TCRLA_Public/120203.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     L A T I N   A M E R I C A


           Friday, February 3, 2012, Vol. 13, No. 025



                            Headlines



A R G E N T I N A

* ARGENTINA: IDB OKs $300MM to Improve Transport Infrastructure


B R A Z I L

SONAE SIERRA: Moody's Rates R$300MM Proposed Debentures at (P)Ba2


C A Y M A N   I S L A N D S

BLACKROCK ELITE PORTFOLIO I: Shareholders Receive Wind-Up Report
BLACKROCK ELITE PORTFOLIO II: Shareholders Receive Wind-Up Report
BLACKROCK ELITE PORTFOLIO III: Shareholders Get Wind-Up Report
CENTAURI CORPORATION: Shareholders Receive Wind-Up Report
CHEYNE ABI: Shareholders Receive Wind-Up Report

CHEYNE DISCOVERY: Shareholders Receive Wind-Up Report
CHEYNE REAL: Shareholders Receive Wind-Up Report
CHEYNE RENEWABLE: Shareholders Receive Wind-Up Report
CHEYNE TRANSPORTATION: Shareholders Receive Wind-Up Report
CORAL LEASING: Shareholders Receive Wind-Up Report

FRM EQUITY FUND: Shareholders Receive Wind-Up Report
FRM EQUITY MASTER: Shareholders Receive Wind-Up Report
GAM INTERNATIONAL: Shareholders Receive Wind-Up Report
GDI FINANCE: Shareholder Receives Wind-Up Report
GOLDMAN SACHS: Shareholder Receives Wind-Up Report

GRAMERCY DISTRESSED: Shareholders Receive Wind-Up Report
INTANA CAPITAL MASTER: Shareholders Receive Wind-Up Report
INTANA CAPITAL OFFSHORE: Shareholders Receive Wind-Up Report
JUNIPER PRINCIPAL: Shareholder Receives Wind-Up Report
MODELMANAGEMENT.COM: Shareholders Receive Wind-Up Report

NEW REALM: Shareholders Receive Wind-Up Report
PILLOW INC: Shareholders Receive Wind-Up Report
SHORE FINANCE: Shareholder Receives Wind-Up Report
SIGNUM ISIS: Shareholders Receive Wind-Up Report
SILVER HOLDINGS: Shareholders Receive Wind-Up Report

SILVER METIS ASIAN: Shareholder Receives Wind-Up Report
SILVER METIS ASIAPAC: Shareholder Receives Wind-Up Report
UNITED GLOBAL: Shareholders Receive Wind-Up Report
XE SELECT: Shareholders Receive Wind-Up Report
ZAIS ZEPHYR A-3: Shareholders Receive Wind-Up Report


C O L O M B I A

BANCO DAVIVIENDA: Moody's Affirms D+ Bank Finc'l Strength Ratings
DESARROLLADORA HOMEX: Moody's Rates US$300MM Unsec Debt at (P)Ba3


J A M A I C A

DIGICEL GROUP: Court Hears FTC's Arguments on Claro Merger


M E X I C O

MEXICANA AIRLINES: Prosecutors Seek Warrant for Former CEO
RMBS CREYCB: Moody's Cuts Ratings on CREYCB 06U to 'B1(sf)'


T R I N I D A D  &  T O B A G O

CL FIN'L: CDB Warns Barbados Cannot Afford to Bail Out Firm


                            - - - - -


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


* ARGENTINA: IDB OKs $300MM to Improve Transport Infrastructure
---------------------------------------------------------------
The Inter-American Development Bank approved a US$300 million
loan to finance the expansion, rehabilitation and improvement of
roads in Argentina's Norte Grande region, connecting major
production areas with local and foreign markets.  The program
aims to improve the accessibility, efficiency and safety on
priority corridors of the National Road Network as well as feeder
roads of the Provincial Road Network.

Among the program's goals are to increase the Norte Grande's
share of the country's total exports, reduce the number of road
accident deaths, and cut travel times and vehicle operating
costs.

"With this operation, the IDB continues to support Argentina's
efforts to close the development gap between the Norte Grande
region and the rest of the country," said Fernando Orduz, IDB
project team leader.

The Norte Grande region comprises the provinces of Catamarca,
Corrientes, Chaco, Formosa, Jujuy, Misiones, Tucuman, Salta and
Santiago del Estero.  It accounts for one third of the Argentine
mainland and is home to approximately 8.3 million people, or 21
percent of the total population.

