/raid1/www/Hosts/bankrupt/TCRLA

/raid1/www/Hosts/bankrupt/TCRLA_Public/030923.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 Tuesday, September 23, 2003, Vol. 4, Issue 188 Headlines A R G E N T I N A A 4: Proofs of Claims to be Filed by Today AUTOPARTES Y SERVICIOS: Receiver Closes Verification Process CARNER PARMA: Receiver Ends Claims Submission Process CLISA: Fitch Rates US$100M of Bonds in Default COELHO CAPITAL: Creditor's Petition For Bankruptcy Approved CONSTRUCCIONES CIVILES: Claims Deadline Expires Today LUMPARIS: Receiver Prepares Individual Reports PRANA: Files "Preventative Aid" Motion PROYECTOS E INSTALACIONES: Seeks Court Reorganization Protection QUIMICA ELFAND: Bankruptcy Starts by Court Order ROVE: Creditor Request Ends in Court Ordered Bankruptcy SIEMAR: Files "Concurso Preventivo" Motion SIGNS TIME: Seeks Court Approval for Reorganization SYSTEM ALUMINIUM: Receiver Prepares Individual Reports TGS: Opens New Unit to Provide Non-Regulated Services VISOR ENCICLOPEDIAS: Claims Filing Ends Today * IMF Board Okays $12.5B Loan Package For Argentina B A R B A D O S C&W BARBADOS: Wants FTC To Review Interconnection Decisions C O L O M B I A AVIANCA: Codeshare Alliance With Delta Proceeds as Planned TRANSTEL: Seeks To Restructure Defaulted Notes D O M I N I C A N R E P U B L I C BANINTER: Scotiabank Makes DR Expansion Official J A M A I C A HAMPDEN SUGAR: SCJ Initiates First Stage of Redevelopment Plan M E X I C O AHMSA: Energy Reforms Needed To Save Millenium Alliance, Assets GRUPO IUSACELL: Seeks Approval on Stock Restructuring Plan GRUPO MEXICO: Power Prices May Force Move To US ING COMERCIAL: Files Criminal Charges Against Judge T R I N I D A D & T O B A G O BWIA: THA Okays Proposal To Add More US-Tobago Direct Flights CARONI LTD.: Manning To Face Legal Hurdles in Land Sale - - - - - - - - - - ================= A R G E N T I N A ================= A 4: Proofs of Claims to be Filed by Today ------------------------------------------ As ordered by the court, the claims verification period for the bankruptcy of Buenos Aires-based company A 4 S.A. ends today. Mr. Hector Kaijer, the court-appointed receiver for the process, will now prepare the individual reports. Buenos Aires' Court No. 21, which holds jurisdiction over the Company's case, also ordered the receiver to prepare a general report on the bankruptcy process. However, local sources did not mention whether the court has set the deadlines for the submission of these reports. CONTACT: A 4 S.A. Libertad 877 Buenos Aires Hector Kaijer Azcuenaga 1930 Buenos Aires AUTOPARTES Y SERVICIOS: Receiver Closes Verification Process ------------------------------------------------------------ Mr. Luis Alberto Guevara, the receiver appointed to Buenos Aires- based company Autopartes y Servicios S.R.L., ends the claims verification process for the Company's bankruptcy today. The next step is for the receiver to develop the individual reports. The Troubled Company Reporter - Latin America earlier reported that the city's Court No. 1 ordered the Company's bankruptcy. The court also ordered the receiver to prepare a general report after the individual reports are processed in court. On these reports, the receiver may voice out his opinions on the factors that led to the Company's bankruptcy. However, local sources did not mention whether the court has set the deadlines for the filing of these reports. The Company's assets are likely to be liquidated at the end of the process. Proceeds from the sales will be used to reimburse its creditors. CONTACT: Luis Alberto Guevara Ayacucho 242 Buenos Aires CARNER PARMA: Receiver Ends Claims Submission Process ----------------------------------------------------- Mr. Ricardo Polo, the court-appointed receiver for La Plata company Carner Parma S.A., closes the credit verification process for the Company's reorganization today. As ordered by the court, the receiver will now prepare the individual reports on the matter. An earlier report by the Troubled Company Reporter - Latin America indicated that the Civil and Commercial Tribunal approved the Company's motion for "Concurso Preventivo" earlier this year. The court also ordered the receiver to prepare a general report after the individual reports are processed at the court. However, local sources did not mention whether the court has set the deadlines for the submission of these reports. CONTACT: Carner Parma S.A. Calle 508 Entre 13 y 14 Gonnet La Plata Ricardo Polo Calle 48 No. 877 La Plata