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                      L A T I N  A M E R I C A

              Monday, June 21, 2010, Vol. 11, No. 120

                            Headlines



A N T I G U A  &  B A R B U D A

STANFORD INT'L: Vantis Troubles Not Hurting Firm's Liquidation
LIAT LIMITED: Pilots' Strike Continues


A R G E N T I N A

3232SENSEI: Creditors' Proofs of Debt Due on August 23
BANCO SANTANDER: Fitch Affirms Individual Rating at 'D'
ESTRELLA FEDERAL: Creditors' Proofs of Debt Due on August 27
FIDEICOMISO FINANCIERO: Moody's Assigns 'Ba1' Currency Rating
METROGAS SA: Files For Bankruptcy Protection in Argentina

METROGAS SA: Moody's Downgrades Corporate Family Rating to 'Ca'
NAZAR Y CIA: Creditors' Proofs of Debt Due on August 2
PRODUCTOS TEXTILES: Creditors' Proofs of Debt Due on August 27
S 24: Creditors' Proofs of Debt Due on July 6
SOLARES DE TIGRE: Creditors' Proofs of Debt Due on August 11


B E R M U D A

SERVISEN PRIVATE: Creditors' Proofs of Debt Due on July 5
SERVISEN PRIVATE: Members' Final Meeting Set for July 21
CENTAUR INVESTMENTS: Creditors' Proofs of Debt Due on July 5
CENTAUR INVESTMENTS: Members' Final Meeting Set for July 21


B R A Z I L

BROOKFIELD INCORPORACOES: TO Create Joint Venture With IFC
CAIXA ECONOMICA: To Issue Copasa's BRL1.35BB Non-Convertible Bond
COSAN SA: S&P Retains 'BB-' Rating on CreditWatch Positive


C O L O M B I A

* COLOMBIA: May Crude Output Rises 19% On Year to 776,000Bbl/D


G U A T E M A L A

* GUATEMALA: Country's Economic Recovery is Firming Up


J A M A I C A

AIR JAMAICA: Ends Code Share Agreement With Virgin Atlantic
AIR JAMAICA: United States Extends Airline's Waiver
DIGICEL GROUP: Acquires Sister Company Digicel Pacific
DIGICEL LIMITED: Records US$2.2BB Revenue in Year-Ended March 31


M E X I C O

GRUPO PETROTEMEX: Fitch Affirms Issuer Default Rating at 'BB+'
METRO COUNTRY: S&P Assigns 'B-' Corporate Credit Rating
SANLIUS CORP: Units Reach Deal to Refinance US$125MM Bank Loans


P U E R T O  R I C O

FIRST BANCORP: Parent Formalizes Agreements With Regulators


V E N E Z U E L A

CITGO PETROLEUM: To Pay 12% for 7 Year Debt


X X X X X X X X

* BOND PRICING: For the Week June 7, to June 11, 2010




                         - - - - -


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


STANFORD INT'L: Vantis Troubles Not Hurting Firm's Liquidation
--------------------------------------------------------------
Despite the financial troubles facing British accounting firm
Vantis Plc, two of its employees who are fighting to stay on the
Stanford International Bank liquidation are insisting they're
still equipped to handle the job, Caribbean360.com report.  The
report relates that Nigel Hamilton-Smith and Peter Wastell sought
to give that assurance as recent media reports highlighted the
problems facing Vantis Plc.

According to the report, Vantis said earlier this month that it's
looking for investors to buy into the firm as it tries to reduce
its debt.  The report relates that the company's shares were
suspended this week.

Mr. Hamilton-Smith and Mr. Wastell, the report notes, are
insisting that isn't hurting their work as SIB liquidators.

"Contrary to the speculation surrounding the future of Vantis, the
Joint Liquidators wish to confirm that all necessary resources
remain available to them to continue the liquidation process in
the interests of the investors and creditors of SIBL," the
liquidators said in a press release obtained by the news agency.
The report relates that they also confirmed that they have filed
an application in the High Court for a stay of the decision to
remove them as liquidators, pending an appeal to the Eastern
Caribbean Court of Appeal.

As reported in the Troubled Company Reporter-Latin America on
June 14, 2010, Mr. Hamilton-Smith and Mr. Wastell had been removed
from office following a decision by the High Court of Antigua on
June 8, 2010.  Alternative liquidators are appointed.  A written
judgment has not been handed down by the Antiguan Court.  The
Joint Liquidators have been advised by their legal counsel that
the basis of the decision, which has as yet only been given orally
by the Judge, was incorrect and that it should be urgently
appealed to the Eastern Caribbean Court of Appeal.

Carribbean360.com says that Mr. Hamilton-Smith and Mr. Wastell
said that while the ruling is challenged, they and their advisers
will "continue to focus their efforts on securing and realising
the assets of SIBL, as well as progressing the approval of the co-
operation agreement with the U.S. Receiver, Ralph Janvey, which
will further assist the liquidation for the benefit of the
investors and creditors of SIBL."  The report notes that under
that deal with Mr. Janvey, the U.S. Receiver would control the
SIBL assets in the U.S. and Canada and Hamilton-Smith and Wastell
would take charge of those in Antigua and the United Kingdom.

However, the agreement still has to get approval from the courts
Antigua and Barbuda and in Texas to take effect, the report adds.

                          About Vantis

Vantis Business Recovery Services --- http://www.vantisplc.com/--
is a trading division of Vantis Group Ltd, which is regulated by
the Institute of Chartered Accountants in England and Wales for a
range of investment business activities.  Vantis Group Ltd is a
Vantis plc group company.

Vantis is the AIM listed UK accounting, tax and business advisory
group.

                 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).


LIAT LIMITED: Pilots' Strike Continues
--------------------------------------
LIAT Limited pilots vowed to continue with their strike until
their concerns are addressed, RadioJamaica reports.  The report
relates travelers were stranded across the Caribbean for yet
another day as a result of the strike by LIAT pilots.

According to the report, there is no word yet on when the strike
will end.

As reported in the Troubled Company Reporter-Latin America on
June 18, 2010, Canadian Business News said that the LIAT Limited
is canceling more than 100 flights as pilots call in sick over a
long-running pay dispute, Canadian Business News reports.
According to the report, airline spokesman Desmond Brown said it
appears none of the 137 flights scheduled for Wednesday will be
able to take off.  Mr. Brown, the report related, said that more
than 3,000 travelers were booked on those flights.

RadioJamaica says that the pilots are angry at what they say is
management's failure to settle outstanding matter relating to
holiday pay, pension funds among other issues.  However, the
report relates, LIAT's board of directors said that they are
referring their concerns to the Antiguan Government where the
airline is based and to the arbitration panel.