The new program was preceded by the Norte Grande Road
Infrastructure Program, which was supported by a US$1.2 billion
IDB loan approved in February 2007.  Some of its components
include engineering works for the expansion, rehabilitation and
improvement of national highways and provincial roads; the
implementation of measures and construction of road safety
countermeasures; and strengthening the management of provincial
transport agencies well as the National Roads Directorate.

This second operation will expand activities to Norte Grande
provinces that were not covered by the first project.  In
addition, it will substantially expand road safety efforts.

The US$300 million IDB loan is for a 25-year term, with a 5-year
grace period and a variable interest rate based on LIBOR.  Local
counterpart financing will contribute US$33.5 million to the
program.


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B R A Z I L
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SONAE SIERRA: Moody's Rates R$300MM Proposed Debentures at (P)Ba2
-----------------------------------------------------------------
Moody's America Latina Ltda. has assigned a first-time national
scale rating of Aa3.br to the proposed senior unsecured
debentures of Sonae Sierra (P) Ba2 global scale) and a Aa3.br
corporate family national scale rating (Ba2 global scale). The
rating outlook is stable.

These first-time ratings were assigned:
Sonae Sierra Brasil S.A.
-- (P)Ba2/Aa3.br to the senior unsecured debentures
-- Ba2/Aa3.br corporate family rating

Sonae Sierra proposes to issue R$300 million in two series that
will have a maturity of five and seven years from the issue date.
The debentures have various covenants including financial
covenants and limitations on the incurrence of additional debt.
The proceeds from the offering will be applied toward future
growth opportunities including development and acquisitions.
Sonae Sierra is a leading owner, developer and manager of
shopping malls in Brazil with R$3.1 billion (US$1.8 billion) in
gross assets as of Sept. 30, 2011.  According to Moody's, the
ratings incorporate the company's strong operating performance,
favorable retail sector fundamentals and a solid balance sheet
with conservative leverage.  The company benefits from the sector
expertise of its controlling shareholders DDR based in the U.S,
and Sonae Sierra in Europe.  Offsetting these strengths are the
risks associated with the company's large development pipeline.
Other considerations are the company's short operating history as
a public company and the limitations associated with its jointly
owned assets.

Sonae Sierra has a solid balance sheet with R$440m in cash and
liquid assets that offset R$332m in debt as of September 30,
2011. Leverage as measured by total debt and preferred securities
to gross assets is considered very low at only 10.6% while net
debt/EBITDA is -0.7% reflecting is net cash position.  The
company is in a strong position to fund its growth with R$282
million construction financing available to complete its 3
projects in development; plus the R$300 million proceeds from the
new debentures and its cash, targeted for new opportunities.
Moody's anticipates leverage to increase as the company executes
on its growth strategy but to remain low in a conservative range
of 2x to 3x net debt/EBITDA.

The ratings consider the portfolio's high occupancy rate at 97.4%
and the very favorable retail fundamentals in Brazil with limited
supply and a growing middle class with growing disposable income.

The retail market in Brazil is underserved by its supply of
shopping malls compared to other countries. There is a growing
trend towards shopping centers compared to traditional shopping
venues.  On the demand side, the country's growing middle class
has supported strong sales growth.  Average household income
growth has contributed to increased disposable income.  In 2011,
sales growth slowed from its rapid pace but still remains
healthy. Sonae Sierra's portfolio includes interests in 10 malls
in operation, mostly located throughout the populous state of Sao
Paulo; and 3 new development projects in the states of Minas
Gerais, Parana and Goias.  The company has a diversified tenant
base with the top ten tenants representing 12% of revenues.
Offsetting these credit positives are the lease-up and execution
risks associated with its large development pipeline.  Sonae
Sierra's total development costs for its pipeline represents
28.5% of gross assets as of Sept. 30, 2011 and it is estimated to
be nearly 34% when compared to the company's proportionate
ownership share of gross assets.  The company expects to nearly
double its owned share of shopping mall GLA to 389,000 sqm by
year-end 2013 through its currently in place development and
expansion projects.
The stable outlook reflects Sonae Sierra's position as a leading
shopping center company in Brazil with high portfolio occupancy;
a solid balance sheet with low leverage; a good cash balance and
a manageable debt maturity schedule.  The outlook also
incorporates management's commitment to a conservative balance
sheet despite its large development pipeline.

Positive ratings movement could occur through a reduction in the
development pipeline to less than 15% of gross assets; gross
assets approaching R$5 billion; and fully loaded fixed charge
coverage (interest expense, capitalized interest and principal
amortization) consistently above 2.0x.  Conversely a downgrade
would occur should the company experience any difficulty with the
execution and lease-up of the development pipeline; net
debt/EBITDA consistently above 3.5x; or the inability to show
adequate liquidity for the upcoming 24 months.

