TCRLA_Public/050217.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

          Thursday, February 17, 2005, Vol. 6, Issue 34

                            Headlines


A N T I G U A   &   B A R B U D A

LIAT: Presents New Restructuring Plan to Boost Competitiveness


A R G E N T I N A

AVICOLA DP: Defaulted Debt Payments Prompt Reorganization
BANCO HIPOTECARIO: Buys Italian BNL's Local Unit
CIELO SUR: Enters Bankruptcy on Court Orders
CLUB ATLETICO ROSARIO: Informative Assembly Set for May 3
GRICORT S.R.L.: Declared Bankrupt by Court

IL FRIUC: Court OKs Creditor's Bankruptcy Motion
INGENIERIA Y MANTENIMIENTO: Initiates Bankruptcy Proceedings
MATERIALES CORDOBA: Debt Payments Halted, Set To Reorganize
SHIRLY S.A.: Court OKs Creditor's Bankruptcy Call
SONEC S.R.L.: Begins Liquidation on Court Orders

TRANSENER: Posts ARS121.5 Mln Net Losses for 2004
TRANSPORTES MORETO: Liquidates Assets to Pay Debts
WORLD SAT: Files Petition to Reorganize


B E R M U D A

INTELSAT: Hires Phillip Spector as General Counsel  


B R A Z I L

EMBRATEL: Cuts DDD Rates Nationwide
KLABIN: Reveals $500M Investment Plan to Boost Cardboard Output
TAM/VARIG: Requests 90 Days to End Code-Sharing Agreement
TAM: Records Highest Ever Net Profit


C O L O M B I A

* COLOMBIA: Fitch To Rate Global TES Bond 'BB'; Outlook Stable


C O S T A   R I C A

ICE: Ponders Regulating VoIP


E L   S A L V A D O R

MILLICOM INTERNATIONAL: Revenue Increases 44% in 2004


J A M A I C A

AIR JAMAICA: Planes Return to Service


M E X I C O

HYLSAMEX: Spin-Off Speculations Puts Stock Value US$2.4B
TV AZTECA: Expected to Post Improved Performance for 2004


P U E R T O   R I C O

CENTENNIAL COMMUNICATIONS: Appoints New Senior VP


T R I N I D A D   &   T O B A G O

NBN: Government Fires Board  


V E N E Z U E L A

PDVSA: France's Total Seeks Accord on Sincor II By Aug.
PDVSA: Mulls Asset Sale in U.S.

     -  -  -  -  -  -  -  -

=================================
A N T I G U A   &   B A R B U D A
=================================

LIAT: Presents New Restructuring Plan to Boost Competitiveness
--------------------------------------------------------------
Struggling Caribbean airline LIAT (1974) Ltd. has a new
restructuring plan that will make the carrier more competitive,
the Barbados Daily Nation reports.

The plan, which was revealed Tuesday by LIAT chief executive
officer Garry Cullen, will see increased investments in staff
training, marketing and public relations, the replacement and
expansion of its fleet to all Dash 8 300 series planes and an
expanded route network by year-end that could see LIAT flying
outside the eastern Caribbean.

According to LIAT Chairman, Dr Jean Holder, the EC$44 million
lifeline recently injected by the governments of Antigua and
Barbuda, Barbados, St Vincent and the Grenadines and Trinidad
and Tobago would be used to stabilize the carrier.

Following the stabilization phase, Holder said the board would
make a presentation to the Caribbean Development Bank for
further financing to be used to replace and expand the airline's
fleet.

Cullen said the funding from shareholder governments, which now
totaled EC$78 million, had fully met the recapitalization needs
of the airline and that LIAT was unlikely to be "back with a
begging bowl" seeking support from its owners any time soon.

CONTACTS:  ANTIGUA (ANU)
           City Ticket Office
           Woods Center, St. John's

           BARBADOS (BGI)
           Oliver Haywood
           E-mail: haywoodo@liatairline.com
           Tel.: 246 428 8888
                 246-436-9753
                 246-426-7140

           ST.LUCIA (SLU)
           Josse Mesmin
           E-mail: mesminj@liatairline.com
           Tel: 758 452 3051/2

           ST.VINCENT (SVD)
           Dominique Patterson
           E-mail: pattersond@liatairline.com
           Tel: 784 457 1821



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

AVICOLA DP: Defaulted Debt Payments Prompt Reorganization
---------------------------------------------------------
Local poultry producer Avicola DP S.R.L. is seeking to
reorganize its debts after defaulting on its debt payments since
September 25, 2002.

A reorganization, if approved by the court, will allow the
company to draft a settlement plan for its creditors in order to
avoid a straight liquidation.

Court No. 24 of Buenos Aires' civil and commercial tribunal has
jurisdiction over this case. Clerk No. 47 assists the court with
the proceedings.

CONTACT: Avicola DP S.R.L.
         Aranguren 2391
         Buenos Aires


BANCO HIPOTECARIO: Buys Italian BNL's Local Unit
------------------------------------------------
Banca Nazionale del Lavoro (BNL), Italy's sixth-largest bank by
assets, announced Tuesday that its board has approved the terms
for the sale of its Argentine unit to local bank Banco
Hipotecario SA.

The agreement, which is subject to regulatory approval, will see
the sale of 100% of the holding company BNL Inversiones
Argentinas and intra-group credit lines to Banco Hipotecario for
a total amount of US$207 million in cash.

Furthermore, BNL will also receive Banco Hipotecario shares
representing a book value of US$25 million, which is equivalent
to some 3.7% of Hipotecario's share capital.

BNL said the stake in Hipotecario would permit it to maintain a
presence in Argentina and sustain Italian-Argentine bilateral
activity through commercial agreements with Hipotecario and with
the creation of an Italian desk.

