TCRLA_Public/040510.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

             Monday, May 10, 2004, Vol. 5, Issue 91

                            Headlines

                            
A R G E N T I N A

ACINDAR: Repays US$36.3M Under Revised Debt Plan
AMATRIX: Court Reschedules Informational Meeting
ASOCACION MEDICA: Commences Reorganization Process
BACUMAT: Court Orders Liquidation
BANCO HIPOTECARIO: Debt Deal Yields Substantial 1Q04 Turnaround

BLADEX: Forecasting 4% Growth in LatAm Economies
CENTRAL TERMICA: Files Petition to Reorganize
EDESUR: Posts ARS13.2mln 1Q04 Net Profit
EMPORIO TEXTIL: Starts Bankruptcy Proceedings
ENASIC: Judge OKs Reorganization

FAVA: Court OKs Creditor's Bankruptcy Motion
GARDIA: Enters Bankruptcy on Court Order  
LICRA: Court Orders Bankruptcy; Process Timeline Set
LORD SUPPLY: Counting Down to Liquidation
METROPOLITANO SANATORIO: Court Oversees Liquidation

NIVEL SALUD: Court Orders Bankruptcy, Liquidation
TELEFONICA DE ARGENTINA: Fitch Affirms Debt, Currency Ratings
THORGO: Court Declares Company Bankrupt
VELSUR: Court Issues Bankruptcy Ruling
VIALCOM: Court Approves Creditor's Involuntary Bankruptcy Motion


B E R M U D A

GLOBAL CROSSING: Lasky & Rifkind Files Class Action Lawsuit
GLOBAL CROSSING: Faces Another Class Action Suit


B R A Z I L

AMBEV: CADE Head Sees Little Impact from Interbrew Entry
UNIBANCO: Former Finance Minister to Head Board


C H I L E

TELEFONICA CTC: Fitch Affirms Debt Ratings Following New Tariffs
TELEFONICA CTC: Expects Lower Earnings From New Tariff


C O L O M B I A

BBVA COLOMBIA: Fitch Revises the Outlook on LTFC to Stable
EMCALI: Agreement Averts Liquidation


D O M I N I C A N   R E P U B L I C

TRICOM: Currency Devaluation Continues to Affect Performance


M E X I C O

CINTRA: Reports MXN494 Million 1Q04 Net Loss
EMPRESAS ICA: Anticipates Return to Profit in 2004
GRUPO IUSACELL: Independent Accountants Issue Report
INDUSTRIAS PENOLES: S&P Removes Ratings From CreditWatch
INDUSTRIAS PENOLES: Structured Silver Notes Ratings Affirmed

ISPAT INTERNATIONAL: Results Improve With Economy, Pricing


V E N E Z U E L A

SIDOR: CVG-AIMM Expected to Resolve Strike Issues


     - - - - - - - - - -


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

ACINDAR: Repays US$36.3M Under Revised Debt Plan
------------------------------------------------
In a statement to the local stock exchange, Argentine steelmaker
Acindar Industria Argentina de Aceros (ACIN.BA) said Thursday it
shelled out US$36.3 million and ARS3.6 million ($1=ARS2.8825) in
capital and interest payments as part of its ongoing US$230
million debt restructuring, Dow Jones relates. After the recent
payments, Acindar said its outstanding debt now totals US$108.4
million and another ARS6.9 million.

Under the restructuring plan, which was approved by creditors in
December, Acindar will issue new nine-year bonds with no nominal
"haircut" and a step-up interest rate. The plan has yet to get
legal approval, which would allow the company to impose its
repayment terms on all creditors, including those that didn't
sign on to the agreement.


AMATRIX: Court Reschedules Informational Meeting
------------------------------------------------
Infobae reports that Buenos Aires Court No. 19 has reset the
date for Amatrix S.A.'s informative assembly to August 24, 2004.
The informative assembly is the final process in the
reorganization proceedings or "Concurso Preventivo" under
Argentine law.


ASOCACION MEDICA: Commences Reorganization Process
--------------------------------------------------
San Isidro Court No. 19 authorized the reorganization of
Asociacion Medica del Norte under the supervision of Mr.
Leonardo Martin Zoroza, reports Infobae. Clerk No. 3 assists the
court on this case. Reorganization, or "Concursos Preventivo",
is a measure available for companies under Argentine law to
avoid a simple liquidation.

Creditors have until July 13, 2004 to submit their proofs of
claim to the receiver, who will verify these claims and submit
them to court as individual reports on September 13, 2004. After
these reports are processed in court, the receiver will then
prepare the general report and submit it to court on October 26,
2004.

The informative assembly, the last stage of the reorganization
process, will be held on May 10, 2005.

CONTACT: Asociacion Medica del Norte
         Av Cazon 349 Tigre
         San Isidro

         Leonardo Martin Zoroza, Receiver
         Martin y Omar 129
         San Isidro


BACUMAT: Court Orders Liquidation
---------------------------------  
Court No. 21 of Buenos Aires declared Bacumat S.A. "Quiebra,"
reports Infobae. The declaration signals the Company to proceed
with the bankruptcy process, which will close with the
liquidation of its assets.

The court, assisted by Clerk No. 42, appointed Mr. Juan Carlos
Facoltini, as receiver who will authenticate proofs of claim
until November 19, 2004. Afterwards, the receiver will prepare
the individual reports based on the results of the
authentication and then submit these reports to court on
February 11, 2005. After these results are processed in court,
the receiver will then submit the general report on March 25,
2005.

CONTACT: Juan Carlos Facoltini, Receiver
         Bernardo de Irigoyen 330
         Buenos Aires


BANCO HIPOTECARIO: Debt Deal Yields Substantial 1Q04 Turnaround
---------------------------------------------------------------
In a statement Thursday, Argentine mortgage bank Banco
Hipotecario announced major improvement in its results for the
first quarter, with net profits of ARS100.6 million
($1=ARS2.8225) compared to the ARS249.8 million net loss it
recorded for the same period last year, according to Dow Jones.
The statement said the improved results are reflective of the
success of the debt restructuring it completed in December.

Banco Hipotecario's net financial income for the period came in
at ARS171.2 million, bouncing back from the ARS200.1 million
loss it posted during the first quarter of 2003. The bank
attributes the gain to its debt buyback and positive foreign
currency movements. The bank's insurance operations, however,
slightly dropped from ARS8.8 million to ARS8.7 million.

The statement said there is also an improvement in the bank's
loan portfolio, as charges for loan losses generated a loss of
only ARS4.8 million, much lower than the ARS36.4 million loss
from a year earlier. Of Banco Hipotecario's total portfolio,
irregular loans accounted for 13.46%, down from 18.2% in 1Q03.

Banco Hipotecario is 44%-owned by the Argentine government. The
company's other major shareholder is real estate developer IRSA-
Inversiones y Representaciones SA (IRS), which upped its stake
in December after buying out the majority stake it used to share
with financier George Soros.


BLADEX: Forecasting 4% Growth in LatAm Economies
-------------------------------------------------
The chief executive of Regional trade finance bank Bladex (NYSE:
BLX) said last week that he expects Latin America's economies to
experience a growth of 4% in 2004, according to BNamericas.
Bladex CEO Jaime Rivera said, "2004 is now looking to be a good
year, which is a change from the relatively uncertain scenario
that we spoke about last quarter," he said during a conference
call to discuss first-quarter results. "Economic growth in the
region is now expected to be on the order of 4%, which in any
case is significantly better than the meager 1.3% of last year
and orders of magnitude beyond the -1.5% of 2002," he added.

Mr. Rivera was particularly optimistic about the prospects for
Argentina and Brazil, the bank's two biggest markets
representing 16% and 40% of the bank's total credit exposure.

The Bladex CEO said he has a positive outlook on Argentina for
this year, but this could change in 2005 depending on the
outlook for commodity prices, interest rates, the country's
energy crisis, and political developments. As for Brazil, he
said, "we remain comfortable with prospects in the country. We
are actually bullish on our business in Brazil," he said. "Our
business is overwhelmingly short term and [...] increasingly
trade finance in nature and has little to do with "Brazil risk"
as defined by the bond and stock market counts."

Last week, Bladex reported profits of US$29.8mn for 1Q04, a 186%
increase from the same period last year thanks to payments on
its Argentine loan book. The bank's net commission and fee
income for the quarter also rose 45.2% to US$2.43 million.

Originally established by the Central Banks of Latin American
and Caribbean countries, Bladex is a multinational bank that
provides trade financing and services to banks and strategic
corporations in the region.


CENTRAL TERMICA: Files Petition to Reorganize
---------------------------------------------
Central Termica Sorrento S.A. filed a "Concurso Preventivo"
motion, reports La Nacion. The Company is seeking court
authorization to reorganize its finances after failing to make
debt payments since April 30, 2004. The Company's case is
pending before Court No. 4 under Judge Ottolenghi who is
assisted by Clerk No. 8 Dr. Anta.

