TCRLA_Public/050913.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

          Tuesday, September 13, 2005, Vol. 6, Issue 181

                            Headlines


A R G E N T I N A

AGUAS ARGENTINAS: French Parent to Withdraw Concession
APSA S.R.L.: General Report Due for Court Filing
CITY S.A.I.C.I.F.: Gets Court Authorization to Reorganize
CRESUD: Posts Big FY 2005 Net Income Increase
EMPRENDIMIENTOS GARIN: Reorganization Process Starts

FRANCER S.R.L.: Seeks Court OK to Reorganize
GRUPO EMPRESARIO: Court Declares Company Bankrupt
OBRA SOCIAL: General Report Filing Due September 14
SANBUESI S.A.: Deadline for General Report Approaches
SINASPO S.R.L.: Judge Approves Bankruptcy

VIVIENDAS TRABAJADORES: Individual Reports Due Sep. 14
* ARGENTINA: Files Petition to Annul ICSID Award to CMS Energy


B A R B A D O S

C&W BARBADOS: Sees Positive Rebound in FY 2004-05


B E R M U D A

CANTERBURY INVESTMENTS: Company to be Wound Up Voluntarily
FINANCIAL CASUALTY: Names Mr. Ernest A. Morrison as Liquidator
GLOBAL CROSSING: Reaches Securities Suit Settlement in NY
GLOBAL CROSSING: Enters Channel Partner Agreement with Albanet
LORAL SPACE: Shareholders Appeal Confirmation


B R A Z I L

BANCO ITAU: Submits Financial Proposal
BEC: Four Banks Qualify to Compete in Upcoming Auction
VARIG: Foreign Representatives Ask Court to Deny Willis' Plea


C O L O M B I A

PAZ DEL RIO: Arango Chosen to Replace Hadad as President
EMCALI: Congress Seeks Alliance With ERT


J A M A I C A

KAISER ALUMINUM: Amends Terms on Solicitation, Voting Protocol


M E X I C O

AHMSA: Finalizes Major Repair in Plate Mill
ASARCO: ASARCO Consulting Wants to File Schedules by Oct. 31
SICARTSA: Union Seeks to Negotiate With Parent
TV AZTECA: To Prepay MXN1.406 Billion Loan Due 2008


V E N E Z U E L A

CADAFE: Anticipates Additional $100M/Yr With New Sales System
CADAFE: To Rent Out 10MW Thermo Unit to Antigua & Barbuda


     - - - - - - - - - -


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

AGUAS ARGENTINAS: French Parent to Withdraw Concession
------------------------------------------------------
French utility Suez has decided to pull out of its Aguas
Argentinas water concession after a three-year clash with the
Argentine government over tariffs failed to see a solution.

"Confronted with the fact that it is impossible to re-establish
the concession's economic and financial balance, Aguas
Argentinas is no longer in a position to assume the risks and
responsibilities linked to the water and waste services
operations provided to the city of Buenos Aires," Suez said in a
press release.

"In these circumstances, SUEZ has decided to recommend that the
next Aguas Argentinas Board of Directors meeting, planned for
September 19, 2005, puts in place the withdrawal process from
the contract. An extraordinary General Meeting has been called
for September 22 to ratify the decisions of the Board of
Directors," Suez added.

Suez signed a 30-year contract in 1993 to operate Buenos Aires'
waterworks. The main problem of Aguas Argentinas has been the
state of its income ever since the devaluation of the peso at
the start of 2002. The firm has not been allowed to raise prices
for services and its debts have spiraled to US$600 million.

The Company wanted to agree on a 40% increase in water rates in
2006, but the government at first was only willing to allow a
35% hike in two stages, but then backed away from this,
proposing more talks after the October mid-term elections.

In light of Suez's decision to withdraw, Argentina will look for
a new shareholder to replace the French utility.

"In the first phase we will look for another company to replace
Suez and if that doesn't prosper we will call a new bid for the
concession," Planning Minister Julio De Vido told the leading
daily Clarin.


APSA S.R.L.: General Report Due for Court Filing
------------------------------------------------
Mr. Cesar Stock, the assigned trustee for the liquidation of
local company Apsa S.R.L., will present a general report on the
case tomorrow, Sep. 14, 2005. Mr. Stock verified creditors'
claims until June 6, 2005. Afterwards, he prepared the
individual reports, which are to be submitted in court on Aug.
2, 2005.

The city's civil and commercial Court No. 10 handles the
Company's case. Clerk No. 20 assists the court with the
wind-up proceedings.

CONTACT: Mr. Cesar Stock, Trustee
         Avda Corrientes 4149
         Buenos Aires


CITY S.A.I.C.I.F.: Gets Court Authorization to Reorganize
---------------------------------------------------------
City S.A.I.C.I.F. will begin reorganization following the
approval of its petition by Court No. 3 of Mendoza's 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.

Mr. Oscar Eduardo Torres will oversee the reorganization
proceedings as the court-appointed trustee. He will verify
creditors' claims until Dec. 21, 2005. The validated claims will
be presented in court as individual reports on March 3, 2006.

Mr. Torres is also required by the court 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 April 18, 2006.

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 June 29, 2006.

CONTACT: City S.A.I.C.I.F.
         San Martin 1127
         Local Mercurio 32
         Unidad 52
         Ciudad de Mendoza (Mendoza)

         Mr. Oscar Eduardo Torres, Trustee
         25 de Mayo 2137 Dorrego
         Guaymallen (Mendoza)


CRESUD: Posts Big FY 2005 Net Income Increase
---------------------------------------------
Cresud S.A.C.I.F. y A. (Nasdaq: CRESY) (BCBA: CRES), a leading
Argentine producer of agricultural products, posted Friday
ARS76.8 million net income in Fiscal Year 2005 which ended June
30, 2005.

During fiscal year 2005, the Company introduced improvements in
its business activities and made investments that resulted in
net income of 76.8 million pesos for the 12-month period ending
June 30, 2005. This represents a substantial increase of 139%,
compared to net profits obtained in fiscal year 2004.

The increase in net income is mostly due to: (i) profits of 20
million pesos resulting from the sale of two agricultural and
livestock properties, and (ii) excellent results obtained from
the investment in IRSA Inversiones y Representaciones S.A., and
the sale of IRSA's Convertible Negotiable Obligations which
generated substantial profits of 95.2 million pesos.

HIGHLIGHTS

- Net income in fiscal year 2005 reached 76.8 million pesos, an
increase of 139% over the 32.1 million pesos obtained in fiscal
year 2004.

- The harvest finished with an exceptional production of 143,250
tons of wheat, corn, sunflower seeds and soybeans, a 100.6%
increase in relation to the same period last year.

- During fiscal year 2005, an additional 6,000 hectares of land
were developed to be used in cattle-raising activities in the
Los Pozos farm in the Salta province.

- A major dairy farm was opened using leading-edge technology
that allows milk production to increase by 36,000 liters a day.

- The sale of "San Enrique" and "Nacurutu" farms, with a 595%
and 192% yield respectively, generated a profit of 20 million
pesos.

- Our portfolio of farms was enhanced through the acquisition of
two new properties, one with 1,946 hectares in the La Pampa
province, and the other with more than 6,000 hectares in the
Entre Rios province; the second acquisition was registered
subsequent to the end of the fiscal year

- During fiscal year, our investment in IRSA generated a gain of
95.2 million pesos due to its excellent results and partial sale
of IRSA's Convertible Negotiable Obligations held by Cresud.

