TCRLA_Public/090306.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, March 6, 2009, Vol. 9, No. 46

                            Headlines

A N T I G U A  &  B A R B U D A

STANFORD INT'L BANK: U.S. Judge Extends Freeze Order to March 12
STANFORD INT'L BANK: U.S. Investigators Locate $250-Mil. in Assets
STANFORD INT'L BANK: Stanford Dev't Cuts More Jobs


A R G E N T I N A

DONATO DE NICOLA: Verifying Proofs of Claim Until April 20
SALTA HYDROCARBON: S&P Affirms 'B' Rating on US$234 Mil. Notes
MULTIFER SA: Verifying Proofs of Claim Until May 4
NUESTRA PAMPA: Verifying Proofs of Claim Until May 19
TELECOM ARGENTINA: To Hold FY 2008 Earnings Webcast on March 9


B R A Z I L

CITIGROUP INC: Banco Itau Denies Talks to Buy Firm's Mexican Unit
BRASKEM SA: Posts R$2.1 Million Net Loss in Fourth Quarter 2008
BNDES: Approves BRL950 Million Extra Credit to Alcoa Aluminio
USIMINAS: To Halt Blast Furnace Plant for 90 Days to Cut Costs


C A Y M A N  I S L A N D S

AIG-MEZZVEST: Placed Under Voluntary Wind-Up
AKIHABARA EKIMAE: Enters Wind-Up Proceedings
AJAX RE: S&P Puts 'CC' Credit Rating on Negative CreditWatch
AXA FRAMLINGTON: Placed Under Voluntary Wind-Up
BATTERY PARK ET AL: Placed Under Voluntary Wind-Up

BODRI CAPITAL: Enters Wind-Up Proceedings
BOFA AF: Enters Wind-Up Proceedings
CG HOLDINGS: Enters Wind-Up Proceedings
CHINA CASTLE: Enters Wind-Up Proceedings
DSI JAPANESE: Enters Wind-Up Proceedings

DSI US: Enters Wind-Up Proceedings
FIRSTRAND SECURITIZATION: Enters Wind-Up Proceedings
LITCHFIELD LIQUIDFUNDS: Enters Wind-Up Proceedings
LONGWALL OPPORTUNITIES ET AL: Placed Under Voluntary Wind-Up
MARQUEE CINEMA: Ends Operations After Thirty-Seven Years

MEZZVEST MANAGER: Placed Under Voluntary Wind-Up
MOSAIC EUROPE: Enters Wind-Up Proceedings
PACIFIC MADRONE: Enters Wind-Up Proceedings
Q-BLK CONCENTRATED: Creditors' Proofs of Debt Due on March 31
SEEF HOLDINGS: Enters Wind-Up Proceedings

SGS SYNDICATED: Enters Wind-Up Proceedings
WORLD WIDE: Placed Under Voluntary Wind-Up


C H I L E

EMPRESAS IANSA: S&P Downgrades Corporate Credit Rating to 'B-'
EMPRESAS IANSA: S&P Cuts Corp. Credit Rating to 'B-' from 'BB-'


C O L O M B I A

BANCOLOMBIA: Completes 1st Issuance and Offering of Ordinary Notes
BANCOLOMBIA: Sells US$84.5MM Mortgage Loan to Titularizadora


E C U A D O R

* ECUADOR: No Need for OPEC to Cut Output, Minister Says


G U Y A N A

CL FINANCIAL: Clico (Guyana) Can Guarantee All Claims, Pres. Says


J A M A I C A

CITRUS GROWERS: To Give Decision on Gov't Demand Next Week
CLARENDON ALUMINA: Moody's Cuts Rating on $200 Mil. Notes to 'B2'
* Moody's Downgrades Ratings on Jamaica's Government Bond to 'B2'


M E X I C O

SERVICIOS FINANCIEROS: S&P Assigns 'BB-/B' Counterparty Rating
GRUPO SENDA: S&P Downgrades Corporate Credit Rating to 'B'


P U E R T O  R I C O

* PUERTO RICO: Gov't to Cut 30,000 Public Jobs


T R I N I D A D  &  T O B A G O

CL FINANCIAL: First Citizen Buyout of CMMB Delayed on Legal Issues


V E N E Z U E L A

PDVSA: To Proceed With Investment Projects, Energy Minister Says
* VENEZUELA: Seizes Cargill's Rice Plant, Says Polar is Next
* VENEZUELA: Mulls Reducing Budget for Oil-Service Contracts


V I R G I N  I S L A N D S

* VIRGIN ISLANDS: To Assist Stanford Financial's Former Employees


                         - - - - -


===============================
A N T I G U A  &  B A R B U D A
===============================

STANFORD INT'L BANK: U.S. Judge Extends Freeze Order to March 12
----------------------------------------------------------------
U.S. District Judge David Godbey has extended to March 12 his
freeze order on millions of dollars held in Stanford Group Co.
accounts at the urging of U.S. regulators investigating an alleged
$8 billion fraud, Bloomberg News reported.

The order, according to the report, gave the Securities and
Exchange Commission a partial victory in its bid to maintain the
freeze, previously set to expire March 2.

Judge Godbey scheduled a March 12 hearing to decide on the SEC's
request to make the temporary injunction permanent.

                           About SIBL

Domiciled in Antigua, Stanford International Bank Limited --
http://www.stanfordinternationalbank.com/-- is a member of
Stanford Private Wealth Management, a global financial services
network with US$51 billion in deposits and assets under management
or advisement. Stanford Private Wealth Management serves more
than 70,000 clients in 140 countries.

The U.S. Securities and Exchange Commission (SEC), on Feb. 17,
charged Robert Allen Stanford and three of his companies for
orchestrating a fraudulent, multi-billion dollar investment scheme
centering on an US$8 billion Certificate of Deposit program. The
SEC also charged SIBL chief financial officer James Davis as well
as Laura Pendergest- Holt, chief investment officer of Stanford
Financial Group (SFG), in the enforcement action.


STANFORD INT'L BANK: U.S. Investigators Locate $250-Mil. in Assets
------------------------------------------------------------------
Bloomberg reports that a Federal Bureau of Investigation agent
testified at the arraignment of Chief Investment Officer Laura
Pendergest-Holt in Houston federal court that U.S. investigators
have located as much as US$250 million in assets from the Stanford
Financial Group.

Ms. Pendergest-Holt was arrested Feb. 26 at the firm's Houston
headquarters on a charge of obstruction of justice in the
investigation of a US$8 billion Ponzi scheme by Stanford and its
officers. She was released on US$300,000 bail and didn't enter a
plea, the source adds.  Ms. Pendergest-Holt agreed and was ordered
to cease from disposing of her assets, including a US$2 million
residence, pending the outcome of the suit.

Laurel Brubaker Calkins of Bloomberg also pointed out that FBI
Special Agent Vanessa Walther testified during Ms. Pendergest-
Holt's appearance before U.S. Magistrate Judge Mary Milloy, that
the defendant signed over to a receiver an account at Credit
Suisse worth as much as US$160 million, and that the receiver for
Stanford has located an additional US$90 million.

                Pendergest-Holt Claims Innocence

Dan Cogdell, Ms. Pendergest-Holt's attorney, said his client is
innocent.  Mr. Cogdell said that Ms. Pendergest-Holt "is extremely
disappointed in the path the SEC and law enforcement are taking.
The lawyer noted that Ms. Pendergest-Holt has been cooperating for
weeks, yet she is now she is falsely charged for a crime she
didn't commit.

According to the federal criminal complaint, Ms. Pendergest-Holt
made "several" misrepresentations to the SEC while under oath to
obstruct its investigation.  In meetings with the Stanford
executives, Ms. Pendergest-Holt had presented a pie chart that
showed US$3 billion in assets in a third tier were invested in
real estate and another US$1.6 billion was a loan to a Stanford
shareholder, according to court papers.  "At no point did Ms.
Pendergest-Holt reveal that the US$1.6 billion loan had been
discussed with corporate officers in Miami," the government
alleged in court papers.  She also allegedly withheld the extent
of her knowledge about Stanford International's Tier III
portfolio, which the FBI said comprised 81 percent of its
investments, the report noted.

