TCRLA_Public/060818.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, August 18, 2006, Vol. 7, Issue 164

                          Headlines

A R G E N T I N A

BALLY TECHNOLOGIES: S&P Holds B Corp. Credit Rating on WatchNeg
CONURBANO SALUD: Trustee Verifies Proofs of Claim Until Oct. 11
EMPRESA DE PINTURAS: Enters Bankruptcy on Court Orders
FARMACIA PANACEA: Claims Verification Deadline Is on Oct. 16
MIKAN SRL: Verification of Proofs of Claim Is Until Oct. 4

NETCOM ARGENTINA: Asks for Court Approval to Reorganize Business
ORIGINAL METAL: Claims Verification Deadline Moved to Sept. 29
PRODUCCIONES DEL SIGLO: Claims Verification Ends on Sept. 27

B A H A M A S

COMPLETE RETREATS: Wants Interim Compensation Procedures Set
COMPLETE RETREATS: Christopher Stevens Wants US$750,000 Returned
PINNACLE: Extends Pres. Casinos' Notes Tender Offer to Aug. 23

B E R M U D A

REFCO INC: Chapter 7 Trustee Can Assume CBOT Lease

B R A Z I L

AGCO CORP: Moody's Holds B1 Senior Subordinated Notes' Rating
BANCO NACIONAL: Posts BRL3.3-Bil. Profit in First Semester 2006
GERDAU: Acominas Gets BRL345M Loan to Expand Liquid Steel Output
XERIUM TECHNOLOGIES: Earns US$11.1 Mil. for 2006 Second Quarter

* BRAZIL: IDB Approves US$1.2 Mil. Technical Cooperation Program

C A Y M A N   I S L A N D S

ARCLIGHT LTD: Proofs of Claim Must be Filed by Sept. 8
CHINA ENTERPRISE: Creditors Must Submit Claims by Sept. 8
CI CAPITAL: Creditors Have Until Sept. 8 to File Proofs of Claim
DEUTSCHE INT'L: Schedules Final Shareholders Meeting on Sept. 7
GLOBAL PRECIOUS: Will Hold Final Shareholders Meeting on Sept. 7

GOLDSEA LTD: Deadline for Proofs of Claim Filing Is on Sept. 8
GREENPEACE INC: Deadline for Proofs of Claim Filing Is Sept. 8
HUTCHISON WHAMPOA: Filing of Proofs of Claim Is Until Sept. 8
LEATHER HOLDINGS: Proofs of Claim Filing Deadline Is on Sept. 8
RUBICON ASIA MASTER: Final Shareholders Meeting Is on Sept. 7

RUBICON ASIA OFFSHORE: Last Shareholders Meeting Is on Sept. 7
SEVERN (CAPITAL): Final Shareholders Meeting Is Set for Sept. 7
SEVERN (MASTER): Holding Final Shareholders Meeting on Sept. 7
SPECIALTY EQUITY: Creditors Must File Proofs of Claim by Sept. 8
SPECIALTY IIP: Last Day to File Proofs of Claim Is on Sept. 8

C O L O M B I A

BANCO DEL CAFE: Fogafin Postpones Second Phase of Tender Process

* BOGOTA: Fitch Revises BB Rating Outlook to Positive

E C U A D O R

CARROL'S CORP: Moody's Puts Caa1 Rating on US$180-Million Notes
PETROECUADOR: Approves US$22-Million Budget for Block 15

H A I T I

DYNCORP INT: Posts US$617,000 Net Loss in 2007 First Fiscal Qtr.

H O N D U R A S

EMPRESA NACIONAL: Needs US$200 Million to Upgrade Equipment
EMPRESA NACIONAL: World Bank to Disclose Ways to Build Up Firm

* HONDURAS: 46 Firms to Build Hotels in Bahia de Tela Area
* HONDURAS: World Bank to Publish Four-Year Economic Plan

J A M A I C A

KAISER ALUMINUM: 9 Directors Acquire Shares of KAC Common Stock
KAISER ALUMINUM: Inks New Long-Term Agreement With Boeing
NATIONAL COMMERCIAL: Will Proceed with 81B King Street Auction

M E X I C O

AMERICAN AXLE: S&P Rates New US$50 Mil. Senior Term Loan at BB
ARROW ELECTRONICS: Earns US$92.8 Million in 2006 Second Quarter
BALLY TOTAL: Revises Potential Growth Indication for 2006
BURGER KING: Earns US$27 Million for Year Ended June 30, 2005
CABLEMAS SA: Secures 13 Fixed Telephony Concessions from SCT

GRUPO IUSACELL: To Execute Convenio Concursal With Creditors
GRUPO MEXICO: Subsidiary Concludes Studies on Tia Maria Project
HERBALIFE LTD: Second Quarter Net Income Increases to US$36 Mil.
MINERA MEXICO: Moody's Ups Guaranteed Sr. Notes Rating to Baa3
SATELITES MEXICANOS: Court Closes Section 304 Proceeding

SATELITES MEXICANOS: Gets Interim Access to Cash Collateral
SONIC CORP: Moody's Rates Proposed US$775 Mil. Sr. Loan at Ba3
VISTEON CORP: Closes US$675 Million Five-Year Credit Facilities
VISTEON CORP: Earns US$50 Million in Second Quarter 2006

N I C A R A G U A

* NICARAGUA: Will Find Ways to Alleviate Energy Crisis

P A N A M A

CHIQUITA BRANDS: Facing Antitrust Suits Filed by Banana Buyers
CHIQUITA BRANDS: Reduces Banana Purchases by 30% This Week
SOLO CUP: Appoints Robert Korzenski as Chief Executive Officer
SOLO CUP: Delays Filing of Form 10-Q for Second Quarter 2006
SOLO CUP: Moody's Reviews Ratings for Possible Downgrade

P A R A G U A Y

PARMALAT: Bankr. Court OKs Pact Allowing Citibank to Pursue Suit

P E R U

DEL MONTE: S&P Rates US$100 Mil. Add-On to Term Loan at BB
PRIDE INTERNATIONAL: Fitch Upgrades Issuer Default Rating to BB

P U E R T O   R I C O

ADELPHIA: Gets Court OK to Ink Coudersport & Bucktail Settlement
ADELPHIA COMMS: Wachovia Pays US$1.25M of US$460-Mil. Settlement
DORAL FINANCIAL: Names Glen Wakeman as Chief Executive Officer
NBTY INC: Reports Third Quarter Results of US$0.43 Per Share
NBTY INC: To Acquire Zila Nutraceuticals for US$40 Mil. in Cash

UNO RESTAURANT: S&P Lowers Corp. Credit Rating to CCC+ from B-

T R I N I D A D   &   T O B A G O

MIRANT CORP: Court Approves US$520-Million Settlement with PEPCO
MIRANT CORP: Excluded Debtors Have Until Dec. 5 to File Plan
ROYAL CARIBBEAN: Projected Profits Lowered on Passenger Decline

V E N E Z U E L A

CITGO PETROLEUM: S&P Says Stake Sale Is Unfavorable for Credit
PARMALAT GROUP: Board Reviews 1st Half 2006 Preliminary Results
PETROLEOS DE VENEZUELA: Raising Hydrocarbons Supply to Jamaica

* VENEZUELA: Bolivian Trade Institute Notes Zero Cuban Export


                          - - - - -    


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


BALLY TECHNOLOGIES: S&P Holds B Corp. Credit Rating on WatchNeg
---------------------------------------------------------------
Standard & Poor's Ratings Services held its ratings on Bally
Technologies Inc., including the 'B' corporate credit rating, on
CreditWatch with negative implications.

Ratings were initially placed on CreditWatch Sept. 9, 2005,
following the company's announcement that it had not completed
its accounting and financial reporting process for the fiscal
year ended June 30, 2005, due to several transactions that came
under review from a revenue recognition perspective.  The
company's 10-K was subsequently filed on Dec. 31, 2005.

The company announced that it has completed its review of
certain transactions that affect the timing of revenue
recognition during 2003 to 2005 and has concluded that these
years should be restated.  As a result, Bally expects to file
the restated financial statements for fiscal years 2003, 2004,
and 2005 with the SEC during September 2006.

The company expects to file its 10-Qs for the periods ended
Sept. 30, 2005, Dec. 31, 2005, and March 31, 2006, approximately
30 to 60 days after the fiscal year restated financials are
filed.  Bally does not expect to file its 10-K by the
Sept. 13, 2006, deadline and now targets filing in November
2006.

Management stated that it met its 2006 revenue-growth target,
but did not achieve its profitability objectives due to lower
gross margins on game sales related to introductory pricing and
manufacturing costs, as well as high legal and accounting costs.

"In resolving the CreditWatch listing, we will continue to
evaluate the accounting and financial reporting issues and their
potential impact on Bally's financial position," said Standard &
Poor's credit analyst Peggy Hwan Hebard.

"Thus far, we have lowered the corporate credit rating by two
notches since the initial CreditWatch placement."

Rating implications continue to vary considerably depending on
the outcome of Standard & Poor's review, with possibilities from
an affirmation to a multiple-notch downgrade.

Bally Technologies South American operations is located in
Argentina.


CONURBANO SALUD: Trustee Verifies Proofs of Claim Until Oct. 11
---------------------------------------------------------------
Gabriel J. Chorin, the court-appointed trustee for Conurbano
Salud S.R.L.'s bankruptcy proceeding, verifies creditors' proofs
of claim until Oct. 11, 2006.

Under Argentine Bankruptcy Law, Mr. Chorin is required to
present the validated claims in court as individual reports.
Court No. 8 in Buenos Aires will determine if the verified
claims are admissible, taking into account the trustee's opinion
and the objections and challenges raised by Conurbano Salud and
its creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

Mr. Chorin will also submit a general report that contains an
audit of Conurbano Salud's accounting and banking records.

Court No. 8 declared the company bankrupt at the behest of
Alejandra Marcela Diaz, whom it owes US$4000.

Clerk No. 16 assists the court in the case.

The debtor can be reached at:

    Conurbano Salud S.R.L.
    Montiel 5104
    Buenos Aires, Argentina

The trustee can be reached at:

    Gabriel J. Chorin
    Esmeralda 114/30
    Buenos Aires, Argentina


EMPRESA DE PINTURAS: Enters Bankruptcy on Court Orders
------------------------------------------------------
Empresa de Pinturas Bustos S.A. enters bankruptcy protection
after a court in Santa Fe ordered the company's liquidation.  
The order transfers control of the company's assets to a court-
appointed trustee who will supervise the liquidation
proceedings.  The name of the trustee has not been disclosed.

Under Argentine Bankruptcy law, the trustee will:

   -- verify creditors' proofs of claim;

   -- prepare and present individual and general reports in  
      court after the claims are verified; and

   -- administer Drogueria Daleth's assets under court
      supervision and take part in their disposal to the extent
      established by law.

After the verification of claims, the court will determine if
the verified claims are admissible, taking into account the
trustee's opinion and the objections and challenges raised by
Empresa de Pinturas and its creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

The debtor can be reached at:

    Empresa de Pinturas Bustos S.A.
    San Lorenzo 4796
    Santa Fe, Argentina


FARMACIA PANACEA: Claims Verification Deadline Is on Oct. 16
------------------------------------------------------------
Court-appointed trustee Gonzalo Cueva verifies creditors' proofs
of claim against bankrupt company Farmacia Panacea Norte S.A.
until Oct. 16, 2006.

Under Argentine Bankruptcy Law, Mr. Cueva is required to present
the validated claims in court as individual reports.  Court
No. 1 in Buenos Aires will determine if the verified claims are
admissible, taking into account the trustee's opinion and the
objections and challenges raised by Farmacia Panacea and its
creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

Mr. Cueva will also submit a general report that contains an
audit of Farmacia Panacea's accounting and banking records.

Court No. 1 declared Farmacia Panacea bankrupt at the request of
the owners' consortium of Avenida Cabildo 414/6, which it owes
US$71,271.85.

Clerk No. 1 assists the court in the proceeding.

The debtor can be reached at:

    Farmacia Panacea Norte S.A.
    Olleros 2411
    Buenos Aires, Argentina

The trustee can be reached at:

    Gonzalo Cueva
    Terrero 1752
    Buenos Aires, Argentina


MIKAN SRL: Verification of Proofs of Claim Is Until Oct. 4
----------------------------------------------------------
Court-appointed trustee Gloria Clara Kremer verifies creditors'
proofs of claim against bankrupt company Mikan S.R.L. until
Oct. 11, 2006.

Under Argentine Bankruptcy Law, Ms. Kremer is required to
present the validated claims in court as individual reports.  
Court No. 8 in Buenos Aires will determine if the verified
claims are admissible, taking into account the trustee's opinion
and the objections and challenges raised by Mikan and its
creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

Ms. Kremer will also submit a general report that contains an
audit of Mikan's accounting and banking records.

Court No. 8 declared the company bankrupt at the behest of
Andrea Vazquez, whom it owes US$8,244.67.

Clerk No. 16 assists the court in the case.

The debtor can be reached at:

    Mikan S.R.L.
    Avenida Corrientes 1660
    Buenos Aires, Argentina

The trustee can be reached at:

    Gloria Clara Kremer
    Lavalle 1672
    Buenos Aires, Argentina


NETCOM ARGENTINA: Asks for Court Approval to Reorganize Business
----------------------------------------------------------------
Court No. 14 in Buenos Aires is studying the merits of Netcom
Argentina S.R.L.'s petition to reorganize its business after
missing on its debt payments on February 2006.

The petition, once approved by the court, will allow Netcom
Argentina to negotiate a settlement with its creditors in order
to avoid a straight liquidation.

Clerk No. 28 assists the court in the proceeding.

The debtor can be reached at:

    Netcom Argentina S.R.L.
    Salguero 2731
    Buenos Aires, Argentina


ORIGINAL METAL: Claims Verification Deadline Moved to Sept. 29
--------------------------------------------------------------
Court No. 10 in Buenos Aires moved the deadline for the
verification of creditors' proofs of claim against Original
Metal S.A. to Sept. 29, 2006.  The verification phase was
previously set to end on Aug. 15, 2006.  Eduardo Daniel Gruden
continues to supervise the company's reorganization proceeding
as trustee.

Mr. Gruden will present the validated claims in court as
individual reports on Nov. 13, 2006.  Court No. 10 will
determine if the claims are admissible taking into account the
trustee's opinion and the objections and challenges that may be
raised by original Metal and its creditors.

A general report that contains an audit of Original Metal's
accounting and banking records will follow on Dec. 27, 2006.

On Aug. 30, 2007, Original Metal's creditors will vote on a
settlement plan that the company will lay on the table.

Clerk No. 20 assists the court on the case.

The debtor can be reached at:

    Original Metal S.A.
    Avenida Cordoba 1432
    Buenos Aires, Argentina

The trustee can be reached at:

    Eduardo Grunen
    Presidente Roque Saenz Pena 1219
    Buenos Aires, Argentina


PRODUCCIONES DEL SIGLO: Claims Verification Ends on Sept. 27
------------------------------------------------------------
Mariela Adriana Bellani, the court-appointed trustee for
Producciones del Siglo XXI S.R.L.'s bankruptcy case, verifies
creditors' proofs of claim until Sept. 27, 2006.

Under Argentine Bankruptcy Law, Ms. Bellani is required to
present the validated claims in court as individual reports.
A court in Buenos Aires will determine if the verified claims
are admissible, taking into account the trustee's opinion and
the objections and challenges raised by Producciones Siglo and
its creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

Ms. Bellani will also submit a general report that contains an
audit of Producciones Siglo's accounting and banking records.

The trustee can be reached at:

    Mariela Adriana Bellani
    Marcelo T. de Alvear 1364
    Buenos Aires, Argentina




=============
B A H A M A S
=============


COMPLETE RETREATS: Wants Interim Compensation Procedures Set
------------------------------------------------------------
Complete Retreats LLC and its debtor-affiliates ask the U.S.
Bankruptcy Court for the District of Connecticut to establish
uniform procedures for compensating and reimbursing Court-
approved professionals on an interim basis similar to those
established in other large Chapter 11 cases.

Specifically, the Debtors propose that:

   (a) By the 20th day of each month, after the month for which
       compensation is sought, each Professional will serve a
       monthly statement to:

       * the Debtors,
       * the counsel for the Debtors,
       * the counsel for the Debtors' postpetition DIP lenders,
       * the counsel for the Creditors Committee; and
       * the Office of the United States Trustee.

       The first Monthly Statement will be due on Sept. 20,
       for the period covering the Debtors' bankruptcy filing
       through and including Aug. 31, 2006;

   (b) Any party that objects to a Monthly Statement is required
       to serve on the Affected Professional and the Notice
       Parties, within 20 days after the service of the Monthly
       Statement, a written statement that:

         -- describes the precise nature and basis of the
            Objection; and

         -- specifies the amount of objectionable fees or
            expenses at issue;

   (c) If an Objection is served, the Objecting Party and the
       Affected Professional are required to make a good-faith
       attempt to resolve the Objection on a consensual basis.
       All Objections that are not resolved by the parties will
       be preserved and presented to the Court at the next
       interim or final fee application hearing;

   (d) If no Objection to a Monthly Statement has been served
       prior to the relevant Objection Deadline, the Affected
       Professional will serve on the Debtors and their counsel
       a certification that there has been no Objection to its
       Monthly Statement, and the Debtors are authorized to pay
       80% of the sought fees and 100% of the sought expenses.

       If an Objection is timely served, the Affected
       Professional will serve on the Debtors and their counsel
       a certification indicating that there has been an
       objection and stating the total fees and expenses in the
       Monthly Statement not subject to the Objection.  The
       Debtors are then authorized to pay the Affected
       Professional an amount equal to 80% of the fees and 100%
       of the expenses not subject to the Objection;

   (e) From July 23, 2006, through Oct. 31, 2006, and at four-
       month intervals afterwards, each Professional will file
       with the Court, within 30 days of the end of the Interim
       Fee Period, an interim fee application for interim Court
       approval and allowance of 100% of the compensation and
       expense reimbursement sought in the Monthly Statements
       served during the Interim Fee Period;

   (f) If an Objection to all or part of the Interim Fee
       Application is timely and properly filed within 30 days
       from the filing of the Interim Fee Application, the
       Objection will be considered at the Interim Fee Hearing;

   (g) If no Objection to the Interim Fee Application is timely
       and properly filed by the applicable Fee Objection
       Deadline, the Professional will file with the Court and
       serve on the Debtors and their counsel a certification
       that there have been no Objections to its Interim Fee
       Application;

   (h) The Court will convene an Interim Fee Hearing on pending
       Interim Fee Applications, once every four months.  The
       Debtors will provide notice of all Interim Fee Hearings
       to the Notice Parties; and

   (i) A pending objection to a Monthly Statement or an Interim
       Fee Application will not disqualify a Professional from
       the future payment of compensation or reimbursement of
       expenses that are requested in accordance with the
       Compensation Procedures.

Jeffrey K. Daman, Esq., at Dechert LLP, in Hartford,
Connecticut, states that the Interim Compensation Procedures
will permit the Court and all other parties to more effectively
monitor the professional fees incurred in the bankruptcy cases.

The Compensation Procedures will allow each Professional to
receive only 80% of its requested fees where no Notice Party has
objected and thus, reduce the Debtors' short-term financial
burden, Mr. Daman relates.

                  About Complete Retreats

Complete Retreats, LLC, Preferred Retreats, LLC, and their
subsidiaries were founded in 1998.  Owned by Robert McGrath and
four minority owners, the companies operate a five-star
hospitality and real estate management business and are a
pioneer and market leader of the "destination club" industry.
Under the trade name "Tanner & Haley Resorts," Complete
Retreats, et al.'s destination clubs have numerous individual
and company members.

Destination club members pay up-front membership deposits,
annual dues, and daily usage fees.  In return, members and their
guests enjoy the use of first-class private residences, and
receive an array of luxurious services and amenities in certain
exotic vacation destinations in the United States and locations
around the world, including: Abaco, Bahamas; Cabo San Lucas,
Mexico; Nevis, West Indies; Telluride, Colorado; and Jackson
Hole, Wyoming.

Complete Retreats and its debtor-affiliates filed for chapter 11
protection on July 23, 2006 (Bankr. D. Conn. Case No. 06-50245
through 06-50306).  Nicholas H. Mancuso, Esq., Jeffrey K. Daman,
Esq., Joel H. Levitin, Esq., David C. McGrail, Esq., Richard A.
Stieglitz Jr., Esq., at Dechert LLP, are representing the
Debtors in their restructuring efforts.  Xroads Solutions Group,
LLC, is the Debtors financial and restructuring advisor.  When
the Debtors filed for chapter 11 protection, they listed total
debts of USUS$308,000,000.  (Complete Retreats Bankruptcy News,  
Issue No. 5; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


COMPLETE RETREATS: Christopher Stevens Wants US$750,000 Returned
----------------------------------------------------------------
Christopher Stevens tells the U.S. Bankruptcy Court for the
District of Connecticut that he was invited to become a
member of Distinctive Retreats, a Tanner & Haley Destination
Club operated by Debtor Distinctive Retreats, LLC, on
Feb. 4, 2006.

The solicitation indicated that Mr. Steven's membership and
enrollment in the Club was effective upon his execution of a
membership agreement and the payment of certain sums, Michael S.
Wrona, Esq., at Halloran & Sage LLP, in Hartford, Connecticut,
relates.

According to Mr. Wrona, Mr. Steven wired to the Debtors
US$750,000 on May 1, 2006, prior to executing any membership
agreement with them.

Mr. Stevens expected that the funds would be segregated by the
Debtors and held in trust for him pending his execution of
membership documentation, Mr. Wrona says.  Mr. Stevens also
expected that the funds would grant him a "full usage
Distinctive Retreats Membership" as well as "Legendary Retreats
Usage Rider."

Mr. Stevens objects to the approval of the Debtors' DIP Motion
and the borrowing by the Debtors on a secured basis to the
extent that any order approving the DIP Loans would potentially
encumber the amount he paid to the Debtors.

Mr. Wrona argues that the US$750,000 Mr. Stevens paid to the
Debtors is held in trust for Mr. Stevens and is not property of
the Debtors' estates pursuant to Section 542(d) of the
Bankruptcy Code.

                   About Complete Retreats

Complete Retreats, LLC, Preferred Retreats, LLC, and their
subsidiaries were founded in 1998.  Owned by Robert McGrath and
four minority owners, the companies operate a five-star
hospitality and real estate management business and are a
pioneer and market leader of the "destination club" industry.
Under the trade name "Tanner & Haley Resorts," Complete
Retreats, et al.'s destination clubs have numerous individual
and company members.

Destination club members pay up-front membership deposits,
annual dues, and daily usage fees.  In return, members and their
guests enjoy the use of first-class private residences, and
receive an array of luxurious services and amenities in certain
exotic vacation destinations in the United States and locations
around the world, including: Abaco, Bahamas; Cabo San Lucas,
Mexico; Nevis, West Indies; Telluride, Colorado; and Jackson
Hole, Wyoming.

Complete Retreats and its debtor-affiliates filed for chapter 11
protection on July 23, 2006 (Bankr. D. Conn. Case No. 06-50245
through 06-50306).  Nicholas H. Mancuso, Esq., Jeffrey K. Daman,
Esq., Joel H. Levitin, Esq., David C. McGrail, Esq., Richard A.
Stieglitz Jr., Esq., at Dechert LLP, are representing the
Debtors in their restructuring efforts.  Xroads Solutions Group,
LLC, is the Debtors financial and restructuring advisor.  When
the Debtors filed for chapter 11 protection, they listed total
debts of USUS$308,000,000.  (Complete Retreats Bankruptcy News,  
Issue No. 5; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).   


PINNACLE: Extends Pres. Casinos' Notes Tender Offer to Aug. 23
--------------------------------------------------------------
Pinnacle Entertainment, Inc., has extended the expiration date
of its offer to purchase any and all of the outstanding 12%
Notes due 2001 (Cusip No. 740822AA9) and 13% Senior Exchange
Notes due 2001 (Cusip No. 740848AF3) issued by President
Casinos, Inc. until 8:00 a.m., New York City time, on
Aug. 23, 2006.  The previously scheduled expiration date was
8:00 a.m., New York City time, on August 16, 2006.  Subject to
the satisfaction of the remaining tender offer conditions, the
company will accept and purchase any Notes validly tendered on
or prior to the previously scheduled expiration date and also
any Notes validly tendered on or prior to the extended
expiration date.

The terms and conditions of the tender offer for the Notes are
more particularly described in the company's Offer to Purchase
dated July 19, 2006.  The company has already accepted and
purchased all of the US$73.2 million in original Notes validly
tendered prior to or on August 14, 2006, the Early Tender Date.  
As of August 15, 2006, approximately US$74.1 million, or about
98.8% of the outstanding original principal amount of the Notes,
has been tendered.  The company is offering to purchase Notes at
a purchase price of US$809.07 per US$1,000.00 of original
principal amount of the Notes.

HSBC Bank USA, National Association, is the depositary agent in
connection with the Tender Offer. D.F. King & Co., Inc. is the
information agent for the Tender Offer.  Requests for copies of
the Offer to Purchase and Letter of Transmittal should be
directed to the information agent at (800) 967-7635.

                   About President Casinos

Headquartered in St. Louis, Missouri, President Casinos Inc.
-- http://www.presidentcasino.com/-- currently owns and  
operates a dockside gaming casino in St. Louis, Missouri through
its wholly owned subsidiary, President Missouri.  The Debtor
filed for chapter 11 protection on June 20, 2002 (Bankr. S.D.
Miss. Case No. 02-53055).  On July 11, 2002, substantially all
of Debtor's other operating subsidiaries filed for chapter 11
protection in the same Court.  The Honorable Judge Edward Gaines
ordered the transfer of President Casino's chapter 11 cases from
Mississippi to Missouri.  The case was reopened on Nov. 5, 2002
(Bankr. E.D. Mo. Case No. 02-53005).  Brian Wade Hockett, Esq.,
at Hockett Thompson Coburn LLP, represents the Debtors in their
restructuring efforts.  David A. Warfield, Esq., at Blackwell
Sanders Peper Martin LLP, represents the Official Committee of
Unsecured Creditors.  The Company's balance sheet at Nov. 30,
2005 showed assets totaling US$66,292,000 and debts totaling
US$75,531,000.

