/raid1/www/Hosts/bankrupt/TCRLA_Public/030821.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
Thursday, August 21, 2003, Vol. 4, Issue 165
Headlines
A R G E N T I N A
AGRONOMIA EL SALADO: Court Declares Bankruptcy
BANCO DE GALICIA: Knows Nothing of Unit's Latest Suspension
BANCO HIPOTECARIO: Moody's Issues Default Ratings
CLAXSON INTERACTIVE: Reports 2Q03 Financial Results
DIRECTV LA: First Motion To Extend Removal Period Approved
EMPRESA MONTE GRANDE: Receiver To File General Report Next Month
ETAP: Files "Concurso Preventivo" Motion
FM SPORT: Receiver Required To File General Report Today
FRACUA: Enters Bankruptcy
INGENIERO COPELLO: Court Assigns Receiver For Bankruptcy Process
INSTALACIONES: Individual Report Deadline Expires Today
LENTILS: Seeks Court's Nod To Undergo Reorganization
MEDICHECK: To Undergo Bankruptcy Process
MODO: Submits Motion For "Concurso Preventivo"
OMPACK: Verifications Will Be "Por Via Incidental"
MORDISCO: Receiver Verifying Bankruptcy Claims
RADIODIFUSORA PAMPEANA: Individual Reports Due Today
SHOWCENTER: Kicks Off Cramdown Process
SAN DIEGO: Receiver Must File Individual Report Today
* Crisis Persists for Argentina's Power Sector, Says Fitch
B E R M U D A
LORAL SPACE: Confirms Echostar Offer
B R A Z I L
AHOLD: CEO of Bompreco Unit Steps Down
BCP: Three Companies Expected To Submit Offer This Week
COPEL: Restores Financial Health After Signing New Cien Deal
EMBRATEL: Enhances Security Platform
SKY BRASIL: Outlook Revised to Positive; Ratings Affirmed
VARIG: CEO Quits; Committee of New VPs To Lead Airline
C H I L E
CHILECTRA: To Place $197M of Bonds in Two Separate Issues
C O L O M B I A
COLOMBIA TELECOMMUNICATIONS: Kicks Off Operations
SUDAMERIS COLOMBIA: Intesa Hands Over Stake To Dutch Group
D O M I N I C A N R E P U B L I C
EDENORTE/EDESUR: Under Investigation by the IADB
TRICOM: Upgrades Network With AFC's UniversalDSL Solution
M E X I C O
GRUPO IUSACELL: May Scale Back Workforce, Sources Say
HYLSAMEX: Continues To Make Efforts To Regain Financial Health
TV AZTECA: Struggles To Deal With Various Problems
U R U G U A Y
ANCAP: Electoral Court Schedules Referendum
GALICIA URUGUAY: Central Bank Extends Suspension to November 30
* Uruguay Welcomes New Chief Negotiator With IMF
- - - - - - - -
=================
A R G E N T I N A
=================
AGRONOMIA EL SALADO: Court Declares Bankruptcy
----------------------------------------------
Agronomia El Salado S.A., based in La Plata, was declared
bankrupt by the province's Civil and Commercial Tribunal, relates
local news source Infobae. The province's Court No. 20 holds
jurisdiction over the case.
The assigned receiver is Mr. Serafin Fernandez Gago, the report
adds, without mentioning the deadline for the verification of
credit claims.
CONTACT: Agronomia El Salado S.A.
Berro 675
Roque Perez
La Plata
Serafin Fernandez Gago
No. 1472
Calle 55
La Plata
BANCO DE GALICIA: Knows Nothing of Unit's Latest Suspension
------------------------------------------------------------
Banco de Galicia y Buenos Aires SA wasn't informed that the
suspension of its sister bank Banco Galicia Uruguay SA was
extended by the Uruguayan central bank to November 30, the
Argentine bank claimed in a filing to the Buenos Aires stock
exchange Tuesday.
According to Dow Jones, in its filing to the stock exchange, some
24 hours after the Uruguayan central bank's press release, Banco
Galicia said that it had "still not received formal notification"
of the news.
Banco de Galicia y Buenos Aires and Banco Galicia Uruguay are the
two main units in financial group Grupo Financiero Galicia SA.
CONTACT: GRUPO FINANCIERO GALICIA
Teniente General Juan D. Peron 456, Piso 3
1038 Buenos Aires, Argentina
Phone: (54 11) 4343 7528 / 9475
Web site: http://www.gfgsa.com
Contacts:
Eduardo J. Escasany, Chairman and CEO
Sergio Grinenco, CFO, Banco de Galicia y Buenos Aires
BANCO HIPOTECARIO: Moody's Issues Default Ratings
-------------------------------------------------
A total of US$1.2 billion of corporate bonds issued by Banco
Hipotecrio S.A. received default ratings from Moody's Latin
America Calificadora de Riesgo S.A. recently. The National
Securities Commission of Argentina describes the affected bonds
as "Programa de Obligaciones Negociables (antes era por US$2.000
millones)".
Moody's said that the `D' rating, which is assigned to issues
that are in payment default was based on the Company's finances
as of the end of March this year.
The concerned bonds are classified under "Program". However, its
maturity date and CUSIP was not indicated.
CLAXSON INTERACTIVE: Reports 2Q03 Financial Results
---------------------------------------------------
Net Income Was $2.0 Million ($0.11 Per Common Share) For The
Second Quarter Of 2003 And $7.7 Million ($0.41 Per Common Share)
For The Six-Month Period Ended June 30, 2003
Claxson Interactive Group Inc. (BULLETIN BOARD: XSON) ("Claxson"
or the "Company"), announced Tuesday financial results for the
three and six-month periods ended June 30, 2003.
Financial Results
Operating loss for the three-month period ended June 30, 2003 was
$1.0 million, reflecting a 25% decrease from an operating loss of
$1.4 million for the three-month period ended June 30, 2002.
Operating loss for the six-month period ending June 30, 2003 was
$1.2 million, compared to an operating loss of $3.1 million for
the six-month period ended June 30, 2002. The decrease in the
operating loss for the second quarter of 2003 is due to an 8.5%
increase in net revenues partially offset by a 6% increase in
operating expenses as compared to the same period in 2002.
The 2003 results include, as a result of the new agreement with
Playboy Enterprises, Inc., the consolidation of the operations of
Playboy TV Latin America & Iberia (PTVLA) into the operations of
its Pay TV division for financial reporting purposes.
Net revenues for the second quarter of 2003 were $19.7 million,
an 8.5% increase from net revenues of $18.2 million for the
second quarter of 2002. Net revenues for the six months ended
June 30, 2003 totaled $38.2 million compared to net revenues of
$37.4 million for the six months ended June 30, 2002. Net
revenues are affected by the Argentine and Chilean currency
variations and a decrease in the rates from DIRECTV(TM) Latin
America. Net revenues earned in Argentina, where Claxson has
significant operations, were 21% of total net revenues for both
the three months ended June 30, 2003 and 2002. For the six months
ended June 30, 2003, net revenues in Argentina were 20% of total
net revenues compared to 23% for the same period in 2002.
