/raid1/www/Hosts/bankrupt/TCRLA_Public/021209.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, December 9, 2002, Vol. 3, Issue 243

                           Headlines

A R G E N T I N A

ARGENTINE UTILITIES: Rate Hikes Fail to Restore Balance
METRORED: Projects it Will Break Even In 2004

* S&P Names Global Bond Markets' Weakest Links, Default Rates
* Argentine President Rejects CenBank Head's Resignation


B E R M U D A

ANDERSEN: Insurer Asks Court To Approve Plan With Creditors
ANNUITY & LIFE: Charles J. Piven Announces Class Action Lawsuit
ANNUITY & LIFE: Milberg Weiss Announces Class Action Lawsuit
GLOBAL CROSSING: To Face Angry Bondholders in Court Next Week
MRM: Reports Increased Loss In Filing

TYCO INTERNATIONAL: Names George W. Buckley Director - PR
TYCO INTERNATIONAL: Denies Report of Talks With IRS


B R A Z I L

ACESITA: Seeks Approval For Debenture Issue
BESC: Court Upholds Sale Injunction
ELETROPAULO METROPOLITANA: Amends JP Morgan Syndicated Loan
ELETROPAULO METROPOLITANA: Moves Exchange Offer Deadline
LIGHT: Union Stages Indefinite Strike On Contract Dispute

PARANAPANEMA: Local Currency Devaluation Leads to Losses
USIMINAS: Increases Domestic Sales
USIMINAS: Voices Displeasure at Import Monitoring's End

* Brazil May Receive Approval On US$3B IMF Loan


C H I L E

AES GENER: Hunts For Investment Partners For Two Projects


C O L O M B I A

SEVEN SEAS: Granted Cure Period Extension

* Colombia Gets Approval To Seek Loans


M E X I C O

EXCELSIOR: New Owner Vows To Restore Financial Health


V E N E Z U E L A

IMPSAT FIBER: To Invest $20M In Venezuelan Project

     -  -  -  -  -  -  -  -

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

ARGENTINE UTILITIES: Rate Hikes Fail to Restore Balance
-------------------------------------------------------
In an attempt to relieve some of the financial pressures imposed
on Argentine utilities by the pesification and freeze of tariffs
in January 2002, on Tuesday, the Argentine Government issued
decree 2437/2002 mandating temporary tariff increases for gas and
electric utilities.

Although this act shows the government's willingness to find
solutions for the sector, the magnitude of the rate increases
does not offset the negative impact of the devaluation of the
Argentine peso in 2002 (to ArP3.6:US$1 from ArP1:US$1 in December
2001) nor the domestic inflation in the period (123% year-to-
date, as of October 2002). As a result, this measure does not
seem to be enough to allow utilities to continue investing to
preserve the service quality set in the original concession
contracts.

The recent decree establishes differential rate increases per
customer category. For gas distributors, those oscillate around
7% for residential users, and go up to 15%-20% for industrial
customers. Gas transportation rates would go up 7% for the
northern part of the country and 10% for the southern region. For
electric utilities, increases average around 10%. The decree does
not incorporate any reference to further tariff increases and
establishes that the current rate hike will be taken into account
for the contract renegotiation.

It is difficult to ascertain the final impact on cash generation
at this point since the effect of the increase depends on the
specific customer mix of each of the companies. However, given
that a large portion of the maintenance costs of these entities
is tied to the dollar and so is their financial debt, most likely
the increase will not be enough to solve the mismatch between the
now peso-denominated revenues and their foreign-currency costs.
As mentioned in prior reports, the credit quality of Argentine
utilities suffered significantly this year and, as long as
concession contracts are not renegotiated and a definite tariff
mechanism is established, cash flow generation will remain
uncertain and continue to deteriorate as a result of the effects
of the devaluation, economic recession, and inflationary
pressures. In this context, the restructuring of utilities' debt
continues to be delayed.

Additionally, political haggling could influence the fate of the
decree. There have been some interpretations that the decree
might go against the principle of no indexation set by the
Economic Emergency Law No. 25.561, making it possible that its
dispositions be contested by either consumer groups or Congress.

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


METRORED: Projects it Will Break Even In 2004
---------------------------------------------
MetroRed Telecom, a corporate communications provider, now
expects to reach equilibrium in 2004 as it completed negotiations
to obtain unspecified additional funding from its investors for
its Mexican and Brazilian operations, reported Business News
Americas.

Speculation abounds that one of the investors could be from
Brazil.  The board of fixed line operator Brasil Telecom approved
in August the acquisition of a 19.9% stake of MetroRed Brazil.

Simultaneously, MetroRed announced a reshuffling of directors at
both operations. Former MetroRed Argentina general manager
Horacio Ramirez will head Brazil, while former senior VP of legal
and corporate development at MetroRed Telecom Group, Carlos de La
Garza, will head the Mexican operation.

As for its bankrupt Argentine unit, creditors agreed to sell the
assets at a December 6 auction for a minimum price of US$9
million. Companies expected to have an interest in the auction
are Argentine corporate communications providers Datco, Iplan and
Techtel as well as US-based holding SkyOnline subsidiary Netizen
and Argentina's Dolphin investment fund. Local press also
revealed that Argentine communications group Grupo Macri is also
interested in bidding.

CONTACT:  METRORED TELECOMUNICACIONES
          Paseo Col>n 746
          Piso 4 (C1063ACU)
          Buenos Aires
          Argentina
          Phone: (5411) 4876-7700
          Fax: (5411) 4876-7767
          Home Page:  metrored@metrored.com.ar


* S&P Names Global Bond Markets' Weakest Links, Default Rates
-------------------------------------------------------------
Standard & Poor's identified Thursday 57 of the weakest-rated
global issuers, representing US$40 billion in rated bonds. This
is an increase of one issuer and US$8 billion in rated bonds from
one month ago. These weakest-rated issuers have Standard & Poor's
credit rating designations of 'CCC' or lower and are either on
CreditWatch with negative implications or have a negative
outlook. This group represents the lowest category before
default.

Standard & Poor's CreditWatch indicates the potential direction
of a credit rating change, dependent on identifiable events and
short-term trends, and is typically resolved within 90 days. A
rating outlook indicates the potential direction of a credit
rating change within six months to two years.

Globally, default rates, driven by Argentine defaults and
continuing weak credit conditions in Europe, have surpassed last
year's investment-grade ratio of 0.24% and will rival 2001's
revised speculative-grade rate of 8.94% (see Chart 1 and Table
1). Estimates for U.S. default rates this year have been revised.
The downward revised forecast for the U.S. speculative-grade
default rate is 7.0%-7.5% versus 2001's 9.77%. The U.S.
investment-grade default rate, already at 0.50%, has surpassed
2001's 0.40%. Entering 2003, global default rates are expected to
decelerate slowly.

