/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/200330.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 Monday, March 30, 2020, Vol. 21, No. 64 Headlines A R G E N T I N A ARGENTINA: Pandemic Throws Country Debt Strategy Into Disarray PETROQUIMICA COMODORO: Fitch Affirms LT IDR at B-, Outlook Neg. B A R B A D O S BARBADOS: Cruise Industry Expected to Benefit From COVID-19 Crisis B R A Z I L BRAZIL: Sao Paulo Starts 15-day Shutdown to Halt Spread of Virus E C U A D O R ECUADOR: Bonds Drop as Gov't. Calls for More Time to Raise Funds ECUADOR: Fitch Cuts LT Issuer Default Rating to CC EMPRESA PUBLICA: Fitch Cuts Senior Unsecured Notes to 'CCC' M E X I C O GRUPO IDESA: S&P Places 'CCC-' ICR on CreditWatch Negative P E R U PERU LNG: Moody's Cuts CFR B1, Outlook Neg. T R I N I D A D A N D T O B A G O METHANEX: No Plans to Cut Trinidad & Tobago Workers TRINIDAD & TOBAGO: Most Chambers Support Govt.'s Partial Shutdown V E N E Z U E L A VENEZUELA: Blasts "Unfounded" US Charges Against Maduro X X X X X X X X [*] BOND PRICING: For the Week March 23 to March 27, 2020 - - - - - ================= A R G E N T I N A ================= ARGENTINA: Pandemic Throws Country Debt Strategy Into Disarray -------------------------------------------------------------- globalinsolvency.com, citing the Financial Times, reports that Argentina's plans to restructure more than $100 billion of private sector debt have been thrown into disarray by the coronavirus pandemic, which is threatening to plunge the country's already struggling economy into an even deeper recession. While the crisis that has hit global investments could make creditors less willing to compromise, analysts warn, it could also embolden the government to push for a harsher deal, raising the chances of a disorderly default, according to globalinsolvency.com. But it could present an opportunity to the new leftist government of President Alberto Fernandez, providing a reason to escape its self-imposed deadline -- widely regarded as unrealistic -- of reaching a deal with creditors by the end of March, the report notes. Argentina is now into its third consecutive year of recession, with inflation running at around 50 per cent, after a currency crisis sent the economy off course in 2018, prompting austerity measures and a $57bn bailout from the IMF, 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. PETROQUIMICA COMODORO: Fitch Affirms LT IDR at B-, Outlook Neg. --------------------------------------------------------------- Fitch Ratings has affirmed Petroquimica Comodoro Rivadavia S.A.'s Long-Term Foreign and Local Currency Issuer Default Ratings at 'B-'. The Rating Outlook is Negative. PCR's 'B-' LT FC IDR is rated above the country ceiling or Ecuador and Argentina (CCC), supported by 50% of EBITDA from exports, offshore EBITDA from its Colombia operations and offshore readily available hard currency cash, which covers hard currency debt service by over 1.5x for the next 18 months. The Outlook reflects the operating environments and off-takers of the company, who Fitch expects will be further stressed by declining commodity prices and economic slowdown. PCR's LC IDR reflects the issuer's small oil and gas production size and reserve concentration, small cement business concentrated in the Patagonia region of Argentina and exposure to the Argentine electricity industry's regulatory risk. Fitch considers the company and its industry peers as having heightened counterparty risk with Compania Administradora del Mercado Mayorista Electrico (CAMMESA) as the main off-takers, given CAMMESA is highly dependent on the Argentine government subsidies in order to fulfil its obligations, but this risk is slightly mitigated under the RenovAR program with the presence of the FODER trust fund, which is prefunded, and is designed to be a payment guarantee to cover, ongoing power purchase agreement (PPA) payments and termination payment obligation arising from the rights of IPP to sell their project to the FODER in specific macroeconomic or sector risk occur. KEY RATING DRIVERS Adequate Debt Service Coverage: PCR's FC IDR is above the country ceiling of Ecuador (CCC) and Argentina (CCC). The rating is supported by the sum of 50% of EBITDA from Exports, EBITDA from off-shore business (Colombia) and offshore hard currency cash being greater than 1.5x the next 18 months of consolidated debt service. Further, the company is estimated to have a total debt to EBITDA of 2.6x over the rated horizon, with 2020 expected to be the highest at 4.0x, explained by lower EBITDA in its upstream business due to lower Brent prices, and the financing of its expansion in the renewables in Argentina. The company's debt service coverage benefits from its 20-year PPAs with CAMMESA contributing to a stable source of cash flow. Small Production Profile: PCR's ratings reflect its small and concentrated production profile, which is consistent the 'B' rating category. Although the company has exploration and production interest in nine blocks in Argentina (six), Ecuador (two) and Colombia (one), its asset base as well as all of the company's proved (1P) reserves and production is concentrated in Argentina (81%), Ecuador (21%) and Colombia (4%). This limited diversification exposes the company to operational and macroeconomic risks associated with small-scale oil and gas production. Fitch expects the company's production to be on average 15,000 boe per day (boed) from 2020-2023, a downward adjustment from previous years in response to a declining and volatile pricing environment. Hydrocarbon Reserves: The company reported a 25% decrease in 1P reserves to 38.4mmboe from 51.5mmboe. Fitch expects the company will maintain its 7.2 years by decreasing production by approximately 8,000boed. Further, the company's total debt to 1P increased by 59% to USD9.13/bbl from USD5.75/bbl. The company has strong concession life with the earliest material concession expiring in 2026. This concession, El Medanito, currently accounts for approximately 60% of production. Other concessions have longer expiration dates. Expansion into Renewables: Fitch believes PCR continues to demonstrate its ability to successfully construct and operate wind farm projects, after completing its 125MW Bicentenario (PEBSA I & II) projects ahead of the COD of 1Q19, for an estimated USD147 million, or USD1.2 million per MW, which is slightly below the industry average range of USD1.2 million-USD1.5 million per MW. PCR financed the expansion with a USD108 million, project finance loan (70% of the cost). PCR is currently in phase II of its expansion with the construction of an additional 200MW of wind farm projects (El Mataco and San Jorge) for an estimated USD250 million. The company has closed USD185 million of the USD250 million, through project finance debt from international lenders. The company remains on track to reach its COD of June 2002, potentially six months ahead of the committed COD with CAMMESA. Heightened