TCRLA_Public/130327.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, March 27, 2013, Vol. 14, No. 61


                            Headlines



B R A Z I L

COSAN LUXEMBOURG: Moody's Rates BRL850MM Senior Notes Issue Ba2
* BRAZIL: CIESA Suit Wins Latin Lawyer Deal of the Year Award


C A Y M A N  I S L A N D S

AA EQUITY: Shareholders Receive Wind-Up Report
APACHE FINANCE: Shareholders Receive Wind-Up Report
APACHE FINANCE EAST: Shareholders Receive Wind-Up Report
APACHE FINANCE EXPLORATION: Shareholders Receive Wind-Up Report
APACHE FINANCE KHALDA: Shareholders Receive Wind-Up Report

APACHE FINANCE MATRUH: Shareholders Receive Wind-Up Report
APACHE FINANCE MEDITERRANEAN: Shareholders Receive Wind-Up Report
ECAMOS ROLLOVER: Shareholders Receive Wind-Up Report
FAV LIMITED: Shareholders Receive Wind-Up Report
GEN2 EXPLORERS: Shareholders Receive Wind-Up Report

INCOME PARTNERS: Shareholders Receive Wind-Up Report
LUMISTAR INVESTMENTS: Shareholders Receive Wind-Up Report
PADMASAMBHAVA HOLDINGS: Shareholders Receive Wind-Up Report
PROVINCETOWN LIMITED: Shareholders Receive Wind-Up Report
REAL ESTATE: Shareholders Receive Wind-Up Report

RHOMBUS CAPITAL: Members Receive Wind-Up Report
SAHARA INVESTMENTS: Shareholders Receive Wind-Up Report
STANLEY HOLDINGS: Shareholders Receive Wind-Up Report
TANAMERA HOLDINGS: Sole Member Receives Wind-Up Report
YMK INVESTMENTS: Shareholders Receive Wind-Up Report


J A M A I C A

DIGICEL GROUP: Seeks to Raise US$300 Million More in Bond Offer


M E X I C O

MXMACFW 07-3U: Moody's Reviews Ratings for Possible Downgrade
* MEXICO: Moody's Confirms Jalisco State's B1 GS Rating


T R I N I D A D  &  T O B A G O

CARIBBEAN AIRLINES: Explores Code Sharing Deal With Air India




                            - - - - -


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B R A Z I L
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COSAN LUXEMBOURG: Moody's Rates BRL850MM Senior Notes Issue Ba2
---------------------------------------------------------------
Moody's Investors Service assigned a Ba2 foreign currency rating
to Cosan Luxembourg's issuance of BRL850 million 5-year senior
unsecured notes. The Ba2/A1.br Corporate Family rating and Ba2
existing senior notes rating are unaffected by this action. The
ratings outlook is stable.

The proposed notes will be unconditionally guaranteed by Cosan
S.A. Proceeds will be used to repay part of the company's BRL3.3
billion debentures, used to fund the Comgas acquisition.

Ratings Rationale:

Cosan's Ba2 ratings reflect primarily the company's diversified
portfolio of businesses, including the entire sugar-ethanol chain,
fuel and lubes distribution, land management, and commodities
transportation and logistics in Brazil. The acquisition of a 60.1%
in gas distributor Comgas (Baa3 Stable), concluded on November
5th, will further diversify the company's earnings stream and
translate into a more stable cash source over the long-term.
Moreover, Moody's expects Raizen and Comgas to distribute a
significant amount of dividends over the next several years, which
will represent the bulk of the company's cash generation.

Constraining the ratings is Cosan's acquisitive profile, which
includes, in addition to Comgas, the potential acquisition of a
5.67% stake in ALL (Ba3/Stable) amounting to BRL 897 million.
Comgas transaction pressured Cosan's credit metrics in the short-
term, leading to an increase in pro-forma adjusted gross leverage
(including Comgas but excluding Raizen) to about 5.0x in December
2012, . Moreover, Moody's views execution risks related to the
integration of such different operations to be high and could
impact financial performance and reduce management focus.

