TCRLA_Public/110914.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

           Wednesday, September 14, 2011, Vol. 12, No. 182

                            Headlines




A R G E N T I N A

BELVIAL SA: Creditors' Proofs of Debt Due October 3
COMPANIA CONSTRUCTORA: Applies for Bankruptcy Protection
CPAT SA: Creditors' Proofs of Debt Due October 25
FRANZO SRL: Creditors' Proofs of Debt Due October 6
IDEBA SRL: Creditors' Proofs of Debt Due November 3

JULAN SRL: Asks for Reorganization Proceedings
POLIMAT SA: Creditors' Proofs of Debt Due October 12
PROVAGRO SA: Requests Opening of Reorganization Proceedings
SYSTEMS MANAGEMENT: Seeks Opening of Reorganization Proceedings


B R A Z I L

FOGO DE CHAO: S&P Gives 'B' Corp. Credit Rating; Outlook Stable
MARFIG ALIMENTOS: High Leverage Cues Fitch to Hold Low-B Ratings


C A Y M A N   I S L A N D S

AMBER FUND: Shareholders' Final Meeting Set for September 15
BLACKSHIP CORE: Shareholders' Final Meeting Set for September 16
CREDIOP OVERSEAS: Members' Final Meeting Set for September 21
POINT REYES: Shareholder to Receive Wind-Up Report on Sept. 14
PREMIUM CFO: Shareholders' Final Meeting Set for September 16


D O M I N I C A N   R E P U B L I C

* DOMINICAN REP: Milk Producers Sector on Brink of Collapse


J A M A I C A

WINDALCO: Cabinet to Consider Alumina Plant Reopening Proposal


M E X I C O

ARENDAL S.: Fitch Rates Long-Term Issuer Default Ratings at 'B-'
CORPORACION GEO: S&P Affirms BB- Global Scale Corp. Credit Rating
INTELSAT SA: Sees US$725MM-$800MM in Capital Expenditures in 2011
MEXICANA AIRLINES: Interjet Mulls Buyout of Airline's Operations


P A N A M A

* PANAMA: To Strengthen Fiscal Management with US$50MM IDB Loan


P U E R T O   R I C O

PICHI'S INC: Chapter 11 Case Now Assigned to Hon. Edward A. Godoy
PICHI'S INC: Charles A. Cuprill Approved as Bankruptcy Counsel
PICHI'S INC: Can Hire Luis R. Carrasquillo as Finc'l Consultant
PICHI'S INC: Taps Manuel A. Nunez for Labor Relations Matters


                            - - - - -


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


BELVIAL SA: Creditors' Proofs of Debt Due October 3
---------------------------------------------------
Eduardo Daniel Gruden, the court-appointed trustee for Belvial
SA's bankruptcy proceedings, will be verifying creditors' proofs
of claim until October 3, 2011.

Mr. Gruden will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 16 in Buenos Aires, with the assistance of Clerk
No. 31, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by the company and its creditors.

The Trustee can be reached at:

         Eduardo Daniel Gruden
         Av. Presidente Roque Saenz Pea 1299
         Argentina


COMPANIA CONSTRUCTORA: Applies for Bankruptcy Protection
--------------------------------------------------------
Compania Constructora de Embarcaciones SA applied for bankruptcy
protection.

The company has defaulted on its payments last July 5.


CPAT SA: Creditors' Proofs of Debt Due October 25
-------------------------------------------------
Nestor Leonidas Zega, the court-appointed trustee for Cpat SA's
bankruptcy proceedings, will be verifying creditors' proofs of
claim until October 25, 2011.

Mr. Zega will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 6 in
Buenos Aires, with the assistance of Clerk No. 12, will determine
if the verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will be
raised by the company and its creditors.

The Trustee can be reached at:

         Nestor Leonidas Zega
         Teniente General Juan Domingo Peron 1515
         Argentina


FRANZO SRL: Creditors' Proofs of Debt Due October 6
---------------------------------------------------
Roberto J. Gaztelu, the court-appointed trustee for Franzo SRL's
bankruptcy proceedings, will be verifying creditors' proofs of
claim until October 6, 2011.

Mr. Gaztelu will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 13 in Buenos Aires, with the assistance of Clerk
No. 25, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by the company and its creditors.

The Trustee can be reached at:

         Roberto J. Gaztelu
         Viamonte 1592
         Argentina


IDEBA SRL: Creditors' Proofs of Debt Due November 3
---------------------------------------------------
Viviana A. Santamarina, the court-appointed trustee for Ideba
SRL's bankruptcy proceedings, will be verifying creditors' proofs
of claim until November 3, 2011.

