/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/100510.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 Monday, May 10, 2010, Vol. 11, No. 090 Headlines A N T I G U A & B A R B U D A STANFORD INT'L: Senators Appeal to President Obama for Investors * ANTIGUA & BARBUDA: Senators Appeal to Obama for SIBL Investors A R G E N T I N A ALVIMER SA: Creditors' Proofs of Debt Due on June 21 ANTIGUA MUNICH: Creditors' Proofs of Debt Due on May 21 CIBERMODO SRL: Creditors' Proofs of Debt Due on June 7 COMPANIA ALEMANA: Creditors' Proofs of Debt Due on June 2 FARMACIA LATINOAMERICANA: Creditors' Proofs of Debt Due on June 22 INTERPOINT SRL: Creditors' Proofs of Debt Due on June 24 P. GALIMBERTI Y CIA: Creditors' Proofs of Debt Due on June 4 PETROBRAS ENERGIA: Posts ARS180 Million Net Profit in First Qtr. PETROBRAS ENERGIA: S&P Affirms 'B+' Rating on Refining Asset Sale PETROBRAS ENERGIA: Refining Asset Sale Cues S&P to Affirms Rating TROTTING SA: Creditors' Proofs of Debt Due on July 8 B E R M U D A VALIDUS HOLDINGS: Discloses Modified Dutch Auction Tender Offer VALIDUS HOLDINGS: Posts $118.4 Million Net Loss in First Qtr B R A Z I L BANCO DAYCOVAL: To Pay US$53.8 Million in Dividends BRASKEM SA: Taps Carlos Jose Fadigas de Souza Filho as New CFO CAMARGO CORREA: Cimpor Shareholders Taps New Board Chairman, CEO COMPANHIA SIDERURGICA: First Qtr EBITDA Margin Reaches 41% GERDAU SA: Records R$ 7.1-Billion Net Revenue in First Quarter J A M A I C A AIR JAMAICA: Finance Minister Says "Divestment Deal Fair" AIR JAMAICA: Closes Ticket Offices in Miami V E N E Z U E L A PETROLEOS DE VENEZUELA: To Sell Bonds in 'Coming Weeks' X X X X X X X X * BOND PRICING: For the Week May 3, to May 8, 2010 - - - - - =============================== A N T I G U A & B A R B U D A =============================== STANFORD INT'L: Senators Appeal to President Obama for Investors ---------------------------------------------------------------- As the approval of International Monetary Fund's US$124 million loan to Antigua and Barbuda is almost near, Mississippi Republican Senators, Roger Wicker and Thad Cochran, made an appeal to U.S. President Barack Obama on behalf of Stanford investors, Caribbean360.com reports. The report relates that the senators called on the Antigua and Barbuda government to release several hundred million dollars that it has seized from fraud accused Robert Allen Stanford since he was charged with a multi-billion fraud last year. According to the report, the lawmakers sent a letter to the President, calling on him to urge U.S. representatives at the IMF to vote against the loan to Antigua and Barbuda. The report relates that the Senators, along with 10 others who signed the letter, urged Obama to take swift action to prevent the pending IMF loan from moving forward. The report notes that IMF's financial aid for Antigua and Barbuda is expected to be approved either at the end of this month or early June. As reported in the Troubled Company Reporter-Latin America on May 5, 2010, Caribbean360.com said that the Latin America branch of the Stanford Victims Coalition has blasted the International Monetary Fund for ignoring requests for Antigua & Barbuda to be blocked from getting financial assistance because of the role investor believe the country played in Stanford's fraud. According to Caribbean360.com, Mr. Stanford's investors are trying to block Antigua and Barbuda from accessing any funds from the IMF. The report related that the SVC, through lawyers from the New York firm Morgenstern & Blue LLC, has written to members of Congress to get help blocking any IMF loan. Caribbean360.com added that the SVC wants to prevent Antigua and Barbuda from getting any money unless it takes steps to compensate those who lost their money in the fraud. About Stanford International Bank Domiciled in Antigua, Stanford International Bank Limited -- http://www.stanfordinternationalbank.com/-- is a member of Stanford Private Wealth Management, a global financial services network with US$51 billion in deposits and assets under management or advisement. Stanford Private Wealth Management serves more than 70,000 clients in 140 countries. On February 16, 2009, the United States District Court for the Northern District of Texas, Dallas Division, signed an order appointing Ralph Janvey as receiver for all the assets and records of Stanford International Bank, Ltd., Stanford Group Company, Stanford Capital Management, LLC, Robert Allen Stanford, James M. Davis and Laura Pendergest-Holt and of all entities they own or control. The February 16 order, as amended March 12, 2009, directs the Receiver to, among other things, take control and possession of and to operate the Receivership Estate, and to perform all acts necessary to conserve, hold, manage and preserve the value of the Receivership Estate. The U.S. Securities and Exchange Commission, on Feb. 17, 2009, charged before the U.S. District Court in Dallas, Texas, Mr. Stanford and three of his companies for orchestrating a fraudulent, multi-billion dollar investment scheme centering on an US$8 billion Certificate of Deposit program. A criminal case was pursued against him in June 2009 before the U.S. District Court in Houston, Texas. Mr. Stanford pleaded not guilty to 21 charges of multi-billion dollar fraud, money- laundering and obstruction of justice. Assistant Attorney General Lanny Breuer, as cited by Agence France-Presse News, said in a 57- page indictment that Mr. Stanford could face up to 250 years in prison if convicted on all charges. Mr. Stanford surrendered to U.S. authorities after a warrant was issued for his arrest on the criminal charges. The criminal case is U.S. v. Stanford, H-09-342, U.S. District Court, Southern District of Texas (Houston). The civil case is SEC v. Stanford International Bank, 3:09-cv-00298-N, U.S. District Court, Northern District of Texas (Dallas). * ANTIGUA & BARBUDA: Senators Appeal to Obama for SIBL Investors ----------------------------------------------------------------- As the approval of International Monetary Fund's US$124 million loan to Antigua and Barbuda is almost near, Mississippi Republican Senators, Roger Wicker and Thad Cochran, made an appeal to U.S. President Barack Obama on behalf of Stanford