/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/141203.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, December 3, 2014, Vol. 15, No. 239 Headlines A N T I G U A & B A R B U D A ANTIGUA & BARBUDA: Chairman Justifies Firings, Need for More LIAT: Urges Restraint Among Pilots B R A Z I L BANCO INDUSTRIAL: Moody's Lowers BFSR to 'D', Outlook Stable BIC-ARRENDAMENTO: Moody's Ups LT Global LC Sub. Debt Rating to Ba1 BRAZIL: Economy Claws Out of Recession CONCESSIONARIA AUTO: Moody's Affirms Ba2 Corporate Family Rating C A Y M A N I S L A N D S ACUCAR INVESTMENTS: Commences Liquidation Proceedings AL-AALIYA LEASING: Commences Liquidation Proceedings BRAZIL ETHANOL: Commences Liquidation Proceedings CANE PRODUCTS: Commences Liquidation Proceedings FACEBOOK CAYMAN: Commences Liquidation Proceedings GLOBAL DIVERSIFIED: Commences Liquidation Proceedings GLOBAL DIVERSIFIED FUND: Commences Liquidation Proceedings NZAM GLOBAL: Commences Liquidation Proceedings NZAM GLOBAL MASTER: Commences Liquidation Proceedings RIVERSTONE ACUCAR: Commences Liquidation Proceedings RIVERSTONE BRAZIL: Commences Liquidation Proceedings RIVERSTONE CANE: Commences Liquidation Proceedings RYDEX SERIES: Shareholder Receives Wind-Up Report TRICO INVESTMENTS: Creditors' Proofs of Debt Due Dec. 16 UBS MULTI-STRATEGY: Commences Liquidation Proceedings J A M A I C A JAMAICA: No Cut in Manufactured Goods Prices Amid Low Fuel Cost M E X I C O MEXICO: IMF OKs 2-Year US$70BB Flexible Credit Line Arrangement P U E R T O R I C O PONCE DE LEON: Fails to Win Confirmation of Exit Plan PUERTO RICO: House Plans Vote on US$2.9 Billion Borrowing Plan - - - - - =============================== A N T I G U A & B A R B U D A =============================== ANTIGUA & BARBUDA: Chairman Justifies Firings, Need for More ------------------------------------------------------------ The Daily Observer reports that Antigua and Barbuda Chairman of the Transport Board, Dean Jonas, said there are far too many people employed at the statutory corporation. Mr. Jonas, who was speaking publicly on the issue for the first time since the retrenchment of workers began, said 90 per cent of the Board's revenue is generated by 25 people, according to Daily Observer. Mr. Jonas questioned the work being done by the rest of the staff. Daily Observer says that the productive workers are employed with the Vehicle Inspection Centre, at Paynters. The board employs 238 staff. "You have a situation where you have 200 and something persons and about 25 of your staff members are responsible for 90 per cent of the revenues," the report quoted Mr. Jonas as saying. The report discloses that when asked how many members of staff need to be let go in order to make the Transport board more rational from a financial point of view, Mr. Jonas said, "the fact of the matter is that if only 25 or 30 staff taking in 90 per cent of the revenue, what are the other 200 hundred doing?" Also speaking on the issue was former Board Chairman Chester Hughes. While Mr. Hughes did not agree with Jonas with regards to revenues at the agency, Hughes acknowledged that additional responsibilities were placed on Transport board during the UPP's tenure, the report notes. "In 2004 the Transport Board had under 100 employees employed there and the government of the day transferred the National School Bus System to the Transport Board for its operation and other expenditures aligned with the school bus system were transferred also," the report quoted Mr. Hughes as saying. The report discloses that Mr. Hughes, also a former UPP Member of Parliament, said the transfer brought with it an additional 100 employees to manage the bus system, later on the board also assumed responsibility of the Road program and the traffic wardens. The report notes that Mr. Jonas also said the Transport Board has a lot of other obligations that it inherited from the United Progressive Party Administration, which also goes against the Act that governs the statutory corporation. However, according to Mr. Hughes, "In about 2012 or 2013, the government of the day, the Ministry of Finance requested of the Transport Board to honor a debt that was assigned to the Transport Board since the Antigua Labor Party was in office, to Finance and Development," the report notes. "The ALP borrowed EC$40 million," the former chairman said, the report relays. Over the past few months, several people have been axed from the government department, the report discloses. Six managers were the first to be given the boot, and weeks later, over 20 people, some with over 10 years of service, were axed, the report notes. According to the Board's management, the measures are being taken to improve the company's financial standing, the report adds. * * * As reported in the Troubled Company Reporter-Latin America on September 23, 2014, The Daily Observer said that Antigua & Barbuda could soon find itself in the company of Japan, Zimbabwe, and Greece, the countries with the highest national debts. In the January 2014 budget presentation, the former administration indicated that the nation's debt was 87 per cent of GDP, according to The Daily Observer. However, Prime Minister Gaston Browne has disputed the figure, deeming it to be as high as 130 per cent, the report noted. Minister Browne said while his government's increased borrowing is pushing up the nation's debt-to-GDP ratio, it is necessary to solve the country's problems, the report related. LIAT: Urges Restraint Among Pilots ---------------------------------- The Daily Observer reports that LIAT, operating as Leeward Islands Air Transport, said it expects the Leeward