TCRLA_Public/060210.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, February 10, 2006, Vol. 7, Issue 30

                            Headlines

A R G E N T I N A

ARQUITEC CONSTRUCCIONES: Claims Verification Ends on March 31
ASOCIACION MUTUAL: Authentication of Claims Ends March 15
BANCO HIPOTECARIO: S&P Withdraws Negative Creditwatch
CAJA DE VALORES: S&P Puts Low B Ratings with Stable Outlook
KOURO S.A.: Trustee Starts Accepting Claims for Verification

SAPORE DI PANE: Court Approves Concurso Motion
LE PREMIER: Trustee to End Verification Phase After April 6
TELEFONICA DE ARGENTINA: Appoints Chacon as Alternate Director
TGS: Posts ARS217.6 Million Net Income for Fiscal Year 2005


B E R M U D A

FOSTER WHEELER: Gets Two Boilers for Cleco's Power Station
GLOBAL CROSSING: Inks Converged IP Services Pact with Telstra
GREEN HILL: Deadline for Submission of Claims Set for Feb. 22
SEFTON PARK: Creditors Required to Prove Claims by March 3
SGR HOLDINGS: Creditors Have until February 27 to Prove Claims


B R A Z I L

BRASKEM: Discloses Fin. Results for 2005 & Quarter Ended Dec. 31
EMBRATEL: Inks Telecommunications Service Pact with Net Servicos
GERDAU SA: Subsidiary Discloses 2005 Financial Results
JBS S.A.: Moody's Assigns B1 Rating to US$75 Million Euro Notes
NET SERVICOS: Inks Telecommunications Service Pact with Embratel


C A Y M A N   I S L A N D S

OCM EMERGING: Presents Accounts on Liquidation on February 24
PCC HOLDINGS: Creditors Have Until February 15 to Submit Claims
PINSTRIPE I: Creditors to Prove Claims until February 24


E L   S A L V A D O R

MILLICOM INTERNATIONAL: Exceeds Nine Million Subscribers


J A M A I C A

AIR JAMAICA: Incurs US$136 Million in Losses for 2005


M E X I C O

BANK OF AMERICA: S&P Affirms Ratings on Mexican Mutual Funds
MEXICO: Offering Government Bonds to U.S. Investors
MEXICO: S&P Affirms mxBB+ National Scale Rating, Stable Outlook


P U E R T O   R I C O

GUILLERMO NADAL: Case Summary & 13 Largest Unsecured Creditors


V E N E Z U E L A

PDVSA: Exxon Pulled from Petrochemical Project with Pequiven
PDVSA: S&P Places Low B Ratings on CreditWatch Developing

     -  -  -  -  -  -  -  -

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


ARQUITEC CONSTRUCCIONES: Claims Verification Ends on March 31
-------------------------------------------------------------
The validation of creditors' claims against bankrupt company
Arquitec Construcciones S.R.L. will end on March 31, 2006,
reports La Nacion.

Court No. 12 of Buenos Aires' civil and commercial tribunal
approved the bankruptcy petition filed by Caja Aseguradora de
Riesgos del Trabajo ART S.A., whom the Arquitec Construcciones
S.R.L. has debts amounting to $1,295.17.

The company is undergoing the bankruptcy process with Mr.
Norberto Bonesi as trustee.

Clerk No. 24 assists the court on the case.

Arquitec Construcciones S.R.L. can be reached at:

         Nazarre 2854
         Buenos Aires

Mr. Norberto Bonesi, the trustee, can be reached at:

         Avenida Juan B. Justo 5096
         Buenos Aires


ASOCIACION MUTUAL: Authentication of Claims Ends March 15
---------------------------------------------------------
The authentication of claims of Asociacion Mutual del Centro
Comercial e Industrial de Teodelina's creditors has begun and is
set to end on March 15, 2006.  The validated claims will be
presented as individual reports in court on April 12, 2006.

The company began reorganization following the approval of its
petition by a court in Venado Tuerto.

A general report on the case will be submitted on May 24, 2006.

Asociacion Mutual del Centro Comercial e Industrial de Teodelina
can be reached at:

         Avda. Jose Roberti 515 Teodelina
         Depto. General Lopez (Santa Fe)


BANCO HIPOTECARIO: S&P Withdraws Negative Creditwatch
-----------------------------------------------------
Standard & Poor's Rating Services has withdrawn its creditwatch
with negative implications from the rating of Argentine bank
Banco Hipotecario, the agency said in a report.

S&P put Hipotecario's counterparty rating of raA on creditwatch
negative last September after disagreements between the bank's
two largest shareholders, the government and local business
group IRSA.

The agency believes potential disagreements are much lower now
and unlikely to damage Hipotecario's business plan to attack all
banking segments.

The government has a 53.9% non-controlling stake in Hipotecario
through a trust fund but the bank is managed by IRSA and two
other funds.

S&P also upgraded the bank's pension fund deposits to raA-1 from
raA-2 due to the bank's increased liquidity and its continuous
reduction of debt held with the central bank.

Banco Hipotecario is Argentina's eighth largest bank in terms of
assets and the leading private financial institution in terms of
mortgage lending.

Loans and deposits totaled 2.1 billion pesos (US$684 million)
and 399 million pesos respectively at end-November 2005.


CAJA DE VALORES: S&P Puts Low B Ratings with Stable Outlook
-----------------------------------------------------------
Standard & Poor's Ratings Services assigns these ratings to Caja
de Valores S.A.:

Credit Rating:

   -- B+/Stable/B

Counterparty Credit Rating:

   -- B+/Stable/B

Credit Rating History

Oct. 10, 2001:  B+/B,
Mar. 26, 2001:  BB-/B


Major Rating Factors

Strengths:

    * As Argentina's central securities depository, Caja de
      Valores S.A. performs a key institutional role for the
      local capital and financial markets; and

    * Low-risk operations, a strong financial profile, and
      adequate operating safeguards.

Weaknesses:

    * High level of systemic risk inherent to Argentina

Rationale

Ratings on Caja de Valores S.A., Argentina's central securities
depository, are based on its critical role and good track record
in serving the country's capital markets.  Ratings also factor
in Caja's low-risk operations (as custody, registrar agent, and
paying agent, among others), strong financial profile, and
adequate operating safeguards, which include adequate IT and
proper insurance against frauds or thefts.  They are limited,
however, by the extremely high level of systemic risk in
Argentina, which results in high volatility, causing profits to
be uneven during financial and economic crises.  The
counterparty credit ratings assess Caja's ability and
willingness to satisfy its financial obligations in a timely
manner, including the operational risks that might impair Caja's
business franchise or financial profile.

Caja's primary responsibility is the safekeeping of government
bonds and corporate securities deposited by eligible
participants for the benefit of more than three million
registered investors. The face value of securities under custody
was Argentine pesos 173.11 billion at September 2005.  Almost
all securities held in custody are either immobilized or
dematerialized as of September 2005, with only 0.3% of the total
comprised of physical certificates.  This factor reduces some of
the operating risks embedded in the day-to-day handling of
physical securities and their possible deterioration, and
results in lower operating expenses if combined, as in the case
of Caja, with adequate and timely data-processing capabilities.

In addition, Caja performs several trust bank functions.  It is
paying agent for stock and bond issuers and stock registrar for
listed companies. Caja also provides data-processing services
for its principal shareholders: Mercado de Valores de Buenos
Aires S.A. and Bolsa de Comercio de Buenos Aires (Bolsa), both
unrated entities.  Caja's securities-safekeeping functions are
statutorily separated from Merval's obligation to guarantee the
settlement of securities traded on the Bolsa.  Other of Caja's
various roles include mortgage bills registrar and numbering
agent. In this context, Caja is solely responsible for the
safekeeping and registrar of the securities held under custody,
with Merval's single responsibility being the compensation and
liquidation of the daily operations, acting as Central
Counterparty.

Caja has three lines of defense to protect itself from
operational losses, as:

    * A strong balance sheet characterized by a liquid
      investment portfolio and a solid capital foundation;

    * Insurance coverage for up to $50 million (covering to a
      great extent the operating risks embedded in Caja's
      operations); and

    * Guarantees provided by Caja's shareholders, Bolsa and
      Merval, for up to 150% of subscribed capital.

Profitability is strong, a function of Caja's effective monopoly
in Argentina, though largely dependent on market volumes and the
economic and financial situation of the market participants.  As
a result, Caja posted negative results in 2002, during the
severe economic and financial crisis in Argentina.  In the
aftermath of the crisis and with the sovereign default almost
cured, strong activity levels boosted the recovery of capital
markets in Argentina, with both foreign and local funds entering
into the Buenos Aires Stock Exchange.  In this context,
profitability regained and even surpassed precrisis levels,
considering a higher capitalization level, posting as of Sept.
30, 2005, an average ROA of 2.7% compared to the negative 2.9%
by year-end 2002.  On the other hand, capitalization remains
strong with almost 31% of total capital to assets and an
adequate level of reserves which, as of September 2005, are high
(at ArP31.8 million) and fully available in case of
extraordinary losses that might erode the share capital.

Nevertheless, high systemic risk and the possibility of
sovereign interference with Caja's operations, as well as the
rather unstable legal framework, together constitute Caja's main
weaknesses.

Outlook

The stable outlook incorporates Caja's conservative operating
philosophy, diversity of revenues (based on its different
sources of revenues, such as numbering agent, registrar and
paying agent, custody agent, and trustee, among others), and
strong financial profile, which have proved to be important
buffers against the systemic risks inherent to operating in
Argentina.  Rating upside is limited given the operating
environment in Argentina. Nevertheless, ratings could be
pressured if a direct sovereign intervention impairs Caja's
business or the perception of systemic risks increases.


KOURO S.A.: Trustee Starts Accepting Claims for Verification
------------------------------------------------------------
Kouro S.A.'s trustee, Ms. Edith Regazzoni, will accept claims
from company's creditors until April 23, 2006.  Creditors who
fail to prove their claims before the trustee will be
disqualified from any distribution that the company would make.

Banco Rio de la Plata S.A. successfully sought the bankruptcy of
Kouro S.A. after Court No. 19 of Buenos Aires' civil and
commercial tribunal declared the company bankrupt.

The city's Clerk No. 37 assists the court on the case that will
close with the sale of all of its assets.

Kouro S.A. can be reached at:

         Pasaje La Cautiva 527
         Buenos Aires

Ms. Edith Regazzoni, the trustee, can be reached at:

         Carlos Pellegrini 465
         Buenos Aires


SAPORE DI PANE: Court Approves Concurso Motion
----------------------------------------------
Court No. 7 of Buenos Aires' civil and commercial tribunal
approved a petition for reorganization filed by Sapore di Pane
S.A., according to a report from Argentine daily La Nacion.
Accounting firm Estudio Wainstein, Garodami, Sasuli y Asociados
was appointed as trustee.

