/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/110307.mbx T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Monday, March 7, 2011, Vol. 12, No. 46 Headlines A R G E N T I N A ASTMAX CGM: Creditors' Proofs of Debt Due March 28 CALEDONIAN REINSURANCE: Members' Final Meeting Set for March 31 CC ASSURANCE: Creditors' Proofs of Debt Due March 21 GP INVESTMENTS: S&P Affirms 'BB-' Counterparty Credit Rating GS PEP TECH: Shareholders' Final Meeting Set for April 1 HALCYON STRUCTURED: Shareholders' Final Meeting Set for April 1 ICM OPPORTUNITY: Shareholders' Final Meeting Set for April 1 MASTER TREND: Shareholders' Final Meeting Set for April 1 PLAINFIELD ACCEPTANCE: Creditors' Proofs of Debt Due March 28 RAB EMERGING: Shareholders' Final Meeting Set for March 22 REACHCAPITAL INTERNATIONAL: Shareholders' Meeting Set for April 1 SAXLINGHAM EUROPE: Creditors' Proofs of Debt Due March 31 SIAM CROSS-STRAIT: Shareholders' Final Meeting Set for April 1 TANMIYAT SUKUK: Shareholders' Final Meeting Set for April 4 TRADEX CURRENCY: Creditors' Proofs of Debt Due March 28 TRADEX CURRENCY: Creditors' Proofs of Debt Due March 28 VARA GLOBAL: Shareholders' Final Meeting Set for March 28 VARA GLOBAL: Shareholders' Final Meeting Set for March 28 WALL CAPITAL: Creditors' Proofs of Debt Due March 21 WHARF CAPITAL: Creditors' Proofs of Debt Due March 28 WHARF INTERNATIONAL: Creditors' Proofs of Debt Due March 28 B R A Z I L INVEPAR: Moody's Reviews 'Ba2' Rating to Senior Debentures M E X I C O MEXICANA AIRLINES: Initiates Talks With Several Investor Groups VITRO SAB: Judge to Study Appeal on Dismissal of Bankruptcy Case X X X X X X X X * BOND PRICING: For the Week February 28 to March 4, 2011 - - - - - ================= A R G E N T I N A ================= ASTMAX CGM: Creditors' Proofs of Debt Due March 28 -------------------------------------------------- The creditors of ASTMAX CGM Fund Ltd. are required to file their proofs of debt by March 28, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 9, 2011. The company's liquidator is: Marc Randall c/o Maples Liquidation Services (Cayman) Limited P.O. Box 1093, Boundary Hall, Grand Cayman KY1-1102 Cayman Islands CALEDONIAN REINSURANCE: Members' Final Meeting Set for March 31 --------------------------------------------------------------- The members of Caledonian Reinsurance SPC will hold their final meeting on March 31, 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: Bernard McGrath c/o #69 Dr. Roy's Drive P.O. Box 1043, George Town Grand Cayman KY1-1102 Cayman Islands Telephone: 949-0050 Facsimile: 949-8062 CC ASSURANCE: Creditors' Proofs of Debt Due March 21 ---------------------------------------------------- The creditors of CC Assurance Company, Ltd. are required to file their proofs of debt by March 21, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 3, 2011. The company's liquidator is: Russell Smith c/o Russell Homer Telephone: (345) 946-0820 Facsimile: (345) 946-0864 P.O. Box 2499, George Town KY1-1104 Grand Cayman Cayman Islands GP INVESTMENTS: S&P Affirms 'BB-' Counterparty Credit Rating ------------------------------------------------------------ Standard & Poor's Ratings Services said that it affirmed its 'BB-' long-term counterparty credit rating on GP Investments Ltd. The outlook is stable. The rating on GP mainly reflects an insufficient level of recurring cash revenues (mainly management fees) to cover operating and financial expenses. The rating also considers the high geographical concentration of GP's investment portfolio in Brazil and the inherent volatility of the private equity business. "These weaknesses are partly offset by GP's leading position in the Brazilian private equity industry, the large experience and strong reputation of its team of professionals, good track record of most of its investments, good liquidity, and good performance of the Brazilian economy," said Standard & Poor's credit analyst Sergio Fuentes. The good track record of most of its investments reflects its adequate investment strategy of controlling or sharing control of equity stakes and focusing on actively participating in medium and large Brazilian companies. GP does not participate in start-ups, non-environmentally friendly, and weapon-related companies. In addition, the company complies with certain policies on maximum concentration