CONTACT:  Central Termica Sorrento SA
          Maipu 26, Piso 7 "C"
          Buenos Aires


EDESUR: Posts ARS13.2mln 1Q04 Net Profit
----------------------------------------
Argentine power utility Empresa Distribuidora Sur SA (Edesur)
reported in a brief statement to the local stock exchange
Thursday a net profit of ARS13.2 million ($1=ARS2.8825) for the
first quarter of 2004, relates Dow Jones.

The statement did not provide a breakdown of their first quarter
results, nor did it give comparative figures for the past
period. The company, however, did state that as of March 31,
2004, its net assets stood at ARS2.1 billion.

Edesur is a unit of Chile's Enersis (ENI), which is, in turn,
owned by Spanish utility Endesa SA (ELE).


EMPORIO TEXTIL: Starts Bankruptcy Proceedings
---------------------------------------------
Buenos Aires Court No. 16 declared Emporio Textil Panamericano
S.A. bankrupt, reports Infobae. Clerk No. 31 assists the court
on the case, which will close with the liquidation of the
Company's assets to repay creditors.

Ms. Lidia Roxana Martin will act as receiver. She will verify
creditors' claims until June 16, 2004 and then prepare the
individual reports based on the results of the verification
process.

Presentation of the individual reports in court is on August 20,
2004 followed by the general report on October 01, 2004.

CONTACT: Lidia Roxana Martin, Receiver
         Av Cordoba 1352
         Buenos Aires


ENASIC: Judge OKs Reorganization
--------------------------------
Enasic S.A.'s petition for reorganization has been approved by
Buenos Aires Court No. 16. The Company will enter reorganization
under the supervision of court-appointed receiver Mr. Carlos
Erasmo Moreno with the assistance of Clerk No. 32.

According to Infobae, the court ordered creditors to submit
their proofs of claim to the receiver until May 17, 2004.
Individual reports will be submitted on June 29, 2004 while the
general report will be presented to court on August 26, 2004.
The informative assembly is scheduled on December 16, 2004.  

CONTACT: Enasic S.A.  
         Araoz 2372
         Buenos Aries
     
         Carlos Erasmo Moreno, Receiver
         Tucuman 1658
         Buenos Aires


FAVA: Court OKs Creditor's Bankruptcy Motion
--------------------------------------------
Fava S.R.L., which commercializes wool and leather, entered
bankruptcy after Judge Paez Castaneda of Buenos Aires Court No.
21 approved a bankruptcy motion filed by Banca Nazionale del
Lavoro S.A., reports La Nacion. The Company's failure to pay
US$21,730 in debt prompted the bank to file the petition.

Working with Dra. Rey, the city's Clerk No. 41, the court
assigned Mr. Abraham Gutt as receiver for the bankruptcy
process. The receiver's duties include the authentication of the
Company's debts and the preparation of the individual and
general reports. Creditors are required to present their proofs
of claims to the receiver before September 1, 2004.

The Company's assets will be liquidated at the end of the
bankruptcy process to repay creditors. Payments will be based on
the results of the verification process.

CONTACT:  Fava S.R.L.
          Sucre 2020, Piso 14 "A"
          Buenos Aires

          Mr. Abraham Gutt, Receiver
          Tucuman 1484
          Buenos Aires


GARDIA: Enters Bankruptcy on Court Order  
----------------------------------------
Gardia S.A., A Buenos Aires-based company entered bankruptcy on
orders from Court No. 5, reveals Infobae. Working with Clerk No.
9, the court assigned Mr. Oscar Chapiro as receiver. He is to
verify creditors' claims until June 29, 2004. Creditors who fail
to have their claims validated before the deadline will be
disqualified from receiving any payments to be made in
connection with the company's liquidation.

The individual reports, which are due on August 26, 2004, are to
be prepared upon completion of the verification process. The
court also requires the receiver to prepare a general report and
file it on October 7, 2004. This report contains a summary of
the results in the individual reports.

CONTACT: Mr. Oscar Chapiro, Receiver
         Av Raul Scalabrini Ortiz 151
         Buenos Aires


LICRA: Court Orders Bankruptcy; Process Timeline Set
----------------------------------------------------
Buenos Aires Court No. 3 declared Licra S.R.L. "Quiebra,"
reports Infobae. The declaration signals the Company to proceed
with the bankruptcy process, which will close with the
liquidation of its assets.

The court, assisted by Clerk No. 6, appointed Mr. Santiago
Manuel Quiben as receiver who will authenticate proofs of claim
until May 18, 2004. Afterwards, the receiver will prepare the
individual reports based on the results of the authentication
and then submit these reports to court on June 30, 200. After
these results are processed in court, the receiver will then
submit the general report on August 27, 2004.

CONTACT:  Licra S.R.L.
          Viamonte 1716
          Buenos Aires

          Mr. Santiago Manuel Quiben, Receiver
          Esmeralda 783
          Buenos Aires


LORD SUPPLY: Counting Down to Liquidation
-----------------------------------------  
Lord Supply S.R.L., operating in Buenos Aires, entered
bankruptcy as the city's Court No. 12 ruled that it is
"Quiebra". Infobae reports that Clerk No. 23 will assist the
court in this particular case.

The court named Ms. Nelinda Manuela Schub as the Company's
receiver. Creditors must submit their proofs of claims to the
receiver for verification before June 07, 2004. The individual
and the general reports will be presented in court on August 3,
2004 and September 14, 2003, respectively.

CONTACT: Ms. Nelinda Manuela Schub
         Paraguay 1307
         Buenos Aires


METROPOLITANO SANATORIO: Court Oversees Liquidation
---------------------------------------------------  
Metropolitano Sanatorio Privado S.A. will start to liquidate its
assets after the Buenos Aires-based company was declared
bankrupt by City Court No. 25. Working with Clerk No. 49, the
court assigned the firm Escandell, Hurovich, Lopez and Cepero as
receiver.

Creditors who fail to have their claims validated before June
18, 2004 will be disqualified from receiving any payments upon
the conclusion of the bankruptcy process.

The individual reports, which are due on August 18, 2004, are to
be prepared after the verification. The court also requires the
receiver to prepare a general report and file it on September
29, 2004. The general report summarizes the contents of the
individual reports.

CONTACT: Escandell, Hurovich, Lopez and Cepero - Receiver
         Presidente Peron 1509
         Buenos Aires



NIVEL SALUD: Court Orders Bankruptcy, Liquidation
-------------------------------------------------
Buenos Aires Court No. 2 decreed the bankruptcy of Nivel Salud
S.A., reports Infobae. The Company will begin the process with
Mr. Fernando Ezequiel Aquilino as receiver, who will verify
creditors' claims until June 18, 2004. The individual and
general reports are scheduled for court presentation on August
16, 2004 and September 28, 2004.

The Company's case will conclude with the liquidation of its
assets to repay creditors. Clerk No. 3 assists the court in
handling the proceedings.

CONTACT:  Fernando Ezequiel Aquilino, Receiver
          Lavalle 1459
          Buenos Aires


TELEFONICA DE ARGENTINA: Fitch Affirms Debt, Currency Ratings
-------------------------------------------------------------
Fitch Ratings has affirmed the international scale foreign and
local currency senior unsecured ratings of Telefonica de
Argentina S.A. (TASA) at 'B-', of Compania Internacional de
Telecomunicaciones S.A. (Cointel) at 'CC', and of Telefonica
Holding de Argentina S.A. (Telefonica Holding) at 'CCC'. Fitch
Ratings has also affirmed its national scale ratings of TASA at
'BBB+(arg)', of Cointel at 'CCC(arg)', and of Telefonica Holding
at 'BBB-(arg)' The Rating Outlook for TASA and Telefonica
Holding is Stable. Fitch Ratings has also assigned a national
scale short-term rating of 'A2(arg)' to TASA's newly-issued
AR$163 million notes due 2005.

The ratings of all three companies continue to reflect operating
company TASA's strong business position in the Argentine
telecommunications sector with an estimated fixed line local
service market share of 54%, solid peso-denominated cash flow
generation, and an improved debt maturity profile following the
successful completion of its debt exchange during 2003.

The ratings incorporate a level of implicit support from
controlling shareholder Telefonica S.A. of Spain, which has
provided flexibility in the form of intercompany loans to all
three companies. These intercompany loans, which are primarily
short-term, were continually rolled during the past two years.
The ratings also reflect a continuing exposure to foreign
currency fluctuations because most of TASA's revenues are peso-
denominated while its debt is largely foreign currency-
denominated. In addition, TASA faces significant regulatory risk
and its profitability has been pressured because fixed line
operators are not allowed to increase local service tariffs.

