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        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, June 2, 2017, Vol. 18, No. 109


                            Headlines



A R G E N T I N A

BANCO FINANSUR: Moody's Withdraws Caa3 LT Sr. Unsec. Debt Rating
PROVINCE OF MENDOZA: S&P Gives B Rating to New ARP5.5BB Notes


B A R B A D O S

ACTAVO: Dismisses Almost a Dozen Workers


B R A Z I L

BANCO BBM: Moody's Revises Outlook to Negative; Affirms Ba1 Rating
BRASKEM SA: Moody's Revises Outlook to Neg.; Affirms Ba1 CFR
BRAZIL: Unemployment Rate Hits 13.6%
BRF SA: Moody's Revises Outlook to Neg.; Affirms Ba1 CFR
CENTRAIS ELETRICAS: Moody's Alters Outlook to Neg; Affirms Ba3 CFR

DESENVOLVE SP: Moody's Affirms Ba2 Issuer Rating; Outlook Now Neg.
FIBRIA CELULOSE: Moody's Revises Outlook to Neg.; Affirms Ba1 CFR
RIO DE JANEIRO: Moody's Affirms Ba2 Issuer Ratings; Outlook Neg.
SAO PAULO: Moody's Revises Outlook to Neg.; Affirms Ba2 Rating


C A Y M A N  I S L A N D S

ACCORD NUCLEAR: Commences Liquidation Proceedings
CENTRAL TOKYO HOLDINGS: Creditors' Proofs of Debt Due June 19
CENTRAL TOKYO INVESTMENTS: Creditors' Proofs of Debt Due June 19
CENTRAL TOKYO PROPERTIES: Creditors' Proofs of Debt Due June 19
CJC INVESTMENTS: Creditors' Proofs of Debt Due June 19

CRYSTAL FUND II: Commences Liquidation Proceedings
HAWKSEBURY FARMS: Creditors' Proofs of Debt Due June 13
IMBONDEIRO DEVELOPMENT: Creditors' Proofs of Debt Due June 12
SIRAJ GLOBAL: Creditors' Proofs of Debt Due July 21
SUMMIT PRIVATE: Placed Under Voluntary Wind-Up


C H I L E

LATAM AIRLINES: Moody's Affirms B1 CFR; Outlook Stable
DOMINICANPOWER PARTNERS: S&P Affirms BB- Rating on Notes


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Haitian Officials' Bars Entry of Products


E L  S A L V A D O R

BANCO AGRICOLA: S&P Affirms B-/B Issuer Credit Ratings


G U A T E M A L A

GUATEMALA: Fitch Rates US$500 Million Notes at BB


J A M A I C A

JAMAICA: Further Decline in Unemployment Rate, STATIN Says


M E X I C O

GRUPO KUO: S&P Affirms BB Global Scale Corp. Credit Rating
MEXICALI MUNICIPALITY: Moody's Affirms Caa1 GS Issuer Rating


U R U G U A Y

BANQUE HERITAGE: S&P Affirms B+ Rating & Alters Outlook to Stable
NAVIOUS LOGISTICS: S&P Alters Outlook to Stable & Affirms B- CCR


V E N E Z U E L A

PETROLEOS DE VENEZUELA: Goldman's $2.8BB Bond Buy Cause Uproar


                            - - - - -



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A R G E N T I N A
=================


BANCO FINANSUR: Moody's Withdraws Caa3 LT Sr. Unsec. Debt Rating
----------------------------------------------------------------
Moody's Latin America Agente de Calificacion de Riesgo announced
that it has withdrawn all of its ratings for Banco Finansur S.A.
for business reasons.

The following ratings of Banco Finansur S.A. were withdrawn:

- Long-term global local currency deposit rating, previously rated
  Caa3 with negative outlook

- Short-term global local currency deposit rating, previously
  rated Not Prime

- Long-term global foreign currency deposit rating, previously
  rated Caa3 with negative outlook

- Short-term global foreign currency deposit rating, previously
  rated Not Prime

- Long-term global local currency Senior Unsecured debt rating,
  previously rated Caa3 with negative outlook

- Long-term global local currency MTN Senior Unsecured program
  rating, previously rated (P)Caa3

- Argentinean long-term national scale local currency deposit
  rating, previously rated Caa3.ar, with negative outlook.

- Argentinean long-term national scale foreign currency deposit
  rating, previously rated Caa3.ar negative outlook

- Argentinean long-term national scale local currency Senior
  Unsecured debt rating, previously rated Caa3.ar with negative
  outlook

- Argentinean long-term national scale local currency MTN Senior
  Unsecured program rating, previously rated Caa3.ar

- Baseline credit assessment, previously rated caa3

- Adjusted baseline credit assessment, previously rated caa3

- Long-term counterparty risk assessment, previously rated
  Caa2(cr)

- Short-term counterparty risk assessment, previously rated Not
  Prime(cr)

RATINGS RATIONALE

Moody's has withdrawn the ratings for its own business reasons.

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 May
2016 entitled "Mapping National Scale Ratings from Global Scale
Ratings". While NSRs have no inherent absolute meaning in terms of
default risk or expected loss, a historical probability of default
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time. For information on
the historical default rates associated with different global
scale rating categories over different investment horizons.

Banco Finansur S.A. is headquartered in Buenos Aires, Argentina,
and as of March 2017 it had Ars 1,797.4 million ($116.9 million)
in assets and Ars 34.6 million ($2.3 million) in shareholders'
equity.


PROVINCE OF MENDOZA: S&P Gives B Rating to New ARP5.5BB Notes
-------------------------------------------------------------
S&P Global Ratings assigned its 'B' issue-level rating on the
Province of Mendoza's proposed senior unsecured notes for up to
Argentine Pesos (ARP) 5.5 billion. The province will use the
proceeds to make debt service payments, which S&P expects to reach
10.3% of Mendoza's operating revenue in 2017, and to fund the
annual operating deficit. S&P doesn't view this additional debt as
harmful to the province's financial profile, and S&P expects that
its moderate debt burden will continue to support Mendoza's credit
profile.

S&P said, "Adding the potential ARP5.5 billion issuance to our
estimate for the province's 2017 year-end debt stock, along with
other issuances and amortizations, we calculate that the
province's total debt stock will reach ARP31.8 billion by December
2017. Although Mendoza's debt will increase in nominal terms from
ARP26.1 billion in 2016, debt relative to operating revenue
will fall to around 49% from nearly 54%. This stems from our
expectations that still high inflation will compensate for the
impact of new net borrowings and currency depreciation, which we
expect to be less than in 2016, on Mendoza's operating revenues.

"The foreign currency rating on the province is the same as our
'B' global scale long-term issuer credit rating on Argentina.
Mendoza, like most Argentine local and regional governments (LRG),
doesn't meet the criteria to have a higher rating than the one on
the sovereign, mostly because the province's liquidity isn't
sufficient to cover all of its debt obligations."

Mendoza, like all LRGs in Argentina, still operates under a very
volatile and unbalanced institutional framework, in S&P's view.
However, S&P believes that there's a positive trend on the
predictability of the outcome of potential reforms and pace of
implementation. S&P expects moderate reforms of the distribution
of federal tax revenues to the LRGs. Also, in S&P's view, a more
consistent support from the federal government has allowed LRGs to
measure its short- and longer-term impact on their finances. S&P
views favorably the constructive dialogue between the federal and
subnational governments to solve the current institutional,
administrative, and budgetary challenges. As a result, a stronger
institutional framework could improve LRGs' credit quality
in the next few years.

At the same time, Mendoza's individual credit profile is
constrained by its rigid operating spending structure, limited
room to increase revenues, volatile budgetary performance, and
continued operating deficits and deficits after capex, and the
lack of cash reserves. On the other hand, the province's
debt burden and low contingent liabilities support Mendoza's
credit quality.

S&P said, "The stable outlook on Mendoza reflects our view of an
increasing dialogue between Argentina's LRGs and the federal
government to address various fiscal and economic challenges that
are expected to remain in the short to medium term. If we were to
raise our T&C assessment and the foreign currency rating on the
sovereign over the next 12 months, we could also upgrade Mendoza.
Such an upgrade would have to be accompanied by continued
strengthening in Argentina's institutional framework for LRGs or
in Mendoza's individual creditworthiness. Conversely, we could
lower the ratings on Mendoza if Argentina's economic performance
deteriorates consistently over the next couple of years, eroding
the province's revenue base beyond our expectations. Also, failure
to refinance existing debt in foreign and local currency as well
as unwillingness to service debt obligations could prompt us to
lower ratings within the next 12-18 months. We could also lower
our ratings on Mendoza if Argentina's T&C assessment weakens or if
we were to lower the sovereign local or foreign currency ratings."


===============
B A R B A D O S
===============


ACTAVO: Dismisses Almost a Dozen Workers
----------------------------------------
RJR News reports that close to a dozen Barbadian workers were
given their walking papers as part of ongoing restructuring by
Actavo, the Irish-headquartered company contracted by Digicel to
provide services.

The workers met with management at the company's Manor Lodge
office in Bridgetown after they were notified of the meeting by
letter, according to RJR News.

The notification had fueled anxiety among the workers about
pending job cuts, and those fears were realized, the report adds.


===========
B R A Z I L
===========


BANCO BBM: Moody's Revises Outlook to Negative; Affirms Ba1 Rating
------------------------------------------------------------------
Moody's America Latina (MAL) has changed the outlooks to negative,
from stable, of the global scale local currency debt and/or issuer
ratings assigned to Banco BBM S.A., Banco Daycoval S.A., BNDES
Participacoes S.A. - BNDESPAR, Itausa - Investimentos Itau S.A.
and BM&FBovespa S.A. At the same time, MAL affirmed all the
affected global scale ratings and corresponding national scale
ratings. These actions follow the announcements by Moody's
Investors Service that it had changed the outlooks on Brazil's Ba2
government bond rating and on certain ratings of the affected
issuers or their affiliates to negative from stable, on May 26,
2017 and May 31, 2017, respectively.

For additional information on bank ratings, please refer to the
webpage containing Moody's related announcements.

The following are the Brazilian entities covered in this press
release:

- Banco BBM S.A.

- Banco Daycoval S.A.

- BNDES Participacoes S.A. - BNDESPAR

- Itausa - Investimentos Itau S.A.

- BM&FBovespa S.A.

