/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/210913.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, September 13, 2021, Vol. 22, No. 177 Headlines C A Y M A N I S L A N D S AUB SUKUK: Fitch Puts Final BB+ Rating on USD600MM Sr. Unsec. Sukuk C O L O M B I A COLOMBIA: Can't Maintain Current Stimulus, Says Central Bank Chief D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: High Taxes Brake The Push Toward Formality DOMINICAN REPUBLIC: Industry & Commerce Report Fuel Prices Frozen DOMINICAN REPUBLIC: Inflation at 5.41% in First 8 Months of '21 M E X I C O ALPHA LATAM: Seeks to Hire White & Case as Legal Counsel ALPHA LATAM: Taps Skadden as Legal Counsel for Special Committee T R I N I D A D A N D T O B A G O PETROLEUM CO: Scrap Iron Dealers say Firm Ignoring Them X X X X X X X X [*] BOND PRICING: For the Week Sept. 6 to Sept. 10, 2021 - - - - - =========================== C A Y M A N I S L A N D S =========================== AUB SUKUK: Fitch Puts Final BB+ Rating on USD600MM Sr. Unsec. Sukuk ------------------------------------------------------------------- Fitch Ratings has assigned Ahli United Bank B.S.C.'s (AUB; BB+/Stable/bb/) USD600 million senior unsecured sukuk (maturing on 9 September 2026; ISIN XS2384698051) a final long-term rating of 'BB+'. The sukuk has been issued by through the trustee AUB Sukuk Limited (AUBSL). AUBSL is a special purpose vehicle incorporated in the Cayman Islands and was established solely to issue certificates (sukuk) and enter into the transactions contemplated by the transaction documents. The final rating is the same as the expected rating assigned on 31 August 2021, and follows the receipt of the final documentation confirming the information already provided. KEY RATING DRIVERS The certificates' final long-term rating is in line with AUB's 'BB+' Long-Term Issuer Default Rating (IDR), which reflects Fitch's view that default of these senior unsecured obligations would equal a default of AUB in accordance with Fitch's rating definitions. AUB's Long-Term IDR reflects a moderate probability of support from the Kuwaiti authorities, if needed despite the bank being licensed and headquartered in Bahrain. The IDR takes into account transfer and convertibility risks and is above the Bahraini sovereign rating (B+/Stable). Fitch has given no consideration to any underlying assets or any collateral provided, as it believes that the issuer's ability to satisfy payments due on the certificates will ultimately depend on AUB satisfying its unsecured payment obligations to the issuer under the transaction documents described in the base offering circular. In addition to AUB's propensity to ensure repayment of the sukuk, in Fitch's view AUB would also be required to ensure full and timely repayment of AUBSL's obligations due to the bank's various roles and obligations under the sukuk structure and documentation, especially, but not only, due to the features below: -- Pursuant to the servicing agency agreement, AUB as servicing agent will ensure sufficient funds are available to meet the periodic distribution amounts payable by the trustee under the certificates of the relevant series on each periodic distribution date. AUB can take other measures to ensure that there is no shortfall and that the payment of principal and profit are paid in full, and in a timely manner. -- On any dissolution or default event, the aggregate amounts of deferred sale price then outstanding pursuant to the master Murabaha agreement shall become immediately due and payable; and the trustee will have the right under the purchase undertaking to require AUB to purchase all of its rights, title, interests, benefits and entitlements, present and future, in, to and under the relevant assets in consideration for payment by AUB of the relevant exercise price. -- The outstanding deferred sale price payable by AUB under the master Murabaha agreement and the exercise price payable by AUB under the purchase undertaking together are intended to fund the dissolution distribution amount payable by the trustee under the relevant certificates, which should equal the sum of the outstanding face amount of such series; and any due and unpaid periodic distribution amounts for such series, or other amount specified in the applicable pricing supplement as being payable upon any dissolution date. -- The payment obligations of AUB under the service agency agreement, purchase undertaking and the master Murabaha agreement will be