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        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, March 1, 2004, Vol. 5, Issue 42

                            Headlines

A R G E N T I N A

AGENCIA DE INVESTIGACIONES: Undergoes Reorganization
ALDO MALASPINO: Receiver Ends Verification Process
BIAN TOURS: Files "Concurso Preventivo" Motion
CARDIOVAS: Credit Verification Process Expires Today
CENTRO DE RESTAURACION: Court Assigns Receiver

COMPONENTES PARA ACUMULADORES: Court Declares Company Bankrupt
CUSTODIAS INVESTIGACIONES: Files for Bankruptcy
DIRECTV LA: Cisneros Group Reaffirms Commitment
DISCO: Another Ruling Adds to Legal Woes Hounding Sale
DOM CAR: Individual Reports Due in Court Today

EDICIONES PROA: Proofs of Claim Deadline Expires Today
ESAPEL: Receiver Authenticates Creditors' Claims
ESIMAX: Credit Verification Period Expires Today
FELTA: Receiver to File Individual Reports Today
INSTITUTO CAIP: Credit Verification Period Ends Today

IRMAR: Credit Verification Period Expires
JAYPLEN: Individual Reports Due in Court
JEANVAC: General Report Due Today
LA BOTICA: General Report on Credit Verification Due May 24
LUSMAR: Court Sets Bankruptcy Schedule

MV CARGAS INTEGRALES: Receiver Ends Credit Verification Process
NII HOLDINGS: Reports $173 Mln Consolidated 2003 Net Income
PETROBRAS ENERGIA: Brazilian Parent Denies Buyout Rumors
PROFUNDO: Creditors Have Until April 15 to File Proofs of Claim
RE IN CAR: Files for Bankruptcy

RED FEDERAL: Receiver to Examine Claims Until April 13
SOCIALMED: Court Accepts Involuntary Bankruptcy Petition
TRANSPORTE AUTOMOTOR: Court Declares Company Bankrupt
TRANSPORTE TREGUA: Credit Verification Deadline April 16


B E R M U D A

TYCO INTERNATIONAL: Fitch Affirms 'BB+' Unsecured Rating


B R A Z I L

CFLCL: Receives BRL80 Million for Centrais Hidreletricas Stake
COPEL: Parana Governor Wants Minority Stakes Sold
ENRON: Reaches Settlement with Osprey Trust Noteholders
FERRONORTE: Latest Promissory Notes Get CCC(bra) Rating
SABESP: To Pay Dividend in the Form of aInterest on Capital

* IMF Managing Director Horst Kohler to Visit Brazil


C H I L E

CTR: Regulator Approves Tariff Hike
CTR: SR Telecom Ends 2003 in Better Shape


M E X I C O

GRUPO IUSACELL: Reports $4.7 Billion Full-year Net Loss
GRUPO TFM: 4th Quarter Revenues Down on Peso Devaluation
GRUPO TMM: Reports $45 Million Full-year Net Loss
TV AZTECA: Turns to Front Porch for Digital Video Archive


U R U G U A Y

BANCO COMERCIAL: Liquidation Triggers Ratings Withdrawal
BANCO DE MONTEVIDEO: Moody's Withdraws Ratings


V E N E Z U E L A

HOVENSA: Fitch to Rate Proposed Bond Issuance 'BBB-'
PDVSA: NB Power Launches Legal Action Against Subsidiary


                        - - - - - - - - -


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


AGENCIA DE INVESTIGACIONES: Undergoes Reorganization
----------------------------------------------------
Argentine company Agencia de investigaciones Cipol S.A.C.E.I.
will undergo reorganization, reports local news portal Infobae.
Buenos Aires Court No. 2 approved the Company's petition for
"Concurso Preventivo." Clerk No. 3 assists the court on the
case.


ALDO MALASPINO: Receiver Ends Verification Process
--------------------------------------------------
Jose Gonzalez San Jose, receiver of Aldo Malaspina e Hijos
S.R.L., will close the credit verification process today.  He
has until April 16 to prepare the individual reports and submit
them to Court No. 1 of the Civil and Commercial Tribunal of
Puerto Madryn.  He is also required to file a general report on
the company's reorganization on May 31.  The Company's assets
will be liquidated at the end of this process to repay
creditors.

The informative assembly, which is one of the last parts of a
reorganization process, will be held on September 2 this year,
said the Troubled Company Reporter-Latin America in an earlier
report.

CONTACT:  Aldo Malaspina e Hijos S.R.L.
          Sarmiento 462
          Puerto Madryn, Chubut

          Jose Gonzalez San Jose
          Julio A roca 775
          Puerto Madryn, Chubut


BIAN TOURS: Files "Concurso Preventivo" Motion
----------------------------------------------
Argentine travel agency, Bian Tours S.R.L., seeks court
permission to undergo reorganization. A report from local
newspaper La Nacion indicates that the Company submitted its
"Concurso Preventivo" petition to Buenos Aires Court No. 21.

Judge Paez Castaneda handles the company's case, assisted by
Clerk No. 41, Dr. Melnitzky.  Documents submitted to the court
indicate that the Company stopped making debt payments in March
last year.

CONTACT:  Bian Tours S.R.L.
          Florida 520
          Buenos Aires


CARDIOVAS: Credit Verification Process Expires Today
----------------------------------------------------
Ms. Mirta Calfun Bendersky, receiver of Fresnel S.A., will close
the credit verification process today.  Creditors must have
their claims authenticated by the receiver to qualify for
payments once the company's assets are liquidated.

The receiver will prepare the individual reports to be filed in
court on April 15, followed by the general report on May 28. The
general report is a summary of the individual reports processed
by the court.  The Company's assets will be liquidated at the
end of the process to reimburse creditors.  Payments will be
based on the results of the credit verification process.
Buenos Aires Court No. 23 handles the bankruptcy case.

CONTACT:  Mirta Calfun Bendersky
          Humahuaca 4165
          Buenos Aires


CENTRO DE RESTAURACION: Court Assigns Receiver
----------------------------------------------
Buenos Aires Court No. 25 appointed local accountant Domingo
Vicente Marinkovich as receiver for the bankruptcy of Centro de
restauracion neurologica S.A., according to a report by Infobae.
The receiver will authenticate creditors' claims until April 6.

The results of the credit verification process will be relayed
to the court via the individual reports due on May 20.  A
general report consolidating the results is due on July 5.

CONTACT:  Domingo Vicente Marinkovich
          Fray Justo Santa Maria de Oro 2381
          Buenos Aires


COMPONENTES PARA ACUMULADORES: Court Declares Company Bankrupt
--------------------------------------------------------------
Judge Paez Castaneda of Buenos Aires Court No. 21 approved a
motion for the bankruptcy of Componentes para Acumuladores S.A.,
reports local news portal, La Nacion.  One of the Company's
creditors' filed the petition after failing to meet its
financial obligations.

The court assigned local accountant Jorge Sahade as the
Company's receiver.  Creditors have until August 5 to present
their proofs of claim to the receiver who will examine and
authenticate them.  The receiver will also prepare the
individual and general reports on the bankruptcy process.

Clerk No. 42, Dr. Barreiro, assists the court on the case.

CONTACT:  Componentes para Acumuladores S.A.
          Ave San Juan 1981
          Buenos Aires

          Jorge Sahade
          Ave de Mayo 1324
          Buenos Aires


CUSTODIAS INVESTIGACIONES: Files for Bankruptcy
-----------------------------------------------
Custodias investigaciones y auditorias S.A. enters bankruptcy
after Buenos Aires Court No. 8 declared it "Quiebra."  Clerk No.
15 works with the court on the case, which will end with the
liquidation of the Company's assets.

The Company's receiver, Alberto Francisco Romeo, will prepare
the individual reports after the credit verification process is
completed on April 28. The court requires the individual reports
to be filed on June 10, said local news portal Infobae.  After
the individual reports are processed, the receiver will
consolidate the information into a general report, which is due
for filing on August 9.

CONTACT:  Alberto Francisco Romeo
          Parana 275
          Buenos Aires


DIRECTV LA: Cisneros Group Reaffirms Commitment
-----------------------------------------------
Following DIRECTV Latin America's announcement on February 24,
2004 that it has successfully completed its restructuring
process and emerged from Chapter 11, the Cisneros Group of
Companies -- which holds a 14.1% ownership stake in the business
-- reaffirmed Thursday its continued commitment to the success
and growth of DIRECTV Latin America.

The Cisneros Group of Companies believes the restructuring
process has provided DIRECTV Latin America a stronger foundation
given current market conditions, without compromising the
delivery of excellent services to Latin American consumers.

In response to questions about the possibility of combining the
SKY and DIRECTV satellite platforms in Latin America, Gustavo
Cisneros, Chairman of the Cisneros Group of Companies, indicated
that, "a merger between DIRECTV and SKY had been contemplated
over two years ago when Rupert Murdoch first attempted to
acquire control of Hughes. However, as we all know, at the last
minute Charles Ergen of Echostar presented a more attractive
offer to the Board of General Motors, which was accepted, but
not finalized, because it did not receive the approval of the
U.S. regulatory authorities."

Mr. Cisneros added, "DIRECTV can now focus on future
achievements with its timely emergence from Chapter 11. Today's
restructured DTVLA is in an excellent position to compete in the
Latin American pay TV market. Going forward, I am sure all
options will be considered to optimize the long-term business
model, but at this time there are no discussions or agreements
in place to merge or otherwise combine SKY with DIRECTV."

DIRECTV Latin America filed for Chapter 11 protection on March
11, 2003 in order to aggressively address its financial and
operating challenges. The filing only affected the U.S. entity
and did not include any of the operating companies in Latin
America and the Caribbean.


DISCO: Another Ruling Adds to Legal Woes Hounding Sale
------------------------------------------------------
An Argentine judge honored Wednesday a request by a Uruguayan
court to enjoin the sale of Disco, the Argentine supermarket
chain owned by troubled Dutch retailer, Ahold N.V.

Lawyer Cristina Maeso, who represents a group of depositors who
lost money in Banco Montevideo, a Uruguayan bank formerly owned
by the Velox Group (Ahold's former partner in Disco), identified
the judge as Juan Manuel Ojea.

"We opened up this investigation a year ago to show that the
principal asset of the Peirano family (Velox's owners) was in
the hands of the Dutch company, and that that asset should be
returned to the dishonored depositors to cover their credit,"
Ms. Maeso said. "This measure impedes the assets (Ahold's Disco
shares) from being sold until the judgment procuring the
depositors' claim is completed."

"I am very pleased that we have this measure correctly notified
to Disco" through the Argentine judge's ruling, she said.

Ahold has been struggling to sell Disco since it decided to put
it on the block almost a year ago. Besides the ongoing legal
headaches, it has run into difficulties in talks with
prospective buyers.  In January, Ahold said exclusive talks over
Disco's sale to French retailer Casino and Argentine businessman
Francisco de Narvaez had ended. Ahold has since remained in
talks with other parties interested in acquiring Disco.
Interested buyers are believed to include De Narvaez, Wal-Mart
and, for the second time, Cencosud.


DOM CAR: Individual Reports Due in Court Today
----------------------------------------------
The individual reports on the bankruptcy of Dom Car S.A. must be
filed at Buenos Aires Court No. 12 today. An earlier report by
the Troubled Company Reporter-Latin America indicated that the
receiver, Ms. Nelida Manuel Schub, must prepare a general
report, to be filed on April 12, after the court processes the
individual reports.  The Company's assets will be liquidated at
the end of the bankruptcy process. Proceeds will be used to
repay creditors based on the results of the verification.

