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250506.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, May 6, 2025, Vol. 26, No. 90 Headlines A R G E N T I N A ARGENTINA: Must 'Stay the Course' w/ Econ. Reforms, IMF Chief Urges B R A Z I L BANCO BMG: Moody's Affirms B1 LT Deposit Rating, Outlook Now Stable G U A T E M A L A GUATEMALA: IDB OKs $250MM Loan for Increased Electricity Coverage J A M A I C A CARIBBEAN ASSURANCE BROKERS: Racks up $98.5 Million Loss for 2024 [] JAMAICA: Strawberry Farmers Access $43MM Financing From DBJ M E X I C O LEISURE INVESTMENTS: Ex-CEO Allegedly Took Control of HQ Overnight LEISURE INVESTMENTS: Hires Verita Global as Administrative Advisor LEISURE INVESTMENTS: Mexican Unit CEO Refutes Armed Takeover Claim LEISURE INVESTMENTS: Seeks to Hire Riveron as Restructuring Advisor LEISURE INVESTMENTS: Taps Young Conaway Stargatt as Legal Counsel TOTAL PLAY: $1BB Upsized Notes No Impact on Moody's 'B3' CFR P U E R T O R I C O KYTTO ENTERPRISE: Taps Luis R. Carrasquillo as Financial Consultant - - - - - ================= A R G E N T I N A ================= ARGENTINA: Must 'Stay the Course' w/ Econ. Reforms, IMF Chief Urges ------------------------------------------------------------------- Buenos Aires Times reports that Argentina must "stay the course" with President Javier Milei's economic reforms if it is to "clean up" its economy, said International Monetary Fund Managing Director Kristalina Georgieva. Speaking at the multilateral lender's spring meetings in Washington, co-organised with the World Bank, IMF chief Georgieva again threw her full support behind the Milei administration, stating that "Argentina has shown that this time it's different," according to Buenos Aires Times. Buenos Aires Times relates that the comments came a fortnight after the IMF agreed a US$20-billion programme with Argentina, of which Buenos Aires has already received US$12 billion. The deal includes fresh disbursements, extended repayment terms, and stricter policy benchmarks - including commitments on fiscal consolidation and inflation control. Buenos Aires Times says the agreement was endorsed by the IMF board in March following intense negotiations and is seen as a crucial step for stabilising Argentina's volatile economy and restoring international credibility. If all aid from the World Bank (WB) and the Inter-American Development Bank (IDB), among other institutions, announced in the past month is added up, Argentina has won the support of US$42 billion to support Milei's bid to correct the economy, the report says. Buenos Aires Times notes that the injection of fresh money should help boost Central Bank reserves, stabilise the peso and assist efforts to tame inflation (which fell from 211 percent year-on-year at the end of 2023 to 55.9 percent in March 2025, the latest figure available). Following the influx of cash, the Milei government lifted the majority of currency and capital controls, which have been in place since 2019. The peso is now allowed to float between bands, with a minimum of 1,000 and a maximum of 1,400 pesos per greenback, Buenos Aires Times notes. "Argentina has shown that this time it is different. This time there is determination to clean up the economy," the report quotes Georgieva as saying at a press conference on April 24. It has demonstrated this by "moving from a high deficit to a surplus, from double-digit inflation to inflation that in February fell below three percent, from poverty at over 50 percent to around 37 percent, still very high, but declining," said the IMF chief, hailing Argentina as an example for other nations to follow, Buenos Aires Times relays. "The state is giving up its role to allow more dynamism in the private sector," he added of the reforms pushed by Milei. It would be a risk for the country to implement the changes alone, but Argentina is accompanied in the process, Georgieva highlighted. "When the programme was announced, the immediate impact on the markets was positive, because, among other things . . . the country is not alone. We are there, the World Bank is there, the Inter-American Development Bank is stepping up its work," she explained, notes the report. Georgieva stressed that the new IMF loan, the 23rd in Argentina's history, is not risk-free. "A worsening of the global environment, all things being equal, would have a negative impact on Argentina" and at the national level "it is very important that the will for change is not derailed" by the legislative elections in October, Georgieva, as cited by Buenos Aires Times, said. "So far, we do not see that risk materialising, but I urge Argentina to