/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/221107.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, November 7, 2022, Vol. 23, No. 216 Headlines A R G E N T I N A BANCO DE GALICIA: Moody's Affirms Caa3 Foreign Curr. Deposit Rating EDENOR: S&P Raises ICR to 'CCC+' on Debt Repayment, Outlook Neg. B E R M U D A BERMUDA: Overall July Retail Sales Fall B R A Z I L BRAZIL: Bank Says Inflation Should Approach Target by 2023 Q2 C H I L E LATAM AIRLINES: Successfully Exits Cross-Border Restructuring D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Bank Increases Monetary Policy Rate to 8.50% M E X I C O ALTAN REDES: Emerges From Bankruptcy With Government's Help T R I N I D A D A N D T O B A G O TRINIDAD & TOBAGO: Asks US to Authorize Venezuelan Gas Imports X X X X X X X X [*] BOND PRICING: For the Week Oct. 31 to Nov. 4, 2022 - - - - - ================= A R G E N T I N A ================= BANCO DE GALICIA: Moody's Affirms Caa3 Foreign Curr. Deposit Rating ------------------------------------------------------------------- Moody's Investors Service has affirmed all ratings and assessments assigned to Banco de Galicia y Buenos Aires S.A.U. (Galicia), Banco Hipotecario S.A. (Hipotecario), Banco Macro S.A. (Macro) and Banco Santander Argentina S.A. (Santander Argentina), including all four banks' ca baseline credit assessments (BCAs). Moody's affirmed the Caa2 long-term local currency and Caa3 long-term foreign currency deposit ratings assigned to Galicia and Macro, the Caa1 long-term local currency and Caa3 long-term foreign currency deposit ratings assigned to Santander Argentina and the Caa3 long-term local and foreign currency deposit ratings assigned to Hipotecario. The outlooks on all four banks' ratings remain stable. RATINGS RATIONALE The affirmation of the ca BCA of Galicia, Hipotecario, Macro and Santander Argentina, which is in line with the Government of Argentina's Ca debt rating, reflects the significant linkages between the sovereign's creditworthiness and that of the banks. Persistent macroeconomic imbalances in the country, including years of high inflation and subsequent currency shocks, undermine both the sovereign's and banks´ credit profiles. Imbalances are evidenced by rising inflation in recent years, which is currently expected to close 2022 at 100% according to market expectations. In addition, inflation is highly susceptible to exchange rate shocks and an abrupt devaluation, which could be triggered by the lack of sufficient international reserves, would push inflation even higher. Weak operating conditions have significant negative implications for banks' business volumes and financial profiles, severely limiting business prospects and adding risks to their asset quality, profitability, funding and ultimately capital. The latter has translated in the persistent drop in credit penetration in the country especially since 2018, with credit to GDP at only 11% as of June 2022. In addition, the linkages between the sovereign and banks' creditworthiness are exacerbated by the latter's direct exposure to central government and central bank debt, which accounted for a high 45% of banks' assets on average as of June 2022. Partially counterbalancing these pressures, banks' financial fundamentals have remained broadly resilient through a long period of volatility and low economic growth in Argentina, including very high inflation and increasing pressure on the government's fiscal position, following the sovereign's distressed debt exchange performed in 2020. Although banks' credit fundamentals alone are not sufficient to offset significant challenges arising from the very weak operating environment, banks' loan asset risk remained contained over the past year and inflation-adjusted profitability levels were positive throughout the cycle. Deposit inflows remained consistent supporting banks' ample liquidity buffers and capitalization continued to benefit from the contraction in loan origination since 2018. In addition, the reduction of banks' exposure to funding and loans in foreign currency in recent years mitigates further deterioration on asset quality and funding profiles following subsequent currency shocks and the sovereign's weak foreign exchange reserves. These banks' foreign currency deposit and senior debt ratings, which were affirmed at