/raid1/www/Hosts/bankrupt/TCRLA_Public/050511.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, May 11, 2005, Vol. 6, Issue 92
Headlines
A R G E N T I N A
ALPI ASOCIACION: Court Grants Reorganization Plea
ARCHIVOS RICLA: Enters Bankruptcy on Court Orders
ATENEA S.A.: Reorganization Concluded
BANCO RIO: US$1B Worth of Bonds Retain Fitch's 'BBB(arg)' Rating
BLANQUITA S.A.: Enters Bankruptcy on Court Orders
CIT S.A.: Liquidates Assets to Pay Debts
CONARTE CONSTRUCCIONES: Liquidating Assets to Pay Debts
DICRIS S.R.L.: Enters Bankruptcy on Court Orders
DRAGAMAR S.A.: Verification Deadline Approaches
DYT COMUNICACIONES: Court Rules for Liquidation
EL CORRAL: Judge Approves Bankruptcy
FRIO Y CALOR: Court Authorizes Plan, Concludes Reorganization
GIAC GAS: Court Grants Reorganization Plea
MASTELLONE HERMANOS: S&P Maintains 'raD' Rating to Bonds
MEGAMARKETING S.A.: Court Orders Liquidation
NORVEGA S.A.: Verification Deadline Fixed
PETROBRAS ENERGIA: High Oil Prices Boost Profit in 1Q05
PROPLASTIC S.R.L.: Halts Debt Payments, Moves to Reorganize
SEGURIDAD JAGUAR: Court Declares Company Bankrupt
SERIE S.R.L.: Liquidating Assets to Pay Debts
SERVI TRA: Gets Court Approval for Reorganization
SIDECO AMERICANA: Bonds Remain at 'B(arg)' Level
SISTEMAS INTEGRALES: Court Declares Company Bankrupt
B E R M U D A
BERMUDA BAKERY: Returns to Profit at End 2004
FOSTER WHEELER: Awarded Project Management Consultancy Contract
B R A Z I L
BANCO BADRESCO: Announces Net Income of R$1.2 Bln in 1Q05
BRASIL FERROVIAS: Restructuring Plan Completed
BRASKEM: Details 2nd Amendment To MOU, Shareholders Agreement
GLOBOPAR: Announces Launch of Dutch Auction
MRS LOGISTICA: Net Income Surpasses R$90 Mln in 1Q05
C H I L E
COEUR D'ALENE: Reports Improved First Quarter Results
D O M I N I C A N R E P U B L I C
EDENORTE/EDESUR: Govt. Presents Debt Proposal to Union Fenosa
J A M A I C A
C&W JAMAICA: Seeks Reversal of OUR Ruling
M E X I C O
HYLSAMEX: Techint Presents Purchase Offer
P E R U
BANCO WIESE: Ends 1Q05 With $2.06M Profits
SIDERPERU: A&A Raises Rating on Corporate Bonds to Category C
V E N E Z U E L A
PDVSA: Chavez Complains About Media Campaign Against Company
PDVSA: El Palito Refinery Processes 130 BPD Of Crude
PDVSA: Loyal Employees Get Identity Cards
- - - - - - - -
=================
A R G E N T I N A
=================
ALPI ASOCIACION: Court Grants Reorganization Plea
-------------------------------------------------
Alpi Asociacion Civil, a company operating in Buenos Aires,
begins reorganization proceedings after Court No. 18 of the
city's civil and commercial tribunal, with assistance from Clerk
No. 36, granted its petition for "concurso preventivo".
During the reorganization, the company will be able to negotiate
a settlement proposal for its creditors so as to avoid a
straight liquidation.
According to Argentine news source Infobae, the reorganization
will be conducted under the direction of local accounting firm
"Estudio Moussoli, Duschatzky, Maccio y Asociados."
Creditors with claims against the Company must present proofs of
these debts to the trustee by August 10. These claims will
constitute the individual reports to be submitted in court on
September 22.
The court also requires the trustee to present an audit of the
company's accounting and business records through a general
report due on November 4. An informative assembly for the
Company's creditors is also scheduled on May 10.
CONTACT: "Estudio Moussoli, Duschatzky, Maccio y Asociados"
Trustee
Lavalle 1882
Buenos Aires
ARCHIVOS RICLA: Enters Bankruptcy on Court Orders
-------------------------------------------------
Archivos Ricla S.R.L. enters bankruptcy protection after Court
No. 12 of Buenos Aires' civil and commercial tribunal, with the
assistance of Clerk No. 23, ordered the company's liquidation.
The order effectively transfers control of the company's assets
to a court-appointed trustee who will supervise the liquidation
proceedings.
Infobae reports that the court selected Ms. Lia Stella Maris
Alvarez as trustee. Ms. Alvarez will accept creditors proof of
claims until June 27.
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 August 8 followed by the general report that is due on
September 19.
CONTACT: Ms. Lia Stella Maris Alvarez, Trustee
Cerrito 146
Buenos Aires
ATENEA S.A.: Reorganization Concluded
-------------------------------------
The settlement plan proposed by Atenea S.A. for its creditors
acquired the number of votes necessary for confirmation. As
such, the plan has been endorsed by Court No. 2 of Salta's civil
and commercial tribunal and will now be implemented by the
company.
CONTACT: Atenea S.A.
Caseros 723
Salta
Phone: (0387) 431-0300
BANCO RIO: US$1B Worth of Bonds Retain Fitch's 'BBB(arg)' Rating
----------------------------------------------------------------
Fitch Argentina Calificadora de Riesgo S.A. maintained the'
BBB(arg)' rating given to US$1 billion worth of 'Program'
described as "Programa de Obligaciones Negociables tramo
subordinado por US$1000.000.000."
The rating action, which was taken based on the Company's
financial status as of December 31, 2004, means that the issue
carries an adequate credit risk relative to other issues in
Argentina.
Banco Rio de la Plata, the Argentine subsidiary of Spanish
financial affiliates Grupo Santander (NYSE: STD), is one of
Argentina's three largest private sector banks.
CONTACT: BANCO RIO DE LA PLATA S.A.
Bartolome Mitre 480
1036 Buenos Aires, Argentina
Phone: +54-14-341-1081-1580
Fax: +54-14-341-1074-1084
Web site: http://www.bancorio.com.ar
BLANQUITA S.A.: Enters Bankruptcy on Court Orders
-------------------------------------------------
Blanquita S.A. enters bankruptcy protection after Court No. 6 of
Buenos Aires' civil and commercial tribunal, with the assistance
of Clerk No. 12, ordered the company's liquidation. The order
effectively transfers control of the company's assets to a
court-appointed trustee who will supervise the liquidation
proceedings.
Infobae reports that the court selected Mr. Marcelo Horacio
Liderman as trustee. Mr. Liderman will be verifying creditors'
proofs of claims until the end of the verification phase on July
1.
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 August 12 followed by the general report that is due on
September 23.
CONTACT: Mr. Marcelo Horacio Liderman, Trustee
Pinzon 1555
Buenos Aires
CIT S.A.: Liquidates Assets to Pay Debts
----------------------------------------
Buenos Aires-based Cit S.A. will begin liquidating its assets
following the pronouncement of the city's civil and commercial
Court No. 24 that the company is bankrupt, reports Infobae.
The ruling places the company under the supervision of court-
appointed trustee Mirta Calfun de Bendersky. Ms. Bendersky will
verify creditors' proofs of claims until July 15. The validated
claims will be presented in court as individual reports on
September 12.
The Trustee 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 November 25.
The bankruptcy process will end with the sale of the Company's
assets.
CONTACT: Ms. Mirta Calfun de Bendersky, Trustee
Humahuaca 4165
Buenos Aires
CONARTE CONSTRUCCIONES: Liquidating Assets to Pay Debts
-------------------------------------------------------
Buenos Aires-based Conarte Construcciones S.R.L. will begin
liquidating its assets following the pronouncement of the city's
Court No. 16 that the company is bankrupt, reports Infobae.
The ruling places the company under the supervision of court-
appointed trustee Nora Cristina Roger. The trustee will verify
creditors' proofs of claims until July 7. The validated claims
will be presented in court as individual reports on September 1.
The trustee 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 October 13.
The bankruptcy process will end with the disposal of company
assets in favor of its creditors.
CONTACT: Conarte Construcciones S.R.L.
Avda Rivadavia 5474
Buenos Aires
Ms. Nora Cristina Roger, Trustee
Hipolito Yrigoyen 1349
Buenos Aires
DICRIS S.R.L.: Enters Bankruptcy on Court Orders
------------------------------------------------
Court No. 25 of Buenos Aires' civil and commercial tribunal
declared Dicris S.R.L. bankrupt after the company defaulted on
its debt payments. The order effectively places the company's
affairs as well as its assets under the control of court-
appointed trustee Estevez Indurain Vazquez.
As trustee, Mr. Vazquez is tasked with verifying the
authenticity of claims presented by the company's creditors. The
verification phase is ongoing until June 14.
Following claims verification, the trustee will submit the
individual reports based on the forwarded claims for final
approval by the court on August 12. A general report will also
be submitted on September 26.
Infobae reports that Clerk No. 50 assists the court on this
case.
CONTACT: Mr. Estevez Indurain Vazquez, Trustee
Uruguay 750
Buenos Aires
DRAGAMAR S.A.: Verification Deadline Approaches
-----------------------------------------------
The verification of claims for the Dragamar S.A. bankruptcy case
will end on June 21 according to Infobae. Creditors with claims
against the bankrupt company must present proof of the
liabilities to Mr. Jorge Alcides Chiaia, the court-appointed
trustee, before the deadline.
Court No. 6 of Buenos Aires' civil and commercial tribunal
handles the company's case with the assistance of Clerk No. 12.
The bankruptcy will conclude with the liquidation of the
company's assets to pay its creditors.
CONTACT: Mr. Jorge Alcides Chiaia, Trustee
Suipacha 190
Buenos Aires
DYT COMUNICACIONES: Court Rules for Liquidation
-----------------------------------------------
Court No. 12 of Buenos Aires' civil and commercial tribunal
ordered the liquidation of DYT Comunicaciones S.R.L. after the
company defaulted on its debt obligations, Infobae reveals. The
liquidation pronouncement will effectively place the company's
affairs as well as its assets under the control of Mr. Jorge
Podhorzer, the court-appointed trustee.
Mr. Podhorzer will verify creditors' proofs of claims until June
16. The verified claims will serve as basis for the individual
reports to be submitted in court on August 11. The submission of
the general report follows on September 23.
Clerk No. 24 assists the court on this case that will end with
sale of the company's assets.
CONTACT: Mr. Jorge Podhorzer, Trustee
Pasaje del Carmen 716
Buenos Aires
EL CORRAL: Judge Approves Bankruptcy
------------------------------------
El Corral S.A. of Buenos Aires was declared bankrupt after Court
No. 18 of the city's civil and commercial tribunal endorsed the
petition of Delirio By Yanny S.R.L. for the company's
liquidation.