stay the course," the IMF chief stressed. About Argentina Argentina is a country located mostly in the southern half of South America. Its capital is Buenos Aires. Javier Milei is the current president of Argentina after winning the November 19, 2023 general election. He succeeded Alberto Angel Fernandez 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. The IMF's executive board completed on August 23, 2023, the fifth and six reviews of Argentina's 30-month Extended Fund Facility (EFF), and approved a US$7.5-billion disbursement to Argentina as part of the larger program, which refinances payments Argentina owes the institution from a previous bailout that failed to stabilize the economy in 2018. Argentina would receive another IMF disbursement in November of about US$2.75 billion pending another staff-level agreement and board approval. S&P Global Ratings, on March 15, 2024, raised its local currency sovereign credit ratings on Argentina to 'CCC/C' from 'SD/SD' and its national scale rating to 'raB+' from 'SD'. S&P also raised its long-term foreign currency sovereign credit rating to 'CCC' from 'CCC-' and affirmed its 'C' short-term foreign currency rating. The outlook on the long-term ratings is stable. In addition, S&P revised its transfer and convertibility assessment to 'CCC' from 'CCC-'. S&P said the stable outlook on the long-term ratings balances the risks posed by pronounced economic imbalances and policy uncertainties with the favorable change in near-term debt service obligations. S&P also expect no further debt exchanges that it would likely consider to be distressed. Fitch Ratings upgraded on June 13, 2023, Argentina's Long-Term Foreign Currency (FC) Issuer Default Rating (IDR) to 'CC' from 'C'and affirmed the Long-Term Local Currency (LC) IDR at 'CCC-'. Fitch typically does not assign Outlooks to sovereigns with a rating of 'CCC+' or below. The upgrade of the FC IDR reflects that Fitch no longer deems a default-like process to have begun, as the authorities have not signaled a clear intention to follow through with an intra-public debt swap announced in March. The new 'CC' rating signals a default event of some sort appears probable in the coming years, regardless of the outcome of upcoming elections. The affirmation of the LC IDR at 'CCC-' follows the peso debt swap in June that Fitch did not deem to be a "distressed debt exchange" (DDE). Moody's Investors Service, in September 2022, affirmed Argentina's Ca foreign-currency and local-currency long-term issuer and senior unsecured ratings. The outlook remains stable. The decision to affirm the Ca ratings balances Argentina's limited market access, weak governance, and history of recurrent debt restructurings with recent efforts to marshal fiscal and monetary measures to start addressing underlying macroeconomic imbalances in the context of the IMF program that was approved in 2022, according to Moody's. DBRS, Inc. confirmed Argentina's Long-Term Foreign Currency Issuer Rating at CCC and downgraded its Long-Term Local Currency Issuer Rating to CCC from CCC (high) on March 3, 2023. =========== B R A Z I L =========== BANCO BMG: Moody's Affirms B1 LT Deposit Rating, Outlook Now Stable ------------------------------------------------------------------- Moody's Ratings has affirmed all ratings and assessments assigned to Banco BMG S.A. (BMG), including its B1 long-term local and foreign currency bank deposit ratings and Ba3 long-term local and foreign currency Counterparty Risk Ratings. The Baseline Credit Assessment (BCA) and adjusted BCA of b1, the long and short-term Counterparty Risk Assessments of Ba3(cr) and Not Prime(cr), respectively, as well as the short-term local and foreign currency bank deposit ratings and Counterparty Risk Ratings of Not Prime were also affirmed. The outlook on the long-term deposit ratings was changed to stable, from negative. RATINGS RATIONALE The change in BMG's rating outlook to stable, from negative, reflects the bank's improvement in profitability, helped by the strategic shift initiated in early 2023. In 2024, performance benefited from a decision to reinforce origination related to payroll lending and insurance products, the bank's core products, while divesting from riskier businesses that negatively affected asset quality and efficiency metrics between 2021 and 2023, including the operational cost structure. This strategic reassessment allowed the bank to enhance its earnings generation, ultimately improving its future capital replenishment ability, a key rating constraint. In 2024, BMG reported improved profitability with net income to tangible assets at 1.0%, compared to