/raid1/www/Hosts/bankrupt/TCRLA_Public/090527.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, May 27, 2009, Vol. 10, No. 103
Headlines
A N T I G U A & B A R B U D A
LIAT LIMITED: Pilots Refuse to Accept Court Grant
A R G E N T I N A
AMENABAR SRL: Proofs of Claim Verification Deadline is July 8
MANIFESTO SA: Asks for Opening of Preventive Contest
B R A Z I L
BANCO DO BRASIL: To Increase Consumer Credit Funds by BRL13 Bln
* BRAZIL: Economists Say GDP to Shrink This Year
C A Y M A N I S L A N D S
ADMIRALTY HOLDINGS: Members Receive Wind-Up Report
BOSTON LIMITED: Members Receive Wind-Up Report
CAIRNCASTLE LIMITED: Members Receive Wind-Up Report
CONSCAST LIMITED: Members Receive Wind-Up Report
CREOLE LIMITED: Members Receive Wind-Up Report
FORTUNE DRAGON: Members Receive Wind-Up Report
MALAVISTA INVESTMENTS: Members Receive Wind-Up Report
PANDA CAPITAL: Members Receive Wind-Up Report
PANTON HOLDINGS: Members Receive Wind-Up Report
VIMAJO LTD: Members Receive Wind-Up Report
WEASEL LIMITED: Members Receive Wind-Up Report
WINTERTIME LIMITED: Members Receive Wind-Up Report
C O L O M B I A
ECOPETROL SA: Gets US$1-Billion Credit From Local Banks
C U B A
* CUBA: Lowers 2009 Growth Forecast to 2 Percent
E C U A D O R
* ECUADOR: Offers Up to 35 Cents Foreign Debt Buyback
J A M A I C A
CABLE & WIRELESS: LIME Posts JM$21.99 Million Revenues in 2009
CASH PLUS: Properties on Sale; Creditors Expect Money Back Soon
CASH PLUS: Lawyer Says Auditor's Fees “Exorbitant”
* JAMAICA: Construction Sector Incurs Third Quarterly Decline
M E X I C O
* Moody's Withdraws 'Ba3' Rating on Municipality of Ahome, Sinaloa
P E R U
* PERU: Officials and Protesters Hold Talks to End Blockade
- - - - -
===============================
A N T I G U A & B A R B U D A
===============================
LIAT LIMITED: Pilots Refuse to Accept Court Grant
-------------------------------------------------
The Leeward Islands Airline Pilots Association (LIALPA) is
preparing to fight the injunction issued by the Industrial Court
in Antigua and Barbuda that blocks Antigua-based LIAT Limited's
pilots to take industrial action against the airline,
Caribbean360.com reports. The report relates LIALPA Chairman
Michael Blackburn insisted that not only should the court not be
able to tell workers they can't protest against what they believe
are unsatisfactory salaries or any other work situation, but as
far as he's concerned, its ruling cannot apply to pilots operating
outside Antigua and Barbuda.
As reported in the Troubled Company Reporter-Latin America on
May 25, 2009, Caribbean Net News said the Industrial Court in
Antigua and Barbuda granted LIAT Limited's request to prevent
Rudolph Lowe, Henry Drakes, Eulton Henry, and the sundry pilots
representing LIALPA from taking industrial action or continuing
any further industrial action whether by strike, go slow, sick
out, or any other related action against the airline. According
to Caribbean Net News, the Order also stated, "The
Respondent/Employees (the pilots) be and are hereby granted
liberty to apply upon the filing of any application and in this
regard the Applicant shall be given 14 days notice of such
application." The Order, the report related, was signed by Philip
A. Pilgrim (President), Samuel A. Aymer and Glendina M. McKay --
the members of the Industrial Court.
Mr. Blackburn, as cited by Caribbean360.com, said the association
would be going to Barbadian attorney Dr Richard Cheltenham to
mount their defense to the injunction.
According to Caribbean360.com, the pilots have been pressing for:
-- a new contract,
-- settlement of issues of overtime and public
holiday pay, and
-– are upset that at a time when they were being
asked to take pay cuts, management employees
were being paid large bonuses.
Mr. Blackburn, the report notes, said the airline had agreed to
settle the contract issue by March 31, or take the matter to
arbitration, however, the deadline had come and gone with
management seemingly uninterested in making progress on the issue.
