TCRLA_Public/081219.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

            Friday, December 19, 2008, Vol. 9, No. 252

                            Headlines

A R G E N T I N A

CENTERNET SA: Trustee Verifying Proofs of Claim Until March 17
LUNITO SA: Trustee Verifying Proofs of Claim Until March 2
TRANSPORTADORA DE GAS: Fitch Downgrades Issuer Rating to 'C/C'
UNIVERSALFLET SA: Trustee Verifying Proofs of Claim Until March 3


B E L I Z E

* S&P Affirms 'B' Long-Term Sovereign Credit Ratings on Belize


B E R M U D A

FINNJET BERMUDA: Creditors' Meeting Set for December 23
NAGARA TAM: Creditors' Meeting Set for December 23
SEA CONTAINERS: Creditors' Meeting Set for December 23
SEACAT LTD: Creditors' Meeting Set for December 23
SEACAT 2: Creditors' Meeting Set for December 23

SUPERSEACAT 3: Creditors' Meeting Set for December 23
SUPERSEACAT 4: Creditors' Meeting Set for December 23
TEXAS INSTRUMENTS: Creditors' Proofs of Debt Due on January 6
TEXAS INSTRUMENTS: Members' Final Meeting Set for January 26
VESSEL HOLDINGS: Creditors' Meeting Set for December 23


B R A Z I L

BANCO DO BRASIL: JP Morgan Lowers Rating to "Neutral"
BRACOL HOLDING: Moody's Affirms 'Ba3' CFR; Outlook Negative
BRASKEM S.A.: Board Approves R$500-Mil. Green Polyethylene Project
BRASIL TELECOM: Regulator May Restrict Firm's Deal With Telemar
CSN: Gets Commission of European Communities' OK on NAMISA Sale

CSN: Sees Another 3,000 Employee Layoffs in Headquarters
GENERAL MOTORS: E.D. Mich. Preps for Chapter 11 Filing in Detroit
GENERAL MOTORS: Will Stop Construction of Flint Factory
RYDER SYSTEM: Halts Operations in Brazil, Argentina and Chile


C A Y M A N  I S L A N D S

ATTANSIC TECHNOLOGY: Final General Meeting Set for December 29
BARNET PARTNERS: Shareholders' Final Meeting Set for December 29
BLACK ARROW: Final General Meeting Set for December 24
BLUE FUND: Final General Meeting Set for December 29
BRC MARKET: Final General Meeting Set for December 24

BUTTONWOOD CAPITAL: Final General Meeting Set for December 29
BUTTONWOOD FOCUS: Final General Meeting Set for December 29
CLARUS CAPITAL: Shareholders' Final Meeting Set for December 24
CRG/FX TRADING: Shareholders' Final Meeting Set for December 29
DELPHIC CAPITAL: Shareholders' Final Meeting Set for December 29

GLOBAL MAESTRO: Shareholders' Final Meeting Set for December 24
GULF & DALLAS: Members' Final Meeting Set for December 29
ING LEASE: Shareholders' Final Meeting Set for December 26
NORTH SEA: Fitch Junks Ratings on $90MM Class B & C Notes
PARATY OVERSEAS: Shareholders' Final Meeting Set for December 29

RAINBOW SKYLINE: Shareholders' Final Meeting Set for December 29
SAX LEASING: Members' Final Meeting Set for December 31
SOLUS SHORT: Shareholders' Final Meeting Set for December 30
SOLUS SHORT: Shareholders' Final Meeting Set for December 30
STRATEGIC CAPITAL: Final General Meeting Set for December 29

THE MACRO: Shareholders' Final Meeting Set for December 24
WESTERLY GLOBAL: Final General Meeting Set for December 29
WESTERLY GLOBAL: Final General Meeting Set for December 29
WHITEBRIDGE ASIA: Shareholders' Final Meeting Set for December 30


C O L O M B I A

ECOPETROL: Releases Capital Expenditure Plans for 2009
QUEBECOR WORLD: Four Directors Step Down from Board


D O M I N I C A N  R E P U B L I C

BANCREDITO: Supreme Courts Says No to Conviction Appeal


E C U A D O R

* ECUADOR: Inpex Corp to Buy 40% Stake in Ecuador Field


G U Y A N A

* GUYANA: Labor Minister Says Credit Unions Poorly Managed


M E X I C O

UNION DE CREDITO: Moody's Assigns BSFR at 'E+'; Outlook Stable


P U E R T O  R I C O

ANTIOCH CO: U.S. Trustee Forms Five-Member Creditors Committee


V E N E Z U E L A

BANESCO BANCO: Fitch Affirms Issuer Default Ratings at 'B'
BANCO DEL CARIBE: Fitch Affirms Issuer Default Ratings at 'B'
PETROLEOS DE VENEZUELA: Fitch Downgrades Debt Ratings to 'B+'
PDVSA: To Merge 3 Joint Ventures to Cut Costs


X X X X X X X X

* Delphi Chairman Says Detroit 3 Need Pseudo-Bankruptcy
Moody's Says Likely Scenario Is Gov't Support for Automakers


                         - - - - -


=================
A R G E N T I N A
=================

CENTERNET SA: Trustee Verifying Proofs of Claim Until March 17
--------------------------------------------------------------
The court-appointed trustee for Centernet S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
March 17, 2009.

The trustee will present the validated claims in court as
individual reports on May 4, 2009.  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 the
company and its creditors.

A general report that contains an audit of the company's
accounting and banking records will be submitted in court on
June 15, 2009.


LUNITO SA: Trustee Verifying Proofs of Claim Until March 2
----------------------------------------------------------
The court-appointed trustee for Lunito S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
March 2, 2009.

The trustee will present the validated claims in court as
individual reports on April 17, 2009.  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
the company and its creditors.

A general report that contains an audit of the company's
accounting and banking records will be submitted in court on
June 2, 2009.


TRANSPORTADORA DE GAS: Fitch Downgrades Issuer Rating to 'C/C'
--------------------------------------------------------------
Fitch Ratings has downgraded the long-term local and foreign
currency Issuer Default Ratings of Transportadora de Gas del Norte
S.A. to 'C/C (arg)' from 'CCC BB (arg)' .  Fitch has also
downgraded TGN's senior unsecured notes due in 2012 to 'CC' from
'CCC', while the Recovery Rating of the notes remains at 'RR4'.
In conjunction with these rating actions, Fitch has downgraded
TGN's national scale issuance ratings to 'CC (arg)' from
'BB(arg)'.  All Ratings have been placed on Rating Watch Negative.

The rating downgrades reflect Fitch's expectation that TGN will
miss principal and interest payments over the near term, and
potentially debt payments due as soon as Dec. 31st, 2008 despite
sufficient cash on hand.  The company's precarious financial
difficulties stem from deterioration in TGN's cashflow after one
of its export transportation customers stopped paying earlier this
year; continued curtailments of natural gas exports by the
Argentine government further heightens the potential for
additional export revenue losses.

Fitch expects the declining macroeconomic environment, weak
regulatory framework and lack of rate relief will further
jeopardize the company's financial solvency.  The next interest
and principal payment due on Dec. 31st amounts to US$15.8 million
and US$6.3 million, respectively.  For issuers in the 'C' rating
category, default is deemed to be imminent.

TGN's financial flexibility is limited and has been pressured by
the delay in the 20% tariff adjustment announced during September
2008.  Declines in the Argentine peso and the lack of access to
the credit markets have also had a negative impact on liquidity.
With no near-term solution to the natural gas curtailments for
export purposes and the delay in the pipeline expansions sponsored
by the government that would have provided some relief through
supervisory/project management fees, Fitch anticipates TGN's
cashflow will fall further below expectations.

As the Argentine economy rebounded post the 2002 crisis and as
cheap energy (due to price controls) dramatically increased
domestic demand for natural gas, the system has become capacity
constrained and gas producers are unable to meet high domestic
demand.  This lack of supply has prompted the Argentine government
to restrict natural gas exports to avoid local shortages.  Fitch
expects this shortage to persist over the medium term given the
energy policies that are currently in place.  This situation has
increased credit risk for TGN as additional export off-takers may
cease making payments to TGN under existing gas transportation
agreements for the transportation of gas they are not receiving.

TGN's export capacity is part of its regulated business unit,
which has a dollarized tariff.  Although exports represent 27% of
total gas deliveries, revenues from exports account for more than
40% of total revenue, which lowers transfer and convertibility
risk but exposes TGN to concentration of counterparty risk. In
February 2008, the Chilean generator Electrica Santiago S.A. made
a decision to pursue legal actions in an effort to terminate its
existing GTA with TGN.  The ESSA contract represents US$9 million,
or 6% of TGN's total revenues, and US$7.5 million or 7% of EBITDA.
At September 2008, TGN's total debt was US$345 million, composed
of US$141 million amortizing notes at 6.5% step-up due in 2012,
and US$204 million bullet notes at 7.5% step-up due in 2012.  Debt
restructuring was completed in late August 2006.

TGN is one of the two largest transporters of natural gas in
Argentina, delivering approximately 40% of the country's total gas
consumption and more than 50% of Argentine total gas exports.  TGN
has an exclusive license to operate the northern Argentina gas
pipeline system for a term of 35 years, which may be extended for
an additional 10-year period.  TGN's main shareholders are
Gasinvest S.A. (56.35%) and Blue Ridge Investments LLC (23.53%),
while 20% is floating in the market.  Gasivenst S.A. is in turn
owned by TecPetrol Internacional SL (27.2%), Transcogas Inversora
S.A. (22.3%), Total Gas y Electricidad Argentina S.A (20.6%),
Petronas Argentina S.A (18.3%).  Total Gasandes (6,6%), and
Compania General de Combustibles S.A. (5%).


UNIVERSALFLET SA: Trustee Verifying Proofs of Claim Until March 3
-----------------------------------------------------------------
The court-appointed trustee for Universalflet S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
March 3, 2009.

The trustee will present the validated claims in court as
individual reports on April 20, 2009.  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
the company and its creditors.

A general report that contains an audit of the company's
accounting and banking records will be submitted in court on
June 3, 2009.



===========
B E L I Z E
===========

* S&P Affirms 'B' Long-Term Sovereign Credit Ratings on Belize
--------------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its 'B'
long- and short-term sovereign credit ratings on Belize.

Standard & Poor's also said that the outlook remains stable.

"The ratings on Belize continue to balance the government's large
debt burden against its improved amortization and cost profiles
after the debt exchange concluded in 2007," noted Standard &
Poor's credit analyst Olga Kalinina.  S&P expects that Belize's
interest costs will drop to 4.5% of GDP in 2008, and they are
forecasted at the same level in 2009.  By contrast, they were 8%
in 2006. The total estimated savings from the restructuring are
US$481.5 million between 2007 and 2015.