an average of 0.6% over the last three years, resulting from cuts in operating costs, lower loan loss provision expenses, and higher business volume origination. These improvements offset the high funding costs and regulatory cap cuts that pressured margins on pensioners' payroll loans to record lows in 2024. The recent improvement in earnings generation has also helped capitalization, with Moody's Ratings adjusted tangible common equity in relation to risk-weighted assets (TCE ratio) increasing slightly by 20 bps to 3.9% in December 2024, following a decline registered over four consecutive years. Similarly, the bank's regulatory Tier 1 capital ratio rose to 10.1% at the end of 2024, from 9.8% a year earlier. In affirming BMG's b1 BCA, Moody's also reflects Moody's expectations of stable asset quality indicators, supported by BMG's focus on payroll lending and improved underwriting standards for the riskier unsecured consumer loans portfolio, which accounted for just 6.5% of the credit portfolio in December 2024 and is expected to continue growing in proportion over the next 12 months. The likely sale or reduction of the bank's exposure to the US payroll loans, which accounted for 16.5% of its loan book in 2024, would be positive for asset risks because this portfolio has a high delinquency level of 11.5% compared to 4.4% of the bank's total loan book as of December 2024. In addition, the affirmation of the B1 ratings assigned to BMG acknowledges its continued efforts in diversifying and lengthening the duration of its funding base over the past two years, which helps mitigate the dependence on highly market-sensitive institutional resources and brokered deposits, particularly in times of global volatility. While BMG has increased the usage of securitization instruments as a funding alternative over the last two years, as the banks seeks capital optimization, this strategy is contingent on supportive market conditions. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Upward pressure on BMG's BCA could result from a material and sustainable improvement in the bank's core capitalization and profitability levels. BMG's ratings could be downgraded if there is a sudden fall in profitability and deterioration to asset quality metrics, or if its liquidity position were to reduce materially compared to historic levels. Changes in the regulatory framework for its core business or an acceleration in growth to address margin compression could result in adverse selection and a sharp deterioration in its financial metrics, thereby straining the ratings. The principal methodology used in these ratings was Banks published in November 2024. ================= G U A T E M A L A ================= GUATEMALA: IDB OKs $250MM Loan for Increased Electricity Coverage ----------------------------------------------------------------- The Inter-American Development Bank (IDB) approved a $250 million loan to finance a program to increase electricity coverage in rural areas of Guatemala. The Rural Electrification Access Program, approved by the IDB Board of Executive Directors as a Loan for Multiple Works Programs, aims to increase the number of users with access to electricity in rural areas, as well as strengthen institutional capacity for the planning, design, and management of rural electrification projects. The IDB supports the country in reducing the gap in access to electricity, especially in rural areas. These efforts are now complemented by this new rural electrification program, which will benefit approximately 70,000 households with new access to electricity in municipalities with the lowest electrical coverage. Indigenous populations and women will also benefit from awareness actions on productive uses of electricity and training for the maintenance of isolated systems. Between 1996 and 2023, Guatemala increased the national electrification rate from 52% to 90%. Despite this progress, it is still below the regional average of nearly 98%. About 380,000 households lack electricity and rely on candles, kerosene lamps, diesel generators, or batteries to meet their energy needs. The largest electrification gaps are found in rural areas, where the electricity service coverage is 82%. The program will finance investments in rural electrical infrastructure, including the expansion of medium- and low-voltage distribution networks and the strengthening of existing networks. It will also finance mini grids with renewable energy and energy storage systems, and the installation of Individual Solar Photovoltaic Systems with energy storage. Additionally, the program will support the strengthening of the National