TCRLA_Public/040518.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

             Tuesday, May 18, 2004, Vol. 5, Issue 97



ACINDAR: Issues New Debt For Financial Restructuring
ALDEFIL: Court Approves Bankruptcy Motion
AUTOMARCA: Court Sets Reports Deadline
CABLEVISION: Seeks Court's Consent For Nonjudicial Workout
CLAXSON INTERACTIVE: Reports HTV Subscriber Growth

DEL MILAGRO: Seeks Voluntary Reorganization
EAGLESTAR: Court Moves Verification Date
FRIGORIFICO LA IMPERIAL: Files for Reorganization
GERIATRICO CENTENARIO: Liquidation Trumps Reorganization
GRUPO GALICIA: Reports 1Q04 Ps. 112M Net Loss

GRUPO GALICIA: Rights Issue Deemed Successful
IVOPLANT: Reorganization Expected to be Complete Soon
KAMET: Court Schedules Assembly
LUIS SAENZ: Court Initiates Bankruptcy Process
OBRAS Y PINTURAS: Begins Liquidation Process

ORANGE TRAINING: Court Issues Bankruptcy Ruling
PETROBRAS ENERGIA: Ups April '04 Output
SOCDEL: Debt Payments Halted, Set To Reorganize
STARTCOMM: Court Advises Liquidation
TECNOMOVIL: Court Orders Bankruptcy; Liquidation Expected

TRANSPORTES DEL IGUAZU: Reorganization Converts to Bankruptcy
VER SOLUCIONES: Bankruptcy Process Starts By Court Order


CEMIG: Set to Approve Gasmig Sale This Month
CEMIG: To Sell Infovias
PARMALAT BRAZIL: Higher Revenues Predicted This Month


PETROECUADOR: Extends Repsol-YPF Services Contract
* Andean Development Corp. To Become Ecuador's Debt Advisor


C&WJ: First Jamaican Provider to Offer Data Roaming in the U.S.


GRUPO IUSACELL: Fitch Affirms 'D' Ratings
PEMEX: Cost Cutting Efforts May Send 3,000 Employees Home


* Uruguay Receives $6.8 Million Grant To Boost Energy Efficiency

     - - - - - - - - - -


ACINDAR: Issues New Debt For Financial Restructuring
The board of Acindar S.A. decided to sell obligaciones
negociables according to the terms of the financial
restructuring of the Company stated in the Acuerdo Preventivo
Extrajudicial (APE) pending before court.

This placement, according to the information provided by Acindar
to the Buenos Aires Stock Exchange -- without establishing the
amount -- is performed within the terms of the financial debt
restructuring and the provision stated by the ordinary general
shareholders meeting held on May 30, 2003.

          2739 Estanislao Zeballos Beccar
          Buenos Aires
          Argentina B1643AGY
          Phone: +54 11 4719 8500
          Fax: +54 11 4719 8501
          Home Page:

          Jose I. Giraudo, Investor Relations Manager
          Tel: (54 11) 4719 8674
          Andrea Dala, Investor Relations Officer
          Tel: (54 11) 4719 8672

ALDEFIL: Court Approves Bankruptcy Motion
San Luis-based Adelfil San Luis S.A. will begin liquidation
after local court no. 4 ruled in favor of bankruptcy, Infobae
reports. This declaration marks the beginning of the process,
which will end with the disposal of the Company's assets to
satisfy creditor's claims.

The court appointed Mr. Federico Gabriel Estada as receiver. He
will validate creditor's proofs of claim until June 7, 2004. Mr.
Estada is also required to submit individual reports from the
verified claims on August 4, 2004. A general report will also be
presented to court on September 17, 2004.

CONTACT: Aldefil San Luis S.A.
         Calle 108 entre 2 y 4
         Parque Industrial Sur
         San Luis

         Mr. Federico Gabriel Estada, Receiver
         Lavalle 1416
         Buenos Aires

AUTOMARCA: Court Sets Reports Deadline
Infobae reports that Buenos Aires Court No. 23 set the schedule
for submission of the individual reports concerning the
involuntary bankruptcy case of Automarca S.A. on August 26,
2004. The individual reports will serve as basis for the general
report that will also be presented in court on October 11, 2004.