Belize's fiscal performance has been improving in the past two
years, reflecting new revenue measures and spending discipline.
The general government deficit in fiscal 2008 (ending March 31,
2009) is estimated at 0.8% of GDP (down from 1% in fiscal 2007).
However, in fiscal 2009, the general government deficit is
forecasted to deteriorate to 1.5% of GDP because of slower
economic activity, lower oil prices (oil revenues accounted for
12% of total revenues in 2008), and pressures related to public
employees' salaries.  Cognizant of the deteriorating economic
outlook, the government has introduced a number of measures to
increase the robustness and transparency of the tax collection and
is committed to spending prudence.  Standard & Poor's expects
that the fiscal deficit will be contained, as fiscal discipline is
essential if Belize is to reduce its debt burden and increase its
foreign exchange reserves.

Belize's external liquidity position remains tight (though it is
improving), reflecting the central bank's low, but gradually
rising, external reserve position.  The external financing gap
will likely decline to 125% of usable reserves (adjusted for 100%
of the monetary base) and current account receipts in 2008 from
163% in 2005, and S&P expects it to decrease again to 118% in
2009.

"The ongoing economic diversification, especially in the context
of the small and open structure of the Belizean economy, is a
credit strength," Ms. Kalinina added.  "The developments in the
tourism, aqua-culture, agro-products, and oil sectors have helped
support the relatively solid economic growth over the past few
years."  Nevertheless, the openness and the vulnerability to
adverse external developments (e.g., weather-related, erosion of
trade preferences, rising oil prices, and the impact on tourism in
a slowing U.S. economy) will exacerbate the economic slowdown in
the next few years.  Belize's real GDP is forecasted at less than
2% in 2008 and 2009, reflecting these negative external and
weather-related events.  However, Belize's medium-term growth
should hover at about 3%.

"The stable outlook reflects the balance of risks presented by the
government's high debt and weak external liquidity position,
offset by the relief from the debt exchange and improving fiscal
discipline," Ms. Kalinina said.  "Further fiscal consolidation --
matched by similar strides in boosting the quality and
transparency of policymaking, hence ensuring a steady decline in
debt and a rise in international reserves -- would improve the
sovereign's creditworthiness.  On the other hand, if the
government does not capitalize on the benefits of the positive
momentum of low debt service or if fiscal discipline slips in the
context of the worse-than-expected economic slowdown, the ratings
will come under negative pressures."



=============
B E R M U D A
=============

FINNJET BERMUDA: Creditors' Meeting Set for December 23
-------------------------------------------------------
The creditors of Finnjet Bermuda Ltd will meet on Dec. 23, 2008,
at 9:45 a.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser, the company's liquidator, will
give a report on the company's company's wind-up proceedings and
property disposal.


NAGARA TAM: Creditors' Meeting Set for December 23
--------------------------------------------------
The creditors of Nagara Tam Ltd will meet on Dec. 23, 2008, at
10:45 a.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser will give a report on the
company's company's wind-up proceedings and property disposal.


SEA CONTAINERS: Creditors' Meeting Set for December 23
------------------------------------------------------
The creditors of Sea Containers Properties Ltd  will meet on
Dec. 23, 2008, at 11:15 a.m., at the offices of Appleby, Canonaes
Court, in 22 Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser, the company's liquidator, will
give a report on the company's company's wind-up proceedings and
property disposal.


SEACAT LTD: Creditors' Meeting Set for December 23
--------------------------------------------------
The creditors of Seacat Ltd will meet on Dec. 23, 2008, at
1:15 p.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser will give a report on the
company's company's wind-up proceedings and property disposal.


SEACAT 2: Creditors' Meeting Set for December 23
------------------------------------------------
The creditors of Seacat 2 Ltd will meet on Dec. 23, 2008, at
1:45 p.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser, the company's liquidator, will
give a report on the company's company's wind-up proceedings and
property disposal.


SUPERSEACAT 3: Creditors' Meeting Set for December 23
-----------------------------------------------------
The creditors of Superseacat 3 Ltd will meet on Dec. 23, 2008, at
12:15 p.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser, the company's liquidator, will
give a report on the company's company's wind-up proceedings and
property disposal.


SUPERSEACAT 4: Creditors' Meeting Set for December 23
-----------------------------------------------------
The creditors of Superseacat 4 Ltd will meet on Dec. 23, 2008, at
12:45 p.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser, the company's liquidator, will
give a report on the company's company's wind-up proceedings and
property disposal.


TEXAS INSTRUMENTS: Creditors' Proofs of Debt Due on January 6
-------------------------------------------------------------
The creditors of Texas Instruments Insurance (Bermuda) Limited are
required to file their proofs of debt by January 6, 2008, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on Dec. 16, 2008.

The company's liquidator is:

          Jennifer Y Fraser
          Canonaes Court, 22 Victoria Street
          Hamilton, Bermuda


TEXAS INSTRUMENTS: Members' Final Meeting Set for January 26
------------------------------------------------------------
The members of Texas Instruments Insurance (Bermuda) Limited will
hold their final general meeting on January 26, 2008, at
9:00 a.m., to hear the liquidator's report on the company's wind-
up proceedings and property disposal.

The company commenced liquidation proceedings on Dec. 16, 2008.

The company's liquidator is:

          Jennifer Y. Fraser
          Canonaes Court, 22 Victoria Street
          Hamilton, Bermuda


VESSEL HOLDINGS: Creditors' Meeting Set for December 23
-------------------------------------------------------
The creditors of Vessel Holdings 3 Ltd will meet on Dec. 23, 2008,
at 2:15 p.m., at the offices of Appleby, Canonaes Court, in 22
Victoria Street, Hamilton.

At the meeting, Jennifer Y. Fraser, the company's liquidator, will
give a report on the company's company's wind-up proceedings and
property disposal.



===========
B R A Z I L
===========

BANCO DO BRASIL: JP Morgan Lowers Rating to "Neutral"
-----------------------------------------------------
Banco do Brasil SA was downgraded to "neutral” from "overweight”
at JPMorgan Chase & Co. on concern the Brazilian government will
use the federally controlled bank to further its economic
policies, Fabio Alves of Bloomberg News reports.

"Given more difficult economic growth conditions in Brazil, we
believe that the balance of power between public policy goals and
minority shareholder interests is shifting toward fulfilling
policy goals," analysts Saul Martinez and Fredric de Mariz were
quoted by the report as saying.

According to the report, the analysts said the bank's purchase of
Banco Nossa Caixa SA, the merger of Banco Itau Holding Financeira
SA and Uniao de Bancos Brasileiros SA, and President Luiz Inacio
Lula da Silva’s push for Banco do Brasil to regain its leadership
in the country’s banking system "concern us that the bank will
allocate precious capital toward growth’s sake.

As reported by the Troubled Company Reporter - Latin America on
November 24, 2008, Bloomberg News said Banco do Brasil will buy a
majority stake in Banco Nossa Caixa SA for BRL5.39 billion
(US$2.25 billion) in cash.

According to the report, negotiations between Banco do Brasil and
Nossa Caixa intensified after it was bumped by the combination of
Banco Itau Holding Financeira SA's and Uniao de Bancos Brasileiros
SA as the top ranking biggest financial group in Latin America.

"We are concerned that Banco do Brasil will be used to implement
countercyclical polices in a more challenging economic growth
environment," the report cited the two analysts as saying.  They
lowered their share-price forecast for Banco do Brasil by 22% to
BRL18, the report says.

                      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.

                         *     *     *

Banco do Brasil continues to carry a Ba2 foreign currency deposit
rating from Moody's Investors Service.  The rating was placed in
February 2008.


BRACOL HOLDING: Moody's Affirms 'Ba3' CFR; Outlook Negative
-----------------------------------------------------------
Moody's affirmed the Ba3 ratings of Bracol Holding Ltda.'s
(formerly Bertin Ltda), 77.17% owner of unrated Bertin S.A., but
changed the outlook to negative from stable.  The change in
outlook reflects Moody's view that operating profitability could
remain weak and leverage high given still high cattle prices and
the potential slowing of demand from key export markets in a tough
global economic environment.  At the same time, S.A. Fabrica de
Produtos Alimenticios Vigor's B2 ratings were placed under review
for possible upgrade following Bertin's concluded acquisition of
Vigor's remaining voting shares on October 1, 2008, when it
increased its total ownership interest in Vigor from 41.18% to
74.69%.

Ratings affirmed with a negative outlook:

  - Bracol Holding Ltda.'s Corporate Family Rating: Ba3

  - US$ 350 million 10.25% senior unsecured guaranteed notes due
    2016: Ba3

Ratings placed under review for possible upgrade:

  - Vigor's Corporate Family Rating: B2
  - US$ 100 million 9.25% senior unsecured notes due 2017: B2

The change in Bracol's rating outlook from stable to negative was
prompted by the company's weaker operating margin performance over
the past three quarters, as it absorbed higher cattle prices and
greater selling and administrative expenses related to Bracol's
investments in improving its administrative structure and
information technology.  Bracol's operating margin for the third
quarter ended September 30, 2008 dropped to 1.7%, from 6.1% in the
second quarter this year and 12.6% in the third quarter of 2007.
Most of its rated domestic peers (Independência, Marfrig, Arantes,
Sadia and Perdigao) reported higher margins than Bracol in the
third quarter ended on September 30, 2008.

Bracol's rating would come under further downward pressure if
there is evidence that its operating margins, leverage, coverage
and cash flow metrics are not likely to be at levels considered
commensurate with the Ba rating category.  More specifically,
Bracol's rating could be downgraded if FFO/Net Debt were to be
sustained below 20%, EBITA to Interest below 1.5x or Total
Adjusted Debt to EBITDA above 6.0 x.

A stabilization of the outlook would require evidence of no major
operating disruptions due to integration challenges with Vigor or
any of the other newly acquired assets and a trajectory of
improved operating margins and interest coverage -- EBITA to
Interest was 0.6 x for Q3 '08 and 1.1x for last twelve months
ended on September 30th, 2008 -- to above 2.0 x and Total Adjusted
Debt to EBITDA below 5.0 x (versus 6.9 x for LTM ended on
September 30th, 2008).

As part of Vigor's rating review process, Moody's will consider
the credit strength of Bertin, Bracol's subsidiary and co-issuer
of the rated 2016 notes that are fully and unconditionally
guaranteed by Bracol.  The review of Vigor's rating will focus on
the expected level of integration with Bertin in terms of
operations and cash management.  To the extent that the two
operations are fully integrated, Vigor's ratings are likely to be
at the same level as Bertin's.

Moody's last rating action on Bracol was on November 27, 2007,
when Moody's affirmed Bracol's Ba3 ratings following the
announcement that Bracol's wholly owned subsidiary, Bertin S.A.,
reached an agreement to acquire 56% of Vigor's voting shares.
Moody's last rating action on Vigor was on August 14, 2008, when
Moody's confirmed the ratings for Vigor at B2 with a stable
outlook, concluding the review for possible upgrade.