CONTACT:  Nelida Manuel Schub
          6th Floor, Office 51
          Paraguay 1307
          Buenos Aires


EDICIONES PROA: Proofs of Claim Deadline Expires Today
------------------------------------------------------
Creditors of Ediciones Proa S.A. must present their proofs of
claim to the receiver, Mr. Anibal Carrillo, for verification in
order to qualify for payment after the Company's assets are
liquidated. Buenos Aires Court No. 14 will close the credit
verification period today.

CONTACT:  Ediciones Proa S.A.
          Paraguay 643
          Buenos Aires

          Anibal Carrillo
          Uruguay 467
          Buenos Aires


ESAPEL: Receiver Authenticates Creditors' Claims
------------------------------------------------
Creditors of Buenos Aires-based Esapel S.A. must present their
proofs of claim to the Company's receiver, Mr. Roberto
Sapollnik, for verification before March 26.  Verifications are
done to determine the nature and amount of the company's debts.

Buenos Aires Court No. 7 ordered the receiver to file the
individual reports on the verification results on May 21. The
general report, a summary of the information in the individual
reports, must be submitted to the court on July 6.  Argentine
news source Infobae relates that Clerk No. 14 works with the
court on the case.

CONTACT:  Roberto Sapollnik
          Parana 581
          Buenos Aires


ESIMAX: Credit Verification Period Expires Today
------------------------------------------------
The credit verification period for Esimax S.A. ends today. The
receiver, Mr. Ricardo Fernandez, will prepare the individual
reports on the verification results. Judge Taillade of Buenos
Aires Court No. 20 is handling this case.

CONTACT:  Esimax S.A.
          Azcuenaga 727/29
          Buenos Aires

          Ricardo Fernandez
          10th Floor, Room 10
          Tucuman 1567
          Buenos Aires


FELTA: Receiver to File Individual Reports Today
------------------------------------------------
Mr. Claudio Jorge Haimovichi, receiver for Buenos Aires-based
Felta S.A., will file the individual reports on the Company's
reorganization today. After these reports are processed at
Buenos Aires Court No. 2, the receiver will consolidate the
information into a general report and submit this on April 16.
The individual reports contain the results of the credit
verification process done to determine the nature and amount of
the Company's debts.  Clerk No. 3 assists the court on the case,
which will end after the informative audience on October 8 this
year.

CONTACT:  Claudio Jorge Haimovichi
          Sarmiento 3843
          Buenos Aires


INSTITUTO CAIP: Credit Verification Period Ends Today
-----------------------------------------------------
Today is the last day for credit verifications in connection
with the reorganization of Instituto Caip S.R.L.  Buenos Aires
Court No. 20 had ordered the Company's receiver, Ms. Maria Elena
Mercante, to file the individual reports on the verification
results on April 15.  The general report, a summary of the
individual reports after processing in court, is due for filing
on May 28.  The informative assembly, to be held on October 20,
will signal the conclusion of the reorganization.

CONTACT:  Maria Elena Mercante
          Uruguay 772
          Buenos Aires


IRMAR: Credit Verification Period Expires
-----------------------------------------
Mr. Barg Lajbisz, receiver of Irmar S.A., will close the credit
verification process today.  Buenos Aires Court No. 1 is
handling the case, assisted by Clerk No. 2, Dr. Pasina.

CONTACT:  Irmar S.A.
          9th Floor
          Ave de Mayo 953
          Buenos Aires

          Barg Lajbisz
          10th Floor, Office B
          Paraguay 2630
          Buenos Aires


JAYPLEN: Individual Reports Due in Court
----------------------------------------
The individual reports on the bankruptcy of Buenos Aires-based
Jayplen S.A. are due in Court No. 3 today.  Company receiver,
Mr. Jose Alfredo Alegre, must file the general report,
consolidating these individual reports, on April 29.

CONTACT:  Jose Alfredo Alegre
          Viamonte 1592
          Buenos Aires


JEANVAC: General Report Due Today
---------------------------------
Buenos Aires accountant Gustavo Guillermo Vignale, receiver for
Jean Vac S.R.L., must file the general report on the Company's
bankruptcy today. The report is a consolidation of the
individual reports on the credit verification results.  Buenos
Aires Court No. 1 and Clerk No. 10 are in charge of the case.

CONTACT:  Gustavo Guillermo Vignale
          Vuelta de Obligado 2717
          Buenos Aires


LA BOTICA: General Report on Credit Verification Due May 24
-----------------------------------------------------------
Buenos Aires Court No. 9 expects to receive today the individual
reports on the results of the credit verification process it had
ordered for La Botica de la Imprenta S.R.L.  Company receiver,
Mr. Silvio Gustavo Gorbacz, will consolidate these individual
reports, after the court shall have processed them, in a general
report due on May 24.

CONTACT:  La Botica de la Imprenta S.R.L.
          Reconquista 671
          Buenos Aires

          Silvio Gustavo Gorbacz
          Tucuman 1484
          Buenos Aires


LUSMAR: Court Sets Bankruptcy Schedule
--------------------------------------
Court No. 16 of Buenos Aires has set the schedule for the
bankruptcy of Lusmar S.A., local news source Infobae reports.
The individual reports must be submitted to the court on May 12
followed by the general report on June 24.  Company receiver,
Lidia Roxana Martin, will examine and authenticate creditors'
claims until March 26.

CONTACT:  Lidia Roxana Martin
          Cordoba 1352
          Buenos Aires


MV CARGAS INTEGRALES: Receiver Ends Credit Verification Process
---------------------------------------------------------------
The receiver of Santa Catalina S.C.A. will close the credit
verification process today as ordered by Court No. 4 of the
Civil and Commercial Tribunal of San Isidro.

Receiver, Mr. Manuel Gonzalez, will prepare the individual
reports on the verification results, which must be filed in
court on April 14.  The court also requires the receiver to
prepare a general report due on May 27, after it has processed
the individual reports.  The court has set the informative
assembly for December 6. This meeting is one of the last parts
of the reorganization process.

CONTACT:  M.V. Cargas Intergrales S.A.
          Crucero Gral Belgrano 2135
          Pilar

          Manuel Gonzalez
          Ituzaingo 370
          San Isidro


NII HOLDINGS: Reports $173 Mln Consolidated 2003 Net Income
-----------------------------------------------------------
NII Holdings, Inc. (Nasdaq: NIHD) announced on Thursday its
consolidated financial results for the fourth quarter and full
year for 2003. These are the highlights:

(a) Subscriber Additions of 76,700 for the Quarter and 215,500
    for the Year 2003;

(b) Consolidated Fourth Quarter Operating Revenues of $264
    Million and $939 Million for the Full Year;

(c) Consolidated Operating Income Before Depreciation and
    Amortization of $62 Million for the Quarter and $248 Million
    for the Year;

(d) Consolidated Net Income of $84 Million or $3.70 Per Basic
    Share for the Quarter and $173 Million or $8.22 Per Basic
    Share for the Year, Including the Recognition of $68 Million
    in Non-Cash Tax Benefits;

(e) Year-End Consolidated Cash Balance of $405 Million The
    Company Announces a 3-for-1 Stock Split and Issues Full Year
    2004 Guidance

For the fourth quarter 2003, the Company reported consolidated
operating revenues of $264 million, a 27% increase over the same
period last year, consolidated operating income before
depreciation and amortization of $62 million and consolidated
operating income of $36 million. The Company also reported
consolidated net income of $84 million, or $3.70 per basic
share, which included $68 million in non-cash gains related to
the reversal of certain deferred tax asset valuation reserves
and other non-cash income tax adjustments.

Results for the full year 2003 included consolidated operating
revenues of $939 million, up 20% as compared to the previous
year. The Company reported operating income before depreciation
and amortization of $248 million for the year, a 61% increase
over last year, and consolidated operating income of $161
million, an increase of 107% over the same period last year.
2003 consolidated net income was $173 million or $8.22 per basic
share, including $68 million related to the recognition of non-
cash tax benefits previously mentioned. The Company also added
about 215,500 net subscribers for the year. As of December 31,
2003, NII Holdings reported approximately 1.46 million
subscribers and consolidated cash balances of $405 million.

"Operationally and financially, our results for the year
significantly exceeded expectations as we continued to execute
our profitable growth strategy," said Steve Shindler, NII
Holdings' Chairman and CEO. "We accelerated subscriber growth in
the fourth quarter while continuing our focus on profitability
and improving our balance sheet during the year. For the year,
we significantly exceeded our initial growth goals and
expectations, both in terms of top line growth and cash flow,
executing successfully against our strategy. As we head into
2004, I have never felt more confident in our company and the
opportunities to continue to build long term value."

The Company also announced that its Board of Directors approved
a 3-for-1 split of the Company's common stock, carried out in
the form of a dividend of two shares for each outstanding share.
The dividend will be paid on March 22, 2004 to shareholders of
record as of March 12, 2004.

NII Holdings' average monthly revenue per subscriber (ARPU) was
approximately $55 for the fourth quarter and approximately $53
for the full year 2003, up from $50 last year. The Company also
announced its eighth consecutive quarter of churn reduction,
reporting average consolidated churn of 2.0% in the fourth
quarter down from 2.4% in the third quarter of 2003.

"We continued to drive churn lower in all of our markets,
leading to churn of 2.0% in the fourth quarter," said Mr.
Shindler. "In mid 2003, we further intensified our efforts
toward our global customer satisfaction goals. These continued
efforts on churn reduction programs and customer for life
programs are proving to be successful, highlighted by a
significant drop in churn in our Brazilian market to 2.7% in the
fourth quarter."

During the year, NII executed several financial transactions to
significantly improve its capital structure and reduce its
exposure to foreign exchange risks. In the third quarter of
2003, the Company raised about $288 million in net proceeds
through the sale of 2 million shares of common stock and the
issuance of $180 million principal amount of 3.5% convertible
notes due 2033. The Company used the proceeds to repay $203
million principal amount of its long-term credit facilities plus
$6 million of accrued interest at a total discounted cost of
$186 million. Since the end of 2003, the Company raised about
$292 million in net proceeds through a 2 7/8% convertible notes
offering. Proceeds from this transaction were used to partially
pay down $73 million in vendor debt and will be used to complete
a tender offer for NII Holdings (Cayman) Ltd.'s 13% senior note
obligations. To date, more than 99% of the outstanding notes
have been tendered. As a result of these transactions, the
Company expects to eliminate approximately $176 million in
future interest expense and substantially improve its financial
and operational flexibility.

"Throughout 2003, we took several steps to strengthen our
liquidity, improve our capital structure, and reduce our cost of
capital," said Byron Siliezar, Vice President and CFO. "The
transactions we executed in the third quarter of 2003 were well
received by the capital markets and were significantly
oversubscribed. The Company's net debt position at year end now
stands at $130 million, which equates to a net debt to our 2003
operating income before depreciation and amortization of 0.5
times compared to a net debt position of $201 million at year-
end 2002."

For the full year 2003, the Company also closed on several
communication tower sale-leasebacks in Mexico and Brazil under
its previously announced agreement with American Tower
Corporation, raising $106 million in local currency-based
financing. These transactions are classified as long-term debt
on the Company's balance sheet. The Company's total long-term
debt as of December 31, 2003 was $535 million, including $101
million in tower financing obligations.

Consolidated cash capital expenditures, including capitalized
interest, were $42 million during the fourth quarter of 2003 and
$197 million for the full year.

2004 Guidance

The Company also announced the following guidance for 2004.

(a) Net subscriber additions of 285,000 -- a 32% increase over
    2003 net additions;

(b) Revenue of $1.2 billion -- a 28% increase over revenues in
    2003;

(c) Operating income before depreciation and amortization of
    $320 million -- a 29% increase over 2003; and

(d) Cash capex of $225 million.

