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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

          Thursday, January 16, 2020, Vol. 21, No. 12

                           Headlines



A R G E N T I N A

ARGENTINA: Launches Program to Combat Hunger
ARGENTINA: Takes 'Hardball' Stance on Buenos Aires Bonds
EMPRESA DISTRIBUIDORA: S&P Lowers ICR to 'CCC+', Outlook Negative


B E R M U D A

NORTHERN & WESTERN INSURANCE: Proofs of Debt Due by Feb. 14


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Big Firms Praises Land Dispute Decision
DOMINICAN REPUBLIC: Tourist Arrivals Fell 4.2% for Jan.-Nov. Period


M E X I C O

MEXICO: Aims for Greater Presence in China

                           - - - - -


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A R G E N T I N A
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ARGENTINA: Launches Program to Combat Hunger
--------------------------------------------
The Latin American Herald reports that President Alberto
Fernandez's administration rolled out a new program to fight hunger
in Argentina.

The program, called "Argentina contra el hambre" (Argentina against
Hunger), was announced last month and a decree published in the
Official Bulletin said the goal was to "guarantee the food security
and sovereignty of the entire population" amid the social emergency
in this South American nation, according to The Latin American
Herald.

The program, which will cost about ARS60 billion (some $1 billion),
provides participants with a card that allows them to buy food, as
well as providing access to school cafeterias, snack bars and
community dining halls, the report notes.

The Fernandez administration designed the program to include
policies for the "support of food production and sales" via the
"creation and strengthening of people's markets," the "financing of
economic solidarity producers" and "support for family agricultural
production," the report relays.

The program seeks to benefit "people who are in a situation of
social vulnerability and suffer from food insecurity," the decree
said, the report notes.

"Assistance will be provided to families and communities in a
situation of poverty, prioritizing those households with boys and
girls below age 6, pregnant women and people with disabilities.
Also, special attention will be given to older adults and teenagers
who have difficulties accessing adequate nutrition," the decree
said, the report relates.

In addition, the Fernandez administration said it was preparing "a
system for monitoring and evaluating the results and impacts of the
actions called for in the plan," which also seeks to "promote food
production systems via the strengthening of the solidarity economy"
and by incorporating "healthy food, hygiene and nutrition habits,"
the report says.

The report discloses that the food security plan notes that in the
past few years, Argentina experienced "a process of economic and
social deterioration, manifested in a considerable increase in
poverty, indigence and unemployment."

Based on official figures, some 35.4 percent of Argentina's
population, or about 14.4 million people, live in poverty, the
government said, the report notes.

The "food and nutritional emergency" in Argentina worsened in the
past week when three children from the Wichi indigenous community
died from malnutrition in the northern province of Salta, where
Social Development Minister Daniel Arroyo traveled to monitor the
situation, the report relays.

"Today we visited the indigenous communities in northern Salta
along with @GustavoSaenzOK, expressing the willingness of president
@alferdez to work jointly on the fight against hunger and for
access to water," the social development minister said in a Twitter
post, the report relates.

The Social Development Ministry has been given the mission of
implementing the program to fight hunger in Argentina, with the
goal of "modifying the mode of access of families to food" and help
enrich the lives of households, the report adds.

                        About Argentina

Argentina is a country located mostly in the southern half of South
America.  It's capital is Buenos Aires. Alberto Angel Fernandez is
the President-elect of Argentina after winning the October 2019
general election. He succeeded Mauricio Macri in the position.

Argentina has the third largest economy in Latin America.  The
country's economy is an upper middle-income economy for fiscal year
2019 according to the World Bank.  Historically, however, its
economic performance has been very uneven, with high economic
growth alternating with severe recessions, income maldistribution
and in the recent decades, increasing poverty.

Moody's credit rating for Argentina was last set at Caa2 from B2
with under review outlook. Moody's rating was issued on Aug. 30,
2019.  S&P Global Ratings, in December 2019, raised its foreign
currency sovereign credit ratings on Argentina to 'CC/C' from
'SD/D'.  S&P's outlook on the long-term sovereign credit ratings is
negative. Fitch Ratings, in December 2019, upgraded Argentina's
Long-Term Foreign-Currency Issuer Default Rating to 'CC' from 'RD',
and its Short-Term Foreign-Currency IDR to 'C' from 'RD'.  DBRS,
Inc. meanwhile downgraded Argentina's Long-Term and Short-Term
Foreign Currency - Issuer Ratings to Selective Default (SD), from
CC and R-5, respectively, also in December 2019.