Argentine daily La Nacion reports that the court assigned Ms.
Beatriz Muruaga to supervise the liquidation process as trustee.
Ms. Muruaga will validate creditors' proofs of claims until June
25.
The city's Clerk No. 36 assists the court in resolving this
case.
CONTACT: El Corral S.A.
Galvan 3238
Buenos Aires
Ms. Beatriz Muruaga, Trustee
Aguero 1290
Buenos Aires
FRIO Y CALOR: Court Authorizes Plan, Concludes Reorganization
-------------------------------------------------------------
Buenos Aires-based Frio y Calor S.A. concluded its
reorganization process, according to data released by Infobae.
The conclusion came after the city's civil and commercial Court
No. 3, with assistance from Clerk No. 6, homologated the debt
plan signed between the Company and its creditors.
GIAC GAS: Court Grants Reorganization Plea
------------------------------------------
Giac Gas S.A., a company operating in Buenos Aires, begins
reorganization proceedings after Court No. 16 of the city's
civil and commercial tribunal, with assistance from Clerk No.
32, granted its motion for "concurso preventivo".
During the reorganization, the company will be able to negotiate
a settlement proposal for its creditors so as to avoid a
straight liquidation.
According to Argentine news source Infobae, the reorganization
will be conducted under the direction of accounting firms
"Estudio Martinez Angelini y Asociados", "Chiaia, Sotlzing y
Asociados" and "Disanto, Fazio, Fr", who will serve as co-
trustees.
Creditors with claims against the Company must present proofs of
the company's indebtedness to the trustees before July 8. These
claims will constitute the individual reports to be submitted in
court on October 3. The court also requires the trustee to
present an audit of the company's accounting and business
records through a general report due on December 14.
An informative assembly for the Company's creditors is scheduled
on August 2 next year.
CONTACT: "Estudio Martinez Angelini y Asociados"
Trustee
Libertad 877
Buenos Aires
"Chiaia, Sotlzing y Asociados"
Trustee
Suipacha 190
Buenos Aires
MASTELLONE HERMANOS: S&P Maintains 'raD' Rating to Bonds
--------------------------------------------------------
Standard & Poor's International Ratings, Ltd. Sucursal Argentina
retained the 'raD' rating given to US$7.091 Million worth of
corporate bonds issued by Mastellone Hermanos S.A., the CNV
reveals in its Web site.
The bonds were classified under `simple issue' and are described
as "Obligaciones Negociables monto original U$S225 millones."
The issue has an undated maturity.
S&P gives the `raD' rating to financial obligations that are
currently in default. The ratings agency said that the same
rating may be issued if interest or principal payments are not
made on the due even if the applicable grace period has not
expired.
The ratings given were based on the Company's finances as of
December 31, 2004.
MEGAMARKETING S.A.: Court Orders Liquidation
--------------------------------------------
Court No. 12 of Buenos Aires' civil and commercial tribunal
declared Megamarketing S.A. bankrupt, says La Nacion. The ruling
comes in approval of the petition filed by the Company's
creditor, Ms. Angelica Zuniga.
Court-appointed trustee Juan Fontecha will examine and
authenticate creditors' claims until June 23. This is done to
determine the nature and amount of the Company's debts.
Creditors must have their claims authenticated by the said date
in order to qualify for the payments that will be made after the
Company's assets are liquidated.
Clerk No. 24 assists the court on the case that will close with
the sale of the Company's assets.
CONTACT: Megamarketing S.A.
Avenida Luis Maria Campos 735
Buenos Aires
Mr. Juan Fontecha, Trustee
Parana 785
Buenos Aires
NORVEGA S.A.: Verification Deadline Fixed
-----------------------------------------
The verification of creditors' claims for the Norvega S.A.
insolvency case is set to end on July 8, 2005, states Infobae.
"Estudio Martinez Angelini y Asociados", "Chiaia, Sotlzing y
Asociados" and "Disanto, Fazio, Fr", the court-appointed
trustees tasked with examining the claims, will submit
validation results as individual reports on October 3.
The trustees will also present a general report in court on
December 14. On August 2 next year, the company's creditors will
vote on the settlement proposal prepared by the company.
Infobae adds that the company's reorganization is under the
jurisdiction of Court No. 16 of Buenos Aires' civil and
commercial tribunal. Clerk No. 32 assists the court with the
proceedings.
CONTACT: "Estudio Martinez Angelini y Asociados"
Trustee
Libertad 877
Buenos Aires
"Chiaia, Sotlzing y Asociados"
Trustee
Suipacha 190
Buenos Aires
"Disanto, Fazio, Fr"
Trustee
Tucuman 1367
Buenos Aires
PETROBRAS ENERGIA: High Oil Prices Boost Profit in 1Q05
-------------------------------------------------------
Petrobras Energia Participaciones, the Argentine arm of
Brazilian state energy firm Petrobras, posted net profit of
ARS122 million for the 1Q05, up from ARS82 million in the same
year-ago period.
Operating profit for the period rose by ARS322 million to ARS624
million, thanks mainly to a 26% rise in international oil
prices.
Sales reached ARS2.452 billion in the 1Q05, up 31.4% from
ARS1.866 billion a year earlier.
Petrobras Energia said some of its strongest growth was in oil
and gas exploration and production, where the average sales
price jumped 26.2%, and refining, where average sales price rose
by 18% and volumes were up by 7%.
The company's main operating asset is Argentine unit Petrobras
Energia. The holding company also has stakes in Argentine
natural gas transporter Transportadora de Gas del Sur (TGS) and
high-voltage power transporter Transener (TRAN.BA).
Results from these holdings and other subsidiaries generated a
gain of ARS22 million in 1Q05, down from ARS37 million a year
earlier.
The Company reported net assets of ARS5.63 billion for the end
of the first quarter, up from ARS5.51 billion at the end of
2004.
CONTACT: Petrobras Energia Participaciones SA
Avenida de Mayo 701, Piso 16
Buenos Aires
Phone: (212) 657-5100
Fax: (212) 825-5674
Web Site: http://www.petrobrasenergia.com
PROPLASTIC S.R.L.: Halts Debt Payments, Moves to Reorganize
-----------------------------------------------------------
Court No. 7 of Buenos Aires' civil and commercial tribunal is
studying the request for reorganization submitted by local
company Proplastic S.R.L., says La Nacion.
The report adds that that the company filed a "Concurso
Preventivo" petition following cessation of debt payments on
February 1, 2003.
The city's Clerk No. 14 assists the court on this case.
CONTACT: Proplastic S.R.L.
Yerbal 2248
Buenos Aires
SEGURIDAD JAGUAR: Court Declares Company Bankrupt
-------------------------------------------------
Court No. 23 of Buenos Aires' civil and commercial tribunal
declared local company Seguridad Jaguar S.R.L. "Quiebra",
relates La Nacion. The order comes in approval of the bankruptcy
motion filed by Mr. Nicanor Toranzo.
The Company will undergo the bankruptcy process with Mr. Hector
Calle as trustee. Creditors are required to present proof of
their claims to Mr. Calle for verification before August 1.
Creditors who fail to submit the required documents by the said
date will not qualify for any post-liquidation distributions.
Clerk No. 45 assists the court in resolving this case.
CONTACT: Seguridad Jaguar S.R.L.
Viamonte 675
Buenos Aires
Mr. Hector Calle, Trustee
Lavalle 1528
Buenos Aires
SERIE S.R.L.: Liquidating Assets to Pay Debts
---------------------------------------------
Serie S.R.L. will begin liquidating its assets following the
pronouncement of Court No. 1 of Salta's civil and commercial
tribunal that the company is bankrupt, Infobae reports.
The ruling places the company under the supervision of court-
appointed trustee "Estudio Kohler, Rodriguez y Asociados." The
trustee closed the verification of creditors' claims on May 6.
The validated claims will be presented in court as individual
reports on June 21.
The trustee 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 August 16.
The bankruptcy process will end with the disposal of the
company's assets in favor of its creditors.
CONTACT: "Estudio Kohler, Rodriguez y Asociados"
Trustee
Zuviria 920
Salta
SERVI TRA: Gets Court Approval for Reorganization
-------------------------------------------------
Servi Tra S.A. will begin reorganization following the approval
of its petition by Court No. 16 of Buenos Aires' civil and
commercial tribunal. The opening of the reorganization will
allow the company to negotiate a settlement with its creditors
in order to avoid a straight liquidation.
Local accounting firms "Estudio Martinez Angelini y Asociados",
"Chiaia, Sotlzing y Asociados", "Disanto, Fazio, Fr" will
oversee the reorganization proceedings as the court-appointed
trustees. They will verify creditors' claims until July 8. The
validated claims will be presented in court as individual
reports on October 3.
The trustees are also required to submit a general report
essentially auditing the company's accounting and business
records as well as summarizing important events pertaining to
the reorganization. The report will be presented in court on
December 14.
An Informative Assembly, the final stage of a reorganization
where the settlement proposal is presented to the company's
creditors for approval, is scheduled on August 2 next year.
Clerk No. 32 assists the court on this case.
CONTACT: "Estudio Martinez Angelini y Asociados"
Trustee
Libertad 877
Buenos Aires
"Chiaia, Sotlzing y Asociados"
Trustee
Suipacha 190
Buenos Aires
"Disanto, Fazio, Fr"
Trustee
Tucuman 1367
Buenos Aires
SIDECO AMERICANA: Bonds Remain at 'B(arg)' Level
------------------------------------------------
Fitch Argentina Calificadora de Reisgo S.A. maintained the
'B(arg)' rating given to US$56Mln worth of corporate bonds
issued by Sideco Americana S.A. The rating, based on the
Company's finances as of December 31, 2004, affects these
issues:
- US$13.5 million worth of bonds described as "Obligaciones
Negociables" that will mature on September 30 2014.
- US$42.5 million worth of bonds described as "Obligaciones
Negociables" with undisclosed maturity date.
Fitch explains that the `B(arg)' rating indicates significant
credit risk although a limited margin of safety remains.
Financial commitments at this point are still being met.
However, capacity for continued payment depends on a sustained,
favorable business and economic environment.
CONTACT: Sideco Americana S.A.
Carlos Maria Della Paolera 299 P 27 1001)
Buenos Aires
Tel: (011) 4319-3800
Fax:(011) 4319-3880
SISTEMAS INTEGRALES: Court Declares Company Bankrupt
----------------------------------------------------
Court No. 16 of Buenos Aires' civil and commercial tribunal
declared local company Sistemas Integrales de Seguridad S.A.
bankrupt, reports Infobae. The Company was undergoing
reorganization when the ruling was issued.
The trustee, Ms. Silvia Isabel Gomez Meana, will verify claims
"por via incidental", as the court ordered. The trustee will
also be responsible for the individual and general reports.
