/raid1/www/Hosts/bankrupt/TCRLA_Public/031006.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                   L A T I N   A M E R I C A

          Monday, October 6, 2003, Vol. 4, Issue 197

                          Headlines


A R G E N T I N A

AHOLD: Finally Reports Audited Consolidated 2002 Results
BANCO DE GALICIA: Shareholders Approve Global Bond Program
DEFENSA Y ENCAUZAMIENTO: Individual Reports Due For Filing Today
DIRECTV LA: Seecs Court OK to Disclose Confidential Information
DISCO: Cencosud In Talks With Ahold Execs Over Purchase Offer

DRJ SEGURIDAD: Court Orders Bankruptcy
ECAINF: Proof of Claims Filing Ends November 10
ECIPSA: Evaluadora Latinoamericana Rates US$6.6M of Bonds `C'
ESTRUCTURA Y SERVICIOS: Reorganization Official by Court Order
FABRIGAL: Court Orders Bankruptcy

FRESKURAL: Court Approves Creditor's Motion For Bankruptcy
FRIGOSOL: Court OK's Reorganization Petition
FRODI: Creditor Claims Due No Later Than Today
HAKUNA MATATA: Court Sets Deadlines For Bankruptcy Process
INTERNATIONAL TRADE: Reorganization Schedule Set

LA PRIMERA: Court Changes Credit Check Deadline
MOLINOS RIO: Agrees to Sell Molfino Hermanos to Saputo
MOXOTO: Receiver to Submit General Report Today
OROFRUTAL: Deadline For Individual Reports Filing Expires Today
PILDAN ROQUE: General Reports Filing Due Today

SECURITY CONSULTANTS: Last Day For Credit Verifications
SUSHI EXPRESS: Individual Reports Due For Filing Today
TELECOM ARGENTINA: Responds With Clarification To Stock Exchange
TGN: To Transfer Liquid Reserves To Bahamas Trust
*Argentina's Congress Passes Law Unfreezing Utility Rates


B E R M U D A

FOSTER WHEELER: Wins US$90M EPC Fuels Project Contract
TRENWICK GROUP: Completes Sale of Trenwick Int'l. Ltd.


B O L I V I A

* S&P Commentary Examines Bolivia's Response to Turmoil


B R A Z I L

ELETROPAULO METROPOLITANA: Some Bondholders Waive Call Provision
GERDAU: Predicts Exports to Exceed 3 Million Metric Tons In 2003


C O L O M B I A

BAVARIA: Fitch Assigns 'BB' Rating to Notes, Outlook Negative
BAVARIA: S&P Assigns 'BB' to Foreign Currency Credit Ratings


D O M I N I C A N   R E P U B L I C

TRICOM: Initiates Restructuring After Missed Interest Payment
UNION FENOSA: Signs Final Accord To Return Distributors to DR


J A M A I C A

JPSCO: To Pay $3.2M In Damages To Parents of Electrocuted Boy
JUTC: $40M In Savings Expected from Increased Efficiency


M E X I C O

GRUPO DESC: Closes Sale Of Adhesives, Waterproofing Businesses


T R I N I D A D   &   T O B A G O

CARLISLE TIRE: Industrial Court Grants Ex-Parte Injunction


V E N E Z U E L A

PDVSA: Late Financials May Lead Creditors To Seek Early Payment
PDVSA: Seeks 50% Increase on Orimulsion Price


     - - - - - - - - - -


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

AHOLD: Finally Reports Audited Consolidated 2002 Results
--------------------------------------------------------
Highlights

-- Net loss for 2002 of Euro 1,208 million
-- Operating income for 2002 of Euro 2,145 million before
impairment and amortization of goodwill and exceptional loss
related to Argentina
-- Net loss after preferred dividends per common share for 2002
of Euro 1.34
-- Net cash from operating activities for 2002 of Euro 2,486
million
-- Net loss under US GAAP expected to be significantly higher,
primarily as a result of additional goodwill impairment of
approximately Euro 3.2 billion (unaudited), of which
approximately Euro 2.7 billion relates to U.S. Foodservice
-- Net sales for 2002 of Euro 62,683 million
-- Joint ventures deconsolidated and accounted for using equity
accounting method
-- Comparable financial information restated for 2001 and 2000
-- Remedial actions taken in 2003: internal controls and
corporate governance strengthened

Ahold published Thursday its audited consolidated 2002 financial
statements. Commenting on the announcement, Ahold President & CEO
Anders Moberg said: "The publication of these results is a major
milestone that draws a line under recent events and enables us to
move forward."

Ahold also announced that the audited 2002 financial statements
were delivered to its syndicate of banks as required under its
Euro 2.65 billion credit facility negotiated in March 2003. As a
result, Ahold has access to the unsecured tranche of USD 915
million. "Based on our current cashflow projections, we believe
that we will not need access to the unsecured tranche," Hannu
Ryopponen, Chief Financial Officer said.

The findings of forensic and other internal investigations
initiated by the company in 2003 required Ahold to restate its
consolidated financial statements for 2001 and 2000. These
restatements of prior years arose primarily from overstatements
of vendor allowance income at U.S. Foodservice and the
deconsolidation of joint ventures.

The 2002 financial statements reflect all material correcting
adjustments that have been identified as a follow-up to the
various investigations and the audit by independent auditors
Deloitte & Touche. Net income for 2001 and 2000 has been restated
resulting in a reduction in the amount of Euro 363 million and
Euro 196 million, respectively, of which 59% and 53%,
respectively, related to improper accounting for vendor
allowances. Correcting adjustments have also been made in the
2002 financial statements. A summary of accounting issues under
Dutch GAAP is outlined later on in this release.

Net sales were reduced by Euro 12,380 million and Euro 10,709
million for 2001 and 2000, respectively, mainly as a result of
the deconsolidation of joint ventures and some other smaller
adjustments.

Commenting on the 2002 results, Mr Moberg said: "The underlying
performance of our operating companies in the aggregate was good
in a year of increased competition and a weak economy. We have
some very solid operations and strong brands. However, in many
ways, it's been a lost year, difficult and negative. With 2002
now behind us, it's time to move forward and rebuild value for
our customers and our shareholders," he stated.

Highlights of the 2002 results

Set forth below are highlights of the results for 2002, 2001 and
2000. The results for 2001 and 2000 have been restated to reflect
the correction of accounting irregularities and errors announced
on February 24, 2003 and those found through the subsequent
forensic investigations and external and internal audits.

The increase in net sales in 2002 was largely attributable to
acquisitions, primarily those of Alliant, acquired in November
2001, and Bruno's, acquired in December 2001. In addition, the
results of Ahold's subsidiaries Disco and Santa Isabel in South
America were consolidated in the course of 2002. The increase in
net sales excluding currency impact was 20.8%.

Operating income in 2002 amounted to Euro 239 million, a decrease
of 87.5% compared to 2001. The decrease was primarily caused by
Euro 1,287 million of impairment of goodwill and intangible
assets, including Euro 898 million related to Ahold's operations
in Spain, Euro 199 million related to the Argentine and Chilean
operations, Euro 129 million related to Bruno's in the U.S. and
Euro 54 million related to the Brazilian operations. The decrease
was also caused by a Euro 372 million exceptional loss on related
party default guarantee recorded in 2002 with respect to debt
defaults by Velox Retail Holding, Ahold's joint venture partner
in Disco Ahold International Holdings N.V. Operating income in
2002 also was adversely affected by a lower U.S. Dollar/Euro
exchange rate.

Operating income before impairment and amortization of goodwill
and exceptional loss in 2002 amounted to Euro 2,145 million, an
increase of 4.0% compared to 2001. See table below and the
supplemental disclosures to the statements of operations for a
reconciliation of this non-GAAP measure.

The net loss incurred in 2002 was primarily caused by impairment
of goodwill and other intangible assets of in total Euro 1,287
million, goodwill and intangible asset amortization of Euro 433
million and an exceptional loss on related party default
guarantee of Euro 372 million.

Net sales increased in 2002 compared to 2001 both organically and
as a result of the acquisition of Bruno's that took effect in
December 2001. Comparable and identical U.S. retail sales growth
totaled 1.6% and 0.9%, respectively (2001: 3.1% and 2.6%).

Operating income before impairment and amortization of goodwill
increased in 2002 compared to 2001 as a result of strong
operating performance at Stop & Shop, Giant-Landover and Giant-
Carlisle.

The increase in net sales in 2002 compared to 2001 was due to the
acquisition of Alliant in November 2001.

Operating income before impairment and amortization of goodwill
in 2002 included a USD 28 million gain relating to excess reserve
reversals, and in 2001 included a USD 94 million loss relating to
restructuring charges at Alliant.

Operating income before impairment and amortization of goodwill
as a percentage of net sales for 2002 was 1.7% and, as restated,
0.9% in 2001, a significant decline from the originally reported
number for U.S. Foodservice for 2001, reflecting the substantial
accounting adjustments related to U.S. Foodservice.

Identical sales growth at Albert Heijn was 4.5%. Within Other
Europe, Schuitema's net sales increased by 4.5%. In Central
Europe and Spain, the net sales increase was mainly attributed to
store expansion.

