TCRLA_Public/060914.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

          Thursday, September 14, 2006, Vol. 7, Issue 183

                          Headlines

A N T I G U A   &   B A R B U D A

* ANTIGUA: IMF Says Reforms Execution May Help Improve Economy

A R G E N T I N A

BANCO GALICIA: Will Increase Capital by ARS100 Million
BODEGA ALLOCHI: Trustees Verify Proofs of Claim Until Nov. 30
CITYRED SA: Enters Bankruptcy on Court Orders
FRANCISCO USUBIAGA: Last Day for Claims Verification Is Nov. 7
IMPSAT SA: Launches IP Telephony Service in Argentina

JOVIC SA: Claims Verification Deadline Is Set for Oct. 24
PIRIA S.R.L.: Trustee Has Until Oct. 16 to Verify Claims
RAW LEATHER: Verification of Proofs of Claim Is Until Nov. 27
SENTOR SRL: Deadline for Verification of Claims Is on Oct. 17
SUR MATERIALES: Claims Verification Deadline Is Set for Oct. 25

TOLEDO: Begins Formal Restructuring After Wal-Mart Sale Failed

* ARGENTINA: Electrical Distributors Issue US$75.5 Mil. in Notes

B A H A M A S

COMPLETE RETREATS: D.G. Capital Seeks Rule 2004 Exam on 2 Execs.
WINN-DIXIE: Judge Funk Approves Assumption of Seven Store Leases
WINN-DIXIE: Sells Harahan Warehouse to Ackel for US$6.75 Million
WINN-DIXIE: Leesburg, Edgewood Bids Must be Received by Sept. 18

B E R M U D A

GLOBAL CROSSING: Implements VoIP Peering Solution with SunRocket
REFCO: Asks Court to Approve Settlement Accord with BofA, et al.

B O L I V I A

* BOLIVIA: Franklin Mining Declares Pulacayo Tailings Program
* BOLIVIA: Proposes LPG Plant Installation on Border with Peru

B R A Z I L

ANDREW CORP: Expands Wireless Coverage at Brasilia Int'l Airport
BANCO NACIONAL: Loans Issued Drops 4% in First Eight Months
BANCO NACIONAL: Releases BRL600 Mil. to Expand & Modernize Refap
GLOBO COMUNICACAO: S&P Raises Corp. Credit Rating to BB from BB-
VOLKSWAGEN AG: Brazilian Workers to Vote on Labor Plan Today

* BRAZIL: IDB Grants US$182 Mil. for Capital Investment Program

C A Y M A N   I S L A N D S

CORNICE (LEVEL I): Sets Final Shareholders Meeting on Sept. 21
CORNICE (LEVEL II): Sets Last Shareholders Meeting on Sept. 21
CORNICE (LEVEL III): Last Shareholders Meeting Is on Sept. 21
KILLARNEY INVESTMENTS: Proofs of Claim Filing Is Until Sept. 15
LINK INVESTMENTS: Shareholders Vote to Liquidate Business

PROGRESSIVE GROWTH: Proofs of Claim Must be Filed by Sept. 22
RSG DISCRETIONARY: Last Shareholders Meeting Is Set for Sept. 21
RSG EQUITY: Shareholders Convene for a Final Meeting on Sept. 21
RSG EVENT: Liquidator Presents Wind Up Accounts on Sept. 21
RSG FIXED: Invites Shareholders for a Final Meeting on Sept. 21

SAIL APPEF: Final Shareholders Meeting Is Set for Sept. 22
SEAGATE TECH: Offers 3 Series of Debt Securities for US$1.25 Bln
SEAGATE TECHNOLOGY: S&P Puts BB+ Rating on US$1.25 Bil. Notes
SEAGATE TECHNOLOGY: Moody's Assigns Ba1 Rating on Senior Notes
TAMARIX INVESTMENTS: Shareholders Decide to Liquidate Business

TRUMBULL STRATEGIES: Final Shareholders Meeting Is on Sept. 21

C O L O M B I A

BANCOLOMBIA: Reports COP368.49 Billion of Net Income at Aug. 31
BANCO DEL CAFE: Fogafin Expects More Bidders
ECOPETROL: Government May Sell Shares in New York Stock Exchange

* COLOMBIA: Foreign Investment in Mining Rises 58% in 2005
* COLOMBIA: May Sell Ecopetrol Shares in New York Stock Exchange

C O S T A   R I C A

DENNY'S CORP: To Sell Majority of Franchisee-Operated Properties

* COSTA RICA: President to Invite Investments from US

C U B A

* CUBA: Inks Production-Sharing Accord with India's ONGC Videsh

D O M I N I C A N   R E P U B L I C

BANCO INTERCONTINENTAL: Court Sides with Foreign Lawyers

* DOMINICAN REPUBLIC: Rejects Power Crisis Plan Recommendations
* DOMINICAN REPUBLIC: Won't Eliminate Energy Sector Subsidies

E C U A D O R

PETROECUADOR: Alfredo Palacio Defends Firm Against Oxy Claim
PETROECUADOR: Posts 11% Drop in Crude Output

G R E N A D A

* GRENADA: IMF Says Economy Has Rebounded Faster than Expected

G U Y A N A

DIGICEL LTD: Expects to Get Telecom License in Guyana Soon

J A M A I C A

DYOLL INSURANCE: Insurance Payments Upset Coffee Farmers
KAISER ALUMINUM: Inks Pact to Supply Metal Products for Boeing

M E X I C O

FREESCALE: Collaborates with Spansion to Reduce Handset Size
FREESCALE SEMICONDUCTOR: Moody's Affirms Ba1 Corp. Credit Rating
MERIDIAN AUTOMOTIVE: IRS Opposes Third Amended Joint Plan
MERIDIAN AUTOMOTIVE: Wants to Reject American Financial Lease
SATELITES MEXICANOS: Files Amended Plan & Disclosure Statement

SATELITES MEXICANOS: Judge Drain Approves Disclosure Statement
TELE NORTE: Nominates 11 New Members to Board of Directors

* MEXICO: Trinidad & Tobago May Sell Gas to Country

N I C A R A G U A

* NICARAGUA: Will Publish Approved Geothermal Reform Bill

P A N A M A

CHIQUITA BRANDS: Banana Purchases from Growers Returns to Normal
CHIQUITA BRANDS: Reports Interim Prices for Third Quarter 2006
CHIQUITA BRANDS: Says Banana Prices in Europe Dropped 17%

P A R A G U A Y

* PARAGUAY: Central Bank Issues New Law to Tighten Credit Rules

P E R U

CLOROX COMPANY: Equity Deficit Narrows to US$156 Mil. at June 30
CLOROX CO: Appoints Don Knauss as Chairman & CEO

* PERU: Bolivia Proposes LPG Plant Installation on Border

P U E R T O   R I C O

CLEARCOMM: June 30 Partnership Deficit Widens to US$69.6 Million
KMART: US Court Denies Request to Stay Discovery on Eagle Claims
KMART CORP: Striking Penn. Workers Negotiate for Better Contract
SEARS HOLDINGS: Board OKs US$500 Mil. More in Share Buy Back

T R I N I D A D   &   T O B A G O

BRITISH WEST: They Want to Get Rid of Us, Unions Say
BRITISH WEST: Curtis John Says Firm Should Not Blame Unions
BRITISH WEST: Launches Talks with Union on Voluntary Separation
DIGICEL LTD: Secures License to Operate in Papua New Guinea

U R U G U A Y

ADMINISTRACION NACIONAL: Moody's Reviews Ratings & May Upgrade

* URUGUAY: Moody's Reviews B1 Country Ceiling for Likely Upgrade
* URUGUAY: Water State Firm Acquires 60% of Aguas de la Costa

V E N E Z U E L A

PETROLEOS DE VENEZUELA: To Use Hess Oil's Storage Facilities

* VENEZUELA: S&P Rates Titulo de Interes Fijo Bonds at BB-
* IDB Grants US$500,000 to Boost LatAm & Caribbean ICT Projects
* PricewaterhouseCoopers Launches U.S. Restructuring Practice
* S&P Reaffirms Stable Outlook on Global Reinsurance Sector
* Upcoming Meetings, Conferences and Seminars


                         - - - - -   


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


* ANTIGUA: IMF Says Reforms Execution May Help Improve Economy
--------------------------------------------------------------
An International Monetary Fund or IMF mission to Antigua and
Barbuda led by Mr. Ulric Erickson von Allmen has been concluded.  

Mr. von Allmen issued this statement concerning the team's
consultation discussions with the government:
  
"A mission of the IMF visited Antigua and Barbuda from Aug. 30
to Sept. 12, 2006, to hold the 2006 Article IV Consultation.  
The discussions have taken place against the background of the
authorities' bold reform agenda to tackle long-standing fiscal
and debt problems and build an environment conducive to private
sector growth.  For decades, the economy has struggled with
chronically large fiscal deficits, a high debt burden, and
endemic arrears.  A comprehensive policy agenda has now been
developed.  Considerable progress has been made, including key
fiscal measures-such as the reintroduction of the Personal
Income Tax, preparations for the Antigua and Barbuda Sales Tax,
and the voluntary separation program-and reforms to strengthen
the investment climate, through greater transparency in
government and policy making-such as the National Economic
Policy Symposium in July-as well as through the approval of the
Investment Authority Act.

"The reforms have contributed to positive macroeconomic
outcomes, especially on the fiscal side.  The authorities also
have, for the first time, placed debt instruments-including of
long maturity-in regional capital markets.  Growth has
accelerated markedly in 2006, and economic prospects have
improved.

"Nevertheless, the transition to sound public finances remains a
work in progress, and it is imperative that the reform momentum
be maintained and that planned reforms are implemented
effectively.  In particular, moving ahead with the
implementation of the voluntary separation program and the sales
tax are crucial for achieving a lasting improvement in public
finances.  Strengthened expenditure management and control is
also key to ensure effective budgetary implementation and the
draft Finance and Administration Act could contribute
importantly in this regard.  The mission welcomes the
authorities' intention to regularize relations with their
creditors-an important step in putting the fiscal accounts in
order.  The tax incentives policy should also be reviewed with a
view to make it more efficient and less costly for the budget.

"Output is projected to expand by about 8 percent this year on
account of large construction investments. As growth beyond that
tapers to more sustainable levels, it will need to be
underpinned by reforms to enhance the economy's medium-term
growth prospects.  Implementation of the Investment Authority
Act would help promote a more transparent business environment.  
Labor market reforms will also be important to help sustain high
growth.

"The mission is encouraged by the fiscal and structural reforms
underway.  Implementation of these reforms should help achieve
strong and sustainable macroeconomic outcomes."




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


BANCO GALICIA: Will Increase Capital by ARS100 Million
------------------------------------------------------
Banco de Galicia y Buenos Aires SA said in a filing with the
local stock exchange that it is planning to increase its capital
by ARS100 million to improve its equity structure and lessen
financing costs, Business News Americas reports.

Galicia told BNamericas that it has called for a shareholders'
meeting on Oct. 11 to ratify the capital raise.

Galicia's capital increase will boost shareholders' equity to
ARS569 million by issuing up to 100 million B class shares -- a
21% increase of its outstanding shares -- at ARS1 nominal value
each.  The new shares will be offered through a public offering
and subscribed in cash or through bonds the bank would issue,
BNamericas relates.

                        *    *    *

As reported on Apr. 12, 2006, the Argentine arm of Standard &
Poor's assigned these ratings to Banco de Galicia y Buenos
Aires' debts:

   -- Obligaciones negociables, serie 6, emitted on July 19,
      2002 for US$73,000,000, emitted under the program for
      US$1000 million

      * Last due: Aug. 3, 2007
      * Rate: raA

   -- Obligaciones Negociables, clase 7 for US$43,000,000,
      included under the US$1000 million program

      * Last due: Aug. 3, 2007
      * Rate: raA

   -- Program of obligaciones negociables, media term, for
      US$2,000,000,000

      * Rate: raA

   -- Obligaciones Negociables simples 8-11-93, for
      US$21,400,000

      * Last due: Nov. 1, 2004
      * Rate: raD

   -- Obligaciones negociables simples for US$21,400,000

      * Last due: Nov. 1, 2004
      * Rate: raD

   -- Obligaciones Negociables emitted for US$9,000,000,
      included under the US$1000 million program.

      * Last due: Dec. 20, 2005
      * Rate: raD


BODEGA ALLOCHI: Trustees Verify Proofs of Claim Until Nov. 30
-------------------------------------------------------------
Ana Teresa Cerezzoli and Susana Elena Prieto, the court-
appointed trustees for Bodega Allochi S.A.'s insolvency case,
verify creditors' proofs of claim until Nov. 30, 2006.

The trustees will present the validated claims in court as
individual reports on Feb. 15, 2007.  A court in Mendoza will
determine if the verified claims are admissible, taking into
account the trustees' opinion and the objections and challenges
raised by Bodega Allochi and its creditors.

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

A general report that contains an audit of Bodega Allochi's
accounting and banking records will follow on March 19, 2007.

On Sept. 19, 2007, Bodega Allochi's creditors will vote on a
settlement plan that the company will lay on the table.

The debtor can be reached at:

         Bodega Allochi S.A.
         Patricias Mendocinas 1221, Ciudad de Mendoza
         Mendoza, Argentina

The trustees can be reached at:

         Ana Teresa Cerezzoli
         Susana Elena Prieto
         Pedro Molina 249, Ciudad de Mendoza
         Mendoza, Argentina


CITYRED SA: Enters Bankruptcy on Court Orders
---------------------------------------------
Cityred S.A. begins bankruptcy proceedings after a court
in Buenos Aires 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.

Argentine bankruptcy law requires the trustee to provide the
court with individual reports on the forwarded claims.   An
insolvency court will determine if the verified claims are
admissible, taking into account the trustee's opinion and the
objections and challenges raised by Cityred and its
creditors.

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

The trustee will also submit a general report that contains an
audit of Cityred's accounting and banking records.  

The debtor can be reached at:

         Cityred S.A.
         Medrano 1922
         Buenos Aires, Argentina


FRANCISCO USUBIAGA: Last Day for Claims Verification Is Nov. 7
--------------------------------------------------------------
Carlos Wulff, the court-appointed trustee for Francisco Usubiaga
y Cia. S.A.'s bankruptcy proceeding, verifies creditors' proofs
of claim until Nov. 7, 2006.

Under Argentine bankruptcy law, Mr. Wulff is required to present
the validated claims in court as individual reports.  Court
No. 19 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 Francisco Usubiaga and its
creditors.

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

Mr. Wulff will also submit a general report that contains an
audit of Francisco Usubiaga's accounting and banking records.  
The report submission dates have not been disclosed.

Francisco Usubiaga was forced into bankruptcy at the request of
Alejandro Usubiaga, Maria I. Usubiaga, et al., whom it owes
US$41,246.33.

Clerk No. 37 assists the court in the proceeding.

The debtor can be reached at:

         Francisco Usubiaga y Cia S.A.
         Gurruchaga 1139/55
         Buenos Aires, Argentina

The trustee can be reached at:

         Carlos Wulff
         V. del Pino 2354
         Buenos Aires, Argentina


IMPSAT SA: Launches IP Telephony Service in Argentina
-----------------------------------------------------
Impsat SA said in a statement that it has launched an IP
telephony service in Argentina over satellite broadband
technology.

Business News Americas relates that Impsat plans to offer
telephony and broadband access through its Broadband Omniwhere
service, which is designed for firms needing communication in
remote areas.

Juan Carlos Martinez, Impsat's senior vice president for
Internet, told BNamericas, "The oil, mining, agricultural,
transport and tourism industries, among others, are present in
rural or remote areas and require the same technology offered in
their headquarters."

According to BNamericas, the service is aimed at three segments:

      -- small and medium enterprises needing connection for up
         to eight personal computers,

      -- firms with virtual private networks, and

      -- Internet service providers offering Internet services
         to end-users.

BNamericas notes that the new service includes:

      -- email boxes,
      -- antivirus and antispam services,
      -- hosting, and
      -- virtual disk.

The report says that subscribers can control telephony traffic
through a series of tools provided by the company.

Antonio Casucci, Impsat's company senior vice president for IP
telephony, told BNamericas, "The convergence of
telecommunications services is a reality that makes it possible
for us to bring these types of products to the market at
reasonable prices."

BNamericas notes that Impsat signed up Israel's Gilat Satellite
Networks to expand its corporate service in Argentina.  Gilat
has provided a SkyEdge satellite hub and VSAT equipment allowing
Impsat to provide efficient, bandwidth-on-demand solutions to
corporate clients throughout the country with a wide range of
data networking applications, including broadband Internet
access and VoIP.

Impsat SA -- http://www.impsat.com-- is a provider of private
telecommunications networks and Internet services in Latin
America.  The company owns and operates 15 data centers and
metropolitan area networks in some of the largest cities in
Latin America, providing services to more than 4,200 national
and multinational companies, financial institutions,
governmental agencies, carriers, ISPs and other service
providers throughout the region.  Impsat has operations in
Argentina, Colombia, Brazil, Venezuela, Ecuador, Chile, Peru,
the United States and throughout Latin America and the
Caribbean.

Impsat registered an increase in losses from US$14.2 million in
2004 to US$36.2 million in 2005.


JOVIC SA: Claims Verification Deadline Is Set for Oct. 24
---------------------------------------------------------
Emilio Omar Abraham, the court-appointed trustee for Jovic
S.A.'s bankruptcy proceeding, verifies creditors' proofs of
claim until Oct. 24, 2006.

Mr. Abraham will present the validated claims in court as
individual reports on Dec. 5, 2006.  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 Jovic and its creditors.

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

A general report that contains an audit of Jovic's accounting
and banking records will follow on Feb. 20, 2007.

Mr. Abraham is also in charge of administering Jovic's assets
under court supervision and will take part in their disposal to
the extent established by law.

The debtor can be reached at:

         Jovic S.A.
         Lavalle 2782
         Buenos Aires, Argentina

The trustee can be reached at:

         Emilio Omar Abraham
         Viamonte 1592
         Buenos Aires, Argentina


PIRIA S.R.L.: Trustee Has Until Oct. 16 to Verify Claims
--------------------------------------------------------
Edith Regazzoni, the court-appointed trustee for Piria S.R.L.'s
bankruptcy case, verifies creditors' proofs of claim until
Oct. 16, 2006.

Under Argentine bankruptcy law, Ms. Regazzoni is required to
present the validated claims in court as individual reports.  
Court No. 19 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 Piria and its
creditors.

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

Ms. Regazzoni will also submit a general report that contains an
audit of Piria's accounting and banking records.  The report
submission dates have not been disclosed.

Piria was forced into bankruptcy at the behest of Sindicato
Obreros Pasteleros, Confiteros, Pizzeros y Afines, which it owes
US$29,673.

Clerk No. 38 assists the court in the proceeding.

The debtor can be reached at:

         Piria S.R.L.
         Puyrredon 1907
         Buenos Aires, Argentina

The trustee can be reached at:

         Edith Regazzoni
         Carlos Pellegrini 465
         Buenos Aires, Argentina


RAW LEATHER: Verification of Proofs of Claim Is Until Nov. 27
-------------------------------------------------------------
Jorge Fernando Podhorzer, the court-appointed trustee for Raw
Leather S.A.'s reorganization proceeding, verifies creditors'
proofs of claim until Nov. 27, 2006.

Mr. Podhorzer will present the validated claims in court as
individual reports on Feb. 12, 2007.  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 Raw Leather and its creditors.

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

A general report that contains an audit of Raw Leather's
accounting and banking records will follow on March 28, 2007.

On Aug. 14, 2007, Raw Leather's creditors will vote on a
settlement plan that the company will lay on the table.

The trustee can be reached at:

         Jorge Fernando Podhorzer
         Pasaje del Carmen 716
         Buenos Aires, Argentina


SENTOR SRL: Deadline for Verification of Claims Is on Oct. 17
-------------------------------------------------------------
Miguel Angel Perez, the court-appointed trustee for Sentor
S.R.L.'s bankruptcy proceeding, verifies creditors' proofs of
claim until Oct. 17, 2006.

Mr. Perez will present the validated claims in court as
individual reports on Nov. 28, 2006.  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 Sentor and its creditors.

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

A general report that contains an audit of Sentor's accounting
and banking records will follow on Feb. 13, 2007.

Mr. Perez is also in charge of administering Sentor's assets
under court supervision and will take part in their disposal to
the extent established by law.

The trustee can be reached at:

         Miguel Angel Perez
         Roque Saenz Pena 651
         Buenos Aires, Argentina


SUR MATERIALES: Claims Verification Deadline Is Set for Oct. 25
---------------------------------------------------------------
Maria del Pilar Enriquez, the court-appointed trustee for Sur
Materiales S.R.L.'s bankruptcy case, verifies creditors' proofs
of claim until Oct. 25, 2006.

Ms. Enriquez will present the validated claims in court as
individual reports on Dec. 6, 2006.  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 Sur Materiales and its creditors.

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

A general report that contains an audit of Sur Materiales'
accounting and banking records will follow on Feb. 21, 2007.

Ms. Enriquez is also in charge of administering Sur Materiales'
assets under court supervision and will take part in their
disposal to the extent established by law.

The debtor can be reached at:

         Sur Materiales S.R.L.
         Cafayate 5000
         Buenos Aires, Argentina

The trustee can be reached at:

         Miguel Angel Perez
         Roque Saenz Pena 651
         Buenos Aires, Argentina


TOLEDO: Begins Formal Restructuring After Wal-Mart Sale Failed
--------------------------------------------------------------
Argentine Mar Del Plata-based supermarket chain Toledo has
started formal restructuring proceedings, as a consequence of
its difficult economic and financial situation.

Toledo had been in purchase talks with Wal-Mart since June 2005,
but the negotiations came to a dead end in August.  Antonio
Toledo, owner and founder of the Argentine chain, at first
wanted to get US$50 million for the company, which Wal-Mart
found too much.  The talks were resumed in the beginning of
2006, when Toledo agreed to reduce the price.

Nevertheless, Wal-Mart decided to end the talks, apparently due
to disagreements on the legal part of the deal.

After it failed to clinch the Wal-Mart deal, Toledo has been
left without options.  The company has debts with the Federal
Tax Bureau, banks, suppliers and Trade Unions.

Antonio Toledo said to a local paper that the company is
carrying out a restructuring plan with the support of all the
employees.  "Up to 2002, Toledo wasn't at all delayed in
payments.  The great tax burden, lack of financing, pressure
from banks, market depression, unfair competition and a rise in
costs were factors that had an impact on the organization," Mr.
Toledo said referring to the post-devaluation crisis.

Toledo's liabilities amount to ARS170 million.


* ARGENTINA: Electrical Distributors Issue US$75.5 Mil. in Notes
----------------------------------------------------------------
The major electrical distributors Edesa, Edesal and Edelar, from
the Argentine provinces of Salta, San Luis and La Rioja,
respectively, have jointly issued Obligaciones Negociables at
the Argentine stock market.

The primary offer will be for US$75,500,000 in accordance with
the restructuring of the three companies and with the support of
the major electrical distribution company Empresa Distribuidora
Electrica Regional.

The program includes:

     -- Edesa emitting the Serie 1 for US48,500,000;
     -- Edesal emitting the Serie 2 for US18,000,000; and
     -- Edelar with the Series 3 for US$9,000,000.

The notes will become due on Dec. 9, 2010.

JP Morgan Securities is in charge of the organization.  JP
Morgan Chase Bank, Buenos Aires, branch is the actual locator
and the local locator will be the Comafi Bank.

                        *    *    *

Fitch Ratings assigned these ratings on Argentina:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     B+      Aug. 1, 2006
   Local Currency
   Long Term Issuer    B       Aug. 1, 2006
   Short Term IDR      B       Dec. 14, 2005
   Long Term IDR       RD      Dec. 14, 2005




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


COMPLETE RETREATS: D.G. Capital Seeks Rule 2004 Exam on 2 Execs.
----------------------------------------------------------------
D.G. Capital LLC asks the U.S. Bankruptcy Court for the District
of Connecticut to direct Robert L. McGrath, former president of
Debtor Distinctive Retreats, and James H. Mitchell, vice
president of Distinctive, to appear for an examination regarding
certain matters, within the scope of Rule 2004 of the Federal
Rules of Bankruptcy Procedure, including:

   (1) the capital structure of Distinctive;
   (2) the number of series within the LLC structure;
   (3) the membership interests in each series;
   (4) the assets and liabilities of each series; and
   (5) the circumstances and details of the adoption of a
       resolution to file the case by its governing board.

Michael R. Enright, Esq., at Robinson & Cole LLP, in Hartford,
Connecticut, recounts that Distinctive borrowed US$2,850,000
from D.G. Capital in May 2006, to finance the purchase of a
condominium in Maui.  The loan was secured by a first mortgage
on the condominium and by a pledge of membership interests in
Distinctive Retreats.

The loan has matured and remains unpaid while interest and other
charges continue to accrue, Mr. Enright tells the Court.

Distinctive is a Delaware limited liability company and its
Certificate of Formation and Limited Liability Company Agreement
contain:

   (i) special limitations as a series LLC under Delaware law,
       including provisions pursuant to Section 18-215 of the
       Delaware Limited Liability Company Act; and

  (ii) special purpose entity restrictions which require written
       unanimity among directors and the Class A Member
       regarding filing authority.

In connection with the joint administration of Complete Retreats
LLC and its debtor-affiliates' Chapter 11 cases, relief accorded
to the Debtors may unjustifiably favor the creditors or equity
holders of one or more Debtors over other Debtors if the
applicable distinctions among the creditor bodies are not
observed, Mr. Enright asserts.  "This concern may be exacerbated
within Distinctive [Retreats] because of its status as a series
LLC pursuant to the Delaware Limited Liability Company Act.  
Distinctive itself may need to be viewed and treated as a number
of discrete Debtors, given the nature of a series LLC."

In essence, Delaware law permits each series of the LLC to be a
unit unto itself, with assets and liabilities of each series
considered separately for purposes of creditors' rights, Mr.
Enright points out.

According to Mr. Enright, the rights of Distinctive Retreats'
creditors may vary depending on:

   -- whether the formalities required by the Delaware statute
      were satisfied prepetition; and

   -- how Distinctive designated the assets and liabilities
      which were to be included in each series.