This guidance is predicated on reasonably stable foreign
exchange rates and subscriber growth assumptions. Additionally,
this guidance is forward looking and is based upon management's
current beliefs, as well as a number of assumptions concerning
future events, and as such, should be taken in the context of
the risks and uncertainties outlined in the SEC filings of NII
Holdings, Inc., including NII's annual report on Form 10-K for
the year ended December 31, 2002 and it's subsequent 2003
quarterly reports on Form 10-Q.

In addition to the results prepared in accordance with
accounting principles generally accepted in the United States
(GAAP) provided throughout this press release, NII has presented
consolidated operating income before depreciation and
amortization, ARPU, net debt and cost per gross add (CPGA),
which are non-GAAP financial measures and should be considered
in addition to, but not as substitutes for, the information
prepared in accordance with GAAP.

About NII Holdings, Inc.

NII Holdings, Inc., a publicly held company based in Reston,
Va., is a leading provider of mobile communications for business
customers in Latin America. NII Holdings, Inc. has operations in
Argentina, Brazil, Mexico and Peru, offering a fully integrated
wireless communications tool with digital cellular service,
text/numeric paging, wireless Internet access and Nextel Direct
Connect (R), a digital two-way radio feature. NII Holdings, Inc.
trades on the NASDAQ market under the symbol NIHD. Visit the
Company's Web site at http://www.nii.com.

Nextel, the Nextel logo, Nextel Online, Nextel Business Networks
and Nextel Direct Connect are trademarks and/or service marks of
Nextel Communications, Inc.

To see financial statements:
http://bankrupt.com/misc/NII_HOLDINGS.htm

CONTACT:  Investor Relations:
          Tim Perrott
          Phone: (703) 390-5113
          E-mail: tim.perrott@nii.com

          Media Relations:
          Claudia E. Restrepo
          Phone: (786) 251-7020
          E-mail: claudia.restrepo@nii.com


PETROBRAS ENERGIA: Brazilian Parent Denies Buyout Rumors
--------------------------------------------------------
Contrary to widespread rumors, Brazil's Petroleo Brasileiro
(Petrobras) is not planning to buy all shares it doesn't own in
Argentine unit Petrobras Energia Participaciones, says Dow
Jones.

Speculation of the buyout offer heated up last Monday, but
Petrobras, in a statement to the Brazilian stock exchange, said
the rumors are unfounded.

"Petrobras doesn't know the origin of these rumors, which have
circulated while markets in Brazil were closed for the Carnival
holiday," the oil company said, adding it "is not preparing an
offer to buy additional shares in Petrobras Energia which are
traded on the Buenos Aires stock exchange."

Argentina's securities regulator has already asked Petrobras
Energia whether it had any knowledge of the rumored buyout offer
that sent the Company's shares surging.  Petrobras Energia's
share price soared 6.5% last Monday, reaching an all-time high
in peso terms. It has since slipped back and closed 1.3% higher
at ARS3.97 ($1ARS2.9225) Thursday, though trading remained high,
with 3.1 million shares changing hands.

In 2002, Petrobras paid US$1.03 billion for a 58.6% stake in the
company, formerly known as Perez Companc.


PROFUNDO: Creditors Have Until April 15 to File Proofs of Claim
---------------------------------------------------------------
The individual reports for the bankruptcy of Buenos Aires-based
company Profundo S.A. must be submitted to the court on May 27.
After these are processed in court, the receiver will prepare
the general report, which is due on June 10.  Buenos Aires Court
No. 12 has assigned local accountant Gustavo Luis Scomparin as
the Company's receiver.  He will examine and authenticate
creditors' claims until April 15.

CONTACT:  Gustavo Luis Scomparin
          Ace Cordoba 1412
          Buenos Aires


RE IN CAR: Files for Bankruptcy
-------------------------------
Re. In. Car. S.R.L., which is based in Buenos Aires, enters
bankruptcy on orders of Court No. 4. Local news portal, Infobae,
says the court is being assisted by Clerk No. 7.  Creditors must
have their proofs of claim authenticated by the Company's
receiver, Mr. Omar Lares, before March 30 to qualify for
payments at the end of the bankruptcy process.

CONTACT:  Omar Lares
          Viamonte 749
          Buenos Aires


RED FEDERAL: Receiver to Examine Claims Until April 13
------------------------------------------------------
Fany Juana Gutember, receiver of Red Federal de administracion y
salud S.A., will verify creditors' claims until April 13.  Local
news source, Infobae, says Buenos Aires Court No. 25 has
required the individual reports on the verification results to
be submitted by April 26.  After the individual reports are
processed in court, the receiver will consolidate the
information into a general report, which must be submitted on
July 8.  The Company's assets will be liquidated at the end of
the bankruptcy process to repay creditors.

CONTACT:  Fany Juana Gutember
          Callao 449
          Buenos Aires


SOCIALMED: Court Accepts Involuntary Bankruptcy Petition
--------------------------------------------------------
Proimagen S.A. has successfully sought the bankruptcy of Buenos
Aires-based medical services company, Socialmed S.A., according
to a report by local newspaper La Nacion. Buenos Aires Court No.
18 approved Proimagen's petition, declaring the Company
"Quiebra." Clerk No. 36, Dr. Vivono, assists the court on the
case.

The credit verification period runs until April 7. The Company's
receiver, Mr. Osvaldo Nicolini, will prepare the individual
reports after the credit verification process is completed. The
court also ordered the receiver to prepare a general report on
the bankruptcy process.

CONTACT:  Solcialmed S.A.
          Parana 158
          Buenos Aires

          Osvaldo Nicolini
          Alvarez Thomas 3036
          Buenos Aires


TRANSPORTE AUTOMOTOR: Court Declares Company Bankrupt
-----------------------------------------------------
Salta Court No. 6 declared local company Transporte Automotor
del Milagro S.R.L. "Quiebra," according to Argentine news source
Infobae. The case will close with the liquidation of the
Company's assets to repay creditors.  Company receiver, Estudio
Vicco y Asociados, will examine and authenticate creditos'
claims until March 5. The individual reports on the verification
results must be submitted to the court on April 16; the general
report is due on June 2.

CONTACT:  Estudio Vicco y Asociados
          Mendoza 306
          Salta


TRANSPORTE TREGUA: Credit Verification Deadline April 16
--------------------------------------------------------
Transporte Tregua S.A. enters bankruptcy on orders of Buenos
Aires Court No. 4. Clerk No. 8 works with the court on the case,
according to Infobae.  The court has assigned Mr. Ernesto Iob as
receiver.  He will verify creditors' claims until April 16.

CONTACT:  Ernesto Iob
          Presidente Peron 1186
          Buenos Aires


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


TYCO INTERNATIONAL: Fitch Affirms 'BB+' Unsecured Rating
--------------------------------------------------------
Fitch Ratings affirmed its 'BB+' rating on the senior unsecured
debt of Tyco International Ltd. (Tyco), as well as the
unconditionally guaranteed debt of its wholly owned direct
subsidiary Tyco International Group S.A. The Rating Outlook has
been revised to Positive from Stable. Approximately $19 billion
of debt is affected by the ratings.

The move to Outlook Positive reflects evidence of progress in
Tyco's implementation of operating improvements throughout the
company together with a continuing favorable trend in the
company's free cash flow that can be expected to lead to
meaningful debt reduction during the next 2-3 years. Tyco's debt
structure has become considerably more manageable since the
beginning of fiscal 2003 as a result of the refinancing or
paydown of over $8 billion of debt. Debt maturities through 2007
total $5.6 billion, of which the largest scheduled annual
obligation is approximately $3 billion due in 2006.

The company's virtual halt in making acquisitions, at least
through 2004, and large reductions in capital spending on dealer
accounts have boosted its free cash flow and capacity to reduce
debt. As Tyco carries out its restructuring and related
initiatives, and as its financial ratios benefit from debt
reduction, Fitch anticipates further reviews of the ratings for
possible upgrades. Fitch recognizes the potential liability
resulting from shareholder lawsuits that would have a negative
impact on the company's leverage and liquidity. The rating also
incorporates, however, Tyco's capacity to absorb a sizeable
settlement that would simply delay, rather than prevent, Tyco's
return to a stronger credit profile.

Tyco has begun to effectively address operating challenges and
rebuild margins and cash flow that are important to positioning
the company for internally generated long-term growth.
Concurrently, Tyco intends to reduce financial leverage before
looking to augment growth through meaningful acquisitions. In
2003, free cash flow of $3.2 billion was significantly above the
level of $779 million one year earlier, due in large part to
reduced capital spending, and successful implementation of
Tyco's operating plans would expand cash flow further as margins
rebound from recent low levels. The Electronics business is well
positioned to generate higher earnings and cash flow as industry
demand improves, as has appeared more likely in recent periods.
Challenges remain in a number of other businesses such as the
mechanical unit of the Fire & Security segment due to weak
markets, pricing pressure, and operating challenges. Tyco is
placing a special focus on integrating its businesses,
leveraging technology and increasing services, all of which can
be expected to support margins by reducing Tyco's cost structure
and minimizing required capital investment.

Liquidity includes unrestricted cash balances of $2.7 billion as
of Dec. 31, 2003 and $1.25 billion of availability under the
company's bank facilities. Leverage has improved slightly but
remains high compared to historical levels. Weak operating
earnings, albeit recently improved, have partly offset the
positive impact of debt reduction on leverage ratios, resulting
in only a modest reduction in net debt/EBITDA since the end of
fiscal 2002 as the ratio declined from 2.8 times (x) to 2.5x at
Dec. 31, 2003. Since the end of fiscal 2002, debt reduction of
$5.3 billion has been funded in large part by a $3.4 billion
draw down of cash balances. Cash flow and liquidity in 2004
could be modestly affected by any pension contributions, but
acquisitions are likely to be negligible in 2004 and increase
only modestly thereafter until Tyco reaches its goal for
reducing debt to the $10-$12 billion range. A normal cyclical
rebound in the company's end-markets, coupled with upside
benefits from Tyco's Six Sigma, Strategic Sourcing and working
capital actions, would further benefit operating cash flow and
accelerate Tyco's return to a stronger credit profile.

CONTACT:  Eric Ause, CFA
          Phone: +1-312-606-2302

          Mark Oline
          Phone: +1-312-368-2073

          Media Relations
          James Jockle
          New York
          Phone: +1-212-908-0547


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


CFLCL: Receives BRL80 Million for Centrais Hidreletricas Stake
--------------------------------------------------------------
In accordance with art. 3 of CVM Instruction 358/2002 and
further to the Relevant Information published on November 07,
2003, the company Companhia Forca e Luz Cataguazes-Leopoldina
("CFLCL") hereby gives notice that:

(a) On December 24, 2003, Brascan Energetica S/A and Brascan
Natural Resources S/A (referred to collectively as "BRASCAN")
and CFLCL irrevocably and irreversibly executed the Purchase and
Sale Agreement of Shares in the Centrais Hidreletricas Grapon
S/A (a CFLCL subsidiary) which is the controlling shareholder of
the Ivan Botelho I and Tulio Cordeiro de Mello Small
Hydroelectric Power Plants ("Power Plants"), involving the
transfer of the loans of BRL51.7 million taken out from the
Banco Nacional de Desenvolvimento Economico e Social (National
Development Bank) to build said Power Plants;

(b) Prior consent from the regulatory agency and debenture
holders concerning the sale of said shares was also obtained in
December 2003;

(c) the aforementioned Agreement was settled as of this date,
which provided CFLCL with cash amount of approximately BRL80.0
million. This transaction resulted in positive earnings for the
2003 fiscal year of approximately BRL45.2 million, net of book
value of the assets sold.


COPEL: Parana Governor Wants Minority Stakes Sold
-------------------------------------------------
Parana state Governor Roberto Requiao ordered Cia. Paranaense de
Energia (Copel) to sell all of its minority stakes in other
companies, reports Bloomberg News.