In line with the sales growth, Albert Heijn improved its
operating income before impairment and amortization of goodwill
in 2002 by 6.9%. In Other Europe, the operating income before
impairment and amortization of goodwill dropped from Euro 110
million to Euro 32 million, mainly due to the impairment of fixed
assets in Other Europe and less favorable business performance in
Spain due to integration challenges and start-up costs for newly-
opened stores.

Net sales at Europe Foodservice declined slightly and operating
income before impairment and amortization of goodwill declined as
a result of increased pension costs.

Net sales in 2002 versus 2001 increased mainly due to the
consolidation of Disco and Santa Isabel in the course of 2002. In
Brazil, sales in local currency were higher mainly due to the
acquisition of G. Barbosa in January 2002.

The operating loss before impairment and amortization of goodwill
and exceptional loss in 2002 was primarily caused by the
consolidation of Disco and Santa Isabel. Difficult trading
circumstances impacted operating income before impairment and
amortization of goodwill in Brazil in 2002, which was below 2001
levels in local currency.

Impairment and amortization of goodwill and intangible assets
Mainly as a result of the deteriorating economic conditions in
Spain, Argentina and the Southeastern United States, goodwill
impairment charges of in total Euro 1,281 million were recorded
in 2002 (2001: Euro 0 million). Impairment charges relating to
intangible assets amounted to Euro 6 million.

Goodwill amortization in 2002 amounted to Euro 253 million (2001:
Euro 152 million). The increase is largely caused by the
acquisition of Bruno's and Alliant. Amortization of other
intangible assets amounted to Euro 180 million (2001: Euro 104
million).

Exceptional loss on related party default guarantee

An exceptional loss was incurred of Euro 372 million in 2002
relating to the fact that the purchase price of the additional
shares in Disco Ahold International Holdings in July 2002
exceeded the fair value of the shares acquired by Euro 363
million and a loan to Velox of Euro 5 million had to be written
off.

Interest expense in 2002 increased to Euro 1,003 million (2001:
Euro 921 million), primarily caused by the new debt assumed or
incurred in connection with acquisitions and an increase in cash
dividends paid. This was partly offset by a favorable currency
impact, especially of the U.S. Dollar.

Share in income (loss) of joint ventures and equity investees

The share in income (loss) of joint ventures and equity investees
in 2002 amounted to a net loss of Euro 38 million compared to a
net loss of Euro 192 million in 2001.

Cash flow statement

Net cash from operating activities in 2002 amounted to Euro 2,486
million (2001: Euro 1,961 million). Changes in working capital
improved compared to the prior year, resulting in a cash inflow
of Euro 107 million compared to a cash outflow of Euro 166
million in fiscal 2001.

Investments in tangible fixed and intangible assets in 2002
amounted to Euro 2,160 million (2001: Euro 2,459 million).
Divestments of tangible fixed and intangible assets amounted to
Euro 590 million (2001: Euro 1,134 million), in both years mainly
related to sale and leaseback transactions in the U.S. and
Europe. The cash outflow related to acquisitions of consolidated
subsidiaries of Euro 977 million was primarily for the purchase
of the remaining shares in Disco Ahold International Holdings.

Shareholders' equity

Shareholders' equity, expressed as a percentage of the balance
sheet total, was 10.5% (at year-end 2001: 19.2%). Shareholders'
equity at December 29, 2002, was Euro 2,609 million.

Long-term financial lease commitments amounted to Euro 2,224
million.

US GAAP reconciliation

The Annual Report on Form 20-F that will be filed with the U.S.
Securities and Exchange Commission will contain a US GAAP
reconciliation of net income and shareholders' equity which is in
the process of being audited. The current unavailability of US
GAAP figures has no impact on Ahold's credit agreement which
required that it delivers audited consolidated financial
statements under Dutch GAAP.

Under US GAAP, the net loss for 2002 will be significantly
higher. In particular, goodwill impairment charges related to the
adoption of Statement of Financial Accounting Standards No. 142,
Goodwill and Other Intangible Assets ("SFAS 142") on December 31,
2001, will contribute to a higher net loss under US GAAP. This
primarily will be caused by an additional goodwill impairment
charge of approximately Euro 3.2 billion (unaudited), of which
Euro 2.7 billion relates to U.S. Foodservice.

Next steps

On September 4, 2003, President & CEO Anders Moberg announced the
most important principles of Ahold's strategy going forward.
Ahold is now focusing on two key strategic operating priorities:
its leading food retail formats in the United States and Europe,
and restoring the value of U.S. Foodservice. More details on the
new Ahold strategy, together with the company's view on its
future financing, are expected to be announced mid-October.

Definitions

-- Identical sales compare sales from exactly the same stores.
-- Comparable sales are identical sales plus sales from
replacement stores.
-- Currency impact is the impact of using different exchange
rates to translate the financial figures of our subsidiaries to
Euros. Where specifically indicated, the financial figures of the
previous year are adjusted using the current year exchange rates.

Summary of restatements of and reclassifications to the
consolidated financial position and results for 2001 and 2000
under Dutch GAAP The internal investigations resulted in
significant restatements of the 2001 and 2000 comparable
financial information. These investigations also revealed the
necessity to strengthen Ahold's internal controls, resulting in a
company-wide process being led by a special task force. Among
other changes introduced, Ahold's Internal Audit function will
now report directly to the CEO and the Audit Committee.

The effect of the restatements on net income for 2001 and 2000 is
set forth in the table below. Restatements of Euro 45 million
relating to periods prior to 2000 were recorded in opening
retained earnings as of January 1, 2000.

Vendor allowances: The internal investigations uncovered
significant accounting irregularities and errors in relation to
vendor allowances over the past three years, mainly at U.S.
Foodservice. The correcting adjustments had a negative effect on
Ahold's net income of Euro 215 million for 2001 and Euro 103
million for 2000.

Deconsolidation of joint ventures: Ahold has deconsolidated joint
ventures where it concluded the company did not have effective
control, being ICA, Jeronimo Martins Retail, DAIH, Paiz Ahold and
Bompreco. Ahold has changed to the equity method for these
ventures for the relevant periods using the equity method. This
change reduced consolidated net sales by Euro 12.2 billion for
2001 and Euro 10.6 billion for 2000. Restatements of
restructuring provisions of deconsolidated joint ventures had a
negative effect on net income of Euro 5 million for 2001 and Euro
10 million for 2000.

Acquisition accounting: Ahold has made downward fair value
adjustments to real estate acquired in connection with the
acquisition of its 50% interest in ICA in April 2000 and of
Superdiplo in December 2000. This produced corresponding effects
on goodwill, amortization and gains on asset sales and resulted
in a negative effect on net income of Euro 36 million for 2001
and Euro 8 million for 2000.

Reserves, allowances and provisions: Ahold made changes where
entries were inadequately documented, producing a negative impact
on net income of Euro 33 million in 2001 and Euro 38 million in
2000.

Real estate transactions: Ahold has corrected the accounting
treatment on 46 leveraged lease transactions that took place in
2001. The net gain from 39 transactions now has been recognized
in income at the transaction date instead of being deferred over
the remaining lease terms ranging from 20-25 years, while seven
lease transactions have been reclassified from operational to
financial leases that must be capitalized. These changes have a
positive effect on net income for 2001 of Euro 2 million and a
negative effect of Euro 26 million for 2000.

Other accounting issues in 2002

Put option: Put options held by ICA's joint venture partners are
disclosed in Ahold's 2002 financial statements as a contingent
liability under Dutch GAAP. In the event that these options are
exercised, Ahold expects that it would have to pay at least an
amount of Euro 1.3 billion for all of the ICA shares held by the
ICA partners.

Impairment of goodwill and tangible fixed assets: Mainly as a
result of the deteriorating economic conditions in Spain,
Argentina and the Southeastern United States, goodwill impairment
charges of in total Euro 1,281 million were recorded in 2002.
Furthermore, tangible fixed asset impairment of Euro 137 million
was recorded in 2002.

Vendor invoices: Various matters raised by the U.S. Foodservice
("USF") investigation were further reviewed to determine their
impact, if any, on Ahold's financial statements. One such matter
relates to certain USF vendor invoicing practices. These
practices resulted in overbillings by various USF local branches
to various vendors with respect to vendor allowances of
approximately USD 5 million in 2002, USD 7 million in 2001, USD 6
million in 2000 and USD 13 million in 1999 and prior periods.
Ahold has recorded an accrual to cover any refunds that Ahold or
USF expects to be required to pay to vendors for these
overbillings, and has restated its financial statements for 2001
and 2000 with respect to these overbillings. Other billing
practices also were identified at USF that could result in other
potential overbilling claims by vendors in an amount totalling
approximately USD 60 million. Ahold believes that USF may have
defenses to this category of claims. Accordingly, no liability
has been accrued for this amount. Ahold is implementing measures
designed to prevent improper and questionable vendor invoicing
practices. Additionally, a further review will be done to
determine other appropriate actions to be taken, including
personnel changes. Certain employees at various USF branches have
been suspended and final decisions regarding their employment
status will be made once the investigation is completed.

CONTACT:  Ahold Corporate Communications:
          +31.75.659.5720


BANCO DE GALICIA: Shareholders Approve Global Bond Program
----------------------------------------------------------
Shareholders of Argentine bank Banco de Galicia y Buenos Aires SA
voted in the affirmative at a recent meeting for the creation of
a global program to issue and re-issue simple bonds for a total
nominal amount in circulation at any moment of up to US$2
billion. The purpose of the deal is to restructure the debts in
foreign currency. The bonds would have a maximum maturity of 15
years and won't be convertible into shares of the bank.