RATINGS RATIONALE

The rating actions were prompted by the change in outlook to
negative, from stable, on Brazil's sovereign bond rating, owing to
the rising threat to the economic recovery and to the country's
medium-term economic strength resulting from the increase in
uncertainty regarding reform momentum following recent political
events. Any slowdown in Brazil's tepid economic recovery, which
was expected to gain traction in the second half of the year, will
prolong the pressure on borrowers' repayment capacity and could
lead to increasing asset risks for Brazil's banks, just as these
risks looked to have peaked.

In turn, the pace of loan loss recoveries will slow as rising
delinquencies require banks to make additional provisions, which
put pressure on profits that were expected to start improving
thanks to resumed loan growth and declining funding costs.
Moreover, prospects for further reductions in funding costs could
be hampered if a confidence-related shock to the exchange rate
were to feed into higher inflation, limiting the Central Bank's
ability to deliver further rate cuts.

Consequently, Moody's changed the outlooks to negative, from
stable, and affirmed all ratings whose outlooks were revised, as
well as the Brazilian national scale ratings.

The affirmations consider that notwithstanding the recent increase
in downside risk, the affected bank's financial profiles
deteriorated much less than might have been expected over the past
several years and that their credit fundamentals have actually
begun to stabilize over the past three months. Since December
2016, the system's non-performing loan ratio (NPLs) and reserve
coverage have remained broadly stable at 3.8% and 6.8% of gross
loans, respectively, and collateralization remains adequate.
Moreover, banks continue to demonstrate a conservative risk
appetite, with lending activities contracting by 2.2% in the 12
month period ended in April 2017 notwithstanding a modest recovery
in new loan origination in the household segment. Nevertheless,
banks continue to post stable earnings, aided by resilient fee-
based income in the period and stable capitalization. Banks'
liquidity remains ample, and exposure to international funding
sources is low, reducing the system's vulnerability to an eventual
retraction of foreign institutional investors in times of
increased political uncertainties in Brazil.

WHAT COULD CHANGE THE RATING -- DOWN/UP

The affected ratings could face downward pressure if Brazil's
government bond rating is downgraded and its country ceilings
lowered. Downgrade pressure could also depend upon a deterioration
in the issuers' credit fundamentals that could arise from delay in
economic recovery or a return to a negative macro environment.
While there is no upward ratings pressure at the present time
given the negative outlook, the outlooks could be stabilized if
and when Brazil's sovereign outlook stabilizes.

The following ratings assigned to Banco BBM S.A. were affirmed:

-- Long-term global local-currency senior unsecured debt rating of
   Ba1; outlook changed to negative, from stable

-- Long-term Brazilian national scale senior unsecured debt rating
   of Aaa.br

The following ratings assigned to Banco Daycoval S.A. were
affirmed:

-- Long-term global local-currency senior unsecured debt rating of
   Ba2; outlook changed to negative, from stable

-- Long-term global local-currency senior unsecured MTN rating of
   (P)Ba2

-- Long-term Brazilian national scale senior unsecured debt rating
   of Aa2.br

-- Long-term Brazilian national scale senior unsecured MTN rating
   of Aa2.br

The following ratings assigned to BM&FBovespa S.A. were affirmed:

-- Long term global local currency senior unsecured debt rating of
   Ba1; outlook changed to negative, from stable

-- Long term Brazilian national scale debt rating of Aaa.br

The following ratings assigned to BNDES Participacoes S.A. -
BNDESPAR were affirmed:

-- Long-term global local-currency issuer rating of Ba2; outlook
   changed to negative, from stable

-- Long-term global local-currency senior unsecured debt rating of
   Ba2; outlook changed to negative, from stable

-- Long-term Brazilian national scale issuer rating of Aa1.br

-- Long-term Brazilian national scale senior unsecured debt rating
   of Aa1.br

Issuer Outlook, Changed to Negative from Stable

The following ratings assigned to Itausa - Investimentos Itau S.A.
were affirmed:

-- Long-term global local-currency issuer rating of Ba3; outlook
   changed to negative, from stable

-- Long-term Brazilian national scale issuer rating of A1.br

Issuer Outlook, Changed to Negative from Stable

METHODOLOGIES USED

The principal methodology used in rating Banco BBM S.A., Banco
Daycoval S.A., BNDES Participacoes S.A. - BNDESPAR and Itausa -
Investimentos Itau S.A. was Banks published in January 2016.

The principal methodology used in rating BM&FBovespa S.A. was
Securities Industry Service Providers, published in February 2017.


BRASKEM SA: Moody's Revises Outlook to Neg.; Affirms Ba1 CFR
------------------------------------------------------------
Moody's Investors Service has revised to negative from stable the
outlook for several companies operating in Brazil, while all
ratings were affirmed. The companies' outlook change follows the
change of outlook on Brazil's issuer rating to negative from
stable and affirmed its issuer, senior unsecured and shelf ratings
at Ba2 and (P)Ba2 respectively.

ISSUERS AND RATINGS AFFIRMED -- OUTLOOK CHANGED TO NEGATIVE

Braskem S.A.: the CFR and the foreign currency debt issuances of
Braskem Finance Ltd and Braskem America Finance Company, fully
guaranteed by Braskem S.A., were affirmed at Ba1. The outlook was
changed to negative from stable.

Cielo S.A.: the CFR and foreign currency senior unsecured notes
issued by Cielo S.A. and the backed foreign currency senior
unsecured notes issued by Cielo USA Inc. were affirmed at Ba1. The
outlook was changed to negative from stable.

Embraer S.A.: the CFR and the foreign currency senior unsecured
notes issued by Embraer S.A., and the backed foreign currency
senior unsecured notes issued by Embraer Overseas Limited and
Embraer Netherlands Finance BV ratings were affirmed at Ba1. The
outlook was changed to negative from stable.

Fibria Overseas Finance Limited.: the backed foreign currency
senior unsecured ratings of the notes guaranteed by Fibria
Celulose S.A. were affirmed at Ba1. The outlook was changed to
negative from stable.

Suzano Trading Ltd.: The Backed foreign currency senior unsecured
rating of the notes issued by Suzano Trading Ltd, a wholly-owned
subsidiary of Suzano Papel e Celulose S.A. ('Suzano') were
affirmed at Ba1. The outlook was changed to negative from stable.


Globo Comunicaáao e Participacoes S.A.: the CFR and foreign
currency senior unsecured debt ratings were affirmed at Ba1. The
outlook was changed to negative from stable.

Ultrapar Participacoes S.A.: the CFR of Ultrapar Participacoes S.A
(Ultrapar) and the backed foreign currency senior unsecured notes
due 2026 issued by Ultrapar International S.A, irrevocably and
unconditionally guaranteed by Ultrapar and by Ipiranga Produtos de
Petroleo S.A. were affirmed at Ba1. The outlook was changed to
negative from stable.

RATINGS RATIONALE

The rating affirmation and the change in outlook to negative for
these companies follows the change in Brazil's outlook to negative
from stable and the affirmation of its issuer rating, senior
unsecured and shelf ratings at Ba2 and (P)Ba2 respectively, on May
26, 2017, driven by the following factors:

First Driver: Rise in uncertainty regarding reform momentum
following recent political events

The stable outlook, previously assigned to Brazil's rating was
based on Moody's expectations that the observed improvement in
macroeconomic conditions would persist, reinforced by the strong
reform momentum witnessed under the Temer administration. Whatever
the outcome, the recent corruption allegations against the
President risk reversing the virtuous cycle between political
normalcy, reform implementation, and investor confidence that
underpinned the stabilization of economic conditions.

In recent months, the government has passed a number of important
reforms including a constitutional amendment to cap government
spending, and has promoted discussion in Congress of planned
social security reforms, which are critical to medium-term fiscal
sustainability. However, the controversy surrounding President
Temer will likely cause negotiations around social security reform
to stall, with the result that the reform does not pass in
Congress this year, as Moody's had previously expected.

Moreover, looking further ahead, with the focus of the
administration shifting towards the political crisis, the
government's ability to continue to develop and implement the
reforms needed to address Brazil's economic and fiscal malaise
will likely be undermined.

Second Driver: Prospects of deteriorating macroeconomic conditions
that will increase downside risks to the economic recovery

After two years of economic contraction, the economy has begun to
stabilize. Moody's expects modest GDP growth of 0.5% in 2017 with
inflation dropping to 4.0%, below the mid-point of the 4.5%
inflation target, but within the +/- 1.5% tolerance interval, and
remaining within the central bank target range, allowing the
central bank to continue monetary easing.

That recovery, and the related boost to Brazil's medium-term
economic strength, is threatened by the political crisis, which
will likely undermine investor confidence and increase financial
market volatility. Improved investor confidence was driven by the
government's focus on structural reforms and its ability to
deliver results in this area. In the current context, prolonged
political uncertainty and the risk of another leadership
transition will likely weigh on the incipient recovery. The
central bank's ability to deliver further rate cuts could be
hampered if a confidence-related shock to the exchange rate were
to feed into higher inflation, stunting the potential for a
positive impact on growth in 2018 and undermining fiscal savings
from lower interest payments on government debt.

As a consequence of these developments, downside risks to Moody's
growth forecasts for 2017 and 2018 have increased. Short-term
growth is generally of limited significance for credit ratings;
however, in Brazil's case, the persistence of the very significant
shock to growth witnessed in recent years would signal further
diminishing of economic strength in the medium-term.

RATIONALE FOR AFFIRMATION OF BRAZIL'S Ba2 RATING

Brazil's issuer rating at Ba2 reflects the strengths and
weaknesses of Brazil's credit profile. Below-potential economic
growth and weak fiscal metrics, which will result in continued
rise in government debt ratios over the next two to three years,
are important constraints on the rating. This is balanced against
Brazil's large and diversified economy, limited balance of
payments-related vulnerabilities, and recent reforms to arrest the
rise in government spending.

The negative outlook for the affected companies reflects Moody's
view that the creditworthiness of these companies cannot be
completely de-linked from the credit quality of the Brazilian
government, and thus their ratings need to closely reflect the
risk that they share with the sovereign. Moody's believes that a
weaker sovereign has the potential to create a ratings drag on
companies operating within its borders, and therefore it is
appropriate to limit the extent to which these issuers can be
rated higher than the sovereign, in line with Moody's Rating
Implementation Guidance "How Sovereign Credit Quality Can Affect
Other Ratings" published on March 16, 2015, and available on
www.moodys.com.