                       About Pinnacle

Headquartered in Las Vegas, Nevada, Pinnacle Entertainment, Inc.
(NYSE: PNK) -- http://www.pnkinc.com/-- owns and operates
casinos in Nevada, Louisiana, Indiana and Argentina, owns a
hotel in Missouri, receives lease income from two card club
casinos in the Los Angeles metropolitan area, has been licensed
to operate a small casino in the Bahamas, and owns a casino site
and has significant insurance claims related to a hurricane-
damaged casino previously operated in Biloxi, Mississippi.
Pinnacle opened a major casino resort in Lake Charles, Louisiana
in May 2005 and a new replacement casino in Neuquen, Argentina
in July 2005.

                        *    *    *

As reported in the Troubled Company Reporter on May 24, 2006,
Standard & Poor's Ratings Services revised its CreditWatch
implications on Las Vegas-based casino owner and operator
Pinnacle Entertainment Inc. to positive from negative.

As reported in the Troubled Company Reporter on March 20, 2006,
Moody's Investors Service placed the ratings of Pinnacle
Entertainment, Inc. on review for possible upgrade.  Pinnacle
ratings affected include its B2 corporate family rating, B1
senior secured bank loan rating, and Caa1 senior subordinated
debt rating.

As reported in the Troubled Company Reporter on Mar. 15, 2006,
Fitch Ratings placed the ratings of Pinnacle Entertainment on
Rating Watch Negative.  The ratings affected include 'B' issuer
default rating; 'BB/RR1' senior secured credit facility rating;
and 'CCC+/RR6' senior subordinated note rating.




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


REFCO INC: Chapter 7 Trustee Can Assume CBOT Lease
--------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
gave Albert Togut, the Chapter 7 trustee for the estate of
Refco, LLC, authority to assume a lease for eight offices with
the Board of Trade of the City of Chicago, Inc., and C-B-T Corp.

The offices comprise 48,300 square feet and are located at 141
West Jackson Blvd., in Chicago, Illinois.  The lease runs from
June 1, 2003, through Nov. 30, 2006, at US$108,000 per month.

The Chapter 7 Trustee says he does not currently utilize the
Premises in connection with the winding up of Refco LLC's
affairs.  Prior to Refco LLC filing for chapter 7 liquidation,
the Premises were used in connection with Refco LLC's regulated
commodities trading business, which was sold to Man Financial,
Inc., and certain other operations.

Man continues to utilize a significant portion of the Premises
in connection with its business.  Man reimburses Refco's estate
for that use pursuant to a Transition Services Agreement
executed in connection with the sale.

Man has indicated that it intends to continue to use a
significant portion of the Premises through the conclusion of
the transition services period.  It also plans to sublease that
portion through the conclusion of the term of the CBOT Lease.

Scott E. Ratner, Esq., at Togut, Segal & Segal LLP in New York,
explains that by assuming the CBOT Lease, the Chapter 7 Trustee
avoids costs associated with potential litigation with Man over
whether the Transition Services Agreement between Man and the
Trustee requires the Trustee to provide Man with access to the
Premises beyond the June 23, 2006, for assuming or rejecting any
Refco LLC Lease.

Mr. Ratner says the Trustee expects the costs of assuming the
Lease will be less than the costs of rejecting it.  The Trustee
also expects to mitigate a substantial portion of the assumption
costs by subleasing portions of the Premises to Man and to other
short-term tenants.

By continuing to sublease a portion of the Premises, the Trustee
estimates that the ultimate net cost of assuming the Lease and
holding it until the Nov. 30, 2006, expiration will range
between US$200,000 and US$300,000.

If the Trustee rejected the CBOT Lease, the Lessor likely would
assert a rejection damage claim of approximately US$550,000.

Due to the relatively short time remaining under the CBOT Lease,
coupled with the specialized nature of the use of the Premises,
the Trustee also concluded that assumption and assignment of the
CBOT Lease to a third party is not a viable option.

The Trustee considered "selling" the CBOT Lease back to the
Lessor at a discount.  However, according to Mr. Ratner, the
Lessor, realizing that its claim against the Chapter 7 Debtor
may be satisfied in full, was not interested in purchasing the
CBOT Lease.  Additional vacant space is available in the same
building, and therefore, the Lessor has little incentive in
accepting a discount on the rental payments due under the CBOT
Lease.

                      About Refco Inc.

Based in New York, Refco Inc. -- http://www.refco.com/-- is a
diversified financial services organization with operations in
14 countries and an extensive global institutional and retail
client base.  Refco's worldwide subsidiaries are members of
principal U.S. and international exchanges, and are among the
most active members of futures exchanges in Chicago, New York,
London and Singapore.  In addition to its futures brokerage
activities, Refco is a major broker of cash market products,
including foreign exchange, foreign exchange options, government
securities, domestic and international equities, emerging market
debt, and OTC financial and commodity products.  Refco is one of
the largest global clearing firms for derivatives.

The Company and 23 of its affiliates filed for chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its chapter 11
cases.

Refco LLC, an affiliate, filed for chapter 7 protection on
Nov. 25, 2005 (Bankr. S.D.N.Y. Case No. 05-60134).  Refco, LLC,
is a regulated commodity futures company that has businesses in
the United States, London, Asia and Canada.  Refco, LLC, filed
for bankruptcy protection in order to consummate the sale of
substantially all of its assets to Man Financial Inc., a wholly
owned subsidiary of Man Group plc.  Albert Togut, the chapter 7
trustee, is represented by Togut, Segal & Segal LLP.

On April 13, 2006, the Court appointed Marc S. Kirschner as
Refco Capital Markets Ltd.'s chapter 11 trustee.  Mr. Kirschner
is represented by Bingham McCutchen LLP.  RCM is Refco's
operating subsidiary based in Bermuda.

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  (Refco Bankruptcy News,
Issue No. 35; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).




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


AGCO CORP: Moody's Holds B1 Senior Subordinated Notes' Rating
-------------------------------------------------------------
Moody's Investors Service affirmed AGCO Corp.'s Ba2 corporate
family rating and B1 senior subordinated rating, and changed the
company's outlook to stable from negative.  The affirmation and
change in outlook reflect Moody's expectation that the company's
successful cost reduction and working capital management
initiatives will support further improvement in free cash flow
and key credit metrics, despite the severe slowdown in Latin
American agricultural equipment markets and the more moderate
declines in North American and European markets.

The outlook also anticipates that one of AGCO's key near-term
financial priorities will be utilizing free cash flow to
strengthen its balance sheet by reducing debt or increasing cash
reserves.  In addition, the rating agency expects that any
material shareholder enhancement initiatives will be undertaken
only to the extent that free cash generation remains strong, and
that such initiatives would still allow for further improvement
in credit metrics.

The agricultural equipment market consists of three global
players and a number of regional competitors.  A key component
of AGCO's operating strategy has been to act as a consolidator
by steadily undertaking acquisitions and aggressively reducing
costs through restructuring programs as the acquired operations
were integrated.  Throughout this process AGCO has largely
preserved its position as an assembler with a relatively low
degree of vertical integration and fixed costs.

Moody's believes that AGCO has established a globally
competitive product line and a solid distribution system.
Consequently, further strategic and large tactical acquisitions
are unlikely.  In addition, the progress AGCO has made in
lowering its cost structure and reducing inventory levels should
enable it to improve operating margins despite the downturn in
agricultural equipment markets, particularly Latin America.

As a result of the current downturn in demand, AGCO's operating
performance has eroded and credit metrics are weak for the
current rating level.  For the last twelve months to June 2006
operating margins declined to 5.2% from 6.1% in 2004, EBIT was
only 2.1x, and debt was a relatively high 5.1x.  Importantly,
however, free cash flow has remained positive and approximated
US$100 million for the LTM to June -- excluding the transfer of
interest bearing wholesale receivables to it finance joint
venture.  

Although overall demand through 2006 will remain near or
modestly below recent levels, Moody's believes that the benefits
of AGCO's operational restructurings are gaining traction.  As a
result, credit metrics should begin to show steady improvement
and should position the company more solidly within the Ba2
rating category, with interest coverage approaching 2.5x, debt
falling below 4.5x, and free cash flow approaching US$150
million.

Notwithstanding Moody's expectation that AGCO's credit metrics
will improve, the company will continue to face considerable
cyclicality in its markets, as evidenced by the current downturn
and by the company's current focus on strengthening its balance
sheet.  Moreover, while AGCO benefits from approximately
US$100 million in annual free cash flow and a largely unutilized
US$300 million revolving credit facility, the robustness of the
company's liquidity position is moderated by limited head room
under the revolver's financial covenants and by the fact that
the majority of its assets have been pledged as collateral under
its revolving credit facility and a US$400 million term loan.

Headquartered in Duluth, Georgia, AGCO Corp., is a global
designer, manufacturer and distributor of agricultural equipment
and related replacement parts.  The company has major operations
in Brazil.


BANCO NACIONAL: Posts BRL3.3-Bil. Profit in First Semester 2006
---------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social aka BNDES
System reported BRL3.317 billion profit with:

   -- BRL926 million from BNDES;
   -- BRL220 million from FINAME; and
   -- BRL2.171 million from BANDESPAR;

in the first semester of 2006.  The result is 81.1% higher
compared with the BRL1.832 billion in the same period of 2005.  
In the first quarter of 2006, the recorded profit amounted
BRL1.921 billion and in the second quarter, BRL1.393 billion.  
The result shows the excellent quality of its credit portfolio.

The variable income result amounted BRL2.580 billion (BRL1.922
billion in net taxes) and can be accounted from:

   a) gain in alienations of part of the BRL1.350 billion
      portfolio, highlighting the Banco do Brasil shares
      (public bid), which generated a BRL682 million gross
      profit; and

   b) receipt of dividends and interest rates over its own
      equity of BRL1.025 billion.

Fixed rate operations, which reflect loans performed by the
BNDES System, enabled a profitability of BRL731 million in the
semester, compared with the BRL686 million recorded in January-
June of 2005.  Such profitability is compatible to the BNDES
size and social and economic development function, and reflects
the portfolio growth over the last years, once spreads have been
reduced.  The reduction reflects the BNDES strategic orientation
of making financings more attractive.

Other factors that contributed positively to the first-semester
result were:

   -- reduction in expenses with credit risk provision, with
      a BRL350 million positive impact, which arose from the
      share debenture conversion;

  -- revenue with a BRL174 million contingency reviewing]
     provision; and

  -- revenue with a BRL193 million duty recovery.

                      Equity Position

The BNDES System asset reached BRL181.077 billion at
June 30, 2006, a 3.4% increase compared with that in the last
quarter.  The Net Equity increased 9.4% in relation to
March 31, 2006, jumping from BRL17.107 billion to BRL18.713
billion in June.  With that performance, the net equity
profitability reached 19.27% between January and June of this
year.  The reference equity reached BRL 27.961 billion in June
of 2006.

The credit operational portfolio quality, which presented no
events resulting in losses in the semester, is highlighted with
94.2% consolidated credits at June 30, 2006, ranked within AA
and C levels, which is considered as having low risk.  The
ranking is higher than the average presented by the National
Financial System with 89.4%.  The default index reached 0.69% of
the total portfolio, below 0.9% in the first quarter, against a
3.6% average.

The credit risk provision of BNDES' portfolio reached BRL5.4
billion at June 30, 2006.  Such provision represents 3.83% of
the total portfolio, which is virtually stable compared with the
3.90% of December 2005.  In this semester, the prudential ration
index or Basel index amounted 20.0%, while the index required by
the Brazilian Central Bank is 11%.

                        *    *    *

As reported in the Troubled Company Reporter on March 3, 2006,
Standard & Poor's Ratings Services raised its foreign currency
counterparty credit rating on Banco Nacional de Desenvolvimento
Economico e Social S.A. aka BNDES to 'BB' with a stable outlook
from 'BB-' with a positive outlook.  The company's local
currency credit rating was also shifted to 'BB+' with a stable
outlook from 'BB' with a positive outlook.


GERDAU: Acominas Gets BRL345M Loan to Expand Liquid Steel Output
----------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social aka BNDES
approved a BRL345.4 million financing to Gerdau Acominas, a
subsidiary of Geradu SA, to expand the liquid steel production
of the Ouro Branco industrial unit, from the current 3 million
annual tons to 4.5 million tons per year.  The project is
invested at BRL1.2 billion and includes adding new cokers,
synterization and a new blast furnace to the unit.  This project
will generate 190 direct jobs.

BNDES' support to the Gerdau project, which will be effective in
the second quarter of 2007, will enable the strong growth in the
liquid steel production capacity of the group in Brazil, when
there is a worldwide growth perspective in the enterprise's
product demand. Another project merit is the nearness of the raw
material supply market and the main domestic market consumers.

New investments will increase:

   -- the sinter production from the current 4.4 million
      tons/year to 6.8 million tons/year;

   -- the coke production from 1.2 million tons/year to
      1.8 million tons/year and

   -- the pig iron production from 2.8 million tons/year to
      4.3 million tons/year.

This financing to Gerdau Acominas will have a 1% decrease in
basic spread, since the project is located in Ouro Branco city,
an incentive area of the BNDES Regional Dynamism Program or PDR.  
The PDR aims to promote regional development by reducing the
regional and social imbalance in income.

From the total investment approved by BNDES, BRL3.4 million or
1% will be directed to social projects in the Acominas
operational area.  The investments will be carried out in under
the Entrepreneurial Social Investment Line, created recently
with the objective of promoting social projects to companies
supported by BNDES.

                        About Gerdau

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.  In addition to Brazil, Gerdau operates in
Argentina, Canada, Chile, Colombia, Uruguay and the United
States.

Gerdau's four majority-owned Brazilian operating subsidiaries
are:

   -- Acominas,
   -- Gerdau Acos Longos S.A.,
   -- Gerdau Acos Especiais S.A. and
   -- Gerdau Comercial de Acos S.A.;

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

                        *    *    *

As reported in the Troubled Company Reporter on March 3, 2006,
Standard & Poor's Ratings Services raised its foreign currency
counterparty credit rating on Banco Nacional de Desenvolvimento
Economico e Social S.A. aka BNDES to 'BB' with a stable outlook
from 'BB-' with a positive outlook.  The company's local
currency credit rating was also shifted to 'BB+' with a stable
outlook from 'BB' with a positive outlook.


XERIUM TECHNOLOGIES: Earns US$11.1 Mil. for 2006 Second Quarter
---------------------------------------------------------------
Xerium Technologies, Inc.'s net income was US$11.1 million for
the second quarter of 2006 compared to a net loss of US$12.3
million for the second quarter of 2005.

Xerium's net sales for the second quarter of 2006 were US$154.6
million, a 6% increase from US$145.9 million for the second
quarter of 2005.

Xerium disclosed net cash generated by operating activities
was US$18.3 million for the second quarter of 2006, compared to
a negative US$11.1 million in the same quarter last year.

The Company also disclosed capital expenditures for the second
quarter of 2006 were US$9.5 million, compared to US$8.7 million
for the second quarter of 2005.  Approximately US$6.2 million of
capital expenditures in this year's second quarter were directed
toward projects designed to support Xerium's growth objectives,
with the remaining US$3.3 million used to sustain the Company's
existing operations and facilities.

Net income of Xerium was US$20.7 million, for the first six
months of 2006, compared to a net loss of US$4.1 million, for
the same period of 2005.

Xerium's net sales for the first half of 2006 were US$301.3
million, a 1.2% increase from US$297.8 million for the first six
months of 2005.  The total impact of currency fluctuations on
net sales for the first six months of 2006, as compared to the
first half of 2005, was a decrease of US$5 million, including
US$1.6 million from currency translation and US$3.4 million from
the effect of currency on pricing.

Net cash generated by operating activities was US$22 million for
the first six months of 2006, compared to US$6.6 million in the
same period last year.

                Declaration of Cash Dividend

Xerium also disclosed that its Board of Directors has
declared a cash dividend of US$0.225 per share of common stock
payable on Sept. 15, 2006.

Headquartered in Wesborough, Massachusetts, Xerium Technologies,
Inc. (NYSE: XRM) -- http://xerium.com/-- is a leading global
manufacturer and supplier of two types of products used
primarily in the production of paper: clothing and roll covers.  
The company, which operates around the world under a variety of
brand names, owns a broad portfolio of patented and proprietary
technologies to provide customers with tailored solutions and
products integral to production, all designed to optimize
performance and reduce operational costs.  With 36 manufacturing
facilities in 15 countries around the world, Xerium Technologies
has approximately 3,900 employees.  In Latin America, Xerium has
corporate offices in Mexico and a clothing facility in Brazil.

                        *    *    *

As reported in the Troubled Company Reporter on Jan. 24, 2006,
Moody's Investors Service changed the outlook on Xerium
Technologies, Inc.'s ratings to negative from stable, and
affirmed the company's corporate family rating at B1.  The
change in outlook to negative reflects Xerium's weaker than
expected operating performance primarily due to production
inefficiencies in North America and delays in achieving benefits
from cost reduction initiatives.  Moody's believes the impact of
these issues, coupled with a difficult pricing environment for
roll covers and to a lesser extent clothing products, will
continue to negatively affect operating performance over the
intermediate term.

Moody's affirmed these ratings:

     * Corporate family rating; B1
     * Guaranteed senior secured term loan B; B1
     * Guaranteed senior secured revolving credit facility; B1


* BRAZIL: IDB Approves US$1.2 Mil. Technical Cooperation Program
----------------------------------------------------------------
The Inter-American Development Bank approved a US$1.2 million
non-reimbursable technical cooperation for a program to improve
environmental management and protection of the Uruguay River
watershed in the states of Santa Catarina and Rio Grande do Sul
in Brazil.  The Japanese Trust Fund at the IDB provides this
financing.

A master plan will be prepared for the sustainable development
of the Upper Uruguay River region, to guide actions in the
watershed, in particular to protect its role in recharging the
Guarani aquifer.  This aquifer is one of the world's largest
systems and covers an area of 1.18 million square kilometers
from central-west Brazil (71 percent) to part of Argentina (19
percent), Paraguay (6 percent) and Uruguay (4 percent).

With a volume of about 40,000 km3 and a total recharge rate from
precipitation of about 166 km3/year, this aquifer is the largest
single body of groundwater in the world, capable of supplying
fresh drinking water for 200 years, according to IDB Team Leader
Kleber Machado.  "Around 15 million people live in the area of
the Guarani Aquifer and up to 500 cities, partially or entirely,
meet their water needs from it."

"The aquifer is a strategic water resource for the region and
for the world, which needs to be protected and managed," added
Mr. Machado.  "The main threat stems from uncontrolled drilling
and pollution in extraction and recharge areas. Because of the
sheer magnitude of the aquifer, including regional and
transnational rivers, improved management will have to come one
watershed at a time, but in a coordinated and participatory
manner."

Three watersheds provide surface water that feeds the Aquifer:

   -- the Parana,
   -- the Paraguay and
   -- the Uruguay.

The Uruguay River watershed, with 371,000 square kilometers, is
the most important for its potential impact on the conservation
of the aquifer as it generates most pollution.  It has great
economic importance to Brazil because of its hydroelectric
potential and agro-industrial development.

The states of Santa Catarina and Rio Grande do Sul proposed the
preparation of a master plan to develop the Brazilian section of
the Uruguay watershed, as a starting point for a program for the
whole watershed.  The process will start with a diagnosis of the
region, identification of strategic lines of action and
investment, a monitoring and evaluation system and an
institutional framework to implement the plan.

The project will help improve socio-environmental conditions and
quality of life in the area.

                        *    *    *

Fitch Ratings assigned these ratings on Brazil:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB-      Nov. 18, 2004
   Long Term IDR      BB-      Dec. 14, 2005
   Short Term IDR     B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     BB-      Dec. 14, 2005




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


ARCLIGHT LTD: Proofs of Claim Must be Filed by Sept. 8
------------------------------------------------------
Arclight Ltd.'s creditors are required to submit proofs of claim
by Sept. 8, 2006, to the company's liquidators:

   Ying Hing Chiu
   Chung Miu Yin, Diana
   Level 28, Three Pacific Place
   1 Queen's Road East, Hong Kong

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Arclight Ltd.'s shareholders agreed on July 19, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Frank Hynd
   11 Dr. Roy's Drive
   P.O. Box 694, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 914 9485
   Fax: (345) 949-0626


CHINA ENTERPRISE: Creditors Must Submit Claims by Sept. 8
---------------------------------------------------------
China Enterprise Development Fund Limited's creditors are
required to submit proofs of claim by Sept. 8, 2006, to the
company's liquidators:

   Desmond Chung Seng Chiong
   Roderick John Sutton
   Ferrier Hodgson Limited
   14/F, Hong Kong Club Building
   3A Chater Road, Central, Hong Kong

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

China Enterprise's shareholders agreed on July 4, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Krys Lumsden
   P.O. Box 2681, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949 1040
   Fax: (345) 949 1048


CI CAPITAL: Creditors Have Until Sept. 8 to File Proofs of Claim
----------------------------------------------------------------
CI Capital Corp.'s creditors are required to submit proofs of
claim by Sept. 8, 2006, to the company's liquidator:

   Patrick K. Fox
   Charles Adams, Ritchie & Duckworth
   P.O. Box 709GT, Zephyr House
   Mary Street, George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

CI Capital's shareholders agreed on Jan. 10, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Alan G. de Saram
   Charles Adams, Ritchie & Duckworth
   P.O. Box 709GT, Zephyr House
   Mary Street, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-4544
   Fax: (345) 949-8460


DEUTSCHE INT'L: Schedules Final Shareholders Meeting on Sept. 7
---------------------------------------------------------------
Deutsche International Nautical's shareholders will convene for
a final meeting on Sept. 7, 2006, at:

   Deutsche Bank (Cayman) Limited
   Elizabethan Square, George Town
   Grand Cayman, Cayman Islands

Accounts on the company's liquidation process will be presented
during the meeting.  

The liquidator can be reached at:

   David Dyer
   P.O. Box 1984, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949 8244
   Fax: (345) 949 5223


GLOBAL PRECIOUS: Will Hold Final Shareholders Meeting on Sept. 7
----------------------------------------------------------------
Global Precious Metals Fund Limited's final shareholders meeting
will be at 10:00 a.m. on Sept. 7, 2006, at:

   BDO Tortuga, 5th Floor
   Zephyr House, Mary Street
   Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

   1) accounting of the liquidation process showing how the
      winding up has been conducted during the preceding year,

   2) requesting the members' approval of the liquidation fees
      incurred to date, approval of the liquidator's estimated
      costs to completion, and

   3) hearing any explanation that may be given by the
      liquidator.

A member entitled to attend and vote at the meeting may appoint
a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

   Glen Trenouth
   P.O. Box 31118 SMB
   Grand Cayman, Cayman Islands
   Tel: (345) 943 8800
   Fax: (345) 943 8801


GOLDSEA LTD: Deadline for Proofs of Claim Filing Is on Sept. 8
--------------------------------------------------------------
Goldsea Ltd.'s creditors are required to submit proofs of claim
by Sept. 8, 2006, to the company's liquidator:

   Richard L. Finlay
   Conyers Dill & Pearman, Cayman
   George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Goldsea Ltd.'s shareholders agreed on July 15, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Krysten Lumsden
   P.O. Box 2681, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 945-3901
   Fax: (345) 945-3902


GREENPEACE INC: Deadline for Proofs of Claim Filing Is Sept. 8
--------------------------------------------------------------
Greenpeace Inc.'s creditors are required to submit proofs of
claim by Sept. 8, 2006, to the company's liquidator:

   Argosa Corp. Inc.
   Charles Adams, Ritchie & Duckworth
   P.O. Box 709GT, Zephyr House
   Mary Street, George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Greenpeace Inc.'s shareholders agreed on June 30, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Richard D. Fear
   Charles Adams, Ritchie & Duckworth
   P.O. Box 709GT, Zephyr House
   Mary Street, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-4544
   Fax: (345) 949-8460


HUTCHISON WHAMPOA: Filing of Proofs of Claim Is Until Sept. 8
-------------------------------------------------------------
Hutchison Whampoa Finance (00/03) Limited's creditors are
required to submit proofs of claim by Sept. 8, 2006, to the
company's liquidator:

   Ying Hing Chiu
   Chung Miu Yin, Diana
   Level 28, Three Pacific Place
   1 Queen's Road East, Hong Kong
   Tel: (852) 2980 1988
   Fax: (852) 2882 6700

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Hutchison Whampoa's shareholders agreed on July 20, 2006, for
the company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.


LEATHER HOLDINGS: Proofs of Claim Filing Deadline Is on Sept. 8
---------------------------------------------------------------
Leather Holdings Limited's creditors are required to submit
proofs of claim by Sept. 8, 2006, to the company's liquidator:

   Westport Services Ltd.
   P.O. Box 1111
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Leather Holdings' shareholders agreed on July 21, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Bonnie Willkom
   P.O. Box 1111
   Grand Cayman, Cayman Islands
   Tel: (345) 949-5122
   Fax: (345) 949-7920


RUBICON ASIA MASTER: Final Shareholders Meeting Is on Sept. 7
-------------------------------------------------------------
Rubicon Asia Master Fund Limited's final shareholders meeting
will be at 11:00 a.m. on Sept. 7, 2006, at the company's
registered office.

These agenda will be taken during the meeting:

   1) accounting of the liquidation process showing how the
      winding up has been conducted during the preceding year,

   2) requesting the members' approval of the liquidation fees
      incurred to date, approval of the liquidator's estimated
      costs to completion, and

   3) hearing any explanation that may be given by the
      liquidator.

A member entitled to attend and vote at the meeting may appoint
a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

   Lawrence Edwards
   Attn: Richard Mottershead
   P.O. Box 258, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 914 8656
   Fax: (345) 949 4590


RUBICON ASIA OFFSHORE: Last Shareholders Meeting Is on Sept. 7
--------------------------------------------------------------
Rubicon Asia Offshore Fund Limited's final shareholders meeting
will be at 11:00 a.m. on Sept. 7, 2006, at the company's
registered office.

These agenda will be taken during the meeting:

   1) accounting of the liquidation process showing how the
      winding up has been conducted during the preceding year,

   2) requesting the members' approval of the liquidation fees
      incurred to date, approval of the liquidator's estimated
      costs to completion, and

   3) hearing any explanation that may be given by the
      liquidator.