This is the first time Moody's rates Sonae Sierra Brasil S.A.

Sonae Sierra Brasil S.A. is based in Sao Paulo and is one of the
leading shopping center companies in Brazil with interests in 10
malls plus 3 under development as of Sept. 30, 2011.  The total
portfolio GLA is 353,000 square meters (sqm) and the company's
owned GLA is 204,600 sqm as of Sept. 30, 2011.  Sonae Sierra
Brasil launched its IPO on the Brazilian stock exchange in
February 2011 under the ticker SSBR3:BR.


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C A Y M A N   I S L A N D S
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BLACKROCK ELITE PORTFOLIO I: Shareholders Receive Wind-Up Report
----------------------------------------------------------------
The shareholders of Blackrock Elite Portfolio I (Euro) Limited
received on January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


BLACKROCK ELITE PORTFOLIO II: Shareholders Receive Wind-Up Report
-----------------------------------------------------------------
The shareholders of Blackrock Elite Portfolio II (Euro) Limited
received on January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


BLACKROCK ELITE PORTFOLIO III: Shareholders Get Wind-Up Report
--------------------------------------------------------------
The shareholders of Blackrock Elite Portfolio III (Euro) Limited
received on January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


CENTAURI CORPORATION: Shareholders Receive Wind-Up Report
---------------------------------------------------------
The shareholders of Centauri Corporation received on January 20,
2012, the liquidators' report on the company's wind-up
proceedings and property disposal.

The company's liquidators are:

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


CHEYNE ABI: Shareholders Receive Wind-Up Report
-----------------------------------------------
The shareholders of Cheyne Abi General Partner Inc. received on
January 20, 2012, the liquidator's report on the company's wind-
up proceedings and property disposal.

The company's liquidator is:

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


CHEYNE DISCOVERY: Shareholders Receive Wind-Up Report
-----------------------------------------------------
The shareholders of Cheyne Discovery General Partner Inc.
received on January 19, 2012, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


CHEYNE REAL: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of Cheyne Real Estate Opportunities General
Partner Inc. received on January 20, 2012, the liquidator's
report on the company's wind-up proceedings and property
disposal.

The company's liquidator is:

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


CHEYNE RENEWABLE: Shareholders Receive Wind-Up Report
-----------------------------------------------------
The shareholders of Cheyne Renewable Energy General Partner Inc.
received on January 20, 2012, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


CHEYNE TRANSPORTATION: Shareholders Receive Wind-Up Report
----------------------------------------------------------
The shareholders of Cheyne Transportation General Partner Inc.
received on January 20, 2012, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


CORAL LEASING: Shareholders Receive Wind-Up Report
--------------------------------------------------
The shareholders of Coral Leasing Limited received on January 20,
2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

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


FRM EQUITY FUND: Shareholders Receive Wind-Up Report
----------------------------------------------------
The shareholders of FRM Equity Opportunity Fund SPC received on
January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


FRM EQUITY MASTER: Shareholders Receive Wind-Up Report
------------------------------------------------------
The shareholders of FRM Equity Opportunity Master Fund SPC
received on January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


GAM INTERNATIONAL: Shareholders Receive Wind-Up Report
------------------------------------------------------
The shareholders of Gam International SPV, Ltd. received on
January 6, 2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Gotham Funds G.P. LLC
         c/o Bernard Seibert
         535 Madison Avenue, 30th Floor
         New York, New York 10022
         United States of America
         Telephone: 212-319-4100
         Facsimile: 212-319-4419


GDI FINANCE: Shareholder Receives Wind-Up Report
------------------------------------------------
The shareholder of GDI Finance (Cayman) 2003 Limited received on
January 23, 2012, the liquidator's report on the company's wind-
up proceedings and property disposal.

The company's liquidator is:

         Mr. Richard, Wai Hung Poon
         Telephone: (852) 2887 8621
         Facsimile: (852) 2887 8631
         Harbour Centre, Room 1410, 14th Floor
         No. 25 Harbour Road
         Wanchai, Hong Kong


GOLDMAN SACHS: Shareholder Receives Wind-Up Report
--------------------------------------------------
The shareholder of Goldman Sachs Trading Advisors Limited
received on January 20, 2012, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


GRAMERCY DISTRESSED: Shareholders Receive Wind-Up Report
--------------------------------------------------------
The shareholders of Gramercy Distressed Argentina Fund Ltd
received on January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


INTANA CAPITAL MASTER: Shareholders Receive Wind-Up Report
----------------------------------------------------------
The shareholders of Intana Capital Master Fund Ltd received on
January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


