About Efron Dorado Se Efron Dorado Se, based in San Juan, Puerto Rico, filed for Chapter 11 bankruptcy protection (Bankr. D.P.R. Case No. 16-00283) on Jan. 20, 2016. The petition was signed by David Efron, partner. Charles Alfred Cuprill, Esq., at Charles A Cuprill, PSC Law Office, serves as its bankruptcy counsel. In its petition, the Debtor listed total assets of $33.2 million and total debt of $15.2 million. According to the schedules, the Debtor owns the shopping mall known as Paseo Del Plata Shopping Center located in Dorado, Puerto Rico; a parcel of land consisting of 80 Cuerdas, identified as Quintas De Dorado; and a parcel of land consisting of 30 Cuerdas known as Hernandez Farm. SPORTS AUTHORITY: Hires Irell & Manella as Special Counsel ---------------------------------------------------------- Sports Authority Holdings, et al. seek authorization from the U.S. Bankruptcy Court for the District of Delaware to employ Irell & Manella LLP as special counsel, nunc pro tunc to March 4, 2016, to represent them in connection with the DIP Credit Agreement and any further issues that might arise in which the Court or the parties believe that the Applicant Debtors should be represented by separate counsel. In connection with these services, Irell anticipates preparing, on behalf of the Applicant Debtors, any necessary legal papers; appearing in Court and protecting the interests of the Applicant Debtors before the Court; and performing all other legal services for the Applicant Debtors that may be necessary and proper in these proceedings for the purposes of this engagement. Irell & Manella will be paid at these hourly rates: Jeffrey M. Reisner $1,135 Michael H. Strub, Jr. $895 Kerri Lyman $870 Irell & Manella will also be reimbursed for reasonable out-of-pocket expenses incurred. Jeffrey M. Reisner, partner of Irell & Manella, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. The Bankruptcy Court will hold a hearing on the motion on April 26, 2016, at 11:30 a.m. Objections were due April 6, 2016. Irell & Manella can be reached at: Jeffrey M. Reisner, Esq. Michael H. Strub, Jr., Esq. IRELL & MANELLA LLP 840 Newport Beach Blvd. Newport Beach, CA 92660 Tel: (949) 760-0991 Fax: (949) 760-5200 E-mail: jreisner@irell.com mstrub@irell.com About Sports Authority Holdings Sports Authority Holdings, et al., are sporting goods retailers with roots dating back to 1928. The Debtors currently operate 464 stores and five distribution centers across 40 U.S. states and Puerto Rico. The Debtors offer a broad selection of goods from a wide array of household and specialty brands, including Adidas, Asics, Brooks, Columbia, FitBit, Hanesbrands, Icon Health and Fitness, Nike, The North Face, and Under Armour, in addition to their own private label brands. The Debtors employ 13,000 people. Sports Authority and six of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10527 to 16-10533) on March 2, 2016. The petitions were signed by Michael E. Foss as chairman & chief executive officer. The Debtors have engaged Gibson, Dunn & Crutcher LLP as general counsel, Young Conaway Stargatt & Taylor, LLP as co-counsel, Rothschild Inc. as investment banker, FTI Consulting, Inc., as financial advisor and Kurtzman Carson Consultants LLC as notice, claims, solicitation, balloting and tabulation agent. Lawyers at Pachulski Stang Ziehl & Jones LLP represent the Official Committee of Unsecured Creditors. SPORTS AUTHORITY: Mirick, Sullivan File Rule 2019 Statement ----------------------------------------------------------- Mirick, O'Connell, DeMallie & Lougee LLP and Sullivan Hazeltine Allinson LLC disclosed in a court filing that they were hired by WS Asset Management, Inc. to represent TSA Stores Inc.'s landlords. WS Asset is the managing agent of Route 140 School Street LLC and Cape Town Plaza LLC, which hold claims against TSA Stores, an affiliate of Sports Authority Holdings Inc. The law firms further disclosed that they were also hired by New England Development