A member entitled to attend and vote at the meeting may appoint
a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

   Lawrence Edwards
   Attn: Richard Mottershead
   P.O. Box 258, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 914 8656
   Fax: (345) 949 4590


SEVERN (CAPITAL): Final Shareholders Meeting Is Set for Sept. 7
---------------------------------------------------------------
Severn River Capital Fund Ltd.'s final shareholders meeting will
be at 10:00 a.m. on Sept. 7, 2006, at:

   Deloitte
   Fourth Floor, Citrus Grove
   P.O. Box 1787, George Town
   Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

   1) accounting of the liquidation process showing how the
      winding up has been conducted during the preceding year,

   2) requesting the members' approval of the liquidation fees
      incurred to date, approval of the liquidator's estimated
      costs to completion, and

   3) hearing any explanation that may be given by the
      liquidator.

A member entitled to attend and vote at the meeting may appoint
a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

   Stuart Sybersma
   Attn: Mervin Solas
   Deloitte
   P.O. Box 1787, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-7500
   Fax: (345) 949-8258


SEVERN (MASTER): Holding Final Shareholders Meeting on Sept. 7
--------------------------------------------------------------
Severn River Master Fund Ltd.'s final shareholders meeting will
be at 10:30 a.m. on Sept. 7, 2006, at:

   Deloitte
   Fourth Floor, Citrus Grove
   P.O. Box 1787, George Town
   Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

   1) accounting of the liquidation process showing how the
      winding up has been conducted during the preceding year,

   2) requesting the members' approval of the liquidation fees
      incurred to date, approval of the liquidator's estimated
      costs to completion, and

   3) hearing any explanation that may be given by the
      liquidator.

A member entitled to attend and vote at the meeting may appoint
a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

   Stuart Sybersma
   Attn: Mervin Solas
   Deloitte
   P.O. Box 1787, George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-7500
   Fax: (345) 949-8258


SPECIALTY EQUITY: Creditors Must File Proofs of Claim by Sept. 8
----------------------------------------------------------------
Specialty Equity Limited's creditors are required to submit
proofs of claim by Sept. 8, 2006, to the company's liquidator:

   Westport Services Ltd.
   P.O. Box 1111
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Specialty Equity's shareholders agreed on July 21, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Bonnie Willkom
   P.O. Box 1111
   Grand Cayman, Cayman Islands
   Tel: (345) 949-5122
   Fax: (345) 949-7920


SPECIALTY IIP: Last Day to File Proofs of Claim Is on Sept. 8
-------------------------------------------------------------
Specialty IIP Limited's creditors are required to submit proofs
of claim by Sept. 8, 2006, to the company's liquidator:

   Westport Services Ltd.
   P.O. Box 1111
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 8 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Specialty IIP's shareholders agreed on July 21, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

   Bonnie Willkom
   P.O. Box 1111
   Grand Cayman, Cayman Islands
   Tel: (345) 949-5122
   Fax: (345) 949-7920




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


BANCO DEL CAFE: Fogafin Postpones Second Phase of Tender Process
----------------------------------------------------------------
A spokesperson of Fogafin, the deposit insurance fund of
Colombia, told Business News Americas that the fund has moved
the second phase of the tender process of Banco del Cafe aka
Bancafe, the government's largest state bank, to Oct. 12 from
Oct. 2.

As reported in the Troubled Company Reporter-Latin America on
June 27, 2006, the Colombian government posted on its Web site
that Fogafin would auction 99.9% of Bancafe's stake on Oct. 2.  
The government had disclosed in May the auction of Bancafe's
stake in a public offering.  Bancafe's privatization had two
phases:

    -- Fogafin first launched on July 15 the sale process for
       the bank's workers, cooperatives, and pension funds for a
       minimum price of COP1.090 trillion, as stated in the law;
       and

    -- The bank would then be offered to private firms and
       investors for a minimum price of COP1.1 trillion.

BNamericas relates that the bidding process is now open
exclusively for employees, cooperatives and pension funds until
Sept. 17.

Analysts told BNamericas that due to strong interest from
foreign banks, the final price for Bancafe could double.

BNamericas states that bidders for Bancafe are:

      -- Colombian firms:

         * Colpatria, and
         * Davivienda; and

      -- foreign companies:

         * General Electric,
         * Spain's Grupo Santander,  
         * BBVA, and
         * Citigroup.

Bancafe was formed by the merging of Bancafe assets and part of
Granahorrar, a local mortgage bank, in March 2005.  To save them
from bankruptcy when the country was hit by a financial crisis
in the late 90s, the government had taken control of the banks.


* BOGOTA: Fitch Revises BB Rating Outlook to Positive
-----------------------------------------------------
Fitch Ratings has revised the Rating Outlook on Bogota's 'BB'
long-term foreign currency Issuer Default Rating to Positive
from Stable.  The Outlook on the 'BBB-' long-term local currency
IDR remains Stable. Likewise, both ratings are affirmed at their
respective levels.  Such actions are the result of the same
Outlook revision announced by Fitch June 5, 2005, on Colombia's
sovereign ratings.  In this sense, Bogota's international
ratings are caped by Colombia's sovereign risk.

Bogota's international ratings are based on these credit
strengths:

   -- Strong management;

   -- Consistent budgetary surplus position;

   -- Affordable debt, given the district's financial position
      and favorable terms and conditions in its financial
      obligations; and

   -- Economic strength within the national context, being the
      largest regional economy.

However, they also show these risks or limitations:

   -- Relatively high debt level;

   -- High unemployment rates, though with a declining trend;
      and

   -- Increasing social and infrastructure needs of a growing
      population, although addressed through substantial and
      growing capital expenditures.

Over the last years, Bogota has maintained a strong fiscal
management and prudent financing structure.  Such ongoing
favorable results have contributed to the establishment of sound
fiscal policies focused on Bogota's social needs, resulting in
significant investments from current and previous
administrations.  In addition, the district's highly valuable
assets have supported significantly its financial flexibility,
providing Bogota with a consistent stream of capital revenues
from it self-supporting public services enterprises.

In 2005, Bogota's operating surplus totaled US$1,355.4 million,
continuing its positive trend due to favorable growth rates in
current revenues and sustained control in operating
expenditures.  Adjusting this result to include health,
education and social welfare current expenditures, which are
accounted as capital expenditures in the district's accounts,
the Fitch's adjusted operating surplus reached US$612.2 million,
equivalent to 34.5% of total current revenues and comparing
favorably with international standards.  Moreover, Bogota
continued to maintain a relatively independent fiscal position
from national transfers, since the share of such resources was
33.3% of current revenues in 2005, ratio that has improved over
the last years (38% in 2002).

Bogota's debt levels remain high but affordable. The district's
total debt amounted to US$924 million (approximately $2.1
billion Colombian Pesos), of which US$572.5 million are internal
debt and the remaining US$351.4 million are external debt.  
External debt represents 38% of total debt (54% in 2002) and
within such 72% is hedged to currency risk, leaving only 11% of
total debt without protection to exchange rate volatility.  
Furthermore, 32.5% of Bogota's debt has a fixed interest rate,
percentage that has been increasing year over year (17.6% in
2002).  In 2005, interest payments over operating surplus showed
a ratio of 10.4% (10.0% in 2004), which is quite lower than the
40% maximum established in the terms of Colombian Law 358.  
Regarding the total debt to current revenues ratio, it reached
53.2%, which is also below the 80% limit established by the same
Law.  Finally, it is worth mention that district's projections
do not consider a substantial increase in debt for the following
years neither in the short term nor the medium term.

On the economic side, Bogota continues being the largest
regional economy in the country contributing with approximately
23.2% of Colombia's Gross Domestic Product.  The district's
economy, showing the same trend as the nation's, has started to
consolidate its dynamism in the last two years showing growth
rates higher than 4%. With over 7 million inhabitants, Bogota's
population represents 15.5% of Colombia's total. Unemployment
rate remains high at 13.3%, however it has been decreasing since
2002 when it reached levels higher than 15%.  Finally, regarding
public services, education and health coverage, Bogota stands
out among Colombian cities with the highest indicators.




=============
E C U A D O R
=============


CARROL'S CORP: Moody's Puts Caa1 Rating on US$180-Million Notes
---------------------------------------------------------------
Moody's Investors Service changed the ratings of Carrol's Corp.
as:

Ratings downgraded:

   -- Corporate family rating to B2 from B1; and
   -- US$180 million guaranteed senior subordinated notes due
      January 15, 2013, to Caa1 from B3.

Ratings confirmed:

   -- US$220 million senior secured term loan B, due
      Dec. 31, 2010, rated B1; and

   -- US$50 million senior secured revolving credit facility
      due Dec. 31, 2009, rated B1

The Rating outlook is stable.

This concludes Moody's review that was initiated on
Feb. 28, 2006.

The ratings downgrade was prompted by Carrol's weak credit
metrics with persistently high leverage, low interest coverage,
and marginal free cash flow generation, in addition to weak
liquidity.  The B2 corporate family rating and stable outlook
are supported by Carrol's brand diversification, its position as
the largest Burger King franchisee, and the relatively good
operating performance of the Taco Cabana and Pollo Tropical
brands which has resulted in positive same store sales growth in
aggregate.

Confirmation of the B1 senior secured bank loan ratings reflect
the benefit that accrues to these lenders from a secured
interest in all assets, including common stock, of Carrol's and
all its subsidiaries, in addition to guarantees from Carrol's
and all material subsidiaries. The rating and notching above the
corporate family rating also reflect the support provided by the
substantial amount of senior subordinated notes in a distressed
scenario.

Conclusion of Moody's review also reflects the company's recent
success in filing its public financial statements (including the
third quarter 2005 10Q and 2005 10K) with the SEC due to the
resolution of previous accounting concerns.  However, Carrol's
senior management continues to evaluate its disclosure controls
and procedures as ineffective as of April 2, 2006.

Carrol's Corp., with headquarters in Syracuse, New York,
operates 336 Burger King quick service hamburger restaurants.  
Carrol's also operates or franchises 95 Pollo Tropical
restaurants and 138 Taco Cabana restaurants in south and central
Florida, Texas, Oklahoma, New Mexico, Puerto Rico and Ecuador.


PETROECUADOR: Approves US$22-Million Budget for Block 15
--------------------------------------------------------
Petroecuador, the state-run oil firm of Ecuador, said in a
statement that it has ratified the US$221-million budget for
block 15, which the government confiscated from US firm
Occidental Petroleum in May.

Business News Americas reports that the US$221 million budget
applies to the period from May to the end of 2006.  

According to Petroecuador's statement, the budget includes
US$149 million for operating costs and US$72 million for
production.

BNamericas relates that Petroproduccion, a subsidiary of
Petroecuador, will run the block for the meantime and be
responsible for the budget.

Petroecuador was unable to tell BNamericas how much of the
budget was already spent this year.

Petroecuador, according to published reports, is faced with
cash-problems.  The state-oil firm has no funds for maintenance,
has no funds to repair pumps in diesel, gasoline and natural gas
refineries, and has no capacity to pay suppliers and vendors.
The government refused to give the much-needed cash alleging
inefficiency and non-transparency in Petroecuador's dealings.




=========
H A I T I
=========


DYNCORP INT: Posts US$617,000 Net Loss in 2007 First Fiscal Qtr.
----------------------------------------------------------------
DynCorp International Inc. disclosed its financial results for
the first fiscal quarter ended June 30, 2006.

Shares of DynCorp's Class A common stock began trading on the
New York Stock Exchange on May 4, 2006, following its initial
public offering.  

DynCorp's capital structure has improved as a result of its
IPO.  The Company used net IPO proceeds of US$352.5 million to
redeem its preferred stock and accumulated dividends
outstanding, pay a special Class B distribution, pre-pay a
portion of its subordinate notes, and pay various IPO
transaction- related expenses.

                   First Quarter Results

Revenues for the first quarter of fiscal 2007 were US$537.7
million, up 26.5% over revenues of US$425.1 million in the first
quarter of fiscal 2006.  The International Technical Services
segment, led by higher volumes from its Civilian Police program
and its International Narcotics and Law Enforcement Air-Wing
program, drove most of this increase.

International Technical Services revenue represented 66% of
first-quarter revenues in fiscal 2007, and grew 38.9 % to
US$355.0 million from US$255.6 million in the first quarter of
fiscal 2006.  Revenues from the Field Technical Services segment
grew 7.8% to US$182.7 million from US$169.5 million in the first
quarter of fiscal 2006, and represented 34% of first quarter
revenues in fiscal 2007.

Operating income for the first quarter of fiscal 2007 was
US$28.8 million, up 73.5% over operating income of US$16.6
million in the first quarter of fiscal 2006.  Operating margin
was 5.4%, as compared to operating margin of 3.9% in the first
quarter of fiscal 2006.

The increase in operating margin reflects performance on
services provided under the Civilian Police program and the Air
Wing program.  In addition, fiscal 2007 operating margin
benefited from an improved contract mix resulting from a larger
proportion of higher-margin fixed-price and time-and-materials
contracts as opposed to lower-margin cost-reimbursement
contracts.

Net loss for the first quarter of fiscal 2007 was US$617,000
compared with a net loss of US$1.974 million for the first
quarter of fiscal 2006.  Included in the fiscal 2007 net loss
were special items related to the Company's IPO that resulted in
additional expense or, as a result of the IPO, are not expected
to continue.

At June 30, 2006, DynCorp's balance sheet showed US$1.260
billion in total assets, US$910.771 million in total
liabilities, and US$349.674 million in total stockholders'
equity.

Adjusted EBITDA improved to US$42.3 million, or 7.9% of
revenues, in the first quarter of fiscal 2007, compared with
adjusted EBITDA of US$29.4 million, or 6.9% of revenues, in the
first quarter of fiscal 2006.

At June 30, 2006, cash and cash equivalents totaled US$16.2
million, down from US$20.6 million at March 31, 2006.  During
the first quarter of fiscal 2007, DynCorp had operating cash
flow of US$2.9 million, which was offset by capital expenditures
and cash used for financing activities in connection with the
Company's IPO.  Operating cash flow of US$2.9 million in the
first quarter of fiscal 2007 has declined from operating cash
flow of US$52.4 million from the first quarter of fiscal 2006.  
Operating cash flow for the first quarter of fiscal 2006
reflected unusually high cash collections.

Conversely, the first quarter of fiscal 2007 experienced
unfavorable timing of cash collections, which is expected to
reverse during subsequent quarters.  DynCorp's days sales
outstanding improved to 80.2 days versus 80.6 days from a year
ago.

In addition, DynCorp's operating cash flow for the first
quarter of fiscal 2007 was unfavorably affected by one-time cash
payments for interest related to the Company's preferred stock.
The Company had working capital of US$254.1 million at
June 30, 2006, compared with US$251.3 million at March 31, 2006.  
Total debt stood at US$632.7 million at June 30, 2006, a
reduction of US$248.7 million from March 31, 2006, resulting
from proceeds of the IPO.

"We had a successful quarter with top-line growth in excess of
26%, margin improvement of over 100 basis points quarter on
quarter, and an improved capital structure as a result of the
IPO," Herbert J. Lanese, the Company's chief executive officer
and president said.

"But more significantly, we are achieving the kind of
performance that places us in an excellent position to achieve
our fiscal 2007 objectives."

Backlog as of June 30, 2006, was US$2.7 billion, including
US$1 billion in funded backlog and US$1.7 billion in unfunded
backlog.  

Estimated remaining contract value was US$5.7 billion as of
June 30, 2006.  Evidenced by steady backlog, the Company
generated new orders of approximately US$528 million, which
closely approximated the revenue of US$538 million.

Full-text copies of DynCorp International Inc.'s first
fiscal quarter financials are available for free at
http://ResearchArchives.com/t/s?fad

               About DynCorp International Inc.

Headquartered in Irving, Texas, DynCorp International Inc.
(NYSE: DCP) -- http://www.dyn-intl.com/-- provides specialized  
mission-critical outsourced technical services to civilian and
military government agencies.  The Company specializes in law
enforcement training and support, security services, base
operations, aviation services and operations, and logistics
support.  The Company has more than 14,400 employees in 33
countries including Haiti.  DynCorp International, LLC, is the
operating company of DynCorp International Inc.

                        *    *    *

As reported in the Troubled Company Reporter on June 19, 2006,
Standard & Poor's Ratings Services raised its ratings, including
the corporate credit rating to 'BB-' from 'B+', on DynCorp
International LLC.  The ratings were removed from CreditWatch
where they were placed with positive implications on
Oct. 3, 2005.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter on June 13, 2006,
Moody's Investors Service upgraded DynCorp International LLC's
US$90 million senior secured revolver maturing Feb. 11, 2010, to
Ba3 from B2; US$345 million senior secured term loan B due
Feb. 11, 2011, to Ba3 from B2; US$320 million 9.5% senior
subordinated notes due Feb. 15, 2013, to B3 from Caa1; Corporate
Family Rating, to B1 from B2; and Speculative Grade Liquidity
Rating, to SGL-2 from SGL-3.  Moody's said the ratings outlook
is stable.




===============
H O N D U R A S
===============


EMPRESA NACIONAL: Needs US$200 Million to Upgrade Equipment
-----------------------------------------------------------
Empresa Nacional de Energia Electrica, Honduras state-owned
utility company, requires US$200 million in funds to upgrade
equipment in order to meet higher demands, local paper La
Tribuna states.

La Tribuna relates that the country's economic growth resulted
to higher electricity consumption.  In the North Coast, demand
increased to 15% instead of the forecasted 7%.  

Empresa Nacional needs to upgrade and spend for equipment
maintenance to increase capacity on its electrical grid.  
However, the agency is strapped for cash making it necessary to
look for other avenues to meet the increasing demand for
electricity.  One proposal is to commission the services of a
private company and pay it back in installments.

"There is equipment that has already reached the end of its
useful life, and so the Intervention Commission is making bids
in order to buy the equipment and to make the necessary
maintenance repairs," Benjamin Bogran, a member of the
commission, told La Tribuna.

Empresa Nacional is the national electric firm of Honduras.
The utility firm is undergoing several reforms aimed at reducing
its HNL3 million deficit and lower the annual loss of almost
HNL500 million lempiras due to insufficient billing.


EMPRESA NACIONAL: World Bank to Disclose Ways to Build Up Firm
--------------------------------------------------------------
A World Bank spokesperson told Business News Americas that,
along with a four-year plan for the Honduran economy, the bank
will disclose on Oct. 24 measures to strengthen Empresa Nacional
de Energetica Electrica, as well as Hondutel.

As reported in the Troubled Company Reporter-Latin America on
Aug. 1, 2006, Empresa Nacional was undergoing several reforms to
reduce its HNL3-million deficit.  Empresa Nacional's reforms
include:

   -- purchase of 136,000 domestic electric meters for
      installation in many Honduran homes where electricity
      consumption is not measured and paid for; and

   -- acquisition  of remote measuring and a security equipment
      that will be placed in high consumption places such as
      factories in order to put a stop to the illicit
      consumption of electricity.

Empresa Nacional is the national electric firm of Honduras.
The utility firm is undergoing several reforms aimed at reducing
its HNL3 million deficit and lower the annual loss of almost
HNL500 million lempiras due to insufficient billing.


* HONDURAS: 46 Firms to Build Hotels in Bahia de Tela Area
----------------------------------------------------------
El Heraldo reports that 46 companies will be signing today an
agreement for the construction of hotels and recreation
facilities in the Bahia de Tela area.

Minister of Tourism Ricardo Martinez told El Heraldo that total
investments are estimated at US$22 million.  The construction of
the first hotels will begin in early 2007 with about US$11
million in investments.

El Heraldo says the project will cover 312 hectares.  

Meanwhile, Minister Martinez estimates that Honduras will earn
US$500 million from its tourism industry this year.  He adds
that the income would place the industry as the third source of
foreign revenue, after family remittances and the maquila
industry.

                        *    *    *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date
                     ------     -----------
   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998


* HONDURAS: World Bank to Publish Four-Year Economic Plan
---------------------------------------------------------
A World Bank spokesperson told Business News Americas that the
bank will disclose on Oct. 24 a four-year plan for the Honduran
economy, as well as measures to strengthen state firms Hondutel
and Empresa Nacional de Energetica Electrica.

Local daily El Heraldo states that with regards to Hondutel, the
plan will include rate adjustments and job losses.

According to El Heraldo, Hondutel's annual revenue is expected
to decrease due to the termination of its monopoly in telephone
services in December 2005.  Revenue loss for international long
distance is expected to be HNL1 billion.

BNamericas relates that the task of drawing up a four-year plan
was part of a series of commitments the Honduran government took
on with the International Monetary Fund aka IMF for an economic
program covering 2004-2006.  

Meanwhile, Hondutel plans to invest in measures to fight illegal
international long distance operators and raise installed lines
to 600,000 in 2009, from the current 400,000, BNamericas notes.

By launching mobile services, Hondutel is expected to become
more competitive, BNamericas states.  

                        *    *    *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date
                     ------     -----------
   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998




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


KAISER ALUMINUM: 9 Directors Acquire Shares of KAC Common Stock
---------------------------------------------------------------
In regulatory filings with the U.S. Securities and Exchange
Commission, nine directors disclosed that they acquired shares
of Kaiser Aluminum Corp. common stock, at par value of US$0.01
per share, on August 1, 2006:

                           No. of Shares       No. of Shares
                           of Restricted    Received in Lieu of
Name                          Stock         Annual Cash Retainer
----                       -------------   ---------------------
George Becker                  693                  346
Carl Bennett Frankel           693                  520
Teresa A. Hopp                 693                  231
William F. Murdy               693                  404
Alfred E. Osborne, Jr.         693                    -
Georganne Proctor              693                  693
Jack Quinn                     693                  693
Thomas Melton Van Leeuwen      693                  693
Brett Wilcox                   693                  693

The Directors were granted restricted stock pursuant to Kaiser's
2006 Equity and Performance Incentive Plan.  All restrictions
will lapse on August 1, 2007.

Pursuant to the Incentive Plan, the Directors also acquired KAC
common stock, with an average closing price of US$43.26 per
share, in lieu of all or a portion of their annual cash
retainers for serving as board members, lead independent
directors or chairs of a board committee.

Headquartered in Foothill Ranch, California, Kaiser Aluminum
Corp. -- http://www.kaiseraluminum.com/-- is a leading    
producer of fabricated aluminum products for aerospace and high-
strength, general engineering, automotive, and custom industrial
applications.  The Company, along with its Jamaican subsidiaries
-- Alpart Jamaica Inc. and Kaiser Jamaica Corporation -- filed
for chapter 11 protection on Feb. 12, 2002 (Bankr. Del. Case No.
02-10429), and has sold off a number of its commodity businesses
during course of its cases.  Corinne Ball, Esq., at Jones Day,
represents the Debtors in their restructuring efforts. Lazard
Freres & Co. serves as the Debtors' financial advisor.  Lisa G.
Beckerman, Esq., H. Rey Stroube, III, Esq., and Henry J. Kaim,
Esq., at Akin, Gump, Strauss, Hauer & Feld, LLP, and William P.
Bowden, Esq., at Ashby & Geddes represent the Debtors' Official
Committee of Unsecured Creditors.  The Debtors' Chapter 11 Plan
became effective on July 6, 2006.  On June 30, 2004, the Debtors
listed US$1.619 billion in assets and US$3.396 billion in debts.  
(Kaiser Bankruptcy News, Issue No. 103; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 609/392-0900)


KAISER ALUMINUM: Inks New Long-Term Agreement With Boeing
---------------------------------------------------------
Kaiser Aluminum Corp. signed a new long-term contract with
Boeing to supply sheet and light gauge aluminum plate for use in
Boeing commercial aircraft products.  The new supply contract,
which extends an existing agreement, effectively adds to a prior
multi-year agreement for heavy-gauge plate between Boeing and
Kaiser Aluminum signed earlier this year.

"Kaiser Aluminum and Boeing have a long history of partnership,
and this agreement further solidifies the long-term relationship
between the two companies," said Jack A. Hockema, chairman,
president and chief executive officer, Kaiser Aluminum.

"We're pleased to extend our contract with Kaiser Aluminum,"
said John Byrne, Global Partners director of Purchased Outside
Production and Common Commodities for Boeing Commercial
Airplanes.  "With the continued strong demand for new airplanes,
Kaiser's support is invaluable to delivering the highest quality
airplanes to our customers."

The contract with Boeing is enabled by a previously announced
US$105 million expansion at Kaiser Aluminum's Trentwood Rolling
Mill in Spokane, Washington.

                        About Boeing

Boeing is the world's leading aerospace company and the largest
manufacturer of commercial jetliners and military aircraft
combined. With additional capabilities in rotorcraft, electronic
and defense systems, missiles, satellites, launch vehicles and
advanced information and communication systems, the company's
reach extends to customers in 145 countries.  In terms of sales,
Boeing is the largest U.S. exporter.

                    About Kaiser Aluminum

Headquartered in Foothill Ranch, California, Kaiser Aluminum
Corp. -- http://www.kaiseraluminum.com/-- is a leading    
producer of fabricated aluminum products for aerospace and high-
strength, general engineering, automotive, and custom industrial
applications.  The Company, along with its Jamaican subsidiaries
-- Alpart Jamaica Inc. and Kaiser Jamaica Corporation -- filed
for chapter 11 protection on Feb. 12, 2002 (Bankr. Del. Case No.
02-10429), and has sold off a number of its commodity businesses
during course of its cases.  Corinne Ball, Esq., at Jones Day,
represents the Debtors in their restructuring efforts. Lazard
Freres & Co. serves as the Debtors' financial advisor.  Lisa G.
Beckerman, Esq., H. Rey Stroube, III, Esq., and Henry J. Kaim,
Esq., at Akin, Gump, Strauss, Hauer & Feld, LLP, and William P.
Bowden, Esq., at Ashby & Geddes represent the Debtors' Official
Committee of Unsecured Creditors.  The Debtors' Chapter 11 Plan
became effective on July 6, 2006.  On June 30, 2004, the Debtors
listed US$1.619 billion in assets and US$3.396 billion in debts.  
(Kaiser Bankruptcy News, Issue No. 103; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 609/392-0900)


NATIONAL COMMERCIAL: Will Proceed with 81B King Street Auction
--------------------------------------------------------------
The National Commercial Bank Jamaica Ltd. told the Jamaica
Gleaner that it would proceed with the auction of its 81B King
Street, scheduled for this month at 171 Belmont Road in St.
Andrew.

