TCRLA_Public/050927.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 27, 2005, Vol. 6, Issue 191

                            Headlines

A R G E N T I N A

AEROLINEAS ARGENTINAS: Registers $1M Loss From Two-Day Strike
AGUAS ARGENTINAS: Banco Galicia Opposes Contract Cancellation
ALUPEL S.R.L.: General Report Due for Submission Sep. 28
ANTU APLICACIONES: Trustee to Submit General Report Sept. 28
BANCO MACRO: Moody's Maintains 'BB' Rating on $23M Bonds

CAPEX: S&P Ups CCR to 'B-' After Debt Restructuring
COLORIN INDUSTRIA: Evaluadora Reiterates `D' Rating on Bonds
COMANDU Y LUFIEGO: Court Grants Reorganization Plea
METROGAS: Moody's Reiterates `D' Ratings on Corporate Bonds
PRODUCTOS MAGUS: Court Approves Concurso Motion

RECIPRO S.A.: Reorganization Proceeds to Bankruptcy
* ARGENTINA: May Seek Aid from IMF for its Economic Program


B E R M U D A

ARGENTANK LTD: To Wind Up Voluntarily, Appoints Liquidator
BUNGE FIRST CAPITAL: Members Volunteer to Wind Up Company
JCH GLOBAL FUTURES: Members Appoint Liquidator for Company
OAK STREET FSC: Appoints Mr. Robin J Mayor as Liquidator
TRA INSURANCE COMPANY: Liquidators Intend to Apply For Release

TRINITY DIRECTOR: Liquidation Commences
ZUMIKON CORPORATION: Mr. Robin J Mayor Appointed as Liquidator


B R A Z I L

GERDAU: Reveals $810M Investment Plan for Rio Grande Do Sul
LIGHT SERVICOS: EDF Taps Goldman Sachs to Advise on Stake Sale
NET SERVICOS: Board Authorizes Amendment of Private Deed
VARIG: Reports Lower Net Loss for Jan-Aug 2005 Period


M E X I C O

AOL LATIN AMERICA: Board OKs Job Cuts in Mexico, Argentina
ASARCO: Final Hearing on Cash Collateral Usage Set for Sept. 30
AVIA DE MEXICO: Court OKs Scheef & Stone as Special Counsel
HYLSA: Moody's Withdraws Ratings


N I C A R A G U A

* NICARAGUA: IMF Urges Govt to Tighten Control Over Expenditures


P U E R T O   R I C O

CENTENNIAL COMMUNICATIONS: Names Carlos Blanco as President


T R I N I D A D   &   T O B A G O

BWIA: Cabinet Fails to Deliver Final Decision as Scheduled


V E N E Z U E L A

PDVSA: CITGO Ops at Corpus Christi Refinery Near Normal Level
PDVSA: Lawmaker Criticizes PDVSA's $4M Housing Project in Cuba
SIDEROCA: National Assembly to Deliver Decree to Exec Branch

     -  -  -  -  -  -  -  -

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

AEROLINEAS ARGENTINAS: Registers $1M Loss From Two-Day Strike
-------------------------------------------------------------
Aerolineas Argentinas technicians and pilots staged a strike
last week in support of demands for wage hikes, the rehiring of
fired employees and the addition of contractual personnel to the
regular staff.

The strike, which began Thursday without prior notice, ended the
next day after a long meeting between management and union
representatives at the Labor Ministry.

The strike cost the airline nearly US$1 million as it was forced
to cancel 171 local and international flights on which 11,000
passengers had been booked.

CONTACT: AEROLINEAS ARGENTINAS
         Torre Bouchard 547, 1106 Buenos Aires, ARGENTINA
         Phone: (54-11) 4310-3000
         Fax: (54-11) 4310-3585
         E-mail: volar@aerolineas.com.ar
         Web site: www.aerolineas.com.ar


AGUAS ARGENTINAS: Banco Galicia Opposes Contract Cancellation
-------------------------------------------------------------
Shareholders of Aguas Argentinas met Thursday to vote on the
cancellation of the water utility concession.

According to Business News Americas, Aguas Argentinas' majority
shareholder and operator, French firm Suez, along with partners
Aguas de Barcelona, Vivendi, Anglian Water, and the
International Finance Corporation, voted to cancel the firm's
1993 contract for the concession.

However, Argentine bank Banco Galicia, which holds an 8.26%
stake in Aguas Argentinas, voted against the cancellation and is
now pushing for negotiations to continue as it considers it "the
best means of defense of social interest and the continuity of
the concession."

Aguas Argentinas and the government began talks in late 2003 on
revisions to the franchise, but Suez recently announced it was
abandoning the negotiations in the face of what it saw as
unbridgeable differences on a new rate schedule.

Meanwhile, the Argentine government said Friday it is confident
it will find companies interested in providing water and sewer
service to Greater Buenos Aires.

Cabinet Chief Alberto Fernandez said that both local and foreign
firms have expressed interest in filling the breach left by the
exit of Aguas Argentinas.


ALUPEL S.R.L.: General Report Due for Submission Sep. 28
--------------------------------------------------------
The submission of the general report on the Alupel S.R.L.
bankruptcy will be tomorrow, Sep. 28, 2005.

The Company was declared "Quiebra" by Court No. 9 of
Buenos Aires' civil and commercial tribunal

The court selected Mr. Ruben Hugo Faure as trustee. He verified
creditors' proofs of claims until the end of the verification
phase, which was on May 31, 2005.

Mr. Faure also prepared individual reports on the forwarded
claims and submitted them on Aug. 5, 2005.

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


ANTU APLICACIONES: Trustee to Submit General Report Sept. 28
------------------------------------------------------------
Court-appointed trustee Oscar Reynaldo Paez will submit the
general report on the liquidation of Antu Aplicaciones
Industriales Integradas S.A. tomorrow, Sep. 28, 2005.

Mr. Paez reviewed creditors' proofs of claim until June 21, 2005
and presented them in court as individual reports on Aug. 16,
2005.

The Company was declared bankrupt by Court No. 10 of Buenos
Aires' civil and commercial tribunal.

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. Oscar Reynaldo Paez, Trustee
         Juana Manso 1666
         Buenos Aires


BANCO MACRO: Moody's Maintains 'BB' Rating on $23M Bonds
---------------------------------------------------------
Moody's Latin America Calificadora de Riesgo S.A. reaffirmed its
'BB' rating on the bonds issued by Banco Macro S.A, says
Comision Nacional de Valores (CNV). The affected bonds are:

- US$5 million worth of bonds described as "Obligaciones
  Negociables Subordinadas - Serie 4" maturing on December 31,
  2005; and

- US$18 million worth of bonds described as "Obligaciones
  Negociables Subordinadas - Serie V" maturing on December 29,
  2006.