INTANA CAPITAL OFFSHORE: Shareholders Receive Wind-Up Report
------------------------------------------------------------
The shareholders of Intana Capital Offshore Fund, Ltd received on
January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


JUNIPER PRINCIPAL: Shareholder Receives Wind-Up Report
------------------------------------------------------
The shareholder of Juniper Principal Protected Notes 1999-1 Ltd.
received on January 20, 2012, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

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


MODELMANAGEMENT.COM: Shareholders Receive Wind-Up Report
--------------------------------------------------------
The shareholders of Modelmanagement.Com received on January 20,
2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Gavin Lowe
         PO Box 2636
         Strathvale House, 90 North Church Street
         Grand Cayman, KY1-1102
         Cayman Islands
         Telephone: 1 345 943 5555


NEW REALM: Shareholders Receive Wind-Up Report
----------------------------------------------
The shareholders of New Realm Island Fund, Ltd. received on
January 20, 2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


PILLOW INC: Shareholders Receive Wind-Up Report
-----------------------------------------------
The shareholders of Pillow Inc. received on January 10, 2012, the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

         UBS Nominees Ltd.
         c/o Stephen R. Nelson
         Telephone: 949-4544
         Facsimile:  949-7073
         Charles Adams Ritchie & Duckworth
         Zephyr House, 122 Mary Street
         PO Box 709 Grand Cayman KY1-1107
         Cayman Islands


SHORE FINANCE: Shareholder Receives Wind-Up Report
--------------------------------------------------
The shareholder of Shore Finance Limited received on January 20,
2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

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


SIGNUM ISIS: Shareholders Receive Wind-Up Report
------------------------------------------------
The shareholders of Signum Isis Limited received on January 20,
2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

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


SILVER HOLDINGS: Shareholders Receive Wind-Up Report
----------------------------------------------------
The shareholders of Silver Holdings LDC received on January 20,
2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


SILVER METIS ASIAN: Shareholder Receives Wind-Up Report
-------------------------------------------------------
The shareholder of Silver Metis Asian Smaller Companies Fund
received on Jan. 23, 2012, the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

         Samir Dilip Mehta
         Telephone: (345) 949 6258
         Facsimile: (345) 945 28 77
         c/o Campbell Corporate Services Limited
         Scotia Centre, 4th Floor
         P.O. Box 268 George Town
         Grand Cayman KY1-1104
         Cayman Islands


SILVER METIS ASIAPAC: Shareholder Receives Wind-Up Report
---------------------------------------------------------
The shareholder of Silver Metis Asiapac Fund received on Jan. 23,
2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Samir Dilip Mehta
         Telephone: (345) 949 6258
         Facsimile: (345) 945 28 77
         c/o Campbell Corporate Services Limited
         Scotia Centre, 4th Floor
         P.O. Box 268 George Town
         Grand Cayman KY1-1104
         Cayman Islands


UNITED GLOBAL: Shareholders Receive Wind-Up Report
--------------------------------------------------
The shareholders of United Global Investment Grade CDO III
Limited received on January 20, 2012, the liquidator's report on
the company's wind-up proceedings and property disposal.

The company's liquidator is:

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


XE SELECT: Shareholders Receive Wind-Up Report
----------------------------------------------
The shareholders of XE Select Fund, Ltd. received on January 20,
2012, 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
         c/o Jennifer Chailler
         Telephone: (345) 814 6847


ZAIS ZEPHYR A-3: Shareholders Receive Wind-Up Report
----------------------------------------------------
The shareholders of Zais Zephyr A-3, Ltd. received on January 20,
2012, the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

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


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C O L O M B I A
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BANCO DAVIVIENDA: Moody's Affirms D+ Bank Finc'l Strength Ratings
-----------------------------------------------------------------
Moody's Investors Service affirmed all of Banco Davivienda S.A.'s
ratings and changed the outlook to negative, from stable,
following the announcement on Jan. 24, 2012 of the acquisition of
HSBC's bank, insurance, and financial and service companies in El
Salvador, Costa Rica, and Honduras.  These ratings were affirmed
with a negative outlook: D+ bank financial strength rating and
Baa3/Prime-3 long and short term local and foreign currency
deposit ratings.

Davivienda's D+ BFSR translates to a baseline credit assessment
(BCA) of Ba1.

Ratings Rationale

In changing the outlook on Davivienda's ratings to negative from
stable, Moody's noted that the acquisition of HSBC Central
America is a sizable one, representing 23% of Davivienda's assets
as of 30 September 2011, and it is also the bank's first major
cross border investment.  Moody's believes that by venturing
outside of its home market, Davivienda will likely be exposed to
increased credit, market, and foreign exchange risks within
several developing Central American countries that could have a
negative effect on its liquidity and profitability.