Caa3, are in line with Argentina's country ceiling for foreign currency obligations and in the case of Galicia, Macro and Santander Argentina, are constrained by it. The foreign currency ratings reflect potential transfer and convertibility risks, which could include restrictions on moving foreign exchange offshore, as well as restrictions on freely converting local currency to foreign currency in order to pay debt, or even deposit freezes. In June 2022, on average for the banking system, 15% of total deposits and 8% of total loans were denominated in foreign currency, levels that diminished consistently since 2019. The affirmation of the local currency deposit ratings, at Caa1 for Santander Argentina and Caa2 for Galicia and Macro reflects Moody's view that the credit risk of these entities' local currency obligations, though still significant, is lower than that of their foreign currency obligations. Still, the banks' exposures to Argentinean sovereign risk remain significant and are the main drivers for the Caa-range local currency ratings. The adjusted BCA of Santander Argentina was affirmed at caa3 and continues to incorporate one notch of uplift from the bank's respective BCA, which is also incorporated in its Caa1 local currency deposit rating, indicating Moody's assessment of the likelihood that the Argentinean subsidiary would receive support from its parent bank Banco Santander S.A. (Spain) (A2/A2 Stable, baa1) in the event of stress. For Hipotecario, local currency deposit ratings were affirmed at Caa3, reflecting its weaker standalone profile compared to peers, including the bank's weaker asset quality metrics and its higher reliance on wholesale funding, as well as the bank's higher exposure to sovereign and central bank debt. In June 2022, the combined exposure to sovereign and central bank debt represented 4.9x Hipotecario's tangible common equity, compared to an average of 2.0x reported by the other three rated banks. The stable outlook on these four banks' deposit ratings reflects Moody's assessment that operating conditions are unlikely to improve materially over the next 12 to 18 months, and therefore, banks' credit profiles will remain consistent with their current ratings. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS A rating upgrade of these four Argentinean banks could occur if the sovereign debt rating is upgraded, provided that the entities' main credit metrics remained stable or improve. A downgrade could be driven by a downgrade of Argentina's sovereign debt rating, or by further deterioration in the country's operating environment. Intrinsic downward pressure to the banks' ca BCA could also arise in case of a rapid deterioration in asset quality or capital position. Sustained losses would also negatively impact these banks' capitalization, reducing their loss-absorption capacity amidst a highly negative credit cycle. The principal methodology used in these ratings was Banks Methodology published in July 2021. Affirmations: Issuer: Banco de Galicia y Buenos Aires S.A.U. Adjusted Baseline Credit Assessment, Affirmed ca Baseline Credit Assessment, Affirmed ca ST Counterparty Risk Assessment, Affirmed NP(cr) LT Counterparty Risk Assessment, Affirmed Caa2(cr) ST Counterparty Risk Rating (Foreign Currency), Affirmed NP ST Counterparty Risk Rating (Local Currency), Affirmed NP LT Counterparty Risk Rating (Foreign Currency), Affirmed Caa3 LT Counterparty Risk Rating (Local Currency), Affirmed Caa2 ST Bank Deposit (Foreign Currency), Affirmed NP ST Bank Deposit (Local Currency), Affirmed NP LT Bank Deposit (Foreign Currency), Affirmed Caa3, outlook remains stable LT Bank Deposit (Local Currency), Affirmed Caa2, outlook remains stable Subordinate Regular Bond/Debenture (Foreign Currency), Affirmed Ca Senior Unsecured Medium-Term Note Program (Foreign Currency), Affirmed (P)Caa3 Senior Unsecured Medium-Term Note Program (Local Currency), Affirmed (P)Caa2 Issuer: Banco Hipotecario S.A. Adjusted Baseline Credit Assessment, Affirmed ca Baseline Credit Assessment, Affirmed ca ST Counterparty Risk Assessment, Affirmed NP(cr) LT Counterparty Risk Assessment, Affirmed Caa3(cr) ST Counterparty Risk Rating (Foreign Currency), Affirmed NP ST Counterparty Risk Rating (Local Currency), Affirmed NP LT Counterparty Risk Rating (Foreign Currency), Affirmed Caa3 LT