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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

          Tuesday, October 12, 2021, Vol. 22, No. 198

                           Headlines



B R A Z I L

VALE SA: Dam Disasters Were Wake Up Call for Firm, CEO Says


C H I L E

ALPHA LATAM: Cerberus South Named Stalking Horse Bidder of Assets


C O L O M B I A

ECOPETROL SA: Wins Oil Concession in Brazil


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Study Reveals 75% of Firms No Trust in Police


E C U A D O R

ECUADOR: IMF Allows Immediate Disbursement of SDR568 Million


J A M A I C A

JAMAICA: Deal Reached for Large Companies to Pay Minimum 15% Tax


M E X I C O

BANCO INVEX: Fitch Affirms 'BB+' LT IDRs, Outlook Stable
BANCO MONEX: Fitch Affirms 'BB+' LT IDRs, Outlook Negative


X X X X X X X X

[*] Latin America Economy Will Close 2021 Below Pre-Pandemic Levels

                           - - - - -


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B R A Z I L
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VALE SA: Dam Disasters Were Wake Up Call for Firm, CEO Says
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globalinsolvency.com reports that after two deadly dam disasters
that made Vale SA a pariah of the global green movement, Brazil's
largest mining company is striving to put the environment and
climate at the heart of its business, Chief Executive Eduardo
Bartolomeo told Reuters.

Bartolomeo, speaking in an interview at the Reuters Impact
conference, said the disasters -- which killed nearly 300 people
and caused huge environmental damage in Brazil -- were a wake up
call that forced the company to think differently, according to
globalinsolvency.com.

"I think everybody woke up. I think the incidents, the tragedies,
unfortunately pushed us to open up our minds. It's a driving force
behind everything we do here at Vale and it is a driving force for
the industry as well," he said, the report notes.  

Beyond improving safety, it helped Vale reconsider its wider role
too, according to Bartolomeo, the report relays.  Vale plans to
invest between $4 billion and $6 billion to reduce emissions by
2030, aiming to cut its direct and indirect carbon emissions by
33%.  It plans to hit zero net emissions by 2050, the report adds.

As reported in the Troubled Company Reporter - Latin America on
Oct. 8, 2021, globalinsolvency.com, citing Reuters, reports that
state prosecutors in the state of Minas Gerais have filed a lawsuit
seeking 2.5 billion reais (US$457 million) from miners Vale,
Samarco and BHP related to a tailings dam disaster in 2015,
according to a statement.  Prosecutors allege that the companies
have not fulfilled the obligations outlined in a settlement agreed
in 2018, in which the miners agreed to pay damages to the people
affected by the disaster, according to globalinsolvency.com.

                       About Vale SA

Vale S.A. is a Brazilian multinational corporation engaged in
metals and mining and one of the largest logistics operators in
Brazil.

As reported in the Troubled Company Reporter-Latin America in
September 2019, Moody's Investors Service affirmed Vale S.A.'s Ba1
senior unsecured ratings and the ratings on the debt issues of
Vale
Overseas Limited, fully and unconditionally guaranteed by Vale S.A.
Moody's also affirmed the Ba2 senior unsecured ratings of Vale
Canada Ltd.  The outlook changed to stable from negative.  At the
same time, Moody's America Latina Ltda. affirmed Vale's Ba1/Aaa.br
corporate family rating and the Ba1/Aaa.br ratings on its senior
unsecured notes. The outlook changed to stable from negative.




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C H I L E
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ALPHA LATAM: Cerberus South Named Stalking Horse Bidder of Assets
-----------------------------------------------------------------
Judge J. Kate Stickles of the U.S. Bankruptcy Court for the
Southern District of New York authorized:

      (i) Alpha Latam Management, LLC and affiliates to designate
Cerberus South American Investments, LLC (or such affiliates as it
may designate in writing), on behalf of certain funds and accounts
managed by its affiliates and their direct and indirect
subsidiaries, as the stalking horse bidder for certain Assets that
constitute the Stalking Horse Package; and

     (ii) Alpha Capital S.A.S. and Vive Creditos Kusida S.A.S.
("Sellers") to enter into and perform certain obligations under an
asset purchase agreement, whereby the Buyer has agreed to purchase
certain specified loans in the Sellers' loan portfolio and certain
contracts related to the operation of such portfolio ("Stalking
Horse Package"), subject to the solicitation of higher or
otherwise
better offers.

The aggregate consideration for the sale and transfer of the
Purchased Assets from the Sellers to the Buyer will be as follows:
an amount in cash calculated in accordance with Section 3.1(a)(i)
of the Disclosure Schedule; plus any Cure Costs related to Assumed
Contracts pursuant to section 365 of the Bankruptcy Code and
Section 2.5 ((i).

