/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/180807.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Tuesday, August 7, 2018, Vol. 19, No. 155 Headlines B R A Z I L BRAZIL: Ex-President Lulu Nominated for Poll Despite Jail Term D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Payout Fails to Recapitalize Central Bank P U E R T O R I C O BREAST CANCER INSTITUTE: Disclosure Statement Hearing on Oct. 10 BROOKSTONE COMPANY: Files for Chapter 11 to Facilitate Sale BROOKSTONE HOLDINGS: Case Summary & 30 Largest Unsecured Creditors STONEMOR PARTNERS: ACII Holds 6.2% of Common Units STONEMOR PARTNERS: Axar Capital Owns 17.5% of Common Units V E N E Z U E L A PETROLEOS DE VENEZUELA: Reactivated Control of Crude Oil Movements VENEZUELA: Annual Inflation Hits 82,766% in 12Mos. Ending July VENEZUELA: Officials Say President Unharmed After 'Attack' - - - - - =========== B R A Z I L =========== BRAZIL: Ex-President Lulu Nominated for Poll Despite Jail Term -------------------------------------------------------------- BBC News reports that former Brazilian President Luis Inacio Lula da Silva has been nominated to run for office again in October's elections despite currently being in jail on a 12-year sentence for corruption. Some 2,000 members of his Workers Party declared him their candidate by a show of hands in Sao Paulo, BBC News relates. BBC News relates that Lula leads most opinion polls but may not be allowed to stand. He has denied taking bribes and says his conviction is part of a plot to prevent him returning to power, the report notes. According to BBC News, a message from the former leader was read to party members, many wearing Lula masks, who had gathered for a convention in Brazil's main city. "They want to scrap the people's right to choose the president," the message said, quoted by AFP. "They want to create a democracy without the people. We have an enormous responsibility ahead." The party is not expected to name Lula's running mate until Aug. 6, the report states. BBC News says the appointment is important as the vice- presidential choice could potentially be elected president if Lula is not allowed to stand. Polls suggest Lula has almost double the support of his nearest rivals, the report says. Two other candidates were also nominated on Aug. 4 - Marina Silva by the centre-left Rede party and Geraldo Alckmin by the centre- right Social Democracy Party, BBC News discloses. According to the report, Lula was convicted of receiving a renovated beachfront apartment worth some BRL3.7 million as a bribe by engineering firm OAS. The report relates that the defence said his ownership of the apartment has never been proven and that his conviction rests largely on the word of the former chairman of OAS, himself convicted of corruption. Lula lost his first appeal in January, when the appeals court not only upheld his conviction but increased the sentence from nine- and-a-half years to 12, BBC News relates. He is still waiting for a final court judgement on whether he can run, but under current law someone who loses an appeal against a criminal conviction cannot stand for the presidency, the report adds. As reported in the Troubled Company Reporter-Latin America on Aug. 3, 2018, Fitch Ratings affirmed Brazil's Long-Term Foreign- Currency Issuer Default Rating (IDR) at 'BB-' with a Stable Outlook. "Brazil's ratings are constrained by the structural weaknesses in its public finances and high government indebtedness, weak growth prospects, a challenging political environment and corruption- related issues that have weighed on effective economic policy making and hampered the progress on reforms. The ratings are supported by Brazil's economic diversity and entrenched civil institutions, with its per capita income higher than the 'BB' median. The country's capacity to absorb external shocks is underpinned by its flexible exchange rate, low external imbalances, robust international reserves position, a strong net sovereign external creditor position, deep and developed domestic government debt markets, and a low share of foreign currency debt in total government debt," Fitch said. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Payout Fails to Recapitalize Central Bank -------------------------------------------------------------- Dominican Today reports that by the end of the first half, the Executive Branch transferred just a third of what was prescribed to recapitalize the Central Bank. According to the quarterly debt report submitted to Congress, the Government allocated RD$8.3 billion (US$166.0 million) in the first half of the RD$27.1 billion agreed for the entire year, Dominican Today says. Dominican Today discloses that the report doesn't specify whether those funds are part of the amounts not transferred last year, which weren't disbursed because the government's lack of financial capacity. Around RD$35.0 