/raid1/www/Hosts/bankrupt/TCRLA_Public/210203.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

          Wednesday, February 3, 2021, Vol. 22, No. 19

                           Headlines



A R G E N T I N A

ARGENTINA: Formosa's Anti-Covid Measures at Center of Controversy
YPF SOCIEDAD: Moody's Rates New Secured & Unsecured Notes 'Caa3'


B E R M U D A

SEADRILL LTD: Forbearance Agreements Expired on Jan. 29


B R A Z I L

BRAZIL: BR Partners Investment Bank Will Resume IPO Plans
BRAZIL: IMF Lowers Gross Debt Estimates for 2020 and 2021
BRAZIL: Pandemic Decreases Federal Revenue by 6.91% in 2020


J A M A I C A

TRANSJAMAICAN HIGHWAY: Fitch Affirms BB- Rating on Secured Notes


M E X I C O

GRUPO AEROMEXICO: Negotiates New Contracts With Two Labor Unions


T R I N I D A D   A N D   T O B A G O

TCL GROUP: Operations Shutdown Cuts 47 Workers, Union Says

                           - - - - -


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A R G E N T I N A
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ARGENTINA: Formosa's Anti-Covid Measures at Center of Controversy
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The health strategy of the Argentine province of Formosa to
obligate people showing any symptoms of Covid-19, and even those
without symptoms, to enter detainment centers has sparked heated
nationwide controversy with citizens' protests, accusations of
human rights violations and warnings from Amnesty International.

By far, Formosa, which borders on Paraguay and has about 600,000
inhabitants, is - according to the national Health Ministry - the
province that has been least affected by the coronavirus pandemic
with 814 confirmed cases and just 10 deaths, according to locally
gathered figures, and it is far behind the province with the
second-lowest number of cases, Misiones, which has detected 3,781.

It was three months after Argentina detected its first Covid-19
case that Formosa registered its first positive result in June
2020, and right from the start the policy pursued by Gildo Insfran,
the Peronist governor who has been in office for 25 years, has
engendered controversy for its rigidity and criticism from
opposition sectors who accuse him of acting like a type of feudal
lord.

"The detentions concern us, the humiliations of the residents of
the province, and of course we're concerned by the lack of
democracy. We cannot allow freedoms to continue to be subjugated,
while the governing party fawns on Insfran's management and the
president stays quiet," said the Together for Change coalition,
which opposes President Alberto Fernandez, who is of the same
political party as the Formosa governor.

Gabriela Neme, the Peronist councilwoman for the provincial capital
but a dissident from the provincial government, was briefly
arrested on accusations of public intimidation along with another
councilwoman then released after leading a protest against the
isolation centers.

"Here there are crimes against humanity, a police state, political
persecution, violence, overcrowding (and) no human or
constitutional rights of Formosan citizens are being respected,"
Neme said at another demonstration.

Among other requirements, including presenting a negative Covid
test performed within 72 hours prior to crossing the border, anyone
wanting to travel to Formosa must make a written request to do so,
await authorization and then quarantine for at least 14 days at one
of the isolation centers set up by the provincial government.

There are also centers that house people who, although they were
already within the boundaries of Formosa, had been in close contact
with confirmed Covid cases.

When they enter one of the centers, people are only allowed to
bring personal items and those things that they bring in cannot be
taken back out again. People there can only receive items to take
care of their basic needs.

Although people may leave the centers "at any time" they must then
leave the province immediately if they have not completed the
required quarantine or tested negative.

According to provincial government personnel, since the start of
the pandemic, 19,000 people have passed through these centers and
currently more than 2,300 people are housed there, "the majority of
them without any problems."

But Amnesty International said that it had received numerous
complaints about the poor conditions at the centers due to
overcrowding, lack of hygiene, poor ventilation, "scanty" poor
quality food, and either metal bars separating men, women, the
elderly and children or no separation at all among the different
cohorts within.

The NGO said that people who do not have the Covid virus are being
housed with people showing slight symptoms or who are asymptomatic,
thus exposing them to infection. The obligatory quarantines are
lasting more than 14 days regardless of the test results, since
even if some people receive negative test results they are still
not allowed to leave the centers.

Last year, AI asked Formosa to comply with the Supreme Court ruling
obliging the province to accelerate the access of thousands of
citizens who were stranded awaiting permission to enter the
province, some of them in their vehicles on the highways without
access to hygienic and healthy conditions and sleeping out of
doors.

Insfran, meanwhile, said on Twitter that his administration has
"nothing to hide" and the province has showed "the best results in
the country" in the fight against the pandemic, claiming that
opposition forces and the "communications media" have launched a
"deceptive campaign" against the province.

                            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.

Standard & Poor's credit rating for Argentina stands at CCC+ with
stable outlook, which was a rating upgrade issued on Sept. 8,
2020.