Counterparty Risk Rating (Local Currency), Affirmed Caa3 ST Bank Deposit (Foreign Currency), Affirmed NP ST Bank Deposit (Local Currency), Affirmed NP LT Bank Deposit (Foreign Currency), Affirmed Caa3, outlook remains stable LT Bank Deposit (Local Currency), Affirmed Caa3, outlook remains stable Senior Unsecured Regular Bond/Debenture (Foreign Currency), Affirmed Caa3, outlook remains stable Issuer: Banco Macro S.A. Adjusted Baseline Credit Assessment, Affirmed ca Baseline Credit Assessment, Affirmed ca ST Counterparty Risk Assessment, Affirmed NP(cr) LT Counterparty Risk Assessment, Affirmed Caa2(cr) ST Counterparty Risk Rating (Foreign Currency), Affirmed NP ST Counterparty Risk Rating (Local Currency), Affirmed NP LT Counterparty Risk Rating (Foreign Currency), Affirmed Caa3 LT Counterparty Risk Rating (Local Currency), Affirmed Caa2 ST Bank Deposit (Foreign Currency), Affirmed NP ST Bank Deposit (Local Currency), Affirmed NP LT Bank Deposit (Foreign Currency), Affirmed Caa3, outlook remains stable LT Bank Deposit (Local Currency), Affirmed Caa2, outlook remains stable Senior Unsecured Medium-Term Note Program (Foreign Currency), Affirmed (P)Caa3 Senior Unsecured Medium-Term Note Program (Local Currency), Affirmed (P)Caa2 Subordinate Regular Bond/Debenture (Foreign Currency), Affirmed Ca Issuer: Banco Santander Argentina S.A. Adjusted Baseline Credit Assessment, Affirmed caa3 Baseline Credit Assessment, Affirmed ca ST Counterparty Risk Assessment, Affirmed NP(cr) LT Counterparty Risk Assessment, Affirmed Caa1(cr) ST Counterparty Risk Rating (Foreign Currency), Affirmed NP ST Counterparty Risk Rating (Local Currency), Affirmed NP LT Counterparty Risk Rating (Foreign Currency), Affirmed Caa3 LT Counterparty Risk Rating (Local Currency), Affirmed Caa1 ST Bank Deposit (Foreign Currency), Affirmed NP ST Bank Deposit (Local Currency), Affirmed NP LT Bank Deposit (Foreign Currency), Affirmed Caa3, outlook remains stable LT Bank Deposit (Local Currency), Affirmed Caa1, outlook remains stable Outlook Actions: Issuer: Banco de Galicia y Buenos Aires S.A.U. Outlook, Remains Stable Issuer: Banco Hipotecario S.A. Outlook, Remains Stable Issuer: Banco Macro S.A. Outlook, Remains Stable Issuer: Banco Santander Argentina S.A. Outlook, Remains Stable EDENOR: S&P Raises ICR to 'CCC+' on Debt Repayment, Outlook Neg. ---------------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) to 'CCC+' from 'CCC-'. Although S&P doesn't expect a default scenario in the next 12 months, Edenor's leverage is very high and unsustainable in the medium term. S&P said, "The negative outlook reflects our expectations of potential further erosion of the company's credit metrics, given lower cash flows amid an increasingly uncertain regulatory framework and difficult business conditions. Although we still expect Edenor to make interest payments in 2023, the issuer's ability to do so in 2024 appears increasingly tough, given the discretionary nature of timeliness and amounts of tariff revisions, and the lack of an alternative, formal compensation mechanism." The company repaid the $98.1 million notes by offering two debt exchanges and issuing new debt. The debt exchange offer was accepted by 77.35% of bondholders and was done in two phases, the first exchange closed in May 2022 (with 73.25% of acceptance), and the other closed in October, reaching a total amount exchanged of $75.85 million. The new $55.2 million of Class 1 notes, which Edenor issued to exchange for the Class 9 notes, have a bullet maturity and are due in May 2025. In addition, in September 2022, Edenor issued Class 2 notes for $30 million that are due in November 2024. As a result, the company extended its debt maturity schedule and it has no principal payments until November 2024, reducing its refinancing risk. In S&P's view, Edenor's cash flows remain under pressure. Despite a marginal rate adjustment of 8% starting in February 2022, Edenor's ability to generate cash flows has eroded amid an increasingly uncertain regulatory framework, particularly the approval of a tariff-adjustment scheme, which hasn't taken place since March 2019. This also heightens its concerns over the company's credit metrics and cash flows amid increasing operating costs and high inflation. In that sense, S&P views Edenor's capital structure as unsustainable, given its