TCRLA_Public/090902.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, September 2, 2009, Vol. 10, No. 173

                            Headlines

A N T I G U A  &  B A R B U D A

STANFORD INT'L: EX-SFG CIO's Plea Signals More Charges
STANFORD INT'L: SFG Receiver Pursues US$134MM From EX-Advisers


A R G E N T I N A

CONOIL SRL: Creditors' Proofs of Debt Due on September 18
DOATA CAROLINA: Proofs of Claim Verification Due on Sept. 30
NETWORK SOLUTIONS: Proofs of Claim Verification Due on Sept. 22
SERVICIOS Y OBRAS: Creditors' Proofs of Debt Due on October 8
* ARGENTINA: Tariffs-Reliant Companies Face Debt Problems


B E R M U D A

ASIA DEKOR: Creditors' Proofs of Debt Due on September 9
BERNARD L. MADOFF: 2 Kingate Investors to be Repaid, Judge Rules
CUPAC TECHNOLOGY: Court Enters Wind-Up Order
MAN ELN: Creditors' Proofs of Debt Due on September 9
MAN ELN: Members to Receive Wind-Up Report on September 30

RNR III: Creditors' Proofs of Debt Due on September 9
RNR III: Members to Receive Wind-Up Report on September 30


B R A Z I L

BANCO DO BRASIL: To Create New BRL36.7-Billion Credit Line
BANCO NACIONAL: Sets Up US$3.7-Billion Fund for SMEs
COMPANHIA SIDERURGICA: To Hike Flat Steel Prices by 12%
COMPANHIA SIDERURGICA: Raised to “Sector Perform” at Itau Unibanco
GERDAU SA: Raised to “Sector Perform” at Itau Unibanco

USINAS SIDERURGICAS: Cut to “Underperform” at Itau Unibanco


C A Y M A N  I S L A N D S

ALPHAGEN PYXIS: Creditors' Proofs of Debt Due on September 3
SIXTINA 15: Creditors' Proofs of Debt Due on September 3
SIXTINA 17: Creditors' Proofs of Debt Due on September 3
SIXTINA 18: Creditors' Proofs of Debt Due on September 3
SIXTINA 19: Creditors' Proofs of Debt Due on September 3

SIXTINA 19: Creditors' Proofs of Debt Due on September 3
SIXTINA 20: Creditors' Proofs of Debt Due on September 3
SIXTINA 31: Creditors' Proofs of Debt Due on September 3
TOPAZ FUND: Creditors' Proofs of Debt Due on September 3
VALIANT HOLDING: Creditors' Proofs of Debt Due on September 3

VOLATILITY ALPHA: Creditors' Proofs of Debt Due on September 3
WAINA HOLDINGS: Creditors' Proofs of Debt Due on September 3
WASATORNET PRIVATE: Creditors' Proofs of Debt Due on September 3
XANTHOS COMMODITY: Creditors' Proofs of Debt Due on September 3
YKFII HOLDINGS: Creditors' Proofs of Debt Due on September 3

YNN CORPORATION: Creditors' Proofs of Debt Due on September 3


C O L O M B I A

EMPRESAS MUNICIPALES: Fitch Affirms 'CCC' Issuer Default Rating


D O M I N I C A N  R E P U B L I C

* DOMINICAN REPUBLIC: Seeks IMF Standby Agreement


J A M A I C A

* JAMAICA: Obtains US$303.4 Million Boost From IMF


M E X I C O

AEROINVEST SA: Moody's Downgrades Rating on Class A Notes to 'Ba1'
ASARCO LLC: Parent Renews Stay Request for SCC Reimbursements
COMERCI: Bondholders Fail to Announce Deal After Meeting
GMAC FINANCIERA: Moody's Affirms 'B3' Global Scale Ratings
GRUPO MEXICO: Bankr. Court Says Plan for ASARCO LLC "Superior"


T R I N I D A D  &  T O B A G O

CL FINANCIAL: CLICO Insurance “Disappointed” With LIAT's Request
CL FINANCIAL: CLICO to Make Statement Soon; Investors to Know Fate


U R U G U A Y

MARFRIG ALIMENTOS: Halts Meat Production at Fray Bentos Plant


X X X X X X X X

LATAM: Together With the Caribbean Avoid Protectionism Amid Crisis


                         - - - - -


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


STANFORD INT'L: EX-SFG CIO's Plea Signals More Charges
------------------------------------------------------
The guilty plea of former Stanford Financial Group Co. Chief
Financial Officer, James M. Davis, could signal more people facing
charges for their involvement of a multi-billion Ponzi scheme
allegedly orchestrated by Robert Allen Stanford, the owner of
Stanford International Bank Limited, said to be the center of the
fraud, Anna Driver of Reuters reports.  "Read the plea agreement
language very, very carefully," the report quoted David Finn, Mr.
Davis' lawyer, as saying.  "I think you will be able to determine
that the government is not finished with their indictments."

As reported in the Trouble Company Reporter-Latin America on
August 31, 2009, Bloomberg News said Mr. Davis pleaded guilty of
helping Mr. Stanford in a US$7 billion Ponzi scheme and
prosecutors said Mr. Davis will testify against his former
colleagues.  According to the report, Mr. Davis admitted three
felony counts before U.S. District Judge David Hittner and agreed
to forfeit.  The report related that Mr. Finn said Mr. Davis’s
cooperation has focused on two fronts: locating assets Stanford
stashed overseas and helping the U.S. extradite Antigua’s top
banking regulator, Leroy King, who was indicted along with
Mr. Stanford for allegedly taking bribes to conceal the fraud.

According to the report, the plea document, signed by Mr. Davis
alleges wrongdoing as early as 1988 when Mr. Stanford had an
offshore bank on Montserrat.  The report relates the document also
mentions the roles of individuals identified only as Outside
Attorney A, Stanford International Bank Executive A and Stanford
Financial Group Attorney A, who allegedly played in the fraud or
in attempted cover-ups.  Reuters notes that accounting executives
Gilberto Lopez and Mark Khurt are also charged in the scheme, but,
only Mr. King pleaded not guilty.

A TCRLA report on September 1, 2009, citing Caribbean360.com, Mr.
Davis testified that a brotherhood ceremony took place involving
Mr. King, Mr. Stanford, and an unnamed FSRC employee to
keep the fraud that was ongoing at the SIBL under wraps.
"Sometime in 2003, Mr. Stanford performed a 'blood oath'
brotherhood ceremony with King and another employee of the FSRC.
This brotherhood oath was undertaken in order to extract an
agreement from both King and the other FSRC employee that they, in
exchange for regular cash bribe payments, would ensure that the
Antigua bank regulators would not 'kill the business' of the
bank," a court document signed by Mr. Davis stated, the report
related.  According to Caribbean360.com, citing court papers, Mr.
King received more than US$200,000 in bribes, including SuperBowl
tickets and flights on the investor's private jets and that the
bribe money  was taken by Mr. Davis, on Mr. Stanford's
instructions, from a secret Swiss bank account.  The report added
that the document stated that Mr. King also forwarded confidential
correspondence he received from the SEC to Mr. Stanford and
another bank executive and Mr. Stanford would then help Mr. King
draft misleading responses from his regulatory agency.
Caribbean360.com, citing the plea document, added that Mr. King
also helped mislead regulators of the Eastern Caribbean Central
Bank when they began raising questions about SIBL.

                   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: SFG Receiver Pursues US$134MM From EX-Advisers
--------------------------------------------------------------
Stanford Financial Group court-appointed receiver, Ralph Janvey,
is trying to recover roughly US$134 million from 253 of Robert
Allen Stanford's former financial advisers who allegedly sold
fraudulent certificates of deposit, Investment News reports.  The
report relates that Mr. Janvey affirmed in court documents that
he's going after these financial advisers' commissions and other
compensation for the sale of CDs for Stanford International Bank
Limited.

According to the report, citing an amended complaint filed in U.S.
District Court for the Northern District of Texas in Dallas, Mr.
Janvey argued that the proceeds paid to the advisers for selling
the CDs did not come from revenue generated by legitimate business
activities.  “[The advisers] have no legitimate ownership interest
in these assets,” according to the filing, the report relates.

Investment News, citing the complaint, notes that the advisers
named in the suit each received at least US$50,000 or more in
compensation related to the sale of the CDs.  The complaint, the
report relates, said that the recovered funds from advisers would
benefit the receivership estate.

                   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
=================


CONOIL SRL: Creditors' Proofs of Debt Due on September 18
---------------------------------------------------------
The court-appointed trustee for Conoil S.R.L.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
September 18, 2009.

The trustee will present the validated claims in court as
individual reports on October 29, 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.


DOATA CAROLINA: Proofs of Claim Verification Due on Sept. 30
------------------------------------------------------------
The court-appointed trustee for Doata Carolina S.A.'s
reorganization proceedings, will be verifying creditors' proofs of
claim until September 30, 2009.


NETWORK SOLUTIONS: Proofs of Claim Verification Due on Sept. 22
---------------------------------------------------------------
The court-appointed trustee for Network Solutions S.R.L.'s
reorganization proceedings, will be verifying creditors' proofs of
claim until September 22, 2009.


SERVICIOS Y OBRAS: Creditors' Proofs of Debt Due on October 8
-------------------------------------------------------------
The court-appointed trustee for Servicios y Obras S.A.'s
bankruptcy proceedings will be verifying creditors' proofs of
claim until October 8, 2009.

The trustee will present the validated claims in court as
individual reports on November 20, 2009.  The National Commercial
Court of First Instance in Buenos Aires will determine if the
verified claims are admissible, taking into account the trustee's
opinion, and the objections and challenges that will be raised by
the company and its creditors.

