TCRLA_Public/050202.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, February 2, 2005, Vol. 6, Issue 23

                            Headlines


A R G E N T I N A

AGUAS ARGENTINAS: ARS3.5 Mln Payment to Trust Fund Due Feb. 11
BALONCHARD S.R.L.: Initiates Bankruptcy Proceedings
EDESUR/EDENOR: Court Orders Seizure of Funds
IRSA: Notes Conversion Reduces Debt by $10,000
PROCON CONSTRUCCIONES: Court Changes Submission Schedule

RAGHSA: Local S&P Maintains 'Speculative' Bond Rating
REPSOL YPF: Dow Completes Acquisition of PBB Polisur
TRANSPORTE LOS RAFAELINOS: Reports Submission Set


B E R M U D A

FOSTER WHEELER: Schedules 2005 AGM of Shareholders
FOSTER WHEELER: Wins Management Contract in UAE


B R A Z I L

EMBRATEL: 4Q04 EBITDA Reaches $337M
TELEMAR: Mobile Subscribers Reach 7 Million
* BRAZIL: Fitch Rates Upcoming 20-Year, US$ Global Bonds 'BB-'


C H I L E

ENERSIS: Board Votes Against Interim Dividend Payment  
ENERSIS: To Hold Shareholders Meeting April 8


C O L O M B I A

PAZ DEL RIO: Acquisition Rumors Send Shares Up


E C U A D O R

PACIFICTEL: Leaves Telecsa Out of This Year's Budget


E L   S A L V A D O R

* EL SALVADOR: Fitch Revises Rating Outlook to Stable


M E X I C O

CINTRA: Long-Term Plan Needed, Says Secretary  
HYLSAMEX: Shares Up on Larger-Than-Expected Dividend
INNOVA: S&P Releases Ratings Report
VITRO: Subsidiary Seeks to Issue $80M Senior Notes


P E R U

* REPUBLIC OF PERU: S&P Assigns 'BB' Rating To Bond


P U E R T O   R I C O

CENTENNIAL COMMUNICATIONS: Redeems $115M Senior Notes
CENTENNIAL COMMUNICATIONS: Names New Board Member


V E N E Z U E L A

PDVSA: Signs Numerous Cooperation Agreements With China
PDVSA: Chavez Swears In New Board

     -  -  -  -  -  -  -  -

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

AGUAS ARGENTINAS: ARS3.5 Mln Payment to Trust Fund Due Feb. 11
--------------------------------------------------------------
Water provider Aguas Argentinas faces a deadline of Feb. 11 to
make a ARS3.5 million contribution to a trust fund, reports Dow
Jones Newswires.

The upcoming payment is an installment for a trust fund between
ARS42 million and ARS44 million to finance expansion projects.

The payment schedule for the trust fund was established in an
agreement signed between Aguas Argentinas and the government in
Jan. 2001. The company is required to contribute 7.9% of what it
collects from each water bill.

In December, Aguas Argentinas asked a waiver from water
regulator ETOSS, saying it hasn't yet seen an adjustment in
water rates and would need the money for other projects. But
according to a government official close to the situation, ETOSS
passed the request to a higher agency, which turned down the
waiver.

The government official said Aguas Argentina's decision on Feb.
11 could be the tipping point in the strained negotiations
between Aguas Argentinas and the government. In the past few
weeks, talks have reached a crucial stage. Government officials
say partial state control in the form of a "mixed" company or a
full contract rescission is possible.

"We'll have to see if the company has collected this 7.9% or
not," the official said. "If the funds aren't deposited, they're
going to have problems. This would be one more element out of
many problems with the company."


BALONCHARD S.R.L.: Initiates Bankruptcy Proceedings
---------------------------------------------------
Court No. 3 of Rosario's civil and commercial tribunal declared
Balonchard S.R.L. "Quiebra," reports Infobae. Under the
liquidation process, control of the Company will be transferred
to a court-appointed trustee. The case will close with the
liquidation of the Company's assets to repay creditors.  

CONTACT: Balonchard S.R.L.
         Avda Arijon 77
         Bis Rosario (Santa Fe)


EDESUR/EDENOR: Court Orders Seizure of Funds
--------------------------------------------
An Argentine administrative court ordered the seizure of funds
from local power distributors Edesur SA and Edenor SA, granting
a request by the government electricity regulator Enre, reports
Dow Jones Newswires.

The court ordered the seizure of ARS500,000 ($1=ARS2.9275) in
assets for each company. The amounts are to go toward some ARS85
million in accumulated unpaid fines dating back to 2000.

The court's decision is seen by many as another hardball tactic
by the government as it continues to renegotiate contracts with
the two distributors.

The government has been at odds with private companies that run
much of Argentina's public utilities since the state converted
rates into devalued pesos and froze them in January 2001 in a
bid to hold off inflation amid the nation's economic breakdown.

Edesur is a unit of Chile's Enersis, and Edenor is a unit of
Electricite de France (EdF).

CONTACT:  EDESUR S.A.
          San Jos, 140
          Buenos Aires
          Tel: 4383-0200
               4381-1313

          EDENOR S.A.
          Azopardo Building
          Azopardo 1025 (1107) Capital Federal
          Phone: (54-11) 4346-5000
          Fax: (54-11) 4346-5300
          e-mail: to ofitel@edenor.com.ar
          Web Site: http://www.edenor.com.ar


IRSA: Notes Conversion Reduces Debt by $10,000
----------------------------------------------
By a letter dated January 27, 2005, the Company reported that a
holder of Company's Convertible Notes, with an 8% of annual
interest and which expires on 2007 exercised its conversion
right. Hence, the financial indebtedness of the Company shall be
reduced in US$10,000 and an increase of 18,348 ordinary shares
face value pesos 1 (V$N 1) each was made. The conversion was
performed according to terms and conditions established in the
prospectus of issuance at the conversion rate of 1.83486 shares,
face value pesos 1 per Convertible Note of face value US$ 1. As
a result of that conversion the amount of shares of the Company
goes from 261,520,247 to 261,538,595. On the other hand, the
amount of registered Convertible Notes is US$ 86,172,381.

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


PROCON CONSTRUCCIONES: Court Changes Submission Schedule
--------------------------------------------------------
Court No. 1 of Zarate-Campana's civil and commercial tribunal
moved key events in the Procon Construcciones S.R.L. liquidation
case to these dates:

1. Submission of Individual Reports - February 16, 2005
2. Submission of the General Report - March 31, 2005
  
CONTACT: Procon Construcciones S.R.L.
         E-mail: proconconstruc@ciudad.com.ar


RAGHSA: Local S&P Maintains 'Speculative' Bond Rating
-----------------------------------------------------
Standard & Poor's International Ratings, Ltd. Sucursal Argentina
maintained the 'raB+' rating on US$33 million worth of bonds
issued by local company Raghsa S.A., says the country's
securities regulator CNV. The Company's finances as of November
30, 2004 determined the rating agency's action.