Bracol, headquartered in Sao Paulo, Brazil, is one of the largest
beef processing and leather exporting companies in Latin America.
In addition, the company owns and operates other facilities to
produce raw materials for cleaning products, personal protective
equipment, dog toys, cans and packaging materials using by-
products of its slaughterhouses.  On October 1, 2008, Bertin,
Bracol's subsidiary, concluded the acquisition of 99.99% of
Vigor's voting shares.

The Vigor Group, based in Sao Paulo, Brazil, is comprised of S.A.
Fabrica de Produtos Alimenticios Vigor and its subsidiaries Dan
Vigor (a 50/50 joint venture with Denmark's Arla Foods) and Leco,
a manufacturer of dairy and vegetable oil products in Brazil.  The
group produces, markets, and sells a diverse range of products
including: milk, yogurts, dairy beverages, cheeses, desserts,
butter, margarines and mayonnaises.


BRASKEM S.A.: Board Approves R$500-Mil. Green Polyethylene Project
------------------------------------------------------------------
Braskem S.A.'s Board of Directors has approved the company's Green
Polyethylene Project.  This project, for which investment of
R$500 million was approved, will produce ethylene and polyethylene
from sugarcane ethanol, with operational startup scheduled for
2011 at the Southern Petrochemical Complex in Rio Grande do Sul
state.

The company has already concluded the conceptual and basic-design
phase, and the detailing phase and start of construction will
begin in early 2009.  The company has already made firm
reservations for the project's critica lequipment, such as the
feed gas compressor and refrigeration compressor, which are high-
technology equipment that must be ordered in advance to ensure the
project timetable is met.  To finance what will be the first
commercial-scale operation in the world producing green
polyethylene made from 100% renewable raw materials, Braskem plans
to use 30% own funds and seek finance for the remaining 70%.

With demand identified at approximately 600,000 tons, mainly in
the international market, the green polyethylene will command a
premium of between15% and 30% over the price of polyethylene made
from nonrenewable raw materials.  The project could be the first
of other larger-scale projects that are currently being analyzed,
and has return estimated at US$200 million in net present value.

Commenting on the project, Braskem CEO Bernardo Gradin said, "The
approval of this project by the Board of Directors demonstrates
Braskem's confidence in the project's potential for value creation
and management's concern with financial discipline, by investing
selectively in projects that offer high return.  A project like
this offers excellent opportunities for the development of plastic
products made from renewable raw materials, a field in which
Brazilhas natural competitive advantages and high potential
demand."

                        About Braskem S.A.

Braskem S.A.  -- http://www.braskem.com.br/-- is a thermoplastic
resins producer in Latin America, and is among the three largest
Brazilian-owned private industrial companies.  The company
operates 13 manufacturing plants located throughout Brazil, and
has an annual production capacity of 5.8 million tons of resins
and other petrochemical products.  The company reported
consolidated net revenues of about US$9 billion in the trailing
twelve months through Sept. 30, 2007.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 11, 2008, Reuters said Braskem S.A. posted a third-quarter
net loss of BRL849 million (US$400.7 million) from a net income of
BRL132 million a year earlier, affected by the devaluation
of the real in the period.

As reported in the Troubled Company Reporter-Latin America on Jan.
17, 2008, Fitch Ratings affirmed the 'BB+' foreign and local
currency issuer default ratings of Braskem S.A. Fitch also
affirmed the 'BB+' ratings on the company's senior
unsecured notes 2008, 2014, and senior unsecured notes 2017.


BRASIL TELECOM: Regulator May Restrict Firm's Deal With Telemar
---------------------------------------------------------------
Brazil telecommunications regulator, Anatel, may restrict Telemar
Norte Leste SA's plan to acquire Brasil Telecom Participacoes SA
by giving the state-development bank and pension funds the right
to veto the deal, Laura Price of Bloomberg News reports, citing
local newspaper Folha de S. Paulo.

The report relates Emilia Ribeiro, a board member of regulator
Anatel, said she wants to prevent the new phone company from being
acquired by a foreign company after it benefited from an injection
of BRL6.87 billion (US$2.88 billion) of government money and a
change in regulations.

According to the report, the newspaper said there is currently no
restriction to stop the new company from being sold to foreign
investors.

                      About Brasil Telecom

Headquartered in Brasilia, Brazil, Brasil Telecom Participacoes
SA -- http://www.brasiltelecom.com.br-- is a holding company
involved in the telecommunications sector.  Its main activity is
the management of Brasil Telecom SA (BrT), which operates a
local fixed-line telephone in Brazil.  BrT also provides data
and voice, broadband and Internet services.  It also owns Nova
Tarrafa Participacoes Ltda and Nova Tarrafa Inc., which provide
Internet services.

                          *     *     *

In April 2008, Moody's Investors Service placed Brasil Telecom
Participacoes S.A.'s “Ba1” rating on review for possible upgrade
after the announced acquisition by Tele Norte Leste
Participacoes S.A.


CSN: Gets Commission of European Communities' OK on NAMISA Sale
---------------------------------------------------------------
Companhia Siderurgica Nacional S.A. (CSN) has obtained the
Commission of the European Communities' approval regarding the
sale of 40% of Nacional Minerios S.A. (“NAMISA”)’s shares.

The closing will occur in the next days.

As reported by the Troubled Company Reporter - Latin America on
Oct. 23, 2008, CSN has finalized negotiation and signed the
relevant agreements, for the establishment of a strategic
partnership with a consortium comprised of ITOCHU Corporation,
Nippon Steel Corporation, JFE Steel Corporation, POSCO, Sumitomo
Metal Industries, Ltd., Kobe Steel, Ltd., and Nisshin Steel Co,
Ltd.

  1. The transaction consists of the sale of 40% of the voting and
     total capital stock of Nacional Minerios S.A. (NAMISA), a
     subsidiary of Companhia Siderurgica Nacional, for the
     aggregate amount of US$3.12 billion, payable in cash on the
     closing date.  The closing date is expected to occur by the
     end of November 2008.  Out of the US$3.12 billion amount, the
     Consortium will pay approximately US$3 billion in connection
     with the acquisition of a primary issue of shares by NAMISA.

  2. NAMISA will pay approximately US$3 billion to Companhia
     Siderurgica on the closing date as pre-payment for a portion
     of the purchase price agreed between the parties in
     connection with future sales of crude iron ore (run of mine)
     and the rendering of port services from Companhia Siderurgica
     to NAMISA.  The run of mine will be extracted by Companhia
     Siderurgica from the Casa de Pedra Mine and will be sold to
     NAMISA, which shall, in  addition to its own run of mine,
     benefit the product in NAMISA's own industrial facilities.
     All agreements were negotiated on an arms-length basis.

  3. Companhia Siderurgica will maintain 60% of Namisa's voting
     and total capital with a view to aligning the parties'
     interest in this long-term venture.

  4. NAMISA's operation is fully integrated and includes access to
     rail transportation in the form of long-term contract with
     MRS Logistica S.A.  As part of the transaction, Companhia
     Siderurgica will contribute non-voting non-convertible class
     A  preferred shares of MRS Logistica to NAMISA.  These shares
     correspond to approximately 10% of MRS Logistica's total
     capital.

  5. NAMISA's business plan provides for an aggressive production
     expansion of iron ore products and pellets.  NAMISA will
     market mainly iron ore of its own production but will also
     acquire iron ore from third parties producers to complement
     its sales.

  6. A portion of NAMISA's production will be sold to the
     Consortium members.  Such obligations are reflected in a
     long-term "offtake" agreement and were established on an
     arms-length basis.

  7. NAMISA's mid- and long-term business plans estimate that in
     2009 the company will have sales of approximately 18 million
     tons of iron ore per year.  It also provides for an expansion
     in production in order to allow NAMISA to commercialize an
     estimated amount in excess of 38 million tons of iron ore per
     year from 2013 onwards.

  8. Companhia Siderurgica would like to clarify that the
     transaction does not provide for the acquisition by the
     Consortium of a stake in the Casa de Pedra Mine.

                            About CSN

Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional
S.A. (NYSE: SID) -- http://www.csn.com.br/-- produces, sells,
exports and distributes steel products, like hot-dip galvanized
sheets, tin mill products and tinplate.  The company also runs its
own iron ore, manganese, limestone and dolomite mines and has
strategic investments in railroad companies and power supply
projects.  The group also operates in Brazil, Portugal, and the
U.S.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 10, 2008, Moody's Investors Service upgraded the senior
unsecured long term debt ratings of Companhia Siderurgica Nacional
and its backed notes from Ba2 to Ba1.

The TCR-LA reported on June 6, 2008, that Standard & Poor's
Ratings Services raised its corporate credit rating on Brazil-
based steelmaker Companhia Siderurgica Nacional to 'BB+' from 'BB'
and removed it from CreditWatch.  S&P had placed the ratings on
CreditWatch with positive implications on May 30, 2008, for better
cash flow protection measures.  The outlook is positive.  At the
same time, S&P raised the corporate credit rating on subsidiary
National Steel SA to 'BB-' from 'B+', with a positive outlook.


CSN: Sees Another 3,000 Employee Layoffs in Headquarters
--------------------------------------------------------
Companhia Siderurgica Nacional S.A. expects to layoff another
3,000 workers at the company's headquarters in Rio de Janeiro's
Volta Redonda, BNAmericas News reports, citing union spokesperson
Thais Soares.  The company has already let go of some 400 workers.

"I believe CSN is taking advantage of the global crisis to get rid
of employees," Mr. Soares told BNamericas.  "The decision is
premature, there is no need to do this now."

The report relates Mr. Soares said the company has laid off
workers about to retire.  "For those employees who were about to
retire we even proposed to CSN a voluntary dismissal program," he
said.

As reported by the Troubled Company Reporter - Latin America on
Dec. 17, 2008, Dow Jones Newswires said CSN will give 2,500 of its
16,000 workers a 20-day unscheduled vacation owing to falling
orders.

According to the report, Renato Soares Ramos, president of the
steelworkers' union at Volta Redonda, said CSN told him it was
taking the measure because of "a lack of demand."

Three CSN units will be affected by the emergency vacations
between Dec. 20 and Jan. 12, the DJ Newswires said.

Dow Jones Newswires noted two units are in Rio de Janeiro State:
at Volta Redonda, where the company's main steel plant is located;
and Porto Real, where CSN's wholly owned subsidiary steel plant,
GalvaSud, manufactures high value galvanized steel products.  The
third unit is in Sao Paulo State, the same report added.

According to Bloomberg News, Eneas Diniz, CSN’s director of
operations, informed the union that another 1,200 may lose their
jobs this month and a further 1,800 in January.

“Our talks with CSN haven’t advanced.  They said we have to be
more flexible but we don’t agree with most of their proposals
which take away workers’ rights,” Mr. Ramos was quoted by
Bloomberg News as saying.  “We were surprised by the 300 firings.
We’re going to mobilize Volta Redonda,” he said.

The union, whose 13,000 members include 3,500 CSN workers, will
protest at the plant’s gates tomorrow and march Dec. 22 on the
city, Bloomberg News says.