The Company's case will end with the liquidation of its assets
to repay creditors.

CONTACT: Ms. Zulma Irene Glave, Receiver
         Deheza 4883
         Buenos Aires

CABLEVISION: Seeks Court's Consent For Nonjudicial Workout
Cablevision S.A., a Cable and Internet Service Provider
operating in Buenos Aires, is seeking the court's approval of
the nonjudicial workout it had entered with its creditors.

A nonjudicial workout consists of private agreements between a
debtor and all or certain of its creditors. Current nonjudicial
workout provisions in Argentine Bankruptcy Law require
legitimization of the agreement by subjecting the parties to a
brief proceeding.

La Nacion reports that the petition is filed under Judge
Bargallo of the capital's Court No. 11. Clerk No. 22, Dr.
Sanchez Cannovo, assists on this case.

CONTACT: Cablevision S.A.
         Cuba 2370
         Buenos Aires

CLAXSON INTERACTIVE: Reports HTV Subscriber Growth
HTV, Claxson's 24-hour Latin music channel, has become a
favorite among Hispanics in the United States reaching more than
1.2 million subscribers in December 2003. This growth represents
an increase of 28% since the channel entered the market in the
year 2002.

HTV's significant growth positions it as one of the leading
Latin music cable channels in the U.S. Its success is largely
due to the variety of its music programming, which combines top
music videos and interviews with the most popular Latin artists
together with the most diverse music playlist, making it an
attractive entertainment option for Hispanics, as well as for
anybody interested in this hot musical genre.

"We are very proud to offer the best Latin music videos to major
Hispanic markets such as Los Angeles, New York, New Jersey,
Florida, Texas and Chicago. HTV's growth in the Hispanic market
is the result of our commitment to delivering high quality music
programming specially developed for Latin audiences," said Ralph
Haiek, COO Pay TV Division.  "Claxson has been catering the
Hispanic market for the last two years and HTV's growth,
together with our channel Infinito's growth, confirms we're on
the right track as we continue to expand our presence in the

HTV's music programming has made it the preferred musical option
in the most important cable systems Spanish packages in the
United States: Comcast, Time Warner Cable and Cablevision. In
addition, the channel grew its distribution in Echostar - a
system that carries it since 2002 - more than 20% reaching close
to 800,000 subscribers at the end of 2003.

HTV's programming covers the widest-possible spectrum of Latin
American music genres, including pop, Latin rock, tropical, hip-
hop, reggae, regional Mexican and ballads. Also featured are
today's most popular crossover hits, introduced by the artists
themselves.  HTV is unlike the many other music television
channels aired across the United States and Latin America today:
it is the only channel that successfully integrates all Latin
musical culture in one venue, 24 hours a day.

Since its Latin American debut in 1996, HTV has become the
industry standard for Latin music and artists, currently
reaching over five million subscribers in Latin America and the

HTV is available in the US through Echostar, Time Warner Cable,
Comcast, Cablevision and Charter Communications in major
Hispanic markets including Florida, Texas, California, Chicago,
New Jersey and New York, and in Puerto Rico through DirecTV and

About Claxson

Claxson (XSON.OB) is a multimedia company providing branded
entertainment content targeted to Spanish and Portuguese
speakers around the world. Claxson has a portfolio of popular
entertainment brands that are distributed over multiple
platforms through its assets in pay television, broadcast
television, radio and the Internet.  Claxson was formed on
September 21, 2001 in a merger transaction, which combined El
Sitio, Inc. and other media assets contributed by funds
affiliated with Hicks, Muse, Tate & Furst Inc. and members of
the Cisneros Group of Companies. Headquartered in Buenos Aires,
Argentina, and Miami, Florida, Claxson has a presence in all key
Ibero-American countries, including without limitation,
Argentina, Mexico, Chile, Brazil, Spain, Portugal and the United

