TCRLA_Public/050923.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 23, 2005, Vol. 6, Issue 189

                            Headlines

A R G E N T I N A

AGUAS ARGENTINAS: Minister Wants Suez to Find New Operator
AGUAS PROVINCIALES: Suez Back in Talks with Emgasud
ALEJANDRO Y WALTER: Initiates Bankruptcy Proceedings
ARTE GRAFICO COMAHUE: Trustee to Present General Report in Court
BUENOS AIRES COMMERCIAL: Deadline for General Report Approaches

DICRIS S.R.L.: Court Awaits General Report
LA ROSA AZUL: Business Records to be Presented in Court
NOVA GARDENA: Submitting General Report on Sept. 26
PAPELES UNIVERSALES: Court Converts Bankruptcy to Reorganization
TRANSENER: Petrobras Seen Selling Stake to Eletrobras

PROPLASTIC S.R.L.: Gets Court Approval for Reorganization
VALEANT PHARMACEUTICALS: Argentine Unit Faces Antitrust Probe
VINTAGE PETROLEUM: Increases Capital Budget by 14%


B E R M U D A

FOSTER WHEELER: Class A and Class B Warrants Become Exercisable
LOM HOLDINGS: Buys Back Own Shares


B O L I V I A

EMSA: Implements Recovery Plan Despite Staff Resistance


B R A Z I L

BANCO SANTOS: Local Court Rules Liquidation
BANCO SANTOS: E-Financial to go Under the Hammer
BRASKEM S.A.: Shareholders to Elect Board Members
VARIG: Local Businessman Eyeing Control of Airline


M E X I C O

ALFA: To Seek Approval to Distribute Cash Via Capital Reduction
AOL LATIN AMERICA: Seeks 90-Day Extension to Ch 11 Plan Filing
AVIA DE MEXICO: Court OKs Marvin Mohney as Lead Counsel
SATMEX: Tomas Heather Named Case Supervisor


P U E R T O   R I C O

CENTENNIAL COMMUNICATIONS: Slams Notion About Unit's Sale


V E N E Z U E L A

ALIMENTOS POLAR: Regains Control of Silos
PDVSA: Ceases Oil Shipments to Dominican Republic
SIDOR: Workers Stage Protests on Alleged Nonpayment of Dividends

     -  -  -  -  -  -  -  -

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

AGUAS ARGENTINAS: Minister Wants Suez to Find New Operator
----------------------------------------------------------
Planning Minister Julio De Vido said Wednesday that French group
Suez must be the one to find a new operator for Argentine water
company Aguas Argentinas.

The French company, which signed a 30-year contract to run
Buenos Aires' waterworks and sewage system in 1993, said earlier
this month that it is leaving the concession after the collapse
of contract negotiations with the government. The local unit's
board of directors affirmed this decision on Monday, taking the
formal contract rescission process a step further.

When asked which groups might take Suez's place at the helm of
the water concession, De Vido said that question should be
directed to the French company.

"This is a job that the Suez group will have to do," De Vido
said. "My interest is their compliance with their current
contract...my job today is exclusively that."

Lately however, government officials have been acknowledging
more openly that the state will have to run Aguas Argentinas, at
least for the time being.

Cabinet Chief Alberto Fernandez said Tuesday that "the state has
to assume the role of operator in some cases and it's nothing to
be ashamed of."

Fernandez emphasized that state control of Aguas Argentinas
would be temporary, with the government acting as an interim
operator while the service is re-privatized.


AGUAS PROVINCIALES: Suez Back in Talks with Emgasud
---------------------------------------------------
French firm Suez and gas distribution company Emgasud have
returned to the negotiating table to discuss the transfer of
Suez's 77.5% stake in Aguas Provinciales de Santa Fe.

This time, Emgasud has reached an agreement to include local
company Ceramicas Alberdi and Banco de Galicia into the buying
group.

Ceramicas Alberdi and Banco de Galicia may acquire a majority
stake in Fides Group, the Emgasud-controlled company that agreed
to the purchase of Suez's shares in Aguas Provinciales de Santa
Fe.

Previously, Emgasud reached a deal to buy 77.5% of the
concessionaire from Suez but the deal fell through after the
provincial government executed the concession contract
guarantees.

