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       T R O U B L E D   C O M P A N Y   R E P O R T E R

                 L A T I N   A M E R I C A

          Wednesday, August 11, 2021, Vol. 22, No. 154

                           Headlines



A R G E N T I N A

CAPEX SA: S&P Affirms 'CCC+' Ratings, Outlook Stable


B E R M U D A

ALTERA INFRASTRUCTURE: Sets Measures to Improve Maturity Profile


B R A Z I L

TRANSMISSORA ALIANCA: Fitch Affirms 'BB' Foreign Currency IDR


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Limits Chicken Sale in Large Supermarkets
DOMINICAN REPUBLIC: Swine Fever Threatens a US$268MM Industry


P A N A M A

NG PACKAGING: Moody's Upgrades CFR to Ba1, Outlook Stable


P U E R T O   R I C O

ORGANIC POWER: Court Extends Plan Exclusivity Thru August 12


V E N E Z U E L A

PETROLEOS DE VENEZUELA: Exec Arrested & Charged for Bribery


X X X X X X X X

LATAM: Pay Cuts of 36% Show Latin America's Economies Faltering

                           - - - - -


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A R G E N T I N A
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CAPEX SA: S&P Affirms 'CCC+' Ratings, Outlook Stable
----------------------------------------------------
S&P Global Ratings affirmed the 'CCC+' ratings on Argentina-based
oil and gas, and integrated electricity generator CAPEX S.A.,
because they continue to be capped by its 'CCC+' transfer and
convertibility assessment (T&C) of Argentina. However, S&P revised
upwards CAPEX's stand-alone credit profile (SACP) to 'b-' from
'ccc+'.

The stable outlook on CAPEX mirrors that on the sovereign and
incorporates S&P's view of the company's comfortable debt maturity
profile in the next 12 months, given that it doesn't face debt
maturities until 2024.

The company's improved SACP captures our expectation of higher cash
flows in the next 12-24 months. This stems from the recovery in oil
prices, CAPEX's steady oil production and higher energy output
expected after the failure of a transformer in the combined-cycle
plant in fiscal 2021, and the 29% ad-hoc rate hike (Resolution
440/2021) for fiscal 2022 (April 2021 - April 2022) in the
generation segment. S&P expects EBITDA to jump to about ARP12
billion in 2022 from ARP6 billion in 2021, causing debt to EBITDA
to drop below 3x in 2022 from 4.3x in 2021. Free operating cash
flows (FOCF) to debt to remain slightly negative due to higher
capital expenditures (capex) in the company's oil and gas (O&G)
segment in 2022 than in 2021.

The stronger SACP also reflects S&P's view of a comfortable debt
maturity profile. CAPEX's capital structure consists of a bullet
bond due May 2024; therefore, the company doesn't face debt
maturities in the short term. CAPEX will only have to make interest
payments in the next three years, which aren't subject to the
restrictions imposed by Argentina's central bank through the
Resolutions 7106 and 7230.

S&P said, "Our ratings also incorporate CAPEX's exposure to severe
volatility, despite the rebound in oil prices. Argentina's economic
and regulatory volatility continues to limit the company's credit
quality. Despite the recent ad-hoc rate increase for the company's
generation segment, absent a permanent and predictable adjustment
mechanism, this unit's cash flows will remain uncertain and likely
to lag cost inflation. Our 'CCC+' rating on CAPEX mainly reflects
its operations in Argentina (CCC+/Stable/C), exposing the company
to exacerbating business conditions and exchange rates, high
interest rates, and restrictions on accessing and/or transferring
funds abroad. Although the latter currently doesn't pertain to
CAPEX, it's exposed to currency fluctuations. We believe business
conditions in Argentina will remain difficult in the next 12
months."




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B E R M U D A
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ALTERA INFRASTRUCTURE: Sets Measures to Improve Maturity Profile
----------------------------------------------------------------
The board of directors of Altera Infrastructure GP LLC (Altera GP),
the general partner of Altera Infrastructure L.P. (Altera or the
Partnership), disclosed a series of measures to improve the
Partnership's maturity profile and enhance its liquidity and
financial flexibility. As part of these measures, the Partnership
has taken the following actions:

Entered into an agreement with Brookfield Business Partners L.P.,
and certain of its affiliates and institutional partners
(collectively, "Brookfield") to exchange at par approximately $700
million of indebtedness in Altera GP with maturities ranging from
2022 to 2024 (including $411 million of Altera's 8.5% Senior Notes
due 2023 (the "Notes") held by Brookfield) for 11.5% Senior Secured
PIK Notes due 2026 and commenced an exchange transaction relating
to the $276 million of Notes held by non-Brookfield parties.