Ms. Santamarina will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 8 in Buenos Aires, with the assistance of Clerk
No. 16, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by the company and its creditors.

The Trustee can be reached at:

         Viviana A. Santamarina
         Jufre 250
         Argentina


JULAN SRL: Asks for Reorganization Proceedings
----------------------------------------------
Julan SRL asked for reorganization proceedings.

The company has defaulted on its payments last May 24.


POLIMAT SA: Creditors' Proofs of Debt Due October 12
----------------------------------------------------
Jose Luis Rubio, the court-appointed trustee for Polimat SA's
bankruptcy proceedings, will be verifying creditors' proofs of
claim until October 12, 2011.

Mr. Rubio will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 6 in
Buenos Aires, with the assistance of Clerk No. 12, will determine
if the verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will be
raised by the company and its creditors.

The Trustee can be reached at:

         Jose Luis Rubio
         Uruguay 618


PROVAGRO SA: Requests Opening of Reorganization Proceedings
-----------------------------------------------------------
Provagro SA requested the opening of reorganization proceedings.

The company defaulted on its payments last October 17, 2006.


SYSTEMS MANAGEMENT: Seeks Opening of Reorganization Proceedings
---------------------------------------------------------------
Systems Management Specialist SA requested the opening of
reorganization proceedings.

The company has defaulted on its payments last July 11.


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


FOGO DE CHAO: S&P Gives 'B' Corp. Credit Rating; Outlook Stable
---------------------------------------------------------------
Standard & Poor's Rating Services assigned its 'B' corporate
credit rating to U.S. and Brazilian restaurant operator Fogo de
Chao Churrascaria Holdings LLC. The outlook is stable.

"At the same time, we assigned our 'B+' issue-level rating to the
company's senior secured first-lien credit facility, which
consists of a US$195 million six-year term loan and a US$10
million five-year revolver.  The recovery rating is '2',
indicating our expectation of substantial (70% to 90%) recovery
for lenders in the event of a payment default," S&P related.

Private-equity firm GP Investments used the proceeds from the term
loan to fund the purchase of the remaining 65% ownership interest
in Fogo, which was held by the company's founding members.  GP
Investments had originally acquired 35% ownership interest in Fogo
in 2006.  Accordingly, the company holds 100% of the ownership
stake in Fogo.

"The ratings on Fogo reflect our expectation that the company will
remain substantially leveraged despite some modest earnings growth
and debt paydown," said S&P's credit analyst Mariola Borysiak.
"Based on our projection of credit ratios we see the company's
financial risk profile as aggressive."

"In addition," added Ms. Borysiak, "we consider Fogo's business
risk profile vulnerable because of a very small revenue and EBITDA
base, intense competition in the restaurant space, and particular
susceptibility of the company's fine dining niche to economic
conditions."  "We view Fogo's capital structure to be aggressive.
Pro forma for the transaction, leverage is about 5x at June 2011
quarter-end and EBITDA interest coverage is close to 3x."

These ratios are slightly better than medians for the 'B' rating,
but are in line with many similarly rated restaurant companies.


MARFIG ALIMENTOS: High Leverage Cues Fitch to Hold Low-B Ratings
----------------------------------------------------------------
Fitch Ratings affirmed all ratings of Marfrig Alimentos S.A. and
its subsidiaries.  The ratings affirmed were as follows:

Marfrig Alimentos S.A.

  -- Local currency IDR at 'B+';
  -- Foreign currency IDR at 'B+';
  -- National scale rating at 'BBB+(bra)';
  -- BRL300 million 3rd debentures issue (1st tranche)
     at 'BBB+ (bra)';
  -- BRL300 million 3rd debentures issue (2nd tranche)
     at 'BBB+ (bra)'.

Marfrig Overseas Ltd

  -- Foreign currency IDR at 'B+';
  -- US$375 million senior unsecured notes due 2016 at 'B+/RR4';
  -- US$500 million senior unsecured notes due 2020 at 'B+/RR4'.

Marfrig Holdings (Europe) B.V.

  -- Foreign currency IDR at 'B+';
  -- US$750 million senior unsecured notes due 2018 at 'B+/RR4';

The Rating Outlook for all of the aforementioned ratings is
Stable.

The ratings reflect Marfrig's high leverage and negative free cash
flow generation as a result of its aggressive growth strategy, and
incorporate Fitch's expectation of improvement on both counts as a
result of the ongoing shift towards a more conservative financial
strategy and operational improvements.  The ratings also take into
consideration the volatility of protein prices and profit margins
due to factors beyond the company's control.