Ended Nov. 30, 2002, the rolling 12-month U.S. speculative-grade
default rate fell to 7.84% from the previous month's rate of
8.38% (see Table 1, Default Rates). This rate hit a record high
in July 1991 at 12.40%. The 12-month rolling EU speculative-grade
default rate fell slightly to 12.95%, down from October's 13.19%
rate. Due to limited population size, comparisons to previous
highs are invalid for the EU. The EU rolling 12-month investment-
grade default rate rose to 0.40% from the previous month's 0.27%.
Conversely, the U.S. investment-grade default rate increased to
0.55%, up from the previous month's 0.45%, matching its previous
record set in July 2001.

A concentration of issuer weakness exists in the
telecommunications and media & entertainment sectors, together
representing 42.1% of the weakest issuer list (see Table 2).
These top two areas of weakness maintained their relative
position in the list, as did high technology, capital goods, and
retail/restaurants, an additional 22.8% of the list. The country
distribution is predominantly in the U.S., accounting for 86% of
issuers.

Table 1
Default Rate (%)

                           U.S.    EU    Global
Year-to-Date
     Investment-grade     0.50    0.40    0.44
     Speculative-grade    6.70   12.77    8.58

12 Month Rolling
(through Nov. 30, 2002)
     Investment-grade     0.55    0.54    0.49
     Speculative-grade    7.84   12.95   10.03

2001
     Investment-grade     0.40    0.00    0.24
     Speculative-grade    9.72    6.92    8.94

2000
     Investment-grade     0.15    0.16    0.16
     Speculative-grade    6.98    1.77    5.70

The U.S. default rate includes issuers incorporated in U.S. tax
havens, e.g., Bermuda and Cayman Islands. Year-to-date and 12-
month rolling data subject to revision.

Source: Standard & Poor's Risk Solutions CreditPror.


Table 2
Subsector Distribution of Weakest Issuers (Dec. 4, 2002)

    Subsector                   Distribution (%)
Telecommunications                  24.6
Media & Entertainment               17.5
High Technology                      8.8
Capital Goods                        7.0
Retail/Restaurants                   7.0
Automotive                           5.3
Health Care                          5.3
Oil & Gas Exploration & Production   5.3
Utility                              5.3
Consumer Products                    3.5
Finance Co.                          3.5
Forest Products & Building Materials 1.8
Homebuilders/Real Estate Co.         1.8
Insurance                            1.8
Metals, Mining & Steel               1.8

Source: Standard & Poor's Global Fixed Income Research.


Table 3
On CreditWatch Negative (Dec. 4, 2002)

Subsector            Country       Issuer                 ICR
Automotive            U.S.  Venture Holdings Co. LLC      CCC
Capital Goods       Mexico  Empresas ICA Sociedad
                             Controladora S.A. de C.V.    CCC
Consumer Products     U.S.  REV Holdings, Inc.            CCC-
High Technology       U.S.  Cherokee International LLC    CCC-
Insurance             U.S. Acceptance Insurance Cos. Inc. CC
Media & Entertainment U.S.  American Skiing Inc.          CCC
Media & Entertainment U.S.  Key3Media Group Inc.          CCC-
Media & Entertainment U.S.  Panavision Inc.               CCC
Media & Entertainment U.S.  Sports Club Co. Inc. (The)    CCC
Media & Entertainment U.S.  Ziff Davis Media Inc.         CCC-
Oil & Gas Exploration
& Production         U.S.  Southwest Royalties Inc.     CCC-
Telecommunications    U.S.  Allegiance Telecom Inc.       CCC
Telecommunications    U.S.  American Cellular Corp.       CCC-
Telecommunications    U.S.  Focal Communications Corp.    CC
Telecommunications  Germany iesy Hessen GmbH              CC
Telecommunications    U.S.  iPCS Wireless Inc./iPCS Inc.
                             (AirGate PCS, Inc.)          CCC-
Telecommunications    U.S. Leap Wireless International Inc. CC
Telecommunications    U.S. Poland Communications Inc./
                            UPC Polska Inc. (United
                            Globalcom Inc.)               CCC
Telecommunications    U.S.  Qwest Communications
                             International Inc.           CC
Telecommunications    U.S.  SBA Communications Corp.      CCC
Utility               U.K.  British Energy PLC            CC
Utility               U.S.  NRG Northeast Generating LLC
                             (Xcel Energy Inc.)            CC
Utility               U.S.  PG&E Gas Transmission-Northwest
                             (PG&E Corp.)                 CCC

Acceptance Insurance Cos. Inc., Focal Communications Corp., Qwest
Communications International Inc., SBA Communications Corp.,
British
Energy PLC, and PG&E Gas Transmission-Northwest have been added
to the lists since the Nov. 7, 2002 commentary. Key3Media Group
Inc. has moved from having a negative outlook to CreditWatch
Negative since the Nov. 7, 2002 commentary.

Source: Standard & Poor's Global Fixed Income Research.



Table 4
Outlook Negative (Dec. 4, 2002)

   Subsector         Country     Issuer                   ICR
Automotive             U.S. Holley Performance
                             Products Inc.                CCC
Automotive             U.S. Special Devices, Inc.         CCC-
Capital Goods          U.S. HCC Industries Inc.           CCC
Capital Goods          U.S. High Voltage Engineering Corp. CCC
Capital Goods          U.S. Superior Telecom Inc.         CCC
Consumer Products      U.S. Delta Mills, Inc.             CCC
Finance Co.            U.S. Aames Financial Corp.         CCC-
Finance Co.            U.S. HomeGold Financial, Inc.      CCC-
Forest Products
& Building Materials  U.S. BGF Industries Inc.           CCC-
Health Care            U.S. Hudson Respiratory Care Inc.  CCC
Health Care            U.S. La Petite Academy Inc.        CCC
Health Care            U.S. Rural/Metro Corp.             CCC
High Technology        U.S. Aavid Thermal
                             Technologies Inc.            CCC
High Technology        U.S. Elgar Holdings Inc.           CC
High Technology        U.S. Hynix Semiconductor
                             Manufacturing America Inc.
                             (Hynix Semiconductor Inc.)   CC
High Technology        U.K. Marconi PLC                   CC
Homebuilders/
Real Estate       Argentina  Alto Palermo S.A.          CC
Media & Entertainment  U.S. American Lawyer Media
                             Holdings Inc.                CCC
Media & Entertainment  U.S. Granite Broadcasting Corp.    CCC
Media & Entertainment Canada Imax Corp.                   CCC
Media & Entertainment  U.S. Jones Media Networks Ltd.     CCC
Media & Entertainment  U.S. ShoLodge Inc.                 CCC
Metals, Mining & Steel U.S. Coeur D'Alene Mines Corp.     CCC
Oil & Gas Exploration
& Production      Bermuda    Northern Offshore Ltd.     CC
Oil & Gas Exploration
& Production      Argentina  Pecom Energia S.A.         CCC
Retail/Restaurants    U.S. Avado Brands Inc.              CC
Retail/Restaurants    U.S. Mrs. Fields Original
                             Cookies Inc.                 CCC
Retail/Restaurants    U.S. Roma Restaurant
                             Holdings Inc.                CCC-
Retail/Restaurants    U.S. Wickes Inc.                    CCC
Telecommunications    U.S. Choice One Communications Inc. CCC-
Telecommunications    U.S. Level 3 Communications, Inc.   CCC
Telecommunications    U.S. Northland Cable Television Inc. CCC
Telecommunications    U.S. Pac-West Telecomm, Inc.        CC
Telecommunications    U.S. US Unwired Inc.                CCC