Suspended the payment of quarterly cash distributions on the
Partnership's outstanding 7.25% Series A Cumulative Redeemable
Preferred Units (the "Series A Units"), 8.50% Series B Cumulative
Redeemable Preferred Units (the "Series B Units") and 8.875% Series
E Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred
Units (the "Series E Units" and, together with the Series A Units
and Series B Units, the "Preferred Units") commencing with the
distributions payable with respect to the period of May 15, 2021 to
August 14, 2021. All distributions on the Preferred Units will
continue to accrue and must be paid in full before distributions to
Class A and Class B common unitholders can be made. No
distributions on the Preferred Units will be permitted without
noteholder consent while the new PIK notes issued in the exchange
transactions described above remain outstanding.

"The measures we are announcing are expected to significantly
extend our debt maturity profile, improve the Partnership's cash
flows and enhance its overall financial flexibility," commented
Ingvild Sæther, President and CEO of Altera Infrastructure Group
Ltd. "Our Board of Directors has carefully assessed a number of
different options to enhance our liquidity and maintain a strong
cost focus. With the support of Brookfield, we believe these
actions put the company on stronger footing to support its existing
operations, including opportunities to secure new contracts."

The Partnership expects to achieve in excess of $80 million in
annual cashflow savings as a result of the agreement with
Brookfield and suspension of quarterly distributions on the
Preferred Units.   In addition, there is potential for further
annual cashflow savings depending on the outcome of the exchange of
the Notes held by non-Brookfield parties. If all of the Notes are
exchanged in the exchange transactions, which remain subject to the
satisfaction of certain conditions, these measures will also extend
maturities currently ranging from 2022 to 2024 on approximately
$970 million of indebtedness to 2026, including indebtedness held
by Brookfield.

                     About the Partnership

The Partnership is a leading global energy infrastructure services
partnership primarily focused on the ownership and operation of
critical infrastructure assets in the offshore oil regions of the
North Sea, Brazil and the East Coast of Canada. The Partnership has
consolidated assets of approximately $4.3 billion, comprised of 47
vessels, including floating production, storage and offloading
units, shuttle tankers (including one newbuilding), floating
storage and offtake units, long-distance towing and offshore
installation vessels and a unit for maintenance and safety. The
majority of Altera's fleet is employed on medium-term, stable
contracts.

The Series A Units, Series B Units and Series E Units trade on the
New York Stock Exchange under the symbols "ALIN PR A" "ALIN PR B"
and "ALIN PR E," respectively.

As reported in the Troubled Company Reporter-Latin America on
Aug. 4, 2021, Fitch Ratings has downgraded Altera Infrastructure
L.P.'s (Altera) Issuer Default Rating (IDR) to 'C' from 'B'
following the announcement of an offer to exchange senior unsecured
notes and credit facilities for new senior secured notes. Fitch has
also downgraded the senior unsecured notes (2023 Notes) to
'C'/'RR4' from 'B'/'RR4'. The Rating Watch Negative has been
removed.




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B R A Z I L
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TRANSMISSORA ALIANCA: Fitch Affirms 'BB' Foreign Currency IDR
-------------------------------------------------------------
Fitch Ratings has affirmed Transmissora Alianca de Energia Eletrica
S.A.'s (Taesa) Foreign Currency (FC) and Local Currency (LC) Issuer
Default Ratings (IDRs) at 'BB' and 'BBB-', respectively, and its
National Scale Rating at 'AAA(bra)'. The Rating Outlook for the
IDRs is Negative, with the Outlook Stable for the National Scale
Rating.

Taesa's ratings reflect its low business risk relative to its
diversified portfolio of power transmission assets in Brazil, with
predictable revenues and high operating margins. The analysis
considers the company will migrate its leverage to more
conservative levels and present a positive free cash flow (FCF)
starting in 2022.

The company's FC IDR is constrained by Brazil's country ceiling of
'BB', while Brazil's operating environment limits the LC IDR. The
Negative Outlook for the FC IDR follows the same Outlook of
Brazil's 'BB-' sovereign rating and the Negative Outlook for the LC
IDR relates to a potential weaker operating environment for the
country.

