TCRLA_Public/130724.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, July 24, 2013, Vol. 14, No. 145


                            Headlines



A R G E N T I N A

* AFTA Says IMF Involvement in US Case May Harm Fund


B R A Z I L

BANCO BONSUCESSO: Fitch Cuts Issuer Default Ratings to 'B'
BANCO DO BRASIL: Demand Bonds Seen Above EUR2 Billion
HYPERMARCAS SA: JPMorgan Recommends Buy on Sales Outlook
ROSSI RESIDENCIAL: Moody's Withdraws Ba2 Corporate Family Rating
* BRAZIL: Local Bank Exposure to Batista Weighed


C A Y M A N  I S L A N D S

ADM GLADIUS: Shareholders to Hear Wind-Up Report on Aug. 6
ALECTO FUND: Shareholders to Hear Wind-Up Report on Aug. 7
BB ALPHA: Shareholders to Hear Wind-Up Report on Aug. 23
BB TOROS: Shareholders to Hear Wind-Up Report on Aug. 23
DIAMOND PACIFIC: Sole Member Hears Wind-Up Report

GAMEONE INTERACTIVE: Shareholders' Final Meeting Set for July 31
HAITONG INTERNATIONAL: Member to Hear Wind-Up Report on Aug. 23
JRG COMPANY: Sole Member Hears Wind-Up Report
LITTLE THING: Sole Member to Hear Wind-Up Report on Aug. 27
MUTUAL FUND: Shareholders' Final Meeting Set for Aug. 19

NEW WORLD: Shareholder to Hear Wind-Up Report on Aug. 23
OCEAN EMPIRE: Member to Hear Wind-Up Report on Aug. 26
SARIX FUND: Shareholder to Hear Wind-Up Report on Aug. 23
SIMPAUG BASIC: Shareholder to Hear Wind-Up Report on Aug. 23
TRISKELE CAPITAL: Shareholder to Hear Wind-Up Report on Aug. 15


M E X I C O

GRUPO ELEKTRA: Incurs Ps.1,124 million Net Loss in 2Q 2013


P E R U

BANCO DE CREDITO: 2nd-Quarter Net Income Up 13.7% to PEN376 Mil.


P U E R T O   R I C O

PONCE DE LEON: To Present Plan for Confirmation on Sept. 18


                            - - - - -


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


* AFTA Says IMF Involvement in US Case May Harm Fund
----------------------------------------------------
American Task Force Argentina (ATFA) on July 19 disclosed that
following news of the IMF's preliminary plans to file an amicus
brief to support Argentina in its case before U.S. courts, ATFA
Chair Robert Shapiro issued the following statement:

"It has been reported that the IMF is considering filing an amicus
brief before the U.S. Supreme Court in a case involving
Argentina's refusal to honor its contract with bondholders under
NY law.  Any court filing by the IMF in this matter seems very
ill-advised.  The Court has not asked for the IMF's views -- in
fact, it has not even asked for the U.S. Government's views.  For
that reason, the U.S. Government has determined not to get
involved at this time.  In any event, this is a private lawsuit
based on a contract dispute in which the only issue facing the
Supreme Court is the interpretation of U.S. federal statutes.
There is no role for direct involvement by the IMF in this matter.

"An intervention by the IMF favoring Argentina's request would
also clearly violate the Fund's strict commitment to neutrality,
which prohibits IMF involvement in disputes between its members
and third parties.  The Fund has faithfully adhered to this
principle for decades.  Breaking this bedrock policy could only
tarnish the Fund's reputation for impartiality.

"It should also be noted that the party the IMF seeks to support
-- the Argentine Government -- has said it will not obey the U.S.
Supreme Court if it upholds the rulings of the U.S. District Court
and the U.S. Court of Appeals in favor of Argentina's bondholders.
This is an astonishing assertion, given that in its bond contract
Argentina pledged to abide by New York law, to submit itself to
the jurisdiction of U.S. courts, and to irrevocably waive its
sovereign immunity.  For the IMF now to unilaterally step into
this U.S. judicial proceeding, on behalf of a nation that has
explicitly said it will not respect an adverse finding by the
highest court of the United States -- the most important member
and largest funder of the IMF -- would set a troubling precedent
that could only harm the IMF."

             About the American Task Force Argentina

The American Task Force Argentina (ATFA) is an alliance of
organizations united for a just and fair reconciliation of the
Argentine government's 2001 debt default and subsequent
restructuring.  Its members work with lawmakers, the media, and
other interested parties to encourage the United States government
to vigorously pursue a negotiated settlement with the Argentine
government in the interests of American stakeholders.