CONTACT:  Claxson
          Roxana Alcala, Communications Department

DEL MILAGRO: Seeks Voluntary Reorganization
Del Milagro S.R.L., a food production concern in Buenos Aires,
filed a "Concurso Preventivo" motion, reports La Nacion. The
Company is seeking to reorganize its finances following
cessation of debt payments since October 2001. The Company's
case is pending before Court No. 18 assisted by Dr. Estevarena,
Clerk No. 35

CONTACT: Del Milagro S.R.L.
         Avenida Belgrano 3345
         Buenos Aires

EAGLESTAR: Court Moves Verification Date
Argentine daily Infobae relates that Buenos Aires Court No. 1
has rescheduled the verification of creditor's claims in
Eaglestar S.A.'s bankruptcy case to June 23, 2004. Mr. Jose
Maria Larrory serves as receiver for this case.

CONTACT: Mr. Jose Maria Larrory, Receiver
         Viamonte 1348
         Buenos Aires

FRIGORIFICO LA IMPERIAL: Files for Reorganization
Argentine news source La Nacion announces that Frigorˇfico La
Imperial SACIA y F voluntarily filed for a reorganization after
failing to pay its liabilities since February 28, 1999.

Judge Ojea Quintana of Buenos Aires Court No. 12, with
assistance of Dr. Perea, Clerk No. 23, is currently reviewing
the merits of the Company's reorganization petition.

CONTACT: Frigorifico La Imperial SACIA y F
         Guamini 2063/7
         Buenos Aires

GERIATRICO CENTENARIO: Liquidation Trumps Reorganization
Buenos Aires Judge No. 1 denied Geriatrico Centenario de Alvarez
Serafin Antonio y Anastasio Domingo M S.H.'s motion to convert
its ongoing bankruptcy to a reorganization. This indicates that
the liquidation will continue, with the verification of
creditors' claims open until June 24, 2004. Mr. Daniel Alejandro
Macri, court-appointed receiver, supervises the bankruptcy

CONTACT: Mr. Daniel Alejandro Macri, Receiver
         Simbron 5742
         Buenos Aires

GRUPO GALICIA: Reports 1Q04 Ps. 112M Net Loss
Grupo Financiero Galicia S.A. ("Grupo Galicia", "GFG") ( Buenos
Aires Stock Exchange: GGAL /NASDAQ: GGAL) today announced its
consolidated financial results for the first quarter of fiscal
year 2004, ended March 31, 2004.

-- Net loss for the first quarter ended March 31, 2004, was Ps.
112.0 million, or Ps. (0.103) per share, equivalent to Ps.
(1.030) per ADS. These results were mainly generated by those of
Banco Galicia ("the Bank") which has continued to be the main
source of the company's results.

-- The net loss of the Bank was Ps. 100.9 million mainly as a
result of a decrease in the exchange rate and some non recurring
items such as the amparos amortization and the valuation
adjustments for the Secured Loans and the Bogar according to the
Banco Central de la Republica Argentina's ("B.C.R.A.")
regulations. If we exclude the above mentioned effects, the net
loss obtained by the Bank for the quarter under analysis would
be Ps. 3.9 million.

-- Grupo Galicia's financial statements, comparative tables and
exhibits, have been restated for inflation until February 28,
2003 using the Wholesale Price Index (IPIM) published by the
National Bureau of Statistics and Census (INDEC).

-- During fiscal year 2002, the line-by-line consolidation of
the consolidated balance sheet of Banco Galicia Uruguay S.A.
("Galicia Uruguay") had been discontinued by Banco Galicia. As
the reception of the financial statements of Galicia Uruguay and
its subsidiaries has been regularized, in the quarter ended
September 30, 2003 the information that is exposed includes the
consolidation on a line-by-line basis of the financial
statements of Galicia Uruguay, Banco de Galicia (Cayman) Ltd.
(in provisional liquidation) and its subsidiaries. In
consequence, the quarter ended September 30, 2003 includes in
each line of the consolidated income statement the results
corresponding to the nine months of the aforementioned
companies, not affecting the consolidated net income.