Moody's considers Cosan's current liquidity as adequate. Its
reported cash position of BRL 2.3 billion as of December 2012 is
sufficient to cover short term debt by about 1.3x. With the
incorporation of Comgas, Cosan's capital expenditures would
increase by about BRL 600 million to BRL 3.3 to 3.5 billion per
year by Moody's estimates. In Moody's view, this could reduce
liquidity in the case of a lower than expected dividend stream.
Moreover, Cosan's liquidity commitment in the joint up to USD 500
million committed facility with Shell to Raizen in case of
emergency financial needs, may be an additional call on Cosan's
liquidity. Although not likely, given Raizen's strong credit
profile, Moody's estimates that Cosan could have a cash
disbursement of at least BRL 300 million as a result of this
commitment.

Cosan's notes may be subject to structural subordination depending
on the future debt and guarantee structure at its subsidiaries and
could be notched down from the CFR.

The stable outlook reflect Moody's view that Cosan will be able to
fund future capital investments with cash generation and also from
the dividends inflow from Raizen and Comgas, thus being able to
maintain leverage below 3.5x over time and profitability near
current levels. It also considers that the company will conduct
any future acquisition plans in a prudent manner, in order not to
impact its current credit metrics.

The ratings could be upgraded if Cosan proves able to integrate
its recent acquisitions, while preserving cash generation and
current credit metrics. Quantitatively, that would be the case if
leverage approaches 3.0x, CFO/Net Debt above 35% and
EBITA/interest expense higher than 4.0x.

A downgrade could result from a deterioration in liquidity and
also from the inability of keeping operating margins near current
levels. More specifically, the ratings could be downgraded if
total adjusted debt to EBITDA is sustained above 4.0x, CFO/Net
Debt less than 20% and EBITA/ interest expense below 3.5x. A large
debt funded acquisition could also put downward pressure on the
rating.

The principal methodology used in this rating was the Global Food
- Protein and Agriculture Industry Methodology published in
September 2009. Other methodologies used include Loss Given
Default for Speculative-Grade Non-Financial Companies in the U.S.,
Canada and EMEA published in June 2009.

Headquartered in Sao Paulo, Cosan S.A. Industria e Comercio, is a
conglomerate with businesses in the sugar & ethanol space, fuel
and gas distribution, land management of agricultural properties,
logistics and production and commercialization of lubes. For the
LTM period ended in December, 2012 the company posted net sales of
BRL 27.3 billion and adjusted EBITDA margin of 12.7%.

The company's largest assets are Raizen (50% stake) and Comgas
(60% stake). Raizen (Baa3 Stable), formed through a 50-50 JV with
Shell, is globally one of the leading players in the growing of
sugar and ethanol business, with an installed crushing capacity of
65 million tons of sugarcane, and domestically the third largest
fuel distributor, with 4,700 service stations principally under
the Shell brand. Comgas (Baa3 Stable) is the largest distributor
of natural gas in Brazil, with a concession area that covers 27%
of country's GDP. Since Comgas' acquisition was closed in
November, 2012 only two months of financials were so far
consolidated into Cosan's results. Cosan also produces and
distributes lubes and base oils under the Mobil brand; has a 75%
stake in Rumo, a leading logistics provider for the transportation
and loading of sugar and has a 37.7% stake in Radar, a land
management company with various interests in agricultural
properties. The acquisition of a 5.7% stake in ALL, a provider of
rail and trucking logistics services with six concessions in
Brazil and Argentina, is still pending.


* BRAZIL: CIESA Suit Wins Latin Lawyer Deal of the Year Award
-------------------------------------------------------------
Wilk Auslander LLP on March 21 disclosed that a litigation in
which Wilk Auslander LLP represented Compania de Inversiones de
Energia S.A. ("CIESA") in New York has won a Latin Lawyer Deal of
the Year Award.  The firm represented, in addition to CIESA,
parties such as Petrobras Energia S.A. in the litigation.  Latin
Lawyer, the leading business law resource for Latin America,
awarded "Deal of the Year" recognition to the CIESA litigation in
the Disputes category.  The litigation related to a restructuring
of "US$220 million worth of notes," as reported in a prior Latin
Lawyer article by Rachel Hall.

The Wilk Auslander LLP litigation team included partners Jay S.
Auslander and Natalie Shkolnik and associate Julie Cilia.