investors, Caribbean360.com reports. The report relates that the senators called on the Antigua and Barbuda government to release several hundred million dollars that it has seized from fraud accused Robert Allen Stanford since he was charged with a multi-billion fraud last year. According to the report, the lawmakers sent a letter to the President, calling on him to urge U.S. representatives at the IMF to vote against the loan to Antigua and Barbuda. The report relates that the Senators, along with 10 others who signed the letter, urged Obama to take swift action to prevent the pending IMF loan from moving forward. The report notes that IMF's financial aid for Antigua and Barbuda is expected to be approved either at the end of this month or early June. As reported in the Troubled Company Reporter-Latin America on May 5, 2010, Caribbean360.com said that the Latin America branch of the Stanford Victims Coalition has blasted the International Monetary Fund for ignoring requests for Antigua & Barbuda to be blocked from getting financial assistance because of the role investor believe the country played in Stanford's fraud. According to Caribbean360.com, Mr. Stanford's investors are trying to block Antigua and Barbuda from accessing any funds from the IMF. The report related that the SVC, through lawyers from the New York firm Morgenstern & Blue LLC, has written to members of Congress to get help blocking any IMF loan. Caribbean360.com added that the SVC wants to prevent Antigua and Barbuda from getting any money unless it takes steps to compensate those who lost their money in the fraud. About Stanford International Bank Domiciled in Antigua, Stanford International Bank Limited -- http://www.stanfordinternationalbank.com/-- is a member of Stanford Private Wealth Management, a global financial services network with US$51 billion in deposits and assets under management or advisement. Stanford Private Wealth Management serves more than 70,000 clients in 140 countries. On February 16, 2009, the United States District Court for the Northern District of Texas, Dallas Division, signed an order appointing Ralph Janvey as receiver for all the assets and records of Stanford International Bank, Ltd., Stanford Group Company, Stanford Capital Management, LLC, Robert Allen Stanford, James M. Davis and Laura Pendergest-Holt and of all entities they own or control. The February 16 order, as amended March 12, 2009, directs the Receiver to, among other things, take control and possession of and to operate the Receivership Estate, and to perform all acts necessary to conserve, hold, manage and preserve the value of the Receivership Estate. The U.S. Securities and Exchange Commission, on Feb. 17, 2009, charged before the U.S. District Court in Dallas, Texas, Mr. Stanford and three of his companies for orchestrating a fraudulent, multi-billion dollar investment scheme centering on an US$8 billion Certificate of Deposit program. A criminal case was pursued against him in June 2009 before the U.S. District Court in Houston, Texas. Mr. Stanford pleaded not guilty to 21 charges of multi-billion dollar fraud, money- laundering and obstruction of justice. Assistant Attorney General Lanny Breuer, as cited by Agence France-Presse News, said in a 57- page indictment that Mr. Stanford could face up to 250 years in prison if convicted on all charges. Mr. Stanford surrendered to U.S. authorities after a warrant was issued for his arrest on the criminal charges. The criminal case is U.S. v. Stanford, H-09-342, U.S. District Court, Southern District of Texas (Houston). The civil case is SEC v. Stanford International Bank, 3:09-cv-00298-N, U.S. District Court, Northern District of Texas (Dallas). ================= A R G E N T I N A ================= ALVIMER SA: Creditors' Proofs of Debt Due on June 21 ---------------------------------------------------- Jose Ariel Sallon, the court-appointed trustee for Alvimer SA's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 21, 2010. Mr. Sallon will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 5 in Buenos Aires, with the assistance of Clerk No. 9, 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. The Trustee can be reached at: Jose Ariel Sallon Libertad 860 Argentina ANTIGUA MUNICH: Creditors' Proofs of Debt Due on May 21 ------------------------------------------------------- Andrea Lemos, the court-appointed trustee for Antigua Munich SA's reorganization proceedings, will be verifying creditors' proofs of claim until May 21, 2010. Ms. Lemos will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 17 in Buenos Aires, with the assistance of Clerk No. 34, 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. Creditors will vote to ratify the completed settlement plan during the assembly on March 1, 2011. The Trustee can be reached at: Andrea Lemos Libertad 293 Argentina CIBERMODO SRL: Creditors' Proofs of Debt Due on June 7 ------------------------------------------------------ Alejandra Viviana Paz, the court-appointed trustee for Cibermodo SRL's reorganization proceedings, will be verifying creditors' proofs of claim until June 7, 2010. Ms. Paz will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 5 in Buenos Aires, with the assistance of Clerk No. 10, 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. The Trustee can be reached at: Alejandra Viviana Paz Lavalle 1646 Argentina COMPANIA ALEMANA: Creditors' Proofs of Debt Due on June 2 --------------------------------------------------------- Mariela Adriana Bellani, the court-appointed trustee for Compania Alemana SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 2, 2010. Ms. Bellani will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 10 in Buenos Aires, with the assistance of Clerk No. 19, 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. The Trustee can be reached at: Mariela Adriana Bellani Marcelo Torcuato de Alvear 1364 Argentina FARMACIA LATINOAMERICANA: Creditors' Proofs of Debt Due on June 22 ------------------------------------------------------------------ Griselda Isabel Eidelstein, the court-appointed trustee for Farmacia Latinoamericana SA's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 22, 2010. Ms. Eidelstein will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 