TCRLA_Public/041006.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

          Wednesday, October 6, 2004, Vol. 5, Issue 198

                            Headlines

A R G E N T I N A

ACINDAR: Belgo Mineira to Increase Holding
CARTEX S.A.: Proceeds With Reorganization
CLAXSON INTERACTIVE: Accepts Purchase Offer for Chilevision
CLISA: Local S&P Maintains Ratings on Corporate Bonds
EDEERSA: Entre Rios Delays Sale of 51% Stake

EDEMSA: S&P Retains `D' Rating on $150M Bonds
KING'S COLLEGE: Files Petition to Reorganize
KOMBATE MUNDIAL: Court Orders Liquidation
METROGAS: Extends Solicitation of Consents To Restructure Debts
METROVIAS: Shares Assigned Global 4 Rating by S&P

PET PRODUCTS: Initiates Bankruptcy Proceedings
POLIGNANO A MARE: Court Grants Reorganization Plea
REFRIGERACION TECNOLOGICA: Asks Court for Reorganization
SASSOON Y CIA: Reorganization Proceeds To Bankruptcy
SOCIETE GENERALE: Puts Local Unit on the Auction Block

STEFANINI S.A.: Court OKs Creditor's Bankruptcy Call
TECO MAX: Court Approves Creditor's Bankruptcy Motion
TRUCK WORLD: New Dates for Concurso Mercantil


B E R M U D A

FOSTER WHEELER: Franco Anselmi to Head Asia-Pacific Operations
LORAL SPACE: Unit to Provide Networking Solutions for Micron


B O L I V I A

BANCO BISA: Moody's Withdraws Ratings


B R A Z I L

COPEL: Wins Construction Lots Concession


J A M A I C A

KAISER ALUMINUM: Completes $23M Sale of US, Jamaican Assets


M E X I C O

AXTEL: Starts Saltillo Service
AXTEL: Expects to Invest $15M in Aguascalientes Operations


V E N E Z U E L A

VENEZUELA: Adjusts Bond Interest Rates


     -  -  -  -  -  -  -  -

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

ACINDAR: Belgo Mineira to Increase Holding
------------------------------------------
Belgo Mineira Uruguay informed Argentine steelmaker Acindar
Industria Argentina de Aceros (ACIN.BA) that it will increase
its holding in the latter, reports Dow Jones Newswires.

In a letter to Acindar, the subsidiary of Brazilian company
Belgo Mineira said it would exercise US$120 million worth of
options to buy shares.

In addition, Belgo said it would exercise its right to convert
bonds into shares under a US$60 million convertible bond offer
from May 2001. Under this offer, the company had issued both
convertible bonds and warrants that granted the right to buy
shares at one peso each ($1=ARS2.9725).

In May 2004, Belgo Mineira Uruguay exercised all its convertible
bond holdings from this offer and transferred the shares to BMP
Siderurgia, another subsidiary of the Brazilian parent company.
The recent decision completed the conversion under the US$60
million offer by exercising the warrants.

Belgo Mineira Uruguay will acquire 119,602,458 shares through
the process.


CARTEX S.A.: Proceeds With Reorganization
-----------------------------------------
Judge Gutierrez Cabello of Buenos Aires' civil and commercial
tribunal court no. 14 approved the "Concurso Preventivo"
petition filed by Cartex S.A., reports local news source La
Nacion.

The sports apparel company, which listed assets of
US$5,100,478.39 and liabilities of US$4,714,237.02, will undergo
a reorganization process under the direction of accounting firm
"Estudio Aguilar Pinedo, Rascado, Fernandez y Asociados", the
court-appointed trustee.

The firm will verify creditors' proofs of claim until December
3, 2004. Verifications are done to ascertain the nature and
amount of the Company's debts. The trustee will also prepare the
individual and general reports on the case.

Cartex is set to present a completed settlement plan for its
creditors during the informative assembly on September 13, 2005.

Dr. Giardinieri, clerk no. 14, assists the court on the case.

CONTACT: Cartex S.A.
         Marcos Sastre 4994
         Buenos Aires

        "Estudio Aguilar Pinedo, Rascado, Fern ndez y Asociados"
         Trustee
         Montevideo 1723
         Buenos Aires


CLAXSON INTERACTIVE: Accepts Purchase Offer for Chilevision
-----------------------------------------------------------
Claxson Interactive Group Inc. (Claxson) has accepted an offer
to sell Red de Television Chilevision S.A., its Chilean
television network.