CLISA: Fitch Rates US$100M of Bonds in Default ---------------------------------------------- A total of US$100 million of corporate bonds issued by Argentine company CLISA were given default ratings by the local arm of Standard & Poor's International Ratings, Ltd. last week. According to the country's securities regulator, Comision Nacional Valores (CNV), the bonds, which are described as "obligaciones negociables con garantia", expire on June 1 next year. Fitch said that the 'raD' rating is assigned to financial commitments, which are currently in default. COELHO CAPITAL: Creditor's Petition For Bankruptcy Approved ----------------------------------------------------------- A petition for the bankruptcy of Argentine car dealer Coelho Capital S.A., filed by its creditor was approved by Buenos Aires' Court No. 23, under the jurisdiction of Dr. Villanueva. The Company will now undergo a formal bankruptcy process, which is likely to result in the liquidation of its assets to pay its creditors. The Company's failure to meet its obligations on some ARS44,800 to Mr. Avelino Diaz prompted the creditor to for the company's bankruptcy. Working with Dr. Timpanelli, Clerk No. 46, the court assigned Mr. Ricardo Adrogue, an accountant from Buenos Aires, as the Company's receiver. He will be authenticating creditors' claims until November 24 this year. CONTACT: Coelho Capital S.A. Tucuman 3647 Buenos Aires Ricardo Adrogue 5th Floor Bouchard 468 Buenos Aires CONSTRUCCIONES CIVILES: Claims Deadline Expires Today ----------------------------------------------------- The credit verification deadline for the bankruptcy of Construcciones Civiles y Servicios Wen S.A. expires today. Ms. Adriana Raquel Esnaola, the court-designated receiver for the process, will now prepare the individual reports, as instructed by the court. She is also required to prepare a general report on the process, but local sources did not indicate whether the court has set the deadlines for these reports. Buenos Aires' Court No. 1 holds jurisdiction over the Company's case. The bankruptcy process began after the court ruled that the Company is "Quiebra Decretada". The process will see the liquidation of the Company's assets to reimburse its creditors. CONTACT: Adriana Raquel Esnaola Juncal 615 Buenos Aires LUMPARIS: Receiver Prepares Individual Reports ---------------------------------------------- Mr. Javier Hernan Gandara, receiver for Buenos Aires company Lumparis S.A., starts preparing the individual reports for the Company's bankruptcy as the deadline for credit verification expires today. An earlier report by the Troubled Company Reporter - Latin America revealed that the city's court No. 3, which holds jurisdiction over the case, requires the receiver to file the individual reports on November 4 this year. The general report, which is to be prepared after the individual reports are processed in court, must follow on December 17 this year. The city's Clerk No. 6 aids the court on the case, according to Argentine news portal Infobae. CONTACT: Javier Hernan Gandara Riobamba 719 Buenos Aires PRANA: Files "Preventative Aid" Motion -------------------------------------- Buenos Aires company Prana S.A. has submitted a motion for "Concurso Preventivo" to the city's Court Bo. 21. Argentine newspaper La Nacion relates that Dr. Paez Castaneda is the insolvency judge handling the case, and is assisted by Clerk No. 41, Dr. Melnitzky. The newspaper adds that the Company engages in buying and selling automobiles. In its filing, the Company admitted that it has failed to make debt payments since March last year. CONTACT: Prana S.A. Ave. de los Incas 4895/99 Buenos Aires PROYECTOS E INSTALACIONES: Seeks Court Reorganization Protection ---------------------------------------------------------------- Proyectos e Instalaciones Andisa S.A., which is based in Buenos Aires, is seeking court permission to undergo reorganization. The Company has submitted its motion for "Concurso Preventivo" to the city's Court No. 23, which is under Dr. Villanueva. Lerk No. 46, Dr. Timpanelli works with the court on the case. According to documents submitted to the court, the Company, which is involved in the construction of electrical systems, stopped making debt payments on October 30, 2001. La Nacion, however, did not indicate whether the court is likely to approve the motion or not. CONTACT: Proyectos e Instalaciones Andisa S.A. 8th Floor, Room B Alsina 1433 Buenos Aires QUIMICA ELFAND: Bankruptcy Starts