Cresud is a leading Argentine producer of basic agricultural
products and the only such company with shares listed on the
Buenos Aires Stock Exchange and Nasdaq. The Company is currently
involved in various operations and activities, including crop
production, cattle raising and fattening, milk production and
certain forestry activities. Most of its farms are located in
Argentina's pampas, one of the largest temperate prairie zones
in the world and one of the richest areas of the world for
agricultural production.

To see financial highlights:
http://bankrupt.com/misc/CRESUD.htm

CONTACT: Cresud S.A.C.I.F. y A.
         Alejandro Elsztain - CEO
         Gabriel Blasi - CFO
         Phone: 54-11-4323-7449
         E-mail: finanzas@cresud.com.ar
         URL: http://www.cresud.com.ar


EMPRENDIMIENTOS GARIN: Reorganization Process Starts
----------------------------------------------------
Court No. 2 of the civil and commercial tribunal of the
Argentine province of Buenos Aires approved a petition for
reorganization filed by local company Emprendimientos Garin
S.A., reports Infobae.

Mr. Oscar Eduardo Torres, a local accountant, was designated
as the Company's trustee. His duties include the verification of
credit claims and preparation of the individual and general
report.

The court gave creditors until Nov. 2, 2005 to present their
claims to the trustee for verification, Infobae reveals, without
stating whether the court has set the deadlines for the filing
of the trustee's reports.

CONTACT: Emprendimientos Garin S.A.
         Avda. Cordoba 657
         Buenos Aires

         Mr. Oscar Eduardo Torres, Trustee
         Narciso Gutierrez 1053/57
         Ciudad de San Luis (San Luis)


FRANCER S.R.L.: Seeks Court OK to Reorganize
--------------------------------------------
Francer S.R.L., a company operating in Buenos Aires, has
requested for reorganization after failing to pay its
liabilities since June 13, 2005. The reorganization petition,
once approved by the court, will allow the Company to negotiate
a settlement with its creditors in order to avoid a straight
liquidation.

The case is pending before Court No. 1 of the city's civil and
commercial tribunal. Clerk No. 2 assists on this case.

CONTACT: Francer S.R.L.
         Coronel Pagola 3826
         Buenos Aires


GRUPO EMPRESARIO: Court Declares Company Bankrupt
-------------------------------------------------
Court No. 2 of Buenos Aires' civil and commercial tribunal
declared local company Grupo Empresario de Mantenimiento S.A.
"Quiebra", relates La Nacion. The court approved the bankruptcy
petition filed by Berkley International S.R.T. S.A., whom the
Company has debts amounting to $83,943.47.

The Company will undergo the bankruptcy process with Mr. Jorge
Podesta as trustee. Creditors are required to present proof of
their claims to Mr. Podesta for verification before Nov. 15,
2005. Creditors who fail to submit the required documents by the
said date will not qualify for any post-liquidation
distributions.

Clerk No. 3 assists the court on the case.

CONTACT: Grupo Empresario de Mantenimiento S.A.
         Parana 552

         Mr. Jorge Podesta, Trustee
         Reconquista 336
         Buenos Aires


OBRA SOCIAL: General Report Filing Due September 14
---------------------------------------------------
The general report on the Obra Social Federal de la Federacion
Nacional de Trabajadores de Obras Sanitarias bankruptcy will be
submitted tomorrow, Sep. 14, 2005, following the submission of
the individual reports on Aug. 1, 2005.

Court No. 6 of Buenos Aires' civil and commercial tribunal
declared the Company "Quiebra" and appointed Mr. Alfredo Donatti
as trustee. The city's Clerk No. 12 assists the court with the
proceedings.

CONTACT: Mr. Alfredo Donatti, Trustee
         Montevideo 31
         Buenos Aires


SANBUESI S.A.: Deadline for General Report Approaches
-----------------------------------------------------
The deadline for the submission of the general report on the
liquidation of Sanbuesi S.A. will be tomorrow, Sep. 14, 2005.
Court-appointed trustee Fernando Jose Marziale was assigned
to prepare the said report.

Mr. Marziale verified creditors' claims until June 6, 2005 and
prepared individual reports out of the verified claims. The
individual reports were submitted in court on Aug. 2, 2005.

Buenos Aires' civil and commercial Court No. 3 handles Company's
case. Clerk No. 5 assists the court with the
wind-up proceedings.

CONTACT: Sanbuesi S.A.
         Zinny 1679
         Buenos Aires

         Mr. Fernando Jose Marziale, Trustee
         Avda Callao 930
         Buenos Aires


SINASPO S.R.L.: Judge Approves Bankruptcy
-----------------------------------------
Sinaspo S.R.L., a medical clinic, was declared bankrupt after
Court No. 6 of Buenos Aires' civil and commercial tribunal
endorsed the petition of Ms. Monica Ventriglia for the Company's
liquidation. Argentine daily La Nacion reports that Ms.
Ventriglia has claims totaling ARS15,950 against Sinaspo S.R.L.

The court assigned Ms. Elena Tancredi to supervise the
liquidation process as trustee. Ms. Tancredi will validate
creditors' proofs of claim until Nov. 14, 2005.

The city's Clerk No. 12 assists the court in resolving this
case.

CONTACT: Sinaspo S.R.L.
         Billinghurst 23
         Buenos Aires

         Ms. Elena Tancredi, Trustee
         Ecuador 1185
         Buenos Aires


VIVIENDAS TRABAJADORES: Individual Reports Due Sep. 14
------------------------------------------------------
The creditors' individual claims against Viviendas Trabajadores
de las Universidades Nacionales V will be presented to court for
approval tomorrow, Sep. 14, 2005. These reports explain the
basis for the accepted and rejected claims.

The court-appointed trustee will also submit a general report of
the Company's case on October 27.

The Company was declared bankrupt by Court No. 19 of Buenos
Aires' civil and commercial tribunal after it defaulted on its
debt payments. The city's Clerk No. 37 assists the court with
the proceedings.


* ARGENTINA: Files Petition to Annul ICSID Award to CMS Energy
--------------------------------------------------------------
Argentina has filed a petition to annul a ruling by the World
Bank's International Center for Settlement of Investment
Disputes (ICSID) in favor of US company CMS Energy Corp.

Argentina's Attorney of the Treasury, the second highest
position at the Justice Ministry, told Dow Jones Newswires
Friday that "the only thing pending now is the presentation of
fundamentals in the next two or three weeks."

The next step is for the ICSID "to decide if it is going to
accept the petition of annulment," said the spokesman, who asked
not to be identified.

The ICSID ruled against Argentina in May, awarding CMS Energy
US$133.2 million for a breach of contract relating to CMS's 30%
interest in Argentine gas pipeline operator Transportadora de
Gas del Norte SA (TGNO2.BA).

Argentina is asking the ICSID to declare the award null and void
because CMS is a minority holder of TGN



===============
B A R B A D O S
===============

C&W BARBADOS: Sees Positive Rebound in FY 2004-05
-------------------------------------------------
Cable & Wireless (Barbados) Limited posted an after-tax profit
of US$56.1 million in its financial year 2004-05 ending March
31, the Barbados Nation reports. The result is a "turnaround"
from the US$19.2-million loss the previous year.

