TCRLA_Public/021104.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

          Monday, November 4, 2002, Vol. 3, Issue 21



BANCO SUQUIA/BISEL/BERSA: "Transparency" Main Focus of Sale
PEREZ COMPANC: Sells 5.54% Stake to Apco
REPSOL YPF: BOfD Appoints Special Commission Members

* Argentina's Lavagna To Resume Talks with IMF's Krueger


CRP: French Parent Plans Restructuring


AES CORP.: Extends Early Tender Date
AES SUL: Aneel To Appeal Recent Court Decision
BCI INC.: Announces Third Quarter 2002 Results
BEP: Base Price Set at $10.5M
KLABIN: Reports 3Q02 Financial Results

* Brazil May Miss Debt Payment Due to Currency Plunge


AES GENER: Moody's Cuts Rating On Senior Unsec. Notes

D O M I N I C A N   R E P U B L I C

TRICOM: Revises Financial Guidance for 2002
TRICOM: Reports Results For 3Q and First 9 Mos. of 2002


AHMSA: Banorte To Attend Nov. 7 Shareholders Meeting
CORPORACION DURANGO: S&P Lowers Ratings to 'B', Outlook Negative
ISPAT INTERNATIONAL: Moody's Assigns Caa1 Issuer Rating
MAXCOM TELECOMUNICACIONES: Announces 3Q02 Unaudited Results
SAVIA: Debt Talks Ongoing

UNEFON: Analysts Recommend Bankruptcy


MINERA VOLCAN: Increases Losses In The 3Q02


ANCAP: In Preliminary Partnership Talks With Seven Firms


AES CORP.: Venezuela Units Report VEB247 Billion Net Loss

     -  -  -  -  -  -  -  -


BANCO SUQUIA/BISEL/BERSA: "Transparency" Main Focus of Sale
Three former banks of France's Credit Agricole will be sold in
the public stock market as ordered by Argentina's Finance
Minister, Roberto Lavagna.

The three banks, Banco Suquia, Banco Bisel and Bersa, were left
in the control of Argentine federal bank Banco Nacion after
Credit Agricole exited the country six months ago.

Lavagna ordered the public sale to insure the greatest
transparency in the process.

However, sources from the country's central bank sources the
decision is "dangerous" because the failure of any of the stock
market sales could damage the public's confidence in the banks
and add pressure to their already tight liquidity situations,
reports Business News Americas.

Before Lavagna's order, the three banks already had prospective
buyers. Local banks San Juan, Macro-Bansud and the Roggio group
all expressed interest in Banco Suquia, while Argentine mortgage
bank Hipotecario has set its sights in Banco Bersa. A group of
local cooperatives and the Bank of Miami were eyeing Banco Bisel.

CONTACT:  Banco Suquia S.A.
          Head Office
          25 de Mayo 160
          Argentina 5000
          Tel  +54 351 420 0200
          Fax  +54 351 420 0200
          Engr. Pedro Jose Porta, Chairman
          Bernard Brousse, Vice Chairman

          Banco Bisel S.A.
          Mitre 602 Rosario
          2000 Santa Fe
          Phone: 0341-4200300
          Home Page:
          Guillermo Harteneck, President
          Jean Luc Perron, Vice President
          Bernard Brousse, Vice President

          Banco de Entre Rios S.A. (Bersa)
          Monte Caseros 128
          3100 Entre Rios
          Phone: 0343-4201200
          Fax: 0343-4213869
          Contact: Alberto Roque Ferrero, Vice-President

          Banco de la Nacion Argentina
          Bartolome Mitre, 326
          1036 Buenos Aires, Argentina
          Phone: +54-11-4347-6000
          Fax: +54-11-4347-8078
          Home Page:
          Enrique Olivera, President
          Adolfo Martin Prudencio Canitrot, Deputy VP

PEREZ COMPANC: Sells 5.54% Stake to Apco
U.S. oil company Apco has acquired an additional 5.54 percent of
Petroleros Perez Companc, raising its stake to 39.2 percent,
paying US$6.9 million for the purchase.

The sale brings Apco's ownership of the Entre Lomas concession in
southwest Argentina to 51.7 percent.

Entre Lomas has proven reservers of 2.3 million barrels oil
equivalent and probable gas reserves of up to 1.1 million barrels
oil equivalent.

Earlier, Brazilian federal oil company Petrobras acquired a
controlling stake in the Perez Companc family for US$1.03
billion. Petrobras will also be paying US$49.8 million for a 39
percent stake in Petrolera.

          Maipo 1 - Piso 22 - C1084ABA
          Buenos Aires, Argentina
          Phone: (54-11) 4344-6000
          Fax: (54-11) 4344-6315

REPSOL YPF: BOfD Appoints Special Commission Members
The Repsol YPF Board of Directors today approved the appointment
of members to the Auditing and Control Commission, the
Appointments and Remuneration Commission, and the recently
created Strategy, Investment and Competency Commission, in line
with the criteria proposed by the Chairman and CEO, Mr. Alfonso
Cortina, and approved by the Board of Directors' meeting held
last 25 September.

The commissions will be filled by these members:

- The Auditing and Control Commission will be comprised of Mr.
Ignacio Bay˘n, Mr. Antonio Brufau and Mr. Marcelino Oreja.

- The Appointments and Remuneration Commission will be formed by
Mr. Gonzalo Anes, Mr. Gregorio Villalabeitia and Mr. Antonio
Hern ndez-Gil.

- The Strategy, Investment and Competency Commission will be
comprised of Mr. Enrique de Aldama, PMI Holdings, and Mr. Juan

Alfonso Cortina, Chairman and CEO of Repsol YPF, thanked the
Board members for their "good job carried out in recent months to
provide the company with new procedures for the enhancement of
management control and shareholder protection."  He added, "We
will continue to set in place measures to adjust our company to
the new demands for transparency and austerity required by the
growing complexity of companies and the markets."

         Head Office
         Paseo de la Castellana 278
         28046 Madrid
         Tel  +34 91 348 81 00
         Fax  +34 91 348 28 21
         Telex  48162 RESOLE
         Alfonso Cortina de Alcocer, Chairman
         Jose Vilarasu Salat, Vice Chairman
         Antonio Hernandez, Vice Chairman

* Argentina's Lavagna To Resume Talks with IMF's Krueger
International Monetary Fund spokesman Francisco Baker said that
their second-highest official Anne Krueger will be meeting with
Argentine Economy Minister Roberto Lavagna.

Dow Jones reported that Krueger and Lavagna would resume the
negotiations towards a new loan to help the country fight the
ungoing crisis.

Argentina's Finance Secretary Guillermo Nielsen represented the
country in last week's talks to resolve terms the lender and the
country had not agreed to.

Before his departure from the country, Lavagna admitted that
there are still a number of issues to be resolved including the
IMF's demands to raise tax and utility rates.

The negotiations have gone on for quite some time now, as the
country seeks the first capital infusion since it defaulted on
US$97 billion in debt last December.

The pressure builds on Argentina as it shoulders a total of
US$2.4 billion in debt due this year. This month, the country has
to pay a total of US$935 million to the IMF, World Bank and
Inter-American Development Bank, according to Bloomberg.

Earlier, Krueger said the IMF was ready to grant the country aid
had it fulfilled the multilateral lender's demands.


CRP: French Parent Plans Restructuring
France-based reinsurer SCOR is preparing to restructure its
Bermudian subsidiary Commercial Risk Partners Ltd. (CRP).

The move, according to a report released by The Royal Gazette,
came after the unit lost an estimated EUR100 million (US$99.7
million) this year.

Scor said that it would be adding EUR225 million to its loss
reserves to cover workers compensation claims underwritten in the
US in 1999 and 2000.

"The additional provisions stem, in part, from the situation of
SCOR's Bermudian subsidiary CRP for the 1999 and 2000
underwriting years, the impact of which was highlighted by the
actuarial review whose results have just been made known," Scor
said in a statement.

"They concern a limited number of contracts covering Workers
Compensation in the United States."

"These contracts have been subject to an unusually high level of
accumulated claims during the year, leading to a net loss for
this subsidiary, estimated at EUR100 million for the 2002
financial year."