ARGENTINA: Takes 'Hardball' Stance on Buenos Aires Bonds
--------------------------------------------------------
Colby Smith at The Financial Times reports that bonds issued by the
province of Buenos Aires fell sharply on Jan. 13 after a minister
in the national government said the state would not come to its aid
in making a big debt payment due at the end of this month, setting
investors on alert for tough negotiations over the country's
sovereign debt.

Debt backed by Argentina's most populous province and set to mature
in 2021 fell over 10 per cent to 62 cents on the dollar. Another
bond maturing in 2027 saw its price slip about 3 per cent to 44
cents, while government debt prices also wobbled, according to The
Financial Times.

Analysts said the treatment of the province's debt could prove to
be a test case for the country's government bonds, whose investors
are braced for the possibility of steep losses, the report relays.
"One simply cannot assess developments in one without directly
affecting the other one," said Alejo Czerwonko, a strategist at
UBS.  "They are tied at the hip," he added.

The report notes that the sell-off in the province's bonds came
after comments from economy minister Martin Guzman, who said in a
local newspaper that the government would not help to finance a
$250 million payment owed by the province on January 26.
Separately, the province of Buenos Aires owes another $321 million
to other creditors holding dollar-denominated debt and local-law
notes, the report relays.

Gordon Bowers, an emerging markets research analyst at Columbia
Threadneedle, noted that while there is a grace period for the
provincial government, the prospects of a default have risen, the
report discloses.

The terms of the 2021 bonds stipulate that Axel Kicillof, governor
of the province of Buenos Aires, has 10 days to make good on the
payment of principal and 31 days to make interest payments, the
report relays.  But hammering out a deal within that timeframe is a
"daunting task", said analysts at Argentina-based investment firm
Portfolio Personal Inversiones, the report notes.

Mr. Guzman said he expected "good faith" negotiations between
bondholders and government officials, the report notes.  But those
talks could become fractious if there is a missed payment,
according to a person familiar with the matter, the report relates.
"It could be disruptive if they are processing a default at the
same time," the person added.

Mr. Guzman's "hardball" approach, as Portfolio Personal Inversiones
put it, also hit Argentina's sovereign bonds, the report notes.

The price of the country's 100-year bond, sold in 2017, fell 2.6
per cent to 48 cents on the dollar, while another note maturing in
2028 dropped to 46 cents, the report relays.

Holders of the country's government bonds have been in limbo in
recent months, awaiting more clarity from president Alberto
Fernandez on his approach to restructuring $100 billion of debts,
the report notes. Bondholders are hoping not to lose too much of
their funds in an anticipated debt rejig, warning that large losses
would deflect future investment, the report says.

Mr. Fernandez said he aims to have a deal by March 31, a critical
juncture, given that Argentina owes roughly $3 billion to private
and official creditors between April and July, the report adds.

                        About Argentina

Argentina is a country located mostly in the southern half of South
America.  It's capital is Buenos Aires. Alberto Angel Fernandez is
the President-elect of Argentina after winning the October 2019
general election. He succeeded Mauricio Macri in the
position.

Argentina has the third largest economy in Latin America.  The
country's economy is an upper middle-income economy for fiscal year
2019 according to the World Bank.  Historically, however, its
economic performance has been very uneven, with high economic
growth alternating with severe recessions, income maldistribution
and -- in the recent decades -- increasing poverty.

Moody's credit rating for Argentina was last set at Caa2 from B2
with under review outlook. Moody's rating was issued on Aug. 30,
2019.  S&P Global Ratings, in December 2019, raised its foreign
currency sovereign credit ratings on Argentina to 'CC/C' from
'SD/D'.  S&P's outlook on the long-term sovereign credit ratings is
negative. Fitch Ratings, in December 2019, upgraded Argentina's
Long-Term Foreign-Currency Issuer Default Rating to 'CC' from 'RD',
and its Short-Term Foreign-Currency IDR to 'C' from 'RD'.  DBRS,
Inc. meanwhile downgraded Argentina's Long-Term and Short-Term
Foreign Currency - Issuer Ratings to Selective Default (SD), from
CC and R-5, respectively, also in December 2019.


