/raid1/www/Hosts/bankrupt/TCRLA_Public/110114.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
Friday, January 14, 2011, Vol. 12, No. 10
Headlines
A R G E N T I N A
CALU CONSTRUCTORA: Applies for Reorganization Proceedings
CENTURION SRL: Requests for Bankruptcy Proceedings
COLINAS DEL: Creditors' Proofs of Debt Due March 18
FADESO SA: Creditors' Proofs of Debt Due March 28
GARNET SA: Creditors' Proofs of Debt Due March 28
INSTITUTO SUPERIOR: Creditors' Proofs of Debt Due May 24
KILMERS SA: Applies for Reorganization Proceedings
NAPPES SRL: Asks for Bankruptcy Proceedings
* ARGENTINA: To Receive US$120-Million Loan From IDB
B E R M U D A
INTERNATIONAL INVESTMENT: Creditors' Proofs of Debt Due January 19
INTERNATIONAL INVESTMENT: Members' Final Meeting Set for Feb. 9
MGS LONG/SHORT: Creditors' Proofs of Debt Due January 19
MGS LONG/SHORT: Member to Receive Wind-Up Report on February 9
OPEN ROAD: Creditors' Proofs of Debt Due January 19
OPEN ROAD: Members' Final Meeting Set for February 9
SENERGY PRIVATE: Creditors' Proofs of Debt Due January 19
SENERGY PRIVATE: Members to Receive Wind-Up Report on February 8
SENERGY SOLUTIONS: Creditors' Proofs of Debt Due January 19
SENERGY SOLUTIONS: Members to Receive Wind-Up Report on February 8
C A Y M A N I S L A N D S
AXIOMA FUND: Creditors' Proofs of Debt Due January 19
BBM LONG: Creditors' Proofs of Debt Due January 19
BBM VALUATION: Creditors' Proofs of Debt Due January 19
CREP INVESTMENT: Creditors' Proofs of Debt Due January 19
CREP INVESTORS: Creditors' Proofs of Debt Due January 19
CZ LTD: Placed Under Voluntary Wind-Up
ELLINGTON EMERGING: Creditors' Proofs of Debt Due January 19
EMERGING INVESTMENTS: Creditors' Proofs of Debt Due January 19
HIGASHI IKEBUKURO: Creditors' Proofs of Debt Due January 19
LOGIK EVENT: Creditors' Proofs of Debt Due January 19
MARCAP OVERSEAS: Creditors' Proofs of Debt Due January 19
MEC HOLDING: Creditors' Proofs of Debt Due January 19
MLMI CAYMAN: Creditors' Proofs of Debt Due January 19
PBL CAYMAN: Creditors' Proofs of Debt Due January 19
PBL MH1: Creditors' Proofs of Debt Due January 19
PERSHING SQUARE: Creditors' Proofs of Debt Due January 19
PERSHING SQUARE: Creditors' Proofs of Debt Due January 19
PUSHPA HOLDINGS: Creditors' Proofs of Debt Due January 20
R-ONE SAKAI: Creditors' Proofs of Debt Due January 19
XENOPHI LIMITED: Creditors' Proofs of Debt Due January 20
M E X I C O
HIPOTECARIA SU: Moody's Cuts Rating on Class A Notes to B3
MEXICANA AIRLINE: To Give 9 Planes to Bancomext to Repay Debt
SERVICIOS CORPORATIVOS: Moody's Affirms Ba3 Rating on Unsec. Debt
TUBO DE PASTEJE: Seeks Exclusivity Extension; Has Consensual Plan
- - - - -
=================
A R G E N T I N A
=================
CALU CONSTRUCTORA: Applies for Reorganization Proceedings
---------------------------------------------------------
Calu Constructora SA applied for reorganization proceedings. The
company stopped making payments last October 29.
CENTURION SRL: Requests for Bankruptcy Proceedings
--------------------------------------------------
Centurion SRL requested for the opening of bankruptcy proceedings.
