TCRLA_Public/041011.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

          Monday, October 11, 2004, Vol. 5, Issue 201

                            Headlines


A R G E N T I N A

CABLEVISION: Seeks Rescheduled Meeting Pending Court Ruling
CALVANI S.A.: Declared Bankrupt by Court
CETRAR S.A.: Bankruptcy Process Begins By Court Order
CONIX S.A.: Court Issues Bankruptcy Ruling
CRESUD: Shareholders Meeting Set for October 22

DOLANCOR S.A.: Files Petition to Reorganize
DROGUERIA PALERMO: Court Declares Company Bankrupt
GATIC: Initiates Bankruptcy Proceedings
GUESDA S.R.L.: Bankruptcy Process Begins by Court Order
IRSA: Sets Annual Shareholders Meeting for October 22

LANSTON S.A.: Enters Bankruptcy on Court Orders
LIBERO S.A.: Set to Liquidate Assets
PAN AMERICAN ENERGY: Issues $100M, 5-Yr. Bonds
PAN AMERICAN ENERGY: $100M Bonds Get `B' Rating
SANCOR: S&P Reaffirms 'raD' Rating to Various Bonds

TECNO MAX: Asset Liquidation Proceeds As Court Oversees
TELECOM PERSONAL: Updates Participation In Its APE Solicitation
UBOLDO S.A.: Court Rules Company Bankrupt
* ARGENTINA: Reaches Debt Accord With Pension Funds


B E R M U D A

AIG CASPIAN: Proceeds With Voluntary Wind-Up
ALLEN INSURANCE: Member Decides on Voluntary Wind-Up
ALTON HOLDINGS: Names Robin Mayor as Liquidator
CAPMAC ASIA: Appoints Liquidator for Company Wind-Up
EMMY INVESTMENTS: Members Consent to Wind-Up


B R A Z I L

EMBRATEL: Reappoints Jose Martinez in Board
NET SERVICOS: S&P Issues Updated Rating
UNIBANCO: Allows GDRs to UNITs Conversion Without Charge
VASP: Gains Six-Month Extension on Operating License


E C U A D O R

ECUADOR: Fitch Upgrades Rating to 'B-'


M E X I C O

HYLSAMEX: Preliminary 3Q04 Operating Figures Show Improvement
TV AZTECA: Morgan Stanley Cuts Share Recommendation


N I C A R A G U A

NUEVO CONTINENTE: Employees Sell Ownership to Private Firm


P E R U

LANPERU: Court Orders Flight Suspension


P U E R T O   R I C O

CENTENNIAL COMMUNICATIONS: Fiscal 1Q05 Show Improvement


     - - - - - - - - - -

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

CABLEVISION: Seeks Rescheduled Meeting Pending Court Ruling
-----------------------------------------------------------
Argentine cable operator Cablevision SA (CBV.YY) is seeking to
delay a bondholders meeting originally set for Oct. 15 to Nov.
17, reports Dow Jones Newswires. Bondholders are to vote on
Cablevision's US$725 million debt at the said meeting.

In a filing with the U.S. Bankruptcy Court in the Southern
District of New York, Cablevision said it wants to postpone the
meeting until after a U.S. judge is expected to rule in a
creditor dispute.

In August, SHL Co., a group of U.S. bondholders, filed a suit
against Cablevision in U.S. federal district court, saying the
cable operator violated U.S. laws by selling the securities in
the U.S. but pursuing a debt restructuring in Argentina.

Cablevision then filed a Section 304 petition in bankruptcy
court. A Section 304 allows a court to prohibit and stay actions
against a company and its assets.

On Wednesday, Judge Shirley Wohl Kram of the Southern District
of New York granted a petition filed by SHL to move the dispute
to federal district court from bankruptcy court.

The bondholder group had also requested that Cablevision
postpone its creditor vote until after the U.S. court rules in
the dispute. Arguments in the case will be presented on Nov. 3.

CONTACT:  Santiago Pena
          (5411) 4778-6520
          E-mail: spena@cablevision.com.ar

          Martin Pigretti
          (5411) 4778-6546
          E-mail: mpigretti@cablevision.com.ar

          Web site: http://www.cablevision.com.ar


CALVANI S.A.: Declared Bankrupt by Court
----------------------------------------
Textile firm Calvani S.A. is now bankrupt after court no. 3 of
Buenos Aires' civil and commercial tribunal declared it
"Quiebra", Infobae reports without revealing the name of the
court-appointed trustee. A trustee will be named by the court to
review creditor's claims and supervise the liquidation
proceedings. Analyzing creditor claims will help determine the
amount each creditor will get after all the assets of the
Company are liquidated.

The court, aided by clerk no. 5, will conclude the bankruptcy
process by liquidating its assets to repay creditors.

CONTACT: Calvani S.A.
         Tinogasta 3876
         Buenos Aires


CETRAR S.A.: Bankruptcy Process Begins By Court Order
-----------------------------------------------------
Court no. 14 of Buenos Aires' civil and commercial tribunal
declared local company Cetrar S.A. "Quiebra," reports Infobae.
The declaration signals the Company to proceed with the
bankruptcy process that will close with the liquidation of its
assets.

The court, assisted by clerk no. 28, appointed Mr. Angel Vello
Vazquez, as trustee who will authenticate proofs of claim until
December 10, 2004. Afterwards, the trustee will prepare the
individual reports based on the results of the authentication
and then submit these reports to court on February 22, 2005.
Once these results are processed in court, the trustee will then
submit the general report on April 12, 2005.

CONTACT: Mr. Angel Vello Vazquez, Trustee
         Viamonte 1592
         Buenos Aires


CONIX S.A.: Court Issues Bankruptcy Ruling
------------------------------------------
Conix S.A. will now enter bankruptcy after court no. 23 of
Buenos Aires' civil and commercial tribunal declared it
"Quiebra," reports Infobae. The report did not name the trustee
who will supervise the liquidation nor provide dates for key
events in the bankruptcy proceedings.

CONTACT: Conix S.A.
         Moldes 2347
         Buenos Aires


CRESUD: Shareholders Meeting Set for October 22
-----------------------------------------------
Cresud Sociedad Anonima Comercial, Inmobiliaria, Financiera y
Agropecuaria calls the Annual General and Special Meeting of
Shareholders to be held on October 22, 2004; 10:30 a.m. outside
the company's corporate domicile at Bolivar 108, 1st Floor, City
of Buenos Aires, for the purpose of discussing these items:

1. Appointment of two shareholders to approve and subscribe the
Minutes of the meeting;

2. Consideration of the documentation required by Section 234,
paragraph 1§ of Law 19 550, for the fiscal year ended June 30,
2004;

3. Consideration of the performance of duties by the Board of
Directors;

4. Consideration of the performance of duties by the Statutory
Audit Committee;

5. Consideration of treatment and allocation of loss and profits
for FY ended June 30, 2004 yielding a profit of $32,103,022;

6. Consideration of the acts of the Board of Directors as
regards tax on personal assets of shareholders, in its capacity
as substitute taxpayer;

7. Consideration of Board of Directors and supervisory committee
compensation for fiscal year ended June 30, 2004 amounting to
$2,383,135- (total compensation), in excess of $739,085 - over
the five percent (5%) profit limit set forth in section 261 of
Law No. 19 550 and the Regulations of the Securities and
Exchange Commission - Comision Nacional de Valores, considering
the proposal not to distribute dividends;