billion would remain to recapitalize a debt that had to be serviced last year, according to Law, Dominican Today notes. "The schedule agreed more than a decade ago between the Executive and the Central Bank said that the debt would be paid in 2017, but it did not happen. For this reason, both entities have been negotiating for over a year the reform of the Recapitalization Law (167-07) to agree on a new term," Listin reports, Dominican Today says. However, the terms of the discussion are unknown, Dominican Today notes. Central banker, Hector Valdez Albizu, said that last year his recommendation was to extend its recapitalization period to 20 years, or an additional 10 years to the original legislation, Dominican Today adds. As reported in the Troubled Company Reporter-Latin America on July 19, 2018, Fitch Ratings assigned a 'BB-' rating to Dominican Republic's USD1.3 billion bonds, maturing July 2028. The notes have a coupon of 6%. Proceeds from the issuance will be used for general purposes of the government, including the partial financing of the 2018 budget. ==================== P U E R T O R I C O ==================== BREAST CANCER INSTITUTE: Disclosure Statement Hearing on Oct. 10 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the District of Puerto Rico is set to hold a hearing on Oct. 10, at 2:00 p.m., to consider approval of the disclosure statement, which explains the proposed Chapter 11 plan for Breast Cancer Institute P.S.C. The hearing will take place at the Jose V. Toledo Federal Building and U.S. Courthouse, Courtroom No. 1. Objections to the disclosure statement must be filed no later than 14 days prior to the hearing. About Breast Cancer Institute Breast Cancer Institute, PSC, which conducts business under the name Advance Breast Center, is a healthcare company that provides breast imaging, mammography, diagnostic imaging, stereotactic biopsy, radiology services. It is based in Cavey, Puerto Rico. Breast Cancer Institute sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 18-01524) on March 22, 2018. In the petition signed by Vidal Rosario Leon, president, the Debtor disclosed $4.06 million in assets and $14.67 million in liabilities. Judge Brian K. Tester presides over the case. C. Conde & Assoc. is the Debtor's bankruptcy counsel. BROOKSTONE COMPANY: Files for Chapter 11 to Facilitate Sale ----------------------------------------------------------- Brookstone Company, Inc. said August 2 it is seeking a buyer. To facilitate the sale, the company filed voluntary petitions under chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware in Wilmington. Brookstone has also begun a process to close the company's remaining 101 mall store locations, following continued deterioration of traditional retail mall traffic. "Today we have taken several important steps to restructure the business and ensure that Brookstone will be well-positioned to succeed for years to come," said Brookstone CEO Piau Phang Foo. "The decision to close our mall stores was difficult, but ultimately provides an opportunity to maintain our well-respected brand and award-winning products while operating with a smaller physical footprint. We thank all our mall store employees and managers who have contributed so much despite an extremely challenging retail environment at malls and our thousands of loyal customers whom we look forward to continuing to serve." Foo continued, "Our airport, e-commerce and wholesale business divisions are operating successfully and should prove attractive to a buyer with the financial resources and vision to carry our company into the future." Brookstone will continue to provide customers with the same great product quality and variety for which the company is known through its 35 stores in airports across the United States and its successful e-commerce and wholesale businesses. Through an agreement with Wells Fargo Bank, NA, and Gordon Brothers Finance Company, the company has secured access to approximately $30 million in post-petition financing to support operations during the sale and restructuring process. The company reinforced it will pay vendors on a priority basis for goods and services ordered and received from this point forward. Brookstone is filing its customary first-day motions with the court to ensure that all operations continue without interruption. Airport stores will operate on normal hours, employees will be paid, and customer programs, including the use of gift cards and Brookstone Loves Reward Program points, will continue pending court approval, which is commonplace in such cases. Brookstone's legal advisors in connection with the restructuring are Gibson, Dunn & Crutcher, LLP and Young Conaway Stargatt & Taylor. Its financial advisor is Berkeley Research Group, LLC (BRG). GLC Advisors & Co., LLC serves as the company's investment banker. * * * This is the Company's second trip to Chapter 