TCRLA_Public/130328.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

           Thursday, March 28, 2013, Vol. 14, No. 62


                            Headlines



B A H A M A S

SANDALS RESORTS: Reaches Agreement With Bahamian Government


B R A Z I L

BANCO DAYCOVAL: Fitch Upgrades Issuer Default Ratings From 'BB+'
GRUPO REDE: Bondholders Unlikely to Derail Takeover Plan


C A Y M A N  I S L A N D S

AFFINIA HOLDINGS: Members Receive Wind-Up Report
F. LEE HOLDINGS: Members Receive Wind-Up Report
FACILITAS LTD: Sole Shareholder Receives Wind-Up Report
GOLDEN ARCHES: Members Receive Wind-Up Report
I-FUTURE LIMITED: Members Receive Wind-Up Report

MV MV LIMITED: Members Receive Wind-Up Report
PACIFIC PHARMA: Members Receive Wind-Up Report
PEACEFUL HOPE: Members Receive Wind-Up Report
RAB EXTERNAL: Shareholders Receive Wind-Up Report
SEVENWOOD LIMITED: Members Receive Wind-Up Report

SILVER SWANS: Members Receive Wind-Up Report
SOVEREIGN 8: Members Receive Wind-Up Report
SOVEREIGN 18: Members Receive Wind-Up Report
STORM LAKE: Members Receive Wind-Up Report
SUPERVIEW HOLDINGS: Members Receive Wind-Up Report

THADDEUS CAPITAL: Shareholders Receive Wind-Up Report
TRYALL INVESTMENTS: Shareholders Receive Wind-Up Report


P U E R T O   R I C O

COSTA BONITA: Plan Exclusivity Extended by 90 Days


X X X X X X X X

* Upcoming Meetings, Conferences and Seminars




                            - - - - -


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B A H A M A S
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SANDALS RESORTS: Reaches Agreement With Bahamian Government
-----------------------------------------------------------
RJR News reports that the Butch Stewart-led Sandals Resorts
International chain has reached an agreement with the Bahamian
government that will help alleviate the cost of running its resort
on the island of Great Exuma.

RJR News, citing The Travel Weekly, notes that Sandal Resorts
Chief Executive Officer Adam Stewart said details of the agreement
will be released over the next two weeks.

Gordon 'Butch' Stewart, the founder of Sandals, last year said the
Sandals Emerald Bay on Great Exuma was in a dire situation because
of high operating costs and insufficient airlift, according to RJR
News.  RJR News relates that the hotel chain said its effort
involved looking to the Bahamas government for solutions.

According to Adam Stewart, the people of Great Exuma believe that
Sandals is the catalyst to put the island on the map and have
worked with the company to help keep the resort open, RJR News
adds.


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B R A Z I L
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BANCO DAYCOVAL: Fitch Upgrades Issuer Default Ratings From 'BB+'
----------------------------------------------------------------
Fitch Ratings has taken the following rating actions on Banco
Daycoval S.A.:

-- Long-term foreign and local currency Issuer Default Ratings
   (IDRs) upgraded to 'BBB-' from 'BB+'; Outlook Stable;

-- Short-term foreign and local currency IDRs upgraded to 'F3'
   from 'B';
-- Viability rating upgraded to 'bbb-' from 'bb+';

-- Support rating affirmed at '5';

-- Support rating floor affirmed at 'No Floor';

-- Long-term national rating upgraded to 'AA(bra)' from 'AA-
   (bra)'; Outlook Stable;

-- Short-term national rating affirmed at 'F1+(bra)';

-- Senior unsecured USD notes due March 2015, foreign currency
   rating upgraded to 'BBB-' from 'BB+';

-- Senior unsecured USD notes due January 2016, foreign currency
   rating upgraded to 'BBB-' from 'BB+'.

KEY RATING DRIVERS

Daycoval's rating upgrades reflect the bank's consistent track
record of performance, maintained in different cycles of local
economy, higher business diversification and comfortable liquidity
and capitalization positions. The bank has recorded consistent
profitability, even during stress scenarios, sustained by an
adequate asset pricing, strong cost control and low funding cost.
It is also worth its prudent liquidity management and adequate
assets and liabilities management that help to mitigate the burden
of a less diversified funding base compared to larger peers.

Daycoval has been successful in expanding its operations and
increasing profitability since mid-2009. In view of the high
delinquency in credits to small and medium-sized companies in
2012, the bank addressed its growth to consumer credit, mainly to
the lower risk payroll discount loans. The expansion into this
segment helps to better dilute debtor concentrations and also its
income sources.