The Argentine bank has been working on the restructuring of its
foreign-currency debt since May 2001. Market sources believe the
final proposal for creditors will be ready soon.

The decision comes after a report in August in local daily Clarin
citing a top director as saying that the Company is in the final
phase of negotiations to restructure its obligations. The
official was also quoted saying that in "no way" would a debt
restructuring allow for a change in ownership at the bank.

Banco Galicia - part of the regional Grupo Financiero Galicia
banking group - is one of Argentina's biggest private banks,
reporting US$21.6 billion in total assets in June 2003.

The bank was hard hit by the financial crisis that exploded in
late 2001 and defaulted on its debts by mid-2002. Galicia also
borrowed some ARS5.6 billion (US$1.93 billion) in discount loans
from the central bank to stay on its feet.

The central bank is reportedly urging progress on a deal with its
private creditors to allow it to expedite the eventual repayment
of its discount loans.

CONTACT:  Banco de Galicia Y Buenos Aires
          Tte Gral Juan D Peron 407
          Buenos Aires
          Argentina
          C1038AAI
          Phone: +54 11 6329 0000
          Fax: +54 11 6329 6100
          Home Page: http://www.bancogalicia.com.ar
          Contact:
          Juan Martin Etchegoyhen, Chairman
          Antonio R. Garces, Vice Chairman

          Grupo Financiero Galicia SA
          2nd Floor
          No 456 Tte Gral Juan D Peron
          Buenos Aires
          Argentina 1038
          Phone: +54 11 4343 7528/9475
          Home Page: http://www.gfgsa.com
          Contact:
          Atty. Abel Ayerza, Chairman


DEFENSA Y ENCAUZAMIENTO: Individual Reports Due For Filing Today
----------------------------------------------------------------
The Civil and Commercial Tribunal of the Argentine province of
Salta expects the individual reports for the reorganization of
local company Defensa y Encausamiento S.A. today. These reports
were prepared after the receiver, Mr. Oscar Enriquez Alvarez,
completed the credit verification process.

An earlier report by the Troubled Company Reporter - Latin
America indicated that the province's Court No. 1 approved the
Company's reorganization petition. In the meantime, local sources
did not mention whether the court has set the date for the
informational assembly.

The receiver, a local accountant, is also required to prepare a
general report after the individual reports are processed at
court. This report should be submitted to the court on November
18 this year.

CONTACT:  Defensa y Encauzamiento S.A.
          Ave. Monsenor Tevella 1220
          Salta City

          Oscar Enrique Alvarez
          Dean Funes 615
          Salta


DIRECTV LA: Seecs Court OK to Disclose Confidential Information
---------------------------------------------------------------
Alfred Villoch, III, Esq., at Young Conaway Stargatt & Taylor
LLP, in Wilmington, Delaware, recalls that on September 9, 2003,
the Court allowed the disclosure of certain contractually
protected confidential information to the Creditors Committee's
legal and financial advisor.  Since then, the Debtor determined
that there are over 250 additional contracts by and between the
Debtor and certain programmers or other third-party entities that
contain confidential provisions similar to those detailed in the
Original Motion.  Indeed, all of the Contracts allow its
disclosure and information related thereto only with the written
consent of the other party or to the extent necessary to comply
with the law or a valid order of a court of competent
jurisdiction.

Mr. Villoch notes that the Debtor is in the process of developing
and presenting to the Committee its post-emergence business plan,
which will form the basis for a negotiated plan of
reorganization.  Pachulski, Stang, Ziehl, Young, Jones &
Weintraub P.C. requested disclosure of all agreements entered
into by the Debtor and its predecessors, local operating
companies or wholly owned affiliates.  Pachulski's request
includes the Contracts and other data related to the Contracts
that may fall within the confidential provisions of the Contracts
-- the Requested Information.  Pachulski asserts that this
Requested Information is essential to the evaluation of the
Debtor's proposed restructuring.

Mr. Villoch reports that the Debtor attempted by letter to secure
the written consent of each of the Affected Third Parties to the
restricted disclosure of the Requested Information to avoid
burdening the Court again on this matter.  However, even though
it had received written consent from a number of the Affected
Third Parties, not all consents haven been received to date.
Moreover, there are at least three Affected Third Parties for
which the Debtor has no contact information and, despite its good
faith efforts, has been unable to uncover any contact
information.

Accordingly, the Debtor asks the Court to allow the limited
release, at its sole discretion, of certain contractually
protected confidential information to the Official Committee of
Unsecured Creditors' (a) counsel -- Pachulski, Stang, Ziehl,
Young, Jones & Weintraub PC; and (b) financial advisor -- Huron
Consulting Group, LLC.

The Debtor also asks Judge Walsh to:

   (1) require the disclosure to be made in strict compliance
       with the Non-Disclosure Agreement; and

   (2) find that the disclosure to Pachulski and Huron in
       accordance wit the terms of the Non-Disclosure Agreement
       is necessary to comply with a valid Court order and
       therefore is not in violation of the confidential
       provisions in the Contracts.

Mr. Villoch assures the Court that any disclosure of the
Requested Information will be in strict compliance with the
provisions of the Non-Disclosure Agreement between the parties,
including without limitation, access limited to specific
professionals. (DirecTV Latin America Bankruptcy News, Issue No.
13; Bankruptcy Creditors' Service, Inc., 609/392-0900)


DISCO: Cencosud In Talks With Ahold Execs Over Purchase Offer
-------------------------------------------------------------
Chilean retailer Cencosud SA told the stock exchange in Santiago
that it has offered to buy Argentine supermarket chain Disco SA
from Royal Ahold NV, reports Bloomberg. Cencosud didn't say how
much it has offered for the chain, but said it is currently
negotiating with Ahold executives.

"This offer is logical; Cencosud knows Disco's business structure
because it bought Santa Isabel from Ahold, too," said Francisco
Montaner, country manager at brokerage Lemon Financial Corredores
de Bolsa in Santiago.

In August, Cencosud purchased Santa Isabel SA, another Chilean
supermarket chain, from Ahold, the world's third-largest food
retailer. Ahold is selling its assets in South America as it
moves to pay down more than EUR12 billion (US$13 billion) of debt
acquired in a decade of worldwide expansion.

CONTACT:  DISCO S.A.
          Larrea 847, Piso 1
          1117 Buenos Aires, Argentina
          Phone: +54-11-4964-8000
          Fax: +54-11-4964-8076
          Home Page: http://www.disco.com.ar


DRJ SEGURIDAD: Court Orders Bankruptcy
--------------------------------------
Buenos Aires Court NO. 4, which is under Dr. Ottolenghi orders
the bankruptcy of private security company S.R.J. Seguridad S.A.,
relates Argentine newspaper La Nacion. The ruling comes after
creditor Jose Maria Rius sought for the Company's bankruptcy for
nonpayment of debt.

A local accountant, Mr. Oscar Arias, was assigned as receiver for
the bankruptcy process. Creditors must have their claims verified
by the receiver by November 18 this year. Clerk No. 4, Dr. Juarez
works with the court on the case, La Nacion adds.

CONTACT:  D.R.J. Seguridad S.A.
          Ave. San Juan 3531
          Buenos Aires

          Oscar Arias
          11th Floor
          Carlos Pellegrini 1063
          Buenos Aires


ECAINF: Proof of Claims Filing Ends November 10
-----------------------------------------------
Creditors of Ecainf S.R.L. must have their claims verified by the
receiver, Ms. Mirta Calfun de Bendersky before November 10 this
year, reports Argentine newspaper La Nacion. After the
verification process is completed, the receiver will prepare the
individual reports.

The Company entered bankruptcy after the city's Court NO. 23,
which is under Dr. Villanueva, approved a petition filed by its
creditor, Ms. Silvia Winik for nonpayment of debt.

The receiver will also prepare the general report, but the source
did not mention whether the court, which is assisted by Clerk No.
45, Dr. Timpanelli, has set the cut-off dates for the submission
of the receiver's reports.

CONTACT:  Ecainf S.R.L.
          Ave. Rivadavia 6733
          Buenos Aires

          Mirta Calfun de Bendersky
          Humahuaca 4165
          Buenos Aires


ECIPSA: Evaluadora Latinoamericana Rates US$6.6M of Bonds `C'
-------------------------------------------------------------
Evaluadora Latinoamericana S.A. Calificadora de Riesgo assigned a
`C' rating to US$6.6 million worth of corporate bonds issued by
Argentine company Empresa Constructura Inmobilaria del Plata S.A.
on Wednesday. Argentina's securities regulator, the Comision
Nacional Valores (CNV), described the affected bonds as
"obligaciones negociables" with undisclosed maturity date. The
bonds were classified under "Simple Issue".

The rating, which is based on the company's finances as of the
end of April this year, denotes that the bonds have some risk of
nonpayment.


ESTRUCTURA Y SERVICIOS: Reorganization Official by Court Order
--------------------------------------------------------------
Buenos Aires Court No. 1 approves a motion for "Concurso
Preventivo" filed by local company Estructura y Servicios S.A.,
flashing the go signal for the Company to commence its
reorganization.