by Court Order ------------------------------------------------ Quimica Elfand S.A., which manufactures chemicals in Buenos Aires, enters bankruptcy on orders from Dr. Paez Castaneda, insolvency judge in the city's Court No. 21. Local newspaper La Nacion relates that Clerk No. 42, Dr. Barreiro, works with the court on the case. The ruling came after the Company's creditor, Merk Quimica Argentina S.A. sought for its bankruptcy. The report reveals that the Company defaulted on some ARS26,472 in debt to Merk Quimica. Buenos Aires accountant Isabel Ramirez was designated as the Company's receiver. Creditors must present their claims to Ms. Ramirez before March 31 next year, the report adds. The receiver is also required to prepare the individual and general reports on the process, but La Nacion did not mention whether the court has set the deadlines for the submission of these reports. CONTACT: Quimica Elfand S.A. Chile 2170 Buenos Aires Isabel Ramirez 2nd Floor, Room D Tte. Gral. Juan D. Peron 2032 Buenos Aires ROVE: Creditor Request Ends in Court Ordered Bankruptcy ------------------------------------------------------- Buenos Aires-based Rove S.A. enters bankruptcy after the city's Court No. 24 approved a petition filed by the Company's creditor, GDA S.A., reports local newspaper La Nacion. The Company's failure to pay its debts to GDA prompted it to seek for Rove's bankruptcy. Local accountant Hugo Bogert was designated as the Company's receiver. Dr. Ballerini, the insolvency judge handling the case, instructed Mr. Bogert to verify creditors' claims until November 24 this year. This part of the process determines the existence, nature and amount of the Company's debts. Buenos Aires Clerk No. 47, Dr. Medina aids the court on the case, the report adds. However, the source did not indicate whether the court has set the deadlines for the receiver's reports. CONTACT: Rove S.A. Cuidad de La Paz 2453 Buenos Aires Hugo Bogert 1st Floor, Room B Rodriguez Pena 736 Buenos Aires SIEMAR: Files "Concurso Preventivo" Motion ------------------------------------------ Siemar S.A.C. y C., which is domiciled in Buenos Aires, has submitted a motion for "Concurso Preventivo" to the city's Court No. 22, seeking permission to undergo reorganization. Argentine daily La Nacion reports that Dr. Braga is the insolvency judge handling the case. The industrial engineering company stopped meeting its financial obligations since August 15, 2001, according to documents submitted to the court. In the meantime, La Nacion did not say whether the court, which works with Clerk No. 43, Dr. Mata, is likely to approve the motion or not. CONTACT: Siemar S.A.C. y C. Oliden 4326 Buenos Aires SIGNS TIME: Seeks Court Approval for Reorganization --------------------------------------------------- Argentine company Signs Time S.A. is seeking court permission to undergo reorganization. A report by local newspaper La Nacion relates that the Company has submitted its motion for "Concurso Preventivo" to Buenos Aires' Court No. 6, which is under Dr. Ferrario. The Company, which manufactures and installs "Ilumix" brand signboards, has stopped making debt payments on August 13 this year, the report adds. However, the source did not mention whether the court, which is assisted by Clerk No. 11, Dr. Piatti, is likely to approve the petition or not. CONTACT: Signs Time S.A. Lavalle 4072 Buenos Aires SYSTEM ALUMINIUM: Receiver Prepares Individual Reports ------------------------------------------------------ Ms. Mabel Alba Nieves Herrera, the court-appointed receiver for System Aluminium S.A., will start preparing the individual reports on the Company's reorganization as the deadline for the verification process expires today. These reports must be submitted to the court on November 4 this year. The receiver, an accountant from Buenos Aires, has court orders check creditors' claims to determine the existence, nature and amount of the Company's debts. She is also instructed to prepare a general report after the individual reports re processed at court and file this report on December 17. The Troubled Company Reporter - Latin America earlier reported that the Company obtained permission to undergo reorganization from the city's Court No. 19. The court has scheduled an informative assembly for June 24 next year. CONTACT: Mabel Alba Nieves Herrera Rodriguez Pena 694 Buenos Aires TGS: Opens New Unit to Provide Non-Regulated Services ----------------------------------------------------- Argentine