The trustee will verify claims from the company's creditors
until April 12, 2006.  After verification period, the trustee
will submit the individual and general reports in court. Dates
for submission of these reports are yet to be disclosed.

The informative assembly will be held on Oct. 4, 2006.
Creditors will vote to ratify the completed settlement plan
during the said assembly.

The city's Clerk No. 13 assists the court on the case.

Sapore di Pane S.A. can be reached at:

         Melian 1810
         Buenos Aires

Estudio Wainstein, Garodami, Sasuli y Asociados, the trustee,
can be reached at:

         Teniente General Juan Domingo Peron 1558
         Buenos Aires


LE PREMIER: Trustee to End Verification Phase After April 6
-----------------------------------------------------------
Mr. Manuel Mansanta -- Le Premier S.A.'s trustee -- will cease
the verification of individual claims of the company's creditors
after April 6, 2006, reports La Nacion.

Le Premier was declared bankrupt after Court No. 23 of Buenos
Aires' civil and commercial tribunal endorsed the petition of
Ms. Estela Jordanoff Quijano for the company's liquidation.
Argentine daily La Nacion reports that Ms. Quijano has claims
totaling $3,500 against the company.

The city's Clerk No. 45 assists the court in resolving this
case.

Le Premier S.A. can be reached at:

         Bolivar 184
         Buenos Aires

Mr. Manuel Mansanta, the trustee, can be reached at:

         Avenida Cordoba 1351
         Buenos Aires


TELEFONICA DE ARGENTINA: Appoints Chacon as Alternate Director
--------------------------------------------------------------
Telefonica de Argentina revealed that the company's board of
directors has accepted the resignation of director Alfredo Mac
Laughlin and has appointed an alternate director, Mr. Jaime
Urquijo Chacon, to take Mr. Laughlin's position.  The new
director was appointed in a meeting held on Feb. 7, 2006.

The company had announced on Dec. 21, 2005, that Mr. Laughlin
had filed his resignation.

On Feb. 3, 2006, the company disclosed that it will proceed to
the final redemption of class 3 fixed rate corporate bonds for
$103,850,868 upon expiration, which is on Feb. 11, 2006.

In addition, the company will proceed to pay interest for
$8,308,069.44 as per the attached notice on interest payment.

The company also released a notice of payment of interest
corresponding to the issue of class 3 fixed rate corporate bonds
for $103,850,868 due on Feb. 11, 2006, made by the company.

Corporate bonds for $103,850,868:

a) Place for payment and payment agent

      Caja de Valores S.A
      25 de Mayo 362
      City of Buenos Aires
      Argentina

   b) Hours for payment: banking hours

   c) Start date of payment:

      Feb. 11, 2006, (or the following business day)

   d) Applicable interest rate:

      8.00% (interest payable $ 8,308,069.44)

   e) Period on which payment is applicable:

      Period starting as of Feb. 11, 2005, and ending at Feb.
      11, 2006.

Headquartered in Buenos Aires, Argentina, Telefonica de
Argentina S.A. -- http://www.telefonica.com.ar/-- provides
telecommunication services which include telephony business both
in Spain and Latin America, mobile communications businesses,
directories and guides businesses, Internet, data and corporate
services, audiovisual production and broadcasting, broadband and
Business-to-Business e-commerce activities.

                        *    *    *

Telefonica's $148,200,000 and $134,644,000 notes due Aug. 1,
2011, carry Standard & Poor's B- rating and Fitch's B rating.


TGS: Posts ARS217.6 Million Net Income for Fiscal Year 2005
-----------------------------------------------------------
Transportadora de Gas del Sur S.A. reported a ARS217.6 million
net income, or ARS0.274 per share, (ARS1.369 per ADS) for the
fiscal year ended Dec. 31, 2005, which includes a non-recurring
gain attributable to deferred income tax for ARS101.4 million.
For the fiscal year ended Dec. 31, 2004, the net income amounted
to ARS147.9 million or ARS0.186 per share (ARS0.931 per ADS).

Net income for the fourth quarter of 2005 was ARS8.5 million or
ARS0.011 per share (ARS0.053 per ADS), which compares to ARS78.7
million or ARS0.099 per share (ARS0.495 per ADS) obtained during
the same quarter of the previous year.  The negative variation
is mainly due to an exchange loss in the 2005 quarter of ARS76.9
million generated by the 4% devaluation in the Argentine Peso
against the US Dollar.

          Year-Ended Dec. 31, 2005, versus 2004

TGS posted in the fiscal year ended Dec. 31, 2005, total net
revenue of ARS1,064.7 million in comparison to ARS994.1 million
earned in the fiscal year 2004.

Natural gas transportation revenue for the fiscal year ended
Dec. 31, 2005 was ARS460.0 million, a 5.9% increase compared to
ARS434.3 million earned in the fiscal year 2004.  This increase
primarily reflects additional firm transportation services
amounting to ARS22.7 million including ARS9.0 million generated
by the San Martin pipeline expansion that became operational in
July and August 2005.  This expansion was financed mostly by the
gas trust created by the Argentine government.  TGS invested
approximately US$33 million in the expansion and collects a
portion of the revenues generated by these new firm
transportation contracts.

Revenues for natural gas transportation services are derived
principally from firm contracts, under which pipeline capacity
is reserved and paid for regardless of actual usage by the
shipper.  TGS also provides interruptible transportation
services subject to available pipeline capacity.  This segment
is subject to regulation by Ente Nacional Regulador del Gas.
Natural gas transportation service represented approximately 43%
and 44% of the company's total revenue for the years ended Dec.
31, 2005, and 2004, respectively.

The Economic Emergency Law passed by the Argentine congress on
Jan. 6, 2002, ended the convertibility monetary regime in
Argentina that lead to the ensuing pesification of regulated
tariffs at an exchange rate of USD1 = ARS1, as well as
prohibited the application of variations in local and
international indexes, or any other type of adjustment thereon.
Since that time, the tariff renegotiation process has been
delayed with no significant progress so far.

The NGL production and commercialization segment revenues
increased to ARS546.3 million in the fiscal year ended Dec. 31,
2005, from ARS506.3 million for the previous fiscal year,
representing a 7.9% increase.  This occurred mainly as a
consequence of increases in international reference prices, the
impact of which was a sales increase of ARS59.2 million.  This
variation was partially offset by lower volume sales -- due to
natural gas scarcity in the first quarter of 2004 --
representing a sales reduction of ARS19.8 million.

NGL Production and Commercialization revenues accounted for
approximately 51% of total revenue for fiscal years 2005 and
2004.  NGL production and commercialization consists of natural
gas processing activities conducted at the Cerri Complex,
located near the city of Bahia Blanca and connected to each of
TGS's main pipelines, where ethane, propane, butane and natural
gasoline are recovered.  This segment also includes the
commercialization of NGL for the company's own account and on
behalf of certain clients.

In the fiscal year ended Dec. 31, 2005, other services revenues
amounted to ARS58.4 million, a 9.2% increase compared to the
fiscal year 2004.  This increase is mainly due to higher
telecommunication services sales of ARS4.2 million.

The other services segment mainly includes midstream and
telecommunication activities and its share in the company's
total revenue was approximately 6% and 5% for the years ended
Dec. 31, 2005, and 2004, respectively.  Midstream activities
consist of gas treatment, separation, and removal of impurities
from the natural gas stream and gas compression, rendered at
wellhead, typically to gas producers.

In addition, TGS provides services related to pipeline and
compression plant construction and related operation and
maintenance services.

Telecommunication services are rendered through Telcosur S.A., a
company controlled by TGS.  Telcosur S.A. provides services as
an independent carrier of carriers to leading telecommunication
operators and corporate customers located in its service area.

Costs of sales and administrative and selling expenses for the
fiscal year ended Dec. 31, 2005, rose by ARS81.3 million,
compared to the fiscal year 2004.  This variation is mostly
attributable to:

   -- ARS30.6 million increase in NGL production costs, due
      basically to increases in the price of natural gas

   -- ARS15.5 million increase in taxes on exports, basically
      due to higher export sales and the rate increase from 5%
      to 20%, effective May 2004

   -- ARS10.1 million rise in labor costs

Net financial expense decreased from the ARS260.9 million
reported for the fiscal year ended Dec. 31, 2004, to ARS209.1
million for 2005.  The positive variation of ARS51.8 million was
principally due to the financial debt restructuring expenses
incurred in 2004 for ARS63.5 million.

In addition, the principal amortizations made in Dec. 2004 and
during 2005 for approximately US$206 million implied a lower
interest accrual of ARS27.7 million in the fiscal year 2005.
Both effects were partially offset by an increase in the average
interest rate, which resulted in a higher interest accrual of
ARS33.3 million in fiscal year 2005.  Although the contractual
interest rate effective in 2005 is almost the same as the one in
2004, the accruing rate in 2005 was higher for accounting
purposes because it incorporated the future step-up interest
rate structure of the current debt agreement.

Other expenses, net decreased by ARS27.6 million in the fiscal
year ended Dec. 31, 2005, when compared to fiscal year 2004.
This variation is mainly attributable to:

   -- Higher provision registered in 2004 of ARS16.1 million,
      regarding a resolution from the Argentine Supreme Court on
      litigation filed by Gas del Estado S.E. -- a company in
      liquidation -- against TGS, related to transferred assets
      upon the privatization of that company; and

   -- Reversal of an allowance of ARS5.6 million due to a
      favorable court ruling in connection with a legal action
      filed by the Argentine Tax Authority against TGS.

For fiscal year 2005, TGS reported ARS12.8 million in income tax
expenses, which represented a ARS2.2 million increase compared
to fiscal year 2004, due to the combination of a higher income
tax provision for ARS15.2 million and a higher reversal in the
tax loss carry-forward allowance of ARS13.0 million, from
ARS88.4 million in 2004 to ARS101.4 million in 2005.

        Fourth Quarter 2005 Vs. Fourth Quarter 2004

Total net revenue for the fourth quarter of 2005 increased 29.9%
to ARS328.4 million from the ARS252.9 million reported in the
same quarter of 2004.

Natural gas transportation revenue for fourth quarter 2005 was
ARS120.9 million, an 11.1% increase compared to the same quarter
of 2004.  This increase is primarily due to the new firm
transportation contracts for a capacity of 2.9 million cubic
meters per day -- 102.4 thousand cubic feet per day -- related
to the San Martin pipeline expansion.

