/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/100603.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, June 3, 2010, Vol. 11, No. 108 Headlines A N T I G U A & B A R B U D A STANFORD INT'L: Judge Rejects Another Attorney's Bid to Quit Case STANFORD INT'L: Houston Office Draws US$12.5 Million Bid A R G E N T I N A ELIAGRO SA: Creditors' Proofs of Debt Due on August 6 EMPORIO AUTOMOTORES: Creditors' Proofs of Debt Due on August 5 JUAN I IANNI: Creditors' Proofs of Debt Due on August 23 MULTIGESTION ARGENTINA: Creditors' Proofs of Debt Due on August 12 PIRLES SA: Creditors' Proofs of Debt Due on June 28 TERCIOPELO TEXTIL: Creditors' Proofs of Debt Due on June 28 B E R M U D A VALIDUS HOLDINGS: To Release 2Q Results on August 5 B R A Z I L GOL LINHAS: Launches New Integrated Platform of Communication MARFRIG ALIMENTOS: Borrowing Costs Rise on Eurozone Crisis MINERVA SA: Borrowing Costs Rise on Eurozone Crisis ULTRAPAR PARTICIPACOES: May Bid for Shell's LPG Business, FT Times C A Y M A N I S L A N D S DRACO INVESTMENTS: Shareholders' Final Meeting Set for June 25 FLOATING RATE: Members' Final Meeting Set for June 25 FOCUS ABSOLUTE: Members' Final Meeting Set for June 18 FULLERTON FUNDS: Shareholders' Final Meeting Set for June 22 VITA CAPITAL: S&P Assigns 'BB+' Rating on $50 Mil. Class E Notes C O S T A R I C A * COSTA RICA: Economic Recovery Picking Up Speed, IMF Says D O M I N I C A N R E P U B L I C * DOMINICAN REPUBLIC: GDP Grows 7.5% in First Quarter E C U A D O R BANCO PICHINCHA: Seeks to Convert Colombian Lending Unit as Bank G U A T E M A L A BANCO INDUSTRIAL: Moody's Upgrades Long-Term Rating to 'Ba2' * GUATEMALA: Moody's Raises Government Bond Rating to 'Ba1' M E X I C O BANCO DEL BAJIO: Fitch Affirms 'BB+' Issuer Default Rating BANCA MIFEL: S&P Affirms Counterparty Credit Rating at 'BB-/B' CEMEX SAB: Deal With Penna Cements Runs Into Valuation Issues TEMPLETON EMERGING: Moody's Withdraws 'Ba' and 'MR5' Rating TRANTEL INTERMEDIA: Fitch Withdraws 'D' Rating After Default P E R U DOE RUN PERU: Should Resume Operations Before July 27, Govt. Says P U E R T O R I C O FIRSTBANK PUERTO RICO: Seeks to Foreclose on Gables Condo Project V E N E Z U E L A * VENEZUELA: Government Seizes Control of 3 More Brokerages X X X X X X X X * Upcoming Meetings, Conferences and Seminars - - - - - =============================== A N T I G U A & B A R B U D A =============================== STANFORD INT'L: Judge Rejects Another Attorney's Bid to Quit Case ----------------------------------------------------------------- U.S. District Judge David Hittner rejected a bid by Robert Allen Stanford's lawyer, Michael Essmyer, to withdraw from his client's case, Andrew M. Harris and Laurel Brubaker Calkins at Bloomberg News report. The report relates that Mr. Essmyer, a Houston attorney who joined the Stanford defense team in April with co- counsel Robert Bennett, is the third lawyer for Mr. Stanford after the ex-billionaire clashed with two of his former defense lawyers. "Having considered the motion, the arguments of counsel and the applicable law, the court determines that the motion should be denied," the report quoted Judge Hittner as saying. However, Robert S. Bennett will hereafter be noted as lead counsel for defendant [Mr.] Stanford," he added. The report notes that in a May 14 filing, Mr. Essmyer told Judge Hittner that he had developed "irreconcilable" strategic differences with Mr. Bennett and a further conflict with Mr. Stanford. Bloomberg News relates that Mr. Bennett told Judge Hittner in a May 28 submission that his client had "already terminated the services of Mr. Essmyer as of May 12." Mr. Stanford's prior defense team included Houston lawyers Dick DeGuerin of DeGuerin & Dickson and Kent Schaffer of Bires & Schaffer law firm. Bloomberg News discloses that Mr. DeGuerin cited uncertainty of payment as his grounds for withdrawal. The report relates Mr. Schaffer, who had teamed with criminal defense attorney George "Mac" Secrest, told the court they were at loggerheads with Mr. Stanford over strategy and he refused to cooperate with them. Mr. Stanford, the report says, denied in his May 27 letter that he was a "difficult and demanding client." "Almost all of my attorneys have effectively left me on my own to try to fight the biggest fight of my life, in three different courts, from prison," the report quoted Mr. Stanford as saying. 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). STANFORD INT'L: Houston Office Draws US$12.5 Million Bid -------------------------------------------------------- Robert Allen Stanford's Houston headquarters will sell for US$12.5 million cash unless a higher bidder emerges at an auction set for later this month, Laurel Brubaker Calkins at Bloomberg News reports, citing court-appointed receiver Ralph Janvey. According to the report, Mr. Janvey said that he has negotiated a stalking horse contract to sell the three-story building in Houston's Galleria shopping district to Dirk Laukien, unless he's outbid. "Sales will be for cash or cash equivalents," the report quoted Mr. Janvey as saying. The report notes that bidders must deposit a minimum of US$625,000 in cash or certified funds prior to the June 24 auction. Bids must be submitted five days in advance. Mr. Stanford, the report relates, has repeatedly complained that Mr. Janvey is selling his assets and investments before he's been convicted of anything. 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 ================= ELIAGRO SA: Creditors' Proofs of Debt Due on August 6 ----------------------------------------------------- The court-appointed trustee for Eliagro S.A.'s bankruptcy proceedings, will be verifying creditors' proofs of claim until August 6, 2010. The trustee will present the validated claims in court as individual reports on September 20, 2010. The National Commercial Court of First Instance in Buenos Aires will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by the company and its creditors. Inadmissible claims may be subject to appeal in a separate proceeding known as an appeal for reversal. A general report that contains an audit of the company's accounting and banking records will be submitted in court on November 2, 2010. EMPORIO AUTOMOTORES: Creditors' Proofs of Debt Due on August 5 -------------------------------------------------------------- Silvia Isabel Gomez Meana, the court-appointed trustee for Emporio Automotores SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until August 5, 2010. Ms. Meana will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 4 in Buenos Aires, with the assistance of Clerk No. 7, 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: Silvia Isabel Gomez Meana Condarco 1319 Argentina JUAN I IANNI: Creditors' Proofs of Debt Due on August 23 -------------------------------------------------------- The court-appointed trustee for Juan I. Ianni y Marcelo A. Greco S.H.'s bankruptcy proceedings, will be verifying creditors' proofs of claim until August 23, 2010. The trustee will present the validated claims in court as individual reports on October 18, 2010. 