"We are not giving up the money; we are not giving up what we are
entitled to.  With respect to working on public holidays and
premium pay, that goes back very, very far, the extent to how far
it goes back is the subject of negotiation but it is not a
question of writing off anything.  The company must accept that
they owe the money and they are liable," the report quoted Leeward
Islands Airline Pilots Association (LIALPA) Chairman Michael
Blackburn as saying.


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


3232SENSEI: Creditors' Proofs of Debt Due on August 23
------------------------------------------------------
The court-appointed trustee for 3232Sensei S.R.L.'s reorganization
proceedings will be verifying creditors' proofs of claim until
August 23, 2010.


BANCO SANTANDER: Fitch Affirms Individual Rating at 'D'
-------------------------------------------------------
Fitch Ratings affirms Banco Santander Rio S.A.'s ratings:

  -- Individual rating at 'D';
  -- Support rating at '5';
  -- Long-term national rating at 'AA(arg)';
  -- Short-term national ratings at 'A1+(arg)'.

The Rating Outlook is Stable.

The bank's US$1 billion and US$500 million debt issuance programs
were also affirmed at 'AA(arg)'.

The ratings reflect Santander Rio's good franchise in Argentina,
its improved profitability and its sound asset quality.  They also
take into account ownership by Spain's Banco Santander (Santander,
rated 'AA') as well as the volatile environment in Argentina.

Santander Rio's profitability has significantly improved, based on
growing interests and fees, as well as high results from its
securities portfolio in the past three quarters, which compensated
for rising costs.  Fitch expects its performance to remain strong,
although it could be affected by market volatility.

Santander Rio's asset quality is sound and has improved in the
past two quarters after showing some deterioration in 1H'09.  Non-
performing loans were 1.94% of the total at March 31, 2010, and
loan loss reserve coverage was 140.67%.  Fitch expects Santander
Rio's asset quality ratios to remain healthy in line with the
better outlook for the economy in 2010 and as loan demand is
expected to be strong.

Santander Rio's liquidity remains ample and its funding was
comprised primarily of deposits.  Its capital base is adequate and
has been supported by its improving profitability.

Santander Rio is 99.3% owned by Santander.  It is a universal
bank, offering a wide range of financial services through its 255
branches.  It was Argentina's largest private sector bank by loans
and deposits at March 31, 2010.


ESTRELLA FEDERAL: Creditors' Proofs of Debt Due on August 27
------------------------------------------------------------
The court-appointed trustee for Estrella Federal Seguridad Privada
Integral S.R.L.'s bankruptcy proceedings will be verifying
creditors' proofs of claim until August 27, 2010.

The trustee will present the validated claims in court as
individual reports on September 27, 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
proceedings 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 9, 2010.


FIDEICOMISO FINANCIERO: Moody's Assigns 'Ba1' Currency Rating
-------------------------------------------------------------
Moody's Latin America has assigned a rating of Aaa.ar (Argentine
National Scale) and of Ba1 (Global Scale, Local Currency) to the
Class A Fixed Rate and Floating Rate Debt Securities of
Fideicomiso Financiero Supervielle Creditos Banex XXXVI issued by
Deutsche Bank S.A. -- acting solely in its capacity as Issuer and
Trustee.

Moody's also assigned ratings of Ba1.ar (Argentine National Scale)
and Caa1 (Global Scale, Local Currency) to the Class C Fixed Rate
Securities; and ratings of Caa2.ar (Argentine National Scale) and
Caa3 (Global Scale, Local Currency) to the subordinated
Certificates.

                       The Securitized Pool

The rated securities are payable from the cash flow coming from
the assets of the trust, which is an amortizing pool of
approximately 21,393 eligible personal loans denominated in
Argentine pesos, with a fixed interest rate, originated by Banco
Supervielle, in an aggregate amount of ARS 80,002,257.

These personal loans are granted to pensioners that receive their
monthly pensions from ANSES (Argentina's National Governmental
Agency of Social Security - Administración Nacional de la
Seguridad Social).  The pool has also a percentage of loans
granted to government employees of the Province of San Luis.
Banco Supervielle is the payment agent entity and automatically
deducts the monthly loan installment directly from the employee's
paycheck and pensioner's payment.

                            Structure

Deutsche Bank S.A. (Issuer and Trustee) issued three classes of
Debt Securities (Class A Fixed Rate Securities, Floating Rate
Securities and Class C Fixed Rate Securities) and one class of
Certificates, all denominated in Argentine pesos.

The Class A Fixed Rate Debt Securities will bear a fixed interest
rate of 11.75%.  The Floating Rate Debt Securities will bear a
BADLAR interest rate plus 340 basis points.  The Floating Rate
Debt Securities' interest rate will never be higher than 20% or
lower than 12%.  The Class C Fixed Rate Securities will bear a
fixed interest rate of 19%.

Overall credit enhancement is comprised of subordination: 67% for
the Class A Fixed Rate Debt Securities, 15% for the Floating Rate
Securities and 5% for the Class C Fixed Rate Securities.  In
addition the transaction has various reserve funds and excess
spread.

                         Rating Rationale

Moody's considered the credit enhancement provided in this
transaction through the initial subordination levels for each
rated class, as well as the historical performance of
Supervielle's portfolio.  In addition, Moody's considered factors
common to consumer loans securitizations such as delinquencies,
prepayments and losses; as well as specific factors related to the
Argentine market, such as the probability of an increase in losses
if there are changes in the macroeconomic scenario in Argentina,
in addition to other qualitative factors.

These factors were incorporated in a cash flow model that takes
into account all the relevant features of the transaction's assets
and liabilities.  Monte Carlo simulations were run, which
determines the expected loss for the rated securities.

In assigning the rating to this transaction, Moody's assumed a
triangular distribution for losses centered around the most likely
scenario of 10%.  Also, Moody's assumed a triangular distribution
for the prepayments centered around a most likely scenario of 20%.

Moody's also considered the risk that a disruption in the flow of
payments from ANSES or the Government of San Luis to pensioners
and employees respectively, could severely affect the performance
of the pool.  Moody's believes that the ratings assigned are
consistent with this risk.

Finally, Moody's also evaluated the back-up servicing arrangements
in the transaction.  If Banco Supervielle is removed as servicer,
Deutsche Bank S.A. (Argentina) will be appointed as the back-up
servicer.

                          Rating Action

Originator: Banco Supervielle S.A.