On the Closing Date, the Buyer will pay or cause to be paid to any
Seller or its designee(s) an amount or amounts in cash equal, in
the aggregate, to the Purchase Price, less (i) the Deposit, which
will be released to Sellers pursuant to Section 3.3 on the Closing
Date, less (ii) the Net Cash Flows, which are to be credited toward
the Purchase Price pursuant to Section 7.6, less (iii) the Taxes to
be deducted from the Purchase Price pursuant to Section 7.13, plus
(iv) solely to the extent that Buyer withholds any amounts pursuant
to Section 3.5 which would otherwise be payable to any of the
Sellers under the Agreement as a result of the Buyer's assignment
of the rights and obligations thereunder pursuant to Section
10.4(a), an amount such that, after such withholding, the Sellers
receive a net amount equal to the amount they would have received
if such withholding had been imposed on the amounts otherwise
payable to the Sellers under the Agreement at 50% of the rate
actually imposed; provided that, following the Closing, the Sellers
will use commercially reasonable efforts to obtain any reduction,
refund or rebate of any such withholding from the relevant taxing
authority and will pay to the Buyer 50% of any such amounts
refunded or rebated, net of reasonable costs and expenses incurred
by the Sellers with respect thereto.  

The Stalking Horse Bidder will be deemed a Qualified Bidder, and
the Stalking Horse Bid will be deemed a Qualified Bid, for all
purposes under the Bidding Procedures.

The Bid Protections, as set forth in the Stalking Horse APA, are
approved in their entirety, and are payable in accordance with the
Stalking Horse APA.  The Sellers are authorized to pay the Stalking
Horse Bidder, without further authority or order from the Court,
(a) a break-up fee equal to $3 million and (b) the reasonable and
documented out-of-pocket expenses of Buyer incurred in connection
with the Stalking Horse Bid and Proposed Transaction up to an
amount equal to $1 million, as and when specified by the Stalking
Horse APA and subject to paragraph D of the Order; provided that
the Bid Protections will not be greater than 5% of the Estimated
Purchase Price as of Oct. 28, 2021 (or if the Auction is held on a
later date, such later date) based on the pricing terms in the
Stalking Horse APA and the most recent Loan Tape as of such date.

Notwithstanding anything to the contrary in the Bid Procedures
Order and/or the Bidding Procedures to the contrary:

     (a) The IOI Deadline was extended to Oct. 8, 2021, at 4:00
p.m. (ET).   

     (b) The Revised Sale Notice is approved.

     (c) The Debtors were to file and serve the Revised Sale
Notice, in English and Spanish, upon the Notice Parties and all
other known creditors of the Debtors on Oct. 4, 2021, in lieu of
filing and serving the Sale Notice on Sept. 24, 2021.  

     (d) The Debtors will publish a notice substantially similar in
all respects to the Revised Sale Notice on the case website
(https://cases.primeclerk.com/alphalatam), with its espective
translation or any modification necessary for ease of publication,
once in The New York Times (National Edition) in the U.S. and once
in El Tiempo (National Edition) in Colombia.  Such publication
notice will be deemed sufficient and proper notice of the Sale and
the Stalking Horse APA to any other interested parties whose
identities are unknown to the Debtors.

Notwithstanding the possible applicability of Bankruptcy Rules
6004(h), 6006(d), 7062, 9014 or any applicable provisions of the
Bankruptcy Rules or the Local Rules or otherwise stating the
contrary, the terms and conditions of the Order will be immediately
effective and enforceable upon its entry, and any applicable stay
of the effectiveness and enforceability of the Order is waived.

                    About LATAM Airlines Group

LATAM Airlines Group S.A. -- http://www.latam.com/-- is a
pan-Latin American airline holding company involved in the
transportation of passengers and cargo and operates as one unified
business enterprise. It is the largest passenger airline in South
America.

Before the onset of the COVID-19 pandemic, LATAM offered passenger
transport services to 145 different destinations in 26 countries,
including domestic flights in Argentina, Brazil, Chile, Colombia,
Ecuador and Peru, and international services within Latin America
as well as to Europe, the United States, the Caribbean, Oceania,
Asia and Africa.

LATAM and its 28 affiliates sought Chapter 11 protection (Bankr.
S.D.N.Y. Lead Case No. 20-11254) on May 25, 2020. Affiliates in
Chile, Peru, Colombia, Ecuador and the United States are part of
the Chapter 11 filing.

The Debtors disclosed $21,087,806,000 in total assets and
$17,958,629,000 in total liabilities as of Dec. 31, 2019.

The Hon. James L. Garrity, Jr., is the case judge.

The Debtors tapped Cleary Gottlieb Steen & Hamilton LLP as
bankruptcy counsel, FTI Consulting as restructuring advisor, Lee
Brock Camargo Advogados as local Brazilian litigation counsel, and
Togut, Segal & Segal LLP and Claro & Cia in Chile as special
counsel. The Boston Consulting Group, Inc. and The Boston
Consulting Group UK LLP serve as the Debtors' strategic advisors.
Prime Clerk LLC is the claims agent.

