TCRLA_Public/090910.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

            Thursday, September 10, 2009, Vol. 10, No. 179

                            Headlines

A R G E N T I N A

ANTICHE E HIJOS: Creditors' Proofs of Debt Due on September 25
FONDO DE GARANTIAS: Moody's Affirms 'B3' Insurance Strength Rating
HISTAP SA: Creditors' Proofs of Debt Due on November 13
LOPEZ Y GARCIA: Creditors' Proofs of Debt Due on November 3
NUEVO BANCO: Moody's Withdraws All Ratings on Banco Macro Deal


A R U B A

VALERO ENERGY: Refinery Continues to Generate Losses


B E R M U D A

CENTRAL EUROPEAN: Plans to Sell Senior Notes
PROTOSTAR LIMITED: Judge Adjourns Insolvency Case Until Nov. 27


B A R B A D O S

CABLE & WIRELESS: LIME Barbados Retracts Termination Letters


B O L I V I A

* BOLIVIA: Fitch Upgrades Issuer Default Ratings to 'B'


B R A Z I L

BANCO DO BRASIL: Signs Biofuel Finance Deal With Petrobras
BANCO DO BRASIL: Provides US$160 Million to Marfrig
MARFRIG ALIMENTOS: Obtains US$160MM Financing From Banco do Brasil


C A Y M A N  I S L A N D S

MAIA HOLDINGS: Members to Receive Wind-Up Report Today
NAI ASIA: Members Receive Wind-Up Report
NEW SOUTH: Members to Receive Wind-Up Report Today
PILO HOLDINGS: Members to Receive Wind-Up Report Today
PINNACLE PEAK: Members to Hear Wind-Up Report Today

SILVER LAKE: Members to Hear Wind-Up Report Today
SIXTINA 28: Members Receive Wind-Up Report
SIXTINA 26: Members Receive Wind-Up Report
SIXTINA 25: Members Receive Wind-Up Report
SIXTINA 24: Members Receive Wind-Up Report

SIXTINA 23: Members Receive Wind-Up Report
SIXTINA 22: Members Receive Wind-Up Report
SIXTINA 21: Members Receive Wind-Up Report
SIXTINA 19: Members Receive Wind-Up Report
SIXTINA 20: Members Receive Wind-Up Report

SIXTINA 20: Members Receive Wind-Up Report
SIXTINA 19: Members Receive Wind-Up Report
SIXTINA 18: Members Receive Wind-Up Report
SIXTINA 15: Members Receive Wind-Up Report
SIXTINA 17: Members Receive Wind-Up Report

SIXTINA 15: Members Receive Wind-Up Report
XANTHOS COMMODITY: Members Receive Wind-Up Report
YKFII HOLDINGS: Members to Receive Wind-Up Report Today
YNN CORPORATION: Members to Receive Wind-Up Report Today


D O M I N I C A N  R E P U B L I C

* DOMINICAN REP: Central Bank Injects RD$10.0BB to Revive Economy


J A M A I C A

JAMAICA URBAN TRANSIT: Acquires 200 Buses From Jonckheere
SUGAR COMPANY: OCG Starts Probe on Alleged Procurement Practices
* JAMAICA: No Need for Alarm Over Hotel Staff Lay Offs


M E X I C O

AXTEL SAB: Fitch Assigns Issuer Default Ratings at 'BB'
AXTEL SAB: Moody's Assigns 'Ba2' Rating on $300 Mil. Senior Notes
AXTEL SAB: S&P Affirms Corporate Credit Rating at 'BB-'
* MEXICO: Credit Rating May Be Cut in October, RBC Says


T R I N I D A D  &  T O B A G O

CL FINANCIAL: CLICO Bahamas Liquidator Seeks to Seize Key Asset


V E N E Z U E L A

MITSUBISHI MOTORS: Won't Close Venezuela Plant
PETROLEOS DE VENEZUELA: to Take legal Action Over Conoco Bid
PETROLEOS DE VENEZUELA: Invests US$17 Bil. to Ensure Fuel Supply
PETROLEOS DE VENEZUELA: Sends 1st Diesel Shipment to Salvador
* VENEZUELA: August Oil Exports Rise by 151,350 barrels Per Day

* VENEZUELA: PDVSA To Take Legal Action Over Conoco Bid


X X X X X X X X

* Upcoming Meetings, Conferences and Seminars


                         - - - - -


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


ANTICHE E HIJOS: Creditors' Proofs of Debt Due on September 25
--------------------------------------------------------------
The court-appointed trustee for Antiche e Hijos S.R.L.'s
bankruptcy proceedings, will be verifying creditors' proofs of
claim until September 25, 2009.

The trustee will present the validated claims in court as
individual reports on November 9, 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
December 23, 2009.


FONDO DE GARANTIAS: Moody's Affirms 'B3' Insurance Strength Rating
------------------------------------------------------------------
Moody´s Latin America has affirmed Fondo de Garantias Buenos
Aires's B3 global local-currency insurance financial strength
rating and upgraded to A3.ar from Baa1.ar its IFS rating on
Argentina's national scale.  Both ratings carry a stable outlook.

Fogaba is a medium-sized company engaged in the financial guaranty
or credit insurance business in Argentina.  The company is
sponsored by the Province of Buenos Aires to ease access to bank
loans and other types of financing and to foster greater economic
activity for small and medium-sized companies domiciled in this
important province of Argentina.

Moody's explained that the affirmation of Fogaba's GLC rating
reflects not only its overall stable business and financial
profile but also the relatively stable situation of its main
shareholder -- the Province of Buenos Aires (Moody's long-term
issuer rating at B3 and A3.ar), which owns approximately 78% of
the company.

In terms of its credit strengths, the rating agency cited Fogaba's
favorable market position in the financial guarantee industry --
among the top five in terms of in force guarantees, the adequate
diversification by industry and high granularity of its pool of
guarantees, and the sustained, high level of recovery on its
guarantees.

The rating agency went on to say that offsetting these credit
strength are the weak quality of Fogaba's investments, its
relatively high operating leverage (the ratio of current
outstanding guarantees divided by investments), and the strong
dependence on its main shareholder -- the Province of Buenos Aires
-- for its equity growth over the long term.  The elevated
sovereign risks and weak operating environment of Argentina are
other credit weaknesses explaining these ratings.

Regarding the upgrade on the national scale to A3.ar, Moody's said
that Fobaga's B3 GLC IFS can be mapped to different outcomes on
Argentina's national scale ranging from A2.ar to Baa3.ar.  Moody's
views the company as a relatively strong B3 and consistent with
other A3.ar credits in the country because of its affiliation with
the Province of Buenos Aires (also rated A3.ar), the expectation
of improving profitability as seen by the good results during the
first quarter of 2009, and the company's better-than-average
recovery rates on its guarantees relative to peers.

According to Moody's, an upgrade in the Province of Buenos Aires'
issuer rating, a sustained control of Fogaba's delinquency ratio
below 3%, and an improvement in the company's asset quality are
factors that could contribute to a rating upgrade.  Conversely, a
downgrade of the Province of Buenos Aires' issuer rating, a
prolonged increase in operating leverage above 3.5x shareholders'
equity, a sustained increase in delinquencies, or a deterioration
of the operating environment and/or a downgrade of Argentina's
sovereign bonds are factors that could lead to a rating downgrade.

During the first quarter of the 2009 fiscal year ending March 31,
2009, Fogaba -- headquartered in Buenos Aires, Argentina --
reported a net profit of ARS0.2 million compared to a
ARS1.2 million loss in the prior year period.  The company's
shareholders' equity remained stable and totaled ARS57.5 million
at March 31, 2009.  Total outstanding guarantees amounted to
ARS161 million, a 4% drop during the first quarter.

NOTE: Moody's national scale ratings rank an enterprise's credit
risk on a relative basis in comparison with other firms within the
same country.  Such ratings are designed for use at the local
(national) level, and they are not globally comparable.  For
Argentine companies, national scale ratings carry the identifier
".ar".  Moody's global local currency ratings indicate the
relative credit risk on a globally comparable basis.  Taken
together, the national scale and global local currency ratings
provide a more comprehensive opinion about the credit risk of the
company.  Moody's insurance financial strength ratings are
opinions about the ability of insurance companies to punctually
repay senior policyholder claims and obligations.


HISTAP SA: Creditors' Proofs of Debt Due on November 13
-------------------------------------------------------
The court-appointed trustee for Histap S.A.'s reorganization
proceedings, will be verifying creditors' proofs of claim until
November 13, 2009.

The trustee will present the validated claims in court as
individual reports on December 28, 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
March 9, 2010.

Creditors will vote to ratify the completed settlement plan
during the assembly on August 16, 2010.