A 'BB' rating indicates that the future of these bonds cannot be
well assured. Moody's took the action based on the bank's
financial status as of June 30, 2005.

CONTACT: Banco Macro S.A.
         Sarmiento 735
        (1041) Buenos Aires
         Argentina
         Phone: (54-11) 4323-6300
         Fax: (54-11) 4325-6935
         Telex: 18343 MacroAr -  4260 Macro Ar
         Web Site: http://www.grupomacro.com.ar/


CAPEX: S&P Ups CCR to 'B-' After Debt Restructuring
---------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Argentinian electricity generator
CAPEX S.A. to 'B-' from 'D' after it completed restructuring its
financial debt through the effective exchange of defaulted
notes. The outlook is stable.

At the same time, Standard & Poor's affirmed its 'B-' rating on
the following notes issued by CAPEX under the restructuring
process: US$18.0 million listed floating step-up rate secured
notes (Series I), US$33.2 million listed fixed step-up rate
secured notes (Series II), and US$27.2 million floating step-up
rate secured notes (Series V).

All the notes are due quarterly starting in September 2007, with
final maturity in 2014.

The ratings on CAPEX reflect the company's weak business and
financial profile, which derive from the high political and
regulatory risk in Argentina and also from the company's
relatively high foreign-exchange risk and limited financial
flexibility.

"The ratings also incorporate CAPEX's low cost position for
electricity generation in Argentina and favorable debt maturity
schedule after its debt restructuring," said Standard & Poor's
credit analyst Sergio Fuentes.

Standard & Poor's expects CAPEX to benefit from a debt reduction
of about 14%, or about US$40 million, to about US$260 million,
and a smooth debt maturity profile (CAPEX will not face debt
maturities in the next two years), which represents a positive
credit factor. As a result, CAPEX's leverage should improve to
about 50% to 60% if measured by total debt to total
capitalization compared with 74.5% as of April 2005. In
addition, CAPEX's cash generation significantly improved in the
fiscal years ending April 2004 and April 2005 mainly because of
higher electricity prices and, to a lesser extent, of higher oil
and liquefied natural gas prices. The higher electricity prices
in fiscal 2005 mainly reflect the higher variable cost of
natural gas plants as a result of the natural gas price
increases set by the Argentine government in 2004.

Standard & Poor's expects CAPEX's funds from operations to
represent between 15% and 20% of total debt in the next four
years under a conservative scenario, assuming a relatively
stable foreign exchange rate. In that scenario, CAPEX should
prepay long-term debt in accordance with mandatory cash-sweep
clauses included in the terms and conditions of the new debt,
which should result in better debt-service coverage ratios and
financial flexibility.

The stable outlook reflects Standard & Poor's expectation that
CAPEX will generate excess cash flow during the next three years
that will be partly applied to reduce its outstanding debt,
resulting in better debt-service coverage ratios. This scenario
assumes a relatively stable foreign exchange rate and some
recovery of electricity prices in the spot market in U.S. dollar
terms. The ratings on the company could be raised if debt-
service coverage ratios and financial flexibility significantly
improve. Nevertheless, the ratings could be lowered if the
company's cash flow generation is significantly affected by
further government intervention resulting in lower electricity
prices in U.S. dollar terms.

Primary Credit Analyst: Sergio Fuentes, Buenos Aires
(54) 114-891-2131; sergio_fuentes@standardandpoors.com

Secondary Credit Analyst: Luciano Gremone, Buenos Aires
(54) 11-4891-2143; luciano_gremone@standardandpoors.com


COLORIN INDUSTRIA: Evaluadora Reiterates `D' Rating on Bonds
------------------------------------------------------------
Evaluadora Latinoamericana S.A. Calificadora de Riesgo
reaffirmed its 'D' rating on US$47 million worth of bonds issued
by Colorin Industria de Materiales Sintet.

According to the CNV, the affected bonds, described as
"Obligaciones Negociables" and classified under "Simple Issue,"
will mature on March 31, 2006.

A 'D' rating is issued to bonds that are in default, said the
ratings agency. Evaluadora's rating action is based on Colorin's
Financial Position as of June 30, 2005

CONTACT: Colorin Industria de Materiales Sinteticos S.A.
         Av del Libertador 7400
         Buenos Aires


COMANDU Y LUFIEGO: Court Grants Reorganization Plea
---------------------------------------------------
Comandu y Lufiego S.H. (Transporte Ale) successfully petitioned
for bankruptcy reorganization after Rafaela's civil and
commercial Court No. 1 issued a resolution opening the
proceedings.

As such, the Company will continue to manage its assets subject
to certain conditions imposed by Argentine law and the oversight
of a court-appointed trustee.

Infobae relates that Mr. Fernando Jose Izquierdo will serve as
trustee during the course of the reorganization. The trustee
will be accepting creditors' proofs of claim for verification
until Oct. 28, 2005.

After verifications, the trustee will prepare the individual
reports and submit it in court on Feb. 17, 2006. He will also
present a general report for court review on April 21, 2006.

The Company will endorse the settlement proposal, drafted from
the submitted claims, for approval by the creditors during the
informative assembly scheduled on June j29, 2006.

CONTACT: Comandu y Lufiego S.H. (Transporte Ale)
         Pbtro. Cerdan 2335
         Rafaela (Santa Fe)

         Mr. Fernando Jose Izquierdo, Trustee
         Liniers 95
         Rafaela (Santa Fe)


METROGAS: Moody's Reiterates `D' Ratings on Corporate Bonds
-----------------------------------------------------------
Moody's Latin America Calificadora de Reisgo S.A. maintains a
'D' rating on corporate bonds issued by Metrogas S.A., according
to data revealed by the CNV. The action, which was based on
Metrogas' financial health as of June 30, 2005, applies to these
bonds:

- US$600 million worth of "obligaciones negociables simples",
  classified under "program." The maturity of the bonds was not
  disclosed;

- US$100 million worth of "Serie A por U$S 100.000.000 dentro
  del Programa Global de U$S 600 millones." These bonds,
  classified under "series and/or class", matured on April 1,
  2003;

- EUR110 million worth of "Serie B por euros 110 millones."
  These bonds classified under "Series and/or Class," matured on
  September 27, 2002;

- US$130 million worth of "Serie C por U$S 130.000.000 dentro
  del Programa Global de U$S 600 millones." These bonds, which
  are classified under "Series and/or Class," will mature on May
  7, 2004.

