TCRLA_Public/050916.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

          Friday, September 16, 2005, Vol. 6, Issue 184



AGUAS ARGENTINAS: Government Prefers Private Investor Control
ANTA CONSTRUCCIONES: Claims Filing Deadline Fixed
ARCHIVOS RICLA: General Report to be Submitted September 19
BELGRANO CARGAS: Sideco Mulls 73% Stake Buy With Chinese Firm
ESTABLECIMIENTO METALURGICO: Court Grants Reorganization Plea

ESTACION DE SERVICIOS: General Report Set for Monday Filing
GIAPPON S.A.: General Report Deadline September 19
PIONEER NATURAL: Prices 5.875% Senior Notes Tender Offer
SENIOR KAFEGO: Required Report to be Submitted September 19
WOOLYN S.A.: General Report to be Submitted Sep. 19


BANCO ITAU: Local Court Halts Deal With City of Sao Paulo
BEC: Auction Temporarily Delayed Following Supreme Court Ruling
CERVEJARIAS KAISER: Molson Nears Sale of Struggling Brand
EMBRATEL: CADE Dismisses Cases Against Fixed-Line Operators
GERDAU: Antitrust Hearing Halted by New Injunction

PARANA BANCO: S&P Assigns 'B/B' Counterparty Credit Rating
UNIBANCO: CGD Raises $640M From Stake Sale
UNIBANCO: Share Conversion Period Ends


PAZ DEL RIO: Workers Authorize Share Sale


AIR JAMAICA: Hotelier Backs Flight Resumption  


CENTRAL PARKING: Reaches Tentative Agreement to Sell Mexican JV
DESARROLLADORA HOMEX: Moody's Assigns Ba3 Rating to $200M Notes
TFM: Relieves Interim Position, Appoints New CFO


PDVSA: Unions Plan to Sue if Demands Not Accepted

     - - - - - - - - - -


AGUAS ARGENTINAS: Government Prefers Private Investor Control
The Argentine government wants the control of Buenos Aires water
utility Aguas Argentinas to go to a private investor, reports
Dow Jones Newswires. Speaking at a Council of the Americas
gathering Tuesday, Planning Minister Julio De Vido said: "We
want an association with private capital, national and foreign,
with the state's role as a controller to guarantee stability. We
don't have the vocation of being a state hegemony."

French utility Suez said last week that it plans to withdraw
from Aguas Argentinas, which it signed a 30-year concession to
run in 1993. The departure comes after the collapse of difficult
talks with the government over a new, long-term contract.

But the government of President Nestor Kirchner still believes
that Suez can be persuaded not to withdraw from Aguas Argentinas
and could ask France's government to mediate in talks.

"The issue of Aguas Argentinas is not finished. We have not
slammed the door and I think that there could still be an
opening," Mr. de Vido said. "There is a slight hope, a 10%
chance that something could be sorted out with Suez," he added.

Mr. De Vido said in weekend interviews that the government would
like an Edenor-style solution for the Aguas Argentinas
concession. Power distributor Edenor's former owner, Electricite
de France (EdF), is selling a 65% stake in the local company but
retaining 25% and providing technical assistance for five years.

But what is definitely out of the question is the state taking
on the US$200-million debt with the Inter-American Development
Bank (IDB), which Aguas Argentinas absorbed when it first took
on the concession. Mr. De Vido and other officials say it would
be impossible to accept this condition and it would stand no
chance of approval in congress. Furthermore, it would also
threaten contract renegotiations with other privatized public

ANTA CONSTRUCCIONES: Claims Filing Deadline Fixed
The verification of creditors' claims for the Anta
Construcciones S.R.L. insolvency case is set to end on Oct. 13,
2005, states Infobae. Local accounting firm Estudio Formento,
Perez y Asociados, the court-appointed trustee tasked with
examining the claims, will submit the validation results as
individual reports on Nov. 24, 2005. The firm will also present
a general report in court on Feb. 7, 2006.

On July 28 next year, the Company's creditors will vote on the
settlement proposal prepared by the Company. Infobae adds that
Court No. 1 of Salta's civil and commercial tribunal handles the
Company's reorganization case.

CONTACT: Anta Construcciones S.R.L.
         Pasaje Anta 1377
         Ciudad de Salta (Salta)

         Estudio Formento, Perez y Asociados, Trustee
         20 de Febrero Nro. 773
         Salta Capital

ARCHIVOS RICLA: General Report to be Submitted September 19
The general report on the Archivos Ricla S.R.L. bankruptcy will
be submitted on Monday, Sep. 19, 2005. Court-appointed trustee
Lia Stella Maris Alvarez will include in the report an audit of
the Company's accounting and business records.

Ms. Alvarez submitted on Aug. 8, 2005 individual reports on the
claims of creditors against the Company. The claims underwent
verification which lasted until June 27, 2005.