gas transport company Transportadora de Gas del Sur (TGS) disclosed plans to provide non-regulated services through a newly-formed subsidiary, known as Emprendimentos de Gas del Sur. The new company, according to South American Business Information, will focus on gas transport services, as well as on the manufacturing, operating and maintaining of gas transport systems and the processing of natural gas. The new company will be 49% owned by TGS and 51% by Isonil, a Uruguayan company, which was created by TGS in 2002 to operate and maintain the Cruz del Sur gas pipeline in Uruguay. TGS, which is 70% owned by Petrobras Energia and Enron, registered ARS281.1 million in turnover in the second quarter of 2003, of which the gas transport business accounted for 53%. CONTACT: Transportadora de Gas del Sur SA 5th Floor 3672 Don Bosco Buenos Aires Argentina Phone: +54 11 4865 9050 Home Page: http://www.tgs.com.ar Contacts: Rafael Fernandez Morande, Chairman Eduardo Ojea Quintana, Vice Chairman & General Manager VISOR ENCICLOPEDIAS: Claims Filing Ends Today --------------------------------------------- The credit verification process for the reorganization of Visor Enciclopedias Audiovisuales S.A. ends today, September 23, 2003. An earlier report by the Troubled Company Reporter - Latin America revealed that Dr. Dieuzeide, insolvency judge of Buenos Aires' Court No. 1, approved the Company's motion for "Concurso Preventivo". The Company's receiver, Mr. Hector Caferatta, will now prepare the individual reports. He is also required to prepare a general report on the process however, earlier sources did not mention whether the court has set the deadlines for the filing of these reports. The court, aided by the city's Clerk No 2, Dr. Pasina, called for an informative assembly to be held on June 22 next year. CONTACT: Visor Enciclopedias Audiovisuales S.A. Anibal P. Arbeleche 1580 Buenos Aires Hector Caferatta 2nd Floor, Room A Laprida 2145 Buenos Aires * IMF Board Okays $12.5B Loan Package For Argentina --------------------------------------------------- The board of directors of the International Monetary Fund approved Saturday a US$12.5-billion, three-year loan package for Argentina, according to an article released by the Associated Press WorldStream. The package will allow Argentina to refinance US$21 billion in upcoming payments to institutions including the IMF, the World Bank and the Inter-American Development Bank. Under the terms, Argentina is committed to control spending at the federal and provincial levels to achieve a 2004 budget surplus of 3 percent of gross domestic product, excluding interest on debts. It also will submit tax reform legislation next year with the aim of introducing it in 2005. Furthermore, the government must "obtain congressional approval by the end of 2003 of new legislation that delegates power to the executive branch to renegotiate public concessions and effect interim tariff increases." Last month, Argentina's senate voted to give the government the power to set rate increases for utilities and the lower house is currently debating the bill. Negotiations now can start between the government and its private creditors on restructuring US$100 billion in debts it defaulted on in December 2001. The government's proposal, due Monday, is expected to seek a write-down of 60% - 80%. =============== B A R B A D O S =============== C&W BARBADOS: Wants FTC To Review Interconnection Decisions ----------------------------------------------------------- Cable & Wireless Barbados is calling for the Fair Trading Commission (FTC) to review two of its decisions, dated June 30, dealing with the creation of interconnection guidelines and dispute resolution procedures, as well as a July 1 order to file a Reference Interconnection Order (RIO) within 30 days. According to a report by the Barbados Nation, the Company's motion comes as a hearing on the metered rates application draws nearer. In a review motion, dated July 15 and made available on Friday, C&W stated that the decisions would require it to take certain steps and make certain services available "all of which are likely to have an adverse impact on the applicant's business". The report relates that the Company suggested the ground for review of all of the decisions was that the FTC failed to provide it with an opportunity to review the submissions of other parties in response to the Commission's Consultation Papers, and to provide a response. C&W said the FTC "acted