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250820.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 19, 2025, Vol. 26, No. 165 Headlines A R G E N T I N A ARGENTINA: Exports to China Down 15% Year-on-Year in 1H of 2025 ARGENTINA: FX Reforms Spur Worst Corporate Default Wave Since 2020 ARGENTINA: Peso Debt Yields Soar to Record Ahead of Key Auction B R A Z I L BRAZIL: In Talks with Canada to Revive Mercosur Trade Deal M E X I C O ASCEND PERFORMANCE: Hires Province LLC as Financial Advisor DEL MONTE: Retains PJT Partners LP as Investment Banker P U E R T O R I C O PUERTO RICO: Board Ouster Complicates PREPA Bankruptcy Battle - - - - - ================= A R G E N T I N A ================= ARGENTINA: Exports to China Down 15% Year-on-Year in 1H of 2025 --------------------------------------------------------------- Agustina Bordigoni at Buenos Aires Times reports that according to the latest report from the INDEC national statistics bureau, Argentina's trade with China recorded the highest negative balance in the first half of the year: US$5.227 billion. The Asian giant remains Argentina's second largest trading partner, but the difference between exports and imports is considerable: while the former account for 22.5 percent of total exports, the latter account for 7.7 percent of all imports. During the same period, according to the official report, "sales to that country reached US$3.07 billion, a decrease of 15 percent (down US$541 million) compared to the same period in 2024. Imports totalled US$8.297 billion and increased by US$3.672 billion (79.4 percent) from the same period of the previous year, according to Buenos Aires Times. The latest monthly data available is for June 2025, which also recorded a sharp decline compared to the same month last year: exports fell by 17.8 percent and imports, on the contrary, increased by 92.2 percent, the report notes. Of total monthly trade (US$2.159 billion), 60 percent were imports, compared to 39 percent of the total in June 2024, the report relays. "We have products that they need, but there is a rather unbalanced 'complementarity' from the point of view of added value," Sergio Spadone, president of the Camara Argentino-China (Argentine-Chinese Chamber of Commerce), explained to Perfil, the report says. According to the Observatorio de Complejidad Economica (OEC), China's main exports to Argentina, in addition to capital goods, are telephones and computers, the report discloses. Chinese imports from Argentina are concentrated on products such as frozen beef, carbonates and molluscs. Manufactured goods and machinery are mainly imported from China, Spadone added: "Products that are increasingly technological and sophisticated," he explained, notes the report. In June, 59.4 percent of Argentine exports to China were primary products and 32 percent were manufactured goods of agricultural origin, the report says. Industrial manufactured goods accounted for only 5.1 percent of total exports, and fuel and energy accounted for 3.5 percent, the report discloses. "The imbalance also has to do with a lack of planning," argues Spadone, says Buenos Aires Times. He observed that there is no professional office within Argentina's government that studies the relationship with China on an ongoing basis. "In China, they are very determined and very clear when it comes to their growth and development objectives and their relationship with the world and with Latin America. The proof is that every ambassador who comes to Latin America speaks Spanish or Portuguese, depending on the country they are visiting, and they prepare very well for that mission. They are professionals, they are career diplomats," said Spadone, the report discloses. In contrast, he explained, "on the Argentine side, there has never been an office that cuts across governments and works on behalf of the local economy, foreign exchange earnings, and industrial development," the report relays. Faced with this, he added, two things happen: other countries that are perhaps less competitive win the market, and entrepreneurs develop their own 'survival' strategies, the report notes. "Entrepreneurs prepare themselves, they have formed partnerships, entrepreneurs are attentive to these things because it is a survival instinct for an entrepreneur. But at the government level, that does not happen, which is a shame," said Spadone, Buenos Aires Times reports. According to the latest data available from the Chilean Central Bank's foreign trade monitor, so far in 2025, Chile has exported goods worth a total of US$19.453 billion to China, its