During the second quarter of 2003, the average exchange rate of
the Argentine peso as compared to the U.S. dollar increased 14%,
versus the same period in 2002. For the six-month period ended
June 30, 2003 the average devaluation in Argentina was 12%
compared to the same period in 2002.
"During this quarter we saw an increase in our net revenues as
compared to last year that together with lower operational costs
(excluding the impairment of goodwill), indicate that we continue
to move through an improvement path as a result of the
rationalization process we undertook last year," said Roberto
Vivo, Chairman and CEO. "In addition, the second quarter
represents the third quarter in a row in which we have seen
positive net income. We will continue to aggressively manage
costs and work to meet our sales objectives; hence we plan to
continue improving our financial position."
Subscriber-based fees for the three-month period ended June 30,
2003 totaled $9.3 million, representing approximately 47% of
total net revenues and a 15% increase from subscriber-based fees
of $8.1 million for the second quarter of 2002. The increase is
primarily attributed to the consolidation of PTVLA, partially
offset by devaluation of currencies in the region and the effect
of the renegotiation of our agreement with DIRECTV(TM) Latin
America, which reduced per subscriber rates and translated prices
to local currencies, in exchange for a two year extension in the
contract's maturity. Subscriber- based fees for the six months
ended June 30, 2003 totaled $19.1 million compared to subscriber-
based fees of $17.2 million for the six months ended June 30,
2002.
Advertising revenues for the three-month period ended June 30,
2003 were $8.9 million, representing approximately 45% of
Claxson's total net revenues and a 29% increase from advertising
revenues of $6.9 million for the second quarter of 2002.
Advertising revenues for the six months ended June 30, 2003
totaled $15.9 million compared to advertising revenues of $14.1
million for the six months ended June 30, 2002. The improvement
in advertising revenues is due primarily to increased revenues
from Chilevision, our broadcast TV station in Chile, as a result
of the efforts taken to improve its performance during 2002; and
due to a better pay TV advertising market in Argentina as
compared to 2002.
Production services revenues for the three-month period ended
June 30, 2003 were $0.6 million, which represented a 68% decrease
from $1.9 million for the second quarter of 2002. This decrease
was primarily due to the consolidation of PTVLA, as services
provided to PTVLA are now eliminated upon consolidation, and a
decrease in volumes handled by The Kitchen, Inc., Claxson's
Miami-based broadcast and dubbing facility, as a result of the
adverse economic situation in Latin America. Production services
revenues for the six months ended June 30, 2003 totaled $1.5
million compared to production services revenues of $3.4 million
for the six months ended June 30, 2002.
Other revenues for the three-month period ended June 30, 2003
were $0.9 million, which represented a 31% decrease from $1.3
million for the second quarter of 2002. This decrease is due to
the consolidation of PTVLA, as services provided to PTVLA are now
eliminated upon consolidation, as well as the discontinuation of
services provided to Playboy TV International. Other revenues for
the six months ended June 30, 2003 totaled $1.6 million compared
to other revenues of $2.7 million for the six months ended June
30, 2002.
Operating expenses for the three months ended June 30, 2003 were
$20.8 million, an increase of 6% from the $19.6 million in the
second quarter of 2002, due primarily to an impairment charge as
a result of the assessment of the carrying value of Claxson's
goodwill in accordance with the Statement of Financial Accounting
Standards No. 142 and the consolidation of PTVLA, partially
offset by the decrease in amortization of our broadcast licenses
in Chile. Operating expenses for the six months ended June 30,
2003 decreased to $39.4 million compared to operating expenses of
$40.6 million for the six months ended June 30, 2002.
Interest expense for the three-month period ended June 30, 2003
was $0.6 million compared to $3.3 million for the second quarter
of 2002. This decrease is attributable to the Exchange Offer and
consent solicitation as all future interest on the new Claxson
Notes is reflected as part of the balance of the debt. As
interest on these Notes is paid, the debt will be reduced
proportionately. Interest expense for the six months ended June
30, 2003 totaled $1.3 million compared to interest expense of
$6.8 million for the six months ended June 30, 2002.
Net income for the three months ended June 30, 2003 was $2.0
million ($0.11 per common share), including a $2.6 million
foreign exchange gain as a result of the appreciation in value of
the Argentine Peso during the second quarter of 2003. The second
quarter net income represented a turnaround of $23.9 million over
the $21.9 million net loss for the same period in 2002. For the
six-month period ended June 30, 2003 net income was $7.7 million,
which represents a turnaround of $164.6 million over the $156.9
million net loss for the same six months of 2002.
As of June 30, 2003, Claxson had a balance of cash and cash
equivalents of $4.3 million and $89.4 million in debt, which
includes $21.0 million in future interest payments.
Second Quarter Highlights
During the first quarter of 2003, Claxson's largest client,
DIRECTV(TM) Latin America, filed for protection under Chapter 11.
At the filing date, Claxson's accounts receivable from DIRECTV
totaled approximately $4.5 million. On July 11, 2003, Claxson
signed an agreement with an affiliate of Hughes Electronic
Corporation, pursuant to which Claxson assigned to a Hughes
affiliate Claxson's pre-bankruptcy petition claims for the
amounts owed to Claxson by DIRECTV(TM) Latin America. On July 22,
2003, Claxson received the payment from Hughes Electronic
Corporation's affiliate relating to such assignment of claims.
On May 17, 2002, based on its long term programming strategy, the
Company sold its 50% participation in the animation channel
Locomotion, a joint venture with The Hearst Corporation, to Corus
Entertainment Inc. (NYSE:CJR) , a Canadian media and
entertainment company. As part of such transaction, Claxson
continued providing affiliate sales services, program origination
and post-production services to Locomotion. As of August 1, 2003
Claxson no longer provides sales services to Locomotion. The
remaining contract for program origination and post-production
services will not be renewed by Locomotion upon expiration on
December 31, 2003. All of these services will be transferred to
an affiliate of one of the Locomotion partners.
Following last year's signing of a new agreement with Playboy
Enterprises, Inc. (NYSE:PLA) , and consistent with a new
alignment of the Company's Pay TV Division properties by genre,
Claxson announced the launch of an aggressive plan to position
itself as the leading provider of adult content in Iberoamerica.
Based on its current adult offering including Playboy TV, Venus
and recently launched Spice Clips, Claxson will offer content to
meet the demand of Latin audiences in order to increase its
distribution and develop additional revenue streams such as
syndication, new PPV channels, broadband content, event
production and talent management.