The National Commerical had announced the auction in a full-page
newspaper advertisement, The Gleaner says.

In a move to discourage potential bidders at the auction, Topaz
Jewellers -- the owner of 81B King Street -- warned in their own
full-page advertisement in The Gleaner that it would include the
winning bidder in a lawsuit it filed against National
Commercial.

"Members of the public are hereby put on notice that NCB's
(National Commercial) alleged powers under the mortgage are
disputed and any person seeking to 'purchase' the property at
the auction will be added to the lawsuit as a defendant," Topaz
Jewellers said in the advertisement.

Topaz Jewellers, says The Gleaner, had sued the National
Commercial a little over six months ago.  National Commercial
filed a defense in May.

The Gleaner relates that the 81B King Street was pledged as
security for a loan that Topaz Jewellers obtained from National
Commercial.  The property has a gross floor area of nearly
15,000 square feet on two lots totaling 5,400 square feet and it
is valued up to US$30 million.

The report underscores that Topaz Jewellers alleges that the
mortgage is void, saying that it was obtained by "undue
influence".  

Topaz claims that the mortgage is void and was "obtained by
undue influence" and sued NCB a little over six months ago.

Sandra Minott-Phillips -- National Commercial's attorney from
law firm Meyers, Fletcher and Gordon, told Wednesday Business,
"I am not going to go into the issues, I am not going to try the
case.  I am not going to fall into a trap set by Topaz Jewellers
for the case to be tried in the public media.  I am absolutely
not going to be doing that."

The Gleaner notes that Attorney Minott-Phillips has dismissed
Topaz Jewellers' advertisement, saying, "This is novel.  I have
never before, in all my years of practice, encountered a person
who has mortgaged property to a bank and tried to prevent a bank
from exercising its power of sale by way of a full-page
advertisement in the newspaper.  It certainly has no legal
effect whatsoever."

According to The Gleaner, Attorney Minott-Phillips insisted that
the auction would not be put off.

"The auction will be going ahead.  Of course, it will be going
ahead.  The auction is properly advertised and it will be going
ahead," Attorney Minott-Phillips told The Gleaner.

The National Commercial has an excellent case, The Gleaner says,
citing Attorney Minott-Phillips.  The lawyer had alleged that
Topaz Jewellers were attempting to litigate the matter in the
press.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
Feb. 13, 2006, Fitch initiated rating coverage on Jamaica's
National Commercial Bank Jamaica, Ltd., by assigning 'B+'
ratings on the bank's long-term foreign currency.  Other ratings
assigned by Fitch include:

   -- Long-term local currency 'B+';
   -- Short-term foreign currency 'B';
   -- Short-term local currency 'B';
   -- Individual 'D';
   -- Support '4'.

Fitch said the ratings have a stable rating outlook.




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


AMERICAN AXLE: S&P Rates New US$50 Mil. Senior Term Loan at BB
--------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB' rating to
the new US$50 million senior unsecured term loan of American
Axle & Manufacturing Inc. (BB/Negative/--).

American Axle's recently completed term loan credit facility
provided the ability to issue this incremental term loan.  
Proceeds from the new term loan will be used to reduce
borrowings under the company's revolving credit facility.

The corporate credit ratings on American Axle and parent
company, American Axle & Manufacturing Holdings Inc., are 'BB'.  
The rating outlook is negative.  The company has about US$717
million of lease-adjusted debt and US$425 million of underfunded
employee benefit liabilities.

The ratings on American Axle reflect the risks associated with
the company's heavy dependence on the General Motors Corp. (GM;
B/Watch Neg/B-3) SUVs and pickup trucks, current relatively
narrow product range, and American Axle's exposure to cyclical
and competitive markets.  These factors are tempered by American
Axle's high market shares, high-value-added product portfolio,
and good R&D capabilities.
     
Ratings List:

  American Axle & Manufacturing Inc.:

   -- Corporate credit rating: BB/Negative/--
   -- Senior unsecured debt: BB

  American Axle & Manufacturing Holdings Inc.:

   -- Corporate credit rating: BB/Negative/--
   -- Senior unsecured debt: BB

Rating Assigned:

  American Axle & Manufacturing Inc.:

   -- US$50 million senior unsecured term loan*: BB

  * Guaranteed by American Axle & Manufacturing Holdings Inc.


ARROW ELECTRONICS: Earns US$92.8 Million in 2006 Second Quarter
---------------------------------------------------------------
Arrow Electronics, Inc., reported second quarter 2006 net income
of US$92.8 million on sales of US$3.44 billion, compared with
net income of US$58.4 million on sales of US$2.77 billion in the
second quarter of 2005.  The 24% increase in sales year-over-
year included 14% organic growth and 10% growth as a result of
acquisitions.   

Operating income in the second quarter of 2006 and 2005 was
US$163.1 million and US$118.8 million, respectively.

Arrow's net income for the first six months of 2006 was US$174.3
million on sales of US$6.63 billion, compared with net income of
US$115.6 million on sales of US$5.49 billion in the first six
months of 2005.

"We once again had an excellent quarter as our ongoing
initiatives, coupled with favorable conditions in the
marketplace, led to record second quarter sales and earnings in
excess of our expectations.  We also delivered our highest
second quarter return on invested capital in ten years," said
William E. Mitchell, Chairman, President and Chief Executive
Officer.  "We continue on our path of consistent execution with
14 consecutive quarters of year-over-year sales growth, and we
are very proud of our progress in driving operational excellence
into all parts of our business."

Worldwide components sales of US$2.76 billion increased 6%
sequentially and 27% over last year, while operating income
increased 11% sequentially and 42% over last year.  Sales on a
pro forma basis, including Ultra Source Technology Corp. in the
second quarter of 2005, increased 20% year-over-year.  "Each of
our components businesses around the world achieved sequential
growth and impressive year-over-year increases in sales and
operating income," stated Mr. Mitchell.  "In North America,
sales reached their highest level since the first quarter of
2001, while we drove operating expenses as a percentage of sales
down 150 basis points year-over-year.  Sales in Europe reached
all-time highs while improving operating income almost 60% year-
over-year, and Asia/Pacific sales broke records again with
significant improvements in profitability," added Mr. Mitchell.

Worldwide computer products sales increased 17% sequentially in
this seasonally strong quarter, and increased 14% year-over-
year.  Sales for the Enterprise Computing Solutions business on
a pro forma basis, including DNSint.com AG in the second quarter
of 2005, decreased 2% year-over-year.  "Our enterprise computing
business continued to demonstrate solid profitability and
returns.  Growth was driven by strong performance in storage,
industry standard servers, and our European enterprise business,
offset by weakness in the broad proprietary server market and
software in North America," said Mr. Mitchell.

The company's results for the second quarter of 2006 and 2005
include these items that impact their comparability:

     -- During the second quarter of 2006, the company recorded
        US$3.1 million of restructuring charges.  Included in
        the restructuring charges is approximately US$2.4
        million related to previously announced actions the
        company has committed to take in an ongoing effort to
        improve its operating efficiencies.  These previously
        announced actions are expected to generate annual cost
        savings of approximately US$6 million beginning in 2007.  
        The estimated restructuring charges to be recorded over
        the next several quarters associated with these actions
        total approximately US$1 million.

     -- During the second quarter of 2005, the company recorded
        restructuring charges related to additional actions to
        better optimize the use of its mainframe, reduce real
        estate costs, be more efficient in its distribution
        centers, and to be more productive in the amount of
        US$4.8 million.

     -- During the second quarter of 2005, the company
        repurchased, through a series of transactions,
        US$80.8 million accreted value of its zero coupon
        convertible debentures due in 2021, which could have
        been put to the company in February 2006.  The related
        loss on the repurchase, including the premium paid and
        the write-off of related deferred financing costs,
        aggregated US$1.7 million.

     -- At July 1, 2005, the company determined that an other-
        than-temporary decline in the fair value of an
        investment occurred, and, accordingly, during the second
        quarter of 2005, the company recorded a loss on the
        write-down of an investment of US$3 million

"We expect the components market to return to more normal,
steady conditions in the third quarter after having experienced
an uptick in demand over the last few quarters.  Based upon the
information known to us today, we anticipate traditional
seasonality for our businesses next quarter, as markets remain
rational and disciplined in all of the regions in which we
operate.  In Asia/Pacific, we expect to see an uptick in demand
in preparation for the typical holiday build.  Both Europe,
because of its extended holiday period, and Enterprise Computing
Solutions, due to typical third quarter seasonality, are
expected to see a drop off in activity levels.  In North
American components, fewer shipping days may cause a
corresponding drop in sales," said Paul J. Reilly, Senior Vice
President and Chief Financial Officer.  

"We believe this will result in sales between US$3.275 and
US$3.425 billion for the upcoming quarter.  We anticipate
worldwide components sales between US$2.67 and US$ 2.77 billion
and sales for worldwide computer products to be between US$605
and US$655 million.  Earnings per share on a diluted basis,
including the impact of expensing stock options in accordance
with FASB Statement No. 123(R) estimated at approximately US$.02
per share, are expected to be in the range of US$.68 to US$.72,
excluding any charges.  Excluding the impact of restructuring
and other charges, and the expensing of stock options, diluted
earnings per share for the third quarter are expected to
increase 35% to 42% from last year's third quarter," added Mr.
Reilly.

Headquartered in Melville, New York, Arrow Electronics --
http://www.arrow.com/-- is a global provider of products,  
services and solutions to industrial and commercial users of
electronic components and computer products.  Arrow serves as a
supply channel partner for nearly 600 suppliers and more than
130,000 original equipment manufacturers, contract manufacturers
and commercial customers through a global network of over 270
locations in 53 countries and territories.  In Latin America,
the company operates in Argentina, Brazil and Mexico.

                        *    *    *            

Arrow Electronics carries Fitch's 'BB+' issuer default rating.  
The Company's senior unsecured notes and senior unsecured bank
credit facility also carry Fitch's 'BB+' rating.  The rating
outlook is positive.


BALLY TOTAL: Revises Potential Growth Indication for 2006
---------------------------------------------------------
Bally Total Fitness Holding Corp. disclosed that due in
substantial part to continued softness in member joins compared
to prior periods, the Company's prior indication as to potential
growth in "cash contribution" in 2006 versus 2005 will not be
achieved.

Bally Total anticipates the amount for 2006 will be 10 to 20%
lower than the US$120 million cash contribution previously
disclosed for 2005.  However, the Company continues to
anticipate that its cash flow and availability under its senior
secured credit facility will be sufficient to meet its liquidity
needs for working capital and other cash requirements through
the first quarter of 2007.  

Bally Total Fitness also stated that its previously announced
process to evaluate strategic alternatives, which had focused on
a sale or merger of the Company, is now expected to focus on
exploring other financing alternatives, such as a
recapitalization, private placement, underwritten rights
offering or other corporate restructuring.

In light of these developments and the fact that its discussions
with potential interested parties have not to date resulted in
any proposal, agreement or transaction involving a sale or
merger of the Company, the Strategic Alternatives Committee of
Bally Total Fitness has determined, after consultation with its
outside financial advisors, that other alternatives should now
be pursued.

Bally also announced that while the Company will not be filing
its Quarterly Report on Form 10-Q for the three months ended
June 30, 2006, in a timely manner, it expects to file that
report before the Sept. 11, 2006, expiration of the initial
waiver period previously obtained from the Company's senior bank
lenders and bondholders.  On Aug 10, 2006, the Company filed a
Form 12b-25 pertaining to this delay in filing the second
quarter Form 10-Q.

Bally Total Fitness Holding Corp.
-- http://www.Ballyfitness.com/-- is the largest and only  
nationwide commercial operator of fitness centers, with over 400
facilities located in 29 states, Mexico, Canada, Korea, the
Caribbean, and China under the Bally Total Fitness, Bally Sports
Clubs and Sports Clubs of Canada brands.  Bally offers a unique
platform for distribution of a wide range of products and
services targeted to active, fitness-conscious adult consumers.

                        *    *    *

As reported in the Troubled Company Reporter on March 17, 2006,
Standard & Poor's Ratings Services held its ratings on Bally
Total Fitness Holding Corp., including the 'CCC' corporate
credit rating, on CreditWatch with developing implications,
where they were placed on Dec. 2, 2005.


BURGER KING: Earns US$27 Million for Year Ended June 30, 2005
-------------------------------------------------------------
Burger King Holdings Inc. reported net income of US$27 million
for fiscal year 2006 compared to US$47 million for fiscal year
2005.  Net income decreased primarily due to the management
termination fee and the make-whole payments.

Burger King reported that its revenues for the fiscal year
reached a record high of US$2.05 billion, an increase of 6% from
the previous fiscal year, and its average restaurant sales
worldwide rose to an all-time high of US$1.13 million for the
fiscal year ended June 30, 2006.

For the fiscal quarter ended June 30, 2006, Burger King reported
a net loss of US$9 million from total revenues of US$533
million, versus net income of US$2 million from total revenues
of US$503 million for the same period in the previous fiscal
quarter.

"As we build on the success of our Go Forward Plan, the business
continues to deliver strong results as demonstrated by the 24%
growth in our adjusted income before taxes from our business,"
John W. Chidsey, chief executive officer, said. "Further, it's
been more than a decade since the company has enjoyed 10
consecutive quarters of positive comp sales growth worldwide.

                  Initial Public Offering

Burger King became a publicly traded company on May 18. It
disclosed that approximately US$350 million of the US$392
million in net proceeds raised in the IPO was used to retire
secured debt.  On July 31, the company retired an additional
US$50 million in debt.

Chief Financial Officer Ben Wells said, "Our reduced debt level
further strengthens the company's balance sheet and better
positions us for future growth.

"Our highly franchised business model is extremely cash
positive.  Even during the height of the turnaround, when we
were investing millions of dollars in the brand, the company
generated excess cash.  Coupled with cash earned from operations
and US$350 million from IPO proceeds, we decreased our
indebtedness from US$1.3 billion at June 30, 2004, to US$1.07
billion at the end of fiscal year 2006 and will continue to do
so if it makes economic sense for our business."

                      About Burger King

The Burger King(R) system (NYSE: BKC) -- http://www.bk.com/--  
operates more than 11,100 restaurants in all 50 states and in
more than 65 countries and U.S. territories worldwide.  
Approximately 90% of BURGER KING restaurants are owned and
operated by independent franchisees, many of them family-owned
operations that have been in business for decades.

Burger King Corp. operates restaurants in the Latin American,
Caribbean and Mexican Region.  The company's first international
restaurant opened in 1963 in Puerto Rico.  Since 1994, Burger
King has opened more than 300 restaurants in the Latin American
region, producing some of the strongest comparable store sales
growth for the brand around the world.  Burger King(R)
restaurants in Latin America serve approximately 1,600 customers
per day each, making them some of the highest volume restaurants
in the system.

                        *    *    *

As reported in the Troubled Company Reporter on June 23, 2006,
Fitch assigned initial ratings for Burger King Corp., the
world's second largest fast food hamburger restaurant chain.  
Fitch assigned the Company its 'B+' Issuer Default Rating.  
Fitch also rated the Company's US$150 million revolving credit
facility maturing June 2011; and US$967 million aggregate
remaining term loan A and B outstandings maturing June 2011 and
June 2012, respectively, at 'BB/RR2'.  Fitch said that the
Outlook on all Ratings is Positive.


CABLEMAS SA: Secures 13 Fixed Telephony Concessions from SCT
------------------------------------------------------------
Cablemas, S.A. de C.V., disclosed that on July 31, 2006, the
Ministry of Communications and Transportation or Secretaria de
Comunicaciones y Transportes -- SCT, granted the company local
fixed telephony concessions in thirteen of the main cities in
which it currently operates.

These concessions will allow Cablemas to add telephony to the
suite of directly-provided services, which already includes
video and internet.  To roll out telephony services in these
cities, Cablemas will enter into interconnection agreements with
telecommunications firms.

In August, Cablemas expects the SCT to issue the Convergence
Agreement wherein the rules of fair competition between
telecommunication firms and cable operators in terms of
interoperability, interconnection, and number portability will
be defined.

Cablemas S.A. de C.V. -- http://www.cablemas.com-- is the     
second-largest cable television operator in Mexico based on the
number of subscribers and homes passed.  As of June 30, 2005,
the company's network served over 546,000 cable subscribers and
in excess of 87,000 high-speed Internet subscribers, with more
than 1,647,000 homes passed.  It is the concessionaire with the
broadest coverage in Mexico, operating in 46 cities throughout
the country's oil, maquiladora and tourist regions.

                        *    *    *

As reported by the Troubled Company Reporter on Dec. 30, 2005,
Moody's Investors Service assigned a B1 corporate family rating
to Cablemas.  The outlook is stable.  This rating action is in
accordance with the B1 ratings Moody's assigned to Cablemas'
US$175 million of senior unsecured notes, with a stable outlook,
on November 4th, 2005.  The proceeds of the issue were used to
refinance debt and for capital expenditures.

On April 24, 2006, Fitch assigned these ratings to Cablemas:

   -- long-term issuer default rating:  BB-; and
   -- local currency long-term issuer default rating: BB-


GRUPO IUSACELL: To Execute Convenio Concursal With Creditors
------------------------------------------------------------
Grupo Iusacell, S.A. de C.V., disclosed the advancement of its
restructuring process within the framework established by its
strategic plan, and that it hopes that the restructuring
agreement that has been reached in principle with the majority
of its creditors will be legally finalized soon.

As of Aug. 16, 2006, approximately 90% of Iusacell's creditors
have confirmed their support of the company's Plan of
Reorganization by means of the company's exchange offer and
consent solicitation that expired on June 1, 2006.  The company
believes that the high rate of approval of the Plan of
Reorganization signifies a clear confidence in the company's
management.

The restructuring consists of an exchange of U.S.$350 million of
the company's 14.25% notes due 2006 for U.S.$175 million of new
notes due 2013 that will bear interest at annual rate of 10%
(with semi-annual interest payments in arrears including the
option for Iusacell to capitalize up to 40% of each interest
payment).

Another milestone was reached in the legal implementation of the
restructuring agreement reached in principle with Iusacell's
creditors.  Iusacell filed a voluntary petition for concurso
mercantil before a Mexican judge -- Juez Septimo de Distrito en
Materia Civil del Primer Circuito, which today and as a part of
the restructuring process, issued a declaration of concurso
mercantile (sentencia de concurso) for Iusacell.  As a result of
this declaration, the company enters a new phase towards
completing its restructuring and expects to execute soon the
corresponding plan of reorganization (convenio concursal) to be
submitted before the Mexican court.  Accordingly to this type of
process, Iusacell has appointed various counsels to coordinate
and act in the judicial proceedings, including:

   -- Everardo Joaquin Espino,
   -- Enrique Gutierrez Flores,
   -- David Pablo Montes Ramirez and
   -- Ivan Sanchez Montero.

The Federal Institute Specializing in Concursos Mercantiles
(Instituto Federal de Especialistas en Concursos Mercantiles)
was the entity responsible of the review of Iusacell's books and
records that concluded satisfactorily with the report of the
examiner Mr. Pablo Octaviano Mendoza Garcia.

                    About Grupo Iusacell

Headquartered in Mexico City, Mexico, Grupo Iusacell, S.A. de
C.V. (BMV: CEL) -- http://www.iusacell.com-- is a wireless
cellular and PCS service provider in Mexico with a national
footprint.  Independent of the negotiations towards the
restructuring of its debt, Grupo Iusacell reinforces its
commitment with customers, employees and suppliers and
guarantees the highest quality standards in its daily operations
offering more and better voice communication and data services
through state-of-the-art technology, including its new 3G
network, throughout all of the regions in which it operate.

As of Dec. 31, 2005, Grupo Iusacell's stockholders' deficit
widened to MXN2,076,000,000 from a deficit of MXN1,187,000,000
at Dec. 31, 2004.

Grupo Iusacell filed for bankruptcy protection on June 18 under
Mexican Law to prevent creditors from disrupting its debt
restructuring talks.  On July 14, 2006, Gramercy Emerging
Markets Fund, Pallmall LLC and Kapali LLC, owed an aggregate
amount of US$55,878,000 filed an Involuntary Chapter 11 Case
against Grupo Iusacell's operating subsidiary, Grupo Iusacell
Celular, S.A. de C.V. (Bankr. S.D.N.Y. Case No. 06-11599).  Alan
M. Field, Esq., at Manatt, Phelps & Phillips, LLP, represents
the petitioners.

Iusacell Celular then filed for bankruptcy protection under
Mexican Law on July 18.


GRUPO MEXICO: Subsidiary Concludes Studies on Tia Maria Project
---------------------------------------------------------------
Grupo Mexico SA de CV said in a press release that its
subsidiary Southern Copper Corp. has completed studies on its
Tia Maria projects in southern Peru.

As reported in the Troubled Company Reporter-Latin America on
Aug. 17, 2006, Grupo Mexico said that new mining projects in
Peru and Mexico could increase the firm's copper output by 60%
or 470,000 tons in four years.  Among the projects are the
Maria, and Los Chancas in Peru and the El Arco in northern
Mexico.  Grupo Mexico said that the new projects would raise its
molybdenum production by 20 million pounds, also in four years.  
The company said that Tia Maria should take around two years to
develop.  The company said that once the project is finished,
the new output -- added to the expansions underway in the
Cananea -- should boost the company's copper production by
110,000 tons yearly.

Dow Jones Newswires reports that the Tia Maria will produce
copper cathode using the SX-EW process.

SX/EW stands fro solution extraction/electrowinning.  It is a
two-stage process that first extracts and upgrades copper ions
from low-grade leach solutions into a concentrated electrolyte,
and then deposits pure copper onto cathodes using an
electrolytic procedure.

Meanwhile, Grupo Mexico told Dow Jones that it expects to decide
on the Los Chancas project in Peru and El Arco in Mexico by the
end of November.

Grupo Mexico's copper production decreased 13.8% to 285,000
metric tons in the first half of 2006, compared with the same
period of 2005, due to strikes at its La Caridad and Cananea
mines, Dow Jones relates.

Grupo Mexico SA de C.V. -- http://www.grupomexico.com/--    
through its ownership of Asarco and the Southern Peru Copper
Company, Grupo Mexico is the world's third largest copper
producer, fourth largest silver producer and fifth largest
producer of zinc and molybdenum.

                        *    *    *

Fitch Ratings assigned these ratings to Grupo Mexico SA de C.V.:

     -- foreign currency long-term debt, BB; and
     -- local currency long-term debt, BB.


HERBALIFE LTD: Second Quarter Net Income Increases to US$36 Mil.
----------------------------------------------------------------
Herbalife Ltd. reported record second-quarter net sales of
US$466 million, an increase of 21.1% compared with the same
period of 2005.

The growth was attributable to increases in the company's three
largest regions, the Americas, Asia Pacific, and Europe, which
achieved net sales growth of 39.2%, 24.7%, and 2.4%,
respectively, versus the second quarter of 2005.  Partially
offsetting the growth in these regions was a 6.3% decline in
Japan.

"We are pleased to report that the second quarter marked our
10th consecutive quarter of year-over-year double-digit sales
growth," The Company's chief executive officer, Michael O.
Johnson, said.

"Our commitment to supporting the recruiting, retailing and
retention efforts of our distributors has served as a key
catalyst in accelerating our top line growth."

During the second quarter of 2006, new distributor supervisors
increased 41.7% versus the second quarter of 2005.  The
company's high-level Presidents Team increased 15.9% to 924
members during the quarter, compared to 2005, and one new
distributorship attained the prestigious level of Chairman's
Club, bringing the total to 29 members.

                   Financial Performance

For the quarter ended June 30, 2006, Herbalife reported net
income of US$36.3 million compared with US$22.8 million in the
second quarter of 2005.  This increase was primarily
attributable to double-digit net sales growth and lower interest
expense, offset by moderate increases in selling, general and
administrative expenses.

Excluding the impact of a US$5.5 million non-cash tax charge
associated with restructuring the ownership of Herbalife's China
subsidiary in the second quarter of 2005, second quarter 2006
net income increased 28.6% compared with the same period in
2005.

At June 30, 2006, Herbalife's balance sheet showed
US$837.801 million in total assets, US$668.913 million in total
liabilities, and US$168.888 million in total stockholders'
equity.

For the six months ended June 30, 2006, the company reported net
income of US$75.0 million compared with US$36.1 million in same
period last year.

Herbalife invested US$13.4 million in capital expenditures
during the second quarter, primarily related to management
information systems, the development of the company's direct-to-
consumer platform, additional infrastructure investments in
China and the relocation of the company's Americas region
headquarters.

              Second Quarter 2006 Business Highlights

During the quarter, Herbalife hosted a record number of
distributors at a variety of regional and local events.  One of
the major highlights was the Asia Pacific Extravaganza hosted in
Bangkok, Thailand, which attracted over 15,000 distributors from
13 countries, including over 2,500 combined from Japan and
China.  The three-day event included training sessions on
business building techniques and new product introductions, as
well as recognition of achievements over the past year.  In
Europe, over 16,000 distributors attended 18 mini-Extravaganzas
hosted in 17 countries.

Furthermore, Herbalife attracted over 4,500 distributors to its
World Team School event in Brazil and almost 5,000 attended a
variety of leadership training sessions across South America.

"By providing our distributors with events focused on training,
motivation and the sharing of best practices, we reinforce our
commitment to continuous investment in initiatives that will
help our distributors grow their businesses," Mr. Johnson said.

Global expansion of the company's distributor business methods
continued to gain traction during the quarter.  Over 16,000
distributors were trained on the Nutrition Club party-planning
concept, which was introduced into six new markets during the
quarter, and the Personal Wellness Evaluation method expanded
into several new markets.

"We are extremely pleased with the global acceptance of our
Nutrition Club method and continue to support our distributors
in acculturating the concept in markets beyond Mexico," Greg
Probert, the company's president and chief operating officer,
said.

"Additionally, we are equally excited that new business building
techniques are being formulated and the unification within our
distributor organization is accelerating the expansion of these
best practices worldwide," Mr. Probert continued.