21 in Buenos Aires, with the assistance of Clerk No. 41, 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. The Trustee can be reached at: Griselda Isabel Eidelstein Lambare 1140 Argentina INTERPOINT SRL: Creditors' Proofs of Debt Due on June 24 -------------------------------------------------------- Francisco Jose Salto, the court-appointed trustee for Interpoint SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 24, 2010. Mr. Salto will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 19 in Buenos Aires, with the assistance of Clerk No. 37, 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. The Trustee can be reached at: Francisco Jose Salto Av. Cordoba 1351 Argentina P. GALIMBERTI Y CIA: Creditors' Proofs of Debt Due on June 4 ------------------------------------------------------------ Armando Luis Molinari, the court-appointed trustee for P. Galimberti y Cia. SAICIF's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 4, 2010. Mr. Molinari will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 1 in Buenos Aires, with the assistance of Clerk No. 2, 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. The Trustee can be reached at: Armando Luis Molinari Rodriguez Pena 110 Argentina PETROBRAS ENERGIA: Posts ARS180 Million Net Profit in First Qtr. --------------------------------------------------------------- Petrobras Energia SA has posted a first-quarter net profit of ARS180 million (US$46.2 million) from a net loss of ARS205 million a year earlier, Taos Turner at Dow Jones Newswires reports. According to the report, earnings rose largely because of higher operating results, which totaled ARS510 million from ARS33 million a year earlier. The report relates that Petrobras Energia also said lower financial losses helped boost year-on-year earnings. The report notes that refining and distribution topped the company's sales categories at ARS1.595 billion from ARS1.3 billion. Exploration and production-related income totaled ARS951 million compared with ARS804 million a year earlier, the report says. The company's total net sales were ARS3.3 billion compared with ARS2.66 billion a year ago, the report adds. About Petrobras Energia Headquartered in Buenos Aires, Argentina, Petrobras Energia S.A. -- http://www.petrobras.com.ar/-- is an integrated company engaged in energy sector. The company's activities are divided into four segments. The oil and gas exploration and production segment is responsible for the acquisition, exploration and maintenance of oil and gas reserves, as well as the production of fuels. The refining and distribution segment is engaged in the refining of crude oils and their processing into lubricants. It is represented by Refineria del Norte SA and Empresa Boliviana de Refinacao SA. The petrochemistry segment is engaged in the production of styrene, polystyrene, rubber, fertilizers and polypropylene through Innova SA and Petroquimica Cuyo SA. The gas and energy segment is involved in the production of gas and electric energy, and energy transportation through Transportadora de Gas del Sur SA. The company also operates in Bolivia, Ecuador, Peru, Colombia and Venezuela. * * * As of May 7, 2010, the company continues to carry Moody's "Ba1" Issuer and Long term rating; "Ba2" Senior Secured debt and senior unsecured debt ratings, and B2 LT Corp family rating. The company also continues to carry Fitch's "BB-" LT FC Issuer Default ratings and Foreign Curency LT Debt rating. PETROBRAS ENERGIA: S&P Affirms 'B+' Rating on Refining Asset Sale ----------------------------------------------------------------- On May 6, 2010, Standard & Poor's Ratings Services affirmed its 'B+' ratings on Argentinean oil and gas company Petrobras Energia S.A. following the announcement on the sale of refining and marketing assets. The outlook is stable. S&P's ratings on PESA mainly reflect the economic incentives provided by its main shareholder, Petroleo Brasileiro S.A., to support the company in light of its strategic importance as a key foreign subsidiary in Latin America. The rating also reflects: PESA's significant exposure to uncertain and rapidly changing economic and regulatory rules, mainly in Argentina, Venezuela, and Ecuador; and its significant need for capital expenditures to develop its reserve base and increase production levels. These factors are partially mitigated by the company's market position as Argentina's second-largest integrated oil and gas company, and a competitive cost position in exploration and production activities. S&P's foreign currency rating on PESA is two notches above its stand-alone credit quality, two notches above S&P's foreign currency rating on Argentina, and two notches above S&P's transfer and convertibility risk assessment on that country. This rating reflects the partial insulation from risk afforded the company by certain mitigating factors, such as S&P's expectation of a certain degree of potential parental support from Petrobras, and, to a lesser extent, substantial offshore liquidity. The rating affirmation takes into consideration these factors: * S&P views the announced asset sale transaction as part of the Petrobras' group strategy to optimize its asset portfolio and its level of integration between E&P and R&M activities; * The transaction does not change S&P's view on the potential parent support incorporated in PESA's ratings, because the main underlying factors behind such support (like economic incentives, and shared name, among others) remain, in S&P's opinion, unchanged; * PESA would continue being able to post credit metrics commensurate with its stand-alone credit quality, which is two notches below its final rating. This could mean, for example, a funds from operations-to-total debt ratio in excess of 15%; * Following several recent asset sales (most importantly, its Peruvian E&P assets), PESA has benefited from a strong liquidity position which, as of March 31, 2010, covered almost all principal debt maturities through 2012; and * Going forward, S&P expects PESA to reduce its nominal debt by applying divestment proceeds to repay principal maturities in order to reach a level of leverage more in line with its reduced asset base. PESA's liquidity position is adequate, based on its high cash