KEY RATING DRIVERS

Low Business Risk: Taesa's credit profile benefits from the low
business risk associated with Brazil's power transmission segment
in Brazil, as revenues (permitted annual revenues [PAR]) are based
on assets availability rather than volume transported. Positively,
PARs are annually adjusted by inflation indexes, which tend to
compensate cost pressures. Companies in this segment have a
diversified client base and guaranteed payment structure.

Robust Asset Portfolio: Taesa presents a strong and diversified
asset portfolio and no exposure to concession renewals over the
short-to-medium term. The issuer is one of the largest private
power transmission companies in Brazil. It has 10,854km of
transmission lines across the country, with 1,823km under
construction, considering its stake in each project. Taesa's
concessions will not begin to expire until 2030 and will occur on a
staggered basis over the following years.

Predictable and Robust Revenues: New projects conclusion should
allow Taesa to compensate revenue and EBITDA reductions coming from
part of its current portfolio. Concessions for transmission assets
granted prior to 2006 include a 50%-PAR reduction once the
concession completes 15 years of operation. Considering the
company's consolidated PAR of BRL1.8 billion from operational
assets in the last twelve months ended in June 30, 2021, the
expected gradual revenue decline of BRL280 million until 2023
corresponds to 15% of total. On the other hand, the two fully owned
projects still under development should add BRL309 million to
company's revenue in 2022.

High exposure to concessions IGPM-indexed (about 80% of
consolidated PAR) will also strengthen the groups consolidated
results in 2021 and 2022. EBITDA, calculated through regulatory
accounting, should increase to BRL1.4 billion in 2021. For
2022-2023, Fitch expects EBITDA to increase to BRL1.9 billion,
given that new projects will be fully operational. EBITDA margins
are high, ranging 80%-85%, characteristic of transmission companies
in Brazil.

Positive FCF from 2022: Based on regulatory accounting rules,
Taesa's consolidated cash flow from operations should remain
robust, with BRL1.5 billion in 2021 and BRL1.9 billion in 2022,
reflecting high business margins and low to medium interest rates
in Brazil. The company's FCF should be negative at BRL1.1 billion
in 2021 and return to positive at BRL715 million in 2022 as
investments reduce significantly to levels below BRL60 million
after the delivery of all new projects until the end of 2021. The
negative FCF this year reflects investments of BRL615 billion and a
strong dividend payout ratio.

Moderate Leverage to Reduce: The base case scenario for Taesa
considers the migration of its leverage metrics in 2022 to levels
below 3.5x, consistent with its current ratings. Substantial
dividend payments along with significant acquisitions and capex
disbursements impacted consolidated adjusted net leverage of 4.1x
in 2020, with the expectation of a same ratio for 2021 as
investments and dividends will remain high. Fitch includes off
balance sheet debt related to guarantees provided as well as
dividends received from non-consolidated companies on those
ratios.

Standalone Approach: Taesa's ratings are not constrained by the
credit quality of one of its shareholders, Companhia Energetica de
Minas Gerais (Cemig) (LC and FC IDRs BB-/Stable), because Cemig
shares control of Taesa with Interconexion Electrica S.A. E.S.P.
(ISA; LC and FC IDRs BBB+/Negative), and its access to Taesa's cash
is limited to dividends. The analysis does not incorporate an
expected change in its shareholder structure. Despite of Cemig's
plan to sell its stake in Taesa, the timing and final outcome are
uncertain.

Low Construction Risk: Risks associated with the construction phase
of six under development projects are manageable. Taesa has already
obtained installation license and addressed the funding of all of
the six projects. Company can also support necessary investments to
the two fully-owned projects (BRL615 million) and pending equity
contributions for the non-controlling four projects (BRL64 million)
under development, given its strong financial flexibility and
liquidity position. The start-up of all projects will occur until
June 2022, all of them before the contractual regulatory
deadlines.

DERIVATION SUMMARY

Taesa's financial profile is stronger than Latin American peers
Interconexion Electrica S.A. E.S.P. (FC IDR BBB/Negative) and
Consorcio Transmantaro S.A. (FC IDR BBB/Stable), in Colombia, and
Transelec S.A. (FC IDRs BBB/Stable), in Chile. All these peers have
low business risk profiles and predictable cash flow generation,
characteristic of transmission electricity companies in a regulated
industry. The main different in ratings for these companies are the
country where they generate their main revenues and the location of
assets. While Taesa's peers are in higher rated countries, its
ratings are negatively affected by Brazil's Country Ceiling of
'BB'.