11 in the past five years. Know previously as Brookstone Holdings Corp., the Company and several affiliated debtors filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10752) on April 3, 2013, with a plan to sell its business to another retailer. Brookstone operated 242 retail stores across 40 states and Puerto Rico as of Feb. 1, 2014. Of those stores, 195 were generally located near "center court" in America's top retail centers and 47 were located in airports. Brookstone Holdings won court approval to sell itself to Sailing Innovation US Inc., a consortium of Chinese investors that plans to continue operating the majority of the specialty retailer's 240 stores after the company exited bankruptcy. Sailing Innovation -- formed by Sailing Capital and conglomerate Sanpower -- outbid Spencer Spirit Holdings Inc.'s stalking horse offer for Brookstone. Reports say Sailing paid more than $173 million for the company. Brookstone said Sailing paid a final purchase price of $137.5 million, net of cash and assumed liabilities. Spencer offered $146 million. U.S. Bankruptcy Court Judge Brendan Shannon in Wilmington approved a bankruptcy-exit plan that proposed to pay off Brookstone's approximately $51 million in bank loans with a loan provided by bondholders funding the restructuring. The Debtors tapped K&L Gates LLP and Landis Rath & Cobb LLP as attorneys, Deloitte Financial Advisory Services LLP as their financial advisors, Jefferies LLC as their investment banker, and Kurtzman Carson Consultants as claims agent in the 2013 restructuring. The DIP lenders were represented by Stroock & Stroock & Lavan LLP and Young Conaway Stargatt & Taylor LLP. Brookstone's Second Modified Joint Chapter 11 Plan of Reorganization became effective July 7, 2014. The Plan was confirmed on June 24. About Brookstone Founded in 1965, Brookstone is a U.S.-based product developer and retailer of wellness, entertainment, and travel products that are fun to discover, smart to use and beautiful in design. Brookstone products are available at its 35 retail locations in airports throughout the U.S., online at Brookstone.com and through select premium retailers worldwide. Media Inquiries: Abernathy MacGregor Sydney Isaacs Rivian Bell E-mail: sri@abmac.com rlb@abmac.com Jake Yanulis Senior Account Executive O: 212.371.5999 M: 917.710.7807 E: jjy@abmac.com Abernathy MacGregor Strategic Communications Counsel BROOKSTONE HOLDINGS: Case Summary & 30 Largest Unsecured Creditors ------------------------------------------------------------------ Affiliated companies that have filed voluntary petitions seeking relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Brookstone Holdings Corp. (Lead Debtor) 18-11780 aka Brookstone One Innovation Way Merrimack, NH 03054 Brookstone, Inc. 18-11781 Brookstone Company, Inc. 18-11782 Brookstone Retail Puerto Rico, Inc. 18-11783 Brookstone International Holdings, Inc. 18-11784 Brookstone Purchasing, Inc. 18-11786 Brookstone Stores, Inc. 18-11787 Big Blue Audio LLC 18-11789 Brookstone Holdings, Inc. 18-11790 Brookstone Properties, Inc. 18-11791 Business Description: Founded in 1965, Brookstone is a U.S.- based developer and retailer of wellness entertainment, and travel products. As of the Petition Date, Brookstone operates 137 retail stores across 40 states and Puerto Rico. In addition, the Debtors operate one liquidation center in North Conway, New Hampshire. Of the 137 retail stores, 102 stores are located in malls and 35 stores are located at airports. The Debtors' corporate headquarters are located in Merrimack, New Hampshire. Brookstone also operates a single 400,000 square feet distribution center in Mexico, Missouri. The Debtors are 100% owned by Sanpower Group Co., Ltd. through a series of wholly-owned intermediate holding companies. Chapter 11 Petition Date: August 2, 2018 Court: United States Bankruptcy Court District of Delaware Judge: Hon. Brendan Linehan Shannon Debtors' Bankruptcy Counsel: Matthew J. Williams, Esq. David M. Feldman, Esq. Matthew K. Kelsey, Esq. Keith R. Martorana, Esq. Jason Zachary Goldstein, Esq. GIBSON, DUNN & CRUTCHER LLP 200 Park Avenue New York, New York 10166 Tel: (212) 351-4000 Fax: (212) 351-4035 Email: mjwilliams@gibsondunn.com dfeldman@gibsondunn.com mkelsey@gibsondunn.com kmartorana@gibsondunn.com jgoldstein@gibsondunn.com Debtors' Delaware Counsel: Michael R. Nestor, Esq. Sean M. Beach, Esq. Andrew L. Magaziner, Esq. YOUNG CONAWAY STARGATT & TAYLOR, LLP Rodney Square 1000 North King Street Wilmington, Delaware 19801 Tel: (302) 571-6600 (302) 571-6621 Fax: (302) 571-1253 Email: mnestor@ycst.com sbeach@ycst.com amagaziner@ycst.com Debtors' Financial Advisors: BERKELEY RESEARCH GROUP, LLC Debtors' Investment Banker: GLC ADVISORS & CO. Debtors' Claims, Noticing, Balloting and Administrative Agent: OMNI MANAGEMENT GROUP Web site: https://is.gd/fq5dHM Estimated Assets: $50 million to $100 million