260421.mbx

260421.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, April 21, 2026, Vol. 27, No. 79 Headlines A R G E N T I N A ARGENTINA: Has Cheaper Funding Options Than Bond Sale, Caputo Says ARGENTINA: IMF Cuts Growth Outlook, Raises Inflation Forecast ARGENTINA: March Inflation Spike Puts Milei on the Defensive EMPRESA DISTRIBUIDORA: Moody's Rates New $500M Sr. Unsec. Notes B3 B R A Z I L BANCO DO BRASIL: Moody's Rates New Senior Unsecured Notes 'Ba1' NEW FORTRESS: Wesley Edens Holds 18.8% Equity Stake D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Fitch Affirms 'BB-' LT IDR, Outlook Now Stable J A M A I C A LATAM: Caricom Calls for Response Plan to Middle East Conflict P A R A G U A Y FRIGORIFICO CONCEPCION: Fitch Lowers Long-Term IDR to 'CCC' - - - - - ================= A R G E N T I N A ================= ARGENTINA: Has Cheaper Funding Options Than Bond Sale, Caputo Says ------------------------------------------------------------------ Jorgelina do Rosario, Manuela Tobias & Vinicius Andrade at Bloomberg News report that Argentina's economy chief told investors in Washington that President Javier Milei's government won't need to tap global capital markets this year as it lines up cheaper financing options. Speaking at an event organised by JPMorgan Chase & Co on the sidelines of the International Monetary Fund’s Spring Meetings, Economy Minister Luis Caputo said he expects to announce alternative funding sources very soon that will cover Argentina's financing needs for the year, according to people present, according to Bloomberg News. It would be irresponsible for the government to issue debt in international markets at current yields when it can access cheaper funding, Caputo said according to the people, without providing details on the alternatives under consideration, Bloomberg News notes. Argentina may not need to return to global markets for the next year and a half, Caputo said, according to the participants, who asked not to be identified because the meeting was private, the report relays. That suggests Milei may avoid selling bonds abroad until near the end of his term, Bloomberg News says. Caputo's remarks came after Argentina reached a staff-level agreement with the IMF on the latest review of its US$20-billion program, Bloomberg News discloses. The country also has access to an additional US$20 billion through a swap line with the US Treasury, Bloomberg News says. In a statement, the IMF said the review will not be submitted to its board until the government implements "corrective measures to address earlier setbacks," without providing further details, Bloomberg News relays. Caputo did not elaborate on any new measures during the private meeting, Bloomberg News notes. Milei and Caputo have said they want Argentina's sovereign risk -- the premium investors demand to hold the nation's bonds over benchmark US Treasuries -- to fall to around 250 basis points, roughly half its current level, before returning to global markets, Bloomberg News says. Since the programme began in April, the IMF and investors have focused on Argentina's ability to build foreign reserves needed to repay bondholders, Bloomberg News relays. Through December, the country faces about US$15 billion in debt service, including US$4.2 billion on global bonds due in July, the report notes. Between 2027 and 2030, annual payments rise to an average of US$27.7 billion, according to a recent JPMorgan note, Bloomberg News discloses. Milei's decision to hold off on returning to markets has already prompted one resignation, Bloomberg News relays. Alejandro Lew stepped down as finance secretary in February after clashing over plans to raise funds in international markets, 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: IMF Cuts Growth Outlook, Raises Inflation Forecast ------------------------------------------------------------- Buenos Aires Times reports that the International Monetary Fund (IMF) lowered its growth forecast for Argentina and raised its projection for inflation, highlighting a deterioration in the country's internal and external conditions. According to the latest edition of the Fund's World Economic Outlook (WEO) report, which is issued twice a year, the IMF now expects Argentina's gross domestic product to expand by 3.5 percent in 2026 -- a downgrade of 0.5 points. In 2027, the economy should expand four percent, according to Buenos Aires Times. The lowering of Argentina's forecast is largely due to a slowdown in economic activity in the second half of 2025, said IMF Research Department deputy director Petya Koeva-Brooks at a press conference in Washington DC, the report notes. The period coincided with the currency turbulence leading up to last year's October midterm elections, the report relays. Like many other nations, the impact of the war will be both positive and negative, the report notes. Higher oil prices can improve potential revenues in export sectors like energy, but they also complicate efforts to slow inflation, increase logistics costs and complicate the climate for investments, the report discloses. Reflecting ongoing concerns about price hikes in the context of energy instability and war in the Middle East, IMF technicians also predicted that Argentina’s inflation this year will close out the year at 30.5 percent -- a large 10-point jump on previous estimates, the report says. Consumer prices are predicted to rise 15.7 percent in 2027, according to the Fund, the report relays. Drilling down into the job market, the IMF predicts that Argentina's unemployment rate at the end of the year will be 7.2 percent, the report notes. Despite the more adverse outlook, Argentina continues to appear relatively well-positioned regionally, the report says. The country is expected to outperform all the region's leading economies, including Brazil (1.9 percent in 2026) and Mexico (1.6 percent), with