/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/090114.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Wednesday, January 14, 2009, Vol. 9, No. 9 Headlines A R G E N T I N A AUXI – THERAPIA: Proofs of Claim Verification Due on March 10 BAPRO MANDATOS: Moody's Assigns 'B1' Rating Fidecomiso Securities CAMINOS DE LAS: Proofs of Claim Verification Due on April 1 SODA CORBELLE: Proofs of Claim Verification Due on April 1 B E R M U D A BRUSON INTERNATIONAL: Member to Receive Wind-Up Report STEWARDSHIP CREDIT: Court to Hear Wind-Up Petition on January 23 B R A Z I L FORD MOTOR: May Seek Bailout if Sales Dive Below Projections GENERAL MOTORS: Viability Not 100% Certain, Says CEO GERDAU SA: Gerdau Macsteel to Cut 10% Workforce in Monroe Mill TELEMAR NORTE: To Invest BRL30 Billion For Expansion * BRAZIL: Dec. Vehicle Output Drops 54% to 9-Year Low * BRAZIL: Early Months of 2009 Will be "Worrisome", Lula Says C A Y M A N I S L A N D S AIG MEZZVEST: Shareholders Receive Wind-Up Report ALABAMA FIRE: Members Hear Wind-Up Report APEX SILVER: Cuts Deal with Note Holders; To File Bankruptcy BOULDER CREEK: Shareholders Receive Wind-Up Report CCL INVESTMENT: Shareholders Receive Wind-Up Report CLASSIC IV: Shareholders Receive Wind-Up Report CZ320-97F LIMITED: Shareholders Receive Wind-Up Report CZ320-97H LIMITED: Shareholders Receive Wind-Up Report EQUITY WORLD: Final General Meeting Set for January 30 GREENBRIDGE FUND: Shareholders Receive Wind-Up Report HUDSON CANYON: Shareholders Receive Wind-Up Report IVY MA: Shareholders Receive Wind-Up Report JADE (GENERAL PARTNER): Shareholders Receive Wind-Up Report MEZZVEST MANAGER: Shareholders Receive Wind-Up Report ORIES FUNDING: Shareholders Receive Wind-Up Report PREFERRED FUNDING: Shareholders Receive Wind-Up Report REDBRIDGE STRATEGIC: Shareholders Receive Wind-Up Report SILVER CREST: Shareholders Receive Wind-Up Report STEAMBOAT SELECT: Shareholders Receive Wind-Up Report THE CHINA: Shareholders Receive Wind-Up Report WORLD WIDE: Shareholders Receive Wind-Up Report * CAYMAN ISLANDS: 24 Hedge Funds Affected by Madoff Fraud E C U A D O R * ECUADOR: Central Bank Sees Slow Economic Growth This Year P U E R T O R I C O ANTIOCH COMPANY: Court Confirms Prepackaged Reorganization Plan V E N E Z U E L A PDVSA: May Lose US$233.6 Million on LyondellBasell Bankruptcy PDVSA: Venezuela Denies OPEC Cuts Caused 4,000 Layoffs - - - - - ================= A R G E N T I N A ================= AUXI – THERAPIA: Proofs of Claim Verification Due on March 10 ------------------------------------------------------------- The court-appointed trustee for Auxi - Therapia S.A.'s bankruptcy proceedings, will be verifying creditors' proofs of claim until March 10, 2009. The trustee will present the validated claims in court as individual reports on April 27, 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 10, 2009. BAPRO MANDATOS: Moody's Assigns 'B1' Rating Fidecomiso Securities ----------------------------------------------------------------- Moody's Latin America has assigned a national scale rating of Aa3.ar and a global local currency rating of B1 to the debt securities of Fideicomiso Financiero MULTIPYME VIII issued by Bapro Mandatos y Negocios S.A. - acting solely in its capacity as Issuer and Trustee. The rated securities are backed by a pool of bills of exchange signed by agricultural producers in Argentina. The bills of exchange are guaranteed by Garantizar S.G.R., which is a financial guarantor in Argentina. Garantizar has a local currency national scale rating of Aa3.ar and a global local currency rating of B1. STRUCTURE Bapro Mandatos y Negocios S.A. (Issuer and Trustee) issued one class of debt securities denominated in Argentine pesos. The rated securities will bear a 7.5% annual interest rate. The rated securities will be repaid from cash flow arising from the assets of the Trust, constituted by a pool of fixed rate bills of exchange denominated in US dollars signed by agricultural producers and guaranteed by Garantizar S.G.R. The bills of exchange will have the same interest rate as the rated securities. The promise to investors is to receive the payment of interest and principal by the legal final maturity of the transaction, which will occur 330 days after the closing date of the transaction. If, eight days before each payment date, the funds on deposit in the trust account are not sufficient to make payments to investors, the Trustee is obligated to request Garantizar to make payment under the bills of exchange. Garantizar, in turn, will have five days to make this payment into the trust account. Under the terms of the transaction documents, the trustee has up to two days to distribute interest and principal payments to investors. Interest on the securities will accrue up to the date on which the funds are initially deposited by either Garantizar, the exporter, or the individual producers into the Trust account. The designated Trustee in this transaction is Bapro Mandatos y Negocios S.A., which is the Banco de la Provincia de Buenos Aires' trustee company. Tax Regime On August 1, 2008, the Argentine Government published the Decree 1207/08 which eliminated certain tax-income exemptions for financial trusts in Argentina. These exemptions were originally established in 1999 to promote the use of securitization as a financing vehicle in the local capital markets. Moody's notes that assets and liabilities are matched in this transaction; therefore, there is no positive taxable income. Rating Methodology The rating assigned to this transaction is primarily based on the rating of the guarantor of the underlying assets, Garantizar S.G.R. Therefore, any future change in the rating of the guarantor may lead to a change in the rating assigned to this transaction. The rating addresses the payment of interest and principal on the legal final maturity date of the securities. Garantizar guarantees irrevocably and unconditionally the payment of all the bills of exchange if -for any reason- 8 days before the final maturity there are no sufficient funds in the trust account to make a full of principal and interest payment to investors. The guarantee has no termination events or exceptions to payment. Although the guarantee provided by Garantizar covers the securitized assets and not the liabilities, the rating assigned