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 13, 2010. MULTIGESTION ARGENTINA: Creditors' Proofs of Debt Due on August 12 ------------------------------------------------------------------ The court-appointed trustee for Multigestion Argentina S.A.'s bankruptcy proceedings, will be verifying creditors' proofs of claim until August 12, 2010. PIRLES SA: Creditors' Proofs of Debt Due on June 28 --------------------------------------------------- Ana Graciela Ventura, the court-appointed trustee for Pirles SA's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 28, 2010. Ms. Ventura will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 13 in Buenos Aires, with the assistance of Clerk No. 26, 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: Ana Graciela Ventura Bulnes 779 Argentina TERCIOPELO TEXTIL: Creditors' Proofs of Debt Due on June 28 ----------------------------------------------------------- Federico Manuel Ramon Miro, the court-appointed trustee for Terciopelo Textil SRL's bankruptcy proceedings, will be verifying creditors' proofs of claim until June 28, 2010. Mr. Miro will present the validated claims in court as individual reports. The National Commercial Court of First Instance No. 16 in Buenos Aires, with the assistance of Clerk No. 31, 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: Ramon Miro Uruguay 390 ============= B E R M U D A ============= VALIDUS HOLDINGS: To Release 2Q Results on August 5 --------------------------------------------------- Validus Holdings, Ltd. plans to release its financial results for the quarter ended June 30, 2010, after the close of trading on the New York Stock Exchange on Thursday, August 5, 2010. The Company will hold a conference call for analysts and investors at 9:00 a.m. (Eastern) on Friday, August 6, 2010, to discuss these results. The conference call may be accessed by dialing 1-866-783-2144 (U.S. callers) or 1-857-350-1603 (International callers) and entering the passcode 24729846#. Those who intend to participate in the call should dial in at least 10 minutes in advance. A live webcast of the call will be available online at the "Investor Relations" section of the Company's Web site located at http://www.validusholdings.com/ A replay of the call will be available through August 20, 2010 by dialing 1-888-286-8010 (U.S. callers) or 1-617-801-6888 (International callers) and entering the passcode 52740213#. A replay of the webcast will be available at the "Investor Relations" section of the Company's Web site through August 20, 2010. 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 =========== GOL LINHAS: Launches New Integrated Platform of Communication ------------------------------------------------------------- GOL Linhas Aereas Inteligentes S.A. revealed its new financial communications platform, with the launch of a new investor relations portal which is totally integrated with the leading corporate social networks -- LinkedIn, Facebook, Seeking Alpha -- and its existing Twitter channel, which are in turn now fully integrated with the Company's more traditional distribution channels, such as e-mail alerts, SMS (mobile phone), RSS and wire broadcasting. "GOL is the first Brazilian company to launch an integrated financial market communication platform with such a complete interface with the market," declared Leonardo Pereira, the Company's Vice President and CFO. "GOL is an innovator in the airline industry and it should not be different in communication with the market. Navigating around the site has become easier and the content is more complete. Up to now, GOL has been one of the few companies in Latin America to give live webcasts of its main presentations in international conferences promoted by financial institutions. It is details like these, plus our ample adherence to the social networks, that make all the difference in terms of market perception," concluded Mr. Pereira. About GOL Linhas Based in Sao Paulo, Brazil, GOL Intelligent Airlines aka GOL Linhas Areas Inteligentes S.A. -- http://www.voegol.com.br/-- through its subsidiary, GOL Transportes Aereos S.A., provides airline services in Brazil, Argentina, Bolivia, Uruguay, and Paraguay. The company's services include passenger, cargo, and charter services. As of March 20, 2006, Gol Linhas provided 440 daily flights to 49 destinations and operated a fleet of 45 Boeing 737 aircraft. The company was founded in 2001. * * * As of March 8, 2010, the company continues to carry Fitch Ratings "B" long-term issuer default ratings. The company also continues to carry Moody's B1 LT Corp Family rating. MARFRIG ALIMENTOS: Borrowing Costs Rise on Eurozone Crisis ---------------------------------------------------------- Veronica Navarro Espinosa and Lucia Kassai at Bloomberg News report that borrowing costs for Marfrig Alimentos SA and Minerva SA are rising twice as fast as for the rest of the nation's companies as Europe's financial crisis drives investors away from indebted issuers. Yields on bonds sold by Marfrig Alimentos and Minerva SA rose more than 180 basis points, or 1.8 percentage points, relative to Treasuries last month, according to data compiled by Bloomberg. The report, citing JPMorgan & Chase Co.'s CEMBI index, relates that the average yield gap for Brazilian companies increased 75 basis points. According to the report, credit-rating downgrades in Spain, Portugal and Greece are driving up yields on speculation importers will fail to raise financing, hurting sales of Brazilian meat. Marfrig Alimentos got 32% of its revenue from Europe in the quarter ended in September, according to data compiled by Bloomberg. The report relates Minerva SA Chief Financial Officer Edison Ticle said that Europe accounts for less than 10% of the company's total sales. "Although exposure to Europe is relatively small, investors fear something like the systemic crisis can