                            About CSN

Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional
S.A. (NYSE: SID) -- http://www.csn.com.br/-- produces, sells,
exports and distributes steel products, like hot-dip galvanized
sheets, tin mill products and tinplate.  The company also runs its
own iron ore, manganese, limestone and dolomite mines and has
strategic investments in railroad companies and power supply
projects.  The group also operates in Brazil, Portugal, and the
U.S.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 10, 2008, Moody's Investors Service upgraded the senior
unsecured long term debt ratings of Companhia Siderurgica Nacional
and its backed notes from Ba2 to Ba1.

The TCR-LA reported on June 6, 2008, that Standard & Poor's
Ratings Services raised its corporate credit rating on Brazil-
based steelmaker Companhia Siderurgica Nacional to 'BB+' from 'BB'
and removed it from CreditWatch.  S&P had placed the ratings on
CreditWatch with positive implications on May 30, 2008, for better
cash flow protection measures.  The outlook is positive.  At the
same time, S&P raised the corporate credit rating on subsidiary
National Steel SA to 'BB-' from 'B+', with a positive outlook.


GENERAL MOTORS: E.D. Mich. Preps for Chapter 11 Filing in Detroit
-----------------------------------------------------------------
The judges sitting in the U.S. Bankruptcy Court for the Eastern
District of Michigan entered an administrative order last week
giving Chief Judge Steven Rhodes the authority to assign "a very
large, complex case of national significance" to a specific
bankruptcy judge "after consulting with the other bankruptcy
judges," rather than using the traditional blind draw system.
Additionally, the administrative order provides that "the
bankruptcy judge to whom the [very large, complex case of national
significance] is assigned shall have the authority to assign
adversary proceedings and contested matters to other bankruptcy
judges as necessary and appropriate."  A copy of the order is
posted at http://www.mieb.uscourts.gov/notices/ao08-24.pdf

The Bankruptcy Court in Detroit announced this week that it is
accepting applications for temporary clerical "positions that may
become available in the next several months."

                    About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries.  In 2007, nearly 9.37 million GM cars and
trucks were sold globally under the following brands: Buick,
Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

As reported in the Troubled Company Reporter on Nov. 10,
2008, General Motors Corporation's balance sheet at
Sept. 30, 2008, showed total assets of US$110.425 billion, total
liabilities of US$170.3 billion, resulting in a stockholders'
deficit of US$59.9 billion.

                        *     *     *

As reported in the Troubled Company Reporter on Nov. 11, 2008,
Standard & Poor's Ratings Services lowered its ratings, including
the corporate credit rating, on General Motors Corp. to 'CCC+'
from 'B-' and removed them from CreditWatch, where they had been
placed with negative implications on Oct. 9, 2008.  S&P said that
the outlook is negative.

Fitch Ratings, as reported in the Troubled Company Reporter on
Nov. 11, 2008, placed the Issuer Default Rating of General Motors
on Rating Watch Negative as a result of the company's rapidly
diminishing liquidity position.  Given the current liquidity level
of US$16.2 billion and the pace of negative cash flows, Fitch
expects that GM will require direct federal assistance over the
next quarter and the forbearance of trade creditors in order to
avoid default.  With virtually no further access to external
capital and little potential for material asset sales, cash
holdings are expected to shortly reach minimum required operating
levels.  Fitch placed these on Rating Watch Negative:

-- Senior secured at 'B/RR1';
-- Senior unsecured at 'CCC-/RR5'.

As reported in the Troubled Company Reporter on June 24, 2008,
DBRS has placed the ratings of General Motors Corp. and General
Motors of Canada Limited Under Review with Negative Implications.
The rating action reflects the structural deterioration of the
company's operations in North America brought on by high oil
prices and a slowing U.S. Economy.


GENERAL MOTORS: Will Stop Construction of Flint Factory
-------------------------------------------------------
The Associated Press reports that General Motors Corp. said that
it would stop construction works for a factory in Flint, Michigan.

According to The AP, GM is trying to conserve cash so it can
continue operations next year.  The factory, says the report, was
set to make 1.4-liter engines for GM's Chevrolet Cruze and the
Chevy Volt plug-in electric car.

Citing GM spokesperson Sharon Basel, The AP relates that the
construction delay may be temporary until the firm figures out its
cash situation.

The AP quoted Ms. Basel as saying, "Everything that involves heavy
cash outlays obviously is under review.  Our intent is to still go
forward with a new facility bringing that engine to Flint,
Michigan."

Sharon Terlep at The Wall Street Journal reports that GM said on
Tuesday it will proceed with plans to deliver its Chevrolet Volt
electric car by 2010, with or without government bailout.  WSJ
relates that The Volt is GM's most high-profile project

                     About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries.  In 2007, nearly 9.37 million GM cars and
trucks were sold globally under the following brands: Buick,
Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

As reported in the Troubled Company Reporter on Nov. 10,
2008, General Motors Corporation's balance sheet at
Sept. 30, 2008, showed total assets of US$110.425 billion, total
liabilities of US$170.3 billion, resulting in a stockholders'
deficit of US$59.9 billion.

                         *     *     *

As reported in the Troubled Company Reporter on Nov. 11, 2008,
Standard & Poor's Ratings Services lowered its ratings, including
the corporate credit rating, on General Motors Corp. to 'CCC+'
from 'B-' and removed them from CreditWatch, where they had been
placed with negative implications on Oct. 9, 2008.  S&P said that
the outlook is negative.

Fitch Ratings, as reported in the Troubled Company Reporter on
Nov. 11, 2008, placed the Issuer Default Rating of General Motors
on Rating Watch Negative as a result of the company's rapidly
diminishing liquidity position.  Given the current liquidity level
of US$16.2 billion and the pace of negative cash flows, Fitch
expects that GM will require direct federal assistance over the
next quarter and the forbearance of trade creditors in order to
avoid default.  With virtually no further access to external
capital and little potential for material asset sales, cash
holdings are expected to shortly reach minimum required operating
levels.  Fitch placed these on Rating Watch Negative:

-- Senior secured at 'B/RR1';
-- Senior unsecured at 'CCC-/RR5'.

As reported in the Troubled Company Reporter on June 24, 2008,
DBRS has placed the ratings of General Motors Corp. and General
Motors of Canada Limited Under Review with Negative Implications.
The rating action reflects the structural deterioration of the
company's operations in North America brought on by high oil
prices and a slowing U.S. Economy.


RYDER SYSTEM: Halts Operations in Brazil, Argentina and Chile
-------------------------------------------------------------
Ryder System Inc will discontinue current operations in Brazil,
Argentina, and Chile, and will transition out of Supply Chain
Solutions customer contracts in Europe.

The operations and contracts accounted for gross revenue of
approximately US$200 million and operating revenue of
approximately US$120 million, or roughly 3% of consolidated
revenue in 2007, Ryder said in a regulatory filing.  Approximately
45% of this operating revenue was derived from the automotive
sector.

According to the company, approximately 2,400 employees supported
the discontinued operations or contracts.

Ryder anticipates that discontinuing the operations will result in
a pre-tax restructuring charge of approximately US$38 million to
US$45 million (approximately US$35 million to US$42 million,
after-tax) in the fourth quarter of 2008, including severance and
other termination benefits, asset impairment costs and contract
termination fees.

Commenting on the move, Ryder Chairman & Chief Executive Officer
Greg Swienton, said: “The current economic conditions present a
significant challenge for many companies across nearly every
industry.  Based on the business-model improvements we’ve
implemented since the last economic downturn, and with the benefit
of these current additional strategic actions, we are positioned
to compete effectively in the present market environment.  We are
committed to continuing to advance our competitive position in the
highest potential markets.  Ryder has a strong balance sheet, good
credit ratings, positive cash flow, and access to growth capital.
We further expect that these initiatives will not only help us
weather a difficult environment, but also enable us to emerge from
this current downturn as a stronger organization.  Although the
decisions we’ve made have been difficult, especially in terms of
the affected employees and customers, we believe these are
necessary and responsible actions to help ensure a strong future
for Ryder, its employees, customers, and investors.”

                            Job Cuts

Ryder said it will eliminate approximately 700 positions primarily
in the U.S. The planned workforce reduction is expected to result
in cost savings of approximately US$36 million in 2009.

Ryder will also be significantly reducing the use of contractors
and temporary employees, where appropriate, throughout its
operations.

The company anticipates that the workforce reduction will result
in a pre-tax restructuring charge of approximately US$11 million
(approximately US$7 million, after-tax) in the fourth quarter of
2008, all of which relates to the payment of severance and other
termination benefits.

Additionally, the Company will be issuing temporary layoffs,
primarily in the U.S., to approximately 1,300 drivers and
warehouse workers, and approximately 125 salaried employees as a
result of reduced service levels required to support greatly
reduced production activity related to certain automotive customer
accounts.

                            Charges

In the fourth quarter of 2008, Ryder expects to record a non-cash,
pre-tax impairment charge of approximately US$11 million
(approximately US$11 million, after-tax) related to the write-down
of goodwill.

In total, the company expects the fourth quarter 2008 pre-tax
charges to be approximately US$60 million to US$67 million
(approximately US$53 million to US$60 million, after-tax).

                    4th Qtr 2008 EPS Outlook

With regards to the company’s earnings outlook, Mr. Swienton said,
“We expect fourth quarter 2008 earnings per share, excluding
restructuring and other charges, to be at the low end of our
previously established range of US$1.03 to US$1.13.”

The company is scheduled to announce its fourth quarter 2008
earnings, and communicate its 2009 business plan on February 4,
2009.