balances and good level of financial flexibility, which is significantly enhanced because of its ownership by Petrobras. As of March 31, 2010, total debt stood at $1.4 billion, including around $426 million from 2010 alone, while cash reserves amounted to about $364 million. In addition, following the sale of 60% of its main upstream operation in Peru to its controlling shareholder, PESA had about $450 million in intercompany receivables with Petrobras International Braspetro B.V. as of March 31, 2010 -- adding additional flexibility. Debt maturities of about $426 million in 2010 include $77 million with banks (that S&P expects PESA to continue refinancing) and $350 million in bonds (coming due in July) that would be repaid with the Peruvian divestment proceeds. S&P doesn't expect the company to make significant dividend payments that would jeopardize its ability to repay its debts. Instead, S&P expects PESA to direct cash to capex so it can increase production and reduce debt, thereby improving its capital structure. The stable outlook reflects S&P's expectation that Petrobras will continue to have enough economic incentives to support its Argentinean operations in a number of potential stress scenarios, including one of severe sovereign default. Any rating upside would depend on S&P's perception of an improvement in Argentina's country risk, which in turn would increase Petrobras's incentives to support PESA. On the other hand, the rating and/or outlook could come under negative pressure if significant government intervention materially affects the company's stand-alone business and/or financial risk profile, creating fewer incentives for Petrobras to provide support. Ratings Affirmed Petrobras Energia S.A. Corporate Credit Rating Foreign Currency B+/Stable/-- Petrobras Energia S.A. Senior Unsecured B+ Senior Unsecured BBB- PETROBRAS ENERGIA: Refining Asset Sale Cues S&P to Affirms Rating ----------------------------------------------------------------- Standard & Poor's Ratings Services said that it has affirmed its 'B+' ratings on Argentinean oil and gas company Petrobras Energia S.A. following the announcement on the sale of refining and marketing assets. The outlook is stable. "S&P's ratings on PESA mainly reflect the economic incentives provided by its main shareholder, Petroleo Brasileiro S.A., to support the company in light of its strategic importance as a key foreign subsidiary in Latin America," said Standard & Poor's credit analyst Luciano Gremone. "The rating also reflects: PESA's significant exposure to uncertain and rapidly changing economic and regulatory rules, mainly in Argentina, Venezuela, and Ecuador; and its significant need for capital expenditures to develop its reserve base and increase production levels. These factors are partially mitigated by the company's market position as Argentina's second-largest integrated oil and gas company, and a competitive cost position in exploration and production activities." The rating affirmation takes into consideration these factors: * S&P views the announced asset sale transaction as part of the Petrobras' group strategy to optimize its asset portfolio and its level of integration between E&P and R&M activities; * The transaction does not change S&P's view on the potential parent support incorporated in PESA's ratings, because the main underlying factors behind such support (like economic incentives, and shared name, among others) remain, in S&P's opinion, unchanged; * PESA would continue being able to post credit metrics commensurate with its stand-alone credit quality, which is two notches below its final rating. This could mean, for example, a funds from operations-to-total debt ratio in excess of 15%; * Following several recent asset sales (most importantly, its Peruvian E&P assets), PESA has benefited from a strong liquidity position which, as of March 31, 2010, covered almost all principal debt maturities through 2012; and * Going forward, S&P expects PESA to reduce its nominal debt by applying divestment proceeds to repay principal maturities in order to reach a level of leverage more in line with its reduced asset base. The stable outlook reflects S&P's expectation that Petrobras will continue to have enough economic incentives to support its Argentinean operations in a number of potential stress scenarios, including one of severe sovereign default. "Any rating upside would depend on S&P's perception of an improvement in Argentina's country risk, which in turn would increase Petrobras's incentives to support PESA. On the other hand, the rating and/or outlook could come under negative pressure if significant government intervention materially affects the company's stand-alone business and/or financial risk profile, creating fewer incentives for Petrobras to provide support," Mr. Gremone added. TROTTING SA: Creditors' Proofs of Debt Due on July 8 ---------------------------------------------------- Vilma Vaello, the court-appointed trustee for Trotting SA's bankruptcy proceedings, will be verifying creditors' proofs of claim until July 8, 2010. Ms. Vaello will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 1 in Buenos Aires, with the assistance of Clerk No. 2, 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. The Trustee can be reached at: Vilma Vaello Tucuman 1455 Argentina ============= B E R M U D A ============= VALIDUS HOLDINGS: Discloses Modified Dutch Auction Tender Offer --------------------------------------------------------------- Validus Holdings, Ltd.'s Board of Directors has approved a shelf tender offer pursuant to which the Company may repurchase up to $300 million in common shares. The tender offer is part of the Company's program disclosed on February 17, 2010, whereby the Company's Board of Directors authorized the Company to return up to $750 million to shareholders through share repurchases or other means. The tender offer will proceed by way of a "modified Dutch auction", pursuant to which Validus shareholders may tender all or a portion of their common shares (1) at a price of not less than $24.00 and not more than $27.50, in increments of $0.25 per share or (2) without specifying a purchase price, in which case their common shares will be purchased at the purchase price