8. Consideration of the Audit Committee's compensation for the
FY ended June 30, 2004;

9. Determination of the number and election of Regular and
Alternate Directors, if applicable. Consideration of the
resignation submitted by Mr. M.M. Mindlin;

10. Appointment of Regular and Alternate Members of the
Statutory Audit Committee;

11. Appointment of a Company Accountant to certify during the
next fiscal year and determination of his/her compensation;

12. Report on the execution of a contract for the exchange of
corporate services;

13. Report on the creation of the Auditing Committee;
14. Consideration of the creation of a Global Program for the
Issue of Simple Corporate Bonds, Not Convertible into Shares,
with special, ordinary or floating guarantee, or guaranteed by
third parties, and for a maximum outstanding amount of up to
US$30,000,000 (Thirty million US dollars) or its equivalent in
any currency, pursuant to the provisions set forth in Law No. 23
576 ("Corporate Bonds Law [ ley de obligaciones negociables ]")
as amended and updated (the "Program");

15. Consideration of (i) delegation in the Board of Directors,
pursuant to applicable laws, of the powers to obtain from the
Securities and Exchange Commission ("CNV") the necessary
authorization for the creation of the program and of the
corporate bonds to be issued within such program (the "corporate
bonds - obligaciones negociables "), and to negotiate, accept,
determine and establish all the conditions applicable to the
program and to the corporate bonds which are not expressly
determined by the meeting of shareholder, including, without
limitations, the amount (within the maximum amount stated by the
meeting of shareholders), time of issuance, term, price, method
of placement and conditions of payment, request for
authorization for public offering in Argentina and/or abroad,
negotiation in Argentine markets and/or foreign markets,
interest rate, that they be issued in one or several classes
and/or series, that they quote or not in stock markets and/or
over-the-counter markets in Argentina and/or abroad, and to
establish any other condition as the Board of Directors may deem
suitable and (ii) the authorization granted to the Board of
Directors to sub- delegate in one or more directors and/or
managers of the company the exercise of the powers referred to
in paragraph (i) above and the execution of all the proceedings
required for such purpose;

NOTE: The Company's Record of Book-entry Shares is kept by Caja
de Valores S.A. (CVSA) domiciled at 25 de Mayo 362, City of
Buenos Aires. Consequently, shareholders are required, for the
purpose of attending the Meeting, to obtain a certificate of the
book-entry shares account issued by CVSA and submit it for
filing at the registered office located at Moreno 877, floor 23,
City of Buenos Aires from 10 a.m. to 5 p.m. by October 18, 2004.
The necessary authorization for admission to the Meeting shall
be delivered to depositing shareholders. For consideration of
paragraphs 6), 12) and 13) the Meeting shall be deemed Special,
therefore, a quorum of 60% shall be required. The II Vice-
president was elected according to Minutes of Meeting held on
10-31-03 and of allocation of offices Nø1102 on 11-11-03.

CRESUD: Cresud S.A.C.I.F. y A.
        Av. Roque Saenz Pena 832
        8th Fl.
        Buenos Aires, Argentina
        Phone: 001-54-1-3287808


DOLANCOR S.A.: Files Petition to Reorganize
-------------------------------------------
Dolancor S.A. filed a "Concurso Preventivo" motion, reports
Infobae. The Company is seeking to reorganize its finances after
failing to pay its debts. The Company's case is pending before
court no. 24 of Buenos Aires' civil and commercial tribunal.
Clerk no. 48 assists the court with the proceedings.

CONTACT: Dolancor S.A.
         Sarmiento 846
         Buenos Aires


DROGUERIA PALERMO: Court Declares Company Bankrupt
--------------------------------------------------
Drogueria Palermo S.A. entered bankruptcy on orders from court
no. 16 of Buenos Aires' civil and commercial tribunal, reveals
Infobae.

Working with clerk no. 31, the court assigned Mr. Carlos Alberto
Vertzman as trustee. He is to verify creditors' claims until
December 6, 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.

CONTACT: Mr. Carlos Alberto Vertzman, Trustee
         Bartolome Mitre 3120
         Buenos Aires


GATIC: Initiates Bankruptcy Proceedings
---------------------------------------
Court no. 7 of Buenos Aires' civil and commercial tribunal
declared Gatic S.A.I.C.F.I.A. "Quiebra," reports Infobae. Clerk
no. 14 assists the court on the case that will close with the
liquidation of the Company's assets to repay creditors.

Accounting firm "Estudio Carelli, Martino", appointed as
trustee, will verify creditors' claims until November 18, 2004
and then prepare the individual reports based on the results of
the verification process. The individual reports will then be
submitted to court on April 8, 2005, followed by the general
report on June 14, 2005

CONTACT: "Estudio Carelli, Martino"
          Trustee
          Lavalle 1118
          Buenos Aires


GUESDA S.R.L.: Bankruptcy Process Begins by Court Order
-------------------------------------------------------
Guesda S.R.L., operating in the city of Buenos Aires, entered
bankruptcy as court no. 12 of the city's civil and commercial
tribunal ruled that it is "Quiebra." Infobae reveals that the
city's clerk no. 23 aids the court on the process.

The court appointed Mr. Hugo Daniel Pantaleo as the Company's
trustee. Creditors must submit their proofs of claims to the
trustee for verification before November 30, 2004. The trustee
is also required to prepare the individual and general reports
on the bankruptcy process. The individual reports are due on
February 9, 2005 followed by the general report on March 23,
2005.

CONTACT:  Mr. Hugo Daniel Pantaleo, Trustee
          Avda Corrientes 1450
          Buenos Aires


IRSA: Sets Annual Shareholders Meeting for October 22
-----------------------------------------------------
Inversiones y Representaciones S.A. (IRSA) will hold the Annual
General and Special Meeting of Shareholders on October 22, 2004;
9:45 a.m., at the company's corporate domicile located at
Bolivar 108, First Floor, Federal Capital, to discuss these
items:

1. Appointment of two shareholders to approve and subscribe the
Minutes of the meeting;

2. Consideration of the documentation required by Section 234,
paragraph 1 of Law 19 550, for the fiscal year ended June 30,
2004;

3.Consideration of the performance of duties by the Board of
Directors;

4. Consideration of the performance of duties by the Statutory
Audit Committee;

5. Treatment and allocation of loss and profits for FY ended
June 30, 2004 yielding a profit of $ 87,862,000;

6. Consideration of the Board of Directors' compensation
($6,500,000 allocated amount) for the FY ended June 30, 2004,
yielding a loss, calculated pursuant to the provisions set forth
in the Regulations of the Securities and Exchange Commission
Comision Nacional de Valores;

7. Consideration of the Statutory Audit Committee's compensation
for the fiscal year ended June 30, 2004;

8. Consideration of the resignation submitted by Mr.
M.M.Mindlin;

9. Determination of the number and election of Regular and
Alternate Directors, if applicable;

10. Appointment of regular and alternate members of the
Statutory Audit Committee;

11. Appointment of a Company Accountant to certify during the
next fiscal year and determination of his/her compensation;

12. Report on the creation of the Auditing Committee;

13. Consideration of the acts of the Board of Directors as
regards tax on personal assets of shareholders, in its capacity
as substitute taxpayer;

14. Report on the execution of a contract for the exchange of
corporate services;

Note: The Company's Record of Book-entry Shares is kept by Caja
de Valores S.A. (CVSA), domiciled at 25 de Mayo 362, Federal
Capital. Consequently, shareholders are required, for the
purpose of attending the Meeting, to obtain a certificate of the
book-entry shares account issued by CVSA and to submit it for
filing at Moreno 877, Floor 23, Federal Capital from 10 a.m. to
5 p.m. by October 18, 2004. The necessary authorization for
admission to the Meeting shall be delivered to depositing
shareholders. For consideration of paragraphs 12, 13 and 14, the
Meeting shall be deemed Special; therefore, a quorum of 60%
shall be required. The Vice-president was elected according to
Minutes of Meeting held on 10-31-03 and of allocation of offices
Nø1454 on 11-03-03 and Nø1458 on 11-25-03.