-- Within the process of the restructuring of the foreign debt
of the Bank, Grupo Galicia's Shareholders' Meeting celebrated on
January 2nd, 2004 approved an increase in the capital stock of
up to 149 million shares. The preferred non-voting shares are
mandatorily convertible into ordinary Class B shares at the
first anniversary of issuance and will be used for acquiring or
receiving as a contribution up to US$100 million of subordinated
notes issued by the Bank. The subscription price was established
at 0.49 US$ per share based in two independent valuations of the
bonds to be received.

The subscription period ended today and the payment of the
preemptive and accretion rights will take place on May 13 and
May 17 respectively. Therefore, the future number of shares will
be 1,241,407,017. The preferred shares will be quoted in the
Buenos Aires Stock Exchange and in the Cordoba Stock Exchange.

GRUPO GALICIA: Rights Issue Deemed Successful
The preferred rights issue by Argentine financial services
company Grupo Financiero Galicia (GGAL) for 149 million shares
garnered a subscription rate of 85.86%, Dow Jones reveals. The
last day for Grupo Galicia shareholders to exercise the rights
was May 12.

The company said in a filing to the local stock exchange Friday
that of the 149 million shares, 73.81% were bought by existing
Grupo Galicia shareholders and investors who had earlier
purchased a coupon for the right to buy those shares. Holders
with a special right to acquire more shares after the initial
group took up another 12.05% of the total amount.

The remaining 14.14%, or 21,057,687 shares, is now allocated for
the debt swap of Grupo Galicia's main asset, private bank Banco
de Galicia y Buenos Aires (GALI.BA). Under the terms of Banco
Galicia's US$1.3 billion offer, the amount of shares available
for Banco Galicia creditors would depend on how many Grupo
Galicia shareholders first participated in the rights issue.

But according to Pablo Firvida, the holding company's manager of
institutional and investor relations, a group of Banco Galicia
creditors participated in the rights issue as a trust fund and
purchased 52,911,110 shares. When added to the leftover shares,
this would put the actual amount of Grupo Galicia shares going
to Banco Galicia creditors at 49.6%.

The bank's debt restructuring deal, which creditors approved two
weeks ago, also offers to exchange old debt for dollar-
denominated bonds coming due in 2010, 2014 and 2019; or
government-issued "Boden" bonds coming due in 2012. Last week,
Banco Galicia said the Grupo Galicia share swap option was the
only one to be oversubscribed, which means that creditors'
eventual holdings will be pro-rated.

IVOPLANT: Reorganization Expected to be Complete Soon
Ivoplant S.A.F. is now set to emerge from bankruptcy, according
to Infobae. Handling the Company's bankruptcy case is Buenos
Aires Court No. 8 with assistance from Clerk No. 15.

KAMET: Court Schedules Assembly
Kamet S.A. will conclude its Reorganization process with the
call for an Informative Assembly on October 13, 2004. All
creditors with admissible claims reviewed by the receiver will
be eligible for voting during the assembly in connection with
the proposed plan of reorganization.

Infobae reports that the Company's case is under the
jurisdiction of Buenos Aires Court No. 5. Clerk No. 10 assists
the court on this case.

         12th Floor B
         Esquiu 937
         Buenos Aires

LUIS SAENZ: Court Initiates Bankruptcy Process
Buenos Aires Court No. 1 declared Luis Saenz Pena 739 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. 1, appointed Ms. Lydia Elsa
Albite as receiver who will authenticate proofs of claim until
July 7, 2004. As part of the reorganization process, the
receiver will prepare individual reports for court presentation
based on the results of the verification.

CONTACT: Ms. Lydia Elsa Albite
         Tacuari 119
         Buenos Aires

OBRAS Y PINTURAS: Begins Liquidation Process
Buenos Aires Court No. 2 declared construction firm Obras y
Pinturas S.R.L. bankrupt after it failed to pay liabilities to
Distribuidora Distors S.A. amounting to US$48,258.

La Nacion discloses that Judge Garibotto, who is aided by Dr.
Romero, Clerk No. 4, appointed Ms. Andrea Cetlinas as receiver.
The receiver will verify creditors proofs of claim until July 9,

CONTACT: Obras y Pinturas SRL
         Chenaut 1957
         Buenos Aires

ORANGE TRAINING: Court Issues Bankruptcy Ruling
Orange Training Center S.R.L. will begin bankruptcy proceedings
after Buenos Aires Court No. 3 declared it "Quiebra," reports
Infobae. The bankruptcy process will divest the Company of
assets, which will eventually be disposed in favor of its

With assistance from Clerk No. 6, the court named Ms. Ana Maria
Varela as receiver. She will verify creditors' claims until June
24, 2004.