Coeur D'Alene Mines Corp. and Pecom Energia S.A. have been added
to the lists since the Nov. 7, 2002 commentary. Pac-West
Telecomm, Inc. has moved to a negative outlook from CreditWatch
Negative since the Nov. 7, 2002 commentary.

Source: Standard & Poor's Global Fixed Income Research.

ANALYST: Diane Vazza, New York (1) 212-438-2760


* Argentine President Rejects CenBank Head's Resignation
--------------------------------------------------------
President Eduardo Duhalde of Argentina would not accept the
resignation tendered by central bank head Aldo Pignanelli,
reports Bloomberg, citing Senator Oscar Lamberto of the Peronist
Party.  For the second time, Pignanelli filed for resignation
after clashing with the country's finance minister, Roberto
Lavagna in the past months.

Pignanelli, who would be the fourth central bank chief to resign
in 20 moths, criticized the way Lavagna handled negotiations with
the International Monetary Fund.  Pignanelli carped at the
government for failing to pay the US$805 million payment due to
the World Bank last month, saying it would have sped up talks
with the IMF for a new loan.

According to the report, the misunderstanding between Pignanelli
and Lavagna may hinder the country's chances of obtaining a loan
from the IMF. The lender has been adamant it its stand on the
administration's respect for the independence of the central
bank.

Argentina, which was unsuccessfully negotiating with the IMF for
the past several months, was having difficulty satisfying the
IMF's demands.

The lifting of the bank withdrawal restriction was reportedly
another cause for dispute between Pignanelli and Lavagna.
Pignanelli said the finance minister did not understand the
problems of the nation's banks.

This week, the government allowed access to frozen savings and
checking accounts, following an earlier lifting of restrictions.
Pignanelli said he is against further loosening of the bank
freeze, imposed last December. His comment angered Lavagna who
said that such decisions are his to make.

Meanwhile, analysts say that Pignanelli submitted his resignation
because of pressures by Lavagna to print more money to help fuel
an economic recovery.

"The government wants Pignanelli to put the printing presses to
work," said Jose Luis Espert, an economist who heads his economic
research organization. "They want to speed up economic activity
before elections in April."

Scott Grannis, of Western Asset Management Co. in Pasadena,
California, said, "What little credibility the central bank has
will be lost if he goes", on the issue of Pignanelli's
resignation.



=============
B E R M U D A
=============

ANDERSEN: Insurer Asks Court To Approve Plan With Creditors
-----------------------------------------------------------
Professional Services Insurance Co. Ltd., a captive insurer owned
by defunct accounting firm Arthur Andersen LLP, seeks approval
from the Bermuda Supreme Court to a "scheme of arrangement" with
its creditors, according to a BestWire report.

The captive also scheduled to meet with the creditors January 3
in the Hamilton, Bermuda law offices of Conyers, Dill & Pearman,
the captive's representative law firm. Ross Webber, a spokesman
for the law firm, confirmed the meeting but declined to comment
further, except to say that the scheme of arrangement "is
solvent."

Professional Services got mired in a legal dispute with a defunct
Arizona investment fund that sought US$217 million from the
captive to cover accounting problems related to work done by two
Arthur Andersen accountants.

The Baptist Foundation of Arizona, which lost US$570 million
belonging to about 13,000 investors, filed an accounting-
malpractice lawsuit seeking US$150 million in compensatory
damages plus punitive damages. It went before Judge Edward Burke
in Maricopa County Superior Court in Arizona.

Originally, Andersen and the foundation had come to an agreement
whereby Professional Services would pay the US$217 million. But
that arrangement fell through when the captive claimed it
couldn't produce the funds. At that point, and with the backing
of the state attorney general, the foundation's liquidation trust
restarted its malpractice suit against Andersen.

The Arizona State Board of Accountancy had issued an
administrative subpoena seeking information from Andersen to
determine exactly what financial transactions did or did not take
place between Andersen and its captive insurer, which had been
set up in 1991. The board said its action was prompted by news
reports that Professional Services backed out of the original
payment agreement with the foundation because Andersen failed to
make a scheduled US$100 million funding transaction to the
captive.  The new settlement, calling for the same US$217 million
as the original, was accepted by the judge and the plaintiff.


ANNUITY & LIFE: Charles J. Piven Announces Class Action Lawsuit
---------------------------------------------------------------
Law Offices Of Charles J. Piven, P.A. announced Thursday that a
securities class action has been commenced on behalf of
shareholders who purchased, converted, exchanged or otherwise
acquired the common stock of Annuity and Life Re (Holdings), Ltd.
(NYSE:ANR) between February 12, 2001 and November 19, 2002,
inclusive (the "Class Period").

The case is pending in the United States District Court for the
District of Connecticut against defendant Annuity and Life Re
(Holdings), Ltd. and against Frederick S. Hammer, Lawrence S.
Doyle and John F. Burke.

The action charges that defendants violated federal securities
laws by issuing a series of materially false and misleading
statements including false financial information to the market
throughout the Class Period which statements had the effect of
artificially inflating the market price of the Company's
securities and required the Company to restate its financial
results for years 2000, 2001 and the first and second quarters of
2002.

No class has yet been certified in the above action. Until a
class is certified, you are not represented by counsel unless you
retain one. If you are a member of the Class, you may move the
court no later than February 3, 2003 to serve as a lead plaintiff
for the Class. In order to serve as a lead plaintiff, you must
meet certain legal requirements. To be a member of the class you
need not take any action at this time, and you may retain counsel
of your choice.