CONTACT: Inversiones y Representaciones S.A. IRSA
         1066
         Bolivar 108
         Buenos Aires, Argentina
         Phone: 541-342-7555


LANSTON S.A.: Enters Bankruptcy on Court Orders
-----------------------------------------------
Buenos Aires-based candy manufacturer Lanston S.A. begins
liquidation proceedings after court no. 6 of the city's civil
and commercial tribunal opened its bankruptcy. Under bankruptcy
protection, control of the Company's assets will be transferred
to a court-appointed trustee who will direct the liquidation
process.

Local news source Clarin reports that clerk no. 12 assists the
court on this case.

CONTACT: Lanston S.A.
         Billinghurst 2476
         Buenos Aires
         Phone:(11) 47812064
         Fax:(11) 47843963
         e-mail: lanston@infovia.com.ar


LIBERO S.A.: Set to Liquidate Assets
------------------------------------
T.C. Interplata S.A. successfully sought for the bankruptcy of
local construction company Libero S.A. after court no. 2 of the
city's civil and commercial tribunal declared the Company
"Quiebra." Clarin reports that unpaid debts totaling ARS9,121
prompted the creditor to file the bankruptcy motion. The city's
clerk no. 4 assists the court on this case.

CONTACT: Libero S.A.
         Avda. Diaz Velez
         Buenos Aires


PAN AMERICAN ENERGY: Issues $100M, 5-Yr. Bonds
----------------------------------------------
Pan American Energy launched Thursday the sale of $100 million
in five-year, fixed-rate notes under a US$1 billion program
approved in 2002, reports Dow Jones. Interested investors have
until Oct. 20 to tender their offers. Deutsche Bank SA and Banco
de Valores SA are handling the sale within Argentina.

Pan American, whose majority shareholder is BP-PLC (BP), last
tapped international debt markets in October, when it issued
US$15 million in new two-year bonds to raise working capital.

Moody's Investor Service assigned a B1 rating on the US$100
million issue, reflecting the company's solid reserves and
"appropriately conservative financial leverage.". But Pan
American, like much of Argentina's energy sector, is subject to
key points of uncertainty, including a recent government-ordered
hike in fuel export duties.


PAN AMERICAN ENERGY: $100M Bonds Get `B' Rating
-----------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' rating to
Argentina-based oil and gas company Pan American Energy LLC
Sucursal Argentina's (the Branch) issuance of five-year $100
million bonds.

"Since the bonds will be guaranteed by Pan American Energy LLC
(PAE), the Branch's sole owner, the rating on the current issue
relies on PAE's ratings," said Standard & Poor's credit analyst
Pablo Lutereau. "The Branch is PAE's most important subsidiary,
accounting for 77% of the production during 2003 and 55% of the
reserves as of December 2003."

The ratings on Argentina-based oil and gas producer Pan American
Energy LLC (PAE) reflect its heavy concentration in the Republic
of Argentina, exposing the company to the risks of operating
under a highly uncertain and rapidly changing economic and
regulatory environment and a significant need for capital
expenditures to develop its large reserve base. The ratings also
incorporate the company's relatively large reserve base, low
operating costs, moderate financial policy, and a very sound
financial performance despite the Argentine crisis since 2001.

The stable outlook reflects Standard & Poor's expectations that
PAE will maintain strong coverage ratios during the next few
years, even with lower crude oil prices in the international
markets. In addition, the current outlook incorporates some
additional intervention from the Government, which nevertheless
does not completely jeopardize the profitability and cash flow
generation ability of the company.


SANCOR: S&P Reaffirms 'raD' Rating to Various Bonds
---------------------------------------------------
Standard & Poor's International Ratings, Ltd. Sucursal Argentina
rates corporate bonds issued by Sancor Coop. Unidas Ltda. 'raD',
according to the National Securities Commission.

The default ratings applies to:

- US$300 million of "Programa de Obligaciones Negociables",
under program. Maturity date is April 23, 2006.

-- US$19 million of "Serie 2, bajo el Programa de Ons. por U$
300 millones", under "Series and/or class". These bonds mature
on January 27, 2004.

-- US$75.8 million of "Serie 3, bajo el Programa de Ons. por U$S
300 millones", also under "series and/or class". Bonds mature on
January 27, 2004.

The ratings agency said that an obligation is rated 'raD' when
it is in payment default of the obligor has filed for
bankruptcy.

CONTACT: SanCor Coop. Unidas Ltda.
         Tacuari 202
         Buenos Aires
         Argentina

         Phone: 54-11-5382 7230
         Fax: 54-11-5382 7208


TECNO MAX: Asset Liquidation Proceeds As Court Oversees
-------------------------------------------------------
Buenos Aires-based Tecno Max S.R.L. secures bankruptcy
protection after court no. 10 of the city's civil and commercial
tribunal opened the Company's "Quiebra" proceedings.

The court, assisted by clerk no. 19, appointed Mr. Luis Horacio
Stamati as trustee who will authenticate proofs of claim until
November 22, 2004. Afterwards, the trustee will prepare the
individual reports based on the results of the authentication
and then submit these reports to court on February 4, 2005. Once
the individual reports have been approved, the trustee will then
submit the general report on March 18, 2005.

CONTACT: Mr. Luis Horacio Stamati, Trustee
         Avda Rivadavia 3320
         Buenos Aires


TELECOM PERSONAL: Updates Participation In Its APE Solicitation
---------------------------------------------------------------
Telecom Personal S.A. ("Telecom Personal"), the wireless mobile
communications subsidiary of Telecom Argentina S.A. ("Telecom"),
announced Wednesday that it has achieved 100% participation in
its Acuerdo Preventivo Extrajudicial ("APE") solicitation
process, and intends to pursue an out-of-court restructuring
without seeking court approval of the APE.

Under the terms of the APE, Telecom Personal reserved the right
to pursue an out-of-court restructuring without seeking court
approval of the APE in the event that it obtained support from
at least 95% of its outstanding debt.

After applying the principal face amount adjustment factor of
1.063 to the principal amount of the debt participating in the
APE, approximately US$45.8 million, including intercompany
loans, selected Option A, approximately US$537.4 million
selected Option B and approximately US$14.1 million selected
Option C. The U.S. dollar equivalent amounts were determined
based on the foreign exchange rates on the FX Reference Date of
August 18, 2004 and the relevant CER adjustment, as defined in
the Telecom Personal APE Solicitation Statement.

In accordance with the terms of the debt restructuring, 27.5% of
the debt selecting Option B, or approximately US$147.8 million,
will be allocated from Option B to Option C on a pro rata basis.
The purchase price for Option C will be 850 per 1,063 of
principal amount of outstanding debt and related principal face
amount adjustment.

The following table summarizes the debt that will be allocated
to participating holders under each option.