Completion of the sale is conditioned upon, among other things,
successful negotiation of an exclusivity agreement with the
bidder, payment by the bidder of an exclusivity fee,
satisfactory completion of diligence by the proposed buyer,
negotiation of a definitive purchase and sale agreement,
approval of the Board of Directors of Claxson and receipt of
regulatory approval.

Claxson intends to disclose the name of the purchaser upon
execution of the exclusivity agreement. It is anticipated that
the exclusivity agreement will contain confidentiality
provisions that will prohibit disclosure of the proposed terms
of the transaction.

CONTACT: Claxson Interactive Group, Inc.
         Avenida Melian 2752
         Buenos Aires, C1430EYH
         Argentina

         Web Site: http://www.claxson.com/


CLISA: Local S&P Maintains Ratings on Corporate Bonds
-----------------------------------------------------
Standard & Poor's International Ratings, Ltd. Sucursal Argentina
maintains an `raB-` rating on US$120 million worth of corporate
bonds issued by Argentine company CLISA.

The country's securities regulator, the Comision Nacional de
Valores (CNV), described the affected bonds as "Obligaciones
Negociables con garantia (AGO 21-01-03, AD 23-01-03)." These
bonds will mature on June 1, 2012.

S&P said that an obligation rated `raB' denotes weak protection
parameters relative to other Argentine obligations. The obligor
currently has the capacity to meet its financial commitments on
the obligation. But adverse business, financial, or economic
conditions would likely impair capacity or willingness of the
obligor to meet its financial commitments on the obligations.

At the same time, the local S&P maintains an `raD' rating on
US$100 million worth of CLISA's bonds described as "Obligaciones
Negociables con garantia." The bonds came due on June 1, 2004.

The rating actions were based on the Company's financial health
as of June 30, 2004.


EDEERSA: Entre Rios Delays Sale of 51% Stake
--------------------------------------------
The Argentine province of Entre Rios has postponed the sale of
its 51% stake in power distributor Edeersa from December 15 of
the current year to April 15 next year, reports El Cronista.

Mr. Carlos Molina, energy secretary of Entre Rios and chairman
of Edeersa, has said that the government will wait for the
Senate to vote two regulatory bills that, if approved, will
increase the bargaining power of Edeersa's future operators to
renegotiate the company's debts.

Molina earlier revealed that US-based CMS Energy, GPU Argentina
Holdings, Argentina's Dolphin Group, local construction group
Roggio, construction firm Cartelone, and law firm Conte-Gran
Donsel Jones have already bought bidding rules.

The sale of Edeersa faces a major difficulty: the company has a
debt burden of US$87 million, 40% of which (or 100% according to
some sources) belongs to UK-based distress fund Ashmore.
Investors know that the group that assumes control of Edeersa
will have a year to negotiate with Ashmore the repayment of the
debt.


EDEMSA: S&P Retains `D' Rating on $150M Bonds
---------------------------------------------
Standard & Poor's International Ratings, Ltd. Sucursal Argentina
maintained its default ratings on US$150 million bonds issued by
Empresa Distribuidora de Electricidad de Mendoza S.A. (EDEMSA).
The bond issue described as "Programa de emisi›n de Obligaciones
Negociables simples" earned the `D' rating based on EDEMSA's
financial standing as of June 30, 2004, says CNV.

A `D' rating is assigned when the issuer has filed for
bankruptcy or when interest or principal payments are not made
on the due date, even if the applicable grace period has not
expired, unless S&P believes that such payments will be made
during such grace period.

The bond issue is set to mature next April 13.

CONTACT: Empresa Distribuidora de Electricidad de Mendoza S.A.
         San Martin 322 (5500)
         Mendoza


KING'S COLLEGE: Files Petition to Reorganize
--------------------------------------------
King's College S.R.L., a private school in Buenos Aires, filed a
"Concurso Preventivo" motion, reports La Nacion. The Company is
seeking to reorganize its finances after it defaulted on its
debt payments. The Company's case is pending before court no. 11
of the city's civil and commercial tribunal, under Judge
Bargallo. Dr. Macchi, clerk no. 21, assists the court on this
case.

CONTACT: King's College S.R.L.
         Alejandro Magarinos Cervantes 3235
         Buenos Aires


KOMBATE MUNDIAL: Court Orders Liquidation
-----------------------------------------
Kombate Mundial Producciones S.A. prepares to wind-up its
operations following the bankruptcy pronouncement issued by
court no. 15 of Buenos Aires' civil and commercial tribunal. The
declaration effectively prohibits the company from administering
its assets, control of which will be transferred to a court-
appointed trustee.