BRAZIL: Unemployment Rate Hits 13.6%
------------------------------------
EFE News reports that Brazil's unemployment rate was 13.6 percent
in the February-April period, with some 14 million people
classified as jobless, the Brazilian Institute of Geography and
Statistics (IBGE) said.

This is the highest unemployment rate for a three-month period
ending in April since 2012, when the jobless rate was 7.8 percent,
the IBGE said, according to EFE News.

The report notes that the unemployment rate during the period was
slightly lower than in the first quarter of 2017, when it hit 13.7
percent, the highest level since 2012, but it was higher than in
the three-month period ended Jan. 31, when the jobless rate was
12.6 percent.

During the February-April 2016 period, the unemployment rate came
in at 11.2 percent, the IBGE said, the report relays.

Brazil's high unemployment rate is a product of the severe
recession that has affected the economy in recent years, the
report relays.

The South American country's economy contracted 3.6 percent in
2016, remaining in recession for two consecutive years for the
first time since 1930, the report notes.

Brazil's economy, the largest in Latin America, contracted by 3.8
percent in 2015 and 0.10 percent in 2014, the report discloses.

Analysts are forecasting that the gross domestic product (GDP)
will grow by 0.49 percent this year and 2.48 percent in 2018, the
report says.

President Michel Temer said recently that the government expected
the job market to strengthen in the second half of this year, the
report notes.

President Temer backs labor market reforms moving through Congress
that would reduce employment costs, overhaul the way collective
bargaining agreements are negotiated and weaken unions by
eliminating mandatory dues, the report adds.

As reported in the Troubled Company Reporter-Latin America on
May 24, 2017, S&P Global Ratings placed its 'BB' long-term foreign
and local currency sovereign credit ratings on the Federative
Republic of Brazil on CreditWatch with negative implications.  S&P
also affirmed the short-term foreign and local currency ratings at
'B'. The transfer and convertibility assessment is unchanged at
'BBB-'. In addition, S&P placed the 'brAA-' national scale rating
on CreditWatch with negative implications.


BRF SA: Moody's Revises Outlook to Neg.; Affirms Ba1 CFR
--------------------------------------------------------
Moody's Investors Service has changed BRF S.A.(BRF)'s outlook to
negative from stable and affirmed its CFR and all related ratings
at Ba1.

BRF's outlook change follows the change of outlook on Brazil's
issuer rating to negative from stable and affirmation of its
issuer, senior unsecured and shelf ratings at Ba2 and (P)Ba2,
respectively. The negative outlook also incorporates BRF's weaker
credit metrics and the estimates that leverage, while gradually
declining, will remain high over the next few quarters.

Ratings affirmed:

Issuer: BRF S.A.

- Corporate Family Rating: Ba1

- USD 118 mln gtd global notes due 2022: Ba1

- EUR 500 mln gtd global notes due 2022: Ba1

- USD 500 mln global notes due 2023: Ba1

- USD 750 mln global notes due 2024: Ba1

Issuer: BFF International Ltd

- USD 750 mln gtd global notes due 2020: Ba1

The outlook for all ratings changed to negative from stable.

RATINGS RATIONALE

The change on BRF's outlook follows the action, on May 26, 2017,
that changed the outlook to negative from stable and affirmed
Brazil's sovereign issuer and bond ratings at Ba2. Still, the
negative outlook also incorporates company specific challenges
related to its weaker credit metrics and Moody's expectations that
leverage, while gradually declining, will remain high over the
next few quarters. BRF leverage increased substantially to 5.5x,
LTM March 2017, compared to 2.6x, December 2015, with a
combination of disbursements relative to M&A activity and weak
margins, given the very strong cost pressures in Brazil.

The affirmation of current ratings reflects Moody's estimates that
EBITDA will recover in the 2H17 from 2016 levels and that the
company will be able to gradually reduce leverage while
maintaining a sound liquidity in the next 18 months. Accordingly,
Moody's expects leverage to decline towards 3.5x in the next 18
months, favored mainly by lower grain prices in Brazil.

BRF's ratings continue to reflect its good business profile, solid
financial position and leadership both in processed foods in
Brazil and global poultry exports. The value added portfolio and
strong brands provide the company with an important competitive
position and allow for overall higher margins. But they do not
insulate the company from the inherent volatility of commodity
prices and from the protein business' susceptibility to event
risk. BRF also has a well-developed and sophisticated logistics
and distribution structure, which is a key competitive strength.

Offsetting these positive attributes, the rating takes into
consideration BRF's small of geographical diversity in terms of
production and strong exposure to grain prices and currency
volatility, since approximately 50% of sales come from chilled and
frozen meats and from the export markets. These risks are
partially mitigated by the use of hedging strategies in its
operations. In addition, Moody's recognizes expansion as a key
component of product and geographic diversification. Moody's
expects growth via acquisitions to be conducted in a prudent and
conservative manner in order to avoid meaningful integration and
financial risks.

The negative outlook on BRF's ratings incorporates Brazil's
sovereign ratings outlook, and the company's current weak credit
metrics for the rating category. Moody's expects that the company
will progress towards a gross leverage below 3.5x in the next 18
months.

Although unlikely in the short term, an upward rating momentum
would depend on the recuperation of EBITDA margins and the
maintenance of steady and strong credit metrics. Also, it would
depend on an upgrade of Brazil's sovereign rating.

A downgrade could result from a deterioration in liquidity or the
inability to progress towards deleveraging. Quantitatively, a
downgrade could also occur if, on a sustained basis, debt/EBITDA
remains above 3.5x, EBITA/interest expense is less than 4.0x or
CFO/net debt less than 25%.

BRF S.A. is one of largest food conglomerates globally and posted
consolidated net revenues of BRL 33.4 billion in the last twelve
months ended March 31, 2017. Processed food and food service,
which typically generates higher and less volatile margins than
the chilled and frozen protein export business, represented about
50% of net sales. The company operates 47 plants and 42
distribution centers, exports to more than 120 countries and has a
leading position in global poultry exports.


CENTRAIS ELETRICAS: Moody's Alters Outlook to Neg; Affirms Ba3 CFR
------------------------------------------------------------------
Moody's Investors Service has changed the outlook on Centrais
Eletricas Brasileiras SA-Eletrobras ratings to negative from
stable and affirmed the corporate family and senior unsecured
ratings at Ba3. The action follows Moody's May 26, 2017 rating
action in which the outlook for Brazil's government bond rating
was revised to negative from stable.

Outlook Action:

Issuer: Centrais Eletricas Brasileiras SA-Eletrobras

-- Outlook, Changed To Negative From Stable

Affirmation:

Issuer: Centrais Eletricas Brasileiras SA-Eletrobras

-- Corporate family rating (CFR), Affirmed at Ba3

-- $1750M Global Notes due 2021, Affirmed at Ba3

RATINGS RATIONALE

The ratings affirmation coupled with the outlook change to
negative from stable on the ratings of the Eletrobras follows a
similar rating action on Brazil's sovereign bonds ratings and
reflects the close economic and financial linkages that exist
between Brazil's government and Eletrobras as a government-related
issuer.

Eletrobras' Ba3 ratings consider Moody's joint-default analysis
for the company and Moody's assumptions for a strong likelihood of
timely extraordinary support from the government of Brazil and
high default dependence between Eletrobras and the government.
Eletrobras' rating also incorporates two notches uplift from the
company's baseline credit assessment (BCA) of b2, which indicates
Moody's view of the Eletrobras' standalone credit strength,
currently constrained due to relatively weak credit metrics and
tight liquidity.

RATING OUTLOOK

The negative outlook for Eletrobras mainly reflects the negative
outlook for Brazil's government bond rating and Moody's view that
the creditworthiness of these companies continues to be highly
dependent on the credit quality of the Brazilian economy.

WHAT COULD CHANGE THE RATINGS UP/DOWN

A rating or outlook change of the sovereign could result in
subsequent rating actions for this company. Upward limited
pressure is limited by Brazil's current rating. A rating or
outlook change could also be triggered if Moody's perceives a
material change in the regulatory frameworks under which this
company operates, or disruptive political interference in the
normal course of its businesses. Sustained deterioration or
improvement in the relevant credit metrics or the liquidity
profile is also a trigger for a rating change for this issuer.

The methodologies used in these ratings were Regulated Electric
and Gas Utilities published in December 2013 and Government-
Related Issuers published in October 2014.

Eletrobras is a holding company controlled by Brazil's federal
government, which indirectly holds 51% of Eletrobras' voting
capital and 41% of its total capital. Eletrobras is the largest
Brazilian electricity company, responsible for 47% of the
country's total high-voltage transmission lines, 31% of Brazil's
total generation installed capacity and 5% of the total energy
distributed in the country.


DESENVOLVE SP: Moody's Affirms Ba2 Issuer Rating; Outlook Now Neg.
------------------------------------------------------------------
Moody's America Latina Ltda has affirmed the long-term global
local currency and Brazilian national scale issuer ratings and
baseline credit assessments (BCA) assigned to the state owned
development agency, Desenvolve SP - Agencia de Fomento do Estado
de Sao Paulo (Desenvolve SP).

This action follows Moody's announcement published on May 31, 2017
that it has affirmed the ratings of the State of Sao Paulo and
changed its outlook to negative from stable. For more information,
please refer to the press releases "
https://www.moodys.com/research/Moodys-revises-the-rating-outlook-
of-the-Brazilian-state-of--PR_367359;.

The following ratings and assessments were affirmed:

Desenvolve SP - Agencia de Fomento do Estado de Sao Paulo:

- Long-term global local currency issuer rating of Ba2, negative

- Short-term global local currency issuer rating of Not Prime

- Long-term local currency Brazilian national scale issuer rating
  of Aa2.br

- Short-term local currency Brazilian national scale issuer rating
  of BR-1

- Baseline credit assessment of ba3

- Adjusted baseline credit assessment of ba2

The outlook for Desenvolve SP - Agencia de Fomento do Estado de
Sao Paulo was changed to negative from stable.

RATINGS RATIONALE

The rating action was prompted by the affirmation of the ratings
and change in outlook to negative, from stable, of the state of
Sao Paulo, which in turn followed the change in the outlook of
Brazil's sovereign bond rating to negative from stable on May 26,
2017. The affirmation of the state government's ratings consider
the close macroeconomic and institutional linkages between the
state and the federal government.