Estimated Liabilities: $100 million to $500 million The petitions were signed by Stephen A. Gould, secretary. A full-text copy of Brookstone Holdings' petition is available for free at http://bankrupt.com/misc/deb18-11780.pdf List of Debtors' 30 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ Ssg-Shenzhen Yuan Chuang Merch $39,399,679 Int'L Trading Company Ltd Guangdong Province, 518101 Tel: 86-755-2970-1598 Email: simonfung@sanpowergroup.com Sz Telstar Co, Ltd Merch $827,156 Attn: Controller Merrimack, NH 03054 Tel: 952-239-9241 Fax: 0755-89567502 Email: rezaaghelnejad@comtechsales.com Simon Property Group, Inc. Rent $779,146 225 West Washington Street Indianapolis, IN 46204 Tel: 317-263-7742 Email: Erica.Mace@simon.com After Shokz LLC Merch $473,952 6057 Corporate Drive East Syracuse, NY 13057 Tel: 315 657 1295 Email: bill@aftershokz.com Asia Combine Co., Ltd Merch $453,019 17 Riverside St Nashua, NH 03062 Tel: 714-851-0688 / 86 130 2881 5373 Email: asiacomb@icloud.com / gchen@asiacomb.com.cn GGP Rent $441,568 350 North Orleans, Suite 300 Chicago, IL 60654-1607 Tel: 312-960-5401 Email: Nancy.Bernero@ggp.com Emerge Technologies, Inc. Merch $331,344 Dept. 3779 Dallas, TX 75312 3779 Tel: 508-277-9330 Email: jay@dedicatedsales.com Axent Wear, Inc. Expense $309,317 21515 Hawthorne Blvd Torrance, CA 90503 Email: victoriahu.rm@gmail.com Shenzhen Cham Battery Techno Merch $296,461 B3 Bldg. Gao Xin Jian Shenzhen Guang Don, 518103 Tel: 86 755 2518 5991 Email: sammy@powerocks.com Shenzhen Forrest Health Merch $277,072 Building 2A, No 48 Shenzhen, Tel: 86 755 2518 5991 Email: Pan@forrestmassager.com Qbe Insurance Corporation Expense $239,846 Attn. Lynn Grunst Sun Prairie, WI 53596 Tel: 608-837-4440 Fax: 608-837-0583 Pilot Air Freight Corp Expense $218,557 Pob Ox 654058 Dallas, TX 75265-4058 Tel: 484-234-4375 Cozzia Usa LLC Merch $201,519 861 S. Oak Park Road Covina, CA 91724 Tel: 410-271-0923 Email: JohnC@cozziausa.com Taubman-Cherry Creek Lp Rent $193,986 P.O. Box 67000 Detroit, MI 48267-0898 Tel: 248-258-7562 Email: Jsanders@Taubman.com Demandware Inc. Expense $192,033 5 Wall Street Burlington, MA 01803 Tel: 978-430-7565 Email: Tpetzold@salesforce.com Westfield Concession Management Rent $191,896 Attn: Judy Tuttle, VP 2730 University Boulevard West 900 Wheaton, MD 20902 Tel: 310-689-5623 Email: Cbuenaventura@westfield.com Federal Express Expense $186,127 P.O. Box 371461 Pittsburgh, PA 15250-7461 Tel: 855-552-5393 Ext 3078 Email: ccjeffries@fedex.com The Bernard Group Expense $185,254 19011 Lake Drive East Chanhassen, MN 55317 Tel: 952-934-1900 Scosche Merch $184,852 1550 Pacific Ave Oxnard, CA 93034 Tel: 805 486 4450 Email: tylerd@scosche.com Grantec Zhangzhou Co. Ltd Merch $184,394 14F B04 Bldg Software Par Fujian, Tel: 0592-6296673 Fax: 0592-6296663 Email: lee@grantec.com.cn Session M, Inc. Expense $182,250 2 Seaport Lane Boston, MA 02210 Tel: 888-226-9756 Macerich Rent $180,072 401 Wilshire Boulevard, Suite 700 Santa Monica, CA 90401 Tel: 602-953-6328 Email: Tamara.Ortega@macerich.com Boston Retail Partners, LLC Expense $179,187 P.O. Box 2252 Birmingham, AL 35246-1058 Tel: 781-858-1086 Email: sjoyce@bostonretailpartners.com Acctron Company Limited Merch $177,766 Attn:Controller Merrimack, NH 03054 Email: desmond@acctron.net.cn Jiangsu Cross-Border Merch $168,840 E-Comm Service Co Ltd Nanjing, China, 210049 Tel: 86-025-84356754 Fax: 86-025-84356508 Aon Risk Services Northeast, I Expense $167,857 P.O. Box 7247-7376 Philadelphia, PA 19170-7376 Tel: 617-482-3100 Fax: 617-542-2597 Samsonite LLC Merch $163,022 Dept Ch 19296 Palatine, IL 60055-9296 Tel: 415-922-1959 Fax: 415-922-8659 Email: Linda.Doty@Samsonite.com Little Upstarts, Inc. Merch $159,587 2589 Sandhurst Drive Lewis Center, OH 43035 Tel: 781-974-6863 Email: jene@jemasales.com Taishin Electronic Co Ltd Merch $140,386 Attn:Controller Merrimack, NH 03054 Email: sherryhuang@chinataishin.com Health Care Co Ltd Merch $137,156 No 999 Gaonan Road Dingyan Rugao City STONEMOR PARTNERS: ACII Holds 6.2% of Common Units -------------------------------------------------- In a Schedule 13D/A filed with the Securities and Exchange Commission, these entities reported beneficial ownership of common units representing limited partner interests of StoneMor Partners L.P. as of July 31, 2018: Shares Percentage Beneficially of Reporting Persons Owned Units ----------------- ------------ ---------- American Cemeteries Infrastructure Investors, LLC 2,364,162 6.2% AIM Universal Holdings, LLC 2,364,162 6.2% StoneMor GP Holdings LLC 2,332,878 6.1% Matthew P. Carbone 2,364,162 6.2% Robert B. Hellman, Jr. 4,732,751 12.5% The percentages are calculated based upon 37,958,645 Common Units outstanding on June 20, 2018, as disclosed by the Issuer on its annual report on Form 10-K, filed July 17, 2018. The Schedule 13D, as amended, was filed on behalf of American Cemeteries Infrastructure Investors, LLC, AIM