CONTACTS:  Marcelo Icikson
           Nicolas Vocos
           Capital Markets
           Tel. (54-11) 4347-5798
           Fax (54-11) 4347-5874
           E-mail: micikson@hipotecario.com.ar
                   nmvocos@hipotecario.com.ar

           Gabriel G. Saidon, Chief Financial Officer
           Tel. (54-11) 4347-5759/5212
           Fax (54-11) 4347-5874/5113
           E-mail: gsaidon@hipotecario.com.ar


CIELO SUR: Enters Bankruptcy on Court Orders
--------------------------------------------
Cielo Sur S.R.L. will enter bankruptcy protection after Court
No. 9 of Buenos Aires' civil and commercial tribunal, assisted
by Clerk No. 18, ordered the company's liquidation. The order
effectively transfers control of the company's assets to the
court-appointed trustee who will supervise the liquidation
proceedings.

Infobae reports that the court selected Mr. Silvio Gustavo
Gorbacz as trustee. He will be verifying creditors' proofs of
claims until the end of the verification phase on March 30.

Argentine bankruptcy law requires the trustee to provide the
court with individual reports on the forwarded claims and a
general report containing an audit of the company's accounting
and business records. The individual reports will be submitted
on May 11 followed by the general report that is due on June 23.

CONTACT: Cielo Sur S.R.L.
         Alfredo Palacios 1165
         Buenos Aires

         Mr. Silvio Gustavo Gorbacz, Trustee
         Leandro N. Alem 651
         Buenos Aires


CLUB ATLETICO ROSARIO: Informative Assembly Set for May 3
---------------------------------------------------------
The informative assembly for the Club Atletico Rosario Central
reorganization is scheduled on May 3 says Infobae. Creditors of
the Company will vote to ratify the completed settlement plan
during the assembly.

Court No. 8 of Rosario's civil and commercial tribunal has
jurisdiction over this case.


GRICORT S.R.L.: Declared Bankrupt by Court
------------------------------------------
San Lorenzo-based Gricort S.R.L. is now "Quiebra" - meaning
bankrupt, says Infobae. Court No. 12 of the city's civil and
commercial tribunal decreed the Company's bankruptcy and
appointed Ms. Raquel Lucia Morassi, as trustee for the Company.
However, no deadline has been set for the verification of
creditors' claims.

CONTACT: Ms. Raquel Lucia Morassi, Trustee
         San Martin 1320
         San Lorenzo (Santa Fe)


IL FRIUC: Court OKs Creditor's Bankruptcy Motion
------------------------------------------------
Court No. 13 of Buenos Aires' civil and commercial tribunal
declared Il Friuc S.R.L. bankrupt, says La Nacion. The ruling
comes in approval of the bankruptcy petition filed by the
Company's creditor, Argen Pool System S.A.

The Company's trustee, Mr. Ricardo Sukassian, will examine and
authenticate creditors' claims until June 13. This is done to
determine the nature and amount of the Company's debts.
Creditors must have their claims authenticated by the trustee by
the said date in order to qualify for the payments that will be
made after the Company's assets are liquidated.

Clerk No. 26 assists the court on the case that will conclude
with the liquidation of the Company's assets.

CONTACT: Il Friuc S.R.L.
         Av. Corrientes 3518
         Buenos Aires


INGENIERIA Y MANTENIMIENTO: Initiates Bankruptcy Proceedings
------------------------------------------------------------
Court No. 13 of Buenos Aires' civil and commercial tribunal
declared Ingenieria y Mantenimiento Electromecanico S.A.
"Quiebra," reports Infobae.

Mr. Miguel Adolfo Kupchik, who has been appointed as trustee,
will verify creditors' claims until March 25. Clerk No. 25
assists the court on the case that will close with the
liquidation of the Company's assets to repay creditors.

CONTACT: Mr. Miguel Adolfo Kupchik, Trustee
         Adolfo Alsina 1360
         Buenos Aires


MATERIALES CORDOBA: Debt Payments Halted, Set To Reorganize
-----------------------------------------------------------
Court No. 11 of Buenos Aires' civil and commercial tribunal is
now analyzing whether to grant Materiales Cordoba S.R.L.
approval for its petition to reorganize.

La Nacion recalls that the construction materials supplier filed
a "Concurso Preventivo" petition following cessation of debt
payments since June 2004.

The city's Clerk No. 22 assists the court in resolving this
case.

CONTACT: Materiales Cordoba S.R.L.
         Esmeralda 819
         Buenos Aires


SHIRLY S.A.: Court OKs Creditor's Bankruptcy Call
-------------------------------------------------
Shirly S.A. entered bankruptcy after Court No. 24 of Buenos
Aires' civil and commercial tribunal approved a bankruptcy
motion filed by Casa Dami S.A., reports La Nacion.

Working with the city's Clerk No. 47, the court assigned Mr.
Roberto Alfredo Mazzarella as trustee for the bankruptcy
process. The trustee's duties include the authentication of the
Company's debts and the preparation of the individual and
general reports. Creditors are required to present their proofs
of claims to the trustee by April 22.

The Company's assets will be liquidated at the end of the
bankruptcy process to repay creditors.

CONTACT: Shirly S.A.
         Tucuman 1429
         Buenos Aires

         Mr. Roberto Alfredo Mazzarella, Trustee
         Laprida 1411
         Buenos Aires


SONEC S.R.L.: Begins Liquidation on Court Orders
------------------------------------------------
Sonec S.R.L. will begin liquidating its assets after Court No.
24 of Buenos Aires' civil and commercial tribunal declared the
company bankrupt. Local news source Clarin reports that Mr. Jose
Migliorizzi filed the liquidation request.

The city's Clerk No. 47 assists the court on this case.

CONTACT: Sonec S.R.L.
         Las Heras 3035
         Buenos Aires


TRANSENER: Posts ARS121.5 Mln Net Losses for 2004
-------------------------------------------------
Argentina's largest electricity transmitter, Compania de
Transporte de Energia Electrica en Alta Tension Transener S.A.
(Transener), ended 2004 in the red despite higher sales, reports
Dow Jones Newswires.