Should the new deal be a success, the local government will
return the guarantee to the new concessionaire in exchange for
Suez dropping its complaint to the International Center for
Settlement of Investment Disputes and remaining to operate the
firm for a year.

Suez earlier said it will be moving out of Santa Fe on November
25.


ALEJANDRO Y WALTER: Initiates Bankruptcy Proceedings
----------------------------------------------------
Mendoza's civil and commercial Court No. 3 declared Alejandro y
Walter Sanchez S.R.L. "Quiebra," reports Infobae. The bankruptcy
case will close with the liquidation of the Company's assets to
repay creditors.

Court-appointed trustee, Mr. Daniel Leonardo Martinez, will
verify creditors' claims. Mr. Martinez will prepare the
individual reports based on the results of the verification
process and the general report on the case.

The deadline for the verification of claims as well as the dates
for the submission of the reports are yet to be disclosed.

CONTACT: Alejandro y Walter Sanchez S.R.L.
         Mathus Hoyos 1905
         Bermejo
         Guaymallen (Mendoza)

         Mr. Daniel Leonardo Martinez, Trustee
         Garibaldi 239
         Ciudad de Mendoza (Mendoza)


ARTE GRAFICO COMAHUE: Trustee to Present General Report in Court
----------------------------------------------------------------
Court-appointed trustee Amalia Victoria Beckerman will present a
general report on the Arte Grafico Comahue S.R.L. bankruptcy on
Monday, Sep. 26, 2005. The presentation followed the submission
of the individual reports on Aug. 12, 2005. The individual
reports contained creditors' claims, which were verified until
June 16, 2005.

Arte Grafico Comahue S.R.L. started to wind-up its operations
after Court No. 14 of Buenos Aires' civil and commercial
tribunal declared the Company bankrupt.

Clerk No. 27 assists the court on this case that will end with
the sale of the company's assets. Proceeds from the sale will be
used to repay the Company's debts.

CONTACT: Ms. Amalia Victoria Beckerman, Trustee
         Paraguay 1591
         Buenos Aires


BUENOS AIRES COMMERCIAL: Deadline for General Report Approaches
---------------------------------------------------------------
The deadline for the submission of the general report on the
Buenos Aires Commercial Group S.A. bankruptcy case will be on
Monday, Sep. 26, 2005.

Court No. 10 of the city's civil and commercial tribunal
declared the Company bankrupt and appointed Mr. Fernando Luis
Greco as trustee.

Mr. Greco reviewed creditors' proofs of claim until June 20,
2005. The verified claims served as basis for the individual
reports to be presented for court approval on Aug. 15, 2005.

Clerk No. 19 assists the court on this case that will end with
the sale of the Company's assets. Proceeds from the sale will be
used to repay the Company's debts.

CONTACT: Mr. Fernando Luis Greco, Trustee
         Arenales 2365
         Buenos Aires


DICRIS S.R.L.: Court Awaits General Report
------------------------------------------
Mr. Estevez Indurain Vazquez, the trustee appointed by the court
for the Dicris S.R.L. bankruptcy, will submit the general report
on Monday, Sep. 26, 2005.

Mr. Vazquez verified the authenticity of claims presented by the
Company's creditors until June 14, 2005. Following claims
verification, the trustee submitted the individual reports based
on the forwarded Claims for final approval by the court on Aug.
12, 2005.

Court No. 25 of Buenos Aires' civil and commercial tribunal
declared Dicris S.R.L. bankrupt after the Company defaulted on
its debt payments.

Clerk No. 50 assists the court on this
case.

CONTACT: Mr. Estevez Indurain Vazquez, Trustee
         Uruguay 750
         Buenos Aires


LA ROSA AZUL: Business Records to be Presented in Court
-------------------------------------------------------
The business records of Buenos-Aires based La Rosa Azul S.A.
will be presented in court as general report on Monday, Sep. 26,
2005.

The Company began liquidating its assets following the
bankruptcy pronouncement issued by Court No. 10 of the city's
civil and commercial tribunal. The court appointed Mr. Miguel
Adolfo Kupchik as trustee.

