TCRLA_Public/021111.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 11, 2002, Vol. 3, Issue 223


A N T I G U A   &   B A R B U D A

LIAT: Caribbean Star Owner Warns Leaders Against Fixing Fares


ARGENTINE COMPANIES: Research Shows High Number of Debt Defaults
AT&T LATIN AMERICA: Shares to Trade on NASDAQ Small Cap Market
TERRA LYCOS: Improves EBITDA by 46% Over the 3Q of Last Year

* Argentina Submits Another Draft To IMF, But Differences Remain


GLOBAL CROSSING: Releases Latest Financial Results
TYCO INTERNATIONAL: Regulator Calls Plan A Breach of Settlement


BANCO SUDAMERIS: Italian Parent Seeks Potential Bidders
BCP SA/ BSE SA: Parent Considers Sale
BRASIL TELECOM: Announces 3Q02 Consolidated Results
CERJ: Endesa To Invest $100M In 2003 To Capitalize Debt
GLOBOPAR: Should Benefit From Yet-To-Be-Signed Bill

LIGHT: Regulator Approves 17.1% Power Hike
VESPER: Parent Announces 4Q02 Results


EDELNOR: S&P Upgrades Ratings to 'CC', CreditWatch Positive
ENERSIS: Plans $525M Share Offering


AHMSA: Carries Out Nov. 7 Shareholders Assembly
HYLSAMEX: Galvak Earns 2002 National Quality Award
IUSACELL: Fitch Downgrades Ratings to 'C', Rating Watch Negative
UNEFON: Shares Soar Without Explanation


NICARAGUAN BANKS: Three Firms Compete For Sale's Management

T R I N I D A D   &   T O B A G O

BWIA: Finance Minister Insists On Government's Loyalty
BWIA: Presents Plan to Prime Minister

     -  -  -  -  -  -  -  -

A N T I G U A   &   B A R B U D A

LIAT: Caribbean Star Owner Warns Leaders Against Fixing Fares
The owner of new airline Caribbean Star said regional governments
should not be fixing airline fares and schedules in support of
troubles regional carrier Leeward Islands Air Transport (LIAT),
reports local paper the Trinidad Express.

St. Vincent Prime Minister Dr Ralph Gonsalves, met with the Texas
billionaire to discuss the Caricom's decision to regulate the
region's air transport industry and ensure that LIAT is not
destroyed by the alleged predatory pricing practices of newcomer
Caribbean Star.

Stanford defended his airline saying that the Caribbean Star was
not set out to chase LIAT out of the sky. He added that the
Star's ticket prices were just in keeping with market conditions,
and are not below the operating costs.

Stanford explained that while they were not making profits, they
were also not suffering from huge losses.

He added that he might be having a new airline, the Caribbean
Sun, to bring in more passengers to the region. He also intends
to bring in more wide-bodied aircraft to ply the international

Gonsalves expressed his gratification at Stanford's plans to
invest more in the Caribbean.

CONTACT:  LIAT Corporate Headquarters
          V.C. Bird International Airport,
          P.O. Box 819,
          St. John's, Antigua West Indies
          Tel. 1 (268) 480-5600/1/2/3/4/5/6
          Fax: 1 (268) 480-5625
          Garry Cullen, Chief Executive Officer
          David Stuart, Vice President of Marketing


ARGENTINE COMPANIES: Research Shows High Number of Debt Defaults
Argentine companies, hit by an economic contraction of 12 percent
and a devaluation in the local currency that makes their dollar-
denominated debts four times more expensive, simply weren't able
to cope up with their financial obligations.

A report from the research department of local bank Banco Frances
show that Argentine firms had a total debt of US$6.974 billion in
interest and capital payments for the first ten months of this

Of that amount, about 36.4 percent, equivalent to US$2.541
billion had been left unpaid.

The country's financial sector had the least number of default
cases. The report indicated that banks failed to pay only 27.9
percent of their interest payments and some 8.7 percent of their
capital payments for the said period. Converting the percentages
into actual amounts means that the banks had defaulted on just
US$310.6 million, 9.1 percent of the total amount of debts of
companies in the country this year.

On the other hand, non-financial firms failed to keep up with
their capital and interest payments. This is about US$2.231
billion of the total company debts in the country for the period.

The report indicated that among the companies, those in the
public utilities sector had the hardest time. Suffering from the
same economic slump, their problems were compounded by the
tariffs imposed by the government, even if inflation almost
reached 40 percent this year.

Out of the nine utilities in the country, seven have defaulted,
while one is negotiating its debts. Only one had been up-to-date
with its obligations.

Dow Jones reported that among the big companies that have, or are
in the process of renegotiating their debts, are energy
conglomerate Perez Companc, steel firm Acindar and communications
company Telefonica.

AT&T LATIN AMERICA: Shares to Trade on NASDAQ Small Cap Market
AT&T Latin America Corp. (Nasdaq: ATTL) announced Thursday that
its request to transfer its Class A common stock listing to
NASDAQ's Small Cap Market has been approved and will begin
trading there tomorrow, November 8.

The company announced last month that it had filed to transfer
from NASDAQ's National Market to the Small Cap Market.

AT&T Latin America Corp., headquartered in Washington, D.C., is a
facilities-based provider of integrated high-bandwidth business
communications services in five countries: Argentina, Brazil,
Chile, Colombia and Peru.  The company offers data, Internet,
voice, video-conferencing and e-business services.

Safe Harbor Statement Under the Private Securities Litigation
Reform Act of 1995: This press release includes "forward-looking
statements" which are based on management's beliefs as well as on
a number of assumptions concerning future events made by and
information currently available to management. Readers are
cautioned not to put undue reliance on these forward-looking
statements, which are not a guarantee of performance.  The
statements involve known and unknown risks and uncertainties,
many of which are outside of AT&T Latin America's control that
may cause its actual results or outcomes to materially differ
from such statements.  The risks and uncertainties include but
are not limited to the company's ability to comply with NASDAQ's
maintenance requirements and other risks and uncertainties
described in the company's filings with the Securities and
Exchange Commission which readers are urged to read carefully in
assessing the forward-looking statements contained in this press
release.  These statements are made as of the date of this press
release, and AT&T Latin America undertakes no obligation to
update or revise them, whether as a result of new information,
future events or otherwise.  This information is presented solely
to provide additional information to further understand the
results of the company.

          Media: Jim McGann, +1-202-689-6337
                 Lydia Rodriguez, +1-202-689-6323

          Investors: Catherine Castro, +1-202-689-6336

Argentine Criminal Court Judge Maria Cristina Bertola charged
executives of FleetBoston Financial Corporation Thursday, for
allegedly refusing to return US$700,000 in deposits before the
government restricted withdrawals.

About a dozen plaintiffs claimed the bank refused to return their
deposits to them during a run on banks last year.

The charges against the bank's chief executive, Manuel Sacedote,
and 14 other managers were read as "fraudulent administration
related to the unwarranted retention of deposits", according to a
report from Dow Jones.

The federal charges, the first against an international bank,
bring penalties ranging from one-month to six-year jail terms,
indicates a Bloomberg report.

The company said that the charges were baseless, and that it will
file an appeal before a trial is started.

In a communiqu,, FleetBoston spokesman Enrique Morad said that
the reason the plaintiffs did not get their money back is that
they did not present their bank certificates before the bank
freeze took effect on Nov. 30 of last year.

A 12-page order from Judge Bertola instructs a court official to
freeze ARS500,000(US$141,000) of Sacerdote's assets, but places
no restrictions on his movement.

The order follows an eight-month investigation that included two
separate raids on FleetBoston's office in Buenos Aires.

FleetBoston shares, which lost over US$2.3 billion from
Argentina's default and devaluation, fell to US$23.04 Thursday.
Stocks had dropped by 47 percent this year.

          Head Office
          100 Federal Street
          United States 02110
          Tel  +1 617 434-2200
          Terrence Murray, Chairman
          Charles K. Gifford, President & Chief Executive

TERRA LYCOS: Improves EBITDA by 46% Over the 3Q of Last Year

-  In line with Company's projections provided to analysts last
July, revenue for the third quarter of 2002 was 169 million in
constant second-quarter euros, an increase over the 162 million
euros reported in the second quarter.

-  In spite of revenue growth during 2002 in local currencies,
the effect of the devaluation of all currencies outside the euro
zone where Terra Lycos operates, yielded a negative impact of 23
million euros on consolidated third-quarter revenue.

-  Third-quarter consolidated revenue in current euros, taking
into consideration the monetary effect explained in the previous
point, totaled 146 million current euros.

-  Earnings before interest, taxes, depreciation and amortization
(EBITDA) was -26 million euros, a margin of -18%, which is also
in line with the Company's projections.

-  Net income for the first nine months of the year improved 30%
compared to the same period the previous year.  Net income for
the third quarter improved 4% over the previous quarter to -99
million euros. Amortization of goodwill, totaling 62 million
euros, represented 63% of net income.