Claxson announced the launch of a new online chat service created
by its Broadband and Internet Division for America Online Latin
America, Inc. (NASDAQ:AOLA) , one of the leading interactive
services providers in Latin America. Claxson will program and
host a web-based chat service for AOL Mexico and AOL Argentina
that combines the brand and users of AOL and www.elsitio.com
(Claxson's Internet portal) in Mexico and Argentina. This
agreement underscores Claxson's commitment to the new phase of
its broadband and Internet business model by offering technology
development and support services to external clients through its
ESDC Digital Platform. Claxson will also oversee the chat
service's operations, maintenance and hosting.
Claxson announced the launch in the United States of its pay TV
channel Infinito, a 24-hour Hispanic channel dedicated
exclusively to the unexplained mysteries of the world, through
Time Warner Cable of New York's digital package "DTV en Espanol."
This agreement, together with HTV's current presence in the US
Hispanic market, increases Claxson's offerings in the US to two
channels evidencing the Company's expansion of its presence in
this growing segment through distribution deals with major
satellite and cable providers offering packages to Spanish-
speaking viewers in the US.
About Claxson
Claxson (BULLETIN BOARD: XSON.OB) is a multimedia company
providing branded entertainment content targeted to Spanish and
Portuguese speakers around the world. Claxson has a portfolio of
popular entertainment brands that are distributed over multiple
platforms through its assets in pay television, broadcast
television, radio and the Internet. Claxson was formed on
September 21, 2001 in a merger transaction, which combined El
Sitio, Inc. and other media assets contributed by funds
affiliated with Hicks, Muse, Tate & Furst Inc. and members of the
Cisneros Group of Companies. Headquartered in Buenos Aires,
Argentina, and Miami Beach, Florida, Claxson has a presence in
all key Ibero-American countries, including without limitation,
Argentina, Mexico, Chile, Brazil, Spain, Portugal and the United
States.
To see financial statements: http://bankrupt.com/misc/CLAXSON.htm
CONTACT: Claxson Interactive Group, Inc.
Media:
Alfredo Richard, SVP, Communications
Phone: +1-305-894-3588,
Investors:
Jose Antonio Ituarte, Chief Financial Officer,
Phone: +011-5411-4339-3700
Home Page: http://www.claxson.com
DIRECTV LA: First Motion To Extend Removal Period Approved
----------------------------------------------------------
Judge Walsh extended the time period within which the Debtor may
file notices of removal of related proceedings under Rule 9027(a)
of the Federal Rules of Bankruptcy Procedure to and including the
latest to occur of:
(a) September 15, 2003, or
(b) 30 days after entry of an order terminating the automatic
stay with respect to the particular action sought to be
removed. (DirecTV Latin America Bankruptcy News, Issue No.
11; Bankruptcy Creditors' Service, Inc., 609/392-0900)
EMPRESA MONTE GRANDE: Receiver To File General Report Next Month
----------------------------------------------------------------
Dr. Sandra Monica Rizzo, receiver for Argentine company Empresa
Monte Grande S.A. (L¡nea 501), will file the general report
regarding the Company's reorganization on September 5, 2003. The
Company received permission to reorganize from the Civil and
Commercial Tribunal of Lomas de Zamora.
According to a local source, the claims verification process was
completed in May this year. The necessary individual reports were
passed to the court on June 27. The general report will then
follow next month.
CONTACT: Dr. Sandra M¢nica Rizzo
Phone: 4299-4555
Email: smrizzo@cponline.org.ar
ETAP: Files "Concurso Preventivo" Motion
----------------------------------------
Argentine news portal Infobae reports that Empresarios Transporte
Automotor de Pasajeros (ETAP) S.A. filed a motion for "Concurso
Preventivo" recently. The Company is seeking court permission to
undergo reorganization.
However, the report did not indicate whether the court is likely
to approve the petition or not. In the event of approval, a
receiver will be assigned to the Company. His duties include the
verification of claims and the preparation of the necessary
reports.
CONTACT: Empresarios Transporte Automotor de Pasajeros S.A.
Nazarre 3138
Buenos Aires
FM SPORT: Receiver Required To File General Report Today
--------------------------------------------------------
The receiver for FM Sport Business S.A., located in Buenos Aires,
is required to submit its general report, as directed by Article
39 of Argentina's Insolvency and Bankruptcy Law, today, August
21, 2003. The general report is prepared after the individual
reports are submitted to the court.
As reported earlier, the informative assembly for the Company's
reorganization will be held on February 2 next year.
Buenos Aires Court No. 1 and Clerk No. 1 handle the Company's
case. Earlier reports, however, did not indicate the name of the
receiver the court assigned to the Company.
CONTACT: FM Sport Business S.A.
Onofre Betbeder 1252
Buenos Aires
Ruben Hugo Faure
Rivadavia 1227
Buenos Aires
FRACUA: Enters Bankruptcy
-------------------------
Buenos Aires Court No. 11 declared local company, Fracua S.A.,
bankrupt, according to a report from Argentine news portal
Infobae. The city's Clerk No.21 assists the court on the case,
the report adds.
Creditors are required to have their claims verified before
October 7 this year. The receiver, whose name was not indicated
in the report, is required to submit the individual reports on
November 18 this year. The general report must follow by February
2, 2004.
INGENIERO COPELLO: Court Assigns Receiver For Bankruptcy Process
----------------------------------------------------------------
Mr. Roberto Alfredo Mazzarella is designated receiver for the
bankruptcy of Buenos Aires-based company, Ingeniero Copello
S.A.C.I., relates Infobae. The bankruptcy case is under the
city's Court No. 20, with assistance from Clerk No. 39.
Infobae adds that the credit verifications process will end on
November 5. The court requires the receiver to prepare the
individual reports after that period and submit them on December
17. The general report is due for filing on March 1 next year.
CONTACT: Roberto Alfredo Mazzarella
Laprida 1411
Buenos Aires
INSTALACIONES: Individual Report Deadline Expires Today
-------------------------------------------------------
Maizel Arrate y Asociados, receiver for Salta-based company,
Instalaciones Especiales S.R.L., is required to submit the
individual reports for the Company's bankruptcy today, August 21.
These reports were prepared after the credit verification process
was completed.
The Civil and Commercial Tribunal of Salta declared the Company
bankrupt recently, according to an earlier report from local news
source Infobae. The province's Court No. 1 holds jurisdiction
over the case.
CONTACT: Instalaciones Especiales S.R.L.
Pable Aleman 2873
Salta
Maizel Arrate y Asociados
Los Mandarines 384
Salta
LENTILS: Seeks Court's Nod To Undergo Reorganization
----------------------------------------------------
Court No. 14 of Buenos Aires received a motion seeking permission
to undergo reorganization from local company, Lentils S.A.,
relates Argentine news source Infobae. The Company has submitted
its motion for "Concurso Preventivo" to the court.
In the meantime, the report did not say whether the petition,
which was filed voluntarily, is likely to be granted or denied.
CONTACT: Lentils S.A.
Calle 341
Buenos Aires
MEDICHECK: To Undergo Bankruptcy Process
----------------------------------------
Argentine company Medicheck S.A. enters bankruptcy with local
accountant Jorge Jewkes as receiver. The Company was recently
declared bankrupt by the city's Court No. 25.