The NGL production and commercialization segment increased
revenues to ARS195.4 million in the fourth quarter of 2005,
representing a 49.2% increase with respect to the fourth quarter
of 2004.  This variation is mainly due to higher export volumes
and to a lesser extent, increases in international reference
prices.

Other services revenues for the fourth quarter of 2005 were
ARS12.1 million, compared to the ARS13.1 million earned in the
same period of 2004.  This reduction is mainly due to lower
midstream services sales, which were ARS1.7 million in the
fourth quarter of 2005.

Costs of sales and administrative and selling expenses were
ARS192.4 million for the fourth quarter of 2005, a 36.3%
increase when compared to the same quarter of 2004.  This
increase is basically attributable to:

   -- ARS18.4 million rise in NGL production costs, principally
      due to greater purchases of raw materials

   -- ARS12.2 million increase in taxes on exports due to the
      higher NGL export sales.

For the fourth quarter 2005, the company reported a net
financial expense amounting to ARS116.6 million compared to
ARS14.4 million in the same 2004 quarter.  The negative
variation of ARS102.2 million was principally due to:

   -- The effect of the Argentine peso devaluation on TGS's
      dollar denominated monetary position in the 2005 quarter
      for ARS88.5 million

   -- Accounting gain of ARS33.1 million registered in 2004 as a
      consequence of the successful closing of the debt
      restructuring process which took place in Dec. 2004.

Other expenses, net decreased from ARS23.0 million in the fourth
quarter of 2004 to ARS2.5 million in the same period of 2005.
This variation is principally due to ARS13.0 million allowance
accounted for in the fourth quarter of 2004 for a turnover tax
claim made by Buenos Aires province on NGL sales billed since
2002.  In addition, in that quarter, TGS registered an accrual
of ARS9.6 million, regarding a resolution by the Argentine
Supreme Court in the litigation filed by GdE.

For the fourth quarter of 2005, the company reported a ARS8.5
million income tax expense, resulting from the provision of
ARS14.9 million, but partially offset by the reversal of a tax
loss carry-forward allowance of ARS6.4 million.  In the same
quarter of 2004, TGS reported a positive charge of ARS4.3
million, explained by the partial reversal of the tax loss
carry-forward for ARS39.5 million, partially offset by the
provision of ARS35.2 million.

           Liquidity and Capital Resources

Cash flow from operating activities for the fiscal year ended
Dec. 31, 2005, amounted to ARS584.7 million.  These funds were
applied as:

   -- ARS166.1 million to investment activities
   -- ARS241.5 million to financing activities
   -- The remainder to increase TGS's cash position.  Currently,
      TGS relies on cash generated from operations as its
      primary source of financing for future activities.

TGS, with a current firm contracted capacity of approximately
71.4 MMm3/d or 2.5 Bcf/d, is Argentina's leading transporter of
natural gas.  TGS's controlling shareholder is Compania de
Inversiones de Energia S.A., which holds approximately 55.3% of
the company's common stock.

                        *    *    *

As reported by Troubled Company Reporter on April 1, 2005,
Standard & Poor's Ratings Services changed its ratings on TGS
S.A.'s US$201.14 million and US$89.00 million Inter-American
Development Bank bonds to 'B-' from 'CCC+'.


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


FOSTER WHEELER: Gets Two Boilers for Cleco's Power Station
----------------------------------------------------------
Foster Wheeler, Ltd., announced Wednesday that a U.S. subsidiary
within its Global Power Group has been awarded a contract for
the design and supply of two circulating fluidized-bed boilers
by a subsidiary of The Shaw Group, Inc., the owner's
engineering, procurement, and construction contractor.

The contract, valued at approximately $180 million, calls for
Foster Wheeler to provide Cleco Power LLC, a subsidiary of
Cleco, Corp., with two 330 megawatt CFB boilers to be used at
the company's proposed solid-fuel generating unit planned at its
existing Rodemacher Power Station.  The two boilers are designed
to use multiple fuels and will provide steam to a single 660 MW
reheat turbine.  The award will be included in Foster Wheeler's
first-quarter 2006 bookings.

"This new power plant project is the largest investment Cleco
has ever made and this award underscores our client's confidence
in our proven CFB technology," said Bernard H. Cherry, chief
executive officer of Foster Wheeler Global Power Group.  "This
new plant will be one of the cleanest solid-fuel plants of its
kind and will give Cleco the flexibility to burn a variety of
cheaper solid fuels and significantly reduce its consumption of
expensive natural gas.  This is another example of Foster
Wheeler's commitment to supply cost-effective twenty-first
century solutions to help our clients in power industries meet
their business objectives."

"Current projections of natural gas prices show this proposed
unit has the potential to save customers more than $4 billion
over 30 years," said Mike Madison, president and CEO of Cleco
Corporation.

Foster Wheeler's scope of services includes design and supply of
the state-of-the-art CFB boilers, selective non-catalytic
reduction systems, and air quality control systems.  The
advanced boilers will burn solid fuel cleanly while meeting
stringent emissions requirements.  Construction of the boilers
is expected to begin in the spring of 2006, with commercial
operation scheduled for July 2009.

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

At Sept. 30, 2005, Foster Wheeler's balance sheet showed a
$375,004,000 equity deficit.

                        *    *    *

On Feb. 7, 2006, Standard & Poor's Ratings Services revised its
outlook on Foster Wheeler Ltd. to stable from negative.  At the
same time, Standard & Poor's affirmed its 'B-' corporate credit
rating and 'CCC+' senior secured debt rating on the Clinton, New
Jersey-based engineering and construction company.  Standard &
Poor's estimates that as of 2005 year-end, Foster Wheeler had
approximately $315 million of total debt outstanding.


GLOBAL CROSSING: Inks Converged IP Services Pact with Telstra
-------------------------------------------------------------
Global Crossing (Nasdaq: GLBC) announced a new agreement with
Telstra Incorporated (NYSE: TLS).  By leveraging Global
Crossing's Fast-Track(TM) services, Telstra can immediately
commercialize its offer to enterprises in critical markets in
the Americas, bypassing expensive and time-consuming network
build-outs.

"Telstra's confidence in Global Crossing clearly demonstrates
the exceptional value and revenue realization opportunities our
Global Partner Program delivers," said Ted Higase, Global
Crossing's executive vice president, worldwide carrier services.
"We're confident they'll leverage our global capabilities,
dedicated sales teams and state-of-the-art services to their
best advantage."

Designed for service providers targeting enterprise customers
with globally available, scalable and secure solutions, Global
Crossing's Fast-Track portfolio enables global partners to
differentiate themselves and compete more effectively.

"Telstra has enjoyed a longstanding relationship with Global
Crossing in the U.S. and Latin America, and we look forward to
expanding that relationship to other regions of the world," said
Andrew Morawski, Telstra Incorporated's senior vice president,
sales and marketing. "Our success depends on providing customers
with seamless, end-to-end services, and this partnership
highlights our ongoing focus on serving customers effectively
and transparently, anywhere they do business."

Global Crossing's Fast-Track services, provided to partners
through its Global Partners Program, is a portfolio of
enterprise focused business solutions which enables service
providers to increase their speed to market and revenue
realization by expanding their geographic reach, broadening
their range of converged IP service offerings, and providing a
unified experience to customers around the world.

Global partners utilizing Fast-Track leverage a range of support
services to quickly drive customer acquisition and maximize
revenues, including dedicated account executives, solutions
engineers, and service and delivery managers who manage business
opportunities with their partners as a single team.

Global Crossing's Intelligent Front Office delivers advanced
e-bonding capabilities for its customers and partners, meeting
their changing business needs with greater operational ease,
flexibility and transparency, and simplifying geographic
expansion and service delivery.

A recognized industry leader and innovator, Global Crossing
received Capacity's 2005 "Best Global Wholesale Provider" award
for its outstanding customer service, network availability and
suite of services.

The company's multi-gigabit fiber optic network recently
supported the world record in international visualization, a
19.5 Gbps stream between Amsterdam, the Netherlands, and San
Diego, California, carrying a single application showing actual
scientific content.

Drew Kelton, managing director, Telstra Global Business, added,
"We're confident that this relationship will bloom into a highly
strategic arrangement over time. We already have inter-connects
with Global Crossing and the GPP provides us with a massive
opportunity to collaborate and provide even greater added value
services to our customers."

               About Telstra Incorporated

Telstra Incorporated -- http://www.telstra-usa.com-- is the
U.S. subsidiary of the Australian-based Tier 1 global carrier,
Telstra Corporation Limited.  Telstra Corporation Limited (NYSE:
TLS) is Australia's domestic and global full service
telecommunications provider and the operator of one of the most
diversely routed IP backbone networks in the Asia Pacific
region.  Telstra owns one of the most technologically advanced
global networks, offering an extensive portfolio of state-of-
the-art solutions to global customers including voice, mobile,
broadband, IP, MPLS and managed services.  Telstra provides
innovative solutions to 200 of the world's top 500 companies in
the Asia Pacific, Latin America, North America and Europe.

                 About Global Crossing

Headquartered in Florham Park, New Jersey, Global Crossing
Ltd. -- http://www.globalcrossing.com/-- provides
telecommunications solutions over the world's first integrated
global IP-based network, which reaches 27 countries and more
than 200 major cities around the globe.  Global Crossing serves
many of the world's largest corporations, providing a full range
of managed data and voice products and services.  The Company
filed for chapter 11 protection on January 28, 2002 (Bankr.
S.D.N.Y. Case No. 02-40188).  When the Debtors filed for
protection from their creditors, they listed $25,511,000,000 in
total assets and $15,467,000,000 in total debts.  Global
Crossing emerged from chapter 11 on December 9, 2003.

As of Sept. 30, 2005, Global Crossing's balance sheet reflects a
$139 million equity deficit compared to $51 million of positive
equity at Dec. 31, 2004.


GREEN HILL: Deadline for Submission of Claims Set for Feb. 22
-------------------------------------------------------------
Mr. Robin J. Mayor, the liquidator of Green Hill Investments
Limited, will stop validating the forwarded claims of the
company's creditors on Feb. 22, 2006.  Creditors must therefore
send their full names, addresses descriptions, the full
particulars of their debts or claims, and the names and
addresses of their lawyers (if any) to Mr. Mayor.  The
liquidator may require the creditors to prove their claims
personally or through their lawyers.

Creditors whose claims are not verified will be excluded from
any distribution that the company would make.

A final general meeting has also been set for March 20, 2006, at
9:30 a.m., at the offices of Messrs. Conyers Dill & Pearman,
Clarendon House, Church Street, Hamilton, Bermuda, 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.

Green Hill Investments Limited entered voluntary liquidation on
Feb. 3, 2006.