direct, unsubordinated and unsecured obligations and shall at all times rank at least equally with all other unsecured and unsubordinated indebtedness and monetary obligations of AUB, present and future. -- The transaction documents also include an obligation for AUB to ensure that at all times the tangibility ratio, which is the aggregate value of the tangible assets comprising the relevant sukuk assets to the aggregate value of the relevant sukuk assets, is more than 50%. Failure of AUB to comply with this obligation will not constitute an obligor event. However, if the tangibility ratio falls below 33% (tangibility event), this would result in the certificate holders having a put right. The certificates would then be delisted and each certificate holder can exercise a put option to have their holdings redeemed, in whole or in part, at their dissolution distribution amount within 30 days after tangibility event notice is given. In this event, there would be implications for the certificates' tradability. -- Fitch expects AUB to maintain the tangibility ratio at above 50% with support from its extensive asset base. For the purpose of issuing this series, AUB has identified a pool of USD325 million of non-real estate tangible assets, leading to a tangible ratio of about 54%. Further to this, the pool of eligible assets, formed mostly of Ijara financing and sukuk, amounted to at least USD835 million at end-1H21, which covers a USD600 million issuance by about 139%, which is healthy, in Fitch's view. Fitch also believes that the pool of assets under the structure could further be supported by the potential availability of Islamic eligible tangible assets in other entities of the AUB group. The bank also has a strong liquidity profile, which allows AUB to repay the outstanding sukuk under the programme in case of a breach of the tangibility ratio, although this is not Fitch's base case. The USD600 million issue size accounts for about 1.8% of AUB's liabilities at end-1H21. -- The intended transaction does not contain physical tangible real estate assets thus no total loss event was included. -- The sukuk issue includes a negative pledge provision, cross- acceleration terminology, financial reporting obligations, obligor event, and restrictive covenants. Certain aspects of the transaction will be governed by English law while others are governed by the laws of Bahrain. Fitch does not express an opinion on whether the relevant transaction documents are enforceable under any applicable law. However, Fitch's rating on the certificates reflects the agency's belief that AUB would stand behind its obligations. When assigning ratings to the certificates to be issued, Fitch does not express an opinion on the certificates' compliance with sharia principles. RATING SENSITIVITIES The certificates' rating is sensitive to changes in AUB's Long-Term IDR, with which it is aligned. The rating may also be sensitive to changes to the roles and obligations of AUB under the sukuk's structure and documents. Factor that could, individually or collectively, lead to positive rating action/upgrade: -- An upgrade of AUB's Long-Term IDR would result in an upgrade of AUBSL's certificates' rating. An upgrade of AUB's IDRs and upward revision of the bank's Support Rating Floor (SRF) would require an upward revision of Bahrain's Country Ceiling. Factor that could, individually or collectively, lead to negative rating action/downgrade: -- A downgrade of AUB's Long-Term IDR would result in a downgrade of AUBSL's certificates' rating. AUB's IDR would be downgraded and SRF revised downward if Fitch views the willingness or ability of the Kuwaiti authorities to provide support to the bank as having reduced, or if Bahrain's Country Ceiling was revised down. BEST/WORST CASE RATING SCENARIO International scale credit ratings of Financial Institutions and Covered Bond 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. PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS The sukuk certificates' expected rating is aligned with AUB's 'BB+' Long-Term IDR, which reflects Fitch's view that default of these senior unsecured obligations would reflect a default of AUB in accordance with Fitch's rating definitions. =============== C O L O M B I A =============== COLOMBIA: Can't Maintain Current Stimulus, Says Central Bank Chief ------------------------------------------------------------------- globalinsolvency.com, citing Bloomberg News, reports that Colombia's rapid recovery