In turn, the affirmation of the ratings of Desenvolve SP, reflects
the strong macroeconomic and institutional linkages with its state
government-shareholder that determines the agencies' strategy,
budgets and objectives and are the sole providers of their equity,
which is their main funding source. Established to act as a
financial development agent of the state government, the agency
has limited ability to diversify and operate beyond the boundaries
of its state. Consequently, it is highly dependent upon and
exposed to their local economies and exhibit concentrations in
terms of segments, products and borrower types.

Moody's assesses as high the willingness of the state government
of Sao Paulo to provide financial support to Desenvolve SP if
necessary. Desenvolve SP's issuer rating continues to benefit from
one notch of uplift for affiliate support from its ba3 baseline
credit assessment (BCA). The outlook on Desenvolve SP, is
negative, in line with the outlook on its government-shareholder.

WHAT COULD CHANGE THE RATING UP/DOWN

If the ratings for its respective government-shareholder are
downgraded, Desenvolve SP's ratings would face downward pressure
as well. A significant deterioration in its asset quality or rapid
loan growth, diminishing its capital base, would also pressure its
ratings. The negative outlook on the rating means upward pressure
is limited, at this time.

The methodologies used in these ratings were Banks published in
January 2016, and Government-Related Issuers published in October
2014.


FIBRIA CELULOSE: Moody's Revises Outlook to Neg.; Affirms Ba1 CFR
-----------------------------------------------------------------
Moody's America Latina has revised to negative from stable the
outlook for several companies operating in Brazil, while all
ratings were affirmed. The companies' outlook change follows the
change of outlook on Brazil's issuer rating to negative from
stable and affirmation of its issuer, senior unsecured and shelf
ratings at Ba2 and (P)Ba2 respectively.

ISSUERS AND RATINGS AFFIRMED -- OUTLOOK CHANGED TO NEGATIVE

Fibria Celulose S.A.: the CFR was affirmed at Ba1 in the global
scale and Aaa.br in the national scale. At the same time, Moody's
Investors Service affirmed the Ba1 rating of the notes issued by
Fibria Overseas Finance Ltd and guaranteed by Fibria Celulose S.A.
The outlook was changed to negative from stable.

Fleury S.A.: the CFR and senior unsecured debentures ratings were
affirmed at Ba2 in the global scale and Aa2.br in the national
scale. The outlook was changed to negative from stable.

Localiza Rent a Car S.A.: the CFR and senior unsecured debt
ratings were affirmed at Ba2 in the global scale and Aa1.br in the
national scale. The outlook was changed to negative from stable.

Raizen Combustiveis S.A and Raizen Energia S.A.: the CFR and the
senior unsecured debt issued by Raizen Energia S.A. (guaranteed by
Raizen Combustiveis S.A.) ratings were affirmed at Ba1 in the
global scale and Aaa.br in the national scale. The outlook was
changed to negative from stable.

Suzano Papel e Celulose S.A.: the CFR and senior unsecured notes
rating was affirmed at Ba1 in the global scale and Aaa.br in the
national scale. At the same time, Moody's Investors Service
affirmed the Ba1 rating of the backed foreign currency senior
unsecured notes issued by Suzano Trading Ltd, a wholly-owned
subsidiary of Suzano Papel e Celulose S.A.. The outlook was
changed to negative from stable.

Telefonica Brasil S.A.: the CFR and senior unsecured debentures
ratings were affirmed at Ba1 in the global scale and Aaa.br in the
national scale. The outlook was changed to negative from stable.

Ultrapar Participacoes S.A.: the CFR was affirmed at Aaa.br in the
national scale and also affirmed the Ba1/Aaa.br senior unsecured
debentures issued by Ipiranga Produtos de Petroleo S.A. guaranteed
by Ultrapar Participacoes S.A. At the same time, Moody's Investors
Service affirmed the Ba1 Corporate Family Rating assigned on its
global scale to Ultrapar, affirmed the Ba1 rating assigned to the
backed foreign currency senior unsecured notes issued by Ultrapar
International S.A, irrevocably and unconditionally guaranteed by
Ultrapar and by Ipiranga Produtos de Petroleo S.A. The outlook was
changed to negative from stable.

Valid S.A.: the CFR and senior unsecured debentures ratings were
affirmed at Ba2 in the global scale and Aa3.br in the national
scale. The outlook was changed to negative from stable.

RATINGS RATIONALE

The rating affirmation and the change in outlook to negative for
these companies follows the change in Brazil's outlook to negative
from stable and the affirmation of its issuer rating, senior
unsecured and shelf ratings at Ba2 and (P)Ba2 respectively, on
May 26, 2017, driven by the following factors:

First Driver: Rise in uncertainty regarding reform momentum
following recent political events

The stable outlook, previously assigned to Brazil's rating was
based on Moody's expectations that the observed improvement in
macroeconomic conditions would persist, reinforced by the strong
reform momentum witnessed under the Temer administration. Whatever
the outcome, the recent corruption allegations against the
President risk reversing the virtuous cycle between political
normalcy, reform implementation, and investor confidence that
underpinned the stabilization of economic conditions.

In recent months, the government has passed a number of important
reforms including a constitutional amendment to cap government
spending, and has promoted discussion in Congress of planned
social security reforms, which are critical to medium-term fiscal
sustainability. However, the controversy surrounding President
Temer will likely cause negotiations around social security reform
to stall, with the result that the reform does not pass in
Congress this year, as Moody's had previously expected.

Moreover, looking further ahead, with the focus of the
administration shifting towards the political crisis, the
government's ability to continue to develop and implement the
reforms needed to address Brazil's economic and fiscal malaise
will likely be undermined.

Second Driver: Prospects of deteriorating macroeconomic conditions
that will increase downside risks to the economic recovery

After two years of economic contraction, the economy has begun to
stabilize. Moody's expects modest GDP growth of 0.5% in 2017 with
inflation dropping to 4.0%, below the mid-point of the 4.5%
inflation target, but within the +/- 1.5% tolerance interval, and
remaining within the central bank target range, allowing the
central bank to continue monetary easing.

That recovery, and the related boost to Brazil's medium-term
economic strength, is threatened by the political crisis, which
will likely undermine investor confidence and increase financial
market volatility. Improved investor confidence was driven by the
government's focus on structural reforms and its ability to
deliver results in this area. In the current context, prolonged
political uncertainty and the risk of another leadership
transition will likely weigh on the incipient recovery. The
central bank's ability to deliver further rate cuts could be
hampered if a confidence-related shock to the exchange rate were
to feed into higher inflation, stunting the potential for a
positive impact on growth in 2018 and undermining fiscal savings
from lower interest payments on government debt.

As a consequence of these developments, downside risks to Moody's
growth forecasts for 2017 and 2018 have increased. Short-term
growth is generally of limited significance for credit ratings;
however, in Brazil's case, the persistence of the very significant
shock to growth witnessed in recent years would signal further
diminishing of economic strength in the medium-term.

RATIONALE FOR AFFIRMATION OF BRAZIL'S Ba2 RATING

Brazil's issuer rating at Ba2 reflects the strengths and
weaknesses of Brazil's credit profile. Below-potential economic
growth and weak fiscal metrics, which will result in continued
rise in government debt ratios over the next two to three years,
are important constraints on the rating. This is balanced against
Brazil's large and diversified economy, limited balance of
payments-related vulnerabilities, and recent reforms to arrest the
rise in government spending.

The negative outlook for the affected companies reflects Moody's
view that the creditworthiness of these companies cannot be
completely de-linked from the credit quality of the Brazilian
government, and thus their ratings need to closely reflect the
risk that they share with the sovereign. Moody's believes that a
weaker sovereign has the potential to create a ratings drag on
companies operating within its borders, and therefore it is
appropriate to limit the extent to which these issuers can be
rated higher than the sovereign, in line with Moody's Rating
Implementation Guidance "How Sovereign Credit Quality Can Affect
Other Ratings" published on March 16, 2015, and available on
www.moodys.com.

The principal methodology used in rating Fibria Celulose S.A. and
Suzano Papel e Celulose S.A. was Global Paper and Forest Products
Industry published in October 2013. The principal methodology used
in rating Fleury SA and Valid S.A. was Business and Consumer
Service Industry published in October 2016. The principal
methodology used in rating Localiza Rent a Car S.A. was Equipment
and Transportation Rental Industry published in April 2017. The
principal methodology used in rating Raizen Energia S.A. was
Global Protein and Agriculture Industry published in May 2013. The
principal methodology used in rating Telefonica Brasil S.A. was
Telecommunications Service Providers published in January 2017.
The principal methodology used in rating Ultrapar Participacoes
S.A., Raizen Combustiveis S.A and Ipiranga Produtos de Petroleo
S.A. was Retail Industry published in October 2015.


RIO DE JANEIRO: Moody's Affirms Ba2 Issuer Ratings; Outlook Neg.
----------------------------------------------------------------
Moody's America Latina has downgraded the national scale rating of
the Municipality of Rio de Janeiro to Aa2.br from Aa1.br and
affirmed the ratings of the Brazilian states of Parana, Bahia and
Maranhao. The ratings impacted are:

Municipality of Rio de Janeiro. Issuer ratings affirmed at Ba2
(Global Scale), and downgraded to Aa2.br (National Scale, Local
Currency) from Aa1.br, with a negative outlook

State of Parana. Issuer ratings affirmed at Ba3 (Global Scale,
Local and Foreign Currency) and at A1.br (National Scale, Local
and Foreign Currency) with a stable outlook

State of Bahia. Issuer ratings affirmed at Ba3 (Global Scale,
Local Currency), and at A2.br (National Scale, Local Currency)
with a stable outlook

State of Maranhao. Issuer ratings affirmed at Ba3 (Global Scale,
Local and Foreign Currency) and at A3.br (National Scale, Local
Currency) with a stable outlook

The action follows Moody's May 26, 2017 rating action in which the
outlook for Brazil's government bond rating was revised to stable
from negative.

RATINGS RATIONALE

The rating downgrade for the Municipality of Rio de Janeiro on the
national scale follows the change in the rating outlook on
Brazil's sovereign bonds to negative from stable and reflects the
very close economic and financial linkages that exist between
Brazil's government and Brazilian sub-sovereigns governments.

The rating action also reflects Moody's view that the recent
political events seems likely to have undermined the federal
government's ability to achieve structural reforms that are needed
at the subnational level for the rebalancing of their fiscal
position. The agency notes in that regards that a pension reform
at the level of states and municipalities relies to a large extent
on the successful execution of a pension reform driven at the
federal level.