Islands Airline Pilots' Association (LIALPA) to adhere to the Labor Code's provisions for resolving grievances in lieu of the union's recent threat. Late last week, LIALPA issued a statement warning the general public that it may be forced to take action that could negatively affect travellers over the upcoming Christmas and new year holiday season if its longstanding issues with parent company, LIAT, are not fully resolved by December 10, according to Daily Observer. "The plans of thousands of our customers depend on LIAT during this busy holiday season, and we urge our pilots not to ruin these," a LIAT press release said, the report notes. The report discloses that LIAT's Chief Executive Officer, David Evans, further said any threats from the pilots' association could worsen the company's "precarious financial position" and put the company in further jeopardy. The report relays that Mr. Evans also noted that LIAT's financial position made it even more difficult to resolve the issues raised by LIALPA. The pilots' association detailed its grievances with the airline in an ad placed in the Daily Observer on November 29. It cited EC$13 million placed in a CLICO account and the continual deferral of salaries, among its grievances, the report notes. LIAT further rejected claims from the association that it had acted illegally in respect of court orders, citing that the court had not granted a restraint order against the company and added that it was entitled to act in the way it did for the benefit and protection of all its employee groups, the report relates. Mr. Evans noted that the company remains committed to further dialogue with LIALPA and would continue to strive to resolve the differences between the two parties, the report adds. About LIAT LIAT, operating as Leeward Islands Air Transport, is an airline headquartered on the grounds of V. C. Bird International Airport in Antigua. It operates high-frequency inter-island scheduled services serving 21 destinations in the Caribbean. The airline's main base is VC Bird International Airport, Antigua and Barbuda, with bases at Grantley Adams International Airport, Barbados and Piarco International Airport, Trinidad and Tobago. * * * As reported in the Troubled Company Reporter-Latin America on March 10, 2014, Caribbean360.com said that Leeward Islands Air Transport (LIAT) said it will take "decisive action" to deal with unprofitable routes as the Antigua-based airline seeks to make its operations financially viable. On Sept. 23, 2013, the TCRLA, citing Trinidad and Tobago Newsday, reported that there's much upheaval at the highest levels of LIAT -- the Board and the Executive. Following the sudden resignation of Chief Executive Officer Captain Ian Brunton, comes the news from highly reliable sources that long time chairman Jean Holder is all set to follow. David Evans replaced Mr. Brunton as chief executive officer. =========== B R A Z I L =========== BANCO INDUSTRIAL: Moody's Lowers BFSR to 'D', Outlook Stable ------------------------------------------------------------ Moody's Investors Service has downgraded Banco Industrial and Comercial S.A.'s (BICBANCO) standalone bank financial strength rating (BFSR) to D from D+, thereby lowering the baseline credit assessment (BCA) to ba2 from ba1. At the same time, Moody's upgraded the long-term global local- and foreign-currency deposit ratings to Baa3 from Ba1; the short-term global local- and foreign-currency deposit ratings to Prime-3 from Not Prime. In addition, Moody's upgraded the long-term foreign-currency senior unsecured debt rating to Baa3 from Ba1; the senior unsecured MTN program (foreign currency) rating to (P)Baa3 from (P)Ba1; the long-term foreign-currency subordinated debt rating to Ba1 from Ba2; and the long-term Brazilian national scale deposit rating to Aa1.br from Aa2.br. Also, Moody's affirmed the short-term Brazilian national scale deposit rating of BR-1. The rating agency revised the outlook on all ratings to stable from developing. At the same time, Moody's upgraded Banco Industrial e Comercial S.A., Cayman's long-term foreign-currency debt rating to Baa3 from Ba1 and the senior unsecured MTN program (foreign currency) rating to (P)Baa3 from (P)Ba1, and changed the outlook to stable from developing. The following ratings assigned to Banco Industrial and Comercial S.A. were downgraded, with the outlook changed to stable from developing: Bank financial strength rating to D from D+ The following ratings assigned to Banco Industrial and Comercial S.A. were upgraded, and the outlook changed to stable from developing: Long-term global local-currency deposit ratings to Baa3 from Ba1 Short-term global local-currency deposit ratings to Prime-3 from Not Prime Long-term foreign-currency deposit rating to Baa3 from Ba1 Short-term foreign-currency deposit rating to Prime-3 from Not Prime Long-term foreign-currency senior unsecured debt rating to Baa3 from Ba1 Senior unsecured MTN program (foreign currency) rating to (P)Baa3 from (P)Ba1 Long-term foreign-currency subordinated debt rating to Ba1 from Ba2 Long-term Brazilian national scale deposit rating to Aa1.br from Aa2.br The following ratings of Banco Industrial e Comercial S.A., Cayman were also upgraded, with a stable outlook: Long-term foreign currency senior unsecured debt rating to Baa3 from Ba1 Senior unsecured MTN program (foreign currency) rating to (P)Baa3 from (P)Ba1 The following rating of Banco Industrial e Comercial S.A. was affirmed: Short-term Brazilian national scale deposit rating of BR-1 Ratings Rationale Moody's reassessed BICBANCO's ratings to reflect the formalization of its acquisition