Infobae reports that the court appointed Mr. Luis Abranzon as
trustee. He will be reviewing creditors' proofs of claims until
November 26, 2004.

Clerk no. 29 assists the court on this case that will end with
the disposal of the company's assets to pay its liabilities.

CONTACT: Mr. Luis Abranzon, Trustee
         Pringles 835
         Buenos Aires


METROGAS: Extends Solicitation of Consents To Restructure Debts
---------------------------------------------------------------
Bondholders and financial creditors of Metrogas S.A. (NYSE: MGS)
now have until October 19 to subscribe to the company's debt-
restructuring proposal with new repayment terms, in the form of
an out-of-court settlement known by its Spanish acronym as an
APE.

Business News Americas reports that as of October 1, 2004,
holders of US$102 million in debt had taken up the offer.

The Information Agent for the APE Solicitation outside Argentina
is GBR Information Services and its telephone number is (212)
644-1772. The Information Agent within Argentina is JP Morgan
Chase Bank Buenos Aires Branch and its telephone number is 5411-
4348-3475/4325-8046.

CONTACT:  MetroGAS S.A.
          Pablo Boselli, Financial Manager
          E-mail: pboselli@metrogas.com.ar
          Tel: 5411-4309-1511

          Citigate Financial Intelligence
          Lucia Domville
          E-mail: Lucia.Domville@citigatefi.com
          Tel: 201-499-3548


METROVIAS: Shares Assigned Global 4 Rating by S&P
-------------------------------------------------
Shares of Buenos Aires subway operator Metrovias have been
assigned a global 4 rating by Standard & Poor's, reports
Business News Americas.

The rating reflects the continuing weak profitability and
financial situation at Metrovias despite a certain recovery in
transported passenger numbers since 2003 and the incorporation
of compensatory revenue due to increased costs.

According to S&P, the transport sector's high correlation with
economic cycles, along with uncertainties related to the
company's renegotiation process and rates-fixing, are mitigated
by Metrovias' strong competitive position due to an exclusive
concession until 2017.

Metrovias, a division of local infrastructure and services
company Clisa, reported a ARS15-million (US$5mn) net loss in the
first half, compared to a ARS100,000 net loss in 1H03.


PET PRODUCTS: Initiates Bankruptcy Proceedings
----------------------------------------------
Court no. 3 of Buenos Aires' civil and commercial tribunal
declared Pet Products International de Argentina S.A. "Quiebra,"
reports Infobae.

Mr. Manuel Arnaldo, who has been appointed as trustee, will
verify creditors' claims until November 10, 2004 and then
prepare the individual reports based on the results of the
verification process. The individual reports will be submitted
in court on December 23, 2004 followed by the general report on
March 7, 2005.

The city's Clerk no. 6 assists the court on the case, which will
close with the liquidation of the Company's assets to repay
creditors.

CONTACT: Mr. Manuel Arnaldo, Trustee
         Parana 224
         Buenos Aires


POLIGNANO A MARE: Court Grants Reorganization Plea
--------------------------------------------------
Polignano A Mare S.R.L., a company operating in Buenos Aires,
begins reorganization proceedings after court no. 8 of the
city's civil and commercial tribunal, with assistance from clerk
no. 15, granted its petition for "concurso preventivo".

During the reorganization, the company will be able to negotiate
a settlement proposal for its creditors so as to avoid a
straight liquidation.

According to Argentine news source Infobae, the reorganization
will be conducted under the direction of Mr. Alberto E.
Scravaglieri, the court-appointed trustee. Creditors with claims
against the Company must present proofs of the indebtedness to
the trustee before December 3, 2004. These claims will
constitute the individual reports to be submitted in court on
February 17, 2005.

The court also requires the trustee to present an audit of the
company's accounting and business records through a general
report due on April 5, 2004. The Informative assembly is
scheduled on September 27, 2005.

CONTACT: Polignano A Mare S.R.L.
         Sarmiento 1586
         Buenos Aires

         Mr. Alberto E Scravaglieri, Trustee
         Avda Roque Saenz Pena 651
         Buenos Aires


REFRIGERACION TECNOLOGICA: Asks Court for Reorganization
--------------------------------------------------------
Refrigeracion Tecnologica S.R.L., a company based in Buenos
Aires, requested for reorganization after failing to pay its
liabilities, says local news source Infobae.

The reorganization petition, once approved by the court, will
allow the company to negotiate a settlement with its creditors
in order to avoid a straight liquidation.

The case is pending before court no. 26 of the city's civil and
commercial tribunal. Clerk no. 51 assists the court on this
case.

