/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/090422.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Wednesday, April 22, 2009, Vol. 9, No. 78 Headlines A N T I G U A & B A R B U D A STANFORD INT'L BANK: U.S. Receiver to Contest Bank Liquidation STANFORD INT'L BANK: Owner Denies Swindling Clients A R G E N T I N A ALLIANZ ARGENTINA: Moody's Affirms 'Ba3' Global Currency Rating ALTEMED SRL: Trustee Verifying Proofs of Claim Until June 15 AVALON INVESTMENTS: Verifying Proofs of Claim Until June 2 RAFLER SRL: Verifying Proofs of Claim Until June 17 RED OSAL: Trustee Verifying Proofs of Claim Until April 30 VITALFARMA SRL: Trustee Verifying Proofs of Claim Until June 4 B R A Z I L AES CORP: AES Eletropaulo Could Cut 2009 Investments BNDES: To Extend BRL4 Billion Credit for State Governments INDEPENDENCIA SA: Wins Recognition of Brazilian Bankruptcy C A Y M A N I S L A N D S CALIX INC: Shareholders' Final Meeting Set for May 15 DYNAMIS ENERGY: Members to Receive Wind-Up Report on May 14 FIDESO TRADING: Final Meeting Set for May 15 GENNAKER I: S&P Junks Ratings on Two Classes of Notes GFX GLOBAL ET AL: Liquidator to Give Wind-Up Report on May 14 JEFFERIES RTS: Members to Receive Wind-Up Report on May 14 MELCHIOR JAPAN ET AL: Liquidator to Give Wind-Up Report on May 14 OXFORD ALTERNATIVE: Members to Receive Wind-Up Report on May 8 PIMCO ABSOLUTE: Shareholders' Final Meeting Set for May 15 QUANTUM TELECOMMUNICATIONS: Final Meeting Slated for May 7 SACKVILLE INVESTMENTS: Shareholders' Final Meeting Set for July 10 SPYGLASS FOCUSED: Shareholders' Final Meeting Set for May 5 SWORD FUND: Shareholders' Final Meeting Set for May 15 TAKU INVESTMENTS: Shareholders' Final Meeting Set for May 6 TRIDENT SELECTIONS: Members to Receive Wind-Up Report on May 4 VERBENA LIMITED: Sole Shareholder to Hear Wind-Up Report on May 15 C O L O M B I A BANCOLOMBIA: Cut to “Hold” from “Buy” at Banco Santander BANCOLOMBIA: VP-Technology's Spouse Allowed to Buy Company Shares E C U A D O R ECOPETROL: Mulls on Bonds Issue This Year PETROECUADOR: To Auction 1 Million Barrels of Seized Crude G U Y A N A CL FIN'L: Government to Reduce CLICO Guyana's Liability-Asset Gap J A M A I C A GLOBAL TRUST: Liquidator Moves to Reclaim Funds From Debtors RED STRIPE: Cuts 20 Jobs Including Two Executive Positions T R I N I D A D & T O B A G O CL FINANCIAL: Trinidad Gov't Approves $315-Mln Lifeline for Units U R U G U A Y * URUGUAY: Plans to Sell US$600 Million Bonds - - - - - =============================== A N T I G U A & B A R B U D A =============================== STANFORD INT'L BANK: U.S. Receiver to Contest Bank Liquidation -------------------------------------------------------------- Stanford Financial Group (SFG) court-appointed receiver, Ralph Janvey, is challenging the liquidation of Antigua-based Stanford International Bank Limited (SIBL), Caribbean360.com reports. As reported in the Troubled Company Reporter-Latin America, Nigel Hamilton-Smith and Peter Wastell, client partners at Vantis Business Recovery Services, were appointed as joint liquidators for SIBL on April 15, 2009, by an Order of the High Court of Antigua and Barbuda. Stanford Trust Company Limited meanwhile remains in receivership and the receivers continue with their investigations. The liquidation proceedings have been commenced following the receivership of SIBL, during which time the receivers concluded that it had become clear that the bank's assets were significantly less than its liabilities. Messrs. Hamilton-Smith and Wastell were previously appointed by the Antiguan Financial Services Regulatory Commission as receivers for SIBL. "[SIBL] is one element of a consolidated enterprise that was dedicated, by people in and from the United States, to the perpetration of a scheme to defraud investors worldwide -- a scheme in which only a very small percentage of the investors are Antiguans," Mr. Janvey said in a press statement. Mr. Janvey said he intends to contest efforts by the Antiguan- appointed receiver/liquidators to seek to recover assets that would be distributed only through the Antiguan proceedings. About Vantis Vantis Business Recovery Services –- http://www.vantisplc.com/-- is a trading division of Vantis Group Ltd, which is regulated by the Institute of Chartered Accountants in England and Wales for a range of investment business activities. Vantis Group Ltd is a Vantis plc group company. Vantis is the AIM listed UK accounting, tax and business advisory group. About Stanford International 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 Securities and Exchange Commission (SEC), 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 SIBL, Stanford Group Company (SGC), and investment adviser Stanford Capital Management. As reported in the Troubled Company Reporter-Latin America on April 8, 2009, Bloomberg News said U.S. District Judge David Godbey seized all of Mr. Stanford’s corporate and personal assets and placed them under the control of court-appointed SGC receiver Ralph Janvey. STANFORD INT'L BANK: Owner Denies Swindling Clients --------------------------------------------------- Stanford International Bank Limited (SIBL) owner Robert Allen Stanford said “I’m not a damn swindler” in an interview with Bloomberg News in Houston. “The