Counterparty Exposure: PCR depends on payments from CAMMESA, which acts as an agent on behalf of an association representing agents of electricity generators, transmission, distribution and large consumers or the wholesale market participants (Mercado Mayorista Electrico; MEM). Recently CAMMESA payments have been delayed mostly explained by payment delays from distribution companies and FX volatility. This risk is slightly mitigated in the RenovAR program with the presence of the FODER trust fund, which is prefunded, and is designed to be a payment guarantee to cover, ongoing power purchase agreement (PPA) payments and termination payment obligation arising from the rights of IPP to sell their project to the FODER in specific macroeconomic or sector risk occur. The Banco de Inversion y Comercio Exterior (BICE) is the administrator of the FODER and the Federal Government of Argentina is required to fund the FODER, to assure it meets its obligations. DERIVATION SUMMARY PCR is a small oil and gas producer with operation in Argentina, Ecuador and Colombia. Argentina represents 67% of 2019 production while Ecuador contributed 27% and Colombia 6%. Production is expected decrease to an average of 15,000 boe/d through 2021, which is comparable with its 'B' rated peers, GeoPark Ltd (B+/Stable), Frontera Energy (B-/RWN), Gran Tierra Energy (CCC/RWN) and Compania General de Combustibles (CGC; CCC). Over the rated horizon, PCR will have the smallest production profile amongst rated peers in Latin America. Fitch estimates, Geopark will reach nearly 50,000 boed by 2020-21, Gran Tierra around 37,000boed, CGC with 40,000boed and Frontera Energy 65,000 boed. Further, PCR's reported 38.4 million boe of 1P reserves at the end of 2019 equating to a reserve life of 7.2 years is lower than line GeoPark at 9.0 years and higher than Frontera Energy's 4.0-5.0 years, Gran Tierra's 5.3 years and CGC's 5.3 years. PCR's cement segment is small and geographically focused and does not compare well to some of its peers in the region. PCR has a capacity of producing 750,000 tons per year compared with Cementos Pacasmayo (BBB-/Negative) with capacity: 4.9 million metric tons a year, Cementos Progreso (WD) with 5.0 million metric tons, and Cementos de Chihuahua (BB+/Stable) with 5.1 million metric tons. PCR's cement business is focused in the Patagonia region and has a strong market share due to its geographic location and production efficiencies caused by the lower freight and energy costs. PCR's cement margins historically have averaged 14% from 2014 through 2019, which is less than its peer's median of approximately 30%. PCR's gross leverage is expected to increase to 4.0x in 2020, explained by lower EBITDA in its upstream business due to brent prices and the increase indebtedness to finance its wind farm projects. PCR's gross leverage compares favorably to oil and gas peer CGC (4.0x) and Gran Tierra's 5.3x, but is higher than Geopark's 3.0x. Unlike its oil and gas peers, PCR does have a more diversified business model with its cement segment and the entry into renewable energy sector, so once its wind farms are fully in operation, the company's power business compares to Pampa Energia (CCC), MSU Energy (CCC), Capex S.A. (CCC) and Genneia (CCC). Similar to PCR, Pampa Energia and Capex both have oil and gas and energy business segments, taking into consideration that capex is a closer peer by scale compared with the much larger Pampa Energia. KEY ASSUMPTIONS Fitch's Key Assumptions Within the Rating Case for the Issuer - Average production to be 15,000 boed in from 2020 until 2023; - Revised Fitch's price deck per barrel of $41bbl in 2020, $48 in 2021, $53bbl in 2022 and $55bbl in 2023; - Cement sales growth linked to real GDP growth of Argentina; - Capex between 2020-2023 of USD191 million with an average annual capex of USD48 million; - Average dividends of USD6 million paid each year from 2020 through 2023; - PEBSA I & II completed in 2018, and PEBSA I has an awarded price per MWh of USD49.50 with an availability factor of 98% and average load factor of 55%; - San Jorge/Mataco starts operations in June 2020 with an availability factor of 98% and average load factor of 55%; - CAMMESA/FODER pay on time. RATING SENSITIVITIES Developments That May, Individually or Collectively, Lead to Positive Rating Action - An upgrade to the ratings of Argentina's and or Ecuador's sovereign rating could result in a positive rating action; - Diversification of operations outside of Argentina and Ecuador with cash flows from Colombia covering 12 months of hard currency debt service; - Net production rising consistently to 75,000 boed on a sustained basis while maintaining a total debt to 1P reserves of $8bbl or below; - Reserve life is unaffected as a result of production increase at approximately 10 years; - Sustained conservative capitals structure and investment discipline. Developments That May, Individually or Collectively, Lead to Negative Rating Action -- Sustainable production size decreased to below 15,000 boed; -- Reserve life decreased to below seven years on a sustained basis; -- Material delay in CAMMESA/FODER payments which materially impact working capital; -- Material delay or cancellation of Mataco/San Jorge projects or cancellation leading to significant penalty associated with RenoVar programs; -- A significant deterioration of credit metrics to total debt/EBITDA of 5.5x or more. LIQUIDITY AND DEBT STRUCTURE Adequate Liquidity: As of YE 2019, PCR reported a cash balance of USD80 million, which covers two years of interest expense. Fitch believes with a strong cash balance and cash flow from operations, the company will adequately cover its interest expense and upcoming maturities, but Fitch believes the company will likely refinance maturing debt during 2020-2023. Fitch's base case assumes PCR will be able to rollover these banks loans with local and international banks. In the event, PCR cannot refinance debt, Fitch estimates its FFO will average approximately USD60 million between 2020-2023, which with cash covers expected interest expense and debt service by an average of 1.7x between 2020 and 2021. ESG CONSIDERATIONS ESG issues are credit neutral or have only a minimal credit impact on the entity(ies), either due to their nature or the way in which they are being managed by the entity(ies). =============== B A R B A D O S =============== BARBADOS: Cruise Industry Expected to Benefit From COVID-19 Crisis ------------------------------------------------------------------ Caribbean360.com reports that Minister of Tourism and International Transport Kerrie Symmonds said Government's demonstrated commitment to cruise ships home porting in Barbados' waters, amid the COVID-19 crisis, could redound to its benefit in the months ahead. He said the country's humanitarian approach to the issue was already seeing positive results with the possibility of a Southern Caribbean Cruise Alliance allowing for a cruise