main trading partner, the report discloses. It imported US$11.912 billion, resulting in a trade surplus. "Chile exports US$50 billion worth of mining products, mainly copper. We have the same mountains, the same resources, we have to develop them," noted Spadone, the report relays. Among the opportunities that, according to Spadone, Argentines are missing out on in a Chinese market that continues to expand, is wine, Buenos Aires Times relates. Consumption has become more widespread and buyers are increasingly concerned about product traceability and safety, the report notes. "Chile sells twenty times more wine than we do in dollars. And Australia almost 50 times more. We still have a long way to go. Private initiative has to dare to go to China and conquer that market, which is complex, very large and very competitive," argued the expert, the report relays. Another missed opportunity is tourism services, he added. "The inbound tourism sector in Argentina has never been accompanied by government policies that favour the entry of Chinese tourists into the country. Now it has been made easier, but only in part, for Chinese citizens who have a US visa." "Chinese tourists spend the most cash in the world, twice as much as European tourists," he observed, the report notes. On the role of politics -- and in relation to President Javier Milei's previously controversial statements about China -- Spadone confessed that Argentina's "pendulum" behaviour does not help, the report says. "Argentina, in its current situation, has to be smart, know how to negotiate with everyone and defend its position. The smart position would be to favour Argentine products and exports," he summarized, the report adds. 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. In March 2022, the International Monetary Fund (IMF) approved a 30-month arrangement under an Extended Fund Facility for Argentina in the amount of SDR 31.914 billion (equivalent to US$44 billion, or 1000 percent of quota) -- with an approved immediate disbursement of an equivalent of US$9.65 billion. Argentina's IMF-supported program sought to improve public finances and start to reduce persistent high inflation through a multi-pronged strategy. On April 11, 2025, the IMF further approved a 48-month Extended Fund Facility (EFF) arrangement for Argentina totaling US$20 billion (or 479 percent of quota), with an immediate disbursement of US$12 billion, and a first review planned for June 2025 with an associated disbursement of about US$2 billion. The program is expected to help catalyze additional official multilateral and bilateral support, and a timely re-access to international capital markets. Moody's Ratings on July 17, 2025, upgraded Argentina's long-term foreign currency and local currency issuer ratings to Caa1 from Caa3 and changed the outlook to stable from positive. The upgrade reflects Moody's views that the extensive liberalization of exchange and (to a lesser extent) capital controls, alongside a new International Monetary Fund (IMF) program, support the availability of hard currency liquidity and ease pressure on external finances. This reduces the likelihood of a credit event. In January 2025, Moody's raised Argentina's local currency ceiling to B3 from Caa1 and the foreign currency ceiling to Caa1 from Caa3. Fitch Ratings, on May 12, 2025, upgraded Argentina's Long-Term Foreign-Currency and Local-Currency Issuer Default Rating (IDR) to 'CCC+' from 'CCC'. S&P Global Ratings, in February 2025 lowered its local currency sovereign credit ratings on Argentina to 'SD/SD' from 'CCC/C' and its national scale rating to 'SD' from 'raB+'. DBRS, Inc. upgraded Argentina's Long-Term Foreign and Local Currency Issuer Ratings to B (low) from CCC in November 2024. ARGENTINA: FX Reforms Spur Worst Corporate Default Wave Since 2020 ------------------------------------------------------------------ Nicolle Yapur & Giovanna Bellotti Azevedo at Bloomberg News report that Javier Milei's reforms have brought stability to Argentina's chaotic foreign exchange market and praise from investors. But the overhaul is also fueling the worst streak of corporate defaults since the pandemic, according to Bloomberg News. Local borrowing costs are soaring, especially for peso-reliant companies, with many of them struggling with tight cash flows and high levels of debt after President Milei removed most exchange controls for individuals, the report relays. Over half a dozen firms have either defaulted or entered debt talks this year, including utility Grupo Albanesi, as Milei's changes caught them in an already