to the securities is equivalent to the rating of Garantizar because there is a complete match between the amount, interest rate and currency of the aggregated assets and the rated securities. All the underlying assets will accrue the same interest rate than the liabilities. Also, trust expenses are sized and funded at closing from bond proceeds. Despite the fact that the rated securities (and the bills of exchange) are denominated in US dollars, they are payable in Argentine pesos at the exchange rate published by Banco de la Nación Argentina as of the day prior to the date that the funds are initially deposited into the Trust account. As a result, the dollar is used as a currency of reference and not as a currency of payment. For that reason, the transaction is considered to be denominated in local currency. Rating Action -- US$ 2,125,000 in Fixed Rate Debt Securities of "Fideicomiso Financiero MULTIPYME VIII", rated Aa3.ar (Argentine National Scale) and B1 (Global Scale, Local Currency). CAMINOS DE LAS: Proofs of Claim Verification Due on April 1 ----------------------------------------------------------- The court-appointed trustee for Caminos de las Sierras S.A.'s reorganization proceedings, will be verifying creditors' proofs of claim until April 1, 2009. SODA CORBELLE: Proofs of Claim Verification Due on April 1 ---------------------------------------------------------- The court-appointed trustee for Soda Corbelle S.R.L.'s reorganization proceedings, will be verifying creditors' proofs of claim until April 1, 2009. The trustee will present the validated claims in court as individual reports on May 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 July 7, 2009. Creditors will vote to ratify the completed settlement plan during the assembly on March 1, 2010. ============= B E R M U D A ============= BRUSON INTERNATIONAL: Member to Receive Wind-Up Report ------------------------------------------------------ The sole member of Bruson International Investments Ltd. will hold final meeting on February 9, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. Ernest A. Morrison is the company's liquidator. STEWARDSHIP CREDIT: Court to Hear Wind-Up Petition on January 23 ---------------------------------------------------------------- A petition to have Stewardship Credit Arbitrage Fund, Ltd.'s operations wound up will be heard before the High Court of Bermuda on January 23, 2009, at 9:30 a.m. The petition were filed by: -- BNY AIS Nominees Limited; -- Gottex ABI Master Fund Limited; -- Gottex ABL (Cayman) Limited; -- Gottex / Nomura Market Neutral Fund (USD) Limited; -- Hudson ABL Fund Limited; and -- Gottex Matrix Asset Focused Master Fund Limited. =========== B R A Z I L =========== FORD MOTOR: May Seek Bailout if Sales Dive Below Projections ------------------------------------------------------------ Ford Motor Co., may be forced to seek a bailout as the weakening economy threatens to drive domestic sales 10% lower than the company's forecast, Bloomberg News reports. Chairman William Clay Ford Jr. told reporters January 11 that Ford's "game plan is to keep going on our own" and not seek federal loans unless "the world implodes as we know it." To recall, Ford is the lone U.S. automaker that has so far not sought federal aid. On Dec. 31, 2008, the Treasury completed a transaction with General Motors Corp., under which the Treasury will provide GM with up to a total of US$13.4 billion in a three- year loan from the Troubled Assets Relief Program, secured by various collateral. On January 2, 2009, the Treasury provided a three-year US$4 billion loan to Chrysler Holding LLC. The Treasury has required each of the two to submit a plan that would allow long-term viability to be achieved. The loan agreement provides for acceleration of the loan if those goals under the plan, which are subject to review by a designee of the U.S. President, are not met. According to Bloomberg, Ford revised its outlook for 2009 U.S. light-vehicle sales over the weekend, allowing that as few as 12 million cars and light trucks may be sold. However, Ford still expects to make it through this year without aid. That outlook is considerably more optimistic than the views of rival automakers and many analysts. General Motors Corp., IHS Global Insight and Citigroup all expect fewer than 11 million cars and light trucks to be sold this year. "Ford has painted a rather rosy picture of where the market's going," said IHS Global Insight Analyst Aaron Bragman, whose consulting house forecasts 2009 sales of 10 million to 10.5 million. "I think they've painted an optimistic scenario and they're going to have to take some federal money." Union Wants Gov't to Name "Car Czar" Neal E. Boudette at The Wall Street Journal reports that United Auto Workers Union President Ron Gettelfinger said on Monday that he would like the government to appoint a "car czar" who "knows something about the auto industry," and not a Wall Street expert, to supervise the restructuring of General Motors, Chrysler LLC, and Ford Motor. According to WSJ, President-elect Barrack Obama would appoint a car czar. WSJ relates that an auto czar can force automakers, their banks, creditors, suppliers, and the union to give concessions to put GM and Chrysler back to profitability. Ford Motor, according to the report, is trying to end its losses, but said that it doesn't need short-term help. Chrysler must partner with another auto maker, WSJ says, citing Mr. Gettelfinger. "I don't know what Chrysler is going to look like, but it is going to be viable. I think Chrysler will be here" in a year, the report quoted him as saying. About Ford Motor Co. Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) -- http://www.ford.com/-- manufactures or distributes automobiles in 200 markets across six continents. With about 260,000 employees and about 100 plants worldwide, the company's core and affiliated automotive brands include Ford, Jaguar, Land Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda. The company provides financial services through Ford Motor Credit Company. The company has operations in Japan in the Asia Pacific region. In Europe, the company maintains a presence in Sweden, and the United Kingdom. The company also distributes its brands in various Latin-American regions, including Argentina and Brazil. * * * As reported in the Troubled Company Reporter on Nov. 11, 2008, Moody's Investors Service lowered the debt ratings of Ford Motor Company, Corporate Family and Probability of Default Ratings to Caa1 from B3. The company's Speculative Grade Liquidity rating remains at SGL-3 and the rating outlook is negative. In a related action Moody's also lowered the long-term rating of Ford Motor Credit Company to B3 from B2. The outlook for Ford Credit is negative. As reported in the Troubled Company Reporter on Oct. 10, 2008, Fitch Ratings downgraded the Issuer Default Rating of Ford Motor Company and Ford Motor Credit Company by one notch to 'CCC' from 'B-'. GENERAL MOTORS: Viability Not 100% Certain, Says CEO ---------------------------------------------------- John D. Stoll and Sharon Terlep at The Wall Street Journal report that General Motors Corp. CEO and chairperson Rick Wagoner said during the North American International Auto Show in Detroit that the company's viability is "not 100%" certain at this point. WSJ relates that the Treasury Department said that GM must have a plan by March 2009 to become "viable" and have "positive net value." According to WSJ, GM's requirements under the federal loan package include the cutting of labor costs by renegotiating its contract with the United Auto Workers union, which is ready to negotiate. Citing UAW President Ron Gettelfinger, the report says that it is unclear what kind of reductions the group will have to agree to. WSJ states that Mr. Wagoner told reporters that he met last week with advisers on the restructuring. The report says that Mr. Wagoner left the meeting convinced that "there are options that can work in each of these areas," saying that he is optimistic about cost-cutting negotiations with the union. GM could be forced to ask for additional loans after March 31, 2009, WSJ reports, citing Mr. Wagoner. Kimberly Rodriguez, a principal at Grant Thorton LLP and advises on auto industry restructurings and bankruptcies, said that the government may have left the terms "sufficiently vague in order to hold GM's feet to the fire," WSJ states. As reported by the Troubled Company Reporter, the U.S. Treasury, in its Jan. 7, 2009, report to Congress, said it will provide an additional US$4 billion on February 17, 2009, subject to certain conditions. The loan is provided pursuant to the new Automotive Industry Financing Program, which was implemented as part of the Emergency Economic Stabilization Act of 2008. On Dec. 31, 2008, Treasury completed a transaction with GM, under which the Treasury will provide GM with up to a total of US$13.4 billion in a three-year loan from the Troubled Assets Relief Program, secured by various collateral. Treasury funded US$4 billion of this loan immediately, and committed to fund an additional US$5.4 billion on January 16, 2009. The Treasury will provide the remaining US$4 billion on February 17. To protect taxpayers, the agreement requires GM to develop and implement a restructuring plan to achieve long-term financial viability. The restructuring plan is to be reviewed by a designee of the President, who will determine whether the goals of the restructuring have been met. If the President's Designee does not find that the goals have been met, the loan will be automatically accelerated and will come due 30 days thereafter. This agreement also includes other binding terms and conditions designed to protect taxpayer funds, including compliance with certain enhanced executive compensation and expense control requirements. Union Wants Gov't to Name "Car Czar" Neal E. Boudette at WSJ reports that Mr. Gettelfinger said on Monday that he would like the government to appoint a "car czar" who "knows something about the auto industry," and not a Wall Street expert, to supervise the restructuring of GM, Chrysler LLC, and Ford Motor Corp. According to WSJ, President-elect Barrack Obama would appoint a car czar. WSJ relates that an auto czar can force automakers, their banks, creditors, suppliers, and the union to give concessions to put GM and Chrysler back to profitability. Ford Motor, according to the report, is trying to end its losses, but said that it doesn't need short-term help. Chrysler must partner with another auto maker, WSJ says, citing Mr. Gettelfinger. "I don't know what Chrysler is going to look like, but it is going to be viable. I think Chrysler will be here" in a year, the report quoted him as saying. GM May Lose 500 Dealers GM, Jeff Green at Bloomberg News reports, said that it may lose as many as 500 dealers in its home market in 2009, an increase compared to 350 in 2008, as part of its plan to convince the U.S. Treasury Department that it can survive and repay US$13.4 billion in promised federal loans. Bloomberg says that GM trying to cut 1,700 by 2012. According to Bloomberg, GM North American President Mark LaNeve said that the reduction of dealers will increase due to the strain of a fourth straight year of U.S. auto-sales declines and a company initiative to cut brands and sell only Chevrolet, Cadillac, GMC and Buick. Citing Mr. LaNeve, Bloomberg states that GM may also have to spend more to get some of its 6,400 dealers to consolidate. Bloomberg quoted Mr. LaNeve as saying, "We had 13,000 dealers 18 years ago, so we've already cut that in half. We don't want them to close all at once because we figure we lose sales for 18 months after a dealership closes until other dealers pick up the business." Mr. LaNeve, says Bloomberg, said that the reduction of dealers will include: -- owners retiring without being replaced, -- outlets failing in the slowing economy, and -- GM helping consolidate stores in markets with too many locations for the same brand. Bloomberg relates that GM is considering selling its Hummer and Saab brands. It is also considering options for Saturn and shrinking Pontiac to as little as one model. Citing Mr. Wagoner, Bloomberg states that GM may keep Saturn as it undergoes a needed pruning of its brands. 