260507.mbx

260507.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 Thursday, May 7, 2026, Vol. 27, No. 91 Headlines A R G E N T I N A ARGENTINA: Fitch Hikes Long-Term IDR to 'B-', Outlook Stable ARGENTINA: IDB OKs USD100MM Loan to Modernize Tax Administration ARGENTINA: Unions Rally in Buenos Aires Ahead of Labour Day B R A Z I L ENERGISA S.A: Fitch Lowers Long-Term IDR to 'BB', Outlook Stable NEW FORTRESS: BlackRock, Inc. Holds 4% Equity Stake J A M A I C A JAMAICA: BOJ Provides $1BB in Liquidity Support to DTIs M E X I C O BANCO NACIONAL DE COMERCIO: S&P Rates New Tier 2 Sub Notes 'BB+' P A N A M A EMPRESA DE TRANSMISION: S&P Rates $500MM Sr. Unsecured Bond 'BB-' P U E R T O R I C O INSTITUTO MEDICO: Case Summary & 20 Largest Unsecured Creditors PROTHODONTICS AND DENTAL: Court Directs U.S. Trustee to Appoint PCO - - - - - ================= A R G E N T I N A ================= ARGENTINA: Fitch Hikes Long-Term IDR to 'B-', Outlook Stable ------------------------------------------------------------ Fitch Ratings has upgraded Argentina's Long-Term Foreign Currency and Local Currency Issuer Default Rating (IDR) to 'B-' from 'CCC+'. The rating Outlook is Stable. Argentina's rating reflects structurally improved fiscal and external balances, progress on economic reforms, improved prospects for FX reserve accumulation, and its expectation that the government will secure adequate financing to cover debt obligations. The rating is constrained by an international liquidity position that remains weak to manage potential confidence shocks, to which Argentina has been particularly vulnerable, as well as high inflation and a record of macroeconomic instability. Key Rating Drivers Reform Agenda Advances: President Javier Milei emerged from the October 2025 midterm elections with a stronger popular mandate and congressional base of support to advance his reform agenda. The administration has achieved important legislative victories including labor reform, reforms to the National Glacier Law that ease environmental restrictions on mining, and a 2026 budget that preserves a strong fiscal anchor. A deregulation drive and efforts to attract private investment in key energy and mining sectors are also important policy priorities. Stronger External Position: Argentina's external position has improved structurally as the country has emerged as a net energy exporter, bolstering its resilience to the current global energy price shock. Fitch expects the current account deficit to narrow marginally this year to 1% of GDP (below 3.7% deficit for the B median) as exports continue to rise, but a strong exchange rate increases import demand and outbound tourism. However, the positive terms-of-trade shock could strengthen the current account further. The Q1 trade surplus hit a record of USD5.5 billion, up from USD1.1 billion a year prior. A robust pipeline of energy and mining projects anchored by the RIGI regime should support foreign direct investment inflows over the medium term. Corporate and provincial external debt issuance have supported portfolio inflows. USD Purchases Begin: In a post-election policy shift, the government has sought to prioritize reserve accumulation, targeting at least USD10billion to USD17 billion in FX purchases this year. This helped secure IMF staff-level agreement on the Extended Fund Facility (EFF) program's second review. Dollar purchases totaled USD7.1 billion through April, and the pace should strengthen in coming months as the soy harvest progresses. Gross reserves have risen by less, given offsetting debt service, but Fitch expects them to rise to USD52.7 billion by year end. Net international reserves remain low when accounting for short-term FX liabilities (repos, reserve requirements, the currency swap line with the People's Bank of China, etc.), although Fitch expects them to rise by USD8 billion this year, in line with the new EFF target. Fiscal Anchor Intact: A balanced budget remains the key fiscal policy anchor, which is a significant break from the past. Weakness in economic activity and tax revenues in 1Q26 provide a more challenging backdrop for the fiscal position this year, although the authorities' strong commitment to this policy anchor makes it likely that they will take efforts needed to avoid significant deterioration. Fitch expects the central government primary surplus to narrow to 1.1% of GDP from 1.4% in 2025, and the overall fiscal balance to weaken to a 0.3% deficit from a 0.2% surplus. Argentina's general government deficit is forecast to be among the best in the 'B' category. New Financing Strategy Takes Shape: The government recently announced a financing package through which it expects to cover upcoming foreign currency bond maturities and support additional reserve accumulation. This includes multilateral guarantees of at least USD2.5 billion to backstop a larger operation with the private sector, at least USD4 billion in issuance of USD-denominated local bonds, and USD2 billion in privatization proceeds. The