Electrification Institute (INDE) through actions such as the development of geo-referenced planning systems and cost-efficient modeling, and awareness, technical training, and community empowerment programs. The IDB loan has a repayment term of 25 years, a 5.5-year grace period, and an interest rate based on SOFR. ============= J A M A I C A ============= CARIBBEAN ASSURANCE BROKERS: Racks up $98.5 Million Loss for 2024 ----------------------------------------------------------------- RJR News reports that Caribbean Assurance Brokers has reported a net loss of $98.5 million for the financial year ended December 31, a sharp reversal from the $123.5 million profit recorded in 2023. Total revenues dipped slightly to $539 million compared with $543 million in 2023, according to RJR News. Administrative and other expenses ballooned to $416.6 million up from $280.3 million, while selling expenses climbed to $214.7 million compared to $133.4 million the previous year, the report notes. Finance costs also grew to $8.1 million contributing to the overall loss before taxation of $100.9 million, the report adds. Caribbean Assurance Brokers Ltd. (CAB) is a multi-line Insurance Brokerage offering the full spectrum of insurance products and services in Jamaica. [] JAMAICA: Strawberry Farmers Access $43MM Financing From DBJ -------------------------------------------------------------- RJR News reports that four strawberry farmers have accessed financing of $43 million from the Development Bank of Jamaica to improve and expand production. The four farms are Synergy Business Solutions, Abbey Garden Farm, Jikoni Table of Jamaica, and Adam's Valley Farm, according to RJR News. The money was used to conduct a study tour to California to explore global best practices, develop a technology pack suited for the local environment, and construct new greenhouses, the report notes. It was also used to retrofit existing greenhouses with advanced cooling systems powered by solar energy, as well as to fund the introduction of a new high-yield strawberry, which has adapted to Jamaican climactic conditions, the report relays. Funding was provided through the DBJ's Boosting Innovation Growth and Entrepreneurship Ecosystem program, 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. On Feb. 21, 2025, Fitch Ratings affirmed Jamaica's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-', with a positive rating outlook. In October 2023, Moody's upgraded the Government of Jamaica's long-term issuer and senior unsecured ratings to B1 from B2, and senior unsecured shelf rating to (P)B1 from (P)B2. The outlook has been changed to positive from stable. In September 2024, S&P affirmed 'BB-/B' longterm foreign and local currency sovereign credit ratings on Jamaica and revised outlook to positive. =========== M E X I C O =========== LEISURE INVESTMENTS: Ex-CEO Allegedly Took Control of HQ Overnight ------------------------------------------------------------------ James Nani and Jonathan Randles of Bloomberg News report that the Dolphin Company's former CEO, Eduardo Albor, allegedly seized control of the bankrupt aquatic park operator's Mexican headquarters with the help of armed men in a late-night takeover earlier this month, according to court documents filed by the company's restructuring advisers. Albor and approximately 20 armed individuals, who claimed to be state police officers, arrived at the company's Cancun headquarters around 12:45 a.m. on April 12 and "forcibly entered" the facility, Chief Restructuring Officer Robert Wagstaff stated in a sworn affidavit dated April 21, 2025, the report states. About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Company," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Young Conaway Stargatt & Taylor, LLP as counsel; Riveron Management Services, LLC as restructuring advisor; and Kurtzman Carson Consultants, LLC d/b/a Verita Global, as claims & noticing agent. LEISURE INVESTMENTS: Hires Verita Global as Administrative Advisor ------------------------------------------------------------------ Leisure Investments Holdings, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Kurtzman Carson Consultants, LLC, doing business as Verita Global, as administrative advisor. The firm will provide these services: (a) assist with, among other things, the preparation of the Debtors' schedules of assets and liabilities, schedules of executory contracts and unexpired leases, and statements of financial affairs; (b) generate, provide, and assist with claims objections, exhibits, claims reconciliation, and related matters; (c) assist, with, among other