CONTACT: Metrogas S.A.
         Gregorio Araoz de Lamadrid 1360
         Buenos Aires, CPA C 1267
         Argentina
         Phone: +54 11 4309 1010
                +54 11 4309 1025


PRODUCTOS MAGUS: Court Approves Concurso Motion
-----------------------------------------------
Court No. 21 of Buenos Aires' civil and commercial tribunal
approved a petition for reorganization filed by Productos Magus
S.R.L., according to a report released by Argentine daily La
Nacion.

The Company disclosed debts amounting to $1,173,873.50.

Ms. Liliana Rodriguez will supervise the reorganization as
trustee. She will verify the forwarded claims of the Company's
creditors and prepare individual reports out of the verified
claims. She will also submit a general on the case. Dates for
the end of verification as well as the submission of the
individual and general reports are yet to be disclosed.

The city's Clerk No. 41 assists the court on the case.

CONTACT: Productos Magus S.R.L.
         Ibera 4560
         Buenos Aires

         Ms. Liliana Rodriguez, Trustee
         Viamonte 2359
         Buenos Aires


RECIPRO S.A.: Reorganization Proceeds to Bankruptcy
---------------------------------------------------
The reorganization of Recipro S.A. has progressed into
bankruptcy. Argentine news source La Nacion relates that Buenos
Aires' civil and commercial Court No. 21 ruled that the Company
is "Quiebra Decretada".

The report adds that the court assigned Ms. Maria Barbieri as
trustee, who will verify creditors' proofs of claim until Nov.
4, 2005.

Clerk No. 42 assists the court with the proceedings.

CONTACT: Recipro S.A.
         Juramento 2767
         Buenos Aires

         Ms. Maria Barbieri, Trustee
         Cabildo 2040
         Buenos Aires


* ARGENTINA: May Seek Aid from IMF for its Economic Program
-----------------------------------------------------------
Argentina is willing to seek a new International Monetary Fund
loan program, according to a joint statement by Mr. Nicolas
Eyzaguirre, Minister of Finance of Chile, and Mr. Vittorio
Corbo, Governor of the Central Bank of Chile.

Eyzaguirre and Corbo spoke on behalf of Argentina at the
International Monetary and Financial Committee meeting held
Saturday, September 24, 2005 in Washington D.C.

Below is an excerpt of their joint statement:

"In May of this year, Argentina successfully completed the
largest and most complex sovereign debt restructuring in
history. This has represented a very significant stride towards
the consolidation of the economic model in place since mid-2002,
which has allowed, after 12 consecutive quarters of positive
real GDP growth and a 28 percent accumulated increase, reaching,
and already overtaking, the highest GDP level before the crisis.
The consequences of the 1990's experiment leading to the 2001-
2002 crisis have been so serious, however, that many more years
of sustained, non-inflationary growth accompanied by prudent
income policies will be needed to bring poverty and income
distribution indicators to the more equitable levels typical of
Argentina in the past.

It is worth highlighting that both the sustained growth of the
economy achieved so far and the successful debt restructuring
were attained without net financial support from the
international financial institutions (IFIs). In fact, since
January 1, 2002 Argentina has made net payments to the IFIs in
the amount of US$13.5 billion equivalent to more than 8 percent
of its actual GDP and 53 percent of the present level of
international reserves. In turn, Argentina's financial
obligations to the Fund were reduced by more than 30 percent
during that period. The Argentine government aspires to attain
Fund financial support for its economic program and expects to
formulate a forward-looking strategy to address the issue of the
hold-outs within the context of a Fund program.

Strong fiscal and monetary policies supported by a competitive
exchange rate have been the pillars of the Argentine economic
model. The different views often heard on what the proper level
of the primary surplus should be downplays what is indeed the
fundamental fact: that Argentina is now in its fourth
consecutive year of unprecedented fiscal surplus, larger than
those projected in the Fund program, and accomplished, inter
alia, through disciplined expenditure policies and full-fledged
structural reforms in the area of tax evasion. On the monetary
front, notwithstanding the substantial interventions in the
foreign exchange market, the monetary aggregates have been kept
close to those of the monetary program due to the extensive
sterilization policy followed by the Central Bank. Strong fiscal
performance and prudent monetary policy have allowed for an
inflation rate, that despite some upsurge in the first half of
the year, is within the range contemplated in the 2005 budget.
The continued sound macroeconomic performance is, and will be,
the best anchor to control inflationary expectations. It will
also be the best guarantor for creating a favorable investment
climate. In this respect, a Business Advisory Council has
recently been formed with the participation of leading foreign
investors so as to boost investment in general and Foreign
Direct Investment in particular."



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

ARGENTANK LTD: To Wind Up Voluntarily, Appoints Liquidator
----------------------------------------------------------
          IN THE MATTER OF THE COMPANIES ACT 1981

                            And

               IN THE MATTER OF Argentank Ltd

The Members of Argentank Ltd, acting by written consent without
a meeting on September 21, 2005 passed the following
resolutions:

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

2) THAT Robin J Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

The Liquidators informs that:

- Creditors of Argentank Ltd, which is being voluntarily wound
up, are required, on or before October 7, 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 lawyers (if any) to Robin J Mayor, the
Liquidator of the said Company, and if so required by notice in
writing from the said Liquidator, and personally or by their
lawyers, to come in and prove their 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.

- A final general meeting of the Members of the above named
Company will be held at the offices of Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda on
October 26, 2005 at 9:30 a.m., or as soon as possible
thereafter, for the 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. Robin J Mayor, Liquidator
         Messrs. Conyers Dill & Pearman
         Clarendon House
         Church Street
         Hamilton
         HM DX
         Bermuda


BUNGE FIRST CAPITAL: Members Volunteer to Wind Up Company
---------------------------------------------------------
       IN THE MATTER OF THE COMPANIES ACT 1981

                         And

     IN THE MATTER OF Bunge First Capital Limited

The Members of Bunge First Capital Limited, acting by written
consent without a meeting on September 20, 2005, passed the
following resolutions:

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

2) THAT Robin J Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

The Liquidator informs that:

- Creditors of Bunge First Capital Limited, which is being
voluntarily wound up, are required, on or before October 7,
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 Robin J
Mayor, the Liquidator of the 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 and place 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 Member(s) of Bunge First
Capital Limited will be held at the offices of Messrs. Conyers
Dill & Pearman, Clarendon House, Church Street, Hamilton,
Bermuda on October 28, 2005 at 9:30 a.m., or as soon as possible
thereafter, for the 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. Robin J Mayor, Liquidator
         Messrs. Conyers Dill & Pearman
         Clarendon House
         Church Street
         Hamilton
         HM DX
         Bermuda


JCH GLOBAL FUTURES: Members Appoint Liquidator for Company
----------------------------------------------------------
             IN THE MATTER OF THE COMPANIES ACT 1981

                               And

         IN THE MATTER OF JCH Global Futures Fund Limited

The Members of JCH Global Futures Fund Limited held a Special
General Meeting on September 19, 2005 and passed the following
Resolutions:

1. THAT the Company be wound up voluntarily pursuant to the
provisions of the Companies Act 1981;

2. THAT Michael W Morrison be appointed Liquidator for the
purposes of such winding-up, such appointment to be effective
forthwith;

3. THAT the Liquidator be and he is hereby authorized to
distribute the surplus assets in cash or specie as he may
determine; and

4. THAT the Liquidator be and is hereby authorized to appoint
Attorneys-in-Fact to act on his behalf in his absence from
Bermuda.

The Liquidator informs that:

- Creditors of JCH Global Futures Fund Limited, which is being
voluntarily wound up, are required, on or before October 26,
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 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.

- Final General Meeting of JCH Global Futures Fund Limited will
be held at KPMG Financial Advisory Services Limited, Crown
House, 4 Par-la- Ville Road, Hamilton Bermuda on November 2,
2005 at 10:00 a.m. for the following purposes:

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


OAK STREET FSC: Appoints Mr. Robin J Mayor as Liquidator
--------------------------------------------------------
         IN THE MATTER OF THE COMPANIES ACT 1981

                           And

           IN THE MATTER OF Oak Street Fsc, Ltd.

The Member of Oak Street Fsc, Ltd., acting by written consent
without a meeting on September 21, 2005 passed the following
resolutions:

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

2) THAT Robin J Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

The Liquidator informs that:

- Creditors of Oak Street Fsc, Ltd., which is being voluntarily
wound up, are required, on or before October 7, 2005 send their
full Christian and Surnames, their addresses and descriptions,
full particulars of their debts or claims, and the names and
addresses of their lawyers (if any) to Robin J Mayor, the
Liquidator of the Company, and if so required by notice in
writing from the said Liquidator, and personally or by their
lawyers, to come in and prove their debts or claims at such time
and place 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 Member of Oak Street Fsc, Ltd.
will be held at the offices of Messrs. Conyers Dill & Pearman,
Clarendon House, Church Street, Hamilton, Bermuda on October 24,
2005 at 9:30 a.m., or as soon as possible thereafter, for the
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. Robin J Mayor, Liquidator
         Messrs. Conyers Dill & Pearman
         Clarendon House
         Church Street
         Hamilton
         HM DX
         Bermuda


TRA INSURANCE COMPANY: Liquidators Intend to Apply For Release
--------------------------------------------------------------
             IN THE MATTER OF THE COMPANIES ACT, 1981

                               And

IN THE MATTER OF Tra Insurance Company Limited - In Liquidation

NOTICE TO CREDITORS AND CONTRIBUTORIES OF LIQUIDATORS' INTENTION
TO APPLY FOR RELEASE

NOTICE IS HEREBY GIVEN that the Liquidators of Tra Insurance
Company Limited - In Liquidation, intend to apply to the Court
for their release, and further take notice that any objection
you may have to the granting of the release must be notified to
the Court within twenty-one days of the date hereof.

Peter C.B. Mitchell
Joint Liquidator

September 21, 2005


TRINITY DIRECTOR: Liquidation Commences
---------------------------------------
NOTICE is hereby given that the liquidation of Trinity Director
Services Limited commenced on August 11, 2005 and that Mr. Timm-
Arno Bergold of, has been appointed Liquidator of the Company.

CONTACT: Mr. Timm-Arno Bergold, Liquidator
         9 Bd de Suisse
         Villa Hermosa
         MC 98000
         Monaco


ZUMIKON CORPORATION: Mr. Robin J Mayor Appointed as Liquidator
--------------------------------------------------------------
            IN THE MATTER OF THE COMPANIES ACT 1981

                               And

          IN THE MATTER OF Zumikon Corporation Limited

The Members of Zumikon Corporation Limited, acting by written
consent without a meeting on September 21, 2005 passed the
following resolutions:

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

2) THAT Robin J Mayor be and is hereby appointed Liquidator for
the purposes of such winding-up, such appointment to be
effective forthwith.

The Liquidator informs that:

- Creditors of Zumikon Corporation Limited, which is being
voluntarily wound up, are required, on or before October 7, 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 lawyers (if any) to Robin J Mayor,
the Liquidator of the said Company, and if so required by notice
in writing from the said Liquidator, and personally or by their
lawyers, to come in and prove their 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.

- A final general meeting of the Members of Zumikon Corporation
Limited will be held at the offices of Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda on
October 26, 2005 at 9:30 a.m., or as soon as possible
thereafter, for the 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. Robin J Mayor, Liquidator
         Messrs. Conyers Dill & Pearman
         Clarendon House
         Church Street
         Hamilton
         HM DX
         Bermuda



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

GERDAU: Reveals $810M Investment Plan for Rio Grande Do Sul
-----------------------------------------------------------
Rio Grande do Sul will receive an additional R$810 million
directed at the continuous modernization of the Gerdau Acos
Especiais Piratini and Gerdau Riograndense (Sapucaia do Sul)
units over the next eight years.

On September 21, the Gerdau Group inaugurated a new phase of
expansion at the Gerdau Acos Especiais Piratini steel mill. The
unit's annual installed capacity has grown to 500,000 metric
tons of finished products. Located in the city of Charqueadas
(Rio Grande do Sul), Gerdau Acos Especiais Piratini produces
specialty long steel primarily for the automotive industry,
which consumes approximately 80% of its production.

The Group invested R$448 million, installing new equipment in
the melt shop, rolling mill and in product finishing and
shipping, a sum that is part of the investment program planned
for Rio Grande do Sul previously announced by the Group. This
represents the second time the steel mill's capacity has
doubled. The first instance occurred in 1997, when the mill's
annual installed capacity for finished products reached 240,000
metric tons.

The installed capacity for steel production also increased: from
300,000 metric tons in 1997 to the current 400,000 metric tons.