by company and by industry, but the concentration of its current investment portfolio in 10 Brazilian companies compares unfavorably with other global private equity firms. GP currently manages three funds (GPCP III, GPCP IV, and GPCP V) with investments in nine Brazilian companies and a total investment value of about US$1.3 billion as of Sept. 30, 2010. GP collects a 2% management fee on the limited partner's committed capital during the first five years of the funds and on the net invested capital thereafter. GP participates with relatively high minority equity stakes (US$427 million as of Sept. 30, 2010) in the three funds and also with direct equity stakes (about $91 million as of Sept. 30, 2010). Thus it not only collects management and performance fees on the limited partners' stakes, but it also benefits from the appreciation of its share in the funds. In addition, GP has the right to collect dividends from its 84.5% participation in BRZ Investimentos S.A., a Brazilian asset management company with about US$2.5 billion in assets under management. During 2011, S&P expects that GP's management fees and interest income from its short-term financial investments will not be enough to cover operating (payroll, bonuses on management fees, and administrative) and financial expenses. S&P also don't expect dividends from BRZ Investimentos in 2011. Thus, S&P believes GP will depend on the collection of performance fees, divestitures of its own investments, or on its cash position of about $500 million as of Sept. 30, 2010, to cover them. Going forward, S&P expects assets under management to increase to about US$2.4 billion (without considering changes in the value of the investments) by 2013, assuming that GPCP V will be fully invested. GP enjoys good liquidity. The company had a high US$509 million in cash and liquid securities (about 50% invested in corporate bonds) as of Sept. 30, 2010. S&P expects that these liquid assets, as well as management fees, interest income, and proceeds from potential divestments and performance fees, would be enough to finance payroll, administrative, bonuses, financial expenses, and investment commitments for about US$320 million in GPCP V in 2011 and 2012. The stable outlook reflects GP's good liquidity, adequate debt structure, and S&P's expectation that the good Brazilian economy will benefit the company's investment portfolio during 2011. A potential upgrade would require a significant increase in recurring revenues, which S&P does not anticipate in the short term. S&P could lower the rating if the company's liquidity position falls below US$100 million or if the results of its investment portfolio significantly deteriorate. GS PEP TECH: Shareholders' Final Meeting Set for April 1 -------------------------------------------------------- The shareholders of GS Pep Tech Offshore EZC Holdings, Inc. will hold their final meeting on April 1, 2011, at 8:45 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 HALCYON STRUCTURED: Shareholders' Final Meeting Set for April 1 --------------------------------------------------------------- The shareholders of Halcyon Structured Asset Management Long Secured/Short Unsecured CLO 2007 Ltd. will hold their final meeting on April 1, 2011, at 9:45 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 ICM OPPORTUNITY: Shareholders' Final Meeting Set for April 1 ------------------------------------------------------------ The shareholders of ICM Opportunity Fund Ltd. will hold their final meeting on April 1, 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 MASTER TREND: Shareholders' Final Meeting Set for April 1 --------------------------------------------------------- The shareholders of Master Trend Capital Management (Cayman) Limited will hold their final meeting on April 1, 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: Walkers Corporate Services Limited Walker House, 87 Mary Street George Town, Grand Cayman KY1-9002 Cayman Islands PLAINFIELD ACCEPTANCE: Creditors' Proofs of Debt Due March 28 ------------------------------------------------------------- The creditors of Plainfield Acceptance International Ltd. are required to file their proofs of debt by March 28, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 9, 2011. The company's liquidator is: Marc Randall c/o Maples Liquidation Services (Cayman) Limited P.O. Box 1093, Boundary Hall, Grand Cayman KY1-1102 Cayman Islands RAB EMERGING: Shareholders' Final Meeting Set for March 22 ---------------------------------------------------------- The shareholders of Rab Emerging Markets Opportunities (Master) Fund Limited will hold their final meeting on March 22, 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: Avalon Management Limited Landmark Square, 1st Floor 64 Earth Close, West Bay Beach P.O. Box 715, Grand Cayman KY1-1107 Cayman Islands Facsimile: 1 345 769-9351 REACHCAPITAL INTERNATIONAL: Shareholders' Meeting Set for April 1 ----------------------------------------------------------------- The shareholders of Reachcapital International Fund I, Ltd. will hold their final meeting on April 1, 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 SAXLINGHAM EUROPE: Creditors' Proofs of Debt Due March 31 --------------------------------------------------------- The creditors of Saxlingham Europe Fund Limited are required to file their proofs of debt by March 31, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 10, 2011. The company's liquidator is: Darren Swayne c/o MaplesFS Limited Boundary Hall, Cricket Square, 4th Floor George Town, Grand Cayman Cayman Islands c/o Victor Murray Telephone: 345 814 5722 SIAM CROSS-STRAIT: Shareholders' Final Meeting Set for April 1 -------------------------------------------------------------- The shareholders of Siam Cross-Strait Investment Fund will hold their final meeting on April 1, 2011, at 8:30 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 TANMIYAT SUKUK: Shareholders' Final Meeting Set for April 4 ----------------------------------------------------------- The shareholders of Tanmiyat Sukuk Company will hold their final meeting on April 4, 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: Ohad Corporate Services Limited c/o Stefan Cnoops e-mail: stefan.cnoops@ohad.com P.O. Box 2681, Grand Cayman KY1-1111 Cayman Islands Telephone: + 973 17 213 199 Facsimile: + 973 17 213 198 TRADEX CURRENCY: Creditors' Proofs of Debt Due March 28 ------------------------------------------------------- The creditors of Tradex Currency Fund Holdings SPC, Ltd. are required to file their proofs of debt by March 28, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 9, 2011. The company's liquidators are: Mourant Ozannes Cayman Liquidators Limited Mourant Ozannes Attorneys-at-Law Reference: JJW Telephone: (+1) 345 949 4123 Facsimile: (+1) 345 949 4647; or Mourant Ozannes Cayman Liquidators Limited Reference: Peter Goulden Telephone: (+1) 345 949 4123 Facsimile: (+1) 345 949 4647 Harbour Centre 42 North Church Street P.O. Box 1348, George Town Grand Cayman KY1-1108 Cayman Islands TRADEX CURRENCY: Creditors' Proofs of Debt Due March 28 ------------------------------------------------------- The creditors of Tradex Currency Fund SPC, Ltd. are required to file their proofs of debt by March 28, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 9, 2011. The company's liquidators are: Mourant Ozannes Cayman Liquidators Limited Mourant Ozannes Attorneys-at-Law Reference: JJW Telephone: (+1) 345 949 4123 Facsimile: (+1) 345 949 4647; or Mourant Ozannes Cayman Liquidators Limited Reference: Peter Goulden Telephone: (+1) 345 949 4123 Facsimile: (+1) 345 949 4647 Harbour Centre 42 North Church Street P.O. Box 1348, George Town Grand Cayman KY1-1108 Cayman Islands VARA GLOBAL: Shareholders' Final Meeting Set for March 28 --------------------------------------------------------- The shareholders of Vara Global Macro Fund, Ltd will hold their final meeting on March 28, 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 dms Corporate Services Ltd. dms House, 2nd Floor P.O. Box 1344, Grand Cayman KY1-1108 Cayman Islands Telephone: (345) 946 7665 Facsimile: (345) 946 7666 VARA GLOBAL: Shareholders' Final Meeting Set for March 28 --------------------------------------------------------- The shareholders of Vara Global Macro Master Fund Ltd will hold their final meeting on March 28, 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 dms Corporate Services Ltd. dms House, 2nd Floor P.O. Box 1344, Grand Cayman KY1-1108 Cayman Islands Telephone: (345) 946 7665 Facsimile: (345) 946 7666 WALL CAPITAL: Creditors' Proofs of Debt Due March 21 ---------------------------------------------------- The