TCRLA_Public/121102.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, November 2, 2012, Vol. 13, No. 219


                            Headlines



A R G E N T I N A

ASISTE URMED: Creditors' Proofs of Debt Due Nov. 6
EXAKO SA: Creditors' Proofs of Debt Due Nov. 5
VILALTELLA Y VALLS: Creditors' Proofs of Debt Due Nov. 19


B R A Z I L

TELEMAR PARTICIPACOES: Moody's Corrects Oct. 30 Rating Release


C A Y M A N  I S L A N D S

BLACK EYE: Commences Liquidation Proceedings
CAYMAN ISLANDSWALNUT: Commences Liquidation Proceedings
COLORADO EQUITY: Commences Liquidation Proceedings
D. JABRO OVERSEAS: Commences Liquidation Proceedings
GORDON OVERSEAS: Commences Liquidation Proceedings

J HILSABECK: Commences Liquidation Proceedings
MSG OVERSEAS: Commences Liquidation Proceedings
QIB COLORADO: Commences Liquidation Proceedings
QIB WALNUT: Commences Liquidation Proceedings
WALNUT EQUITY: Commences Liquidation Proceedings


J A M A I C A

* JAMAICA: Central Bank Data Shows Marginal Dip in Remittances


T R I N I D A D  &  T O B A G O

CARIBBEAN AIRLINES: Tries to Reduce Passengers Backlogs


                            - - - - -


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


ASISTE URMED: Creditors' Proofs of Debt Due Nov. 6
--------------------------------------------------
Sandra Monica Rizzo, the court-appointed trustee for Asiste Urmed
SA's bankruptcy proceedings, will be verifying creditors' proofs
of claim until Nov. 6, 2012.

Ms. Rizzo will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 26
in Buenos Aires, with the assistance of Clerk No. 51, 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:

         Sandra Monica Rizzo
         Florida 375


EXAKO SA: Creditors' Proofs of Debt Due Nov. 5
----------------------------------------------
Myriam Lewenbaum, the court-appointed trustee for Exako SA's
bankruptcy proceedings, will be verifying creditors' proofs of
claim until Nov. 5, 2012.

Ms. Lewenbaum will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 23 in Buenos Aires, with the assistance of Clerk
No. 46, 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:

         Myriam Lewenbaum
         Montevideo 666
         Argentina


VILALTELLA Y VALLS: Creditors' Proofs of Debt Due Nov. 19
---------------------------------------------------------
Estudio Abigador, Collia y Vighenzoni, the court-appointed trustee
for Vilaltella y Valls SA's reorganization proceedings, will be
verifying creditors' proofs of claim until Nov. 19, 2012.

The Trustee will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 5 in Buenos Aires, with the assistance of Clerk
No. 9, 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.

Creditors will vote to ratify the completed settlement plan
during the assembly on July 5, 2013.

The Trustee can be reached at:

         Estudio Abigador, Collia y Vighenzoni
         Uruguay 856



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


TELEMAR PARTICIPACOES: Moody's Corrects Oct. 30 Rating Release
--------------------------------------------------------------
Moody's Investors Service issued a correction to the October 30
rating release of Telemar Participacoes S.A.

Moody's Investors Service and Moody's Latin America (jointly
Moody's Investors Service and Moody's Am‚rica Latina Ltda.
(jointly Moody's) have downgraded Oi S.A. (Oi)'s ratings to Baa3
from Baa2 on its global scale and to Aa1.br from Aaa.br on its
national scale. Concurrently, Moody's has downgraded the ratings
of Telemar Participacoes S.A., Oi's holding company and owner of
56% of its common shares, to Ba1 from Baa3 on its global scale and
to Aa2.br from Aa1.br on its national scale.

The ratings downgrades were triggered by Oi's elevated leverage
and the fact that the company will take longer to deleverage than
Moody's expected. The outlook on the ratings is negative. These
actions complete the ratings review initiated by Moody's on August
16, 2012.

In addition, Moody's has withdrawn the Baa2 rating of Telemar
Norte Leste S.A, a wholly owned subsidiary of Oi S.A.

Ratings downgraded:

Oi S.A.