and growing inflationary pressure mean the central bank will need to pare back the amount of stimulus it's providing the economy, bank Governor Leonardo Villar said. "We saw the need to begin reducing the magnitude of stimulus," Villar said in a presentation, referring to the central bank board's discussion in its last policy meeting in July, according to globalinsolvency.com. "That doesn't mean eliminating stimulus altogether. The bank will begin to lift interest rates "gradually"," he said, without specifying when it will start, the report notes. Analysts surveyed by the central bank are forecasting the first rate increase in more than five years when the board meets Sept. 30, the report discloses. Central banks across Latin America are raising interest rates, with every major economy in the region now afflicted by above-target inflation, the report notes. Chile shocked traders with its biggest interest rate rise in two decades, and Brazil, Mexico, and Peru have all increased borrowing costs in recent months, the report relays. Colombia is the only major inflation-targeting economy in the region that hasn't yet begun to withdraw the monetary stimulus it deployed after the pandemic hit last year, the report discloses. As reported in the Troubled Company Reporter-Latin America on July 7, 2021, Fitch Ratings has downgraded Colombia's Long-Term Foreign-Currency (LT FC) and Local Currency (LT LC) Issuer Default Ratings (IDR) to 'BB+' from 'BBB-'. The Outlook was revised to Stable from Negative. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: High Taxes Brake The Push Toward Formality -------------------------------------------------------------- Dominican Today reports that Dominican Confederation Micro, Small and Medium Enterprises (Codopyme) president Luis Miura, said the two main causes of informality in the Dominican Republic are the high fiscal and labor cost that companies have in the country. "If we as a country really want to work on eliminating informality, the first thing we have to do is work on the pending reforms," said the representative of the MSMEs, according to Dominican Today. Miura spoke about the report of the International Labor Organization (ILO), which explains that the partial recovery of employment has been led by the growth of informal employment since June 2020 in Latin America and the Caribbean, 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). DOMINICAN REPUBLIC: Industry & Commerce Report Fuel Prices Frozen ----------------------------------------------------------------- Dominican Today reports that the Ministry of Industry, Commerce, and Mipymes (MICM) informed that the price of all fuels would continue without variation for the week of September 11-17, 2021; this was reported by Ramon Perez Fermin, vice-minister of Internal Commerce. "The government has decided to absorb these deep rises, maintaining the prices, not without first having to assume a debt with importers of RD$377.9 million," explained Perez Fermin, according to Dominican Today. As a result, international oil prices maintained a quotation around US$69.50 per barrel of WTI, establishing average at US$69.15, the report notes. Among the factors for the average crude oil price to be around 70 dollars is, on the one hand, OPEC+, which has maintained a production cut plan for this year 2021 and forecasts that these cuts will also continue for 2022, the report relays. On the other, it has been reported that the increase in black gold prices continues to be supported by the recovery of demand in Asia. In addition, solid growth in the activity of large European countries is expected for next month, the report discloses. The International Energy Agency (IEA) stated in its weekly report that the decline in crude oil reserves continues, immediately impacting the price of WTI, the report notes. This drop in reserves is attributed to lower production due to the closure of offshore platforms caused by Hurricane Ida, the report relays. Fuel Prices The report discloses that for the week of September 11 to 17, the Ministry of Industry, Commerce, and MiPymes has arranged for fuels to be sold at the following prices: -- Premium Gasoline will be sold at RD$261.80 per gallon, maintains its price. -- Regular Gasoline will be sold at RD$243.30 per gallon, maintaining its price. -- Regular Gasoil will be sold at RD$188.90 per gallon and will maintain its price. -- Optimum Gasoil will be sold at RD$212.20 per gallon and will maintain its