COLINAS DEL: Creditors' Proofs of Debt Due March 18
---------------------------------------------------
Hilda Rosa Fernandez, the court-appointed trustee for Colinas del
Sur SA's bankruptcy proceedings, will be verifying creditors'
proofs of claim until March 18, 2011.
Ms. Fernandez will present the validated claims in court as
individual reports. The National Commercial Court of First
Instance No. 11 in Buenos Aires, with the assistance of Clerk
No. 21, 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:
Hilda Rosa Fernandez
Avenida Corrientes 676
Argentina
FADESO SA: Creditors' Proofs of Debt Due March 28
-------------------------------------------------
The court-appointed trustee for Fadeso S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
March 28, 2011.
The trustee will present the validated claims in court as
individual reports on May 26, 2011. 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
August 5, 2011.
GARNET SA: Creditors' Proofs of Debt Due March 28
-------------------------------------------------
The court-appointed trustee for Garnet S.A.'s bankruptcy
proceedings will be verifying creditors' proofs of claim until
March 28, 2011.
The trustee will present the validated claims in court as
individual reports on May 26, 2011. 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
August 5, 2011.
INSTITUTO SUPERIOR: Creditors' Proofs of Debt Due May 24
--------------------------------------------------------
Alfredo Legnazzi, the court-appointed trustee for Instituto
Superior de Carreras Empresariales SRL's bankruptcy proceedings,
will be verifying creditors' proofs of claim until May 24, 2011.
Mr. Legnazzi will present the validated claims in court as
individual reports. The National Commercial Court of First
Instance No. 18 in Buenos Aires, with the assistance of Clerk
No. 36, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by the company and its creditors.
Creditors will vote to ratify the completed settlement plan
during the assembly on March 6, 2012.
KILMERS SA: Applies for Reorganization Proceedings
--------------------------------------------------
Kilmers SA applied for reorganization proceedings.
NAPPES SRL: Asks for Bankruptcy Proceedings
-------------------------------------------
Nappes SRL asked for bankruptcy proceedings. The company stopped
making payments last November 18.
* ARGENTINA: To Receive US$120-Million Loan From IDB
----------------------------------------------------
Argentina will improve the reliability and security of electricity
services in 18 provinces with a US$120 million loan approved by
the Inter-American Development Bank.
The program will finance the construction or rehabilitation of
937.3 kilometers of transmission and distribution lines by 2015.
These works will support the Argentine government's effort to
overhaul the country's energy sector through its Federal
Electricity Transmission Plan. The objective of the project is to
restore electricity transmission capacity in the Argentinean
provinces and to enhance the efficiency and reliability of the
transmission grid.
Argentina's energy sector was hit hard by the macroeconomic crisis
of 2002. The country now has to overhaul its energy sector, while
meeting a growing demand at the same time. The electricity
transmission grid is saturated in a number of locations, and new
interconnections are needed to enhance energy efficiency, serve
rural areas far removed from the country's major cities, and
support regional integration.
The loan comes from the IDB's ordinary capital and has an
amortization period of 25 years, with a grace period of 3.5 years
and an interest rate based on the LIBOR. The government of
Argentina will contribute US$120 million equivalent in local
counterpart resources. A US$84 million loan from the Andean
Development Corporation will constitute 70% of its counterpart
contribution.
* * *
As of July 2, 2010, the Argentina republic continues to carry
Moody's "Caa1" country ceiling long-term foreign bank deposit
rating and "B2" country ceiling long-term currency debt ratings.
The country also continues to carry Standard and Poor's "B-"
currency long-term debt ratings and "C" currency ST debt ratings.
=============
B E R M U D A
=============
INTERNATIONAL INVESTMENT: Creditors' Proofs of Debt Due January 19
------------------------------------------------------------------
The creditors of International Investment Company (Bermuda)
Limited are required to file their proofs of debt by January 19,
2011, to be included in the company's dividend distribution.
The company commenced wind-up proceedings on December 31, 2010.