Notwithstanding, Moody's continues to expect that Brazilian states
and municipalities will continue to focus on controlling spending
and adapting their cost structure such as to allow a progressive
stabilization of their fiscal balance, even in the absence of
visible tax revenue growth resulting from an incipient recovery in
Brazil's economic growth expected in 2017.

Moody's also notes that the assigned ratings are supported by a
strong institutional framework and the close oversight of Brazil's
federal government on states and municipalities in the country.
The agency continues to view Brazil's institutional framework as a
credit positive for states and municipalities relative to
international peers.

The ratings affirmation and stable outlook for the states of
Parana, Bahia and Maranhao reflects the resilient credit profile
of these states resulting in their adequate positioning within the
Ba3 rating category. Moody's notes in particular the solid rating
positioning of the state of Parana due to its track record of
solid operating surpluses and lower debt levels relative to rated
peers.

WHAT COULD CHANGE THE RATING UP/DOWN

An upgrade of Brazil's sovereign bond rating could exert upward
pressure on the assigned ratings. A sustained improvement in key
financial metrics could lead to an upgrade of these issuers.
Conversely, a downgrade of the sovereign bond rating, and/or a
deterioration in the key financial metrics of each of these states
and municipality could exert downward pressure on the assigned
ratings.

The principal methodology used in these ratings was Regional and
Local Governments published in January 2013.

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 May
2016 entitled "Mapping National Scale Ratings from Global Scale
Ratings". While NSRs have no inherent absolute meaning in terms of
default risk or expected loss, a historical probability of default
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time. For information on
the historical default rates associated with different global
scale rating categories over different investment horizons.


SAO PAULO: Moody's Revises Outlook to Neg.; Affirms Ba2 Rating
--------------------------------------------------------------
Moody's Investors Service has revised the rating outlook of the
Brazilian state of Sao Paulo to negative from stable. At the same
time the agency maintained the rating outlook of the Municipality
of Belo Horizonte at stable. All ratings have been affirmed. The
ratings impacted are:
State of Sao Paulo. Issuer rating affirmed at Ba2 (Global Scale,
Local and Foreign Currency), outlook changed to negative from
stable

Municipality of Belo Horizonte. Issuer rating affirmed at Ba3
(Global Scale, Local and Foreign Currency) with a stable outlook

The action follows Moody's May 26, 2017 rating action in which the
outlook for Brazil's government bond rating was revised to
negative from stable.

RATINGS RATIONALE

The ratings affirmation coupled with the outlook change to
negative from stable on the ratings of the state of Sao Paulo
follows a similar rating action on Brazil's sovereign bonds
ratings and reflects the very close economic and financial
linkages that exist between Brazil's government and Brazilian sub-
sovereigns governments.

The rating action also reflects Moody's view that the recent
political events seems likely to have undermined the federal
government's ability to achieve structural reforms that are needed
at the subnational level for the rebalancing of their fiscal
position. The agency notes in that regards that a pension reform
at the level of states and municipalities relies to a large extent
on the successful execution of a pension reform driven at the
federal level.

Notwithstanding, Moody's continues to expect that Brazilian states
and municipalities will continue to focus on controlling spending
and adapting their cost structure such as to allow a progressive
stabilization of their fiscal balance, even in the absence of
visible tax revenue growth resulting from an incipient recovery in
Brazil's economic growth expected in 2017.

Moody's also notes that the assigned ratings are supported by a
strong institutional framework and the close oversight of Brazil's
federal government on states and municipalities in the country.
The agency continues to view Brazil's institutional framework as a
credit positive for states and municipalities relative to
international peers.

The stable outlook on the rating of Belo Horizonte reflects the
solid positioning of the city's rating within the Ba3 category due
to its track record of solid operating surpluses and lower debt
levels relative to rated peers.

WHAT COULD CHANGE THE RATING UP/DOWN

An upgrade of Brazil's sovereign bond rating could exert upward
pressure on the assigned ratings. A sustained improvement in key
financial metrics could lead to an upgrade of these issuers.
Conversely, a downgrade of the sovereign bond rating, and/or a
deterioration in the key financial metrics of each of these states
and municipality could exert downward pressure on the assigned
ratings.

The principal methodology used in these ratings was Regional and
Local Governments published in January 2013.


==========================
C A Y M A N  I S L A N D S
==========================


ACCORD NUCLEAR: Commences Liquidation Proceedings
-------------------------------------------------
The shareholders of Accord Nuclear Resources, G.P., on April 20,
2017, passed a resolution to voluntarily liquidate the company's
business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Matthew S. Raben
          c/o Matt Bernardo
          Telephone: +1 (345) 914 4268


CENTRAL TOKYO HOLDINGS: Creditors' Proofs of Debt Due June 19
-------------------------------------------------------------
The creditors of Central Tokyo Holdings Inc. are required to file
their proofs of debt by June 19, 2017, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on May 3, 2017.

The company's liquidator is:

          Christopher Smith
          KRYS Global VL Services Ltd
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237, Grand Cayman KY1-1205
          Telephone: (345) 947 4700


CENTRAL TOKYO INVESTMENTS: Creditors' Proofs of Debt Due June 19
----------------------------------------------------------------
The creditors of Central Tokyo Investments Inc. are required to
file their proofs of debt by June 19, 2017, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on May 3, 2017.

The company's liquidator is:

          Christopher Smith
          KRYS Global VL Services Ltd
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237, Grand Cayman KY1-1205
          Telephone: (345) 947 4700


CENTRAL TOKYO PROPERTIES: Creditors' Proofs of Debt Due June 19
---------------------------------------------------------------
The creditors of Central Tokyo Properties Inc. are required to
file their proofs of debt by June 19, 2017, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on May 3, 2017.

The company's liquidator is:

          Christopher Smith
          KRYS Global VL Services Ltd
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237, Grand Cayman KY1-1205
          Telephone: (345) 947 4700


CJC INVESTMENTS: Creditors' Proofs of Debt Due June 19
------------------------------------------------------
The creditors of CJC Investments Inc. are required to file their
proofs of debt by June 19, 2017, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on May 3, 2017.

The company's liquidator is:

          Christopher Smith
          KRYS Global VL Services Ltd
          KRyS Global, Governors Square
          Building 6, 2nd Floor
          23 Lime Tree Bay Avenue
          P.O. Box 31237, Grand Cayman KY1-1205
          Telephone: (345) 947 4700


CRYSTAL FUND II: Commences Liquidation Proceedings
--------------------------------------------------
The sole shareholder of Crystal Fund II, Ltd., on May 8, 2017,
passed a resolution to voluntarily liquidate the company's
business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Olivier Gozlan
          c/o Commonwealth Trust Limited
          P.O. Box 3321 British Virgin Islands
          Road Town
          Tortola
          Telephone: +44 207 681 7030


HAWKSEBURY FARMS: Creditors' Proofs of Debt Due June 13
-------------------------------------------------------
The creditors of Hawksebury Farms Limited are required to file
their proofs of debt by June 13, 2017, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on May 9, 2017.

The company's liquidator is:

          Bute Director Services Ltd.
          Lashawn Davis Barnett
          c/o Scotiabank & Trust (Cayman) Ltd.
          6 Cardinall Avenue, George Town
          P.O. Box 501 Grand Cayman KY1-1106
          Cayman Islands
          Telephone: (345) 815-8135
          Facsimile: (345) 949-7097


IMBONDEIRO DEVELOPMENT: Creditors' Proofs of Debt Due June 12
-------------------------------------------------------------
The creditors of Imbondeiro Development Corporation are required
to file their proofs of debt by June 12, 2017, to be included in
the company's dividend distribution.

The shareholders will hold their meeting on June 13, 2017, at
9:00 a.m., to receive the liquidator' report on the company's
wind-up proceedings and property disposal.

The company commenced liquidation proceedings on May 11, 2017.

The company's liquidator is:

          Stuarts Walker Hersant Humphries
          Telephone: (345) 949 3344
          Facsimile: (345) 949 2888
          P.O. Box 2510 Grand Cayman KY1-1104
          Cayman Islands


SIRAJ GLOBAL: Creditors' Proofs of Debt Due July 21
---------------------------------------------------
The creditors of Siraj Global Fund are required to file their
proofs of debt by July 21, 2017, to be included in the company's
final dividend distribution.

The company's liquidator is:

          Tammy Fu
          Kalo (Cayman) Limited
          Canella Court, 2nd Floor
          38 Market Street, Camana Bay
          P.O. Box 776 Grand Cayman KY1-9006
          Cayman Islands


SUMMIT PRIVATE: Placed Under Voluntary Wind-Up
----------------------------------------------
The sole shareholder of Summit Private Investments Offshore Ltd.,
on May 5, 2017, passed a resolution 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:

          Elian Fiduciary Services (Cayman) Limited
          c/o Julie Hughes
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9007
          Cayman Islands
          Telephone: +1 (345) 815 1426
          Facsimile: +1 (345) 945-6265


=========
C H I L E
=========


LATAM AIRLINES: Moody's Affirms B1 CFR; Outlook Stable
------------------------------------------------------
Moody's Investors Service has affirmed the corporate family rating
(CFR) of LATAM Airlines Group S.A at B1. At the same time, Moody's
affirmed at B2 the foreign currency rating assigned to its USD500
million senior unsecured notes due in 2020. Moody's also affirmed
LATAM Pass Through Trust 2015-1A at Baa1 and the LATAM Pass
Through Trust 2015-1B tranche at Ba1. The outlook for all ratings
is stable.

List of affected ratings:

Affirmations:

Issuer: LATAM Airlines Group S.A (LATAM)

-- Corporate Family Rating: affirmed at B1

-- USD500 million senior unsecured notes due 2020: affirmed at B2

Issuer: LATAM Pass Through Trust 2015-1A

-- Senior Secured Enhanced Equipment Trust due 2029: affirmed at
    Baa1

Issuer: LATAM Pass Through Trust 2015-1B

-- Senior Secured Enhanced Equipment Trust due 2025: affirmed at
    Ba1

The outlook for all ratings is stable

RATINGS RATIONALE

LATAM Airlines' B1 corporate family rating reflects the company's
leading market position in Latin America with a well-diversified
business portfolio of air transportation services, superior
network connectivity and strategic alliances, along with an
improving operating structure and liquidity that allows them to
remain competitive going forward. The ratings also incorporate the
benefits from its diversified capital structure, track record of
financial support from local banks and international capital
markets, long term aircraft financing, and a relatively low debt
cost.