LOPEZ Y GARCIA: Creditors' Proofs of Debt Due on November 3
-----------------------------------------------------------
The court-appointed trustee for Lopez y Garcia S.R.L.'s bankruptcy
proceedings, will be verifying creditors' proofs of claim until
November 3, 2009.


NUEVO BANCO: Moody's Withdraws All Ratings on Banco Macro Deal
--------------------------------------------------------------
Moody's Investors Service has withdrawn all of its ratings for
Nuevo Banco Bisel S.A. following the completion of its merge with
Banco Macro S.A.

Bisel has no rated foreign currency debt outstanding.

Nuevo Banco Bisel S.A., located in Rosario, Argentina, had
ARS4,136 million in assets and ARS 1,389 million in equity as of
March 31, 2009.

These ratings of Nuevo Banco Bisel were withdrawn:

* Bank Financial Strength Rating: D, stable outlook

* Global Long-Term Local-Currency Deposit Rating: Ba2, stable
  outlook

* Global Long-Term Foreign Currency Deposit Rating: Caa1, stable
  outlook

* Global Short-Term Local Currency Deposit Rating: Not Prime,
  stable outlook

* Global Short-Term Foreign Currency Deposit Rating: Not Prime,
  stable outlook

* National Scale Local Currency Deposit Rating: Aa1.ar, stable
  outlook

* National Scale Foreign Currency Deposit Rating: Ba1.ar, stable
  outlook


=========
A R U B A
=========


VALERO ENERGY: Refinery Continues to Generate Losses
----------------------------------------------------
Valero Energy Corporation disclosed it is continuing to take
action to improve its profitability by rationalizing under
performing operations.  As a result, the company’s subsidiary, The
Premcor Refining Group Inc. intends to shut down the coker and
gasifier complex at the Delaware City refinery.  The coker is
expected to be idle at least until the outlook for coking
economics improves, while the closure of the gasifier complex is
for an indefinite period.  The company also noted that the plant-
wide shutdown of the Valero Aruba refinery is now expected to be
for an extended period, and, as announced earlier this year, the
shutdown of a coker and a fluid catalytic cracking unit at the
Corpus Christi refinery continues, and that cokers at certain of
its refineries would run at reduced rates until coking margins
improve.

The company expects that these decisions will reduce headcount at
the Delaware City refinery by at least 150 employees and 100
contract workers.  Valero has notified its employees and
contractors along with the appropriate regulatory agencies and
union officials.  At the Aruba refinery, the company expects that
more than 700 contract workers will be released in September.

“These moves, while difficult, are necessary to improve the
profitability of Valero’s refining system,” said Valero Chairman,
President and CEO Bill Klesse.  “Shutting down the coker and the
gasifier complex at Delaware City will reduce costs, improve
reliability, and allow the refinery to run a lighter crude slate
and shift production to higher-margin products.  The decision for
Aruba will lead to a substantial reduction in the refinery’s
operating expenses.  We’re taking the correct steps to navigate
through these tough conditions and to position our assets for
economic recovery.”

Both the coker and the gasifier complex at the Delaware City
refinery have been unprofitable, a situation resulting from the
economic recession, declining demand for refined products, and
poor coking margins due to a decreased price differential between
heavy sour and light sweet crude oils.  The gasifier complex has
also been unprofitable due to poor reliability and low operating
rates attributable to its original design and low natural gas
prices, which affect costs of electrical power and steam.  In
addition, regulatory issues and potentially significant capital
expenditures contributed to the decision to shut down the gasifier
complex at Delaware City.

Due to its configuration as a heavy crude oil upgrading facility,
the Aruba refinery was generating losses mainly because of the
narrow price differential between heavy sour and light sweet crude
oils.  The Aruba refinery is further impacted by looming local tax
burdens, including a disputed tax on revenues and the December
2010 expiration of the current 20-year tax holiday.

In the third quarter of 2009, Valero expects to report special
charges related to these decisions, including charges for asset
impairment, employee costs, and asset retirement obligations.
Estimates for the special charges should be completed in the next
few weeks.  The company has revised third-quarter guidance for the
Northeast region throughput volume, which is now expected to
average between 480,000 and 490,000 barrels per day, but
throughput volume for the Gulf Coast region is expected to remain
approximately the same as previous guidance of 1.2 million to 1.25
million barrels per day.

                         About Valero Energy

Valero Energy Corporation -- http://www.valero.com/--
incorporated in 1981, owns and operates 16 refineries located in
the United States, Canada, and Aruba that produce conventional
gasolines, distillates, jet fuel, asphalt, petrochemicals,
lubricants, and other refined products, as well as a slate of
premium products, including conventional blendstock for oxygenate
blending (CBOB) and reformulated gasoline blendstock for oxygenate
blending (RBOB).  The Company markets refined products on a
wholesale basis in the United States and Canada through bulk and
rack marketing network.  It also sells refined products through a
network of about 5,800 retail and wholesale branded outlets in the
United States, Canada, and Aruba.  The Company operates through
two segments: refining and retail.

                           *     *     *

As of June 25, 2009, the company continues to carry Moody's "Ba1"
Preferred Stock rating.


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B E R M U D A
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CENTRAL EUROPEAN: Plans to Sell Senior Notes
--------------------------------------------
Central European Media Enterprises Ltd. said it plans to make a
private placement of fixed rate senior notes in the aggregate
principal amount of approximately EUR150 million (approximately
US$214.2 million).  The company expects to commence the offering
shortly.  The company expects to apply the net proceeds from the
offering of the senior notes to:

    (i) repay the EUR127.5 million (approximately US$182
        million) principal amount outstanding under the
        company's loan agreements with the European Bank for
        Reconstruction and Development (EBRD) (and to cancel
        the EBRD loan agreements and release the security
        interests in favor of EBRD); and

   (ii) repurchase and cancel a portion of the company's
        8.25% Senior Notes due 2012 or repay other outstanding
        indebtedness with the remainder of the net proceeds.
        The notes will be senior secured obligations of the
        company.  The senior notes will not be registered under
        the US Securities Act of 1933 and may not be offered
        or sold in the US or to US persons absent registration
        or an applicable exemption from registration
        requirements.

In relation to the United Kingdom, notes may not be offered or
sold except in accordance with all applicable requirements of the
Financial Services and Markets Act 2000 and regulations passed
under FSMA, or pursuant to an applicable exemption.  In addition,
the notes may not be offered in the United Kingdom or any other
member state of the European Economic Area except in circumstances
which do not require the publication by the company of a
prospectus pursuant to Article 3 of the EU Prospectus Directive
(2003/71/EC).

                      About Central European

Headquartered in Bermuda, Central European Media Enterprises Ltd.
-- http://www.cetv-net.com/-- operates TV channels in Central
and Eastern Europe.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
September 9, 2009, Standard and Poor's Ratings Services said that
it affirmed its 'B' long-term corporate credit rating on Bermuda-
based emerging markets TV broadcaster Central European Media
Enterprises Ltd The outlook is negative.  S&P also affirmed at 'B'
the debt ratings on CME's US$475 million senior convertible notes
due 2013, EUR245 million notes due 2012, and EUR150 million notes
due 2014.  In addition, S&P assigned a 'B' issue rating to the
EUR150 million bond issue due 2016 announced by CME, in line with
the corporate credit rating.


PROTOSTAR LIMITED: Judge Adjourns Insolvency Case Until Nov. 27
---------------------------------------------------------------
Alex Wright at the Royal Gazette reports that Judge Geoffrey Bell
adjourned the matter of the insolvent companies Protostar,
Protostar I Ltd., Protostar II Ltd. and Protostar Development Ltd.
to November 27 to allow for Chapter 11 U.S. bankruptcy proceedings
against the firms to progress.

According to the report, John Riihiluoma, representing the
petitioner, applied for the adjournment of the case concerning the
company, which was granted permission by a U.S. Bankruptcy Court
Judge last month to sell virtually all of the assets belonging to
Protostar I and Protstar II, including two satellites and ground
equipment, software and contracts needed to operate them at an
auction next month, according to court papers.  The report relates
that ProtoStar wants all bids submitted by October 8 and to call a
hearing to approve the sale between October 19 and October 23.

The Gazette notes that the company asked the judge for permission
to appoint a stalking horse, or lead bidder, for the assets, to
increase bidding and "induce others to put real money on the
table", ProtoStar lawyers argued at the hearing.  Judge Mary
Walrath said the proposal would be considered later, the report
says.

                       About ProtoStar Ltd.