The ratings are supported by Marfrig's strong business position,
as one of the largest producers and exporters of beef, poultry,
and pork in Brazil and its increasing portfolio of processed foods
(currently about 37% of revenue).  The company's production base
is diversified and its sales are evenly distributed between the
domestic market and export sales, which give it a more diversified
business profile than most of its peers.

Earnings Volatility

Protein prices are volatile by nature as are input costs.  The
company's profit margins reflect this volatility.  Price and cost
volatility is affected by factors beyond the company's control -
domestic and international supply and demand imbalances resulting
from animal disease and weather conditions, global economic
growth, changes in consumption habits, and government-imposed
sanitary and trade restrictions.  Competitive pressures from other
Brazilian or international producers and exporters also affect the
company's margins.

Increasing Processed Food Portfolio Mitigates Risks

Fitch positively considers Marfrig's strategy of reducing pure
protein exposure by increasing its share in processed food
segment, which is less volatile and commands higher margins.  Last
year's acquisition of Keystone Foods LLC (Keystone) strengthened
Marfrig's competitive position in the value-added protein products
market and is consistent with the company's previous acquisition
of Seara food brands.  Keystone produces and distributes to food
service companies in 13 countries, and has a large customer
concentration with McDonald's, which represents 82% of Keystone's
sales.

Weak Free Cash Flow; Expected to Improve in 2012

While Marfrig's aggressive acquisition based growth strategy has
been financed with a mix of debt and equity.  It has led to
increasing working capital requirements and resulted in negative
free cash flow generation over the past few years.  As the
management's focus shifts from growth to improving operations,
working capital management and extracting synergies from prior
acquisitions, FCF is expected to strengthen and turn positive in
2012.

The company is on track to achieving about BRL 200 million
synergies from the integration of Seara in 2011, which partially
offsets challenging conditions in the first half of 2011 due to
higher raw material prices, higher labor expenses and the
appreciation of the Brazilian real against the U.S. dollar.
During the LTM ended June 30, 2011, Marfrig's FCF was negative
BRL2 billion mostly due to weaker results, an increase in the use
of working capital and BRL 1.4 billion of capital expenditures.
Both, capital expenditures and working capital needs are expected
to decline in the second half of 2011 and to remain lower in 2012.

High Leverage, Expected to Improve

As of June 30, 2011, Marfrig's gross and net adjusted debt to
EBITDA was 7.7 times (x) and 4.9x.  Considering Keystone's
acquisition (last September), the pro-forma gross and net leverage
ratios of Marfrig are approximately 6.7x and 4.3x, respectively.
Fitch projects an improvement in Marfrig's leverage ratios within
the next year as a result of the more conservative financial
strategy of the management and improvement in the company's
performance in the second half of 2011 due to continuous efforts
to cut cost via plant closures and the realization of acquisition
synergies.

What Would Lead to a Positive/Negative Rating Action:

Marfrig's rating could be positively affected by some combination
of the following: a significant decrease in leverage and sustained
generation of positive FCF.  A rating downgrade could be triggered
by a material rise in the company's total debt credit ratios due
to deteriorating operations or continues negative free cash flow
generation resulting from trade restrictions or sanitary outbreaks
or a general weakening of the operating environment.  A debt
financed acquisition, although considered unlikely by Fitch at
this time, could also result in rating deterioration.


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


AMBER FUND: Shareholders' Final Meeting Set for September 15
------------------------------------------------------------
The shareholders of Amber Fund (Cayman) Ltd will hold their final
meeting on September 15, 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


BLACKSHIP CORE: Shareholders' Final Meeting Set for September 16
----------------------------------------------------------------
The shareholders of Blackship Core Offshore Fund Ltd. will hold
their final meeting on September 16, 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 Corporate Services Limited
         Walker House, 87 Mary Street, George Town
         Grand Cayman KY1-9002
         Cayman Islands


CREDIOP OVERSEAS: Members' Final Meeting Set for September 21
-------------------------------------------------------------
The members of Crediop Overseas Bank Limited will hold their final
meeting on September 21, 2011, to receive the liquidator's report
on the company's wind-up proceedings and property disposal.

The company's liquidator is:

         Rosalie Jamieson
         Butterfield Bank (Cayman) Limited
         68 Fort Street
         P.O. Box 705, Grand Cayman KY1-1107
         Cayman Islands


POINT REYES: Shareholder to Receive Wind-Up Report on Sept. 14
--------------------------------------------------------------
The sole shareholder of Point Reyes Ltd will receive on
September 14, 2011, the liquidator's report on the company's wind-
up proceedings and property disposal.

