TCRLA_Public/090715.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, July 15, 2009, Vol. 10, No. 138

                            Headlines

A N T I G U A  &  B A R B U D A

STANFORD INT'L: Investors Seek US$8BB From Antigua & Barbuda Gov't
STANFORD INT'L: CFO Davis Pleads “Not Guilty”; Released on Bail


A R G E N T I N A

CURTIDURIA A GAITA: Verifying Proofs of Claim Until Oct. 13
MARKET GLASS: Trustee Verifying Proofs of Claim Until August 7
SALA DE PRIMEROS: Trustee Verifying Proofs of Claim Until Sept. 1


B R A Z I L

AES CORP: Regulators Approve 14.9% Power Rate Hike
BANCO ABC: Fitch Affirms Issuer Default Rating at 'BB+'
BANCO SAFRA: Fitch Affirms Support Rating Floor at 'B+'
GOL LINHAS: Bank of America Upgrades Airline to “Buy”
MAGNESITA REFRATARIOS: Plane With Chief Financial Officer Missing

TAM SA: Upgraded to “Buy” From “Neutral” at Bank of America
TAM SA: Records 86.7% International Market Share in June
USINIMAS SIDERURGICAS: 2Q Results May Miss Forecast, Goldman Says
* BRAZIL: Economists See Gross Domestic Product to Shrink 0.34%


C A Y M A N  I S L A N D S

ACM ASIA: Creditors' Proofs of Debt Due on August 7
APYROUS FUND: Creditors' Proofs of Debt Due on July 28
APYROUS MASTER: Creditors' Proofs of Debt Due on July 28
AQR ABSOLUTE: Creditors' Proofs of Debt Due on July 28
AQR FINANCIAL: Creditors' Proofs of Debt Due on July 28

AQR GAA: Creditors' Proofs of Debt Due on July 28
AQR RC: Creditors' Proofs of Debt Due on July 28
ASHANTI CAPITAL: Commences Wind-Up Proceedings
BRIGHT FUTURES: Creditors' Proofs of Debt Due on August 4
CEYLON PARTNERS: Creditors' Proofs of Debt Due on July 29

CNH MA: Creditors' Proofs of Debt Due on July 28
EUROMAX III: S&P Downgrades Ratings on Three Classes of Notes
EURUS II: S&P Assigns 'BB' Rating on EUR75 Million Class A Notes
INVESTCORP OPPORTUNISTIC: Placed Under Voluntary Liquidation
PARKTON REINSURANCE: S&P Puts 'B+' Rating on Series 2009-1 Notes

TIDEN DESTINY: Creditors' Proofs of Debt Due on August 7
TIDEN DESTINY: Creditors' Proofs of Debt Due on August 7
YURAKUCHO CAYMANSPV: Creditors' Proofs of Debt Due on August 7


C O L O M B I A

BANCOLOMBIA SA: Posts COP76.0 Billion Net Income for June
ECOPETROL SA: Fitch Assigns 'BB+' Rating on US$1 Bil. Notes


D O M I N I C A N  R E P U B L I C

* DOMINICAN REPUBLIC: 17 Power Plants' Operations Halted


E C U A D O R

* ECUADOR: Gov't Negotiates With China Over US$1BB Oil Payment


G R E N A D A

* GRENADA: Government Denies Seeking IMF Financial Assistance


J A M A I C A

SUGAR COMPANY: To Unveil Deals to Sell Plants, Agri Minister Says


M E X I C O

* MEXICO: Faces “Unsustainable” Deficits, Morgan Stanley Says


P E R U

* PERU: To List Global Exchange Traded Funds in Lima


U R U G U A Y

* URUGUAY: Fitch Changes 'BB-' Rating Outlook to Positive


X X X X X X X X

* Remittance Flows to Developing Countries to Drop 7.3% This Year


                         - - - - -


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


STANFORD INT'L: Investors Seek US$8BB From Antigua & Barbuda Gov't
------------------------------------------------------------------
Investors of Robert Allen Stanford, founder of Stanford
International Bank Limited, are seeking US$8 billion in damages in
a lawsuit against the Antigua and Barbuda government.

The suit claims the government helped Mr. Stanford engineer a
multi-billion fraud scheme, Laurel Brubaker Calkins and Andrew M.
Harris of Bloomberg News report.  The report relates the
investors -- three from the U.S., three from Latin America, and a
trustee for a retirement plan -- filed their complaint before the
U.S. Bankruptcy Court for the Southern District of Texas in
Houston.

According to Bloomberg News, the investors said the island
government received money in exchange for helping the financier
conceal the financial condition of SIBL.  “Antigua is sovereign
but not above the law,” the investors said in their complaint
obtained by Bloomberg.  “It became a full partner in Stanford’s
fraud, and reaped enormous financial benefits from the scheme,”
they added.

Bloomberg News says the investors seek class action or group
status on behalf of all who were Stanford bank customers as
Feb. 16, 2009.  “We’re seeking to represent victims worldwide to
recover losses from the government of Antigua, which has benefited
tremendously from Mr. Stanford showering the island with money,”
plaintiffs’ investors lawyer Gregory Blue told Bloomberg News in a
phone interview.

                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.

On February 16, 2009, the United States District Court for the
Northern District of Texas, Dallas Division, signed an order
appointing Ralph Janvey as receiver for all the assets and records
of Stanford International Bank, Ltd., Stanford Group Company,
Stanford Capital Management, LLC, Robert Allen Stanford, James M.
Davis and Laura Pendergest-Holt and of all entities they own or
control.  The February 16 order, as amended March 12, 2009,
directs the Receiver to, among other things, take control and
possession of and to operate the Receivership Estate, and to
perform all acts necessary to conserve, hold, manage and preserve
the value of the Receivership Estate.

The U.S. Securities and Exchange Commission, on Feb. 17, charged
before the U.S. District Court in Dallas, Texas, 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.

A criminal case was pursued against him in June before the U.S.
District Court in Houston, Texas.  Mr. Stanford pleaded not guilty
to 21 charges of multi-billion dollar fraud, money-laundering and
obstruction of justice.  Assistant Attorney General Lanny Breuer,
as cited by Agence France-Presse News, said in a 57-page
indictment that Mr. Stanford could face up to 250 years in prison
if convicted on all charges.  Mr. Stanford surrendered to U.S.
authorities after a warrant was issued for his arrest on the
criminal charges.

The criminal case is U.S. v. Stanford, H-09-342, U.S. District
Court, Southern District of Texas (Houston). The civil case is SEC
v. Stanford International Bank, 3:09-cv-00298-N, U.S. District
Court, Northern District of Texas (Dallas).


STANFORD INT'L: CFO Davis Pleads “Not Guilty”; Released on Bail
---------------------------------------------------------------
Laurel Brubaker Calkins and Andrew M. Harris at Bloomberg News
report that Stanford International Bank Limited Chief Financial
Officer James "Jim" Davis, accused of aiding SIBL founder Robert
Allen Stanford, has pleaded not guilty to criminal charges against
him in a U.S. Court.  The report relates Mr. Davis was released by
U.S. Magistrate Judge Calvin Botley on US$500,000 bond with a
US$5,000 cash deposit, with his in-laws and son as co-signers.

According to the report, David Finn, Mr. Davis' lawyer, said his
client will change his plea to guilty at a hearing before U.S.
District Judge David Hittner in Houston within the next two weeks.
“We don’t have an agreed sentence,” the report quotes Mr. Finn as
saying.  “It’s going to be completely the judge’s call,” Mr. Finn
added.  Bloomberg News relates Mr. Finn entered the plea on Mr.
Davis’s behalf, repeating his intention to change the plea after
the government has time to notify victims, as required by federal
law.

Mr. Davis, the report points out, was charged with conspiracy to
commit mail, wire and securities fraud, as well as mail fraud and
conspiracy to obstruct a U.S. Securities and Exchange Commission
investigation.  “Mr. Davis plans to plead guilty to all three
counts, which carry a combined statutory maximum sentence of
thirty years, pursuant to a plea agreement with the United
States,” prosecutors said in a July 9 court filing obtained by the
news agency.