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.


* ARGENTINA: Tariffs-Reliant Companies Face Debt Problems
---------------------------------------------------------
Some of Argentina's companies that rely on government-set tariffs
are once again spiraling toward debt restructurings, Matthew
Cowley reports.  The report relates that Metrogas SA and Autopista
del Sol SA have had their credit ratings cut to deep junk-bond
territory amid concerns about their ability to meet debt payments.

According to the report, the companies have complained that the
government hasn't followed through with promised tariff increases,
moreover, the 22% depreciation of the Argentine peso since mid-
2008 is piling on the pressure on their foreign-currency debt.
The "distribution tariff . . . hasn't been updated in 10 years,
which means that [if the government doesn't act] the economic and
financial position of [the company] will continue to deteriorate,"
Metrogas said in a statement obtained by the news agency.
Eventually, the company may not be able to meet its financing
needs, "forcing the company to refinance its outstanding debt or
obtain additional financing," Metrogas added.

As reported in the Troubled Company Reporter-Latin America on
June 1, 2009, Moody's Latin America placed under review for
possible downgrade the Caa1 and Ba1.ar ratings on Metrogas'
US$ denominated bonds.  The rating action was prompted by an
increased concern over Metrogas' ability to meet principal
amortization of its US$ debt that is scheduled to commence in the
second quarter of 2010 if the previously approved tariff increase
is not implemented and a further devaluation of the peso occurs.

Dow Jones notes that Transportadora de Gas del Norte SA has
defaulted on US$345 million of debt this year and is seeking
investor approval for a debt swap.

These companies' problems, the report points out, stretch back to
the Argentine crisis of 2001 and 2002, when the government
converted utilities' contracts into Argentine pesos at the same
time that it devalued the currency against the U.S. Dollar.  The
report relates that companies were effectively receiving one-third
of the revenue they had been receiving in dollar terms, which
prompted numerous defaults on dollar-denominated debt.

Dow Jones says that whether a business is in trouble now depends
to some extent on how it reacted then.  Those that reduced debt,
the report relates, avoided dollar-denominated debt or pushed
maturities as far into the future as possible are less at risk.
Nevertheless, the report adds, continuing doubts about government
policies and the haphazard implementation of price increases are
being reflected in companies' ratings.

As reported in the Troubled Company Reporter-Latin America on
August 27, 2009, Standard & Poor's Ratings Services lowered its
ratings on Ausol, including its corporate credit rating to 'CCC'
from 'CCC+'.  The downgrade reflects the company's increasing
refinancing risk due to lower traffic levels, increasing operating
costs, gradual devaluation of the ARP, and pending approval of
certain issues related to its concession contract, including toll
tariff adjustments.  Ausol would have difficulty in meeting its
financial obligations with upcoming principal maturities of about
US$20 million annually in 2010 and 2011.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
August 27, 2009, Standard & Poor's Ratings Services affirmed its
'B-' long-term and 'C' short-term sovereign credit ratings on the
Republic of Argentina.  The outlook remains stable.


=============
B E R M U D A
=============


ASIA DEKOR: Creditors' Proofs of Debt Due on September 9
--------------------------------------------------------
The creditors of Asia Dekor Holdings Limited are required to file
their proofs of debt by September 9, 2009, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on August 18, 2009.

The company's liquidator is:

          Beverly Mathias
          c/o Argonaut Limited
          Argonaut House, 5 Park Road
          Hamilton HM O9, Bermuda


BERNARD L. MADOFF: 2 Kingate Investors to be Repaid, Judge Rules
----------------------------------------------------------------
Jonathan Kent at the Royal Gazette reports that Judge Ian Kawaley
concluded in his 24-page judgment issued in court that Kingate
Global Fund Limited's US$9 million account held in a Bank of
Bermuda HSBC be repaid to two institutions who invested the money
shortly before Bernard L. Madoff's arrest last year.  The report
relates that of the total, US$6 million will be repaid to the
Cayman-based Knightsbridge Fund Ltd. and US$3 million to the UK-
based Standard Chartered Bank.

According to the report, Kingate Global, an insolvent Bernard
Madoff feeder fund that is managed by Bermuda-based Kingate
Management Ltd., was given a 14-day stay to allow it to prepare a
response to the judgement, but the Judge Kawaley ordered the fund
to pay interest on the money owed at an annualised rate of 7%.

The Gazette notes that the US$9 million has been held in Kingate's
account in the Bank of Bermuda HSBC, since the two institutions
invested their money with the fund in late November last year.
The report relates that before Kingate could issue the shares that
the money was intended to pay for, Mr. Madoff was arrested causing
Kingate Global to suspend all share issues and redemptions.

Victor Lyon, QC, represented SCB and Knightsbridge, along with
Nathaniel Turner, of Attride-Stirling & Woloniecki.

The report adds that Judge Kawaley granted Kingate a stay of 14
days, but said that decision was a matter of ensuring due process
and added that it "should not be taken as an indication that there
is a strong case for a stay".

                     About Bernard Madoff

Bernard L. Madoff Investment Securities LLC was a market maker in
U.S. stocks, including all of the S&P 500 and more than 350 Nasdaq
stocks. The firm moved large blocks of stock for institutional
clients by splitting up orders or arranging off-exchange
transactions between parties. It also performed clearing and
settlement services. Clients included brokerages, banks, and
other financial institutions. In addition, Madoff Securities
managed assets for high-net-worth individuals, hedge funds, and
other institutional investors.

The firm is being liquidated in the aftermath of a fraud scandal
involving founder Bernard L. Madoff.

As reported by the Troubled Company Reporter on December 15, 2008,
the Securities and Exchange Commission charged Mr. Madoff and his
investment firm with securities fraud for a multi-billion dollar
Ponzi scheme that he perpetrated on advisory clients of his firm.
The estimated losses from Mr. Madoff's fraud were allegedly at
least US$50 billion.

Also on December 15, 2008, the Honorable Louis A. Stanton of the
U.S. District Court for the Southern District of New York granted
the application of the Securities Investor Protection Corporation
for a decree adjudicating that the customers of BLMIS are in need
of the protection afforded by the Securities Investor Protection
Act of 1970. Irving H. Picard, Esq., was appointed as trustee for
the liquidation of BLMIS, and Baker & Hostetler LLP was appointed
as counsel.

As reported by the TCR, Judge Denny Chin of the U.S. District
Court for the Southern District of New York on June 29, 2009,
sentenced Mr. Madoff to 150 years of life imprisonment for
defrauding investors.


CUPAC TECHNOLOGY: Court Enters Wind-Up Order
--------------------------------------------
On August 21, 2009, the Supreme Court of Bermuda entered an order
to wind up the operations of Cupac Technology Limited.

The Offical Receiver of Bermuda as the provisional liquidator of
the company.


MAN ELN: Creditors' Proofs of Debt Due on September 9
-----------------------------------------------------
The creditors of Man ELN 1 Ltd are required to file their proofs
of debt by September 9, 2009, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on August 18, 2009.

The company's liquidator is:

          Beverly Mathias
          c/o Argonaut Limited
          Argonaut House, 5 Park Road
          Hamilton HM O9, Bermuda


MAN ELN: Members to Receive Wind-Up Report on September 30
----------------------------------------------------------
The members of Man ELN 1 Ltd will receive on Sept. 30, 2009, at
9:30 a.m., the liquidator's report on the company's wind-up
proceedings and property disposal.

The company commenced wind-up proceedings on August 18, 2009.

The company's liquidator is:

          Beverly Mathias
          c/o Argonaut Limited
          Argonaut House, 5 Park Road
          Hamilton HM O9, Bermuda


RNR III: Creditors' Proofs of Debt Due on September 9
-----------------------------------------------------
The creditors of RNR III (Offshore), Ltd. are required to file
their proofs of debt by September 9, 2009, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on August 21, 2009.

The company's liquidator is:

          Debra Spagnola
          8200 Greensboro Drive, Suite 1550
          McLean, Virginia 22102, U.S.A.


RNR III: Members to Receive Wind-Up Report on September 30
----------------------------------------------------------
The members of RNR III (Offshore), Ltd. will receive on Sept. 30,
2009, at 9:30 a.m., the liquidator's report on the company's wind-
up proceedings and property disposal.

The company commenced wind-up proceedings on August 21, 2009.

The company's liquidator is:

          Debra Spagnola
          8200 Greensboro Drive, Suite 1550
          McLean, Virginia 22102, U.S.A.


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


BANCO DO BRASIL: To Create New BRL36.7-Billion Credit Line
----------------------------------------------------------
Banco do Brasil SA said it will create new credit lines worth
BRL36.7 billion (US$19.5 billion) to finance small local companies
and consumer credit, Rogerio Jelmayer at Dow Jones Newswires
reports, citing a company statement.  The report relates that of
the total, BRL17.7 billion will be used for consumer credits,
including credit for the acquisition of construction materials.

According to the report, the bank will also create a credit line
totaling BRL14.5 billion to finance small businesses.  The report
relates Banco do Brasil also approved a credit line worth
BRL1.4 billion for farmers and a BRL3.1 billion line of credit for
municipal governments.

Dow Jones Newswires says Banco do Brasil is attempting to
consolidate its position as Brazil's largest bank in terms of
assets.

                       About Banco do Brasil

Banco do Brasil SA is Brazil's federal bank and is the largest in
Latin America with some 20 million clients and more than 7,000
points of sale (3,200 branches) in Brazil, and 34 offices and
partnerships in 26 other countries.  In addition to its
traditional retail banking services, Banco do Brasil underwrites
and sells bonds, conducts asset trading, offers investors
portfolio management services, conducts financial securities
advising, and provides market analysis and research.