Inc., the managing agent of CLPF - Marketplace LLC, Solomon Pond Mall LLC and Westwood Marketplace Holdings LLC. TSA Stores owes the landlords under their lease contracts, according to the firms. Both firms said they do not hold any claims against or interests in TSA Stores and its affiliates. The firms made the disclosure pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure. The firms can be reached through: Elihu E. Allinson III Sullivan Hazeltine Allinson LLC 901 North Market Street, Suite 1300 Wilmington, DE 19801 Tel: (302) 428-8191 Fax: (302) 428-8195 -- and -- Paul W. Carey, Esq. Mirick, O'Connell, DeMallie & Lougee, LLP 100 Front Street Worcester, MA 01608-1477 Phone: (508) 791-8500 Fax: (508) 791-8502 E-mail: pcarey@mirickoconnell.com About Sports Authority Holdings Sports Authority Holdings, et al., are sporting goods retailers with roots dating back to 1928. The Debtors currently operate 464 stores and five distribution centers across 40 U.S. states and Puerto Rico. The Debtors offer a broad selection of goods from a wide array of household and specialty brands, including Adidas, Asics, Brooks, Columbia, FitBit, Hanesbrands, Icon Health and Fitness, Nike, The North Face, and Under Armour, in addition to their own private label brands. The Debtors employ 13,000 people. Sports Authority and six of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10527 to 16-10533) on March 2, 2016. The petitions were signed by Michael E. Foss as chairman & chief executive officer. The Debtors have engaged Gibson, Dunn & Crutcher LLP as general counsel, Young Conaway Stargatt & Taylor, LLP as co-counsel, Rothschild Inc. as investment banker, FTI Consulting, Inc., as financial advisor and Kurtzman Carson Consultants LLC as notice, claims, solicitation, balloting and tabulation agent. Andrew Vara, Acting U.S. trustee for Region 3, appointed seven creditors of Sports Authority Holdings Inc. to serve on the official committee of unsecured creditors. SPORTS AUTHORITY: Clark Hill Files Rule 2019 Statement ------------------------------------------------------ Clark Hill PLC disclosed in a court filing that it represents these companies in the Chapter 11 cases of Sports Authority Holdings and its affiliates: (1) Ramco-Gershenson Properties, L.P. c/o Bryan William, Legal Liaison Ramco-Gershenson, Inc. 31500 Northwestern Highway, Ste. 300 Farmington Hills, MI 48334 (2) Janaf Shopping Center, LLC c/o Maggie Spillane, Regional Director McKinley, Inc. 5900 E. Virginia Beach Blvd., Suite 520 Norfolk, VA 23502 (3) U.S. 41 & 1285 Company, LLC c/o Megan Luhrman, JD Mall Properties, Inc. 550 New Albany Rd. East, Ste. 200 New Albany, OH 43054 (4) Bayshore Town Center, LLC c/o Megan Luhrman, JD Mall Properties, Inc. 550 New Albany Rd. East, Ste. 200 New Albany, OH 43054 (5) Edens Plaza, LLC c/o Douglas McMahon, VP and Associate General Counsel Joseph Freed and Associates LLC 11 E. Madison St., Suite L-100 Chicago, IL 60602 The companies hold unsecured claims, unsecured rejection claims and administrative claims for unpaid rent and other charges, the firm further disclosed. Clark Hill made the disclosure pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure. The firm can be reached through: David M. Blau, Esq. Clark Hill PLC 151 S. Old Woodward Ave., Ste. 200 Birmingham, MI 48009 Phone: 248-988-1817 Fax: 248-988-2336 Email: dblau@clarkhill.com About Sports Authority Holdings Sports Authority Holdings, et al., are sporting goods retailers with roots dating back to 1928. The Debtors currently operate 464 stores and five distribution centers across 40 U.S. states and Puerto Rico. The Debtors offer a broad selection of goods from a wide array of household and specialty brands, including Adidas, Asics, Brooks, Columbia, FitBit, Hanesbrands, Icon Health and Fitness, Nike, The North Face, and Under Armour, in addition to their own private label brands. The Debtors employ 13,000 people. Sports Authority and six of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10527 