Universal Holdings, LLC, the sole manager of ACII, StoneMor GP Holdings LLC, Matthew P. Carbone, a managing member of AUH, and Robert B. Hellman, Jr., a director of StoneMor GP LLC, the general partner of the Issuer, and a managing member of AUH. These common units representing limited partner interests are held by ACII. AUH is the sole manager of ACII. The Managing Members are managing members of AUH and may be deemed to share voting and dispositive power over the Common Units held by ACII. On July 31, 2018, StoneMor GP Holdings LLC, a Delaware limited liability company, and Robert B. Hellman, Jr., in his capacity as trustee under the Voting and Investment Trust Agreement for the benefit of American Cemeteries Infrastructure Investors, LLC, entered into a non-binding Memorandum of Understanding with Axar Capital Management, LP, a Delaware limited partnership, and pursuant to which each of Axar and ACII indicated on a non-binding basis, among other things, to support a corporate reorganization to transition the Issuer from a Delaware limited partnership into a newly formed Delaware corporation, to be named StoneMor Inc. whose common stock is expected to be listed for trading on the New York Stock Exchange. Pursuant to the MOU, Axar and ACII have indicated on a non-binding basis, provided that (i) the corporate reorganization is to be effected on the terms outlined in the MOU and is approved by the Conflicts Committee of the board of directors of the General Partner and (ii) the terms of the settlement of the incentive distribution rights and the economic interest of the General Partner agreed to between the Conflicts Committee and each of ACII and GP Holdings are reasonably acceptable to Axar, to enter into voting agreements to vote their common units of the Issuer in favor of the corporate reorganization. In addition, the MOU contemplates certain post-conversion governance provisions relating to StoneMor Inc., including that the merger agreement for the corporate reorganization will provide for a nine member board of directors, with ACII having the right to designate two directors and Axar having the right to designate one director, so long as each holds specified amounts of common stock, as well as a standstill agreement to be entered into by each of Axar and ACII limiting their respective actions with respect to StoneMor Inc. so long as each has board representation. The MOU also contemplates that, if definitive agreements relating to the corporate reorganization are entered into, each of ACII and Axar will have the right to participate, pro rata, based on its respective ownership percentage of the outstanding equity, in future equity raises, if any, by the Issuer or StoneMor Inc. A full-text copy of the regulatory filing is available at: https://is.gd/8nB6Jy About StoneMor Partners StoneMor Partners L.P., headquartered in Trevose, Pennsylvania -- http://www.stonemor.com/-- is an owner and operator of cemeteries and funeral homes in the United States, with 322 cemeteries and 93 funeral homes in 27 states and Puerto Rico. StoneMor is the only publicly traded death care company structured as a partnership. StoneMor's cemetery products and services, which are sold on both a pre-need (before death) and at-need (at death) basis, include: burial lots, lawn and mausoleum crypts, burial vaults, caskets, memorials, and all services which provide for the installation of this merchandise. Stonemor reported a net loss of $75.15 million on $338.22 million of total revenues for the year ended Dec. 31, 2017, compared to a net loss of $30.48 million on $326.23 million of total revenues for the year ended Dec. 31, 2016. As of Dec. 31, 2017, Stonemor had $1.75 billion in total assets, $1.66 billion in total liabilities and $91.69 million in total partners' capital. * * * In April 2018, S&P Global Ratings affirmed its 'CCC+' corporate credit rating on StoneMor Partners L.P. S&P said, "The rating affirmation reflects our expectation that the company can generate operating cash flow of approximately $25 million in 2018 to support operating needs for at least another year." STONEMOR PARTNERS: Axar Capital Owns 17.5% of Common Units ---------------------------------------------------------- In a Schedule 13D/A filed with the Securities and Exchange Commission, Axar Capital Management, LP, Axar GP, LLC and Andrew Axelrod disclosed that as of July 31, 2018, they beneficially own 6,650,613 common units representing limited partnership interests, constituting 17.5% of the Units outstanding. On July 31, 2018, the Investment Manager entered into a non- binding Memorandum of Understanding with the General Partner and Robert Hellman, in his capacity as trustee under the Voting and Investment Trust Agreement for the benefit of American Cemeteries Infrastructure Investors, LLC pursuant to which each of the Investment Manager and ACII indicated on a non-binding