CONTACT:   Charles J. Piven
           LAW OFFICES OF CHARLES J. PIVEN, P.A., Baltimore
           The World Trade Center-Baltimore
           401 East Pratt Street, Suite 2525
           Baltimore, Maryland 21202
           (410) 986-0036
           hoffman@pivenlaw.com


ANNUITY & LIFE: Milberg Weiss Announces Class Action Lawsuit
------------------------------------------------------------
The law firm of Milberg Weiss Bershad Hynes & Lerach LLP
announced that a class action lawsuit was filed on December 3,
2002, on behalf of purchasers of the securities of Annuity and
Life Re (Holdings), Ltd. ("Annuity and Life" or the "Company")
(NYSE:ANR) between February 12, 2001 and November 19, 2002,
inclusive. A copy of the complaint filed in this action is
available from the Court, or can be viewed on Milberg Weiss' Web
site at: http://www.milberg.com/cases/annuityandlife/

The action is pending in the United States District Court,
District of Connecticut, located at 450 Main Street, Hartford,
Connecticut 06103 against defendants Annuity and Life, Frederick
S. Hammer, Lawrence S. Doyle and John F. Burke.

The Complaint alleges that defendants violated Sections 10(b) and
20(a) of the Securities Exchange Act of 1934, and Rule 10b-5
promulgated thereunder, by issuing a series of material
misrepresentations to the market between February 12, 2001 and
November 19, 2002, thereby artificially inflating the price of
Annuity and Life securities. Throughout the Class Period, as
alleged in the complaint, defendants issued numerous statements
and filed quarterly and annual reports with the SEC which
described the Company's increasing revenues and financial
performance. As alleged in the complaint, these statements were
materially false and misleading because they failed to disclose
and/or misrepresented the following adverse facts, among others:
(i) that the Company had failed to properly account for embedded
derivatives contained in certain of its annuity reinsurance
contracts in 2001; (ii) that, since at least 2001, the Company
had understated a portion of its liabilities and expenses; (iii)
that the Company lacked adequate internal controls and was
therefore unable to ascertain the true financial condition of the
Company; and (iv) that as a result, the values of the Company's
balance sheet and financial results were materially overstated at
all relevant times.

On November 19, 2002, the last day of the Class Period, Annuity
and Life announced that it would restate its financial results
for years 2000, 2001 and the first and second quarters of 2002,
the period ending June 30, 2002. As detailed in the announcement,
the restatement was necessary because the Company had failed to
properly account for embedded derivatives contained in certain of
its annuity reinsurance contracts in 2001, and, that since at
least 2001, the Company had understated a portion of its
liabilities and expenses. Following this disclosure, shares of
Annuity and Life fell as much as 44%, culminating a 91% decline
in the price of the Company's common stock in the prior twelve
months.

If you bought the securities of Annuity and Life between February
12, 2001 and November 19, 2002, you may, no later than February
3, 2003, request that the Court appoint you as lead plaintiff. A
lead plaintiff is a representative party that acts on behalf of
other class members in directing the litigation. In order to be
appointed lead plaintiff, the Court must determine that the class
member's claim is typical of the claims of other class members,
and that the class member will adequately represent the class.
Under certain circumstances, one or more class members may
together serve as "lead plaintiff." Your ability to share in any
recovery is not, however, affected by the decision whether or not
to serve as a lead plaintiff. You may retain Milberg Weiss
Bershad Hynes & Lerach LLP, or other counsel of your choice, to
serve as your counsel in this action.

CONTACT:  Steven G. Schulman or Samuel H. Rudman
          MILBERG WEISS BERSHAD HYNES & LERACH LLP, New York
          One Pennsylvania Plaza, 49th fl.
          New York, N.Y. 10119-0165
          Phone number: 800/320-5081
          E-mail: AnnuityandLifecase@milbergNY.com
          Web site: www.milberg.com


GLOBAL CROSSING: To Face Angry Bondholders in Court Next Week
-------------------------------------------------------------
A number of Global Crossing bondholders are set to present their
case at a trial set for December 12, adding to the delay in the
Company's bankruptcy reorganization.

These bondholders claim that they could have obtained more money
for their investment had the Company treated its 80 investor
classes as separate entities, rather than lumping them all
together, according to a report from Reuters.

Global Crossing, which as more than US$22 billion in assets, was
sold to two Asian firms in August, after filing for bankruptcy
protection in January this year.

Hong Kong's Hutchison Whampoa Ltd and Singapore Technologies
Telemedia Pte committed to invest a total of US$500 million in
cash in exchange for a 61.5 percent stake in Global Crossing.

The disgruntled bondholders claim that they deserve a larger
share from the Asian firms' investment.

The proposed reorganization plan provides for these bondholders
to receive three cents for each dollar they invested.

However, the bondholders said that the reorganization should be
bifurcated, meaning the asset sale to the Asian companies could
be approved, but the division of those assets among creditors
should be renegotiated, said the report.

Peter Wolfson of Sonnenschein Nath & Rosenthal, who represents
the bondholders, said that Global Crossing North America (GCNA)
would have received a larger share of the pie if it values each
unit separately.

The bondholders demand a full analysis of GCNA's assets, so they
themselves can value the unit and the money owed to it, said
Wolson.

Global Crossing North America was formed after Global Crossing
bought New York-based Frontier Corp three years ago. Part of the
Company was then sold to Citizens Communications Co., for about
US$3.4 billion.

The report quoted Wolfson saying the sale to Citizens is a
particular bone of contention, Wolfson said, because Global
Crossing took the proceeds and used them to pay off its banks,
rather than giving it back to GCNA, adding that that alone would
satisfy the bondholders's claims.

GCNA has about US$500 million worth of bonds, of which, US$188
million were due to the objecting bodholders.

Global Crossing, its creditors and bankers had met in a court
hearing last Wednesday, but no settlement was reached.

At the hearing, Wolfson said that the Company had given them a
version of the asset analysis, but the print was so small, it was
virtually impossible to read.

Global Crossing argued that the bondholders' objection was not
really about the reorganization plan, but about a "series of
miscalculations by purchasers of distressed securities." It said
the amount the group had recovered under the plan was reasonable.

CONTACT:  GLOBAL CROSSING
          Press:
          Becky Yeamans, +1-974-410-5857,
          Email: Rebecca.Yeamans@globalcrossing.com

          Tisha Kresler, +1-973-410-8666
          Email: Tisha.Kresler@globalcrossing.com

          Analysts/Investors:
          Ken Simril, +1-310-385-5200
          Email: investors@globalcrossing.com


MRM: Reports Increased Loss In Filing
-------------------------------------
Bermudian insurance company Mutual Risk Management posted losses
of US$109.2 million for this year in a US regulatory filing.