Fitch's credit rating for Argentina was last reported at CCC with
n/a outlook, a rating upgrade from CC on Sept. 11, 2020.  DBRS'
credit rating for Argentina is CCC with n/a outlook, a rating
upgrade on Sept. 11, 2020.  Moody's credit rating for Argentina was
last set at Ca, a rating downgrade from Caa2 on April 4, 2020, with
a negative outlook.

As reported by The Troubled Company Reporter - Latin American, DBRS
noted that the recent upgrade in Argentina's ratings (September
2020) follows the closing of two debt restructuring agreements
between the Argentine government and private creditors.  The first
restructuring involved $65 billion in foreign-law bonds.  The deal
achieved the requisite participation necessary to trigger the
collective action clauses and finalize the restructuring on 99% on
the aggregate principal outstanding of eligible bonds.  DBRS added
that the debt restructurings conclude a prolonged default and
provide the government with substantial principal and interest
payment relief over the next four years.

DBRS further relayed that Argentina is also seeking a new agreement
with the International Monetary Fund (IMF) to replace the canceled
2018 Stand-by Agreement.  Obligations to the IMF amount to $44
billion, with major repayments coming due in 2022 and 2023.


YPF SOCIEDAD: Moody's Rates New Secured & Unsecured Notes 'Caa3'
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Moody's Investors Service assigned a Caa3 rating to YPF Sociedad
Anonima's proposed senior secured notes due 2026 and senior
unsecured notes due 2029 and 2033. The outlook is stable.

Net proceeds from the proposed issuance will be used for a tender
offer to exchange a combined principal of $6.2 billion
corresponding to seven international senior unsecured notes
maturing in 2021, 2024, 2025 (both notes maturing in March and
July), 2027, 2029 and 2047. YPF's proposed debt exchange offer,
which reflects requirements from the Argentine central bank (BCRA)
to refinance the 2021 notes, also aims to extend the maturity of
its outstanding financial debt and find financial relief for the
company in 2021 and 2022, and will not receive any cash proceeds
from the issuance of the proposed notes.

The rating of the proposed notes assumes that the final transaction
documents will not be materially different from draft legal
documentation reviewed by Moody's to date and assume that these
agreements are legally valid, binding and enforceable.

Ratings assigned:

YPF Sociedad Anonima

4.0%/9.0% step up senior secured notes due 2026, assigned Caa3

2.5%/9.0% step up senior unsecured notes due 2029, assigned Caa3

1.5%/7.0% step up senior unsecured notes due 2033, assigned Caa3

RATINGS RATIONALE

YPF's Caa3 ratings reflect the company's position as the largest
integrated oil and gas company in Argentina, with an extensive
portfolio of assets in the country including, among others, a large
portfolio of oil and gas concessions and reserves; refining assets
that account for over half Argentina's refining nameplate capacity;
a broad network of service stations and logistics assets; a
petrochemical business through Profertil S.A. (50% stake), fully
integrated with its refining and natural gas businesses; a
separation and fractioning of NGL business through Compania Mega
S.A. (38% stake); and a power generation business through YPF
Energía Electrica S.A. ("YPF Luz", Caa3 negative), a company
jointly controlled with GE EFS Power Investments B.V. Also
incorporated in the rating are YPF's good credit metrics for its
rating category.

YPF Caa3 ratings also incorporate its links with the Government of
Argentina (Ca stable), its controlling shareholder, which combine
YPF's underlying caa3 baseline credit assessment, which expresses a
company's intrinsic credit risk, and Moody's view of moderate
support from and high dependence on the Argentine government.

Key rating challenges for YPF's ratings are its concentration of
operations in Argentina, a moderate-to-high foreign-currency risk
given that most of the company's debt is denominated in foreign
currency, coupled with heightened refinancing risk as a result of
more restrictive capital controls imposed by the Argentina's
Central Bank (BCRA) in September 2020; and its portfolio of
majority mature producing fields and rigid labor cost structure.

The company faces tight financial conditions in Argentina, where
the BCRA imposed new and more restrictive capital control
requirements on corporates to have access to the official
foreign-exchange market (Mercado Unico y Libre de Cambios or MULC)
on September 16, 2020. According to the new regulation, companies
that face financial capital payments exceeding $1 million between
October 15, 2020 and March 31, 2021 will only have access to the
MULC to obtain foreign currency for up to 40% of the face value,
with an additional condition of postponing the remaining 60% for at
least an average life of two years. The resolution does not
restrict interest payments of any kind and includes several
exceptions, including trade finance, multilateral loans and Export
Credit Agencies (ECA).

YPF's exchange offer reflects the requirements from the BCRA to
refinance the 2021 notes´ maturity in March 2021, but it also aims
to extend the debt maturity profile and to relieve the oil
company's liquidity, freeing up funds for use toward its investment
plan for 2021.

