AOL Files for Bankruptcy

America Online Latin America (AOLA) and its subsidiaries AOL Puerto Rico Management Services, America Online Caribbean Basin and AOL Latin America Management have filed for Chapter 11 bankruptcy in the US. AOLA will suspend payment on $160 million in convertible notes held by Time Warner, the company’s largest shareholder and main creditor. The Cisneros Group of Venezuela and São Paulo-based Banco Itaú are minority shareholders in AOLA. Operations are unlikely to be affected. AOLA has 107,000 subscribers in Brazil, its largest market.