itinerary in the summer being on the cards for Barbados, according to Caribbean360.com. Symmonds made the disclosures as he addressed a press conference to give an update on what was happening in the tourism sector amid the ongoing COVID-19 crisis, the report notes. Several cruise ships are currently anchored in Barbados' waters after the International Cruise Association suspended all cruises for a one-month period in the first instance, the report discloses. Passengers on board the cruise ships were repatriated back to their countries, while efforts are still ongoing to do the same for some crew members who remain on island, the report relates. "I don't think that there have been any negatives for Barbados, in terms of our relationships for partnering with the cruise lines as we did. The fact of the matter is that first of all, we honored contracts that we had to honor internationally," Symmonds said, the report notes. "The reality is that once you get into the home porting business, you are by law required to carry out certain levels of responsibility. It isn't only that you get the benefit of the ships coming here, and you get the advantage of an opportunity to make money off of provisioning . . .. There is also a little burden that you have to carry sometimes, and that burden is that you have to take your responsibility for the ships that homeport out of your shores," the report relays. Symmonds stressed that Government was now being viewed as a "trustworthy" partner, with others expressing a willingness to enter discussions on expanding relationships, the report discloses. "We have to see it as a benefit from the posture that we have taken. And, again, down the road it can only speak towards offering significant commercial opportunity to the country; employment benefits as well," he added. As reported on the Troubled Company Reporter-Latin America on Jan. 15, 2020, S&P Global Ratings, on Dec. 11, 2019, raised its long- and short-term foreign currency sovereign credit ratings on Barbados to 'B-/B' from 'SD/SD' (selective default). At the same time, S&P Global Ratings assigned its 'B-' issue-level foreign currency rating to Barbados' long-term foreign currency debt issued in its debt exchange. S&P Global Ratings also affirmed its 'B-/B' long- and short-term local currency sovereign credit ratings and 'B-' issue-level rating on Barbados' long-term local currency debt. =========== B R A Z I L =========== BRAZIL: Sao Paulo Starts 15-day Shutdown to Halt Spread of Virus ---------------------------------------------------------------- No late risers were bothered by traffic noise or the calls of street vendors in Sao Paulo on March 24, the start of a 15-day, coronavirus-triggered shutdown that encompasses South America's largest city and all of Sao Paulo state, home to 46 million inhabitants. City buses circulating on this metropolis' iconic Paulista Avenue were practically empty, while the typical flood of people pouring out of metro stations has dwindled to a trickle. As reported in the Troubled Company Reporter-Latin America, Fitch Ratings in November 2019 affirmed Brazil's Long-Term Foreign Currency Issuer Default Rating at 'BB-'. The Rating Outlook is Stable. ============= E C U A D O R ============= ECUADOR: Bonds Drop as Gov't. Calls for More Time to Raise Funds ---------------------------------------------------------------- globalinsolvency.com, citing the Financial Times, reports that Ecuador has acknowledged it will fail to make coupon payments on three bonds due but insists it will pay up within the 30-day grace period, as it scrambles for cash amid the Covid-19 outbreak and the crash in oil prices. In an online press conference, finance minister Richard Martinez said the government would make a $325 million payment due on March 31 on its 2020 bond, but needed more time to come up with $200 million to service bonds due in 2022, 2025 and 2030, the report notes. Coupon payments had been due this March 27 and March 28. He said Ecuador was in talks with all its creditors -- bondholders, bilateral lenders (notably China) and multilateral lenders -- to ease its debt burden, the report notes. Ecuador's financial woes have spooked markets, with the spread between Ecuadorean bonds and US Treasuries lately soaring to the kind of levels typically associated with default, the report relays. ECUADOR: Fitch Cuts LT Issuer Default Rating to CC -------------------------------------------------- Fitch Ratings has downgraded Ecuador's Long-Term Foreign Currency Issuer Default Rating to 'CC' from 'CCC'. Fitch has affirmed the Long-Term Local Currency IDR at 'CCC' and Short-Term Local Currency IDR at 'C' and subsequently withdrawn. Ecuador - LT IDR; CC; Downgraded; previously at CCC - ST IDR; C; Affirmed; previously at C - LC LT IDR; CCC; Affirmed; previously at CCC - LC LT IDR; WD; Withdrawn; previously at CCC - LC ST IDR; C; Affirmed; previously at C - LC ST IDR; WD; Withdrawn; previously at C - Country Ceiling; CCC; Affirmed; previously at CCC - Senior unsecured; LT CC; Downgraded; previously at CCC The ratings were withdrawn with the following reason: No longer considered by Fitch to be relevant to the agency's coverage. KEY RATING DRIVERS Fitch's downgrade of Ecuador's Long-Term Foreign Currency IDR to 'CC' signals its expectation that a default of some kind is probable following announcement by the authorities of their intent to renegotiate the terms of commercial debt liabilities while using the grace period on bond coupons due this week. This renegotiation, should it occur, is likely to culminate in a distressed debt exchange (DDE) in Fitch's view. Should this renegotiation not occur, there is a risk that the pending coupon payments or future ones could be missed when their grace periods elapse. Both scenarios would constitute default events under Fitch's criteria. On March 23, 2020, the Ecuadorian authorities announced their intention to pay the USD325 million Global 2020 bond maturity due on March 24, and to make use of the 30-day grace period on USD200 million in coupon payments (Global 2022, 2025 and 2030 bonds) due later in the week as they pursued a "consensual reorganization" of payments of both commercial and official-sector debt obligations. A renegotiation of commercial debt, should it occur, is likely to fulfil Fitch's criteria for a DDE as an operation taken to avoid a traditional payment default and resulting in a reduction in terms for bondholders. In recent days, congressional leaders have called for a temporary suspension of external debt repayment, and possibly permanent debt forgiveness as well, in the context of a health emergency. In view of this pressure, Fitch believes that Ecuador's ability to continue to paying bond coupons may be increasingly difficult to sustain in political and economic terms in the coming months, should a debt renegotiation not be reached. This announcement follows a series of adverse developments that have severely constrained the sovereign's