The rating denotes that the bonds face exposure to adverse
business or economic conditions, which could lead to the
Company's inadequate capacity to meet its financial commitment,
said the ratings agency.

The CNV described the affected bonds as "Obligaciones
Negociables", under "Simple Issue". These come due on February
28, 2012.


REPSOL YPF: Dow Completes Acquisition of PBB Polisur
----------------------------------------------------
The Dow Chemical Company announced Friday that it has acquired
Repsol YPF's 28% interest in PBBPolisur. Dow now has full
ownership of the Argentinean facility, which it purchased with
Repsol YPF in 1996.

Dow Argentina President, Oscar Vignart, underlined the
significance of the acquisition to Dow: "PBBPolisur provides an
important platform to the Mercosur and access to advantaged
feedstock which ensure a reliable supply of polyethylene to our
customers throughout the region. This investment increases our
commitment to Argentina and to the plastics industry in general
and will further consolidate Dow's position as one of the main
producers of polyethylene in Latin America."

The acquisition will have no impact on operations at the
facility, its leadership or its staffing.

Dow is a leader in science and technology, providing innovative
chemical, plastic and agricultural products and services to many
essential consumer markets. With annual sales of $40 billion,
Dow serves customers in 175 countries and a wide range of
markets that are vital to human progress: food, transportation,
health and medicine, personal and home care, and building and
construction, among others. Committed to the principles of
sustainable development, Dow and its 43,000 employees seek to
balance economic, environmental and social responsibilities.
References to "Dow" or the "Company" mean The Dow Chemical
Company and its consolidated subsidiaries unless otherwise
expressly noted.

CONTACT:  Dow Quimica Argentina S.A.
          Marcelo Chalub
          (5411) 4319-0407


TRANSPORTE LOS RAFAELINOS: Reports Submission Set
-------------------------------------------------
Mr. Ariel Raul Peirella, the trustee assigned to supervise the
reorganization of Empresa de Transporte Los Rafaelinos S.A.,
will submit a general report of the proceedings on February 16.
The general report provides the court with an audit of the
Company's accounting and business records.
    
Infobae reports that Court No. 1 of Rafaela's civil and
commercial tribunal has jurisdiction over this bankruptcy case.

CONTACT: Empresa de Transporte Los Rafaelinos S.A.
         Providente 805
         Santa Fe

         Mr. Ariel Raul Peirella, Trustee
         25 de Mayo 205
         Rafaela (Santa Fe)



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

FOSTER WHEELER: Schedules 2005 AGM of Shareholders
--------------------------------------------------
Foster Wheeler Ltd. (OTCBB: FWHLF) announced Monday that it
expects to hold its 2005 Annual General Meeting of Shareholders
on Tuesday, May 10, 2005, at 9:00 a.m. (EDT) at the company's
offices located at Perryville Corporate Park, Clinton, New
Jersey. Any shareholder proposals, including any regarding the
nomination of persons for election to the board of directors,
should be submitted in writing to the attention of the Corporate
Secretary, Foster Wheeler Ltd., Perryville Corporate Park,
Clinton, New Jersey 08809-4000 no later than March 7, 2005.

A Notice of Meeting and Proxy Statement will be mailed to the
company's shareholders prior to the meeting.

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.

CONTACT: Media Contacts
         Foster Wheeler Ltd.
         Ms. Maureen Bingert
         Phone: 908-730-4444
                or
         Ms. Anne Chong
         Phone: +44-0-118-913-2106
                or
         Other Inquiries
         Phone: 908-730-4000

         Web site: http://www.fwc.com


FOSTER WHEELER: Wins Management Contract in UAE
-----------------------------------------------
Foster Wheeler Ltd. (OTCBB: FWHLF) announced Monday that its
subsidiary Foster Wheeler International Corporation has been
awarded a project management consultancy (PMC) contract by Abu
Dhabi Gas Industries Ltd (GASCO) for the development of the
world-scale Onshore Gas Development Project (OGD-III) to
increase production of condensate and natural gas liquids (NGL)
at Habshan, Abu Dhabi, UAE. The terms of the award were not
disclosed. The project was included in third-quarter 2004
bookings.

The project, which will be carried out by Foster Wheeler's UK
office, is one of the three GASCO projects (the other two being
the AGD-II and 3rd NGL Train, Ruwais facilities) in a suite of
five integrated projects being undertaken in conjunction with
GASCO sister companies ADCO (for gas gathering and reinjection)
and TAKREER (for condensate storage and shipping). The whole
suite of projects is on behalf of the Abu Dhabi National Oil
Company (ADNOC).

"We are delighted to be awarded this contract by GASCO," said
Steve Davies, senior vice president, Foster Wheeler
International Corporation, and chairman and chief executive
officer, Foster Wheeler Energy Limited. "This award continues
Foster Wheeler's involvement in the project as PMC for the FEED
and EPC bid/evaluation stages. It builds on our wealth of PMC
experience and expertise in managing large, complex projects in
upstream gas processing, and our long and successful track
record in the Middle East. Foster Wheeler is proud to assist
GASCO in the development of this prestigious investment program
within the UAE gas business sector."

As PMC, Foster Wheeler's role is to manage the engineering,
procurement and construction (EPC) contractor whose activities
will also include commissioning and final handover of the new
OGD-III facilities at Habshan.

The new facilities will recover condensate and NGL from well
fluids from the Thamama F gas reservoir. Included in the scope
is a new pipeline for transporting NGL to GASCO's new NGL
facilities at Ruwais (the 3rd NGL Train project) for further
separation into ethane, propane, butane and C5+ product streams.
Lean gas will be reinjected back into the reservoir at Habshan.
Stabilized condensate will be pumped to the Ruwais facilities of
the TAKREER refinery for storage/shipping. Mechanical completion
is expected in 2007.

"This is a key project for GASCO and ADNOC, requiring the utmost
from our contractors and suppliers to deliver quality
facilities," commented Mohammed Sahoo, general manager, Abu
Dhabi Gas Industries Ltd (GASCO). "We expect a faultless start-
up that will be the foundation for a successful 30-year
operating period. We are pleased that Foster Wheeler will be
with us as PMC during this challenging EPC phase."



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

EMBRATEL: 4Q04 EBITDA Reaches $337M
-----------------------------------
HIGHLIGHTS:

- Net revenues were R$1,859 million in the fourth quarter of
2004, an increase of4.7 percent compared with the third quarter
of 2004.

- Long distance voice revenues (domestic and international) in
the fourth quarter of 2004 were R$1.2 billion increasing 7.1
percent quarter-over-quarter.

- EBITDA in the fourth quarter of 2004 was R$337 million
representing an EBITDA margin of 18.1 percent.

- EBIT rose to R$58 million in the fourth quarter of 2004 from
an operating loss of R$43 million in the previous quarter of the
same year.

Total Revenues

In the fourth quarter, total net revenues were R$1,859 million,
representing an increase of 4.7 percent compared to the previous
2004 quarter. The reduction in local services revenues was
offset by the growth in the data and long distance businesses.

