TCRLA_Public/110318.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, March 18, 2011, Vol. 12, No. 55

                            Headlines



A N G U I L L A

VICEROY RESORT: Owners to Place Resort Into Bankruptcy


A R G E N T I N A

GRUPO ACP: S&P Assigns 'BB-' Counterparty Credit Rating
INDUSTRIAS METALURGICAS: S&P Affirms 'B+' Counterparty Rating


B R A Z I L

AMERICA LATINA: Moody's Assigns 'Ba3' Rating to Senior Notes


C A Y M A N   I S L A N D S

ABL CAPITAL: Court Enters Wind-Up Order
CDIB EUROPE: Creditors' Proofs of Debt Due April 4
FULCRUM THEMES: Creditors' Proofs of Debt Due April 4
FULCRUM THEMES: Creditors' Proofs of Debt Due April 4
HAYDOCK INVESTMENTS: Commences Liquidation Proceedings

HIGHFIELDS CAPITAL: Creditors' Proofs of Debt Due April 5
KAMAY HOLDINGS: Creditors' Proofs of Debt Due March 28
LONG TERM: Creditors' Proofs of Debt Due April 13
MIR HOLDINGS: Creditors' Proofs of Debt Due April 4
NEW INVESTMENT: Creditors' Proofs of Debt Due April 13

PN INCOME: Creditors' Proofs of Debt Due April 13
PORTO LIMITED: Creditors' Proofs of Debt Due April 13
PORTONOVO LIMITED: Creditors' Proofs of Debt Due April 13
RECOVERY ASSETS: Creditors' Proofs of Debt Due April 13
SOIRATKEN LIMITED: Creditors' Proofs of Debt Due April 5


P A N A M A

BANCOLOMBIA SA: Fitch Assigns Individual Rating at 'D'


                            - - - - -


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A N G U I L L A
===============


VICEROY RESORT: Owners to Place Resort Into Bankruptcy
------------------------------------------------------
The Wall Street Journal, citing people familiar with the matter,
reports that the owners of the Viceroy resort are preparing to put
the posh getaway into bankruptcy court in a deal that would hand
the hotel suites and villas to real-estate mogul Barry
Sternlicht's Starwood Capital.  The report relates that the
Viceroy, owned by a partnership of Viceroy Hotels & Resorts and
Lubert-Adler Real Estate Funds, plans to file for Chapter 11
bankruptcy protection in Delaware.

The Wall Street Journal notes that Starwood, the resort's largest
secured creditor, would then aim to take over the Viceroy, which
has hosted celebrities such as Paul McCartney, Ellen DeGeneres,
John Mayer and Sandra Bullock.

The Viceroy's current owners got a US$358 million mortgage from
Citigroup Inc. in 2006, the report recounts.  However, the report
relates that bad weather, labor difficulties and other
construction problems caused the first part of the Viceroy to open
more than a year behind schedule, in August 2009.

The Wall Street Journal says that the delay, in turn, allowed many
villa buyers to refuse to close their purchases.  Now, the
developers have a completed resort valued at less than the debt
owed on it, the report relates.

The Wall Street Journal discloses that Mr. Sternlicht has a plan
to save the Viceroy through a complex maneuver that straddles both
U.S. and Anguillan law.  The report relates that the laws of
Anguilla won't allow Starwood, which purchased the Viceroy's
mortgage at a steep discount in October, to foreclose on the
resort.  Instead, the 166-room Viceroy plans to file for
bankruptcy protection and then ask a U.S. judge to approve an
auction in Anguilla, which will be open to all comers, The Wall
Street Journal says.

Viceroy Hotels would continue to manage the resort under
Starwood's ownership, the people said, though the current owners'
investments would likely be wiped out, the report adds.

Viceroy resort is located in the Caribbean island of Anguilla.


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


GRUPO ACP: S&P Assigns 'BB-' Counterparty Credit Rating
-------------------------------------------------------
Standard & Poor's Ratings Services said that it assigned its 'BB-'
long-term counterparty credit rating to Grupo ACP Inversiones y
Desarrollo.  The outlook is stable.

The rating reflects Grupo ACP's heavy reliance on dividends from
MiBanco, Banco de La Microempresa S.A. (BB+/Stable/B) and the
group's aggressive business expansion.  Grupo ACP's business
profile is characterized by portfolio concentration in MiBanco,
accounting for 72% of the group's total cash.  MiBanco's
relatively good creditworthiness, the fact that the company has
control of most of its subsidiaries, and its dividend payout and
financial policies partially counterbalance the negative factors.