According to company chairman, Sir Allan Fields, the improvement
came about as a result of a reduction in operating costs,
depreciation, and not having an asset write-off, or large
provisions for restructuring costs, which impacted the business
in 2003-2004.

Gross revenues during the 2004-05 period stood at US$368.7
million, down 1% from the previous year, while operating
expenses were US$287.8 million, down from last year's US$319.3
million.

C&W Barbados president Donald Austin said the Company aims to
become the technology hub of the Caribbean and will invest
heavily in the coming year in technology upgrading and further
network expansion to develop new IP based voice and data
services. C&W invested US$3 million in 2004-05 in expanding its
broadband network.

"This demonstrates Cable & Wireless' commitment to develop all
services as the only complete full service provider," Mr. Austin
said.

C&W gave up its international exclusive license in Barbados last
year, six years ahead of schedule.



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

CANTERBURY INVESTMENTS: Company to be Wound Up Voluntarily
----------------------------------------------------------
         IN THE MATTER OF THE COMPANIES ACT 1981

                            And

       IN THE MATTER OF Canterbury Investments Ltd.

The Members of Canterbury Investments Ltd. held a Special
General Meeting on the August 26, 2005 and passed the following
Resolutions:

1. THAT the Company be wound up voluntarily, pursuant to the
provisions of the Companies Act 1981 and the Company's
Memorandum of Association and Bye-laws;

2. THAT Mike Morrison of KPMG Financial Advisory Services
Limited, Crown House, 4 Par-la-Ville Road, Hamilton HM08,
Bermuda, be appointed Liquidator for the purpose of such winding
up;

3. THAT the Shareholder decides the remuneration to be paid to
the liquidator; and

4. THAT the Liquidator be authorized to distribute the surplus
assets in cash or in specie in accordance with the Memorandum of
Association and Bye-laws of the Company.

The Liquidator informs that:

- Creditors of Canterbury Investments Ltd., which is being
voluntarily wound up, are required, on or before October 3, 2005
to send their full Christian and Surnames, their addresses and
descriptions, full particulars of their debts or claims, and the
names and addresses of their solicitors (if any) to Mike
Morrison, the Liquidator of the said Company, and if so required
by notice in writing from the said Liquidator, and personally or
by their solicitors, to come in and prove their debts or claims
at such time as shall be specified in such notice. In default
thereof they will be excluded from the benefit of any
distribution made before such debts are proved.

- A Final General Meeting of the Members of Canterbury
Investments Ltd. will be held at KPMG Financial Advisory
Services Limited, Crown House, 4 Par-la-Ville Road, Hamilton
Bermuda on October 17, 2005 at 10:00 a.m. for the following
purposes of:

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

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

3. by Resolution dissolving the Company.

CONTACT: Mr. Mike Morrison, Liquidator
         KPMG Financial Advisory Services Limited
         Crown House
         4 Par-La-Ville Road
         Hamilton
         HM 08
         Bermuda


FINANCIAL CASUALTY: Names Mr. Ernest A. Morrison as Liquidator
--------------------------------------------------------------
             IN THE MATTER OF THE COMPANIES ACT 1981

                                 And

        IN THE MATTER OF Financial Casualty And Surety Ltd.

By Written Resolutions of the Sole Member of Financial Casualty
And Surety Ltd., on September 2, 2005, the following RESOLUTIONS
were duly passed:

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

2) RESOLVED that Mr Ernest A. Morrison, of "Milner House", 18
Parliament Street, Hamilton, Bermuda be and is hereby appointed
Liquidator for the purposes of winding-up, such appointment to
be effective forthwith.

The Liquidator informs that:

- Creditors of the Company are required on or before September
23, 2005, to send their names and addresses and the particulars
of their debts or claims to the Liquidator of the Company and,
if so required by notice in writing from the said Liquidator, to
come in and prove their said debts or claims at such time and
place as shall be specified in such notice or in default thereof
they will be excluded from the benefit of any distribution made
before such debts are proved.

- The Final General Meeting of the Sole Member of Financial
Casualty And Surety Ltd. will be held at the offices of Cox
Hallett Wilkinson, Milner House, 18 Parliament Street, Hamilton
HM12, on October 12, 2005 at 10:00 a.m. for the following
purposes:

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

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

3) by resolution dissolving the Company.

CONTACT: Mr. Ernest A. Morrison, Liquidator
         Milner House
         18 Parliament Street
         Hamilton HM 12
         Bermuda


GLOBAL CROSSING: Reaches Securities Suit Settlement in NY
---------------------------------------------------------
Global Crossing Ltd. arrived at an agreement over the amended
consolidated securities class action filed against it and
certain of its officers and directors in the United States
District Court for the Southern District of New York.

Following the Company's April 27, 2004 announcement that the
Company expected to restate certain of its consolidated
financial statements as of and for the year ended December 31,
2003, eight separate class action lawsuits all purporting to be
brought on behalf of Company shareholders were commenced against
the Company and certain of its officers and directors in the
United States District Courts in New Jersey, New York and
California. The cases were consolidated and transferred by the
Judicial Panel on Multidistrict Litigation to Judge Gerard Lynch
of the United States District Court for the Southern District of
New York based on his past involvement in prior cases involving
the Company.

On February 18, 2005, lead plaintiffs filed an amended
consolidated class action complaint against the Company and two
of its past and present officers. The consolidated amended
complaint alleges that the Company defrauded the public
securities markets by issuing false and misleading statements
that failed to disclose or indicate:

(1) that the Company had materially understated its accrued cost
    of access liabilities by as much as $80 million,

(2) that the Company lacked sufficient internal controls to
    prevent material misstatements,

(3) that the Company lacked sufficient internal controls to
    properly record and report accrued cost of access
    liabilities and operating expenses,

(4) that its financial statements were not prepared in
    accordance with generally accepted accounting principles,

(5) that the Company did not, contrary to its representations,
    consistently monitor the accuracy of its systems that
    measured cost of access,

(6) that the Company's results were materially inflated, and

(7) that the Company did not have a "clean" balance sheet.

The consolidated amended complaint, on behalf of a class of
persons who purchased or acquired the Company's common stock
between December 9, 2003 and April 26, 2004, asserts claims
under the federal securities laws, specifically Sections 10(b)
and 20(a) of the Exchange Act. Plaintiffs contend that the
Company's misstatement or omissions artificially inflated the
price of the Company's stock, which declined when the "true"
costs were disclosed. Plaintiffs seek compensatory damages as
well as other relief. If the case is not settled, defendants
anticipate filing a motion to dismiss the consolidated amended
complaint. Counsel for the Company and the lead plaintiffs have
agreed in principle on behalf of their clients to settle the
litigation under the terms of a proposed settlement agreement.
The proposed settlement agreement contemplates the creation of a
settlement fund by the company, subject to reimbursement in full
(less a $0.5 deductible) by the Company's directors and officers
liability insurance carrier. The proposed settlement agreement
remains subject to final negotiation and court approval.(Class
Action Reporter, Monday, Sep. 12, 2005, Issue 180)


GLOBAL CROSSING: Enters Channel Partner Agreement with Albanet
--------------------------------------------------------------
Global Crossing (Nasdaq: GLBC) announced Friday a channel
partner agreement with the Albanet Group, one of Scotland's
leading IT services companies with a Europe-wide reputation for
providing clients with high quality network management systems
and solutions, together with a range of professional business
applications, software and ICT support services. Global
Crossing's Channel Partner Program is a key part of Global
Crossing's indirect strategy, providing a virtual sales force
capable of attracting significant numbers of customers.