As reported in the Troubled Company Reporter-Latin America on
April 14, 2009, citing Reuters, Mr. Finn said Mr. Davis was
expected to enter plea negotiations with federal prosecutors.  The
report related Mr. Finn said his client has been cooperating with
investigators and expects to enter into talks that could settle
civil charges and any possible criminal charges.  "As recently as
[April 8], Mr. Davis traveled to meet with several agents of the
FBI to locate and retrieve additional pieces of evidence that
could be important to the government's case," Mr. Finn told
Reuters in a telephone interview.  A TCRLA report on March 25,
citing The Wall Street Journal, related that Mr. Davis is
cooperating with authorities in the investigation of an alleged
multi-billion Ponzi scheme at Stanford 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.

On February 16, 2009, the United States District Court for the
Northern District of Texas, Dallas Division, signed an order
appointing Ralph Janvey as receiver for all the assets and records
of Stanford International Bank, Ltd., Stanford Group Company,
Stanford Capital Management, LLC, Robert Allen Stanford, James M.
Davis and Laura Pendergest-Holt and of all entities they own or
control.  The February 16 order, as amended March 12, 2009,
directs the Receiver to, among other things, take control and
possession of and to operate the Receivership Estate, and to
perform all acts necessary to conserve, hold, manage and preserve
the value of the Receivership Estate.

The U.S. Securities and Exchange Commission, on Feb. 17, charged
before the U.S. District Court in Dallas, Texas, 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.

A criminal case was pursued against him in June before the U.S.
District Court in Houston, Texas.  Mr. Stanford pleaded not guilty
to 21 charges of multi-billion dollar fraud, money-laundering and
obstruction of justice.  Assistant Attorney General Lanny Breuer,
as cited by Agence France-Presse News, said in a 57-page
indictment that Mr. Stanford could face up to 250 years in prison
if convicted on all charges.  Mr. Stanford surrendered to U.S.
authorities after a warrant was issued for his arrest on the
criminal charges.

The criminal case is U.S. v. Stanford, H-09-342, U.S. District
Court, Southern District of Texas (Houston). The civil case is SEC
v. Stanford International Bank, 3:09-cv-00298-N, U.S. District
Court, Northern District of Texas (Dallas).


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


CURTIDURIA A GAITA: Verifying Proofs of Claim Until Oct. 13
-----------------------------------------------------------
The court-appointed trustee for Curtiduria A. Gaita S.R.L.'s
reorganization proceedings will be verifying creditors' proofs of
claim until October 13, 2009.

The trustee will present the validated claims in court as
individual reports on November 10, 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
February 4, 2010.

Creditors will vote to ratify the completed settlement plan
during the assembly on May 21, 2010.


MARKET GLASS: Trustee Verifying Proofs of Claim Until August 7
--------------------------------------------------------------
The court-appointed trustee for Market Glass S.A.'s reorganization
proceedings will be verifying creditors' proofs of claim until
August 7, 2009.

The trustee will present the validated claims in court as
individual reports on September 21, 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
November 3, 2009.

Creditors will vote to ratify the completed settlement plan
during the assembly on May 5, 2010.


SALA DE PRIMEROS: Trustee Verifying Proofs of Claim Until Sept. 1
-----------------------------------------------------------------
The court-appointed trustee for Sala de Primeros Auxilios de Haedo
Asociacion Civil's reorganization proceedings will be verifying
creditors' proofs of claim until September 1, 2009.

The trustee will present the validated claims in court as
individual reports on October 15, 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
November 27, 2009.

Creditors will vote to ratify the completed settlement plan
during the assembly on July 1, 2010.


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


AES CORP: Regulators Approve 14.9% Power Rate Hike
--------------------------------------------------
Brazilian regulators approved AES Eletropaulo Metropolitana's
14.9% rate hike request, Guillermo Parra-Bernal at Reuters
reports.  AES Eletropaulo is a Brazilian unit of The AES
Corporation.

According to the report, Eletropaulo said it expects the rate
increase will have a net impact on earnings worth BRL6 million
reais for the second quarter of 2009.  The rate hike took effext
starting July 4.

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 Sao 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 its 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 of June 18, 2009, the company continues to carry these low
ratings from Moody's:

   -- Senior Secured Debt at Ba3
   -- LT Corp Family rating at Ba1
   -- Bank Loan Debt at Ba1
   -- Senior Unsecured Debt Rating at Ba1

from Fitch:

  -- LT Issuer Default Ratings at B+
  -- Senior Secured Debt Rating at BB+
  -- Bank Loan Debt Rating at BB+
  -- Senior Unsecured Debt rating at BB

AES Corp also continues to carry Standard and Poor's LT Issuer
Credit ratings at BB-.


BANCO ABC: Fitch Affirms Issuer Default Rating at 'BB+'
-------------------------------------------------------
Fitch Ratings has affirmed these ratings of Banco ABC Brasil S.A.:

  -- Long-term foreign currency Issuer Default rating (IDR) at
     'BB+'; Outlook Stable;

  -- Short-term foreign currency IDR at 'B';

  -- Long-term local currency IDR at 'BB+'; Outlook Stable;

  -- Short-term local currency IDR at 'B';

  -- Individual rating at 'C/D';

  -- Support rating at '3';

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

  -- National short-term rating at 'F1+(bra)';

The foreign and local currency IDRs, and National ratings of ABCBr
are based on the operational and financial support of its parent,
Arab Banking Corporation (IDR 'BBB+' with a Stable Outlook by
Fitch).  ABC's support of ABCBr has recently been demonstrated by
liquidity assistance extended to the Brazilian operation during
the height of the liquidity strain in local and international
markets in fourth quarter-2008 (4Q'08); in spite of this, ABCBr is
not part of its parent bank's core operations and, as such, not
strategic to its operations.  Fitch is comfortable that the parent
will work to preserve the value of ABCBr in the near and medium
term, but the reduction of its stake from 86% to 54% in the wake
of the 2007 IPO, and the parent bank's renewed focus on its
domestic operations make it clear that the Brazilian operation is
not a key part of its parent's long-term strategy.  As a result,
Fitch believes that the probability of support is moderate, as
evidenced by the '3' Support rating.

The Individual rating reflects the bank's historically adequate
asset quality, expertise in its main business segments, adequate
capitalization ratios and a strategy consistent with the
macroeconomic scenario.  However, the ratings also consider the
fact that ABCBr is modestly sized with little diversification,
relative asset and liability concentration, and profitability
below that of its peers; asset quality is under pressure, and this
translates to pressure on profitability which should continue for
the at least the near term.

Due to the global financial crisis and its effects on the
Brazilian macroeconomic environment, ABCbr has put on hold its
medium-term growth goals.  The expansion of its branches and
personnel has been suspended and asset volume reduced since 3Q'08.
Asset quality, historically good, has been affected by the gradual
migration of the portfolio to longer past-due risk categories, in
line with its main competitors.  As a result, ABCBr has registered
a significant increase in its provisions, putting pressure on its
earnings.  To diversify its portfolio and increase profitability,
ABCBr has emphasized development of the middle-market segment,
which is modest at present.  That strategy, despite being closely
monitored by the bank, could put pressure on asset quality and
occasion significant additional provisions.

As a foreign bank, ABCBr has relatively easy access to foreign
financing with longer tenors and lower costs.  As a result of the
turbulent financial environment, however, ABCbr's financing from
this source has declined, due to its higher prices.  Although the
bank has an ample source of time deposits, its growth will depend
on its success in broadening its funding base.  The liquidity
crisis that affected Brazilian banks led the head office to double
its lines to ABCBr, strengthening its commitment to its Brazilian
subsidiary.

