TCRLA_Public/110225.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, February 25, 2011, Vol. 12, No. 40

                            Headlines



A N T I G U A  &  B A R B U D A

STANFORD INT'L: Owner Joins Madoff at North Carolina Prison


B R A Z I L

MARFRIG ALIMENTOS: S&P Affirms 'B+' Global Scale Ratings


C A Y M A N   I S L A N D S

139 MOBILE: Shareholders' Final Meeting Set for March 15
AGA INTERNATIONAL: Shareholders' Final Meeting Set for March 21
CHEYNE LEVERAGE: Shareholders' Final Meeting Set for March 18
CHEYNE SPECIAL: Shareholders' Final Meeting Set for March 18
DUKE FUNDING: Shareholders' Final Meeting Set for March 21

HGM ASSET: Shareholders' Final Meeting Set for March 18
IT ESTATE: Shareholders' Final Meeting Set for March 18
JUBILEE INCORPORATIONS: Member to Hear Wind-Up Report on Feb. 28
KALLISTA CREDIT: Shareholders' Final Meeting Set for March 16
KALLISTA CREDIT: Shareholders' Final Meeting Set for March 16

KALLISTA CREDIT: Shareholders' Final Meeting Set for March 16
MAJESBIC COMPANY: Member to Hear Wind-Up Report on February 28
MH GROUP: Member to Hear Wind-Up Report on March 17
PENDRAGON (MERLIN): Shareholders' Final Meeting Set for March 8
SIMAC TRADING: Shareholders' Final Meeting Set for March 10

SKY HOLDING: Shareholders' Final Meeting Set for March 18
UBS-ARMR 2007-2: Shareholders' Final Meeting Set for March 18
VALHALLA SYNERGY: Shareholders' Final Meeting Set for March 15
VALHALLA SYNERGY: Shareholders' Final Meeting Set for March 15
WATERLOO FULLY: Shareholders' Final Meeting Set for March 21


M E X I C O

MEXICANA AIRLINES: PC Capital Acquires Firm


                            - - - - -


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


STANFORD INT'L: Owner Joins Madoff at North Carolina Prison
-----------------------------------------------------------
Deal Book reports that Stanford International Bank Limited owner
Robert Allen Stanford was transferred to the Federal Correctional
Complex in Butner, N.C., where Bernard L. Madoff is serving a 150-
year prison sentence.

Mr. Stanford is awaiting trial on charges that he ran a US$7
billion Ponzi scheme, according to Deal Book.

As reported in the Troubled Company Reporter-Latin America on
January 28, 2011, The Wall Street Journal related that Judge
Hittner found Mr. Stanford incompetent to stand trial following
conclusions by three psychiatrists that Mr. Stanford is mentally
impaired.  According to The Journal, the decision by Judge Hittner
means Mr. Stanford's trial, originally scheduled to begin this
month, could be delayed at least through the second half of the
year.  The Journal disclosed that Mr. Stanford's condition,
according to the experts, has deteriorated since he was
incarcerated in mid-2009 due to a combination of factors,
including a head injury suffered in a confrontation with another
inmate, a major depressive disorder, and excessive medication for
anxiety and depression, to which he has become addicted.

Deal Book notes that Judge Hittner denied a defense request to
place Mr. Stanford in a private hospital for treatment, noting
that he was a flight risk.  Instead, Judge Hittner, the report
relates, singled out the Federal Medical Center in Butner, N.C.,
as a suitable place for Mr. Stanford's treatment.

              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 also pursued against Mr. Stanford 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 (S.D. Tex.).  The
civil case is SEC v. Stanford International Bank, 09-cv-00298
(N.D. Tex.).


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B R A Z I L
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MARFRIG ALIMENTOS: S&P Affirms 'B+' Global Scale Ratings
--------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed the 'B+'
global scale and 'brBBB+' national scale ratings on Brazil-based
food producer Marfrig Alimentos S.A.  The outlook is stable.

"S&P believes Marfrig has limited capacity to reduce debt levels,
even though recent acquisitions have improved the company's
business profile," said Standard & Poor's credit analyst Flavia
Bedran.  Marfrig's improved asset portfolio and geographic
diversification should bring more stable cash flow generation, but
the company's deleveraging may be lengthy because of the lower
EBITDA contribution of acquired businesses coupled with
unfavorable market fundamentals in some countries where Marfrig
operates, such as Argentina and Uruguay.