A common dedication to providing high-end customer support and
advanced IP solutions to their customers makes for a strong
partnership between the two companies. The Albanet Group and
Global Crossing will work collaboratively on providing solutions
to customers who need both IT services and network connectivity.
The Albanet Group has clients in a variety of industry sectors
including government, manufacturing, retail, financial services,
education, tourism and SME market places.

"This partnership with Global Crossing enables us to offer our
customers high-performance, secure, converged IP services backed
by a state-of-the-art network over which we can provide the IT
solutions and our NetQuest network management solutions to meet
their business needs," said Iain Clark, managing director of the
Albanet Group. "Global Crossing's worldwide IP-based network
also makes it possible for us to expand our business into
Europe."

Enterprises are increasingly transitioning to converged IP
environments as advanced features, greater flexibility and lower
total cost of ownership become the new buying imperatives. This
partnership enables the Albanet Group's customers to leverage
Global Crossing's fully interoperable service portfolio, running
over a global IP network, and backed by industry-leading
customer satisfaction scores and Service Level Agreements
(SLAs).

"Channel partnerships are a key part of our go-to-market
strategy, enabling us to serve, both directly and indirectly,
enterprises requiring IP services on a global scale," said Phil
Metcalf, managing director of Global Crossing UK. "Joining
forces with the Albanet Group allows us to bring our vision of
committed service, advanced technology and the ability to solve
business problems to a greater range of customers. We're
delighted to have entered into this relationship."

Global Crossing's Global Partner Channel Program, built to
support and reward IP-centric partners, includes:

  -  industry-leading portfolio of converged IP services;

      -  state-of-the-art Partner Support Center that handles
         routine back office tasks, allowing partners to focus
         on selling;

      -  streamlined service model that delivers a consistent
         customer experience, worldwide;

      -  clear partner expansion strategy into Europe and Latin
         America, supporting partners around the world;

      -  timely billing and flexible pricing models that empower
         partners to win and retain business; and

      -  uCommand(R), Global Crossing's industry-leading account
         management portal.

The Albanet Group is a leading ICT solutions company based in
Scotland specializing in IT infrastructure management, network
management software and consultancy services. With over 50 staff
across offices in the central belt and the Highlands the Group
has built a reputation for innovation and commitment to
providing the highest quality IT services to customers across
the UK.

The Albanet Group's real-time network management software
NetQuest ExtremeWAN provides an integrated solution that pro-
actively identifies and resolves performance and availability
problems on converged networks and is delivered as a service or
as a licensed suite of tools.

The Group was formed In January 2005 when Albanet Limited
acquired IRW Solutions Group Ltd. Its range of corporate clients
includes atHome Nationwide, Westminster Health Care, the
Crofters Commission, Scottish Radio Holdings, Glasgow Museums
and the Scottish University for Industry.

Global Crossing (Nasdaq: GLBC) provides telecommunications
solutions over the world's first integrated global IP-based
network. Its core network connects more than 300 cities and 30
countries worldwide, and delivers services to more than 500
major cities, 50 countries and 6 continents around the globe.
The company's global sales and support model matches the network
footprint and, like the network, delivers a consistent customer
experience worldwide.

Global Crossing IP services are global in scale, linking the
world's enterprises, governments and carriers with customers,
employees and partners worldwide in a secure environment that is
ideally suited for IP-based business applications, allowing e-
commerce to thrive. The company offers a full range of managed
data and voice products including Global Crossing IP VPN
Service, Global Crossing Managed Services and Global Crossing
VoIP services, to more than 40 percent of the Fortune 500, as
well as 700 carriers, mobile operators and ISPs.

CONTACT: Global Crossing
         Press Contacts
         Becky Yeamans
         Phone: 1 973-937-0155
         E-mail: PR@globalcrossing.com

         Kendra Langlie
         Phone: 1 305-808-5912
         E-mail: LatAmPR@globalcrossing.com

         Mish Desmidt
         Europe
         Phone: 44 (0) 1256 732-866
         E-mail: EuropePR@globalcrossing.com

         Analysts/Investors Contact
         Laurinda Pang
         Phone: 1 800-836-0342
         E-mail: glbc@globalcrossing.com

         URL: http://www.globalcrossing.com


LORAL SPACE: Shareholders Appeal Confirmation
---------------------------------------------
Loral Space & Communications Ltd. ("Loral" or the "Company")
announced that an appeal (the "Appeal") of the Confirmation
Order and the Motion to Prosecute was docketed in the Bankruptcy
Court on September 7, 2005.

The Appeal was filed by a shareholder on behalf of the Loral
Stockholders Protective Committee. The Company believes that the
Appeal will not prevent the Company from having its Plan of
Reorganization become effective after satisfaction of the
conditions precedent set forth in the confirmed Plan of
Reorganization, including obtaining approval of the Federal
Communications Commission. The Company continues to expect that
its Plan of Reorganization will become effective early in the
fourth quarter of 2005, although it cannot predict with
certainty when that will occur.

The Appeal, which is stamped "received" on August 10, 2005 was
not listed on the docket until September 7, 2005.

On August 1, 2005, the United States Bankruptcy Court for the
Southern District of New York (the "Bankruptcy Court") entered
an order (the "Confirmation Order") confirming the Company's
Fourth Amended Joint Plan of Reorganization, as modified (the
"Plan of Reorganization"). Also on August 1, 2005, the
Bankruptcy Court entered a separate order denying a motion
seeking authorization to commence an action to prosecute an
alleged fraudulent conveyance claim regarding the guaranty by
Loral of Loral Orion's 10% senior notes due 2006 issued in
connection with the exchange offer that occurred on December 21,
2001 (the "Motion to Prosecute").

On July 15, 2003, Loral Space and certain of its subsidiaries
filed voluntary petitions for reorganization under chapter 11 of
title 11 of the United States Code in the United States District
Court for the Southern District of New York and parallel
insolvency proceedings in the Supreme Court of Bermuda in which
certain partners of KPMG were appointed as joint provisional
liquidators.

CONTACT: Loral Space & Communications Ltd.
         600 Third Avenue
         New York, NY 10016
         USA
         URL: http://www.loral.com
         Phone: 212-697-1105



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

BANCO ITAU: Submits Financial Proposal
--------------------------------------
Banco Itau Holding Financeira S.A. (ITAU HOLDING) states that,
at a presence public bidding session held on September 5, 2005,
Banco Itau S.A. (ITAU) submitted the best financial proposal to
provide services, for a five-year period, consisting of making
payments to active (working) and inactive (retired or pensioned)
municipal employees, in the monthly amount of approximately
R$340 million, and to manage the financial resources of the
Municipal Government of Sao Paulo (local acronym PMSP -
Prefeitura do Municipio de Sao Paulo), including investment
funds.

2. The proposal submitted stipulates cash payment of R$510
million for payroll management and R$1.5 million for management
of resources. Continuing the current practice, these payments
will be registered as "Advance Expenses" and recognized in the
result within the period of validity of the contract.

3. The process is now in the phase of analyzing documentation
for the qualifications of the top-ranked bidders for subsequent
award and approval.