Paul Pelletier, principal deputy for litigation in the Justice
Department's criminal fraud section, asked Agent Walther at the
hearing how much of the US$6 billion in Tier III funds the
receiver has been able to locate so far.  Ms. Walther responded,
"The receiver has located approximately US$90 million, but that
doesn't include the potential US$160 million in Credit Suisse".

                           About SIBL

Domiciled in Antigua, Stanford International Bank Limited --
http://www.stanfordinternationalbank.com/-- is a member of
Stanford Private Wealth Management, a global financial services
network with US$51 billion in deposits and assets under management
or advisement. Stanford Private Wealth Management serves more
than 70,000 clients in 140 countries.

The U.S. Securities and Exchange Commission on Feb. 17, charged
Robert Allen Stanford and three of his companies for orchestrating
a fraudulent, multi-billion dollar investment scheme centering on
an US$8 billion Certificate of Deposit program. The SEC also
charged SIBL chief financial officer James Davis as well as Laura
Pendergest- Holt, chief investment officer of Stanford Financial
Group (SFG), in the enforcement action.


STANFORD INT'L BANK: Stanford Dev't Cuts More Jobs
--------------------------------------------------
Robert Allen Stanford's Stanford Development Company has
distributed additional pink slips to 94 workers on March 3,
making the total number of employee dismissals at 294,
CaribWorldNews reports.

The company cited “fiscal constraints" for the layoffs, the report
says.

The report recalls the company sent home 200 employees last month
stating global economic crisis as the reason for the job cut.

According to the report, the layoffs come as the government of
Antigua said it plans to take over the company as it has done with
other Stanford properties and assets.

As reported in the Troubled Company reporter-Latin America on
March 3, 2009, Reuters said Antigua and Barbuda's Senate approved
a government takeover of more than 250 acres land owned by  Mr.
Stanford before a US court-appointed receiver seizes it.

The government's move, the report related, aimed to "protect the
national economy" following US fraud charges filed against Mr.
Stanford.

The government, according to Reuters, explained that the
appointment by a Texas court of a US receiver to seize Mr.
Stanford assets "threatens the financial viability of the once
Stanford Group-owned Bank of Antigua, the prompt payment by the
Stanford Group of Companies of the massive outstanding debt to
local suppliers and the continued employment of over eight hundred
employees at a time of global financial crisis."

The U.S. Securities and Exchange Commission, on Feb. 17, charged
Mr. Stanford and three of his companies for orchestrating a
fraudulent, multi-billion dollar investment scheme centering on an
US$8 billion Certificate of Deposit program.  Mr. Stanford's
companies include Stanford International Bank Limited, Stanford
Group Company, and investment adviser Stanford Capital Management.

                            About SIBL

Domiciled in Antigua, Stanford International Bank Limited --
http://www.stanfordinternationalbank.com/-- is a member of
Stanford Private Wealth Management, a global financial services
network with US$51 billion in deposits and assets under management
or advisement.  Stanford Private Wealth Management serves more
than 70,000 clients in 140 countries.



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

DONATO DE NICOLA: Verifying Proofs of Claim Until April 20
----------------------------------------------------------
The court-appointed trustee for Donato de Nicola e Hijos S.R.L.'s
reorganization proceedings will be verifying creditors' proofs of
claim until April 20, 2009.

The trustee will present the validated claims in court as
individual reports on June 2, 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.

Inadmissible claims may be subject to appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of the company's
accounting and banking records will be submitted in court on
August 12, 2009.

Creditors will vote to ratify the completed settlement plan
during the assembly on November 3, 2009.
      

SALTA HYDROCARBON: S&P Affirms 'B' Rating on US$234 Mil. Notes
--------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B' rating on
Salta Hydrocarbon Royalty Trust's (the program) US$234 million
11.55% targeted amortization notes due 2015 and removed the rating
from CreditWatch with negative implications, where it was placed
March 27, 2008.

The rating was removed from CreditWatch negative following
indications from the provincial government officials of the
Argentine Province of Salta that they will not pursue a proposed
refinancing of the amortization notes, given current market
conditions.  S&P placed the transaction on CreditWatch negative
after the government officials issued the proposition.  S&P
affirmed the 'B' rating based on the underlying assets'
satisfactory performance.

The transaction has continued to make timely interest payments,
and the current outstanding principal amount matches the
amortization schedule, despite the pesification of the underlying
assets in 2001.  The outstanding note balance was
US$140.29 million as of December 2008.

Salta issued the program in 2001 in order to refinance its short-
term debt.  The program is a securitization of 80% of all future
royalty payments payable to Salta from a group of 17 private
companies operating long-term oil and gas concessions on specified
hydrocarbon fields in the province.  The transaction benefits from
overcollateralization, an insurance policy provided by ACE Bermuda
Ltd. that protects the issuer from the risk that the Argentine
government may impose exchange controls that could interfere with
the program's ability to transfer or convert currency as needed
for interest payments, and a liquidity reserve fund equal to the
next two interest debt service payments.

S&P will continue to monitor the program to determine if the
underlying asset's performance level remains sufficient to support
the assigned rating and take rating actions as appropriate.


MULTIFER SA: Verifying Proofs of Claim Until May 4
--------------------------------------------------
The court-appointed trustee for Multifer S.A.'s reorganization
proceedings will be verifying creditors' proofs of claim until
May 4, 2009.

The trustee will present the validated claims in court as
individual reports on June 16, 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.

Inadmissible claims may be subject to appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of the company's
accounting and banking records will be submitted in court on
August 12, 2009.

Creditors will vote to ratify the completed settlement plan
during the assembly on February 10, 2010.


NUESTRA PAMPA: Verifying Proofs of Claim Until May 19
-----------------------------------------------------
The court-appointed trustee for Nuestra Pampa S.A.'s
reorganization proceedings will be verifying creditors' proofs of
claim until May 19, 2009.

The trustee will present the validated claims in court as
individual reports on July 8, 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.

Inadmissible claims may be subject to appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of the company's
accounting and banking records will be submitted in court on
September 14, 2009.

Creditors will vote to ratify the completed settlement plan
during the assembly on March 8, 2010.


TELECOM ARGENTINA: To Hold FY 2008 Earnings Webcast on March 9
--------------------------------------------------------------
Telecom Argentina SA will hold its fourth quarter and fiscal year
2008 earnings conference call on Monday, March 9, 2009 at 10:00 AM
Eastern.

For information, log on to http://www.videonewswire.com/event.asp?
id=56416 or contact:

   Solange Barthe
   (54 11) 4968 3752
   sbarthe@ta.telecom.com.ar

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 in the Troubled Company reporter-Latin America on
Feb. 16, 2009, Standard & Poor's Ratings Services lowered or
affirmed the global scale ratings on 15 Argentine entities.  Some
of these ratings were removed from CreditWatch, where they were
placed with negative implications on Nov. 5, 2008.  The outlook on
all ratings is stable.




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

CITIGROUP INC: Banco Itau Denies Talks to Buy Firm's Mexican Unit
-----------------------------------------------------------------
Banco Itau Holding Financeira S.A. denied rumors that it is in
talks to buy Citigroup Inc.’s Grupo Financiero Banamex SA,
Bloomberg News reports.

Itau “is not negotiating any stake in Banamex’s capital,” Itau
said in a statement obtained by the news agency.

Reports of an Itau purchase of Banamex are “speculation without
substance,” Banamex spokesman Paulo Carreno wrote in an e-mail,
the report relates.  “Banamex is an essential part of Citi.”

As reported in the Troubled Company Reporter on Feb. 18, 2009,
The Wall Street Journal, citing people familiar with the matter,
said Citigroup executives have considered selling Mexican Banamex.

The Journal's sources said that Citigroup is considering which
pieces of the firm could be sold to generate cash if needed.  The
Journal reported that Citigroup has posted US$28.55 billion in net
losses in the past five quarters, and the U.S. government has kept
urging the company to keep shrinking.  The Journal stated that if
Citigroup's financial position continues to deteriorate, it could
sell Banamex.  According to the Journal, Citigroup hasn't
officially started exploring a sale of Banamex and said that the
Mexican company has a bright future as part of a slimmed-down
Citigroup.