government has thus far opted to forgo tapping external markets, avoiding the higher borrowing costs this would entail but limiting its ability to build a larger liquidity cushion for the coming election year. Debt Maturities Remain Sizable: Foreign currency debt service has stepped up and will rise further in 2027 ahead of elections. The government paid half of the USD8.8 billion in foreign currency bond payments (principal plus interest) due in 2026 in January and must pay the other half in July. This total rises to USD9.8 billion in 2027. Payments on BCRA BOPREAL securities total USD2.3 billion in 2026 and USD5.2 billion in 2027. Repos with commercial banks will expire in 2027 and should be rolled over, though this is not assured in a shock scenario. Fitch expects repayments to other multilaterals to be covered by new disbursements. Disinflation Faces Resistance: Inflation fell to a low of 1.5% month over month in May 2025 but rose to 3.4% in March 2026, driven by lagged pass-through from 2025 exchange-rate depreciation, utility price adjustments, higher beef prices, and the global energy price spike. Inertia is also hindering the final phase of disinflation, as seen in economic stabilization programs in other countries. Fitch expects inflation to fall to below 2% month over month by year end. Growth Unevenly Distributed: Growth has been concentrated in extractive sectors (mining, oil and gas), agriculture, and financial intermediation. Labor-intensive sectors such as construction and manufacturing have been stagnant or contracting, entailing formal job losses and impacting consumer confidence. Economic activity was stagnant in 1Q, but Fitch expects it to regain dynamism going forward. Lower and more stable interest rates should support a recovery in credit, while lower monthly inflation should support a recovery in real incomes. Public works concessions could also gain traction. Fitch expects the economy to grow 3.2% in 2026, down from 4.4% in 2025 but marking the first two years of consecutive growth since 2011 (excluding the post-pandemic recovery). Election Risks: Argentina will hold presidential and legislative elections in October 2027. The opposition thus far remains weak and fractured. However, sluggish economic growth and stubborn inflation are affecting the administration's popularity. Financial markets remain sensitive to such political developments, as seen before last year's midterms, and Argentina remains vulnerable to a confidence shock, especially if election race portends a significant policy departure from current settings. ESG - Governance: Argentina has an ESG Relevance Score (RS) of '5' for both 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 Bank Governance Indicators (WBGI) have in its proprietary Sovereign Rating Model (SRM). Argentina has a medium WBGI ranking at the 43rd percentile, reflecting a recent record of peaceful political transitions, moderate scores for institutional capacity rule of law and control of corruption, and a favorable score for participation in the political process. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - External Finances/Public Finances: Erosion in international reserves and/or deterioration in government financing conditions due, for example, to a confidence shock; - Macro: Policy setbacks or political shocks that undermine macroeconomic stability. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - External Finances: Sustained buildup in international reserves and/or greater diversification of financing sources; - Macro: Progress on disinflation and greater macroeconomic stability. Sovereign Rating Model (SRM) and Qualitative Overlay (QO) Fitch's proprietary SRM assigns Argentina a score equivalent to a rating of 'B+' 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: Macro: -1 to reflect a historical record of highly erratic macroeconomic performance and heterodox policies that have undermined macroeconomic stability that are not fully captured in the model. External Finances: -1 to reflect still low level of international reserves, particularly net of the China currency swap, bank reserve requirements and short-term liabilities, and vulnerability to shocks. Fitch's SRM is the agency's proprietary multiple regression rating model that employs 18 variables based on three-year centered averages, including one year of forecasts, to produce a score equivalent to a Long-Term Foreign Currency 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 Fitch does not currently rate any debt instruments for this sovereign. Country Ceiling The Country Ceiling for Argentina is 'B-', in line with the Long-Term Foreign Currency IDR. This reflects no material constraints and incentives, relative to the IDR, against capital or exchange rate 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 zero notches. Fitch's rating committee did not apply a qualitative adjustment to the model result. Climate Vulnerability Signals The results of its Climate.VS screener did not indicate