CONTACT: Ms. Silvia Isabel Gomez Meana, Trustee
Avda Roque Saenz Pena
Buenos Aires
=============
B E R M U D A
=============
BERMUDA BAKERY: Returns to Profit at End 2004
---------------------------------------------
Bermuda Bakery Ltd. released Monday the following report by
David A.J. White, Chairman of the Board, to the Bermuda Stock
Exchange (BSX):
"Consolidated results for the Bermuda Bakery Limited and its
subsidiary for the year 2004 show a net income of $1,028,641
compared to previous year's loss of $1,547,607, an increase of
$2,576,248 or 166%. Before the costs associated with the
closure of the Bakery Division, the consolidated results for the
year 2004 show an operating net income of $135,114 compared to
the previous year's loss of $261,708, an increase of $396,819 or
152%.
The net income of $1,028,641 reflects the net effect of
redundancy pay of $570,786, gain on sale of assets of $217,660,
write-off of redundant assets and inventories of $211,014, a
one-time gain of the sale of the Bank of Bermuda shares of
$1,089,904, and the special dividend of $225,282 received from
the Bank of Bermuda.
The Bakery Division restructuring that began in September 2003,
which included the closure of the Bakery Division and the sale
of some of its assets in early June 2004, has now been
completed. The Bakery property will be rented on short-term
leases while the Company is evaluating its options for the
future utilization and development of the Pitts Bay Road
property, which is the largest undeveloped commercial property
west of Hamilton.
The Belvedere Building, and other holdings and investments of
the real estate division, continue to perform well as a result
of the significant improvement in the control of costs and the
capital investments made to improve energy efficiency over the
past two years.
Total Revenue of $2.90 million is $2.25 million (44%) less than
2003 due to the closure of the Bakery Division in the beginning
of June this year.
Earnings were $3.57 per share for the year 2004, an increase of
$8.97 or 166% compared to a loss of $5.40 per share in 2003.
Dividends paid last year amounted to $144,216 or $0.50 per
share. Trading in Bermuda Bakery shares on the Bermuda Stock
exchange was modest and in the range of $33.00 to $45.00
FOSTER WHEELER: Awarded Project Management Consultancy Contract
---------------------------------------------------------------
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 engineering,
procurement and construction (EPC) phase of the third Natural
Gas Liquids (NGL) train project at Ruwais, Abu Dhabi, United
Arab Emirates. The terms of the award were not disclosed. The
project will be included in the company's first-quarter 2005
bookings.
The project, which will be carried out by Foster Wheeler's UK
office, is one of three GASCO projects (the other two being the
AGD-II and OGD-III facilities) in a suite of five integrated
projects being undertaken in conjunction with GASCO's sister
companies, ADCO (for gas gathering and reinjection), and TAKREER
(for condensate storage and shipping). The whole suite of
projects is being undertaken on behalf of the Abu Dhabi National
Oil Company (ADNOC).
"We are delighted to be awarded this contract by GASCO," said
Steve Davies, Chairman and Chief Executive Officer of Foster
Wheeler's UK office. "Following closely the recent award to
Foster Wheeler of the PMC services for the OGD-III
implementation stage, this latest award further demonstrates
GASCO management's confidence in our project management
capability for another of their world-scale projects. This
reflects our wealth of PMC experience and expertise in managing
large, complex projects in upstream gas processing and follows
our earlier involvement in the project as PMC for the FEED and
EPC bid/evaluation stages. Foster Wheeler is proud to assist
GASCO in the further development of this prestigious investment
program within the UAE gas business sector."
As PMC, Foster Wheeler's role is to manage the EPC contractor,
whose activities will also include commissioning and final
handover of the third NGL train at Ruwais.
The third NGL train will process NGL transported via a new
pipeline from OGD-III and AGD-II, supplemented by a new LPG
stream from the adjacent refinery, owned by TAKREER.
The NGL will be processed in a 24,400 tonnes per day
fractionation and treatment train to produce ethane, liquefied
propane and butane and pentane and heavier hydrocarbons. In
addition, the project includes four 83,600m3 liquefied petroleum
gas storage tanks, a single 76,000m3 pentane storage tank and a
two-berth extension to the export jetty. The project is expected
to be completed by the end of the first quarter 2008.
"Foster Wheeler's extensive expertise and experience in PMC
services for this sector of business will stand us in good stead
to complete our program of massive new developments in a
coordinated and timely manner," commented Mohammed Sahoo,
General Manager, Abu Dhabi Gas Industries Ltd. (GASCO).
About the Company
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. For more information about Foster Wheeler, visit
our Web site at www.fwc.com.
CONTACT: Foster Wheeler Ltd.
Media: Maureen Bingert, 908-730-4444
Anne Chong, +44 (0)118 913 2106
or
Other Inquiries: 908-730-4000
===========
B R A Z I L
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BANCO BADRESCO: Announces Net Income of R$1.2 Bln in 1Q05
---------------------------------------------------------
Banco Bradesco (NYSE: BBD) (Bovespa: BBDC4 BBDC3) (Latibex:
XBBDC), posted a Net Income of R$ 1,205 billion in 1Q05
(equivalent to R$ 2.45 per stock), compared to a Net Income of
R$ 609 million in 1Q04, i.e., up by 97.9%. The Net Income posted
for this period was 13.9% superior compared to the R$ 1,058
billion of the fourth quarter of 2004. This result represents a
34.7% annualized Return on the average Stockholders' Equity for
the quarter (31.7% in 4Q04).
In the first quarter of 2005, 64% of Bradesco's Net Income was
originated from financial activities and 35% from Insurance,
Private Pension Plans and Savings Bonds activities. The
accounted gain related to the sale of the stake in Belgo-
Mineira's capital stock, as disclosed in RI Express on February
10, 2005, was fully absorbed by extraordinary provisions
constituted in the quarter; therefore, not impacting the result.
Financial margins reached R$ 3.999 billion in 1Q05, increasing
by 20.1% in the last 12 months, and by 13.7% when compared to
4Q04. Fee Income grew by R$ 342 million between March 2004 and
2005, totaling R$ 1.661 billion. In the comparison between 4Q04
and 1Q05, fees evolved by R$ 33 million (adjusted by the
additional month of fees from Visanet, which had impacted 4Q04
by R$ 47 million).
Bradesco's Efficiency Ratio for the accumulated 12 months keeps
presenting a consistent improvement, reaching 59.0% in 1Q04,
55.5% in 4Q04 and, finally, 52.7% in 1Q05.
In line with the policy of adding shareholders value, Bradesco
paid, or accrued, R$ 366.2 million in Interest on Own Capital in
1Q05 (R$ 326.1 million in 1Q04 and R$ 340.5 million in 4Q04). On
March 1st, Bradesco increased by 21.12% the monthly amount of
Interest on Own Capital paid as from April/2005, as following:
R$0.04706 to R$0.057 (net of Withholding Income Tax -- R$
0.04845), for the common stocks and R$0.051766 to R$0.0627 (net
of Withholding Income Tax -- R$ 0.053295), for the preferred
stocks.
Bradesco's Market Capitalization surpassed the R$ 35.5 billion
mark, increasing by 75% between March 2004 and March 2005,
against the 20.2% evolution of the Ibovespa in the same period,
and by 24.3% in the quarter, vis-a-vis the 1.6% of the Ibovespa.
CONTACT: Banco Bradesco S.A.
Predio Novo - 4 ANDAR
Cidade de Deus
S/N, Osasco
Sao Paulo, 06029-900
Brazil
Phone: 55-11-3684-9229
Web site: http://www.bradesco.com.br
BRASIL FERROVIAS: Restructuring Plan Completed
----------------------------------------------
Brazil's transport ministry announced Friday that the government
has completed the restructuring plans for rail holding company
Brasil Ferrovias.
The process, according to Business News Americas, calls for the
holding's capitalization and an injection of BRL1.5 billion
(US$609 million), of which BRL647 million will come from the
country's national development bank BNDES (BRL382 million in
investment and the rest in loans).
Another BRL446 million will come from a debt-for-equity swap and
BRL375 million from shareholders.
Also under the plan, Brasil Ferrovias will be split into two
holding companies. One will retain the Brasil Ferrovias name and
continue to control concessionaires Ferroban and Ferronorte,
whose shareholder makeup will not be modified.
The other holding company, which will be named Novoeste Brasil,
will have the following shareholders: Previ (20.8%), Funcef
(20.8%), Constran (18.6%), LAIF (17.7%), Bradesco (4.11%), BRB
(6.47%), JP Morgan (5.5%) and others.
BRASKEM: Details 2nd Amendment To MOU, Shareholders Agreement
-------------------------------------------------------------
By this private instrument, the parties:
On the one hand:
(a) ODEBRECHT S.A. , a corporation headquartered in the city of
Salvador, in the State of Bahia, at Av. Luiz Vianna Filho
(Paralela), n§ 2.841, Salvador-BA, enrolled in the CNPJ/MF under
no. 15.105.588/0001-15, represented herein pursuant its by-laws
(hereinafter simply referred to as " ODEBRECHT ");
(b) NORDESTE QUIMICA S.A. - NORQUISA , a corporation
headquartered in the Municipality of Camacari, in the State of
Bahia, at Rua Eteno, n§ 1561, Complexo Basico, Polo
Petroquimico, enrolled in the CNPJ/MF under no. 15.659.535/0001-
46, represented herein pursuant its by-laws (hereinafter simply
referred to as " NORQUISA ");
(c) ODBPAR INVESTIMENTOS S.A., a corporation headquartered in
the city of Salvador, State of Bahia, at Av. Luiz Vianna Filho
(Paralela), n§ 2.841, Salvador-BA, enrolled in the CNPJ/MF under
no. 15.105.588/0001-15, represented herein pursuant its by-laws
(hereinafter simply referred to as " ODBPAR ");
Jointly referred to as "ODEBRECHT COMPANIES",
And on the other:
(d) PETROBRAS QUIMICA S.A. - PETROQUISA , a corporation
headquartered in the Capital City of the State of Rio de
Janeiro, at Avenida Republica do Chile, n§ 65, Centro, enrolled
in the CNPJ/MF under no. 33.000.167/0001-01, represented herein
pursuant its by-laws (hereinafter simply referred to as "
PETROQUISA "),
ODEBRECHT, NORQUISA, ODBPAR and PETROQUISA hereinafter jointly
referred to as Parties, or in an undefined manner as Party, and
as Consenting Parties:
(e) BRASKEM S.A., the new corporate name of COPENE -
PETROQUIMICA DO NORDESTE S.A. , a corporation headquartered in
the Municipality of Camacari, State of Bahia, at Rua Eteno,
s/n§, Complexo Basico, Polo Petroquimico, enrolled in the CNPJ
under no. 42.150.391/0001-70, represented herein pursuant its
by-laws (hereinafter simply referred to as " BRASKEM "); and
(f) PETROLEO BRASILEIRO S. A. - PETROBRAS, PETROQUISA's
controller and a corporation headquartered in the Capital City
of the State of Rio de Janeiro, at Avenida Republica do Chile,
n§ 65, Centro, enrolled in the CNPJ/MF under no.