                           *     *     *

As reported by the Troubled Company Reporter-Latin America on
Jan. 20, 2009, Fitch Ratings affirmed Banco do Brasil S.A.'s
Individual Rating at 'C/D'.


BANCO NACIONAL: Sets Up US$3.7-Billion Fund for SMEs
----------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social SA may allow
at least five local and foreign banking groups to take part in the
creation of a BRL7 billion (US$3.7 billion) fund, Fundo Garantidor
de Investimento, to bolster investment in small-and medium-sized
enterprises, Reuters reports, citing Valor Economico.  The report
relates that Valor Economica said as many as 10 banks may join
FGI.

According to the report, among the five banks negotiating the
initial entry fee are:

   -- Banco do Brasil,
   -- Caixa Economica,
   -- Itau Unibanco,
   -- Banco Bradesco, and
   -- Santander

Valor Economica, the report relates, said the FGI fund is another
move by the Brazilian government to stimulate long-term lending to
small and mid-sized Brazilian companies whose access to credit was
curtailed after the intensification of the global credit crisis a
year ago.

                             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.


COMPANHIA SIDERURGICA: To Hike Flat Steel Prices by 12%
-------------------------------------------------------
Companhia Siderurgica Nacional is about to raise its flat steel
prices by 12.9% starting September 7, John Kolodziejski at Dow
Jones Newswires reports, citing Estado news agency.  The report
relates that Estado got its information from Brazil's
second-largest independent steel distributor, Frefer.

According to the report, Frefer also said it expected Brazil's
other steelmakers, ArcelorMittal and Gerdau SA, to follow suit in
raising prices.

Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional
S.A. (NYSE: SID) -- http://www.csn.com.br/-- produces, sells,
exports and distributes steel products, like hot-dip galvanized
sheets, tin mill products and tinplate.  The company also runs its
own iron ore, manganese, limestone and dolomite mines and has
strategic investments in railroad companies and power supply
projects.  The group also operates in Brazil, Portugal, and the
U.S.

                           *     *     *

As of July 1, 2009, the company continues to carry Moody's
Currency LT Debt ratings at Ba1.  The company also continues to
carry Standard and Poor's Issuer credit ratings at BB+.


COMPANHIA SIDERURGICA: Raised to “Sector Perform” at Itau Unibanco
------------------------------------------------------------------
Diana Kinch at Bloomberg News reports that Companhia Siderurgica
Nacional S.A. was raised to “sector perform” from “underperform”
on September 1, 2009, at Itau Unibanco Holding SA on its prospects
to benefit from a rebound in steel demand.

According to the report, Sao Paulo-based Itau Unibanco analyst
Marcos Assumpcao said he is still “cautious” on Brazilian
steelmakers, citing the companies’ valuations.

Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional
S.A. (NYSE: SID) -- http://www.csn.com.br/-- produces, sells,
exports and distributes steel products, like hot-dip galvanized
sheets, tin mill products and tinplate.  The company also runs its
own iron ore, manganese, limestone and dolomite mines and has
strategic investments in railroad companies and power supply
projects.  The group also operates in Brazil, Portugal, and the
U.S.

                           *     *     *

As of July 1, 2009, the company continues to carry Moody's
Currency LT Debt ratings at Ba1.  The company also continues to
carry Standard and Poor's Issuer credit ratings at BB+.


GERDAU SA: Raised to “Sector Perform” at Itau Unibanco
------------------------------------------------------
Diana Kinch at Bloomberg News reports that Gerdau SA was raised to
“sector perform” from “underperform” on September 1, 2009, at Itau
Unibanco Holding SA on its prospects to benefit from a rebound in
steel demand.

According to the report, Sao Paulo-based Itau Unibanco analyst
Marcos Assumpcao said he is still “cautious” on Brazilian
steelmakers, citing the companies’ valuations.

Headquartered in Porto Alegre, Brazil, Gerdau S.A. --
http://www.gerdau.com.br/-- produces and distributes crude
steel and related long rolled products, drawn products, and long
specialty products.  In addition to Brazil, Gerdau operates in
Argentina, Canada, Chile, Colombia, Uruguay, India and the
United States.

                         *     *     *

As of June 19, 2009, the company continues to carry Moody's Ba1 LT
Corp Family rating and Ba1 Senior Unsecured Debt Ratings.


USINAS SIDERURGICAS: Cut to “Underperform” at Itau Unibanco
-----------------------------------------------------------
Usinas Siderurgicas de Minas Gerais SA was cut to “underperform”
from “outperform” -- because of its “strong exposure” the capital
goods industry in Brazil, which may take longer to recover, Diana
Kinch at Bloomberg News reports, citing Sao Paulo-based Itau
Unibanco analyst Marcos Assumpcao.

According to the report, Mr. Assumpcao said he is still “cautious”
on Brazilian steelmakers, citing the companies’ valuations.

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
Subordinate Debt rating.


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


ALPHAGEN PYXIS: Creditors' Proofs of Debt Due on September 3
------------------------------------------------------------
The creditors of The Alphagen Pyxis Fund Limited are required to
file their proofs of debt by September 3, 2009, to be included in
the company's dividend distribution.

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

The company's liquidator is:

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


SIXTINA 15: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 15 Asia Master Fund Limited are required
to file their proofs of debt by September 3, 2009, to be included
in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


SIXTINA 17: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 17 Blackhorse Asia Fund Limited are
required to file their proofs of debt by September 3, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


SIXTINA 18: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 18 Anakena Asset Arbitrage Fund Limited
are required to file their proofs of debt by September 3, 2009, to
be included in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


SIXTINA 19: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 19 MQ Pacific Master Fund Limited are
required to file their proofs of debt by September 3, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


SIXTINA 19: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 19 MQ Pacific Fund Limited are required
to file their proofs of debt by September 3, 2009, to be included
in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


SIXTINA 20: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 20 Baring Japan Fund Limited are required
to file their proofs of debt by September 3, 2009, to be included
in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


SIXTINA 31: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Sixtina 31 Cambridge Asia Fund Limited are
required to file their proofs of debt by September 3, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


TOPAZ FUND: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------
The creditors of Topaz Fund are required to file their proofs of
debt by September 3, 2009, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on July 16, 2009.

The company's liquidator is:

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


VALIANT HOLDING: Creditors' Proofs of Debt Due on September 3
---------------------------------------------------------------
The creditors of Valiant Holding Co., Ltd. are required to file
their proofs of debt by September 3, 2009, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on June 9, 2009.

The company's liquidators are:

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


VOLATILITY ALPHA: Creditors' Proofs of Debt Due on September 3
--------------------------------------------------------------
The creditors of The Volatility Alpha Enhanced Fund Limited are
required to file their proofs of debt by September 3, 2009, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on June 23, 2009.

The company's liquidators are:

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


WAINA HOLDINGS: Creditors' Proofs of Debt Due on September 3
------------------------------------------------------------
The creditors of Waina Holdings Limited are required to file their
proofs of debt by September 3, 2009, to be included in the
company's dividend distribution.

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

The company's liquidator is:

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


WASATORNET PRIVATE: Creditors' Proofs of Debt Due on September 3
----------------------------------------------------------------
The creditors of Wasatornet Private Equity Ltd. are required to
file their proofs of debt by September 3, 2009, to be included in
the company's dividend distribution.

The company commenced wind-up proceedings on July 20, 2009.

The company's liquidators are:

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


XANTHOS COMMODITY: Creditors' Proofs of Debt Due on September 3
---------------------------------------------------------------
The creditors of Xanthos Commodity Fund Limited are required to
file their proofs of debt by September 3, 2009, to be included in
the company's dividend distribution.

The company commenced wind-up proceedings on July 23, 2009.

The company's liquidators are:

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


YKFII HOLDINGS: Creditors' Proofs of Debt Due on September 3
------------------------------------------------------------
The creditors of YKFII Holdings Limited are required to file their
proofs of debt by September 3, 2009, to be included in the
company's dividend distribution.

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

The company's liquidator is:

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


YNN CORPORATION: Creditors' Proofs of Debt Due on September 3
-------------------------------------------------------------
The creditors of YNN Corporation are required to file their proofs
of debt by September 3, 2009, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on July 20, 2009.

The company's liquidator is:

          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
===============


EMPRESAS MUNICIPALES: Fitch Affirms 'CCC' Issuer Default Rating
---------------------------------------------------------------
Fitch Ratings has affirmed the 'CCC' local and foreign currency
Issuer Default Ratings of Empresas Municipales de Cali S.A.  The
Rating Outlook is Stable.

Emcali's ratings reflect the company's weak financial profile
characterized by high and growing leverage, low interest and debt
service coverage, as well as low cash flow generation margins.
Going forward, Emcali's future cash flow generation is projected
to cover debt service by about 10 times, and government support
will likely be required to meet financial obligations from time to
time.  The Colombian government is currently covering a portion of
Emcali's debt.  Absent government support, the company has little
financial flexibility to cover its fixed financial obligations
should any contingencies arise in the future.  The company is
currently restricted from issuing additional debt, and it is not
expected to pay dividends in the medium term.

Emcali remains highly leveraged despite the terms of the debt
restructuring that took place during 2005.  As of June 30, 2009,
the company had a total adjusted debt (including payments to
TermoEmcali) of COP1.7 trillion (or US$853 million).  This debt
level is relatively high compared with the cash flow generation
ability of the company.  At the last 12 months ended June 30,
2009, Emcali's leverage, as measured by total adjusted debt to
EBITDAR, was high at 8.8x.  EBITDA generation as of LTM June 30,
2009 of COP146 billion remains relatively unchanged when compared
with 2004 EBITDA of COP143 billion.