"CRP will shift the orientation of its activities and drastically
cut back on its underwriting activities, which will be subject to
tougher checks," Scor added.

"The management of this subsidiary will be restructured."

"For SCOR US, these additional provisions concern underwriting
years prior to 2001, and mainly Program Business, which ceased to
be underwritten at the end of 2001, but which continues to show
unusual deteriorations. "All of these factors will lead to the
restructuring and reinforcement of the risk control department
and the group internal audit department."

In a news conference, Scor chairman Jacques Blondeau admitted
"mistakes in underwriting" had been made by Commercial Risk
Partners. The news came as Scor announced that it would lose
EUR250 million in 2002, a surprise announcement which sent its
shares tumbling 29%.

The warning sparked fears that Scor could struggle to pull off a
planned EUR400-million (US$394 million) capital increase, seen as
crucial for shoring up the firm's capital base.

"This is an absolute disaster for Scor," Frank Stoffel, analyst
at WestLB Panmure in Duesseldorf, told Reuters. "Nobody expected

Scor's results were also hit by EUR70 million in claims from
European flooding and a EUR100-million write-down of its
investment in troubled Swiss insurer Swiss Life.

Scor chairman Jacques Blondeau, who previously said it was
planning a EUR400 million (US$394 million) capital increase, told
analysts in a conference call it could seek to issue up to 100
million new shares, which could raise as much as EUR700 million
at current share prices. However, the actual figure it could
raise is likely to be much less as it will be forced to offer a
deep discount to woo its disillusioned shareholders.

Analysts say this latest earnings blow could make it difficult
for the company to even raise the EUR250 million it needs to plug
the gap in its balance sheet created by the loss.

Blondeau said a new senior management position would be created
to oversee the level of risk and reserves within the group to
prevent further surprise losses.

          1, avenue du General de Gaulle
          92074 Paris-La Defence Cedex
          Paris, France
          Phone: (212) 815-2536
          Fax: (212) 571-3050


AES CORP.: Extends Early Tender Date
The AES Corporation (NYSE: AES - News) announced Thursday that it
had extended from 5:00 p.m., New York City time, on October 30,
2002 until 5:00 p.m., New York City time, on November 1, 2002 the
deadline by which holders of its outstanding $300,000,000 8.75%
Senior Notes due 2002 ("2002 Notes") and $200,000,000 7.375%
Remarketable and Redeemable Securities due 2013, which are
puttable in 2003 ("ROARs"), must tender in order to be eligible
to receive the early tender bonus payment.

Holders that tender on or prior to 5:00 p.m., New York City time,
on November 1, 2002 and do not withdraw such securities will, if
the exchange offer is consummated, be entitled to an early tender
bonus payment in the amount of $15 for each $1,000 principal
amount of 2002 Notes tendered and $5 for each $1,000 principal
amount of ROARs tendered. Consummation of the exchange offer is
subject to a number of significant conditions.

The offering of the new senior secured notes in the exchange
offer is being made only to "qualified institutional buyers" and
"persons other than a U.S. person" located outside the United
States, as such terms are defined in accordance with Rule 144A
and Regulation S of the Securities Act of 1933, as amended.

The new senior secured notes will not be registered under the
Securities Act of 1933, or any state securities laws. Therefore,
the new senior secured notes may not be offered or sold in the
United States absent an exemption from the registration
requirements of the Securities Act of 1933 and any applicable
state securities laws. This announcement is neither an offer to
sell nor a solicitation of an offer to buy the new notes.

CONTACT:  The AES Corporation, Arlington
          Kenneth R. Woodcock, 703/522-1315

AES SUL: Aneel To Appeal Recent Court Decision
Aneel will challenge a recent decision by the Brazilian court
that gave distributor AES Sul its second win in the MAE revenues
battle, Business News Americas reports, citing a spokesperson
from the country's power regulator.

During power rationing in 2001, there was a power surplus in
southern Brazil even while there were shortages across the rest
of the country, which led to power rationing.

According to the Aneel spokesperson, AES Sul and Parana state
distributor Copel bought power through MAE's southern submarket
at around BRL4/MWh, and then sold it through MAE's southeast
submarket at BRL684/MWh.

AES Sul said it earned BRL373 million from this energy trading.

In May 2002, Aneel passed resolution 288 stating retroactively
that distributors could not carry out this trading between

Both AES Sul and Copel challenged resolution 288, and both won
the first round. Aneel challenged the decisions and managed to
overturn the initial ruling, which Copel then took to a higher
court. This latest decision represents the second round victory.

The courts have not yet ruled on the appeal against the first
Copel decision.

Last week, Standard & Poor's lowered the national scale rating of
AES Sul to brCCC/Negative from brBB/Negative on expectations that
the utility will have a hard time amortizing a syndicated loan
payment due in January 2003 unless a broader agreement to
restructure debt is reached with its creditors.

AES Sul is facing about US$115 million (syndicated loan and
debentures) of debt coming due in the next 12 months, which has
to be partially rolled over as expected cash generation will be
around US$68 million in this timeframe.

The outlook on the AES Sul is negative due to the uncertainties
on how Aneel and the new administration will deal with complex
developments in the regulatory framework, and continuing credit
crunch at least for the first six months of 2003.

BCI INC.: Announces Third Quarter 2002 Results
As a result of the adoption on July 17, 2002 of the Plan of
Arrangement, and the completion of the sale of Bell Canada
International Inc.'s ("BCI") (Nasdaq:BCICF) (TSX:BI) interest in
Telecom Americas Ltd. ("Telecom Americas") on July 24, 2002,
BCI's consolidated statements of earnings and cash flows for the
third quarter of 2002 reflect only the activities of BCI as a
holding company. Axtel S.A de C.V. ("Axtel") and Canbras
Communications Corp. ("Canbras") are recorded under Investments
on the balance sheet at the lower of carrying value and estimated
net realizable value and their operating results are not
reflected on BCI's consolidated statements of earnings.

Third Quarter Results

Cash on hand during the third quarter increased by $99.6 million
reflecting the cash proceeds received to date from the sale of
BCI's interest in Telecom Americas of $300.8 million, offset by
the repayment of BCI's bank facility in the amount of $174.1
million and corporate interest and overhead expenses.

BCI's balance sheet as at September 30, 2002 includes cash of
$153.5 million. Current assets also include a note receivable, at
an estimated net realizable value of $269.6 million, representing
the remaining proceeds to be received on March 1, 2003 from the
payment of the balance due under the America Movil S.A. de C.V.
note (the "America Movil Note"). BCI's interests in Axtel and
Canbras are recorded on the balance sheet at $96.6 million. Total
liabilities include BCI's 11% senior unsecured notes due
September 2004 in the amount of $160 million and accrued
liabilities of $29.0 million.

Net earnings for the third quarter were $2.2 million, or $0.06
per share, reflecting foreign exchange gains on the America Movil
Note received as partial payment for BCI's interest in Telecom
Americas, partially offset by corporate overhead and interest
expenses and a loss from the early monetization on September 26,
2002 of US$50 million of the America Movil Note.

Cash outlays from October 1, 2002 to March 1, 2003 are estimated
at approximately $15 million to $20 million including accounts
payable, accrued liabilities, net interest and overhead costs. On
March 1, 2003, BCI expects to receive the balance of US$170
million due under the America Movil Note. For the last 10 months
of 2003, BCI estimates cash outlays (including accounts payable,
accrued liabilities, net interest and overhead costs) at
approximately $35 million. The foregoing estimates exclude any
amounts that may be required to settle contingent liabilities
such as law suits, the Vesper guarantees and the Comcel voice
over IP claim.

Update on Assets Held for Disposition

Pursuant to the court approved Plan of Arrangement, BCI is
actively seeking to dispose of its remaining assets, Canbras and
Axtel. The following is a summary of the third quarter financial
and operational results of both companies.