Moody's also noted that the acquired banks' modest profitability,
high operating cost structures, and still high credit costs will
continue to demand close attention by management, particularly in
regards to integration and risk management plans for the new
entity, and could hurt Davivienda's consolidated earnings.
Moody's will monitor the effect on asset quality, if any, of
aligning these entities' credit and provisioning policies to
those of Davivienda's, considering that respective operating
environments are currently less benign than that in Colombia.

Moody's views positively management's decision to finance the
US$801 million acquisition of HSBC Central America with the
proceeds from its preferred share issuance of COP 716 billion
(US$370 million), completed last December, and on-balance
liquidity.  Nevertheless, upon conclusion of the acquisition,
Davivienda's tangible capital ratio, excluding goodwill, will
decrease to levels reported prior to the issuance, which Moody's
considers weak.

The announced acquisition may challenge the execution of
Davivienda's current business strategy in Colombia, where the
bank continues to expand and strengthen the corporate lending
franchise it acquired from Bancafe (Granbanco).  Davivienda also
faces tough competition from much larger and more entrenched
institutions both within Colombia and in Central America.
Moody's nevertheless acknowledges the bank's well established
operation that is focused on consumer and mortgage lending, and
which could be successfully implemented in its new Central
American franchise.

Davivienda's Baa3 deposit ratings incorporate one notch of uplift
from the Ba1 baseline credit assessment because of Moody's
assessment of a high probability of systemic support from the
Colombian government in light of the bank's important domestic
deposit and lending franchise.

Davivienda is headquartered in Bogota, Distrito Capital,
Colombia. As of June 30, 2011, Davivienda reported US$18.5
billion in assets, US$13 billion in loans, US$12 billion in
deposits, US$2.2 billion in shareholders' equity, and net income
of US$162 million.


DESARROLLADORA HOMEX: Moody's Rates US$300MM Unsec Debt at (P)Ba3
-----------------------------------------------------------------
Moody's Investors Service assigned a (P)Ba3 global scale foreign
currency rating to Desarrolladora Homex, S.A.B. de C.V.'s
proposed senior unsecured debt issuance of approximately US$300
million.

Ratings Rationale

The new notes will have a maturity of five years, will rank pari
passu with other unsecured debt, and will be guaranteed by the
company's wholly-owned major subsidiaries, which represent
approximately 95% of the company's EBITDA (Proyectos
Inmobiliarios de Culiacan, Casas Beta del Norte, Casas Beta del
Noroeste, Desarrolladora de Casas del Noroeste, Casas Beta del
Noroeste y Casas Beta del Centro).  In addition, the company will
hedge all of the interest and principal against foreign exchange
risk.  Proceeds from this new issuance will be used to refinance
existing debt, much of it short-term.  With this proposed
issuance, Homex will have no substantial debt maturities until
2015, a credit plus.

Moody's current global scale foreign currency rating continues to
reflect Desarrolladora Homex's position as one of the top five
homebuilders in Mexico in terms of housing units sold, as well as
its conservative capital structure and sound profitability and
liquidity.  Challenges still include the high costs of land and
infrastructure in Homex's markets, and some speculative
homebuilding by Homex and its competitors.

The stable rating outlook is based on Moody's determination that
Homex's capable management team executes strong internal
controls, construction expertise and efficient practices. Moody's
believes that Homex has strong franchise value, with a well-
recognized brand and a valuable land reserve strategy.  The
stable outlook also reflects Moody's expectation that Homex will
at least maintain its current credit metrics and continue to
improve efficiencies in land development.

Furthermore, Moody's also expects that Homex will continue to
focus on targeting its current product mix, while maintaining
high quality construction and its market leadership.

Moody's stated that rating improvements could result from
bringing Total Debt/EBITDA closer to 1.5X, Total Debt/Total
Assets under 15%, fixed charge coverage over 3.5X (including
capitalized interest and with the adoption of NIF D-6) on a
consistent basis, while at a minimum maintaining EBITDA margins
in the low to mid 20% range.  Continued improvement in its sector
leadership would also be a plus.  Downward rating pressure would
result from substantial missteps in its strategic plan, which
includes some international expansion and its tourist division,
as well as total debt to total asset levels approaching 35% on a
sustained basis. EBITDA margins below 15% and fixed charge
coverage consistently below 2.0X (including capitalized interest
and with the adoption of NIF D-6) would also reflect negatively
in the rating. Further, Increased costs of land and land
development would result in negative rating pressure, as would an
adverse shift in governmental housing policy.