                       About Ryder Systems

Ryder System Inc (NYSE: R) -- http://www.ryder.com/-- is a U.S.-
based provider of transportation and supply chain management
solutions.  The Company operates in three segments: Fleet
Management Solutions (FMS), which provides full-service leasing,
contract maintenance, contract-related maintenance and commercial
rental of trucks, tractors and trailers to customers principally
in the United States, Canada and the United Kingdom; Supply Chain
Solutions (SCS), which provides supply chain solutions, including
distribution and transportation services throughout North America,
and in Latin America, Europe and Asia, and Dedicated Contract
Carriage (DCC), which provides vehicles and drivers as part of a
dedicated transportation solution in the United States.  In
September 2008, Ryder announced the completion of acquisition of
the full service truck leasing, commercial truck



==========================
C A Y M A N  I S L A N D S
==========================

ATTANSIC TECHNOLOGY: Final General Meeting Set for December 29
--------------------------------------------------------------
The members of Attansic Technology Corp. will hold their final
general meeting on December 29, 2008, to receive the liquidator's
report on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          David Donald Torre
          c/o Michelle R. Bodden
          Bridge Street Services Limited
          Marquee Place
          Suite 300, 430 West Bay Road
          P.O. Box 30691, Grand Cayman KY1-1203
          Cayman Islands
          Tel: 945-6682
          Fax: 945-6692


BARNET PARTNERS: Shareholders' Final Meeting Set for December 29
----------------------------------------------------------------
The shareholders of Barnet Partners Ltd. will hold their final
general meeting on December 29, 2008, at 8:45 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Walkers SPV Limited
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002
          Cayman Islands


BLACK ARROW: Final General Meeting Set for December 24
------------------------------------------------------
The members of Black Arrow Global Equity Fund, Ltd. will hold
their final general meeting on December 24, 2008, at 10:00 a.m.,
to receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Ogier
          c/o Jonathan McLean
          Telephone:(345) 815-1705
          Facsimile:(345) 949 1986


BLUE FUND: Final General Meeting Set for December 29
----------------------------------------------------
The members of Blue Fund SPC Limited will hold their final general
meeting on December 29, 2008, at 4:00 p.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          DMS Corporate Services Ltd
          c/o Bernadette Bailey-Lewis
          dms Corporate Services Ltd.
          dms House, 2nd Floor
          P.O. Box 1344, Grand Cayman KY1-1108
          Telephone:(345) 946 7665
          Facsimile:(345) 946 7666


BRC MARKET: Final General Meeting Set for December 24
-----------------------------------------------------
The members of BRC Market Neutral Fund, Ltd. will hold their final
general meeting on December 24, 2008, at 9:30 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Ogier
          c/o Jonathan McLean
          Telephone:(345) 815-1705
          Facsimile:(345) 949 1986


BUTTONWOOD CAPITAL: Final General Meeting Set for December 29
-------------------------------------------------------------
The members of Buttonwood Capital Management Company Limited will
hold their final general meeting on December 29, 2008, at
3:00 p.m., to receive the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

          DMS Corporate Services Ltd
          c/o Bernadette Bailey-Lewis
          dms Corporate Services Ltd.
          dms House, 2nd Floor
          P.O. Box 1344, Grand Cayman KY1-1108
          Telephone:(345) 946 7665
          Facsimile:(345) 946 7666


BUTTONWOOD FOCUS: Final General Meeting Set for December 29
-----------------------------------------------------------
The members of Buttonwood Focus Fund Limited will hold their final
general meeting on December 29, 2008, at 3:00 p.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          DMS Corporate Services Ltd
          c/o Bernadette Bailey-Lewis
          dms Corporate Services Ltd.
          dms House, 2nd Floor
          P.O. Box 1344, Grand Cayman KY1-1108
          Telephone:(345) 946 7665
          Facsimile:(345) 946 7666


CLARUS CAPITAL: Shareholders' Final Meeting Set for December 24
---------------------------------------------------------------
The shareholders of Clarus Capital Offshore, Ltd. will hold their
final general meeting on December 24, 2008, at 1:00 p.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Stuart Sybersma
          c/o Jessica Turnbull, Deloitte & Touche
          P.O. Box 1787GT, Grand Cayman
          Cayman Islands
          Telephone:(345) 949-7500
          Facsimile:(345) 949-8258


CRG/FX TRADING: Shareholders' Final Meeting Set for December 29
---------------------------------------------------------------
The shareholders of CRG/FX Trading Partners II, Ltd. will hold
their final general meeting on December 29, 2008, at 10:00 a.m.,
to receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Ogier
          c/o Angus Davison
          Telephone:(345) 949 9876
          Facsimile:(345) 949 1986


DELPHIC CAPITAL: Shareholders' Final Meeting Set for December 29
----------------------------------------------------------------
The shareholders of Delphic Capital Management Limited will hold
their final general meeting on December 29, 2008, at 9:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Walkers SPV Limited
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002
          Cayman Islands


GLOBAL MAESTRO: Shareholders' Final Meeting Set for December 24
---------------------------------------------------------------
The shareholders of Global Maestro Fund 1 Limited will hold their
final general meeting on December 24, 2008, at 12:00 p.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Stuart Sybersma
          c/o Jessica Turnbull, Deloitte & Touche
          P.O. Box 1787GT, Grand Cayman
          Cayman Islands
          Telephone:(345) 949-7500
          Facsimile:(345) 949-8258


GULF & DALLAS: Members' Final Meeting Set for December 29
---------------------------------------------------------
The shareholders of Gulf & Dallas Oil Middle East Ltd. will hold
their final general meeting on December 29, 2008, at 9:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Richard Hoare
          16 Charles II Street
          London SW1Y 4QU, United Kingdom


ING LEASE: Shareholders' Final Meeting Set for December 26
----------------------------------------------------------
The shareholders of ING Lease Japan Prima Ltd. will hold their
final general meeting on December 26, 2008, at 10:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Rob Heijliger
          9 Raffles Place, #19-02 Republic Plaza
          Singapore 048619


NORTH SEA: Fitch Junks Ratings on $90MM Class B & C Notes
---------------------------------------------------------
Fitch Ratings has downgraded all classes of North Sea Island CDO I
Limited, removed classes A and B from Rating Watch Negative, and
assigned a Negative rating Outlook to class A, as listed below:

  -- US$30m Class A notes downgraded to 'B' from 'BB'; removed
     from RWN; assigned Outlook Negative

  -- US$60m Class B notes downgraded to 'CC' from 'B'; removed
     from RWN

  -- US$30m Class C notes downgraded to 'C' from 'CCC'

The downgrades reflect continued collateral deterioration in North
Sea Island's reference portfolio since Fitch's rating action in
May 2008.  Sub-investment grade assets, using Fitch derived
ratings, stand at 4% of the portfolio as of September 2008.  Of
these, assets rated at 'CC' or below stand at 2.2% of the
portfolio.  In comparison, in May 2008, sub-investment grade
assets stood at 4.1% of the portfolio and the lowest-rated asset
was rated 'B' which made up 1.4% of the portfolio.  Further, this
compares to low credit enhancement levels of 3.51%, 1.38% and
0.32% for classes A, B and C respectively.

In addition, 12 assets are currently on RWN, representing 9.7% of
the portfolio, making further negative rating migration likely.
All RWN names have been notched down three notches for the purpose
of this analysis.  No credit event notice has been served to date.
The portfolio comprises US Alt-A mortgage loans (5.2%), US
structured finance CDOs (6.8%) and other US structured finance
assets (39.9%).

Fitch Ratings published its updated approach for rating
collateralized debt obligations backed by structured finance
assets on December 16, 2008.  The updated criteria follow an
eight-week consultation period.  Fitch initially announced the new
proposals on October 14, 2008, and further clarified its treatment
of commercial real estate assets on November 14, 2008.  In this
case, Fitch's rating action was prompted by deteriorating
portfolio performance and is consistent with the updated criteria.

North Sea Island is a synthetic collateralised debt obligation
referencing a US$2.82bn portfolio of mainly US structured finance
assets.  At close, proceeds from the issuance of the US$129m North
Sea Island notes were used to collateralise a credit default swap
between the issuer and ABN AMRO Bank NV (ABN, rated 'AA-' (AA
minus)/'F1+'/Outlook Stable), the CDS counterparty. The reference
portfolio is managed by ABN.


PARATY OVERSEAS: Shareholders' Final Meeting Set for December 29
----------------------------------------------------------------
The shareholders of Paraty Overseas Fund, Ltd. will hold their
final general meeting on December 29, 2008, at 10:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Ogier
          c/o Michael Bunn
          Telephone:(345) 949 9876
          Facsimile:(345) 949 9877


RAINBOW SKYLINE: Shareholders' Final Meeting Set for December 29
----------------------------------------------------------------
The shareholders of Rainbow Skyline Corp. will hold their final
general meeting on December 29, 2008, at 9:15 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Walkers SPV Limited
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002
          Cayman Islands


SAX LEASING: Members' Final Meeting Set for December 31
-------------------------------------------------------
The shareholders of Sax Leasing No.1 will hold their final general
meeting on December 31, 2008, to receive the liquidator's report
on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          Griffin Management Limited
          Caledonian Trust (Cayman) Limited
          Caledonian House, PO Box 1043
          Grand Cayman KY1-1102
          Cayman Islands


SOLUS SHORT: Shareholders' Final Meeting Set for December 30
------------------------------------------------------------
The shareholders of Solus Short Opportunities Fund Ltd. will hold
their final general meeting on December 30, 2008, at 10:00 a.m.,
to receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Christopher Pucillo
          Solus Alternative Asset Management LP
          430 Park Avenue, New York, New York 10022
          U.S.A.


SOLUS SHORT: Shareholders' Final Meeting Set for December 30
------------------------------------------------------------
The shareholders of Solus Short Opportunities Master Fund Ltd.
will hold their final general meeting on December 30, 2008, at
10:00 a.m., to receive the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

          Christopher Pucillo
          Solus Alternative Asset Management LP
          430 Park Avenue, New York, New York 10022
          U.S.A.


STRATEGIC CAPITAL: Final General Meeting Set for December 29
------------------------------------------------------------
The members of Strategic Capital Management Limited will hold
their final general meeting on December 29, 2008, to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Benjamin K Y Lee
          c/o Maples and Calder, Attorneys-at-law
          P.O. Box 309GT, Ugland House
          South Church Street, George Town
          Grand Cayman, Cayman Islands


THE MACRO: Shareholders' Final Meeting Set for December 24
----------------------------------------------------------
The shareholders of The Macro Fund (US) Limited will hold their
final general meeting on December 24, 2008, at 11:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Stuart Sybersma
          c/o Jessica Turnbull, Deloitte & Touche
          P.O. Box 1787GT, Grand Cayman
          Cayman Islands
          Telephone:(345) 949-7500
          Facsimile:(345) 949-8258


WESTERLY GLOBAL: Final General Meeting Set for December 29
----------------------------------------------------------
The members of Westerly Global Opportunities, Ltd. will hold their
final general meeting on December 29, 2008, at 4:00 p.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          DMS Corporate Services Ltd
          c/o Bernadette Bailey-Lewis
          dms Corporate Services Ltd.
          dms House, 2nd Floor
          P.O. Box 1344, Grand Cayman KY1-1108
          Telephone:(345) 946 7665
          Facsimile:(345) 946 7666


WESTERLY GLOBAL: Final General Meeting Set for December 29
----------------------------------------------------------
The members of Westerly Global Opportunities Master, Ltd will hold
their final general meeting on December 29, 2008, at 3:00 p.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          DMS Corporate Services Ltd
          c/o Bernadette Bailey-Lewis
          dms Corporate Services Ltd.
          dms House, 2nd Floor
          P.O. Box 1344, Grand Cayman KY1-1108
          Telephone:(345) 946 7665
          Facsimile:(345) 946 7666


WHITEBRIDGE ASIA: Shareholders' Final Meeting Set for December 30
-----------------------------------------------------------------
The shareholders of Whitebridge Asia Plus Fund Limited will hold
their final general meeting on December 30, 2008, at 10:00 a.m.,
to receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          William Phillips
          Whitebridge Capital Partners LLP
          33 St James’s Street
          London SW1A IHD



===============
C O L O M B I A
===============


ECOPETROL: Releases Capital Expenditure Plans for 2009
------------------------------------------------------
Ecopetrol S.A.'s capital investment plan for the year 2009 will
total US$6.2 billion, which represents a 35% increase as compared
to the US$4.6 billion estimated for 2008, and three times the
investment in 2007.