--  Canbras' revenues reached $14.8 million in the quarter, up
    $1.2 million over the third quarter of 2001 driven primarily
    by cable and internet access subscriber growth partially
    offset by a devaluation of 20% in the Brazilian real compared
    to the Canadian dollar. EBITDA was $3.7 million, up $3.2
    million over the same quarter last year, primarily due to a
    reduction in operating expenses driven by the devaluation in
    the Brazilian real and higher revenues. Debt at the end of
    the period was $35 million. As existing cash and cash
    generated from operations are not expected to be sufficient
    to meet current liabilities over the next 12 months, Canbras
    is pursing refinancing alternatives as well as new sources of
    financing. There can be no assurance that such refinancing
    alternatives or any new financing can be arranged on
    acceptable terms or at all.

--  Axtel's revenues were $95.8 million for the quarter, an
    increase of $1.9 million over the third quarter of 2001
    driven by higher revenue per subscriber. EBITDA reached $26.9
    million, up $16.6 million over the same quarter last year due
    primarily to reduced general and administrative expenses.
    Debt at the end of the period was $839 million. Axtel is
    Pursing refinancing alternatives as well as new sources of
    financing. For example, Axtel is currently in discussions
    with its major supplier with respect to the terms of its
    supply and financing contracts. There can be no assurance
    that such refinancing or any new financing can be arranged
    on acceptable terms or at all.

Plan of Arrangement Update

--  The court-appointed monitor Ernst & Young Inc. ("E&Y") is in
    discussions with BCI and BCI's stakeholders in order to
    formulate a recommendation to the court on the process of
    identifying and determining claims against BCI. A final
    recommendation is expected to be approved before year end

BCI is operating under a court supervised Plan of Arrangement,
pursuant to which BCI intends to monetize its assets in an
orderly fashion and resolve outstanding claims against it in an
expeditious manner with the ultimate objective of distributing
the net proceeds to its stakeholders and dissolving the company.
BCI is listed on the Toronto Stock Exchange under the symbol BI
and on the NASDAQ National Market under the symbol BCICF.

Certain statements made in this press release describing BCI's
intentions, expectations or predictions are forward-looking and
are subject to important risks and uncertainties. The results or
events predicted in these statements may differ materially from
actual results or events. For additional information with respect
to risk factors relevant to BCI, see the reports on Forms 6-K and
40-F filed by BCI with the United States Securities and Exchange
Commission, as well as the Annual Information Form filed with
Canadian securities commissions. BCI disclaims any intention or
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or

To see financial statements:

                  Howard N. Hendrick, 514/392-2260
                  Web site:

BEP: Base Price Set at $10.5M
The Brazilian central bank has set the base price for Banco do
Estado do Piaui SA (BEP), reports Business News Americas.

According to the central bank, BEP will be sold at a minimum bid
price of BRL38.8 million (US$10.5 million). The central bank also
said that it expects to sell more than BRL2 million in BEP stock
to employees.

Only Brazilian banks Banco Bradesco and Banco Itau have been pre-

The date of the sale is still not known but the transaction is
expected to take place before the end of the year. The central
bank is expected to sell off all of Brazil's state banks by the
end of this year in accordance with a deal with the International
Monetary Fund.

KLABIN: Reports 3Q02 Financial Results
Cash generation reaches R$ 613 million in 2002

EBITDA for the third quarter reached R$ 262 million, a historical
record at Klabin and 28% higher than the figure posted in the
same period last year. Accumulated cash generation in 2002
amounted to R$ 613 million.

Consolidated net revenue in 3Q02 increased 31% to R$ 772 million
(R$ 1,915 million from January to September 2002). Sales volume
grew 10% to 480 thousand tons, reflecting a satisfactory
performance in packaging paper sales. Klabin's strategy consists
in prioritizing the expansion of exports, which totaled US$ 103
million in 3Q02, with a significant growth of 24% in relation to
3Q01, while export volumes rose 19% to 197 thousand tons.

The net loss of R$ 386 million posted in 3Q02 reflects the impact
of a 37% currency depreciation on the Company's financial result.
July/September 2002


The information presented herewith in connection with the
Company's operations and financials consists of consolidated
figures stated in local currency, as per Brazilian Corporate Law,
except where otherwise indicated. This release compares the
performance of Klabin S.A. in 3Q02 to that of IKPC in 3Q01, save
specifications to the contrary.


Net Revenue and Sales Volume

Net revenue in 3Q02 grew 31% to R$ 772 million. Klabin's average
price over the quarter rose 16% to R$ 1,600/t. This increase is
due to higher export revenues (in Brazilian reais) on account of
the currency devaluation, and more favorable prices in the local
market. Sales volume advanced 10% to 480 thousand tons, packaging
paper sales having contributed predominantly to this increase.

Operating Result

Gross profit increased 35% to R$ 346 million. From January to
September 2002, it grew 15% to R$ 815 million. Gross margins
reached 45% in 3Q02 and 43% in the first nine months of the year.

Operating results before financial expenses (EBIT) posted a 30%
growth, totaling R$ 178 million in 3Q02. Operating margins
remained unchanged at 23%. From January to September 2002, EBIT
accumulated a 3% decline, closing the period at R$ 372 million as
compared to the same period last year, with operating margins
slipping from 23% to 19%.

Operating margin over the period was affected by higher selling
expenses - specially dollar-denominated export freight costs -
which jumped from R$ 43 million in 3Q01 to R$ 63 million in 3Q02,
coupled with a higher volume of exports (41% of the volume in
3Q02 versus 38% in 3Q01). Freight expenses totaled R$ 161 million
from January to
September 2002, compared to R$ 121 million in the same period
last year, an increase of 33%.

Operating margin was also affected by the amortization of
goodwill (Igaras and Klamasa). From January to September 2002,
amortization of goodwill totaled R$ 50 million, compared to R$ 19
million in the same period last year (the amortization began in
July 2001).


EBITDA rose 28% to R$ 262 million in the third quarter, and
posted an accumulated increase of 8% from January to September
2002, ending the period at R$ 613 million, a historical record at

This improvement in operating cash generation resulted from a
favorable development in revenue due to higher sales volumes and

EBITDA margins for the third quarter amounted to 34% (32% from
January to September), bouncing back to the Company's historical

Financial Result and Debt

Net financial expenses totaled R$ 561 million in 3Q02. Of this
amount, 75% or R$ 422 million refers to a 37% depreciation of the
Real against the U.S. dollar over the quarter. From January to
September 2002, net financial expenses totaled R$ 975 million,
71% or R$ 689 million of which refers to the 68% variation in
exchange rate in the period.

Gross debt rose from R$ 2,526 million in December 2001 to R$
3,215 million in September 2002. Thirty-one per cent (31%) of
this amount consists of long-term contracts with terms to
maturity extending to the year 2009. Foreign currency debts
represent 67% of the Company's total indebtedness, 63% of which
refer to trade finance.

Net debt ended 3Q02 at R$ 3,118 million, accounting for 81% of
total capitalization (versus 65% in 3Q01).

Foreign currency debt shrank 27% from US$ 758 million in December
2001 to US$ 557 million in September 2002.

In order to minimize its exposure to foreign exchange variations,
Klabin engaged in hedging operations worth US$ 194 million in
3Q02, thus leaving only 2% of its total financing uncovered.

Net Result

Net losses over the quarter totaled R$ 386 million (R$ 609
million from January to September 2002), mainly on account of a
negative result of R$ 561 million in 3Q02 (accumulating R$ 975
million over the period) brought about by 37% currency
depreciation over the quarter (68% nine months 2002).

Business Performance

Packaging Paper - Sales volume rose 34% to 161 thousand tons in
3Q02, totaling 446 thousand tons from January to September 2002,
a 14% increase compared to the same period in the previous year.

Net revenue grew 44% to R$ 210 million, benefiting from a
recovery in international kraftliner prices and depreciation of
the Real.

From January to September 2002, this business segment accounted
for 33% of Klabin's sales volume and 25% of net revenue.

The highlight in 3Q02 was the installation of a third coater in
machine 7 at Monte Alegre (PR), which enhanced the quality of
Klabin's coated cardboard products, thus allowing the Company to
start exporting carrier board (multipack) to the United States.