the exception of Paraguay (4.2 percent) and Venezuela (four percent), the report discloses. The IMF projects overall growth of 2.3 percent for Latin America and the Caribbean this year and 2.7 percent in 2027, the report relays. In its report, the IMF said Brazil could benefit from the conflict due to its status as a net energy exporter, Buenos Aires Times discloses. Venezuela -- which changed leader after Nicolás Maduro was captured by the United States in January -- is an oil producer that could also benefit from instability in the Persian Gulf, the report says. "A slowdown in global demand, rising input costs (including fertilisers) and tighter financial conditions" will dominate next year, weighing somewhat on the South American giant's economy, the IMF said, the report relays. The global economy is set to grow by 3.1 percent this year, said the IMF, the report notes. That's a drop from the 3.3 percent forecast in January before hostilities erupted in the Middle East, the report says. "We were planning to upgrade growth for 2026 to 3.4 percent" if not for the war, said IMF chief economist Pierre-Olivier Gourinchas, the report discloses. Although overall revisions to global growth and inflation appear modest, the IMF cautioned that the war has taken a bigger toll on the Middle East and "vulnerable economies" elsewhere, the report says. "The impact on emerging market and developing economies would be almost twice that on advanced economies," the Fund said, the report relates. Latin America and the Caribbean remains a region of stark economic contrasts, illustrated by Venezuela's inflation outlook: 387 percent in 2026 -- a sharp rise from the 252 percent recorded in 2025, according to the Fund, the report notes. In contrast, Bolivia's outlook is markedly weaker, the report says. After a 1.2 percent contraction in 2025, the economy is expected to shrink by a further 3.3 percent this year, the report relates. Colombia is expected to grow by 2.3 percent, Chile by 2.4 percent, while Uruguay will remain unchanged from 2025 with expansion of 1.8 percent, the report discloses. Peru is forecast to grow by 2.8 percent and Ecuador by 2.5 percent, both slightly below their 2025 levels, the report notes. The Fund groups Central American countries together and leaves their growth forecast unchanged at 3.7 percent – rising to four percent in 2027, the report relays. The Caribbean, meanwhile, is set to post the strongest expansion in the region, at 5.7 percent in 2026 and 8.6 percent in 2027, 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: March Inflation Spike Puts Milei on the Defensive ------------------------------------------------------------ Buenos Aires Times reports that Argentina posted monthly inflation of 3.4 percent in March, its highest level in a year, according to official data. Government officials attributed the spike to a global rise in fuel prices driven by the war in the Middle East, according to Buenos Aires Times. The March figure was pushed up by transport and seasonal costs such as education, according to the INDEC national statistics bureau, the report notes. In March, "a significant impact from the war in the Middle East was recorded, in line with effects seen in other countries," Economy Minister Luis Caputo wrote in a post on X, citing increases of "nine percent in fuels, 24 percent in domestic air fares and 22 percent in intercity transport," the report relays. "The figure did not please me," said President Javier Milei said at the AmCham Summit, reacting to the figure, the report discloses. The report notes that he insisted that once the effects of the war and seasonal increases fade, "the inflation rate will fall." "All we have to do is be patient, we must not despair," he added. During Milei's Presidency, annual inflation has been slashed from 117 percent in 2024 to 31 percent in 2025, but the process stalled in April last year, when the index shifted course, the report says. In his AmCham speech, Milei attributed that shift to "a fierce attack from politics" and to a currency run ahead of the October midterm elections, the report relays. Over the last 12 months, inflation totals 32.6 percent. So far this year, prices have risen by 9.4 percent, the report says. Caputo, speaking at the same event as Milei, said that "inflation will receive its death certificate" in the future. The indicator adds to other adverse signals for the government in recent weeks, the report notes. Industry recorded an 8.6 percent year-on-year drop in activity in February, while labour informality reached 43 percent in the fourth quarter of 2025, according to INDEC, the report discloses. The exchange rate, with a relatively strong peso against the dollar at 1,385 pesos per US dollar on the official rate, has favoured imports, which the government has encouraged through deregulation policies, the report adds. A surge in imports, mainly from China, has helped bring prices down but has also had a strong impact on the nation's productive sector, the report says. "The chainsaw does not stop," Milei said, referring to his fiscal adjustment policy, the report relays. The report notes that he said he would "remove all pesos from circulation until the inflation rate collapses" and "continue opening up the economy." The International Monetary Fund (IMF) said that Argentina will moderate its 2025 growth (4.4 percent), projecting 3.5 percent this year and four percent next year, largely due to a slowdown in economic activity in the second half of 2025, the report relays. The multilateral lender also expects the disinflation process in Argentina to continue, but in a “somewhat more gradual” manner than previously forecast, the report notes. The IMF had placed its inflation expectation for this year at 16.4 percent, but has now almost doubled it to 30.4 percent, 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. EMPRESA