/raid1/www/Hosts/bankrupt/TCRLA_Public/080611.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
Wednesday, June 11, 2008, Vol. 9, No. 115
Headlines
A R G E N T I N A
ABERTODO SRL: Trustee to File Individual Reports on June 25
ALITALIA SPA: EU Chefs de Cabinet Approve Probe Into Loan
ALITALIA SPA: Newco Eyes Roberto Colannino as Airline's Chairman
ALITALIA SPA: Six Carriers Want EC to Oppose EUR300-Mln. Loan
ARQUINSA SA: Seeks Bankruptcy Protection in Buenos Aires Court
CEREALES MARCOS: Files for Reorganization in Court
COMPANIA FINANCIERA: Claims Verification Deadline Is July 8
OESTE PHARMA: Proofs of Claim Verification Deadline Is July 10
KONINKLIJKE AHOLD: Earns EUR261 Million in First Quarter 2008
ORGANIZACION HOTELERA: Court Names Elias Miguel Figueroa Trustee
RED VELEVET: Proofs of Claim Verification Deadline Is Sept. 3
SAFFO SRL: Proofs of Claim Verification Deadline Is July 21
TYSON FOODS: Promotes Dennis Leatherby to Exec. Vice Pres. & CFO
VIPACK SRL: Trustee Verifies Proofs of Claim Por Via Incidental
B E R M U D A
GP INVESTMENTS: Private Equity Growth Cues S&P's BB- Rating Lift
B O L I V I A
SGL CARBON: Strong Performance Cuess Moody's to Hold Ba2 Rating
B R A Z I L
BANCO DAYCOVAL: S&P Rates US$125 Million 2-Year Sr. Notes at BB-
BANCO FIBRA: S&P Puts BB- Rating to US$150 Million 3-Year Notes
BANCO INDUSTRIAL: Moody's Rates Unit's BRL150MM Debentures Ba1
BIC ARRENDAMENTO: Moody's Rates BRL150 Million Debentures at Ba1
ULTRAPAR PARTICIPACOES: To Acquire 100% Uniao Terminais Quotes
USIMINAS: Best to Handle Petrobras Project, Analysts Say
C A Y M A N I S L A N D S
CABLE & WIRELESS: Sets June 30 Deadline for Thus Group Offer
CORSAIR (CAYMAN ISLANDS) 3: Claims Filing Deadline Is June 14
DIGICEL GROUP: Cayman Unit Upgrades Wireless Broadband Network
ENTERGY POWER: Deadline for Proofs of Claim Filing Is June 13
HEAVEN CORP: Deadline for Proofs of Claim Filing Is June 15
HEAVEN CORP: Will Hold Final Shareholders Meeting on June 15
OMNIBUS HOLDINGS: Deadline for Claims Filing Is Until June 14
POTENTIAL ENERGY: Proofs of Claim Filing Deadline Is June 14
PROTON THREE: Deadline for Proofs of Claim Filing Is June 14
UCCI: Auditor Finds Irregularities in Accounts With Hassan Syed
C H I L E
CODELCO: Diverting Shipments to Mejillones & Valparaiso Ports
TAM SA: Reports 74.3% International Market Share in May 2008
C O S T A R I C A
FRESH DEL MONTE: Acquires Costa Rica Plants for US$403 Million
J A M A I C A
CASH PLUS: Clients Considering Filing for Firm's Liquidation
NATIONAL WATER: Police Recovers Firm's Stolen Iron Pipes
* JAMAICA: Fiscal/Monetary Commitments Cue S&P's Stable Outlook
M E X I C O
ADS MEDIA GROUP: Posts US$592,068 Net Loss in 2008 First Quarter
CEMEX SAB: Assets Unit Transferred Irrelevant to Firm's Business
FRONTIER AIRLINES: Can Hire KPMG LLP as Auditor and Tax Advisor
FRONTIER AIRLINES: Section 341(a) Meeting Rescheduled to Aug. 22
FRONTIER AIRLINES: Wants Schedules Filing Date Moved to Aug. 25
SATELITES MEXICANOS: Alfonso Maza Quits CFO Post
P U E R T O R I C O
CROWN CASTLE: Moody's Affirms Ba3 Ratings; Outlook Stable
FIRST BANCORP: Pays Common, Preferred, Trust Preferred Dividends
JETBLUE AIRWAYS: Eyes Flight Additions to Puerto Rico
V E N E Z U E L A
CITGO PETROLEUM: Awards FleetCor Processing & Management Pact
PETROLEOS DE VENEZUELA: To Back Electricity Projects for US$3.7B
PETROLEOS DE VENEZUELA: To Discuss Guatemala's Petrocaribe Entry
- - - - -
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A R G E N T I N A
=================
ABERTODO SRL: Trustee to File Individual Reports on June 25
-----------------------------------------------------------
The court-appointed trustee for Abertodo S.R.L.'s bankruptcy
proceeding will present the validated claims as individual
reports in the National Commercial Court of First Instance in
Parana, Entre Rios, on June 25, 2008.
The trustee verified creditors' proofs of claim until
May 14, 2008. The trustee will also submit a general report
containing an audit of Antares' accounting and banking records
on Aug. 7, 2008.
ALITALIA SPA: EU Chefs de Cabinet Approve Probe Into Loan
---------------------------------------------------------
The cabinet chiefs of the European Commissioners have approved
the initiation of procedure against the Italian government over
its EUR300-million financing granted to Alitalia S.p.A., Agenzia
Giornalistica Italia reports.
According to AGI, the chef de cabinet consider the emergency
loan to Alitalia as state aid. The Commission, however, will
vote June 11, 2008, whether to commence a probe into the
legality of loan.
The probe may last up to 18 months, during which the Italian
government must prove that the emergency loan to Alitalia is
illegal and must be returned. The Italian government has
said the funding would allow Alitalia to survive for 12 months.
Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes, including United States, Canada,
Japan and Argentina. The Italian government owns 49.9% of
Alitalia.
Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively. Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.
ALITALIA SPA: Newco Eyes Roberto Colannino as Airline's Chairman
----------------------------------------------------------------
Roberto Colaninno, Piaggio S.p.A.'s chief executive, might
become Alitalia S.p.A.'s chairman if the AirOne S.p.A.-led
consortium acquires the Italian government 49.9% stake in the
national carrier, Flavia Krause-Jackson writes for Bloomberg
News, citing an unsourced la Repubblica report.
As previously reported in the TCR-Europe, Bruno Ermolli, adviser
to Prime Minister Silvio Berlusconi, has set up a special
bidding vehicle to bid for Italy's stake.
The newco is composed of several Italian financial and
industrial firms including AirOne, Intesa Sanpaolo S.p.A.,
Mediobanca S.p.A. Poste Italiane S.p.A. may join the newco if
it gains commercial benefits from the deal. The newco may also
include Air France-KLM SA and Deutsche Lufthansa AG after it
restores Alitalia financial coffers.
According to la Repubblica, Mr. Colaninno might be offered post
in exchange for a EUR150-million investment at the newco. The
paper added that Intesa will invest as much EUR500 million while
JPMorgan Chase & Co., Morgan Stanley and Mediobanca S.p.A. will
contribute EUR50 million.
About Alitalia
Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes, including United States, Canada,
Japan and Argentina. The Italian government owns 49.9% of
Alitalia.
Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively. Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.
ALITALIA SPA: Six Carriers Want EC to Oppose EUR300-Mln. Loan
-------------------------------------------------------------
Six European airlines have asked European Transport Commissioner
Antonio Tajani to rule against EUR300-million financing granted
to Alitalia S.p.A. by the Italian government, James Hall writes
for the Telegraph.
In their letter to Mr. Tajani, British Airways, Virgin Atlantic,
Finnair, SAS, Iberia and Tap Portugal claimed that the financing
violated the European Union rule on state aid.
"It is our understanding that without this aid Alitalia would
fall below the necessary capital requirements and would be
required to declare itself bankrupt under Italian law and would
therefore cease to operate," the carriers wrote.
The carriers also asked Mr. Tajani to commenced an investigation
into the financing.
About Alitalia
Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes, including United States, Canada,
Japan and Argentina. The Italian government owns 49.9% of
Alitalia.
Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively. Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.
ARQUINSA SA: Seeks Bankruptcy Protection in Buenos Aires Court
--------------------------------------------------------------
The National Commercial Court of First Instance in Buenos Aires
is studying the merits of Arquinsa S.A.'s request to enter
bankruptcy protection.
Arquinsa filed a "Quiebra Decretada" petition, after failing to
pay its debts.
The petition, once approved by the court, will transfer control
of the company's assets to a court-appointed trustee who will
supervise the liquidation proceedings.
CEREALES MARCOS: Files for Reorganization in Court
--------------------------------------------------
Cereales Marcos Juarez S.R.L. has requested for reorganization
approval after failing to pay its liabilities.
The reorganization petition, once approved by the court, will
allow Cereales Marcos to negotiate a settlement with its
creditors in order to avoid a straight liquidation.
The case is pending in the National Commercial Court of First
Instance in Buenos Aires.
COMPANIA FINANCIERA: Claims Verification Deadline Is July 8
-----------------------------------------------------------
The court-appointed trustee for Compania Financiera Congreso
S.A.'s bankruptcy proceeding will be verifying creditors' proofs
of claim until July 8, 2008.
The trustee will present the validated claims in court as
individual reports on Sept. 4, 2008. The National Commercial
Court of First Instance in San Miguel de Tucuman, Tucuman, will
determine if the verified claims are admissible, taking into
account the trustee's opinion, and the objections and challenges
that will be raised by Compania Financiera and its creditors.
Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.
A general report that contains an audit of Compania Financiera's
accounting and banking records will be submitted in court on
Oct. 16, 2008.
OESTE PHARMA: Proofs of Claim Verification Deadline Is July 10
--------------------------------------------------------------
The court-appointed trustee for Oeste Pharma S.A.'s bankruptcy
proceeding will be verifying creditors' proofs of claim until
July 10, 2008.
The trustee will present the validated claims in court as
individual reports on Sept. 8, 2008. The National Commercial
Court of First Instance in Buenos Aires will determine if the
verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will
be raised by Oeste Pharma and its creditors.
Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.
A general report that contains an audit of Oeste Pharma's
accounting and banking records will be submitted in court on
Oct. 20, 2008.
Infobae didn't state the submission dates for the reports.
KONINKLIJKE AHOLD: Earns EUR261 Million in First Quarter 2008
-------------------------------------------------------------
Koninklijke Ahold N.V. released its interim financial report for
the first quarter 2008.
Net sales were EUR 7.5 billion, down 1.3% from the same period
last year. At constant exchange rates, net sales increased by
6.8%.
Operating income was EUR336 million, EUR23 million higher than
in the same period last year. Retail operating income was
EUR370 million, an operating margin of 4.9% compared to 4.8% in
the same period last year. Core Corporate Center costs were
EUR25 million for the quarter, down EUR8 million from the same
period last year.
Total Corporate Center costs were negatively impacted by a
decline in the discount rate applied to the Company's self-
insurance provision.
Income from continuing operations was EUR221 million, EUR65
million higher than the same period last year. Net income was
EUR261 million, up EUR20 million compared to the same quarter
last year, which still included income from U.S. Foodservice.
Cash flow before financing was EUR271 million, EUR273 million
better than the same period last year due to the Company making
its final payment (EUR284 million) under the class action
settlement in the first quarter of 2007.
Stop & Shop/Giant-Landover
For the first quarter, net sales of US$5.1 billion were up 1.3%
compared with the same period last year. Net sales included
US$56 million of sales to Tops. Prior to its divestment, such
sales were recorded as inter-company sales. Identical sales
were up 1.2% at Stop & Shop (0.2% excluding gasoline net sales)
and down 1.5% at Giant-Landover (1.6% excluding gasoline net
sales), impacted by lower pharmacy sales. Operating income was
US$202 million (or 3.9% of net sales), down US$26 million from
the same period last year. Margins and sales were impacted by
price investments related to the roll-out of the Value
Improvement Program, with improvements expected later in the
year.
Giant-Carlisle
For the first quarter, net sales of US$1.4 billion were up 9.2%
compared with the same period last year. Identical sales were
up 5.7% (3.7% excluding gasoline net sales). Operating income
was US$72 million (or 5.1% of net sales) up US$10 million
compared to the same period last year.
Albert Heijn
For the first quarter, net sales of EUR2.7 billion were up 13.5%
compared with the same period last year. Identical sales
increased at Albert Heijn supermarkets by 11.3%. Operating
income was EUR189 million (or 7.0% of net sales), up EUR39
million from the prior year, primarily due to strong growth in
identical sales as well as lower pension charges.