unreasonably and erred in law and jurisdiction by breaching the principles of natural justice, and failed to carry out its statutory duty pursuant to Section 4 (4) of the FTC Act to consult with the applicant as that term is properly understood in law - specifically by failing to provide the applicant with an opportunity to know and respond to the case it had to meet". =============== C O L O M B I A =============== AVIANCA: Codeshare Alliance With Delta Proceeds as Planned ---------------------------------------------------------- Delta Air Lines (NYSE: DAL) and Avianca, a member of Alianza Summa, announced recently the implementation of the second phase of their codeshare alliance. The second phase of the codeshare agreement allows Delta to sell seats on Avianca flights between Bogota and Baranquilla, Cali, Cartagena, Medellin and Pereira; between New York (JFK) and Bogota and Medellin; and between Miami and Bogota, Baranquilla, Cali, Cartagena and Medellin. Delta will market both the southbound and northbound portions of these routes. With the addition of the new codeshare routes, Delta passengers in the United States now have three origination cities -- Atlanta, Miami and New York -- to choose from when traveling non- stop to Colombia. In addition, Delta passengers will now be able to fly from five cities in Colombia non-stop to the U.S. "We are pleased to partner with Avianca to offer our customers expanded access, added benefits and seamless service when traveling between the U.S. and Colombia," said Jorge Fernandez, director for Latin America and the Caribbean, Delta Air Lines. "The second phase dramatically increases the number of cities Delta offers between the U.S. and Colombia, and is an important and strategic step in expanding our operations and positioning our airline for future growth in the region." "The implementation of the second phase of the codeshare represents the consolidation of our agreement -- whose main objective is to, without a large investment, grow the number of destinations Alianza Summa serves, while enhancing the level of service provided to our passengers both in the U.S. and Colombia," added Juan Emilio Posada, president of Alianza Summa. Customers traveling between any of the cities in Delta's global network and the Colombian codeshare cities will be able to do so with the purchase of one ticket. Passengers will enjoy shorter connection times, one stop check-in, lounge reciprocity and seamless baggage handling. Delta SkyMiles and Alianza Summa Privilegios members can also look forward to earning frequent flier miles on Delta/Avianca codeshare flights beginning this winter. The first phase of the Delta -- Alianza Summa codeshare alliance was implemented on June 16, 2003, and allows Alianza Summa to market seats on Delta flights from Bogota to Atlanta, and beyond Atlanta to Boston, Chicago, Dallas, Los Angeles and Washington, D.C. Delta Air Lines, the world's second largest airline in terms of passengers carried and the leading U.S. carrier across the Atlantic, offers 5,883 flights each day to 447 destinations in 81 countries on Delta, Song, Delta Express, Delta Shuttle, Delta Connection and Delta's worldwide partners. Delta is a founding member of SkyTeam, a global airline alliance that provides customers with extensive worldwide destinations, flights and services. For more information, please go to delta.com. TRANSTEL: Seeks To Restructure Defaulted Notes ---------------------------------------------- Embattled Colombian private telephone company Transtel SA is seeking approval from holders of US$165 million of notes due in 2007 and 2008 for a reorganization agreement under Colombia's bankruptcy law. Citing company president, Guillermo Lopez, Bloomberg reveals that the Cali, Colombia-based company offered investors a choice between receiving a 20 percent stake in the Company and US$131 million worth of new notes and an alternative plan by which they would get US$213 million of new notes. Bondholders must vote by October 10 on the two alternatives. If too few votes are received, Transtel may be forced into a court- supervised liquidation, the Company said in a statement. But Mr. Lopez is confident that the investors will accept the so- called capitalization plan, including the 20 percent stake. "The transaction is supported by the majority of the bondholders, and we expect the other holders will perceive it as to their benefit." The Company is seeking to restructure a US$150 million, 12 1/2 percent coupon senior note due in 2007, on which the total outstanding claim including interest is US$182 million, and a 20.32 percent senior discount note due in 2008 on which the claim is $31 million, the statement said. The proposed restructuring agreement was negotiated between Transtel and an informal committee of bondholders representing 52 percent of both notes. Transtel, which has about 250,000 subscribers, had trouble making its dollar bond payments after the peso depreciated 42 percent between Jan. 1998 and Jan. 2001 and as a recession in 1999 affected customers' ability to pay telephone bills. The Company, according to Robert Rauch of U.S.