The official committee of unsecured creditors formed in the case
tapped Dechert LLP as its bankruptcy counsel, Klestadt
WintersJureller Southard & Stevens, LLP as conflicts counsel, UBS
Securities LLC as investment banker, and Conway MacKenzie, LLC as
financial advisor.  Ferro Castro Neves Daltro & Gomide Advogados,
is the committee's Brazilian counsel.

The Ad Hoc Group of LATAM Bondholders tapped White & Case LLP as
counsel.

Glenn Agre Bergman & Fuentes, LLP, led by managing partner Andrew
Glenn and partner Shai Schmidt, has been retained as counsel to
the Ad Hoc Committee of Shareholders.




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C O L O M B I A
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ECOPETROL SA: Wins Oil Concession in Brazil
-------------------------------------------
Rio Times Online reports that Colombia's Ecopetrol won one of the
92 concessions to explore and produce oil and natural gas in
Brazil's offshore waters that were auctioned by the National
Petroleum Agency (ANP, regulator).

Ecopetrol obtained a block in the Santos basin, located off the
coast of Sao Paulo (southeast), in consortium with the Anglo-Dutch
multinational Shell, whose participation is 70% compared to the 30%
of the Colombian firm, according to Rio Times Online.

The Santos marine basin contains the oldest hydrocarbon production
areas in Brazil, the report notes.

               About Ecopetrol SA

Ecopetrol, formerly known as Empresa Colombiana de Petroleos S.A.
(English: Colombian Petroleum Co.), is the largest and primary
petroleum company in Colombia.  As reported in the Troubled Company
Reporter-Latin America on May 26, 2021, S&P Global Ratings
downgraded Ecopetrol S.A.'s rating to 'BB+' from 'BBB-' and
assigned a stable outlook.




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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: Study Reveals 75% of Firms No Trust in Police
-----------------------------------------------------------------
Dominican Today reports that 75% of the Dominican Republic's
companies have little or no confidence in the National Police, as
revealed by the third edition of the study "Impact of citizen
insecurity on the business climate" of the National Association of
Young Entrepreneurs (ANJE) carried out between June and August of
this year 2021.

The study establishes that 77% of the businessmen consulted
consider that citizen insecurity has a high impact on the business
climate, being that "common criminals" are their primary concern,
according to Dominican Today.

Theft and robbery are what worry them most because it is what
happens to them most frequently. Fifty-seven percent of business
owners stated that they had been victims of these crimes, the
report notes.

"Most of the companies surveyed confessed to feeling concerned
about common crime (robberies or thefts), followed, to a lesser
extent, by scams and cybercrime," the document states, the report
relays.

The study involved 555 companies from all over the country, the
report discloses.

The results of this research were presented in a context in which
the population is demanding a profound reform of the police force
due to a growing concern for insecurity, which has intensified
after the murder of architect Leslie Rosado at the hands of a
National Policeman, 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).




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E C U A D O R
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ECUADOR: IMF Allows Immediate Disbursement of SDR568 Million
------------------------------------------------------------
The Executive Board of the International Monetary Fund (IMF)
concluded the combined second and third reviews of the extended
arrangement under the Extended Fund Facility (EFF) for Ecuador. The
Board's decision allows for an immediate disbursement of SDR568
million (about US$800 million), bringing Ecuador's total
disbursements under the arrangement to about US$4.8 billion. The
Ecuadorian authorities plan to use the disbursement for budget
support.

Ecuador's 27-month EFF arrangement was approved by the Executive
Board on September 30, 2020 for SDR4.615 billion (about US$6.5
billion or around 661 percent of Ecuador's quota). The program aims
to support Ecuador's policies with the economic recovery from the
pandemic, to restore fiscal sustainability with equity by reducing
public debt while expanding social safety nets, and generate
environmentally friendly sustainable growth with high quality jobs
that benefits all Ecuadorians.

The Executive Board granted a waiver of nonobservance of the
end-April 2021 quantitative performance criterion on non-financial
public sector deposits based on the minor nature of the
nonobservance and corrective action taken by the authorities.

Following the Executive Board discussion on Ecuador, Ms. Antoinette
Sayeh, Deputy Managing Director and Acting Chair, issued the
following statement:

The COVID-19 and oil price shocks severely hit the Ecuadorian
economy in 2020. The recovery has been slow but the accelerated
pace of vaccinations, the improving global economy, and funding
from the IMF and other IFIs are supporting Ecuador's recovery.

The authorities have significantly expanded social assistance
programs. Over 440,000 low-income families have been added to the
social safety net since July 2020. The continued expansion of
social safety nets, reaching families in the lowest income groups
and in generally underserved locations, will be crucial to mitigate
the impact of the pandemic on the most vulnerable.

The ongoing pandemic and gradual economic recovery warrant
continued support of the economy this year. Going forward, the
authorities are committed to securing medium-term fiscal
sustainability, reducing public debt, and building buffers through
an expenditure-led consolidation strategy while protecting the most
vulnerable, supplemented by progressive tax reform. Coordinating
within the nonfinancial public sector, enforcing the timelines for
data submission, and establishing budget ceilings in key spending
categories in the near and medium term will be critical to achieve
expenditure targets. Progressing with structural reforms to
strengthen public financial management will also be essential.