About LIAT
Headquartered in Antigua and Barbuda, LIAT Limited --
http://www.liatairline.com -- is a passenger airline with a fleet
of Dash 8 turboprop aircraft. The carrier transports passengers
to more than 20 destinations in the Caribbean. The company has
expanded by buying key operating assets of former rival Caribbean
Star, including additional Dash 8s. Before the acquisition was
completed in November 2007, LIAT and Caribbean Star had formed a
commercial alliance that integrated many of their operations.
Among LIAT's major shareholders are the governments of several
Caribbean nations, including Antigua, Barbados, the Grenadines,
and St. Vincent.
* * *
As reported in the Troubled Company Reporter-Latin America on
January 30, 2009, Caribbean360.com News said Regional airline LIAT
is cutting routes as the world economic turbulence takes a toll on
their operations. According to the report, the airline said the
current world economic crisis was impacting on travel patterns in
the Caribbean and the carrier would have to reduce the number of
daily flights in and out of Antigua and Barbuda, Barbados, Guyana,
and St Kitts and Nevis.
=================
A R G E N T I N A
=================
AMENABAR SRL: Proofs of Claim Verification Deadline is July 8
-------------------------------------------------------------
Ernesto Higueras, the court-appointed trustee for Amenabar
S.R.L.'s bankruptcy proceeding, will be verifying creditors'
proofs of claim until July 8, 2008.
Mr. Higueras 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. 16, 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 the company and its creditors.
The Trustee can be reached at:
Ernesto Higueras
Sanchez de Loria 1944
Buenos Aires, Argentina
MANIFESTO SA: Asks for Opening of Preventive Contest
----------------------------------------------------
Manifesto SA. asked for the opening of preventive contest.
The company stopped making its payments on January 3, 2008.
===========
B R A Z I L
===========
BANCO DO BRASIL: To Increase Consumer Credit Funds by BRL13 Bln
---------------------------------------------------------------
Banco do Brasil SA said it will increase consumer credit funds by
BRL13 billion (US$6.43 billion) this year as the result of changes
in risk analysis methodology that include consideration of clients
with favorable credit records, Gerald Jeffris of Dow Jones
Newswires reports. The report relates the bank said that with the
additional credit, it will be able to raise credit limits for 10
million clients.
According to the report, through the end of the first quarter,
Banco do Brasil had reported a credit portfolio of BRL61.1 billion
directed toward individual borrowers.
DJ Newswires says Banco do Brasil's overall credit portfolio for
all borrowers totaled BRL254 billion at the end of the first
quarter this year.
Meanwhile, the report notes Banco do Brasil said it had reduced
interest rates for a variety of consumer credit lines by an
average of 6.19%. The report relates the bank reiterated previous
projections that its lending in 2009 would expand by between 23%
and 25%.
About Banco do Brasil
Banco do Brasil SA is Brazil's federal bank and is the largest in
Latin America with some 20 million clients and more than 7,000
points of sale (3,200 branches) in Brazil, and 34 offices and
partnerships in 26 other countries. In addition to its
traditional retail banking services, Banco do Brasil underwrites
and sells bonds, conducts asset trading, offers investors
portfolio management services, conducts financial securities
advising, and provides market analysis and research.
* * *
As reported by the Troubled Company Reporter-Latin America on
Jan. 20, 2009, Fitch Ratings affirmed Banco do Brasil S.A.'s
Individual Rating at 'C/D'.
* BRAZIL: Economists Say GDP to Shrink This Year
------------------------------------------------
Economists covering Brazil expect the economy to shrink 0.53% in
2009, as the global economic slump leads manufacturers to cut
output and investment, Iuri Dantas of Bloomberg News reports,
citing a central bank survey of about 100 analysts taken May 22.
The report relates the forecast is lower than the 0.49% drop
forecast in a previous survey.
According to the report, Finance Minister Guido Mantega said
Brazil’s economy is showing signs of recovery after the deepest
contraction on record in the last quarter of 2008 and shrinking
for a second straight quarter in the first three months of 2009.
The report says the government has sought to revive growth by
cutting taxes and easing bank reserve requirements while the
central bank has cut its benchmark rate to a record.
“The government has been showing more optimism than the market,”
Roberto Padovani, senior strategist at Banco WestLB do Brazil SA,
told Bloomberg News in a phone interview. “We’ll keep seeing
lower forecasts, as economists are more focused on economic
indicators than government speeches.”