"Nothing in the filings made by Distinctive to date sheds any
light on these details, [the] consideration of [which] is
essential to an understanding of the rights of [Distinctive's
creditors]," Mr. Enright asserts.

Accordingly, a full exploration through the Rule 2004 process of
the capital structure of Distinctive Retreats, its multiple
series and the assets and liabilities of each series, to
consider, among other things, the implications of this structure
in Distinctive Retreats' Chapter 11 case, is necessary, Mr.
Enright contends.

The only filing as of Aug. 29, 2006, in this regard was appended
to the petition of Distinctive and is a certificate from Mr.
McGrath certifying that the form of resolution attached to the
certificate was adopted by the boards of each of the related
entities prior to filing of their petitions, Mr. Enright notes.

Mr. Enright argues that Mr. McGrath's certification is
insufficient to evidence Distinctive' authority to file and does
not address whether the special purpose entity provisions in
Distinctive Retreats' governance documents were satisfied.

To evidence authority to file, a copy of the written unanimous
consent of the Class A Member and the Board of Managers is
required because that is the prerequisite to filing established
by the governance documents, Mr. Enright maintains.

If the Court grants its request, D.G Capital will seek Mr.
McGrath's and Mr. Mitchell's attendance and production of
relevant documents by subpoena.

D.G. Capital proposes to hold the examinations at the offices of
Robinson & Cole, LLP, at 280 Trumbull Street, in Hartford,
Connecticut on Sept. 22, 2006.

                 About Complete Retreats

Headquartered in Westport, Connecticut, Complete Retreats LLC
operates five-star hospitality and real estate management
businesses.  In addition to its mainline destination club
business, the Debtor also operates an air travel program for
destination club members, a villa business, luxury car rental
services, wine sales services, fine art sales program, and other
amenity programs for members.  Complete Retreats and its debtor-
affiliates filed for chapter 11 protection on July 23, 2006
(Bankr. D. Conn. Case No. 06-50245).  Nicholas H. Mancuso, Esq.
and Jeffrey K. Daman, Esq. at Dechert LLP represent the Debtors
in their restructuring efforts.  Michael J. Reilly, Esq., at
Bingham McCutchen LP, in Hartford, Connecticut, serves as
counsel to the Official Committee of Unsecured Creditors.  No
estimated assets have been listed in the Debtors' schedules,
however, the Debtors disclosed US$308,000,000 in total debts.  
(Complete Retreats Bankruptcy News, Issue No. 7; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or  
215/945-7000).


WINN-DIXIE: Judge Funk Approves Assumption of Seven Store Leases
----------------------------------------------------------------
Judge Funk of the U.S. Bankruptcy Court for the District of
Florida overrules the objections of five landlords and
authorizes Winn-Dixie Stores, Inc., and its debtor-affiliates to
assume the leases of Store Nos. 84, 599, 736, 1852, 2213, 2230,
and 2333, effective as of the effective date of their Joint Plan
of Reorganization.

The Landlords are E&A Acquisitions Two LLP, E&A Investments LP,
E&A Southeast LP, E&A Financing II LP, and GLA LLC.

Judge Funk clarifies that if the Plan will not become effective,
the Landlords may retain any cure amounts paid by the Debtors
before the Effective Date, and the Store Leases will be deemed
rejected.

In addition, Judge Funk approves the assumption of the lease of
Store No. 6 and directs the Debtors to pay the landlord,
Skinners of Point Meadows, Inc., any undisputed cure amounts due
on the Effective Date.  If the Debtors and Skinner are unable to
resolve Skinner's cure objection consensually, the Debtors will
set the cure objection for hearing before the Court.

Headquartered in Jacksonville, Florida, Winn-Dixie Stores, Inc.
-- http://www.winn-dixie.com/-- is one of the nation's largest
food retailers.  The Company operates 527 stores in Florida,
Alabama, Louisiana, Georgia, and Mississippi.  The Company,
along with 23 of its U.S. subsidiaries, filed for chapter 11
protection on Feb. 21, 2005 (Bankr. S.D.N.Y. Case No. 05-11063,
transferred Apr. 14, 2005, to Bankr. M.D. Fla. Case Nos.
05-03817 through 05-03840).  D.J. Baker, Esq., at Skadden
Arps Slate Meagher & Flom LLP, and Sarah Robinson Borders,
Esq., and Brian C. Walsh, Esq., at King & Spalding LLP,
represent the Debtors in their restructuring efforts.
Paul P. Huffard at The Blackstone Group, LP, gives
financial advisory services to the Debtors.  Dennis F. Dunne,
Esq., at Milbank, Tweed, Hadley & McCloy, LLP, and John B.
Macdonald, Esq., at Akerman Senterfitt give legal advice to the
Official Committee of Unsecured Creditors.  Houlihan Lokey &
Zukin Capital gives financial advisory services to the
Committee.  When the Debtors filed for protection from their
creditors, they listed US$2,235,557,000 in total assets and
US$1,870,785,000 in total debts.  (Winn-Dixie Bankruptcy News,
Issue No. 51; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


WINN-DIXIE: Sells Harahan Warehouse to Ackel for US$6.75 Million
----------------------------------------------------------------
Winn-Dixie Stores, Inc., and its debtor-affiliates solicited
offers for the warehouse facility located in Jefferson Parish,
Louisiana -- Harahan Warehouse Facility.  However, no competing
bid for the Facility was received.

Accordingly, the U.S. Bankruptcy Court for the Middle District
of Florida authorizes the Debtors to sell the Harahan Facility
to Ackel Real Estate, LLC, and John Georges.

As reported in the Troubled Company Reporter on Aug. 15, 2006,
before the bankruptcy filing, the Debtors used the Harahan
Warehouse Facility to supply stores located in Louisiana.  Since
the bankruptcy filing, the Debtors have consolidated their
warehouse operations for this area into their Hammond, Louisiana
Facility and no longer need the Harahan Warehouse Facility.

Since filing for bankruptcy, the Debtors have marketed the
Harahan Warehouse Facility extensively through DJM Asset
Management, Inc.  DJM sent over 2,500 sale notices for the
Harahan Warehouse Facility to potential purchasers.  Through
DJM's efforts, the Debtors have received four offers, including
the offer by Ackel for US$6,750,000.  According to the Debtors,
Ackel's offer is the highest or otherwise best offer for the
Harahan Warehouse Facility.

On Aug. 3, 2006, WD Logistics and Ackel entered into a Facility
Agreement, which provides, among other things, that:

   -- Ackel has deposited US$2,000,000 in escrow;

   -- The assets will be transferred free and clear of any
      liens, claims, interests and encumbrances other than the
      Permitted Encumbrances;

   -- The initial minimum overbid that may be accepted by the
      Debtors at any auction must have a value of at least
      US$6,952,500; and

   -- WD Logistics has agreed to pay Ackel a termination fee of
      US$50,000 for Ackel's expenses in the event Ackel is not
      the successful bidder at the Auction for the Assets.

Headquartered in Jacksonville, Florida, Winn-Dixie Stores, Inc.
-- http://www.winn-dixie.com/-- is one of the nation's largest
food retailers.  The Company operates 527 stores in Florida,
Alabama, Louisiana, Georgia, and Mississippi.  The Company,
along with 23 of its U.S. subsidiaries, filed for chapter 11
protection on Feb. 21, 2005 (Bankr. S.D.N.Y. Case No. 05-11063,
transferred Apr. 14, 2005, to Bankr. M.D. Fla. Case Nos.
05-03817 through 05-03840).  D.J. Baker, Esq., at Skadden
Arps Slate Meagher & Flom LLP, and Sarah Robinson Borders,
Esq., and Brian C. Walsh, Esq., at King & Spalding LLP,
represent the Debtors in their restructuring efforts.
Paul P. Huffard at The Blackstone Group, LP, gives
financial advisory services to the Debtors.  Dennis F. Dunne,
Esq., at Milbank, Tweed, Hadley & McCloy, LLP, and John B.
Macdonald, Esq., at Akerman Senterfitt give legal advice to the
Official Committee of Unsecured Creditors.  Houlihan Lokey &
Zukin Capital gives financial advisory services to the
Committee.  When the Debtors filed for protection from their
creditors, they listed US$2,235,557,000 in total assets and
US$1,870,785,000 in total debts.  (Winn-Dixie Bankruptcy News,
Issue No. 51; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


WINN-DIXIE: Leesburg, Edgewood Bids Must be Received by Sept. 18
----------------------------------------------------------------
Winn-Dixie Stores, Inc., and its debtor-affiliates seek
authority from the U.S. Bankruptcy Court for the Middle District
of Florida to sell:

   (1) the Leesburg Outparcel to the State of Florida Department
       of Transportation; and

   (2) the Edgewood Outparcel to AJDC LLC, or to a party
       submitting a higher or better offer.

D.J. Baker, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP,
in New York, relates that the Debtors own:

   (a) a one-half fee simple interest in a tract of land located
       in Leesburg, Florida; and

   (b) a tract of land facing Edgewood Avenue in Jacksonville,
       Florida.

The Debtors have no plans to develop the Outparcels, Mr. Baker
says.

The Debtors have marketed the Leesburg and Edgewood Outparcels
extensively through DJM Asset Management, Inc.  The Debtors
received two offers for the Leesburg Outparcel, and three for
the Edgewood Outparcel.

After reviewing the offers, the Debtors have determined that the
bids of the Florida Transportation Dept. and AJDC are currently
the highest and best offers for the Outparcels, Mr. Baker says.

           Leesburg Outparcel Purchase Agreement

On Aug. 18, 2006, the Florida Transportation Dept. entered into
a real estate purchase agreement with the Debtors and Huber
Investments, which holds the remaining 50% interest in the
Leesburg Outparcel.  Material terms of the Leesburg Outparcel
Purchase Agreement include:

   (i) The net aggregate purchase price for the entire fee
       simple interest in the Leesburg Outparcel is US$354,500,
       of which US$177,250 will go to the Debtors;

  (ii) The Debtors are responsible for payment of the commission
       due to their brokers; and

(iii) The Leesburg Outparcel and related assets are to be
       transferred free and clear of any liens, claims,
       interests and encumbrances other than the permitted
       encumbrances.

          Edgewood Outparcel Purchase Agreement

The Debtors and AJDC entered into a real estate purchase
agreement on March 16, 2006, and have amended the agreement
seven times since then.  Material terms of the Edgewood
Outparcel Purchase Agreement include:

     * The net aggregate purchase price for the Edgewood
       Outparcel is US$480,000.  AJDC has deposited US$35,000
       with escrow agent Smith, Gambrell & Russell LLP;

     * The Debtors have agreed to pay a US$20,000 termination
       fee if AJDC is not the successful bidder at the auction
       for the Edgewood Outparcel;

     * The Debtors are responsible for payment of a brokerage
       commission of 3% of the Purchase Price due to AJDC's
       broker if the transaction is consummated; and

     * The Edgewood Outparcel are to be transferred free and
       clear of liens, claims, interests and encumbrances other
       than the permitted encumbrances.

Notwithstanding that the Edgewood Outparcel has been
sufficiently marketed, the Debtors are soliciting higher and
better bids for the property.

Interested bidders are directed to submit their offers for the
Edgewood Outparcel and related assets by Sept. 18, 2006, to
James Avallone at DJM, 445 Broadhollow Road, Suite 417,
Melville, New York 11747.  All bids must comply with the Court-
approved bidding procedures.

If the Debtors receive a higher or better offer, they will
conduct an auction at the offices of Smith Hulsey & Busey in
Jacksonville, Florida, on Sept. 20, 2006.

In an effort to close the two transactions as promptly as
possible, the Debtors further ask the Court to waive the 10-day
stay period.

Deadline for filing objections to the two transactions is on
Sept. 14, 2006.

Headquartered in Jacksonville, Florida, Winn-Dixie Stores, Inc.
-- http://www.winn-dixie.com/-- is one of the nation's largest
food retailers.  The Company operates 527 stores in Florida,
Alabama, Louisiana, Georgia, and Mississippi.  The Company,
along with 23 of its U.S. subsidiaries, filed for chapter 11
protection on Feb. 21, 2005 (Bankr. S.D.N.Y. Case No. 05-11063,
transferred Apr. 14, 2005, to Bankr. M.D. Fla. Case Nos.
05-03817 through 05-03840).  D.J. Baker, Esq., at Skadden
Arps Slate Meagher & Flom LLP, and Sarah Robinson Borders,
Esq., and Brian C. Walsh, Esq., at King & Spalding LLP,
represent the Debtors in their restructuring efforts.
Paul P. Huffard at The Blackstone Group, LP, gives
financial advisory services to the Debtors.  Dennis F. Dunne,
Esq., at Milbank, Tweed, Hadley & McCloy, LLP, and John B.
Macdonald, Esq., at Akerman Senterfitt give legal advice to the
Official Committee of Unsecured Creditors.  Houlihan Lokey &
Zukin Capital gives financial advisory services to the
Committee.  When the Debtors filed for protection from their
creditors, they listed US$2,235,557,000 in total assets and
US$1,870,785,000 in total debts.  (Winn-Dixie Bankruptcy News,
Issue No. 52; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).




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


GLOBAL CROSSING: Implements VoIP Peering Solution with SunRocket
----------------------------------------------------------------
Global Crossing and SunRocket have implemented an industry-
changing VoIP peering solution that will give customers high-
performing, end-to-end IP connectivity for IP services, while
bypassing the usage fees associated with completing calls via
the Public Switched Telephone Network or PSTN.

"Global Crossing's efforts to implement VoIP peering
arrangements with like-minded companies is nothing short of
industry-changing," said Anthony Christie, Global Crossing's
chief marketing officer.  "Customers tell us they want end-to-
end IP solutions that eliminate the need to complete calls on
the PSTN.  That's why we're aggressively pursuing VoIP peering
arrangements with other VoIP service providers such as
SunRocket, who share our vision.  We expect other industry
leaders to embrace our viewpoint and form similar peering
arrangements with us.  Together, we can unleash the full
potential of enhanced IP communications solutions to deliver
innovative new services and products."

Both Global Crossing and SunRocket support the development of
VoIP peering solutions in the industry and the need for an open-
standards peering model.  VoIP peering reduces complexity by
providing end-to-end IP guarantees, so IP- enabled features will
work through peering points.  VoIP peering can also create
disruptive pricing models for voice calling versus the pricing
models commonly associated with the Public Switched Telephone
Network model.  This solution removes the per-minute usage
access component, delivering a more predictable cost structure
and higher operating margins on VoIP services.

"SunRocket strongly believes that the future of VoIP peering
rests upon an open standards-based model rather than a
replication of the legacy PSTN approach, and we hope others
within the VoIP industry join our call to implement true VoIP
peering that fosters new pricing models, new addressing schemes,
and promotes the interoperability of voice with other Internet-
based communications services," said Mark Fedor, chief
technology officer for SunRocket.  "Peering with Global Crossing
reflects our shared vision and reaffirms our commitment to
delivering innovative, next-generation services based on higher
quality end-to-end IP connectivity to our growing subscriber
base."

Collaboration between leading Internet phone service providers
will continue to reduce the inefficiencies of "VoIP islands."  
Islands of VoIP can occur in a VoIP-over-PSTN solution.  This is
significant because many VoIP deployments still depend on the
PSTN to carry the voice signal during part of its journey, and
this reliance on PSTN networks has created "VoIP islands" that
do not link together.  Linking these islands directly to one
another using IP has proven to be an industry challenge.  Global
Crossing has overcome this challenge to further help its
customers provide advanced VoIP features.

Another obstacle for VoIP providers such as SunRocket is how
they access emerging peering points.  Because Global Crossing
designed an MPLS-based IP VPN connection, SunRocket will be able
to seamlessly connect to additional peering points by accessing
Global Crossing's IP VPN service through its existing VoIP
connection on the Global Crossing network.  It also eliminates
any need for network expansion or additional connections.

Global Crossing's converged IP solutions supported the launch of
SunRocket's fast-growing residential Internet phone service.  
Through the use of Global Crossing's converged IP solutions,
including VoIP Outbound, VoIP Local, IP Transit and network
services, SunRocket has become a market leader in consumer-based
VoIP services.  SunRocket is continuing to support its offers
now by implementing the VoIP Community Peering feature
pertaining to Global Crossing VoIP Outbound service. This will
help them avoid using the PSTN when possible, remove the
traditional cost-per-minute usage charge associated with the
PSTN and avoid the "islands of VoIP" providers experience when
completing calls outside of their network.

                       About Sunrocket

Headquartered in Vienna, Virginia, SunRocket is bringing
Internet phone service to mainstream America with the nation's
first full-year, flat-rate home phone package.  SunRocket makes
it easy for households with high-speed Internet access to take
advantage of the incredible value and enhanced capabilities of
state-of-the- art Internet telephony.

                   About Global Crossing

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

At June 30, 2006, Global Crossing Ltd.'s balance sheet showed
US$1.87 billion in total assets and US$1.95 billion in total
liabilities, resulting to a stockholders' deficit of
US$86 million.  The Company reported a US$173 million
stockholders' deficit on Dec. 31, 2005.


REFCO: Asks Court to Approve Settlement Accord with BofA, et al.
----------------------------------------------------------------
Refco, Inc., and certain of its subsidiaries and affiliates, and
Marc Kirschner, the Chapter 11 trustee of Refco Capital Markets,
Ltd., ask the U.S. Bankruptcy Court for the Southern District of
New York to approve a settlement agreement with Bank of America,
N.A., and a syndicate of lenders under an August 5, 2004, credit
agreement.

The Settlement Agreement implements a key component of a global
plan being negotiated for the Refco estates, J. Gregory Milmoe,
Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, in New York,
explains on the Debtors' behalf.

The Global Plan, Mr. Milmoe says, would call for pre-
confirmation payments to a group of the Debtors' secured
lenders.  The payments will help ensure the availability of
funds to pay other constituencies by:

   (1) cutting off the interest accruing on the secured lenders'
       claims in excess of US$6,000,000 per month or US$200,000
       per day;

   (2) minimizing the incurrence of additional professional fees
       by the Debtors, the Debtors' secured lenders, the
       Committees and others, which have already been
       substantial; and

   (3) resolving disputes over the use of cash collateral.

The specific terms of the Global Plan are currently being
negotiated and a formal agreement has not yet been reached among
the various constituencies, Edwin E. Smith, Esq., at Bingham
McCutchen LLP, in New York, tells the Court on the RCM Trustee's
behalf.  The Motion is being filed in the expectation that a
formal agreement for a Global Plan will be reached, Mr. Smith
says.

              Refco's Obligations to BofA & Lenders

Refco Finance Holding, LLC, entered into the Credit Agreement in
connection with an Equity Purchase and Merger Agreement among
Refco Group Ltd., LLC; Refco Group Holdings, Inc.; Thomas H. Lee
and its affiliates; and certain other parties.  The Equity
Purchase Agreement required Refco Group to obtain
US$1,400,000,000 in financing through a term loan and a note
issuance.

The Equity Purchase Agreement contemplated a series of
transactions resulting in:

   (i) New Refco Group, Ltd., LLC, becoming the parent of Refco
       Group;

  (ii) THL and its co-investors acquiring a 56.7% interest in
       New Refco Group;

(iii) Phillip Bennett, CEO of the various Refco Entities,
       owning a 42.8% interest in New Refco Group; and

  (iv) Refco management owning the remaining 0.5% of New Refco
       Group.

RFH and Refco Group merged on Aug. 5, 2004, with Refco Group as
the surviving entity.

The Credit Agreement provided for up to US$800,000,000 in term
loans and a US$75,000,000 revolving credit facility.  New Refco
Group and certain of Refco Group's affiliates guaranteed Refco
Group's obligations under the Credit Agreement.

Refco Group and the Guarantors granted BofA, as administrative
agent for the Lenders, a security interest in substantially all
of Refco Groups' and the Guarantors' assets pursuant to a
Security Agreement and certain Collateral Documents.

RFH and Refco Finance, Inc., also issued US$600,000,000 in 9%
Senior Subordinated Notes pursuant to a Senior Subordinated Note
Indenture dated Aug. 5, 2004, with Wells Fargo Bank, N.A.  The
Notes were guarantied by Refco Group and certain of Refco
Group's affiliates, but the Notes and the guaranties are
unsecured and subordinate to the claims arising from the Loan
Documents.

As of the Petition Date, there was approximately US$642,000,000
in principal outstanding under the Credit Agreement exclusive of
interest, fees, and other obligations.  Interest on the
principal is accruing at a rate of more than US$6,000,000 per
month.

BofA has filed proofs of claim against the Debtors based on
amounts due under the Loan Documents.  BofA also asserted claims
based on, among others things, fraud and misrepresentations of
the Debtors.  BofA said certain of the Debtors were potentially
employed in a joint scheme to defraud the Lenders in relation to
the Recapitalization.

On Jan. 24, 2005, the Refco estates paid US$150,000,000 to the
Lenders in partial satisfaction of amounts due under the Credit
Agreement.  BofA transferred the funds to certain of the
Lenders.

             Potential Claims Against BofA & Lenders

The Joint Subcommittee of the Official Committees of Unsecured
Creditors believes that the Debtors' estates hold potential
causes of action to (i) avoid their obligations to the Lenders,
and (ii) recover the Repayment as fraudulent conveyances.

The Joint Subcommittee, however, acknowledges that resolution of
the claims against BofA and the Lenders would be expensive and
time-consuming.  BofA and Lenders may assert significant
defenses like solvency, reasonably equivalent and fair value,
lack of grounds for collapsing transactions, lack of causation,
inability to avoid settlement payments and the like, Mr. Smith
tells Judge Drain.

                   Major Settlement Terms

The Debtors and the RCM Trustee filed with the Court a proposed
order, which sets out the settlement terms permitting the
payment of the Debtors' secured lenders.  The Proposed Order,
Mr. Smith relates, also provides the means by which the Debtors
can avoid contesting and, if unsuccessful, paying claims
asserted by BofA and the Lenders based on alleged fraud and
misrepresentations as well as contesting or paying claims for
indemnification, additional interest, and other amounts claimed
under contracts.

A full-text copy of the Proposed Order is available at no charge
at http://bankrupt.com/misc/Refco_BofAPactPropOrder.pdf

The Proposed Order provides that BofA and the Lenders' claims
under the Loan Documents will be allowed in full as secured
claims in the cases of Refco Group and the debtor-Guarantors.  
The claims will be secured by valid and perfected liens in
collateral, which will be worth more than the amount of the
secured claims.  The secured claims will not be subject to
avoidance.

On or before the later of Oct. 16, 2006, or a later date that is
agreed upon, the Debtors will pay BofA:

   * US$642,000,000, constituting the full outstanding principal
     amount due under the Loan Documents;

   * US$1,693,276, constituting the full amount of interest
     accrued and unpaid under the Loan Documents on the Petition
     Date;

   * all interest accrued on principal and interest payable
     under the Loan Documents from the Petition Date through the
     Payment Date, payable at the Post-Petition Interest Rate
     and compounded daily from the Petition Date through the
     Payment Date;

   * the lesser of US$13,500,000 and the fees and expenses that
     arereimbursable under the Loan Documents through
     Sept. 30, 2006.  The amount is subject to increase upon the
     occurrence of certain events, such as if the hearing on the
     Motion is contested or if BofA incurs additional fees as a
     result of being sued prior to Sept. 30; and

   * other fees and expenses payable under the Loan Documents
     incurred from Oct. 1, 2006, through the Payment Date.

The Post-Petition Interest Rate is the Base Rate in effect from
time to time plus the Applicable Rate applicable to Base Rate
Loans, as each term is defined in the Credit Agreement, but
without the additional 2% per annum default interest provided in
the Credit Agreement.

BofA and the Lenders are deemed to consent to their Liens being
primed in part by security interests and liens that secure
credit obligations incurred by the Debtors for the purpose of
funding or refinancing the funding of payments made to BofA
pursuant to the Proposed Order if the principal amount of the
credit obligation does not exceed US$200,000,000.

                       Qualifying Plan

The parties participating in the Settlement, including the
Debtors and the RCM Trustee, expect to execute a participating
party agreement by the September 27, 2006, hearing on the
Motion.  The parties will agree to:

   -- use their reasonable best efforts to ensure that a plan
      confirmed in the Chapter 11 Debtors' cases is a Qualifying
      Plan; and

   -- be bound by the terms and conditions of the Proposed
      Order, whether or not a plan is agreed upon or confirmed.

A list of the participating parties is available at no charge at
http://bankrupt.com/misc/Refco_ParticipatingParties.pdf

A Qualifying Plan, among others, implements the terms and
conditions of the Proposed Order, including the treatment of and
releases provided to BofA and the Lenders.  BofA's and the
Lenders' claims for indemnification and other amounts due under
the Credit Agreement will be estimated at US$0 for purposes of
allowance in the Debtors' cases.  Their unsecured claims,
including claims for fraud and misrepresentation, will also be
estimated at US$0.

                       Cash Collateral

Upon payment in full of amounts required to be paid on or before
the Payment Date, the Debtors will be authorized to use the
Lenders' cash collateral to pay allowed administrative expenses
and to make other payments under an effective Qualified Plan or
as permitted by the Bankruptcy Court without any further consent
of or provision of adequate protection to BofA or the Lenders.

The Adequate Protection Motion currently before the Court will
be postponed to the date of the hearing on confirmation of a
plan.  BofA and the Lenders will not seek any additional
adequate protection.

                        BAWAG Proceeds

BofA has asserted, on the Lenders' behalf, a security interest
in, among other Refco assets, the cash proceeds of the Debtors'
settlement with BAWAG P.S.K. Bank fur Arbeit und Wirtschaft und
Osterreichische Postsparkasse Aktiengesellschaft.

Mr. Milmoe relates that to the extent that Refco Group or any of
the Guarantors ever come into possession of the BAWAG Proceeds,
on or prior to the Payment Date, the Debtors may use these
proceeds to make the payments required under the Proposed Order.

                      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).  