DISTRIBUIDORA: Moody's Rates New $500M Sr. Unsec. Notes B3 ------------------------------------------------------------------ Moody's Ratings has assigned a B3 rating to the up to USD500 million Senior Unsecured Notes to be issued by Empresa Distribuidora y Comercializadora Norte S.A. (Edenor) with final maturity in 2033 (New Notes). The rating on the notes is aligned with Edenor's B3 corporate family rating. The outlook is positive. Edenor will use the proceeds of the New Notes for ongoing liability management initiatives as well as general corporate purposes including business acquisitions. The New Notes will be denominated in US dollars with a coupon paid on a semi-annual basis. The principal amount will be payable in three equal installments, starting in 2031. The assigned rating is based on preliminary documentation received by us as of the rating assignment date and confirmation of issuance amounts. Moody's do not expect changes to the debt amount or documentation reviewed over this period, nor Moody's anticipates changes in the main conditions that the notes will carry. Should issuance conditions and/or final documentation of the notes deviate from the original ones submitted and reviewed by the rating agency, Moody's will assess the impact that these differences may have on the ratings and act accordingly. RATINGS RATIONALE The assigned B3 senior unsecured rating to the New Notes is in line with Edenor's long-term corporate family rating, reflecting the structure of the issuance, which will constitute unsubordinated and unsecured obligations of Edenor, and will rank pari-passu with all other present and future unsecured and unsubordinated obligations of the company. Edenor's credit profile incorporates the company's strong market position as an essential provider of electricity distribution services in the northwestern zone of the greater Buenos Aires metropolitan area and the northern part of the City of Buenos Aires. The rating is constrained by its credit links to the Government of Argentina (Caa1 stable) and the country's weak institutions and governance strengths, track record of macroeconomic imbalances, and capital and exchange controls. Edenor's positive rating outlook reflects Moody's expectations that operating conditions for regulated utilities in Argentina will continue to improve over the next 12 to 18 months, given the favorable recent developments that improved the framework. Moody's anticipates that the timeliness and adequacy of tariff adjustments will support a gradual recovery in the company's cash flow generation and profitability. These developments will strengthen Edenor's financial profile and reinforce its ability to meet operational and investment needs. Operating margins have already improved to approximately 4.8% in fiscal year 2025 (FY25) from negative figures pre-2024. The company remains exposed to significant amounts of accumulated payables on energy purchases (CAMMESA debt) in the amount of ARS 394.867 million (USD271 million), which constrains the rating. However, the recent settlement agreement with CAMMESA pushed the amortization of these liabilities to occur in 72 installments through 2031. Together with the issuance of the notes, Edenor intends to complete a liability management process that entails: (i) a voluntary tender offer for the company's most recently issued Series 7 notes due 2030 for up to approximately USD150 million, and (ii) the in kind integration of Series 3 and Series 5 notes, totaling approximately USD180 million. The tender offer and in-kind integration are expected to be executed above par. Remaining proceeds will be used for general corporate purposes, including new investments and business acquisitions in the energy sector. The rating scenario considers that, following the issuance of the new notes and the completion of the company's liability-management actions, CFO pre Working Capital (WC) to debt will stand at around 2.16% and CFO pre WC + Interest/Interest at 1.12x by year end 2026. While leverage is projected to rise, the resulting level remains consistent with the assigned B3 rating, reflecting the company's still-moderate debt burden in relation to other peers and the benefits of its improved maturity profile. The rating incorporates Edenor's adequate liquidity position and expected improvement in debt maturity profile following the proposed issuance. As of December 2025, the company reported ARS 772.849 million in cash and equivalents (USD534 million at the official currency conversion rate). FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING An upgrade of the company's rating will require the consolidation of the improvement in operating conditions, regulatory environment and financial metrics. Specifically, upward pressure on the rating could develop if the company continues to report a sustained improvement in metrics, such that its Moody's-adjusted CFO pre WC/Debt ratio improves towards 14% and CFO pre WC + Interest/Interest towards 1.5x. A downgrade of Argentina's ratings, deterioration in the operating environment or a shift in policies or regulations that lead to reduced ability to improve cash generation and higher liquidity needs, would result in negative rating pressure. LIST OF AFFECTED RATINGS Issuer: Empresa Distribuidora y Com. Norte S.A. Assignments: Senior Unsecured, Assigned B3 The principal methodology used in this rating was Regulated Electric and Gas Utilities published in August 2024. CREDIT PROFILE Empresa Distribuidora y Comercializadora Norte S.A., headquartered in Buenos Aires, is Argentina's largest electricity distribution company. It serves about 3.4 million customers within its exclusive concession area covering the northern part of the City of Buenos Aires and the northwestern zone of Greater Buenos Aires. Edenor supplies around 20% of the country's electricity demand and operates under a regulated monopoly