Latin Lawyer announced the winners at its 7th Annual Deal of the
Year Awards ceremony in Sao Paulo, Brazil on March 19, 2013.  The
charity dinner featured awards in the areas of Corporate Finance,
M&A, Restructuring, Project Finance, Disputes, Outbound
Investment, Regulatory, and Private Equity.

                     About Wilk Auslander LLP

Wilk Auslander LLP -- http://www.wilkauslander.com/-- is a law
firm with offices in New York City and Europe.  Its litigation
department represents clients in a wide array of business
disputes, including diverse matters relating to general commercial
issues, distressed debt, judgment enforcement, regulatory
enforcement, securities, real estate, and bankruptcy. The firm
also provides transactional legal services to clients in areas
such as real estate, tax, corporate, employment, and intellectual
property.


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


AA EQUITY: Shareholders Receive Wind-Up Report
----------------------------------------------
On Feb. 14, 2013, the shareholders of AA Equity Limited received
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


APACHE FINANCE: Shareholders Receive Wind-Up Report
---------------------------------------------------
On Feb. 11, 2013, the shareholders of Apache Finance Qarun
Corporation LDC received the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

         Westport Services Ltd
         c/o Avril G. Brophy
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         P.O. Box 1111 Grand Cayman KY1-1102
         Cayman Islands


APACHE FINANCE EAST: Shareholders Receive Wind-Up Report
--------------------------------------------------------
On Feb. 11, 2013, the shareholders of Apache Finance East Bahariya
Corporation LDC received the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

         Westport Services Ltd
         c/o Avril G. Brophy
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         P.O. Box 1111 Grand Cayman KY1-1102
         Cayman Islands


APACHE FINANCE EXPLORATION: Shareholders Receive Wind-Up Report
---------------------------------------------------------------
On Feb. 11, 2013, the shareholders of Apache Finance Qarun
Exploration Company LDC received the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

         Westport Services Ltd
         c/o Avril G. Brophy
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         P.O. Box 1111 Grand Cayman KY1-1102
         Cayman Islands


APACHE FINANCE KHALDA: Shareholders Receive Wind-Up Report
----------------------------------------------------------
On Feb. 11, 2013, the shareholders of Apache Finance Khalda
Corporation LDC received the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

         Westport Services Ltd
         c/o Avril G. Brophy
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         P.O. Box 1111 Grand Cayman KY1-1102
         Cayman Islands


APACHE FINANCE MATRUH: Shareholders Receive Wind-Up Report
----------------------------------------------------------
On Feb. 11, 2013, the shareholders of Apache Finance Matruh
Corporation LDC received the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

         Westport Services Ltd
         c/o Avril G. Brophy
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         P.O. Box 1111 Grand Cayman KY1-1102
         Cayman Islands


APACHE FINANCE MEDITERRANEAN: Shareholders Receive Wind-Up Report
-----------------------------------------------------------------
On Feb. 11, 2013, the shareholders of Apache Finance Mediterranean
Corporation LDC received the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

         Westport Services Ltd
         c/o Avril G. Brophy
         Telephone: (345) 949 5122
         Facsimile: (345) 949 7920
         P.O. Box 1111 Grand Cayman KY1-1102
         Cayman Islands


ECAMOS ROLLOVER: Shareholders Receive Wind-Up Report
----------------------------------------------------
On Feb. 18, 2013, the shareholders of Ecamos Rollover Trading
Company received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Fides Limited
         P.O. Box 10338 Grand Cayman KY1-1003
         Cayman Islands
         Telephone: (345) 949 7232


FAV LIMITED: Shareholders Receive Wind-Up Report
------------------------------------------------
On Jan. 15, 2013, the shareholders of Fav Limited received the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


GEN2 EXPLORERS: Shareholders Receive Wind-Up Report
---------------------------------------------------
On Jan. 30, 2013, the shareholders of Gen2 Explorers Fund Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Paul Lincoln Heffner
         2101-02, Infinitus Plaza, 21st Floor
         199 Des Voeux Road Central
         Hong Kong


INCOME PARTNERS: Shareholders Receive Wind-Up Report
----------------------------------------------------
On Feb. 18, 2013, the shareholders of Income Partners Greater
China High Yield Fund received the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

         Emil Nguy
         3311-3313 Two IFC, 8 Finance Street
         Central
         Hong Kong