                        About Banco Itau

Banco Itau Holding Financeira S.A. -- http://www.itau.com.br/--
is a private bank in Brazil.  The company has four principal
operations: banking -- including retail banking through its
wholly owned subsidiary, Banco Itau SA(Itau), corporate banking
through its wholly owned subsidiary, Banco Itau BBA SA (Itau
BBA) and consumer credit to non-account hold customers through
Itaucred -- credit cards, asset management and insurance,
private retirement plans and capitalization plans, a type of
savings plan.  Itau Holding provides a variety of credit and
non-credit products and services directed towards individuals,
small and middle market companies and large corporations.  The
bank has offices in Miami, New York, Hongkong, Lisbon,
Luxembourg, Bahamas, the Cayman Islands, Chile and Uruguay.

As of Feb. 23, 2009, the company continues to carry Fitch's C
individual rating.

                         About Citigroup

Based in New York, Citigroup (NYSE: C) -- http://www.citigroup.com
-- is organized into four major segments -- Consumer Banking,
Global Cards, Institutional Clients Group, and Global Wealth
Management.  Citi had US$2.0 trillion in total assets on $1.9
trillion in total liabilities as of Sept. 30, 2008.

As reported in the Troubled Company Reporter on Nov. 25, 2008, the
U.S. government entered into an agreement with Citigroup to
provide a package of guarantees, liquidity access, and capital.
As part of the agreement, the U.S. Treasury and the Federal
Deposit Insurance Corporation will provide protection against the
possibility of unusually large losses on an asset pool of
approximately US$306 billion of loans and securities backed by
residential and commercial real estate and other such assets,
which will remain on Citigroup's balance sheet.  As a fee for this
arrangement, Citigroup will issue preferred shares to the Treasury
and FDIC.  In addition and if necessary, the Federal Reserve will
backstop residual risk in the asset pool through a non-recourse
loan.


BRASKEM SA: Posts R$2.1 Million Net Loss in Fourth Quarter 2008
---------------------------------------------------------------
Braskem S.A. posted a net loss of R$2.1 million in the fourth
quarter 2008, caused by the 22.1% devaluation in the Brazilian
real against the U.S. dollar on Braskem's net exposure to the
dollar, mainly derived from its indebtedness.  It had a negative
impact of R$1.9 billion on the company's financial result in 4Q08.

The positive impact from the US dollar appreciation on operations
amounted to R$ 538 million in the same period.

The company's net revenue in 4Q08 was R$4.1 billion.  The decline
of 18% in net revenue versus 3Q08 reflects the contraction in
demand due to the destocking trend in the petrochemical chain and
the lower prices for basic petrochemicals.

On December 17, 2008, the company's Board of Directors approved
the investment of R$488 million to build the Green PE plant at the
Triunfo Petrochemical Complex.  The company received in January
the environmental license to install the facility.  Construction
of the unit is in progress and Braskem reserved the facility's
strategic equipment.

                        About Braskem S.A.

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

                          *     *     *

As reported by the Troubled Company Teporter-Latin America on
Jan. 23, 2009, Fitch Ratings affirmed Braskem S.A.'s ratings:

  -- 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)'.


BNDES: Approves BRL950 Million Extra Credit to Alcoa Aluminio
-------------------------------------------------------------
The Brazilian National Development Bank (“BNDES”) has approved a
BRL950 million (US$400 million) supplementary credit to Alcoa
Aluminio, a unit of Alcoa Inc, for the expansion of bauxite and
alumina production at Alcoa Aluminio's sites, John Kolodziejski of
Dow Jones Newswires reports.  The bank, the report relates, said
the credit is additional to the BRL9.7 billion total investment by
the company.

According to the report, about BRL750 million of the additional
finance will be used in industrial and logistical infrastructure
such as a port, railroad and highway, to exploit a bauxite mine at
Juruti, Para State.

DJ Newswires notes the other BRL200 million will be used on the
second refining unit at Consorcio Alumar, in which Alcoa Aluminio
has a stake.

                          About BNDES

Banco Nacional de Desenvolvimento Economico e Social SA is
Brazil's national development bank.  It provides financing for
projects within Brazil and plays a major role in the
privatization programs undertaken by the federal government.

                          *     *     *

As of February 19, 2009, Banco Nacional continues to carry a Ba2
foreign long-term bank deposit rating from Moody's Investors
Service.  The rating was assigned in August 2007.


USIMINAS: To Halt Blast Furnace Plant for 90 Days to Cut Costs
--------------------------------------------------------------
Usinas Siderurgicas de Minas Gerais SA (Usinimas) plans to halt a
blast furnace at a plant in Cubatao, Brazil, for 90 days to cut
costs, Jessica Brice of Bloomberg News reports.

The company, the report relates, said the stoppage will reduce
pig-iron output by 270,000 metric tons, equal to 6% of the plant’s
annual capacity.

Headquartered in Minas Gerais, Brazil, Usinas Siderurgicas do
Minas Gerais S.A. aka Usiminas -- http://www.usiminas.com.br-- is
principally engaged in the steel industry.  The company has a
production capacity of 4.7 million tons of crude steel per annum.
The company produces non-coated steel (including slabs, heavy
plates, hot- and cold-rolled sheets and coils) and galvanized
sheets and coils.  The company provides its products to the
automotive, piping, building and electrical/electronic and
agricultural and road machinery industries.  In addition to its
core business operations, it is also involved in the
commercialization, import and export of raw materials, steel
products and by-products; the provision of project development and
research services; the provision of personnel training services,
and the provision of mining, transportation, construction and
technical assistance services.  The company's products are sold in
Brazil, as well as exported to other Latin American countries, the
United States, China and South Korea, among others.

                          *     *     *

As of February 20, 2009, the company continues to carry Moody's
Ba1 Suboridate Debt rating.



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

AIG-MEZZVEST: Placed Under Voluntary Wind-Up
--------------------------------------------
On November 20, 2008, the sole shareholder of AIG-Mezzvest
Partners, Ltd. resolved to voluntarily wind up the company's
operations.

Only creditors who were able to file their proofs of debt by
February 9, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Ogier
          c/o Khatidja McLean
          Queensgate House, South Church Street
          PO Box 1234, Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 815 1760
          Facsimile: (345) 949 1986


AKIHABARA EKIMAE: Enters Wind-Up Proceedings
--------------------------------------------
On January 5, 2009, the shareholder of Akihabara Ekimae Holdings
Inc. resolved to voluntarily wind up the company's operations.

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


AJAX RE: S&P Puts 'CC' Credit Rating on Negative CreditWatch
------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
its 'CC' credit rating on Ajax Re Ltd.'s class A principal-at-risk
series I notes due to an anticipated imminent interest payment
default.

On Sept. 30, 2008, S&P lowered its rating on the notes to 'CC'
because of their unhedged exposure to the assets in the collateral
account.  At that time, S&P indicated that S&P believed that
scheduled payments were at risk.

The scheduled payment date is March 16.  Under the transaction
documents, a default is triggered five business days after the
missed interest payment.

S&P has placed the rating on CreditWatch negative because the
issuer has notified us that it will not have sufficient funds
available in the collateral payment account to make the scheduled
interest payment.  S&P anticipates the transaction will default
and S&P will lower the rating to 'D'.

The expected default will stem from the basis risk between the
assets in the collateral account and the rated notes.  The
interest rate on the notes is based on the three-month U.S. dollar
LIBOR, which reset on Dec. 16, 2008, while the interest on the
assets in the collateral account is linked to one-month U.S.
dollar LIBOR.  Due to the spread mismatch, the assets are not
generating enough cash to cover the scheduled interest payment.


AXA FRAMLINGTON: Placed Under Voluntary Wind-Up
-----------------------------------------------
On December 16, 2008, the shareholder of AXA Framlington Absolute
Return UK Smaller Companies Limited resolved to voluntarily wind
up the company's operations.

Only creditors who were able to file their proofs of debt by
February 19, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          John Sutlic
          c/o Kim Charaman
          Close Brothers (Cayman) Limited
          Harbour Place, Fourth Floor
          P.O. Box 1034, Grand Cayman KY1-1102
          Telephone: (345) 949 8455
          Facsimile: (345) 949 8499


BATTERY PARK ET AL: Placed Under Voluntary Wind-Up
--------------------------------------------------
On December 29, 2008, the shareholder resolved to voluntarily wind
up the operations of:

   -- Battery Park Distressed Opportunity Offshore Fund, Ltd.; and
   -- Battery Park Distressed Opportunity Master Fund, Ltd.