The gap between the 'BB-' rating on Grupo ACP and the 'BB+' long-
term counterparty credit rating on its core subsidiary MiBanco is
caused mainly by structural subordination.  Grupo ACP's debt
holders are subordinated to MiBanco's senior debt holders.  The
group still needs to consolidate the results of its aggressive
expansion in recent years.

As a nonprofit company, Grupo ACP reinvests 100% of its net
results.  The group has expanded its business aggressively, always
focused on the microfinance segment and complementary businesses
in Peru and the other eight countries in Latin America.  In the
past 10 years the group has incorporated 16 subsidiaries, having
major ownership of 13 (including MiBanco) and minor participations
in three financial companies in Bolivia, Paraguay, and El
Salvador.

Through several subsidiaries, Grupo ACP is involved in the
microfinance segment, mostly in Peru, with minor participations in
other Latin American countries.  MiBanco is by far the group's
largest subsidiary and cash contributor through dividend payments.
With total loans of Peruvian new soles 3,322 million ($1,264
million at a 2.79 exchange rate against the U.S. dollar) as of
Sept. 30, 2010, MiBanco is the fifth-largest of the 15 banks
operating in Peru, controlling 3.6% and 2.7% of the banking
system's loans and deposits, respectively.  However, it is the
leader in the microfinance segment with 17% of total microfinance
industry loans, and it has the largest client base.  The bank is
largely focused on microfinance, which comprises about 70% of its
total loans.

The rating also reflects the favorable prospects for the Peruvian
financial system, which S&P believes will enhance MiBanco's
ability to continue generating good results and paying dividends,
boosting Grupo ACP's cash generation.  Grupo ACP's repayment
capacity depends on dividends from its operating subsidiaries,
mainly MiBanco.

The stable outlook reflects S&P's expectation that Grupo ACP will
receive sizable dividends from MiBanco (and smaller dividends from
other subsidiaries) that will allow it to serve its debt.  The
stable outlook also assumes that the group will maintain the
financial flexibility that it receives as majority shareholder in
MiBanco and other operating subsidiaries.

S&P could raise the ratings if MiBanco improves its
creditworthiness or if the group consolidates and diversifies both
geographically and by business line of income inflows.  On the
other hand, S&P could lower the ratings if MiBanco's profitability
and dividend-payment ability deteriorate significantly, or if
Grupo ACP assume significantly higher debt levels as a result of
its aggressive expansion strategy.


INDUSTRIAS METALURGICAS: S&P Affirms 'B+' Counterparty Rating
-------------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its 'B+'
counterparty credit rating on Industrias Metalurgicas Pescarmona
S.A.I.C. y F. and its subsidiary WPE International Cooperatief
U.A, as well as the ratings on WPEIC's 2020 bonds after WPEIC
completed an add-on issue.  The outlook remains stable.

"The ratings on Latin American engineering, procurement, and
construction services provider IMPSA reflect the company's weak
business risk and aggressive financial risk profiles," said
Standard & Poor's credit analyst Diego Ocampo.

The ratings also reflect a still-modest position in the global
markets of EPC services for hydro power generation projects and
growing concentration in wind projects (which account for 60% of
the EPC division backlog).  The company's portfolio of medium-term
large infrastructure development projects exposes it to
cyclicality, cost pressures, and intense competition.  All these
factors hurt revenues and profit stability.  IMPSA's growing
portion of cash flows from its operations in Brazil brings more
predictable business conditions and partially counterbalances
these factors.  The cash flows also facilitate access to adequate
long-term financing--in contrast with more volatile jurisdictions
such as Argentina and Venezuela to which the company now has a
limited exposure.

Sizable debt levels, volatile working capital requirements, and an
ambitious growth plan, which results in volatile and often
negative free cash generation, underpin IMPSA's financial risk
profile.  IMPSA's enhanced financial flexibility and ability to
monetize projects to fund growth partially offset these
weaknesses.

S&P views the credit quality of IMPSA and its Brazilian
subsidiaries, Wind Power Energia S.A. (holding for WPEIC) and
WPEIC, as intrinsically intertwined given IMPSA's incentives to
support WPE, which is, in turn, its main source of future cash
flows and growth vehicle.  The guarantees that IMPSA provides to
WPE and WPEIC underscore the company's incentives to support the
Brazilian operations.

