/raid1/www/Hosts/bankrupt/TCRLA_Public/220830.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

          Tuesday, August 30, 2022, Vol. 23, No. 167

                           Headlines



A R G E N T I N A

ARGENTINA: Argentines Withdraw US$1BB From Accounts Amid Turmoil


B E R M U D A

SAGICOR FINANCIAL: S&P Alters Outlook to Pos., Affirms 'BB+' ICR


C H I L E

WOM SA: S&P Affirms 'B+' Rating on Proposed Cash Tender Offer


J A M A I C A

CARIBBEAN CEMENT: Parent Breaks Ground for J$6BB Expansion Project
JAMAICA: Realizes $1.7 Billion Fiscal Surplus for June Quarter


P U E R T O   R I C O

ESJ TOWERS: Gets OK to Hire De Angel & Compania CPA as Auditor


X X X X X X X X

LATAM: Region Torn Between Growth and Inflation, ECLAC Warns

                           - - - - -


=================
A R G E N T I N A
=================

ARGENTINA: Argentines Withdraw US$1BB From Accounts Amid Turmoil
----------------------------------------------------------------
Patrick Gillespie at Bloomberg News reports that Argentines have
withdrawn just over US$1 billion in dollar deposits from the
country's banking system over the past seven weeks as the
government struggles to convince them the currency will stabilize.

Savers began withdrawing their dollars from bank accounts at a
dizzying pace when former economy minister Martin Guzman resigned
on July 2, plunging the government deeper into crisis. Upon his
arrival in office, Sergio Massa, Argentina's third economy minister
in two months enjoyed a brief market rally before deposits fell
again, according to Bloomberg News.

While some dollar deposits make up a part of Argentina's foreign
reserves, which are also declining, they are not considered part of
the Central Bank's net reserves because they generally cannot be
spent to prop up the currency, the report notes.

As of August 16, total deposits had fallen to US$14.55 billion,
according to Central Bank data, less than half the peak level of
around US$32 billion seen in 2019 before a primary vote indicated
President Alberto Fernandez would win the election, the report
relays.  Between that vote and the Peronist leader's inauguration,
Argentines withdrew several billion dollars in deposits, the report
says.

Deposits provide a near real-time pulse of Argentines' economic
expectations, the report discloses.  In late 2001, during one of
the country's worst crises, the government banned large ATM cash
machine withdrawals, which helped fuel social chaos, the report
adds.

                       About Argentina

Argentina is a country located mostly in the southern half of
South America.  Its capital is Buenos Aires. Alberto Angel
Fernandez is the current president of Argentina after winning  
the October 2019 general election. He succeeded Mauricio  
Macri in the position.

Argentina has the third largest economy in Latin America.  The
country's economy is an upper middle-income economy for fiscal
year 2019, according to the World Bank. Historically, however,  
its economic performance has been very uneven, with high economic
growth alternating with severe recessions, income maldistribution
and in the recent decades, increasing poverty.

Last March 25, 2022, Argentina finalized agreement with the IMF
for a new USD44 billion Extended Funding Facility (EFF) intended
to fund USD40 billion in looming repayments of the defunct
Stand-By Arrangement (SBA), with an extra USD4 billion in up-front
net financing. This has averted the risk of a default to the IMF
and is facilitating a parallel rescheduling of Paris  Club debt.

As reported by The Troubled Company Reporter - Latin America on
Aug. 12, 2022, S&P Global Ratings affirmed its foreign and
local-currency sovereign credit ratings of 'CCC+/C' on the
Republic of Argentina. The outlook remains stable. S&P also
affirmed its national scale 'raBBB-' rating and its 'CCC+' transfer
and convertibility assessment. S&P said the stable outlook reflects
the challenges in managing pronounced economic imbalances ahead of
the 2023 national elections given disagreement on policy within the
government coalition and financing pressures in the local market.