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


* BOLIVIA: Franklin Mining Declares Pulacayo Tailings Program
-------------------------------------------------------------
Franklin Mining, Inc., discloses its program for funding mining
operations.  The Pulacayo operation is purely tailings.  
Tailings are produced when metallic ores are ground into fine
powder to free the metal-bearing mineral.  The investment for
Pulacayo tailings is US$1.5 million.  Franklin Mining and Kempf
Mining will share the partnership as:

   -- Franklin - 51%,
   -- Kempf - 27% and
   -- Peruvian group - 12%.

Corporacion Minera de Bolivia aka Comibol, Bolivia's state-run
mining company, will be paid 0 to US$15/ton of tailings.

Franklin Mining will lease the first mining plant from Eco
Mining, Inc. of Bolivia.  It should be operational in Oct. and
will produce up to US$200,000 to Franklin Mining per month with
an increase of up to 10 plants by Jan. 2007.  The processing
will produce 4,000 tons per day.

The existing tailings and metal grades consist of 4,000,000 tons
of tailings.  The total weight of silver is equal to 248 kg and
7,973,507 Troy ounce silver ingots.

There will be 400 tons a day, 2nd phase with 1,600 tons a day,
3rd phase with 4,000 tons per day.  There is a total of seven
million ounces of silver and 121 proven ounces of gold.

Franklin Mining announces the first tailings processing plant
will be operational in Oct. and will be producing 400 tons per
day.  Franklin Mining will get US$200,000 after startup of the
plant per month.

The engineers have reported 4,000,000 million tons of tailings
of silver.  There is also 1 gr/ton of gold that equals 128.605
Troy ounces of gold ingots.

                    About Cerro Rico Mine

The Cerro Rico Mine is considered by many to be the richest
silver mine in the world.  Rich in zinc and silver, it has been
actively mined since the 1500's and is in operation today.  
Cerro Rico is owned by Bolivia's national mining company,
Comibol.

                  About Franklin Mining, Inc.

Franklin Mining, Inc - http://franklinmining.com/-- currently
have interests in Bolivia and the United States.  The company
opened opened a division named Franklin Oil & Gas, and opened
subsidiaries in Bolivia -- Franklin Mining, Bolivia and Franklin
Oil & Gas, Bolivia.

                       About Comibol

Corporacion Minera de Bolivia is Bolivia's state-owned mining
company.  Comibol has US$85 million in assets including
equipment and machinery, which cannot be used by small and
medium-scale miners and cooperatives.

                        *    *    *

Fitch Ratings assigned these ratings on Bolivia:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    B-       Jun. 17, 2004
   Long Term IDR      B-       Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     B-       Dec. 14, 2005


* BOLIVIA: Proposes LPG Plant Installation on Border with Peru
--------------------------------------------------------------
Franz Solano, Bolivia's ambassador to Peru, proposed the setting
up of a liquefied petroleum gas or LPG plant on the border
between the two countries to prevent smuggling, according to a
report by El Deber.

El Deber says that a 10-kilogram container of LPG is worth
BOB22.5, while in Peru it would sell for BOB70.

Ambassador Solano told El Deber, "Installing a distribution
plant on the Bolivian border to supply the Peruvian market and
support Bolivia's altiplano interests us."

El Deber notes that the difference between domestic and
international prices of LPG and other fuels resulted to
widespread smuggling, which caused shortages.

According to Business News Americas, the Bolivian government
said that it will disclose a national plan to prevent shortages
by the end of the September.

David Coquehuanca, Bolivia's chancellor, will meet with his
Peruvian counterpart in the first week of Oct. to talk on fuel
smuggling and other issues, BNamericas states.

                        *    *    *

Fitch Ratings assigned these ratings on Bolivia:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    B-       Jun. 17, 2004
   Long Term IDR      B-       Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     B-       Dec. 14, 2005




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


ANDREW CORP: Expands Wireless Coverage at Brasilia Int'l Airport
----------------------------------------------------------------
Andrew Corp. has provided quality wireless access for passengers
traveling through Brasilia International Airport in Brazil's
capital.

The Andrew in-building wireless solution to provide enhanced
voice and data coverage throughout Brazil's third busiest
airport includes the ION-B optical fiber distributed antenna
system, Cell-Max indoor antennas, and HELIAX coaxial cables.

"Andrew's coverage and capacity systems, which transmit in all
wireless frequencies and modulation standards with perfect
integrity, are easy to install and flexible to cover indoor
areas of any size," said Bob Hudzik, group president, Wireless
Innovations, Andrew Corp.  "That's part of the reason Andrew
systems are chosen for installation in airports and similar
indoor environments around the world.  We are pleased to bring
our coverage and capacity expertise to the many people who visit
the Brasilia International Airport."

Brasilia International Airport is a connection point for
destinations nationwide with operational capacity of 555,000
landings and take-offs per year.  Work is being done to expand
the capacity of the terminal to accommodate 16 million
passengers annually.

Andrew offers a complete line of robust and field-proven
distributed communications system solutions for difficult
coverage areas, tunnels, metros, and buildings, and has more
than 15 years of experience in designing, installing, and
managing large and complex radio frequency distribution systems
for metropolitan railways, building owners, and public mobile
radio and telephone operators throughout the world.  Major
projects include the Hong Kong metro, Dallas-Ft. Worth
International Airport, Sydney Olympics, Montreal metro, Turin
metro, and Germany's Inter-City Express high speed rail.

                        About Andrew

Headquartered in Westchester, Illinois, Andrew Corp.
(NASDAQ: ANDW) -- http://www.andrew.com/-- designs,
manufactures and delivers innovative and essential equipment and
solutions for the global communications infrastructure market.
The company serves operators and original equipment
manufacturers from facilities in 35 countries including, among
others, these Latin American countries: Argentina, Bahamas,
Belize, Barbados, Bermuda and Brazil.  Andrew is an S&P 500
company Founded in 1937.

                        *    *    *

As reported in yesterday's Troubled Company Reporter, Standard &
Poor's Ratings Services revised its CreditWatch implications on
Andrew Corp. to negative from developing.  The 'BB' corporate
credit rating and other ratings on the company were placed on
CreditWatch developing on Aug. 7, 2006.


BANCO NACIONAL: Loans Issued Drops 4% in First Eight Months
-----------------------------------------------------------
The new loans that Banco Nacional de Desenvolvimento Economico e
Social aka BNDES issued dropped 4% to BRL27.5 billion in
January-August 2006, compared with the same period in 2005,
Business News Americas reports.

BNDES told BNamericas that lending to the agricultural sector
decreased 22% to BRL2.14 billion in the first eight months of
2006, compared with the same period in 2005.  Lending for
infrastructure projects fell 12% to BRL9.36 billion.

Meanwhile, BNDES' lending for exports grew 26% to BRL3.93
billion in the January-August period, compared with the same
time in 2005.  Industry loans increased 51% to BRL14.2 billion,
BNamericas relates.

                        *    *    *

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.


BANCO NACIONAL: Releases BRL600 Mil. to Expand & Modernize Refap
----------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social aka BNDES
released on Sept. 8, 2006, about BRL600 million for the
expansion and modernization of the Alberto Pasqualini refinery
or Refap S.A.  

The financing integrates the first quota of a total financing of
BRL852 million by BNDES.  The financing is equivalent to 26% of
the total investment of BRL3.2 billion.

"This is a project to improve the refinery's product quality,
because it is going to produce a higher aggregated mix value of
gasoline, fuel oil, gas and LPG, also improving the cost of
everything the refinery uses as input.  It will use a higher
quantity of domestic oil, which is heavier, with a price lower
than international market's," affirms BNDES Pres. Demian Fiocca.  
Mr. Fiocca points out that "after the modernization, the
refinery will produce a lower quantity of residues, with a
positive environmental impact."

The project provides for an expansion in the oil processing
capacity, from the current 20,000 cubic meters/day to 30,000
cubic meters daily, in addition to increasing substantially the
portion of domestic processed oils.  The investment will allow
for a reversion in Refap's processing mix, making the share of
imported oil in the refinery's processed load to decrease from
about 80% down to 20%, contributing to an economy of foreign
currencies.

Implementation of the project will allow the refinery to process
a higher volume of domestic oil and increase the offer of oil
byproducts to the domestic market.  The forecasts point out to
an economy in foreign currencies of about US$2 billion/year,
resulting from the substitution of imported oil, therefore also
contributing to Brazil's self-sufficiency in domestic oil
processing.

During Refap's expansion works, 14,000 temporary jobs have been
created, of which 200 will remain as company staff at project
completion.  Refap's own team is presently 724 employees.

The refinery's main products are:

   -- diesel oil,
   -- gasoline,
   -- petrochemical naphtha,
   -- LPG,
   -- fuel oils,
   -- asphalts and
   -- solvents.

Diesel oil, gasoline, naphtha, light and medium byproducts
correspond to about 80% of total volume produced by the
refinery.

The investments will further allow reducing noticeably the
internal consumption of fuel oil and increasing the
participation of fuel gas, so reducing the emission of
atmospheric pollutants.  

Refap's expansion follows advanced techniques in the safety and
environmental areas.  The plants have been provided with gas
leaking monitoring systems and all furnace and boiler chimneys
will have analyzers to monitor online the emission of
pollutants.

Recently, two stations have been installed and are operating to
monitor the quality of air around the refinery.  The data are
sent directly to the Environmental Protection State Foundation
or Fepam.  All Refap's new furnaces will burn only gas, as a
result of the change in the refinery's energetic matrix through
the substitution of the fuel oil.

                        *    *    *

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.


GLOBO COMUNICACAO: S&P Raises Corp. Credit Rating to BB from BB-
----------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Brazilian media group Globo
Comunicacao e Participacoes S.A. to 'BB' from 'BB-'.  The
ratings were removed from CreditWatch with positive
implications, where they were placed July 21, 2006.  The rating
on Globo's US$325 million perpetual bonds was also raised to
'BB'.  The outlook is stable.

"Today's rating action follows our review of Globo's financial
risk profile, on the basis of the announced redemption of
approximately US$200 million of the company's restructured debt,
scheduled for Oct. 20, 2006," said Standard & Poor's credit
analyst Jean-Pierre Cote Gil. After the expected debt repayment,
Globo's total debt (excluding the proportional consolidation of
Net Servicos de Comunicacao S.A.) will be reduced to about
US$630 million, compared with US$1.93 billion prior to the debt
renegotiation completed in June 2005.  In addition, Standard &
Poor's expects Globo to maintain its sound operational
performance in the next few years-and strong generation of free
operating cash flows, fueled by the good prospects for TV
advertising and content sales in Brazil.

Globo has consistently delivered debt reductions since June
2005, which have been supported by cash accumulated during the
debt renegotiation process, the sale of noncore assets (namely
part of its interest in Net), and cash from operations.  
Although only a short time has passed since the restructuring,
Standard & Poor's expects Globo to manage its debt with a
cushion against unforeseeable downturns.  This may include
additional debt repayments and use of FOCF to fund capital
expenditures of its TV business.

The recent US$200 million debt repayment will be made to
bondholders of the senior secured notes series A & B, using cash
accumulated from operations and proceeds from the approximately
US$110 million debt service reserve account or DSRA pledged to
these notes.

The ratings on Globo continue to be negatively affected by its
business concentration, with high dependence on the cyclical
advertising market within a single country, and the company's
limited ability to cushion market down cycles due to its high
fixed-cost structure.  On the other hand, the ratings are
supported by its clearly dominant position in free-to-air TV in
Brazil, fueled by a high-quality and well-structured programming
schedule with significant self-produced content production; a
leading position in the production of Portuguese-language pay-TV
content; and the company's adherence to a prudent debt
management policy since its debt restructuring.

The stable outlook reflects our expectation that Globo will
retain its dominant position in free-to-air TV and content
production in Brazil, its high audience and ad spending shares,
converting its good performance into significant cash flow
generation.  The stable outlook also mirrors the expectation
that Globo will maintain low debt levels, reflected by a total
debt-to-EBITDA ratio of about 1.0x.

A positive change in the rating and its outlook would depend on
Globo's ability to consistently deliver the good operational and
financial performance reported in the past few quarters,
accompanied by the maintenance of favorable conditions for the
Brazilian advertising market, and for the factors that affect
its performance, such as purchasing power and confidence level
of large companies.  The uncertainties over Globo's future
investment plans and the lack of clearly articulated financial
policies-in the context of the significant FOCF generation
expected for the next years-are other concerns that we would
need to resolve before considering a positive change in the
rating or outlook.

Despite the resilience demonstrated by Globo's free-to-air TV
operations in the past 18 months, the ratings could come under
pressure in the event of a severe economic downturn that
resulted in a significant decrease in advertising revenues,
Globo's main source of revenues.


VOLKSWAGEN AG: Brazilian Workers to Vote on Labor Plan Today
------------------------------------------------------------
Volkswagen AG and the Brazilian union representing its 12,000   
workers reached preliminary accord to terminate 3,600 workers in
the next two years, Romina Nicaretta writes for Bloomberg News.

Krishma Carreira, a spokeswoman for the union at the plant in
Sao Bernardo do Campo in Sao Paulo told Bloomberg that workers
are scheduled to vote on the plan today.

Under the proposed plan, Volkswagen offered early retirement to
workers before starting the termination and reduced how much
workers would have to pay health insurance costs, Bloomberg
relates.  Workers who decide to take early retirement by Nov. 21
will receive 1.4-times the monthly salary per year worked at
company.

As previously reported, the two parties agreed on the
preliminary accord after 8,000 workers at the main plant went on
a six-days strike.

If Volkswagen's workers will accept the plan, the carmaker will
cease Fox compact cars production for European shipment by next
year and start production of a pick-up truck and another car in
coming years if workers approve of the plan, Bloomberg says.

Volkswagen needs to shed exports by 40% through 2008, and
production to 100,000 units to reduce its losses in the country.

Volkswagen announced in May that under its restructuring plan,
it needed to cut labor costs and to decrease export market
production in order to remain profitable.  The company
originally planned to cut as many as 6,000 jobs in South America
by 2008.

Headquartered in Wolfsburg, Germany, the Volkswagen Group
-- http://www.volkswagen.de/-- is one of the world's leading  
automobile manufacturers and the largest carmaker in Europe.
With 47 production plants in eleven European countries and a
further seven countries in the Americas, Asia and Africa,
Volkswagen has more than 343,000 employees producing over 21,500
vehicles or are involved in vehicle-related services on every
working day.

                        *    *    *

Volkswagen has been carrying out measures to cut costs and raise
profits, which could affect up to 30,000 jobs.  The potential
job cuts represent about a third of the carmaker's workforce and
three times higher than initial estimates made by Chief
Executive Bernd Pischetsrieder and Volkswagen brand head,
Wolfgang Bernhard.

In November last year, Volkswagen maintained its 2005 earnings
guidance amid rumors it may lower targets.  The company predicts
a year-on-year improvement in both operating profit after
special items and profit before tax this year.  Rumors flew that
the company would slash full-year earnings forecast due to
higher restructuring costs.  The company said the impact of its
workforce reduction measures, which will be charged as special
items in the fourth quarter, will be lower than last year's.

Volkswagen also admitted there were no significant improvements
in the economic environment in the first nine months of 2005,
and the overall situation in the important automotive markets
remained difficult.  It also expected tougher competition in the
Chinese and U.S. markets, and the rise in fuel prices to
influence consumer confidence.


* BRAZIL: IDB Grants US$182 Mil. for Capital Investment Program
---------------------------------------------------------------
The Inter-American Development Bank approved a financing for a
total of US$182 million to Coelba, the private electricity
distribution company in the state of Bahia, Brazil, to support
its capital investment program.

The IDB financing includes an "A-loan" of up to US$112 million
from the Bank's ordinary capital and a syndicated "B-loan" of up
to US$70 million, consisting of resources from financial
institutions that subscribe participation agreements with the
IDB.

The project is part of an investment program to be implemented
by Companhia de Eletricidade do Estado da Bahia aka Coelba.  
Coelba was privatized in July 1997 through an international
bidding process, in which it obtained a 30-year concession,
renewable for an additional 30-year period.  Coelba's concession
area covers the state of Bahia, amounting to 563,375-km2 and
comprising 415 municipalities with approximately 3.8 million
customers.

Coelba's 2006-2010 investment program comprises:

   -- capital expenditures to increase access to electricity
      for all households and consumers in rural areas under
      the Luz Para Todos or LPT program;

   -- expansion of the company's distribution network; and

   -- connections to new customers and other investments in
      areas such as information technology and general
      equipment.

The LPT program, sponsored by the Government of Brazil, aims at
promoting access to electricity for all households and consumers
in rural areas in the country.

"The project mainly targets investments for rural
electrification under the LPT program," said IDB Team Leader
Javier Molina of the IDB Private Sector Department.  "Rural
areas in the state of Bahia show below average social indicators
and per-capita income.  Over 50% of Coelba's residential
customers are low-income consumers.  This program will increase
the electricity coverage in the state while improving the living
standards of the population."

Mr. Molina said that the program will improve service quality in
both urban and rural areas by focusing on increasing the
electricity network efficiency and reliability and reducing
energy losses.

                        *    *    *

As reported on Sept. 4, 2006, Brazil's foreign currency country
ceiling was upgraded to Ba1 from Ba2 while the government's
foreign- and local-currency bond ratings were changed to Ba2
from Ba3.




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


CORNICE (LEVEL I): Sets Final Shareholders Meeting on Sept. 21
--------------------------------------------------------------
Cornice Portfolio Level I Ltd.'s shareholders will convene for a
final meeting on Sept. 21, 2006, at the office of the
liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


CORNICE (LEVEL II): Sets Last Shareholders Meeting on Sept. 21
--------------------------------------------------------------
Cornice Portfolio Level II Ltd.'s shareholders will convene for
a final meeting on Sept. 21, 2006, at the office of the
liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


CORNICE (LEVEL III): Last Shareholders Meeting Is on Sept. 21
-------------------------------------------------------------
Cornice Portfolio Level III Ltd.'s shareholders will convene for
a final meeting on Sept. 21, 2006, at the office of the
liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


KILLARNEY INVESTMENTS: Proofs of Claim Filing Is Until Sept. 15
---------------------------------------------------------------
Killarney Investments Ltd.'s creditors are required to submit
proofs of claim by Sept. 15, 2006, to the company's liquidator:

         CT Director Ltd.
         CIBC Bank and Trust Company (Cayman) Limited
         11 Dr. Roy's Drive
         P.O. Box 694, George Town
         Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Sept. 22 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Killarney Investments' shareholders agreed on Aug. 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:

         Andrew Morehouse
         c/o Ogier
         Queensgate House, South Church Street
         P.O. Box 1234
         Grand Cayman, Cayman Islands
         Tel: (345) 949 9876
         Fax: (345) 949 9877


LINK INVESTMENTS: Shareholders Vote to Liquidate Business
---------------------------------------------------------
Link Investments Ltd.'s shareholders decided on Aug. 17, 2006,
to place the company in voluntary liquidation under the
Companies Law (2004 Revision) of the Cayman Islands.

David R. Singleton at Herald Trust Company Ltd. was appointed as
liquidator to facilitate the sale of Link Investments' assets.

The liquidator can be reached at:

         David Singleton
         Herald Trust Company Ltd.
         P.O. Box 501, 8 Hill Street
         St. Helier Jersey JE4 9XB, Channel Islands
         Tel: 011 44 1534 610 610
         Fax: 011 44 1534 610 611


PROGRESSIVE GROWTH: Proofs of Claim Must be Filed by Sept. 22
-------------------------------------------------------------
Progressive Growth Fund's creditors are required to submit
proofs of claim by Sept. 22, 2006, to the company's liquidator:

         Merk Investments AG
         Bergstrasse 6
         CH 6045 Meggen, Switzerland

Creditors who are not able to comply with the Sept. 22 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Progressive Growth's shareholders agreed on Aug. 14, 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:

         Sydney J. Coleman
         P.O. Box 1111, George Town
         Grand Cayman, Cayman Islands
         Tel: (345) 949 5122
         Fax: (345) 949 7920


RSG DISCRETIONARY: Last Shareholders Meeting Is Set for Sept. 21
----------------------------------------------------------------
RSG Discretionary Ltd.'s shareholders will convene for a final
meeting on Sept. 21, 2006, at the office of the liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


RSG EQUITY: Shareholders Convene for a Final Meeting on Sept. 21
----------------------------------------------------------------
RSG Equity Arbitrage Ltd.'s shareholders will convene for a
final meeting on Sept. 21, 2006, at the office of the
liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


RSG EVENT: Liquidator Presents Wind Up Accounts on Sept. 21
-----------------------------------------------------------
RSG Event Driven Plus Ltd.'s shareholders will convene for a
final meeting on Sept. 21, 2006, at the office of the
liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


RSG FIXED: Invites Shareholders for a Final Meeting on Sept. 21
---------------------------------------------------------------
RSG Fixed Income Arbitrage Ltd.'s shareholders will convene for
a final meeting on Sept. 21, 2006, at the office of the
liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas


SAIL APPEF: Final Shareholders Meeting Is Set for Sept. 22
----------------------------------------------------------
Sail Appef I GP Limited's final shareholders meeting will be at
10:30 a.m. on Sept. 22, 2006, at:

         Q & H Nominees Ltd.
         Third Floor, Harbour Centre
         P.O. Box 1348 George Town
         Grand Cayman, Cayman Islands

These agendas 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:

         Q & H Nominees Ltd.
         Third Floor, Harbour Centre
         P.O. Box 1348, George Town
         Grand Cayman, Cayman Islands


SEAGATE TECH: Offers 3 Series of Debt Securities for US$1.25 Bln
----------------------------------------------------------------
Seagate Technology intends to offer, subject to market and other
conditions, three series of debt securities for an aggregate
principal amount of US$1.25 billion.  Seagate expects the
US$1.25 billion senior unsecured notes will be comprised of
three-year floating rate notes, and five- and ten-year fixed
rate notes.  The notes are expected to be issued by Seagate
Technology HDD Holdings, a direct wholly-owned subsidiary of
Seagate Technology, and guaranteed by Seagate Technology on a
full and unconditional basis.

Seagate intends to use the net proceeds from the offering to
redeem the US$400 million principal amount of its 8% Senior
Notes due 2009, to fund a portion of its previously announced
US$2.5 billion stock repurchase program and for general
corporate purposes.

Morgan Stanley, JPMorgan and Goldman, Sachs & Co. are acting as
joint book-running managers of the offering.

Seagate also intends to enter into an amended and restated
unsecured revolving credit facility providing for borrowings of
up to US$500 million with a five-year maturity.  Seagate may use
borrowings under this facility from time to time to fund, among
other things, additional share repurchases under the program
described above.

After a registration statement has been filed, copies of the
prospectus can be obtained from:

         Morgan Stanley & Co. Incorporated
         Attention: Prospectus Department  
         180 Varick Street
         New York, New York 10014
       
                 -- or --
        
         J.P. Morgan Securities Inc.
         270 Park Avenue - 8th Floor Syndicate Desk
         New York, New York 10017

                 -- or --

         Goldman, Sachs & Co.
         Attention: Prospectus Department
         85 Broad Street
         New York, NY 10004
     
Headquartered in Scotts Valley, California, and registered in
Cayaman Islands, Seagate Technology (NYSE: STX) --
http://www.seagate.com/-- designs, manufactures and markets  
hard disc drives, and provides products for a wide-range of
Enterprise, Desktop, Mobile Computing, and Consumer Electronics
applications.  The company is registered in the Cayman Islands.

                        *    *    *

Moody's Investors Service has confirmed on July 17, 2006, the
ratings of Seagate Technology HDD Holdings and upgraded the
ratings of Maxtor Corp., now a wholly owned subsidiary of
Seagate Technology US Holdings, following the completion of its
acquisition on May 19, 2006, and subsequent guaranteeing of
Maxtor's debt by Seagate.  This concludes the review initiated
by Moody's on Dec. 21, 2005.  The review was prompted by the
company's announcement of its intention to acquire Maxtor in an
all-stock transaction for approximately US$1.9 billion. The
ratings outlook is stable.

Moody's confirmed these ratings:

   -- Corporate Family Rating: Ba1; and
   -- SGL Rating of 1.

Moody's upgraded these ratings:

   Seagate Technology HDD Holdings:

      -- US$400 million senior notes 8%, due 2009: to Ba1


SEAGATE TECHNOLOGY: S&P Puts BB+ Rating on US$1.25 Bil. Notes
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB+' ratings to
US$1.25 billion of senior unsecured notes proposed to be issued
by Seagate Technology HDD Holdings, a direct, wholly owned
subsidiary of Scotts Valley, Calif.-based Seagate Technology.  
The facilities, which will be issued in three separate tranches,
will expire in 2009, 2011, and 2016, and will rank pari passu to
Seagate's existing US$100 million senior unsecured revolving
credit facility.  

Seagate is also expected to enter an amended and restated credit
agreement for a new senior unsecured revolving credit facility
in an amount of up to US$500 million in the near term, which
would replace the existing US$100 million facility.  At the same
time, Standard & Poor's affirmed its 'BB+' corporate credit
rating and stable outlook on Seagate Technology.

"Seagate's intermediate financial risk profile, characterized by
ample liquidity and moderate financial leverage, offsets
profitability volatility in the company's business profile,"
said Standard & Poor's credit analyst Ben Bubeck.  "The
acquisition of Maxtor could strengthen Seagate's business
profile, potentially leading to consideration for a positive
outlook over the intermediate term.  Still, the company faces
near-term integration challenges following the acquisition."

Proceeds from the proposed notes will be used to redeem
Seagate's existing US$400 million senior unsecured notes and to
fund a portion of Seagate's recently authorized US$2.5 billion
share-repurchase program. The rating affirmation reflects
Seagate's solid financial profile.

Seagate is the leading merchant supplier of hard disk drives.


SEAGATE TECHNOLOGY: Moody's Assigns Ba1 Rating on Senior Notes
--------------------------------------------------------------
Moody's Investors Service has affirmed the ratings of Seagate
Technology HDD Holdings and the ratings of Maxtor Corp., a
wholly owned subsidiary of Seagate Technology US Holdings.  At
the same time, Moody's assigned new ratings to a proposed new
debt issuance of US$1.25 billion to finance Seagate's recently
announced US$2.5 billion stock buyback program, as well as
refinance Seagate's existing US$400 million 2009 notes.