basis, among other things, their intention to support a corporate reorganization to transition the Issuer from a Delaware limited partnership into a newly formed Delaware corporation, to be named StoneMor Inc., whose common stock is expected to be listed for trading on the New York Stock Exchange. Pursuant to the MOU, the Investment Manager and ACII have indicated on a non-binding basis, provided that (i) the corporate reorganization is to be effected on the terms outlined in the MOU and is approved by the Conflicts Committee of the board of directors of the General Partner and (ii) the terms of the settlement of the incentive distribution rights and the economic interest of the General Partner agreed upon by the Conflicts Committee, on one hand, and ACII and StoneMor GP Holdings LLC, on the other hand, are reasonably acceptable to the Investment Manager, their intention to enter into voting agreements to vote their Common Units of the Issuer in favor of the corporate reorganization. In addition, the MOU contemplates certain post-conversion governance provisions relating to StoneMor Inc., including that the merger agreement for the corporate reorganization will provide for a nine member board of directors, with ACII having the right to designate two directors and the Investment Manager having the right to designate one director so long as each holds specified amounts of Common Units, as well as a standstill agreement to be entered into by each of the Investment Manager and ACII limiting their respective actions with respect to StoneMor Inc. so long as each has board representation. The MOU also contemplates that, if definitive agreements relating to the corporate reorganization are entered into, each of ACII and the Investment Manager will have the right to participate, prorata based on its respective ownership percentage of the outstanding equity in future equity raises, if any, by the Issuer or StoneMor Inc. The MOU may result in the Reporting Persons being deemed a "group" with ACII and certain of their affiliates within the meaning of Section 13(d) of the Securities Exchange Act of 1934, as amended. Although the Reporting Persons and the ACII Reporting Persons may be deemed to be a "group" with each other within the meaning of Section 13(d) of the Exchange Act, the Reporting Persons do not believe that they are part of a group with the ACII Reporting Persons and expressly disclaim membership in any "group" with the ACII Reporting Persons. A full-text copy of the regulatory filing is available at: https://is.gd/vlXrEf About StoneMor Partners StoneMor Partners L.P., headquartered in Trevose, Pennsylvania -- http://www.stonemor.com/-- is an owner and operator of cemeteries and funeral homes in the United States, with 322 cemeteries and 93 funeral homes in 27 states and Puerto Rico. StoneMor is the only publicly traded death care company structured as a partnership. StoneMor's cemetery products and services, which are sold on both a pre-need (before death) and at-need (at death) basis, include: burial lots, lawn and mausoleum crypts, burial vaults, caskets, memorials, and all services which provide for the installation of this merchandise. Stonemor reported a net loss of $75.15 million on $338.22 million of total revenues for the year ended Dec. 31, 2017, compared to a net loss of $30.48 million on $326.23 million of total revenues for the year ended Dec. 31, 2016. As of Dec. 31, 2017, Stonemor had $1.75 billion in total assets, $1.66 billion in total liabilities and $91.69 million in total partners' capital. * * * In April 2018, S&P Global Ratings affirmed its 'CCC+' corporate credit rating on StoneMor Partners L.P. S&P said, "The rating affirmation reflects our expectation that the company can generate operating cash flow of approximately $25 million in 2018 to support operating needs for at least another year." ================= V E N E Z U E L A ================= PETROLEOS DE VENEZUELA: Reactivated Control of Crude Oil Movements ------------------------------------------------------------------ In order to maintain absolute control of the movements of crude oil between the yards of tankers and Western shipping terminals, the Operational Coordination Management of Petroleos de Venezuela, SA (PDVSA) reactivated its remote control in the Automated Operations Center ( COA) of La Salina. This strategic action will strengthen production in the West, through the control of inventories, balances and spaces in a permanent information management room on operational processes of receipt, storage, inspection and pumping of crude oil mainly to the Refining Center Paraguana (CRP). The Manager of Operational Coordination, Carlos Ramos, pointed out that this work station allows to obtain an overview of all the tankyards of the West and with it observe the variables of level, flow, pressure and temperature; important data to make timely decisions