TCRLA_Public/090123.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, January 23, 2009, Vol. 9, No. 16

                            Headlines

A R G E N T I N A

TELECOM ARGENTINA: Telecom Italia Protests Regulator's Orders


B R A Z I L

ARACRUZ CELULOSE: Analysts Say Votorantim Paying Too Much
BRASKEM SA: Fitch Affirms Long-Term Issuer Default Rating at 'BB+'
CSN: Lays Off Additional 200 Workers
* BRAZIL: Posts US$378 Million Trade Deficit in 3rd Week of Jan
* BRAZIL Fitch Takes Rating Actions on Brazilian Homebuilders


C A Y M A N  I S L A N D S

ALEXANDER LINKPERMAL: Creditors' Proofs of Debt Due Today
CHINAPLUS LIMITED: Placed Under Voluntary Liquidation
CUMULUS CLIMATE: Placed Under Voluntary Liquidation
DARREN MULTI-STRATEGY: Enters Liquidation Proceedings
INVICTA LIMITED: Commences Liquidation Proceedings

JACOBI ACTIVE: Placed Under Voluntary Liquidation
JNT ACTIVE: Placed Under Voluntary Liquidation
JOSCHA LTD: Enters Liquidation Proceedings
LUSCA HOLDING: Commences Liquidation Proceedings
MASAKA LTD: Enters Liquidation Proceedings

MELLON OFFSHORE: Commences Liquidation Proceedings
MESTASTASIO: Creditors' Proofs of Debt Due on March 4
NESTOR CORP: Placed Under Voluntary Liquidation
PACIFIC COAST: Creditors' Proofs of Debt Due on January 26
QUINTUS GRANDWAY: Commences Liquidation Proceedings

ROCKBOUND CDO: Commences Liquidation Proceedings
SHIAM CO: Enters Liquidation Proceedings
SUBAITI CO: Enters Liquidation Proceedings
TASMAN CDO: Commences Liquidation Proceedings
VICTORIA FINANCE: Moody's Withdraws Ratings on Capital Notes

ZETES CORP: Placed Under Voluntary Liquidation


C H I L E

LARRAIN VIAL: Has US$5.2 Million Exposure to Madoff Fund


D O M I N I C A N  R E P U B L I C

FREESTAR TECHNOLOGY: Changes Name to Rahaxi, Amends Stock Plan


E C U A D O R

PETROECUADOR: 2008 Oil Export Revenue Up 61% to US$6.46 Billion


E L  S A L V A D O R

* EL SALVADOR: IMF OKs US$800MM Precautionary Stand-By Arrangement


J A M A I C A

CLIFF ENTERTAINMENT: Losses Prompt Business Closure


M E X I C O

CEMEX: ACCIONA Starts First Phase of US$550-MM EURUS Wind Farm
CEMEX SAB: S&P Downgrades Corporate Credit Rating to 'BB+'


N I C A R A G U A

CENTRAL SUN: Inks Common Share Buyout Agreement with Linear Gold
CENTRAL SUN: Lender Extends Term ofUS$8-Mil. Loan to March 9


P A N A M A

BLADEX: Pays USS$0.22/Share Dividend Payment for Fourth Quarter


                         - - - - -



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

TELECOM ARGENTINA: Telecom Italia Protests Regulator's Orders
-------------------------------------------------------------
Telecom Italia SpA's controlling investor, Telco SpA, will
challenge a claim by Argentina's competition commission that it
didn't inform the authority of a change in shareholders, Armorel
Kenna of Bloomberg News reports, citing daily Il Sole 24 Ore.

As reported in the Troubled Company Reporter - Latin America on
Jan. 8, 2009, Reuters said Argentina's antitrust commission
ordered Telecom Italia not to change its participation in Telecom
Argentina S.A. due to concerns over Telefonica's indirect stake in
the Italian company.

Bloomberg News relates daily Il Sole said the commission didn't
ask for the information until a few days ago, at the same time
Telecom Italia's option to buy a stake in Telecom Argentina SA was
due to expire.

Reuters related the commission's resolution, sent by Telecom
Argentina to the Buenos Aires stock exchange, said Telecom Italia
"should abstain" from exercising its option to buy, cede or
transfer its shares in Telecom Argentina until the government
agency makes a final ruling on the case."

According to Reuters, as part of a consortium, Spain's
Telefonica bought an indirect 10% stake in Telecom Italia in 2007,
the report recalls.  The companies operate Argentina's two biggest
telephone companies: Telefonica de Argentina and Telecom
Argentina.

                     About Telecom Argentina

Headquartered in Buenos Aires, Telecom Argentina S.A. --
http://www.telecom.com.ar/index-flash.html-- provides
telephone-related services, such as international long-distance
service and data transmission and Internet services, and through
its subsidiaries, wireless telecommunications services,
international wholesale services and telephone directory
publishing.

                          *     *     *

As reported by the Troubled Company Reporter - Latin America on
Dec. 23, 2008, Fitch Ratings lowered Telecom Argentina's local
currency Issuer Default Rating to 'B-' from 'B' and its
Country Ceiling to 'B' from 'B+'.  These rating action follows the
downgrade of the Republic of Argentina's local currency Issuer
Default Rating to 'B-' from 'B' and its Country Ceiling to 'B'
from 'B+'.

The corporate ratings have been downgraded by Fitch.  They have
also been removed from Rating Watch Negative, and a Rating Outlook
of Stable was assigned.



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

ARACRUZ CELULOSE: Analysts Say Votorantim Paying Too Much
---------------------------------------------------------
Votorantim Celulose & Papel SA ("VCP")is paying too much for
voting shares of rival Aracruz Celulose SA, and the takeover will
hurt minority shareholders of both companies, Paulo Winterstein of
Bloomberg News reports, citing analysts.

According to the report, VCP's preferred shares slid 9.8% to
BEL14.04 on January 21, while Aracruz preferred shares declined
9.4% to BRL2.13, extending a four-day slump to 25%.

As reported by the Troubled Company Reporter - Latin America on
Jan. 22, 2009, Reuters said VCP agreed to takeover rival Aracruz
Celulose for BRL2.71 billion.  The purchase price, which will be
paid in six installments, will allow Votorantim to increase its
stake in Aracruz to 56% from 28%.

According to the Associated Press, both companies said that the
deal that was delayed last fall is now going through because
Aracruz reached an agreement with creditors to pay off US$2.1
billion in losses in currency derivative bets that went bad during
the global meltdown.

"The transaction is negative for PN minority shareholders of both
Aracruz and VCP," Bloomberg quoted Banco Santander SA analyst
Felipe Reis as saying in a note to preferred shareholders.   "The
likely winners of the deal are the Lorentzen and Safra groups, who
will receive, in cash, a price per share that was set six months
ago before the derivatives issues with Aracruz and prior to the
financial crisis."

Bloomberg News notes Mr. Reis said investors holding preferred
shares of VCP and Aracruz, will see their shares diluted when
preferred shares are converted to common shares of the new merged
company.  VCP plans to list the new company on the so-called Novo
Mercado, a section of the Sao Paulo stock exchange that has
stricter corporate governance rules and prohibits more than one
class of stock, the report says.

Itau Corretora analyst Marcelo de Brisac, Bloomberg News relates,
said VCP is paying "an absurd amount of money" for Aracruz common
shares.  He cut VCP to "underperform."  While Merrill Lynch
analyst Marcos Assumpcao lowered his rating on VCP to "neutral"
from "buy," the report adds.

                      About Aracruz Celulose

Brazil-based Aracruz Celulose SA (SAO:ARCZ6) --
http://www.aracruz.com.br/-- is producer of bleached hardwood
kraft market pulp.  The Company produces eucalyptus pulp, which is
a variety of hardwood pulp used by paper manufacturers to produce
a range of products, including tissues, printing and writing
papers, liquid packaging boards and specialty papers.  The
Company's production facilities consist of the Barra do Riacho
Unit in Espirito Santo State, which has three production units
each with two bleaching, drying and baling lines, the Guaiba Unit,
located in the municipality of Guaiba, State of Rio Grande do Sul,
and Veracel, located in the municipality of Eunapolis, State of
Bahia, where it has a 50% stake.  During the year ended December
31, 2007, the Company produced approximately 2,569,000 tons of
bleached eucalyptus kraft pulp (BEKP) (3,095,000 tons including
50% of Veracel's pulp production).