strained finances and its reliance on favorable business and market conditions to meet its operating and financial needs starting in 2024. The company is still waiting for the mechanism to pay off debt it owes to the electricity market administrator, Compañía Administradora del Mercado Mayorista Electrico S.A. (CAMMESA) totaling ARP38.9 billion excluding interest as of June 30, 2022. Currently, the regulator is working on it, which could include several monthly installments (up to eight years), as well as a new rate-adjustment scheme. Although these initiatives are in a preliminary stage, S&P will continue monitoring them, given that a clearer tariff-adjustment mechanism could improve the company's cash generation and operating stability in the medium term. ============= B E R M U D A ============= BERMUDA: Overall July Retail Sales Fall --------------------------------------- The Royal Gazette reports that retail sales volume in Bermuda declined slightly in July, dropping by 1.1 per cent compared to last year, the Ministry of Economy and Labour reported. That figure was arrived at after adjusting for the retail sales rate of inflation, measured at 5.1 per cent in July, according to The Royal Gazette. The July Retail Sales Index revealed that in value terms, retail sales rose to an estimated $107.9 million, the report notes. Although there was a four per cent increase in sales value, it was offset by the increased rate of inflation which affected primarily the sales of food, clothing, furniture and fuel, the report relays. Compared to the pre-pandemic period of July 2019, volume sales were lower by 6.7 per cent, with four of the seven sectors experiencing growth in July, the report notes. The Royal Gazette discloses that service stations' sales volume increased 6.5 per cent from last year and was 5.3 per cent below the pre-pandemic sales of July 2019. Sales volume for apparel stores increased by 4.2 per cent, partially due to increased spending by overseas visitors, the report relays. However, this sales volume was 16.9 per cent below the pre-pandemic sales of 2019, the report notes. Sales volume for liquor stores rose 5.3 per cent, while food stores' sales volume fell 4.8 per cent. Compared to the 2019 pre-pandemic sales volume, liquor stores registered a 6.1 per cent increase, while sales for food stores were 8.2 per cent lower, the report discloses. In the all other store types sector - comprising stores selling household items, furniture, appliances, electronics, pharmaceuticals and tourist-related goods - a 0.4 per cent increase in sales volume was attributed to more sales for pharmaceuticals and boat and marine supplies, the report relays. Sales for this sector were 9 per cent below the pre-pandemic sales volume in July 2019, the report discloses. In value terms, sales for this sector rose 7.9 per cent, the report says. Building material stores' sales volume and value fell 9.7 per cent. However, the sales volume for this sector was 0.6 per cent above the 2019 sales level, the report relays. Motor vehicle stores' sales volume recorded the biggest drop, declining by 23.1 per cent, resulting from a decreased number of available and sold vehicles compared to the previous year, the report relays. This sales volume was 29.8 per cent below the sales volume in July 2019, the report discloses. Imports via courier decreased by $600,000 to $13.3 million due to lower imports of pharmaceutical products, the report relays. Imports by households via sea were unchanged at $8.4 million, the report notes. Declarations at the airport by returning residents grew by $900,000 to $3.9 million as more residents have been travelling, the report relays. Imports via the Bermuda Post Office remained unchanged at $300,000, the report says. Overseas declarations increased by 1.2 per cent compared to July 2021 and were 21 per cent higher than the pre-pandemic period, the report discloses. Excluding Sundays, there were 25 shopping days, the same as in July 2021, the report says. The July 2022 Retail Sales Index report is available at https://www.gov.bm/retail-sales-index-rsi , the report adds. =========== B R A Z I L =========== BRAZIL: Bank Says Inflation Should Approach Target by 2023 Q2 ------------------------------------------------------------- Richard Mann at Rio Times Online reports that the