Mr. Robin J. Mayor, the liquidator, may be reached at:

         Clarendon House
         Church Street, Hamilton
         Bermuda


SEFTON PARK: Creditors Required to Prove Claims by March 3
----------------------------------------------------------
Sefton Park Insurance Limited's creditors are required to
present proofs of claim to the company's liquidator on or before
March 3, 2006.  Creditors must send their full names, addresses,
descriptions and full particulars of their debts or claims to
the liquidator by the said date.  The liquidator may require the
creditors to prove their claims personally or by their
attorneys.

A final dividend is intended to be declared.  Creditors who do
not file proofs of debt will be excluded from this dividend.

Creditors who are uncertain whether they have already filed a
proof of claim or not, or creditors who have any questions as to
the procedure, may contact James Makin at Tel. No. +1 441 294
2652, or e-mail him at jmakin1@kpmg.bm.  Mr. James Makin may
also be reached at the liquidator's address.

Sefton Park Insurance Limited started liquidating assets when
the Supreme Court on Bermuda ordered the company's wind up on
July 5, 2002.

Malcolm Butterfield, the liquidator, may be reached at:

         c/o KPMG Financial Advisory Services Limited
         Crown House, 4 Par-la-Ville Road
         Hamilton HM 08, Bermuda


SGR HOLDINGS: Creditors Have until February 27 to Prove Claims
--------------------------------------------------------------
Creditors of SGR Holdings Ltd., a company under liquidation,
have until Feb. 27, 2006, to prove their claims to Mr. Douglas
H. Pullen -- the company's liquidator -- or be disqualified from
any distribution or payment that the company would make.

Creditors must send their names, addresses and the particulars
of their debts or claims to the liquidator, and if so required
by the liquidator, the creditors may prove their debts or claims
at the time and place specified by the liquidator.

A final general meeting will be held at Sofia House, 1st Floor,
48 Church Street, Hamilton, Bermuda on March 13, 2006, at 10:00
a.m.  Accounts on liquidation will be presented during the
meeting.  The manner in which the winding-up has been conducted
and the property the company disposed shall be disclosed.  It
will also be decided during the meeting the manner in which the
books, accounts and documents of the company and of the
liquidator shall be disposed.

SGR Holdings Ltd. voluntarily wound up operations on Feb. 6,
2006.

Mr. Douglas H. Pullen, the liquidator, can be reached at:

         Sofia House, 1st Floor
         48 Church Street, Hamilton
         Bermuda


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


BRASKEM: Discloses Fin. Results for 2005 & Quarter Ended Dec. 31
----------------------------------------------------------------
Braskem S.A.(NYSE: BAK) (BOVESPA: BRKM5) (LATIBEX: XBRK),
announced its fourth quarter 2005 and 2005 results.

The financial highlights include:

    * In 2005, Braskem's production of thermoplastic resins (PE,
      PP and PVC) increased by 8% compared to 2004, as the
      Company maintained high production capacity utilization
      rates.

    * Total thermoplastic resin sales volumes increased by 8% in
      2005. This increase was driven by exports, as the volumes
      sold by the Company in the domestic market remained flat
      due to the slow pace of growth in the Brazilian economy.

    * Braskem achieved record results in the export market in
      2005, reaching US$959 million, up by 35% over the US$710
      million recorded in 2004.  This is evidence of Braskem's
      strategic flexibility between the domestic and export
      markets.

    * When expressed in U.S. dollars, Braskem's net revenue in
      2005 increased by 26%, reaching US$4.8 billion. Braskem's
      net revenue increased by 5% when expressed in Brazilian
      Reais, reaching R$11.6 billion.

    * In mid-September 2005 the price of naphtha, Braskem's
      principal raw material, reached US$600 per ton, its
      highest historical price.  The average ARA (Amsterdam -
      Rotterdam - Antwerp) price of naphtha in 2005 was US$476
      per ton.  This represented a 26% increase compared to
      2004, when the average price was US$378 per ton.

    * Braskem's EBITDA in 2005 totaled US$851 million, a 2%
      decrease compared to 2004 due to a scenario in which
      naphtha was 30% more expensive in U.S dollars.

    * When expressed in U.S. dollars, Braskem's net debt
      decreased by 17%, from US$1.5 billion on December 31,
      2004, to US$1.2 billion on December 31, 2005.  Braskem's
      level of financial leverage, measured by the Net Debt/
      EBITDA ratio, decreased by 11%, from 1.52x on December 31,
      2004, to 1.36x on December 31, 2005.

    * Braskem's net income reached R$677 million in 2005.

    * Braskem invested a total of R$717 million in 2005, a 92%
      increase compared to the R$374 million invested in 2004.

Braskem -- http://www.braskem.com.br/-- is a thermoplastic
resins producer in Latin American, and is among the three
largest Brazilian-owned private industrial companies.  The
company operates 13 manufacturing plants located throughout
Brazil, and has an annual production capacity of 5.8 million
tons of resins and other petrochemical products.

                        *    *    *

On Oct. 17, 2005, Fitch Ratings revised the Rating Outlook of
the `BB-' long-term foreign currency rating of Braskem S.A. and
Braskem International Ltd. to Positive from Stable.

The action followed the recent change in the Rating Outlook to
Positive from Stable of the 'BB-' foreign currency rating of the
Federative Republic of Brazil. The Brazilian corporate foreign
currency ratings continue to be linked to the 'BB-' foreign
currency rating of the sovereign.


EMBRATEL: Inks Telecommunications Service Pact with Net Servicos
----------------------------------------------------------------
Net Servicos de Comunicacao S.A. (Nasdaq: NETC) (Bovespa: NETC4
NETC3) (Latibex: XNET), a Pay-TV multi-service operator in Latin
America and a provider of bi-directional broadband InterNet
access, informs that as announced in the Relevant Notice dated
November 22, 2005, NET and Empresa Brasileira de
Telecomunicacoes S.A. aka Embratel, entered into a
telecommunications service agreement.  During the implementation
process the companies evolved to a partnership model that
includes the sharing of operating results with the objective of
providing triple play (video, broadband and voice) service for
potential clients that are covered by NET's bidirectional
Network, optimizing synergies.

This development is consistent with NET's initial strategy, as
it will offer triple play without increasing the company's
investments in infrastructure installed at the consumers'
residence for voice service.  NET will also manage the
operation, which should strengthen its video and broadband
businesses.  Embratel maintains its growth strategy in the local
telephony residential market using NET's bi-directional Network,
and sales and customer service expertise for that market
segment.  As a result, at this date, the companies celebrated a
Memorandum of Understanding that outlines the new business model
for delivery of this service.

This MOU was prepared envisioning the new service offering,
joining Embratel's expertise in rendering voice service and
NET's expertise in the residential market it operates.  NET will
be responsible for the sales, installation, call center and
customer relationship.  Embratel, will provide
telecommunications infrastructure investment.

This partnership between NET and Embratel confirms NET's
commitment of connecting customers through its cable Network,
offering an integrated portfolio of high-quality services.

Headquartered in Sao Paulo, Brazil, NET Servicos de Comunicacao
-- http://Nettv.globo.com/NETServ/br/home/indexNet.jsp?id=1--
is the largest subscriber TV multi-operator in Brazil, as it
operates the NET brand in major cities, including operations in
the 4 largest cities: Sao Paulo, Rio de Janeiro, Belo Horizonte
and Porto Alegre.

NET offers also Broadband InterNet services through its NET
VIRTUA brand name.

                        *    *    *

As reported by Troubled Company Reporter on Nov. 15, 2005,
Moody's Investors Service placed on Friday NET Servicos de
Comunicacoes S.A's global local currency corporate family rating
of B3 on review for possible upgrade.

Headquartered in Rio de Janeiro, Brazil, Embratel S.A., is the
incumbent long-distance service provider in Brazil and offers a
wide array of advanced communications services over its own
Network.

                        *    *    *

On Nov. 15, 2005, Moody's Investors Service placed the debt
ratings of Empresa Brasileira de Telecomunicacoes S.A. on review
for possible upgrade.  The review followed Embratel's
overall improved capital structure following a capital increase
earlier this year of approximately BRL 1.8 billion to repay
existing debt.  Additionally, the rating review for possible
upgrade recognized Telefonos de Mexico S.A. de C.V.'s, rated A2,
increased ownership of 72.3% of Embratel following the recently
announced organizational restructuring of Telmex's operations in
Brazil.

Ratings placed under review were:

   -- US$180 million senior unsecured global bonds due in 2008:
      B1 (Foreign Currency)

   -- Global Local Currency Issuer Rating -- B1

   -- Brazilian National Scale Issuer Rating -- Baa1.br

Embratel's holding company, Embratel Participacoes, will
purchase 100% of Telmex do Brasil and 37.1% of Net Servicos de
Comunicacao S.A. through issuance of 230.5 billion Embrapar
ordinary shares to Telefonos de Mexico, S.A. de C.V.


GERDAU SA: Subsidiary Discloses 2005 Financial Results
---------------------------------------------------
Gerdau Ameristeel Corporation (NYSE: GNA; TSX: GNA.TO) reported
net income of $295.5 million, or $0.97 per share fully diluted,
on net sales of $3.9 billion for the full year ended
Dec. 31, 2005, compared to a net income of $337.7 million, or
$1.45 per share fully diluted, on net sales of $3.0 billion for
the full year ended Dec. 31, 2004.

For the December quarter of 2005, Gerdau Ameristeel reported net
income of $80.4 million, or $0.26 per share fully diluted, on
net sales of $934.2 million, compared to a net income of $66.4
million, or $0.23 per share fully diluted, on net sales of
$849.2 million for the same quarter last year.  EBITDA for the
December quarter of 2005 was $157.3 million and $620.9 million
for the full year ended December 31, 2005, compared to EBITDA
for the December quarter of last year of $130.9 million and
$527.3 million for the full year ended December 31, 2004.

Included in the 2004 results was the recognition of certain net
operating losses related to the U.S. operations that resulted in
a $48.6 million reduction of tax expense.  This provided a
contribution to earnings of $0.21 per diluted share for the
year ended December 31, 2004.

On May 26, 2005, Gerdau Ameristeel ceased operations at its
Beaumont, Texas mill in order to encourage the resolution of a
new labor agreement.  Direct fixed costs associated with the
labor disruption for the three months and year ended
Dec. 31, 2005, are approximately $4 million and $14 million,
respectively.  A final contract has not been concluded with the
union representatives, but on Dec. 12, 2005, the mill started to
resume normal operations.