price. Avtur will be sold at RD$161.90 per gallon and will maintain its price, the report notes. Kerosene will be sold at RD$185.70 per gallon and will keep its price, the report relays. Fuel Oil #6 will be sold at RD$136.70 per gallon and will maintain its price, the report says. Fuel Oil 1%S will be sold at RD$153.62 per gallon and will maintain its price, the report notes. Liquefied Petroleum Gas (LPG) will be sold at RD$127.10/gl: holds its price. Natural Gas RD$28.97 per cubic meter maintains its price, 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: Inflation at 5.41% in First 8 Months of '21 --------------------------------------------------------------- Dominican Today reports that the Central Bank reported that the monthly variation of the Consumer Price Index (CPI) was 0.80% in August, which places the accumulated inflation for the first eight months of the year at 5.41%, while the inter-annual inflation, measured from August 2020 to August 2021, was at 7.90%. It further explained that the result of the August CPI was significantly affected by the price increase registered in fresh chicken, which contributed more than a quarter of the month's inflation, due to the migration in consumer demand from pork to chicken, causing a substitution effect, after cases of swine fever occurred in the country, according to Dominican Today. Finally, the price report indicates that monthly core inflation stood at 0.51%. This last indicator excludes some items whose prices tend to be volatile, 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). =========== M E X I C O =========== ALPHA LATAM: Seeks to Hire White & Case as Legal Counsel -------------------------------------------------------- Alpha Latam Management, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ White & Case, LLP to serve as legal counsel in their Chapter 11 cases. The firm's services include: (a) advising the Debtors with respect to their powers and duties in the continued management and operation of their businesses and properties; (b) advising and consulting on the conduct of the cases, including all of the legal requirements of operating in chapter 11; (c) advising the Debtors in connection with corporate transactions and corporate governance, negotiations, credit agreements, financing agreements, and other agreements with creditors, equity holders, prospective acquirers and investors; (d) reviewing and preparing pleadings; (e) attending meetings and negotiating with representatives of creditors and other parties in interest; (f) advising on legal issues related to the Debtors' financial circumstances, including with respect to restructuring, financing, corporate, tax, litigation, mergers and acquisition, and employment issues; (g) performing all other ancillary necessary legal services for the Debtors in connection with the prosecution of these Chapter 11 cases, including (i) analyzing the legal aspects of the Debtors' leases and contracts and the assumption and assignment or rejection thereof; (ii) analyzing the validity of liens against the Debtors; and (iii) advising the Debtors on corporate and litigation matters; (h) taking all necessary legal actions to protect and preserve the Debtors' estates as the Debtors request, including prosecuting actions on the Debtors' behalf, defending any action commenced against the Debtors, and representing the Debtors in negotiations concerning litigation in which the Debtors are involved; and (i) taking any necessary action to obtain approval of a disclosure statement and confirmation of a Chapter 11 plan. The firm's hourly rates are as follows: Partners $1,200 to $1,725 per hour Associates $635 to $1,085 per hour Paraprofessionals $185 to $565 per hour The firm will also receive reimbursement for out-of-pocket expenses incurred. Alpha Holding, S.A. de C.V. paid the firm an initial retainer of $500,000 and more than $1.28 million on account of outstanding fees and expenses. On July 13, Alpha Holding increased the retainer by $1.75 million to a total of $2.25 million. In accordance with Appendix B-Guidelines for reviewing fee applications filed by attorneys in larger Chapter 11 cases, the following is provided in response to the request for additional information: Question: Did you agree to any variations from, or alternatives to, your standard or customary billing arrangements for this engagement? Response: No. Question: Do any of the professionals included in this engagement vary their rate based on the geographic