Only creditors who were able to file their proofs of debt by
February 19, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

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


BODRI CAPITAL: Enters Wind-Up Proceedings
-----------------------------------------
On December 17, 2008, the shareholder of Bodri Capital Offshore
Fund Ltd. resolved to voluntarily wind up the company's
operations.

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


BOFA AF: Enters Wind-Up Proceedings
-----------------------------------
On January 6, 2009, the shareholder of Bofa AF Holding Limited
resolved to voluntarily wind up the company's operations.

Only creditors who were able to file their proofs of debt by
February 10, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          David A.K. Walker
          c/o Julia Yates
          PO Box 258, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8605
          Facsimile: (345) 945 4237


CG HOLDINGS: Enters Wind-Up Proceedings
---------------------------------------
On December 31, 2008, the shareholder of CG Holdings Ltd. resolved
to voluntarily wind up the company's operations.

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


CHINA CASTLE: Enters Wind-Up Proceedings
----------------------------------------
On January 6, 2009, the shareholder of China Castle Fund resolved
to voluntarily wind up the company's operations.

Only creditors who were able to file their proofs of debt by
February 20, 2009, will be included in the company's dividend
distribution.

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


DSI JAPANESE: Enters Wind-Up Proceedings
----------------------------------------
On December 30, 2008, the shareholder of DSI Japanese Equity Long/
Short Master Limited resolved to voluntarily wind up the company's
operations.

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


DSI US: Enters Wind-Up Proceedings
----------------------------------
On December 30, 2008, the shareholder of DSI US Equity Long/Short
Master Limited resolved to voluntarily wind up the company's
operations.

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


FIRSTRAND SECURITIZATION: Enters Wind-Up Proceedings
----------------------------------------------------
On January 7, 2009, the shareholders of Firstrand Securitization
Corporation resolved to voluntarily wind up the company's
operations.

Only creditors who were able to file their proofs of debt by
February 19, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Piccadilly Cayman Limited
          c/o Ellen J. Christian
          c/o BNP Paribas Bank & Trust Cayman Limited
          PO Box 10632, 3rd Floor Royal Bank House
          Shedden Road, George Town
          Grand Cayman KY1-1006, Cayman Islands
          Telephone: 345 945 9208
          Fax: 345 945 9210


LITCHFIELD LIQUIDFUNDS: Enters Wind-Up Proceedings
--------------------------------------------------
On December 31, 2008, the shareholder of Litchfield Liquidfunds
Capital Management, Ltd. resolved to voluntarily wind up the
company's operations.

Only creditors who were able to file their proofs of debt by
February 16, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Reid Services Limited
          Clifton House, 75 Fort Street
          PO Box 1350, Grand Cayman KY1-1108
          Cayman Islands


LONGWALL OPPORTUNITIES ET AL: Placed Under Voluntary Wind-Up
------------------------------------------------------------
On December 31, 2008, the shareholder resolved to voluntarily wind
up the operations of:

   -- Longwall Opportunities Master Fund Ltd; and
   -- Longwall Opportunities Fund Ltd.

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



MARQUEE CINEMA: Ends Operations After Thirty-Seven Years
--------------------------------------------------------
Marquee Cinema, which is operated by Palace Amusements, has closed
its doors after operating since 1972, succumbing to competition,
Tad Stoner of CaymanNetNews reports.

According to the report, Joe Imparato, chairman of Sunshine Land,
which owns the shopping centre and licensed Palace Amusement, said
that competition from Dart put Marquee Cinema out of business.
“It was a combination, really, of the economy and then Dart that
put us in decline.  There just isn’t enough support for two
cinemas,” Mr. Imparato was quoted by the news agency as saying.

Kingston-based Palace Amusements owner Douglas Graham, the report
relates, said: “The audiences fell below our break-even point.  It
had been losing money and we had been subsidizing it, but finally
we elected not to renew the licence.”

CaymanNetNews notes Palace Amusements, which holds distribution
rights for first-run theatrical product in the Cayman Islands,
will nonetheless continue to supply Camana Bay’s Hollywood
Theatres.  “Yes, we will continue to distribute,” Mr. Graham told
Cayman Net News in ana inteview.  “There was little reason to
suspend the arrangement because of the theatre’s closure.”


MEZZVEST MANAGER: Placed Under Voluntary Wind-Up
------------------------------------------------
On November 20, 2008, the shareholders of Mezzvest Manager, Ltd.
resolved to voluntarily wind up the company's operations.

Only creditors who were able to file their proofs of debt by
February 9, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Ogier
          c/o Khatidja McLean
          Queensgate House, South Church Street
          PO Box 1234, Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 815 1760
          Facsimile: (345) 949 1986


MOSAIC EUROPE: Enters Wind-Up Proceedings
-----------------------------------------
On December 23, 2008, the shareholder of Mosaic Europe Master Fund
resolved to voluntarily wind up the company's operations.

Only creditors who were able to file their proofs of debt by
February 19, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

         Rex Rankine
         Corporate Plaza, 1st Floor
         4 Howard Street, PO Box 30349
         George Town, Grand Cayman KY1-1202
         Tel: 1-345-946-0754
         Fax: 1-345-946-0751


PACIFIC MADRONE: Enters Wind-Up Proceedings
-------------------------------------------
On January 2, 2009, the shareholder of Pacific Madrone Broadleaf
Fund (Cayman), Ltd resolved to voluntarily wind up the company's
operations.

Only creditors who were able to file their proofs of debt by
February 19, 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


Q-BLK CONCENTRATED: Creditors' Proofs of Debt Due on March 31
-------------------------------------------------------------
The creditors of Q-BLK Concentrated Holdings, Ltd. are required to
file their proofs of debt by March 31, 2009, to be included in the
company's dividend distribution.

The company's liquidator is:

          Jane Fleming
          Queensgate Bank & Trust Company Ltd
          PO Box 30464
          Harbour Place, Grand Cayman, KY1-1202
          Tel: 345 945 2187
          Fax: 345 945 2197


SEEF HOLDINGS: Enters Wind-Up Proceedings
-----------------------------------------
On December 31, 2008, the shareholder of SEEF Holdings Ltd
resolved to voluntarily wind up the company's operations.

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


SGS SYNDICATED: Enters Wind-Up Proceedings
------------------------------------------
On January 5, 2009, the shareholder of SGS Syndicated Loan Fund I
Ltd. resolved to voluntarily wind up the company's operations.

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


WORLD WIDE: Placed Under Voluntary Wind-Up
------------------------------------------
On November 20, 2008, the shareholders of World Wide Mezzanine
Investors, Ltd. resolved to voluntarily wind up the company's
operations.

Only creditors who were able to file their proofs of debt by
February 9, 2009, will be included in the company's dividend
distribution.

The company's liquidator is:

          Ogier
          c/o Khatidja McLean
          Queensgate House, South Church Street
          PO Box 1234, Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 815 1760
          Facsimile: (345) 949 1986



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

EMPRESAS IANSA: S&P Downgrades Corporate Credit Rating to 'B-'
--------------------------------------------------------------
On March 4, 2009, Standard & Poor's Ratings Services lowered its
corporate credit rating on Chilean sugar producer Empresas Iansa
S.A. to 'B-' from 'BB-' and placed it on CreditWatch with negative
implications.

The three-notch downgrade reflects the substantial deterioration
of the company's liquidity, financial flexibility, and operational
performance, on weakening conditions in its core sugar business
and increased working capital requirements in its juice business.
As a result, EBITDA and cash flow generation were significantly
below expectations and did not allow the company to reduce debt
from seasonal peaks as in prior years.  Also, in 2008, debt
peaked at higher-than-historical levels, leading to the breach of
certain covenants included in the financing agreements of one of
the company's main subsidiaries.