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 12, 2008, Standard & Poor's Ratings Services lowered its
long-term corporate credit rating on Aracruz Celulose S.A. To 'BB'
from 'BBB-'.  We also lowered the Brazil national scale rating on
Aracruz to 'brAA' from 'brAAA'.  The ratings were removed from
CreditWatch Negative, where they were placed Oct. 3, 2008.  The
outlook is stable.

As reported in the Troubled Company Reporter-Latin America on
Nov. 5, 2008, Fitch Ratings downgraded Aracruz Celulose S.A.'s
Local currency Issuer Default Rating (IDR) to 'BB-' from 'BB+' and
Foreign currency IDR to 'BB-' from 'BB+'.
The ratings remain on Rating Watch Negative.

As reported in the Troubled Company Reporter-Latin America on
Oct. 22, 2008, Moody's Investors Service downgraded the ratings of
Aracruz Celulose S.A. to Ba2 (corporate family rating) from Baa3
(issuer rating) on its global scale and to A1.br from Aa1.br on
the Brazilian national scale, and the ratings remain under review
for possible further downgrade.


BRASKEM SA: Fitch Affirms Long-Term Issuer Default Rating at 'BB+'
------------------------------------------------------------------
Fitch Ratings has affirmed Braskem S.A. and Braskem
International's ratings:

Braskem

  -- Foreign currency long-term Issuer Default Rating (IDR) at
     'BB+';

  -- Local currency long-term IDR at 'BB+';

  -- National long-term rating at 'AA(bra)';

  -- Unsecured senior notes due 2014, 2017, 2018 at 'BB+';

  -- Unsecured senior perpetual bonds at 'BB+';

  -- 13th debenture issue,at 'AA(bra)'.

Braskem International

  -- Unsecured senior notes due 2015 at 'BB+'.

The Rating Outlook for the corporate ratings is revised to Stable
from Positive.

The Outlook revision reflects Braskem's relevant increase in
leverage during 2008 and the more challenging environment for the
company's business and the petrochemical industry worldwide in
2009.  The reduction of financial leverage, previously expected by
Fitch, was not achieved and is not expected to occur in 2009 to
reach measures commensurate with an investment grade rating.

Despite the challenging operating environment, Fitch expects that
Braskem will be able to manage its liquidity, reduce leverage and
adjust its new investments in accordance with its operational cash
generation.  The severity and duration of the economic slowdown as
well as new capacity additions in the worldwide petrochemical
market have lead to an uncertain demand and price scenario for
petrochemical products over the next two years.  These important
challenges could limit Braskem?s capacity to reduce leverage and
restrict liquidity, which could pressure credit quality over the
medium term.

Braskem's performance is strongly dependent on the Brazilian
economy as around 85% of its revenue is generated by the local
market although its prices are benchmarked to the international
market.  Fitch expects that the Brazilian economy will experience
moderate growth in 2009, around 2.3%.  Fitch also expects Braskem
will continue to benefit from cost savings following the
consolidation of Ipiranga Group's petrochemical assets and the
expected outcome of negotiations with its main raw material
supplier of Naptha, Petrobras, which could positively impact
operational cash flow generation.

The ratings reflect Braskem's leadership position in the Brazilian
and Latin American petrochemical sector.  The company's ratings
are also supported by its strong liquidity, moderate leverage,
compensated by an extended debt payment profile, and solid, albeit
volatile, operational cash flow.  Integration of its activities
gives Braskem a competitive advantage within the region's
petrochemical industry.  In recent years, Braskem has consolidated
its leadership position in the Brazilian industry, obtaining a
market share in thermoplastic resins of more than 50%.  It has
also strengthened its corporate and business structure with
Petroleo Brasileiro S.A.'s minority ownership interest.  Fitch
rates Petrobras' Foreign Currency IDR 'BBB' and Local Currency IDR
'BBB+' with a National Rating of 'AAA(bra)'.

There are uncertainties regarding the extent of the slowdown in
the Brazilian economy in 2009 and its effective impact on national
industry and on Braskem's business.  The coming months will be
important to have a clear definition about the scenario for
Brazilian petrochemical, since Q3'08 showed a strategic move to
reduce inventories in the petrochemical chain and the fourth
quarter is seasonally weaker.  The depreciated exchange rate up to
September also resulted in an large increase in imports.  The
current appreciation of the US$is expected to favor import
substitution and Brakem's competitive position.

Braskem's credit metrics are weak for the rating category.
Braskem's ability to return its metrics to prior levels will be
key to maintaining its ratings at current levels.  The combination
of lower cash flow generation and increased indebtedness
deteriorated Braskem's credit metrics in 2008.  The strong
devaluation of the BRL in Q3'08 (20%) directly impacted the amount
of its foreign currency obligations, while EBITDA did not yet
fully incorporate the effective gains.  The total debt/EBITDA
ratio reached 4.3 times (x), versus 2.6x for fiscal year 2007 (in
US$3.9x versus 2.9x).  The net debt/EBITDA ratios were 3.5x and
1.9x, respectively (in US$3.2x versus 2.1x).  The interest
coverage ratio was 5.6x for FY 2007 and 4.2x for the 12 months
ended Q3'08.

Braskem generated BRL2.2 billion in funds from operations and
BRL2.4 billion in Ebitda for the 12 months ended Q3'08, a decline
of 7% and 25% compared with 2007.  The company reported an EBITDA
margin of 13%, compared with 17% in 2007 and an average of 18% for
the past four years.  Its margins remain strong compared with the
global petrochemical industry.  The loss in margin in 2008
reflects negative factors, such as high raw material costs, strong
appreciation of the BRL and a weakening of external demand.

Braskem's liquidity remains substantial and fundamental to support
the rating.  At Sept. 30, 2008, Braskem reported BRL1.8 billion in
cash and marketable securities.  For the end of the year, Fitch
expects a higher cash position due to expected decrease in working
capital needs over the 4Q'08.  At Sept. 30, 2008, Braskem reported
total debt of BRL10.2 billion, with BRL1.2 billion of short term
maturities.  In 2008, the company was able to term out debt
associated with the acquisition of petrochemical assets in 2007
(US$1.2 billion).  During the year, the company placed a bond
issue on the international market (US$500 million) due 2018 and a
pre-export operation (US$725 million) due 2013.  Looking forward,
Braskem has a manageable debt amortization schedule with no
significant bullet maturities.

Braskem's current investment program in Venezuela is not yet
approved by the Board.  In case of going forward, it could limit
its future debt reduction capacity.  Braskem pursues to finance
70% under project finance modality with no recourse to the
sponsors.  The investments foreseen total US$4 billion, divided
equally between Braskem and Petroquimica de Venezuela S.A
(Pequiven) in the construction of a polypropylene plant (450
thousand tons) and an ethane cracker (1.3 million tons) in
Venezuela.

Internationalization of its plants could add new risks, given to
its investments in a country with greater sovereign risk than
Brazil.  Besides this project, Braskem is working on a new
polyethylene plant, which will use ethanol as raw material. Total
expected investments are of US$304 million.

Braskem is the largest petrochemical company in Latin America. Its
growth in the past six years is due to integration of
petrochemical assets located in the Camacari (Bahia) and Triunfo
(Rio Grande do Sul) petrochemical parks.  Braskem is controlled by
the Odebrecht/Norquisa group (62.3% voting capital and 39,3% total
capital).  Petrobras holds 31% of voting capital and 24% of total
capital.  The remaining participations are distributed in the
capital market.




CSN: Lays Off Additional 200 Workers
------------------------------------
South Fluminense Metalworkers' Union said Companhia Siderurgica
Nacional S.A. ("CSN") cut about 200 jobs in Brazil after firing
300 people last month, Laura Price of Bloomberg News reports,
citing O Estado de S. Paulo.

As reported in 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 Dow Jones 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."

Bloomberg News notes the union estimates CSN may make 1,800 job
cuts at the start of 2009.

A CSN company spokeswoman, Bloomberg News relates, said the
company refused to confirm the job cuts.

                            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.