The Royal Gazette reports that the Company's loss had increased
by US$10 million from last year's loss of US$99.2 million. The
Company also restated its fourth quarter loss to US$122.7
million, compared to a net loss of US$113 million reported in
April.

The huge losses resulted in the Company's delisting from the New
York Stock Exchange. It had also triggered mass resignation by
its executives and directors and numerous lawsuits filed by
disgruntled clients and investors. Its two companies, Legion and
Villanova were put into rehabilitation.

The Company's new chief David Ezekiel hopes that they would
obtain a favorable outcome in its talks with state regulators,
which have taken over Legion and Villanova.

MRM contends that the two companies were solvent, and that MRM
would have a chance at recovery if they could recover the Legion
and Villanova receivables. However, state regulators had
petitioned for the liquidation of the legion companies and MRM
had been fighting to save them. The filing also shows that some
of MRM's top executives had considerably large pays and benefits
last year.

The report indicated that then-CEO Robert Mulderig had a salary
of US$552,985, up from US$537,985 the previous year. Former
President John Kessock, received US$545,000. Executive vice-
president Richard Turner got a salary of $338,000 in 2001 while
ex-CFO Andrew Cook was paid $268,480.

The filing shows that the Company's that the Company's
"conditions and events" raised "substantial doubt about the
Company's ability to continue as a going concern."

However, MRM has plans of restructuring its units into a new
company, IAS Park, keeping only the profitable ones. The report
indicated that the move would please creditors and senior debt
holders would become significant shareholders in the new company.
The creditors are expected to vote on whether they agree to the
scheme or not early next year.

CONTACT:  MUTUAL RISK MANAGEMENT INC.
          P.O. Box HM 2064          
          44 Church Street
          Hamilton  HM HX
          Bermuda
          Tel: (800) 772-0849 or (441) 295-5688
          Homepage: http://www.legioninsurance.com
          Contacts:
          Angus H. Ayliffe, Chief Financial Officer
          Fran Tucker, Investor Relations

          Legion Insurance Company (In Rehabilitation)
          Villanova Insurance Company (In Rehabilitation)
          Legion Indemnity Company
          One Logan Square
          Suite 1400
          Philadelphia, PA  19103
          Tel:   215.979.7879
          Fax:  215.963.1205
          Contacts:
          Joseph M. Boyle, Acting President
          Paul Forbes, Senior Vice President - Underwriting
          Andrew Walsh, General Counsel
          Steve Zielinski, Senior Vice President - Claims
          Gregg Frederick, Senior Vice President - Reinsurance


TYCO INTERNATIONAL: Names George W. Buckley Director - PR
---------------------------------------------------------
Tyco International Ltd. (NYSE: TYC, BSX: TYC, LSE: TYI) announced
Thursday that George W. Buckley, Chairman and Chief Executive
Officer of Brunswick Corporation (NYSE: BC), the world's largest
manufacturer of recreational boats and marine engines, has been
appointed to the Company's Board of Directors. Mr. Buckley will
fill the seat vacated by Joshua Berman, who has resigned.

Mr. Berman, who joined the Tyco Board in 1967, is the third Tyco
director to resign following the Board's decision on September
12, 2002 that, following the appointment of Ed Breen as the new
Chairman and Chief Executive Officer, the Board should consist of
all new directors.

Tyco Chairman and Chief Executive Officer Ed Breen said:  "I
would like to thank Josh Berman for his many years of service to
Tyco.  His wise counsel has been invaluable to Tyco over the
years as the Company has grown from a small manufacturing
business to one of the world's great diversified corporations.
All of us at Tyco wish him well."

Mr. Breen continued: "I believe that George Buckley will make
many significant contributions to the future development of Tyco.  
He is a distinguished business leader with broad understanding of
the challenges facing a global company, and he will bring a
valuable perspective to the Board."

Mr. Berman said:  "I believe it is time to participate in the
transition to new leadership on the Board.  Having served thirty-
five years as a director, I have witnessed the efforts of
hundreds of thousands of dedicated employees in building
businesses with worldwide leadership positions.  As great as
these achievements have been, I am confident that, with the
foundation that has been laid and the new executive management
team that has come on board, Tyco's best days have yet to come."

Mr. Buckley said: "Tyco is a Company with solid businesses and a
first- rate management team.  Ed Breen is assembling an
outstanding Board, and I look forward to serving with him and the
other Directors as we help the Company fulfill its great
potential."

The nomination of Mr. Buckley to the Tyco Board was previously
announced on September 12, 2002.  Mr. Buckley is the Chairman and
CEO of Brunswick Corporation, the world's largest manufacturer of
recreational boats and marine engines.  It is also a major
manufacturer of fitness, bowling and billiards equipment.  
Formerly serving as the Chief Technology Officer and President of
two divisions throughout his career at Emerson Electric Company
from 1993 to 1997, Mr. Buckley joined Brunswick in 1997 as
President-Mercury Marine Group and has held the role of Chairman
and Chief Executive Officer for over two years.  Mr. Buckley
holds a B.S. in electrical and electronic engineering from the
University of Huddersfield and received a Ph.D. in engineering
from the University of Southampton in 1977.

ABOUT TYCO INTERNATIONAL LTD.

Tyco International Ltd. is a diversified manufacturing and
service company.  Tyco is the world's largest manufacturer and
servicer of electrical and electronic components; the world's
largest designer, manufacturer, installer and servicer of
undersea telecommunications systems; the world's largest
manufacturer, installer and provider of fire protection systems
and electronic security services and the world's largest
manufacturer of specialty valves.  Tyco also holds strong
leadership positions in medical device products, and plastics and
adhesives.  Tyco operates in more than 100 countries and had
fiscal 2002 revenues from continuing operations of approximately
$36 billion.

CONTACT:  Gary Holmes (Media)
          Tel +1-212-424-1314
                 or
          Kathy Manning (Investors)
          Tel +1-603-778-9700


TYCO INTERNATIONAL: Denies Report of Talks With IRS
---------------------------------------------------
Tyco International Ltd. renounces the report that appeared in
TheStreet.com web site indicating the Company is in talks with
the Internal Revenue Service concerning the Company's payment of
US$1.7 billion in back taxes.

The article said that Tyco may be required to pay that amount to
the IRS to settle an investigation focusing on allegations the
Company failed to pay sufficient taxes, citing a person familiar
with negotiations between the IRS and Tyco.

A report from Yahoo! Daily News revealed the article indicates  
the two parties have not agreed on the exact sum, though the IRS
is seeking more than US$1.7 million and may settle for a sum
close to that figure. Tyco would also agree to relocate in the
United States under any settlement with the IRS, according to the
said article.