Albert / Hypernova (Czech Republic and Slovakia)
Net sales increased 18% to EUR512 million. At constant exchange
rates net sales increased 7.9%. Identical sales were up 7.8%.
Operating losses were EUR1 million compared to a loss of EUR5
million in the same period last year.
Schuitema
Schuitema has been classified as a discontinued operation as of
the first quarter 2008.
Unconsolidated joint ventures
For the first quarter, Ahold's share in income of joint ventures
decreased 40.9% to EUR13 million. The decrease was primarily
due to ICA, resulting mainly from lower gains on the sale of
assets.
About Ahold
Headquartered in Amsterdam, Netherlands, Koninklijke Ahold N.V.
(fka Royal Ahold) -- http://www.ahold.com/-- retails food
through supermarkets, hypermarkets and discount stores in North
and South America, Europe. It has operations in Argentina. The
company's chain stores include Stop & Shop, Giant, TOPS, Albert
Heijn and Bompreco. Ahold also supplies food to restaurants,
hotels, healthcare institutions, government facilities,
universities, stadiums, and caterers.
* * *
Koninklijke Ahold carries a BB+ issuer default and
senior unsecured ratings with positive outlook from Fitch. The
company also carries a short-term rating of B from Fitch.
ORGANIZACION HOTELERA: Court Names Elias Miguel Figueroa Trustee
----------------------------------------------------------------
The Commercial Court of First Instance in Santiago del Estero
has appointed Elias Miguel Figueroa as trustee for Organizacion
Hotelera Trani S.R.L.'s reorganization proceeding.
Mr. Figueroa will verify creditors' proofs of claim and present
the validated claims in court as individual reports. He will
also submit a general report containing an audit of Organizacion
Hotelera's accounting and banking records.
The trustee can be reached at:
Elias Miguel Figueroa
Sarmiento 144
Chubut, Argentina
RED VELEVET: Proofs of Claim Verification Deadline Is Sept. 3
-------------------------------------------------------------
Pablo Peregal, the court-appointed trustee for Red Velvet SRL's
bankruptcy proceeding, will be verifying creditors' proofs of
claim until Sept. 3, 2008.
Mr. Peregal will present the validated claims in court as
individual reports. The National Commercial Court of First
Instance No. 8 in Buenos Aires, with the assistance of Clerk
No. 15, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections
and challenges that will be raised by Red Velvet and its
creditors.
Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.
A general report that contains an audit of Antares' accounting
and banking records will be submitted in court.
La Nacion didn't state the submission dates for the reports.
Mr. Peregal is also in charge of administering Red Velvet's
assets under court supervision and will take part in their
disposal to the extent established by law.
The debtor can be reached at:
Red Velvet SRL
Tucuman 255
Buenos Aires, Argentina
The trustee can be reached at:
Pablo Peregal
L. N. Alem 651
Buenos Aires, Argentina
SAFFO SRL: Proofs of Claim Verification Deadline Is July 21
-----------------------------------------------------------
The court-appointed trustee for Saffo S.R.L.'s bankruptcy
proceeding will be verifying creditors' proofs of claim until
July 21, 2008.
The trustee will present the validated claims in court as
individual reports on Sept. 15, 2008. The National Commercial
Court of First Instance in Buenos Aires will determine if the
verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will
be raised by Saffo and its creditors.
Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.
A general report that contains an audit of Saffo's accounting
and banking records will be submitted in court on Oct. 27, 2008.
Infobae didn't state the submission dates for the reports.
TYSON FOODS: Promotes Dennis Leatherby to Exec. Vice Pres. & CFO
----------------------------------------------------------------
Tyson Foods Inc. has promoted Dennis Leatherby to executive vice
president and chief financial officer.
In his new position, Mr. Leatherby will report directly to Tyson
President and CEO Richard L. Bond, and will oversee the
company's worldwide finance and accounting functions. This
includes representing Tyson on financial matters involving
investors, auditors and financial regulatory entities.
Mr. Leatherby, who is 48 years old, brings more than 25 years of
finance experience to the job, including more than 18 years with
Tyson. After working in the banking industry for just over
seven years, he joined Tyson Foods in 1990 as assistant
treasurer. He has since held several other finance-related
management positions in the company, most recently serving as
Tyson's senior vice president of finance and treasurer. He has
played an active role in Tyson acquisitions, has been a lead
contact with ratings agencies and banks and has also previously
served as Tyson's interim chief financial officer.
"Dennis has clearly demonstrated he has the skills and
leadership abilities to handle this important position in the
company," Mr. Bond said. "We look forward to his involvement
and input in a wide range of areas, from strategic planning and
acquisitions to our relationship with banks and investors."
A native of Overland Park, Kansas, Mr. Leatherby has a degree in
finance and accounting from Kansas State University. He has
served on the local Salvation Army Advisory Board and currently
holds several leadership positions at his church.
Mr. Leatherby replaces Wade Miquelon, who has accepted the
position of chief financial officer for Walgreens.
Based in Springdale, Arkansas, Tyson Foods, Inc. (NYSE:TSN) --
http://www.tysonfoods.com/-- is a processor and marketer of
chicken, beef, and pork. The company makes a wide variety of
protein-based and prepared food products at its 123 processing
plants. Tyson has approximately 114,000 Team Members employed
at more than 300 facilities and offices in 26 states and 80
countries.
Tyson's U.S. beef plants are located in Amarillo, Texas; Dakota
City, Nebraska; Denison, Iowa; Finney County, Kansas; Joslin,
Illinois, Lexington, Nebraska and Pasco, Washington. The
company also has a beef complex in Canada, and is involved in a
vertically integrated beef operation in Argentina.
* * *
As reported in the Troubled Company Reporter-Latin America on
April 8, 2008, Moody's Investors Service confirmed Tyson Foods,
Inc.'s corporate family rating and probability of default rating
at Ba1. Moody's said the rating outlook remains negative.
VIPACK SRL: Trustee Verifies Proofs of Claim Por Via Incidental
---------------------------------------------------------------
The court-appointed trustee for Vipack S.R.L.'s bankruptcy
proceeding, will be verifying creditors' proofs of claim "por
via incidental".
The trustee will present the validated claims in court as
individual reports.
Infobae didn't state the submission date for the individual
reports.
The National Commercial Court of First Instance in Buenos Aires
will determine if the verified claims are admissible, taking
into account the trustee's opinion, and the objections and
challenges that will be raised by Vipack and its creditors.
Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.
A general report that contains an audit of Antares' accounting
and banking records will be submitted in court on Nov. 19, 2008.
The debtor can be reached at:
Vipack S.R.L.
Mexico 3543
Buenos Aires, Argentina
=============
B E R M U D A
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GP INVESTMENTS: Private Equity Growth Cues S&P's BB- Rating Lift
----------------------------------------------------------------
Standard & Poor's Ratings Services has raised its long-term
corporate credit rating on GP Investments Ltd. to 'BB-' from
'B+'. At the same time, S&P raised its rating on the company's
US$190 million perpetual bonds to 'BB-' from 'B+'. The outlook
on all ratings is stable.
"The upgrade reflects the significant growth in GP's private-
equity business in the past 12 months, leading to a larger base
of recurring revenues (management fees), which S&P sees as an
important cushion to support the company's operating and
financial needs during less favorable market environment," said
S&P's credit analyst Milena Zaniboni.
The fast pace of investment in GP Investments' private equity
fund, GPCP IV, and the significant amount raised from co-
investors in both GPCP III and IV reflects the positive dynamic
for the domestic capital market, leveraged by the expertise and
reputation of the company in the private equity industry.
The rating on GP Investments reflects the relatively early
stages of the company's operations, with recurring revenues
still insufficient to cover fixed and financial expenses, the
company's fairly concentrated investment portfolio, and the
inherent volatility of the private-equity business, which S&P
believes will face increasing competition in Latin American
markets. The company's leading position in the private equity
industry in Brazil, which reflects the experience and strong
reputation of its team of professionals; its successful track
record of investments, and favorable capital structure temper
these risks.
The stable outlook reflects S&P's expectation that GP
Investments will be able to increase its private equity-assets
under management and recurring revenues, so that by 2009, it
will be able to cover operating and financial expenses solely
with more predictable sources of revenues, such as management
fees. S&P also anticipates that the company will maintain its
current investment strategy, which limits the risk in its
investment portfolio.
S&P also expects disciplined liquidity management to offset
significant concentration of investments and uncertainty of the
investment cycle during the next several years. S&P could lower
the rating if the company changes its liquidity-management
guidelines, such as its minimum cash position drops to less than
US$50 million, or if the rating agency notice looser investment
practices.
Based in Hamilton, Bermuda, GP Investments Ltd. --
http://www.gpinvestments.com/is a Bermuda-exempted company that
consolidates the activities of a private equity business and an
asset management business in Latin America. The company's
activities started in 1993 as an asset manager dedicated to
private equity activities, managed by partners with substantial
experience in the Brazilian market. The company is listed on
the Luxembourg Stock Exchange and also has a BDS program on the
Brazilian Stock Market (Bovespa).
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B O L I V I A
=============
SGL CARBON: Strong Performance Cuess Moody's to Hold Ba2 Rating
---------------------------------------------------------------
Moody's Investors Service has affirmed SGL Carbon's Corporate
Family Rating at Ba2. The outlook is changed to positive.
The affirmation of SGL's Corporate Family Rating reflects the
group's strong operating performance during the course of fiscal
year 2007 leading to robust cash flow metrics as illustrated by
RCF / Net debt of 38.5% and FCF / Debt of 5.5%. The rating
remains also supported by the group's conservative financial
policy and the willingness to maintain a solid balance sheet
structure. SGL is currently comfortably positioned into our Ba2
rating category. The rating affirmation also takes into account
the group's good revenue visibility into fiscal year 2008
underpinned by a robust order backlog.
The positive outlook assigned to the ratings reflects Moody's
expectation that SGL will be able to post another strong
operating performance during the course of fiscal year 2008 and
further consolidate its operating and credit metrics at a high
level. The ambitious capex program of SGL in Asia and for the
expansion of its Carbon Fibers & Composites business could be
accommodated in Moody's opinion under the current rating
category if the company continues to benefit from a supportive
operating environment and proves able to maintain a strong level
of operating cash flows. SGL Carbon is expected to generate
moderately negative free cash flow over the next two years to
finance its expansion program. Given the cyclicality of SGL's
end markets, Moody's would consider a rating upgrade if SGL can
sustain its operating profitability (as measured by adjusted
EBITDA margin) at current levels and maintain its adjusted RCF /
Net Debt above 35% over the next twelve to eighteen months and
the agency is comfortable that these operating and credit
metrics can be resilient over time.
SGL's liquidity is strong. Moody's expects the liquidity needs
of SGL over the next twelve months consisting primarily of capex
funding requirements for the financing of its expansion program
in Malaysia and for Carbon Fibers & Composites and modest
working capital requirements to be covered from operating cash
flows and drawings under the group's EUR125 million undrawn
capex / acquisition facility. Moody's gains additional comfort
from the company's large cash position of EUR130 million at
fiscal year end 2008 and the company's access to a EUR75 million
revolving credit facility, which was undrawn at fiscal year end
2008 and has substantial headroom under the financial covenants.
Finally we note that SGL faces very limited debt maturities in
fiscal year 2008.
These ratings are affected:
-- Corporate Family Rating of SGL Carbon AG affirmed at Ba2;
-- Probability of Default Rating of SGL Carbon AG affirmed at
Ba2;
-- Senior Unsecured Guaranteed Floating Rate Notes of SGL
Carbon AG affirmed at Ba1;
-- Senior Unsecured Convertible Notes of SGL Carbon AG
affirmed at Ba3;
SGL Carbon AG, headquartered in Wiesbaden, Germany, is one of
the world's leading manufacturers of carbon and graphite-based
products. SGL generated revenues of EUR1,373 million and an
EBITDA of EUR279 million for the fiscal year ended Dec. 31,
2007.
The company has sales offices in Latin America, including
Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica,
Dominican Republic, El Salvador, Ecuador, Guyana, Honduras,
Mexico, Panama, Peru, Paraguay, Uruguay Venezuela and others.
===========
B R A Z I L
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BANCO DAYCOVAL: S&P Rates US$125 Million 2-Year Sr. Notes at BB-
----------------------------------------------------------------
Standard & Poor's Ratings Services has assigned its 'BB-' long-
term foreign-currency debt rating to US$125 million in senior
unsecured two-year notes issued by Banco Daycoval SA (BB-
/Positive/B local and foreign-currency, brA/Positive/brA-2
Brazil national scale corporate credit ratings), acting through
its Cayman Islands branch.