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


BANCO BONSUCESSO: Fitch Cuts Issuer Default Ratings to 'B'
----------------------------------------------------------
Fitch Ratings has downgraded the Foreign and Local Currency Issuer
Default Ratings (IDRs) of Banco Bonsucesso S.A. (Bonsucesso) to
'B' from 'B+; the Viability Rating (VR) to 'b' from 'b+'; and the
Long-Term National Rating to 'BBB(bra)' from 'BBB+(bra)'. The
Rating Outlook is Negative.

KEY RATING DRIVERS - IDRS AND NATIONAL RATINGS

The downgrade reflects difficulties imposed by Bonsucesso's main
business line, payroll and deductible lending, with high funding
costs and lower revenue generation. It also considers the high
loan provisions for the middle market segment, as well as the
decline in the bank's profitability and asset quality metrics in
recent quarters.

The IDRs and National Ratings of Banco Bonsucesso S.A. consider
its VR, which in turn portrays the bank's experience in the
competitive segment of payroll and deductible loans. The ratings
also contemplate the bank's relatively modest size, its modest
Fitch core capital ratio in light of its limited earning
generation capacity and the fact that it is a niche bank with
large concentrations and greater susceptibility to fluctuations of
the economy.

The Outlook Negative reflects the important challenges inherent to
the bank's current restructuring process, including the need to
adjust to a new business environment, with a bank less leveraged
and projects still in the maturation stage, with results that as
yet have little relevance.

The payroll/pension deductible loan segment known locally as
'consignado' remains highly competitive given the increased
interest in the segment by the large banks. In order to compete,
Bonsucesso began in June 2013, a process of reduction its leverage
of this segment that encompasses a reduction in the contract
origination volume with a focus shifting only to the most
profitable contracts, and at the same time, increasing the volume
of asset sales without recourse. These actions should considerably
reduce its level of consignado exposure over the future reporting
periods.

On the other hand, Bonsucesso will maintain its focus on its
consignado-related credit card business, a product that has higher
levels of profitability, less competition. Also, on a lesser
scale, it will continue its focus on its Middle Market segment,
where it has a stable loan portfolio of approximately R$250
million. The bank also launched new products and services,
highlighted by a trading desk and pre-paid debit cards whose
balances can be refilled. However, as these products are still
relatively new, their proportion of their revenues is not
material.

Bonsucesso reported a loss in 1Q13, explained by the increase in
provisioning expenses, mainly related to companies. The auditor,
PricewaterhouseCoopers Auditores Independentes, took exception to
the deferral of expenses, even though this criterion follows the
guidance of the Central Bank of Brazil. Excluding the deferral,
the bank would have presented a BRL2.0 million larger loss for the
period. The accelerated revenue on assignments will support the
bank in developing its other activities in the medium term, but
long-term recurring profitability is still a challenge.

Like other small and medium-sized banks, Bonsucesso reported
deterioration in its credit quality metrics at FYE12 and 1Q13,
mainly in its middle market portfolio. Impaired loans were 9.1% at
1Q13 and 9.7% at FYE12, versus 8.6% at FYE11 and 4.2% at FYE10.
With the reduction in payroll and deductible lending, portfolio
quality is expected to be further jeopardized.

The Fitch core capital ratio remained low at around 10%
considering its limited earning generation capacity. The bank's
subordinated debt issue, considered as Tier 2 regulatory capital,
is not included in the Fitch calculation, although the agency does
recognize the benefits of this long-term funding. As a result of
the bank's deleveraging process and accelerated revenue, its
capitalization ratios are expected to improve considerably as the
need for funding diminishes under the absence of a significant
deterioration of its recurring net income.

RATING SENSITIVITIES - IDRS AND NATIONAL RATINGS

Positive Rating Action: Should Bonsucesso's restructuring plan be
successful and present improvements in its recurring profitability
and capitalization ratios, with the preservation of good liquidity
levels and adequate asset and liability management, the ratings
outlook could be revised to Stable and the bank's ratings
upgraded.

Negative Rating Action: On the other hand, further worsening in
its Fitch capital ratio to below 8%, together with continued
deterioration in its portfolio quality, liquidity pressures and
low profitability ratios could occasion new downgrades.

Controlled by the Pentagna Guimaraes family, Bonsucesso originated
in 1992 with the creation of Bonsucesso Financeira, transformed
into a multiple bank in 1997.