(US$ in millions)           Option A    Option B     Option C

Principal amount of
  loans selecting option       43.1       505.5        13.3
Principal face amount
  adjustment factor             1.063       1.063       1.063
Principal amount of loans
  plus principal face amount
  adjustment selecting option  45.8       537.4        14.1
Factor to allocate loans
  from Option B to Option C               27.5 %
Allocation of loans
  from Option B to Option C             (147.8 )      147.8
Principal amount of loans plus
  principal face amount
  adjustment allocated to
  participating holders under
  option                       45.8      389.6        161.9
Cash to purchase loans in
  Option C                                            129.4
Principal face amount of new
  loans to be issued to
  participating holders        45.8    366.5

The debt amounts discussed above are for Telecom Personal on an
unconsolidated basis and do not include the debt of Nucleo S.A.,
Telecom Personal's 67.5% owned Paraguayan mobile communications
subsidiary.

Telecom Personal expects to sign the APE agreement with its
creditors and complete its debt restructuring through an out-of-
court APE before the end of 2004.

For additional information please contact:

    TELECOM ARGENTINA / TELECOM PERSONAL S.A.
           Pedro Insussarry
           Moira Colombo
           Gaston Urbina
         (54-11) 4968-3743
         (54-11) 4968-3627
         (54-11) 4968-3628

     MORGAN STANLEY & CO. INCORPORATED
     Carlos Medina
     (1-212) 761-6520

     MBA BANCO DE INVERSIONES S.A.
     Diego Steverlynck
     (54-11) 4319-5865

Telecom Personal, a subsidiary of Telecom Argentina, is a
company incorporated under the laws of Argentina with its
registered office at Alicia Moreau de Justo 50, C1107AAB, Buenos
Aires, Argentina. Telecom Personal is Argentina's leading
cellular operator. It also owns a subsidiary that operates a
mobile license in Paraguay.


UBOLDO S.A.: Court Rules Company Bankrupt
-----------------------------------------
Court no. 11 of Buenos Aires' civil and commercial tribunal
decreed the bankruptcy of Uboldo S.A., reports Infobae. The
Company will start the process with Mr. Orlando Omar Vegega as
trustee, who will verify creditors' claims until November 25,
2004. The Company's case will conclude with the liquidation of
its assets to repay creditors. The city's clerk no. 21 assists
the court in handling the proceedings.

CONTACT: Mr. Orlando Omar Vegega, Trustee
         Aguirre 666
         Buenos Aires


* ARGENTINA: Reaches Debt Accord With Pension Funds
---------------------------------------------------
Argentina has struck an accord with holders of about 17% of the
country's defaulted debt, Bloomberg reports, citing a government
official. Economy Minister Roberto Lavagna announced that the
government has agreed to swap about US$16 billion of defaulted
bonds held by Argentine pension funds for new debt. The
government sweetened its previous offer by agreeing to give the
pension funds bonds with shorter maturities in exchange for
US$2.3 billion of the US$16 billion of defaulted debt.

An early accord with the pension funds boosts the government's
aim to win widespread acceptance of any formal offer. The
government hopes it will create a snowball effect with local
investors who hold about half the defaulted debt.

Argentina, which staged the world's largest-ever debt default in
January 2002, is due to make a formal, detailed debt offer as
early as this week after having cleared the latest procedural
hurdle with the U.S. Securities and Exchange Commission.

Argentina unveiled in June an outline of its debt offer, saying
it plans to swap US$40 billion in new debt for the US$100
billion in default, which includes unpaid due interest.

Many creditor groups rejected the proposal as offering to repay
what they said amounted to only 23 cents to 25 cents on the
dollar, when discounting for such factors as interest rates on
alternative investments, risk and inflation.



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

AIG CASPIAN: Proceeds With Voluntary Wind-Up
----------------------------------------------
At a Special General Meeting of the Sole Member of AIG Caspian
Aviation Holdings Ltd., duly convened and held at 29 Richmond
Road, Pembroke, Bermuda on October 1, 2004, these resolutions
were passed:

1. That the Company be wound up voluntarily; and

2. That J.M. Troake of 29 Richmond Road, Pembroke, Bermuda, be
appointed the Liquidator of the Company.

The Liquidator notifies that:

- Creditors of AIG Caspian Aviation Holdings Ltd. are required
on or before October 22, 2004 to send their names and addresses
and particulars of their debts or claims to the Liquidator of 29
Richmond Road, Pembroke, Bermuda, and if so required by Notice
in writing from the said Liquidator to come in and prove their
debts or claims at such time and place as shall be specified in
such Notice or in default thereof they will be excluded from the
benefit of any distribution made before such debts are proved.

- The Final Meeting of the Sole Member of AIG Caspian Aviation
Holdings Ltd. will be held at 29 Richmond Road, Pembroke,
Bermuda, on the 8th day of November, 2004, at 9:00 a.m. for the
purpose of having an account laid before them showing the manner
in which the winding-up has been conducted and the property of
the Company disposed of and hearing any explanation that may be
given by the Liquidator, and also of determining by resolution
the manner in which the books, accounts and documents of the
Company and of the Liquidator thereof shall be disposed and by
resolution dissolving the Company.

CONTACT: AIG Caspian Aviation Holdings Ltd.
         29 Richmond Road
         Pembroke, Bermuda

         Mr. J.M. Troake, Liquidator
         29 Richmond Road
         Pembroke, Bermuda


ALLEN INSURANCE: Member Decides on Voluntary Wind-Up
----------------------------------------------------
At a Special General Meeting of the Sole Member of The Allen
Insurance Company, Ltd., duly convened and held at 29 Richmond
Road, Pembroke, Bermuda on October 1, 2004, these resolutions
were duly passed:

1. That the Company be wound up voluntarily; and

2. That J.M. Troake of 29 Richmond Road, Pembroke, Bermuda, be
appointed the Liquidator of the Company.

Mr. Troake, acting as Liquidator, announces that:

- Creditors of The Allen Insurance Company, Ltd. are required on
or before the October 22, 2004 to send their names and addresses
and particulars of their debts or claims the Liquidator of 29
Richmond Road, Pembroke, Bermuda, and if so required by Notice
in writing from the said Liquidator to come in and prove their
debts or claims at such time and place as shall be specified in
such Notice or in default thereof they will be excluded from the
benefit of any distribution made before such debts are proved.

- The Final Meeting of the Sole Member of The Allen Insurance
Company, Ltd. will be held at 29 Richmond Road, Pembroke,
Bermuda, on the 8th day of November, 2004, at 10:00 a.m. for the
purpose of having an account laid before them showing the manner
in which the winding-up has been conducted and the property of
the Company disposed of and hearing any explanation that may be
given by the Liquidator, and also of determining by resolution
the manner in which the books, accounts and documents of the
Company and of the Liquidator thereof shall be disposed and by
resolution dissolving the Company.

CONTACTS: The Allen Insurance Company, Ltd.
          29 Richmond Road
          Pembroke, Bermuda

          Mr. J.M. Troake, Liquidator
          29 Richmond Road
          Pembroke, Bermuda


ALTON HOLDINGS: Names Robin Mayor as Liquidator
-----------------------------------------------
     IN THE MATTER OF THE COMPANIES ACT 1981

                    and

     IN THE MATTER OF Alton Holdings Limited

The Members of Alton Holdings Limited, acting by written consent
without a meeting on September 15, 2004 passed the following
resolutions:

1) THAT the Company be wound up voluntarily, pursuant to the
provisions of the Companies Act 1981;

2) THAT Robin J. Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

Mr. Mayor informs that:

- Creditors of Alton Holdings Limited, which is being
voluntarily wound up, are required, on or before 20 October 2004
to send their full Christian and Surnames, their addresses and
descriptions, full particulars of their debts or claims, and the
names and addresses of their lawyers (if any) to Robin J Mayor
at Messrs. Conyers Dill & Pearman, Clarendon House, Church
Street, Hamilton, HM DX, Bermuda, the Liquidator of the said
Company, and if so required by notice in writing from the said
Liquidator, and personally or by their lawyers, to come in and
prove their debts or claims at such time and place as shall be
specified in such notice, or in default thereof they will be
excluded from the benefit of any distribution made before such
debts are proved.