The ratings on Marfrig reflect the company's highly leveraged
financial profile, which is a result of several acquisitions in
the past few years, as well as potential margin volatility because
of the exposure to global commodity prices, and still-limited
benefits from its stronger business portfolio.

S&P assess Marfrig's business profile as fair because of its well-
diversified portfolio that includes protein, industrialized
processed food, and food distribution; its efficient distribution
network in Brazil and in operations abroad; the economies of scale
in cattle and grain sourcing, and large retail chain negotiations;
and the maintenance of adequate liquidity to cushion against
market volatility.  S&P believes that favorable demand
fundamentals, mostly in Brazil, will allow the company to pass on
the increased cost of raw materials to clients, which occurred
recently with the hike in cattle and grain prices.  However,
Marfrig might face problems integrating Keystone's operations and
merging the expected benefits of its asset portfolio.
Consolidated EBITDA margin is expected to be lower than the
historical average (projected at 6%-7%), given Keystone's
traditionally lower margin businesses, although Keystone's more
predictable and consistent cash flow somewhat offsets the high
volatility of commodity-type fresh meat sales.

As Marfrig integrates its assets and increases the utilization
capacity of its plants, it should face some working capital needs,
which, combined with high capital expenditure and sizable interest
payments, should lead to negative free operating cash flow this
year, limiting capacity to significantly reduce its leverage
parameters.  S&P expects adjusted debt to EBITDA to improve very
gradually from S&P's projection of about 6.7x by December 2011.

S&P views Marfrig's liquidity as adequate.  Cash reserves
accounted for Brazilian reais (BRL)5.3 billion as of Sept. 30,
2010, out of which BRL1.52 billion was disbursed in fourth-quarter
2010 to pay down Keystone's acquisition.  Total adjusted debt
amounted to BRL12 billion in September 2010, from which BRL2.2
billion matures in the short term.  According to S&P's criteria,
S&P adjust the company's debt to include the BRL2.5 billion
convertible debentures issued to fund Keystone's acquisition,
renegotiated taxes, discounted trade receivables, and operating
leases.  S&P considers Marfrig to have some refinancing risks to
roll over short-term debt (mainly export finance operations) at
the same time it invests in working capital to increase the
capacity of slaughtering plants and to integrate acquired assets.
However, S&P views the company's access to equity and credit
markets, and long-term relationship with banks as positive, which
has enabled it to refinance loans and gradually extend its debt
profile.  S&P expects free operating cash flow to remain negative
in 2011, given the company's sizable capital expenditure and
working capital needs.  Financial covenants are calculated based
on balance sheet debt and are very comfortable.

The stable outlook reflects S&P's expectation that Marfrig will
deliver more stable cash flows with higher participation of
branded products and distribution services in consolidated
revenues.  S&P also believe that positive growth fundamentals in
most markets in which it is present will allow Marfrig to
gradually increase cash generation to help it deleverage.  S&P
could raise the ratings if the company reduces adjusted leveraged
ratios, including a total adjusted debt to EBITDA consistently
below 6x coupled with maintaining adequate liquidity.  If the
company lags deleveraging because of additional debt to fund
further acquisitions or if unfavorable market conditions occur,
including higher raw material prices that would hurt operating
margins or weaken liquidity, S&P could lower the ratings.


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


139 MOBILE: Shareholders' Final Meeting Set for March 15
--------------------------------------------------------
The shareholders of 139 Mobile Internet (Cayman) Limited will hold
their final meeting on March 15, 2011, at 10:00 a.m., to receive
the liquidators' report on the company's wind-up proceedings and
property disposal.

The company's liquidators are:

          Ye Bing
          Tu Zhi Sen
          Telephone: 8610-66496085
          Facsimile: 8610-66496027
          16th Floor, No. 131A
          North Xidan Avenue
          Xicheng District
          Beijing, China 100032


AGA INTERNATIONAL: Shareholders' Final Meeting Set for March 21
---------------------------------------------------------------
The shareholders of Aga International, Ltd. will hold their final
meeting on March 21, 2011, at 12:00 noon, to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Glenn Garaudy
          3500 North Causeway Blvd.
          Suite 600, Metairie
          Louisiana 70002
          U.S.A.