In S&P's opinion, IMPSA's liquidity is adequate.  Although as of
Jan. 31, 2010, the company had consolidated cash holdings of about
US$63 million compared with scheduled short-term debt payments of
US$116 million, WPEIC's second add-on issue further enhanced
IMPSA's financial flexibility.  This is particularly important
given that S&P expects minimal-to-negative free operating cash
generation in the next two years.  S&P expects the special purpose
vehicle financings to cover cash needs.

S&P is not assuming any future sale in the ownership of upcoming
wind farms, although the company has partly divested its first
project, Ceara I, and 45% of Energimp -- the holding company for
all Brazilian wind farm developments.  Potential future
divestitures of wind farms may provide additional cash for growth.

The stable outlook incorporates S&P's expectation that the company
will maintain leverage (debt to EBITDA) of less than 4x when
considering only debt with recourse to IMPSA.  A weaker liquidity
position, especially with the current investment plan, could lead
us to lower the ratings.  Potential rating upgrades would require
a further consolidation of IMPSA's wind farm development division
and a decrease in overall leverage.


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


AMERICA LATINA: Moody's Assigns 'Ba3' Rating to Senior Notes
------------------------------------------------------------
Moody's America Latina Ltda. has assigned a Ba3 global scale
rating and A3.br Brazilian national scale corporate family rating
to America Latina Logistica S.A. and to its proposed BRL600
million senior unsecured notes.  The proceeds will be used to
partially pay down debt coming due over the next two years
extending the company's debt maturity schedule and to fund its
ongoing capital expenditures program.  This is the first time
Moody's has assigned a rating to ALL.  The ratings outlook is
stable.

Assignments:

Issuer: America Latina Logistica S.A.

  -- Corporate Family Rating: (Ba3) (global scale); (A3.br)
     (Brazilian national scale)

  -- BRL600 million proposed senior unsecured debentures: A3.br
     (Brazilian national scale)

                        Ratings Rationale

"ALL's Ba3 rating reflects its position as the largest independent
operator of a rail network under long-term exclusive concession
agreements in the south and southeastern regions of Brazil and
parts of Argentina, an area that is responsible for 65% of
Mercosul's GDP and which also accounts for 78% of all of South
America's grain exports", said Filippe Goossens, Senior Vice
President of Moody's America Latina.  "The rating also takes into
consideration the strong relationships the company has developed
with a number of key players in the agricultural markets which
have as the only alternative shipping method the highly fragmented
and infrastructure-challenged trucking industry; the high degree
of take-or pay-contracts; its high operating margins when compared
to global peers in the B1-Ba3 rating category, an attractive
funding model for its rolling stock, and future growth
opportunities in the container shipping market through its
recently formed Brado Logistica venture" added Goossens.

On the other hand, ALL's rating is constrained by its high
leverage, a result of the under-investment in Brazil's railroad
infrastructure prior to the privatization of the system in 1997
and which has required and continues to require the company to
make significant catch-up investments; free cash flow which is not
expected to turn positive before 2013, partially due to the
ongoing investment in the Rondonopolis extension of its Malha
Norte concession; its high dependence on the shipment of
agricultural commodities (which can be subject to unforeseen
unfavorable weather conditions and export disruptions) and its
still largely regional focus despite the acquisition of its
Argentinean network in 1999.

The proposed BRL 600 million senior unsecured amortizing notes,
which will consist of two series (one with a five year and the
other with a seven year final maturity) and which will be issued
at the holding company level (ALL -- America Latina Logistica
S.A.), are similarly rated A3.br as they will benefit from an
unconditional guarantee from ALL Malha Sul; ALL Malha Oeste; ALL
Malha Paulista and ALL Malha Norte, its principal Brazilian
operating subsidiaries and as such mitigate the structural
subordination issue.  Proceeds will be used to refinance current
debt maturities, fund the company's ongoing capex program and
improve the company's debt maturity profile.

The stable outlook reflects Moody's expectation that ALL's rail-
based logistics operations will continue to benefit from the
booming world-wide demand for Brazil's agricultural products, that
capital expenditures will start to decline next year as a
percentage of revenues upon the completion of the Rondonopolis
project allowing the company to turn modestly free cash flow
positive by 2013 and that ALL will continue to be able to maintain
adequate liquidity to continue to invest in its business and
address upcoming debt maturities.