liquidity position, including the sharp fall in oil prices, loss of capital market access, and delays in expected disbursements from the IMF and other multilateral banks. Fitch downgraded Ecuador's ratings to 'CCC' on March 19, 2020 to highlight growing challenges to debt repayment capacity and willingness, posing a real possibility of default of some kind. Fitch expects that emergency funding from multilaterals could be forthcoming in the context of the health emergency, based on recent statements by the IMF and authorities, but that this would not be of a magnitude sufficient to overcome challenges to debt repayment capacity and willingness for an extended period. ESG CONSIDERATIONS Ecuador has an ESG Relevance Score of 5 for Political Stability and Rights as World Bank Governance Indicators have the highest weight in Fitch's Sovereign Rating Model (SRM) and is therefore highly relevant to the rating and a key rating driver with a high weight. Ecuador has an ESG Relevance Score of 5 for Rule of Law, Institutional and Regulatory Quality and Control of Corruption as World Bank Governance Indicators have the highest weight in the SRM and are therefore highly relevant to the rating and a key rating driver with a high weight. Ecuador has an ESG Relevance Score of 4 for Human Rights and Political Freedoms as World Bank Governance Indicators have the highest weight in the SRM and are relevant to the rating and are a rating driver. Ecuador has an ESG Relevance Score of 4 for Creditor rights as willingness to service and repay debt is relevant to the rating and is a rating driver. Ecuador has a long track record of default with commercial creditors due both to capacity and willingness issues. SOVEREIGN RATING MODEL (SRM) AND QUALITATIVE OVERLAY (QO) In accordance with its rating criteria, for ratings of 'CCC' and below, Fitch's sovereign rating committee has not utilized the SRM and QO to explain the ratings, which are guided instead by its ratings definitions. Fitch's SRM is the agency's proprietary multiple regression rating model that employs 18 variables based on three-year centered averages, including one year of forecasts, to produce a score equivalent to a Long-Term Foreign Currency IDR. Fitch's QO is a forward-looking qualitative framework designed to allow for adjustment to the SRM output to assign the final rating, reflecting factors within its criteria that are not fully quantifiable and/or not fully reflected in the SRM. RATING SENSITIVITIES The main factors that could, individually, or collectively, lead to a positive rating action include: -- A sustained alleviation of sovereign financing constraints, for example due to materialization of a large-scale financing source that reduces the probability of default. The main risk factors that, individually or collectively, could trigger a negative rating action include: -- Launch of a formal debt renegotiation by the authorities that Fitch deems to constitute a DDE; -- Failure to pay bond interest payments within grace periods stipulated in relevant documentation, or unilateral declaration of a debt moratorium. KEY ASSUMPTIONS Fitch projects global Brent prices to average USD41/barrel in 2020 and USD48/barrel in 2021, in line with the baseline assumption set out in the March 2020 Global Economic Outlook (GEO). ESG CONSIDERATIONS Ecuador has an ESG Relevance Score of 5 for Political Stability and Rights as World Bank Governance Indicators have the highest weight in Fitch's Sovereign Rating Model (SRM) and is therefore highly relevant to the rating and a key rating driver with a high weight. Ecuador has an ESG Relevance Score of 5 for Rule of Law, Institutional and Regulatory Quality and Control of Corruption as World Bank Governance Indicators have the highest weight in the SRM and are therefore highly relevant to the rating and a key rating driver with a high weight. Ecuador has an ESG Relevance Score of 4 for Human Rights and Political Freedoms as World Bank Governance Indicators have the highest weight in the SRM and are relevant to the rating and are a rating driver. Ecuador has an ESG Relevance Score of 4 for Creditor rights as willingness to service and repay debt is relevant to the rating and is a rating driver. Ecuador has a long track record of default with commercial creditors due both to capacity and willingness issues. EMPRESA PUBLICA: Fitch Cuts Senior Unsecured Notes to 'CCC' ----------------------------------------------------------- Fitch Ratings has downgraded the senior unsecured notes issued by Empresa Publica de Exploracion y Explotacion de Hidrocarburos Petroamazonas EP due in November 2020 to 'CCC'/'RR4' from 'B-'/'RR4'. The notes have a total amount of approximately USD300 million outstanding. The rating action follows Fitch's recent downgrade of the Republic of Ecuador to 'CCC' from 'B-'/Outlook Stable. PetroAmazonas' senior unsecured notes ratings reflect those of Republic of Ecuador as a guarantor. The notes are fully covered by a sovereign guarantee, which constitutes a general, direct, unsecured, unsubordinated and unconditional obligation of the sovereign. The guarantee is backed by the full faith and credit of the Republic of Ecuador and ranks equally in terms of priority with other sovereign debt. This linkage reflects PetroAmazonas' importance to the government of Ecuador as the main supplier of the country's energy supply and a large contributor of U.S. dollar-linked revenues. KEY RATING DRIVERS The downgrade of Ecuador's ratings by one notch to 'CCC' reflects heightened risks to sovereign debt repayment capacity following the sharp fall in oil prices, loss of capital market access, and developments hindering timely disbursement of funds from the IMF and other multilaterals. In Fitch's view, the external shock and local political challenges to fiscal adjustments have materially increased risks to debt sustainability in addition to financing. Liquidity constraints have forced a need for policy adjustments that could become disorderly or result in build-up in arrears, with negative economic repercussions. Repayment capacity and willingness could come under greater pressure ahead of a hump in bond amortizations in 2022, regardless of the outcome of 2021 elections. The external shock has further complicated the sovereign's weak fiscal position in 2020, after a turbulent 2019, when political difficulties and social unrest hindered deficit reduction efforts. The IMF has called Ecuador's sovereign debt sustainable, even under stress scenarios, but risks have greatly increased in Fitch's view. Fiscal adjustment proved to be difficult in 2019, and a lasting shock to oil prices, growth and borrowing costs would greatly increase the fiscal effort needed to ensure debt sustainability to a magnitude unlikely to be economically or politically feasible. The external shock and sovereign liquidity stress could weigh heavily on economic activity. Fitch projects the economy will contract by 1.7% in 2020 after