According to a report from local news portal Infobae, the
deadline for the verification of credit claims is November
September 19 this year. The individual and general reports are
due for filing on November 3 and December 16, respectively.
CONTACT: Jorge Jewkes
Viamonte 1653
Buenos Aires
MODO: Submits Motion For "Concurso Preventivo"
----------------------------------------------
M.O.D.O. Sociedad Anonima de Transporte Automotor, which is
domiciled in Buenos Aires, seeks court permission to undergo
reorganization. A report by local news portal Infobae indicates
that the Company has filed its petition for "Concurso
Preventivo".
The city's Court No. 16 handles the case with assistance from
Clerk No. 32. Once the petition is approved, the court will
assign a receiver to oversee the reorganization process. Credit
claims will be verified to investigate the Company's debts.
CONTACT: M.O.D.O. Sociedad Anonima de Transporte Automotor
Ave. San Isidro 4812
Buenos Aires
OMPACK: Verifications Will Be "Por Via Incidental"
--------------------------------------------------
Verifications of credit claims for the bankruptcy of Argentina-
based company Ompack S.A. will be done "pro via incidental",
local news source Infobae indicates. Buenos Aires' Court No. 9
holds jurisdiction over the case, while Clerk No. 17 assists.
Infobae said that the court assigned Mr. Abraham Yalovetzky as
receiver for the case tasked with verifying creditors' claims.
The receiver's duties include the preparation of the individual
and general reports.
CONTACT: Abraham Yalovetzky
Lavalle 1567
Buenos Aires
MORDISCO: Receiver Verifying Bankruptcy Claims
----------------------------------------------
Raul Manuel Pereyra, receiver for Mordisco S.A., will verify
creditors' claims until October 8 this year. The verification is
done to establish the existence, nature and amount of the
Company's debts.
Infobae reports that the Company is recently declared bankrupt by
Buenos Aires' Court No. 22. The city's Clerk No. 44 aids the
court on the case.
The individual reports, which are to be prepared after the credit
verification is completed, must be submitted by November 19 this
year. The general report is due on February 1, 2004.
CONTACT: Raul Manuel Pereyra
Parana 467
Buenos Aires
RADIODIFUSORA PAMPEANA: Individual Reports Due Today
----------------------------------------------------
The receiver for Radiodifusora Papeana S.A. must file the
individual reports today, August 21. The reports are prepared
after the credit verification process was completed.
The Company was granted permission to undergo reorganization
after Buenos Aires' Court No. 1 approved its motion for "Concurso
Preventivo".
As previously reported, the general report is due for filing on
October 2, while informative assembly will be held on March 31
next year.
CONTACT: Mr. Hugo Adriano Zaragoza, receiver
Cordoba 1318,
Buenos Aires
SHOWCENTER: Kicks Off Cramdown Process
--------------------------------------
Argentina's entertainment center Showcenter, controlled by
WestSphere, Maccarone and a firm related to National Amusements,
will start a cramdown proceeding, since it has been unable to
reach a debt restructuring accord with the majority of its
creditors and the exclusivity period for the shareholders of the
firm expired in July.
Judge German Paez Castaneda, head of commercial court Nø18,
Secretariat 36, gave green light for the beginning of the
cramdown.
Showcenter accrues an estimated debt of some ARS200 million
(US$68.96 million). It started a formal restructuring proceeding
on March 2, 2001, and has not been able to agree with its
creditors on a repayment schedule.
Through the cramdown process, Showcenter's stocks may now be
acquired by creditors or third parties, who will compete with the
proposal of the current shareholders. The court has opened a
registry of investors interested in purchasing its share capital.
Three candidates have already been listed in this registry:
Entertainment Holding (a firm related to National Amusements), a
group of local businessmen led by Horacio Zandler and Carlos
Jarast and Miraly (a firm set up by businessmen from the
construction sector).
These candidates have time until November 6 to present the
necessary accords with Showcenter's creditors. Their proposal has
to be accepted by at least two thirds of regular creditors.
Showcenter opened its first center in Haedo (Western Greater
Buenos Aires) in June 1997, with an investment of US$ 300
million. The complex, a mega-shopping center with food and
entertainment facilities then owned by Maccarone and TyC, was
meant to revolutionize the entertainment business.
In March 1998, the group changed its strategy and started to look
for new partners to fund its planned investment in Vicente Lopez
(Northern Greater Buenos Aires) and Mendoza. In June 1998, the
firm acquired a lot in La Plata where it planned to build a new
center.
By July 1998, the Company needed a partner desperately. The
billing of Showcenter Haedo had fallen and its managers admitted
they had not been able to give form to the complex. In mid 1998,
the Company hired JP Morgan to sell part of its shares, in a move
to obtain funds for the openings in Vicente Lopez, Mendoza and La
Plata.
In February 1999, WestSphere paid US$45 million for 50% of the
Company. In November 1999, TyC sold its stake to Nicolas
Maccarone.
In December 1999, Showcenter finally inaugurated its new complex
in Vicente Lopez, with a US$60 million investment.
Hit by an important contraction of the Argentine economy and a
fall in consumption levels, in September 2000, Showcenter decided
to delay the investments in La Plata and Mendoza.
In March 2001, the Company started a formal restructuring
proceeding. Some months later, a firm owned by National
Amusements acquired a minority stake in the firm.
SAN DIEGO: Receiver Must File Individual Report Today
-----------------------------------------------------
The Civil and Commercial Tribunal of Las Lomas (San Luis)
requires the receiver of San Diego S.R.L. to file the individual
reports today. The receiver, Federico Gabriel Estrada, has
completed the verification of credit claims, where the nature,
amount, and existence of the Company's debts are established.
The Company is currently undergoing reorganization after Las
Lomas' Court No. 1 approved its petition for "Concurso
Preventivo". However, local sources did not indicate the deadline
for the filing of the general report.
CONTACT: Mr. Federico Gabriel Estrada
Lavalle 1416
San Luis Argentina
* Crisis Persists for Argentina's Power Sector, Says Fitch
----------------------------------------------------------
Argentina's new government was expected to stabilize the power
industry, support private-sector investment and allow for the
beginning of corporate debt restructurings. Instead, the crisis
continues, companies are struggling and issuers remain in
default, making 2003 a repeat of 2002, according to a new report
by Fitch Ratings.
'Today, as was the case last year, many of Argentina's leading
public-service providers are in default and openly question the
commercial viability of their enterprises in the absence of
sustainable, systemic sovereign reforms,' said Jason Todd,
director, Fitch Ratings. Efforts to negotiate revenue-recovery
mechanisms, e.g. tariff increases, have been shelved by the
Kirchner administration until a newly created commission
renegotiates contracts for the gas and electricity sectors,
possibly by Dec. 31, 2004. 'Prices of electricity and natural gas
in Argentina are the lowest in Latin America and well-below
global levels,' says Todd.