4. For ITAU, this operation will mean:

- an additional 210,000 customers concentrated in the city of
Sao Paulo, Brazil's main market, without the need for major
investments since it has an extensive network of branches in the
Greater Sao Paulo region and since ITAU has a strong
technological basis;

- offering banking, insurance and pensions products and services
to municipal employees, with an estimated increase of around 3%
in the volume of retail segment business for ITAU network of
branches; and

- managing the financial resources of the Municipal Government
of Sao Paulo, the fifth largest budget in Brazilian government.

5. Sao Paulo's municipal employees will be able to use the most
comprehensive range of products and services available in the
market and enjoy the convenience of ITAU's network of over 3,000
points of service, its 21,000 ATMs all over Brazil, and its
differentiated Bankfone ("Phone Banking") and Bankline
("Internet Banking") services; and

6. Through this operation, ITAU HOLDING reaffirms its strategy
of sustainable growth, broadening its focus in the individual
account holder segment.

CONTACT: Banco Itau Holding Financeira S.A.
         Investor Relations
         Mr. Geraldo Soares
         Investor Relations Superintendency
         Praca Alfredo Egydio de Souza Aranha 100
         Torre Conceicao - 11   04344-902
         Sao Paulo
         Phone: +5511 5019-1549
         Fax: +5511 5019-1133


BEC: Four Banks Qualify to Compete in Upcoming Auction
------------------------------------------------------
The Brazilian Clearing and Depository Corporation (CBLC) has
pre-qualified four banks to compete in the privatization of
state-owned bank Banco do Estado do Ceara (BEC).

The potential bidders include Brazil's three largest private
banks, Bradesco (NYSE: BBD), Itau (NYSE: ITU), and Unibanco
(NYSE: UBB), along with GE Consumer Finance. Brazil's central
bank also pre-qualified the same four in May.

BEC is slated to hit the auction block on Sep 15 and the minimum
price was set at BRL542 million (US$233mn). Brazil's federal
government owns 99% of BEC, and the bank's employees will have a
chance to buy 10% of the government shares at a discount.

BEC operates 70 branches and has 278,000 clients. The
institution administers assets of about BRL1.6 billion. The bank
reported a profit of BRL65.8 million in 2004, according to its
latest financial figures.


VARIG: Foreign Representatives Ask Court to Deny Willis' Plea
-------------------------------------------------------------
Vicente Cervo and Eduardo Zerwes, Representatives for VARIG S.A.
and its debtor-affiliates, tell the U.S. Bankruptcy Court for
the Southern District of New York the Debtors have delayed lease
payments to Willis Lease Finance Corporation because of their
present financial condition.

As previously reported in the Troubled Company Reporter, Willis
Lease Finance Corporation asked the Bankruptcy Court to modify
the Preliminary Injunction so it can repossess eight engines
leased to the Debtors.  The monthly rent on the eight Willis
Engines aggregates $446,812.

The Foreign Representatives tell the Hon. Robert D. Drain that
the Foreign Debtors need the Preliminary Injunction to continue
so they can proceed with their pending financing transaction
with Volo Logistics LLC, and Varig Logistica, S.A.  The Volo and
VarigLog Financing Deal is expected to cure all debts under the
leases and provide adequate assurance of current payments of all
leases and other operating expenses.

Moreover, the Foreign Debtors believe that continuing the
Injunction and proceeding with the Financing Deal will pave the
way to their successful restructuring Brazil.  In the event that
the Injunction is lifted, the Foreign Debtors risk damage to
their business, which damage will affect all their creditors.

Accordingly, the Foreign Debtors ask Judge Drain to deny Willis'
request to lift the injunction.

The Foreign Representatives inform the U.S. Bankruptcy Court
that all of the Foreign Debtors' lessors have received current
payments during the first weeks after the Petition Date in
Brazil. Thus, extending the Preliminary Injunction is consistent
with U.S. policy and practice, particularly where a transaction
is actually pending.

The hearing on Willis' Request has been adjourned until
September 20, 2005.

Headquartered in Rio de Janeiro, Brazil, VARIG S.A. is Brazil's
largest air carrier and the largest air carrier in Latin
America. VARIG's principal business is the transportation of
passengers and cargo by air on domestic routes within Brazil and
on international routes between Brazil and North and South
America, Europe and Asia.  VARIG carries approximately 13
million passengers annually and employs approximately 11,456
full-time employees, of which approximately 133 are employed in
the United States.

The Company, along with two affiliates, filed for a judicial
reorganization proceeding under the New Bankruptcy and
Restructuring Law of Brazil on June 17, 2005, due to a
competitive landscape, high fuel costs, cash flow deficit, and
high operating leverage.  The Debtors may be the first case
under the new law, which took effect on June 9, 2005.  Similar
to a chapter 11 debtor-in-possession under the U.S. Bankruptcy
Code, the Debtors remain in possession and control of their
estate pending the Judicial Reorganization.  Sergio Bermudes,
Esq., at Escritorio de Advocacia Sergio Bermudes, represents the
carrier in Brazil.

Each of the Debtors' Boards of Directors authorized Vicente
Cervo as foreign representative.  In this capacity, Mr. Cervo
filed a Sec. 304 petition on June 17, 2005 (Bankr. S.D.N.Y. Case
Nos. 05-14400 and 05-14402). Rick B. Antonoff, Esq., at
Pillsbury Winthrop Shaw Pittman LLP represents Mr. Cervo in the
United States. As of March 31, 2005, the Debtors reported
BRL2,979,309,000 in total assets and BRL9,474,930,000 in total
debts. (VARIG Bankruptcy News, Issue No. 7; Bankruptcy
Creditors' Service, Inc., 215/945-7000)



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

PAZ DEL RIO: Arango Chosen to Replace Hadad as President
--------------------------------------------------------
Gilberto Gomez Arango has been appointed to replace Alberto
Hadad as president of steelmaker Acerias Paz del Rio (APR),
reports Business News Americas. Mr. Arango will work to find a
JV partner for the company, which has a 14% domestic steel
market share.

Brazilian long steel producer Belgo Mineira said earlier it
wants to take majority control of APR to take advantage of the
rising demand for iron and steel in the Colombian market.

But, according to reports, securing a majority share in APR may
prove to be tough as the government holds 9% of the Company and
workers 43%.

APR is based in Boyaca department's Belencito.

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


EMCALI: Congress Seeks Alliance With ERT
----------------------------------------
The utilities committee of the Colombian congress proposed an
alliance of state-run telcos Emcali and ERT, reports Business
News Americas. The concept is to create a regional player that
would compete better with foreign companies in the country.

Several congressmen see the alliance as a positive move since it
would allow the expansion of basic telephony coverage currently
provided by both companies, as well as increase investments,
service continuity and competitiveness.

But these congressmen are not ruling out the possibility of
Emcali and ERT signing an alliance with Mexico's Telmex or
Spain's Telefonica.

Meanwhile, Emcali is considering Bogota mayor Luis Garzon's
proposal to create a major alliance between state-run telcos
ETB, EPM and Emcali in order to face international competition.

Mr. Garzon believes the alliance would allow over 8 million
fixed lines to enter the broadband market, which is the most
profitable in the telecommunications sector.



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

KAISER ALUMINUM: Amends Terms on Solicitation, Voting Protocol
--------------------------------------------------------------
Kaiser Aluminum Corporation, together with Kaiser Aluminum &
Chemical Corporation and 19 of their subsidiaries, revise
certain provisions on the solicitation and tabulation of votes
to accept or reject their proposed joint plan of reorganization.