On Oct. 31, 2005, the Company amended its Senior Secured Credit
Facility, increasing the Facility from $350 million to $650
million, extending the term to October 31, 2010 and lowering
interest rates.

On February 7, 2006, the Board of Directors approved a quarterly
cash dividend of $0.02 (two US$ cents) per common share, payable
March 9, 2006 to shareholders of record at the close of business
on February 22, 2006.  In addition to the regular quarterly
dividend, the Board of Directors also approved a special
dividend of $0.22 per share on the same payment and record date.

On November 1, 2004, Gerdau Ameristeel completed the acquisition
of four long steel product minimills and four downstream
facilities, which are referred to as North Star Steel, from
Cargill Incorporated.  Consistent with purchase accounting
requirements, the finished steel inventories were written
up to market value.  $24.0 million of the write-up was charged
to cost of goods sold in the December 2004 quarter and the
remaining $4.5 million of the write-up was charged to cost of
goods sold in the first quarter of 2005.

When comparing the 2005 results of the Company to 2004, it
should be noted that the quarter and twelve months ended
December 31, 2005 include the results of the acquired minimills
and downstream facilities and the comparative 2004 results only
include the North Star Steel operations subsequent to the
acquisition date.

The following table summarizes Gerdau Ameristeel's results for
the fourth quarter of 2005 compared to the results for the
fourth quarter of 2004.  All financial results are presented in
accordance with United States generally accepted accounting
principles.


                                                     For the Quarter Ended
                                                  ---------------------------
                                                   December 31,  December
31,
                                                   ------------  ------------
                                                       2005          2004
                                                       ----          ----
    Income Statement ($000's except EPS)
    ----------------
      Net sales                                   $    934,243  $    849,244
      Operating income                                 104,747        74,320
      Net income                                        80,392        66,412
      EBITDA                                           157,300       130,853
      EPS - Basic                                 $       0.26  $       0.23
      EPS - Diluted                               $       0.26  $       0.23
      Average shares outstanding (000's) (note 1)      304,427       284,079


                                                   December 31,  December
31,
                                                   ------------  ------------
                                                       2005          2004
                                                       ----          ----
    Balance Sheet ($000's except share price)
    -------------
      Cash and cash equivalents                   $    414,259  $     88,132
      Working capital                                  701,320       767,447
      Total debt                                       530,345       523,977
      Book value                                     1,584,019     1,364,764
      Market capitalization                          1,717,219     2,055,230
      Share price (note 2)                        $       5.64  $       6.76

    Notes:
           (1)  On April 16, 2004, shares outstanding increased by
                26,800,000 shares as the Company sold and issued common
                shares to its majority shareholder, Gerdau S.A. On
                October 15, 2004, the Company issued 70,000,000 common
shares
                including 35,000,000 that were sold and issued to its
                majority shareholder, Gerdau S.A., and on November 18, the
                over-allotment option was exercised for 8,762,000 common
                shares of which Gerdau S.A. purchased 4,381,000.
           (2)  Share price is the closing price on the New York Stock
                Exchange on December 31, 2005, and December 31, 2004,
                respectively.

Excluding joint ventures, the Company shipped 1.5 million tons
of finished steel in the three months ended December 31, 2005,
an increase of 14.1% over the fourth quarter of 2004. Average
mill prices decreased $9 per ton, or 1.7%, compared to the
fourth quarter in 2004. Scrap raw material costs decreased $30
per ton, or 13.9%, compared to the fourth quarter of 2004.
Metal spread, the difference between mill selling prices and
scrap raw material cost, increased $21 per ton, or 6.2%,
compared to the fourth quarter last year.  Mill manufacturing
costs were $249 per ton in the fourth quarter of 2005 compared
to $241 per ton in the fourth quarter of 2004 reflecting higher
energy and other raw material prices and the stronger Canadian
dollar.  Fabricated steel prices increased $30 per ton compared
to the fourth quarter of the prior year.

The following table summarizes Gerdau Ameristeel's results for
the year ended December 31, 2005, compared to the results for
the year ended December 31, 2004.  All financial results are
presented in accordance with United States GAAP.

                                                      For the Quarter Ended
                                                  ---------------------------
                                                   December 31,  December
31,
                                                   ------------  ------------
                                                       2005          2004
                                                       ----          ----
    Income Statement ($000's except EPS)
    ----------------
      Net sales                                   $  3,897,143  $  3,009,854
      Operating income                                 400,505       373,276
      Net income                                       295,497       337,669
      EBITDA                                           620,922       527,267
      EPS - Basic                                 $       0.97  $       1.46
      EPS - Diluted                               $       0.97  $       1.45
      Average shares outstanding (000's) (note 1)      304,277       232,048

Excluding joint ventures, the Company shipped 6.3 million tons
of finished steel for the year ended December 31, 2005, an
increase of 21.4% over the prior year.  Average mill prices
increased $32 per ton, or 6.4%, compared to the year ended
December 31, 2004. Scrap raw material costs decreased $11 per
ton, or 5.8%, compared to the year ended December 31, 2004.
Metal spread, the difference between mill selling prices and
scrap raw material cost, increased $43 per ton, or 14.1%,
compared to the previous year.  Mill manufacturing costs were
$239 per ton for the year ended December 31, 2005, compared to
$211 per ton for the same period in the prior year.  Fabricated
steel prices increased $104 per ton compared to the year ended
December 31, 2004.

                   Joint Venture Results
          (50% Share Owned by Gerdau Ameristeel)

The following table summarizes the results of the Company's 50%
owned joint ventures, primarily Gallatin Steel, a flat rolled
mill joint venture with Dofasco Inc.

                           Three Months Ended              Year Ended
                       December 31,  December 31,  December 31,  December
31,
                           2005          2004          2005          2004
                      ------------- ------------- ------------- -------------

    Tons Shipped           202,859       187,136       764,379       757,509
    Operating Income
     ($ 000)                23,125        39,600        91,091       141,765
    Net Income ($ 000)      23,054        41,145        91,201       141,474
    EBITDA ($ 000)          27,607        42,410       102,694       151,839

                          $/Ton         $/Ton         $/Ton          $/Ton
                         -------       -------       -------        -------

    Average Selling
     Price                  543.49        690.06        549.48        588.92
    Scrap Charged           232.25        223.43        241.64        194.06
                           --------      --------      --------      --------
    Metal Spread            311.24        466.63        307.84        394.86

    Operating Income        114.00        211.61        119.17        187.15
    EBITDA                  136.09        226.63        134.35        200.45


Gallatin contributed operating income of $23.1 million in the
fourth quarter of 2005, lower than the excellent results of
$39.6 million reported in the fourth quarter of 2004.  The
decline in operating income was primarily the result of
significantly lower average selling prices, although shipments
and production for the quarter were very strong.

For the three months ended December 31, 2005, Gerdau
Ameristeel's consolidated operating income was $104.7 million
and the operating income of the joint ventures was $23.1
million. Based on 1.7 million tons of finished steel shipped,
the composite operating income was $77 per ton for the fourth
quarter of 2005. For the three months ended December 31, 2004,
Gerdau Ameristeel's consolidated operating income was $74.3
million and the operating income of the joint ventures was $39.6
million.  Based on 1.5 million tons of finished steel shipped,
the composite operating income was $78 per ton for the fourth
quarter of 2004.

For the year ended December 31, 2005, Gerdau Ameristeel's
consolidated operating income was $400.5 million and the
operating income of the joint ventures was $91.1 million. Based
on 7.1 million tons of finished steel shipped, the composite
operating income was $70 per ton for the year ended December 31,
2005.  For the year ended December 31, 2004, Gerdau Ameristeel's
consolidated operating income was $373.3 million and the
operating income of the joint ventures was $141.8 million.
Based on 5.9 million tons of finished steel shipped, the
composite operating income was $87 per ton for the year ended
December 31, 2004.

Mario Longhi, President and CEO of Gerdau Ameristeel, commented:

   "The overall supply and demand picture for our steel products
    appears reasonably well balanced as we enter 2006, and we
    expect to see our normal seasonal strengthening of demand as
    we approach springtime. This should help support good metal
    spreads. Importantly, our fabricated rebar backlog is
    strong in terms of price and volume, and our Gallatin joint
    venture is fully booked through most of the first quarter.
    Even with the challenges that our Company and the industry
    face, we believe our organization is fully prepared to
    optimize this favorable environment through relentless
    execution of our core values and business strategies. One
    key focus is to continue building on the significant mill
    productivity gains we achieved in 2005. With our investments
    in capital improvements (including a budgeted amount of
    $200-$230 million in 2006), we expect to continue enhancing
    productivity gains and are excited about the prospects for
    the operating side of our business in 2006. Overall we see
    the potential to build off of our solid 2005 results,
    although we still recognize that we work in a cyclical and
    changing sector with limited forward visibility. With safety
    at the forefront, we endeavor to maintain an exceptional
    human resource base, an unparalleled operating and technical
    knowledge platform, and a strong balance sheet with the
    flexibility to benefit from a wide range of potential
    economic scenarios."

The Company's method of calculating EBITDA may differ from
the methods used by other companies and, accordingly, it may not
be comparable to similarly titled measures used by other
companies.  Reconciliation of EBITDA to net income:

        For the Three Months Ended
        December 31, 2005         December 31, 2004

                                                  For the Three Months Ended
                                                  ---------------------------
                                                   December 31,  December
31,
                                                       2005          2004
                                                  ---------------------------
    ($000s)
      Net income                                  $     80,392  $     66,412
      Income tax expense                                35,348        36,589
      Interest and other expense on debt                11,730        10,863
      Depreciation and amortization                     27,884        22,709
      Earnings from joint ventures                     (23,054)
(41,145)
      Cash distribution from joint ventures             25,000        35,425
                                                  ------------- -------------
      EBITDA                                      $    157,300  $    130,853
                                                  ------------- -------------
                                                  ------------- -------------



                                                       For the Year Ended
                                                  ---------------------------
                                                   December 31,  December
31,
                                                       2005          2004
                                                  ---------------------------
    ($000s)
      Net income                                  $    295,497  $    337,669
      Income tax expense                               144,687       110,077
      Interest and other expense on debt                50,420        56,330
      Depreciation and amortization                    105,691        81,862
      Earnings from joint ventures                     (91,201)
(141,474)
      Cash distribution from joint ventures            115,828        82,803
                                                  ------------- -------------
      EBITDA                                      $    620,922  $    527,267
                                                  ------------- -------------
                                                  ------------- -------------



    Supplemental Operating And Financial Information

            The Information In This Table Excludes Joint Ventures

                                     For the Three Months Ended
                            December 31, 2005           December 31, 2004
                      --------------------------- ---------------------------