EMPRESA DISTRIBUIDORA: S&P Lowers ICR to 'CCC+', Outlook Negative
-----------------------------------------------------------------
S&P Global Ratings, on Jan. 13, 2020, lowered its issuer credit and
issue-level ratings on Argentina-based electric utility Empresa
Distribuidora Y Comercializadora Norte S.A. (Edenor) to 'CCC+' from
'B-'.

After the deferral of the second rate adjustment in 2019, the next
tariff increase was scheduled to occur in January 2020. However,
the recently approved law postpones the next increase to at least
June 2020. S&P said, "This raises our uncertainties over the
application of the ITR going forward, according to which Edenor
would adjust rates following the domestic inflation twice a year
(February and August). It also heightens our concerns over the
company's credit metrics and cash flows amid increasing operating
costs and fixed rates since March 2019."

S&P said, "Although there's no definition on the amount of the rate
adjustment for 2020 yet, our base-case scenario incorporates a 20%
rate increase in June. In this context, we now expect Edenor to
cover its marginal cash flow deficits for about $30 million for
2020 by retaining a portion of the payments it owes to the
electricity market administrator, Compania Administradora del
Mercado Mayorista Electrico SA (CAMMESA), a similar situation to
the one during the Kirchner administration. For 2020, we now expect
debt to EBITDA to be 4.0x-5.0x and EBITDA interest coverage close
to 2.5x. In our view, if the tariff increase expected for June is
of 40% or above, Edenor wouldn't have to rely on retaining funds
from the market administrator to cover its operating and financial
needs for this year.

"In that sense, we now view Edenor's capital structure as
unsustainable, considering its vulnerable situation and its
reliance on favorable business and market conditions to meet its
operating and financial needs starting in 2021, including the
payment on its 2022 bullet bond.

"Our updated base-case scenario assumes the EBITDA interest
coverage metric of less than 1x by 2021, weighing on the company's
ability to cover interest payments on its 2022 bullet bond. As of
this report's date and after the company made the October principal
payment of $12.5 million on the 2.75% variable rate from Industrial
and Commercial Bank of China, the outstanding amount is $25 million
due 2020 (April and October) and $137 million which corresponded to
the 9.75% 2022 bond.

"We expect the company to cover the bank loan amortizations through
its cash position of $52 million as of September 2019 and internal
generated cash flows."

The additional significant principal payment on the 2022 bullet
bond (with $137 million currently outstanding) will occur in
October 2022, which the company will have to make amid uncertain
business conditions and restricted access to financing. In that
sense, S&P believes the company will depend on the upcoming rate
increases in order to meet the $13 million annual interest payments
on its 2022 bullet bond.




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B E R M U D A
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NORTHERN & WESTERN INSURANCE: Proofs of Debt Due by Feb. 14
-----------------------------------------------------------
Creditors of Northern and Western Insurance Company Limited (in
liquidation) are required to file their proofs of debt no later
than Feb. 14, 2020, to be included in the company's dividend
distribution.

The proof of debt form is available on request from
nwic.creditors@vg.ey.com

The completed proof of debt form should be sent to the Joint
Liquidators at their Bermuda address, marked for the attention of
David Bamgbade.  It can also be emailed to
nwic.creditors@vg.ey.com

Creditors may subsequently be required to provide additional
documents in support of their claim by written notice from the
Joint Liquidators or in default, they will be excluded from the
benefit of any distribution made before such debts are proved.

The Company's case is before the Eastern Caribbean Supreme Court
(In the High Court of Justice, Federation of Saint Christopher and
Nevis, Nevis Circuit).

The Liquidator's address is:

        Keiran Hutchinson
        Joint Liquidator
        EY Bermuda Ltd
        3 Bermudiana Road
        Hamilton HM08
        Bermuda




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D O M I N I C A N   R E P U B L I C
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DOMINICAN REPUBLIC: Big Firms Praises Land Dispute Decision
-----------------------------------------------------------
Dominican Today reports that the National Business Council (Conep)
on Monday expressed its support for the report by the Dominican
Republic Government's Interinstitutional Commission, on the
conflict over ownership of some land in El Seibo province, whose
result defends private property and legal security.