LUMISTAR INVESTMENTS: Shareholders Receive Wind-Up Report
---------------------------------------------------------
On Jan. 15, 2013, the shareholders of Lumistar Investments Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


PADMASAMBHAVA HOLDINGS: Shareholders Receive Wind-Up Report
-----------------------------------------------------------
On Jan. 15, 2013, the shareholders of Padmasambhava Holdings
Limited received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


PROVINCETOWN LIMITED: Shareholders Receive Wind-Up Report
---------------------------------------------------------
On Jan. 15, 2013, the shareholders of Provincetown Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


REAL ESTATE: Shareholders Receive Wind-Up Report
------------------------------------------------
On Jan. 28, 2013, the shareholders of Real Estate Property Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Kiyohiko Ide
         Kamiyacho Central Place, 6th Floor
         4-3-13 Toranomon, Minato-ku
         Tokyo 105-0001
         Japan


RHOMBUS CAPITAL: Members Receive Wind-Up Report
-----------------------------------------------
On Feb. 14, 2013, the members of Rhombus Capital Overseas Fund,
Ltd received 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 Corporate Services Ltd.
         dms House, 2nd Floor
         P.O. Box 1344 Grand Cayman KY1-1108
         Cayman Islands


SAHARA INVESTMENTS: Shareholders Receive Wind-Up Report
-------------------------------------------------------
On Jan. 15, 2013, the shareholders of Sahara Investments Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


STANLEY HOLDINGS: Shareholders Receive Wind-Up Report
-----------------------------------------------------
On Jan. 15, 2013, the shareholders of Stanley Holdings Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


TANAMERA HOLDINGS: Sole Member Receives Wind-Up Report
------------------------------------------------------
On Feb. 25, 2013, the sole member of Tanamera Holdings Limited
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Lion International Management Limited
         Craigmuir Chambers
         P.O. Box 71 Road Town, Tortola
         British Virgin Islands


YMK INVESTMENTS: Shareholders Receive Wind-Up Report
----------------------------------------------------
On Jan. 15, 2013, the shareholders of YMK Investments Ltd.
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Buchanan Limited
         P.O. Box 1170, George Town
         Grand Cayman KY1-1102
         Cayman Islands


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


DIGICEL GROUP: Seeks to Raise US$300 Million More in Bond Offer
---------------------------------------------------------------
RJR News reports that Digicel Limited is seeking to raise another
US$300 million via a bond offer for its operations in the
Caribbean and Americas.

This is effectively an extension of the US$1 billion capital
raising completed by Digicel Limited earlier this month, according
to RJR News.  The report relates that the latest bonds have the
same maturity date of April 15, 2021, and also carry a coupon of
six per cent.

RJR News notes that Digicel Limited has told investors that it
plans to use the estimated US$297 million net proceeds for general
corporate purposes, which could include capital expenditures,
acquisitions, debt repayment or dividends to parent the Digicel
Group which is 94% owned by Dennis O'Brien.

Digicel Group, with regional headquarters in Jamaica, entered the
Panama market in 2008.

                           *     *     *

As reported in the Troubled Company Reporter on Sept. 7, 2012,
Moody's Investors Service assigned a Caa1 rating to Digicel
Group Limited's proposed US$700 million senior unsecured notes due
2020.  Net proceeds will be used to repurchase the entire tranche
of the DGL 9.125%/9.875% senior PIK toggle notes due 2015
(US$415 million outstanding) and a portion of the 8.875% senior
notes due 2015 (US$1 billion outstanding) via tender offers.


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

MXMACFW 07-3U: Moody's Reviews Ratings for Possible Downgrade
-------------------------------------------------------------
Moody's de Mexico has placed the ratings of MXMACFW 07-3U, a
Mexican residential mortgage backed securitization (RMBS)
sponsored by Proyectos Adamantine, S.A. de C.V., SOFOM, E.N.R., on
review for possible downgrade.

This rating action follows the recent placement on review for
possible downgrade of the ratings of the financial guarantor MBIA
Insurance Corporation (MBIA).

The complete rating action is as follows:

Issuer: HSBC Mexico, S.A., Institucion de Banca Multiple, Grupo
Financiero HSBC, Division Fiduciaria, acting solely as trustee.