In a filing with the Buenos Aires stock exchange, Transener
revealed a net loss of ARS121.5 million for 2004, reversing a
net profit of ARS59.6 million in 2003.

The loss came despite higher year-on-year net sales of ARS305.2
million in 2004, up from ARS275.7 million in 2003. At the same
time, its operating costs rose to ARS240.6 million from ARS202.2
million.

Transener cited financial results - mainly interest, inflation
and exchange rate-generated losses - as playing the greatest
role in bringing about the poorer performance on the year.

Financial results accounted for ARS145.8 million in losses for
2004, compared with a gain, due to exchange rate differences, of
ARS34.7 million during the previous year.

Administrative costs increased slightly to ARS32.6 million from
ARS31.9 million on the year, contributing to a drop in operating
profits to ARS32.0 million, compared with ARS41.6 million during
2003.

Regarding its debt, Transener said Tuesday:

"The medium term outlook is still difficult to predict, although
Transener will continue to work with its financial creditors
with the objective of restructuring its debt."

Nevertheless, the Company said that negotiations so far
"generate a reasonable expectation of reaching an accord in the
first quarter of 2005."

Transener's slow progress in restructuring debts of US$520
million has left it open to lawsuits and bankruptcy petitions
from disgruntled creditors.

Argentine oil and gas company Petrobras Energia (PECO.BA) and
local investment group Dolphin Fund Management hold equal stakes
in Citelec, Transener's holding company.

CONTACT:  Paseo Colon 728 6th Floor
          (1063) Buenos Aires
          Republica Argentina
          Tel: (54-11) 4342-6925
          Fax: (54-11) 4342-7147
          Email: info-trans@transx.com.ar
          Web site: http://www.transener.com.ar


TRANSPORTES MORETO: Liquidates Assets to Pay Debts
--------------------------------------------------
Transportes Moreto S.R.L. will begin liquidating its assets
following the liquidation pronouncement issued by Court No. 18
of Buenos Aires' civil and commercial tribunal.

The ruling places the company under the supervision of court-
appointed trustee Ruben Oscar Conti. The trustee will verify
creditors' proofs of claims until March 10. The validated claims
will be presented in court as individual reports on April 25.

Mr. Conti will also submit a general report, containing a
summary of the company's financial status as well as relevant
events pertaining to the bankruptcy, on June 7.

The bankruptcy process will end with the disposal of the
company's assets in favor of its creditors.

CONTACT: Mr. Ruben Oscar Conti, Trustee
         Corrientes 1967
         Buenos Aires


WORLD SAT: Files Petition to Reorganize
---------------------------------------
World Sat S.A. filed a "Concurso Preventivo" motion, reports La
Nacion. The Company is seeking to reorganize its finances
following cessation of debt payments since August 23, 2004.

The Company's case is pending before Court No. 19 of Buenos
Aires' civil and commercial tribunal. The city's Clerk No. 37
assists the court with the proceedings.

CONTACT: World Sat S.A.
         Moreno 574/84
         Buenos Aires



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

INTELSAT: Hires Phillip Spector as General Counsel  
--------------------------------------------------
Global satellite provider Intelsat announced Tuesday that
Phillip Spector, a well-known Washington attorney, has joined
the company as its Executive Vice President and General Counsel.
Mr. Spector joins Intelsat from the international law firm of
Paul, Weiss, Rifkind, Wharton & Garrison LLP, where he was the
managing partner of the Washington office and the Chairman of
the firm's Communications & Technology Group.

Mr. Spector has a strong background in the satellite sector,
having represented over his years in private practice not only
Intelsat, but also other major satellite operators, including
SES Global and PanAmSat. He has also been retained by large
users of satellite capacity, and by major satellite
manufacturers. A few years ago, a legal publication named him
"the leading satellite specialist in Washington," and he has
been profiled for his "skilled legal work" in American Lawyer.

Conny Kullman, the Chairman of the Board of Intelsat, Ltd. said:
"We are delighted that a lawyer of Phil's caliber has decided to
join Intelsat at this exciting time in the company's history.
Phil's wealth of knowledge of international telecommunications
issues, and his extensive experience in the Washington political
and regulatory arenas, makes him particularly well-suited to
guide our company's legal, regulatory and government affairs
activities on a global basis."

Mr. Spector, the former Chairman of the American Bar
Association's International Communications Committee, said: "I
am pleased to be part of the team at Intelsat, a company known
throughout the communications industry for its flexible and
diverse satellite fleet and strong global presence. With the new
ownership group in place, the company is poised to remain a
leading innovator in serving its customers with cutting-edge
communications solutions."

Mr. Spector graduated from Harvard University, where he received
a master's degree in public policy and a law degree, magna cum
laude, and where he was an editor of the Harvard Law Review. Mr.
Spector clerked on a federal appeals court and for Justice
Thurgood Marshall of the U.S. Supreme Court, before serving in
the White House from 1978 to 1980 as Associate Assistant to the
President. He has written many articles on satellite and
communications issues, and is the co-author of a book,
Communications and Technology Alliances.

About Intelsat

As a global communications leader with 40 years of experience,
Intelsat helps service providers, broadcasters, corporations and
governments deliver information and entertainment anywhere in
the world, instantly, securely and reliably. Intelsat's global
reach and expanding solutions portfolio enable customers to
enhance their communications networks, venture into new markets
and grow their businesses with confidence.

CONTACT: Intelsat, Ltd.
         E-mail: media.relations@intelsat.com
         Phone: +1 202-944-7500



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

EMBRATEL: Cuts DDD Rates Nationwide
-----------------------------------
Embratel is dropping all its basic plan rates for wireline-
wireline DDD calls within the same state on a simultaneous
basis, any day and any time, all over the country.

This unprecedented initiative is designed to make things still
easier for the customers, who don't need to spend any more time
checking the price lists of other carriers and calculating how
much they will spend with their DDD calls. All such benefits are
available by just dialing 21, since no enrollment is required.