Copel, Brazil's second-largest power generator and distributor,
owns stakes in sanitary services company Sanepar (6%); fixed-
line phone operator Sercomtel (45%); Internet services provider
Onda (25%); wind power plant Palmas (30%); thermal power plant
Araucaria (20%); and hidroelectric power plants Foz do Chopim
(36%) and Campos Novos (16.73%).

Local news source Valor Economico earlier cited an unidentified
company spokesman as saying that Copel's new strategy is to
maintain the majority stakes it has in other companies and to
divest all of its other holdings.

CONTACT:  Cia Paranaense de Energia
          Rua Colonel Dulcidio, 800
          Batel
          80420-170 Curitibia - PR
          Brazil
          Phone: +55 41 322-3535
          Fax  +55 41 224-4312
          Home Page: http://www.copel.br


ENRON: Reaches Settlement with Osprey Trust Noteholders
-------------------------------------------------------
Enron has reached a settlement resolving certain claims and
disputes relating to notes issued by the Osprey Trust, the
stakeholders of which are third parties. Proceeds of the notes
had been invested in interests in Whitewing Associates, L.P. and
its general partner, Whitewing Management LLC (collectively,
"Whitewing"). Enron also owns interests in and manages
Whitewing, which holds interests worth an estimated $855 million
to $1.25 billion in various domestic and international assets,
plus approximately $3.0 billion in claims against Enron. As a
result of the settlement, Enron indirectly will wholly own these
interests.

Under the settlement, Enron will receive the interests of the
Osprey Trust in Whitewing and certain releases, and holders of
approximately $2.4 billion of notes issued by the Osprey Trust
will receive a $3.6 billion allowed claim against Enron in its
bankruptcy, a $75 million cash payment and certain releases.
Enron also will dismiss certain settling parties from its
pending litigation against Whitewing to recover preferential
payments.

Upon closing of the settlement, Enron will be Whitewing's sole
owner. The settlement will enable Enron to dispose of interests
in assets held by Whitewing and implement transactions that are
part of Enron's reorganization plan, including the establishment
of Prisma Energy International. Whitewing has interests in
several European power projects; a power distribution company
and a natural gas distribution company in South America; the
Bammel gas storage facility in Texas; North American exploration
and production, power and technology companies; and
approximately $242 million in escrowed proceeds from the sale of
asset interests.

"We are pleased to have reached an important settlement that
will allow Enron to move forward with planned asset sales and
the establishment of Prisma Energy International," said Stephen
F. Cooper, acting CEO of Enron.

Enron has filed a motion with the U.S. Bankruptcy Court seeking
approval of the settlement. The parties to the settlement are
Enron; the Official Committee of Unsecured Creditors appointed
in Enron's bankruptcy case; beneficial holders of more than 50%
in principal amount of notes issued by the Osprey Trust, namely
various investment funds and accounts managed by four investment
managers: Oaktree Capital Management, LLC, AEGON USA Management
Company LLC, Pacific Investment Management Company LLC, and
Principal Global Investors, LLC, together with National
Indemnity Company, a subsidiary of Berkshire Hathaway Inc.; The
Bank of New York, in its capacity as Indenture Trustee of the
Osprey Notes and Securities Intermediary of the Osprey Trust;
and Whitewing and certain of its subsidiaries.

The motion with the Settlement Agreement attached to it can be
viewed here and the Exhibits to the Settlement Agreement can be
viewed here.

Enron's Internet address is http://www.enron.com


FERRONORTE: Latest Promissory Notes Get CCC(bra) Rating
-------------------------------------------------------
Fitch Atlantic Ratings assigned a CCC(bra) national long-term
rating to Brazilian rail concessionaire Ferronorte's fifth
promissory notes issue for BRL180 million (US$61.3 million).

Citing a Fitch statement, Business News Americas reports that
the rating has a stable outlook.  Fitch said the rating reflects
the swelling debt of Ferronorte's controller, Brasil Ferrovias,
which prevents the group from wholly meeting its commitments.
The credit ratings agency suggested that Brasil Ferrovias must
constantly renegotiate.  In addition, Fitch said the notes issue
is part of the group's strategy to liquidate its short-term
obligations, using funding that is more competitive with its
cash flow perspective.

Ferronorte was awarded a 90-year concession in 1989 to build and
operate 5,000km of rail cargo network to connect Cuiaba (Mato
Grosso), Uberlandia, Uberaba (Minas Gerais), Aparecida do
Taboado (Mato Grosso do Sul), Porto Velho (Rondonia) and
Santarem (Para).


SABESP: To Pay Dividend in the Form of Interest on Capital
----------------------------------------------------------
Sabesp -- Cia. de Saneamento Basico do Estado de Sao Paulo
(NYSE:SBS) (Bovespa:SBSP3) -- the largest water and sewage
utility company in the Americas and the third-largest in the
world (in terms of number of customers), announced that in a
meeting held Thursday, its Management Bodies deliberated,
pursuant to section 2 of Article 30 of its Bylaws, the credit
and payment of Dividends in the form of Interest on Own Capital,
referring to January 2004, to the holders of shares on the base
date of March 15, 2004.

I -- AMOUNT, DATE AND CREDIT AND PAYMENT TERMS

The Dividends as Interest on Own Capital totaling
R$39,301,817.40 correspond to R$1.38 per thousand common shares
and shall be paid no later than 60 days after the 2005 Annual
Shareholders' Meeting.

II -- WITHHOLDING INCOME TAX

Withholding Income Tax will be deducted from the amount of
payment of Dividends as Interest on Own Capital, pursuant to
current legislation, except for exempt shareholders who prove
this condition prior to May 28, 2004, by presenting related
documents to the Company at Rua Costa Carvalho 300 -- Sao Paulo
-- SP, CEP: 05429-900, in attention to the Superintendencia de
Captacao de Recursos e Relacoes com Investidores, FI, sala 265.

III -- ATTRIBUTION TO DIVIDENDS

Said Interest on Own Capital will be computed in the calculation
of the mandatory minimum dividends, as provided in Article 30 --
item II, letter "b" of the Company's Bylaws and in Paragraph 7
of Article 9 of Law 9249/95.

IV -- INSTRUCTIONS FOR THE CREDIT AND PAYMENT OF INTEREST ON OWN
CAPITAL

(a) The shareholders will have their credits available on the
initial date of payment of such right, as set forth in above
item I, according to their banking account and domicile provided
to Banco Itau S.A.

(b) To shareholders whose registry information does not include
either their Individual/Corporate Taxpayer's Identification
Number (CPF/CNPJ) or complete banking instructions (bank, branch
and account number), the interest will be credited, pursuant to
item I above, as of the third day after pending information is
updated in the electronic files of Banco Itau S.A. This can be
done either at any of its branches or by mail sent to "Banco
Itau S.A. -- Diretoria de Acoes e Custodia" at Avenida
Engenheiro Armando de Arruda Pereira, 707, 9 degrees andar --
Jabaquara -- CEP 04344-902 -- Sao Paulo -- SP -- Brasil.

V -- RECORD DATE

The shares will start being traded ex-interest and ex-dividends
on March 16, 2004.

CONTACT:  Helmut Bossert
          Phone: 5511-3388-8664
          E-mail: hbossert@sabesp.com.br

          Marisa Guimaraes
          Phone: 5511-3388-9135
          E-mail: marisag@sabesp.com.br

          Home page: http://www.sabesp.com.br


* IMF Managing Director Horst Kohler to Visit Brazil
----------------------------------------------------
Mr. Horst Kohler, Managing Director of the International
Monetary Fund (IMF), will travel to Brazil at the invitation of
President Luis Inacio Lula da Silva for meetings in Brasilia and
Sao Paulo.

The visit is scheduled for February 29-March 1, 2004.

CONTACT:  INTERNATIONAL MONETARY FUND
          700 19th Street, NW
          Washington, D.C. 20431 USA

          IMF EXTERNAL RELATIONS DEPARTMENT
          Public Affairs
          Phone: 202-623-7300
          Fax: 202-623-6278

          Media Relations
          Phone: 202-623-7100
          Fax: 202-623-6772


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


CTR: Regulator Approves Tariff Hike
-----------------------------------
Comunicacion y Telefonia Rural (CTR), the Chilean subsidiary of
SR Telecom(TM) Inc. (TSX: SRX, Nasdaq: SRXA), received approval
from telecommunications regulator Subtel to significantly
increase its access tariffs. Subtel's ruling on CTR's access
tariff increase request allows for growth in all of CTR's rate
plans, and will take effect on March 1, 2004. SR Telecom expects
that the effect of the tariff increase will be to augment CTR's
revenues and operating cash flow by more than CDN$1.5 million on
an annualized basis.

"We are extremely pleased with Subtel's decision to allow CTR to
adjust its access rate plans," said David Adams, SR Telecom's
Senior Vice-President, Finance and Chief Financial Officer.
"Once implemented, these tariff increases will be immediately
accretive to CTR's revenues and, along with our planned network
expansion, will contribute significantly to CTR's operational
profitability."

About CTR

CTR is a provider of local telephone and Internet access
services to residential, commercial and institutional customers
in a large, predominantly rural area of Chile. CTR is a
majority- owned subsidiary of SR Telecom.

About SR Telecom

SR TELECOM (TSX: SRX, Nasdaq: SRXA) is a world leader and
innovator in Fixed Wireless Access technology, which links end-
users to networks using wireless transmissions. SR Telecom's
solutions include equipment, network planning, project
management, installation and maintenance services. The Company
offers one of the industry's broadest portfolios of fixed
wireless products, designed to enable carriers and service
providers to rapidly deploy high-quality voice, high-speed data
and broadband applications. These products, which are used in
over 120 countries, are among the most advanced and reliable
available today.

SR TELECOM and CTR are trademarks of SR Telecom Inc. All rights
reserved 2003. All other trademarks are property of their
owners.


CTR: SR Telecom Ends 2003 in Better Shape
-----------------------------------------
SR Telecom Inc. reported Thursday its results for the fourth
quarter and fiscal year ended December 31, 2003.

Consolidated revenues for the fourth quarter, which include its
Chilean telecommunications operating subsidiary CTR, totaled
$41.6 million, an increase of approximately 60% from the $26.0
million reported in the third quarter of 2003. In the
corresponding period last year, revenues reached $50.8 million.
Year-end consolidated revenues totaled $127.9 million, compared
to $197.0 million in fiscal 2002.

The fourth quarter operating loss was significantly reduced to
$12.8 million, compared to the operating loss of $15.6 million
in the third quarter of 2003. For fiscal 2003, the operating
loss totaled $41.0 million, compared to an operating loss of
$2.1 million in the prior year. Consolidated net loss was $14.2
million for the quarter and $44.8 million for the year, compared
to a consolidated net loss of $11.2 million and $20.9 million in
the corresponding periods in 2002.

Revenues for the fourth quarter and year-end periods were
significantly lower than in the prior year because major sales
made to three customers in 2002 were not replicated in 2003. The
Company had expected to receive certain substantial contracts in
2003, but the granting of some of these contracts was delayed.
However, the Company anticipates that these contract discussions
will be largely completed in the first half of 2004.

The consolidated net loss for the 2003 fourth quarter and year-
end was greater than that of the same periods in 2002 mainly
because of lower revenues and additional costs associated with
the integration of the Company's recent acquisition of the
angel(TM) and airstar(TM) platforms.

"While the telecommunications industry in general showed signs
of recovering from its prolonged slump in 2003, capital spending
in the fixed wireless sector has only recently begun to resume.
Additionally, the ongoing political uncertainty in the Middle
East has seriously impacted investment in what has traditionally
been one of our most important markets. As a result, our
revenues for 2003 were much lower than we had originally
anticipated," said Pierre St-Arnaud, President and Chief
Executive Officer of SR Telecom. "Nevertheless, the strategic
acquisitions we made in 2003 have allowed us to emerge from this
very difficult period in a much stronger competitive position.
The contracts we are winning with our new angel, airstar and
SR500- ip(TM) platforms should have a very positive impact on
our 2004 revenues. The months ahead will continue to be
challenging, but we anticipate a return to profitability in the
second half of the year as purchase orders are received under
recently awarded contracts and pending contract awards."