Net total revenues declined 0.8 percent compared with the same
quarter of the previous year. This was due to the decrease in
long distance revenues which offset the growth in both data and
local services revenues. For the full year, net revenues totaled
R$7.3 billion corresponding to an annual increase of 4.1
percent. This growth was mainly generated by the local business.

Data Communications

In the fourth quarter of 2004, 185.4 thousand circuits (64kbits
line equivalent) were added, representing a 22.7 percent
increase relative to the previous 2004 quarter balance.

In December 2004, Embratel had in service 1 million 64kbit line
equivalent circuits to provide data services to business
customers. This represented an increase of 55.4 percent compared
to 2003.

Embratel's data communications revenues were R$437 million in
the fourth quarter of 2004, representing a 2.9 percent increase
compared with the third quarter of the same year. Over half of
this increase resulted from higher wholesale revenues related to
services provided to cellular companies. Core data business
revenues also rose in the quarter due to new contracts. For the
full year, data revenues declined 2.7 percent attributed to
price reductions and a downturn in the internet service provider
market.

Long Distance Voice Services

Domestic Long Distance

In the fourth quarter, domestic long distance traffic totaled
2,967 million minutes, flat when compared to the previous 2004
quarter. Domestic long distance minutes were 14.7 percent lower
compared with the same quarter of 2003. For the twelve months,
domestic long distance minutes were 12,386 million representing
a decline of 14.9 percent against 2003.

Domestic long distance revenues were R$1.0 billion, an increase
of 5.6 percent compared with the third quarter of 2004. This
growth is explained by the slowdown in the decline of major
traffic lines as well as to a 5.3 percent rate increase in the
basic calling plan. Also, during the quarter, the company
implemented an advertising campaign aiming to get closer to
customers, introduced calling plans with greater price clarity
and carried-out winback programs.

Year-over-year and year-to-date domestic long distance revenues
decreased 8.5 and 1.0 percent respectively, when compared with
2003. For the full year, long distance revenues totaled R$4.0
billion.

International Long Distance

International long distance traffic surged in the fourth quarter
by totaling 548 million minutes, an increase of 29.9 percent
compared with both the prior 2004 and the same 2003 quarters. In
2004, international long distance minutes totaled 1,724 million,
a 2.8 percent increase compared with 2003.

International long distance revenues were R$203 million in the
fourth quarter of 2004 compared with R$176 million in the third
quarter of 2004. The revenue growth is associated with the
increase in inbound traffic resulting from bilateral carrier
agreements.

Year-over-year, international long distance revenues decreased
4.3 percent. For the full year, international revenues declined
10.2 percent and totaled R$769 million. The decrease is
associated with the reduction in outbound traffic, lower rates,
and the effect of the appreciation of the currency on inbound
revenues.

Local Revenue

In Embratel's corporate customer business, Viplines sales and
traffic continued to grow. On the other hand, the company's
effort to improve customer base quality at the Vesper level
resulted in a slowdown in handsets sales and traffic. Embratel's
fourth quarter local revenues totaled R$153 million, a decrease
of 6.7 percent compared with the third quarter of 2004.

For the full year, local revenues were R$608 million reflecting
the growth in the company's local business and the acquisition
of Vesper.

EBITDA and Net Income

In 2004 EBITDA was R$1.4 billion. EBITDA decreased 23.0 percent
due to additional SG&A costs and provisions. For the full year,
the EBITDA margin was 18.7 percent EBITDA was R$337 million in
the fourth quarter of 2004, an increase of 39.9 percent relative
to the previous 2004 quarter. The EBITDA margin for the fourth
quarter was 18.1 percent.

Quarter-over-quarter above EBITDA performance

Local and long distance interconnection rates rose by 5.3
percent in November with the implementation of the second part
of the IGP-DI base adjustment. Cost of Services, excluding
interconnection, decreased 23.0 percent quarter-over-quarter.
This decline was attributed to a decrease of third party
services and a lower level of handset sales.

Selling expenses rose to R$249 million in the fourth quarter of
2004 from R$216 million in the previous 2004 quarter. This
increase is explained by the increase of advertising campaigns
and charges of R$95 million for provision for doubtful accounts.
General & Administrative expenses were R$104 million in the
fourth quarter, a decrease of 54.7 percent compared with the
previous 2004 quarter. The fourth quarter of 2004 included a
reduction in employee profit sharing provision and decreases in
expenses related to administrative and consulting services.
Combined, the reductions in these two accounts totaled R$92
million compared with the prior 2004 quarter.

Other operating expenses were R$182 million in the fourth
quarter of 2004. This amount includes revenues (fixed-to-
cellular long distance calls prior to the introduction of the
PIC Code) and liabilities recognized as a result of the
agreement between Embratel and Brasil Telecom and Telemar. It
also includes provisions of R$214 million for labor, civil and
tax contingencies. At year-end, the balance of probable
contingencies was R$477 million compared to a balance of R$74
million at year-end 2003.

Quarter-over-quarter below EBITDA performance

Also, as the result of the agreement between Embratel and Brasil
Telecom and Telemar, the company recorded a net monetary
correction loss of R$68 million associated with the revenues
recognized and obligations paid. The net bottom-line impact of
this agreement was a gain of R$21 million.

During the fourth quarter of 2004, Embratel recorded a financial
charge of R$54 million related to monetary correction of
Embratel's pension plan liability. The company also made a R$32
million charge of impairment at Vesper debited to the Other non-
operating income/expense account.

Embratel registered a net loss of R$213 million in the fourth
quarter of 2004 and a loss of R$339 million for the full year.

Financial Position

Cash position on December 31, 2004 was R$832 million. Embratel
ended the quarter with a total outstanding debt of R$3.4 billion
and a net debt of R$2.6 billion. Short-term debt (accrued
interest, short-term debt and current maturity long-term debt in
the next 12 months) was R$2.1 billion.

During the quarter Embratel repaid approximately R$1.5 billion
of debt principal. This debt was replaced by R$1.5 billion of
new short-term, lower cost debt, of which R$ 1.0 billion is in
local commercial paper and the remaining are bank loans. The
objective of this change in debt profile was to reduce the
overall cost of debt.

To complete the company's financial restructuring, Embratel's
management proposed, and the Board of Directors approved, in
general terms, a capital increase of US$700 million.

The purpose of the capital increase, which is expected to be
completed in the second quarter of 2005, is to strengthen the
financial position of Embrapar and its subsidiaries in view of
their funding requirements over the medium term. These include
repaying maturing debt - including 35 percent of the US$275
million Guaranteed Notes, prepaying some higher-cost debt, and
funding capital expenditures. A stronger balance sheet will also
position Embratel to compete more effectively and to meet
challenges and opportunities as they arise. The company also
anticipates having the opportunity to acquire other Brazilian
assets that its controlling shareholder already owns or is in
the process of purchasing.

Capex

Total capital expenditures in the quarter were R$164 million.