These ratings were affirmed:

   (i) Seagate's Corporate Family Rating: Ba1;

  (ii) Maxtor's remaining US$135 million of the US$230 million
       6.8% convertible senior notes, due 2010: Ba1;

(iii) Maxtor Corp.'s US$60 million 5-3/4% convertible
       subordinated debentures, due 2012: Ba2; and

  (iv) SGL Rating: SGL-1.

These ratings have been assigned:

   (i) Floating rate notes due 2009 (amount to be determined:
       Ba1;

  (ii) Senior notes due 2011 (amount to be determined): Ba1;
       and

(iii) Senior notes due 2016 (amount to be determined): Ba1;

This rating will be withdrawn upon refinancing:

   (i) Seagate's US$400 million senior notes 8%, due 2009: Ba1.

The rating outlook remains stable.

The ratings continue to reflect Seagate's dominant position in
the disk drive industry and incorporate the sector's capital
intensity, volatility, and the commoditized nature of the disk
drive business that is characterized by short product life-
cycles and maturation linked ASP declines. Seagate's financial
performance has been robust in recent years with generally
stable gross margins, improving operating margins, and
increasing generation of free cash flow.  As a result, credit
metrics are strong for the Ba1 rating category.  Moody's is
increasingly subscribing to the view that the HDD industry
volatility may have become less severe going forward due to the
sector's on-going consolidation, channel visibility may have
improved which may reduce excess inventory buildup in the
future, and Seagate's credit metrics may be less impacted in the
next down cycle.

However, several factors offset the company's strong metrics and
possible upward pressure on the ratings currently. Key among
these is a more aggressive financial policy, as partly evidenced
by the current largely debt-financed share buyback, and the
possibility that leverage may increase further in the future.
Other factors Moody's has cited previously are execution risk in
the current product transitioning to perpendicular technology,
and some integration risks vis-a-vis the Maxtor acquisition,
both of which we will evaluate over the next 12-18 months as the
company completes its product transitioning and the Maxtor
integration.

              What Could Move the Ratings Up

   1) Continued strong financial performance, including revenue
      growth consistent with industry growth, stable to
      improving profitability metrics, and free cash flow
      generation despite a sizable step-up in capital
      expenditures planned for the next 2 years;

   2) Maintenance of a reasonable capital structure, including
      prudent management of share buybacks and dividends, with
      credit metrics maintained at current levels, pro forma for
      current financings (e.g. debt to EBITDA less capex at 3x);
   

   3) Successful product transitioning to perpendicular
      technology and integration of the Maxtor acquisition; and

   4) Greater visibility with respect to management's future
      acquisition strategies and financial policies following
      the company's transition from private to public ownership.

            What Could Move the Ratings Down

   1) Significant decline in cash flow generation as a result
      of product transitioning issues vis-a-vis perpendicular
      technology, the Maxtor integration, and emerging
      technology becoming a more meaningful threat;

   2) Significant increase in leverage as a result of dividends
      and additional share buyback programs; and

   3) Significant decline in the company's liquidity position
      as a result of operating issues and/or funds returned to
      shareholders.

Seagate, with primary offices in Scotts Valley, California, is a
worldwide leader in the design, manufacture and marketing of
rigid disc drive products used as the primary medium for storing
electronic information in systems ranging from personal
computers and consumer electronics to data centers delivering
information over corporate networks and the Internet.


TAMARIX INVESTMENTS: Shareholders Decide to Liquidate Business
--------------------------------------------------------------
Tamarix Investments Limited's shareholders decided on
Aug. 17, 2006, to place the company in voluntary liquidation
under the Companies Law (2004 Revision) of the Cayman Islands.

Raymond E. Whittaker of FCM Ltd. was appointed as liquidator to
facilitate the winding up of Tamarix Investments' business.

The liquidator can be reached at:

         Raymond E. Whittaker
         FCM Ltd.
         Grand Pavilion Commercial Centre
         Main Entrance
         P.O. Box 1982
         Grand Cayman, Cayman Islands


TRUMBULL STRATEGIES: Final Shareholders Meeting Is on Sept. 21
--------------------------------------------------------------
Trumbull Strategies Ltd.'s shareholders will convene for a final
meeting on Sept. 21, 2006, at the office of the liquidator.

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

The liquidator can be reached at:

         Cititrust (Bahamas) Limited
         P.O. Box N-1576, Citibank Building
         Thompson Boulevard, Oakes Field
         Nassau, Bahamas




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


BANCOLOMBIA: Reports COP368.49 Billion of Net Income at Aug. 31
---------------------------------------------------------------
Bancolombia reported accumulated unconsolidated net income of
COP368,487 million as of Aug. 31, 2006.  For the first eight
months of 2006, the total net interest income, including
investment securities, amounted to COP736,724 million.  
Additionally, total net fees and income from services amounted
to COP376,256 million.

Total assets amounted to COP24.98 trillion in Aug. 2006, total
deposits totaled COP15.86 trillion and Bancolombia's total
shareholders' equity amounted to COP3.14 trillion.

Bancolombia's (unconsolidated) level of past due loans as a
percentage of total loans was 2.51% as of Aug. 31, 2006, and the
level of allowance for past due loans was 134.35%.
    
                         Market Share

According to Asobancaria, Colombia's national banking
association, Bancolombia's market share of the Colombian
Financial System in Aug. 2006 was as follows:

   -- 17.6% of total deposits,
   -- 21.1% of total net loans,
   -- 18.0% of total savings accounts,
   -- 19.9% of total checking accounts and
   -- 14.5% of total time deposits.

                        *    *    *

The Troubled Company Reporter-Latin America reported on
April 28, 2006, that Moody's Investors Service upgraded
Bancolombia's bank financial strength ratings to D+ from D with
a stable outlook.

Moody's added that the action concludes the review for possible
upgrade that was announced on Oct. 13, 2005.  Moreover,
Bancolombia's Ba3/Not Prime long- and short-term foreign
currency deposit ratings were affirmed.  Moody's said the
outlook on all ratings is stable.


BANCO DEL CAFE: Fogafin Expects More Bidders
--------------------------------------------
Andres Florez -- the head of Fogafin, the deposit insurance fund
of Colombia -- told Business News Americas that the fund expects
to receive more bids in the upcoming auction of state bank Banco
del Cafe aka Bancafe.

As reported in the Troubled Company Reporter-Latin America on
Sept. 13, 2006, these eight foreign and local banks paid the
COP50 million data room fee to look at Bancafe's books:
Bancolombia, Banco de Bogota, Colpatria, Davivienda, GNB
Sudameris, Citigroup, Grupo Santander, and General Electric.  
Mr. Florez said that the agency would decrease bidders for Banco
del Cafe aka Bancafe to four.  Mr. Florez said that Fogafin
would split the tender process into three parts, with the first
starting on Oct. 10, when interested bidders must place an offer
at least equal to the minimum price of COP1.10 trillion.  

According to BNamericas, Fogafin will open the envelopes
containing the bids on Oct. 12 and reject the lowest offers.   
After asking banks to present new bids, Fogafin will select the
two highest offers and then receive the final bids after an
hour's interval.

Mr. Florez told BNamericas, "During that hour, we will give the
banks an opportunity to think and make their final offer.  If
they act rationally, they will present the highest bid they can
and in that way we can maximize revenues for the government."

Fogafin will ask bidders to present their first offer two days
before the final auction date in a bid to increase Bancafe's
final price tag, BNamericas says, citing Mr. Florez.

Mr. Florez refused to give BNamericas an expected figure on how
much Bancafe's price could increase due to the new bidding
mechanism.

Analysts told BNamericas that the final price could double just
due to the strong interest foreign banks expressed.

BNamericas relates that Mr. Florez said, "The final price will
be determined not so much by the bidding process but by the
synergies Bancafe adds to the buyer."

The process for the bidding for Bancafe has begun for employees,
cooperatives, and pension funds.  Under the Colombian law, these
entities have the first right to buy shares in the bank.  The
period for their bidding ends on Sept. 17, BNamericas states.

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.


ECOPETROL: Government May Sell Shares in New York Stock Exchange
----------------------------------------------------------------
Ecopetrol SA's stock maybe be sold by the Colombian government
on the New York Stock Exchange, Bloomberg News reports, citing
Energy Minister Hernan Martinez.

Colombian President Alvaro Uribe wants to dispose of 20% of
Ecopetrol's stake to help fund an increase in oil output that
would ensure Colombia remains a net oil exporter.  Colombian
labor unions and pension funds will get first access to the
offering, which would be the biggest state asset sale in the
country's history.

Among those interested in acquiring Ecopetrol shares are:

     -- Goldman Sachs Group Inc.,
     -- Lehman Brothers Holdings Inc.,
     -- Morgan Stanley and
     -- a Colombian bank.  

"If the Colombian capital market isn't sufficient to absorb
this, then we could go to the New York exchange," Minister
Martinez said in an interview with Bloomberg.

Ecopetrol is an integrated-oil company that is wholly owned by
the Colombian government.  The company's activities include
exploration for and production of crude oil and natural gas, as
well as refining, transportation, and marketing of crude oil,
natural gas and refined products.  Ecopetrol is Latin America's
fourth-largest integrated-oil concern.  Operations are organized
into Exploration & Production, Refining & Marketing,
Transportation, and International Commerce & Gas.  Ecopetrol has
about 1.09 billion barrels of proven oil reserves.

On June 27, 2006, Fitch Ratings revised the rating outlook of
the long-term foreign currency issuer default rating of
Ecopetrol S.A. to Positive from Stable.  This rating action
follows the recent revision in the Rating Outlook to Positive
from Stable of the 'BB' foreign currency IDR of the Republic of
Colombia.  Ecopetrol's IDR remain strongly linked with the
credit profile of the Republic of Colombia.


* COLOMBIA: Foreign Investment in Mining Rises 58% in 2005
----------------------------------------------------------
Carlos Forero -- the head of Cimco, Colombia's inter-union
mining consultancy -- told Business News Americas that foreign
investment in the country's mining sector increased 58% in 2005,
compared with 2004.

BNamericas relates that Mr. Forero said, "We are talking about
nearly US$2 billion of foreign investment in 2005 alone."

Mining -- mainly coal, nickel, gold, and emeralds -- represented
20.3% of Colombia's exports, BNamericas says, citing Mr. Forero.

Mr. Forero told BNamericas that coal accounts for 40% of the
Colombia's mining exports at US$2.6 billion, followed by nickel
at US$740 million.

Mr. Forero said that the production of industrial minerals like
gravel and crushed rock arrived at 100 megatons in 2005,
according to BNamericas.  The sector is expanding as
construction is going through one of its strongest periods.  The
growth is expected to continue in areas like housing and
infrastructure.

Colombia's congress continues to discuss the tax reform.  The
mining sector hopes that talks will ensure support for foreign
investment, for company growth, and for environmental issues.  
This and other topics will be analyzed at the 3rd Inter-
Organizational Mining Congress on Sept. 21-23 in Santa Marta,
Mr. Forero told BNamericas.

                        *    *    *

On July 25, 2006, Fitch rated the Republic of Colombia's US$1
billion issue of fixed-rate Global Bonds maturing
Jan. 27, 2017, 'BB'.  The rating is in line with Fitch's long-
term foreign currency rating on Colombia.  Fitch said the Rating
Outlook is Positive.


* COLOMBIA: May Sell Ecopetrol Shares in New York Stock Exchange
----------------------------------------------------------------
The Colombian government may sell Ecopetrol SA's stock on the
New York Stock Exchange, Bloomberg News reports, citing Energy
Minister Hernan Martinez.

Colombian President Alvaro Uribe wants to dispose of 20% of
Ecopetrol's stake to help fund an increase in oil output that
would ensure Colombia remains a net oil exporter.  Colombian
labor unions and pension funds will get first access to the
offering, which would be the biggest state asset sale in the
country's history.

Among those interested in acquiring Ecopetrol shares are:

     -- Goldman Sachs Group Inc.,
     -- Lehman Brothers Holdings Inc.,
     -- Morgan Stanley and
     -- a Colombian bank.  

"If the Colombian capital market isn't sufficient to absorb
this, then we could go to the New York exchange," Minister
Martinez said in an interview with Bloomberg.

Ecopetrol is an integrated-oil company that is wholly owned by
the Colombian government.  The company's activities include
exploration for and production of crude oil and natural gas, as
well as refining, transportation, and marketing of crude oil,
natural gas and refined products.  Ecopetrol is Latin America's
fourth-largest integrated-oil concern.  Operations are organized
into Exploration & Production, Refining & Marketing,
Transportation, and International Commerce & Gas.  Ecopetrol has
about 1.09 billion barrels of proven oil reserves.

On. Sept. 11, 2006, Fitch rated the Republic of Colombia's US$1
billion issue of 7.375% fixed-rate Global Bonds maturing Sept.
18, 2037, at BB.  The rating is in line with Fitch's long-term
foreign currency Issuer Default Rating on Colombia.  Fitch said
the rating outlook is positive.




===================
C O S T A   R I C A
===================


DENNY'S CORP: To Sell Majority of Franchisee-Operated Properties
----------------------------------------------------------------
Denny's Corp. agreed to sell the majority of its company-owned,
franchisee-operated restaurant properties.  This agreement
represents significant progress towards Denny's strategic
initiative to reduce debt and strengthen its balance sheet.  
Consistent with the requirements of Denny's credit agreement,
the proceeds of these asset sales will be applied to reduce the
outstanding balance on Denny's US$219 million first lien term
loan.

Denny's has entered into an agreement to sell 66 franchisee-
operated restaurant properties to National Retail Properties,
Inc., a real estate investment trust, for gross proceeds of
approximately US$67 million.  The transaction is expected to
close within 30 days and is subject to customary closing
conditions.

Nelson J. Marchioli, President and Chief Executive Officer,
said, "We are very pleased with the progress we have made on our
initiative to unlock additional value through the sale of real
estate assets.  After the closing of this transaction we will
have sold 80 properties this year for gross proceeds of
approximately US$81 million.  These proceeds should allow us to
meaningfully reduce our debt, thereby strengthening our balance
sheet."

Mr. Marchioli continued, "As one of our key action points in
2006, we believe debt reduction is a particularly effective way
to enhance value for our shareholders.  This process represents
a significant milestone in our long-term financial strategy and
will result in Denny's strongest financial position in many
years."

Denny's expects this sale to generate after-tax proceeds of
approximately US$65 million and result in a gain on sale of
assets of approximately US$38 million.  After applying the net
proceeds to reduce its debt, Denny's expects annual net income
to increase by approximately US$1 million as reductions in
interest expense and depreciation offset the loss of rental
income.

After completing this transaction, Denny's will have 13
franchisee-operated properties remaining for sale.  It is
expected to take up to twelve months to complete these sales.  
At this time, Denny's has no plans to sell company-operated
restaurant properties other than in conjunction with the sale of
a restaurant to a franchisee.

Headquartered in Spartanburg, South Carolina, Denny's Corp.
-- http://www.dennys.com/-- is America's largest full-service
family restaurant chain, consisting of 543 company-owned units
and 1,035 franchised and licensed units, with operations in the
United States, Canada, Costa Rica, Guam, Mexico, New Zealand and
Puerto Rico.

At June 28, 2006, Denny's Corp.'s balance sheet showed a
US$257,947,000 stockholders' deficit compared with
US$266,547,000 deficit at Dec. 28, 2005.


* COSTA RICA: President to Invite Investments from US
-----------------------------------------------------
Oscar Arias, the president of Costa Rica, will travel to the
United States to seek for foreign investment, Inside Costa Rica
reports.

As reported in the Troubled Company Reporter-Latin America on
Sept. 6, 2006, President Arias said that Costa Rica needs a free
trade pact.  He said, "The TLC (Tratado Libre de Comercio or
free trade accord) with the United States will not only
consolidate access of our products to the world's largest
market, but will also stimulate the flow of foreign investment
and transfer of technology that is essential to the development
of our country."

Inside Costa Rica relates that President Arias will also be
joining a meeting of the General Assembly of the United Nations.  

According to Inside Costa Rica, President Arias is scheduled to
speak to the UN on Sept. 19.  He will be meeting with various
president and foreign ministers, including UN secretary general
Koffi Anan.

President Arias will speak to the UN on the gap between
industrialized countries and developing ones.  He will also be
talking on globalization and Latin America's participation and
the need to disarmament.  

                        *    *    *

As reported on Aug. 21, 2006, Fitch Ratings upgraded Costa
Rica's country ceiling to BB+ from BB.  




=======
C U B A
=======


* CUBA: Inks Production-Sharing Accord with India's ONGC Videsh
---------------------------------------------------------------
The government of Cuba has signed a production-sharing contract
with ONGC Videsh Ltd. -- a unit of India's main oil exploration
firm Oil and Natural Gas Corp. aka ONGC -- for two offshore
exploration blocks in the Gulf of Mexico, the Associated Press
reports.

The two blocks spread over an area of 4,300 square kilometers.

Representatives from Cuba and ONGC Videsh told AP that they were
positive that their endeavor off the north shore of the
Caribbean island would be productive.

Fidel Rivero -- the director general of CUPET, Cuba's state oil
company -- told Reuters, "We are going to achieve excellent
results and success in the Gulf of Mexico."

According to Reuters, ONGC Videsh will run the two blocks, which
are separate from six other deep-water blocks in an exploration
venture the firm has with Repsol YPF and Norsk Hydro ASA.  ONGC
Videsh has 30% stake in that project.

Six foreign firms have signed for 16 of 59 blocks in the waters,
Reuters says, citing Mr. Rivero.

Mr. Rivero told Reuters that the Cuban government has the
alternative of taking 20% participating interest in the new
project.  However, no decision has been made on the matter,
pending more tests on the blocks.

"We stand committed to explore this potential," R.S. Butola --
the managing director of ONGC Videsh -- said.

                        *    *    *

Moody's assigned these ratings to Cuba:

      -- CC LT Foreign Bank Depst, Caa2
      -- CC LT Foreign Curr Debt, Caa1
      -- CC ST Foreign Bank Depst, NP
      -- CC ST Foreign Curr Debt, NP
      -- Issuer Rating, Caa1




===================================
D O M I N I C A N   R E P U B L I C
===================================


BANCO INTERCONTINENTAL: Court Sides with Foreign Lawyers
--------------------------------------------------------
Jose Alejandro Vargas, the Second Liquidator Instruction Court
judge in the Dominican Republic, favored the five foreign
lawyers and three members of the Banco Intercontinental SA aka
Baninter Liquidator Commission that Luis Alvarez Renta sued for
violation of 17 articles of the Penal Code, Dominican Today
reports.

Mr. Renta is a businessman from the Dominican Republic who was
found liable by a federal jury in Miami of civil racketeering
and illegal money transfers in a conspiracy to plunder Baninter
in 2003.

Dominican Today relates that Mr. Renta filed the complaint
against lawyers:

       -- C. Thomas Tew,
       -- Tew Cardenas,
       -- Joseph A. De Maria,
       -- Matias Rafael Dorta,
       -- Jonathan Etra, and
       -- Bryan West.

The lawyers, says Dominican Today, belong to the law firm Tew
Cardenas in Miami.  The firm was hired to proceed against Mr.
Renta in Florida for his role in the transactions with Baninter
funds through US banks.  The firm can be reached at:

         Tew Cardenas LLP
         Four Seasons Tower, 15th Floor
         1441 Brickell Avenue
         Miami, Florida 33131-3407
         Tel: 305-536-1112
         Fax: 305-536-1116

According to the report, Mr. Renta sought to bring the case to
criminal court.  However, Judge Vargas decided that there are no
clear and serious indications to do so.

Clave Digital notes that Judge Vargas made the same decision on
these members of the Commission:

       -- Cesar Augusto Gomez,
       -- Zunilda Paniagua, and
       -- Manuel de Jesus Vinas.

Dominican Today underscores that the allegations Mr. Renta made
occurred on June 21, 2004.  On Aug. 19, Mr. Renta filed charges
against a new defendant.

Judge Vargas' decision was disclosed on Sept. 6, 2006, rejecting
that the defendants violated the Penal Code with:

       -- usurpation of authority,
       -- forgery,
       -- bribe or bribe of government officials,
       -- theft,
       -- conspiracy to commit a crime,
       -- usurpation of titles, and
       -- other felonies.

Baninter collapsed in 2003 as a result of a massive fraud
that drained it of about US$657 million in funds.  As a
consequence, all of its branches were closed.  The bank's
current and savings accounts holders were transferred to the
bank's new owner -- Scotiabank.  The bankruptcy of Baninter was
considered the largest in world history, in relation to the
Dominican Republic's Gross Domestic Product.  It cost Dominican
taxpayers DOP55 billion and resulted to the country's worst
economic crisis.


* DOMINICAN REPUBLIC: Rejects Power Crisis Plan Recommendations
---------------------------------------------------------------
The government of the Dominican Republic has rejected the
recommendations that Adam Smith -- a British consulting firm --
made on its plan to resolve the power crisis, the DR1 Newsletter
reports.

According to DR1, Adam Smith consultants Ross Parker and John
Health recommended that the government make a US$650 million
investment over four years.

DR1 underscores that Messrs. Parker and Health considered four
years to be sufficient for the power distribution firms to:

        -- increase the number of paying customers,
        -- decrease power tariffs, and
        -- reduce electricity theft by 50%.

Messrs. Parker and Health told DR1 that the investment would be
much lower than what the government spends on power subsidies.

Hoy notes that the consultants reiterated that the solution to
the problem is to end theft and free supply of power, saying
that if collection rates were to improve, prices would decrease.

DR1 relates that many business organizations were surprised that
the government has not taken the recommendations into
consideration.

Any solution should give priority to strengthening the
Superintendence of Electricity so that it can act without
political or private interests and stick to the law in its
decisions, Hoy says, citing the Association of Industries, the
National Young Entrepreneurs Association and the Association of
Industries of the North.  

                        *    *    *

The Troubled Company Reporter-Latin America reported on
May 9, 2006, that Fitch Ratings upgraded these debt and issuer
Default Ratings of the Dominican Republic:

   -- Long-term foreign currency Issuer Default Rating
      to B from B-;

   -- Country ceiling upgraded to B+ from B-;

   -- Foreign currency bonds due 2006 to B-/RR4 from CCC+/RR4;

   -- Foreign currency Brady bonds due 2009 to B/RR4
      from B-/RR4;

   -- Foreign currency bonds due 2011 to B/RR4 from B-/RR4;

   -- Foreign currency bonds due 2013 to B-/RR4 from CCC+/RR4;

   -- Foreign currency bonds due 2018 to B/RR4 from B-/RR4; and

   -- Foreign currency collateralized Brady bonds due 2024
      to B+/RR3 from B/RR3.

Fitch also affirmed these ratings:

   -- Long-term local currency Issuer Default Rating: B; and
   -- Short-term Issuer Default Rating: B.

Additionally, Fitch assigned a debt and Recovery Rating to this
issue:

   -- Foreign currency bonds due 2027: B/RR4.

Fitch said the rating outlook for the long-term foreign and
local currency IDRs is Stable.


* DOMINICAN REPUBLIC: Won't Eliminate Energy Sector Subsidies
-------------------------------------------------------------
Francisco Mendez -- the energy superintendent of the Dominican
Republic -- told Dominican Today that the government will not
eliminate subsidies for the energy sector.

Dominican Today states that the International Monetary Fund aka
IMF had demanded that the Dominican government discontinue the
subsidies in the sector.

However, Mr. Mendez told Dominican Today that the government
will not give in to pressures exerted by IMF.

Dominican Today notes that Mr. Mendez considered that the
government should financially assist the energy sector, which is
faced with high levels of deficiency in the service.

Eliminating subsidies would cause increasing billing rates, Mr.
Mendez told Dominican Today.

                        *    *    *

The Troubled Company Reporter-Latin America reported on
May 9, 2006, that Fitch Ratings upgraded these debt and issuer
Default Ratings of the Dominican Republic:

   -- Long-term foreign currency Issuer Default Rating
      to B from B-;

   -- Country ceiling upgraded to B+ from B-;

   -- Foreign currency bonds due 2006 to B-/RR4 from CCC+/RR4;

   -- Foreign currency Brady bonds due 2009 to B/RR4
      from B-/RR4;

   -- Foreign currency bonds due 2011 to B/RR4 from B-/RR4;

   -- Foreign currency bonds due 2013 to B-/RR4 from CCC+/RR4;

   -- Foreign currency bonds due 2018 to B/RR4 from B-/RR4; and

   -- Foreign currency collateralized Brady bonds due 2024
      to B+/RR3 from B/RR3.

Fitch also affirmed these ratings:

   -- Long-term local currency Issuer Default Rating: B; and
   -- Short-term Issuer Default Rating: B.

Additionally, Fitch assigned a debt and Recovery Rating to this
issue:

   -- Foreign currency bonds due 2027: B/RR4.

Fitch said the rating outlook for the long-term foreign and
local currency IDRs is Stable.




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


PETROECUADOR: Alfredo Palacio Defends Firm Against Oxy Claim
------------------------------------------------------------
Alfredo Palacio, the president of Ecuador, said that state oil
Petroecuador did not breach the rules of the international or
national laws and the accord with US firm Occidental Petroleum
Corp. aka Oxy, Prensa Latina reports.

Oxy had operated Block 15 in eastern Ecuador for 20 years,
producing about 100,000 barrels daily.

Prensa Latina relates that President Palacio rejected
arbitration against Ecuador for terminating in May the contract
with Oxy.

President Palacio sent a letter to the International Center for
Settlement of Investment Disputes or ICSID, requesting the body
to ignore the arbitration set by Oxy on Ecuador, Prensa Latina
notes.

President Palacio told Prensa Latina, "The contract sealed with
Oxy is legal and sets the mechanisms to solve disputes emerging
from its implementation, and that was precisely what the
government took into account to resolve differences."

According to Prensa Latina, President Palacio reiterated that
Oxy presented the arbitration request, not taking into account
the 21st clause of the contract that indicates that the cause of
the termination is out of the ICSID arbitral jurisdiction.

President Palacio said that he supported Petroecuador when it
decided to abolish the deal with Oxy for selling 40% of its
shares to Canadian EnCana in 2004 without government consent,
Prensa Latina states.

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.