an elevated risk for Argentina. ESG Considerations Argentina has an ESG Relevance Score of '5' for Political Stability and Rights as WBGIs 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 Argentina has a percentile rank below 50 for the respective Governance Indicator, this has a negative impact on the credit profile. Argentina has an ESG Relevance Score of '5' for Rule of Law, Institutional & Regulatory Quality and Control of Corruption as WBGIs 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 Argentina has a percentile rank below 50 for the respective Governance Indicators, this has a negative impact on the credit profile. Argentina has an ESG Relevance Score of '4'[+] for Human Rights and Political Freedoms as the Voice and Accountability pillar of the WBGIs is relevant to the rating and a rating driver. As Argentina has a percentile rank above 50 for the respective Governance Indicator, this has a positive impact on the credit profile. Argentina 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 Argentina, as for all sovereigns. As Argentina has a fairly recent restructuring of public debt in 2020, this has a negative 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 ----------- ------ ----- Argentina LT IDR B- Upgrade CCC+ ST IDR B Upgrade C LC LT IDR B- Upgrade CCC+ LC ST IDR B Upgrade C Country Ceiling B- Affirmed B- ARGENTINA: IDB OKs USD100MM Loan to Modernize Tax Administration ---------------------------------------------------------------- The Board of Executive Directors of the Inter-American Development Bank (IDB) has approved $100 million in financing to improve governance and institutional capacity at the Tax Collection and Customs Control Agency (ARCA, its Spanish acronym) and to strengthen tax revenue administration. The project finances a comprehensive transformation — both functional and digital — based on four pillars: -- Improving ARCA's management and institutional capacity through the redesign of tax processes, optimization of human resources management, and enhanced coordination with other government agencies. -- Strengthening taxpayer services by improving citizen engagement processes, including registration, filings, inquiries, and complaints, among others. -- Implementing a comprehensive risk management system to enable data-driven tax control, segmented risk profiling, and greater transparency in audit processes. -- Digitally modernizing ARCA, including a new data management model, upgrades to its technological infrastructure, and the development of its cybersecurity system, among other advances. The program will help reduce the value-added tax (VAT) compliance gap and tax compliance costs through the digitalization and automation of systems, as well as the adaptation of regulations, processes, and functions. It will also promote greater accessibility to tax services, by focusing on digital inclusion and meeting the needs of different taxpayer profiles. Approximately 19,000 ARCA staff will benefit from access to training and more efficient processes, and 6.8 million taxpayers and private sector actors will directly benefit from improved services and a more transparent tax administration. The $100 million IDB financing has a 25-year maturity, a 5.5-year grace period, and an interest rate based on SOFR. The project will be implemented in coordination with a results-based loan from the World Bank. This loan is the first operation under a new Conditional Credit Line for Investment Projects (CCLIP) of up to $600 million, aimed at strengthening the effectiveness, efficiency, and transparency of public revenue management in the country. 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. S&P Global Ratings on Dec. 17, 2025, raised its local currency sovereign credit ratings on Argentina to 'CCC+/C' from 'SD/SD'. S&P also raised its long-term foreign currency sovereign credit rating to 'CCC+' from 'CCC' and affirmed its 'C' short-term foreign currency rating. The outlook on the long-term ratings is stable. In addition, S&P raised its issue ratings on local currency bonds to 'CCC+' from 'CCC'. S&P's 'B-' transfer and convertibility assessment is unchanged. 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. Fitch Ratings, on May 12, 2025, upgraded Argentina's Long-Term Foreign-Currency and Local-Currency Issuer Default Rating (IDR) to 'CCC+' from 'CCC'. DBRS, Inc. upgraded Argentina's Long-Term Foreign and Local Currency Issuer Ratings to B (low) from CCC in November 2024. ARGENTINA: Unions Rally in Buenos Aires Ahead of Labour Day ----------------------------------------------------------- AFP reports that several thousand people, summoned by Argentina's main trade union federation, marched in Buenos Aires on the eve of May Day, protesting against the labour reform promoted by Javier Milei's government. The Confederacion General del Trabajo (General Confederation of Labour, or CGT) organised the demonstration that focused on the central Plaza de Mayo in the capital, according to AFP. The protest was