Archivos Ricla S.R.L. was declared "Quiebra" by Court No. 12 of
Buenos Aires' civil and commercial tribunal.

Clerk No. 23 assists the court on the proceedings.

CONTACT: Ms. Lia Stella Maris Alvarez, Trustee
         Cerrito 146
         Buenos Aires

BELGRANO CARGAS: Sideco Mulls 73% Stake Buy With Chinese Firm
Argentine construction and infrastructure conglomerate Sideco
Americana has signed an exclusivity agreement with Union
Ferroviaria, allowing it to study the purchase of 73% of rail
firm Ferrocarril Belgrano Cargas, reports Business News

"Sideco has begun studies into the state of the rail network and
the investments needed to execute the improvements required for
normal operations of the train," Business News Americas quoted
Sideco spokesperson Maria Noel Garavaglia as saying.

"There will be a renewable period of approximately 30 days in
which to evaluate the purchase, and the time available to make
decisions will last until yearend," the official added.

Sideco is studying the acquisition with a Chinese partner, Sanhe
Hopefull Grain and Oil Group, one of the largest companies in
the Asian nation. Sanhe will contribute logistical expertise and
financial support, while Sideco will provide business

If Sideco decides to buy Belgrano Cargas, it would require the
state's approval.

Union Ferroviaria was granted the concession for Belgrano Cargas
during the administration of then-President Carlos Menem in
1999. Under the contract, the state granted a ARS50-million
(US$50 million at that time) annual subsidy for five years to
improve the service. But the money was never paid and the firm
fell into debt.

A recent report by the Argentine auditor general's office,
Sigen, revealed that Belgrano Cargas has an annual operating
deficit of ARS9.5 million (US$3.25mn), debts of ARS34.4 million
with suppliers and 77 lawsuits filed against it over labor
issues and other matters.

Union Ferroviaria owns 99% of Belgrano Cargas and the state
holds the remaining 1%. If the deal with Sideco were finalized,
the state's shareholding would be increased to 12%, with the
union retaining a 15% stake.

ESTABLECIMIENTO METALURGICO: Court Grants Reorganization Plea
Establecimiento Metalurgico Bursztyn S.A., a company operating
in Buenos Aires, begins reorganization proceedings after the
city's Court No. 9, with assistance from Clerk No. 17, 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 Mr. Miguel Angel
Troisi, the court-appointed trustee.

Creditors with claims against Establecimiento Metalurgico must
present proofs of the Company's indebtedness to Mr. Troisi
before Oct. 18, 2005. These claims will constitute the
individual reports to be submitted in court on Nov. 29, 2005.
The court also requires the trustee to present an audit of the
Company's accounting and business records through a general
report due on Feb. 10, 2006.

An informative assembly is scheduled for June 5, 2006.

CONTACT: Mr. Miguel Angel Troisi, Trustee
         Cerrito 146
         Buenos Aires

ESTACION DE SERVICIOS: General Report Set for Monday Filing
Ms. Elisa E. Tomattis, the trustee appointed by the court for
the Estacion de Servicios Km. 21 S.A. bankruptcy case, will
present the general report on Monday, Sep. 19, 2005. The reports
will contain a summary of the Company's financial status as well
as relevant events pertaining to the case.

On Aug. 9, 2005, Ms. Tomattis submitted the individual reports
in court for approval. The reports were based on the validated
claims of the Company's creditors. The trustee stopped verifying
forwarded claims on June 13, 2005.

Estacion de Servicios Km. 21 S.A. began liquidating its assets
following the pronouncement of Buenos Aires' civil and
commercial Court No. 18 that the Company is bankrupt.

The bankruptcy process will end with the disposal Company assets  
in favor of its creditors.

CONTACT: Estacion de Servicios Km. 21 S.A.  
         Riobamba 374  
         Buenos Aires

         Ms. Elisa E. Tomattis, Trusteee  
         Rodriguez Pena 110  
         Buenos Aires

GIAPPON S.A.: General Report Deadline September 19
The submission for the general report on the Giappon S.A.
liquidation will be on Monday, Sep. 19, 2005, following the
presentation of creditor's individual claims on Aug. 4, 2005.
Court-appointed trustee Hector Ricardo Martinez verified
forwarded claims until June 7, 2005.

Formerly called Daniel Cassin y Asociados S.A., Giappon S.A.
entered bankruptcy protection after Court No. 17 of Buenos
Aires' civil and commercial tribunal ordered the Company's

CONTACT: Giappon S.A.
         Teniente Benjamin Matienzo 1523
         Buenos Aires

         Mr. Hector Ricardo Martinez, Trustee
         Avda Independencia 2251
         Buenos Aires

PIONEER NATURAL: Prices 5.875% Senior Notes Tender Offer
Pioneer Natural Resources Company (NYSE:PXD) has established the
Total Early Payment for each $1,000 principal amount outstanding
of its 5.875% Senior Notes due 2012 (CUSIP No. 299900 AD 2) for
which Pioneer previously announced an offer to purchase.