33.000.167/0001-01, represented herein pursuant its by- laws
(hereinafter simply referred to as " PETROBRAS "),
WHEREAS:
1) ODEBRECHT QUIMICA S.A., PETROQUIMICA DA BAHIA S.A. ,
(hereinafter referred to as "PQBA") and PETROQUISA have entrered
on July 03, 2001 into a "Memorandum of Understanding regarding
the Shareholders Agreeement of Copene - Petroquimica do Nordeste
S.A (" Memorandum "), laying down the terms and conditions that
shall govern the future BRASKEM shareholders agreement;
2) Odebrecht Quimica S.A. shares have been acquired by BRASKEM
during the integration process of Odebrecht petrochemical assets
into BRASKEM;
3) ODEBRECHT and PETROQUISA, under the consent of PQBA,
NORQUISA, BRASKEM and PETROBRAS, entered on July 26, 2002 into
the "First Amendment to the Memorandum of Understanding
regarding the Shareholders Agreemente of Copene - Petroquimica
do Nordeste S.A. (" First Amendment "), which has ratified the
terms contained in the Memorandum and granting the option to
PETROQUISA to joint own BRASKEM share control;
4) The importance for the Brazilian economy, as well as for that
of the Brazilian companies and their shareholders to accelerate
the sectorial integration process, with significant sinergies
and competitive gains for the companies;
5) The changes that have occurred in the Brazilian and global
petrochemical sector, since the celebration of the First
Amendment, have required PETROQUISA to strategically reevaluate,
and to change its schedule regarding the analysis of the
execution of the option to purchase the shares mentioned in the
Memorandum and in the First Amendment;
6) On December 26, 2003, Pronor Petroquimica S.A., controlled by
PQBA, exercised its option to exchange all the shares issued by
NORQUISA for class "A" preferred shares, issued by BRASKEM and
held by ODEBRECHT, after which event PQBA shall no longer be
BRASKEM controlling shareholder;
7) The decision taken by the Parties, as well as the consenting
parties, to celebrate this Second Amendment;
The PARTIES HAVE RESOLVED to execute this Second Amendment to
the Memorandum of Understanding regarding the Shareholders
Agreement of Braskem S.A., pursuant to the following terms and
conditions:
CHAPTER I - RATIFICATION OF THE RIGHTS AND LIABILITIES CONTAINED
IN THE MEMORANDUM AND AMENDED BY THE FIRST AMENDMENT.
1.1 The Rights and Liabilities Pertaining to the Parties. The
Parties have explicitly ratified the rights currently pertaining
to them, as well as their respective liabilities in the
condition of BRASKEM shareholders, and especifically, but not
limited to, the liabilities that have been set forth in the
Memorandum, which are explicitly maintained, in spite of any
eventual changes in their respective corporate equities as
arising from the provisions of this Second Amendment.
1.2 Rescission of the First Amendment to the Memorandum. All the
terms and conditions pertaining to the First Amendment are
hereby rescinded, which are replaced by the provisions of this
Second Amendment.
1.3 Celebration of the Shareholders Agreement. The Parties
compromise herein that, on the date of the exercise of the
option granted in Chapter II infra, to celebrate BRASKEM
Shareholders Agreement, which shall contain with details the
terms and conditions referred in the Memorandum and in this
Amendment. Nevertheless, it is clearly agreed that these terms
are fully in effect, being subject to specific execution,
pursuant to Art. 118 of Law 6.404/76, as amended periodically,
and shall remain in effect even if, due to any reason, the
aforementioned Shareholders Agreement fails to be celebrated,
the provisions of the Memorandum and of this Amendment,
including, without any limitations, those pertaining to
PETROQUISA membership in BRASKEM Board of Directors, and the
exercise of its veto rights, as referred in Clauses 3 and 4 of
the Memorandum.
1.3.1 During the effectiveness of this Memorandum, ODEBRECHT
COMPANIES compromises to use its votes to insure for themselves
the election of the majority of the members of the Board of
Directors, and to guarantee the election of two (02) members in
BRASKEM Board of Directors appointed by PETROQUISA, provided
that, in this case, PETROQUISA must own an equity of at least
seven and a half percent (7.5%) in BRASKEM voting stock; or to
garantee the election of one (01) member in BRASKEM Board of
Directors appointed by PETROQUISA, provided that, in this case,
PETROQUISA must hold a minimum equity of five percent (5%). If
the number of exceeding votes is not enough, the Parties
compromise to vote affirmatively to increase the number of
members in BRASKEM Board of Directors so as to insure the
garnering of enough votes to insure the election of the majority
of the members of the Board of Directors by the ODEBRECHT
COMPANIES, and to elect two (02) members or of one (01) member,
as the case may be, to be appointed by PETROQUISA.
1.3.2 The PETROQUISA right to elect two (02) members in BRASKEM
Board of Directors shall prevail, irrespectively of the
company's equity in BRASKEM voting capital, as long as
PETROQUISA retains the Purchase/Subscription Option, as defined
in item 2.1 infra.
1.4 Consent. BRASKEM and PETROBRAS compromise to respect the
provisions of this Memorandum and of this Amendment.
1.5 Corporate By-laws. The ODEBRECHT COMPANIES compromise herein
to execute their voting rights in BRASKEM so as to prevent
BRASKEM bylaws from containing, now or in the future, any
provisions that may conflict with the provisions of the
Memorandum, of this Amendment, and, once celebrated, the
Shareholders Agreement, of said Agreement, or that may prevent
in any manner or fashion the execution by PETROQUISA of its
rights as envisaged in the Memorandum and in this Amendment,
and, once the Shareholders Agreement has been signed, then in
regards to said Agreement.
CHAPTER II - PETROQUISA OPTION AND SHAREHOLDERS AGREEMENT.
2.1 Share Purchase/Subscription Option. By means of this
instrument, and in an irrevocable and irreversible basis, the
ODEBRECHT COMPANIES grant PETROQUISA an option ("
Purchase/Subscription Option ") to purchase common shares issued
by BRASKEM granting PETROQUISA the right to own up to thirty
percent (30%) of BRASKEM voting capital (" Option Shares "). The
purchase by PETROQUISA of the Option Shares shall take place as
following:
(i) subscription by PETROQUISA of the Option Shares to be
issued in an increase of BRASKEM capital, and to be paid by
PETROQUISA by contributing to BRASKEM (a) its ownership interest
in the petrochemical companies located at the Triunfo
Petrochemical Complex in the state of Rio Grande do Sul, as well
as (b) its ownership interest in other petrochemical companies
considered as strategic by BRASKEM ("Synergetic Assets"), said
increase which, in compliance with the provisions of Clause 2.3
infra, the ODEBRECHT COMPANIES are forthwith obliged to approve
through their votes, waiving their right of first refusal in
regard to said subscription on behalf of PETROQUISA.
(ii) if the Option Shares subscribed pursuant item (i)
above are insufficient to allow PETROQUISA to reach the equity
percentage of BRASKEM voting capital desired by PETROQUISA, in
compliance with the limit established in item 2.1 above, the
ODEBRECHT COMPANIES shall be obliged to sell the remaining
Option Shares to PETROQUISA, pursuant to the terms and
conditions established in this Chapter II.
(iii) if the Value of Synergetic Assets, as per its
definition in item 2.1.3 infra, results in an increase by
Petroquisa in BRASKEM voting capital, which may exceed the limit
envisaged in item 2.1 above, the difference shall be subscribed
in BRASKEM class "A" prefererred shares by PETROQUISA.
2.1.1 The Purchase/Subscription Option shall be exercised by
PETROQUISA in a single time, in respect of all the Option
Shares.
2.1.2 The Purchase/Subscription Option may be exercised by
PETROQUISA by communicating its intent in writing, and
delivering this communication to the ODEBRECHT COMPANIES
pursuant to Clause 4.4 infra, until December 31, 2005,
inclusively, upon which date the evaluation procedure defined in
item 2.1.3 infra must have been concluded (Purchase/Subscription
Option Date).
2.1.3 The value of the Option Shares (" Option Value") shall
correspond to the percentage rate represented by them as
compared to full BRASKEM economic value, as obtained based on
the discounted cash flow method, without the payment of any
control premium, and the value of the Synergetic Assets to be
contributed to BRASKEM by PETROQUISA (" Value of the Synergetic
Assets ") shall correspond to the percentage rate represented by
them as compared to the one hundred percent (100%) economic
value of the companies involved, which must also be obtained
based on the discounted cash flow method, appraised according to
the same criteria used and on the same valuation date, without
the payment of any control premium. For the purposes of this
Clause 2.1.3, the Parties agree to proceed as follows:
(a) Within a time frame of twenty (20) days counted as of the
delivery of a notice by PETROQUISA to the ODEBRECHT COMPANIES,
stating its decision to start the evaluation procedure of the
companies that have been mentioned in the header of this item
2.1.3, date which shall not occur later than October 14, 2005,
the ODEBRECHT COMPANIES, on the one hand, and PETROQUISA, on the
other, shall each engage the services of a prime investment bank
to proceed BRASKEM valuation, as well as that of the Synergetic
Assets, as determined by this Clause. Each of the Parties shall
inform the other the banks that have been chosen within five (5)
days as determined herein, by means of written communications
accomplished pursuant Clause 4.4 infra.
(b) Before the start of the evaluation task to be accomplished
by the Banks, the Parties shall, together with the Banks, within
thirty (30) days, establish the premises, the method and the
procedures to be adopted, such as the manner to deal with
contingencies, the terminal amounts, the accounting and legal
audits, and the eventual engagement of the services of an expert
to be used in forecasting prices. Each bank will have a period
of sixty (60) days to provide the Parties with the results of
their evaluations. If the difference between the results
obtained (regardless if determined by the valuation of BRASKEM
or of the Synergetic Assets) is less than ten percent (10%) of
the largest evaluation, the Option Value and/or the Value of the
Synergetic Assets, as the case may be, shall be equivalent to
the arithmetic average of the two evaluations, and it shall be
final, entailing the Parties for the purpose of the exercise of
the Purchase/Subscription Option. If the difference between the
amounts obtained is over ten percent (10%) of the largest
evaluation obtained for any of the companies being evaluated,
the Parties shall in good faith enter into a 30-day negotiation
period, in order to determine the Option Value and/or BRASKEM
Valuation or the Value of the Synergetic Assets, as the case may
be. If a friendly composition proves to be impossible, the two
banks initially contracted shall have the timeframe of five (5)
days to appoint a third prime investment bank to act as
arbitrator.
(c) The bank selected to act as arbitrator may make use of all
work papers used by the banks originally contracted by the
Parties, and it shall have thirty (30) days, counted as of the
engagement of its services, to inform the Parties as to the
results of its evaluation, which, in turn, shall be final,
entailing the Parties for the Purchase/Subscription Option,
there being observed that, in spite of the results shown by the
arbitrator bank, the Option Value and/or BRASKEM Evaluation or
the Value of the Synergetic Assets, as the case may be, may not
be less than the smaller nor greater than the greatest valuation
amount obtained, as determined by the banks originally engaged
by the Parties, pursuant to this Clause.