-  In September 2002, Terra Lycos had a total of 2.5 million
paying customers for access, communications and portal services,
an increase of 12% over the previous quarter.

-  The Company ended the quarter with 342,000 ADSL customers, 97%
more than in the third quarter of 2001. The number of unique
users totaled
118 million.

Terra Lycos (Nasdaq: TRLY; MC: TRR), the leading global Internet
network, presented Thursday its financial results for the third
quarter of fiscal year 2002.


In the third quarter of 2002, Terra Lycos earned revenue of 169
million in constant second-quarter euros, thereby meeting the
Company's revenue projections (between 165 and 175 million in
constant second-quarter euros) announced for the quarter. Total
revenue, after consolidation of the different local currencies,
suffered a negative exchange rate effect of 23 million euros due
to appreciation of the euro since 78% of revenue originated from
currencies other than the euro. The figure for equivalent revenue
in current euros, taking into account the exchange rate effect,
was 146 million euros.

During the quarter, 60% of total revenue originated from the
media business, including advertising, integrated marketing
solutions, electronic commerce and content and portal services
subscriptions, and 40% came from the access business and
communications services.

The Company's move toward charging for services and content
through the "O.B.P." (Open, Basic, Premium) model yielded
positive results, and revenue from paying subscribers for
services other than access represented 11% of total revenue this
quarter. Communications services and portal subscriptions thus
continue to contribute to the diversification of Terra Lycos'
sources of revenue. Among other examples of O.B.P., a for-pay e-
mail service was launched in Brazil, which offers the protection
of anti-virus and anti-spam filters and already has nearly
100,000 customers. Similarly, for personal pages, functionality
was improved on products such as Domains, Tripod and Angelfire to
meet customer needs.  In addition, the enterprise version of
Hosted Site Search was also launched.

During the quarter, Terra Lycos signed alliances with leading
companies in other sectors.  An Internet integration agreement
was reached with Grupo Intereconomia, a leading radio producer of
specialized economic/financial information, and an alliance was
formed with Ebro Puleva, Spain's largest food-sector group, under
which it will join the Terra Food Channel. After the close of the
quarter, Terra Lycos and IBM announced an agreement that will
allow Terra Lycos users to enjoy IBM's instant messaging service
and communicate with Lotus Sametime users around the world.

In October, Terra Lycos acquired Get Relevant's direct marketing
technology in the United States, increasing the Company's ability
to make particular offers to a specified target audience and
consequently improve audience segmentation.

Operating Expenses

In the third quarter of 2002, Terra Lycos efficiently managed its
resources with ongoing process improvement, allowing it to
continue to gradually reduce operating costs. During the quarter,
the Company reduced expenses by 19% over the same period the
previous year, yielding a savings of 24 million euros.

Operating Margin -- EBITDA

Earnings before interest, taxes, depreciation and amortization
(EBITDA) for the third quarter of 2002 improved by 23 million
euros over the same period the previous year, to -26 million
euros, the best performance to date and in line with the ongoing
positive trend in EBITDA over the previous eight quarters. EBITDA
margin was -18%, meeting the Company's projections for the
quarter (between -19% and -16%), and an improvement of 11
percentage points over the same period last year.

Net Income

Net income for the third quarter of 2002 was -99 million euros, a
4% improvement over the previous quarter. In the first nine
months of the year, net income improved by 30% over the same
period the previous year, and now stands at -332 million euros.

Amortization of goodwill, totaling 62 million euros for the
quarter, resulting from past acquisitions and involving no cash
disbursement, represented 63% of net income.


Terra Lycos has one of the strongest cash positions in the
sector, allowing it to finance its operations and explore
business opportunities with a view to continued improvement in
profitability. Efficient cash management allowed the Company to
close the third quarter with 1.8 billion euros.

Operating Results

Terra Lycos closed September 2002 with a total of 5.3 million
subscribers, 2.5 million of which, or 48%, are paying subscribers
to access, communications and portal services. This is an
increase of 12% over the previous quarter in the number of paying
subscribers, while the number of free subscribers remains at 2.8
million. As of September 30, the number of ADSL customers was
342,000, an increase of 97% over the third quarter of 2001, and
14% over the previous quarter.

In addition to access subscribers, as of the close of third
quarter, the Company had recurring revenue from the 1.1 million
subscribers to communications and portal services, an increase of
24% over the previous quarter.

The number of unique users in September totaled 118 million. The
average number of daily page views was 390 million.

Terra Lycos Executive Chairman Joaquim Agut said that, "our
primary objective remains to continue to grow profitably, and
these results reflect the fact that we are maintaining the
positive growth of recent quarters, through efficient resource
management and ongoing process improvement." Joaquim Agut said
that, "without a doubt, the unfavorable advertising market
environment is continuing to affect us, although our recurring
revenue from paying subscribers continues to increase as a result
of our commitment to innovation and customer satisfaction."

About Terra Lycos

Terra Lycos is a global Internet group with a presence in 42
countries in 19 languages, reaching 118 million unique users per
month worldwide. The group, which grew out of the acquisition by
Terra Networks, S.A. of Lycos, Inc., which took place in October
2000, operates some of the most widely visited Web sites in the
United States, Europe, Asia and Latin America, and is the largest
access provider in Spain and Latin America.

The Terra Lycos network of sites includes Terra in 17 countries,
Lycos in 25 countries,,,,,,,,,,,, Lycos
Zone,,,,,,, and Wired News (,
among others.

Terra Lycos, headquartered in Barcelona and with operating
centers in Madrid and Boston, as well as elsewhere, is traded on
the Madrid stock exchange (TRR) and the Nasdaq electronic market

CONTACTS:  Public Relations:
           Miguel Angel Garzon
           Tel: +34-91-452-3021

           Kirsten Rankin (U.S.)
           Tel: +1-781-370-2691

           Investor Relations:
           Claudia Sierra
           Tel: +34-91-452-3278

* Argentina Submits Another Draft To IMF, But Differences Remain
Argentina has submitted its fourth draft of policies to the
International Monetary Fund urgently seeking the lender to grant
the country a new aid package.

Negotiations between the two parties have gone on for ten months,
and Argentina is feeling the pressure as a US$805 million payment
to the World Bank comes due on Nov. 14. The World Bank had
extended the deadline from the original schedule of Nov. 9.

The country had indicated that it would default on the debt
payment to the World Bank if they would not get a new loan from
the IMF. If the country does so, it would be even harder for the
country to get loans from other multilateral lenders.

IMF spokesman Thomas Dawson criticized Argentine President
Eduardo Duhalde for complaining that the IMF's demands for tax
and utility rate hikes were "recessive measures" that would
endanger the country's economic recovery.

Earlier, IMF managing director Anne Krueger said that the IMF
would have provided the country with aid, had it followed the
IMF's demands. But Argentine officials refused to impose some of
the demands, saying it would worsen the quality of life for the
population, which has been pushed deeper into poverty.

The United Nations reported that poverty in the country had
increased to more than 30 percent this year. Other development
agencies have been considering aiding the nation' population in
facing the worsening poverty.

The president of the Inter-American Development Bank has been
urging Argentina and the IMF to make compromises. The bank is
scheduled to provide the country with US$600 million, if it makes
the scheduled payment to the World Bank.

Argentina's economy, which has been in a four-year recession,
sank deeper into depression after the country defaulted on a
US$95 billion in debt early this year.


GLOBAL CROSSING: Releases Latest Financial Results
Global Crossing announced Thursday that it continues to meet
strategic performance objectives, and is on pace to complete a
full-scale business turnaround. The performance targets were
established for Global Crossing (excluding Asia Global Crossing)
in the operating plan presented to its creditors in March. Global
Crossing has met key year-to-date results outlined in the plan,
including Service Revenue, Service EBITDA, cash in bank accounts
and third-party maintenance expense targets.

Consolidated results for the month of September that include Asia
Global Crossing and that are reported in the Monthly Operating
Report (MOR) filed with the U.S. Bankruptcy Court in the Southern
District of New York are summarized later in this press release.

Operating Results (excluding Asia Global Crossing)

"I'm proud to report that Global Crossing achieved many
significant gains during the third quarter of 2002 and we
continue to execute a full-scale turnaround of the business,"
said John Legere, CEO of Global Crossing. "While there are still
challenges ahead, we have gained tremendous momentum and expect
to emerge from Chapter 11 as a healthy company."

In September 2002, Global Crossing reported year-to-date Service
Revenue of $2,168 million, $72 million above the year-to-date
Service Revenue target set forth in the operating plan. August
2002 and September 2002 Service Revenue showed month-over-month
gains and were reported at $236 million and $237 million,
respectively. Year-to-date Service EBITDA was reported at a loss
of $220 million. However, it is significant to note that Service
EBITDA for September 2002 reached break-even.