Mr. Kupchik verified creditors' proofs of claim until June 16,
2005. The validated claims were presented in court as individual
reports on Aug. 12, 2005.

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

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


NOVA GARDENA: Submitting General Report on Sept. 26
---------------------------------------------------
The general report on the liquidation of Buenos Aires-based
company Nova Gardena S.R.L. will be submitted on Monday, Sep.
26, 2005.

On June 16, 2005, court-appointed receiver Ruben Daniel Sarafian
stopped accepting claims from the Company's creditors. The
verified claims served as basis for the individual reports,
which the receiver will submit on Aug. 12, 2005.

Nova Gardena S.R.L. began liquidating its assets following the
bankruptcy pronouncement issued by Court No. 20 of the city's
civil and commercial tribunal.

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

CONTACT: Mr. Ruben Daniel Sarafian, Trustee
         Tucuman 1657
         Buenos Aires


PAPELES UNIVERSALES: Court Converts Bankruptcy to Reorganization
----------------------------------------------------------------
Papeles Universales S.A. will proceed with reorganization after
a Buenos Aires Court converted the Company's ongoing bankruptcy
case into a "concurso preventivo", states Infobae.

Under Insolvency protection, the Company will be able to draft a
proposal designed to settle its debts with creditors. The
reorganization also prevents an outright liquidation.

Mr. Ruben Hugo Faure, the court-appointed trustee, will verify
creditors' proofs of claim until Oct. 28, 2005. Creditors with
unverified claims cannot participate in the Company's settlement
plan.

Out of the verified claims, Mr. Faure will prepare the
individual reports and submit them in court on Dec. 12, 2005.
The presentation of the general report on the Company's case
will follow on Feb. 22, 2006.

An informative assembly, the last phase of the reorganization,
is set for June 16, 2006.

CONTACT: Mr. Ruben Hugo Faure, Trustee
         Avda. Rivadavia 1227
         Buenos Aires


TRANSENER: Petrobras Seen Selling Stake to Eletrobras
-----------------------------------------------------
Mr. Ildo Sauer, the power and gas director at Brazil's federal
energy company Petrobras, said the Company is likely to sell
control of its Argentine power transmission company Transener to
Brazil's federal power holding company Eletrobras.

Sauer's statement, according to Business News Americas, came on
the heels of a five-year cooperation agreement between Petrobras
and Eletrobras that foresees the development of joint power
generation projects in Brazil and abroad.

Eletrobras CEO Alonsio Vasconcelos has said the company plans to
expand operations abroad after the federal government changes
federal legislation to authorize such expansion.

Petrobras Energia Participaciones, the local unit of Brazil's
Petrobras, currently owns 50% of Citilec, which in turn has a
65% stake in Transener.

Petrobras must sell the stake by March 31, 2006 to comply with
the conditions set by the Argentine regulators when they
approved Petrobras' takeover of the local energy company, then
known as Perez Companc.

The Argentine government had voiced concerns over a strategic
asset such as Transener, the country's largest power
transporter, falling into foreign hands.

Petrobras is reportedly seeking US$40 million for the stake and
has already turned down a US$16 million offer from Dolphin to
buy its 50% stake while also assuming all debt.


PROPLASTIC S.R.L.: Gets Court Approval for Reorganization
---------------------------------------------------------
Proplastic S.R.L. will begin reorganization following the
approval of its petition by Court No. 7 of Buenos Aires' civil
and commercial tribunal. The opening of the reorganization will
allow the Company to negotiate a settlement with its creditors
in order to avoid a straight liquidation.

Ms. Sara Maria Rey de Lavolpe will oversee the reorganization
proceedings as the court-appointed trustee. She will verify
creditors' claims until Nov. 17, 2005. The validated claims will
be presented in court as individual reports on Feb. 3, 2006.

Ms. 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
March 17, 2006.

An Informative Assembly, the final stage of a reorganization
where the settlement proposal is presented to the Company's
creditors for approval, is yet to be scheduled.

Clerk No. 14 assists the court on this case.