Although local service tariffs remain frozen, TASA has
sufficient resources to meet its debt obligations and capital
expenditures due to its solid annual cash flow generation of
approximately US$500 million and cash balances of US$121 million
at year-end 2003. TASA's interest expenses are manageable at
approximately US$160 million annually (including interest on
intercompany debt). TASA's debt totals US$1.5 billion, 55% of
which is comprised of notes held by third parties, 35% of
intercompany loans, and 10% of third-party bank loans.

Outstanding rated public notes include US$189.7 million 11.875%
senior notes due 2007, US$220 million 9.125% senior notes due
2010, US$148.1 8.85% million senior notes due 2011, US$56
million 11.875% senior notes due 2004, US$125.6 million 9.125%
senior notes due 2008 and US$71.4 million 9.875% senior notes
due 2006. TASA's upcoming third-party debt maturities are
manageable at US$139 million, US$37 million and US$86 million
during 2004, 2005 and 2006, respectively. Capital expenditures
during 2004 are expected to be moderate at approximately US$120
million and should be financed with internally generated cash
flow.

During 2003, TASA was able to improve its profitability margins
due to a cost-reduction program, a partial recovery in fixed
line traffic demand and the appreciation of the Argentine Peso
against the dollar. EBITDA margins improved to 55% during 2003
from 44% during 2002 despite a 10% decline in revenues. As a
result, EBITDA/Interest increased to 2.9 times (x) in 2003 from
1.9x in 2002 while Debt/EBITDA decreased to 3.0x from 4.7x
during the same period. Over the medium term, further
improvements in TASA's credit quality will depend upon a
sustained recovery of the Argentine economy and
telecommunications services demand, coupled with tariff relief
as part of a sustainable regulatory framework for the fixed line
business.

Cointel's ratings reflect its limited capacity to meet financial
obligations since its subsidiary TASA is not currently paying
dividends. Dividends received from TASA were historically
Cointel's main source of income. Since 2002, Cointel has been
able to meet interest payments on its debt only after receiving
intercompany loans from indirect parent company Telefonica
Internacional. Cointel continues to face significant refinancing
risk since it has US$108 million of third party debt maturing
during 2004. Cointel's outstanding rated public notes include
US$220 million series A notes due 2004 and AR175 million series
B notes due 2004 (US$108 million of the combined amount of the
series A and series B notes is held by third party noteholders
and the remaining portion by indirect parent company Telefonica
Internacional).

Telefonica Holding, Cointel's direct parent company, only has
US$7 million in outstanding rated public notes; the majority of
its debt is comprised of intercompany loans. Until 2001,
Telefonica Holding's main source of income was dividends
received from Cointel. Because Cointel has not paid dividends
since 2001, Telefonica Holding's current source of cash flow is
management fees indirectly received from TASA of US$14 million
during 2003, which should be sufficient to meet annual interest
payments on its notes. The management fee contract with TASA was
renewed during 2003 for an additional five-year period.

TASA is an operating company that provides local-exchange, long-
distance, residential Internet access and directory publishing
services in Argentina. Telefonica S.A. of Spain controls either
directly or indirectly 98% of TASA. Cointel is a holding company
whose primary asset is a 64.8% equity stake in TASA. Telefonica
Holding is a holding company whose primary asset is a 50% equity
stake in Cointel.
  
CONTACTS:  FITCH RATINGS
           Guido Chamorro, 312-368-5473
           Paola Briano, +011 541 14 327-2444
           James Jockle, 212-908-0547 (Media Relations)


THORGO: Court Declares Company Bankrupt
---------------------------------------
Thorgo S.A. entered bankruptcy on orders from Buenos Aires Court
No. 22, reveals Infobae. Working with Clerk No. 44, the court
assigned Ms. Sara Maria Rey de Lavolpe as receiver who will
verify creditors' claims until June 18, 2004.

Creditors who fail to have their claims validated before the
deadline will be disqualified from receiving any payments to be
made after the Company's assets are liquidated.

The individual reports, which are to be prepared upon completion
of the verification process, are due on August 17, 2004. The
court also requires the receiver to prepare a general report and
file it on September 28, 2004. This report contains a summary of
the results in the individual reports.

CONTACT: Sara Maria Rey de Lavolpe, Receiver
         Cerrito 1136
         Buenos Aires


VELSUR: Court Issues Bankruptcy Ruling
--------------------------------------
Velsur S.A.C.I. will now enter bankruptcy after Buenos Aires
Judge Court No. 22 declared it "Quiebra," reports Infobae. With
assistance from Clerk No. 43, the court named Ms. Ines Etelvina
Clos as receiver, who will verify creditors' claims until June
15, 2004.

Following claims verification, the receiver will submit the
individual reports, which were prepared based on the
verification results, to the court on August 11, 2004. The
general report is due for submission on September 23, 2004.

The Company's bankruptcy case will close with the liquidation of
its assets to pay its creditors.

CONTACT:  Ines Etelvina Clos, Receiver
          Lavalle 715
          Buenos Aires


VIALCOM: Court Approves Creditor's Involuntary Bankruptcy Motion
----------------------------------------------------------------
Judge Fernandez of Buenos Aires Court No. 19 declared road
construction company Vialcom S.R.L. bankrupt, says La Nacion.
The ruling comes in approval of the bankruptcy petition filed by
the Company's creditor, Grape Constructora S.A., for nonpayment
of US$77,276.65 in debt. Clerk No. 37, Dr. Mazzoni, assists the
court on the case, which will conclude with the liquidation of
the Company's assets.

The Company's receiver, Ms. Beatriz Muruaga, will examine and
authenticate creditors' claims until August 4, 2004. This is
done to determine the nature and amount of the Company's debts.
Creditors must have their claims authenticated by the receiver
by the said date in order to qualify for the payments that will
be made after the Company's assets are liquidated.

CONTACT:  VIALCOM S.R.L.
          Avenida Francisco Beiro 4745, Piso 5.
          Buenos Aires

          Beatriz Muruaga, Receiver
          Aguero 1290, Piso 4
          Buenos Aires



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

GLOBAL CROSSING: Lasky & Rifkind Files Class Action Lawsuit
-----------------------------------------------------------
Lasky & Rifkind, Ltd., a law firm with offices in New York and
Chicago, announces that a lawsuit has been filed in the United
States District Court for the Southern District of New York, on
behalf of persons who purchased or otherwise acquired publicly
traded securities of Global Crossing Ltd. ("Global Crossing" or
the "Company") (NASDAQ: GLBCE) between December 9, 2003 and
April 26, 2004, inclusive, (the "Class Period"). The lawsuit was
filed against Global Crossing and John Legere and Daniel P.
O'Brien ("Defendants").

If you are a member of this class and wish to view a copy of a
complaint and join this class action, please e-mail us at
investorrelations@laskyrifkind.com and request a copy of the
complaint and a plaintiff certification. If you are a member of
the Class, you may move the Court no later than June 29, 2004 to
serve as a lead plaintiff for the Class. Any member of the
purported class may move the Court to serve as lead plaintiff
through counsel of their choice, or may choose to do nothing and
remain an absent class member. However, if you choose to remain
an absent class member, unless and until a class is certified,
you are not represented by counsel.

The complaint alleges that Defendants violated Sections 10(b)
and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5
promulgated thereunder. Specifically, the complaint alleges that
during the Class Period Defendants failed to disclose or
misrepresented that the Company had materially understated its
accrued cost of access liability by $50 million to $80 million
and that the Company had insufficient internal controls to
detect the understatement of costs.

On April 27, 2004, Global Crossing announced that it had begun a
review of its previously reported financial statements for the
calendar years 2003 and 2002, and also indicated that it would
"amend" periodic reports filed with the Securities and Exchange
Commission ("SEC") to reflect the expected restatement and to
revise its disclosures with respect to the internal control
issues that are now apparent. Shares of Global Crossing reacted
negatively to the news, falling approximately $5 per share, or
27.7% in heavy volume to close at $13.20 per share.

CONTACT:  Lasky & Rifkind, Ltd.
          Leigh Lasky, Esq., 800-495-1868
          

GLOBAL CROSSING: Faces Another Class Action Suit
------------------------------------------------
The law firm of Abraham, Fruchter & Twersky LLP announces that a
class action lawsuit was filed on behalf of purchasers of the
securities of securities of Global Crossing Limited ("Global
Crossing" or the "Company") (NasdaqNM:GLBC - News) between
December 24, 2003 and April 26, 2004, inclusive (the "Class
Period"), seeking to pursue remedies under the Securities
Exchange Act of 1934 (the "Exchange Act").

The action is pending in the United States District Court for
District of New Jersey against defendants Global Crossing, John
Legere (CEO) and Dan O'Brien (CFO). According to the complaint,
defendants violated sections 10(b) and 20(a) of the Exchange
Act, and Rule 10b-5 by issuing a series of material
misrepresentations to the market during the Class Period.