* * *
The country continues to carry Moody's Rating Agency’s “Ba1” local
and foreign currency ratings.
==========================
C A Y M A N I S L A N D S
==========================
ADMIRALTY HOLDINGS: Members Receive Wind-Up Report
--------------------------------------------------
On May 18, 2009, the members of Admiralty Holdings Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
BOSTON LIMITED: Members Receive Wind-Up Report
----------------------------------------------
On May 18, 2009, the members of Boston Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
CAIRNCASTLE LIMITED: Members Receive Wind-Up Report
---------------------------------------------------
On May 18, 2009, the members of Cairncastle Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
CONSCAST LIMITED: Members Receive Wind-Up Report
------------------------------------------------
On May 18, 2009, the members of Conscast Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
CREOLE LIMITED: Members Receive Wind-Up Report
----------------------------------------------
On May 18, 2009, the members of Creole Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
FORTUNE DRAGON: Members Receive Wind-Up Report
----------------------------------------------
On May 18, 2009, the members of Fortune Dragon Limited received
the liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
MALAVISTA INVESTMENTS: Members Receive Wind-Up Report
-----------------------------------------------------
On May 18, 2009, the members of Malavista Investments Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
PANDA CAPITAL: Members Receive Wind-Up Report
---------------------------------------------
On May 18, 2009, the members of Panda Capital Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
PANTON HOLDINGS: Members Receive Wind-Up Report
-----------------------------------------------
On May 18, 2009, the members of Panton Holdings Limited received
the liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
VIMAJO LTD: Members Receive Wind-Up Report
------------------------------------------
On May 18, 2009, the members of Vimajo Ltd. received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
WEASEL LIMITED: Members Receive Wind-Up Report
---------------------------------------------
On May 18, 2009, the members of Weasel Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
WINTERTIME LIMITED: Members Receive Wind-Up Report
--------------------------------------------------
On May 18, 2009, the members of Wintertime Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.
The company's liquidator is:
Buchanan Limited
P.O. Box 1170, George Town
Grand Cayman
===============
C O L O M B I A
===============
ECOPETROL SA: Gets US$1-Billion Credit From Local Banks
-------------------------------------------------------
Colombia-owned oil company, Ecopetrol S.A, said it signed up for a
seven-year, nearly US$1 billion credit with a group of local banks
as part of its investment plans, Javier Mozzo of Reuters reports.
The report recalls the company said it could seek up to US$3.7
billion in debt this year; including issuing debt on the
international market and is also studying other credits; as it
plans to invest US$6.2 billion in 2009. According to Reuters the
company is also looking to spend up to US$10 billion to purchase
overseas assets in the next six years as it expands its
international operations.
Inti Landauro of Dow Jones Newswires reports that among the banks
involved in the loan are:
-- Bancolombia SA,
-- Banco de Bogota SA,
-- Banco Davivienda SA, the local unit of
Banco Bilbao Vizcaya Argentaria SA and
Banco de Occidente SA,
-- Banco AV Villas SA,
-- Banco Popular SA,
-- Banco de Credito SA, and
-- BCSC, the local unit of Banco Santander SA
and state-owned Banco Agrario.
About Ecopetrol S.A.
Ecopetrol S.A. -- http://www.ecopetrol.com.co.-- is the largest
company in Colombia as measured by revenue, profit, assets and
shareholders' equity. The company is Colombia's only vertically
integrated crude oil and natural gas company with operations in
Colombia and overseas. Ecopetrol is one of the 40 largest
petroleum companies in the world and one of the four principal
petroleum companies in Latin America. It is majority owned by the
Republic of Colombia and its shares trade on the Bolsa de Valores
de Colombia S.A. (BVC) under the symbol ECOPETROL. The company
divides its operations into four business segments that include
exploration and production; transportation; refining; and
marketing of crude oil, natural gas and refined-products.
* * *
As of May 19, 2009, the company continues to carry Fitch Ratings'
BB+ foreign currency issuer default ratings.
=======
C U B A
=======
* CUBA: Lowers 2009 Growth Forecast to 2 Percent
------------------------------------------------
Cuba's economy is expected to grow just over 2% this year, down
from a previous forecast of 6%, Reuters reports, citing a state-
run newspaper Juventud Rebelde.