Profitability remains good and better than other midsize banks --
despite lower leverage -- due to better efficiency and good
pricing of credit risk, which should continue to have an influence
on its results, despite higher credit provisions can reduce
profitability over the short and medium-term. In Fitch view the
recent spike in credit costs may persist in the short term while
the recently expanded portfolio matures and also given the less
vigorous economic activity in Brazil seen since 2012. Daycoval has
been successful to preserve its profitability ratios based on
effective cost controls and improved margins benefited by lower
funding costs in the recent past years Fitch expects that despite
such increase on credit costs, that the bank will be able to post
good profitability ratios in time with its historic average.

The higher market delinquency in 2012 resulted in a significant
deterioration of the bank's credit quality, which showed impaired
loan ratio at 7.1% of the total in 2012, against the 3.3% recorded
in 2011; while its 90 days past due loan ratio increased to 2%
(0.7% in 2011). The deterioration was more intense than in other
mid-size banks, despite being offset by higher margins and
restrained by a portfolio reduction in lower-size companies. Given
the good quality of the collateral and the effective workout of
troubled loans; credit losses should be limited while its ample
capital base and good profitability levels bodes well to help
create additional loan loss provisions if required.

Daycoval has been also relatively successful in increasing and
lengthening its funding base, as well as in reducing its cost,
with special emphasis on the strong increase of 'letras
financeiras' (Financial Bills) in 2012. Nevertheless, its funding
remains concentrated per client and with wholesale
characteristics. However, the bank's conservative administration
of assets and liabilities and its strong cash position fairly
mitigate the liquidity risk. As such, the ample liquidity cushion
managed by the bank and the relative shorter term of their loans
bodes well to match expected short term maturities on their
funding.

Capitalization ratio (basically Tier 1) and Fitch core capital
remain solid, due to the good profitability, in as well as the
portfolio stability in 2012. As of December of 2012 the Fitch Core
Capital ratio stood at an ample 17.2% roughly in line with the
average of the last two years and above the average of banks with
VR on the 'bbb' range. That current capital ratios may be
underpinned not only with the internal capital generation of the
bank, but also, thanks to the recent and expected conversion into
capital of some previously issued convertible deposits
certificates.

RATING SENSITIVITIES

Given its current business model, with asset and liability
concentrations inherent to its size, including the wholesale
funding, further upgrades to Daycoval ratings are limited. Such
positive changes will be contingent on significant reduction of
the concentration in its funding and a successful diversification
into recent market as loans to individual in a sustained manner.

The ratings could be negatively impacted by a continued asset
quality deterioration which result in pressures on the bank's
results (ROA below 2%) and on capital (Fitch core capital lower
than 11%), which may be triggered by larger than expected asset
quality deterioration and/or aggressive asset growth or cash
dividend policy.

Originated in 1968, Daycoval is controlled by the Dayan family and
has been listed on the Sao Paulo's exchange (BM&FBovespa) since
2007.


GRUPO REDE: Bondholders Unlikely to Derail Takeover Plan
--------------------------------------------------------
Anna Flavia Rochas at Reuters reports that opposition from foreign
bondholders is unlikely to stop the takeover of Brazilian power
holding company Grupo Rede Energia SA by two rivals, several
sources with direct knowledge of the situation said.

The process should be concluded ahead of a court-mandated deadline
in July, and the buyout plan by Equatorial Energia SA and CPFL
Energia SA may help limit losses for bondholders, the sources
said, according to Reuters.

However, the report relates that bondholders are fighting a
proposal that would restructure Grupo Rede's debt and cut the
value of their holdings by 85%.

The report says that cash-strapped Grupo Rede, which has BRL4.4
billion (US$2.2 billion) in debts, has been struggling since
energy regulator Aneel seized eight of its units in August in an
effort to prevent it from halting electricity service in six
states.  The units, power distributors in different parts of
Brazil, are all suffering from serious financial and operational
problems, the report relates.

Reuters says that equatorial and CPFL are in the process of
acquiring Grupo Rede for the symbolic price of BRL1 (US$0.49) plus
assumed debt.  The report relates that they have the exclusive
right to conduct takeover talks with the government and Grupo
Rede's creditors.  This exclusivity has prevented rivals Energisa
SA and Copel, as Cia Paranaense de Energia SA is known, from
presenting formal bids, though they have made a preliminary
proposal, the report notes.

The sources expect the sale to be concluded by June.

Reuters notes that Grupo Rede has long been considered a takeover
target as the Brazilian government and private companies boost
their market share in power distribution, a segment in which
bigger scale offsets the outlook for lower revenue in coming
years.

A report released by financial consultancy firm Apsis said Grupo
Rede's seized units need investments of about BRL3 billion (US$1.5
billion) through 2017 to escape bankruptcy, Reuters notes.