The breakdown is as follows:

- Local infrastructure, access and services- 31.1 percent
(including PPIs and Vesper);
- Data and Internet services - 26.0 percent;
- Network infrastructure - 1.2 percent,
- Others - 17.9 percent; and
- Star One - 23.5 percent.

Total capital expenditures in 2004 were R$579.6 million. In
2005, Embratel expects to invest approximately R$1.4 billion for
Capex.

Changes in Balance Sheet Accounts

The variation in net account receivables, tax and contributions
(assets and liabilities) legal deposits, and fixed assets and
accounts payables are mainly related to the settlement of
disputes between Embratel, Brasil Telecom and Telemar.

About Embratel

Embratel is the premier communications provider in Brazil
offering a wide array of advanced communications services over
its own state of the art network. It is the leading provider of
data and Internet services in the country and is well positioned
to be the country's only true national, local service provider
for corporates. Service offerings: include telephony, advanced
voice, high-speed data communication services, Internet,
satellite data communications, corporate networks and local
voice services for corporate clients. Embratel is uniquely
positioned to be the all-distance telecommunications network of
South America. The Company's network is has countrywide coverage
with 28,868 km of fiber cables comprising 1,068,657 km of optic
fibers.

To view financial statements:
http://bankrupt.com/misc/Embratel4Q04.pdf

CONTACT: Embratel Participacoes S.A.
         Rua Regenta Feijo
         166 sala 1687-B Centro
         Rio de Janeiro, 20060-060
         Brazil
         Phone: 5521-519-6474
         Website: http://www.embratel.net.br


TELEMAR: Mobile Subscribers Reach 7 Million
-------------------------------------------
During 2004, Oi grew 76%, totaling 6.9 million customers, with
approximately 600 thousand net additions in December. The
domestic market increased by 41.5% over the same period. With
the new additions in the beginning of January, Oi's customer
base has reached 7 million subscribers, turning the wireless
operator into one of the fastest growing companies in Brazil.

VELOX reaches 500 thousand customers - Telemar's broadband
Internet service, Velox, grew by 129% in 2004. This fast-paced
growth is due to the diversified offer of high-speed services to
meet customer requirements, as well as to the expanded service
coverage. As of 2004, Velox is also available at 768 kbps, in
addition to 256 and 512 kbps. Telemar also expanded the
geographic coverage to include 160 cities.

CONTACT: TNE - INVESTOR RELATIONS
         E-mail: invest@telemar.com.br
         Mr. Roberto Terziani
         Phone: 55 (21) 3131-1208
         Mr. Carlos Lacerda
         Phone: 55 (21) 3131-1314
         Fax: 55 (21) 3131-1155

         GLOBAL CONSULTING GROUP
         Mr. Kevin Kirkeby
         E-mail: kkirkeby@hfgcg.com
         Tel: 1-646-284-9416
         Fax: 1-646-284-9494


* BRAZIL: Fitch Rates Upcoming 20-Year, US$ Global Bonds 'BB-'
--------------------------------------------------------------
Fitch Ratings, the international rating agency, assigned a
prospective 'BB-' rating to the upcoming 20-year, US$-
denominated global bonds to be issued by the government of
Brazil. Brazil's sovereign ratings reflect the ongoing strong
international trade performance of South America's largest
economy, its declining public and external debt burdens, and a
demonstrated commitment to sound macroeconomic policies. The
Rating Outlook is Stable.

Exports have expanded 32% in 2004 over 2003, reflecting both
price and volume increases and growth in a broad array of
manufactured and primary exports to diverse destinations.
Brazil's trade surplus has exceeded most expectations this year,
at US$33.7 billion, yielding a current account surplus of
approximately 1.9% of GDP. Economic growth has proceeded apace,
with Fitch estimating a 5% expansion 2004, moving imports up
markedly, but not creating substantive balance of payments
pressures. As domestic demand and imports grow more briskly in
2005, the trade and current account surpluses can be expected to
narrow.

External financing needs, which Fitch forecasts at US$32 billion
this year, up about US$5 billion from 2004 due to an expected
narrowing current account surplus, remain heavy due to the
legacy of past borrowing. Nevertheless, the net external debt
burden is estimated at 125% of broad exports at year-end 2004,
down from a high of 308% in 1999, but likely to fall below 100%
over the next two years.

The fiscal authorities continue to outperform their fiscal
targets, with the public sector primary surplus totaling 4.61%
of GDP in 2004, yielding a nominal deficit of 2.68%, down from
5.08% in 2003. The authorities raised the full-year 2004 target
to 4.5% of GDP in September, though the 2005 target remains at
4.25%, which is nonetheless 0.5% of GDP higher than the previous
government's target. Exceptional tax performance has been
underpinned by the economic upturn as well as by the reform of
the Cofins (social security) tax in 2003.

With this as a backdrop, Brazil's public and external debt
burdens have moved down, with gross general government debt
expected to be down nearly 4% of GDP from 2003 to approximately
75% of GDP by year-end 2004, though Brazil's public and external
debt ratios still exceed the 'B' and 'BB' medians for these
measures.

CONTACT: Roger M. Scher +1-212-908-0240, New York.

MEDIA RELATIONS: Kenneth Reed +1-212-908-0540, New York



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

ENERSIS: Board Votes Against Interim Dividend Payment  
-----------------------------------------------------
Mr. Mario Valcarce Duran, the Chief Executive Officer of Chile-
based electricity provider Enersis S.A., informed the
Superintendent of Securities and Exchange Commission through a
letter that the Company's board has unanimously decided not to
pay an interim dividend in February 2005, with respect to the
financial results of December 2004. The board's decision is in
accordance with the governing policy, since the anticipated
conditions of the cited policy were not met.

CONTACT: Enersis S.A.
         Santo Domingo 789
         Santiago, Chile
         Phone: 011-562-638-0840


ENERSIS: To Hold Shareholders Meeting April 8
---------------------------------------------
Enersis CEO Mario Valcarce Duran advised the Superintendent of
Securities and Exchange Commission through a letter that the
company will hold an Ordinary Shareholders Meeting on April 8.

Below is the content of the letter:

In accordance with Article 63 of Law No 18.046 on limited
Liability Stock Companies, we inform you that Enersis S.A's
Board of Directors, in line with the contents of its by-laws,
has called an Ordinary Shareholders Meeting of Enersis S.A., to
be held on April 8, 2005 at 3:30 p.m. at Espacio Riesco, located
on Avenida El Salto 5000, Huechuraba, Santiago.

The matters that will be submitted for the consideration of the
Ordinary Shareholders Meeting are the following:

1. Approval of the Annual Report, Balance Sheet, Financial
Statements and Report from the External Auditors and Inspectors
of Accounts corresponding to the year ended on December 31,
2004.