  -- ARS26,400,000 in Class A Fixed Rate Debt Securities of
     "Fideicomiso Financiero Supervielle Creditos Banex XXXVI",
     rated Aaa.ar (Argentine National Scale) and Ba1 (Global
     Scale, Local Currency)

  -- ARS41,600,000 in Floating Rate Debt Securities of
     "Fideicomiso Financiero Supervielle Creditos Banex XXXVI",
     rated Aaa.ar (Argentine National Scale) and Ba1 (Global
     Scale, Local Currency)

  -- ARS8,000,000 in Class C Fixed Rate Debt Securities of
     "Fideicomiso Financiero Supervielle Creditos Banex XXXVI",
     rated Ba1.ar (Argentine National Scale) and Caa1 (Global
     Scale, Local Currency)

  -- ARS4,000,000 in Certificates of "Fideicomiso Financiero
     Supervielle Creditos Banex XXXVI", rated Caa2.ar (Argentine
     National Scale) and Caa3 (Global Scale, Local Currency)


METROGAS SA: Files For Bankruptcy Protection in Argentina
---------------------------------------------------------
Taos Turner at Dow Jones Newswires reports that Metrogas SA has
filed for bankruptcy protection in Argentine court.  The report
relates that the company, which has been plagued with debt
problems, cited "an urgent need" to for the government to increase
the rates it charges to customers.  Metrogas SA described the
bankruptcy filing as similar to a Chapter 11 filing in the U.S.

According to the report, electricity and natural gas rates largely
have been frozen since Argentina's 2001-2002 financial melt down.
The report relates Metrogas SA said its own rates haven't
increased in the past 11 years, and during that time, its
operating costs have more than tripled.

Metrogas SA, the report notes, said that it will continue to
distribute gas to customers "in a safe, efficient and reliable
manner."

Dow Jones Newswires discloses that Metrogas SA has warned several
times in recent months that it faces financial difficulties and
may not be able to make debt payments.  The company, the report
relates, said in November that cash was running low.

The Argentine government, the report states, has said it would
step in to oversee the company if it entered default to ensure
supplies were maintained.

Metrogas' American Depositary Receipts stopped trading shortly
before the announcement, the report adds.

                         About Metrogas SA

Metrogas SA is an Argentinean gas distribution utility, with
operations in the capital city and the southern area of Buenos
Aires Province, which is one of the biggest concession areas in
terms of number of clients and annual revenues of ARS 780 million.
Metrogas is controlled by GASA, a holding company that is
controlled by BG (54.7%; A2 Stable) and YPF (45.3; Ba1, Sta.).

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 16, 2010, Moody's has assigned Caa3 global scale ratings and
Caa3.ar national scales ratings to Metrogas S.A. up to US$600
million MTM Program.  The outlook for all the ratings is negative.


METROGAS SA: Moody's Downgrades Corporate Family Rating to 'Ca'
---------------------------------------------------------------
Moody's Latin America has downgraded the corporate family rating
and senior unsecured foreign currency ratings of Metrogas S.A. to
Ca from Caa3 and the national scale rating to D.ar from Caa3.ar
following the company's formal announcement of its filing for
reorganization proceedings under Argentine Law (similar to US
Chapter 11).  Following this rating action, Moody's will withdraw
the company's ratings.

Lowered ratings include:

Metrogas' Corporate Family Rating

  -- US$ 600 million Global MTM Program
  -- 2014 US$ 6.25 million notes, Series 2 Class A
  -- 2014 US$ 236.29 million notes, Series 1
  -- 2014 Euro 26.07 million notes, Series 2 Class B

The combination of a lack of tariff increases for more than 10
years and growing inflation has had a negative impact on Metrogas'
operating margins and cash generation.  In October, 2008 the
government announced a provisional tariff increase for Metrogas'
distribution margin that was never implemented.

"While the announced provisional tariff increase, if implemented,
would have helped to alleviate Metrogas' tight liquidity position,
cash flow generation for required debt service would have remained
weak" said Moody's Vice President Senior Analyst, Daniela Cuan.

Earlier this year, the company announced it had hired Barclays as
it financial advisor in order to find alternatives to address its
outstanding debt and reach an agreement with its main creditors.
However, this agreement was not possible and therefore the company
decided to filed for reorganization proceedings under Argentine
Law (similar to US Chapter 11).

The last rating action on Metrogas occurred on March 12, 2010,
when Moody's rate Caa3/Caa3.ar with a negative outlook Metrogas
MTM Program.

Metrogas is an Argentinean gas distribution utility, with
operations in the capital city and the southern area of Buenos
Aires Province, which is one of the biggest concession areas in
terms of number of clients and annual revenues of ARS 880 million.
Metrogas is controlled by GASA, a holding company that is
controlled by BG Energy Holdings (54.7%; A2, Stable) and YPF S.A.
(45.3%; Ba1, Stable).


NAZAR Y CIA: Creditors' Proofs of Debt Due on August 2
------------------------------------------------------
The court-appointed trustee for Nazar y Cia. S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
August 2, 2010.

The trustee will present the validated claims in court as
individual reports on September 15, 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
proceedings 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
October 28, 2010.


PRODUCTOS TEXTILES: Creditors' Proofs of Debt Due on August 27
--------------------------------------------------------------
The court-appointed trustee for Productos Textiles S.A.'s
bankruptcy proceedings will be verifying creditors' proofs of
claim until August 27, 2010.

The trustee will present the validated claims in court as
individual reports on October 8, 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
proceedings 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 19, 2010.


S 24: Creditors' Proofs of Debt Due on July 6
---------------------------------------------
The court-appointed trustee for S 24 S.A.'s bankruptcy proceedings
will be verifying creditors' proofs of claim until July 6, 2010.

The trustee will present the validated claims in court as
individual reports on September 2, 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
proceedings 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
October 15, 2010.


SOLARES DE TIGRE: Creditors' Proofs of Debt Due on August 11
------------------------------------------------------------
The court-appointed trustee for Solares de Tigre S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
August 11, 2010.

The trustee will present the validated claims in court as
individual reports on September 23, 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
proceedings 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 5, 2010.


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B E R M U D A
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SERVISEN PRIVATE: Creditors' Proofs of Debt Due on July 5
---------------------------------------------------------
The creditors of Servisen Private Equity Fund III Limited are
required to file their proofs of debt by July 5, 2010, to be
included in the company's dividend distribution.

The company commenced wind-up proceedings on June 15, 2010.

The company's liquidator is:

         Jennifer Y. Fraser
         Canon's Court, 22 Victoria Street
         Hamilton, Bermuda


SERVISEN PRIVATE: Members' Final Meeting Set for July 21
--------------------------------------------------------
The members of Servisen Private Equity Fund III Limited will hold
their general meeting on July 21, 2010, at 9:30 a.m., to receive
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company commenced wind-up proceedings on June 15, 2010.

The company's liquidator is:

         Jennifer Y. Fraser
         Canon's Court, 22 Victoria Street
         Hamilton, Bermuda


CENTAUR INVESTMENTS: Creditors' Proofs of Debt Due on July 5
------------------------------------------------------------
The creditors of Centaur Investments Limited are required to file
their proofs of debt by July 5, 2010, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on June 15, 2010.