* BRAZIL: Posts US$378 Million Trade Deficit in 3rd Week of Jan
---------------------------------------------------------------
Brazil's cargo truck exports totaled US$2.276 billion (daily
average of US$455.2 million)in the third week of January, while
imports totaled US$2.654 billion (daily average of US$530.8
million), Ivan Richard of Brazzil Magazine reports, citing the
Brazilian Ministry of Development, Industry and Foreign Trade.

The report relates that based on the import and export figures,
Brazil's trade balance showed a deficit of US$378 million, while
bilateral trade reached US$ 4.930 billion.

According to the report, the Ministry of Development said up until
the third week of January, daily average exports saw a reduction
of 21.2% over the average for January 2008 (US$603.5 million).
In comparison with the daily average in December last year
(US$628.1 million), there was a reduction of 24.2%, the report
relates.

Brazzil Magazine says daily average imports until the third week
of January decreased by 9% over the average recorded in January
2008 (US$ 561.6 million) and by 2.3% over the daily average for
December last year (US$523.5 million).

In the first eleven business days of 2009 - up until the third
week - there was a trade deficit of US$390 million, the report
notes.

The figure, Brazzil Magazine relates, represents a reduction of
184.6% over the 22 business days in January 2008 (US$41.9 million)
and of 133.9% over the average daily result recorded in December
last year (US$ 104.6 million).

According to Moody's Rating Agency, the country continues to carry
a BA1 local and foreign currency rating.


* BRAZIL Fitch Takes Rating Actions on Brazilian Homebuilders
-------------------------------------------------------------
Fitch Ratings has taken various rating actions on these Brazilian
homebuilders:

Cyrela Brazil Realty S.A. Empreendimentos e Participacoes

  -- Local currency Issuer Default Rating (IDR) downgraded to
     'BB-' from 'BB';

  -- Foreign currency IDR downgraded to 'BB-' from 'BB';

  -- National scale rating downgraded to 'A+(bra)' from 'AA-
      (bra)'.

Even Construtora e Incorporadora S.A. (Even)

  -- Local currency Issuer Default Rating (IDR) affirmed at 'B+';

  -- Foreign currency IDR affirmed at 'B+';

  -- National scale rating downgraded to 'BBB+(bra)' from 'A-
      (bra)';

  -- Second and third debenture issuances downgraded to
     'BBB+(bra)' from 'A-(bra)'.

Gafisa S.A.(Gafisa)

  -- National scale rating downgraded to 'A-(bra)' from 'A(bra)';

  -- Fifth debenture issuance downgraded to 'A-(bra)' from
     'A(bra)'.

Trisul S.A.(Trisul)

  -- National scale rating downgraded to 'A-(bra)' from 'A(bra)';

  -- First debenture issuance downgraded to 'A-(bra)' from
     'A(bra)'.

The Rating Outlook for all of the above corporate ratings is
Negative.

Company S.A.

  -- Local currency IDR maintained at 'B+';
  -- Foreign currency IDR maintained at 'B+';
  -- National scale rating maintained at 'A-(bra)';
  -- Third debenture issuance maintained at 'A-(bra)'.

Company S.A.'s ratings remain on Rating Watch Positive. Fitch is
analyzing the merger of Company and Brascan Residential Properties
S.A. and will resolve the Positive Rating Watch in the near term.
The rating actions and the Negative Outlook for the homebuilders
reflect the change in the sector's fundamentals and the
expectation that homebuilders in Brazil will face a challenging
operating environment and financial pressures in 2009 and 2010.

Fitch expects a slowing Brazilian economy, limited access to real
estate credit, higher cost of credit, weakening of demand and
consumer confidence, lower income and higher unemployment rates to
negatively impact sector fundamentals.  Ratings may be further
affected in the case of a prolonged downturn that includes a
scarcity of long-term funding sources to finance these once
rapidly growing businesses.  Homebuilders' profitability and
operational cash flow generation can be significantly influenced
by business and macro factors challenging the management of
balance sheets and liquidity.

Fitch expects a reduction in the liquidity of the Brazilian
homebuilding industry, as cash will be spent to cover construction
costs.  Credit availability has shrunk globally and in the
Brazilian market leading to a considerable reduction of credit
risk exposure by the Brazilian banks which have sought to preserve
capital.  Consequently, funding costs have risen and tenors have
shortened.  The limited availability of lines of credit in the
Brazilian market will continue to pressure real estate companies'
liquidity, especially those with less robust capital structure and
less representative scale.  Most homebuilders have generated
negative free cash flow in 2007 and 2008, due to the increased
volume of projects in course.  Fitch expects cash flow to remain
negative in 2009.

Financial performance is expected to be under pressure in 2009.
The growth of supply and the willingness to buy new homes observed
in the last couple of years has recently decreased.  Despite fewer
project launches, Fitch expects EBITDA and margins will decrease,
and inventory levels will rise.  Although not experienced to date,
possible discounting of sales price would further affect
profitability.  The third quarter of 2008 (3Q'08) results for
homebuilders analyzed by Fitch reflected a decline of the total
future sales value of projects launched to BRL2.9 billion from
BRL4.6 billion in 2Q'08.  Net revenues and EBITDA in the last 12
months ended September 2008 still benefited from the good moment
of the sector in Brazil, however, 3Q'08 results revealed some
downturn caused by the new scenario and EBITDA margin reduced to
an average of 16.1% from 18.9% in 2Q'08.

Leverage will likely remain under pressure in 2009.  In the LTM
ended in September 2008, total debt, excluding Housing Financial
System loans, to EBITDA of homebuilders analyzed by Fitch stood at
2.9 times (x), compared to an average of 2.3x and 1.6x in the LTM
ended June 2008 and 2007, respectively.  Net debt, excluding SFH
loans, to EBITDA also increased, to a still adequate average of
0.9 times in the LTM ended September 2008, compared to an average
of 0.4 times and -0.8 times in the LTM ended June 2008 and 2007,
respectively.  Lower EBITDA and cash levels going forward will
contribute to higher ratios and will reduce companies' coverage
ratios.

With the availability of credit lines significantly reduced,
companies are now using cash to cover construction, advertising
and operational costs.  Liquidity position measured by cash to
short term debt of homebuilders analyzed by Fitch dropped to a
still adequate average of 2.4x in the LTM ended September 2008,
compared to an average of 3.4x and 5.5x in the LTM ended June 2008
and 2007, respectively.  Positively, the sector's substantial
capitalization, with the injection of about BRL14 billion in new
capital through initial public offers of more than 20 Brazilian
homebuilders in 2006 and 2007 has provided many companies with
sizable cash balances to help fund out these in-process projects.
Also, some of the homebuilders have recently benefited from new
medium term funding, new capital injection or change in ownership.
Trisul issued a 5-year BRL200 million debentures in July 2008;
Even received a BRL150 million capital injection in September
2008; Company S.A. was acquired by the Brookfield group and merged
with Brascan Residential Properties.

Homebuilders have also responded adequately to the current
situation by dramatically curtailing growth plans with the aim to
preserve liquidity.  Most homebuilders have postponed project
launches, reduced guidance for new projects and delayed many
projects until there is more clarity to the amount of credit
availability and real estate demand.  Project launches guidance of
homebuilders analyzed by Fitch announced earlier in 2008 and in
the last quarter of 2008 dropped by 22%.  In addition to the
reduction in project launches, companies are taking several
measures to preserve liquidity, such as lowering operating costs,
headcount and avoiding land acquisition with cash.  Fitch expects
companies to continue adopting measures to protect liquidity,
given the environment subject to credit squeeze and the sector's
typical high cash needs.

Consolidation of the Brazilian homebuilding sector is a real
possibility as the downturn continues.  During the second semester
of 2008, several ownership changes occurred including the
acquisition of Tenda S.A. by Gafisa, in which Equity International
increased its share in Gafisa to 19% from 14%.  Also, the merger
of Company S.A. and Brascan has already been completed.  The
BRL3 billion line of credit from BNDES announced in the last
quarter of 2008, providing funds for the acquisition of projects
of companies under difficulties, should favor market consolidation
on behalf of the larger and most established Brazilian
homebuilding companies, which is positive for the industry.