location of the bankruptcy case? Response: No. Question: If you represented the client in the 12 months prepetition, disclose your billing rates and material financial terms for the prepetition engagement, including any adjustments during the 12 months prepetition. If your billing rates and material financial terms have changed postpetition, explain the difference and the reasons for the difference. Response: The firm has represented the Debtors since 2018 in several matters. White & Case's billing rates for 2020 were $1,145 to $1,645 for partners, $1,055 for counsel, $595 to $1,025 for associates, and $175 to $565 for paraprofessionals in the firm's domestic offices. The rates for lawyers and paraprofessionals are re-examined and adjusted for increases in seniority and changes in experience, expertise, and status in January of each year. Question: Has your client approved your prospective budget and staffing plan, and, if so for what budget period? Response: The Debtors and White & Case are developing a prospective budget and staffing plan for these cases. The firm will work with the Debtors to finalize such budget. John Cunningham, Esq., a partner at White & Case, disclosed in a court filing that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: John K. Cunningham, Esq. Richard S. Kebrdle, Esq. Amanda A. Parra Criste, Esq. White & Case LLP 200 South Biscayne Boulevard, Suite 4900 Miami, FL 33131 Tel: (305) 371-2700 Email: jcunningham@whitecase.com rkebrdle@whitecase.com aparracriste@whitecase.com - and - Philip M. Abelson, Esq. John J. Ramirez, Esq. Brett L. Bakemeyer, Esq. 1221 Avenue of the Americas New York, NY 10020 Tel: (212) 819-8200 Email: philip.abelson@whitecase.com john.ramirez@whitecase.com brett.bakemeyer@whitecase.com About Alpha Latam Management Wilmington, Del.-based Alpha Latam Management, LLC and its affiliates operate a specialty finance business that offers consumer and small business lending services to underserved communities in Mexico and Colombia. Alpha Latam Management and certain of its affiliates sought Chapter 11 protection (Bankr. D. Del. Case No. 21-11109) on August 1, 2021, disclosing assets of between $100 million and $500 million and liabilities of between $500 million and $1 billion. Judge J. Kate Stickles oversees the cases. The Debtors tapped Richards, Layton & Finger, P.A. and White & Case, LLP as legal counsel; Rothschild & Co US Inc. and Rothschild & Co Mexico S.A. de C.V. as investment bankers; and AlixPartners, LLP as financial advisor. Prime Clerk, LLC is the claims and noticing agent and administrative advisor. On Aug. 11, 2021, Alpha Holding, S.A. de C.V. and AlphaCredit Capital, S.A. de C.V. SOFOM, ENR commenced in Mexico City a jointly administered voluntarily filed proceeding pursuant to the Ley de Concursos Mercantiles. Through this proceeding, the Mexican Debtors intend to pursue a controlled restructuring and possible sale of their assets. ALPHA LATAM: Taps Skadden as Legal Counsel for Special Committee ---------------------------------------------------------------- Alpha Latam Management, LLC seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Skadden Arps Slate Meagher & Flom, LLP as legal counsel for the board of managers' special committee. The firm's services include: (a) reviewing and analyzing documents relating to the accounting practices, corporate governance and debt obligations of the Debtor's Mexican affiliate, Alpha Holding, S.A. de C.V., and its subsidiaries; (b) conducting interviews of certain employees of Alpha Holding and its subsidiaries; (c) preparing preliminary observations reflecting the results of the special committee's investigation activities; and (d) advising the special committee with respect to strategic alternatives potentially available to the Debtors in light of the results of the investigation. The firm's hourly rates are as follows: Partners $1,193 to $1,664 per hour Associates $464 to $1,062 per hour Legal Assistants $234 to $423 per hour Skadden received retainer fees totaling $5,524,339 from the Debtor. The firm will also receive reimbursement for out-of-pocket expenses incurred. Julie Bedard, Esq., a partner at Skadden, disclosed in a court filing that her firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Julie Bedard, Esq. Skadden Arps Slate Meagher & Flom LLP One Manhattan West New York, NY 10001-8602 Tel:1.212.735.3236 Fax:1.212.735.2000 Email: julie.bedard@skadden.com About Alpha Latam Management Wilmington, Del.