marked by opposition to President Javier Milei's government and its recently approved Labour Modernisation Law, the report notes. Approved in February, the legislation reduces redundancy payments, extends the working day to up to 12 hours without overtime pay, allows payment in kind and limits the right to strike, among other measures, the report relates. The report discloses that Oscar Marín, a 60-year-old refuse collection worker, said that under the law "workers' rights, as they previously stood, have effectively been abolished." Since Milei took office in December 2023, more than 22,000 businesses have closed and around 300,000 jobs have been lost, partly due to falling consumption caused by declining purchasing power, and partly due to increased imports, the report says. Inflation, which Milei has sharply reduced since taking office, has been rising slowly for 11 consecutive months, the report relays. "This is a government that effectively carries the word 'destruction' as its banner," said Jorge Sola, a CGT leader, speaking from a stage at the Plaza de Mayo. Milei maintains that the labour reform will boost employment, private investment, and formal work in a country where 43 percent of employment is informal, 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. S&P Global Ratings on Dec. 17, 2025, raised its local currency sovereign credit ratings on Argentina to 'CCC+/C' from 'SD/SD'. S&P also raised its long-term foreign currency sovereign credit rating to 'CCC+' from 'CCC' and affirmed its 'C' short-term foreign currency rating. The outlook on the long-term ratings is stable. In addition, S&P raised its issue ratings on local currency bonds to 'CCC+' from 'CCC'. S&P's 'B-' transfer and convertibility assessment is unchanged. 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. Fitch Ratings, on May 12, 2025, upgraded Argentina's Long-Term Foreign-Currency and Local-Currency Issuer Default Rating (IDR) to 'CCC+' from 'CCC'. 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 =========== ENERGISA S.A: Fitch Lowers Long-Term IDR to 'BB', Outlook Stable ---------------------------------------------------------------- Fitch Ratings has downgraded Energisa S.A.'s Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) to 'BB' from 'BB+', and Long-Term National Scale Rating and senior unsecured debenture issuances to 'AA+(bra)' from 'AAA(bra)'. Fitch has also downgraded the ratings of Energisa's 13 rated subsidiaries to 'AA+(bra)' from 'AAA(bra)'. The Rating Outlook is Stable. Energisa's downgrade reflects the deterioration of leverage ratios beyond levels consistent with the prior rating. Fitch expects them remain at these elevated levels through 2029. The rating also incorporates pressured cash flow generation, driven by Energisa's capex plans and high interest expenses on its debt consuming half of its EBITDA. The equalization of Energisa and its subsidiaries' ratings mainly reflects the holding company's high legal incentives to provide support if needed. Key Rating Drivers Elevated Leverage: Energisa's downgrade reflects the deterioration of leverage ratios beyond levels consistent with the prior rating. Fitch expects them to remain elevated through 2029. Fitch also expects the group's adjusted net debt/EBITDA to remain in the 3.5x-4.0x range in 2026-2029, with adjusted gross and net leverage projected at 5.0x and 3.9x in 2026 and 4.7x and 3.9x in 2027, respectively. This compares with 5.6x and 4.3x in 2025. Over time, efficiency gains, positive tariff adjustments in the distribution concessions, and greater contributions from assets in other segments should support a gradual improvement in credit metrics, although not to levels commensurate with the prior rating in the medium term. Negative FCF Through 2029: Fitch expects Energisa's cash flow generation to remain pressured through 2029, driven by its sizable investment plan and ongoing dividend distributions. Fitch forecasts consolidated FCF to remain negative in the coming years, supported by capex of BRL17.8 billion in 2026-2028 and a dividend payout ratio of 50% of net income. Fitch expects consolidated EBITDA and cash flow from operations in 2026 of BRL9.4 billion and BRL5.5 billion, respectively. Interest expenses of BRL4.3 billion will weigh on cash flow from operations. Fitch expects negative FCF of BRL1.8 billion after BRL6.2 billion of investments and BRL1.1 billion of dividends. Fitch expects consolidated FCF to remain negative at around BRL2.5 billion in 2027 and BRL1.5 billion in 2028. Diversified Regulated Portfolio: Energisa's credit profile benefits from a diversified portfolio of regulated electricity and gas concessions in Brazil, which moderates operating and regulatory risk and supports predictable operating cash flow. Fitch expects power distribution to remain Energisa's core business, accounting for about 85% of EBITDA through 2029, supported by nine distributors across four regions of Brazil and tariff mechanisms that allow the pass-through of energy costs. Fitch