ALL, which started operations in 1997 following the privatization
of Brazil's ageing and inefficient railroad infrastructure,
operates a rail network that extends to 21,300 kilometers of
tracks in the heartland of Brazil's (Matto Grosso, Mato Grosso do
Sul, Sao Paulo, and the entire southern region of Brasil) and
Argentina's agricultural industry (Mendoza, San Luis, Cordoba,
Province of Buenos Aires and Corrientes) with 1,095 locomotives,
31,650 railcars, 650 highway vehicles, distribution centers and
warehousing facilities.  The company went public in 2004 and
counts BNDESPAR (the investment arm of Brazil's development bank)
and a number of national pension funds as its key investors.
Together, its group of controlling shareholders own 36,3% of the
total shares.  The company is listed on Bovespa's Novo Mercado
making it compliant with the country's highest corporate
governance standards.

As a result of the under-investment in Brazil's railroad
infrastructure prior to its privatization and the growth
opportunities presented by the expanding agri-markets in Brasil,
ALL is expected to remain free cash flow negative until at least
the end of 2012.  This weak cash flow performance has resulted in
a number of financial metrics such as leverage (Gross Adjusted
Debt/EBITDA of 4.5x and Gross Adjusted Net Debt/EBITDA of 3.9x,
when allowing for a minimum BRL 1 billion cash balance on hand at
all times) and retained cash flow (RCF/Gross Adjusted Debt of 8.9%
and RCF/Net Adjusted Debt of 10.3%) which are more in line with a
"B" credit profile.  The Ba3 rating as such is forward looking and
driven by Moody's expectation that ALL will be able to improve its
EBITDA performance and that at the end of the Rondonopolis
investment program (scheduled for mid 2012) to more fully harvest
the benefits of its position as the exclusive operator of railroad
concessions in those regions of Brazil and Argentina that are well
positioned to benefit from the growing worldwide demand for soft
commodities, the lack of alternative shipping opportunities beyond
trucking for its key clients in its agricultural segment, and the
high degree of take-or pay contracts.

In 2009, ALL issued convertible dentures to fund its ongoing
capital expenditures program (which have since been converted into
common stock) and continues to benefit from a strong relationship
with BNDES which provides the company with BRL 2.8 billion of
committed credit lines to fund ongoing general capital
expenditures programs as well as the Rondonopolis track expansion
program.  The credit lines which are available until the end of
2012 have still BRL 2.2 billion in availability as of March 1,
2011.  Important to note is that most of the company's rolling
stock acquisitions (except for locomotives) are financed through
its clients in the form of leases (often with a purchase option at
the end of the contract).  The current duplication of a track to
the port of Santos for the shipment of sugar under a long term
contract is fully funded by RUMO, a subsidiary of Cosan S.A.
(rated Ba2, stable outlook).  The pre-dominance of take-or-pay
contracts (an estimated 76% of all contracts) provide a meaningful
degree of cash flow stability which is relevant giving the
company's ongoing aggressive capex spending needs.

ALL's current business plan is built around a steady increase in
shipments across its railroad infrastructure (10% volume increases
per annum) by taking advantage of growing market opportunities as
well as market share gains.  A number of new initiatives such as
the Rondonopolis track expansion program, which will help it to
further extend its reach into a key agricultural frontier for
Brasil; the Corumba project which would allow it to build a
footprint in the market for shipping iron ore; the duplication of
a track leading to the port of Santos used by Rumo S.A., and its
accelerated entry into the container market through the formation
of its Brado Logistica subsidiary should allow ALL over time to
drive cash flow growth and diversify its portfolio away from its
current high dependence on the agricultural markets.

The rating or outlook could be upgraded, although unlikely over
the near term, if ALL strengthens key cash flow metrics, such as
Retained Cash Flow to Total Adjusted Net Debt (considering a
minimum cash position of BRL 1.0 billion) above 25% on a
sustainable basis and the expectation that cash flow can turn
positive on a sustainable basis while maintaining above industry
average operating margins..

ALL's rating could be lowered or outlook changed to negative if
LTM Total Adjusted Net Debt (considering a minimum cash position
of BRL 1.0 billion) to EBITDA increases above 4.75x for two
consecutive quarters, if the company is unable to turn free cash
flow positive by the end of the Rondonopolis investment program,
and EBITDA margins were to drop below 50% for a sustained period.

ALL -- America Latina Logistica S.A., headquartered in
Curitiba -- Brazil, is Latin America's largest independent rail-
based logistics operator.  During 2010 ALL reported consolidated
net revenues of BRL 2.75 billion (about USD 1.57 billion converted
by the average exchange rate).


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


ABL CAPITAL: Court Enters Wind-Up Order
---------------------------------------
On February 24, 2011, the Grand Court of Cayman Islands entered an
order that winds up the operations of ABL Capital Offshore Fund,
Ltd.