The company's liquidator is:

         Jennifer Y. Fraser
         Canon's Court, 22 Victoria Street
         Hamilton, Bermuda


CENTAUR INVESTMENTS: Members' Final Meeting Set for July 21
-----------------------------------------------------------
The members of Centaur Investments Limited will hold their general
meeting on July 21, 2010, at 9:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company commenced wind-up proceedings on June 15, 2010.

The company's liquidator is:

         Jennifer Y. Fraser
         Canon's Court, 22 Victoria Street
         Hamilton, Bermuda


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


BROOKFIELD INCORPORACOES: TO Create Joint Venture With IFC
----------------------------------------------------------
Brookfield Incorporacoes SA and International Finance Corporation,
or IFC, will create a joint venture in Brazil to build low-income
housing, Rogerio Jelmayer at Dow Jones Newswires reports, citing a
company statement.

According to the report, IFC will control 10% in the joint venture
after a capital injection of up to BRL30.3 million (US$16.9
million).  The report relates that the company will control a 90%
stake in the new company.

The joint venture, the report notes, will focus on low-income
housing developments under the government program called Minha
Casa Minha Vida.  The report says that in addition, Brookfield
Incorporacoes said it will obtain a seven-year loan worth BRL54.5
million from IFC.

                 About Brookfield Incorporacoes

Brookfield Incorporacoes SA (former Brascan Residential Properties
SA) is a Brazil-based company engaged in real estate sector. The
Company is the developer of high-end and luxury residential
buildings, houses, as well as office buildings in Sao Paulo and
Rio de Janeiro metropolitan regions.  Its operations include land
acquisition, planning, construction, sales, financing, customer
service, design, development and management of real estate
projects targeted at mainstream, luxury homebuyers.  The company's
buildings include Reserva de Itauna, Edificio San Francisco,
Chacara de Pinheiros, Time Square and Saint Tropez, among others.
As of June 22, 2009, the Company had its name changed after the
merger of three companies: Brascan Residential, Company and MB
Engenharia.  The company's major shareholder is Brookfield Asset
Management.  In July 2009, Companhia Energetica de Minas Gerais
95% interest in the company.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
September 1, 2009, Fitch Ratings has assigned the national long-
term debt rating of 'A+(bra)' to the proposed first simple
debentures issuance, not convertible into shares, of Brookfield
Incorporacoes S.A. (Brookfield Incorporacoes), in the total amount
of BRL100 million, with final maturity on September 1, 2013.  The
proceeds will be used for company general purposes.  Fitch has
already rated Brookfield Incorporacoes' foreign and local currency
Issuer Default Ratings 'BB-', and national long-term rating 'A+
(bra)'.  The Rating Outlook of the corporate ratings is Negative.


CAIXA ECONOMICA: To Issue Copasa's BRL1.35BB Non-Convertible Bond
-----------------------------------------------------------------
Shareholders of Brazil's Minas Gerais state water utility Copasa
have approved a BRL1.35 billion (US$757 million) non-convertible
bond issue, Business News Americas reports, citing Agencia Estado.

According to the report, Caixa Economica Federal Banco Nacional de
Desenvolvimento Economico e Social SA will issue the bonds.

Caixa Economica, the report notes, will subscribe BRL605 million
in 20-year bonds that will yield the local interbank rate plus 9%
annually.  The report relates that BNDES and its equity arm
BNDESPAR will subscribe the remaining BRL741 million in bonds,
which will mature in 2022 and yield 1.55% annually above the long-
term interest rate.

Agencia Estado, the report discloses, said that the proceeds of
the bond issue will be used to expand Copasa's water and sewage
systems.

Copasa supplies potable water in 611 municipalities to about 12.6
million customers and provides sewage services in 194
municipalities to some 7.1 million customers.

                      About Caixa Economica

Headquartered in Brasilia, Caixa Economica Federal --
http://www.caixa.gov.br/-- is a Brazilian bank and one of the
largest government-owned financial institutions in Latin America.
Founded in Jan. 12, 1861, Caixa Economica is the second biggest
Brazilian bank, second only to Banco do Brasil, and offers
services in thousands of Brazilian towns, ranking third in Brazil
in number of branches.  The company has more than 32 million
accounts and controls more than US$170 billion.  It is responsible
for executing policies in the areas of housing and basic
sanitation, the administration of social funds and programs and
federal lotteries.

                           *     *     *

Caixa Economica Federal continues to carry a Ba2 foreign currency
deposit rating from Moody's Investors Service.  The rating was
assigned by Moody's in May 2008.


COSAN SA: S&P Retains 'BB-' Rating on CreditWatch Positive
----------------------------------------------------------
Standard & Poor's Ratings Services said that its 'BB-' long-term
corporate credit ratings on both Cosan S.A. Industria e Comercio
and Cosan Ltd. remain on CreditWatch Positive, where they were
placed Feb. 1, 2010.

Cosan and Shell International Petroleum Co. Ltd., a subsidiary of
Royal Dutch Shell PLC (AA/Stable/A-1+), announced on Feb. 1, 2010,
that they had signed a nonbinding memorandum of understanding for
the creation of a joint venture combining their Brazilian ethanol
and sugar, and fuel-distribution assets.  "The CreditWatch listing
reflects the expected positive effects of the transaction on
Cosan's business and financial profile," said Standard & Poor's
credit analyst Marcelo Schwarz.

S&P continues to believe the transaction will have a positive
impact on Cosan's financial profile.  Assuming the transaction
closes, S&P expects positive effects from Cosan contributing its
net debt to the JV, even though Cosan will not fully control the
cash flows from the combined entity.  The JV will likely improve
liquidity with cash from Shell, and will likely benefit from
stronger cash generation from Shell's downstream assets in Brazil.

The JV will also likely benefit from Cosan's internationalization
strategy and improve its access to capital markets to finance its
growth.  S&P believes that Cosan's association with a partner with
a stronger credit profile is a positive for its overall credit
quality.

S&P expects to resolve the CreditWatch within the next few months
as the proposed transaction develops and S&P obtain a full
understanding of the business and financial implications of the
deal on both Cosan Ltd. and Cosan S.A.


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


* COLOMBIA: May Crude Output Rises 19% On Year to 776,000Bbl/D
--------------------------------------------------------------
Colombia's crude oil output in May rose 19% to an average of
776,000 barrels a day from 653,000 barrels a day a year earlier,
Inti Landauro at Dow Jones Newswires report, citing government
oil-licensing agency ANH.  The report relates that the May output,
which was similar to April's, was also the highest monthly average
since November 1999, when production averaged 795,000 barrels a
day.