- A final general meeting of the Members of Alton Holdings
Limited will be held at the offices of Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda on 9
November 2004, at 9.30am, or as soon as possible thereafter, for
the purposes of:

1) receiving an account laid before them showing the manner in
which the winding-up of the Company has been conducted and its
property disposed of and of hearing any explanation that may be
given by the Liquidator;

2) by resolution determining the manner in which the books,
accounts and documents of the Company and of the Liquidator
shall be disposed of; and

3) by resolution dissolving the Company.

CONTACT: Mr. Robin J. Mayor, Liquidator
         Clarendon House
         Church Street
         Hamilton, Bermuda


CAPMAC ASIA: Appoints Liquidator for Company Wind-Up
----------------------------------------------------
    IN THE MATTER OF THE COMPANIES ACT 1981

                    and

      IN THE MATTER OF CapMAC Asia Ltd.

The Member of CapMAC Asia Ltd., acting by written consent
without a meeting on 30th September, 2004 passed the following
resolutions:

1) THAT the Company be wound up voluntarily, pursuant to the
provisions of the Companies Act 1981;

2) THAT Robin J. Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

Mr. Mayor informs that:

- The Creditors of CapMAC Asia Ltd., which is being voluntarily
wound up, are required, on or before October 20, 2004 to send
their full Christian and Surnames, their addresses and
descriptions, full particulars of their debts or claims, and the
names and addresses of their lawyers (if any) to Robin J Mayor,
the undersigned, at Messrs. Conyers Dill & Pearman, Clarendon
House, Church Street, Hamilton, HM DX, Bermuda, the Liquidator
of the said Company, and if so required by notice in writing
from the said Liquidator, and personally or by their lawyers, to
come in and prove their debts or claims at such time and place
as shall be specified in such notice, or in default thereof they
will be excluded from the benefit of any distribution made
before such debts are proved.

- A final general meeting of the Member of CapMAC Asia Ltd. will
be held at the offices of Messrs. Conyers Dill & Pearman,
Clarendon House, Church Street, Hamilton, Bermuda on November
15, 2004 at 9.30am, or as soon as possible thereafter, for the
purposes of:

1) receiving an account laid before them showing the manner in
which the winding-up of the Company has been conducted and its
property disposed of and of hearing any explanation that may be
given by the Liquidator;

2) by resolution determining the manner in which the books,
accounts and documents of the Company and of the Liquidator
shall be disposed of; and

3) by resolution dissolving the Company.

CONTACT: Mr. Robin J. Mayor, Liquidator
         Clarendon House
         Church Street
         Hamilton
         Bermuda


EMMY INVESTMENTS: Members Consent to Wind-Up
--------------------------------------------
    IN THE MATTER OF THE COMPANIES ACT 1981

                     and

    IN THE MATTER OF Emmy Investments Limited

The Members of Emmy Investments Limited, acting by written
consent without a meeting on September 15, 2004, passed the
following resolutions:

1) THAT the Company be wound up voluntarily, pursuant to the
provisions of the Companies Act 1981; and

2) THAT Robin J Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

Mr. Mayor notifies that:

- Creditors of Emmy Investments Limited, which is being
voluntarily wound up, are required, on or before October 20,
2004, to send their full Christian and Surnames, their addresses
and descriptions, full particulars of their debts or claims, and
the names and addresses of their lawyers (if any) to Robin J.
Mayor at Messrs. Conyers Dill & Pearman, Clarendon House, Church
Street, Hamilton, HM DX, Bermuda, the Liquidator of the said
Company, and if so required by notice in writing from the said
Liquidator, and personally or by their lawyers, to come in and
prove their debts or claims at such time and place as shall be
specified in such notice, or in default thereof they will be
excluded from the benefit of any distribution made before such
debts are proved.

- A final general meeting of the Members of Emmy Investments
Limited will be held at the offices of Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda on 9
November 2004, at 9.30am, or as soon as possible thereafter, for
the purposes of:

1) receiving an account laid before them showing the manner in
which the winding-up of the Company has been conducted and its
property disposed of and of hearing any explanation that may be
given by the Liquidator; and

2) by resolution determining the manner in which the books,
accounts and documents of the Company and of the Liquidator
shall be disposed of; and

3) by resolution dissolving the Company.

CONTACT: Mr. Robin J. Mayor, Liquidator
         Clarendon House
         Church Street
         Hamilton, Bermuda



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

EMBRATEL: Reappoints Jose Martinez in Board
-------------------------------------------
Embratel Participacoes S.A. (Embratel Participacoes)(NYSE: EMT;
BOVESPA: EBTP3, EBTP4), the Company that holds 98.8 percent of
Empresa Brasileira de Telecomunicacoes S.A. ("Embratel"),
announced Wednesday that, in the Board of Directors meeting of
Embratel Participacoes S.A., Mr. Jose Formoso Martinez, who was
elected as member of the board under a non-resident status,
resigned due to the fact that he recently obtained his permanent
visa.

Pursuant to the legal formalities, Board members, unanimously,
appointed, Mr. Jose Formoso Martinez to the Board. His election
is to be held after the completion of all documentation and
legal formalities with the Brazilian immigration authorities.

Embratel is the premium telecommunications provider in Brazil
and offers an ample variety of telecom services -local and long
distance telephony, advanced voice, high-speed data
transmission, Internet, satellite data communications, and
corporate networks. The company is a leader in the country for
data services and Internet, and is highly qualified to be an
all-distance network carrier in Latin America. Embratel's
network spreads countrywide, with almost 29 thousand kms of
optic cables, which represents about one million and sixty-nine
thousand km of fiber optics.

CONTACT: Ms. Silvia M.R. Pereira
         Investor Relations
         Phone: (55 21) 2121-9662
         Fax: (55 21) 2121-6388
         e-mail: silvia.pereira@embratel.com.br
                 invest@embratel.com.br

         Web Site: http://www.embratel.com.br/


NET SERVICOS: S&P Issues Updated Rating
---------------------------------------
RATIONALE

The 'D' global scale rating and 'brD' national scale rating on
NET Servi‡os de Comunica‡ao S.A. (NET), the largest Brazilian
provider of pay-TV services, reflect the company's decision to
suspend principal and interest payments on its debt in December
2002. While NET has published the proposed terms and conditions
of its new debt instruments (real denominated senior debt and
dollar-denominated senior debt), Standard & Poor's expects to
maintain the ratings in default until the exchange documents are
formalized and creditors actually tender the defaulted credits
into the new notes.