The company's liquidator is:

         Commerce Corporate Services Limited
         Telephone: 949 8666
         Facsimile: 949 0626
         P.O. Box 694 Grand Cayman
         Cayman Islands


PREMIUM CFO: Shareholders' Final Meeting Set for September 16
-------------------------------------------------------------
The shareholders of Premium CFO (2007) Limited will hold their
final meeting on September 16, 2011, at 11:30 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

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


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D O M I N I C A N   R E P U B L I C
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* DOMINICAN REP: Milk Producers Sector on Brink of Collapse
-----------------------------------------------------------
Dominican Today reports that the Dominican Milk Producers
Association affirmed that their sector is submerged in a deep
crisis, near the brink of collapse, on dwindling profits,
shrinking markets, no incentives and a lack of clear rules in
massive powder milk imports.

Association President Eric Rivero said no government authority,
beginning with the Minister of Agriculture, has yet to proceed and
seek solutions to the concerns of the more than 200 subsector
leaders across the country, which cited difficulties and demand of
more financing for livestock producers, according to Dominican
Today.

Dominican Today notes that dairy farmers said bank norms limit
access to credit by farm producers and does like to lend to
farmers, on claims of risky investment and that farming is at the
very mercy of nature.  The report relates that dairy farmers also
warned that the Agriculture Ministry has to reform, since most the
budget is spent in personnel payment.

The report discloses that the dairy farmers complain on the
existence of two ministries: one that's seen in the media and the
other, which is agribusiness' reality.  "There's a lack of
security, since thieves take advantage of any negligence to steal
in the plantations or rustle cattle," the dairy farmers added,
Dominican Today relates.


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J A M A I C A
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WINDALCO: Cabinet to Consider Alumina Plant Reopening Proposal
--------------------------------------------------------------
RJR News reports that the Jamaican cabinet will consider a
proposal for the government to allow the reopening of the Kirkvine
Alumina Plant in Manchester.

"When cabinet next meets, it will consider a proposal from (Clive
Mullings), the Minister of Energy and Mining, for a fiscal regime
that will enable Kirkvine to reopen," RJR News quoted Jamaica
Prime Minister Bruce Golding as saying.

RJR News notes that the plant's reopening was set back not only by
the tax issues that the government will consider but also by
mining rights and a resolution to the amount of money owed to the
plant by the government.

As reported in the Troubled Company Reporter-Latin America on
Sept. 9, 2011, Garfield Myers and Camilo Thame at Jamaica Observer
reports that the Jamaica government said a delay in the reopening
of West Indies Alumina Company (WINDALCO)'s Kirkvine alumina plant
in Manchester by the end of the year will cost the country an
estimated US$63 million.  State Minister for Energy and Mining
Lawrence Broderick told a forum in Mandeville that while talks
with Windalco had been "difficult and are at a delicate stage, he
anticipates the Kirkvine plant reopening by year-end," according
to Jamaica Observer.  RadioJamaica said that the board of UC
Rusal, the parent firm of Windalco, has approved the reopening of
the Windalco-Kirkvine Plant.  However, RadioJamaica related, the
restart of mining activities is subject to the approval by UC
Rusal's international lenders and further discussions with its
partners on the project.  Production at the Windalco-Kirkvine
Plant was temporarily suspended in April 2009 due to cost-cutting
measures, RadioJamaica recounted.  RadioJamaica, citing an
internet report, noted that the cost of the restart of operations
is expected to be approximately US$9 million while the plant
commissioning budget is approximately US$17 million.

                          About WINDALCO

West Indies Alumina Company is situated on the island of Jamaica
in the Caribbean.  The company comprises two alumina refineries
(Ewarton Works and Kirkvine Works), a shipping port (Port
Esquivel) and also bauxite mines in Schwallenburgh (Ewarton) and
Russell Place (Kirkvine) and farms in Manchester and St. Ann.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 8, 2010, Jamaica Gleaner said that West Indies Alumina
Company will end its bauxite production in Jamaica and make 762
permanent jobs redundant.  The report related that the redundancy
exercise comes a year after the company suspended production at
its Kirkvine, Manchester, and Ewarton, St. Catherine, refineries
because of reduced demand for aluminium on the world market.  The
company is 93% owned by Russian entity, UC Rusal.