According to the report, average output for the first five months
of the year was 764,000 barrels of crude a day.

The report says that Ecopetrol SA and its partner companies
reached an average production in April of 686,000 barrels per day,
a 15% increase from a year earlier.  ANH, Dow Jones Newswires
relates, said that output by companies operating through licensing
agreements stood at 90,000 barrels per day.

In 2009, the report recalls, average crude oil output totaled
671,000 barrels a day, the highest since 2000, when average output
stood at 688,000 barrels a day.

Pacific Rubiales Energy Corp. and Ecopetrol SA managed to boost
production from their Rubiales field in eastern Colombia thanks to
a new pipeline that allows them to ship more oil from the field,
the report adds.


=================
G U A T E M A L A
=================


* GUATEMALA: Country's Economic Recovery is Firming Up
------------------------------------------------------
The Executive Board of the International Monetary Fund on June 16,
2010, concluded the third review of Guatemala's economic
performance under a program supported by an 18-month Stand-By
Arrangement.  The Guatemalan authorities intend to continue
treating the arrangement as precautionary.

The arrangement, in the amount equivalent to SDR 630.6 million
(about US$927.2 million) was approved on April 22, 2009.  With
completion of the review, a total equivalent to SDR588.6 million
(about US$865.4 million) is available for drawing.

Following the Executive Board's discussion on Guatemala, Mr.
Murilo Portugal, Deputy Managing Director and Acting Chair,
stated:

"Guatemala's economic recovery is firming up.  The authorities'
strong policy response to the global crisis, supported by a Stand-
By Arrangement with the Fund, has provided a solid foundation for
the recovery.  With a more benign global outlook, real GDP growth
is expected to exceed 2 percent in 2010, which is significantly
higher than envisaged in the previous review.  Downside risks to
the outlook have declined further and stem mainly from a slower
recovery in the United States and a sharper rise in oil prices.
"Performance under the program has been strong.  All end-December
2009 and end-March 2010 quantitative performance criteria were met
comfortably, and inflation stayed within the inner consultation
band agreed in the program. The 18-month Stand-By Arrangement with
the Fund is expected to remain precautionary.

"Fiscal policy in 2010 has begun withdrawing the stimulus of
previous years, helping contain the public debt-to-GDP ratio.
While revisions to the 2010 spending plan may be necessary once
the assessment of the damage caused by the tropical storm Agatha
is completed, the authorities remain firmly committed to
maintaining medium-term fiscal sustainability.  They are also
aware that implementing a comprehensive revenue-enhancing reform
remains critical to sustain social spending, increase investment,
and keep public debt low.

"The monetary policy stance remains appropriate.  It is important
to remain vigilant and ready to tighten if evidence suggests the
emergence of inflationary pressures.  Exchange rate flexibility
remains essential to absorb shocks and enhance the inflation
targeting framework.

"Continued progress has been made in advancing the financial
sector reform agenda, including implementation of the regulations
on liquidity and foreign-currency credit risk management.
Additional efforts are still needed to increase the resilience of
the financial system, including passage by Congress of the
amendments to the banking law," Mr. Portugal said.


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


AIR JAMAICA: Ends Code Share Agreement With Virgin Atlantic
-----------------------------------------------------------
The code share agreement between Air Jamaica Limited and Virgin
Atlantic Airways has been terminated, Jamaica Observer reports.

According to the report, the agreement under which Air Jamaica
booked passengers on flights operated by Virgin Atlantic between
Jamaica and London Gatwick had been in place since 2007.

"The airlines have agreed to continue the partnership in their
frequent flyer programs allowing passengers on any one airline to
earn and redeem miles on the other," said Virgin Atlantic in a
press release obtained by the news agency.  "Members of the Air
Jamaica 7th Heaven Rewards programme will therefore continue to
enjoy the benefits of travel on Virgin Atlantic," the airline
added.

"Both parties have decided that it is in our best interests to end
the code share agreement at this time," the report quoted Bruce
Nobles, Air Jamaica's President and CEO, as saying.  "For three
years it was a good fit for us, but now our strategic focus is the
transition of Air Jamaica to Caribbean Airlines and the
development of our markets in the US and the Caribbean," he added.

The report adds that with immediate effect, Air Jamaica's bookings
will be transferred to Virgin, and passengers will be individually
contacted with details.

                         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: United States Extends Airline's Waiver
---------------------------------------------------
The United States Department of Transport has extended the period
that Air Jamaica Limited can continue flying to American ports
while the takeover by Caribbean Airlines Limited is finalized,
Jamaica Gleaner reports.

According to the report, Air Jamaica had initially been given a
60-day waiver of the DOT ownership and control standard to permit
it to continue to fly to and from the United States after the
transfer of ownership to CAL.  The report relates that the initial
waiver expired on June 14, 2010, with Air Jamaica requesting an
indefinite extension until "CAL is duly licensed to operate
services between Jamaica and the United States".

The report notes that DOT said it decided to grant the airline a
one-month extension.  "We are taking this action . . . as an
interim matter without a determination on the merits and solely
for the purpose of enabling Air Jamaica to continue operations,
pending our ongoing review of the record in the case," the report
quoted the DOT as saying.

DOT, the report adds, emphasized that its decision to extend the
waiver was not a determination on how it might rule on Air
Jamaica's request for CAL to fly its routes for an indefinite
period.

                         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.


DIGICEL GROUP: Acquires Sister Company Digicel Pacific
------------------------------------------------------
Digicel Group has acquired sister company Digicel Pacific Limited
for US$825 million, paid for with a US$725-million bond issue
completed in March and cash on hand, Jamaica Gleaner reports,
citing group spokeswoman Antonia Graham.

"We believe the acquisition of Digicel Pacific Limited will
provide the group with a dynamic growth engine in exciting, under-
penetrated markets where the Digicel business model is thriving,"
the report quoted Denis O'Brien, Digicel Group founder and owner,
as saying.

According to the report, Mr. O'Brien, two years ago, said there
were at least nine more markets he intended to penetrate in the
Pacific region, some of them volatile countries that are starved
of communication infrastructure.

Ms. Graham, the report notes, said that the DPL acquisition was
executed after the company's March 31, 2010 financial yearend, and
does not form part of the consolidated accounts released this
week.  The consolidation begins this quarter, from April 1, she
added.

                       About Digicel Group

Digicel Group -- http://www.digicelgroup.com-- is renowned for
competitive rates, unbeatable coverage, superior customer care, a
wide variety of products and services and state-of-the-art
handsets. By offering innovative wireless services and community
support, Digicel has become a leading brand across its 31 markets
worldwide.