These ratings were assigned with a stable outlook:

Desarrolladora Homex, S.A.B. de C.V. -- Proposed US$ senior
unsecured notes at (P)Ba3

The last rating action with respect to Homex was on Sept. 28,
2011 when Moody's affirmed Homex's senior unsecured debt rating
(foreign currency) at Ba3, and its global scale local currency
issuer rating at Ba3.  Concurrently, Moody's de Mexico affirmed
Homex's national scale issuer rating at A3.mx.  The rating
outlook was stable.

Desarrolladora Homex, S.A.B. de C.V. [NYSE: HXM] is based in
Culiacan, Sinaloa, Mexico.  The firm reported assets of
approximately MXN39,591 million and equity of approximately
MXN13,641 million as of Sept. 30, 2011.  Homex is a homebuilder
engaged in the development, construction, marketing and sale of
mostly affordable housing in Mexico.


=============
J A M A I C A
=============


DIGICEL GROUP: Court Hears FTC's Arguments on Claro Merger
----------------------------------------------------------
RJR News reports that Jamaica Supreme Court will start hearing
arguments into the challenge of the Fair Trading Commission
regarding the merger between Digicel Limited Group and Claro
Jamaica.

Digicel Group has filed a suit challenging the FTC's jurisdiction
in the matter, according to RJR News.

As reported in the Troubled Company Reporter-Latin America on
Jan. 9, 2012, Jamaica Observer said that telecommunications
company, LIME, endorsed the lawsuit filed in the Supreme Court
against the Digicel Limited and Claro Jamaica merger by the Fair
Trading Commission and supports the Commission's position that
the deal is anti-competitive.  The FTC suit follows on legal
action taken by LIME last year to compel the Commission to oppose
the merger in the interest of Jamaican consumers, according to
Jamaica Observer.

Digicel Group Limited -- http://www.digicelgroup.com/-- is
renowned for competitive rates, unbeatable coverage, superior
customer care, a wide variety of products and services and state-
of-the-art handsets.  By offering innovative wireless services
and community support, Digicel Group has become a leading brand
across its 31 markets worldwide.

Digicel is incorporated in Bermuda based in Jamaica.  It has
operations in 31 markets worldwide.  Its Caribbean and Central
American markets comprise Anguilla, Antigua & Barbuda, Aruba
Barbados, Bermuda, Bonaire, the British Virgin Islands, the
Cayman Islands, Curacao, Dominica, El Salvador, French Guiana,
Grenada, Guadeloupe, Guyana, Haiti, Honduras, Jamaica,
Martinique, Panama, St. Kitts Nevis, St. Lucia, St. Vincent & the
Grenadines, Suriname, Trinidad & Tobago and Turks & Caicos.  The
Caribbean company also has coverage in St. Martin and St. Barts.
Digicel Pacific comprises Fiji, Papua New Guinea, Samoa, Tonga
and Vanuatu.

                         *     *     *

As of September 27, 2011, the company continues to carry Moody's
"Caa1" senior unsecured debt rating.


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


MEXICANA AIRLINES: Prosecutors Seek Warrant for Former CEO
----------------------------------------------------------
Latin American Herald Tribune reports that Mexican federal
prosecutors have asked a judge to order the arrest of former
Compania Mexicana de Aviacion or Mexicana Airlines Chief
Executive Officer Manuel Borja for tax evasion.

An unnamed spokesman for the federal Attorney General's Office
said that Mr. Borja, the airline's CEO until August 2010 when
Mexicana Airline halted operations amid serious financial woes,
failed to pay more than MXN404 million (some US$31 million) in
taxes, according to Herald Tribune.

The report notes that the spokesman said AG's office now is only
waiting for the judge to issue the arrest warrant for tax fraud,
a serious crime in Mexico for which the accused is not entitled
to release on bail.

In 2011, Herald Tribune recalls that the Airline Pilots
Association (ASPA) filed a fraud complaint with the AG's office
against Mexicana's then-owner hotel operator Grupo Posadas and
Borja.  "We're waiting for those responsible for the crisis
affecting Mexicana to be punished for it," ASPA leader Fernando
Perfecto said, Herald Tribune relates.

The report notes that Mr. Perfecto said that in addition to the
fraud complaint, which was supported by documents filed as part
of the bankruptcy proceedings, ASPA also sued Grupo Posadas for
alleged violations of securities law, accusing it of hiding
"relevant" information pertaining to its handling of the
airline's shares.

                    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
Aug. 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.