(d) each of the Parties shall bear the costs for the engagement
of the bank of its choice, and if necessary, ODEBRECHT COMPANIES
and PETROQUISA, shall each pay fifty percent (50%) of the costs
involved in engaging the services of the arbitrator bank.
(e) any eventual delays in the accomplishment by the Parties
and/or by the banks engaged by them regarding the obligations
determined herein or in the obligations that may become
necessary to conclude the appraisals shall not prejudice
PETROQUISA in the full exercise of its rights regarding the
acquisition of the Option Shares, unless such delay have been
unjustifiably caused by PETROQUISA.
2.1.4 In the event PETROQUISA exercises the option, after the
conclusion of the valuation procedures described above, on the
date corresponding to the thirtieth (30 th ) day as of the
Purchase/Subscription Option Date, the Parties shall attend the
general shareholders meeting called to deliberate about the
increase of BRASKEM capital pursuant Clause 2.1 (i) above, and
shall approve the issuance by BRASKEM of the Option Shares, as
well as PETROQUISA subscription regarding the Option Value
obtained pursuant to Clause 2.1.3, which shall be paid in full
through the transfer to BRASKEM of the Synergetic Assets for the
Value of the Synergetic Assets, obtained according to the
evaluation to be accomplished pursuant to this same Clause
2.1.3. The Synergetic Assets shall be delivered free and clear
of any restrictions, preferences, usufructs or other guarantees
and/or any kind of liens ("Liens").
2.1.5 If, on the business day subsequent to the end of the
timeframe for the exercise of the right of first refusal of the
remaining BRASKEM shareholders, established pursuant to law, the
Option Shares subscribed pursuant to Clause 2.1.4 above are
insufficient to allow PETROQUISA to obtain the equity percentage
established in Clause 2.1 above, PETROQUISA shall purchase, and
the ODEBRECHT COMPANIES shall sell and transfer to PETROQUISA
the Option Shares needed to allow PETROQUISA to hold such equity
in BRASKEM voting capital, as per the Option Value applicable,
pursuant to Clause 2.1.3 above, in cash money, in the domestic
currency in effect at the time, by crediting the necessary
amount into the account indicated by ODEBRECHT COMPANIES for
this purpose. The purchase and sale event shall be completed in
a timeframe not to exceed one hundred and eighty (180) days,
counted as of the Purchase/Subscription Option Date.
2.1.6 The Option Shares shall be fully sold, furthermore, will
be entitled to receive the profits existing from its
subscription or acquisition, as the case may be.
2.1.7 Once the Purchase/Subscription Option has been exercised,
the sale/subscription of the Option Shares shall be considered
as having been completed, irrespectively of any additional
formalities, and its accomplishment may be demanded
irrespectively of any terms, including those pertaining to its
specific execution.
2.1.8 In the event ODEBRECHT sells PETROQUISA its remaining
Option Shares, pursuant to Clause 2.1 (ii), such shares must be
free and clear of any Liens.
2.2. Shareholders Agreement. By this instrument, both of the
Parties and the Consenting Parties have agreed forthwith that,
if PETROQUISA exercises its Purchase/Subscription Option, the
Parties shall celebrate, or shall make the companies controlled
by ODEBRECHT which hold any of BRASKEM voting shares to
celebrate, on the Purchase/Subscription Option Date, the
shareholders agreement that shall entail their respective voting
shares representing BRASKEM capital stock. The Shareholders
Agreement shall make the following provisions:
2.2.1 Prior meetings to BRASKEM general shareholders meeting and
Board of Directors Meetings whenever the subject matters to be
voted are material enough, as defined by the shareholders
agreement;
2.2.2 Matters that are subject to qualified approval quorums;
2.2.3 Election of the members for BRASKEM Board of Directors;
2.2.4 Right of first refusal;
2.2.5 Tag Along and Drag Along;
2.2.6 Conflict of interests and discussions regarding equity in
similar companies;
2.2.7 Other matters that may be considered relevant for the
negotiations.
2.3. Event of Extinguishment of the Purchase/Subscription
Option.
PETROQUISA shall define and inform ODEBRECHT about the corporate
equities that will integrate the Synergetic Assets at least 15
days in advance of the limit date for the start of the
evaluation process established in Clause 2.1.3(a) above.
ODEBRECHT may, at its exclusive discretion, declare extinguished
the Share Purchase/Subscription Option, which has been granted
pursuant to this Chapter II in case PETROQUISA fails to include
in its Synergetic Assets any of its ownership interests in any
petrochemical companies located at the Triunfo Petrochemical
Complex in Rio Grande do Sul, which ODEBRECHT, at its exclusive
discretion, may consider to be essential for the granting of the
Purchase/Subscription Option.
CHAPTER III - RIGHTS ESTABLISHED IN THE MEMORANDUM
3.1. Even if the Purchase/Subscription Option fails to be
exercised, or if it is declared to have been extinguished
pursuant to Clause 2.3, the Parties explicitly agree that all
the rights established in the Memorandum shall survive,
including, without limitations, the veto rights, the appointment
of members by PETROQUISA in BRASKEM Board of Directors, as well
as regarding tag along, irrespectively of its equity in the
latter.
3.2. The right of first refusal mentioned in Clause 2.1.1 of
the Memorandum shall cease to be effective as of January 01,
2006, if the Purchase/Subscription Option fails to be exercised.
CHAPTER IV - GENERAL PROVISIONS
4.1. Assignment. None of the Parties may assign this Amendment
and/or the Memorandum, fully or partially, to others without
prior agreement of the other Party.
4.2. Specific Execution . Pursuant to articles 461, 632, 639 and
subsequent of the Code of Civil Procedure, and without prejudice
to other judicial or extra-judicial remedies legally available
to the Parties, the provisions and obligations undertaken in
this instrument bear specific execution, and no eventual losses
and damages shall constitute adequate compensation to the rights
of the Parties. The Central Courts of the Judicial District of
the State of Rio de Janeiro are elected forthwith to redeem any
quandaries, with the express waiver of any other courts even if
more privileged.
4.3. Register . This instrument, including all the options
established therein, shall be registered at the depositary
institution of BRASKEM shares, pursuant to article 40 of Law no.
6.404/76.
4.4. Service of Notices . All notices, consents, requests and
other communications established in this instrument shall be
accomplished in writing and hand-delivered by means of certified
letters or by a renowned delivery service (both providing
receipt notices), and, in any case, with a copy sent via fax to
the address and in care of the individuals responsible shown
infra:
If to the ODEBRECHT COMPANIES:
Odebrecht S.A.
Attn.: Chief Executive Officer
Address: Av. Luiz Vianna Filho, n§ 2.841, Paralela, Salvador -
BA
Fax: (71) 3206-1348
If to PETROQUISA:
Attn.: Chief Executive Officer
Address: Av. Republica do Chile n§ 65, Rio de Janeiro - RJ
Fax: (21) 3224-2722
If to BRASKEM:
Attn.: Chief Executive Officer
Address: Av. das Nacoes Unidas, n§ 4.777, Sao Paulo - SP
Fax: (11) 3023-0954
If to PETROBRAS:
Attn.: Chief Executive Officer
Address: Av. Republica do Chile, n§ 65, Rio de Janeiro - RJ
Fax: (21) 3224-2722
4.4.1. The notices that have been delivered pursuant to Clause
4.4 shall be considered as (i) having been delivered, if
delivered by hand; and, (ii) on the occasion of their receipt,
if forwarded by mail or through a courier.
4.4.2. Any of the contracting Parties may change the address to
which the notice must be forwarded, provided it notifies the
other Parties in writing, pursuant to this Clause 4.4.
4.5. Consent . PETROBRAS and BRASKEM have celebrated this
Amendment as consenting parties for all the purposes and effects
deriving from Art. 118 of Law 6.404/76, as amended from time to
time.
4.6. Binding Effect . This Amendment has been celebrated in an
irrevocable and irreversible basis, entailing the Parties as
well as its successors for all purposes.
4.7. Amendments. No amendments shall be allowed to this
Amendment and to this Memorandum, except when accomplished in
writing and signed by all the parties.
4.8. Waiver and Indulgence. No additional time granted, or no
waiver made by one of the Parties to the others regarding the
terms of this Amendment and/or Memorandum shall, in any way,
affect this Amendment or this Memorandum, or any of the rights
and liabilities of the Parties, as established in this Amendment
and in the Memorandum, except when strictly abiding by said
indulgence or waiver that has been granted.
4.9. Autonomy. If any of the provisions of this Amendment is
declared void, invalid or inoperative, none of the other
provisions of this Amendment shall be affected as result, and,
consequently, the remaining provisions of this Amendment shall
remain in full force and effectiveness, as if said void, null,
invalid, or inoperative provision had been effaced from this
instrument.
4.10. Term. This Amendment shall go into effect as of the date
of its celebration and it shall remain into effect until the
closing of the timeframes aforementioned for the execution of
its rights and obligations.
And, in witness whereof, both the Parties and the Consenting
Parties have signed this Amendment in six (06) counterparts each
considered to be an original, in the presence of the undersigned
witnesses.
Rio de Janeiro, April 29, 2005
ODEBRECHT S.A.
PETROBRAS QUIMICA S.A. - PETROQUISA
NORDESTE QUIMICA S.A. - NORQUISA
ODBPar Investimentos S.A.
Consenting Parties:
PETROLEO BRASILEIRO S.A. - PETROBRAS
BRASKEM S.A.
CONTACT: Braskem S.A.
Av. Nacoes Unidas
4777 Cep
San Paulo, 05477-000
Brazil
Investor Relations:
Mr. Jose Marcos Treiger
Phone: +55-11-3443-9529
E-mail: jm.treiger@braskem.com.br
Mr. Luiz Henrique Valverde
Phone: +55-11-3443-9744
E-mail: luiz.valverde@braskem.com.br
Web site: http://www.braskem.com.br
GLOBOPAR: Announces Launch of Dutch Auction
-------------------------------------------
Globo Comunicacoes e Participacoes S.A. ("Globopar"), announced
MOnday the launch of the Dutch Auction and the opening of the
period for eligible bondholders to return Notices of Election.
All of Globopar's Brazilian and international banks executed on
May 5, 2005, an agreement formalizing their support for
Globopar's restructuring process. The execution of this
agreement, together with adoption of the extraordinary
resolutions by Globopar's bondholders over the last several
weeks, enables the company to move forward to consummate the
restructuring of approximately $1.3 billion of its debt.
Dutch Auction Bid Letters and instructions for submitting the
Dutch Auction Bid Letters are now available through a secure web
link at www.bondcom.com/globo. Dutch Auction Bid Letters will be
accepted until 5:00PM New York time June 6, 2005.
Eligible holders of outstanding bonds may now submit Notices of
Election through a secure web link at www.bondcom.com/globo.