According to the report, citing Juventud Rebelde, Economy and
Planning Minister Marino Murillo said the global financial crisis
had hurt Cuban exports and reduced tourist visits to the
communist-led island. The report relates Mr. Murillo said the
prediction now was that gross national product would be "above two
percent and not six as was thought initially."
The report recalls the government had earlier warned its 6%
forecast was tenuous due to instability in the global economy.
Cuba, Reuters says, is struggling with a shortage of foreign
reserves as a result of the global crisis, three damaging
hurricanes and structural problems in its economy.
* * *
The country continues to carry Moody's Caa1 foreign currency
rating with stable outlook.
=============
E C U A D O R
=============
* ECUADOR: Offers Up to 35 Cents Foreign Debt Buyback
-----------------------------------------------------
Ecuador offered to buy back nearly a third of its foreign debt at
a 65% discount yesterday, May 26, in what the finance ministry
called a one-time offer to creditors holding US$3.2 billion in
defaulted sovereign bonds, Jeanneth Valdivieso of the Associated
Press reports. The report relates Finance Minister Maria Elsa
Viteri said the government will spend up to US$350 for every
US$1,000 worth of so-called Global 2012 and 2030 bonds that it
repurchases.
According to the report, Ms. Viteri said the offers will be
received until June 3 and cannot exceed 35 cents to the dollar.
Results will be announced June 12, she added.
AP says the only option for creditors who refuse the offer is to
present a claim before an international arbitration body, but such
cases have not forced government payouts in other countries in the
past.
The TCR-Latin America, citing Bloomberg News, reported April 23,
2009, that Ecuador President Rafael Correa offered to repay
holders of Ecuador’s defaulted bonds as little as 30 cents on the
dollar as the country’s foreign reserves plunge amid slumping oil
prices, Bloomberg News recalled President Correa skipped a US$30.6
million payment for the country’s 12% bonds due in 2012, calling
the debt “illegal” and “illegitimate.” The move also sent its
bonds due 2015 and 2030 into default, the same report noted. As
reported in the TCRLA on January 15, 2009, Bloomberg News said
Ecuador made an interest payment on its bond due 2015 after
defaulting on other debt for the second time in a decade. The
Associated Press related Mr. Correa considered the Global 2015
bond series as different from the Global 2012 and 2030 bonds
because Ecuador wasn't pressured into agreeing to it.
=============
J A M A I C A
=============
CABLE & WIRELESS: LIME Posts JM$21.99 Million Revenues in 2009
--------------------------------------------------------------
Lime (formerly Cable & Wireless Jamaica) reported JM$21.87 million
in revenues during the year ended March 31, 2009, lower from the
JM$22.77 million in the same period last year. As a group, the
company and its units posted a consolidated revenue of JM$21.99
million in the year ended March 31, 2009, lower compared to the
JM$22.89 million revenues recorded for the same period last year.
The company's balance sheet as of end-March 2009 showed total
assets of JM$48.90 million and total liabilities of JM$34.21,
resulting in a shareholder's equity of JM$14.68 million. As a
group, the company and its units had JM$37.00 million in assets,
JM$21.61 million in liabilities and total shareholders' equity of
JM$15.38 million.
Outlook
Lime says the results demonstrate continued improvement in the
company's financial performance, notwithstanding the challenges
posed by current economic conditions and their direct impact on
demand. However, the company said it will remain focused on
delivering better service to its customers and better performance
for its stockholders as it continues the One Caribbean programme
to reduce costs and improve efficiency.
Lime (formerly Cable & Wireless Jamaica) --
http://home.cwjamaica.com/ -- is a provider of national and
international fixed line services. The company is owned 82% by
Cable & Wireless plc. Cable & Wireless Jamaica also owns Jamaica
Digiport International Limited, a company which provides high
speed data and other telecommunications services exclusively to
freezone and offshore companies.
About Cable & Wireless
Headquartered in London, England, Cable & Wireless plc --
http://www.cw.com/-- is an international telecommunications
company. The Company offers mobile, broadband and domestic and
international fixed line services to homes, small and medium-sized
enterprises, corporate customers and governments. It operates in
39 countries through four major operations in the Caribbean,
Panama, Macau and Monaco & Islands. It operates through two
businesses: International and Europe, Asia & US. Its
International business operates full service telecommunications
companies through four major operations in the Caribbean, Panama,
Macau and Monaco and Islands. Its Europe, Asia & US provides
enterprise and carrier solutions to the largest users of telecom
services across the United Kingdom, continental Europe, Asia and
the United States. Its subsidiaries include Cable & Wireless UK,
Cable & Wireless Jamaica Ltd, Cable & Wireless Panama, SA, Cable &
Wireless (Barbados) Ltd and Monaco Telecom SAM.