Investment in the exploration and production segment represents
60.5% of the total capital investment plan for 2009.  The largest
percentage of investment in the area of production will be
allocated to the Llanos Orientales and Middle Magdalena region in
order to continue the expansion and development of heavy crude and
mature fields.

Nearly 25% of the investment represents Ecopetrol's contributions
to the projects that it will develop jointly with its joint
venture partners, while 8%, or US$500 million, will be invested
overseas.

"The 2009 investment plan is aligned with our new growth strategy,
the goal of which is to become a global energy company as of the
year 2015, with daily production of one million barrels of oil
equivalent, a greater international presence and a consolidated
biofuels, refining and petrochemical portfolio," stated Ecopetrol
president Javier Gutierrez Pemberthy.


                 Ecopetrol 2009 Investment Plan


                                                 Amount
    Business Area                         (US million dollars)
    ----------------------------------------------------------
    Exploration and new ventures                  1,049
    Production                                    2,715
    Refining and Petrochemical                      814
    Transport                                       598
    Other investments                               178
    Acquisitions                                    870
    ==========================================================
    Total                                         6,224


Out of the total plan, US$214 million corresponds to projects
already underway in the year 2008.

Included below are some of the key projects to be developed by
Ecopetrol in 2009 in its main areas of business.

    Exploration and New Ventures
    ----------------------------

With an investment of US$1 billion in 2009, Ecopetrol plans to
drill 28 exploratory wells, 24 of them directly in Colombia and 4
in international markets, together with its joint venture
partners.

Regarding seismic activities, the company plans to acquire the
equivalent of 7,801 kilometers, 6,274 of them in Colombia and
1,527 overseas.

The company will initiate activities in the blocks it was awarded
by the National Hydrocarbon Agency in the various rounds that took
place throughout 2008.

In the area of new ventures, investment will be mostly allocated
to Ecopetrol's exploration projects in the Gulf of Mexico (United
States), Peru and Brazil in association with other companies.

   Production
   ----------

Ecopetrol will invest US$2.7 billion in this area in order to
continue increasing its direct production of crude oil and natural
gas to 457,000 barrels of equivalent oil per day (boed).  As of
October 2008, Ecopetrol's production amounted to 446,000 boed,
surpassing the target of 425,000 boed set early this year.

The greatest percentage of investment will be allocated to the
Llanos Orientales projects, specifically for development of heavy
crude oil in the Castilla and Rubiales fields.  Similarly, a
significant percentage will be invested in the development of
mature fields including La Cira-Infantas, Yarigui-Cantagallo,
Casabe and Llanito Lisama in the Middle Magdalena Medio, as well
as the development of gas in fields such as Cupiagua and
Gibraltar.

   Refining and Petrochemical
   --------------------------

The total investment in this area is estimated in US$814 million,
which will be used in the modernization of the refineries and in
the fuel quality improvement plan.

The construction and start-up of the hydro treatment plant in
Barrancabermeja will require an investment of US$244 million in
2009.  This project will allow for fuels produced in this
industrial complex to meet the most demanding international
environmental standards.

In addition, the refining investment plan contemplates
US$254 million to develop the Master Plan of the Cartagena
Refinery.

   Transport
   ---------

The US$598 million investment in this area are primarily intended
to ensure normal domestic fuel supply and to strengthen the
hydrocarbon transport system, particularly that for heavy crude,
one of Ecopetrol's areas with the highest production growth.

   Other investments
   -----------------

Ecopetrol expects to allocate US$60 million for energy
diversification projects, including the bioenergy plant in the
Llanos region that will produce ethanol out of sugar cane.

To achieve the operational goals, investments in organizational
consolidation, particularly in the areas of research and
technology, human talent, quality management and social
responsibility are foreseen.

                       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 reported by the Troubled Company Reporter-Latin America on
November 12, 2008, Fitch Ratings affirmed Ecopetrol S.A.'s
foreign and local currency issuer default ratings at 'BB+' and
'BBB-', respectively.  The Rating Outlook is Stable.


QUEBECOR WORLD: Four Directors Step Down from Board
---------------------------------------------------
Quebecor World Inc. said that its board vice-chairmen Pierre Karl
Peladeau and Erik Peladeau, and audit committee chairmen Jean
Neveu and Jean La Couture have resigned from the Board of
Directors.

The officers also serve on the boards of Quebecor Inc. and
Quebecor Media Inc., and have determined that their resignations
are advisable, as a result of the claims that have been filed by
Quebecor Inc. and its subsidiaries as part of Quebecor World's
court protected restructuring process.

The company's lead director Alain Rheaume was named chairman of
the audit committee of the company and was added as a member of
the restructuring committee.

On the one hand, Andre Caille was appointed as member of the audit
committee.  he continues to chair the restructuring committee
along with  Mr. Rheaume, Michele Desjardins and Jacques Mallette.

Quebecor World does not believe the above mentioned resignations
will impact its plan to exit creditor protection as a strong
company in its industry.

                     About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW) -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Ernst & Young, Inc., the monitor of Quebecor World Inc., and its
affiliates' reorganization proceedings under the Canadian
Companies' Creditors Arrangement Act, filed a petition under
Chapter 15 of the Bankruptcy Code before the U.S. Bankruptcy Court
for the Southern District of New York on September 30, 2008, on
behalf of QWI (Bankr. S.D.N.Y. Case No. 08-13814).  The chapter 15
case is before Judge James M. Peck.  Kenneth P. Coleman, Esq., at
Allen & Overy LLP, in New York, serves as counsel to the chapter
15 petitioner.

QWI and certain of its subsidiaries commenced the CCAA proceedings
before the Quebec Superior Court (Commercial Division) on
January 20, 2008.  The following day, 53 of QWI's U.S.
subsidiaries, including Quebecor World (USA), Inc., filed
petitions under Chapter 11 of the U.S. Bankruptcy Code.

The Honorable Justice Robert Mongeon oversees the CCAA case.
Francois-David Pare, Esq., at Ogilvy Renault, LLP, represents the
Company in the CCAA case.  Ernst & Young Inc. was appointed as
Monitor.

Quebecor World (USA) Inc., its U.S. subsidiary, along with other
U.S. affiliates, filed for chapter 11 bankruptcy before the U.S.
Bankruptcy Court for the Southern District of New York (Lead Case
No. 08-10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter
LLP, represents the Debtors in their restructuring efforts.  The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

QWI is the only entity involved in the CCAA proceedings that is
not a Debtor in the Chapter 11 Cases.

As of June 30, 2008, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$3,412,100,000 total
liabilities of US$4,326,500,000 preferred shares of US$62,000,000
and total shareholders' deficit of US$976,400,000.

The Hon. Robert Mongeon of the Quebec Superior Court has extended
until Dec. 14, 2008, the stay under the Canadian Companies'
Creditors Arrangement Act.



==================================
D O M I N I C A N  R E P U B L I C
==================================

BANCREDITO: Supreme Courts Says No to Conviction Appeal
-------------------------------------------------------
The Supreme Court refused to hear the appeal to review the
convictions of the former executives in the US$900 million fraud
case against Bancredito, Dominican Today reports.

As reported by the Troubled Company Reporter - Latin America on
November 19, 2008, the Dominican Today reported Judge Diaz issued
an exit impediment against Mr. Arturo Pellerano and Mr. Mendoza,
who were sentenced to eight years in prison after being convicted
of fraud in the Bancredito collapse.

The same report related that Dominican central bank and the banks
superintendence were plaintiffs of a DOP20-billion fraud case
against the Bancredito officials.  The indictment cited:

         -- forgery of bank or commercial documents,

         -- swindle,

         -- breach of trust,

         -- adulteration and manipulation of documents and data,
            to divert controls and the investigation by the
            monetary and financial authority and the drafting
            and approval of balances, and

         -- use of false financial statements to hide irregular
            operations.

                      About Bancredito

Bancredito is a subsidiary of Banco Intercontinental, which
collapsed in 2003 as a result of massive fraud that drained it
of about US$657 million.  As a consequence, all of its branches
were closed.  The bank's current and savings accounts holders
were transferred to the bank's new owner -- Scotiabank.  The
bankruptcy of Baninter was considered the largest in world
history, in relation to the Dominican Republic's Gross Domestic
Product.  The resulting deficit was equal to 12% to 15% of the
country's national GDP.  It costed Dominican taxpayers
DOP55 billion and resulted to the country's worst economic
crisis.



=============
E C U A D O R
=============

* ECUADOR: Inpex Corp to Buy 40% Stake in Ecuador Field
-------------------------------------------------------
Inpex Corp. has agreed to buy a 40% stake in an on-shore oil field
in Ecuador, Shigeru Sato of Bloomberg News reports.

According to the report, Inpex agreed to buy the stake in Block 18
from Petrobras Energia SA, a unit of Brazil's state-owned
Petrobras Brasileiro SA.

The field is producing 30,000 barrels a day of crude oil, the
report says.

As reported by the Troubled Company Reporter - Latin America on
December 17, 2008, Fitch Ratings has downgraded Ecuador's long-
term foreign currency Issuer Default Rating (IDR) to 'RD' from
'CCC' following the expiration of the grace period for the coupon
payment on the 2012 global bonds that was due on Nov. 15 and the
government's announcement that it will selectively default on all
global bonds.  The short-term foreign currency rating was
downgraded to 'D' from 'C'.  The country ceiling remains at 'B-'.



===========
G U Y A N A
===========

* GUYANA: Labor Minister Says Credit Unions Poorly Managed
----------------------------------------------------------
Guyana's credit unions have unaccounted tens of millions of
dollars, Caribbean Net News reports citing Guyana's Labour
Minister, Mansoor Nadir.

The country has a total of 48 credit unions, the report says.

According to the report, Minister Nadir told the Kaieteur News
newspaper his ministry has found that many of the credit unions
have been poorly and fraudulently managed.  "We have a very sad
state of affairs in terms of the management of many credit unions
in Guyana," the Minister said.

The report relates Minister Nadir further told the Kaieteur News
newspaper that it is not a situation that would have appeared
overnight, "To some extent, as the supervisors of credit unions,
we have to take some amount of responsibility for the situation we
are in."

Minister Nadir, the report notes, added that earlier this year,
the ministry embarked on an exercise to get co-operatives, of
which credit unions are a part, and finally societies, to bring
themselves and their operations up-to-date with respect to the
laws of co-operatives and friendly societies.

On October 13, Minister Nadir recalled the ministry ordered the
cancellation of
credit union National Association of Agricultural, Commercial and
Industrial Employees (NAACIE) after more than US$11 million of
member's dues and contributions were found unaccounted.

NAACIE, the report says, is the largest credit union in the
country representing 20,000 sugar workers.