As previously reported, the Remaining Debtors noted in their
Solicitation Procedures Motion that they intended to discuss
issues related to weighted voting and publication with the
Asbestos Committee, as well as votes solicitation on the Plan
from the 6-1/2% RPC Revenue Bondholders with the indenture
trustee for those bonds.

Kimberly D. Newmarch, Esq., at Richards, Layton & Finger, in
Wilmington, Delaware, tells Judge Fitzgerald that as a result of
discussions regarding certain other aspects of the Solicitation
and Tabulation Procedures with the Asbestos Committee, the
Remaining Debtors have agreed to make primary revisions to the
Solicitation and Tabulation Procedures.

         Procedures Regarding Direct Channeled PI Claims

The Remaining Debtors mailed copies of a P.I. Solicitation
Notice and a Directive to all known P I. attorneys.  The P.I.
Solicitation Notice:

   -- notified the P.I. Attorneys of the date, time and place
      of the Disclosure Statement hearing and the deadline
      and procedures for asserting objections to the approval
      of the Disclosure Statement or the Solicitation
      Procedures Motion;

   -- notified the P.l. Attorneys of the options proposed for
      soliciting votes on the Plan in respect of Direct
      Channeled PI Claims; and

   -- asked that each P.I. Attorney voluntarily select a
      solicitation method by completing and returning the
      Directive to the Solicitation and Tabulation Agent on
      or before August 22, 2005, and submit a Client List by
      certain dates, depending on the solicitation method
      selected by the P.I. Attorney.

Specifically, the Remaining Debtors intend to serve the revised
P.I. Solicitation Notice and Directive on all known P.I.
Attorneys, along with one Solicitation Package and one master
ballot for voting the applicable Direct Channeled PI Claims, as
soon as practicable after the entry of an order approving the
Disclosure Statement and the Solicitation and Tabulation
Procedures.

In accordance with the revisions, the Remaining Debtors ask the
U.S. Bankruptcy Court for the District of Delaware to require
the P.I. Attorneys -- to the extent that they have not already
returned the previous form of the Directive -- to return the
Directives to the Solicitation and Tabulation Agent on or before
October 3, 2005, or other fixed date that is approximately 20
days after the commencement of the solicitation period.

The Remaining Debtors also ask the Court to establish the
deadlines for P.I. Attorneys to submit Client Lists to the
Solicitation and Tabulation Agent as:

   (a) October 3, 2005, or another date that is 20 days after
       the commencement of the solicitation period, if the P.I.
       Attorney instructs the Solicitation and Tabulation Agent
       to serve the Clients with Solicitation Packages directly;
       or

   (b) October 17, 2005, or another date that is 25 days prior
       to the proposed Voting Deadline, if the P.I. Attorney
       elects to handle service of the Solicitation Packages on
       the Clients.

With regard to the weighted voting amounts for Asbestos PI
Claims, the Remaining Debtors have agreed with the Asbestos
Committee to revise tabulation rules established in the
Solicitation and Tabulation Procedures for Asbestos PI Claims:

                                               Claim Amount
   Basis for Asbestos PI Claim              for Voting Purposes
   ---------------------------              -------------------
   Other Asbestos Disease (Level I)                 $200

   Asbestosis/Pleural Disease (Level II)             700

   Asbestosis/Pleural Disease (Level III)          4,850

   Severe Asbestosis (Level IV)                   20,750

   Other Cancer (Level V)                         13,800

   Lung Cancer 2 (Level VI)                        7,000

   Lung Cancer 1 (Level VII)                      27,500

   Mesothelioma (Level VIII)                      70,000

Ms. Newmarch notes that because it is contemplated that the
Asbestos PI Claims will be temporarily allowed based on the
claimant's disease category, the Solicitation and Tabulation
Procedures and the master ballots now require P.I. Attorneys who
are submitting votes on behalf of their Clients via a master
ballot to designate a disease category for each Client.

Ms. Newmarch maintains that by signing the master ballot, each
P.I. Attorney will certify, among other things, that:

   * the Clients listed on the master ballot have met the
     medical and asbestos-exposure criteria for each disease
     category; and

   * the disease-category selection is based on medical records
     or similar documentation in the Clients' files.

Ms. Newmarch adds that P.I. Attorneys completing a master ballot
must also summarize their Clients' votes on the Plan by disease
category.  Holders of Asbestos PI Claims who are voting on an
individual Ballot must designate a disease category for their
Claims, and those holders must certify that they meet the
medical and asbestos-exposure criteria for the category
selected.

           Tabulation of Votes for Asbestos PI Claims

The Remaining Debtors propose that these rules apply to the
tabulation of votes cast in respect of Asbestos PI Claims:

   (1) For purposes of computing votes, each Asbestos PI
       Claimholder will be deemed to have voted the full
       amount of that PI Claim according to the disease category
       specified.

   (2) The temporary allowance of Asbestos PI Claims in
       the amount corresponding to the Disease Category
       designated by, or on behalf of, the holders of those
       Claims is solely for voting purposes and does not
       constitute an allowance of those Claims for distribution
       purposes under the Asbestos PI Trust.  It is also
       without prejudice to the rights of the Asbestos PI
       Claimholders or the Debtors and the Asbestos PI Trust in
       any other context.

   (3) If no disease category is selected for an Asbestos PI
       Claim, the Voting Agent will treat the vote cast in
       respect of that Claim as Other Asbestos Disease
       (Level I).

   (4) If more than one disease category is selected for any
       Asbestos PI Claim, the Voting Agent will count the vote
       cast in the amount corresponding to the disease category
       with the highest allowed amount.

   (5) Multiple master ballots may be completed and delivered
       to the Solicitation and Tabulation Agent:

       -- Votes reflected by multiple master ballots will be
          counted except to the extent that they are duplicative
          of other master ballots;

       -- If two or more master ballots are inconsistent, the
          latest dated master ballot received prior to the
          Voting Deadline will, to the extent of that
          inconsistency, govern unless ordered by the Court; and

       -- If more than one master ballot is submitted and the
          later master ballots supplement, rather than
          supersede, earlier master ballots, the attorney
          submitting that master ballot will mark the subsequent
          master ballots as "Supplement" and clearly mark which
          of those votes reflected are additional votes.

   (6) If two or more master ballots are received from separate
       counsel, each of whom purports to represent the same
       holder of an Asbestos PI Claim, the vote by that holder
       will be counted only once, and only if those votes are
       consistent.  In the event that the votes are not
       consistent, none of the votes will be counted.

The Remaining Debtors also propose that those rules will also
apply to master ballots cast in respect of CTPV, NIHL and Silica
Personal Injury Claims.

                   Additional Forms of Ballot

As a result of the revisions to the Solicitation and Tabulation
Procedures, the Remaining Debtors ask Judge Fitzgerald to
approve three additional ballots:

   (a) Ballot No. 3A for individual holders of Asbestos PI
       Claims to return directly to the Solicitation and
       Tabulation Agent;

   (b) Ballot No. 3C for individual holders of Indirect
       Channeled PI Claims attributable to asbestos; and

   (c) Ballot No. 4A on which P.1. Attorneys will vote their
       Clients' Asbestos PI Claims.

The Remaining Debtors have re-numbered the forms of Ballot
formerly designated as Ballot No. 3 and Ballot No. 4 in the
Solicitation Procedures Motion.  Ms. Newmarch says that these
Ballots are now designated as Ballot No. 3B and Ballot No. 4B.