The company's operational performance is weak, which hinders its
ability to generate adequate cash flow to service debt and
maintain minimal capital expenditures.  Emcali would likely find
it difficult to reduce costs and electricity losses, and improve
collections without adequate capital expenditures.  Energy losses
were high at 22.1% as of June 30, 2009.  This index compares
unfavorably with the losses recognized through tariffs.  For
Emcali to improve its cash flow generation by reducing operating
losses, it needs to implement a higher capital expenditure program
and regulatory changes that will force the sharing of losses with
other users of the electricity distribution grid.

Emcali's strategy is to sell a portion of its telecommunications
and electricity generation businesses, which could significantly
change the company's credit quality.  Should this strategy
succeed, the company is expected to use the proceeds from these
sales to prepay a portion of its external debt, which will free up
cash flow needed for infrastructure investments.  If the company
fails to lower its debt, leverage will continue increasing and
Emcali will lose the flexibility to carry on much needed
investment.  The timing, success and impact on credit quality of
this strategy remains uncertain and relies on approval from Cali's
Council.

Emcali's rating also incorporates the company competitive position
as well as the regulated nature of its revenue and the potential
for cash flow generation stability, predictability and growth.
Emcali is the leading provider of electrical power services, water
and sewer services and local exchange telephone services in the
city of Cali, Colombia.


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


* DOMINICAN REPUBLIC: Seeks IMF Standby Agreement
-------------------------------------------------
The Dominican Republic will open formal talks with the
International Monetary Fund to secure a US$1.5 billion in new
assistance from the multinational lender, The Dominican Today
reports.

According to the report, the Dominican Republic has been hard hit
by the global financial crisis, weak export earnings and
remittances and recent declines in tourism.

The report notes that after signing a letter of intent with the
IMF, the terms of which could be agreed upon as early as this
week, the government would receive an initial IMF credit totaling
about US$300 million to help cover a deficit in its budget for
this year, the central bank said in a statement.

Dominican Republic, the report relates, said that it is also
seeking about US$200 million in new lending from the Inter-
American Development Bank to help cover budget shortfalls.  The
report adds that the central bank said to meet additional
financing needs the government was considering a new sovereign
debt issue totaling US$1 billion.

                        *     *     *

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


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


* JAMAICA: Obtains US$303.4 Million Boost From IMF
--------------------------------------------------
The Bank of Jamaica has received a portion of the monetary
allocations due from the International Monetary Fund, RadioJamaica
reports.  The report relates that the US$303.4 million is
approximately 74% of Jamaica's quota with the IMF.

According to the report, the allocation is not part of the money
the government hopes to get as a result of its special application
for a loan for US$1.3 billion from the lending agency.  The report
relates that the Ministry of Finance said the granting of these
Special Drawing Rights follows a decision by the IMF to bolster
the reserves of member countries in light of the global recession.

RadioJamaica says that the allocations are not given in the form
of currency to be used in commercial transactions but can be
exchanged for international currencies based on a rate of exchange
of one SDR to US$1.57.  As such, the report says, the Central Bank
will have an opportunity to acquire additional hard currency to
support the country's external debt obligations.

The Finance Ministry, the report adds, said the allocation helps
the BoJ to underwrite stability in the financial markets and meet
any shortfalls in Jamaica's external financing requirements.

                           *     *     *

Fitch currently rates Jamaica's foreign currency and local
currency Issuer Default Ratings at 'B'.  The Rating Outlook on the
ratings is Negative.


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


AEROINVEST SA: Moody's Downgrades Rating on Class A Notes to 'Ba1'
------------------------------------------------------------------
Moody's Investors Service has lowered to Ba1 from Baa3 the global
scale, local currency rating on Series 2007 Class A notes of
Aeroinvest S.A. de C.V.  The national scale rating was lowered to
A1.mx from Aa2.mx.  The outlook for the ratings is negative.

This concludes the rating review which commenced on May 7, 2009
due to concerns regarding a market based leverage ratio trigger
and a weakening credit profile given the challenging economic and
public health situations which have negatively affected the
airport consortium's traffic growth.  The assigned rating also
takes into consideration the strong structural provisions in this
transaction which protect it from further weakeing in this period
of stress.

The negative outlook reflects Moody's belief that the recovery of
passenger traffic and the corresponding financial results of GACN
will be challenging, though management anticipates positive growth
rates in passenger traffic in 2010.  The company's actions during
this period will have an important bearing over Aeroinvest
receipts available to adequately cover debt service in 2011 and
beyond.

The Total Loan to Total Value ratio trigger embedded in the
structure has exposed the Aeroinvest financing to changes in OMA's
share price.  OMA is the name under which Grupo Aeroportuario del
Centro Norte trades in the Mexican Stock Exchange, the Bolsa
Mexicana de Valores.  Moody's recognizes Aeroinvest's attempts to
make some changes that would soften the potential pressure on the
transaction caused by this market based leverage ratio.

In the financial arena, Aeroinvest's metrics have been pressured
by continued declines in passenger traffic brought on by the
global economic recession and exacerbated by the swine flu alert
that hit Mexico in early May of this year.  These macro
developments have impacted the Mexican air travel sector as a
whole.

Total passenger traffic in the 13 GACN airports through July is
down a significant 21.4% compared to the same period 2008.  The
decline in international passenger traffic is greater than
domestic as the year progresses, in part given the proportion of
U.S.  travellers that utilize the GACN airports, and in particular
the Monterrey Airport.  The reduction in passenger traffic is
likely to be nearing the bottom, as indicated by narrowing
declines on a monthly basis for the last three months beginning
May.

The fall in passenger traffic has affected GACN's financial
position, though the reduction in revenues has been somewhat
managed with cutbacks in operating and capital expenditures.
Revenues for the first semester 2009 are down 8% from the same
period last year, and EBITDA is down 12.5%, relative to passenger
traffic declines of over 20%.  Through the first semester, GACN
maintained its operating expenses in line with the same period
last year.  In addition, capital spending was reduced by 75%,
following the completion of the new terminal at the Monterrey
International Airport and other major projects at other airports.

Aeronautical revenues make up 81% of total revenues, and YTD June
these were down 8.4%.  Non-aeronautical revenue is down 6.1%.  In
the last year, GACN has focused its effort on diversifying its
revenue stream and as such has developed commercial spaces at its
airports, constructed the hotel inside Terminal 2 (T2) of the
Mexico City Airport, which has begun operations, and is engaged in
the development of a large amount of commercial space in T2, which
is expected to open in 2010.  A new five-year master development
plan and maximum tariff covering 2011 -- 2015 will be coming into
effect next year, allowing for the possibility of negotiating with
the federal government aeronautical investments and charges that
will ensure GACN's financial stability for the period.

Overall, however, the narrower financial results are expected to
provide lower than anticipated debt service coverage ratios over
the next twelve months.  Debt service for the bonds of the
Aeroinvest trust is paid from GACN distributions to Aeroinvest,
which holds 42.5% of OMA shares (the name under which GACN trades
in Mexico) and an indirect stake of 12.44% in SETA shares.  Debt
service coverage is calculated using Aeroinvest receipts for the
previous four quarters over debt service for the same period.

Through the last quarterly period coverage has held steady in the
range of 1.4x, similar to the last four quarters.  This coverage
is in line with expectations that minimum DSCR.

Debt service coverage for these three periods (through April 2010)
is expected to be lower and in the 1.2x range.  Though this level
of coverage will not trigger adverse payment requirements, it is
important to note that ratios in this low range are not consistent
with investment grade ratings.

The transaction has some strong structural provisions, which help
offset the probability of further weakening of the financial
metrics.  Aeroinvest trust holds a 12-month cash funded debts
service reserve fund, and there is additional liquidity in the
form of 12 month capital expenditures and six months operating
costs which are held at the opco level.  While the latter accounts
do not provide additional cash with which to service debt, these
accounts nonetheless provide additional liquidity.

Aeroinvest benefits from its diverse portfolio of 13 airports,
which covers the central north region of Mexico:Acapulco, Ciudad
Juarez, Culiacan, Chihuahua, Durango, Mazatlan, Monterrey,
Reynosa, San Luis Potosi,Tampico, Torreon, Zacatecas and
Zihuatenejo.  The airports serve diverse and complementary
markets.  Concessions were granted for the operations of the 13
airports by the federal government beginning in 1998 each for a
period of 50 years.

The last rating action on Aeroinvest S.A. de C.V. was taken on
May 7, 2009, when the Baa3 rating was put under Review for
Downgrade.  The principal methodology used in rating Aeroinvest
S.A. de C.V. is Moody's Methodology for Operational Airports
Outside the U.S.


ASARCO LLC: Parent Renews Stay Request for SCC Reimbursements
-------------------------------------------------------------
Americas Mining Corporation and Asarco Incorporated renew their
request to stay, pending appeal, the order entered on April 15,
2009, by the U.S. District Court for the Southern District of
Texas, Brownsville Division, approving the expense reimbursement
in connection with the auction and proposed sale in favor of
ASARCO LLC, in the litigation against AMC relating to shares of
Southern Peru Copper Company, now known as Southern Copper
Corporation.

The Parent asserts that an extended stay of the Reimbursement
Order would effectively preserve the status quo -- allowing
District Court Judge Hanen to consider the merits of the Parent's
appeal from the Reimbursement Order at the same time he considers
whether to stay the confirmation order as a whole.