-based Alpha Latam Management, LLC and its affiliates operate a specialty finance business that offers consumer and small business lending services to underserved communities in Mexico and Colombia. Alpha Latam Management and certain of its affiliates sought Chapter 11 protection (Bankr. D. Del. Case No. 21-11109) on August 1, 2021, disclosing assets of between $100 million and $500 million and liabilities of between $500 million and $1 billion. Judge J. Kate Stickles oversees the cases. The Debtors tapped Richards, Layton & Finger, P.A. and White & Case, LLP as legal counsel; Rothschild & Co US Inc. and Rothschild & Co Mexico S.A. de C.V. as investment bankers; and AlixPartners, LLP as financial advisor. Prime Clerk, LLC is the claims and noticing agent and administrative advisor. On Aug. 11, 2021, Alpha Holding, S.A. de C.V. and AlphaCredit Capital, S.A. de C.V. SOFOM, ENR commenced in Mexico City a jointly administered voluntarily filed proceeding pursuant to the Ley de Concursos Mercantiles. Through this proceeding, the Mexican Debtors intend to pursue a controlled restructuring and possible sale of their assets. ===================================== T R I N I D A D A N D T O B A G O ===================================== PETROLEUM CO: Scrap Iron Dealers say Firm Ignoring Them ------------------------------------------------------- Trinidad Express reports that the fight for former State-owned oil company Petrotrin's scrap iron has intensified with the Trinidad & Tobago Scrap Iron Dealers Association (TTSIDA) alleging they are being denied a piece of the pie while "companies" are carting off material. TTSIDA president, Allan Ferguson, made the allegation at a press conference at Signature Hall in Chaguanas, according to Trinidad Express. He estimated that Petrotrin's scrap iron, which is being sold to certain companies, may fetch them around US$1 million while the TTSIDA has put an offer on the table of US$300 million, the report relays. "For someone like me it's not easy to get things done. "When you are an organisation like us, no matter how big your project is, no matter if it's the best for Trinidad and Tobago, they seem to not want you to go on top. "They always want us to stay at the bottom." Mr. Ferguson added. Ferguson said because of all of that the TTSIDA invited big international investors to come to T&T to assist them with the Petrotrin scrap iron project, the report relays. "We also engaged one of the largest mills in the world to come here to work with us," he added. Ferguson said since May last year the TTSIDA has been asking for a chance to buy Petrotrin's scrap iron, the report notes. They read all the letters they wrote at the conference, the report discloses. TTSIDA met with the executive of Heritage Petroleum Company Limited on May 19, 2020 to engage in a general discussion of the possibility of them being able to participate in the sale of obsolete assets of Petrotrin, the report says. On May 21, 2020 the TTSIDA wrote a letter to CEO Arlene Chow requesting a site visit to locations where the obsolete assets are stored in order to design a system to dispose of the items, the report relays. Heritage Petroleum replied on July 1, 2020 that arrangements were made to facilitate a site visit on July 3, 2020 at the Heritage Marine Base, Point Fortin, the report notes. Heritage said there are about 34 locations across the southern acreage spanning Point Fortin to Guayaguayare/Gaelota, the report says. A letter of support for the TTSIDA was sent by chairman of Heritage Petroleum, Michael Quamina, on July 3, 2020 to Minister of Trade, Paula Gopee-Scoon, the report discloses. Quamina said he held a meeting with the TTSIDA on July 15, 2020 and the association told him it had engaged a world class scrap iron shredder, the report relays. Ferguson said the TTSIDA said this presented an opportunity to create in T&T, and across the region, thousands of sustainable jobs and allow scrap iron dealers to fetch considerably higher prices for their raw material, the report relays. But Ferguson told the media, "This is where it started to get greasy". He said, after doing all of this and putting the necessary things in place, they are still awaiting word on the status of their tender, the report discloses. He said they had no reply from a letter enquiring about this, the report notes. And while they are waiting, material is being moved out of Petrotrin, he alleged. "Companies are moving out material from Heritage. I don't know