SEC far overreached and basically ruined a multibillion-dollar company,” Mr. Stanford was quoted by the news agency as saying. “Everybody got paid and everybody got made whole until the SEC came in and shut everything down.” The Securities and Exchange Commission (SEC), 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 SIBL, Stanford Group Company (SGC), and investment adviser Stanford Capital Management. As reported in the Troubled Company Reporter-Latin America on April 8, 2009, Bloomberg News said U.S. District Judge David Godbey seized all of Mr. Stanford’s corporate and personal assets and placed them under the control of court-appointed SGC receiver Ralph Janvey. In an interview with Bloomberg News, Mr. Stanford said his banking companies suffered the same liquidity crisis as other financial institutions during the global financial meltdown that began last year. “But [SIBL] didn’t have a fed-funds window to go to for a bailout,” the report quoted Mr. Stanford as saying. “We were extra liquid, with more than US$2 billion on hand, but it turned out not to be enough.’’ Mr. Stanford, the report relates, said Stanford CD depositors were allowed to make early redemptions on about US$2 billion worth of immature Antiguan CDs in late 2008 and early 2009 because people needed to get to their cash during the credit collapse. Bloomberg News notes Mr. Stanford said that in January, the bank suspended early redemptions because, like most banks around the world, it was running low on cash. “But the assets were there,” he insisted, saying the funds were invested in real estate and business ventures around the globe, Bloomberg News notes. According to Bloomberg News, Mr. Stanford said the US$1.6 billion personal loan the SEC accuses him of taking represented corporate borrowings that he’d signed as the company’s sole shareholder. “That was a shareholder note, not a note to me personally,” the news agency quoted Mr. Stanford as saying. “That was money that was then fronted to Stanford Venture Capital, which in turn would go out and make investments. I never got a dollar of that money.” Mr. Stanford, as cited in the report, said it appeared depositor withdrawals were beginning to level off in January and February. The SEC complaint, kicked off a full-scale bank run on the bank's operations, he added. “The SEC came in and gestapo-ed my business, and I watched US$5 billion of my net worth disappear,” Mr. Stanford said as quoted by Bloomberg News. “If the SEC had not come in and taken the actions they did, and had the ripple effect they did around the world, unequivocally yes, we would’ve survived. Now, I don’t know. I don’t know where the business stands because I’ve been locked out of my businesses, too.” About Stanford International 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 ================= ALLIANZ ARGENTINA: Moody's Affirms 'Ba3' Global Currency Rating --------------------------------------------------------------- Moody's Latin America has affirmed Allianz Argentina's Ba3 global local currency and Aa2.ar national scale insurance financial strength ratings. The outlook remains stable. With the affirmation of Allianz Argentina's ratings, Moody's recognizes that the company continues to grow and diversify its business and product portfolio, to improve overall asset quality, and to sustain solid profitability metrics. However, the rating agency also noted that the continuous increase in the company's operating leverage is a significant constraint to its credit profile, particularly in view of the current unstable economic environment in Argentina. Allianz Argentina's market position has been slowly improving over recent years, reaching a 3.2% market share in 2008. Whereas the company continues to focus on its main lines of operation -- namely auto and property -- much of its growth has come from other insurance segments, such as hail insurance, and, as a result, has been improving its product risk and diversification profile. According to Moody's, Allianz Argentina's asset quality is also showing an improving trend, as the company has been consistently allocating a greater portion of its investments to higher quality assets, such as US Treasury Bills and other highly-rated bonds. Moody's added that Allianz Argentina has continuously reported very solid profitability, with a five-year average return on equity above 35%, which is well above its peers. These positive credit factors are significantly constrained by the continuing deterioration of Allianz Argentina's capitalization levels, as measured by its gross underwriting leverage. Moody's notes that the driver of the overall increase in Allianz Argentina's operating leverage is twofold: 1) the much higher growth rate of the company's gross premiums and reserves relative to growth of its shareholders' equity; and 2) the substantial annual dividend payment to its shareholder (Allianz SE) -- totaling ARS 49.5 million over the past five years -- which, although it corroborates the company's very strong profitability, also weakens its capitalization level. The rating agency commented that Allianz Argentina's ratings could be upgraded should the company improve its operating leverage, sustaining it below 7x. The ratings, however, could be