CONTACT: Refrigeracion Tecnologica S.A.
         Ave. Gaona 1295
         Buenos Aires


SASSOON Y CIA: Reorganization Proceeds To Bankruptcy
----------------------------------------------------
Sassoon y Cia S.A.I.C., a Buenos Aires-based company that was
undergoing reorganization, was declared bankrupt. Argentine news
source Infobae relates that Judge Chomer of the city's civil and
commercial tribunal court no. 10 ruled that the Company is
"Quiebra Decretada."

The report adds that the court assigned Mr. Jorge Jalfin as
trustee, who will verify creditors' proofs of claim until
December 9, 2004.

Dr. Gomez, clerk no. 20, assists the court with the proceedings.

CONTACT: Sassoon y Cia S.A.I.C.
         Francisco Acuna de Figueroa 1030
         Buenos Aires

         Mr. Jorge Jalfin, Trustee
         Sarmiento 1452
         Buenos Aires


SOCIETE GENERALE: Puts Local Unit on the Auction Block
------------------------------------------------------
A spokesperson from the Argentine subsidiary of French bank
Societe Generale (Socgen) confirmed that the local unit is now
up for sale, reports Business News Americas.

Buenos Aires-based analysts believe that only domestic banks are
expected to participate in the upcoming operation.

Rafael Ber, managing director at local consultancy Argentine
Research, said international banks are not yet ready to return
to buying in Argentina as they are still licking their wounds
from the effects of the country's economic crisis in late 2001
and 2002.

At the same time, Hernan Fardi, a partner at the Maxinver
consultancy, believes that the largest foreign banks in
Argentina will expand their local operations but they will do so
organically and not through acquisitions because of the heavy
Argentine debt load they still sit on.

Ber and Fardi see local banks - Banex, Comafi and Hipotecario -
as the most likely buyers of Socgen in Argentina since they
stand to benefit the most from adding the French bank's client
portfolio to their own.

Socgen has operated in Argentina since 1940, and runs a
universal bank in the country with 60 branches, most of them in
Buenos Aires province. Outside the capital, the bank also has
some branches in other economically important cities like
Cordoba and Mendoza.


STEFANINI S.A.: Court OKs Creditor's Bankruptcy Call
-----------------------------------------------------
Stefanini S.A., a machine shop operating in Buenos Aires,
entered bankruptcy after judge Gutierrez Cabello of the city's
civil and commercial court no. 7 approved a bankruptcy motion
filed by Mr. Ramon Quinteros. La Nacion reports tha the
Company's failure to pay US$9,640.11 in debt prompted the
creditor to file the petition.

Working with Dr. O'Reilly, the city's clerk no. 13, the court
assigned Mr. Guillermo Ickowicz as trustee for the bankruptcy
process. The trustee'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 trustee before December 9, 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: Stefanini S.A.
         Avenida Juan B. Justo 3135
         Buenos Aires

         Mr. Guillermo Ickowicz, Trustee
         Talcahuano 768
         Buenos Aires


TECO MAX: Court Approves Creditor's Bankruptcy Motion
-----------------------------------------------------
Court no. 10 of Buenos Aires' civil and commercial tribunal,
under Judge Chomer, declared Teco Max S.R.L. bankrupt, says La
Nacion. The ruling comes in approval of the bankruptcy petition
filed by the Company's creditor, Union de Obreros y Empleados
Plasticos, for nonpayment of US$3,913.63 in debt.

The Company's trustee, Mr. Luis Stamati, will examine and
authenticate creditors' claims until November 22, 2004. This is
done to determine the nature and amount of the Company's debts.
Creditors must have their claims authenticated by the trustee by
the said date in order to qualify for the payments that will be
made after the Company's assets are liquidated.

Dr. Gigy Traynor, clerk no. 19, assists the court on the case
that will conclude with the liquidation of the Company's assets.

CONTACT: Teco Max S.R.L.
         Tucuman 410
         Buenos Aires

         Mr. Luis Stamati, Trustee
         Avenida Rivadavia 3320
         Buenos Aires


TRUCK WORLD: New Dates for Concurso Mercantil
---------------------------------------------
Court no. 8 of Buenos Aires' civil and commercial tribunal
changed the schedule of key events in the Truck World S.A.
"Concurso Mercantil Liquidatorio" proceedings to these dates:

1. Deadline for the verification of claims - November 9, 2004
2. Submission of Individual Reports - December 21, 2004
3. Submission of the General Report - March 10, 2005

Mr. Sergio Leonardo Novick serves as trustee for this case.