While there have been some recent favorable developments in the
company's business and its medium-term prospects are more
auspicious, S&P sees credit quality under pressure in the short
term, mainly due to liquidity and financial flexibility factors.
As a result, S&P has placed the ratings on CreditWatch with
negative implications because S&P expects the company to find it
hard to balance its liquidity position and enhance its financial
flexibility.  S&P considers both of these as key credit factors
for withstanding the weak industry conditions and managing working
capital requirements.  S&P could lower the ratings if the company
is not able to get creditors to waive the covenants breached by
one of its subsidiaries.  Rating stability would require IANSA to
significantly improve operational performance to improve EBITDA
generation and net debt position.  This is crucial for the
company's financial flexibility, which is currently restricted by
the debt limits established in the terms and conditions of the
rated notes and by the company's ability to reduce overall
leverage, which S&P considers incompatible with its cash
generation at the current rating level. S&P expects to resolve
this CreditWatch in the next 90 days.

The ratings on IANSA reflect a very weak financial profile with
very narrow financial flexibility and liquidity.  The ratings also
incorporate IANSA's leading position as the country's only sugar
producer, providing about 77% of the sugar consumed in the
domestic market.

S&P expects the operating environment for the company's core sugar
division to remain difficult.  This should continue hurting the
company's profitability and cash flow generation.  The key
pressure on the sugar division is the cost increase on its main
raw material, sugar beets.  These cost increases arise from a
shortage of sugar beet production following farmers' switch to
more-profitable crops such as wheat and corn. IANSA depends on
independent farmers because it owns a very small amount of land,
and this causes it to pay higher prices for its purchases.  Crop
substitution also raises sugar imports, reducing IANSA's overall
profitability.  Although S&P expects this situation to moderate or
even revert in 2009, S&P is still concerned about future beet
prices and IANSA's ability to lower its production costs.

S&P considers IANSA's financial profile as highly leveraged.  The
company has seen its cash flow generation ability deteriorate
significantly.  Its liquidity position is current very weak and
its debt historically high.  In fiscal 2008, funds from operations
to debt and EBITDA interest coverage fell to 1.6% and 1.4x,
respectively, from 30.0% and 4.0x in fiscal 2007.  Furthermore,
debt to capital and debt to EBITDA reached 35.4% and 12.7x,
compared with 21.0% and 3.1x as of December 2007.  Although an
improvement in business conditions might help strengthen these
metrics, S&P does not expect significant improvements in the
financial profile during 2009, which also emphasizes the
importance of IANSA's weak liquidity in the short term.  In the
context of this financial profile, medium-term prospects for the
business rank second to the short-term factors.

IANSA reduced some of its working capital needs during fourth-
quarter 2008, which allowed it to reduce overall indebtedness,
but the company's debt significantly exceeds S&P's expectations.
As of December 2008, IANSA had $172 million in debt, including
almost $90 million of its rated 144A bullet notes that mature in
2012.  Although higher than S&P's expectations, this compares
favorably with $196 million as of September 2008.

IANSA is one of the largest agribusinesses in Chile.  Sugar is the
company's core business, accounting for 51% of revenues, in 2008.
IANSA also provides fruit juices (18% of revenues); sugar-related
animal feed products, mainly for cattle (14% of revenues); and raw
materials and technical assistance to farmers (14% of revenues).

                            Liquidity

IANSA's liquidity position is very weak.  As of December 2008, the
company's cash holdings were $39 million and its short-term debt
was $85 million.  The breach of some covenants on a subsidiary's
bank financing and the limitations on incurring additional debt
established by the terms and conditions of the rated notes
aggravate the situation.

S&P sees the company's liquidity position and financial
flexibility as important considerations in future rating actions,
especially because S&P expects IANSA to generate minimal free cash
flow for at least the next two years.  S&P recognizes the sizable
inventories and receivables the company had as of year-end 2008,
which could somewhat alleviate the liquidity crunch.  However,
IANSA's liquidity position remains very weak at least in the short
term, particularly considering the current conditions in the
credit markets.

                           Ratings List

                    Downgraded; On CreditWatch

                        Empresas Iansa S.A.

                               To                 From
                               --                 ----
Corporate Credit Rating        B-/Watch Neg/--    BB-/Negative/--

                Empresas Iansa S.A., Agencia Panama

                                         To                From
                                         --                ----
  Senior Unsecured (1 issue)             B-/Watch Neg       BB-


EMPRESAS IANSA: S&P Cuts Corp. Credit Rating to 'B-' from 'BB-'
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its
corporate credit rating on Chilean sugar producer Empresas Iansa
S.A. to 'B-' from 'BB-' and placed it on CreditWatch with negative
implications.

"The three-notch downgrade reflects the substantial deterioration
of the company's liquidity, financial flexibility, and operational
performance, on weakening conditions in its core sugar business
and increased working capital requirements in its juice business,"
said Standard & Poor's credit analyst Diego Ocampo.  "As a result,
EBITDA and cash flow generation were significantly below
expectations and did not allow the company to reduce debt from
seasonal peaks as in prior years."

Also, in 2008, debt peaked at higher-than-historical levels,
leading to the breach of certain covenants included in the
financing agreements of one of the company's main subsidiaries.

While there have been some recent favorable developments in the
company's business and its medium-term prospects are more
auspicious, S&P sees credit quality under pressure in the short
term, mainly due to liquidity and financial flexibility factors.
As a result, S&P has placed the ratings on CreditWatch with
negative implications because S&P expects the company to find
it hard to balance its liquidity position and enhance its
financial flexibility.  S&P considers both of these as key credit
factors for withstanding the weak industry conditions and managing
working capital requirements.

S&P could lower the ratings if the company cannot get creditors to
waive the covenants breached by one of its subsidiaries.  Rating
stability would require IANSA to significantly improve operational
performance to improve its profitability and net debt position.




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

BANCOLOMBIA: Completes 1st Issuance and Offering of Ordinary Notes
------------------------------------------------------------------
Bancolombia SA has completed the first issuance and offering of
Bonos Ordinarios Subordinados Bancolombia (Subordinated Ordinary
Notes) for an aggregate principal amount of four hundred billion
pesos (Ps.400Billion).

The issuance and offering is the first of multiple and successive
issuances of Subordinated Ordinary Notes which are limited up to
an aggregate principal amount of one trillion Colombian pesos (Ps.
$1 Trillion).

Bancolombia offered the Subordinated Ordinary Notes with an
aggregate principal amount of three hundred billion pesos (Ps.300
billion) and up to four hundred billion pesos (Ps. 400 billion) if
the over-allotment option was exercised.  The over-allotment
option was fully exercised.

The subscription for the offering was for Ps. 575,407,000,000
equivalent to 1.9 times the size of the offering.

The Subordinated Ordinary Notes were issued in registered form ("a
la orden") and negotiable in the secondary market and have the
following terms:

                                             Aggregate
                                             Principal Amount
   Series   Maturity   Coupon Rate           (Ps. Million)
   ------   --------   -----------           ----------------
    A10     10 years   10.70 % E.A.          65,100
    B10     10 years   IPC* + 6.45 % E.A.    125,900
    B15     15 years   IPC* + 6.90 % E.A.    209,000

The entire proceeds from the offering will be used for general
corporate purposes of Bancolombia, including all the business and
operational transactions available to banking institutions in
accordance with the terms and requirements established by
applicable law.

The lead coordinator and lead book-running manager for the
transaction was Banca de Inversion Bancolombia S.A. Corporacion
Financiera.  Valores Bancolombia S.A. also participated in the
transaction as book-running manager.

                      About Bancolombia S.A.

Bancolombia S.A. is Colombia's largest full-service financial
institution, formed by a merger of three leading Colombian
financial institutions.  Bancolombia's market capitalization is
over US$5.5 billion, with US$13.8 billion asset base and
US$1.4 billion in shareholders' equity as of Sept. 30, 2006.
Bancolombia is the only Colombian company with an ADR level III
program in the New York Stock Exchange.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 23, 2008, Moody's Investors Service upgraded Bancolombia SA's
Foreign currency deposits rating to Ba2, stable from Ba3
and Foreign currency subordinated debt rating to Baa3, stable from
Ba1.


BANCOLOMBIA: Sells US$84.5MM Mortgage Loan to Titularizadora
------------------------------------------------------------
Bancolombia S.A. sold mortgage loans in Pesos to Titularizadora
Colombiana S.A.amounting to approximately Ps. 218.8 billion
( about US$84.5 million).  The mortgage loans will be secured by
Titularizadora through the issuance of mortgage-backed securities.

The purpose of the transaction is to continue the transfer of
Bancolombia's mortgage loans to the capital markets.