occur again and that importers don't get the credit they need to keep buying products," the report quoted Ciro Matuo, head of credit research at Itau in Sao Paulo, as saying. "Marfrig and Minerva are companies that are relatively leveraged. It's a low-margin business that normally requires some sizeable investments," he added. While the extra yield investors demand to own Brazilian corporate bonds on average climbed to 335 basis points from 260 in the past month, the spread on Minerva's bonds due 2019 jumped the most since their sale in January, according to data compiled by Bloomberg News. The report relates that the yield gap on Marfrig Alimentos' notes due 2016 climbed the most since February 2009. Meanwhile, Mr. Ticle told the news agency in a telephone interview that bondholders are treating Minerva SA "unfairly" and the company may use some of its BRL466 million (US$256 million) of cash to repurchase the debt. The report relates Mr. Ticle said that Minerva SA's debt is 4.39 times its EBITDA and the company is seeking to reduce the ratio to below 3.5 times by year-end, he said. Minerva has US$160 million of bonds coming due in 2017 and $250 million maturing two years later, Mr. Ticle added. 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 April 14, 2010, the company continues to carry these below investment grade 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 About Minerva S.A. Minerva S.A. produces and sells beef, leather and live cattle in Brazil, and is one of the country's three largest exporters in the sector in terms of gross sales revenue, exporting to around 80 countries. The company has presence in the Brazilian states of Sao Paulo, Goias, Tocantins, Mato Grosso do Sul as well as in Paraguay, Minerva operates seven slaughter and deboning plants, two tanneries and five distribution centers. Minerva also operates in the food service segment through the joint venture Minerva Dawn Farms (MDF), which has current meat processing capacity of 10 to 15 tons per hour, producing food made from beef, pork and poultry. * * * As reported in the Troubled Company Reporter-Latin America on January 21, 2010, Fitch Ratings has assigned a 'B/RR4' rating to Minerva's proposed US$250 million senior unsecured notes due 2020 to be issued by Minerva Overseas II Ltd (a special-purpose vehicle wholly owned by Minerva and incorporated in the Cayman Islands), which is unconditionally guaranteed by Minerva S.A. Fitch also maintains these ratings on Minerva, which remain on Rating Watch Negative: Minerva S.A. -- Local currency Issuer Default Rating 'B'; -- Foreign currency IDR 'B'; -- National rating 'BBB-(bra)'. Minerva Overseas Ltd -- US$200 million senior unsecured notes due 2017 'B/RR4'. MINERVA SA: Borrowing Costs Rise on Eurozone Crisis --------------------------------------------------- Veronica Navarro Espinosa and Lucia Kassai at Bloomberg News report that borrowing costs for Marfrig Alimentos SA and Minerva SA are rising twice as fast as for the rest of the nation's companies as Europe's financial crisis drives investors away from indebted issuers. Yields on bonds sold by Marfrig Alimentos and Minerva SA rose more than 180 basis points, or 1.8 percentage points, relative to Treasuries last month, according to data compiled by Bloomberg. The report, citing JPMorgan & Chase Co.'s CEMBI index, relates that the average yield gap for Brazilian companies increased 75 basis points. According to the report, credit-rating downgrades in Spain, Portugal and Greece are driving up yields on speculation importers will fail to raise financing, hurting sales of Brazilian meat. Marfrig Alimentos got 32% of its revenue from Europe in the quarter ended in September, according to data compiled by Bloomberg. The report relates Minerva SA Chief Financial Officer Edison Ticle said that Europe accounts for less than 10% of the company's total sales. "Although exposure to Europe is relatively small, investors fear something like the systemic crisis can occur again and that importers don't get the credit they need to keep buying products," the report quoted Ciro Matuo, head of credit research at Itau in Sao Paulo, as saying. "Marfrig and Minerva are companies that are relatively leveraged. It's a low-margin business that normally requires some sizeable investments," he added. While the extra yield investors demand to own Brazilian corporate bonds on average climbed to 335 basis points from 260 in the past month, the spread on Minerva's bonds due 2019 jumped the most since their sale in January, according to data compiled by Bloomberg News. The report relates that the yield gap on Marfrig Alimentos' notes due 2016 climbed the most since February 2009. Meanwhile, Mr. Ticle told the news agency in a telephone interview that bondholders are treating Minerva SA "unfairly" and the company may use some of its BRL466 million (US$256 million) of cash to repurchase the debt. The report relates Mr. Ticle said that Minerva SA's debt is 4.39 times its EBITDA and the company is seeking to reduce the ratio to below 3.5 times by year-end, he said. Minerva has US$160 million of bonds coming due in 2017 and $250 million maturing two years later, Mr. Ticle added. 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 April 14, 2010, the company continues to carry these below investment grade 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 About Minerva S.A. Minerva S.A. produces and sells beef, leather and live cattle in Brazil, and is one of the country's three largest exporters in the sector in terms of gross sales revenue, exporting to around 80 countries. The company has presence in the Brazilian states of Sao Paulo, Goias, Tocantins, Mato Grosso do Sul as well as in Paraguay, Minerva operates seven slaughter and deboning plants, two tanneries and five distribution centers. Minerva also operates in the food service segment through the joint venture Minerva Dawn Farms (MDF), which has current meat processing capacity of 10 to 15 tons per hour, producing food made from beef, pork and poultry. * * * As reported in the Troubled Company Reporter-Latin America on January 21, 2010, Fitch Ratings has assigned a 'B/RR4' rating to Minerva's proposed US$250 million senior unsecured notes due 2020 to be issued by Minerva Overseas II Ltd (a special-purpose vehicle wholly owned by Minerva and incorporated in the Cayman Islands), which is unconditionally guaranteed by Minerva S.A. Fitch also maintains these ratings on Minerva, which remain on Rating