The company's liquidator is:
Robin J. Mayor
Clarendon House, 2 Church Street
Hamilton HM 11
Bermuda
INTERNATIONAL INVESTMENT: Members' Final Meeting Set for Feb. 9
---------------------------------------------------------------
The members of International Investment Company (Bermuda) Limited
will hold their final meeting on February 9, 2011, 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 December 31, 2010.
The company's liquidator is:
Robin J. Mayor
Clarendon House, 2 Church Street
Hamilton HM 11
Bermuda
MGS LONG/SHORT: Creditors' Proofs of Debt Due January 19
--------------------------------------------------------
The creditors of MGS Long/Short Equities Funds Limited are
required to file their proofs of debt by January 19, 2011, to be
included in the company's dividend distribution.
The company commenced wind-up proceedings on December 30, 2010.
The company's liquidator is:
Beverly Mathias
c/o Argonaut Limited
Argonaut House, 5 Park Road
Hamilton HM O9
Bermuda
MGS LONG/SHORT: Member to Receive Wind-Up Report on February 9
--------------------------------------------------------------
The member of MGS Long/Short Equities Funds Limited will receive
on February 9, 2011, at 9:30 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.
The company commenced wind-up proceedings on December 30, 2010.
The company's liquidator is:
Beverly Mathias
c/o Argonaut Limited
Argonaut House, 5 Park Road
Hamilton HM O9
Bermuda
OPEN ROAD: Creditors' Proofs of Debt Due January 19
---------------------------------------------------
The creditors of Open Road Investments Limited are required to
file their proofs of debt by January 19, 2011, to be included in
the company's dividend distribution.
The company commenced wind-up proceedings on December 31, 2010.
The company's liquidator is:
Robin J. Mayor
Clarendon House, 2 Church Street
Hamilton HM 11
Bermuda
OPEN ROAD: Members' Final Meeting Set for February 9
----------------------------------------------------
The members of Open Road Investments Limited will hold their final
meeting on February 9, 2011, 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 December 31, 2010.
The company's liquidator is:
Robin J. Mayor
Clarendon House, 2 Church Street
Hamilton HM 11
Bermuda
SENERGY PRIVATE: Creditors' Proofs of Debt Due January 19
---------------------------------------------------------
The creditors of Senergy Private Trustee Ltd. are required to file
their proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on December 31, 2010.
The company's liquidators are:
Mike Morrison
Charles Thresh
KPMG Advisory Limited
Crown House, 4 Par-La-Ville Road
Hamilton
Bermuda
SENERGY PRIVATE: Members to Receive Wind-Up Report on February 8
----------------------------------------------------------------
The members of Senergy Private Trustee Ltd. will receive on
February 8, 2011, at 10:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.
The company commenced wind-up proceedings on December 31, 2010.
The company's liquidators are:
Mike Morrison
Charles Thresh
KPMG Advisory Limited
Crown House, 4 Par-La-Ville Road
Hamilton
Bermuda
SENERGY SOLUTIONS: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------------
The creditors of Senergy Solutions Ltd. are required to file their
proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on December 31, 2010.
The company's liquidators are:
Mike Morrison
Charles Thresh
KPMG Advisory Limited
Crown House, 4 Par-La-Ville Road
Hamilton, HM 08
Bermuda
SENERGY SOLUTIONS: Members to Receive Wind-Up Report on February 8
------------------------------------------------------------------
The members of Senergy Solutions Ltd. will receive on February 8,
2011, at 10:30 a.m., the liquidator's report on the company's
wind-up proceedings and property disposal.
The company commenced wind-up proceedings on December 31, 2010.