In connection with the Tender Offer, Pioneer is soliciting
consents to proposed amendments to the indenture governing the
Notes.  The proposed amendments will permanently remove
substantially all of the operating restrictions contained in the
indenture governing the Notes.  Holders tendering their Notes
will be deemed to have delivered a consent to the proposed

Assuming an early settlement date of September 20, 2005, the
consideration for each $1,000 principal amount of the Notes
validly tendered and not validly withdrawn prior to 5:00 p.m.,
New York City time, September 15, 2005, will be $1,061.15, which
includes a consent payment of $30.

In order to encourage holders to tender early, Pioneer is
offering a consent payment of $30 per $1,000 principal amount of
the Notes to holders who validly tender their Notes and give
their consent to the proposed amendments before the Consent
Date.  Holders who validly tender their Notes and give their
consent to the proposed amendments before the Consent Date will
be entitled to receive the Total Early Payment. The Tender Offer
expires at 12:00 midnight, New York City time, on Thursday,
September 29, 2005.  Holders who validly tender their Notes and
give their consent to the proposed amendments after the Consent
Date but before the Expiration Date will be entitled to receive
only the tender price, which is the Total Early Payment less the
consent payment of $30.  Pioneer will also pay accrued and
unpaid interest on the Notes accepted in the Tender Offer to,
but not including, the applicable settlement date.

The Company was due to pay Thursday, September 15, the semi-
annual interest payment on the Notes to holders of record of the
Notes on September 1, 2005.

Pioneer has engaged D.F. King & Co., Inc., to act as information
agent in connection with the Tender Offer.  Requests for copies
of the Offer to Purchase and Consent Solicitation Statement and
questions regarding the Tender Offer may be directed to D.F.
King & Co., Inc. at 1(800)859-8509.  Pioneer has engaged
Goldman, Sachs & Co. to act as dealer managers in connection
with the Tender Offer and as solicitation agent for the consent
solicitation. Questions regarding the Tender Offer and the
consent solicitation may be directed to Goldman, Sachs & Co. at

Pioneer Natural Resources Company --
-- is a large independent oil and gas exploration and production
company with operations in the United States, Argentina, Canada
and Africa.  Pioneer's headquarters are in Dallas, Texas.
Moody's rates Pioneer Natural's subordinated debt at Ba1 and
preferred stock at Ba2. (Troubled Company Reporter, Sep. 15,
2005, Vol. 9, No. 219)

SENIOR KAFEGO: Required Report to be Submitted September 19
The deadline for the submission of the general report, which
contains the financial status as well as the summary of events
pertaining to the liquidation of Senior Kafego S.R.L. will be on
Monday, Sep. 19, 2005. On Aug. 2, 2005, the individual reports
on the claims of the Company's creditors were presented in court
for approval.

Court No. 2 of Buenos Aires' civil and commercial tribunal
handles the Company's bankruptcy case with the assistance of the
city's Clerk No. 3.

Trustee Aldo Emilio Cambiasso was appointed to supervise the
Company's bankruptcy.

CONTACT: Mr. Aldo Emilio Cambiasso, Trustee
         Avda Cerrito 1070
         Buenos Aires

WOOLYN S.A.: General Report to be Submitted Sep. 19
The deadline for the submission of the general report on the
Woolyn S.A. liquidation will be on Monday, Sep. 19, 2005,
following the presentation of the creditors' individual claims
on Aug. 5, 2005. The claims underwent verification until June 9,

Court No. 14 of Buenos Aires' civil and commercial tribunal
declared Woolyn S.A. bankrupt after the Company failed to pay
its debts and appointed Fanny Izbizky as trustee.

The city's Clerk No. 27 assists the court on this case.

CONTACT: Ms. Fanny Izbizky, Trustee
         Olazabal 4981
         Buenos Aires


BANCO ITAU: Local Court Halts Deal With City of Sao Paulo
A local court has temporarily suspended a contract between the
Sao Paulo city government and Banco Itau, reports Dow Jones
Newswires. Banco Itau recently won the concession to supply
banking services to administrators of Brazil's biggest city, a
municipality of more than 10 million inhabitants.

The bank, however, cannot assume the concession just yet because
the local court has granted a petition by the current
concessionaire, Banespa (Banco do Estado de Sao Paulo SA), to
suspend the Itau contract as soon as it was awarded.

The court's decision, however, did not represent a final ruling.
The court will now study briefs in the case and rule on their
merit. Banco Itau, Brazil's second largest private bank, had
agreed to pay the city BRL500 million ($1=BRL2.33) for the

BEC: Auction Temporarily Delayed Following Supreme Court Ruling
The Brazilian Central Bank suspended Thursday's [Sep 15] auction
of state-owned bank Banco do Estado do Ceara (BEC) due to a
supreme court ruling. The court ruled earlier Wednesday that the
buyer of BEC won't be entitled to maintain the bank's
traditional monopoly over state government accounts, including
state employee salary accounts.