creditors of Wall Capital Limited are required to file their proofs of debt by March 21, 2011, to be included in the company's dividend distribution. The company commenced wind-up proceedings on February 11, 2011. The company's liquidator is: Avalon Management Limited Reference: GL Telephone: (+1) 345 769 4422 Facsimile: (+1) 345 769 9351 Landmark Square, 1st Floor, 64 Earth Close West Bay Beach P.O. Box 715, George Town Grand Cayman KY1-1107 Cayman Islands WHARF CAPITAL: Creditors' Proofs of Debt Due March 28 ----------------------------------------------------- The creditors of Wharf Capital International Limited are required to file their proofs of debt by March 28, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 9, 2011. 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 WHARF INTERNATIONAL: Creditors' Proofs of Debt Due March 28 ----------------------------------------------------------- The creditors of Wharf International Finance Limited are required to file their proofs of debt by March 28, 2011, to be included in the company's dividend distribution. The company commenced liquidation proceedings on February 9, 2011. 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 =========== B R A Z I L =========== INVEPAR: Moody's Reviews 'Ba2' Rating to Senior Debentures ---------------------------------------------------------- Moody's America Latina placed on review for possible downgrade the Ba2 rating on the global scale and the A1.br ratings on the Brazilian national scale of the BRL450 million senior unsecured debentures issued by Invepar and guaranteed by its operating subsidiary Linha Amarela S.A. At the same time, Moody's affirmed Invepar's corporate family ratings of Ba3 and A2.br and Metro Rio's Issuer Ratings of Ba3 and A3.br and changed the outlook for those ratings to negative from stable. The review was prompted by Moody's perception of increased credit risk at the subsidiary guarantor, Lamsa, as a result of additional investment requirements through 2012. In spite of long-term compensations provided by the amendment of its concession agreement, the unexpected increase in Lamsa's leverage creates additional near-term pressure on the group's already high consolidated leverage and weak liquidity position. Invepar's operating performance to date has been moderately weaker than Moody's initial expectation and leverage is likely to remain high in the medium term to support its significant investment plans, which may challenge the company's ability to achieve the credit metrics required for the Ba3 rating category. Nevertheless, Moody's has affirmed Invepar's corporate family ratings and Metro Rio's issuer ratings given the strong evidence of financial support from its shareholders over the last couple years. The negative outlook reflects Moody's expectation that prolonged high leverage coupled with an inadequate liquidity profile in the current environment of rising interest rates in Brazil could lead to higher debt costs, weaker coverage ratios for the rating category and an increasing likelihood of a possible covenant violation in the near term. Ratings under review for downgrade include: -- BRL450 million senior unsecured debentures issued by Invepar and guaranteed by Linha Amarela S.A.(Lamsa): Ba2/A1.br These ratings were affirmed with negative outlook: Issuer: Invest. E Part. Em Infra-Estr S.A. -- Corporate Family Ratings: Ba3 (global scale) / A2.br (Brazil national scale) Issuer: Concessao Metroviaria Rio de Janeiro S/A (Metro Rio) -- Issuer Ratings: Ba3 /A3.br Ratings Rationale Invepar's Ba3 and A2.br corporate family ratings reflect the inherently stable and predictable cash flow of its subsidiaries, which are supported by long-term concession contracts for toll roads and subway services. The ratings also reflect the strengthened capital structure of Invepar following the issuance of BRL799 million in new equity in 2009 and an additional BRL375 million in 2010, which is evidence of the strong financial support Invepar has from its shareholders; however, the ratings are currently pressured by the significant amount of debt due in the near term and the group's high leverage when compared to its local peers (illustrated by a Funds from Operations (FFO)-to-Debt ratio adjusted according to Moody's standard adjustments of 6.2% for the last twelve months ended September 