The company's liquidators are:
Mike Morrison
Charles Thresh
KPMG Advisory Limited
Crown House, 4 Par-La-Ville Road
Hamilton, HM 08
Bermuda
==========================
C A Y M A N I S L A N D S
==========================
AXIOMA FUND: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------
The creditors of The Axioma Fund, Ltd. are required to file their
proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on November 18,
2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
BBM LONG: Creditors' Proofs of Debt Due January 19
--------------------------------------------------
The creditors of BBM Long Short Fund are required to file their
proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on November 22,
2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
BBM VALUATION: Creditors' Proofs of Debt Due January 19
-------------------------------------------------------
The creditors of BBM Valuation Fund are required to file their
proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on November 22,
2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
CREP INVESTMENT: Creditors' Proofs of Debt Due January 19
---------------------------------------------------------
The creditors of Crep Investment G Cayman are required to file
their proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers SPV Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
CREP INVESTORS: Creditors' Proofs of Debt Due January 19
--------------------------------------------------------
The creditors of Crep Investors A Cayman are required to file
their proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers SPV Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
CZ LTD: Placed Under Voluntary Wind-Up
--------------------------------------
On December 3, 2010, the members of CZ Ltd. resolved to
voluntarily wind up the company's operations.
Only creditors who were able to file their proofs of debt by
January 11, 2011, will be included in the company's dividend
distribution.
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
ELLINGTON EMERGING: Creditors' Proofs of Debt Due January 19
------------------------------------------------------------
The creditors of Ellington Emerging Markets Fund, Ltd. are
required to file their proofs of debt by January 19, 2011, to be
included in the company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
EMERGING INVESTMENTS: Creditors' Proofs of Debt Due January 19
--------------------------------------------------------------
The creditors of Emerging Investments, Ltd. are required to file
their proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
HIGASHI IKEBUKURO: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------------
The creditors of Higashi Ikebukuro Property are required to file
their proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 6, 2010.
The company's liquidator is:
Walkers SPV Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
LOGIK EVENT: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------
The creditors of Logik Event Offshore Fund, Ltd. are required to
file their proofs of debt by January 19, 2011, to be included in
the company's dividend distribution.
The company commenced liquidation proceedings on December 1, 2010.
The company's liquidator is:
Walkers SPV Limited
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9002
Cayman Islands
MARCAP OVERSEAS: Creditors' Proofs of Debt Due January 19
---------------------------------------------------------
The creditors of Marcap Overseas, Limited are required to file
their proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
MEC HOLDING: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------
The creditors of MEC Holding Ltd. are required to file their
proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 2, 2010.
The company's liquidator is:
Walkers SPV Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
MLMI CAYMAN: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------
The creditors of MLMI Cayman NIM 2004-FM1, Ltd. are required to
file their proofs of debt by January 19, 2011, to be included in
the company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers SPV Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
PBL CAYMAN: Creditors' Proofs of Debt Due January 19
----------------------------------------------------
The creditors of PBL Cayman Investments Limited are required to
file their proofs of debt by January 19, 2011, to be included in
the company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
PBL MH1: Creditors' Proofs of Debt Due January 19
-------------------------------------------------
The creditors of PBL MH1 Holdings No. 1 (CI) Limited are required
to file their proofs of debt by January 19, 2011, to be included
in the company's dividend distribution.
The company commenced liquidation proceedings on December 7, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
PERSHING SQUARE: Creditors' Proofs of Debt Due January 19
---------------------------------------------------------
The creditors of Pershing Square International IV Trade-Co, Ltd
are required to file their proofs of debt by January 19, 2011, to
be included in the company's dividend distribution.
The company commenced liquidation proceedings on December 1, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
PERSHING SQUARE: Creditors' Proofs of Debt Due January 19
---------------------------------------------------------
The creditors of Pershing Square International IVI Trade-Co, Ltd
are required to file their proofs of debt by January 19, 2011, to
be included in the company's dividend distribution.
The company commenced liquidation proceedings on December 1, 2010.
The company's liquidator is:
Walkers Corporate Services Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
PUSHPA HOLDINGS: Creditors' Proofs of Debt Due January 20
---------------------------------------------------------
The creditors of Pushpa Holdings LDC are required to file their
proofs of debt by January 20, 2011, to be included in the
company's dividend distribution.
The company's liquidator is:
Soros Fund Management LLC
888 Seventh Avenue
New York, NY 10106
USA
R-ONE SAKAI: Creditors' Proofs of Debt Due January 19
-----------------------------------------------------
The creditors of R-One Sakai Holdings are required to file their
proofs of debt by January 19, 2011, to be included in the
company's dividend distribution.
