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/raid1/www/Hosts/bankrupt/TCRLA_Public/200214.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Friday, February 14, 2020, Vol. 21, No. 33 Headlines A R G E N T I N A ARGENTINA: Delays Bond Payment ARGENTINA: IMF to Have Debt Talks With President Fernandez B R A Z I L ALUPAR INVESTIMENTO: Fitch Affirms BB IDRs, Outlook Stable CAMIL ALIMENTOS: S&P Affirms 'BB-' LongTerm ICR, Outlook Positive D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Electricity Market Must End Improvisation J A M A I C A CIBONEY GROUP: Still Operates Despite Losses JAMAICA: Estimates of Expenditure for 2020/2021 to be Tabled SWEET RIVER ABATTOIR: Delisted From JSE Junior Market P A N A M A ENA ESTE: Fitch Alters Outlook on BB- IDR to Negative P U E R T O R I C O VAQUERIA ORTIZ: Seeks 60-Day Extension to File Disclosure & Plan - - - - - ================= A R G E N T I N A ================= ARGENTINA: Delays Bond Payment ------------------------------ Globalinsolvency.com, citing Bloomberg News, reports that Argentina said it won't make a local bond payment on time after failing to refinance the debt, declaring it won't be "held hostage" by foreign investors demanding their money back. The maturity date for the note will be delayed to Sept. 30 from the original Feb. 13, the Economy Ministry said in a statement obtained by the news agency. The move comes after a local debt sale flopped and only a few investors agreed to participate in a debt swap that would have bought the country extra time to come up with the cash, the report notes. The delay reflects Argentina's dire financial situation after a currency crisis sent the economy into a recession, and the standoff with creditors in the local market is seen by some as a potential prelude to the much-bigger restructuring ahead for the country's overseas debts, 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 current president 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: IMF to Have Debt Talks With President Fernandez ---------------------------------------------------------- GlobalInsolvency.com reports that Argentine President Alberto Fernandez has likened negotiating the nation's debt to playing poker. Bloomberg News reported that Fernandez will have to show some of his cards to the International Monetary Fund, according to the report. IMF negotiators land in Buenos Aires for their first mission since the leftist president took office in December, the report notes. Before agreeing to any changes in the terms of their current deal, they will want to see Fernandez's blueprint for tackling more than $320 billion in total debt and for rescuing an economy that's forecast to shrink for a third straight year, the report relays. Talks with the IMF, to which Argentina owes $44 billion, will be key for an even bigger negotiation with bondholders to avoid a default, 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 current president 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. =========== B R A Z I L =========== ALUPAR INVESTIMENTO: Fitch Affirms BB IDRs, Outlook Stable ---------------------------------------------------------- Fitch Ratings affirmed Alupar Investimento S.A.'s Foreign Currency and Local Currency Issuer Default Ratings at 'BB' and 'BBB-', respectively, and its National Scale Rating at 'AAA(bra)'. The Rating Outlook is Stable. Alupar's ratings reflect its low business risk associated with the combination of its operations in the electric energy transmission and generation segments, as well as a positive asset base diversification, which dilutes operational risks. The transmission segment is characterized by high EBITDA margins and great predictability of operating cash generation. On the generation segment, Fitch expects the company to present robust performance and positively manage its exposure to the current hydrological risk. The rating action also considers the reduction of the group's construction and financing risks in the development of its new transmission lines as the projects obtained most of the pending environment licensees and credit lines in 2019. Fitch expects consolidated adjusted net leverage to peak at 4.7x in 2020 due to capex concentration to anticipate the delivery of the projects and associated revenues, returning to levels consistent with the current IDRs in 2022. The holding company Alupar also presents robust credit metrics and is in a position to appropriately meet its debt service obligations and forecasted equity contributions to projects under developments through current cash position, expected