In order to spread the news about the 21, Embratel released last
Sunday an advertising campaign made up of two TV films and
additional ads issued through radio stations, billboards and the
major Brazilian magazines.

A campaign was developed by F/Nazca agency for the Southern,
Northern, Northeastern and Southeastern states (excluding Sao
Paulo) of Brazil, whose main characters are neurons. The main
idea consists of showing to the customers that they don't have
to "overload   their neurons" with rate calculations; all they
have to do is dial 21 and save their money and their neurons,
because Embratel offers the lowest rates in the market.

In Sao Paulo, Embratel launched a campaign developed by
AlmapBBDO agency featuring Globo TV's "Casseta & Planeta"
performer and hostess Maria Paula, who is in charge of spreading
the news.

The campaign "Que vantagem Maria leva?" (What do we gain
anyway?) uses an old catch phrase well known by the public in
Brazil. The film shows a couple talking about the family
expenses with their DDD phone calls. The son, who was reading a
magazine, enters the conversation and advises the parents to
always dial 21 on their calls within the state. The mother then
asks "And what do we gain anyway?"  (Que vantagem Maria leva?")
At that point Maria Paula comes out to explain that Embratel has
dropped all its basic DDD rates, and the 21 offers the lowest
prices for calls made between the cities of Sao Paulo state.      

About Embratel

Embratel offers a range of complete telecommunications solutions
to the market all over Brazil, including local, long distance
domestic and international telephone services, data, video and
Internet transmission, and is present all over the country with
its satellite solutions.

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


KLABIN: Reveals $500M Investment Plan to Boost Cardboard Output
---------------------------------------------------------------
Paper producer Klabin SA plans to invest US$500 million in the
next four years to raise cardboard output at its Monte Alegre
plant to 700,000 metric tons annually from its current 320,000
metric tons, reports Bloomberg.

About two thirds of the increased capacity will be used to boost
exports to the U.S. and Europe.

Klabin is ramping up output as rising exports, coupled with
growing domestic demand, has the Company's plants working at
near- full capacity, Chief Executive Miguel Sampol Pou said.

Sales of corrugated paper, which accounts for 30% of revenue,
will grow 5% this year, after rising 12% in 2004 and falling 12
percent in 2003, Sampol said.

The investment is also part of the Company's drive to boost
sales of higher-margin goods, after selling assets in 2003 to
reduce its debt, said Catarina Pedrosa, an equity analyst at
Banif Investment banking in Sao Paulo.

"The market wants to see the Company selling more products with
more valued added to help it improve its profitability, said
Pedrosa, who rates the company's stock "neutral," meaning the
stock will rise between 5% and 20% in dollar terms by yearend.

CONTACT: Mr. Ronald Seckelmann
         CFO and IR Director

         Mr. Luiz Marciano Candalaft
         IR Manager
         Phone: (11) 3225-4045
         E-mail: marciano@klabin.com.br

         Mr. Gustavo Vittorazze Schroden
         IR Analyst
         Phone: (11) 3225-4059
         E-mail: gvschroden@klabin.com.br


TAM/VARIG: Requests 90 Days to End Code-Sharing Agreement
---------------------------------------------------------
Brazil's two largest airlines, Viacao Aerea Riograndense SA
(Varig) and TAM Linhas Aereas SA, have come up with a timetable
to phase out their code-sharing agreement, reports Dow Jones
Newswires.

Under the proposal, which was delivered to Brazil's antitrust
authority Cade Tuesday, the airlines are asking for a period of
90 days to end the agreement.

Cade is scheduled to examine the details at its next meeting on
Feb. 23.

The decision to end the code-sharing agreement could spell yet
more financial trouble for Varig. Cade had originally authorized
the code-sharing agreement to resolve Varig's estimated BRL6
billion ($1=BRL2.67) of debt.

But reports have it that Varig's financial advisor, Unibanco, is
drawing up a restructuring plan for the airline.

CONTACT:  VARIG (Viacao Aerea Rio-Grandense, S.A.)
          Rua 18 de Novembro No. 800, Sao Joao
          90240-040 Porto Alegre,
          Rio Grande do Sul, Brazil
          Phone: (51) 358-7039/7040
                 (51) 358-7010/7042
          Fax: +55-51-358-7001
          Home Page: www.varig.com.br/english/
          Contacts:
              Dorival Ramos Schultz, EVP Finance and CFO
              E-mail: dorival.schultz@varig.com.br

              Investor Relations:
              Av. Almirante Silvio de Noronha,
              n  365-Bloco "B" - s/458 / Centro
              Rio de Janeiro, Brazil


TAM: Records Highest Ever Net Profit
------------------------------------
TAM, Brazil's largest domestic airline, ended 2004 with a net
profit of BRL341 million, its highest ever net profit, reports
Dow Jones Newswires.

Net revenues were BRL4.7 billion, up 25.9% from 2003, TAM said,
adding, earnings before interest, tax, depreciation,
amortization and aircraft rental, or EBITDAR, reached BRL1
billion for the year, up 34.2% from 2003.

The strong performance in 2004 reflects the "severe management
of costs" and speedy decision-making, the firm said.

During 2004, TAM maintained its leadership in the domestic
airline market with an average 35.8% share. This rose to 41.2%
in December, primarily due to the collapse of operations at
debt-laden Viacao Aerea de Sao Paulo SA, or Vasp.

TAM is 72%-owned by Brazil's Amaro family.

CONTACT: TAM - Linhas Aereas
         Av. Jurandir, 856
         Jd. Aeroporto - Sao Paulo - SP
         Zip code: 04072-000
         PABX: (011) 5582-8811

         Web site: www.tam.com.br



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

* COLOMBIA: Fitch To Rate Global TES Bond 'BB'; Outlook Stable
--------------------------------------------------------------
Fitch Ratings has prospectively assigned a 'BB' rating to the
Republic of Colombia's expected US$300 million-equivalent issue
of fixed-rate peso-denominated, U.S. dollar-payable global bonds
maturing in October 2015. The rating is equal to Colombia's
long-term foreign currency sovereign rating. Colombia's long-
term local currency rating is 'BBB-'. The Rating Outlook is
Stable.