The authorities have implemented key structural reforms to
strengthen the anticorruption framework and the foundations of
dollarization by enacting a new anticorruption law and a new
organic monetary and financial code.

Improved transparency and governance in the management of public
resources, including COVID-related spending, is crucial for
bolstering trust in public institutions. Implementing fully and
swiftly the regulation that was adopted last year to collect and
publish ultimate beneficial ownership information in public
procurement contracts is also critical. Further efforts are needed
to improve asset declarations of politically exposed people,
overhauling the AML/CFT framework, and conducting audits of taxes.

The banking system appears ready for the removal of the crisis
measures at the end of the year, as currently envisaged by the
authorities. Closing regulatory gaps over time across the financial
system will level the playing field and enhance resilience.

The need to improve competitiveness and raise potential growth puts
a premium on structural reforms, informed by national dialogue. In
this regard, the authorities' ongoing efforts to forge new
international trade deals and reform the labor market can help
foster private sector growth and foreign direct investment.

Executive Board Assessment

Executive Directors commended the authorities for the measures
taken to mitigate the economic and social impact of the pandemic
and for the progress made in implementing reforms. Directors
welcomed the decision to continue with the EFF-supported program
and its objectives of supporting the economic recovery from the
pandemic, restoring fiscal sustainability, and generating green,
inclusive growth with high quality jobs.

Directors supported a more gradual fiscal consolidation to
accommodate urgent pandemic-related spending needs this year, to
expand social assistance programs, and to support the economic
recovery. They welcomed the authorities' commitment to fiscal
consolidation over the medium term, stressing the need for strong
revenue efforts, including a progressive tax reform, to complement
the expenditure-led consolidation strategy. Contingency planning in
case of financial shortfalls was also encouraged. Directors
recommended further efforts to strengthen public financial
management, informed by the planned public expenditure review,
fiscal transparency evaluation, and public investment management
assessment.

Directors underscored the need to continue strengthening
transparency and governance in the management of public resources
to further improve trust in public institutions. They urged the
full and swift implementation of the regulation for collecting and
publishing ultimate beneficial ownership information in public
procurement contracts. They also encouraged continued efforts to
enhance the AML/CFT framework and conduct audits of taxes.

Directors welcomed the recent amendments to the central bank law to
strengthen its independence and governance. They commended the
authorities for the progress in improving the central bank balance
sheet and the foundations of the dollarization regime.

Directors welcomed the authorities' intention to unwind the crisis
measures in the banking system to preserve its health and avoid
creating distortions. The planned third-party asset quality review
for public banks would help identify provisioning and
capitalization needs. Directors encouraged the development of a
plan to close regulatory gaps, level the playing field, and
strengthen the overall financial system.

Directors underscored the need to make progress on structural
reforms to improve competitiveness, enhance the business
environment, and accelerate environmentally friendly growth led by
the private sector. Directors welcomed the authorities' ongoing
efforts to forge new trade agreements and reform the labor market
to set the course for higher and more inclusive growth. They noted
that reducing the dependence on oil would help prepare Ecuador for
the global transition to reduce carbon emissions while also
promoting the development of other sectors.




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J A M A I C A
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JAMAICA: Deal Reached for Large Companies to Pay Minimum 15% Tax
----------------------------------------------------------------
RJR News reports that a landmark global agreement to ensure large
companies pay a minimum tax rate of 15% and make it difficult for
them to avoid tax was finally agreed after Ireland, Estonia and
Hungary signed the elusive agreement.

Negotiations have been going on for four years, moving forward
online during the pandemic, according to RJR News.

Some 136 countries have agreed to enforce the corporate tax rate,
as well a fairer system of taxing profits where they are earned,
the report notes.

It follows concern that multinational companies are re-routing
their profits through low tax jurisdictions to cut their bills, the
report relays.

Finance Minister Dr. Nigel Clarke told Radio Jamaica News that
Jamaica is part of the consensus.

However, critics say a 15% rate is too low, and firms will get
around the rules, the report adds.

                          About Jamaica

Jamaica is an island country situated in the Caribbean Sea.
Jamaica is an upper-middle income country with an economy heavily
dependent on tourism.  Other major sectors of the Jamaican economy
include agriculture, mining, manufacturing, petroleum refining,
financial and insurance services.

Fitch Ratings affirmed in March 2021 Jamaica's Long-Term Foreign
Currency Issuer Default Rating (IDR) at 'B+', with a stable
outlook.  Standard & Poor's credit rating for Jamaica stands at B+
with negative outlook (April 2020).  Moody's credit rating for
Jamaica was last set at B2 with stable outlook (December 2019).  