Hamilton, HM EX, Bermuda-based ProtoStar Ltd. is a satellite
operator formed in 2005 to acquire, modify, launch and operate
high-power geostationary communication satellites for direct-to-
home satellite television and broadband internet access across the
Asia-Pacific region.

The Company and its affiliates filed for Chapter 11 on July 29,
2009 (Bankr. D. Del. Lead Case No. 09-12659.)  The Debtor selected
Pachulski Stang Ziehl & Jones LLP as Delaware counsel; Law Firm of
Appleby as their Bermuda counsel; UBS Securities LLC as financial
advisor & investment banker and Kurtzman Carson Consultants LLC as
claims and noticing agent.  In their petition, the Debtors listed
between US$100 million and US$500 million each in assets and
debts.  As of December 31, 2008, ProtoStar's consolidated
financial statements, which include non-debtor affiliates, showed
total assets of US$463,000,000 against debts of US$528,000,000.


===============
B A R B A D O S
===============


CABLE & WIRELESS: LIME Barbados Retracts Termination Letters
------------------------------------------------------------
LIME Barbados (formerly Cable & Wireless Barbados), a unit of
Cable & Wireless plc, agreed to withdraw termination letters sent
to employees following a meeting between the company and the
Barbados Workers Union (BWU), Caribbean360.com reports.  The
report relates that Prime Minister David Thompson, who chaired the
meeting, said that the company agreed to retract the July 30
letters with immediate effect.  "The parties further agreed that
they will continue the consultation process with each other on the
need for and methods of separation of any employees whom the
company may be contemplating for separation or redundancy," the
report quoted Mr. Thompson as saying.

According to the report, LIME Barbados had given redundancy
letters to 116 workers, some of whom took the package offered.
Those who did so are not expected to be reinstated.  The report
relates that LIME's Country Manager Alex MacDonald said it will
now have to be determined when the others will return to work.

As reported in the Troubled Company Reporter-Latin America on
August 19, 2009, CbC.bb News said that Lime Barbados will be
having another round of discussions with the Barbados Workers
Union team led by General Secretary Sir Roy in the office of the
Minister of Labor.  The report related that the meeting,
under the chairmanship of Senator Arni Walters, is an attempt to
broker an arrangement that could avoid further lay offs at the
telecoms company.  According to the report, LIME said some 140
workers are to be laid off as the company seeks to right-size its
operations.  The workers representative, however, is seeking an
alternative to th dismissals against the background of a BB$90
million declared last year, the report said.

Cable & Wireless Barbados, established in April 2002, is an
amalgamation of four Cable & Wireless companies operating in
Barbados.  In 2008 it was rebranded as Lime (Landline, Internet,
Mobile, Entertainment).  It provides voice, data and IP services
to business and residential customers, including products from
basic telephone service and internet access, to managed data
network solutions, ISDN and cellular services via an enhanced
network.

                       About Cable & Wireless

Headquartered in London, England, Cable & Wireless plc --
http://www.cw.com/-- is an international telecommunications
company.  The Company offers mobile, broadband and domestic and
international fixed line services to homes, small and medium-sized
enterprises, corporate customers and governments.  It operates in
39 countries through four major operations in the Caribbean,
Panama, Macau and Monaco & Islands.  It operates through two
businesses: International and Europe, Asia & US.  Its
International business operates full service telecommunications
companies through four major operations in the Caribbean, Panama,
Macau and Monaco and Islands.  Its Europe, Asia & US provides
enterprise and carrier solutions to the largest users of telecom
services across the United Kingdom, continental Europe, Asia and
the United States.  Its subsidiaries include Cable & Wireless UK,
Cable & Wireless Jamaica Ltd, Cable & Wireless Panama, SA, Cable &
Wireless (Barbados) Ltd and Monaco Telecom SAM.

                           *     *     *

According to Bloomberg data, Cable & Wireless plc continues to
carry Moody's "Ba3"long-term corporate family rating, "B1"senior
unsecured debt rating and "Ba3"probability of default rating with
a stable outlook.

The company continues to Standard & Poor's "BB-"long-term foreign
and local issuer credit ratings and "B" short-term foreign and
local issuer credit ratings.


=============
B O L I V I A
=============


* BOLIVIA: Fitch Upgrades Issuer Default Ratings to 'B'
-------------------------------------------------------
Fitch Ratings upgraded Bolivia's foreign and local currency Issuer
Default Ratings to 'B' from 'B-'.  The Rating Outlooks on both
ratings are Stable.  At the same time, Fitch has affirmed the
short-term rating at 'B' and upgraded the country ceiling to 'B'
from 'B-'.

The maintenance of macroeconomic stability in the context of
political and social turbulence and an unfavorable external
environment supports the upgrade of Bolivia's sovereign ratings.

Favorable public and external debt ratios following debt relief
under HIPC and MDRI, international reserve accumulation and
abundant natural resources also underpin sovereign
creditworthiness.  At the same time, Bolivia's ratings remain
constrained by structural weaknesses, as denoted by poor
governance and business climate indicators, as well as its high
commodity dependence.

"Although resurgent political pressures in advance of December
2009's general elections could combine with the deteriorating
economic environment to result in renewed civil unrest, this is
not expected to derail macroeconomic stability," said Casey
Reckman, Associate Director in Fitch's Sovereign group.  Political
tensions have eased somewhat as the stalemate over the draft
constitution ended with its approval in a January 2009 referendum.
Furthermore, increased discretionary public spending and
conditional cash transfers may continue to mitigate social
pressures arising from economic deceleration and declining
remittances.

Bolivia has confronted reduced commodity prices, contracting
export volumes and lower workers' remittances as a result of the
global economic crisis.  Nevertheless, limited foreign
participation in Bolivia's banking system as well as the absence
of toxic assets or sizeable international funding has shielded the
country from fallout from the global crisis through direct
financial channels.  Fitch expects real GDP growth to decelerate
to 1.6% in 2009 in response to the less favorable external
environment before recovering to 2.8% in 2010 with some support
from informal economic activity.

The performance of the key extractive sectors is significant to
overall economic activity as well as the scope for the
increasingly important role of public spending in GDP growth and
the government's social and economic strategy.  Yet, state
intervention in the economy has discouraged investment and diluted
technical capacity in hydrocarbons and other industries, which
could undermine the sustainability of higher growth rates as well
as the fiscal impulse.

On the fiscal side, notwithstanding sustained expenditure
expansion under President Morales, Bolivia has posted general
government surpluses underpinned by revenue related to extractive
sector exports for the past three years.  Bolivia's fiscal policy
response to the global economic crisis has taken the form of
continued expenditure expansion and higher public investment.
However, the effectiveness of this fiscal stimulus is hindered by
weak execution capacity.  As a result, Fitch expects a near
balanced position for fiscal accounts in 2009 (including pensions
costs).  Higher expenditures combined with lower revenues and more
difficult financing conditions could increase fiscal pressures
over the forecast horizon.  In spite of expected fiscal slippage,
Bolivia's fiscal indicators will remain robust relative to 'B'
peers.

Continued resilience to domestic and external shocks or sustained
higher economic growth could be positive for creditworthiness.  On
the other hand, fiscal slippage which jeopardizes macroeconomic
stability and debt dynamics, a more difficult financing outlook as
well as resurgent political and social pressures that result in
macroeconomic imbalances could put downward pressure on the
sovereign ratings.


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


BANCO DO BRASIL: Signs Biofuel Finance Deal With Petrobras
----------------------------------------------------------
Banco do Brasil SA  and the biofuels unit of Brazilian state-run
energy giant Petrobras signed a financing deal that will help
local farmers grow crops for biofuel production, Jeff Fick at Dow
Jones Newswires reports.  The report relates that the BRL90
million (US$49.4 million) package establishes credit lines for
local farmers producing soy, sunflower and castor oil used in
biofuels production.

According to the report, Petrobras operates three biodiesel plants
in Brazil: Candeias in Bahia state, Quixada in Ceara state and
Montes Claros in Minas Gerais state.  The report relates that the
three plants combined have installed production capacity of 170
million liters of biodiesel per year, or about 13% of the
Brazilian market.

Bloomberg News says that Petrobras expects to produce 940 million
liters of biodiesel a year by 2012.

                       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 DO BRASIL: Provides US$160 Million to Marfrig
---------------------------------------------------
Banco do Brasil SA has provided US$160 million to Marfrig
Alimentos SA (formerly known as Marfrig Frigoroficos e
Comercio de Alimentos), Rogerio Jelmayer at Dow Jones Newswires
reports.  The report relates that the bank's financing, in the
form of a pre-export loan, will mature in five years, with a two-
year grace period.

"This long-term transaction will help improve the debt profile of
Marfrig Alimentos, ratifying its policy of maintaining a solid
cash position in its operations," the bank said in a statement
obtained by the news agency.