2. Profits distribution for the period and dividends payment.

3. Setting the Directors remuneration.

4. Report of the Board of Directors expenses.

5. Setting the remuneration of the Directors Committee and
definition of its budget for year 2005.

6. Report from the Directors Committee.

7. Nomination of the Independent External Accountants.

8. Nomination of two Inspectors of Accounts and two deputies and
the setting of their remuneration.

9. Approval of the Investments and Finance Policy.

10. Explanation on the Dividends Policy and information on the
proceedings to be utilized in the dividends distribution.

11. Information on agreements of the Board in relation to acts
and contracts governed by Articles 44 and 93 of Law No 18.046.

12. Information of the nomination of Private Rating Agencies.

13. Information on the costs of processing, printing and
dispatch the information referred to in Circular No 1494 of the
Superintendency of Securities and Exchange.

14. Other matters of interest and incumbency of the Ordinary
Shareholders Meeting.



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

PAZ DEL RIO: Acquisition Rumors Send Shares Up
----------------------------------------------
Shares of Acerias Paz del Rio, Colombia's largest steel company,
finished up 22% at COP18.10 on Monday, after local media
reported that France's Arcelor and Argentina's Techint are
preparing to bid for the Colombian company.

According to Dow Jones Newswires, trading in Paz del Rio shares
was suspended twice Monday as the limit-up rule was triggered.
Local bourse rules stipulate that after two suspensions, trading
on the stocks is postponed until the next day.

Paz del Rio, which was restructured in July 2003, posted profits
of US$41 million in the first 11 months of 2004, the best
financial result of the company's history.

CONTACT: Acerias Paz Del Rio S.a.
         CARRERA 8A, N 13-31, PISOS 7-11
         4260 - Bogota
         Colombia
         Phone: +57 1 3411570
                +57 1 2823480



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

PACIFICTEL: Leaves Telecsa Out of This Year's Budget
----------------------------------------------------
State-run fixed line operator Pacifictel's budget for 2005
indicates it won't be making contributions to mobile joint
venture Telecsa (Alegro PCS) this year.

According to a Business News Americas report, the Company will
focus this year's investment on its own infrastructure for
technical and operational improvements.

Telecsa is a joint venture between Pacifictel and sister company
Andinatel. Pacifictel director Angel Leon hinted that Pacifictel
is still considering making an exit in Telecsa or reducing its
stake. A final decision will not be made until Telecsa requires
fresh capital increases, Leon added.

"Andinatel's financial performance is highly superior to
Pacifictel and [although] all funds to capitalize Telecsa were
supposed to come from both companies, they finally decided that
Andinatel will provide funds and Pacifictel will contribute with
its part later," independent analyst Santiago Caviedes told
Business News Americas.



=====================
E L   S A L V A D O R
=====================

* EL SALVADOR: Fitch Revises Rating Outlook to Stable
-----------------------------------------------------
Fitch Ratings affirmed El Salvador's foreign and local currency
ratings of 'BB+' and revised the Rating Outlook to Stable from
Negative. The Outlook revision reflects the government's attempt
to reverse the fiscal deterioration observed during 2001-2002,
its progress on tax reform, and an improved political
environment.

Since August 2002, when the Negative Outlook was assigned, the
government has made efforts to consolidate its finances. As a
result, the nonfinancial public sector deficit has declined from
4.4% of GDP in 2002 to an estimated 2.4% of GDP in 2004 in spite
of sluggish growth. The reduction in the deficit reflects a drop
in reconstruction costs, greater tax collection efforts, and
reduced current expenditure. Tax performance is likely to
improve further as the recently passed fiscal reforms begin to
take effect in 2005. As a result, the government debt burden has
stabilized at just over 40% of GDP, which is moderate in
comparison with El Salvador's rating peers.

The political environment has improved and investor uncertainty
has declined following the 2004 presidential election. The newly
elected Saca administration has actively engaged its coalition
partner, the PCN, to pass important pieces of legislation. These
measures have included tax reforms, abolishing the provision for
early retirement, imposing new excise duties on several goods,
and approving the U.S.-Central America Free Trade Agreement
(CAFTA) in congress. The Saca administration is well aware of
the country's fiscal problems and appears to be prepared to
increase tax revenue further should the tax reforms fail to
produce the desired results. In Fitch's view, a further tax
increase package may be required to cope with the rising
pensions deficit and reduce the debt burden further.

Fitch's main concern relates to the El Salvadoran economy's
inability to grow at a faster pace despite important structural
reforms, such as trade liberalization, extensive privatization,
and pension reforms. Some of the structural weaknesses that are
hindering growth are low savings and investment rates, limited
FDI flows, a low export-to-GDP ratio, poor infrastructure, and
the contraction of the maquila industry. The decline in the
maquila industry during 2004 is a concern, as its exports
account for more than 50% of El Salvador's export base. With the
expiration of the Multi-Fiber Agreement in 2005, textiles and
clothing companies are relocating their operations to China to
take advantage of lower labor costs, which will likely
negatively affect El Salvador's external receipts. Fitch
believes that El Salvador needs to diversify its economic base
to offset losses in the maquila sector. In this regard, the
possible implementation of the CAFTA could improve the medium-
term export and growth outlook if it helps promote new sectors
of growth.

In the future, Fitch will continue to monitor the progress of
fiscal consolidation and the ability of the economy to rebound
in response to the government's measures to boost economic
growth. In addition, it will be important to monitor how the
banking system performs under dollarization.

CONTACT:  Shelly Shetty +1-212-908-0324, New York
          Theresa Paiz-Fredel +1-212-908-0534, New York

MEDIA RELATIONS: Kenneth Reed +1-212-908-0540, New York



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

CINTRA: Long-Term Plan Needed, Says Secretary  
---------------------------------------------
Mexican airline operator Cintra should set long-term goals that
would help the country establish a stronger air industry
according to Mr. Jesus Ramirez Stabros, general secretary of the
Mexican Airline Pilots Association (ASPA), in an interview with
El Economista.

Mr. Stabros stressed the need for the participation of
interested parties, such as government dependencies, in the
Company's restructure to come up with a strategy that would
promote growth for both the national and international air
market.

In particular, Mr. Stabros characterized the financial vision of
Cintra's board as "inadequate." He said that a relevant plan
should not only focus on cost reduction but should also factor
in industry norms and financing as important aspects towards
enhancing the Company's competitiveness.

CONTACT: CINTRA S.A. de C.V.
         Av Xola 535 piso 16 col. del Valle M,xico DF
         Phone: (5)448 - 8000
         e-mail: infocintra@cintra.com.mx
         Web Site: http://www.cintra.com.mx


HYLSAMEX: Shares Up on Larger-Than-Expected Dividend
----------------------------------------------------
Hylsamex SA (HYLSAMXB MM), Mexico's third-largest industrial
group, on Monday rose for a sixth day in seven, climbing 29
centavos, or 0.9%, to MXN33.9, says Bloomberg.

Carlos Peyrelongue, an analyst with Merrill Lynch & Co. in
Mexico City, said in a Jan. 28 report the company may pay a
larger-than-expected dividend this year.

"While management hinted last year that Hylsamex could have a
$100 million dividend in 2005, we believe the dividend could be
closer to $250 million," he said.