The Central Bank said it was temporarily suspending the BEC
auction in order to evaluate the effects of the ruling.

One of the main attractions of BEC was that the winner would
have an exclusive right to handle the government's deposits for
a five-year period.

Four bidders are in the running to buy the bank. They include
Brazil's three largest private banks, Banco Bradesco (BBD),
Banco Itau (ITU) and Uniao de Banco Brasileiros (UBB). The
fourth bidder is GE Capital.

The minimum price for BEC is BRL542.7 million ($1=BRL2.32),
which was set in July.

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

CERVEJARIAS KAISER: Molson Nears Sale of Struggling Brand
Legg Mason analyst Mark Swartzberg suggested Wednesday that
Molson Coors Brewing is close to selling its struggling
Brazilian brewing company Cervejarias Kaiser. Mr. Swartzberg put
the sale price at US$150 million, Dow Jones Newswires report,
adding Dutch brewer Heineken and Mexican brewer and bottler
Femsa are seen as the most likely buyers.

Kaiser distributes the Heineken brand in Brazil.

Meanwhile, Marcello Milman, an analyst at investment bank BES
Securities, believes the sale of Kaiser is possible.

"Molson is under a lot of pressure by investors to sell its
operations in Brazil, but there haven't been any concrete signs
indicating that is what they want to do," Mr. Milman said.
"Besides, the Kaiser brand can be saved," he added.

"It's not a lost cause. It is a brand that has good acceptance
with consumers," Mr. Milman continued, noting that Kaiser's
market share was at 17% when Molson Coors purchased it in 2002.

Moreover, Kaiser executives have told analysts that the company
is seeing good sales volumes and a stronger bottom line in the
third quarter, Mr. Milman said.

What Kaiser needs, however, is better focus on marketing the
brand, according to the analyst.

"They can't really compete with the popular brands such as
Brahma and Antarctica," Mr. Milman said. "But they can improve
the brand if they decide to either target the premium beer
market or compete solely on price with Schincariol. The
marketing just needs to be repositioned," he said.

Schincariol is Brazil's second-biggest brewer, with a 13.1%
market share.

Molson Coors Brewing Company is world's fifth-largest global
brewer, with pro-forma combined annual volume of 60 million
hectoliters and net sales of more than US$6 billion. Molson
Coors has a leading market share in Canada and in the U.K., a
growth profile in the U.S. and an emerging market opportunity in

Founded by pioneering families and tracing its roots back to
1786, Molson Coors Brewing Company has 15,000 employees
worldwide, 18 breweries, and a broad portfolio of over 40
brands, including Molson Canadian, Coors Light and Carling.

EMBRATEL: CADE Dismisses Cases Against Fixed-Line Operators
Antitrust authority CADE dismissed cases brought by long-
distance operators Embratel and Intelig in 2002 against fixed-
line telephone companies Brasil Telecom, Telemar and Telesp,
reports Dow Jones Newswires.

Embratel and Intelig claimed in their suit that the three
operators charged them unfair termination calls. But the CADE
said there was no evidence to support their claims.

"I conclude that there is no ultimate and direct proof of the
existence of artificial increases of the costs of rivals, of
crossed subsidies or price discrimination," said Roberto Augusto
Castellanos Pfeiffer, the CADE director responsible for
examining the case.

GERDAU: Antitrust Hearing Halted by New Injunction
Steel maker Gerdau secured another injunction to halt
proceedings in an antitrust hearing before the Justice Ministry
Antitrust Division (CADE), reports Dow Jones Newswires. CADE was
scheduled to hear Wednesday, Sep. 14, a case involving
allegations of price fixing against Gerdau and two other steel
makers - Belgo-Mineira and Barra Mansa.

But shortly before CADE could start its session that day, a
judge for the Federal Appeals Court, Brazil's highest appeals
court for cases not involving constitutional issues, issued an
injunction that halted the proceedings.

CADE spokeswoman Adriana Bohrer said Wednesday CADE's attorneys
were trying to get the injunction overturned.

The hearing was originally scheduled for Aug. 31. But, on that
same day, Gerdau obtained an injunction and faxed it to CADE
about 30 minutes into the scheduled hearing, which was then
suspended. That injunction was lifted last week by a panel of

The new injunction obtained by Gerdau on Wednesday is part of
its efforts to continue fighting attempts by CADE to hold a
hearing in the case.

"Gerdau affirms that it will continue fighting at every legal
venue to have its rights recognized," the Company said.

The case dates back to 1999, when two construction trade
associations complained to the Justice Ministry Consumer Affairs
Division (SDE) that Gerdau, Belgo-Mineira and Barra Mansa fixed
prices for steel bars used in construction.