* * *
As of March 17, 2009, Cable & Wireless plc continues to carry
Moody's "Ba3" long-term corporate family rating, "B1" senior
unsecured debt rating and "Ba3" probability of default rating with
a stable outlook.
The company also continues to Standard & Poor's "BB-" long-term
foreign and local issuer credit ratings and "B" short-term foreign
and local issuer credit ratings.
CASH PLUS: Properties on Sale; Creditors Expect Money Back Soon
---------------------------------------------------------------
Cash plus Limited's depositors and creditors expect to get back
some of their money soon, as properties owned by Cash Plus were
advertised for sale, RadioJamaica reports.
The report says according to an advertisement published in The
Sunday Gleaner, seven properties owned by Cash Plus Limited and
its subsidiaries and affiliates were advertised for sale:
-- houses, with an estimated value of more
than US$30 million each:
* a town house in Armour Heights,
* a town house on Cherry Drive,
* a town house on Norbrook Drive, and
* apartment at Waterworks Mews.
-- property at Mainland International, March Pen,
St Catherine;
-- property on Old Harbour Road, St Catherine, and
-- property in Kencot, St Andrew.
The report relates Supreme Court Judge Roy Anderson granted the
order for the sale last month after hearing legal arguments from
the trustee in bankruptcy, attorney-at-law Hugh Wildman, who is
the provisional liquidator for Cash Plus.
According to the report, offers in writing are to be made by
June 1, 2009, and addressed to 'Lands for Sale', The Trustee in
Bankruptcy, Third Floor, 52-60 Grenada Crescent, Kingston 5.
About Cash Plus
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 2008, the Supreme Court of Jamaica placed Cash Plus in
receivership. Cash Plus admitted that it wouldn't be able to pay
its lenders until April 14, 2008. 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.
CASH PLUS: Lawyer Says Auditor's Fees “Exorbitant”
--------------------------------------------------
A legal representative of Cash Plus Limited is fearing that the
high fees charged by auditing giant PriceWaterhouseCoopers will
make it difficult for investors to recoup their principal, Al
Edwards of Jamaica Observer reports. "One would have thought that
the objective of PriceWaterhouse would be to identify and quantify
the assets before seeking to ensure that investors get some form
of payment," the report quoted a company lawyer as saying. But it
seems that it is concerned with charging exorbitant fees. Now,
that cannot be right."
The report relates PriceWaterhouseCoopers is insisting that the
scale of the job it has been hired to do is huge, spanning more
than 45 countries, and, in any case, the fees were approved by the
courts. "The courts agreed to the fees and everything is above
board," the report quoted an unnamed PriceWaterhouse official as
saying. "Cash Plus had operations all over the world stretching
from Panama to Hong Kong and they all have to be audited and
accounted for. That in itself is time-consuming and expensive as
it involves engaging the services of many different professionals
such as lawyers, forensic accountants, technicians and IT
specialists. The hotel bills alone are astronomical. The aim is
to identify the assets as quickly as possible. The investigative
work to identify every transaction in 45 countries is mind-
boggling. We had to come up with a report in short order and it
took a lot of work."
According to Jamaica Observer, the PriceWaterhouse report has
identified Cash Plus liabilities at J$25 billion and its assets
with a potential value of J$4 billion. According to the renowned
auditing firm, investors stand to gain anywhere between 5 and 16
Jamaican cents on the dollar, the report says. "Cash Plus
comprised 125 companies," the Observer quoted a PriceWaterhouse
official as saying. "Assets such as the Hilton Hotel, Drax Hall
and other companies are still shrouded in legalities. All the
businesses had no significant income and no cash, and all of them
were loss-making. Cash Plus acquisitions cost higher than the
market value and in many instances the transactions were poorly
structured where the buyer, that is Cash Plus, was very exposed."
The report relates another auditor who worked on the Cash Plus
case added: "The fees are not equal to the value of Cash Plus
properties. We were appointed in March 2008 and concluded work in
late June 2008. To date, the payment of our fees are still
outstanding because the properties have still not been sold."