The company's liquidators are:

         Graham Robinson
         Peter D. Anderson
         RHSW (Cayman) Limited
         P.O. Box 897, Windward 1, Regatta Office Park
         Grand Cayman, KY1-1103
         Cayman Islands


CDIB EUROPE: Creditors' Proofs of Debt Due April 4
--------------------------------------------------
The creditors of CDIB Europe Investment Co. are required to file
their proofs of debt by April 4, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on February 21,
2011.

The company's liquidator is:

         Ms. Chih-Chin Chen
         c/o P.O. Box 31106
         Grand Cayman KY1-1205
         Cayman Islands


FULCRUM THEMES: Creditors' Proofs of Debt Due April 4
-----------------------------------------------------
The creditors of The Fulcrum Themes Fund are required to file
their proofs of debt by April 4, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on March 2, 2011.

The company's liquidator is:

         CDL Company Ltd.
         P.O. Box 31106, Grand Cayman KY1-1205
         Cayman Islands


FULCRUM THEMES: Creditors' Proofs of Debt Due April 4
-----------------------------------------------------
The creditors of The Fulcrum Themes Master Fund are required to
file their proofs of debt by April 4, 2011, to be included in the
company's dividend distribution.

The company commenced liquidation proceedings on March 2, 2011.

The company's liquidator is:

         CDL Company Ltd.
         P.O. Box 31106, Grand Cayman KY1-1205
         Cayman Islands


HAYDOCK INVESTMENTS: Commences Liquidation Proceedings
------------------------------------------------------
At an extraordinary meeting held on February 25, 2011, the members
of Haydock Investments Limited resolved to voluntarily liquidate
the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

         Chasseral (Directors) Limited
         c/o Maples and Calder, Attorneys-at-law
         P.O. Box 309, Ugland House
         Grand Cayman KY1-1104
         Cayman Islands


HIGHFIELDS CAPITAL: Creditors' Proofs of Debt Due April 5
---------------------------------------------------------
The creditors of Highfields Capital SPC are required to file their
proofs of debt by April 5, 2011, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on February 23, 2011.

The company's liquidator is:

         Richard Finlay
         c/o Gene DaCosta
         Telephone: (345) 814-7765
         Facsimile: (345) 945-3902
         P.O. Box 2681, Grand Cayman KY1-1111
         Cayman Islands


KAMAY HOLDINGS: Creditors' Proofs of Debt Due March 28
------------------------------------------------------
The creditors of Kamay Holdings 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 14,
2011.

The company's liquidator is:

         Lion International Management Limited
         P.O. Box 71, Craigmuir Chambers
         Road Town, Tortola
         British Virgin Islands
         c/o Mr. Philip C Pedro
         HSBC International Trustee Limited
         Compass Point
         Bermudiana Road
         Hamilton HM 11
         Bermuda
         Telephone: (441) 299-6482
         Facsimile: (441) 299-6526


LONG TERM: Creditors' Proofs of Debt Due April 13
-------------------------------------------------
The creditors of Long Term Investment & Recovery Assets Fund are
required to file their proofs of debt by April 13, 2011, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on February 24,
2011.

The company's liquidator is:

         Keith High
         P.O. Box 1369, Grand Cayman KY1-1108
         Cayman Islands


MIR HOLDINGS: Creditors' Proofs of Debt Due April 4
---------------------------------------------------
The creditors of MIR Holdings LDC are required to file their
proofs of debt by April 4, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on March 1, 2011.

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 KY1-9002/9005
         Cayman Islands


NEW INVESTMENT: Creditors' Proofs of Debt Due April 13
------------------------------------------------------
The creditors of New Investment Fund are required to file their
proofs of debt by April 13, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on February 24,
2011.

The company's liquidator is:

         Keith High
         P.O. Box 1369, Grand Cayman KY1-1108
         Cayman Islands


PN INCOME: Creditors' Proofs of Debt Due April 13
-------------------------------------------------
The creditors of PN Income Fixed/Floating Rate Fund Ltd are
required to file their proofs of debt by April 13, 2011, to be
included in the company's dividend distribution.

The company commenced liquidation proceedings on February 24,
2011.

The company's liquidator is:

         Keith High
         P.O. Box 1369, Grand Cayman KY1-1108
         Cayman Islands


PORTO LIMITED: Creditors' Proofs of Debt Due April 13
-----------------------------------------------------
The creditors of Porto Limited are required to file their proofs
of debt by April 13, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on February 24,
2011.