Last April 14, 2022, Fitch Ratings affirmed Argentina's Long-Term
Foreign and Local Currency Issuer Default Ratings (IDR) at 'CCC'.
Fitch said Argentina's 'CCC' ratings reflect weak external
liquidity and pronounced macroeconomic imbalances that undermine
debt repayment capacity, and uncertainty regarding how much
progress can be made on these issues under a new IMF program.
On July 19, 2022, Fitch Ratings placed Argentina's Long-Term
Foreign Currency Issuer Default Rating (IDR) and Long-Term Local
Currency IDR Under Criteria Observation (UCO) following the
conversion of the agency's Exposure Draft: Sovereign Rating
Criteria to final criteria. The UCO assignment indicates that
ratings may change as a direct result of the final criteria. It
does not indicate a change in the underlying credit profile, nor
does it affect existing Rating Outlooks.

Moody's credit rating for Argentina was last set at Ca on
Sept. 28, 2020.

DBRS has also confirmed Argentina's Long-Term Foreign Currency
Issuer Rating at CCC and Long-Term Local Currency Issuer Rating at
CCC (high) on July 21, 2022.





=============
B E R M U D A
=============

SAGICOR FINANCIAL: S&P Alters Outlook to Pos., Affirms 'BB+' ICR
----------------------------------------------------------------
S&P Global Ratings revised the outlook to positive from stable on
its issuer credit rating on Bermuda-based nonoperating holding
company (NOHC), Sagicor Financial Co. Ltd. (SFC). S&P also affirmed
its 'BB+' ratings on SFC and on its $550 million senior unsecured
notes due 2028.

On Aug. 25, 2022, the Sagicor group announced that it has entered
into an agreement to acquire 100% shares of Canadian life insurer,
ivari.

S&P said, "We expect the transaction to close during the second
half 2023, subject to the satisfaction of customary conditions,
including required regulatory approvals. ivari provides protection
and wealth management services, including individual life
insurance, and critical illness insurance solutions for the middle
market in Canada. It distributes its products mainly through a
large network of independent advisors.

"We consider SFC's overall economic, regulatory, and operating
risks would be lower if ivari is incorporated into the group,
because the Canadian life insurance sector benefits from lower
country and industry risks than those in the Caribbean and even the
U.S. The group's premiums would be mostly underwritten in Canada
and the U.S., each country to make up about one-third of the
group's premiums, while the remaining share would be underwritten
in the Caribbean."

Incorporating ivari would broaden the group's business and
geographic diversification, because the potential subsidiary
operates in Canada and underwrites mostly universal and traditional
life insurance policies. However, the counterbalancing factor would
be SFC's overall lower competitive advantage because about 60% of
its insurance underwriting would be done in Canada and U.S.,
markets where SFC is still a small player, the brand is relatively
new, and it will mostly use noncontrolled channels to sell its
products.

S&P said, "We consider that ivari's incorporation into Sagicor will
benefit the group's capitalization, according to our risk-based
capital model. This is because we consider ivari as well
capitalized because it follows Canada's conservative regulations,
and its investment portfolio mainly consists of Canadian
highly-rated fixed-income securities, with some equity positions
that would be fully divested in the next few months, according to
ivari's future investment strategy. In addition, our base-case
considers that ivari's transaction-related goodwill will be very
low."

SFC is in the process to acquire the insurance portfolios of
Colonial Life Insurance Co. (Trinidad) Ltd. (CLICO) and British
American Insurance Co. (Trinidad) Ltd. (BAT), for which regulatory
and legal approvals may be concluded by 2024. If both the ivari and
CLICO/BAT acquisitions are concluded, SFC's capital adequacy will
be lower than if only the ivari transaction closes.

S&P said, "We also expect the group to continue deploying capital
in new businesses during the next several years, including the
continued rapid growth in the U.S., Jamaica, and Trinidad & Tobago,
along with searching for new investment opportunities.

"We consider SFC's debt will remain manageable if ivari's purchase
closes. Its financial leverage ratio will remain stable at about
31% after the group raises additional debt to finance part of the
acquisition and once it consolidates the new company. In addition,
we believe rising earnings will continue to allow the group to
service its debt comfortably.