Brazilian Central Bank's Director of Monetary Policy, Bruno Serra Fernandes, said that official Brazilian inflation should approach the target value in the first or second quarter of 2023. He said that the "post-pandemic" period had been affected by the consequences of the government's response to the health crisis, according to Rio Times Online. "As it stands, it's going to be a while," he said, the report notes. Bruno Serra Fernandes participated in the 2022 Investment Strategies Forum, organized by Bradesco Asset Management, the report relays. About Brazil Brazil is the fifth largest country in the world and third largest in the Americas. Jair Bolsonaro is the current president, having been sworn in on Jan. 1, 2019. As reported in the Troubled Company Reporter-Latin America on July 18, 2022, Fitch Ratings has affirmed Brazil's Long-Term Foreign Currency Issuer Default Rating at 'BB-' and revised the Rating Outlook to Stable from Negative. On June 17, 2022, S&P Global Ratings affirmed its 'BB-/B' long- and short-term foreign and local currency sovereign credit ratings on Brazil. Moody's Investors Service also affirmed on April 15, 2022, Brazil's long-term Ba2 issuer ratings and senior unsecured bond ratings, (P)Ba2 senior unsecured shelf ratings, and maintained the stable outlook. DBRS Inc. confirmed Brazil's Long-Term Foreign and Local Currency Issuer Ratings at BB (low) on Aug 12, 2022. At the same time, DBRS Morningstar confirmed the Federative Republic of Brazil's Short-term Foreign and Local Currency Issuer Ratings. ========= C H I L E ========= LATAM AIRLINES: Successfully Exits Cross-Border Restructuring ------------------------------------------------------------- Cleary Gottlieb represented LATAM Airlines Group S.A. (LATAM), Latin America's largest air carrier, and certain of its affiliates in Chile, Brazil, Peru, Colombia, Ecuador, the Cayman Islands, and the United States, in the company's successful exit on Nov. 3, 2022 from a first-of-its-kind cross-border debt restructuring before the United States Bankruptcy Court for the Southern District of New York. LATAM's Chapter 11 cases represent one of the largest bankruptcies filed in recent times, involving over $16 billion in liabilities and ultimately involving thirty-eight debtors, including LATAM's largest passenger and cargo airline affiliates. This restructuring involved a series of heavily contested matters, including four, multi-billion-dollar trial-like hearings in 2022 alone, in each of which LATAM ultimately prevailed and obtained the approval of an innovative DIP Financing structure (that has since been adopted in several other complex restructurings), and its plan and related multi-billion dollar backstop financing arrangements. Cleary also has defended confirmation of LATAM's plan of reorganization in a series of expedited appeals. At their core, these cases involved a series of interrelated, complex cross-border issues that have resulted in precedent-setting recognition proceedings in Chile and Colombia, as well as one of the first Brazilian-incorporated companies to seek Chapter 11 relief, and a comprehensive restructuring of LATAM's fleet. Throughout the cases, the cross-border nature of LATAM's operations and restructuring required creative solutions from the Cleary team to harmonize international legal regimes that often were in tension and the dedication of significant resources to overcome challenges and opposition brought at nearly every major stage of the case. Ultimately, this led to the confirmation and consummation of a plan of reorganization widely supported by LATAM's stakeholders that, as of today, has raised more than $8 billion in new money, principally through a series of complex, multi-tranche securities offerings that were carefully crafted to honor Chilean corporate law while complying with U.S. securities and bankruptcy requirements. Today's successful exit is particularly noteworthy, given the ongoing challenges other airlines in the industry continue to face and the overall turbulent global markets. The exit marks LATAM's successful completion of its reorganization after more than two-and-one-half years, and its emergence from Chapter 11 as a stronger and more streamlined global enterprise. Cleary partners Richard Cooper, Lisa Schweitzer and Luke Barefoot led the LATAM team in our client's path to confirmation, with invaluable contributions from partners Duane McLaughlin and Adam Brenneman and counsel Kara Hailey, who led the exit financing effort, and partners Jeffrey Rosenthal, David Herrington, Abena Mainoo, who worked closely with the core team on leading the various litigation and appeals, as well as a broad Cleary team reflecting the breadth and depth of transactional, litigation and regulatory expertise, coupled with extensive airline industry experience, required to craft and complete a global restructuring of this magnitude. 