downgraded should its profitability worsen, and/or its gross underwriting leverage continues to deteriorate. Based in Buenos Aires, Allianz Argentina is an indirect wholly- owned subsidiary of Allianz SE, headquartered in Munich, Germany. For the first half of 2009 fiscal year, ended on December 31, 2008, the company's total gross premium was ARS239 million and net income was ARS12 million. On December 31, 2008, Allianz Argentina's total assets amounted to ARS539 million and its shareholders' equity to ARS90 million. ALTEMED SRL: Trustee Verifying Proofs of Claim Until June 15 ------------------------------------------------------------ The court-appointed trustee for Altemed S.R.L.'s bankruptcy proceedings will be verifying creditors' proofs of claim until June 15, 2009. AVALON INVESTMENTS: Verifying Proofs of Claim Until June 2 ---------------------------------------------------------- The court-appointed trustee for Avalon Investments S.R.L.'s reorganization proceedings will be verifying creditors' proofs of claim until June 2, 2009. The trustee will present the validated claims in court as individual reports on July 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 September 11, 2009. Creditors will vote to ratify the completed settlement plan during the assembly on March 15, 2010. RAFLER SRL: Verifying Proofs of Claim Until June 17 --------------------------------------------------- The court-appointed trustee for Rafler S.R.L.'s reorganization proceedings will be verifying creditors' proofs of claim until June 17, 2009. RED OSAL: Trustee Verifying Proofs of Claim Until April 30 ---------------------------------------------------------- The court-appointed trustee for Red Osal S.R.L.'s reorganization proceedings will be verifying creditors' proofs of claim until April 30, 2009. Creditors will vote to ratify the completed settlement plan during the assembly on October 20, 2009. VITALFARMA SRL: Trustee Verifying Proofs of Claim Until June 4 -------------------------------------------------------------- The court-appointed trustee for Vitalfarma S.R.L.'s bankruptcy proceedings will be verifying creditors' proofs of claim until June 4, 2009. The trustee will present the validated claims in court as individual reports on July 17, 2009. The National Commercial Court of First Instance in Buenos Aires will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by the company and its creditors. 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 15, 2009. =========== B R A Z I L =========== AES CORP: AES Eletropaulo Could Cut 2009 Investments ---------------------------------------------------- AES Eletropaulo, a Brazil unit of AES Corporation, could reduce its investments in 2009 if industrial demand for electricity continues to decline, Kenneth Rapoza of Dow Jones Newswires reports. The report relates global economic slowdown caused Brazil's biggest energy consumers, from steelmakers to auto makers, reducing power consumption by as much as 14% month over month. According to the report, AES Eletropaulo has earmarked BRL562 million (US$241.2 million) in investments for 2009. Of the total, some 50% is geared for consumer services and network expansion, the report relates. As reported in the Troubled Company Reporter-Latin America on March 31, 2009, DJ Newswires said AES Eletropaulo posted BRL529.4 million (US$236 million) net profit in the fourth-quarter up from BRL9.5 million a year earlier. The report related the company attributed the increase in net profit to the rise of its net profit in the period to a non- recurrent gain of BRL210 million in the period, due to tax credits. According to DJ Newswires, Eletropaulo reported BRL1.98 billion net revenue in the fourth quarter, up from BRL1.8 billion in the fourth quarter of 2007, while earnings before interest, depreciation and amortization (EBITDA)of BRL554.9 million, up from BRL145.9 million in the previous year. About AES Eletropaulo AES Eletropaulo is a major Brazilian power distributor in the state of Sao Paulo, created in the breakup of the old state-owned power distribution company Eletropaulo that monopolized electricity distribution in São Paulo from 1981 to 1999. The similarity of the names makes most old customers call it simply Eletropaulo. Eletropaulo has around 5 million customers, and it's stock is traded on Bovespa, where it is part of the Ibovespa index. The company is majority owned by AES Corporation. About AES Corporation The AES Corporation (NYSE:AES) -- http://www.aes.com/-- is one of the world's largest global power companies, with 2007 revenues of US$13.6 billion. With operations in 29 countries on five continents, AES's generation and distribution facilities have the capacity to serve 100 million people worldwide. * * * As reported in the Troubled Company Reporter-Latin America on April 7, 2009, Fitch Ratings affirmed The AES Corporation's long- term Issuer Default Rating at 'B+' with a Stable Rating Outlook. BNDES: To Extend BRL4 Billion Credit for State Governments ---------------------------------------------------------- Banco Nacional de Desenvolvimento Economico e Social SA (BNDES) will extend BRL4 billion (US$1.83 billion) in credit for state governments, following Brazil's National Monetary Council approval during an extraordinary meeting, Gerald Jeffris of Dow Jones Newswires reports, citing the central bank. According to the report, the loans will carry an interest charge of Brazil's TJLP long-term interest rate plus 3% annually. The TJLP interest rate is currently set at 6.25% annually, the report relates. The loans, the report says, come with a repayment period of eight years following a one-year grace period. 