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. GERDAU SA: Gerdau Macsteel to Cut 10% Workforce in Monroe Mill -------------------------------------------------------------- Gerdau S. A's American unit, Gerdau Macsteel, will lay off 46 hourly workers, around 10% of its 452 workforce, at its Monroe mill due to the continuing auto industry slump, Steel Guru News reports. The company's layoff plan will be effective on January 16. According to the report, the cutback represents about 14% of the 328 member hourly work force, with no salaried workers being laid off. "It's just business conditions that have forced us into this situation that we're in right now. It's a small percentage of our work force," James Scriven, VP for human resources at Gerdau Macsteel, was quoted by the news agency as saying. The layoff at Monroe is temporary as far as we're concerned, he said. Steel Guru News relates Monroe mill's layoff date coincides with the start of more significant layoffs at the company's Jackson plant, which employs about 380. The company will furlough around 310 workers, and the cutbacks include some salaried posts, the report says. About Gerdau Macsteel Gerdau Macsteel -- http://www.gerdaumacsteel.com-- is an engineered bar producer headquartered in Jackson, Michigan with worldclass steel manufacturing plants in Jackson, Michigan, Monroe Michigan, and Fort Smith, Arkansas. Gerdau MACSTEEL utilizes electric arc furnaces, ladle furnaces refining, vacuum arc degassing, advanced rotary continuous casting and modern continuous static casting, direct twist-free rolling, turning and grinding, and heat treating to produce engineered SBQ carbon and alloy hot rolled and bright cold finished SEAM-FREE steel bar products to direct end applications. About Gerdau S.A. Gerdau S.A., headquartered in Porto Alegre, Brazil, is the largest long steel producer in the Americas, with consolidated net revenues of approximately US$24 billion in the twelve months ended September 30, 2008. * * * As reported by the Troubled Company Reporter - Latin America on Dec. 23, 2008, Moody's Investors Service revised the ratings outlook for Gerdau S.A. and affirmed the Ba1 corporate family ratings of the company and all related ratings. Ratings affirmed were: Issuer: Gerdau S.A. -- Ba1 Corporate Family Rating -- Ba1 US$600 million guaranteed perpetual bonds TELEMAR NORTE: To Invest BRL30 Billion For Expansion ---------------------------------------------------- Telemar Norte Leste Participacoes S.A., which operates under the Oi brand, plans to invest BRL30 billion to double the number of subscribers and buy companies abroad, Bloomberg News reports. According to the report, the company recently bought a 61% stake in Brasil Telecom Participacoes SA for BRL5.37 billion, and will make an offer to minority shareholders. The company, the report relates, said the amount Telemar paid corresponds to the BRL5.86 billion it agreed to last April with adjustments for interest, and the assumption of BRL998 million of debt from Invitel SA, Brasil Telecom's parent company. Telemar bought 81 million voting shares for BRL77.04 a share including debt, Bloomberg News says citing Telemar's statement to the securities regulator. "Our ambition is to be a Brazilian multinational," the report quoted Chief Executive Officer Luiz Eduardo Falco as saying. Telemar is seeking acquisitions in Latin America, the Caribbean and Portuguese-speaking Africa to reach 110 million users in five years, he said. The report notes Mr. Falco said Telemar and Brasil Telecom's combination will save the companies about BRL1 billion through cost cuts. The companies plan to integrate operations and management in the next 18 months, he added. About Telemar Norte Leste Headquartered in Rio de Janeiro, Brazil, Telemar Norte Leste Participacoes S.A. -- http://www.telemar.com.br-- is a provider of fixed-line telecommunications services in South America. The company markets its services under its Telemar brand name. Tele Norte's subsidiaries include Telemar Norte Leste SA; Tele Norte Leste Participacoes PCS SA; Telemar Internet Ltda.; and Companhia AIX Participacoes SA. * * * As reported by the Troubled Company Reporter - Latin America on Sept. 2, 2008, Standard & Poor's Ratings Services revised its outlooks on Tele Norte Leste Participacoes SA and Telemar Norte Leste SA (collectively, Telemar), and Amazonia Celular SA to positive from stable, while affirming the 'BB+' long-term corporate credit ratings on the companies. S&P also affirmed its 'brAA+' national scale corporate credit rating on Tele Norte Leste Participacoes SA. * BRAZIL: Dec. Vehicle Output Drops 54% to 9-Year Low ----------------------------------------------------- Brazil's December vehicle production dropped 54% to 102,053 units, a nine-year low, from 222,132 a year earlier as growth slowed in the country, Bloomberg News reports, citing Brazil's automakers association Anfavea. "It was a steeper drop than expected. The beginning of the year is going to be very weak," the report quoted Alexandre Andrade, an economist at consulting firm Tendencias Consultoria, as saying. "Consumer confidence indicators have been deteriorating since October, a sign that consumers aren't going to buy high-value goods." According to the report, the global credit crunch is making loans costlier and harder to find, damping demand for durable goods such as autos and computers. Anfavea, the report relates, said registrations of new cars, trucks and buses rose 15% for all of last year, sales tailed off in late 2008, with a 20% tumble in December. "It's unlikely consumers will return to the market in 2009. It's a very complicated year for the auto industry," Bloomberg News quoted Mr. Andrade as saying. "The periods of paid leave are a way to temporarily deal with the problem, but automakers will have to start making job cuts eventually." Meanwhile, Sergio Reze, president of the country's dealership federation, told the news agency in an interview: "2009 is definitely a year of challenge. We lost the sale of 250,000 vehicles in the last three months. Consumers are worried and not willing to buy." * BRAZIL: Early Months of 2009 Will be "Worrisome", Lula Says ------------------------------------------------------------- President Luiz Inacio Lula da Silva said the first months of 2009, will be "worrisome" due to the financial crisis, noting investment as a solution, Xinhua News reports. According to the report, President Lula said the federal government will inject resources in the Brazilian Development Bank (BNDES) in order to produce investments in a cascade effect. "We are going to have a worrying quarter but the