CONTACT: Mr. Sergio Leonardo Novick, Trustee
         Libertad 359
         Buenos Aires



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

FOSTER WHEELER: Franco Anselmi to Head Asia-Pacific Operations
--------------------------------------------------------------
Foster Wheeler Ltd. (OTCBB: FWLRF) announced that, effective
November 1, 2004, Franco Anselmi has been appointed chief
executive officer of Foster Wheeler Asia Pacific (APAC)

Mr. Anselmi will succeed Gareth Attwood, who will be assuming
the position of senior project director on one of Foster
Wheeler's major international projects.

"The Asia Pacific region has always been a key market for Foster
Wheeler, where we have built an impeccable track record for
executing safe, successful projects," said Raymond J.
Milchovich, chairman, president and CEO of Foster Wheeler Ltd.
"Franco will provide the experience and leadership to deliver
the company's full potential in this region."

Mr. Anselmi most recently has been responsible for project
management, process design, engineering, procurement and
construction in the company's execution centers in Italy,
France, Spain and Turkey as director of contract operations for
Foster Wheeler Continental Europe. He also has extensive project
execution experience gained as project director for major
projects in Europe and Asia. In the late 1980s, Mr. Anselmi
established Foster Wheeler's Singapore operation, which has gone
on to develop a reputation for EPC project execution excellence,
and he served as its managing director for four years. He holds
a degree in chemical engineering.

"Gareth has been instrumental in guiding the development of our
Thailand operations into one of the region's largest and most
cost-effective EPC operations," said Mr. Milchovich. "During the
last year, Gareth has led the establishment of Foster Wheeler
Asia Pacific, which has combined our engineering centers in
Thailand, Singapore, Malaysia and China under one leadership,
fully focused on providing clients in this strategically
important region with a complete, cost-effective and responsive
local service. We are grateful to him for his excellent work."

Foster Wheeler Ltd. is a global company offering, through its
subsidiaries, a broad range of design, engineering,
construction, manufacturing, project development and management,
research and plant operation services. Foster Wheeler serves the
refining, upstream oil and gas, LNG and gas-to-liquids,
petrochemical, chemicals, power, pharmaceuticals, biotechnology
and healthcare industries. The corporation is based in Hamilton,
Bermuda, and its operational headquarters are in Clinton, New
Jersey, USA.

CONTACTS: Foster Wheeler Ltd.
          Media Contact
          Ms. Maureen Bingert
          Phone: 908 730 4444
                 or
          Ms. Anne Chong
          Phone: +44 (0)118 913 2106

          Other Inquiries
          Phone: 908 730 4000

          Web Site: http://www.fwc.com/


LORAL SPACE: Unit to Provide Networking Solutions for Micron
------------------------------------------------------------
Loral Skynet announced Monday that it has signed an agreement
with Microm de Colombia Ltda, to provide Loral's SkyReach(SM) IP
access networking solution to Microm's broad customer base,
which includes government organizations, enterprises and
Internet cafes in Colombia and Latin America.

Microm will offer its customers SkyReach IP services under its
"2-Way" brand, which will feature SkyReach's two-way Internet
connectivity at speeds of 2 Mbps on the forward link and 512
Kbps on the return link.

Microm's end-users can select from a choice of on-site equipment
and various bandwidth options to meet specific networking needs,
such as satellite interactive terminals supporting different
data rates and networking features.

"Microm de Colombia is an important part of the Colombian and
Latin American telecommunication markets, and with SkyReach,
Microm will be able to provide its customers with extremely high
access speeds while delivering a superior quality service," said
Patrick Brant, president, Loral Skynet.

"Whether an organization's sites are in well-served or remote
areas, SkyReach will bring robust two-way communications
services over satellite."

"Loral Skynet's reputation, 40 years of experience and ability
to deliver communications services in Colombia and the entire
Latin American region were major factors in our decision to
select the SkyReach platform for delivering broadband Internet
connectivity," said Alberto Ochoa Marulanda, chief executive
officer and general manager of Microm de Colombia.

"Microm's 2-Way IP service will provide high speed access to the
Internet for organizations in Colombia and throughout Latin
America regardless of location."

SkyReach, which operates in Latin America using Loral's Telstar
12 satellite, offers services that complement existing frame
relay and multi-protocol label switching (MPLS) networks and
enable efficient network management.

SkyReach is optimized to provide a common IP platform on which
to converge data, voice and video requirements. New SkyReach
features, to be introduced later this year, will add improved
routing capabilities for attached local area networks, higher
data rates and enhanced quality of service management features.