- Senior unsecured issuer rating: to Baa3 from Baa2 (global
   scale); to Aa1.br from Aaa.br (national scale)

- EUR 750 million 5.125% senior unsecured foreign currency notes
   due in 2017: to Baa3 from Baa2 (global scale)

- USD 1.0 billion 5.500% in Senior Unsecured Foreign Currency
   Notes due in October 2020: to Baa3 from Baa2 (global scale)

- USD 142 million 9.500% in Senior Unsecured Foreign Currency
   Notes due 2019: to Baa3 from Baa2 (global scale)

- BRL 540 million senior unsecured local currency debentures due
   in 2013: to Baa3 from Baa2 (global scale); to Aa1.br from
   Aaa.br (national scale)

- BRL 2.25 billion in senior unsecured local currency debentures
   issued in two series due in 2014 and 2020 : to Baa3 from Baa2
   (global scale); to Aa1.br from Aaa.br (national scale)

- BRL 2.0 billion senior unsecured debentures issued in two
   series due in 2017 and 2020: to Baa3 from Baa2 (global scale);
   to Aa1.br from Aaa.br (national scale)

- BRL 2.35 billion 7-year senior unsecured debentures due in
   2018: to Baa3 from Baa2 (global scale); to Aa1.br from Aaa.br
   (national scale)

- BRL 1.1 billion 9.75% 5-year global notes due in 2016: to Baa3
   from Baa2 (foreign currency rating)

- USD 1.5 billion 5.75% senior unsecured notes due 2022: to Baa3
   from Baa2 (global scale);

Telemar Participacoes S.A.

- BRL 500 million in 7-year senior unsecured debentures: to Ba1
   from Baa3 (global scale); to Aa2.br from Aa1.br (national
   scale)

- BRL 500 million in senior unsecured debentures with final
   maturity in October 2018: to Ba1 from Baa3 (global scale); to
   Aa2.br from Aa1.br (national scale)

Ratings withdrawn:

Telemar Norte Leste S.A.

- Senior unsecured issuer rating: Baa2 (global scale)

Ratings Rationale

"The ratings downgrades were based on Oi's elevated leverage,"
says Nymia Almeida, a Moody's Vice President - Senior Analyst and
lead analyst for Oi. "During the last twelve months ended June 30,
2012, Oi's adjusted gross debt leverage was at 4.1x, which
negatively compares with other telecommunications companies in the
same rating category," explains Ms. Almeida. "In addition, Oi's
ability to deleverage significantly in the near term will be
limited given the competitive environment in the Brazilian
telecoms industry and strong regulatory pressure on the country's
telecoms companies to undertake high capital expenditure, as well
as by the company's rigid dividend commitments."

Moody's believes that Oi's business model is solid and supportive
of the company's operating margins given the strong pent-up demand
for data and pay-TV services in Brazil and the absence of a price
war among the country's telecom operators. However, the highly
competitive nature of the telecoms industry in Brazil (at least
three strong operators per type of service) forces telcos to
immediately pass on operating savings to consumers, limiting the
ability of these companies to materially grow revenue and improve
margins. In addition, the strong regulatory pressure on Brazilian
telcos, including Oi, to undertake high levels of capital
expenditure, in order to ensure continuing service improvements
and coverage expansion, exerts negative pressure on their free
cash flow. Moreover, Oi has high dividend payout commitments vis-
a-vis its net profit generation. For these reasons, Moody's
believes that Oi will be able to deleverage only gradually.

Oi's ratings reflect (1) the leading market position of its
incumbent wireline operations; (2) a sound EBITDA margin, albeit
declining; (3) the company's prudent financial policies, which
contribute to its overall strong debt protection metrics; and (4)
its good level of corporate governance standards when compared
with other Brazilian companies. The ratings also reflect Moody's
expectation that Oi will be able to sustain its current margins by
continuing to bundle services and increasing the proportion of its
total service revenues that comprises data services, thereby
reducing churn of fixed and mobile subscribers and improving its
revenue mix. This way, the company would manage to reduce
operating costs in a business environment characterized by
declining prices. At the same time, the ratings are principally
constrained by Oi's current high leverage and the challenges the
company faces to address the decline in its higher-margin fixed-
line telephony revenues, as well as the fierce competition in the
Brazilian telecoms industry.

Oi's liquidity position is good. As of June 30, 2012, the
company's cash on hand plus projected cash flow for the following
18 months were sufficient to cover interest payments, debt
maturities, taxes, working capital, capex and dividends. As of
that date, Oi also had sizeable committed and undrawn credit
facilities amounting to around BRL11 billion (USD5.5 billion).
Oi's revolving credit facilities not only support the company's
liquidity position but also highlight its conservative financial
policies.

Moody's standard adjustments to Oi's debt and EBITDA include those
related to operating leases; pension funds; foreign exchange
derivatives; refinanced taxes; and Anatel credit lines.

The ratings of Telemar Participacoes S.A. are based on the
structural subordination of its debt to the debt at Oi. Moody's
estimates that, as of June 2012, Telemar Participacoes' total debt
represented 10% of the aggregate debt of the group.