The rating actions are:

-- Foreign and Local Currency Long-Term IDRs downgraded to
   'B' from 'B+'; Outlook Negative;

-- Foreign and Local Currency Short-Term IDRs affirmed at 'B';

-- Viability Rating downgraded to 'b' from 'b+';

-- Support Rating affirmed at '5';

-- Support Rating Floor 'No Floor';

-- Long-Term National Rating downgraded to 'BBB(bra)' from
   'BBB+(bra)'; Outlook Negative;

-- Short-Term National Rating downgraded to 'F3(bra)' from
   'F2(bra)'.


BANCO DO BRASIL: Demand Bonds Seen Above EUR2 Billion
-----------------------------------------------------
Rogerio Jelmayer at The Wall Street Journal, citing two people
close to the transaction, reports that Banco do Brasil S.A. will
sell euro-denominated bonds at a yield of 3.875%, while demand for
the issuance has topped EUR2 billion.

The sources said that the bank plans to sell around EUR500 million
in bonds as it moves quickly to tap the international debt market
to take advantage of the improvement of capital market conditions,
as global markets have calmed after comments by U.S. Federal
Reserve Chairman Ben Bernanke, according to The Wall Street
Journal.

The Wall Street Journal notes that Brazilian borrowers have
largely been unable to borrow in recent months amid concerns that
the Federal Reserve would reverse its easy-money policies designed
to jump-start the U.S. economy.  The WSJ relates that a shift away
from monetary easing will tend to raise U.S. interest rates,
siphoning investment money away from emerging markets and back to
the U.S.

The WSJ discloses that in congressional testimony in Washington,
Mr. Bernanke said an eventual shift in Fed monetary policy away
from the current easing trend will be gradual.  Mr. Bernanke said
the Fed will give investors ample warning of the eventual policy
shift, The WSJ relays.

The WSJ says that Banco do Brasil is tapping the market for the
first time since January, when it then sold $2 billion in
perpetual bonds aimed at improving its financial position and
helping it maintain a rapid pace of credit growth.

The WSJ, citing Standard & Poor's Ratings Services, discloses that
the bank will issue the latest bonds under its global medium-term
note program, which has a limit of $5 billion, and it is planning
to use the proceeds for general banking purposes.

                           *     *     *

As of July 24, 2013, the company holds Fitch's 'bb+' Viability
Rating.


HYPERMARCAS SA: JPMorgan Recommends Buy on Sales Outlook
--------------------------------------------------------
Denyse Godoy at Bloomberg News reports that JPMorgan Chase & Co.
(JPM) recommended Hypermarcas SA's stock, citing the potential for
improved revenue.

Bloomberg News, citing a note to clients, relates that JPMorgan
expects Hypermarcas's sales to "remain resilient despite the
slowdown in the macroeconomic environment" because its products
are inexpensive and the company has improved its sales team.

"Hypermarcas will likely prove to be a defensive stock in a
challenging second half of 2013," Andrea Teixeira, Joseph Giordano
and Pedro Leduc, analysts at JPMorgan, wrote in the research
report, Bloomberg News relays.  They raised their rating to buy
from the equivalent of hold, Bloomberg News says.

Bloomberg News discloses that the JPMorgan analysts projected that
Hypermarcas's revenue will increase 9.7 percent to BRL4.3 billion
(US$1.9 billion) this year from 2012.  Bloomberg News, citing JP
Morgan's report, says that the Sao Paulo-based company's average
price for pharmaceutical items is about BRL10 and for personal-
care products, BRL8.

Bloomberg News, citing a weekly survey from the central bank
published July 15, adds that analysts covering the Brazilian
economy cut their estimates for the country's gross domestic
product growth in 2013 to 2.31 percent from 2.34 percent.

                          *     *     *

As reported in the Troubled Company Reporter on July 3, 2013,
Standard & Poor's Ratings Services affirmed its 'BB-' global scale
ratings on Hypermarcas S.A.  At the same time, S&P raised the
national scale rating to 'brA' from 'brA-'.  The outlook is
stable.


ROSSI RESIDENCIAL: Moody's Withdraws Ba2 Corporate Family Rating
----------------------------------------------------------------
Moody's America Latina has withdrawn the Corporate Family Ratings
assigned to Rossi Residencial S.A.(Rossi) of Ba2 rating on the
global scale and A1.br on the Brazilian national scale for
business reasons.

Ratings Rationale:

Moody's has withdrawn the rating for its own business reasons.