Core Wireless Solutions Segment

Fourth quarter revenues in SR Telecom's core wireless solutions
business were $38.0 million, compared to $22.8 million in the
third quarter of 2003 and $47.1 million during the same period
last year. For the 2003 fiscal year, revenues were $113.8
million, versus the $181.0 million reported in 2002.

"We are continuing to implement our aggressive cost reduction
measures in order to better align our costs with our current
revenue streams," said David Adams, Senior Vice-President and
Chief Financial Officer. "The integration of Netro's sales force
into our own is ongoing, and during the fourth quarter we
further reduced our workforce. Our streamlining initiatives have
reduced our workforce to pre-Netro acquisition levels. These
efforts, in addition to other ongoing initiatives, should
further reduce our operating costs."

CTR

Revenues at CTR were $3.6 million in the fourth quarter,
compared to $3.7 million in the same period last year. The
slight decline is due to the drop in value of the Chilean peso
relative to the Canadian dollar. In peso terms, net revenue was
1,726 million pesos in the fourth quarter of 2003 as compared to
1,704 million pesos in the fourth quarter of 2002, reflecting an
increase in sales of satellite services. For the 2003 fiscal
year, revenues reached $14.1 million, compared to the $15.9
million reported in 2002. Net revenue in Chilean peso terms in
2003 was 6,917 million pesos compared to 6,951 million pesos in
2002.

Net loss from CTR was $2.0 million for the quarter and $2.5
million for the year, a significant improvement compared to the
losses of $7.0 million and $17.0 million in the corresponding
periods in 2002 due to favorable currency gains with regard to
the US denominated debt and reduced interest expense.

"We continue to make progress on a number of fronts with our
Chilean subsidiary. Subsequent to year-end, we restructured our
debt repayments, and reduced the payments due to our lenders in
2004 from US$9.0 million to US$5.5 million. Further, we
anticipate a favorable ruling from Subtel, the Chilean
regulator, which will allow CTR to substantially increase its
access tariffs. Finally, pending the completion of the pilot
project and the receipt of licensed frequencies from Subtel, we
are proceeding with our previously- announced initiative to
deploy up to 6,000 lines into several urban areas using surplus
angel inventory that was acquired in the Netro transaction. This
expansion will help to increase both voice and Internet revenues
at CTR," said Mr. Adams.

Financial Position

SR Telecom's cash and short-term investment position including
restricted cash at the end of the 2003 fiscal year was $18.7
million, compared to $41.9 million at December 31, 2002. The
decrease results from the repayment of outstanding debt in the
amount of $20.2 million in 2003 as well as the use of cash to
fund operations. Subsequent to year-end, the Company completed
equity financings for gross proceeds of approximately $50
million that will provide significant additional working
capital.

Backlog

Continued global economic uncertainty and the slower than
expected recovery in the fixed wireless access sector of the
telecommunications industry have had a negative effect on SR
Telecom's order book. Backlog at the end of the fourth quarter
in 2003 stood at $27 million, the majority of which is expected
to be delivered in the next twelve months, down from $82 million
at the end of the fourth quarter of 2002. The Company's backlog
is now comprised of many short-term orders that turn over more
quickly than in the past. Currently, significant orders are
expected to be generated from the introduction of the newly
acquired product lines, airstar and angel, and from increased
activity in a number of SR Telecom's traditional markets.
However, the timing of these orders cannot be identified with
certainty.

Q4 Events

- SR Telecom's stride2400(TM) fixed wireless access solution was
selected by Southwest Texas Telephone Company to deliver voice
and broadband data services to previously difficult to serve
areas in the state.

- The Company received purchase orders for its angel broadband
fixed wireless access product from Globalcom Data Services
Company (GDS), a public wireless access network provider in
Lebanon. GDS will initially deploy three 3.5 GHz angel base
stations and 300 CPEs (Customer Premises Equipment) to deliver
data services to the small and medium- sized business community.
Over the next two years, GDS expects to extend its angel network
with the addition of five to seven base stations and over 10,000
CPEs as it delivers broadband Internet services to residential
customers in and around eight Lebanese cities.

- SR Telecom's angel solution was selected for a 100,000 line
multi-service broadband fixed wireless access network in Spain,
which is being rolled out by one of the continent's pre-eminent
telecommunications operators. Upon successful completion of a
pilot project, and pending final documentation, the full 100,000
line network project will commence and be deployed over three
years.

Subsequent Events

- SR Telecom's angel broadband fixed wireless access product was
selected by a major telecommunications provider in Southeast
Asia for a metropolitan development project. This is the second
urban deployment of the angel platform in the region.

- SR Telecom reached an agreement with the lenders of
Communicacion y Telefonia Rural, S.A. (CTR), its service
provider subsidiary in Chile. A waiver from one of the lenders
provides for a deferral of principal repayments due in 2004, and
extends such repayment of principal to 2008. Consequently, the
payments due to CTR's lenders in 2004 have been reduced from
US$9.0 million to US$5.5 million. This enables CTR to expand its
network and continue its marketing initiatives to further
improve its financial performance.

- SR Telecom completed its offering with a syndicate of
underwriters led by Desjardins Securities Inc., including TD
Securities Inc. and CIBC World Markets Inc. The syndicate
purchased 5,714,287 units of the Company at a price of $7.00 per
unit for aggregate gross proceeds of $40 million. The syndicate
has also exercised the over-allotment option where an additional
857,142 units were purchased for aggregate gross proceeds of $6
million.

- Concurrently with the closing of the public offering, the
Company completed a private placement of 571,500 units with
Global Telecom, L.L.C., for aggregate gross proceeds of
$4,000,500, on the same terms and conditions as those in the
public offering of units, subject to regulatory hold periods for
private placement.

- Bell Telecommunication Philippines Inc. (Belltel), a full-
service telecommunications provider in the Philippines, selected
the angel fixed wireless access system for a voice and broadband
Internet project in Manila. This is the first commercial
deployment of the angel platform in the Philippines. Deployed as
an integral part of Belltel's iDirect service, the angel product
will provide bundled data services, high-speed Internet access
and carrier-class voice services to Belltel's large customer
base in the business and high-end residential sectors in Manila.

- SR Telecom launched its next generation SR500-ip point-to-
multipoint fixed wireless access system and announced that it
has secured the first orders valued at $4.4 million. The orders
come from a major incumbent carrier in Southeast Asia, which
will use the SR500-ip for the expansion of its extensive rural
telecommunications infrastructure. Upon the successful
deployment of the initial systems, the Company expects the
expansion program will generate revenues in excess of $100
million over three years. Deliveries are scheduled to commence
in the second quarter of 2004.

- The first shipments of SR Telecom's angel and airstar products
were delivered from the Company's new manufacturing facility in
Montreal. The facility significantly increases the Company's
manufacturing capacity, allowing it to accommodate the growing
demand for angel and airstar.

- Ikatel, a subsidiary of France Telecom, selected the angel
broadband fixed wireless access product for a voice and
broadband data project in Bamako, Mali's capital city. This
marks the first commercial deployment of the angel platform in
Africa. Deliveries and installations are expected to commence in
March. Ikatel will deliver voice and broadband data services to
four distinct customer groups in Bamako: residential users,
businesses, cyber-cafes and tele-centers.

Outlook

"As I have said, the fixed wireless sector has begun to show
signs of a return to life. We expect increased bookings in the
months ahead, and I am encouraged by the contracts we have won
over the past few months in Asia, Africa, Spain and Mexico. Our
angel, airstar, and newly-launched SR500-ip products clearly
address a demonstrated need for our customers. These state-of-
the-art broadband technologies set the current standard for
robustness, flexibility and functionality," remarked Mr. St-
Arnaud.

"The first half of 2004 will continue to be difficult, but the
success of our recent equity offerings has improved our
financial position considerably. We are confident that the major
projects we have been pursuing over the past months will soon
reach fruition. With the bookings we anticipate, we expect to be
profitable in the second part of the year."

To see SR Telecom's Management Discussion and Analysis of
Financial
Condition and Results of Operations:
http://bankrupt.com/misc/SR_Telecom.htm


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


GRUPO IUSACELL: Reports $4.7 Billion Full-year Net Loss
-------------------------------------------------------
Grupo Iusacell, S.A. de C.V (NYSE: CEL) (BMV: CEL) (Iusacell or
the Company) announced Thursday unaudited results for the fourth
quarter and year ended December 31, 2003.

Financial Results

Operational change: As disclosed in the previous quarter
release, Iusacell reduced the period in which a prepaid customer
can receive incoming calls but cannot make outgoing calls from
305 days to 90 days. During the fourth quarter of 2003,
approximately 135,000 prepaid lines, which have not utilized
Iusacell's network services in the above said 90-day period of
time were turned-over. As of December 31, 2003, subscribers
totaled approximately 1.3 million.

Revenue in the quarter increased 18% from the previous quarter
to $1,277 million, reflecting a more aggressive sales strategy
and renewed product offerings. Revenues, however, decreased 4%
from the year-ago period as a result of a lower subscriber base
and lower ARPUs. On a yearly basis, revenues decreased 18% to
$4,739 million from the $5,747 million registered in 2002,
primarily derived from lower subscriber base and lower ARPUs and
the effect of accounting policy changes made in the third
quarter of 2003.

Cost of sales in the fourth quarter of 2003 decreased 8% to $855
million from the previous quarter, but increased 73% from the
year-ago period driven mainly by changes in accounting policies
effective in the third quarter of 2003.

Operating expenses: sales and advertising expenses in the
quarter increased 28% and 10% from the previous quarter and
year-ago period, respectively to $427 million, primarily derived
from a more aggressive campaign in the period and the
utilization of specific advertising spaces previously contracted
that otherwise would have been lost. On a yearly basis, sales
and advertising of $1,313 million in 2003, declined 8% from the
$1,419 million in 2002 due primarily to fewer gross subscriber
additions. General and administrative expenses decreased 30% in
the fourth quarter of 2003 from the previous quarter, but
increased 154% from the year-ago period, mainly reflecting the
reversal of certain provisions in the fourth quarter of 2002.
Other income in the fourth quarter reflects the sale and lease
back of towers to American Tower Corporation in December 2003.

EBITDA was mainly affected by lower revenues as well as
increased costs during the quarter, ending with a negative $73
million for the period, compared to negative $401 million
reported in the previous quarter and positive $381 million
reported in the year-ago period.

On a yearly basis, EBITDA ended with positive $372 million
compared to $1,861 million in 2002.

Depreciation and amortization expenses of $494 million in the
fourth quarter of 2003 reflected the Company's decision adopted
in the third quarter of 2003 of expensing the postpaid handsets
related costs rather than amortizing them within the average
life of the postpaid contracts. Fourth quarter 2002 depreciation
and amortization expense is also affected by a benefit related
to the extension of useful life of certain fixed assets incurred
in that period.

Operating loss in the quarter increased from the $116 million
recorded last year to $567 million in the current quarter driven
primarily by the changes in accounting policies made in the
third quarter 2003 and lower revenues.

Integral financing cost in the quarter ended with $272 million,
compared to $410 million in the same quarter of 2002. The result
was mainly driven by a lower foreign exchange loss resulting
from the 2% depreciation of the peso against the U.S. dollar in
the quarter. On a yearly basis, the integral financing cost
ended with $1,362 million, 13% lower than the $1,573 million
reported in 2002, resulting mainly from a lower foreign exchange
loss in the period.