- MXMACFW 07-3U Class A, ratings of Caa2 (sf) (Global Scale, Local
Currency) and Caa2.mx (sf) (Mexican National Scale) placed on
review for possible downgrade; previously on Nov 21, 2012 (Global
Scale, Local Currency) Downgraded to Caa2 (sf) and (Mexican
National Scale) Downgraded to Caa2.mx (sf). The certificates'
underlying ratings (reflecting the certificates' intrinsic credit
quality absent the financial guarantee that MBIA provides) are
Caa3 (sf) and Caa3.mx (sf).

Ratings Rationale:

MXMACFW 07-3U benefits from a financial guaranty insurance policy
issued by MBIA Insurance Corp. that covers timely interest payment
and ultimate principal payment by the legal final maturity date of
the certificates. On March 21, 2013, Moody's placed on review for
possible downgrade MBIA Insurance Corp.'s insurance financial
strength rating of Caa2.

The certificates' current ratings are consistent with Moody's
practice of rating insured securities at the higher of (1) the
guarantor's insurance financial strength rating and (2) the
underlying ratings, which reflect the intrinsic credit quality of
the certificates in the absence of the guarantee, and based on
Moody's modified approach to rating structured finance securities
wrapped by financial guarantors. In the case of MXMACFW 07-3U
Class A, since MBIA's financial strength ratings are higher than
the certificate' underlying ratings, the certificate's ratings are
in line with MBIA's current ratings.

The rating action did not impact the ratings of the following
Mexican RMBS certificate that also benefits from an MBIA Insurance
Corp. financial guarantee because its current ratings already
reflect its underlying ratings, which are higher than MBIA
Insurance Corp.'s ratings:

- Hipotecaria Su Casita - Cross-border, Class A Insured
Residential Mortgage Backed Floating Rate Notes, rated B3 on
review for downgrade (sf)

As part of evaluating the current ratings of MXMACFW 07-3U,
Moody's also reviewed the certificates' underlying ratings, which
are as follows:

- MXMACFW07-3U Class A: Caa3.mx (sf), Caa3 (sf)

Regarding the variability of MXMACFW07-3U Class A's ratings, any
downgrades in MBIA insurance financial strength rating of Caa2
would result in at least a one notch downgrade in the ratings of
the affected certificate.

With respect to the underlying ratings, the primary sources of
assumption uncertainty are related to the macroeconomic
environment, the timing of recovery of the Mexican economy and
labor market, and the severity of loss assumption given the
limited market data related to historical recoveries for REOs.

Moody's considered the servicer's practices and considers them
adequate.

Rating Methodology

The methodologies used in this rating was "Moody's Approach to
Rating Mexican RMBS" published in August 2012, and "Moody's
Approach to Monitoring Residential Mortgage-Backed Securitizations
in Mexico" published in August 2009.

The current ratings on the certificates are consistent with
Moody's practice of rating insured securities at the higher of (1)
the guarantor's insurance financial strength rating and (2) the
underlying ratings, based on Moody's modified approach to rating
structured finance securities wrapped by financial guarantors.

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
".mx" for Mexico.


* MEXICO: Moody's Confirms Jalisco State's B1 GS Rating
-------------------------------------------------------
Moody's de Mexico has confirmed Jalisco's issuer ratings at
Baa3.mx (Mexican National Scale) and B1 (Global Scale, local
currency) and has assigned a negative outlook.

This action concludes the review initiated on December 27, 2012,
following a default on a MXN 1.4 billion short-term loan with
Banco Interacciones.

Moody's affirmed the Ba2 (Global Scale, local currency) and A2.mx
(Mexico National Scale) debt ratings of the following four
enhanced loans:

- MXN1 billion enhanced loan from Banobras (original face value),
with a maturity of 15 years and a pledge of 1.60% of its general
fund participation revenues.

- MXN665 million enhanced loan from Interacciones (original face
value), with a maturity of 20 years and a pledge of 1.85% of its
general fund participation revenues.

- MXN650 million enhanced loan from Scotiabank (original face
value) with a maturity of 15 years and a pledge of 1.24% of its
general fund participation revenues.

- MXN409 million enhanced loan from Santander (original face
value) with a maturity of 20 years and a pledge of 0.59% of its
general fund participation revenues.