SDE submitted a report to CADE in September 2003, saying that
their investigation showed the companies had held meetings to
divide the Brazilian market and set prices for steel bars.

If the three companies are found guilty of the accusations, they
could face fines of up to 30% of gross revenue for the year
preceding the date of the initial complaint, according to CADE.

PARANA BANCO: S&P Assigns 'B/B' Counterparty Credit Rating
Standard & Poor's Ratings Services assigned its 'B/B'
counterparty credit rating to Parana Banco S.A. The outlook is

"The ratings assigned to Parana Banco incorporate the intrinsic
risks to a very small bank with high product concentration
operating in an environment marked by fierce competition," said
Standard & Poor's credit analyst Beatriz Degani. The ratings
also reflect the bank's challenge to diversify further its
funding base and become less dependent on the group's resources
and the potential margin pressures in the medium-to-long term
that could affect profitability, and therefore the challenge to
increase the scale of its operations while maintaining adequate
asset quality. These risks are tempered by the bank's good
profitability levels; by better-than-average operating
efficiency; and adequate and improving asset quality ratios.

Parana Banco is a small niche bank, positioned 74th in Brazil,
with assets of Brazilian reais (BrR) 406 million ($173 million)
as of June 2005. The bank is a relevant part of a broader
conglomerate-J. Malucelli (not rated), with operations in
several areas such as construction, equipment rental, energy,
toll road concessionaires, media (radio and TV broadcasting),
hotels, and real estate-and represented around 30% of the
consolidated net income of BrR94 million in 2004. We do not
assign ratings to any company in the J. Malucelli group, and the
ratings assigned to the bank do not incorporate potential
support from shareholders.

Parana Banco's niche is payroll discount lending, primarily to
public sector employees. The bank has been operating in this
segment for the past 10 years, having developed the know-how and
technology to sustain the expected growth in this market
segment. Currently, this type of loan represents approximately
98% of its credit operations. At the end of 2004, the bank also
started payroll discount loans to retirees and pensioners,
following specific government regulation allowing the social
security system (INSS) to have agreements with banks.

The main challenges for Parana Banco in the medium term are to
diversify further its funding base and become less dependent on
the group's resources to sustain its strategic plan. The bank is
confronted with competitive pressures from both new entrants in
a market viewed as very attractive by larger players, and banks
already well positioned in this market. We expect Parana
Banco to continue benefiting from the potential market expansion
with still-satisfactory margins in the short-term, although
profitability tends to slow down as other players fight for
market share. The bank has the challenge to increase the volume
of its operations and find alternatives to compensate for the
gradual decline in bank spreads in the medium to long term.

The stable outlook reflects our expectations that Parana Banco
will maintain its core competencies in the medium term, with
profitability at current satisfactory levels and asset-quality
ratios in a positive trend (mainly by adding lower-risk assets-
INSS loans-to its portfolio). The bank is also expected to
maintain efficiency indicators at good levels, with the ratio of
nonfinancial expenses to revenues between 40% and 50%.

The outlook may be changed to positive or ratings may be raised
if the bank shows superior growth in its niche operations in
payroll-discount loans with consistent returns, stronger-than-
anticipated improvements in asset quality indicators, the
maintenance of a stable and more diversified funding base, and
less dependence on the Group's resources. On the other hand, the
ratings may be lowered or the outlook may be revised to negative
if there is a significant worsening in asset quality to levels
higher than 5%; if profitability (ROAA) levels drop drastically;
and if funding and liquidity becomes problematic to support the
bank's operations.

Primary Credit Analyst: Beatriz Degani, Sao Paulo (55) 11-5501-

Secondary Credit Analyst: Daniel Araujo, Sao Paulo (55) 11-5501-

UNIBANCO: CGD Raises $640M From Stake Sale
Caixa Geral de Depositos SA, Portugal's state-owned bank, raised
BRL1.534 billion (US$640 million) from the sale of its stake in
Uniao de Bancos Brasileiros SA (Unibanco), reports Dow Jones
Newswires. CGD sold 74.9 million units of Unibanco stock held by
its local Brazilian subsidiary, Caixa Brasil SGPS. Each unit
represents one preferred share of Unibanco and one preferred
share of Unibanco Holdings.

The units were sold in Brazil and to qualified investors in the
U.S. as Global Depositary Shares, represented by Global
Depositary Receipts (GDRs). The bank said that each GDR will
represent five units. Unibanco and UBS Investment Bank
coordinated the offering.

CGD said earlier that the offer would represent the sale of its
entire 12.5% stake in Unibanco. If a greenshoe option is
exercised, the total offering could rise by 15%.

Despite the sale, CGD has said it plans to maintain its
commercial relationship with Unibanco, which aims to provide
reciprocal preferential treatment for banking operations between
Portugal and Brazil.