CHEYNE LEVERAGE: Shareholders' Final Meeting Set for March 18
-------------------------------------------------------------
The shareholders of Cheyne Leverage Special Purpose Asset Vehicle
Inc. will hold their final meeting on March 18, 2011, at
9:30 a.m., to receive the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

          Walkers Corporate Services Limited
          Walker House, 87 Mary Street
          George Town, Grand Cayman KY1-9002
          Cayman Islands


CHEYNE SPECIAL: Shareholders' Final Meeting Set for March 18
------------------------------------------------------------
The shareholders of Cheyne Special Purpose Asset Vehicle Inc. will
hold their final meeting on March 18, 2011, at 9:15 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Walkers Corporate Services Limited
          Walker House, 87 Mary Street
          George Town, Grand Cayman KY1-9002
          Cayman Islands


DUKE FUNDING: Shareholders' Final Meeting Set for March 21
----------------------------------------------------------
The shareholders of Duke Funding High Grade II-S / EGAM I, Ltd.
will hold their final meeting on March 21, 2011, at 9:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Victor Murray
          c/o Maples Liquidation Services (Cayman) Limited
          P.O. Box 1093, Boundary Hall
          Grand Cayman KY1-1102
          Cayman Islands


HGM ASSET: Shareholders' Final Meeting Set for March 18
-------------------------------------------------------
The shareholders of HGM Asset Finance Cayman Limited will hold
their final meeting on March 18, 2011, to receive the liquidator's
report on the company's wind-up proceedings and property disposal.

The company's liquidator is:

          David Dyer
          P.O. Box 1984, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345)949-8244
          Facsimile: (345)949-5223


IT ESTATE: Shareholders' Final Meeting Set for March 18
-------------------------------------------------------
The shareholders of IT Estate Holdings Inc. will hold their final
meeting on March 18, 2011, at 9:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Victor Murray
          c/o Maples Liquidation Services (Cayman) Limited
          P.O. Box 1093, Boundary Hall
          Grand Cayman KY1-1102
          Cayman Islands


JUBILEE INCORPORATIONS: Member to Hear Wind-Up Report on Feb. 28
----------------------------------------------------------------
The sole member of Jubilee Incorporations will receive on
February 28, 2011, at 10:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          HSBC Trustee (Singapore) Limited
          21 Collyer Quay, #09-01
          HSBC Building
          Singapore 049320


KALLISTA CREDIT: Shareholders' Final Meeting Set for March 16
-------------------------------------------------------------
The shareholders of Kallista Credit Arbitrage Fund Limited will
hold their final meeting on March 16, 2011, at 10:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Hugh Dickson
          c/o Phillip Tyrrell
          P.O. Box 1370, Grand Cayman KY1- 1108
          Cayman Islands
          Telephone: (345) 815 8246
          Facsimile: (345) 949 7120


KALLISTA CREDIT: Shareholders' Final Meeting Set for March 16
-------------------------------------------------------------
The shareholders of Kallista Credit Arbitrage Master Fund Limited
will hold their final meeting on March 16, 2011, at 10:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Hugh Dickson
          c/o Phillip Tyrrell
          P.O. Box 1370, Grand Cayman KY1- 1108
          Cayman Islands
          Telephone: (345) 815 8246
          Facsimile: (345) 949 7120


KALLISTA CREDIT: Shareholders' Final Meeting Set for March 16
-------------------------------------------------------------
The shareholders of Kallista Credit Opportunities Fund Limited
will hold their final meeting on March 16, 2011, at 10:00 a.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Hugh Dickson
          c/o Phillip Tyrrell
          P.O. Box 1370, Grand Cayman KY1- 1108
          Cayman Islands
          Telephone: (345) 815 8246
          Facsimile: (345) 949 7120


MAJESBIC COMPANY: Member to Hear Wind-Up Report on February 28
--------------------------------------------------------------
The sole member of Majesbic Company Limited will receive on
February 28, 2011, at 10:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Lion International Management Limited
          P.O. Box 71, Craigmuir Chambers
          Road Town, Tortola
          British Virgin Islands