"Our Service Revenues have shown month-over-month gains for the
last two months - the first time this year that we have had
consecutive month-over-month growth," said Dan Cohrs, Global
Crossing's CFO "We have also made considerable improvements in
Service EBITDA and Operating Expenses. In September, Service
EBITDA reached break-even, compared to a monthly loss of $68
million at the beginning of the year. Operating expenses, which
registered at $64 million in September, are down significantly
from $114 million in January."

Total cash in bank accounts exceeded targets set forth in the
operating plan, with $724 million as of September 30, 2002,
compared to a plan of $625 million. Year-to-date operating
expenses were reported at $724 million, $5 million higher than
the target in the operating plan. However, year-to-date third-
party maintenance costs were reported at $130 million, ahead of
plan by $7 million.

          OPERATING RESULTS (excluding Asia Global Crossing)
                     JULY THROUGH SEPTEMBER 2002

                 REVENUE   EXPENSES       EBITDA       BANK
September 2002  $237 mln   $64 mln        $0 mln     $724 mln
August 2002     $236 mln   $63 mln      $(5) mln     $744 mln
July 2002       $231 mln   $63 mln     $(12) mln     $797 mln


Global Crossing filed Thursday a Monthly Operating Report (MOR)
for the month of September with the U.S. Bankruptcy Court for the
Southern District of New York, as required by its Chapter 11
reorganization process. The consolidated results in the MOR
include Asia Global Crossing and revenue from sales of capacity
in the form of IRUs (indefeasible rights of use) that occurred in
prior periods, recognized ratably over the life of the relevant

Results reported in the September MOR include the following:

For continuing operations in September 2002, Global Crossing
reported consolidated revenue of approximately $254 million.
Consolidated operating expenses were $71 million, while access
and maintenance costs were reported at $189 million in September

In addition, Global Crossing reported a consolidated GAAP
(Generally Accepted Accounting Principles) cash balance of
approximately $960 million as of September 30, 2002, including
$265 million of cash held by Asia Global Crossing. Global
Crossing's $695 million GAAP cash balance (excluding Asia) is
comprised of $305 million unrestricted cash, $332 million in
restricted cash and $58 million of cash held by Global Marine.

Global Crossing reported a consolidated net loss of $157 million
for September 2002. This includes a $38 million restructuring
charge as a result of ongoing efforts to consolidate facilities
and reduce Global Crossing's workforce. Consolidated EBITDA was
reported at a loss of $6 million.

On October 21, 2002 Global Crossing announced that, based upon
advice from the staff of the Securities and Exchange Commission
(SEC), it will restate certain financial statements contained in
filings previously made with the SEC. Global Crossing's
restatements will record exchanges between carriers of leases of
telecommunications capacity at historical carryover basis,
resulting in no recognition of revenue for such exchanges. Global
Crossing previously reported these capacity exchanges at fair
value, recognizing revenue in its GAAP financial statements over
the lives of the relevant lease contracts. Global Crossing also
announced that, for exchanges that involve service contracts, it
will continue to record revenue over the lives of the relevant
contracts at fair values, but that its balance sheet will not
reflect the entire value of the contracts received or given in
the exchanges. Accordingly, the revenue contributed by previous
exchanges involving service contracts will not be restated, but
the fair values of these exchanges involving services will be
removed from the balance sheets previously filed. Global Crossing
expects to utilize the accounting treatment described above for
exchanges of telecommunications capacity and service contracts as
it reports results in the future.

Although the detailed application of this accounting treatment is
not complete, Global Crossing estimates that the impact of
recording all such transactions at carrying value rather than
fair value would be to reduce revenue by $7 million, and
depreciation expense by $2 million, from the numbers reported in
the MOR for the month of September. In addition, the change from
fair value to carrying value for these transactions would reduce
Total Assets as well as Total Liabilities and Shareholders'
Equity by approximately $1,200 million as of September 30, 2002,
from the numbers reported on the balance sheet contained in the
September MOR. The restatement will have no impact on cash flow
for the month of September.

                             MOR RESULTS
                MONTHLY RESULTS JULY 2002 SEPTEMBER 2002

               REVENUE        OPERATING       EBITDA      LOSS
September 2002  $254 mln      $71 mln       $(6) mln   $157 mln
August 2002     $255 mln      $73 mln      $(14) mln   $138 mln
July 2002       $249 mln      $75 mln      $(19) mln   $145 mln

Definitions and Notes

"Service Revenue" refers to revenue less (i) any revenue
recognized immediately for circuit activations that qualified as
sales-type leases and (ii) revenue recognized due to the
amortization of IRUs sold in prior periods and not recognized as
sales-type leases.

"Service EBITDA" refers to EBITDA (earnings before interest,
taxes, depreciation, and amortization) but excludes the
contribution of (i) any revenue recognized immediately for
circuit activations that qualified as sales-type leases and (ii)
revenue recognized due to the amortization of IRUs sold in prior
periods and not recognized as sales-type leases.

The results for Global Crossing (excluding Asia Global Crossing)
discussed in the "Operating Results (excluding Asia Global
Crossing)" section of this release have been prepared on a basis
consistent with targets presented to the creditors of Global
Crossing in March 2002, and include the results previously
reported in Monthly Operating Reports (MORs) prepared for the
months of February through September. No such MOR was prepared
for the month of January. These operating results exclude Global
Marine (which is a discontinued operation), exclude any revenue
contribution of sales of capacity in the form of IRUs
(indefeasible rights of use), and reflect certain eliminations
and adjustments not detailed in the MORs for the months of
February through September. Cash balances reported in this
section are bank balances, not reflecting the estimated impact of
outstanding checks and other adjustments as required by GAAP.

The information contained in this press release is qualified in
its entirety by reference to the MORs for the months of February
through September, including the footnotes to the financial
statements contained therein, copies of which are available
through the U.S. Bankruptcy Court for the Southern District of
New York and on Global Crossing's Web site. The September MOR is
available at sept.pdf

These MORs have been prepared pursuant to the requirements of the
Bankruptcy Code and the unaudited consolidated financial
statements contained in these MORs do not include all footnotes
and certain financial presentations normally required under GAAP.
In addition, any revenues, expenses, realized gains and losses,
and provisions resulting from the reorganization and
restructuring of Global Crossing are reported separately as
reorganization items in these MORs.

As discussed more fully in these MORs, Global Crossing has not
yet filed its Annual Report on Form 10-K for the year ended
December 31, 2001. Global Crossing has agreed with the Creditors'
Committee in its Bankruptcy proceeding and with the United States
Trustee to the appointment of an examiner in the Chapter 11
cases, whose role is expected to be limited to addressing the
financial statements of Global Crossing and companies within its
control, including (i) issuing an audit opinion on Global
Crossing's financial statements for the year ended December 31,
2001, (ii) issuing an audit opinion on restated financial
statements for earlier periods if restatement is necessary and
(iii) issuing a report regarding its findings. Global Crossing is
currently reviewing the anticipated role of the examiner with the
SEC and expects the order appointing the examiner to be approved
shortly. Global Crossing's Board of Directors is currently
seeking to retain a new independent public accounting firm to act
as its new auditor, and it is expected that a member of the new
accounting firm would also act as the examiner in the Bankruptcy

In addition, certain matters relating to Global Crossing's
accounting for, and disclosure of, concurrent transactions for
the purchase and sale of telecommunications capacity between
Global Crossing and its carrier customers are being investigated
by the SEC, the U.S. Attorney's Office for the Central District
of California, the House of Representatives Financial Services
Committee and the House of Representatives Energy & Commerce
Committee. In connection with their investigation, a subcommittee
of the House Energy & Commerce Committee held hearings on
September 24, 2002 and October 1, 2002 regarding Global Crossing.
The House Financial Services Committee has also requested
documents from the company on matters related to corporate
governance and the proposed investment in the company by
Hutchison Telecommunications and Singapore Technologies
Telemedia. Global Crossing is also cooperating with a similar
inquiry being conducted by the Denver office of the SEC regarding
Qwest Communications International, Inc., and has provided and is
providing documents in response to three subpoenas it has
received from the New York Attorney General's office relating to
an investigation of Salomon Smith Barney. The U.S. Department of
Labor is conducting an investigation into the administration of
Global Crossing's benefit plans. These investigations are
described more fully in the September MOR.

Any changes to the financial statements resulting from any of
these investigations and the completion of the 2001 financial
statement audit could materially affect the unaudited
consolidated financial statements contained in these MORs and the
information presented in this press release.