===========
M E X I C O
===========

UNION DE CREDITO: Moody's Assigns BSFR at 'E+'; Outlook Stable
--------------------------------------------------------------
Moody's Investors Service assigned a bank financial strength
rating of E+ to UniOn de CrEdito Agricultores de CuauhtEmoc S.A.
de C.V.  At the same time, Moody's assigned long- and short-term
global local currency deposit ratings of B1/Not Prime,
respectively. On its Mexican National Scale, Moody's assigned
long- and short-term ratings of Baa3.mx / MX-3, respectively.  All
these ratings have stable outlooks.

According to Moody's, the low BFSR of E+ is constrained by
UCACSA's very small scale and marginal systemic presence as
demonstrated by its absolute small share of less than 0.1% of the
Mexican deposits market -- the latter a feature common to all
credit unions in Mexico.  Furthermore, UCACSA's narrow business
scope -- geared primarily towards financing the agribusiness and
agribusiness-related activities of a small community in the state
of Chihuahua, is a limiting factor relative to more diversified
financial peers and therefore limits the union's overall
franchise.

Moody's also cites that UCACSA's poorly-developed risk management
practices and the potential interference of board members, and
ultimately shareholders, on the day-to-day credit decisions weight
negatively on the ratings because this raises concerns in terms of
corporate governance.

UCACSA's low rating is also challenged by the company's relatively
high reliance on uncommitted bank facilities to fund a large
proportion of its operations, which translates into a modest
ability to fund itself under stress relative to larger peers.
Moreover, the ratings are constrained by the very limited -- yet
improving -- regulatory framework for credit unions.

UCACSA's BFSR is underpinned by the company's good record of
recurrent core earnings, adequate asset quality and comfortable
capital adequacy.  UCACSA's specialization in serving the
Mennonite community through a simple business model ensures close
monitoring and knowledge of its target market segment and results
in a relatively-well contained credit operation.

The assigned B1 GLC deposit rating incorporates no external
support (e.g. parental or systemic) and thus the deposit rating is
at the same level of the credit union's Baseline Risk Assessment
of B1.

UCACSA is headquartered in CuauhtEmoc, Chihuahua and is the second
largest credit union in MExico, with Mx$2,464 million in assets as
of October 2008.

The long-term Mexican National Scale rating of Baa3.mx indicates
the issuer or issues rated have an average creditworthiness
relative to other domestic issuers or issues.  The short-term
Mexican National Scale rating of MX-3 indicates that the issuer
has an average ability to repay short-term senior unsecured debt
obligations relative to other domestic issuers.

These ratings were assigned:

  -- Bank Financial Strength Rating: E+
  -- Global Local Currency Deposits, long term: B1
  -- Global Local Currency Deposits, short term: Not Prime
  -- Mexican National Scale rating, long term: Baa3.mx
  -- Mexican National Scale rating, short term: MX-3
  -- Outlook: All these ratings have stable outlooks



====================
P U E R T O  R I C O
====================

ANTIOCH CO: U.S. Trustee Forms Five-Member Creditors Committee
--------------------------------------------------------------
The United States Trustee for Region 9 appointed seven creditors
to serve on an Official Committee of Unsecured Creditors for KB
Toys Inc. and its debtor-affiliates.

The creditors committee members are:

  1) Lisa Marie Drew
     8849 Ridgewood
     St. Joseph, MN 56374

  2) Heide Leigh Everett
     8553 Orange Road
     St. Joseph, MN 56374

  3) 2377 Commerce Boulevard, LLC
     Attn: Gary Gottschlich
     Gottschlich & Portune, LLP
     201 E. Sixth St.
     Dayton, OH 45402

  4) Kay Richter
     26352 Huckleberry Court
     Cold Spring MN 56320

  5) Walthall A&B, LP
     Attn: Jenny J. Hyun, Esq.
     c/o Weingarten Realty
     2600 Citadel Plaza Dr., Suite 300
     Houston, TX 77008

Official creditors' committees have the right to employ legal and
accounting professionals and financial advisors, at the Debtor's
expense.  They may investigate the Debtor's business and financial
affairs.  Importantly, official committees serve as fiduciaries to
the general population of creditors they represent.  Those
committees will also attempt to negotiate the terms of a
consensual Chapter 11 plan -- almost always subject to the terms
of strict confidentiality agreements with the Debtors and other
core parties-in-interest.  If negotiations break down, the
Committee may ask the Bankruptcy Court to replace management with
an independent trustee.  If the Committee concludes reorganization
of the Debtor is impossible, the Committee will urge the
Bankruptcy Court to convert the Chapter 11 cases to a liquidation
proceeding.

                          About Antioch

The Antioch Co. -- http://www.antiochcompany.com/-- which owns
St. Cloud-based Creative Memories.  The company was founded in
1926.  It consists of operating and business units located in
Ohio, Minnesota, Nevada, and Virginia.  The direct-selling
division encompasses the U.S. and Puerto Rico, Canada, Australia,
New Zealand, Germany, Japan and the United Kingdom, with expansion
planned in other European countries.  The Antioch employs more
than 1,090 people and manufactures, packages and markets more than
3,000 products to tens of thousands of independent sales
Consultants and retail dealers.  As reported in the Troubled
Company Reporter on Nov. 17, 2008, The Antioch Co. reached an
agreement with its lenders to restructure its debt.  To facilitate
this agreement, Antioch and six of its subsidiaries filed
voluntary petitions for Chapter 11 protection with the U.S.
Bankruptcy Court for the Southern District of Ohio.  In their
summary of schedules, the Debtors listed US$66,388,321 in total
assets and US$141,142,236 in total liabilities.



=================
V E N E Z U E L A
=================

BANESCO BANCO: Fitch Affirms Issuer Default Ratings at 'B'
----------------------------------------------------------
Fitch Ratings has affirmed Venezuela-based Banesco Banco
Universal's ratings:

  -- Long-term foreign and local currency Issuer Default Ratings
     at 'B';

  -- Short-term foreign and local currency rating at 'B';

  -- Individual at 'D/E';

  -- Support at '5'.

  -- Long-term National rating at 'A-(ven)';

  -- Short-term National rating at 'F2(ven)';

  -- Support Floor rating at NF.

Downside risk for BBU's ratings would stem from additional back
turns on its capital ratio and/or exacerbated government measures
that could negatively affect its performance.

BBU's ratings reflect its relative size in Venezuela, well-
established franchise, fair asset quality and its diversified
customer base.  However, the ratings are hindered by the bank's
low capitalization ratios and the negative effects of government
intervention over the bank business.

High economic growth and BBU's commercial efforts have boosted
lending since 2004 but have eased in the first half of 2008 given
lower loan demand and a more conservative lending approach.  The
normal seasoning of the loan portfolio and a more moderate growth
in gross loans resulted in a slight deterioration of the past-due-
loans-to-gross-loans ratio to 1.2% at the end of June 2008,
although still in line with the market average.  Total loan loss
reserves increased as a proportion during the first half of 2008,
up to 1.5% of total lending, but this level is still considered
tight.

Profitability has steadily reduced as a consequence of the fierce
control of the government over interest rates and fees, mounting
inflation and lack of foreign exchange gains.  Going forward, the
need to build up a stronger loan loss reserve base and the limits
imposed by the aforementioned controls could result in even lower
profitability ratios.  During the first half of 2008, the return-
on-average ratio stood at 2.3%, in line with the market average
but below the mid-term average of the bank.

Despite a decrease in the cash dividend payout since 2005, the
higher-than-proportional growth in assets undermined BBU's capital
position, a trend that has slightly changed during 2008.  As such,
the bank still compares unfavorably with its peers, especially
considering the burden of its investments in fixed assets.  As
such, the equity-to-assets ratio stood at 8.3% at the end of June
2008, while the bank's free-capital ratio was 5.9%.  Even when the
bank complies with local minimum capital requirements, the room to
maneuver is limited.  This situation demands a more conservative
capitalization policy going forward.

At the end of June 2008, BBU was Venezuela's largest bank in terms
of funds under management (assets + investment funds) with a
market share of 12.68%.  BBU's capital is directly or indirectly
controlled by Banesco Holding (79%), majority owned by Mr. Juan
Carlos Escotet, its founder.


BANCO DEL CARIBE: Fitch Affirms Issuer Default Ratings at 'B'
-------------------------------------------------------------
Fitch Ratings has affirmed Venezuela-based Banco del Caribe's
ratings:

  -- Long-term foreign and local currency Issuer Default Ratings
     at 'B';

  -- Short-term foreign and local currency ratings at 'B';

  -- Individual at 'D/E';

  -- Support at 5;

  -- Long-term National rating at 'A-(ven)';

  -- Short-term National rating at 'F-2(ven)';

  -- Support Floor rating at 'NF'.

The Rating Outlook for the long-term IDR is Negative. Downside
risk for Bancaribe's ratings would stem from additional back turns
on its capital ratio and/or exacerbated government measures that
could negatively affect its performance.

Bancaribe ratings reflect its strong competitive position in the
middle market, adequate asset quality and income diversification.
However, the ratings are hindered by the bank's low capitalization
ratios and the negative effects of government intervention over
the bank business.

After four years of vigorous loan growth, Bancaribe's loan
portfolio remained almost unchanged during the first half of 2008,
not only as a consequence of the bank's intention to contain
credit risk, but also given the constraints imposed by its capital
base.  The normal seasoning of the loan portfolio and a more
moderate growth in gross loans resulted in a slight deterioration
of the past-due-loans-to-gross-loans ratio to 1% at the end of
June 2008, although still in line with the market average.  Total
loan loss reserves have been increasing as a proportion of total
lending since 2005 up to 2.2% at June 2008, but this level is
still considered relatively tight.

Profitability remains sufficient despite the fierce control of the
government over interest rates, fees and mounting inflation.
Despite the former, the need to build up a stronger loan loss
reserve base and the limits imposed by the aforementioned controls
could result in lower profitability ratios going forward.  During
the first half of 2008, the return-on-average ratio stood at 2.3%,
in line with the market average but below the mid-term average of
the bank.

Cash dividends and lower profitability have not allowed Caribe to
keep its capitalization ratios in times of asset expansion, being
that the recent downturn in its growth strategy slightly reverted
that trend.  Nevertheless, the bank capitalization still compares
unfavorably with its peers, especially considering the burden of
its investments in subsidiaries.  As such, the equity-to-assets
ratio improved up to 8.3% at the end of June 2008, while the
bank's free-capital ratio increased to 2.6%.  Even when the bank
complies with local minimum capital requirements, the room to
maneuver is extendedly limited.  This situation demands a more
conservative capitalization policy going forward.

Bancaribe is a medium-sized bank with a 2.6% market share in terms
of invested funds (assets plus investment funds) at June 2008.  At
year-end 2007, 51.1% of Bancaribe was controlled by the Dao
family, and 26.6% was held by Scotia International Ltd., a wholly-
owned subsidiary of Scotiabank, with the remainder publicly held.