MH GROUP: Member to Hear Wind-Up Report on March 17
---------------------------------------------------
The sole member of MH Group Limited will receive on March 17,
2011, at 11:00 a.m., the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

          Mr. Hepburn Bruce
          14 Chesterfield Road
          Chiswick, London
          England W4 3HG
          United Kingdom


PENDRAGON (MERLIN): Shareholders' Final Meeting Set for March 8
---------------------------------------------------------------
The shareholders of Pendragon (Merlin) Fund Inc. will hold their
final meeting on March 8, 2011, at 10:30 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Stuart Sybersma
          c/o Jennifer Chailler
          Deloitte & Touche
          P.O. Box 1787, Grand Cayman KY1-1109
          Cayman Islands
          Telephone: (345) 949-7500
          Facsimile: (345) 949-8258


SIMAC TRADING: Shareholders' Final Meeting Set for March 10
-----------------------------------------------------------
The shareholders of Simac Trading will hold their final meeting on
March 10, 2011, at 9:00 a.m., to receive the liquidator's report
on the company's wind-up proceedings and property disposal.

Christopher D. Johnson is the company's liquidator.


SKY HOLDING: Shareholders' Final Meeting Set for March 18
---------------------------------------------------------
The shareholders of Sky Holding Company II Ltd. will hold their
final meeting on March 18, 2011, at 10:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Walkers Corporate Services Limited
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002
          Cayman Islands


UBS-ARMR 2007-2: Shareholders' Final Meeting Set for March 18
-------------------------------------------------------------
The shareholders of UBS-ARMR 2007-2, Ltd. will hold their final
meeting on March 18, 2011, at 10:15 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Walkers SPV Limited
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002
          Cayman Islands


VALHALLA SYNERGY: Shareholders' Final Meeting Set for March 15
--------------------------------------------------------------
The shareholders of Valhalla Synergy Ltd. will hold their final
meeting on March 15, 2011, at 10:30 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Mourant Ozannes Cayman Liquidators Limited
          Harbour Centre, 42 North Church Street
          George Town
          P.O. Box 1348, Grand Cayman KY1-1108
          Cayman Islands


VALHALLA SYNERGY: Shareholders' Final Meeting Set for March 15
--------------------------------------------------------------
The shareholders of Valhalla Synergy Master Fund Ltd. will hold
their final meeting on March 15, 2011, at 10:00 a.m., to receive
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Mourant Ozannes Cayman Liquidators Limited
          Harbour Centre, 42 North Church Street
          George Town
          P.O. Box 1348, Grand Cayman KY1-1108
          Cayman Islands


WATERLOO FULLY: Shareholders' Final Meeting Set for March 21
------------------------------------------------------------
The shareholders of Waterloo Fully Invested Fund, Ltd will hold
their final meeting on March 21, 2011, at 4:00 p.m., to receive
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          DMS Corporate Services Ltd
          c/o Bernadette Bailey-Lewis
          Telephone: (345) 946 7665
          Facsimile: (345) 946 7666
          dms House, 2nd Floor
          P.O. Box 1344, Grand Cayman KY1-1108
          Cayman Islands


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


MEXICANA AIRLINES: PC Capital Acquires Firm
-------------------------------------------
Radio Cadena Agramonte reports that after six months of
negotiations, PC Capital is the new owner of Mexicana de Aviacion
or Mexicana Airlines.  The airline will reopen ticket sales on
Feb. 28.

According to Radio Cadena Agramonte, citing press reports, with
the announcement that Tenedora K transferred the shares to the
airport group, there were also reported the names of the new
investors of the company, among which appear a Bolivian-born
businessman, who owns Avianca airlines.

After the payment of Mexicana Airlines' shares, Fernando Perfecto,
secretary general of the Air Line Pilots Association (ALPA), said
all the decisions should be made to form the new board of
directors, Radio Cadena Agramonte discloses.

Radio Cadena Agramonte notes that Mr. Perfecto stated that at this
early stage, operations will be resumed with 280 pilots, a figure
that will increase gradually to reach 400 for the first half of
this year.

                    About Mexicana Airlines

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.


                            ***********


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
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re-mailing and photocopying) is strictly prohibited without prior
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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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