Reuters discloses that the recovery plan presented by Equatorial
and CPFL estimates capital expenditures of at least BRL1.8 billion
in the first years.

With court backing, Reuters says that Equatorial and CPFL proposed
a so-called haircut of 85% to holders of about US$500 million of
dollar-denominated debt in a restructuring plan announced.

Given the steep haircut and chances that state development bank
BNDES will be fully repaid, bondholders are expected to push back,
said a source currently working for them, Reuters discloses.

One key concern, said the source, is that the government could
press local debtholders to approve Grupo Rede's restructuring
proposal in order to dilute any opposition by foreign bondholders,
Reuters relates.  However, Reuters relays that there seems to be
little cohesion among the latter, who might not object to Grupo
Rede ending up in the hands of two strong local players.

Last year's decision to seize Grupo Rede came after the group's
chairman and largest shareholder, Jorge Queiroz Jr., failed to
sell part or all of his 54% stake, Reuters recalls.  Mr. Queiroz's
stake was once valued at US$600 million by some analysts.

A source with direct knowledge of the preliminary Energisa-Copel
proposal said the companies had been given only partial access to
Grupo Rede documents and plan to propose a smaller discount to
bondholders, Reuters notes.

To overcome potential divergences and opposition from other Grupo
Rede creditors such as Caixa Economica Federal's FI-FGTS workers'
severance fund, Equatorial and CPFL are trying to convince the
fund to convert BRL712 million of debt into shares of Grupo Rede,
sources involved in the talks said, Reuters notes.

Talks between the potential buyers and BNDES are also taking
place, the second source said, Reuters adds.


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


AFFINIA HOLDINGS: Members Receive Wind-Up Report
------------------------------------------------
On Jan. 15, 2013, the members of Affinia 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


F. LEE HOLDINGS: Members Receive Wind-Up Report
-----------------------------------------------
On Jan. 15, 2013, the members of F. Lee 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


FACILITAS LTD: Sole Shareholder Receives Wind-Up Report
-------------------------------------------------------
On Feb. 25, 2013, the sole shareholder of Facilitas Ltd. received
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

         Anita Rampersad
         Telephone: (345) 949 2001
         Facsimile: (345) 949 7097
         Scotiabank & Trust (Cayman) Ltd.
         #6 Cardinall Avenue
         Scotiabank Building, 3rd Floor
         PO Box 501 Grand Cayman KY1-1106
         Cayman Islands


GOLDEN ARCHES: Members Receive Wind-Up Report
---------------------------------------------
On Jan. 15, 2013, the members of Golden Arches 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


I-FUTURE LIMITED: Members Receive Wind-Up Report
------------------------------------------------
On Jan. 15, 2013, the members of I-Future 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


MV MV LIMITED: Members Receive Wind-Up Report
---------------------------------------------
On Jan. 15, 2013, the members of MV MV 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


PACIFIC PHARMA: Members Receive Wind-Up Report
----------------------------------------------
On Jan. 15, 2013, the members of Pacific Pharma 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


PEACEFUL HOPE: Members Receive Wind-Up Report
---------------------------------------------
On Jan. 15, 2013, the members of Peaceful Hope 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


RAB EXTERNAL: Shareholders Receive Wind-Up Report
-------------------------------------------------
On Feb. 5, 2013, the shareholders of Rab External Managers Fund
Limited received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Avalon Management Limited
         Landmark Square, 1st Floor
         64 Earth Close, West Bay Beach
         P.O. Box 715 Grand Cayman KY1-1107
         Cayman Islands
         Facsimile: +1 (345) 769 9351


SEVENWOOD LIMITED: Members Receive Wind-Up Report
-------------------------------------------------
On Jan. 15, 2013, the members of Sevenwood 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


SILVER SWANS: Members Receive Wind-Up Report
--------------------------------------------
On Jan. 23, 2013, the members of Silver Swans 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


SOVEREIGN 8: Members Receive Wind-Up Report
-------------------------------------------
On Jan. 14, 2013, the members of Sovereign 8 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


SOVEREIGN 18: Members Receive Wind-Up Report
--------------------------------------------
On Jan. 15, 2013, the members of Sovereign 18 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


STORM LAKE: Members Receive Wind-Up Report
------------------------------------------
On Jan. 15, 2013, the members of Storm Lake 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


SUPERVIEW HOLDINGS: Members Receive Wind-Up Report
--------------------------------------------------
On Jan. 15, 2013, the members of Superview 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


THADDEUS CAPITAL: Shareholders Receive Wind-Up Report
-----------------------------------------------------
On Jan. 31, 2013, the shareholders of Thaddeus Capital Ltd.
received the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

         Green Staff Ventures Ltd
         P.O. Box 957, Offshore Incorporations Centre
         Road Town, Tortola
         British Virgin Islands