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

ALEXANDER LINKPERMAL: Creditors' Proofs of Debt Due Today
---------------------------------------------------------
The creditors of Alexander Linkpermal Fund are required to file
their proofs of debt today, January 23, 2009, to be included in
the company's dividend distribution.

The company commenced liquidation proceedings on Dec. 3, 2008.

The company's liquidator is:

          Richard L. Finlay
          c/o Krysten Lumsden
          P.O. Box 2681GT, Grand Cayman
          Telephone: (345) 945 3901
          Facsimile: (345) 945 3902


CHINAPLUS LIMITED: Placed Under Voluntary Liquidation
-----------------------------------------------------
The sole shareholder of Chinaplus Limited resolved to voluntarily
liquidate the company's business on December 3, 2008.

Only creditors who were able to file their proofs of debt by
January 21, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

           Wong Hong Kit
           c/o Michelle R. Bodden-Moxam
           Bridge Street Services Limited
           Marquee Place, Suite 300
           430 West Bay Road
           P.O. Box 30691, Grand Cayman KY1-1203
           Cayman Islands
           Tel: 345-946-6145
           Fax: 345-946-6146


CUMULUS CLIMATE: Placed Under Voluntary Liquidation
---------------------------------------------------
The sole shareholder of Cumulus Climate Master Fund resolved to
voluntarily liquidate the company's business on December 1, 2008.

Only creditors who were able to file their proofs of debt by
January 22, 2009, will be included in the company's dividend
distribution.

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


DARREN MULTI-STRATEGY: Enters Liquidation Proceedings
-----------------------------------------------------
The sole shareholder of Darren Multi-Strategy Fund, Ltd.resolved
to voluntarily liquidate the company's business on Dec. 3, 2008.

The company's liquidator is:

          Walkers SPV Limited
          c/o Anthony Johnson
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002, Cayman Islands
          Telephone: (345) 914-6314


INVICTA LIMITED: Commences Liquidation Proceedings
--------------------------------------------------
The sole shareholder of Invicta Limited resolved to voluntarily
liquidate the company's business on December 1, 2008.

The company's liquidator is:

          RTB Secretaries Limited
          c/o Rothschild Trust Cayman Limited
          PO Box 10129APO, 5th Floor Citrus Grove
          George Town, Grand Cayman
          Telephone: (345) 946 7033
          Facsimile: (345) 946 7043


JACOBI ACTIVE: Placed Under Voluntary Liquidation
-------------------------------------------------
The sole shareholder of Jacobi Active Leveraged Home Equity Loan
Fund resolved to voluntarily liquidate the company's business on
November 20, 2008.

Only creditors who were able to file their proofs of debt by
January 22, 2009, will be included in the company's dividend
distribution.

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


JNT ACTIVE: Placed Under Voluntary Liquidation
----------------------------------------------
The sole shareholder of JNT Active Leveraged Home Equity Loan Fund
resolved to voluntarily liquidate the company's business on
November 20, 2008.

Only creditors who were able to file their proofs of debt by
January 22, 2009, will be included in the company's dividend
distribution.

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


JOSCHA LTD: Enters Liquidation Proceedings
------------------------------------------
The shareholder of Joscha Ltd resolved to voluntarily liquidate
the company's business on December 2, 2008.

Only creditors who were able to file their proofs of debt by
January 22, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman KY1-1205


LUSCA HOLDING: Commences Liquidation Proceedings
------------------------------------------------
The sole shareholder of Lusca Holding Ltd. resolved to voluntarily
liquidate the company's business on December 4, 2008.

The company's liquidator is:

          RTB Secretaries Limited
          c/o Rothschild Trust Cayman Limited
          PO Box 10129 APO, 5th Floor Citrus Grove
          George Town, Grand Cayman
          Telephone: (345) 946 7033
          Facsimile: (345) 946 7043


MASAKA LTD: Enters Liquidation Proceedings
------------------------------------------
The shareholder of Masaka Ltd resolved to voluntarily liquidate
the company's business on December 2, 2008.

Only creditors who were able to file their proofs of debt by
January 22, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman KY1-1205


MELLON OFFSHORE: Commences Liquidation Proceedings
--------------------------------------------------
The sole shareholder of Mellon Offshore Alphaaccess Fund A, Ltd.
resolved to voluntarily liquidate the company's business on
December 1, 2008.

The company's liquidator is:

          Walkers SPV Limited
          c/o Anthony Johnson
          Telephone: (345) 914-6314
          Walker House, 87 Mary Street, George Town
          Grand Cayman, KY1-9002, Cayman Islands


MESTASTASIO: Creditors' Proofs of Debt Due on March 4
-----------------------------------------------------
The creditors of Mestastasio International Holding are required to
file their proofs of debt by March 4, 2009, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on Dec. 4, 2008.

The company's liquidator is:

          MBT Trustees Ltd.
          P.O. Box 30622, Grand Cayman KY1-1203
          Telephone: 945-8859
          Facsimile: 949-9793/4


NESTOR CORP: Placed Under Voluntary Liquidation
----------------------------------------------
The shareholder of Nestor Corp. resolved to voluntarily liquidate
the company's business on December 2, 2008.

Only creditors who were able to file their proofs of debt by
January 12, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Hugh Dickson
          c/o Peter Bigwood
          PO Box 1370, Grand Cayman KY1- 1108
          Cayman Islands
          Telephone: (345) 815 8242
          Facsimile: (345) 949 7120


PACIFIC COAST: Creditors' Proofs of Debt Due on January 26
----------------------------------------------------------
The creditors of Pacific Coast Financial Inc are required to file
their proofs of debt by January 26, 2009, to be included in the
company's dividend distribution.

The company's liquidator is:

          Ramon R. Arnaiz
          2401-B General Ferreira St.
          Tijuana, Baja California
          Mexico 22040


QUINTUS GRANDWAY: Commences Liquidation Proceedings
---------------------------------------------------
The sole shareholder of Quintus Grandway Multi-Strategy Fund
Limited resolved to voluntarily liquidate the company's business
on December 3, 2008.

The company's liquidator is:

          Walkers SPV Limited
          c/o Anthony Johnson
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002, Cayman Islands
          Telephone: (345) 914-6314


ROCKBOUND CDO: Commences Liquidation Proceedings
------------------------------------------------
The sole shareholder of Rockbound CDO I, Ltd. resolved to
voluntarily liquidate the company's business on December 3, 2008.

The company's liquidator is:

          Walkers SPV Limited
          c/o Anthony Johnson
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002, Cayman Islands
          Telephone: (345) 914-6314


SHIAM CO: Enters Liquidation Proceedings
----------------------------------------
The shareholders of Shiam Co., Ltd. met on December 3, 2008, and
resolved to voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
January 21, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Meshal Al-Nassar
          c/o Messrs. Maples and Calder, Attorneys-at-law
          P.O. Box 309, Ugland House
          Grand Cayman, KY1-1104, Cayman Islands


SUBAITI CO: Enters Liquidation Proceedings
------------------------------------------
The shareholders of Subaiti Co., Ltd. met on December 3, 2008, and
resolved to voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
January 21, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Meshal Al-Nassar
          c/o Messrs. Maples and Calder, Attorneys-at-law
          P.O. Box 309, Ugland House
          Grand Cayman, KY1-1104, Cayman Islands


TASMAN CDO: Commences Liquidation Proceedings
---------------------------------------------
The sole shareholder of Tasman CDO, Ltd. resolved to voluntarily
liquidate the company's business on December 3, 2008.

The company's liquidator is:

          Walkers SPV Limited
          c/o Anthony Johnson
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002, Cayman Islands
          Telephone: (345) 914-6314



VICTORIA FINANCE: Moody's Withdraws Ratings on Capital Notes
------------------------------------------------------------
Moody's Investors Service has withdrawn the capital note and
senior debt programme ratings of Victoria Finance Ltd and Victoria
Finance LLC:

Capital Note Programme (US$ 777 million of debt securities
affected)

  -- Current Rating: WR
  -- Prior Rating: Ca

Euro and US Commercial Paper Programmes (US$ 760 million of debt
securities affected)

  -- Current Rating: WR
  -- Prior Rating: Not Prime

Euro and US Medium Term Note Programmes (US$ 5 billion of debt
securities affected)

  -- Current Rating: WR
  -- Prior Rating: B2/Not Prime

Victoria Finance was a structured investment vehicle established
by Ceres Capital Partners.  Management of Victoria Finance was
transferred to the Collateral Agent, Deutsche Bank Trust Company
Americas, when Victoria entered enforcement on 8 January 2008.