Bancolombia S.A. is Colombia's largest full-service financial
institution, formed by a merger of three leading Colombian
financial institutions.  Bancolombia's market capitalization is
over US$5.5 billion, with US$13.8 billion asset base and
US$1.4 billion in shareholders' equity as of Sept. 30, 2006.
Bancolombia is the only Colombian company with an ADR level III
program in the New York Stock Exchange.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 23, 2008, Moody's Investors Service upgraded Bancolombia SA's
Foreign currency deposits rating to Ba2, stable from Ba3
and Foreign currency subordinated debt rating to Baa3, stable from
Ba1.


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

* ECUADOR: No Need for OPEC to Cut Output, Minister Says
--------------------------------------------------------
Ecuador sees no need for OPEC to cut oil output during its next
meeting on March 15, Alexandra Valencia of Reuters reports, citing
Oil Minister Derlis Palacios.

As reported in the Troubled Company Reporter - Latin America on
Dec. 30, 2008, Latin America Herald Times said Ecuadorian
President Rafael Correa confirmed the government will reduce
the volume produced by a number of foreign companies operating in
Ecuador to comply with the cut in oil production ordered by OPEC.

"It's not just Petroecuador that has to reduce production but
private firms as well - which are also losing us money," the
Times quoted President Correa as saying.  OPEC has called for a
cutback of 22 million barrels per day of oil for members of the
cartel, of which Ecuador's share is 40,000 bpd, he said.

Mr. Palacios, as cited by Reuters, said Petroecuador had cut the
the country's production by 10,000 barrels per day to comply with
the cartel's decision to reduce world supply to lift oil prices.
Another 8,000 bpd in state production will follow, he added.

According to Reuters, Ecuador will negotiate with foreign oil
companies to decide on the rest of the cuts.



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

CL FINANCIAL: Clico (Guyana) Can Guarantee All Claims, Pres. Says
-----------------------------------------------------------------
Colonial Life Insurance Company (CLICO) Guyana, a unit of CL
Financial Limited, is encouraging policyholders to continue paying
their premiums, Oscar Ramjeet of Caribbean Net News reports.
Guyana President Bharrat Jagdeo, the report relates, has assured
policy holders that the company can guarantee all claims.

"So persons are to continue paying premiums regardless of what
they are seeing.  Even the cheques that are in limbo and many
people who have received these cheques are waiting, just give us a
few days more to go through that issue.  But know that the money
will not be lost," the report quoted President Jagdeo as saying.

According to the report, some agents and brokers met with
Commissioner of Insurance Maria van Beek raising their concerns
that two weeks ago they were given all assurances from CLICO
(Guyana) and now those brokers feel deceived.

"In Guyana, people are not going to lose their money.  We had no
intention to deceive and now that they have sold policies to
people the government has taken different steps from the Bahamas,"
President Jagdeo said, the report notes.

                       About CL Financial

According to Wikipedia, CL Financial Limited is the largest
privately held conglomerate in Trinidad and Tobago and one of the
largest privately held corporations in the entire Caribbean.
Founded as an insurance company, Colonial Life Insurance Company
(CLICO) by Cyril Duprey, it was expanded into a diversified
company by his nephew, Lawrence Duprey.  CL Financial is now one
of the largest local conglomerates in the region, encompassing
over 65 companies in 32 countries worldwide with total assets
standing at roughly US$100 billion.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 20, 2009, the Trinidad and Tobago Express said Central Bank
Governor Ewart Williams disclosed that an examination of insurance
company CLICO, dissolved finance house CLICO Investment Bank and
other CL Financial companies, showed a deficit between $6 billion
and $8 billion.

Tobago President George Maxwell Richards, The Express related,
signed bailout bills for CL Financial, giving the government the
authority to control the company's unit, Colonial Life Insurance
Company, and giving the central bank extensive powers to treat
with CL Financial's collapse and the consequent systemic crisis.

According to the Trinidad and Tobago Newsday, the government used
$1 billion of taxpayers money to help protect depositors and
policyholders.

T&T Newsday related Governor Williams pleaded with policy holders
not to withdraw money from Clico, amid the unit's increasing $10
billion debt.



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


CITRUS GROWERS: To Give Decision on Gov't Demand Next Week
----------------------------------------------------------
The Citrus Growers Association (“CGA”) will give its decision on
March 17, whether to agree on the government's short-term bailout
conditions, The Jamaica Observer reports.

Dr. Tufton, the report relates, said CGA was asked to agree to:

  -- restructure the organization;

  -- accept a ministry proposal to engage an equity partner; and

  -- the appointment of an interim financial controller by the
     ministry or the Development Bank of Jamaica to manage the
     funds and the establishment of a team with representatives
     from the association.  The ministry and the DBJ will outline
     the terms of reference for the equity  partnership.

As reported in the Troubled Company Reporter-Latin America on
Feb. 27, 2009, Radio Jamaica News said the Government plans to to
inject around $100 million bail-out fund to CGA and its
subsidiary, Jamaica Citrus Growers Limited, which are on the verge
of bankruptcy.

According to Radio Jamaica, the Cabinet approved a financing plan
to keep the association afloat but not without strict conditions.

Minister of Agriculture and Lands Dr. Christopher Tufton, The
Jamaica Observer related, requested a management audit into
the operations of the companies before considering their request
for a $70 million loan.  Dr. Tufton's decision, the same report
said, followed complaints from citrus farmers about a $14 million
debt owed to them by CGA from last June, and the agricultural
ministry's confirmation that CGA also owed them over $50 million.

In the meantime, Dr. Tufton, as cited by the Observer, said the
agriculture ministry has proposed that CGA takes on an equity
partner to help finance modernisation of its operations and
provide working capital and proper management.  The agriculture
minister said the modernisation process is estimated at J$793
million, the report relates.

                       About Jamaica Citrus

The Jamaica Citrus Growers Limited, a limited liability company
since 1949, is engaged in the business of processing, packing and
marketing of citrus and dairy products as well as chilled
beverages under the Dairy Farmers and Juciful brand names.  It is
a subsidiary of Citrus Growers Association Limited (CGA).


CLARENDON ALUMINA: Moody's Cuts Rating on $200 Mil. Notes to 'B2'
-----------------------------------------------------------------
Moody's Investors Service downgraded the rating of Clarendon
Alumina Production's $200 million of 8.5% senior unsecured notes
due 2021 to B2 from Ba2 consistent with the March 4, 2009
downgrade of the local currency bond rating of the Government of
Jamaica.  Similarly, consistent with the outlook on Jamaica's
local currency rating, the outlook on the notes is stable.  The
rating actions conclude the review for possible downgrade
initiated on November 5, 2008.

The ratings of CAP's $200 million of senior unsecured notes is a
function of Moody's rating methodology for government-related
issuers.  In accordance with Moody's GRI rating methodology, CAP's
B2 foreign currency debt rating reflects the combination of these
inputs: baseline credit assessment of 20 (on a scale of 1 to 21
where 1 represents the lowest credit risk); the B2 local currency
bond rating of the Government of Jamaica; high dependence; and
high government support.  The high support factor considers the
unconditional and irrevocable guarantee provided by the GOJ and
that the government in recent years has provided funds to enable
CAP to meet various obligations.  The high dependence factor
reflects CAP's need for funds from the government on an ongoing
basis, the challenges it would face operating independently
without that funding, and the level of correlation of default risk
between CAP's $200 million of senior unsecured notes and the
Government of Jamaica.

The ratings on CAP's senior unsecured notes no longer pierce the
country ceiling for foreign currency debt.

On a standalone basis, Moody's lowered CAP's baseline credit
assessment to 20 from 18 to reflect Moody's view that the adequacy
of financial information is insufficient to maintain a standalone
rating (no audited financial statements have been provided for the
year ending March 31, 2008).  In addition, the lower BCA reflects
the high cost position, history of ongoing losses, leveraged
capital structure, and unfavorable long-term contracts with
subsidiaries of Glencore International AG (Baa2/stable).  Moody's
believes CAP could not support its current capital structure as a
standalone entity.

The actions included:

  -- $200 million 8.5% guaranteed senior unsecured notes, due
     2021, lowered to B2 from Ba2

Moody's previous rating action on Clarendon Alumina Production was
on November 5, 2008 when the Ba2 foreign currency senior unsecured
note rating was placed under review for possible downgrade.