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. * * * 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. INDEPENDENCIA SA: Wins Recognition of Brazilian Bankruptcy ---------------------------------------------------------- Independencia SA was given by the U.S. Bankruptcy Court for the Southern District of New York final protection stopping creditors from taking action in the U.S., when Judge Stuart M. Bernstein signed an order recognizing Brazil as home to the "foreign main" bankruptcy proceeding, Bloomberg's Bill Rochelle said. Independencia sought protection from creditors in its home country on Feb. 27 and filed a Chapter 15 petition in New York on the same day to protect assets in the U.S. Bloomberg relates that Judge Bernstein made significant changes in the recognition order given him by the Company's counsel. Among other things, he modified provisions to insure that the halt to creditor actions was effective only in the U.S. Judge Bernstein also deleted a provision in the recognition order that in substance would have ruled that any action taken in the future by the Brazilian court would be enforced in the U.S. Independencia said it has $1.2 billion in debt. According to Bloomberg News, Independencia SA -- Brazil's fourth largest meat exporter -- filed for bankrupcy protection earlier this year after the global economic crisis caused exports to slump. Independencia S.A. filed its Chapter 15 petition on March 27, 2009 (Bankr. S.D. N.Y., Case No. 09-10903). Paul R. DeFilippo, Esq., at Wollmuth Maher & Deutsch LLP, is the Debtor's counsel. ========================== C A Y M A N I S L A N D S ========================== CALIX INC: Shareholders' Final Meeting Set for May 15 ----------------------------------------------------- The shareholders of Calix Inc. will hold their final meeting on May 15, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Walkers SPV Limited Walker House, 87 Mary Street George Town, Grand Cayman KY1-9002 Cayman Islands DYNAMIS ENERGY: Members to Receive Wind-Up Report on May 14 ----------------------------------------------------------- The members of Dynamis Energy Fund Limited will receive the liquidator's report on the company's wind-up proceedings and property disposal on May 14, 2009, at 4:00 p.m. 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 FIDESO TRADING: Final Meeting Set for May 15 -------------------------------------------- The shareholders of Fideso Trading Co. Ltd will hold their final meeting on May 15, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Ian Stokoe c/o Prue Lawson Telephone: (345) 914 8662 Facsimile: (345) 945 4237 PO Box 258, Grand Cayman KY1-1104 Cayman Islands GENNAKER I: S&P Junks Ratings on Two Classes of Notes ----------------------------------------------------- Standard & Poor's Rating Services lowered and removed from CreditWatch negative the credit ratings on the class A-1A to D notes issued by Gennaker I CDO Ltd. At the same time, the rating on the CP notes was lowered (see list below). These rating actions reflect S&P's assessment of a significant credit deterioration in the quality of the underlying portfolio in this cash flow collateralized debt obligation transaction. Notably, the deal contains six synthetic CDO assets (about 30% of the portfolio), which have been downgraded by several rating notches since December 2008. Another factor in S&P's rating analysis is the high share of assets (30%) in the underlying portfolio currently on CreditWatch negative. On April 6, 2009, S&P published revised assumptions governing structured finance assets with ratings on CreditWatch held within CDO transactions (see "Related Research" below). Under these revised assumptions, S&P take a more conservative view of the credit quality of such assets by adjusting downward in S&P's analysis the ratings of these assets currently on CreditWatch negative by at least three notches. In S&P's opinion, these factors have reduced the likelihood that transaction cash flows will be sufficient to fully repay each of the rated notes. S&P's analysis indicates that the A1A, A1B, and A2 notes currently have the benefit of credit enhancement (including excess spread) commensurate with a 'BBB-' rating, while the enhancement on the class B notes is commensurate with a 'BB-' rating. S&P's analysis indicates that, in light of the portfolio's deterioration and the defaults it has experienced, cash flows will be insufficient to repay the class D notes. Interest payments on the class D notes are currently being deferred as a result of a breach of the class C over collateralization trigger. This means that interest cash flows usually due to the class D notes are being used to redeem senior notes, as required under the terms of the transaction documents, in order to bring the over collateralization trigger back into compliance. The class C