things, solicitation, balloting, tabulation, and calculation of votes, as well as preparing any appropriate reports required in furtherance of confirmation of any Chapter 11 plan; (d) generate an official ballot certification and testify, if necessary, in support of the ballot tabulation results for any Chapter 11 plan(s) in the Chapter 11 cases; and (e) provide such other claims processing, noticing, solicitation, balloting, and administrative services. The hourly rates of the firm's professionals are as follows: Technology/Programming Consultant $28 - $76 Consultant/Senior Consultant/Director $52 - $192 Securities/Solicitation Consultant $196 Securities Director/Solicitation Lead $200 In addition, the firm will seek reimbursement for expenses incurred. Evan Gershbein, an executive vice president at Verita Global, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Evan J. Gershbein Verita Global 2335 Alaska Ave. El Segundo, CA 90245 Telephone: (310) 823-9000 About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Company," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Young Conaway Stargatt & Taylor, LLP as counsel; Riveron Management Services, LLC as restructuring advisor; and Kurtzman Carson Consultants, LLC d/b/a Verita Global, as claims & noticing agent. LEISURE INVESTMENTS: Mexican Unit CEO Refutes Armed Takeover Claim ------------------------------------------------------------------ Rick Archer of Law360 Bankruptcy Authority reports that on April 29, 2025, the management of the Mexican affiliate of bankrupt aquatics park operator The Dolphin Co. informed a Delaware bankruptcy judge that there is a dispute regarding oversight of the affiliate, and that the alleged armed confrontation referenced by the debtors actually involved police removing trespassers. About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Company," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Robert S. Brady, Esq., Sean T. Greecher, Esq., Allison S. Mielke, Esq., and Jared W. Kochenash, Esq. as counsels. The Debtors' restructuring advisor is Riveron Management Services, LLC. The Debtors' claims & noticing agent is Kurtzman Carson Consultants, LLC d/b/a Verita Global. LEISURE INVESTMENTS: Seeks to Hire Riveron as Restructuring Advisor ------------------------------------------------------------------- Leisure Investments Holdings, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Riveron Management Services, LLC as restructuring advisor. Riveron will provide Robert Wagstaff as chief restructuring officer (CRO) and certain additional personnel to the Debtors. The CRO and additional personnel will render these services: A. Restructuring Tasks (a) perform general due diligence on the Debtors to gain an understanding of its capital structure, contractual commitments, and current situation; and (b) develop, evaluate, and execute restructuring strategies for the Debtors and contingency planning and preparations. B. Financial and Cash Management Tasks (a) oversee all cash and liquidity management; (b) prepare 13-week cash flows that are integrated with the Debtors' business and operational needs and restructuring strategies and that identifies future liquidity/financing alternatives; (c) assist with treasury functions, including disbursements of Debtors' monies, assets or other value, debt monitoring and compliance, cash management, and banking relationships; (d) assist with accounting functions, including payroll, tax, and the books and records of the Debtors; (e) assist with financial management functions including preparation of and review of the annual budget, preparation and review of monthly financial statements and various financial reporting packages; (f) convert the Debtors' cash forecast to a traditional weekly cash forecast format; (g) provide interested parties with weekly cash forecast updates with variance analysis for previous week(s); (h) evaluate process and controls related to corporate management of divisional/company disbursements; and (i) assist the Debtors with improvements to ineligibles process and balance. C. Operational Tasks (a) oversee and direct the operations of the Debtors, at the direction of the independent director and in consultation with their other advisors; (b) identify future operational improvements, fixed cost reductions, and future restructuring requirements as needed; (c) review operational improvement actions taken in current and prior years and understand the run-rate benefits; (d) develop a strategy for and provide assistance in negotiations with major suppliers to address costs and working capital impacts; (e) assess operations and the development, as requested, of