As previously announced, Global Crossing's net loss for the three
months ended December 31, 2001 is expected to reflect the write-
off of the remaining goodwill and other intangible assets, which
total approximately $8 billion. Furthermore, in light of the
terms contained in the previously announced agreement with
Hutchison Telecommunications and Singapore Technologies
Telemedia, Global Crossing has determined that it will write down
its tangible assets by at least $10 billion. The financial
information included within this press release and the MORs
reflect the write-off of all of the goodwill and other
identifiable intangible assets of $8 billion, but does not
reflect any write-down of tangible asset value. Global Crossing
is currently in the process of evaluating its financial forecasts
to determine the impairment of its long-lived assets. In
addition, Global Crossing will write down Asia Global Crossing's
interest in Hutchison Global Crossing by $450 million,
representing the difference between the proceeds received and the
carrying value of Asia Global Crossing's interest in Hutchison
Global Crossing, which was sold on April 30, 2002.

The write-off of the intangible assets, and the write-downs of
tangible assets are described more fully in the September MOR.


Global Crossing provides telecommunications solutions over the
world's first integrated global IP-based network, which reaches
27 countries and more than 200 major cities around the globe.
Global Crossing serves many of the world's largest corporations,
providing a full range of managed data and voice products and
services. Global Crossing operates throughout the Americas and
Europe, and provides services in Asia through its subsidiary,
Asia Global Crossing.

On January 28, 2002, Global Crossing and certain of its
affiliates (excluding Asia Global Crossing and its subsidiaries)
commenced Chapter 11 cases in the United States Bankruptcy Court
for the Southern District of New York (Bankruptcy Court) and
coordinated proceedings in the Supreme Court of Bermuda. On the
same date, the Bermuda Court granted an order appointing joint
provisional liquidators with the power to oversee the
continuation and reorganization of the Bermuda-incorporated
companies' businesses under the control of their boards of
directors and under the supervision of the U.S. Bankruptcy Court
and the Supreme Court of Bermuda. On April 23, 2002, Global
Crossing commenced a Chapter 11 case in the Bankruptcy Court for
its affiliate, GT UK, Ltd. On August 4, 2002, Global Crossing
commenced a Chapter 11 case in the United States Bankruptcy Court
for the Southern District of New York for its affiliate, SAC Peru
Ltd. On August 30, 2002, Global Crossing commenced Chapter 11
cases in the Bankruptcy Court for an additional 23 of its
affiliates (as specified in the July MOR) in order to coordinate
the restructuring of those companies with its restructuring.
Global Crossing expects to file coordinated insolvency
proceedings in the Bermuda Court for those affiliates that are
incorporated in Bermuda. These cases should be consolidated with
the existing cases commenced in Bankruptcy Court on January 28,
2002. Global Crossing does not expect that the plan of
reorganization, which it expects to file with the Bankruptcy
Court on or about September 16, 2002, would include a capital
structure in which existing common or preferred equity would
retain any value.

          Press Contacts

          Tisha Kresler
          +1 973-410-8666

          Kendra Langlie
          Latin America
          +1 305-808-5912

          Mish Desmidt
          +44 (0) 118 908 6788

          Analysts/Investors Contact
          Ken Simril
          +1 310-385-3838

TYCO INTERNATIONAL: Regulator Calls Plan A Breach of Settlement
Mark Connolly, director of the New Hampshire Bureau of Securities
Regulation said the plan of Tyco International Ltd. to retain two
directors, who served under Tyco's indicted CEO, violates the aim
of the company's US$5 million settlement with the state.

In a letter to Tyco's new CEO Edward Breen, Connolly said, "I
believe such a move would not be in the spirit of the corporate
governance reforms you are endeavoring to implement at Tyco."

Earlier, Tyco director Wendy Lane had revealed that the company
is considering keeping Richard Bodman and Michael Ashcroft on the
board. Both had served under former CEO Dennis Kozlowski.

According to the Associated Press, the settlement came after
Tyco's filing with the Securities and Exchange Commission stating
that no member of Tyco's board, who served under Kozlowski, would
be eligible for reelection.

The report also indicated that New Hampshire does not have the
authority to force Tyco's board members to resign. Nevertheless,
the state is pressuring the company for the board's resignation.

Tyco is currently trying to gain investor confidence after
reports on the alleged embezzling by former top executives.
Former CEO Kozlowski and former finance chief Mark Swartz were
charged of grand larceny and enterprise corruption, to which both
pleaded not guilty. Both are now out on bail.

Tyco shares closed at US$15.50 in the New York Stock Exchange

         Corporate Office
         The Zurich Centre, Second Floor
         90 Pitts Bay Road
         Pembroke HM 08, Bermuda
         Phone: 441-292-8674
         Home Page:


BANCO SUDAMERIS: Italian Parent Seeks Potential Bidders
IntesaBci is now looking at other offers for Banco Sudameris
Brasil SA despite the fact that Brazilian bank Banco Itau has an
exclusive negotiating contract with the Italian bank to buy its
local franchise, reports Sao Paulo business daily Gazeta

IntesaBci agreed in March to sell the Brazilian unit to Itau for
US$1.44 billion. However, due to the sharp decline of the
Brazilian real, as well as Itau's pursuit of other local banks,
IntesaBci was prompted to look at other offers for Sudameris.
According to a Business News Americas report, Brazil's largest
private bank Banco Bradesco has emerged as a strong contender for

However, Sao Paulo business daily Valor Economico reported that
Bradesco denied involvement in any dealings with the Italian bank
or Sudameris, and that discussions between IntesaBci and Itau
would conclude by the end of the year, as planned.

Brazilian online news service Executivofinancieros reported
Intesa CEO Corrado Passeraue admittrd the deal was being held up
by differences over cost.

"It's a problem of price, and more than anything else we need a
clear decision on the matter to erase any doubts we have on the
question," Passeraue was quoted as saying.

Although Itau agreed to buy 95% of Sudameris for US$1.44 billion,
the bank, according to Gazeta Mercantil, has offered just US$925

Passeraue said IntesaBci directors would discuss Itau's offer on
November 12.

CONTACT: IntesaBci SpA
         Piazza Paolo Ferrari 10
         20121 Milano
         Tel  +39 02 88 441
         Fax  +39 02 8844 3638
         Contact: Corrado Passera - Chief Executive Officer
                  Giampio Bracchi - Vice Chairman
                  Gianfranco Gutty - Vice Chairman

BCP SA/ BSE SA: Parent Considers Sale
BellSouth Corporation considers selling its stakes in two
Brazilian wireless-telephone units, BCP SA and BSE SA, reports

In a filing with the U.S. Securities and Exchange Commission,
BellSouth reveals that it is currently in talks with Brazilian
partner Safra Group and the creditor banks of BCP and BSE.

Safra and Bellsouth own about 45 percent each of the two wireless

However, in the filing BellSouth conceded that there are no
assurances that an agreement with Safra, or with the creditors
can be reached, or that the two troubles companies would really
have to be sold.

This year, BCP has defaulted on US$430 million in debt, while BSE
is close to defaulting on debts of US$76 million. In August,
BellSouth paid US$94 million for a BCP bond it guaranteed.

BellSouth said that it does not expect to collect on any of the
US$383 million in loans and guarantees from its two units.

The report indicated the minority owners of BCP and BSE as Grupo
Oesp, the newspaper holding company, with 6 percent, Splice do
Brasil, a telephone equipment maker, with 2.8 percent, and BSB
Participacoes, an investment holding company, with 2.2 percent.

BellSouth provides wireless operator services to Sao Paulo, and
to six other northeastern estates, having spent more that US$3
billion since it stated operation in Latin America in 1989.

BellSouth shares, having declined 29 percent in the past year,
fell 36 cents to US$26.81 on the New York Stock Exchange

          Rua FlĒrida, 1970 4o andar
          Sao Paulo - SP
          Tel: 55 11 5509-6428
          Fax: 55 11 5509-6257
          Home Page:

          BSE S.A.
          Rua FlĒrida, 1970
          04565-907 - Sao Paulo- SP
          Tel.: (11) 5509-6143
          Fax: (11) 5509-6397
          Luis Felipe Schiriak, Investor Relations Officer

          1155 Peachtree St. NE
          Atlanta, GA 30309-3610
          Phone: 404-249-2000
          Fax: 404-249-5599
          Home Page:
          Investor Relations
          Phone (US):    800.241.3419
          Fax: 404.249.2060

BRASIL TELECOM: Announces 3Q02 Consolidated Results
Brasil Telecom S.A (NYSE: BTM) (BOVESPA: BRTO3 BRTO4) announces
its consolidated results for the third quarter 2002 (3Q02). The
consolidation was elaborated in accordance with CVM Instruction
no. 247/96 and includes the performance of BrT Servicos de
Internet S.A. (BrTSI), wholly owned subsidiary of Brasil Telecom

Plant - At the end of 3Q02, Brasil Telecom's installed plant
reached 10,544 thousand lines, stable in relation to the plant
observed at the end of 2Q02. Lines in service (LIS) reached 9,228
thousand lines at the end of 3Q02, 3.2% above the plant of 2Q02,
contributing to the growth of utilization rate in the quarter,
which reached 87.5% at the end of September, 2.4 p.p. above the
levels registered in 2Q02.