Moody's considers the offer a distressed exchange because it may
results in economic losses for bondholders --depending on the exit
yields used by investors to value the proposed exchange offer-- and
it allows the company to avoid a potential default. But its losses
would be consistent with those of an oil and gas company with a
Caa3 rating, which considers an expected recovery rate of 65%-80%.
In addition to the exchange offer, YPF has released a consent
solicitation memorandum, which is subject to acceptance of more
than 50% of bondholders of the existing notes, to strip certain
covenants from the existing notes, such as the definition of events
of default, to make the exchange offer more appealing. The offer
closes on February 5.

YPF's exchange offer will allow holders of senior unsecured notes
maturing in 2021, 2024, 2025 (both notes maturing in March and
July), 2027, 2029 and 2047 with a combined principal of $6.2
billion to exchange their existing notes for a combination of three
new proposed notes maturing in 2026, 2029 and 2033 (plus a cash
consideration for holders of 2021 notes).

The proposed notes maturing in 2029 and 2033 will be senior
unsecured. The 2029 notes will accrue an interest coupon of 2.5%
through and including December 2022, and a 9.0% interest
thereafter; principal will be repaid in seven semiannual
installments starting on June 30, 2026. The 2033 notes will accrue
an interest coupon of 1.5% through and including December 2022, and
a 7.0% interest thereafter; principal will be repaid in four annual
installments starting on September 30, 2030.

The proposed notes maturing in 2026 will be senior and secured,
backed by (1) the company's export revenue; and (2) will include a
pledge to YPF´s shares in YPF Luz. The company will keep net cash
proceeds from exports in an "Export Collection Account" held with
the offshore collateral agent (Citibank, N.A.) in New York, United
States, in an amount that represents the lesser of (i) 120% of the
sum of principal and interest payments of the new 2026 senior
secured notes due within the next 12 months, and (ii) the aggregate
net proceeds from exports during the 12-month period prior.
Citibank, N.A. will transfer to a "Reserve and Payment Account"
amounts deposited into the Export Collection Account, to the extent
available, in line with the minimum coverage ratio of 125% of
principal and interest due over the next six months. Also, for so
long as at least 50% of the original principal amount of the new
senior secured 2026 notes is outstanding, the shares of YPF Luz,
representing approximately 50% of the outstanding capital stock and
voting rights of YPF Luz. The proposed 2026 notes will accrue an
interest coupon of 4.0% through and including December 2022, and a
9.0% interest thereafter; principal will be repaid in 13 quarterly
installments starting on February 12, 2026.

The proposed notes will also include a net leverage incurrence
ratio covenant that decreases to 3x in 2024 from 4x in 2021, which
will be in place up until the maturity of the proposed 2026 notes.

YPF has a tight liquidity profile. During 2020 YPF's sales and
liquidity deteriorated with lower local fuel demand and prices in
dollar terms amid the coronavirus related lockdown and economic
turmoil and volatility in Argentina. The company's liquidity also
tightened with Argentina's restrictions on corporate access to the
international bond markets, which stemmed from the government's
debt crisis and tighter capital controls. As of September 2020,
YPF's Moody's adjusted total debt --which includes lease
liabilities-- amounted to ARS692 billion ($9.0 billion), of which
of ARS171 billion ($2.2 billion) matured in the short-term. At the
same time, YPF held around ARS76,406 billion ($1.0 billion) in cash
and marketable securities, which represents 45% of short-term
liabilities. Also, as of September 2020, 93% of YPF's reported
financial indebtedness was denominated in foreign currency, mainly
in US dollars.

One of the objectives of the exchange offer is to relieve the
company's tight liquidity, freeing up funds that the company
intends to use for its $2.7 billion investment plan for 2021,
higher than the $1.6 billion of capital investment in 2020, but
well below the $3.5 billion in 2019. YPF intends to ramp-up capital
spending in its upstream segment in particular (78% of 2021's
budget) in order to gradually increase production of oil and gas
through its conventional and unconventional resources (30% and 48%
of 2021's budget, respectively). In particular, YPF was recently
awarded a four-year contract to deliver 20.9 million cubic meters
per day of natural gas in the framework of Plan Gas 4, the new
government-sponsored gas development program.

YPF's stable outlook reflects our view that YPF's main shareholder,
the Argentine state (51% stake), will exert no influence over the
company to spend in capital expenditures or dividends beyond its
operating cash flow generation capacity and has incentives to
maintain prices of crude and oil products at a level that makes it
economically attractive for oil companies to invest to increase
production and reduce the country's dependence on imports of oil
products and natural gas. YPF´s creditworthiness cannot be
completely de-linked from the credit quality of the Argentine
government, and thus its ratings also incorporate the risks that it
shares with the sovereign. Also, the stable outlook reflects
Moody's view that possible losses for senior unsecured creditors
will not be greater than those associated with a Caa3 rating.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

YPF's ratings could be upgraded (1) if there is an upgrade of the
government of Argentina's Ca rating and YPF maintains good credit
metrics for its rating category; (2) if the company manages to grow
total production while maintaining good margins and relatively low
leverage; (3) if there is a more clear view of the government's
energy policies for the next several years and how they could
affect YPF.