According to the new report, no material negotiations have
occurred since May 2002. Recent reports suggest tariff rates for
natural gas may be positively adjusted by an estimated 8%-10% by
the fourth quarter this year to help restart development of
natural gas reserve. However, other regulated sectors do not
anticipate any material adjustment until after December 2004.
'The inability to reach restructuring agreements, coupled with
the relatively light, unilateral, post-default debt service
schedules, is allowing companies to apply operating cash flow to
maintenance capital expenditures,' says Todd. 'Although this
focus on the operating rather than the financial side of their
business, is understandable given the sovereign crisis of the
last 18 months, it is likely that continued financial stress on
the public-service companies will result in the noticeable
deterioration in the quality of service standards.'
A copy of Fitch Ratings' special report, 'Argentine Regulated
Entities: Still No Light at the End of the Tunnel,' is available
on Fitch's web site at 'www.fitchratings.com'.
CONTACT: Jason Todd +1-312-368-3217, Chicago
Media Relations: James Jockle +1-212-908-0547, New York
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B E R M U D A
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LORAL SPACE: Confirms Echostar Offer
------------------------------------
Loral Space & Communications (OTCBB: LRLSQ) confirmed that, in
addition to reaching agreement with Intelsat on July 15, 2003 for
the sale of Loral's six North American satellites, Loral has
received an informal offer for those assets from EchoStar
Communications Corp., subject to due diligence. EchoStar also
has indicated an interest in acquiring the balance of Loral's FSS
fleet and its satellite manufacturing assets.
Consistent with the bidding procedures approved by the Bankruptcy
Court on August 18, 2003, Loral will evaluate any such bid it may
receive from EchoStar in accordance with the bidding procedures.
Bernard L. Schwartz said, "EchoStar's interest reconfirms the
value of the assets assembled by Loral over the years. We will
consider all bids received very carefully, noting that our
current plan is to emerge from the bankruptcy process with a
viable, ongoing satellite services and manufacturing business."
Loral Space & Communications is a satellite communications
company. It owns and operates a global fleet of
telecommunications satellites used by television and cable
networks to broadcast video entertainment programming, and by
communications service providers, resellers corporate and
government customers for broadband data transmission, Internet
services and other value-added communications services. Loral is
also a world-class leader in the design and manufacture of
satellites and satellite systems for commercial and government
applications including direct-to-home television, broadband
communications, wireless telephony, weather monitoring and air
traffic management.
CONTACT: Jeanette Clonan
John McCarthy
(212) 697-1105
===========
B R A Z I L
===========
AHOLD: CEO of Bompreco Unit Steps Down
--------------------------------------
Roberto Britto is quitting his post as Chief Executive Officer at
Brazil's Bompreco supermarkets chain, reports the Associated
Press.
Britto, who has held the post for only six months, will depart
Sept. 1 and will be replaced by Ronald van Solt, currently vice
president of planning and strategy.
Britto's resignation, the reason of which remains unknown, comes
as the sale of Bompreco by its Dutch parent Ahold NV draws near.
Meanwhile, the report also reveals that later in September, the
Dutch parent is expected to open offers for Bompreco from major
retailers such as France's Carrefour SA, Brazil's Companhia
Brasileira de Distribuicao SA, and Wal-Mart Stores Inc.
Ahold, which is mired in an accounting scandal, is selling its
assets in Brazil, as well as in Argentina, Paraguay and Peru, to
raise cash in order to pay down debts.
The other Brazilian assets that are due to be sold are Ahold's G.
Barbosa and Hipercard operations
Bompreco is the biggest retailer in Northeastern Brazil with 87
supermarkets and 28 hypermarkets. It registered sales of BRL3.34
billion (US$1.1 billion) last year.
BCP: Three Companies Expected To Submit Offer This Week
-------------------------------------------------------
Three Brazilian mobile holding companies are expected to make
offers for Sao Paulo-based operator BCP as early as this week,
Brazilian daily Valor Economico reports. The companies are
Telecom Italia Mobile (TIM), Telemar and Telecom Americas.
While fixed line operator Brasil Telecom is also known to have
studied the acquisition, there is no evidence that it will make
an offer.
Telecom Americas, a division of Mexico's America Movil, already
controls former BCP sister company BCP Nordeste, and said this
week it would launch PCS operations in Sao Paulo this September,
independently of its bid for BCP.
TIM has licenses for all 10 of Brazil's mobile operating regions
and launched its Sao Paulo PCS operation in October last year.
Rio de Janeiro-based Telemar, on the other hand, is Brazil's
largest fixed line operator. Acquiring BCP means that it would
expand its operations to include Sao Paulo, which is the
wealthiest state in the country.
BCP is presently controlled by its creditors after its parent
companies Bellsouth and Banco Safra defaulted on US$375 million
of debt.
CONTACT: BCP S.A.
Rua Fl>rida, 1970 4o andar
Sao Paulo - SP
Tel: 55 11 5509-6428
Fax: 55 11 5509-6257
Home Page: http://www.bcp.com.br
COPEL: Restores Financial Health After Signing New Cien Deal
------------------------------------------------------------
Parana state power company Copel was able to return to
profitability following a new power purchase agreement (PPA) with
Rio de Janiero-based transmission company Cien, reports Business
News Americas.
On Tuesday, Copel CFO Ronald Thadeu Ravedutti said in a statement
that the new agreement produced a net positive impact of BRL246
million (US$82mn today) on the Company's second quarter 2003
results.
Copel posted a net profit of BRL282 million in the second quarter
of 2003, compared to a net loss of BRL15 million in the first
quarter of the same year and a net loss of BRL53 million in the
second quarter of last year. This helped the Company to see net
profits of BRL266 million for the first half of 2003, compared to
a net profit of BRL88 million for the first half of last year.
The Company posted net revenues of BRL683 million in the second
quarter of the year, up from BRL618 million in the comparable
period of last year, and an operating profit of BRL144 million,
compared to an operating loss of BRL201 million in the second
quarter of 2002.
Business News Americas recalls that in January, Parana state
governor Roberto Requiao suspended payments on two contracts with
Cien, each for 400MW, costing some BRL750 million a year, because
Copel's new management team argued they were driving up the
Company's financial losses.
Now, the new contracts cut power volumes and payments in half,
switch the currency from US dollars to Brazilian reais, and lower
the duration to seven years from 20, Copel said. Power payments
to Cien in 2003 will be some BRL312 million, down 58% from last
year.
The contracts were backdated to January 1 this year and the two
parties have agreed a timetable for Copel to make payments
suspended since January, Copel said.
Cien is owned by Endesa Spain (NYSE: ELE) and its Chilean
generation subsidiary Endesa Chile (NYSE: EOC). It delivers power
through Argentine trader Cemsa, which is also controlled by
Endesa Spain.