-based bondholder Gramercy Advisors LLC, which holds about US$50 million worth of the notes, has made partial payments on the 2007 note since a default in 2000. =================================== D O M I N I C A N R E P U B L I C =================================== BANINTER: Scotiabank Makes DR Expansion Official ------------------------------------------------ Scotiabank announced Friday it has signed the definitive documentation for the transaction, first disclosed on July 8, that will more than double the size of its operations in the Dominican Republic. "This agreement, to be implemented over the next three months, provides Scotiabank with a major presence across the Dominican Republic and will position us as the fifth largest private bank in the country - a market where we see tremendous potential," said Peter Cardinal, Scotiabank Executive Vice- President, Latin America. "This announcement underscores our ongoing commitment to the Caribbean and Central America - a region where our presence is already twice that of our nearest competitor." The transaction agreements, finalized with Dominican financial authorities, provide for the purchase of 39 branches - a slight increase from the 35 outlined in the Memorandum of Understanding - and the hiring of 460 employees of Banco Intercontinental (Baninter). The transaction also includes the purchase of selected credit card, personal and commercial loans. Terms of the deal were not disclosed. Acquired branches will be converted into Scotiabank locations over the next three months and will supplement the Bank's existing 20-branch Dominican network. Scotiabank is not assuming any liabilities of Baninter, but will be working with customers who hold deposits to enable them to open a Scotiabank account if they choose to do so. "Our ongoing focus will be to provide customers with first-rate products and services to meet their financial needs, while welcoming our new employees into the supportive and rewarding work environment of Scotiabank Group," said Jim Meek, Senior Vice-President and General Manager, Dominican Republic, Scotiabank. "We've been doing business in the Dominican Republic for more than 83 years and this announcement opens an exciting new chapter in the Bank's history - enabling us to play an active role in communities right across the country." Scotiabank is one of North America's premier financial institutions, Canada's most international bank and the leading bank in the Caribbean. For more than 110 years, Scotiabank has been contributing to the lives of people in communities across 25 countries in the Caribbean and Central America. With approximately 48,000 employees, Scotiabank Group and its affiliates serve about 10 million customers in some 50 countries around the world. Scotiabank offers a diverse range of products and services including personal, commercial, corporate and investment banking. With C$282 billion in assets (as at July 31, 2003), Scotiabank trades on the Toronto (BNS), New York (BNS) and London (BNV) Stock Exchanges. For more information please visit www.scotiabank.com. ============= J A M A I C A ============= HAMPDEN SUGAR: SCJ Initiates First Stage of Redevelopment Plan -------------------------------------------------------------- The Sugar Company of Jamaica (SCJ) began the first phase of a plan to transform the debt burdened Hampden estate in Trelawny from a largely sugar and rum producing entity, into a diversified agricultural and tourism complex. According to RadioJamaica.Com, ground was broken Friday for the agricultural component of the plan. This phase will involve 200 hectares of selected short-to- medium-term crops, primarily for export. The Trelawny Sugar Company will manage 100 hectares, with the remainder leased to selected former employees of Hampden, each on two-hectare plots. SCJ President Livingston