RMBS CREYCB: Moody's Cuts Ratings on CREYCB 06U to 'B1(sf)'
-----------------------------------------------------------
Moody's de Mexico S.A. de C.V. has downgraded its ratings on
CREYCB 06U certificates to B1(sf) (Global Scale, Local Currency)
from Ba1(sf) and to Baa2.mx(sf) (National Scale Rating) from
A1.mx(sf).  The ratings on CREYCB 06-2U (Class B certificates) of
Ca(sf) (Global Scale, Local Currency) and Ca.mx(sf) (National
Scale) are not affected.

The downgrade to CREYCB 06U ratings is due to the increased
pressures on timely payment of interest to senior certificates
holders.  This is a result of the consistent deterioration of the
mortgage pool reflected by rising delinquencies and of higher
operational expenses, related mostly to collection costs. The
downgrade also reflects the slow pace of foreclosures and REO
sales relative to the pool's high delinquency.

Originator: Hipotecaria Credito y Casa S.A. de C.V., SOFOL

Issuer: Banco Invex S.A., Institucion de Banca Multiple, solely
as trustee

Primary Servicer: ABC Capital, S.A., Institucion de Banca
Multiple

-- Class A certificates CREYCB 06U ratings downgraded to B1(sf)
(Global Scale, Local Currency) from Ba1(sf) and to Baa2.mx(sf)
(National Scale Rating) from A1.mx(sf)

Ratings Rationale

Pool performance deteriorated steadily last year. Past due loans
(+90 days) and Real Estate Owned (REO) assets now account for
29.4% of the original pool balance; up from 25.4% the previous
year.  Geographical concentration also increased, with the states
Baja California and Jalisco accounting for 33.9% of the
outstanding balance of current loans, but 47.5% of the
outstanding balance of total delinquent loans.  This indicates
that specific factors in those states may be causing rapid
migration in non-performing loans from early to late
delinquencies and reducing cash flows collections to the trust.
At the same time, servicing fees are higher than historical
levels and the trustee is making monthly reimbursements to the
servicer for costs related to REO management.

The ongoing deterioration in pool performance, coupled with the
increase in trust expenses, resulted in insufficient interest
collections in December 2011 for interest payments on the CREYCB
06U and CREYCB 06-2U certificates.  Under the transaction
documents, the trustee makes the payments on the certificates
according to a dual waterfall, using the interest collections
(net of fees and expenses) to pay interest on the certificates,
and the principal collections to pay down the principal.  The
trustee has had to use funds in a cash reserve, which contains
one month's of interest payments for the Class A and B
certificates twice during the last three months to cover interest
shortfalls.  As of December 2011, the reserve contained an amount
equivalent to approximately 75% of the monthly interest payments
for both certificates.

The interest coverage ratio (ICR) for the CREYCB 06U debt
certificates, calculated by dividing interest collections (net of
fees and expenses) by the interest on the senior certificates,
has been declining to between 0.98 times and 1.30 times in the
last twelve months.  Moody's considers this level to be somewhat
low and volatile in comparison to other Mexican RMBS.

If cashflows from interest collections continue to decline or
collection costs remain higher than historical levels, the net
interest collections available to make interest payments will
remain insufficient, resulting in the continued use of the
reserve funds and the potential failure to make full interest
payments on the certificates.  The primary servicer's efforts to
improve collections and recoveries on early and late delinquent
loans will be key to restoring collections to levels sufficient
to make the payments.

As of March 2011, the servicer had obtained all the necessary
authorizations to initiate repossession procedures and complete
REO sales.  This should result in a higher number of REOs in the
future, which should translate into higher collections. However,
according to the transaction documents cashflows from REO sales
can be used for principal payments only.  In addition, the
foreclosure and sale process can increase operational expenses
(including servicing fees), which would further reduce interest
collections available to pay interest on the certificates.
Moody's may have to again downgrade the CREYCB 06U ratings if the
ICR continues to decline or the pool performance metrics
deteriorate further.

Credit protection for CREYCB 06U is adequate for the B1(sf)/
Baa2.mx(sf) ratings.  Moody's projected net loss for this
transaction is 27.4% of the outstanding balance of the loan pool,
assuming a severity of loss of 50.0%.  This compares to a
projected lifetime credit enhancement, including
overcollateralization, remaining excess spread and cash reserves,
equivalent to 30.4% of the outstanding balance.  Moody's notes
that the ratings of the certificates are highly sensitive to the
amounts to be recovered from REO sales.