Moody's last rating action on Rossi was on September 24, 2012,
Moody's America Latina affirmed Rossi's corporate family ratings
at Ba2 on the global scale and A1.br on the Brazilian national
scale, but changed the outlook to negative from stable.
Founded in 1980 and headquartered in Sao Paulo state, Rossi
Residencial S.A. is one of Brazil's largest homebuilders with
operations in 95 cities from 20 states and the Federal District.
Rossi currently offers homebuilding products to the conventional
and low income segments as well as commercial buildings.


* BRAZIL: Local Bank Exposure to Batista Weighed
------------------------------------------------
Rogerio Jelmayer at The Wall Street Journal reports that as
Brazilian banks kick off their second-quarter reporting season
this week, there are concerns that a hoped-for recovery after a
couple of sluggish years will be marred by the possibility of
losses related to the troubled industrial group of Brazilian
tycoon Eike Batista.

Brazil's largest banks have grown rapidly over the past decade, as
lending soared amid economic stability and rising employment and
salaries, according to The Wall Street Journal.

But profits have slid since 2011 as Brazil's economy has slowed
sharply and is struggling to recover, the report relates.

The Wall Street Journal discloses that estimates for growth this
year stand at 2.3%, about half the pace that was expected at the
start.


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


ADM GLADIUS: Shareholders to Hear Wind-Up Report on Aug. 6
----------------------------------------------------------
The shareholders of ADM Gladius Fund Limited will receive on
Aug. 6, 2013, at 10:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Cathy Wong
          ADM Capital
          1008 ICBC Tower
          3 Garden Road
          Central
          Hong Kong
          Telephone: +852 2536 4567
          Facsimile: +852 2147 2813


ALECTO FUND: Shareholders to Hear Wind-Up Report on Aug. 7
----------------------------------------------------------
The shareholders of Alecto Fund Limited will receive on Aug. 7,
2013, at 2:00 p.m., 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


BB ALPHA: Shareholders to Hear Wind-Up Report on Aug. 23
--------------------------------------------------------
The shareholders of BB Alpha Health will receive on Aug. 23, 2013,
at 9:15 a.m., the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


BB TOROS: Shareholders to Hear Wind-Up Report on Aug. 23
--------------------------------------------------------
The shareholders of BB Toros Prime will receive on Aug. 23, 2013,
at 9:00 a.m., the liquidator's report on the company's wind-up
proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          c/o Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


DIAMOND PACIFIC: Sole Member Hears Wind-Up Report
-------------------------------------------------
The sole member of Diamond Pacific Holdings Limited received on
June 27, 2013, 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
          Road Town
          Tortola VG1110
          British Virgin Islands


GAMEONE INTERACTIVE: Shareholders' Final Meeting Set for July 31
----------------------------------------------------------------
The shareholders of Gameone Interactive.com Inc. will hold their
final meeting on July 31, 2013, at 11:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

Kong Chi How, Johnson is the company's liquidator.


HAITONG INTERNATIONAL: Member to Hear Wind-Up Report on Aug. 23
---------------------------------------------------------------
The member of Haitong International Fund Series SPC will receive
on Aug. 23, 2013, at 10:00 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


JRG COMPANY: Sole Member Hears Wind-Up Report
---------------------------------------------
The sole member of JRG Company Limited received on June 27, 2013,
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
          Road Town
          Tortola VG1110
          British Virgin Islands


LITTLE THING: Sole Member to Hear Wind-Up Report on Aug. 27
-----------------------------------------------------------
The sole member of Little Thing Company will receive on Aug. 27,
2013, at 10:00 a.m., 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
          Road Town, Tortola
          British Virgin Islands


MUTUAL FUND: Shareholders' Final Meeting Set for Aug. 19
--------------------------------------------------------
The shareholders of Mutual Fund Basket Master Fund (9) will hold
their final meeting on Aug. 19, 2013, at 1:00 p.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Matthew Wright
          c/o Omar Grant
          Telephone: (345) 949 7576
          Facsimile: (345) 949 8295
          P.O. Box 897 Windward 1, Regatta Office Park
          Grand Cayman KY1-1103
          Cayman Islands


NEW WORLD: Shareholder to Hear Wind-Up Report on Aug. 23
--------------------------------------------------------
The shareholder of New World Funding 2008-1, Ltd. will receive on
Aug. 23, 2013, at 8:45 a.m., the liquidator's report on the
company's wind-up proceedings and property disposal.