Notices of Election will be accepted until 5:00PM New York time
June 6,2005.
Ronnie Vaz Moreira, President of Globopar, said, "It is deeply
gratifying to have received this final formal commitment from
all of our Brazilian and international bank creditors, and with
it to be able to head into this final phase of our restructuring
process. Again, we would like to thank all of our creditors who
have worked with us throughout this process. We look forward to
a prompt and orderly completion of definitive documentation and
closing by the end of July 2005."
Set out below is the expected timetable with respect to the
consummation of Globopar's restructuring process:
Expected Timetable
Commencement of (1) the Dutch
Auction and (2) the period for eligible
bondholders to submit Notices of
Election. May 9, 2005
Dutch Auction Bid Letters and,
for eligible bondholders, Notices
of Election available online at
www.bondcom.com/globo. May 9, 2005 through
5:00PM EST June 6, 2005
Last day and time on which Dutch
Auction Bid Letters, revocation of
Dutch Auction Bid Letters and, for
eligible bondholders, Notices of
Election must be received by the
Tabulation Agent. 5:00PM EST June 6, 2005
(the "Return Date")
Closing of Globopar's restructuring
process. No later than July 29,
2005 (the "Closing
Date")
Cash paid pursuant to the Dutch
Auction and Mandatory Purchase
(if any) and converted bonds issued
and delivered. As soon as practicable
following the Closing
Date
Holders of outstanding bonds issued by Globopar or Globopar
Overseas Ltda. may be entitled to receive further information
materials relating to Globopar's financial restructuring and the
means by which they can participate in this restructuring. These
information materials will only be provided to bondholders who
have provided the relevant certifications regarding their
eligibility under applicable securities laws to receive such
materials. Bondholders should contact Gail Philips of Bondholder
Communications Group at +44 207 236 0788 to obtain copies of the
certificates of eligibility and information materials.
CONTACT: Globo Comunicacoes e Participacoes S.A.
Stefan Alexander
Marta Meirelles
Tel: +55 21 2540 4444
E-mail: IR@Globopar.com.br
Gavin Anderson & Company
International Media Contact:
Brazilian Media Contact:
Simon Maule/Robert Mead
Tel: +44 207 554 1421
+1 212 515 1960
E-mail: rmead@gavinanderson.com
Companhia de Noticias
Leilane Goytacazes
Tel: +55 21 2543-2300
E-mail: leilane@cdn-rio.com.br
MRS LOGISTICA: Net Income Surpasses R$90 Mln in 1Q05
----------------------------------------------------
MRS Logistica S.A. ('MRS') transported 25.2 million tons in the
1st Quarter of 2005 (1Q05), 15.3% above volume achieved in 1Q04.
The Company established a new monthly transportation record in
March, with 8.94 million tons shipped. Also in March, MRS
surpassed another important milestone: 100 million tons shipped
in a 12-month period, confirming the Company's solid growth in
the last years.
Regarding 4Q04, volumes were down 4.3%, as a consequence of the
demand's seasonal behavior in the quarter.
Revenues, Costs and EBITDA
Gross revenues in 1Q05 reached R$453.4, 35.4% higher when
compared with 1Q04, as a result not only from the higher
volumes, but also from a 17.4% increase in the Company's average
tariff throughout the period.
Fuel and lubricant costs in 1Q05 were 24.5% higher than in 1Q04,
as a consequence of higher volumes shipped (15.3%) and an 11%
increase in diesel prices throughout the period.
In 1Q05, there was a significant increase in depreciation and
amortization costs due to the important increase in capital
expenditures in 2004 and 1Q05.
EBITDA in 1Q05 amounted to R$181.6 million, 51.5% and 6.6% over
1Q04 and 4Q04, respectively. EBITDA margin in 1Q05 reached
46.3%, a relevant improvement regarding the 41.4% margin in 4Q04
and the 44% average margin achieved in 2004.
Operating and Net Income
Operating income, before financial effects, totaled R$157.2
million in 1Q05, up 50.5% and 4.4% regarding 1Q04 and 4Q04,
respectively.
Net income in 1Q05 reached R$91.7 million, increasing 162.9% and
20.7% over the figures achieved in 1Q04 and 4Q04, respectively.
This improvement regarding 4Q04 resulted from the higher
operating income and the decrease in exchange and monetary
variations in 1Q05.
As a result of the sustained profitability reported by the
Company in the last 12 months, shareholders' equity amounted to
R$505.5 million in 1Q05, against R$315.5 million in 1Q04.
Indebtedness
Net debt at 1Q05 was reduced to R$422.0 million, 32.3% lower
than the R$623.7 million recorded in 1Q04, as a result of the
increasing cash generation throughout the period. The net
debt/EBITDA (last 12 months) ratio in 1Q05 was 0.62x, down from
1.10x in 1Q04, a solid improvement in the Company's capacity to
meet its financial obligations, Below, a chart demonstrates the
improvement of the Net Debt/EBITDA ratio over the last years.
Capital Expenditures
Capital expenditures totaled R$68.7 million in 1Q05; most of it
applied in rolling stock (R$41 million) and permanent way (24.5
million). In March, MRS received 20 GE C-36 locomotives acquired
in the U.S. secondary market. These locomotives are currently
being adapted to the railway's gauge and should become operative
in May.
Along 2005, capital expenditures should amount to R$550 million,
with the objective of improving the railway's capacity and
safety.
CONTACTS: Eduardo Cassinelli
Treasurer
Marco Andre Guimaraes
Financial Manager
Maria Lucia Silveira
Financial Analyst
Praia de Botafogo,
228, 1201-E
22250-906 - Rio de Janeiro
Tel: 55-21-2559-4600
Fax: 55-21-2552-2635
daf@mrs.com.br
=========
C H I L E
=========
COEUR D'ALENE: Reports Improved First Quarter Results
-----------------------------------------------------
Coeur d'Alene Mines Corporation (NYSE: CDE; TSX: CDM), the
world's largest primary silver producer and a growing gold
producer, reported Monday financial results for the first
quarter 2005.
First Quarter Highlights
-- Income of $0.5 million before income tax provision and non-
recurring item. Net loss of $1.8 million.
-- Silver production of 2,884,646 ounces.
-- Gold production of 29,423 ounces.
-- Consolidated cash costs of $4.77 per ounce of silver
produced during the first quarter, expected to average
approximately $3.90 for the full-year 2005.
-- April 2005 acquisition of Endeavor mine (Australia) silver
production and reserves, expected to immediately increase silver
production, income and operating cash flow.
-- Strong cash, cash equivalents and short-term investments of
$314.2 million at March 31, 2005.
2005 Outlook
-- Full year expected silver production of 13.5 million
ounces.
-- Full year expected gold production of 130,000 ounces.
-- Estimated consolidated cash operating costs of $3.90 per
ounce of silver for full year.
-- Expanded exploration program expected to deliver additional
reserves and resources in 2005.
"Coeur continued to focus on its internal and external growth
initiatives during the first quarter of 2005. Despite a heavy
investment in exploration and pre-development expenses totaling
$5.5 million, we delivered income of $0.5 million before income
taxes and a one-time charge for litigation settlement. We remain
committed to improving the performance of our North American
operations, adding reserves and resources through aggressive
development at our South American operations, and continuing to
develop our major San Bartolome and Kensington mines," said
Dennis E. Wheeler, Chairman, President and Chief Executive
Officer of Coeur.
"In April, we announced the acquisition of the silver contained
at the Endeavor mine in Australia. This acquisition, which
represents a re-entry for us in mineral-rich Australia, will
increase Company-wide silver production by 10% and reserves by
12%, as well as providing additional leverage to silver prices
for our shareholders," Mr. Wheeler added.
"The majority of the Company's $314 million of cash, cash
equivalents, and short term investments is earmarked to develop
our two major projects, both of which advanced during the first
quarter. Construction is in the early stages at San Bartolome
and permitting is near completion at Kensington, where we have a
July 1 target date to begin construction. By 2006, these major
projects are expected to life silver and gold production 66% and
77%, respectively, over current levels.
"Meanwhile, we expect to achieve further efficiencies at our
operating properties, in North America in particular, as the
year progresses, with full year cash costs expected to be $3.90
per ounce of silver produced, while continuing to strategically
exploit our vast exploration potential near Coeur's existing
low-cost operations. The Company's investment in exploration has
increased 250% over the past three years to a budget of $13.4
million in 2005, which is already generating positive results.
We expect these efforts, combined with the strong silver and
gold markets, to further extend Coeur's dominance as the leading
primary silver producer." Mr. Wheeler said.
Financial Summary
Coeur d'Alene Mines Corporation reported first quarter 2005
revenues of $38.1 million, an increase of 31% compared to
revenue of $29.0 million in the first quarter of 2004. Company-
wide production was 2,884,646 ounces of silver and 29,423 ounces
of gold in the first quarter, compared to 3,435,091 ounces of
silver and 22,011 ounces of gold in the same period last year.
The 34% increase in first quarter gold production was due to
higher production from both the Rochester and Cerro Bayo
operations. The decreased silver production was due to lower
production at Rochester, as anticipated in the mine plan, and
lower than expected mined grade at Silver Valley which is
expected to improve in the remainder of 2005.
For the first quarter of 2005, the Company reported a net loss
of $1.8 million, or $0.01 per share, compared to a net loss of
$1.7 million, or $0.01 per share, for the same period in the
prior year. During the quarter, the Company recorded a one-time
non-recurring provision to settle outstanding litigation of $1.6
million. In addition, the first quarter included 60% higher
exploration expense of $3.1 million, part of Coeur's expanded
exploration program, and $2.4 million was invested in pre-
development activities at Kensington. Operating income before
these items was $5.3 million. During the first quarter of 2005,
the Company also spent $0.9 million in connection with the
Sarbanes-Oxley compliance program. During the first quarter, the
Company recorded sales totaling 3,265,000 ounces of silver and
35,000 ounces of gold. For the first quarter, Coeur realized an
average silver price of $6.85 per ounce, compared to an average
silver price of $6.94 per ounce during last year's first
quarter. For its gold sales, Coeur realized an average price of
$424 per ounce during the first quarter of 2005 compared to an
average gold price of $392 per ounce during the same period last
year.
The Company's balance sheet remained very strong in the first
quarter, with cash, cash equivalents and short-term investments
of $314.2 million at March 31, 2005.
For the full year 2005, the Company expects to produce 13.5
million ounces of silver and 130,000 ounces of gold at an
average cash operating cost of $3.90 per ounce of silver.
Coeur does not currently have any of its silver or gold
production hedged.
New Australian acquisition builds on Company silver
production, reserves and cash flow
Endeavor mine (Australia)
In April, 2005, Coeur acquired the entire estimated silver
reserves and production of the Endeavor mine in Australia for
$38.5 million, payable in two payments. Endeavor is expected to
have an immediate positive impact on the Coeur's production,
income and operating cash flow beginning in the second quarter.