Headquartered in Kingston Jamaica, CAP is 100% owned by the
Government of Jamaica.  CAP holds a 45% interest, as a co-tenant
in common, in the assets of Jamalco, a joint venture with Alcoa
World Alumina and Chemicals, which itself is 60% owned by Alcoa
Inc., and 40% by Alumina Limited of Australia.


* Moody's Downgrades Ratings on Jamaica's Government Bond to 'B2'
-----------------------------------------------------------------
Moody's Investors Service has downgraded Jamaica's government bond
ratings to reflect deterioration in the country's fiscal and debt
positions as a result of the global economic downturn.

The foreign currency and local currency ratings for the bonds have
been revised to B2 from B1 and Ba2, respectively, and the foreign
currency country ceiling for deposits was downgraded to B3 from
B2.  All other ratings remain unchanged and the outlook on all
ratings is stable.

"While Jamaica's high willingness to pay remains an integral
element of its credit profile, the government's finances and the
external position are simply too weak to face a shock of this
magnitude without a worsening of credit risk," said Moody's Vice
President - Senior Analyst Alessandra Alecci.  The central
government deficit is expected to reach close to 6.0% of GDP this
fiscal year, leaving public debt to GDP well in excess of 100%,
once direct guarantees are included.  On the external side,
despite a contraction in imports, the current account deficit
could remain in the double digits in terms of GDP in 2009.
Considering expected declines in capital inflows globally, funding
the shortfall could prove to be difficult.  "Despite policy
initiatives aimed at restoring debt sustainability, the severity
of the global downturn is taking a toll on the government's
finances and on all key inputs affecting public debt metrics," she
added.

She said Moody's anticipates that Jamaica's key macroeconomic
indicators will deteriorate in 2009.  Although such deterioration
is indeed a global phenomenon, Jamaica is particularly vulnerable
as a small, very open economy.  Its three main foreign exchange-
generating sectors are expected to face important declines, with
tourism and bauxite/alumina expected to face setbacks as the
global recession takes hold, while remittances from abroad are
likely to suffer.

"Because of a high debt burden and large fiscal and external
imbalances, Jamaica is facing these significant challenges from a
position of relative weakness," said Alecci.  "Such weaknesses are
exacerbated by Jamaica's public debt structure, with over half
exposed to foreign currency and a large proportion of the domestic
debt stock linked to floating rates."

She said both the Jamaican dollar and domestic interest rates are
under considerable pressure.  With interest payments alone
accounting for almost half of revenues and relatively inflexible
government expenditures, policy options to deal with the ongoing
shock are very limited.

"Although multilateral financing obtained in recent months is
certainly positive in terms of alleviating short-term liquidity
concerns, it does not, in and of itself, address the issue of debt
sustainability," said Alecci.

She said Jamaica's previous ratings were based on the expectation
that the fiscal and debt position would improve substantially, as
set out by the various medium-term macroeconomic programs designed
by the government.

"However, for a number of reasons, a meaningful fiscal
consolidation was not achieved," said Alecci.  "Given the adverse
global environment, Jamaica's own structural weaknesses and
limited room for maneuvering, it is unlikely that such
consolidation will be achieved in the near term."

In fact, she explained, Jamaica's borrowing requirements will
continue to remain large relative to the size of the economy.

"Despite considerable challenges and risks, at this stage, Moody's
expect Jamaica to avert a situation in which serious concerns
about debt repayment arise," said Alecci.  "Because of the number
of shocks the country has faced in recent years, policy-makers are
accustomed to navigating through situations of high volatility."

Most importantly, however, she said, the government's debt is held
primarily by local institutions, providing the government a
reliable funding source and giving local holders a high stake in
collaborating with the government as it undertakes painful fiscal
measures.  Finally, this government has entered into a number of
arrangements with multilaterals that could prove to be quite
beneficial in a situation of extreme stress.

While the downgrades announced conclude a review of Jamaica's
credit risks that began in November, Moody's will continue to
monitor the country's fragile macroeconomic equilibrium closely as
the global crisis intensifies in the coming months.

Moody's last rating action with respect to the Government of
Jamaica occurred on November 4, 2008 when the government bond
ratings were placed on review for downgrade.



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

SERVICIOS FINANCIEROS: S&P Assigns 'BB-/B' Counterparty Rating
--------------------------------------------------------------
Standard & Poor's Rating Services said that it assigned its
'BB-/B' counterparty credit rating to Servicios Financieros
Comunitarios S.A. de C.V.  The outlook is stable.  At the same
time, S&P assigned its 'mxBBB+/mxA-3' local Mexican scale
counterparty credit rating to the institution.  The national scale
outlook is also stable.

"The ratings are based on higher economic and industry risks that
could put additional pressure on the company's financial
performance.  The ratings are balanced by an experienced and
proactive management team that is improving not only FinComun's
asset quality, but also its relationship with Grupo Bimbo, which
has provided a good source of clients; its diversified funding
base; and its support from shareholders," said Standard & Poor's
credit analyst Angelica Bala.

The higher inflation, stiffer competition, and higher debt burden
of FinComun's target market, Mexico, present challenges that could
add further stress to the company's loan portfolio, which saw
increasing losses during the second half of 2008.  Over FinComun's
history, nonperforming loans have been held to below 5%.  But,
beginning in July 2008, the portfolio began to deteriorate rapidly
-- reaching a 9% NPL rate by November 2008.  The need for
additional provisions to cover possible credit losses also took
its toll on profitability, which was extremely low for 2008.
However, management has analyzed the portfolio and is taking
actions that have already improved asset quality.  S&P expects
NPLs to return to historic levels and reserve coverage to reach
70% this year.

The company has invested in a new IT platform.  The implementation
of the new system has also narrowed returns on assets, which
reached 0.2% as of Nov. 30, 2008, down from 6.23% in 2006.  S&P
expects the improved technological platform and risk management
practices to start bearing fruit throughout this year, enabling
the institution to increase its 2009 ROA.

A stable, low-cost deposit base and credit lines somewhat mitigate
higher operating costs.  Currently, FiComun's deposit base funds
about 70% of its total loans.  Credit lines from international
organizations and Mexican banks have also supported growth.
Liquidity is not a concern given the short-term nature of its loan
portfolio (28 weeks on average).  Lower funding cost provides for
a good net interest margin, which has supported higher operating
costs derived from IT investments and provisions for credit
losses.  Although reserve coverage is currently low at 50%,
capitalization levels are at adequate levels and of good quality.
Adjusted total equity represents 24.5% of assets.  S&P expects the
company to maintain this level of capitalization.

"The stable outlook is based on our expectation that management
will be able to improve asset quality despite the more challenging
operating environment.  If this doesn't occur, and if negative
factors continue to significantly pressure profitability and
capitalization, S&P could lower the rating," Ms. Bala added.


GRUPO SENDA: S&P Downgrades Corporate Credit Rating to 'B'
----------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its long-
term corporate credit rating on Mexico-based Grupo Senda S.A. de
C.V. to 'B' from 'B+'.  The outlook is negative.

"The downgrade reflects Senda's weaker-than-expected financial
results during fourth-quarter 2008 and S&P's expectation that
operating margins during 2009 will remain under pressure," said
Standard & Poor's credit analyst Enrique Gomez Tagle, CFA.  The
company's margins were hurt by the more competitive environment in
the passenger transportation sector, by lower revenues in the
personnel transportation division, and by higher diesel fuel
prices.

The rating on Senda reflects the highly competitive bus
transportation market; its high leverage; and the company's low
organic growth and somewhat small size.  These weaknesses are
balanced by Senda's strong position in Northeastern and Central
Mexico and its young fleet life, which provides flexibility to
defer investments and operational efficiencies.

Established in 1930, Senda is a bus transportation services
provider serving about 26 million passengers annually in a network
that covers 15 Mexican states and one in the U.S. (Texas), with
more than 1,300 buses.  In addition, it offers personnel transport
services with a fleet of more than 1,100 buses. During 2008, the
company's revenues were about $275 million.

As a result of new competitive dynamics, Senda's financial metrics
have deteriorated.  This situation is further aggravated by the
recent Mexican peso depreciation, as most of the company's debt is
denominated in U.S. dollars.