ADSL lines - At the end of 3Q02, Brasil Telecom reached 118.3
thousand ADSL lines sold, representing an increase of 92.5
thousand in relation to the 3Q01 plant. Considering the ADSL
lines in service, the Company reached 108.4 thousand,
representing the highest ratio in service/sold since the
beginning of the year: 91.6%.

Net revenue in 3Q02 reached R$1,820.9 million, a growth of 4.8%
in relation to the revenue registered in 2Q02. In relation to the
net revenue of the 3Q01, the increase was 15.4%. Net revenue/Avg.
LIS/month grew 2.6% in 3Q02, reaching R$66.8.

Data communication revenue in 3Q02 reached R$142.3 million, 21.4%
above 2Q02, representing 5.6% of total gross revenue. In relation
to 3Q01, data communication revenue grew 66.1%.

Losses with accounts receivable reached R$68.8 million in 3Q02,
representing 2.7% of gross revenue, stable in relation to that
presented in 2Q02, and can be attributed to the actions
implemented by Brasil Telecom to recover losses and reduce bad

EBITDA - In 3Q02, EBITDA was R$863.0 million, 4.4% above the
R$826.8 million posted in 2Q02, a growth mainly fueled by the
increase of revenue and cost control. EBITDA margin reached 47.4%
and EBITDA/Avg. LIS/month reached R$31.7, representing an
increase of 2.3% in relation to 2Q02.

The consolidated net debt (excluding inter-company loan and
debentures with the parent company) was R$2,374.4 million in
3Q02, representing a financial leverage of 34.5%. Dollar
denominated debt totaled R$408.8 million at the end of 3Q02.
Brasil Telecom had hedge mechanism for 38.1% of that debt, being
all the debt due until December 2003 hedged against foreign
exchange variations. By the end of September, debt average cost
was 15.73% p.a. and payment average term was approximately 56

Productivity of 1,599 LIS/employee at the end of 3Q02, against
1,460 (+9.5%) in 2Q02. The increase in the productivity ratio was
due to the increase of the plant in service combined with the net
reduction of 349 employees in the quarter.

Brasil Telecom S.A. provides local, intra-state and intra-region
long distance, network, data communication and other value-added
services to the states of Acre, Rondonia, Mato Grosso, Mato
Grosso do Sul, Tocantins, Goias, Santa Catarina, Parana, and Rio
Grande do Sul, as well as the Federal District. This operating
area covers 23% of the population (over 40 million people), 25%
of the Brazilian GDP (approximately R$276 billion in 2001) and
33% of the nation's territory (nearly 2.8 million km2).

CONTACT:  Investor Relations
          (55 61) 415-1140

          Renata Fontes
          (55 61) 415-1256

          Shay Chor
          (55 61) 415-1291

          Flavia de Oliveira
          (55 61) 415-1411

          Media Relations (outside Brazil)
          (1 212) 983-1702

CERJ: Endesa To Invest $100M In 2003 To Capitalize Debt
Endesa International director Luis Rivera met with Rio de Janeiro
state governor-elect Rosinha Garotinho Wednesday to discuss the
Spanish-based company's plan for its Rio de Janeiro-based
distributor Cerj.

According to a report by Business News Americas, Rivera said his
company would invest about US$100 million in its Brazilian unit
next year to capitalize Cerj's debts.

Endesa Spain and its Chilean holding Enersis own a combined 79.9%
of Cerj and Portugal's EDP owns 19.5%. Endesa Spain is reported
to have asked other shareholders to put up cash equivalent to
their stakes in the Company to match Endesa's investment.

GLOBOPAR: Should Benefit From Yet-To-Be-Signed Bill
Brazilian media company Globopar, which has stakes in Net and in
Sky, awaits good news, as the government will soon approve a bill
that allows foreign capital to control cable TV companies.

Gazeta Mercantil reports that the current legislation establishes
that the maximum stake for foreign capital in cable TV is 49%;
while in open TV such stake totals 30%.

Early last week, Standard & Poor's Rating Services said it
lowered the corporate credit rating on Globopar to 'D' from
double-'C' and had the rating removed from CreditWatch, where
they were placed on Oct. 29,

The rating action followed confirmation that Globopar did not
make an interest payment of approximately US$3 million, which was
due Nov. 1 under the syndicated credit facility of Globopar.

"While a legal default will only be effective on Nov. 6, after a
five-day grace period on the payment, Standard & Poor's considers
this missed payment a default as Globopar is not expected to pay
within the grace period. Once the legal default occurs, it will
trigger a cross-default under most of Globopar's debt, forcing
the company into a general default," Standard & Poor's credit
analyst Milena Zaniboni had stated in a report.

Globopar has approximately US$1.2 million in debt, and guarantees
another US$410 million of debt at subsidiaries.

Standard & Poor's said it would likely revise the ratings after
the group is able to reach an agreement with its creditors, and
is able to present a business plan and a renegotiated debt

          Rua Afranio de Melo Franco
          135/4  andar- Leblon
          Rio de Janeiro - RJ
          CEP: 22430-060
          Phone: (21) 240.2000
          Fax: (21) 259.6586
          Home Page:
          Mr. Roberto Marinho, President - Board of Directors
          Mauro Molchansky, Executive Director
          Marcos Carneiro, Director - Corporate Relations

          John McKenna
          Lily Chu
          Phone: 212/497-4100

LIGHT: Regulator Approves 17.1% Power Hike
Rio de Janeiro distributor Light received approval for a 17.1
percent hike from Brazil's power regulator Aneel.

The hike, which includes a 1.47 percent added as part of a
technical increase, the CVA, would be effective Thursday,
according to a report from Business News Americas.

The price readjustment index included inflation variations and
amounted to 16.2 percent. Power purchase costs made up 10.5
percentage points of that.

Due to the devaluation of the Brazilian currency, another 3.89
percentage points were contributed by power purchases from the
Itaipu binational hydroelectric dam, which is traded in US
dollars. A recent 15 percent cut in Itaipu's power prices had
somewhat softened the impact of this factor.

The regulator added that .58 percentage points were taken off the
final price hike as extra power purchases through the wholesale
market MAE were accounted for as expenditure.

At least 3.28 million customers in 33 municipalities in Rio de
Janeiro get services from Light.

          Avenida Marechal Floriano, 168
          20080-002 Rio de Janeiro, Brazil
          Phone: +55-21-2211-2794
          Fax:   +55-21-2211-2993
          Home Page:
          Bo Gosta K"llstrand, Chairman
          Michel Gaillard, President and CEO
          Paulo Roberto Ribeiro Pinto, Executive Director,
                                  Investor Relations and CFO

VESPER: Parent Announces 4Q02 Results
QUALCOMM Incorporated announced Thursday its fourth quarter and
fiscal 2002 results ended September 29, 2002. GAAP reported
revenues were US$874 million (34 per cent increase) in the fourth
quarter of fiscal 2002 compared to US$651 million in the year ago
quarter. GAAP reported earnings were US$190 million or US$0.23
per share in the fourth quarter compared to a loss of US$75
million or US$0.10 loss per share in the year ago quarter. GAAP
reported revenues were US$3.0 billion (13 per cent increase) in
fiscal 2002 compared to US$2.7 billion in fiscal 2001. GAAP
reported earnings were US$360 million or US$0.44 per share in
fiscal 2002 compared to a loss of US$578 million or US$0.76 loss
per share in fiscal 2001.

Pro forma revenues were US$840 million (29 per cent increase) in
the fourth quarter of fiscal 2002 compared to US$651 million in
the year ago quarter. Pro forma earnings were US$250 million or
US$0.31 per share (63 per cent increase) in the fourth quarter of
fiscal 2002 compared to US$155 million or US$0.19 per share in
the year ago quarter. Pro forma revenues were US$2.9 billion (9
per cent increase) in fiscal 2002 compared to US$2.7 billion in
fiscal 2001. Pro forma earnings were US$794 million or US$0.98
per share (11 per cent increase) in fiscal 2002 compared to
US$710 million or US$0.88 per share in fiscal 2001. The increase
in revenues in the fourth quarter and fiscal 2002 compared to the
year ago quarter and fiscal 2001 was primarily related to
increasing demand for CDMA products across all major regions of
CDMA deployment. (see the Investor
Relations page under "Earnings Releases" for tables and financial
statements, including pro forma adjustments).

(1) Pro forma earnings exclude charges related to the values of
marketable equity securities and derivatives, amortisation of
goodwill and other acquisition-related intangible assets,
consolidated losses of the Vesper Companies in Brazil and other
gains and losses related to strategic investments. Pro forma
results include the Company's core operating businesses, QUALCOMM
CDMA Technologies (QCT), QUALCOMM Technology Licensing (QTL) and
QUALCOMM Wireless & Internet (QWI). Reported earnings are
presented in accordance with Generally Accepted Accounting
Principles (GAAP) and include the QUALCOMM Strategic Initiatives
(QSI) segment and other items excluded from pro forma.