ABCBr, established in 1989, is controlled by ABC (equity of US$2
billion at FYE08) through Marsau Uruguay Holdings.  The bank
operates mainly in lending to medium-sized and large companies.

Fitch's national ratings provide a relative measure of
creditworthiness for rated entities in countries where the
sovereign's foreign and local currency ratings are below 'AAA'.
National ratings are not internationally comparable since the best
relative risk within a country is rated 'AAA' and other credits
are rated only relative to this risk.  They are signified by the
addition of an identifier, for the country concerned, such as 'AAA
(bra)' for national ratings in Brazil.


BANCO SAFRA: Fitch Affirms Support Rating Floor at 'B+'
-------------------------------------------------------
Fitch Ratings has affirmed all ratings of Banco Safra S.A., Safra
Leasing S.A. - Arrendamento Mercantil, as well as its debenture
issuances:

Banco Safra S.A.

  -- Long-term foreign Issuer Default Rating (IDR) at 'BBB-',
     Outlook Stable;

  -- Short-term foreign currency IDR at 'F3';

  -- Long-term local currency IDR at 'BBB-', Outlook Stable;

  -- Short-term local currency IDR at 'F3';

  -- Individual rating at 'C';

  -- Long-Term national rating at 'AA+(bra)', Outlook Stable;

  -- Short-term national rating at 'F1+(bra)';

  -- Support rating at '4';

  -- Support rating floor at 'B+'.

Safra Leasing S.A. - Arrendamento Mercantil

  -- Long-term national rating at 'AA+(bra)', Outlook Stable;
  -- Short-term national rating at 'F1+(bra)'.

Safra Leasing S.A. - 12th, 13th, 14th and 15th Issuance of
debentures

  -- Long-term national rating at 'AA(bra)';

Banco Safra BRL300 million notes

  -- Long-term local currency rating at 'BBB-'.

The long-term Rating Outlooks remain Stable.

The affirmation of Safra's ratings reflects the bank's capacity
and agility to manage risks and adapt its balance sheet during
periods of economic volatility, its consistent performance, with
conservative practices in managing credit exposures, and good
controls on its collateral stream.  In addition, the ratings also
consider its greater relative dependence on institutional and
large corporate funding and net interest income, high exposure to
sovereign risk and a policy of maximizing return on its capital
base, which, over time, can translate to growing leverage.  In
Fitch's opinion, Safra's ratings could be affected by an eventual
marked deterioration in its loan portfolio or its capitalization.
Upside to current ratings is limited, given concentrations evident
in its revenue stream and on its balance sheet.

In response to the worsening of the global financial crisis, Safra
was agile in bolstering its liquidity to face some redemptions by
institutional investors and large corporations in the fourth
quarter 2008 (4Q'08), as well as in managing its assets and
liabilities, reducing its credit and market risk exposures, while
slowing the growth of credit operations, including in retail,
where it has cautiously initiated a number of projects which are
still in the development phase.  Liquidity has remained strong
since October 2008, and the bank has been more selective in the
credit approval process due the expectation of greater
delinquencies in 2009; this pressure on asset quality should
continue, though it may be partially offset by higher spreads
going forward.  Fitch believes that profitability in 2009 will be
more modest than historical levels given limited balance sheet
growth as a result of the economic downturn and higher credit
costs.

Safra maintained satisfactory asset quality, despite the increased
pressure expected on its performance.  The bank's asset quality
ratios have been historically stronger than the peer average,
notwithstanding the expansion of its financing operations to often
higher risk small and medium-sized companies and individuals in
recent years (39% and 13% of the average portfolio of
BRL27.8 billion at end-1Q'09).  Loan loss reserves, equivalent to
84.1% of impaired loans and 246.3% of loans past due over 60 days
at end-1Q'09 (90.7% and 308.3% at fiscal year-end 2008 [FYE08],
respectively), are adequate, given a track record of limited
credit losses.

While capitalization ratios have benefited from the pause in
balance sheet growth, Fitch anticipates Safra's capitalization
will come under pressure when the bank starts its resumption of
growth, and revert closer to historically lower levels.  The
regulatory capital ratio was 16.9% at end-1Q'09.  Capital is
largely Tier 1, and deferred tax assets, while higher than in the
past, are still quite low relative to its local peers.

Safra is 100%-controlled by the Joseph Safra family and was the
sixth-largest private bank in Brazil in terms of total assets and
equity at 1Q'09.  The bank and its subsidiaries offer a wide range
of banking services to large companies, SMEs, institutional
investors and high-income individuals.


GOL LINHAS: Bank of America Upgrades Airline to “Buy”
-----------------------------------------------------
Bank of America Corp. analyst Michael Linenberg has boosted GOL
Intelligent Airlines aka GOL Linhas Areas Inteligentes S.A. to
“buy” from “underperform,” Catarina Saraiva of Bloomberg News
reports.  The report relates Mr. Linenberg wrote in notes that the
airline has room to “materially improve margins.”

According to the report, Mr. Linenberg said the airline will
benefit from an appreciation of Brazil’s real.   The report
relates the real has gained 18% against the U.S. dollar this year,
the biggest advance among the world’s 16 most-traded currencies.

“Now that the real has ‘turned,’ we think that the company’s non-
cash financial expenses will reverse and provide a benefit to the
company’s profits and losses,” Mr. Linenberg wrote in a note
obtained by the news agency.

Bloomberg News notes, citing the country’s civil aviation agency,
Brazilian air travel rose 7.5% last month from a year earlier; a
rebound from a 5.4% decline in May and the biggest rise since a
9.2% advance in September.  “With better prospects for domestic
economic growth in the second half of 2009, we believe that demand
will continue to improve,” the report quoted Victor Mizusaki, an
analyst with Itau Unibanco Holding SA, as saying.  Gol Linhas will
“continue to post strong performances” in this scenario, Mr.
Mizusaki added.

                         About GOL Linhas

Based in Sao Paulo, Brazil, GOL Intelligent Airlines aka GOL
Linhas Areas Inteligentes S.A. –- http://www.voegol.com.br/--
through its subsidiary, GOL Transportes Aereos S.A., provides
airline services in Brazil, Argentina, Bolivia, Uruguay, and
Paraguay.  The company's services include passenger, cargo, and
charter services.  As of March 20, 2006, Gol Linhas provided 440
daily flights to 49 destinations and operated a fleet of 45 Boeing
737 aircraft.  The company was founded in 2001.

                          *     *     *

As of May 19, 2009, the company continues to carry Moody's B1
long-term corporate family ratings.  The company also continues to
carry Fitch's B+ Issuer Credit Ratings and B Senior Unsecured
Rating and Preferred Stock ratings.


MAGNESITA REFRATARIOS: Plane With Chief Financial Officer Missing
-----------------------------------------------------------------
The plane with Magnesita Refratarios SA Chief Financial Officer
Mauricio Lustosa de Castro on board is missing since July 11,
Flavia Bohone and Matthew Walter at Bloomberg News report.  The
CFO's plane made last contact over Venezuela at around 6 p.m.
Brasilia time on Saturday.

According to the report, Enrique Martin, a member of Venezuela’s
Search and Rescue Association, said the pilot checked in with air-
traffic controllers in Venezuela’s Bolivar state before the
aircraft later sent out a distress signal.  Venezuelan planes
patrolled the area looking for the plane early this week before
temporarily suspending the search because of bad weather, Mr.
Martin told the news agency in a telephone interview.

Magnesita Refratarios SA produces and markets refractory materials
and operates mines.  The company's product includes refractory
bricks, refractory tools for continous casting, and monolithic
refractories.  Magensia owns mineral deposits throughout Brazil.

                          *     *     *

As of July 14, 2009, the company continues to carry Moody's B2 LT
Corp Family rating and Ba2.br NSR LT Corp rating.  The company
also continues to carry Standard and Poor's BB- LT Issuer Credit
ratings.