    Production             Tons                        Tons
                      -------------               -------------
      Melt Shops         1,483,578                   1,458,274
      Rolling Mills      1,486,464                   1,388,816

    Finished Steel
     Shipments             Tons           %            Tons           %
                      ------------- ------------- ------------- -------------
      Rebar                329,136       22.7          284,016       22.3
      Merchant/Special
       Sections            723,749       49.8          600,084       47.1
      Rod                  152,115       10.5          196,968       15.5
      Fabricated Steel     247,114       17.0          192,030       15.1
                      -------------    -------    -------------    -------
        Total Shipments  1,452,114      100.0        1,273,098      100.0


    Selling Prices          $/Ton                       $/Ton
                      -------------               -------------
      Mill external
       shipments            541.94                      551.08
      Fabricated steel
       shipments            723.70                      694.14

    Scrap Charged           185.54                      215.50

    Metal Spread (selling
     price less scrap)
      Mill external
       shipments            356.40                      335.58
      Fabricated steel
       shipments            538.16                      478.64

    Mill manufacturing
     cost                   248.50                      240.75


    Operating Income         72.13                       58.38

    EBITDA                  108.32                      102.78



    Supplemental Operating And Financial Information

            The Information In This Table Excludes Joint Ventures

                                           For the Year Ended
                            December 31, 2005           December 31, 2004
                      --------------------------- ---------------------------

    Production             Tons                        Tons
                      -------------               -------------
      Melt Shops         6,124,075                   5,550,625
      Rolling Mills      6,016,155                   5,245,360

    Finished Steel
     Shipments             Tons           %            Tons           %
                      ------------- ------------- ------------- -------------
      Rebar              1,473,216       23.4        1,322,826       25.5
      Merchant/Special
       Sections          3,054,154       48.6        2,312,704       44.7
      Rod                  702,970       11.2          786,662       15.2
      Fabricated Steel   1,057,133       16.8          755,818       14.6
                      -------------    -------    -------------    -------
      Total Shipments    6,287,473      100.0        5,178,010      100.0


    Selling Prices          $/Ton                       $/Ton
                      -------------               -------------
      Mill external
       shipments            523.44                      491.77
      Fabricated steel
       shipments            705.42                      601.07

    Scrap Charged           178.28                      189.34

    Metal Spread (selling
     price less scrap)
      Mill external
       shipments            345.16                      302.43
      Fabricated
       steel shipments      527.14                      411.73

    Mill manufacturing
     cost                   239.38                      210.62


    Operating Income         63.70                       72.09

    EBITDA                   98.76                      101.83



    GERDAU AMERISTEEL CORPORATION AND SUBSIDIARIES
    CONSOLIDATED BALANCE SHEETS
    ($ in thousands)

                                                   December 31,  December
31,
                                                       2005          2004
                                                  ------------- -------------

    ASSETS
    Current Assets
      Cash and cash equivalents                   $    414,259  $     88,132
      Restricted cash and cash equivalents                 473           465
      Accounts receivable, net                         344,758       360,379
      Inventories                                      745,165       853,155
      Deferred tax assets                               23,212         8,754
      Other current assets                              23,236        31,698
                                                  ------------- -------------
        Total Current Assets                         1,551,103     1,342,583

    Investments                                        153,439       177,795
    Property, Plant and Equipment                      955,601       919,862
    Goodwill                                           122,716       122,716
    Deferred Financing Costs                            14,451        13,616
    Deferred Tax Assets                                 23,424         8,234
    Other Assets                                         8,717         7,725
                                                  ------------- -------------

    TOTAL ASSETS                                  $  2,829,451  $  2,592,531
                                                  ------------- -------------
                                                  ------------- -------------

    LIABILITIES AND SHAREHOLDERS' EQUITY

    Current Liabilities
      Accounts payable                            $    285,019  $    295,001
      Accrued salaries, wages and employee
       benefits                                         66,744        59,318
      Accrued interest                                  21,003        21,071
      Other current liabilities                         61,271        54,715
      Acquisition liability                                  -        51,790
      Current portion of long-term borrowings            1,014         4,644
                                                  ------------- -------------
        Total Current Liabilities                      435,051       486,539

    Long-term Borrowings, Less Current Portion         432,737       432,823
    Convertible Debentures                              96,594        86,510
    Accrued Benefit Obligations                        147,167       114,792
    Other Liabilities                                   65,246        68,325
    Deferred Tax Liabilities                            68,637        38,778
                                                  ------------- -------------
    TOTAL LIABILITIES                                1,245,432     1,227,767
                                                  ------------- -------------

    Shareholders' Equity
      Capital stock                                  1,010,341     1,008,511
      Retained earnings                                540,415       311,853
      Accumulated other comprehensive income            33,263        44,400
                                                  ------------- -------------
    TOTAL SHAREHOLDERS' EQUITY                       1,584,019     1,364,764
                                                  ------------- -------------

    TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY    $  2,829,451  $  2,592,531
                                                  ------------- -------------
                                                  ------------- -------------


    GERDAU AMERISTEEL CORPORATION AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF EARNINGS
    ($ in thousands, except earnings per share data)


                           Three Months Ended              Year Ended
                       December 31,  December 31,  December 31,  December
31,
                           2005          2004          2005          2004
                      ------------- ------------- ------------- -------------

    NET SALES         $    934,243  $    849,244  $  3,897,143  $  3,009,854

    OPERATING EXPENSES
      Cost of sales        765,190       714,959     3,253,865     2,450,945
      Selling and
       administrative       32,783        38,840       125,558       109,384
      Depreciation          27,167        22,034       103,035        79,311
      Other operating
       expense (income)      4,356          (909)       14,180
(3,062)
                      ------------- ------------- ------------- -------------
                           829,496       774,924     3,496,638     2,636,578
                      ------------- ------------- ------------- -------------

    INCOME FROM
     OPERATIONS            104,747        74,320       400,505       373,276

    EARNINGS FROM
     JOINT VENTURES         23,054        41,145        91,201       141,474
                      ------------- ------------- ------------- -------------

    INCOME BEFORE
     OTHER EXPENSES
     AND INCOME TAXES      127,801       115,465       491,706       514,750

    OTHER EXPENSES
      Interest, net         11,730        10,863        50,420        56,330
      Foreign exchange
       (gain) loss            (386)          926        (1,554)        8,123
      Amortization of
       deferred financing
       costs                   717           675         2,656         2,551
                      ------------- ------------- ------------- -------------
                            12,061        12,464        51,522        67,004
                      ------------- ------------- ------------- -------------

    INCOME BEFORE
     INCOME TAXES          115,740       103,001       440,184       447,746

    INCOME TAX EXPENSE      35,348        36,589       144,687       110,077
                      ------------- ------------- ------------- -------------

    NET INCOME        $     80,392  $     66,412  $    295,497  $    337,669
                      ------------- ------------- ------------- -------------
                      ------------- ------------- ------------- -------------

    EARNINGS PER
     COMMON SHARE
     - BASIC          $       0.26  $       0.23  $       0.97  $       1.46
    EARNINGS PER
     COMMON SHARE
     - DILUTED        $       0.26  $       0.23  $       0.97  $       1.45



    GERDAU AMERISTEEL CORPORATION AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    ($ in thousands)

                                                           Year Ended
                                                   December 31,  December
31,
                                                       2005          2004
                                                  ---------------------------
    OPERATING ACTIVITIES
    Net income                                    $    295,497  $    337,669
    Adjustment to reconcile net income to
     net cash provided by operating activities:
      Depreciation                                     103,035        79,311
      Amortization                                       2,656         2,551
      Deferred income taxes                             17,256         7,463
      Loss on disposition of property, plant
       and equipment                                     3,328             -
      Income from joint ventures                       (91,201)
(141,474)
      Distributions from joint ventures                115,828        82,803

    Changes in operating assets and liabilities,
     net of acquisitions:
      Accounts receivable                               18,898
(13,355)
      Inventories                                      113,056
(278,679)
      Other assets                                      (1,284)
(9,531)
      Liabilities                                        1,337        58,222
                                                  ------------- -------------

    NET CASH PROVIDED BY OPERATING ACTIVITIES          578,406       124,980

    INVESTING ACTIVITIES
      Additions to property, plant and equipment      (135,864)
(82,149)
      Proceeds received from disposition of
       property, plant and equipment                     6,444
      Acquisitions                                     (49,654)
(298,422)
      Sales of short-term investments                  140,950        60,051
      Purchases of short-term investments             (140,950)
(60,051)
                                                  ------------- -------------

    NET CASH USED IN INVESTING ACTIVITIES             (179,074)
(380,571)

    FINANCING ACTIVITIES
      Proceeds from issuance of new debt                     -        25,000
      Payments on term loans                            (4,392)
(25,664)
      Senior Secured Credit Facility borrowings              -        82,788
      Senior Secured Credit Facility payments                -
(212,754)
      Additions to deferred financing costs             (3,441)            -
      Cash dividends                                   (66,935)            -
      Changes in restricted cash                            (8)
(465)
      Proceeds from issuance of employee stock
       option purchases                                  1,830           707
      Proceeds from the issuance of common stock             -       460,203
                                                  ------------- -------------

    NET CASH USED IN FINANCING ACTIVITIES              (72,946)      329,815
                                                  ------------- -------------

    Effect of exchange rate changes on cash and
     cash equivalents                                     (259)        3,958
                                                  ------------- -------------

    INCREASE IN CASH AND CASH EQUIVALENTS              326,127        78,182

    CASH AND CASH EQUIVALENTS AT BEGINNING
     OF PERIOD                                          88,132         9,950
                                                  ------------- -------------

    CASH AND CASH EQUIVALENTS AT END OF PERIOD    $    414,259  $     88,132
                                                  ------------- -------------
                                                  ------------- -------------

Gerdau Ameristeel, 67% owned by Gerdau SA, is the second-largest
minimill steel producer in North America with total annual
manufacturing capacity of 8.4 million tons of mill finished
steel product.

On March 1, 2005, Standard & Poor's Ratings Services revised its
outlook on Gerdau Ameristeel Corp. to positive from stable.  At
the same time, Standard & Poor's affirmed its 'BB-' corporate
credit rating on the company.

Headquartered in Porto Alegre, Brazil, Gerdau S.A. --
http://www.gerdau.com.br-- produces and distributes crude
steel and related long rolled products, drawn products, and long
specialty products.

Gerdau SA's $600 million 8-7/8% perpetual bond is rated Ba1 by
Moody's, BB+ by S&P, and BB- by Fitch.