To recall, ASARCO LLC sought and obtained the Bankruptcy Court's
approval for the reimbursement of expenses incurred by certain
bidders in connection with the potential auction and sale of all
or a portion of the judgment entered on April 15, 2009, by the
U.S. District Court for the Southern District of Texas,
Brownsville Division, in favor of ASARCO LLC, in the litigation
against Americas Mining Corporation relating to shares of Southern
Peru Copper Company, now known as Southern Copper Corporation.

Americas Mining Corporation and Asarco Incorporated notified the
U.S. Bankruptcy Court for the Southern District of Texas that
they will take an appeal to the U.S. District Court for the
Southern District of Texas of Judge Schmidt's Expense
Reimbursement Order dated July 29, 2009, with respect to expenses
incurred by certain bidders in connection with the potential
auction and sale of all or a portion of the judgment entered on
April 15, 2009, by the U.S. District Court for the Southern
District of Texas, Brownsville Division, in favor of ASARCO LLC,
in the litigation against Americas Mining Corporation relating to
shares of Southern Peru Copper Company, now known as Southern
Copper Corporation.

The Parent wants the District Court to determine whether the
Bankruptcy Court erred:

  (1) as a matter of law, in approving ASARCO LLC's
      Reimbursement Motion;

  (2) in approving the Reimbursement Motion pursuant to
      Section 363 of the Bankruptcy Code;

  (3) in finding that the Expense Reimbursement is "fair,
      reasonable, and appropriate" and "designed to maximize the
      value of ASARCO's estate";

  (4) in finding that ASARCO established a "compelling and sound
      business justification for the Expense Reimbursement";

  (5) in finding that approval of Expense Reimbursements is "in
      the best interests of ASARCO and its estate, creditors,
      interest holders, stakeholders, and all other parties in
      interest";

  (6) in approving the procedures and guidelines for Expense
      Reimbursements set forth in the Reimbursement Motion,
      including procedures related to notice, determination of
      notice parties, objections, and disposition of objections;

  (7) in authorizing and empowering ASARCO to take steps, expend
      sums of money, and do other things to implement and effect
      the Reimbursement Order;

  (8) in granting ASARCO's request to file under seal Exhibits B
      and C of the Reimbursement Motion; and

  (9) in sealing Exhibits B and C of the Seal Motion and
      Exhibits 3, 4, and 5 at the hearing on the Seal Motion.

                        About ASARCO LLC

Based in Tucson, Arizona, ASARCO LLC -- http://www.asarco.com/--
is an integrated copper mining, smelting and refining company.
Grupo Mexico S.A. de C.V. is ASARCO's ultimate parent.

ASARCO LLC filed for Chapter 11 protection on August 9, 2005
(Bankr. S.D. Tex. Case No. 05-21207).  James R. Prince, Esq., Jack
L. Kinzie, Esq., and Eric A. Soderlund, Esq., at Baker Botts
L.L.P., and Nathaniel Peter Holzer, Esq., Shelby A. Jordan, Esq.,
and Harlin C. Womble, Esq., at Jordan, Hyden, Womble & Culbreth,
P.C., represent the Debtor in its restructuring efforts.  Lehman
Brothers Inc. provides the ASARCO with financial advisory services
and investment banking services.  Paul M. Singer, Esq., James C.
McCarroll, Esq., and Derek J. Baker, Esq., at Reed Smith LLP give
legal advice to the Official Committee of Unsecured Creditors and
David J. Beckman at FTI Consulting, Inc., gives financial advisory
services to the Committee.

When ASARCO LLC filed for protection from its creditors, it listed
US$600 million in total assets and US$1 billion in total debts.

ASARCO LLC has five affiliates that filed for Chapter 11
protection on April 11, 2005 (Bankr. S.D. Tex. Case Nos.
05-20521 through 05-20525).  They are Lac d'Amiante Du Quebec
Ltee, CAPCO Pipe Company, Inc., Cement Asbestos Products Company,
Lake Asbestos of Quebec, Ltd., and LAQ Canada, Ltd.  Sander L.
Esserman, Esq., at Stutzman, Bromberg, Esserman & Plifka, APC, in
Dallas, Texas, represents the Official Committee of Unsecured
Creditors for the Asbestos Debtors.  Former judge Robert C. Pate
has been appointed as the future claims representative.  Details
about their asbestos-driven Chapter 11 filings have appeared in
the Troubled Company Reporter since April 18, 2005.

Encycle/Texas, Inc. (Bankr. S.D. Tex. Case No. 05-21304), Encycle,
Inc., and ASARCO Consulting, Inc. (Bankr. S.D. Tex. Case No. 05-
21346) also filed for Chapter 11 protection, and ASARCO has asked
that the three subsidiary cases be jointly administered with its
Chapter 11 case.  On October 24, 2005, Encycle/Texas' case was
converted to a Chapter 7 liquidation proceeding.  The Court
appointed Michael Boudloche as Encycle/Texas, Inc.'s Chapter 7
Trustee.  Michael B. Schmidt, Esq., and John Vardeman, Esq., at
Law Offices of Michael B. Schmidt represent the Chapter 7 Trustee.

ASARCO's affiliates, AR Sacaton LLC, Southern Peru Holdings LLC,
and ASARCO Exploration Company Inc., filed for Chapter 11
protection on December 12, 2006.  (Bankr. S.D. Tex. Case No.
06-20774 to 06-20776).

Six of ASARCO's affiliates, Wyoming Mining & Milling Co., Alta
Mining & Development Co., Tulipan Co., Inc., Blackhawk Mining &
Development Co., Ltd., Peru Mining Exploration & Development Co.,
and Green Hill Cleveland Mining Co. filed for Chapter 11
protection on April 21, 2008.  (Bank. S.D. Tex. Case No. 08-20197
to 08-20202).

Bankruptcy Creditors' Service, Inc., publishes ASARCO Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding undertaken
by ASARCO LLC and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


                         About Grupo Mexico

Grupo Mexico SA de C.V. -- http://www.grupomexico.com/--
through its ownership of Asarco and the Southern Peru Copper
Company, Grupo Mexico is the world's third largest copper
producer, fourth largest silver producer and fifth largest
producer of zinc and molybdenum.

                           *     *     *

As of August 14, 2009, Grupo Mexico continues to carry Fitch
Ratings' BB+ Issuer Default ratings.


COMERCI: Bondholders Fail to Announce Deal After Meeting
--------------------------------------------------------
Hugh Collins at Bloomberg News reports that Controladora Comercial
Mexicana SAB de CV did not disclosed any agreement following a
bondholder meeting on a restructuring proposal.  The report
relates that bondholders met on August 28 to discuss a debt
restructuring deal proposed by the company.

“There’s a lot of uncertainty about the agreement” with
bondholders, the report quoted Marco Montanez, a Mexico City-based
analyst at Actinver SA, the nation’s largest independent money
manager, as saying.  “Until there’s some clarity, we’re going to
see volatility,” Mr. Montanez said.

As reported in the Troubled Company Reporter-Latin America on
August 28, 2009, Bloomberg News said that speculation has emerged
that (Comerci) will reach an agreement with bondholders soon.  The
report related that Comerci said that “negotiations are continuing
in a favorable manner” and it doesn’t have any additional
information.  A TCRLA report on July 22, 2009, citing Bloomberg
News, related that Comerci is holding restructuring talks with
JPMorgan Chase & Co.  The report recalled Comerci expects JPMorgan
Chase & Co. to join five other banks in approving a plan to
restructure more than US$1.5 billion of debt.  The report noted
Barclays Plc, Goldman Sachs Group Inc., Bank of America Corp.'s
Merrill Lynch, Banco Santander SA and Citigroup Inc. agreed in
principle to restructure the company's peso derivative losses.
Reuters recalled that Comerci defaulted in October after massive
derivatives losses sent its debt soaring above US$2 billion.  On
Oct. 9, 2008, Comerci filed for protection under Mexico's
bankruptcy code Ley de Concurso Mercantil.

                          About Comerci

Controladora Comercial Mexicana SAB de CV a.k.a Comerci
(MXK:COMERCIUBC) --- http://www.comerci.com.mx/--- is a Mexican
holding company that, through its subsidiaries, operates several
chains of retail stores, as well as a chain of family restaurants
under the Restaurantes California brand name.  In addition, CCM
owns a 50% interest in the Costco de Mexico, a joint venture with
Costco Wholesale Corporation, which operates a chain of membership
warehouses in Mexico.  The company's store chains include
Comercial Mexicana, City Market, Mega, Bodega CM, Sumesa and
Alprecio, among others.  As of December 31, 2007, CCM operated 214
commercial units and 71 restaurants across Mexico.  The company's
retail outlets sell a variety of food items, including basic
groceries and perishables, and non-food items, which include
electronics, home furnishings, personal hygiene products and
clothing.  CCM is a parent of Tiendas Comercial Mexicana SA de CV,
Tiendas Sumesa SA de CV, Restaurantes California SA de CV and
Costco de Mexico SA de CV, among others.

                         *     *     *

As of June 19, 2009, the company continues to carry Moody's "D" LT
Issuer Credit ratings.  The company also continues to carry Fitch
Ratings' "D" LT Issuer Default ratings.


GMAC FINANCIERA: Moody's Affirms 'B3' Global Scale Ratings
----------------------------------------------------------
Moody's de México affirmed the B3 (Global Scale, Local Currency)
and B1.mx (Mexican National Scale) ratings of GMAC Financiera S.A.
de C.V., Sociedad Financiera de Objeto Limitado's Class A
certificates MXMACFW07-5U.  The certificates benefit from a
financial guaranty insurance policy issued by MBIA Mexico S.A. de
C.V. that covers timely interest payment and ultimate principal
payment by the legal final maturity date of the certificates.