Working with Clerk No. 2, the court assigned Mr. Jorge Raul
Mencia, a local accountant as the Company's receiver. He will
authenticate creditors' claims until November 3 this year.

Once the verification process is completed, the receiver will
prepare the individual reports for submission on December 18. He
will also prepare a general report, which is due for filing on
March 2, 2004, after the individual reports are processed at
court.

The informative assembly, which is one of the last parts of the
reorganization process, will be held on August 4 next year.

CONTACT:  Estructura y Servicios S.A.
          Ecuador 337
          Buenos Aires

          Jorge Raul Mencia
          Uruguay 328
          Buenos Aires


FABRIGAL: Court Orders Bankruptcy
---------------------------------
The bankruptcy of Buenos Aires company Fabrigal S.A. moves a step
further as the credit verification process ends today. The
receiver, Mr. Luis Maria Escobar, who verified creditors' claims,
will prepare the required individual reports.

The court ordered the receiver to file the individual reports on
November 17, followed by the general report on February 2, 2004.
The general report is to be prepared after the individual reports
are processed at court.

The city's Court No. 25 issued the bankruptcy order, according to
an earlier report by the Troubled Company Reporter - Latin
America. The court also set the schedule for the steps in the
bankruptcy proceedings.

CONTACT:  Luis Maria Escobar
          Viamonte 1646
          Buenos Aires


FRESKURAL: Court Approves Creditor's Motion For Bankruptcy
----------------------------------------------------------
Argentine plastics company Feskural S.A. enters bankruptcy on
orders from Buenos Aires' Court No. 1, which is under Dr.
Dieuzeide. The city's Clerk No. 2, Dr. Pasina, aids the court on
the case.

La Nacion relates that the court has approved a motion for the
Company's bankruptcy filed by its creditor, Simpa S.A., to whom
it owes some $10,000. The Company's failure to meet its financial
obligations to Simpa prompted the latter to submit the bankruptcy
petition.

Creditors are required to have their claims verified by the
receiver, Mr. Hugo Ruben before the November 4 deadline. The
receiver will also prepare the individual and general reports,
but the source did not reveal whether the court has set the
deadlines for the submission of these reports.

CONTACT:  Freskural S.A.
          2nd Floor, Room F
          Lavalle 1596
          Buenos Aires

          Hugo Ruben
          3rd Floor, Room F
          Rivadavia 1227
          Buenos Aires


FRIGOSOL: Court OK's Reorganization Petition
--------------------------------------------
Frigosol S.R.L., which is domiciled in Catamarca, Argentina, will
undergo reorganization after the province's Court No. 4 approved
its motion for "Concurso Preventivo". Argentine news source
Infobae relates that the province's Civil and Commercial Tribunal
appointed Ms. Silvia Giudice as the Company's receiver. Creditors
must present their proofs of claims to Ms. Giudice for
authentication before October 28 this year.

The receiver's duties include the preparation of the individual
and general reports. However, the source did not reveal whether
the court has set the deadlines for the submission of these
reports.

CONTACT:  Frigosol S.R.L.
          Catamarca 1398
          Lanus Oeste
          Lomas de Zamora

          Silvia Hiudice
          Belgrano 269
          Lomas de Zamora


FRODI: Creditor Claims Due No Later Than Today
----------------------------------------------
The credit verification process for the bankruptcy of Argentine
company Frodi S.A. is due to close today, according to an earlier
report by the Troubled Company Reporter - Latin America.

The Company's receiver, Mr. Gustavo Horacio Manay, who verified
the claims, will start preparing the individual reports, which
must be submitted to the court on November 24 this year. The
general report, which is prepared after the individual reports
are processed at court, must be filed on February 13 next year.

Buenos Aires' Court No. 17 issued the bankruptcy order, and set
the schedule for the proceedings. It is expected that the
Company's assets will be liquidated to reimburse its creditors.

CONTACT:  Frodi S.A.
          Ave. Rivadavia 2986
          Buenos Aires

          Gustavo Horacio Manay
          Montevideo 666
          Buenos Aires


HAKUNA MATATA: Court Sets Deadlines For Bankruptcy Process
----------------------------------------------------------
Buenos Aires' Court No. 23 has set the schedule for the
proceedings involved in the bankruptcy of local company Hakuna
Matata S.R.L.. Argentine news portal Infobae relates that the
individual reports must be submitted on February 4 next year
followed by the general report on March 19.

The receiver, Mr. Anibal Daniel Osuna, will verify creditors'
claims until November 20 this year. Creditors are advised to
present their proofs of claims to the receiver before the said
date.

Mr. Osuna will prepare the individual reports when the credit
check is completed. He will start working on the general report
after the individual reports are processed at court.

CONTACT:  Anibal Daniel Osuna
          Mercedes 3259
          Buenos Aires


INTERNATIONAL TRADE: Reorganization Schedule Set
------------------------------------------------
The informative assembly for the reorganization of Buenos Aires
company International Trade and Investments S.A. will be held on
August 11 next year. A report by Argentine news portal Infobae
indicates that the individual and general reports must be
submitted on March 3, 2004 and April 19, respectively.

Buenos Aires Court No. 4, which handles the Company's bankruptcy,
set the dates mentioned. In the meantime, the Company's receiver,
Mr. Mario Kahan is verifying creditors' claims until December 17
this year.

The individual reports are prepared upon completion of the credit
authentication process. The receiver will the prepare the general
repot after the individual reports are processed at court.

CONTACT:  Mario Kahan
          Lavalle 2306
          Buenos Aires


LA PRIMERA: Court Changes Credit Check Deadline
-----------------------------------------------
The Civil and Commercial Tribunal of San Martin in Argentina has
moved the date for the informative assembly regarding the
reorganization of local company La Primera de Grand Bourg
S.A.T.C.I., reports local news portal Infobae. The meeting will
be held on November 7 this year, the source reveals without
indicating the venue. The province's Court No. 11 handles the
Company's case.


MOLINOS RIO: Agrees to Sell Molfino Hermanos to Saputo
------------------------------------------------------
Saputo Inc. announces that it has entered into a preliminary
agreement with Molinos Rio de la Plata S.A., a public company
from Argentina, to acquire 100% of Molfino Hermanos S.A.
(Molfino), the third largest dairy processor in Argentina. This
transaction is subject to an agreement being reached by the
parties on certain purchase price adjustments before November 30,
2003 and is also subject to other closing conditions. The
purchase price would be US$ 50.8 million and is subject to a
final agreement being reached by the parties.

Molfino operates two plants and employs 850 people. The company
has sales of approximately US$ 90 million. National sales
represent approximately 60% of total sales, with the remaining
40% done through exports. The company produces a wide variety of
soft, semi-soft, hard and grated cheeses as well as butter,
cream, milk powder, UHT milk and dulce de leche (caramelized
milk). Its main brand names are La Paulina, Molfino, Ricrem and
Taluhet. Molfino counts on a third-party distribution network of
more than 200 distributors. Exports sales, mostly comprised of
milk powder and cheeses, are conducted in more than 30 countries
and account for approximately 40% of the total sales.

By giving the Company the opportunity to establish itself in a
market where the raw material is accessible at competitive
international prices, this proposed transaction is in line with
Saputo's goal of becoming a world-class cheese company. Assuming
completion of the transaction, Saputo would have annualized
revenues of more than $3.5 billion, 47 plants and 7,850 employees
in three countries (Canada, United States and Argentina).

About Saputo

Every day, in the Company's 45 plants and its distribution
centres, Saputo's 7,000 employees proudly manufacture, market and
distribute a wide range of products that find their way daily on
store shelves, in restaurants and in prepared meals. Active in
the dairy and grocery product sectors, the Company markets its
products under such brand names as Saputo, Stella, Frigo,
Dragone, Armstrong, Caron, Cayer, Treasure Cave, Dairyland,
Baxter, Nutrilait and Vachon. A dynamic world-class company,
Saputo Inc. is the largest dairy processor in Canada and one of
the leading cheese manufacturers in North America. Saputo Inc. is
a public company and its shares are listed on the Toronto Stock
Exchange under the symbol SAP. Visit www.saputo.com for further
information.

CONTACT:  SAPUTO INC.
          Claude Pinard, Vice President, Communications
          (514) 328-3381

          MOLINOS RIO DE LA PLATA S.A.
          Uruguay 4075 CP (B1644HKG)
          Victoria
          Pcia. de Buenos Aires
          Argentina
          Telephone: 54-11-4340-1100
          Contacts: Mariana Castineira
                    Investors Service
                    Tel: (0054)-(11)-4340-1281
                    E-mail: mariana.castineira@molinos.com.ar


MOXOTO: Receiver to Submit General Report Today
-----------------------------------------------
Mr. Mario Galanti Podesta, receiver for Buenos Aires furniture
dealer Moxoto S.A., is required to present to court the general
report on the Company's reorganization today. The Troubled
Company Reporter - Latin America previously indicated that the
city's Court No. 18 handles the company's case.

The receiver has completed the credit verification process and
the individual reports for the reorganization. The next move
would be the informative assembly to be held on April 9 next
year.

CONTACT:  Moxoto S.A.
          Lavalle 1494
          Buenos Aires

          Mr. Mario Galanti Podesta
          Cramer 2175
          Buenos Aires


OROFRUTAL: Deadline For Individual Reports Filing Expires Today
---------------------------------------------------------------
The individual reports for the bankruptcy of Buenos Aires-based
company Orofrutal S.A. are due for filing at the court today. The
court-appointed receiver, Mr. Raul Jose Abella, who verified
creditors' claims, prepared the reports.