by China Construction Bank (CCB, deposits A1 stable, BFSR C-/BCA baa2 stable), which will initially own a 72% stake. Following the tender offer to minority shareholders, CCB's final ownership will likely be close to 100%. Downgrade Of Standalone Rating Moody's downgraded the standalone BFSR to D, from D+, thereby lowering the BCA to ba2 from ba1. The downgrade reflects BICBANCO's ongoing challenges in generating profits, following the meaningful losses over the last two quarters that resulted from a comprehensive reassessment of credit risks, and led to a relevant increase in loan loss provisions. Consequently, the Tier 1 capital ratio decreased to 9.3% in third-quarter 2014, shrinking by 330 basis points in two quarters. BICBANCO's smaller balance sheet, combined with conservative loan origination in light of the weak economic scenario, contributed to lower core earnings performance in the period. Moody's therefore views BICBANCO's current profitability dynamics and capital position as more aligned to a ba2 BCA. The stable outlook on BICBANCO's standalone rating reflects Moody's expectation that net income will become positive over the next 12 to 18 months, although it will likely stabilize at low levels. Moody's views positively the effect of BICBANCO's new ownership on its cost of funds, as the bank replaces expensive maturing funding, and of easing pressures from loan loss provisions. Having carried out a thorough credit review aimed at recognizing the potential problem loans in BICBANCO's portfolio up front, Moody's expects that future loan loss provisions will be manageable. As management refocuses the bank's operations and adjusts its structure to new business targets, the bank's capitalization will likely remain stable, because its internal capital generation, though modest, will be sufficient to support the slow growth of its balance sheet. Upgrade Of Supported Ratings The upgrade of BICBANCO's deposit ratings to Baa3 from Ba1 follows the completion of its acquisition by China Construction Bank, and reflects Moody's assessment of a high likelihood of support from its parent, based on its majority ownership stake and the strategic positioning of the subsidiary given the important trade linkages between Brazil and China. The deposit ratings do not incorporate a probability of systemic support given BICBANCO's modest market share in deposits (0.4%). The last rating action on BICBANCO and Banco Industrial e Comercial S.A., Cayman was on 6 November 2013, when Moody's affirmed all of its ratings and changed the outlook to developing from negative. The rating action followed the 31 October 2013 announcement that BICBANCO's controlling shareholders had agreed to sell their 72% stake to China Construction Bank Corporation, which was subject to regulatory authorities' approval. The principal methodology used in these ratings was Global Banks published in July 2014. Moody's National Scale Credit Ratings (NSRs) are intended as relative measures of creditworthiness among debt issues and issuers within a country, enabling market participants to better differentiate relative risks. NSRs differ from Moody's global scale credit ratings in that they are not globally comparable with the full universe of Moody's rated entities, but only with NSRs for other rated debt issues and issuers within the same country. NSRs are designated by a ".nn" country modifier signifying the relevant country, as in "za" for South Africa. For further information on Moody's approach to national scale credit ratings, please refer to Moody's Credit rating Methodology published in June 2014 entitled "Mapping Moody's National Scale Ratings to Global Scale Ratings". BICBANCO is headquartered in Sao Paulo, Brazil, and had total consolidated assets of BRL14.9 billion (USD6.1 billion) and shareholders' equity of BRL1.4 billion (USD591 million), as of 30 September 2014. BIC-ARRENDAMENTO: Moody's Ups LT Global LC Sub. Debt Rating to Ba1 ------------------------------------------------------------------ Moody's America Latina has upgraded all of its ratings for BIC - Arrendamento Mercantil S.A., including the long-term global local- currency issuer rating to Baa3 from Ba1; the long-term Brazilian national scale issuer rating to Aa1.br from Aa2.br; the long-term global local-currency subordinate debt rating to Ba1 from Ba2; and the long-term Brazilian national scale subordinate debt rating to Aa2.br from Aa3.br. At the same time, Moody's changed the outlook to stable from developing. The rating action is in line with the rating action taken on Banco Industrial and Comercial S.A. (BICBANCO), announced on 1 December 2014 (please refer to PR " Moody's upgrades BICBANCO's ratings; outlook stable "). The following ratings assigned to BIC - Arrendamento Mercantil S.A. were upgraded, with the outlook changed to stable from developing: Long-term global local-currency issuer rating to Baa3 from Ba1 Long-term Brazilian national scale issuer rating to Aa1.br from Aa2.br Long-term global local-currency subordinate debt rating to Ba1 from Ba2 Long-term Brazilian national scale subordinate debt rating to Aa2.br from Aa3.br Ratings Rationale The local-currency issuer rating assigned to BIC - Arrendamento Mercantil S.A. derives from BICBANCO's Baa3 global local-currency deposit rating, which, in turn, incorporates the bank's adjusted baseline credit assessment (Adjusted BCA) of baa3. Moody's upgraded BICBANCO's global local-currency deposit rating to Baa3 from Ba1 following the completion of its acquisition by China Construction Bank (deposits A1 stable, bank financial strength rating C-/BCA baa2 stable), and reflects