The ratings could be downgraded if (1) Moody's believe possible
losses for senior unsecured creditors would be greater than those
associated with a Caa3 rating; (2) if the company loses access to
credit markets or lacks access to foreign currency to meet its debt
service obligations; (3) if the government of Argentina's Ca rating
is downgraded. A significant deterioration in the company's
liquidity profile can also lead to a rating downgrade.

The methodologies used in these ratings were Integrated Oil and Gas
Methodology published in September 2019.

COMPANY PROFILE

YPF is an Argentina-based integrated energy company, with
operations concentrated in the exploration, development and
production of crude oil, natural gas and liquefied petroleum gas,
as well as downstream operations engaged in the refining, chemical
production, retail marketing, transportation and distribution of
oil and petroleum products. Additionally, through YPF Energia
Electrica S.A. (Caa3 negative), a company that YPF jointly controls
with GE EFS Power Investments B.V., the company is also present in
the power generation sector. YPF is controlled by the Argentine
state, which holds 51% of the company's shares.

As of September 2020, YPF accounted for 42% of the country's oil
production and 34% of natural gas, with a 55% market share for
gasoline and diesel. The company had proved oil and gas reserves of
1,046 million barrels of oil equivalent (boe, 6,000 cubic feet = 1
boe) as of year-end 2019, with net oil and gas production averaging
500,000 boe/day in 2019 and 479,000 boe/day as of the 12 months
through September 2020. Its reserve life (proved reserves)
increased slightly, to 5.7 years in 2019 from 5.6 years in 2018.




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SEADRILL LTD: Forbearance Agreements Expired on Jan. 29
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Seadrill Limited announced on December 30, 2020, that it has
entered into a forbearance agreement with certain creditors in
respect of nine out of the group's twelve senior secured credit
facility agreements.  The purpose of the forbearance agreement was
to allow the Company and its stakeholders more time to finalise
negotiations on the head terms of a comprehensive restructuring of
its balance sheet.  Such a restructuring may involve the use of a
court-supervised process.  The Company continued to evaluate
capital structure proposals from its financial stakeholders.

Forbearance has not yet been agreed with respect to certain events
of default or termination events that may arise under the three
remaining senior secured credit agreements, the Company's New
Secured Notes, leasing arrangements for the West Hercules, West
Linus and West Taurus and a bilateral guarantee facility with
Danske Bank. Without a forbearance in respect of these
arrangements, a non-payment of interest or other amounts due under
the senior secured credit agreements, the Company's New Secured
Notes and/or the leasing arrangements could result in the creditors
under these arrangements having the right to accelerate or
otherwise enforce their rights under them.

               Expiry of Forbearance Agreements

However, in a recent press release, Seadrill reated that the term
of the forbearance agreements expired on January 29, 2021, and,
accordingly, the creditors with whom forbearance agreements were
entered into are no longer prevented from taking actions in respect
of events of default that may arise under the senior secured credit
facility agreements as a result of the group not making interest
payments under the group's senior secured credit agreements.

The Company continues to maintain its readiness to carry out a
comprehensive restructuring of its balance sheet.  Such a
restructuring may involve the use of a court-supervised process.
The Company continues to engage in constructive discussions in
relation to potential further forbearances and to finalise the
heads of terms of a comprehensive restructuring of its balance
sheet; whilst no agreement has been reached at this point it is
expected that potential solutions will lead to significant
equitization of debt which is likely to result in minimal or no
recovery for current shareholders.

                      About Seadrill Ltd.

Seadrill Limited (OSE:SDRL, OTCQX:SDRLF) --
http://www.seapdrill.com/-- is a deepwater drilling contractor  
providing drilling services to the oil and gas industry. As of
March 31, 2018, it had a fleet of over 35 offshore drilling units
that include 12 semi-submersible rigs, 7 drillships, and 16 jack-up
rigs.

On Sept. 12, 2017, Seadrill Limited sought Chapter 11 protection
after reaching terms of a reorganization plan that would
restructure $8 billion of funded debt. It emerged from bankruptcy
in July 2018.

Demand for exploration and drilling has fallen further during the
COVID-19 pandemic as oil firms seek to preserve cash, idling more
rigs and leading to additional overcapacity among companies serving
the industry.

In June 2020, Seadrill wrote down the value of its rigs by $1.2
billion and said it planned to scrap 10 rigs.