KEY ASSUMPTIONS

Fitch's key assumptions within its rating case for the issuer
include:

-- PARs adjusted considering inflation and, in some cases, 50%
    reduction when the 15th operational year is completed;

-- Readjustments of 2021/2022 cycle PAR: IGPM-indexed
    concessions: +37% / IPCA-indexed concessions: +8%;

-- Operational expenses adjusted by inflation;

-- Minimum cash of BRL500 million;

-- Dividends corresponding to 95% of net income calculated
    through regulatory accounting rules.

RATING SENSITIVITIES

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

-- Positive rating action for the company's FC IDR would be
    associated to an upgrade on Brazil's sovereign rating;

-- Positive rating action for the company's LC IDR would be
    associated to improvements on Brazil's operating environment;

-- Upgrade not applicable to the National Scale rating as it is
    at the highest level.

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

-- Negative rating action for the LC IDR would be associated to a
    deterioration in Taesa's consolidated financial profile, with
    net adjusted leverage above 3.5x and funds from operations net
    leverage above 4.0x, both on a sustainable basis;

-- A weaker operating environment on Brazil may result on a
    downgrade of the LC IDR;

-- A downgrade on Brazil's sovereign rating would result in a
    similar rating action on Taesa's FC IDR;

-- A two-notches downgrade on Taesa's LC IDR would lead to a
    downgrade on the National Scale Rating.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
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 four 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.

LIQUIDITY AND DEBT STRUCTURE

Adequate Liquidity: Taesa should maintain a moderate liquidity
compared with short-term debt and ample access to bank credit lines
and capital markets to mitigate expected negative FCF in 2021. By
March 31, 2021, consolidated cash and marketable securities
amounted to BRL1.0 billion, compared with short-term debt of BRL528
million, representing a strong coverage of 1.8x. The BRL750 million
issuance in May 2021, with final maturity in 2036, reinforced the
liquidity position, but cash-to-short-term debt ratio should return
to the 0.5x-1.0x range after scheduled outflows associated to capex
under development.

Taesa's consolidated debt has a manageable maturity profile and no
foreign exchange risk. As of March 31, 2021, the group's adjusted
total debt was BRL7.3 billion, considering its proportional stake
guarantee in debt of non-consolidated subsidiaries -- BRL1.1
billion. Its BRL6.3 billion consolidated debt mainly consisted of
BRL5.2 billion in debentures.

ISSUER PROFILE

Taesa is the third largest transmission power company in Brazil
with 10,854 km of lines including 1,823 km under development. It
has participation in 39 concessions across the country, including
six under construction. Taesa is controlled by the Brazilian group
Cemig and the Colombian Interconexión Eléctrica S.A. E.S.P.
(ISA), which own 36.97% and 26.03% of the voting shares,
respectively.

SUMMARY OF FINANCIAL ADJUSTMENTS

IFRS construction margins not included in EBITDA.

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.



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D O M I N I C A N   R E P U B L I C
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DOMINICAN REPUBLIC: Limits Chicken Sale in Large Supermarkets
-------------------------------------------------------------
Dominican Today reports that the demand for fresh chicken has shot
up unusually in supermarkets and outlets in the face of people's
refusal to consume pigs affected by African swine fever (ASF).

Supermarkets such as Bravo and La Sirena limited the amount of
chicken their customers could buy to three and four packages per
person, which appears to be a rationalization to avoid shortages,
according to Dominican Today.

Even though the authorities have stated that the African swine
fever affecting pigs does not cause harm to people, the population
has turned to chicken consumption in rejection of pork, the report
discloses.

This information was corroborated by the former president and
current director of the Dominican Poultry Association (ADA), Pavel
Concepcion, the report relays.  They assured that the same amount
of chicken is being shipped to the market, the report discloses.
Still, the demand of the population has increased extraordinarily,
the report notes.

He said that although it is expected that the demand will be
reduced in the coming weeks, the Association has already started
importing chicken with about 50 trucks, which he said will serve to
counteract this unexpected high consumption, the report relays.

Regarding the increase in the price of chicken meat, Concepcion
explained that on the farm, the pound is still being sold at
RD$42.00 and that there are independent producers who could be
taking advantage of the situation to speculate, as well as some
intermediaries such as colmados and stalls in the different
neighborhoods, the report says.

"The intermediaries, if they see that their product sells and they
can sell it at a higher price, they will continue to increase it
until they buy it," said the poultry trader and indicated that it
is up to the National Institute for the Protection of Consumer
Rights (ProConsumidor) to inspect which businesses are speculating
with prices, the report notes.

He pointed out that in the speculative process, there can be 10% in
the producers and 90% in the intermediaries, the report discloses.