Moody's assessment of a high likelihood of support from its parent, based on its majority ownership stake and the strategic positioning of the subsidiary given the important trade linkages between Brazil and China. The deposit ratings do not incorporate a probability of systemic support given BICBANCO's modest market share in deposits (0.4%). The last rating action on BIC - Arrendamento Mercantil S.A. was on 6 November 2013, when Moody's affirmed all of its ratings and changed the outlook to developing from negative. The rating action followed the 31 October 2013 announcement that BICBANCO's controlling shareholders had agreed to sell their 72% stake to China Construction Bank Corporation, which was subject to regulatory authorities' approval. The principal methodology used in this rating was Global Banks published in July 2014. Moody's National Scale Credit Ratings (NSRs) are intended as relative measures of creditworthiness among debt issues and issuers within a country, enabling market participants to better differentiate relative risks. NSRs differ from Moody's global scale credit ratings in that they are not globally comparable with the full universe of Moody's rated entities, but only with NSRs for other rated debt issues and issuers within the same country. NSRs are designated by a ".nn" country modifier signifying the relevant country, as in "za" for South Africa. For further information on Moody's approach to national scale credit ratings, please refer to Moody's Credit rating Methodology published in June 2014 entitled "Mapping Moody's National Scale Ratings to Global Scale Ratings". BIC Leasing is headquartered in Barueri, Sao Paulo, Brazil and reported total assets of BRL512.3 million ($232.6 million) and equity of BRL224.2 million ($101.8 million) as of 30 September 2014. BRAZIL: Economy Claws Out of Recession -------------------------------------- Global Insolvency, citing The Wall Street Journal, reports that Brazil clawed out of recession in the third quarter on the back of government spending, but the outlook for Latin America's biggest economy remains clouded by weak investment, wary consumers and rising interest rates. Gross domestic product, the broadest measure of goods and services produced across the economy, expanded 0.1 percent in the third quarter on a seasonally adjusted basis from the previous three months, the Brazilian Institute of Geography and Statistics, or IBGE, said, according to Global Insolvency. That ended the technical recession that Brazil suffered in the first half of the year, the report notes. CONCESSIONARIA AUTO: Moody's Affirms Ba2 Corporate Family Rating ---------------------------------------------------------------- Moody's America Latina affirmed the Ba2 corporate family rating on the global scale (domestic currency), and the A1.br corporate family rating on the National Scale Rating (NSR) of Concessionaria Auto Raposo Tavares S.A. ("CART"), as well as the Ba2 and A1.br ratings on the global (domestic currency) and NSR scales, respectively, of CART's senior secured debentures. At the same time Moody's changed the outlook of all ratings to negative from stable. Ratings Rationale The negative outlook reflects Moody's updated view that the materially lower GDP growth perspective for Brazil as compared to Moody's original growth assumptions will have a direct impact on CART's forecasted revenues and credit metrics since the Company's operation is highly exposed to the Brazilian macroeconomic environment. This exposure is mainly due to the traffic profile (majority of heavy vehicles in equivalent vehicles - VEQ) and the relatively new concession (2009) with a medium to long-term traffic volume ramp-up coupled with a sizeable CAPEX program related to road duplication as per the concession agreement. Furthermore, the high level of investment activity of its controlling shareholder (INVEPAR Ba3/A2.br; stable) somewhat constrains the ratings. On the other hand, Moody's note that the assigned ratings are supported by: (i) the inherent strong asset features of the CART road system that connects a prosperous agricultural region, primarily consisting of grain production (soybeans, corn) and cattle-raising to the city of Sao Paulo and the ports of Santos and Paranagua, which are Brazil's busiest seaports; (ii) increasing operating cash flows supported by long-term concession contract; (iii) moderate competition from alternative roads; and (iv) the track record of a regulatory environment that has been generally supportive, albeit with some political interference. Moreover, the strong ultimate shareholders have shown strong financial support, which further supports the ratings. The ratings assigned to the debentures reflect the priority of claims over CART's assets, with the security shared with the other senior lender, the Brazilian National Development Bank - BNDES, on a pari-passu basis. Concessionaria Auto Raposo Tavares S.A. ("CART" or the "Company") is an operating subsidiary of Investimentos e Participacoes em Infraestrutura S.A. - INVEPAR, one of Brazil's most important groups operating in the infrastructure sector. In March 2009, CART was awarded a 30-year concession by the State of Sao Paulo (Baa2/NEG) to expand, operate and maintain the 444 km road system composed by three main road segments: (i) SP 270 (Raposo Tavares); (ii) SP 225 (Joao Renno); and (iii) SP 327 (Orlando Quagliato), crossing the Administrative Regions of Presidente Prudente and Bauru, and the Government Region of Assis, which accounts for approximately 3.5% of the GDP of the State. The overall area under direct and indirect influence of CART