CONTACT: Ms. Sara Maria Rey de Lavolpe, Trustee
         Cerrito 1136
         Buenos Aires


VALEANT PHARMACEUTICALS: Argentine Unit Faces Antitrust Probe
-------------------------------------------------------------
Valeant Pharmaceuticals, Inc.'s Argentine subsidiary faces
allegations by the Argentine Antitrust Agency that it abused a
dominant market position in 1999 by increasing its price on
Mestinon in Argentina and not supplying the market for
approximately two months.

The agency informed the company of the charges in June 2004. The
subsidiary filed documents with the agency offering an
explanation justifying its actions, but the agency has now
rejected the explanation. The agency is collecting evidence
prior to issuing a new decision. Argentinean law permits a fine
to be levied of up to $5,000,000 plus 20% of profits realized
due to the alleged wrongful conduct. Counsel in the matter
advises that the size of the transactions alleged to have
violated the law will unlikely draw the maximum penalty. (Class
Action Reporter, Thursday, Sep. 22, 2005. Issue 188)


VINTAGE PETROLEUM: Increases Capital Budget by 14%
--------------------------------------------------
Tulsa-based Vintage Petroleum has increased its capital budget
to US$285 million, 14% higher than the US$250 million reported
earlier, according to Tribune Business News.

The Company said the increase is primarily geared toward
development drilling programs in the United States and Yemen.

Last month, the Company reported that it would raise its capital
budget and production targets in 2005 due to increased prices
for oil and gas and the Company's drilling success in the United
States, Argentina and Yemen.

Producing properties acquired last December along the Gulf Coast
in Alabama and the successful exploitation in 2005 gave a strong
boost in the Company's domestic oil production in the second
quarter. Output is up 13% from last year.

Oil production in Argentina also rose 24% compared to the same
period in 2004 due to drilling, work over programs and last
year's acquisition of properties in the San Jorge basin, Vintage
said.

Total gas production, however, dropped 4% in the second quarter
compared to the same period a year ago due, in part, to heavy
rains and mud slides in California earlier this year. Vintage
expects to spend about US$8.2 million this year fixing the
damaged properties.

Despite the added expenses, Vintage's second quarter net income
escalated to US$57.7 million, a 54% boost from the reported
US$37.4 million in the same time last year.

The Company posted a US$332.5 million net income in 2004 after
reporting losses for two years.

The Company will also spend more in export taxes in Argentina,
which rose to US$16.3 million this year from US$6.7 million in
2004.

CONTACT: Vintage Petroleum Inc.
         10 W. Seventh St. Tulsa
         Oklahoma 74119-1029
         Phone: (918) 592-0101
         URL: http://vintagepetroleum.com



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

FOSTER WHEELER: Class A and Class B Warrants Become Exercisable
---------------------------------------------------------------
Foster Wheeler Ltd.'s (Nasdaq: FWLT) Class A and Class B Common
Stock Purchase Warrants become exercisable beginning September
24, 2005. The Common Stock Purchase Warrants trade under the
symbols FWLTW and FWLTZ, respectively.

As of September 21, 2005, 4,152,914 of the Company's Class A
Common Stock Purchase Warrants and 40,771,560 of its Class B
Common Stock Purchase Warrants were outstanding. The outstanding
Class A Warrants are exercisable for 1.6841 Common Shares per
Warrant and expire on September 24, 2009. The Class B Warrants
are exercisable for 0.0723 Common Shares per Warrant and expire
on September 24, 2007. Both the Class A and Class B Warrants are
exercisable at $9.378 per Common Share issuable. Full exercise
of the Warrants would result in cash proceeds to the Company of
approximately $93.2 million, although there can be no assurance
regarding the amount or timing of exercise of the Warrants.

Foster Wheeler Ltd. is a global company offering, through its
subsidiaries, a broad range of design, engineering,
construction, manufacturing, project development and management,
research and plant operation services. Foster Wheeler serves the
refining, upstream oil and gas, LNG and gas-to-liquids,
petrochemicals, chemicals, power, pharmaceuticals, biotechnology
and healthcare industries. The corporation is based in Hamilton,
Bermuda, and its operational headquarters are in Clinton, New
Jersey, USA.