dividends to be received and proved financial flexibility. The new investments will offset the drop in revenues and operating cash generation from some older transmission lines concession that will occur in the coming years. Alupar's FC IDR is constrained by Brazil's country ceiling of 'BB', as the company generates the large majority of its revenues in local currency (BRL), with no relevant cash and committed credit facilities abroad. Fitch also considers the three-notch difference between the company's LC IDR and the sovereign rating as appropriate due to the regulated nature of the power sector. The Stable Outlook on the LC IDR and on the National Scale Rating is based on Fitch's view that the company will be able to strengthen its already diversified asset base while preserving a robust financial profile, compatible with companies in the industry in the same rating level. Fitch believes Alupar's robust cash position and high financial flexibility will support the group to manage the expected negative FCF, associated with the relevant investment cycle in the period 2020-2021. The Stable Outlook for the FC and LC IDRs also reflects the same Outlook on Brazil's 'BB-' sovereign rating. KEY RATING DRIVERS Low Business Risk: Alupar's ratings incorporate the group's low business risk associated with the combination of its activities in the transmission and generation of electricity. In transmission, concessions are based on long-term contracts and revenue is generated through the availability of its 22 operating assets, without demand risk and annually adjusted for inflation. The group has also adequate customer diversification and receivables structure that includes guarantees. Fitch considers positive the fact that this segment will continue to be the main business of the company. Fitch sees energy transmission as the lowest risk in the electric energy sector and it fully concentrates Alupar's ongoing investments from 2020 to 2022. In the generation segment, long-term contracts for the sale of a large part of the assured energy of the assets and the partial protection for hydrological risk also create an expectation of strong operational cash generation. According to Fitch's projections, the relevance of this segment in the group's EBITDA, estimated at 25% for 2020, will reduce after the conclusion of transmission lines under construction, mainly from 2022 on. Alupar is a medium player in this segment in Brazil with installed capacity of 580 MW in operational phase and 84 MW under construction. Strong Financial Profile: Fitch believes that consolidated financial metrics will be consistent with the current IDRs in 2022 if no new project is added. Considering the current portfolio of projects under development, Fitch estimates a punctual increase in the group's net leverage during the elevated investment cycle in 2019 and 2020, with an increase in operating cash generation mainly after 2021. In the LTM ended on Sept. 30, 2019, the adjusted net debt/EBITDA ratio was 3.8x, according to Fitch's criteria, and should gradually decrease to 3.0x in 2022, after the peak of 4.7x in 2020, assuming an EBITDA of BRL1.4 billion this year. Manageable Negative FCF: On a consolidated basis, Alupar will present negative FCF of BRL1.5 billion in 2019 and BRL1.5 billion in 2020, pressured by disbursements of the investment program of approximately BRL3.3 billion in the period and by the dividend distribution corresponding to 50% of net income. Fitch estimates consolidated dividend distribution of BRL375 million in 2019 and BRL340 million in 2020, when the group's annual cash flow from operations (CFFO) is expected to reach BRL750 million to BRL800 million. Considering the conclusion of the projects under construction after 2021, Alupar is expected to boost its net revenues to BRL2.4 billion, EBITDA to BRL1.7 billion and CFFO to BRL1.2 billion in 2022, which will quickly strengthen the FCF to around BRL800 million. Positive Asset Recomposition: Fitch considers Alupar's new investments important to sustain significant revenues within the group. Based on permitted annual revenue (RAP) cycle from July 2019 to June 2020, out of the total RAP of operating assets from BRL681 million - corresponding to its proportional holdings - less than half is exposed to a 50% reduction by 2024. The group is not expected to have an aggregate revenue reduction in the period, as the BRL313 million exposed to RAP reduction in the period will be offset by the new projects under construction. The company was successful in recent transmission auctions, securing the entry of BRL456 