considers renewal of three distribution concessions maturing in 2027 highly likely. The group's transmission and gas distribution operations contribute to diversification and revenue predictability. Efficient Distribution Operations: Energisa's distributors demonstrate efficient operating performance and a track record of consumption growth above the national average. In 2025, the group's billed volume increased 1.4%, compared with the national average increase of 0.2%. Fitch expects combined EBITDA from this segment to reach BRL8.0 billion in 2026 and BRL8.6 billion in 2027, up from BRL7.6 billion in 2025, compared with regulatory EBITDA of BRL4.9 billion. Fitch's base case assumes average energy consumption growth of 3.6% in Energisa's concession areas from 2026 to 2029. Subsidiaries' Ratings Equalized: Fitch equalizes the IDRs of Energisa Paraíba, Energisa Sergipe, and Energisa Minas Rio, as well as the National Scale Ratings of the 13 rated subsidiaries, with Energisa's ratings. This mainly reflects the strong legal incentives for the holding company to support them in a stress scenario. Energisa consolidates these subsidiaries and guarantees a significant portion of their debt. In addition, some of the group's debt instruments contain cross-default clauses. Fitch also views these subsidiaries as core to Energisa's business and centrally managed. Peer Analysis Energisa's financial profile is more aggressive than Latin America peers, such as Enel Americas S.A. (BBB+/Stable), Enel Chile S.A. (BBB+/Stable), Empresas Publicas de Medellin E.S.P. (EPM; BB/Stable), and Grupo Energia Bogota S.A. E.S.P. (GEB; BBB-/Stable). Energisa's IDRs also reflect its geographic concentration in Brazil, compared with other its peers operating in higher rated countries in the region, such as Chile (A-/Stable), or with in different countries in Latam. Compared with other Brazilian power companies with operations predominantly in the distribution segment, Energisa operates in concession areas with economic growth above the national average and with a strong agribusiness activity. Energisa's business profile is worse than Companhia Energetica de Minas Gerais (Cemig; BB/Stable), which has a higher business diversification with more presence in the energy generation segment. Nevertheless, Cemig faces uncertainty related to the renewal of its two largest hydroelectric plants concessions, which expire in 2027 and account for about 50% of the group commercial capacity, or around 15% of consolidated EBITDA, justifying the IDR equalization with Energisa. Unlike the distribution segment, concessions on the generation segment typically return to the federal government after their expiration. Fitch’s Key Rating-Case Assumptions - Average growth in energy consumption in Energisa's concession areas of 3.6% from 2026 to 2029; - Dividend distributions equivalent to 50% of net income; - Average annual investments of BRL6.1 billion from 2026 to 2029; - Transmission lines concluded according to the company's schedule; - No asset sales or new acquisitions. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Total debt-to-EBITDA ratio above 5.0x on a recurring basis; - Net debt-to-EBITDA ratio above 4.0x on a recurring basis; - CFO consistently below BRL5.0 billion; - Deterioration of the EBITDA-to-interest coverage ratio; - Deterioration in the liquidity profile at the holding or the consolidated level; - New projects or acquisitions involving significant amounts of debt. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Total debt-to-EBITDA ratio below 4.5x on a recurring basis; - Net debt-to-EBITDA ratio below 3.5x on a recurring basis; - Improved sustainable EBITDA-to-interest expense above 3.0x; - Improved CFO - Capex ratio, neutral to positive on a sustained basis. Liquidity and Debt Structure The group held BRL10.4 billion in cash as of YE 2025, compared with BRL6.6 billion in short-term debt, equivalent to 1.6x coverage. Total adjusted debt was BRL45.8 billion, composed mainly of BRL28.5 billion in debentures and BRL5.9 billion in debt related to Resolution 4,131. Under Fitch's methodology, the BRL958 million balance of preferred shares issued by subholding Energisa Participações Nordeste S.A. is also treated as debt. The holding company received BRL1.9 billion in dividends from its operating subsidiaries in 2025, compared with BRL1.8 billion in 2024. Fitch projects average annual dividends received of BRL2.1 billion from 2026 to 2029. At the holding company level, cash and equivalents totaled BRL3.4 billion, compared with BRL1.5 billion in short-term debt, while total debt was BRL12.7 billion. Issuer Profile Energisa is a non-operating holding company in Brazil's electric energy sector. It mainly owns nine energy distribution concessionaires serving 9.0 million customers, making it Brazil's fifth largest. The group also operates in power transmission and generation, and natural gas distribution. Summary of Financial Adjustments Net revenues and EBITDA net of construction revenues and cost. 