According to Fitch, Jamaica 'B+' rating is supported by World Bank
Governance Indicators that are substantially stronger than the 'B'
and 'BB' medians, a favorable business climate according to the
World Bank Doing Business Survey, moderate inflation and moderate
commodity dependence. These strengths are balanced by
vulnerability to external shocks, a high public debt level and a
debt composition that makes the sovereign vulnerable to exchange
rate fluctuations.

The Stable Outlook is supported by Fitch's expectation that the
public debt level will return to a firm downward path
post-pandemic, which is underpinned by political consensus to
maintain a high primary surplus, the resilience of external
finances, and stronger economic policy institutions.




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M E X I C O
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BANCO INVEX: Fitch Affirms 'BB+' LT IDRs, Outlook Stable
--------------------------------------------------------
Fitch Ratings has affirmed Banco Invex, S.A. Fideicomiso F/2157
(Fibra MTY) Foreign Currency and Local Currency Long-Term Issuer
Default Ratings at 'BB+' and National Scale Long Term Rating at
'AA(mex)'. The Rating Outlook is Stable. Fitch has also affirmed
the 'BB+'/'AA(mex)' ratings on Fibra MTY's Certificados Bursatiles
Fiduciarios (CBFs) issuance FMTY 20D due 2027.

Fibra MTY's ratings are based on the company's good asset quality,
and strong financial profile characterized by high EBITDA margins,
expected medium-term net leverage ratios (measured as net debt to
EBITDA) of 4.5x and solid liquidity.

The ratings are limited by scale in terms of gross leasable area
(GLA) and revenue concentration by property, tenant and region;
factors that mitigate this risk include the good tenant quality and
corporate guarantees that back lease contracts.

KEY RATING DRIVERS

Good Portfolio Quality: Fibra MTY's rent price per square meter (sq
m) compares favorably with average local market prices. Its tenant
base comprised mainly of institutional companies with long-term
lease contracts are the result of the fibra's good asset quality.
The company owned and operated 59 properties, equivalent to 749,564
sq m of GLA as of June 30, 2021, an increase compared with the 22
properties and 220,300sq m at YE 2015. Fibra MTY's property
portfolio comprises 19 office buildings, 34 industrial and six
commercial properties.

Low Risk Rental Income: High asset quality, good property location
and long-term relationships with tenants allow Fibra MTY to
maintain high occupancy rates. The total portfolio occupancy rate
in terms of GLA was 90.5% as of June 30, 2021. Fitch considers that
Fibra MTY's lease contracts, with an average remaining life of more
than four years, provide predictability on the company's future
revenue. Fibra MTY had a laddered lease expiration schedule with
24.6% of lease contracts expiring during the second half of 2021
and in 2022, 7.1% in 2023, 8.9% in 2024 and59.4% thereafter. Fitch
expects total occupancy to be between 91%and 94% in the next few
years.

Rental Income with Low Diversification: Fibra MTY presents
concentration by property, tenant and region. As of June 30, 2021,
Fibra MTY had 109 tenants; the top 10 tenants in June 2021
represented approximately 47.3% in terms of annualized base rent
(ABR), compared to approximately 50% during 2020. The largest
tenant, Industrias Acros Whirlpool S.A. de C.V., accounted for
approximately 19% of rental income, while none of the other tenants
represented for more than 4.2%. Fibra MTY maintains a diversified
portfolio of tenants by industry, which supports the rating. The
contribution from consumer durable goods, capital goods and the
automotive sector accounted for 52.6% of revenues at June 30,
2021.

The company also has significant geographic concentration. As of
June 2021, revenues generated in the state of Nuevo Leon
represented 55%, compared to 64.5% during 2020. Fitch's analysis
considers the historical growth in GDP for the states where Fibra
MTY has presence relative to the national average. Fitch estimates
this concentration will decrease as the company executes its growth
plan in the next 12-24 months. The plan is focused on states with
positive growth prospects in the manufacturing sector in the North
and Bajio regions in central Mexico, as well as in the main office
markets.

Coronavirus Impact Manageable: During 2020, Fibra MTY's management
implemented a series of measures to cope with the challenges
presented by the pandemic, which included decreased acquisition
activity, the creation of an account receivables reserve and tenant
rent support. Tenant support measures included agreements to apply
tenants' rent deposits toward rent payment (with the tenants'
commitment to replenish these deposits in the following 12-24
months) and deferrals of rent payments, which have been recovered
during 2021.

Fitch will continue to monitor Fibra MTY's revenue and portfolio
performance. The retention rate in the office segment was 80%
despite uncertainty regarding the duration of government
restrictions on activities deemed nonessential. In its base case
projections, Fitch considers lower occupancy rates for the office
segment and longer vacancy periods once a contract expires and a
new contract is formalized. The results of this analysis indicate
Fibra MTY's profitability and its main credit metrics will remain
in adequate ranges.