before the volumetric and quality commitments acquired with the production units and the refining centers. In this way, a real and instantaneous balance of oil movements will be maintained between tanks and terminals, interconnected by more than 1,400 kilometers of oil pipelines. The Brain of the COA The Operational Coordination Control Center in La Salina works as a conductor who guarantees the harmony of the different instruments of operations of the industry in the region. The West feeds 60% of the crude supplied to the CRP, especially the Amuay Refinery, from where lubricants, gasoline and diesel are distributed to the domestic market. From the COA room, all oil movement operations are managed and reliably and securely linked to the Falc¢n state, said the leader in Western Crude Programming, Ulises Lat†n. He informed that "he is in charge of managing the production of the West by lines 1, 2 and 3 towards the CRP and the export via ships from the Puerto Miranda and Bajo Grande embarkation terminals". With this philosophy replenished, delays are avoided in the delivery of shipments, pumping of ships and in the preparation of tanks, making increasingly efficient processes for the final delivery of crude oil for pumping, refining, export or mixing. Technological Accompaniment This update of work methodology from Operational Coordination in COA La Salina has been possible thanks to the technological accompaniment of the Management of AIT. JosÇ Silva, member of the management team of this management in the Eastern Shore of the Lake, in the Infrastructure area and in charge of the reactivation of the control center at the systems level, explained that in the work station the Acquisition System was installed of Data (Scada) Guardian of the Dawn, developed by PDVSA, that allows to monitor processes of remote way and to interact with them from a point, through communications and instrumentation systems. "These systems obey the need to control in a distant manner, allowing to reduce transfer costs, give an immediate response and make the most accurate decisions, in less time," Silva said. The activation of the Operational Coordination in the COA La Salina, with the accompaniment of AIT, translates into operational flexibility and the greatest added value to all the processes in the West, achieving an increasingly efficient management. The initiative is part of the recovery plan for the facilities carried out by the oil industry, within the framework of the Socialist Strategic Plan (PES) of PDVSA 2016-2026. As reported in the Troubled Company Reporter-Latin America on March 19, 2018, Moody's Investors Service downgraded Petroleos de Venezuela, S.A.(PDVSA)'s ratings to C from Ca. Moody's also lowered the company's baseline credit assessment (BCA) to c from ca. VENEZUELA: Annual Inflation Hits 82,766% in 12Mos. Ending July -------------------------------------------------------------- Reuters reports that Venezuelan consumer prices rose to 82,766 percent in the 12 months ending in July, a member of the opposition-run congress reported on Aug. 6, as the OPEC nation's hyperinflation continues to accelerate amid a broader economic collapse. According to Reuters, the government of President Nicolas Maduro stopped publishing economic indicators nearly three years ago as Venezuela's socialist economic system started falling apart, making opposition legislators the only source of such figures. Reuters relates that the International Monetary Fund last month estimated that Venezuela's consumer prices would rise 1,000,000 percent in 2018. Inflation in July slowed slightly to 125 percent from 128.4 percent in June, Reuters discloses citing opposition legislator Angel Alvarado. Maduro, who was reelected in May in a vote that dozens of foreign governments described as rigged, is preparing to remove five zeroes from the country's currency in an effort to keep up with inflation, Reuters notes. He insists the election was free and fair and says the situation is the result of an "economic war" led by the opposition and business leaders who are arbitrarily raising prices, says Reuters. As reported in the Troubled Company Reporter-Latin America on June 1, 2018, S&P Global Ratings, on May 29, 2018, removed its long- and short-term local currency sovereign credit ratings on Venezuela from CreditWatch with negative implications and affirmed them at 'CCC- /C'. The outlook on the long-term local currency rating is negative. At the same time, S&P affirmed its 'SD/D' long- and short-term foreign currency sovereign credit ratings on Venezuela. S&P's transfer and convertibility assessment remains at 'CC'. VENEZUELA: Officials Say President Unharmed After 'Attack' ---------------------------------------------------------- Emma Bowman and Jason Breslow at npr.org report that Venezuelan officials said President Nicolas Maduro has escaped an assassination attempt