Corrugated Boxes - The satisfactory performance of corrugated
boxes sales in 3Q02 can be mainly attributed to a recovery in
price levels. Sales volume improved 3% to 128 thousand tons,
while net revenue grew 13% to R$ 168 million. With the end of the
tobacco season, business in the local market was mainly spurred
by corrugated boxes sales to fruit growers in the northeast. From
January to September 2002, this segment accounted for 28% and 22%
of Klabin's sales volume and net revenue, respectively.

Multiwall bags - Exports exceeded the Company's expectations for
the quarter, with a record volume of 12 million multiwall bags
shipped abroad, mainly to the United States and other Latin
American countries. Although the international market for cement
remains stable, Klabin has been able to sell increasingly larger
volumes to key producers thanks to its competitiveness in terms
of cost and quality.

Sales advanced 7% to 31 thousand tons in 3Q02, while net revenue
improved 23% to R$ 168 million. From January to September 2002,
this segment contributed with 6% to the Company's sales volume
and 8% to its net revenue.

Market pulp - International market pulp prices have leveled out
at US$ 510/t. Sales volume in 3Q02 slipped 17% to 55 thousand
tons as compared to 3Q01. This decline can be attributed to a
higher volume of intercompany transactions to the Paper and
Tissue Paper Business Units (23 thousand tons). Net revenue
totaled R$ 88 million, rising 44% against 3Q01. This business
segment accounted for 11% of Klabin's sales volume and 9% of its
net revenue from January to September 2002.

Dissolving Pulp - Sales volume in 3Q02 dropped 17% to 24 thousand
tons. Net revenue amounted to R$ 37 million, with a 20% decline
from the same period in the previous year. From January to
September 2002, the dissolving pulp business represented 6% and
5% of the Company's sales volume and net revenue, respectively.

Tissue - Klabin's operating performance in this segment remained
positive throughout 3Q02, with improvements in revenue and market
share. Local currency depreciation allowed the Company to export
jumbo rolls. In the domestic market, an increase in pulp prices
exerted pressure on tissue paper production costs, thus resulting
in price increases. In terms of technological innovation, the
highlight in 3Q02 was the double softness Neve toilet paper,
available in four versions. Sales volume reached 40 thousand
tons, generating net revenue of R$ 132 million, i.e. 12% and 22%
superior to the figures attained in 3Q01, respectively. From
January to September 2002, this business segment accounted for 8%
of the Company's sales volume and 17% of its net revenue.

Newsprint - Benefited by the increased press runs of local
newspapers, the segment's performance confirmed the forecasts
concerning its recovery. Sales volume grew 22% to 28 thousand
tons in 3Q02. Although prices remain lower compared to 2001, net
revenue rose 6% to R$ 34 million. From January to September 2002,
newsprint sales contributed with 6% and 4% to Klabin's sales
volume and net revenue, respectively.
Printing and Writing Paper - Sales volume dropped 22% to 7
thousand tons in 3Q02, while net revenue declined 13% to R$ 14
million. From January to September 2002, printing and writing
paper sales represented 1% of the Company's sales volume and 2%
of its net revenue.

Wood - Sales volume grew 62% to 683 thousand tons of eucalyptus
and pinus logs, while net revenue jumped 104% to R$ 53 million.
From January to September 2002, this segment posted accumulated
net revenue of R$ 125 million, i.e. 6% of Klabin's net revenue.

Sales by market - Export volumes improved 19% in 3Q02 and 11%
from January to September 2002, totaling 197 thousand tons and
548 thousand tons, respectively. The share of exports in sales
volume increased from 38% in the first nine months of 2001 to 40%
over the same period in 2002.

Export revenues advanced 47% to R$ 320 million in 3Q02, totaling
R$ 719 million in 2002. The share of exports in net revenue rose
from 31% to 35% over the period, in line with the Company's
strategy. Export revenues totaled US$ 103 million in 3Q02 (versus
US$ 83 million in 3Q01), US$ 40 million of which were generated
by pulp sales (US$ 36 million in 3Q01), US$ 40 million (US$ 30
million in 3Q01) by packaging paper, US$ 19 million (US$ 17
million) by other paper products (including tissue paper,
multiwall bags and corrugated boxes), and
US$ 4 million by eucalyptus and pinus log exports.

Exports should continue to expand over the next quarters, favored
by an increase in market pulp production at GuaĦba (RS) and by
the development of new markets.

Capital Expenditures

With the accomplishment of Klabin's expansion project at GuaĦba
(RS), capital expenditures were restricted to R$ 46 million in
3Q02. Disbursements over the quarter for expansion and upgrading
projects totaled R$ 18 million. Special attention was paid to
Klabin Kimberly's tissue paper recycling plant at Correia Pinto
(SC), which received investments worth R$ 11 million in 3Q02.

Altogether, R$ 28 million was invested in the preventive
maintenance of industrial units. From January to September 2002,
capital expenditures amounted to R$ 146 million, R$ 41 million of
which refer to the expansion of Klabin's market pulp production
at GuaĦba (RS), R$ 21 million to the third coater for machine 7
at Monte Alegre (PR), and
R$ 15 million to investments in the Klabin Kimberly's recycling
plant at Correia Pinto (SC). The remaining R$ 69 million was
invested in other projects and in the preventive maintenance of
industrial units.

Capital Markets

Klabin's preferred shares (KLBN4) ended 3Q02 quoted at R$ 0.85,
posting an 11% fall against a 23% decline in the Sao Paulo Stock
Exchange Index [Ibovespa]. KLBN4 integrates the theorical
portfolio of the Sao Paulo Stock Exchange [Bovespa], and it was
negotiated in every trading session held at the latter over the
past twelve months. Altogether, 3,708 transactions involving 26.3
million preferred shares were carried out in 3Q02, with an
average daily trade volume of R$ 354 thousand.

With a gross revenue of R$ 2.8 billion in 2001, Klabin is the
largest integrated producer of pulp and paper in Brazil, capable
of manufacturing up to 2 million tons of products for sale per
year. As part of its corporate strategy, the Company has decided
to focus on the following segments: packaging paper, cardboard,
corrugated boxes, multiwall bags, tissue paper, wood and pulp.
Klabin is the leader in almost all segments it operates.

The statements contained in this release regarding the Company's
business outlook, projected operating and financial results, and
growth potential are merely forecasts based on management
expectations as to the future of the Company. Being highly
dependent on market trends, industry and international market
conditions, and on Brazil's general economic performance, such
statements are subject to change.

CONTACT:  Ronald Seckelmann, Financial and IR Director
          Luiz Marciano Candalaft, IR Manager
          Tel: (55 11) 3225-4045

          Paulo Roberto Esteves
          Tel: (55 11) 3848-0887 Extension 205

* Brazil May Miss Debt Payment Due to Currency Plunge
The recent decline of the Brazilian currency may cause the
country to break its promise to reduce its debt to the
International Monetary Fund by year-end, reports Bloomberg.

The IMF, which granted Brazil a US$30 billion loan last
September, wants the country to reduce its debt from BRL885.2
million to BRL830 million.

According to Altamir Lopes, head of the Brazilian central bank's
economic research department, the country's currency needs to
strengthen beyond 3.5 to the dollar. The current exchange rate
for the Brazilian reais is currently 3.63 to the dollar.

Reports reveal that Brazil's gross public debt grew 11 percent to
1.16 trillion reais in September from August as the currency
plunged by almost 20 percent.

However, analysts believe that the IMF s unlikely to withhold
funds if Brazil misses the debt target. Analysts say that the IMF
may ask the new president Luiz Inacio Lula da Silva to reduce the
country's BRL50 billion retirement fund deficit and increase the
independence of the central bank.

The country's representatives will meet IMF officials on Nov. in
the country's capital to discuss the country's compliance with
the loan terms.

The IMF had promised to provide funds to help the country defend
the currency and avoid a default.

The country's currency had plunged on concerns that the new
president might boost spending and increase the budget deficit,
triggering a default on the country's US$300 billion of debt.

According to Bloomberg News, the currency, down 36 percent this
year, strengthened for a second day, gaining 2.2 percent to 3.63
per dollar as of 4:27 p.m. in New York.