The negative ratings outlook is based on Moody's view that Oi may
find it more difficult to deleverage its balance sheet than the
rating agency initially anticipated, as a result of which the
company's credit metrics may remain weak for the Baa3 rating
category for an extended period of time.

What Could Change The Ratings Down/Up

Moody's could downgrade Oi's ratings if management's efforts to
reduce debt leverage via sales of assets or other initiatives are
not successful in the next 12-18 months. Negative revenue growth
or a decline in the company's market share due to a stronger
competitive environment than anticipated could also result in
negative rating pressure. Specifically, the ratings may come under
downward pressure if (1) Oi's adjusted debt/EBITDA ratio stay
close to 4.0x for an extended period of time; or (2) the company's
adjusted EBITDA minus capex/interest deteriorates below 1.5x.

However, a stabilization of Oi's ratings could result if the
company deleverages to the extent that its adjusted gross debt
decreases well below current 4.1x, provided such deleveraging is
not a consequence of a significant decline in capex relative to
revenue. Therefore, positive revenue growth and stable margins at
current levels are conditions that must precede a positive ratings
action.

The principal methodology used in rating Oi, Telemar Participacoes
S.A., and Telemar Norte Leste S.A. was the Global
Telecommunications Industry Methodology published in December
2010.

Moody's National Scale Ratings (NSRs) are intended as relative
measures of creditworthiness among debt issues and issuers within
a country, enabling market participants to better differentiate
relative risks. NSRs differ from Moody's global scale ratings in
that they are not globally comparable with the full universe of
Moody's rated entities, but only with NSRs for other rated debt
issues and issuers within the same country. NSRs are designated by
a ".nn" country modifier signifying the relevant country, as in
".br" for Brazil.

Headquartered in the city of Rio de Janeiro, Oi is a publicly
traded company (52% free float) whose main shareholder is Portugal
Telecom (Ba2 negative) with direct and indirect stake of 23.3% as
of June 30, 2012. Oi is Brazil's largest incumbent local exchange
carrier by number of fixed lines in service (13 million as of June
30, 2012). As of June 2012, Oi held 45% of Brazil's lines in
service; 30% of the country's fixed broadband subscribers; and 19%
of its mobile subscribers. It also provides pay-TV on a smaller
scale (487,000 subscribers -- representing a market share of
approximately 4% -- as of June 30, 2012). In the first six months
of 2012, residential services (voice, broadband access and pay-TV)
represented 36% of Oi's revenues; mobile services represented 32%;
and business services represented 30%. The company reported net
revenues of BRL28.2 billion (approximately $13.9 billion) for the
last twelve months ended June 30, 2012.

Telemar Participacoes S.A. is a holding company and owner of 56%
of Oi's common stock and 18% of the company's total shares. The
main shareholders of Telemar Participacoes are Portugal Telecom,
with a 12% share of the capital; Andrade Gutierrez Telecom with
19%; and La Fonte with 19%.

Moody's has withdrawn the ratings on Telemar Norte Leste S.A. for
its own business reasons.



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


BLACK EYE: Commences Liquidation Proceedings
--------------------------------------------
On Sept. 24, 2012, the members of Black Eye Investment Company
resolved to voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
Oct. 29, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

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


CAYMAN ISLANDSWALNUT: Commences Liquidation Proceedings
-------------------------------------------------------
At an extraordinary meeting held on Sept. 25, 2012, the members of
Cayman Islandswalnut Equity Holdings Limited resolved to
voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
Nov. 1, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

         Westport Services Ltd.
         c/o Bonnie Willkom
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         PO Box 1111 Grand Cayman KY1-1102
         Cayman Islands


COLORADO EQUITY: Commences Liquidation Proceedings
--------------------------------------------------
At an extraordinary meeting held on Sept. 25, 2012, the members of
Colorado Equity Limited resolved to voluntarily liquidate the
company's business.

Only creditors who were able to file their proofs of debt by
Nov. 1, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

         Westport Services Ltd.
         c/o Bonnie Willkom
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         PO Box 1111 Grand Cayman KY1-1102
         Cayman Islands


D. JABRO OVERSEAS: Commences Liquidation Proceedings
----------------------------------------------------
On Sept. 25, 2012, the members of D. Jabro Overseas Fund, Ltd.
resolved to voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
Oct. 30, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

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


GORDON OVERSEAS: Commences Liquidation Proceedings
--------------------------------------------------
On Sept. 25, 2012, the members of D. Gordon Overseas Fund, Ltd.
resolved to voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
Oct. 30, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

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


J HILSABECK: Commences Liquidation Proceedings
----------------------------------------------
At an extraordinary meeting held on Sept. 25, 2012, the members of
J. Hilsabeck Overseas Fund, Ltd. resolved to voluntarily liquidate
the company's business.