The company commenced liquidation proceedings on December 6, 2010.
The company's liquidator is:
Walkers SPV Limited
c/o Anthony Johnson
Telephone: (345) 914-6314
Walker House
87 Mary Street, George Town
Grand Cayman KY1-9005
Cayman Islands
XENOPHI LIMITED: Creditors' Proofs of Debt Due January 20
---------------------------------------------------------
The creditors of Xenophi Limited are required to file their proofs
of debt by January 20, 2011, to be included in the company's
dividend distribution.
The company's liquidator is:
Soros Fund Management LLC
888 Seventh Avenue
New York, NY 10106
USA
===========
M E X I C O
===========
HIPOTECARIA SU: Moody's Cuts Rating on Class A Notes to B3
----------------------------------------------------------
Moody's Investors Service has downgraded Hipotecaria Su Casita,
S.A. de C.V. Sociedad Financiera de Objeto Multiple E.N.R.'s Class
A Insured Residential Mortgage Backed Floating Rate Notes due 2035
to B3 (sf) from B1 (sf). This concludes the review for possible
downgrade that was initiated on May 6, 2009. The underlying
collateral consists of first-lien, fixed-rate mortgage loans
denominated in UDIS and granted primarily to low-income borrowers
in Mexico.
Originator and Servicer: Hipotecaria Su Casita, S.A. de C.V.
Sociedad Financiera de Objeto Multiple E.N.R.
Issuer: The Bank of New York Mellon, S.A. Institucion de Banca
Multiple, acting solely as trustee.
-- Class A Insured Residential Mortgage-Backed Floating Rate
Notes due 2035, rating downgraded to B3 (sf) from B1 (sf)
(Global Scale, Foreign Currency).
The downgrade was based on the continuing deterioration of the
collateral's performance and Moody's updated projection of
lifetime cumulative gross defaults and expected losses on the
pool. These projections consider an additional stress factor to
account for possible further deterioration related to servicing
quality as a result of Su Casita's operational restructuring and
the possibility for disruptions following the servicing transfer
to Patrimonio, S.A. de C.V., Sociedad Financiera de Objeto
Limitado.
The Class A Notes benefit from a financial guaranty provided by
MBIA Insurance Corporation which covers timely payment of interest
and ultimate payment of principal on the notes. The notes' B3
(sf) rating is in-line with MBIA Insurance Corporation's B3
insurance financial strength rating. The notes' current rating is
consistent with Moody's practice of rating structured finance
securities wrapped by financial guarantors at the higher of (1)
the guarantor's insurance financial strength rating and (2) the
underlying rating.
As of December 2010, delinquencies greater than 90 days, including
accumulated real estate owned (REO), represented 24.2% of the
original pool balance, versus 15.2% as of 12 months ago.
Accumulated net losses, however, represented less than 1% of the
original balance given the relatively low level of reported REO
sales and recoveries to date.
Further, the transaction has a relatively high outstanding pool
balance equal to 70% of the original balance. Given the
transaction's weak performance trends to date and its high pool
factor, Moody's expects significantly higher lifetime cumulative
gross defaults as a percent of the original pool as compared to
the level of defaults observed to date.
Moody's projects lifetime cumulative gross defaults of 40% of the
original pool balance, an average severity of loss of 63%, and
expected losses of 36% as a percent of the outstanding pool
balance.
The expected loss projection of 36% of the outstanding pool
compares with an estimated lifetime credit enhancement of 31% for
the Class A Notes including subordination, overcollateralization
and excess spread.
Regarding the variability the Class A Notes' B3 (sf) rating, if
Moody's were to downgrade MBIA Insurance Corporation's insurance
financial strength rating by one notch to Caa1, and assume a
cumulative gross default of 61% as a percent of the current pool
balance instead of 57%, the Class A Notes would likely experience
a one-notch downgrade to Caa1 (sf).