Over the next eight years, the state will receive an additional
R$810 million directed at the continuous modernization of the
Gerdau Acos Especiais Piratini and Gerdau Riograndense (Sapucaia
do Sul) units. Of this total, R$260 million will be invested in
the Charqueadas mill and R$550 million in the Sapucaia do Sul
plant. In the environmental area, investments in new air, water
and soil protection technologies total R$90 million. In less
than two years, the Gerdau Group has already generated more than
600 new jobs in Rio Grande do Sul, in addition to the 1,400 new
job openings for the different production process phases.

Gerdau Acos Especiais Piratini

One of the highlights is the new billet reheating furnace

The Gerdau Group has made continuous investments in the
Charqueadas unit to keep up to pace with automotive industry
demands. A new electric arc furnace was installed in the melt
shop. The equipment, which uses Arcos NT Systems technology,
allows operators to regulate the electrodes digitally, reducing
the processing time by 10% and energy consumption by 5%. In the
melt shop, steel is produced by melting steel scrap with pig
iron.

The Group also upgraded rolling mill 1, which transforms steel
into medium and heavy bars with gauges over 45 mm. This
investment improved the finish of the steel products and a
dimensional precision higher than that required by the rigorous
German DIN quality norm.

Another highlight is the new billet reheating furnace in rolling
mill 1 that operates at 60 metric tons per hour. The equipment
is used to increase the temperature of the billets (solidified
steel in square sections that serves as the raw material for
long steel rolling) that leave the melt shop at 1200C (2190F)
and allow for hot rolling. The mill is equipped with walking
beam, top-of-the-line technology for specialty steel production
that ensures more uniform billet reheating. The technology
results in greater productivity gains and fewer by-products. The
new furnace also uses natural gas as fuel to guarantee more
efficient energy consumption and the preservation of the
environment.

With the increased installed capacity, Gerdau Acos Especiais
Piratini also invested in improvements to the production
inspection line - the fourth performed by the unit - as 100% of
the products are delivered to customers fully inspected,
ensuring superior quality. The Group constructed a 6,000-square
meter industrial building to install the equipment.

Investments in the environmental area also involved the
expansion of the dust removal system based on the new production
capacity. The system efficiently filters the solid particles
generated during the steel production process.

In upcoming years, one of the main investments will be in the
modernization of rolling mill 2 to allow it to receive larger
billets (from 150 mm to 180 mm billets). In the industrial
process, the use of billets improves productivity and product
quality while increasing the steel yield. A new continuous
casting system will also be installed to expand the mill's
production capacity, adjusting it to the new electric arc
furnace.

Finally, the Group will complete the replacement of the rolling
mill and forging heat treatment furnaces, which will use natural
gas instead of fuel oil to ensure improved air quality.

Gerdau Riograndense

R$ 200 million in investments already underway

New equipment valued at R$200 million is currently being
installed in different areas of the unit, a portion of which
will begin operating in 2006. One of these will be a set of wire
drawing machines for agricultural wire production. In 2006, the
unit will also begin to produce a new galvanizing line designed
to meet agricultural business demands. Both processes,
galvanizing and wire drawing, add value to the final product.

The Group has also ordered new rolling mill equipment to
increase productivity and product quality.

Another highlight is the installation of the Mega Shredder, the
largest piece of scrap recycling equipment in the world with a
capacity to process some 2,000 metric tons per day, equivalent
to approximately 3,000 vehicles. The unit will also modernize
its electric system completely with the installation of new
electricity sub-stations.

CONTACT: Gerdau S.A.
         Press Office
         Phone: 55(51) 3323-2170
         E-mail: imprensa@gerdau.com.br
         URL: www.gerdau.com.br


LIGHT SERVICOS: EDF Taps Goldman Sachs to Advise on Stake Sale
--------------------------------------------------------------
French state-owned power company Electricite de France (EDF) has
hired investment bank Goldman Sachs to analyze options for its
Brazilian power distribution unit Light Servicos.

"We have mandated Goldman Sachs to study all possible options
for Light's future...including the partial or total disposal of
our stake in Light," an EDF spokeswoman said.

EDF has a 95% stake in Light. In July, Light CEO Jean-Pierre Bel
said EDF would seek to sell a stake to a strategic partner to
inject cash in the unit but did not rule out selling control.
The preference is for a local partner that knows the Brazilian
market, the executive said at the time.

The sale announcement was made when Light came out of two years
of default after signing a US$742-million debt restructuring
agreement with 12 creditor banks and obtaining a US$400-million
capital injection from EDF.

The refinancing agreement also paved the way for a BRL727-
million (US$300 million) loan from national development bank
BNDES to allow Light to pay down BRL320 million in debts with
federal power holding company Eletrobras and bolster its cash
flow.

Light has big debts and has lost revenue due to power theft in
Rio's slums and low-income neighborhoods. The unit loses 17% of
its energy from power theft and its revenue losses total about
BRL500 million (US$217 million) annually.

Analysts say EDF has not sold Light so far because no one was
willing to buy a utility so exposed to power piracy.

"It's not really new (that they want to sell) but people will
take advantage of the news to play on the paper. It's going to
be a long process," said Victor Souza, an analyst with BES
brokerage in Rio.

CONTACT:  LIGHT SERVICOS DE ELETRICIDADE S.A.
          Avenida Marechal Floriano, 168
          20080-002 Rio de Janeiro, Brazil
          Phone: +55-21-2211-2794
          Fax:   +55-21-2211-2993
          Home Page: http://www.lightrio.com.br
          Contact:
          Bo Gosta Kallstrand, Chairman
          Michel Gaillard, President and CEO
          Joel Nicolas, Executive Director, Operation
          Paulo Roberto Ribeiro Pinto, Executive Director,
                                 Investor Relations and CFO


NET SERVICOS: Board Authorizes Amendment of Private Deed
--------------------------------------------------------
The board members of Net Servicos de Comunicacao S.A. authorized
in a board of directors' meeting held on September 9, 2005 the
amendment of section 4.9.3 of the Private Deed of the 5th Public
Issue of Unsecured, Subordinated, Non-convertible Debentures in
one single Series of Net Servicos de Comunicacao S.A ("Deed"),
which shall come into effect with the following wording: "4.9.3.

MINUTES OF THE BOARD OF DIRECTORS' MEETING
HELD ON SEPTEMBER 9, 2005

DATE, TIME AND VENUE: September 9, 2005, at 1:00 p.m, at Net
Servicos de Comunicacao S.A. ("Company") headquarters, in the
city and state of Sao Paulo, at Rua Verbo Divino, n 1.356.