The issuer had previously requested that the guaranty constitute
the sole credit consideration for the affected certificates.
However, the issuer has recently requested that Moody's no longer
rate the certificates based solely on the guaranty.  After an
evaluation of the transaction's underlying collateral performance,
Moody's are affirming the certificates' ratings of B3 (Global
Scale, Local Currency) and B1.mx (Mexican National Scale).

The last action occurred on March 13, 2009, when the affected
certificates' ratings were downgraded to B3 from Baa1 (Global
Scale, Local Currency) and to B1.mx from Aa1.mx (National Scale
Rating).  The rating actions were prompted by Moody's downgrade of
MBIA Mexico's insurance financial strength rating to B3 from Baa1
and its national scale insurance financial strength rating to
B1.mx from Aa1.mx.

The current ratings on the certificates are consistent with
Moody's practice of rating insured securities at the higher of (1)
the guarantor's insurance financial strength rating and (2) the
underlying ratings, based on Moody's modified approach to rating
structured finance securities wrapped by financial guarantors.

As part of evaluating the current rating for the security, Moody's
also reviewed the underlying ratings.  The underlying ratings
reflect the intrinsic credit quality of the certificates in the
absence of the guarantee.

                           Rating Action

The complete rating action is:

Master Servicer: GMAC Financiera S.A. de C.V., Sociedad Financiera
de Objeto Limitado.

Issuer: HSBC Mexico, S.A., Institucion de Banca Multiple, Grupo
Financiero HSBC, División Fiduciaria, acting only in its capacity
as trustee.

  -- Class A certificates MXMACFW07-5U: affirmed ratings of B3
     (Global Scale, Local Currency) and B1.mx (Mexican National
     Scale).


GRUPO MEXICO: Bankr. Court Says Plan for ASARCO LLC "Superior"
--------------------------------------------------------------
Judge Richard S. Schmidt of the U.S. Bankruptcy Court for the
Southern District of Texas recommended to District Court Judge
Andrew S. Hanen to confirm the Plan of Reorganization proposed by
Asarco Incorporated and Americas Mining Corporation for ASARCO LLC
and its debtor affiliates.

The Parent's Plan, valued at US$3.6 billion, complies with all of
the requirements of the Bankruptcy Code and should be confirmed,"
Judge Schmidt said in his 137-page report and recommendation dated
August 31, 2009.  "Confirmation of the Debtors' Plan should be
denied," he added.

Judge Schmidt's recommendation came after a two-week hearing on
the Plans of Reorganization filed by each of ASARCO LLC and Asarco
Inc. and AMC.  Judge Schmidt has also recommended that the
District Court issue all injunctions set forth in the Parent's
Plan.

Judge Hanen is expected to rule on the Plan in November 2009.  The
Debtors are expected to emerge from bankruptcy by the end of 2009
should Judge Hanen accept the Bankruptcy Court's recommendation,
Grupo Mexico SAB de C.V., AMC's ultimate parent, said in a press
release.

ASARCO LLC has been battling against its estranged parent, Asarco
Inc. and AMC, as to whose plan should be best for the Debtors and
the bankruptcy estates.  Sterlite (USA) Inc., backing ASARCO LLC's
reorganization plan, offered US$2.1 billion for the Debtors.
Grupo Mexico, backing the Parent Plan, offered US2.2 billion.
Both Plans propose to pay all Allowed Claims in full.  The ASARCO
Plan has gained support from the United Steelworkers of America,
and other key parties, including creditors, the Arizona Attorney
General, and state legislators.

Both Plans are confirmable, Judge Schmidt said in his ruling, but
decided that the Parent Plan is superior.

"Ultimately the Parent Plan pays US$2.4799 billion for the assets
of the Debtor while the Debtor's Plan pays only US$2.1675
billion," Judge Schmidt noted.  "The Parent's Plan achieves good
objective consequences because it provides a cash recovery in full
satisfaction of creditor's claims, the greatest immediate recovery
to various constituencies, and certainty of funding," he
maintained.

The Parent's Plan provides for:

  (a) a contribution by the Parent of US$2.2051 billion in Cash,
      upon closing, to the Debtors' estates;

  (b) a guaranty of a US$280 million promissory note of
      Reorganized ASARCO issued to a trust for the benefit of
      asbestos claimants;

  (c) a forfeitable deposit of US$2.2051 billion, to be obtained
      from 83,710,000 shares of Southern Copper Corporation
      stock having a value of US.2051 billion, plus an
      additional US$500 million in Cash in the U.S. Dollar
      currency, to ensure the Parent's performance of its
      obligations under the Parent's Plan;

  (d) a Working Capital Facility of US$200 million for the
      post-confirmation operations of Reorganized ASARC0; and

  (e) a waiver of all claims of the Parent and its affiliates
      against the Debtors, including tax reimbursement claims
      that the Debtors have quantified at US$161.7 million and a
      claim of ownership of a tax refund in the approximate
      amount of US$60 million.

In addition, Grupo Mexico has guaranteed the Parent's payment of
the Parent contribution, the Working Capital Facility, and the
timely payment of Reorganized ASARCO's US$280 million promissory
note.  To the extent all of its consideration proves insufficient
to pay all Allowed Claims in full, the Parent provides that
holders of Allowed Claims will have recourse against Reorganized
ASARCO to make up for any deficiency.

To fund its Plan Consideration, AMC has negotiated and executed a
Commitment Letter providing a US$1.3 billion senior secured term
financing facility with several prominent internationally-
recognized lending institutions, including Banco Inbursa, S.A.,
Institucion de Banca Multiple, Grupo Financiero Inbursa, BBVA
Securities Inc., Calyon New York Branch, Credit Suisse Securities
(USA) LLC, Credit Suisse, Cayman Islands Branch, BBVA Bancomer
S.A., Institucion de Banca Multiple, and Grupo Financiero BBVA
Bancomer.

                   Plan Feasibility Issues

Judge Schmidt, in his ruling, noted that although both the Parent
and the Debtors' Plans are feasible, both Plans raise feasibility
issues.  Judge Schmidt pointed out that the Parent Plan:

  -- failed to reach a collective bargaining agreement with the
     Union, which could result in a crippling strike;

  -- saddles the reorganized Debtor with obligations requiring
     it to upstream dividends and sales proceeds to the Parent
     to pay off the borrowing facility used to fund the Plan;
     and

  -- would hold ASARCO LLC liable for any creditor shortfall.

On the other hand, Judge Schmidt pointed out that support for the
future operation of the reorganized Debtor under the Debtors' Plan
relies on the good graces of Sterlite and not on any legal
commitment.

Reorganized ASARCO, Judge Schmidt, however, found, under the
Parent Plan, has sufficient financial resources so that the
confirmation and consummation of the Parent Plan is not likely to
be followed by liquidation, or the need for further financial
reorganization, of reorganized ASARCO.

A full-text copy of Judge Schmidt's Recommendation is available
for free at:

   http://bankrupt.com/misc/ASARCO_Recommendation_083109.pdf

Pursuant to Section 157(d) of the Judicial and Judiciary
Procedures Code, Judge Andrew S. Hanen of the U.S. District Court
for the Southern District of Texas granted the joint request of
the Debtors, Americas Mining Corporation, Asarco Incorporated, the
Official Committee of Asbestos Claimants, the Future Claims
Representative, and the Official Committee of Unsecured Creditors
to withdraw the reference regarding confirmation proceedings and
related requests for injunction.

According a September 1 report by Emily Schmall at Bloomberg,
Grupo Mexico SAB, jumped the most in 15 years after Judge Schmidt
said it be allowed to regain control of ASARCO LLC.  The shares
rallied 15 percent to 22.30 pesos in Mexico City trading at 11:24
a.m. New York time.  They earlier rose as much as 32 percent, the
biggest intraday advance since May 1994.

                   Grupo Mexico's Statement

Jorge Lazalde, vice president and general counsel of ASARCO Inc.,
an affiliate of Grupo Mexico, stated in a press release: "We are
extremely pleased with today's recommendation by Judge Schmidt."

"Assuming Judge Hanen accepts the recommendation, returning ASARCO
to the Grupo Mexico family will not only permit the company's
creditors to be fully paid on their claims, plus interest but will
also allow ASARCO to emerge from bankruptcy considerably stronger
as part of a global mining conglomerate that will stand among the
world's leaders.  We look forward to helping ASARCO get back to
the business of being a leading U.S. copper producer and putting
the prolonged bankruptcy process behind it," said Alberto De La
Parra, general counsel of Grupo Mexico.

AMC, according to the public statement, will continue to honor
ASARCO LLC's union contracts.  To ease any concern ASARCO
employees may have, AMC will extend the collective bargaining
agreement to June 2011 under the same terms and conditions as the
current contract.

Grupo Mexico said it expects to operate ASARCO's Amarillo, Hayden,
Ray, Silver Bell and Mission facilities.  These operations will
contribute 200,000 tons per year into its copper production,
resulting in global production capacity of 870,000 tons per annum
and 78 million tons of copper ore reserves.  This will rank Grupo
Mexico as the world's leading company in copper ore reserves and
the No. 3 overall producer of copper.  With an average production
cost of 72 cents per pound of copper, Grupo Mexico will rank among
the world's most competitive and low-cost copper mining companies.
Grupo Mexico also anticipates achieving overall synergies of
US$200 million through the integration of ASARCO LLC.

When the plan is confirmed by Judge Hanen and becomes effective,
AMC will simultaneously be released from any liability or
contingency related to the Brownsville litigation, thus allowing
for the simultaneous release of any security AMC provided for the
appeal, Grupo Mexico said.  AMC will also receive tax benefits of
approximately us$800 million.  Finally, as part of the plan,
ASARCO will maintain the right to sue Sterlite for damages arising
from its breach in 2008 of the US$2.6 billion contract to purchase
the assets of ASARCO.