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M E X I C O
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ARENDAL S.: Fitch Rates Long-Term Issuer Default Ratings at 'B-'
----------------------------------------------------------------
Fitch Ratings has assigned the following initial ratings for
Arendal, S. de R.L. de C.V.:

  -- Foreign Currency Long-term Issuer Default Rating (IDR) at
     'B-';

  -- Local Currency Long-term IDR at 'B-';

The Rating Outlook is Stable.

The ratings reflect Arendal's historically track record and
technical experience in the Mexican heavy construction industry as
a recognized player in the construction of fluid transportation
systems and plants, its participation in both public and private
sector projects across the Mexican territory, and its positive
operating performance despite a challenging economic environment.
The ratings also reflect the company's limited financial
flexibility and weaker credit protection measures when compared to
historical levels.  In addition, the ratings incorporate the
characteristics of the industry which is highly linked to economic
cycles, as well as the current under developed corporate
governance structure.

The company's has a relevant business position in the construction
of pipelines in terms of kilometers built during the last years.
Arendal engages in project contracts that include full or partial
engineering, procurement and construction of pipelines and plants.
Also, the company has the capacity to execute projects across all
the Mexican territory and to manage efficiently its technical and
personnel resources.  Arendal's competitive advantage among
industry peers includes an historical completion rate of around
98% of its project before or on settled dates.  Customers and
commercial partners in either public or private sectors recognize
the company's commitment to satisfy quality and security
requirements.  Fitch considers that these elements will contribute
to maintain its business position in the long term.

Fitch believes that the company participates in an industry
exposed to economic cycles which is reflected in volatility in
sales and operative margins throughout the years.  Additionally,
the ratings incorporate the high competition between domestic and
foreign companies in the heavy construction industry.

During the last five years the company has maintained its organic
growth despite the decrease in the level of economic activity in
2008 and 2009, as well as the weak recovery in 2010.  Revenues
reported by the company in 2010 amounted MXN752 million, while
operating income reached MXN64 million.  Compounded annual growth
rate (CAGR) of revenues and operating income for the last five
years was 3% and 17%, respectively.  These factors, in Fitch's
opinion, reflect management's commitment and ability to adjust its
operative and business strategies under the presence of an
unfavorable economic environment.

Fitch considers that revenue diversification expected by the
company's strategies will contribute to a reduction of business
risks and cash flow volatility.  Arendal had a mix of revenues
significantly oriented towards the public sector, with PEMEX being
its main customer in 2010 and 2009.  While this allows the company
to maintain a relevant business position for future projects, it
also concentrates the business' operative generation.

The company's financial position and flexibility is limited, as a
result of its business strategy and adverse economic situation.
As of Dec. 31, 2010 the EBITDA to interest and total debt to
EBITDA ratios were 1.6 times (x) and 4.9x, respectively, which
compare favorably with the 1.3x and 8.2x at the end of 2009.
However, current ratios are above historical parameters reported
by the company.  The total debt as of Dec. 31, 2011 amounted
MXN398 million, and around 72% was guaranteed by the cash flow
from the projects.  In Fitch's view, a gradual and consistent
strengthening of the company's credit metrics combined with higher
operative generation and adequate debt management, could lead to
positive rating actions.

Fitch considers that the high concentration of short-term debt
limits the liquidity position of the company, as it depends on the
management's ability to obtain new projects and financing, as well
as to handle efficiently its receivables days, allowing the
company to finance working capital requirements and improve its
debt maturity profile.  Arendal's financing strategy is to secure
the amount of debt with the cash flow coming from the projects
allowing the company to obtain additional financing and continue
growing.

The ratings are constrained by the current underdeveloped
corporate governance of the company, which include, among other
issues, the participation of key executives in the business
operation, lack of independent members in the Board of Directors
as well as alternative overseeing committees, and related party
transactions.

The ratings could be negatively pressured by the deterioration of
Arendal's credit metrics as a result of a downturn in the heavy
construction industry or a decline in its operative performance.
A rating downgrade could also be driven by limited access to
financing sources affecting the company's liquidity position.

As mentioned before, factors which could lead to a positive rating
action include a combination of stronger credit metrics, improved
liquidity position, and full implementation of corporate
governance practices.


CORPORACION GEO: S&P Affirms BB- Global Scale Corp. Credit Rating
-----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB-' global scale
and 'mxBBB+/mxA-2' national scale corporate credit ratings on
Mexico-based homebuilder Corporacion GEO S.A.B. de C.V. (Geo).
The outlook remains stable.