CONTACT: Foster Wheeler Ltd.
         Media
         Maureen Bingert
         Phone: 908-730-4444
                 or
         Investors
         John Doyle
         Phone: 908-730-4270
                 or
         Other Inquiries
         Phone: 908-730-4000

         URL: http://www.fwc.com

         Warrant Agent
         Mellon Investor Services LLC
         Phone: 800-777-3674


LOM HOLDINGS: Buys Back Own Shares
----------------------------------
LOM (Holdings) Limited (LOM) informed the Bermuda Stock Exchange
(BSX) Wednesday that the Company repurchased the following
shares, which have subsequently been cancelled:

   -  50 shares on 3rd August 2005 at $2.80 per share; and
   -  200 shares on 13th September 2005 at $2.90 per share

CONTACT:  Bermuda Stock Exchange (BSX)
          Joanne DeRoza
          Tel: 1-441-292-7212
          E-mail: jderoza@bsx.com

          LOM Group
          The LOM Building
          27 Reid Street
          Hamilton HM 11
          Bermuda

          Tel: 441 292 5000
          Fax: 441 295 3343
          E-mail: info@lom.com

          LOM Asset Management Limited
          Tel: 441 296 5802
          Fax: 441 296 5597
          E-mail: lomam@lom.com

          LOM Securities (Bahamas) Limited
          Millennium House
          P.O. F42498-350
          Freeport, Grand Bahama
          Bahamas

          Tel: 242 351 5000
          Fax: 242 351 7738
          E-mail: info.bahamas@lom.com



=============
B O L I V I A
=============

EMSA: Implements Recovery Plan Despite Staff Resistance
-------------------------------------------------------
Public sanitation company Emsa, despite strong resistance from
staff, went ahead with the implementation of its revised
restructuring plan in order to avoid a threatening bankruptcy,
reports Business News Americas.

Under the new plan, the Company will take on subcontractors to
take over waste collection services over an extended area, thus
increasing revenues while cutting collection costs.

Moreover, the Company, with the backing of community and
business groups, will introduce a public education program to
encourage recycling via initial separation of domestic waste,
said Emsa's general manager Edwin Pierola.

"All of these measures are for the company's economic recovery,
and to improve service to all those that pay for cleaning
services," according to a statement to be sent to residents.

Emsa staff has refused to cooperate with the Company on the plan
on fear that it may lead to layoffs and wage cuts. Cochabamba
city mayor Gonzalo Terceros has threatened to use his powers to
intervene in the Company if a solution is not found.

EMSA was set up by the municipality in 1997 to provide waste
collection and street cleaning services in the central city of
Cochabamba. But, due to liquidity woes, EMSA's manager Gonzalo
Romero asked the municipality last year to close it down.

Mayor Terceros was planning to set up an interim company to
carry on operations for three months until a new operator could
be found to replace Emsa, but he has not been able to garner
enough support from city councilors to wind up the Company.

Some city councilors are insisting that all workers must have
their layoff compensation paid in full before they will allow
the closure of the Company.



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

BANCO SANTOS: Local Court Rules Liquidation
-------------------------------------------
A local court has ordered the liquidation of Brazil's Banco
Santos, which was controlled by Brazilian businessman Edemar Cid
Ferreira, reveals Dow Jones Newswires.

Judge Caio Marcelo Oliveira ordered the liquidation in light of
the bank's negligent administration, often engaging in illegal
practices.

The Brazilian Central Bank intervened in Banco Santos and its
brokerage in November last year due to financial woes and
alleged irregularities. In June, the central bank-appointed
manager of the bank, Vanio Aguiar, officially sought the bank's
liquidation.

Local press reports suggest the most creditors can expect from
the liquidation is about 10% of their outstanding credits.

Banco Santos is a wholesale bank that was geared mainly towards
corporate banking and chiefly focused on the medium-sized
enterprise segment. Santos was ranked as Brazil's 21st largest
bank in January in terms of assets.


BANCO SANTOS: E-Financial to go Under the Hammer
------------------------------------------------
Banco Santos' technology unit, e-Financial, is heading for the
auction block, according to Business News Americas.

The unit will be auctioned for a minimum of BRL3 million. A
prospectus on e-Financial will be available in about two weeks,
with bids from interested parties expected shortly afterwards.