A pioneer in the satellite industry, Loral Skynet continues to
deliver the superior service quality and range of satellite
solutions that have made it an industry leader for more than 40
years. Through the broad coverage of the Telstar satellite
fleet, in combination with its hybrid VSAT/fiber global network
infrastructure, Skynet is a source for all broadcast, data
network, Internet access, IP and systems integration needs.
Headquartered in Bedminster, New Jersey, Loral Skynet is
dedicated to providing secure, high-quality connectivity and
communications.

In addition to being the parent company of Loral Skynet, Loral
Space & Communications (OTC BB: LRLSQ) is a world-class leader
in the design and manufacture of satellites and satellite
systems for commercial and government applications through its
Space Systems/Loral subsidiary.

Microm De Colombia Ltda. is a wholesale company that has
operated in the Latin American market for over 10 years,
bringing integrated solutions to government, industry and
enterprises through its authorized distribution channels with
leading brands such as: Qbex, Lexmark, LG Electronics,
Microsoft, Intel, Hewlett Packard, Panasonic, Samsung, Creative,
Canon and others. Microm de Colombia works to provide its
customers with the highest standards of quality and performance.

CONTACT: Mr. John McCarthy
         Phone: (212) 338-5345

         Web Sites: http://www.loralskyne.com/
                    http://www.loral.com/



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

BANCO BISA: Moody's Withdraws Ratings
-------------------------------------
Moody's Investors Service withdraw the following ratings for
Bolivia's second-largest bank, Banco BISA S.A., citing business
reasons:

- Long Term Foreign Currency Deposit Rating: Caa1, with stable
  outlook

- Foreign Currency Issuer Rating: Caa1, with stable outlook

- Short Term Foreign Currency Deposit Rating: Not Prime, with
  stable outlook

- Bank Financial Strength Rating: E+, with stable outlook

Banco BISA listed assets of US $610.6 million as of December 31,
2003.



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

COPEL: Wins Construction Lots Concession
----------------------------------------
On September 30, Copel was the winner of the auction conducted
by the Brazilian Electricity Regulatory Agency ANEEL at the Sao
Paulo Stock Exchange for the concession of two construction lots
that will reinforce the electric power transmission system in
the State of Parana and the Brazilian South Region.

These works are essential to guarantee the reliance of the
energy supply for the West and North regions of the State of
Parana, reducing the probability of breakdown or supply
limitation during contingency situations. Such works will also
mean a substantial reinforcement of the consumer supply
capacity, allowing the connection of new establishments,
generating jobs, income and life quality to the people.

The two lots were auctioned separately. In one of them, Copel
participated with Eletrosul, having a major stake (80%, against
20% from Eletrosul) and obatined the right to build the Cascavel
Oeste/Foz do Igua‡u Norte transmission line, with an extension
of 115 Km (230 thousand volts), including the construction of a
new substation in Foz do Igua‡u, with a 150 MVA capacity.

The consortium led by Copel offered annual remuneration of
R$11.06 million, representing a 0.59% discount from the maximum
annual compensation allowed by Aneel (of R$11.13 million). The
works should be ready within 20 months, maximum, starting from
the Concession Agreement signature date, expected to take place
at the end of this year. The investments required are estimated
at R$55 million.

On the other auction lot, also with Eletrosul, but with a minor
participation of 5%, Copel was part of a consortium to build a
525 thousand volts circuit integrating Ivaipora and Londrina.
This new line, with an extension of 120 Km, will be essential to
ensure full reliance on the supply for Londrina (the second
largest city in the State of Parana) and the nearby region,
which are nowadays strongly depended on only one circuit of 525
thousand volts. In the future, with the construction already
planed by Aneel of a new substation with the same voltage in the
State of Sao Paulo, this transmission line will also reinforce
the integration of the for South and Southeast submarkets
electric system.

The investments are estimated at R$100 million and the works
should be concluded within 18 months, maximum, from the
signature of the Concession Agreement. For the concession, the
consortium proposed an annual remuneration of R$14.37 million, a
27.5% discount in comparison to the maximum remuneration allowed
by Aneel (R$19.8 million).

Besides Copel, Eletrosul (44%), Cymi Contr¢l y Montajes
Industriales (31%) and Santa Rita Engenharia (20%) are the
participants of the Consortium.