Following claims verification, the receiver will submit the
individual reports, prepared based on the verification results,
to the court on August 30, 2004. The general report is due for
submission on October 11, 2004.

CONTACT:  Ms. Ana Maria Varela
          Talcahuano 768
          Buenos Aires

PETROBRAS ENERGIA: Ups April '04 Output
In a statement to the local stock exchange, Argentine energy
company Petrobras Energia SA (PECO.BA) reported Friday an
increase in its oil and gas production for the month of April
compared from last year, Dow Jones reports.

Petrobras Energia's monthly production data reveals that total
output was 173,400 barrels of oil equivalent a day in April,
compared with 163,700 boe/d in April 2003 and 171,800 boe/d in
March 2004. The company's oil output also climbed to 125,600
barrels per day from 117,900 b/d in April last year but stayed
about even with the 124,500 b/d it produced in March 2004.

Its Argentina production, which accounts for Petrobras Energia's
greatest oil output, fell to 56,900 b/d this year from 59,500
b/d in April 2003. In comparison, Venezuela production rose from
43,100 b/d in 2003 to 49,500 b/d this year.

Natural gas productioin reached 47,800 boe/d in April, a bit
higher than 45,800 boe/d in the same month last year and just
about level with its March 2004 output of 47,300 boe/d.
Production in Argentina came in at 35,500 boe/d, a slight
increase from the 35,100 boe/d it reported a year earlier.

Petrobras Energia's holding company is Petrobras Energia
Participaciones (PZE), which is owned by Brazilian energy
concern Petroleo Brasileiro SA (PBR) or Petrobras.

SOCDEL: Debt Payments Halted, Set To Reorganize
Judge Uzal of Buenos Aires Court No. 26 is now analyzing whether
to grant Socdel S.A., a real estate agency in Buenos Aires,
approval for its petition to reorganize. La Nacion reveals that
the company has assets worth US$200,000 and liabilities
amounting to US$1,067,555. Clerk No. 51, Dr. Dermardirossian, is
assisting the court on the Company's case.

CONTACT: Socdel S.A.
         Soler 3787
         Buenos Aires

STARTCOMM: Court Advises Liquidation
Startcomm S.A. of Buenos Aires entered bankruptcy on orders from
the city's Court No. 14, relates Infobae. Mr. Ernesto Luis
Hillman will act as receiver during the liquidation proceedings,
which will culminate with the disposal of the Company's assets
to repay creditors.

Mr. Hilman will verify creditors' proofs of claim until July 13,
2004. Failure to comply with the verification deadline will
disqualify creditors from receiving payments from the

The individual reports, which are to be prepared upon completion
of the verification process, are due on September 15, 2004. The
court also requires the receiver to prepare a general report and
file it on October 28, 2004. This report contains a summary of
the results in the individual reports.

CONTACT: Mr. Ernesto Luis Hilman
         Viamonte 1446
         Buenos Aires

TECNOMOVIL: Court Orders Bankruptcy; Liquidation Expected
Tecnomovil S.A., operating in the city of Buenos Aires, entered
bankruptcy after the city's Court No. 3 ruled that it is
"Quiebra." Infobae reveals that the city's Clerk No. 5 aids the
court on the process.

The court appointed Ms. Ana Maria Varela as the Company's
receiver. Creditors must submit their proofs of claim to Ms.
Varela for verification before June 1, 2004. The receiver is
also required to prepare the individual and general reports on
the bankruptcy process. These reports will be presented to court
on July 14, 2004 and September 9, 2004 respectively.