Moody's also affirmed the Ba3/Baa1.mx debt ratings of the
following four enhanced loans:

- MXN1.1 billion million enhanced loan from Banco del Bajio
(original face value), with a maturity of 15 years and a pledge of
1.50% of its general fund participation revenues.

- MXN632 million enhanced loan from Banorte (original face value),
with a maturity of 20 years and a pledge of 0.80% of its general
fund participation revenues.

- MXN389 million enhanced loan from Banobras (original face
value), with a maturity of 20 years and a pledge of 0.88% of its
general fund participation revenues.

- MXN374.7 million enhanced loan from Banorte (original face
value), with a maturity of 20 years and a pledge of 0.38% of its
general fund participation revenues.

Ratings Rationale:

Following a default on a MXN1.4 billion short-term loan with Banco
Interacciones, a review was undertaken on Jalisco's issuer rating
to a) evaluate the magnitude of losses suffered by the lender on
the defaulted short-term loan, b) monitor debt service payments on
other state debt obligations and c) assess the refinancing risks
stemming from the right of some of Jalisco's lenders to accelerate
or early amortize their loans.

The ratings confirmation reflects: a) the full repayment,
including all corresponding penalties and accrued amounts, of the
short-term loan in January 17 2013, and b) the continued full and
timely debt service payments on all other state debt obligations.

In addition to the credit implications of the recent default, and
the subsequent resolution that left the loan holder whole, the
B1/Baa3.mx ratings take into account the state's weakening
liquidity position. Net working capital to total expenditures
declined to -6.1% in 2012 from -0.1% in 2011. The ratings also
take into account a strong and diversified economy and moderate
debt levels, with net direct and indirect debt equivalent to 22.3%
of 2012 total revenues.

The negative outlook reflects the potential refinancing risks, as
well as, Jalisco's new public administration's challenges (in
office since 1st March 2013) to improve treasury management
practices. While Jalisco's lenders have not revealed their
intention to accelerate or early amortize their loans, the number
of lenders suggests that refinancing risks persist. Furthermore,
the default showed weaknesses in the government's credit culture
and treasury management. Accordingly, Moody's will assess the new
administration's actions to reduce refinancing risks and measures
to strengthen internal governance policies going forward.

The affirmation of Jalisco's eight enhanced loan debt ratings
reflect the confirmation of Jalisco's issuer ratings.

What Could Change the Ratings Up/Down?

Evidence that refinancing risks become negligible could lead us to
revise the outlook back to stable. If Jalisco does not reduce
refinancing risks and its liquidity position and treasury
practices deteriorate, the issuer ratings could face downward
pressure.

Given the links between the eight enhanced loans and the credit
quality of the obligor, an upgrade of the State of Jalisco's
issuer ratings rating would likely result in an upgrade of the
ratings on the enhanced loans. Conversely, a downgrade of
Jalisco's issuer ratings could also exert downward pressure on the
debt ratings of the loans. In addition, the ratings could face
downward pressure if debt service coverage levels fall materially
below Moody's expectations.

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
".mx" for Mexico.

The principal methodologies used in this rating were Regional and
Local Governments published on 18-Jan-2013, Enhanced Municipal and
State Loans in Mexico published on 27-Jan-2011 and Mapping Moody's
National Scale Ratings to Global Scale Ratings published on 9-Oct-
2012.


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


CARIBBEAN AIRLINES: Explores Code Sharing Deal With Air India
-------------------------------------------------------------
RJR News reports that Caribbean Airlines Limited is continuing to
explore prospects for a code sharing agreement with Air India.

This was confirmed by the airline's Chairman Rabindra Moonan who
said discussions with Air India officials are at an exploratory
stage, according to RJR News.  The report relates that the
destinations being looked at are London and New York.

A code share agreement allows two or more airlines to share the
same flight, RJR News discloses.

RJR News says that a seat can be purchased on one airline but is
actually operated by a cooperating airline under a different
flight number or code.

The report relays that while admitting that it may take time
before CAL and Air India come to an agreement, Mr. Moonan said it
should not be allowed to linger.

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., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, Frauline S.
Abangan, and Peter A. Chapman, Editors.

Copyright 2013.  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$775 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 A. Chapman at 215-945-7000 or Nina Novak at
202-241-8200.


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