Meanwhile, Dow Jones Newswires notes that Marfrig Alimentos'
Argentina's subsidiary Quickfood SA raised US$10 million from a
5-years overseas bonds issue.

                       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'.

                      About Marfrig Alimentos

Brazil-based Marfrig Alimentos SA (formerly known as Marfrig
Frigoroficos e Comercio de Alimentos) processes beef, pork, lamb,
and poultry; and produces frozen vegetables, canned meats, fish,
ready meals, and pasta.  The company operates in Southern America,
the united states, and Europe.

                        *     *     *

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


MARFRIG ALIMENTOS: Obtains US$160MM Financing From Banco do Brasil
------------------------------------------------------------------
Banco do Brasil SA has provided US$160 million to Marfrig
Alimentos SA (formerly known as Marfrig Frigoroficos e
Comercio de Alimentos), Rogerio Jelmayer at Dow Jones Newswires
reports.  The report relates that the bank's financing, in the
form of a pre-export loan, will mature in five years, with a two-
year grace period.

"This long-term transaction will help improve the debt profile of
Marfrig Alimentos, ratifying its policy of maintaining a solid
cash position in its operations," the bank said in a statement
obtained by the news agency.

Meanwhile, Dow Jones Newswires notes that Marfrig Alimentos'
Argentina's subsidiary Quickfood SA raised US$10 million from a
5-years overseas bonds issue.

                       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'.

                      About Marfrig Alimentos

Brazil-based Marfrig Alimentos SA (formerly known as Marfrig
Frigoroficos e Comercio de Alimentos) processes beef, pork, lamb,
and poultry; and produces frozen vegetables, canned meats, fish,
ready meals, and pasta.  The company operates in Southern America,
the united states, and Europe.

                        *     *     *

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


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


MAIA HOLDINGS: Members to Receive Wind-Up Report Today
------------------------------------------------------
The members of Maia Holdings Limited will hear today,
September 10, 2009, at 9:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


NAI ASIA: Members Receive Wind-Up Report
----------------------------------------
The members of Nai Asia Alpha Advisors Limited met on September 9,
2009, and received the liquidators' report on the company's wind-
up proceedings and property disposal.

The company's liquidators are:

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


NEW SOUTH: Members to Receive Wind-Up Report Today
--------------------------------------------------
The members of New South America Capital will hear today,
September 10, 2009, at 10:10 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


PILO HOLDINGS: Members to Receive Wind-Up Report Today
------------------------------------------------------
The members of Pilo Holdings Ltd. will hear today, September 10,
2009, at 9:00 a.m., the liquidator's report on the company's wind-
up proceedings and property disposal.

The company's liquidator is:

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


PINNACLE PEAK: Members to Hear Wind-Up Report Today
---------------------------------------------------
The members of Pinnacle Peak CDO I, Ltd. will hear today,
September 10, 2009, at 9:40 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


SILVER LAKE: Members to Hear Wind-Up Report Today
-------------------------------------------------
The members of Silver Lake Credit Fund SPC will hear today,
September 10, 2009, at 10:30 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


SIXTINA 28: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 28 Ginger Asia Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 26: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 26 Nezu Asia Fund Limited met on Sept. 9,
2009, and received the liquidators' report on the company's wind-
up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 25: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 25 MM&E Australia Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 24: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 24 Hachiman Japan Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 23: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 23 Nezu Japan-Asia Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 22: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 22 Platypus Australia Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 21: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 21 Diamond Head Asia Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 19: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 19 MQ Pacific Master Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 20: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 20 Baring Japan Master Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 20: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 20 Baring Japan Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 19: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 19 MQ Pacific Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 18: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 18 Anakena Asset Arbitrage Fund Limited met
on September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 15: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 15 Asia Master Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 17: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 17 Blackhorse Asia Fund Limited met on
September 9, 2009, and received the liquidators' report on the
company's wind-up proceedings and property disposal.

The company's liquidators are:

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


SIXTINA 15: Members Receive Wind-Up Report
------------------------------------------
The members of Sixtina 15 Asia Fund Limited met on September 9,
2009, and received the liquidators' report on the company's wind-
up proceedings and property disposal.

The company's liquidators are:

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


XANTHOS COMMODITY: Members Receive Wind-Up Report
-------------------------------------------------
The members of Xanthos Commodity Fund Limited met on September 9,
2009, and received the liquidators' report on the company's wind-
up proceedings and property disposal.

The company's liquidators are:

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


YKFII HOLDINGS: Members to Receive Wind-Up Report Today
-------------------------------------------------------
The members of YKFII Holdings Limited will hear today,
September 10, 2009, at 9:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

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: Members to Receive Wind-Up Report Today
------------------------------------------------------
The members of YNN Corporation will hear today, September 10,
2009, at 10:40 a.m., the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

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


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


* DOMINICAN REP: Central Bank Injects RD$10.0BB to Revive Economy
-----------------------------------------------------------------
Dominincan Republic's central bank temporarily suspended the
placement of investment certificates to the public and non-
financial companies through direct window and injected around
RD$10.0 billion to the economy, The Dominican Today reports.

The report relates that the BC Open Market Operations Committee
also slashed interest rates for renewals of investments in effect
and which could have been renewed automatically when issued,
lowered the Overnight rate to 4.0% and one percentage point for
the Lombard window rate, a short term credit facility which
financial intermediaries can access in the BC.

According to the report, these measures seek to boost liquidity
levels, injecting around RD$10.0 billion additionally to the
economy in the last four months of the year, spur lower interest
rates in the financial market, aimed at stimulating the demand for
money in a sagging economic activity, and ease inflationary
pressures.  The report notes that the decision to make monetary
policies more flexible is consistent with the dispositions applied
to lower the cost of money in the economy.

                           *     *     *

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


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


JAMAICA URBAN TRANSIT: Acquires 200 Buses From Jonckheere
---------------------------------------------------------
Jamaica Urban Transit Company has purchased 200 additional units
from Belgian firm, Jonckheere Bus and Coach N.V., for GBP67.5
million (JM$8.6 billion), Jamaica Information Service reports.
The report relates that funding is being facilitated through two
loans negotiated between the Jamaican Government and a consortium
of banks, headed by the Commercial Bank of Belgium, which also
include the DZ and AKA Banks in Germany.

According to the report, the 200 units comprised of Volvo and VDL
models.  The report relates that the first 40 buses are expected
in the island by March 2010, with incremental deliveries
thereafter, culminating with the final arrivals in November 2010.
The acquisitions are expected to bring the total number of units
in the system to close to 500, the report says.

Finance and Public Service Minister, Hon. Audley Shaw, the report
notes, said that the financing is being provided in two tranches.
The first will see the allocation of a GBP9.8 million (JM$1.25
billion) interest free buyer credit (interest free loan) for the
supply of the first 40 buses; with repayment conditions that will
entail 22 equal semi-annual payments over an 11-year period, with
six to 18 months moratorium.  The report relates that the second
tranch of the financing comprises a commercial loan of GBP57.6
million (JM$7.35 billion) for the supply of the remaining 160
buses.  Repayment will be in 14 semi-annual payments over a seven-
year period at a fixed rate of 4.95 per cent per annum, payable
semi-annually, with six to 18 months moratorium, the report adds.

                            About JUTC

Jamaica Urban Transit Company was established in 1998 to provide a
centrally managed state-of-the-art public bus service.  The
government invested US$6 billion aiming to have an efficient
transport system and for the Jamaican people.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 13, 2009, RadioJamaica said JUTC has defaulted on loan
obligations with RBTT Bank and Petrocaribe Development Fund, among
others, due to cash flow problems.

The Ministry of Information, as cited by Radio Jamaica, stated
that the JUTC operates an overdraft facility of US$520 million at
the National Commercial Bank which expired in February.  The
report noted that the Ministry said this facility is consistently
utilised at the upper limit and, on occasions, exceeds the limit
giving rise to the imposition of penalty charges above 43%.


SUGAR COMPANY: OCG Starts Probe on Alleged Procurement Practices
----------------------------------------------------------------
Contractor General Greg Christie said his office started its probe
into allegations of "fraudulent activities" in the procurement of
equipment by the Sugar Company of Jamaica, Jamaica Gleaner
reports.  The report relates that Mr. Christie received
documentation from the Office of the Prime Minister setting out
details of the allegations.

According to the report, the Office of the Contractor General said
that the documents related to certain specified transactions,
which were alleged to have been negotiated and or concluded with
vendors or third parties based in Louisiana, Florida and Jamaica.
The report relates OCG pointed out that the special investigation
could extend to the general procurement practices of the SCJ.