notes receive interest payments before the curing of the over collateralization test trigger, and therefore interest payments are not currently being deferred. The CP notes are exposed to refinancing risk, which occurs when the CP needs to be "rolled". This refinancing risk is mitigated by a put option provided by Bank of America N.A. (A+/Negative/A- 1). In addition, the CP notes have risk of exposure to losses in the underlying pool similar to the risk faced by the class A-1A notes. As a result, the rating on the CP notes has been lowered to 'A-3' to reflect S&P's view of the short-term risk of a 'BBB-' equivalent exposure. S&P will continue to monitor further developments in the credit quality of the underlying pool. Ratings List Gennaker I CDO Ltd. $600 Million Floating- And Deferrable-Rate Notes Ratings Lowered And Removed From CreditWatch Negative Class To From ----- -- ---- A1A BBB- AAA/Watch Neg A1B BBB- AAA/Watch Neg A2 BBB- AAA/Watch Neg B BB- AA/Watch Neg C CCC- A/Watch Neg D CC BBB/Watch Neg Rating Lowered Class To From ----- -- ---- CP A-3 A-1+ GFX GLOBAL ET AL: Liquidator to Give Wind-Up Report on May 14 ------------------------------------------------------------- On May 14, 2009, DMS COrporate Services Ltd will give a report on the companies' wind-up proceedings and property disposal to the shareholders of: -- GFX Global Currency Fund Limited; and -- GFX Global Currency Master Fund Limited. The Liquidator can be reached at: 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 JEFFERIES RTS: Members to Receive Wind-Up Report on May 14 ---------------------------------------------------------- The members of Jefferies RTS Fund (Cayman), Ltd. will meet on May 14, 2009, at 3:00 p.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: DMS Corporate Services Ltd c/o Bernadette Bailey-Lewis dms Corporate Services Ltd. dms House, 2nd Floor P.O. Box 1344, Grand Cayman KY1-1108 Telephone: (345) 946 7665 Facsimile: (345) 946 7666 MELCHIOR JAPAN ET AL: Liquidator to Give Wind-Up Report on May 14 ----------------------------------------------------------------- On May 14, 2009, Richard E.L. Fogerty will give a report on the companies' wind-up proceedings and property disposal to the shareholders of: -- Melchior Japan Fund Limited; and -- Melchior Japan (Master) Fund Limited. The Liquidator can be reached at: Richard E.L. Fogerty c/o Dian Wardle Zolfo Cooper 4th Floor, Bermuda House Dr. Roy’s Drive, Grand Cayman Telephone: (345) 946-0081 OXFORD ALTERNATIVE: Members to Receive Wind-Up Report on May 8 -------------------------------------------------------------- The members of Oxford Alternative Strategy Fund will meet on May 8, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Stuart Sybersma c/o Jessica Turnbull, Deloitte & Touche P.O. Box 1787 GT Grand Cayman, Cayman Islands Telephone: (345) 949-7500 Facsimile: (345) 949-8258 PIMCO ABSOLUTE: Shareholders' Final Meeting Set for May 15 ---------------------------------------------------------- The shareholders of Pimco Absolute Return Strategy IV Offshore Fund 3 Ltd. will hold their final meeting on May 15, 2009, at 9:45 a.m., to hear the liquidator's report on the company's wind- up proceedings and property disposal. The company's liquidator is: Walkers SPV Limited Walker House, 87 Mary Street George Town, Grand Cayman KY1-9002 Cayman Islands QUANTUM TELECOMMUNICATIONS: Final Meeting Slated for May 7 ---------------------------------------------------------- Quantum Telecommunications Limited will hold its final meeting on May 7, 2009, at 10:00 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Hugh Dickson Peter Bigwood P.O. Box 1370, Grand Cayman KY1- 1108 Cayman Islands Telephone: (345) 815 8242 Facsimile: (345) 949 7120 SACKVILLE INVESTMENTS: Shareholders' Final Meeting Set for July 10 ------------------------------------------------------------------ The shareholders of Sackville Investments Limited will hold their final meeting on July 10, 2009, at 10:15 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Howard Robert Callow Belgravia House, 3rd Floor Circular Road, Douglas, Isle of Man SPYGLASS FOCUSED: Shareholders' Final Meeting Set for May 5 ----------------------------------------------------------- The shareholders of Spyglass Focused Equity Offshore Fund Limited will hold their final meeting on May 5, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidators are: Glen Trenouth Rodney Graham P.O. Box 31118, Grand Cayman KY1-1205 Cayman Islands Telephone: (345) 943 8800 Facsimile: (345) 943 8801 SWORD FUND: Shareholders' Final Meeting Set for May 15 ------------------------------------------------------ The shareholders of Sword Fund Limited will hold their final meeting on May 15, 2009, at 10:15 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Walkers SPV Limited Walker House, 87 Mary Street George Town, Grand Cayman KY1-9002 Cayman Islands TAKU INVESTMENTS: Shareholders' Final Meeting Set for May 6 ----------------------------------------------------------- The shareholders of Taku Investments Ltd. will hold their final meeting on May 6, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Satoshi Iwase Michael Makridakis of Walkers Walker House, 87 Mary Street, George Town Grand Cayman KY1-9001, Cayman Islands