The Endeavor mine, which is owned and operated by CBH Resources
Ltd. of Australia, produces approximately 1.3 million silver
ounces per year. Total proven and probable silver reserves
measure 24.0 million ounces(1), representing a 12% increase in
Coeur's total silver reserves over the Company's year-end 2004
levels. In addition, under the terms of the agreement, Coeur is
entitled to receive a maximum of 17.7 million payable ounces
from the current contained resource at the Endeavor mine.
For ongoing silver production until April 2007, Coeur will pay a
cash operating cost of $1.00 per ounce. Thereafter, Coeur will
pay a further increment equal to 50% of the amount by which the
silver price exceeds $5.23 per ounce. Expected production to
Coeur for the remainder of 2005 is approximately 900,000 ounces,
with full-year production levels of 1.3 million beginning in
2006, which would translate to an estimated $6.2 million of
operating cash flow at current silver price levels.
Coeur will also participate in results of new exploration at
Endeavor, which is considered to have excellent potential for
new silver. In addition to existing reserves, the mine currently
has measured and indicated mineral resources of approximately
8.2 million ounces of silver, and inferred mineral resources
containing approximately 0.5 million silver ounces(1). Coeur
will pay a cost contribution of an additional $0.25 per ounce
for new ounces of proven and probable silver reserves as they
are discovered.
The Endeavor mine is a lead/zinc/silver mine located in New
South Wales and first commenced production in 1983. CBH
Resources Ltd. is one of Australia's leading zinc and lead
producers.
South American Operations - Very low cash operating costs at
Cerro Bayo/Exploration successes at Martha.
Cerro Bayo (Chile)
-- First quarter production of 659,293 ounces of silver and
14,868 ounces of gold.
-- Cash costs of minus ($0.15) per ounce of silver, giving
effect to the gold by-product credit as a reduction of operating
costs.
-- Completion of approximately 69,000 feet of drilling in
the quarter as part of the accelerated 2005 exploration program.
For the full year 2005, Cerro Bayo is expected to produce
approximately 3.0 million ounces of silver and 56,500 ounces of
gold at an estimated average cash cost of approximately $1.01
per ounce of silver.
The Company's exploration program, near existing infrastructure
at Cerro Bayo, continued at an accelerated level in the first
quarter from last year's rate. Drilling continued at a high pace
with five drills operating. The full-year 2005 exploration
budget at Cerro Bayo is $3.9 million, and is focused on
extensions of existing vein systems and the discovery of new
systems. The near-term target is to define reserves sufficient
to support at least three years of future production. The
exploration potential to discover additional high-grade veins
within the entire Cerro Bayo trend, which is 2.5 miles east-west
by 6 miles north-south, is considered to be excellent(2).
Martha (Argentina)
-- First quarter production of 379,060 ounces of silver and
471 ounces of gold.
-- Cash costs of $5.07 per ounce of silver in the first
quarter, 2005.
-- Completion of 28,600 feet of drilling in the quarter of the
accelerated 2005 exploration program.
-- Expected full year production of 1.8 million ounces of
silver and 1,760 ounces of gold at a cash operating cost of
$4.16 per ounce of silver.
Martha in the first quarter produced 379,060 ounces of silver
compared to 421,271 in last year's comparable period. Mining
continued in the R4 Deep and Martha Deep areas, while
accelerated exploration drilling continued to define additional
tonnage and the high-grade potential of the Martha area, where
reserve levels tripled based on the 2004 exploration program.
Encouraging drilling results were obtained during the quarter,
especially at the R4 Deep, which remains open at depth, and the
Francisca, Catalina and Martha Norte veins. Drilling and
development will continue on these veins and other targets
during the year.
The 2005 exploration budget at Martha is $2.7 million, an
increase of 17% over last year, with a near term target of
building reserves to support to a minimum of three-years
production.
In addition, Coeur believes there is excellent potential to
discover additional silver resources on prospects within the 530
square miles the Company controls in the Santa Cruz province(2).
North American Operations - higher production/lower costs
expected through
2005
Rochester Mine (Nevada)
-- 1,135,997 ounces of silver and 13,992 ounces of gold
produced during the first quarter.
-- Cash costs of $6.30 per ounce of silver during the first
quarter, expected to decline to approximately $5.55 per ounce
for the full year.
-- Anticipated full year production of approximately 4.0
million ounces of silver and 72,500 ounces of gold.
In the first quarter, Rochester produced 1,135,997 ounces of
silver and 13,992 ounces of gold, a 22% increase in gold
production from last year's first quarter and 13% below the
quarterly silver production of a year ago, which were expected
in the long-range mine plan. First quarter cash costs were
impacted early in the year due to weather-related issues and
slower than expected gold production. During the rest of 2005,
cash cost per ounce of silver is expected to decrease as higher
gold ores now on the pad lead are recovered.
In 2005, Rochester expects to produce approximately 72,500
ounces of gold and 4.0 million ounces of silver at an average
cash cost of approximately $5.55 per ounce.
Coeur Silver Valley - Galena Mine (Idaho)
-- First quarter production - 710,296 ounces of silver.
-- Cash costs of $6.73 per ounce, expected to decline to $5.20
per ounce for the full year.
-- Positive first quarter results from expanded exploration
drilling and development program.
-- Full-year production expected of 3.6 million ounces.
-- Exploration drilling of over 19,200 feet in the quarter.
Mining continued on the Upper Silver Vein and on the 5500 down
ramp area in the 72 Vein, which has shown improved grades at
depth. Cash costs are projected to be significantly lower during
the remainder of the year, averaging an expected $5.20 for 2005.
Aggressive exploration drilling continues at Silver Valley,
primarily in the West Caladay area, where early results
indicated the potential to bring that area into production by
year-end.
During 2005, Coeur Silver Valley is expected to produce 3.6
million ounces of silver. Successful exploration and development
work is targeted to increase production levels to five to seven
million ounces per year, with lower cash operating costs(2).
Development Projects progressing toward 2006 startups
San Bartolome (Bolivia)
Construction activities continued at San Bartolome in the first
quarter, with a targeted production start-up in 2006. Focus in
the recent first quarter was on advancing engineering and
procurement activities. Coeur has completed assembling its mine
management team, headed by Americo Villafuerte in Potosi,
Bolivia. An international construction and engineering team has
also been assembled for construction of the mine and processing
facilities. Local personnel from the historically mining-rich
region of Potosi will be utilized during both construction and
operation.
During the first quarter of 2005, the Company capitalized $1.9
million in connection with construction activities at San
Bartolome. Construction is currently expected to cost
approximately $135 million, with production startup in 2006.
Optimization is ongoing to lower capital expenditures and
operating costs.
Initial average annual production of eight million ounces of
silver is expected from San Bartolome during the first five
years of production at an anticipated cash operating cost of
$3.50 per ounce, designed to generate significant cash flow for
the Company. The mine has an initial estimated mine life of 15
years.
Kensington (Alaska)
Construction of the major Kensington gold project is expected to
begin early in the third quarter. Initial mine production of
100,000 ounces per year is anticipated to begin in late 2006.
During the first quarter of this year, the U.S. Forest Service,
as the lead agency, affirmed it's previously issued Final
Supplemental Environmental Impact Statement (FSEIS) and Record
of Decision (ROD) which supports Coeur's operating and
development plan for the project. During the same time, the
National Marine Fisheries Service (NMFS) issued its biological
opinion which concluded the project will not jeopardize any
species listed as endangered or threatened. The State of Alaska,
Department of Natural Resources announced that is has completed
coordination of the State's review of the proposed Kensington
Mine for consistency with the Alaska Coastal Management Program
("ACMP") and has determined that the project is consistent with
the ACMP. The few remaining federal and state permits are
expected by the end of the second quarter.
Direct construction cost at Kensington is estimated at $91.5
million, with annualized cash operating cost of $220 per ounce
of gold.
2005 Outlook
For the full year 2005, the Company expects to produce
approximately 13.5 million ounces of silver and 130,000 ounces
of gold. Consolidated cash costs of silver production (net of
gold by-product credits) are expected to average approximately
$3.90 per ounce of silver. The company anticipates spending
$13.7 million in sustaining capital during 2005.
Coeur d'Alene Mines Corporation is the world's largest primary
silver producer, as well as a significant, low-cost producer of
gold. The Company has mining interests in Nevada, Idaho, Alaska,
Argentina, Australia, Chile and Bolivia.
(1) Donald Earnest, PG, Independent Consultant to Coeur, is the
qualified person responsible for the preparation of the
scientific and technical information related to the Endeavor
mine, which is included in this press release. Mr. Earnest has
reviewed the available data and procedures and believes the
calculation of the Endeavor mine reserves and resources was
conducted in a professional and competent manner.
(2) Donald J. Birak, Coeur's Senior Vice President of
Exploration is the qualified person responsible for the
preparation of the scientific and technical information in this
press release related to Cerro Bayo, Martha, Rochester, Silver
Valley, San Bartolome and Kensington. Mr. Birak has reviewed the
available data and procedures and believes the calculation of
resources and reserves in connection with these properties was
conducted in a professional and competent manner.
To see production statistics:
http://bankrupt.com/misc/Production_Statistics.htm
To see financial statements:
http://bankrupt.com/misc/Financial_Statements.htm
CONTACT: COEUR D'ALENE MINES CORPORATION
Tony Ebersole, Director of Investor Relations
Tel: +1-800-523-1535
E-mail: tebersole@coeur.com
===================================
D O M I N I C A N R E P U B L I C
===================================
EDENORTE/EDESUR: Govt. Presents Debt Proposal to Union Fenosa
-------------------------------------------------------------
The Dominican Republic has taken its first step towards
renegotiating its debt with Spanish energy firm Union Fenosa,
reports DR1 Daily News.
During a recent visit to Madrid, DR representatives presented
Union Fenosa officials with a proposal that seeks changes in the
clause whereby Union Fenosa receives revenues from the better
clients of EdeNorte and EdeSur power distribution companies.
In exchange, the pending debt would be placed as a sovereign
foreign debt and Union Fenosa would be removed from the local
electricity market.
During the administration of former President Hipolito Mejia,
the government decided to buy back the shares of the Union
Fenosa in both EdeNorte and EdeSur. In order to insure payment,
Union Fenosa was allowed to collect the electric bills of the
largest clients.
Julio Ortega Tous, the President's economic advisor, said there
is a US$330 million debt outstanding. With this move the
government feels that both EdeNorte and EdeSur will become more
viable businesses with much improved cash flows.
=============
J A M A I C A
=============
C&W JAMAICA: Seeks Reversal of OUR Ruling
-----------------------------------------
C&W Jamaica has asked the Supreme Court to overturn a decision
by utilities regulator OUR to strip the Company of copyright
control of its customer database, the Jamaica Gleaner reports.
In 2002, the OUR ruled that Cable & Wireless, which has the
island's only directory service, must provide access to its
listings to other companies at a reasonable cost.