"The contractor general has written to Prime Minister Bruce
Golding, advising him of his decision to cause a Special
Investigation to be launched into the allegations," OCG said in a
statement obtained by the news agency.

As reported in the Troubled Company Reporter-Latin America on
September 8, 2009, Jamaica Information Service said that Minister
of Agriculture and Fisheries Christopher Tufton said the ministry
will cooperate fully with the Office of the Contractor-General in
investigating procurement practices at the Sugar Company of
Jamaica.  "The Ministry subscribes to the highest ideals of
transparency and, as such, supports the investigation, and will
cooperate fully with the OCG in its execution of this
investigation," the report quoted Dr. Tufton as saying.

                             About SCJ

The Sugar Company of Jamaica Limited, a.k.a. SCJ, was formed in
November 1993 by a consortium made up of J. Wray & Nephew
Limited, Manufacturers Investments Limited and Booker Tate
Limited.  The three companies each held 17% equity in SCJ, with
the remaining 49% being held by the government of Jamaica.  In
1998, the government became the sole shareholder of SCJ by
acquiring the interests of the members of the consortium. Its
stated goal was to maximize efficiency, productivity and
profitability of the three sugar factories, within three years.
The principal activities of the company are the cultivation of
cane and the manufacture and sale of sugar and molasses.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 22, 2009, the Jamaica Gleaner reported that Mr. Tufton said
that if a new deal is not inked soon for the divestment of SCJ's
factories, the public will be called on again to plug a projected
US$4.2 billion hole -- representing a US$2 billion operational
loss, and bank penalties -- apparently from continuous hefty
overdrafts.  The loss was incurred by the SCJ's four factories
during the 2008/2009 season.  The Gleaner related the enterprise
has a US$21-billion debt and losses totaling more than US$14
billion since 2005.


* JAMAICA: No Need for Alarm Over Hotel Staff Lay Offs
------------------------------------------------------
More hotel workers are expected to be laid off in coming weeks but
Tourism Minister Ed Bartlett is insisting that there is no need
for alarm, Radiojamaica reports.  The report relates that Mr.
Bartlett said that he has a list of properties which will be
laying off staff over the next few months which are traditionally
considered the slow period for the tourism sector.

According to the report, Mr. Bartlett said that the number of
hotels on the list but said the move to reduce their work force is
not surprising.  "We have a list of a number of hotels that have
indicated that they are likely to be making adjustments in
preparation for the season to come and this is normal.  It is
clear that we should expect more cuts but it's not about laying
off people terminally, but making adjustments for the shoulder
months," the report quoted Mr. Bartlett as saying.

As reported in the Troubled Company Reporter-Latin America on
September 9, 2009, RadioJamaica said that Spanish-owned Grand
Bahia Principe Hotel said it will be cutting staff amid low
projections and occupancy rate in its 1,900 rooms.  According to
the report, in a memo to its staff, the hotel did not say how many
members of its team would be sent off but RJR News sources said as
many as 172 workers could go, excluding the several Spanish
nationals employed in varying capacities.

A TCRLA report on September 1, 2009, citing RadioJamaica, related
that the 300 workers affected by Iberostar Rose Hall Beach Hotel's
closure will have more details on the planned closure soon.  The
report related that the Hotel, which was opened in 2007, one of
three hotels on the Spanish chain's property in Montego Bay, was
closed on September 1, due to low occupancy.

                           *     *     *

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
===========


AXTEL SAB: Fitch Assigns Issuer Default Ratings at 'BB'
-------------------------------------------------------
Fitch Ratings has assigned these ratings for Axtel, S.A.B. de
C.V.:

  -- Local currency Issuer Default Ratings at 'BB';

  -- Foreign currency IDR at 'BB';

  -- Proposed senior notes due 2019 for up to US$300 million at
     'BB';

In addition, Fitch has affirmed Axtel national scale rating at 'A+
(mex)'.

The Rating Outlook is Stable.

Axtel's ratings are supported by its business position as the
largest CLEC in Mexico, moderate financial profile, adequate
liquidity and the expectation of positive free cash flow going
forward.  The ratings are tempered by increased competition,
particularly in the residential market, mobile substitution and
modest regulatory risk.  Proceeds from the issuance will be used
to refinance its 2013 notes, a portion of the syndicated loan and
for general corporate uses.  The proposed notes will rank pari
passu with existing notes and indebtedness and will be guaranteed
by all subsidiaries with the exception of Telecom Networks Inc.

The company's solid business position is underpinned by an
integrated voice and data offering in 39 cities in Mexico;
however, the absence of a pay-tv offering limits its competitive
position in the residential segment.  Fitch expects Axtel to
pursue a pay-tv alternative to enhance its competitiveness in this
segment.  Avantel's acquisition resulted in a stronger position in
the corporate segment along with operating synergies and increased
network coverage including a 7,700 km.  backbone that translated
into a more efficient cost structure.  EBITDA generation from the
corporate segment, which accounts for over 50% of consolidated
EBITDA, partially compensates intense competition in the
residential market.  The ratings also incorporate the gradual
termination of the agreement with Nextel that should reduce
contribution to consolidated revenues from 10% to about 1% by
2011.  Fitch expects that better margin growth from data and local
services should compensate for cash flow loss related to Nextel.

The introduction of Wimax services in early 2009 seems to have
helped Axtel stabilize the negative trend of lines in service.
Fitch expects Axtel to post moderate growth in LIS during the
second half of 2009.  Absent stabilization in LIS can pressure
credit quality.  However, Axtel's number portability balance
became positive in March of this year and since then has showed
positive monthly net number ports to its network.  The delay of
Wimax introduction during 2008 in conjunction with number
portability and the termination of the agreement with Cablemas
affected lines in service, which in turn resulted in
disconnections during the last twelve months (LTM) ended June 30,
2009.  Fitch estimates that of the 57 thousand lines in service
lost during this period, approximately 26% is explained by number
portability, another 26% by the termination of the agreement with
Cablemas and the remainder 48% is explained by Wimax delays,
competition and economic conditions.

Fitch believes that a Wimax based offering should increase Axtel's
position within the residential market as it offers broadband
services at competitive speeds and VoIP services.  In addition, as
customers migrate to Wimax, capacity in older access technologies
will be released allowing the company to offer voice only services
to users with lower consumption to utilize the released capacity.
Fitch considers that a pay-tv offering will enhance the
competitive position in the residential market.  Given the current
competitive landscape, Fitch believes it makes more sense for
Axtel to try to reach a commercial agreement with a pay-tv
operator rather than invest in its own infrastructure.  While
Axtel current Wimax operations are for fixed wireless use, the
potential develop of mobile Wimax over the next few years may
eventually lead Axtel to offer mobile services over a Wimax
network in the long term.

Axtel ratings reflect a relatively stable operating performance
over the LTM ended June 30, 2009; despite lower LIS and revenues
as operating efficiencies resulted in stable EBITDA.  Fitch
expects Axtel to post moderate positive FCF in 2009 and should
increase over the next few years as capital expenditures
stabilize.

Potential expansion to new cities seems limited and should not
materially affect the cash flow of the company as potential new
cities are smaller and less populated than cities where it
currently has presence.  Axtel may participate in the potential
spectrum auction for this year.  However, the ratings factor in
that if this occurs, the company should not change its long-term
targets for financial leverage.

Total debt to EBITDA is expected to be close to 2.0 times (x) over
the long term, nevertheless if this ratio were to approach to 3.0x
due to a debt funded capital expenditure or acquisition, the
ratings could be maintained if the company shows a clear intention
of returning to levels close to 2.0x in the following 12 months.
For the LTM ended June 30, 2009 total debt to EBITDA and total
adjusted debt to EBITDAR were 2.2x and 2.6x, respectively.

Axtel has an adequate liquidity position.  As of June 30, 2009 the
company registered cash of MXN1,090 million compared to short-term
maturities of MXN1,109 million and LTM FFO of approximately
MXN2,978 million.  On a pro forma basis considering proceeds from
the senior notes offering, Fitch estimates cash balances should
add US$40 million to the balance as of June 2009 and total debt
should approximate to US$770 million with an extended maturity
profile facing approximately US$46 million of maturities in the
next two years.  With the proposed transaction total debt should
be composed of US$105 million in syndicated loans, US$275 million
in senior notes due 2017, US$300 million in senior notes due 2019
and US$90 million in other loans and capital leases.  Fitch
expects after the issuance that approximately 75% of the principal
amount of debt will end up exposed to the US$ without considering
additional hedges, which adds currency risk.