TAM SA: Upgraded to “Buy” From “Neutral” at Bank of America
-----------------------------------------------------------
Bank of America Corp. analyst Michael Linenberg has boosted Tam SA
to “buy” from “neutral,” Catarina Saraiva of Bloomberg News
reports.  The report relates Mr. Linenberg wrote in notes that Tam
SA has an “attractive valuation.”

According to the report, Mr. Linenberg said the airline will
benefit from an appreciation of Brazil’s real.   The report
relates the real has gained 18% against the U.S. dollar this year,
the biggest advance among the world’s 16 most-traded currencies.

“Now that the real has ‘turned,’ we think that the company’s non-
cash financial expenses will reverse and provide a benefit to the
company’s profits and losses,” Mr. Linenberg wrote in a note
obtained by the news agency.

Bloomberg News notes, citing the country’s civil aviation agency,
Brazilian air travel rose 7.5% last month from a year earlier; a
rebound from a 5.4% decline in May and the biggest rise since a
9.2% advance in September.  “With better prospects for domestic
economic growth in the second half of 2009, we believe that demand
will continue to improve,” the report quoted Victor Mizusaki, an
analyst with Itau Unibanco Holding SA, as saying.  Tam SA will
“continue to post strong performances” in this scenario, Mr.
Mizusaki added.

                           About TAM SA

Based in Sao Paulo, Brazil, TAM S.A. -- http://www.tam.com.br/--
has business agreements with the regional airlines Pantanal,
Passaredo, Total and Trip.  As of Jan. 14, the daily flight on the
Corumba -- Campo Grande route in Mato Grosso do Sul began to be
operated by a partnership with Trip.  With the expansion of the
agreement with NHT, TAM will now be serving 82 destinations in
Brazil, 45 of which with its own flights.  In addition, the
company is strengthening its presence in Rio Grande do Sul and
Santa Catarina.

                           *     *     *

As of June 17, 2009, the company continues to carry Fitch
Ratings' 'BB' Foreign and Local Currency Issuer Default Ratings.
The company also continues to carry Moody's B1 LT Corp Family
Rating and Senior Unsecured Debt Ratings.


TAM SA: Records 86.7% International Market Share in June
--------------------------------------------------------
TAM S.A. reports operating data for May 2009, as disclosed by the
Brazilian National Civil Aviation Agency.

According to ANAC, the airline registered 0.8% growth in domestic
demand from the same period last year, and 4.7% increase in
domestic supply, measured in ASK.  In June, market demand
increased 9.4% and market supply increased 11.9%.  The airline
registered domestic market share of 44.8%, a 3.8 p.p. decrease
compared to the same period in 2008.  The airline's domestic load
factor was 64.7%, 0.8 p.p. lower than the market average of 65.4%.

In the international market, TAM SA registered 18.1% growth in RPK
and 25.5% in ASK, compared to June 2008.  The airline attained
market share of 86.7%, representing 11.4 p.p. growth year on year.
TAM SA also attained 68.3% load factor, 2.8 p.p. higher than the
market average of 65.5%.

                            About TAM SA

Based in Sao Paulo, Brazil, TAM S.A. -- http://www.tam.com.br/--
has business agreements with the regional airlines Pantanal,
Passaredo, Total and Trip.  As of Jan. 14, the daily flight on the
Corumba -- Campo Grande route in Mato Grosso do Sul began to be
operated by a partnership with Trip.  With the expansion of the
agreement with NHT, TAM will now be serving 82 destinations in
Brazil, 45 of which with its own flights.  In addition, the
company is strengthening its presence in Rio Grande do Sul and
Santa Catarina.

                            *     *     *

As of June 17, 2009, the company continues to carry Fitch
Ratings' 'BB' Foreign and Local Currency Issuer Default Ratings.
The company also continues to carry Moody's B1 LT Corp Family
Rating and Senior Unsecured Debt Ratings.


USINIMAS SIDERURGICAS: 2Q Results May Miss Forecast, Goldman Says
-----------------------------------------------------------------
Goldman Sachs Group Inc. said Usinas Siderurgicas de Minas Gerais
SA may miss its second-quarter results forecasts, Jeb Blount at
Bloomberg News reports.

The company may post profit of 77 centavos a share, less than a
previous forecast of 92 centavos, analysts led by Marcelo Aguiar
said in a note obtained by the news agency.  Bloomberg News
relates Goldman lowered its estimate amid falling steel prices and
because Usiminas sold steel from inventories produced when raw-
material costs were higher.

“Usiminas’s stock has recently outperformed its Latam steel stock
peers as the company is the largest beneficiary from a stronger
rebound in Brazilian steel demand,” the report quoted Mr. Aguiar
as saying.  Mr. Aguiar has a “buy” rating on the the company's
stock.

Bloomberg News notes that Mr. Aguiar said “Softer” results may
cause other Brazilian steelmakers’ shares to outperform Usiminas,
“potentially creating a buying opportunity.”

Usiminas Siderurgicas will report its second-quarter results on
July 22.

                    About Usinas Siderurgicas

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 June 19, 2009, the company continues to carry Moody's Ba1
Suboridate Debt rating.


* BRAZIL: Economists See Gross Domestic Product to Shrink 0.34%
---------------------------------------------------------------
Economists covering Brazil’s economy predict that gross domestic
product will shrink 0.34% in 2009 from a forecast 0.50% drop a
week earlier, Andre Soliani at Bloomberg News reports, citing the
median forecast in a July 10 central bank survey of about 100
economists.   The report relates the survey showed that the
central bank will to cut the Selic rate to a record 8.75% on
July 22 and hold it at that level through year-end.

“The economy has proven more resilient than expected, leading to a
little more caution by policy makers,” Roberto Padovani, chief
economist at Banco WestLB in Sao Paulo, told the news agency in a
telephone interview.  “We also see inflation in Brazil has a
certain resistance,” Mr. Padovani added.

According to the report, citing the survey, economists expect
annual inflation will slow to 4.5% by year-end from the current
4.80 percent.  The report notes that previously, economists
expected a year-end annual rate of 4.42%.

Policy makers target an annual inflation rate of 4.50%, plus or
minus two percentage points to accommodate for unexpected price
shocks, Bloomberg News adds.

                         *     *     *

The country continues to carry Moody's Rating Agency's "Ba1" local
and foreign currency ratings.


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


ACM ASIA: Creditors' Proofs of Debt Due on August 7
---------------------------------------------------
The creditors of ACM Asia Real Estate Securities Opportunity Fund,
Ltd are required to file their proofs of debt by August 7, 2009,
to be included in the company's dividend distribution.

The company commenced wind-up proceedings on June 19, 2009.

The company's liquidator is:

          Sanford Krieger
          c/o 55 East 52nd Street
          New York, NY 10055


APYROUS FUND: Creditors' Proofs of Debt Due on July 28
------------------------------------------------------
The creditors of Apyrous Fund, Ltd. are required to file their
proofs of debt by July 28, 2009, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on June 22, 2009.

The company's liquidator is:

          Ogier
          c/o Susan Taber
          Queensgate House, South Church Street
          PO Box 1234, Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 815 1889
          Facsimile: (345) 949 1986


APYROUS MASTER: Creditors' Proofs of Debt Due on July 28
--------------------------------------------------------
The creditors of Apyrous Master Fund, Ltd. are required to file
their proofs of debt by July 28, 2009, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on June 25, 2009.

The company's liquidator is:

          Ogier
          c/o Susan Taber
          Queensgate House, South Church Street
          PO Box 1234, Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 815 1889
          Facsimile: (345) 949 1986


AQR ABSOLUTE: Creditors' Proofs of Debt Due on July 28
------------------------------------------------------
The creditors of AQR Absolute Return Offshore Fund (USD) II Ltd.
are required to file their proofs of debt by July 28, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on June 10, 2009.