comprises the southern part of the State of Mato Grosso do Sul, Northern Paran State and Western Sao Paulo State. These regions have a combined population of approximately 6 million people and a GDP per capita of approximately U$11,000, among the highest in the country. The Company reported a tolled traffic volume of 39,952 in equivalent vehicles (VEQ) in the nine months ended on September 2014, a growth of 6.5% compared to the same period in 2013. For the FY2013, CART reported 51,556 thousand VEQ, a growth of 9.6% vs. FY2012. CART has demonstrated a solid but short track record of growing traffic volume, which is heavily dependent on agricultural activity and concentrated on heavy vehicles (70% and expected to increase to 72%-73% in the next five years) while light vehicles account for the remaining 30% of the total VEQ. Moody's foresee a significant ramp - up in CART's traffic volume until 2017 due to the completion of the road duplication CAPEX, with an additional 217km completed in the period, as per the concession agreement. As per Moody's Privately Managed Toll Roads methodology published in May 2014, the traffic of heavy vehicles tends to be more volatile than commuter traffic since it is highly correlated with the country's GDP. CART's increasing operating cash flows result from its long-term concession and the expected traffic volume ramp-up due to the completion of the road duplications program up to 2015-2016. Tariffs are adjusted once a year in July according to the general price index (IPCA), which has largely kept pace with operating costs. According to Moody's standard adjustments, in the past three years (2012 to 3Q14 LTM), the average Funds From Operations (FFO)-to-Debt ratio was 8.2% while Cash Interest Coverage ratio averaged 2.2x. These metrics are impacted by a still significant CAPEX program since, pursuant to the concession contract, CART has the obligation to invest about BRL1.680 billion (nominal) over the life of the concession, primarily related to the duplication of 217 km of roads. Despite CART's high leverage and short operating track record, Moody's consider CART's current liquidity position satisfactory given the debt and equity financing that has been committed by the BNDES (BRL1,052 million) and the equity contribution from INVEPAR's shareholders that up to November 2014 totaled BRL 745 million, as well as the successful BRL750 million infrastructure debenture issuance in late 2012. CART has secured long-term financing from BNDES, a significant portion of which has already been disbursed. Also, INVEPAR is contractually required to provide equity support in case there is a financial covenant breach. This commitment is valid up to Dec 2016 as per the debentures' indenture and up to Dec 2018 as per the BNDES contract. According to the debentures' indenture, CART is required to comply with certain financial covenants (Net Worth-to-Total Assets higher than 20%; minimum Debt Service Coverage Ratio of 1.2x). Non- compliance with these covenants will trigger the equity contribution mentioned above. Also, the non fulfillment of the equity contribution will trigger the debt acceleration, and as of Sep 2014, CART was in compliance with both covenants. The debentures have cross-default provisions with BNDES' loan and the security package offered by CART consists of the pledge of CART's shares, as well as the assignment of CART's concession rights including cash and receivables resulting from the operation of the concession, and the security trust accounts. The debentures' indenture does not contain cross default provisions with any obligations of CART's immediate or ultimate shareholders. INVEPAR has a track record of making sizeable investments in the transportation sector, including investments outside the toll road concession sector, such as METRORIO, the International Airport of Guarulhos (GRU Airport) and, more recently, VLT Carioca, a 25-year concession to develop a light rail transit system that will connect the Rio de Janeiro port area with the financial district and the Santos Dumont airport in downtown Rio de Janeiro. INVEPAR's ultimate shareholders have demonstrated strong financial support. In addition, the Company has successfully financed its concessions, mostly in the form of long-term project finance debt from BNDES, Caixa Economica Federal (CEF), BNB which has been complemented with the issuance of debentures. Investimentos e Participacoes em Infraestrutura S.A. - INVEPAR (Ba3/A2.br; stable), was established in March 2000 and is a holding company (the "HoldCo") controlled by the three largest Brazilian pension funds (PREVI, FUNCEF and PETROS) and the engineering and construction group OAS, which includes its subsidiaries OAS Investimentos S.A., and Construtora OAS S.A.. (B1; NEG). Comparing the last twelve months (LTM) ended on September 30, 2014 (LTM 09/30/14) with the LTM ended on December 31, 2013 (LTM 12/31/2013), according to Moody's standard adjustments INVEPAR reported consolidated net revenues (excluding construction revenues) of BRL2,901 million (up 18%), and Long-Term Debt of BRL20,612 million (up 12%). ========================== C A Y M A N I S L A N D S ========================== ACUCAR INVESTMENTS: Commences Liquidation Proceedings ----------------------------------------------------- On Oct. 17, 2014, the shareholder of Acucar Investments Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Thomas Walker 712 Fifth Avenue, 51st Floor New York NY 10019, USA Telephone: +1 (345) 914 6365 AL-AALIYA LEASING: Commences Liquidation Proceedings ---------------------------------------------------- On Oct. 17, 2014, the