The complaint alleges that throughout the Class Period, Global
Crossing reported positive results in publicly disseminated
press releases and SEC filings. Defendants attributed these
purportedly positive results to the Company's emergence from
bankruptcy protection on December 9, 2003, and decreases in fees
the Company paid to other carriers for use of their lines. Such
fees are referred to in the industry as "cost of access." In
addition, the complaint charges that defendants represented that
they actively monitored the Company's system of estimating its
costs of access, and further, that these estimates were adjusted
as invoices were received from access providers.

The complaint alleges defendants knew or recklessly disregarded
that: (i) Global Crossing lacked adequate internal controls,
(ii) Global Crossing's costs of access were materially
understated in Global Crossing's financial statements, and, as a
result, (iii) Global Crossing's reported earnings were at all
relevant times, artificially inflated.

On April 27, 2004, minutes after the market opened, defendants
disclosed that Global Crossing would restate its previously
issued financial statements as far back as fiscal 2002 because
defendants had understated the accrued cost of access liability
by $50 million to $80 million. The Company stated that the
understatement of its cost of access liability was due to
"incorrect estimates of cost of access expenses and the failure
to reconcile these expenses to vendor invoices," that there were
material weaknesses in its internal controls, and that investors
should disregard the Company's financial statements for fiscal
2002 and 2003, including interim periods. The Company further
stated that investors should disregard defendants' previous
guidance with respect to Global Crossing's 2004 results. In
reaction to this news, the price of Global Crossing common stock
fell $5.00, or 27.4%, from its previous day's closing price of
$18.20 per share, to close on April 27, 2004 at $13.20.

If you bought the securities of Global Crossing between December
24, 2003 and April 26, 2004, inclusive, and sustained damages,
you may, no later than June 29, 2004, request that the Court
appoint you as lead plaintiff. Any member of the purported class
may move the Court to serve as lead plaintiff in this action
through counsel of his or her choice, or may remain an absent
class member. There are certain legal requirements to serve as
lead plaintiff. Your ability to share in any recovery is not,
however, affected by the decision whether or not to serve as
lead plaintiff. You may retain Abraham, Fruchter & Twersky LLP,
or other counsel of your choice, to serve as your counsel in
this action.

CONTACT:  Abraham, Fruchter & Twersky LLP
          Jack Fruchter
          800-440-8986
          212-279-5050
          JFruchter@FruchterTwersky.com



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

AMBEV: CADE Head Sees Little Impact from Interbrew Entry
--------------------------------------------------------
In what could signal the approval of antitrust regulator CADE to
the upcoming merger between Brazilian brewer Cia. de Bebidas das
Americas (AmBev) and Belgian giant Interbrew SA, the head of the
antitrust agency said the Belgian brewer's entry into the
Brazilian beer market would have a limited impact on
competition, says a Bloomberg report.

CADE president Joao Grandino Rodas made the comments at a
hearing in the lower house of Congress held to look into
Interbrew's planned US$11.2 billion acquisition of AmBev. "As
Interbrew is not a competitor in Brazil, there wouldn't be a
competition problem," he said. Barbara Rosenberg, director of
the justice ministry's economic protection and defense
department, echoed Mr. Rodas' comments, saying that the Belgian
brewer's entry " didn't cause concern over competition".

Since the two companies announced their merger plans in March,
non-voting shares have dropped 27%, while AmBev ordinary, or
voting shares have enjoyed a 22.9% increase. This is the reason
why pension fund Previ, AmBev's biggest non-voting shareholder,
and other investors are questioning the deal, which they say
would force them to accept dilution of their stock while the
controlling group will net US$4 billion in Interbrew stock.

"The opportunity to take advantage of this commercial deal to
benefit all shareholders was usurped," Luiz Carlos Aguiar,
Previ's investment director, told the hearing at the consumer
defense committee in the house of deputies in Brasilia last
week. "We believe there was abuse of controlling power by the
majority shareholder."

Brazil's stock market regulator is also looking into suspicions
that news of the Interbrew-AmBev deal was leaked to investors
before it was made public on March 3.

Last week, AmBev said in a filing with Brazil's stock exchange
regulator that the transaction would add value to all AmBev
shareholders.


UNIBANCO: Former Finance Minister to Head Board
-----------------------------------------------
Brazil's third-largest private-sector bank Unibanco-Uniao de
Bancos Brasileiros SA (UBB) announced Thursday its board will
have a new chairman in the person of former Brazilian finance
minister Pedro Malan, reveals Dow Jones.

Currently the deputy chairman of Unibanco's board, Mr. Malan
joined Unibanco last year after Fernando Henrique Cardoso's term
as president of Brazil ended in 2002. He is credited with
bringing much-needed economic stability to the country in the
1990s during his tenure as finance minister from 1995 to 2002.

He will be replaced as deputy chairman by current board
president Pedro Moreira Salles, whose family is the controlling
shareholder of the bank.



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

TELEFONICA CTC: Fitch Affirms Debt Ratings Following New Tariffs
----------------------------------------------------------------
Fitch Ratings affirmed Compania de Telecomunicaciones de Chile
S.A.'s (CTC) international scale foreign and local currency
unsecured debt ratings at 'BBB+' and removed the Rating Watch
Negative status. This rating applies to approximately US$544
million in international outstanding securities, including CTC's
5.38% coupon Eurobonds due 2004, 7.63% coupon Yankee bonds due
2006 and 8.38% coupon Yankee bonds due 2006. Fitch has also
affirmed CTC's national-scale senior unsecured debt ratings at
'A+(Ch)' and national scale short-term debt rating at 'F1+/A+'.
The Outlook for all the Ratings is Stable.

The rating action reflects the relatively positive outcome to
the tariff resetting process compared to the preliminary
proposal set forth by regulators two months ago. The new
tariffs, which become effective on May 6, 2004 for the 2004-2009
period will, according to Subtel, include a 7% increase in the
average local service monthly tariff and a 14.4% decrease in the
average local service per minute tariff. On March 10, 2004,
Fitch Ratings had placed its ratings for CTC on Rating Watch
Negative following the announcement by Chilean
telecommunications regulatory agency Subtel that it intended to
lower CTC's local service tariffs by an average of 19% and the
local service per minute tariff by an average of 36%. Fitch had
estimated that Subtel's proposed 19% decline in local service
tariffs would have lowered CTC's revenues by as much as 10% and
EBITDA by 15%-20%.

While the new tariffs are still expected to slightly negatively
impact CTC's profitability, CTC should continue to maintain a
credit profile that is consistent with the current rating
category. Fitch estimates that the new tariffs could lower CTC's
annual consolidated revenues by approximately 2% and EBITDA by
4%. During 2003, EBITDA/Interest was 6.3 times (x) and
Debt/EBITDA was 2.2x. CTC is expected to maintain credit
protection measures relatively stable over the medium term.

The current ratings incorporate the expectation that CTC will
maintain a stable capital structure. Any future changes to CTC's
capital structure in the future following the acquisition of
BellSouth's Chilean wireless operations by the wireless division
of Telefonica S.A. of Spain could pressure ratings. Telefonica
CTC is 43.6% owned by Telefonica S.A. Telefonica CTC currently
has 2.5 million Chilean wireless subscribers while BellSouth
currently has 1.3 million Chilean subscribers.

CTC's ratings reflect its leading position in the Chilean
telecommunications industry, revenue diversification and solid
financial profile. Over the past few years, CTC's financial
performance has gradually improved due to the implementation and
successful execution of a turnaround plan put in place following
the detrimental regulatory tariff decree implemented in 1999.
This plan included significant debt, cost and capital-
expenditure reduction effort. CTC has reduced debt levels to
$1.4 billion from a peak of $2.9 billion in mid-1999. Labor
reductions have reduced the workforce by almost half (to less
than 5,000 employees), resulting in significant annual savings
while maintaining service quality. Limiting capital-expenditure
levels to $200 million-$250 million annually, versus historical
levels of $600 million-$650 million, further improved free cash
flow available for debt reduction. In addition, divestitures of
non-core business units generated cash proceeds of about $400
million, which were used to pay down debt.

CTC is the largest communications provider in Chile, with US$1.4
billion in revenues and US$643 million in EBITDA in 2003. CTC is
the largest local exchange operator with a market share of 75%,
the second largest wireless provider with a market share of 30%,
the second largest long distance provider with market shares of
40% in domestic long distance and 30% in international long
distance. CTC is 43.6% owned by Telefonica S.A. of Spain.
  
CONTACTS: FITCH RATINGS
          Guido Chamorro, 312-368-5473 (Chicago)
          Ivonne Ibanez, +562 206-7171 (Santiago)
          Media Relations: James Jockle, 212-908-0547 (New York)
  

TELEFONICA CTC: Expects Lower Earnings From New Tariff
------------------------------------------------------
Compania de Telecomunicaciones de Chile SA (CTC) said in a
statement Thursday the cut in regulated tariffs mandated by
government regulator Subtel is expected to cause a slight drop
in the company's earnings, Dow Jones relates.