million in additional RAP in new projects to be concluded mainly up to 2021. Reduced Construction Risk: Alupar made relevant progress in mitigating the risks associated with the development of its transmission projects in 2019. Out of the nine projects under development, the group obtained the installation license (LI) of six in 2019, one in 2018 and one in 2017, while the last one, located in Colombia, is scheduled for the first half of 2020. Excluding the project in Colombia, Alupar has already contracted the financing structure for other eight special purpose companies (SPEs). In total, BRL4.0 billion were raised in eight long-term debenture issuances, which will represent an average leverage of 88% in SPEs. This allows an anticipation in physical construction of the projects, with the completion within the deadlines foreseen in three projects between September 2019 and January 2020 and completion before the maximum deadline for the others during 2020 and 2021. DERIVATION SUMMARY Alupar has a stronger financial profile than its Latin American peers such as Interconexion Electrica S.A. E.S.P. (ISA; BBB+/Stable), Transelec S.A. (BBB/Stable) and Consorcio Transmantaro S.A. (CTM; BBB-/Stable). All of the companies have low business risk profiles and predictable cash flow generation, which is a characteristic of electricity transmission companies operating in a regulated industry. The main differentiation in the ratings of these companies is the country from which their main revenues are generated and the location of their assets. While its peers are in investment-grade countries, Alupar's ratings are negatively impacted by the country ceiling of Brazil (BB). In the case of Transmissora Alianca de Energia Eletrica S.A.'s (Taesa; FC IDR BB/Stable), also located in Brazil, the company has a diversified portfolio of transmission companies and a robust financial profile, with some expected increase in leverage metrics due to investments. KEY ASSUMPTIONS RAPs adjusted annually by inflation, with a 50% reduction for transmission assets whose concession agreement contemplates this movement after the 15th year of operation; Generation scaling factor of 84% from 2020 to 2023; Operating expenses adjusted by inflation; Distribution of dividends equivalent to 50% of net income; Total investments of BRL4.5 billion during 2019-2021 period and absence of acquisitions and/or new investments out of the current portfolio; Return of the development of the transmission lines TNE and ELTE not incorporated during 2020-2023 period. RATING SENSITIVITIES Developments That May, Individually or Collectively, Lead to Positive Rating Action: As the Foreign Currency IDR is constrained by the country ceiling (BB) and the Local Currency IDR is considered limited to three notches above the sovereign rating (BB-), an upgrade is unlikely in the short term. Developments That May, Individually or Collectively, Lead to Negative Rating Action: Deterioration in Alupar's consolidated financial profile, with net leverage above 3.5x on a sustainable basis; Funds from operations (FFO) adjusted net leverage above 4.0x on a sustainable basis; Total debt/dividends received over 3.0x and net debt/dividends received over 2.0x at the holding level; Investments in projects with risks significantly higher than existing ones and weak financial structures; A more challenging environment in Brazil's power sector; Negative rating actions on Brazil's sovereign rating may also pressure Alupar's IDRs. LIQUIDITY AND DEBT STRUCTURE Strong Liquidity Profile: Fitch believes that Alupar group will continue to benefit from a high liquidity position and broad access to the banking and capital markets, in order to adequately finance the expected relevant negative FCF in the next couple of years. On a consolidated basis, the group's cash position, of BRL2.9 billion at the end of September 2019, covered its short-term debt of BRL813 million by 3.6x. Fitch also expects that the operating cash generation of new transmission lines will be adequate to service their debt. In the case of the holding company, it must use its significant cash reserves to supply the needs of its projects, maintaining a debt maturity schedule compatible with its cash flow expectations. As of Sept. 30, 2019, its cash position of BRL646 million (22% of the consolidated amount) was similar to the total debt of BRL690 million. The dividends inflow is its main source of funds, with BRL249 million received in the LTM ended on Sept. 30, 2019. In the same period, the total debt-to-received dividends ratio was 2.8x. Alupar should be able