The Remaining Debtors propose to distribute these forms of
Ballot to claim holders in classes entitled to vote to accept or
reject the Plan:

     Ballot No.       Claimholders
     ----------       ------------
         1            Class 2 Convenience Claims

         2            Class 4 Canadian Debtor PBGC Claims

        3A            Individual ballot to be returned directly
                      to the Solicitation and Tabulation Agent
                      for Class 5 Asbestos PI Claims

        3B            Individual ballot to be returned directly
                      to the Solicitation and Tabulation Agent
                      for Class 6 CTPV PI Claims, Class 7 NIHL
                      PI Claims and Class 8 Silica PI Claims

        3C            Individual ballot to be returned directly
                      to the Solicitation and Tabulation Agent
                      for Indirect Channeled PI Claims
                      attributable to asbestos in Class 5
                      Ballot No. 4A Master Ballot for Class 5
                      Asbestos PI Claims

        4B            Master Ballot for Class 6 CTPV Personal
                      Injury Claims, Class 7 NIHL PI Claims and
                      Class 8 Silica PI Claims

        5A            Individual ballot to be returned directly
                      to the Solicitation and Tabulation Agent
                      for Subclass 9B General Unsecured Claims
                      in respect of 9-7/8% Senior Notes,
                      10-7/8% Senior Notes, 7-3/4% SWD Revenue
                      Bonds and 7.60% SWD Revenue Bonds

        5B            Individual ballot to be returned directly
                      to a Master Ballot Agent for Subclass 9B
                      General Unsecured Claims in respect of 9-
                      7/8% Senior Notes, 10-7/8% Senior Notes,
                      7-3/4% SWD Revenue Bonds and 7.60% SWD
                      Revenue Bonds

         6            Master Ballot for Subclass 9B General
                      Unsecured Claims in respect of 9-7/8%
                      Senior Notes, 10-7/8% Senior Notes,
                      7-3/4% SWD Revenue Bonds and 7.60% SWD
                      Revenue Bonds

         7            Individual Ballot for Subclass 9B General
                      Unsecured Claims in respect of 6-1/2% RPC
                      Revenue Bonds

         8            Ballot for other Subclass 9B General
                      Unsecured Claims

               New Proposed Solicitation Deadlines

Ms. Newmarch reminds Judge Fitzgerald that the Solicitation
Procedures Motion contemplated a 35-day period for the
solicitation of votes to accept or reject the Plan.  Based on
discussions with the Asbestos Committee, the Remaining Debtors
have agreed to extend that period to 60 days, commencing on the
date that the Solicitation and Tabulation Agent completes the
mailing of Solicitation Packages to the P.I. Attorneys.

Accordingly, the Remaining Debtors ask that, except with respect
to claimants holding bonds in "street" name -- who have an
earlier deadline to submit their Ballot to the broker, bank or
other agent that holds those bonds -- to be counted as votes to
accept or reject the Plan, all Ballots must be properly
executed, completed and delivered to the Solicitation and
Tabulation Agent so that those Ballots are received no later
than 5:00 p.m. on November 14, 2005, or other date established
by the Remaining Debtors that is at least 60 days after the
commencement of the solicitation period.

Consistent with their revised solicitation schedule, the
Remaining Debtors ask Judge Fitzgerald to schedule the Plan's
confirmation hearing for December 1, 2005, or as soon as the
Court's schedule permits.

The Debtors also ask the Court to establish:

   * the deadline for filing Rule 3018 Motions 14 days before
     the Voting Deadline; and

   * the Confirmation Objection Deadline as November 14, 2005,
     at 5:00 p.m.

The Remaining Debtors contend that a 60-day solicitation period
provides sufficient time for:

   -- creditors to make informed decisions to accept or reject
      the Plan and submit timely Ballots;

   -- Master Ballot Agents to distribute Form B Debt Securities
      Individual Ballots and complete and submit timely Debt
      Securities Master Ballots; and

   -- P.I. Attorneys to determine which solicitation method
      should be used for the solicitation of votes on the Plan
      from those attorneys' Clients and compile the Client Lists
      to the Solicitation and Tabulation Agent.

A blacklined copy of the Amended Solicitation Procedures is
available for free at:

   http://bankrupt.com/misc/Amended_Solicitation_Procedures.pdf

         Court Sets Confirmation Hearing in January 2006

The Bankruptcy Court has scheduled hearings for January 9
through January 11, 2006, to consider confirmation of the
Debtors' plan of reorganization, Dow Jones Newswires reports.

The Remaining Debtors had planned to emerge from bankruptcy by
December 31, 2005, but a jammed bankruptcy court calendar pushed
the schedule back a month, according to Dow Jones.

The Court also approved procedures for the solicitation and
tabulation of votes on the Plan.

Headquartered in Foothill Ranch, California, Kaiser Aluminum
Corporation -- http://www.kaiseraluminum.com/-- is a leading  
producer of fabricated aluminum products for aerospace and high-
strength, general engineering, automotive, and custom industrial
applications.  The Company filed for chapter 11 protection on
February 12, 2002 (Bankr. Del. Case No. 02-10429), and has sold
off a number of its commodity businesses during course of its
cases.  Corinne Ball, Esq., at Jones Day, represents the Debtors
in their restructuring efforts.  On June 30, 2004, the Debtors
listed $1.619 billion in assets and $3.396 billion in debts.
(Kaiser Bankruptcy News, Issue No. 77; Bankruptcy Creditors'
Service, Inc., 215/945-7000)



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

AHMSA: Finalizes Major Repair in Plate Mill
-------------------------------------------
Altos Hornos de Mexico (AHMSA) concluded successfully a major
repair in its Plate Mill located in the Hot Rolling facilities.
With an investment of US$3 million, the maintenance program was
developed for a period of 15 days. By the beginning of this
week, the Plate Mill was operating at normal production
standards.

The major repair included the rehabilitation and maintenance of
the two slab reheating furnaces and output beds, replacement of
the support structures of the work rolls in Rolling Mill No. 2,
machinated of the shear No. 2 for longitudinal cuts and the
rehabilitation of four traveling cranes.

AHMSA is the only plate producer in Mexico, a product used for
the fabrication of heavy-duty machinery, pressured vessels,
piping and structures, among others.

Last July, AHMSA produced nearly 50,000 metric tons of plate, a
historic record for the Company.

CONTACT: AHMSA
         International Operations
         Prolongacion Juarez s/n
         Monclova, Coah., 25770
         Phone: + 52 (866) 649 34 00
         Fax: + 52 (866) 649 23 10
         E-mail: sales@ahmsa.com
         Web site: http://www.ahmsa.com.mx


ASARCO: ASARCO Consulting Wants to File Schedules by Oct. 31
------------------------------------------------------------
In accordance with Rule 1007(b) and(c) of the Federal Rules of
Bankruptcy Procedure, a Chapter 11 debtor must file its schedule
of assets and liabilities, a schedule of current income and
expenditure, a schedule of executory contracts and unexpired
leases, and a statement of financial affairs within 15 days
after the Petition Date so long as it files a list of its
creditors with the bankruptcy petition.

C. Luckey McDowell, Esq., at Baker Botts, LLP, in Dallas, Texas,
tells Judge Schmidt that due to the administrative load on
employees brought on by the pending bankruptcy cases of ASARCO,
LLC, and its subsidiary affiliates, ASARCO Consulting, Inc.
requires additional time to compile and verify the accuracy of
the data needed for the preparation and filing of the Schedules.