AES GENER: Moody's Cuts Rating On Sr. Unsecured Notes
Moody's Investors Service downgraded the rating on the senior
unsecured notes of AES Gener, S.A. to Ba2 from Baa2.

Moody's attributed move to the Company's weak cash flow relative
to cash flow needs including debt service, failure to meet plans
for restructuring of its asset base, and significant reliance on
cash flows from subsidiaries located in non-investment grade

AES Gener's rating remains under review for possible downgrade.

The Company recently renegotiated two put options with ABN AMRO
and Bank of America for US$40 million and US$82 million,
respectively. The renegotiations helped reduce AES Gener's debt
burden for the second half of 2002. However, debt maturities in
2003 and 2004 continue to place considerable pressure on the
Company's operating results. Projected interest and debt
obligations for 2003 are US$140 million.

Barring the successful divestiture of some company assets, the
Company might have difficulties in meeting its debt service
obligations as soon as mid-2003, said Moody's. Company officials
have noted that negotiations are reportedly underway with several
companies. However, it is not clear if the outcome of these
discussions will produce asset sales at sufficient prices and
timing to ease liquidity pressures on the Company.

Moody's review for possible downgrade will assess Gener's
continuing ability to generate sufficient cash flow to shoulder a
consolidated debt load of US$1.5 billion, its near term liquidity
arrangements, the on-going prospects for its non-Chilean and non-
power investments and the likely consequences of the strategic
restructuring process.

Absent evidence of clear progress towards the sale of certain
assets by year-end, the Company's cash flow position and
consequently its fundamental credit quality may deteriorate
further, and additional negative rating action would be likely.
The Company's ability to improve its cash flow position and
coverage over time will depend, in large part, upon the outcome
of restructuring efforts and continued strengthening of regional
electric commodity prices.

          Mariano Sanchez Fontecilla 310 Piso 3
          Santiago de Chile
          Phone: (56-2) 6868900
          Fax: (56-2) 6868991
          Home Page:
          Robert Morgan, Chief Executive
          Laurence Golborne Riveros, Chief Financial Officer

          BANK OF AMERICA - Corporate Headquarters
          Bank of America Corporate Center
          100 North Tryon Street
          Charlotte, North Carolina 28255
          Contact: Ken Lewis, Chairman & CEO

D O M I N I C A N   R E P U B L I C

TRICOM: Revises Financial Guidance for 2002
TRICOM (NYSE: TDR), a regional integrated communications provider
in the U.S., Caribbean and Central America, today provided
revised financial guidance for the year 2002.

The company announced that it expects to generate consolidated
revenues in the range of $260 to $265 million, EBITDA in the
range of $80 to $85 million, and a net earnings per share loss of
$1.20 to $1.27. The Company reaffirmed its earlier capital
expenditure projections of $55 to $58 million for the year 2002.

Given the significant expected savings in capital expenditures,
the Company believes it is on track to generate positive free
cash flow in 2003.


TRICOM, S.A. is a regional integrated telecommunications provider
in the U.S., Caribbean and Central America. In the Dominican
Republic we offer local, long distance, cable television
entertainment, mobile telephony, as well as broadband data
transmission services. Through TRICOM USA, we own switching
facilities in New York, Miami and Puerto Rico, providing us with
end-to-end connectivity, and are one of the few Latin American
long distance carriers that have a United States licensed
subsidiary. Through TCN Dominicana, we are the largest cable
television operator in the Dominican Republic based on our number
of subscribers and homes passed. TRICOM is deploying the first
integrated digital wireless communication network based on
iDEN(R) technology across Central America.

For more information about TRICOM, please visit

Cautionary Language Concerning Forward-Looking Statements

This release contains certain "forward-looking statements" based
on management's current expectations, which may involve known and
unknown risks, uncertainties, and other factors not under
TRICOM's control, which may cause actual results, performance and
achievements of TRICOM to be materially different from the
results, performance, or expectations of TRICOM. These factors
include, but are not limited to those detailed in TRICOM's
periodic filings with the Securities and Exchange Commission.

         Miguel Guerrero, Investor Relations
         +1-809-476-4044 or +1-809-476-4012

TRICOM: Reports Results For 3Q and First 9 Mos. of 2002
Tricom (NYSE: TDR) announced Thursday financial results for its
third quarter and nine months ended September 30, 2002.

Financial and operational highlights:

-- Consolidated revenues grew 8.1 percent to $65.6 million for
the third quarter.  For the nine-month period, consolidated
revenues increased 10.9 percent to $196.4 million.

-- Consolidated EBITDA totaled $20.0 million for the third
quarter and $60.2 million for the nine-month period. Consolidated
EBITDA margin was
30.5 percent for the third quarter and 30.7 percent for the nine-
month period.

-- Net loss of $14.9 million, or 34 cents per share for the third
quarter and $39.7 million or 92 cents per share for the nine-
month period.

-- Lines in service grew 5.4 percent to approximately 179,000.

-- Mobile subscribers increased 23.6 percent to 411,000.

-- Cable subscribers totaled 71,000 at September 30, 2002.

-- Capital expenditures declined 57.1 percent to $12.9 million
for the third quarter and by 45.2 percent to $52.7 million for
the nine-month period.

-- Announces that it will explore refinancing opportunities for
$200 million in principal amount of its 11-3/8% Senior Notes due

Local service revenues increased 5.1 percent to $16.8 million in
the third quarter, and 10.1 percent to $51.0 million during nine-
month period, primarily from the continuing growth in the number
of lines in service. At September 30, the company had fewer lines
in service than in June 30, primarily as a result of company
disconnections of low-usage local service subscribers.

Third quarter international revenues grew 2.5 percent to $21.8
million for the quarter, and increased 7.1 percent to $65.2
million in the nine-month period. The growth was attributable to
strong traffic flow derived from the company's U.S. wholesale
long distance operations, offset in part by lower U.S. prepaid
card revenues resulting from increased competition and pricing

Third quarter cellular and PCS revenues decreased 8.4 percent to
$9.3 million and increased 0.3 percent to $28.3 million during
the nine-month period. The decrease in third quarter revenues
resulted from lower average minutes of usage combined with a
year-over-year decline in average revenue per user (ARPU) due
primarily to pricing pressures and a higher number of prepaid
customers. The revenue decrease was offset in part by a greater
number of postpaid net additions. The number of post-paid
subscribers at the end of the third quarter increased 6 percent
over the second quarter of this year, and grew by 29 percent

Cable television revenues totaled $5.9 million in the third
quarter, the fourth quarter following the acquisition of cable
operations. Cable revenues for the nine-month period totaled
$16.9 million. Cable revenues were primarily derived from higher
basic and premium programming services.

Data and Internet revenues grew 39.5 percent to $3.0 million
during the third quarter, representing a 11.8 percent sequential
increase. For the nine-month period, data and Internet revenues
increased 34.0 percent to $8.1 million, primarily due to the
continuing growth in the number of data and Internet subscribers.

Consolidated operating costs and expenses totaled $64.9 million
in the third quarter and $193.6 million for the nine-month
period. The year-to-date results reflect higher selling, general
and administrative expenses, as well as increased network and
non-network depreciation expenses. The increase in operating
costs and expenses also reflect higher transport, the integration
of our cable television operations and the ramp up of operations
in Panama. Operating costs for operations in Panama totaled $2.4
million in the third quarter and $6.8 million for the nine-month
period. Third quarter selling, general and administrative
expenses declined 7 percent compared to the second quarter of
this year as a result of expense reduction efforts.

Interest expense totaled $17.2 million in the third quarter and
$46.9 million for the first nine-months of the year. Total debt,
including capital leases and commercial paper, amounted to $528.9
million at September 30, 2002, comprised of $419.3 million in
long-term borrowings, and $109.6 million in short-term loans with
local and international banks. During the third quarter the
company continued to improve the term structure of its total
outstanding debt by extending the maturity of an additional
portion of its short-term debt. Year-to-date the company had
refinanced more than $118 million of short-term debt to long-term
debt. At September 30, 2002, short-term debt represented 21
percent of total indebtedness compared to 36 percent at the end
of 2001.