The rating action follows a request by the Collateral Agent.
Given that all management responsibilities now rest with the
Collateral Agent, Moody's has also withdrawn the SIV Management
Quality rating that was assigned to Ceres Capital Partners (also
known under the name of Stanfield Global Strategies LLC) in its
capacity as the manager of Victoria Finance.


ZETES CORP: Placed Under Voluntary Liquidation
----------------------------------------------
The shareholder of Zetes Corp. resolved to voluntarily liquidate
the company's business on December 2, 2008.

Only creditors who were able to file their proofs of debt by
January 12, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Hugh Dickson
          c/o Peter Bigwood
          PO Box 1370, Grand Cayman KY1- 1108
          Cayman Islands
          Telephone: (345) 815 8242
          Facsimile: (345) 949 7120


=========
C H I L E
=========

LARRAIN VIAL: Has US$5.2 Million Exposure to Madoff Fund
--------------------------------------------------------
Chile-based brokerage Larrain Vial SA's clients lost
US$5.2 million from investments in a fund linked to Bernard L.
Madoff's alleged Ponzi scheme, James Attwood of Bloomberg News
reports, citing an unnamed official.

As reported in the Troubled Company Reporter on Dec. 15, 2008, the
Securities and Exchange Commission charged Mr. 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 Bloomberg News, Larrain Vial clients invested in a
fund managed by Pioneer Alternative Investments, which had money
with Madoff-controlled funds.

Larrain Vial, Bloomberg News relates, will decide how to proceed
with the client losses after Pioneer responds to a refund request,
due by the end of the month.

Bloomberg News recounts Rival Celfin Capital SA is refunding about
US$10 million to clients who lost money from investing with funds
connected to Madoff, while Pioneer, a unit of Italian bank
UniCredit SpA, invested "substantially all" of its about US$280
million Primeo Select Fund with Madoff.



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

FREESTAR TECHNOLOGY: Changes Name to Rahaxi, Amends Stock Plan
--------------------------------------------------------------
FreeStar Technology Corporation disclosed in a regulatory filing
with the Securities and Exchange Commission that it filed an
amendment to its articles of incorporation with the Secretary of
State of Nevada to change the company's name to Rahaxi, Inc.  The
company stated that the amendment was also made to implement a
1-for-3 reverse stock split of its common stock.

The amendment was approved by holders of a majority of the
outstanding shares of the company through a proxy statement or
written consent solicitation that was mailed to stockholders and
filed with the SEC.

The amendment to the company's Articles of Incorporation to
implement the reverse stock split and name change became effective
on Nov. 21, 2008.

At that time, each 3 outstanding shares of common stock of the
company will be combined into and become 1 outstanding share of
common stock of the company.  No fractional shares will be issued
in connection with the reverse stock split, all fractional shares
that would have resulted from the reverse split shall be rounded
up to the next whole share.

In a separate filing, the company stated that the board of
directors of Rahaxi, Inc., fka FreeStar Technology Corporation,
adopted an amendment to the company's 2007 Stock Incentive Plan.

The amendment increased the number of shares available under the
Stock Incentive Plan by an additional 35 million shares of Common
Stock for a total of 58,333,333 shares authorized thereunder (on a
post one for three reverse stock split on Nov. 21, 2008).

A full-text copy of the 2007 Stock Incentive Plan is available for
free at: http://ResearchArchives.com/t/s?3855

                 About FreeStar Technology Corp.

Based in Dublin, Ireland, FreeStar Technology Corp. (OTC BB: FSRT)
-- http://www.freestartech.com/-- nka Rahaxi, Inc provides
electronic payment processing services, including credit and debit
card transaction processing, point-of-sale related software
applications and other value-added services.  The company was
incorporated in the State of Nevada.  The company also has offices
in Helsinki, Finland; Stockholm, Sweden; Geneva, Switzerland; and
Santo Domingo, the Dominican Republic.

Freestar Technology's balance sheet at Sept. 30, 2008, showed
total assets of US$3,466,150 and  total liabilities of
US$5,648,246, resulting stockholders' deficit of US$2,182,096.

For three months ended Sept. 30, 2008, the company posted net loss
of US$3,351,972 compared with net loss of US$5,639,278 for the
same period in the previous year.

As of Sept. 30, 2008, the company has total current assets of
US$1,615,817 and total current liabilities of US$5,072,241,
resulting in a working capital deficiency of US$3,456,424.  The
company has cash and cash equivalents of US$506,915 at Sept. 30,
2008, and an accumulated deficit of US$100,921,784.

                       Going Concern Doubt

New York-based RBSM LLP expressed substantial doubt about FreeStar
Technology Corp.'s ability to continue as a going concern after
auditing the company's consolidated financial statements for the
year ended June 30, 2007.  The auditing firm said the company is
experiencing difficulty in generating sufficient cash flow to meet
its obligations and sustain its operations.



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

PETROECUADOR: 2008 Oil Export Revenue Up 61% to US$6.46 Billion
---------------------------------------------------------------
Petroecuador's oil export revenue last year increased 61% to
US$6.46 billion from US$4.01 billion in 2007, Mercedes Alvaro of
Dow Jones Newswires reports, citing company data.

According to the data reviewed by Dow Jones Newswires, in terms of
volume, Petroecuador exported 77.48 million barrels of crude oil
in 2008, up 16% from 66.60 million barrels registered in 2007.

The report relates exports of Oriente crude were 54.32 million
barrels in 2008, while exports of Napo crude were 23.16 million
barrels during the same period.  The Napo crude came from former
Occidental Petroleum Co. (OXY) fields, the report says.

The average price of Oriente in 2008 rose 35% to US$83.96 a barrel
from US$62.27 in 2007, while the price of Napo crude was US$82.04
per barrel, a 46% increase from US$56.34 registered in 2007, Dow
Jones notes.

According to Dow Jones, Petroecuador reported oil export revenue
of US$159.17 million in December, a 42% decrease from the
US$272.23 million registered in November.

In terms of volume, Petroecuador exported 6.23 million barrels of
crude oil in December, down 3% from 6.43 million barrels
registered in November, Dow Jones says.  Exports of Oriente crude
in December were 4.72 million barrels, while exports of Napo crude
were 1.51 million barrels, the report relates.

Dow Jones adds that the average price of Oriente in December was
US$24.55 a barrel, down 41% from $41.76 in November, while the
price of Napo crude was US$28.73 per barrel, a 34% decrease from
US$43.80 registered in November.

                        About Petroecuador

Headquartered in Quito, Ecuador, Petroecuador --
http://www.petroecuador.com.ec-- is an international oil
company owned by the Ecuador government.  It produces crude
petroleum and natural gas.

                          *     *     *

In previous years, Petroecuador, according to published reports,
was faced with cash-problems.  The state-oil firm has no funds
for maintenance, has no funds to repair pumps in diesel,
gasoline and natural gas refineries, and has no capacity to pay
suppliers and vendors.  The government refused to give the much-
needed cash alleging inefficiency and non-transparency in
Petroecuador's dealings.  In 2008, a new management team was
appointed to turn around the company's operations.



====================
E L  S A L V A D O R
====================

* EL SALVADOR: IMF OKs US$800MM Precautionary Stand-By Arrangement
------------------------------------------------------------------
The Executive Board of the International Monetary Fund ("IMF")
approved a 14(1/2) month SDR513.9 million (about US$800 million)
precautionary Stand-By Arrangement for El Salvador to support the
country's economic strategy to cope with the adverse effects of
the global financial crisis.  The Salvadorian authorities do not
intend to draw on the funds.

As El Salvador is not facing any immediate balance of payment
needs, the authorities' program supported by the Fund is a
precautionary measure that forms part of an overall strategy to
strengthen the country's financial defenses.  The program's main
goal is to help provide adequate liquidity to the country's
economy.  Despite its solid macroeconomic fundamentals, the
authorities are taking these preventive measures to stave off any
adverse effects El Salvador could be facing in 2009 as a result of
the global financial turmoil, the U.S. recession and uncertainties
related to the Salvadorian electoral cycle.