PETROLEOS DE VENEZUELA: Fitch Downgrades Debt Ratings to 'B+'
-------------------------------------------------------------
Rising risk of fiscal crisis in Venezuela has adverse rating
implications for Petroleos de Venezuela, S.A., which has
downgraded the foreign and local currency Issuer Default Ratings
and outstanding debt ratings:

  -- Foreign currency IDR to 'B+' from 'BB-';
  -- Local currency IDR to 'B+' from 'BB-';
  -- US$3 billion 5.25% notes due 2017 to 'B+/RR4' from 'BB-'
  -- US$3 billion 5.375% notes due 2027 to 'B+/RR4' from 'BB-'
  -- US$1.5 billion 5.50% notes due 2037 to 'B+/RR4' from 'BB-'

The 'RR4' Recovery Rating implies an anticipated recovery of
between 31% and 50% in the event of default.  In conjunction with
these rating actions, Fitch has affirmed PDVSA's 'AAA (ven)'
national scale rating.  The Rating Outlook for all of the
aforementioned ratings is Stable.

The downgrade of PDVSA's ratings follows Fitch's Dec. 15 downgrade
of the sovereign IDRs of the Bolivarian Republic of Venezuela to
'B+' from 'BB-'.  The downgrade of the country's credit ratings
reflects the increased risk of a financial and economic crisis in
Venezuela due to the government's tenuous macroeconomic policy
framework and Fitch's concerns that a timely adjustment may not be
forthcoming, particularly within the context of upcoming electoral
events.

As a state-owned entity, whose royalties and tax payments
represent more than 50% of the government's revenues, Petroleos de
Venezuela S.A.'s credit quality is inextricably linked to that of
the government of Venezuela.  In the past two years, the
government has used PDVSA's balance sheet to nationalize
electricity companies, as well as to acquire industrial companies.
The government also took the additional step during 2008 of
changing PDVSA's charter and mission statement to allow it to
participate in any industry that could contribute to the social
development of the country including health care, education and
agriculture.

From 2002 to 2005 capital expenditures at PDVSA averaged US$3.1
billion per year.  In 2006 and 2007, they climbed to US$7.2
billion and US$12.8 billion, respectively.  Despite these
investments, PDVSA's reported oil production has remained stable
during the past three years at 2.9 MMbpd, which is below the pre-
strike production levels of 3.1MMbpd in 2001.  In addition to
supporting increased investments, higher oil prices have resulted
in much higher contributions by PDVSA to the government in the
form of royalties, taxes, dividends, and transfers to social and
development funds.  During 2007, these contributions totaled
approximately US$43.7 billion.  They are expected to be even
higher in 2008

PDVSA's cash generation is expected to drop sharply in 2009 due to
lower hydrocarbon prices.  The company could be pressured to
reduce investments and/or to increase leverage to help the
government fund its macroeconomic imbalances.  PDVSA's planned
investments are sizeable, totaling an estimated US$51.4 billion
over the next four years.  To maintain current upstream
production, PDVSA must invest approximately US$2.5 billion
annually.  The partial or total expropriation of multinational oil
companies' investments in the heavy oil projects during 2007 by
the Venezuelan government could make it difficult to attract the
needed capital and expertise to increase production.  In addition,
the arbitration initiated by ExxonMobil and potentially by
ConocoPhillips to recover the market value of their projects could
delay private sector participation in the industry's development.
Moreover, this legal issue has opened up the possibility that
PDVSA's valuable assets in the US, CITGO's refineries and outlets,
could come into play in any ensuing arbitration or settlement.

Despite the aforementioned, Fitch believes PDVSA will continue to
be an important player in global energy.  A strong balance sheet
in line with worldwide competitors, sizeable proven hydrocarbon
reserves, strategic interests in international downstream assets,
private participation in upstream operations and geographic
proximity to the North American market provide important
competitive advantages that are difficult to undermine.  PDVSA's
nature as a state-owned entity, combined with increased government
control over business strategies and internal resources,
underscores the close link between the company's credit profile
and that of the sovereign.

PDVSA, Venezuela's national oil company, is engaged in the
exploration and production of crude oil and natural gas, the
refining, marketing, and transportation of crude and refined
products, and the production of petrochemicals, as well as various
other hydrocarbon-related activities in Venezuela and abroad.  The
Bolivarian Republic of Venezuela is the company's sole
shareholder.


PDVSA: To Merge 3 Joint Ventures to Cut Costs
---------------------------------------------
Petroleos de Venezuela S.A. (PDVSA) said the merger of
Petroindependiente, Lagopetrol and Petrowarao joint ventures is
just the first step in a series of actions planned by the
Venezuelan government to reduce management costs related to
operation of the 29 joint ventures that were organized under a
plan to terminate the so-called "oil opening process," El
Universal News reports.

According to the report, Asdrubal Chavez, Pdvsa vice president of
refining, trade and supply, confirmed to Dow Jones that the
consolidation of the joint ventures will continue, with a goal to
cut costs next year.

Although one of Pdvsa's arguments is that the joint ventures that
handle small volumes of crude oil production will be consolidated,
reports claim that the merger of medium-size companies is
virtually complete, the report says.

Headquartered in Caracas, Petroleos de Venezuela S.A. --
http://www.pdvsa.com/-- is Venezuela's state oil company in
formed to develop the petroleum, petrochemical and coal industry.
The company also plans, coordinates, supervises and controls the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                          *     *     *

Petroleos de Venezuela S.A. continues to carry a 'BB-' long-term
corporate credit rating from Standard & Poor's with stable
outlook.  The rating was affirmed by S&P in April 2008.



===============
X X X X X X X X
===============

* Delphi Chairman Says Detroit 3 Need Pseudo-Bankruptcy
-------------------------------------------------------
"General Motors Corp., Chrysler LLC, and Ford Motor Company -
need an out-of-court pseudo-bankruptcy that mimics the things
that might happen in a bankruptcy," said Steve Miller, Delphi
Corp. chairman, in an interview with Automotive News.

Mr. Miller, however, believed that bankruptcy and prepackaged
bankruptcy, which served as turnaround tools for Delphi, may not
be suitable to the Detroit 3.  "The Bankruptcy system isn't built
to handle anything as "big, complex and politically sensitive" as
a GM Bankruptcy," he related in the Automotive News interview.

"Prepackaged bankruptcies don't save time because all concessions
need to be made before going to the Court and the situation where
GM and Chrysler are in calls for urgency," Mr. Miller stressed.
Back in 1979, he recalled, it took three months of debate before
Congress signed the bill on loan guarantees on December 21, 1979,
and another six more months for Chrysler to get all stakeholder
concessions required by the law before an automaker could draw
its first guaranteed loan.

The article implied that a March 31 deadline for the Detroit 3 to
line-up concessions from stakeholders may prove to be overly
optimistic.

In 1979, there was Chrysler, one company who needed cash, this
time, there are three companies with different problems,
Mr. Miller pointed out in the interview.  Though a bailout is
about saving jobs, excessive focus on creating jobs would be bad
as in effect, "that would be creating a Job Banks again," he
added in the Automotive interview.

Mr. Miller also cited that an auto czar, instead of micromanaging
the companies, should establish guiding principles and leave the
rest to the management.  "They should just make the companies
healthy and let the market do the rest," he concluded in the
interview.

Mr. Miller was responsible for the 1979 rescue of Chrysler Corp.
and has rehabilitated several troubled companies, the article
noted.

To recall, the U.S. Senate has rejected the proposed US$14 billion
financial assistance for General Motors, Chrysler, and Ford
Motor, after the measure was passed by the House of
Representatives.  In light of the Senate's decision, the White
House, according to the Wall Street Journal, said on Friday that
it would consider letting the Big 3 access the US$700 billion
financial-rescue plan.  The government's US$700 billion Troubled
Asset Relief Program was approved in October and was intended for
financial institutions.

                   About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional headquarters
in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the solicitation
of votes on the First Amended Plan on Dec. 20, 2007.  The Court
confirmed the Debtors' First Amended Plan on Jan. 25, 2008.  The
Plan has not been consummated after a group led by Appaloosa
Management, L.P., backed out from their proposal to provide
US$2,550,000,000 in equity financing to Delphi.
(Delphi Bankruptcy News, Issue No. 153; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


Moody's Says Likely Scenario Is Gov't Support for Automakers
------------------------------------------------------------
The U.S. Government will likely provide immediate stopgap
financing to bridge the major American auto companies until a more
complete agreement can be reached early in 2009, says Moody's
Investors Service in a new report that outlines the three mostly
likely bailout and bankruptcy scenarios for government help to
Ford, GM and Chrysler.

"We think it's most likely that a prepackaged bankruptcy filing
coupled with government financial assistance will be needed to
restructure the Big Three," said Moody's Senior Vice President
Bruce Clark, a co-author of the report.  "The government will also
probably offer support by providing or guaranteeing debtor-in-
possession or DIP financing, and bondholder losses would probably
be less than 75% in this scenario."

In the wake of the domestic auto manufacturing companies' request
for urgent financial assistance from the federal government, the
Moody's report describes three bailout and bankruptcy scenarios
for Detroit, assesses the probabilities of these scenarios, and
examines the extent of likely losses in each of the scenarios for
auto manufacturer debt holders.  It then assesses the broader
implications of the three scenarios, across the larger economy
generally and specifically on 10 important financial and
industrial sectors.

These include auto-part manufacturers, captive finance companies,
car rental companies, banks, auto dealers, steel, chemicals,
rental car fleet securitizations, state and local governments,
dealer floorplan securitizations, auto loan/lease securitizations,
and rental car fleet securitizations.

"A prepackaged bankruptcy might be the best approach to current
problems, but achieving timely agreement from a broad range of
creditors would be highly difficult, especially given the critical
funding status of GM and Chrysler," said Mr. Clark.

While the analyst and his Moody's colleagues give a prepackaged
bankruptcy filing coupled with government financial assistance a
70% likelihood of coming to pass, they assign a 25% probability of
a government bailout without a near-term automaker bankruptcy.

"Under this less-likely scenario, a comprehensive bailout package
is agreed to that enables the automakers to restructure without
any bankruptcy filings during 2009.  The degree of economic
disruption and direct financial loss for investors would be
contained, at least in the short term," said Mr. Clark.
"Bondholder losses would be the least in this scenario, although
there is a risk that such a reorganization would be inadequate,
and that at least one automaker might file for bankruptcy beyond
2009."

Given only a 5% likelihood, Moody's also considers the "freefall
bankruptcy" scenario without a prepackage plan and without
government involvement.  This would involve the most significant
disruption to the economy, including potential bankruptcies in
associated industries such as auto parts suppliers and auto
dealers.

"The negative consumer sentiment and erosion of franchise value
would make the reorganization process more complex for the
automakers and a Chapter 7 liquidation of at least one of the
automakers possible," said Mr. Clark.  "Auto bondholder losses
could be in the 75-100% range in this scenario."

The report, "U.S. Automakers: Credit Implications of Three
Scenarios Have Broad Reach," is available at:

                  http://www/moodys.com/




                            ***********

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 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
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Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

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delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
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           * * * End of Transmission * * *