Consistent Growth Strategy: Fibra MTY continues to execute its
growth strategy in the segments and geographies that enhance its
portfolio. In June 2021, the company announced the acquisition of
"La Perla" office complex in Guadalajara for MXN1,435.2 million
(only for the 81% of GLA currently leased). The transaction adds
43.6 thousand sqm and an expected annualized Net Operating Income
(NOI) of around MXN133 million. In addition, on Sept. 29, 2021 the
company completed the acquisition of a 9 thousand sqm expansion of
an industrial building in Saltillo for USD5.38 million.

The company deploys its growth strategy using a combination of
debt, equity and asset sales; this allows it to maintain net
leverage bellow 5x and Loan-to-value (LTV) below 35%. Discipline is
demonstrated through the decision to acquire only stabilized
assets, with a track record of revenue generation and avoid asset
development.

Adequate Leverage: Fitch expects Fibra MTY's net leverage
(calculated according to Fitch's Criteria) to be 4.5x in the medium
term while it executes its growth strategy. The base case
projections consider the deployment of the resources obtained from
the December 2019 equity follow-on and the cash flows generated by
current and new properties. The ratings consider a growth strategy
financed with a combination of debt and equity that allows the
company to maintain a net loan-to-value metric (LTV, net
debt/investment properties) equal to or below 35%.

The recent unsecured debt transactions (USD100 million in 4Q2020
and USD115 million in July 2021) allowed Fibra MTY to repay secured
debt and extend its maturity profile. The company has a natural
hedge from exchange rate volatility, given that contracts
denominated in this currency represent around 74% of its revenues.

After the debt refinancing in July 2021, Fibra MTY's properties are
unencumbered, and Fitch expects an unencumbered assets to
unencumbered net debt ratio of 3x or higher in the coming years.
The unencumbered asset pool could provide additional financial
flexibility to the company in an environment of low economic
activity and limited access to different sources of funding.

DERIVATION SUMMARY

Fibra MTY's ratings are supported by its good asset quality, low
cost structure and balanced growth strategy, that translate into
stable profitability and net leverage ratios. The ratings are
limited by Fibra MTY's scale in terms of GLA and revenues, as well
as revenue concentration by tenant, property and geography,
compared to other Mexican real estate operators.

Fibra MTY's total portfolio GLA as of June 30, 2021 was
approximately 750 thousand sqm. In terms of GLA office, industrial
and commercial properties represented 27.7%, 69.7% and 2.6%,
respectively. Tenant concentration has improved to 47% from more
than 50% in past years, but it is still higher than its peers.
Factors that mitigate this risk include the good tenant quality and
corporate guarantees that back lease contracts.

Fibra MTY's financial structure is strong for the rating level and
should remain stable as the company continues its growth strategy.
Fitch projects net leverage at between 4.0x and 5.0x, reflecting a
balanced growth financed with debt and equity.

As of June 30, 2021 Fideicomiso Irrevocable 1721 Banco Actinver,
S.A., Institucion de Banca Multiple, Grupo Financiero Actinver,
Division Fiduciaria (Fibra Prologis; BBB/Stable; AAA(mex)/Stable)
had 3.7 million square meters of industrial properties in the
northern and central regions of Mexico, with 96.4% occupancy; the
ratings factor in the expectation that Fibra Prologis will maintain
moderate financial leverage, net debt to EBITDA around 5x.

CIBANCO, S.A., Institucion de Banca Multiple, Trust F/00939 (Fibra
Terrafina; BBB-/Stable) had an industrial portfolio of
approximately 3.6 million sqm of GLA with approximately 94%
occupancy; Fitch expects net leverage to be around 5.5x in the
following years.

RATING SENSITIVITIES

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

-- Increasing the scale of the portfolio and reducing the
    concentration of income and NOI per tenant and property;

-- EBITDA margin consistently higher than 80%;

-- Maintain a net leverage metric below 4.0x on a sustained
    basis, throughout investment periods;

-- Maintain an unencumbered assets to unencumbered net debt
    coverage of 3x or higher.

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

-- Increase in the concentration of income per tenant and/or
    property;

-- Deterioration in profitability that results in an EBITDA
    margin below 70% on a sustained basis;

-- Increase of net leverage in ranges above 5.0x on a sustained
    basis, as a result of a deterioration in profitability and/or
    acquisitions financed mainly with debt;

-- Dividend payments consistently higher than 100% of AFFO,
    resulting in a weaker capital structure;

-- Weakening liquidity profile;

-- Operating EBITDA coverage to interest paid of 2.5x or less;

-- Ratio of unencumbered assets to unsecured debt equal to or
    less than 2.0x

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

Robust Liquidity: At June 30, 2021, Fibra MTY's Cash and
equivalents was MXN878 million after the acquisition of La Perla
office property. On a proforma basis, after the debt refinancing
completed in July 2021, the company does not face debt maturities
until 2027.

Liquidity is supported by Fibra MTY's committed credit facilities.
As of June 2021, availability under these credit lines was
equivalent to MXN2,665 million. Fitch expects that Fibra MTY will
maintain similar levels of committed credit lines in the future.