Digicel is incorporated in Bermuda and now has operations in 31
markets worldwide. Its Caribbean and Central American markets
comprise Anguilla, Antigua & Barbuda, Aruba, Barbados, Bermuda,
Bonaire, the British Virgin Islands, the Cayman Islands, Curacao,
Dominica, El Salvador, French Guiana, Grenada, Guadeloupe, Guyana,
Haiti, Honduras, Jamaica, Martinique, Panama, St Kitts & Nevis,
St. Lucia, St. Vincent & the Grenadines, Suriname, Trinidad &
Tobago and Turks & Caicos. The Caribbean company also has coverage
in St. Martin and St. Barths. Digicel Pacific comprises Fiji,
Papua New Guinea, Samoa, Tonga and Vanuatu.

                           *     *     *

As of January 14, 2010 the company continues to carry these low
ratings from Moody's:

   -- LT Corp Family Rating at B2
   -- Senior Undecured Debt Rating at Caa1
   -- probability of Default at B2


DIGICEL LIMITED: Records US$2.2BB Revenue in Year-Ended March 31
----------------------------------------------------------------
Digicel Group has reported revenues of US$2.2 billion for the year
ended March 31, Trinidad and Tobago Guardian reports.

According to the report, the company said that its revenue figure
represents a 12% gain year on year and a compound annual growth
rate of 24% from 2007 to 2010 when all Digicel markets are
included.  The company, the report relates, said that its
subscribers increased by 15% to 10.8 million across all 32 markets
-- driven, in particular, by major growth in the Central American
and Pacific markets.

The report notes that in terms of Digicel Group Ltd, which
comprises 24 markets across the Caribbean and El Salvador,
revenues were US$1.75 billion-up 1% on year and 5% in constant
currency terms, with earnings EBITDA margin increasing to 43 per
cent, up from 39 per cent the previous year.  "In those 24
markets, Digicel achieved a significant 31% growth in data
revenues year on year while the post-paid subscriber base grew by
a considerable 18% year on year.  Digicel also continued to lead
the way across the region in the provision of BlackBerry services
with BlackBerry user numbers going up by 138%," the company said
in a statement obtained by the news agency.

The report discloses that the company cited its key achievements
in the year:

   -- Digicel Group announced the acquisition of its sister
      company, Digicel Pacific Ltd,

   -- Digicel raised a total of US$1.8 billion via the
      international bond markets-the proceeds of which were used
      to acquire Digicel Pacific Ltd, refinance existing debt and
      for general corporate purposes,

   -- Acquisition of Orange Dominica Ltd,

   -- Launch of first mobile service ever in Nauru-Digicel's sixth
      market in the Pacific and 32nd worldwide, and

   -- Continued growth in Jamaica against the backdrop of
      increased competition with Digicel growing its subscriber
      base by three per cent and underlying revenues by 2% year on
      year.

                       About Digicel Group

Digicel Group -- http://www.digicelgroup.com-- is renowned for
competitive rates, unbeatable coverage, superior customer care, a
wide variety of products and services and state-of-the-art
handsets. By offering innovative wireless services and community
support, Digicel has become a leading brand across its 31 markets
worldwide.

Digicel is incorporated in Bermuda and now has operations in 31
markets worldwide. Its Caribbean and Central American markets
comprise Anguilla, Antigua & Barbuda, Aruba, Barbados, Bermuda,
Bonaire, the British Virgin Islands, the Cayman Islands, Curacao,
Dominica, El Salvador, French Guiana, Grenada, Guadeloupe, Guyana,
Haiti, Honduras, Jamaica, Martinique, Panama, St Kitts & Nevis,
St. Lucia, St. Vincent & the Grenadines, Suriname, Trinidad &
Tobago and Turks & Caicos. The Caribbean company also has coverage
in St. Martin and St. Barths. Digicel Pacific comprises Fiji,
Papua New Guinea, Samoa, Tonga and Vanuatu.

                           *     *     *

As of January 14, 2010 the company continues to carry these low
ratings from Moody's:

   -- LT Corp Family Rating at B2
   -- Senior Undecured Debt Rating at Caa1
   -- probability of Default at B2


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


GRUPO PETROTEMEX: Fitch Affirms Issuer Default Rating at 'BB+'
--------------------------------------------------------------
Fitch Ratings has affirmed Grupo Petrotemex, S.A. de C.V:'s
ratings:

  -- Issuer Default Rating at 'BB+';
  -- Local currency IDR at 'BB+'.

In addition, Fitch revised Petrotemex's Rating Outlook to Stable
from Negative.

Fitch has also affirmed these ratings for Petrotemex and DAK
Americas, LLC:

  -- Petrotemex US$75 million privately placed senior notes due
     2012 at 'BB+';

  -- Petrotemex US$275 million senior notes due 2014 at 'BB+';

  -- DAK Americas US$115 million privately placed senior notes due
     2014 at 'BB+'.

The revision of Petrotemex's Rating Outlook to Stable from
Negative reflects the company's strong performance during 2009,
when it was able to increase cash generation and modestly reduce
debt.  The company's liquidity also improved due to the company's
issuance during August and December 2009 of $275 million of senior
notes due 2014.

Petrotemex's 'BB+' ratings are supported by its strong domestic
and global competitive position, its long-term supply and customer
arrangements and geographically diversified operating base.  The
resilience of the company's client base, which consists of many
food, beverage and personal care products, to economic downturns
is also factored in the company's ratings.  The ratings are
constrained by the volatility of the industry.  Petrotemex's cost
structure exposure to rising input costs, particularly energy and
other raw material costs, is also a constraint upon the rating.

Solid Market Position and Strong Customer Base:

Petrotemex has a strong competitive position that is underpinned
by long-term relationships and end-users defensive industries.
The company is the sole producer and second largest
producer/supplier of Purified Terephthalic Acid, the basic raw
material used in the polyester production chain, in Mexico and the
Americas, respectively.  In addition, Petrotemex is the second
largest producer/supplier of Polyethylene Terephthalate in the
Americas.  The demand for the company's products is relatively
predictable due to long-term supply agreements with the majority
of its main customers.  This has allowed the company to maintain
high plant utilization rates.  Prices for PTA are generally set
monthly using a 'cost plus' formula, which somewhat mitigates
Petrotemex's exposure to raw material price volatility and
business risk.

Capital Expenditures Should be Funded with Cash Flow from
Operations:

Petrotemex's cash flow from operations (as calculated by Fitch)
for fiscal year 2009 was approximately US$220 million, an
improvement from US$68 million during 2008.  Free cash flow grew
to US$164 million from $4 million during this time period.  The
growth in free cash flow was due to improved operating cash flow,
less working capital needs and scaled back capital expenditures.
For 2010 working capital and capex requirements are expected to
grow as a result of increased input costs, maintenance and
improved growth prospects.  Fitch expects Petrotemex to fund these
needs internally.  As a result, Fitch estimates that the company's
free cash flow should decline substantially during 2010.