weak financial position, Bloomberg News discloses. That pressure is expected to continue, with balance sheets in sectors like agriculture, energy and manufacturing already showing signs of stress, according to Ezequiel Fernandez, head of credit and equity research at Balanz Capital, the report notes. "If Argentina wants to turn the macro page around, a certain level of 'creative destruction' at the micro level needs to happen," Fernandez said, relates Bloomberg News. "After all, regime changes do create winners and losers." Behind the increase in defaults is a financing strategy that's no longer working, Bloomberg News discloses. Before Milei, companies took advantage of currency controls by issuing bonds denominated in dollars that settled in local currency, also known as dollar-linked bonds. In doing so, many of them were able to lock in negative rates as investors sought protection from soaring inflation and currency depreciation, Bloomberg News says. Average interest rates for dollar-linked bonds rose to 11 percent in the first quarter of 2025, more than double the five percent seen in the same period last year, according to a report from Moody's Ratings. In response, sales of dollar-linked bonds dropped to just US$2 million during the first quarter, down from US$165 million over the same period in 2024, the report discloses. Meanwhile, companies raised US$1.1 billion in dollar-denominated bonds, more than double the amount issued during the prior-year period, as average interest rates remained stable at six percent, as per the report, Bloomberg News states. "In 2025, we are experiencing the highest number of defaults since the pandemic," the report quotes Jose Antonio Molino, associate director at Moody's Local Argentina, a unit of Moody's, as saying. "The dollar-linked market has virtually disappeared." There have been eight defaults since November, including missed payments or restructurings, he said, Bloomberg News notes. The tally treats the three companies in Grupo Albanesi as one group, the report relays. Milei's austerity campaign is also crimping margins, including in the manufacturing sector, Bloomberg News notes. Companies are battling higher operating costs, diminished purchasing power and heightened competition from abroad as the peso's jump left it broadly overvalued, according to Bloomberg News. Argentina's Economy Ministry didn't respond to a request for comment. Companies rated as A+.ar and below on Moody's Local Argentina scale -- typically mid- to small-sized firms -- currently face the highest refinancing risks, according to Molino. Within the scale, an A.ar rating indicates "above-average credit quality relative to other Argentine issuers," with A+.ar marking the upper end of the category, he added, the report discloses. "Refinancing risks remain high for the next 12-18 months due to low liquidity in the local market for mid- to small companies," Molino said, notes Bloomberg News. "We are observing a large degree of flight-to-quality in the local market." 'Bifurcation' Meanwhile, issuers with access to global markets will likely be able to manage, said Luis Olguin, a portfolio manager at William Blair Investment Management in London, Bloomberg News relays. "It's a bifurcation in credit issuers," he said. "Companies that do tap international-size markets usually have a longer track record, and transparency with international investors." Olguin's firm doesn't have exposure to Argentine corporates right now because yields are too low, he said, relates Bloomberg News. According to the report, companies like YPF, Pampa Energia and Telecom Argentina successfully tapped investors in recent months. Others haven't been as lucky. In May, two subsidiaries of utility Albanesi missed an US$19.5-million interest payment, triggering a reorganisation. Albanesi in a statement said it is analysing its options, planning to present concrete proposals in the near term and reaching a "reasonable" solution. Also in May, pulp and paper maker Celulosa Argentina SA announced it would miss payments on local law dollar bonds, Bloomberg News says. In June, energy firm Petrolera Aconcagua Energia said it was restructuring its financial debt. Aconcagua said it defaulted on debt tied to an agreement with Vista Energy and Trafigura Group, Bloomberg News notes. To avoid enforcement, both companies offered to take over the company, assuming that its debt is restructured and the due diligence process yields satisfactory results. YPF, Pampa, Telecom Argentina and Celulosa Argentina didn't respond to requests for comment. "Many of the companies that defaulted were already running on borrowed time thanks to the FX controls," Balanz's Fernandez said, Bloomberg News adds. 