                      Debtors' Statement

In a press release, Joseph F. Lapinsky, president and chief
executive officer of ASARCO LLC, stated that "[o]ur Board will
consider the court's recommendations and findings and then, in
consultation with our advisors, major creditor constituencies, and
Sterlite, will determine the next steps that are in the best
interest of the debtors and their estates."

In support of the Debtors' Plan, ASARCO LLC filed with the
Bankruptcy Court on August 31, 2009, Sterlite's pro-forma balance
sheet as of the effective date, which shows total assumed
liabilities of US$1.031 billion and total assets of US$3.399
billion.

In response, the Parent disclosed with the Court Reorganized
ASARCO's balance sheet per the Parent Plan.  The Parent has also
filed an executed escrow agreement as contemplated in the Parent
Plan.

                        Competing Plans

As reported by the Troubled Company Reporter, Sterlite Industries
(India) Ltd., on August 19 raised its bid for ASARCO LLC, by
pledging to pay all of the Company's unsecured debts in full, thus
matching an offer from Grupo Mexico SAB.  Under the plan backed by
ASARCO LLC, Sterlite would guarantee to pay unsecured debts of
Asarco LLC that are ultimately considered legitimate by Judge
Schmidt.

Grupo Mexico SAB on August 18 beefed up its offer for ASARCO LLC
to US$2.2 billion in cash.  Grupo Mexico said this offer
guarantees full payment for creditors.  Because the creditors are
no longer impaired, voting in favor of the Parent Plan is no
longer required as the creditors can be deemed to accept the Plan.

ASARCO LLC and Grupo Mexico, through unit ASARCO Inc., have filed
competing plans of reorganization for ASARCO LLC.  Judge Richard
Schmidt began on August 10 hearings to choose between the
competing plans, which originally included a third plan, sponsored
by investors led by Harbinger Capital Partners Master Fund I Ltd.

Grupo Mexico previously offered to purchase ASARCO LLC, in
exchange for US$1.72 billion in cash plus a note for
US$280 million for unsecured creditors.

ASARCO LLC's plan is built upon an agreement to sell assets to
Vedanta unit Sterlite Industries Inc.  Sterlite has agreed to
provide a US$770 million promissory note, pay US$1.59 billion in
cash and assume certain liabilities as part of its consideration
in exchange for ASARCO's assets.

ASARCO Inc. and AMC early this year lost a lawsuit filed against
it for intentional fraudulent conveyance of ASARCO LLC's crown
jewel -- its stock in Southern Peru Copper Company, now known as
Southern Copper Corporation.  The U.S. District Court for the
Southern District of Texas concluded that AMC is the transferee of
an avoidable transfer, and ordered AMC to return the SPCC Shares
to ASARCO LLC and to pay ASARCO LLC US$1.38 billion in money
damages.  ASARCO Inc. and AMC, however, are appealing the ruling.

The recovery by creditors from the SPCC Litigation may depend on
the outcome of the litigation and which Chapter 11 plan is
selected by the Bankruptcy Court.  According to Bloomberg, under
the ASARCO LLC Plan, creditors may collect money from the
judgement against Grupo Mexico.  The Parent Plan, however, would
limit any payments related to the judgement.

                        About ASARCO LLC

Based in Tucson, Arizona, ASARCO LLC -- http://www.asarco.com/--
is an integrated copper mining, smelting and refining company.
Grupo Mexico S.A. de C.V. is ASARCO's ultimate parent.

ASARCO LLC filed for Chapter 11 protection on August 9, 2005
(Bankr. S.D. Tex. Case No. 05-21207).  James R. Prince, Esq., Jack
L. Kinzie, Esq., and Eric A. Soderlund, Esq., at Baker Botts
L.L.P., and Nathaniel Peter Holzer, Esq., Shelby A. Jordan, Esq.,
and Harlin C. Womble, Esq., at Jordan, Hyden, Womble & Culbreth,
P.C., represent the Debtor in its restructuring efforts.  Lehman
Brothers Inc. provides the ASARCO with financial advisory services
and investment banking services.  Paul M. Singer, Esq., James C.
McCarroll, Esq., and Derek J. Baker, Esq., at Reed Smith LLP give
legal advice to the Official Committee of Unsecured Creditors and
David J. Beckman at FTI Consulting, Inc., gives financial advisory
services to the Committee.

When ASARCO LLC filed for protection from its creditors, it listed
US$600 million in total assets and US$1 billion in total debts.

ASARCO LLC has five affiliates that filed for Chapter 11
protection on April 11, 2005 (Bankr. S.D. Tex. Case Nos.
05-20521 through 05-20525).  They are Lac d'Amiante Du Quebec
Ltee, CAPCO Pipe Company, Inc., Cement Asbestos Products Company,
Lake Asbestos of Quebec, Ltd., and LAQ Canada, Ltd.  Sander L.
Esserman, Esq., at Stutzman, Bromberg, Esserman & Plifka, APC, in
Dallas, Texas, represents the Official Committee of Unsecured
Creditors for the Asbestos Debtors.  Former judge Robert C. Pate
has been appointed as the future claims representative.  Details
about their asbestos-driven Chapter 11 filings have appeared in
the Troubled Company Reporter since April 18, 2005.

Encycle/Texas, Inc. (Bankr. S.D. Tex. Case No. 05-21304), Encycle,
Inc., and ASARCO Consulting, Inc. (Bankr. S.D. Tex. Case No. 05-
21346) also filed for Chapter 11 protection, and ASARCO has asked
that the three subsidiary cases be jointly administered with its
Chapter 11 case.  On October 24, 2005, Encycle/Texas' case was
converted to a Chapter 7 liquidation proceeding.  The Court
appointed Michael Boudloche as Encycle/Texas, Inc.'s Chapter 7
Trustee.  Michael B. Schmidt, Esq., and John Vardeman, Esq., at
Law Offices of Michael B. Schmidt represent the Chapter 7 Trustee.

ASARCO's affiliates, AR Sacaton LLC, Southern Peru Holdings LLC,
and ASARCO Exploration Company Inc., filed for Chapter 11
protection on December 12, 2006.  (Bankr. S.D. Tex. Case No.
06-20774 to 06-20776).

Six of ASARCO's affiliates, Wyoming Mining & Milling Co., Alta
Mining & Development Co., Tulipan Co., Inc., Blackhawk Mining &
Development Co., Ltd., Peru Mining Exploration & Development Co.,
and Green Hill Cleveland Mining Co. filed for Chapter 11
protection on April 21, 2008.  (Bank. S.D. Tex. Case No. 08-20197
to 08-20202).

Bankruptcy Creditors' Service, Inc., publishes ASARCO Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding undertaken
by ASARCO LLC and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)

                       About Grupo Mexico

Grupo Mexico SA de C.V. -- http://www.grupomexico.com/--
through its ownership of Asarco and the Southern Peru Copper
Company, Grupo Mexico is the world's third largest copper
producer, fourth largest silver producer and fifth largest
producer of zinc and molybdenum.

                           *     *     *

As of August 14, 2009, Grupo Mexico continues to carry Fitch
Ratings' BB+ Issuer Default ratings.


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


CL FINANCIAL: CLICO Insurance “Disappointed” With LIAT's Request
----------------------------------------------------------------
President of CLICO Barbados Terrence Thornhill said that while it
is disappointment over Antigua-based LIAT Limited's decision to
seek to recover its investment in a pension plan managed by the
company,  the insurance company would cooperate the airline, the
Jamaica Observer reports.

"One of the bases for disappointment is that over the past few
months we've been, I think, very effective at communicating with
our policy holders and certainly in terms of convincing them about
the desirability of the company and we've been getting tremendous
support, from both large and small policy holders," the report
quoted Mr. Thornhill as saying.  "LIAT, a Caribbean entity and a
Caribbean governmental entity, we suppose, I suppose, we have been
hopeful that they would continue to partner with us, but if their
circumstances don't permit, we understand and we will rise to the
occasion," Mr. Thornhill added.

As reported in the Troubled Company Reporter-Latin America on
September 1, 2009, Caribbean360.com said LIAT Limited wants the
immediate return of all its investment in CLICO International Life
Insurance Limited, to its 900 employees' Pension Fund over the
past two years.  CLICO is a unit of CL Financial Limited.
According to the report, LIAT workers and management had been in
disagreement over whether the money should be withdrawn from the
Barbados branch where the funds are held, following the financial
trouble CL Financial.  "LIAT's management has secured the services
of regional experts on matters relating to Pension Funds.  Acting
on the advice of these experts LIAT has now written to CLICO
informing the company of LIAT's request that all funds paid over
to CLICO be immediately returned to the Pension Fund," acting
Chief Executive Officer (CEO) Brian Challenger said in a note
obtained by the news agency.  LIAT Limited, Caribbean360.com
recalled, began making deposits to the Pension Fund in March 2006.
However, the report relates following media reports and increasing
public concern over the financial health of CLICO, the company
suspended payments in February this year, with funds instead being
paid into an interest bearing escrow account at a bank in Antigua.

                         About LIAT Limited

Headquartered in Antigua and Barbuda, LIAT Limited --
http://www.liatairline.com -- is a passenger airline with a fleet
of Dash 8 turboprop aircraft.  The carrier transports passengers
to more than 20 destinations in the Caribbean.  The company has
expanded by buying key operating assets of former rival Caribbean
Star, including additional Dash 8s.  Before the acquisition was
completed in November 2007, LIAT and Caribbean Star had formed a
commercial alliance that integrated many of their operations.
Among LIAT's major shareholders are the governments of several
Caribbean nations, including Antigua, Barbados, the Grenadines,
and St. Vincent.