Capital expenditures totaled $12.9 million for the third quarter
compared to $30.3 million over the same period last year, and
declined by 39.3 percent compared to the second quarter of this
year. Capital expenditures totaled $52.7 million for the nine-
month period compared to $96.1 million during the same period a
year earlier. The company expects that 2002 capital expenditures
will not exceed the previously stated guidance of $55 to $58
million. The Company's free cash flow deficit declined 47.1
percent to $13.6 million in the third quarter compared to a
deficit of $25.7 million over the same period last year,
reflecting the company's reduced capital spending and continued
cash flow management.

To see financial statements:


AHMSA: Banorte To Attend Nov. 7 Shareholders Meeting
Othon Ruiz, the CEO and President of Banorte, said that
representatives of the Mexican financial group will attend the
November 7 shareholders meeting of iron and steel maker Altos
Hornos de Mexico SA (AHMSA), relates Business News Americas. Ruiz
said Banorte will attend as it is one of Ahmsa's creditors and it
will vote "in favor of the majority."

Ahmsa, however, is barring creditors, which hold shares pledged
as loan guarantees, from attending the assembly at the Company's
headquarters in the northern city of Monclova. According to the
Company, only registered shareholders will be allowed to attend
the meeting.

Ahmsa was predicting that creditors might seek the removal of the
current management during the assembly. Expectations are that
creditors of Ahmsa's holding company Grupo Acerero del Norte
(GAN) would attempt to exercise voting rights on Ahmsa shares
that were pledged as a guarantee for loans to GAN.

The current management at Ahmsa has come under pressure from
creditors for failing to resume payments on US$1.8 billion in
debt, despite reaching a restructuring agreement last year.

But Ahmsa explained that under a 1999 suspension of payments on
debt, a court ordered the National Banking and Securities
Commission and the Mexican Stock Exchange to freeze the shares,
disallowing them to be used for any legal or commercial action.

Other Ahmsa creditor banks include Banamex, BBVA Bancomer,
Societe Generale, Bank of America, Bital, Inverlat, West Merchant
Bank and Eximbank.

Ahmsa is the largest steel producer in Mexico with two plants in
Monclova, Coahuila state.

          Prolongacion B. Juarez s/n,
          Monclova , Coahuila 25770

          Phone: +52 86 33 81 72
          Fax: +52 86 33 65 66
          Alonso Ancira Elizondo, CEO, Vice Chairman, Pres./CEO
          Jorge Ancira Elizondo, Chief Financial Officer
          Manuel Ancira Elizondo, Chief Operating Officer

CORPORACION DURANGO: S&P Lowers Ratings to 'B'; Outlook Negative
Standard & Poor's Ratings Services said Thursday that it lowered
its corporate credit rating on Latin American paper and forest
products company, Corporaci˘n Durango S.A. de C.V. (CD) to
single-'B' from single-'B'-plus.

The outlook is negative. CD has US$853 million in debt as of

"The downgrade reflects CD's liquidity concerns and the
challenges it faces to improve its cash flow generation and to
reduce debt in the still-difficult industry and economic
conditions," stated Standard & Poor's credit analyst Beatriz

Market conditions are still uncertain and, although some industry
participants had announced containerboard and box price
increases, these increases have not been fully implemented, thus
it might still take some time for the company to recover, as it
is highly sensitive to price changes.

EBITDA generation decreased by 34% to US$91 million from US$122
million for the first nine months of the year. High leverage as a
result of past acquisitions, combined with lower EBITDA
generation, resulted in total debt to EBITDA of 6.7 times (x) and
EBITDA interest coverage of 1.2x for the 12 months ended
September 2002. The company has expressed its commitment to
reduce debt through the divestiture of certain non-core assets,
however, the timing of these transactions is still uncertain.

Standard & Poor's said that for CD to maintain the single-'B'
rating it will need to achieve a 1.5x-2.0x EBITDA interest
coverage and 10% funds from operations to debt on average over
the 12-months cycle.

The company's liquidity is a concern since CD has US$143 million
of debt maturing during the next 15 months that must be
refinanced. As of September 2002, the company had US$29 million
in cash on hand and no lines of credit available.

Further deterioration of the company's financials and the
inability to sell assets and reduce debt could lead to a
downgrade. On the other hand, if the company is able to refinance
short-term obligations or sell assets to reduce debt, and
generate positive cash flow from operations an outlook revision
might be considered.

ANALYST: Beatriz Coll, Mexico City (52) 55-5279-2016

ISPAT INTERNATIONAL: Moody's Assigns Caa1 Issuer Rating
Moody's Investors Service assigned a Caa1 Issuer rating to Ispat
International N.V.. The outlook for the rating is stable.

The rating reflects the creditworthiness of its major subsidiary
companies, including Ispat Inland (Senior Implied Caa1 / Stable
Outlook), Ispat Mexicana (Senior Implied Caa1 / Stable Outlook)
and Ispat Europe (Senior Implied B3 / Stable Outlook). Unrated
entities include Ispat Sidbec Inc. (Canada) and Caribbean Ispat
Ltd. (located in Trinidad and Tobago), which have both suffered
serious performance deterioration over the last two years due to
low steel prices, but have recently shown recovery trends due to
improved prices and volumes.

Moody's acknowledges the group's improving performance trends as
shown in the recently published third quarter results. However,
uncertainties remain regarding the sustainability of such price
increases given expected restarts of idled capacity in North
America and the recovery of European markets.

In addition, the group faces significant capital expenditures at
Ispat Inland at a time when cash flow generation is still
recovering from recent pressure.

Going forward, Moody's expects management to continue its focus
on cost cutting and cash flow management and to reinforce debt
reduction efforts after recent problems at Ispat Mexicana.

The issuer rating for Ispat International also recognizes its
structure as a pure holding company for its five regionally
diversified subsidiary companies with a decentralized funding
strategy. Debt is almost exclusively raised at operating
companies with parent guarantee support provided for several

MAXCOM TELECOMUNICACIONES: Announces 3Q02 Unaudited Results
Maxcom Telecomunicaciones, S.A. de C.V., a facilities-based
telecommunications provider (CLEC) using a "smart build" approach
to focus on small - and medium -sized businesses and residential
customers in the Mexican territory, today announced its unaudited
results for the third quarter of 2002.

Beginning this quarter, Maxcom will report results for each of
its three business units: Voice, Data and Wholesale. Data is an
incipient business for Maxcom that generates revenues on a
bandwidth basis instead of lines. Wholesale customers have
diverse characteristics different from the core business of
Maxcom and could distort core business indicators. Revenues from
these two business units will be reported separately and its
contribution to ARPUs will be excluded; Wholesale lines in
service will be reported separately. For comparison purposes,
this report includes previous periods' adjusted numbers after
these changes as well as the originally reported numbers.


The number of lines in service at the end of 3Q02 increased 94%
to 109,903 lines, from 56,786 lines at the end of 3Q01, and 21%
when compared to 91,009 lines in service at the end of 2Q02. Out
of the total outstanding lines at the end of 3Q02, 5,190 lines or
4.7% were from Wholesale customers, which compares to 6,350 lines
or 11.2% at the end of 3Q01 and 3,930 lines or 4.3% at the end of

During 3Q02 line construction was lower by 35% at 34,129 lines,
from 52,700 constructed lines in the same period of last year;
and, higher by 42% when compared to 24,035 constructed lines
during 2Q02. Inventory of constructed lines at the end of the
quarter was 71,000 lines.

During 3Q02, 23,567 new lines were installed, 7% below the 25,249
(27,459 as reported) lines installed during 3Q01, which was a
record quarter. When compared to 2Q02, the number of
installations increased 65% from 14,272 (15,288 as reported)

During 3Q02, the monthly churn rate improved 18% to 2.1%, from
2.5% (3.2% as reported) monthly average churn in 3Q01. When
compared to 2Q02, churn improved 37% from 3.3% (3.6% as reported)
in the previous quarter. Voluntary churn in 3Q02 resulted in the
disconnection of 2,327 lines, a rate of 0.8% which compares
favorably with 1.3% or 3,322 disconnected lines in 2Q02.
Involuntary churn resulted in the disconnection of another 3,606
lines, a rate of 1.3%, which also compares favorably with 4,900
(6,296 as reported) disconnected lines or 1.9% (2.1% as reported)
during 2Q02.