Herbalife also remained focused on the globalization of its core
products during the quarter.  LiftOff(TM) expanded into eight
European markets and Japan.  NouriFusion was also introduced to
14 new markets, including Brazil, Turkey and Russia.  
Furthermore, reinforcing its commitment to distributor support
and training, the company named the 11th member to its Medical
Advisory Board, U.K. sports medicine specialist Ralph Rogers
M.D.

Global branding continues to be a key component in supporting
the recruiting and retailing efforts of Herbalife's
distributors.  Sponsorships during the quarter included the
Florence Fitness Festival, the ITU Madrid Triathlon World Cup,
the Hong Kong Annual Dragon Boat Championships and the 1st KBS
SKY Marathon in Korea.

"Our distributors are excited about these branding initiatives,
and we will continue to invest strategically in grassroots
events to accelerate distributor activation, associate Herbalife
with healthy, active lifestyles and increase consumer awareness
of the Herbalife brand," Mr. Johnson said.

During the quarter, the company also supported the opening of
three new Casa Herbalife programs in Mexico, Argentina, and
Thailand.

"Through the Casa Herbalife program, we are able to build upon
the dream of Mark Hughes, our founder, of providing healthy
meals to underprivileged children around the world," Mr. Johnson
said.

Furthermore, the company continued the execution of its China
strategy by opening nine new stores in eight key provinces,
bringing the total to 28 stores in 17 provinces as of
June 30, 2006.

"I am pleased with the progress we have made in China and we
remain encouraged about our long-term prospects in this
important market," Mr. Probert said.

"We have expanded our retail presence in key provinces
throughout the mainland and remain well positioned to execute
our broader strategy once the licensing process is complete," he
continued.

                  Regional Performance

The Americas, which comprised 49.8% of worldwide sales, reported
net sales of US$232.3 million in the second quarter, up 39.2%
versus the same period of 2005.  Excluding currency
fluctuations, net sales increased 37.4%.  This increase was
largely attributable to continued sales growth in Herbalife's
largest market, Mexico, which reported an 86.0% increase during
the quarter versus 2005.  The strong regional performance was
also driven by growth in Brazil, up 27.1%, and the U.S., up
5.7%, in each case versus the second quarter 2005.

Total supervisors in the region, as of June 30, 2006, increased
41.0% versus 2005.  For the six months ended June 30, 2006, net
sales in the Americas increased 48.5% to US$456.3 million, as
compared to the same period in 2005.  Excluding currency
fluctuations, year-to-date net sales in the region increased
44.0%.

Europe, which comprised 31.2% of worldwide sales, reported net
sales of US$145.2 million in the second quarter, up 2.4% versus
the same period of 2005.  Excluding currency fluctuations, net
sales increased 2.7%.  The performance was primarily
attributable to growth in several of the region's top markets,
including Portugal, up 50.5%, France, up 34.9%, Italy, up 17.7%,
and Spain, up 12.9%, in each case compared to the second quarter
of 2005.

However, these increases were partially offset by declines in
Germany and the Netherlands, which were down 14.9% and 21.2%,
respectively, versus 2005.  Total supervisors in the region, as
of June 30, 2006, increased 0.8% versus 2005.  For the six
months ended June 30, 2006, net sales in Europe increased
slightly to US$286.7 million, compared with the same period in
2005.  Excluding currency fluctuations, year-to-date net sales
in the region increased 4.1%.

Asia Pacific, which comprised 14.9% of worldwide sales, reported
net sales of US$69.6 million in the second quarter, up 24.7%
versus the same period of 2005.  Excluding currency
fluctuations, net sales increased 22.9%.  The increase was
primarily attributable to incremental sales from Malaysia and
China, and growth in several other markets such as Thailand, up
39.4%, and South Korea, up 18.9%.  These gains were partially
offset by declines in other markets such as Taiwan, which
decreased 4.6%, resulting from additional distributor focus on
new market opportunities in Malaysia and China.

Total supervisors in the region, as of June 30, 2006, increased
20.8% versus 2005.  For the six months ended June 30, 2006, net
sales in Asia Pacific increased 18.8% to US$137.6 million,
compared with the same period in 2005.  Excluding currency
fluctuations, year-to-date net sales in the region increased
18.1%.

Japan, which comprised 4.1% of worldwide sales, reported net
sales of US$18.9 million in the second quarter, down 6.3% versus
the same period of 2005.  Excluding currency fluctuations, net
sales decreased 0.4%.  Total supervisors in the region, as of
June 30, 2006, declined 0.9% versus 2005.  For the six months
ended June 30, 2006, net sales in Japan declined 12.6% to
US$41.2 million, compared with the same period in 2005.  
However, excluding currency fluctuations, year-to-date net sales
in the region decreased 4.4%.

                     Recent Developments

On July 21, 2006, the company completed refinancing of its
existing US$225.0 million senior secured credit facility.  The
new US$300.0 million senior secured credit facility consists of
a US$200.0 million, seven-year term loan and a US$100.0 million,
six-year revolving credit facility.

At closing, the company used approximately US$65.0 million of
available cash and borrowed US$15.0 million under the new
revolver to repay the outstanding borrowings under its existing
senior credit facility and fund closing costs.

The company also announced that it advised the Trustee of its
9-1/2% Notes due 2011, of the company's election to redeem the
outstanding US$165.0 million aggregate principal amount of Notes
at the mandatory redemption price of approximately US$109.80 per
US$100.00 aggregate principal amount of Notes.  The company
intends to use the proceeds from the new US$200.0 million term
loan to fund the redemption and pay accrued interest.  The
anticipated redemption date is Aug. 23, 2006.

In conjunction with the Refinancing, the company expects to
incur an after-tax one-time charge of approximately US$14.0
million, representing the call premium on the Notes and the
write-off of unamortized deferred financing costs.

Full-text copies of the Company's second quarter financials are
available for free at http://ResearchArchives.com/t/s?f97

                     About Herbalife Ltd.

Herbalife Ltd. (NYSE: HLF) -- http://www.herbalife.com/-- is a
global network marketing company that sells weight-management,
nutritional supplements and personal care products intended to
support a healthy lifestyle.  Herbalife products are sold in 62
countries through a network of more than one million independent
distributors.  The company's largest market is in Mexico.  

The company supports the Herbalife Family Foundation
-- http://www.herbalifefamily.org/-- and its Casa
Herbalife program to bring good nutrition to children.

                        *    *    *

Standard & Poor's Ratings Services rated Herbalife Ltd.'s long-
term foreign and local issuer credit ratings at BB+.


MINERA MEXICO: Moody's Ups Guaranteed Sr. Notes Rating to Baa3
--------------------------------------------------------------
Moody's Investors Service upgraded the ratings on Minera Mexico
S.A. de C.V.'s guaranteed senior notes to Baa3 from Ba2. The
rating outlook is stable.

The upgrade reflects Minera Mexico's improved financial metrics
and free cash flow generation capacity as the company benefits
from the strong copper price environment and lower leverage
following significant debt repayment within the last year.  
Additionally, given the improved performance at the mine and
metallurgical operations, and the lower interest burden on the
company, Moody's expects Minera Mexico to continue to evidence
solid coverage ratios even in a copper price downturn,
particularly as Minera Mexico's parent, Southern Copper, intends
for all new debt to be raised at the parent level.  Despite
Minera Mexico's strong metrics at current copper prices, which
would indicate a rating higher than the Baa3, the rating
reflects the exposure to higher operating costs, although
tempered by by-product credits -- particularly molybdenum, the
potential for aggressive dividend payment requirements by either
Southern Copper, or its parent, Grupo Mexico S.A. de C. V., as
well as the labor and political landscape in which Minera Mexico
operates.

Minera Mexico was acquired in April 2005 by its sister company
Southern Copper (fka Southern Peru Copper) from its controlling
shareholder, Americas Mining Corporation, which in turn is 100%
owned by Grupo Mexico.  Minera Mexico accounts for approximately
50% of Southern Copper's assets and revenues and accounted for
roughly 47% of consolidated 2005 copper production.

Moody's last rating action on Minera Mexico was Sept. 12, 2005,
when the ratings were upgraded to Ba2 from B1.

Headquartered in Mexico City, Mexico, Minera Mexico had revenues
of US$2.0 billion in 2005.


SATELITES MEXICANOS: Court Closes Section 304 Proceeding
--------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York,
at the behest of Satelites Mexicanos, S.A. de C.V's foreign
representative, Sergio Autrey Maza, closed the Debtor's
proceeding under Section 304 of the Bankruptcy Code.

The Debtor commenced the Sec. 304 case on August 4, 2005, as an
ancillary proceeding to the concurso mercantil proceeding in
Mexico.  

In February 2006, the Debtor reached a restructuring agreement
with the ad hoc committees of holders of the Debtor's 10-1/8%
Unsecured Senior Notes due November 1, 2004, and Senior Secured
Floating Rate Notes due June 30, 2004; Loral Skynet Corporation;
Principia S.A. de C.V.; and Servicios Corporativos Satelitales,
S.A. de C.V., a wholly owned subsidiary of Firmamento Mexicano,
S. de R.L. de C.V., a joint venture by Loral and Principia.

The Restructuring Agreement provides for a global restructuring
of the Debtor's Senior Secured Notes, Existing Bonds, Existing
Preferred Stock and Existing Common Stock, pursuant to a
restructuring plan in the Concurso Proceeding.

The Second Federal District Court for Civil Matters for the
Federal District of Mexico City approved the Concurso Plan on
July 14, 2006.  The Consuro Plan Order became final and non-
appealable on July 31, 2006.  Accordingly, on July 31, the
Concurso Proceeding terminated.

Under the terms of the Restructuring Agreement, the Supporting
Parties agreed to implement the restructuring through
confirmation of a Chapter 11 plan of reorganization for the
Debtor in a case to be commenced before the U.S. Bankruptcy
Court.

Accordingly, the Debtor filed on August 11, 2006, a voluntary
Chapter 11 petition along with, among other things, a proposed
plan of reorganization, embodying the terms of the Restructuring
Agreement.

Because the Concurso Proceeding is closed and the Debtor has
filed a Chapter 11 petition, there is no longer any need for the
ancillary case to protect the Debtor's assets during the
administration of the Concurso Proceeding, Luc A. Despins, Esq.,
at Milbank, Tweed, Hadley & McCloy LLP, in New York, explains.

"The administration of Satmex's estate by the Mexican Bankruptcy
Court in the Concurso Proceeding is completed," Mr. Despins
said.

                   About Satelites Mexicanos

Satelites Mexicanos, S.A. de C.V., provides fixed satellite
services in Mexico.  Satmex provides transponder capacity via
its satellites to customers for distribution of network and
cable television programming, direct-to-home television service,
on-site transmission of live news reports, sporting events and
other video feeds.  Satmex also provides satellite transmission
capacity to telecommunications service providers for public
telephone networks in Mexico and elsewhere and to corporate
customers for their private business networks with data, voice
and video applications.  Satmex also provides the government of
the United Mexican States with approximately 7% of its satellite
capacity for national security and public purposes without
charge, under the terms of the Orbital Concessions.

The Debtor filed for chapter 11 petition on August 11, 2006
(Bankr. S.D.N.Y. Case No. 06-11868).  Luc A. Despins, Esq., at
Milbank, Tweed Hadley & McCloy LLP represents the Debtor in the
U.S. Bankruptcy proceedings.  Attorneys from Galicia y Robles,
S.C., and Quijano Cortina Lopez y de la Torre give legal advice
in the Debtor's Mexican Bankrutpcy proceedings.  UBS Securities
LLC and Valor Consultores, S.A. de C.V., give financial advice
to the Debtor.  Steven Scheinman, Esq., Michael S. Stamer, Esq.,
and Shuba Satyaprasad, Esq., at Akin Gump Strauss Hauer & Feld
LLP give legal advice to the Ad Hoc Existing Bondholders'
Committee.  Dennis Jenkins, Esq., and George W. Shuster, Jr.,
Esq., at Wilmer Cutler Pickering Hale and Dorr LLP give legal
advice to Ad Hoc Senior Secured Noteholders' Committee.  As of
July 24, 2006, the Debtor has US$905,953,928 in total assets and
US$743,473,721 in total liabilities.

On May 25, 2005, certain holders of Satmex's Existing Bonds and
Senior Secured Notes filed an involuntary chapter 11 petition
against the Company (Bankr. S.D.N.Y. Case No. 05-13862).
On June 29, 2005, Satmex filed a voluntary petition for a
Mexican reorganization, known as a Concurso Mercantil, which was
assigned to the Second Federal District Court for Civil Matters
for the Federal District in Mexico City.

On Aug. 4, 2005, Satmex filed a petition, pursuant to Section
304 of the Bankruptcy Code to commence a case ancillary to the
Concurso Proceeding and a motion for injunctive relief seeking,
among other things, to enjoin actions against Satmex or its
assets (Bankr. S.D.N.Y. Case No. 05-16103).  (Satmex Bankruptcy
News, Issue No. 1; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


SATELITES MEXICANOS: Gets Interim Access to Cash Collateral
-----------------------------------------------------------
The Honorable Robert D. Drain of the U.S. Bankruptcy Court for
the Southern District of New York allowed Satelites Mexicanos,
S.A., on an interim basis, to use the Cash Collateral and
provide adequate protection to Citibank.

Prior to filing for chapter 11 protection, the Debtor obtained
financing from:

                             Amount Outstanding  Approx. No. of
   Type of Debt Security      On Petition Date   Record Holders
   ---------------------     ------------------  --------------
   Senior Secured Floating     US$203,388,000       Less than 50
   Rate Notes due
   June 30, 2004

   10-1/8% Unsecured           US$320,000,000       Less than 50
   Senior Notes due
   November 1, 2004

The Senior Secured Notes are guaranteed by Firmamento Mexicano,
S. de R.L. de C.V., a joint venture between Loral SatMex Ltd.,
and Principia S.A. de C.V., and Servicios Corporativos
Satelitales, S.A. de C.V., a wholly owned subsidiary of
Firmamento, by a pledge (guaranty trust) of Firmamento's equity
in Servicios and a pledge (guaranty trust) of 6,675,000 shares
of the Satmex common stock held by Servicios.

Servicios owns 7,500,000 shares of the Existing Common Stock,
which represents 70.71% of the economic interests and 100% of
the voting interests in the Debtor.

The Senior Secured Notes matured on June 30, 2004, and the
Debtor did not repay the principal amounts due, but continued to
pay certain interest post-maturity until April 2005.

The Existing Bonds rank pari passu in right of payment with all
of the Debtor's existing and future senior unsecured
obligations, and are senior in right of payment to all of the
Debtor's future subordinated indebtedness.

The Existing Bonds matured on Nov. 1, 2004, and the Debtor did
not repay all amounts due.

Citibank, N.A., serves as the trustee with respect to the Senior
Secured Notes pursuant to an indenture, dated March 4, 1998.

The Bank of New York is the trustee with respect to the Existing
Bonds pursuant to an indenture, dated Feb. 2, 1998.

                       Cash Collateral

To secure its Prepetition Senior Secured Note Obligations, the
Debtor granted liens and security interests to Citibank, for the
benefit of the Senior Secured Noteholders, in all of the
Debtor's assets, including the Orbital Concessions.  
Accordingly, the Debtor's cash, including cash in its deposit
accounts, constitutes Citibank's cash collateral within the
meaning of Section 363(a) of the Bankruptcy Code.

Luc A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in
New York, relates that the Debtor did not have a bank borrowing
facility prior to the Petition Date; rather, it operated its
business with capital generated through its operations.
Consequently, Mr. Despins said, the Debtor does not have
available sources of working capital and financing to carry on
the operation of its business without the use of the cash
collateral.

"Satmex's ability to maintain business relationships with its
vendors, suppliers and customers and to meet payroll and other
operating expenses is essential to Satmex's continued viability
and the value of its business as a going concern," Mr. Despins
tells Judge Drain.  "In the absence of the use of the Cash
Collateral, the continued operation of Satmex's business would
not be possible, and serious and irreparable harm to Satmex and
its estate would occur."

Citibank has agreed to permit the Debtor to use the prepetition
collateral, including the cash collateral, pursuant to the terms
and conditions set forth in an interim agreed order.

The Debtor proposes to grant Citibank adequate protection liens
on its assets and a superpriority claim with priority over all
administrative expense claims and unsecured claims against its
estate.

Mr. Despins explains that the Adequate Protection Liens will
protect Citibank from any diminution in the value of its
interest in the prepetition collateral, whether resulting from
the use of Cash Collateral, the imposition of the automatic
stay, depreciation, use, sale, loss, decline in market price or
otherwise.

The Adequate Protection Liens and Superpriority Claim will:

   -- be subject to a Carve-Out for professional fees and
      expenses not to exceed US$2 million; Bankruptcy Court
      Clerk fees; and U.S. Trustee fees payable under 28 U.S.C.
      Section 1930(a);

   -- not extend to the proceeds of any avoidance actions under
      Chapter 5 of the Bankruptcy Code; and

   -- not be paid from the proceeds of any Avoidance Actions.

The Debtor will also pay Citibank's reasonable fees and costs
due postpetition, including fees and expenses of the Trustee's
attorneys and financial advisors.  None of the Adequate
Protection Payments will be subject to Court approval.

The Debtor's use of the Cash Collateral may be terminated in the
event, among others:

   (1) The Debtor obtains an order (i) challenging, priming or
       subordinating Citibank's claims, liens or security
       interest or (ii) to assert any claim against Citibank;

   (2) The Debtor's Chapter 11 case is dismissed or converted to
       a Chapter 7 case; a Chapter 11 or Chapter 7 trustee is
       appointed; or a reorganization or liquidation case under
       Mexican law is commenced; and

   (3) The Debtor seeks to obtain senior credit or to surcharge
       the Prepetition Collateral or Postpetition collateral
       under Section 506(c).

The Debtor also asks the Court to require any party seeking to
challenge the validity or priority of Citibank's Prepetition
Liens to file actions within the earlier of:

   -- 45 days following the appointment of a statutory
      committee, if appointed; or

   -- 60 days from the Petition Date for any party-in-interest,
      if no Statutory Committee is appointed.

The Carve-Out and the Cash Collateral may be used for allowed
fees and expenses incurred by a Statutory Committee in
investigating the validity, enforceability, perfection, or
priority of the Prepetition Liens.  The fees and expenses for
the investigation, however, may not exceed US$25,000 and all
fees and expenses will reduce the Carve-Out.

The Ad Hoc Existing Bondholders' Committee reserves any right,
should the Restructuring Agreement cease to be in effect or
terminate for any reason other than consummation of the
restructuring, to seek disgorgement of all fees and costs paid
to Citibank or challenge Citibank's liens or Collateral.

                 About Satelites Mexicanos

Satelites Mexicanos, S.A. de C.V., provides fixed satellite
services in Mexico.  Satmex provides transponder capacity via
its satellites to customers for distribution of network and
cable television programming, direct-to-home television service,
on-site transmission of live news reports, sporting events and
other video feeds.  Satmex also provides satellite transmission
capacity to telecommunications service providers for public
telephone networks in Mexico and elsewhere and to corporate
customers for their private business networks with data, voice
and video applications.  Satmex also provides the government of
the United Mexican States with approximately 7% of its satellite
capacity for national security and public purposes without
charge, under the terms of the Orbital Concessions.

The Debtor filed for chapter 11 petition on August 11, 2006
(Bankr. S.D.N.Y. Case No. 06-11868).  Luc A. Despins, Esq., at
Milbank, Tweed Hadley & McCloy LLP represents the Debtor in the
U.S. Bankruptcy proceedings.  Attorneys from Galicia y Robles,
S.C., and Quijano Cortina Lopez y de la Torre give legal advice
in the Debtor's Mexican Bankrutpcy proceedings.  UBS Securities
LLC and Valor Consultores, S.A. de C.V., give financial advice
to the Debtor.  Steven Scheinman, Esq., Michael S. Stamer, Esq.,
and Shuba Satyaprasad, Esq., at Akin Gump Strauss Hauer & Feld
LLP give legal advice to the Ad Hoc Existing Bondholders'
Committee.  Dennis Jenkins, Esq., and George W. Shuster, Jr.,
Esq., at Wilmer Cutler Pickering Hale and Dorr LLP give legal
advice to Ad Hoc Senior Secured Noteholders' Committee.  As of
July 24, 2006, the Debtor has US$905,953,928 in total assets and
US$743,473,721 in total liabilities.

On May 25, 2005, certain holders of Satmex's Existing Bonds and
Senior Secured Notes filed an involuntary chapter 11 petition
against the Company (Bankr. S.D.N.Y. Case No. 05-13862).
On June 29, 2005, Satmex filed a voluntary petition for a
Mexican reorganization, known as a Concurso Mercantil, which was
assigned to the Second Federal District Court for Civil Matters
for the Federal District in Mexico City.

On Aug. 4, 2005, Satmex filed a petition, pursuant to Section
304 of the Bankruptcy Code to commence a case ancillary to the
Concurso Proceeding and a motion for injunctive relief seeking,
among other things, to enjoin actions against Satmex or its
assets (Bankr. S.D.N.Y. Case No. 05-16103).  (Satmex Bankruptcy
News, Issue No. 1; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


SONIC CORP: Moody's Rates Proposed US$775 Mil. Sr. Loan at Ba3
--------------------------------------------------------------
Moody's Investors Service assigned a Ba3 corporate family rating
to Sonic Corp., in addition to assigning a Ba3 rating to the
company's proposed US$775 million senior secured credit facility
consisting of a US$100 million revolver and a US$675 million
term loan B.  These are first-time ratings for Sonic following
the company's announcement to finance a Dutch auction tender for
approximately US$560 million in share repurchases and to
refinance existing debt.

At the same time, a SGL-2 Speculative Grade Liquidity rating was
also assigned. The rating outlook is stable.  Moody's noted that
the rating assignments are subject to a review of the final
documentation.

The ratings reflect Sonic's long track record for same store
sales, profitability and unit growth, industry leading EBITDA
margins, niche operating format and extensive menu within the
quick service restaurant segment and well-balanced day-part mix
relative to competitors.  Factors that constrict the ratings
include materially weaker credit metrics driven by this
transaction and operating within the highly competitive
QSR segment of the restaurant industry.

Moody's noted that Sonic does not have a history of operating
under the proposed, significantly more levered capital
structure.  As a result, the rating agency expects no
incremental debt to be incurred through the intermediate term. A
dditionally, growth in EBITDA and free cash flow is expected to
be sufficient to de-lever the company at a reasonable pace over
the next few years.

First-time ratings assigned with a stable outlook:

   * Ba3 for the corporate family rating

   * Ba3 for the US$675 million proposed senior secured term
     loan maturing in 2013

   * Ba3 for the US$100 million proposed senior secured revolver
     maturing in 2011

   * SGL-2 Speculative Grade Liquidity rating

Sonic Corp., headquartered in Oklahoma City, Oklahoma, operates
and franchises the largest chain of drive-in restaurants in
the United States.  As of May 31, 2006, the company owned and
operated 604 restaurants and franchised 2,525 restaurants in 33
states and Mexico with significant presence in the Southern and
Midwestern United States.  Revenues for fiscal 2005 totaled
approximately US$623 million.


VISTEON CORP: Closes US$675 Million Five-Year Credit Facilities
---------------------------------------------------------------
Visteon Corp. has closed on new European and U.S. five-year
revolving credit facilities with an aggregate availability of up
to US$675 million.  The facilities replace the company's multi-
year secured revolving credit facility of US$500 million
expiring in June 2007.

Citigroup Global Markets Inc., JPMorgan Securities Inc. and UBS
Securities LLC led the European receivables securitization of
US$325 million.

JPMorgan Securities Inc. and Citigroup Global Markets Inc. led
the U.S. secured revolver of US$325 million.

"Closing on these facilities completes the financing we
undertook earlier in the year, including a seven-year US$800
million secured term loan completed in June," James F. Palmer,
Visteon executive vice president and chief financial officer
disclosed.

"The completion of our financing activities provides us with
additional flexibility as we focus on implementing our three-
year plan," Mr. Palmer added.

Visteon Corp. (NYSE: VC) is a global automotive supplier that
designs, engineers and manufactures innovative climate,
interior, electronic and lighting products for vehicle
manufacturers, and also provides a range of products and
services to aftermarket customers.   The company has more than
170 facilities in 24 countries, including Mexico, and employs
approximately 47,000 people.

                        *    *    *

As reported in the Troubled Company Reporter on June 2, 2006,
Moody's Investors Service assigned a B1 rating to Visteon
Corporation's new US$800 million secured term loan and affirmed
the company's B2 Corporate Family and B3 Senior Unsecured
ratings.

Visteon carries Fitch' CCC Issuer Default Rating with a Negative
Outlook.  Fitch also placed a rating of B/RR1 to the Company's
senior secured bank debt.


VISTEON CORP: Earns US$50 Million in Second Quarter 2006
--------------------------------------------------------
Visteon Corp. reported its second quarter results demonstrating
continued progress toward achieving its three-year improvement
plan.  For the second quarter 2006, Visteon reported US$50
million of net income, compared with a US$1.2 billion loss in
the second quarter 2005.

"We are pleased with our strong second quarter results and our
momentum in implementing our three-year plan," said Michael F.
Johnston, chairman and chief executive officer.  "Our operating
results were better than both the second quarter of 2005 and the
first quarter of this year, and we continue to make solid
progress in our restructuring efforts, in improving our base
operations and in growing our global business."

                  Second Quarter 2006 Results

For the second quarter 2006, product sales were US$2.86 billion
and services sales were US$138 million.  Sales for the same
period a year ago totaled US$5.0 billion.  Product sales were
lower by US$2.14 billion due to the Oct. 1, 2005, transaction
with Ford that transferred 23 Visteon facilities to Automotive
Components Holdings, LLC, a Ford-managed business entity.

Visteon's net income of US$50 million for the current quarter
included US$22 million of non-cash asset impairments related to
the company's restructuring actions and an extraordinary gain of
US$8 million associated with the acquisition of a lighting
facility in Mexico.  Also as previously indicated, Visteon
recognized a US$49 million benefit in the quarter related to the
relief of post-employment benefits for Visteon salaried
employees associated with two ACH manufacturing facilities
transferred to Ford Motor Company.  Income tax expense of US$17
million in the quarter included a US$14 million benefit from the
restoration of deferred tax assets related to the company's
Brazilian operations.