shareholder of Al-Aaliya Leasing Limited resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 3, 2014, will be included in the company's dividend distribution. The company's liquidator is: Intertrust SPV (Cayman) Limited 190 Elgin Avenue, George Town Grand Cayman KY1-9005 Cayman Islands c/o Jennifer Chailler Telephone: (345) 943-3100 BRAZIL ETHANOL: Commences Liquidation Proceedings ------------------------------------------------- On Oct. 17, 2014, the shareholder of Brazil Ethanol Holdings, Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Thomas Walker 712 Fifth Avenue, 51st Floor New York NY 10019, USA Telephone: +1 (345) 914 6365 CANE PRODUCTS: Commences Liquidation Proceedings ------------------------------------------------ On Oct. 17, 2014, the shareholder of Cane Products Capital Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Thomas Walker 712 Fifth Avenue, 51st Floor New York NY 10019, USA Telephone: +1 (345) 914 6365 FACEBOOK CAYMAN: Commences Liquidation Proceedings -------------------------------------------------- On Oct. 14, 2014, the members of Facebook Cayman Holdings Unlimited I resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Nov. 24, 2014, will be included in the company's dividend distribution. The company's liquidator is: Appleby Trust (Cayman) Ltd. c/o Richard Gordon Telephone: +1 (345) 949 4900 75 Fort Street, PO Box 1350 Grand Cayman KY1-1108 Cayman Islands GLOBAL DIVERSIFIED: Commences Liquidation Proceedings ----------------------------------------------------- On Oct. 14, 2014, the shareholders of Global Diversified Alternative Ltd. resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Nov. 28, 2014, will be included in the company's dividend distribution. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949 7576 Facsimile: (345) 949 8295 P.O. Box 897 Windward 1 Regatta Office Park Grand Cayman KY1-1103 Cayman Islands GLOBAL DIVERSIFIED FUND: Commences Liquidation Proceedings ---------------------------------------------------------- On Oct. 14, 2014, the shareholders of Global Diversified Alternative Fund Ltd resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Nov. 28, 2014, will be included in the company's dividend distribution. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949 7576 Facsimile: (345) 949 8295 P.O. Box 897 Windward 1 Regatta Office Park Grand Cayman KY1-1103 Cayman Islands NZAM GLOBAL: Commences Liquidation Proceedings ---------------------------------------------- On Oct. 17, 2014, the shareholder of NZAM Global Fund Ltd resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 3, 2014, will be included in the company's dividend distribution. The company's liquidator is: Highwater Limited c/o Nicole Gagliano Telephone: (345) 943 2295 Facsimile: (345) 943 2294 Grand Pavilion Commercial Centre, 1st Floor 802 West Bay Road P.O. Box 31855 Grand Cayman, KY1-1207 Cayman Islands NZAM GLOBAL MASTER: Commences Liquidation Proceedings ----------------------------------------------------- On Oct. 17, 2014, the shareholder of NZAM Global Master Fund Ltd resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 3, 2014, will be included in the company's dividend distribution. The company's liquidator is: Highwater Limited c/o Nicole Gagliano Telephone: (345) 943 2295 Facsimile: (345) 943 2294 Grand Pavilion Commercial Centre, 1st Floor 802 West Bay Road P.O. Box 31855 Grand Cayman, KY1-1207 Cayman Islands RIVERSTONE ACUCAR: Commences Liquidation Proceedings ---------------------------------------------------- On Oct. 17, 2014, the shareholder of Riverstone Acucar Investments Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Thomas Walker 712 Fifth Avenue, 51st Floor New York NY 10019, USA Telephone: +1 (345) 914 6365 RIVERSTONE BRAZIL: Commences Liquidation Proceedings ---------------------------------------------------- On Oct. 17, 2014, the shareholder of Riverstone Brazil Investments Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Thomas Walker 712 Fifth Avenue, 51st Floor New York NY 10019, USA Telephone: +1 (345) 914 6365 RIVERSTONE CANE: Commences Liquidation Proceedings -------------------------------------------------- On Oct. 17, 2014, the shareholder of Riverstone Cane Investments Ltd. resolved to voluntarily liquidate the company's business. Creditors are required to file their proofs of debt to be included in the company's dividend distribution. The company's liquidator is: Thomas Walker 712 Fifth Avenue, 51st Floor New York NY 10019, USA Telephone: +1 (345) 914 6365 RYDEX SERIES: Shareholder Receives Wind-Up Report ------------------------------------------------- The shareholder of Rydex Series Managed Commodities Strategy CFC received on Nov. 25, 2014, the liquidator's report on the company's wind-up proceedings and property disposal. The company commenced liquidation proceedings on Oct. 7, 2014. The company's liquidator is: Stuarts Walker Hersant Telephone: (345) 949 3344 Facsimile: (345) 949 2888 P.O. Box 2510 Grand Cayman KY1-1104 Cayman Islands TRICO INVESTMENTS: Creditors' Proofs of Debt Due Dec. 16 -------------------------------------------------------- The creditors of Trico Investments Limited are required to file their proofs of debt by Dec. 16, 2014, to be included in the company's dividend distribution. The company commenced liquidation proceedings on Oct. 17, 2014. The company's liquidator is: Lion International Management Limited Craigmuir Chambers Road Town, Tortola British Virgin Islands c/o Philip C Pedro HSBC International Trustee Limited Compass Point 9 Bermudiana Road Hamilton HM 11 Bermuda Telephone: (441) 299-6482 Facsimile: (441) 279-5832 UBS MULTI-STRATEGY: Commences Liquidation Proceedings ----------------------------------------------------- On Oct. 14, 2014, the shareholders of UBS Multi-Strategy Alternative Fund Limited resolved to voluntarily liquidate the company's business. Only creditors who were able to file their proofs of debt by Dec. 3, 2014, will be included in the company's dividend distribution. The company's liquidator is: Matthew Wright c/o Omar Grant Telephone: (345) 949 7576 Facsimile: (345) 949 8295 P.O. Box 897 Windward 1 Regatta Office Park Grand Cayman KY1-1103 Cayman Islands ============= J A M A I C A ============= JAMAICA: No Cut in Manufactured Goods Prices Amid Low Fuel Cost --------------------------------------------------------------- RJR News reports that Jamaica's manufacturers have cautioned that the reduction in fuel prices will not lead to an automatic lowering of prices for goods. The Jamaican Government is expecting a further fall in petrol prices in the short term, with last week's decision by OPEC not to cut petroleum production, despite a plunge in prices in recent months, according to RJR News. But, according to Brian Pengelley, President of the Jamaica Manufacturer's Association (JMA) there will be a lag before its members can pass on the benefits to consumers, the report relates. =========== M E X I C O =========== MEXICO: IMF OKs 2-Year US$70BB Flexible Credit Line Arrangement --------------------------------------------------------------- The Executive Board of the International Monetary Fund (IMF) approved a successor two-year arrangement for Mexico under the Flexible Credit Line (FCL) in an amount equivalent to SDR 47.292 billion (about US$70 billion). The Mexican authorities stated their intention to treat the arrangement as precautionary. The FCL is particularly useful for crisis prevention purposes as it provides the flexibility to draw on the credit line at any time. Disbursements are not phased nor conditioned on compliance with policy targets as in traditional IMF-supported programs. This flexible access is justified by the very strong track records of countries that qualify for the FCL, which gives confidence that their economic policies will remain strong. Mexico's first FCL arrangement was approved on April 17, 2009, and was renewed on March 25, 2010, January 10, 2011, and November 30, 2012. Following the Executive Board's discussion on Mexico, Mr. David Lipton, First Deputy Managing Director and Acting Chair, issued the following statement: "Mexico has in place very strong policy frameworks aimed at maintaining prudent macroeconomic policies. Monetary policy is guided by an inflation targeting regime in the context of a flexible exchange rate; fiscal policy is governed by a fiscal responsibility law; and financial oversight is based on a sound regulatory and supervisory framework. These frameworks and strong public and private sector balance sheets have underpinned Mexico's resilience to the global crisis. "The authorities have made impressive strides in advancing structural reforms over the past year and a half, including in the energy, telecommunications, and financial sectors, as well as anti-trust regulation, labor markets, and the education sector. These reforms will boost productivity and output over the medium term. "Mexico's economic growth is recovering, supported by a strengthening U.S. economy. Macroeconomic policies have aimed to support the recovery and gradually build policy buffers. Mexico's open and liquid financial markets have bolstered foreign portfolio and direct investments in recent years and can facilitate adjustment to external shocks. "The country's close ties with the global economy are a testament to the economy's strength but heighten the economy's exposure to external risks. An abrupt surge in global financial market volatility could lead to a reversal of capital flows to emerging markets, including to Mexico. The authorities are committed to adopting appropriate measures to deal with any shock. The successor arrangement under the Flexible Credit Line (FCL), which the authorities intend to treat as precautionary, will continue to play an important role in supporting the authorities' macroeconomic strategy by providing insurance against global downside risks and bolstering market confidence. "The authorities do not intend to make permanent use of the FCL. They will continue to assess global conditions and intend to reduce access in any subsequent FCL arrangement, conditional on a reduction of global risks affecting Mexico." ====================== P U E R T O R I C O ====================== PONCE DE LEON: Fails to Win Confirmation of Exit Plan ----------------------------------------------------- Bankruptcy Judge Enrique S. Lamoutte ruled that the market value to a single purchaser (bulk value) of Ponce de Leon, 1403, Inc.'s property in controversy is $4,634,328 which is comprised of $3.3 million for the residential units and $1,334,328 for two commercial locales. PRLP 2011 Holdings LLC's amended proof of claim #7-2 lists its claim as of the petition date in the amount of $14,496,907.24. PRLP in its proof of claim references the Annex for certain line items such as the value of property, amount of the secured claim and the amount unsecured. In the Annex to Proof of Claim, PRLP discloses that it filed this supplement to the claim to submit the revised amount of its claim as of March 25, 2014 the total amount of $6,376,980.54 which consists of the following components: (i) $5,645,089.73 in principal; (ii) $488,949.53 in accrued interest; (iii) $202,529.50 in legal fees; and (iv) $40,411.78 in other costs (Claims Register, proof