Watch Negative: Minerva S.A. -- Local currency Issuer Default Rating 'B'; -- Foreign currency IDR 'B'; -- National rating 'BBB-(bra)'. Minerva Overseas Ltd -- US$200 million senior unsecured notes due 2017 'B/RR4'. ULTRAPAR PARTICIPACOES: May Bid for Shell's LPG Business, FT Times ------------------------------------------------------------------ Ultrapar Participacoes SA may bid for Royal Dutch Shell Plc's liquefied petroleum gas unit, Fred Pals at Bloomberg News reports, Financial Times reports. The report relates FT said that the auction for the unit is likely to attract bids from several private equity firms and Mexico's Grupo Zeta Gas. According to the report, Shell said that it's in talks with possible buyers and reviewing "ownership options" for most of its LPG units in Europe, Asia and Latin America. The report relates Shell said that the preferred outcome of the process is the sale of the businesses as going concerns, through a number of phased portfolio actions. Bloomberg News says that Axa Private Equity, CVC Capital Partners Ltd., First Reserve Corp. and Riverstone Holdings LLC, are also considering making an offer for the assets. The oil producer, the report adds, is reviewing possible refining and marketing assets sales in Finland, France and Sweden. The report relates that it is also in talks with India's Essar Oil Ltd. and other interested parties on the sale of three refineries in Germany and the U.K. About Ultrapar Participacoes Headquartered in Sao Paulo, Brazil, Ultrapar Participacoes S.A. (NYSE: UGP) (BOVESPA: UGPA4) is a company with two main operations: LPG distribution (through its fully-owned subsidiary Ultragaz Participacoes Ltda.) and chemical production (through its also fully-owned subsidiary Oxiteno S.A.). A third smaller but growing business is the transportation and storage of chemicals and fuels, Ultracargo Operacoes Logisticas e Participacoes Ltda., which completes Ultrapar's business portfolio and reinforces the trend for further business diversity in the long run. * * * As of October 19, 2009, the company continues to carry Moody's BB+ long-term issuer credit ratings. ========================== C A Y M A N I S L A N D S ========================== DRACO INVESTMENTS: Shareholders' Final Meeting Set for June 25 -------------------------------------------------------------- The shareholders of Draco Investments (London) Limited will hold their final meeting, on June 25, 2010, at 10:00 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Jess Shakespeare c/o Maples Finance Limited PO Box 1093, Boundary Hall Grand Cayman KY1-1102, Cayman Islands FLOATING RATE: Members' Final Meeting Set for June 25 ----------------------------------------------------- The members of Floating Rate Senior Loan Fund V Limited will hold their final meeting, on June 25, 2010, at 10:30 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Kirsten Le Pape c/o Turner & Roulstone Management Ltd. Strathvale House, 3rd Floor 90 North Church Street P.O. Box 2636, Grand Cayman KY1-1102 Cayman Islands c/o Gavin Lowe Telephone: 345 943 5555 FOCUS ABSOLUTE: Members' Final Meeting Set for June 18 ------------------------------------------------------ The members of Focus Absolute Return Fund Ltd. will hold their final meeting, on June 18, 2010, at 9:00 a.m., to receive the liquidators' report on the company's wind-up proceedings and property disposal. The company's liquidator is: Richard Finlay c/o Krysten Lumsden Telephone: (345) 814 7366 Facsimile: (345) 945 3902 P.O. Box 2681, Grand Cayman KY1-1111 Cayman Islands FULLERTON FUNDS: Shareholders' Final Meeting Set for June 22 ------------------------------------------------------------ The shareholders of Fullerton Funds C2 SPC will hold their final meeting, on June 22, 2010, at 10:00 a.m., to receive the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidators are: Gerard Lee How Cheng Wah Geok Sum Fullerton Fund Management Company Ltd 60B Orchard Road, #06-18 Tower 2 The Atrium@Orchard Singapore 238891 Telephone: + 65 6828 6828 Facsimile: + 65 6821 1160 VITA CAPITAL: S&P Assigns 'BB+' Rating on $50 Mil. Class E Notes ---------------------------------------------------------------- Standard & Poor's Ratings Services said that it assigned its 'BB+' long-term debt rating to the $50 million class E principal-at-risk variable-rate series II notes due Jan. 15, 2014. These notes were issued by Cayman Islands-based Vita Capital IV Ltd. The notes will provide Swiss Reinsurance Company Ltd. (A+/Stable/A-1) with a degree of protection against extreme mortality events occurring to specified age and gender distributions in the U.S. and the U.K. Swiss Re has previously securitized mortality risk through the Vita Capital II Ltd., Vita Capital III Ltd., and an earlier takedown of the Vita Capital IV Ltd. transaction. The Vita III transaction is scheduled to expire at the end of 2012 and this new issuance by Vita Capital IV partly replaces those notes. Vita Capital IV was created for the sole purpose of issuing one or more series of notes out of a mortality catastrophe shelf program. Standard & Poor's has not assigned ratings to the shelf program. The noteholders are at risk from an increase in age- and gender- weighted mortality rates that exceed a specified percentage of a predefined mortality index value (MIV), for a given country, on an accumulated basis over four years from Jan. 1, 2010 to Dec. 31, 2013. The MIV self-adjusts for changes in general mortality trends over the risk period. The MIV is defined on a rolling two-calendar-year basis, and the probability of a loss attaching and the magnitude of the loss in principal depends on the extent to which the MIV for any measurement period (that is, two consecutive years) exceeds the attachment point for the notes. Like the earlier Vita Capital IV series I transaction, the notes are triggered upon attachment of either the U.S. or the U.K. and the attachment points vary by country. The attachment points are 105% in the U.S. and 112.5% in the U.K. with the exhaustion points being 110% in the U.S. and 120% in the U.K. Risk Management Solutions Inc.'s risk report from the previous Vita Capital IV transaction (issued in November 2009) has not been updated and S&P has based the rating on this takedown on the previous risk report. Standard & Poor's does not believe that the mortality risks in this transaction have materially changed since the risk report produced for the series I notes in the earlier Vita Capital IV