He explained that the farm gate price allows a pound of chicken to
be sold in the markets at RD$60.00 or RD$65.00, the report relays.

                         Consumption

Pavel Concepcion explained that chicken is the most sold meat in
the Dominican market, covering 50% of the consumption, while pork
is the second with about 30%, so that, given the swine fever
situation, the consumption of chicken has shot up to almost 80%,
the report notes.

                   Government Creates Commission

The Government created a commission through the Ministry of
Agriculture, which will also include the Army of the Dominican
Republic and the Emergency Operations Center to eradicate African
swine fever in the country, the report relays.

The information was released by the Director of Communications of
the Presidency, Milagros German, who indicated that the Minister of
Agriculture, Limber Cruz, presented the official plan, the report
says.

She said that for this work, the Government of the United States
donated high-tech equipment that will allow detecting the disease
with agility, the report notes.

He explained that infected pigs would be slaughtered, and producers
will be compensated for the costs through the Agricultural Bank,
the report discloses.

It was known that the country's swine industry is being affected by
African swine fever, the report adds.

                         About Dominican Republic

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

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

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

Fitch Ratings on Jan. 18, 2021, assigned a 'BB-' rating to
Dominican Republic's USD1.5 billion 5.3% notes due Jan. 21, 2041.
Concurrently, the Dominican Republic reopened its 2030 4.5% notes
for an additional USD1.0 billion, which Fitch rates 'BB-', raising
the total outstanding amount of the 2030 notes to USD2.0 billion.

Standard & Poor's, on December 4, 2020, affirmed its 'BB-'
long-term foreign and local currency sovereign credit ratings on
the Dominican Republic. The outlook remains negative. S&P also
affirmed its 'B' short-term sovereign credit ratings. The negative
outlook reflects S&P's view that it could lower the ratings on the
Dominican Republic over the next six to 18 months, given the
severe impact of the COVID-19 pandemic on the sovereign's already
vulnerable fiscal and external profiles, as well as the potential
for a weaker-than-expected economic recovery.

Moody's credit rating for Dominican Republic was last set at Ba3
with stable outlook (July 2017). Fitch's credit rating for
Dominican Republic was last reported at BB- with negative outlook
(May 8, 2020).

DOMINICAN REPUBLIC: Swine Fever Threatens a US$268MM Industry
-------------------------------------------------------------
Dominican Today reports that both the national swine sector and the
government itself, insisted that African swine fever, detected in
areas of 11 provinces of the country, is not transmitted in humans,
and that the population must continue to consume pork to prevent
the industry from collapsing.

Some and others assured that the virus has only been detected among
animals of small producers, not among organized farmers who
contribute around 80% of national production, according to
Dominican Today.

However, the ease of mobility of the virus puts at risk the entire
industry that moves behind the Dominican pig farming, whose annual
production is estimated at RD$15 billion US$268 million) a year,
the report notes.

                    About Dominican Republic

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

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

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

Fitch Ratings on Jan. 18, 2021, assigned a 'BB-' rating to
Dominican Republic's USD1.5 billion 5.3% notes due Jan. 21, 2041.
Concurrently, the Dominican Republic reopened its 2030 4.5% notes
for an additional USD1.0 billion, which Fitch rates 'BB-', raising
the total outstanding amount of the 2030 notes to USD2.0 billion.

Standard & Poor's, on December 4, 2020, affirmed its 'BB-'
long-term foreign and local currency sovereign credit ratings on
the Dominican Republic. The outlook remains negative. S&P also
affirmed its 'B' short-term sovereign credit ratings. The negative
outlook reflects S&P's view that it could lower the ratings on the
Dominican Republic over the next six to 18 months, given the
severe impact of the COVID-19 pandemic on the sovereign's already
vulnerable fiscal and external profiles, as well as the potential
for a weaker-than-expected economic recovery.

Moody's credit rating for Dominican Republic was last set at Ba3
with stable outlook (July 2017). Fitch's credit rating for
Dominican Republic was last reported at BB- with negative outlook
(May 8, 2020).



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P A N A M A
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NG PACKAGING: Moody's Upgrades CFR to Ba1, Outlook Stable
---------------------------------------------------------
Moody's Investors Service upgraded to Ba1 from Ba2 NG Packaging &
Recycling Corporation Holdings ("SMI")'s corporate family rating.
At the same time, Moody's upgraded to Ba1 from Ba2 San Miguel
Industrias PET S.A.'s $300 million senior unsecured notes due in
2022. The outlook is stable. These rating actions conclude the
review initiated on July 21, 2021.