government will take all necessary measures to ensure that the crisis affects less Brazilian people," the report quoted President Lula as saying. President Lula, the report relates, also said the government needs to assure the jobs, wages and incomes of the Brazilian people. The government's investments will be maintained, and that the private sector will be encouraged to do the same, he added. ========================== C A Y M A N I S L A N D S ========================== AIG MEZZVEST: Shareholders Receive Wind-Up Report ------------------------------------------------- The shareholders of AIG Mezzvest Partners, Ltd. met on Dec. 29, 2008, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Ogier c/o Khatidja McLean Telephone: (345) 815 1760 Facsimile: (345) 949 1986 ALABAMA FIRE: Members Hear Wind-Up Report ----------------------------------------- The members of Alabama Fire & Accident Insurance Company met on Jan. 8, 2009, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Christopher R. Cooper c/o Global Captive Management, Ltd. Governors Square, Building 3, 2nd Floor 23 Lime Tree Bay Ave P. O. Box 1363 Grand Cayman KY1-1108 Cayman Islands APEX SILVER: Cuts Deal with Note Holders; To File Bankruptcy ------------------------------------------------------------ Apex Silver Mines Limited, said Monday it has reached agreement with holders of approximately 43% of the Company's US$290 million convertible subordinated notes on the principle terms of a plan of reorganization under Chapter 11 of the U.S. Bankruptcy Code. As contemplated by the proposed plan of reorganization, if the class of convertible subordinated note holders accepts the plan, senior creditors under the Company's guarantees of the San Cristobal mine's project financing facility will waive and release their senior claims and holders of convertible subordinated notes will receive a pro rata share of approximately US$45 million in cash plus common stock of the reorganized Company. However, if the class of convertible subordinated note holders rejects the proposed plan, the class would receive an allocation of cash only after payment in full of the senior creditors. In such circumstances, the convertible subordinated note holders would receive common stock of the reorganized Company, but might not receive any cash distributions. The consummation of the proposed plan of reorganization is subject to the satisfaction of numerous conditions, including approval by the bankruptcy court of a disclosure statement relating to the proposed plan and the closing of the previously announced sale of the Company's interest in the San Cristobal mine and related assets to Sumitomo Corporation. The Company expects to commence the Chapter 11 filing this week, possibly as early as Monday, January 12. About Apex Silver Mine Apex Silver Mines Ltd. explores and develops silver and other mineral properties in Central and South America. The Company is based in George Town, Cayman Islands. BOULDER CREEK: Shareholders Receive Wind-Up Report -------------------------------------------------- The shareholders of Boulder Creek CLO, Ltd. met on Jan. 9, 2009, and heard 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 CCL INVESTMENT: Shareholders Receive Wind-Up Report --------------------------------------------------- The shareholders of CCL Investment Management Limited met on Jan. 6, 2009, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Edward Shiu Lun Lee Suite 1909, 19th Floor 9 Queen's Road Central Central, Hong Kong Telephone: (852) 2869 1201 Facsimile: (852) 2869 1207 CLASSIC IV: Shareholders Receive Wind-Up Report ----------------------------------------------- The shareholders of Classic IV (Cayman) Limited met on Jan. 9, 2009, and heard 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 CZ320-97F LIMITED: Shareholders Receive Wind-Up Report ------------------------------------------------------ The shareholders of CZ320-97F Limited met on Jan. 12, 2009, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidators are: Sylvia Lewis Isabel Mason Telephone: 345 949-7755 Facsimile: 345 949-7634 CZ320-97H LIMITED: Shareholders Receive Wind-Up Report ------------------------------------------------------ The shareholders of CZ320-97H Limited met on Jan. 12, 2009, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidators are: Sylvia Lewis Isabel Mason Telephone: 345 949-7755 Facsimile: 345 949-7634 EQUITY WORLD: Final General Meeting Set for January 30 ------------------------------------------------------ The shareholders of Equity World Limited will hold their final general meeting on January 30, 2009, at 11:00 a.m., to receive the liquidators' report on the company's wind-up proceedings and property disposal. The company's liquidators are: Stuart Brankin Desmond Campbell c/o Aston Corporate Managers, Ltd. P.O. Box 1981, Grand Cayman KY1-1104 GREENBRIDGE FUND: Shareholders Receive Wind-Up Report ----------------------------------------------------- The shareholders of Greenbridge Fund I General Partner Corp. met on January 9, 2009, and heard 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 HUDSON CANYON: Shareholders Receive Wind-Up Report -------------------------------------------------- The shareholders of Hudson Canyon Funding, Ltd. met on Jan. 9, 2009, and heard 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 IVY MA: Shareholders Receive Wind-Up Report ------------------------------------------- The shareholders of Ivy Ma Holdings Cayman 1, Ltd. met on Jan. 9, 2009, and heard 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 JADE (GENERAL PARTNER): Shareholders Receive Wind-Up Report ----------------------------------------------------------- The shareholders of Jade (General Partner) Inc. met on Jan. 9, 2009, and heard 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 MEZZVEST MANAGER: Shareholders Receive Wind-Up Report ----------------------------------------------------- The shareholders of Mezzvest Manager, Ltd. met on Dec. 29, 2008, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Ogier c/o Khatidja McLean Telephone: (345) 815 1760 Facsimile: (345) 949 1986 ORIES FUNDING: Shareholders Receive Wind-Up Report -------------------------------------------------- The shareholders of Ories Funding Limited met on Jan. 9, 2009, and heard 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 