The statement said that the company "estimates that if the new
local telephone tariffs ... were applied and assuming the
consequential redistribution of traffic toward lower tariff
levels, regulated local telephony revenues would decrease
between 3% to 5% over a 12-month period."

Last week, Subtel issued its final five-year rates ruling, which
raises the fees CTC can charge clients on a monthly basis and
the rate competing telephone companies pay to access its
network. The ruling is relatively easier on CTC than the
preliminary report the regulator issued two months ago, when it
sought a 23% cut in fixed-line tariffs, hitting 46% of CTC's
sales and 50% of earnings before interest, taxes, depreciation,
and amortization.



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

BBVA COLOMBIA: Fitch Revises the Outlook on LTFC to Stable
----------------------------------------------------------
Fitch Ratings-New York-May 6, 2004: Fitch Ratings revised the
Rating Outlook on the long term foreign currency rating assigned
to BBVA Colombia, S.A. (formerly BBVA Banco Ganadero S.A.; name
change effective 4/29/04), which is currently at the level of
the sovereign at 'BB', to Stable from Negative. This action
follows a similar action taken on the sovereign ratings as a
result of on improved fiscal performance and better GDP growth
prospects.

The ratings assigned to BBVA Colombia (LTFC/STFC: 'BB/B';
LTLC/STLC: 'BB+/B'; Individual: 'D'; Support: '3') reflect the
bank's systemic importance and strong parent bank, Spain's Banco
Bilbao Vizcaya Argentaria (BBVA), which provides managerial
expertise, but also factor its weak, yet improving, financial
performance. The bank reached a turning point in 2003, following
a period of sustained losses, it reported the highest profit in
the last 6 years (COP 58 billion), partly reflecting the success
of its current strategy, which has entailed growth in the more
profitable sectors and a focus on efficiency. Moreover, asset
quality indicators have improved substantially over the past few
years (end-2003: NPL/Total Loans: 4.1%; LLR/NPLs: 201%) and
capital indicators remain adequate (total capital ratio: 11.1%).

BBVA Colombia is Colombia's third largest bank in terms of
deposits with 254 branches and a 7.8% deposit market share at
end-2003. Originally established by the government in 1956 to
finance the agricultural and livestock sectors, it now provides
a wide range of commercial banking and financial services as
part of Spain's BBVA Group. Ganadero was fully privatized in
1992, and in 1996 Spain's BBVA acquired a 34.7% stake and
assumed management control. Since then, BBVA has progressively
increased its stake to 95.4%, where it stood at end-2003. The
remaining shares are widely held.

CONTACT:  Linda Hammel +1-212-908-0303, New York
          Ricardo Chaves +1-212-908-0606, New York
          Peter Shaw +1-212-908-0553, New York


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


EMCALI: Agreement Averts Liquidation
------------------------------------
Colombian multi-utility Emcali has been spared from liquidation
after its creditors approved a financial restructuring agreement
for the company brokered by the Colombian public services
regulator, BNamericas relates, citing local press reports.

As part of the agreement, which was also signed by
representatives of the government, energy company Termoemcali,
Cali municipality, service users and company workers, local
creditors will forsake 35% of their outstanding debts amounting
to some COP360 billion.

The accord also stipulates that the Colombian government will
provide COP1 trillion (US$373mn) to capitalize the debt
guaranteed in a social capitalization fund. The municipality of
Cali, meanwhile, will begin paying for the various services it
uses and provide assets and cash for the utility totaling COP245
billion. Termoemcali, and users of the company's services will
provide an extra COP400 million over 20 years through bill
payments to support Emcali. For their part, company workers have
agreed, albeit grudgingly, to have some of their benefits
slashed to allow Emcali to save some COP56 billion, and will
still have pension payments for the next 20 years.

"The workers are not happy as they made the agreement because
they have many doubts about the future of the company. They are
worried and the union signed the agreement because it had no
other choice other than the liquidation of the company," an
Emcali spokesperson said.

The spokesperson said that as part of the agreement's
implementation, administrative changes will also be undertaken
during the remainder of the present quarter.



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

TRICOM: Currency Devaluation Continues to Affect Performance
------------------------------------------------------------
Tricom, S.A. (NYSE: TDR) announced Thursday consolidated
unaudited financial results for the first quarter ended March
31, 2004.

Results of Continuing Operations

Continuing operations consist of the Company's local service,
long distance, mobile, cable television and broadband data
transmission and Internet services in the Dominican Republic, as
well as the Company's wholesale and retail international long
distance operations in the U.S. The Company's financial results
continue to be significantly affected by currency devaluation
despite the growth and improved performance of certain of its
key business segments. During the 2004 first quarter, the
average value of the Dominican peso with respect to the U.S.
dollar declined by approximately 103 percent from the same
period last year and by 26 percent from the 2003 fourth quarter.

"During the first quarter, the Company took steps to improve its
financial and operating position in the face of continuing
difficult market conditions, marked by currency devaluation,"
said Carl Carlson, chief executive officer. "We took measures to
strategically streamline our expenses and preserve cash,
providing us with additional financial flexibility throughout
our restructuring process. We have been greatly encouraged by
the response and the support we have received from our key
constituents, including our employees, customers and suppliers
since the announcement of our restructuring process. During the
first quarter, we invested prudently in our key growth drivers
and improved our customer base by continuing to expand our
presence within the postpaid and corporate market segments.
Despite a difficult operating environment, we had a strong
quarter in terms of net line additions. Going forward, we will
continue to work aggressively to execute on our strategy for
long-term success," said Carlson.

Operating revenues from continuing operations totaled $43.3
million for the 2004 first quarter, a 23.6 percent decrease from
the 2003 first quarter. Adjusted EBITDA totaled $11.0 million
for the 2004 first quarter, compared to Adjusted EBITDA of $17.6
million for the same period last year.

First quarter long distance revenues decreased by 13.3 percent
to $21.5 million, primarily as a result of lower international
long distance traffic, derived from the Company's U.S.-based
wholesale and retail operations, coupled with the impact of
currency devaluation on outbound international and domestic long
distance revenues generated in the Dominican Republic.

Domestic telephony revenues totaled $11.7 million in the 2004
first quarter, a 31 percent decrease from the 2003 first
quarter. The decrease in domestic telephony revenues was
primarily the result of the decline in value of the Dominican
peso. At March 31, 2004, the Company had approximately 147,000
lines in service, a 0.6 percent decrease from lines in service
at March 31, 2003. Total lines in service at the end of the 2004
first quarter grew by approximately 2.1 percent on a sequential
basis, due to intensified sales efforts. Net line additions for
the quarter totaled approximately 3,000, the highest reported
quarterly growth since the 2002 second quarter.

Mobile revenues decreased by 32 percent to $6.3 million in the
2004 first quarter from the 2003 first quarter primarily as
result of currency devaluation and the effect of a previously
announced change in mobile revenue recognition. Beginning in the
2003 second quarter, the Company began to account for mobile
revenues net of sales commission fees. Mobile subscribers at
March 31, 2004, totaled approximately 276,000, a 36 percent
decrease from mobile subscribers at March 31, 2003. As
previously announced, the Company reduced the period in which a
mobile prepaid customer can receive incoming calls without
generating outgoing calls. As a result, the Company identified
and voluntarily disconnected approximately 190,000 mobile
subscribers during the 2004 first quarter that had not utilized
the Company's services for an extended period of time. The
decline in the Company's mobile subscriber base was offset in
part by a higher number of postpaid mobile subscribers during
the 2004 first quarter, which grew 6 percent from December 31,
2003.

Cable revenues totaled $2.6 million in the 2004 first quarter, a
34.5 percent decrease from the same period last year. The
decrease is primarily the result of currency devaluation
affecting the conversion of Dominican peso-generated cable
revenues into U.S. dollars, together with a lower average
subscriber base. To offset the impact of currency devaluation on
cable revenues, the Company instituted price increases for cable
services that were too recent to have a significant impact on
the 2004 first quarter results. At March 31, 2004, cable
subscribers totaled approximately 60,000, a 12.6 percent
decrease from cable subscribers at March 31, 2003. The decline
in cable subscribers is primarily attributable to a weak
economic environment.

Data and Internet revenues totaled $1.1 million in the 2004
first quarter, representing a 27.8 percent year-over-year
decrease. The decrease in data and Internet revenues resulted
primarily from currency devaluation, partially offset by a year-
over-year increase in data and Internet subscribers. At March
31, 2004, data and Internet access accounts totaled
approximately 14,000, representing a 35.7 percent increase from
data and Internet subscribers at March 31, 2003.