to maintain the net debt-to-received dividends ratio below 1.5x during the investment cycle until 2022. SUMMARY OF FINANCIAL ADJUSTMENTS Accounting effect of infrastructure revenues and costs excluded in the FDR. ESG CONSIDERATIONS Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of 3. ESG issues are credit neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. CAMIL ALIMENTOS: S&P Affirms 'BB-' LongTerm ICR, Outlook Positive ----------------------------------------------------------------- S&P Global Ratings affirmed its long-term 'BB-' global scale and 'brAAA' national scale issuer credit ratings on Brazil-based food processor Camil Alimentos S.A. S&P said, "The positive outlook on the global scale rating mirrors the one on the sovereign, because we cap the rating on Camil by the sovereign, although its stand-alone credit profile (SACP) is 'bb'. "The ratings affirmation reflects our expectation that Camil Alimentos S.A. (Camil) will revert the declining trend on its EBITDA margins that occurred in the first half of 2019. We've already seen evidence of recovering margins in the third quarter of the 2019 fiscal year, which ended in November 30, 2019." The full integration of SLC Alimentos, better sugar and canned fish prices, the conclusion of the ramp-up of its sugar packing facility, a modest improvement in its grain business, and its continuous effort to optimize its selling, general, and administrative (SG&A) expenses should bring Camil's margins back to 9%-10% in 2020; more aligned with historical levels. The industry's margins have been pressured by higher competition in the cash-and-carry segment and by small local players pressuring price adjustments amid higher input costs. In this scenario, Camil's EBITDA margins in the first half of 2019 averaged about 7.0%, although they recovered to above 9% in the third quarter of 2019. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Electricity Market Must End Improvisation ------------------------------------------------------------- Dominican Today reports that Energy and Mines Minister Antonio Isa Conde urged the Dominican Republic's electricity market "to end the era of improvisation and concentrate on achieving an increasingly technical, planned, monitored and measured sector." The official spoke in the discussion,"Planning of the electrical system in a renewable future" organized by the power companies (ADIE) and the Wartsila company, with exhibitions and panels of officials and executives, according to Dominican Today. All the players in the country's electricity market "must place the planning chip to take advantage of the new technologies in energy generation, transport and distribution," Isa said in a statement, the report notes. "But above all, for the successful integration of renewable energies into the interconnected electricity system, a fact that impacts favorably from the economic point of view with lower costs and better prices and from the environmental point of view the reduction of pollutant emissions to the atmosphere and alignment with the Sustainable Development Goals (SDGs)," 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). ============= J A M A I C A ============= CIBONEY GROUP: Still Operates Despite Losses -------------------------------------------- RJR News reports that listed company Ciboney Group continues to operate in the red. It has published its financial results for the six months ended November 2010 which show a $2 million loss, according to RJR News. That was a decline from the $2.3 million losses suffered during the same period in the previous year, the report adds. JAMAICA: Estimates of Expenditure for 2020/2021 to be Tabled ------------------------------------------------------------ RJR News reports that Jamaica Finance Minister Dr. Nigel Clarke will table the 2020/2021 Estimates of Expenditure. Parliament's Standing Finance committee will meet on February 24 and 25 to discuss the new Budget, according to RJR News. On March 10, Dr. Clarke will outline how the budget will be financed, the report notes. The Jamaican Government is to spend $859 billion during the current financial year, the report relays. According to the recently tabled Second Supplementary Estimates, the Government is proposing to spend an additional $8 billion, the report adds. About Jamaica As reported in the Troubled Company Reporter-Latin America, S&P Global Ratings in September 2019 raised its long-term foreign and local currency sovereign credit ratings on Jamaica to 'B+' from 'B'. The outlook is stable. At the same time, S&P Global Ratings affirmed its 