CALL NOTICE: Accomplished as provided for by the article 13 of
the Company's Bylaws.

ATTENDANCE: Board members representing the necessary quorum
attended the meeting, as substantiated by their signatures
affixed infra.

PRESIDING BOARD: Chairman: Jorge Luiz de Barros Nobrega;
Secretary: Andre Muller Borges.

DELIBERATIONS: In view of the result of the bookbuilding
procedure carried out on this date regarding the 5th Public
Issue of Unsecured, Subordinated, Simple and Non-convertible
debentures in one single Series of Net Servicos de Comunicacao
S.A. ("5th Issue"), the board members attending unanimously and
unconditionally discussed and approved as follows:

1. Authorize the amendment of section 4.9.3 of the Private Deed
of the 5th Public Issue of Unsecured, Subordinated, Non-
convertible Debentures in one single Series of Net Servicos de
Comunicacao S.A ("Deed"), which shall come into effect with the
following wording: "4.9.3. Remunerative Interest: The Debentures
shall yield interest corresponding to 100% (one hundred percent)
of the accumulated variation in the daily average rates of one-
day interbank deposits, "over extra group", calculated and
published by CETIP ("DI Rate"), and in addition, using the
formula in section 4.9.6 below, a spread of 1.50% (one point
five percent) a year, based on 252 (two hundred and fifty-two)
business days, on the Unit Face Value, as of the Date of Issue
or the last Date of Payment of Remuneration, whichever is
applicable, and to be paid at the end of each Capitalization
Period, as defined in section 4.9.4 below."

2. Authorize the officers of the Company to take all measures
required to conclude the 5th Issue, including, but not only,
amending the Deed to reflect the above decision, and take all
other steps required to formalize and implement the resolutions
of this meeting.

3. Ratify the decisions taken by the Board Meeting held at 3:00
p.m. on September 2, 2005, in relation to the exclusion of
warranties and covenants stipulated in the issue deed
(Indenture) of US$ 32,494,427 7.0% Senior Secured Notes expiring
in 2009 and US$ 9,683,910 Senior Secured Floating Rate Notes
expiring in 2009, both issued by Net Sul Comunicacoes LTDA.
(Notes), dated March 22, 2005, and authorize the Company (i) to
implement the request for approval (Consent Solicitation) for
holders of the Notes for the exclusion of warranties and
covenants from the Notes, (ii) to hire the agents required to
implement this decision, (iii) to sign an endorsement to the
Indenture (Supplemental Indenture) reflecting the Consent
Solicitation terms, (iv) to sign all and any documents required,
such as the Solicitation Agent Agreement, Tabulation Agent
Agreement, Information Agent Agreement and Pledge Agreement, (v)
to take all measures and sign all the necessary documents for
the execution and implementation of the Consent Solicitation in
question.

CLOSING AND SIGNATURES: Closing: There being nothing else to
discuss, the meeting was adjourned, these minutes were drawn up,
which, after being read, were approved and signed by all
attending board members, as well as the Secretary and
participant invited.

CONTACT: Net Servicos de Comunicacao S.A.
         Investor Relations
         Marcio Minoru
         Phone: 011-5511-2111-2811
                    or
         E-mail: minoru@netservicos.com.br
                    or
         Sandro Pina
         Phone: 011-5511-2111-2721
                    or
         E-mail: sandro.pina@netservicos.com.br
         URL: http://www.ir.netservicos.com.br


VARIG: Reports Lower Net Loss for Jan-Aug 2005 Period
-----------------------------------------------------
Casho-strapped airline Viacao Aerea Riograndense SA (Varig)
ended the first eight months of 2005 with a net loss of BRL594.2
million ($1=BRL2.276), reports Dow Jones Newswires.

The figure is lower than BRL547.8-million loss in the same
period of 2004.

During the eight months ended August, Varig said that its net
operational revenue is up slightly at BRL4.67 billion, compared
to BRL4.62 billion a year ago, while costs rose to BRL3.8
billion in the period, up from BRL3.5 billion seen in the
comparable period a year ago.

Varig will be reporting financial results on a monthly basis as
part of the court-managed financial restructuring process that
began on June 17.

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
===========

AOL LATIN AMERICA: Board OKs Job Cuts in Mexico, Argentina
----------------------------------------------------------
The Board of Directors of America Online Latin America, Inc.
(AOLA") has approved a plan to cut 72 employees in Mexico and
Argentina as part of its restructuring efforts.

AOLA expects to incur severance charges of roughly US$1.9
million as a result of the cuts. The severance charges will be
recorded in the Company's fiscal 2005 third quarter, which ends
Sept. 30.

The job cuts should be complete by the end of September.

AOLA filed for Chapter 11 protection June 24 in Wilmington,
Del., listing assets of US$28.5 million and debts of US$181.8
million.

CONTACT: AOL Latin America
         6600 N. Andrews Ave.
         Suite 400 Ft. Lauderdale
         FL 33309
         Phone:(954) 233-1803


ASARCO: Final Hearing on Cash Collateral Usage Set for Sept. 30
---------------------------------------------------------------
As previously reported in the Troubled Company Reporter on Aug.
15, 2005, Judge Schmidt of the U.S. Bankruptcy Court for the
Southern District of Texas granted ASARCO LLC authority to use
its cash collateral on an interim basis.

The Court directs ASARCO to deposit $1,280,000 of proceeds of
Mitsui & Co. (U.S.A.), Inc.'s collateral in a newly established
separate segregated bank account.

As ASARCO sells its copper inventory, the Debtor is directed to
continue allocating the proceeds to silver inventory in the same
manner that it has done previously.

As proceeds of Mitsui's collateral are received, the Debtor will
promptly deposit into the Mitsui Cash Collateral Account that
portion of the proceeds that the Debtor has allocated to silver
inventory.

In the event that the Debtor determines that it needs to use
funds in the Mitsui Cash Collateral Account, the Debtor may
request an emergency hearing, on at least three business days'
notice to Mitsui and its counsel, before the Court, provided
however, that Mitsui will be entitled to seek further
protection, including adequate protection, at the hearing.

The Court directs the Debtor to provide Mitsui with reports of
the amount of silver inventory on a bi-weekly basis and of the
amount of the Cash Collateral that is segregated in the Mitsui
Cash Collateral Account on a weekly basis pending a final
hearing.