CONTACT: Cia Paranaense de Energia COPEL
Rua Colonel Dulcidio, 800
Batel
80420-170 Curitibia - PR
Brazil
Phone: +55 41 322-3535
Fax +55 41 224-4312
Home Page: http://www.copel.com
Contacts:
Ary Queiroz, Chairman
EMBRATEL: Enhances Security Platform
------------------------------------
Embratel is upgrading its network security and Internet
management solution, Business Security, in order to meet the
security market requirements. All the companies that choose
Embratel to provide network security management services are now
offered the tools and the reliability of the CheckPoint New
Generation firewall platform. Formerly, Embratel was equipped
with the 4.1 version of Firewall CheckPoint, the latest version
available in the marketplace until that date. The novelty was
announced Tuesday (Aug. 19) during the 1st Chief Security Officer
National Meeting held in Sao Paulo by M¢dulo Security at Sofitel
Hotel (Rua Sena Madureira, 1.355 - Ibirapuera), from 9 am to 6
pm.
As of now, the facilities implemented at Embratel's Security
Network Operations Center (SNOC) will offer further protection
against real-time attacks, including application level
protection, attacks based on IP protocol and service denial;
capacity to capture, analyze and correlate data from other
security devices like intruder and anti-virus detectors; and
simplification of processes in implementation, consistency and
solution of conflicts regarding Firewall regulations.
In addition to the CheckPoint platform technological update,
Embratel is developing in partnership with ISS-Internet Security
Systems a new, more modern and interactive security portal
containing additional information, including real-time event
charts, X-Force security news regarding attacks and threats,
security policies implemented in firewalls, opening and follow-up
of Service Level Agreement - SLA calls and reports.
Thanks to Business Security Embratel enables its customers to
outsource completely their network security services, thus
reducing their staff maintenance costs and eliminating their
expenses with training, operation and procurement of hardware and
software. The product brings additional benefits like specialized
advisory service, remote management for maintenance and
alteration, and proactive monitoring. Furthermore, real-time
alarm is available to customers in case of distress, as well as
immediate response to accidents, remote access in case of circuit
interruption and on-line security reports.
The hardware and software required for Business Security and
supplied by Embratel are updated on a permanent basis. The entire
system is provided with full, around-the-clock support by the
Security Network Operations Center- SNOC, which is one of the six
centers of ISS international operations.
Embratel is the premium telecommunications provider in Brazil,
offering a wide range of telecommunication services, such as
advanced voice, high-speed data transmission, Internet, data
communication by satellite and corporate networks. The company is
national leader in data and Internet services, in a privileged
position to become the Latin American carrier with an all-
distance network. Embratel network has national coverage with
almost 17,500 miles of optic cables, representing around one
million miles of fiber optics.
CONTACT: EMBRATEL
Advertising, Press and Public Relations Department
Further information: (02121) 2121 7837 / 2121 6291
Fax: (02121) 2121 7791
Mid-West- Phone: (02161) 242-9058 / 2845 / 916-9188
Attention: Flavio Resende
E-mail: cmsocial@embratel.net.br
Embratel on the internet: www.embratel.com.br
SKY BRASIL: Outlook Revised to Positive; Ratings Affirmed
---------------------------------------------------------
Standard & Poor's Ratings Services revised Tuesday its outlook on
Sky Brasil Servi‡os Ltda. (Sky Brasil) to positive from negative.
The 'CCC+' local and foreign currency ratings were affirmed. As
of June 30, 2003, the company's total debt amounted to $442
million.
"The outlook revision reflects Sky Brasil's continuously
improving operating and financial performance despite a sluggish
macroeconomic environment in Brazil," said credit analyst Jean-
Pierre Cote Gil. "It also reflects the financial support of 36%
investor News Corp. Ltd. and the increasing relevance of the
region to News Corp.'s strategy, which could be further enhanced
in case of a consolidation of the Latin-American operations of
Sky and DirecTV."
The positive outlook reflects Standard & Poor's view that a
continued improvement in Sky Brasil's operating and financial
performance under a more positive macroeconomic scenario, coupled
with a successful resolution of the outstanding Senior Secured
Notes prior to maturity in August 2004, could trigger an upgrade
of the company's ratings. On the other hand, Standard & Poor's
would reconsider the positive outlook if the expected level of
shareholders' support for Sky Brasil's operations and debt
amortization requirements does not continue.
ANALYSTS: Jean-Pierre Cote Gil, Sao Paulo (55) 11-5501-8946
Milena Zaniboni, Sao Paulo (55) 11-5501-8945
Heather M Goodchild, New York (1) 212-438-7835
VARIG: CEO Quits; Committee of New VPs To Lead Airline
------------------------------------------------------
Brazil's flagship carrier, Viacao Aerea Rio Grandense SA (Varig),
announced Monday that Roberto Macedo is quitting his post as the
airline's chief executive.
Varig said a committee of three new vice presidents -Carlos Luiz
Martins, Alberto Fajerman and Luiz Fernando Wellisch- will be
running the airline until its long-awaited merger with rival TAM
Linhas Aereas.
"We decided to change the organizational structure of the
management to have a more agile, more flexible administration,
more consonant with the controlling entity," said Joaquim dos
Santos, president of Varig's board.
"This will be a temporary structure until the association with
TAM," he added
Macedo took over Varig in May to advance the merger talks with
TAM. His resignation sends out a signal that the government-
backed airline merger may be falling apart, according to Dow
Jones Business News.
Just a few days prior to Macedo's resignation, TAM president,
Daniel Mandelli, also a point man for the merger talks, resigned.
=========
C H I L E
=========
CHILECTRA: To Place $197M of Bonds in Two Separate Issues
----------------------------------------------------------
Chilean distributor Chilectra, a subsidiary of Chilean holding
Enersis, informed the securities regulator SVS of its plan to
issue up to 8.2 million UF (US$197 million) in two separate bond
issues on the local market.
According to Business News Americas, Chilectra, in its statement
to the regulator, indicated that it wants to roll over other
debts.
The Unidad de Fomento (UF) is Chile's inflation indexed unit (1UF
= 16,934 pesos at today's rate).
Chilectra's parent Enersis is in the process of a refinancing
plan of its own. The process has seen the group sell assets and
raise almost US$2.1 billion from a capital increase, which will
allow a reduction of total consolidated debt to about US$6.5
billion by December 2003 from almost US$9 billion in December
2002.
===============
C O L O M B I A
===============
COLOMBIA TELECOMMUNICATIONS: Kicks Off Operations
-------------------------------------------------
The Colombian government formally started Tuesday the operations
of Colombia Telecommunications, the newly formed company
replacing the liquidated debt-ridden Telecom.
According to a report by Dow Jones, the new company will still be
100% state-owned but will have much lesser employees than the old
Telecom.
The old Telecom and its 12 affiliated regional companies had
10,500 employees but the new company will only have 2,000
workers. Many of the new company's operations will be outsourced
to 3,000 temporary workers.