"QUALCOMM's highly focused business strategy enabled us to
strengthen our position this year despite the challenges facing
the global economy and the telecom sector," said Dr. Irwin Mark
Jacobs, chairman and CEO of QUALCOMM. "Among the reasons for our
success are the economic benefits and competitive differentiation
that CDMA2000 1X and 1xEV-DO are providing to 20 wireless
operators in 11 countries today, with many more to come. We
extended our lead by continuing to deliver on-schedule a broad
family of highly integrated and feature-rich CDMA chipsets, and
we achieved record MSM shipments this fiscal year. These next
generation chipsets enable new devices with advanced features,
such as digital cameras, position location and streaming video.
We introduced our family of radioOne(TM) direct conversion chips
to support multiple technologies in the same chip and
significantly reduce bill of materials costs for our customers."

"We continue to execute on our strategy for increasing global
acceptance of our technology and these efforts bore fruit with
the commercial launch of the first CDMA network in China; the
first two commercial deployments of our high-speed CDMA2000 1xEV-
DO networks in South Korea and, most recently, here in the US
with Monet Mobile; and the successful introduction of our BREW
applications development platform in South Korea, Japan and the
US With a strong product and technology portfolio and a solid
balance sheet, we believe that QUALCOMM is well positioned to
continue its revenue and earnings growth in the future," Dr.
Jacobs said.

Pro forma gross margin for the fourth quarter of fiscal 2002 was
69 per cent compared to 64 per cent in the year ago quarter and
67 per cent in the third quarter of fiscal 2002. The increase in
pro forma gross margin from the year ago quarter resulted from
improved gross margins in the QUALCOMM CDMA Technologies (QCT)
business segment, primarily resulting from a change in product
mix within our Mobile Station Modem (MSM(TM)) family of phone
chips and an increase in royalty revenues in the QUALCOMM
Technology Licensing (QTL) business segment.

Pro forma R&D expenses were US$107 million (6 per cent decrease)
in the fourth quarter of fiscal 2002 compared to US$114 million
in the year ago quarter. The decrease in R&D expenses compared to
the year ago quarter was primarily due to the completion of a co-
development agreement and a reduction of development efforts
related to the Globalstar business, partially offset by increased
support efforts for the QUALCOMM Wireless Business Solutions
(QWBS) business.

Pro forma selling, general and administrative expenses were
US$102 million (12 per cent increase) in the fourth quarter of
fiscal 2002 compared to US$92 million in the year ago quarter.
The increase in SG&A expense compared to the year ago quarter was
primarily due to the expansion of our international QCT customer
base and international business development activities,
particularly in China, as well as increased expenses for our
marketing and support efforts related to the BREW(TM) (Binary
Runtime Environment for Wireless(TM)) application development

Pro forma investment income was US$16 million (40 per cent
decrease) for the fourth quarter of fiscal 2002 compared to US$26
million in the year ago quarter. Pro forma investment income is
primarily comprised of interest income on corporate cash and
marketable debt securities and other-than-temporary losses on
debt securities. The decrease in investment income as compared to
the year ago quarter was a result of lower interest rates and an
increase in other-than-temporary losses on debt securities.

The Company's pro forma annual effective income tax rate for
fiscal 2002 was 35 per cent, compared to 34 per cent for fiscal

QUALCOMM strategic initiatives (excluded from pro forma results)

The QUALCOMM Strategic Initiatives (QSI) segment includes our
strategic investments and related income and expenses from non-
core businesses including the Vesper Companies. QSI revenues were
US$34 million in the fourth quarter of fiscal 2002, primarily
related to the consolidation of the Vesper Companies. QSI losses
before taxes for the fourth quarter of fiscal 2002 were US$98
million. Our share of the losses from Vesper operations in the
fourth quarter of fiscal 2002 was US$42 million, an increase of
US$7 million from the third quarter of fiscal 2002.

This increase was attributable to an unfavourable foreign
exchange rate, as well as the agreement reached with Brazilian
regulators regarding limitations on Vesper's mobility license.
Our share of equity losses for expanded Inquam operations in
Europe was US$17 million in the fourth quarter of fiscal 2002
compared to US$13 million in the third quarter of fiscal 2002.
Other-than- temporary losses on investments were US$38 million
during the fourth quarter of fiscal 2002 to reflect the change in
estimated market values of certain investments. Of the US$38
million total, US$13 million was related to Leap Wireless,
leaving a nominal US$1 million remaining investment in Leap
Wireless. The cash invested and unfunded commitments balance for
the QSI segment is updated quarterly (see the Investor Relations page under
"Segment Reporting").

Business outlook

The following statements are forward-looking and actual results
may differ materially. Please see a description of certain risk
factors in this press release and QUALCOMM's quarterly reports on
file with the Securities and Exchange Commission (SEC) for a more
complete description of risks. We will disseminate our current
business outlook in conjunction with the quarterly earnings
release and conference call.

Outlook information is presented on a pro forma basis and
excludes the QSI segment.

First quarter fiscal 2003

-- Based on the current business outlook, we expect first fiscal
quarter pro forma revenues to increase by approximately 15-22 per
cent compared to the fourth quarter of fiscal 2002. We expect
first fiscal quarter pro forma earnings per share to be
approximately US$0.35-US$0.38. This estimate assumes shipments of
approximately 25-27 million MSM phone chips during the quarter,
including approximately 21-22 million CDMA2000 1X MSM phone
chips. We expect approximately 85 million CDMA phones to be sold
in calendar 2002.

Fiscal 2003

-- Based on the current business outlook, we expect pro forma
revenue growth for fiscal 2003 to be approximately 19-23 per cent
and pro forma earnings per share to be approximately US$1.15-
US$1.20. This estimate is based on the sale of 100-105 million
CDMA phones in calendar 2003 with approximately 10 per cent
decrease in average selling prices of CDMA phones, upon which
royalties are calculated.

Cash flow

QUALCOMM's cash, cash equivalents and marketable securities,
excluding the QSI Segment, totalled approximately US$3.0 billion
at the end of the fourth quarter of fiscal 2002. The following
table presents selected cash flow information for the fourth
quarter and fiscal 2002, which includes cash equivalents and
marketable securities, but excludes the QSI Segment (in

Business segment highlights

QUALCOMM Technology Licensing (QTL)

-- Signed a total of ten CDMA license agreements during the
fourth quarter of fiscal 2002, including seven new licenses and
three extensions to existing license agreements.

-- Modified the existing royalty-bearing license agreement with
Siemens to include infrastructure for all CDMA standards and
subscriber equipment for certain 3G standards including WCDMA
(UMTS). Under the agreement, Siemens will pay the same subscriber
royalty rate, irrespective of the standard implemented. The
agreement also grants QUALCOMM a royalty-free right under
Siemens' patents to market and sell components, including
multimode chipsets.

-- Signed a total of 35 CDMA license agreements during fiscal
2002, including 24 new licenses and 11 extensions to existing
licensees bringing the total number of companies licensed for
CDMA to more than 115. Of the approximately 115 companies,
approximately 55 are currently licensed for WCDMA.

QUALCOMM CDMA Technologies (QCT)

-- Shipped approximately 20 million MSM phone chips to customers
worldwide during the fourth quarter of fiscal 2002 compared to
approximately 13 million units in the year ago quarter and 16
million in the third quarter of fiscal 2002. This brings the
total number of MSM phone chips shipped during fiscal 2002 to
approximately 65 million.

-- Shipped approximately 15 million CDMA2000 1X MSM phone chips
during the fourth quarter of fiscal 2002 for a total of
approximately 40 million in fiscal 2002.

-- Shipped CSM infrastructure chips to support more than 2.5
million equivalent voice channels compared to approximately 4
million equivalent voice channels in both the year ago quarter
and the third quarter of fiscal 2002.

-- Began on-time sampling of the MSM6100(TM) chipset and system
software, a highly integrated CDMA2000 1X multimedia solution
with gpsOne position location and radioOne direct conversion
technologies. The MSM6100 enables lower system costs for
manufacturers developing handsets with advanced multimedia

-- Began on-time sampling of the MSM6300(TM) single-modem chip 3G
solution for multimode, multiband CDMA2000/GSM/GPRS, the first
true world-phone chipset enabling global roaming across wireless

-- Announced accelerated sampling delivery of the dual-mode
MSM6200(TM) chipset and system software. The MSM6200 was selected
by Samsung Electronics Co., Ltd, Sanyo Electronics Co., Ltd and
Novatel Wireless for development of WCDMA (UMTS) and GSM/GPRS

QUALCOMM Wireless & Internet Group (QWI)

QUALCOMM Internet Services (QIS)

-- Announced a definitive agreement with China Unicom for the
commercial deployment of wireless data application services using
QUALCOMM's BREW solution.