"The ratings on Daycoval reflect the challenges the bank faces
to further diversify its funding base and continue increasing
its credit portfolio under adequate risk management procedures
in a very competitive environment," said S&P's credit analyst
Marcelo Peixoto.
However, the bank's positive track record in lending to small
and midsize enterprises, strong profitability, and commitment to
maintaining adequate liquidity and capital levels partially
offset these risks.
Ratings List:
-- Corporate Credit Ratings
-- Local Currency BB-/Positive/B
-- Foreign Currency BB-/Positive/B
-- Brazil National Scale brA/Positive/brA-2
-- Senior Unsecured BB-
New Rating:
-- Senior Unsecured US$125 million notes due 2010 at BB-
Headquartered in Sao Paulo, Brazil, Banco Daycoval SA started
its activities in 1968, with the creation of Daycoval DTVM and
Valco Corretora de Valores. Brothers Ibrahim and Sasson Dayan
control the bank. It is the core business of its shareholders
and specializes in financing small- and medium-sized companies,
backed by receivables. It also operates with consignment
lending for payroll deduction and consumer financing. Since
June 2007, the bank has had 29% of its shares traded at Bovespa
on the New Brazilian Stock Market. These shares enjoy a tag-
along privilege, giving minority shareholders 100% of the value
of the block of controlling shares in the event of the sale of
the institution.
BANCO FIBRA: S&P Puts BB- Rating to US$150 Million 3-Year Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services has assigned its 'BB-'
foreign-currency long-term debt rating to the US$150 million
unsecured, unsubordinated three-year notes, issued by Banco
Fibra SA (BB-/Stable/B global scale, brA-/Stable/brA-2 Brazil
national scale ratings), acting through its Cayman Islands
branch.
The ratings on Banco Fibra incorporate the increasing
competition affecting most Brazilian banks serving small and
midsize companies. The ratings also reflect potentially higher
delinquency ratios because of increases in consumer finance
loans, and the bank's challenge to maintain an increasing and
diversified funding base.
Banco Fibra's still-strong asset quality indicators, good track
record, expertise in the corporate and middle-market segments,
and improved profitability, and the benefits of the implicit
support of its shareholder, the Vicunha Group, temper these
risks.
Ratings List:
-- Corporate Credit Ratings
-- Local Currency BB-/Stable/B
-- Foreign Currency BB-/Stable/B
-- Brazil National Scale brA-/Stable/brA-2
-- Senior Unsecured BB-
New Rating:
-- Senior Unsecured US$150 mil unsecured, unsubordinated notes
due 2011 at BB-
Banco Fibra S.A. -- http://www.bancofibra.com.br/-- is a
commercial midsize Brazilian bank. Despite its relatively small
market share, Banco Fibra is among the top banks operating in
the small corporates and middle-market companies segment. Banco
Fibra is the financial arm of a large traditional conglomerate
in Brazil, owned by the Steinbruch family, with important
operations in the textile (Vicunha Txtil; not rated), steel
(Companhia Siderurgica Nacional; BB/Stable/--), and gas (CEGAS;
not rated) sectors. As of March 30, 2007, Banco Fibra reached
US$215 million in equity and US$4.05 billion in total assets.
BANCO INDUSTRIAL: Moody's Rates Unit's BRL150MM Debentures Ba1
--------------------------------------------------------------
Moody's America Latina Ltda. has assigned an Aa2.br National
Scale issuer rating to BIC Arrendamento Mercantil SA.
Additionally, Moody's assigned a Aa3.br national scale debt
rating to BIC Arrendamento's proposed first public issuance of
subordinated, non-convertible 2-year debentures in the amount of
BRL150 million.
On the Global Scale, Moody's Investors Service assigned a Ba1
global local currency issuer rating to BIC Arrendamento and a
Ba2 global local currency subordinated debt rating to the
proposed BRL150 million in securities. The rating agency noted
that subordination was taken into consideration in the
assignment of the debenture rating, in line with Moody's
notching practices.
BIC Arrendamento Mercantil SA is a subsidiary of Banco
Industrial e Comercial SA which is rated Aa2.br by Moody's on
Brazil's National Scale and Ba1 on the Global Local Currency
Deposit Scale. The company substantially relies on Banco
Industrial's branch network and client base for the origination
of its leasing operations, thus the leasing's credit approval
and monitoring processes are performed by the bank. Moody's
believes that BIC Arrendamento is an integral part of Banco
Industrial's banking operations and as such would enjoy the
support of its parent company in meeting its obligations. Banco
Industrial's direct ownership of 100% of the leasing company was
also taken into account in the assignment of the rating.
These ratings have been assigned to BIC Arrendamento Mercantil
SA:
-- Global Local Currency Issuer Rating of Ba1; stable outlook
-- Brazil National Scale Issuer Rating of Aa2.br; stable
outlook
These ratings have been assigned to the 2-year BRL150 million
subordinated debentures issuance:
-- Global Local Currency Subordinated Debt Rating of Ba2;
stable outlook
-- Brazil National Scale Debt Rating of Aa3.br; stable outlook
Banco Industrial e Comercial S.A. is headquartered in Sao Paulo,
Brazil with BRL10,937 million in total assets and
BRL1,630 million in equity as of March 31, 2008.
BIC ARRENDAMENTO: Moody's Rates BRL150 Million Debentures at Ba1
----------------------------------------------------------------
Moody's America Latina Ltda. has assigned an Aa2.br National
Scale issuer rating to BIC Arrendamento Mercantil SA.
Additionally, Moody's assigned a Aa3.br national scale debt
rating to BIC Arrendamento's proposed first public issuance of
subordinated, non-convertible 2-year debentures in the amount of
BRL150 million.
On the Global Scale, Moody's Investors Service assigned a Ba1
global local currency issuer rating to BIC Arrendamento and a
Ba2 global local currency subordinated debt rating to the
proposed BRL150 million in securities. The rating agency noted
that subordination was taken into consideration in the
assignment of the debenture rating, in line with Moody's
notching practices.
BIC Arrendamento Mercantil SA is a subsidiary of Banco
Industrial e Comercial SA which is rated Aa2.br by Moody's on
Brazil's National Scale and Ba1 on the Global Local Currency
Deposit Scale. The company substantially relies on Banco
Industrial's branch network and client base for the origination
of its leasing operations, thus the leasing's credit approval
and monitoring processes are performed by the bank. Moody's
believes that BIC Arrendamento is an integral part of Banco
Industrial's banking operations and as such would enjoy the
support of its parent company in meeting its obligations. Banco
Industrial's direct ownership of 100% of the leasing company was
also taken into account in the assignment of the rating.
These ratings have been assigned to BIC Arrendamento Mercantil
SA:
-- Global Local Currency Issuer Rating of Ba1; stable outlook
-- Brazil National Scale Issuer Rating of Aa2.br; stable
outlook
These ratings have been assigned to the 2-year BRL150 million
subordinated debentures issuance:
-- Global Local Currency Subordinated Debt Rating of Ba2;
stable outlook
-- Brazil National Scale Debt Rating of Aa3.br; stable outlook
Headquartered in Ceara, Brazil, BIC Arrendamento Mercantil SA, a
leasing subsidiary of Banco Industrial e Comercial SA (aka
Bicbanco), reported total assets of approximately BRL71.8
million and equity of BRL64.1 million as of March 2008. As of
the same date, Banco Industrial e Comercial SA's consolidated
assets totalled BRL11.9 billion and equity equalled
BRL1.63 billion.
ULTRAPAR PARTICIPACOES: To Acquire 100% Uniao Terminais Quotes
--------------------------------------------------------------
Ultrapar Participacoes S.A., through Ultracargo, signed the sale
and purchase agreement for the acquisition of 100% equivalent
quotes of the paid up capital of Uniao Terminais e Armazens
Gerais Ltda. held by Uniao das Industrias Petroquimicas SA
(Unipar).
The total amount to be paid by Ultracargo for the Uniao
Terminais' quotes is BRL482,769 thousand, subject to adjustments
resulting from variations in net debt and working capital. On
Dec. 31, 2007, Uniao Terminais' net debt amounted to BRL27,231
thousand.
Uniao Terminais has 2 port terminals for storage and handling of
bulk liquids, with total capacity of 119,000 cubic meters. The
main facility, located in Santos, in the state of Sao Paulo, has
storage capacity of 102,000 cubic meters and is currently in the
final stage of expansion, which will add 20% (21,000 cubic
meters) to its capacity. The main products handled in this
terminal are fuels, ethanol and chemicals. The terminal located
in Rio de Janeiro has a 17,000 cubic meters storage capacity and
the main products handled in this terminal are chemicals and
lubricants. Uniao Terminais also holds 50% of the total capital
of Uniao Vopak Ltda., which owns a port terminal in Paranagua,
Parana, with storage capacity of 60,000 cubic meters for the
handling of vegetable oil and chemical products.
For Ultracargo, this acquisition represents a milestone in its
transformation process, with the objective to consolidate the
company as the major and most complete provider of integrated
logistics solutions for special bulk cargo in Brazil. In order
to capture the strong growth resulting from the demand for
logistics infrastructure in Brazil, mainly related to biofuels
and to the Brazilian trade flow, during the past few years
Ultracargo has revaluated its market positioning, focusing on
integrated logistics services, has adapted its internal
structure and has started investing in expansion. Such
initiatives have included the construction of new terminals,
especially the Santos and Montes Claros terminals, the
implementation of the ERP system-SAP, the creation of a business
development area and the acquisition of Petrolog.
The combination of Ultracargo with Uniao Terminais' business
will result in the largest liquid bulk storage company in South
America, reinforcing its operating scale and increasing its
investment capacity. It also increases Ultracargo's operation
in the port of Santos, adds new customers to its client
portfolio and expands its geographic coverage through the
entrance in Rio de Janeiro and Paranagua markets, strengthening
Ultracargo's presence in Brazilian ports. The present net value
of the gains from the integration of Uniao Terminais with
Ultracargo is estimated at BRL200 million, mainly derived from
the joint operation of the terminals, management consolidation
and fiscal synergies.
The closing of the transaction is subject to the compliance with
certain usual requirements, notably the opinion of port
authorities, and could happen at different stages for each
terminal as the respective port authorities issue their opinion.
About Ultrapar
Headquartered in Sao Paulo, Brazil, Ultrapar Participacoes S.A.
(NYSE: UGP) (BOVESPA: UGPA4) is a company with two main
operations: LPG distribution (through its fully-owned subsidiary
Ultragaz Participacoes Ltda.) and chemical production (through
its also fully-owned subsidiary Oxiteno S.A.). A third smaller
but growing business is the transportation and storage of
chemicals and fuels, Ultracargo Operacoes Logisticas e
Participacoes Ltda., which completes Ultrapar's business
portfolio and reinforces the trend for further business
diversity in the long run.
* * *
As reported in the Troubled Company Reporter-Latin America on
May 23, 2008, Standard & Poor's Ratings Services has affirmed
its 'BB+' long-term corporate credit rating and its 'brAA+'
Brazil national scale rating on Ultrapar Participacoes SA. At
the same time, S&P revised the outlook on both ratings to
positive from stable.
USIMINAS: Best to Handle Petrobras Project, Analysts Say
--------------------------------------------------------
Usinas Siderurgicas de Minas Gerais S.A., a.k.a. Usiminas, is
likely to be the most capable to handle Petroleo Brasileiro SA's
US$5 billion, six-year program to construct 146 support boats,
Business News Americas reports, citing market analysts.
BNamericas relates that Petroleo Brasileiro disclosed in May
that it would lease support boats for its oil and gas
exploration projects along the Brazilian continental shelf.
Petroleo Brasileiro could buy the steel it needs from Usiminas.
The first of seven bidding processes for its project consists of
the manufacture of 24 boats by shipyards.
Brazilian brokerage SLW analyst Pedro Galdi commented to
BNamericas, "Usiminas is the only heavy plates manufacturer in
Brazil. The ArcelorMittal Tubarao [mill in Espirito Santo] is
about to start offering heavy plate products, but it will only
supply smaller specific parts and not ship hull construction."
Most Brazilian steelmakers can't handle projects like that of
Petroleo Brasileiro, BNamericas says, citing Spanish investment
bank Banif's Gilberto Cardoso, Jr. "But if there is one,
Usiminas is definitely the most capable right now," Mr. Cardoso
added.
"The only thing we can say right now is that Usiminas has
competitive bids for these bidding processes," a spokesperson of
the firm commented to BNamericas.
Headquartered in Minas Gerais, Brazil, Usinas Siderurgicas de
Minas Gerais S.A. -- http://www.usiminas.com.br-- is among the
world's 20 largest steel manufacturing complexes, with a
production capacity of approximately 10 million tons of steel.