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 Winters Jureller 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. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Bank Increases Monetary Policy Rate to 8.50% ---------------------------------------------------------------- Dominican Today reports that the Central Bank of the Dominican Republic (BCRD) had decided to raise its monetary policy interest rate by 25 basis points, or from 8.25% to 8.50%, at its most recent meeting, which corresponds to the month of October. According to a press release from the Central Bank, while the annual rate for the permanent liquidity expansion facility (1-day Repos) rises from 8.75 percent to 9.00 percent and the annual rate for interest-bearing overnight deposits rises from 7.75% to 8.00%, the report relates. In a press release, the Central Bank stated that the choice was made after a thorough analysis of the economy's percentage behavior, particularly the definition of inflationary pressures, according to Dominican Today. The price of raw materials, especially food and oil, has recently moderated, as has the cost of shipping containers globally, according to the Central Bank, the report notes. However, to the extent that the pace of economic activity is maintained, internal demand pressures and the second-round effects of these external components have had an impact on domestic inflation, the report relays. Year-over-year inflation is anticipated to continue slowing in the upcoming months as a result of the timely beginning of the process of raising the monetary policy rate in November of last year, the report discloses. As a result, the transmission mechanisms for the monetary policy have been working effectively, the report notes. The reference interest rate has reached the level necessary for inflation to converge to the target range of 4% 1% before the end of the second quarter of next year with this increase of 25 basis points, according to the Central Bank's note, 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. TCRLA 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, in December 2021, revised the Outlook on Dominican Republic's Long-Term Foreign-Currency Issuer Default Rating (IDR) to Stable from Negative and affirmed the IDRs at 'BB-'. The revision of the Outlook to Stable reflects the narrowing of Dominican Republic's government deficit and financing needs since Fitch's last review resulting in the stabilization of the government debt/GDP ratio, as well as the investment-driven economic momentum, reflected in the faster-than-expected economic recovery in 2021 that Fitch expects to carry into above-potential GDP growth during 2022 and 2023. Standard & Poor's, also in December 2021, revised its outlook on the Dominican Republic to stable from negative. S&P also affirmed its 'BB-' long-term foreign and local currency sovereign credit ratings and its 'B' short-term sovereign credit ratings. The stable outlook reflects S&P's expectation of continued favorable GDP growth and policy continuity over the next 12 to 18 months that will likely stabilize the government's debt burden, despite lack of progress with broader tax reforms, S&P said. A rapid economic recovery from the downturn because of the pandemic should mitigate external and fiscal risks. Moody's affirmed the Dominican Republic's long-term issuer and senior unsecured ratings at Ba3 and maintained the stable outlook in March 2021. =========== M E X I C O =========== ALTAN REDES: Emerges From Bankruptcy With Government's Help ----------------------------------------------------------- Valentine Hilaire at Reuters reports that Mexican telecommunications company Altan Redes has emerged from bankruptcy with government assistance, according to a statement