After the issuance of CBF in the local market for USD215 million in
4Q20 and 3Q21, the company's total debt is unsecured. Fitch expects
Fibra MTY to have an unencumbered assets to unencumbered net debt
ratio of 3x or higher in the coming years.

ISSUER PROFILE

Fibra MTY is a diversified real estate operator with properties in
the office, industrial and commercial sectors; its properties have
an ABR of 749,563 square meters and presence in the main markets of
Mexico.

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.


BANCO MONEX: Fitch Affirms 'BB+' LT IDRs, Outlook Negative
----------------------------------------------------------
Fitch Ratings has affirmed Banco Monex, S.A., Institucion de Banca
Multiple, Grupo Financiero Monex's (Banco Monex) Long- and
Short-term Foreign- and Local-Currency Issuer Default Ratings
(IDRs) at 'BB+'/'B' and its Viability Rating (VR) at 'bb+'. The
Rating Outlook is Negative.

Fitch has also upgraded the Long- and Short-Term National Scale
ratings of Monex, S.A.B. de C.V. (Monex SAB) to
'AA-(mex)'/'F1+(mex)' from 'A+(mex)'/'F1(mex)' and affirmed Banco
Monex and Monex Casa de Bolsa, S.A. de C.V., Grupo Financiero Monex
(Monex CB) at 'AA-(mex)'/'F1+(mex)'. The Rating Outlook is
Negative.

Fitch upgraded the National Scale Ratings of Monex SAB as a result
of its double leverage metric consistently below 120% in the last
four years supported by a good internal capital generation. This
has offset recent company acquisitions despite the challenging
operating environment (OE). The Negative Outlook is aligned with
the bank's Outlook, which still reflects the weakened OE.

Fitch also upgraded the senior unsecured debt issued by Monex SAB
to 'AA-(mex)' from 'A+(mex)'.

KEY RATING DRIVERS

BANCO MONEX

VR and IDRs: Banco Monex's IDRs are driven by its intrinsic
creditworthiness, as reflected in its 'bb+' VR. The VR considers as
a high importance factor the still challenging OE, which explains
the Negative Outlook. The company profile, distinguished by its
recognized franchise in the FX trading local market but still
moderate when compared to the financial system, and its proven
business model through the economic cycle accompanied by consistent
earnings generation also highly influence the VR.

Banco Monex is a mid-sized Mexican commercial bank that is one of
the leaders in FX spot and derivatives trading in Mexico's market
on behalf of third-parties. As of June 30, 2021 (2Q21), Banco Monex
was the third largest Mexican financial institution by FX spot
trading earnings and was the fifth largest when also considering FX
derivative earnings. Nonetheless, despite its FX market leadership,
its market share as commercial bank is modest in a local (1.6% of
the total assets of the Mexican system) and global basis.

Banco Monex's earnings and profitability profile has remained solid
and stable despite the coronavirus crisis. As of 2Q21, operating
profit to risk weighted assets (RWA) ratio was 3.2%, consistent
with the last four year's average. Profitability ratios have been
aided by the business model and revenue structure of the bank,
which benefits from wider FX spread margins during periods of
higher volatility and uncertainty and increased operating volumes.
The 2020 operating profit to RWA ratio was 2.9%.

Banco Monex's asset quality is the weakest link of its financial
profile by its relatively high concentrations by industry and
single borrower. At 2Q21, the NPL ratio was 1.4%, the lowest metric
since 2018, but that was aided by relevant charge-offs made during
the last 12 months. The adjusted NPL ratio that includes write-offs
published by the local regulator was 3.4% at the same date. The
asset quality is pressured by concentrations per creditor since the
20 largest represented 1.2x of its CET1 or 37.3% of the gross
loans; nevertheless, the loan loss allowances were ample and
covered 273.6% of impaired loans, providing a good loss absorption
capacity for possible additional portfolio impairments.

Banco Monex's capitalization ratios provide good loss absorption
capacity. As of 2Q21, the CET1 capital ratio was 16.9%, the highest
ratio since 2017. The ratio has strengthened by 215bp from its
level at YE2020 by a reduction of its market and credit risk
requirements given the lower volatility and reduction of its loan
portfolio, as well as by the consistent generation and reinvestment
of earnings.

Banco Monex's funding structure is reasonable and adequate for its
business model. At 2Q21, loans to customer deposits ratio remained
at similar levels to prior years (55.1%). The ratio is underpinned
by a stable and diversified customer deposits base that comprised
94.7% of funding sources by excluding derivatives, reverse repos
and securities borrowing. The liquidity profile is a strength of
Banco Monex's financial profile given its highly liquid balance
sheet. The liquidity position is reflected in its 177% liquidity
coverage ratio that is well above the minimum regulatory as of
2Q21.

National Ratings: Banco Monex's national scale ratings are relative
rankings of creditworthiness within a certain jurisdiction.

SR and SRF: Fitch affirmed the Support Rating (SR) and Support
Rating Floor (SRF) at '5'/'NF' to reflect the bank's low systemic
importance. However, possible, external support cannot be relied
upon.