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

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



===================
C O S T A   R I C A
===================

ICE: Ponders Regulating VoIP
----------------------------
Costa Rica's electricity and telecoms monopoly ICE is seeing a
decline in long distance revenues in light of the increasing use
of VoIP technology, reports Business News Americas.

Many people are opting for VoIP as it is cheaper compared to a
direct call. A ten-minute direct dial call to the US from Costa
Rica costs around US$3.00, while the same call is just US$0.30
using VoIP.

Now, ICE is debating if VoIP is a value-added service, which is
to be regulated or if it is a use of public telecoms resources
and could be considered fraudulent.

Since 1998, ICE has been supporting a bill that, if approved,
would mean jail time for those illegally profiting from telecoms
services.

"VoIP has the characteristics to qualify as a telephone service,
it is considered as a substitute for regular service and it
requires the use of public infrastructure," ICE assistant
manager Claudio Bermudez was reported as saying.

ICE recognizes that changes to the bill may be required due to
advancements in technology, but that fraud still must be
punished, according to ICE legal director Giovanni Bonilla.



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

MILLICOM INTERNATIONAL: Revenue Increases 44% in 2004
-----------------------------------------------------
HIGHLIGHTS:

- Record quarterly total subscriber increase for Q4 04 of
859,968 (i)
- 27% increase in revenues for Q4 04 to $255.7m (Q4 03:
$201.1m)*
- 33% increase in EBITDA for Q4 04 to $123.8m (Q4 03: $92.8m)*
- Profit for Q4 04 of $25.9m (Q4 03: loss of $10.2m)
- Earnings per common share for Q4 04 of $0.28 (Q4 03: loss of
$0.16)
- 44% increase in revenues for the year to Dec 2004 to $919.3m
(2003: $638.6m)*
- 43% increase in EBITDA for the year to Dec 2004 to $455.3m
(2003: $317.8m)*
- Profit for the year to Dec 2004 of $68.2m (2003: $178.8m)
- Earnings per common share for the year to Dec 2004 of $0.82
(2003: $2.74)

Millicom International Cellular S.A. (Nasdaq Stock Market:
MICC), the global telecommunications investor, announced Tuesday
results for the quarter and year ended December 31, 2004.

Marc Beuls, Millicom's President and Chief Executive Officer
stated:

"Millicom had a strong year with increasing growth in
subscribers quarter on quarter and total growth in revenues for
the year of 44%. Today Millicom has reached a total of 8 million
subscribers across its operations. This excellent momentum has
been created by a combination of additional investment in GSM
and price elasticity in our main markets. In 2004 Millicom
rolled out GSM across Central and South America and we have
rebranded our GSM offering under the Tigo brand. Tigo has
enabled Millicom to attract higher spending customers,
particularly in Central America, which is our largest region in
terms of revenues. In November we launched a GSM network in
Pakistan leading to rapid growth, so that by the year-end we had
more than one million customers in this market and Paktel has
added in excess of 275,000 new GSM customers to date. The other
key driver to growth in 2004 has been the price elasticity we
experienced following tariff reductions for customers,
particularly in Vietnam, which have driven minutes of use for
our existing customers, as well as enabling us to penetrate
these markets more rapidly as cellular services become more
affordable.

"This strong growth was achieved whilst operating at an annual
EBITDA margin of just below 50%. The margin in the fourth
quarter of 48% was impacted by the launch of the GSM service by
Paktel in Pakistan. It will take Paktel more than two years to
reach the margins it was experiencing prior to the launch of
GSM. This will erode Millicom's overall margin somewhat over
that period of time.

"In December 2004 and January 2005 Millicom successfully raised
and settled some $400 million, split evenly between equity and
convertible debt, and the proceeds of this will be used
primarily for funding our businesses in Vietnam and Pakistan.
Negotiations for an extension of our co-operation with VMS in
Vietnam are ongoing and a decision on the future of the co-
operation is expected in the second quarter. In Pakistan,
Millicom extended Paktel's license and is waiting to be offered
formal terms by the regulator to extend Pakcom's license."

FINANCIAL AND OPERATING SUMMARY*

Subscriber growth:

- An annual increase in total cellular subscribers of 36% to
7,713,201 as at December 31, 2004.

- An annual increase in proportional cellular subscribers of 32%
to 5,332,259 as at December 31, 2004.

- In the fourth quarter of 2004 Millicom added 859,968 net new
total cellular subscribers.

- Proportional prepaid subscribers increased to 4,756,113 from
3,550,322 as at December 31, 2003.

Financial highlights:

  - Revenues for the fourth quarter of 2004 were $255.7 million,
an increase of 27% from the fourth quarter of 2003. Compared to
the third quarter of 2004, revenues increased by 9% from $235.3
million.

  - EBITDA increased by 33% in the fourth quarter of 2004 to
$123.8 million, from $92.8 million for the fourth quarter of
2003. Compared to the third quarter of 2004, EBITDA increased by
5% from $117.4 million.

  - Total shareholders' equity was $239.0 million at December
31, 2004, compared to ($85.2) million as at December 31, 2003,
resulting from the profit of the year 2004, the equity offering
and the conversion of the 2% PIK Notes.

  - Profit for the fourth quarter of 2004 was $25.9 million,
compared to a loss of $10.2 million for the fourth quarter of
2003.

- Net debt excluding the 5% mandatory exchangeable notes reduced
to $327.4 million giving a net debt to EBITDA ratio of 0.72.

- Capital expenditure for the year ended December 31, 2004 was
$237.0 million.