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. ESG Considerations 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 ----------- ------ -------- ----- Energisa Mato Grosso - Distribuidora de Energia S.A. Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) senior secured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Sergipe – Distribuidora de Energia S/A LT IDR BB Downgrade BB+ LC LT IDR BB Downgrade BB+ Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Mato Grosso do Sul - Distribuidora de Energia S.A. Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Linhas de Xingu Transmissora de Energia S.A. junior subordinated Natl LT AA+(bra) Downgrade AAA(bra) Energisa Paraiba – Distribuidora de Energia S/A LT IDR BB Downgrade BB+ LC LT IDR BB Downgrade BB+ Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Linhas de Taubate Transmissora de Energia S.A. senior secured Natl LT AA+(bra) Downgrade AAA(bra) Alsol Energias Renovaveis S.A. Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Minas Rio – Distribuidora de Energia S.A. LT IDR BB Downgrade BB+ LC LT IDR BB Downgrade BB+ Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Acre – Distribuidora de Energia S.A. Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) senior secured Natl LT AA+(bra) Downgrade AAA(bra) Energisa S.A. LT IDR BB Downgrade BB+ LC LT IDR BB Downgrade BB+ Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Rondonia Distribuidora de Energia S.A. Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Sul Sudeste - Distribuidora de Energia S/A Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Tocantins – Distribuidora de Energia S/A Natl LT AA+(bra) Downgrade AAA(bra) senior unsecured Natl LT AA+(bra) Downgrade AAA(bra) senior secured Natl LT AA+(bra) Downgrade AAA(bra) Energisa Transmissao de Energia S.A. Natl LT AA+(bra) Downgrade AAA(bra) NEW FORTRESS: BlackRock, Inc. Holds 4% Equity Stake --------------------------------------------------- BlackRock, Inc. disclosed in a Schedule 13 (Amendment No. 2) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, it beneficially owns 11,509,060 shares of New Fortress Energy Inc.'s Class A Stock, representing 4.0% of the class. The Schedule 13G reflects the securities beneficially owned, or deemed to be beneficially owned, by certain business units (collectively, the "Reporting Business Units") of BlackRock, Inc. and its subsidiaries and affiliates, and does not include securities, if any, beneficially owned by other business units whose beneficial ownership of securities are disaggregated from that of the Reporting Business Units in accordance with SEC Release No. 34-39538 (January 12, 1998). Various persons have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of the common stock of New Fortress Energy Inc., though no one person's interest is more than five percent of the total outstanding common shares. BlackRock, Inc. may be reached through: Spencer Fleming, Managing Director 50 Hudson Yards New York, NY 10001 Phone: (212) 810-5800 A full-text copy of BlackRock, Inc.'s SEC report is available at: https://tinyurl.com/4ezdhysh 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 Company 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. ============= J A M A I C A ============= JAMAICA: BOJ Provides $1BB in Liquidity Support to DTIs ------------------------------------------------------- RJR News reports that the Bank of Jamaica said it injected a billion dollars in liquidity support to deposit-taking institutions (DTIs), including commercial banks, merchant banks, and building societies. The funds are provided at an interest rate of just under 6% as part of the bank's role as lender of last resorts to the financial system, according to RJR News. The central bank says its total advances to these institutions have now increased to about $5 billion, the report notes. It adds that the move is aimed at supporting short-term cash needs within the financial sector and maintaining overall stability in the banking system, the report adds. About Jamaica Jamaica is an island country situated in the Caribbean Sea. Jamaica is an upper-middle income country with an economy heavily dependent on tourism. Other major sectors of the Jamaican economy include agriculture, mining, manufacturing, petroleum refining, financial and insurance services. On Feb. 21, 2025, Fitch Ratings affirmed Jamaica's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-', with a positive rating outlook. In October 2023, Moody's upgraded the Government of Jamaica's long-term issuer and senior unsecured ratings to B1 from B2, and senior unsecured shelf rating to (P)B1 from (P)B2. The outlook has been changed to positive from stable. In September 2024, S&P affirmed 'BB-/B' longterm foreign and local currency sovereign credit ratings on Jamaica and revised outlook to positive. =========== M E X I C O =========== BANCO NACIONAL DE COMERCIO: S&P Rates New Tier 2 Sub Notes 'BB+' ---------------------------------------------------------------- S&P