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. In March 2022, the International Monetary Fund (IMF) approved a 30-month arrangement under an Extended Fund Facility for Argentina in the amount of SDR 31.914 billion (equivalent to US$44 billion, or 1000 percent of quota) -- with an approved immediate disbursement of an equivalent of US$9.65 billion. Argentina's IMF-supported program sought to improve public finances and start to reduce persistent high inflation through a multi-pronged strategy. On April 11, 2025, the IMF further approved a 48-month Extended Fund Facility (EFF) arrangement for Argentina totaling US$20 billion (or 479 percent of quota), with an immediate disbursement of US$12 billion, and a first review planned for June 2025 with an associated disbursement of about US$2 billion. The program is expected to help catalyze additional official multilateral and bilateral support, and a timely re-access to international capital markets. Moody's Ratings on July 17, 2025, upgraded Argentina's long-term foreign currency and local currency issuer ratings to Caa1 from Caa3 and changed the outlook to stable from positive. The upgrade reflects Moody's views that the extensive liberalization of exchange and (to a lesser extent) capital controls, alongside a new International Monetary Fund (IMF) program, support the availability of hard currency liquidity and ease pressure on external finances. This reduces the likelihood of a credit event. In January 2025, Moody's raised Argentina's local currency ceiling to B3 from Caa1 and the foreign currency ceiling to Caa1 from Caa3. Fitch Ratings, on May 12, 2025, upgraded Argentina's Long-Term Foreign-Currency and Local-Currency Issuer Default Rating (IDR) to 'CCC+' from 'CCC'. S&P Global Ratings, in February 2025 lowered its local currency sovereign credit ratings on Argentina to 'SD/SD' from 'CCC/C' and its national scale rating to 'SD' from 'raB+'. DBRS, Inc. upgraded Argentina's Long-Term Foreign and Local Currency Issuer Ratings to B (low) from CCC in November 2024. ARGENTINA: Peso Debt Yields Soar to Record Ahead of Key Auction --------------------------------------------------------------- Ignacio Olivera Doll at Bloomberg News reports that yields on the Argentine government's short-term notes soared to record highs on Aug. 11, just two days before the Treasury faces an auction that will help gauge investor appetite ahead of crucial midterm elections in October. The yield on Lecap notes maturing September 12 jumped to 65 percent, its highest level since the instrument was first issued a year ago and up from 46 percent at the start of August, according to data compiled by Bloomberg. Interest rates on other Lecaps also jumped, Bloomberg News discloses. The sharp increase in borrowing costs comes as the government prepares for a peso debt auction when it will attempt to roll over around 23 trillion pesos (US$17.4 billion) in maturities, equal to about a third of all the money circulating in Argentina's economy, according to Bloomberg News. It also reflects a liquidity crunch in the local financial system following the central bank decision to increase reserve requirements, a move aimed at easing pressure on the exchange rate and containing inflation, Bloomberg News says. Argentina's currency lost over 12 percent in July, its worst performance since President Javier Milei devalued the peso at the start of his administration, Bloomberg News relays. Rising dollar demand coincided last month with a seasonal decline in agriculture export flows, a top source of greenbacks in South America's second-largest economy, Bloomberg News notes. Throughout July, the government had been injecting pesos into the economy while building up international reserves to meet targets under its US$20-billion program with the International Monetary Fund, Bloomberg News relays. At the same time, dollar demand from the private sector intensified, with businesses seeking a hedge ahead of the October midterm elections, the report notes. Investors also are closely watching key provincial elections in Buenos Aires on September 7, Bloomberg News relays. "The system is under strain again. Rates are under pressure because banks no longer have a liquidity window," after the latest Central Bank's measures, said Juan Manuel Pazos, economist at local consulting firm One618, Bloomberg News notes. "The issue stems more from a flaw in the design of monetary policy than from any electoral risk perceived by investors," he added. As economists already see July monthly inflation mildly accelerating, the market concern is that if the Milei administration can't rollover all the notes, it could suddenly inject liquidity into the banking system, which could spur further price hikes that run the risk of denting the libertarian's approval ratings, Bloomberg News relays. Finance Secretary Pablo Quirno said in a post on X that the government will auction peso-denominated bills and notes linked to inflation and the exchange rate, adds the report. 