- Total cellular minutes increased by 38% for the three months
ended December 31, 2004 from the same quarter in 2003. Prepaid
minutes increased by 47% in the same period.

- Paktel, one of Millicom's businesses in Pakistan, saw the
launch of its GSM network delayed by four months following a
dispute with the PTA (Pakistan regulator), which impacted the
business in South Asia in the fourth quarter. Agreement was
reached in October 2004 when the PTA agreed that Paktel could
switch on its GSM network without charge and renew its license
for 15 years from October 23rd 2004 for a fee of $291 million
payable over 13 years.

- On November 8th 2004, Millicom's subsidiary Comvik
International Vietnam signed a second Memorandum of
Understanding with Vietnam Mobil Telephone Services Company
(VMS-MobiFone) expressing the wish of both parties to continue
working together in the future in the form of a Joint Stock
Company incorporated under the Law on Enterprises of Vietnam.

- In November Millicom won a tender for a ten-year license to
operate a GSM 900 network in the Republic of Chad, Central
Africa.

- In December, Millicom extended its cellular licenses in El
Salvador and Ghana until 2018 and 2019 respectively.

- In the fourth quarter Millicom raised some $400 million.

Millicom announced a concurrent offering of 8 million shares in
the form of Ordinary Shares or Swedish Depository Receipts
(SDRs) and $175 million of 4% Convertible Bonds due 2010 (the
"4% Bonds") convertible into Ordinary Shares and/or SDRs. An
additional amount of 1 million Ordinary Shares/SDRs and an
additional 15% aggregate principal amount of the 4% Bonds were
issued upon the exercise of options granted to the managers of
the transaction, making the aggregate Share Offering 9 million
Ordinary Shares and the aggregate principal amount of the 4%
Bonds $200 million. The net proceeds of the offering of the $200
million 4% Bonds were paid and settled on January 7, 2005 in the
amount of $195,875,000.

REVIEW OF OPERATIONS SUBSCRIBER GROWTH

In the fourth quarter of 2004 Millicom's worldwide operations
added a record 859,968 net new total cellular subscribers. On a
proportional basis, Millicom added 594,538 subscribers, bringing
the number of proportional cellular subscribers as at December
31, 2004 to 5.3 million.

At December 31, 2004, Millicom's total cellular subscriber base
increased by 36% to 7,713,201 cellular subscribers from
5,690,542 as at December 31, 2003. Particularly significant
percentage increases were recorded in Ghana (135%), Laos (132%),
Tanzania (79%) and Vietnam (79%). Millicom's proportional
subscriber base increased to 5,332,259 as at December 31, 2004
from 4,025,577 as at December 31, 2003, an increase of 32%.
Within the 5,332,259 proportional cellular subscribers reported
at the end of the fourth quarter, 4,756,113 were prepaid
subscribers. Prepaid subscribers currently represent 87% of
total and 89% of proportional cellular subscribers.

FINANCIAL RESULTS FOR THE THREE MONTHS ENDED DECEMBER 31, 2004*

Total revenues for the three months ended December 31, 2004 were
$255.7 million, an increase of 27% from the fourth quarter of
2003 and of 9% from the previous quarter, reflecting the
increasing trend of growth in Millicom's operations. Millicom
recorded revenue growth in Africa of 63% to $44.4m in the fourth
quarter of 2004 compared with the same period in 2003, with
Tanzania producing growth of 85%.

Fourth quarter revenues for South East Asia were $64.6 million
compared to $50.2 million in the fourth quarter of 2003, an
increase of 29% and for South Asia, revenues were $24.9 million,
a 15% decrease from the fourth quarter of 2003, owing to the
delay in launching GSM services and a reduction in the long
distance and international toll charges in Pakistan.

The Central American market continued to perform strongly,
producing a 30% increase in revenues from $67.4 million for the
fourth quarter of 2003 to $87.9 million for the fourth quarter
of 2004. Comcel, our joint venture in Guatemala was mentioned in
an investigation by the Guatemalan authorities into political
donations to the administration of the former President. Such
political donations are lawful and common practice in Guatemala
and Comcel is confident that these actions will be confirmed as
legitimate political support.

In South America, revenue growth at 24% has improved
significantly and Paraguay and Bolivia produced revenue
increases of 27% and 20% respectively.

EBITDA for the three months ended December 31, 2004 was $123.8
million, an increase of 33% from the quarter ended December 31,
2003. EBITDA for Africa increased by 90% to $21.8 million in the
fourth quarter of 2004 from $11.5 million in the fourth quarter
of 2003, due to strong results and a settlement in Millicom's
favor of an interconnect dispute in Mauritius.

EBITDA for South East Asia was $40.3 million for the fourth
quarter, an increase of 65% from the same period in 2003 and
South Asia saw a decline in EBITDA in the fourth quarter of 2004
to $4.9 million, due to decreased sales for the reasons
mentioned above and increased sales and marketing costs during
the period leading up to the launch of the GSM services in
Pakistan. Central America recorded growth in EBITDA of 40% from
the fourth quarter of 2003 to $44.7 million and the equivalent
increase for South America was 37% giving EBITDA of $12.9
million. The quarterly EBITDA margin for South East Asia was 62%
and for South Asia it was 20%.

Central America recorded an EBITDA margin of 51% and for South
America it was 40%.

The EBITDA margin for Africa was 49%.

Compared to the third quarter of 2004, Group EBITDA increased by
5%. For Africa the increase was 30% and South East Asia and
South America both demonstrated growth of over 10% from the
previous quarter.

FINANCIAL RESULTS FOR THE YEAR ENDED DECEMBER 31, 2004*

Total revenues for the year ended December 31, 2004 were $919.3
million, an increase of 44% from 2003. Revenues for Africa were
$150.0 million, increasing by 77%. In South East Asia, revenues
were $231.8 million, an increase of 32% from 2003 and revenues
for South Asia were $113.2 million, up 7%. Revenues for Central
America were $305.0 million, an increase of 84% from 2003,
reflecting growth and the reconsolidation of El Salvador since
September 2003. For South America, revenues were $114.0 million
, an increase of 15% from 2003.