Tyco Spokesman Walter Montgomery said, "There's absolutely no
foundation for this report, period."

But David Morrow, the editor-in-chief of TheStreet.com was quoted
by Yahoo! saying "we 100% stand behind" the story. Morrow added
that he expects the Company to deny the report.

CONTACT: TYCO INTERNATIONAL LTD.
         Corporate Office
         The Zurich Centre, Second Floor
         90 Pitts Bay Road
         Pembroke HM 08, Bermuda
         Phone: 441-292-8674
         Home Page: http://www.tyco.com
         Contacts:
         Gary Holmes (Media)
         Tel +1-212-424-1314
                 or
         Kathy Manning (Investors)
         Tel +1-603-778-9700



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

ACESITA: Seeks Approval For Debenture Issue
-------------------------------------------
Acesita is requesting the approval of federal securities watchdog
CVM to sell debentures in the local market, according to the
Thursday edition of Business News Americas.

The Brazilian stainless steel manufacturer aims to raise BRL800
million (US$222 million) to extend its debt profile, by selling a
total of 80,000 non-convertible debentures, each worth BRL10,000.
According to the report, the debentures, whose yield is to be
linked to the IGP-M general price index, would mature in four
years. The deadline for reservation of debt titles is on December
20, 2002.

The report indicated the next debenture issue would be used to
roll over upcoming maturities, which include BRL300 million in
debentures and US$237 million in import and export financing.

Acesita may also sell its stake in flat steelmaker CST, based in
Espirito Santo to refinance its BRL2.99 billion net debt, as
reported by the end of this year's third quarter. Acesita owns 37
percent of CST, owning 44 percent of CST's common shares and 33
percent of preferred stock.

The Company, which is the region's largest producer of stainless
steel and silicon steel products, is also among the most highly
leveraged companies traded in Brazil's Bovespa bourse.

CONTACT:  Acesita SA
          Registered Office
          Av Joao Pinheiro, 580
          Centro
          30130-180 Belo Horizonte - MG
          Brazil
          Tel  +55 31 3235-4211
          Fax  +55 31 3235-4300
          Web  http://www.acesita.com.br
          Contacts:
          Valmir Marques Camilo, Chairman
          Bruno Le Forestier, Vice Chairman   


BESC: Court Upholds Sale Injunction
-----------------------------------
Brazil's Supreme Federal Court rejected an appeal by the federal
government to remove an injunction suspending the sale of the
state bank of Santa Catarina, reports Dow Jones.

Banco do Estado de Santa Catarina (Besc), which has been tagged
with a minimum bid price of BRL521 million, won't go on the
auction block December 16 as planned.

The injunction, which was requested by the state of Santa
Catarina, was granted earlier this month on the grounds of
differing interests on public finances between the federal and
state governments.  Santa Catarina says BRL1.5 billion was spent
on cleaning up the bank's accounts, but its minimum sale price is
about a third of the amount invested by the state. This would
mean Santa Catarina would be left with a debt of about BRL1
billion.


ELETROPAULO METROPOLITANA: Amends JP Morgan Syndicated Loan
-----------------------------------------------------------
Eletropaulo informed the market that it signed, effective Friday
29th November, definitive documentation related to the amendment
of the JP Morgan syndicated loan. The company concluded the
negotiations to roll over the US$191 million facility for 24
months, with 85% of the loan converted into R$ and the balance
remaining in US$.

"The sign[ing] of this agreement marks another significant
milestone in the process of re-scheduling the Company's debt
facilities to better align with its cash flows", said CEO Steven
Clancy. " The next step in this process will be the Exchange
Offer for the Commercial Paper due on 9th December. In order for
the Company to maintain positive liquidity and avoid default in
the short and medium term, it is vital that we receive a very
high level of acceptance of this "Offer."

CONTACT:  ELETROPAULO METROPOLITANA
          Avenida Alfredo Egidio de Souza Aranha 100-B,
          13 andar 04726-270 San Paulo
          Brazil
          Phone: +55-11-548-9461, +55 11 5696 3595
          Fax: +55-11-546-1933
          URL: http://www.eletropaulo.com.br
          Contacts:
          Luiz D. Travesso, Chairman and President
          Orestes Gonzalves Jr., VP Finance/Investor Relations


ELETROPAULO METROPOLITANA: Moves Exchange Offer Deadline
--------------------------------------------------------
Eletropaulo Metropolitana, a unit of US-based AES Corp., extended
until December 11 the deadline to complete its exchange offer for
a US$100-million third tranche of euro commercial papers, reports
Business News Americas.

The Company, which distributes power to 5 million people in the
Brazilian state of Sao Paulo, is reported to have made three
alternative proposals for extending the debt, all of which would
pay about 15% of the principal up front and reschedule the
remaining 85% to be paid back through 2003 and 2004.

Eletropaulo would not reveal how many holders of the commercial
papers have accepted the offer. Holders have already rejected one
proposal to renegotiate this tranche of commercial papers.

"For the company to reach a position with sufficient liquidity
and allay the risk of non-payment in the short and medium term, a
high level of adhesion to this offer is fundamentally important,"
Eletropaulo president Steven Clancy said in a statement.

Eletropaulo paid the US$120 million first tranche of euro
commercial papers in full in late August, and the second tranche
of US$30 million on September 5. Eletropaulo "is extending the
deadline because it hasn't persuaded creditors in its favor,"
said Luiz Fernando Pedrinha, who helps manage about BRL200
million (US$53.3mn) in stocks and other assets at Banif Primus
Asset management. "It shows the company doesn't have money to pay
the debt off."

Winning more time to pay is critical to Eletropaulo's bid to
survive a cash crunch caused by a 38% plunge in Brazil's currency
against the dollar this year, which drove up cost of making
payments on about US$1 billion in foreign currency debt.


LIGHT: Union Stages Indefinite Strike On Contract Dispute
---------------------------------------------------------
Unionized workers at the Brazilian power distributor, Light
failed to reach an agreement with the Rio de Janeiro-based
utility over the terms of a new collective contract, resulting to
an indefinite strike lodged by the union early Wednesday morning,
reports Business News Americas.

The electric power workers' union Sintergia, whose existing
collective contract expired November 30, is seeking for a 10.2%
pay increase and has asked Light to introduce in the latest
contract a job stability clause. According to its spokesperson,
Urbano do Vale Coelho, Sintergia is even willing to acquiesce to
a 5% pay rise provided that the clause be included in the
contract.