of claim #7-2, Exhibit A). Judge Lamoutte said the $4,634,328 market value of the property as of the confirmation date is $1,010,761 less than the amount of PRLP's principal ($5,645,089.73), thus, PRLP will be left with a deficiency or an unsecured claim, irrespective of the amounts ultimately determined for interest, fees, and costs. Consequently, the Debtor's proposed surrendering of the property does not constitute the indubitable equivalent of PRLP's claim (entire), as the market value of the subject property is approximately $1 million dollars ($5,645,089.73 - $4,634,328 = $1,010,761.73) below PRLP's principal, exclusive of legal fees, accrued interest and other costs. Accordingly, Judge Lamoutte said, confirmation of the Debtor's Amended Plan of Reorganization dated January 25, 2013 is denied. The judge, however, gave the Debtor 21 days from the date the Opinion and Order has been docketed to file an amended Chapter 11 plan. The Debtor had requested valuation, indicating to the Court that it would proceed with confirmation of its Plan under Scenario B, which is to surrender "all the property" that constitutes the collateral of PRLP. The Debtor contends that by surrendering the collateral the secured creditor will receive the indubitable equivalent of its secured claim. PRLP objects to the Plan. PRLP also filed a Brief on Valuation for Hearing on Confirmation of Amended Plan arguing that the appropriate methodology that should be employed is the bulk sale value which is also known as the market value to a single purchaser which is a conservative approach to valuation of collateral that is consistent due to the risks being shifted to PRLP by the Debtor's proposed surrendering of the collateral. Confirmation hearings were held on April 8 and 24, 2014 in which expert testimony from three appraisers was heard by the court. A copy of the Court's November 25, 2014 Opinion and Order is available at http://is.gd/U2O9Jzfrom Leagle.com. About Ponce De Leon San Juan, P.R.-based Ponce De Leon 1403, Inc., developed, constructed, and operates the Metro Plaza Tower condominium and commercial property project in Santurce, Puerto Rico. The Metro Plaza Tower project consists of two 15-story towers atop a base structure that serves as a parking garage, common area, and retail space. Each tower houses 87 residential units. The base structure provides approximately 567 parking spaces and has approximately 14,000 square feet of commercial space available for lease. The common areas of the project include a swimming pool, a gym, gardens and a gazebo. Ponce De Leon 1403 Inc. filed for Chapter 11 protection (Bank. D. P.R. Case No. 11-07920) on Sept. 19, 2011. The Debtor estimated both assets and debts of between US$10 million and US$50 million. Carmen Conde Torres, Esq., and Luisa S. Valle Castro, at C. Conde & Assoc., in Old San Juan, Puerto Rico, represent the Debtor as counsel. The Debtor filed a Plan of Reorganization dated April 13, 2012. The Debtor won approval of the explanatory Disclosure Statement on June 25, 2012. It amended the Plan on Jan. 25, 2013. Under the Plan, the Debtor will generate revenue by selling all of the remaining residential units and selling or leasing commercial spaces in the Metro Plaza Towers project, including the public parking spaces. PUERTO RICO: House Plans Vote on US$2.9 Billion Borrowing Plan -------------------------------------------------------------- Michelle Kaske at Bloomberg News reports that Puerto Rico's House of Representatives is set to vote as soon as today, Dec. 3, on a US$2.9 billion borrowing plan that would bolster the Government Development Bank and fund public transportation. House members recessed until Dec. 3 after discussing amendments to a bill that would raise the junk-rated commonwealth's petroleum tax to US$15.50 per barrel, from US$9.25, with some of the additional revenue going to back bonds, according to Bloomberg News. Bloomberg News notes that lawmakers are debating whether the increase would take effect at the same time as an anticipated tax overhaul in 2015 and how the steeper levy would be enforced, said Danny Hernandez, a spokesman for Jaime Perello Borras, the chamber's president. Approval in the House would send the measure to the Senate, Mr. Hernandez said, Bloomberg News notes. "Some of them are asking about when the tax reform is going to be implemented," Mr. Hernandez told Bloomberg News in a telephone interview. Bloomberg News relates that the bill would allow the infrastructure Financing Authority to sell as much as US$2.9 billion of debt backed by oil-tax revenue. Proceeds would repay US$2.3 billion of Highways & Transportation Authority obligations, most of which is owed to the Government Development Bank, which handles debt sales for the U.S. territory, Bloomberg News relays. The proposed tax increase would also support public buses and trains, Bloomberg News discloses. Governor Alejandro Garcia Padilla had threatened to stop bus and rail service after lawmakers last month failed to pass the bill at the end of the regular legislative session, Bloomberg News notes. The governor called off the planned transit shutdown early this week, Bloomberg News adds. *********** 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. 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., Washington, D.C., USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, and Peter A. Chapman, Editors. Copyright 2014. 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$775 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 Peter A. Chapman at 215-945-7000 or Nina Novak at 202-362-8552. * * * End of Transmission * * *