                         Court's Ruling

Judge Schmidt authorizes ASARCO LLC to continue to maintain the
proceeds of Mitsui & Co. (USA), Inc.'s collateral in the
separate segregated bank account.

The Court will convene a final hearing to consider the Debtors'
request on Sept. 30, 2005, at 2:00 p.m. in Corpus Christi.

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 through 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.

Encycle/Texas, Inc. (Bankr. S.D. Tex. Case No. 05-21304),
Encycle, Inc., and ASARCO Consulting, Inc. (Bankr. S.D. Tex.
Case No. 05-21346) also filed for Chapter 11 protection, and
ASARCO has asked that the three subsidiary cases be jointly
administered with its Chapter 11 case. (ASARCO Bankruptcy News,
Issue No. 6; Bankruptcy Creditors' Service, Inc., 215/945-7000).


AVIA DE MEXICO: Court OKs Scheef & Stone as Special 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
Scheef & Stone, LLP, as their special bankruptcy counsel.

As previously reported in the Troubled Company Reporter on Aug.
22, 2005, Scheef & Stone will represent the Debtors in two
litigation matters in Dallas County, Texas and two in Starr
County, Texas.

Kimberly A. Elkjer, Esq., a partner at Scheef & Stone, LLP,
discloses that the Firm received a $65,544 prepetition retainer.
As of Aug. 17, 2005, the Debtor still owes $19,576 to the Firm.
James C. Musselman, the Debtors' president, assures the Firm
that it will be paid before the end of August 2005.  The current
hourly rates of the Firm's professionals are:

      Designation                           Hourly Rate
      -----------                           -----------
      Partners                              $250 - $300
      Associates                            $170 - $250
      Paralegals                             $90 - $120

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)


HYLSA: Moody's Withdraws Ratings
--------------------------------
Moody's Investors Service has withdrawn all of its ratings for
Hylsa S.A. de C.V. (Hylsa). On September 23, 2005, Hylsa retired
the entire outstanding amount of its 10.5% sernior unsecured
notes due December 2010. As this was the only debt that Moody's
rated for Hylsa, Moody's has withdrawn all of its ratings for
the company in accordance with Moody's ratings withdrawal
policy. The ratings withdrawn include:

- Hylsa's B1 corporate family rating,

- B1 for the US$161 million of 10.5% senior unsecured notes due
2010, and

- B1 issuer rating.

Hylsa used proceeds from a new syndicated credit facility to
repay the senior notes and accrued interest. Hylsa,
headquartered in Monterrey, Mexico, is a wholly-owned steel
making subsidiary of Hylsamex, S.A. de C.V. The Techint Group
recently acquired Hylsamex.



=================
N I C A R A G U A
=================

* NICARAGUA: IMF Urges Govt to Tighten Control Over Expenditures
----------------------------------------------------------------
The Nicaraguan economy has grown and poverty has fallen in the
context of a macroeconomic stability that has supported real
incomes of the poor and created more jobs, International
Monetary Fund (IMF) Mission said Friday in Managua.

To maintain a stable macroeconomic framework, while
reinvigorating the economic reform program that has delivered
such positive results for Nicaragua, it will be crucial to hold
the line on the fiscal deficit in 2006. This will require tight
control over total expenditures while protecting poverty-
reducing spending.

The IMF Mission said by an IMF mission said:

"An IMF staff mission led by Vikram Haksar visited Managua,
Nicaragua during September 7-22, 2005 for discussions with the
authorities on the 2005 Article IV Consultation. The mission had
the privilege of meeting with President Enrique Bolanos, Finance
Minister Mario Arana and central bank President Mario Alonso;
members of the Economic Committee of the National Assembly, and
members of the business community and civil society. The mission
reviewed the medium term prospects for the economy as well as
the policy requirements for resumption of the PRGF arrangement
with the Fund, which is otherwise set to expire in December this
year.

"Nicaragua has made many important advances in the last years.
The economy has grown and poverty has fallen in the context of a
macroeconomic stability that has supported real incomes of the
poor and created more jobs. Several key reforms have advanced in
the areas of boosting revenues, and strengthening governance and
the financial sector framework. Macroeconomic developments this
year remain broadly positive, despite the oil shock and rising
inflation. The economy and employment continue to expand, fiscal
developments are generally as expected and the international
reserves have remained stable.

"The central challenge now is to maintain a stable macroeconomic
framework, while reinvigorating the economic reform program that
has delivered such positive results for Nicaragua. This will
require a renewed commitment to the core elements of prudent
macroeconomic policies and structural reforms to entrench
financial stability and achieve sustained growth. We hope that a
domestic consensus can be found on the economic policies and
reforms for the period ahead, which would allow the PRGF
arrangement to be resumed.

"In this regard, it will be crucial to hold the line on the
fiscal deficit in 2006. This will require tight control over
total expenditures while protecting poverty-reducing spending.
To this end, it will be important to avoid a rise in public
sector real wages which are now on average above those in the
private sector. Another area of concern is the fiscal cost of
the energy crisis. Electricity tariffs need to be raised as soon
as possible while putting in place a mechanism to protect the
poor through the proposed subsidy to low-usage consumers.
Moreover, it will also be important to find a way to ensure
continuing adjustments of tariffs with fluctuations in oil costs
to avoid a repetition of the current electricity crisis.

"The mission also discussed steps to consolidate progress on the
structural reform agenda. In this regard, progress is needed in
the area of fiscal decentralization by devolving expenditure
functions to municipalities. Also, the laws on financial
administration, the superintendency of banks and on FOGADE, are
steps in the right direction, but require further strengthening
in a number of key aspects. Moreover, the banking law and the
tax code are still under consideration by the assembly.
"The mission discussed these concerns with the authorities who
agreed that time was of the essence, especially with regards to
building a consensus for passage of these economic reforms and
for a 2006 budget in line with the program. The mission will
remain in close contact with the authorities and plans to return
to Nicaragua in November, before the expiry of the program, to
evaluate if the conditions to bring the program back on track
are in place."

CONTACT: International Monetary Fund
         External Relations Department
         Public Affairs
         Phone: 202-623-7300
         Fax: 202-623-6278
                    Or
         Media Relations
         Phone: 202-623-7100
         Fax: 202-623-6772



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

CENTENNIAL COMMUNICATIONS: Names Carlos Blanco as President
-----------------------------------------------------------
Centennial Communications Corp. (NASDAQ: CYCL) ("Centennial")
announced Friday that Carlos T. Blanco has been named President
of Centennial de Puerto Rico. Blanco will have operational
responsibility for Puerto Rico's wireless and broadband
businesses, leading the customer service, marketing, network
engineering and sales teams.