30, 2010). Other factors pressuring Invepar's ratings include its rather ambitious business plan, not only within the scope of its existing businesses that calls for investments of approximately BRL2.4 billion over the next five years, but also for the potential new ventures in the infrastructure sector. Thus, the ratings reflect a high dependence of new equity capital from the shareholders in a timely manner over the next several years. The Ba2 and A1.br ratings on Invepar's BRL450 million debentures are one notch higher than the corporate family ratings to reflect the solid cash flow of Lamsa, which is supported by a long-term concession contract for toll road services in the city of Rio de Janeiro. Lamsa is not only the guarantor of these debentures, but its dividends are also the primary source of cash to meet the debt service at the level of the holding company in the short term. The other two major sources of cash to the Invepar holding company, the operating subsidiaries Metro Rio and Concessionaria Auto Raposo Tavares S.A. are involved in significant capital expenditure programs and Moody's does not expect these two companies to distribute dividends before 2019. To date, Lamsa has exhibited strong credit metrics for the rating category and a relatively long track record since 1998 of improving operating performance, but the company has recently engaged in additional investments for road improvements that will translate into lower free cash flows in the near term. Moody's will evaluate within the next three months if the one-notch difference is adequate in the face of the expected additional leverage associated with these investments. On May 14, 2010, Lamsa signed an amendment to its concession agreement, whereby the City Government of Rio de Janeiro granted an additional 15 years in the term of this concession, extending it until January 2037. In exchange, Lamsa committed to investing BRL258 million in road improvements through 2012. In order to fully restore its financial equilibrium based on an internal rate of return of 10.9%, the concessionaire has also negotiated a tariff increase of 2.32% per year from June 2012 through June 2015, in addition to the annual pass through of inflation. In spite of these compensations, the unexpected increase in Lamsa's leverage creates additional pressure on the group's consolidated leverage and liquidity position for the short term. The ultimate magnitude of an increase in leverage at Lamsa could potentially violate the financial covenants embedded in the indenture of Invepar's debentures, including a maximum Net Debt-to-EBITDA ratio of 2.0x for Lamsa and 5.8x for the Invepar consolidated company in 2010 (5.0x in 2011). Further potential cash flow pressures on the subsidiary guarantor, Lamsa, also constrain the debenture's ratings because of the lack of adequate ring-fencing through strong contractual provisions that prevent Lamsa from granting intercompany loans. Moody's notes that intercompany loans within the Invepar could be used more frequently. While this practice reduces the cost of debt for Invepar on a consolidated basis, it increases the potential for cross-defaults, which brings the risks of financially weaker subsidiaries into the credit profile of those subsidiaries that would otherwise have a higher rating. Metro Rio's Ba3 and A3.br ratings also reflect the stable and predictable nature of the cash flow derived from its long-term concession contract and a solid track record of operating performance along with the implicit support of financially strong shareholders. The ratings are pressured by its highly leveraged capital structure (evidenced by a FFO-to-Debt ratio adjusted according to Moody's standard adjustments of just 0.5% for the last twelve months as of September 30, 2010), and the ongoing risks associated with raising sufficient and timely long-term capital to fund its sizeable capital expenditure program of approximately BRL700 million over the next five years. Metro Rio experienced a significant increase in leverage as a result of the merger with Megapar in September 2009. The high leverage represents an additional risk since there are loans with the BNDES that include a financial covenant of EBITDA to Net interest expense higher than 2.0x. The risk of potential political interference with respect to fare adjustments