"Although SFC's liquidity could decrease after the close of the
ivari transaction, we expect it to still have sufficient liquidity
to cover its financial obligations. In addition, we view as
positive that SFC will benefit from more diverse sources of
dividends from its various regulated operating subsidiaries."




=========
C H I L E
=========

WOM SA: S&P Affirms 'B+' Rating on Proposed Cash Tender Offer
-------------------------------------------------------------
On Aug. 26, 2022, S&P Global Ratings affirmed its 'B+' rating on
Chile-based telecom operator Wom S.A. and 'B+' issue-level rating
on its notes.

The stable outlook reflects S&P's expectation that the company will
maintain sound subscriber base, revenue, and EBITDA growth next
year and leverage will drop to 4.5x-5.0x in 2023.

On August 26, Wom S.A. launched a cash tender offer for up to $135
million and $135 million, respectively, for its outstanding 2024
and 2028 senior unsecured notes. S&P viewS the transaction as pure
liability management, although the offer is below par.

In light of current interest rate and capital market conditions and
in an attempt to adjust capital structure following the sale of all
of its towers, Wom has launched a tender offer for up to $135
million each of the 2024 and 2028 notes at market value plus a
premium. Both existing notes are currently trading below par, which
means bondholders that opt to participate will receive a discount
on face value. S&P said, "However, we don't view the tender as a
distressed transaction because the notes are tendered more than two
years and five years, respectively, prior to the final
amortization. Additionally, the company doesn't face risk of
conventional insolvency if the offer isn't accepted. Wom's
liquidity position, and projected EBITDA and operating cash flows
don't reflect any type of distress at this point. Furthermore, we
believe Wom would have time and alternatives to refinance this
debt, and that the redemption largely responds to a change in the
capital structure. Following the sale of the towers, Wom will need
to lease back a considerable share of the towers generating an
operating leases obligation, so the company intends to reduce its
debt to restrain its total gross leverage from increasing."

S&P said, "While the company plans to redeem up to $270 million of
the senior unsecured notes, the estimated present value of the
leases related to the sold towers would be about $380 million,
which results in an increase in gross debt (including leasings)
compared with our previous forecast. Along with the exchange, Wom
is soliciting consent of the holders of the notes to amend
indentures to change the definition of debt and adjusted EBITDA
under restrictive covenants. Wom is attempting to eliminate lease
obligations under IFRS 16 from debt and include lease expenses in
operating expenses for the EBITDA calculation, which we believe is
a more aggressive approach to leverage definition. As a result, our
base-case scenario assumes that the the company would reach the
leverage target of maximum of 3.75x to distribute dividends with
somewhat higher levels of S&P adjusted debt and leverage than
previously expected. While we previously forecasted leverage to
fall to about 4.5x in 2022 and 4.0x in 2023, we now believe the
metric will be marginally above 5.0x in 2022 and between 4.5x and
5.0x in 2023.

"While we expect adjusted debt to be higher than in previous
forecasts, the company has slightly outperformed our revenue,
EBITDA and operating cash flow forecast in 2021 and is well on
track to meet our expectations for 2022, and we continue to expect
consistent revenue and EBITDA growth in the next two to three
years. The company has continued to expand its postpaid subscriber
base in the past three years. For instance, we expect Wom's
postpaid subscriber base to rise to 4.2 million by year-end from
2.8 million in 2019. At the same time, the company has efficiently
managed its cost structure, resulting in margin expansion. We
believe EBITDA margin will rise to 30%-31% in 2022 from 26% in
2019. Moreover, the company has launched its fiber-to-home (FTH)
business, which should also bolster revenue growth. Currently, Wom
has 1 million of homes passed with its fiber and has 148,000 fiber
subscribers. We expect this business to grow considerably, although
it would still represent less than 10% of total revenue in the next
three years. Finally, the company closed the spectrum gap with the
other Chilean mobile operators. In the 2021 5G spectrum tender, Wom
obtained spectrum in the four bands (400 MHz in the 26 GHz band,
50MHz in the 3.5 GHz band, 20MHz in the 700MHz band, and 30MHz in
the AWS band). This allows Wom to compete more directly with its
peers and reduce national roaming costs and improve margins. In
2021, revenue and EBITDA increased by 4% and about 9.5%,
respectively, and we forecast EBITDA will grow about 15% annually
in 2022 and 2023. As a result, we expect that despite debt
increases, leverage will actually gradually fall in the coming
years.