to 16-10533) on March 2, 2016. The petitions were signed by Michael E. Foss as chairman & chief executive officer. The Debtors have engaged Gibson, Dunn & Crutcher LLP as general counsel, Young Conaway Stargatt & Taylor, LLP as co-counsel, Rothschild Inc. as investment banker, FTI Consulting, Inc., as financial advisor and Kurtzman Carson Consultants LLC as notice, claims, solicitation, balloting and tabulation agent. Andrew Vara, Acting U.S. trustee for Region 3, appointed seven creditors of Sports Authority Holdings Inc. to serve on the official committee of unsecured creditors. SPORTS AUTHORITY: Davidoff Hutcher Representing Vendors ------------------------------------------------------- To comply with Rule 2019 of the Federal Rules of Bankruptcy Procedure in In re Sports Authority Holdings, Inc., et al., two law firms disclose that they represent three consignment vendors individually and the three clients do not constitute a committee in Sports Authority's chapter 11 cases. The three consignment vendors are: -- Castlewood Apparel Corp.; -- Warnaco Swimwear Products. Inc.; and -- GI Sportz Inc. The two law firms are: David H. Wander, Esq. DAVIDOFF, HUTCHER & CITRON, LLP 605 Third Avenue New York, New York 10158 Telephone: (212) 557-7200 E-mail: dhw@dhclegal.com -and- Frederick B. Rosner, Esq. Scott J. Leonhardt, Esq. THE ROSNER LAW GROUP LLC 824 North Market Street, Suite 810 Wilmington, Delaware 19801 Telephone: (302) 777-1111 E-mail: rosner@teamrosner.com leonhardt@teamrosner.com About Sports Authority Holdings Sports Authority Holdings, et al., are sporting goods retailers with roots dating back to 1928. The Debtors currently operate 464 stores and five distribution centers across 40 U.S. states and Puerto Rico. The Debtors offer a broad selection of goods from a wide array of household and specialty brands, including Adidas, Asics, Brooks, Columbia, FitBit, Hanesbrands, Icon Health and Fitness, Nike, The North Face, and Under Armour, in addition to their own private label brands. The Debtors employ 13,000 people. Sports Authority and six of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10527 to 16-10533) on March 2, 2016. The petitions were signed by Michael E. Foss as chairman & chief executive officer. The Debtors have engaged Gibson, Dunn & Crutcher LLP as general counsel, Young Conaway Stargatt & Taylor, LLP as co-counsel, Rothschild Inc. as investment banker, FTI Consulting, Inc., as financial advisor and Kurtzman Carson Consultants LLC as notice, claims, solicitation, balloting and tabulation agent. Lawyers at Pachulski Stang Ziehl & Jones LLP represent the Official Committee of Unsecured Creditors. SPORTS AUTHORITY: Laufer Files Rule 2019 Statement -------------------------------------------------- Laufer and Padjen LLC disclosed in a court filing that it represents these creditors in the Chapter 11 cases of Sports Authority Holdings and its affiliates: (1) West Vail Mall Corp. 299 Milwaukee Street Suite 500 Denver, Colorado 80206 (2) Gart Real Estate Company LLP 299 Milwaukee Street Suite 500 Denver, Colorado 80206 (3) 1000 BDWY Co., LLP 299 Milwaukee Street Suite 500 Denver, Colorado 80206 (4) Najem Co., LLP West Vail Mall Corp., a Colorado corporation 299 Milwaukee Street Suite 500 Denver, Colorado 80206 (5) 1001 Lincoln Limited Liability Company 299 Milwaukee Street Suite 500 Denver, Colorado 80206 The creditors may hold unsecured claims and administrative claims for unpaid rent and other charges, the firm further disclosed. Laufer made the disclosure pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure. The firm can be reached through: Joel Laufer, Esq. Laufer and Padjen LLC 5290 DTC Parkway, Suite 150 Englewood, CO 80111 Phone: (303) 830-3172 Email: jl@jlrplaw.com About Sports Authority Holdings Sports Authority Holdings, et al., are sporting goods retailers with roots dating back to 1928. The Debtors currently operate 464 stores and five distribution centers across 40 U.S. states