CONTACT: Unibanco  
         Investor Relations Area  
         Av. Eusebio Matoso  
         891 ? 15th floor - Sao Paulo  
         SP 05423-901- Brazil  
         Phone: (55 11) 3097-1980  
         Fax: (55 11) 3813-6182  

UNIBANCO: Share Conversion Period Ends
Unibanco Holdings S.A. announced that the term stipulated in the
Extraordinary Shareholders Meeting of the Company, held on July
19, 2005, for the shareholders that own ordinary shares to
convert such shares into preferred shares, in the proportion of
1:1, ended on August 18, 2005.

During the above-mentioned period, 38,277,923 ordinary shares of
the Company were converted in to preferred shares, so that the
outstanding capital of the Company now consists of 276,867,952
ordinary shares and of 553,465,920 preferred shares.

The amendment to the Company's By-laws to reflect the new amount
of shares will be submitted for approval at the next
Shareholders Meeting to be held at a forthcoming date.


PAZ DEL RIO: Workers Authorize Share Sale
Workers at steelmaker Acerias Paz del Rio (APR) have agreed to
sell their shares in the Company, according to Business News
Americas. The decision, which came at a meeting held this week,
would be taken into account by APR leadership in future
negotiations, a company official said.

"The consultation was held precisely because the company is
moving ahead [with the sale] and has to consult workers first as
they are majority shareholders," he explained.

In the next few days, the same process will take place with
retired workers who also have stakes in the steelmaker to secure
their approval and begin the sale before year-end, according to
press reports.

Meanwhile, this week's meeting saw workers appointing their
representatives on the Company board.

Andres Obregon, Jaime Borrero Rengifo and Carlos Quintero
Rocanif were appointed as principal representatives, while Jose
Luis Arango Canas, Miguel Suarez Parragos and Alberto
Schlesinger as stand-ins.

APR, which is currently executing an industrial restructuring
plan, has a 14% market share in the domestic steel market and
accounts for 30% of domestic production. The Company is
headquartered in the town of Belencito in central Boyaca

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


AIR JAMAICA: Hotelier Backs Flight Resumption  
The St Lucia Hotel Association (SLHTA) will do whatever it can
to help Air Jamaica resume its flights to the island, Caribbean
Media Corporation (CMC) reports. SLHTA president Anthony Bowen
said the organization is even prepared to do some sensible

SLHTA has been asking its traditional suppliers to provide a
direct service out of New York. Once Air Jamaica agrees to
operate two to three direct flights a week, the hoteliers would
ensure accommodation and consider reviewing their rates to help
attract more clients.

"We want to be supporting a regional carrier, we can no longer
afford to be mendicants at the table of the larger carriers who
believe that they can only serve the Caribbean when it suits
them alone," Bowen said.

Bowen mentioned that for this to be done, they need to meet with
their partners in the airline business and come up with some
competitive rates.

The SLHTA president was convinced that the demand from the New
York market would allow both Air Jamaica and the hoteliers to
come up with a fare that would make the transaction profitable.

Operational difficulties prompted Air Jamaica to suspend its
operations to the Eastern Caribbean in March last year. The
airline is expected to announce by the end of the month whether
it would resume flights to St Lucia.


CENTRAL PARKING: Reaches Tentative Agreement to Sell Mexican JV
Central Parking Corporation (NYSE:CPC) announced an extension of
its "Dutch Auction" tender offer for up to 4,400,000 shares of
its common stock. The tender offer, which was previously
scheduled to expire on September 14, 2005, has been extended
until 5:00 p.m. New York City time on September 30, 2005. The
Company has extended the tender offer to provide shareholders
with additional time to consider certain developments in the
Company's fourth fiscal quarter ending September 30, 2005.

The Company continues to make progress in executing its
previously announced strategic plan designed to streamline
operations and focus on core competencies and key markets with
the greatest potential for growing profits. In connection with
this process, the Company has reached tentative agreement to
sell its fifty percent interest in its joint venture in Mexico,
which is expected to result in a non-cash loss on the sale of
approximately $1.7 million in the fourth fiscal quarter. The
Company would receive a cash payment at closing of $325,000 and
a secured promissory note of approximately $3.7 million in
repayment of the joint venture's indebtedness to the Company.
This transaction is subject to the negotiation and execution of
a definitive agreement, and there can be no assurance that the
transaction will be completed or that it will be completed on
the terms described above.

The Company has become aware of issues concerning certain
related party transactions and accounts receivables in its
United Kingdom operations. The Company is investigating this
situation and believes that there may be a negative financial
impact relating to these matters. The Company currently cannot
provide an estimate of the financial impact of these matters.
The United Kingdom operations generated approximately 2.7% of
the Company's revenues through the first three quarters of the
current fiscal year.