published by the firm. Altan Redes announced it filed for bankruptcy in July 2021 and said it was seeking protection under Mexican law to renegotiate its debts, according to Rruters. Mexican President Andres Manuel Lopez Obrador announced in June that the government had signed an agreement to become the majority stakeholder in Altan Redes and would bail it out, the report notes. "The Mexican Development Bank's participation in the board of directors of Altan Redes has allowed us to align actions and priorities in telecommunications with other government agencies in order to enhance results," the statement said, the report relays. Altan Redes has been developing since 2016 the so-called Red Compartida (shared network), part of a sector reform aimed at curbing the dominance of Mexican giant America Movil, controlled by the family of billionaire Carlos Slim, and improving the low levels of mobile phone penetration and network coverage, the report adds. ===================================== T R I N I D A D A N D T O B A G O ===================================== TRINIDAD & TOBAGO: Asks US to Authorize Venezuelan Gas Imports -------------------------------------------------------------- RJR News, citing Reuters, reports that the government of Trinidad & Tobago has asked the United States to authorize Venezuelan gas imports to restart an idled liquefaction train in the Caribbean nation. Under US sanctions, companies and governments must obtain authorization from the US Department of Treasury to do business with Venezuelan state-run oil company, PDVSA, according to RJR News. Trinidad's past requests for US approval have gone unanswered, but the US Biden administration's willingness to ease some sanctions on Venezuela if President Nicolas Maduro and the opposition progress in talks for a presidential election could provide a new opportunity, the report notes. The gas would mainly come from Venezuela's Dragon field off the country's eastern coast, where PDVSA has found reserves of 4.2 trillion cubic feet, the report relays. The project was headed for production almost a decade ago but stalled over a lack of capital, partners, and sanctions, the report adds. =============== X X X X X X X X =============== [*] BOND PRICING: For the Week Oct. 31 to Nov. 4, 2022 ------------------------------------------------------ Issuer Name Cpn Price Maturity Country Curr ----------- --- ----- -------- ------- --- Fospar S/A 6.5 1.2 5/15/2026 BR BRL Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Noble Holding Internat 5.3 60.5 3/15/2042 KY USD Metrogas SA/Chile 6.0 41.6 8/1/2024 CL CLP Argentine Republic Gov 4.3 70.0 12/31/2033 AR JPY Provincia de Cordoba 7.1 72.7 8/1/2027 AR USD Argentina Bonar Bonds 5.8 75.2 4/18/2025 AR USD Esval SA 3.5 49.9 2/15/2026 CL CLP Noble Holding Internat 6.1 62.0 3/1/2041 KY USD City of Cordoba Argent 7.9 73.1 9/29/2024 AR 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 AES Tiete Energia SA 6.8 1.2 4/15/2024 BR BRL Automotores Gildemeist 6.8 54.9 1/15/2023 CL USD Province of Santa Fe 6.9 75.2 11/1/2027 AR USD Cia Latinoamericana de 9.5 73.9 7/20/2023 AR USD Automotores Gildemeist 6.8 54.9 1/15/2023 CL 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 Cia Latinoamericana de 9.5 74.3 7/20/2023 AR USD Sylph Ltd 2.4 65.1 9/25/2036 KY USD Odebrecht Finance Ltd 6.0 16.4 4/5/2023 KY USD Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD Noble Holding Internat 6.2 62.2 8/1/2040 KY USD Provincia del Chaco Ar 4.0 0.0 12/4/2026 AR USD Provincia de Rio Negro 7.8 70.3 12/7/2025 AR USD Avadel Finance Cayman 4.5 55.0 2/1/2023 US USD Provincia de Cordoba 7.1 74.7 8/1/2027 AR USD Argentine Republic Gov 6.3 74.1 11/9/2047 AR EUR Argentina Bonar Bonds 7.6 74.4 4/18/2037 AR USD Province of Santa Fe 6.9 74.7 11/1/2027 AR USD Provincia de Rio Negro 7.8 70.4 12/7/2025 AR USD Argentine Republic Gov 8.3 72.9 12/31/2033 AR USD Argentine Republic Gov 8.3 74.5 12/31/2033 AR USD Argentine Republic Gov 0.5 27.6 12/31/2038 AR JPY Argentine Republic Gov 6.9 75.2 1/11/2048 AR USD Argentine Republic Gov 8.3 74.5 12/31/2033 AR USD Provincia del Chubut A 4.5 2208 3/30/2021 AR USD Province of Santa Fe 6.9 75.2 11/1/2027 AR USD Provincia del Chaco Ar 9.4 74.8 8/18/2024 AR USD Provincia de Rio Negro 7.8 70.3 12/7/2025 AR USD ********* 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 * * *