operational improvement plans; (f) evaluate unprofitable divisions/lines of business and provide recommendations; and (g) provide the Debtors with a thorough understanding of the issues and challenges faced by it. D. Business Plans and Transactions (a) evaluate the reasonableness of the Debtors' financial projections and operating plan for the purpose of effectuating a recapitalization as appropriate; (b) evaluate various values of the Debtors' assets under different scenarios; (c) work with the Debtors, as appropriate, and their professionals to assist with any acquisitions or divestitures; (d) prepare a bottom-up plan (BS, IS and CF) for specified time periods, bridging this plan to actual results; (e) identify inefficiencies incurred and suggest improvements; (f) develop alternative strategies to assist the Debtors in negotiations with its stakeholders that demonstrate the viability of it or alternative restructuring strategies; and (g) review the Debtors' capital needs to prioritize the required capital projects and review anticipated returns. E. Chapter 11 Related Services (a) evaluate the short-term Debtor-prepared cash flows and financing requirements of the Company as it relates to the its Chapter 11 proceedings; (b) assist the Debtors in their planned Chapter 11 proceedings; (c) assist the Debtors in obtaining court approval for use of cash collateral or other financing including developing forecasts and information; (d) assist the Debtors with respect to their bankruptcy-related claims management and reconciliation process; (e) assist the Debtors in development of a plan of reorganization, including preparation of a liquidation analysis, historical financial data and projections; and (f) assist management, where appropriate, in communications and negotiations with other constituents critical to the successful execution of the Debtors' bankruptcy proceedings; and (g) work with the Debtors, as appropriate, and their retained investment banking professionals, to assess any offer(s) made pursuant to bankruptcy court-approved sale procedures; F. General (a) assist the Debtors in communications with key constituents, as requested, including lenders, equity holders, customers, and/or other stakeholders; (b) assist management, where appropriate, in communications and negotiations with stakeholders critical to the successful execution of the Debtors' near-term business plan; and (c) other services as directed by the Debtors and as agreed to by Riveron. The firm's temporary staffs will be paid at these hourly rates: Rob Wagstaff, CRO $1,030 Michael Correra, Temporary Staff $1,160 Don MacKenzie, Temporary Staff $1,160 Jabier Arbeloa, Temporary Staff $895 Michael Flynn, Temporary Staff $800 Roberto Erana, Temporary Staff $800 Campbell Hughes, Temporary Staff $800 Eduardo Moyano, Temporary Staff $800 Matias Marambio Calvo, Temporary Staff $695 Blazo Vukmanovic, Temporary Staff $595 Vann Crawford, Temporary Staff $595 Robert Clark, Temporary Staff $595 Caleb Esquivel, Temporary Staff $565 The firm's professionals will be paid at these hourly rates: Managing Director to Senior Managing Director $895 - $1,160 Director to Senior Director $695 - $885 Manager to Associate Director $595 - $685 Associate to Senior Associate $465 - $585 Administrative to Analyst $275 - $390 In addition, the firm will seek reimbursement for expenses incurred. The firm requested a retainer in the amount of $500,000 from the Debtor. Mr. Wagstaff disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Robert Wagstaff Riveron Management Services, LLC 2515 McKinney Ave Dallas, TX 75201 Telephone: (460) 300-5733 About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Company," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Young Conaway Stargatt & Taylor, LLP as counsel; Riveron Management Services, LLC as restructuring advisor; and Kurtzman Carson Consultants, LLC d/b/a Verita Global, as claims & noticing agent. LEISURE INVESTMENTS: Taps Young Conaway Stargatt as Legal Counsel ----------------------------------------------------------------- Leisure Investments Holdings, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Young Conaway Stargatt & Taylor LLP as counsel. The firm will provide these services: (a) provide legal advice and services regarding the Local Rules, practices, and procedures and providing substantive and strategic advice on how to accomplish the Debtors' goals in connection with the prosecution of the Chapter 11 cases, bearing in mind that the court relies on counsel such as Young Conaway to be involved in all aspects of each bankruptcy proceeding; (b) review comment, and/or prepare