and/or alterations to the current expansion plans to Rio's existing mass transportation system further constrain Metro Rio ratings. Despite some recent improvements, Invepar's consolidated liquidity profile remains weak in the face of the sizeable near-term debt maturities and significant expected cash outflows associated with its capital expenditure requirements. Like most Brazilian companies, Invepar does not have committed banking facility to fund significant unexpected cash disbursements. At September 30, 2010, Invepar reported consolidated short-term debt of BRL1.3 billion (including concession liabilities) vis-�-vis a cash position of BRL397 million. These maturities are expected to decrease during the first quarter of 2011 as a result of some successful refinancing activities. These included a BRL1.05 billion long-term loan approved by the BNDES last December to support Cart's capital expenditures (of which the first disbursement occurred last month replacing a bridge loan from the BNDES of approximately BRL261 million) and the issuance of a 2- year BRL400 million debenture by this subsidiary in January 2011. Additionally, some BRL230 million of Metro Rio's outstanding commercial paper has been amortized with the release of restricted cash on the balance sheet. Nevertheless, the overall debt maturity profile remains inadequate in relation to Invepar's estimated investments of approximately BRL2.4 billion over the next five years. The support of shareholders through capital injections and debt acquisition in the past has partially tempered this weak liquidity profile. Invepar's operating performance to date has been moderately weaker than Moody's initial expectation given the delays experienced in the implementation of new toll plazas at Cart and some technical difficulties in starting operations at the interconnection of lines 1 and 2 of Metro Rio. Going forward, Invepar's consolidated operating cash flows are likely to gradually increase as the new investments mature. Despite Moody's expectation that the strong financial support of Invepar's shareholders will continue, refinancing risk remains a major credit concern which has prompted the negative outlook; however, the outlook could be stabilized should Invepar obtain adequate long-term funding to finance its investment programs over the next 12 to 18 months and materially improve its overall liquidity position. Downward rating pressure will develop if Moody's perceives refinancing risk materially increasing or if there is a sustained deterioration in credit metrics so that Invepar's consolidated FFO-to-debt ratio, adjusted according to Moody's standard adjustments, remains below 8% and its consolidated interest coverage ratio stays below 2.0x for an extended period. Any reduction in the perceived level of support from shareholders could also trigger a downgrade. Investimentos e Participacoes em Infraestrutura S.A. (Invepar) is a holding company controlled by three of the largest Brazilian pension funds (PREVI, FUNCEF and PETROS) and the construction company OAS (unrated). Invepar was created in March 2000 to invest in other companies in the infrastructure segment. Its current portfolio of concessions consists of three toll roads: Linha Amarela S.A., Concessionaria Auto Raposo Tavares S.A. and Concessionaria Litoral Norte S.A., and one subway concession operated by Concessao Metroviaria Rio de Janeiro S/A. Invepar also participates in a joint venture with Construtora Norberto Odebrecht S.A. (Baa3/Aa1.br; Stable) on the recently auctioned BA- 093 road system in Bahia. Invepar reported consolidated net revenues of BRL695 million (US$390 million) and EBITDA of BRL249 million (US$140 million) in the last twelve months ended September 30, 2010. Metro Rio accounted for 54% of the revenues and 50% of the EBITDA. =========== M E X I C O =========== MEXICANA AIRLINES: Initiates Talks With Several Investor Groups --------------------------------------------------------------- Jonathan J. Levin at Bloomberg News reports that Compania Mexicana de Aviacion or Mexicana Airlines said in an e-mail statement has initiated talks with several investor groups interested in restarting the bankrupt airline. The company said that current conditions "favor the presentation of new proposals," according to Bloomberg. As reported in the Troubled Company