TRIDENT SELECTIONS: Members to Receive Wind-Up Report on May 4 -------------------------------------------------------------- The members of Trident Selections will meet on May 4, 2009, at 10:00 a.m., to hear the liquidator's report on the company's wind- up proceedings and property disposal. The company's liquidator is: Schell D. Stubbs Cititrust (Bahamas) Limited c/o Maples and Calder, Attorneys-at-law PO Box 309, Ugland House Grand Cayman KY1-1104, Cayman Islands VERBENA LIMITED: Sole Shareholder to Hear Wind-Up Report on May 15 ------------------------------------------------------------------ The sole shareholder of Verbena Limited will receive the liquidator's report on the company's wind-up proceedings and property disposal on May 15, 2009. The company's liquidator is: Commerce Corporate Services Limited PO Box 694 Grand Cayman KY-1107 Telephone: 949 8666 Facsimile: 949 0626 =============== C O L O M B I A =============== BANCOLOMBIA: Cut to “Hold” from “Buy” at Banco Santander -------------------------------------------------------- Bancolombia S.A. was reduced to “hold” from “buy” at Banco Santander SA on prospects that earnings will fall as lending growth slows and costs rise, James Attwood of Bloomberg News reports. The report relates Bancolombia’s American depositary receipt estimate was cut to US$23.50 from US$35 “Despite the resilience of earnings in the last two quarters amid a rapid economic slowdown, we believe the expected increase in provisions and charge-offs due to an ongoing deterioration of the loan book and an expected decline in the net interest margin will drive down earnings in 2009,” Bloomberg News quoted New York-based strategist Alonso Aramburu as saying in a note to clients. According to Bloomberg News, Mr. Aramburu said Bancolombia’s profit probably will fall 13% in local currency terms and 29% in U.S. dollars, meaning its shares are “fairly priced.” 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. * * * Based on Moody's Web site, the company continues to carry Ba2 foreign currency deposits rating and D financial strength rating. BANCOLOMBIA: VP-Technology's Spouse Allowed to Buy Company Shares ----------------------------------------------------------------- Bancolombia S.A.'s Board of Directors of Bancolombia S.A. authorized Mr. Guillermo Alberto Duque Lourido, spouse of Olga Botero Pelaez, Vice President of Technology of Bancolombia, to purchase shares of Bancolombia for up to Ps 100 million (approximately USD $ 42,081). Bancolombia and Mr. Lourido will follow the authorization procedures for the acquisition and disposal of shares of Bancolombia by its officers and directors, which can be viewed on Bancolombia's Investor Relations website at http://www.grupobancolombia.com.co,in the Corporate Governance section. Contacts: Sergio Restrepo Executive VP (574) 4041424 Jaime A. Velasquez Financial VP (574) 4042199 Juan E. Toro IR Manager (574) 4041837 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. * * * Based on Moody's Web site, the company continues to carry Ba2 foreign currency deposits rating and D financial strength rating. ============= E C U A D O R ============= ECOPETROL: Mulls on Bonds Issue This Year ----------------------------------------- Ecopetrol S.A clarified information published by international media sources regarding the extension of the deadline to receive debt issuance offers. In a statement Monday, the company said: -- Ecopetrol does plan on issuing bonds in the capital markets in the year 2009. The amount and timing of the issuance(s) will be determined in accordance with market conditions. -- Ecopetrol has not yet submitted a formal request for bond issuance offers. A market study is currently being conducted in order to determine the competence and experience of well-positioned firms in the capital markets. -- In early 2009, the authorization procedure required for access to the capital markets was commenced. It is expected that the necessary authorizations will be issued within the time established under the regulations and will not cause any delay in the schedule. About Ecopetrol S.A. Ecopetrol S.A. -- http://www.ecopetrol.com.co.-- is the largest company in Colombia as measured by revenue, profit, assets and shareholders' equity. The company is Colombia's only vertically integrated crude oil and natural gas company with operations in Colombia and overseas. Ecopetrol is one of the 40 largest petroleum companies in the world and one of the four principal petroleum companies in Latin America. It is majority owned by the Republic of Colombia and its shares trade on the Bolsa de Valores de Colombia S.A. (BVC) under the symbol ECOPETROL. The company divides its operations into four business segments that include exploration and production; transportation; refining; and marketing of crude oil, natural gas and refined-products. * * * As reported by the Troubled Company Reporter-Latin America on November 12, 2008, Fitch Ratings affirmed Ecopetrol S.A.'s foreign and local currency issuer default ratings at 'BB+' and 'BBB-', respectively. The Rating Outlook is Stable. PETROECUADOR: To Auction 1 Million Barrels of Seized Crude ---------------------------------------------------------- State oil company Petroecuador plans to auction 1 million barrels in seized crude from French oil company Perenco, Alonso Soto of Reuters reports. Ecuador Oil Minister Derlis Palacios told Reuters in an interview that the country will continue to auction Perenco's seized crude until the French oil company repays US$350 million in late taxes. The government expects to receive around US$40 million from the upcoming sale of Perenco's seized crude, he added. Bloomberg News, citing a statement in a local daily, relates the sale will be of future shipments of both Oriente and Napo crudes until June. 