Global Ratings assigned its 'BB+' long-term issue-level rating to Banco Nacional de Comercio Exterior S.N.C.'s (BBB/Stable/A-2) proposed Tier 2 subordinated notes. The issuance has a 10-year maturity (non-call 5) and is fixed-to-fixed. The rating on these hybrid notes is subject to its review of the final amount and documentation. Banco Nacional de Comercio Exterior (Bancomext) will use the proceeds from the offering to refinance its existing subordinated notes and for general corporate purposes. The notes could support Bancomext's business strategy and credit growth while the issuer maintains a diversified funding mix. S&P said, "Our 'BB+' rating on the proposed notes is two notches below our 'BBB' long-term issuer credit rating on Bancomext. We use the issuer credit rating as starting point because, in our view, the government-related entity would benefit from an almost certain likelihood of government support, if needed, as would the proposed instrument." S&P then deducts: -- One notch because the notes are contractually subordinated to other senior debt, and -- Another notch to reflect the notes' coupon deferral feature under a suspension period. According to the regulatory framework for banks in Mexico, a subordinated issuance must include a capital conversion clause to be considered Tier 2 capital for solvency levels. However, the regulator approved an exception in this case and waived this clause while maintaining the regulatory classification, allowing the issuance to contribute to Bancomext's solvency metrics. This is because, as a GRE and in accordance with the bank's organic law, the Mexican government would provide support for all of the bank's obligations if necessary. S&P said, "We assign minimal equity content to these notes because they don't have characteristics of going-concern contingent capital or a write-down clause. Therefore, we don't consider the instrument as loss-absorbing capital under our criteria, nor do we include it in our calculation of the bank's total adjusted capital. "We maintain our forecast for the bank's consolidated risk-adjusted capital ratio to be about 7.5% for the next 24 months, and our capital and earnings assessment is unchanged. The proposed notes also don't affect our view of Bancomext's funding and liquidity because, according to our calculation, the notes would make up around 3.0% of the bank's total funding base and won't significantly modify the funding mix. "In our opinion, the explicit guarantee that the government provides to Bancomext's financial obligations, including the proposed issuance, allows the GRE to access domestic and international debt capital markets with lower funding costs and grants the bank greater financial flexibility than private banks in the country. As a result, we align our local and foreign currency ratings on the bank with the sovereign ratings on Mexico (foreign currency: BBB/Stable/A-2; local currency: BBB+/Stable/A-2)." =========== P A N A M A =========== EMPRESA DE TRANSMISION: S&P Rates $500MM Sr. Unsecured Bond 'BB-' ----------------------------------------------------------------- S&P Global Ratings assigned its 'BB-' long-term issuer credit rating to Empresa de Transmision Electrica S.A. (ETESA) and its 'BB-' issue-level rating to the company's $500 million senior unsecured bond. S&P said, "The stable outlook reflects our expectation that ETESA will generate consistent and predictable EBITDA for the next two years thanks to its regulated rate structure and its essential role in Panama's electricity transmission infrastructure. We anticipate this will allow the company to comfortably cover operating expenses and planned capital expenditure (capex), while maintaining EBITDA interest coverage between 2x and 3x. "We believe there is a high likelihood that the government of Panama will provide extraordinary financial support to its wholly-owned electricity transmission company, Empresa de Transmision Electrica S.A. (ETESA), given the economic importance of its public service and the degree of the sovereign's involvement in the company's strategic decisions. "We consider that there's a high likelihood of extraordinary support from the government if the company faces financial distress. We believe ETESA plays a critical role for the Panamanian government because it's the only company allowed to own, operate, and develop the country's transmission network. In addition, we believe there's a strong degree of supervision and involvement from the government in the company's commercial, operating, and financial strategy. In our view, the likelihood of government support is a key rating driver for the company. Since ETESA started operating, the government has consistently supported the entity through equity injections, subsidies and compensations, and rate adjustments. "Despite ETESA's high predictable operating cash flow, sizable investments will impact the leverage metrics in the next 12 to 24 months. We expect the company's capex of about $135 million in 