"As we mentioned above, the revised base-case scenario incorporates
somewhat higher adjusted debt and leverage levels, in line with
higher lease obligations and consent to loosen leverage definitions
in covenants. However, the company is attempting to redeem part of
the outstanding notes and to restrain the rise in debt. Wom
designed the transaction so that leverage doesn't exceed 5.0x,
which is our main downside trigger. Finally, considering the
gradual improvement in leverage metrics forecasted for the next two
years, average metrics in the three- to five-year period are in
line with the aggressive financial risk profile and a 'B+' rating."


ESG credit indicators: E-2, S-2, G-3

S&P said, "Governance factors are a moderately negative
consideration in our credit rating analysis of Wom. Our assessment
of the company's financial risk profile as aggressive reflects
corporate decision-making that prioritizes the interests of the
controlling owners, in line with our view of the majority of rated
entities owned by private-equity sponsors." This also reflects
their generally finite holding periods and a focus on maximizing
shareholder returns.




=============
J A M A I C A
=============

CARIBBEAN CEMENT: Parent Breaks Ground for J$6BB Expansion Project
------------------------------------------------------------------
RJR News reports that Caribbean Cement's parent company CEMEX,
S.A.B. de C.V. (CEMEX) is set to spend US$40 million or J$6 billion
to boost local cement production.

The company broke ground for an expansion project which, by
completion, should make Jamaica cement self-sufficient, according
to RJR News.

CEO of CEMEX Fernando Gonzales said this is the biggest investment
by the company in Jamaica in the last five years, the report notes.


He added that the project is the first phase of a plan that should
help the company reach its target of 30 per cent improved
production output, the report relays.

                     About Caribbean Cement

Caribbean Cement Company Limited, together with its subsidiaries,
manufactures and sells cement and clinker in Jamaica and other
Caribbean countries. The company was incorporated in 1947 and is
based in Kingston, Jamaica.  

As reported in the Troubled Company Reporter-Latin America on
August 16, 2021, Jamaica Observer said that after enduring years
of sluggish results and a mountain of debt, Caribbean Cement
has shrunk its long-term debt from $11.39 billion in 2018 to
$500 million as at June 30, 2021.  At the same time, the company
reported $3.09 billion in net profit over the six months which
ended June 30. Its profit for all of 2020 was $3.2 billion.
The performance is coming off a challenging decade for the
cement producer which included four consecutive years of losses
from 2009 to 2013.

JAMAICA: Realizes $1.7 Billion Fiscal Surplus for June Quarter
--------------------------------------------------------------
RJR News reports that Jamaica realized a fiscal surplus of $1.7
billion for the quarter ended June.

The Planning Institute of Jamaica (PIOJ) says this was $13.2
billion better than budgeted, according to RJR News.

The PIOJ says the sum was due to revenues coming in 8.5 per cent or
$13.8 billion higher than programmed, the report notes.

However, there was a 0.3 per cent increase in government spending
compared to what was budgeted for the quarter, the report adds.

As reported in the Troubled Company Reporter-Latin America in March
2022, Fitch Ratings has affirmed Jamaica's Long-Term Foreign
Currency Issuer Default Rating (IDR) at 'B+'. The Rating Outlook is
Stable.




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

ESJ TOWERS: Gets OK to Hire De Angel & Compania CPA as Auditor
--------------------------------------------------------------
ESJ Towers, Inc. received approval from the U.S. Bankruptcy Court
for the District of Puerto Rico to employ De Angel & Compania, CPA,
LLC as its auditor.

The firm will assist in the preparation of the Debtor's audited
financial statements for the years ended on May 31, 2021 and 2022.

The firm will be paid $45,000 for each audit year and will be
reimbursed for its out-of-pocket expenses.