In a statement, Light said that after the last round of talks
hosted by a district labor court on December 3, it has agreed to
a 5% pay hike. However, it said it would not be able to guarantee
jobs.  The meeting ended without an agreement and no date has
been set for new talks, the Company said.

CONTACT:  LIGHT SERVICOS DE ELETRICIDADE S.A.
          Avenida Marechal Floriano, 168
          20080-002 Rio de Janeiro, Brazil
          Phone: +55-21-2211-2794
          Fax:   +55-21-2211-2993
          Home Page: http://www.lightrio.com.br
          Contact:
          Bo Gosta Kallstrand, Chairman
          Michel Gaillard, President and CEO
          Joel Nicolas, Executive Director, Operation
          Paulo Roberto Ribeiro Pinto, Executive Director,
                                 Investor Relations and CFO


PARANAPANEMA: Local Currency Devaluation Leads to Losses
--------------------------------------------------------
Brazilian nonferrous mining and metals group Paranapanema plunged
into the red in the third quarter of the year, due to the
weakening value of the local currency against the dollar.

According to a report by Business News Americas, the Company
registered a consolidated net loss of BRL184 million for the
third quarter 2002 against a profit of BRL40 million in same-
period 2001 and attributed this to exchange rate fluctuations
that negatively impacted costs as well as debt servicing charges.
Ebitda for the first nine months of 2002 totaled BRL172 million,
23% lower than the figure reported in the same period last year.
At the end of September 2002, consolidated debt stood at US$489
million.

Catarina Pedrosa, a mining analyst at BBV investment bank, said
market analysts do not cover the Paranapanema group because of
its low liquidity.


USIMINAS: Increases Domestic Sales
----------------------------------
Brazil-based flat steel maker Usiminas showed its commitment to
insure steel supplies to local clients by increasing domestic
sales, reports Business News Americas, citing a statement by the
Company.

Last month, 66.2 percent out of 718,000 tons of flat products
went to the local market. This was the second highest monthly
domestic sales figure, behind that of October.  For this year's
first 11 months, 2.9Mt out of 3.7Mt of products were sold in the
local market. Usiminas, which expects to sell 3.2Mt to the
domestic market this year, forecasts sales to reach 4.1Mt by
year-end.

The Company's share of the domestic market increased to 38
percent from 36 percent in the first half. These figures, which
exclude market shares of the Company's subsidiary Cosipa, are
expected to reach 40 percent by year-end. Including Cosipa in the
count, the market share for Usiminas is seen to reach up to 62.6
percent this year.  Meanwhile, the Company may get rid of its
autoparts and components division Usiparts, according to
AESetorial news service, citing the Company's president Rinaldo
Campos Soares.

Soares said, "This segment is not in our core business, so we
could seek a partner to take complete control over this sector."

CONTACT:  Usinas Siderurgicas de Minas Gerais Usiminas PN A
          Rua Prof. Jose Vieira de
          Mendonca, 3011
          Engenheiro Nogueira
          31310-260 Belo Horizonte - MG
          Brazil
          Tel  +55 31 3499-8000
          Fax  +55 31 3499-8475
          Web  http://www.usiminas.com.br
          Contact:
          Jose Augusto Muller de Oliveira Gomes, Chairman


USIMINAS: Voices Displeasure at Import Monitoring's End
-------------------------------------------------------
Rinaldo Campos Soares, president of Brazilian flat steelmaker
Usiminas criticized the government's decision to end mandatory
monitoring of steel imports, Business News Americas reported on
Thursday. Soares said that the analysis by country's foreign
trade chamber Camex was incorrect, and was made at the spur of
the moment without leaving space for evaluating trends.

Monitoring began in March after Washington imposed safeguards on
imports to protect US steelmakers and to stop the entry of
surplus teel floating on international markets.  Brazil's Secex
foreign trade department ended monitoring due to steel consumer's
fears of scarcity of the input and rising prices of steel. The
monitoring had halted automatic licensing of all steel imports
except for 10 items.

Soares contends that there will not be a shortage of steel
products on the local market, saying that their company is
committed to the domestic market and that the figures from
Usiminas prove this. Soares added that he does not fear the
monitoring halt, saying that Usiminas' products are highly
competitive.

Usiminas is controlled by Japan-based Nippon Steel and local
investors.


* Brazil May Receive Approval On US$3B IMF Loan
-----------------------------------------------
The executive board of the International Monetary Fund is set to
discuss on December 19 a second loan installment to Brazil, said
IMF spokesman Thomas Dawson. According to the Associated Press,
the IMF may approve the US$3 billion loan installment to Brazil
in two weeks.

The country had received a record US$30 billion in aid last
September as the lender tried to cushion the country from the
economic troubles in its neighbor Argentina. The value of
Brazil's currency against the dollar had fallen by 38 percent
this year, partly because of concerns that the new president
would trigger the country to default on its debts.

Dawson said that the IMF was satisfied with Inacio Lula da
Silva's promise to follow a prudent economic policy, which would
allow the country to meet debt obligations. The IMF was impressed
by the narrowing of interest rate spreads between Brazil's
official debt and other benchmark debt such as U.S. government
securities, and a stabilization and some strengthening in
Brazil's currency.

However, investors are starting to be concerned a worsening
inflation would jeopardize the country's economic recovery.
Brazil is likely to experience a double-digit rise in consumer
prices this year for the first time since 1995, reflecting in
part the large devaluation of the currency, which drives up
prices.



=========
C H I L E
=========

AES GENER: Hunts For Investment Partners For Two Projects
---------------------------------------------------------
Chilean generator AES Gener is now on the lookout for investment
partners for its Nueva Renca and Totihue thermoelectric projects,
reports Business News Americas.

According to a spokesperson, the Company is currently in talks
with various third parties interested in farming into the 379MW
Nueva Renca plant in Santiago and the 740MW Totihue
thermoelectric project in Region VI.  The spokesperson admitted
that the projects could be hampered by environmental permit
problems.

"Totihue especially is a problem because there are many people in
the area who are opposed to the project," the spokesperson said,
adding that Region VI environmental authority Corema is expected
to give its decision by 1Q03.

The search for an investment partner is part of the AES Gener's
capital increase program. US-based AES Corporation, which owns
98.6% of AES Gener, is considering a capital increase that would
involve opening AES Gener to foreign investors and potential
partners in new projects.  In addition to partnering up on new
projects, AES Gener is looking to renegotiate some US$700 million
in debt, which expires in 2005-2006.