To view Hylsamex's 4Q04 financial statements:
http://bankrupt.com/misc/Hylsa.pdf

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

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

         Mr. Kevin Kirkeby
         Phone: +(646) 284-9416
         E-mail: kkirkeby@hfgcg.com


INNOVA: S&P Releases Ratings Report
-----------------------------------
ISSUER CREDIT RATING
  Corporate Credit Rating:                  B+/Watch Pos/--

AFFIRMED RATING
  Senior unsecured debt
    Foreign currency:                       B+/Watch Pos

Major Rating Factors

Strengths:
    * Largest provider of pay-TV services in Mexico
    * Only DTH provider in the country
    * Improving cash-flow and credit measures
    * Business and financial support from key shareholders

Weaknesses:
    * Strong competition from cable operators
    * Highly leveraged
    * Currency mismatch still significant

Rationale

The ratings on Innova S. de R.L. de C.V. reflect strong
competition from cable operators, some of which are undertaking
digital upgrades; financial risk from the company's heavy
subscriber acquisition spending; the marginal positive free or
discretionary cash flow; negative equity; high leverage; and a
significant currency mismatch, as 83% of its debt and a
significant amount of its programming costs are dollar
denominated, while 100% of its revenues are peso based. These
factors are partially mitigated by the company's position as the
largest provider of pay-TV services in Mexico; consistent
subscriber growth; positive developments on the Direct-to-Home
(DTH) competitive front; improving cash-flow and credit
measures; and business and financial support from its key
shareholders, 60% owner Grupo Televisa S.A. (FC: BBB-/Stable/--;
LC: BBB/Stable/--), 30% owner News Corp. Ltd. (BBB-/Positive/--
), and 10% Liberty Media Corp. (BBB-/Watch Neg/--), a
shareholder composition that will change in early 2006 to
approximately 57% Televisa and 43% by The DIRECTV Group
Inc.(BB/Positive/--) upon this last company's October 2004
announced restructure in Latin America.

Innova is the largest pay-TV service provider in Mexico, and
upon the incoming closure of operations of Galaxy Mexico (dba
DirecTV M,xico), it will be the only DTH service provider in the
country. Innova provides digital DTH broadcast satellite signals
in Mexico under the commercial name of "Sky." Innova leases 12
Ku-band transponders on the PanAmSat's PAS-9 satellite. The
company launched its service in December 1996, and broadcasts up
to 177 digital channels (116 video, 29 pay per view, and 32
audio) to more than 1 million customers, a benchmark achieved
last Dec. 30, 2004 (and which includes the 54,800 commercial
subscribers reported as of September 2004). This 16.7% increase
from the year-end 2003 subscriber base also comes from the
programming of exclusive events such as Big Brother and soccer
matches.

Innova announced that it agreed to buy DirecTV Mexico's
subscriber base, paying for it only on an individual-migration
basis (that is, by each customer that contracts Innova instead
of another pay-TV service provider). In this respect, Innova's
CreditWatch listing will be resolved upon an assessment of the
company's aggressiveness in pursuing these customers.

Innova's revenues amounted to $393 million for the 12 months
(LTM) ended September 2004, up 18.3% year-over-year, thanks to
the company's sales and programming strategy. In turn, its
EBITDA margin increased to 35.1% of sales, while a year before,
this margin was 30.5%; this growing improvement comes from the
company's cost and expenses contention efforts, but also from
the removal, in October 2003, of a 10% special
telecommunications tax that the company did not reflect in its
prices. Consequently, Innova reported $138 million as EBITDA
during the LTM ended September 2004, an increase of 36.4%
compared to the same period of the former year.

As of Sept. 30, 2004, the company's debt was $509 million, 3.8x
Innova's LTM EBITDA, as compared to the 8.0x ratio from the
previous 12-month period. As for the coverage of interest
expenses, Innova's EBITDA growth allowed it to report a 2.3x
ratio, up from the 1.1x achieved a year before.

Liquidity

Liquidity is weak due to relatively low cash balances ($66
million as of September 2004) in relation to its interest
expenses (approximately $15 million quarterly); small (although
improving) operating cash flows; and lack of bank facilities.
Nevertheless, Innova already generates cash flows of its own,
which has allowed the Company to be self-funding and not reliant
on parent support for the past nine consecutive quarters. Debt
maturities are moderate, with no significant debt maturities
until 2012, when its Mexican pesos 88 million loan entered into
in January 2005 matures (which has Televisa and News Corp
guarantee), and the $300 million senior notes due in 2013.
Although no liquidity shortage is foreseen, Standard & Poor's
Ratings Services expects financial support from Innova's parents
if this situation takes place.

Business Description

Innova is the largest pay-TV service provider in Mexico, and
with the closure of operation of DirecTV Mexico later this year,
by the end of 2005 it will have 100% of the (legal) DTH market
in the country. Innova provides digital Ku-band DTH broadcast
satellite pay-television services in Mexico under the name
"Sky."

Business Profile

Innova has enjoyed growth in its subscriber base in the past
several years, fueled by the popularity of its sports, movie,
and general entertainment programming, the fact that it carries
Televisa's over-the-air-channels on a DTH exclusive basis, and
the lack of presence of cable operators, particularly in rural
areas. Innova's subscribers grew by about 16.7% during 2004 as a
result of both customer activations and the recognition of
commercial subscribers. A rampant price war with its principal
competitor, DirecTV Mexico, also made DTH services much more
visible and more affordable, a situation that nevertheless is
not expected to reverse upon the latter's closure of operations.
Expanded distribution efforts of Innova by its own sales force
and its strong customer-service orientation are expected to
further support subscriber gains. Industry fundamentals have
improved, as DTH subscribers have increased as a proportion of
total pay-TV subscribers, at the expense of cable-based
operators; nevertheless, competition from cable-based pay-TV
operators will most likely slow Innova's subscriber growth pace,
as these firms are in the process of launching digital upgrades
that will allow them to deliver high-speed Internet access,
besides having the ability to service multiple sets.

Financial Profile

Profitability and cash-flow measures are affected by the
devaluation of the Mexican peso versus the U.S. dollar, and the
fact that Innova is subject to a cash-flow mismatch as most of
its debt and a significant amount of its programming and overall
costs such as satellite payments, decoder boxes, and uplinking
facility expenses are dollar denominated, while 100% of its
revenues are peso based. During 2002 through 2004, the
devaluation of the peso decreased, though, to 13.5%, 2.9% and
1%, respectively. In addition, improved profitability and lower
capital spending have allowed Innova to fund itself both
operationally and financially without the support of
shareholders.

Innova's revenues amounted to $393 million for LTM ended
September 2004, up 18.3% year-over-year, thanks to the company's
sales and programming strategy. In turn, its EBITDA margin
increased to 35.1% of sales, while a year before, this margin
was 30.5%; this growing improvement comes from the company's
cost and expense-contention efforts, but also from the removal,
in October 2003, of a 10% special telecommunications tax that
the company did not reflect in its prices. Consequently, Innova
reported $138 million as EBITDA during the LTM ended September
2004, an increase of 36.4% compared to the same period of the
former year.