As part of this strategy, El Salvador has also negotiated loans
with the World Bank and the Inter-American Development Bank for a
total of US$950 million.  The Fund arrangement is designed to
foster investor and depositor confidence by reducing uncertainty
about macroeconomic policies in the run-up to the elections, and
during the first few months of the new administration.

Following the Executive Board discussion on El Salvador,
Murilo Portugal, Deputy Managing Director and Acting Chair, said:

"El Salvador's macroeconomic fundamentals are solid following
years of prudent policies and structural reforms. However, the
global financial turmoil and the recession in the United States
entail risks to the outlook in 2009.  The authorities' program,
supported by the precautionary Stand-By Arrangement with the Fund,
aims to reduce these risks by strengthening the financial system,
maintaining a prudent fiscal stance, and increasing the economy's
liquidity buffers.

"The authorities' fiscal program aims to safeguard medium-term
sustainability, while raising public investment and sheltering the
most vulnerable groups in society from the effects of the
slowdown.  These objectives will be supported by measures to
increase government revenue and improve spending efficiency,
including improvements in tax administration and lower electricity
subsidies to create additional space for better-targeted social
spending.

"The authorities have responded pro actively to the global
financial turmoil by taking action to enhance monitoring of bank
liquidity and borrowing, maintain prudential requirements for bank
reserves and liquid assets at current levels, and improve the
functioning of the interbank market.  They plan to seek
congressional approval of a law to strengthen financial sector
supervision and regulation.

"El Salvador's banking system is well positioned to withstand a
significant temporary shortfall of liquidity in situations of
stress.  Access to substantial Fund resources will increase
further the economy's liquidity buffer and bolster confidence in
the financial system.

"The two main presidential candidates have publicly endorsed the
main elements of the program, and reiterated their commitment to
macroeconomic stability, official dollarization, and prudent
fiscal policy.  This endorsement will contribute to policy
continuity and strengthen confidence during the political
transition," Mr. Portugal said.

                   Recent Economic Developments

El Salvador's macroeconomic fundamentals are solid and have
improved in recent years thanks to prudent policies, well-oriented
structural reforms, and a favorable external environment.  Fiscal
consolidation led to a reduction in the public debt-to-GDP ratio,
and in 2006-07, the country experienced the highest growth rates
in a decade.

However, the global financial crisis has significantly affected
the country's dollarized economy.  Real GDP growth is projected to
slow to 3.2% in 2008, compared to 4.7% in 2007, reflecting lower
growth in remittances, a tightening of external financing
conditions, and a decline in investments.  Exports, however, have
remained buoyant despite weaker external demand.  The banking
system remains liquid and well-capitalized, although nonperforming
loans have increased and profitability is declining.  While the
country's linkages to global financial markets are strong, the
impact of the financial turmoil has, so far, been moderate.

The U.S. recession is likely to continue having an adverse effect
on El Salvador.  The U.S. is El Salvador's main export market, and
there are also strong financial sector linkages. Remittances from
the U.S. amount to about 18% of GDP.

                          Program Summary

The authorities' economic program will focus on crisis
preparedness, continued prudent fiscal policies, and financial
sector reforms:

   * Financial contingency measures: Including closely monitoring
     bank liquidity and short-term borrowing.

   * Short-term fiscal policy: Maintain fiscal restraint by
     keeping the non-financial public sector deficit not exceeding
     2.8% of GDP in 2009.

   * Structural reforms: Further strengthening of financial
     sector regulation and supervision and enhancing the banking
     system's ability to weather shocks.

El Salvador joined the IMF on March 14, 1946, and its quota is SDR
171.3 million (about US$258.8 million).  El Salvador has had no
outstanding IMF credits since 1991.



=============
J A M A I C A
=============

CLIFF ENTERTAINMENT: Losses Prompt Business Closure
---------------------------------------------------
Supreme Ventures Limited is revising business operations at Coral
Cliff, and is in the process of closing down the hotel and
accompanying Ma Lou restaurant, saying the operation is
unprofitable, Dionne Rose of Jamaica Gleaner reports.

According to the report, VP Sonia Davisdon said the lock down of
Coral Cliff Entertainment Limited, which is already in voluntary
liquidation, will eliminate 43 jobs and save Supreme Ventures
US$50 million.

The report notes that the hotel plant is to remain within SVL's
portfolio of assets.

Ms. Davidson, The Gleaner relates, said there are no immediate
plans to sell the property and that for now it might be used to
house staff, at intervals.

The Gleaner recounts the announced closure comes just weeks after
SVL reported a downturn in its gaming and hospitality business
segment - the only side of its operation to suffer operational
losses in its financial year ended October 31, 2008.

The loss was about US$181.6 million - compared to US$37 million
profit in 2007 - though revenue for the segment had grown by $200
million to US$1.15 billion, the report relates.

SVL is currently reshaping its gaming lounges to drive the
flagging business, the report says.

"Our plan is to improve efficiency and maximize operations at our
current slot gaming facilities," the report quoted Ms. Davidson as
saying.

"We expect to acquire and change out non-performing games and
upgrade plant and equipment at the gaming facilities," she added.



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

CEMEX: ACCIONA Starts First Phase of US$550-MM EURUS Wind Farm
--------------------------------------------------------------
Mexican President Felipe Calderon celebrated the development of
the EURUS wind farm project already underway.  The project will
have 250 megawatts (MW) of power production capacity that will be
consumed mainly by  Cemex S.A.B. de C.V. ("Cemex").

The wind farm represents an investment of US$550 million
(approximately EUR427 million) by the Spanish company ACCIONA.

EURUS wind farm is a self-generation project to supply 25% of
CEMEX Mexico's needs.  It has been developed jointly between CEMEX
and ACCIONA Energia and will have 167 wind turbines with 1.5MW of
capacity each, built by ACCIONA Windpower.  It is located in
Juchitan, in the Southern Mexican State of Oaxaca in a 2,500
hectare area in the Tehuantepec Isthmus, an area well-known for
its wind resources.

The energy that will be produced by EURUS is estimated to be
sufficient to power a Mexican city of half a million inhabitants,
reducing CO2 emissions by approximately 600 thousand metric tons
each year, which is approximately 25% of the total emissions
generated by such a community.

EURUS will be one of the largest wind farms in the world and the
second largest in terms of emissions reduction registered under
the Clean Development Mechanism of the United Nations (Kyoto
Protocol).  It will also have one of the largest emission
reduction indexes per installed capacity in the world.

The project has created more than 850 jobs in the region during
the construction phase and will have a local economic impact
equivalent to 20 million Mexican pesos per year.

The first phase will be operational in the first quarter of 2009
and the last phase will be operational in the last quarter of
2009.  Currently 25 turbines are installed.

The wind farm represents a major contribution towards the global
effort that CEMEX is making to reduce its impacts and to become
more sustainable.

Lorenzo H. Zambrano, Chairman and CEO of CEMEX said, "At CEMEX we
are committed to innovation and to becoming more sustainable by
the use of alternative fuels, and the application of more
efficient processes to save energy, to reduce carbon dioxide
emissions, and to contribute to a clean environment.  We are
determined to include renewable sources of electricity into our
energy mix, and therefore we feel very proud of our alliance with
ACCIONA, so that the EURUS wind farm can begin to transform the
power of the wind into electric power".

Esteban Morras, board member of ACCIONA, said, "EURUS is the
largest wind farm installed by our company in the world and
represents a huge impulse to the development of wind power in
Mexico.  This country has great potential for wind development and
should take advantage of this in the necessary transition toward a
more sustainable energy model, creating with it wealth and
employment in a sector of the future".  He also expressed his
satisfaction by the collaboration with CEMEX in this project.
"CEMEX is a great company and we are delighted to work with it on
this important initiative".

                           About Cemex

Headquartered in Mexico, Cemex S.A.B. de C.V. --
http://www.cemex.com/-- is a growing global building solutions
company that provides high quality products and reliable service
to customers and communities in more than 50 countries throughout
the world, including Argentina, Colombia and Venezuela.
Commemorating its 100th anniversary in 2006, Cemex has a rich
history of improving the well-being of those it serves through its
efforts to pursue innovative industry solutions and efficiency
advancements and to promote a sustainable future.