TRYALL INVESTMENTS: Shareholders Receive Wind-Up Report
-------------------------------------------------------
On Jan. 18, 2013, the shareholders of Tryall Investments received
the liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

         MBT Trustees Ltd.
         Telephone: 945 8859
         Facsimile: 949 9793/4
         P.O. Box 30622 Grand Cayman KY1-1203
         Cayman Islands


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


COSTA BONITA: Plan Exclusivity Extended by 90 Days
--------------------------------------------------
Costa Bonita Beach Resort, Inc., on March 4, 2013, sought and
obtained an order extending for 90 days its deadline to file an
amended plan and disclosure statement.

Costa Bonita Beach Resort, Inc., owns 50 apartments at the Costa
Bonita Beach Resort in Culebra, Puerto Rico.  It filed a
bankruptcy petition under Chapter 11 of the Bankruptcy Code for
the first time (Bankr. D.P.R. Case No. 09-00699) on Feb. 3, 2009.
During this case, the Court entered an Opinion and Order finding
that the Debtor satisfied all three (3) prongs of the Single Asset
Real Estate, and, as such is a SARE case subject to 11 U.S.C. Sec.
362(d)(3). The Court also entered an Order modifying the automatic
stay to allow creditor DEV, S.E., to continue in state court
proceedings for the removal of the illegal easement and the
restoration of DEV, S.E.'s land to its original condition by the
Debtor.  The first bankruptcy petition was dismissed on May 10,
2011 on the grounds that the Debtor failed to comply with an April
21, 2011 Order and the Debtor's failure to maintain adequate
insurance.  The case was subsequently closed on Oct. 11, 2011.

Costa Bonita Beach Resort filed a second bankruptcy petition
(Bankr. D. P.R. Case No. 12-00778) on Feb. 2, 2012, in Old San
Juan, Puerto Rico.  In the 2012 petition, the Debtor said assets
are worth $15.1 million with debt totaling $14.2 million,
including secured debt of $7.8 million.  The apartments are valued
at $9.6 million while a restaurant and some commercial spaces at
the resort are valued at $3.67 million.  The apartments serve as
collateral for the $7.8 million while the commercial property is
unencumbered.

Bankruptcy Judge Enrique S. Lamoutte presides over the 2012 case.
Charles Alfred Cuprill, Esq., serves as counsel in the 2012 case.
The petition was signed by Carlos Escribano Miro, president.


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X X X X X X X X
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* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
Apr. 10-12, 2013
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Spring Conference
         JW Marriott Chicago, Chicago, Ill.
            Contact: http://www.turnaround.org/

Apr. 18-21, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Annual Spring Meeting
         Gaylord National Resort & Convention Center,
         National Harbor, Md.
            Contact:   1-703-739-0800; http://www.abiworld.org/

June 13-16, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Central States Bankruptcy Workshop
         Grand Traverse Resort, Traverse City, Mich.
            Contact:   1-703-739-0800; http://www.abiworld.org/

July 11-13, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Northeast Bankruptcy Conference
         Hyatt Regency Newport, Newport, R.I.
            Contact:   1-703-739-0800; http://www.abiworld.org/

July 18-21, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Southeast Bankruptcy Workshop
         The Ritz-Carlton Amelia Island, Amelia Island, Fla.
            Contact:   1-703-739-0800; http://www.abiworld.org/

Aug. 8-10, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Mid-Atlantic Bankruptcy Workshop
         Hotel Hershey, Hershey, Pa.
            Contact:   1-703-739-0800; http://www.abiworld.org/

Aug. 22-24, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Southwest Bankruptcy Conference
         Hyatt Regency Lake Tahoe, Incline Village, Nev.
            Contact:   1-703-739-0800; http://www.abiworld.org/

Oct. 3-5, 2013
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Wardman Park, Washington, D.C.
            Contact: http://www.turnaround.org/

Nov. 1, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      NCBJ/ABI Educational Program
         Atlanta Marriott Marquis, Atlanta, Ga.
            Contact:   1-703-739-0800; http://www.abiworld.org/

Dec. 2, 2013
   BEARD GROUP, INC.
      19th Annual Distressed Investing Conference
          The Helmsley Park Lane Hotel, New York, N.Y.
          Contact:   240-629-3300 or http://bankrupt.com/

Dec. 5-7, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Terranea Resort, Rancho Palos Verdes, Calif.
            Contact:   1-703-739-0800; http://www.abiworld.org/

The Meetings, Conferences and Seminars column appears in the
Troubled Company Reporter each Wednesday.  Submissions via
e-mail to conferences@bankrupt.com are encouraged.


                            ***********


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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