CONTACT: Ms. Ana Maria Varela, Receiver
         Talcahuano 768
         Buenos Aires

TRANSPORTES DEL IGUAZU: Reorganization Converts to Bankruptcy
Transportes del Iguazu S.R.L., which was undergoing
reorganization, entered bankruptcy on orders from Buenos Aires
Court No. 18, according to Infobae. The court, which is assisted
by Clerk No. 36, assigned Mr. Carlos Daniel Brzezinski as the
Company's receiver. The credit verification process will be done
"por via incidental", says the report.

CONTACT:  Carlos Daniel Brzezinski, Receiver
          Lambare 1140
          Buenos Aires

VER SOLUCIONES: Bankruptcy Process Starts By Court Order
Court No. 14 declared local company Ver Solucciones S.R.L.
"Quiebra", relates local daily La Nacion. The Company will
undergo the bankruptcy process with Ms. Ester Alicia Ferraro
acting as receiver. Creditors are required to present their
proofs of claims to the receiver for verification before July
16, 2004.

The verified claims will be the basis for the individual reports
to be submitted to court on September 13, 2004. Afterwards, a
general report will also be presented on October 26, 2004.

Clerk No. 14 assists the court on the case.

CONTACT: Ms. Ester Alicia Ferraro, Receiver
         Esmeralda 960
         Buenos Aires


CEMIG: Set to Approve Gasmig Sale This Month
The sale of a stake in Gasmig, the natural gas distribution unit
of Brazil's Minas Gerais state-integrated power company Cemig,
to federal energy company Petrobras is set to be approved by the
power firm's board by the end of May, according to Cemig chair
Wilson Brumer Friday.

"The [Minas Gerais] government signed the letter of intent with
Petrobras yesterday [Thursday], next week we should meet with
[mines and energy minister] Dilma Rousseff to determine an
investment schedule and by the end of May the board should
approve it," BNamericas quoted Mr. Brumer, who is also Minas
Gerais state development secretary, as saying. "In 30 days we
hope to conclude the transaction."

In exchange for US$460 million in investments to expand the
state's gas pipeline network, the Minas Gerais government would
hand over a non-controlling stake in Gasmig to Petrobras' gas
subsidiary Gaspetro. This, Mr. Brumer said, will be "good
business" for the Petrobras unit.

Though the main markets for gas are industry and vehicular
natural gas (VNG), Mr. Brumer said Gasmig should sell some of
the gas for power generation to the 225MW Ibirite plant and
through a take-or-pay contract with CFLCL's 250MW Juiz da Fora
thermoelectric project.

One of Brazil's most industrialized states, Minas Gerais
consumes about 3.1 million cubic meters a day (mcm/d) of natural
gas and has a potential demand estimated at 11mcm/d by 2010.

CEMIG: To Sell Infovias
Wilsom Brumer, chairman of the board of Brazilian energy company
Cemig, said Friday the company has decided to sell control of
its telecommunications unit Infovias, relates BNamericas.

In a meeting with analysts to explain Cemig's long-term
strategy, Mr. Brumer said, "Telecommunications is another
business and we have to seek an alternative if the company is to
add value to its operations." "Telecommunications is a sector
that needs high investments to keep up with technological
advances." He added that market perceptions were different when
Cemig invested in telecommunications.

Cemig, an energy company controlled by Minas Gerais state, could
either sell a controlling stake or the whole company, said Mr.

Infovias acts as a carrier-of-carriers, using rights of way
along Cemig's transmission and distribution network. It has
spent some US$130 million to build networks based on SDH and
HFC/IP technologies, with more than 1,300km of fiber optic
network installed across 12 cities in Minas Gerais, one of
Brazil's most industrialized states.

PARMALAT BRAZIL: Higher Revenues Predicted This Month
Mr. Nelson Sampaio Bastos, chairman of the Brazilian subsidiary
of the Italian multinational Parmalat, expressed confidence that
the unit will be able to get back on its feet this May in terms
of turnover. O Estado de Sao Paulo relates that the executive is
predicting a 35% increase in turnover at the end of this month
compared to that of April. The growth reflects the resumption of
production levels to 15mil liters of milk per day from a
production of 9mil liters. The Parmalat Brazil chairman expects
the unit to close this year with 30mil liters per day.

The Company's next plan is to take back control of its
Itaperuna-based unit (Rio de Janeiro), which is currently under
intervention by the state government.