PREFERRED FUNDING: Shareholders Receive Wind-Up Report ------------------------------------------------------ The shareholders of Preferred Funding Warehousing Ltd. met on Jan. 9, 2009, and heard 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 REDBRIDGE STRATEGIC: Shareholders Receive Wind-Up Report -------------------------------------------------------- The shareholders of Redbridge Strategic Fund, SPC met on Jan. 8, 2009, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Richard L. Finlay c/o Krysten Lumsden P.O. Box 2681 GT, Grand Cayman Telephone: (345) 945 3901 Facsimile: (345) 945 3902 SILVER CREST: Shareholders Receive Wind-Up Report ------------------------------------------------- The shareholders of Silver Crest Loan Fund, Ltd. met on Jan. 9, 2009, and heard 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 STEAMBOAT SELECT: Shareholders Receive Wind-Up Report ----------------------------------------------------- The shareholders of Steamboat Select International Fund Ltd. met on Jan. 9, 2009, and heard 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 THE CHINA: Shareholders Receive Wind-Up Report ---------------------------------------------- The shareholders of The China Fund met on Jan. 12, 2009, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Stuart Sybersma c/o Mervin Solas, Deloitte & Touche P.O. Box 1787, Grand Cayman KY1-1109 Cayman Islands Telephone: (345) 949-7500 Facsimile: (345) 949-8258 WORLD WIDE: Shareholders Receive Wind-Up Report ----------------------------------------------- The shareholders of World Wide Mezzanine Investors, Ltd. met on Dec. 29, 2008, and heard the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Ogier c/o Khatidja McLean Telephone: (345) 815 1760 Facsimile: (345) 949 1986 * CAYMAN ISLANDS: 24 Hedge Funds Affected by Madoff Fraud --------------------------------------------------------- The Cayman Islands Monetary Authority ("CIMA") has confirmed that as of January 6, a total of 24 regulated funds have been directly impacted by the Bernard L. Madoff fraud, Basia Pioro of Caymanian Compass News reports. The report relates the figure is a far cry from what CIMA disclosed on December 22, that only one regulated fund had confirmed it had significant investments with Madoff, in addition to one class B bank. "We are liaising with the 24 impacted funds to gain a fuller picture of the operational and financial impact," the report quoted Joan Scott, CIMA's public relations executive, as saying. As reported in the Troubled Company Reporter on Dec. 15, 2008, The Securities and Exchange Commission charged Bernard L. Madoff and his investment firm, Bernard L. Madoff Investment Securities LLC, with securities fraud for a multi-billion dollar Ponzi scheme that he perpetrated on advisory clients of his firm. The SEC is seeking emergency relief for investors, including an asset freeze and the appointment of a receiver for the firm. According to a TCR-LA report on Dec. 29, 2008, CIMA said with the intensification of the global financial crisis, it has seen less fund authorizations between July and November this year (586 funds authorized) compared to the same period in 2007 (820 authorized). At the same time, there were more terminations between July and November this year (311 terminations) than for the same period last year (219 terminations). However, the level of terminations, which averaged 60 per month between July and November this year, is still very low when compared to the overall number of active Cayman Islands- authorized funds, which remains at over 10,000. CIMA anticipates the numbers of terminations in December and January to increase substantially. However, it must be noted that these two months are the ones in which funds traditionally terminate. CIMA said it will have a fuller picture of the numbers of terminations during the first quarter of 2009. ============= E C U A D O R ============= * ECUADOR: Central Bank Sees Slow Economic Growth This Year ----------------------------------------------------------- Ecuador's central bank sees a slow economic growth for the country this year as the global crisis curtails the country's exports, Alexandra Valencia of Reuters reports. The central bank gave a 3.2% growth forecast in 2009 from a 5.3% estimated growth last year, the report relates. According to the report, a rapid slowdown of the global economy has harmed demand for Ecuador's key exports like oil, flowers and fruits. Still, Reuters relates, the central bank predicts that the country's oil and mining sector will grow 3.6% this year, from a 6.8% decline of in 2008. The bank also expects a slowdown in almost every sector in 2009 from construction to agriculture and manufacturing, the report says. Reuters notes Ecuador is scrambling to cover a widening fiscal deficit, prompting the government to limit imports, tame some government spending and seek multilateral loans. As reported in the Troubled Company Reporter - Latin America on Jan. 12, 2009, Reuters said Ecuador is seeking US$2.6 billion in credits from regional multilateral lenders to help finance the economy. President Rafael Correa, the report related, said his government will also keep liquidity levels high by restricting some imports and taming public investment as crashing oil prices curtail the OPEC nation's revenue intake. High liquidity will safeguard the country's dollarized system amid worries lower oil prices and heavy public spending are quickly depleting dollar reserves, he said. As reported in the Troubled Company Reporter - Latin America on December 17, 2008, Fitch Ratings 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-'. ==================== P U E R T O R I C O ==================== ANTIOCH COMPANY: Court Confirms Prepackaged Reorganization Plan --------------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Ohio at a hearing held on Jan. 9, 2009, confirmed Antioch Company, and its debtor-affiliates' joint prepackaged plan of reorganization which was filed with the Court on Nov. 13, 2009. The Court still has to issue its confirmation order. All objections were withdrawn with the exception of Walthall A&B, LP's which was overruled by the Court. Plan Summary The primary objectives of the Plan are to (i) alter the Debtors' debt and capital structures to permit them to