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. In March 2022, the International Monetary Fund (IMF) approved a 30-month arrangement under an Extended Fund Facility for Argentina in the amount of SDR 31.914 billion (equivalent to US$44 billion, or 1000 percent of quota) -- with an approved immediate disbursement of an equivalent of US$9.65 billion. Argentina's IMF-supported program sought to improve public finances and start to reduce persistent high inflation through a multi-pronged strategy. On April 11, 2025, the IMF further approved a 48-month Extended Fund Facility (EFF) arrangement for Argentina totaling US$20 billion (or 479 percent of quota), with an immediate disbursement of US$12 billion, and a first review planned for June 2025 with an associated disbursement of about US$2 billion. The program is expected to help catalyze additional official multilateral and bilateral support, and a timely re-access to international capital markets. Moody's Ratings on July 17, 2025, upgraded Argentina's long-term foreign currency and local currency issuer ratings to Caa1 from Caa3 and changed the outlook to stable from positive. The upgrade reflects Moody's views that the extensive liberalization of exchange and (to a lesser extent) capital controls, alongside a new International Monetary Fund (IMF) program, support the availability of hard currency liquidity and ease pressure on external finances. This reduces the likelihood of a credit event. In January 2025, Moody's raised Argentina's local currency ceiling to B3 from Caa1 and the foreign currency ceiling to Caa1 from Caa3. Fitch Ratings, on May 12, 2025, upgraded Argentina's Long-Term Foreign-Currency and Local-Currency Issuer Default Rating (IDR) to 'CCC+' from 'CCC'. S&P Global Ratings, in February 2025 lowered its local currency sovereign credit ratings on Argentina to 'SD/SD' from 'CCC/C' and its national scale rating to 'SD' from 'raB+'. DBRS, Inc. upgraded Argentina's Long-Term Foreign and Local Currency Issuer Ratings to B (low) from CCC in November 2024. =========== B R A Z I L =========== BRAZIL: In Talks with Canada to Revive Mercosur Trade Deal ---------------------------------------------------------- Reuters, citing the Brazilian Foreign Trade Secretary, reports that Brazil is engaged in a "constructive dialogue" with Canada to resume negotiations for a free trade agreement between South America's Mercosur bloc and Ottawa. Canadian officials are due to visit Brazil in late August, according to Tatiana Prazeres, Brazil's Foreign Trade Secretary, who shared details of the visit in a written response, according to the report. Reuters relates that Canada signalled renewed interest in restarting talks with Mercosur last month, as part of a broader push to diversify trade away from the United States amid uncertainty caused by tariffs imposed by US President Donald Trump. Sources from both Canada and Brazil told Reuters that Canada's International Trade Minister, Maninder Sidhu, is expected to travel to Brasilia on August 25, the report relates. Mercosur, which includes Brazil, Argentina, Uruguay and Paraguay, with Bolivia in the process of becoming a full member, is a major exporter of beef, soybeans and minerals. Sidhu's visit "will be an opportunity to assess the conditions for a possible relaunching of negotiations," the report quotes Prazeres as saying, although no formal date has been set to restart them, she added. Talks have been stalled since 2021 as South American countries focussed on local issues such as elections, before Trump's radical policy shifts reset the trade agenda. Two senior diplomatic sources said formal negotiations could resume in late September or early October, Reuters relays. One source monitoring developments said both sides view the Mercosur-Canada agreement as relatively obstacle-free and expect negotiations to take about a year. About Brazil Brazil is the fifth largest country in the world and third largest in the Americas. Luiz Inacio Lula da Silva won the 2022 Brazilian general election. He was