PETROECUADOR: Posts 11% Drop in Crude Output
--------------------------------------------
State-owned Petroecuador's crude production decreased 11% due to
a series of local resident protests, vandalism against oil
production infrastructure and administrative problems, Dow Jones
Newswires reports.

The same report says Petroecuador's oil output was about 200,000
barrels daily in recent times.

Operations managers at Petroproduccion -- the operating unit of
Petroecuador -- told Dow Jones that Petroecuador's output fell
to almost 185,000 b/d last week.  On Tuesday, the state firm was
pumping around 179,600 b/d.

Dow Jones notes that Petroecuador was faced with protests in
Orellana and Sucumbios, where local residents are demanding:

      -- promised funds for public works,
      -- clean up of oil spills, and
      -- more service contract jobs for locals.

According to the report, Sucumbios residents took over two
production stations, forcing the shutdown of eight wells in the
Libertador oil field, which normally produces 52,000 b/d.  
Meanwhile, locals of Orellana blocked roads, preventing
Petroecuador teams and equipment to access the fields.

Dow Jones underscores that attacks on pipelines last week also
slowed down production.

Sucumbios and Orellana residents are threatening that they will
intensify their actions until their demands are met, Dow Jones
says.

An operations manager at Petroproduccion told Dow Jones that the
firm has been unable to undertake regular maintenance, which is
badly needed, due to the increasingly dilapidated fields and
production infrastructure in the Amazon region.

Former Occidental Petroleum Corp. fields also began to report a
slight drop in output.  On Tuesday it posted about 96,320 b/d,
from 100,000 b/d previously, Dow Jones states.

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.




=============
G R E N A D A
=============


* GRENADA: IMF Says Economy Has Rebounded Faster than Expected
--------------------------------------------------------------
Ms. Nancy Wagner, head of an International Monetary Fund or IMF
staff mission to Grenada, issued this statement on
Sept. 12, 2006, in St. George's:

"An IMF mission visited Grenada between Aug. 31 and
Sept. 12, 2006, to review the implementation of the government's
home-grown economic program that is supported by the IMF's
Poverty Reduction and Growth Facility or PRGF.  The mission held
constructive discussions with the Prime Minister, the Deputy
Prime Minister, the Minister of Finance and his staff, and
representatives of various other ministries, public enterprises,
the opposition, the business sector, and trade unions.  
Discussions centered on recent economic developments, fiscal
performance, and progress with the government's structural
reform agenda.

"The economy rebounded much faster than envisaged in 2005, with
growth led by reconstruction and preparations for the 2007
Cricket World Cup. With the recovery occurring much quicker than
anticipated, growth is set to slow in 2006.  Going forward,
agriculture will continue to recover, and prospects for the
tourism sector look favorable, with a number of potential major
investments on the horizon. Inflationary pressures that emerged
in late 2005 on the heels of an adjustment of domestic fuel
prices, have eased considerably in the first half of 2006.

"Although progress is being made on the fiscal front, including
with the implementation of the National Reconstruction Levy, the
budgetary situation remains challenging.  This is in part due to
a projected shortfall of foreign grants this year, which will
increase the effort (including closer follow up with donors)
needed to achieve the objectives of the 2006 budget.  On the
structural front, reforms have been initiated, but the pace of
implementation should be stepped up to fully reap the benefits
of these early efforts.  While recognizing these challenges, the
authorities underscored their deep commitment to the reform
program.  The IMF will continue to work closely with the
authorities to assist them in the implementation of the program.

                        *    *    *

As reported in the Troubled Company Reporter on March 21, 2006,
Standard & Poor's Ratings Services affirmed its 'B-' long-term
and 'C' short-term sovereign credit ratings on Grenada.  S&P
said the outlook on the long-term ratings remains stable.

The ratings on Grenada are constrained by large government debt,
which, at an estimated 118% of GDP in 2006 (98% of GDP on a net
basis), is one of the highest among the 110 sovereigns rated by
Standard & Poor's.  The debt burden has been partly alleviated
by the restructuring completed in Nov. 2005, which extended
the maturity of roughly US$261 million (or 44% of the total) in
debt to 2025 and reduced the interest payment by more than half,
to about 2.5% of GDP in 2006.




===========
G U Y A N A
===========


DIGICEL LTD: Expects to Get Telecom License in Guyana Soon
----------------------------------------------------------
Digicel Ltd. told the Jamaica Gleaner that it expects to
overcome the final hurdle in two weeks before it starts working
on its plans to set up its GSM network in Guyana.

According to The Gleaner, Guyana's laws require Digicel to
undergo the public consultation process required under the
Guyana's 1990 telecommunications law.

Maureen Rabbitt, the head of Digicel's coporate communications,
told The Gleaner, "We expect the process to conclude by
Sept. 28."

The Gleaner states that Digicel disclosed in Aug. that the
government of Guyana had ratified a license for Digicel to set
up operation in Guyana.  The issuance of the license was subject
to the public consultation process.

The report says that Digicel has invested about US$1.2 billion
in its operations in 20 nations.  It has also doubled the US$600
million of capital injections to 2004.  Its planned investments
in Guyana and Suriname would add to the total.

Mr. Rabbitt told The Gleaner, "We are committed to rolling out
services in Guyana and Suriname in the very near future." said
Rabbitt.

Digicel would likely have its rollouts within a year of
obtaining licenses.

"We estimate our total average market share across our 20 Carib-
bean markets is more than 50 per cent," The Gleaner says, citing
Ms. Rabbitt.

Digicel is looking for more opportunities in the Caribbean.  It
is also seeking markets in Central America, through new licenses
or acquisitions, The Gleaner relates.

Digicel Limited is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien.  The
company started operations in Jamaica in April 2001 and now
offers GSM mobile services in 13 countries of the Caribbean
including Jamaica, St. Lucia, St. Vincent, Aruba, Grenada,
Barbados, Cayman, and Curacao among others.  Digicel finished
FY2005 with 1.722 million total subscribers -- 97% pre-paid --
estimated market share of 67% and revenues and EBITDA of US$478
million and US$155 million, respectively.

                        *    *    *

On July 12, 2006, Moody's Investors Service assigned a B3 senior
unsecured rating to the US$150 million add-on Notes offering of
Digicel Limited and affirmed Digicel's existing B3 senior
unsecured and B1 Corporate Family Ratings.  The outlook has been
changed to stable from positive.

Fitch Ratings assigned on July 14, 2006, a 'B' rating to Digicel
Limited's proposed add-on offering of US$150 million 9.25%
senior notes due 2012.  These notes are an extension of the
US$300 million notes issued in July 2005.  In addition, Fitch
also affirms Digicel's foreign currency Issuer Default Rating
and the existing US$300 million senior notes due 2012 at 'B'.
Fitch said the Rating Outlook is Stable.




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


DYOLL INSURANCE: Insurance Payments Upset Coffee Farmers  
--------------------------------------------------------
Coffee farmers who insured their crops with Dyoll Insurance
Company and suffered losses resulting from Hurricane Ivan
protested outside the Coffee Industry Board in Kingston,
Jamaica, airing out their disappointment with the interim
insurance payments the government gave them.

As reported in the Troubled Company Reporter-Latin America on
Sept. 13, 2006, the farmers would start receiving compensation
cheques this week.  Senator Norman Grant, the chairperson of the
Mavis Bank Coffee Company -- said that the company and other
purchasers of coffee beans made preparations to disburse the
cheques.  As previously reported, the farmers affected by
Hurricane Ivan in Sept. 2004 received on Aug. 11 JUS$100 million
interim payment from Jamaica's agriculture ministry.  Robert
Clarke, the agriculture minister, handed the cheques to the
farmers.  Minister Clarke said that the individual claims were
being reconciled and the funds will be distributed.  About 6,000
coffee farmers would benefit from the funds the Coffee Industry
Board will administer.  The farmers had waited for almost 24
months for the funds.  The Coffee Industry Board was
collaborating with stakeholders in the industry to determine
benefits to farmers, said Graham Dunkley, the organization's
director-general.  However, Minister Clarke said that full
payments would have to wait for court proceedings.

Derrick Simon -- the representative of the farmers -- complained
to The Gleaner that about 40% of the almost 6,000 claims had
been referred for appeal due to discrepancies with the method of
computation used to determine the amount each farmer would get.

Some farmers received payment while others got nothing due to
lack of information or on the grounds that they were not
qualified for any payment at all, The Gleaner says, citing Mr.
Simon.

The Gleaner underscores that Mr. Simon said that despite several
notices of the impending payment, some coffee marketing firms
did not hand in the relevant information to the trustees of the
Coffee Farmers' Insurance Fund in order for them to get the
money.

A unit was created on Sept. 11 to address that concerns of the
farmers, The Gleaner notes, citing Loreen Walker, a legal
officer and board secretary.

"We try to tell them to get receipts and we have offered to call
some of the entities (which they sold to) to try and help them,"
Ms. Walker told The Gleaner.

The Financial Services Commission of Jamaica took over control
of Dyoll Insurance in Mar. 7, 2005, in order to establish the
true position of the Company, address the matter of settlement
to its claimants and ensure that its policies will remain in
force after a high level of insurance claims were levelled on
the company as a result of the hurricane Ivan.  Kenneth Tomlison
was appointed temporary manager.  Jamaica's Supreme Court
ordered for the distribution of a US$653 million fund held by
the FSC in accordance with the Insurance Act 2001, section
59, which says that the prescribed deposit, on the winding up of
an insurance company, should be applied first to settle the
claims of local policyholders.


KAISER ALUMINUM: Inks Pact to Supply Metal Products for Boeing
--------------------------------------------------------------
Kaiser Aluminum Corp. disclosed an agreement with AMI Metals,
Inc., a subsidiary of Reliance Steel & Aluminum Co., to provide
heavy and light gauge plate, sheet and coil products for Boeing
Integrated Defense Systems.  The contract begins in 2009 and
extends through 2012.

The new agreement is enabled by a US$105 million expansion at
Kaiser Aluminum's Trentwood, Washington facility.

"Boeing requires the highest-quality materials in the
development of their products, and we're gratified to have been
selected as a supplier for some of their most demanding
applications," said Jack A. Hockema, chairman, president and
CEO, Kaiser Aluminum.

"We are proud of our long-term relationship with Boeing IDS and
Kaiser," said Scott A. Smith, president, AMI Metals, Inc.  "We
are honored to assist Boeing IDS going forward with the aluminum
products and services needed to support such efforts as their
military aircraft programs.  AMI Metals, Kaiser Aluminum and
Boeing IDS have worked together for the past 16 years on several
programs that have resulted in reduced costs, high quality
products and on-time delivery, while also utilizing the optimum
best value and business practices."

Kaiser Aluminum's fabricated materials will be integrated in
such Boeing programs as:

   -- the F-15 Strike Eagle,
   -- the F/A-18 Hornet,
   -- the C-17 Globemaster III,
   -- the CH-47D/F Chinook Helicopter, and
   -- the V-22 Osprey, the world's first production tilt-rotor
      aircraft.

                        About Kaiser

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 Corp. -- 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. 104; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 609/392-0900)




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


FREESCALE: Collaborates with Spansion to Reduce Handset Size
------------------------------------------------------------
Spansion Inc., disclosed a collaboration with Freescale
Semiconductor for Package-on-Package or PoP Flash memory that
will enable handset manufacturers to reduce wireless handset
size and pack in more multimedia-rich features and
functionality, such as digital video broadcast, video
conferencing and location-based services.  Fully compliant with
the JEDEC PoP standard, Spansion's Flash memory has been
combined with Freescale's i.MX31 applications processor in a PoP
solution.

Shrinking the size of mobile devices is made possible with
Spansion and Freescale's combined PoP solution that vertically
combines the applications processor, discrete logic and memory
packages for board space savings, lower pin-count, simplified
system integration and enhanced performance.  Spansion also
provides its Flash memory for use in a PoP package with other
Freescale solutions including its baseband processors featured
in the i.300 and MXC cellular platforms.  Spansion brings a
comprehensive suite of PoP solutions to the wireless market with
support for reference designs, system-level software and
qualified products currently in use by some of the top handset
manufacturers.

Freescale application processors are designed for feature-rich
mobile devices running powerful multimedia applications
typically reserved for home entertainment systems, bringing
consumers a cinematic video and audio experience to their mobile
devices.  Spansion's MirrorBit NOR and ORNAND Flash memory
solutions deliver high-performance code execution and data
storage with a single-platform approach for these types of
applications.

"Combining the efficient and scalable benefits of PoP technology
with Freescale's advanced application processors and Spansion's
Flash memory, we continue to streamline the design process for
mobile device manufacturers and reduce time to market for new
phones," said Ken Hansen, senior technical fellow and director
of advanced technology for the wireless and mobile systems group
at Freescale.  "We are committed to leveraging technologies such
as PoP to further provide the enhanced performance customers
require to support innovative features and round out their
product portfolios."

Spansion's PoP solutions provide more flexibility and
scalability compared to traditional system-in-a-package
technologies, as mobile device designers can use a scalable
platform approach, where memories can be swapped out easily to
transition from a low-to-mid-range handset to a high-end phone.  
With benefits of lower system cost, faster time-to-market and
increased flexibility over SiP, PoP is gaining traction in the
wireless industry.  As an active member of JEDEC, Spansion has
led efforts to establish industry standards for PoP, such as
minimizing costs, enabling advanced functionality and
simplifying configurations for next-generation handset
solutions.  Spansion has been providing PoP solutions in
production since Q4'05 to align with the needs of both handset
and chipset manufacturers.

The Freescale i.MX31 packaged with Spansion's Flash memory is
currently sampling and is expected to be released for production
in the fourth quarter of 2006.  In addition to the wireless
applications, Spansion Flash memory is widely used in many
Freescale automotive, consumer and networking reference designs.

"Today's consumers are increasingly adopting more data services,
yet still want smaller and sleeker handsets," said Steve
Schrepferman, vice president of marketing and MCP development,
Wireless Solutions Division, Spansion.  "Spansion's PoP
solutions provide more flexibility for handset manufacturers to
pack more memory into the same form factor, leading to faster
time to market and 20 to 30 percent space savings.  Together,
with Freescale's expertise in application processors, we can
address both operator requirements to add more capacity to
handsets and to meet the latest form factor demands from
subscribers."

                       About Spansion

Spansion is dedicated to enabling, storing and protecting
digital content in the wireless, automotive, networking and
consumer electronics markets.  Spansion, previously a joint
venture of AMD and Fujitsu, is the largest company in the world
dedicated exclusively to developing, designing, and
manufacturing Flash memory products and systems.

                      About Freescale

Based in Austin, Texas, Freescale Semiconductor, Inc. (NYSE:FSL)
(NYSE:FSL.B) -- http://www.freescale.com/-- designs and   
manufactures embedded semiconductors for the automotive,
consumer, industrial, networking and wireless markets.  
Freescale became a publicly traded company in July 2004.  The
company has design, research and development, manufacturing or
sales operations in more than 30 countries.  In Latin America,
Freescale has operations in Argentina, Brazil and Mexico.

Freescale Semiconductor's 7-1/8% Senior Notes due 2014 carry
Moody's Investors Service's Ba1 rating.


FREESCALE SEMICONDUCTOR: Moody's Affirms Ba1 Corp. Credit Rating
----------------------------------------------------------------
Moody's Investors Service affirmed the Ba1 corporate family and
senior unsecured ratings of Freescale Semiconductor, Inc., and
changed the outlook to negative from stable.  The negative
outlook reflects possible credit deterioration in light of the
recent announcement by the company that it is currently in
discussions with parties related to a possible business
transaction.  Based on this announcement, Moody's believes the
potential for a leveraged buyout of Freescale has increased.

Moody's notes that it is unlikely Freescale's ratings would
remain at the Ba1 rating level following a leveraged buyout.  
The company's ratings would likely be placed on review for
possible downgrade if the company were to make a definitive
announcement involving a leveraged transaction.  Conversely, the
ratings could be affirmed and outlook stabilized in the event
the company were to announce that it has decided not to pursue
such a transaction, presuming the company does not undertake an
alternative leveraging event.

According to Gregory Fraser, CFA, Vice President-Senior Analyst,
since Freescale is currently rated below investment grade by
Moody's, the change of control provision contained in the note
indenture is currently operative.  Accordingly, a leveraged
buyout would require the company to repurchase the senior
unsecured notes at the option of the noteholders at a price of
101% of face value plus accrued and unpaid interest.

These ratings were affirmed:

   -- Corporate Family Rating: Ba1;

   -- Senior Unsecured Guaranteed Notes with various maturities
      totaling US$850 million: Ba1; and

   -- Speculative Grade Liquidity Rating: SGL-1.

The ratings outlook is negative.

Headquartered in Austin, TX, Freescale designs and manufacturers
embedded semiconductors for the transportation, networking and
wireless markets.


MERIDIAN AUTOMOTIVE: IRS Opposes Third Amended Joint Plan
---------------------------------------------------------
The Internal Revenue Service asks the U.S. Bankruptcy Court for
the District of Delaware to deny Meridian Automotive Systems,
Inc., and its debtor-affiliates' Third Amended Joint Plan of
Reorganization.

The IRS complains that the Debtors' Third Plan provides for an
unreasonably short administrative bar date of 30 days after the
Effective Date of the Plan.

To the extent that the Debtors seek a prompt determination of
their tax liability, they should abide by Section 505(b) of the
Bankruptcy Code for a determination of their administrative tax
claims, Ellenn. W. Sights, Esq., in Wilmington, Delaware,
asserts.

The IRS opposes the Third Amended Plan to the extent that:

   a. it fails to preserve IRS' set-off and recoupment rights;
      and

   b. its discharge and release provisions exceed the scope of
      Section 1141(d) of the Bankruptcy Code.

Ms. Slights argues that discharge should apply to debts incurred
prior to the Confirmation Date rather than the Effective Date.

The IRS objects to the release from liability of non-Debtor
third parties and maintains that it will not grant the releases
described in the Plan.

The IRS has filed two unsecured claims against the Debtors.

Headquartered in Dearborn, Mich., Meridian Automotive Systems,
Inc. -- http://www.meridianautosystems.com/-- supplies
technologically advanced front and rear end modules, lighting,
exterior composites, console modules, instrument panels and
other interior systems to automobile and truck manufacturers.  
Meridian operates 22 plants in the United States, Canada and
Mexico, supplying Original Equipment Manufacturers and major
Tier One parts suppliers.  The Company and its debtor-affiliates
filed for chapter 11 protection on April 26, 2005 (Bankr. D.
Del. Case Nos. 05-11168 through 05-11176).  James F. Conlan,
Esq., Larry J. Nyhan, Esq., Paul S. Caruso, Esq., and Bojan
Guzina, Esq., at Sidley Austin Brown & Wood LLP, and Robert S.
Brady, Esq., Edmon L. Morton, Esq., Edward J. Kosmowski, Esq.,
and Ian S. Fredericks, Esq., at Young Conaway Stargatt & Taylor,
LLP, represent the Debtors in their restructuring efforts.  Eric
E. Sagerman, Esq., at Winston & Strawn LLP represents the
Official Committee of Unsecured Creditors.  The Committee also
hired Ian Connor Bifferato, Esq., at Bifferato, Gentilotti,
Biden & Balick, P.A., to prosecute an adversary proceeding
against Meridian's First Lien Lenders and Second Lien Lenders to
invalidate their liens.  When the Debtors filed for protection
from their creditors, they listed US$530 million in total assets
and approximately US$815 million in total liabilities.  
(Meridian Bankruptcy News, Issue No. 38; Bankruptcy Creditors'
Service, Inc. http://bankrupt.com/newsstand/or 215/945-7000).


MERIDIAN AUTOMOTIVE: Wants to Reject American Financial Lease
-------------------------------------------------------------
Meridian Automotive Systems, Inc., and its debtor-affiliates
seek permission from the U.S. Bankruptcy Court for the District
of Delaware to reject their executory equipment lease with
American Financial Leasing, Inc., effective as of Sept. 7, 2006.

The Debtors have discontinued operations at their Canton, Ohio
facility where the equipment subject to the Lease is utilized,
Ian S. Fredericks, Esq., at Young Conaway Stargatt & Taylor,
LLP, in Wilmington, Delaware, informs the Court.  As a result,
the Lease provides the Debtors and their estates with little or
no benefit based on:

   -- the Debtors' need for the Equipment;

   -- the cost to fulfill the Debtors' obligations under the
      Lease; and

   -- costs to transport and store the Equipment.

The Lease's rejection will avoid additional administrative
expenses to the Debtors' estates, Mr. Fredericks asserts.
Moreover, the Lease holds no material economic value to the
Debtors' estates and is not essential to the conduct of the
bankruptcy cases.

Headquartered in Dearborn, Mich., Meridian Automotive Systems,
Inc. -- http://www.meridianautosystems.com/-- supplies
technologically advanced front and rear end modules, lighting,
exterior composites, console modules, instrument panels and
other interior systems to automobile and truck manufacturers.  
Meridian operates 22 plants in the United States, Canada and
Mexico, supplying Original Equipment Manufacturers and major
Tier One parts suppliers.  The Company and its debtor-affiliates
filed for chapter 11 protection on April 26, 2005 (Bankr. D.
Del. Case Nos. 05-11168 through 05-11176).  James F. Conlan,
Esq., Larry J. Nyhan, Esq., Paul S. Caruso, Esq., and Bojan
Guzina, Esq., at Sidley Austin Brown & Wood LLP, and Robert S.
Brady, Esq., Edmon L. Morton, Esq., Edward J. Kosmowski, Esq.,
and Ian S. Fredericks, Esq., at Young Conaway Stargatt & Taylor,
LLP, represent the Debtors in their restructuring efforts.  Eric
E. Sagerman, Esq., at Winston & Strawn LLP represents the
Official Committee of Unsecured Creditors.  The Committee also
hired Ian Connor Bifferato, Esq., at Bifferato, Gentilotti,
Biden & Balick, P.A., to prosecute an adversary proceeding
against Meridian's First Lien Lenders and Second Lien Lenders to
invalidate their liens.  When the Debtors filed for protection
from their creditors, they listed US$530 million in total assets
and approximately US$815 million in total liabilities.  
(Meridian Bankruptcy News, Issue No. 38; Bankruptcy Creditors'
Service, Inc. http://bankrupt.com/newsstand/or 215/945-7000).


SATELITES MEXICANOS: Files Amended Plan & Disclosure Statement
--------------------------------------------------------------
Satelites Mexicanos, S.A. de C.V., delivered its First Amended
Plan of Reorganization and accompanying Disclosure Statement to
the U.S. Bankruptcy Court for the Southern District of New York
on Sept. 8, 2006.

                  Creation of Equity Trust

Prior to the Effective Date, the Debtor will form an Equity
Trust, instead of special purpose entities, to settle the
Debtor's obligations under the Amended Plan.

On the Effective Date, New Common Stock representing 90% of the
equity voting rights and 96% of the equity financial rights in
the Reorganized Debtor will be held by an Equity Trust Trustee
for the benefit of the holders of Allowed Existing Bond Claims,
Allowed Existing Preferred Stock Interests, and Allowed Existing
Common Stock Interests, other than the Mexican Government.

The Equity Trust Trustee will deposit global trust certificates
representing beneficial ownership of New Common Stock
corresponding to 43% of the voting rights and 78% of the
financial rights in the Reorganized Debtor with the Depository
Trust Company, Euroclear Bank S.A./N.V., or Clearstream Banking
societe anonyme.  Interests in the Global Trust Certificate will
be received by the holders of Existing Bond Claims on a pro rata
basis in exchange for a portion of the Existing Bond Claims.

         Recovery for Servicios & Mexican Government

Servicios Corporativos Satelitales, S.A. de C.V., will receive
beneficial interests in the Equity Trust corresponding to New
Series A Common Stock representing 45% of the equity voting
rights and 16% of the equity financial rights in the Reorganized
Debtor, on a fully diluted basis.

The Mexican Government will receive New Series A Common Stock
and New Series N Common Stock representing 10% of the equity
voting rights and 4% of the equity financial rights in the
Reorganized Debtor subject to the same terms and conditions as
the New Common Stock held by the Equity Trust Trustee, on a
fully diluted basis.

Servicios is restructuring its debt obligations.  The Debtor
relates that the Mexican Government, as creditor of Servicios,
will ultimately receive the economic benefits of the beneficial
interests in the Debtor distributed to Servicios under the Plan
in full satisfaction of Servicios' obligation to the Mexican
Government arising from a promissory note referred to as the
Menoscabo.

As previously reported, Servicios owed the Mexican Government
approximately US$125.1 million plus interest in connection with
Servicios' purchase of a stake in the Debtor.

Servicios holds 70.71% equity stake and 100% voting interest in
the Debtor as of the date of filing for chapter 11 protection.
The Mexican Government holds 23.57% equity stake and limited
voting rights for extraordinary matters.

              Recovery of Claims in Classes 2 & 6

For purposes of voting to accept or reject the Amended Plan, the
Class 2 Senior Secured Note Claims are allowed for
US$203,388,000, in the aggregate.  For purposes of distribution,
the Class 2 Senior Secured Note Claims are allowed for
US$203,388,000 plus unpaid accrued interest through the
Effective Date, with interest calculated so that, assuming an
Effective Date of Sept. 30, 2006, the Allowed amount will be
US$234,400,000.

With respect to Classes 6A and 6B Existing Preferred Stock
Interests, the Plan provides that:

   (i) Principia S.A. de C.V., will receive beneficial interests
       in the Equity Trust corresponding to New Series B Common
       Stock and New Series N Common Stock, which will represent
       0.67% of the total equity financial rights and 0.67% of
       the total equity voting rights of the Reorganized Debtor
       on a fully diluted basis; and

  (ii) Loral Skynet Corp. and Loral SatMex, Ltd., will
       receive beneficial interests in the Equity Trust
       corresponding to New Series B Common Stock and New
       Series N Common Stock, which will represent 1.33% of the
       total equity financial rights and 1.33% of the total
       equity voting rights of the Reorganized Debtor on a fully
       diluted basis.

                Issuance of Secured Notes

On the Plan Effective Date, the Reorganized Debtor will issue
US$203,388,000 in First Priority Senior Secured Notes.  The
First Priority Notes will mature five years after the Effective
Date and incur interest at one-month or three-month LIBOR plus
875 basis points per annum (LIBOR+8.75%), payable in arrears in
Cash on the last day of the applicable one-month or three-month
period.