The company's liquidator is:

         Keith High
         P.O. Box 1369, Grand Cayman KY1-1108
         Cayman Islands


PORTONOVO LIMITED: Creditors' Proofs of Debt Due April 13
---------------------------------------------------------
The creditors of Portonovo Limited are required to file their
proofs of debt by April 13, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on February 24,
2011.

The company's liquidator is:

         Keith High
         P.O. Box 1369, Grand Cayman KY1-1108
         Cayman Islands


RECOVERY ASSETS: Creditors' Proofs of Debt Due April 13
-------------------------------------------------------
The creditors of Recovery Assets Fund are required to file their
proofs of debt by April 13, 2011, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on February 24,
2011.

The company's liquidator is:

         Keith High
         P.O. Box 1369, Grand Cayman KY1-1108
         Cayman Islands


SOIRATKEN LIMITED: Creditors' Proofs of Debt Due April 5
--------------------------------------------------------
The creditors of Soiratken Limited are required to file their
proofs of debt by April 5, 2011, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on March 1, 2011.

The company's liquidator is:

         Eagle Holdings Ltd.
         c/o Barclays Private Bank & Trust (Cayman) Limited
         FirstCaribbean House, 4th Floor
         P.O. Box 487, Grand Cayman KY1-1106
         Cayman Islands
         Telephone:  345 949-7128


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P A N A M A
===========


BANCOLOMBIA SA: Fitch Assigns Individual Rating at 'D'
------------------------------------------------------
Fitch Ratings has assigned Bancolombia (Panama) SA these initial
ratings:

  -- Foreign currency long-term Issuer Default Rating 'BBB-';
  -- Foreign currency short-term IDR 'F3';
  -- Individual rating 'D';
  -- Support rating '2';
  -- Long-term CDs (Certificados Negociables) 'BBB-';
  -- Short-term CDs 'F3'.

The Rating Outlook is Stable.

Bancolombia Panama's IDRs reflect the support it would receive
from its parent (Bancolombia, rated 'BBB-' by Fitch) should it be
required.  The individual rating reflects its sound performance,
adequate loan loss reserves, high efficiency, and sufficient
liquidity; they also consider the bank's decline in asset quality
and relatively low - albeit improving - capital base.

In Fitch's opinion, considering BP's integration with its parent
and importance in its business strategy, support from Bancolombia
should be forthcoming if needed.  Bancolombia's ability to support
BP is reflected in its IDR.

BP's IDRs could be upgraded if Bancolombia's IDR is upgraded; the
IDRs would move in line with Bancolombia's rating.  The individual
rating could be pressured if BP's performance declines, asset
quality deteriorates, reserve coverage weakens, or capital ratios
deteriorate.

BP maintained its sound performance - in spite of weak loan growth
- thanks to its resilient margins, improving operating costs and
lower pressure from loan loss provisions.  Operating costs
remained under control and credit cost declined after the high
levels of 2008-2009.  Overall efficiency and profitability
improved with ROAA reaching 1.8% and ROAE attaining 21.2% at June
2010.  Given the lean operation in Panama (oriented to the top
tier Colombian market), BP's profitability ratios on an
unconsolidated basis attained even more flattering levels.
Deposits resumed growth and remain the main source of funding
while asset quality declined but seems to reach some stability
with adequate reserves.  Capital is encumbered by significant
goodwill and other intangibles but has improved steadily thanks to
consistently good returns and will likely continue the good trend,
albeit at a slow pace.

Future revenue growth should come from faster loan growth mostly
from Colombia, where economic prospects are better; BA operates
within a more challenging environment that limits growth and
pressures asset quality.  Margins should remain relatively stable
given the improving credit demand in Colombia and BA's sound
competitive position.  On the other hand, non-interest revenues
could improve as the bank exploits cross-selling opportunities.
Operating costs are expected to remain under control but
improvements should be slower going forward; credit cost is
expected to remain stable or even decline, but it remains highly
dependent on the stability of El Salvador's economy.  Overall
profitability should improve but remain below its historical highs
with ROAA around 2% and ROAE above 20%; still very good levels
that should contribute to gradually restore capital.

BP is 100% owned by Bancolombia and is a key subsidiary that
offers offshore financial services to its largest customers and
acts as holding company for Bancolombia's largest investment
abroad, Banco Agricola.  Bancolombia is in turn controlled by a
conglomerate of companies active in several industries;
Bancolombia's main shareholders are Grupo Suramericana and
Inversiones Argos.


                            ***********


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


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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.


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