transaction. At closing, Swiss Re will enter into a contract with the issuer using standard International Swaps and Derivatives Association (ISDA) wording. Under this contract, Swiss Re will make payments to the issuer in exchange for extreme mortality protection. The issuance proceeds are to be invested in collateral in the form of 'AAA' rated notes issued by the International Bank for Reconstruction and Development. The coupon on the notes will be paid from the payments made by Swiss Re under the ISDA contract and from investment earnings on the collateral held in trust. The rating on the notes reflects: * Standard & Poor's qualitative assessments of the potential event risk; * S&P's view of the modeled probability of default; * The strong diversification of the underlying mortality risk exposure in terms of geographic location, age, and gender; and * The application of Standard & Poor's catastrophe bond criteria. ================== C O S T A R I C A ================== * COSTA RICA: Economic Recovery Picking Up Speed, IMF Says ---------------------------------------------------------- The Executive Board of the International Monetary Fund completed on May 28, 2010, the third and final review of Costa Rica's economic performance under a program supported by a 15-month Stand-By Arrangement approved on April 10, 2009. The authorities have indicated that they will continue to treat the arrangement as precautionary. The completion of the third and final review enables Costa Rica to purchase an additional amount equivalent to SDR41.025 million (about US$60.5 million), if needed. The review brings the total amount available for purchase to SDR492.3 million (about US$725.8 million). Following the Executive Board's discussion on Costa Rica, Mr. Murilo Portugal, Deputy Managing Director and Acting Chair, stated: "Costa Rica's economic recovery is picking up speed, supported by rising consumer and business confidence. The authorities' comprehensive response to the global crisis, supported by the Fund program, created a solid basis for the recovery. The external payments position has strengthened, and the exchange rate has fluctuated in the lower part of the band. The strong prospects for domestic demand create upside risks to the growth outlook and underscore the need to rebalance the macroeconomic policy mix. "Performance under the Stand-By Arrangement with the Fund has been commendable. All quantitative performance criteria for end- December 2009 and end-March 2010 were met, and the authorities have continued to treat the arrangement as precautionary. "The expansionary fiscal stance of 2009 was instrumental in softening the impact of the global crisis on economic activity. As the recovery becomes self-sustained, it will be important to start withdrawing the fiscal stimulus during 2010 and aim for considerable fiscal consolidation starting in 2011. "Inflation fell to low single digits during 2009, and core inflation remains stable. However, inflation expectations remain above the central bank's end-year inflation target, partly due to the strong prospects for domestic demand. It is important that the central bank stands ready to tighten monetary policy if this situation persists. Accelerating the transition to inflation targeting and greater exchange rate flexibility is also advisable. "The banking sector remains sound, and the modest deterioration in prudential indicators observed in 2009 has started to abate. Further progress in the financial sector reform, including passage of legislation to strengthen the financial sector safety net, recapitalize the central bank, and enable consolidated supervision, would contribute to strengthening the system's resilience," Mr. Portugal stated. * * * As of June 2, 2010, the country continues to carry Moody's "Ba1" long-term issuer ratings, and foreign currency long-term debt rating. ================================== D O M I N I C A N R E P U B L I C ================================== * DOMINICAN REPUBLIC: GDP Grows 7.5% in First Quarter ----------------------------------------------------- An International Monetary Fund mission led by Alejandro Santos visited Santo Domingo during May 18-28, 2010, to conduct discussions under the second review of the Stand-By Arrangement, which was approved by the IMF Executive Board in November 2009. The mission met with Central Bank Governor Hector Valdez, Minister of Finance Vicente Bengoa, Minister of Economy Temistocles Montas, Vice-President of the Public Electricity Corporation Celso Marranzini, as well as members of the Economic and Social Cabinet, senior government officials, representatives of the private sector, and the international community. At the conclusion of the visit, Mr. Santos issued this statement: "The early results of the authorities' economic program have been impressive. There is a clear economic expansion and real gross domestic product (GDP) is estimated to have grown by 7.5% in the first quarter of 2010 (year-on-year). Exports, imports, tax collections and private credit are expanding at healthy rates. While the 12-month inflation rate is above the 6-7 percent target of the Central Bank, this is mostly due to higher fuel and some food prices; core inflation (which excludes these prices) is still below 3 percent on an annual basis. It is expected that for 2010 as a whole, real GDP will grow between 5 and 5.5%, while inflation will be contained within the Central Bank's target. "All performance criteria and structural benchmarks for end-March 2010 have been observed. Progress continues in all areas of the structural agenda, although there are delays in implementing the electricity reform. The authorities have designed a strategy to improve tax collections through improvements in tax administration and rationalization of tax exemptions. The authorities have also designed a plan to achieve compliance with all Basel core principles for effective bank supervision. "Discussions have been productive, and key measures for the rest of 2010 have been agreed in line with the authorities' program. Significant progress has been made in reaching agreement on a letter of intent, and the mission expects to conduct the final assessment of the second review in Washington in the coming weeks. "The mission would like to thank the authorities and the citizens of the Dominican Republic for their warmth and hospitality." * * * According to a Bloomberg report dated April 24, 2010, Moody's ratings raised Dominican Republic's government bond