AXTEL SAB: Moody's Assigns 'Ba2' Rating on $300 Mil. Senior Notes
-----------------------------------------------------------------
Moody's Investors Service assigned a Ba2 rating to Axtel, S.A.B.
de C.V.'s proposed up to US$300 million in senior unsecured notes
due 2019.  Proceeds from the proposed notes will be used to repay
debt, including US$ 162.3 million in global notes due in 2013.
The remainder, if any, will be used for general corporate
purposes.  The Ba2 rating assumes that the final terms and
conditions of the new notes will be in line with those prevailing
in the indenture of the current outstanding notes.

This issue was affected by Moody's action:

  -- Up to US$ 300 million of Proposed Senior Unsecured Global
     Notes due 2019: Ba2 assigned

The outlook on the rating is negative.

Overall, Axtel's Ba2 ratings reflect low financial leverage for
its rating category, solid interest coverage credit metrics, and
management's largely prudent financial policies.  Constraining
Axtel's ratings are its small revenue size as well as modest and
volatile cash flow generation.  In addition, Axtel's ratings
reflect the operating challenges arising from strong competition
from incumbent Telmex and Cable TV operators as well as wireless
substitution.  Competitive risk is somewhat mitigated by Axtel's
stronger customer mix, with business customers representing 36% of
lines in service but a high 79% of total revenues, which reduces
the threat from cable voice offerings.

The negative ratings outlook is based on Moody's expectations that
Axtel will continue to be challenged by operating and competitive
pressures, with adverse consequences on its credit metrics,
specifically those related to interest coverage and debt leverage.

Axtel balances modest cash flow generation and high business risk
derived from being a small telecom operator with low (although
increasing) financial leverage.  The ratings factor in Axtel's
stated leverage tolerance level of 3 times debt to EBITDA, which
is above current ratio of 2.6 times at June 30, 2009, as adjusted
by Moody's for pension liabilities and operating leases.

Because a large portion of Axtel's expansion capex has been
completed, free cash flow (FCF) generation should improve,
strengthening the company's debt payment capacity.  To the extent
FCF improvement is sustained, Axtel's ratings outlook could be
stabilized.  The WiMax technology should provide the basis for
Axtel's revenue growth as it helps it offer mobility and higher
bandwidth for data services, thus improving its competitiveness
against both fixed line and mobile operators.  However, if
operating improvements are not observed over the next several
months, a rating downgrade could occur.

Axtel's liquidity is currently weak as cash on hand plus short
term investments do not cover debt maturing in the next 12 months.
However, Moody's believes that the company should be successful in
refinancing debt and improving its liquidity position shortly.
Axtel's ratings assume that the final legal decision about fixed-
to-mobile interconnection rates, whenever reached, as well a
possible acquisition of wireless spectrum, will not jeopardize
Axtel's liquidity position or debt repayment capacity.

The ratings are unlikely to be upgraded in the near term because
of the company's small size and challenging operating environment.
However, should the company be able to lower subscriber
disconnections to the point that revenues increase significantly
and operating margins are sustainable, the outlook on its ratings
could be stabilized.

Factors that could trigger a ratings downgrade include continuous
weak operating results and modest free cash flow generation with
limited prospects of recovery.  Moody's will closely monitor the
company's interest coverage ratio, as measured by EBITDA minus
capex to interest expenses, and debt/EBITDA ratio.  Specifically,
an underperformance of the company's business or a major
acquisition that drive adjusted debt/EBITDA to above 3 times with
limited prospects for a rapid reduction would put negative
pressure on Axtel's ratings.

Before the rating actions, last action on Axtel's ratings was on
September 2, 2009, when Moody's changed Axtel's ratings outlook to
negative from stable.

Moody's uses the Global Telecommunications Industry Methodology to
assist in the assessment of Axtel's credit quality.  The
Methodology suggested rating outcome for Axtel is based on Moody's
projected fiscal 2009 and 2010 financial metrics.  All financial
metrics incorporate Moody's standard adjustments.  Application of
this Methodology indicates a rating of Ba2 for Axtel, which
corresponds to the company's current ratings.

Based in Monterrey, Mexico, Axtel is a competitive local telephone
company providing bundled products including voice, data and
Internet services to business and residential users within Mexico.
Axtel provides telecommunications services using a suite of
technologies including FWA, WiMAX, copper, fiber-optic, point to
multipoint radios and traditional point to point microwave access,
among others.  Axtel is the second-largest fixed line telecom in
Mexico with an 8% revenues market share as of June 2009.  At
present, Axtel serves 39 cities.  In the last twelve months ended
in June 30, 2009, revenues reached US$ 903 million with a 42.5%
adjusted EBITDA margin.


AXTEL SAB: S&P Affirms Corporate Credit Rating at 'BB-'
-------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its
ratings, including the 'BB-' corporate credit rating, on Mexican
telecommunications company Axtel S.A.B de C.V.

At the same time, S&P assigned its 'BB-' issue-level rating to the
company's proposed issuance of up to $300 million in
144A/Regulation S long-term senior unsecured notes with a tenor of
either seven years (noncall four years), or 10 years (noncall five
years).  S&P also assigned the notes a recovery rating of '3',
indicating S&P's expectation of meaningful (50% to 70%) recovery
in the event of a payment default.

The outlook is stable.

The company plans to use proceeds from the proposed notes offering
to prepay existing debt and to fund capital expenditures and
working capital requirements.

"The ratings on Axtel reflect its position as the second-largest
fixed-line integrated telecommunications company in Mexico, broad
product portfolio, flexible and advanced network with several
access technologies, and experienced equity partners," said
Standard & Poor's credit analyst Marcela Duenas.

Tempering factors include strong competition from Telefonos de
Mexico S.A.B. de C.V. and mobile telephony and cable operators,
the impact of Mexico's economic downturn on the company's
operations, and Axtel's potential participation in the
consolidation of the Mexican telecommunications industry, which
could require significant capital expenditures.


* MEXICO: Credit Rating May Be Cut in October, RBC Says
-------------------------------------------------------
Mexico’s credit rating may be cut as early as next month on
concern government proposals to boost revenue won’t be enough to
narrow the budget deficit, Andrea Jaramillo at Bloomberg News
reports, citing RBC Capital Markets.  “We see 50/50 odds of a
negative rating action,” RBC said in the report obtained by the
news agency.  The downgrade is possible in October or November,
RBC Capital added.

According to the report, the government said that Mexico’s
shrinking economy and a 31% drop in oil prices in the past year
have cut into tax revenue, widening the 2009 budget deficit to 3%
of gross domestic product from 2.1% in 2008.  The report relates
that Standard & Poor’s has warned the country must create new
sources of revenue to offset declining oil income if it is to
avoid a downgrade of its debt rating before the end of the year.

Bloomberg News notes that S&P and Fitch Ratings have negative
outlooks on Mexico’s BBB+ foreign debt rating, while Moody’s
Investors Service last month affirmed the country’s foreign credit
rating at Baal and said the outlook is stable.  All three agencies
rate Mexico’s foreign debt at the third lowest level of investment
grade, the report notes.

Mexican President Felipe Calderon, Bloomberg News relates, may
seek a combination of debt, higher taxes and lower spending to
stem the nation’s swelling budget deficit.

Bloomberg News adds that RBC forecasts the government will propose
a 2010 budget deficit equivalent to between 3% and 3.5% of GDP.


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


CL FINANCIAL: CLICO Bahamas Liquidator Seeks to Seize Key Asset
---------------------------------------------------------------
Supreme Court Justice Cheryl Albury is expected to make a ruling
regarding CLICO Bahamas Limited liquidator Craig 'Tony' Gomez's
request to wind up CLICO Enterprises Limited (CEL) in a bid to
secure a key asset for creditors, Canadia James reports at The
Nassau Guardian reports, citing documents recently filed in the
Supreme Court.  The report relates CLICO Enterprises has channeled
millions of dollars of CLICO Bahamas' funds to a Florida real
estate development known as Wellington Preserve.

According to the report, Mr. Gomez said that CLICO Bahamas is a
creditor of CLICO Enterprises since CLICO Bahamas lent CLICO
Enterprises BS$73.8 million between December 31, 2003 and
December 31, 2008, to invest in the Florida real estate project.
The report relates that it was understood that acquiring this land
asset is viewed as a key element in securing assets for CLICO
Bahamas' creditors.

The Wellington Preserve was planned to be a high-end residential
subdivision; which will consist of 80 residential lots and various
amenities and commercial sites laid out in a 523-acre tract.
However, the project requires a substantial cash injection of a
minimum of BS$42 million before it can be reasonably presented for
sale, Mr. Gomez said in a court affidavit obtained by the news
agency.