Usiminas System companies produces galvanized and non-coated
flat steel products for the automotive, small and large diameter
pipe, civil construction, hydro-electronic, rerolling,
agriculture, and road machinery industries. Brazil consumes 80%
of its products and the company's largest export markets are the
US and Latin America. The company also sells in China and
Japan.
* * *
As reported in the Troubled Company Reporter-Latin America on
Feb. 5, 2008, Moody's Investors Service assigned a Ba1 local
currency rating and an Aa1.br rating on its Brazilian national
scale to the BRL500 million non-guaranteed subordinated
debentures due 2013 to be issued by Usinas Siderurgicas de Minas
Gerais S.A. (aka Usiminas). Net proceeds from the debentures
issuance will be used to partially fund the company's capex
program. Moody's said the rating outlook is stable.
==========================
C A Y M A N I S L A N D S
==========================
CABLE & WIRELESS: Sets June 30 Deadline for Thus Group Offer
------------------------------------------------------------
Cable and Wireless Plc confirms that it approached the board of
Thus Group plc on May 28, 2008, in relation to a possible cash
offer for the company at a price of 165 pence per share. Thus
has since informed Cable & Wireless that it would not be
prepared to recommend an offer at this level or enter into
discussions.
Cable & Wireless is disappointed in Thus' response since it
strongly believes that 165 pence, representing a 50 per cent
premium to the Thus share price on the day before its approach,
is an attractive reflection of the value of Thus’ standalone
business and the benefits of the proposed business combination.
Cable & Wireless believes that, in the changing telecoms
environment, scale is critical and only operators with
significant scale and cost advantage will be able to sustain the
investment required to attract higher margin revenues.
Accordingly, Cable & Wireless believes that its proposal offers
an attractive future for Thus and its customers, as Thus would
become part of a larger, stronger group with greater scale,
product and service capability and financial strength.
For Cable & Wireless, an acquisition of Thus would allow it to
develop further the value of its Europe, Asia & US. business
within its established strategic framework and accelerate its
growth plans.
In particular, the acquisition of Thus would:
* accelerate EAUS' growing market share of large enterprise
and government customers; and
* produce savings in outpayments, operating costs and
capital expenditure.
Cable & Wireless is also comfortable that its existing EAUS
business is a strong platform from which to deliver the long
term targets that have been set for the business on a standalone
basis. As such, Cable & Wireless views Thus as an incremental
opportunity that would be additive to its existing plans for
value realization.
However, Cable & Wireless is also keen to ensure that its
existing timetable to consider value realization options in
2008/09 is unaffected by the proposed acquisition.
Against this background, Cable & Wireless considers that it is
not in its shareholders’ interests to engage in an extended
process to try to persuade the Board of Thus to enter into
discussions.
Cable & Wireless is therefore announcing a self-imposed deadline
of 5:00pm on June 30, 2008, either to announce a firm intention
to make an offer for Thus under Rule 2.5 of the City Code on
Takeovers and Mergers or to announce that it does not intend to
make an offer for Thus, unless the Takeover Panel otherwise
agrees.
Cable & Wireless considers that its proposal represents a full
and fair offer which unlocks value for Thus shareholders which
would not be available to them on a standalone basis.
Accordingly, Cable & Wireless hopes that the Board of Thus will
reconsider its refusal to discuss the Cable & Wireless proposal.
About Cable & Wireless
Headquartered in London, Cable & Wireless Plc
-- http://www.cw.com/new/-- operates through two standalone
business units -- International and Europe, Asia & US. The
International business unit operates integrated
telecommunications companies in 33 countries, with principal
operations in the Caribbean, Panama, Macau, Monaco and the
Channel Islands. The Europe, Asia & U.S. business unit provides
enterprise and carrier solutions to the largest users of
telecoms services across the U.K., U.S., continental Europe and
Asia -- and wholesale broadband services in the U.K. The
company also has operations in India, China, the Cayman Islands
and the Middle East.
* * *
As reported in the Troubled Company Reporter-Europe on
May 26, 2008, Standard & Poor's Ratings Services has revised its
outlook on Cable & Wireless PLC to developing from stable. The
developing outlook means ratings can be raised, lowered, or
affirmed. The 'BB-' long-term and 'B' short-term corporate
credit ratings remain unchanged.
CORSAIR (CAYMAN ISLANDS) 3: Claims Filing Deadline Is June 14
-------------------------------------------------------------
Corsair (Cayman Islands) No.3 Ltd.'s creditors have until
June 14, 2008, to prove their claims to Walkers SPV Limited, the
company's liquidator, or be excluded from receiving any
distribution or payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Corsair (Cayman Islands)'s shareholder decided on May 13, 2008,
to place the company into voluntary liquidation under The
Companies Law (2004 Revision) of the Cayman Islands.
The liquidator can be reached at:
Walkers SPV Limited
Walkers House, 87 Mary Street
P.O. Box 265, George Town,
Grand Cayman, Cayman Islands
Contact for inquiries:
Anthony Johnson
Telephone: (345) 914-6314
DIGICEL GROUP: Cayman Unit Upgrades Wireless Broadband Network
--------------------------------------------------------------
Digicel Group Limited's Cayman subsidiary told Cayman Net News
that it has upgraded its wireless broadband network as a
response to clients' demand.
According to Cayman Net, Digicel Cayman said the upgrade would
allow it to offer customers greater broadband network capacity,
speed, and coverage. "Our number one priority for our Wireless
Broadband customers is their online experience. With the
phenomenal demand that we have seen for our cutting edge
service, we have increased our capacity to match demand. As a
result, customers can experience the freedom and speed of
personal wireless Broadband all over the Cayman Islands,"
Digicel Cayman's Marketing Chief Casandra Harris added.
Cayman Net relates that The Cayman Islands was the "flagship
launch location for Digicel's personal wireless broadband
service." Digicel said that with the upgraded network, its
broadband clients will enjoy better speed and performance. The
firm can respond faster to demand as its client base expands due
to the enhanced network infrastructure.
Digicel has also set up 'Broadband Lounges' in its stores,
Cayman Net relates. It allows clients can sign up for service
and test broadband capabilities and speed. Digicel will be
showcasing its new and enhanced wireless broadband service in
the Cayman Islands this month.
Ms. Harris commented to Cayman Net, "Digicel prides itself on
offering excellent value and service. The phenomenal response
when we initially launched Broadband exceeded our expectations.
This positive development challenged us to enhance our service,
making it even bigger and better. Our customers deserve the best
and we are making every effort to ensure that is what we
deliver."
Cayman Net notes that Digicel's wireless broadband service
requires an electrical outlet. Clients don't need phone line
rental to connect to the Internet. "It is pre-provisioned at
the point of sale." About 15 minutes after paying for the
service, the client can be online wherever they are in the
Cayman Islands.
Digicel Cayman told Cayman Net that it offers fixed WiMAX to its
corporate clients in the Cayman Islands. The firm said it also
offers mobile WiMAX has plans to offer it to clients around the
region.
Digicel Ltd. is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien. The
company started operations in Jamaica in April 2001 and now
offers GSM mobile services in Caribbean countries including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Bermuda, Cayman, and Curacao. Digicel finished FY2005 with
1.722 million total subscribers -- 97% pre-paid -- estimated
market share of 67% and revenues and EBITDA of US$478 million
and US$155 million, respectively.
Digicel Group -- www.digicelgroup.com -- was awarded a license
in Honduras in December 2007, making it Digicel's second market
in Central America following its launch in El Salvador in April
2007. The Caribbean Company operates in 23 markets across the
Caribbean. In May 2008 Digicel was awarded an additional
license in Panama and is committed to further expansion in the
Central America region.
Digicel Ltd. is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien. The
company started operations in Jamaica in April 2001 and now
offers GSM mobile services in Caribbean countries including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Bermuda, Cayman, and Curacao. Digicel finished FY2005 with
1.722 million total subscribers -- 97% pre-paid -- estimated
market share of 67% and revenues and EBITDA of US$478 million
and US$155 million, respectively.
* * *
As reported in the Troubled Company Reporter-Latin America on
June 4, 2008, Fitch Ratings affirmed its 'CCC+/RR5' ratings on
Digicel Group Limited's US$1 billion 8.875% senior subordinated
notes due 2015 and US$400 million 9.125/9.875% senior
subordinated toggle notes due 2015. Fitch said the rating
outlook is stable.
In February 2007, Moody's Investors Service affirmed Caa2 senior
unsecured rating to Digicel Group Limited's US$1.4 billion
senior unsecured notes offering.
ENTERGY POWER: Deadline for Proofs of Claim Filing Is June 13
-------------------------------------------------------------
Energy Power Hull Ltd.'s creditors have until June 13, 2008, to
prove their claims to Eddie D. Peebles, the company's
liquidator, or be excluded from receiving any distribution or
payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Energy Power's shareholders decided on May 23, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidator can be reached at:
Eddie D. Peebles
F.A.O. Patrick Head
c/o Walkers, Walkers House
87 Mary Street, P.O. Box 265
George Town, Grand Cayman,
Cayman Islands
HEAVEN CORP: Deadline for Proofs of Claim Filing Is June 15
-----------------------------------------------------------
Heaven Corp.'s creditors have until June 15, 2008, to prove
their claims to Victor M. Opitz, the company's liquidator, or be
excluded from receiving any distribution or payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Heaven Corp.'s shareholders decided on April 28, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidator can be reached at:
Victor M. Opitz
c/o TransOcean Bank & Trust, Ltd.
P.O. Box 1959, Grand Cayman,
Cayman Islands
Telephone: (345) 949 7493
Fax: (345) 949 7524
HEAVEN CORP: Will Hold Final Shareholders Meeting on June 15
------------------------------------------------------------
Heaven Corp. will hold its final shareholders meeting on
June 15, 2008, at 10:00 a.m., at the offices of TransOcean Bank
& Trust, Ltd., P.O. Box 1959, Grand Cayman, Cayman Islands.
These matters will be taken up during the meeting:
1) accounting of the wind-up process and giving
explanation thereof.
Heaven Corp.'s shareholders agreed on April 28, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidator can be reached at:
Victor M. Opitz
c/o TransOcean Bank & Trust, Ltd.
P.O. Box 1959, Grand Cayman,
Cayman Islands
Telephone: (345) 949 7493
Fax: (345) 949 7524
OMNIBUS HOLDINGS: Deadline for Claims Filing Is Until June 14
-------------------------------------------------------------
Omnibus Holdings Ltd.'s creditors have until June 14, 2008, to
prove their claims to RTB Secretaries Limited, the company's
liquidator, or be excluded from receiving any distribution or
payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Omnibus Holdings' shareholder decided on May 15, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidator can be reached at:
RTB Secretaries Limited
c/o Rothschild Trust Cayman Limited
5th Floor Citrus Grove
P.O. Box 10129, George Town,
Grand Cayman, Cayman Islands
Telephone: (345) 946 7033
Fax: (345) 946 7043
POTENTIAL ENERGY: Proofs of Claim Filing Deadline Is June 14
------------------------------------------------------------
Potential Energy Master Fund Ltd.'s creditors have until
June 14, 2008, to prove their claims to Walkers SPV Limited, the
company's liquidator, or be excluded from receiving any
distribution or payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Potential Energy's shareholder decided on May 13, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidator can be reached at:
Walkers SPV Limited
Walkers House, 87 Mary Street
P.O. Box 265, George Town,
Grand Cayman, Cayman Islands
Contact for inquiries:
Anthony Johnson
Telephone: (345) 914-6314
PROTON THREE: Deadline for Proofs of Claim Filing Is June 14
------------------------------------------------------------
Proton Three Ltd.'s creditors have until June 14, 2008, to prove
their claims to Walkers SPV Limited, the company's liquidator,
or be excluded from receiving any distribution or payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Proton Three's shareholder decided on May 13, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidator can be reached at:
Walkers SPV Limited
Walkers House, 87 Mary Street
P.O. Box 265, George Town,
Grand Cayman, Cayman Islands
Contact for inquiries:
Anthony Johnson
Telephone: (345) 914-6314
UCCI: Auditor Finds Irregularities in Accounts With Hassan Syed
---------------------------------------------------------------
An auditor general's yearly audit has found irregularities with
the accounts of the University College of the Cayman Islands'
former president Hassan Syed, Alan Markoff of Cay Compass News
Online reports, citing a testimony in the Finance Committee.
Cay Compass relates that Mr. Syed resigned from UCCI and left
the Cayman Islands in May 2008 due to personal health issues.
Deputy Auditor General Garnet Harrison noted the the UCCI audit
had started before Mr. Syed's resignation.
According to the report, Education Minister Alden McLaughlin
said the auditor general's audit wasn't yet complete. "The
situation is still in the remit of the auditor general. No
conclusions have been drawn," the minister added.