2026 and $120 million for 2027, mainly for the expansion of its 550 kV, 330-kilometer transmission line. We expect these investments will be covered by internally generated cash, working capital lines, and revolving issuances in the local market. Therefore, we project the company to maintain highly leveraged metrics, with debt to EBITDA likely to remain at about 7x and funds from operations (FFO) to debt about 10%. "ETESA's rate scheme is designed to ensure that it generates the necessary returns to guarantee its financial sustainability. The rates, which the regulator sets, must cover operating and maintenance costs, administration, and depreciation incurred from managing the national transmission network. Revenue is not subject to volume risk and depends on the availability of ETESA's assets, the output from which generation and distribution companies pay. If the latter fails to pay ETESA, the rest of the market players cover the payment obligation. Starting in mid-2025, the transmission rates permit a return on net assets of 9.46%. Therefore, we expect ETESA's revenue of $160 million - $170 million in the next 12 to 24 months. "The stable outlook reflects our expectation that ETESA will generate consistent and predictable EBITDA for the next two years thanks to its regulated rate structure and its essential role in Panama's electricity transmission infrastructure. We forecast this will allow the company to comfortably cover operating expenses and planned capex, while maintaining EBITDA interest coverage between 2x and 3x. The stable outlook also reflects our view of the company's status as a critical component of Panama's national energy grid, coupled with the government's commitment to supporting essential infrastructure assets. "We could revise the outlook on ETESA to negative if we were to take similar a rating action on Panama. A downgrade could occur if ETESA's EBITDA falls short of our expectations or if its interest coverage falls below 2x, potentially stemming from a more aggressive financial strategy or a deterioration in liquidity. Furthermore, we would consider lowering the rating if ETESA's relationship with the government were to materially weaken. While the government has historically provided strong credit support and has expressed its intention to maintain this support, any significant deviation from this pattern may change our assessment. "Although unlikely, we could revise the outlook or raise the rating on the company to positive if we were to do the same on the sovereign, while all other factors remain unchanged." ===================== P U E R T O R I C O ===================== INSTITUTO MEDICO: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: Instituto Medico Del Norte Inc Hospital Wilma N. Vazquez Centro Medico Wilma N. Vazquez Skilled Nursing Facility Wilma N. Vazquez Carr 2 KM 39.5 Bo Algarrobo Vega Baja, PR 00693 Business Description: Instituto Medico del Norte Inc., operating as Centro Medico Wilma N. Vazquez, provides hospital and health-care services in Vega Baja, Puerto Rico. The company's Wilma N. Vazquez health system offers emergency care, skilled nursing, primary care, imaging, clinical laboratory, wound-care, pediatric and infusion services, serving adults, children and patients requiring acute, specialty or transitional medical care. Chapter 11 Petition Date: April 28, 2026 Court: United States Bankruptcy Court District of Puerto Rico Case No.: 26-01886 Judge: Hon. Mildred Caban Flores Debtor's Counsel: Jesus Enrique Batista Sanchez, Esq. THE BATISTA LAW GROUP, PSC 239 Ave Arterial Hostos, Suite 206 San Juan PR 00918-1475 Tel: (787) 620-2856 Email: jeb@batistasanchez.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Jose Orlando Pabon Quinones as president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/OJ2TFIA/INSTITUTO_MEDICO_DEL_NORTE_INC__prbke-26-01886__0001.0.pdf?mcid=tGE4TAMA PROTHODONTICS AND DENTAL: Court Directs U.S. Trustee to Appoint PCO ------------------------------------------------------------------- Judge Enrique Lamoutte of the U.S. Bankruptcy Court for the District of Puerto Rico directed the U.S. Trustee to appoint a patient care ombudsman for Prothodontics and Dental Implant Solutions PSC. The bankruptcy judge finds that the provisions of Section 333(a)(1) of the Bankruptcy Code for appointment of a patient care ombudsman apply to Prothodontics and Dental Implant after having filed its bankruptcy petition, indicating that it operates a health care business. About Prothodontics and Dental Implant Solutions Prothodontics and Dental Implant Solutions PSC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No. 26-01632) on April 13, 2026, with $500,001 to $1 million in assets and $1,000,001 to $10 million in liabilities. Maria Soledad Lozada Figueroa, Esq. at Lozada Law & Associates represents the Debtor as legal counsel. ********* 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 2026. All rights reserved. ISSN 1529-2746. 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