                          *     *     *

As reported by the Troubled Company Reporter-Latin America on
November 26, 2008, Fitch Ratings downgraded Cemex, S.A.B. de
C.V.'s  'BBB-' foreign currency Issuer Default Rating to 'BB+';
'BBB-' local currency IDR to 'BB+'; and 'BBB-' Senior unsecured
debt obligations to 'BB+'.  The Rating Outlook is Negative.

According to Fitch, the rating actions reflect weaker than
expected operating results and higher leverage levels than
previously anticipated due to economic weakness in most of the
company's important markets.


CEMEX SAB: S&P Downgrades Corporate Credit Rating to 'BB+'
----------------------------------------------------------
Standard & Poor's Ratings Services said that it had lowered its
long-term corporate credit rating on Cemex S.A.B. de C.V. and
Cemex's key operating subsidiaries (Cemex Espana, S.A., Cemex
Mexico S.A. de C.V., and Cemex Inc.) to 'BB+' from 'BBB-', and
placed the ratings on CreditWatch with negative implications,
meaning that the rating could either be lowered or affirmed
following the completion of S&P's review.  The long-term Mexican
national scale rating on Cemex also was lowered, to 'mxAA-' from
'mxAA'.  At the same time, S&P lowered its rating on Cemex's
fixed-to-floating callable perpetual debentures to 'BB' from
'BB+'.

The rating downgrades reflect S&P's expectations that Cemex's
financial performance for 2009 will be under further pressure
given the weakening of economic growth prospects in Cemex's
principal markets and around the world.  About 74% of the
company's revenue is concentrated in the U.S., Mexico, and Spain
-- all of which S&P expects to record negative growth in this
year, which will translate into lower volumes and cash flow
generation compared with 2008.

As a result, S&P believes that the financial target of the ratio
of funds from operations-to-adjusted net debt in 2009 will be
below S&P's expected 2008 ratio of 15%.

"Although Cemex has succeeded in its debt-refinancing efforts
(covering almost 60% of the total debt maturing in 2009) and
consented to amending the leverage ratio covenant in its existing
loan facilities, S&P believes that maturities in 2009 will still
be relatively high compared with Cemex's expected cash flow
generation and cash position," said Juan Pablo Becerra, of
Standard & Poor's Corporate & Infrastructure Ratings group.
"Additionally, S&P considered Cemex´s liquidity as weak."

The CreditWatch placement reflects S&P's concerns that Cemex will
experience further deterioration in its key financial ratios, as
well as the fact that the company will have to rely on asset
disposals to cover part of its maturities in 2009.  "Additionally,
S&P is concerned that Cemex's asset sales may be hampered by
depressed asset prices and the near-freeze in the credit markets,"
added Mr. Becerra.  "We expect to resolve the CreditWatch
listing upon a full review of the issuer's plans to address its
maturities in 2009."



=================
N I C A R A G U A
=================

CENTRAL SUN: Inks Common Share Buyout Agreement with Linear Gold
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Central Sun Mining Inc. and Linear Gold Corp. signed a letter
agreement in connection with a merger.  Pursuant to the agreement,
Linear Gold will acquire all of the outstanding common shares of
Central Sun in exchange for common shares of Linear Gold.
Pursuant to the transaction, CSM shareholders will receive 0.4
Linear Gold common shares for each CSM common share held.

Wade Dawe, president and chief executive officer of Linear Gold,
stated, "We believe this transaction is an attractive opportunity
to acquire a portfolio of gold assets which includes the Limon
Mine, producing approximately 45,000 ounces of gold per year, the
Orosi Mine, with planned production of approximately 85,000 ounces
of gold annually after a nine month construction period, and the
highly prospective Mestiza-La India Property, which represents a
potential high grade development opportunity for the future.
Together, Linear and Central Sun plan to pursue a growth strategy
focused on building an aggressive and very profitable gold
producer."

Stan Bharti, the chairman of Central Sun, commented, "We believe
that the combination of Central Sun and Linear Gold will form the
basis for the next intermediate gold producer.  The combined
company brings together gold production, potential near-term
production expansion, financial resources and an experienced
management team.  The combined company will be well positioned to
leverage continued strength in the price of gold in 2009."

                  Highlights of the Transaction

Upon completion of the transaction, Linear Gold, continuing as the
combined company will feature:

  -- Annual production of approximately 45,000 ounces of gold
     increasing to 130,000 ounces of gold following completion
     of the Orosi mill installation;

  -- Proven and probable gold mineral reserves estimated to be
     approximately 730,000 ounces, and measured and indicated
     gold mineral resources estimated to be approximately
     1,114,000 ounces;

  -- Significant potential for growth through exploration at
     Central Sun's properties in Nicaragua and Linear Gold's
     promising Ixhautan Gold Project in Mexico and Ampliacion
     Pueblo Viejo, Loma El Mate, and Loma Hueca Gold Properties
     in the Dominican Republic;

  -- Management and board of directors with experience
     operating, developing, and financing mining companies; and

  -- Strategic position to leverage expected consolidation in
     the gold industry.

Linear Gold will have approximately 53.2 million common shares
issued and outstanding, with former Central Sun shareholders
holding approximately 48% of the issued and outstanding common
shares of the combined company.

The companies stated that the combination will bring significant
benefits to each of the companies and their shareholders.  The
boards of directors of both Central Sun and Linear Gold
unanimously support the proposed combination.

For Central Sun:

  -- The exchange ratio of 0.4 Linear Gold common shares for
     each Central Sun common share values Central Sun at
     approximately C$18.4 million, or approximately C$0.292 per
     CSM common share, which represents a premium of 75% based
     on the 20-day volume weighted average TSX price of Central
     Sun and Linear Gold shares from Dec. 23, 2008, the trading
     day prior to the announcement, and 42% based on the
     respective closing prices on Dec. 23, 2008;

  -- Helps to facilitate development of the Orosi gold project
     resulting in increased gold production in the combined
     company;

  -- Provides cash resources of approximately C$24 million or
    US$20 million, which addresses Central Sun's immediate
     working capital needs and will partly fund development
     activities to re-commence production at Orosi;

  -- Provides exposure to Linear Gold's promising Ixhautan Gold
     Project in Mexico, which Kinross Gold Corporation has been
     exploring and evaluating under an option agreement to
     acquire up to a 70% interest in exchange for future cash
     payments to Linear Gold of up to US$115 million; and

  -- Provides shareholders with a significant stake in the
     combined company that is well positioned to participate in
     expected future consolidation in the gold industry.

For Linear Gold:

  -- Adds current production of approximately 45,000 ounces of
     gold per year;

  -- Adds planned production growth, as Central Sun projects
     2010 gold production of 130,000 ounces based on the re-
     commencement of production at the Orosi project;

  -- Significantly increases estimated mineral reserves and
     resources;

  -- Adds skilled mining operations team, experienced in
     successfully operating and developing mines;

  -- Provides exposure to exploration success at Central Sun's
     Limon, Orosi and Mestiza-La India projects; and

  -- Provides shareholders with a significant stake in the
     combined company that is well positioned to participate in
     expected future consolidation in the gold industry.

The transaction will be subject to approval of the shareholders of
CSM.  The board of directors of Central Sun has determined to
recommend that CSM shareholders vote in favor of the transaction.
In addition, the Central Sun directors have indicated that they
intend to vote their CSM shares in favor of the transaction.

                       Transaction Details

The Transaction is expected to be structured as a plan of
arrangement between Central Sun and a newly formed subsidiary of
Linear Gold.  Under the terms of the Transaction, CSM shareholders
will receive 0.4 common shares of Linear Gold for each common
share of Central Sun held.  Each outstanding Central Sun
convertible security will become exercisable for Linear Gold
common shares based on the exchange ratio and resulting price
adjustment.  Under certain circumstances, prior to closing, Linear
Gold shareholders will be entitled to receive up to
7.5 million warrants of Linear Gold exercisable atUS$1.00 per
share and expiring in 24 months.  The board of directors of the
combined company will be comprised of three representatives of
Linear Gold and three representatives of Central Sun.  Mr. Dawe
will be appointed as chairman and Peter Tagliamonte will be
appointed as president and chief executive officer of Linear Gold.