EBIT-R, as defined, was US$119 million for the second quarter
2006, an increase of US$47 million from the US$72 million
reported in the first quarter 2006.  EBIT-R for the second
quarter 2005 was a loss of US$33 million.

                     Half-Year Results

For the first half 2006, product sales were US$5.7 billion and
services sales were US$283 million.  More than half of the
company's product sales were generated from customers other than
Ford, demonstrating continued progress in diversifying Visteon's
customer base.  Sales for the same period a year ago totaled
US$10.0 billion, of which non-Ford sales were 35 percent.
Product sales were lower by US$4.3 billion due to the sale of
certain plants in North America pursuant to the ACH transactions
completed in October 2005.

Visteon's net income of US$53 million for the first six months
reflects improved operating performance and the financial
benefit of the ACH transactions with Ford.  The half-year
results include US$22 million of non-cash asset impairments
related to the company's restructuring actions and an
extraordinary gain of US$8 million associated with the
acquisition of a lighting facility in Mexico.  Also as
previously indicated, Visteon recognized a cumulative benefit of
US$72 million in the first half of 2006 related to the relief of
post-employment benefits for Visteon salaried employees
associated with two ACH manufacturing facilities transferred to
Ford.

For the first half 2005, Visteon reported a net loss of US$1.401
billion. These results included US$1.176 billion of non-cash
asset impairments.

EBIT-R for the first half 2006 totaled US$191 million,
increasing US$329 million from a first half 2005 EBIT-R loss of
US$138 million.

           Free Cash Flow and Financing Activities

Free cash flow of US$10 million for the quarter was an
improvement of US$127 million over the first quarter 2006.  Free
cash flow was lower than the second quarter 2005 in which
Visteon received the benefit of accelerated payment terms from
Ford as part of the funding agreement.

During the second quarter 2006, Visteon closed on a seven-year
US$800 million secured term loan.  Proceeds from the loan were
used to repay amounts outstanding under the company's existing
credit facilities that were scheduled to expire in June 2007,
including a US$350 million 18-month term loan and a US$241
million delayed draw term loan.

In connection with this financing, Visteon repaid US$50 million
of borrowings under the company's US$772 million multi-year
secured revolving credit facility and reduced the amount
available under that facility to US$500 million.  Visteon
expects to eliminate the multi-year revolver upon completion of
new U.S. and European five-year revolving credit facilities.
The company has received commitments for these facilities
totaling US$700 million from JPMorgan Chase Bank, N.A. and
Citigroup Global Markets Inc., and expects to complete these
transactions in the third quarter, subject to market conditions.

Proceeds were also used to repurchase US$150 million of the
company's 8.25 percent notes that are due in 2010.  This
repurchase resulted in a gain of US$8 million in the second
quarter which was offset by expense associated with debt
issuance costs related to the extinguished credit facilities.

As of June 30, 2006, Visteon had US$836 million of cash and
total debt of US$2.0 billion and was well within the limits of
its financial covenants in its existing credit facilities.

"Effectively managing the drivers of free cash flow is a top
priority for everyone within the Visteon organization," said
James F. Palmer, executive vice president and chief financial
officer.  "We are taking steps at every level to continue
strengthening our cash flow position, while appropriately
investing in the business for the future."

                     New Business Wins

The company continues to win new business from a diverse range
of customers across each of the company's key product lines.
Significant wins in North America include DaimlerChrysler
programs in Climate and Lighting and a program with an Asian
vehicle manufacturer in Interiors.  Additionally during this
period, Visteon was awarded Climate business in Asia from
Hyundai and in Europe from Ford.

"Our business wins speak to the strength of our focused product
portfolio and our ability to deliver the innovation and quality
our customers expect," said Donald J. Stebbins, president and
chief operating officer.  "These wins demonstrate that we are
executing on every aspect of our three-year plan, including
growing the business through product innovation, customer
diversification, profitable sales growth and leveraging
technology for global competitive advantage."

                           Outlook

Third quarter 2006 is expected to be challenging, reflecting
seasonally low production volumes globally.  Visteon is raising
its estimate for 2006 full year EBIT-R to a range of US$170
million to US$200 million.  Additionally, the company still
expects to generate about US$50 million of free cash flow and
expects 2006 full-year product sales of approximately US$11.0
billion.

"Our momentum and the actions we are taking to address the
business dynamics we are facing give us confidence that we will
continue to make progress in achieving and, where possible,
accelerating our three-year plan," Mr. Johnston added.  "We are
increasing our outlook for earnings, reaffirming our outlook for
positive free cash flow and reiterating our expectation for
continued year-over-year improvement during the three-year
improvement plan."

At June 30, 2006, Visteon's balance sheet showed USUS$57 million
in positive equity, compared with a USUS$48 million deficit at
Dec. 31, 2005.

                     About the Company

Visteon Corp. (NYSE: VC) is a global automotive supplier that
designs, engineers and manufactures innovative climate,
interior, electronic and lighting products for vehicle
manufacturers, and also provides a range of products and
services to aftermarket customers.   The company has more than
170 facilities in 24 countries, including Mexico, and employs
approximately 47,000 people.

                        *    *    *

As reported in TCR-Europe on June 19, Fitch Ratings placed a
rating of B/RR1 to the senior secured bank debt announced by
Visteon Corp.

In addition, Fitch affirmed Visteon's Senior unsecured debt at
CCC-/RR5.  The Issuer Default Rating is unchanged at CCC.  Fitch
said the Rating Outlook is Negative.




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


* NICARAGUA: Will Find Ways to Alleviate Energy Crisis
------------------------------------------------------
Nicaragua's National Assembly will propose an emergency meeting
among representatives of all institutions in the energy sector
to find a way to resolve the serious energy shortage in the
country, Prensa Latina reports.

As reported in the Troubled Company Reporter-Latin America on
Aug. 10, 2006, the energy crisis in Nicaragua has worsened, with
power outages up to eight hours daily and increasing prices of
gasoline.  About 150 communities in 13 provinces of Nicaragua
were affected by the outage from 6:00 a.m. to 2:00 p.m.  Spanish
Union Fenosa, which controls electricity distribution in
Nicaragua, disclosed power cuts, saying that a deficit in energy
production resulted from technical faults in one of the plants
that generate electricity.  Fenosa Union said that the
hydroelectric plant in Apanas, in particular, has low generating
capacity due to the low level of waters in the lake Apanas.

According to Prensa Latina, the Sandinista National Liberation
Front had demanded previously that Nicaragua's President Enrique
Bolanos step up purchase of oil from Venezuela.

The Troubled Company Reporter-Latin America reported on
July 18, 2006, that the mayor of Managua, Nicaragua, Dionisio
Marenco, urged President Enrique Bolanos to allow for imports of
Venezuelan oil at preferential prices, under an agreement signed
in June by Petroleos de Venezuela and the Association of
Nicaraguan Municipalities.  AMUNIC and Petroleos de Venezuela
agreed on the yearly supply of 10 million barrels of petrol to
Nicaragua under preferential terms -- 60% of the gasoline and
diesel purchased from Venezuela would have a 90-day term at the
international market price.  The rest would have a two-year
grace period and a 23-year credit at 1% interest.  

However, President Bolanos is trying to solve the energy crisis
by giving US$9.6 million to Union Fenosa, which is in debt and
the leading cause of cuts in the country.

The president is also hesitant to support the deal that the
mayors inked with Venezuela's state oil company, Petroleos de
Venezuela.  Though the energy crisis the country has been
experiencing is affecting hospitals, businesses, production
sectors and even State institutions, President Bolanos still
refused to support the accord, fearing the political return that
would bounce back to the Sandinista National Liberation Front --
which controls 87 of the 154 city halls of Nicaragua and whose
leader Daniel Ortega was one of the main agents of the accord.  
Instead, the Nicaraguan leader is pushing to revive The Caracas
Agreement.

                        *    *    *

Moody's Investor Service assigned these ratings to Nicaragua:

                     Rating     Rating Date
                     ------     -----------
   Long Term          Caa1     June 30, 2003
   Senior Unsecured
   Debt                B3      June 30, 2003




===========
P A N A M A
===========


CHIQUITA BRANDS: Facing Antitrust Suits Filed by Banana Buyers
--------------------------------------------------------------
Chiquita Brands International, Inc., and three competitors face  
several class actions filed in U.S. District Court for the  
Southern District of Florida by direct and indirect purchasers  
of bananas over allegations that defendants conspired to  
artificially raise or maintain prices and control or restrict  
output of bananas.  

The six direct-purchaser cases have been consolidated into one  
case, and one of the indirect-purchaser cases has been  
dismissed.  Accordingly, there are now two pending cases.  

In May 2006, the defendants' motion to dismiss the direct-
purchaser cases was denied.  In that same period, the company  
and the other defendants also filed a motion to dismiss the  
indirect-purchaser case.  

Cincinnati, Ohio- based Chiquita Brands International, Inc.  
(NYSE: CQB) -- http://www.chiquita.com/-- operates as an    
international marketer and distributor of bananas and other  
fresh produce sold under the Chiquita and other brand names in  
over 60 countries including Panama.  It also distributes and
markets fresh-cut fruit and other branded, value-added fruit
products.  

On June 15, 2006, Standard & Poor's Ratings Services affirmed
its ratings on Cincinnati, Ohio-based Chiquita Brands
International Inc., including the 'B+' corporate credit rating.
S&P said the rating outlook is negative.


CHIQUITA BRANDS: Reduces Banana Purchases by 30% This Week
----------------------------------------------------------
Chiquita Brands International Inc. has decreased its banana
purchases to growers by another 30% this week, saying it was due
to saturation of the European market, Prensa Latina reports.

Prensa Latina underscores that Chiquita Brands has reduced
purchases three times in less than a month.

As reported in the Troubled Company Reporter-Latin America on
Aug. 10, 2006, Chiquita Brands reduced its purchases by 30% due
to saturation in the European market.  The company's decision
caused losses to independent banana growers in Panama.  
Authorities said that growers lost about US$400,000, or some
110,000 crates of banana.  The unions requested executive
intervention to avoid further losses.  Banana workers unions had
threatened to hold demonstrations if Chiquita Brands would free
the contract of exclusivity and allow the sale of bananas to
other traders.  Banana growers were also suing Chiquita Brands
for monopoly.    

On Aug. 14, 2006, the Troubled Company Reporter-Latin America
reported that Virgilio Aizpurua, a representative of Chiquita
Brands said that the company closed two plantations in Bocas del
Toro due to market saturation problems.  Purchases of banana
growers in Panama were cancelled.  Local press say that a clause
in a contract between Chiquita and the independent growers
states that the latter are obliged to deliver exclusively to
Chiquita, for US$1.5 per box.  

According Prensa Latina, Chiquita Brands' decision to further
decrease purchases was much criticized.  Independent banana
growers in Panama were left with no funds on Wednesday.

Banana worker unions threatened to barricade at Chiquita Brands
if company officials would still not free the growers from the
exclusive contract.

Chiquita's measure was unfair and the 24-hour advance notice was
inadequate, Manuel Jose Paredes, Panama's deputy interior trade
minister, told Prensa Latina some days ago.

Cincinnati, Ohio- based Chiquita Brands International, Inc.  
(NYSE: CQB) -- http://www.chiquita.com/-- operates as an    
international marketer and distributor of bananas and other  
fresh produce sold under the Chiquita and other brand names in  
over 60 countries including Panama.  It also distributes and
markets fresh-cut fruit and other branded, value-added fruit
products.  

On June 15, 2006, Standard & Poor's Ratings Services affirmed
its ratings on Cincinnati, Ohio-based Chiquita Brands
International Inc., including the 'B+' corporate credit rating.
S&P said the rating outlook is negative.


SOLO CUP: Appoints Robert Korzenski as Chief Executive Officer
--------------------------------------------------------------
Solo Cup Company appointed Robert M. Korzenski as chief
executive officer.  In addition to assuming the CEO role, Mr.
Korzenski will retain his responsibilities as the company's
president and chief operating officer, positions to which he was
appointed on April 17, 2006, after serving since February 2005
as the company's executive vice president of sales and
marketing.  In his new role as chief executive officer, Mr.
Korzenski succeeds Robert L. Hulseman, who has held management
roles at the company for more than fifty years.  Mr. Hulseman
will maintain his leadership role in the company by continuing
to serve as the company's chairman of the board of directors.

Mr. Korzenski has more than 25 years of experience in sales and
operations in the disposable foodservice industry.  He joined
the company as senior vice president in February 2004 when Solo
Cup Company acquired SF Holdings, Inc., the parent company of
Sweetheart Cup Company. In February 2005, he was promoted to
executive vice president of sales and marketing.  While at SF
Holdings, Mr. Korzenski served in a number of positions over a
ten-year period, including president and chief operating officer
of Hoffmaster as well as The Fonda Group, Inc., both of which
are now part of Solo Cup's broad product portfolio. Prior to
that he served as vice president of operations and vice
president of sales and marketing for Scott Paper Company.

"Bob Korzenski has the energy, experience and leadership skills
to take Solo Cup's performance to the next level," said Robert
L. Hulseman, chairman of the company.  "Since joining us two
years ago, he has demonstrated a commitment to strategic,
operational and financial excellence that will serve our
customers, other business partners, investors and employees well
for many years to come."

"I am pleased and honored to succeed Robert Hulseman, a member
of the company's founding family, as chief executive officer,"
Mr. Korzenski said.  "I look forward to continuing the solid
progress made in integrating the operations of Sweetheart Cup,
Hoffmaster Tissue and The Fonda Brands that we acquired in the
SF Holdings transaction, thereby creating a strong platform for
future growth."

                       About Solo Cup

Headquartered in Highland Park, Illinois, Solo Cup Company
-- http://www.solocup.com/-- manufactures disposable   
foodservice products for the consumer and retail, foodservice,
packaging, and international markets.  Solo Cup has broad
expertise in plastic, paper, and foam disposables and creates
brand name products under the Solo, Sweetheart, Fonda, and
Hoffmaster names.  The Company was established in 1936 and has a
global presence with facilities in Asia, Canada, Europe, Mexico,
Panama and the United States.

                        *    *    *

As reported in the Troubled Company Reporter on Apr. 4, 2006,
Moody's Investors Service assigned ratings on Solo Cup Company's
US$80 million senior secured second lien term loan due 2012 at
B3; US$150 million senior secured revolving credit facility
maturing Feb. 27, 2010, at B2; US$638 million senior secured
term loan B due Feb. 27, 2011, at B2; US$325 million 8.5% senior
subordinated notes due Feb. 15, 2014, at Caa1; and Corporate
Family Rating at B2.


SOLO CUP: Delays Filing of Form 10-Q for Second Quarter 2006
------------------------------------------------------------
Solo Cup Company reported a temporary delay in the filing of its
Form 10-Q with the US Securities and Exchange Commission for the
company's second quarter ended July 2, 2006.  The company said
it will need the additional time to complete an internal review
initiated by Robert Korzenski, its newly appointed chief
executive officer, of issues with regard to certain accounting
practices and procedures related to the current and/or prior
periods.  These issues pertain primarily to the timely
recognition of certain customer credits, accounts payable and
accrued expenses and the valuation of certain tangible and
intangible assets.

            Internal Review of Accounting Matters

Solo Cup said the internal review of the accounting matters,
which is being led by Eric A. Simonsen, the company's recently
named interim chief financial officer, will be completed as soon
as practicable. Upon completion, the findings will be discussed
with the company's board of directors and the company's
independent registered public accountants, KPMG LLP, after which
the company will file its results for the three- and six-month
periods ended July 2, 2006, and discuss those results with the
financial community.  Currently, the internal review relates to
the fiscal periods commencing with the SF Holdings transaction.
It has not yet been determined whether any restatement of the
company's financial results will be necessary based on the
accounting review, or what the magnitude of any such possible
restatement might be.  The company has informed its lenders of
the delay in the release of its second-quarter 2006 financial
results and has initiated discussions with them regarding an
extension of the deadline for providing such information.

Mr. Korzenski said, "When I became president and COO in April,
one of the first things I did was to launch a thorough review of
our business. Through that review, it became clear that certain
of the company's accounting practices and procedures may not
have been as well-developed and/or as rigorously and
consistently applied as they should have been. As soon as we
identified this issue, we commenced an in-depth internal
examination of our financial accounting and reporting, which is
still under way and which we expect to complete in a timely
manner.

"While vigorously addressing these accounting matters, we
continue to actively and successfully implement our business
plan, introduce new products, meet our customer and vendor
commitments, and create a dynamic work environment for our
employees," Mr. Korzenski concluded.

                        About Solo Cup

Headquartered in Highland Park, Illinois, Solo Cup Company
-- http://www.solocup.com/-- manufactures disposable   
foodservice products for the consumer and retail, foodservice,
packaging, and international markets.  Solo Cup has broad
expertise in plastic, paper, and foam disposables and creates
brand name products under the Solo, Sweetheart, Fonda, and
Hoffmaster names.  The Company was established in 1936 and has a
global presence with facilities in Asia, Canada, Europe, Mexico,
Panama and the United States.

                        *    *    *

As reported in the Troubled Company Reporter on Apr. 4, 2006,
Moody's Investors Service assigned ratings on Solo Cup Company's
US$80 million senior secured second lien term loan due 2012 at
B3; US$150 million senior secured revolving credit facility
maturing Feb. 27, 2010, at B2; US$638 million senior secured
term loan B due Feb. 27, 2011, at B2; US$325 million 8.5% senior
subordinated notes due Feb. 15, 2014, at Caa1; and Corporate
Family Rating at B2.


SOLO CUP: Moody's Reviews Ratings for Possible Downgrade
--------------------------------------------------------
Moody's placed the credit ratings of Solo Cup Company on review
for possible downgrade following the company's announcement that
it will delay filing financial statements for the fiscal second
quarter ended July 2, 2006.  Solo has announced that it will
conduct an internal review of certain accounting practices and
procedures related to current or prior periods.  The internal
review relates to fiscal periods commencing with the SF Holdings
transaction that was completed in February 2004.  Solo has
initiated discussions with bank lenders to gain an extension of
the deadline for filing financial statements.

Moody's placed these ratings on review for possible downgrade:

   -- US$150 million senior secured revolving credit facility
      maturing February 27, 2010: B2;

   -- US$637 million senior secured term loan B due
      Feb. 27, 2011: B2;

   -- US$80 million senior secured second lien term loan due
      2012: B3;

   -- US$325 million 8.5% senior subordinated notes due
      Feb. 15, 2014: Caa1; and

   -- Corporate Family Rating: B2.

Moody's review will consider the effects on Solo's financial
flexibility and liquidity resulting from its failure to file
timely financial statements.  Moody's also will study Solo's
financial performance and the results of the examination of
certain accounting practices and procedures.  Moody's expects to
conclude its review when Solo files its financial statements.

Headquartered in Highland Park, Illinois, Solo Cup Company is
one of the largest domestic manufacturers of disposable paper
and plastic food and beverage containers used in the foodservice
and retail consumer markets.  Products include cups, lids,
straws, napkins, cutlery, and plates.  Revenues for the twelve
months ended April 2, 2006 were approximately US$2.5 billion.  
The company has a global presence with facilities in Mexico,
Panama, Japan, Canada, and the United Kingdom.




===============
P A R A G U A Y
===============


PARMALAT: Bankr. Court OKs Pact Allowing Citibank to Pursue Suit
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
approved the stipulation between Citibank, N.A., and Citibank,
N.A. International Banking Facility, on one hand, and Dr. Enrico
Bondi, extraordinary administrator of Parmalat Finanziaria
S.p.A. and certain of its affiliates and CEO of Reorganized
Parmalat, stating that:

    a. at 5:00 p.m. New York time on Aug. 31, 2006, the
       Preliminary Injunction Order will automatically be deemed
       modified to permit Citibank to take any action to enforce
       its rights against Parmalat Paraguay S.A. or otherwise
       with respect to the obligations of Parmalat Paraguay to
       Citibank in Paraguay;

    b. during the Standstill Period, Reorganized Parmalat will
       provide Citibank, concerning Parmalat Paraguay and its
       subsidiaries, with:

          -- access to company management;

          -- access to their Paraguayan advisers;

          -- access to their books and records; and

          -- copies of and access to forecasts, budgets,
             restructuring plans, term sheets relating to a sale
             or other disposition of the assets, purchase and
             sale agreements, and correspondence relating to a
             sale or other disposition of assets or the
             restructuring of indebtedness; and

    c. during the Standstill Period, Reorganized Parmalat will
       not sell, transfer, encumber or incur new debt on any of
       the assets or shares of any of the Parmalat Paraguay
       Entities without Citibank's prior written consent.

Headquartered in Wallington, New Jersey, Parmalat USA Corp.
-- http://www.parmalatusa.com/-- generates more than 7 billion
euros in annual revenue.  The Parmalat Group's 40-some brand
product line includes milk, yogurt, cheese, butter, cakes and
cookies, breads, pizza, snack foods and vegetable sauces, soups
and juices and employs over 36,000 workers in 139 plants located
in 31 countries on six continents.  The Company filed for
chapter 11 protection on February 24, 2004 (Bankr. S.D.N.Y. Case
No. 04-11139).  Gary Holtzer, Esq., and Marcia L. Goldstein,
Esq., at Weil Gotshal & Manges LLP, represent the Debtors.  When
the U.S. Debtors filed for bankruptcy protection, they reported
more than US$200 million in assets and debts.  The U.S. Debtors
emerged from bankruptcy on April 13, 2005.  (Parmalat Bankruptcy
News, Issue No. 75; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)




=======
P E R U
=======


DEL MONTE: S&P Rates US$100 Mil. Add-On to Term Loan at BB
----------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB' bank loan
and '1' recovery rating following Del Monte Corp.'s US$100
million add-on to the company's term loan B that was used to
reduce borrowings under the revolving credit facility and expand
its liquidity.  The terms and conditions of the incremental
borrowing are the same as the existing term loan B loan.

Following the US$100 million add-on term loan, the company has
US$400 million remaining under its US$500 million term loan
accordion feature. Del Monte's bank facilities now consist of a:

   -- US$450 million revolving credit facility maturing
      Feb. 8, 2011;

   -- US$407 million term loan A maturing Feb. 8, 2011; and

   -- approximately US$893 million in term loan B debt maturing
      Feb. 8, 2012.

Standard & Poor's notes that even with the incremental
borrowing, the revised facility of approximately US$1.75 billion
is slightly less than the US$1.88 billion anticipated at the
time of the rating agency's recovery report on Del Monte Corp.
on April 25, 2006.  The reduction primarily reflects greater
cash flow generation, and changes in tax timing and fees that
were used to reduce the borrowing needed to fund Meow Mix and
Milk Bone acquisitions.  These changes do not materially affect
Standard & Poor's simulated default and recovery analysis of Del
Monte's bank loan that published on April 25, 2006.  As of
April 30, 2006, the company had approximately US$1.3 billion of
total debt outstanding.

The long-term corporate credit rating on Del Monte is 'BB-' and
the rating outlook is negative.  The short-term rating on the
company is 'B-1'.  The ratings reflect San Francisco, Calif.-
based Del Monte's aggressive debt levels and exposure to
commodity pricing.  Partially offsetting these risk factors is
the company's diverse product portfolio with leading market
shares and high brand recognition in the stable, domestic canned
fruit and vegetable processing industry and pet food sector.

Standard & Poor's affirmed these ratings:

   -- Corporate credit rating: BB-/Negative/B-1
   -- US$100 million add-on term loan: BB (Recovery Rating 1)


PRIDE INTERNATIONAL: Fitch Upgrades Issuer Default Rating to BB
---------------------------------------------------------------
Fitch Ratings raised Pride International's Issuer Default Rating
to 'BB' from 'BB-'.  Fitch also raised the ratings on Pride's
senior secured revolving credit facility, senior unsecured notes
and their convertible senior notes.

Fitch is withdrawing the ratings on the senior secured term loan
after its repayment.  The Rating Outlook is Stable.  Fitch
upgrades these ratings for Pride:

   -- Issuer Default Rating to 'BB' from 'BB-'
   -- Senior unsecured to 'BB' from 'BB-'
   -- Senior secured bank facility to 'BBB-' from 'BB+'
   -- Senior convertible notes to 'BB' from 'BB-'

The rating action reflects Pride's commitment to deleveraging
the balance sheet and the execution on that commitment since
Fitch raised the Outlook to Positive in May 2005.  Total balance
sheet debt was US$1,079.3 million as of June 30, 2006.  With
unrestricted cash balances of US$100.9 million, this reflects
the first time since 1998 that net debt has fallen below US$1
billion.

Pride has capitalized on the positive offshore drilling
environment to combine proceeds from selling underperforming
assets with strong operating cash flows to reduce debt and
improve the company's asset base.  Pride's credit stats reflect
these improvements as well as the strong market conditions for
offshore drilling rigs.

For the last 12 months ending June 30, 2006, Pride generated
US$664.0 million of EBITDA and free cash flow (cash from
operations less capital expenditures) was US$233.1 million.  
Credit metrics were robust with interest coverage of 8.2x and
debt-to-EBITDA dropping to 1.6x.

After adjusting for off-balance sheet items, interest coverage
was 4.8x and debt-to-EBITDA was 2.3x, both significantly better
than year-end 2005 levels and representative of the improvements
management has made to reduce the risk profile of the company.

Fitch continues to have a positive view of Pride's management
and their plan for transitioning the company to an offshore
drilling contractor.  While Fitch anticipates additional
improvements in the company's credit metrics as older contracts
are replaced, the rating Outlook is Stable as the company
continues moving forward through this transition period.  
Uncertainty regarding the Foreign Corrupt Practices Act
investigation and the strength of the company's financial
controls combined with uncertainties regarding the sale of the
Latin American operations has resulted in the Stable Outlook.  
Pride's ability to make sustainable improvements to the
competitive nature of its asset base through the sale of
weak assets and/or the addition of stronger assets will be a key
determinant to future positive rating action and the company's
ability to withstand any future downturn in the industry.