within its license area. =========== B R A Z I L =========== BANCO DO BRASIL: Moody's Rates New Senior Unsecured Notes 'Ba1' --------------------------------------------------------------- Moody's Ratings has assigned a Ba1 long-term foreign currency senior unsecured debt rating to the proposed senior unsecured sustainability notes to be issued by Banco do Brasil S.A. (BB), acting through its Grand Cayman Branch (BB Cayman). The proposed notes, to be issued under its existing $20 billion senior unsecured Euro MTN Programme, rated (P)Ba1, will be denominated and settled in US dollars, and will mature in five years. The outlook on the senior unsecured debt rating is stable. RATINGS RATIONALE The Ba1 rating on the notes is aligned with BB's baseline credit assessment (BCA) of ba1, which reflects Moody's assessments that its financial profile has continued to aid BB in overcoming credit challenges that intensified in 2024-25, including heightened loan delinquency and a reduction in profitability, particularly compared to metrics reported in 2021-23. BB's asset quality will still be high by year-end 2026. Reduction in the stock of Stage 3 loans will decline more gradually over time considering longer period for loan write-offs under IFRS 9. Also, improvement to asset quality will be consistent with efforts to renegotiate loans in its agribusiness portfolio. BB's largely diversified product base and efforts to control operating expenses have also contributed to the partial recovery of net income the bank reported in Q4 2025. Looking ahead, Moody's expects profitability to undergo a gradual recovery, reflecting a conservative origination of new loans by the bank in 2026 and provision expenses that will likely remain elevated for two to three quarters, before asset quality metrics show consistent improvement. Among BB's credit strengths are its resilient capital position, with a regulatory common equity tier 1 (CET1) ratio stood at 12.2% in December 2025, access to a large volume of demand and savings deposits that BB access via a nationwide footprint and ample holdings of liquid assets. BB Cayman's foreign currency senior unsecured debt ratings and BB's local and foreign currency long-term deposit ratings of Ba1 are at the same level as the Government of Brazil's (Brazil) Ba1 sovereign debt rating. The senior unsecured debt ratings have a stable outlook in line with the outlook on the sovereign. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING An upgrade of BB's long-term deposit and BB Cayman's senior unsecured debt ratings is unlikely, as they are currently aligned with Brazil's sovereign rating. This reflects the strong credit linkages between the sovereign and the bank. BB's BCA could be upgraded if Brazil's sovereign rating is raised and, simultaneously, the bank demonstrates a material improvement in asset quality and profitability, thereby continuing to support its loss-absorbing capital buffers. Conversely, downward pressure on BB's BCA could result from sustained deterioration in asset quality and profitability metrics, which would weaken the bank's capacity to absorb credit losses. Given its status as a government-backed entity, BB's deposit and debt ratings would also face downward pressure in the event of a downgrade of Brazil's sovereign rating. The principal methodology used in this rating was Banks published in November 2025. NEW FORTRESS: Wesley Edens Holds 18.8% Equity Stake --------------------------------------------------- Wesley R. Edens, disclosed in a Schedule 13D (Amendment No. 7) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, he beneficially owns 53,634,666 shares of New Fortress Energy Inc.'s Class A Common Stock, representing 18.8% of the 284,552,811 shares outstanding as of November 14, 2025. This amendment discloses that on March 31, 2026, Wesley R. Edens entered into an Assignment and Assumption Agreement to purchase approximately $110 million aggregate principal amount of loans under the Issuer's Term Loan A Credit Agreement using personal funds. Upon closing of the transactions contemplated by the Restructuring Support Agreement, he is expected to receive a pro rata portion of the consideration to lenders, which may include an indeterminate amount of Class A Shares and shares of preferred stock convertible into Class A Shares. Wesley R. Edens may be reached through: Wesley R. Edens 111 W. 19th St. 8th Floor New York, NY 10011 Tel: (516) 268-7400 A full-text copy of Wesley R. Edens's SEC report is available at: https://tinyurl.com/dpvbxp7c About New Fortress Energy Inc. New Fortress Energy Inc., a Delaware corporation, is a global energy infrastructure company founded to help address energy poverty and accelerate the world's transition to reliable, affordable and clean energy. The Company owns and operates natural gas and liquefied natural gas infrastructure, ships and logistics assets to rapidly deliver turnkey energy solutions to global markets. The Company has liquefaction, regasification and power generation operations in the United States, Jamaica, Brazil and Mexico. The Company has marine operations with vessels operating under time charters and in the spot market globally. As of September 30, 2025, the Company had $11.9 billion in total assets, $10.8 billion in total liabilities, and a total stockholders' equity of $1.1 billion. * * * In November 2025, S&P Global Ratings lowered its issuer credit rating on New Fortress Energy Inc. (NFE) to 'SD' (selective default) from 'CCC'. At the same time, S&P lowered its issue level rating on NFE's 12% senior secured notes due 2029 to 'D' from 'CCC-'. The downgrade reflects NFE's decision to enter into a forbearance agreement. S&P will reevaluate its ratings on NFE before the end of November as more information becomes available. The Company has initiated a process to evaluate its strategic alternatives to improve its capital