Carlos De Angel, a managing partner at De Angel & Compania,
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:

     Carlos De Angel
     De Angel & Compania, CPA, LLC
     1890 Glasgow, College Park IV
     San Juan, PR 00921
     Tel: (787) 758-4428
     Fax: (787) 763-9386
     Email: carlos@deangel.com

                          About ESJ Towers

ESJ Towers, Inc. owns the ESJ Towers in Carolina, P.R. The luxury
apartments and condo units at ESJ Towers have direct access to Isla
Verde Beach, widely considered one of the best in Puerto Rico.

ESJ sought protection under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. D.P.R. Case No. 22-01676) on June 10, 2022, listing as much
as $50 million in both assets and liabilities. ESJ President Keith
St. Clair signed the petition.

Judge Enrique S. Lamoutte Inclan oversees the case.

The Debtor tapped Charles A. Cuprill, Esq., at Charles A. Cuprill,
PSC Law Offices as legal counsel and De Angel & Compania, CPA, LLC
as auditor.




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

LATAM: Region Torn Between Growth and Inflation, ECLAC Warns
------------------------------------------------------------
Andrea Perez-Sobers at Trinidad Express reports that the Economic
Commission for Latin America and the Caribbean (ECLAC) has warned
of the challenges to be faced by countries in the region as they
move to reactivate investment and growth.

In its latest annual report titled Economic Survey of Latin America
and the Caribbean 2022, ECLAC highlighted the trends and challenges
of investing for a sustainable and inclusive recovery, in which it
projects 2.7 per cent average economic growth for the current year
in a context of acute macro-economic restrictions that are hurting
the region's economies, according to Trinidad Express.

The report, presented at a news conference held at the United
Nations organization's central headquarters in Santiago, Chile,
earlier, said a sequence of crises has led to the scenario of low
growth and accelerating inflation seen in the global economy, and
this, coupled with lower growth in trade, the dollar's appreciation
and tougher global financial conditions - will negatively affect
the region's countries, the report notes.

"In a context of multiple goals and growing restrictions, there
must be a coordination of macro-economic policies that would
support the acceleration of growth, investment, and poverty and
inequality reduction, while also addressing inflationary dynamics,"
said Mario Cimoli, acting executive secretary of ECLAC, the report
notes.

The document emphasizes that Latin American and Caribbean countries
are facing a complex economic outlook in 2022 and in the coming
years, Trinidad Express discloses.  Lower economic growth is
compounded by strong inflationary pressures, little dynamism in job
creation, declining investment and growing social demands, the
report relays.  This situation has translated into major challenges
for macro-economic policy, which must strike a balance between
policies that would drive economic reactivation and policies aimed
at controlling inflation and ensuring the sustainability of public
finances, the report notes.

In addition to the region's complex domestic scenario, there is an
international scenario in which the war between the Russian
Federation and Ukraine has caused growing geopolitical tensions,
less vigorous global economic growth, reduced availability of food,
and higher energy prices that have increased the inflationary
pressures already in play due to the supply shocks prompted by the
coronavirus disease (Covid-19) pandemic, the report indicates,
Trinidad Express relays.

ECLAC forecasts that South America will grow by 2.6 per cent (in
comparison with 6.9 per cent in 2021); the group made up of Central
America and Mexico will expand by 2.5 per cent (in comparison with
5.7 per cent in 2021); and the Caribbean - the only subregion that
will grow more than in 2021 - will experience a 4.7 per cent
expansion in 2022, without including Guyana (in comparison with 4.0
per cent a year earlier), Trinidad Express says.

The Economic Survey 2022 also shows that the Ukraine conflict
intensified the upward trend for commodities prices that had
already emerged starting in the second half of 2020, leading some
of these prices to hit historic highs, Trinidad Express notes.

For the region on average, the effect is mixed, and a 7 per cent
decline in the terms of trade for basic products is forecast,
Trinidad Express 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
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 2022.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$775 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Peter A. Chapman at 215-945-7000.
.


                  * * * End of Transmission * * *