The company's liquidator is:

          Ogier
          c/o Martina de Lima
          Ogier, Queensgate House
          South Church Street, PO Box 1234
          Grand Cayman KY1-1108, Cayman Islands
          Telephone: (345) 949 9876
          Facsimile: (345) 949 1986


AQR FINANCIAL: Creditors' Proofs of Debt Due on July 28
-------------------------------------------------------
The creditors of AQR Financial Futures Offshore Fund Ltd. are
required to file their proofs of debt by July 28, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on June 10, 2009.

The company's liquidator is:

          Ogier
          c/o Martina de Lima
          Ogier, Queensgate House
          South Church Street, PO Box 1234
          Grand Cayman KY1-1108, Cayman Islands
          Telephone: (345) 949 9876
          Facsimile: (345) 949 1986


AQR GAA: Creditors' Proofs of Debt Due on July 28
-------------------------------------------------
The creditors of AQR GAA Global Total Return Offshore Fund Ltd.
are required to file their proofs of debt by July 28, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on June 10, 2009.

The company's liquidator is:

          Ogier
          c/o Martina de Lima
          Ogier, Queensgate House
          South Church Street, PO Box 1234
          Grand Cayman KY1-1108, Cayman Islands
          Telephone: (345) 949 9876
          Facsimile: (345) 949 1986


AQR RC: Creditors' Proofs of Debt Due on July 28
------------------------------------------------
The creditors of AQR R.C. Equity Offshore Fund Ltd. are required
to file their proofs of debt by July 28, 2009, to be included in
the company's dividend distribution.

The company commenced wind-up proceedings on June 10, 2009.

The company's liquidator is:

          Ogier
          c/o Martina de Lima
          Ogier, Queensgate House
          South Church Street, PO Box 1234
          Grand Cayman KY1-1108, Cayman Islands
          Telephone: (345) 949 9876
          Facsimile: (345) 949 1986


ASHANTI CAPITAL: Commences Wind-Up Proceedings
----------------------------------------------
On June 15, 2009, the sole shareholder of Ashanti Capital (Second)
Limited passed a resolution that voluntarily winds up the
company's operations.

The company's liquidator is:

          Hendrik Johannes Snyman
          12 Hollin Lane, Tromode Woods
          Braddan, Isle of Man


BRIGHT FUTURES: Creditors' Proofs of Debt Due on August 4
---------------------------------------------------------
The creditors of Bright Futures Growth Fund Limited are required
to file their proofs of debt by August 4, 2009, to be included in
the company's dividend distribution.

The company commenced wind-up proceedings on June 17, 2009.

The company's liquidator is:

          Yan Yin Wing, William
          Far East Finance Centre, 46th Floor
          16 Harcourt Road, Hong Kong
          Telephone: (852) 25289882
          Facsimile: (852) 25290177


CEYLON PARTNERS: Creditors' Proofs of Debt Due on July 29
---------------------------------------------------------
The creditors of Ceylon Partners LLC are required to file their
proofs of debt by July 29, 2009, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on June 19, 2009.

The company's liquidators are:

          Catherine Smith
          Pearline Mcintosh
          For Serendib Capital LLC
          c/o Maples and Calder
          PO Box 309, Ugland House
          Grand Cayman KY1-1104, Cayman Islands


CNH MA: Creditors' Proofs of Debt Due on July 28
------------------------------------------------
The creditors of CNH MA I, Ltd. are required to file their proofs
of debt by July 28, 2009, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on June 10, 2009.

The company's liquidator is:

          Ogier
          c/o Martina de Lima
          Ogier, Queensgate House
          South Church Street, PO Box 1234
          Grand Cayman KY1-1108, Cayman Islands
          Telephone: (345) 949 9876
          Facsimile: (345) 949 1986


EUROMAX III: S&P Downgrades Ratings on Three Classes of Notes
-------------------------------------------------------------
Standard & Poor's Rating Services lowered and removed from
CreditWatch negative its credit ratings on the class A-1, A-2, and
B notes issued by EUROMAX III MBS Ltd.

The rating actions follow S&P's assessment of the deterioration in
the underlying portfolio's credit quality and the significant
proportion of assets it contains that are currently on CreditWatch
negative.

On April 6, S&P published revised assumptions governing structured
finance assets with ratings on CreditWatch negative held within
collateralized debt obligation transactions.  Under these revised
assumptions, S&P adjust ratings on CreditWatch negative downward
by at least three notches.

S&P's analysis indicates that the underlying portfolio in this
transaction contains about 28% of assets on CreditWatch negative,
a significantly higher proportion than when S&P put the notes on
CreditWatch on June 10.  Furthermore, 8% of the pool comprises
assets that S&P treats in its analysis as defaulted.

The combination of these factors indicates a worsening of the
transaction's risk profile, in S&P's opinion.  S&P is also
concerned about the concentrated nature of the underlying
portfolio.  In S&P's view, the credit enhancement available to the
three classes is no longer sufficient to maintain their ratings.
As such, S&P lowered the ratings on EUROMAX III MBS's notes to
levels which, in S&P's view, reflect the current likelihood of
repayment to noteholders.

EUROMAX III MBS is a CDO of asset-backed securities transaction
backed by a pool of European retail and mortgage-backed securities
as well as some CDO assets.  The transaction is currently in its
amortization period and has redeemed nearly 37% of the original
balance of the class A-1 notes.

                           Ratings List

                       EUROMAX III MBS Ltd.
        EUR195.24 Million Asset-Backed Floating-Rate Notes

      Ratings Lowered And Removed From CreditWatch Negative

      Class           To                       From
      -----           --                       ----
      A-1             AA-                      AAA/Watch Neg
      A-2             A-                       AA+/Watch Neg
      B               BB+                      A/Watch Neg


EURUS II: S&P Assigns 'BB' Rating on EUR75 Million Class A Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary 'BB'
credit rating to the EUR75 million class A series 1 notes issued
under the principal at-risk floating-rate note program, Eurus II
Ltd.

The issued notes are exposed to major windstorm risk in Belgium,
Denmark, France, Germany, Ireland, the Netherlands, and the U.K.,
between August 2009 and March 2012.  Eurus II is a Cayman Islands
exempted company.  All of its issued and outstanding share capital
will be held in trust for charitable purposes by Wilmington Trust
(Cayman) Ltd.

Hannover Rueckversicherung AG, E+S Rueckversicherung AG, and
Hannover Re Bermuda Ltd. (collectively, Hannover Re) are the
counterparties to the risk transfer contract.

Hannover Rueckversicherung is the parent company of E+S
Rueckversicherung and Hannover Re Bermuda, and provides global
reinsurance.  It is proposing to enter into this transaction to
receive a multiyear source of risk-transfer capacity for certain
European windstorm events.  Although the term to maturity of the
notes is only 2.667 years, the notes will provide protection to
Hannover Re over three European windstorm seasons.

AIR Worldwide Corp., as the event calculation agent, will
calculate an index value following a qualifying event.  The index
value will be based on actual wind-speed readings at the METAR
reporting stations across the covered countries and the pre-agreed
weightings assigned to each reporting station.

Hannover Re will have the option, once a year, to update the pre-
agreed weightings for each reporting station.


INVESTCORP OPPORTUNISTIC: Placed Under Voluntary Liquidation
------------------------------------------------------------
At an extraordinary general meeting held on June 24, 2009, the
members of Investcorp Opportunistic Investments Onshore Fund
Limited resolved to voluntarily wind up the company's operations.

The company's liquidators are:

          Harsh Shethia
          Janick Fierens
          Mufeed Rajab
          Box 5340, Manama
          Bahrain


PARKTON REINSURANCE: S&P Puts 'B+' Rating on Series 2009-1 Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it has assigned its
'B+' rating to the Series 2009-1 notes to be issued by Parkton
Reinsurance Ltd.  Parkton Re is an exempted Cayman Islands company
licensed as a Class B insurer in the Cayman Islands.