Net loss in the quarter of $1,318 million was the result of
higher operating losses and lower revenues. This compares to a
net loss of $546 million in the year-ago period. On a yearly
basis, net loss of $4,709 million compares to a net loss of
$2,167 million affected by accounting changes during the year
and higher operating losses.

Capital expenditures: Iusacell invested approximately US$7.3
million in its regions during the fourth quarter of 2003 to
expand coverage. During the year, the Company invested
approximately US$18.2 million. Despite these investments,
Iusacell is still behind its investment program, which is
crucial in order to face competition, ensuring capacity and
coverage and offering a quality service.

Debt: As of December 31, 2003, including trade notes payable,
debt totaled US$810 million. All of the Company's debt is U.S.
dollar-denominated.

As previously communicated, the majority of the Company's
financial debt is classified as current in the Balance Sheet
presented herein, in accordance with Mexican GAAP.

Recent Developments

Tower sales and lease back: In December 2003, Iusacell's main
operating subsidiary Grupo Iusacell Celular, S.A. de C.V. and
certain of its subsidiaries (Iusacell Celular), entered a series
of agreements with the Mexican subsidiary of American Tower
Corporation (MATC) that, among other things, gives MATC the
right to acquire up to 143 existing Iusacell Celular towers over
the course of this year. Iusacell Celular will then lease the
transferred towers back from MATC.

During the fourth quarter of 2003, Iusacell Celular sold and
leased back 34 towers to MATC for approximately $89 million in
net income.

Exchange of New Common Shares at a Ratio of 20 to 1: On
December, 2003, Iusacell effected the exchange of its Series A
and Series V shares for new common, ordinary, registered shares
with no par value at a ratio of 20 Series A and/or Series V
shares to 1 new share. The Company did not issue fractional
shares. Accordingly, fractions of new shares were paid at a
price equal to the opening market price quoted on the Mexican
Stock Exchange on October 17, 2003, of Ps.0.88 for each of the
Series A or Series V shares, as determined on the October 17,
2003 shareholders' meeting.

The number of new shares issued and outstanding is 93,101,240
with a public float of approximately 25.4%. The Company's ticker
on the Mexican Stock Exchange and the New York Stock Exchange
remained unchanged.

Agreement with Mr. Elizondo: In 1998 Grupo Iusacell and Iusacell
Celular entered into an agreement with Mr. Jose Ramon Elizondo
Anaya in connection with Mr. Elizondo's participation in certain
Iusacell's subsidiaries. The Agreement provided that Mr.
Elizondo had the right to sell, and Grupo Iusacell had the
obligation to purchase the shares of Mr. Elizondo, previous
written notice from Mr. Elizondo. Such written notice was
delivered by Mr. Elizondo to Grupo Iusacell on October 3, 2003.

On November 3, 2003, Mr. Elizondo, Grupo Iusacell and Iusacell
Celular agreed to pay Mr. Elizondo a total amount of US$ 11
million for his participation in certain Iusacell's
subsidiaries. Total amount to be paid in several installments
within a two year period.

Further information about the relationship between Iusacell and
Mr. Elizondo can be found at the Company's 2002 Annual Report on
form 20-F, filed with the Securities and Exchange Commission
(http://www.sec.gov)and the Mexican Stock Exchange
(http://www.bmv.com.mx).

Iusacell signed Operating and Distribution Agreements: Iusacell
signed distribution agreements with Elektra, Coppel and other
distributors to sell and promote Iusacell's wireless services
and products under a commission frame. All operating agreements
reached by the Company during the quarter are part of the normal
course of business.

Under the distribution agreement, Elektra is positioning as the
largest distributor of wireless services for Iusacell.

As part of the agreement with Elektra, Iusacell transferred the
operation of its approximately 135 company-owned stores (CSI's)
to Elektra, in an outsourcing-type of transaction in an effort
to create an innovative concept of high-tech telecom and
consumer products for the high-value segments.

The Coppel agreement was perfected under the same terms and
conditions of the Elektra agreement.

Iusacell and Movilaccess reached an agreement by which,
Movilaccess will maintain and manage the Company's call center
operations. The agreement will reduce lease, rental and other
costs in Iusacell associated with the call center operation.
Iusacell's customer service will continue to have full
empowerment over the call center under the new agreement.

Iusacell reached an agreement with Telcel on SMS: On October 9,
2003, the Federal Telecommunications Commission in Mexico
(Cofetel) issued a resolution ordering Mexican mobile phone
firms Iusacell and Telcel (a subsidiary of America Movil, S.A.
de C.V.) to connect their short text messaging (SMS) networks.

On December 11, 2003, Iusacell announced an agreement under
which all Iusacell's customers are able to send "ReK2" (the
commercial brand name of its SMS services) to users of Telcel.
With this practical and inexpensive service customers would be
able to maintain communication in every Iusacell-covered city
paying always the same for a text message sent to any of the
referred destinies. What makes ReK2 so popular is that there is
no roaming or long distance cost associated, making it very
accessible.

Iusacell reached an agreement with Telefonica on SMS: On
February 12, 2004, Iusacell and Telefonica Moviles Mexico
(Telefonica) announced an agreement by which all customers of
these companies will be able to send and received SMS among
them.

The service became operative on February 15, 2004, and every
customer is able to send or receive SMS without an activation
procedure, forms to fill or any activation charge; customers can
visit any Iusacell store, or CSI, to learn more details about
this service and its use.

Legal suit from the 2004 Note holders: In January, 2004,
Iusacell announced that its U.S. legal advisors have been
advised by the legal counsels of some members of the informal
committee of 2004 note holders, representing 31.8% of the total,
that notice of a complaint with respect to a lawsuit filed by
the latter against its subsidiary. The Company is currently in
the process of responding the lawsuit.

Shareholders Meeting and Resolution: On October 17, 2003, the
Company held a general ordinary and extraordinary shareholder's
meeting by which its shareholders accepted a management proposal
to exchange its Series "A" and Series "V" shares for a new
common share class.

Shareholders also approved an amendment to the Company's by-
laws, mainly to reflect the capital restructure. Shareholders
also elected a new Board of Directors, which is now comprised of
nine members instead of twelve. Additionally, Mr. Fernando
Cabrera G. was appointed Secretary, non-member, of the Board of
Directors.

The Board of Directors will perfect changes, most likely in the
coming Shareholders' Meeting, to reflect the loss of Mr. Jose
Ignacio Morales Elcoro, deceased on February 15, 2004. EDIT

The following table presents the members of the Board of
Directors as of October 17, 2003:

Board of Directors
Ricardo B. Salinas Pliego    Chairman of the Board of Directors
Pedro Padilla Longoria       Vice Chairman of the Board of
                                Directors
Gustavo Guzman Sepulveda       Director
*Jose Ignacio Morales Elcoro   Director
Luis J. Echarte Fernandez      Director
Joaquin Arrangoiz              Director
Hector Rojas Villanueva        Director
Marcelino Gomez Velasco        Director
Manuel Rodriguez de Castro     Director
(*) Mr. Morales passed away on February 15, 2004

To see financial statements:
http://bankrupt.com/misc/Grupo_Iusacell.htm


GRUPO TFM: 4th Quarter Revenues Down on Peso Devaluation
--------------------------------------------------------
Grupo Transportacion Ferroviaria Mexicana, SA. de C.V. and its
subsidiaries ("TFM") reported financial results for the fourth-
quarter and full-year periods of 2003.

OPERATIONAL RESULTS FOR THE FOURTH QUARTER OF 2003

Consolidated net revenues for the three months ended December
31, 2003, were $175.2 million, which represents a decrease of
$4.6 million or 2.5 percent from revenues of $179.7 million for
the same period in 2002. TFM experienced a 0.8 percent decrease
in volume during the fourth quarter of 2003 compared with the
same period of 2002, caused by the economic downturn, the lack
of recovery in foreign trade and the seasonal shutdown of the
automotive industry at the end of the year. The 10 percent
devaluation of the peso and lower activity in the automotive
industry translated into $11.4 million deterioration of revenue
compared with the same period in 2002, partially offset by
growth in Mexrail revenues, truck-to-rail conversion, and growth
in the Chemicals and Petrochemicals and Metals and Minerals
segments.

Consolidated operating profit for the fourth quarter of 2003 was
$32.1 million, representing a decrease of $0.8 million from the
fourth quarter of 2002. The operating ratio (operating expenses
as a percentage of revenues) for the fourth quarter of 2003 was
81.6 percent including Mexrail operations (79.1% without
Mexrail). Reduction in operating expenses continued during the
fourth quarter compared with the same period in 2002,
specifically salaries and wages by 5.0 percent; materials and
supplies by 10.4 percent, car hire by 23.4 percent; and
purchased services by 19.5 percent. Additionally, savings of
13.6 percent, or $1.5 million, in locomotive maintenance was
achieved during the quarter as a result of cost control measures
and a more efficient operation. The cost-saving effects were
negatively impacted by a 15.7 percent, or $2.2 million, increase
in fuel cost. The operating loss for Mexrail in the fourth
quarter of 2003 was $0.8 million, and operating expenses at the
division increased by $1.2 million, or 8.3 percent, during the
quarter compared with the same period of 2002. Casualties and
insurance expenses accounted for $0.6 million of the increased
expense.

OPERATIONAL RESULTS FOR THE YEAR ENDED DECEMBER 31, 2003

Consolidated net revenues for the year ended December 31, 2003,
were $698.5 million, including $57.1 million from Mexrail
operations, which represents a decrease of $13.6 million or 1.9
percent from the year ended December 31, 2002. TFM revenues were
negatively impacted by $29.3 million in lower revenues from the
automotive industry, eroded further by $29.2 million, or 11.7
percent, devaluation in revenues from other segments ($37.3
million including automotive segment), but were partially offset
by an increase in volume from truck-to-rail conversion,
increased volume at Mexrail, and from Agroindustrial and Cement
and Mineral product segments.

Consolidated operating profit for the year ended December 31,
2003, was $132.0 million, resulting in an operating ratio of
81.1 percent. (The consolidated operating ratio without Mexrail
was 78.4 percent.) Compared with the same period in 2002,
operating expenses for the year ended December 31, 2003, showed
the benefit of cost control measures in place at TFM before the
consolidation of Mexrail, including reductions in salaries and
wages of 6.3 percent, in material and supplies of 29.1 percent,
in car hire of 5.8 percent, and in purchased services of 8.0
percent, of which $10.3 million, or 21.0 percent corresponds to
savings in locomotive maintenance. Consolidated operating
expenses also included a 27.6 percent, or $13.8 million,
increase in fuel costs due to the volatility of prices and $2.8
million for retention on casualties and insurance during the
year of 2003.

FINANCIAL EXPENSES

Net financial expenses incurred in the year ended December 31,
2003, were $111.1 million, including $23.6 million related to
the $180.0 million 2012 bond issued in July 2002. TFM recognized
a $13.7 million foreign exchange loss resulting from the
depreciation of the Mexican peso relative to the U.S. dollar.

LIQUIDITY AND CAPITAL RESOURCES

As of December 31, 2003, TFM's accounts receivable balance
decreased to $189.7 million from $204.5 million at December 31,
2002.

TFM made capital expenditures of $13.2 million during the fourth
quarter and $64.2 million for the full year of 2003, primarily
from investment in the improvement of TFM and Mexrail lines.

During September 2003 the company repurchased from Kansas City
Railroad 51 percent of the capital stock in Mexrail for $32.6
million, the same price TFM received from the sale transaction
in April 2003.

As of December 31, 2003, TFM had an outstanding debt balance of
$968.0 million and leverage of $55.1 million less than at
December 31st, 2002. Debt includes $85.0 million of outstanding
U.S. commercial paper and a term loan of $109.7 million.