-- Continued BREW deployments as carriers throughout the world
join Verizon Wireless and soon ALLTEL in the United States, KTF
in South Korea and KDDI in Japan in commercialising BREW-based
services. US Cellular has launched a BREW trial in the US and
China Unicom announced its plans to launch BREW-based services in
China. To date, 16 carriers have indicated support for the BREW
solution. Twenty-four models of BREW-enabled handsets are already
available to consumers worldwide, and 30 device manufacturers
have indicated their support for BREW.

-- Signed OEM agreement with Motorola enabling Motorola to
provide BREW-enabled handsets to Verizon Wireless for its BREW-
based 'Get It Now' service.

-- Signed OEM agreement with Toshiba enabling Toshiba to provide
BREW-enabled handsets to BREW carriers around the world.

-- Announced the licensing of our QChat voice-over-Internet
protocol (VoIP) push-to-talk technology for 3G CDMA networks to
Nextel, the world's leading provider of push-to-talk services,
which it markets under the Direct Connect brand.

QUALCOMM Wireless Business Solutions (QWBS)

-- Shipped approximately 15,000 OmniTRACS units and related
products in the fourth quarter of fiscal 2002, compared to
approximately 13,000 units during the year ago quarter and 12,000
units during the third quarter of fiscal 2002. This brings the
total number of OmniTRACS and related product shipments during
fiscal 2002 to nearly 46,000 units and a cumulative total of over
450,000 units shipped worldwide. The increase in unit shipments
can be mainly attributed to additional sales in the private fleet
transportation market.

-- Announced that Frito-Lay, the leading multinational snack chip
company, has signed a contract with QUALCOMM to install over
1,100 OmniTRACS and OmniExpress mobile communications system
units and 4,400 TrailerTRACS asset management system units in

-- Demonstrated support of local and national homeland security
efforts through advanced security features of its OmniTRACS
satellite-based mobile communications and tracking system

-- On-board and wireless panic buttons,

-- Driver I.D. authentication and tamper detection alerts,

-- Remote disabling of the truck in the event of a security
breach due to on-board tamper detection or invalid driver log-in,

-- Geofencing for alerting the trucking company when the vehicle
enters restricted areas or leaves its designated route

-- Served as Technical Integrator on a winning team awarded
US$2.5 million from the US Department of Transportation for
Hazardous Materials Transportation Safety and Security
Operational Test including vehicle tracking and disabling, cargo
seals, driver authentication/biometrics, and other safety
security features.

QUALCOMM Strategic Initiatives (QSI)

-- Announced the closing of the transaction in which Telefonica
Moviles, S.A. acquired 65 per cent of Pegaso Telecommunicaciones,
S.A. de C.V., with the Burillo Group continuing to own 35 per
cent. As a result of this transaction, we received approximately
US$99 million in cash and expect to receive an additional US$435
million on or before November 9, 2002. We will use approximately
US$139 million of that total to acquire Pegaso debt. After this
transaction, QUALCOMM will own approximately US$482 million in
senior secured debt. Telefonica recently indicated its intention
to deploy GSM in Mexico. In the event that Telefonica initiates
the commercialisation of GSM or TDMA services in Pegaso's
spectrum, Pegaso would be obliged to prepay US$285 million of the
US$482 million owed to us, pursuant to the terms of our financing

QUALCOMM Incorporated ( is a leader in
developing and delivering innovative digital wireless
communications products and services based on the Company's CDMA
digital technology. Headquartered in San Diego, California,
QUALCOMM is included in the S&P 500 Index and traded on The
Nasdaq Stock Market(R) under the ticker symbol QCOM.

CONTACT:  QUALCOMM Incorporated (Investor Relations)
          Julie Cunningham, Sr. Vice President
          Tel: +1-858-658-4224
          Fax: +1-858-651-9303


EDELNOR: S&P Upgrades Ratings to 'CC', CreditWatch Positive
Standard & Poor's Ratings Services raised Thursday its local and
foreign corporate credit ratings on Chilean electricity provider
Empresa El,ctrica del Norte Grande S.A (Edelnor) to double-'C'
from 'D', following the termination of the Chapter 11
reorganization process. The ratings were also placed on
CreditWatch with positive implications.

The termination of the plan of reorganization, that replaced
unsecured bank debt due in 2005 and 2006 for US$217 million new
debt certificates due in 2017 and a US$46 million shareholder
loan, implied a US$58 million reduction of Edelnor's debt to
US$282 million and a significant extension on the duration of its
financial obligations. In addition, as required by the
reorganization plan, on Nov. 5, Inversiones Mejillones S.A (owned
by Belgium's Tractebel S.A. and Chilean copper producer
Corporacion Nacional del Cobre de Chile) exercised a call option
over an 82.34% controlling equity stake in Edelnor, which was
held by the Chilean F.S. Inversiones.

"Standard & Poor's expects Edelnor's financial profile to benefit
from the higher credit quality of the new shareholders, the
relief of the lower debt levels and a potential merger with
Electroandina, a Chilean power generator controlled by the same
shareholders," said credit analyst Sergio Fuentes. "However,
Edelnor's ratings will remain on CreditWatch with positive
implications until the announcement of the new business plan
defined by the new owners," continued Mr. Fuentes.

Edelnor's financial performance weakened mainly as a result of
the loss of contracts, representing more than half of contracted
sales in 2001, coinciding with overcapacity, narrowing margins,
and dispatch restrictions in the Sistema Integrado del Norte
Grande (SING), Chile's second-largest electrical grid. Those
factors led to a 20% drop in revenues for the first half of 2002
compared to the same period of 2001.

Edelnor is a partially integrated utility engaged in the
generation, transmission, and sale of electric power in northern
Chile. Edelnor operates generating facilities with a capacity of
approximately 687MW and about 1056 km of transmission lines.

ANALYST:  Sergio Fuentes, Buenos Aires (54) 114-891-2131
          Marta Castelli, Buenos Aires (54) 114-891-2128

ENERSIS: Plans $525M Share Offering
Chilean electricity holding Enersis SA informed the Santiago
stock exchange that it has hired Deutsche Bank, Salomon Smith
Barney, and Santander Investment as lead managers to analyze the
Company's plans of offering shares in the market, reports Dow

Enersis is mulling a share offering of up to US$525 million in
local and international markets in the first half of 2003 as part
of an effort to raise fresh capital of US$1.5 billion.

According to a source from Enersis, the funds from the sale will
be used to reduce the Company's US$2.6-billion consolidated debt,
the source said.

"We are studying the market at the moment, to see if there is
enough third-party demand for these shares," the source

By Chilean law, Enersis' shareholders have preferential rights to
buy the shares before they can be sold to third parties.

A shareholders meeting to discuss the offering is planned for the
first quarter of 2003, the source added.

Enersis' 65% parent Endesa Spain would provide the remaining
US$975 million of the capital increase, by means of a debt-to-
equity capitalization of an older US$1.5 billion inter-company

According to an Enersis by-law, Endesa Spain would only be able
to capitalize an amount in line with its 65% ownership stake,
equivalent to some US$975 million, the source said.

"If the third-party demand for the shares is high, we will not
have to change our by-laws, which do not permit Endesa Spain to
own more than 65% of the Company's equity," the source said.

"Otherwise we will have to meet with our investors and banks to
see what is the best way forward," the source added.

Enersis also plans to sell US$700 million in assets as part of
the effort to cut debt.


AHMSA: Carries Out Nov. 7 Shareholders Assembly
Altos Hornos de M,xico's (Ahmsa) Nov. 7 shareholders assembly
noted the participation of 61.8% of the corporate capital of the
Company, Mexico City daily, el Economista, reported.

AHMSA said the resolutions of the assembly were to keep working
with creditors to find a viable long-term solution that would
guarantee the Company's survival.

Institutions, including Banamex, Inverlat, Bital, West.LB. and
Bancomer, saw only a public notary instead of the expected
assembly. As a result, the banks, according to sources, had
planned to meet Friday to study the possibility of suing
Gutierrez for having called an assembly despite his resignation.

Jorge Familiar, vice president of Stock Market Supervision of the
National Banking and Securities Commission (CNBV), said the
dispute over control of Ahmsa had now become a legal battle. He
said he was confident that the courts would act impartially and
follow the law to the letter. He said it was not the CNBV's role
to resolve these types of disputes.

During the shareholders assembly, the banks, which had previously
abandoned the negotiations, were invited to join the Company in
seeking a resolution to its debt problems.

Moreover, the actions of the Chairman of the Board to cancel the
previous assembly were approved and the majority approved the
Board reports and financial statements of the firm for the last
three years. The resignation of the commissioner was also
accepted and subsequently, his replacement, Ernesto Blackaller
Williamson, was named.