The Company conducts operations in the geographic region
impacted by Hurricane Katrina, including New Orleans, Louisiana,
which operations have been adversely affected. The Company is in
the process of evaluating the impact of Hurricane Katrina, and
currently anticipates that its earnings will be reduced by
approximately $200,000 in the fourth quarter as a result of the

The Company anticipates that it will provide additional
information on the foregoing matters prior to the expiration
date of the tender offer.

The Company's "Dutch Auction" tender offer is extended to 5:00
p.m. New York City time on September 30, 2005, unless the
Company elects to further extend the tender offer. This
extension was made in order to ensure that the information
contained herein and in an amendment to the Company's Schedule
TO being filed Wednesday is available to shareholders for a
sufficient period of time prior to the expiration of the self-
tender. All terms and conditions of the Offer to Purchase and
related material distributed to shareholders, as amended
Wednesday and on August 29, 2005, continue to apply to the
tender offer, as extended.

This press release is for informational purposes only and is not
an offer to buy or the solicitation of an offer to sell any
shares of the Company's stock. The Company's offer is only being
made pursuant to the Offer to Purchase and related material
distributed to shareholders, as amended Wednesday and on August
29, 2005. Shareholders may obtain a copy of the Offer to
Purchase and related materials for free at the Securities and
Exchange Commission's web site,, or from D.F. King &
Co., Inc., the Company's information agent for the offer, by
calling (800) 431-9642. Shareholders are urged to carefully read
these materials prior to making any decision with respect to the

Shareholders may still use the original Letter of Transmittal
that was mailed to shareholders on August 12, 2005 to tender
their shares. Shareholders who have already tendered their
shares do not need to take any further action if they wish to
remain tendered. Shareholders who do not wish to tender shares
but rather remain investors in the Company do not need to return
any paperwork. Shareholders who have previously tendered shares
and wish to withdraw shares previously tendered should follow
the procedures described in the Offer to Purchase.

Central Parking Corporation, headquartered in Nashville,
Tennessee, is a leading global provider of parking and
transportation management services. As of June 30, 2005, the
Company operated more than 3,400 parking facilities containing
more than 1.5 million spaces at locations in 37 states, the
District of Columbia, Canada, Puerto Rico, the United Kingdom,
the Republic of Ireland, Mexico, Chile, Peru, Colombia,
Venezuela, Germany, Switzerland, Poland, Spain, Greece and

CONTACT:  Central Parking Corporation
          Emanuel Eads
          Tel: 615-297-4255

DESARROLLADORA HOMEX: Moody's Assigns Ba3 Rating to $200M Notes
Moody's assigned a Ba3 rating to Desarrolladora Homex, S.A. de
C.V.'s proposed US$200 million senior notes, being issued in the
USA. Moody's also affirmed Homex's national scale issuer rating
at, global scale local currency issuer rating at Ba3,
commercial paper program rating of MX-2 on the national scale
and Not Prime on the global local currency scale. The rating
outlook was revised to positive from stable.

Homex proposes to issue US$200 million, 10-year senior notes,
callable after five years. The notes will rank pari passu with
other unsecured debt and will be guaranteed by all of the
company's restricted subsidiaries that are wholly owned and
significant subsidiaries. The notes have covenants that limit
the incurrence of additional debt and a minimum fixed charge
covenant. The company will hedge against foreign exchange risk.
Most of the proceeds will be used to pay off the company's
commercial paper, bank debt, bridge loans, and structured bond

The positive rating outlook reflects Moody's expectation that
the full integration of the Casas Beta acquisition will progress
well, that the restructuring of Homex's debt profile will
proceed as planned, and that the company will continue to
improve its credit metrics and its industry leadership in the
homebuilding sector. Casas Beta is the seventh largest low-
income housing developer in Mexico. The proposed bond issuance
improves Homex's debt profile by lowering costs and extending
maturities and liquidity. It also substantially reduces the
amount of secured debt.

These positive rating factors are offset by several factors. The
homebuilding business relies on the Mexican economic and
political environment and the government's support. Recent
Mexican Government housing programs targeting the low-income
housing construction industry have made the business more
competitive, causing profit margin pressure for Homex. In
addition, Homex has a material reliance on INFONAVIT and
SHF/FOVI (government-sponsored programs for low-income housing)
to fund the take-out financing for newly built homes. The timing
of funding inflows can range from 3-12 months, and short-term
bridging debt can create liquidity pressures. Homex bears all of
the risk of finding buyers -- a credit concern due to the
speculative nature of the housing construction business.

The rating agency acknowledges that Homex has managed to
profitably grow and diversify its business products, coupled
with a successful dual listing of its shares on the New York
Stock Exchange and the Mexican Stock Exchange. Being a publicly
traded company enhances Homex's transparency, liquidity and
corporate governance. Moody's noted that Homex has good
geographic diversification, with developments in 28 cities in 17
Mexican states.