The negative outlook reflects the uncertainty regarding the
evolution of the bus transportation sector and the effect this
could have on Senda's profitability and liquidity.  S&P could
lower the rating if the company's margins do not improve during
the first half of 2009, if the average life of its buses is longer
than eight years, or if there are further market disruptions.  S&P
could revise the outlook to stable if Senda can recover its
margins during 2009, improve its liquidity position, and improve
its financial ratios from current levels.



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

* PUERTO RICO: Gov't to Cut 30,000 Public Jobs
----------------------------------------------
Puerto Rico Governor Luis Fortuno said the government may cut 14%
of public work force, around 30,000 employees, as the country
attempts to shore up its ailing economy, CaribWorldNews reports.

Governor Fortuno, the report relates, said the layoffs will begin
on July 1 and are necessary despite the some $5 billion that the
island will receive under President Barack Obama's stimulus
package.  “The government is too big and spends too much,"
Governor Fortuno was quoted by the report as saying. "Simply, the
government has to be minimized."



===============================
T R I N I D A D  &  T O B A G O
===============================

CL FINANCIAL: First Citizen Buyout of CMMB Delayed on Legal Issues
------------------------------------------------------------------
The completion of First Citizen Bank (“FCB”)'s takeover of
Caribbean Money Market Brokers (“CMMB”) from its parent, CL
Financial Limited, is being delayed due to legal issues, Leiselle
of Maraj of Trinidad and Tobago Newsday reports, citing FCB chief
executive officer Larry Howai.

According to the report, the issue of staffing and job security at
the brokerage firm are the final aspects to be settled before
completion of the take over.  There is the possibility of
retrenchment and severance pay for staff and possible
restructuring of the board and senior management at CMMB, the
report relates.

Mr. Howai, when asked by T&T Newsday in an interview whether the
staff and management structure currently used at the CMMB will
remain once the bank is running the brokerage company, said: “We
have not yet decided on management.  At the moment we are putting
together a Human Resource plan to address how the company is
integrated into First Citizens but we intend on running the CMMB
as a stand alone operation.”

                        About CL Financial

According to Wikipedia, CL Financial Limited is the largest
privately held conglomerate in Trinidad and Tobago and one of the
largest privately held corporations in the entire Caribbean.
Founded as an insurance company, Colonial Life Insurance Company
(CLICO) by Cyril Duprey, it was expanded into a diversified
company by his nephew, Lawrence Duprey.  CL Financial is now one
of the largest local conglomerates in the region, encompassing
over 65 companies in 32 countries worldwide with total assets
standing at roughly US$100 billion.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 20, 2009, the Trinidad and Tobago Express said Central Bank
Governor Ewart Williams disclosed that an examination of insurance
company CLICO, dissolved finance house CLICO Investment Bank and
other CL Financial companies, showed a deficit between $6 billion
and $8 billion.

Tobago President George Maxwell Richards, The Express related,
signed bailout bills for CL Financial, giving the government the
authority to control the company's unit, Colonial Life Insurance
Company, and giving the central bank extensive powers to treat
with CL Financial's collapse and the consequent systemic crisis.

According to the Trinidad and Tobago Newsday, the government used
$1 billion of taxpayers money to help protect depositors and
policyholders.



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

PDVSA: To Proceed With Investment Projects, Energy Minister Says
----------------------------------------------------------------
Petroleos de Venezuela (“PDVSA”) will go ahead with its investment
plans inspite of lower oil prices and the global financial crisis,
Offshore News reports, citing Energy Minister Rafael Ramirez.

According to the report, Mr. Ramirez told legislators that PDVSA
will execute its 88 largest projects at a cost of US$120 million
by 2013.  Among the projects are E&P in the Orinoco tar belt and
offshore, he said.

Petroleos de Venezuela -- http://www.pdvsa.com/-- is Venezuela's
state oil company in charge of the development of the petroleum,
petrochemical, and coal industry, as well as planning,
coordinating, supervising, and controlling the operational
activities of its divisions, both in Venezuela and abroad.

                          *     *     *

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.


* VENEZUELA: Seizes Cargill's Rice Plant, Says Polar is Next
------------------------------------------------------------
Venezuela has decided to take over a rice plant owned by Cargill
Inc. to slow inflation, Bloomberg News reports.

According to Bloomberg News, on March 4, authorities inspected a
Cargill plant in the country’s Portuguesa state, and said it was
violating laws that require production of price-controlled rice.

President Hugo Chavez subsequently ordered expropriation of the
company, Bloomberg News says.

“Cargill is committed to the production of food in Venezuela that
complies with all laws and regulations,” Cargill spokesman Mark
Klein said in an e-mailed statement obtained by Bloomberg News.
“Cargill expects the opportunity to clarify the situation with the
government and is respectful of the Venezuelan government
decision.”

Reuters adds to this report that Venezuela Agriculture Minister
Elias Jaua said the government does not plan to take over
additional assets of Cargill after announcing the seizure of its
rice unit.

According to Reuters, Minister Jaua told reporters Venezuela will
seek an amicable agreement in the nationalization of Cargill's
plant, adding the government has already taken control of it.

Meanwhile, Bloomberg News relates the government also plans to
seize all plants run by Empresas Polar SA, Venezuela’s biggest
privately owned company, directing the threat personally at
company president Lorenzo Mendoza.

Mr. Chavez, as cited by Bloomberg News, said that, should the
government decide to take Polar’s plants, he would pay for them
with bonds instead of cash.

The company, as cited by Bloomberg News, said it has always
complied with Venezuelan laws, including new quotas on price
controlled foods that were implemented March 3.

Luis Carmona, director at Polar’s foods division, said March 2
that price controls of white rice force the company to produce at
a loss, Bloomberg News relates.

Bloomberg News discloses Mr. Chavez issued 26 decrees last July
increasing his control over food storage and distribution and
allowing the state to jail company owners for hoarding.  This
week, the news agency says he set new production quotas for food
makers to boost supply of price- controlled foods.

According to Bloomberg News, the Cargill seizure comes four days
after the president started sending National Guard troops into
rice plants to verify whether companies are producing price-
controlled white rice, or other kinds of rice that aren’t
controlled.



* VENEZUELA: Mulls Reducing Budget for Oil-Service Contracts
------------------------------------------------------------
Petroleos de Venezuela (PDVSA) plans to cut its spending on oil-
service contractors by 40% as it struggles with low crude prices
amid the global financial crisis,
The Wall Street Journal and The Associated Press report.

According to AP, PDVSA President Rafael Ramirez said the state-run
oil company aims to reduce spending on services provided by nearly
250 companies by renegotiating contacts.

Mr. Ramirez, as cited by AP, said Tuesday that PDVSA is no longer
willing to pay "high prices" that service companies charged last
year, when oil prices hit US$147 a barrel.

AP says PDVSA owes around 6,000 contractors, some payments of
which are more than four months overdue.

The Journal relates the company, which is experiencing falling
production, has built up huge debts forcing some contractors and
suppliers to stop work until they are paid.



==========================
V I R G I N  I S L A N D S
==========================

* VIRGIN ISLANDS: To Assist Stanford Financial's Former Employees
-----------------------------------------------------------------
Stanford Financial Global's former employees have been invited to
a “Rapid Response” workshop by the government, Susan Mann of
Caribbean Net News reports, citing US Virgin Islands Labor
Commissioner, Albert Bryan.

According to the report, the workshop is designed for job loss
events, such as mass lay-offs or plant closings, and to provide
workers who were severed from their places of employment with
vital information about the various services available to them to
help in the transition.

Staff of the USVI Labor Department, the report relates, will be on
hand to help all former Stanford employees with filing claims for
unemployment insurance benefits or to register for another job, as
well as to answer any questions or concerns the displaced St Croix
workers have.

As reported in the Troubled Company Reporter-Latin America on
February 19, 2009, the U.S. SEC charged Mr. Stanford and three of
his companies for orchestrating a fraudulent, multi-billion dollar
investment scheme centering on an US$8 billion Certificate of
Deposit program.  Mr. Stanford's companies include SIBL, Stanford
Group Company (SGC), and investment adviser Stanford Capital
Management.


                            ***********

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 * * *