During 3Q02, net additions for Wholesale customers were 1,260
lines, which compare to 1,280 lines during 3Q01 and 380 net
disconnections during 2Q02.


Total customers grew 127% to 74,127 at the end of 3Q02, from
32,621 at the end of 3Q01, and 26% when compared to 58,772
customers as of the end of 2Q02.

The growth in number of customers by region was distributed as
follows: (i) in Mexico City customers increased by 144% from 3Q01
and 31% from 2Q02; and, (ii) in Puebla the increase was 114% from
3Q01 and 22% from 2Q02.

The growth in number of customers by segment was the following:
(i) business customers rose by 44% from 3Q01 and 3% from 2Q02;
and, (ii) residential customers increased by 135% from 3Q01 and
28% from 2Q02.

"In spite of our growth in both lines and new customers, our
results in the business sector were quite disappointing. The
difficult economic environment added to the more aggressive
competitive reaction to our sales and marketing efforts have
slowed our penetration in business customers", said Fulvio Del
Valle, President and Chief Executive Officer of Maxcom. Mr. Del
Valle added, "We expect that our new focus on data products,
enhanced geographical penetration, and the brand recognition that
we have been able to develop together with the new sales team
will generate additional growth within the business sector as to
maintain the customer mix at the levels originally forecasted."


Revenues for 3Q02 increased 74% to Ps$136.6 million from Ps$78.3
million reported in 3Q01.

Voice revenues for 3Q02 increased 131% to Ps$124.3 million, from
Ps$53.8 million during 3Q01, mainly driven by a 108% growth in
voice lines. Company ARPU decreased 10% from US$49 (US$60 as
reported) to US$44, as a consequence of a 16% increase in
Business ARPU driven by a 33% increase in usage from business
customers, offset by a 14% decrease in Residential ARPU driven by
lower installation charges, and a change in Business/Residential
mix of lines from 27/73 (35/65 as reported) in 3Q01 to 20/80 in

Data revenues for 3Q02 were Ps$3.0 million and contributed with
2% of total revenues; during 3Q01 Maxcom did not report data

Wholesale revenues for 3Q02 were Ps$9.2 million, a 62% reduction
from Ps$24.5 million in 3Q01, as the Company continued focusing
on targeting its core business customers.

Revenues for 3Q02 increased 9% to Ps$136.6 from Ps$125.1 million
reported in 2Q02.

Voice revenues increased 11% to Ps$124.3 million, from Ps$111.6
million during 2Q02. The net change in revenue reflected a 20%
increase in lines in service, offset by a 2% decrease in the
Company ARPU, to US$44 in 3Q02, from US$45 (US$48 as reported) in
2Q02, mainly driven by a 14% decrease in usage from business
customers, and a change in Business/Residential mix of lines from
23/77 (26/74 as reported) in 2Q02 to 20/80 in 3Q02.

Data revenues in 3Q02 increased 34% to Ps$3.0 million, from
Ps$2.2 million during 2Q02, as the Company continued building up
this incipient business unit. Data revenues for 2Q02 represented
2% of total revenues.

During 3Q02, revenues from Wholesale customers decreased 18% to
Ps$9.2 million from Ps$11.2 million in 2Q02.


Cost of Network Operation in 3Q02 was Ps$51.7 million, a 26%
increase when compared to Ps$41.0 million in 3Q01. This increase
was generated by: (i) Ps$16.1 million or 85% increase in network
operating services, due to a 94% growth in lines in service; (ii)
13% or Ps$1.5 million lower technical expenses, mainly due to
lower network maintenance expenses; and, (iii) lower installation
expenses and cost of disconnected lines in the amount of Ps$3.9
million, due to lower installation charges to customers and
therefore lower recognition of installation cost.

Cost of Network Operation increased 9% when compared to Ps$47.5
million in 2Q02. This net increase was mainly generated by: (i)
Ps$5.1 million or 17% increase in network operating services, due
to a 21% growth in lines in service; (ii) 16% or Ps$1.9 million
lower technical expenses mainly due to lower network maintenance
expenses; and, (iii) higher installation expenses and cost of
disconnected lines in the amount of Ps$0.9 million or 16%, due to
65% higher number of installations and 28% lower disconnections
during the quarter.


SG&A expenses were Ps$101.3 million in 3Q02, which compares to
Ps$105.1 million in 3Q01. The 4% decrease was mainly originated
by: (i) lower salaries, wages and benefits of Ps$10.9 million;
(ii) lower personnel related expenses of Ps$2.3 million; (iii)
lower local rights of Ps$1.1 million; and, (iv) lower marketing
expenses of Ps$1.4 million; partially offset by, (i) higher
leasing and maintenance costs of Ps$6.9 million; (ii) higher bad
debt provisioning of Ps$3.7 million; and (iii) higher advertising
expenses of Ps$1.4 million.

SG&A were even from Ps$101.0 million in 2Q02, as a result of: (i)
lower salaries, wages and benefits of Ps$6.6 million; (ii) lower
personnel related expenses of Ps$0.6 million; and, (iii) lower
maintenance expenses of Ps$0.7 million; partially offset by: (i)
higher external sales commissions of Ps$3.2 million; (ii) higher
advertising expenses of Ps$3.2 million; and, (iii) higher
consulting fees of Ps$1.5 million.


EBITDA for 3Q02 was a negative Ps$16.4 million, compared to
negative Ps$67.8 million reported in 3Q01 and negative Ps$23.4
million registered in 2Q02. EBITDA margin improved from a
negative 87% in 3Q01 and negative 19% in 2Q02, to a negative 12%
in 3Q02.

"Last quarter we had projected EBITDA breakeven to be achieved by
September, which has not been reached due to lower than expected
business customers' revenues. To partially offset the lower than
expected revenues, we implemented a plan to reduce costs and
expenses including, marketing expenses, general expenses and
management performance bonus compensation," said Eloisa Martinez,
Chief Financial Officer of Maxcom. Ms Martinez added: "Positive
EBITDA continues to be our main short-term objective. Beginning
October, we'll reinitiate the release of our monthly indicators'
report with revenues, EBITDA, lines in service and customers, to
timely inform the markets when we reach our objective."


Capital Expenditures for 3Q02 were Ps$287.3 million, a 2%
increase when compared to Ps$283.0 million in 3Q01, and a 140%
increase when compared to Ps$119.7 million in 2Q02.


Maxcom's Cash position at the end of 3Q02 was Ps$192.2 million in
Cash and Cash Equivalents, compared to Ps$413.8 million in Cash
and Cash Equivalents, and Ps$409.0 million in Restricted Cash at
the end of 3Q01. Cash and Cash Equivalents at the end of 2Q02
were Ps$505.5 million.


During the quarter, Maxcom completed an additional exchange of
Series B Senior Notes, under the same terms and conditions of the
exchange offer and consent solicitation, consummated on April 29,
2002. Holders tendered U.S.$4,000,000 in principal amount of
Series B Senior Notes. These holders received in exchange an
aggregate of U.S.$2,545,440 in principal amount of New Senior
Notes bearing 0% interest through March 1, 2006, and 10% annual
interest in the last year and an aggregate of 408,000 series N2
convertible preferred stock, with an initial liquidation
preference of $0.4927 per share and limited voting rights, in the
form of Mexican Trust Certificates known as "CPOs." As of
September 30, 2002, 95.8% of the total Series B Senior Notes were
exchanged. Series B Senior Notes in an aggregate principal amount
of U.S.$11,590,000 remained outstanding.

A conference call will be held to discuss 3Q02 unaudited results
on Wednesday, October 30, 2002 at 11:00 a.m. New York City Time /
10:00 a.m. Mexico City Time. To participate, please dial + (719)
457-2661, confirmation code 288440 ten minutes prior to the start
of the call.

Maxcom Telecomunicaciones, S.A. de C.V, headquartered in Mexico
City, Mexico, is a facilities-based telecommunications provider
using a "smart- build" approach to deliver last-mile connectivity
to small- and medium-sized businesses and residential customers
in the Mexican territory. Maxcom launched commercial operations
in May 1999 and is currently offering local, long distance and
data services in Mexico City and the City of Puebla.