emerge from their Chapter 11 cases with a viable capital structure, (ii) maximize the value of the ultimate recoveries to all creditor groups on a fair and equitable basis, and (iii) settle, compromise or otherwise dispose of certain Claims and Interests on terms that the Debtors believe to be fair and reasonable and in the best interests of their respective estates and creditors. The Plan provides for, among other things: (A) the cancellation of certain indebtedness in exchange for new debt and equity and (B) the discharge of certain claims and cancellation of interests. The Debtors believe that (i) through the Plan, holders of allowed claims will obtain a substantially greater recovery from the estates of the Debtors than the recovery they would receive if the Debtors filed their Chapter 11 petitions without prior approval of the Plan by a majority of their creditors and (ii) the Plan will afford the Debtors the opportunity and ability to continue their business as a viable going concern and preserve ongoing employment for the Debtors' employees. Means of Distribution All cash necessary for Reorganized Debtors to make payments pursuant to the Plan will be obtained from existing cash balances, the operations of the Debtors and the Reorganized Debtors, or borrowings under the Exit Facility Credit Agreement. The Reorganized Debtors may also make the payments using cash received from their non-debtor subsidiaries through the Reorganized Debtors' consolidated cash management systems. General Structure of the Plan Under the Plan, there are two classes of Impaired Claims (Class 4 Prepetition Secured Lender Claims and Class 5 Impaired Unsecured Claims) and two classes of Impaired Interests (Class 7 Employee Stock Ownership Trust (ESOT) Allocated Stock Interests and Class 8 Old Equity Interests). All other Claims and Interests are Unimpaired. Holders of Class 1 Non-Tax Priority Claims, Class 2 Other Secured Claims, Class 3 Unimpaired Unsecured Claims and Class 6 Intercompany Interests will be unaffected by the Plan. Based upon the valuation of the company, given that the value of the company is substantially less than the aggregate amount of the Claims held by the Prepetition Secured Lenders, holders of Class 5 Impaired Unsecured Claims and Class 7 ESOT Allocated Stock Interests would not be entitled to receive or retain any property on account of such Claims and Interests under the Plan. Recognizing, however, that the continued dedication of the company's employees, consultants, trade, and other unsecured creditors is critical to maximizing value of the company's business, the Prepetition Secured Lenders have consented to a carve-out from their collateral to provide for (i) the payment in full of all unsecured creditors other than holders of the Employee Stock Option (ESOP) Notes, the Subordinated Notes, and certain unsecured creditors who are no longer necessary to the future operation of the business, and (ii) the transfer of the New Common Member Interests to an intermediate holding company that will be owned by a trust established for the benefit of the Holders of Class 5 Impaired Unsecured Claims and Class 7 ESOT Allocated Stock Interests (the Creditor/Equityholder Trust). Specifically, the Plan provides for the company's balance sheet to be restructured by: i) converting the Prepetition Secured Lender Claims into the New Secured Term Loan Notes and the New Preferred Member Interests; and ii) reinstating all unsecured creditors (other than those holding Impaired Unsecured Claims, as described below). Holders of Impaired Unsecured Claims will not receive a distribution with respect to their Claims under the Plan. Even though Holders of such Claims are not entitled to a distribution under the Plan, the Prepetition Secured Lenders have agreed to provide such creditors that timely submit a Class 5 Release Form, in consideration for the releases granted therein, with an 80% interest in the Creditor/Equityholder Trust on a pro rata basis out of the proceeds of the collateral securing the Prepetition Lender Claims. Similarly, Holders of ESOT Allocated Stock Interests will not receive a distribution with respect to their Claims under the Plan. Even though the Holders of such Interests are not entitled to a distribution under the Plan, the Prepetition Secured Lenders have agreed to provide such interest holders that timely submit a Class 7 Release Form, in consideration for the releases granted therein, with a 20% interest in the Creditor/Equityholder Trust on a pro rata basis out of the proceeds of the collateral securing the Prepetition Lender Claims. Holders of Class 8 Old Equity Interests will not be entitled to receive or retain any property on account of such Interests under the Plan. The New Common Member Interests and New Preferred Member Interests issued pursuant to the Plan will be subject to the terms and conditions of the New Limited Liability Company Operating Agreement, which will be deemed binding on and enforceable by the Reorganized Debtors, the Prepetition Secured Lenders, and any party that receives New Common Member Interests. The material terms and conditions that govern the New Secured Term Loan Notes to be distributed to holders of Prepetition Secured Lender Claims are summarized in Section VII.I of this Disclosure Statement. Claims of the Debtors' current employees and trade creditors who are necessary for the continued business operations of the Reorganized Debtors are classified in Class 3 as Unimpaired Unsecured Claims and will be Unimpaired. Exit Facility Credit Agreement If the Plan is consummated, on the Effective Date, the Reorganized Debtors will enter into the Exit Facility Credit Agreement. The Exit Facility Credit Agreement will replace the DIP Financing and will provide for up to US$4 million of additional liquidity to fund operations after the Effective Date (the "Exit Facility"). Treatment of Claims and Interests Under the Plan As contemplated by the Bankruptcy Code, Administrative Claims, DIP Facility Claims, and Priority Tax Claims are not classified under the Plan. Allowed Administrative Claims are to be paid in full on the Effective Date, or, for ordinary course Administrative Claims, when such claims become due. DIP Facility Claims will be paid in full in Cash. Each holder of an Allowed Priority Claim