Standard & Poor's also analyzed NET's business plan as proposed
to creditors and its debt profile post-restructure and indicated
that it would assign NET the global scale issuer credit rating
and outlook of 'B+/Stable' and the national scale issuer rating
and outlook of 'brBBB/Stable' after the debt exchange becomes
effective. Standard & Poor's also expects to rate the company's
dollar-denominated senior notes at 'B+' and its real denominated
senior debt at 'brBBB'. This indicative rating assumes that the
large majority of creditors will accept to tender into the new
notes and that the conditions of the new notes will remain the
same as those the company made public in a Relevant Notice dated
June 27, 2004. The indicative rating also takes into
consideration that Tel‚fonos de Mexico, S.A de CV (Telmex -
local currency 'BBB+/Stable'; foreign currency 'BBB-/Stable')
will own a 49% participation in the special vehicle company
(together with Globopar S.A.--foreign/local currency rating
"D")--that will control NET, and will place a firm order to
subscribe the entire issue of new shares of NET (1,825,021,996
shares) at the minimum price of Br$0.35 pr share. With the
equity issue, NET will be capitalized in at least Br$639
million, resources that will be used entirely to pay down total
debt. Total debt after restructuring is anticipated at Br$750
million (approximately $250 million).

This indicative rating reflects the company's unproven financial
flexibility after a lengthy debt renegotiation, the limited
prospects for Pay-TV, and related products in Brazil given the
ample reach of open air TV and income constraints, as well as
the fierce competitive environment in both Pay-TV and broadband.
These weaknesses are somewhat offset by NET's extensive network
in major cities, large subscriber base (37% of market share),
and high quality lineup. The indicative rating level is
supported by the substantial change in NET's capital structure
with the capitalization of more than 40% of the total debt, the
long-term profile of the new notes--in line with the company's
cash generation capacity--and significant reduction in interest
expenses, which will allow NET to start showing free operating
cash flow and repay the notes in full by 2008.

The association with Telmex is also seen as positive, as it
could bring financial and technical support to a more aggressive
sales effort on advanced services. While limited financial
flexibility in a post-default scenario constrains the rating,
the participation of Telmex in NET could improve the company's
business prospects and access to markets. Globopar and Telmex
will be the main controlling shareholders of the company and
have been seeking to increase control over voting shares. BNDES
announced its plans to sell out its participation in NET, and
Bradesplan Participa‡oes S.A. announced the exchange of its
voting shares for preferred shares. Both shareholders will no
longer be part in the shareholders' agreement.

NET's financial profile until now has been aggressive due to its
bulky capital expenditure program to deploy and upgrade its
cable network. The payoff of such investments was impaired by
lower-than-anticipated penetration of Pay-TV and sale of higher
value-added services, as well as by the severe impact of the
local currency fluctuation of NET's mostly foreign-currency debt
and programming costs.

Since 2001 NET's subscriber base has seen little or no growth,
with the number of active subscribers decreasing by 8% in 2002
and remaining flat in 2003. While part of this poor performance
in 2002 can be attributed to NET's financial constraints, it
also mirrors the very small net additions of the market in
general since 2001 and limited upside considering Brazil's
unequal demographics and income distribution. The good quality
of open air TV can also be considered an impediment to the
larger penetration of cable. NET's base is expected to grow by
4% in 2004 with a more aggressive sales effort and economic
growth, but going forward net additions in Pay-TV should
increase just slightly year-over-year. NET's capacity to improve
profitability will derive from its capacity to increase the
penetration of advanced services such as broadband, pay-per-
view, and digital (expected to be deployed until the end of
2004). The introduction of these products is also important for
subscriber retention in competition with DTH (direct-to-home
satellite).

With the conclusion of its debt restructuring and
capitalization, NET is expected to show much improved cash flow
protection measures despite slow increase in subscribers and
ARPU. EBITDA margins are projected to remain fairly stable in
the 23%-25% range until 2006, but the substantial decrease in
interest expenses will allow NET to post free operating cash
flow in excess of Br$150 million from 2006 on (when the new
notes start to amortize). EBITDA to interest should be about
3.5x in the next three years, compared to fractional coverage
since 2001, and should improve further as debt payoff is
stronger in 2007-2009.

NET's new leverage is much more in line with the company's
capacity to generate cash, and the new profile of the debt
reduces the risk of NET's repayment capacity being hurt by
potential pitfalls in revenues or volatile macroeconomic
indicators, such as interest or exchange rates. Standard &
Poor's assumed that 77% of the total debt will be tendered into
the Real-denominated senior debt, and 23% in the dollar-
denominated senior debt (Br$190 million). In order to reduce its
susceptibility to the volatile Brazilian market, the notes carry
a flexible amortization schedule in case of an interest rate
hike. The company also renegotiated programming contracts, which
were converted to local currency and are updated by inflation,
bearing a closer correlation to NET's capacity to adjust
subscription fees. The new debt will also count on several
financial and nonfinancial covenants that limit NET's ability to
change its approved business plan. Creditors will also have the
benefit of a cash sweep, as well as the pledge of network assets
and receivables by NET's operations in Sao Paulo, Rio de
Janeiro, and Santos. Debt instruments other than the new senior
notes would be seen as subordinated.

NET is the largest multiservice operator in Latin America, with
1.36 million connected subscribers. The company also offers bi-
directional broadband Internet access (V¡rtua, with 131,000
subscribers). NET's existing controlling shareholders prior to
the equity offer are Globopar (84.2% of ordinary shares); the
Brazilian development bank BNDES (7.3%); the media group RBS
(6.8%) and the residual 1.8% is publicly owned. In June 2004,
Globopar and Telmex announced that they signed an agreement in
which Globopar would sell a participation in NET to Telmex,
which would be effective after the restructuring of Net's debt
is completed. After the deal is finalized, Globopar and Telmex
will share control on NET through an agreement that eventually
will result in a special purpose entity that is 51% owned by
Globopar and 49% owned by Telmex, which will hold 51% of Net's
voting shares.

CONTACTS:

PRIMARY CREDIT ANALYST: Milena Zaniboni, Sao Paulo (55) 11-5501-
8945; Milena_Zaniboni@standardandpoors.com

SECONDARY CREDIT ANALYST: Reginaldo Takara, Sao Paulo (55) 11-
5501-8932; Reginaldo_Takara@standardandpoors.com


UNIBANCO: Allows GDRs to UNITs Conversion Without Charge
--------------------------------------------------------
Uniao de Bancos Brasileiros S.A. (Unibanco) and The Bank of New
York (BNY) negotiated that, from October 7th until November 4th,
no cancellation fee will be charged to the conversion of GDRs
into UNITs (which are negotiated in the Sao Paulo Stock
Exchange). The GDR's standard issuance fee remains unchanged
(conversion of UNITs into GDRs).

The BNY is the depositary bank of Unibanco Global Depositary
Receipts (GDRs). Each GDR (UBB) represents 5 UNITs (UBBR11).
With these steps, Unibanco aims to increase the liquidity of the
UNITs in the Brazilian market.

CONTACTS: Unibanco-Uniao de Bancos Brasileiros S.A.
          Unibanco Holdings
          Av. Eusebio Matoso, 891
          05423-901 Sao Paulo SP
          Brazil

          Investor Relations Area
          Tel.: (55 11) 3097-1626
                        3097-1313
          Fax:  (55 11) 3097-6182
                        3813-4830

          e-mail: investor.relations@unibanco.com.br
          Web Site: www.ir.unibanco.com


VASP: Gains Six-Month Extension on Operating License
----------------------------------------------------
Vasp (VASP3.SA), Brazil's fourth-largest airline, gained
authority to operate for another six months after it delivered a
debt payment plan to the government's Civil Aviation
Department, according to the Associated Press.

The airline company's existing license was scheduled to expire
on Sunday. The six-month extension came hours after Defense
Minister Jose Viegas gave Vasp 24 hours to come up with the debt
payment plan.

Viegas, who as defense minister is responsible for the Air
Force's Civil Aviation Department, had told reporters that
unless Vasp delivers the debt payment plan, the government would
force the airline to stop flying.