Despite the company's significant effort and success in adjusting
the business for a more challenging operating environment, Moody's
believes that the company's leverage metrics are still high and
that there are uncertainties in the Latin American economies,
especially in Brazil, which need to be resolved before a positive
rating action is considered.

The affirmation of the unsecured notes at B2 stand one notch lower
than LATAM Airlines' B1 CFR in order to reflect the effective
subordination of those unsecured creditors to the company's other
existing secured debt. LATAM Airlines' consolidated debt is
composed mainly of long-term secured bank obligations and capital
leases collateralized by aircrafts, representing about most of its
total debt. As such, the unsecured notes rank below all the
company's existing and future secured claims.

The affirmation of the EETC ratings accompanies the affirmation of
the Corporate Family rating. EETC ratings are assigned by applying
notching to an issuer's CFR, factoring in protective features such
as (1) the importance of the aircraft collateral to the airline's
network; (2) a legal framework that provides timely access to
collateral following an insolvency where the airline no longer
wants to use the aircraft; (3) liquidity facilities that fund a
number of interest payments following the rejection of an EETC
financing; and (4) the equity cushion.

LATAM's EETC is collateralized by 17 aircraft: 11 Airbus A321s, 2
Airbus A350-900s and 4 Boeing 787-9s. The aircraft were delivered
new in either 2015 or 2016 and represent some of the youngest
models of these types in the company's fleet. Moody's estimates
the current loans-to-value at about 61% and 73% for the Class A
and Class B certificates, respectively, in line with its
expectations when it initially assigned the ratings.

The ratings of the EETCs reflect Moody's belief that LATAM would
retain the aircraft in this transaction under a reorganization
scenario because of the importance of these models to its Latin
American and long-haul networks over the transaction's 12-year
life.

LATAM Airlines reported net revenues of USD9.1 billion for the LTM
ended March 2017, a reduction of 1.8% as compared to the same
period in 2016, but an increase of 5.6% quarter over quarter
driven by better passenger revenues on stronger local currencies,
especially the Brazilian Real, and capacity adjustments. EBITDA
margins improved to 23.0%, from 17.7% in 2014 and 20.4% in 2015,
driven by reduction in fuel prices, and the company's ongoing cost
savings initiatives, and capacity reduction.

To adjust to the difficult operating environment, LATAM Airlines
has cut domestic capacity in Brazil by 9.5% and 26% on
international routes between Brazil and the US during the 1Q'17
compared to the 1Q'16, as well as a 10.2% decrease in cargo
capacity. The initiatives were accompanied by a material workforce
reduction and supported improvements in its cost structure. This
strategy has been followed by other LATAM competitors, which
contributed to higher yields and margin stability in 2016 and
1Q'17. LATAM has also negotiated with suppliers a downward
adjustment of USD2.2 billion on its fleet assets (USD1.9 billion
in fleet commitments and USD315 million in aircraft redeliveries
or sales), alleviating its capital expenditures in 2016-18.

The positive developments in cost and fleet commitments reduction,
along with the USD608.4 million capital increase from Qatar,
helped improve LATAM's liquidity. The company reported
unrestricted cash and short term investments in the amount of
USD1.5 billion in the end of March 2017, enough to cover 83% of
its ST debt maturities. LATAM targets a minimum cash availability
of 15% of its LTM net revenues and this ratio achieved 18%
(including the USD325 million RCF) in the LTM ended March 2017.
Moreover, the company has a USD325 million senior secured
revolving credit facility, which further mitigates its liquidity
risk.

LATAM's debt is composed mainly of long term secured bank
obligations and financial leases. After the merger with TAM, the
company's adjusted gross leverage to EBITDA increased
significantly to 8.0x in 2012 from 4.2x in 2011. Since then, LATAM
has undertaken several leverage reduction initiatives including
debt prepayment and renegotiation of more expensive debt to reduce
interest expenses such as the repayment of the USD300 million
7.375% senior unsecured notes issued by TAM's subsidiary TAM
Capital Inc completed in April 2017. Still, gross leverage remains
high for the rating level at 5.4x EBITDA in the LTM ended March
2017.

The stable outlook reflects Moody's expectations that company will
continue to increase its operating margins, expand internal cash
flow generation and reduce leverage going forward. The stable
outlook also assumes that the management will continue to timely
implement the financing strategy in anticipation of debt
maturities.

A rating upgrade could be considered if LATAM Airlines is able to
successfully reduce leverage to below 5.0 times (5.4 times in the
LTM ended March 2017) total adjusted debt-to-EBITDA, along with
maintaining a strong liquidity profile, as illustrated by a cash-
to-revenue higher than 20% (18% in the end of March 2017) for a
sustained period of time.

The rating could be downgraded if the company's liquidity is
strained due to a prolonged market downturn or continued revenue
frustration, which combined with its aircraft acquisition program
would lead to weaker free cash flow generation. Downward pressure
on the rating could occur if LATAM Airlines' adjusted EBITDA
margins deteriorates to below 10% (23% in the LTM ended March
2017) or if its adjusted leverage remains above 7.0 times (5.4
times in the LTM ended March 2017) for a sustained period of time.

Any combination of future changes in the underlying credit quality
or ratings of LATAM, unexpected material changes in the market
value of the aircraft and/or changes in LATAM's network strategy
that de-emphasize the subject aircraft models could cause Moody's
to change its ratings of the EETCs.

The principal methodology used in rating LATAM Airlines Group S.A
(LATAM) was Global Passenger Airlines published in May 2012. The
principal methodology used in rating LATAM Pass Through Trust
2015-1A and LATAM Pass Through Trust 2015-1B was Enhanced
Equipment Trust and Equipment Trust Certificates published in
December 2015.

LATAM Airlines Group S.A. (LATAM Airlines) is a Chilean-based
airline holding company formed by the business combination of LAN
Airlines S.A. of Chile and TAM S.A. of Brazil in June 2012. LATAM
Airlines is the larger airline group in South America with local
presence for domestic passenger service in six countries (i.e.
Brazil, Chile, Peru, Ecuador, Argentina, Colombia). The company
also provides intra-regional and international passenger services
and it also has a cargo operation that is carried out through the
use of belly space on passenger flights and dedicated freighter
service. In the LTM ended March 2017, LATAM Airlines generated
USD9.1 billion in net revenues and carried over 66.5 million
passengers and 0.9 million tons.


DOMINICANPOWER PARTNERS: S&P Affirms BB- Rating on Notes
--------------------------------------------------------
S&P Global Ratings affirmed its 'BB-' global scale corporate
credit rating on AES Andres B.V. (AES Andres). S&P also affirmed
its 'BB-' issue-level rating on the notes of Andres and
DominicanPower Partners (DPP), as the co-borrowers of the notes.
The outlook remains stable.

The rating affirmation reflects S&P's expectation that the group's
financial ratios will improve during 2017 and more so during 2018,
as a result of the entrance of DPP's conversion plant. Therefore,
S&P expects the group's EBITDA generation to increase to $215
million in 2017 and $260 million in 2018 from $150 million in
2016, and its debt-to-EBITDA to converge to 2.7x in 2017 from
3.4x in 2016.

The ratings also incorporate the challenges of operating in the
Dominican Republic's (DR; BB-/Stable/B) electric power industry,
the country's weak regulatory framework, and an inefficient and
highly subsidized distribution sector with uncertain long-term
financial sustainability. "However, we've noted the positive
effect of the government program, which aims to reduce delays in
payments of electricity bills, on the group's working capital
management. This program has decreased receivable days sharply
-- to less than 30 days at the end of 2015 from more than 100 in
2014, although they rose to 87 for DPP in 2016 and 83 for AES in
April 2017. We will closely monitor this trend because it could
pressure the group's financial and liquidity. In addition, the
ratings reflect the group's 23% market share of the country's
generation stemming from the operations of two thermal plants: 236
megawatt (MW) open cycle plant (DPP) and a 319 MW combined cycle
plant (AES Andres) and the DR's only LNG terminal. Our analysis
also incorporates the group's adequate operating efficiency, as
seen in a track record of the average availability of more than
90% in the last five years, low operating costs -- one of the
lowest cost quartile, and part of the base-load power plants of
the national operator, Centro de Control de Energia."



===================================
D O M I N I C A N   R E P U B L I C
===================================


DOMINICAN REPUBLIC: Haitian Officials' Bars Entry of Products
-------------------------------------------------------------
Dominican Today reports that Haiti customs and immigration
inspectors again barred the entry of several national farm and
other products, without explaining the measure.

Moreover, Dominican merchants said the measures by Haitian
authorities caused sales to fall by more than 50 percent,
according to Dominican Today.

Giovanni Escotto, who heads the association of freight haulers,
complained that Haitians cause difficulties to trade between both
countries, the report notes.  "They (the Haitians) do what they
want with the Dominicans," the report relays.

Moreover, Dajabon Merchants Association president Abigail Bueno
said the attitude by Haitian immigration and customs inspectors
hurt businesses in both nations, the report notes.

"They're apparently looking to create chaos so that the border
market disappears," Mr. Bueno added.

Eggs, frozen and fresh chicken, pastas, sausages and green bananas
figure among the products barred from entering the neighboring
nation by land, the report adds.

As reported in the Troubled Company Reporter-Latin America on
May 1, 2017, S&P Global Ratings affirmed its 'BB-/B' long- and
short-term sovereign credit ratings on the Dominican Republic.
The outlook remains stable.  The transfer and convertibility (T&C)
assessment is unchanged at 'BB+'.


====================
E L  S A L V A D O R
====================


BANCO AGRICOLA: S&P Affirms B-/B Issuer Credit Ratings
------------------------------------------------------
S&P Global Ratings affirmed its 'B-/B' issuer credit ratings on
Banco Agricola. The outlook remains negative.

The ratings on Banco Agricola are supported by its sound business
position given that it's the biggest bank in the country owing to
its solid business lines and consolidated market share. Banco
Agricola's risk-adjusted capitalization (RAC) ratio would remain
moderate and limited by the country's economic risk, the riskier
Banking Industry Country Risk Assessment (BICRA) group, and by the
sovereign's rating. S&P's forecasted RAC ratio is about 5.7% for
the next 12-24 months. The ratings also reflect an adequate risk
profile given the bank's healthy and stable asset quality metrics,
as well as an average funding and adequate liquidity thanks to
stable and pulverized deposit base.