CONTACT: Companhia Paranaense de Energia - Copel
         Investor Relations Department
         Mr. Ricardo Portugal
         (55-41) 331-4311

         Mr. Alves Solange Maueler Gomide
         (55-41) 331-4359

         E-Mail: ri@copel.com
         Web Site: www.copel.com



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

KAISER ALUMINUM: Completes $23M Sale of US, Jamaican Assets
-----------------------------------------------------------
Kaiser Aluminum (OTCBB: KLUCQ) said it completed the previously
announced sale of its interests in and related to the Gramercy,
Louisiana, alumina refinery and the KJBC bauxite mining
operation in Jamaica to Gramercy Alumina LLC and St. Ann Bauxite
Limited, subsidiaries of Century Aluminum Company and Noranda,
Inc. for cash proceeds of approximately $23 million, subject to
certain adjustments.

As previously disclosed, Kaiser expects that it will use a
substantial portion of the proceeds to satisfy certain retained
obligations and to fund certain transaction-related costs.

Kaiser Aluminum is a leading producer of fabricated aluminum
products, alumina, and primary aluminum.

CONTACT: Kaiser Aluminum Corp.
         5847 San Felipe
         Suite 2500
         P.O. Box 572887
         Houston, TX 77257-2887
         USA
         Phone: 713-267-3777
         Web Site: http://www.kaiseral.com/



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

AXTEL: Starts Saltillo Service
------------------------------
AXTEL, S.A. de C.V., a Mexican telecommunications company,
announced Monday the official commencement of its operations in
the city of Saltillo in the presence of the Governor of the
State of Coahuila, Enrique Martinez y Martinez.

It was reported that the amount of the direct investment to be
made by AXTEL in Saltillo is $15 million dollars.

Tomas Milmo Santos, AXTEL CEO, delivered a brief speech, and
afterwards the Governor of the State made the first call over an
AXTEL line.

The event was also attended by Humberto Moreira Valdes, Mayor of
Saltillo; Ernesto Saro Boardman, Mayor of Ramos Arizpe; Samuel
Lee, AXTEL Executive Director for the North-Western Region;
Rogelio Santos, who will be in charge of AXTEL operations in
Saltillo, as well as members of the state and municipal
cabinets, among other distinguished personalities.

It was also pointed out that AXTEL's telephony network is
already covering 80% of the city of Saltillo, providing users in
the residential and business sectors with telephone, Internet,
and advanced data services.

"Supported by our operating stability, our financial strength,
and the expeditiousness that has enabled us to know how to
anticipate our clients' needs, we are confident that our
excellent service will win a trustworthy reputation for us.
Moreover, our plans also include a significant contribution to
the economic development of the state, through the introduction
of basic telecommunications infrastructure with state-of-the-art
technology, " said Samuel

AXTEL, which will invest $145 million dollars over this year to
fulfill its growth plan nationwide, has currently installed over
400 thousand lines in Mexico City, Monterrey, Guadalajara,
Puebla, Leon, Toluca, Queretaro, and San Luis Potosi.

Likewise, AXTEL offers various access technologies, including
fixed wireless telephony, point-to-point radio links, point-to-
multipoint radio links, and fiber optics, to meet the
communication solution requirements of its customers.

At present AXTEL has the largest fixed wireless telephony
network in the world as well as metropolitan fiber optic
networks with the most advanced technology in Latin America.

AXTEL is a Mexican telecommunications company that provides
local telephone services, national and international long
distance services, data, internet, virtual private nets, and
value added services. AXTEL has provided Mexico with a basic
telecommunications infrastructure through an intelligent net
that offers wide coverage to all markets. At present, it is
operating in Mexico City, Monterrey, Guadalajara, Puebla, Leon,
Toluca, and Queretaro.

AXTEL has brought to the market various access technologies that
include fixed wireless telephony, point-to-point radio links,
point-to-multipoint radio links, and fiber optics, all of which
are offered to match the communication solutions that its
customers require.

Fifty eight percent of AXTEL capital is Mexican. The remaining
42% belongs to foreign investors, among which are, mainly, AIG-
GE Capital Latin American Infrastructure Fund (LAIF); AIG Latin
American Equity Partners; Blackstone Group; American
International Underwriters Overseas Ltd., and Soros Group.

CONTACT: Axtel S.A. de C.V.
         Mr. Jose Manuel Basave
         Corporate Communication, Director
         e-mail: contacto@axtel.com.mx


AXTEL: Expects to Invest $15M in Aguascalientes Operations
----------------------------------------------------------
AXTEL, S.A. de C.V., a Mexican telecommunications company,
announced on September 30 the official commencement of its
operations in the city of Aguascalientes in the presence of the
Governor of the State, Juan Jose Leen Rubio, who made the first
call over an AXTEL line.

During the opening event, Tomas Milmo Santos, AXTEL CEO,
delivered a brief speech to thank the San Luis authorities and
society for this opportunity to provide telephone services in
Aguascalientes.