Also, Vasp presented a proposal for the renewal of its fleet,
starting with six new Boeing 737-300s, and a new flight schedule
caused by the decision to ground six Boeing 737-200s.

The company has fallen into arrears on payments to suppliers and
to government agencies such as the National Airport Authority,
or Infraero, which manages all of Brazil's airports.

On Wednesday, Viegas said the government was "losing patience"
with Vasp, which has declined a government offer to submit debt
payment plans in exchange for possible government aid.



=============
E C U A D O R
=============

ECUADOR: Fitch Upgrades Rating to 'B-'
--------------------------------------
Fitch Ratings, the international rating agency, upgraded
Ecuador's long-term foreign currency rating to 'B-' from 'CCC+'.
The short-term rating is raised to 'B' from 'C'. The Rating
Outlook is Stable. Fitch's rating action reflects improvements
in access to financing, spending restraint and export growth.

'Although Ecuador's fiscal and external liquidity remains very
tight, access to financing from local sources has improved, in
part because of higher oil receipts,' said Morgan C. Harting,
sovereign analyst. The social security institute has been a
particularly important source for the government's gross
domestic issuance of US$1.8 billion through August, covering the
bulk of the expected US$2.5 billion in financing needs for the
full year. Purchases of $155 million in outstanding domestic
debt through September by the FIEREP oil fund has helped make
space for local borrowing. Financing needs have also been
reduced somewhat because of spending restraint, a development
that appeared less likely earlier in the year when arrears were
mounting and protesters successfully lobbied for an increase in
pension benefits of 0.5% of GDP.

Increases in private oil production and higher prices have
helped boost export receipts by 23% through August, while
imports have grown by 11%, underpinning a shift in the trade
balance from a deficit to a surplus. Net external inflows and
improvements in domestic confidence, in turn, have helped drive
a 12% accumulation of bank deposits through July. More recently,
however, a large domestic bank experienced some confidence-
related deposit losses, although deposits in the system as a
whole have remained stable and no government support has been
extended. This incident underscores ongoing risks in the banking
system, particularly in the context of dollarization without
recourse to a lender of last resort to provide emergency
liquidity.

While economic growth is projected at between 5% and 6% this
year, most of it will be driven by the oil sector and is a one-
time boost related to the opening of a new pipeline last year.
Outside the oil sector, growth will likely be under 2% for the
second year in a row. In order for medium term growth to be
sustainable, more progress on reforms in the electricity, oil,
banking and telecommunications sectors will be critical to
support competitiveness. A decline in inflation to under 3% has
helped stabilize the real exchange rate, but this is not a
substitute for true improvements to productivity as a driver of
growth.

Going forward, further improvements to Ecuador's
creditworthiness would hinge on improvements in central
government finances and structural reforms to support
productivity growth. The ratings could come under pressure if
central government imbalances widen, if recent banking sector
pressures were exacerbated, and if arrears to creditors are
generated.

CONTACT:  Morgan C. Harting +1-212-908-0820, New York
          Roger M. Scher +1-212-908-0240, New York

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



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

HYLSAMEX: Preliminary 3Q04 Operating Figures Show Improvement
-------------------------------------------------------------
HYLSAMEX, S.A. de C.V. (BMV: HylsamxB, HylsamxL) announced
Wednesday that preliminary figures for shipments, revenues and
EBITDA for the third quarter ending September 30th, 2004, were
828 thousand tons, US$640 million (Ps.7,353 million) and US$232
million (Ps.2,666 million), respectively. Continued strength in
steel prices, solid sales volume and relatively stable costs are
behind the numbers presented above.

Supported by the operating figures and US$137 million in net
proceeds from equity issuance, the debt, net of cash, decreased
from US$867 million at the end of 2Q04 to US$587 million at the
end of 3Q04.

Hylsamex S.A. de C.V.
US$ Million & Thousand Tons
                                                 Nine Months
                        3Q04     2Q04    3Q03    2004    2003
Revenue                 $640     $589    $367  $1,690  $1,091
EBITDA                   232      222      44     564     139
Debt Net of Cash         587      867   1,053     587   1,053
Shipments
  (thousand tons)        828      787     723   2,402   2,153

CONTACT:  Othon Diaz Del Guante
          (52-81) 8865-1240
          E-mail: odiaz@hylsamex.com.mx

          Ismael De La Garza
          (52-81) 8865-1224
          E-mail: idelagarza@hylsamex.com.mx


TV AZTECA: Morgan Stanley Cuts Share Recommendation
---------------------------------------------------
Morgan Stanley lowered its recommendation on shares of TV Azteca
SA (TZA) to underweight from equal weight on Thursday, after the
company said it and four company officials would likely face
civil litigation on alleged violations of securities laws.

TV Azteca revealed that some of its executives, including
chairman Ricardo Salinas Pliego, are likely to face civil
litigation over the debt deal involving wireless phone company
Unefon SA (UNEFON.MX), private concern Codisco Investments LLC,
and Canadian equipment supplier Nortel Networks Corp. (NT).

TV Azteca said the SEC "may impose fines or penalties that could
have a material adverse effect on our financial condition and
result of operations."

CONTACT: TV Azteca S.A. de C.V.
         Periferico Sur
         No. 4121
         Col., Fuentes del Pedregal
         14141 D.F.
         Mexico
         Phone: 52-5-420-1313



=================
N I C A R A G U A
=================

NUEVO CONTINENTE: Employees Sell Ownership to Private Firm
----------------------------------------------------------
Peru's biggest airline Nuevo Continente has been sold to Vuela
Peru (Fly Peru), an aviation consultancy firm controlled by the
Professional Air group, for an undisclosed amount. The former
owners - the employees - decided to sell 100% of the stock to
Vuela Peru "because of the need for greater capital investment
than the employees could make," Reuters quoted an unnamed
spokesman.

In July, Peru grounded Nuevo Continente (then Aero Continente)
after the airline failed to obtain a new insurance policy
following the U.S. government's move to place its founder on a
list of overseas drug kingpins.

Subsequently, the employees bought out the airline and secured a
new insurance, allowing it to resume domestic flights under a
new name Nuevo Continente. Nuevo Continente, however, has
struggled to recover its market share since restarting
operations.



=======
P E R U
=======

LANPERU: Court Orders Flight Suspension
----------------------------------------
Peruvian airline LanPeru, a unit of Chile's LAN Airlines, was
ordered to suspend its flights by a court in Arequipa, Peru's
second biggest city. According to Reuters, the court, which
found LanPeru in breach of rules stipulating how much of its
capital, aircraft and staff should be Peruvian, issued the
ruling in June but only passed to aviation authorities last
week. Now, it is up to the government to decide on the fate of
LanPeru.

"The civil aviation authority (DGAC) is meeting now to study the
matter and will probably issue a decision in the next few
hours," a transport ministry spokeswoman said. The DGAC comes
under the authority of that ministry.

Trade and Tourism Minister Alfredo Ferrero said Thursday that
any grounding of the Peruvian airline would seriously harm the
country's tourism and business sector.

Ferrero said 1.06 million tonnes, or 21%, of Peru's air freight
exports would be blocked, as well as 370,000 tonnes of imported
raw materials. Almost half of Peru's domestic freight, including
mail and courier documents, would also be hit.

In addition, American companies operating in Peru would be
affected since US sanctions prevent them from flying Peru's top
airline, Nuevo Continente (formerly, AeroContinente).