drafts of documents to be filed with the court as counsel to the Debtors; (c) appear in court and at any meeting with the U.S. Trustee and any meeting of creditors at any given time on behalf of the Debtors as their counsel; (d) perform various services in connection with the administration of the Chapter 11 cases; and (e) perform all other services assigned by the Debtors to Young Conaway as their counsel. The firm's counsel and staff will be paid at these hourly rates: Robert Brady, Partner $1,500 Seean Greecher, Partner $1,085 Allison Mielke, Partner $860 Jared Kochenash, Associate $680 Carol Thompson, Associate $580 Benjamin Carver, Associate $515 Brynna Gaffney, Associate $500 Roger Sharp, Associate $500 Beth Olivere, Paralegal $385 In addition, the firm will seek reimbursement for expenses incurred. Mr. Brady disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Robert Brady, Esq. Young Conaway Stargatt & Taylor LLP Rodney Square 100 North King Street Wilmington, DE 19801 Telephone: (302) 571-6600 Facsimile: (302) 571-1253 Email: rbrady@ycst.com About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Company," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Young Conaway Stargatt & Taylor, LLP as counsel; Riveron Management Services, LLC as restructuring advisor; and Kurtzman Carson Consultants, LLC d/b/a Verita Global, as claims & noticing agent. TOTAL PLAY: $1BB Upsized Notes No Impact on Moody's 'B3' CFR ------------------------------------------------------------ Moody's Ratings comments that Total Play Telecomunicaciones, S.A.P.I. de C.V. and Subsidiaries's (Total Play)'s B3 Corporate Family Rating and Backed Senior Secured Global Notes due 2028 and 2032, as well as the Caa1 rating of its Backed Senior Unsecured Global Notes and its stable outlook, all remain unchanged following the company's announcement that it has upsized its 11.125% Backed Senior Secured Global Notes due 2032 to $1,021 million from $821 million. The transaction does not have a material effect on Total Play's leverage, as proceeds will be used for liability management, further improving the company's maturity profile. The notes will rank pari passu with all other senior secured and unsubordinated debt obligations of Total Play and ahead the remaining Backed Senior Unsecured Global Notes, rated Caa1. The new notes will be secured by the same collateral of other existing secured debt and will benefit from fiber network assets as collateral. The Backed Senior Secured Global Notes were offered in exchange for Total Play's $600 million senior unsecured notes due 2028. The secured notes have a higher coupon of 11.125% (compared to the 6.375% coupon of the existing notes) and will be amortizing over sixteen quarterly equal installments from 2029 to 2032. RATINGS RATIONALE The transaction does not affect the company's B3 CFR that considers the company's relatively small size when compared to other global rated peers; with 18.75% market share in broadband and 11.63% in Pay TV, in Mexico, as of December 2024, respectively. The rating also incorporates the company's geographic concentration in only one market and Moody's expectations of slightly positive FCF (Moody's adjustments include leases payments to capex) through 2026. The rating also considers the company's track record of aggressive financial strategy and high refinancing risk. Total Play's B3 CFR also reflects the company's high-quality network, which is the only 100% fiber-to-the-home (FTTH) infrastructure in Mexico; history of successful organic growth; and low churn of 1.5% as of March 2025. The B3 rating also factors in the company´s track record of growth, experienced management team and leverage of 3.5x and EBITDA margin of 35.2% for the 12 months that ended March 2025, as reported by the company. Following this transaction, Moody's estimates that secured debt will represent the bulk of Total Play's debt and secured by about 70% of the company's total revenue, with a trust formally assigned to manage the debt service with different regulated and non-regulated financial institutions. Unsecured debt will be comprised only by $56 million Backed Senior Unsecured Global Notes due 2025. Unsecured debt will benefit only from the residual cash flow in the waterfall after the repayment of the secured debt. Therefore, the Caa1 rating on the company's senior unsecured notes, one notch below the secured debt, reflects the effective subordination to Total Play's secured debt. Liquidity is adequate. Total Play has been able to improve liquidity during the last year through bond exchanges and liability management transactions. Also, in the same period, the