Reporter-Latin America on March 4, 2011, Dow Jones Newswires said that Mexicana Airlines' planned return to the air suffered another setback when the private equity group that had secured agreements for a restructuring failed to come up with the capital to buy the shares from the current owners. PC Capital said that the transfer of funds to buy Mexicana's holding company Nuevo Grupo Aeronautico (NGA) wasn't made by the deadline set by current owner Tenedora K, according to Dow Jones' Newswires. The report recounted that Tenedora K took over Mexicana last year after the airline filed for bankruptcy protection and was grounded, but failed to secure labor and other agreements that would have made the airline viable. Dow Jones' Newswires disclosed that PC Capital came up with a business plan which government authorities approved, and secured agreements with pilots, flight attendants and ground staff that included significant layoffs. The report related that PC Capital, which hasn't publicly identified the would-be investors, said it would facilitate the transfer of the restructuring process to any other group of investors interested in capitalizing the airline. 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. VITRO SAB: Judge to Study Appeal on Dismissal of Bankruptcy Case ---------------------------------------------------------------- Thomas Black at Bloomberg News reports that Vitro, S.A.B. de C.V. said a Mexican judge decided to study an appeal that seeks to have the company's bankruptcy filing accepted. The same judge on Jan. 28, 2011, had rejected the appeal, which Vitro SAB filed after its bankruptcy plan was dismissed, Vitro said in an e-mailed statement obtained by Bloomberg. As reported in the Troubled Company Reporter-Latin America on Jan. 26, 2011, Bloomberg News said that Vitro SAB Chief Executive Officer Hugo Lara said the company filed an appeal in Mexican court to challenge a ruling dismissing the company's voluntary bankruptcy petition. According to Bloomberg, Mr. Lara said it was legal to use US$1.9 billion of intercompany debt to gain majority support for a debt plan that was rejected by third-party creditors. A TCR-LA report on Jan. 12, 2011, citing Bloomberg News, related that Vitro SAB said a Mexican judge rejected a bankruptcy plan the company filed in a Monterrey court. The company plans to appeal the judge's decision to dismiss the petition for bankruptcy, Vitro said in an e-mailed statement obtained by the news agency. About Vitro SAB Headquartered in Monterrey, Mexico, Vitro, S.A.B. de C.V. (BMV: VITROA; NYSE: VTO), through its two subsidiaries, Vitro Envases Norteamerica, SA de C.V. and Vimexico, S.A. de C.V., is a global glass producer, serving the construction and automotive glass markets and glass containers needs of the food, beverage, wine, liquor, cosmetics and pharmaceutical industries. Vitro is the largest manufacturer of glass containers and flat glass in Mexico, with consolidated net sales in 2009 of MXN23,991 million (US$1.837 billion). Vitro defaulted on its debt in 2009, and is now seeking to restructure around US$1.5 billion in debt, including US$1.2 billion in notes. Vitro launched an offer to buy back or swap US$1.2 billion in debt from bondholders. The tender offer would be consummated with a bankruptcy filing in Mexico and Chapter 15 filing in the United States. Vitro said noteholders would recover as much as 73% by exchanging existing debt for cash, new debt or convertible bonds. The offer was to expire December 7, 2010. Noteholders who oppose the exchange, namely Knighthead Master Fund, L.P., Lord Abbett Bond-Debenture Fund, Inc., Davidson Kempner Distressed Opportunities Fund LP, and Brookville Horizons Fund, L.P. -- which hold US$75 million, or approximately 6% of the outstanding bond debt -- commenced involuntary bankruptcy cases under Chapter 11 of the U.S. Bankruptcy Code against Vitro Asset Corp. (Bankr. N.D. Tex. Case No. 10-47470) and nine other affiliates on November 17, 2010. Vitro engaged Susman Godfrey, L.L.P. as U.S. special litigation Counsel to analyze the potential rights that Vitro may exercise in the United States against the ad hoc group of dissident bondholders and its advisors. A larger group of noteholders, known as the Ad Hoc Group of Vitro Noteholders -- comprised of holders, or investment advisors to