Rating improvements will be based on Homex's successful
integration of Casas Beta and completion of its capital
restructuring plan. An upgrade could also result from bringing
total debt/EBITDA closer to 1x, secured debt/assets closer to
7%, fixed charge coverage closer to 9x, while at a minimum
maintaining EBITDA margins in the low to mid-20% range.
Continued improvement in its industry leadership in the sector
would also be a plus. Difficulty in the final integration of
Casas Beta, deterioration in Homex's financial flexibility or
inability to close on the proposed bond issuance, would result
in a change in rating outlook back to stable. A downgrade would
result should the secured debt to total asset ratio approach the
mid-teens, while EBITDA margins fall below 15% and fixed charge
coverage falls below 5x. Increased costs of land and land
development would also result in negative rating pressure, as
would an adverse shift in Mexican Government housing policy.

The following ratings were affirmed with a positive outlook:

Desarrolladora Homex, S.A. De C.V. -- National scale issuer
rating at and global scale local currency issuer rating at

The following rating was assigned with a positive outlook:

Desarrolladora Homex, S.A. De C.V. -- Ba3 to proposed US$200
million senior notes being issued in the USA.

The Not Prime/MX-2 rating on the firm's commercial paper were

Desarrolladora Homex, S.A. de C.V. [NYSE: HXM] is based in
Culiacan, Sinaloa, Mexico. The firm reported assets of 7.7
billion Mexican Pesos and equity of 4.2 billion Mexican Pesos as
of June 30, 2005. Homex is a homebuilder engaged in the
development, construction, marketing and sale of affordable
housing in Mexico.

TFM: Relieves Interim Position, Appoints New CFO
TFM, S.A. de C.V. (TFM) announced on September 1, 2005 the
appointment of Jose Francisco Cuevas Feliu as chief financial
officer of TFM. Cuevas will replace Paul J. Weyandt who served
as acting chief financial officer since April 1, 2005.

TFM and Kansas City Southern (KCS) (NYSE: KSU) thank Paul
Weyandt for his valuable service. Mr. Weyandt's contribution was
vital during the transition phase that started when KCS assumed
control of TFM on April 1, 2005. Weyandt will continue in his
position as senior vice president finance and treasurer at KCS.

Javier Rion, chief executive officer of TFM said, "It is a
pleasure to welcome Francisco Cuevas to the TFM team. He is a
distinguished Mexican executive with 25 years of experience in
the financial sector and will be an integral part of our
ambitious business plans.

"The recruitment of Francisco into the TFM management structure
clearly demonstrates our commitment to having a world-class
Mexican leadership team that will continue to consolidate TFM as
one of the most important railroads in North America."

During his long and distinguished professional career, Francisco
Cuevas has worked in renowned accounting firms and
consultancies. He joins TFM after serving as chief financial
officer in Mexico's most important airline, Aeromexico. He has
also held senior positions in Cintra, Aerovias de Mexico,
Aeroexpress and Industrial Penoles.

Cuevas holds a bachelor of arts in Accounting from La Salle
University and has postgraduate studies in business
administration from the Panamerican Institute of Higher Business
Leadership (IPADE).

Created in 1997, TFM is a leading Mexican railroad
transportation company that serves the major industrial centers
in Northeast and Central Mexico, as well as the ports of Lazaro
Cardenas, Tampico/Altamira and Veracruz.

TFM is a subsidiary of KCS, a transportation holding company
that has railroad investments in Mexico, the United States and
Panama. In addition to TFM, KCS' primary holdings include The
Kansas City Southern Railway Company and The Texas Mexican
Railway Company. KCS' North American rail holdings and strategic
alliances are primary components of a NAFTA Railway system,
linking the commercial and industrial centers of the U.S.,
Canada and Mexico.

          Mexico Media
          Gabriel Guerra
          Phone: 52-55-5208-0860

          U.S. Media
          C. Doniele Kane
          Phone: 001-816-983-1372

          William H. Galligan
          Phone: 001-816-983-1551


PDVSA: Unions Plan to Sue if Demands Not Accepted
Oil workers' unions Fedepetrol, Fetrahidrocarburos and
Sinutrapetrol plan to file a writ against state oil firm
Petroleos de Venezuela (PDVSA) with the labor ministry, Business
News Americas reports. The writ basically states that workers
will not strike if the Company accepts their demands, which
focus on the replacement of funded grocery stores for debit
cards, which the Company is yet to issue to all its workers.

Already six months have passed since the cards were implemented
but the errors in the system have not been corrected, said
Sinutrapetrol secretary general Jose Arias, who had voiced in an
interview last month similar complaints and warned of taking
such measures against PDVSA.

The dispute could become the biggest labor conflict in
Venezuela's oil industry since the 63-day stoppage of 2002-2003
that crippled the country's oil output.


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

Troubled Company Reporter - Latin America is a daily newsletter
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Copyright 2005.  All rights reserved.  ISSN 1529-2746.

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