At least six companies have expressed interest in e-Financial,
revealed Vanio Aguiar, responsible for the auction process.

"The decision [for the sale] will be made between October 20 and
30, in a worst case scenario," Aguiar said.

Sao Paulo-based Banco Santos invested approximately BRL10
million in four years to build e-Financial, according to a
former executive of the bank. E-Financial previously had 160
employees, 250 clients and revenues of US$9 million before the
collapse of Banco Santos.

In recent months, e-Financial has lost clients with its owner
being in financial crisis. E-Financial would not disclose its
revenues, but the number of clients has fallen to 36 and
employees to 35.


BRASKEM S.A.: Shareholders to Elect Board Members
-------------------------------------------------
The Shareholders of BRASKEM S.A. will meet at the Extraordinary
General Meeting on October 3, 2005 at 10:30 p.m. at the
headquarters of the Company, at Rua Eteno, n o 1.561, Polo
Petroquimico, Municipio de Camacari, Estado da Bahia to elect
Members of the Board of Directors due to resignations presented.

Pursuant to the Rules of Health, Safety and Environment (SSMA)
in force at the headquarters of the Company, which establishes
the guidelines to the access control and circulation of persons
and cars in the internal and external areas of the headquarters,
all the Shareholders, as well as to its representatives are to
be present for the Meeting at least 30 minutes in advance, in
order to assure the compliance with the basic instructions
training procedures of SSMA in force in the Company, which are
available for consult at the headquarters of the Company.

CONTACT: BAK - Braskem S.A.
         Rua Eteno, 1561
         Polo Petroquimico de Camacari
         Camacari
         Bahia CEP 42810-000
         Brazil
         URL: http://www.braskem.com.br
         Phone: (55 11) 3443 9529


VARIG: Local Businessman Eyeing Control of Airline
--------------------------------------------------
A local businessman submitted a proposal to the Brazilian court,
stating its interest in assuming a controlling stake in the
ailing flagship airline Viacao Aerea Riograndense SA (Varig).

Dow Jones Newswires reveals, that the businessman in question,
Nelson Tanure, is proposing to assume control of Varig for a
total of US$202 million in two tranches.

In the first tranche, Tanure would invest US$100 million to
acquire 25% of shares currently held by the Ruben Berta
Foundation, which controls 87% of Varig's shares.

In the second tranche, the businessman would make a US$12-
million payment in exchange for the right to name members of the
board of directors of the Company for a period of 10 years.
During this period, Tanure would invest an additional US$90
million to acquire more shares.

Varig 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.

Earlier this month, the airline, which has total debts of BRL7.7
billion, presented a business plan to a Rio de Janeiro
bankruptcy judge designed to reorganize the Company and attract
new investors.



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

ALFA: To Seek Approval to Distribute Cash Via Capital Reduction
---------------------------------------------------------------
ALFA, S.A. de C.V. (ALFA) announced Wednesday that its Board of
Directors will call for a Shareholders' Meeting to be held on
October 14, 2005, to approve a distribution in cash of US$0.25
per ALFA share, totaling US $ 150 million through a reduction in
ALFA's equity capital.

Additionally, the board resolved to allow management to
undertake an orderly share repurchase program of ALFA shares for
up to US $ 100 million.

Mr. Dionisio Garza, ALFA's Chairman of the Board and Chief
Executive Officer explained: "ALFA's management believes that
these resolutions maximize long term shareholder value, by
providing the necessary financial flexibility to pursue
attractive investment opportunities while returning capital to
shareholders today."

ALFA is currently evaluating several promising investment
projects, which, if undertaken, will generate a significant
increase in its EBITDA and strengthen its competitive position
in its core businesses.  Alfa will continue to evaluate its
options to maximize shareholders' value, including capital
investments, acquisitions as well as cash distributions to its
shareholders through both dividends and share repurchases.

ALFA is a Mexican company consisting of four business groups:
Alpek, dedicated to the production of petrochemicals; Sigma, a
producer of refrigerated foods; Nemak, involved in high-tech
aluminum cylinder heads; and Onexa, a company that provides
telecom services in the Mexican market.