The reports are to be presented to the city's Court No. 9, which
handles the Company's case. Clerk No. 17 works with the court on
the case, the Troubled Company Reporter - Latin America earlier
said. After the reports are processed at court, the receiver will
prepare the general report. The court requires this report to be
submitted on November 19 this year.

CONTACT:  Raul Jose Abella
          Uruguay 660
          Buenos Aires


PILDAN ROQUE: General Reports Filing Due Today
----------------------------------------------
The Civil and Commercial Court of the province of Buenos Aires
requires the receiver of Pildan Roque Vicente Pildan Marcelo
Osvaldo S.H. to submit the general report for the Company's
bankruptcy today, October 6, 2003. The report was prepared after
the individual reports were processed at court.

The receiver, Juan Carlos Bianchi, was required to submit the
individual reports to court last August 25. The province's Court
No. 4 holds jurisdiction over the case, the Troubled Company
Reporter - Latin America earlier revealed.

CONTACT:  Juan Carlos Bianchi, receiver
          Leandro N. Alem Street
          No. 37 San Nicholas
          Province of Buenos Aires


SECURITY CONSULTANTS: Last Day For Credit Verifications
-------------------------------------------------------
Creditors of Security Consultants Office S.R.L. must present
their proofs of claims to the Company's receiver as the deadline
for the credit verification process for the Company's
reorganization expires today.

The court-appointed receiver, Ms. Marta Susana Polistina will
prepare the individual reports, which are due for submission on
November 11 this year. The receiver will also prepare a general
report to be filed on February 4, 2004.

According to an earlier report by the Troubled Company Reporter -
Latin America, the city's Court No. 10 approved the Company's
motion for "Concurso Preventivo", giving it permission to undergo
reorganization.

The court called for an informative assembly to be held on July
8, 2004, local news source Infobae adds without indicating the
intended venue.

CONTACT:  Marta Susana Polistina
          Ave. Corrientes 745
          Buenos Aires


SUSHI EXPRESS: Individual Reports Due For Filing Today
------------------------------------------------------
Ms. Gloria Leonor Della Sala, the receiver for Sushi Express
S.R.L., which is domiciled in Buenos Aires, must file the
individual reports for the Company's bankruptcy today. The report
will focus on the results of the recently concluded credit
verification process.

The Troubled Company Reporter - Latin America earlier revealed
that the city's Court No. 23 ordered the Company's bankruptcy and
assigned the receiver for the process.

Aside from verifying creditors' claims and preparing the
individual reports, the receiver is also required to prepare a
general report after the individual reports are processed at
court. This report is to be submitted on November 17 this year.

CONTACT:  Sushi Express S.R.L.
          25 de Mayo 432
          Buenos Aires

          Gloria Leonor Della Sala
          Uruguay 662
          Buenos Aires


TELECOM ARGENTINA: Responds With Clarification To Stock Exchange
----------------------------------------------------------------
Pedro Insussarry, Responsible for Market Relations of Telecom
Argentina STET-France Telecom S.A., wrote a letter to the Buenos
Aires Stock Exchange on September 16, 20003 to respond to a
request made by the exchange.

Below is the copy of the letter:

September 16, 2003

BUENOS AIRES STOCK EXCHANGE

Dear Sirs,

RE.: YOUR LETTER CD No. 169413

I am writing you as Responsible for Market Relations of Telecom
Argentina STET-France Telecom S.A. ("the Company") to respond to
the referred note, whereby you request the translation of the
press release issued by Telecom Italia that mentions " the
purchase option on the shares of Nortel Inversora S.A., acquired
recently by W de Argentina Inversiones... ".

In compliance with your request, please find attached the free
translation of the press release of Telecom Italia SpA, dated
September 9, 2003, but it is necessary to clarify the following
issues:

1. As stated in the last paragraph of the attached press release,
the purchase option of the Telecom Italia Group is not referred
to the shares of Nortel Inversora but to the shares of a new
corporation yet not established, that is identified as "Newco",
that will be created by the Telecom Italia and France Telecom
Groups and to which both Groups will transfer the respective
share participation in Nortel Inversora S.A., before the transfer
of shares that the France Telecom Groups has agreed with the
Werthein Group, all subject to the prior approval of the
Argentine authorities.

2. In the press release of Telecom Italia, a material error was
detected with respect to the date as from which the option
granted by France Telecom to the Werthein Group to purchase the
remaining 2% of the their shares in the Newco can be executed.
The correct date from which the option can be executed is January
31st, 2008 and not December 31st, 2008. The date was corrected in
the attached translation in order to avoid confusion of those who
read the press release.

3. As stated in the note sent by Nortel Inversora S.A. to the
Bolsa de Comercio de Buenos Aires on September 9, the share
transfer transaction agreed upon France Telecom Group and the
Werthein Group, is subject to obtaining the necessary approvals
of the Argentine authorities. Therefore, the purchase option of
the shares of the Newco that the Werthein Group has agreed with
the Telecom Italia Group is a mere right of expectation that
requires for its own effectiveness the previous consolidation of
the above-mentioned transaction.

PRESS RELEASE OF TELECOM ITALIA DATED SEPTEMBER 9, 2003

Agreement Telecom Italia and Werthein Group

In relation to the agreements undertaken between France T‚l‚com
and the Argentine Werthein Group (which is conditional upon
receipt of all necessary authorizations by local authorities) for
the sale of France T‚l‚com's stake in Nortel Inversora (the
controlling shareholder in Telecom Argentina), the Telecom Italia
Group, which currently owns 50% of Nortel ordinary stock, has
entered into an agreement with the Werthein Group with a view to
protecting its investment in Argentina.

Prior to the sale, the France T‚l‚com Group and the Telecom
Italia Group will contribute their interests in Nortel to a new,
equally owned company (Newco).

The France T‚l‚com Group will then sell 48% of Newco to the
Werthein Group, together with a call option on the remaining 2%
(which may be exercised from January 31, 2008 to December 31,
2013). The Telecom Italia Group has agreed to acquire a call
option on the Werthein Group's interest in Newco. The price of
this call option is 60 million US dollars, which may be exercised
from 31 December 2008 to 31 December 2013.


TGN: To Transfer Liquid Reserves To Bahamas Trust
-------------------------------------------------
Transportadora de Gas del Norte S.A., an embattled Argentine gas
pipeline company, announced Wednesday that it will temporarily
transfer liquid reserves to a trust company it has recently
established in the Bahamas, Dow Jones relates.

The Company, in a statement to the Buenos Aires Stock Exchange,
explained that the move is part of an effort to reach an
agreement with its creditors on a debt restructuring. The move
was conceived as a "transitory measure" that "safeguards the
rights of creditors," with the assets reverting back to the
company after a six-month period. Among three principles behind
this approach, the statement said, was a determination to "assure
the equal treatment of all financial creditors to the company."

According to analysts, creditors had wanted to see funds
earmarked for a future restructuring set aside and that this move
- which establishes both the Company and its creditors as
beneficiaries of the trust - would do that.

"This is the way of showing that the proceeds from the operations
go to this account," said Luciano Gremone, an analyst at S&P in
Buenos Aires. "It's a way of preventing any use of the funds for
other purposes like capex (capital expenditure)."

TGN, which had around US$610 million of total debt and around
US$70 million in cash as of June 30, has been in negotiations for
many months with creditors about new debt repayment deadlines.
However, it has not yet launched an official debt-restructuring
proposal. The Company's main creditors are the International
Financial Corporation, Spain's SCH and Boston Bank of America.

TGN is a natural gas transporter serving northern and central
Argentina. It is 29.4% owned by US-based CMS and 70.4% by the
Gasinvest consortium of France's TotalFinaElf (27.2%),
Argentina's Compania General de Combustibles (27.2%), Argentina's
Techint (27.2%), and Malaysia's state oil company Petronas
(18.4%).

CONTACT:  TRANSPORTADORA DE GAS DEL NORTE (TGN)
          Don Bosco 3672, (C120ABF) Buenos Aires, Argentina.
          Phone: (+54 11) 4959-2000
          Fax: (+54 11) 4959-2242
          Home Page: www.tgn.com.ar/


*Argentina's Congress Passes Law Unfreezing Utility Rates
---------------------------------------------------------
An unnamed source from Argentina's government revealed that the
Congress has passed a law allowing utility rates to be raised for
the first time in nearly two years. The law permits the executive
branch to raise rates. But according to Reuters, it is not clear
though when increases might be imposed.

Argentina previously committed to passing the law when it struck
a three-year debt rollover deal with the International Monetary
Fund last month. The Senate approved the measure six weeks ago.

The government froze utility rates and sharply devalued the peso
currency in January 2002 during Argentina's worst-ever economic
crisis. The rate freeze was meant to protect the 50% percent of
Argentines living in poverty and the 16% without jobs.



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

FOSTER WHEELER: Wins US$90M EPC Fuels Project Contract
------------------------------------------------------
Foster Wheeler (NYSE: FWC) has announced it has been awarded a
$90 million contract by the New Zealand Refining Company Ltd.
(NZRC) for the Future Fuels clean fuels project. The contract,
which is the second stage of the project, covers the full
engineering, procurement and construction (EPC) part of the
project up to ready-for-start-up with assistance for the
commissioning of the plant.