JBS S.A.: Moody's Assigns B1 Rating to US$75 Million Euro Notes
---------------------------------------------------------------
Moody's Investors Service assigned a B1 foreign currency rating
to JBS S.A.'s aka Friboi proposed issuance of an additional
US$75 million of senior unsecured Euro notes due in 2011 to the
US$200 million senior unsecured notes recently issued.  The new
notes will be subject to the exact same terms and conditions as
the US$200 million Euro notes that we rated on January 16th,
2006, and will be jointly and unconditionally guaranteed by
Friboi Ltda., Agropecuaria Friboi Ltda., J&F Participacoes
Ltda., and JBS Agropecuaria Ltda.  Concurrently, Moody's
affirmed Friboi's B1 global local currency scale corporate
family rating. The rating outlook is stable.

The proceeds of the new notes will be exclusively used to
refinance existing short-term debt so that absolute debt level
will not increase as a result of this transaction.

Please refer to our January 16th, 2006 press-release for further
analysis of Friboi's global local currency corporate family
rating.

Headquartered in Sao Paulo, Brazil, Grupo Friboi is the fourth
largest beef company in the world in terms of live cattle
slaughtering capacity and the largest beef processor and
exporter in Brazil and Latin America, as measured by revenues.
With operations in Brazil and Argentina, Grupo Friboi produces,
prepares, packages and delivers fresh, chilled and processed
beef and beef by-products to customers both in Brazil and
abroad. Grupo Friboi also manufactures and sells hygiene and
cleaning products.  During fiscal year 2004, the company
processed approximately 14,400 heads of cattle daily and had net
sales of BRL 3.3 billion (ca. US$1.5 billion) with approximately
44% originated from geographically diversified exports.


NET SERVICOS: Inks Telecommunications Service Pact with Embratel
----------------------------------------------------------------
Net Servicos de Comunicacao S.A. (Nasdaq: NETC) (Bovespa: NETC4
NETC3) (Latibex: XNET), a Pay-TV multi-service operator in Latin
America and a  provider of bi-directional broadband InterNet
access, informs that as announced in the Relevant Notice dated
November 22, 2005, NET and Embratel, entered into a
telecommunications service agreement.  During the implementation
process the companies evolved to a partnership model that
includes the sharing of operating results with the objective of
providing triple play (video, broadband and voice) service for
potential clients that are covered by NET's bidirectional
Network, optimizing synergies.

This development is consistent with NET's initial strategy, as
it will offer triple play without increasing the company's
investments in infrastructure installed at the consumers'
residence for voice service.  NET will also manage the
operation, which should strengthen its video and broadband
businesses.  Embratel maintains its growth strategy in the local
telephony residential market using NET's bi-directional Network,
and sales and customer service expertise for that market
segment.  As a result, at this date, the companies celebrated a
Memorandum of Understanding that outlines the new business model
for delivery of this service.

This MOU was prepared envisioning the new service offering,
joining Embratel's expertise in rendering voice service and
NET's expertise in the residential market it operates.  NET will
be responsible for the sales, installation, call center and
customer relationship.  Embratel, will provide
telecommunications infrastructure investment.

This partnership between NET and Embratel confirms NET's
commitment of connecting customers through its cable Network,
offering an integrated portfolio of high-quality services.

Headquartered in Sao Paulo, Brazil, NET Servicos de Comunicacao
-- http://Nettv.globo.com/NETServ/br/home/indexNet.jsp?id=1--
is the largest subscriber TV multi-operator in Brazil, as it
operates the NET brand in major cities, including operations in
the 4 largest cities: Sao Paulo, Rio de Janeiro, Belo Horizonte
and Porto Alegre.

NET offers also Broadband InterNet services through its NET
VIRTUA brand name.

                        *    *    *

As reported by Troubled Company Reporter on Nov. 15, 2005,
Moody's Investors Service placed on Friday NET Servicos de
Comunicacoes S.A's global local currency corporate family rating
of B3 on review for possible upgrade.

Headquartered in Rio de Janeiro, Brazil, Embratel S.A., is the
incumbent long-distance service provider in Brazil and offers a
wide array of advanced communications services over its own
Network.

                        *    *    *

On Nov. 15, 2005, Moody's Investors Service placed the debt
ratings of Empresa Brasileira de Telecomunicacoes S.A. on review
for possible upgrade.  The review followed Embratel's
overall improved capital structure following a capital increase
earlier this year of approximately BRL 1.8 billion to repay
existing debt.  Additionally, the rating review for possible
upgrade recognized Telefonos de Mexico S.A. de C.V.'s, rated A2,
increased ownership of 72.3% of Embratel following the recently
announced organizational restructuring of Telmex's operations in
Brazil.

Ratings placed under review were:

   -- US$180 million senior unsecured global bonds due in 2008:
      B1 (Foreign Currency)

   -- Global Local Currency Issuer Rating -- B1

   -- Brazilian National Scale Issuer Rating -- Baa1.br

Embratel's holding company, Embratel Participacoes, will
purchase 100% of Telmex do Brasil and 37.1% of Net Servicos de
Comunicacao S.A. through issuance of 230.5 billion Embrapar
ordinary shares to Telefonos de Mexico, S.A. de C.V.


===========================
C A Y M A N   I S L A N D S
===========================

OCM EMERGING: Presents Accounts on Liquidation on February 24
-------------------------------------------------------------
The accounts on the liquidation of OCM Emerging Markets (Cayman)
Fund II, Ltd., will be presented on Feb. 24, 2006, at 10:00
a.m., during a final general meeting that will be held at the
offices of Deloitte, Fourth Floor, Citrus Grove, P.O. Box 1787,
George Town, Grand Cayman.  The liquidators will retain the
records of the company for a period of five years from the
dissolution of the company.  After the said period, the records
may be destroyed.

Any person who is entitled to attend and vote at this meeting
may appoint a proxy to attend and vote in his stead.  A proxy
need not be a member or creditor.

Mr. Stuart Sybersma, the joint voluntary liquidator, can be
reached at:

         P.O. Box 1787 GT
         Grand Cayman, Cayman Islands

         Joshua Taylor, Deloitte
         Telephone: (345) 949-7500
         Facsimile: (345) 949-8258


PCC HOLDINGS: Creditors Have Until February 15 to Submit Claims
---------------------------------------------------------------
PCC Holdings Limited's creditors have until Feb. 15, 2006, to
submit their claims to liquidators Jacky Chung Wing Muk and
Edward Middleton.  Creditors must establish any title they may
have under the Companies Law 2004 Revision or be excluded from
the benefit of receiving any distribution or payment that the
company would make.

PCC Holdings Limited entered voluntary wind up on Dec. 30, 2005.

Jacky Chung Wing Muk and Edward Middleton, the liquidators, can
be reached at:

         KPMG
         8th Floor, Prince's Building
         10 Chater Road, Central, Hong Kong

         Anita Mow / Christy Wong
         Telephone: 852 3121 9824 / 852 3121 9888
         Ext 645
         Facsimile: 852 2869 7357


PINSTRIPE I: Creditors to Prove Claims until February 24
--------------------------------------------------------
Creditors of Pinstripe I CDO, Ltd., are given until Feb. 24,
2006, to prove their claims against the company.  Creditors must
therefore submit full particulars of their debts or claims to
the joint liquidators -- Chris Watler and Emile Small -- by the
said date.  Creditors who fail to have their claims verified by
the liquidators will be excluded from receiving any distribution
or payment that the company would make.

Pinstripe I CDO, Ltd., entered voluntary liquidation on Jan. 9,
2006.

Mr. Chris Watler and Mr. Emile Small, the joint voluntary
liquidators, can be reached at:

         Maples Finance Limited
         P.O. Box 1093GT
         Grand Cayman, Cayman Islands


=====================
E L   S A L V A D O R
=====================


MILLICOM INTERNATIONAL: Exceeds Nine Million Subscribers
--------------------------------------------------------
Millicom International Cellular S.A., one of the world's leading
cellular operators in emerging markets, announced Wednesday that
in January it exceeded nine million subscribers across its 16
operations.

Marc Beuls, Millicom President and Chief Executive Officer said,
"Subscriber growth for Millicom's operations has been strong
during 2005 and 2006 has started well.  The key drivers have
been the roll out of GSM services in all 16 of our markets,
substantially increased capex and the launch of the Tigo brand
in Latin America in 2005 and in Africa starting in 2006.  We are
continuing to invest heavily in extra capacity and coverage,
which gives us a competitive advantage in each market.  The
prospects for Millicom's markets are particularly exciting as
mobile penetration levels currently lag behind the penetration
rates in the more developed countries in each region, but good
economic growth in our countries of operation means that this
gap is closing rapidly."

Millicom International Cellular S.A. is a global
telecommunications investor with cellular operations in Asia,
Latin America and Africa.  It currently has cellular operations
and licenses in 16 countries.  The Group's cellular operations
have a combined population under license of approximately 391
million people.

Millicom has assets amounting to US$1,522,900,000 and
liabilities reaching US$1,608,200,000.

                        *    *    *

As reported by Troubled Company Reporter on Jan. 24, 2006,
Standard & Poor's Ratings Services placed its 'B+' long-term
corporate credit rating and 'B-' senior unsecured debt ratings
on telecommunications operator Millicom International Cellular
S.A. on CreditWatch with developing implications.


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


AIR JAMAICA: Incurs US$136 Million in Losses for 2005
-----------------------------------------------------
The Caribbean Business Report said that Air Jamaica incurred
losses of US$136 million in 2005.  The airline's chairman OK
Melhado had predicted losses of J$8 billion for the year.

The airline was privatized in 1994 with Gordon "Butch" Stewart
taking control and revitalizing the airline through marketing
efforts and adding new routes, the Caribbean Business relates.
Control was returned to the government in 2004.

Last year, the airline experienced various difficulties, among
which:

   -- a maintenance issue which resulted in many of its aircraft
      having to be grounded;

   -- pilots' salaries and pensions issues; and

   -- reliability problems and escalating oil prices.

As a result of its difficulties, the airline decided to cut its
fleet of aircraft from 20 to 16 and trimmed a number of routes.

                        *    *    *

Air Jamaica's $200 million 9-3/8% notes due July 18, 2015,
carries Moody's B1 rating and Standard & Poor's B rating.


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


BANK OF AMERICA: S&P Affirms Ratings on Mexican Mutual Funds
------------------------------------------------------------
Standard & Poor's Rating Services has affirmed its ratings on
eight mutual funds sold by Bank of America (NYSE: BAC) to the
Mexican asset management unit of Spain's Grupo Santander (NYSE:
STD).

Bank of America announced in October it had agreed to sell its
Mexican asset management business, which has about US$1.8
billion under management and 2,500 clients, to Grupo Santander
for an undisclosed amount.