and Puerto Rico. The Debtors offer a broad selection of goods from a wide array of household and specialty brands, including Adidas, Asics, Brooks, Columbia, FitBit, Hanesbrands, Icon Health and Fitness, Nike, The North Face, and Under Armour, in addition to their own private label brands. The Debtors employ 13,000 people. Sports Authority and six of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10527 to 16-10533) on March 2, 2016. The petitions were signed by Michael E. Foss as chairman & chief executive officer. The Debtors have engaged Gibson, Dunn & Crutcher LLP as general counsel, Young Conaway Stargatt & Taylor, LLP as co-counsel, Rothschild Inc. as investment banker, FTI Consulting, Inc., as financial advisor and Kurtzman Carson Consultants LLC as notice, claims, solicitation, balloting and tabulation agent. Andrew Vara, Acting U.S. trustee for Region 3, appointed seven creditors of Sports Authority Holdings Inc. to serve on the official committee of unsecured creditors. =========================== V I R G I N I S L A N D S =========================== BARING PRIVATE: Moody's Affirms B1 Corporate Family Rating ---------------------------------------------------------- Moody's Investors Service has affirmed the corporate family rating (CFR) of Baring Private Equity Asia VI Holding (1) Ltd (Vistra) at B1. At the same time, Moody's has affirmed the B1 rating on the USD515 million first lien term loan due 2022 (of which EUR238 million was funded in Euros) and on the USD50 million revolving credit facility, as well as the B2 rating on the USD185 million second lien term loan due 2023 (of which EUR78.5 million was funded in Euros). The rating outlook has been revised to negative from stable. List of affected ratings: Affirmations: -- Issuer: Baring Private Equity Asia VI Holding (1) Ltd (Vistra) -- Corporate Family Rating, at B1 -- $50 million SR SEC REVOLVING CREDIT FACILITY due 2020, at B1 -- $257.5 million SR SEC 1ST LIEN TERM LOAN B due 2022, at B1 -- EUR238 million SR SEC 1ST LIEN TERM LOAN B due 2022, at B1 -- $100 million SR SEC 2ND LIEN TERM LOAN due 2023, at B2 -- EUR78.5 million SR SEC 2ND LIEN TERM LOAN due 2023, at B2 Outlook Actions: -- Issuer: Baring Private Equity Asia VI Holding (1) Ltd (Vistra) -- Outlook, changed to Negative from Stable RATINGS RATIONALE "The change in Vistra's outlook to negative reflects the larger- than-expected share of debt-funding used for its recent acquisitions, and our view that it could take longer to deleverage than we had earlier anticipated if it continues its current pace of acquisitions," says Brian Grieser, a Moody's Vice President and Senior Analyst. Vistra's acquisition of IL&FS Trust Company Limited (ITCL), the largest independent Corporate Trust Services provider in India, will be its fifth acquisition since Baring Asia acquired and merged Vistra and the Orangefield Group in October of 2015. Vistra announced the ITCL acquisition on 12 April 2016. "Pro forma for the ITCL acquisition, we expect the company's gross leverage to be around 6.5x from just over 6.0x at close of Baring Asia's leveraged buy-out." The B1 rating balances Vistra high post-acquisition leverage with the expectation that solid growth prospects, both organic and acquired, will lead to rapid deleveraging in 2016 and 2017. "While the B1 CFR captures Vistra's intention to execute strategic bolt-on acquisitions, the velocity of these acquisitions relative to its free cash flow generation and EBITDA growth has exceeded expectations," adds Grieser, who is also the lead analyst for Vistra. The B1 CFR continues to capture (1) Vistra's strong market position in the fragmented corporate and trust services industry; (2) the high barriers to entry, fostered by its long-standing relationships with a well-diversified customer base; (3) revenue and cash flow visibility driven by the multi-year nature of its structures; and (4) its good liquidity profile, supported by high cash balances. Vistra's ratings could be downgraded