structure. It has retained Houlihan Lokey Capital, Inc. as financial advisor and Skadden, Arps, Slate, Meagher & Flom LLP as legal advisor to assist it in this evaluation. The Company, along with its advisors, is considering all options available, including asset sales, capital raising, debt amendments and refinancing transactions, and other strategic transactions that seek to provide additional liquidity and relief from acceleration under its debt agreements. As part of this process, the Company is engaging in discussions with various existing stakeholders and potential investors. There are inherent uncertainties as the outcome of these negotiations and potential transactions are outside management's control, and therefore there are no assurances that management will be successful in these negotiations and that any of these potential transactions will occur. In addition, there can be no assurances that these transactions will sufficiently improve the Company's liquidity or that the Company will otherwise realize the anticipated benefits. Moreover, if the Company fails to obtain amendments and forbearance, the Company may be required or compelled to pursue additional restructuring initiatives to preserve value and optionality, including possible out-of-court restructurings, or in-court relief, which could have a material and adverse impact on the Company's stockholders. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Fitch Affirms 'BB-' LT IDR, Outlook Now Stable ------------------------------------------------------------------ Fitch Ratings has revised the Rating Outlook on the Dominican Republic's Long-Term Foreign-Currency Issuer Default Rating (IDR) to Stable from Positive and affirmed the rating at 'BB-'. The Outlook revision reflects growing headwinds to growth, inflation, public finances and external accounts from higher oil prices. Growth rates had already lagged their high historical average in recent years, and the current global energy price shock, new domestic price pressures, and higher-for-longer interest rates could hinder a material recovery. Measures that limit the pass-through of higher energy prices to consumers could pressure fiscal accounts. Allowing fuel and electricity prices to rise would pressure inflation and growth. These pressures highlight policy trade-offs for the government in this challenging external environment. A tax reform to increase the low revenue base has also faced setbacks. The Dominican Republic's ratings are supported by a diversified export structure, high per-capita GDP, and social and governance indicators that compare favorably to peers. The ratings are constrained by the country's weak revenue base and budgetary rigidities, including a high interest burden and subsidization of a loss-making electricity sector, heavy sovereign reliance on external bond market financing, and lingering weaknesses in the policy framework. Key Rating Drivers Growth Lags: Growth has trailed its historical average in recent years. It slowed to 2.1% in 2025, driven by weakness in the construction and manufacturing sectors, and averaged 3.1% over 2023-2025, below the 'BB' median of 3.9% and the country's historical average of around 5%. Economic activity picked up in early 2026, rising 3.7% in 2M26, supported by fiscal and monetary stimulus introduced in 2H25. However, higher energy prices and interest rates will likely create headwinds later in the year. Fitch forecasts growth of 3.5% this year, in line with the 'BB' median, although risks persist. Higher Inflation, Rates: Inflation was already above the midpoint of the 4% +/- 1% target range prior to the shock, impacted by the effects of Hurricane Melissa in October 2025. It averaged 4.8% in 1Q26. The oil price shock could put upward pressure on prices in the coming months. The domestic yield curve has already steepened in response. If the shock is large enough, the central bank could raise policy rates later this year, in Fitch's view. Double-digit lending rates dragged on growth in recent years (2023 through 1H25). These rates fell in 2H25 but could now stabilize or rise. Fuel Subsidies to Add Fiscal Pressure: In March, the government announced fuel price freezes, higher energy subsidies, and targeted support for vulnerable households to limit the pass-through of higher oil prices to consumers. Since then, gasoline and diesel prices have risen 8%-10%, far below the increase in global oil prices. The government intends to partially offset the measures with spending cuts and budget reallocation, while also aiming to avoid capex cuts that could hinder economic recovery. However, Fitch still expects these measures to pressure public finances and widen the central government deficit to 3.8% of GDP from 3.5% in 2025, above the 'BB' median of 3.5% for 2026. Meeting the originally budgeted deficit of 3.1% in 2026 would have required significant overcompliance with the fiscal rule, implying negative real spending growth relative to the 3% cap on real spending growth. The authorities therefore have room within this cap to increase spending this year. The government complied with the fiscal rule in 2025, its first year in effect. However, it allowed for a higher deficit of 3.5%, up from 3.1% in 2024, as fiscal stimulus measures, namely higher capex, were introduced in response to slowing growth. External Funding Raised Before Oil Shock: The government accessed international capital markets in February, before the war in Iran, and issued USD2.75 billion at historically low spreads. However, Fitch does not rule out additional international issuance this year, as in last year's second international issuance in October, given its expectations of a wider fiscal deficit and especially if pressures emerge on international reserves. The government issued DOP100 billion in two local auctions in March, validating a rise in yields to 11.6% in the second