The upgrade reflects the successful placement of SMI's subsidiaries
NG PET R&P Latin America, S.A. and San Miguel Industrias PET S.A.'s
$380 million senior unsecured notes due in August 2028 (Ba1 stable)
on August 3, 2021. Proceeds will be used to repay existing debt
including San Miguel Industrias PET S.A.'s $300 million senior
unsecured notes due 2022. The new notes benefit from guarantees of
subsidiaries of NG Packaging & Recycling Corporation Holdings S.A.
II ("Sinea"), an entity that performs closures operations. SMI and
Sinea are not legally consolidated, but have a strategic
partnership and are run by the same management team. Together these
companies are known as SMI Group. The upgrade is supported by the
company's track record of expanding and consolidating its position
in Latin America's plastic packaging market and positive business
prospects.

Rating actions:

Upgrades:

Issuer: NG Packaging & Recycling Corporation Holdings

Corporate Family Rating, Upgraded To Ba1 From Ba2

Issuer: San Miguel Industrias PET S.A.

Senior Unsecured Regular Bond/Debenture, Upgraded To Ba1 From Ba2

Outlook Actions:

Issuer: NG Packaging & Recycling Corporation Holdings

Outlook, Changed To Stable From Rating Under Review

Issuer: San Miguel Industrias PET S.A.

Outlook, Changed To Stable From Rating Under Review

RATINGS RATIONALE

SMI's Ba1 Corporate Family Rating reflects its leading position in
the rigid plastic market in the Andean region, Central America and
the Caribbean (CA&C), and its ability to pass over volatility in
raw material costs to its customers, thereby reducing the strain on
its operating margin. The rating takes into account SMI's
advantageous position because of its intensive use of modern
technology and the existence of long-term contracts with blue chip
clients comprising 87% of its total sales. Positive business
prospects also support the rating considering that Latin America
still under penetrated by plastic packaging and recycled products
face favorable trend worldwide. Also Moody's expect demand will
continue to recover from strict Covid related quarantine measures.
Qualitatively, the rating incorporates the company's relationship
with Intercorp Peru Ltd. which owns one of the largest banks in
Peru, Banco Internacional del Peru S.A.A. - Interbank (Baa1
stable). Intercorp is a strategic partner and co-investor of Nexus,
SMI and Sinea's indirect shareholder. Conversely, SMI's rating is
mainly constrained by its reduced size and scale compared with
those of its global industry peers. The rating is also limited by
SMI's still low free cash flow generation relative to total debt
(FCF / Debt).

Considering the new transaction, Moody's expects that SMI Group's
adjusted debt to EBITDA will decline to about 2.8x by the end of
2021 from over 4.3x at December 31, 2020. Moody's expects SMI Group
to benefit from the closures business, across the cross-selling
expansion through one-stop-shop offering, and continued growth in
existing markets. Moody's also expects free cash flow to be
maintained at 13% of total debt level by the end of 2022 as most of
expansion capital investments have already been concluded and
dividends will not be declared at least before the company meets
its leverage target of a gross debt to EBITDA ratio below 3.0x.

The stable outlook reflects Moody's expectation that SMI will
reduce debt over the next 18 months and improve credit metrics.
Additionally, profitability and the competitive environment will
remain stable and SMI will generate positive free cash flow.

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

A ratings upgrade would require a commitment to an investment grade
financial profile and capital structure. An upgrade would also be
dependent upon a sustainable improvement in the size and scale,
cash position resulting in good liquidity, credit metrics and
continued stability in the competitive environment. Additionally,
the ratings could be upgraded if adjusted debt to LTM EBITDA is
below 2.5x, adjusted EBITDA margin is above 20.0%, and free cash
flow to debt is above 15.0% on a sustained basis.

A rating downgrade could be triggered if the company's credit
metrics were to deteriorate materially because of liquidity
pressure, operating difficulties or a deterioration in its leading
market positions. Specifically, the ratings could be downgraded if
adjusted debt to LTM EBITDA is above 4.0x, adjusted EBITDA margin
is below 17.0%, and free cash flow to debt is below 10.0%.

The principal methodology used in these ratings was Packaging
Manufacturers: Metal, Glass and Plastic Containers Methodology
published in September 2020.