"The company's aggressive financial risk profile, evidenced by its
double-digit growth targets in a competitive market, limits our
ratings on the company," said Standard & Poor's credit analyst
Laura Martinez.  "These targets demand large working capital,
which it will likely fund mainly through external financing."

The ratings also reflect the concentration of mortgage
originations for the company's homes with Infonavit and Fovissste,
and the degree of political risk inherent to these institutions.

The ratings are supported by Geo's position as one of the leading
homebuilders in Mexico, focus on the affordable entry-level
segments, geographic diversification and scale, and diverse
product line. "We assess Geo's business risk profile as fair," S&P
stated.


INTELSAT SA: Sees US$725MM-$800MM in Capital Expenditures in 2011
-----------------------------------------------------------------
Intelsat S.A. disclosed changes to its annual capital expenditure
guidance for the three fiscal years beginning Jan. 1, 2011, and
ending Dec. 31, 2013, following an Intelsat news release
announcing a customer agreement resulting in two new satellite
programs.

The Company expects its 2011 total capital expenditures to range
from US$725 million to $800 million.  Expected annual capital
expenditure ranges for fiscal years 2012 and 2013 are US$875
million to US$950 million, and US$375 million to US$450 million,
respectively.  However, whether particular satellite manufacturing
and launch contract milestones are met late in one year or early
in another can significantly affect the timing of capital
expenditure payments.

During the Guidance Period, the Company also expects to receive
significant customer prepayments under its service contracts.  The
prepayments are currently expected to range from US$325 million to
US$375 million in 2011, US$150 million to US$200 million in 2012,
and US$75 million to US$125 million in 2013.

The Company has seven satellites in development that are expected
to be launched during the Guidance Period.  In addition to these
announced programs, the Company expects to procure one additional
replacement satellite during this period.  By the conclusion of
the Guidance Period, the Company's total station-kept transponder
count is expected to increase modestly from current levels.  The
Company's capital expenditures guidance includes capitalized
interest, but excludes capital expenditures associated with the
Intelsat New Dawn satellite that was launched by the Company's
Intelsat New Dawn Company, Ltd., joint venture in April of this
year.

                           About Intelsat

Intelsat S.A., formerly Intelsat, Ltd., provides fixed-satellite
communications services worldwide through a global communications
network of 54 satellites in orbit as of Dec. 31, 2009, and ground
facilities related to the satellite operations and control, and
teleport services.  It had US$2.5 billion in revenue in 2009.

Luxembourg-based Intelsat S.A. carries 'B' issuer credit ratings
from Standard & Poor's.  It has 'Caa1' corporate family and
probability of default ratings from Moody's Investors Service.

Washington D.C.-based Intelsat Corporation, formerly known as
PanAmSat Corporation, is a fully integrated subsidiary of Intelsat
S.A., its indirect parent.  Intelsat Corp. had US$7.70 billion in
assets against US$4.86 billion in debts as of Dec. 31, 2010.

The Company reported a net loss of US$507.77 million on
US$2.54 billion of revenue for the year ended Dec. 31, 2010,
compared with a net loss of US$782.06 million on US$2.51 billion
of revenue during the prior year.

The Company's balance sheet at June 30, 2011, showed US$17.59
billion in total assets, US$18.28 billion in total liabilities,
US$1.90 million in non-controlling interest, and a US$698.94
million total Intelsat S.A. shareholders' deficit.


MEXICANA AIRLINES: Interjet Mulls Buyout of Airline's Operations
----------------------------------------------------------------
Cyntia Barrera Diaz at Reuters reports that Mexican airline
Interjet said it could consider taking over the operation of
Compania Mexicana de Aviacion or Mexicana Airlines.

"We are evaluating it, but with precaution. . . . It is very
complex," Reuters quoted Miguel Aleman Velasco, head of Interjet's
board of directors, as saying.

Several little-known companies have unsuccessfully tried to buy
Mexicana, which stopped flying a year ago swamped by deep
financial troubles, according to Reuters.  The report relates that
some of Mexicana Airline's biggest assets were international
destinations.

However, Reuters notes, a lack of deep pockets has dented any
serious attempts to bid for the near century-old airline, which is
under creditor protection in Mexico and the United States.

Reuters discloses that Interjet pulled the plug on its planned
initial public offering earlier this year due to uncertainty in
the world economy.  But it has aggressive expansion plans that
call for more routes and a larger fleet, the report relates.

                      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.


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


* PANAMA: To Strengthen Fiscal Management with US$50MM IDB Loan
---------------------------------------------------------------
With a US$50 million loan from the Inter-American Development Bank
(IDB), Panama will strengthen its fiscal management to help raise
public investment through a sustainable increase in tax revenues
and improved efficiency and transparency in public expenditure
management.

