This report supplements our research update "State of Minas Gerais Global Scale 'BB-' And National Scale 'brA' Ratings Affirmed, Outlook Remains Negative," published on April 8, 2016. To provide the most current information, we may cite more recent data than that stated in the previous publication. These differences have been determined not to be sufficiently significant to affect the rating and our main conclusions. The ratings on Minas Gerais reflect its satisfactory financial management, moderate contingent liabilities, average budgetary flexibility, and weak economy. We expect the state's budgetary performance to remain weak in 2016 and 2017, compared with our view of it as strong in 2014. The state's high debt and weak liquidity constrain its ratings. The Feb. 17, 2016,