Seadrill is presently in talks with lenders on a restructuring of
its $5.7 billion bank debt.




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BRAZIL: BR Partners Investment Bank Will Resume IPO Plans
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Brazil-based BR Partners will relaunch its plans for an initial
public offering in the coming days, CEO Ricardo Lacerda told S&P
Global Market Intelligence.

BR Partners is one of the leading independent investment banks in
Brazil. It could file for the offering as soon as January 26th,
said Lacerda, who is also the company's founding partner.

The independent investment bank had shelved a planned IPO on
Brazil's B3 exchange in September 2020 due to market volatility,
but it now believes the market is in a better place to welcome its
offering .

                   About Brazil

Brazil is the fifth largest country in the world and third largest
in the Americas.  Jair Bolsonaro is the current president, having
been sworn in on Jan. 1, 2019.

S&P Global Ratings affirmed on December 14, 2020, its 'BB-/B'
long-and short-term foreign and local currency sovereign credit
ratings on Brazil. The outlook on the long-term ratings remains
stable.

Fitch Ratings' credit rating for Brazil stands at 'BB-' with a
negative outlook (November 2020). Moody's credit rating for Brazil
was last set at Ba2 with stable outlook (April 2018). DBRS's credit
rating for Brazil is BB (low) with stable outlook (March 2018).

As reported in the Troubled Company Reporter-Latin America, S&P
Global Ratings' stable outlook assumes that timely implementation
of fiscal adjustment and modest economic recovery will help
preserve market confidence and adequate funding conditions for the
government in local markets in the next two years, despite a
sustained increase in the debt burden.


BRAZIL: IMF Lowers Gross Debt Estimates for 2020 and 2021
---------------------------------------------------------
Rio Times Online reports that in the Fiscal Monitor update released
on Jan. 28, the International Monetary Fund's (IMF) gross debt
projection for 2020 for Brazil dropped from the 101.4% of GDP
projected in October to 95.6%, while the projection for 2021
dropped from 102.8% to 92.1% of GDP.

Despite the drop, these figures are much higher than the average
for emerging economies, which should remain at 65.3% of GDP this
year, according to the IMF, Rio Times Online discloses.

                            About Brazil

Brazil is the fifth largest country in the world and third largest
in the Americas.  Jair Bolsonaro is the current president, having
been sworn in on Jan. 1, 2019.

S&P Global Ratings affirmed on December 14, 2020, its 'BB-/B'
long-and short-term foreign and local currency sovereign credit
ratings on Brazil. The outlook on the long-term ratings remains
stable.

Fitch Ratings' credit rating for Brazil stands at 'BB-' with a
negative outlook (November 2020). Moody's credit rating for Brazil
was last set at Ba2 with stable outlook (April 2018). DBRS's credit
rating for Brazil is BB (low) with stable outlook (March 2018).

As reported in the Troubled Company Reporter-Latin America, S&P
Global Ratings' stable outlook assumes that timely implementation
of fiscal adjustment and modest economic recovery will help
preserve market confidence and adequate funding conditions for the
government in local markets in the next two years, despite a
sustained increase in the debt burden.


BRAZIL: Pandemic Decreases Federal Revenue by 6.91% in 2020
-----------------------------------------------------------
Richard Mann at Rio Times Online reports that Brazil's Federal
Treasury said the federal government's revenue grew in December for
the fifth consecutive month, but closed the year with a drop of
6.91%, at R$1.479 trillion (US$273.8 billion) - a performance
showing the negative impact of the economic crisis as a result of
the Covid-19 pandemic.

The aggregate result for the year was the worst since 2010, when
revenues totaled R$1.474 trillion, considering figures corrected by
the IPCA (Extended National Consumer Price Index), according to Rio
Times Online.

                    About Brazil

Brazil is the fifth largest country in the world and third largest
in the Americas.  Jair Bolsonaro is the current president, having
been sworn in on Jan. 1, 2019.

S&P Global Ratings affirmed on December 14, 2020, its 'BB-/B'
long-and short-term foreign and local currency sovereign credit
ratings on Brazil. The outlook on the long-term ratings remains
stable.

Fitch Ratings' credit rating for Brazil stands at 'BB-' with a
negative outlook (November 2020). Moody's credit rating for Brazil
was last set at Ba2 with stable outlook (April 2018). DBRS's credit
rating for Brazil is BB (low) with stable outlook (March 2018).

As reported in the Troubled Company Reporter-Latin America, S&P
Global Ratings' stable outlook assumes that timely implementation
of fiscal adjustment and modest economic recovery will help
preserve market confidence and adequate funding conditions for the
government in local markets in the next two years, despite a
sustained increase in the debt burden.




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TRANSJAMAICAN HIGHWAY: Fitch Affirms BB- Rating on Secured Notes
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Fitch Ratings has affirmed the 'BB-' rating of TransJamaican
Highway Limited's (TJH) senior secured notes. The Rating Outlook is
Stable.