It also ruled that C&W had to ensure the privacy of its customer
information and add information provided by competitors to its
database.
===========
M E X I C O
===========
HYLSAMEX: Techint Presents Purchase Offer
-----------------------------------------
Argentine industrial conglomerate Techint has made a formal
offer to purchase Mexican steelmaker Hylsamex SA, Techint
spokeswoman Geraldine Marino said, confirming a report published
Monday in Argentine financial daily El Cronista.
Marino didn't reveal how much Techint had offered, but the
Cronista report puts the price tag for the Hylsamex acquisition
at US$1.5 billion.
A number of other companies are also in the race to buy
Hylsamex, El Cronista added, including Mexican steel and
industrial conglomerate Grupo Imsa, Brazilian steelmaker Gerdau,
US steelmaker and recycler Nucor and international steel giant
Mittal Steel.
Hylsamex is owned by Mexican conglomerate Alfa SA, which said
Friday its shareholders have granted its request for more time
to consider proposals from Mexican and foreign buyers. Alfa now
has until the end of the year to sell or spin off Hylsamex.
Meanwhile, Bear Stearns, in a report, cited several roadblocks
to a Hylsamex sale, including the company's high valuation
relative to its potential buyers and a downward trend in global
steel prices.
Bear Stearns said "speculation about a company takeover remains
high," nonetheless, and mentioned Brazilian company Gerdau SA
(GGB) and U.S.-based Nucor Corp. (NUE) as suitors.
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
=======
P E R U
=======
BANCO WIESE: Ends 1Q05 With $2.06M Profits
------------------------------------------
Banco Wiese Sudameris, the country's third largest bank,
reported profits of PEN6.69 million (US$2.06mn) in the 1Q05,
compared to PEN1.24 million in the same year-ago period.
Citing statistics from local banking regulator SBS, Business
News Americas reports that the bank's net lending rose 3% year-
on-year to PEN4.51 billion at the end of March.
The bank's mortgage lending grew 5% to PEN504 million and credit
card operations rose 10% to PEN285 million. Total deposits
increased 3% to PEN7.43 billion and assets remained flat at
PEN10.2 billion.
Peru's Finance Minister Pedro Pablo Kuczynski recently revealed
that various companies are looking into the possibility of
buying a controlling share in Banco Wiese.
Italy's Banca Intesa SpA, which has a controlling share in Banco
Wiese, has said in the past that selling the bank was an option.
Prior to Banca Intesa's acquisition of Banco Wiese, the latter
had been experiencing severe liquidity problems since the second
half of 1998.
Reports suggest that the government may also have to pay US$314
million next year as part of a financial aid package offered in
the late 1990s to help save the bank.
Banco Wiese Sudameris was the first Peruvian bank to list on the
New York Stock Exchange, although it has since has delisted its
American Depositary Receipt.
SIDERPERU: A&A Raises Rating on Corporate Bonds to Category C
-------------------------------------------------------------
Peruvian ratings agency Apoyo & Asociados (A&A) has upgraded its
ratings on the corporate bonds of local steelmaker Siderperu to
Category C from Category D, reports Business News Americas.
In a report, A&A explained that a Category C rating implies "a
high risk of not meeting payments" whereas category D reflects a
situation where payments have actually not been met.
A&A revealed in its report that the rating was awarded on May 3,
2005, during which time there did not exist bond payments that
were expired and not paid.
A&A said that in spite of the company's improved operation, cash
flow was still insufficient to cover a payment of approximately
US$8 million on February 28, 2005. The payment was postponed by
unanimous agreement of creditors.
Siderperu, which is controlled by local holding Company Sider,
has a production capacity of 400,000t/y.
=================
V E N E Z U E L A
=================
PDVSA: Chavez Complains About Media Campaign Against Company
------------------------------------------------------------
Within the framework of the "Sucre Mission, a step forward in
higher education" act and during a message broadcasted
nationwide, the President of the Bolivarian Republic of
Venezuela, Hugo Chavez Frias disproved the national campaign
against Petroleos de Venezuela (PDVSA) which has been displayed
through different telecommunication means, and also denied the
supposed drop of oil production and assured that the state-owned
company is strongly working to make western areas' production
reach the estimated ceiling of 1,066,500 barrels per day during
the second trimester 2005.
"There is a campaign, sometimes created on the basis of half-
truths or mistakes," President Chavez assured. "The newspaper El
Nacional is now speculating once again. Based on a core truth,
it has said that PDVSA's production in Zulia State dropped,
reaching 300,000 barrels per day, with the purpose of damaging
the nation through an alarming made-up lie, President Chavez
harshly criticized.
President Chavez affirmed it is certainly true that oil
production in western areas is below the estimated ceiling
calculated for this year, but also explained that "there has
been not a production drop but a process of recovery."
In Zulia State, oil production is near 120,000 barrels per day
below the estimated ceiling, which does not mean a drop in
production but a recovery sign. The strong work being carried
out in oil wells has resulted in a recovery of some 80,000
barrels per day in Zulia State," he added.
President Chavez insisted that PDVSA's self-management
production has reached a total of 2,290,700 barrels per day; and
figures of eastern and southern areas are over the estimated
ceiling calculated for this year compensating like this the
Zulia State's production deficit, which has been caused by
different reasons.
He asserted that different actions has been undertaken to raise
production in western areas and estimated that during the second
trimester the expected goal will be achieved.
"It is not true that production fell, that Venezuela fails to
comply with its commitments and that there is a situation of
incompetence here. Nowadays, oil coupists say all this has been
caused by them being away from the company, and they were the
only ones capable of managing the enterprise. They are wrong.
They almost destroyed it. They planned to privatize it. And as
you say: "they won't come back!" PDVSA is on the nation's
hands," president Chavez affirmed.
President Chavez criticized the way El Nacional handled the
information about a supposed strike in Boscan Field. Chavez said
that this news was denied from the Unites States since this
field is being operated by a transnational enterprise different
from PDVSA.
The Venezuelan executive also dissaproved El Universal's news
title related to the supposed PDVSA's transfer of only 49% of
dollars resulting from oil sale to the Venezuelan Central Bank
(BCV.)
"This news might be based on some half-truth", he said.
"However, they do not mention that PDVSA transferred during this
first trimester a gigantic amount of resources to be used in
housing plans, Vuelvan Caras, Robinson Missions, the Economic
and Social Development Fund (FONDESPA), to which PDVSA allocated
2 million dollars resulting from the 2004 oil income. There we
have the work being carried out."
"They do not even make any reference to the under-construction
subways in Los Teques, Maracaibo, Valencia, Caracas; the
railroads Caracas- Tuy Medio; all of them works which without
the oil income and this extraordinary resources allocation would
not have been carried out, or would be slowly progressing; or we
would have had the need of resorting to the nation's financial
indebtness, which drives its Dracula's teeth through the
International Monetary Fund (IMF)," he pointed out.
President Chavez assured that those who criticize the government
do not make reference to the external debt, the IMF, "because
they go for the neoliberalism; and now here we are making clear
to all of them that it is possible to build a nation far from
the neoliberal path."
CONTACT: Petroleos de Venezuela S.A.
Edificio Petroleos de Venezuela
Avenida Libertador, La Campina, Apartado 169
Caracas, 1010-A, Venezuela
Phone: +58-212-708-4111
Fax: +58-212-708-4661
Web site: http://www.pdvsa.com.ve
PDVSA: El Palito Refinery Processes 130 BPD Of Crude
----------------------------------------------------
Rafael Ramirez, Minister of Energy and Petroleum and President
of PDVSA, calmed fears that internal marketing operations would
be affected by the breakdown of the complex's Catalytic Cracking
Facility located in the center of the country, and emphasized
that the Venezuela-Isla refining circuit has sufficient capacity
to cover any fuel requirements.
Workers at El Palito Refinery are carrying out pre-start-up
activities at the Catalytic Cracking Facility (FCC) of this
complex, after the breakdown of one of the compressors that
produce oxygen for the combustion and regeneration of the
catalytic converter in the gasoline production process.
Rafael Ramirez, Minister of Energy and Petroleum and President
of Petroleos de Venezuela (PDVSA), made it clear that internal
marketing operations had not been affected by this situation,
and emphasized that " the Venezuela-Isla refining circuit has
sufficient capacity to cover any fuel requirements."
Alejandro Granado, Vice President of Refining at PDVSA,
confirmed that "the impact caused by this incident affecting
operations at El Palito Refinery was minimal." Complex
activities generating gasoline for the central part of the
country are proceeding according to plan. 130,000 barrels per
day of crude are being processed, while average gasoline
production amounts to 60,000 bd.
VP Granado explained that while the Catalytic Cracking Facility
is being serviced, other units of the Venezuelan refining system
would supply the components produced there for manufacturing
gasoline. He congratulated technicians, operators and other
workers at the refinery for their work in quickly solving the
problem.
He affirmed that as soon as the problem was detected, the
equipment was dismantled following standard procedures, and
repairs were then carried out. "These complex processes, which
involve pulling a unit that functions at high pressure and
critical temperature levels out of service, require time.
Several activities are involved, such as shutting down the unit,
putting it in a safe mode, and then sending the internal
component of the compressor for re-balancing. After this, the
compressor was re-installed in the Catalytic Cracking Facility
(FCC) and re-start-up activities were completed," explained VP
Granado.
PDVSA: Loyal Employees Get Identity Cards
-----------------------------------------
The Minister of Energy and Petroleum and President of Petroleos
de Venezuela (PDVSA), Rafael Ramirez Carreno, together with the
Board of Directors of the national oil company and the General
Manager of the Paraguana Refining Center (CRP), Jesus Luongo,
formally presented PDVSA identity cards to the first 585
permanent contractor employees who for years had been working at
this refining complex located in western Venezuela's State of
Falcon.
The induction ceremony, organized by the CRP's General
Management, paid deserved tribute to the commitment and loyalty
shown these workers, who for many years gave the utmost of their
capacity and willingness to benefit the oil industry and
Venezuela. The ceremony was attended by PDVSA Exploration and
Production Vice-President, Luis Vierma; PDVSA Refining Vice-
President, Alejandro Granado; the Director of Human Resources,
H‚ctor Pernia; and the Loss Prevention and Control Manager,
Wilmer Barrientos.
Through a motivating message, Minister Ramirez officially
welcomed the new staff by acknowledging their exemplary behavior
during the stoppage-sabotage events against the oil industry,
which took place at the end of 2002 and the beginning of 2003.
He highlighted the need for being continually alert and firm in
their decision to comply fully with their duty as citizens, by
looking after and defending the country's main industry and icon
of its sovereignty and heritage of all Venezuelans. Ramirez also
thanked the CRP General Management for their initiative to
formally request the hiring of these workers by the company.
The inductees expressed their satisfaction at this act of
justice, considered by them as a reaffirmation of a widespread
feeling of belonging to a company always thought of as their
home, because they saw themselves as members of the great PDVSA'
family despite the indirect state of the former work relation.
***********
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