Only creditors who were able to file their proofs of debt by
Oct. 30, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

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


MSG OVERSEAS: Commences Liquidation Proceedings
-----------------------------------------------
On Sept. 25, 2012, the members of MSG Overseas Fund, Ltd. resolved
to voluntarily liquidate the company's business.

Only creditors who were able to file their proofs of debt by
Oct. 30, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

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


QIB COLORADO: Commences Liquidation Proceedings
-----------------------------------------------
At an extraordinary meeting held on Sept. 25, 2012, the members of
QIB Colorado Equity Limited resolved to voluntarily liquidate the
company's business.

Only creditors who were able to file their proofs of debt by
Nov. 1, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

         Westport Services Ltd.
         c/o Bonnie Willkom
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         PO Box 1111 Grand Cayman KY1-1102
         Cayman Islands


QIB WALNUT: Commences Liquidation Proceedings
---------------------------------------------
At an extraordinary meeting held on Sept. 25, 2012, the members of
QIB Walnut Equity Limited resolved to voluntarily liquidate the
company's business.

Only creditors who were able to file their proofs of debt by
Nov. 1, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

         Westport Services Ltd.
         c/o Bonnie Willkom
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         PO Box 1111 Grand Cayman KY1-1102
         Cayman Islands


WALNUT EQUITY: Commences Liquidation Proceedings
------------------------------------------------
At an extraordinary meeting held on Sept. 25, 2012, the members of
Walnut Equity Limited resolved to voluntarily liquidate the
company's business.

Only creditors who were able to file their proofs of debt by
Nov. 1, 2012, will be included in the company's dividend
distribution.

The company's liquidator is:

         Westport Services Ltd.
         c/o Bonnie Willkom
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         PO Box 1111 Grand Cayman KY1-1102
         Cayman Islands



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


* JAMAICA: Central Bank Data Shows Marginal Dip in Remittances
--------------------------------------------------------------
RJR News reports that new data from the Central Bank show a
marginal dip in net remittances to Jamaica in August.

The figure amounted to US$147.9 million, which represented a
reduction of US$1 million or 0.7% relative to the corresponding
period last year, according to RJR News.  The report relates that
this resulted from a decrease in gross inflows.

During the month, total remittance inflows was US$170 million, a
decline of US$4.4 million or 2.5% when compared to August 2011,
the report says.  RJR News notes that despite the dip, the Bank of
Jamaica said total remittances for the first eight months of the
year were higher than last year.

Net remittances amounted to US$1.8 billion which represented a
growth of US$25.7 million or 2.2% relative to the corresponding
period of 2011.



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


CARIBBEAN AIRLINES: Tries to Reduce Passengers Backlogs
-------------------------------------------------------
RJR News reports that Caribbean Airlines Limited may seek to add
an additional flight to reduce the backlog of passengers following
the passage of Hurricane Sandy in the United States.

CAL Chairman Rabindranath Moonan confirmed that an additional
flight was a contingency plan in case the backlog could not be
reduced by the resumption of flights, according to RJR News.

The report relates that Mr. Moonan said the US Federal Aviation
Administration gave Caribbean Airlines approval for 40% of its
flights to enter JFK International Airport in New York.  RJR News
notes that one of the flights left from Jamaica, the other from
Georgetown, Guyana, while three were scheduled to leave Trinidad.

The report discloses that Mr. Moonan said if the contingency
airplane is required, CAL will wet-lease one from Omni Air
International.

Caribbean Airlines Limited -- http://http://www.caribbean-
airlines.com/ -- provides passenger airline services.  It also
specializes in the shipment of fresh cut flowers and packaged
meats, hatching eggs, chocolates, fruits and vegetables, frozen
and chilled fish, vaccines, newspapers, and magazines within the
Caribbean, as well as to North America and Europe.

                         *     *     *

As reported in the Troubled Company Reporter on March 21, 2012,
RJR News said that Caribbean Airlines Limited owes nearly
US$30 million to Trinidad and Tobago's fuel provider National
Petroleum.  Trinidad Express said CAL enjoys a seven-day credit
facility for aviation fuel from the company, according to RJR
News.  However, the report related that the airline has not been
able to pay the full amount when invoiced and instead has been
issuing partial payments to sustain the account.  RJR News notes
that Trinidad Express reported that the arrears were built up
over the last six weeks as no payments have been made despite an
attractive fuel subsidy which the airline has enjoyed since it
began operations in January 2007.


                            ***********


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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