DEBT COVENANTS

During the fourth quarter of 2003, TFM failed to meet certain
financial covenants ratios under its Term Loan facility and its
Commercial Paper Program. The Company is currently negotiating
with its lenders amendments to each of the above mentioned
credit agreements, which would retroactively amend the covenants
and would effectively cure the defaults. The Company is also in
the process of refinancing its Commercial Paper program to
extend the maturity date to 2006.

To see financial statements:
http://bankrupt.com/misc/Grupo_TFM.txt

CONTACT:  GRUPO TFM
          Mario Mohar or Jacinto Marina, 011-525-55-629-8866
          Leon Ortiz, 011-525-55-447-5836


GRUPO TMM: Reports $45 Million Full-year Net Loss
-------------------------------------------------
Grupo TMM, S.A. (NYSE:TMM and BMV: TMM A; "TMM"), a Latin
American, multi-modal transportation and logistics company and
owner of the controlling interest in Mexico's busiest railway,
TFM, reported revenues from consolidated operations of $229.5
million for the fourth quarter of 2003, compared to $229.3
million for the same period of 2002. Improved revenues were
reported at Specialized Maritime, TexMex and Logistics. The
Company continued to be negatively impacted in the fourth
quarter by continued high inventory and reduced production in
the auto sector, which affected revenues at TFM, Ports, and
Logistics.

Consolidated Company revenue and operating profit was negatively
impacted during the fourth quarter by further devaluation of the
peso. Peso devaluation was 10.0 percent quarter-over-quarter and
12.0 percent year-over-year. Consolidated operating profit
increased 4.7 percent and was influenced by a number of factors,
including $3.8 million in cost reduction at the railroad
division in spite of $2.2 million, or 15.7 percent, increased
fuel costs; $0.6 million in casualties and insurance; positive
improvement in gross results at Specialized Maritime; and $2.2
million reduction in selling, general and administrative (SG&A)
expense (without restructuring costs).

Revenues from consolidated operations for the full year of 2003
were $907.6 million compared to $917.7 million for the same
period of 2002. Operating profit for the 12 months decreased
14.6 percent compared to the same period of 2002, due to a $14.1
million, or 27.4 percent, increase in fuel costs, significant
declines in automobile exports and automotive parts imports, and
$2.8 million for derailments during 2003. The reduction in the
sector impacted automobile and intermodal segment revenues at
TFM, which in turn affected car handling movements at the
Logistics division and car warehousing activity at the Ports
division. The slowdown in auto production affected Grupo TMM
revenues at TFM, Logistics, and Ports by $42.1 million in
revenue for the full year.

The Company reported a net loss of $25.0 million, or $0.44 per
share, in the fourth quarter, and a loss of $45.4 million, or
$0.80 per share, for the full year. Net profit in the full-year
period was impacted by extraordinary one-time charges,
including, those in connection with the Value Added Tax (VAT)
lawsuit totaling $23.7 million; exchange losses of $17.8
million; higher interest costs at TFM of $23.6 million
associated with debt to finance the acquisition of additional
shares of Grupo TFM in 2002; and $46.0 million associated with
the declining value of deferred tax credits primarily due to
peso devaluation. Finally the increased rate of accretion in
TMM's 2003 and 2006 notes, as per the agreement with its
bondholders, negatively impacted the Company's financial costs
by an additional $4 million.

While the rail division (including TFM and TexMex) reported
full-year revenues of $13.6 million less than the prior year,
TFM produced significant truck-to-rail conversion revenue of
$54.0 million in all rail product lines. Truck-to-rail
conversion accounted for $87.0 million in revenue improvement
during 2002 and 2003. Exclusive of the revenue from truck-to-
rail conversion, revenue for the rail division would have been
reduced by $67.0 million in 2003, $37.0 million associated with
exchange rate devaluations and $29.0 million due to reduced
volume in all industrial segments. Revenue growth in all
segments except auto and intermodal, which is affected by auto,
was 4.1 percent in 2003. Operating profit was impacted in 2003
by the reduced revenue in the automotive segment and increased
fuel cost of $13.8 million.

In 2004, the rail division forecasts revenue growth of 10.0
percent and EBITDA growth of 15 percent. Chemical transload,
agricultural cross-dock facilities and new intermodal terminals
are now fully operational. Additionally, TFM anticipates in 2004
improved revenues from continued truck-to-rail conversion,
expansion of domestic auto distribution, auto parts expansion,
and growth in NAFTA. The Company also expects the automobile
sector to begin to produce growth by the end of 2004. Mario
Mohar, president of TFM and TexMex, said, "We are seeing
improvement in most segments, and we believe that our lower cost
base coupled with improved materials handling and efficient
production positions us for improvement in results in 2004."

At Specialized Maritime fourth quarter revenue improvement over
the prior-year period was associated with additional off-shore
supply ship vessel contracts. Gross profit and operating profit
for the division improved, increasing operating margin by 9.5
percentage points due to additional supply ship contracts and
the addition of a parcel tanker in November 2003. Chemical
parcel tanker revenue improved 43.2 percent, or $2.3 million,
quarter-over-quarter, and by 30.6 percent, or $6.0 million,
year-over-year.

TMM's Logistics division's revenues increased 10.0 percent in
the fourth quarter compared to the same period of 2002 due to
expanding truck distribution contracts with Wal Mart, Jumex and
Unilever, with line feeding and for drayage activity associated
with intermodal RoadRailer(TM). Revenues in the container repair
and maintenance business continued to grow with expansion
associated with CP Ships at a new operation in Ensenada.
Intermodal terminal and outsourced facilities experienced
continued sluggish automobile handling in the fourth quarter and
full year, thus impacting results.

In the Ports and Terminals division, revenue, gross profit and
operating profit decreased during the fourth quarter of 2003
primarily due to reduced passenger activity at Acapulco (14,600
passengers as a consequence of dry docking of a Princess Lines
vessel, which impacted itineraries), and decreased automobile
handling (2,700 units caused by a plant closing in Chile).

Javier Segovia, president of Grupo TMM said, "We continue to
believe Grupo TMM's overall operations will benefit from
increasing trade volumes and accelerated economic activity
between NAFTA countries. Resolution of our strategic issues,
namely the pending arbitration between KCS and Grupo TMM, the
restructuring of our debt, and the favorable resolution of TFM's
VAT lawsuit, should produce a new platform for a stronger
Company with greater flexibility.

"In the last two quarters, we have seen strengthening results
from all of our operations despite the continued sluggishness of
the automotive sector. We believe growth is steadily returning
to the NAFTA corridor, and we remain well-positioned through our
assets to take advantage of that growth. Higher fuel costs, peso
devaluation and costs associated with the VAT lawsuit continue
to impact our net results.

"With a stronger foundation and improved revenue mix, we expect
2004 to be an exciting year for all of TMM's businesses and are
confident that our rail, port, specialized maritime, trucking,
and logistics businesses will build profitability in the near
and long terms."

ARBITRATION PROCEEDINGS

As announced previously, on October 22, 2003, a Delaware Court
granted a preliminary injunction requiring Kansas City Southern
(KCS) and Grupo TMM continue to abide by the terms of an
acquisition agreement for Grupo TFM announced on April 22, 2003,
pending arbitration of the propriety of TMM's termination of
that agreement. The parties to the arbitration have completed
their respective presentations to a three-member panel, and
arbitrators requested presentation of final documents related to
this process by February 19. TMM believes all relevant arguments
were presented and anticipates a ruling in the near future.

LIQUIDITY AND DEBT PROFILE

On December 18, 2003, the Company announced it had reached an
agreement on the principal terms of a restructuring with an ad
hoc committee of bondholders representing approximately 43
percent of its 9 1/2 percent Senior Notes due 2003 and its 10
1/4 percent Senior Notes due 2006 (Existing Notes). The law firm
of Akin, Gump, Strauss, Hauer & Feld LLP, and the financial
advisory firm of Houlihan Lokey Howard & Zukin have been
retained to represent the bondholder committee. The
restructuring will be accomplished through a registered exchange
offer of new senior secured notes (New Secured Notes) for the
Existing Notes, together with a consent solicitation and
prepackaged plan solicitation. TMM submitted a Report on Form 6-
K to the U.S. Securities and Exchange Commission (SEC), which
included the Term Sheet for the New Secured Notes and the
restructuring.

On January 12 the Company announced it had received voting
agreements executed by holders of approximately 64 percent of
the aggregate outstanding principal amount of Existing Notes. As
a result, the Company is proceeding with the restructuring on
the terms set forth in the voting agreements. The company filed
a registration statement with the SEC on January 27 with respect
to an exchange offer to implement the restructuring as provided
in the voting agreement.

On December 29, 2003, the Company closed an additional $25
million of certificates under its receivables securitization
program, which, at December 31, 2003, was a total of $76.3
million in outstanding certificates. The additional certificates
have the same terms and conditions as the existing certificates
originally issued on August 19, 2003, and require monthly
amortization of principal and interest and mature in three
years.

During the fourth quarter of 2003, TFM failed to meet certain
financial covenant ratios under its Term Loan Facility and its
Commercial Paper Program. TFM is currently negotiating
amendments to each of the above mentioned credit agreements with
its lenders, which would retroactively amend the covenants and
would effectively cure the defaults. TFM is also in the process
of refinancing its Commercial Paper Program to extend the
termination date to 2006.

VAT LAWSUIT

In early November 2003, the Fourth Federal Court of the First
Circuit ("Federal Court") found no merit to the requested review
that the Office of the Tax Attorney of the Mexican Government
had filed, regarding the favorable resolution of the Federal
Tribunal of Fiscal and Administrative Justice (the "Fiscal
Court") order to issue a Special VAT Certificate for
$2,111,111,790.00 pesos, indexed with inflation and adjusted
with fiscal interest rates, re-affirming the rights of the
Company. On January 19 the Mexican Treasury delivered a Special
VAT Certificate in the name of TFM for the consolidated
historical claimed amount of $2,111,111,790.00 pesos.

The delivery of that certificate incorrectly complied with the
Fiscal Court's resolution, as the certificate did not reflect
adjustments for inflation and interest, and TFM subsequently
presented a complaint before the upper chamber of the Fiscal
Court, which is pending resolution.

Additionally, only one day after delivering the Special VAT
Certificate, and as a part of a fiscal audit to the books of
1997 (conducted for the second time), the "Servicio de
Administracion Tributaria ("SAT" or "Tax Administrative Entity")
issued a preliminary summation finding of their visit.

In the preliminary summation finding, the SAT noted that the
Company, "...wrongfully declared a VAT receivable for
$2,111,111,790.00 Pesos, which in our opinion refers to expenses
that do not comply with fiscal requirements, and therefore, are
not deductible. In our view, TFM did not prove its VAT claim
with corresponding documentation, which incorporates fiscal
requisites as to the identity of the taxpayer, its tax
identification code, address of the seller and buyer of the
assets in question, and the VAT shown as separate from the
principal..." and as a result, the VAT cannot be credited.
Additionally, the SAT stated that the Mexican Treasury informed
them that they had issued the aforementioned Special Certificate
in the name of the Company, thus "...the Special VAT Certificate
received by the visited company is not valid and the SAT made a
provisional attachment to the Special Vat Certificate..." As of
today, no tax liability has been levied against TFM, as the
final summary of the audit is still pending.

TFM believes the provisional attachment of the Special VAT
Certificate is a violation of its constitutional guarantees, and
as a result, TFM requested an injunction ("amparo case"), which
has been admitted. A constitutional hearing will be held in
early March.

In order to discredit the statements included in the preliminary
audit summary, TFM presented a document stating to the SAT that
the acquisition documents that the Company has in its possession
do comply with fiscal requirements, and that if the SAT were to
require additional information, they should request such
documents from the selling authority.