Linear Gold has entered into lock-up agreements with CSM officers,
directors and shareholders who hold approximately 10.5% of the
outstanding CSM common shares, pursuant to which they have agreed
to vote in favor of the Transaction on the terms proposed, subject
to certain conditions.

The letter agreement includes a commitment by Central Sun not to
solicit alternative transactions to the proposed Transaction.
Linear Gold has also been provided with certain other rights
customary for a transaction of this nature, including the right to
match competing offers made to CSM.  The Letter Agreement also
provides for a break fee of C$1,000,000 to be payable to Central
Sun or Linear Gold in certain circumstances.

The Transaction is subject to the parties entering into a
definitive agreement by Jan. 29, 2009, and the receipt of all
necessary regulatory approvals and necessary shareholder approvals
at special meeting to be held no later than April 30, 2009.
Closing of the Transaction is set to occur by no later than
May 31, 2009.

The parties have agreed that the shareholders of the combined
company will consider a special resolution changing the name of
the combined company to Central Sun Mining Corp., at its first
annual general meeting.

Linear Gold's legal counsel is Cox & Palmer.  Central Sun's legal
counsel is Cassels Brock & Blackwell LLP.

                   About Linear Gold Corp.

Based in Halifax, Nova Scotia, Linear Gold Corp. (TSX: LRR) --
http://www.lineargoldcorp.com/-- is a gold focused mineral
exploration company.  Linear holds an extensive and diverse
portfolio of mineral exploration projects in Central and South
America, two of which, Mexico and the Dominican Republic, have
progressed to fully funded, lucrative joint ventures.

                  About Central Sun Mining Inc.

Headquartered in Toronto, Ontario, Central Sun Mining Inc. (TSX:
CSM)(TSX: CSM.WT)(AMEX: SMC)-- http://www.centralsun.ca/-- is a
gold producer with mining and exploration activities focused in
Nicaragua.  The company operates the Limon Mine and is in the
process of converting the Orosi Mine (formerly the Libertad Mine)
to a conventional milling operation. Both properties are located
in Nicaragua.  The Bellavista Mine in Costa Rica is currently
being reclaimed.  The company also has an option to acquire the
Mestiza exploration property in Nicaragua.  Central Sun's growth
strategy is focused on optimizing current operations, expanding
mineral resources and reserves at existing mines, and looking for
merger and acquisition opportunities in the Americas.  In early
2007, the company commenced a major project to convert the heap-
leach process at the Orosi Mine to a conventional milling
operation (Mill Project).  Mining activities at the company's
Bellavista Mine ceased during the third quarter of 2007.  Since
that time, reclamation activities have begun and it is not
expected that mining activities will resume.

At a special meeting of shareholders held on Nov. 29, 2007,
Glencairn Gold Corporation's name was changed to Central Sun
Mining Inc.  The company also changed the name of the Libertad
Mine in Nicaragua to the Orosi Mine.

At Sept. 30, 2008, the company's balance sheet showed total assets
of US$76,213,000, total liabilities ofUS$31,999,000 and
stockholders' equity US$44,214,000.

For three months ended Sept. 30, 2008, the company reported net
income of US$376,000 compared with net loss of US$60,238,000 for
the same period in the previous year.

For nine months ended Sept. 30, 2008, the company posted net loss
of US$10,579,000 compared with net loss of US$58,151,000 for the
same period in the previous year.

                     Going Concern Doubt

Management of Central Sun Mining Inc. believes there exists
substantial doubt about the company's ability to continue as a
going concern.  The company currently does not have sufficient
cash to fully fund ongoing 2008 capital expenditures, exploration
activities and complete the development of the Orosi Mine - mill
project.  Consequently, the Orosi- mill project has been
temporarily suspended, which will have an impact on the overall
cost of the project and delay the scheduled start up date.  The
company continues to seek additional financing that it may be
sourced in time to allow the company to continue the normal course
of planned activities.


CENTRAL SUN: Lender Extends Term ofUS$8-Mil. Loan to March 9
-----------------------------------------------------------
Central Sun Mining Inc. disclosed in a filing with the Securities
and Exchange Commission that the term of its US$8 million loan has
been extended to March 9, 2009, with an option to extend to
June 8, 2009.

In consideration for these extensions, CSM has agreed to pay a
cash fee and to issue 1,000,000 CSM common shares.  In addition,
CSM has agreed to amend 300,000 outstanding common share purchase
warrants held by the lender to change the exercise price of
C$1.99 per share to C$0.14 per share.  The warrants will be
amended effective on the 10th business day after the date hereof.

Extending the loan to June 8, 2009, would require an additional
cash fee and the issuance of an additional 1,000,000 CSM common
shares.  The lender is an arm's-length party of CSM.

Headquartered in Toronto, Ontario, Central Sun Mining Inc. (TSX:
CSM)(TSX: CSM.WT)(AMEX: SMC)-- http://www.centralsun.ca/-- is a
gold producer with mining and exploration activities focused in
Nicaragua.  The company operates the Limon Mine and is in the
process of converting the Orosi Mine (formerly the Libertad Mine)
to a conventional milling operation. Both properties are located
in Nicaragua.  The Bellavista Mine in Costa Rica is currently
being reclaimed.  The company also has an option to acquire the
Mestiza exploration property in Nicaragua.  Central Sun's growth
strategy is focused on optimizing current operations, expanding
mineral resources and reserves at existing mines, and looking for
merger and acquisition opportunities in the Americas.  In early
2007, the company commenced a major project to convert the heap-
leach process at the Orosi Mine to a conventional milling
operation (Mill Project).  Mining activities at the company's
Bellavista Mine ceased during the third quarter of 2007.  Since
that time, reclamation activities have begun and it is not
expected that mining activities will resume.

At a special meeting of shareholders held on Nov. 29, 2007,
Glencairn Gold Corporation's name was changed to Central Sun
Mining Inc.  The company also changed the name of the Libertad
Mine in Nicaragua to the Orosi Mine.

At Sept. 30, 2008, the company's balance sheet showed total assets
of US$76,213,000, total liabilities of US$31,999,000 and
stockholders' equity US$44,214,000.

For three months ended Sept. 30, 2008, the company reported net
income of US$376,000 compared with net loss of US$60,238,000 for
the same period in the previous year.

For nine months ended Sept. 30, 2008, the company posted net loss
of US$10,579,000 compared with net loss of US$58,151,000 for the
same period in the previous year.

                     Going Concern Doubt

Management of Central Sun Mining Inc. believes there exists
substantial doubt about the company's ability to continue as a
going concern.  The company currently does not have sufficient
cash to fully fund ongoing 2008 capital expenditures, exploration
activities and complete the development of the Orosi Mine - mill
project.  Consequently, the Orosi-mill project has been
temporarily suspended, which will have an impact on the overall
cost of the project and delay the scheduled start up date.  The
company continues to seek additional financing that it may be
sourced in time to allow the company to continue the normal course
of planned activities.



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P A N A M A
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BLADEX: Pays USS$0.22/Share Dividend Payment for Fourth Quarter
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Banco Latinoamericano de Exportaciones, S.A. ("Bladex") will pay
US$0.22 per share cash dividend for fourth quarter of 2008.

The cash dividend was approved by the Board of Directors and is
payable on February 9, 2009 to the Bank's stockholders as of
record date January 29, 2009.

As of December 31, 2008, Bladex had 36,413,087.79 common shares
outstanding of all classes.

Headquartered in Panama City, Panama, Banco Latinoamericano de
Exportaciones, SA aka Bladex (NYSE: BLX) --
http://www.bladex.com-- is a supranational bank originally
established by the Central Banks of Latin American and Caribbean
countries to promote trade finance in the Region.  The bank's
shareholders include central banks and state-owned entities in
23 countries in the Region, as well as Latin American and
international commercial banks, along with institutional and
retail investors.  Through Dec. 31, 2005, Bladex had disbursed
accumulated credits of over US$135 billion.

                          *     *     *

As of January 23, 2008, the company continues to carry Moody's
"C+" bank financial strength rating.



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Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
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Troubled Company Reporter - Latin America is a daily newsletter
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