The Reorganized Debtor will issue US$140,000,000 in Second
Priority Senior Secured Notes, which will mature seven years
after the Effective Date.  The Second Priority Notes will incur
interest payable quarterly in arrears at 10.125% per annum.  
Interest will be payable in Cash, provided that until the
earlier of (a) the fifth anniversary of the Effective Date, and
(b) the date the First Priority Notes are paid in full, the
interest will be payable in kind.

          Satmex to Pay Other Parties' Legal Fees

The Amended Plan provides that the Debtor will be entitled to
and will pay the reasonable fees and expenses of professionals
retained by:

   * the Ad Hoc Senior Secured Noteholders' Committee;

   * the Ad Hoc Existing Bondholders' Committee;

   * Thomas Heather, the conciliador in the Concurso Proceeding
     in Mexico;

   * Loral; and

   * Servicios.

           Appointment of Common Representative

Pursuant to the Amended Plan, a common representative will be
irrevocably appointed under Mexican law to act for the benefit
of the holders of the Second Priority Notes solely for the
purposes of:

   (i) voting in favor of or accepting a plan of reorganization
       in any future concurso mercantil proceeding;

  (ii) exercising all veto rights in connection with the
       approval of a concurso plan in Mexico, but only in the
       event that the plan is accepted by holders of a majority
       of the aggregate outstanding principal amount of the
       Second Priority Notes; and

(iii) releasing certain liens.

                    Other Disclosures

The Debtor disclosed that it has recently been granted an
extension of the Orbital Concessions to Oct. 22, 2037, without
the payment of any additional consideration to the Mexican
Government.  As previously reported, the Mexican Government has
granted the Debtor three Orbital Concessions that allow it to
operate satellites in Mexico's orbital slots.  The Orbital
Concessions may be further extended subject to certain
conditions.

The Debtor also reported that the order approving its convenio
concursal terminated the Concurso proceeding in Mexico, and
became final, binding and non-appealable on Aug. 1, 2006.

In addition, the Bankruptcy Court closed the Debtor's Section
304 Proceeding on Aug. 11, 2006.  The Bankruptcy Court also
authorized the Debtor to assume its settlement agreements with
certain Loral entities.

           Plan Has Support of Major Constituents

The Debtor relates that its Chapter 11 Plan has the support of:

   -- Servicios, Loral and Principia;

   -- the beneficial holders of more than 67% of the
      10-1/8% Unsecured Senior Notes due Nov. 1, 2004; and

   -- the beneficial holders of more than 67% of the Senior
      Secured Floating Rate Notes due June 30, 2004.

A blacklined copy of the Debtor's First Amended Plan is
available at no charge at http://ResearchArchives.com/t/s?1178

A blacklined copy of the Debtor's First Amended Disclosure
Statement is available at no charge at:

             http://ResearchArchives.com/t/s?1179

                 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 Aug. 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. 5; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


SATELITES MEXICANOS: Judge Drain Approves Disclosure Statement
--------------------------------------------------------------
The Honorable Robert D. Drain of the U.S. Bankruptcy Court for
the Southern District of New York has approved the Disclosure
Statement explaining Satelites Mexicanos, S.A. de C.V.'s First
Amended Plan of Reorganization.

Judge Drain determined that the Debtor's Disclosure Statement
contained adequate information -- the right amount of the right
kind -- required under Section 1125 of the Bankruptcy Code.  
With a Court-approved Disclosure Statement in hand, Satmex can
now ask creditors to vote to accept its Plan.

Ballots accepting or rejecting the Plan must be received no
later than 4:00 p.m., Eastern Time, on Oct. 20, 2006, by
Kurtzman Carson Consultants, Inc., the Debtor's notice and
balloting agent.

The Court will convene a hearing at 10:00 a.m., Eastern Time, on
Oct. 26, 2006, to consider confirmation of Satmex's plan.

Objections to confirmation of the Debtor's chapter 11 plan must
be served so that they are actually filed and received no later
than 4:00 p.m., on Oct. 20, 2006, by:

     1) The Clerk of the Court
        U.S. Bankruptcy Court  
        Southern District of New York
        One Bowling Green
        New York, NY 10004

     2) Milbank, Tweed, Hadley and McCloy LLP
        Attn: Matthew S. Barr, Esq.
              Jessica L. Fink, Esq.
        Counsel for Satmex        
        One Chase Manhattan Plaza
        New York, NY 10005

     3) Office of the U.S. Trustee
        Southern District of New York
        Attn: Tracy Hope Davis, Esq.
        33 Whitehall Street, 21st floor
        New York, NY 10004.

     4) Akin Gump Strauss Hauer & Feld LLP
        Attn: Steven Scheinman, Esq.
              Michael S. Stamer, Esq.
              Shuba Satyaprasad, Esq.
        Counsel to the Ad Hoc Bondholders' Committee
        590 Madison Avenue
        New York, NY 10022-2524

     5) Wilmer Cutler Pickering Hale and Dorr LLP
        Attn: Dennis Jenkins, Esq.
              George W. Shuster, Jr., Esq.
        Counsel to the Ad Hoc Noteholders' Committee

     6) Weil, Gotshal & Manges LLP
        Attn: Shai Y. Waisman, Esq.
              Rachel Albanese, Esq.
        Counsel for Loral
        767 Fifth Avenue, New York, NY 10153

     7) The Secretaria de Comunicaciones y Transportes of the
        Mexican Government
        Attn: Ing. Leonel Lopez Celaya
              Director General de Politicas de
              Telecomunicaciones
        Av. Xola S/N, Col. Narvarte C.P. 03020
        Mexico, D.F.

     8) Thomas S. Heather Rodriguez
        White & Case, S.C.
        Torre del Bosque - PH,
        Blvd. Manuel Avila Camacho #24         
        Col. Lomas de Chapultepec 11000
        Mexico, D.F.,

     9) Citibank, N.A.,
        Attn: Jenny Cheng  
        Indenture Trustee under the Senior Secured Note
        Indenture
        388 Greenwich St., 14th Floor
        New York, NY 10013

    10) Nixon Peabody LLP
        Attn: Dennis J. Drebsky, Esq.
              Richard J. Bernard, Esq.
        Counsel for Citibank, N.A.
        437 Madison Avenue
        New York, NY 10022-7001

    11) The Bank of New York
        Attn: Ming J. Shiang
        Indenture Trustee under the Existing Bond Indenture
        101 Barclay Street, Floor 21 West
        New York, NY 10286

    12) Baker & McKenzie LLP
        Attn: Joseph Samet, Esq.
              Ira Reid, Esq.
        Counsel for The Bank of New York
        1114 Avenue of the Americas
        New York, NY 10036

The Troubled Company Reporter disclosed yesterday that the
Debtor's Plan has the support of:

   -- Servicios, Loral and Principia;

   -- the beneficial holders of more than 67% of the
      10-1/8% Unsecured Senior Notes due Nov. 1, 2004; and

   -- the beneficial holders of more than 67% of the Senior
      Secured Floating Rate Notes due June 30, 2004.

A blacklined copy of the Debtor's First Amended Plan is
available at no charge at http://ResearchArchives.com/t/s?1178

A blacklined copy of the Debtor's First Amended Disclosure
Statement is available at no charge at:

             http://ResearchArchives.com/t/s?1179

                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 August 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).


TELE NORTE: Nominates 11 New Members to Board of Directors
----------------------------------------------------------
Tele Norte Leste Participacoes SA aka Telemar said in a
statement that it has nominated a new 11-member board of
directors.

Business News America relates that the proposed board has four
members from the group of controlling firms.  

According to the report, Jose Mauro Carneiro da Cunha -- who
formerly worked with Brazil's BNDES and Braskem -- was nominated
as chairperson.

BNamericas notes that the controllers will also be represented
by:

        -- Carlos Jereissati of GP,
        -- Carlos Medeiros Silva Neto of GP,
        -- Luciano Siani Pires of BNDES, and
        -- Otavio Marques de Azevedo of Andrade Gutierrez.

The report says that the other seven nominated members are
independent.  They were executives who formerly worked for
Citibank, Pao de Acucar, C&A, and Brazil's Banco Central.

Luis Eduardo Falco, Telemar's president, described the new board
to BNamericas as robust.

"We are fulfilling what we promised. I think that this board
will be received by the market with some relief, because the
people want to see it to believe it," Mr. Falco told BNamericas.

Jean-Pierre Cote-Gil, an analyst at Standard & Poor's, told
BNamericas, "This is part of Telemar's move to become more
transparent."

BNamericas underscores that the analyst said that it is one of
the conditions in Telemar's move towards entering Bovespa's Novo
Mercado, the most rigorous forum for trading on Sao Paulo's
Bovespa stock exchange.  The analyst sees a lot of positive
factors in the restructuring, which aims to simplify the
structure of its units -- Telemar Participacoes, Tele Norte
Leste Participacoes and Telemar Norte Leste -- and bring its
shareholders together under one firm.  The analyst said that it
is good to simplify the ownership, to improve governance and the
flow of information, noted Cote Gil.  By unifying the company,
Telemar will also reduce the rate of recurring costs and
expenses.

The new board, along with the company's restructuring program,
still needs approval, by the end of Oct., BNamericas reports,
citing a spokesperson of Telemar.

"The date is still to be confirmed," the Telemar spokesman told
BNamericas.

Telemar provides telecommunication services in South America.
It offers local, intra-regional long distance, and data
transmission services in 16 Brazilian states, which covers
approximately 64% of the country.  Mobile services are provided
through its wireless unit Oi, and it has acquired data
transmission services provider Pegasus.

                        *    *    *

Standard & Poor's Ratings Services disclosed on May 24, 2006,
that its 'BB' long-term corporate credit ratings on Brazil-based
integrated telecommunications carrier Telemar Norte Leste S.A.
and its holding company Tele Norte Leste Participacoes S.A.
remain on CreditWatch with positive implications, where they
were placed on Feb. 28, 2006.  The national scale rating
assigned to three local debentures issued by Telemar
Participacoes S.A. (Tele Norte's holding company) also remain on
CreditWatch with positive implications.


* MEXICO: Trinidad & Tobago May Sell Gas to Country
---------------------------------------------------
A draft of an energy memorandum of understanding between the
governments of Trinidad and Tobago and Mexico is currently
before the former's attorney general for vetting, a local paper
reports.

Energy Minister Dr. Lenny Saith disclosed the agreement to the
Trinidad & Tobago Express after his visit to Mexico.

The Express says the news came after Prime Minister Patrick
Manning criticized the US government for "studiously ignoring"
the requirements of Trinidad and Tobago and the Caribbean,
hinting also that his Cabinet was considering whether placing
"all our eggs in one basket" was wise.

"Now too much of our LNG goes to one destination and
incidentally at prices that are not by any means the best prices
that are available in the market," Prime Minister Manning was
quoted by the Express as saying.

"If Trinidad and Tobago decides to sell into the Mexican market,
we will start with a price of Henry Hub plus 30 cents... at the
moment when we export to the US, the only terminal that gives us
a price like that is the terminal in Everett which is in Boston-
where we get Henry Hub plus 35 cents," the prime minister noted.

Meanwhile, the MOU, Dr. Saith explained to the Express, would
include "discussions and exchange of information and best
practices, exchange of experts, design and implementation of
studies and so on."

"Further details as to the contents of the MOU will be given at
the time of signing," the energy minister said.

                        *    *    *

As reported in the Troubled Company Reporter on April 17, 2006,
Standard & Poor's Ratings Services placed an mxBB+ long-term
rating with stable outlook on the state of Mexico.




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


* NICARAGUA: Will Publish Approved Geothermal Reform Bill
---------------------------------------------------------
Nicaragua will be publishing an approved geothermal reform bill,
which authorizes geothermal exploration and production in
volcanic zones under environmental impact management plans,
Business News Americas reports.

According to BNamericas, Jorge Dengo -- the executive of
Geotermica de Nicaragua aka Geo-Nica consortium -- will start
exploratory work once the bill is published.

Mr. Dengo told BNamericas, "We are awaiting the finalization of
various procedures on the part of the Nicaraguan state -- among
others the publication of an approved reform of the geothermal
law -- which are prerequisites for beginning our activities."

BNamericas relates that Geo-Nica signed in April a two-year
exploration contract with INE, Nicaragua's energy regulator, for
the Chiltepe and El Hoyo Monte Galan geothermal blocks.

The agreement allows the company to conduct in one year a
surface exploration of the blocks, and another of deep drilling.  
The exploratory phase, which would determine geothermal
potential of up to 200 megawatts, would require US$15 million,
Mr. Dengo told BNamericas.

                        *    *    *

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: Banana Purchases from Growers Returns to Normal
----------------------------------------------------------------
Chiquita Brands International Inc. decided to normalize its
banana purchases from growers in Bocas del Toro, Fresh Plaza
reports.

As reported in the Troubled Company Reporter-Latin America on
Sept. 13, 2006, Demtrio Jimenez -- the director of Bocas del
Toro Grower Cooperative or Coobana -- said that the growers'
losses were over US$135 thousand in July 2006, a situation that
caused a financial crisis.  Chiquita Brands reduced its banana
purchases to growers by 30%, saying it was due to saturation of
the European market.  Chiquita Brands had reduced purchases
three times in less than a month.  The first reduction of
purchases was also blamed on saturation in the European market.  

Fresh Plaza relates that the cooperative Coobana has significant
loans, making the financial position of the cooperative
unstable.

The total financing debts were over US$2 million, Mr. Jimenez
told Fresh Plaza.  

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: Reports Interim Prices for Third Quarter 2006
--------------------------------------------------------------
Chiquita Brands International, Inc., disclosed information on
Chiquita banana and Fresh Express retail value-added salad
prices and volumes for July and Aug. 2006 in each of its
principal markets.

                   Core European Markets

In the European Union, Switzerland, Norway and Iceland,
Chiquita's average banana prices declined 17 percent on a local
currency basis (down 12 percent on a U.S. dollar basis) in the
first two months of the 2006 third quarter, compared to the same
period a year ago.  The lower average European prices in July-
Aug. 2006 period reflect unseasonably warm weather in many parts
of Europe, which depressed consumer demand, as well as the
impact of regulatory changes in the market that have resulted in
an increase in market competitors at the low end of the price
spectrum.

In Jan. 2006, the European Commission implemented a new
regulation for the importation of bananas into the European
Union.  It imposes a tariff rate of EUR176 per metric ton
(EUR3.19 per box) on bananas imported from Latin America, up
from EUR75 per metric ton (EUR1.36 per box) under the former
regime, and eliminates the quota that had previously applied to
Latin American banana imports.

The volume of bananas the company sold in its core European
markets rose 11 percent overall in the July-Aug. 2006 period.  
The company continued its strategic focus on maximizing sales of
premium-quality fruit, selling 12 percent more premium Chiquita-
label bananas, while the volume of second-label fruit was
essentially flat year-over-year.

                       Trading Markets

In July-Aug. 2006, banana volume sold in the company's trading
markets, comprised of European and Mediterranean countries that
do not belong to the European Union, rose to approximately 3.6
million boxes versus 0.9 million boxes in the year-ago two-month
period as the company sold significant amounts of excess banana
supply from Central American producers into these markets at
average banana prices that were 21 percent lower year-over-year.

                         North America

Average banana prices in the United States and Canada rose 10%
in the first two months of the 2006 third quarter versus the
same period last year.  The increase primarily reflects
successful negotiations of customer contracts at higher pricing
levels as well as the impact of the company's surcharge policy
initiated in the fourth quarter 2005, which is linked to the
average market price of marine bunker fuel.

Banana volume sold in the region was essentially flat, down 1%
year-over-year in the two-month period, as the company recovered
from weather- related disruptions that had impacted banana
supply since late 2005.

               Asia Pacific and the Middle East

Banana prices in this region fell 11 percent on a U.S. dollar
basis in July-Aug. 2006, compared to a year ago.  The volume of
bananas the company sold in Asia Pacific and the Middle East
rose 20 percent year-over-year in the two-month period, due
primarily to growth in markets outside of Japan.

               Fresh Express Value-Added Salads

In the company's Fresh Express retail value-added salads
business, volume rose 17 percent in the two-month period, as
distribution gains and new product introductions, including the
launch of a new line of salad blends, continued to drive strong
year-over-year growth. Net revenue per case rose 2% compared to
the year-ago period.


                  Year-over-Year Percentage Change (1)
                 July-Aug. 2006 vs. July-Aug. 2005

                         Chiquita Bananas

                                    Pricing         Volume
Core European Markets (2)
U.S. dollar basis (3)                -12%            +11%
Local currency                       -17%

North America                         +10%             -1%
Asia Pacific and the Middle East (5)
U.S. dollar basis (4)                 -11%            +20%



               Fresh Express Retail Value-Added Salads

                                   Net Revenue
                                   Per Case          Volume

North America                          +2%              +17%


                    About Chiquita Brands

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: Says Banana Prices in Europe Dropped 17%
---------------------------------------------------------
Chiquita Brands International Inc. told Reuters that its average
banana prices in Europe decreased 17% on a local currency basis
in the first two months of the third quarter of 2006.

As reported in the Troubled Company Reporter-Latin America on
Aug. 25, 2006, Bocas del Toro banana growers gave Chiquita
Brands until Aug. 31 to modify purchasing contracts for bananas.  
As previously reported, Chiquita Brands decreased its banana
purchases to growers for the third time by another 30%, saying
it was due to saturation of the European market.  Chiquita
Brands' decision had caused losses on the banana growers, who
threatened to strike unless the firm would free the contract of
exclusivity and allow the sale of bananas to other traders.  The
growers were also suing Chiquita Brands for monopoly.

Regulatory changes in the market resulted in an increase in
competitors at low end of price spectrum, Reuters says, citing
Chiquita Brands.

Average banana prices in the United States and Canada increased
10% this year, compared with 2005, with the increase primarily
reflecting client contracts at higher pricing levels and
Chiquita Brands' surcharge policy, which is connected to the
average market price of marine bunker fuel, Reuters relates.

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.




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


* PARAGUAY: Central Bank Issues New Law to Tighten Credit Rules
---------------------------------------------------------------
The Paraguayan central bank has will implement the Resolution 8
regulation on January 2007 to tighten credit rules for clinets
and financial institutions to comply with the Basel II capital
framework requirements, Business News Americas reports.

Enrique Bendana -- the head of Adefi, the financial companies'
association -- told BNamericas that the regulation will make it
more difficult for small agriculture borrowers to access loans.

BNamericas relates that Mr. Bendana said that while loan growth
has been fueled over the last few months by large and smaller
agriculture borrowers, the latter might see the worse damage as
credit access will be restricted due to tighter debtor
classification.  The small agriculture borrowers are likely to
turn to the informal sector for funding.

The report says that Paraguay's 13 banks increased gross lending
8.3% to PGY9.03 trillion in July 2006, compared with the same
time in 2005.  Meanwhile, agriculture loans rose 24.7% to
PGY1.93 trillion.

Mr. Bendana told BNamericas that Adefi is seeking to move the
date for the implementation of Resolution 8 by one year to give
financial institutions more time to adapt.

The central bank will go ahead with the new regulation despite
its lack of a quorum, BNamericas states, citing Mr. Bendana.  
Since late 2005 all but one of its directors resigned due to an
ongoing financial scandal.

                        *    *    *

Moody's assigned these ratings on Paraguay:

     -- CC LT Foreign Bank Deposit, Caa2
     -- CC LT Foreign Curr Debt, Caa1
     -- CC ST Foreign Bank Deposit, NP
     -- CC ST Foreign Currency Debt, NP
     -- LC Currency Issuer Rating, Caa1
     -- FC Curr Issuer Rating, Caa1
     -- Local Currency LT Debt, WR

                        *    *    *

Standard & Poor's assigned these ratings on Paraguay:

     -- Foreign Currency LT Debt B-
     -- Local Currency LT Debt   B-
     -- Foreign Currency ST Debt C
     -- Local Currency ST Debt   C




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


CLOROX COMPANY: Equity Deficit Narrows to US$156 Mil. at June 30
----------------------------------------------------------------
The Clorox Company filed its financial results for the fiscal
year ended June 30, 2006, on Form 10-K, with the US Securities
and Exchange Commission on Aug. 25, 2006.

Net sales in fiscal year 2006 increased 6% to US$4.6 billion
compared to US$4.4 billion in the prior period.  Volume
increased at a rate of 1% as price increases impacted shipments.  
Contributing to the volume growth in the current year was the
introduction of several new products and product improvements,
and strong shipments of home-care products within Latin America.

Net earnings were US$444 million for the fiscal year 2006 versus
US$1.1 billion in the previous fiscal year.

Gross profit increased 3% to US$1.96 billion in fiscal year 2006
from US$1.9 billion in fiscal year 2005, and decreased as a
percentage of net sales to 42.2% in fiscal year 2006 from 43.2%
in fiscal year 2005.

Return on Invested Capital decreased approximately 60 basis
points to 13.3% during fiscal year 2006 due to lower adjusted
operating profit and higher invested capital.  Adjusted
operating profit includes US$36 million of pretax incremental
costs related to historical stock option compensation expense
and the former chairman and chief executive officer's health-
related retirement, which lowered ROIC by 60 basis points.  
Invested capital increased due to an increase in other assets as
a result of the company recording a net pension asset at June
30, 2006, compared to a net pension liability at June 30, 2005,
for its domestic plan.  Cash and cash equivalents for the fiscal
year ended June 30, 2006 decreased to US$192 million from US$293
million in the prior fiscal year.

At June 30, 2006, Clorox's balance sheet showed total assets of
US$3,616 million and total liabilities of US$3,772 million
resulting in a stockholders' deficit of US$156 million.  The
company reported a stockholders' deficit of US$553 million at
June 30, 2005.

A full-text copy of the company's management's discussion and
results of operations may be viewed at no charge at
http://ResearchArchives.com/t/s?1099

                      About Clorox Co.

Headquartered in Oakland, California, The Clorox Company --
http://www.thecloroxcompany.com/-- provides household cleaning  
products and reaches beyond bleach.  Although best known for
bleach (leader worldwide), Clorox makes laundry and cleaning
items (Formula 409, Pine-Sol, Tilex), cat litter (Fresh Step),
car care products (Armor All, STP), the Brita water-filtration
system (in North America), and charcoal briquettes (Kingsford).

In Latin America, Clorox has manufacturing facilities in Costa
Rica, Dominican Republic, Panama, Peru and Colombia, among
others.


CLOROX CO: Appoints Don Knauss as Chairman & CEO
------------------------------------------------
Donald R. Knauss has been named chairman and chief executive
officer of The Clorox Company, effective Oct. 2006.

Mr. Knauss, 55, is currently president and chief operating
officer for Coca-Cola North America.  He succeeds Robert W.
Matschullat, 58, who has served as Clorox's interim chairman and
interim CEO since March 2006, when Gerald E. Johnston stepped
down from those positions due to illness.

"Don has a depth of experience in the consumer products
industry, and he is perfectly suited for Clorox in our drive to
grow our business," said Mr. Matschullat.  "Throughout his
career, he has established himself as a change agent.  
Businesses have grown and flourished under his leadership, and
he achieves results in a way that engages and brings the entire
organization along with him. Don knows how to lead customer- and
consumer-focused organizations.  He has a great, no-nonsense
style that's well suited to the Clorox culture."

As president and COO for the US$7 billion Coca-Cola North
America division since 2004, Mr. Knauss was responsible for
marketing, supply-chain operations, brand and new-product
development and sales.  During his tenure, he significantly
increased the quantity and quality of marketing, helped
revitalize the innovation pipeline across beverage categories
and made diversity a business imperative.  He came to Coke's
North America division from Minute Maid North America, where he
was president and CEO for three years.

"It's an honor to take the helm at Clorox," Mr. Knauss said of
his appointment.  "Clorox has a legacy of strong leading brands,
great marketing and smart, passionate people.  The organization
has done an extraordinary job building operational excellence.  
It has established seamless business processes and truly
understands consumers, qualities that have been demonstrated by
its innovation and brand-building record.  Clorox is strongly
positioned to grow, which I find very exciting.  It is also very
important to me that Clorox has a corporate culture of driving
results while respecting others.  It's a culture steeped in core
values with a deep commitment to community involvement.  I'm
proud to be joining a company of people that have always placed
the highest importance on acting with integrity in all they do."

Mr. Knauss started his career at Coca-Cola in 1994 as senior
vice president of marketing for Minute Maid.  In 1996, he was
promoted to senior vice president and general manager for Minute
Maid's U.S. retail operations.  He next served as president for
Coca-Cola in Southern Africa.  Prior to joining Coca-Cola, Mr.
Knauss held various positions in marketing and sales with
PepsiCo, Inc. and Procter & Gamble.  Prior to launching his
business career, Mr. Knauss served as an officer in the United
States Marine Corps.

In March 2006, Mr. Matschullat, then presiding director of the
board of directors, was appointed interim chairman and interim
CEO of Clorox after Gerald E. Johnston suffered a heart attack
and subsequently retired from his positions.  Mr. Matschullat
will return to serve on the company's board of directors.

                     About The Clorox Co.

Headquartered in Oakland, California, The Clorox Company --
http://www.thecloroxcompany.com/-- provides household cleaning  
products and reaches beyond bleach.  Although best known for
bleach (leader worldwide), Clorox makes laundry and cleaning
items (Formula 409, Pine-Sol, Tilex), cat litter (Fresh Step),
car care products (Armor All, STP), the Brita water-filtration
system (in North America), and charcoal briquettes (Kingsford).

In Latin America, Clorox has manufacturing facilities in Costa
Rica, Dominican Republic, Panama, Peru and Colombia, among
others.

At June 30, 2006, Clorox's balance sheet showed total assets of
US$3,616 million and total liabilities of US$3,772 million
resulting in a stockholders' deficit of US$156 million.  The
company reported a stockholders' deficit of US$553 million at
June 30, 2005.


* PERU: Bolivia Proposes LPG Plant Installation on Border
---------------------------------------------------------
Franz Solano, Bolivia's ambassador to Peru, proposed the setting
up of a liquefied petroleum gas or LPG plant on the border
between Bolivia and Peru to prevent smuggling, according to a
report by El Deber.