Headquartered in Panama, NG Packaging & Recycling Corporation
Holdings ("SMI") is a manufacturer and distributor of rigid
plastics, especially PET preforms and bottles that are used in the
food, beverage and consumer markets. With operations in Peru,
Ecuador, Panama, El Salvador Colombia, Mexico, Argentina,
Guatemala, Nicaragua and Costa Rica among other countries in CA&C,
the company has five product lines, ten facilities and 30 in-house
operations that are strategically located in eight countries. It
has two recycling PET resin plants, one in Peru and the other in
Colombia. For the full year 2020, NG Packaging reported total
revenue of around $474 million and SMI Group reported $518 million
pro forma. Since August 2013, SMI has been part of Intercorp Peru
Ltd., one of the largest and most diversified conglomerates in
Peru, with operations in financial services, retail, education,
real estate and restaurants.



=====================
P U E R T O   R I C O
=====================

ORGANIC POWER: Court Extends Plan Exclusivity Thru August 12
------------------------------------------------------------
Judge Edward A. Godoy of the U.S. Bankruptcy Court for the District
of Puerto Rico extended the periods within which Debtor Organic
Power, LLC has the exclusive right to file a plan of reorganization
through and including August 12, 2021, and to solicit acceptances
through and including October 11, 2021.

Although substantial work has been done to accomplish the filing of
the Plan and Disclosure Statement, the Debtor is still in the
process of reconciling its claims and the deadline for filing proof
of claims, even for non-government entities, has not elapsed. As
such, the Debtor understands that it would be more cost-effective
to file its Disclosure Statement and Plan of Reorganization after
at least the deadline for non-government entities elapses since
there are $1,203,728 in disputed claims that could be eliminated if
no proof of claim is filed.

More importantly, Debtor is still in negotiations with Euro-Caribe
Packaging, Corp., for the rejection of the executory contract by
and between the Debtor and said entity, which will resolve one of
Debtor's confirmation hurdles. Without the said agreement, the
Disclosure Statement and Plan of Reorganization could be
premature.

The Debtor has worked to meet its Chapter 11 operating and
reporting requirements. The Debtor and its advisors have also
worked with the Office of the United States Trustee to provide
requested information and comply with the reporting requirements
under the Bankruptcy Code and the Bankruptcy Rules and are in the
process of completing its plan of reorganization and disclosure
statement.

The extension of the Exclusive Periods will give the Debtor:

(i) an opportunity to negotiate and obtain confirmation of a
consensual plan with its creditors;

(ii) the Debtor has already published the public notice of the
Department of Natural and Environmental Resources' intent to issue
one of the environmental permits needed for Debtor to continue its
operations, and Debtor has already submitted its formal request for
the second permit needed; and

(iii) the Debtor needs the extensions for all parties to file their
respective claims within the deadlines already established by the
Court and for Debtor to reconcile said claims once filed.

The extension will give the Debtor additional time to prepare and
file a meaningful plan and disclosure statement, meeting the
requirements of 11 U.S.C. Sec 1125. Also, for the Debtor to
negotiate terms of a plan that provides for an equitable
distribution to holders of valid claims against the Debtor's
estate.

A copy of the Debtor's Motion to extend is available at
https://bit.ly/2VyaVrq from PacerMonitor.com.

A copy of the Court's Extension Order is available at
https://bit.ly/3fEUrob from PacerMonitor.com.

                            About Organic Power

Organic Power, LLC, -- https://www.prrenewables.com/ -- is a Vega
Baja, P.R.-based company that offers food processing companies,
restaurants, pharmaceuticals, and retail outlets an alternative to
landfill disposal -- a low cost and environmentally friendly
recycling option.

Organic Power sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. D.P.R. Case No. 21-00834) on March 17, 2021. Miguel E.
Perez, the president, signed the petition. In its petition, the
Debtor disclosed assets of between $10 million and $50 million and
liabilities of the same range.

Judge Edward A. Godoy oversees the case.

The Debtor tapped Fuentes Law Offices, LLC as bankruptcy counsel,
and Godreau & Gonzalez Law, LLC, and Vidal, Nieves & Bauza, LLC as
special counsel. CPA Luis R. Carrasquillo & Co., P.S.C. is the
financial advisor.




=================
V E N E Z U E L A
=================

PETROLEOS DE VENEZUELA: Exec Arrested & Charged for Bribery
-----------------------------------------------------------
A South Florida resident was arrested in Miami on charges related
to his alleged role in a scheme to bribe Venezuelan officials and
launder funds to obtain contracts from Venezuela's state-owned and
state-controlled energy company, Petroleos de Venezuela S.A.
(PDVSA), and Venezuela's state-owned and state-controlled food
company that purchased food for Venezuela, Corporacion de
Abastecimiento y Servicios Agricola (CASA).