auction. Weak Debt Affordability: The interest burden continues to weigh on the credit profile, in the context of a relatively low revenue base. The interest to revenue ratio rose to 21.9% in 2025 from 20.7% in 2024, the highest among 'BB' rating peers and twice as high as the BB median, with revenue to GDP falling to 15.8% from 16.4% (versus 'BB' median of 25%). In Fitch's view, a new fiscal reform that broadens the revenue base could be difficult to advance considering the war in Iran and given the fact that 2027 is a pre-electoral year. Government debt rose to 49.3% of GDP in 2025, still modestly below the 51.6% BB median, and Fitch expects it to rise to 51.1% by 2027. However, the foreign currency component of debt is 67% of the total, making it vulnerable to FX movements. The high average maturity of external debt (11.6 years) helps to mitigate risks. Net Energy Importer: The Dominican Republic is a relatively large net energy importer at around 4% of GDP in 2025. As a result of the global oil price shock, Fitch forecasts the current account deficit to rise to 2.9% of GDP from 1.2% in 2025, the strong starting point a reflection of higher gold prices as well as record tourist arrivals and stronger remittances inflows. However, this increase remains highly uncertain and depends on the duration of the conflict. For example, in 2022, due to the war in Ukraine and an annual average oil price of USD100/barrel, the current account deficit rose to 5.8% of GDP. However, net foreign direct investment (FDI) inflows have been robust in recent years, reaching a record USD5 billion in 2025, more than fully financing the current account deficit. Reserves, FX Broadly Stable: International reserves reached USD16.1 billion as of end of March 2026, up from USD14.7 billion at YE 2025 and remained broadly stable following an external issuance in February, covering 3.8 months of current external payments (CXP). Reserve levels tend to be a function of external issuance, while declining reserves have at times been the result of a policy choice to maintain a more stable exchange rate. The exchange rate has depreciated by 4% YTD through end March and 4% YoY, in line with historical depreciation. ESG - Governance: Dominican Republic has ESG Relevance Scores (RS) of '5'[+] for Political Stability and Rights and for the Rule of Law, Institutional and Regulatory Quality, and Control of Corruption. These scores reflect the high weight that the World Governance Indicator (WGI) have in its proprietary Sovereign Rating Model (SRM). Dominican Republic has a medium WGI ranking at the 55th percentile, reflecting a recent track record of peaceful political transitions, a moderate level of rights for participation in the political process, moderate institutional capacity and rule of law, and a fairly high degree of corruption. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Public Finances: A steepening of the debt trajectory over the medium term, for example, through the significant loosening of fiscal policy, sustained low growth, or higher financial losses of the public electric utilities; - External Finances: Sharp deterioration of the external liquidity position that increases external vulnerability. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Macro: A recovery in economic growth to higher levels in the context of broad macroeconomic stability and evidence of resilience to higher oil prices; - Public finances/Structural: Confidence in the authorities' ability to maintain moderate fiscal deficits and/or efforts to improve the revenue base. Sovereign Rating Model (SRM) and Qualitative Overlay (QO) Fitch's proprietary SRM assigns Dominican Republic a score equivalent to a rating of 'BB+' on the Long-Term Foreign-Currency IDR scale. Fitch's sovereign rating committee adjusted the output from the SRM to arrive at the final Long-Term Foreign Currency IDR by applying its Qualitative Overlay (QO), relative to SRM data and output, as follows: - Structural: -1 notch to reflect a potential inconsistency between improvements in governance indicators and the government's ability to enact key policy measures. - Public Finances: -1 notch to reflect structural fiscal vulnerabilities stemming from a relatively low tax take, budgetary rigidity and vulnerability posed by a heavily subsidized electricity sector, and contingent liabilities related to the large market debt and sizeable quasi-fiscal deficit of the central bank. Fitch's SRM is the agency's proprietary multiple regression rating model that employs 18 variables based on three-year centred averages, including one year of forecasts, to produce a score equivalent to a LT FC IDR. Fitch's QO is a forward-looking qualitative framework designed to allow for adjustment to the SRM output to assign the final rating, reflecting factors within its criteria that are not fully quantifiable and/or not fully reflected in the SRM. Debt Instruments: Key Rating Drivers Senior Unsecured Debt Equalized: The senior unsecured long-term debt ratings are equalized with the applicable long-term IDR, as Fitch assumes recoveries will be 'average' when the sovereign's long-term IDRs is 'BB-' and above. No Recovery Ratings are assigned at this rating level. Country Ceiling The Country Ceiling for the Dominican Republic is in line with the Long-Term Foreign Currency IDR. This reflects no material constraints and incentives, relative to the IDR, against capital or exchange controls being imposed that would prevent or significantly impede the private sector from converting local currency into foreign currency and transferring the proceeds to non-resident creditors to service debt payments. Fitch's Country Ceiling Model produced a starting point uplift of +1 notch above the IDR. Fitch's rating committee applied an offsetting -1 notch qualitative adjustment to this, under the Macro-Financial Stability Risks and Exchange Rate