an estimated 0.3% contraction in 2019 as a result of public spending cuts, and with further downside risk should these cuts become disorderly and/or result in accumulation of arrears that impair private-sector sentiment. The coronavirus and containment measures will deal a further blow that is difficult to quantify. DERIVATION SUMMARY The rating of PetroAmazonas' notes linkage to the sovereign is similar in nature to its peers YPF S.A. (CCC), Petroleo Brasileiro S.A. (Petrobras; BB-/Stable), Ecopetrol S.A. (BBB/Negative), Petroleos Mexicanos (BB+/Negative), Petroleos del Peru - Petroperu S.A. (BBB+/Stable) and Empresa Nacional del Petroleo (ENAP; A/Negative). These companies all have strong linkage to their respective sovereigns given their strategic importance to each country and the potentially significant negative sociopolitical and financial implications their financial distress would have for their countries. The 'CCC'/'RR4' rating on PetroAmazonas's notes reflects its close linkage with the sovereign rating of Ecuador due to its strategic importance to the country as one of the largest suppliers of crude oil. Ecuador depends on oil exports as a significant source of hard currency for the country, which historically has represented 50% of the country's exports. The sovereign linkage is further evidenced by the sovereign guarantee provided to PetroAmazonas to cover its debt obligations under the notes. PetroAmazonas is well positioned relative to its peers in terms of reserves, reserve life, and debt/1P reserves. Despite adequate production levels and reserve life, political risk remains high for the company as its revenue generation totally depends on fund transfers from the government and timing for receiving them. KEY ASSUMPTIONS Fitch's Key Assumptions Within the Rating Case for the Issuer -- Senior unsecured notes fully guaranteed and paid by the Republic of Ecuador in 2020; -- Approved budget and consequent government transfers will be enough to cover operating expenses, capex investments and debt service payments. RATING SENSITIVITIES Developments That May, Individually or Collectively, Lead to Positive Rating Action - An upgrade of the sovereign. The main factors that could lead to a positive rating action on Ecuador: A sustained alleviation of sovereign financing constraints, for example due to progress on adjustment efforts or materialization of a large-scale financing source. Developments That May, Individually or Collectively, Lead to Negative Rating Action - A downgrade of the sovereign. The main factors that could lead to a negative rating action on Ecuador: Signs of probable default, including acute financing stress that could jeopardize repayment capacity or indications by the authorities of wavering willingness to service debt SUMMARY OF FINANCIAL ADJUSTMENTS Fitch included adjustments to company reported values, mainly associated to revenues. The company does not report any revenues. The Republic of Ecuador has not defined an income model in order to compensate Petroamazonas directly for is production efforts. Instead, the majority of Petroamazonas' operations are funded through an annual contribution from the Ministry of Finance in an amount equal to the General Budget approved by its board of directors. Given that this is the main source of income for the company, Fitch adjusted these contributions and reflected them as revenues. PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS Petroamazonas is a government-related entity and its ratings are equalized to those of Ecuador, which had its IDR downgraded to 'CCC' on March 19, 2020. =========== M E X I C O =========== GRUPO IDESA: S&P Places 'CCC-' ICR on CreditWatch Negative ---------------------------------------------------------- On March 24, 2020, S&P Global Ratings placed its 'CCC-' issuer credit rating on Grupo IDESA S.A. de C.V. on CreditWatch with negative implications. At the same time, S&P placed its 'CCC-' issue-level rating on the company's senior unsecured notes due 2020 on CreditWatch negative. Our recovery rating on the notes remains unchanged at '4'. S&P said, "We consider the proposed exchange for the outstanding senior unsecured notes due 2020 won't be tantamount to default if the company achieves the exchange of the notes at par value. On March 23, 2020, IDESA offered the bondholders of its outstanding 7.875% senior unsecured notes due 2020 an exchange of those notes for new 9.375% senior secured notes due 2026. "Our ratings on IDESA reflect our view that the exchange offering won't be tantamount to default, if successful under the proposed terms and conditions in the early tender. "According to our criteria, we treat exchange offers as tantamount to default when they meet two conditions: if they're distressed rather than purely opportunistic; and if the investor will clearly receive less value than the promise of the original securities. We consider IDESA's offering as distressed, rather than opportunistic, given that the outstanding $300 million notes' mature on Dec. 18, 2020. "However, in our view, the new notes offering doesn't imply a loss of value to investors, because we believe that the par-for-par exchange, with an increase of 150 basis points in the coupon rate, with the same periodicity and higher seniority ranking with a security package, would compensate for the six years-and-tenor extension." The offer has an early tender date on April 3, 2020, and a final expiration date on April 17, 2020. Bondholder consents that are received prior to the early expiration date would receive par value, plus a 1% premium. Consents received between April 3 and the final expiration date would receive 96% of par value under the exchange. Any transaction that closes at a discount below par value would lead us to reassess whether the exchange is tantamount to default, considering that investors could end up receiving less value than the promise of the original securities. Continued concerns about a payment default in the next three months. S&P believes IDESA faces an elevated risk of a payment default on its $130 million bank loan maturing June 20, 2020, if the company does not accomplish the exchange of its current notes, or unless unanticipated events improve its weak liquidity position over the next three months, or the company is able to refinance the loan. Moreover, the company's operational performance has continued declining, resulting in a funds from operations (FFO) deficit in the last 12 months, further worsening its liquidity profile. In our view, the company's progress on refinancing the loan remains uncertain. S&P said, "We expect to resolve the CreditWatch negative placement once the transaction is completed, reflecting the possibility of a downgrade if the company exchanges its notes under par value. We also expect to have more visibility about the company's ability to meet the $130 million obligation related to the loan due June 20, 2020." IDESA is a Mexican company that