Located at Whangarei, North Island, New Zealand, the contract
involves the modification of New Zealand's sole refinery to
produce low-sulfur diesel fuel and low-benzene, -sulfur and -
aromatics gasoline. Foster Wheeler plans to carry out engineering
and procurement from its office in Sriracha, Thailand, one of
four Foster Wheeler execution centers in the Asia Pacific region.
The project management team will reside in New Zealand.

During the first stage of the contract, which has now been
completed, Foster Wheeler supported NZRC in producing an EPC
sanction package from a number of separate basic design
engineering packages (BDEPs) and assisted in the development of
the total installed cost estimate. Details of this project
include new processing units for hydrodesulfurization, benzene
removal and hydrogen separation, as well as integration into the
existing facilities. Foster Wheeler is working on the refinery to
ensure compliance with forthcoming changes to New Zealand's
national transport fuel specifications. These require reduced
sulfur in automotive diesel fuel (50 ppm or less) and reduced
benzene (one percent by volume), sulfur and aromatics content in
motor gasoline by January 1, 2006.

Steve Davies, managing director, sales, marketing & strategic
planning, Foster Wheeler, said, "This second award of work by the
New Zealand Refining Company further reinforces their trust and
faith in our ability to deliver a world-class project within
budget and on deadline. This is a flagship project in New Zealand
and represents the largest investment in this refinery for 20
years."

Work began on the site in September 2003 and start-up of the new
facilities is scheduled for August 2005. This project was
included in second-quarter 2003 new orders and backlog.

CONTACT:  Foster Wheeler Ltd.
          Richard Tauberman
          Phone: 908-730-4444

          Other Inquiries:
          Phone: 908-730-4000


TRENWICK GROUP: Completes Sale of Trenwick Int'l. Ltd.
------------------------------------------------------
Trenwick Group Ltd. (in Provisional Liquidation) ("Trenwick"),
announced Thursday that its subsidiary Trenwick Holdings Limited
has completed the previously announced sale of all of the capital
stock of Trenwick International Limited ("Trenwick
International"), Trenwick's London-based specialty insurance and
reinsurance subsidiary, currently in runoff, as well as all of
the capital stock of Trenwick Management Services Ltd ("TMS") and
Specialist Risk Underwriters Limited ("SRU"), to LCL Acquisitions
Ltd, an associated company of the Litigation Control Group
("LCL"). TMS is Trenwick International's management services
company. SRU is a company that has carried out underwriting
agency services for Trenwick International and other entities.
The Financial Services Authority of the United Kingdom has
approved the transaction.

Background Information

Trenwick is a Bermuda-based specialty insurance and reinsurance
underwriting organization with subsidiaries located in the United
States, the United Kingdom and Bermuda. Trenwick's operations at
Lloyd's, London underwrite specialty insurance as well as treaty
and facultative reinsurance on a worldwide basis. Trenwick's
United States specialty program business and its United States
reinsurance business through Trenwick America Reinsurance
Corporation are now in runoff. In 2002, Trenwick sold the in-
force business of LaSalle Re Limited, its Bermuda based
subsidiary.

On August 20, 2003, Trenwick and its affiliates LaSalle Re
Holdings Limited ("LaSalle Re Holdings") and Trenwick America
Corporation ("Trenwick America," and collectively with LaSalle Re
Holdings and Trenwick, the "Debtors"), as a step in its
previously announced restructuring and in accordance with its
August 6, 2003 letter of intent with creditors (the "Letter of
Intent"), filed for protection under chapter 11 of the United
States Bankruptcy Code (the "Bankruptcy Code") with the United
States Bankruptcy Court for the District of Delaware (the
"Bankruptcy Court"). Additionally, Trenwick and LaSalle Re
Holdings filed proceedings in the Supreme Court of Bermuda, known
under Bermudian law as "winding up", as a further step in the
restructuring and in accordance with the previously announced
Letter of Intent. Trenwick's insurance company subsidiaries,
Trenwick America Reinsurance Corporation, The Insurance
Corporation of New York and LaSalle Re Limited, all of which are
in runoff, and its Lloyd's operations are not subject to the
proceedings in the Bankruptcy Court or the Supreme Court of
Bermuda and their operations continue.

CONTACT:  Trenwick Group Ltd.
          Alan L. Hunte
          Phone: 441-292-4985



=============
B O L I V I A
=============

* S&P Commentary Examines Bolivia's Response to Turmoil
-------------------------------------------------------
Standard & Poor's Ratings Services issued Thursday a commentary
that examines the turmoil that has roiled the Republic of Bolivia
(B/Stable/C) since the beginning of 2003, and reviews the
government's efforts to break the country's long period of
economic dissatisfaction.

The article, entitled "Trying to Regain Momentum: The Political
and Economic Challenges Facing the Bolivian Government,"
(available on RatingsDirect, Standard & Poor's Web-based credit
analysis system, at www.ratingsdirect.com; members of the media
may obtain copies of the full report by contacting Christopher
Mortell at (1) 212-438-2756 or by E-mail at
christopher_mortell@standardandpoors.com), reviews the steps
taken by President Gonzalo Sanchez de Lozada to help stabilize
the political situation, and outlines very significant challenges
that still lie ahead.

"Fiscal measures proposed at the beginning of this year aimed at
reducing the increasing fiscal deficit, in a context of already
unstable social environment, triggered the violent riots of Feb.
11-12, 2003," said Credit Analyst Sebastian Briozzo. "This unrest
put Bolivia's institutional framework at risk and was the most
severe shock experienced by the political system since democracy
was restored in 1982," he added.

The riots made the shallowness of the government's mandate clear,
and resulted in the launching of major initiatives designed to
improve the country's governability and to protect its political
system. The relative success of these initiatives in neutralizing
the process of political deterioration led Standard & Poor's to
revise its outlook on Bolivia's rating to stable from negative on
August 20, 2003, with its 'B' foreign currency rating affirmed at
that time.

"While the government's initiatives have thus far stemmed the
increasing political and social disintegration that peaked in
February 2003, economic dynamics will continue to play an
important role in consolidating political stabilization,"
explained Mr. Briozzo. "The lack of an increase in living
standards for most of the population, despite the economic reform
of the last decade, is the catalyst for the current political
instability. GDP per capita has barely grown over the last 20
years, and poverty levels are still among the highest in Latin
America," he said.

Mr. Briozzo said that a combination of gas exports and an active
policy that expands and sustains the incorporation of higher
value-added, labor-intensive, nontraditional exports could
provide the opportunity to break the long period of economic
dissatisfaction in Bolivia. "However, as recent demonstrations
continue to indicate, the political situation is still fragile
and the challenges ahead remain enormous," Mr. Briozzo noted.
"Future progress in initiatives such as the Reencuentro will
demonstrate the readiness of Bolivia's political class to face
these challenges and to take advantage of the associated
possibilities," he concluded.

ANALYST: Sebastian Briozzo, New York 212-438-7342



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

ELETROPAULO METROPOLITANA: Some Bondholders Waive Call Provision
----------------------------------------------------------------
Some of the bondholders of Eletropaulo Metropolitana SA, a
Brazilian unit of AES Corp., agreed to waive their right to early
repayment on their real-denominated bonds until Dec. 15,
Bloomberg indicates. According to Sergio Tamashiro, an analyst at
Uniao de Bancos Brasileiros SA in Sao Paulo, the Sao Paulo-based
utility owes BRL150 million to the bondholders that agreed to the
waiver.

The waiver may prompt other creditors of the Sao Paulo-based
utility to waive faster repayments, which may help Eletropaulo
lengthen maturities on about BRL2.5 billion ($862 million) in
debt, Tamashiro said.

"This is very positive for the company," said Tamashiro who has a
"hold" rating on Eletropaulo stock. "It may be a trigger for a
chain effect for other creditors to also waive their rights."

The bondholders' right to demand faster repayment was triggered
by the Company's default this year on a US$305-million syndicated
loan from a group of banks led by FleetBoston Financial Corp.

Last week, Eletropaulo asked creditors to postpone payments on
BRL2.5 billion in debt until as late as 2008.

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


GERDAU: Predicts Exports to Exceed 3 Million Metric Tons In 2003
--------------------------------------------------------------- -
The Gerdau Group, largest producer of long steel in the Americas,
should close 2003 with a total of 3.2 million metric tons of
steel exported from Brazil, a growth of 72% in relation to the
1.9 million metric tons shipped in the previous year. In 2003,
Gerdau Group exports will represent around 10% of the country's
total steel production, and should bring in revenues of more than
US$ 800 million. Volume shipped from Brazil is expected to
increase 72% from the 1.9 million metric tons exported in 2002

"Even with this increase in exports, we will continue to meet
domestic demand for Gerdau products," stated Osvaldo Schirmer,
Corporate Executive Vice-President for Finance and Investor
Relations.

The Group's record export performance reflects the increased
production at A‡ominas and the conquest of new markets. "Three
factors have been fundamental in achieving this performance,"
said Schirmer, "the competitiveness of Brazilian steel, increased
international demand, and reduced sales by traditional exporting
countries like Russia and Ukraine." The changed export profile of
these countries results from increases in their internal demand.