Consolidated operating costs and expenses from continuing
operations totaled $52.7 million in the 2004 first quarter
compared to $58.9 million in the 2003 first quarter. The
decrease in 2004 first quarter operating costs and expenses is
primarily the result of lower selling, general and
administrative (SG&A) expenses and depreciation and amortization
charges, offset in part by approximately $2.1 million in
restructuring costs and other non-recurring expenses related to
the Company's financial restructuring initiatives.

SG&A expenses declined by 30.4 percent to $12.9 million in the
2004 first quarter, primarily due to continuing expense
reduction efforts and operating efficiencies, as well as lower
Dominican peso-denominated expenses resulting from currency
devaluation. Cost of sales and services decreased by 2.2 percent
to $21.0 million during the 2004 first quarter, primarily due to
the decline in the volume of international long distance
minutes, as well as lower cable programming fees resulting from
contract renegotiations. The decrease was offset by increased
transport and access charges due to higher domestic
interconnection rates during the 2004 first quarter.
Interconnection rates in the Dominican Republic are established
in Dominican pesos but subject to change semiannually based on
the U.S. dollar exchange rate variation.

Interest expense totaled approximately $15.4 million in both the
2004 and 2003 first quarters. The Company suspended interest
payments on its unsecured debt obligations beginning in October
1, 2003. During the 2004 first quarter the Company recorded $1.4
million in foreign currency exchange gain compared to a foreign
currency exchange gain of approximately $767,000 during the 2003
first quarter.

In the 2003 first quarter, the Company recognized $1.8 million
in losses from discontinued operations in Central America. The
Company will continue to report losses from discontinued
operations in the periods they occur. Net loss from continuing
operations totaled $23.3 million, or $0.36 per share for the
2004 first quarter, compared to a net loss from continuing
operations of $19.0 million, or $0.29 per share during 2003
first quarter.

Liquidity and Capital Resources

Total debt, including capital leases and commercial paper,
amounted to $453.7 million at March 31, 2004, compared to $449.5
million at December 31, 2003. The increase in total debt at
March 31, 2004 is largely due to the reclassification of $5.4
million related to an early lease cancellation previously
accounted for as an accrued expense at December 31, 2003. Total
debt included $200 million principal amount of 11-3/8% Senior
Notes due in September 2004, approximately $34.7 million of
secured debt and approximately $219.0 million of unsecured bank
and other debt. At March 31, 2004, the Company had approximately
$7.4 million of cash on hand. For the three-months ended March
31, 2004 the Company's net cash provided by operating activities
totaled approximately $5.6 million, compared to net cash used in
operating activities of $427,000 for the year-ago period.
Capital expenditures totaled $766,000 during the 2004 first
quarter, representing an approximate 84.2 percent decrease from
the same period last year.

On February 19, 2004, the Company announced the sale of its
Central American trunking assets for a purchase price of
approximately $12.5 million payable in stages. The estimated net
proceeds of the sale to be received by the Company, totaling
approximately $9 million, will be used to fund the Company's
short-term working capital requirements, providing it with the
financial flexibility to pursue a financial restructuring of its
balance sheet. As part of its ongoing strategy to streamline its
operations, reduce costs and improve its financial and liquidity
position, the Company continues to evaluate potential
divestments of other under-performing or non-strategic assets.

Financial Restructuring Update

As previously announced, the Company is continuing negotiations
with its secured and unsecured lenders, which include an ad hoc
committee of holders of its 11-3/8% Senior Notes due 2004,
regarding an agreement on a consensual financial restructuring
of its balance sheet. Although there is no assurance that such
an agreement will occur, the Company is optimistic that these
negotiations will lead to a consensual agreement in the near
term. The Company's future results and its ability to continue
operations will depend on the successful conclusion of the
restructuring of its indebtedness.

Since these negotiations are ongoing, the treatment of the
Company's existing secured and unsecured creditors, as well as
the interest of its existing shareholders, is uncertain at this
time. However, the financial restructuring could possibly result
in the conversion of at least all or a substantial portion of
the Company's outstanding 11-3/8% Senior Notes and unsecured
commercial bank debt into equity in a manner that would reduce
substantially, or eliminate, the value of the Company's current
equity. Accordingly, investors in the Company's debt and equity
securities may be substantially diluted or lose all or
substantially all of their investment in the Company's
securities.

About TRICOM

Tricom, S.A. is a full service communications services provider
in the Dominican Republic. We offer local, long distance,
mobile, cable television and broadband data transmission and
Internet services. Through Tricom USA, the company is one of the
few Latin American based long distance carriers that is licensed
by the U.S. Federal Communications Commission to own and operate
switching facilities in the United States. Through their
subsidiary, TCN Dominicana, S.A., Tricom is the largest cable
television operator in the Dominican Republic based on its
number of subscribers and homes passed.

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

CONTACT:  TRICOM, S.A.
          Miguel Guerrero, Investor Relations
          Tel: +1-809-476-4044 or 4012
          E-mail: investor.relations@Tricom.net
          URL: http://www.tricom.net



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

CINTRA: Reports MXN494 Million 1Q04 Net Loss
--------------------------------------------
(All figures are expressed in pesos of equivalent purchasing
power as of March 31St, 2004, unless specified otherwise.
Financial Statements meet Mexican GAAP)

CINTRA, S.A. DE C.V., (BMV:CINTRA) Mexico 's leading air
transportation system reported its non audited results for the
first quarter 2004, emphasizing the following:

General

Highlights

Load Factor                            60.7%

Total Revenue (million pesos)         7,529

EBITDAR (million pesos)                 662

Operation Loss (million pesos)         (439)

Net Loss (million pesos)               (494)

First Quarter 2004 compared to First Quarter 2003

                                  First Quarter
  
Comparative Highlights    2004      2003      Variation

Load factor              60.7%      57.8%      2.9 p.p.

Total revenue
  (million pesos)        7,529     7,084          6.3%

EBITDAR (% of revenue)     8.8%      1.1%       7.7 p.p.

Operation Loss
  (million pesos)         (439)    (1,016)        56.8%

Net loss (million pesos)  (494)    (1,105)        55.2%

Total revenue increased 6.3% due to the growth in all items,
except for cargo that decreased 1.5% compared to the first
quarter 2003. The increase in EBITDAR is a result of the
increase in total revenue and the reduction of operation
expenses, particularly in salaries, insurance, administration,
traffic servicing, maintenance & commissions to agents regarding
the same period 2003.

The above result decreased by capital expenses -which increased
0.7% compared to 1Q 2003-, generated an operation loss of 439
million pesos, 56.8% lower than the same period 2003.

CINTRA obtained a net loss during the quarter of 494 million
pesos lower in 610 million pesos than the obtained during the
same period 2003.

Available seat and Revenue passenger kilometers  
   
                                             First Quarter
  
                                      2004      2003   Variation

ASK's (millions)                     10,158    9,834      3.3%

RPK's (millions)                      6,171    5,686      8.5%

Yield (Passenger Income /
  RPK's) (pesos)                      1.031    1.083     (4.8%)

ASK/Cost (pesos)                      0.664    0.689     (3.6%)

During the period January - March 2004 the ASK's were 10,158
million, higher in 3.3% than the same period 2003, due to the
itinerary frequencies increase.

The demand expressed in RPK's for the 1Q 2004 was 6,171 million,
8.5% higher than the same period 2003.

The yield reached 1.031 pesos during the quarter, 4.8% lower
than the same period 2003, mainly as a consequence of the
competition in the domestic market.

The ASK/Cost decreased 3.6% against the first quarter 2004,
reaching 0.664 pesos, due to the austerity measures and the
implemented discipline that turned into savings.

A. Operation Results

Revenues

Total revenues during the period January - March 2004 were 7,529
million pesos, that represents a 6.3% increase in real terms
against the same period 2003, such growth was generated by the
41.5% increase in other revenue, the 9.5% in excess baggage,
4.0% in domestic market and 2.3% in international market,
compensated with the 0.5% decrease in cargo, that due to the
grounding of a Boeing B-727 since the second quarter 2003
exclusively used to these activities, allowed to improve our
profitability.

In U.S. dollars terms, during the first quarter 2004 total
revenues were 683 million that shows a 9.2% decrease with
respect to the same period 2003.

Operation Expenses

Total operation expenses during the first quarter 2004 were
6,867 million pesos, 2.0% lower than the same period 2003.

Personnel cost was 2,465 million pesos, 3.0% lower than the
first quarter 2003, as a result of the adopted measures such as
personnel reduction and reduction in salary increases in
Cintra's companies during 2003.

Jet fuel expenditure was 1,278 million pesos, superior in 3.7%
than the same period 2003, this rise was due to the 8.16%
average increase in the jet fuel price, compared to the average
prices during the first quarter 2003, as well as the devaluation
of the Mexican peso, which average exchange rate during the
quarter was $10.98 Mexican pesos per U.S. dollar than $10.82
Mexican pesos per U.S. dollar during the same period 2003.