The cedent to Parkton Re will be Swiss Reinsurance America Corp.
(SWRA; A+/Stable/--).  SWRA, which S&P considers a core member of
the group, is a wholly owned subsidiary of Swiss Reinsurance Co.,
the group's main U.S. property/casualty operating company.  SWRA
will be responsible for the premium payments due under the
retrocession agreement in place between it and Parkton Re.
Covered losses will not be directly linked to SWRA's exposure in
the covered area, North Carolina.  Rather, they will be based on
the paid losses of the North Carolina Joint Underwriting
Association and the North Carolina Insurance Underwriting
Association, collectively the NC JUA/IUA.

When rating natural peril catastrophe bonds linked to hurricanes,
Standard & Poor's will look to the sensitivity analysis, that is,
the warm sea surface temperature conditioned catalogue, which
incorporates the impact of elevated sea surface temperatures on
hurricane activity and looks at the last 15 years to generate the
stochastic hurricane event set.  The probability of attachment
incorporating the effect of warm seas surface temperatures for the
notes is 2.24%.

The Series 2009-1 notes will cover [16.67]% of losses between the
attachment level of $2.55 billion and the exhaustion level of
$3.30 billion.


TIDEN DESTINY: Creditors' Proofs of Debt Due on August 7
--------------------------------------------------------
The creditors of Tiden Destiny Fund Limited are required to file
their proofs of debt by August 7, 2009, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on June 24, 2009.

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


TIDEN DESTINY: Creditors' Proofs of Debt Due on August 7
--------------------------------------------------------
The creditors of Tiden Destiny Master Fund Limited are required to
file their proofs of debt by August 7, 2009, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on June 25, 2009.

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


YURAKUCHO CAYMANSPV: Creditors' Proofs of Debt Due on August 7
--------------------------------------------------------------
The creditors of Yurakucho Caymanspv are required to file their
proofs of debt by August 7, 2009, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on June 25, 2009.

The company's liquidators are:

          Victor Murray
          Jess Shakespeare
          c/o Maples Finance Limited
          PO Box 1093, Boundary Hall
          Grand Cayman KY1-1102, Cayman Islands


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


BANCOLOMBIA SA: Posts COP76.0 Billion Net Income for June
---------------------------------------------------------
Bancolombia S.A. reported unconsolidated net income of
COP76.0 billion for the month ended June 30, 2009.  Net income for
Bancolombia on an unconsolidated basis totaled COP555.1 billion
for the first six months of 2009, decreasing 5.1% as compared to
the same period last year.

   -- Net interest income, including interest from
      investment securities, totaled COP207.0 billion in
      June 2009.  For the six month period ended
      June 30, 2009, net interest income totaled
      COP1,361.4 billion, increasing 12.6% as compared to
      the same period last year.

   -- Net fees and income from services totaled
      COP72.7 billion in June 2009.  For the six month
      period ended June 30, 2009, net fees and income from
      services totaled COP411.9 billion, which represents
      an increase of 10.1% as compared to the same period
      of 2008.

   -- Other operating income registered a loss of
      COP971 million in June 2009.  For the six month
      period ended June 30, 2009, other operating income
      totaled COP189.2 billion, decreasing 51.2% as
      compared to the same period last year, driven by
      the negative impact in the line item of income from
      derivative financial instruments caused by a
      COP122.8 billion charge during the six month period
      ended June 30, 2009, related to rule changes concerning
      valuation methodologies for derivative instruments
      established by the Colombian regulator.  The Bank
      finished amortizing the reduction in the carrying
      value of derivatives in June 2009.  In addition,
      other operating income for the six month period ended
      June 30, 2008 was positively impacted by sales of
      equity securities, as the bank recorded gains on
      sales of investment securities of COP40.7 billion
      related to the sale of interest in Multienlace S.A.
      Bancolombia notes that a considerable part of other
      operating income comes from dividend income received
      from subsidiaries, which is eliminated in the
      consolidated results as it is an intercompany
      transaction.  As a result, this dividend income is only
      recorded in Bancolombia's unconsolidated results.

   -- Net provisions charges totaled COP50.5 billion in
      June 2009.  Net provisions totaled COP390.8 billion
      for the six month period ended June 30, 2009, which
      represents an increase of 48.3% as compared
      to the same period of 2008.

   -- Operating expenses totaled COP154.5 billion in
      June 2009.  For the six month period ended
      June 30, 2009, operating expenses totaled
      COP963.8 billion, increasing 13.4% as compared
      to the same period of 2008.

Total assets (unconsolidated) amounted to COP40.4 trillion, gross
loans amounted to COP28.5 trillion, deposits totaled
COP26.6 trillion and Bancolombia's total shareholders' equity
amounted to COP6.0 trillion.

Bancolombia's unconsolidated level of past due loans (overdue more
than 30 days) as a percentage of total loans was 3.58% as of
June 30, 2009, and the coverage for past due loans was 144.1% as
of the same date.

Meanwhile, according to ASOBANCARIA (Colombia's national banking
association), Bancolombia's market share of the Colombian
financial system as of June 2009 were:

   * 21.8% of total net loans,
   * 20.8% of total checking accounts,
   * 20.1% of total savings accounts,
   * 18.1% of time deposits, and
   * 19.5% of total deposits.

                     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.

                          *     *     *

In May 2009, Moody's Investors Service upgraded from D to D+,
Bancolombia S.A.'s financial strength rating.  The outlook on the
BFSR was changed to "stable", from "positive".  Bancolombia's
long-term and short-term local currency deposit ratings of "Baa2"
and "Prime- 3", as well as the long-term and short-term foreign
currency deposit ratings of "Ba2" and "Not Prime" were affirmed by
Moody's.  Bancolombia's foreign currency subordinated debt rating
of"Baa3" was also affirmed with a stable outlook by the rating
firm.

Fitch Ratings affirmed on June 2009 Bancolombia's long- and short-
term Issuer Default Ratings and outstanding debt ratings as
follows: Long-term foreign currency IDR at 'BB+'; Short-term
foreign currency IDR at 'B'; Long-term local currency IDR at
'BB+'; Short-term local currency IDR at 'B'; Individual at 'C/D';
Support at '3'; Support Floor at 'BB-'.  At the same time the
rating for Bancolombia's subordinated debt maturing May 2017 was
affirmed at 'BB'. The Rating Outlook is Stable.


ECOPETROL SA: Fitch Assigns 'BB+' Rating on US$1 Bil. Notes
-----------------------------------------------------------
Fitch Ratings has assigned a 'BB+' rating to Ecopetrol S.A.'s
proposed issuance of at least US$1 billion senior unsecured notes
due 2019. Proceeds will be used for investments and general
corporate purposes.

Ecopetrol's ratings are linked with the credit profile of the
Republic of Colombia (local and foreign currency ratings of 'BBB-'
and 'BB+', respectively, by Fitch), which owns 89.9% of the
company's total capital.  The company is also linked closely with
the Colombian government through its exposure to changes in
regulation and its receipt of subsidies from the central
government in the past and potentially in the future.

On a standalone basis, Ecopetrol maintains a strong financial
profile.  Its reserves are sizable and stable, and its production
levels have been increasing.  These factors, plus its dominant
domestic market share, allow the company to generate consistently
strong cash flows from operations and meet its obligations in a
timely manner.  Like other companies in this sector, Ecopetrol is
vulnerable to fluctuations in international commodity prices and
tightening environmental regulations requiring material investment
in downstream operations.

Due to changes made by the government in 2003 prompted by the
company, Ecopetrol has had to compete for new exploratory rights.
This has resulted in high exploration and production expenses due
to a competitive bidding process and high capital expenditures
that are required to increase and maintain reserves.  This has
resulted in Ecopetrol having the largest acreage in Colombia and
establishing a very aggressive capital expenditure and investment
program of approximately US$60 billion from 2008 to 2015 including
US$6.2 billion in 2009.