                         About CL Financial

CL Financial Limited is a privately held conglomerate in Trinidad
and Tobago.  Founded as an insurance company, Colonial Life
Insurance Company 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
August 10, 2009, A.M. Best Co. has downgraded the financial
strength rating to C (Weak) from B (Fair) and issuer credit rating
to "ccc" from "bb" of Colonial Life Insurance Company (Trinidad)
Limited (CLICO) (Trinidad & Tobago).  The ratings remain under
review with negative implications.  CLICO is an insurance member
company of CL Financial Limited (CL Financial), a diversified
holding company based in Trinidad & Tobago.

According to a TCRLA report on Feb. 20, 2009, citing Trinidad and
Tobago Express, Tobago President George Maxwell Richards 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.


CL FINANCIAL: CLICO to Make Statement Soon; Investors to Know Fate
------------------------------------------------------------------
CLICO (Bahamas) Limited, a unit of CL Financial Limited, is
expected to soon make a major statement that would answer the many
questions its customers have, Ianthia Smith at The Bahamas Journal
reports, citing annuity holder Bishop Simeon Hall, who is also the
head of a group formed to protect the interests of policyholders.

"I have been in contact with someone on the inside who ought to
know what’s happening and they’ve assured me that it’s a matter of
weeks before some resolution is arrived at," the report quoted Mr.
Hall as saying.  "They’ve made me to feel very hopeful that it’s a
matter of weeks before people can know exactly where they are and
even to the point of some resolution.  I don’t want to go
overboard on it, though, because they’ve been telling me that for
the last three or four weeks," Mr. Hall added.

According to the report, CLICO (Bahamas) has just over 29,000
policyholders, over 170 workers and over BS$100 million in policy
liabilities.  The report relates CLICO's advances to its real
estate subsidiary CLICO Enterprises Limited -- based on un-audited
accounts -- grew from BS$57 million at the end of 2007 to BS$72
million at the end of last year.

CLICO liquidators were said to be locked in private and the
company’s liquidation report has yet to be released, the report
adds.

As reported in the Troubled Company Reporter-Latin America on
Feb. 27, 2009, CaribWorldNews said the Bahamian Supreme Court
granted a request from the islands government to liquidate Clico
Bahamas for the protection of company shareholders.  Craig Gomez
of Baker Tilley Gomez was appointed as the liquidator of the
company, according to CaribWorldNews.

Mr. Ingraham, as cited by Caribbean Net News, said Clico (Bahamas)
went into liquidation because it was unable to pay US$2.6 billion
to policyholders.

As reported in the Troubled Company Reporter-Latin America on
April 1, citing Trinidad and Tobago Express, provisional
liquidator Craig Tony Gomez's report filed with the Bahamas
Supreme Court disclosed that CLICO Bahamas's liabilities exceed
its assets by US$18 million.   The report said Mr. Gomez's report
listed CLICO Bahamas's total assets at US$116,965,096 and total
liabilities at US$135,085,964 as of the period March 23-27, 2009.
In the same report, Trinidad and Tobago Express related Mr. Gomez
also said the company had a "considerable amount of critical
claims", which were being reviewed, including death benefits,
emergency surgeries, cancer patient treatments and HIV patient
treatments.  In addition, Trinidad and Tobago Express noted Mr.
Gomez said CLICO Bahamas can't recover the US$73 million it loaned
to CLICO Enterprises Ltd as part of a Florida real estate deal
because of the downturn in the US real estate market.

                         About CL Financial

CL Financial Limited is a privately held conglomerate in Trinidad
and Tobago.  Founded as an insurance company, Colonial Life
Insurance Company 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
August 10, 2009, A.M. Best Co. has downgraded the financial
strength rating to C (Weak) from B (Fair) and issuer credit rating
to "ccc" from "bb" of Colonial Life Insurance Company (Trinidad)
Limited (CLICO) (Trinidad & Tobago).  The ratings remain under
review with negative implications.  CLICO is an insurance member
company of CL Financial Limited (CL Financial), a diversified
holding company based in Trinidad & Tobago.

According to a TCRLA report on Feb. 20, 2009, citing Trinidad and
Tobago Express, Tobago President George Maxwell Richards 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.


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


MARFRIG ALIMENTOS: Halts Meat Production at Fray Bentos Plant
-------------------------------------------------------------
Marfrig Alimentos SA General Manager of Fray Bentos Plant in
Uruguay, Julio Bonizi, said the factory stop its meat production
due to the local government's failure of a promise for cost
reduction in exports, Dan Vallada at FoodBizDaily.com reports,
citing Uruguayan press.  The report relates that the factory,
which has capacity to produce 115 tons per day of canned products
and 10 tons of beef jerky, employed 124 people and was leased last
year in August.

According to the report, Marfrig said that there was a "temporary
suspension because of the need to make adjustments to the
production of tin cans."  The report notes that the company did
not know whether the activities would resume.

The Uruguayan media, the report adds, said that under Marfrig’s
management, the plant exported the equivalent of more than US$6
million in processed meats.

                      About Marfrig Alimentos

Brazil-based Marfrig Alimentos SA (Marfrig Group) -- formerly
known as Marfrig Frigoroficos e Comercio de Alimentos) is engaged
in the meat industry. Its product portfolio consists of frozen
cooked beef, bacon, sausages, rum tops, beef cubes, minced
knuckles, steaks and others, under the GJ brand.  The company is
composed of nine slaughter and production centers which are
located in the states of Mato Grosso and Mato Grosso do Sul, units
in Sao Paulo, Rondonia, Rio Grande do Sul and Goias and four
operational units in South America (Chile, Uruguay and Argentina).

The Company also operates in Europe (France, the Netherlands and
England, among others.  The Company’s subsidiaries include
Argentine Breeders & Packers SA, Frigoclass Alimentos SA, Inaler
SA and Weston Importers Ltd, among others.  The Marfrig Group is
composed of nine large slaughter and production centres which are
located in the main beef producing areas in Brazil, plus four
units in South America and one central storage and distribution
centre.

The slaughter and production units, located in Bataguassu and
Porto Murtinho in Mato Grosso do Sul, Tangara da Serra and
Paranatinga in Mato Grosso, two units in Promissao in Sao Paulo
(one of them for special products process), Chupinguaia in
Rondonia, Sao Gabriel in the Rio Grande do Sul and Mineiros in
Goias plus the south american units, in Chile (Quinto Cuarto),
Uruguay (Tacuarembo and Best Beef) and Argentina (AB&P) slaughter
up to 10,000 animals per day.  Marfrig Group has also an
efficiente distribution and storage facility strategically
positioned in Santo Andre, which is near to the cost and the large
brazilian consumer markets.

                           *     *     *

As of August 13, 2009, the company continues to carry these low
ratings from the major rating agencies:

   -- Moody's "B1" LT Corp Family Rating;
   -- Standard and Poor's "B+" LT Foreign Issuer Credit
      rating; and
   -- Fitch ratings' "B+" LT Issuer Credit ratings


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


LATAM: Together With the Caribbean Avoid Protectionism Amid Crisis
------------------------------------------------------------------
A Economic Commission for Latin America and the Caribbean report
said that although pressure mounts for protectionist measures in
times of crisis, there has not been a general trend towards trade
restrictions in the region.

Contrary to what is occurring in several industrialized nations
that have adopted restrictive measures, Latin America countries
are taking actions to promote trade, said the report, Latin
America and the Caribbean in the World Economy 2008-2009: Crisis
and opportunities for regional cooperation.

The report underscores that, although some protectionist measures
have been taken, the efforts made by countries in the region to
increase openness, promote exports and facilitate the trade of
goods and services have been much greater.

In several countries, lowering tariffs for capital goods,
intermediate goods and food products predominated government
efforts.

Other countries lowered export taxes, especially for agricultural
products, and adopted measures to finance exports, among them,
Brazil, Ecuador, Argentina and Uruguay.

Several governments in the region also took joint action to
increase financing for trade, given the strong restrictions to
credit resulting from the crisis.  The countries that most
invested in this were Argentina (US$2.5 billion), Colombia
(US$910 million) and Ecuador (US$225 million).

The scenario differs in other regions of the world. A significant
number of industrialized nations introduced measures to restrict
trade between 2008 and late June 2009.  These countries include
almost all G-20 member countries, says the ECLAC report.

This occurs in spite of the commitments assumed by the leaders of
these countries in the summits in Washington, D.C. (November 2008)
and London (April 2009) that they would not introduce new
protectionist measures.

In general, industrialized countries have resorted to subsidies to
protect vulnerable domestic sectors-such as the automobile
industry, financial services and agriculture-while developing
nations have given priority to border measures such as increasing
tariffs, import licenses and minimum customs values, among others.

The ECLAC report notes that some countries are also applying
antidumping measures, financial protectionism and barriers to
migrant workers.

In addition, other measures related to climate change could result
in "green protectionism"; that is, trade restrictions that
industrialized countries may apply with regard to the "carbon
traceability" of imported products.

A new multilateral framework for reducing greenhouse gas emissions
is expected to arise from the Fifteenth Conference of the Parties
of the United Nations Framework Convention on Climate Change to
take place in Copenhagen this December.

However, if an agreement is not reached, the possibility that
industrialized countries take unilateral actions that negatively
affect trade in the region will become greater, warns ECLAC.

For this reason, it is vital for Latin American nations to
actively participate in a coordinated manner in the negotiations
prior to the conference, concludes the report.


                            ***********

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, Marites O. Claro, Joy A. Agravente, 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.

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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.


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