"We are going to be very conscious of profitability," said
Alfonso Gomez, the president of the new and old companies in an
interview Tuesday with Dow Jones Newswires.
Gomez expects the new company to reap income of about US$300
million ($1=COP2.868) from Aug. 5 until the end of the year. The
income will primarily be used to pay the US$2-billion in pension
obligations to the company's thousands of dismissed employees.
However, according to the executive, paying off debt to foreign
companies was still a priority. He explained though that he was
waiting for various decisions from legal tribunals reviewing
their demands.
Foreign multinationals, such as Ericsson Communications Inc.
(ERICY), Japanese firm Itochu Corp. (J.CIT), France's Alcatel
(F.ALC) and Germany's Siemens AG (SI), took part in a series of
failed joint-venture operations in the 1990s. They are now
demanding that Telecom pay more than US$800 million for breach of
contract.
Meanwhile, analysts suggest that even though the new company will
remain state-owned, privatization may become a viable option if
it could regain efficiency and reduce its heavy debt load.
SUDAMERIS COLOMBIA: Intesa Hands Over Stake To Dutch Group
----------------------------------------------------------
Italian group Intesa has reached a share purchase agreement with
Dutch financial group Gilex Holding, under which the latter will
acquire a 94% stake in Intesa's Colombian unit, Sudameris
Colombia, reports Business News Americas.
As part of the accord, Gilex Holding will acquire a minimum
94.73% shareholding in the Colombian bank for US$5 million as
compared to a total shareholders' equity of US$24 million, with a
consequent US$14 million charge for Intesa already accounted for
on its 2003 half-yearly consolidated income statement, Intesa
said.
The sale, which is expected to close by year-end, subject to
applicable regulatory approvals, forms part of the Latin American
exit strategy of Intesa. Intesa already sold its Brazilian
Sudameris unit to ABN Amro, merged its Argentine unit with Banco
Patagonia, and sold its Chilean unit to Banco del Desarrollo.
===================================
D O M I N I C A N R E P U B L I C
===================================
EDENORTE/EDESUR: Under Investigation by the IADB
------------------------------------------------
Union Fenosa SA, Spain's third-largest power company, plans to
set aside EUR168 million (US$187 million) to cover costs at
Edenorte, a power distribution unit in the Dominican Republic,
reports Bloomberg.
The unit, according to its Spanish parent, has been seriously
affected by the 57% drop of the Dominican peso.
Meanwhile, Cesar Sanchez, the head of the CDEEE (Dominican
Corporation of State owned Electrical Enterprises - the new name
for the Dominican Electric Corporation), said that Edesur,
another Union Fenosa distributor, has local debts that exceed
US$40 million.
The Washington-based InterAmerican Development Bank (IADB), which
helped finance Union Fenosa's investment in the Dominican
Republic, is investigating Edenorte for non-payment of bills owed
to the power producers, and into Edesur for the substandard
service offered to its clients.
Union Fenosa says it has invested US$620 million in the Dominican
Republic and denies any debts owed to generators.
TRICOM: Upgrades Network With AFC's UniversalDSL Solution
---------------------------------------------------------
Advanced Fibre Communications(R), Inc. (AFC(R)) (Nasdaq: AFCI)
announced Tuesday that TRICOM (NYSE: TDR), the Dominican
Republic's largest alternative full-service provider, has
upgraded its existing telecommunications network with AFC's
UniversalDSL(SM) -- a solution that enables telephone companies
to deliver high-speed DSL services to any subscriber, whether
they are served from a central office or remote terminal.
An AFC customer since 1996, TRICOM upgraded its network with
AFC's Telliant(TM), a high-density, multi-service central office
platform. TRICOM replaced several of its existing central office
DSLAMs, which had been provided by a leading international-based
equipment manufacturer, with Telliant systems. AFC's Telliant is
designed to meet the unique requirements of high-density, high-
performance access provisioning and aggregation in central
offices.
"Our upgraded multi-service ATM network has significantly
increased our capabilities," said Jorge Luis Pimentel, director
of engineering and planning at TRICOM. "The move allows us to
more efficiently and cost-effectively deliver a wider breadth of
high-speed DSL services to large numbers of residential and
business subscribers. AFC's UniversalDSL solution has played an
important role in helping us considerably reduce operating
expenses while simultaneously increasing revenues through
additional DSL service offerings."
The change-out to AFC's Telliant allows TRICOM to alleviate
traffic congestion caused by the rapid growth of DSL services.
The Santo Domingo-based provider was able to seamlessly install
and provision multiple Telliant systems in its network. The
addition of Telliant enables TRICOM to significantly upgrade its
network capacity by offloading existing DSL traffic from its
legacy network.
"With today's restrictive capital environment, it is imperative
that we minimize expenditures by leveraging the flexibility and
multi-service functionality provided by AFC's Telliant platform,"
commented Emilio Jimenez, vice president of engineering and
planning for TRICOM.
Beyond the initial deployment, TRICOM can migrate additional data
traffic onto its Telliant systems, as well as move IP
capabilities into the central office -- closer to their
subscribers. Typically, IP equipment has resided closer to the
network core in the provider/ISP POP (point of presence).
Telliant can utilize its B-RAS (broadband remote access server)
functionality to offload subscriber terminations from existing
subscriber management systems, and prepare TRICOM's network for
evolution to new IP-based services, such as video over broadband,
gaming and VPNs (virtual private networks).
"Telliant's B-RAS functionality can more efficiently and
economically terminate sessions from residential subscribers,"
said Manuel Fernandez, AFC's regional vice president of sales for
the Caribbean and Latin America, "thereby allowing TRICOM's
existing subscriber management system to more efficiently
terminate high-speed data services from its business
subscribers."
About TRICOM
TRICOM (http://www.tricom.net)is a leading integrated
communications service provider in the Caribbean region, with
facilities-based long-distance operations in the United States
and Puerto Rico. Through a completely digital local access
network in the Dominican Republic and cellular and PCS networks
covering 80% of the population, TRICOM offers local, long
distance, mobile, Internet, prepaid services, and broadband data
transmission services. Their recent investments in regional
submarine fiber-optic cable systems strategically position TRICOM
to expand into highly attractive markets in Central America and
the Caribbean, including Panama, where they already have their
IDEN network in service. TRICOM is the largest cable operator in
the Dominican Republic.
About AFC
Headquartered in Petaluma, Calif., Advanced Fibre Communications,
Inc. is a leading provider of broadband access solutions for the
global telecommunications industry. With a customer base of more
than 800 service providers worldwide, AFC continues to build and
support the world's evolving broadband access network
architecture. Advanced Fibre Communications, Inc., AFC, and the
AFC logo, are registered trademarks of Advanced Fibre
Communications, Inc. Telliant is a trademark of Advanced Fibre
Communications, Inc. Any other trademarks are the property of
their respective owners. For more information, please visit AFC
online at http://www.afc.comor call 1-800-690-AFCI.