Cay Compass says that Minister McLaughlin admitted that the
auditor general's preliminary findings indicate "anomalies and
irregularities with respect to the operations" of Mr. Syed.
Cay Compass notes that Mr. Bush asked if a corporate credit card
issued to Mr. Hassan had been paid up to date. Minister
McLaughlin said, "There is only so much you can say. There's an
active investigation where there appears to be irregularities."
The report says that West Bay MLA Cline Glidden Jr. asked
Minister McLaughlin how long he had known about the situation.
He also asked the minister why anything wasn't reported to the
members of the Legislative Assembly sooner. Minister McLaughlin
answered, "I have yet to see one piece of paper that suggests
anything is not as it should be at the University College. The
auditor general has been involved for months; the governor has
been involved; the board has been aware and in the course of the
last few weeks, I have been apprised all is not well."
Cay Compass reports that Mr. Glidden asked when the board of
directors was likely to make a statement about the matter.
According to UCCI's board of directors, the auditor general had
informed it that some unsubstantiated financial transactions for
the office of the president had been identified. The board said
it hired Deloitte to conduct a comprehensive review of UCCI's
financial practices, processes and internal controls. Deloitte
will be requested to verify the full extent of unsubstantiated
financial transactions, the board added.
UCCI's board said Minister McLaughlin has been and will continue
to be fully briefed on the matter.
The University College of the Cayman Islands is a government-
sponsored tertiary education in the Cayman Islands that began in
1975 when the Community College was established as a part-time
institution. From 1976 to 1981 three other institutions -- the
Trade School, the Hotel School and the Marine School -- were
founded. These schools were located at different sites and were
supervised either by the Ministry of Education or the Ministry
of Tourism and Labor.
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C H I L E
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CODELCO: Diverting Shipments to Mejillones & Valparaiso Ports
-------------------------------------------------------------
A representative of Corporacion Nacional del Cobre, a.k.a.
Codelco, told Pablo Gaete at Business News Americas that the
company has begun diverting shipments to the ports of Mejillones
and Valparaiso due to an ongoing strike at the San Antonio port.
According to BNamericas, the Codelco representative said some
ships scheduled to load Codelco stocks at San Antonio have been
directed to load at Mejillones and Valparaiso so that the firm
can continue honoring its sales contracts. The source said that
Codelco hadn't defaulted on any shipments as of Monday.
As previously reported in the Troubled Company Reporter-Latin
America, Codelco's workers went on a drawn-out strike starting
April 16 to demand bonuses and benefits. Work stoppage brought
closure of some of Codelco's mines, resulting in the company
incurring almost US$100 million on supply services as of
April 29, and contributed to the rising of copper prices.
Protests, however, stopped after the government proposed, and
Codelco agreed, that subcontract employees get an advance on a
CLP500,000 bonus that was due to be paid by year-end, with the
CLP300,000 to be advanced by suppliers. On May 20, Codelco said
92% of its approximately 30,000 contract workers have already
received the agreed 2008 production bonus payments.
Corporacion Nacional del Cobre -- Codelco -- explores, develops,
mines and processes copper in Chile. The principal product of
the company is Grade A copper cathodes. The company, which is
owned by Chilean government, exports most of its production to
companies in Europe and Asia.
TAM SA: Reports 74.3% International Market Share in May 2008
------------------------------------------------------------
TAM S.A. has released operating data for May 2008, as disclosed
by the Brazilian National Civil Aviation Agency.
According to the Brazilian aviation agency, TAM registered 16%
growth in domestic RPK (demand) compared to the same period last
year, and 10.2% increase in domestic ASK (supply). In May,
market demand increased 16.6% and market supply increased 14.1%.
TAM registered domestic market share (RPK) of 49.3%, a 0.2 p.p.
decrease compared to the same period in 2007. TAM's domestic
load factor was 73.1%, 2.8 p.p. higher than the market average
of 70.3%.
In the international market, TAM registered 34% growth in RPK
and 23.5% in ASK, compared to May 2007. The company attained
market share of 74.3%, representing 1.9 p.p. growth year on
year. TAM attained 74.5% load factor, 6.2 p.p. higher than the
market average of 68.3%.
Operating data May 2008 May 2007 Var. %
------------------------------------------------------------
Domestic Market
ASK (millions) - Supply 2,886 2,619 10.2%
RPK (millions) - Demand 2,110 1,818 16.0%
Load Factor 73.1% 69.4% 3.7 p.p.
Market share 49.3% 49.5% -0.2 p.p.
International Market
ASK (millions) - Supply 1,675 1,356 23.5%
RPK (millions) - Demand 1,247 931 34.0%
Load Factor 74.5% 68.6% 5.8 p.p.
Market share 74.3% 72.4% 1.9 p.p.
About TAM
TAM S.A. currently -- http://www.tam.com.br/-- has business
agreements with the regional airlines Pantanal, Passaredo, Total
and Trip. As of Jan. 14, the daily flight on the Corumba --
Campo Grande route in Mato Grosso do Sul began to be operated by
a partnership with Trip. With the expansion of the agreement
with NHT, TAM will now be serving 82 destinations in Brazil, 45
of which with its own flights. In addition, the company is
strengthening its presence in Rio Grande do Sul and Santa
Catarina.
The company's international operations include direct flights to
17 destinations: New York and Miami (USA), Paris (France),
London (England), Milan (Italy), Frankfurt (Germany), Madrid
(Spain), Buenos Aires and Cordoba (Argentina), Santiago (Chile),
Caracas (Venezuela), Montevideo and Punta del Este (Uruguay),
AsunciOn and Ciudad del Este (Paraguay), and Santa Cruz de
la Sierra and Cochabamba (Bolivia)
* * *
As reported in the Troubled Company Reporter-Latin America on
Aug. 27, 2007, Standard & Poor's Ratings Services affirmed its
'BB' long-term corporate credit rating on Brazil-based airline
TAM S.A. S&P said the outlook is stable.
On July 23, 2007, Fitch Ratings affirmed the 'BB' foreign
currency and local currency Issuer Default Ratings of TAM S.A.
Fitch has also affirmed the 'BB' rating of its US$300 million of
senior unsecured notes due 2017 as well as the company's
'A+(bra)' national scale rating and for its first debentures
issuance (BRL500 million). Fitch's rating outlook is stable.
==================
C O S T A R I C A
==================
FRESH DEL MONTE: Acquires Costa Rica Plants for US$403 Million
--------------------------------------------------------------
Fresh Del Monte Produce Inc. has acquired the shares of
Desarollo Agroindustrial de Frutales, S.A., a producer of high
quality bananas in Costa Rica; the shares of Frutas de
Exportacion, S.A. (Frutex), a major provider of gold pineapples
in Costa Rica; and the shares of an affiliated sales and
marketing company, collectively known as "Caribana." This
transaction further strengthens Fresh Del Monte’s position as
one of the world’s leading fresh produce companies. The
acquisition cost was US$403 million. The Company expects the
acquisition to be accretive to earnings in the first year.
"We are enthusiastic about the financial and operating
advantages that the acquisition of Caribana creates for Fresh
Del Monte Produce, and ultimately, our customers and
shareholders," said Mohammad Abu-Ghazaleh, Fresh Del Monte’s
Chairman and Chief Executive Officer. "Caribana is a natural
fit with Fresh Del Monte. Their products perfectly mirror those
that we currently offer. This transaction substantially
increases Del Monte(R) branded banana and Del Monte Gold(R)
Extra Sweet pineapple production for us from Central America.
Acquiring Caribana dramatically expands our ability to supply
high-quality products to our customers in an environment of
rapidly rising global demand."
Mr. Abu-Ghazaleh added, "In addition, Caribana’s production and
packing facilities are in close proximity to our existing Costa
Rica operations creating significant opportunity for operating
synergies. This transaction provides us with a unique
opportunity to leverage the extensive experience of our
management team to enhance operating efficiencies and accelerate
our cost-savings initiatives. The acquisition will allow us to
capture savings throughout the supply chain. The combination
will increase vessel and warehousing utilization and enhance our
ability to capture cost savings in product procurement, inland
transportation, administration and raw materials. Efficiency is
an ongoing key area of focus for Fresh Del Monte and we believe
this transaction is a huge win, particularly in the current
economic climate. This deal enhances Fresh Del Monte’s position
to capture the attractive opportunities that we have in markets
around the world as we aggressively strive to capitalize on
rising demand for high-quality, healthful, wholesome and
nutritious fresh fruit."
Key Strategic and Financial Benefits:
Enhances existing core product platform for expected revenue and
earnings growth. The addition of Caribana’s extensive
production area substantially increases Fresh Del Monte’s
presence in the banana market and further strengthens the
Company’s number one position in the gold pineapple market.
Caribana sells approximately 18 million boxes of bananas
annually. In 2007, Fresh Del Monte purchased approximately
5 million boxes of bananas from Caribana. The acquired gold
pineapple production is estimated to be approximately 11 million
boxes per year. This transaction firmly positions Fresh Del
Monte to capitalize on growing global demand for fresh produce
and rapidly expand its reach into existing and new markets.
Increases efficiency and generates significant opportunities for
cost-savings synergies. The close proximity of Caribana’s
production and packing operations to Fresh Del Monte’s farms
provides the potential for significant operating efficiencies
and synergies. Cost-savings opportunities range from the
ability to optimize the Company’s logistics and warehousing
platforms to consolidating administrative functions. Fresh Del
Monte also expects to capture cost savings in the procurement of
agricultural supplies, production equipment, fertilizers and
packaging materials.
Builds scale and strengthens current infrastructure. As a
result of the acquisition, Fresh Del Monte's current land
holdings in Costa Rica increased by approximately 13,000
hectares of quality farm land. Many of these farms have
obtained prestigious ISO certifications. In the transaction,
Fresh Del Monte also acquired state-of-the-art packing
facilities, as well as modern farming equipment. Combining
Caribana’s farms and production capabilities with Fresh
Del Monte’s powerful, vertically integrated infrastructure,
allows the company to significantly enhance its ability to
provide the highest quality produce to meet the growing needs of
its global customers.
Rabobank International acted as advisor to Fresh Del Monte in
this transaction.
About Caribana
The Caribana group is a major producer of bananas in Costa Rica
with a management team that has over 25 years of experience in
growing bananas for U.S. and European customers. The group is
also a well-established pineapple producer that supplies gold
pineapples to customers in North America and Europe, sold under
the Linda(R) brand, along with various other brands.
About Fresh Del Monte
Based in the Cayman Islands, Fresh Del Monte Produce Inc. --
http://www.freshdelmonte.com/-- is one of the world's leading
vertically integrated producers, marketers and distributors of
high-quality fresh and fresh-cut fruit and vegetables, as well
as a leading producer and distributor of prepared fruit and
vegetables, juices, beverages, snacks and desserts in Europe,
the Middle East and Africa. Fresh Del Monte markets its
products worldwide under the Del Monte(R) brand, a symbol of
product quality, freshness and reliability since 1892. About
US$197 million total debt was outstanding at March 28, 2008.
Del Monte Fresh Produce Company has operations in Chile, Brazil,
France, Philippines, and Korea.
* * *
As reported in the Troubled Company Reporter-Latin America on
May 23, 2008, Standard & Poor's Ratings Services revised its
outlook on Cayman Islands-based Fresh Del Monte Produce Inc. to
positive from stable. Existing ratings on the company,
including the 'BB-' corporate credit rating, were affirmed.
=============
J A M A I C A
=============
CASH PLUS: Clients Considering Filing for Firm's Liquidation
------------------------------------------------------------
A group of lawyers representing some of Cash Plus Ltd.'s clients
is considering filing for the company's liquidation in court,
RJR News reports.
The lawyers are considering Cash Plus' liquidation to secure
what money is left in the firm, Radio Jamaica says, citing legal
sources.
Radio Jamaica relates that Cash Plus' legal representative Paul
Beswick, in May 2008, challenged co-receiver/manager Kevin
Bandoian's takeover of the firm. Mr. Beswick claimed that the
takeover was illegal and should be returned to the firm's
president Carlos Hill. This made some Cash Plus investors to
seek advice from their attorneys.
The investors don't want Mr. Hill to lead Cash Plus again, the
sources told Radio Jamaica. The investors are positive that if
Mr. Beswick is successful in his application they won't be able
to recover any of their investments.
Investors would recover 16 cents on the dollar, Radio Jamaica
states, citing an attorney, who based the amount on a rough
calculation of Cash Plus' current assets and liabilities.