if they are selling it or what they are doing. The material Heritage is selling to companies, if they get US$1 million, they get plenty," said Ferguson, the report relays. He said the TTSIDA depends on Petrotrin for its survival. "Petrotrin was one of the largest suppliers to the local scrap iron industry before its closure. When they closed down, we had to take some kind of steps to save our industry because we would have ended up having to close down too," said the head of the scrap iron dealers group, the report discloses. Ferguson said 90 per cent of the TTSIDA's scrap iron is exported to Taiwan, the report says. He likened the TTSIDA's bid for Petrotrin's scrap iron to a boxer going into a ring with his hands tied, the report notes. He appealed to Gopee-Scoon to hear their cry, the report relates. "There is still material left and there's still opportunity for us. Please have a meeting with us. "I would like to tell them God doesn't sleep. God is alive and He is not dead," he added. About Petrotrin State-owned Petroleum Co. of Trinidad & Tobago (Petrotrin) closed its oil refinery in November 2018. Prior to closure, Petrotrin underwent a corporate reorganization that started in the last quarter of 2018. The T&T government insisted that the reorganization was necessary to improve the company's efficiency. As a result of the reorganization, Petrorin's refining business was shut down and new entities were created: three operating subsidiaries (Heritage Petroleum Company Limited, Paria Fuel Trading Company and Guaracara Refining Company Limited), and the new holding company, TPH, to which the international bonds were transferred from Petrotrin. =============== X X X X X X X X =============== [*] BOND PRICING: For the Week Sept. 6 to Sept. 10, 2021 -------------------------------------------------------- Issuer Name Cpn Price Maturity Country Curr ----------- --- ----- -------- ------- --- AES Tiete Energia SA 6.8 1.2 4/15/2024 BR BRL Enel Americas SA 5.8 32.7 6/15/2022 CL CLP Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD Argentine Republic Gov 8.3 74.5 12/31/2033 AR USD Fospar S/A 6.5 1.2 5/15/2026 BR BRL YPF SA 16.5 67.3 5/9/2022 AR ARS Provincia de Cordoba 7.1 74.7 8/1/2027 AR USD YPF SA 16.5 67.3 5/9/2022 AR ARS Province of Santa Fe 6.9 74.7 11/1/2027 AR USD Provincia de Rio Negro 7.8 70.3 12/7/2025 AR USD Empresa Electrica de l 2.5 63.8 5/15/2021 CL CLP City of Cordoba Argent 7.9 73.1 9/29/2024 AR USD Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Esval SA 3.5 49.9 2/15/2026 CL CLP Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Sylph Ltd 2.4 65.1 9/25/2036 KY 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 KrisEnergy Ltd 4.0 40.4 6/9/2022 SG SGD Metrogas SA/Chile 6.0 41.6 8/1/2024 CL CLP Corp Universidad de Co 5.9 64.2 11/10/2021 CL CLP Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Noble Holding Internat 6.2 62.2 8/1/2040 KY USD Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD Argentine Republic Gov 7.1 75.7 6/28/2117 AR USD Provincia del Chaco Ar 9.4 74.8 8/18/2024 AR USD Argentine Republic Gov 0.5 27.6 12/31/2038 AR JPY Banco Macro SA 17.5 65.2 5/8/2022 AR ARS Cia Energetica de Pern 6.2 1.1 1/15/2022 BR BRL Banco Macro SA 17.5 65.2 5/8/2022 AR ARS Argentina Bonar Bonds 7.6 74.4 4/18/2037 AR USD Avadel Finance Cayman 4.5 55.0 2/1/2023 US USD Cia Latinoamericana de 9.5 74.3 7/20/2023 AR USD Cia Latinoamericana de 9.5 73.9 7/20/2023 AR USD Noble Holding Internat 6.1 62.0 3/1/2041 KY USD Provincia del Chaco Ar 4.0 0.0 12/4/2026 AR USD Provincia de Buenos Ai 7.9 75.3 6/15/2027 AR USD Province of Santa Fe 6.9 74.7 11/1/2027 AR USD Polarcus Ltd 5.6 71.8 7/1/2022 AE USD Provincia de Rio Negro 7.8 70.4 12/7/2025 AR USD Noble Holding Internat 5.3 60.5 3/15/2042 KY USD Provincia de Cordoba 7.1 72.7 8/1/2027 AR USD Provincia de Rio Negro 7.8 70.3 12/7/2025 AR USD Automotores Gildemeist 6.8 54.9 1/15/2023 CL USD Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD YPF SA 16.5 67.3 5/9/2022 AR ARS Provincia del Chubut A 4.5 2208 3/30/2021 AR USD Argentine Republic Gov 8.3 74.5 12/31/2033 AR USD Argentine Republic Gov 6.9 75.2 1/11/2048 AR USD Argentina Bonar Bonds 5.8 75.2 4/18/2025 AR USD Argentine Republic Gov 4.3 70.0 12/31/2033 AR JPY Automotores Gildemeist 6.8 54.9 1/15/2023 CL USD Province of Santa Fe 6.9 75.2 11/1/2027 AR USD Argentine Republic Gov 6.3 74.1 11/9/2047 AR EUR ********* 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. 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