The United States imposed sanctions on that airline after
including its founder, Fernando Zevallos, on a list of foreign
drug "kingpins," a charge he denies. The sanctions are designed
to hit alleged drug traffickers in their wallets.



=====================
P U E R T O   R I C O
=====================

CENTENNIAL COMMUNICATIONS: Fiscal 1Q05 Show Improvement
-------------------------------------------------------
HIGHLIGHTS:

- Fiscal first-quarter earnings per diluted share from
continuing operations of $0.10, compared to a loss of $0.04 per
diluted share from continuing operations in the prior-year
quarter (Results from continuing operations for all periods
presented exclude Centennial Cable TV due to its classification
as a discontinued operation)

- Fiscal first-quarter adjusted operating income from continuing
operations of $91.6 million, up 19 percent year-over-year from
$76.7 million

- Fiscal first-quarter consolidated revenue from continuing
operations of $216.8 million, up 13 percent year-over-year from
$191.3 million

- Consolidated adjusted operating income growth outlook
increased to 7-12 percent for fiscal 2005

Centennial Communications Corp. (Nasdaq: CYCL) reported income
from continuing operations of $10.5 million, or earnings per
diluted share from continuing operations of $0.10, for the
fiscal first quarter of 2005. Results from continuing operations
for all periods presented exclude Centennial Cable TV due to its
classification as a discontinued operation. This compares to a
loss from continuing operations of $3.9 million, or $0.04 per
diluted share in the fiscal first quarter of 2004.

Adjusted operating income (AOI) from continuing operations for
the fiscal first quarter was $91.6 million, as compared to $76.7
million for the prior year quarter. The consolidated AOI margin
from continuing operations for the quarter was 42 percent.
Adjusted operating income is defined as net income (loss) from
continuing operations before minority interest in income of
subsidiaries, income tax expense, other expense, interest
expense-net, income from equity investments, loss (gain) on
disposition of assets, and depreciation and amortization. Please
refer to the Investor Relations section of our Web site at
www.centennialwireless.com for a discussion and reconciliation
of this and other Non-GAAP Financial Measures.

"Centennial remains committed to its vision of being a leading
regional provider of telecommunications services in the markets
it serves," said Michael J. Small, Centennial's Chief Executive
Officer. "Our record financial results once again demonstrate
our ability to consistently execute across all of our
businesses."

Centennial reported fiscal first-quarter 2005 consolidated
revenue from continuing operations of $216.8 million, which
included $103.1 million from U.S. Wireless and $113.7 million
from Caribbean Operations. Consolidated revenue from continuing
operations grew 13 percent versus the fiscal first quarter of
2004.

OTHER HIGHLIGHTS:

On September 6, 2004, the Company entered into a definitive
agreement to sell its wholly owned subsidiary, Centennial Puerto
Rico Cable TV Corp. ("Centennial Cable TV"), to an affiliate of
Hicks, Muse, Tate & Furst Incorporated for approximately $155
million in cash. Completion of the transaction is subject to
customary closing conditions, including regulatory approval of
the transfer of Centennial Cable TV's cable franchises, and is
expected to occur in early 2005.

On October 4, 2004, the Company announced that it completed its
option exercise and purchased 10MHz of spectrum from AT&T
Wireless, covering an aggregate of approximately 4.1 million
population equivalents contiguous to its existing properties in
Michigan and Indiana. The total price of the spectrum purchase
was approximately $19.5 million. In addition, the Company also
completed its sale of the Indianapolis and Lafayette, Indiana
licenses it acquired from AT&T Wireless to Verizon Wireless for
$24 million in cash. The net effect of both transactions is
approximately 2.2 million incremental POPs acquired and $4.5
million cash received.

CENTENNIAL SEGMENT HIGHLIGHTS
(All segment highlights reflect results from continuing
operations)

U.S. Wireless

Revenue was $103.1 million, an increase of 9 percent from the
prior-year first quarter. U.S. Wireless revenue performance
included $8.4 million in Universal Service Fund (USF) support
from Louisiana, which was recorded as a result of an FCC order
issued during the quarter. This support covers the period
between January 2004 and August 2004. Approximately $5.0 million
of the total USF revenue related to prior quarters. U.S.
Wireless revenue growth was also driven by an increase of 4
percent, or $3.5 million, in retail revenues. This revenue
growth was partially offset by a decline in roaming revenues
which decreased 22 percent from $17.0 million in the fiscal
first quarter of 2004 to $13.3 million this quarter.

AOI was $48.0 million, a 30 percent increase from the prior year
period. AOI was favorably impacted by $8.4 million in USF
support during the quarter. Approximately $5.0 million of the
total USF support related to prior quarters. Solid retail
operations also contributed to AOI growth during the quarter.
Retail AOI margins expanded by approximately 600 basis points
from the prior year quarter, moving up from 28 percent to 34
percent. Growth in AOI associated with the Company's retail
operations and USF was partially offset by declines in roaming
revenue and associated AOI.

The Company ended the quarter with 551,400 U.S. Wireless
subscribers, which compares to 546,100 for the prior year
quarter and to 555,000 for the previous quarter ended May 31,
2004.

Caribbean Wireless

Revenue was $83.0 million, an increase of 12 percent from the
prior-year first quarter, driven primarily by strong subscriber
growth. Average revenue per subscriber decreased during the
quarter primarily due to the impact of strong prepaid subscriber
growth in the Dominican Republic as well as to increased sales
of companion rate plans in Puerto Rico.

AOI totaled $32.2 million, yielding an AOI margin of 39 percent.

The Company ended the quarter with 516,700 Caribbean Wireless
subscribers, which compares to 422,600 for the prior year
quarter and to 496,200 for the previous quarter ended May 31,
2004.

Caribbean Broadband

Revenue was $33.5 million, an increase of 27 percent year-over-
year, driven largely by strong access line growth.

AOI was $11.4 million, producing an AOI margin of 34 percent.

Switched access lines totaled approximately 54,000 at the end of
the fiscal first quarter, representing an increase of nearly
3,800 lines from the end of the fiscal fourth quarter of 2004.
Total Voice Grade Equivalent lines were 224,800 at the end of
the quarter.

FISCAL 2005 OUTLOOK

Centennial announced new consolidated AOI expectations for
fiscal 2005.

Centennial projects growth in consolidated AOI from continuing
operations of 7-12 percent for the full fiscal year 2005 over
fiscal year 2004. Consolidated AOI from continuing operations
for fiscal year 2004 was $315.5 million. This is an increase
from the Company's previous outlook of 5-10 percent growth in
consolidated AOI. The Company has not included a reconciliation
of projected AOI because projections for some components of this
reconciliation are not possible to forecast at this time.

Centennial Communications is a leading provider of wireless and
integrated communications services in the United States and the
Caribbean with over 1 million wireless subscribers. The U.S.
business owns and operates wireless networks in the Midwest and
Southeast covering parts of six states. Centennial's Caribbean
business owns and operates wireless networks in Puerto Rico, the
Dominican Republic and the U.S. Virgin Islands and provides
integrated voice, data, video and Internet solutions. Welsh,
Carson Anderson & Stowe and an affiliate of the Blackstone Group
are controlling shareholders of Centennial.

To view financial statements:
http://bankrupt.com/misc/Centennial.htm

CONTACT: Centennial Communications Corp.
         Mr. Steve E. Kunszabo
         Investor relations
         Phone: 732-556-2220

         Web Sites: http://www.centennialwireless.com/
                    http://www.centennialpr.com/
                    http://www.centennialrd.com/




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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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