Cash Plus Limited is an investment club in Jamaica. It
collapsed in 2007 after the Financial Services Commission moved
to regulate its operations. The company is a financial arm of
the Cash Plus Group of Companies, a business conglomerate
established in 2002 by mortgage banker Carlos Hill. The company
offers its participants the opportunity to participate in the
group's ventures which include mergers and numerous
acquisitions.
In April this year, the Supreme Court of Jamaica placed Cash
Plus into receivership. Cash Plus admitted that it wouldn't be
able to pay its lenders until April 14. The firm has 40,000
lenders with loans totaling J$4 billion. Cash Plus was unable
to repay its investors. The Financial Services Commission said
it was informed by the attorney acting on behalf of Cash Plus
that the investment club lacked the funds to start the repayment
of the principal and interest owing to its investors.
PricewaterhouseCoopers' accountant Kevin Bandoian was appointed
as joint receiver-manager for Cash Plus.
NATIONAL WATER: Police Recovers Firm's Stolen Iron Pipes
--------------------------------------------------------
The police has recovered stolen iron pipes for the National
Water Commission, Radio Jamaica reports.
Radio Jamaica relates that scrap metal thieves again attempted
to steal pipes in The Commission's distribution network in
Clarendon. Days before, several feet of iron pipe from
Clarendon.
According to Radio Jamaica, the police found a truck carrying
cast iron pipes traveling along the Chateau main road. The
police believe the pipes were stolen from one of The
Commission's work-site. The two men in the truck fled, leaving
the vehicle behind. The truck is now at the Hayes police
station.
The Commission confirmed that the pipes are for its water
distribution projects, Radio Jamaica states.
The National Water Commission is a statutory organization
charged with the responsibility of providing potable water and
wastewater services for the people of Jamaica.
* * *
The National Water Commission of Jamaica had been criticized for
failing to act promptly in cutting its losses. For the fiscal
years 2002 and 2003, the water commission accumulated a net loss
of US$2.11 billion. The deficit fell to US$1.86 billion the
following year, and to US$670 million in 2004 and 2005.
Jamaican citizens have been complaining to the commission about
water disruptions in their communities, resulting to
restrictions of water use.
* JAMAICA: Fiscal/Monetary Commitments Cue S&P's Stable Outlook
---------------------------------------------------------------
Standard & Poor's Ratings Services has released an update on its
report summary on the island nation of Jamaica.
Rationale
Achieving higher rates of economic growth is one of the main
goals of the Jamaica Labour Party, which came to power in
September 2007. Jamaica's real GDP growth, which averaged 1.6%
over the past decade, continues to be constrained by a crowding
out of the private sector because of the government's high
borrowing needs, labor-market rigidities affecting productivity,
high security costs, and external shocks. Hurricane Dean,
followed by a prolonged rainy period, dampened GDP growth to an
estimated 1.1% in 2007, down from 2.6% in 2006.
The negative impact of the severe weather on agriculture and the
resulting food shortages -- together with surging oil prices --
drove average inflation to 17% in 2007 from 5.7% in 2006. The
GDP growth outlook for 2008 is 2% and incorporates the impact of
the slowdown in the United States, Jamaica's main trading and
tourism partner. However, ongoing gains in construction,
recovery of the agriculture sector, and a still-strong tourism
sector -- demonstrated by robust first-quarter 2008 results and
advanced bookings for newly opened hotels -- should
counterbalance the negative pressures. On the economic side,
Jamaica Labour Party's focus is on restoring growth in the
agriculture sector, increasing capacity in the manufacturing
and export sectors, and aggressive investment promotion.
Fiscal discipline remains the cornerstone of the government's
program. The general government deficit was 5.8% of GDP in
fiscal 2007 (year ended March 31, 2008), which includes the
official fiscal deficit of 4.7% of GDP and the social security
surpluses of 0.4% of GDP, excludes sale of certain assets, and
accounts for the Bank of Jamaica cash losses (0.9% of GDP). The
Jamaica Labour Party was able to outperform the revised budgeted
targets despite spending overruns in the first half of fiscal
2007 and despite the adverse weather conditions in the fall of
2007, which is a remarkable achievement. The 2008 budget
targets a deficit of 4.5% of GDP. Excluding certain one-off
capital revenues, S&P expects that the fiscal deficit will be
5.2% of GDP at the central-government level and 4.9% of GDP at
the general-government level.
The new 2008-2009 budget introduces revenue-enhancing measures,
aims to boost tax compliance, and addresses wage and other
expenditure containment. The tax reform aims to eliminate -- or
at least significantly reduce -- the J$138 billion of
accumulated tax arrears (17% of GDP), improve tax
administration, simplify the tax system, and combat corruption
in the area of tax collection. The government has already
implemented the measures to address these areas. Qualitatively,
the budget is important, as it increases the transparency of
fiscal accounts through bringing on books various spending
previously treated as off-budget.
Guided by the same principles of transparency, the government
aims to rationalize the public sector, merging and downsizing
numerous public entities. Similarly, the government plans to
privatize large loss-making public enterprises.
The government's medium-term goal is to balance the budget by
fiscal 2010 (ending March 31, 2011) and consequently bring down
the level of government debt, which was 126% of GDP in 2007, to
less than 100% of GDP over the same period. According to S&P's
calculation, the debt burden is higher, at 135% of GDP in 2007,
which includes the stock of the Bank of Jamaica's own debt,
equivalent to 17% of GDP. The sensitivity of the debt to the
interest- and foreign-exchange-rate movements remain high, with
variable debt accounting for more than 60% of domestic debt and
external and foreign-currency-denominated debt amounting to half
of total debt as of 2007. The debt cost structure, however, is
improving. Interest consumed 43% of general government revenue
in 2007, down from 65% in 2003.
The intensified cooperation with the multilateral institutions
will likely further reduce the interest cost. In fact, since
September 2007, Jamaica has signed US$117 million worth of loan
agreements with multilateral creditors, while it is negotiating
another US$219 million in loans for the 2008 fiscal year.
Jamaica signed a US$30 million policy-based loan with the Inter-
American Development Bank in April 2008; this is a part of a
three-year US$90 million policy-based loan. This funding will
come in handy in meeting Jamaica's high borrowing requirements
(fiscal deficit and amortization) in fiscal 2008, which should
amount to 20% of GDP.
The external situation remains challenging, as a growing oil
bill and subdued tourism performance in 2007 and possibly this
year are only partly counterbalanced by thus-far strong
remittance inflows. The external current account deficit should
hover at about 15% of GDP in the next two years, and external
liquidity should remain tight, with the external financing gap
expected at 125% of usable reserves and current account receipts
in 2008. Although the situation on the Jamaican foreign
exchange market has stabilized following intermittent pressures
throughout 2007, confidence needs to be supported by disciplined
fiscal policies and a timely monetary response, two crucial
factors that have thus far performed well. Overall,
continuation of the austere fiscal stance -- coupled with
structural improvements to increase the transparency and
efficiency of governance -- is the only viable strategy for
bolstering investor confidence amid gloomier financial and
economic times. This is particularly true given Jamaica's high
debt burden, large amortization needs, and inherent structural
vulnerability to external shocks.
Outlook
The stable outlook balances the government's ongoing commitment
to disciplined fiscal and monetary stances with the risk
stemming from the challenging external environment. Despite the
difficulties facing Jamaican policymakers in the short term, S&P
expects the new Jamaica Labour Party government to benefit from
the strong support of the domestic private sector, multilateral
agencies, and external investors and to act decisively on the
fiscal consolidation front to maintain hard-won macroeconomic
stability. S&P would consider revising the outlook to negative
if the fiscal deterioration or higher-than-expected tightening
in the U.S. dollar liquidity were to put pressure on the
Jamaican exchange market and lead to a sharp drop in investors'
confidence. That would cause capital outflow, exacerbate debt-
rollover risk, and probably necessitate a sharp interest rate
adjustment like the one that occurred in 2003, which would
quickly undo the advancements of the past years in fiscal
consolidation and debt reduction.
===========
M E X I C O
===========
ADS MEDIA GROUP: Posts US$592,068 Net Loss in 2008 First Quarter
----------------------------------------------------------------
Ads Media Group Inc. reported a net loss of US$592,068, on
revenues of US$578,457, for the first quarter ended March 31,
2008, compared with a net loss of US$514,279, on revenues of
US$931,463, in the same period last year.
The increase in net loss was primarily due to the decrease in
revenues.
At March 31, 2008, the company's consolidated balance sheet
showed US$1,655,793 in total assets, US$181,825 in total
liabilities, and US$1,473,968 in total shareholders' equity.
Full-text copies of the company's consolidated financial
statements for the quarter ended March 31, 2008, are available
for free at http://researcharchives.com/t/s?2d92
Going Concern Doubt
Padgett, Stratemann & Co., LLP, in Austin, Texas, expressed
substantial doubt about Ads Media Group Inc.'s ability to
continue as a going concern after auditing the company's
consolidated financial statements for the years ended Dec. 31,
2007, and 2006. The auditing firm reported that the company has
a negative cash flow from operations and has incurred net losses
in the past two years.
Management is currently in negotiations with potential customers
that will provide the needed sales revenues to maintain the
necessary working capital throughout 2008. Management believes
that the investment in, and its use of GPS Technology can lead
to increased sales in all segments of the business.
About Ads Media
Based in San Antonio, Texas, Ads Media Group Inc. (OTC: AMGU) --
http://www.adsmediagroup.com/-- through its Alternative
Delivery Solutions subsidiary specializes in direct marketing
for businesses in the US, Canada, Mexico, and Puerto Rico.
CEMEX SAB: Assets Unit Transferred Irrelevant to Firm's Business
----------------------------------------------------------------
The assets Cemex Venezuela SACA transferred "correspond to
small-scale operations” and aren't very relevant to
CEMEX S.A.B. de C.V.'s overall business, Renzo Dasso at Business
News Americas reports, citing Standard & Poor's Mexico analyst
Jose Coballasi.
BNamericas relates that Venezuelan securities regulator Comision
Nacional de Valores ordered Cemex Venezuela on June 6 to explain
the sale of its assets in Panama and Dominican Republic, which
are controlled locally. Cemex Venezuela also sold small-scale
operations in Trinidad & Tobago and Guadalupe. CNV demanded
that the firm explain its foreign operations and how their sale
will affect the business of its local branch. CNV also asked
for a clarification of payments to local shareholders.
According to BNamericas, Cemex Venezuela said in the minutes of
its last shareholder's meeting in May that "the transfer sought
to maintain the operations and assets that are subject to the
nationalization program in Venezuela."
Mr. Coballasi commented to BNamericas, "In general terms, the
Central American and Caribbean markets have shown good growth
rates and acceptable profits. Although they contribute to Cemex
Venezuela's numbers, the operations in those countries are small
and, therefore, not terribly important, but they do have
interesting growth rates, there is no doubt about that."
Headquartered in Mexico, CEMEX S.A.B. de C.V. --
http://www.CEMEX.com/-- is a growing global building solutions
company that provides high quality products and reliable service
to customers and communities in more than 50 countries
throughout the world, including Argentina, Colombia and
Venezuela. Commemorating its 100th anniversary in 2006, CEMEX
has a rich history of improving the well-being of those it
serves through its efforts to pursue innovative industry
solutions and efficiency advancements and to promote a
sustainable future.
* * *
On May 30, 2005, Moody's Investors Service revised the
ratings outlook on Cemex S.A. de C.V.'s Ba1 ratings to positive
from stable. Ratings affected include the company's Ba1 ratings
on approximately US$110 million in senior unsecured Euro notes
and its senior implied rating.
FRONTIER AIRLINES: Can Hire KPMG LLP as Auditor and Tax Advisor
---------------------------------------------------------------
Frontier Airlines Holdings Inc. and its subsidiaries sought and
obtained permission from the U.S. Bankruptcy Court for the
Southern District of New York to employ KPMG LLP as their
independent auditors and international executive tax advisors,
nunc pro tunc to May 13, 2008.
The Debtors have employed KPMG as independent auditors since
1996; hence, the Debtors believe that the firm is familiar with
their books, records and financial information, and is therefore
qualified to continue to provide auditing and international
executive tax services.
Additionally, KPMG had commenced the audit of the Debtors 2008
financial statements prior to the bankruptcy filing date.
KPMG is expected to render auditing services to the Debtors,
including, but not limited to:
(a) integrated audit of the Debtors' consolidated financial
statements as of, and for the year ended, March 31, 2008,
and for subsequent fiscal years;
(b) audit of the Debtors' internal controls over financial
reporting;
(c) Passenger Facility Charges audit for the year ended
March 31, 2008, and for subsequent fiscal years;
(d) review of quarterly financial statements required to be
filed with the Securities and Exchange Commission;
(e) analysis of accounting issues and advice to the Debtors'
management regarding the proper accounting treatment of
events;
(f) read and comment on the Debtors documents, if any,
required to be filed with the SEC; and
(g) performance of other auditing, tax and advisory services
to the Debtors.