Panama has one of the lowest tax collection rates in Latin America
and the Caribbean, representing about 11 percent of the country's
gross domestic product (GDP).  In 2004, per capita GDP was
US$4,470, rising to US$7,712 in 2010, making Panama one of the
lower middle income countries with the highest economic growth
rates.  It is expected that the Government Strategic Plan will
carry out previously adopted tax reforms that will result in a
permanent 2.5% increase in tax revenues.  The additional revenues
will boost public investment to levels of 10% to 12% of GDP in
2011-2014.

The program will result in operational and physical reforms,
better tax management and technology, and greater tax compliance.
The consolidation of public expenditure management will increase
the percentage of central government institutions that will use
the National Public Investment System, which contains annual
budgetary targets for public investment with indicators for
results.

The program will also enhance the financial management and
accounting of public resources and increase the quality of
information.  This will include an increase in the percentage of
government institutions regulated by the Single Treasury Account.
Training will be provided in the use of the web-based Integrated
Financial Management platform.

The program will strengthen the Ministry of Economy and Finance,
update its legal frameworks, streamline administrative and
business procedures, improve operational support systems, and
renovate physical and technological infrastructure.  The program
also includes training and consulting services, as well as the
purchase of computer systems and equipment and support materials.

The IDB loan has an amortization period of 20 years with a grace
period of 36 months and an interest rate based on LIBOR.


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


PICHI'S INC: Chapter 11 Case Now Assigned to Hon. Edward A. Godoy
-----------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Puerto Rico notified
the creditors and parties-in-interest that the Chapter 11 case of
Pichi's Inc. has been reassigned to the Hon. Edward A. Godoy.

The case was previously assigned to Hon. Mildred Caban Flores.

Pichi's Inc. owns and operates the Best Western Pichi's Hotel in
Guayanilla, Puerto Rico.  Pichi's filed for Chapter 11 bankruptcy
(Bankr. D. P.R. Case No. 11-06583) on Aug. 3, 2011.  Judge Mildred
Caban Flores initially presided over the case.  Charles Alfred
Cuprill, PSC Law Offices, serves as the Debtor's bankruptcy
counsel.  CPA Luis R. Carrasquillo & Co., P.S.C., serves as
financial consultants.  In its petition, the Debtor estimated
US$10 million to US$50 million in both assets and debts.  The
petition was signed by Luis A. Emmanuelli Gonzalez, president.


PICHI'S INC: Charles A. Cuprill Approved as Bankruptcy Counsel
--------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Puerto Rico, in a
Sept. 1, 2011, order, authorized Pichi's Inc. to employ Charles A.
Cuprill of PSC Law Offices as counsel.

As reported in the Troubled Company Reporter on Aug. 18, 2011, the
Debtor paid the firm US$22,4000 as retainer.  The firm charges
US$350 per hour for Charles A. Cuprill-Hernandez, Esq.; US$225 an
hour for senior associates; US$150 an hour for junior
associations; and US$75 for paralegals.

Mr. Cuprill-Hernandez, Esq., disclosed that his firm has
represented a Pichi's creditor, the Puerto Rico Tourism
Development Fund in the bankruptcy case styled In re Palmas
Country Club, Inc., Case No. 10-07072 (SEK).  Another creditor, V.
Suarez & Co., is a shareholder of Cuprill's client, Procesadora
Campofresco, Inc.  Notwithstanding, Mr. Cuprill-Hernandez,
attested that his firm is a disinterested person as defined under
Sec. 101(14) of the Bankruptcy Code.

On Sept. 5, Myrna L. Ruiz-Olmo, Esq. (mruizolmo@cuprill.com)
notified the Court that she has withdrawn as counsel of record to
the Debtor.  Attorney Charles A. Cuprill-Hernandez will continue
representing Debtor in the matter.

Ms. Ruiz-Olmo also requested that her name be removed from all
filings and notices henceforth.

                         About Pichi's Inc.

Pichi's Inc. owns and operates the Best Western Pichi's Hotel in
Guayanilla, Puerto Rico.  Pichi's filed for Chapter 11 bankruptcy
(Bankr. D. P.R. Case No. 11-06583) on Aug. 3, 2011.  Judge Mildred
Caban Flores initially presided over the case, which has recently
been reassigned to the Hon. Edward A. Godoy.  Charles Alfred
Cuprill, PSC Law Offices, serves as the Debtor's bankruptcy
counsel.  CPA Luis R. Carrasquillo & Co., P.S.C., serves as
financial consultants.  In its petition, the Debtor estimated
US$10 million to US$50 million in both assets and debts.  The
petition was signed by Luis A. Emmanuelli Gonzalez, president.