MONEX SAB

National Ratings: The ratings consider the long-track record and
leadership of the Mexican operating subsidiaries in the FX trading
local market as well as the consistent, stable and diversified
earnings generation of its consolidated operations through the
economic cycle. Despite Monex SAB is a pure holding company whose
liquidity and interests and principal payment of its senior debt
wholly depends on subsidiaries dividend payments; its liquidity and
refinancing risk is well mitigated. The ratings upgrade considers
the double leverage ratio that has remained below 120% in the last
four years and that stood at 109.6% at 2Q21. In spite of a possible
increase of the double leverage over the coming 18 months, Fitch
does not expect a material increase above 120% in the short- to
mid-term.

Senior Unsecured Debt Rating: Fitch upgraded the MONEX 21's rating
at the same level as Monex SAB's Long-Term National Scale rating of
'AA-(mex)' as the notes' likelihood of default is the same as the
issuer's.

MONEX CB

National Ratings: Monex CB's ratings and Outlook are aligned with
those of Banco Monex due to Monex Grupo Financiero, S.A. de C.V.'s
legal obligation to provide support to its subsidiaries, as well as
Fitch's perception of Monex CB's core importance to the group's
overall vision and strategy.

RATING SENSITIVITIES

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

Banco Monex VR, IDR and National Ratings:

-- If the CET1 capital ratio declines consistently below 13% or
    if asset quality problems result in higher credit costs that
    pressure the operating profit to RWA ratio to a level
    consistently below 3%;

-- If Fitch revises downward its assessment of the OE Banco
    Monex's IDRs and VR would maintain the same relativity to
    Mexico sovereign rating due its less diversified business
    profile.

Monex SAB:

-- The national ratings would remain at the same level as Banco
    Monex and would move in tandem with any rating actions on its
    main operating subsidiary. However, a significant and
    sustained increase of Monex SAB's double leverage ratio above
    120% would lead to a differentiation of one notch with respect
    to the National Scale ratings of Banco Monex.

Monex CB:

-- The national ratings are aligned with those of Banco Monex,
    and a downgrade of the bank's ratings would result in a
    similar action on Monex CB's National Scale ratings.

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

Banco Monex VR, IDR and National Ratings:

-- The Negative Outlook could be revised back to Stable if the
    impact of the pandemic and uncertainties in the OE decrease
    while the entity continues to adequately manage its credit
    profile allowing for a relatively fast recovery;

-- An upgrade of Banco Monex's ratings is unlikely in the
    foreseeable future as they are already at a relatively high
    level for its moderate business model and scale. Over the mid
    term, an upgrade would depend on greater business and risk
    diversification, as well as a marked improvement of its gross
    loan and customer deposit market shares within the Mexican
    financial system.

Monex SAB:

-- The national ratings are at the highest possible level under
    Fitch's criteria due to being aligned with Banco Monex;

-- The debt rating would mirror any changes to the issuer's
    national scale ratings.

Monex CB:

-- The national ratings are aligned with Banco Monex's and would
    mirror any changes in the bank's national ratings;

-- The SR and SRF are at their lowest possible level. Any upside
    potential for both is limited and can only occur over time
    with a material increase in the bank's systemic importance.

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.

SUMMARY OF FINANCIAL ADJUSTMENTS

Banco Monex and Monex CB: Fitch classified pre-paid expenses and
other deferred assets as intangibles and deducted them from total
equity due to their low loss absorption capacity under stress.

Monex SAB: Fitch classified pre-paid expenses, other deferred
assets and goodwill as intangibles and deducted them from total
equity due to their low absorption capacity under stress. Fitch
re-classified the net operating leases classified as fixed assets
as other earning assets.

PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS

Monex CB: Monex CB's ratings and Outlook are aligned with those of
Banco Monex due to Monex GF's legal obligation to provide support
to its subsidiaries.

Monex SAB: Monex SAB's national ratings are aligned with those of
its main operating subsidiary, Banco Monex.

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.




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

[*] Latin America Economy Will Close 2021 Below Pre-Pandemic Levels
-------------------------------------------------------------------
Rio Times Online reports that on average, Latin America's gross
domestic product (GDP) will grow 6.3% this year, a better outlook
than the entity's 4.4% forecast 7 months ago, but lower than the
6.7% regional GDP decline last year.

"The region is slowly emerging from the crisis and growing again,
yet despite some new emerging sectors, the rebound is weaker than
expected," said World Bank Chief Economist for Latin America and
the Caribbean William Maloney in an online press conference from
Washington, according to Rio Times Online.

Latin American and Caribbean countries are close to recovering
economic losses from the pandemic, but the aftershocks are harsh
and governments must focus on the problems they had before
Covid-19, the World Bank said in its semiannual report on the
region presented, the report notes.



                           *********


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

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A.
Chapman, Editors.

Copyright 2021.  All rights reserved.  ISSN 1529-2746.

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