The company plans to finance its capital expenditure program using
internal cash flow generation, debt issuances as well as a
possible secondary equity offering, which could increase the
company's total floating capital to 20%, as per law 1118 of 2006
the government's stake cannot be diluted to less than 80%.  Fitch
Ratings expects leverage, as measured by total adjusted debt
(including off-balance sheet debt) to EBTIDA, to range between 2.0
times (x) and 2.5x over the medium term.

Ecopetrol is a vertically integrated oil company owned by the
Colombian government (approximately 89.9%).  The company's
activities include exploration for and production of crude oil and
natural gas, as well as refining, transportation, distribution and
marketing of refined products.  Ecopetrol is Latin America's
fourth-largest integrated oil company with hydrocarbon production
during 2008 of 447,000 boe per day, refining capacity of 335,000
bpd and proved reserves of 1.14 billion boe.


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


* DOMINICAN REPUBLIC: 17 Power Plants' Operations Halted
--------------------------------------------------------
Seventeen power plants, from the 41 available, in the Dominican
Republic were shut down due to outstanding government debts, lack
of fuel or by “executive orders” from owners, the Dominincan Today
reports.  The report relates on July 11, the power companies’
output reached a mere 119 megawatts, leading to blackouts as long
as 10 hours.

According to the report, among power company Ege-Haina’s 11
plants, only two units –- Barahona’s coal fired unit and San
Pedro-based Sultana del Este -- were on line.  The report relates
the operations of Cogentrix II and III; Falcando II and III;
Higüamo I and II, Los Mina V and VI and San Felipe of Puerto
Plata, were also halted.  The plants' move affects the northern
region Cibao.

                       *     *     *

The country continues to carry Moody's B2 currency ratings.


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


* ECUADOR: Gov't Negotiates With China Over US$1BB Oil Payment
--------------------------------------------------------------
The Ecuador government is in talks with China's state-owned
PetroChina for an advance payment of US$1 billion in exchange for
future purchases of 96,000 barrels of oil per day over two years,
Mercedes Alvaro of Dow Jones Newswires reports, citing Minister of
Economic Policy Coordination of Diego Borja.  The report relates
if the talks will be a success it would help Ecuador manage a
financing squeeze after it recently pulled off an overseas bond
buyback that slashed its stock of foreign debt but likely left it
cut off from foreign capital markets.

Mr. Borja told Dow Jones Newswires in an interview that in
addition to the US$1 billion advance on oil supplies, Quito is
also negotiating with Beijing on a separate US$1 billion credit
with a four-year maturity.  The report relates President Rafael
Correa said Ecuador will receive the US$1 billion advance on its
oil sales in the next few days, suggesting a deal is imminent.

Dow Jones Newswires notes that as part of the oil-finance
negotiations, Mr. Borja said Ecuador is asking China to use the
crude for its final consumption and not sell it to Peru or Chile,
as that would distort those markets, which already buy much of
Ecuador's exported oil.  However, the report notes Mr. Borja said
PetroChina could resell it elsewhere.

Mr. Borja, the report notes, said Ecuador isn't negotiating a
fixed price for its oil, adding that the price will be decided
upon for each shipment according to prevailing market conditions.
If the deal goes through, Ecuador's government will invest the
money in public works, Mr. Borja added.

                         *     *     *

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


=============
G R E N A D A
=============


* GRENADA: Government Denies Seeking IMF Financial Assistance
-------------------------------------------------------------
The Grenada government has denied media reports that it will ask
the International Monetary Fund for any additional financial
assistance to pull through the economic crisis, Caribbean360.com
reports.  However, the report relates the government said it would
continue to work with the IMF to meet the terms of the Poverty
Reduction and Growth Facility -- the IMF's low-interest lending
facility for low-income countries -- as agreed by the previous
administration.

"While government will continue to keep the Fund and other
stakeholder agencies, informed of its strategies and measures to
help Grenada recover from the current global financial crisis,
there is absolutely no truth in recent statements that the
government is seeking a new IMF program," the government said in a
statement obtained by the news agency.

According to the report, the government said that its earlier
letter to the IMF has been misinterpreted.  "The government has
asked for the release of a disbursement of funds under the current
PRGF program following the IMF's third review.  This is not an
application for a new IMF facility, but a request for a
disbursement of funds already agreed to under the terms of the
current PRGF program," the government statement added.


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


SUGAR COMPANY: To Unveil Deals to Sell Plants, Agri Minister Says
-----------------------------------------------------------------
Agriculture Minister Dr. Christopher Tufto said that announcements
regarding the sale of Sugar Company of Jamaica's sugar factories
will be revealed soon, RadioJamaica reports.  According to the
report, Mr. Tufton said further deals are expected to be signed in
a matter of days.

"It's going well, discussions are continuing.  We've divested two
of the five and the other three are being discussed, the report
quoted Mr. Tufton as saying.  "I'll be updating the public on
where we're going with the three remaining companies in the next
two weeks," Mr. Tufton added.

As reported in the Troubled Company Reporter-Latin America on
July 14, 2009, RadioJamaica said the High Court decided on Friday
to throw out an injunction by the estate's original owners who are
seeking to block the sale.

A TCRLA report on June 22, 2009, citing RadioJamaica, related that
the Jamaican government's plan to divest SCJ's five sugar
factories may face trouble if the original owners of the Hampden
Estate succeed in their legal battle in the High Court.  The
report related that Hampden has sued the SCJ, the Trelawny Sugar
Company which operated the factory, and the former
receiver/manager John Lee in its objection to the divestment.
The Gleaner noted that SCJ's sugar factories are now expected to
be sold off to what has been described as a "priority four
investors."  The report related that sources said the government
failed to offload the company as a single entity.  The report
noted the shortlisted four are:

   * a conglomerate -- Hussey family and American
     partners -- who is going after the Long Pond and Hampden
     Estates in Trelawny;

   * U.S.-based Energen Corporation for the Petrojam Ethanol
     facility and Bernard Lodge, Innswood, Monymusk estates in
     Clarendon;

   * Italians Eridania Sadam, who is eyeing the Frome estate in
      Westmoreland; and

   * Fred M. Jones, in partnership with Seprod Limited, has set
     his sights on the Duckenfield estate in St Thomas.

The Jamaica Gleaner reported that Agriculture Minister Christopher
Tufton said that if a new deal is not inked soon for the
divestment of SCJ's factories, the public will be called on again
to plug a projected US$4.2 billion hole, representing a US$2
billion operational loss, and bank penalties, apparently from
conti-nuous hefty overdrafts, incurred by the SCJ's four factories
during the 2008/2009 season.  The Gleaner related the enterprise
has a US$21-billion debt and losses totalling more than US$14
billion since 2005.


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


* MEXICO: Faces “Unsustainable” Deficits, Morgan Stanley Says
-------------------------------------------------------------
Mexico’s fiscal accounts may be heading toward “unsustainable
deficits” as a decline in oil production cuts government revenue,
Valerie Rota at Bloomberg News reports, citing Morgan Stanley.

Mexico may need to curb spending growth to keep the deficit in
check should the government fail to push through changes to tax
laws that buoy revenue, Morgan Stanley analysts Luis Arcentales
and Daniel Volberg wrote in a report obtained by the news agency.

According to the report, Mr. Arcentales and Mr. Volberg said that
the prospect that Mexican legislators can increase taxes, broaden
the tax base, or tax food and medicine has become “more
challenging” after President Felipe Calderon’s National Action
Party lost its status as the biggest in the lower house in midterm
elections held July 5.  “We find that, absent a tax reform, a
major spending adjustment would be required to avoid meaningful
medium-term fiscal deterioration,” Mr. Arcentales and Mr. Volberg
were quoted by Bloomberg News as saying.  “Our work suggests that
on its current path Mexico’s fiscal accounts may be heading
towards unsustainable deficits,” they added.