rating to B1, four levels below investment grade, from B2 with a stable outlook. ============= E C U A D O R ============= BANCO PICHINCHA: Seeks to Convert Colombian Lending Unit as Bank ---------------------------------------------------------------- Banco Pichincha plans to ask Colombian banking regulators to authorize the transformation of its Colombian lending unit, Inversora Pichincha, into a bank, Inti Landauro at Dow Jones Newswires reports. According to the report, Inversora Pichincha's board will ask its shareholders to convert into a fully regulated bank. The report relates that as a formal bank, Banco Pichincha would have the right to raise money from depositors. The bank's customers, the report notes, would be protected by the country's insurance fund for deposits. About Banco Pichincha Banco Pichincha is Ecuador's largest bank with about 34% of the system's assets at March 2009. Incorporated in 1906, the group offers a wide array of services to corporate, middle market and retail customers. Pichincha is tightly controlled by its main shareholder, Fidel Egas Grijalva, who holds over 60.2% of the company's stock. * * * As reported in the Troubled Company Reporter-Latin America on August 17, 2009, Fitch Ratings has affirmed Banco Pichincha C.A. y Subsidiarias' long-term and short-term Issuer Default Ratings: -- Long-term foreign currency IDR at 'B-'; -- Short-term foreign currency IDR at 'B'; -- Support at '5'; -- Support floor at 'NF'. ================= G U A T E M A L A ================= BANCO INDUSTRIAL: Moody's Upgrades Long-Term Rating to 'Ba2' ------------------------------------------------------------ Moody's Investors Service upgraded Banco Industrial S.A.'s (Industrial) long term foreign currency deposit rating to Ba2, from Ba3, following a similar action on the Guatemalan country ceiling for deposits. The rating remains constrained by the country ceiling. This action does not affect the bank's D bank financial strength rating, Baa3/Prime-3 long/short term local currency deposit ratings, or the B1 foreign currency subordinated debt rating for the bank's Tier One capital notes, all of which remain with stable outlooks. The last action taken on Banco Industrial's ratings was on February 10, 2010, when Moody's concluded its review of Industrial's hybrid securities rating, lowering the foreign currency subordinated debt rating by one notch to B1, from Ba3. Banco Industrial S.A is headquartered in Guatemala City, Guatemala, and reported consolidated assets of GTQ 37.7 billion (US$4.53 billion) and equity of GTQ 3.6 billion (US$429.75 million) as of December 31, 2009. This rating was affected: * Long term foreign currency deposit rating upgraded to Ba2, from Ba3 * GUATEMALA: Moody's Raises Government Bond Rating to 'Ba1' ----------------------------------------------------------- Moody's Investors Service raised Guatemala's foreign currency government bond rating to Ba1 from Ba2 and affirmed its domestic currency bond rating at Ba1. The outlook on the ratings is stable. "The upgrade of the foreign currency bond rating unifies that rating with its domestic currency counterpart," said Moody's Vice President Gabriel Torres. "This action reflects Moody's view that, with rare exceptions, a government is equally likely to default on its domestic and foreign currency obligations." The Ba1 ratings balance Guatemala's credit strengths, which include a stable macroeconomic environment supported by prudent fiscal and monetary policies, with its credit weaknesses, which include comparatively low levels of economic development, challenges in raising taxes, and substantial social and infrastructure needs. The country has a long track record of fiscal responsibility. Government deficits averaged only 1.7% of GDP since 2002, although they have trended higher in the last two years. A manageable debt burden and limited debt-rollover risk, given the prevalence of multilateral funding, are further elements that support the rating. Guatemala's debt-to-GDP ratio of 23% compares favorably with the 45% of similarly rated countries. But despite above-trend growth prior to the world crisis, Guatemala's economy more recently has lagged similarly rated sovereigns. Average GDP growth since 2003 was 3.6%, not enough to make significant inroads on the country's large social and infrastructure needs. The ratings are also constrained by the government's historical difficulties raising tax revenues over the 10% of GDP mark, which limits fiscal flexibility. Guatemala's country ceilings for foreign currency bonds and foreign currency deposits have also been lifted to Baa3 from Ba1 and to Ba2 from Ba3, respectively. The country's A3 local currency bond and local currency bank deposit ceilings were affirmed. All the ratings have a stable outlook. The last rating action on Guatemala was implemented on December 18 2008, when Moody's changed the outlook on the Ba2 foreign currency rating from positive to stable. =========== M E X I C O =========== BANCO DEL BAJIO: Fitch Affirms 'BB+' Issuer Default Rating ---------------------------------------------------------- Fitch Ratings has affirmed Mexico's Banco del Bajio's ratings: Bajio: -- Long-term Issuer Default Rating at 'BB+'; -- Short-term IDR at 'B'; -- Long-term local currency IDR at 'BB+'; -- Short-term local currency IDR at 'B'; -- Individual rating at 'C/D'; -- Support at '5'; -- Support Rating Floor at 'NF'; -- National-scale long-term rating at 'A+(mex)'; -- National-scale short-term rating at 'F1(mex)'. The Rating Outlook is Stable, including for the national-scale rating, which was revised from Positive. Bajio's ratings reflect its good franchise in its core region, adequate loss absorption capacity, relatively modest risk appetite and good performance of its originated loans. They also consider fierce competition and the recently growing credit costs in the acquired mortgage portfolios, as well as ongoing challenges to further improve revenue diversification and its funding mix. Like most banks, Bajio's net income was significantly affected during the recent downturn, but in Fitch's opinion, it should be able to restore historical profitability levels (at least partially) relatively rapid, given its well-sustained margins, adequate operating efficiency and the event-driven nature of most loan loss provisions. The impairment level within the mortgage portfolio has continued to worsen at a quick pace, with the delinquency ratio reaching 14.3% at first quarter 2010 (1Q'10) (YE2008: 10.3%). Bajio's funding profile has been very stable, with deposits and money market funds accounting for 82% of total liabilities as of 1Q'10, but the loans/deposits ratio at 145% is higher and relatively riskier than that of its closest peers. Capital growth has been in line with the sustained expansion in assets and loans. Bajio's capital base is largely unencumbered core capital. In Fitch's view, Bajio's Individual rating and IDRs would be positively influenced over time by sustained improvements in core profitability, revenue diversification, funding and liquidity, while maintaining capital and asset quality metrics. In turn, downward pressure for the ratings could arise from a potential decrease in its loss absorption capacity and/or inability to contain weakening asset quality. Bajio is a medium-sized bank created in Leon, Guanajuato in 1994 by a group of regional investors to serve customers in western/central Mexico, where it maintains a strong and growing competitive position. Initially focused on small and medium enterprises and agriculture financing, it has grown increasingly diversified, with commercial and mortgage loans being its core products at present. Spain's Banco de Sabadell holds a 20% stake in Bajio, and the World Bank's IFC, 10%. Bajio wholly owns Financiera Bajio, the resulting entity of two mortgage companies acquired in the past, as well as a venture capital vehicle or SINCA (real estate holdings) and a 50% stake in Afore Afirme Bajio (pension management). Bajio has continued to rapidly grow its distribution network to 199 branches and 331 ATMs at 1Q'10. BANCA MIFEL: S&P Affirms Counterparty Credit Rating at 'BB-/B' -------------------------------------------------------------- Standard & Poor's Rating Services said that it has affirmed its 'BB-/B' counterparty credit and certificate of deposit ratings on Banca Mifel S.A. At the same time, S&P affirmed its 'mxBBB+/mxA- 2' national scale counterparty credit rating on Mifel. Both outlooks are stable. S&P also affirmed its 'B-' rating on Mifel's $100 million perpetual, noncumulative, nonpreferred subordinated notes. "The ratings on Mexico-based Mifel reflect the bank's weak capitalization, pressured profitability, and growing competition within the Mexican banking system. Offsetting these negative factors are its improving, albeit still weak, asset quality indicators, a stable and loyal client base, and its capable management," said Standard & Poor's credit analyst Laurence Wattraint. "The ratings on Mifel's notes reflect their subordination, the potential deferment of interest payments, and the bank's overall financial strength." Over the past two years, Mifel has expanded more than doubled its total assets, diversifying its client base, and S&P expects further expansion during 2010, although at a slower pace. While Mifel's asset quality indicators showed some improvement over the past three years, they still registered deterioration due to greater restructuring, with NPAs up to 5.56% as of March 31, 2010, and 5.87% at year-end 2009. The portfolio's growth has helped improve the bank's NPA ratio. The Mexican economy is still weak, and pressure is rising in the real estate sector, where the bank has made much of its restructuring. Therefore, S&P expects Mifel's asset quality indicators to remain low during 2010. The stable outlook reflects the bank's adequate funding and capable management, as well as its weak capitalization and pressured profitability. "The ratings could come under pressure if core capitalization further declines, or if its asset quality and profitability deteriorate more than S&P expect. On the other hand, a sharp boost in capitalization and sustained profitability could trigger a positive rating action on the local scale," Ms. Wattraint added. CEMEX SAB: Deal With Penna Cements Runs Into Valuation Issues ------------------------------------------------------------- CEMEX, S.A.B. de C.V.'s bid to take over Hyderabad-based Penna Cements met a roadblock when both parties failed to arrive at an acceptable pricing, DNA News reports. The report relates that P Prathap Reddy, a senior Congress leader from Andhra Pradesh, who owns Penna Cements, was in talks with Cemex to sell a majority stake or the whole company. "Penna is seeking a valuation of $160-$170 per tonne. Cemex is ready to cough up only US$140 per tonne at the maximum," an unnamed source tracking the developments told DNA. "The deal was to be signed in May, it was almost in the final stages, but Penna has been insistent on getting more. The Mexican company isn't ready to cough that up," the source added. According to the report, sources in investment banking circles said that the deal was struck at $150-$160 per tonne, far less than the US$200/ tonne Vicat paid for Bharathi. "The age of the plant makes a difference. Bharathi's price at $200 was well within the range since it is a new plant. Penna's plants are comparatively old and would not get the same price," the report quoted the source as saying. The report notes that Mr. Reddy denied that the deal has hit a dead end. "We are yet to start talking so there is no way the deal can be called off. In fact, if all goes well, we will start talking in the next 10 days," the report quoted Mr. Reddy as saying. About CEMEX SAB CEMEX, S.A.B. de C.V. is a Mexican corporation, a holding company of entities which main activities are oriented to the construction industry, through the production, marketing, distribution and sale of cement, ready-mix concrete, aggregates and other construction materials. CEMEX is a public stock corporation with variable capital (S.A.B. de C.V.) organized under the laws of the United Mexican States, or Mexico. * * * As of May 20, 2010, the company continues to carry Standard and Poor's "B" LT Issuer credit ratings. The company also continues to carry Fitch rating's "B" LT Issuer Default ratings and "B+" Currency LT Debt ratings. Cemex is seeking US$1.3 billion in compensation for the seizure of its assets. The government of President Hugo Chavez has offered about a third of that. TEMPLETON EMERGING: Moody's Withdraws 'Ba' and 'MR5' Rating ----------------------------------------------------------- Moody's Investors Service has withdrawn its Ba and MR5 rating assigned to Templeton Emerging Markets Bond Fund, S.A. de C.V. (FT-EMER) managed by Franklin Templeton Asset Management Mexico, S.A. de C.V., Sociedad Operadora de Sociedades de Inversion, S.A. de C.V., for business