Banco Agricola's SACP remains at 'bb-', higher than the 'CC' long-
term rating on El Salvador, reflecting the bank's strength on a
stand-alone basis.


=================
G U A T E M A L A
=================


GUATEMALA: Fitch Rates US$500 Million Notes at BB
-------------------------------------------------
Fitch Ratings has assigned a 'BB' rating to Guatemala's
US$500 million notes maturing June 5, 2027. The notes have a
coupon of 4.375%.

Proceeds from this issuance will be used to pay interest and
principal on outstanding debt obligations and finance social
programs and capital expenditures.

KEY RATING DRIVERS

The bond rating is in line with the Guatemala's Long-Term Foreign
Currency Issuer Default Rating (IDR) of 'BB'.

RATING SENSITIVITIES

The bond rating would be sensitive to any changes in Guatemala's
Long-Term Foreign Currency IDR, which Fitch affirmed at 'BB' on
April 19, 2017 with a Stable Outlook.


=============
J A M A I C A
=============


JAMAICA: Further Decline in Unemployment Rate, STATIN Says
----------------------------------------------------------
RJR News reports that the Statistical Institute of Jamaica
(STATIN) is reporting that there was a further decline in the
unemployment rate at the start of the year.

Nearly 1.2 million persons were employed as at January, an
increase of 21,900, relative to January 2016, according to RJR
News.

The figure, contained in the Labor Market Survey for the month,
represented a further decrease in the unemployment rate, which
stood at 12.7 per cent, the report notes.

This was 0.6 per cent lower than for January 2016 and a 0.2 per
cent decline over October 2016, the report relays.

Director General of the Planning Institute of Jamaica (PIOJ) Dr.
Wayne Henry, said an examination of the employed labor force by
sector showed that 10 of the industry groups recorded higher
employment levels, the report discloses.

These include construction; real estate, renting and business
activities, inclusive of business process outsourcing as well as
agriculture, hunting, forestry and fishing, the report relays.

Dr. Henry made the disclosure at the PIOJ's quarterly media
briefing, the report adds.

As reported in the Troubled Company Reporter-Latin America on
Feb. 9, 2017, Fitch Ratings affirmed Jamaica's Long-Term Foreign
and Local Currency Issuer Default Ratings (IDRs) at 'B' with a
Stable Outlook. The issue ratings on Jamaica's senior unsecured
Foreign and Local Currency bonds are also affirmed at 'B'. The
Outlooks on the Long-Term IDRs are Stable. The Country Ceiling is
affirmed at 'B' and the Short-Term Foreign Currency and Local
Currency IDRs at 'B'.


===========
M E X I C O
===========


GRUPO KUO: S&P Affirms BB Global Scale Corp. Credit Rating
----------------------------------------------------------
S&P Global Ratings affirmed its 'BB' global scale and 'mxA'
national scale corporate credit ratings on Grupo KUO S.A.B. de
C.V. The outlook remains stable. S&P also affirmed its'BB' global
scale and 'mxA' national scale issue-level ratings on the
company's senior unsecured notes. The '3' recovery rating on the
senior unsecured debt remains unchanged, indicating S&P's
expectation for meaningful (50% to 70%) recovery in the event of
payment default.

KUO's strategic plan continues to focus on accelerating growth and
protecting market share across its core businesses, particularly
in the consumer and auto divisions. The execution of this plan is
increasing the company's capital investments and could result in
additional debt by the end of 2018. The rating affirmation
reflects S&P's view that despite higher funding requirements to
execute its capex, KUO's credit metrics will remain in line with
its current financial risk profile.

KUO is implementing a significant capex program to expand the
capacity of the pork meat business and the development of new
generation of high tech transmissions. To support its funding
needs, S&P expects the company to raise additional debt in 2018
and 2019, although its debt to EBITDA would still remain around
3.5x and FFO to debt above 20%. S&P also believes that the company
will maintain solid debt service coverage ratios in the next two
years because about 85% of its total debt is set at a fixed rate
with FFO cash interest coverage of above 4.0x.

S&P said "Ratings also reflect our expectation that the company
will maintain strong market shares due to its leading position and
operating capabilities in all of its business segments. KUO's
strategic focus on investing in profitable and value-added
businesses, expected diversification of its portfolio through JVs
that match its core businesses (consumer goods, chemicals and auto
parts), and the resilient nature of its food business underpin our
assessment. However, the offsetting factors are its limited
geographic concentration (about 80% of its sales are generated in
the North America Free Trade Agreement region), the cyclicality in
the auto parts and chemicals businesses, exposure to raw material
price volatility, single-digit operating margins, and a certain
amount of exposure to foreign exchange fluctuations (about 70% of
debt and some raw materials are denominated in dollars).

"We view KUO's liquidity as adequate, reflecting our expectation
that liquidity sources will be sufficient to cover its debt
service, expected capex, and dividend payments over the next 12
months with sources of liquidity exceeding uses by at least 1.2x
and liquidity sources will exceed uses, even if EBITDA falls 15%.
We also view the group's debt-maturity schedule as comfortable,
with about 90% of total debt maturing after 2019. Furthermore, we
consider that the committed credit facilities further strengthen
the company's liquidity."


MEXICALI MUNICIPALITY: Moody's Affirms Caa1 GS Issuer Rating
------------------------------------------------------------
Moody's de Mexico affirmed the Municipality of Mexicali's issuer
ratings at Caa1 (Global Scale rating) and B3.mx (Mexico National
Scale rating), and maintains the negative outlook.

At the same time, Moody's upgraded the ratings for a MXN 814
million enhanced loan (original amount) with Banobras to
Ba3/Baa1.mx from B1/Baa3.mx.

Issuer: Mexicali, Municipality of

-- Global Scale Local Currency Issuer Rating, Affirmed Caa1

-- Mexico National Scale Issuer Rating, Affirmed B3.mx

-- Senior Secured Bank Credit Facility, Upgraded to Ba3 from B1

-- Mexico National Scale Senior Secured Bank Credit Facility,
    Upgraded to Baa1.mx from Baa3.mx

-- Negative outlook

RATINGS RATIONALE

RATIONALE FOR THE RATING AFFIRMATION AT Caa1/B3.mx

Mexicali's Caa1/B3.mx ratings reflect negative gross operating
balances and recurrent cash financing deficits. Mexicali's gross
operating balance averaged -10.4% of operating revenues between
2012 and 2016 while its cash financing deficit averaged -13.2% of
total revenues during the same period. Although the municipality's
performance improved in 2016 thanks to an increase in own source
revenue collection and participation transfers, bringing its gross
operating balance to -0.4% and its cash financing deficit -3.1%,
Mexicali's liquidity position remains extremely tight, and it
continues to rely on short-term debt to finance its deficits.

The municipality's net working capital (measured as current assets
minus current liabilities) as of December 2016 was equivalent to -
24.9% of total expenditures, one of the lowest levels among
Mexican municipalities rated by Moody's. Its cash position was
also extremely low, covering 0 times its current liabilities at
the end of 2016, which constitutes one of the municipality's main
challenges.

At the end of April 2017, the total outstanding amount of
Mexicali's short-term amortizable obligations stood at MXN 175
million, in the form of a loan with Banco Interacciones. This
credit is equivalent to 13% of Mexicali's total net direct and
indirect debt. Moody's expects the municipality will continue to
rely on short-term debt, but that it will remain constant relative
to total net direct and indirect debt at the end of 2017, leaving
its risk of default unchanged. Mexicali's total debt stood at MXN
1,357 million pesos at the end of 2016, representing 39% of
operating revenues.

RATIONALE FOR THE NEGATIVE OUTLOOK

The negative outlook reflects Moody's expectations that despite
measures implemented by the current administration to begin
redressing Mexicali's financials, the municipality will continue
experiencing pressures to fund its recurrent deficit and will
continue relying on short-term financial debt.

RATIONALE FOR THE UPGRADE OF THE ENHANCED LOAN RATINGS

The ratings upgrade of the MXN 814 million enhanced loan with
Banobras to Ba3/Baa1.mx from B1/Baa3.mx reflects the strong
positive track record of the existing enhanced loan, as well as
the solid trust framework in which this loan is embedded. It is
Moody's opinion that this loan has demonstrated increased security
to the lenders despite the ongoing liquidity concerns of Mexicali.

Per Moody's methodology on rating enhanced loans, the loan ratings
are linked to the credit quality of the issuer, which ensures that
underlying contract enforcement risks, economic risks and credit
culture risks (for which the issuer rating acts as a proxy) are
embedded in the ratings of the enhanced loans.

WHAT COULD CHANGE THE RATING UP OR DOWN

The negative outlook could be stabilized if Mexicali registers
improvements in liquidity metrics, such as net working capital and
cash-to-current liabilities. An increased reliance on short-term
debt, combined with further deterioration in liquidity, could
exert downward pressure on the ratings.

Given the links between the loan and the credit quality of the
obligor, an upgrade on the Municipality of Mexicali's issuer
rating would likely result in an upgrade of the enhanced loan
ratings. Conversely, a downgrade on the Municipality of Mexicali's
issuer ratings could also exert downward pressure on the ratings
of the loan. In addition, the ratings could face downward pressure
if debt service coverage levels fall materially below Moody's
expectations.

The methodologies used in these ratings were Regional and Local
Governments published in January 2013, and Rating Methodology for
Enhanced Municipal and State Loans in Mexico published in June
2014.

The period of time covered in the financial information used to
determine Mexicali, Municipality of rating is between 01/01/2012
and 12/31/2016 (source: issuer).

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 May
2016 entitled "Mapping National Scale Ratings from Global Scale
Ratings". While NSRs have no inherent absolute meaning in terms of
default risk or expected loss, a historical probability of default
consistent with a given NSR can be inferred from the GSR to which
it maps back at that particular point in time. For information on
the historical default rates associated with different global
scale rating categories over different investment horizons.


=============
U R U G U A Y
=============


BANQUE HERITAGE: S&P Affirms B+ Rating & Alters Outlook to Stable
-----------------------------------------------------------------
S&P Global Ratings revised its outlook on global and national
scale ratings on Banque Heritage (Uruguay) S.A. to stable from
negative. "We also affirmed our long-term 'B+' global scale and
'uyBBB' national scale issuer credit ratings on the bank. In
addition, we affirmed our 'BBB/A-2' issuer global scale credit
ratings on Banco Bilbao Vizcaya Argentaria Uruguay S.A. (BBVA
Uruguay) and revised the outlook on the long-term rating to stable
from negative. We also affirmed our 'uyAAA' issuer credit rating
and the outlook on it remains stable," S&P said.