Under the circumstances, ASARCO Consulting anticipates that it
will be unable to complete its Schedules by the deadline
established by Bankruptcy Rule 1007(c).

At present, ASARCO Consulting believes that a 60-day extension
of the deadline will be sufficient to accomplish that project.

Accordingly, ASARCO Consulting asks Judge Schmidt to extend the
deadline for filing its Schedules, Lists, and Statement of
Financial Affairs to Oct. 31, 2005.

ASARCO Consulting also asks the Court to rule that the meeting
of creditors will not be held until after the date it files the
Schedules.

Headquartered in Tucson, Arizona, ASARCO LLC --
http://www.asarco.com/-- is an integrated copper mining,  
smelting and refining company.  Grupo Mexico S.A. de C.V. is
ASARCO's ultimate parent.  The Company filed for chapter 11
protection on Aug. 9, 2005 (Bankr. S.D. Tex. Case No. 05-21207).  
James R. Prince, Esq., Jack L. Kinzie, Esq., and Eric A.
Soderlund, Esq., at Baker Botts L.L.P., and Nathaniel Peter
Holzer, Esq., Shelby A. Jordan, Esq., and Harlin C. Womble,
Esq., at Jordan, Hyden, Womble & Culbreth, P.C., represent the
Debtor in its restructuring efforts.  When the Debtor filed for
protection from its creditors, it listed $600 million in total
assets and $1 billion in total debts.

The Debtor has five affiliates that filed for chapter 11
protection on April 11, 2005 (Bankr. S.D. Tex. Case Nos. 05-
20521 thru 05-20525).  They are Lac d'Amiante Du Quebec Ltee,
CAPCO Pipe Company, Inc., Cement Asbestos Products Company, Lake
Asbestos Of Quebec, Ltd., and LAQ Canada, Ltd.  Details about
their asbestos-driven chapter 11 filings have appeared in the
Troubled Company Reporter since Apr. 18, 2005.  ASARCO has asked
that the five subsidiary cases be jointly administered with its
chapter 11 case. (ASARCO Bankruptcy News, Issue No. 5;
Bankruptcy Creditors' Service, Inc., 215/945-7000)


SICARTSA: Union Seeks to Negotiate With Parent
----------------------------------------------
Grupo Villacero's continued refusal to meet directly with the
mining-metalworkers' union (STMMRM) has prompted the latter to
seek support from the international metalworkers' federation in
its efforts to put an end to a more-than-a-month-old strike at
Villacero unit, Sicartsa.

According to a Business News Americas report, the union wants
Villacero to negotiate with the workers directly at an assembly
at the Sicartsa steel plant in Mexico's Michoacan state, where a
new vote would be held.

A vote held earlier this month saw workers rejecting Villacero's
proposal, which has not been modified since.

Now unions affiliated to the international metalworkers'
federation are sending letters to the Mexican government to back
STMMRM in its effort to negotiate directly with Villacero "so
that the company listens to the demands and there can be an
answer," STMMRM spokesperson Consuelo Aguilar said.

"We don't believe it will be easy to reach an agreement, and as
long as this is the situation, the strike movement is not going
to end," she said.


TV AZTECA: To Prepay MXN1.406 Billion Loan Due 2008
---------------------------------------------------
TV Azteca, S.A. de C.V. (BMV: TVAZTCA; Latibex: XTZA), one of
the two largest producers of Spanish language television
programming in the world, announced Friday that it expects to
prepay during September 2005 its MXN1.406 billion (US$131
million) loan with Banco Inbursa, S.A., due February 2008, with
an escalating rate currently at TIIE + 490 bps.

The source funds for the prepayment come from Friday's
successful issuance in Mexican debt markets of MXN1.416 million
Structured Securities Certificates at TIIE + 215 bps., with
gradual maturities ending 2011. Fitch Mexico's rating for the
Certificate is AA(mex).

"The new sources of financing are part of our ongoing efforts to
further reduce the company's financial expense and to enhance
our maturity profile," said Carlos Hesles, Chief Financial
Officer of TV Azteca. "We will not cease in our proactive search
for future opportunities that improve our cost of financing and
TV Azteca's overall financial results."

Mr. Hesles added that, "the enhanced financial terms represent a
noteworthy vote of confidence from Mexican financial market
participants on the strength of TV Azteca's operations and
financial results going forward."

Company Profile

TV Azteca is one of the two largest producers of Spanish
language television programming in the world, operating two
national television networks in Mexico, Azteca 13 and Azteca 7,
through more than 300 owned and operated stations across the
country. TV Azteca affiliates include Azteca America Network, a
broadcast television network focused on the rapidly growing US
Hispanic market; and Todito.com, an Internet portal for North
American Spanish speakers.

CONTACT:  Investor Relations:
          Bruno Rangel
          Tel: 5255 1720 9167
          E-mail: jrangelk@tvazteca.com.mx

          Rolando Villarreal
          Tel: 5255 1720 0041
          E-mail: rvillarreal@gruposalinas.com.mx

          Media Relations:
          Tristan Canales
          Tel: 5255 1720 5786
          E-mail: tcanales@tvazteca.com.mx

          Daniel McCosh
          Tel: 5255 1720 0059
          E-mail: dmccosh@tvazteca.com.mx



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CADAFE: Anticipates Additional $100M/Yr With New Sales System
-------------------------------------------------------------
Venezuelan state integrated electricity firm Cadafe expects its
planned new sales system to bring in an additional US$100-
million a year starting 2007, Business News Americas reports.
The plan, which encompasses sales and billing upgrade, aims to
lessen technical and non-technical losses. These losses
currently account for about 40% of all the electricity Cadafe
distributes.

Cadafe currently carries out most of its meter reading, bill
collections and customer service manually but that will all
change with the new plan.

Under the plan, customers' houses and business will be given new
meters while the 300 commercial offices of Cadafe will be
provided with new computers. The Company's collection agents are
already receiving new cars, 150-plus so far this year.

The plan is first being carried out in the three states where
most of Cadafe's customers are residing. They are Aragua and
Carabobo in central Venezuela, and Anzoategui in eastern
Venezuela.

According to Cadafe president and deputy energy and oil minister
Nervis Villalobos, the Company will invest US$40 million in the
first year of the plan in the three states and it could then be
expanded nationwide within three years if successful.

"It is a very ambitious plan that will get our 300 offices
interconnected, enhance our telecommunications network and our
computer systems," Mr. Villalobos said.


CADAFE: To Rent Out 10MW Thermo Unit to Antigua & Barbuda
---------------------------------------------------------
Cadafe president and energy and oil deputy minister Nervis
Villalobos said that Antigua & Barbuda will rent from it a 10MW
thermo generation unit for US$2 million - US$3 million a year,
relates Business News Americas.

The move is part of the Petrocaribe regional agreement sponsored
by Venezuela. Antigua & Barbuda along with 13 other Caribbean
countries signed up for the said agreement in July, enabling
them to purchase Venezuelan fuel under preferential terms
including options for long-term financing.

Mr. Villalobos said the Caribbean island nations that signed up
for Petrocaribe will receive a total 20,000 barrels a month of
fuel and diesel oil just for power generation out of total crude
and fuel supplies of about 200,000 barrels a day.

This is the first time Cadafe has been involved in a generation
project in the Caribbean.



                            ***********


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

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