El Deber says that a 10-kilogram container of LPG is worth
BOB22.5, while in Peru it would sell for BOB70.

Ambassador Solano told El Deber, "Installing a distribution
plant on the Bolivian border to supply the Peruvian market and
support Bolivia's altiplano interests us."

El Deber notes that the difference between domestic and
international prices of LPG and other fuels resulted to
widespread smuggling, which caused shortages.

According to Business News Americas, the Bolivian government
said that it will disclose a national plan to prevent shortages
by the end of the Sept..

David Coquehuanca, Bolivia's chancellor, will meet with his
Peruvian counterpart in the first week of Oct. to talk on fuel
smuggling and other issues, BNamericas states.

                        *    *    *

Fitch Ratings assigned these ratings on Peru:

                     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




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


CLEARCOMM: June 30 Partnership Deficit Widens to US$69.6 Million
----------------------------------------------------------------
ClearComm, L.P., filed its financial statements for the second
quarter ended June 30, 2006, with the US Securities and Exchange
Commission.

The Partnership's revenues for the three-month period ended
June 30, 2006, decreased by 23% from US$23,856,592 in 2005 to
US$18,298,519.

Total revenues include service as well as handset and
accessories revenues.  Service revenues for the three-month
period ended

June 30, 2006, decreased by 26% when compared with the same
period in 2005 while handset and accessories sales increased by
29%.  The increase in handsets and accessories revenues is
mainly due to the shift from the handset subsidy policy in which
a customer is now required to purchase the handset at
competitive prices under the new available plans.  The decrease
in service revenues is related to tighter credit policies and a
reduction in the Partnership's customer base during the second
quarter of 2006.

The Partnership reported a US$7,063,635 net loss for the second
quarter ended June 30, 2006, compared with US$4,315,344 for the
same period in 2005.

At June 30, 2006, the Partnership's balance sheet showed
US$127,810,737 in total assets and US$197,476,188 in total
liabilities, resulting in a US$69,665,451 partnership deficit.  
At Dec. 31, 2005, the Company had a US$56,643,220 deficit.

Full-text copies of the Partnership's second quarter financials
are available for free at http://ResearchArchives.com/t/s?1187

                     Going Concern Doubt

As reported in the Troubled Company Reporter on May 12, 2006,
Kevane Soto Pasarell Grant Thornton LLP in San Juan, Puerto
Rico, raised substantial doubt about ClearComm, L.P.'s ability
to continue as a going concern after auditing the Partnership's
consolidated financial statements for the years ended
Dec. 31, 2005, 2004, and 2003.  The auditor pointed to the
Company's recurring operating losses, working capital and
partners' capital deficiencies, and need for additional
financing.

                      About ClearComm

ClearComm, L.P., acquires, owns, consults, and operates
broadband personal communication service licenses in the Block C
band and takes advantage of the benefits that the Federal
Communications Commission has set aside for Entrepreneurs.  The
Partnership is the controlling entity of NewComm, which in turn
owns and operates two 15 MHz PCS licenses covering Puerto Rico.  
On Nov. 30, 2005, the Limited Partnership Agreement was amended
to extend its termination date to Dec. 31, 2010.  SuperTel
Communications Corp., its General Partner, manages ClearComm.


KMART: US Court Denies Request to Stay Discovery on Eagle Claims
----------------------------------------------------------------
For reasons stated in open court, the Honorable Susan Pierson
Sonderby of the U.S. Bankruptcy Court for the Northern District
of Illinois denied without prejudice Kmart Corp.'s request to
stay discovery relating to Eagle Janitorial Services Inc.'s
invoices and claims against the Debtor's stores in California.

The Troubled Company Reporter on Aug. 24, 2006 relates that
Kmart sought summary judgment from the Court to disallow:

    (i) Eagle Janitorial's claim for services performed in
        California; and

   (ii) any claim for interest, other charges, or not otherwise
        supported with documentation.

On July 29, 2002, Eagle Janitorial filed Claim No. 36815
asserting US$329,452 for janitorial services provided to Kmart
stores located in four states.

The Claim is based on 201 invoices, of which 193 are for
services provided to Kmart stores in California.  The invoices
show charges totaling US$214,075, which is US$115,377 less than
the face amount of Claim No. 36815.

Of the Total Invoice Amount, US$201,860 is for services rendered
to Kmart stores in California.

Kmart objected to Eagle's claim asserting that the claim lacked
sufficient documentation based on Kmart's books and records.

In response, Eagle contended that its entire claim is valid
based on California's limitation of action statutes and
applicable California case law, which provide that Eagle's
entire Claim is subject to a four-year statute of limitation
that begins to run on the last date of service or payment by
Kmart of the account.

Eagle also contended that it was unable to state what Kmart's
records might show because Kmart has refused to respond
to Eagle's discovery requests and that the non-existence of
documents in Kmart's books and records is far from
conclusive that Kmart is not liable for Eagle's Claim.

                      About Kmart Corp.

Headquartered in Troy, Michigan, Kmart Corp. nka KMART
Holding Corp. -- http://www.bluelight.com/-- operates
approximately 2,114 stores, primarily under the Big Kmart or
Kmart Supercenter format, in all 50 United States, Puerto Rico,
the U.S. Virgin Islands and Guam.  The Company filed for chapter
11 protection on Jan. 22, 2002 (Bankr. N.D. Ill. Case No.
02-02474).  Kmart emerged from chapter 11 protection on May 6,
2003.  John Wm. "Jack" Butler, Jr., Esq., at Skadden, Arps,
Slate, Meagher & Flom, LLP, represented the retailer in its
restructuring efforts.  The Company's balance sheet showed
US$16,287,000,000 in assets and US$10,348,000,000 in debts when
it sought chapter 11 protection.  Kmart bought Sears, Roebuck &
Co., for US$11 billion to create the third-largest U.S.
retailer, behind Wal-Mart and Target, and generate US$55 billion
in annual revenues.  The waiting period under the Hart-Scott-
Rodino Antitrust Improvements Act expired on Jan. 27, without
complaint by the Department of Justice.  (Kmart Bankruptcy News,
Issue No. 116; Bankruptcy Creditors' Service Inc.
http://bankrupt.com/newsstand/or 215/945-7000)


KMART CORP: Striking Penn. Workers Negotiate for Better Contract
----------------------------------------------------------------
On Aug. 30, 2006, about 400 members of the United Auto Workers
Union Local 8275 in Kmart Corp.'s distribution center in Falls,
Pennsylvania, went on strike after their three-year contract
with Kmart expired, Winslow Mason, Jr., of Bucks County Courier
Times reports.

The paper says formal negotiation, which began on
Sept. 4, 2006, is ongoing between Kmart's officials and union
representatives.

UAW Spokeswoman Patty Hentz told the paper that the workers
rejected a contract that would have required them to pay the
full cost of their health insurance.

Among other things, the striking Kmart workers demand:

    * a cost-of-living wage increase;

    * a freeze that would prevent Kmart from changing health
      benefits coverage during the length of the contract; and

    * Kmart to do away with a quota system that requires workers
      to load or unload a set amount of packages per day or risk
      losing their jobs.

The union wants all workers to qualify for the same top pay
scale, Mr. Mason reports.

                      About Kmart Corp.

Headquartered in Troy, Michigan, Kmart Corp. nka KMART
Holding Corp. -- http://www.bluelight.com/-- operates
approximately 2,114 stores, primarily under the Big Kmart or
Kmart Supercenter format, in all 50 United States, Puerto Rico,
the U.S. Virgin Islands and Guam.  The Company filed for chapter
11 protection on Jan. 22, 2002 (Bankr. N.D. Ill. Case No.
02-02474).  Kmart emerged from chapter 11 protection on May 6,
2003.  John Wm. "Jack" Butler, Jr., Esq., at Skadden, Arps,
Slate, Meagher & Flom, LLP, represented the retailer in its
restructuring efforts.  The Company's balance sheet showed
US$16,287,000,000 in assets and US$10,348,000,000 in debts when
it sought chapter 11 protection.  Kmart bought Sears, Roebuck &
Co., for US$11 billion to create the third-largest U.S.
retailer, behind Wal-Mart and Target, and generate US$55 billion
in annual revenues.  The waiting period under the Hart-Scott-
Rodino Antitrust Improvements Act expired on Jan. 27, without
complaint by the Department of Justice.  (Kmart Bankruptcy News,
Issue No. 116; Bankruptcy Creditors' Service Inc.
http://bankrupt.com/newsstand/or 215/945-7000)


SEARS HOLDINGS: Board OKs US$500 Mil. More in Share Buy Back
-------------------------------------------------------------
Sears Holdings Corp.'s Board of Directors has approved the
repurchase of up to an additional US$500 million of the
Company's common shares.  This authorization is in addition to
the US$118 million worth of shares that remain available for
repurchase under the US$1.5 billion share repurchase program
previously announced.  Since initiating that program in
Sept. 2005, Sears Holdings has purchased approximately 11.0
million of the Company's common shares at an average cost per
share of US$126.14.

Sears Holdings had approximately 154.0 million shares
outstanding on Aug. 29, 2006.

The shares are expected to be purchased in the open market or in
privately negotiated transactions.  Timing will be dependent on
prevailing market conditions, alternative uses of capital and
other factors.

                  About Sears Holdings Corp.

Hoffman Estates, Illinois-based Sears Holdings Corp.
(NASDAQ: SHLD) -- http://www.searsholdings.com/-- is the  
nation's third largest broadline retailer, with approximately
US$55 billion in annual revenues, and with approximately 3,800
full-line and specialty retail stores in the United States,
Canada and Puerto Rico.  Sears Holdings is a home appliance
retailer as well as a retailer of tools, lawn and garden, home
electronics, and automotive repair and maintenance.  Key
proprietary brands include Kenmore, Craftsman and DieHard, and a
broad apparel offering, including well-known labels as Lands'
End, Jaclyn Smith, and Joe Boxer, as well as the Apostrophe and
Covington brands.  

                        *    *    *

As reported in the Troubled Company Reporter on June 23, 2006,
Standard & Poor's Ratings Services revised its outlook on Sears
Holdings Corp. to stable from negative.  All ratings, including
the 'BB+' corporate credit rating, and the 'B-1' short-term
rating for Sears Roebuck Acceptance Corp., are affirmed.

As reported in the Troubled Company Reporter on Jun 22, 2006,
Fitch affirms its ratings of Sears Holdings Corp. including its
Issuer Default Rating (IDR) at 'BB'; Senior notes at 'BB'; and
Secured bank facility at 'BBB-'.




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


BRITISH WEST: They Want to Get Rid of Us, Unions Say
----------------------------------------------------
Union leaders told the Trinidad & Tobago Express that the
closure of British West Indies Airlines aka BWIA is a strategy
to abolish the trade unions.

As reported in the Troubled Company Reporter-Latin America on
Sept. 12, 2006, the government of Trinidad & Tobago approved a
substantial capital injection for the creation of Caribbean
Airlines, a new regional airline that would take the place of
BWIA.  The government owns 97.188% of BWIA, which will be closed
down after 66 years of service.

The government and the BWIA management decided to close the
airline to get rid of the unions so they can offer employees
sub-standard packages, The Express says, citing Curtis John, the
head of the Aviation, Communication and Allied Workers' Union.

Mr. John told The Express, "The things that touched me most, all
contracts that union has with BWIA, all retirees and their
benefits, everything is now terminated."

The Express underscores that Mr. John said BWIA workers will now
have to apply like everyone else to be able to work in the new
entity.  

Mr. John told The Express, "Workers in the new airline will now
have no negotiated terms and conditions what they will now have
is that the management of the new company will put forth terms
and conditions for them, it is sad to see that.  If this really
materializes, a lot of trade unions in this country will have
some problems because that will be one of the ways employers
will attempt to get rid of trade unions."

"They have wasted people's time and pretended to bargain, they
were never interested in having a collective agreement with the
workers.  We have gone through the offering of VSEP with a
number of companies; it is nothing new.  There will be no
seamless transition though. If one airline is to be closed on
Dec. 31 and another starts operations on Jan. 7, that is not a
seamless transition.  In the real world an airline cannot not
fly for seven days. There is a lot that they are not telling
us," Clyde Weatherhead -- a representative of the Communication,
Transport and General Workers' Union told The Express.
  
BWIA was founded in 1940, and for more than 60 years has been
serving the Caribbean islands from Trinidad and Tobago, the hub
of the Americas, linking the twin island republic and many other
Caribbean islands with North America, South America, the United
Kingdom and Europe.

The airline has reportedly been losing US$1 million a week due
to poor operational management.  An employee survey revealed
that lack of responsibility by the management is a major issue
in the company.  A number of key employees moved to other
companies caused by a deadlock in the airline's negotiation with
its labor union.


BRITISH WEST: Curtis John Says Firm Should Not Blame Unions
-----------------------------------------------------------
Curtis John -- the head of the Aviation, Communication and
Allied Workers Union -- told the Trinidad & Tobago Express that
unions should not be blamed for the shutting down of British
West Indies Airways aka BWIA.

As reported in the Troubled Company Reporter-Latin America on
Sept. 12, 2006, the government of Trinidad & Tobago approved a
substantial capital injection for the creation of Caribbean
Airlines, a new regional airline that would take the place of
BWIA.  The government owns 97.188% of BWIA, which will be closed
down after 66 years of service.

The Express relates that Peter Davies -- the chief executive
officer of BWIA -- claimed that the airline had to be closed due
to failed talks between the management and the four workers'
unions.

However, Mr. John told The Express that it has always been the
intention of the government of Trinidad & Tobago to close down
BWIA.

"Peter Davies is a latecomer in the decision-making of BWIA.  So
he does not know what existed before him to be making a
statement like that.  BWIA was scheduled to be shut down on
Dec. 31, 2005.  After the Government made such statements in the
budget speech, company chairman Arthur Lok Jack told us (the
unions) that Bwee is bankrupt and that Bwee would be closed on
Dec. 31," The Express says, citing Mr. John.

The Express underscores that Mr. John stated the closure of BWIA
was not a new decision that Mr. Davies made.  He said that the
airline's closure "has always been in the pipeline" and that
Davies "came and met that decision".

Mr. John told The Express, "There are many things that have
contributed to the shutting down of BWIA.  How because we did
not sign a collective agreement with the company, caused BWIA to
shut down?  The unions have not done anything wrong.  We have
not stopped work or anything like that.  The only reason they
are blaming the union is because we did not want to sign a
collective agreement to give up the rights of the union."

"If the more expensive option, the closing down BWIA and
establishment of a new entity, they are pursuing how come it was
not feasible to simply increase wages?" Clyde Weatherhead --
representative of the Communications, Transport and General
Workers Trade Union -- told The Express.

BWIA was founded in 1940, and for more than 60 years has been
serving the Caribbean islands from Trinidad and Tobago, the hub
of the Americas, linking the twin island republic and many other
Caribbean islands with North America, South America, the United
Kingdom and Europe.

The airline has reportedly been losing US$1 million a week due
to poor operational management.  An employee survey revealed
that lack of responsibility by the management is a major issue
in the company.  A number of key employees moved to other
companies caused by a deadlock in the airline's negotiation with
its labor union.


BRITISH WEST: Launches Talks with Union on Voluntary Separation
---------------------------------------------------------------
The management of British West Indies Airlines aka BWIA set a
meeting for Sept. 12 with the Aviation Communications and Allied
Workers Union or ACAWU to start negotiations for the Voluntary
Separation from Employment Package or VESP for airline workers,
Newsday reports.

Curtis John, the head of ACAWU, told Newsday that the meeting
would be held at Sunjet House in Port-of-Spain at 9:30 a.m.  he
said he would be prepared to negotiate for the entire day if
necessary to achieve a result.

However, BWIA is putting a tight schedule on the negotiations to
conclude the talks with all unions by Sept. 14, Newsday says,
citing Mr. John.  He alleged this was being done so that the
negotiations would fail and the firm could justify why VSEP
should not be paid to the workers.  

BWIA officials told Newsday that the firm is continuing to meet
all commitments regarding services.   They said no reports were
received of anyone having difficulty with the services.  

Newsday underscores that the San Juan Business Association
stated that while it was saddened by BWIA's shutdown, it was
hopeful that Caribbean Airlines would bring in a new dawn for
regional aviation.  BWIA has not been immune to the volatility
of the global aviation industry and it had been recommending to
the government in its budget proposals since 2004 that BWIA be
closed for a number of reasons.  

The management of airlines must remain flexible, progressive and
ready to adapt in this day and age, Newsday says, citing San
Juan.

The TT Chamber of Industry and Commerce told Newsday that it
sees the closure of BWIA and the launch of Caribbean Airlines
with cautious optimism.

Ian Welch, the president of the TT Chamber, was believed that
Caribbean Airlines would further result in the successful
opening of new routes to promote business in the Caribbean,
Newsday states.

BWIA was founded in 1940, and for more than 60 years has been
serving the Caribbean islands from Trinidad and Tobago, the hub
of the Americas, linking the twin island republic and many other
Caribbean islands with North America, South America, the United
Kingdom and Europe.

The airline has reportedly been losing US$1 million a week due
to poor operational management.  An employee survey revealed
that lack of responsibility by the management is a major issue
in the company.  A number of key employees moved to other
companies caused by a deadlock in the airline's negotiation with
its labor union.


DIGICEL LTD: Secures License to Operate in Papua New Guinea
-----------------------------------------------------------
Digicel Pacific Ltd., continues its expansion in the region with
the announcement that it has been awarded a license to operate a
GSM network in Papua New Guinea.

With a population of 5.9 million people and mobile penetration
at just 1%, Digicel is committed to delivering a world-class
network to Papua New Guinea that will transform the market with
accessible and high quality services.  Digicel Papua New Guinea
expects to launch in early 2007.

According to Denis O'Brien, Chairman of Digicel Pacific Ltd.,
"At Digicel we have a strong track of entering new markets where
communications needs are underserved and completely transforming
the market.  We are in 20 markets to date and are excited about
entering the underserved Papua New Guinea market.  We look
forward to creating a substantial business in Papua New Guinea,
creating employment and allowing more people here to harness the
benefits of mobile telecommunications in their day-to-day lives.

Vanessa Slowey has been appointed as CEO of Digicel Pacific
Ltd., bringing to the position key management experience from
the roll out of Digicel operations in the Caribbean islands of
Anguilla, Barbados, Cayman Islands, Trinidad and Tobago and
Haiti.

"This is an exciting new development in the growth of Digicel in
the South Pacific region. Our aim is to place the entire Pan-
South Pacific region at the cutting edge of wireless technology
by delivering superior technology and being passionate about
providing the best mobile phone service to customers," added Mr.
O' Brien.

Digicel is committed to building a seamless Pan South Pacific
GSM network and to date has been awarded a GSM license from the
Government of Samoa and granted a license in principal from the
government of Fiji in April 2006.  Digicel is also title sponsor
of the Fijian Rugby Sevens.

Digicel Pacific Ltd. is headed by Ms. Vanessa Slowey, who prior
to joining Digicel Pacific, was instrumental in the roll out of
Digicel operations in the Caribbean islands of Anguilla,
Barbados, Cayman Islands, Trinidad & Tobago and Haiti.

"March 2007 will be the start of an exciting new era in
telecommunications in PNG with competing mobile networks
bringing improved services at cheaper prices to far more people
in Papua New Guinea than have previously had access to mobile
phone services," said Commissioner and CEO of the Independent
Consumer and Competition Concession of PNG Mr. Thomas Abe in a
recent release announcing Digicel Pacific's new license.

"Mobile phone services will be available in many areas of Papua
New Guinea where at present there is limited mobile phone
access, and indeed, it will bring mobile phones to a lot of
places which currently have access to no telephone at all," Mr.
Abe added.

Digicel Limited is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien.  The
company started operations in Jamaica in April 2001 and now
offers GSM mobile services in 13 countries of the Caribbean
including Jamaica, St. Lucia, St. Vincent, Aruba, Grenada,
Barbados, Cayman, and Curacao among others.  Digicel finished
FY2005 with 1.722 million total subscribers -- 97% pre-paid --
estimated market share of 67% and revenues and EBITDA of US$478
million and US$155 million, respectively.

                        *    *    *

On July 12, 2006, Moody's Investors Service assigned a B3 senior
unsecured rating to the US$150 million add-on Notes offering of
Digicel Limited and affirmed Digicel's existing B3 senior
unsecured and B1 Corporate Family Ratings.  The outlook has been
changed to stable from positive.

Fitch Ratings assigned on July 14, 2006, a 'B' rating to Digicel
Limited's proposed add-on offering of US$150 million 9.25%
senior notes due 2012.  These notes are an extension of the
US$300 million notes issued in July 2005.  In addition, Fitch
also affirms Digicel's foreign currency Issuer Default Rating
and the existing US$300 million senior notes due 2012 at 'B'.
Fitch said the Rating Outlook is Stable.



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


ADMINISTRACION NACIONAL: Moody's Reviews Ratings & May Upgrade
--------------------------------------------------------------
Moody's Investors Service has placed on review for possible
upgrade the B1 foreign currency issuer rating and Ba2 global
local currency rating of Administracion Nacional de
Combustibles, Alcohol y Portland aka ANCAP following Moody's
earlier announcement that it had placed the B1 long-term foreign
currency ceiling for Uruguay and the B3 local currency rating of
the Uruguayan government on review for possible upgrade.

The ratings of ANCAP reflect the application of Moody's rating
methodology for government-related issuers.  In accordance with
Moody's GRI rating methodology, ANCAP's Ba2 global local
currency rating reflects the combination of these inputs:

   -- baseline credit assessment of 14 (mapping to a B1);
   -- the B3 local currency rating of the Uruguayan government;
   -- low dependence; and
   -- high government support.

ANCAP's B1 foreign currency issuer rating reflects both the
company's Ba2 global local currency rating and the degree of
sovereign interference anticipated in times of stress.

ANCAP is Uruguay's state-owned oil, alcohol and cement company.  
It is headquartered in Montevideo, Uruguay.


* URUGUAY: Moody's Reviews B1 Country Ceiling for Likely Upgrade
----------------------------------------------------------------
Moody's Investors Service has placed on review for possible
upgrade Uruguay's key ratings in order to determine the extent
to which improved growth prospects, a robust export performance,
and a strengthened fiscal position will support a continued
reduction in government and external debt indicators.

The review will cover Uruguay's B1 foreign currency country
ceiling and the government's B3 foreign- and local-currency bond
ratings.  The country ceiling is based on the government bond
ratings and Moody's assessment of a low risk of a payments
moratorium in the case of a government default.

Additionally, the country's Caa1 ceiling for foreign currency
bank deposits will be also under review.  The Baa2 local
currency deposit ceiling and the A3 local currency guideline --
the highest possible rating that could be assigned to obligors
and obligations denominated in local currency within the country
-- will not come under review.

"To date, Uruguay's fiscal picture incorporates declining
government deficits and increasing primary surpluses," said
Moody's Vice President Mauro Leos.  "Steady improvement in the
fiscal accounts has led to a gradual reduction in the
government's deficit which, if preserved, could further reduce
government debt ratios in the coming years."

Mr. Leos said Moody's would evaluate the financial impact that
future liability management operations could have on Uruguay's
external debt profile, and its potential impact in terms of
reduced financing risks.

"We will examine the government's fiscal strategy as presented
in the multi-year budget that was approved by Congress in Dec.
in order to determine its medium-term credit implications," said
Mr. Leos.

Mr. Leos noted that government and external debt ratios remain
above those in Uruguay's peer group and that the review will
explore the possibility that Uruguay's credit indicators could
come closer in line with those reported by similarly rated
countries in the coming years.

The review will also assess the significance of credit
vulnerabilities derived from the presence of a relatively large
share of foreign currency-denominated government debt represents
and the fact that the financial system is highly dollarized.

"Crucial in this respect will be to determine the ability of the
authorities to manage the potentially adverse credit
consequences of exchange rate fluctuations in the coming years,"
said Mr. Leos.


* URUGUAY: Water State Firm Acquires 60% of Aguas de la Costa
-------------------------------------------------------------
Obras Sanitarias del Estado aka OSE, the state-run water firm of
Uruguay, said in a press release that it has carried out the
US$3.4 million transaction to acquire 60% of water utility Aguas
de la Costa, which was previously held by Spanish group Aguas de
Barcelona aka Agbar.

Business News Americas relates that Agbar decided to withdraw
from Aguas de la Costa after nine years of operations in Uruguay
and two years after changes to regulations aimed at
renationalizing all privatized waste and sanitation services.

The lower chamber of the Uruguayan congress approved in July the
bill outlining the transfer of the share in Aguas de la Costa to
OSE, according to BNamericas. Under the deal, OSE will pay about
US$1.7 million up front to Agbar.  The remaining US$1.7 million
will be paid in the next 12 months.

BNamericas notes that the charges made by OSE will be reduced
significantly.

"We promised that once we controlled the majority of Aguas de la
Costa, the charges will be the same as in Maldonado," Fernando
Nopitsch, the vice president of OSE, told El Espectador.

                        *    *    *

Fitch Ratings assigned these ratings on Uruguay:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     BB-      Mar. 7, 2005
   Long Term IDR       B+      Dec. 14, 2005
   Short Term IDR      B       Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating      BB-      Mar. 7, 2005




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


PETROLEOS DE VENEZUELA: To Use Hess Oil's Storage Facilities
------------------------------------------------------------
Petroleos de Venezuela S.A. aka PDVSA, through its PDV Caribe
subsidiary, will be using Hess Oil St. Lucia Ltd.'s storage
facilities in St. Lucia to bring about the supply of hydrocarbon
byproducts, within the context of the Petrocaribe Energy
Cooperation Agreement.

The agreement was reached after a meeting between Alejandro
Granado, vice-president of PDVSA and president of PDV Caribe,
and John Hess, president of Amerada Hess Corp.

Mr. Granado also met with the Hon. Kenny D. Anthony, Prime
Minister of St. Lucia for the purpose of acquainting him with
the details of the agreement and the setting up of a mixed work
team composed of PDV Caribe and Hess Oil St. Lucia executives
and St. Lucia government officials.