The company's liquidator is:

          Intertrust SPV (Cayman) Limited
          190 Elgin Avenue, George Town
          Grand Cayman KY1-9005
          Cayman Islands
          Kim Charaman/Jennifer Chailler
          Telephone: (345) 943 3100


OCEAN EMPIRE: Member to Hear Wind-Up Report on Aug. 26
------------------------------------------------------
The member of Ocean Empire Assets Limited will receive on Aug. 26,
2013, at 10:00 a.m., 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
          Road Town, Tortola
          British Virgin Islands


SARIX FUND: Shareholder to Hear Wind-Up Report on Aug. 23
---------------------------------------------------------
The shareholder of Sarix Fund Limited will receive on Aug. 23,
2013, at 10:15 a.m., the liquidator's report on the company's
wind-up proceedings and property disposal.

The company's liquidator is:

           Intertrust SPV (Cayman) Limited
           190 Elgin Avenue, George Town
           Grand Cayman, KY1-9005
           Cayman Islands
           c/o Kim Charaman/Jennifer Chailler
           Telephone: (345) 943 3100


SIMPAUG BASIC: Shareholder to Hear Wind-Up Report on Aug. 23
------------------------------------------------------------
The shareholder of Simpaug Basic Resources Overseas Partners Ltd.
will receive on Aug. 23, 2013, at 9:45 a.m., the liquidator's
report on the company's wind-up proceedings and property disposal.

The company's liquidator is:

           Intertrust SPV (Cayman) Limited
           190 Elgin Avenue, George Town
           Grand Cayman, KY1-9005
           Cayman Islands
           c/o Kim Charaman/Jennifer Chailler
           Telephone: (345) 943 3100


TRISKELE CAPITAL: Shareholder to Hear Wind-Up Report on Aug. 15
---------------------------------------------------------------
The shareholder of Triskele Capital International Limited will
receive on Aug. 15, 2013, at 4:00 p.m., 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 Ronan Guilfoyle
          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


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


GRUPO ELEKTRA: Incurs Ps.1,124 million Net Loss in 2Q 2013
----------------------------------------------------------
Grupo Elektra, S.A.B. de C.V. reported its financial results for
the second quarter, and first half of 2013.

Consolidated revenue was Ps.17,355 million, up 2% from Ps.17,046
million for the last year.  Costs and operating expenses were
Ps.15,451 million, from Ps.14,233 million in the same period of
2012.

Grupo Elektra reported EBITDA of Ps.1,905 million, compared to
Ps.2,813 million for the previous year; EBITDA margin was 11% this
quarter.  The company reported a net loss of Ps.1,124 million,
from a loss of Ps.19,188 million a year ago.

A full text copy of the company's financial result is available
free at:

                        http://is.gd/vlR5oE

Grupo Elektra, based in Mexico City, is a holding company of
several retail and financial services companies in several Latin
American markets, however Mexico represents the bulk of its
operations with around 75% of revenues. The company is controlled
by the Salinas Pliego family and has a 28% floating stake trading
in the Mexican Stock Exchange and in Spain's Latibex.  As of March
31, 2013 Grupo Elektra's consolidated revenues were MXN 72 billion
(around $ 5.5 billion) with a 19.7% EBITDA margin as adjusted by
Moody's.

                           *     *     *

As reported in the Troubled Company Reporter - Latin America on
July 17, 2013, Fitch Ratings affirmed the ratings of Grupo
Elektra, S.A.B. de C.V. (Elektra)'s Foreign and Local Currency
Issuer Default Rating (IDR) at 'BB-'.


=======
P E R U
=======


BANCO DE CREDITO: 2nd-Quarter Net Income Up 13.7% to PEN376 Mil.
----------------------------------------------------------------
Ryan Dube at The Wall Street Journal reports that Banco de Credito
del Peru said its net income in the second quarter rose 13.7% from
a year ago to PEN376 million (US$135.2 million).

The bank noted there were increases in net interest income and
commissions, according to The WSJ.

The WSJ notes that Banco de Credito said net interest income rose
to PEN895.2 million from PEN804.8 million.

Financial holding company Credicorp Ltd. owns nearly all of Banco
de Credito del Peru, as well as insurance and financial services
companies in Peru.  Banco de Credito's earnings normally make up a
large percentage of Credicorp's earnings.

The WSJ discloses that Credicorp will release its second-quarter
results on August 8.