Aircraft and traffic servicing were 847 million pesos during the
period, 2.8% lower than those in the same period 2003, as a
consequence of the negotiations to reduce costs with some
domestic airport groups.

Maintenance was 723 million pesos, 3.0% lower than the first
quarter 2003, this reduction is a result of the incorporation of
new technology as well as the taken actions that generated
savings, not deviating the importance of this matter.

Passenger service was 221 million pesos during the quarter, 0.7%
lower than the same period 2003, as a consequence of the cost
savings programs.

Commissions were 508 million pesos during the first quarter
2004, 1.9% lower than those in the same period 2003, as a
consequence of the new incentive program, in spite of the 6.8%
increase in number of passengers.

Promotion was 423 million pesos during the period, 3.8% higher
than the same quarter 2003, due to the strength of our
advertisement campaigns that originated the increase of
passengers.

Insurance figures reached 119 million pesos during the first
quarter 2004, 31.7% lower than the same period 2003, as a result
of the re-negotiations of premiums for the program 2003-2004.

Administration and IT expenses were 283 million pesos, lower in
3.8% than the same period 2003 which reflects the implemented
discipline and austerity measures.

Operation expenses during the period were 623 million dollars,
higher in 0.7% than the same quarter 2003; mainly generated by
the increase in Jet fuel expenditure.

Capital expenses

Capital expenses were 1,102 million pesos during 1Q 2004, 0.7%
higher than the same period 2003, due to the flight equipment
rents equivalent to 862 million pesos, 3.8% higher than the same
quarter of last year originated by the fleet renewal.

Regarding depreciation, it reached 240 million pesos, 9.3% lower
than the same period 2003 due to the termination of depreciation
on Mexicana's Boeing B-727 aircraft and the grounding of Metro
fleet in Aerolitoral.

Operation loss

During the period January - March 2004 the operation loss was
439 million pesos, lower in 56.8% than the same period 2003.

Integral Financing Income

Integral Financing Income during the first quarter 2004 was 44
million pesos, compared to the 112 million pesos cost than the
same quarter 2003, where financial expenses of 72 million pesos,
shows a 25% reduction than the same period 2003, as a result of
the parity of the Mexican Peso combined with the interests
reduction due to the liabilities payment.

Foreign exchange gain was 19 million pesos, compared to 98
million pesos expense during the same quarter 2003; as a result
of the Mexican peso devaluation.

During the first quarter 2004 monetary position obtained a
positive figure of 98 million pesos, compared to the 83 million
pesos gain during the same period 2003, this variation is due to
the composition of the monetary items, as well as an increase in
the period inflation.

Net loss

During the first quarter 2004 Cintra obtained a 494 million
pesos net loss, lower in 610 million pesos than the obtained
during the same period 2003.

Relevant events

These are the most relevant events during the first quarter
2004:

Resignation of the CEO of Aeromexico

The Board of Directors of Cintra accepted on February 23rd, 2004
the irrevocable resignation of Arturo Barahona Oyervides as CEO
of Aeromexico and appointed as Acting CEO Manuel Reyes Medina;
on March 22nd, the Board of Directors appointed Fernando Flores
as CEO of Aeromexico.

Appointment of CEO of Mexicana de Aviacion

As a result of Fernando Flores appointment as CEO of Aeromexico,
the Board of Directors of Cintra appointed Emilio Romano Mussali
as CEO of Mexicana, on March 22nd, 2004.

Opening of Boston Route

During the quarter Aeromexico started regular operations from
Mexico City to Boston , using a new Boeing 737 aircraft.

Increase in the jet fuel price

Jet fuel average price during the first quarter 2004 was 3.18
per liter, 8.16% higher than the same period 2003, this element
directly affects Cintra's companies results.

Foreign exchange

The parity of the Mexican peso during the quarter reached $10.98
Mexican pesos per U.S. dollar against $10.82 Mexican peso per
U.S. dollar during the same quarter 2003.

Changes in the fleet composition

In order to improve their operation programs, during the period
Aeromexico grounded two aircrafts, one Boeing 757 and one DC-9
,and acquired one Boeing 737-700; on the other hand, Mexicana
incorporated one Airbus A 319.

Share Code between Aeromexico - Continental

The Share Code Agreement negotiations between Aeromexico and
Continental Airlines concluded during the first quarter and will
start operations on April 1st, this will allow Aeromexico
increase its coverage in the Mexico-US markets.  

Modification to Mexicana's Commercial Alliances Scheme

After a strong analysis, Mexicana decided not to renew its Share
Code Agreement with United Airlines which originated its
termination in Star Alliance on March 31st; Mexicana signed
Share Code Agreements with Iberia and American Airlines.

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

CONTACT:  CINTRA S.A. de C.V.
          Av Xola 535 piso 16 col. del Valle
          Mexico DF
          Tel. (5)448 - 8000
          E-mail: infocintra@cintra.com.mx


EMPRESAS ICA: Anticipates Return to Profit in 2004
--------------------------------------------------
Despite posting a first-quarter net loss, the chairman of
Mexican construction company ICA expressed optimism the company
would be able to return to profit in 2004 after several years of
losses, reports Reuters. With new contracts coming in, ICA chair
Bernardo Quintana said Thursday he expects revenues this year to
rise at least 10% to more than MXN10 billion. As for the company
making a net profit in 2004, he said that ICA would have a good
result at the end of the year, notwithstanding remnants from bad
contracts and a fiscal issue affecting its net result.

According to officials of Mexico's largest construction firm,
the last time the company reported a full-year profit was in
1996. In recent months, however, there have been clear signs of
improvement, helped by a fresh capital increase MXN2.486
billion. Shares are also up about 35% this year compared with a
12% gain in the leading Mexican IPC stock index. ICA's 1Q04 net
loss of MXN84 million (US$7.5 million) was also an improvement
over the MXN273 million loss it registered for the same period
in 2003.


GRUPO IUSACELL: Independent Accountants Issue Report
----------------------------------------------------
The Board of Directors and Stockholders of Grupo Iusacell, S. A.
de C.V.:

We have audited the accompanying consolidated balance sheets of
Grupo Iusacell, S.A. de C.V. and subsidiaries (the Company) as
of December 31, 2003 and 2002, and the related consolidated
statements of income, of changes in stockholders' equity and of
changes in financial position for each of the three years in the
period ended December 31, 2003. These financial statements are
the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial
statements based on our audits.

We conducted our audits in accordance with generally accepted
auditing standards in Mexico. Those standards require that we
plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material
misstatement and are prepared in accordance with generally
accepted accounting principles. An audit includes examining, on
a test basis, evidence supporting the amounts and disclosures in
the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by
management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a
reasonable basis for our opinion.

As discussed in Note 4n. to the consolidated financial
statements, for the year ended December 31, 2003 the Company
adopted Bulletin C-8 "Intangible Assets" issued by the Mexican
Institute of Public Accountants, with the effects described in
such note.

In our opinion, the financial statements referred to above
present fairly, in all material respects, the consolidated
financial position of Grupo Iusacell, S. A. de C. V. and
subsidiaries as of December 31, 2003 and 2002, and the
consolidated results of its operations, changes in stockholders'
equity and changes in its consolidated financial position for
each of the three years in the period ended December 31, 2003,
in conformity with accounting principles generally accepted in
Mexico.

As discussed in Note 2 to the consolidated financial statements,
on June 1, 2003, the Company did not make the scheduled interest
payments under its Senior Notes Due 2006 and this is considered
as an event of default under the indenture governing the
Company's Senior Notes Due 2006 which entitled the holders of
the notes with the right to claim, request or demand the
acceleration of the due date of such Senior Notes Due 2006.
Also, Grupo Iusacell Celular, S.A. de C.V., Company's main
subsidiary, did not make the scheduled interest payments under
its Secured Senior Notes Due 2004 and this is considered as an
event of default which entitled the holders of the notes with
the right to claim, request or demand the acceleration of the
due date of such Secured Senior Notes Due 2004.

Additionally, Grupo Iusacell Celular, S.A. de C.V. exceeded the
permitted leverage ratio under its Amended and Restated Senior
Secured Credit Loan Agreement. The Company and its lenders
entered into a temporary amendment and waiver which was extended
several times and, in October 2003, was not further extended. As
a result, Grupo Iusacell Celular, S.A. de C.V. is in default and
the lenders under the Amended and Restated Senior Secured Credit
Loan Agreement were entitled with the right to request the
acceleration of the due date of such Amended and Restated Senior
Secured Credit Loan Agreement.