determined in accordance with the tender offer. When the tender offer expires, the Company will select the lowest price within the range of prices specified enabling the Company to purchase up to $300 million of its common shares. Shareholders will receive the purchase price in cash, without interest, for common shares tendered at prices equal to or less than the purchase price, subject to the conditions of the tender offer, including the provisions relating to proration, "odd lot" priority and conditional tender in the event that the aggregate cost to purchase all of the common shares tendered at or less than the purchase price exceeds $300 million. These provisions will be described in the Offer to Purchase relating to the tender offer that will be distributed to shareholders. All common shares purchased by the Company will be purchased at the same price. All common shares tendered at prices higher than the purchase price will be returned promptly to shareholders. The tender offer will not be conditional upon obtaining financing or any minimum number of common shares being tendered; however, the tender offer will be subject to a number of other terms and conditions, which will be specified in the Offer to Purchase. The tender offer will expire at 5:00 p.m., New York City time, on June 8, 2010, unless withdrawn or extended by the Company. Georgeson Inc. will serve as information agent for the tender offer. While the Company's Board of Directors has authorized the tender offer, it has not, nor has the Company, the dealer manager, the information agent or the depositary made any recommendation to the Company's shareholders as to whether to tender or refrain from tendering their common shares or as to the price or prices at which they may choose to tender their common shares. Shareholders must make their own decision as to whether to tender their common shares and, if so, how many common shares to tender and the price or prices at which they will tender them. Shareholders are urged to discuss their decision with their tax advisors, financial advisors and/or brokers. About Validus Holdings Validus Holdings Ltd. -- http://www.validusre.bm/-- is a provider of reinsurance and insurance, conducting its operations worldwide through two wholly-owned subsidiaries, Validus Reinsurance, Ltd., and Talbot Holdings Ltd. Validus Re is a Bermuda based reinsurer focused on short-tail lines of reinsurance. Talbot is the Bermuda parent of the specialty insurance group primarily operating within the Lloyd's insurance market through Syndicate 1183. * * * As reported in the Troubled Company Reporter-Latin America on September 11, 2009, A.M. Best Co. affirmed the ICR of "bbb-" and the indicative ratings for securities available under the shelf registration of "bbb-" on senior debt, "bb+" on subordinated debt and "bb" on the preferred stock of Validus Holdings, Ltd. (Validus Holdings). VALIDUS HOLDINGS: Posts $118.4 Million Net Loss in First Qtr ------------------------------------------------------------ Validus Holdings, Ltd. reported a net loss of ($118.4) million, or ($0.95) per diluted common share for the three months ended March 31, 2010, compared with net income of $94.9 million, or $1.20 per diluted common share, for the three months ended March 31, 2009. The company's net operating (loss) for the three months ended March 31, 2010 was ($136.4) million, or ($1.09) per diluted share, compared with net operating income of $100.4 million, or $1.27 per diluted common share, for the three months ended March 31, 2009. Net operating (loss) income, a non-GAAP financial measure, is defined as net (loss) income excluding net realized and unrealized gains or losses on investments, foreign exchange gains and losses and non-recurring items. Ed Noonan, Chairman and Chief Executive Officer of Validus commented on the results: "Our results were affected by the elevated level of catastrophe activity during the quarter, principally the Chilean earthquake which stands among the most costly industry losses in history outside of the United States." About Validus Holdings Validus Holdings Ltd. -- http://www.validusre.bm/-- is a provider of reinsurance and insurance, conducting its operations worldwide through two wholly-owned subsidiaries, Validus Reinsurance, Ltd., and Talbot Holdings Ltd. Validus Re is a Bermuda based reinsurer focused on short-tail lines of reinsurance. Talbot is the Bermuda parent of the specialty insurance group primarily operating within the Lloyd's insurance market through Syndicate 1183. * * * As reported in the Troubled Company Reporter-Latin America on September 11, 2009, A.M. Best Co. affirmed the ICR of "bbb-" and the indicative ratings for securities available under the shelf registration of "bbb-" on senior debt, "bb+" on subordinated debt and "bb" on the preferred stock of Validus Holdings, Ltd. (Validus Holdings). =========== B R A Z I L =========== BANCO DAYCOVAL: To Pay US$53.8 Million in Dividends --------------------------------------------------- Rogerio Jelmayer at Dow Jones Newswires reports that Banco Daycoval SA's board has approved the payment of BRL96.7 million (US$53.8 million) in dividends. According to the report, Banco Daycoval said that the total amount represents a dividend of BRL0.45 per share. The report relates that the distribution will be based on shareholders' position as of May 5 and will be paid starting May 20. Headquartered in Sao Paulo, Brazil, Banco Daycoval SA started its activities in 1968, with the creation of Daycoval DTVM and Valco Corretora de Valores. Brothers Ibrahim and Sasson Dayan control the bank. It is the core business of its shareholders and specializes in financing small and medium-sized companies, backed by receivables. It also operates with consignment lending for payroll deduction and consumer financing. Since June 2007, the bank has had 29% of its shares traded at Bovespa on the New Brazilian Stock Market. These shares enjoy a tag-along privilege, giving minority shareholders 100% of the value of the block of controlling shares in the event of the sale of the institution. * * * As reported in the Troubled Company Reporter-Latin America on March 15, 2010, Fitch Ratings has assigned a final 'BB' Foreign Currency Long-Term Rating