According to court documents, from 2010 continuing through at least
September 2017, Naman Wakil, 59, of Miami, a Syrian national and
U.S. lawful permanent resident, allegedly conspired with others to
make bribe payments to CASA officials and officials at joint
ventures between PDVSA and various foreign companies in the
oil-rich Orinoco belt of Venezuela. Wakil allegedly paid these
bribes to obtain at least $250 million in contracts to sell food to
CASA and do business with the PDVSA joint ventures, including
obtaining highly inflated contracts (worth at least $30 million) to
provide goods and services to the PDVSA joint ventures. Wakil
laundered funds related to the bribery scheme to and from bank
accounts located in south Florida and purchased 10 apartment units
in south Florida, a $3.5-million plane and a $1.5-million yacht,
among other things. Wakil also used a portion of the funds to make
payments to or for the benefit of the Venezuelan officials.

Wakil is charged with conspiracy to violate the Foreign Corrupt
Practices Act (FCPA), violating the FCPA, conspiracy to commit
money laundering, international promotional money laundering and
three counts of engaging in transactions involving criminally
derived property. If convicted, Wakil faces a maximum penalty of 80
years in prison. A federal district court judge will determine any
sentence after considering the U.S. Sentencing Guidelines and other
statutory factors.

Wakil made his initial appearance in federal court before U.S.
Magistrate Judge Lauren Louis in Miami.   

Assistant Attorney General Kenneth A. Polite Jr. of the Justice
Department's Criminal Division, Acting U.S. Attorney Juan Antonio
Gonzalez for the Southern District of Florida, Special Agent in
Charge Anthony Salisbury of the Homeland Security Investigations
(HSI) Miami Field Office, and Acting Special Agent in Charge Tyler
R. Hatcher of the IRS Criminal Investigation (IRS-CI) Miami Field
Office made the announcement.

Trial Attorney Alexander Kramer of the Justice Department's Fraud
Section and Assistant U.S. Attorney Michael Berger of the Southern
District of Florida are prosecuting the case.

The Criminal Division's Fraud Section is responsible for
investigating and prosecuting all FCPA matters. Additional
information about the Justice Department's FCPA enforcement efforts
can be found at www.justice.gov/criminal/fraud/fcpa.

An indictment is merely an allegation, and all defendants are
presumed innocent until proven guilty beyond a reasonable doubt in
a court of law.

                     About PDVSA

Founded in 1976, Petroleos de Venezuela, S.A. (PDVSA) is the
Venezuelan state-owned oil and natural gas company, which engages
in exploration, production, refining and exporting oil as well as
exploration and production of natural gas.  It employs around
70,000 people and reported $48 billion in revenues in 2016.

In May 2019, Moody's Investors Service withdrew all the ratings of
Petroleos de Venezuela, S.A. including the senior unsecured and
senior secured ratings due to insufficient information. At the
time of withdrawal, the ratings were C and the outlook was stable.

Citgo Petroleum Corporation (CITGO) is Venezuela's main foreign
asset.  CITGO is majority-owned by PDVSA.  CITGO is a United
States-based refiner, transporter and marketer of transportation
fuels, lubricants, petrochemicals and other industrial products.

However, CITGO formally cut ties with PDVSA at about February 2019
after U.S. sanctions were imposed on PDVSA.  The sanctions are
designed to curb oil revenues to the administration of President
Nicolas Maduro and support for the Juan Guaido-headed party.





===============
X X X X X X X X
===============

LATAM: Pay Cuts of 36% Show Latin America's Economies Faltering
---------------------------------------------------------------
Patrick Gillespie at globalinsolvency.com, citing Bloomberg News,
reports that of all the numbers that lay bare the pandemic plight
of blue-collar workers, few are as jarring as the pay cut suffered
by the millions of Argentines who toil in off-the-book jobs.

The decline for people like waiters, construction workers and
candy-vendors was 36% on average last year, considering inflation.
That staggering number is almost four times the average pay cut
that Argentines in the formal economy had to absorb, according to
globalinsolvency.com.

More Latin Americans are stuck in informal jobs every day, an
explosive surge trapping millions in an abyss of unsteady work,
poverty and dependence on aid from suddenly cash-strapped
governments, the report notes.

About 7.6 million more people in the region, the equivalent of
everyone in Bogota, will work informally this year than before the
pandemic, according to the Inter-American Development Bank, the
report adds.



                           *********


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
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