KPMG is expected to also render international executive tax
services, consisting of:
(a) preparation of host country and, if required, home
country individual income tax returns;
(b) preparation of state and local, provincial, communal and
cantonal tax returns;
(c) preparation of requests for extensions of time to file
tax returns, including the computations, where required;
(d) calculation of hypothetical tax to be withheld throughout
the year;
(e) preparation of annual tax reconciliation or equalization
calculations;
(f) consultation during pre-departure and post-arrival tax
orientation sessions;
(g) preparation of amended returns for foreign tax credit
carryback;
(h) preparation of gross-up calculations;
(i) assistance with routine correspondence with the tax
authorities including the review of tax assessments; and
(j) other consulting, advice, research, planning or analysis
regarding tax issues as the Debtors may request from time
to time.
For KPMG's auditing services, the firm will be paid based on
these discounted rates:
Professional Standard Rates Discounted Rates
------------ -------------- ----------------
Partner US$700-875 US$455-569
Managing Director 650-825 423-536
Senior Manager 575-750 374-488
Manager 475-700 309-455
Senior Associates 350-525 228-341
Associates 175-325 114-211
Intern 100 65
For the firm's international executive tax services, it will be
paid:
Professional Standard Rates Discounted Rates
------------ -------------- ----------------
Partner US$725 US$471
Director 650 423
Senior Manager 525 341
Manager 400 260
Senior Associate 325 211
Staff 275 179
KPMG will also be reimbursed for reasonable expenses incurred.
KPMG has not received a retainer from the Debtors. Prior to the
bankruptcy filing date, the firm was owed by the Debtors a
progress billing for professional services of at least
US$115,000. Upon the Court's approval of the Debtors'
application for KPMG's employment, the firm will waive any right
to recover amounts owed to it by the Debtors for services. KPMG
will not be a creditor of the Debtors at any time during its
retention and employment by the Debtors.
Susan D. Heitmann, a partner at KPMG, assures the Court that her
firm does not hold or represent an interest adverse to the
Debtors and their estates, and is a "disinterested person" as
that term is defined in Section 101(14) of the Bankruptcy Code.
About Frontier Airlines Inc.
Headquartered in Denver, Colorado, Frontier Airlines Inc. --
http://www.frontierairlines.com/-- provides air transportation
for passengers and freight. It operates jet service carriers
linking a Denver, Colorado hub to 46 cities coast-to-coast, 8
cities in Mexico, and 1 city in Canada, well as provides service
from other non-hub cities, including service from 10 non-hub
cities to Mexico. As of May 18, 2007 they operated 59 jets,
including 49 Airbus A319s and 10 Airbus A318s.
The Debtor and its debtor-affiliates filed for Chapter 11
protection on April 10, 2008, (Bankr. S.D. N.Y. Case No.: 08-
11297 thru 08-11299.) Hugh R. McCullough, Esq. at Davis Polk &
Wardwell represents the Debtors in their restructuring efforts.
Togul, Segal & Segal LLP is the Debtors' Conflicts Counsel,
Faegre & Benson LLP is the Debtors' Special Counsel, and Kekst
and Company is the Debtors' Communications Advisors. At
Dec. 31, 2007, Frontier Airlines Holdings Inc. and its
subsidiaries reported total assets of US$1,126,748,000 and total
debts of US$933,176,000. (Frontier Airlines Bankruptcy News,
Issue No. 8; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)
FRONTIER AIRLINES: Section 341(a) Meeting Rescheduled to Aug. 22
----------------------------------------------------------------
Diana G. Adams, United States Trustee for Region 2, rescheduled
the meeting of Frontier Airlines Holdings Inc.'s creditors to
Aug. 22, 2008, at 1:30 p.m., Eastern Time, at 80 Broad Street,
4th Floor in New York.
The meeting was originally scheduled for June 22, 2006.
This is the first meeting of creditors required in all
bankruptcy cases under Section 341(a) of the Bankruptcy Code.
All creditors are invited, but not required, to attend. This
Meeting of Creditors offers the one opportunity in a bankruptcy
proceeding for creditors to question a responsible officer of
the Debtor under oath about the company's financial affairs and
operations that would be of interest to the general body of
creditors.
Headquartered in Denver, Colorado, Frontier Airlines Inc. --
http://www.frontierairlines.com/-- provides air transportation
for passengers and freight. It operates jet service carriers
linking a Denver, Colorado hub to 46 cities coast-to-coast, 8
cities in Mexico, and 1 city in Canada, well as provides service
from other non-hub cities, including service from 10 non-hub
cities to Mexico. As of May 18, 2007 they operated 59 jets,
including 49 Airbus A319s and 10 Airbus A318s.
The Debtor and its debtor-affiliates filed for Chapter 11
protection on April 10, 2008, (Bankr. S.D. N.Y. Case No.: 08-
11297 thru 08-11299.) Hugh R. McCullough, Esq. at Davis Polk &
Wardwell represents the Debtors in their restructuring efforts.
Togul, Segal & Segal LLP is the Debtors' Conflicts Counsel,
Faegre & Benson LLP is the Debtors' Special Counsel, and Kekst
and Company is the Debtors' Communications Advisors. At
Dec. 31, 2007, Frontier Airlines Holdings Inc. and its
subsidiaries reported total assets of US$1,126,748,000 and total
debts of US$933,176,000. (Frontier Airlines Bankruptcy News,
Issue No. 8; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)
FRONTIER AIRLINES: Wants Schedules Filing Date Moved to Aug. 25
---------------------------------------------------------------
Frontier Airlines Holdings Inc. and its subsidiaries ask the
U.S. Bankruptcy Court for the Southern District of New York to
further extend the deadline by which they may file their
Schedules for an additional 60 days, through and including
Aug. 25, 2008.
Damian S. Schaible, Esq., at Davis Polk & Wardwell, in New York,
relates that it is unlikely for the Debtors to properly and
accurately prepare their Schedules in time to meet the present
deadline of June 24, 2008.
To prepare the Debtors' (i) schedules of assets and liabilities,
(ii) schedules of current income and expenditures, (iii)
schedules of executory contracts and unexpired leases, and (iv)
statements of financial affairs, the Debtors must compile
voluminous information relating to thousands of proofs of
claims, assets and contracts, which requires a significant
expenditure of time and effort on their employees and
professionals.
Additionally, since bankruptcy filing, significant business and
legal issues have arisen that have required and will continue to
require the Debtors' attention, including, among other things:
-- stabilizing their business operations to maximize the
value of their estates;
-- analyzing a significant number of executory contracts to
determine whether to assume or reject them;
-- evaluating their many aircraft financing arrangements in
accordance with Section 1110 of the Bankruptcy Code and
conducting negotiations with numerous counterparties;
-- analyzing and renegotiating vendor relationships; and
-- preparing their Form 10-K for filing with the
Securities and Exchange Commission by the June 30, 2008
filing deadline.
The office of the United States Trustee has advised that it has
no objection to the Debtors' request, but has urged the Debtors
to finalize and file the Schedules as soon as practicable, says
Mr. Schaible.
Headquartered in Denver, Colorado, Frontier Airlines Inc. --
http://www.frontierairlines.com/-- provides air transportation
for passengers and freight. It operates jet service carriers
linking a Denver, Colorado hub to 46 cities coast-to-coast, 8
cities in Mexico, and 1 city in Canada, well as provides service
from other non-hub cities, including service from 10 non-hub
cities to Mexico. As of May 18, 2007 they operated 59 jets,
including 49 Airbus A319s and 10 Airbus A318s.
The Debtor and its debtor-affiliates filed for Chapter 11
protection on April 10, 2008, (Bankr. S.D. N.Y. Case No.: 08-
11297 thru 08-11299.) Hugh R. McCullough, Esq. at Davis Polk &
Wardwell represents the Debtors in their restructuring efforts.
Togul, Segal & Segal LLP is the Debtors' Conflicts Counsel,
Faegre & Benson LLP is the Debtors' Special Counsel, and Kekst
and Company is the Debtors' Communications Advisors. At
Dec. 31, 2007, Frontier Airlines Holdings Inc. and its
subsidiaries reported total assets of US$1,126,748,000 and total
debts of US$933,176,000. (Frontier Airlines Bankruptcy News,
Issue No. 8; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)
SATELITES MEXICANOS: Alfonso Maza Quits CFO Post
------------------------------------------------
Alfonso Maza has resigned from his position as Chief Financial
Officer of Satelites Mexicanos, S.A. de C.V., as of June 5,
2008, a filing with the U.S. Securities and Exchange Commission
discloses. The regulatory filing, however, did not mention the
reason for his move.
Mr. Maza was appointed to the company's CFO post on Feb. 1,
2007, for an indefinite term.
According to the company, Guillermo Reyes Bustamante has
currently assumed the duties and responsibilities of the CFO
until it designates a new CFO.
Satelites Mexicanos, S.A. de C.V., provides fixed satellite
services in Mexico.
Satmex filed a voluntary petition for reorganization under
Chapter 11 in the Bankruptcy Court (Bankr. S.D.N.Y. Case No. 06-
11868), on Aug. 11, 2006. It concluded its reorganization
efforts on Nov. 30, 2006, and emerged from its U.S. bankruptcy
case.
* * *
As of May 19, 2008, the company still carries these ratings
placed by Moody's since Sept. 5, 2003:
-- Issuer Rating of C,
-- Senior Secured Rating of Caa1,
-- Long-term Corporate Family Rating of Ca, and
-- Senior Unsecured Debt Rating of C.
====================
P U E R T O R I C O
====================
CROWN CASTLE: Moody's Affirms Ba3 Ratings; Outlook Stable
---------------------------------------------------------
Moody's Investors Service has lowered Crown Castle Operating
Company's speculative grade liquidity rating to SGL-2 from SGL-1
and affirmed all of the company's other ratings, as referenced
below. The downgrade of CCOC's liquidity rating reflects higher
than anticipated outstandings under its revolving credit ("RC")
facility which is compounded by the January 2009 maturity of
this facility. The rating outlook continues to be stable,
nonetheless, reflecting Moody's belief that strong cash flow
growth in the context of favorable industry fundamentals over
the rating horizon, offset by the likelihood that material
portions of such cash flow will continue to be directed to
shareholders via share buy backs, will leave CCOC's risk profile
largely unchanged over the near-to-medium term.
Ratings Downgraded:
* Speculative grade liquidity rating to SGL-2 from SGL-1
Ratings Affirmed:
* Corporate Family rating at Ba3
* Probability of Default rating at Ba3
* US$250 million Senior Secured Revolving Credit Facility due
1/6/09 Ba3, LGD3 (48%)
* US$650 million Senior Secured Term Loan due 3/6/2014 Ba3,
LGD3 (48%)
The SGL-2 speculative grade liquidity rating reflects Moody's
view that leading up to the maturity of its revolver in January
2009, CCOC will have roughly US$200 million of available cash
resources to meet cash needs, including mandatory debt
repayments of roughly US$155 million. The US$200 million of
available cash resources is comprised of cash and equivalents on
hand at 31 March 2008 of US$97 million and free cash flow
generation of roughly US$100 million through the 3 quarters to
December 2008. The cash use of approximately US$155 million is
comprised of mandatory debt repayments including US$150 million
of current outstandings under the RC facility (assuming banks do
not extend the maturity) and US$5 million of scheduled term loan
amortization. CCOC does not have any other material debt
amortization prior to 2010, when US$1.9 billion outstanding
under its 2005 securitization vehicle matures along with US$63
million of its convertible senior notes.
Moody's notes that current availability under the RC facility is
not considered a source of cash as the facility matures within
the SGL rating horizon of 4 quarters. Moody's also notes that
the company's RC facility has a 364-day extension option upon
each lender's approval, and the company has indicated that it
continues to have an ongoing dialogue with its relationship
banks and intends to ask for another extension in late fall,
which they feel they will receive. Based on the credit markets,
however, Moody's remains cautious about CCOC's ability to roll
over the RC outstandings. Moody's will monitor the company's
negotiations with its lenders and reassess the liquidity rating,
if warranted, depending on the amounts outstanding and maturity
of the facility.
Moody's believes that CCOC will likely continue its share buy
backs throughout the year, although the company has no
obligation to do so and such buybacks will be measured against
the company's liquidity profile. CCOC's bank facility is
subject to leverage and interest coverage financial maintenance
covenants (the leverage covenant having stepped down by 1x to
8.25x on April 1, 2008), in addition to a requirement to
maintain Debt Service Coverage Ratios above those required by
the related securitization agreements. Moody's expects the
company to maintain compliance with its covenants through the
next 12 months, although covenant cushion may weaken notably in
the latter half of the year as the company likely borrows to
fund its ongoing share repurchases.