Parmalat currently has debts amounting to US$163 million with
banks and BRL120 million with suppliers, according to O Estado.


PETROECUADOR: Extends Repsol-YPF Services Contract
The services contract Ecuadorian state oil company Petroecuador
has with Spain's Repsol-YPF (REP) in the Campo Tivacuno oil
field has been extended until August 13, Dow Jones relates,
quoting Petroecuador executive president Luis Camacho. The
original contract signed in 1996 expired May 13.

Mr. Camacho also said that a new one-year-long contract, which
will contain more favorable terms for the state, will take
effect after the August 13 extension.

The Campo Tivacuno oil field's accumulated output by last
December was just below 14 million barrels. As of present, the
field has an output of 1,200 barrels a day.

* Andean Development Corp. To Become Ecuador's Debt Advisor
Ecuador will embark on a plan to place international debt with
the Andean Development Corp. as its advisor, according to a
report released by Dow Jones Business News. Already, the
country's Attorney General has expressed approval on the plan,
which includes buying back debt, swapping of new bonds for
outstanding 2012 Global bonds, and issuance of new bonds to help
finance the 2004 budget.

As advisor, the CAF, as the regional development bank is known,
will decide the form in which the debt will be placed and the
timing for the issuance, according to Economy Minister Mauricio

The debt issuance would mark the first time the country has
issued debt on foreign capital markets since 2000, when it
exchanged about US$6.5 billion in defaulted Brady bonds and
Eurobonds for new bonds maturing in 2012 and 2030.

Ecuador defaulted on its debt in 1999, recalls Dow Jones.


C&WJ: First Jamaican Provider to Offer Data Roaming in the U.S.
Cable & Wireless Mobile is to become the first mobile services
provider in Jamaica to offer commercially a GPRS roaming service
in the United States when it launches this service. Cable &
Wireless' GPRS Roaming will allow its postpaid mobile customers
in Jamaica to access the Internet and data services from
compatible handsets and laptop computers while in areas of the
USA served by its GPRS roaming partner T-Mobile.

Until August 1, 2004 mobile customers will be able to use Cable
& Wireless' GPRS roaming free of charge. T-Mobile customers from
the USA will also be able to use their handsets to access data
and Internet services while in Jamaica. Cable & Wireless' GPRS
Roaming will allow customers to access the Internet from
specific handsets such as Blackberry devices.


GRUPO IUSACELL: Fitch Affirms 'D' Ratings
Fitch Ratings affirmed its foreign and local currency debt
ratings of 'D' for holding company Grupo Iusacell, S.A. de C.V.
and operating company Grupo Iusacell Celular, S.A. de C.V.
(collectively referred as Iusacell). The ratings apply to $500
million in outstanding securities, including $350 million senior
notes due 2006 and $150 million senior notes due 2004.

The ratings reflect the payment default that took place during
June 2003 and indicate that potential recovery for bondholders
is estimated at less than 50% of principal. Prior to this event,
Iusacell's profitability had been pressured by a weak economy.
In addition, Iusacell's business model was primarily focused on
the post-paid subscriber market, which was limited in size due
to low per capita income levels. In an effort to improve its
financial performance, the company had implemented cost-
reduction measures and significantly lowered capital
expenditures to boost cash flow availability, but these measures
constrained Iusacell's ability to maintain subscriber growth
levels amid heightened competition.

After the default, shareholder control of Iusacell changed hands
when majority shareholders Verizon Communications and Vodafone
PLC sold their equity stake to Movil Access, S.A. de C.V., a
subsidiary of Biper, S.A. de C.V., which is in turn is
controlled by the Salinas group. Iusacell's new shareholder
structure has not materially changed its financial profile
because Iusacell has not received capital contributions and
continues to operate with internally generated cash flow.
Nevertheless, Iusacell has the potential to eventually derive
some operational synergies with Unefon, the third largest
Mexican wireless operator that is also part of the Salinas

Iusacell continues to face the challenges of restructuring its
debt profile, which currently totals slightly more than $800
million and includes $350 million in senior notes due 2006, $150
million in senior notes due 2004 and a $266 million secured
syndicated loan. Iusacell also faces the challenges of turning
around its operations, a difficult task due to the lack of
funding available to complete needed capital expenditures.