sworn in on January 1, 2023, as the 39th president of Brazil, succeeding Jair Bolsonaro. In October 2024, Moody's Ratings upgraded the Government of Brazil's long-term issuer and senior unsecured bond ratings to Ba1 from Ba2, the senior unsecured shelf rating to (P)Ba1 from (P)Ba2; and maintained the positive outlook. S&P Global Ratings raised on Dec. 19, 2023, its long-term global scale ratings on Brazil to 'BB' from 'BB-'. Fitch Ratings affirmed on Dec. 15, 2023, Brazil's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB' with a Stable Outlook. DBRS' credit rating for Brazil was last reported at BB with stable outlook at July 2023. =========== M E X I C O =========== ASCEND PERFORMANCE: Hires Province LLC as Financial Advisor ----------------------------------------------------------- Ascend Performance Materials Holdings Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of Texas to employ Province, LLC as financial advisor to the disinterested directors. The firm's services include: (a) becoming familiar with and analyzing the Debtors' assets and liabilities, and overall financial condition and liquidity during the case; (b) reviewing financial and operational information furnished by the Debtors; (c) reviewing of other operational data and agreements related to the interaction of the Debtors with Related Parties or in connection with a Transaction; (d) analyzing the Debtors' proposed business plans; (e) preparing, or reviewing as applicable, avoidance action and claim analyses; (f) advising the Special Committee in negotiations with the case constituents and third parties as necessary; (g) if necessary, participating as a witness in hearings before the bankruptcy court with respect to matters upon which Province has provided advice; and (h) providing other activities as directed by the Special Committee and as agreed to by Province. Province's current standard hourly rates are: Managing Directors and Partners $850 to $1,450 Vice Presidents, Directors, and Senior Directors $700 to $1,050 Analysts, Associates, and Senior Associates $350 to $825 Other / Para-Professional $270 to $450 In addition, the firm will seek reimbursement for its out-of-pocket expenses. Daniel Moses, a partner at Province, 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: Daniel Moses Province, LLC 2360 Corporate Cir., Ste. 340 Henderson, NV 89074 About Ascend Performance Materials Holdings The Debtors, together with their non-Debtor affiliates, are one of the largest, fully-integrated producers of nylon, a plastic that is used in everyday essentials, like apparel, carpets, and tires, as well as new technologies, like electric vehicles and solar energy systems. Ascend's business primarily revolves around the production and sale of nylon 6,6 (PA66), along with the chemical intermediates and downstream products derived from it. Common applications of PA66 include heating and cooling systems, air bags, batteries, and athletic apparel. Headquartered in Houston, Texas, Ascend has a global workforce of approximately 2,200 employees and operates eleven manufacturing facilities that span the United States, Mexico, Europe, and Asia. Ascend Performance Materials Holdings Inc. and its affiliates filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 25-90127) on April 21, 2025. In the petitions signed by Robert Del Genio, chief restructuring officer, the Debtors disclosed $1 billion to $10 billion in both estimated assets and liabilities. Judge Christopher M. Lopez oversees the cases. The Debtors tapped Bracewell LLP and Kirkland & Ellis LLP as counsel; PJT Partners, Inc. as investment banker; FTI Consulting, Inc. as restructuring advisor; and Deloitte LLP as tax advisor. Epiq Corporate Restructuring LLC is the Debtors' claims, noticing, and solicitation agent. DEL MONTE: Retains PJT Partners LP as Investment Banker ------------------------------------------------------- Del Monte Foods Corporation II Inc. has filed an application with the U.S. Bankruptcy Court seeking approval to retain PJT Partners LP as its investment banker in its Chapter 11 case. PJT Partners will provide these services: (a) evaluate the Debtors' businesses, assets, and operations; (b) assist in developing restructuring strategies and financial alternatives; (c) identify potential strategic transactions, including mergers, sales, or recapitalizations; (d) assist in obtaining debtor-in-possession financing or exit financing; (e) provide expert testimony as needed in court; and (f) perform such other investment banking services as may be agreed upon in connection with these Chapter 11 