ALFA is the world's largest producer of aluminum cylinder heads,
the world's second largest producer of PTA and the leader in
Mexico 's refrigerated foods industry. ALFA has production
facilities in Mexico, the United States, Canada, Germany,
Slovakia, the Czech Republic, the Dominican Republic, Costa Rica
and El Salvador. Its products are marketed in more than 45
countries. In 2004, ALFA reported sales of US$ 5,069 million and
employed more than 34,000 people.

CONTACT:  ALFA
          Enrique Flores
          Vice-president, Corporate Communications
          Phone (011-52-81) 8748 1207
          E-mail: eflores@alfa.com.mx
          Tel: 52 81 8748 1207


AOL LATIN AMERICA: Seeks 90-Day Extension to Ch 11 Plan Filing
--------------------------------------------------------------
America Online Latin America Inc. (AOLA) is seeking a 90-day
extension to the exclusive period during which it can file a
Chapter 11 plan, reports Dow Jones Newswires.

Under the current timetable, AOL Latin America's exclusive right
to file a plan and exclusive right to solicit plan votes expire
on Oct. 24 and Dec. 21 respectively.

In a court filing Monday, the Company said it is seeking to
extend its exclusive plan filing period to Jan. 23, 2006 and
vote solicitation period to March 21, 2006.

The Company's principal shareholders, Time Warner Inc. (TWX) and
the Cisneros Group of Cos., on May 25 agreed to support a
liquidation plan for the Company, provided that such plan is
filed by Sept. 30 and confirmed by Jan. 31, 2006.

But according to Monday's filing, the principal shareholders
have agreed to extend these deadlines.

While it expects to file a plan and corresponding disclosure
statement "as soon as possible," AOL Latin America said it still
is soliciting offers for the assets of its non-debtor units in
Brazil, Argentina, Spain and Mexico.

As justification for the requested extension, the Company noted
the multi-jurisdictional nature of its business and said that
there are a number of complex tax considerations that must be
considered in formatting a tax-efficient post-reorganizational
structure.

Loss of exclusivity at this "crucial juncture" in the bankruptcy
case would open the door for others to propose a plan, creating
a chaotic environment that would threaten wind-down efforts, AOL
Latin America said in the court filing.

Judge Mary F. Walrath of the U.S. Bankruptcy Court in
Wilmington, Del., will hold an Oct. 5 hearing on the exclusivity
extension request. Objections are due Sept. 28.

AOL Latin America filed for Chapter 11 protection June 24,
listing assets of US$28.5 million and debts of US$181.8 million.


AVIA DE MEXICO: Court OKs Marvin Mohney as Lead Counsel
-------------------------------------------------------
The Honorable Barbara J. Houser of the U.S. Bankruptcy Court for
the Northern District of Texas gave Avia Energy Development,
LLC, and Avia de Mexico S. de R.l. de CV permission to employ
Marvin R. Mohney, Esq., of Dallas, Texas, as their general
bankruptcy counsel.

As previously reported in the Troubled Company Reporter on Aug.
22, 2005, Mr. Mohney will bill the Debtors $225 per hour for his
professional services.

Headquartered in Dallas, Texas, Avia Energy Development, LLC,
and Avia de Mexico S. de R.l. de CV filed for chapter 11
protection on August 18, 2005 (Bankr. N.D. Tex. Case No. 05-
39339).  Kimberly A. Elkjer, Esq., Scheef & Stone, LLP, and
Marvin R. Mohney, Esq., in Dallas, Texas, represent the Debtors.  
When the Debtors filed for protection from their creditors, they
listed $2,298,509 in consolidated assets and $11,768,065 in
consolidated debts. (Troubled Company Reporter, Sep. 22, 2005,
Vol. 9, No. 225)


SATMEX: Tomas Heather Named Case Supervisor
-------------------------------------------
Transport and communications ministry SCT has chosen Tomas
Heather of White & Case law firm as case supervisor for the
bankruptcy of satellite provider Satmex, according to Business
News Americas.

In the next two weeks, Heather, who competed with four other
people for the position, will be drawing up a list of all
Satmex's creditors.

Satmex began bankruptcy proceedings under Mexican law, known as
concurso mercantil, on September 9. The concurso mercantil will
serve as a forum for restructuring the Company's financial
situation by securing new shareholders, performing a capital
increase and launching a new satellite - Satmex 6 - by June 30,
2006.