produces, stores, distributes, and commercializes several petrochemical and chemical products used as raw materials to manufacture everyday products. The company operates through its petrochemicals, distribution, and logistics business units; its 50% stake in the Cyplus Idesa and Tonalli Energía joint ventures; and its 25% equity interest in Braskem-Idesa. ======= P E R U ======= PERU LNG: Moody's Cuts CFR B1, Outlook Neg. ------------------------------------------- Moody's Investors Service downgraded PERU LNG S.R.L.'s corporate family rating and senior unsecured rating on the company's existing notes to B1 from Ba3. The rating action was driven by Moody's expectation that PLNG will continue to post weak cash flows and that its credit metrics will remain weak in the foreseeable future given low liquified natural gas prices. The rating outlook has been revised to negative from from stable. Downgrades: Issuer: PERU LNG S.R.L. Corporate Family Rating, Downgraded to B1 from Ba3 Senior Unsecured Regular Bond/Debenture, Downgraded to B1 from Ba3 Outlook Actions: Issuer: PERU LNG S.R.L. Outlook, Changed To Negative From Stable RATINGS RATIONALE The rapid and widening spread of the coronavirus outbreak, deteriorating global economic outlook, falling oil prices, and asset price declines are creating a severe and extensive credit shock across many sectors, regions and markets. The combined credit effects of these developments are unprecedented. The oil and gas sector has been one of the sectors most significantly affected by the shock given its sensitivity to consumer demand and sentiment. More specifically, the weaknesses in PLNG's credit profile, including its exposure to the demand liquefied natural gas (LNG), have left it vulnerable to shifts in market sentiment in these unprecedented operating conditions and PLNG remains vulnerable to the outbreak continuing to spread. Moody's regard the coronavirus outbreak as a social risk under its ESG framework, given the substantial implications for public health and safety. The action reflects the impact on PLNG of the breadth and severity of the shock, and the broad deterioration in credit quality it has triggered. PLNG is also exposed to production disruptions caused by adverse weather conditions or unplanned plant maintenance, among others. PLNG's cash generation in 2019 was weak mainly due to LNG prices than Moody's had expected for the year but also due to lower production. In 2019, although the company had sold 100% of its cargos to non-Henry Hub markets, which have recently had better commercial conditions vis-a-vis other markers, its average LNG price fell to $4.97 per million British thermal units (MMBtu) from $8.9/MMBtu in 2018. In addition, volumes were affected by an unplanned plant shutdown of 16 days, related to works in the Main Cryogenic Heat Exchanger and Dry Gas Flare, as well as adverse weather conditions that caused a total of 30 days of closure of the port where Peru LNG delivers LNG cargoes; as a result, the company's plant was closed for 46 days in the second quarter 2019. For 2020, Moody's expects PLNG's production in line with that of 2019, in the range of 210-215 trillion British thermal units (TBtus), and EBITDA to reach only $20 million, assuming that Henry Hub averages $2/MMBTU in the year. Moody's expects that PLNG's reported debt/EBITDA will start to decline in late 2020/early 2021 as the global economy recuperates from the negative effects of the coronavirus. However, credit metrics will remain weak in the foreseeable future. PLNG's B1 ratings are based on its exposure to natural gas and LNG prices volatility, which brings in operating risk, in addition to its high leverage and small and single operational asset base. These factors are somewhat counterbalanced by PLNG's low supply risk, high capacity utilization, limited competition risk, minimum foreign-exchange risk, adequate financial policies, strong shareholder support and its high relevance to Peru's trade balance and energy industry. PLNG has adequate liquidity. The company's cash on hand amounted to $140 million in December 2019 and it has a $75 million committed revolving credit facility that matures in 2021. However, Moody's estimates that it will generate negative free cash flow through December 2020. Interest expenses amount to $51 million per year and Moody's expects capital spending of $18 million and $35 million for 2020 and 2021, respectively. Moody's understands that the company will not pay dividends related to 2019. Most of PLNG's accounts payable are related to the $110 million in credit received from off-taker SITME, which has no specific maturity date. In addiiton, PLNG's debt maturity profile is comfortable because the amortization of the existing notes begins in September 2024. The negative rating outlook reflects Moody's expectation that PLNG's credit profile could continue to deteriorate during 2020 given low natural gas prices. PLNG's B1 ratings could be downgraded if its cash flow generation does not start to improve later in 2020 and its interest coverage ratio remains weak. In addition, a deterioration of the company's liquidity profile could lead to a rating downgrade. An upgrade is unlikely in the next 12 months given PLNG's negative outlook and Moody's expectations of negative free cash flow in 2020-21. The principal methodology used in these ratings was Midstream Energy published in December 2018. PLNG, based in Lima, has a 4.45 million tons per annum (mmtpa) natural gas liquefaction plant located in Pampa Melchorita (Cañete), a marine terminal, and a 408-kilometer pipeline that transports natural gas from the Camisea fields (Cusco, Peru). The company is committed to selling 218 TBtus of LNG per year to a subsidiary of Shell (SITME), which has committed to take-or-pay this annual volume (95% of PLNG's total capacity) until 2028. In 2019 it posted revenues of $674 million and EBITDA of $88 million. ===================================== T R I N I D A D A N D T O B A G O ===================================== METHANEX: No Plans to Cut Trinidad & Tobago Workers --------------------------------------------------- Trinidad Express reports that Canadian methanol producer, Methanex, says it does not plan to retrench any workers at its Titan methanol plant on the Point Lisas Industrial Estate as a result of its decision to idle the plant indefinitely. On March 16, Methanex said it was idling the Titan plant immediately and that it would idle its Chile IV plant on April 1. The company said it anticipated that methanol demand could be impacted in the second quarter of 2020, which starts on April 1, "as there has been a substantial reduction in manufacturing activity in countries that have had significant outbreaks of COVID-19," according to Trinidad Express. Methanex said as a result, it was reducing production at its methanol facilities, "where we have flexibility in our gas agreements, to prepare for lower demand for methanol," the report