S&P continued, "We're maintaining our BICRA on Uruguay
(BBB/Stable/A-2) at group '6', with an anchor for banks operating
in the country at 'bb+'. We're also maintaining our economic risk
score at '5' and industry risk at '7'. However, we're revising
the BICRA economic risk trend to stable from negative, and keeping
the industry risk trend as stable."

The revision of the economic risk trend reflects the Uruguayan
economy's resilience amid Argentina and Brazil's recession, with
continued growth while the inflation has been contained after
reaching double digits last year. Real GDP growth was 1.5% in
2016. A relatively diverse economic structure has cushioned
Uruguay from the regional economic downturn and prevented
contraction. We expect real GDP growth to be 2.0% in 2017 and 2.5%
in 2018. Furthermore, Uruguay's economy has been growing
consistently over the past 14 year, and GDP per capita is
estimated to be around $19,300 between 2017 and
2020. S&P said it expects inflation to decline and remain within
the central bank's target over the next three years. In addition,
the continuity of fiscal consolidation measures will pave the way
for lowering the fiscal deficit gradually in line with the
government's five-year budget. S&P believes that these conditions
will strengthen economic resilience and improve the conditions for
banks' operations.


NAVIOUS LOGISTICS: S&P Alters Outlook to Stable & Affirms B- CCR
----------------------------------------------------------------
S&P Global Ratings revised its outlook on Navios South American
Logistics Inc. (Navios Logistics) to stable from negative. S&P
also affirmed its 'B-' corporate credit and issue-level ratings on
the company. At the same time, S&P raised its SACP on the company
to 'b+' from 'b'.

The rating on Navios Logistics reflects the rating on its parent
company, Navios Maritime Holdings Inc. S&P continues to view
Navios Logistics as a strategically important subsidiary because
it contributes about 40% to the group's EBITDA and remains a
growth driver. Nevertheless, S&P caps its ratings on Navios
Logistics to those on the group because the latter controls and
consolidates the company's financials, and could access liquidity
from its subsidiary, if necessary.

Navios Logistics' stand-alone credit quality is, in S&P's opinion,
stronger than that of its parent, as seen in the subsidiary's 'b+'
SACP. This is mainly due to S&P's expectation of more stable
profits and cash flows stemming from its enlarged port operations,
while a recent favorable ruling on a services contract with
Brazilian miner Vale S.A. (BBB-/Positive/--) is likely to add up
$35 million to Navios Logisticis' annual EBITDA.

S&P said, "We expect Navios Logistics to ramp up operations during
2017 and 2018, boosting cash flows from port terminals and
improving its 2016 credit metrics. We also expect the company to
continue benefitting from its long-term shipping contracted
position, which mitigates risks inherent to operating in the
Paraguay River area, such as volatility in volumes and spot rates.

"Furthermore, given its historical operating efficiency, we expect
Navios Logistics to be in better position than some of its
competitors in the barge business. However, we assess Navios
Logistics' business risk profile as weak mainly due to the
volatile nature of the shipping business, its small scale,
and its exposure to low-rated jurisdictions such as Argentina.
Our base-case scenario assumes the stronger performance in port
business mainly due to iron ore storage and transshipment contract
with Vale and volume recovery in the grain terminal. We assume a
15% tariff reduction in the barge business in 2017, performance in
line with the one for the first quarter but improving in following
years, and the inclusion of three new push boats in 2018, which
should allow for incremental tonnage transportation. We're
assuming stable tariffs in the cabotage business and a new river
tanker to start operating in the second quarter of 2018. We expect
stable debt levels and positive free operating cash flow (FOCF) in
2017, which would slightly improve leverage metrics."


=================
V E N E Z U E L A
=================


PETROLEOS DE VENEZUELA: Goldman's $2.8BB Bond Buy Cause Uproar
--------------------------------------------------------------
Landon Thomas Jr. at The New York Times reports that Venezuelan
bonds would seem to be an unlikely target for global investors.

The country is in near revolt and has barely enough ready cash to
feed its people, much less pay the billions of dollars in debt
that the government owes to its foreign lenders, according to The
New York Times.

Yet bonds issued by Venezuela's national oil company, Petroleos de
Venezuela, or Pdvsa, have attracted some of world's most
sophisticated investors, the report notes.  They are betting that
the government will use its dwindling supply of dollars to pay
bondholders instead of importing food and medicine for its people,
the report relays.

Now, Goldman Sachs' decision to snap up $2.8 billion worth of
Pdvsa bonds maturing in 2022, at a 70 percent discount to the
market price, has struck a nerve, the report discloses.

The report relays that the investment has caused a political
uproar in Venezuela, where opposition forces have taken to the
streets to protest the autocratic rule of the nation's unpopular
president, Nicolas Maduro.  Nearly 60 people have died in clashes,
mainly between protesters and the police, in Caracas and other
cities in recent months, the report relays.

Julio Borges, the opposition lawmaker who heads the National
Assembly, wrote a letter of protest to Lloyd C. Blankfein, the
chief executive of Goldman Sachs, accusing the Wall Street firm of
looking to make a "quick buck off the suffering of the Venezuelan
people," the report notes.

The report says that Goldman Sachs has defended the deal, saying
that many other investors, including mutual funds and exchange-
traded funds, own the bonds and that its asset management division
bought the securities on the secondary market, without interacting
with the Venezuelan government.

Nevertheless, the transaction highlights the extent to which
investors are willing to take on increasing levels of political
and economic risk as they seek high-yielding investments when
interest rates still hover near zero, the report notes.

"There is a lot of interest in this trade," said Carlos de Sousa,
an economist at Oxford Economics, a research company based in
London, notes the report.  "We are in a low-rate environment, and
these are dollar bonds with really high yields," he added.

Among the large holders of Pdvsa bonds are BlackRock, T. Rowe
Price, Fidelity, JPMorgan Chase and Ashmore, an emerging market
specialist based in London.

But none of those firms carry Goldman's reputation for being
politically influential and financially opportunistic - a
combination that has made it an easy global punching bag, the
report notes.

At the root of what makes the bonds so attractive to investors,
beyond their more than 20 percent returns, is the crucial role
played by the Venezuelan oil company in providing foreign exchange
to the embattled Maduro government, the report relays.

While Venezuela has been in economic crisis for more than two
years, the surge of people to the streets began after its Supreme
Court, which is loyal to Mr. Maduro, tried to dissolve the
country's National Assembly in late March, the report notes. The
group of lawmakers, controlled by opposition parties, is
considered the only government institution independent of the
president, the report says.

The report relays that Mr. Maduro's growing authoritarianism is
only the beginning of mounting grievances against Venezuela's
ruling leftists, who have governed since President Hugo Ch†vez
took control of the country in 1999.

Falling petroleum prices and years of economic mismanagement when
oil revenues were high, have led to triple-digit inflation and
left a majority of Venezuelans hardly able to buy sufficient food
and other necessities, the report discloses. Even those who can
afford meals most days have trouble finding basics like bread,
eggs and sugar because of rampant shortages, the report relays.

Pdvsa brings in about 95 percent of the economy's dollars, so
foreign investors believe that the government, even in a worst
case, will do all it can to keep the company functioning, the
report discloses.

Mr. de Sousa also points out that unlike pure sovereign bonds
issued by the government, Pdvsa securities lack legal mechanisms,
like collective action clauses, which can help a government
negotiate favorable terms with foreign bond holders if it defaults
on its debt, the report notes.

Moreover, investors have noted that in the last year, as
Venezuela's economic situation has deteriorated sharply, the
government has paid out billions of dollars to foreign investors
holding the oil company bonds, the report relays.

The Pdvsa trade is the latest sign that foreign investors are
becoming bolder in investing in the bonds of governments in far-
flung locales.

In recent months, higher risk countries such as Turkey, Russia and
Brazil have been at the forefront of this trend, the report
relays.

Driving the bet, analysts say, is a view that emerging market
economies, regardless of their political and economic challenges,
are no longer willing to face the wrath of bond investors by
defaulting on their debts, the report says.

That is because global investment giants like BlackRock and
Goldman have become ready sources of financing, quick to lend
billions in dollars or even local currencies, to governments in
Africa, Latin America and Asia that in the past relied on banks,
the report relays.

Perhaps no country is as reliant on the kindness of risk-happy
foreign bond investors as Venezuela.  According to the research
firm Exotix, Venezuela has a financing requirement of $17 billion
in 2017, yet its central bank reserves are a paltry $10 billion,
the report notes.

As investors see it, if you can buy a Pdvsa bond at 30 cents on
the dollar, which also provides a double-digit yield, even if this
government -- or another for than matter -- has to default, the
gains made on the investment would be enough to overcome any loss,
the report relates.

While Goldman Sachs defended its trade by saying that it bought
the bonds on the open market from a broker, bankers and traders
say the money ultimately ended up in Venezuela's treasury because
the seller was an institution with ties to the government, the
report relays.

Nonetheless, the threat by Mr. Borges, the opposition leader, that
a new government would not make good on these bonds seems
unlikely, the report notes.

The report discloses that that is because these bonds carry
covenants aimed at preventing an issuer from favoring one bond
holder over another.  So paying BlackRock or JP Morgan and not
Goldman would open Venezuela to lawsuits.

All of which suggests that, despite the controversy over the
Goldman trade, foreign investors will keep lining up to buy Pdvsa
bonds, the report adds.

"This is the only source of foreign currency the government has,"
said Mr. de Sousa, the Venezuelan expert at Oxford, notes NY
Times.  "So I think the government will continue to sell more of
these types of bonds to foreign investors," he added.

As reported by The Troubled Company Reporter-Latin America,
S&P Global Ratings, on Feb. 28, 2017, affirmed its 'CCC' long-term
foreign and local currency sovereign credit ratings on the
Bolivarian Republic of Venezuela.  The outlook on both long-term
ratings remains negative.  S&P also affirmed its 'C' short-term
foreign and local currency sovereign ratings.  In addition, S&P
affirmed its 'CCC' transfer and convertibility assessment on the
sovereign.


                            ***********


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


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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, Ivy B.
Magdadaro, and Peter A. Chapman, Editors.

Copyright 2017.  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 Joseph Cardillo at
856-381-8268.


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