to US$300 million of senior notes of Banco Daycoval S.A., with interest payable semi annually and principal due at maturity in March 2015. BRASKEM SA: Taps Carlos Jose Fadigas de Souza Filho as New CFO -------------------------------------------------------------- Braskem S.A. disclosed the nomination of Carlos Jose Fadigas de Souza Filho as its new CFO and Investor Relations Director, as of January 2007, replacing Paul Altit, who will take over new responsibilities at Construtora Norberto Odebrecht. Mr. Altit played a key role in Braskem's performance since its creation in 2002, resulting in major contributions to the strengthening of the Company's financial position, and to the completion of its corporate integration process. Mr. Fadigas, 36, is graduated in Business Administration from Unifacs, Bahia, and holds an MBA degree from the Institute for Management Development in Switzerland. He started his career at Citibank in 1990 and served in several positions at OPP and Trikem, companies that were merged into Braskem. Since 2002, he has been the CFO of CNO, and participated in important transactions in the local and international capital markets. Mr. Fadigas' appointment is a good example of the Company's commitment to adequately employ its best talents, promoting a natural turnover of its leading executives. "Fadigas has a sound experience in the financial and petrochemical areas and a good knowledge of international markets, and will certainly make a major contribution to the Company's process of growth with value creation, accelerating its internationalization process", says CEO Jose Carlos Grubisich. "His mission will be to give continuity to the excellent job so far developed by Paul Altit, who is recognized by the entire financial sector as having been decisive in consolidating Braskem as a world-class company", says Grubisich. The commitment to creating value for all shareholders by increasing its strategic flexibility and reducing the cost of capital, will remain a key priority for Braskem's financial management. "The Company's growth strategy will continue to be based on a consistent investment policy, combined with capital discipline, thus ensuring adequate return on capital employed", says Mr. Fadigas. About Braskem S.A. Braskem S.A. -- http://www.braskem.com.br/-- is a thermoplastic resins producer in Latin America, and is among the three largest Brazilian-owned private industrial companies. The company operates 13 manufacturing plants located throughout Brazil, and has an annual production capacity of 5.8 million tons of resins and other petrochemical products. The company reported consolidated net revenues of about US$9 billion in the trailing twelve months through Sept. 30, 2007. * * * As of March 8, 2010, the company continues to carry Moody's Ba1 rating. The company also continues to carry Fitch ratings' BB+ LT Issuer Default ratings and Senior Unsecured Debt rating CAMARGO CORREA: Cimpor Shareholders Taps New Board Chairman, CEO ---------------------------------------------------------------- Cimpor has chosen Antonio Castro Guerra as its new chairman following recent entries into the Portuguese cement maker's shareholder structure of Brazil's Votorantim and Camargo Correa SA, The PortugaL News reports. According to the report, Cimpor's new chairman is a former state secretary for industry and was proposed by Camargo, Votorantim, Investifino and Caixa Geral de Depositos. The report relates that Cimpor's principal investors also selected Francisco Lacerda as chief executive. As reported in the Troubled Company Reporter-Latin America on February 18, 2010, Bloomberg News said that Camargo Correa SA agreed to buy an additional 2.492% stake in Cimpor-Cimentos de Portugal SGPS SA. The report related that Camargo Correa is buying the stake from investors indicated by Portuguese construction company Teixeira Duarte-Engenharia e Construcoes SA and agreed to pay EUR6.50 euros a share. About Camargo Correa Camargo Correa SA is one of the largest private industrial conglomerates in Brazil. The company is a holding company with interests in cement, engineering and construction, textiles, footwear and sportswear manufacturing. It also owns non- controlling equity interests in the energy, transportation (highway concessions) and steel businesses. During the last 12 months through June 2007, Camargo Correa had net sales of BRL9.2 billion and EBITDA of BRL1.4 billion. * * * As reported in the Troubled Company Reporter-Latin America on November 26, 2009, Fitch Ratings currently rates Camargo and its special-purpose vehicle CCSA Finance Limited: -- Foreign currency Issuer Default Rating 'BB'; -- Local currency IDR 'BB'; COMPANHIA SIDERURGICA: First Qtr EBITDA Margin Reaches 41% ---------------------------------------------------------- Companhia Siderurgica Nacional posted its results for the first quarter of 2010: -- Steel product sales volume totaled 1.3 million tonnes in 1Q10, 96% up on 1Q09, led by the domestic market; -- Net revenue came to R$3.2 billion in 1Q10, 30% up on 1Q09, thanks to the strong recovery of steel product sales; -- Gross profit in 1Q10 stood at R$1.4 billion, 85% more than in 1Q09; -- 1Q10 EBITDA totaled R$1.3 billion, 91% up on 1Q09; -- EBITDA in the last 12 months amounted to R$4.2 billion, leading to a reduction in net debt/EBITDA ratio to 1.56x when compared to the 1.74x ratio recorded at the close of 2009; -- The 1Q10 EBITDA margin reached 41%, 13 p.p. up on 1Q09, confirming CSN's operating margin recovery; -- Net income in 1Q10 totaled R$482 million, 31% up on 1Q09; -- CSN is a highly capitalized company, with a cash position of R$9.1 billion; and -- In 1Q10, CSN's shares appreciated by 27% on the Sao Paulo Stock Exchange, the second highest appreciation among the shares composing the Bovespa Index (IBOVESPA), which appreciated by 3% in the period. On the NYSE, CSN's ADR prices posted an expressive increase of 25%, compared to a 4% appreciation of the Dow Jones index. About CSN Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional S.A. (NYSE: SID) -- http://www.csn.com.br/-- produces, sells, exports and distributes steel products, like hot-dip galvanized sheets, tin mill products and tinplate. The company also runs its own iron