notes. Responding to questions from Express Business, Methanex said: "Given the uncertainty in the global economy and challenging commodity price environment, we are taking steps to strengthen our balance sheet, while maintaining financial flexibility, the report says. "One of these steps is reducing production at our methanol facilities where we have flexibility in our gas agreements, which includes our Titan plant in Trinidad. There are no plans for imminent staff reductions," the report relays. Methanex operates two methanol plants at Point Lisas: It owns 100 per cent of Titan, which was commissioned in 1999 and has production capacity of 850,000 metric tonnes a year; And it owns 63.1 per cent of Atlas, which was commissioned in 2004 and has nameplate capacity of 1.7 million metric tonnes a year. British energy giant BP owns the balance of shares in Atlas, the report relates. Methanex's five-year natural gas supply contract with the National Gas Company of T&T (NGC) expired on December 31, 2019 and the Vancouver-based company entered into an interim agreement with NGC for the supply of natural gas to Titan for the period from January 1, 2020 to January 31, 2020. That interim contract was extended to April 1, the report notes. Express Business was told that the two short-term contracts did not contain take-or-pay clauses that would have obliged Methanex to take a specified amount of natural gas from NGC for the term of the contract or pay for it. That explains the reference by Methanex to "flexibility in our gas agreement," the report discloses. But asked if it idled Titan to put pressure on NGC with regard to the new long-term, gas supply contract, Methanex said: "We are focused on continuing our discussions with NGC, and we will preserve the plant for a safe and efficient restart. We remain committed to doing business in Trinidad and Tobago," the report says. NGC Responds Express Business asked NGC whether, in the context of Methanex's US$1.2 billion market capitalisation on March 13, it would consider making a takeover bid for the Canadian company. NGC responded that it "would not discuss publicly any discussions around its growth strategy," the report relates. Asked if the ongoing natural gas supply negotiations between NGC and Methanex had anything to do with its decision to idle Titan, NGC said: "No, local negotiations are still in progress," the report discloses. As to whether NGC expects other operators on the Point Lisas estate to idle their plants, the local aggregator of natural gas said: "Each plant would make its own judgement based on changing market conditions," the report notes. Qestioned on the impact that the closure of Titan would have on natural gas sales to Methanex, NGC said: "It will negatively impact sales as there will be less revenue being earned in the aggregator part of the business," the report relates. And the Point Lisas-based company refused to disclose if it was given prior notice of the decision by Methanex to idle the Titan plant, saying only: "The decision is highly market sensitive and was handled professionally by Methanex," the report says. Methanex Finances Methanex is the world's largest producer of methanol, producing and supplying methanol to North America, the Asia Pacific, European, and South American markets, the report relates. Reporting its full-year 2019 financial results at the end of January, Methanex's revenue declined by 29 per cent to US$2.78 billion from US$3.93 billion, the report discloses. The methanol company's net income attributable to its shareholders plummeted by 84.45 per cent to US$87.8 million from US$568.8 million, the report relays. The sharp decline in the Vancouver-based company's profitability was partly due to the 27.2 per cent decline in its average realised price for methanol, which fell from US$405 per tonne in 2018 to US$295 per tonne in 2019, the report notes. The production of methanol attributed to the Methanex shareholders increased by 5.2 per cent to 7.58 million metric tonnes from 7.21 million metric tons, the report says. In his comments in the mathanol company's 2019 results, Methanex president John Floren said: "For the full year in 2019, we achieved record production results which was overshadowed by the impact of lower average realized pricing compared to 2018, the report relates. "We were very pleased to achieve production of 7.6 million tonnes of methanol in 2019, compared to 7.2 million tonnes in 2018, reflecting the significant improvement we have seen in our Chile production capability with both plants operating at high rates, the report notes. "These results reflect the investments we have made over the past few years to substantially increase our production capability and enhance our ability to service our customers," the report discloses Methanex was trading at a market capitalisation of about US$740 million, the report adds. TRINIDAD & TOBAGO: Most Chambers Support Govt.'s Partial Shutdown ----------------------------------------------------------------- Andrea Perez-Sobers at Trinidad Express reports that while some private sector bodies are in favor of the Government's decision to limit non-essential work in T&T for two weeks, the Trinidad and Tobago Chamber of Industry and Commerce is disappointed by this move. T&T Chamber chief executive Gabriel Faria told the Express that the chamber is displeased by the lack of collaboration and engagement with the private sector before the announcement of the decision, according to Trinidad Express. The report relays that Faria said: "I was in a meeting with the three ministers and the issue of not allowing non-essential workers came up and I told them let us do some planning, so that we do not end up in a panic. None of the ministers said let us discuss, but out of the blue this was announced to the population. Since the announcement I have received over 100 calls from the chamber members and the wider business community on who are classified as essential services and who are not." Faria said while the chamber recognises the need to take such measures, it is just disappointed that not enough planning and proactive engagement was not done to prevent businesses from going into panic, the report discloses. The American Chamber of Commerce of Trinidad and Tobago chief executive officer, Nirad Tewarie, said his chamber is in support of the announcement by the Government to more stringently enforce social distancing and he encouraged the population to abide by this, the report says. "In fact, our office has been closed since March 16, to protect our employees, their families and the wider population. We will be submitting a list of activities that we consider essential for the Government's consideration," Tewarie said, the report notes. The Couva Point Lisas Chamber of Commerce head, said the move taken was necessary so that citizens would see how grave the situation is, the report discloses. "People are still congregating and I observed people still