Adequate Liquidity Position:

The ratings factor in the company's sufficient liquidity, which
results from a comfortable cash position, access to committed
credit lines, and the company's positive free cash flow.  As of
March 31, 2010, Petrotemex had cash and equivalents of
approximately US$137 million and total debt of US$640 million, out
of which US$115 million or 18% is short-term.  Liquidity is
further supported by committed credit lines of about US$60 million
of available committed credit lines.  Refinancing risk for
Petrotemex is moderate with total debt amortizations for 2010 of
approximately US$60 million, US$175 million during 2011,
US$96 million in 2012 and US$16 million in 2013.

Declining Leverage:

Petrotemex's EBITDA for the LTM period ended in March 2010 was
US$264 million, 31% higher than the company's EBITDA during fiscal
year 2008 (US$202 million).  The company's total debt to EBITDA
ratio for the LTM ended March 31, 2010 was 2.4 times, an
improvement from 3.3x during 2008.  The ratio of net debt to
EBITDA fell to 1.9x from 2.7x during this time period.  Fitch
continues to factor in an expectation that Petrotemex's leverage
will remain in the 2.0x to 2.5x range.


METRO COUNTRY: S&P Assigns 'B-' Corporate Credit Rating
-------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'B-'
corporate credit rating to Metro Country Club S.A. and its
subsidiaries.  The outlook is negative.  In addition, Standard &
Poor's assigned its 'B-' rating to the company's $87 million
proposed senior secured notes due 2015.

Standard & Poor's rating on MCC is limited by the company's
dependence on the sale of "high-end" real estate projects to
service its debt obligations, its concentration on a handful of
projects in the Dominican Republic, and its highly leveraged
financial risk profile.  Partially offsetting those factors are
the company's high brand recognition, strong reputation, and the
competitive advantages provided by the location and scope of its
developments in the Republic.

MCC is a leading real estate developer of "affordable luxury"
properties in the city of Juan Dolio in the Dominican Republic.
The company also has operations in the hotel industry through its
Embassy Suites and the construction and operation of golf courses.
At the end of 2009, the company registered sales of $26.1 million
and an EBITDA margin of 24.6%.


SANLIUS CORP: Units Reach Deal to Refinance US$125MM Bank Loans
---------------------------------------------------------------
Two units of Mexican auto parts maker Sanluis Corporacion have
reached a deal to refinance US$125 million in bank loans, Reuters
reports, citing an unnamed source.

According to the report, Sanluis Corporacion's the subsidiaries,
Sanluis Rassini and Sanluis SA, will pay an additional US$21
million for commissions and penalties, the source said.  The
report relates that the units will issue new instruments due in
2014 with a yet-undisclosed yield.

Sanluis Corporacion, the report says, is also seeking to refinance
around US$88 million in senior notes due later this month.  The
report relates that the company has another US$123 million in debt
maturing next year.

                     About Sanluis Corporacion

Sanluis, a key supplier of coil springs, leaf springs and brakes
to U.S. automakers such as Ford Motor Co (F.N) and General Motors,
saw its business plunge during the financial crisis.


====================
P U E R T O  R I C O
====================


FIRST BANCORP: Parent Formalizes Agreements With Regulators
-----------------------------------------------------------
First BanCorp, the bank holding company for FirstBank Puerto Rico,
disclosed that FirstBank has agreed to a Consent Order with the
Federal Deposit Insurance Corporation and the Office of the
Commissioner of Financial Institutions of Puerto Rico and that the
Corporation has agreed to enter into a written agreement with the
Federal Reserve Bank of New York.  Pursuant to the Agreements,
FirstBank and the Corporation have agreed to take certain actions
intended to address various matters, including among others, the
development and adoption of a plan to attain certain capital
levels, and the reduction of non-performing and classified assets
that have impacted FirstBank's financial condition and
performance.

Management and the Board of Directors of the Corporation and
FirstBank have been working proactively over the past months to
address many of the items that have been outlined in the
Agreements which stem from the FDIC's examination as of the period
ended June 30, 2009 conducted during the second half of 2009.  In
previous filings with the Securities and Exchange Commission, the
Corporation had disclosed its capital and strategic plans, as well
as specific actions underway intended to improve asset quality,
deleverage the balance sheet, mitigate loan losses and diversify
its funding sources.

Aurelio Aleman, Chief Executive Officer of First BanCorp, said,
"The prolonged economic recession in Puerto Rico and Florida has
negatively affected real estate values, the construction industry
and the financial condition of many of our customers.  As we have
reported in the past, the Corporation's loan portfolio and
financial performance have been adversely impacted by these
matters."

"We are committed to continue to work expeditiously to resolve the
items detailed in the Agreements and execute our strategies to
strengthen our balance sheet and return FirstBank to its full
earnings potential.  We have been rigorously engaged in steps to
improve the Corporation's asset quality and capital levels, while
at the same time, we continue to serve our customers with the high
level of service and dedication for which our franchise is
recognized in the market," Mr. Aleman concluded.

The Corporation confirmed that it currently meets the established
minimum regulatory capital ratios for a well-capitalized bank and
is working towards further strengthening its position by deploying
its capital plan strategy.  To that effect, the Corporation is
focusing its efforts in the execution of its capital initiatives
which include efforts to: convert into common stock the US$400
million of preferred stock sold to the United States Department of
the Treasury under the Capital Purchase Program; raise US$500
million of equity; and issue shares of common stock in exchange
for its non-cumulative preferred shares.  In this regard, the
Corporation filed with the Securities and Exchange Commission a
registration statement for the exchange for its non-cumulative
preferred stock and is currently in advanced discussions with the
U.S. Treasury to negotiate the exchange of the CPP preferred stock
for shares of the Corporation's common stock to be accomplished in
one or more transactions.

The Agreements impose no restrictions on FirstBank's products or
services offered to customers, nor do they impose any type of
penalties or fines upon FirstBank or the Corporation.  Concurrent
with the Agreements, the FDIC granted FirstBank a temporary waiver
to enable it to continue accessing the brokered deposit market.
FirstBank will request approvals for future periods.