Finally, in the event the SAT does not accept the Company's
arguments, the SAT will notify the Company of its determination
and may request payment of tax liabilities, which the company
would dispute through every available legal means. TFM firmly
believes its position is correct and it possesses adequate
defenses and other rights granted by the agreements related to
the privatization that will permit TFM to prevail.

GRUPO TFM PUT

In 2003, Grupo TFM requested a federal judge in Mexico to
provide interpretation of the Purchase-Sale Agreement of TFM's
common stock, requesting adherence to the specific process
provided in the Agreement and its Amendments, which should
commence with an Initial Public Offering ("IPO") of TFM's shares
into the public markets for the exercising of Grupo TFM's call
and the Mexican government's Put option for the 20 percent
equity interest in TFM it retains.

Given that none of the steps of this process had been completed,
because the real value of the shares of TFM owned by the
government could not be determined since TFM had not received
reimbursement of a Value Added Tax, although ordered by the
Mexican Fiscal Court on August 13, there could be no condition
that applies in order for the Mexican government to request that
Grupo TFM acquire the equity stake held at TFM by the
government.

Grupo TFM also asked for and received from a federal judge an
injunction, which blocks the government from exercising its Put
option.

Grupo TFM acknowledges its commitment to acquire the equity
interest that the Mexican government holds in TFM and has
informed the government of its desire to comply once the pending
steps from the original Agreement are completed, which should
occur after the VAT claim has been reimbursed.

Headquartered in Mexico City, Grupo TMM is a Latin American
multimodal transportation company. Through its branch offices
and network of subsidiary companies, TMM provides a dynamic
combination of ocean and land transportation services. TMM also
has a significant interest in Transportacion Ferroviaria
Mexicana (TFM), which operates Mexico's Northeast railway and
carries over 40 percent of the country's rail cargo. Visit Grupo
TMM's Web site at http://www.grupotmm.comand TFM's Web site at
http://www.tfm.com.mx.Both sites offer Spanish/English language
options.

To see financial statements:
http://bankrupt.com/misc/Grupo_TMM.txt

CONTACT:  GRUPO TMM
          Juan Fernandez, 011-525-55-629-8778
          juan.fernandez@tmm.com.mx

          Brad Skinner, 011-525-55-629-8725 or 203-247-2420
          (Investor Relations)
          brad.skinner@tmm.com.mx

          DRESNER CORPORATE SERVICES
          Kristine Walczak, 312-726-3600
          (general investors, analysts and media)
          kwalczak@dresnerco.com

          Proa/Structura
          Marco Provencio, 011-525-55-629-8708 or
          011-525-55-442-4948
          mp@proa.structura.com.mx


TV AZTECA: Turns to Front Porch for Digital Video Archive
---------------------------------------------------------
Front Porch Digital Inc. (OTC Bulletin Board: FPDI) and
StorageTek, the storage services and solutions expert, announced
Thursday that they have deployed a digital video archive for TV
Azteca, one of two major producers of Spanish television content
in the world and the second largest television broadcaster in
Mexico.

TV Azteca tapped Front Porch Digital and StorageTek to provide a
DIVArchive (Distributed Intelligent Versatile Archive) solution
for its near-line storage strategy. The DIVArchive system will
feed TV Azteca existing networks with over 15,000 hours of
programming. As a result, more than 300 locally owned and
operated stations will receive content from DIVArchive across
Mexico.

"We made extensive evaluations and testing of near-line storage
products, and for storage management, DIVArchive and
StorageTek's L5500 best met all our needs for reliability,
flexibility and accessibility," said Alejandro Magos, CIO at TV
Azteca. "DIVArchive integrates seamlessly with our on-line
systems, and provides cost-effective means for upgrading storage
for on-air playout."

Storage solutions provider, StorageTek(R) (Storage Technology
Corporation, NYSE: STK) was selected to deploy the complete
solution at TV Azteca.

"TV Azteca deserved a best-of-breed solution," said Jorge
Rivera, Professional Services Sales Representative at
StorageTek. "We include Front Porch Digital products in our
Broadcast solutions because they are superior to the competition
and they are the market leaders in archive management software.
StorageTek has done more than 30 worldwide broadcast
installations with Front Porch, and our bundled archive
management solutions are proven in the most demanding
operations. TV Azteca was amazed when they realized the
operational efficiencies DIVArchive produces."

"With TV Azteca joining the Front Porch client roster,
DIVArchive is now the leading archive management software among
Spanish broadcasters worldwide," said Front Porch CEO Mike
Knaisch. "TV Azteca is also an important reference point for
both Front Porch Digital and StorageTek. This win is evidence
that our bundled solution is preferred by world-class media
organizations, and it also solidifies our growing footprint
throughout the Americas."

About Front Porch Digital: Front Porch Digital Inc.
(http://www.fpdigital.com)is transforming the digital world by
developing unique software and services that convert audio,
video, images, text and data into digital formats that enable
searching, browsing, editing, storage and on-demand delivery of
content in nearly any other digital format through a single
capture. Front Porch is the number one provider of archive
management software in Europe and Asia.

About StorageTek

StorageTek (NYSE: STK), a $2 billion worldwide company with
headquarters in Louisville, Colo., delivers a broad range of
storage solutions that are easy to manage, integrate well with
existing infrastructures and allow universal access to data
across servers, media types and networks. StorageTek provides
practical and safe storage solutions in disk, networking,
services, tape and tape automation. For more information, see
http://www.storagetek.com.mx,or call +52/55/91771822.

     Contact:
     Mike Knaisch
     Chief Executive Officer
     Front Porch Digital Inc.
     (303) 938-1504
     mike.knaisch@fpdigital.com

     Alfredo Taborga
     StorageTek Mexico
     (52) 55 91 77 18 22
     alfredo_taborga@storagetek.com


=============
U R U G U A Y
=============


BANCO COMERCIAL: Liquidation Triggers Ratings Withdrawal
--------------------------------------------------------
Moody's Investors Service withdrew all of its ratings for Banco
Comercial S.A., which is in the process of liquidation by order
of the Central Bank of Uruguay. The bank's foreign currency debt
outstanding is currently in the hands of its liquidator.

The following ratings were withdrawn:

- Long Term Foreign Currency Deposits: Ca

- Short Term Foreign Currency Deposits: Not Prime

- Long Term Foreign Currency Bonds: Ca

- Bank Financial Strength: E


BANCO DE MONTEVIDEO: Moody's Withdraws Ratings
----------------------------------------------
Moody's Investors Service withdrew all of its ratings for Banco
de Montevideo S.A., which is in the process of liquidation by
order of the Central Bank of Uruguay. The bank's foreign
currency debt outstanding is currently in the hands of its
liquidator.

- Long Term Foreign Currency Deposits: Ca

- Short Term Foreign Currency Deposits: Not Prime

- Long Term Foreign Currency Bonds: Ca

- Bank Financial Strength: E


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


HOVENSA: Fitch to Rate Proposed Bond Issuance 'BBB-'
----------------------------------------------------
Fitch Ratings expects to assign a 'BBB-' rating to a proposed
issuance of $50.7 million senior secured tax-exempt bonds due
2022 (the series 2004 bonds), which are expected to be issued in
March 2004 by the Government of U.S. Virgin Islands Public
Finance Authority for the benefit of HOVENSA LLC.

In addition, Fitch has affirmed HOVENSA LLC's senior secured
debt rating of 'BBB-'. The rating applies to approximately
US$191 million outstanding under the bank term loan due 2008
(term loan), an undrawn $150 million senior secured bank
revolver due 2007, $126.8 million of senior secured tax-exempt
bonds due 2021 (the series 2002 bonds), and $74.2 million of
senior secured tax-exempt bonds due 2022 (the series 2003
bonds).

Similar to the series 2003 bonds issued in December 2003, the
anticipated series 2004 bonds will have a maturity of less than
a 19-year term with no scheduled principal amortization until
2015. Proceeds from the proposed series 2004 bonds combined with
some cash on-hand will be used to prepay an aggregate of $65
million of principal payments due through 2006 on the
outstanding term loan, which would reduce the outstanding amount
of the term loan to approximately $126 million.

The rating affirmation reflects HOVENSA's ability to lengthen
its debt maturity schedule, which should further enhance the
project's liquidity position over the near term. As a result,
HOVENSA will be better positioned to fund the remaining $437
million of upcoming mandatory capital expenditures needed to
comply with ultra low sulfur fuel regulations. Fitch expects
these capital expenditures to be funded by HOVENSA's operating
cash flow.

HOVENSA, a limited liability company which owns and operates a
495,000 barrels per day crude oil refinery in the U.S. Virgin
Islands, is indirectly owned 50% by Amerada Hess Corporation
(Hess) and 50% by Petroleos de Venezuela, S.A. (PDVSA),
(together, the sponsors). For more detail, please refer to
Fitch's Credit Update Report on HOVENSA dated Feb. 26, 2004 soon
to be available at http://www.fitchratings.com.

CONTACT:  Caren Y. Chang +1-312-368-3151, Chicago
          Bryan Caviness, +1-312-368-2056, Chicago
          Gersan Zurita +1-212-908-0318, New York

MEDIA RELATIONS: James Jockle +1-212-908-0547, New York


PDVSA: NB Power Launches Legal Action Against Subsidiary
--------------------------------------------------------
NB Power on Wednesday sued BITOR, a wholly owned subsidiary of
PDVSA, and PDVSA, the Venezuelan state oil company and
Orimulsion(R) fuel supplier, to protect the benefits of the
Coleson Cove Generating Station refurbishment project.

The $750 million project has significant environmental and
economic benefits to the Corporation and its customers.
Continued production from the 1050 MW oil-fired station is
necessary to meet the future demand for reliable generation.
Operation beyond 2005 also requires investment to meet more
stringent environmental standards. The refurbishment is seeing
the installation of advanced control equipment that will
significantly reduce emission rates and improve environmental
performance. The station's operating life is being extended to
2030. As part of the project, converting the station's fuel
supply from oil to Orimulsion(R) would significantly lower fuel
costs and serve to finance the cost of the environmental
equipment.

By not fulfilling its fuel supply agreement, BITOR and PDVSA are
depriving NB Power and its customers of very significant
economic benefits noted NB Power President and CEO (Acting)
Stewart MacPherson.

NB Power and BITOR concluded a fuel supply agreement
establishing terms for the sale of Orimulsion(R) for use at
Coleson Cove. NB Power and BITOR agreed on the final terms for
the fuel supply, which were then approved by the Board of
Directors of NB Power and the Board of Directors of PDVSA.

On numerous occasions, representatives of the Government of
Canada, through the Canadian embassy in Venezuela, and NB Power
received repeated assurances from the Venezuelan Energy and
Mines Minister and executives from both BITOR and PDVSA that the
commitment to supply Orimulsion(R) to Coleson Cove would be
honored.

NB Power has invested or committed more than $600 million to the
refurbishment project based on its agreement with BITOR and
PDVSA and the assurances of commitment. The financial benefit of
using Orimulsion(R) at the station over the twenty-year life of
the fuel supply agreement is $2 billion, the amount of the NB
Power claim. Therefore, NB Power's counsel will file a Statement
of Claim in the Court of Queen's Bench of New Brunswick to
commence a lawsuit requiring BITOR and PDVSA to perform the fuel
supply agreement or pay damages.

Construction work at Coleson Cove to complete installation of
new environmental equipment and life extension upgrades will
continue, though work on the new Orimulsion(R) fuel delivery
system has been halted because of the lawsuit.

Media Contact - Jeffrey Carleton, NB Power, at (506) 458-4723


                            *********


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., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA. John D. Resnick, Edem Psamathe P. Alfeche and Oona
G. Oyangoren, Editors.

Copyright 2004.  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
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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
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