The primary sources of assumption uncertainty are related to the
macroeconomic environment, the timing of recovery of the Mexican
economy and labor market, the severity of loss assumption given
the limited market data related to historical recoveries for REOs,
and Su Casita's ultimate strategic direction and solvency and the
extent of any potential servicing disruptions.
The principal methodology used in this rating was "Moody's
Approach to Monitoring Residential Mortgage-Backed Securitizations
in Mexico" published in August 2009. Other methodologies and
factors that may have been considered can also be found on Moody's
website.
MEXICANA AIRLINE: To Give 9 Planes to Bancomext to Repay Debt
-------------------------------------------------------------
Jens Erik Gould at Bloomberg News reports that Hector Rangel,
chief executive officer of state-owned development bank Bancomext
and Nafinsa, said Compania Mexicana de Aviacion or Mexicana
Airlines will give nine airplanes to Bancomext to repay debt.
Bloomberg relates Mr. Rangel said that Mexicana owes Bancomext
MXN780 million (US$64.7 million). The bank plans to sell the
aircraft, he added.
Compania Mexicana de Aviacion or Mexicana Airlines --
http://www.mexicana.com/-- is a privately held airline and a
subsidiary of Nuevo Grupo Aeronautico. Founded in 1921, Mexicana
is the oldest commercial carrier in North America. Charles
Lindbergh piloted the first trip for Mexicana between Brownsville,
Texas, and Mexico City.
Grupo Mexicana de Aviacion is the parent of Compania Mexicana. Two
other units are Aerovias Caribe S.A. de C.V. (Mexicana Click) and
Mexicana Inter S.A. de C.V. (Mexicana Link).
Compania Mexicana de Aviacion or Mexicana Airlines, Mexico's
largest airline, filed for bankruptcy in the U.S. and Mexico on
August 2, 2010. In the U.S., the company filed in the U.S.
Bankruptcy Court in Manhattan for Chapter 15 bankruptcy protection
(case no. 10-14182), and in Mexico, it filed for the equivalent of
Chapter 11.
Maru E. Johansen, foreign representative of Compania Mexicana,
estimated in the Chapter 15 petition that the company has assets
of US$500 million to US$1 billion and debts of more than US$1
billion. William C. Heuer, Esq., at Duane Morris LLP, serves as
counsel to Ms. Johansen.
Mexicana de Aviacion stated that despite its bankruptcy filing, it
expects to continue to operate normally, and that such filings did
not affect the operations of Click Mexicana and Mexicana Link,
which are independent companies from Mexicana de Aviacion.
SERVICIOS CORPORATIVOS: Moody's Affirms Ba3 Rating on Unsec. Debt
-----------------------------------------------------------------
Moody's Investors Service affirmed Servicios Corporativos Javer,
S.A.P.I. de C.V.'s senior unsecured debt rating at Ba3 and revised
the rating outlook to negative, from stable.
The outlook revision reflects Javer's deterioration in its
operating results in 2010 as a result of reduced housing inventory
and delays in titling on new housing construction, which will
continue to pressure the company's key credit metrics and
operating statistics. As a result, Moody's notes that covenant
compliance may be challenged.
In 2010 Javer's operating stats were negatively affected by a
dramatic reduction in the completed home inventory at the end of
2009, with the idea that eight new macro projects would be
launched in 2010 that would provide the bulk of the company's home
titling for the next couple of years. By the end of 2010, Javer
anticipated titling 20,000 homes. Several problems arose
including a severe slowdown in obtaining construction licenses and
permits in 2009, which was an electoral year for many states and
municipalities in which Javer has a concentration, including Nuevo
Leon, Tamaulipas, Jalisco and Aguascalientes. This resulted in
new developments not breaking ground until the first part of 2010.
Furthermore, titling did not go as quickly as was expected in
2010, mainly due to a delay in model home openings in the second
quarter caused by Hurricane Alex in June, which affected the state
of Nuevo Leon most dramatically. In addition, the state of
Tamaulipas suffered setbacks in titling due to drug violence in
the region. Although Infonavit's mortgage customer base was
running as expected in the fourth quarter, Infonavit net pre-sales
did not produce a large enough customer bank to meet the titling
needed to reach Javer's year-end goal. Also, the informal sector
sales were slower due to longer lead time in pre-qualifying
customers. Javer's guidance was revised down in the third quarter
by 15%, and expected titling for the full-year is expected at
17,000 and EBITDA of approximately MXN900 million.