Blanco, a telecommunications industry veteran, was previously
Chief Operating Officer for Telefonica Moviles de Venezuela, an
operation with over 5 million customers, where he oversaw
customer service, engineering, network operations and sales. "We
remain committed to recruiting and retaining experienced local
talent, and are delighted to welcome Carlos to the Centennial
family," said Michael J. Small, Centennial's chief executive
officer. "We've learned that a strong local management team is
critical to the success of our local market strategy, and look
forward to Carlos's leadership as we continue to build a strong
wireless and broadband franchise in Puerto Rico."

Blanco said, "Centennial is a world-class company that has
developed a powerful brand that connects with the local market.
I look forward to strengthening Centennial's competitive
advantage in Puerto Rico, with many great opportunities to
extend our leadership in the years to come."

Prior to his tenure at Telefonica, Blanco was Chief Executive
Officer, Bellsouth Ecuador, responsible for strategy development
and execution for a 700,000 customer wireless operation. He also
served as Chief Operating Officer, Bellsouth Ecuador where he
led the customer service, marketing, network and sales
organizations. Prior to Bellsouth Ecuador, Blanco's telecom
experience included various sales, marketing and independent
consulting roles for global telecom equipment vendors. Blanco
holds an MBA from New York University in Management Information
Systems and International Business, and a BSEE in telecom
engineering from Universidad Metropolitana in Caracas,
Venezuela.

Centennial Communications (NASDAQ: CYCL), based in Wall, NJ, is
a leading provider of regional wireless and integrated
communications services in the United States and the Caribbean
with approximately 1.2 million wireless subscribers and 300,000
access lines and equivalents. The U.S. business owns and
operates wireless networks in the Midwest and Southeast covering
parts of six states. Centennial's Caribbean business owns and
operates wireless networks in Puerto Rico, the Dominican
Republic and the U.S. Virgin Islands and provides facilities-
based integrated voice, data and Internet solutions. Welsh,
Carson, Anderson & Stowe and an affiliate of the Blackstone
Group are controlling shareholders of Centennial.

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/



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

BWIA: Cabinet Fails to Deliver Final Decision as Scheduled
----------------------------------------------------------
Cabinet's subcommittee on BWIA did not deliver its final
decision on the embattled state-owned airline Thursday.

The Trinidad Express recalls that Public Administration Minister
Lenny Saith, who chairs the subcommittee, told the media last
week that Cabinet will deliver the decision Thursday.

Trade & Industry Minister Kenneth Valley also said earlier that
once the Cabinet reaches a decision, there's going to be a press
conference.

A press conference was held Thursday. However, Works Minister
Colm Imbert, Finance Minister Christine Sahadeo and Public
Utilities Minister Pennelope Beckles showed up with no intention
of speaking about the airline.

At the post-Cabinet press conference, Imbert revealed that the
matter about BWIA was discussed but no decision has been made.

"The matter has been discussed and I can confidently say a
decision will be made next week," said Imbert.

For months now, Government has been delaying the fate of the
cash-strapped airline. A committee had been set up under the
chairmanship of businessman Arthur Lok Jack and a report was
given to the Cabinet.

CONTACT: BRITISH WEST INDIES AIRWAYS (BWIA)
         Phone: + 868 627 2942
         E-mail: mail@bwee.com
         Home Page: http://www.bwee.com



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

PDVSA: CITGO Ops at Corpus Christi Refinery Near Normal Level
-------------------------------------------------------------
An assessment of CITGO Petroleum Corporation's Lake Charles
Manufacturing Complex is still underway and a restart of that
facility will be initiated as soon as possible, while operations
at the Corpus Christi Refinery are nearing normal levels of
operation Sunday.

"CITGO is doing everything it can to alleviate the impact of
Hurricane Rita on the energy market and to reassure all market
players, thus helping to contain any price speculation," said
Felix Rodriguez.

Meanwhile, CITGO's corporate headquarters facility in Houston
was not impacted by the hurricane. The facility will reopen
beginning Wednesday, Sept. 28.

"The reopening of headquarters is contingent upon the
availability of public thoroughfares in the Houston area, and in
agreement with the recommendations of local government
authorities," added Rodriguez. "Until the Houston headquarters
facility is fully operational, the business activities
temporarily relocated to Tulsa, Okla. will remain there."

CITGO, based in Houston, is a refiner, transporter and marketer
of transportation fuels, lubricants, petrochemicals, refined
waxes, asphalt and other industrial products.  The Company is
owned by PDV America, Inc., an indirect wholly owned subsidiary
of Petroleos de Venezuela, S.A., the national oil company of the
Bolivarian Republic of Venezuela.

CONTACT: CITGO Petroleum Corporation
         Investor Relations
         Ms. Kate Robbins
         Public Affairs Manager
         Phone: (832) 486-5764
         E-Mail: InvRel@citgo.com
         URL: www.citgo.com


PDVSA: Lawmaker Criticizes PDVSA's $4M Housing Project in Cuba
--------------------------------------------------------------
Opposition lawmaker Julio Montoya criticized the PDVSA-financed
housing project in Cuba's Pinar del Rio province, Business News
Americas reports.

Mr. Montoya denounced the project, which cost US$4 million, as
scandalous considering the misery in which millions of
Venezuelans live.

"I showed pictures of the collapse of Venezuela's oil
infrastructure, how the oil pipelines of the industry are
deteriorating. In the case of eastern Venezuela, many pipelines
are 85% corroded," Montoya said.

Montoya, who is a long-standing critic of President Hugo
Chavez's energy policy, stated that the money should be invested
in Venezuela rather than Cuba.

The lawmaker also complained about Venezuela's giving away of
200,000 barrels a day of oil and products through PetroCaribe
and similar regional energy cooperation schemes, calling it a
disgrace to the country's economy.

Montoya is a member of the Movimiento al Socialismo, a center-
left party that backed Chavez in the 1999 presidential elections
as well as during the first couple of years of his
administration.


SIDEROCA: National Assembly to Deliver Decree to Exec Branch
------------------------------------------------------------
The national assembly will send to the executive branch this
week a decree to expropriate Sideroca, which produces tubes for
the oil industry, reports Business News Americas.

The move came at the request of Sideroca workers, who have
sought for the expropriation of the Company.

Expropriation, which would give more company control to workers,
is designed to pull companies out of difficult financial
situations and to create "equality [and] justice," said Jose
Khan, a national assembly representative.



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

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