Bank of America inherited wealth management and mutual fund
operations in Mexico through the acquisition of FleetBoston
Financial in 2003.

                        *    *    *

On Dec. 29, 2005, Fitch rated Bank of America's RESI
transactions:

   Series 2004-A

     -- Class B-3 affirmed at 'A';
     -- Class B-4 affirmed at 'A-';
     -- Class B-5 affirmed at 'BBB+';
     -- Class B-6 affirmed at 'BBB-';
     -- Class B-7 affirmed at 'BB';
     -- Class B-8 affirmed at 'BB-';
     -- Class B-9 affirmed at 'B+';
     -- Class B-10 affirmed at 'B';
     -- Class B-11 affirmed at 'B-'.

   Series 2004-B

     -- Class B-3 affirmed at 'A';
     -- Class B-4 affirmed at 'A-';
     -- Class B-5 affirmed at 'BBB';
     -- Class B-6 affirmed at 'BBB-';
     -- Class B-7 affirmed at 'BB';
     -- Class B-8 affirmed at 'BB-';
     -- Class B-9 affirmed at 'B+';
     -- Class B-10 affirmed at 'B';
     -- Class B-11 affirmed at 'B-'.

   Series 2004-C

     -- Class B-3 affirmed at 'A';
     -- Class B-4 affirmed at 'A';
     -- Class B-5 affirmed at 'BBB';
     -- Class B-6 affirmed at 'BBB';
     -- Class B-7 affirmed at 'BB';
     -- Class B-8 affirmed at 'BB-';
     -- Class B-9 affirmed at 'B+';
     -- Class B-10 affirmed at 'B';
     -- Class B-11 affirmed at 'B-'.


MEXICO: Offering Government Bonds to U.S. Investors
---------------------------------------------------
Jane Kim, writing for the Wall Street Journal, reports that
beginning February 13, the Mexican government will be offering
investment-grade bonds, approximately $1.5 billion, to retail
investors in the United States.

The bonds will be sold under a program called InterNotes, run by
Chicago investment bank Incapital LLC, in $1,000 denominations.
Investors will be able to buy the bonds through most major
brokerage firms, Ms. Kim states.

Tom Ricketts, Incapital's president and chief executive, told
the Journal that the bonds' yields are expected to be comparable
with U.S. corporate bonds with similar credit ratings and pay
0.75% to 1% above Treasury's.  The bonds, Mr. Ricketts said, are
likely to be offered in short-term maturities, ranging from two
to five years.

"Debt management in the current administration of President Fox
has been one of the top priorities," says Gerardo Rodriguez,
Mexico's deputy undersecretary for public credit.  The program
is part of Mexico's plans to diversify its investor base and
reduce its borrowing costs.

The Journal relates that the country's public-debt management
strategies have helped increase the government's debt rating.
In March 2002, for example, Standard & Poor's raised Mexico's
sovereign-debt rating to investment grade from noninvestment
grade and raised it another notch to triple-B in January 2005.


MEXICO: S&P Affirms mxBB+ National Scale Rating, Stable Outlook
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its
'mxBB+' national scale rating on the State of Mexico, United
Mexican States.  The outlook remains stable.

According to Standard & Poor's credit analyst Patricia Calvo,
while the rating reflects the state's adequate level of
modifiable revenue (in the Mexican context) and improved
management policies, it also takes into account the state's
limited flexibility, heavy debt burden, and lower-than-average
per capita gross state product.

"Although the State of Mexico's economy is the second largest in
the country, its GSP per capita only represented 60.4% of the
national average, ranking it 22nd out of 31 states and the
Federal District," Ms. Calvo said.

"The state's economy is relatively diversified and is based upon
the manufacturing, commerce, and services sectors. However, the
manufacturing sector has deteriorated over the last several
years," she added.

Standard & Poor's said that the State of Mexico's debt burden is
the second highest among Mexican states and cities.  Total tax-
supported debt (includes direct and guaranteed debt) reached
88.5% of discretionary revenue budgeted for 2005 by September.

"Debt service has been historically high, reaching 26.3% of
discretionary revenue in 2004 (the year in which the state
refinanced the majority of its debt)," Ms. Calvo explained.
"However, debt service has been decreasing, reaching about 17%
of discretionary revenue in September 2005, and is expected to
stabilize at this level."

Management policies have improved, and include the disclosure of
financial reports, third-party audits conducted by an
internationally recognized firm (since the state issued its bond
backed by the payroll tax in 2002), and periodical actuarial
reports.  In addition, debt issuance is expected to be moderate
given the debt limit covenants under its December 2004
refinancing plan.  The implementation of cost-containment
measures and the increase in revenue, particularly from federal
transfers, has improved the state's budgetary performance since
1999-from an operating balance that was a negative 9.9% of
operating revenue in that year to one that was a positive
6.4% in 2004.

"The stable outlook reflects Standard & Poor's expectation that
the state's strict cost-containment policy and successful debt
refinancing should allow it to maintain a balanced budget," Ms.
Calvo noted.  "A reduction in debt levels (with total debt of
less than 70% of discretionary revenue), as well as a proven
commitment to control operating expenditure growth, could have a
positive impact on the rating.  Conversely, a deterioration of
the state's fiscal flexibility and budgetary performance (with
recurring operating deficits), and failure to reverse its weak
liquidity trend could pressure the rating," she concluded.


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


GUILLERMO NADAL: Case Summary & 13 Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: Guillermo Nadal Rocafort Ortega
        Grupo Medico Y Dental San Pablo CSP
        P.O. Box 367064
        San Juan, Puerto Rico 00936-7064

Bankruptcy Case No.: 06-00296

Type of Business: The Debtor is a dentist in public and private
                  practice since 1993.

Chapter 11 Petition Date: February 6, 2006

Court: District of Puerto Rico (Old San Juan)

Debtor's Counsel: Francisco R. Moya Huff, Esq.
                  Banco Popular Building, Suite 401
                  San Juan, Puerto Rico 00901-1802
                  Tel: (787) 723-0941

Total Assets: $365,291

Total Debts:  $621,901

Debtor's 13 Largest Unsecured Creditors:

   Entity                                   Claim Amount
   ------                                   ------------
US Department of Education                      $279,129
P.O. Box 530260
Atlanta, GA 30353

San Pablo Physicians Group                       $20,000
c/o Stella Caballero
URB. Santa Cruz B-7
Bayamon, PR 00697

Banco Popular de Puerto Rico                     $15,000
Cuenta de Negocios
P.O. Box 362708
San Juan, PR 00936

Money Express                                     $8,634

MBNA America                                      $6,640

Internal Revenue Services                         $5,971

Banco Bilbao Vizcaya                              $5,271

Caribbean American Life Assurance                 $4,999

Sears Roebuck                                     $2,889

Internal Revenue Services                         $2,229

Stemar Dental Inc.                                $1,818

Henry Schein                                        $730

JC Penney                                           $647


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


PDVSA: Exxon Pulled from Petrochemical Project with Pequiven
------------------------------------------------------------
The Associated Press reports that the Venezuelan government has
pulled the plug on Exxon Mobil Corp.'s participation in a
multibillion-dollar petrochemicals project.

Exxon Mobil planned to team up with Pequiven, the petrochemicals
division of state oil firm PDVSA, to spend a combined $3 billion
on a project to produce 1 million metric tons a year of ethylene
and derivatives, the AP relates.

Venezuela has removed Exxon Mobil from the project as a result
of wider differences with President Hugo Chavez's nationalist
oil policies, the AP states.  Exxon resisted tax increases and
contract changes.  In 2004, Exxon Mobil was the only company to
publicly speak against a royalty increase on extra-heavy oil
production in the Orinoco river basin.  The oil company even
threatened international arbitration.

Exxon Mobil was also alone in resisting contract changes for 32
privately run oil fields that will now be dominated by PDVSA
under new joint-venture companies.  Exxon Mobil sold its stake
in one of the fields to avoid accepting the unfavorable terms.

"On Jan. 20, Pequiven informed Exxon Mobil Chemical that
Pequiven would not be able to complete Jose Petrochemical
Project feasibility study under the terms and conditions agreed
in August 2004," Exxon Mobil said in a prepared statement on
Tuesday.  "We have regretfully accepted Pequiven's decision and
hope to continue our relationship."

"In January we decided to revoke the agreement for failing to
comply with the timetables, and we called back our people who
were negotiating in Houston," Pequiven President Saul Ameliach
Ameliach said.  Mr. Ameliach has accused Exxon of delaying
development of the domestic petrochemicals industry.

Exxon Mobil Corporation operates as a petroleum and
petrochemicals company.  It primarily engages in the
exploration, production, and sale of crude oil and natural gas;
and manufacture, transportation, and sale of petroleum products.

PDVSA is Venezuela's state oil company in charge of the
development of the petroleum, petrochemical and coal industry,
as well as planning, coordinating, supervising and controlling
the operational activities of its divisions, both in Venezuela
and abroad.

                        *    *    *

On Jan. 23, 2005, Fitch Ratings upgraded the local and
foreign currency ratings of Petroleos de Venezuela S.A. aka
PDVSA to 'BB-' from 'B+'.  The rating of PDVSA's export
receivable future flow securitization, PDVSA Finance Ltd, was
also upgraded to 'BB+' from 'BB'.  In addition, Fitch has
assigned PDVSA a 'AAA(ven)' national scale rating.  The Rating
Outlook is Stable.  Both rating actions follow Fitch's November
2005 upgrade of Venezuela's sovereign rating.


PDVSA: S&P Places Low B Ratings on CreditWatch Developing
---------------------------------------------------------
Standard & Poor's Ratings Services today placed its 'B+'
corporate credit rating for Petroleos de Venezuela S.A. on
CreditWatch with developing implications.

The rating action follows the upgrade of the long-term sovereign
credit rating on the Bolivarian Republic of Venezuela to 'BB-'
from 'B+'.  The CreditWatch Developing means that a rating may
be raised, lowered, or affirmed.

"In addition to our ongoing concerns regarding PDVSA's ability
to finance both sustaining capital expenditures and growth
initiatives, the CreditWatch listing reflects the absence of
timely financial and operating information for PDVSA," said
Standard & Poor's credit analyst Jose Coballasi.

"Standard & Poor's expects to resolve PDVSA's CreditWatch
listing in the next couple of months upon a full review of the
issuer's operating & financial prospects."

Through its subsidiaries, PDVSA is engaged in the exploration
and production of crude oil and natural gas (upstream) and the
refining, marketing, and distribution of crude oil, refined
products, and petrochemicals.


                            ***********


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

Troubled Company Reporter - Latin America is a daily newsletter
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