The event was also attended by Samuel Lee, AXTEL Executive
Director for the North-Western Region; Javier Rodriguez, who
will be in charge of AXTEL operations in Aguascalientes, as well
as members of the state and municipal cabinets, among other
distinguished personalities.

AXTEL pointed out that it has projects for making a direct
investment of $15 million dollars in this city over the next
five years.

It was also emphasized that AXTEL's network is initially
offering coverage to 85% of the population, providing users in
the residential and business sectors with telephone, Internet,
and advanced data services.

"As of this moment, when we are starting operations, we will
focus our efforts in winning the Aguascalientes society's trust
by meeting and exceeding our clients' expectations, supported by
our technology, our quality culture, and the true spirit of
service of our entire personnel," said Samuel Lee.

AXTEL, which will invest $145 million dollars over this year to
fulfill its growth plan nationwide, has currently installed over
400 thousand lines in Mexico City, Monterrey, Guadalajara,
Puebla, Leon, Toluca, Queretaro and San Luis Potosi.

Likewise, AXTEL offers various access technologies, including
fixed wireless telephony, point-to-point radio links, point-to-
multipoint radio links, and fiber optics, to meet the
communication solution requirements of its customers.

At present AXTEL has the largest fixed wireless telephony
network in the world as well as metropolitan fiber optic
networks with the most advanced technology in Latin America.

AXTEL is a Mexican telecommunications company that provides
local telephone services, national and international long
distance services, data, internet, virtual private nets, and
value added services. AXTEL has provided Mexico with a basic
telecommunications infrastructure through an intelligent net
that offers wide coverage to all markets. At present, it is
operating in Mexico City, Monterrey, Guadalajara, Puebla, Leon,
Toluca, and Queretaro.

AXTEL has brought to the market various access technologies that
include fixed wireless telephony, point-to-point radio links,
point-to-multipoint radio links, and fiber optics, all of which
are offered to match the communication solutions that its
customers require.

Fifty eight percent of AXTEL capital is Mexican. The remaining
42% belongs to foreign investors, among which are, mainly, AIG-
GE Capital Latin American Infrastructure Fund (LAIF); AIG Latin
American Equity Partners; Blackstone Group; American
International Underwriters Overseas Ltd., and Soros Group.

CONTACT: Axtel S.A. de C.V.
         Mr. Jose Manuel Basave
         Corporate Communication, Director
         e-mail: contacto@axtel.com.mx



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

VENEZUELA: Adjusts Bond Interest Rates
--------------------------------------
JPMorgan Chase announces new interest rates covering the period
September 30, 2004 to March 31, 2005 for these Front Loaded
Interest Reduction Bonds issued by the Republic of Venezuela:


               The Republic of Venezuela
                      US$912,939,000
      Front Loaded Interest Reduction Bonds Due 2007
              USD Interest Reduction Series B

In accordance with the provisions of the Bonds, notice is hereby
given that for the Interest Period from September 30, 2004 to
March 31, 2005 the Bonds will carry an Interest Rate of 3.0625%
per annum. The Total Interest payable on the relevant interest
payment date March 31, 2005 will be US$3.69 per US$1,000 nominal
amount of which US$238.08 remains outstanding.


                The Republic of Venezuela
                       SFr153,280,000
     Front Loaded Interest Reduction Bonds Due 2007
                 SFr Interest Reduction Series

In accordance with the provisions of the Bonds, notice is hereby
given that for the Interest Period from September 30, 2004 to
March 31, 2005 the Bonds will carry an Interest Rate of 1.6875%
per annum. The Interest payable on the relevant interest payment
date March 31, 2005 will be SFr2.03 per SFr1,000 nominal amount
of which SFr238.08 remains outstanding.


                The Republic of Venezuela
                    US$1,670,370,000
         Front Loaded Interest Reduction Bonds Due 2007
              USD Interest Reduction Series A

In accordance with the provisions of the Bonds, notice is hereby
given that for the Interest Period from September 30, 2004 to
March 31, 2005 the Bonds will carry an Interest Rate of 3.0625%
per annum. The Interest payable on the relevant interest payment
date March 31, 2005 will be US$3.69 per US$1,000 nominal amount
of which US$238.08 remains outstanding.

CONTACT: JPMorgan Chase & Co.
         270 Park Avenue
         New York, NY 10017-2070
         Phone: (212) 270-6000

         Web Site: http://www.jpmorgan.com/



                            ***********


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

Troubled Company Reporter - Latin America is a daily newsletter
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Copyright 2004.  All rights reserved.  ISSN 1529-2746.

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