To see financial statements:


    Mexico City, Mexico
    Jose-Antonio Solbes
    (5255) 5147-1125

    New York, NY
    Lucia Domville
    (212) 419-4166

SAVIA: Debt Talks Ongoing
Savia S.A. de C.V. (BMV:SAVIA) (NYSE:VAI) announced Thursday that
negotiations for the extension of its current bank debt continued
with its lender banks.

Savia's bank debt accounts for US 60 million dollars. The company
expects to finalize its negotiations before the end of the year.
With this agreement the company could extend the maturity of its
credit facility to the end of the fourth quarter 2005.

Savia ( is a company with global reach focused
on agro businesses. Its principal subsidiaries include Seminis, a
global leader in the production and marketing of fruit and
vegetable seeds, Bionova, distributor and marketer of fresh
fruits in the NAFTA market, and Desarrollo Inmobiliario Omega, a
company dedicated to the development of real estate in Northern

CONTACT: Savia S.A. de C.V., Monterrey
         Investor Relations:
         Francisco Garza, 52818-1735500

         Media Relations:
         Francisco del Cueto, 55-56623198

UNEFON: Analysts Recommend Bankruptcy
Robert Ford of Merrill Lynch is urging Grupo Salinas to leave
Unefon to go bankrupt so as not to involve TV Azteca and Elektra,
thus creating more value for those companies and avoiding
infection, relates Mexico City daily El Universal.

Several analysts believe that Unefon has become the main risk of
financial infection for the companies belonging to Ricardo
Salinas Pliego.

Merrill Lynch recommended that its clients sell Elektra stocks
and its report warned about Unefon's financial problems.

Deutsche Bank also suggested selling TV Azteca shares in exchange
for the payment of US$11 million of Unefon's debt and said there
was fear that the TV company would pay more of the telephone
company debts.

Unefon has total liabilities of around US$600 million.

CONTACT:  Unefon Sa De CV
          Head Office
          Puriferico Sur 4119 Fuentes del
          Mexico DF
          Mexico 14141
          Tel  +52 8582 50000
          Fax  +52 8582 5052
          Engr Moises M. Saba, Chairman
          Pedro L. Padilla, Vice Chairman

          TV Azteca SA de CV
          Periferico Sur 4121
          Mexico DF
          Mexico 14141
          Tel  +52 55 3099 1313
          Fax  +52 55 3099 1418
          Ricardo B. Salinas Pliego, Chairman
          Pedro Padilla, Chief Executive
          Jose Ignacio Morales, Chief Operating Officer


MINERA VOLCAN: Increases Losses In The 3Q02
Peruvian zinc miner Volcan Compania Minera SAA saw its net loss
balloon to PEN33.0 million ($1=PEN3.6050) in the third quarter of
this year from a net loss of PEN20.3 million in the same period a
year earlier, reports Dow Jones.

In a report filed with the country's securities commission,
Conasev, the Company revealed that net sales in the third quarter
of 2002 rose to PEN135.2 million compared with PEN112.8 million
in the same quarter last year. It also revealed a net loss of
PEN0.04 per common share in the third quarter compared with
PEN0.03 in the same period last year.

Volcan, Peru's largest zinc miner, has been on the lookout for a
strategic partner.

Volcan owns the Paragsha underground mine in the Cerro de Pasco
district in central Peru's Junin department and three other mines
in the nearby Yauli district. It extracts copper and lead, as
well as zinc.

          Av Gregorio Escobedo
          710 Jesus MarĦa
          Lima, Peru
          Tel: +51 1 219-4000
          Fax: +51 1 261-9716
          Mr. FMG Sayan (Francisco), Chairperson


ANCAP: In Preliminary Partnership Talks With Seven Firms
Uruguay's state oil company Ancap is now in preliminary talks
with seven companies over a potential strategic partnership.

The companies involved in the talks are Brazil's federal energy
company Petrobras and its Argentine subsidiary Perez Companc,
Venezuela's state oil company PDVSA, Anglo-Dutch conglomerate
Shell, the US' ChevronTexaco, and Spain's Repsol-YPF and Cepsa.

According to Ancap director Pedro Abdala, Ancap expects to open
the bidding round in the first quarter of 2003.

"We are opening our dataroom to each of these companies so they
can conduct a technical study and we are sitting down with them
to work out the framework for the bidding rules," Abdala said.

Chile's state oil company Enap, which is not involved in the
preliminary round of talks, has also shown its interest in
forming a partnership with Ancap, Abdala said.

"We are very enthusiastic that Enap could be interested in
bidding next year because Enap is an important oil company in the
region," Abdala said, adding that other companies could
participate in the bidding round.

Ancap must wait to see if opponents to their partnership plan can
obtain enough signatures by January to call a referendum on
whether or not to overturn the oil law that was passed in
December 2001.

"We have to wait until January 3 to see if a referendum will be
required, but we expect that in the first few months of 2003 we
will open the bidding process," Abdala said.

Ancap must find a strategic partner, as well as open the
refining, crude import and export markets immediately, according
to the terms of the oil law. The terms also legislate for the end
of Ancap's oil products importing monopoly in January 2006, as
long as Ancap has secured a partner by then. The law also states
that from March 2004, Ancap and its partner must lower domestic
prices to match international oil product prices.

But the search for a partner has also been complicated by
Uruguay's economic crisis, which could in turn set back the
opening of the market, Abdala said.

As a response to this situation, the National Party - which
Abdala represents on Ancap's board of directors - has now
suggested a number of modifications to the law, including
bringing forward the 2006 deadline for deregulating the market.

The National Party's position is that Ancap is strong enough to
compete in an open market in Uruguay regardless of whether or not
it finds a strategic partner, Abdala explained. The Company must
undertake some efficiency improvements and sell loss-making non-
core assets, such as those in cement and alcohol production, he

CONTACT:  Administracion Nacional de Combustibles, Alcohol y
                Portland (ANCAP)
          Central Administration Paysando
          s/n esq. Avenida del Libertador
          Montevideo, 11100 Uruguay
          P.O. Box 1090
          Phones: +598(2) 902 0608
                          902 3892
                          902 4192
          Fax +598(2) 902 1136 902 1642
          Telex ANCAP UY 23168
          Home Page:
          Benito E. Pi eiro, Chief Executive Officer
          Phone +598(2) 900 2945
                +598(2) 902 0608 Ext. 2253
          Fax +598(2) 908 9188


AES CORP.: Venezuela Units Report VEB247 Billion Net Loss
Venezuelan subsidiaries of AES Corp. reported a net loss of
VEB247 billion for this year's first three quarters.

For the same period of the previous year, electricity utility CA
La Electricidad de Caracas(ELDAY) and its sister company,
Corporacion EDC, which supplies about 12 percent of Caracas'
power needs, reported a profit of VEB51 billion.

According to the report, operating revenues for this year's
period for CA La Electricidad de Caracas were VEB598.76 billion,
a bit lower than VEB616.86 billion a year ago, pushing the
electricity utility's EBITDA margin down to 47.74% from 48.7%
while Corporacion EDC's ratio improved to 68.37% from 56.87%.

The companies had reduced operating costs by 22 percent, and
lowered debts by 34 percent but the measures were not enough to
prevent the gigantic loss.

The companies cited the plunging currency value as the culprit.
The Venezuelan Bolivar had depreciated by 48 percent to the
dollar this year.

The government expects the exchange rate to close at VEB1350 to
the dollar by year-end, but analysts believe it may drop to below
VEB1500 per dollar with the ongoing political struggle in the

Opponents of incumbent president Hugo Chavez had called for his
resignation or an election immediately. Analysts say that this
may cause further currency devaluation.

          Investor Relations
          Kenneth R. Woodcock, 703/522-1315



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 American is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ,
and Beard Group, Inc., Washington, DC. John D. Resnick, Edem
Psamathe P. Alfeche and Ma. Cristina Canson, Editors.

Copyright 2002.  All rights reserved.  ISSN 1529-2746.

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