Furthermore, as discussed in Note 1 to the consolidated
financial statements, Company's two largest shareholders sold
all of their shares to an unrelated party. Under the indenture
governing Grupo Iusacell Celular, S. A. de C. V.'s Secured
Senior Notes Due 2004 and the contract governing the Amended and
Restated Senior Secured Credit Loan Agreement, and under the
indenture governing Company's Senior Notes Due 2006, this
constituted a change of control under which the holders of notes
and the lenders were entitled with the right to request Grupo
Iusacell Celular, S.A. de C.V. and the Company, respectively,
the acceleration of the due date of these loans.

Finally, on January 14, 2004, a group of holders of the Secured
Senior Notes Due 2004 filed a lawsuit in a New York Court
against Grupo Iusacell Celular, S.A. de C.V. for the immediate
payment of the indebtedness under such loan, and alleging breach
of the Secured Senior Notes Due 2004 indenture requesting that
the Court declare that the holders of the notes are pari-passu
with the lenders under the Amended and Restated Senior Secured
Credit Loan Agreement. On April 19, 2004, this group of holders
of the notes filed an amended complaint and now is also seeking
injunctive relief barring the Company from selling, transferring
or otherwise encumbering the assets pending decision on the
merits of their claim for specific performance.

As a result of the above, the Senior Notes Due 2006, the Secured
Senior Notes Due 2004, the Amended and Restated Senior Secured
Credit Loan Agreement and other loans, have been classified as
short-term liabilities, originating that current liabilities
exceed current assets by Ps.9,792,674,000. Operating results of
the Company have deteriorated and also, the Company has
accumulated losses of Ps.8,241,682,000 representing more than
two thirds of its capital stock and, in accordance with Mexican
law, this is a cause of dissolution, which any interested party
may request be declared by Court. Additionally, the Company
might be instituted in a reorganization proceeding under the
Concurso Mercantil Law in Mexico. These conditions, among
others, raise substantial doubt about the Company's ability to
continue as a going concern. These matters and management's
plans are more fully discussed in Note 2 to the consolidated
financial statements. The consolidated financial statements do
not include any adjustments that might result from the outcome
of these uncertainties.

    PricewaterhouseCoopers

    Jose S. Oropeza de la Cruz
    Audit Partner

About Iusacell

Grupo Iusacell, S.A. de C.V. (Iusacell, NYSE: CEL; BMV: CEL) is
a wireless cellular and PCS service provider in seven of
Mexico's nine regions, including Mexico City, Guadalajara,
Monterrey, Tijuana, Acapulco, Puebla, Leon and Mirida. The
Company's service regions encompass a total of approximately 92
million POPs, representing approximately 90% of the country's
total population.


INDUSTRIAS PENOLES: S&P Removes Ratings From CreditWatch
--------------------------------------------------------
Standard & Poor's Ratings Services affirmed Thursday its 'BBB-'
long-term corporate credit rating on the Mexican mining company
Industrias Penoles (Penoles). At the same time, the rating was
removed from CreditWatch, where it was placed on Feb. 18, 2004.
The outlook is negative.

"The rating affirmation and removal from CreditWatch reflects
our view that Penoles will be able to take advantage of the
currently strong commodity price environment to term out short-
term debt, obtain favorable long-term financing for the
Milpillas copper project, and avoid leverage increase outside of
related project debt," said Standard & Poor's credit analyst
Juan P. Beccara.

The actions also consider Standard & Poor's expectation for
meaningful debt reduction and product diversification once the
Milpillas project, which will exploit particularly high-grade
copper, comes on line, which is expected by late 2006. The
negative outlook represents potential downside risks to this
scenario, including the pricing environment, deviations from the
current financial policy in terms of debt leverage, and
execution risk.


INDUSTRIAS PENOLES: Structured Silver Notes Ratings Affirmed
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed Thursday its 'BBB-'
rating on Industrias Penoles S.A. de C.V.'s (Penoles) $380
million 8.39% structured silver payable notes due 2012, and
removed it from CreditWatch, where it was placed Feb. 19, 2004.

As a mining group with integrated operations in smelting and
refining nonferrous metals, Penoles is the world's top producer
of refined silver, metallic bismuth, and sodium sulfate. In
addition, Penoles is the leading Latin American producer of
refined lead, zinc, and gold. The rating action follows the May
6, 2004, affirmation of Penoles' 'BBB-' foreign and local
currency corporate credit ratings and the revision of the
outlook to negative from stable.

The corporate credit rating affirmation reflects Standard &
Poor's view that Penoles will be able to take advantage of the
currently strong commodity price environment to term out short-
term debt, obtain favorable long-term financing for the
Milpillas copper project, and avoid a leverage increase outside
of related project debt. The affirmation also reflects Standard
& Poor's expectation for meaningful debt reduction and product
diversification once the Milpillas project, which will exploit
particularly high-grade copper, comes on line (expected by late
2006).

Standard & Poor's revision to its rating outlook on Penoles,
however, reflects the potential downside risks to this scenario,
including the pricing environment and execution risk.

The rating on the structured silver payable notes has a close
link to Penoles' creditworthiness as expressed by its 'BBB-'
long-term foreign and local currency corporate credit ratings.
The structured silver payable notes are unsecured U.S. dollar
debt obligations of Penoles, and were issued June 25, 1997.
There is an eight-year interest-only period, followed by
principal amortization over six years beginning in 2006. The
transaction incorporates structural features that help mitigate
sovereign risk by allowing the delivery of physical silver to a
trustee located in the U.S. Penoles maintains a reserve account
with the trustee. The required balance in this account is the
projected debt service for the next quarter. The transaction
provides for replenishment of the reserve account if it is ever
drawn upon.

ANALYSTS:  Maria Tapia, Mexico City (52) 55-5081-4415
           Juan Pablo De Mollein, New York (1) 212-438-2536
           Juan P Becerra, Mexico City (52) 55-5081-4416  


ISPAT INTERNATIONAL: Results Improve With Economy, Pricing
----------------------------------------------------------
Ispat International N.V., (NYSE: IST US; AEX: IST NA), reported
Thursday a net income of $102 million or 85 cents per share for
the first quarter of 2004 as compared to net income of $51
million or 41 cents per share for the first quarter of 2003. The
current quarter's results include the benefit of an after tax
gain of $23 million at Ispat Inland resulting from a
reassessment of property taxes for the years 2002 and 2003.
Excluding this benefit, the first quarter net income would have
been $79 million or 65 cents per share.

Consolidated sales and operating income for the first quarter
were $1.8 billion and $158 million, respectively, as compared to
$1.3 billion and $75 million, respectively, for the first
quarter of 2003. Total steel shipments increased by 10% to 4.2
million tons.

Debt at the end of the first quarter was $2.3 billion. Capital
expenditure for the first quarter of 2004 was $21 million. At
March 31, 2004 the Company's consolidated cash, cash equivalents
and short-term investments totaled $104 million. The Company
also had approximately $383 million available to it under
various un-drawn lines of credit and bank credit arrangements.

Ispat International N.V. is one of the largest and most global
steel producers, with major steelmaking operations in the United
States, Canada, Mexico, Trinidad, Germany and France. The
Company produces a broad range of flat and long products sold
mainly in the North American Free Trade Agreement (NAFTA)
participating countries and the European Union (EU) countries.
Ispat International N.V. is a member of the LNM Group.

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



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

SIDOR: CVG-AIMM Expected to Resolve Strike Issues
-------------------------------------------------
The resolution of the two-week-old strike that has crippled
operations at Venezuelan steel maker Sidegurgica del Orinoco
(Sidor) is the responsibility of state heavy industry holding
CVG and not of Sidor, said the president of Venezuela's Mining
and Metallurgical Industries Association (AIMM).

According to a BNamericas report, AIMM head Alfredo Gibbs said
CVG should participate in negotiations for an end to the strike,
since the stock being demanded by the strikers is currently in
the state holding's hands. That stock is what the Venezuelan
government had promised Sidor's workers as part of the company's
privatization talks in 1997. "The workers are asking for control
of this stock but the Sidor board of directors have nothing to
do with that. It is CVG's responsibility," he said.

The strike, which began on April 22, has affected the steel
supply for the automotive industry, the real estate industry,
and all other structural manufacturing industries such as
construction and wire and tube manufacturing. Mr. Gibbs had
earlier said that small- and medium-sized businesses are losing
close to US$11 million per day as a result of Sidor's halted
metal supply.

Puerto Ordaz-based Sidor is 60% owned by the Amazonia
consortium, which is made up of Mexican companies Hylsamex (Alfa
group) and Tamsa (Techint group), Argentine company Siderar
(Techint group), Brazil's Usiminas and Venezuela's Sivensa. The
remaining 40% is owned by the Venezuelan government.



                            ***********


S U B S C R I P T I O N   I N F O R M A T I O N

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Copyright 2004.  All rights reserved.  ISSN 1529-2746.

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