unharmed. President Maduro was giving a live televised speech in the capital city of Caracas when, a government spokesman said, explosive- carrying drones went off near the president, according to npr.org. The report notes that Communications Minister Jorge Rodriguez called the incident an "attack" on the leader, reports The Associated Press, and said seven National Guard soldiers were injured. President Maduro had been addressing the national troops about the country's economy during an event the government says was meant to mark the 81st anniversary of the country's National Guard, the report relays. ". . . several explosions were heard," Mr. Rodriguez said, according to the AP translation, in a national address immediately following the incident, the report relays. "The investigation clearly reveals they came from drone-like devices that carried explosives," the report discloses. But, the wire service adds, firefighters at the site of the explosion are disputing the government's account of what it called an "attack," the report says. Footage posted on Twitter by Venezuela channel NTN24 TV shows the moment the scene descended into chaos before the broadcast was cut off, the report notes. President Maduro is seen looking toward the sky in confusion, the report relays. What looks to be hundreds of soldiers break formation before scattering, the report adds. The report discloses that President Maduro blamed the alleged attack on far-right factions in Venezuela, in addition to the U.S. and Colombian governments, freelance reporter John Otis tells NPR. "This was an assassination attempt, they tried to assassinate me," President Maduro said in a televised address, the report relays. President Maduro named Colombian President Juan Manuel Santos as being behind the attack, according to "initial investigations," without elaborating, the report notes. Reuters cites a Colombian government source as saying Maduro's allegation was "absurd" and that Santos was celebrating his granddaughter's baptism, the report relays. "He is not thinking of anything else, least of all bringing down foreign governments," the source said, the report notes. Meanwhile, some opposition supporters condemned the attack, the report relays, citing The New York Times. "This is not the way out of the Venezuelan crisis," Nicmer Evans, a political scientist aligned with the opposition, tells the paper, the report notes. "No one wants the exit to be the death of someone to resolve this country's situation. " The alleged attack comes less than three months after President Maduro won a second term as president in an election that his main rivals and independent observers say was marred by fraud, the report discloses. President Maduro, 55, succeeded Hugo Chavez when the longtime Venezuelan socialist died of cancer in 2013, the report says. Since taking power, President Maduro has presided over a collapsing economy, hyperinflation, widespread hunger and a mass exodus of refugees seeking to escape dire conditions inside Venezuela, the report notes. President Maduro's government was the target of an assault last June, when Oscar Perez, a rogue pilot dropped grenades from a helicopter on the Venezuelan Supreme Court and fired on the Interior Ministry, the report notes. One of Venezuela's most wanted men, Perez died in January after government forces launched an attack on an alleged terrorist cell, the report adds. As reported in the Troubled Company Reporter-Latin America on June 1, 2018, S&P Global Ratings, on May 29, 2018, removed its long- and short-term local currency sovereign credit ratings on Venezuela from CreditWatch with negative implications and affirmed them at 'CCC- /C'. The outlook on the long-term local currency rating is negative. At the same time, S&P affirmed its 'SD/D' long- and short-term foreign currency sovereign credit ratings on Venezuela. S&P's transfer and convertibility assessment remains at 'CC'. *********** Monday's edition of the TCR-LA delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR-LA editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR-LA constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR-LA editor holds some position in the issuers' public debt and equity securities about which we report. Tuesday's edition of the TCR-LA features a list of companies with insolvent balance sheets obtained by our editors based on the latest balance sheets publicly available a day prior to publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. Submissions about insolvency-related conferences are encouraged. Send announcements to conferences@bankrupt.com *********** S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Latin America is a daily newsletter co-published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A. Chapman, Editors. Copyright 2018. 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. . * * * End of Transmission * * *