Morrison said the cane farming operations of Hampden are to be transformed into a highly efficient state of the art and profitable operation by the 2004/2005 crop. He said there will be an aggressive replanting program and a reorganizing of the cane-farming department to ensure a higher level of production and productivity. =========== M E X I C O =========== AHMSA: Energy Reforms Needed To Save Millenium Alliance, Assets --------------------------------------------------------------- Troubled Mexican steelmaker Altos Hornos de Mexico S.A. (AHMSA) feels that its proposed alliance with U.S. Millenium Energy is at risk if the expected energy reforms in the country are not carried out this year. An article released by South American Business Information relates that the alliance is aimed a developing a coal-powered electricity generation project in Sabinas, Coahuila. The finished project is estimated to have the capacity to generate 800MW. AHMSA said that it might be obligated to return the US$20 million Millenium paid in advance. Millenium's investment came in the guise of acquiring 50% of AHMSA's Carboelectrica subsidiary, the report says. AHMSA is also in a position to lose assets, which it used as guarantees for the project, if the reforms are not pushed through. SABI said that these assets are channeled at AHMSA's NASA and Antair subsidiaries. The Company, which has been in a form of bankruptcy protection since 1999, posted a MXP590 million net loss for the first six months of this year. CONTACT: Altos Hornos de Mexico S.A. Prolongacion B. Juarez s/n, Monclova , Coahuila 25770 Mexico http://www.AHMSA.com Phone: +52 86 33 81 72 Fax: +52 86 33 65 66 Contacts: Alonso Ancira Elizondo, CEO, Vice Chairman, Pres/CEO Jorge Ancira Elizondo, Chief Financial Officer Manuel Ancira Elizondo, Chief Operating Officer GRUPO IUSACELL: Seeks Approval on Stock Restructuring Plan ---------------------------------------------------------- Mexico's Grupo Iusacell SA will embark on a stock restructuring plan that will see the conversion of all of its shares into a new, single stock class with full voting rights, Dow Jones suggests. In a filing with the Mexican Stock Exchange, Iusacell, the third-largest wireless phone company in the country, said it will propose at a shareholders meeting on Oct. 17 to convert all of its class "A" and "V" shares into a single stock class. The conversion will also include a reverse split of one new share for 20 class "A" or "V" shares. The Company has a total of 1.86 billion shares outstanding, of which 961.3 million are class "A" shares and 900.7 million class "V" shares. About 25% of the Company's shares float on stock markets in Mexico City and New York. Iusacell's American Depositary Receipts that trade on the New York Stock Exchange (News - Websites) are composed of 100 class "V" shares. Once the restructuring is completed, the Company will cancel all of its "A" and "V" shares, says Dow Jones. CONTACT: Grupo Iusacell S.A. De C.V. Prolongacion Paseo dela Reforma 1236 Col Santa Fe Delegacion Cuajimalpa 05348 Mexico Distrito Federal Mexico Phone: +52 5 109 4400 Home Page: http://www.iusacell.com.mx GRUPO MEXICO: Power Prices May Force Move To US ----------------------------------------------- Grupo Mexico is considering the possibility of moving some of its activities to Arizona or Texas due to the increase in the price of electricity in Mexico in the last two years, says South American Business Information. The Company, according to the report, pays around US$200 million annually for electricity, which represents between 35% and 50% of its production costs. While the mining company pays US$0.04 per kWh in the US, it pays US$0.085 in Mexico. The possibility of moving to the US was also prompted by the losses that the Company had to deal with due to power blackouts and voltage variations. In Sonora, the Company experiences 200 outages per year, while the average in its US operations is between three and seven. Company Vice-President Juan Rebellodo regrets the fact that the discussion over reforms to the electricity sector in Mexico have become highly politicized, and not focused on the real situation faced by industry. Rebellodo suggests that state power company CFE (Comision Federal de Electricidade) needs some changes in its administrative structure in order to allow it to function like a company in the marketplace. The imposition of a surcharge on electricity bills for consumption over a certain ceiling is also a