pillar. Membership in the CAFTA-DR trade agreement puts some limits on incentives for the use of transfer-and-convertibility restrictions, but this is balanced by a managed exchange-rate regime and fairly low international financial integration. Climate Vulnerability Signals The results of its Climate.VS screener did not indicate an elevated risk for Dominican Republic. ESG Considerations Dominican Republic has an ESG Relevance Score of '5'[+] for Political Stability and Rights as the WGIs have the highest weight in Fitch's SRM and are therefore highly relevant to the rating and a key rating driver with a high weight. As Dominican Republic has a percentile rank above 50 for the respective Governance Indicator, this has a positive impact on the credit profile. Dominican Republic has an ESG Relevance Score of '5'[+] for Rule of Law, Institutional & Regulatory Quality and Control of Corruption as the WGIs have the highest weight in Fitch's SRM and are therefore highly relevant to the rating and are a key rating driver with a high weight. As Dominican Republic has a percentile rank above 50 for the respective WGIs, this has a positive impact on the credit profile. Dominican Republic has an ESG Relevance Score of '4'[+] for Human Rights and Political Freedoms as the Voice and Accountability pillar of the WGIs is relevant to the rating and a rating driver. As Dominican Republic has a percentile rank above 50 for the respective WGI, this has a positive impact on the credit profile. Dominican Republic has an ESG Relevance Score of '4[+]' for Creditor Rights as willingness to service and repay debt is relevant to the rating and is a rating driver for Dominican Republic, as for all sovereigns. As Dominican Republic has track record of 20+ years without a restructuring of public debt as captured in its SRM variable, this has a positive impact on the credit profile. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Prior ----------- ------ ----- Dominican Republic LT IDR BB- Affirmed BB- ST IDR B Affirmed B LC LT IDR BB- Affirmed BB- LC ST IDR B Affirmed B Country Ceiling BB- Affirmed BB- senior unsecured LT BB- Affirmed BB- ============= J A M A I C A ============= LATAM: Caricom Calls for Response Plan to Middle East Conflict -------------------------------------------------------------- RJR News reports that Assistant Secretary-General of CARICOM, Dr. Wendell Samuel, has called for action to address the impact of the Middle East conflict on the Caribbean. Dr. Samuel said CARICOM has developed a draft response matrix to address fallout from the conflict which will be presented to regional Ministers of Agriculture for consideration, adoption and implementation, according to RJR News. He said the matrix links external shocks to policy responses and outlines measures for implementation, the report notes. Dr. Samuel said priority areas include coordination in procurement, logistics and reserves, investment in energy and food systems, policy alignment and the strengthening of regional institutions, the report relays. Dr. Samuel said with the region depending on imports of food, fuel, fertilisers and shipping services, exposure can transfer external developments into domestic economic conditions, the report notes. He said inflation, food access and fiscal stability are current policy concerns, the report discloses. =============== P A R A G U A Y =============== FRIGORIFICO CONCEPCION: Fitch Lowers Long-Term IDR to 'CCC' ----------------------------------------------------------- Fitch Ratings has downgraded Frigorifico Concepcion S.A.'s (FriCon) Long-Term Local and Foreign Currency Issuer Default Ratings (IDRs) to 'CCC' from 'B'. Fitch has also downgraded Fricon's senior unsecured bonds to 'CCC' with a Recovery Rating of 'RR4' from 'B'/'RR4'. The downgrade reflects FriCon's deteriorated financial flexibility and increasing refinancing risks amid more challenging market conditions in terms of funding and costs. The company has around USD210 million of debt to rollover until YE 2026, a limited cash position, and is highly vulnerable to creditors' willingness to continue providing liquidity and working capital financing. Key Rating Drivers Limited Financial Flexibility: FriCon faces above-average refinancing risk, which increased over the last months. The company's secured bond matures in July 2028, but short-term debt must be rolled over with local banks in Bolivia, Paraguay and Brazil. Although the conflict in the Middle East has a limited impact on FriCon's revenues, higher transportation and freight costs could reduce profitability and cash flows in the short to medium terms. Higher risk aversion and tighter financing conditions in the global debt markets also increase uncertainty around FriCon's ability to refinance a sizable amount of debt. Cash Flows Recovery is Limited: Fitch forecasts EBITDA of about USD230 million in 2025 and negative FCF of around USD70 million, reflecting cash consumption by interest paid, taxes, working capital needs and capex. Fitch projects EBITDA of USD210 million in 2026. Positive FCF would depend on maintenance of adequate operational margins reduction of capex to maintenance levels (about USD15 million per year), and improvement of working capital , which seems challenging given the current macro environment. Neutral Outlook for LatAm Protein: Latin American beef producers are likely to benefit from exports driven by weaker local currencies and reduced supplies from other regions. Domestic consumption and local prices are not expected to perform as well as exports, due to shifting consumer preferences towards cheaper protein types and cuts, such as poultry, pork, and eggs. Diversification Strategy: FriCon has operations in Paraguay, Brazil, and Bolivia, representing around 30%, 55%, and 15% of its revenue, respectively. Its operations in the beef and pork segments represent around 92% and 8% of