ore, manganese, limestone and dolomite mines and has strategic investments in railroad companies and power supply projects. The group also operates in Brazil, Portugal, and the U.S. * * * As of January 12, 2010, the company continues to carry Moody's Currency LT Debt ratings at Ba1. The company also continues to carry Standard and Poor's Issuer credit ratings at BB+. GERDAU SA: Records R$ 7.1-Billion Net Revenue in First Quarter -------------------------------------------------------------- Gerdau S.A's posted its results for the first quarter of 2010: -- Shipments reached 4.1 million tonnes in the 1Q10, 32% higher than in the 1Q09, mainly due to a recovery on sales for construction and industry in the Brazilian domestic market of Brazil Business Operation. -- Net Revenue reached R$ 7.1 billion in the 1Q10, slightly higher than 1Q09, due to higher shipments, partially offset by the Real appreciation in the period. -- 1Q10 EBITDA reached R$ 1.4 billion, more than doubling the value recorded in the 1Q09. The EBITDA margin reached 20% in the 1Q10, compared to 9% in the 1Q09. -- Net Income was R$ 573 million in the 1Q10, compared to R$35 million in the 1Q09. -- Investments in fixed assets totaled R$ 233 million in the 1Q10. -- Net Debt was R$ 10.1 billion on March, 31st 2010, representing 2.2x of the last 12 months EBITDA. -- The company approved a payment of dividend, in the form of interest on equity, of R$ 170 million (R$0.12/share), for Gerdau S.A. shareholders, and R$ 65 million (R$0.16/share) for Metalurgica Gerdau S.A. shareholders, based on the results of the 1Q10. The payment will be on May 27, 2010. About Gerdau S.A. Headquartered in Porto Alegre, Brazil, Gerdau S.A. -- http://www.gerdau.com.br/-- produces and distributes crude steel and related long rolled products, drawn products, and long specialty products. In addition to Brazil, Gerdau operates in Argentina, Canada, Chile, Colombia, Uruguay, India and the United States. * * * As of June 19, 2009, the company continues to carry Moody's Ba1 LT Corp Family rating and Ba1 Senior Unsecured Debt Ratings. ============= J A M A I C A ============= AIR JAMAICA: Finance Minister Says "Divestment Deal Fair" --------------------------------------------------------- Jamaica Minister of Finance and the Public Service, Audley Shaw, said that the government is satisfied that the partnership with T&T's Caribbean Airlines Ltd meets the objectives of the Air Jamaica Limited Divestment Project and protects the interests of the government and Jamaica as a whole, The Guardian reports. According to the report, citing a statement in the House of Representatives, Mr. Shaw said that the financial deal between the government and CAL is fair and "from the point of view of the government, is even superior to the ones contemplated in the initial CAL's bid or by the other bidder. "Stating that the interests of the Air Jamaica passengers have been protected, he said that CAL has strong airline expertise and appropriate capital, the report relates. "The partnership will ensure the provision of adequate and sustainable airlift to and from Jamaica, which remains a favoured tourist destination and the cash drain on the government's resources associated with the financial obligations to Jamaica's national airline will cease," the report quoted Mr. Shaw as saying. The report relates that on May 1, CAL took over financial responsibility for Air Jamaica and after a period of between six and 12 months, CAL will fully enforce its plan to provide sustainable airlift to and from Jamaica. With the sale of Air Jamaica, the government has assumed responsibility of the total debt of the airline, which amounts to US$939.99 million as at February 10, the report says. About Air Jamaica Headquartered in Kingston, Jamaica, Air Jamaica Limited -- http://www.airjamaica.com/-- was founded in 1969. It flies passengers and cargo to almost 30 destinations in the Caribbean, Europe, and North America. Air Jamaica offers vacation packages through Air Jamaica Vacations. The company closed its intra- island services unit, Air Jamaica Express, in October 2005. The Jamaican government owned 25% of the company after it went private in 1994. However, in late 2004, the government assumed full ownership of the airline after an investor group turned over its 75% stake. The Jamaican government does not plan to own Air Jamaica permanently. * * * As reported in the Troubled Company Reporter-Latin America on January 27, 2010, Moody's Investors Service changed the ratings outlook of Air Jamaica Limited to stable. The Corporate Family and senior unsecured ratings of Air Jamaica are affirmed at Caa1. The change in outlook mirrors the change of the outlook of the foreign currency bond rating of The Government of Jamaica to stable, which occurred on January 22, 2010. The ratings reflect Jamaica's unconditional and irrevocable guarantee of the rated debt obligations of Air Jamaica. The foreign currency bond rating of Jamaica remains Caa1, notwithstanding the January 22, 2010 downgrade of Jamaica's local currency bond rating by Moody's to Caa2. As reported in the TCR-LA on November 5, 2009, Standard & Poor's Ratings Services said that it lowered its long-term corporate credit rating on Air Jamaica Ltd. to 'CCC' from 'CCC+'. The outlook is negative. AIR JAMAICA: Closes Ticket Offices in Miami ------------------------------------------- Air Jamaica Limited's Miami Ticket Office is now closed, South Florida Caribbean news reports. The report relates that ticketing services will now be available to passengers at: * AirJamaica.com -- Credit card ticket purchases with no ticketing fees * Reservations Centre -- Credit card ticket purchases (800) 523-5585 * FLL Int'l Airport - Cash and credit card ticket purchases - Authorized 7th Heaven ticket redemptions - Tickets requiring an exchange of coupon or payment by voucher * JFK Airport - Cash and credit card ticket purchases - Authorized 7th Heaven ticket redemptions - Tickets requiring an exchange of coupon or payment by voucher The report says that the hours for these ticketing channels are: AirJamaica.Com 7 days 24 hours Reservations Center 7 days 6:00am to 12:00 midnight EST FLL Int'l Airport 7 days 6:30am to 8:45pm JFK Int'l Airport 7 days 3:30am to 