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. =========== G U Y A N A =========== CL FIN'L: Government to Reduce CLICO Guyana's Liability-Asset Gap ----------------------------------------------------------------- Guyana President Bharrat Jagdeo asked that the information in CLICO Life and General Insurance Company South America Limited (CLICO Guyana) Judicial Manager Maria van Beek's report be viewed as a range, not as an absolute figure, Caribbean Net News reports. As reported in the Troubled Company Reporter-Latin America, Caribbean Net News said that during an April 14 hearing before Chief Justice Ian Chang in the High Court of Guyana, it was revealed that CLICO Guyana's liabilities exceed the company’s assets by US$55 million (GY$11 billion) and its assets are not sufficient to meet its obligations. The report related Clico Guyana Judicial Manager Maria van Beek said a best case presentation at liquidation shows the liabilities exceeding assets by $8.1 billion, emphasizing that there are ongoing concerns as it relates to the company’s assets and liabilities. According Caribbean Net News, Ms. van Beek said based on Nizam Ali & Company's investigation, as a going concern, the book value of the Clico Guyana’s assets and liabilities shows the net asset position of the company is approximately -$1.6 billion. Ms. Beek, as cited by Caribbean Net News, said that given the likely impairment of the investment in CLICO (Bahamas) Limited valued at $7.1 billion and “assuming some write-off in the value of the remaining assets of the company”, the net deficit could rise to $11.9 billion should the company be wound-up. President Jagdeo, as cited by Caribbean Net News, indicated that while the report has discounted investment properties by 25% in the best case scenario and 50% in the worst case scenario, and expects to recover only $401M of $2.1B invested in the group, government believes much more can be recovered. It is also expected that the gap can be reduced further by paying the policyholders’ liabilities in cash and withholding payment to CLICO Trinidad, he added. “Where you have the policyholders’ liabilities, the actuaries have shown that if you pay this out in cash . . .you can reduce this $8.1B by another $840M and then you will see also another $922M here as part of what we owe CLICO Trinidad . . . if that is not paid, then the best case scenario is close to $6B (liabilities exceeding assets),” Caribbean Net News quoted President Jagdeo as saying. Meanwhile, Caribbean Net News notes the government is also taking steps to recover the investment in the Bahamas and holdings of the CL Financial Group in Guyana, and will also seek to access the CARICOM facility that is being set up to help the Organisation of Eastern Caribbean States (OECS). 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. ============= J A M A I C A ============= GLOBAL TRUST: Liquidator Moves to Reclaim Funds From Debtors ------------------------------------------------------------ Globe Trust and Investment Company Limited (GTICL) and its liquidator Nizam Ali is in court battling to reclaim funds owed to the institution after months of reluctance from debtors, filing claims to levy on personal property that were put up as collateral, Stabroeknews reports. The report relates the company will move against some debtors by claiming goods that were listed as security when the loans were issued. According to the report, Mr. Ali said the silence from debtors prompted the move to the court. The report notes Mr. Ali said the company is now filing frequent actions to reclaim funds through a battery of attorneys. Stabroeknews says Mr. Ali, since being appointed liquidator on October 2008, recovered some $14 million of the $750 Million disbursed in loans. Mr. Ali told Stabroek News in an interview that the court process has gone favourably so far, noting that certain items belonging to debtors are to be seized as identified in court proceedings. However, there is no room to facilitate the goods if Globe Trust decides to move on them, since “storage at the court is currently at its capacity,” he said. The report relates Mr. Ali said GTICL's lawyers are currently in talks with the authorities at the court to have the issue solved. Items claimed by the company will go to storage as it awaits judgment and a move on foreclosures before the steps are taken to have them auctioned off, the report notes. Stabroeknews recalls in October 2008, Chief Justice (Ag) Ian Chang issued an order for the compulsory liquidation of Globe Trust following a High Court application by the Bank of Guyana (BoG). The report relates the company came crashing down after issuing many unsecured loans among other