As of Sept. 30, 2004, the company's debt was $509 million, 3.8x
Innova's LTM EBITDA, which compares to the 8.0x ratio from the
previous 12-month period. As for the coverage of interest
expenses, Innova's EBITDA growth allowed it to report a 2.3x
ratio, up from the 1.1x achieved a year before.

Primary Credit Analyst: Manuel Guerena, Mexico City
(52) 55-5081-4411; manuel_guerena@standardandpoors.com

Secondary Credit Analyst: Santiago Carniado, Mexico City
(52) 55-5081-4413; santiago_carniado@standardandpoors.com


VITRO: Subsidiary Seeks to Issue $80M Senior Notes
--------------------------------------------------
Vitro, S.A. de C.V. announced Monday that its subsidiary Vitro
Envases Norteamerica, S.A. de C.V. ("VENA"), Vitro's glass
containers division seeks to sell, subject to market and other
conditions, approximately US$80 million of its senior secured
guaranteed notes due 2011 (the "Notes") in a private placement
pursuant to Rule 144A and Regulation S under the Securities Act
of 1933, as amended (the "Securities Act"). VENA intends to use
the proceeds of the issuance to repay a portion of its $230
million loan due in 2006 that was entered into on September 24,
2004 with Credit Suisse First Boston and certain other lenders.

The Notes constitute a further issuance of, and form a single
series and will be fully fungible with, VENA's 10.75% senior
secured guaranteed notes due 2011 that were issued on July 23,
2004 in the aggregate principal amount of $170 million.

The Notes will be issued by VENA and guaranteed by VENA's
principal Mexican subsidiaries and Vitro Packaging, VENA's
trading company in the United States.

The Notes will be secured by first priority liens on most of
VENA's and its subsidiaries' assets. The collateral may be
shared with other creditors of VENA and its subsidiaries.

The Notes have not been, and will not be, registered under the
Securities Act and may not be offered or sold in the United
States absent registration or an applicable exemption from the
registration requirements of the Securities Act. This press
release is neither an offer to sell nor a solicitation of an
offer to buy the Notes.

Vitro, through its subsidiary companies, is one of the world's
leading glass producers. Vitro is a major participant in three
principal businesses: flat glass, glass containers and
glassware. Vitro serves multiple product markets, including
construction and automotive glass; food and beverage, wine,
liquor, cosmetics and pharmaceutical glass containers; glassware
for commercial, industrial and retail uses. Founded in 1909 in
Monterrey, Mexico-based Vitro has joint ventures with major
world-class partners and industry leaders that provide its
subsidiaries with access to international markets, distribution
channels and state-of-the-art technology. Vitro's subsidiaries
have facilities and distribution centers in eight countries,
located in North, Central and South America, and Europe, and
export to more than 70 countries worldwide.

CONTACT: Media Monterrey
         Vitro, S. A. de C.V.
         Mr. Albert Chico Smith
         Phone: +52 (81) 8863-1335
         E-mail: achico@vitro.com

         Financial Community
         Vitro, S. A. de C.V.
         Mr. Adrian Meouchi
         Phone: +52 (81) 8863-1350
         E-mail: ameouchi@vitro.com

         U.S. Contacts
         Mr. Alex Fudukidis / Ms. Susan Borinelli
         Breakstone & Ruth Int.
         Phone: (646) 536-7012 / 7018
         E-mail: afudukidis@breakstoneruth.com
                 sborinelli@breakstoneruth.com



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

* REPUBLIC OF PERU: S&P Assigns 'BB' Rating To Bond
---------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB' long-term
foreign currency debt rating to the Republic of Peru's
(BB/Stable/B foreign currency; BB+/Stable/B local currency
sovereign credit ratings) US$400 million global bond issued on
Jan. 27, 2005, and due in 2033. This is a reopening of the
existing US$500 million global bond issued by Peru in November
2003. The recent issue completes the government's planned
external issuance for 2005.

According to Standard & Poor's Ratings Services credit analyst
Sebastian Briozzo, the ratings on Peru take into account the
recent strengthening of the country's economic fundamentals and
the expectation that prudent macroeconomic policies will be
sustained despite ongoing political problems. The outlook on the
sovereign ratings is stable.

"The continuation of the current fiscal consolidation strategy
is essential to providing flexibility to an economy that is
highly influenced by commodities prices, continues to be
constrained by a high external indebtedness and an only limited
margin for implementing monetary policy, and is characterized by
significant social needs," Mr. Briozzo said. "Peru's
creditworthiness continues to be limited by a weak political
environment consistent with a 'BB' foreign currency rating," he
added.

Mr. Briozzo explained that relatively high economic growth rates
since 2002, averaging 4.5%, have not improved the country's
political and social climate. Despite relatively strong growth
prospects over the medium term, the need to make this growth
pattern sustainable and job creating will continue to challenge
Peruvian governments. The stable outlook reflects Standard &
Poor's expectation that the ongoing process of consolidating
Peru's sound macroeconomic framework will continue to be
constrained by a still-evolving political system and a high
external debt burden. In this context, Standard & Poor's expects
only moderate progress in the government's economic reform
agenda over the medium term.

"A more predictable political environment and a more dynamic
reform agenda, leading to increasing levels of investment to
support higher economic growth rates and including sizable job
generation, would enhance Peru's creditworthiness," noted Mr.
Briozzo. "Conversely, increasing political polarization that
affects implementation of policy, disrupts the economy and puts
current stability at risk would put downward pressure on the
ratings," he concluded.

Primary Credit Analyst: Sebastian Briozzo, New York
212-438-7342; sebastian_briozzo@standardandpoors.com

Secondary Credit Analyst: Joydeep Mukherji, New York
(1) 212-438-7351; joydeep_mukherji@standardandpoors.com



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

CENTENNIAL COMMUNICATIONS: Redeems $115M Senior Notes
-----------------------------------------------------
Centennial Communications Corp. (NASDAQ: CYCL) announced Monday
the completion of its redemption of $115 million aggregate
principal amount of its $300 million outstanding 10-3/4 percent
senior subordinated notes due December 15, 2008. The redemption
was completed on January 27, 2005 at a redemption price of
103.583 percent.

"We remain committed to balancing growth and debt reduction to
deliver shareholder value and continue to take positive steps to
accelerate the deleveraging of the Company," said Michael J.
Small, Chief Executive Officer.

About Centennial

Centennial Communications, based in Wall, NJ, is a leading
provider of regional 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 facilities-based integrated voice,
data, video and Internet solutions. Welsh, Carson Anderson &
Stowe and an affiliate of the Blackstone Group are controlling
shareholders of Centennial.