shopping close by and not understanding the severity of COVID-19. This is the only measure to get the deadly virus under control," Maraj stated, the report says. And coordinator of the Confederation of Regional Business Chambers Jai Leladharsingh said people who are not compliant with the Government's restrictions are making it bad for businesses that are adhering to the rules, the report notes. "I don't even want to contemplate how many lives this virus will take in T&T, so this move had to be done. It is an essential step not everyone would like, but it has to be done and the CCRBC supports the Government," Leladharsingh added, the report adds. ================= V E N E Z U E L A ================= VENEZUELA: Blasts "Unfounded" US Charges Against Maduro ------------------------------------------------------- EFE News reports that the Venezuelan government said that the indictments made by the US government against President Nicolas Maduro and more than a dozen top Venezuelan officials for alleged drug trafficking, money laundering and terrorism are "unfounded." "Venezuela denounces . . . a new type of coup d'etat on the basis of vile, vulgar and unfounded accusations associated with the Chavista regime in Caracas, as well as two dissidents from the now disbanded Revolutionary Armed Forces of Colombia (FARC) guerrillas for drug trafficking, money laundering and terrorism," it said, according to EFE News. Venezuela Venezuela, officially the Bolivarian Republic of Venezuela, is a country on the northern coast of South America, consisting of a continental landmass and a large number of small islands and islets in the Caribbean sea. The capital is the city of Caracas. Hugo Chavez was president to Venezuela from 1999 to 2013. The Chavez presidency was plagued with challenges, which included a 2002 coup d'etat, a 2002 national strike and a 2004 recall referendum. Nicolas Maduro was elected president in 2013 after the death of Chavez. Maduro won a second term at the May 2018 Venezuela elections, but this result has been challenged by countries including Argentina, Chile, Colombia, Brazil, Canada, Germany, France and the United States who deemed it fraudulent and moved to recognize Juan Guaido as president. The presidencies of Chavez and Maduro have challenged Venezuela with a socioeconomic and political crisis. It is marked by hyperinflation, climbing hunger, poverty, disease, crime and death rates, social unrest, corruption and emigration from the country. Standard and Poor's long- and short-term foreign currency Sovereign credit ratings for Venezuela stands at 'SD/D' (November 2017). S&P's local currency sovereign credit ratings on the other hand Are 'CCC-/C'. The May 2018 outlook on the long-term local currency sovereign credit rating is negative, reflecting S&P's view that the sovereign could miss a payment on its outstanding local currency debt obligations or advance a distressed debt exchange operation, equivalent to default. Moody's credit rating (long term foreign and domestic issuer ratings) for Venezuela was last set at C with stable outlook (March 2018). Fitch's long term issuer default rating for Venezuela was last set at RD (2017) and country ceiling was CC. Fitch, on June 27, 2019, affirmed then withdrew the ratings due to the imposition of U.S. sanctions on Venezuela. =============== X X X X X X X X =============== [*] BOND PRICING: For the Week March 23 to March 27, 2020 --------------------------------------------------------- Issuer Name Cpn Price Maturity Country Curr ----------- --- ----- -------- ------- --- Embotelladora Andina S 3.5 37.9 8/16/2020 CL CLP USJ Acucar e Alcool SA 9.9 74.0 11/9/2019 BR USD Argentine Republic Gov 0.5 27.6 12/31/2038 AR JPY Plaza SA 3.5 38.3 8/15/2020 CL CLP Banco Security SA 3.0 5.6 7/1/2019 CL CLP Argentina Bonar Bonds 5.8 75.2 4/18/2025 AR USD Corp Universidad de Co 5.9 64.2 11/10/2021 CL CLP City of Cordoba Argent 7.9 73.1 9/29/2024 AR USD Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD MIE Holdings Corp 7.5 56.2 4/25/2019 HK USD Enel Americas SA 5.8 32.7 6/15/2022 CL CLP Empresa Provincial de 12.5 0.0 1/29/2020 AR USD Cia Energetica de Pern 6.2 1.1 1/15/2022 BR BRL Provincia de Buenos Ai 7.9 75.3 6/15/2027 AR USD Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD MIE Holdings Corp 7.5 56.2 4/25/2019 HK USD China Huiyuan Juice Gr 6.5 46.6 8/16/2020 CN USD Odebrecht Finance Ltd 7.0 17.0 4/21/2020 KY USD Yida China Holdings Lt 7.0 74.3 4/19/2020 CN USD Noble Holding Internat 6.1 62.0 3/1/2041 KY USD USJ Acucar e Alcool SA 9.9 74.0 11/9/2019 BR USD YPF SA 16.5 67.3 5/9/2022 AR ARS Provincia del Chubut A 4.5 2208 3/30/2021 AR USD Avadel Finance Cayman 4.5 55.0 2/1/2023 US USD Argentine Republic Gov 6.9 75.2 1/11/2048 AR USD Polarcus Ltd 5.6 71.8 7/1/2022 AE USD Argentine Republic Gov 8.3 74.5 12/31/2033 AR USD Provincia de Rio Negro 7.8 70.4 12/7/2025 AR USD KrisEnergy Ltd 4.0 40.4 6/9/2022 SG SGD Noble Holding Internat 5.3 60.5 3/15/2042 KY USD AES Tiete Energia SA 6.8 1.2 4/15/2024 BR BRL MIE Holdings Corp 7.5 56.4 4/25/2019 HK USD Banco Macro SA 17.5 65.2 5/8/2022 AR ARS Provincia de Rio Negro 7.8 70.3 12/7/2025 AR USD Empresa de Transporte 4.3 30.9 7/15/2020 CL CLP Argentina Bonar Bonds 7.6 74.4 4/18/2037 AR USD Automotores Gildemeist 6.8 54.9 1/15/2023 CL USD SACI Falabella 2.3 50.6 7/15/2020 CL CLP Sylph Ltd 2.4 65.1 9/25/2036 KY USD Banco Security SA 3.0 27.4 6/1/2021 CL CLP Argentine Republic Gov 4.3 70.0 12/31/2033 AR JPY Automotores Gildemeist 6.8 54.9 1/15/2023 CL USD Cia Latinoamericana de 9.5 74.3 7/20/2023 AR USD Provincia de Rio Negro 7.8 70.3 12/7/2025 AR USD Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Province of Santa Fe 6.9 74.7 11/1/2027 AR USD Embotelladora Andina S 3.5 37.9 8/16/2020 CL CLP USJ Acucar e Alcool SA 9.9 74.0 11/9/2019 BR USD Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Province of Santa Fe 6.9 75.2 11/1/2027 AR USD Odebrecht Finance Ltd 7.0 16.5 4/21/2020 KY USD Noble Holding Internat 6.2 62.2 8/1/2040 KY USD YPF SA 16.5 67.3 5/9/2022 AR ARS Banco Macro SA 17.5 65.2 5/8/2022 AR ARS Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Cia Latinoamericana de 9.5 73.9 7/20/2023 AR USD Automotores Gildemeist 8.3 54.2 5/24/2021 CL USD Province of Santa Fe 6.9 75.2 11/1/2027 AR USD Odebrecht Finance Ltd 7.0 16.5 4/21/2020 KY USD Province of Santa Fe 6.9 74.7 11/1/2027 AR USD Automotores Gildemeist 8.3 54.2 5/24/2021 CL USD Provincia de Cordoba 7.1 72.7 8/1/2027 AR USD Argentine Republic Gov 6.3 74.1 11/9/2047 AR EUR Provincia del Chaco Ar 4.0 0.0 12/4/2026 AR USD Fospar S/A 6.5 1.2 5/15/2026 BR BRL Empresa Electrica de l 2.5 63.8 5/15/2021 CL CLP Sociedad Austral de El 3.0 17.0 9/20/2019 CL CLP Provincia del Chaco Ar 9.4 74.8 8/18/2024 AR USD Argentine Republic Gov 7.1 75.7 6/28/2117 AR USD Provincia de Cordoba 7.1 74.7 8/1/2027 AR USD Metrogas SA/Chile 6.0 41.6 8/1/2024 CL CLP Esval SA 3.5 49.9 2/15/2026 CL CLP ********* 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 * * *