OVERVIEW OF THE GLOBAL STEEL INDUSTRY

Global steel production should total 950 million metric tons this
year According to data from the International Iron and Steel
Institute (IISI), global steel production should show 8% growth
in 2003, reaching a total of 950 million metric tons. Of this
amount, around 300 million metric tons will be destined for the
international market. Gerdau Group exports currently represent
around 4% of the world's trade in long steel products, which is
estimated at 84 million metric tons.

CONTACT:  Press Office +55(51) 3323-2170
          imprensa@gerdau.com.br
          www.gerdau.com.br



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

BAVARIA: Fitch Assigns 'BB' Rating to Notes, Outlook Negative
-------------------------------------------------------------
Fitch Ratings has assigned 'BB' senior unsecured foreign and
local currency ratings to Bavaria S.A. (Bavaria). The Rating
Outlook for Bavaria's foreign currency rating is Negative and the
Rating Outlook for its local currency rating is Stable. The
Rating Outlook for the foreign currency rating is constrained by
Fitch's ratings of the Colombian government at 'BB' Rating
Outlook Negative. In conjunction with these ratings, Fitch has
assigned a 'BB' rating to Bavaria's proposed US$400 million
senior notes due in 2010. The Rating Outlook for these U.S.
dollar denominated notes is Negative.

Bavaria is a Colombian operating company with breweries and other
beverage facilities in Colombia. Bavaria also holds direct and
indirect equity interests in several beer companies throughout
Latin America. The senior notes will have joint and several
financial guarantees from the following subsidiaries of Bavaria:
Malteria Tropical S.A. (Malteria), Productora de Jugos S.A.
(Jugos), Cerveceria Union S.A. (Cervunion), Latin Development
Corporation (Ladco) and Cerveceria Nacional de Panama S.A. (CN).

The 'BB' rating for the proposed senior unsecured notes is
supported by the company's leading position in the beer industry
of Colombia, Peru, Ecuador and Panama. During 2002, Bavaria had
estimated market shares in each of these countries of 98.3%,
99.0%, 94.5% and 80.4%, respectively.

These leading positions reflect the high barriers to entry in the
Latin American beer market. In addition to cultural reasons,
international brewers have shied away from entering the company's
markets because of the strong -- and almost nationalistic --
brand equity of the company's flagship brands, such as Aguila and
Cristal. Furthermore, entering a market such as Colombia or Peru
would be costly due to the dearth of supermarkets and the
prevalence of on-premise consumption of beer in most of Bavaria's
key markets. On-premise consumption makes an elaborate
distribution system essential, which is difficult and expensive
to duplicate. Imports are not a factor in the company's markets
due to the low price paid for beer in the region, which is
primarily a result of the almost exclusive use of the returnable
glass bottle in the region.

Similar to most brewers in Latin America, Bavaria generates
strong, albeit volatile, free cash flows. Sales are typically on
a cash basis. Capital investments will be modest in the future as
a result of excess production capacity in the company's key
Colombian and Peruvian markets. Unlike Western Europe or the
United States, a high percentage of the population in Latin
America is under 40 years of age, which is the key target market
for beer companies.

Bavaria operates in several non-investment grade countries.
Fitch's ratings of these countries are as follows: Colombia
('BB', Rating Outlook Negative), Peru ('BB-', Rating Outlook
Negative), Ecuador ('CCC+', Rating Outlook Positive) and Panama
('BB+', Rating Outlook Negative). As a result, political and
economic risk in the countries in which the company operates is
high. Low-rated sovereigns, at times, can have rapid changes in
political leadership and economic policies. Bavaria is vulnerable
to higher taxes on beer, as the largest taxpayer in the
aforementioned countries. Furthermore, with market shares of
nearly 100% in its top markets, Bavaria remains susceptible to
philosophical changes at anti-trust agencies in the region.
Historically, these agencies have been focused on preventing
monopolistic behavior, not monopolies per se.

Modest increases in competition have been factored into Fitch's
ratings. On Feb. 19, 2003, the Brazilian based brewer Companhia
de Bebidas das Americas (AmBev) announced plans to start
greenfield operations in Lima, Peru, by building a brewery that
will have an annual production capacity of one million
hectoliters. This plant should be completed during 2004. It is
possible that AmBev, which is the largest brewer in Latin
America, will also build a plant in Colombia. Fitch does not
expect AmBev to dramatically erode Bavaria's market position in
Peru and Colombia during the next five to ten years in these
markets. The ratings reflect some concern, however, that if AmBev
aggressively discounts the prices for its beer in these markets,
as it did when it entered the Argentine market, Bavaria's profit
margins could be pressured.

Fitch views the underlying credit quality of Bavaria to be
consistent with a 'BB+' rating. The rating of the senior notes
has been notched to the 'BB' level, however, to reflect the
structural subordination of the notes to secured loans of US$318
million with the International Finance Corporation (IFC) and
US$100 million of loans with Corporacion Andina de Formento (CAF)
as well as debt at operating companies in Peru (US$281 million as
of June 30, 2002) and Panama (US$45 million). In addition, unlike
the US$318 million loan from the IFC, the notes do not enjoy a
financial guarantee from the company's subsidiaries in Ecuador.
The notch from 'BB+' to 'BB' also reflects different recovery
rates between the company's secured and unsecured debt. The IFC
and CAF loans are secured by Bavaria's breweries in Barranquilla
and Itagui, as well as by upstream guarantees from several
operating subsidiaries.

In spite of owning 74% of the voting shares in its Peruvian
subsidiary Union de Cervecerias Peruanas Backus y Johnston S.A.A.
(Backus), Bavaria's total economic stake in this company is 38%.
Should Bavaria increase its economic stake in Backus to
approximately 75%, Fitch may view the company's cash flow and
currency diversification from outside Colombia to be sufficient
for rating Bavaria's foreign currency debt above the sovereign
rating of Colombia.

Fitch expects Bavaria to generate approximately US$610 million of
operating income plus depreciation and amortization (EBITDA)
during 2004. With capital expenditures expected to be
approximately US$100 million, taxes projected to be US$150
million, interest expense estimated to be about US$170 million
and changes in working capital likely to be around US$30 million,
Bavaria should generate approximately US$160 million of free cash
flow. With dividends anticipated to be about US$60 million, the
company should have about US$100 million that it can use to
reduce its debt to less than US$1.8 billion by the end of 2004.
These figures translate into a total debt-to-EBITDA ratio of 3.0
times (x) and an EBITDA-to-interest expense coverage of 3.6x,
which are both consistent with the rating category.

Fitch believes that Bavaria (on an unconsolidated basis) and the
financial guarantors of the unsecured notes will generate about
US$300 million of EBITDA in 2004 and have about US$1.3 billion of
debt. Additional financial support for the bonds could come from
the free cash flow of Backus, which should total about US$70
million in 2004. These funds should be available to Bavaria,
given its level of ownership in Backus. These figures translate
to a total debt-to-EBITDA ratio of 3.5x.

As of June 30, 2003, Bavaria had US$341 million of off-balance-
sheet guarantees and contingent liabilities. Due to the nature of
these liabilities, Fitch believes the financial risk to Bavaria
to be approximately US$50 million. Most of these liabilities
occurred as a result of the spin off of Bavaria's non beverage
businesses into a company called Valores Bavaria S.A. (VB).
Importantly, Bavaria's loans from IFC have a covenant that
prohibits the company from guaranteeing any obligations of VB in
the future.

CONTACT:  Fitch Ratings
          Joe Bormann, CFA
          Chicago
          Phone: 312-368-3349

          Milena Carrizosa or Carlos Ramirez
          Bogota, Colombia
          Phone: +571-347-4573

          Media Relations:
          Matt Burkhard
          New York
          Phone: 212-908-0540


BAVARIA: S&P Assigns 'BB' to Foreign Currency Credit Ratings
------------------------------------------------------------
Standard & Poor's Rating Services assigned its 'BB' foreign
currency corporate credit rating to Bavaria S.A. (Bavaria). The
outlook is stable. Concurrently, Standard & Poor's assigned its
'BB' rating to Bavaria's planned US$400 million senior unsecured
notes that mature in 2010 and will have the guarantee of several
of its nonrated subsidiaries, which currently generate about 59%
of its consolidated revenue.

The ratings on Bavaria reflect its leadership in the beer
industries of Colombia, Peru, Ecuador, and Panama; the attractive
demographics of those countries; the company's well-established
brands; and its significant cash flow generation. Nevertheless,
Bavaria is still affected by vulnerabilities particular to the
countries of operation, such as the volatility of their
currencies, strong correlation between the company's sales and
the economic performance of these countries; and potential local
tax changes, all under a relatively high debt leverage resulting
from recent acquisitions.

"The stable outlook reflects Standard & Poor's expectation that
Bavaria's significant cash flows will continue, along with the
ongoing efforts to improve efficiencies and reduce leverage,"
said Standard & Poor's credit analyst Federico Mora. "The foreign
currency rating is limited by the significant transfer and
convertibility risk implied by the sovereign ratings assigned to
the main countries of operation for Bavaria."