EBITDA was $455.3 million for the year, an increase of 43% over
2003. Most notably Africa recorded an 85% increase to $65.8
million for the year ended December 31, 2004. EBITDA for South
East Asia was $141.3 million, up 37% from the year to December
2003, and EBITDA for South Asia was $49.2 million, down 11%.

Central America recorded EBITDA of $155.6 million, up 81%,
reflecting growth and the reconsolidation of El Salvador. EBITDA
for South America increased 19% year on year to $44.6 million.
For the year ended December 31, 2004, the Group EBITDA margin
was 49.5%; for South East Asia 61%, for South Asia 43%, for
Central America 51%, for South America 39% and for Africa 44%.

The profit for the years ended December 31, 2004 and 2003 was
$68.2 million and $178.8 million respectively. The basic
earnings per common share for the years ended December 31, 2004
and 2003 was $0.82 and $2.74 respectively. The profit for the
years to December 2004 and 2003 included, amongst others, a net
gain of $21.6 million and $257.1 million respectively, relating
to the valuation movement on investment in securities, the fair
value result on financial instruments and the gain on debt
restructuring.

Total cellular minutes increased by 39% for the year to December
2004 compared with 2003.

COMMENTS ON FINANCIAL STATEMENTS

The net value of licenses increased to $277.5 million in the
fourth quarter of 2004. This increase was primarily due to the
acquisition and/or renewal of licenses in Pakistan, Ghana, El
Salvador and Chad. The value of the Paktel license was recorded
at the present value of the total cash outflows payable from
2004 to 2017 of a gross amount of $291.0 million, resulting in a
license value of $216.5 million.

The unpaid portion of the licenses is recorded under the
captions `other non-current liabilities' and `other current
liabilities'. As of December 31, 2004, the Paktel license
results in a non-current liability of $176.0 million and a
current liability of $28.3 million. The license in Ghana results
in a non-current liability of $11.7 million and a current
liability of $4.0 million.

In the fourth quarter Millicom recorded a $7.1 million asset
impairment on AMPS and TDMA network equipment as a result of GSM
migration in a number of operations. In addition Millicom has
decided to shorten the amortization period on AMPS and TDMA
network equipment in the relevant markets so that these assets
will be fully amortized by the end of 2008.

For the fourth quarter of 2004, the conversion to US dollars of
the 5% mandatory exchangeable Notes in Tele2 shares (the "5%
Notes") resulted in an exchange loss of $31.5 million. This loss
was offset by a gain resulting from the valuation movement on
the Tele2 shares of $18.0 million and a gain on the fair value
result of the embedded derivative on the 5% Notes of $16.3
million. This resulted in a net gain of $2.8 million for the
quarter.

For the year 2004, the conversion to US dollars of the 5% Notes
resulted in an exchange loss of $27.5 million and the valuation
movement on the Tele2 shares resulted in a loss of $127.2
million. These losses were offset by a gain on the fair value
result of the embedded derivative on the 5% Notes of $148.7
million resulting in a net loss for the year of $6.0 million.

The interest expense for the fourth quarter of 2004 comprised
prepaid interest and amortization of deferred financing fees on
the 5% Notes of $6.4 million, interest and amortization of
deferred financing fees on the 10% Notes of $14.8 million,
interest expenses of $2.3 million computed on the Paktel license
payable, interest expense of $2.1 million due to the early
repayment of debt to a former minority holder of El Salvador
which was recorded at the present value of the expected cash
outflows, and interest expenses on other debt and financing of
$5.6 million.

`Other operating income' represents a compensation of $3.3
million received from a supplier due to the late delivery of
network equipment in Central and South America. The total
compensation to which Millicom is entitled amounts to
approximately $9.8 million. The compensation is in the form of
vouchers to be used for future purchase of equipment. The
recognition as other operating income occurs when the equipment
is delivered. Millicom currently has a contingent asset of
approximately $6.5 million representing compensation that is
expected to be recognized as other operating income in the first
and second quarters of 2005, when the equipment is delivered.

NOMINATIONS COMMITTEE FOR THE 2005 ANNUAL GENERAL MEETING OF
SHAREHOLDERS

Following the Annual General Meeting of Shareholders of Millicom
held in May 2004, a Nominations Committee was created. The
Nominations Committee members are Cristina Stenbeck (Chairman),
Vigo Carlund and Daniel Johannesson.

The Nominations Committee will submit a proposal for the
composition of the Board of Directors that will be presented for
approval to the 2005 Annual General Meeting of Shareholders that
will be held Tuesday, May 31, 2005.

Shareholders who would like to suggest representatives for the
Millicom Board of Directors can send a letter to AGM, Millicom
International Cellular S.A., 75 Route de Longwy, L-8080
Bertrange, Luxembourg or an email to agm@millicom.com.

About Millicom

Millicom International Cellular S.A. is a global
telecommunications investor with cellular operations in Asia,
Latin America and Africa. It currently has a total of 17
cellular operations and licenses in 16 countries. The Group's
cellular operations have a combined population under license of
approximately 399 million people.

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

CONTACT: Mr. Marc Beuls
         President and Chief Executive Officer
         Millicom International Cellular S.A.
         Luxembourg
         Phone: +352 27 759 327

         Web site: http://www.millicom.com

         Mr. Andrew Best Telephone
         Investor Relations
         Shared Value Ltd, London
         Phone: +44 20 7321 5022



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

AIR JAMAICA: Planes Return to Service
-------------------------------------
Passengers of state-controlled Air Jamaica can expect a return
to regular flight schedules after two planes, grounded last week
for mandatory maintenance checks, returned to serve its routes.

Air Jamaica underwent the quality assurance checks upon the
recommendation of the United States Federal Aviation
Administration (FAA), which had inspected the carrier's planes
in December. The Jamaican government provided funding for the
check-up.