In particular, Fitch's ability to have a additional visibility
into the cash flow generating ability of Pride post the Latin
American operations divestiture and the re-deployment of those
proceeds will be an important item that Fitch will monitor as
the company transitions to a pure offshore driller.  Further,
Pride's ability to fund this transition via internally generated
cash flows and asset sales versus its choice of externally
generated funds will also be of importance.

Pride is one of the world's largest drilling contractors and
provides onshore and offshore drilling and related services in
more than 30 countries, operating a diverse fleet of 278 rigs,
including two ultra-deepwater drillships, 12 semisubmersible
rigs, 28 jack-up rigs and 18 tender-assisted barge and platform
rigs, as well as 218 land rigs.  Pride also provides a variety
of oilfield services to customers in Argentina, Venezuela,
Bolivia and Peru.




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


ADELPHIA: Gets Court OK to Ink Coudersport & Bucktail Settlement
----------------------------------------------------------------
The Hon. Robert D. Gerber of the U.S. Bankruptcy Court for the
Southern District of New York allowed Adelphia Communications
Corp. to enter into a settlement agreement with Coudersport
Television Cable Company and Bucktail Broadcasting Corporation.

The Settlement Agreement resolves a dispute among ACOM,
Coudersport and Bucktail concerning the ownership of certain
cable fiber networks that traverse the Coudersport and Bucktail
cable systems as well as other matters relating to the
Coudersport and Bucktail cable systems.

Paul V. Shalhoub, Esq., at Willkie Farr & Gallagher LLP, noted
that as a result of both the Government-Rigas Settlement
Agreement and the Adelphia-Rigas Settlement Agreement, the
Coudersport and Bucktail cable systems have ceased to be managed
by ACOM, and are now operated separately and apart from ACOM's
other cable systems as of November 2005.

Disputes arose, however, in connection with the separation of
the operations of Coudersport and Bucktail from ACOM, Mr.
Shalhoub related.

To resolve those disputes and facilitate the closing of the Sale
Transaction, the Parties have agreed to the terms of the
Settlement Agreement:

    (a) The Parties agree that:

        * the PONY Ring Sheath and the Off-Air High-Def Network
          Connectivity Section are owned exclusively by ACOM;
          and

        * the HFC Sheath is owned by Coudersport and Bucktail.

        ACOM agrees that it will grant an indefeasible right of
        use to Coudersport and Bucktail for fiber usage on the
        PONY Ring pursuant to and subject to the terms and
        conditions of an IRU Agreement.

    (b) The Parties will enter into cost-sharing arrangements
        for the pole attachment fees and maintenance and other
        services to be provided by the Parties pursuant to and
        subject to the terms and conditions of an Overlash and
        Maintenance Agreement.

    (c) The Parties further agree that:

        * the Roumali warehouse -- located at 506 Bank Street,
          Coudersport, Pennsylvania -- is owned solely by ACOM
          and that ACOM will have the right to the sole and
          exclusive use of that property; and

        * the Dutch Hill site -- located at 595, 597 and 611
          Vader Hill Road, Coudersport, Pennsylvania -- is owned
          solely by Coudersport and Bucktail and that  
          Coudersport and Bucktail will have the right to the
          sole and exclusive use of that property.

    (d) ACOM bought out the leases of seven vehicles on the
        asset list of Coudersport and Bucktail as of
        April 1, 2005, used by Coudersport and Bucktail, and
        Coudersport and Bucktail acknowledges the receipt of the
        vehicles and the titles to those vehicles.

    (e) ACOM agrees to provide the high definition and Off-Air
        broadcast signals for Coudersport and Bucktail from the
        PONY Ring Sheath and Off-Air High-Def Network
        Connectivity Section for existing programming, pursuant
        to and subject to the terms and conditions of the IRU
        Agreement.

    (f) ACOM agrees to transfer, on or prior to the Confirmation
        Date and at no charge to Coudersport and Bucktail, title
        to the parcel on which the Port Alleghany hub site is
        located.  ACOM will conduct an appraisal of the
        remaining portion of that parcel on which the Port
        Alleghany hub site is not located.  ACOM will cooperate
        with Coudersport and Bucktail to permit them to
        purchase, prior to the Confirmation Date, the remaining
        portion of the parcel from ACOM at its appraised value
        through the United States Bankruptcy Court for the
        Southern District of New York through ACOM's asset
        divestiture process.

    (g) ACOM will grant Coudersport and Bucktail an inventory
        credit of US$310,000 in order to settle all disputes
        relating to the ownership of any and all inventory
        reported on the Coudersport and Bucktail balance sheet
        as of March 31, 2005.  Coudersport and Bucktail will
        acknowledge that they received this credit as a cash
        credit.

    (h) ACOM agrees to provide Coudersport and Bucktail with an
        Internet connection pursuant to and subject to the terms
        and conditions of the IRU Agreement.

    (i) ACOM agrees to transfer ownership of the second CUDA --
        cable modem termination system -- including all
        associated cards, in the IPDC -- the data center located
        at 512 Bank Street, Coudersport Pennsylvania -- to
        Coudersport and Bucktail.

    (j) The Parties will settle, prior to the Confirmation Date,
        any and all disputes over ownership of office equipment
        and other furniture and fixtures by furnishing
        Coudersport and Bucktail with the furniture and
        equipment.

    (k) ACOM agrees to take steps necessary to complete, on an
        expedited basis and in any event no later than the
        Confirmation Date, the network asset separation and head
        end rebuild for Coudersport and Bucktail.  ACOM agrees
        to provide a digital head end capable of delivering the
        video and data services as were provided as of
        April 1, 2005, to the subscribers of Coudersport and
        Bucktail.

    (l) Consistent with Section 6 of the Adelphia-Rigas
        Settlement Agreement, ACOM agrees that US$686,746 of
        prepetition liabilities related to programming, utility
        costs and construction costs are not Current Operating
        Liabilities of Coudersport and Bucktail, and will remain
        with ACC.

    (m) ACOM will provide Coudersport and Bucktail a US$275,000
        credit in full satisfaction of any and all disputes
        relating to the Rebuild Assets.

A full-text copy of the Settlement Agreement is available for
free at http://ResearchArchives.com/t/s?e77

               About Adelphia Communications

Based in Coudersport, Pa., Adelphia Communications Corporation
(OTC: ADELQ) -- http://www.adelphia.com/ -- is the fifth-
largest cable television company in the country.  Adelphia
serves customers in 30 states and Puerto Rico, and offers analog
and digital video services, high-speed Internet access and other
advanced services over its broadband networks.  The Company and
its more than 200 affiliates filed for Chapter 11 protection in
the Southern District of New York on June 25, 2002.  Those cases
are jointly administered under case number 02-41729.  Willkie
Farr & Gallagher represents the ACOM Debtors.  
PricewaterhouseCoopers serves as the Debtors' financial advisor.  
Kasowitz, Benson, Torres & Friedman, LLP, and Klee, Tuchin,
Bogdanoff & Stern LLP represent the Official Committee of
Unsecured Creditors.

Adelphia Cablevision Associates of Radnor, L.P., and 20 of its
affiliates, collectively known as Rigas Manged Entities, are
entities that were previously held or controlled by members of
the Rigas family.  In March 2006, the rights and titles to these
entities were transferred to certain subsidiaries of Adelphia
Cablevision, LLC.  The RME Debtors filed for chapter 11
protection on March 31, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10622
through 06-10642).  Their cases are jointly administered under
Adelphia Communications and its debtor-affiliates chapter 11
cases.  (Adelphia Bankruptcy News, Issue Nos. 143 & 144;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ADELPHIA COMMS: Wachovia Pays US$1.25M of US$460-Mil. Settlement
----------------------------------------------------------------
Wachovia Corp. is paying US$1.25 million as part a US$460
million settlement in "In Re Adelphia Communications Corp.
Securities and Derivative Litigation, Case No. 03 MD 1529 (LMM)
or MDL-1529," according to regulatory filings.

Banks involved in the proposed US$460 million settlement reached
a preliminary agreement to pay US$250 million to settle investor
lawsuits over losses from Adelphia's collapse.

The banks included in this settlement are:

      -- ABN AMRO Inc.,
      -- ABN AMRO Bank N.V.,
      -- Banc of America Securities, LLC,
      -- Bank of America, N.A. (successor by merger to Fleet
         National Bank),
      -- Bank of Montreal,
      -- Barclays Capital, Inc.,
      -- Barclays Bank, PLC,
      -- BNY Capital Markets, Inc.,
      -- The Bank of New York Co., Inc.,
      -- The Bank of New York,
      -- CIBC World Markets Corp.,
      -- CIBC, Inc.,
      -- Citigroup Global Markets Holdings, Inc. (f/k/a SSB
         Inc.),
      -- Citibank, N.A.,
      -- Citicorp U.S.A., Inc.,
      -- Calyon Securities (USA) Inc. (f/k/a Credit Lyonnais
         Securities (USA) Inc.),
      -- Calyon New York Branch (successor by operation of law
         to Credit Lyonnais, New York Branch),
      -- Credit Suisse Securities (USA) LLC (f/k/a Credit
         Suisse First Boston LLC),
      -- Credit Suisse, New York Branch (f/k/a Credit Suisse
         First Boston, New York Branch),
      -- Deutsche Bank Securities Inc. (f/k/a Deutsche Bank
         Alex. Brown Inc.),
      -- Deutsche Bank AG,
      -- Fleet Securities Inc.,
      -- Harris Nesbitt Corp. (f/k/a BMO Nesbitt Burns Corp.),
      -- JPMorgan Securities, Inc.,
      -- JPMorgan Chase & Co.,
      -- JPMorgan Chase Bank, N.A.,
      -- PNC Capital Markets, Inc.,
      -- PNC Bank Corp.,
      -- PNC Bank, National Association,
      -- Scotia Capital (USA), Inc.,
      -- The Bank of Nova Scotia,
      -- SG Cowen Securities Corp.,
      -- Societe Generale,
      -- SunTrust Capital Markets, Inc. (f/k/a SunTrust
         Equitable Securities),
      -- SunTrust Bank,
      -- TD Securities (USA) LLC (f/k/a TD Securities (USA)
         Inc.),
      -- Toronto Dominion (Texas) LLC (f/k/a Toronto Dominion
         (Texas) Inc.),
      -- Wachovia Capital Markets, LLC (f/k/a Wachovia
         Securities, Inc.), and
      -- Wachovia Bank, National Association.

The court will hold a fairness hearing on Nov. 10, 2006 at 2:15
p.m. for the proposed US$460 million settlement in the U.S.
District Court for the Southern District of New York, Courtroom
15D, 500 Pearl Street, New York, New York 10007-1312.

Deadline for submitting a proof of claim is March 10, 2007.

The settlement covers all persons and entities that purchased or
otherwise acquired securities issued by Adelphia Communications
Corp. or its subsidiaries between Aug. 16, 1999, and
June 10, 2002.  It consists of two separate settlements:

       -- the US$210,000,000 Deloitte & Touche Settlement; and
       -- the US$250,000,000 Banks Settlement.

Beginning in April 2002, more than 30 individual and class
actions were filed by purchasers of Adelphia debt and equity
securities against Adelphia, its officers and directors, its
outside counsel, Adelphia's auditors Deloitte & Touche, and/or
various of Adelphia's underwriters and lenders, the banks.

Most of those actions were filed in the U.S. District Court for
the Eastern District of Pennsylvania and were assigned to Judge
Herbert Hutton.  Among the cases filed in the Eastern District
of Pennsylvania were approximately 30 class actions asserting
claims under the U.S. Securities Act of 1933 and/or the U.S.
Securities Exchange Act of 1934.

In addition to the class actions, public pension funds and/or
fund managers seeking to recoup losses on behalf of their funds
commenced several individual actions.

On April 30, 2002, Judge Hutton entered an order consolidating
the then pending actions filed in the Eastern District of
Pennsylvania as, "In re Adelphia Communications Securities
Litigation, Master File No. 02 CV 1781," and providing for the
consolidation of all later-filed actions.

On or about June 25, 2002, Adelphia and its subsidiaries filed
voluntary petitions for relief under Chapter 11 of the
Bankruptcy Code in the U.S. Bankruptcy Court in the Southern
District of New York.  The Chapter 11 cases were assigned to
Hon. Robert E. Gerber and are being jointly administered in the
case, "In re Adelphia Communications Corp., et al., Case No. 02-
41729 (REG)."

Thereafter, by Order dated July 23, 2003, the class actions as
well as certain individual actions against the same defendants
were transferred by the Judicial Panel on Multi-District
Litigation to the Southern District of New York and are
currently pending before Judge McKenna as, "In re Adelphia
Communications Corp. Securities & Derivative Litigation, 03 MD
1529 (LMM)."

On Dec. 5, 2003, Eminence Capital, LLC, Argent Classic
Convertible Arbitrage Fund L.P., Argent Classic Convertible
Arbitrage Fund (Bermuda) L.P., Argent Lowlev Convertible
Arbitrage Fund Ltd., UBS O'Conner LLC f/b/o UBS Global Equity
Arbitrage Master Ltd. and UBS O'Conner LLC f/b/o UBS Global
Convertible Portfolio were appointed as lead plaintiffs in the
consolidated class actions and Abbey Gardy, LLP, (n/k/a Abbey
Spanier Rodd Abrams & Paradis, LLP) and Kirby McInerney & Squire
were appointed as co-lead counsel in accordance with the federal
securities laws.

On Dec. 22, 2003, lead plaintiffs filed a complaint, which
alleges claims for violations of Sections 11, 12(a)(2) and 15 of
the U.S. Securities Act, 15 U.S.C. Section 77k, 77l(a)(2) and
77o, and Sections 10(b) and 20(a) of the Exchange Act, 15 U.S.C.
Section 78j(b) and 78t(a), and Rule 10b-5, 17 C.F.R. Section
240.10b-5, the Trust Indenture Act of 1939, 15 U.S.C. Section
77jjj, 77mmm, 77ooo and 77www et seq. and state law against
various defendants including Deloitte & Touche and the Banks.

After filing the complaint, on March 8, 2004, the Settling
Defendants, along with other defendants, moved to dismiss the
complaint.  The court has not yet ruled on several of the issues
raised by the defendants' motions, but has partially granted and
partially denied some of the motions.

On or about June 30, 2005, at the suggestion of Judge McKenna,
various parties to the class action agreed to participate in
mediation to resolve the pending litigation.  The various
parties selected Judge Daniel Weinstein, a retired judge, to
serve as the mediator.

Pursuant to the court's directives, lead plaintiffs' counsel and
counsel for Deloitte & Touche and the Banks entered into
extensive negotiations under the supervision of Judge Weinstein.

As a result of such discussions and their involvement in the
extensive negotiation process, lead plaintiffs agreed to the
settlements with Deloitte & Touche and the Banks.

                About Adelphia Communications

Based in Coudersport, Pa., Adelphia Communications Corp. (OTC:
ADELQ) -- http://www.adelphia.com/-- is the fifth-largest         
cable television company in the country.  Adelphia serves
customers in 30 states and Puerto Rico, and offers analog and
digital video services, high-speed Internet access and other
advanced services over its broadband networks.  The Company and
its more than 200 affiliates filed for Chapter 11 protection in
the Southern District of New York on June 25, 2002.  Those cases
are jointly administered under case number 02-41729.  Willkie
Farr & Gallagher represents the ACOM Debtors.  
PricewaterhouseCoopers serves as the Debtors' financial advisor.  
Kasowitz, Benson, Torres & Friedman, LLP, and Klee, Tuchin,
Bogdanoff & Stern LLP represent the Official Committee of
Unsecured Creditors.

Adelphia Cablevision Associates of Radnor, L.P., and 20 of its
affiliates, collectively known as Rigas Manged Entities, are
entities that were previously held or controlled by members of
the Rigas family.  In March 2006, the rights and titles to these
entities were transferred to certain subsidiaries of Adelphia
Cablevision, LLC.  The RME Debtors filed for chapter 11
protection on March 31, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10622
through 06-10642).  Their cases are jointly administered under
Adelphia Communications and its debtor-affiliates chapter 11
cases.  (Adelphia Bankruptcy News, Issue Nos. 143 & 144;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)    


DORAL FINANCIAL: Names Glen Wakeman as Chief Executive Officer
--------------------------------------------------------------
Doral Financial Corp. appointed Glen Wakeman as Chief Executive
Officer and a member of the Board of Directors, on
August 15, 2006, effective immediately after the filing of the
company's annual report on Form 10-K for the fiscal year ended
December 31, 2005.  Mr. Wakeman served as the company's
President and Chief Operating Officer since May 30, 2006. He
succeeds John A. Ward III, who had been acting as Chief
Executive Officer on an interim basis.  Mr. Ward will continue
to serve on the Board of Directors in his capacity as non-
executive Chairman of the Board.

Prior to joining the company, Mr. Wakeman served as Chief
Executive Officer of GE's Consumer Finance Latin America
business since 1999. Mr. Wakeman holds a B.S. in Economics and
Finance from the University of Scranton and an MBA from the
University of Chicago.

                    About Doral Financial

Doral Financial Corporation -- http://www.doralfinancial.com/    
-- a financial holding company, is the largest residential
mortgage lender in Puerto Rico, and the parent company of Doral
Bank, a Puerto Rico based commercial bank, Doral Securities, a
Puerto Rico based investment banking and institutional brokerage
firm, Doral Insurance Agency, Inc. and Doral Bank FSB, a federal
savings bank based in New York City.

                        *    *    *

As reported in the Troubled Company Reporter on June 13, 2006,
Standard & Poor's Ratings Services lowered its long-term ratings
on Doral Financial Corp. (NYSE: DRL), including the company's
long-term counterparty rating, to 'B+' from 'BB-'.  At the same
time, Doral's outlook remains on CreditWatch with negative
implications.


NBTY INC: Reports Third Quarter Results of US$0.43 Per Share
------------------------------------------------------------
NBTY, Inc. (NYSE: NTY), a global manufacturer and marketer of
nutritional supplements, posted results for the fiscal third
quarter ended June 30, 2006.

For the fiscal third quarter ended June 30, 2006, net sales
increased US$36 million, or 8%, to US$475 million, including
US$24 million generated by Solgar, compared to net sales of
US$439 million for the fiscal third quarter ended June 30, 2005.

Net income for the fiscal third quarter ended June 30, 2006 was
US$30 million, or US$0.43 per diluted share, compared to US$16
million, or US$0.23 per diluted share, for the fiscal third
quarter ended June 30, 2005.  The results for the fiscal third
quarter ended June 30, 2005, included asset impairment charges
of US$11 million, or US$0.14 per diluted share.  Without these
impairment charges, net income per diluted share for the fiscal
third quarter of 2005 would have been US$0.37.

For the nine months ended June 30, 2006, net sales increased
US$110 million, or 8%, to US$1.4 billion, com pared to net sales
of US$1.3 billion for the prior like period.  Net income for the
nine months ended June 30, 2006, was US$74 million, or US$1.07
per diluted share, compared to US$67 million, or US$0.97 per
diluted share for the nine months ended June 30, 2005.

Net income results for the nine months ended June 30, 2006,
included non-cash charges of US$14 million incurred in the first
two fiscal quarters, consisting of a trademark impairment
charge, charges for closing certain Solgar international
operations and certain North American Retail impairment charges.
Without these non-cash charges, earnings for the nine months
ended June 30, 2006, would have been US$1.22 per diluted share.
Without the aforementioned fiscal third quarter 2005 impairment
charge, net income per diluted share for the nine months ended
June 30, 2005, would have been US$1.11.

At June 30, 2006, NBTY had working capital of US$387 million and
total assets of US$1.3 billion, including US$375 million in
inventory.  Inventory decreased US$21 million for the fiscal
third quarter of 2006 and decreased US$117 million for the nine
months ended June 30, 2006.  These decreases reflect the
Company's successful initiatives to lower inventory while
continuing to assure uninterrupted product supply to its
customers.

NBTY's strong financial position allowed the Company to
accelerate repayment of US$206 million of long-term debt in the
first nine months of fiscal 2006 and an additional accelerated
debt repayment of US$10 million in July 2006.

NBTY continues to reduce leverage, with remaining long-term debt
of US$227 million at June 30, 2006.  The Company expects to
continue its practice of accelerated repayment of debt.

                 Operations for the Fiscal
             Third Quarter Ended June 30, 2006

Sales for the Wholesale/US Nutrition division, which markets
Nature's Bounty, Sundown, Solgar and SISU brands, increased
approximately US$39 million, or 21%, to US$227 million from
US$188 million for the prior like quarter.  Solgar accounted for
US$24 million of this increase in sales.

Product returns for the fiscal third quarter were US$5 million
as compared with US$10 million for the fiscal third quarter
2005.  Product returns for the nine months ended June 30, 2006,
were an aggregate of US$20 million.  

NBTY expects normalized return rates in future quarters to be
similar to the returns in this fiscal quarter.  Gross margins
for the wholesale operation decreased 6% compared with the
fiscal third quarter of 2005 as a result of promotional
incentives offered to customers, competitive pricing in the
joint care category and higher prices paid for certain raw
materials.

NBTY previously purchased raw materials that were in short
supply at the time of purchase.  Market prices for these raw
materials have decreased during fiscal 2006 as supply shortage
dissipated.  The Company anticipates that gross margins will
increase in fiscal 2007 as these higher priced raw materials are
depleted.

US Nutrition continues to utilize valuable consumer preference
sales data generated by NBTY's Vitamin World retail stores and
Puritan's Pride Direct Response/E-Commerce operations to empower
its wholesale customers with this latest information.  The
Vitamin World stores are effectively used as a laboratory for
new ideas and have become a significant tool for determining and
monitoring consumer preferences.

The North American Retail operations reported a pre-tax profit
of US$2 million.  This division's sales decreased US$0.5
million, or 1%, primarily due to closing of under-performing
stores.  During the fiscal third quarter of 2006, Vitamin World
closed 26 under-performing stores and opened three new stores.
Vitamin World has closed a total of 66 under-performing stores
and opened eight new stores in the nine-month period ended
June 30, 2006.  

NBTY anticipates closing an additional 10 stores by fiscal year
end. Same store sales for Vitamin World increased 6% from the
prior like quarter.  At the end of the fiscal third quarter, the
North American Retail division operated a total of 582 stores,
with 484 in the US and 98 in Canada.

European Retail sales for the fiscal third quarter ended
June 30, 2006, decreased US$3 million or 2% to US$140 million
from US$143 million for the fiscal third quarter ended
June 30, 2005.  In local currency, same store sales essentially
remained unchanged from the prior like period.  The European
Retail business continues to leverage its premier status, high
street locations and brand awareness.  The European Retail
business is comprised of 496 Holland & Barrett and 33 GNC stores
in the UK, 19 Nature's Way stores in Ireland, and 68 DeTuinen
stores in the Netherlands.  GNC and DeTuinen stores were
profitable in this fiscal third quarter.

During the fiscal third quarter ended June 30, 2006, the
European Retail division opened 4 stores and operated a total of
616 stores.

Revenues from Direct Response/Puritan's Pride operations for the
fiscal third quarter of 2006 increased US$0.4 million or 1% from
the comparable prior period.  The average order size increased
to US$77 from US$69.  Online sales constituted 33% of total
Direct Response/E-Commerce sales.  NBTY remains the leader in
the direct response and e-commerce sectors.

NBTY Chairman and CEO, Scott Rudolph, said: "The industry
continues to struggle in an environment that has favorable
research results with negative media headlines.  We will
maintain an aggressive posture to increase our market share.  We
remain confident in the long-term outlook for the Company."

                         About NBTY

Headquartered in Bohemia, New York, NBTY, Inc. (NYSE: NTY) --
http://www.NBTY.com/-- manufactures, markets and distributes
nutritional supplements in the United States and throughout the
world.  As of September 30, 2005, it operated 542 Vitamin World
and Nutrition Warehouse retail stores in the United States,
Guam, Puerto Rico, and the Virgin Islands.


NBTY INC: To Acquire Zila Nutraceuticals for US$40 Mil. in Cash
---------------------------------------------------------------
NBTY, Inc., entered into a contract to acquire Zila
Nutraceuticals, Inc., manufacturer and marketer of the Ester-
C(R) nutritional supplement brand.  Zila Nutraceuticals is a
business unit of Zila, Inc.

NBTY will purchase the stock of Zila Nutraceuticals Inc. for
approximately US$40 million in cash, including up to a US$3
million contingent payment which is based upon EBITDA
performance.  The transaction, which is subject to the approval
of Zila, Inc. shareholders, is expected to close by October
2006.

Zila Nutraceuticals had US$18 million in net revenue for the
nine months ended April 30, 2006.

"The acquisition of Ester-C(R) expands our broad array of
superior quality products with a well-recognized brand having
strong consumer appeal," NBTY Chairman and CEO, Scott Rudolph,
said.  "Ester-C(R) is known throughout multiple markets
including health food stores and mass market retailers and its
acquisition represents an opportunity for NBTY to enhance its
presence in key markets."

                      About Zila Inc.

Headquartered in Phoenix, Arizona, Zila, Inc. (Nasdaq:  ZILA) --
http://www.zila.com/-- provides quality healthcare products
worldwide.

                        About NBTY

Headquartered in Bohemia, New York, NBTY, Inc. (NYSE: NTY) --
http://www.NBTY.com/-- manufactures, markets and distributes
nutritional supplements in the United States and throughout the
world.  As of September 30, 2005, it operated 542 Vitamin World
and Nutrition Warehouse retail stores in the United States,
Guam, Puerto Rico, and the Virgin Islands.

                        *    *    *

As reported in the Troubled Company Reporter on Aug. 14, 2006,
Standard & Poor's Ratings Services raised its bank loan rating
for NBTY Inc., to 'BB+' from 'BB', and raised the recovery
rating to '1' from '2'.  At the same time, Standard & Poor's
revised its outlook to stable from negative and affirmed the
'BB' corporate credit rating and all other ratings on NBTY.

The '1' recovery rating indicates the expectation of a full
recovery of principal in the event of a default.  Approximately
US$227.4 million of total debt was outstanding at June 30, 2006.


UNO RESTAURANT: S&P Lowers Corp. Credit Rating to CCC+ from B-
--------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit
rating on Boston-based Uno Restaurant Holdings Corp. to 'CCC+'
from 'B-'.  The outlook remains negative.