dubious practices. The BoG, the report notes, filed an application asking that an order be granted for the compulsory liquidation of GTICL as provided for under the Financial Institutions Act after an investment deal for the troubled institution failed to materialise. According to the company's Web site, on November 7, 2001, the central bank instituted legal action as is required under the FIA to have the company liquidated. On July 25, 2002, the Honourable Chief Justice ordered the re-organisation of Globe Trust under the Bank of Guyana as set out in Section 50 of the FIA. RED STRIPE: Cuts 20 Jobs Including Two Executive Positions ---------------------------------------------------------- Beer company Red Stripe, a unit of Diageo Red Stripe, will cut 20 jobs including two recognizable senior executive positions effective June 30, in what the company calls an organisational redesign of its regional operations, Jamaica Observer reports. According to a company statement filed April 17 with the Jamaica Stock Exchange, two senior management positions, being Director of Marketing, Wayne Lawrence, and Head of Corporate Relations, Maxine Whittingham-Osborne are being re-defined. As a consequence, Mr. Lawrence and Ms. Whittingham-Osborne will be leaving the business, the statement said. In addition to defining the two senior management positions in the near term, a strong team will be maintained in both these disciplines in Jamaica, with the business leveraging Diageo’s wider Caribbean Marketing and Corporate Relations scale, the statement said. The Observer notes the redundancy exercise follows closely on the heels of the company's decision last months to close its Savanna- La-Mar, Westmoreland distribution centre which it said was inefficient. During the six months to December 31, 2008, the Observer relates Red Stripe's volumes were down 6%, but it slashed marketing costs by a third to post a $933-million after-tax profit, up 54% from the comparative period in the year prior. =============================== T R I N I D A D & T O B A G O =============================== CL FINANCIAL: Trinidad Gov't Approves $315-Mln Lifeline for Units ----------------------------------------------------------------- The Trinidad and Tobago government has agreed to pump in $315 million (US$50 million) to rescue struggling subsidiary companies of CL Financial Limited to protect insurance policyholders in smaller Caribbean countries, Curtis Rampersad of Trinidad and Tobago Express reports. According to the report, the government is now leading the thrust to safeguard the assets of policyholders in Eastern Caribbean countries, who are in danger of becoming victims of the financial tumble of CL Financial conglomerate. As reported in the Troubled Company Reporter-Latin America on April 16, 2009, Caribbean360.com News said a US$80 million fund is being set up to ensure the viability of Colonial Life Insurance Company (CLICO), a unit of CL Financial, and British American Insurance. According to Caribbean360.com, Prime Minister of St Vincent and the Grenadines Dr Ralph Gonsalves, Chairman of the Joint Task Force of the Organisation of Eastern Caribbean States (OECS) and the Eastern Caribbean Central Bank (ECCB), said a Memorandum of Understanding will be signed on the Liquidity Support Fund in order to safeguard the interests of policyholders of the two insurance companies. The report related during a recent meeting in Antigua, parties involved agreed that Barbados, member states of the ECCU and Trinidad and Tobago would contribute towards the establishment of the fund which would provide additional liquidity to the financial sector in the Eastern Caribbean Currency Union (ECCU). Caribbean360.com News notes as far as the initial contributions toward the fund in relation to British American are concerned, the government of Trinidad and Tobago, through the CARICOM Petroleum Fund, will put in the lion share - US$50 million. The report relates Barbados will contribute US$5 million; ECCU governments US$10 million and regional and international organisations, US$15 million. 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. ============= U R U G U A Y ============= * URUGUAY: Plans to Sell US$600 Million Bonds --------------------------------------------- Uruguay plans to sell as much as US$600 million in local and overseas bonds by 2010 to help finance a growing budget deficit, Bloomberg News reports citing Deputy Economy and Finance Minister Andres Masoller. According to the report, Mr. Masoller, in a telephone interview from Montevideo, said the country is looking to sell US$300 million in local bonds in 2009 and as much as US$300 million in international bonds by 2010. The foreign bonds may be denominated in dollars or yen, he added. “This is going to help us cover a deficit that is growing more than expected,” Bloomberg News quoted Mr. Masoller as saying. “We’ve had offers from a number of banks to sell our international bonds in yens, but this isn’t decided yet.” * * * According to Moody's Web site, the country continues to carry Ba3 foreign and local currency ratings with stable outlook. *********** 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 2009. 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 * * *