The Asia Intelligence Wire reports that the airline's service
bogged down last week as a result of the maintenance checks.
Passengers suffered flight delays and cancellations despite
prior assurance from the government that the grounding would be
conducted during the tourist off-peak season.

Air Jamaica had recorded accumulated losses amounting to 600
million Jamaican dollars when the government assumed control on
December.

CONTACT:  AIR JAMAICA
          Corporate Communications
          Tel: 876-922-3460 ext 4060-5
          URL: www.airjamaica.com



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

HYLSAMEX: Spin-Off Speculations Puts Stock Value US$2.4B
--------------------------------------------------------
Analysts believe Mexican steel maker Hylsamex, seen as a
takeover target, could be worth about US$2.4 billion or more
after a turnaround, relates Reuters.

The US$2.4 billion figure for all Hylsamex's stock translates
into an offer of MXN45 per share, a 22% premium from its current
price levels for its B and L series shares.

"They would not be giving it away at that price but it would not
be the best price either," said Vector analyst Carlos
Hermosillo, adding the figure was at the low end of his price
range.

Hylsamex is being spun off from its parent company Alfa, one of
Mexico's largest conglomerates that sells a range of products
from petrochemicals to processed cheese.

Alfa, which holds 51% of Hylsamex's voting shares and 42% of all
outstanding shares, has yet to call a shareholders meeting to
move forward with its spin off, originally scheduled for the
first quarter of this year.

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


TV AZTECA: Expected to Post Improved Performance for 2004
---------------------------------------------------------
The fourth quarter of 2004 could be another period in the black
for Mexican broadcaster TV Azteca as a stronger economy is
expected to pull profits 7.5 percent, or MXP675 million, from
last year's results.

Reuters reports that the Mexican Peso's 2 percent gain against
the dollar could help move revenues to some MXP2.507 billion in
the final quarter. Meanwhile, EBITDA is predicted at MXP1.287
billion for the same period.
  
Analyst Ana Gabriela Ocejo of Scotiabank Inverlat, explained in
the report that higher sales plus consistent cost structures
could translate into good end figures for the Company.

TV Azteca, a major producer of Spanish-language television
programming in the U.S and operates two national television
channels in Mexico, controls 46.5 percent of mobile telephone
company Unefon and 50 percent interest in Todito, a company that
operates a Spanish-language Internet portal, Internet connection
service and e-commerce marketplace in Mexico.

CONTACT: Television Azteca SA de CV
         Periferico Sur 4121, C.P. 14141
         Fuentes del Pedregal,  
         Phone: (212) 815-2206
         Fax: (212) 571-3050
         E-mail: rvillarreal@tvazteca.com.mx

         Web Site: http://www.tvazteca.com.mx/



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

CENTENNIAL COMMUNICATIONS: Appoints New Senior VP
-------------------------------------------------
On February 11, 2005, Thomas E. Bucks, Senior Vice President,
Controller, announced his intention to resign from Centennial
Communications Corp. effective February 22, 2005.

On February 11, 2005, Frank Hunt, Vice President, Controller for
Centennial's Caribbean operations was appointed to replace Mr.
Bucks as Senior Vice President, Controller, effective February
22, 2005. Mr. Hunt is 40 years of age, has been with Centennial
since 1997 and has held numerous positions within Centennial's
corporate and Caribbean finance and billing organizations.

It is expected that Centennial and Mr. Hunt will enter into a
one-year employment agreement that provides for an annual base
salary of $200,000 and a target bonus of $100,000. The term of
Mr. Hunt's employment agreement will automatically renew for
subsequent one-year terms unless Centennial or Mr. Hunt give
notice of non-renewal. It is expected that Mr. Hunt's employment
agreement will provide for one-year of severance in the event of
his termination of employment under specified circumstances.
During his employment term and for a period of one year
following the termination of his employment, it is expected that
Mr. Hunt will be subject to certain non-competition and non-
solicitation provisions.



=================================
T R I N I D A D   &   T O B A G O
=================================

NBN: Government Fires Board  
---------------------------
National Broadcasting Network's (NBN) Board of Directors proved
to be another casualty in the closure of the state-owned media
company after the government terminated their services Monday.

The Trinidad Guardian reveals that the Board's dismissal comes
after the retrenchment of around 255 workers last month. The
eport adds that Airports Authority director Louis McSween could
be the likely replacement to former board chairman Ulric Warner.
The government had previously intended to retain the board
during the changeover to the Caribbean New Media Group (CNMG),
an agency created to replace NBN.

Mounting losses and falling viewership triggered NBN's closure
last year. Criticisms over alleged partiality to the government
also eroded the Company's credibility and led to its decline.



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

PDVSA: France's Total Seeks Accord on Sincor II By Aug.
-------------------------------------------------------
French oil producer Total expects to sign a preliminary accord
with Venezuela's state oil firm PDVSA to develop its Sincor II
heavy oil upgrade project by August this year, reports Business
News Americas.

Total President Thierry Demarest recently announced that the
project "represents an investment of US$5bn over seven years."

The Sincor II project, which would involve further development
of the existing Sincor heavy crude venture in Venezuela's so-
called Orinoco oil belt, will include three partners: Total,
Norway's Statoil and Petroleos de Venezuela, or PDVSA.

"We have the intention to (keep) the three companies together
for Sincor II," said Demarest.


PDVSA: Mulls Asset Sale in U.S.
-------------------------------
PDVSA plans to insulate itself from the American market by
divesting some of its assets in the U.S., reports El Universal.

Mr. Ivan Orellana, a member of the Board, revealed that the
state-owned oil giant intends to reduce exposure to the market
by strategically selling properties in some areas. However, Mr.
Orellana did not elaborate on the fate of Citgo, PDVSA's
refining and marketing branch in the United States.



                            ***********


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

This material is copyrighted and any commercial use, resale or
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