2:30pm About Air Jamaica Headquartered in Kingston, Jamaica, Air Jamaica Limited -- http://www.airjamaica.com/-- was founded in 1969. It flies passengers and cargo to almost 30 destinations in the Caribbean, Europe, and North America. Air Jamaica offers vacation packages through Air Jamaica Vacations. The company closed its intra- island services unit, Air Jamaica Express, in October 2005. The Jamaican government owned 25% of the company after it went private in 1994. However, in late 2004, the government assumed full ownership of the airline after an investor group turned over its 75% stake. The Jamaican government does not plan to own Air Jamaica permanently. * * * As reported in the Troubled Company Reporter-Latin America on January 27, 2010, Moody's Investors Service changed the ratings outlook of Air Jamaica Limited to stable. The Corporate Family and senior unsecured ratings of Air Jamaica are affirmed at Caa1. The change in outlook mirrors the change of the outlook of the foreign currency bond rating of The Government of Jamaica to stable, which occurred on January 22, 2010. The ratings reflect Jamaica's unconditional and irrevocable guarantee of the rated debt obligations of Air Jamaica. The foreign currency bond rating of Jamaica remains Caa1, notwithstanding the January 22, 2010 downgrade of Jamaica's local currency bond rating by Moody's to Caa2. As reported in the TCR-LA on November 5, 2009, Standard & Poor's Ratings Services said that it lowered its long-term corporate credit rating on Air Jamaica Ltd. to 'CCC' from 'CCC+'. The outlook is negative. ================= V E N E Z U E L A ================= PETROLEOS DE VENEZUELA: To Sell Bonds in 'Coming Weeks' ------------------------------------------------------- Petroleos de Venezuela SA may sell US$3 billion of bonds in the "coming weeks" to shore up the bolivar in the unregulated market, Daniel Cancel at Bloomberg News reports, citing Barclays Plc. The securities will be purchased by the central bank and resold in the secondary market Barclays analyst Alejandro Grisanti said in an e-mailed note obtained by the news agency. The bonds may have a coupon of 4.75% and mature in 2012 or 2013, he added. According to the report, the central bank's auction of $523.6 million of dollar bonds payable in bolivars has failed to arrest the currency's 25% plunge this year. The report relates that local investors typically buy dollar bonds sold by the government and PDVSA with bolivars and sell them abroad to obtain foreign currency. "The weaker the bolivar the higher the probability of new issuance," the report quoted Mr. Grisanti as saying. "Given the reluctance of the central bank to increase the amount and frequency of the auctions, we are changing our view of new issuance, believing that it will likely be brought to market in the coming weeks," he added. The report notes that Mr. Grisanti cut his recommendation for Venezuela bonds to "Market Weight" from "Overweight." About PDVSA Petroleos de Venezuela -- http://www.pdvsa.com/-- is Venezuela's state oil company in charge of the development of the petroleum, petrochemical, and coal industry, as well as planning, coordinating, supervising, and controlling the operational activities of its divisions, both in Venezuela and abroad. * * * As of March 8, 2010, the company continues to carry Moody's "Ba1" LC Curr Issuer rating. The company also continues to carry Standard and Poor's "B+" LT Issuer credit ratings. * * * According to the TCRLA on January 18, 2010, Fitch Ratings downgraded Jamaica's long-term local currency rating to 'C' from 'CCC'. In addition, Fitch has affirmed Jamaica's long-term and short-term foreign currency ratings at 'CCC' and 'C' respectively, and affirmed the Country Ceiling at 'B-'. Jamaica's sovereign ratings Outlook remains Negative. =============== X X X X X X X X =============== * BOND PRICING: For the Week May 3, to May 8, 2010 -------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- ARGENTINA ARGENT-$DIS 8.28 12/31/2033 USD 65.15 ARGENT-$DIS 8.28 12/31/2033 USD 67.25 ARGENT-PAR 1.18 12/31/2038 ARS 32.97 ARGENT-?DIS 7.82 12/31/2033 EUR 58.88 ARGNT-BOCON PR13 2 3/15/2024 ARS 68.36 BANCO MACRO SA 10.75 6/7/2012 USD 73.32992 BUENOS AIRE PROV 9.625 4/18/2028 USD 71.686353 BUENOS AIRE PROV 9.375 9/14/2018 USD 75.069688 BRAZIL CESP 9.75 1/15/2015 BRL 69.78383 CAYMAN ISLAND BARION FUNDING 0.63 12/20/2056 GBP 17.511004 BARION FUNDING 1.44 12/20/2056 GBP 30.944604 BCP FINANCE CO 4.239 N/A EUR 60.958333 BCP FINANCE CO 5.543 EUR 61.908469 BES FINANCE LTD 6.984 2/7/2035 EUR 67.341666 BES FINANCE LTD 5.58 N/A EUR 63.947923 BISHOPSGATE ASSE 4.808 8/14/2044 GBP 74.86 CHINA MED TECH 4 8/15/2013 USD 69 CHINA SUNERGY 4.75 6/15/2013 USD 72.897 DUBAI HLDNG COMM 4.75 1/30/2014 EUR 75.916667 DUBAI HLDNG COMM 6 2/1/2017 GBP 68.88 EFG ORA FUNDING 1.7 10/29/2014 EUR 63.55 ESFG INTERNATION 5.753 N/A EUR 64.8125 FERTINITRO FIN 8.29 4/1/2020 USD 71 INDEPENDENCIA IN 12 12/30/2016 USD 49.625 MAZARIN FDG LTD 1.44 9/20/2068 GBP 28.36805 PUBMASTER FIN 6.962 6/30/2028 GBP 72.82 SHINSEI FIN CAYM 6.418 N/A USD 70.625 SHINSEI FINANCE 7.16 N/A USD 80 SOLARFUN POWER H 3.5 1/15/2018 USD 61.659 PUERTO RICO PUERTO RICO CONS 6.2 5/1/2017 USD 50 PUERTO RICO CONS 6.5 4/1/2016 USD 53.5 VENEZUELA PETROLEOS DE VEN 5.25 4/12/2017 USD 60.10112 PETROLEOS DE VEN 5.125 10/28/2016 USD 59.318139 PETROLEOS DE VEN 5.5 4/12/2037 USD 46.2265 PETROLEOS DE VEN 5 10/28/2015 USD 58.888288 PETROLEOS DE VEN 4.9 10/28/2014 USD 64.715079 PETROLEOS DE VEN 5.375 4/12/2027 USD 48.185875 SIDETUR FINANCE 10 4/20/2016 USD 74.55 VENEZUELA 7 12/1/2018 USD 69.74 VENEZUELA 7.75 10/13/2019 USD 68.13 VENEZUELA 6 12/9/2020 USD 58.75 VENEZUELA 9 5/7/2023 USD 69.88 VENEZUELA 7.65 4/21/2025 USD 60.85 VENEZUELA 8.25 10/13/2024 USD 62.88 VENEZUELA 7 3/31/2038 USD 55.88 VENEZUELA 9.25 9/15/2027 USD 73 VENEZUELA 7 3/31/2038 USD 62.321074 VENEZUELA 5.75 2/26/2016 USD 69.25 VENEZUELA 9.25 5/7/2028 USD 68.88 VENZOD - 189000 9.375 1/13/2034 USD 70.5 *********** 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 2010. All rights reserved. ISSN 1529-2746. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Latin America subscription rate is US$625 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. * * * End of Transmission * * *