As reported in the Troubled Company Reporter-Latin America on
May 22, 2009, Bloomberg News said Mexico's first quarter 2009
gross domestic product fell 8.2% from the same period last year,
as the global financial crisis and the outbreak of swine flu cut
demand.  The report related Mexican Finance Minister
Agustin Carstens said GDP may shrink as much as 5.5% this year.
According to Bloomberg News, Mexico’s economy is reeling from the
effects of the global slump, particularly the recession in the
U.S., and the swine flu out break, which further eroded economic
output.

Mr. Arcentales and Mr. Volberg, as cited by Bloomberg News, said
Mexico’s fiscal deficit may approach 6% of gross domestic product
in 2015, from about 2% this year, assuming annual economic growth
averages 1.5 percent by then and outlays grow by 3.6 percent each
year, half the pace of the past five years.  The fiscal gap may
grow to 3.6 percent of GDP should the economy expand 3% on average
starting in 2010, the analysts added.


=======
P E R U
=======


* PERU: To List Global Exchange Traded Funds in Lima
----------------------------------------------------
Peru plans to list global exchange traded funds on the Lima stock
exchange to meet “huge” investor demand for international assets,
Veronica Navarro Espinosa and Alex Emery of Bloomberg News report,
citing Finance Minister Luis Carranza.  The report relates the
government is looking to follow up on the creation last month by
Barclays Plc of a Peruvian ETF, the iShares MSCI All Peru Capped
Index Fund.

According to the report, Mr. Carraza said growth may quicken to
5% in 2010 from 3% this year as the government steps up spending
and demand for the country’s exports in Asia starts to rebound.
Peru is tapping three years of budget surpluses to fund a US$3
billion stimulus plan as private investment slows, Mr. Carraza
added.

“We have a pretty aggressive stimulus package,” the report quoted
Mr. Carranza as saying.  “Public investment is replacing private
investment and should grow 50 percent this year,” he added.

Bloomberg News notes Mr. Carranza said the government is looking
for “opportunities” to issue more debt after selling US$1 billion
of bonds due in 2025 to yield 6.95%.

Mr. Carranza, the report relates, said offering the global ETFs in
Lima will help give local investors “a much more diversified
portfolio.”

                        *     *     *

The country continues to carry Moody's Ba1 foreign currency rating
with stable outlook.


=============
U R U G U A Y
=============


* URUGUAY: Fitch Changes 'BB-' Rating Outlook to Positive
---------------------------------------------------------
Fitch Ratings revised the Outlook for Uruguay's ratings to
Positive from Stable.  In addition, Fitch affirmed Uruguay's
foreign currency Issuer Default Rating at 'BB-' and its local
currency IDR at 'BB'.  Fitch also affirmed Uruguay's country
ceiling at 'BB+' and the short-term IDR at 'B'.

The Positive Outlook reflects Uruguay's strengthening
macroeconomic policy framework, as well its greater resilience as
evidenced by its response to and the impact of the global
financial crisis and a steady improvement in its fiscal and
external solvency ratios in recent years.  Fitch believes that
Uruguay's resilience to external economic shocks has increased as
a result of greater exchange rate flexibility, rising
international reserve levels, lower external financing needs
(external amortizations plus current account deficit) and prudent
measures that have strengthened the banking system.

Uruguay's credit profile is supported by manageable financing
needs, relatively high GDP per capita as well as institutional
integrity and political stability, which reduces the risk of a
marked departure from the current macroeconomic policy framework.

'The ability of the authorities to allow the exchange rate to act
as a buffer to absorb the fallout from the global financial crisis
without negative effects on inflation or the highly dollarized
financial system represents a notable shift in the policy
framework and improves the capacity of the country to face future
external shocks,' said Erich Arispe, Director in Fitch's Sovereign
Group.

Uruguayan authorities acted decisively against inflationary
pressures stemming from domestic supply shocks in first-quarter
2009.  As a result, inflation, measured in annual terms, declined
to 6.4% in June from 9.2% in January.  'Policymakers demonstrated
their commitment to keep inflation under control and prevent the
activation of indexation mechanisms by rising interest rates in
spite of economic deceleration,' added Arispe.

Nevertheless, the global financial crisis is likely to have a
negative impact on economic performance and fiscal accounts.
Moreover, while Uruguay's trade and financial links with Argentina
have considerably declined since 2001, the country's growth
prospects remain somewhat exposed to economic and financial crises
in Argentina.  Growth is expected to remain flat in real terms in
2009, while Uruguay's general government deficit is likely to
increase to 3.3% of GDP from 1.1% in 2008, as a result of lower
revenues and the maintenance of planned expenditure levels.  Fitch
notes that fiscal policy adjustments in terms of expenditure
restraint will be necessary to return debt dynamics back to a
declining path over the forecast period.

Uruguay's relatively high fiscal and external solvency ratios and
the exposure of public debt to currency risk remain as credit
weaknesses. General government debt, at 52% in 2008, compares
unfavorably with the 'BB' median.  In addition, approximately 72%
of general government debt is denominated in foreign currency.
Astute and proactive liability management efforts have partially
mitigated associated risks by reducing general government
financing needs to 5.1% of GDP in 2009, which is lower than the
5.8% for the 'BB' median.

On the external front, Uruguay's net public external debt, at 39%
of current external receipts, continues to be an outlier in the
'BB' rating category, where most sovereigns are net public
external creditors.  In spite of continued improvement, Uruguay's
external liquidity, at 148%, remains weaker than rating peers,
especially taking high levels of dollarization in the financial
system into consideration.

Continued resilience to the global financial crisis and a
sustained increase in international reserves, as well as a
recovery of the country's GDP growth trajectory would be positive
for Uruguay's ratings.  Fiscal policy adjustments that restore
debt dynamics to a declining trend would also benefit the
sovereign's creditworthiness.  On the other hand, a greater than
anticipated deterioration in fiscal accounts resulting in negative
debt dynamics would be viewed negatively, while a weakening in the
macroeconomic policy framework leading to investor risk aversion
or macroeconomic instability could also weigh on the Uruguay's
credit profile.


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


* Remittance Flows to Developing Countries to Drop 7.3% This Year
-----------------------------------------------------------------
Remittance flows to developing countries are expected to reach
US$304 billion in 2009, down from an estimated US$328 billion in
2008, said the World Bank.

The World Bank released a new migration and remittances brief to
coincide with an International Diaspora and Development Conference
running from July 13 to 14.

The predicted decline in remittances by -7.3% this year is far
smaller than that for private flows to developing countries.
According to the World Bank, remittances are relatively resilient
because, while new migration flows have declined, the number of
migrants living overseas has been relatively unaffected by the
crisis.

However, sources of risk to the outlook include uncertainty about
the depth and duration of the current crisis, unpredictable
movements in exchange rates, and the possibility that immigration
controls may be tightened further in major destination countries.

"There is a risk that rising unemployment will trigger further
immigration restrictions in major destination countries.  Such
restrictions would curb remittances more than forecast and would
slow the global recovery in the same way as protectionism against
trade would endanger a global upturn,” explained Hans Timmer,
Director of the World Bank’s Development Prospects Group.

Remittances have slowed in many corridors since the last quarter
of 2008.  In line with a recent downward revision in the World
Bank’s forecast of global economic growth, the new update (2009-
2011) highlights the impact of the present financial crisis on the
remittance flows and, describes broad regional and country
specific trends.

Remittance flows to Latin America have been falling in large part
because of a slowdown in the US construction sector.  The new
forecasts show a -6.9% decline in remittances for the Latin
America and Caribbean region.  Sub-Saharan Africa is also likely
to experience a -8.3 percent slowdown in its remittance flows.
However, flows to South Asia and East Asia have been strong; but
remittances are expected to decline somewhat in 2009.  India,
China and Mexico retain their position as the top recipients of
migrant remittances among developing countries.

Smaller economies such as Tajikistan, Moldova, Tonga, Lesotho, and
Guyana are the top recipients in terms of the share of remittances
in GDP; which exceeded a quarter of their GDP.


                            ***********

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 * * *