its revenue, respectively. Diversification is an important driver for reducing long-term risk in the cyclical protein industry. Currently, 50% of its revenue comes from exports, mainly to Asia, and the other 50% from domestic sales, mainly in Brazil. Increasing export authorizations for their plants to additional markets is a key strategy for protein producers. Beef Sector Inherent Risks: Like other issuers operating in its sector and region, FriCon is exposed to sanitary, environmental, deforestation and import/export restriction risks and quotas. The Latin American beef sector, particularly in Brazil, remains under scrutiny from investors and regulators due to concerns over Amazon deforestation, cattle traceability, and carbon emissions. Diversifying operations across different countries and several plants reduces but does not eliminate these risks. Peer Analysis FriCon's 'CCC' rating reflects the company's limited financial flexibility in the form of heightened refinancing risk and severe liquidity pressure, amid challenges related to optimizing working capital dynamics and CFO. Fitch’s Key Rating-Case Assumptions - Revenues of around USD1.9 billion in 2025 and in 2026; - Capex of about USD15 million in 2026 and 2027; - No dividends for the next couple of years. Corporate Rating Tool Inputs and Scores Fitch scored the issuer as follows, using its Corporate Rating Tool (CRT) to produce the Standalone Credit Profile (SCP): - Business and financial profile factors (assessment, relative importance): Management (bb-, Moderate), Sector Characteristics (bb+, Lower), Market and Competitive Positioning (b+, Moderate), Diversification and Asset Quality (bb, Moderate), Company Operational Characteristics (bb-, Moderate), Profitability (ccc+, Moderate), Financial Structure (ccc+, Moderate), and Financial Flexibility (ccc, Higher). - The quantitative financial subfactors are based on standard CRT financial period parameters: 20% weight for the latest historical year 2024, 40% for the forecast year 2025 and 40% for the forecast year 2026. - B+ to CC considerations apply in its analysis and result in an adjustment of -1 notch(es). - The Governance assessment of 'Some Deficiencies' results in no adjustment. - The Operating Environment assessment of 'bb+' results in no adjustment. - The SCP is 'ccc'. To derive the IDR: Fitch made no adjustments to the SCP, resulting in a Local and Foreign Currency IDR of 'CCC'. Recovery Analysis The recovery analysis assumes that FriCon would be reorganized as a going-concern (GC) in bankruptcy rather than be liquidated. Fitch has assumed a 10% administrative claim. The GC EBITDA is about USD100 million. An EV multiple of 5x EBITDA is applied to the GC EBITDA to calculate a post-reorganization EV. Fitch uses a multiple of 5x that reflects the sector dynamics and the company's business profile as mid-sized company with strong growth prospect and good operating margin. The above assumption results in a recovery rate assumption within the 'RR1' range for the senior secured debt. Due to the 'RR4' cap for Brazil's and Paraguay corporates, Fitch limits the recovery for the senior secured bond at 'RR4' despite a higher projected recovery. RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Inability to refinance short-term debt. - Persistent negative FCF, preventing financial position turnaround. Factors That Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - An upgrade is not anticipated in the short term. However, a liquidity event, such as an asset sale with proceeds used to reduce debt, along with improved cash flow generation of a magnitude that enhances the company's financial flexibility, could lead to a positive rating action. Liquidity and Debt Structure FriCon's liquidity is weak, reflecting low levels of cash and cash equivalents relative to short-term debt. FriCon's financial flexibility depends on local bank credit lines to refinance short-term debt, which must be rolled over every year. As of September 2025 (latest public information available), cash on hand was USD60 million, and short-term debt totaled USD245 million. Out of this amount, USD72 million corresponded to long-term debt amortizations. Total debt was USD841 million, comprised of USD284 million secured notes due in 2028, local notes and bank debt. Issuer Profile Frigorifico Concepcion S.A. is a family-owned entity founded in 1997 and is based in Concepcion, Paraguay. The company operates as a meatpacker in Paraguay, Bolivia, and Brazil. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Sector Forecasts Monitor data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. Climate Vulnerability Signals The results of its Climate.VS screener did not indicate an elevated risk for Frigorifico Concepcion S.A. ESG Considerations Frigorifico Concepcion S.A. has an ESG Relevance Score of '4' for Waste & Hazardous Materials Management; Ecological Impacts resulting from land use and supply chain management, as the company is exposed to cattle sourcing and must monitor direct and indirect suppliers in South America, and it is also exposed to export bans on the beef sector, which has a negative impact on the credit profile, and is relevant to the rating[s] in conjunction with other factors. Frigorifico Concepcion S.A. has an ESG Relevance Score of '4' for Governance Structure due to ownership concentration. The shareholder's strong influence on management could result in decision making that is detrimental to the company's creditors, which has a negative impact on the credit profile, and is relevant to the rating[s] in conjunction with other factors. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- Frigorifico Concepcion S.A. LT IDR CCC Downgrade B LC LT IDR CCC Downgrade B senior secured LT CCC Downgrade RR4 B ********* 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. 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