The Guardian notes that as a result of ongoing regulatory concerns
regarding the loan to CLICO Enterprises, the Office of the
Registrar of Insurance Companies in the Bahamas had instructed
CLICO Bahamas to have CLICO Enterprises repay this inter-company
loan by January 8, 2009.

However, the report relates that Karen Gardier, director of
finance and investments for CLICO Bahamas and for CLICO
Enterprises explained that the companies had been put in a very
difficult position by the request to pay the loan and that it was
not possible for the companies to comply with the request.
Wellington Preserve needed to be sold to raise funds for ongoing
operations, but the project required BS$42 million for it to
become reasonably marketable, Ms. Gardier added.

The Guardian notes that Mr. Gomez said that despite a demand
letter served on CLICO Enterprises on July 21, 2009, that company
has failed to repay its loan to CLICO Bahamas.

Mr. Gomez, the report points out, said that CLICO Enterprises'
latest financial statements reflect a negative net worth of BS$20
million; which included in its assets is the loan due from
Wellington Preserve.  It is unlikely that the BS$70 million
loan, which triggered CLICO Bahamas' current dilemma, can be
recovered at full value, Mr. Gomez added.  The report relates Mr.
Gomez increased CLICO Enterprises' total deficit to $42 million
after conducting his valuation.

The Guardian adds Mr. Gomez said that CLICO Enterprises is
therefore insolvent and it is in the best interest of CLICO
Bahamas Limited as well as all other creditors that CLICO
Enterprises be wound up.

                       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.


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


MITSUBISHI MOTORS: Won't Close Venezuela Plant
----------------------------------------------
Mitsubishi Motors Corporation won't push through with its plan to
close its Barcelona plant in Venezuelan, Trading Markets reports.

"MMC Automotriz S.A. disclosed that starting Sept. 21, workers and
employees should undertake their productive activity on their
regular schedules," the company's board of directors said in a
statement obtained by the news agency.  The Venezuela plant is run
by the company's unit, MMC Automotriz.

As reported in the Troubled Company Reporter-Latin America on
August 26, 2009, Dow Jones Newswires said that Mitsubishi Motors
closed operations in its Venezuela unit amid problems  with worker
discipline and a drop in productivity.  A "high level of
absenteeism, disobedience, aggression and lawlessness of some
of the workers" drove the firm to temporarily close the factory,
the Japanese said in a statement obtained by the news agency.  The
report related that productivity at the assembly plant has
fallen off a cliff, with just 33 cars a day, on average, with
1,412 workers, so far this year, from a 59 vehicles per day output
with 590 workers in 2004.  "Efficiency went from 74% in 2004 to
30% in 2009," the report quoted the company as saying.

According to Trading Markets News, the company's board said that
between September 8 and September 21 "the firm will continue with
its plan for improvement of aspects linked to worker health and
safety."

                       About Mitsubishi Motors

Based in Japan, Mitsubishi Motors Corporation (TYO:7211) --
http://www.mitsubishi-motors.co.jp/-- manufactures automobile.
The Company, along with its subsidiaries and associated companies,
is engaged in the development, production, purchase, sale, import
and export of general and small-sized passenger vehicles, mini-
vehicles, sport utility vehicles (SUVs), vans, trucks and
automobile parts, as well as industrial machines.  It is also
engaged in the checking and maintenance of new vehicles, as well
as the provision of automobile sales financing and leasing
services.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
March 19, 2009, Standard & Poor's Ratings Services revised to
negative from stable the outlook on its 'B+' long-term corporate
credit rating on Mitsubishi Motors Corp., reflecting the increased
likelihood, in S&P's view, of a prolonged deterioration in the
company's financial performance.  Amid the ongoing turbulence in
global auto markets, Mitsubishi Motors' financial performance has
sharply worsened.  This is due in large part to anemic sales in
certain areas, such as Russia, that had contributed materially to
the company's earnings over the past few years.  At the same time,
Standard & Poor's affirmed its long-term corporate credit and
'BB-' senior unsecured debt ratings on Mitsubishi Motors.


PETROLEOS DE VENEZUELA: to Take legal Action Over Conoco Bid
------------------------------------------------------------
Petroleos de Venezuela will take legal action over Houston-based
ConocoPhillips' bid to buy out Venezuela's share in the Merey
Sweeny refinery in the United States, Frank Jack Daniel at Reuters
reports, citing  PDVSA Vice President Eulogio Del Pino.  "We are
going to proceed with legal action," Mr. Del Pino said in comments
published in the El Universal newspaper, the report relates.

As reported in the Troubled Company Reporter-Latin America on
September 8, 2009, Bloomberg News said that ConocoPhillips, which
left Venezuela after assets were seized in 2007, exercised an
option to buy Petroleos de Venezuela SA’s stake in a U.S. coking
unit after accusing the state oil company of defaulting on a
supply accord.  ConocoPhillips plans to take full control of the
unit at its Sweeny, Texas, refinery at a price set under the
companies’ partnership agreement, ConocoPhillips spokesman Rich
Johnson said in an e-mailed response obtained by the news agency.
“PDVSA has not supplied crude oil meeting contractual
specifications” since the beginning of 2009, the report quoted Mr.
Johnson as saying.  The report relates that ConocoPhillips
declined to say whether the alleged failure to supply adequate oil
was what allowed the takeover of the 70,000 barrel-a-day unit.

According to a TCRLA report on Oct. 22, 2007, citing Bloomberg
News, ConocoPhillips Chief Executive James Mulva said that the
company's negotiations with Petroleos de Venezuela on compensation
deal over the seizure of the Orinoco Belt assets could take
several months.  ConocoPhillips opted in June 2007 to withdraw
Orinoco operations and leave Venezuela rather than agree to
Petroleos de Venezuela's taking over the assets.  ConocoPhillips'
stake in the Orinoco was estimated between a book value of US$4.5
billion and a market value of US$7 billion.  Mr. Mulva told
Bloomberg News that arbitration may take several years and
ConocoPhillips is seeking to avoid a court fight.

                           About PDVSA

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

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2009, Fitch Ratings assigned a 'B+/RR4' rating to
Petroleos de Venezuela S.A.'s proposed US$3 billion zero coupon
notes due in 2011.  These notes will be registered at Euroclear
or Clearstream.  Proceeds from the issuance are expected to be
used to fund capital expenditures and for other general corporate
purposes.  Fitch also has these ratings on PDVSA:

  -- Foreign currency Issuer Default Rating 'B+'
  -- Local currency IDR 'B+'
  -- US$3 billion outstanding senior notes (due 2017) 'B+/RR4'
  -- US$3.5 billion outstanding senior notes (due 2027) 'B+/RR4'
  -- US$1.5 billion outstanding senior notes (due 2037) 'B+/RR4'


PETROLEOS DE VENEZUELA: Invests US$17 Bil. to Ensure Fuel Supply
----------------------------------------------------------------
Petroleos de Venezuela said that the "timely, safe and reliable"
supply of fuel in Venezuela has been secured by investments in the
refineries totaling US$17 billion, El Universal News report.  The
report relates that PDVSA said the investment, "the most important
one in the last decades," will be used in the medium term in
"overhaul of the refining network to adjust its structure to the
changing market demands."

According to the report, PDVSA refining managing director, Jesus
Luongo, said that there was a "pressing need to raise the
processing capacity of some plants and make others more versatile,
in order to receive a wider variety of crude oil and enlarge the
supply of final products."  The report relates that Mr. Luongo
listed some refineries where works are being made to improve
reliability and performance backed by the investments.

EL Universal News notes that Mr. Luongo cited the capacity at El
Palito, which will be enlarged to more than 13 percent, from
54,000 bpd to 70,000 bpd.  The report relates that US$100 million
will be needed for the improvements.

                           About PDVSA

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

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2009, Fitch Ratings assigned a 'B+/RR4' rating to
Petroleos de Venezuela S.A.'s proposed US$3 billion zero coupon
notes due in 2011.  These notes will be registered at Euroclear
or Clearstream.  Proceeds from the issuance are expected to be
used to fund capital expenditures and for other general corporate
purposes.  Fitch also has these ratings on PDVSA:

  -- Foreign currency Issuer Default Rating 'B+'
  -- Local currency IDR 'B+'
  -- US$3 billion outstanding senior notes (due 2017) 'B+/RR4'
  -- US$3.5 billion outstanding senior notes (due 2027) 'B+/RR4'
  -- US$1.5 billion outstanding senior notes (due 2037) 'B+/RR4'


PETROLEOS DE VENEZUELA: Sends 1st Diesel Shipment to Salvador
-------------------------------------------------------------
Petroleos de Venezuela said that its first sea shipment bound to
Salvador arrived last August 27 in Acajutla, Sonsonate Department.