          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

HYLSAMEX: Galvak Earns 2002 National Quality Award
In a ceremony in the National Palace's Treasury Room in Mexico
City, Vicente Fox Quesada, President of Mexico, presented the
2002 NATIONAL QUALITY AWARD to GALVAK. The honor was received by
company CEO Luis Garza T, and Mr. Juan Manuel Rivera on behalf of
the workers.

Galvak, an instrumental part of Hylsamex, is a leader in coated
steel processing. Hylsamex, on the other hand, is ALFA's Steel

The National Quality Award is an honor established in 1985 by the
Federal government, with the aim of encouraging Mexican companies
to implement integral quality processes and to promote
productivity and efficiency in products, services and processes,
all with total quality as its cornerstone.

This award is conferred by the Ministry of Economy, which
conducts a comprehensive review of the activities undertaken by
the companies vying for the Award.

As a contender in the Large Enterprise category, GALVAK was
honored with the distinction by virtue of its solid customer
service structure, leadership, planning, human resources,
operations and community focus.

Other factors contributing to Galvak having earned the Award are
cutting-edge technology applied to its production and managerial
processes, an expansive distribution network in Mexico, and
facilities in Latin America.

In addition, the Award presented to Galvak reflects the existence
and development of a solid quality infrastructure, cemented on
its leadership and quality-oriented model.

This infrastructure underlies every company department and area,
which entails that every Galvak employee and worker is
wholeheartedly committed to quality.

The National Quality Award caps off a series of policies and
strategies put into effect by the company head office several
years ago. These efforts have translated in having been honored
with other leading quality distinctions, such as ISI-9002 and QS-
9000 certifications, the Nuevo LeĒn Quality Award, the Clean
Industry Certificate, the National Export Award, the White Flag
Company Certificate and the National Workplace Safety and
Sanitation Award.

IUSACELL: Fitch Downgrades Ratings to 'C', Rating Watch Negative
Fitch Ratings has downgraded the senior unsecured debt of Grupo
Iusacell, S.A. de C.V.'s (Holdco) to 'C' from 'CCC+' and the
senior unsecured debt of Grupo Iusacell Celular, S.A (Opco) to
'C' from 'B', collectively known as Iusacell, and placed the
ratings on Rating Watch Negative.

The rating action reflects the company's announced intention to
restructure its debt. The downgrade affects US$350 million senior
notes of holding company debt due July 2006 and US$150 million
senior notes of operating company debt due July 2004.

The company competes in the Mexican wireless telecommunications
market with 2.2 million subscribers and a 9.0% market share. The
company is a distant second to Telcel, which has a 77% market
share and over 19.4 million subscribers. Iusacell's competitive
position remains challenged given Telcel's nationwide network as
well as the expanded presence of Telefonica through its recent
acquisition of Pegaso.

The financial flexibility of the company remains low. Iusacell's
financial results continue to soften with declining year over
year growth rates and declines with the most recent interim
comparisons, and have been pressured by the slowdown in the
Mexican economy. The company continues to experience lower
traffic and lower average revenue per user (ARPUs). Slight
decreases in the higher margin postpaid subscriber base and the
higher percentage of postpaid subscribers to total subscribers,
albeit low, versus its competitors increase its exposure to
postpaid subscriber erosion.

Iusacell has implemented cost reduction measures, and introduced
innovative product offerings in an attempt to increase traffic
and improve results. In addition, lowered projected 2002 capital
expenditures by 49% from US$250 million to US$130 million to
boost cash flow availability; lower capital expenditures may
constrain the company's ability to maintain subscriber growth
levels amid growing competition.

The company faces no significant debt maturities until 2004. Cash
interest payments will increase substantially next year as pre-
funded interest payments on the 14.25%, US$350 million '06 notes
are exhausted by December 2002. The incremental cash interest
expense places an additional cash flow burden to meet the US$24.9
million of associated semiannual interest payments. In 2004, the
company faces approximately US$240 million of debt maturities,
which consists of the 10.0%, US$150 million '04 notes and US$90
million of a US$267 million syndicated bank loan.

Grupo Iusacell, S.A. de C.V. (Iusacell) is a holding company,
which controls several telecommunications assets in Mexico. The
company's primary asset is Grupo Iusacell Celular, S.A. de C.V.
Currently, the company is the second largest wireless operator in
Mexico with 2.2 million subscribers and has 90 million covered
POPs. Verizon Communications has managerial control of Iusacell
through its 39.4% interest, Vodafone PLC holds 34.5% and the
remaining 26.1% is held by the public.

CONTACT:  Fitch Ratings, Chicago
          Randy Alvarado, 312/368-3117
          Daniel R. Kastholm, CFA, 312/368-2070
          Fitch Ratings, Monterrey
          Victor Villareal +011 5281 8335-7239
          Media Relations, New York
          James Jockle, 212/908-0547

UNEFON: Shares Soar Without Explanation
Shares in Mexican wireless telephone operator Unefon on Thursday
mysteriously soared 87.5% or MXN1.4, to MXN3 per share on slim
volume of 19,400 shares, including one trade of 10,800 shares and
several smaller ones, reports Reuters.

Traders couldn't find any explanation for the sudden increase in
the stock's value.

The Company issued a statement saying that "no relevant event has
been released that could explain this behavior." A company
official told Reuters that Unefon was not purchasing its own

Unefon is currently locked in a legal battle with Nortel Networks
after defaulting on US$350 million it owes the Canadian telephone
equipment company. The Company has total liabilities of around
US$600 million.

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

Robert Ford of Merrill Lynch urged 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.
Merrill Lynch recommended that its clients sell Elektra stocks
and its recent 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's debts.

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


NICARAGUAN BANKS: Three Firms Compete For Sale's Management
The Nicaraguan government received three competing offers for a
contract to sell the assets of four banks it has controlled since
2000 and 2001, Business News Americas reports, citing local daily
La Prensa.

The offers came from Oklahoma-based First Financial Network,
Price Waterhouse Coopers and Operadora IBCE. According to the
local daily, First Financial Network had the highest bid and
Operadora IBCE the lowest.

The central bank, which is expected to announce the winner on
November 14, will evaluate the bids with a preference for
quality, rather than cost, central bank administrative manager
Edward Zeledon said. The winner will have five months to sell the
assets, with the possibility of a one-month extension.

The four taken-over banks are Banco Intercontinental, Banco del
Cafe, Banco Mercantil and el Banco Nicaraguense de Industria y
Comerc. The assets on the block are valued at NIO5.74 billion.

T R I N I D A D   &   T O B A G O

BWIA: Finance Minister Insists On Government's Loyalty
Trinidad and Tobago Finance Minister Ken Valley said the
government intends to develop Piarco as an international hub in
South America, proving the country's commitment to regional
airlines, BWIA and LIAT.

According to Valley, the two airlines will have crucial roles in
the Piarco plan.

A report from the Trinidad Guardian related the events in a mock
Budget debate at St Mary's College, Port-of-Spain, where Valley
revealed to students his opinion that BWIA will not go into

He also explained to them that under a receivership, if that
became necessary, the receivers would sell the airline and the
new owners get to restructure it. The new owners would not have
to shoulder the airline's old liabilities.

Panelist David Abdulah of the Oilfields Workers' Trade Union said
the plight of BWIA only proves that privatization does not work.

He shares the same opinion with Prime Minister Patrick Manning
for the creation of a single regional airline. He cited the
American Airlines was able to get discounted items because it is
larger, adding that a bigger regional airline would have these
benefits, too.

However, Valley argued that there is no perfect solution to
BWIA's situation, as even a large airline like American Airline
had to lay off hundreds of employees in its time of trouble.

CONTACT:  British West Indies Airways
          Phone: + 868 627 2942
          Home Page:
          Conrad Aleong, President and CEO (Trinidad)
          Beatrix Carrington, VP Marketing and Sales (Barbados)
          Paul Schutz, CFO (Trinidad)

BWIA: Presents Plan to Prime Minister
BWIA finally gained an audience with the Prime Minister of
Trinidad and Tobago after completing a draft of their plan to
save the airline.

The meeting, held in the Ministry of Finance Offices at the Twin
Towers in Port-of-Spain was attended by Prime Minister Patrick
Manning, BWIA Chief Executive Officer Conrad Aleong, and Trade
and Industry Minister Ken Valley, reports The Trinidad Guardian.

The decision of the Cabinet would determine whether the
government would provide BWIA with financial assistance.

Earlier, the government said that it would not provide BWIA the
bail-out fund of US$13 million the carrier requested unless it
sees the shareholders, executives and employees make sacrifices
to save the airline.

BWIA had finalized the plans even as it is yet to sign a formal
agreement with the unions. CATTU, a union representing BWIA
employees had agreed to some concessions bringing BWIA closer to
its savings goals.


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 Oona G. Oyangoren, Editors.

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

This material is copyrighted and any commercial use, resale or
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