RATING RATIONALE

The rating reflects the stability and resiliency of a commuting
asset strategically located in the outskirts of Kingston, Jamaica's
capital city. The rating is also supported by a satisfactory
rate-setting mechanism, which allows tariffs to be adjusted
annually by U.S. inflation and the variations in foreign-currency
(FX) rate between the Jamaican dollar (JMD) and the U.S. dollar
(USD). Debt is senior secured, with typical project finance
features that include limitations on additional indebtedness.
Rating case minimum and average debt service coverage ratio (DSCR)
are at 1.6x and 2.0x, respectively, which are viewed as strong for
the rating category according to applicable criteria. The
transaction presents robust break-even values for its most
important variables and no dependency on traffic growth in order to
repay the rated debt. Furthermore, it withstands domestic economic
shocks beyond those observed between 2008-2014 when the Jamaican
economy deeply deteriorated, supporting a rating above that of the
Jamaican sovereign (B+/ROS), but constrained by Jamaica's Country
Ceiling of 'BB-'.

The outbreak of coronavirus and related government containment
measures worldwide create an uncertain global environment for the
transportation sector. While the issuer performance data through
most recently available issuer data may not have indicated
impairment, material changes in revenue and cost profile are
occurring across the transportation sector and will continue to
evolve as economic activity and government restrictions respond to
the ongoing situation. Fitch's ratings are forward-looking in
nature, and Fitch will monitor developments in the sector as a
result of the virus outbreak as it relates to severity and
duration, and incorporate revised base and rating case qualitative
and quantitative inputs based on expectations for future
performance and assessment of key risks.

KEY RATING DRIVERS

Strategically Located Essential Asset [Revenue Risk - Volume:
Midrange]: The toll road is the main link between the capital city
of Jamaica, Kingston, and other populated urban and industrial
centers including the cities of Portmore and May Pen. The asset is
currently the only high-speed roadway serving the western part of
Kingston's metropolitan area, with an estimated population of 1.4
million people along the corridor. The project has fully recovered
from the 2009 crisis and the austerity program implemented by the
International Monetary Fund (IMF) in the country. Growth prospects
in the long term are underpinned by its position as a strategic
asset for the country, along with the fact that motorization rates
in Jamaica are still low, so there is potential to increase.

Adequate Rate Adjustment Mechanism [Revenue Risk - Price:
Midrange]: Toll rates are adjusted annually using an escalation
formula based on the U.S. CPI and the FX rate (USD/JMD) evolution,
plus an additional 1% until the foreign debt is repaid in full, in
accordance with the maximum capped toll level of that period, with
additional increases if USD/JMD exchange rate depreciates by more
than 10% intra-period. TJH is allowed to annually increase toll
rates, but any change needs to be authorized by the roll regulator.
If the toll regulator does not authorize such toll rates, the
concessionaire would need to be compensated for the lost revenue.
Fitch believes it is unlikely that the regulator would choose to
cut prices given the toll rates' updated track record since 2009.

Fully Operational Asset [Infrastructure Development & renewal:
Midrange]: The toll road has been fully operational, with its four
toll plazas, since 2012. It benefits from oversight from an
independent engineer who provides financial annual reviews of the
budget and the O&M plan and a commentary of the six succeeding
semesters. The structure holds a three-month operations and
maintenance reserve account, as well as a major maintenance reserve
account funded with 100% of the costs to be carried out in the next
12 months, 50% in the next 13 to 24 months and 25% in the next 25
to 36 months. The assessment on this attribute is somewhat limited
by the hand back requirements as included in the concession, which
oblige the concessionaire to return the project to the grantor in a
good and operable condition.

TJH has executed an amendment to the concession agreement in which
the tenor could be renewed, at any time during 2034, at TJH's
request for an additional 35 years. With this updated agreement,
the hand back requirements will fall after the maturity of the
notes. Nonetheless, Fitch's financial projections assume such
expenses will be made in 2035-2036, given the concession currently
ends in 2036.

Typical Debt Structure [Debt Structure: Midrange]: The notes are
senior, fully amortizing, fixed-rate and with typical project
finance covenants. There is a six-month debt service reserve
account and a lock-up trigger at a 1.25x backward- and
forward-looking DSCR. No FX risk is anticipated given the formula
for toll rates increase captures movements in the JMD/USD exchange
rate.

Financial Summary: Under Fitch's Rating Case, the project yields a
minimum and average DSCR of 1.60x and 1.99x, respectively, which is
strong for the rating category under the indicative ranges of the
applicable Fitch criteria, but ultimately constrained by Jamaica's
Country Ceiling.