Mr. Granado stated that "with this agreement we are moving
forward towards the materializing of the Petrocaribe initiative
and, therefore, strengthening the energy integration process"
being implemented by the Bolivarian government of Venezuela
through the country's Energy and Petroleum Ministry and PDVSA.

It should be noted that the Venezuela-St. Lucia supply contract
is due to be signed in a few days by the parties involved.  The
Petrocaribe Energy Cooperation agreement, to which the island
nation is a signatory, contemplates the export of 1,700 barrels
per day of refined products.

Hess Oil St. Lucia Limited has a considerable oil storage
infrastructure, with a 14-tank facility having a combined 9
million-barrel capacity for crude and products.  It also owns a
150 foot-deep marine terminal.

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.


* VENEZUELA: S&P Rates Titulo de Interes Fijo Bonds at BB-
----------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' long-term
local currency rating to three Titulos de Interes Fijo or TIF
bonds due between 2018 to 2020 recently issued by the Bolivarian
Republic of Venezuela (BB-/Stable/B sovereign credit ratings).  
The bonds, issued on Sept. 7, 2006, totaled VEB375 billion; each
has a fixed interest rate of 9.875%.

According to Standard & Poor's credit analyst Richard Francis,
local debt has become an increasing part of Venezuela's debt
profile over the last five years, despite the fact that its
local market remains somewhat less developed than those of its
Latin American peers.

"This can be attributed to the fact that Venezuela lacks a
significant private pension fund market and has a history of
local debt defaults, although reform of local debt management
operations has helped streamline the debt management process,"
said Mr. Francis. "Furthermore, the government has successfully
managed to extend average tenor of its local debt, reducing
roll-over risk.  The latest domestic debt issues represent an
important step in the process with the new debt extending out to
fourteen years at fixed rates," he added.

Mr. Francis explained that, with annual inflation running at
close to 15%, local real interest rates are negative. Excess
liquidity in the banking system and capital controls have led to
a captive market in local debt.  However, negative real interest
rates are a disincentive to save.

"The stable outlook reflects the balance between increased
financial flexibility (due to high oil revenue) and the rapid
increase in government expenditure, poor economic policy mix,
and low prospects for private investment that continues to
constrain Venezuela's creditworthiness," noted Mr. Francis.  
"The ratings could come under renewed pressure if oil revenue
plummets or increased social unrest leads to further economic
and/or political turmoil.  Conversely, a combination of greater
fiscal discipline, a continued reduction in the government's
debt burden, and improved prospects for the oil sector through
higher levels of investment could lead to an improvement in
creditworthiness," he concluded.


* IDB Grants US$500,000 to Boost LatAm & Caribbean ICT Projects
---------------------------------------------------------------
The Inter-American Development Bank's Multilateral Investment
Fund and the Institute for the Connectivity in the Americas or
ICA at the International Development Research Center or IDRC
agreed to renew their cooperation in supporting the adoption of
information and communication technology by small and medium-
sized enterprises in Latin America and the Caribbean.

ICA/IDRC will commit up to US$500,000 in grants to fund pilot
and technology transfer projects as well as dissemination
activities to be carried out within MIFs ICT Innovation Program
for e-Business and SME Development -- ICT4BUS in 2007.

The ICT4BUS Program supports pilot and technology transfer
projects of innovative ICT solutions and services to benefit
SMEs in Latin America and the Caribbean.  The program for which
the MIF has earmarked US$10 million over a period of 5 years
will select approximately 20 pilot projects and 8 technology
transfer projects through calls for proposals.

The first call for proposals has been recently announced.  With
the commitment by IDRC/ICA the amount available in grants for
the current call will increase to over US$3 million.  
Approximately 200 non-profit organizations (chambers of
commerce, universities and other non governmental organizations)
in 20 countries in Latin America and the Caribbean have been
declared eligible to submit project ideas for the 2006 call.

The pilot projects should benefit SMEs primarily in the areas of
value chain integration, workplace productivity and efficiency
and market penetration.  Examples of the possible ICT solutions
to be used by the projects include e-commerce and e-business, e-
productivity applications, knowledge management and distribution
systems, and mobile applications.

The ICT4BUS program will help SMEs based in Latin American and
the Caribbean become aware of opportunities arising from the new
global economy.  ICT services and solutions improve the
efficiency of a firm's value chain by providing better and
faster communications among trading partners, integrating
transactions with logistics functions, reducing intermediation
costs, facilitating the search for new markets and allowing
better pricing policies.

The program offers matching grants to finance between 50 and 70
percent of each project, contributing between a minimum of
US$100,000 and a maximum of US$500,000 for a single project.  
The Institute for the Connectivity in the Americas was created
in 2001 to help countries throughout Latin America and the
Caribbean create prosperity, strengthen democracy, and realize
human potential through the use of information and communication
technologies or ICTs.  The Institute through its projects and
initiatives fosters partnerships between governments, civil
society, industry and educational institutions that share an
interest in connectivity issues and the application of ICTs for
development in the Americas.

Canada's International Development Research Centre or IDRC is
one of the world's leading institutions in the generation and
application of new knowledge to meet the challenges of
international development.  For more than 35 years, IDRC has
worked in close collaboration with researchers from the
developing world to build healthier, more equitable, and more
prosperous societies.

The Multilateral Investment Fund, an autonomous fund
administered by the IDB, supports private sector development in
Latin America and the Caribbean, focusing on microenterprise and
small businesses.

The Inter-American Development Bank is the oldest and largest
regional development bank.  It is the main source of
multilateral financing for economic, social and institutional
development projects as well as trade and regional integration
programs in Latin America and the Caribbean.


* PricewaterhouseCoopers Launches U.S. Restructuring Practice
-------------------------------------------------------------
PricewaterhouseCoopers LLP disclosed Tuesday the formal launch
of PricewaterhouseCoopers Corporate Advisory & Restructuring
LLC, a new business providing integrated financial,
transactional and operational services to underperforming and
distressed companies.

PricewaterhouseCoopers LLP also disclosed that senior
restructuring advisor Tom Sperry has joined PwC CAR's leadership
team as U.S. Market Leader.  Peter Spratt will serve as
president of PwC CAR and head of PwC's global restructuring
practice.

PwC CAR's formation marks the natural extension of
PricewaterhouseCoopers' related service offerings and market
leading global restructuring capabilities into the U.S. market.
These services encompass value-enhancing solutions for companies
at various stages of financial pressure.  With its ability to
leverage the global network of PricewaterhouseCoopers and its
extensive range of services and industry-specific capabilities,
PwC CAR addresses the increasing demand for a suite of
financial, transactional and operational services that clients
need to implement the types of changes that lead to a sustained
recovery.

"PwC CAR will bring fresh thinking and a renewed approach to the
corporate turnaround market for the benefit not only of
companies in difficulty, but also for the restructuring business
itself," said Mr. Spratt.

Commenting on the addition of Mr. Sperry, Mr. Spratt said "Tom
brings a wealth of practical experience and creativity to the
corporate restructuring market in the U.S. that will enhance PwC
CAR's broad capabilities in solving problems of companies facing
operational issues and financial difficulties."

"I am thrilled at the opportunity to work with top professionals
in PwC CAR to help lead and grow our U.S. practice," said Mr.
Sperry.  "I am excited about the capabilities PwC CAR has to
preserve and create value for our clients by drawing on our
already deep restructuring expertise as well as the full range
of services that only a major global organization can provide."

A former managing director at UBS Warburg, where he founded and
headed its Restructuring Group, Mr. Sperry most recently started
and ran a restructuring advisory practice for middle market
mergers and acquisitions firm Goldsmith Agio Helms.  Mr. Sperry
has an extensive background in helping underperforming and
insolvent multinational and middle market companies to
restructure billions of dollars in liabilities in the U.S. and
various countries around the world.

Mr. Sperry has worked as an advisor and investment banker for
both public and private companies in many of the largest out-of-
court and Chapter 11 cases.  These include acting as financial
advisor to multinational Ferruzzi/Montedison Group of Italy on a
multi-tiered US$12 billion debt restructuring; advising
Integrated Health Services on its US$3.4 billion Chapter 11 debt
restructuring and break-up; and representing the creditors of
Confederation Life of Canada in the largest ever North American
insurance company failure.

PwC CAR provides integrated financial, transactional and
operational services to underperforming and distressed
companies.  Drawing upon the global network of
PricewaterhouseCoopers member firms, PwC CAR provides a wide
array of services designed to help troubled companies emerge
healthier and drive a sustained recovery.

The PwC CAR team includes experienced advisors drawn from its
restructuring and corporate finance practices throughout the
global network of PricewaterhouseCoopers.  PwC CAR consolidates
the position of PricewaterhouseCoopers as the dominant global
restructuring practice with approximately 2,000 dedicated
professionals from member firms located in over 60 countries.

In combination with the industry resources of PwC, the PwC CAR
team possesses restructuring experience across numerous
industries and senior members of the U.S.-based PwC CAR team
have played significant roles in many high profile domestic and
cross-border restructurings.  Examples include America West
Airlines, Beaulieu of America, P.A. Bergner/Carson Pirie Scott,
ConFederation Life Insurance, Drax Power, El Paso Electric,
Ferruzzi/Montedison Group, Globopar, Global Telesystems, Huffy
Corp., Integrated Health Services, Iridium Satellite, Marconi,
Sylvania, Tower Automotive, TrizecHahn Corp., and Von Roll Corp.

PricewaterhouseCoopers -- http://www.pwc.com/-- provides
industry-focused assurance, tax and advisory services to build
public trust and enhance value for its clients and their
stakeholders.  More than 130,000 people in 148 countries work
collaboratively across our network using Connected Thinking to
develop fresh perspectives and practical advice.

PricewaterhouseCoopers Corporate Advisory & Restructuring LLC is
owned by PricewaterhouseCoopers LLP, a member firm of the
PricewaterhouseCoopers network and is a member of the NASD and
SIPC.  PwC CAR is not engaged in the practice of public
accountancy.


* S&P Reaffirms Stable Outlook on Global Reinsurance Sector
-----------------------------------------------------------
Standard & Poor's Rating Services has reaffirmed its stable
outlook on the global reinsurance sector, but industry players
-- particularly the more recent start-ups -- face a number of
challenges, the rating agency says.

Among those challenges are potentially significant earnings
volatility, said Laline Carvalho, S&P's director of North
American insurance, at a press conference yesterday at the 50th
annual Monte Carlo Rendez-Vous de September.

"There is a real concern that the world may be entering a phase
of increased frequency and severity of catastrophic losses, and
if this is to occur, then reinsurers may be facing even higher
volatility in their earnings and in their balance sheets,"
Laline Carvalho said.

Other trouble spots noted were the increasing commoditisation of
the business, the contraction in retrocession coverage, and the
low-barrier for entry from new competitors.

However, the latest class of reinsurers that started over the
past year will have a harder time achieving success relative to
previous formations, Ms. Carvalho said.  These newer companies,
many of which are based in Bermuda, are focused narrowly on
property catastrophe and other short-tail coverage, such as
marine and energy.

They are offering much needed capacity in the US market,
especially in peak exposure areas such as in Florida and
California.  Some are writing European business, as well.

"If we have a higher frequency of large natural catastrophe
events in the future, those will be the lines where you will see
the largest losses," Ms Carvalho said.  "So the profile of these
companies could potentially be very volatile."

She also noted that a thinning of the management pool has made
it difficult for these new companies to hire top talent.  
Existing companies have made key employees sign management
contracts so they cannot leave to join competitors.

"The depth and breadth of the management teams of the start up
companies this time around is the weakest that we have seen
among all formations," Ms. Carvalho said.  "Some of them will
probably be successful; some of them will probably not."

"But we do think they have bigger challenges this time. The
market conditions are not what it used to be."


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
Sept. 13-15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Texas Regional Conference
         Hyatt Regency Resort & Spa
            Lost Pines, TX
               Contact: 870-760-7116 or
http://www.turnaround.org/

Sept. 14, 2006
   ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
      Advanced Restructuring and Plan of Reorganization
         Park Central, New York, NY
               Contact: http://www.airacira.org/

Sept. 14, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Kick-Off Reception
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

Sept. 15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      BOK Review - Management
         Gardner Carton & Douglas, Chicago, IL
            Contact: 815-469-2935 or http://www.turnaround.org/

Sept. 17-24, 2006
   NATIONAL ASSOCIATION OF BANKRUPTCY TRUSTEES
      Optional Alaska Cruise
         Seattle, Washington
            Contact: 800-929-3598 or http://www.nabt.com/

Sept. 19-20, 2006
   STRATEGIC RESEARCH INSTITUTE
      2nd Annual Euro Distressed Debt Summit
         Le Meridien Parkhotel, Frankfurt, Germany
            Contact: http://www.srinstitute.com/

Sept. 20, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      South Florida Dinner
         Bankers Club, Miami, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

Sept. 21, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Young Professionals Group - "Conversations in Networking"
         Dave & Buster's, Philadelphia, PA
            Contact: 215-657-5551 or http://www.turnaround.org/

Sept. 21, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Restructuring Workshop With US
      Bankruptcy Judges Hale, Nelms and Lynn
         Belo Mansion - The Pavilion, Dallas, TX
            Contact: http://www.turnaround.org/

Sept. 24, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Restructuring the Troubled High Tech Company
         Arizona
            Contact: http://www.turnaround.org/

Sept. 25, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      10th Annual Turnaround Tee-off Golf Tournament &
Fundraiser
         Green Valley Country Club, Lafayette Hill, PA
            Contact: 215-657-5551 or http://www.turnaround.org/

Sept. 25, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Carolinas Membership Luncheon featuring a presentation by
      James Porter of Mesirow Financial
         City Club, Charlotte, NC
            Contact: 704-319-2288 or http://www.turnaround.org/

Sept. 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon
         Centre Club, Tampa, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

Sept. 27, 2006
   BEARD AUDIO CONFERENCES
      Year One of BAPCPA: Lessons Learned and Outlook
         A Look at the Business Provisions One Year Later
            Contact: 240-629-3300
            Or http://www.beardaudioconferences.com/

Sept. 27, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Joint Education Program with NYIC Joint Reception
         CFA/RMA/IWIRC
         Woodbridge Hilton, Iselin, NJ
            Contact: http://www.turnaround.org/

Sept. 26-27, 2006
   EUROMONEY
      Asia Pacific High Yield Debt Summit
         JW Marriott Hotel, Hong Kong
            Contact: http://www.euromoneyplc.com/

Sept. 27, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      7th Annual Cross Border Business Restructuring and
         Turnaround Conference
         Banff, Alberta
            Contact: http://www.turnaround.org/

Sept. 27, 2006
   ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
      New York Luncheon - Pension Panel Program
      Harmonie Club, New York, NY
           Contact: 541-58-1665 or http://www.airacira.org/

Oct. 3, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Organization of Women Networking Event/
      Fundraiser
         TBD, Philadelphia, PA
            Contact: 215-657-5551 or http://www.turnaround.org/

Oct. 3, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      3rd Annual Golf Outing
         Fox Chapel Golf Club, Pittsburgh, PA
            Contact: 412-644-8794 or http://www.turnaround.org/

Oct. 5, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Commercial Lenders Breakfast
         Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

Oct. 6, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      Bankruptcy 2006: Views from the Bench
         Georgetown University Law Center, Washington, DC
            Contact: 1-703-739-0800; http;//www.abiworld.org/

Oct. 10, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Meeting
         Center Club, Baltimore, Maryland
            Contact: 703-912-3309 or http://www.turnaround.org/

Oct. 11, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Professional Development Meeting
         Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

Oct. 12, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      UTS Fundamentals of Turnaround Management
         Melbourne, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

Oct. 11-14, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      2006 Annual Conference
         Milleridge Cottage, Long Island, New York
            Contact: 312-578-6900; http://www.turnaround.org/

Oct. 12, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      UTS Fundamentals of Turnaround Management
         Mecure Hotel - Haymarket, Sydney, Australia
            Contact: http://www.turnaround.org/

Oct. 16, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      A Year After BAPCPA
         Georgetown University Law Center, Washington, DC
            Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 18-19, 2006
   EUROMONEY
      2nd Annual Latin America Syndicated Loans Conference
         JW Marriott Hotel, Miami, FL
            Contact: http://www.euromoneyplc.com/

Oct. 17, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Updates on the New Bankruptcy Law
         Kansas City, Missouri
            Contact: http://www.turnaround.org/

Oct. 19, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Billards Networking Night - Young Professionals
         TBA, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

Oct. 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Hedge Funds - Expanded Financing Opportunities in Business
      Turnarounds
         Arizona
            Contact: http://www.turnaround.org/

Oct. 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Speaker Series #3
         TBA, Calgary, Alberta
            Contact: 403-294-4954 or http://www.turnaround.org/

Oct. 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Speaker Series #3
         TBA, Calgary, Alberta
            Contact: 403-294-4954 or http://www.turnaround.org/

Oct. 27, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast with Coach Dan Reeves
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

Oct. 28, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      BK/TMA Golf Tournament
         Orange Tree Golf Resort, AZ
            Contact: 623-581-3597 or http://www.turnaround.org/

Oct. 30-31, 2006
   Distressed Debt Summit: Preparing for the Next Default Cycle
      Financial Research Associates LLC
         Helmsley Hotel, New York, NY
            Contact: http://www.frallc.com/

Oct. 31, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon
         Citrus Club, Orlando, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

Oct. 31 - Nov. 1, 2006
   INTERNATIONAL WOMEN'S INSOLVENCY & RESTRUCTURING
CONFEDERATION
      IWIRC Annual Conference
         San Francisco, California
            Contact: http://www.iwirc.com/

Nov. 1, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Halloween Isn't Over! - Ghosts of turnarounds past who
         remind you about what you should have done differently
            Portland, Oregon
               Contact: http://www.turnaround.org/

Nov. 1-4, 2006
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         San Francisco, California
            Contact: http://www.ncbj.org/

Nov. 2, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA UK Annual Conference
         Millennium Gloucester Hotel, London, UK
            Contact: http://www.turnaround.org/

Nov. 2-3, 2006
   BEARD GROUP & RENAISSANCE AMERICAN CONFERENCES
      Third Annual Conference on Physician Agreements & Ventures
      Successful Strategies for Medical Transactions and
      Investments
         The Millennium Knickerbocker Hotel - Chicago
            Contact: 903-595-3800; 1-800-726-2524;
            http://www.renaissanceamerican.com/

Nov. 7, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Breakfast
         Marriott, Bridgewater, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

Nov. 7-8, 2006
   EUROMONEY
      5th Annual Distressed Debt Investment Symposium
         Hyatt Regency, London, UK
            Contact: http://www.euromoneyplc.com/

Nov. 8, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Meeting
         Marriott Tyson's Corner, Vienna, Virginia
            Contact: 703-912-3309 or http://www.turnaround.org/

Nov. 8, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Australia National Conference
         Sydney, Australia
            Contact: http://www.turnaround.org/

Nov. 14, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon Program
         St. Louis, Missouri
            Contact: 815-469-2935 or http://www.turnaround.org/

Nov. 15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Joint Reception with NYIC/NYTMA
         TBA, New York
            Contact: 908-575-7333 or http://www.turnaround.org/

Nov. 15, 2006
   LI TMA Formal Event
      TMA Australia National Conference
         Long Island, New York
            Contact: http://www.turnaround.org/

Nov. 15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      South Florida Dinner
         Citrus Club, Orlando, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

Nov. 16, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Bankruptcy Judges Panel
         Duquesne Club, Pittsburgh, Pennsylvania
            Contact: http://www.turnaround.org/

Nov. 16, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Dinner Program
         TBA, Seattle, Washington
            Contact: 503-223-6222 or http://www.turnaround.org/

Nov. 16-17, 2006
   STRATEGIC RESEARCH INSTITUTE
      8th Annual West Distressed Debt Investing Forum
         Venetian Resort Hotel Casino, Las Vegas, NV
            Contact: http://www.srinstitute.com

Nov. 23, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Martini Party
         Vancouver, British Columbia
            Contact: 403-294-4954 or http://www.turnaround.org/

Nov. 27-28, 2006
   BEARD GROUP & RENAISSANCE AMERICAN CONFERENCES
      Thirteenth Annual Conference on Distressed Investing
      Maximizing Profits in the Distressed Debt Market
         The Essex House Hotel - New York
            Contact: 903-595-3800; 1-800-726-2524;
            http://www.renaissanceamerican.com/

Nov. 28, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon
         Centre Club, Tampa, FL
            Contact: 561-882-1331 or http://www.turnaround.org/

Nov. 29, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Special Program
         TBA, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

Nov. 29, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Turnaround Industry Trends
         Jasna Polana, Princeton, NJ
            Contact: http://www.turnaround.org/

Nov. 30-Dec. 2, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Hyatt Regency at Gainey Ranch, Scottsdale, Arizona
            Contact: 1-703-739-0800; http://www.abiworld.org/

Dec. 6, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Holiday Dinner
         Portland, Oregon
            Contact: 503-223-6222 or http://www.turnaround.org/

Dec. 7, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Breakfast
         The Newark Club, Newark, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

Dec. 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      LI TMA Holiday Party
         TBA, Long Island, New York
            Contact: 631-251-6296 or http://www.turnaround.org/

Dec. 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Christmas Function
         GE Commercial Finance, Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

Dec. 20, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Holiday Extravaganza - TMA, AVF & CFA
         Georgia Aquarium, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

Jan. 12, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Annual Lender's Panel Breakfast
         Westin Buckhead, Atlanta, GA
            Contact: http://www.turnaround.org/

Feb. 8-11, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Certified Turnaround Professional (CTP) Training
         NY/NJ
            Contact: http://www.turnaround.org/

Feb. 22, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA PowerPlay - Atlanta Thrashers
         Philips Arena, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

Feb. 25-26, 2007
   NORTON INSTITUTES
      Norton Bankruptcy Litigation Institute
         Marriott Park City, UT
            Contact: http://www2.nortoninstitutes.org/

Feb. 2007
   AMERICAN BANKRUPTCY INSTITUTE
      International Insolvency Symposium
         San Juan, Puerto Rico
            Contact: 1-703-739-0800; http://www.abiworld.org/

March 15, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Martini Madness Cocktail Reception with Geraldine Ferraro
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

March 15-18, 2007
   NATIONAL ASSOCIATION OF BANKRUTPCY TRUSTEES
      NABT Spring Seminar
         Ritz-Carlton Buckhead, Atlanta, GA
            Contact: http://www.NABT.com/

March 27-31, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Spring Conference
         Four Seasons Las Colinas, Dallas, Texas
            Contact: http://www.turnaround.org/

March 29-31, 2007
   ALI-ABA
      Chapter 11 Business Reorganizations
         Scottsdale, Arizona
            Contact: 1-800-CLE-NEWS; http://www.ali-aba.org/

April 11-15, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      ABI Annual Spring Meeting
         J.W. Marriott, Washington, DC
            Contact: 1-703-739-0800; http://www.abiworld.org/

April 20, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast meeting with Chapter President, Bruce Sim
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

June 6-9, 2007
   ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
      23rd Annual Bankruptcy & Restructuring Conference
         Westin River North, Chicago, Illinois
            Contact: http://www.airacira.org/

June 14-17, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      Central States Bankruptcy Workshop
         Grand Traverse Resort, Traverse City, Michigan
            Contact: 1-703-739-0800; http://www.abiworld.org/

June 28 - July 1, 2007
   NORTON INSTITUTES
      Norton Bankruptcy Litigation Institute
         Jackson Lake Lodge, Jackson Hole, WY
            Contact: http://www2.nortoninstitutes.org/

July 12-15, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      Northeast Bankruptcy Conference
         Marriott, Newport, RI
            Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 10-13, 2007
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         Orlando, Florida
            Contact: http://www.ncbj.org/

Oct. 16-19, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Copley Place, Boston, Massachusetts
            Contact: 312-578-6900; http://www.turnaround.org/

Dec. 6-8, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Westin Mission Hills Resort, Rancho Mirage, California
            Contact: 1-703-739-0800; http://www.abiworld.org/

March 25-29, 2008
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Spring Conference
         Ritz Carlton Grande Lakes, Orlando, Florida
            Contact: http://www.turnaround.org/

Sept. 24-27, 2008
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         Scottsdale, Arizona
            Contact: http://www.ncbj.org/

Oct. 28-31, 2008
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Copley Place, Boston, Massachusetts
            Contact: 312-578-6900; http://www.turnaround.org/

Oct. 5-9, 2009
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Desert Ridge, Phoenix, Arizona
            Contact: 312-578-6900; http://www.turnaround.org/

2009 (TBA)
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         Las Vegas, Nevada
            Contact: http://www.ncbj.org/

Oct. 4-8, 2010
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         JW Marriott Grande Lakes, Orlando, Florida
            Contact: http://www.turnaround.org/

2010 (TBA)
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         New Orleans, Louisiana
            Contact: http://www.ncbj.org/

   BEARD AUDIO CONFERENCES
      Coming Changes in Small Business Bankruptcy
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Distressed Real Estate under BAPCPA
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      High-Yield Opportunities in Distressed Investing
         Audio Conference Recording
            Contact: 240-629-3300;
          http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Fundamentals of Corporate Bankruptcy and Restructuring
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Reverse Mergers - the New IPO?
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Dana's Chapter 11 Filing
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Employee Benefits and Executive Compensation
      under the New Code
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/


   BEARD AUDIO CONFERENCES
      Validating Distressed Security Portfolios: Year-End Price
      Validation and Risk Assessment
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Changing Roles & Responsibilities of Creditors' Committees
      Audio Conference Recording
         Contact: 240-629-3300;
         http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Calpine's Chapter 11 Filing
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Healthcare Bankruptcy Reforms
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Changes to Cross-Border Insolvencies
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      The Emerging Role of Corporate Compliance Panels
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com

   BEARD AUDIO CONFERENCES
      Privacy Rights, Protections & Pitfalls in Bankruptcy
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com

   BEARD AUDIO CONFERENCES
      High-Yield Opportunities in Distressed Investing
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com

The Meetings, Conferences and Seminars column appears in the
Troubled Company Reporter each Wednesday. Submissions via e-mail
to conferences@bankrupt.com are encouraged.


                         ***********


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

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

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


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