In a statement the business association praised the actions by said
Commission where the corresponding processes were carried out and
in a transparent manner, according to Dominican Today.  "With this,
the owners and limits of the property are established in an
institutional manner, which clarifies the situation before the
complaints of different organizations and community groups in the
province that claimed the land covered by Decree 485 of the year
1975 presuming that they were of eminent domain," the report
notes.

"The Conep as the main business association of the country,
promotes as part of its principles, legal security and the rule of
law, so it supports all actions aimed at guaranteeing its defense
and exercise.  This is a sample of responsibility and justice,
which must be replicated in any other similar process, regardless
of who is involved," said Conep executive vice president Cesar
Dargam, the report adds.

                  About Dominican Republic

The Dominican Republic is a Caribbean nation that shares the island
of Hispaniola with Haiti to the west. Capital city Santo Domingo
has Spanish landmarks like the Gothic Catedral Primada de America
dating back 5 centuries in its Zona Colonial district.

The Troubled Company Reporter-Latin America reported on April 4,
2019 that the Dominican Today related that Juan Del Rosario of the
UASD Economic Faculty cited a current economic slowdown for the
Dominican Republic and cautioned that if the trend continues,
growth would reach only 4% by 2023. Mr. Del Rosario said that if
that happens, "we'll face difficulties in meeting international
commitments."

An ongoing concern in the Dominican Republic is the inability of
participants in the electricity sector to establish financial
viability for the system.

Standard & Poor's credit rating for Dominican Republic stands at
BB- with stable outlook (2015). Moody's credit rating for Dominican
Republic was last set at Ba3 with stable outlook (2017). Fitch's
credit rating for Dominican Republic was last reported at BB- with
stable outlook (2016).


DOMINICAN REPUBLIC: Tourist Arrivals Fell 4.2% for Jan.-Nov. Period
-------------------------------------------------------------------
Dominican Today reports that during the first 11 months of 2019,
the arrival of tourists in the Dominican Republic fell 4.2%
compared to the same period of 2018, or 211,867 fewer tourists, the
Central Bank affirmed Monday.

It notes however that the figure was partially offset by the 15.2%
jump in the arrival of non-resident Dominicans, according to
Dominican Today.

The downward trend in the arrival of tourists continued to be
reflected in US (99,361) and Canadian (17,240) visitors, due to the
crisis from the death of tourists that affected the country's
tourism during that year and the impact of the global economic
slowdown in those sending countries, the report notes.

According to the report, during that period, 4.9 million
non-resident foreigners (tourists) arrived in the country, while on
the same date in 2018, more than 5 million non-resident foreigners
had visited the country, or 211,867 fewer (4.2%), the report
relays.

                  About Dominican Republic

The Dominican Republic is a Caribbean nation that shares the island
of Hispaniola with Haiti to the west. Capital city Santo Domingo
has Spanish landmarks like the Gothic Catedral Primada de America
dating back 5 centuries in its Zona Colonial district.

The Troubled Company Reporter-Latin America reported on April 4,
2019 that the Dominican Today related that Juan Del Rosario of the
UASD Economic Faculty cited a current economic slowdown for the
Dominican Republic and cautioned that if the trend continues,
growth would reach only 4% by 2023. Mr. Del Rosario said that if
that happens, "we'll face difficulties in meeting international
commitments."

An ongoing concern in the Dominican Republic is the inability of
participants in the electricity sector to establish financial
viability for the system.

Standard & Poor's credit rating for Dominican Republic stands at
BB- with stable outlook (2015). Moody's credit rating for Dominican
Republic was last set at Ba3 with stable outlook (2017). Fitch's
credit rating for Dominican Republic was last reported at BB- with
stable outlook (2016).




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M E X I C O
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MEXICO: Aims for Greater Presence in China
------------------------------------------
President Andres Manuel Lopez Obrador's administration wants Mexico
to have closer relations with China and a greater presence in the
Asian giant, aiming for complementarity rather than competition in
economic matters, Foreign Relations Secretary Marcelo Ebrard said
Monday.

"It has been pointed out a lot that China and Mexico compete in
everything, but it is not true. There are sectors in which we do
compete, but the complementarity of the two economies is more
important than competition," Ebrard said during an event on trade
with China organized by the Economy Secretariat.



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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.
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Chapman, Editors.

Copyright 2020.  All rights reserved.  ISSN 1529-2746.

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