PEER GROUP

Closest project in the region is Autopistas del Sol, S.A. (AdS;
B/RON) in Costa Rica. AdS and TJH are similar, as both are strong
commuting assets within their respective country's capital cities.
They also share all attributes at the Midrange level, but the
difference in ratings comes from AdS's lower metrics (average DSCR
of 1.1x versus 2.0x under Fitch's rating case).

RATING SENSITIVITIES

Factor that could, individually or collectively, lead to positive
rating action/upgrade:

-- Positive rating action on Jamaica's Country Ceiling.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Negative rating action on Jamaica's Country Ceiling;

-- Nil or negative traffic growth rate for a sustained period.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Sovereigns, Public Finance
and Infrastructure issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of three notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.

CREDIT UPDATE

During 2020, the annual average daily traffic (AADT) was 56,268
vehicles, which is above Fitch's rating case projection of 53,357
vehicles. While Fitch expected a traffic decline of 20% for 2020,
actual traffic decline was 15%. Revenue achieved is slightly above
Fitch's expectation of USD44,2 million, as a result of a milder
traffic contraction.

Tariff increases were applied in September of 2020 instead of July
of 2020 due to the coronavirus pandemic situation. These increases
in tariffs were at 8.5%, which positively compares with the 6%
expected by Fitch.

The operating expenses in 2020 were in line with Fitch's
expectations. The company had some minor point-in-time expenses
related with the company's restructuration made during the Initial
Public Offer (IPO) in early 2020, but lower disbursements on the
capex side as it postponed USD1.17 million of renewal expenses to
2021.

The better-than-expected revenue, together with expenses aligned to
the budget, yielded a DSCR at 2.1x, above Fitch's projections of
1.9x. Fitch opines that, while traffic in the toll road has been
affected by the effects of the coronavirus pandemic, the
transaction has enough security margins to absorb the negative
impact as expected and to maintain its credit quality in levels
sufficient to keep the current rating.

FINANCIAL ANALYSIS

The base case considers traffic in 2021 at 95% of 2019 levels, with
a recovery in 2022 at 100% of 2019 levels. Compounded annual growth
rate (CAGR) between 2023 and 2036 is 2.25%. The cost profile
assumed is in line with the sponsor's original assumptions with a
5% increase. Inflation was assumed at 3.8% in 2021, 3.8% in 2022
and 3.5% in 2023 onwards. Under this scenario, the minimum and
average DSCR are 1.7x and 2.2x, respectively.

Fitch's rating case considers a decline in volume traffic of 90% in
2021 compared with 2019, with a recovery in 2022 to traffic levels
close to those of 2019. Compounded annual growth rate (CAGR)
between 2023 and 2036 is 1.24%. Operating, general and
administrative, and maintenance budgeted expenses are increased by
7.5% throughout the tenor of the debt. Inflation assumptions are as
in the base case. Rating case metrics are slightly weaker than that
of the base case, with minimum and average DSCR of 1.6x and 2.0x,
respectively.

Fitch also ran a severe downside case that considers a slower
recovery from 2019 levels: 90% in 2021 and 2022, 95% in 2023 and
100% until 2024. Under this scenario, metrics are slightly weaker
than in the rating case, but still robust for the rating. Minimum
and average DSCR of 1.5x and 1.9x, respectively.

The transaction presents robust break-even values for its most
important variables and no dependency on traffic growth in order to
repay the rated debt. Traffic break-even analysis showed how the
transaction can withstand a decline of -35.4% in the traffic base
after the recovery from the coronavirus pandemic in 2023.

SECURITY

The collateral includes, among other things: (i) certain reserve
accounts; (ii) rights under certain project documents; (iii)
tangible movable property; (iv) leasehold rights; and (v) an
agreement to assign TJH's interest in the concession agreement.

Asset Description

TJH stretches for 49.9km, connecting Kingston with May Pen, and is
divided in two corridors: T1 and T2. The T1 corridor stretches
between Kingston and May Pen (with a connection through to Spanish
Town), and has three toll plazas located at Spanish Town, Vineyards
and May Pen. The T2 corridor, also called the Portmore Causeway,
begins on Marcus Garvey Drive in Kingston and ends on Dyke Road in
Portmore.

TJH acts as a major connector between business and key customers in
the Island's southern parishes.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means 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.




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

GRUPO AEROMEXICO: Negotiates New Contracts With Two Labor Unions
----------------------------------------------------------------
Miguel Angel Gutierrez and Daina Beth Solomon at Reuters report
that Mexican airline Grupo Aeromexico, S.A.B. de C.V.negotiated new
contracts with two labor unions, bringing it closer to accessing a
second tranche of bankruptcy financing.

As part of the deal with the pilots' association (ASPA) announced,
Aeromexico and the union agreed to pay cuts amounting to $350
million, according to Reuters.