                           *     *     *

As reported in the Troubled Company Reporter - Latin America on
July 8, 2013, Standard & Poor's Ratings Services affirmed its
'BBB' long-term and 'A-2' short-term issuer credit ratings on
Banco de Credito del Peru.  At the same time S&P affirmed its
issue-level 'BB+' rating on its $250 million junior subordinated
notes maturing in 2069.   The outlook is positive.


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


PONCE DE LEON: To Present Plan for Confirmation on Sept. 18
-----------------------------------------------------------
The hearing to consider the confirmation of Ponce De Leon 1043,
Inc.'s Amended Plan of Reorganization is slated for Sept. 18,
2013, at 9:30 a.m.  The July 3 hearing to consider confirmation
was cancelled.

The Debtor filed a Chapter 11 Plan of Reorganization on April 13,
2012.  It won approval of the explanatory Disclosure Statement on
June 25, 2012.  The Debtor amended the Plan on Jan. 25, 2013.

Secured creditor PRLP 2011 Holdings LLC, which has objected to the
confirmation of the Plan, submitted a proof of claim against the
Debtor for $14,496,907.  According to the Debtor, the outstanding
obligation to PRLP has been reduced to approximately $10.1
million.  The Debtor will treat this obligation to PRLP under two
Scenarios.

Under Scenario A, the preferred scenario by the Debtor, the Debtor
will retain the property and PRLP will retain the liens securing
its claims.  On account of such claim PRLP will receive deferred
cash payments totaling the full amount of its claim, of a value as
of the effective date of the Plan estimated in $10.1 million
approx. within 36 months.  The treatment will continue the sale of
the unsold units for a term of 36 months with a mutually
satisfactory budget for the use of the cash collateral and a
strong and well-planned marketing strategy and lease program to be
agreed upon with the secured creditor, before the confirmation
hearing.

Under Scenario B, the Debtor will surrender to PRLP property of
the estate equal in value or equivalent to the value of PRLP's
secured claim as of the confirmation date.  This property will be
the remaining residential units at Metro Plaza Towers Condominium
project, the commercial spaces and parking spaces.

General unsecured creditors listed in the Debtor's Schedules are
owed a total amount of $3,386,263, including the amount owed to QB
Construction Inc.  After review of the proofs of claims filed to
date, those listed by the Debtor, and the agreements with several
creditors, excluding QB Construction Inc., who has accepted to be
classified separately in a junior class, the liability to
unsecured creditors under this class, including disputed,
contingent and unliquidated claims is estimated in the amount of
$41,065.  The Debtor will pay 100% of the allowed claims in this
class with interest at prime rate (3.25%) under the terms of the
Plan.  In the event the Debtor pays PRLP under the terms of
Scenario A, the Debtor will be making monthly installment payments
to this Class of creditors for months 37 - 72 of the Debtor's Plan
of Reorganization.  In the event the Debtor pays PRLP under the
terms provided by Scenario B its shareholders will make a capital
contribution to pay general unsecured creditors in full with
interest within one year from the effective date of the Plan.

Equity security and interest holders will not receive any dividend
or other payment under the Debtor's Plan.  All current equity
holders of the Debtor, however, will retain their equity
interests.

The Debtor will generate revenue by selling all of the remaining
residential units and selling or leasing commercial spaces in the
Metro Plaza Towers Projected including the public parking spaces.
Additionally, the Debtor says it is in the process of trying to
obtain tax credits which, if obtained, would provide additional
revenue for the Debtor and enable it to accelerate payments to
creditors.

A copy of the Amended Plan is available at:

        http://bankrupt.com/misc/poncedeleon1403.doc177.pdf

                        About Ponce De Leon

San Juan, P.R.-based Ponce De Leon 1403, Inc., developed,
constructed, and operates the Metro Plaza Tower condominium and
commercial property project in Santurce, Puerto Rico.  The Metro
Plaza Tower project consists of two 15-story towers atop a base
structure that serves as a parking garage, common area, and retail
space.  Each tower houses 87 residential units.  The base
structure provides approximately 567 parking spaces and has
approximately 14,000 square feet of commercial space available for
lease.  The common areas of the project include a swimming pool, a
gym, gardens and a gazebo.

Ponce De Leon 1403 Inc. filed for Chapter 11 protection (Bank. D.
P.R. Case No. 11-07920) on Sept. 19, 2011.  The Debtor estimated
both assets and debts of between US$10 million and US$50 million.

Carmen Conde Torres, Esq., and Luisa S. Valle Castro, at C. Conde
& Assoc., in Old San Juan, Puerto Rico, represent the Debtor as
counsel.


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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


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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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