Moody's notes that essentially all of CCOC's tower assets have
been pledged under securitization agreements, and its bank
facility is secured by a partial pledge of shares of these same
subsidiaries, which greatly limits access to alternative
liquidity.
Based in Houston, Texas, Crown Castle Operating Company is a
wireless tower operator and is wholly owned by Crown Castle
International Corp (NYSE: CCI). The company has sale office in
Puerto Rico.
FIRST BANCORP: Pays Common, Preferred, Trust Preferred Dividends
----------------------------------------------------------------
First BanCorp'S board of directors has declared the next payment
of the company's dividends on Common, Series A through E
Preferred and Trust Preferred I & II shares. Common
stockholders of record as of June 15, 2008, will receive the
52nd consecutive quarterly dividend payment declared by First
BanCorp's board, in the amount of US$0.07 per share for the 2nd
quarter of 2008, payable on June 30, 2008.
The estimated dividend amounts per share, record dates and
payment dates for the Series A through E Preferred Shares are:
Series US$Per/share Record Date Payment Date
------ ------------ ----------- ------------
A 0.1484375 June 26, 2008 June 30, 2008
B 0.17395833 June 15, 2008 June 30, 2008
C 0.1541666 June 15, 2008 June 30, 2008
D 0.15104166 June 15, 2008 June 30, 2008
E 0.14583333 June 15, 2008 June 30, 2008
Approval was obtained as a part of First BanCorp's previously
announced agreement with the board of governors of the Federal
Reserve System.
First BanCorp (NYSE: FBP) -- http://www.firstbankpr.com/-- is
the parent corporation of FirstBank Puerto Rico, a state
chartered commercial bank with operations in Puerto Rico, the
Virgin Islands and Florida; of FirstBank Insurance Agency; and
of Ponce General Corporation. First BanCorp, FirstBank Puerto
Rico and FirstBank Florida, formerly UniBank, the thrift
subsidiary of Ponce General, all operate within U.S. banking
laws and regulations.
* * *
First Bancorp. currently carries Fitch Ratings' BB long-term
issuer default rating and B short-term issuer default rating.
JETBLUE AIRWAYS: Eyes Flight Additions to Puerto Rico
-----------------------------------------------------
JetBlue Airways Corp. has plans to add flights to Puerto Rico
this winter, bolstering its schedule with added service between
San Juan and Boston, New York, and Orlando.
"At JetBlue, we understand how vital affordable and reliable air
service is to the people and the economy of Puerto Rico," said
JetBlue CEO Dave Barger. "We're pleased to demonstrate our
commitment to the island by redeploying aircraft this winter
into San Juan, one of our strongest markets."
"In the wake of recent route reductions to the island due to
high oil prices, we applaud JetBlue for investing in our island
by increasing service between San Juan and two of our island's
most important markets -- Boston and New York," said Terestella
Gonzalez Denton, Executive Director, Puerto Rico Tourism
Company.
San Juan -- New York: Seven Daily Flights
Beginning in September, JetBlue will add an additional departure
from John F. Kennedy International Airport to San Juan, for a
total of four daily roundtrips. A fifth daily flight begins in
November, while sixth and seventh daily flights begin in
December. In addition to its frequent San Juan service,
JetBlue also jets daily from Aguadilla and Ponce to JFK and
provides the most Puerto Rican flights and destinations from New
York City.
San Juan -- Orlando: Four Daily Flights
Between San Juan and JetBlue's focus city at Orlando
International Airport, the airline will add two daily flights to
its schedule this fall, providing a total of four daily services
on the route. In addition, JetBlue will add a fifth daily
roundtrip during the peak December holiday travel season.
JetBlue also jets daily from Aguadilla and Ponce to Orlando and
operates the most flights between Central Florida and the
Caribbean.
San Juan -- Boston: Service begins in September
Seasonal service on the popular route between San Juan and
Boston's Logan International Airport will begin two months early
this year. Nonstop flights will operate twice-weekly in
September and three-times weekly in October before transitioning
to daily service on November 2. JetBlue will also operate a
second daily nonstop between San Juan and its Boston focus city
during December and January.
JetBlue operates its convenient schedule to Puerto Rico with
100-seat EMBRAER 190 and 150-seat Airbus A320 jets, offering
customers unrivaled comforts including all-leather seating,
industry leading legroom, more than 100 channels of XM Radio
free at every seat, and for a nominal US$5 fee, first-run movies
on its personal seatback televisions in both English and
Spanish. JetBlue's generous snack and beverage selection --
plus its award-winning customer service -- is included in every
low fare.
Award-winning JetBlue will offer up to 18 daily all-jet
departures from Puerto Rico this winter with mainland
connections available to cities from coast to coast including
Washington, D.C. (Dulles); Newark, N.J.; Buffalo; Chicago
(O'Hare); Austin, Texas; and Los Angeles/Long Beach. JetBlue is
proud to employ 131 crewmembers throughout the Commonwealth.
Based in Forest Hills, New York, JetBlue Airways Corporation
(Nasdaq: JBLU) -- http://www.jetblue.com/-- is a passenger
airline that provides customer service primarily on point-to-
point routes. As of Dec. 31, 2007, the company served 53
destinations in 21 states, Puerto Rico, Mexico and the
Caribbean.
At Dec. 31, 2007, the company's consolidated balance sheeet
showed US$5.598 billion in total assets, US$4.562 billion in
total liabilities, and US$1.036 billion in total stockholders'
equity.
* * *
As reported in the Troubled Company Reporter-Latin America on
June 4, 2008, Fitch Ratings assigned a rating of 'CCC-/RR6' to
JetBlue Airways Corp.'s newly-issued US$175 million in
convertible debentures. The debentures, issued in a two-part
offering, each with a 5.5% coupon, mature in 2038. JBLU may
redeem the Series A debentures beginning in October 2013 and the
Series B debentures beginning in October 2015.
As reported in the Troubled Company Reporter-Latin America on
May 22, 2008, Moody's Investors Service downgraded the corporate
family rating of JetBlue Airways Corporation to Caa1 from B3,
well as the ratings of its outstanding corporate debt
instruments and selected classes of JetBlue's Enhanced Equipment
Trust Certificates. Moody's said The rating outlook is
negative.
=================
V E N E Z U E L A
=================
CITGO PETROLEUM: Awards FleetCor Processing & Management Pact
-------------------------------------------------------------
Citgo Petroleum Corp., a Petroleos de Venezuela S.A. unit, has
selected FleetCor, The Global Fleet Card Company, to provide
fleet card processing and program management services for fuel
cards. FleetCor has been awarded the last four competitive bids
for major oil private label fleet card contracts.
FleetCor's Chairperson & Chief Executive Officer Ron Clarke
said, "CITGO's global relationships provide maximum exposure to
all the fleet card providers in the world. We are delighted
with CITGO's decision to continue our business relationship as
it equally supports our goal to become the worldwide leader in
fuel card processing."
CITGO's Business Services and Payment Cards Manager Jonathan
Watson commented, "As with any such strategic relationship,
CITGO diligently reviewed all available options for providing
branded fleet card products to our marketers and consumers.
FleetCor has been an innovative partner for the past four-year
contract, and from our recent review in the market, there was no
one better positioned to continue to move CITGO’s fleet card
capabilities forward."
FleetCor's Private Label Division President Bill Schmit said,
"Since winning the CITGO business from a competitor in 2004,
FleetCor has worked hard to earn the respect of CITGO, its
branded marketers and the end customers of its branded fleet
card program. By focusing on fleet card programs, FleetCor is
able to drive the innovation required in the quickly evolving
market for fleet card programs. CITGO's selection to remain
working with FleetCor validates our strategic view for the
business."
About FleetCor
FleetCor -- http://www.Fleetcor.com/-- The Global Fleet Card
Company, manages and processes commercial fuel cards. FleetCor
serves over 750,000 business fleets and over 3.5 million active
cardholders in North America, Europe, Asia and Africa.
FleetCor’s card programs are marketed under a variety of brand
names including: CCS, CFN, FleetNet, Fuelman, The Fuelcard
Company, Keyfuels Mannatec and Smart. FleetCor and its
subsidiaries employ over 950 associates located in 15 offices
globally. FleetCor is privately owned by management, and a
group of institutional private equity investors including Bain
Capital, Summit Partners, and Advent International.
About Citgo Petroleum
Headquartered in Houston, Texas, Citgo Petroleum Corp. --
http://www.citgo.com/-- is owned by PDV America, an indirect,
wholly owned subsidiary of Petroleos de Venezuela S.A., the
state-owned oil company of Venezuela.
Petroleos de Venezuela is Venezuela's state oil company in
charge of the development of the petroleum, petrochemical, and
coal industry, as well as planning, coordinating, supervising,
and controlling the operational activities of its divisions,
both in Venezuela and abroad.
* * *
As reported in the Troubled Company Reporter-Latin America on
Dec. 21, 2007, CITGO Petroleum Corporation's Issuer Default
Rating was lowered by Fitch to 'BB-' from 'BB' following the
company's announcement that it has taken out a US$1 billion
bridge loan and used the proceeds to make a US$1 billion loan to
parent Petroleos de Venezuela SA (PDVSA IDR 'BB-', Negative
Outlook).
PETROLEOS DE VENEZUELA: To Back Electricity Projects for US$3.7B
----------------------------------------------------------------
Petroleos de Venezuela S.A. is supporting back power generation
projects between 2008 and 2014 for US$3.7 billion, El Universal
reports, citing Deputy Angel Rodriguez, the chairman of the
National Assembly Committee on Energy and Mines.
As stated in a press release, El Universal states, the amount
would account for 41.35% of the investment of US$9 billion
planned in this area over the next seven years.
Mr. Rodriguez said that 33.91% of the lump sum, that is
US$3 billion, will be consumed at the Manuel Piar hydroelectric
plant in Tocoma, southern Bolivar state, the report adds, while
the remaining 24.72% accounts for US&2.2 billion, will fund
several generation projects.
The report says that the operations of the first unit of this
project will start in 2012 and its completion will be finalized
in 2014.
Petroleos de Venezuela S.A. -- http://www.pdvsa.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad. The company has a commercial office in China.
* * *
In March 2007, Standard & Poor's Ratings Services assigned its
'BB-' senior unsecured long-term credit rating to Petroleos de
Venezuela S.A.'s US$2 billion notes due 2017, US$2 billion notes
due 2027, and US$1 billion notes due 2037.
Also in March 2007, Fitch Ratings gave a BB- rating to PdVSA's
Senior Unsecured debt.
On Feb. 7, 2007, Moody's Investors Service affirmed the
company's B1 global local currency rating.
PETROLEOS DE VENEZUELA: To Discuss Guatemala's Petrocaribe Entry
----------------------------------------------------------------
Petroleos de Venezuela S.A. officials will discuss, at a summit
in July, with Guatemala's Energy and Mining Ministry the legal
terms for Guatemala's entry to Venezuela's energy cooperation
program Petrocaribe, Prensa Latina reports.
Caribbean 360 relates that Petrocaribe allows member nations to
buy up to 185,000 barrels of oil per day from Venezuela on
conditions of preferential payment. Under Petrocaribe, member
nations pay 50% of the cost of the oil, with a 25-year facility
to pay the remainder at a 1% yearly interest rate.
The oil pact would help Guatemala deal with increasing oil
prices in the world market, Caribbean 360 says, citing Petroleos
de Venezuela's Vice President Asdrubal Chavez. The government
would be able to invest in social and production programs, Mr.
Chavez added.
Petroleos de Venezuela S.A. -- http://www.pdv.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad. The company has a commercial office in China.
* * *
In March 2007, Standard & Poor's Ratings Services assigned its
'BB-' senior unsecured long-term credit rating to Petroleos de
Venezuela S.A.'s US$2 billion notes due 2017, US$2 billion notes
due 2027, and US$1 billion notes due 2037.
Also in March 2007, Fitch Ratings gave a BB- rating to PdVSA's
Senior Unsecured debt.
On Feb. 7, 2007, Moody's Investors Service affirmed the
company's B1 global local currency rating.
***********
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., Frederick,
Maryland USA. Tara Eliza E. Tecarro, Sheryl Joy P. Olano,
Rizande de los Santos, and Pamella Ritah K. Jala, Editors.
Copyright 2008. All rights reserved. ISSN 1529-2746.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
The TCR Latin America subscription rate is US$625 per half-year,
delivered via e-mail. Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are US$25 each. For
subscription information, contact Christopher Beard at
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* * * End of Transmission * * *