The uncertainty surrounding recoveries is considerable, given the
limited number of REO sales completed to date.  In monitoring
this transaction, Moody's assumes that recoveries will be
equivalent to 50% of the current loan amount, which already
incorporates the fact that the pool benefits from SHF's mortgage
insurance will be equivalent to around 24.9% of the current pool
balance.  In addition, the servicing agreement will expire in
2013 and it will have to be extended or a new servicer will have
to be found, which compounds the uncertainty regarding the
operational aspects of the transaction.

When rating mortgage backed securitizations in Mexico, Moody's
prepares a loan-by-loan cash flow analysis that takes into
account scheduled interest and principal collections on the
mortgages, a distribution of cumulative gross default scenarios
on the mortgage portfolio, severity and recovery rate
assumptions, an assumed cumulative prepayment percentage, the
priority of payments due to investors, and any particular
characteristics of the transaction such as credit enhancement
levels, reserves, and any type of guarantee benefiting the Note
holders.

The main assumptions underlying Moody's expectations of the
future performance of the collateral are the cumulative gross
default percentage, the cumulative prepayment percentage, and the
severity of loss given a loan default. For cumulative gross
defaults, Moody's uses a triangular distribution stressing the
mortgage cash flows in a range of default scenarios and timing
defaults along a default curve.  The assumed severity of loss on
defaulted loans takes into account numerous variables, including,
but not limited to, the balance of the loan at the time of
default, recovery lags, and downward adjustments to the original
property value to stress the value of the property at
liquidation.  For each of the cumulative gross default scenarios,
Moody's allocates the available cash flows according to the
priority of payments stipulated in the transaction documents.
Moody's applies varying weights, or probabilities of occurrence,
to each of the cumulative gross default scenarios according to
the triangular distribution to arrive at an aggregate weighted
average expected loss on the notes. Moody's also calculates a
weighted average life for the notes, which together with its
weighted average loss and idealized loss tables, it uses to
assign a rating to the notes.


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


CL FIN'L: CDB Warns Barbados Cannot Afford to Bail Out Firm
-----------------------------------------------------------
Caribbean360.com reports that Caribbean Development Bank (CDB)
President Dr. Warren Smith warned the Barbados government that
the country cannot afford to dig deep to bail out Colonial Life
Insurance Company (Trinidad) Limited.  CLICO is a subsidiary of
CL Financial Limited.

"I don't think that the Government of Barbados is in any position
to be able to dig deep to come up with resources to bail out
either their own or the Eastern Caribbean countries, and the
Eastern Caribbean countries can't afford to do that,"
Caribbean360.com quoted Dr. Smith as saying.

Dr. Smith added that he did not see any solutions to the CLICO
situation that were either practical or affordable, according to
Caribbean360.com.

The report notes that CDB is a part of a committee trying to seek
a solution to the situation which unfolded when CL Financial in
Trinidad collapsed in 2009, and has tabled numerous solutions to
resolve the British American Insurance problem.

Caribbean360.com discloses that Dr. Smith warned, the solution to
the problem will be a very expensive one, and the committee is
recommending a burden-sharing approach between Trinidad and the
Eastern Caribbean countries.

However, Dr. Smith also made it clear that any attempt by
countries to bail out all CLICO and British American
policyholders and investors using state funds will be a dangerous
undertaking, the report adds.

                        About CL Financial

CL Financial Group Limited is a privately held conglomerate in
Trinidad and Tobago.  Founded as an insurance company by Cyril
Duprey, Colonial Life Insurance Company was expanded into a
diversified company by his nephew, Lawrence Duprey.  CL Financial
is now one of the largest local conglomerates in the region,
encompassing over 65 companies in 32 countries worldwide with
total assets standing at roughly US$100 billion.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
August 10, 2009, A.M. Best Co. downgraded the financial strength
rating to C (Weak) from B (Fair) and issuer credit rating to
"ccc" from "bb" of Colonial Life Insurance Company (Trinidad)
Limited (CLICO) (Trinidad & Tobago).  The ratings remain under
review with negative implications.  CLICO is an insurance member
company of CL Financial Limited (CL Financial), a diversified
holding company based in Trinidad & Tobago.

According to a TCR-LA report on Feb. 20, 2009, citing Trinidad
and Tobago Express, Tobago President George Maxwell Richards
signed bailout bills for CL Financial, giving the government the
authority to control the company's unit, Colonial Life Insurance
Company, and giving the central bank extensive powers to treat
with CL Financial's collapse and the consequent systemic crisis.


                            ***********


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, Ivy B. Magdadaro, Frauline S.
Abangan, and Peter A. Chapman, Editors.

Copyright 2012.  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 Peter Chapman at 240/629-3300.


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