holders, which represent approximately US$650 million of the Senior Notes due 2012, 2013 and 2017 issued by Vitro -- was not among the Chapter 11 petitioners, although the group has expressed concerns over the exchange offer. The group says the exchange offer exposes Noteholders who consent to potential adverse consequences that have not been disclosed by Vitro. The group is represented by John Cunningham, Esq., and Richard Kebrdle, Esq. at White & Case LLP. The U.S. affiliates subject to the involuntary petitions are Vitro Chemicals, Fibers & Mining, LLC (Bankr. N.D. Tex. Case No. 10 47472); Vitro America, LLC (Bankr. N.D. Tex. Case No. 10-47473); Troper Services, Inc. (Bankr. N.D. Tex. Case No. 10-47474); Super Sky Products, Inc. (Bankr. N.D. Tex. Case No. 10-47475); Super Sky International, Inc. (Bankr. N.D. Tex. Case No. 10-47476); VVP Holdings, LLC (Bankr. N.D. Tex. Case No. 10-47477); Amsilco Holdings, Inc. (Bankr. N.D. Tex. Case No. 10-47478); B.B.O. Holdings, Inc. (Bankr. N.D. Tex. Case No. 10-47479); Binswanger Glass Company (Bankr. N.D. Tex. Case No. 10-47480); Crisa Corporation (Bankr. N.D. Tex. Case No. 10-47481); VVP Finance Corporation (Bankr. N.D. Tex. Case No. 10-47482); VVP Auto Glass, Inc. (Bankr. N.D. Tex. Case No. 10-47483); V-MX Holdings, LLC (Bankr. N.D. Tex. Case No. 10-47484); and Vitro Packaging, LLC (Bankr. N.D. Tex. Case No. 10-47485). Vitro SAB on December 13, 2010, filed its voluntary petition for a pre-packaged Concurso Plan in the Federal District Court for Civil and Labor Matters for the State of Nuevo Leon, thereby commencing its voluntary concurso mercantil proceedings. Vitro SAB believes that, as a result of the implementation of the Concurso Plan through the Mexican Proceeding, the holders of the Restructured Debt will recover 68% to 75% of the face value of their respective claims. Vitro SAB also commenced parallel proceedings under Chapter 15 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 10-16619) in Manhattan on December 13, 2010, to seek U.S. recognition and deference to its bankruptcy proceedings in Mexico. Alejandro Francisco Sanchez-Mujica, as foreign representative of Vitro, has asked the U.S. Bankruptcy Court to enter an order recognizing the Mexican Proceeding as "foreign main proceeding" pursuant to 11 U.S.C. Sections 1515 and 1517. Early in January 2011, the Mexican Court dismissed the Concurso Mercantil proceedings. =============== X X X X X X X X =============== * BOND PRICING: For the Week February 28 to March 4, 2011 --------------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- ARGENTINA --------- ARGENT- DIS 5.83 12/31/2033 ARS 165.8 ARGENT-PAR 1.18 12/31/2038 ARS 62.5 ARGENT-DIS 7.82 12/31/2033 EUR 70.25 ARGENT-DIS 7.82 12/31/2033 EUR 72 ARGENT-DIS 4.33 12/31/2033 JPY 42 ARGENT-PAR&GDP 0.45 12/31/2038 JPY 8 BODEN 2014 2 9/30/2014 ARS 162 BOGAR 2018 2 2/4/2018 ARS 151 CAYMAN ISLAND ------------- BANCO BPI (CI) 4.15 11/14/2035 EUR 49.121 BANIF FIN LTD 3 12/31/2019 EUR 18.75 BCP FINANCE BANK 5.01 3/31/2024 EUR 56.783 BCP FINANCE BANK 5.31 12/10/2023 EUR 59.599 BCP FINANCE CO 5.543 EUR 59.83186 BCP FINANCE CO 4.239 EUR 58 BES FINANCE LTD 5.772 2/7/2035 EUR 58.15221 BES FINANCE LTD 5.58 EUR 61.01657 BES FINANCE LTD 4.5 EUR 60.46845 CHINA FORESTRY 7.75 11/17/2015 USD 62 CHINA FORESTRY 7.75 11/17/2015 USD 55 DUBAI HLDNG COMM 6 2/1/2017 GBP 76.14821 EFG ORA FUNDING 1.7 10/29/2014 EUR 65.36897 ESFG INTERNATION 5.753 EUR 59.725 IMCOPA INTL CAYM 10.375 12/16/2014 USD 38 PUBMASTER FIN 6.962 6/30/2028 GBP 53.09666 PUBMASTER FIN 8.44 6/30/2025 GBP 55.724 THPA FINANCE LTD 8.241 3/15/2028 GBP 72.93495 CHILE ----- AGUAS NUEVAS 3.4 5/15/2012 CLP 1.0996 CGE DISTRIBUCION 3.25 12/1/2012 CLP 39.74357 ESVAL S.A. 3.8 7/15/2012 CLP 37.65094 MASISA 4.25 10/15/2012 CLP 40.4049 VENEZUELA --------- PETROLEOS DE VEN 12.75 2/17/2022 USD 76.51667 VENEZUELA 7 3/31/2038 USD 55.25 VENEZUELA 7 3/31/2038 USD 54.07785 VENEZUELA 6 12/9/2020 USD 57.35 VENEZUELA 7.65 4/21/2025 USD 59.6 VENEZUELA 8.25 10/13/2024 USD 62.15 VENEZUELA 9.25 5/7/2028 USD 65.75 VENEZUELA 7.75 10/13/2019 USD 66.25 VENEZUELA 9 5/7/2023 USD 67 VENEZUELA 7 12/1/2018 USD 66.75 VENEZUELA 9.25 9/15/2027 USD 68.94757 VENEZUELA 9.25 9/15/2027 USD 71.5 VENEZUELA 5.75 2/26/2016 USD 71.1 VENZOD - 189000 9.375 1/13/2034 USD 66.25 *********** 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 * * *