difficulty for Grupo Mexico, causing it to stop production at times in order to avoid being subject to the surcharge, and thus losing competitiveness, the report adds. CONTACT: GRUPO MEXICO S.A. DE C.V. Avenida Baja California 200, Colonia Roma Sur 06760 Mexico, D.F., Mexico Phone: +52-55-5264-7775 Fax: +52-55-5264-7769 Home Page: http://www.gmexico.com Contacts: Germ n Larrea Mota-Velasco, Chairman and CEO Xavier Garca de Quevedo Topete, President and COO Alfredo Casar P,rez, COO, Ferrocarril Mexicano Daniel Ch vez Carre>n, COO, Industrial Minera M,xico Daniel Tellechea Salido, VP and Administration and Finance President ING COMERCIAL: Files Criminal Charges Against Judge --------------------------------------------------- The Mexican judge, who slapped a US$300-million embargo on the assets belonging to the local insurance subsidiary of Dutch financial group ING, is now facing criminal charges, says Business News Americas. Local fertilizer company Fertinal filed a suit against ING Comercial America and about 13 of its past and present employees for damages relating to an insurance claim on its fertilizer mine in Baja California, which was damaged by Hurricane Juliette in 2001. In relation to the case, Judge Bernabe froze the assets of ING, a move, which ING deemed a violation to the law because the judge froze the assets that belong to the Company's clients. "The bank accounts and money deposited in them do not belong or correspond to any of the people that might be responsible in this criminal case," according to a transcript of the lawsuit published by Reforma. Meanwhile, Business News Americas reports that Judge Bernabe is no longer in charge of the case and has since moved to a different position at the same court. ================================= T R I N I D A D & T O B A G O ================================= BWIA: THA Okays Proposal To Add More US-Tobago Direct Flights ------------------------------------------------------------- BWIA West Indies Airways Ltd. CEO Nelson Tom Yew has reached an agreement in principle with the Tobago House of Assembly over the national airline's proposal to introduce direct air services between Tobago and 3 North American cities this winter, the Trinidad Express reports, citing Tourism Secretary Neil Wilson. Mr. Wilson said that BWIA had made a proposal to the THA to introduce the new services between Crown Point and Toronto once a week, Crown Point and New York twice a week and Crown Point and Miami once a week. BWIA currently has a direct weekly Crown Point to Washington service on Thursdays. Mr. Wilson revealed the additional services would provide 600 more seats a week from North America, bringing seating capacity to almost 4,000 a week. He said this would assist the THA in its campaign to increase visitor arrivals to Tobago from North America that presently stood at less than 5%. CONTACT: British West Indies Airways Phone: + 868 627 2942 E-mail: mailto:mail@bwee.com Home Page: http://www.bwee.com/ CARONI LTD.: Manning To Face Legal Hurdles in Land Sale ------------------------------------------------------- The Trinidad administration, which is under Prime Minister Patrick Manning, will have to deal with a series of legal challenges should it attempt to give Caroni land to anyone other than former sugar workers, says Team Unity Leader, Ramesh Lawrence Maharaj. According to a report by the Trinidad Express, Maharaj said he had met with the Queen's Counsels in London last week and they had agreed to help, free of charge, to argue possible lawsuits in the Privy Council. In a meeting held Saturday at Ste Madeleine, Mr. Maharaj assured more than 500 former Caroni workers that they would be given first priority to the lands belonging to the Company. Mr. Maharaj claimed that the People's National Movement (PNM) intended to give the lands to their political supporters. "Not one inch! Not one blasted inch going to them," he shouted. Meanwhile, Mr. Maharaj said a lawsuit would be filed to stop government from forcing cane farmers into signing a new quality- based contract for their harvest. Mr. Maharaj said that should government not release $1 billion into the Caroni workers' pension fund by October 1, a case had already been drafted for filing. He also claimed that the Manning administration had moved to shut down Caroni because the majority of workers did not support the PNM. *********** 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. 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