Satmex has reportedly defaulted on US$523 million of debt since
2003. As of May 31, 2005, the Company has US$900 million in
total assets and US$688 million in total debts.



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

CENTENNIAL COMMUNICATIONS: Slams Notion About Unit's Sale
---------------------------------------------------------
Centennial Communications Corp. (NASDAQ: CYCL), a leading
provider of regional wireless and integrated communications
services in the United States and the Caribbean, rejected
conjectures that its Puerto Rican unit is up for sale, reports
Business News Americas.

Centennial's investor relations director Steve Kunszabo
confirmed the Company has contracted investment bank Lehman
Brothers and Evercore Partners to evaluate the strategic value
of its Puerto Rican operations.

But "we could end this process and decide not to sell anything
and remain as we are," Kunszabo said.

Meanwhile, industry sources say that when these types of
consultants are contracted it is because there is a company
interested in buying.

Besides, in an interview with El Nuevo Dia in March,
Centennial's CEO Michael Small did not rule out the possibility
Centennial would sell its Caribbean unit for the right price.

CONTACT: Centennial Communications Corp.
         Steve E. Kunszabo
         Director, Investor Relations
         Phone: 732-556-2220

         URL: http://www.centennialwireless.com
              http://www.centennialpr.com/
              http://www.centennialrd.com/



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

ALIMENTOS POLAR: Regains Control of Silos
-----------------------------------------
The government decided to return control of grain storage silos
to Alimentos Polar, the largest food company in Venezuela,
reports Dow Jones Newswires.

As such, operations in the storage facilities will resume and
workers will finally return to their jobs.

The storage rooms were taken over by a military contingent and
officials from the ministry of agriculture three weeks ago on
belief that the facilities were not being unused.

No legal proceeding was pending prior to the takeover, and
lawmakers had not declared those assets "of public interest," a
step the government has taken in the past before seizing company
assets.

It is not known why the government decided to return control of
the assets to Polar but both parties were reportedly in talks to
reach some agreement.


PDVSA: Ceases Oil Shipments to Dominican Republic
-------------------------------------------------
Venezuela state oil firm Petroleos de Venezuela (PDVSA) halted
shipments to the Dominican Republic for alleged lack of
byproducts, El Universal reports.

As a result, Dominican Oil Refinery (Refidomsa) rationed sale of
gasoline and standard diesel.

The Dominican National Energy Commission met with President
Leonel Fernandez on Monday to implement measures to save fuel.
They resolved that gas stations work until noon to prevent long-
term lack of sales.

Dominican Republic is one of the nine nations that signed
earlier this month individual supply agreements within the
framework of Petrocaribe.

The instrument provides for the delivery of 50,000 b/d of oil
and byproducts under preferential conditions including a term of
90 days to pay a portion of the invoice and the remainder within
a term of 25 years.

Another meeting was set to assess the implementation of the
Petrocaribe accord over the next few days.


SIDOR: Workers Stage Protests on Alleged Nonpayment of Dividends
----------------------------------------------------------------
Workers at steelmaker Sidor have staged protests, blocking the
streets in Ciudad Guayana, due to the Company's alleged failure
to pay dividends.

Business News Americas suggests that the workers were upset over
the government's reported failure to pay dividends to workers
who are holders of class B shares.

Sidor has paid out US$57 million in second quarter 2005
dividends to state heavy industry holding company CVG, which
workers believe must in turn pay dividends to class B
shareholders.

CVG and Sidor shareholders reached agreements in May 2005
whereby CVG recognized the rights of series B shareholders to a
US$94 million dividend payment.

Sidor is 60%-owned by the Amazonia consortium made up of
Mexico's Hylsamex, the Techint group, Brazil's Usiminas and
Venezuela's Sivensa. The Company's plants are in Puerto Ordaz in
southeastern Venezuela's Bolivar state.



                            ***********


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

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

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

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.

Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

The TCR Latin America subscription rate is $575 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are $25 each.  For subscription
information, contact Christopher Beard at 240/629-3300.


* * * End of Transmission * * *