                      About First BanCorp

First BanCorp is the parent corporation of FirstBank Puerto Rico,
a state-chartered commercial bank with operations in Puerto Rico,
the Virgin Islands and Florida, and of FirstBank Insurance Agency.
First BanCorp and FirstBank Puerto Rico operate under U.S. banking
laws and regulations.  The Corporation operates a total of 175
branches, stand-alone offices and in-branch service centers
throughout Puerto Rico, the U.S. and British Virgin Islands, and
Florida.  Among the subsidiaries of FirstBank Puerto Rico are
First Federal Finance Corp., a small loan company; First Leasing
and Rental Corp., a leasing company; FirstBank Puerto Rico
Securities, a broker-dealer subsidiary; First Management of Puerto
Rico; and FirstMortgage, Inc., a mortgage origination company. In
the U.S. Virgin Islands, FirstBank operates First Insurance VI, an
insurance agency, and First Express, a small loan company.  First
BanCorp's common and publicly-held preferred shares trade on the
New York Stock Exchange under the symbols FBP, FBPPrA, FBPPrB,
FBPPrC, FBPPrD and FBPPrE.

                          *     *     *

As of June 18, 2010, the bank continues to carry Standard & Poor's
"CCC+" LT issuer credit ratings.


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


CITGO PETROLEUM: To Pay 12% for 7 Year Debt
-------------------------------------------
Citgo Petroleum Corp., a wholly owned subsidiary of Petroleos de
Venezuela S.A., is coming to market with a 7-year bond and
offering to pay 11.75% to 12% on the debt, Latin America Herald
Tribune reports.

According to the report, the issue will rank equally (pari passu)
with the company's Credit Facility and be considered Senior
Secured debt which will be secured by a first lien on the issuer's
three refineries in the United States, inventory, certain equity
interests and other assets securing the Credit Facility.  The
report relates that the company was originally seeking an issue
size of US$1.5 billion in two issues -- a 7-year and a 10-year --
but has reduced its expectations and is now seeking US$300 to
US$350 million in just the seven year bond.

The bond will be callable by the company after four years, the
report notes.

The Herald says that the refineries that will secure the debt are
in:

   -- Lemont, Illinois (crude capacity of 167 million BPD),
   -- Lake Charles, Louisiana, (crude capacity of 425 million
      BPD), and
  -- Corpus Christi, Texas (crude capacity of 157 million BPD).

The bond aims to settle on the 24 of June, the report adds.

                        About Citgo Petroleum

Headquartered in Houston, Texas, Citgo Petroleum Corp. --
http://www.citgo.com/-- is owned by PDV America, an indirect,
wholly owned subsidiary of Petroleos de Venezuela S.A., the
state-owned oil company of Venezuela.

                           *     *     *

As of May 11, 2010, the company continues to carry Moody's "Ba2"
Long term and LT Corp family ratings.  The company also continues
to carry Standard and Poor's BB- LT Issuer Credit ratings.


===============
X X X X X X X X
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* BOND PRICING: For the Week June 7, to June 11, 2010
-----------------------------------------------------

Issuer            Coupon   Maturity   Currency          Price
------            ------   --------   --------          -----


ARGENT- DIS           5.83  12/31/2033   ARS          98.43475
ARGENT-$DIS           8.28  12/31/2033   USD             68.25
ARGENT-$DIS           8.28  12/31/2033   USD           65.7775
ARGENT-$DIS           8.28  12/31/2033   USD             66.75
ARGENT-PAR            1.18  12/31/2038   ARS          33.41542
ARGENT-?DIS           7.82  12/31/2033   EUR             56.25
ARGNT-BOCON PR13         2  3/15/2024    ARS          70.35693
BOGAR 2018               2  2/4/2018     ARS          117.2512
BUENOS AIRE PROV     9.375  9/14/2018    USD         72.890202
BUENOS AIRE PROV     9.375  9/14/2018    USD            72.331
BUENOS AIRE PROV     9.625  4/18/2028    USD           70.9232
MENDOZA PROVINCE       5.5  9/4/2018     USD         77.073751


BRAZIL

CESP                  9.75  1/15/2015    BRL         70.837834

CAYMAN ISLAND

BANIF FIN LTD            3  12/31/2019   EUR            69.713
BARION FUNDING        0.63  12/20/2056   GBP         17.245162
BARION FUNDING        1.44  12/20/2056   GBP         30.617533
BCP FINANCE CO       4.239               EUR         61.083333
BCP FINANCE CO       5.543               EUR            61.091
BES FINANCE LTD      6.984  2/7/2035     EUR          65.14375
BES FINANCE LTD       5.58               EUR         64.118329
BISHOPSGATE ASSE     4.808  8/14/2044    GBP          74.94492
CHINA MED TECH           4  8/15/2013    USD             67.25
CHINA SUNERGY         4.75  6/15/2013    USD            72.897
DUBAI HLDNG COMM         6  2/1/2017     GBP            71.763
EFG ORA FUNDING        1.7  10/29/2014   EUR          64.79721
ESFG INTERNATION     5.753               EUR         64.916667
FERTINITRO FIN        8.29  4/1/2020     USD              69.5
INDEPENDENCIA IN        12  12/30/2016   USD             39.75
MAZARIN FDG LTD       1.44  9/20/2068    GBP         28.083471
PUBMASTER FIN        6.962  6/30/2028    GBP           70.3194
SHINSEI FIN CAYM     6.418               USD         63.844678
SHINSEI FIN CAYM     6.418               USD             62.55
SHINSEI FINANCE       7.16               USD                65
SOLARFUN POWER H       3.5  1/15/2018    USD                64
XL CAPITAL LTD         6.5               USD             71.75


   PUERTO RICO

PUERTO RICO CONS       6.2  5/1/2017     USD                48
PUERTO RICO CONS       6.5  4/1/2016     USD              50.5


VENEZUELA

PETROLEOS DE VEN         5  10/28/2015   USD         56.258356
PETROLEOS DE VEN       4.9  10/28/2014   USD          60.18797
PETROLEOS DE VEN     5.125  10/28/2016   USD          54.22218
PETROLEOS DE VEN       5.5  4/12/2037    USD         45.999109
PETROLEOS DE VEN     5.375  4/12/2027    USD         47.251394
PETROLEOS DE VEN      5.25  4/12/2017    USD         56.645306
SIDETUR FINANCE         10  4/20/2016    USD                68
VENEZUELA             5.75  2/26/2016    USD                64
VENEZUELA                7  12/1/2018    USD                61
VENEZUELA             7.75  10/13/2019   USD             63.25
VENEZUELA                6  12/9/2020    USD                55
VENEZUELA                9  5/7/2023     USD              62.5
VENEZUELA             8.25  10/13/2024   USD                58
VENEZUELA             7.65  4/21/2025    USD                56
VENEZUELA             9.25  9/15/2027    USD              70.5
VENEZUELA             9.25  9/15/2027    USD         62.330361
VENEZUELA             9.25  5/7/2028     USD              64.5
VENEZUELA                7  3/31/2038    USD                53
VENEZUELA                7  3/31/2038    USD          48.51723
VENZOD - 189000      9.375  1/13/2034    USD              61.5

                            ***********

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.


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