Javer's Ba3 senior unsecured debt rating continues to reflect its
position as one of the largest home developers in Mexico with more
than 35 years of real estate experience. This strength is
complemented by Mexican housing supply and demand dynamics that
remain favorable. The company also has efficient controls and
construction expertise with a well executed land reserve strategy.
Javer enjoys brand recognition in its key markets. Javer's
primary credit challenges are its significant revenue
concentration in the State of Nuevo Leon. The company's business
also has a large reliance on the Mexican economic and political
environment, given the important role the government plays in
supporting housing policy. Furthermore, Javer is a privately-
owned developer, which may result in less disclosure than its
public peers. However, senior management consists of all
professional individuals. Finally, 100% of Javer's corporate debt
is in U.S. dollars while Javer generates cash in MX pesos which,
despite the partial hedge, creates foreign exchange risk.
Moody's stated that a return to a stable outlook would be
predicated on steady improvement in titling over the next two
quarters. In addition, continued improvement in operating
statistics, specifically with EBITDA margins approaching 20%,
Fixed Charge Coverage closer to 3.0x and Debt/EBITDA below 2.0x.
A ratings upgrade is unlikely at this time. A downgrade to B1
would result should there be any further mishaps in reaching
titling and sales targets and any additional weakening of current
credit metrics, such as EBITDA margins falling below 15%,
debt/EBITDA above 3x and fixed charge coverage below 2.5x on a
sustained basis.
This rating was affirmed and the outlook revised to negative, from
stable outlook:
Servicios Corporativos Javer, S.A.P.I. de C.V. -- senior unsecured
debt at Ba3
Moody's last rating action on Javer was on July 27, 2009, when
Moody's assigned a long-term Ba3 global scale foreign currency
rating to Javer's proposed US$160 million to US$200 million senior
unsecured debt issuance. This was the first time Moody's rated
Javer.
Servicios Corporativos Javer, S.A.P.I. de C.V., headquartered in
Monterrey, Mexico, is one of the largest privately-owned, fully
integrated homebuilders engaged in the development, construction,
marketing and sale of affordable housing in Mexico. The firm
reported assets of MXN5,477 million and equity of MXN$1,164
million at September 30, 2010.
TUBO DE PASTEJE: Seeks Exclusivity Extension; Has Consensual Plan
-----------------------------------------------------------------
Bill Rochelle, the bankruptcy columnist for Bloomberg News,
reports that Tubo de Pasteje SA de CV and subsidiary Cambridge-Lee
Holdings Inc. for a third time are seeking an extension of the
exclusive right to propose a Chapter 11 plan. If granted by the
bankruptcy judge at a Feb. 24 hearing, the new deadline would be
March 7. The Company reports executing a "term sheet outlining
the terms of a consensual restructuring." Tubo hopes the plan
will be filed in the "near term."
Tubo de Pasteje SA and subsidiary Cambridge-Lee Holdings Inc.
filed Chapter 11 petitions December 7, 2009 (Bankr. D. Del.
Case No. 09-14353) following a Nov. 15 payment default on
US$200 million in 11.5% senior notes due 2016. Tubo and its
subsidiary sought bankruptcy protection when the 30-day grace
period was nearing its end.
Tubo is a subsidiary of Mexico City-based Industrias Unidas SA de
CV, a manufacturer of copper and electrical products. The
U.S. subsidiary Cambridge-Lee is based in Reading, Pennsylvania.
IUSA is the issuer of the notes which were secured by a pledge of
Cambridge-Lee stock.
***********
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. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Psyche A. Castillon, Julie Anne G.
Lopez, Ivy B. Magdadaro, Frauline S. Abangan, and Peter A.
Chapman, Editors.
Copyright 2011. 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 * * *