reasons. At the same time Moody's de Mexico has withdrawn its A.mx. rating in Mexican National scale and A credit rating and 7 (very high) market risk rating under the Mexican authority, Comision Nacional Bancaria y de Valores, homogeneous scale. Previous rating action of FT-EMER fund was on March 30, 2009, when Moody's assigned initial ratings to the fund. TRANTEL INTERMEDIA: Fitch Withdraws 'D' Rating After Default ------------------------------------------------------------ Fitch Ratings has withdrawn 'D' ratings of Trantel Intermedia S.A. given the lack of information following the company's default on Dec. 23, 2008, and consistent with Fitch's policies. Fitch will no longer provide ratings or credit research on this issuer. ======= P E R U ======= DOE RUN PERU: Should Resume Operations Before July 27, Govt. Says ----------------------------------------------------------------- The Peruvian government could retain US$250 million of Doe Run Peru's assets if it does not complete the pending environmental projects in La Oroya, Isabel Guerra at LivinginPeru.com reports, citing unnamed spokespersons from the Ministry of Energy and Mining. According to the report, after a meeting held on May 31, 2010, both parties agreed on executing retention of assets if Doe Run does no comply with the environmental cleanup in 30 months. The report relates that the parties also agreed on the terms of selling these assets to other parties and that Doe Run will not participate in eventual auctions. The report notes that the Ministry of Energy and Mining said that Doe Run Peru has time until July 27 to resume operations: if it does not, it will be closed. As reported in the Troubled Company Reporter-Latin America on April 30, 2010, Mining Weekly said that Doe Run Peru been given until end of July to prepare for a restart of its La Oroya smelter, but the government of Peru warned that there would be penalties if the new deadline is not met. According to a TCRLA report on January 26, 2010, Bloomberg News said that Doe Run Peru is "close" to reaching an agreement on US$156 million of debt to reopen its zinc and lead smelter. The report recalled that Doe Run Peru filed for a government-monitored financial restructuring because it was worried creditors might try to freeze its assets or operations. Reuters related that Doe Run Peru owes some US$100 million to its suppliers and needs to spend another US$150 million to clean up La Oroya. About Doe Run Peru Doe Run Company operates an integrated primary lead operation and a recycling operation located in Missouri, referred to as Buick Resource Recycling. Fabricated Products operates a lead fabrication operation located in Arizona and a lead oxide business located in Washington. Doe Run Peru is a subsidiary of the company. Doe Run Peru operates a polymetallic smelter at La Oroya and copper mine at Cobriza both in Peru. * * * As of May 21, 2009, the company continues to carry Moody's bank financial strength at D- and Fitch Ratings' individual rating at D. ==================== P U E R T O R I C O ==================== FIRSTBANK PUERTO RICO: Seeks to Foreclose on Gables Condo Project ----------------------------------------------------------------- FirstBank Puerto Rico has filed a foreclosure lawsuit against the stalled Say Gables condominium project in Coral Gables, South Florida Business Journal reports. According to the report, citing Miami-Dade County Circuit Court records, the action was filed May 21, 2010, against Say Gables Investments and managing member Ricardo Sayegh. The report relates that the action involved a US$6 million mortgage that matured in June 2009. The report notes that the developer obtained approval for 104 condo units in 90,000 square feet at 1501 S.W. 37th Ave. (Douglas Road). The report relates that the two retail buildings were demolished, but work on the condominium never started. West Palm Beach attorney Scott B. Newman represents FirstBank Puerto Rico in the lawsuit. About FirstBank Puerto Rico FirstBank Puerto Rico is a full-service bank. The bank accepts deposits, makes loans, and provides other services for the public. * * * As reported in the Troubled Company Reporter-Latin America on April 29, 2010, Standard & Poor's Ratings Services said it placed its 'B' long-term counterparty rating on FirstBank Puerto Rico on CreditWatch with negative implications. ================= V E N E Z U E L A ================= * VENEZUELA: Government Seizes Control of 3 More Brokerages ----------------------------------------------------------- Venezuela's government has seized control of three more brokerage firms -- BBO Casa de Bolsa, Strategos Sociedad de Corretaje and Innova Capital -- amid a crackdown on currency trading ordered by President Hugo Chavez, The Associated Press reports. The report relates that the National Securities Commission said that the brokerages violated regulations for the trading of government bonds. According to the report, the recent takeovers bring the number of brokerages that have been brought under government control to 36. President Chavez, the report notes, accuses brokerages of "speculative" trading that has boosted inflation and eroded the value of Venezuela's currency. Over 100 brokerages operate in Venezuela. As reported in the Troubled Company Reporter-Latin America on June 1, 2010, Bloomberg News said that Venezuela will prohibit brokerages from buying and selling government debt in bolivars as part of a new capital markets law to be presented this week. Brokerages will still be allowed to trade in commercial debt and company stock, Mr. Sanguino told Bloomberg in a phone interview. "The bill will try to limit brokerages to operations with commercial paper and stock from the private sector and remove them from debt operations issued by the government," the report quoted Mr. Sanguino as saying. * * * According to Moody's Investors Service, Venezuela continues to carry a B2 foreign currency rating and a B1 local currency rating with stable outlook. =============== X X X X X X X X =============== * Upcoming Meetings, Conferences and Seminars --------------------------------------------- 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. 6-8, 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/ October 25-27, 2011 TURNAROUND MANAGEMENT ASSOCIATION Hilton San Diego Bayfront, San Diego, CA Contact: http://www.turnaround.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 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 * * *