'B' short-term foreign and local currency sovereign credit ratings on the country. S&P Global Ratings also raised its transfer and convertibility assessment to 'BB-' from 'B+'. RJR News reported in June 2019 that Steven Gooden, Chief Executive Officer of NCB Capital Markets, warned that the increasing liquidity in the Jamaican economy might result in heightened risk to the financial market if left unchecked. This, he said, is against the background of the local administration seeking to reduce the debt to GDP to 60% by the end of the 2025/26 fiscal year, which will see Government repaying more than J$600 billion which will get back into the system, according to RJR News. SWEET RIVER ABATTOIR: Delisted From JSE Junior Market ----------------------------------------------------- RJR News reports that Sweet River Abattoir & Supplies Company Limited has been delisted from the Junior Market of the Jamaica Stock Exchange (JSE). In a statement, the JSE said the delisting is effective Feb. 10, according to RJR News. It said the delisting is in accordance with a Junior Market Rule and the company's failure to remedy Board Level and Financial Requirements breaches the report adds. =========== P A N A M A =========== ENA ESTE: Fitch Alters Outlook on BB- IDR to Negative ----------------------------------------------------- Fitch Ratings has revised the Outlook to Negative from Stable and affirmed the ratings on four issuers of the infrastructure sector in Panama: Autoridad del Canal de Panama, Aeropuerto Internacional de Tocumen S.A., ENA Norte Trust and ENA Sur Trust. Fitch has also affirmed the rating and Outlook of ENA Este, S.A. RATING RATIONALE The rating actions follow the affirmation of Panama's Long-Term Issuer Default Rating at 'BBB' and the revision of its Outlook to Negative from Stable. Fitch applies the Government Related-Entities Rating Criteria in assigning credit ratings to ACP, AITSA, ENA Norte, ENA Sur and ENA Este. The rating dependency and notching approach between each of these ratings and that of the Panama sovereign is a function of their standalone credit profiles, the strength of the linkage with the government and its incentive to support. The Negative Outlook for Panama reflects a marked deterioration in fiscal deficits and a significant increase of the government's debt burden. In addition, the recent greater-than-anticipated growth deceleration creates additional challenges for fiscal consolidation. KEY RATING DRIVERS ACP Despite very strong financial metrics supporting a higher rating in comparison with Fitch's Rating Criteria for Ports and peers, ACP's ratings of 'A' are constrained at three notches above Panama's sovereign rating given the linkages between ACP and the Panamanian government. Thus, a downgrade of the IDR of Panama would result in a similar downgrade of the ratings of ACP. AITSA AITSA's notes are rated at 'BBB' as its SCP is assessed at the same level as the rating of the Panamanian sovereign. AITSA's ratings are linked to those of Panama due to the influence that government decisions may have in the operations of the airport. Thus, a downgrade of the IDR of Panama would result in a similar downgrade of the ratings of AITSA. ENA Norte, ENA Este and ENA Sur While the SCP of the projects continues to be the primary driver of each of their ratings, the ratings also factor Fitch's moderate assessment on the strength of the linkage between the three issuers and the Panamanian government. ENA Sur's rating of 'BBB' reflects its SCP profile of 'BBB' but its linkage with the government constrains it not to exceed Panama's rating. ENA Norte's rating of 'BBB-' reflects a one-notch uplift from its SCP due to the linkage with Panama; however, the rating is also capped at one notch below that of the sovereign. Therefore a downgrade in Panama's IDR would lead to a rating downgrade for these two issuers. In the case of ENA Este, the Outlook remains Stable as its 'BB' rating reflects a one-notch uplift from its SCP. A one-notch downgrade of Panama's IDR would not result in a downgrade of this issuer, provided ENA Este's SCP remains unchanged. RATING SENSITIVITIES Developments That May, Individually or Collectively, Lead to Negative Rating Action: ACP: - A negative rating action on the sovereign rating of Panama; - Although unlikely, significant adverse changes in trade policies or the overall macro environment that negatively affect the Canal's volume growth prospects on a sustained basis; - A material change in ACP's autonomy or operational ties with the sovereign through adjustments to the legal framework. AITSA: - A