"The rating action is based on the company's limited liquidity,
and our concern that Uno may not meet its bank covenants when
they step up in 2007, given that the company's weak operating
performance is not expected to recover in the near term," said
Standard & Poor's credit analyst Jackie Oberoi.  Uno has amended
its senior secured credit facility four times in the current
fiscal year.

Ratings on Uno, the parent company of casual dining operator Uno
Chicago, reflect the company's relatively small cash flow base,
limited financial flexibility, highly leveraged capital
structure, regional concentration in the Northeastern U.S., and
participation in the highly competitive casual dining restaurant
industry.

Uno's operating performance has generally been lackluster for
the past few years.  Annual comparable-store sales rose slightly
in the third quarter of 2006; however, the gain was due to an
increase in guest check size, while store traffic declined.  
Sales advanced slightly from levels a year ago, but EBITDA
declined due to a lack of sales leverage, increased labor costs
related to a new menu, and higher utility costs. Although
margins could improve somewhat in the near term as labor costs
should come down, the improvement over the next year is not
expected to materially strengthen cash flow protection measures.

Uno is regionally concentrated, with about 50% of company-owned
restaurants in either Massachusetts or New York.  Other core
markets include the suburban shopping centers and regional mall
areas of the Baltimore/Washington D.C. area and Chicago.  Uno
Chicago Grill restaurants are located in 30 states, the District
of Columbia, Puerto Rico, South Korea and the United Arab
Emirates.




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


MIRANT CORP: Court Approves US$520-Million Settlement with PEPCO
----------------------------------------------------------------
The Honorable Michael D. Lynn of the U.S. Bankruptcy Court for
the Northern District of Texas approves the settlement
agreements among Reorganized Mirant Corp. and its debtor-
affiliates, Potomac Electric Power Company and Southern Maryland
Electric Cooperative, Inc., and overrules the objection filed by
certain Class 3 Claim Holders.

In a 30-page Memorandum Opinion, Judge Lynn says he finds the
US$520,000,000 settlement amount to be reasonable given:

    * the potential magnitude of claim underlying the Back-to-
      Back Agreement;

    * the uncertainties that could arise from further litigation
      over rejection of the BTB or the Asset Purchase and Sale
      Agreement; and

    * the facial appeal of the additional claims asserted by
      PEPCO.

At the July 5, 2006, hearing, the Court, with the assistance of
Peter Schaulb, a manager at PEPCO, calculated that the claim to
which PEPCO would be entitled by reason of rejection of the
Back-to-Back would approximately total US$450,000,000,
considering the interest from commencement of the case up to
May 31, 2006, the date of rejection.

Quantification of the BTB claim is based on discounting
projected losses over the remaining life of the BTB to present
value at a rate of approximately 8%.

The Court notes that PEPCO asserts additional claims for more
than US$70,000,000.  Judge Lynn says PEPCO may be entitled to
professional fees for which it has made no claim.

In addition, contrary to the Claim Holders' assertion, rejection
of the BTB and satisfaction of PEPCO's Claim pursuant to the
Settlement provides for tax benefits to Mirant, Judge Lynn
points out.

It is not true that PEPCO's treatment is better, the Court adds.
If PEPCO were to receive treatment as provided in the Plan,
Mirant would:

    -- have distributed to it 22,297,600 of common shares; and

    -- be entitled to a share in litigation proceeds pursuant to
       Plan.

Under the Settlement, however, PEPCO will receive no
distributions pursuant to Plan, the Court notes.  As of
July 19, 2006, Mirant's stock is trading at US$26.64 per share.  
Hence, Judge Lynn says, far fewer shares, less than 20,000,000,
are necessary to satisfy PEPCO's US$450,000,000 claim under the
Settlement.

"[I]t is clearly reasonable that management, as part of the
Debtors' reorganization, should want to convert the substantial,
uncertain future liabilities associated with the [Back-to-Back
Agreement] into a claim satisfied largely through the issuance
of Mirant's stock," Judge Lynn notes.

Judge Lynn finds that the Settlement is a product of arm's-
length bargaining, and Mirant's decision to negotiate and enter
into the Settlement clearly was not taken lightly.

The Court also finds that the assumption of the Facility and
Capacity Credit Agreement is appropriate.  The assumption of the
FCC is an integral part of the Settlement.  If the FCC is not
assumed, the Settlement cannot go forward, Judge Lynn says.

The Court further points out that the Settlement is
"unfortunately structured so that it may unduly encourage the
Claim Holders to appeal the decision."

Since the Settlement requires that the order approving it be
final prior to its implementation, Judge Lynn authorizes the
parties to waive, at will and in their sole discretion, "the
necessity to implementation of a final order approving the
Settlement [sic]."

A full-text copy of Judge Lynn's Memorandum Opinion is available
for free at http://ResearchArchives.com/t/s?fb5

Headquartered in Atlanta, Georgia, Mirant Corporation (NYSE:
MIR) -- http://www.mirant.com/-- is an energy company that  
produces and sells electricity in North America, the Caribbean,
and the Philippines.  Mirant's investments in the Caribbean
include three integrated utilities and assets in Jamaica, Grand
Bahama, Trinidad and Tobago and Curacao.  Mirant owns or leases
more than 18,000 megawatts of electric generating capacity
globally.  Mirant Corporation filed for chapter 11 protection on
July 14, 2003 (Bankr. N.D. Tex. 03-46590), and emerged under the
terms of a confirmed Second Amended Plan on Jan. 3, 2006.  
Thomas E. Lauria, Esq., at White & Case LLP, represented the
Debtors in their successful restructuring.  When the Debtors
filed for protection from their creditors, they listed
US$20,574,000,000 in assets and US$11,401,000,000 in debts.
The Debtors emerged from bankruptcy on Jan. 3, 2006.  (Mirant
Bankruptcy News, Issue No. 103; Bankruptcy Creditors' Service
-- http://bankrupt.com/newsstand/-- Inc., 215/945-7000,
http://bankrupt.com/newsstand/))

                        *    *    *

As reported in the Troubled Company Reporter on July 17, 2006,
Moody's Investors Service downgraded the ratings of Mirant
Corporation and its subsidiaries Mirant North America, LLC and
Mirant Americas Generation, LLC.  The Ba2 rating for Mirant Mid-
Atlantic, LLC's secured pass through trust certificates was
affirmed.  Additionally, Mirant's Speculative Grade Liquidity
rating was revised to SGL-2 from SGL-1.  The rating outlook is
stable for Mirant, MNA, MAG, and MIRMA.

Moody's downgraded Mirant Americas Generation, LLC's Senior
Unsecured Regular Bond/Debenture, to B3 from B2.  Moody's also
downgraded Mirant Corporation's Corporate Family Rating, to B2
from B1, and Speculative Grade Liquidity Rating, to SGL-2 from
SGL-1.  Mirant North America, LLC's Senior Secured Bank Credit
Facility, was also downgraded to B1 from Ba3 and its Senior
Unsecured Regular Bond/Debenture, to B2 from B1.

As reported in the Troubled Company Reporter on July 13, 2006,
Fitch Ratings placed the ratings of Mirant Corp., including the
Issuer Default Rating of 'B+', and its subsidiaries on Rating
Watch Negative following its announced plans to buy back stock
and sell its Philippine and Caribbean assets.

Ratings affected are Mirant Corp.'s 'B+' Issuer Default Rating
and Mirant Mid-Atlantic LLC's 'B+' Issuer Default Rating and the
Pass-through certificates' 'BB+/Recovery Rating RR1'.

Fitch also placed Mirant North America, Inc.'s Issuer Default
Rating of 'B+', Senior secured bank debt's 'BB/RR1' rating,
Senior secured term loan's 'BB/RR1' rating, and Senior unsecured
notes' 'BB-/RR1' rating on Rating Watch Negative.  Mirant
Americas Generation, LLC's Issuer Default Rating of 'B+' and
Senior unsecured notes' 'B/RR5' rating was included as well.

Standard & Poor's Ratings Services also placed the 'B+'
corporate credit ratings on Mirant Corp. and its subsidiaries,
Mirant North American LLC, Mirant Americas Generating LLC, and
Mirant Mid-Atlantic LLC, on CreditWatch with negative
implications.


MIRANT CORP: Excluded Debtors Have Until Dec. 5 to File Plan
------------------------------------------------------------
The Honorable Michael D. Lynn of the U.S. Bankruptcy Court for
the Northern District of Texas extends the exclusive periods of
Mirant Corp. debtor-affiliates, which did not emerged from
bankruptcy with Mirant:

    (a) exclusive period to adopt or abandon Mirant's Plan, or
        to file their own plan of reorganization until
        December 5, 2006; and

    (b) exclusive period to solicit acceptances of the Plan or
        another plan until February 3, 2007.

These debtor-affiliates are:

    (a) the New York Debtors -- Mirant Bowline, LLC; Mirant
        Lovett, LLC; and Mirant New York, Inc.;

    (b) Mirant NY-Gen, LLC; and

    (c) Hudson Valley Gas Corporation.

Jeff P. Prostok, Esq., at Forshey & Prostok LLP, in Fort Worth,
Texas, related that certain issues in the Excluded Debtors'
Chapter 11 cases have not yet been resolved, specifically the
New York Debtors' tax dispute with the New York taxing
authorities and the Mirant NY-Gen, LLC's remediation plan.

Judge Lynn recently issued a Memorandum Order relating to the
New York Debtors' tax issues, Mr. Prostok noted.  The Memorandum
Order provides for hearing schedules that will tackle the
resolution of the tax disputes.  The Bankruptcy Court or the
Supreme Court of the State of New York, where the Debtors' tax
certiorari actions are pending, may rule on the issues in
October 2006.

Mr. Prostok contended that the New York Debtors and Hudson
Valley cannot confirm a plan without resolving the tax disputes
with the New York Taxing Authorities.  In addition, Mirant NY-
Gen contemplates selling certain of its assets, which may need
to be addressed prior to the proposal of a plan.

The New York Debtors and Hudson Valley, Mr. Prostok said, will
use the additional time after October 2006 to propose a plan of
reorganization based on the outcome of the tax disputes and the
resolution of other matters.

Mirant NY-Gen will use the extension to begin its compliance
with the remediation plan approved by the Federal Energy
Regulatory Commission and address any related issues, which may
arise prior to proposing a plan.

Denying the requested extension and opening up the Excluded
Debtors' cases to competing plans, on the other hand, would
destabilize the process, risk unnecessary litigation, and delay
the timely emergence of the Excluded Debtors from Chapter 11,
Mr. Prostok pointed out.

Headquartered in Atlanta, Georgia, Mirant Corp. (NYSE: MIR) --
http://www.mirant.com/-- is an energy company that produces and  
sells electricity in North America, the Caribbean, and the
Philippines.  Mirant's investments in the Caribbean
include three integrated utilities and assets in Jamaica, Grand
Bahama, Trinidad and Tobago and Curacao.  Mirant owns or leases
more than 18,000 megawatts of electric generating capacity
globally.  Mirant Corporation filed for chapter 11 protection on
July 14, 2003 (Bankr. N.D. Tex. 03-46590), and emerged under the
terms of a confirmed Second Amended Plan on Jan. 3, 2006.  
Thomas E. Lauria, Esq., at White & Case LLP, represented the
Debtors in their successful restructuring.  When the Debtors
filed for protection from their creditors, they listed
US$20,574,000,000 in assets and US$11,401,000,000 in debts.
The Debtors emerged from bankruptcy on Jan. 3, 2006.  (Mirant
Bankruptcy News, Issue No. 103; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000)

                        *    *    *

As reported in the Troubled Company Reporter on July 17, 2006,
Moody's Investors Service downgraded the ratings of Mirant
Corporation and its subsidiaries Mirant North America, LLC and
Mirant Americas Generation, LLC.  The Ba2 rating for Mirant Mid-
Atlantic, LLC's secured pass through trust certificates was
affirmed.  Additionally, Mirant's Speculative Grade Liquidity
rating was revised to SGL-2 from SGL-1.  The rating outlook is
stable for Mirant, MNA, MAG, and MIRMA.

Moody's downgraded Mirant Americas Generation, LLC's Senior
Unsecured Regular Bond/Debenture, to B3 from B2.  Moody's also
downgraded Mirant Corporation's Corporate Family Rating, to B2
from B1, and Speculative Grade Liquidity Rating, to SGL-2 from
SGL-1.  Mirant North America, LLC's Senior Secured Bank Credit
Facility, was also downgraded to B1 from Ba3 and its Senior
Unsecured Regular Bond/Debenture, to B2 from B1.

As reported in the Troubled Company Reporter on July 13, 2006,
Fitch Ratings placed the ratings of Mirant Corp., including the
Issuer Default Rating of 'B+', and its subsidiaries on Rating
Watch Negative following its announced plans to buy back stock
and sell its Philippines and Caribbean assets.

Ratings affected are Mirant Corp.'s 'B+' Issuer Default Rating
and Mirant Mid-Atlantic LLC's 'B+' Issuer Default Rating and the
Pass-through certificates' 'BB+/Recovery Rating RR1'.

Fitch also placed Mirant North America, Inc.'s Issuer Default
Rating of 'B+', Senior secured bank debt's 'BB/RR1' rating,
Senior secured term loan's 'BB/RR1' rating, and Senior unsecured
notes' 'BB-/RR1' rating on Rating Watch Negative.  Mirant
Americas Generation, LLC's Issuer Default Rating of 'B+' and
Senior unsecured notes' 'B/RR5' rating was included as well.

Standard & Poor's Ratings Services also placed the 'B+'
corporate credit ratings on Mirant Corp. and its subsidiaries,
Mirant North American LLC, Mirant Americas Generating LLC, and
Mirant Mid-Atlantic LLC, on CreditWatch with negative
implications.


ROYAL CARIBBEAN: Projected Profits Lowered on Passenger Decline
---------------------------------------------------------------
Royal Caribbean Cruises Ltd.'s predicted profits had to be
reduced due to a decrease in passengers, Cayman Net News
reports.

Bloomberg relates that analyst Credit Suisse had decreased Royal
Caribbean's predicted earnings for the whole year because demand
for Caribbean voyages is weaker.

Scott Barry, an analyst at Credit Suisse, lowered his 2007
estimate for Royal Caribbean to US$2.80 from US$2.42.  Last
month, he reduced his 2006 forecast for the company to US$2.60.

Royal Caribbean had admitted that in the past two months demand
has weakened for cruises in the Caribbean, Bloomberg says.  The
firm is sending vessels to other destinations to lessen its
reliance on island trips that some passengers are avoiding due
to hurricanes in 2005.

Helane Becker, an analyst at Benchmark Co., told Bloomberg,
"There's a resistance to book these trips early because of
hurricanes."

According to the report, the passenger decline has forced Royal
Caribbean to slash prices for trips in the first half of 2007.

Mr. Barry told Bloomberg that revenue per passenger per day or
net yield may decrease for Royal Caribean next year.  He said
that reservations are not being booked as far in advance.  The
new yield figures exclude expenses like travel agent commissions
and airfares.

Richard Fain, Royal Caribbean's Chief Executive Officer, told
Bloomberg that in July reservations are not being made as far as
in advance for the Caribbean and Bermuda flights.

The declines imply "extremely challenging average ticket pricing
comparisons for the next several quarters at a minimum,"
Bloomberg notes, citing Mr. Barry.

Royal Caribbean Cruises Ltd. is a global cruise vacation company
that operates Royal Caribbean International and Celebrity
Cruises, with a combined total of 29 ships in service and five
under construction.  The company also offers unique land-tour
vacations in Alaska, Canada and Europe through its cruise-tour
division.

                        *    *    *

Moody's Investors Service has assigned on June 7, 2006, a Ba1
rating on Royal Caribbean's US$700 million senior unsecured
notes issuance and affirmed all existing long-term ratings.




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


CITGO PETROLEUM: S&P Says Stake Sale Is Unfavorable for Credit
--------------------------------------------------------------
Standard & Poor's Ratings Services said that its ratings on
CITGO Petroleum Corp. (BB/Stable/--) would remain unchanged,
following the announcement that Lyondell Chemical Co. (BB-/Watch
Neg/B-1) will buy CITGO's 41% stake in the companies' jointly
owned Houston, Texas refinery for US$2.1 billion.

Standard & Poor's views the sale as unfavorable for credit,
because of the reduction in the scale of CITGO's refining
capacity, and because it expects the proceeds of the sale to be
dividended to CITGO's parent, Petroleos de Venezuela S.A.
(B+/Watch Dev/--).  CITGO's refining operations following the
sale remain considerable, however, and are adequate to support
the company's current ratings.  


PARMALAT GROUP: Board Reviews 1st Half 2006 Preliminary Results
---------------------------------------------------------------
Parmalat Spa's Board of Directors has examined the Company's
preliminary figures at June 30, 2006.  The figures confirm that
the Company's operating performance is continuing to improve.

                          The Group

In the first half of 2006, consolidated net revenues totaled
EUR1,972.8 million, or 6.8% more than the EUR1,847.8 million
booked in the same period last year.  EBITDA increased by 21.4%
to EUR159.9 million, compared with EUR131.7 million at
June 30, 2005.  The return on sales was also up, rising to 8.1%
(7.1% in 2005) also due to lower provisioning equal to a
reduction by EUR6 million compared to 2005.

The improvement mainly reflects a strong performance in
Italy, Africa and Venezuela and favorable developments in
foreign exchange parities, particularly the exchange rate of the
Canadian dollar versus the euro.

A breakdown of the results by country:

                         First Half 2006
                          (In Millions)

                                                        As a %
                                                          Net
                          Net Revenues     EBITDA       Revenues
                           ---------      --------      --------
    Italy                   EUR585.0       EUR48.1         8.2
    Canada                     648.1          54.1         8.4
    Australia                  218.4          14.7         6.7
    Africa (consolidated)      178.2          19.4        10.9
    Spain                       99.7           2.2         2.2
    Portugal                    39.0           4.1        10.5
    Russia                      26.5           3.9        14.8
    Romania                      5.5           1.2        21.7
    Nicaragua                   13.2           2.0        14.9
    Cuba                         3.6           1.0        28.0
    Venezuela                   91.1          15.0        16.4
    Ecuador                      1.0          (0.3)      (28.1)
    Colombia                    55.5           5.5         9.9
    Other                        8.1         (10.9)        n.a.
                         ----------      --------       --------
    Group                 EUR1,972.8      EUR159.9         8.1
                         ==========      ========       ========

      Specifically:

         * In Italy, following the optimization of product mix
           which caused a sales decrease of non typical products
           for an amount of EUR19.6 million, consolidated
           revenues totaled EUR585.0 million, slightly less
           (-2.2%) than the EUR598.0 million reported in the
           first half of 2005.  The reason for this shortfall is
           a decrease in revenues from the sale of non-Core
           Program  products, which had a negative impact of
           EUR19.6 million, offset in part by higher sales of
           functional/healthy living products with greater added
           value.  The optimization of product mix, coupled with
           a strict cost control policy, produced an expansion
           in EBITDA, which rose to EUR48.1 million, or EUR10.7
           million more than in the first six months of 2005
           (EUR37.4 million).  The return on sales also
           improved, rising from 6.3% in 2005 to 8.2% this year.

         * In Canada, consolidated revenues, aided also by the
           positive impact of a favorable exchange rate,
           increased to EUR648.1 million, a gain of 7.4%
           compared with the EUR603.4 million booked in the
           first half of 2005.  EBITDA improved to EUR54.1
           million, or EUR10.3 million more (+23.2%) than the
           EUR43.9 million earned in the first six months of
           2005, causing the return on sales to rise to 8.4%
           (7.3% in 2005).  Even though there were fewer
           delivery and billing days than in the first half of
           2005 (one week less), the Canadian operations were
           able to report higher revenues and EBITDA thanks to a
           price increase implemented earlier in the year and a
           change in the product mix.

         * In Australia, consolidated revenues reached
           EUR218.4 million at June 30, 2006, up 13.6% from the
           EUR192.2 million booked in the first six months of
           2005.  EBITDA decreased by EUR1.7 million, falling
           from EUR16.4 million to EUR14.7 million.  The return
           on sales contracted by 1.8%.  The decrease of EBITDA
           will be recovered during the following semester due
           to the improvement of product mix and to targeted
           publicity expenses.

         * In Africa, consolidated revenues were up a healthy
           19.5%, rising from EUR149.1 million in the first half
           of 2005 to EUR178.2 million in the same period this
           year.  EBITDA were also up (from EUR15.4 million to
           EUR19.4 million) and the return on sales improved
           from 10.3% to 10.9%.  An increase in unit sales, made
           possible by a rapidly growing local economy, and a
           change in product mix accounted for this improvement.

Aside from the Spanish companies, which are continuing to
experience a difficult situation, the operations in the other
countries reported excellent operating results compared with the
first half of 2005.  The companies in South America (Colombia
and Venezuela) performed especially well.

At June 30, 2006, the Group's net financial position showed
indebtedness of EUR316.5 million, down sharply from the EUR369.3
million owed at the end of 2005.  The net indebtedness of the
Venezuelan operations alone amounted to about EUR150 million.

                        Parmalat SpA

The Group's Parent Company reported net revenues of EUR504.5
million, or 4% less than the EUR525.7 million booked in
the first half of 2005.  In this case as well, lower sales of
non-core products, offset in part by higher shipments of
functional/healthy living products with greater added value,
account for this decrease.  EBITDA totaled EUR32 million, a gain
of EUR8.6 million compared with the EUR23.4 million earned in
the first six months of 2005.  The return on sales rose to 6.3%,
compared with 4.5% in 2005.

This improvement was made possible by a greater preponderance of
functional/healthy living products within the product mix and by
the fact that the loss incurred by the network of Group-owned
licensees, which in 2005 was included in the EBITDA of the
Group's Parent Company, is now being allocated to Parmalat
Distribuzione Alimenti (a company that is being reorganized to
increase its efficiency), which is part of the Italian Strategic
Business Unit.

During the first half of 2006, net financial assets decreased
from EUR324.5 million to EUR291.6 million, even though the
Company's operations were cash flow positive.  The decrease
is attributable to extraordinary transactions, which included
the payment of preferential and pre-deduction claims by the
Group's Parent Company, expenses incurred in connection with the
extraordinary administration proceedings and legal fees, offset
only in part by nonrecurring gains and dividends received from
subsidiaries.

                        *    *    *

Parmalat says the first half 2006 results will be approved on
Sept. 13, 2006, for submission to the shareholders meeting.
In addition, the approved results will be presented to the
financial community in a meeting to be held in Milan, Italy.  
The meeting will represent the start of a road show planned to
take place in the last two weeks of September.

                        About Parmalat

Headquartered in Wallington, New Jersey, Parmalat USA Corp.
-- http://www.parmalatusa.com/-- generates more than 7 billion
euros in annual revenue.  The Parmalat Group's 40-some brand
product line includes milk, yogurt, cheese, butter, cakes and
cookies, breads, pizza, snack foods and vegetable sauces, soups
and juices and employs over 36,000 workers in 139 plants located
in 31 countries on six continents.  The Company filed for
chapter 11 protection on February 24, 2004 (Bankr. S.D.N.Y. Case
No. 04-11139).  Gary Holtzer, Esq., and Marcia L. Goldstein,
Esq., at Weil Gotshal & Manges LLP, represent the Debtors.  When
the U.S. Debtors filed for bankruptcy protection, they reported
more than US$200 million in assets and debts.  The U.S. Debtors
emerged from bankruptcy on April 13, 2005.  (Parmalat Bankruptcy
News, Issue No. 75; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


PETROLEOS DE VENEZUELA: Raising Hydrocarbons Supply to Jamaica
--------------------------------------------------------------
Petroleos de Venezuela, the state-run oil firm of Venezuela,
told Business News Americas that the Venezuelan government has
agreed to raise crude, liquefied petroleum gas and refined
products shipped to Jamaica to 23,500 barrels per day (b/d) from
21,000b/d.

BNamericas relates that Venezuela's President Hugo Chavez signed
the agreement with Portia Simpson, Jamaica's Prime Minister.  

According to the report, Petroleos de Venezuela signed an
agreement with Petroleum Corp. of Jamaica -- Jamaica's state
energy firm -- for two supply contracts that outline the type of
crude and derivatives Jamaica would receive from 2006-2007.  

Petroleos de Venezuela and Petroleum Corp. also agreed to form
Petrocaribe Jamaica to conduct Venezuela's Petrocaribe oil
initiative, the report says.  The joint venture would be 51%
owned by Petroleum Corporation and 49% owned by PDV Caribe, a
subsidiary of Petrocaribe.  Petrocaribe Jamaica will refine and
sell hydrocarbons in Jamaica and to other regional markets.  It
will carry out the Kingston plant expansion project to increase
processing to 50,000b/d from 35,000b/d.

Rafael Ramirez, Venezuela's energy and oil minister and
Petroleos de Venezuela's head, told BNamericas, "The plant will
process 100% Venezuelan oil."

Petroleos de Venezuela will also work with Petrojam, Jamaica's
refiner, in distributing fuel in Jamaica, BNamericas states.

Petroleos de Venezuela SA 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.

                        *    *    *

Standard & Poor's said on July 17 that it may lower the
company's B+ foreign-currency debt rating in part because of the
absence of timely financial and operating information.

Moody's has withdrawn its ratings on the company because of the
absence of relevant financial information.


* VENEZUELA: Bolivian Trade Institute Notes Zero Cuban Export
-------------------------------------------------------------
For the first six months of 2006, Cuban export to Venezuela was
nil, El Universal says, citing a report from the Bolivian Trade
Institute.

The report underscores that in 2005, Cuba posted US$5000 in
exports to Venezuela.  

The result raised serious questions from the private sector
regarding the efficiency of the Peoples' Trade Accord and the
Bolivarian Alternative for the Americas among Venezuela, Bolivia
and Cuba.  Both accords were aimed to counter US-sponsored Free
Trade Agreements, El Universal says.

Bolivia hosted in May a fair to encourage trade from both the
Peoples' Trade Accord and the Bolivarian Alternative for the
Americas.

                        *    *    *

Venezuela's foreign currency long-term debt is rated B1 by
Moody's, B+ by Standard & Poor's, and BB- by Fitch.


                        ***********


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

Troubled Company Reporter - Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Marjorie C. Sabijon, Sheryl Joy P. Olano, Stella
Mae Hechanova, and Christian Toledo, Editors.

Copyright 2006.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
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