company has been able to tap both local and international capital markets. Going forward, liquidity sources will be enough to meet its funding needs through 2026. Pro forma for this transaction, debt maturing through 2026 will amount to $110 million, favorably comparing with liquidity sources amounting to MXN10,008 million (-$490 million), considering cash of MXN7,132 million and restricted cash of MXN2,876 million as of March 2025. Additional sources include the recent $200 million add-on, the roll over nature of the company's revolving credit facilities (RCFs), with maturities amounting to MXN7,300 million through 2026. Moreover, Moody's assessments of Total Play's liquidity considers an expectation of slightly positive to neutral free cash flow (FCF) over the same period. The payment of the company's secured debt will be reserved in the company's restricted cash line at least three months in advance. This build up will be accounted in the working capital line and for this reason, Moody's assumes that going forward the working capital changes would be neutral to slightly negative, on average. The stable outlook reflects Moody's views that Total Play will sustain its adequate liquidity, generating positive FCF and extending its maturities at least twelve months in advance; it also reflects Moody's views that the company will maintain its competitive position and strong operating and financial metrics. The ratings could be upgraded if Total Play builds a track record of sustained adequate liquidity including positive FCF generation. Quantitatively, an upgrade would also require the maintenance of leverage below 4x and (EBITDA - CAPEX) / Interest Expense above 1x. Total Play's ratings could be downgraded if there's lower than expected profitability or organic growth. Leverage above 5x or any liquidity deterioration due to lower than expected FCF, or if the company is unable to rollover its short term debt, leading to increasing refinancing risk would also trigger a downgrade. Headquartered in Mexico, Total Play Telecomunicaciones, S.A.P.I. de C.V. and Subsidiaries (Total Play) offers fixed-telephone, pay-TV and broadband internet services to residential customers, and managed IT services for business customers and government entities. As of March 2025, the company offered these services through its fully owned fiber optic network, which covers 17.6 million homes passed with 30.2% penetration and 5.3 million subscribers generating revenue of MXN44,286 million (about $2.2 billion). ===================== P U E R T O R I C O ===================== KYTTO ENTERPRISE: Taps Luis R. Carrasquillo as Financial Consultant ------------------------------------------------------------------- Kytto Enterprise, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to employ Luis R. Carrasquillo & Co. as financial consultant. The firm will assist the Debtor in the financial restructuring of its affairs by providing advice in strategic planning and the preparation of Debtor's plan of reorganization, monthly operating reports, disclosure statement and business plan, and participating in negotiations with Debtor's creditors. The firm will be paid at these rates: Luis R. Carrasquillo, Partner $200 per hour Marcelo Gutierrez, Senior CPA $160 per hour Ramon Villafane, External Accountant $200 per hour Zoraida Delgado Díaz, Senior Accountant $110 per hour Arnaldo Morales, Senior Accountant $100 per hour Maria Vera, External Accountant $75 per hour David Sanchez Díaz Accountant $95 per hour Enid Olmeda, Junior Accountant $85 per hour Jean Aponte, Senior Accountant $75 per hour Luis R Guzman, Accountant $60 per hour Rosalie Hernandez Administrative and Support $45 per hour The firm was paid a retainer in the amount of $10,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Luis R. Carrasquillo Ruiz, CPA, a partner at Luis R. Carrasquillo & Co., P.S.C., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Luis R. Carrasquillo Ruiz, CPA, Luis R. Carrasquillo & Co., P.S.C. 28th Street, TI-26 Turabo Gardens, Caguas PR 00725 Tel: (787) 746-4555 Fax: (787) 746-4556 E-Mail: luis@cpacarrasquillo.com About Kytto Enterprise, Inc. Kytto Enterprise Inc., operating as Sushi Kytto Bar International Steak House and Sushi Kytto Juncos, operates Japanese sushi restaurants and steakhouse establishments across multiple locations in Puerto Rico, with its principal place of business located in Gurabo. Kytto Enterprise Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No. 25-01382-11) on March 28, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $500,000 and $1 million. 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