decline in the credit quality of the sovereign rating; -- Significant downsizing in operations from its anchor carrier, COPA Airlines, or a significant loss in passenger enplanements; - Sustained traffic volume declines. ENA Norte, ENA Este and ENA Sur: - A negative rating action on the Panama's sovereign rating; - Traffic underperformance that is not offset by toll adjustments; - O&M and major maintenance expenses materially above expectations that cause financial flexibility to be reduced and result in a materially lower observed DSCR for a sustained period of time. Developments That May, Individually or Collectively, Lead to Positive Rating Action: ACP: - Unlikely in the short term given the Negative Outlook of Panama. However, a positive rating action on the sovereign rating of Panama, could trigger a positive action for ACP. AITSA: - Although viewed as unlikely in the short term, quicker than expected deleveraging in conjunction with a positive sovereign rating action. ENA Norte, ENA Este and ENA Sur: - Although unlikely given the Negative Outlook of Panama, a positive rating action on Panama's sovereign rating could trigger a positive action for the projects; - Positive actions taken by the government to support bond holder's interests; - Sustained traffic performance above base case expectations. ESG CONSIDERATIONS Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of 3. ESG issuers are credit-neutral of have only a minimal credit impact on the entity, either due to their nature or to the way they are being managed by the entity. ENA Este, S.A./Debt/1 LT - LT BB; Affirmed ENA Norte Trust/Debt/1 LT - LT BBB-; Affirmed ENA Sur Trust/Debt/1 LT - LT BBB; Affirmed Aeropuerto Internacional de Tocumen, S.A./Debt/1 LT - LT BBB; Affirmed Autoridad del Canal de Panama - LT IDR A; Affirmed Autoridad del Canal de Panama/Senior Unsecured/1 LT - LT A; Affirmed ===================== P U E R T O R I C O ===================== VAQUERIA ORTIZ: Seeks 60-Day Extension to File Disclosure & Plan ---------------------------------------------------------------- Debtors Carlos H. Ortiz Colon and his wife Maribel Rodriguez Rios; and Vaqueria Ortiz Rodriguez Inc. need an extension of time of 60 days to file a Disclosure Statement and Plan of Reorganization. On January 7, 2020, an earthquake with a level 6.4 and 6.0 on the Richter Scale hit the southern part of Puerto Rico. The Debtors did not suffer the direct impact of the earthquake, but they have been affected by the indirect effects of the earthquake. To this date, the Debtors are trying to reorganize their financial affairs and increase income of the dairy farm in order to be able to propose a confirmable Chapter 11 Plan and comply with payments. The Debtors are still waiting for funds from the US Dept of Agriculture (Specifically the LIP of Livestock Indemnity Program) that will allow them to purchase close to 40-50 heads of cattle. The US Dept. of Agriculture has informed the Debtors that they are working with this issue and that they will be informed of the final decision soon. This has been delayed by the recent emergency caused by the earthquake. If Debtors are able to purchase 200 head of cattle, they will significantly increase production and be able to comply with payments of a Plan. The Debtors need an Extension of Time of 60 days of the Jan. 21, 2020 deadline, to file a Disclosure Statement and Plan of Reorganization in order to allow them to finalize the process with the FSA and the LIP program. A full-text copy of the motion dated January 21, 2020, is available at https://tinyurl.com/sjk9h2f from PacerMonitor.com at no charge. The Debtors are represented by: Homel A. Mercado Justiniano Calle Ramirez Silva #8 Ensanche Martinez Mayagez, PR 00680 Tel: (787) 831-2577 /805-2945 Fax: (787) 805-7350 E-mail: hmjlaw2@gmail.com hmjlaw@yahoo.com About Vaqueria Ortiz Rodriguez Vaqueria Ortiz Rodriguez, Inc., is a privately held company that operates in the dairy cattle and milk production industry. Vaqueria Ortiz Rodriguez previously sought bankruptcy protection (Bankr. D.P.R. Case No. 16-00063) on Jan. 11, 2016. Vaqueria Ortiz Rodriguez again sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 19-01386) on March 14, 2019. In the petition signed by Carlos Horacio Ortiz Colon, president, the Debtor disclosed $1,674,040 in assets and $3,686,701 in liabilities. The case is assigned to Judge Enrique S. Lamoutte Inclan. Homel Mercado Justiniano, Esq. is the Debtor's counsel. ********* 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 2020. 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 * * *