CONTACT: Investor and Media:
         Mr. Steve E. Kunszabo
         Director, Investor Relations
         Phone: 732-556-2220
         Web site: http://www.centennialwireless.com/


CENTENNIAL COMMUNICATIONS: Names New Board Member
-------------------------------------------------
Centennial Communications Corp. (NASDAQ: CYCL) announced Monday
that David M. Tolley, a Principal of the Blackstone Group, has
resigned from Centennial's Board of Directors. Scott Schneider
has been named to serve the remainder of Mr. Tolley's term.

Mr. Schneider is currently Vice Chairman and a member of the
Board of Directors of Citizens Communications. He was previously
President and Chief Operating Officer of Citizens from 2002 to
2004 and has held various executive positions at Citizens since
2000. Prior to joining Citizens, Mr. Schneider was Chief
Financial Officer and a member of the Board of Directors of
Century Communications, where he worked from 1991 to 1999. Mr.
Schneider also served as Chief Financial Officer, Senior Vice
President and Treasurer and a member of the Board of Directors
of Centennial from 1991 to 1999.

"On behalf of our management team, I would like to thank David
for his many contributions to Centennial," said Michael J.
Small, Chief Executive Officer. "I am delighted to welcome Scott
back to the Centennial family. Scott's extensive experience in
the telecommunications sector will be a tremendous asset for
Centennial as we continue to grow our businesses."



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

PDVSA: Signs Numerous Cooperation Agreements With China
-------------------------------------------------------
The Venezuelan Energy and Oil Ministry made known through a
press release that the head of the Ministry and PDVSA President
Rafael Ramirez Carreno, was not able to attend the January 30
OPEC meeting since he was committed to very important issues
related to the visit of the Vice-President of the People's
Republic of China, who visited Caracas in order to sign economic
and energy cooperation agreements.

This meeting was scheduled last December during President Hugo
Chavez's visit to that nation. On Venezuela's behalf, the
Venezuelan Governor before OPEC, Mr. Ivan Orellana, attended the
aforementioned meeting.

Last Saturday at Miraflores Palace, Venezuela signed 17
cooperation agreements within the framework of the previous
agreements settled by the President of China, Mr. Hu Jintao, and
the President of Venezuela, Mr. Hugo Chavez Frias. The meeting
was held at the Ayacucho Hall in the Miraflores Palace with the
presence of the Vice-President of the Popular Republic of China,
Mr. Zen Qinghong and the Venezuelan President, Mr. Hugo Chavez
Frias, who shared the leading role of the meeting.

The agreements are framed within the shared policy of tightening
friendship bonds and commercial energy and cultural relations.
This policy represents the will of the Bolivarian Government to
broaden the Venezuelan business scope as well as strengthen and
expand its participation in the energy market.

As part of these agreements, the Energy and Oil Minister and
President of PDVSA, Mr. Rafael Ramirez, signed five energy
agreements with the President of CNPC (China National Petroleum
Corporation), Mr. Chen Geng, who was part of the Chinese
delegation visiting Venezuela. These agreements include the
joint evaluation and development of oil and gas projects. Among
them: the development of 14 fields located at Zumano, with 400
million barrels of oil and 3 TCF of natural gas in reserves; the
evaluation of joint projects to exploit crude in the Orinoco Oil
Belt, the evaluation of joint off-shore gas projects, as well as
commercial agreements to supply 3 MMT per year of fuel oil to
China, 100,000 BPD of Boscan crude oil and the supply of up to
1.8 MMT of Orimulsion. The exploitation of gas in areas already
under the CNPC control was also authorized.

All these projects are funded by large investments and imply the
strengthening and presence of China in Venezuela.

CONTACT: Petroleos De Venezuela S.A.,
         Centro Corporativo, Torre Este
         La Campina, Caracas
         Venezuela
         Fax: +58 - 212 - 7084460
         Web site: http://www.pdvsa.pdv.com


PDVSA: Chavez Swears In New Board
---------------------------------
"PDVSA is the fundamental engine in powering the changes
Venezuela calls for and the `forward leap'", according to
President Hugo Chavez at the swearing-in of the new Board of
Directors of Petroleos de Venezuela, a ceremony which took place
in the Joaquin Crespo reception room at the Miraflores Palace.

The Venezuelan President said that the new members of the PDVSA
Board were committed to the country's development and had wide
experience in the national oil corporation. "This Board is
highly experienced and will continue to take PDVSA onwards and
upwards. These are battle-tested men who took part in the rescue
of the oil industry", he said.

The Head of State, through Presidential Decree 3428, appointed
Luis Vierma as vice-president for Exploration and Production and
Alejandro Granado as vice-president for Refining, together with
Eudomario Carruyo, Jesus Villanueva, Dester Rodriguez, Eulogio
Delpino and Asdrubal Chavez as internal directors. Ivan
Orellana, Bernard Mommer and Carlos Martinez Mendoza were named
external directors.

President Chavez emphasized that the New PDVSA must remain
committed to the nation's development and reminded those present
that efforts to renationalize and reestablish the industry must
continue to go forward. "It should be newer every day, both
inwardly and outwardly; ever more identified with the country's
deep needs."

The President also had words of recognition for the Board, which
headed the Corporation in the defeat of the work stoppage-
sabotage and the recovery of the industry's operations. "I would
like to recognize the huge task, great merits and achievements
of these fellow-countrymen who during these past two years
manned the front line together with Ali Rodriguez Araque, who
masterfully directed this Board in the midst of the storm",

He congratulated and thanked Felix Rodriguez, Nelson Martinez,
Ivan Hernandez, Nelson Nunez, Jose Rojas and Rafael Rosales of
the previous Board for "such a notable and efficient undertaking
of the task before them"

President Chavez called for an increase in efficiency and
effectiveness levels "in the face of the important present
moment and the responsibility we have towards the country". He
added that 2005 should be the year to consolidate the social
missions and initiate a new economic cycle.

For his part, the Energy and Petroleum minister and president of
PDVSA, Rafael Ramirez, said that new Board has "important
objectives to meet, not only to maintain traditional activities
which are efficiently being carried out, but also to deepen the
Corporation's work as the engine to power national development
as set forth by President Chavez, and thus overcome the huge
imbalances that weigh on our country."

Ramirez stated that PDVSA would continue at the head of the
social development processes and to leverage the needs of the
country as an integral part of the Corporation's core business.
"We are going to exercise sovereignty over the resource for the
development and deepening of collective work, and thus put an
end to the ills we suffer", he said.

"We are entering the year for the rescue of our full oil
sovereignty. We can now count on a strong industry, able to
represent our interests and we have the commitment to forever
continue being the people's PDVSA".

CONTACT: Petroleos De Venezuela S.A.,
         Centro Corporativo, Torre Este
         La Campina, Caracas
         Venezuela
         Fax: +58 - 212 - 7084460
         Web site: http://www.pdvsa.pdv.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

Troubled Company Reporter - Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA. John D. Resnick, Edem Psamathe P. Alfeche and
Lucilo Junior M. Pinili, Editors.

Copyright 2005.  All rights reserved.  ISSN 1529-2746.

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