will have its claim reinstated. The Plan classifies and treats claims and interests in this manner: Class 1 - Non-Tax Priority Claims Each holder of an Allowed Class 1 Claim will have its Claim reinstated. Class 2 - Other Secured Claims Each holder of an Allowed Class 2 Claim will have its Claim reinstated. Class 3 - Unimpaired Unsecured Claims Each holder of an Allowed Class 3 Claim will have its Claim reinstated. Class 4 - Prepetition Secured Lender Claims Each holder of an Allowed Class 4 Claim will receive its Pro rata share of (a) the New Secured Term Loan Notes and (b) the New Preferred Member Interests. Class 5 - Impaired Unsecured Claims Holders of Class 5 Claims will not receive or retain any property under the Plan. Class 6 - Intercompany Interests On the Plan Effective Date, the common stock and membership interests of each of the Reorganized Debtors (other than Reorganized Antioch) and each of the Non-Debtor Affiliates will be reinstated in consideration for Reorganized Antioch's agreement to provide management services to such Reorganized Debtors and Non-Debtor Affiliates from and after the Effective Date. On the Effective Date, Reorganized Antioch will retain the Intercompany Interests. Class 7 - ESOT Allocated Stock Interests Holders of ESOT Allocated Stock Interests will not receive or retain any property under the Plan. Class 8 - Old Equity Interests. On the Effective Date, all Old Equity Interests will be deemed cancelled and the holders of Old Equity Interests will not receive any property under the Plan. Classes 1, 2, 3 and 6 are unimpaired under the Plan and are conclusively presumed to have accepted the Plan and are not entitled to vote to accept or reject the Plan. Class 4 is impaired and is the only Class entitled to vote to accept or reject the Plan. Classes 5, 7 and 8 are impaired under the Plan and are deemed to have rejected the Plan, owing to their zero recoveries. A full-text copy of the Debtors' Joint Prepackaged Plan of Reorganization, dated Nov. 12, 2008, is available for free at: http://bankrupt.com/misc/AntiochCoPrepackagedPlan.pdf A full-text copy of the Debtors' Disclosure Statement with respect to the Debtors' Joint Prepackaged Plan of Reorganization, dated Nov. 12, 2008, is available for free at: http://bankrupt.com/misc/AntiochCoDisclosureStatement.pdf About Antioch Co. Headquartered in Yellow Springs, Ohio, The Antioch Company -- http://www.antiochcompany.com/-- produces and sells books, book accessories and scrapbooking products. The company and subsidiary companies Antioch International, Inc., Antioch Framers Supply Co., Antioch International-New Zealand, Inc., Antioch International- Canada, Inc., Creative Memories Puerto Rico, Inc. and ZeBlooms Inc. filed separate petitions for Chapter 11 relief along with plans to reorganize and restructure the company's debt on Nov. 13, 2008 (Bankr. S.D. Ohio Lead Case No. 08-35741). Chris L. Dickerson, Esq., Rena M. Samole, Esq., and Timothy R. Pohl, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP; Michael J. Kaczka, Esq., and Sean D. Malloy, Esq., at McDonald Hopkins LLC; and Tony M. Alexander, Esq., at Jenks, Pyper & Oxley Co. L.P.A., represent the Debtors in their restructuring efforts. The United States Trustee for Region 9 appointed creditors to serve on an Official Committee of Unsecured Creditors. W. Timothy Miller, Esq., at Taft Stettinius & Hollister LLP, represent the Committee as counsel. 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 ================= PDVSA: May Lose US$233.6 Million on LyondellBasell Bankruptcy ------------------------------------------------------------- Petroleos de Venezuela S.A. ("Pdvsa") may lose about US$233.6 million being the third largest unsecured creditor of now bankrupt U.S. subsidiaries of Netherlands-based petrochemicals company LyondellBasell, El Universal News reports. El Universal, citing US Energy Department data stated in a Bloomberg report, said the unit of the Lyondell refinery in Houston imported an average of 198,000 barrels of crude oil per day from Venezuela in the first nine months of 2008. The refinery has a contract to buy 230,000 barrels per day from Pdvsa, the report says. About PDVSA 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. PDVSA: Venezuela Denies OPEC Cuts Caused 4,000 Layoffs ------------------------------------------------------ Venezuela's state oil company, Petroleos de Venezuela S.A. ("PDVSA"), denied accusation that the implementation of the new OPEC production cuts caused the dismissal of 4,000 contract workers, the Associated Press reports. The AP says the company dismissed reports that at least eight oil rigs have been halted and thousands of contract workers laid off. The AP relates that according to Vice President Eulogio Del Pino, PDVSA is reviewing whether to renew a contract that terminated automatically on Dec. 28, affecting three oil rigs. The negotiation of this and other contracts is based on service companies' needs to reduce costs as oil prices fall, he noted. The AP earlier reported that union leaders tied to Venezuela's oil industry said the job cuts was prompted by the OPEC cuts. Union leader Rafael Zambrano, as cited by the AP, said in Venezuela's western state of Zulia alone, 3,000 to 4,000 contract workers have been laid off since the end of 2008. In a statement posted in the PDVSA website, the Ministry of the People's Power for Energy and Petroleum of Venezuela disclosed the execution of the 189,000 barrels per day of oil production cut, decided at the 151st (Extraordinary) Meeting of the OPEC Conference, held on December, 2008, on Algeria, and a valid compromise from January 1. According to the Energy Ministry's statement, the production cut of 189,000 b/d, effective from the January 1, adds to the reductions of 46,000 b/d and 129,000 b/d, implemented by PDVSA, according to the OPEC decisions, determined during the meetings of September and October of 2008, for a total general reduction of 364,000 b/d, that place the current Venezuelan production on 3 millions 11 thousand barrels per day of oil. *********** 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 written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Latin America subscription rate is US$625 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. * * * End of Transmission * * *