The Panamax “Kriti Champion” hauled 90,335 barrels of diesel to
the Central American nation.  Under an agreement entered into by
PDVSA and Salvador’s Alba Petroleos, a mixed company organized by
PDVSA subsidiary PDV Caribe and inter-municipal association
Energia para El Salvador (Energy for Salvador, Enepasa), 7,000 bpd
should be sent to Salvador.

This event has set a precedent in the trade relation between the
parties.  For the first time, such a significant shipment is
directly transported by sea to Salvador, thus shortening the time
of delivery and curtailing related costs.

The move shows PDVSA responsiveness to find safer, faster and
cheaper alternative supply, based on the principles of integration
and solidarity with the Caribbean peoples and the sovereign use of
natural and energy resources.

Upon this shipment, progress has been made towards energy
cooperation between Salvador and Venezuela.  Such cooperation has
lately become stronger to the benefit of communities and the
underprivileged in the Central American country.

                           About PDVSA

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

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2009, Fitch Ratings assigned a 'B+/RR4' rating to
Petroleos de Venezuela S.A.'s proposed US$3 billion zero coupon
notes due in 2011.  These notes will be registered at Euroclear
or Clearstream.  Proceeds from the issuance are expected to be
used to fund capital expenditures and for other general corporate
purposes.  Fitch also has these ratings on PDVSA:

  -- Foreign currency Issuer Default Rating 'B+'
  -- Local currency IDR 'B+'
  -- US$3 billion outstanding senior notes (due 2017) 'B+/RR4'
  -- US$3.5 billion outstanding senior notes (due 2027) 'B+/RR4'
  -- US$1.5 billion outstanding senior notes (due 2037) 'B+/RR4'


* VENEZUELA: August Oil Exports Rise by 151,350 barrels Per Day
---------------------------------------------------------------
Venezuelan oil exports in August rose by 151,350 barrels per day
after declining in July and June, Rebekah Kebede at Reuters
reports, citing a data from the OPEC nation's oil ministry.  The
report relates that total crude and refined product shipments rose
to 2.558 million bpd in August, the highest level of shipments
since May when the South American nation shipped 2.571 million
bpd.

According to the report, in July, Venezuela shipped 2.407 million
bpd, dropping from 2.495 million bpd in June.

Reuters says that the Venezuela's government began releasing the
export figures this year as part of efforts to counter lower
export and output estimates by many independent analysts who held
that the nation's oil sector never fully recovered from a strike
at Petroleos de Venezuela late 2002 to early 2003.

                          *     *     *

According to Moody's Investors Service, Venezuela continues to
carry a B2 foreign currency rating and a B1 local currency rating
with stable outlook.


* VENEZUELA: PDVSA To Take Legal Action Over Conoco Bid
-------------------------------------------------------
Petroleos de Venezuela will take legal action over Houston-based
ConocoPhillips' bid to buy out Venezuela's share in the Merey
Sweeny refinery in the United States, Frank Jack Daniel at Reuters
reports, citing  PDVSA Vice President Eulogio Del Pino.  "We are
going to proceed with legal action," Mr. Del Pino said in comments
published in the El Universal newspaper, the report relates.

As reported in the Troubled Company Reporter-Latin America on
September 8, 2009, Bloomberg News said that ConocoPhillips, which
left Venezuela after assets were seized in 2007, exercised an
option to buy Petroleos de Venezuela SA’s stake in a U.S. coking
unit after accusing the state oil company of defaulting on a
supply accord.  ConocoPhillips plans to take full control of the
unit at its Sweeny, Texas, refinery at a price set under the
companies’ partnership agreement, ConocoPhillips spokesman Rich
Johnson said in an e-mailed response obtained by the news agency.
“PDVSA has not supplied crude oil meeting contractual
specifications” since the beginning of 2009, the report quoted Mr.
Johnson as saying.  The report relates that ConocoPhillips
declined to say whether the alleged failure to supply adequate oil
was what allowed the takeover of the 70,000 barrel-a-day unit.

According to a TCRLA report on Oct. 22, 2007, citing Bloomberg
News, ConocoPhillips Chief Executive James Mulva said that the
company's negotiations with Petroleos de Venezuela on compensation
deal over the seizure of the Orinoco Belt assets could take
several months.  ConocoPhillips opted in June 2007 to withdraw
Orinoco operations and leave Venezuela rather than agree to
Petroleos de Venezuela's taking over the assets.  ConocoPhillips'
stake in the Orinoco was estimated between a book value of US$4.5
billion and a market value of US$7 billion.  Mr. Mulva told
Bloomberg News that arbitration may take several years and
ConocoPhillips is seeking to avoid a court fight.

                           About PDVSA

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

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2009, Fitch Ratings assigned a 'B+/RR4' rating to
Petroleos de Venezuela S.A.'s proposed US$3 billion zero coupon
notes due in 2011.  These notes will be registered at Euroclear
or Clearstream.  Proceeds from the issuance are expected to be
used to fund capital expenditures and for other general corporate
purposes.  Fitch also has these ratings on PDVSA:

  -- Foreign currency Issuer Default Rating 'B+'
  -- Local currency IDR 'B+'
  -- US$3 billion outstanding senior notes (due 2017) 'B+/RR4'
  -- US$3.5 billion outstanding senior notes (due 2027) 'B+/RR4'
  -- US$1.5 billion outstanding senior notes (due 2037) 'B+/RR4'


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


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------

Sept. 10-11, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Complex Financial Restructuring Program
       Hyatt Regency Lake Tahoe, Incline Village, Nevada
          Contact: http://www.abiworld.org/

Sept. 10-12, 2009
AMERICAN BANKRUPTCY INSTITUTE
    17th Annual Southwest Bankruptcy Conference
       Hyatt Regency Lake Tahoe, Incline Village, Nevada
          Contact: http://www.abiworld.org/

Oct. 2, 2009
AMERICAN BANKRUPTCY INSTITUTE
    ABI/GULC "Views from the Bench"
       Georgetown University Law Center, Washington, D.C.
          Contact: http://www.abiworld.org/

Oct. 5-9, 2009
TURNAROUND MANAGEMENT ASSOCIATION
    TMA Annual Convention
       Marriott Desert Ridge, Phoenix, Arizona
          Contact: 312-578-6900; http://www.turnaround.org/

Oct. 20, 2009
AMERICAN BANKRUPTCY INSTITUTE
    NCBJ/ABI Educational Program
       Paris Las Vegas, Las Vegas, Nev.
          Contact: http://www.abiworld.org/

Dec. 3-5, 2009
AMERICAN BANKRUPTCY INSTITUTE
    21st Annual Winter Leadership Conference
       La Quinta Resort & Spa, La Quinta, California
          Contact: 1-703-739-0800; http://www.abiworld.org/

Apr. 29-May 2, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Annual Spring Meeting
       Gaylord National Resort & Convention Center, Maryland
          Contact: 1-703-739-0800; http://www.abiworld.org/

June 17-20, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Central States Bankruptcy Workshop
       Grand Traverse Resort and Spa, Traverse City, Michigan
          Contact: 1-703-739-0800; http://www.abiworld.org/

July 7-10, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Northeast Bankruptcy Conference
       Ocean Edge Resort, Brewster, Massachusetts
          Contact: 1-703-739-0800; http://www.abiworld.org/

July 14-17, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Southeast Bankruptcy Conference
       The Ritz-Carlton Amelia Island, Amelia, Fla.
          Contact: http://www.abiworld.org/

Aug. 5-7, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Mid-Atlantic Bankruptcy Workshop
       Hyatt Regency Chesapeake Bay, Cambridge, Maryland
          Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 4-8, 2010
TURNAROUND MANAGEMENT ASSOCIATION
    TMA Annual Convention
       JW Marriott Grande Lakes, Orlando, Florida
          Contact: http://www.turnaround.org/

Dec. 2-4, 2010
AMERICAN BANKRUPTCY INSTITUTE
    22nd Annual Winter Leadership Conference
       Camelback Inn, Scottsdale, Arizona
          Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 31-Apr. 3, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Annual Spring Meeting
       Gaylord National Resort & Convention Center, Maryland
          Contact: 1-703-739-0800; http://www.abiworld.org/

June 9-12, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Central States Bankruptcy Workshop
       Grand Traverse Resort and Spa
          Traverse City, Michigan
             Contact: http://www.abiworld.org/

Dec. 1-3, 2011
AMERICAN BANKRUPTCY INSTITUTE
    23rd Annual Winter Leadership Conference
       La Quinta Resort & Spa, La Quinta, California
          Contact: 1-703-739-0800; http://www.abiworld.org/


                            ***********

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.

The TCR Latin America subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Christopher Beard at 240/629-3300.


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