ANALYSTS:  Federico Mora, Mexico City (52) 55-5279-2036
           Manuel Guerena, Mexico City (52) 55-5279-2011



===================================
D O M I N I C A N   R E P U B L I C
===================================

TRICOM: Initiates Restructuring After Missed Interest Payment
-------------------------------------------------------------
Tricom, S.A. (NYSE:TDR) announced Thursday that it has initiated
discussions with holders of its 11-3/8% Senior Notes, and its
bank lenders, and is continuing discussions with potential
strategic partners, to formulate a restructuring plan.

The Company did not make an approximately $11.4 million interest
payment on its 11-3/8% Senior Notes due 2004, originally
scheduled for September 2, 2003. The Company has engaged Bear,
Stearns & Co. Inc. to help advise in its restructuring efforts
and to help evaluate financial and strategic alternatives.

About TRICOM

Tricom, S.A. is a full service communications services provider
in the Dominican Republic. The Company offers local, long
distance, mobile, cable television and broadband data
transmission and Internet services. Through Tricom USA, the
Company is one of the few Latin American based long distance
carriers that is licensed by the U.S. Federal Communications
Commission to own and operate switching facilities in the United
States. Through its subsidiary, TCN Dominicana, S.A., the Company
is the largest cable television operator in the Dominican
Republic based on its number of subscribers and homes passed. The
Company also offers digital mobile integrated services including
two-way radio and paging services in Panama using iDEN(R)
technology. More information about Tricom may be obtained from:
www.tricom.net

Additional information is also available through Tricom's
Investor Relations website at http://www.tdr-investor.com/or by
contacting the company's Investor Relations department at the
above numbers.

CONTACT:  Tricom, S.A.
          Miguel Guerrero, Investor Relations
          Phone: +1-809-476-4044
                 +1-809-476-4012
          Email: investor.relations@tricom.net

          Home Page: http://www.tricom.net/
                     http://www.tdr-investor.com/


UNION FENOSA: Signs Final Accord To Return Distributors to DR
-------------------------------------------------------------
Following a series of last minute minor adjustments, Dominican
Republic state power company CDEEE signed a final agreement with
Spanish power company Union Fenosa early Wednesday morning to buy
back Fenosa's 50% stakes in local distributors Edesur and
Edenorte.

"We are very happy with this agreement, and the basic terms are
the same as the original agreement signed on September 10," Union
Fenosa spokesperson Claudio Vallejo told Business News Americas.

The EUR384-million agreement will see the creation of a new
company - Distribuidora Dominicana de Electricidad (Diodel) -
that through a usufruct agreement will own Edesur and Edenorte's
assets.

According to Business News Americas, Diodel will rent out the
infrastructure to Edenorte and Edesur for 12 years, using sales
income as a guarantee.

Fenosa will use part of the funds generated from the usufruct
agreement to pay Edesur and Edenorte's debts. Fenosa will also
receive EUR100 million as partial compensation for the company's
total EUR300-million investment in the country.



=============
J A M A I C A
=============

JPSCO: To Pay $3.2M In Damages To Parents of Electrocuted Boy
-------------------------------------------------------------
The Jamaica Public Service Co. (JPSCo), controlled by bankrupt
US-based Mirant Corporation, lost in a case filed against it by
the parents of a 16-year-old boy who was electrocuted in November
1997 when he came in contact with high tension wires dangling
from a JPSCo post on Berrydale Lands, near Discovery Bay, St.
Ann.

The Jamaica Gleaner recalls Damion Philip Ward, a student, was
walking along a footpath on the Berrydale Lands, when he came in
contact with high tension wires dangling from a JPSCo post and
was electrocuted.

Subsequently, the boy's parents, Philip Ward and Christine
Gabbidon, filed a suit in the Supreme Court against the JPSCo,
accusing the Company of negligence because it failed to maintain
the wires or to warn persons using the footpath, of the danger
posed by the wire.

On Wednesday, Justice Gloria Smith ordered JPSCo to pay the
parents $3.2 million in damages ($3.1 million in general damages
and $121,000 in special damages). The general damages included
loss of future earnings and loss of expectancy of life.


JUTC: $40M In Savings Expected from Increased Efficiency
--------------------------------------------------------
Danny Roberts, president of the Union of Clerical Administrative
and Supervisory Employees, said that increased efficiency at the
Jamaica Urban Transit Company (JUTC) Limited could produce
savings of about $40 million, the Jamaica Observer reports.
This amount, according to Mr. Roberts, could be used to offset
employees' claims for a wage increase.

"The union's claim for increased wages and improved working
conditions for the contract period 2003/2004 are set to achieve
efficiency and equity, as critical elements of a compensation
strategy," Roberts said in a letter to the bus company.

The union, Roberts said, had identified areas of inefficiency and
internal inconsistencies, which exist at the Company, and had
suggested concrete steps to achieve cost-effective solutions and
operational efficiencies.

A vital component in ensuring the viability and sustainability of
the bus company, Roberts said, was the establishment of a broad-
based efficiency improvement committee to promote workers'
creativity and innovation, as well as placing an employee on the
JUTC board.

These are some components of the union's wage claim, which,
according to Roberts, is productivity-based.



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

GRUPO DESC: Closes Sale Of Adhesives, Waterproofing Businesses
--------------------------------------------------------------
DESC, S.A. de C.V. announces the closing of the sale of its
adhesive and waterproofing businesses, of the consumer products
division, to Henkel Group. The amount of this transaction will
not be disclosed. The proceeds will be used primarily to reduce
bank debt and strengthen the financial structure of the company.

The adhesives business includes the following brands: Resistol,
Resistolito and Simon and the waterproofing business includes:
Fester, Acriton and Resikon brands.

Desc, S.A. de C.V. is one of Mexico's largest industrial groups
with sales of approximately US$ 2.0 billion during 2002 and more
than 16,000 employees. Through its subsidiaries, the Company is a
leading operator in the Autoparts, Chemical, Food and Real Estate
Sectors.

CONTACTS:  Arturo D'Acosta Ruiz
           Alejandro de la Barreda
           Phone: (5255) 5261-8037
           alejandro.delabarreda@desc.com.mx

           Blanca Hirani
           Melanie Carpenter
           Phone: 212-406-3693
           bhirani@i-advize.com



=================================
T R I N I D A D   &   T O B A G O
=================================

CARLISLE TIRE: Industrial Court Grants Ex-Parte Injunction
----------------------------------------------------------
Trinidad's Industrial Court, in an unprecedented move on Tuesday,
granted an ex-parte injunction against Carlisle Tire and Rubber
(Free Zone) Ltd. barring the Company from disposing of its assets
and equipment at the Point Fortin Factory, the Trinidad Express
reports.

Labor Minister Larry Achong and parliamentary representative for
Point Fortin said the injunction had been filed on behalf of 471
of Carlisle Tire's employees, who were fired for protesting
against their working conditions.

The injunction will be implemented until the matter is resolved
at the Industrial Court. Achong said the Company's assets are now
under judicial management so as to ensure if the Industrial Court
rules against it, Carlisle will have money to pay its workers.



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

PDVSA: Late Financials May Lead Creditors To Seek Early Payment
---------------------------------------------------------------
Failure by Petroleos de Venezuela SA, the state oil company, to
delay for the second time the release of its 2002 results may
lead creditors to seek immediate payment of up to US$2.5 billion,
El Universal suggests in a report. PDVSA President Ali Rodriguez
somehow agrees with El Universal, saying that failure to meet a
Securities and Exchange Commission deadline allows creditors to
seek immediate payment, as per loan and bond agreements, relates
Bloomberg.

But Mr. Rodriguez is confident that the scenario won't occur as
the Company has a good rapport with creditors.

PDVSA announced last week that it couldn't meet a deadline
extension that expired September 30 due to a two-month long
nationwide strike earlier this year that reduced its workforce by
45 percent. It has asked another one-month extension to release
the results.


PDVSA: Seeks 50% Increase on Orimulsion Price
---------------------------------------------
It was a relief to the foreign clients of Bitor when PDVSA made a
commitment to fulfill the Orimulsion producer's existing contract
obligations. In September, PDVSA's board decided to liquidate
Bitor and passed the business to one of its divisions, PDVSA
Oriente. The move caused foreign power companies to worry that
PDVSA could cut off their fuel supply.

Recently however, PDVSA vowed to fulfill Bitor's obligations but
at a higher price. According to a Bitor source, PDVSA is
negotiating with its foreign clients to increase the price of
orimulsion by about 50% to US$45 a tonne. Orimulsion, a 70:30 mix
of extra heavy crude and water, currently sells for about US$32-
US$33 a tonne.

Bitor wants "to optimize the profitability of the business," the
source said.

It's "logical" that Venezuela's government wants to negotiate the
best price it can get for its heavy crude reserves, but that
doesn't mean it should abandon companies that have already
converted their plants to use orimulsion, the president of the
Anzoategui chapter of Venezuela's oil chamber, Jose Antonio Perez
told Business News Americas.

Bitor is the world's only producer of orimulsion, so it has its
clients over a barrel, as they have already invested heavily in
converting coal-fired thermoelectric plants to burn orimulsion.

Faced with the alternative of Bitor cutting supplies altogether,
the clients have no choice but to negotiate.

"Once these plants have been converted to use orimulsion as fuel,
you definitely can't turn around and say that tomorrow we are not
going to produce any more and leave you hanging with your plant
already built," Perez said.



               ***********


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
members of the same firm for the term of the initial subscription
or balance thereof are $25 each.  For subscription information,
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