About Cash Plus
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 2008, the Supreme Court of Jamaica placed Cash Plus in
receivership. Cash Plus admitted that it wouldn't be able to pay
its lenders until April 14, 2008. 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.
* JAMAICA: Construction Sector Incurs Third Quarterly Decline
-------------------------------------------------------------
The downturn in the economy continues to take a toll on
construction activities with the sector suffering its third
quarterly decline, RadioJamaica reports.
According to the report, the latest economic update from the Bank
of Jamaica showed that continued declines in private and public
sector projects as well as residential construction resulted in
the sector contracting by 10% between January and March.
The report relates it was a continuation of the trend since the
June 2008 quarter.
* * *
According to Moody's Web site, the country continues to hold
a B1 foreign currency rating and a Ba2 local currency rating.
===========
M E X I C O
===========
* Moody's Withdraws 'Ba3' Rating on Municipality of Ahome, Sinaloa
------------------------------------------------------------------
Moody's Investors Service has withdrawn issuer ratings for the
Municipality of Ahome, Sinaloa. Moody's has withdrawn this rating
for business reasons.
These ratings and outlook have been withdrawn:
-- Global Scale Rating of Ba3 withdrawn
-- Mexico National Scale Rating of Baa1.mx withdrawn
-- Stable outlook - withdrawn
The last rating action was on October 26, 2005 when the ratings of
the Municipality of Ahome were assigned.
=======
P E R U
=======
* PERU: Officials and Protesters Hold Talks to End Blockade
-----------------------------------------------------------
The government of Peru and indigenous leaders held a first round
of talks yesterday, May 26, in a bid to end a six- week protest
that has shut oil fields and pipelines, Alex Emery of Bloomberg
News reports, citing Cabinet Chief Yehude Simon. The report
relates Mr. Simon said government officials and protest leaders
will review laws that aim to modify land rights in Peru’s Amazon
jungle.
According to the report, Mr. Simon said the government will study
the jungle regions’ needs for more investment in education,
health, roads and electricity services.
As reported in the Troubled Company Reporter-Latin America on
May 26, 2009, Bloomberg News said Petroleos del Peru, S.A.
(PETROPERU) may halt more operations as land-rights demonstrations
spread. The report recalled the company shut a 40,000 barrel-a-
day crude oil pipeline after indigenous protesters seized
facilities in a bid to overturn laws that aim to modify land
rights. According to Bloomberg News, protests have affected
Petroperu’s sales plants in the northern jungle towns of
Yurimaguas and Tarapoto, and may force the closure of the 10,000
barrel-a-day Iquitos refinery. The government, the report
related, on May 9 declared a state of emergency in four regions,
granting the army greater powers to clamp down on the protests and
charged indigenous leaders with insurgency.
* * *
As reported by the Troubled Company Reporter on Aug. 21, 2008,
Moody's Investors Service upgraded the foreign-currency bond
rating of the government of Peru to Ba1 from Ba2 in light of
significant and sustained reductions in foreign-currency related
credit vulnerabilities.
The foreign-currency country ceiling for bonds and notes was
also upgraded to Baa3 from Ba1, and the country ceiling for
foreign-currency bank deposits was raised to Ba2 from Ba3.
Also, the short-term foreign-currency bond ceiling was raised to
Prime-3 (P-3) from Not Prime. All ratings have a stable
outlook.
***********
Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Monday
Bond Pricing table is compiled on the Friday prior to
publication. Prices reported are not intended to reflect actual
trades. Prices for actual trades are probably different. Our
objective is to share information, not make markets in publicly
traded securities. Nothing in the TCR-LA constitutes an offer
or solicitation to buy or sell any security of any kind. It is
likely that some entity affiliated with a TCR-LA editor holds
some position in the issuers' public debt and equity securities
about which we report.
Tuesday's edition of the TCR-LA features a list of companies
with insolvent balance sheets obtained by our editors based on
the latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets. A company may establish reserves on its balance
sheet for liabilities that may never materialize. The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.
A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR-LA. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
***********
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. Marie Therese V. Profetana, Marites O. Claro, Joy
A. Agravente, Pius Xerxes V. Tovilla, Rousel Elaine C. Tumanda,
Valerie C. Udtuhan, Frauline S. Abangan, and Peter A. Chapman,
Editors.
Copyright 2009. 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 240/629-3300.
* * * End of Transmission * * *