===========
M E X I C O
===========
GRUPO IUSACELL: May Scale Back Workforce, Sources Say
-----------------------------------------------------
Sources from Grupo Iusacell revealed that the Mexican mobile
operator plans to sack 40% of its staff, roughly 400 employees,
relates local daily El Diario de Monterrey.
"Cutbacks are likely given the financial situation of the
company," one source told Business News Americas. Iusacell
reported a reported a second quarter loss of MXN122 million
(US$11.7mn).
The cutbacks, according to the sources, will affect the
marketing, customer service, human resources, legal, and
distribution departments.
The downsizing follows a change in the ownership of Iusacell.
Last month, local paging company Movil Access, a subsidiary of
the Salinas group of companies, acquired the ailing operator in a
US$10-million tender offer.
Grupo Iusacell, S.A. de C.V. is a wireless cellular and PCS
service provider in seven of Mexico's nine regions, including
Mexico City, Guadalajara, Monterrey, Tijuana, Acapulco, Puebla,
Leon and Merida. The Company's service regions encompass a total
of approximately 92 million POPs, representing approximately 90%
of the country's total population.
CONTACT: Grupo Iusacell, S.A. de C.V.
Mexico City
Jose Luis Riera K.
Phone: 011-525-5109-5927
Carlos J. Moctezuma
Phone: 011-5255-5109-5759
Email: carlos.moctezuma@iusacell.com.mx
HYLSAMEX: Continues To Make Efforts To Regain Financial Health
--------------------------------------------------------------
Mexican steelmaker Hylsamex, part of the Alfa group, informed the
country's stock exchange that it is analyzing various options to
improve its financial condition, says Business News Americas.
In its statement to the bourse, the Company indicated options
include the sale of non-strategic assets, forming a strategic
alliance with another company in the sector, or the partial or
total sale of a subsidiary.
The Monterrey, Nuevo Leon-based steelmaker, one of the country's
largest, will inform the market when it has something "concrete"
to announce, the statement said.
CONTACT: HYLSAMEX
Investor Relations
Margarita Gutierrez
E-Mail: mgutierrez@hylsamex.com.mx
Ricardo Sada
E-Mail: rsada@hylsamex.com.mx
Phone: (52) 81 8865 1224
(52) 81 8865 1201
Munich 101,
San Nicolas de los Garza N.L., 66452
Mexico
TV AZTECA: Struggles To Deal With Various Problems
--------------------------------------------------
TV Azteca, Mexico's second largest TV broadcaster, is not only
facing a problem of dealing with a loan of US$125 million, which
comes due next year, it is also considering the possibility of
selling off its share in the CNI Canal 40 station, according to
an article released by South American Business Information.
Some analysts describe this as a possible loss of future growth
for TV Azteca, while others believe that the sales will bring
immediate benefits, giving it cash to deal with the question of
the loan.
TV Azteca is one of the two largest producers of Spanish-language
television programming in the world, operating two national
television networks in Mexico, Azteca 13 and Azteca 7, through
more than 300 owned and operated stations across the country. TV
Azteca affiliates include Azteca America Network, a new broadcast
television network focused on the rapidly growing US Hispanic
market; Unefon, a Mexican mobile telephony operator focused on
the mass market; and Todito.com, an Internet portal for North
American Spanish speakers.
CONTACT: TV Azteca, S.A. de C.V.
Investor Relations: Bruno Rangel
+011-5255-3099-9167
jrangelk@tvazteca.com.mx
or
Omar Avila
+011-5255-3099-0041
oavila@tvazteca.com.mx
Media Relations: Tristan Canales
+011-5255-3099-5786
tcanales@tvazteca.com.mx
Web site: http://www.tvazteca.com.mx
=============
U R U G U A Y
=============
ANCAP: Electoral Court Schedules Referendum
-------------------------------------------
Uruguay's electoral court scheduled a referendum for December 7
to decide whether to overturn a law that allows state oil company
Ancap to establish a joint venture partnership with a foreign oil
company.
The court scheduled the referendum after labor unions and
opposition parties collected the required number of signatures to
force the referendum.
The government coalition of Uruguay's two traditional political
parties, the Colorados and the Blancos (officially the National
Party), support the law, while the leftist opposition coalition,
Progressive Meeting, for the most part opposes the law.
Ancap has been in preliminary talks with several companies,
including Brazil's state energy company Petrobras, Spain's
Repsol-YPF, and Venezuela's PDVSA. But talks have been held up
until the referendum is completed.
CONTACT: Administracion Nacional de Combustibles, Alcohol y
Portland (ANCAP)
Central Administration Paysando
s/n esq. Avenida del Libertador
Montevideo, 11100 Uruguay
P.O. Box 1090
Phones: +598(2) 902 0608
902 3892
902 4192
Fax +598(2) 902 1136 902 1642
Telex ANCAP UY 23168
E-mail: info@ancap.com.uy
Home Page: www.ancap.com.uy
Contact:
Benito E. Pi eiro, Chief Executive Officer
Phone +598(2) 900 2945
+598(2) 902 0608 Ext. 2253
Fax +598(2) 908 9188
GALICIA URUGUAY: Central Bank Extends Suspension to November 30
---------------------------------------------------------------
Uruguay's central bank announced that it has again extended the
suspension of Banco Galicia Uruguay, this time to November 30,
says Business News Americas.
Galicia Uruguay was suspended in February 2002 amid a financial
crisis that swept into Uruguay from neighboring Argentina. The
original suspension has since been extended several times -- most
recently until Aug. 15 -- despite the bank floating a deposit-
return plan late last year that won most creditors approval.
CONTACT: BANCO GALICIA URUGUAY S.A.
World Trade Center
Luis A. Herrera 1248 Piso 22 Montevideo
Uruguay
Tel.:(+598-2) 628-1230
www.bancogalicia.com.uy
* Uruguay Welcomes New Chief Negotiator With IMF
------------------------------------------------
Isaac Alfie was named Uruguay's new economy minister and chief
negotiator with the International Monetary Fund after Alejandro
Atchugarry quit the post due to personal reasons, reports
Bloomberg.
Alfie, the director of the department of macroeconomic advisory
at Uruguay's Ministry of Economy, assumed the post Tuesday, said
Leandro Pauletti, a spokesman for President Jorge Batlle.
Uruguay is seeking to recover from a bond default this year after
Argentina's economic collapse provoked a run on banks in Uruguay
and deepened the country's four-year recession. Last month, the
IMF urged the nation to overhaul its banking system to help
ensure its recovery.
***********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter Latin America is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Trenton, NJ,
and Beard Group, Inc., Washington, DC. John D. Resnick, Edem
Psamathe P. Alfeche and Oona G. Oyangoren, Editors.
Copyright 2003. 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
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or balance thereof are $25 each. For subscription information,
contact Christopher Beard at 240/629-3300.
* * * End of Transmission * * *