Aeromexico said it has also reached a deal with the flight
attendants' union (ASSA), the report notes.  It had negotiated
agreements with its two other unions in December, part of a
requirement for the next disbursement of funding, the report
relays.

The airline was approved for up to $1 billion in
debtor-in-possession (DIP) financing, and received an initial $100
million payment in September, the report discloses.

"The objectives reached during the negotiations were necessary for
the company to meet certain commitments and objectives required by
the funders," Aeromexico said in a filing with the Mexican stock
exchange, the report relays.

It did not disclose the terms of the agreements.

                         About Grupo Aeromexico

Grupo Aeromexico, S.A.B. de C.V. -- https://www.aeromexico.com/ --
is a holding company whose subsidiaries are engaged in commercial
aviation in Mexico and the promotion of passenger loyalty
programs.

Aeromexico, Mexico's global airline, has its main hub at Terminal 2
at the Mexico City International Airport.  Its destinations network
features the United States, Canada, Central America, South America,
Asia and Europe.

Grupo Aeromexico and three of its subsidiaries sought Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 20-11563) on June 30,
2020.  In the petitions signed by CFO Ricardo Javier Sanchez Baker,
the Debtors reported consolidated assets and liabilities of $1
billion to $10 billion.

Timothy Graulich, Esq., of Davis Polk and Wardell LLP, serves as
counsel to the Debtors.




=====================================
T R I N I D A D   A N D   T O B A G O
=====================================

TCL GROUP: Operations Shutdown Cuts 47 Workers, Union Says
----------------------------------------------------------
Trinidad Express reports that the TCL Group's decision to cease
operations at its paper sack-manufacturing subsidiary TCL Packaging
Ltd (TPL) effective February 15 will mean 47 workers will now be on
the breadline, according to the representing union, the Oilfield
Workers' Trade Union (OWTU).

In a statement, TCL said this decision was made after a detailed
analysis of the short- to long-term prospects of the plant's
operations, according to Trinidad Express.

The company said that with the ongoing significant capital
investment required for equipment upgrades, it became unviable to
continue with this operation, the report notes.

"These capital requirements represent a substantial investment for
the group, which would be better allocated to satisfy capital
expenditure requirements for the other subsidiaries within the
company.  Essentially, the move will further protect the group's
largest investment-its cement, concrete and aggregate manufacturing
operations, thereby safeguarding national and regional construction
sectors, economies and interests," the statement said obtained by
the news agency.

TCL noted that over the last four years, the company has committed
capital expenditure investments of over $162 million, focusing on
maintaining its cement, concrete and aggregates facilities, the
report relays.  This is a key strategy for supplying the local
market, and exporting to over 17 countries in Caricom, the report
notes.

TCL's exports to the region generated much-needed foreign exchange
for the national economy with $182 million contributed in 2020, the
company said, the report discloses.

The company assures all employees and stakeholders of its
dedication to creating sustainable value by continuing to provide
industry-leading building solutions, reliably satisfying the needs
of its domestic and regional customers, the report says.

"Further, we are committed to adhering to all legal and industrial
labour requirements associated with the closure of TPL, and to
supporting our (former) employees in the transition by extending
counselling services through the Employee Assistance Programme
(EAP) as well as the consideration of re-tooling training," TCL
added.

Contacted for comment, chief labour relations officer of the OWTU,
Lyndon Mendoza, said TCL's move to close its packaging plant is not
sitting well with the union as it was only informed of the closure
via a letter from the company, the report relays.

Mendoza said the union is disappointed that TCL is choosing this
route as they are not utilising the concessions they are receiving
from the Government to save jobs, the report notes.

According to the chief labour relations officer, TPL is responsible
for making the bags for the cement, the report relays.

"TPL also made bags for Massy Gas and National Flour Mills (NFM),
so I guess their move will be to import the bags as that section is
closing its doors," Mendoza added.

In early January 2021, TCL advised the union of the retrenchment of
12 workers, in spite of talks which had been going on since
September last year, the report notes.

Mendoza added that the company has not responded to the union's
letter to meet and discuss this issue and if they do not respond
soon the next step is to take it to the Ministry of Labor, the
report discloses.

In its 2019 annual report, TCL said the group's main lines of
business are cement, concrete and packaging. Packaging contributed
3.69 per cent of the group's total revenue, the report adds.

As reported in the Troubled Company Reporter-Latin America in March
2011, RJR News related that the TCL Group hired FTI Consulting
Canada to assist it with its debt restructuring exercise.  The
report related that FTI Consulting Canada was appointed as the
Independent Advisor to TCL's Creditor Committee. TCL Group said the
debt restructuring is intended to improve the Group's long term
prospects and provide for full repayment of its debts, RJR News
noted.

Headquartered in Trinidad and Tobago, TCL Group is Caribbean
Cement's parent company.



                           *********


S U B S C R I P T I O N   I N F O R M A T I O N

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