PICHI'S INC: Can Hire Luis R. Carrasquillo as Finc'l Consultant
---------------------------------------------------------------
The Hon. Mildred Caban Flores of the U.S. Bankruptcy Court for the
District of Puerto Rico authorized Pichi's Inc. to employ CPA Luis
R. Carrasquillo & Co., PSC, as financial consultant.

As reported in the Troubled Company Reporter on Aug. 18, 2011, the
financial consultant will assist its management in the financial
restructuring of its affairs by providing advice in strategic
planning and the preparation of the Debtor's plan of
reorganization, disclosure statement and business plan, and
participating in the Debtor's negotiations with creditors.

The Debtor has paid Carrasquillo a US$20,000 retainer.  The firm's
partner, CPA Luis R. Carrasquillo, charges US$160 an hour for his
work.  Senior CPA Marcelo Gutierrez charges US$125 an hour.  Other
CPAs bill US$90 to US$125 an hour.

Carrasquillo has acted as financial consultant in other bankruptcy
cases in which Charles A. Cuprill, Esq., the Debtor's counsel, has
or is representing debtors.  V. Suarez & Co., a Pichi's creditor,
is a shareholder of Procesadora Campofresca, Inc., a client of
Carrasquillo.  Notwithstanding, Carrasquillo is a disinterested
person as defined in Sec. 101(14) of the Bankruptcy Code.

                         About Pichi's Inc.

Pichi's Inc. owns and operates the Best Western Pichi's Hotel in
Guayanilla, Puerto Rico.  Pichi's filed for Chapter 11 bankruptcy
(Bankr. D. P.R. Case No. 11-06583) on Aug. 3, 2011.  Judge Mildred
Caban Flores initially presided over the case, which has recently
been reassigned to the Hon. Edward A. Godoy.  Charles Alfred
Cuprill, PSC Law Offices, serves as the Debtor's bankruptcy
counsel.  CPA Luis R. Carrasquillo & Co., P.S.C., serves as
financial consultants.  In its petition, the Debtor estimated
US$10 million to US$50 million in both assets and debts.  The
petition was signed by Luis A. Emmanuelli Gonzalez, president.


PICHI'S INC: Taps Manuel A. Nunez for Labor Relations Matters
-------------------------------------------------------------
Pichi's Inc. asks the U.S. Bankruptcy Court for the District of
Puerto Rico for permission to employ Manuel A. Nunez, Esq., as
special counsel.

The Debtor relates that prior to the Petition date, it engaged the
services of Manuel A. Nunez Law Offices as its counsel in labor
law matters on an ongoing basis, including employees and union
related matters, assessment and legal opinions on wage and hour
issues as well as union contracts, workmen's compensation,
employment issues both under local and federal labor laws, ongoing
bargaining with union as to over six bargaining units and
appearances on behalf of Debtor before governmental agencies for
administrative investigations of non-judicial well as adjudicative
nature, including the National Labor Relations Board.

The firm's personnel hourly rates are:

         Principal Attorneys         US$200
         Associates                    $175
         Junior Associates             $150

To the best of the Debtor's knowledge, the firm is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.

The firm can be reached at:

         MANUEL A. NUNEZ LAW OFFICES
         PMB 157
         No. 1357 Ave. Ashford, Suite 2
         Condado, San Juan, P.R. 00907
         Tel: (787) 753-6530
         Fax: (787) 753-6597
         E-mail: mnunez@mnlawpr.com.

                         About Pichi's Inc.

Pichi's Inc. owns and operates the Best Western Pichi's Hotel in
Guayanilla, Puerto Rico.  Pichi's filed for Chapter 11 bankruptcy
(Bankr. D. P.R. Case No. 11-06583) on Aug. 3, 2011.  Judge Mildred
Caban Flores initially presided over the case, which has recently
been reassigned to the Hon. Edward A. Godoy.  Charles Alfred
Cuprill, PSC Law Offices, serves as the Debtor's bankruptcy
counsel.  CPA Luis R. Carrasquillo & Co., P.S.C., serves as
financial consultants.  In its petition, the Debtor estimated
US$10 million to US$50 million in both assets and debts.  The
petition was signed by Luis A. Emmanuelli Gonzalez, president.


                            ***********


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, 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 * * *