if its integration plans fail to provide synergies, the company deviates further from its plan to deleverage, new litigation or regulatory standards weaken its cash flow or earnings profile, or if the company undertakes another transformative acquisition over the next 12-18 months. Specifically, its ratings could be downgraded if (1) adjusted debt-to-EBITDA does not trend towards or below 5.0x in the next 6- 12 months; (2) sustained adjusted EBITA-to-interest expense drops below 2.0x; or (3) adjusted retained cash flow-to-net debt falls below 10%. A ratings upgrade is unlikely over the next two years given the negative outlook, and its high leverage. However, the outlook could return to stable if Vistra demonstrates a more balanced acquisition appetite, on a sustained basis, and its leverage trends towards or below 5.0x in the next 6-12 months. The principal methodology used in these ratings was Business and Consumer Service Industry published in December 2014. Please see the Ratings Methodologies page on www.moodys.com for a copy of this methodology. Vistra is a provider of corporate & trust services for companies (private companies, SMEs, listed companies), high net worth individuals and funds, with around 50% of gross fees generated in Asia, the rest primarily generated in Europe. Services include company formation and renewal services, corporate administration services, trustee and fiduciary services, fund services and family office services. Vistra employs over 2,200 employees in 58 offices across 39 jurisdictions. ================= X X X X X X X X X ================= LATAM: IMF Says Region Can Expect a 2-Speed Economy --------------------------------------------------- EFE News reports that the economy of Latin America and the Caribbean will contract some 0.5 percent this year, the International Monetary Fund said, though the northern part of the region is set to fare notably better than the south. These projections appear in the World Economic Outlook report, presented at the start of a joint meeting of the IMF and the World Bank in Washington, according to EFE News. The IMF says that, though the overall GDP of Latin America and the Caribbean will deflate in 2016 for the second straight year, economic growth will return to the region in 2017 with an expansion of 1.5 percent, the report notes. But in 2016 the plunging prices of oil and other commodities are dividing the region in two, the report relays. In this context, the IMF estimates that Mexico will continue growing at the moderate pace of 2.4 percent this year and 2.6 percent in 2017, thanks to the "robust U.S. economy" and healthy domestic demand, the report says. In Central America, Guatemala will grow by 4 percent this year, El Salvador by 2.5 percent, Honduras by 3.5 percent, Costa Rica by 4.2 percent, and Panama by 6.1 percent, the report notes. In the Caribbean, the Dominican Republic in 2016 will show a hike of 5.4 percent, the report adds. The other side of the coin is South America, where the drop in commodity prices and the deeper-than-forecast recession in Brazil are dragging the numbers down into negative territory, the report discloses. In 2016, Brazil will have its second straight year with a 3.8 percent decrease, the report relays. Among South American exporters of petroleum, Colombia will grow this year by 2.5 percent, down from 3.1 percent in 2015, while Venezuela will continue this year "sunk in a deep recession," as GDP dwindles a full 8 percent, following a 5.7 percent drop in 2015, the report notes. The Ecuadorian economy will shrink 4.5 percent in 2016. Argentina, according to the IMF, will drop 1 percent this year, while Chile will be up 1.5 percent in 2016, the report says. In Peru, growth will surge 3.7 percent this year, the IMF said, 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 2016. All rights reserved. ISSN 1529-2746. This material is copyrighted and any comillionercial 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 * * *