===============
C O L O M B I A
===============

SEVEN SEAS: Granted Cure Period Extension
-----------------------------------------
Seven Seas Petroleum Inc. (Amex: SEV) announced Thursday that in
connection with its continuing efforts to sell its producing
properties in Colombia, the Company has obtained an extension of
time to cure a potential default under its Note Purchase and Loan
Agreement with Chesapeake Energy Corporation until the close of
business on Monday, December 9, 2002.  This extension applies to
the Company's previously announced failure to make the $6,875,000
semiannual interest payment on its 12.5% $110 Million Senior
Subordinated Notes due November 15, 2002.

Seven Seas Petroleum Inc. is an independent oil and gas
exploration and production company operating in Colombia, South
America.

CONTACT:  Investor Relations
          Daniel Drum
          Tel+1-713-622-8218/
          Web site:  http://www.sevenseaspetro.com


* Colombia Gets Approval To Seek Loans
--------------------------------------
The government of Colombia may ask to borrow a total of US$3.15
billion from the World Bank and other lenders to fund to its
various programs, after receiving approval from the National
Council on Fiscal and Social Policy to obtain financing.

According to the Bloomberg News, the country would seek a US$1.4
billion loan from the World Bank to modernize the state
bureaucracy. It would also ask the Inter-American Development
Bank for a loan of US$1.25 billion as emergency funding to
promote macroeconomic stability and boost efficiency in social
spending and education.

Colombia's Finance Minister Roberto Junguito said that the
government had lined up commitments for US$3.5 billion from the
World Bank over the next three years, another US$3.5 billion from
the Andean Development Corporation over four years and US$2.8
billion from the Inter-American Development Bank over two years.

The report added that the International Monetary Fund had also
given the country tentative approval of a US$2 billion standby
credit for two years. Formal approval is expected by this month.

Juan Pablo Barney, a peso trader at Banco de Credito de Colombia
SA, said the approval had partly contributed to the rise in the
value of the local currency. The Colombian peso had risen to
COP2,783 to the dollar, posting an increase of 0.7 percent on
Thursday from its value at Wednesday's closing time. Barney added
that the progress in the debate in the congress on legislation to
slow government spending had helped in the rise of the peso.

Deputy Planning Director Alejandro Gaviria said the disbursement
of the credits would be contingent on passage in congress of the
government's package of deficit-cutting legislation, including a
bill to raise tax revenue, a bill to lower the retirement age and
boost pension contributions and a bill to cap government debt.

According to a report, the panel had altered a previous
authorization to contract US$450 million in external credits.
Initially, they had aimed for US$200 million through bond sales
and US$250 million as a syndicated loan, guaranteed by the Andean
Development Corp. However, concerns that the government may not
obtain a syndicated loan prompted the panel to decide that the
US$250 million may be achieved through bonds sales and commercial
bank loans.



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

EXCELSIOR: New Owner Vows To Restore Financial Health
-----------------------------------------------------
Miguel Aldana Ibarra, a 57-year-old businessman, denied reports
that he had Canadian and U.S. partners in a recently struck
US$150-million deal to buy Excelsior newspaper and most of its
assets.

"They are my partners in other business of the corporation," he
said. The money for the purchase is coming from bank loans and
other investors, he said.

Aldana agreed to buy the ailing newspaper and said in an
interview with The Associated Press that he intends to revive the
failing newspaper by paying its debts and investing in its
expansion and recovery. The paper owes US$70 million in taxes and
other debts.

The purchase of Excelsior by Aldana ends the 70-year ownership by
its employees.  According to the AP, the paper's employee
cooperative has struggled to unite since October 2000, when its
members ousted director Regino Diaz Redondo. The workers voted to
fire another cooperative leader two months later.

Once one of Mexico City's most respected and independent dailies,
Excelsior's troubles began in 1976 when the government of then-
President Luis Echeverria organized an internal coup within the
cooperative to silence its criticism.

Excelsior became a faithful supporter of the governing party, an
editorial line that continued until July 2000, when Vicente Fox
became the first opposition party candidate elected president.

CONTACT:  DIARIO EXCELSIOR (MEXICO)
          Ecuador 3650, Of. 804
          Ciudad  Santiago
          Zona Region Metropolitana
          Phone: 7787583
          Fax: 7791110, 2753169
          E-mail: juribe@lauca.usach.cl
          Contact:
          Sir Jorge Uribe Navarrete, Credited Correspondent



=================
V E N E Z U E L A
=================

IMPSAT FIBER: To Invest $20M In Venezuelan Project
--------------------------------------------------
Impsat Fiber Networks, Inc., a leading provider of fully
integrated broadband data, Internet and voice telecommunications
services in Latin America, will invest an estimated US$20 million
in a data center expected to start up in December at Caracas,
Venezeula.

According to El Nacional, the facility, which will offer a range
of services to corporations, as housing, hosting, storage utility
and others, is similar to the other facilities held by Impsat at
Argentina, Brazil, Colombia, Peru, Chile, and the US.

Impsat filed for Chapter 11 bankruptcy protection on June 11 this
year, declaring assets of US$337.1 million and liabilities of
US$1.33 billion as of the end of May.

In the first week of November, the Company announced that its
Disclosure Statement was approved by the United States Bankruptcy
Court for the Southern District of New York and that Judge Robert
Gerber authorized the Company to solicit votes on its Plan of
Reorganization under Chapter 11.  The Confirmation Hearing on the
Company's pre-negotiated Plan is scheduled for December 11, 2002.

The Disclosure Statement describes the proposed Plan originally
filed on September 4, 2002, which reflects the terms announced
earlier this year of the agreement in principle with the
Company's largest creditors and subsequently at the time of
filing for Chapter 11. The Official Committee of Unsecured
Creditors, which was elected by the US Trustee, has indicated its
support to the Company's Plan and is urging creditors to accept
it.

The Plan, which involves a restructuring of Impsat Fiber
Networks, Inc.'s indebtedness under its vendor financing
agreements, Guaranteed Senior Notes due 2003, Senior Notes due
2005 and Senior Notes 2008, contemplates the reduction in
Impsat's consolidated debt by approximately US$680 million.

After the restructuring is completed, Impsat's strengthened
capital structure will reinforce the Company's leadership in the
Latin American telecommunications market.

CONTACT:  IMPSAT Fiber Networks, Inc.
          Hector Alonso or Gonzalo Alende Serra
          54.11.5170.3700
          www.impsat.com

          HOULIHAN LOKEY HOWARD & ZUKIN CAPITAL
          John McKenna or Lily Chu
          212/497-4100

          CITIGATE DEWE ROGERSON INC.
          John McInerney or Robin Weinberg
          212/688-6840



               ***********


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
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is $575 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial subscription
or balance thereof are $25 each.  For subscription information,
contact Christopher Beard at 240/629-3300.


* * * End of Transmission * * *