Even after completing a debt restructuring, Iusacell would
continue to face significant competitive pressures due the scale
of Telcel's network and the expanded presence of Telefonica
Moviles. Currently, Iusacell is the fourth-largest wireless
operator in Mexico with 1.3 million subscribers and a market
share of less than 5%. Over the past year, the company's
subscriber base has declined from a peak of more than 2.0
million, which is partially due to the company's strategy of
cleaning up its subscriber base by writing off underperforming
accounts. As a result, both revenues and EBITDA continued to
decline during 2003.

Grupo Iusacell, S.A. de C.V. is a holding company that controls
wireless provider Grupo Iusacell Celular, S.A. de C.V. The
company is the fourth-largest wireless operator in Mexico, with
1.3 million subscribers at Dec. 31, 2003. The company is 76.4%
indirectly owned by Ricardo Salinas. The remaining 25.4% is held
by the public.

          Guido Chamorro, 312-368-5473
          Sergio Rodriguez, CFA, 528 18 335-7179
          James Jockle, 212-908-0547 (Media Relations)

PEMEX: Cost Cutting Efforts May Send 3,000 Employees Home
Petroleos Mexicanos is likely to lose as many as 3,000 employees
as part of the Mexican state oil monopoly's efforts to slash
costs, Bloomberg reports, citing Energy Minister Felipe

"Either we do something to reduce costs at Pemex, or soon this
company, at least on the books, could find itself in a situation
of a loss of equity," Calderon said in an interview with Radio

In an e-mailed statement, Pemex indicated it will reduce its top
corporate departments to four from seven, cutting corporate
positions to about 16,000 from about 19,000 at the end of last

At present, Pemex has about 143,000 workers, most of whom are


* Uruguay Receives $6.8 Million Grant To Boost Energy Efficiency
The World Bank Board of Directors agreed Thursday that the Bank
will manage the implementation of the Uruguay Energy Efficiency
Project. This project is funded by a $6.8 million grant from the
Global Environment Facility, whose Council approved the grant in
May 2003.

The overall objectives of the project include reducing Uruguay's
reliance on imported fuel, improving air quality, and reducing
the cost of energy in the production of goods and services.

"Energy efficiency will help reduce Uruguay's dependence on
imported fuels and cut emissions that damage the environment,"
said Axel van Trotsenburg, the World Bank's Country Director for
Argentina, Chile, Paraguay and Uruguay.

The six year project includes assistance to Uruguay's Ministry
of Industry, Energy and Mining for development of energy
efficiency policies; the creation of voluntary standards for
home appliances and a labeling program that would give consumers
information on appliance efficiency; and support for an
investment fund to encourage investment by businesses in
projects to utilize energy more efficiently.

The project will also assist the Administracion de Usinas y
Trasmisiones Electricas (UTE) in delivery of energy-efficient
lights, water heaters and other equipment to residential and
commercial customers in a number of municipalities; and
provision of 2,000 solar electricity systems to poor families,
dispersed in the countryside, whose homes lack electricity.

Specific goals include reducing the emissions of pollutants;
lending at least $4.5 million to companies for undertaking
energy efficiency projects; and the spending of at least $6
million on efficiency projects by UTE.

The Global Environment Facility grant will be complemented by
contributions totaling $14.28 from businesses, UTE and the

About the GEF
The Global Environment Facility (GEF) is an international
financial organization with 176 member countries that acts as a
major catalyst for improving the global environment. GEF grants
support projects in developing countries in the areas of
biodiversity, climate change, international waters, land
degradation, the ozone layer, and persistent organic pollutants.

Since its creation in 1991, the GEF has allocated $4.5 billion
in grants to support more than 1,300 projects in more than 140
developing nations and countries with economies in transition.
GEF has committed approximately US $117.4 million in small
grants to NGOs and community groups in developing countries,
directly involving them in addressing global environmental

CONTACTS:  Yanina Budkin (54-11) 4316-9724
           Alejandra Viveros (202) 473-4306


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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