cases. The firm's fee structure includes a monthly advisory fee, transaction fees based on the consummation of specific restructuring or financing events, and reimbursement of reasonable out-of-pocket expenses. According to court filings, PJT Partners LP is a "disinterested person" as defined under Section 101(14) of the Bankruptcy Code. The firm disclosed that it has not agreed to any rate variations based on location, has not altered billing terms pre- or post-petition, and intends to provide a staffing plan and budget for its services. PJT Partners LP can be reached at: PJT Partners LP 280 Park Avenue New York, NY 10017 Telephone: (212) 364-7800 Website: www.pjtpartners.com About Del Monte Foods Corporation II Inc. Del Monte Foods, Inc. produces, distributes, and markets branded plant-based packaged food products in the United States and Mexico. Del Monte Foods Corporation II Inc. and its affiliates filed their voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case No. 25-16984) on July 1, 2025, listing $1,000,000,001 to $10 billion in both assets and liabilities. Judge Michael B Kaplan presides over the case. Michael D. Sirota, Esq. at Cole Schotz P.C. represents the Debtor as counsel. ===================== P U E R T O R I C O ===================== PUERTO RICO: Board Ouster Complicates PREPA Bankruptcy Battle ------------------------------------------------------------- Michelle Kaske of Bloomberg News reports that a leadership shake-up at Puerto Rico's financial oversight board is slowing the bankruptcy of its power utility, with the presiding judge halting an upcoming filing deadline and seeking details on changes to the board's membership. As previously reported, the White House dismissed five of the seven members of the federal panel overseeing the commonwealth's finances and the Puerto Rico Electric Power Authority's (PREPA) bankruptcy. The board must submit a report by August 25, 2025 explaining how the removals could affect the case, according to report. About Puerto Rico Puerto Rico is a self-governing commonwealth in association with the United States. The chief of state is the President of the United States of America. The head of government is an elected Governor. There are two legislative chambers: the House of Representatives, 51 seats, and the Senate, 27 seats. The governor-elect is Ricardo Antonio Rossello Nevares, the son of former governor Pedro Rossello. In 2016, the U.S. Congress passed PROMESA, which, among other things, created the Financial Oversight and Management Board and imposed an automatic stay on creditor lawsuits against the government, which expired May 1, 2017. The members of the oversight board are: (i) Andrew G. Biggs, (ii) Jose B. Carrion III, (iii) Carlos M. Garcia, (iv) Arthur J. Gonzalez, (v) Jose R. Gonzalez, (vi) Ana. J. Matosantos, and (vii) David A. Skeel Jr. On May 3, 2017, the Commonwealth of Puerto Rico filed a petition for relief under Title III of the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA). The case is pending in the United States District Court for the District of Puerto Rico under case number 17-cv-01578. A copy of Puerto Rico PROMESA petition is available at http://bankrupt.com/misc/1701578-00001.pdf On May 5, 2017, the Puerto Rico Sales Tax Financing Corporation (COFINA) commenced a case under Title III of PROMESA (D.P.R. Case No. 17-01599). Joint administration has been sought for the Title III cases. On May 21, 2017, two more agencies Employees Retirement System of the Government of the Commonwealth of Puerto Rico and Puerto Rico Highways and Transportation Authority (Case Nos. 17-01685 and 17-01686) commenced Title III cases. U.S. Chief Justice John Roberts named U.S. District Judge Laura Taylor Swain to preside over the Title III cases. The Oversight Board has hired as advisors, Proskauer Rose LLP and Neill & Borges LLC as legal counsel, McKinsey & Co. as strategic consultant, Citigroup Global Markets as municipal investment banker, and Ernst & Young, as financial advisor. Martin J. Bienenstock, Esq., Scott K. Rutsky, Esq., and Philip M. Abelson, Esq., of Proskauer Rose LLP; and Hermann D. Bauer, Esq., at O'Neill & Borges LLC are onboard as attorneys. Prime Clerk LLC is the claims and noticing agent. Prime Clerk maintains the case Web site https://cases.primeclerk.com/puertorico Jones Day is serving as counsel to certain ERS bondholders. Paul Weiss is counsel to the Ad Hoc Group of Puerto Rico General Obligation Bondholders. ********* 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 2025. 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 * * *