TCRLA_Public/070112.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                    L A T I N   A M E R I C A

          Friday, January 12, 2007, Vol. 8, Issue 9

                          Headlines

A R G E N T I N A

BANCO GALICIA: Postponing ARS100MM Capital Increase for 30 Days
EAST INDIANA: Deadline for Verification of Claims Is March 7
GRAN TIERRA: Continues Well Testing Operations in Argentina
PETROBRAS ENERGIA: Names Carlos Alberto Chief Executive Officer
SAFARAD IMPALA: Asks for Court Approval to Reorganize Business

SISTEMAS MEDICOS: Proofs of Claim Verification Is Until March 15
STARPET SA: Seeks Bankruptcy Protection from Court

B A H A M A S

PINNACLE ENT: Awards US$1.5 Million in Bonuses to 4 Executives
ISLE OF CAPRI: To Unveil New Brand at Pompano Park
ULTRAPETROL: Inks US$61.3MM Term Loan Agreement with DVB Bank

B E R M U D A

SEA CONTAINERS: Wants Until May 13 to Decide on Leases

B O L I V I A

INTERMEC INC: Grants RFID Patent Licenses to Motorola

* BOLIVIA: Franklin Mining Clarifies Pulacayo Project's Status
* BOLIVIA: To Implement Six-Fold Increase in Mining Taxes

B R A Z I L

ARVINMERITOR: To Develop First Dual-Mode Drivetrain for Wal-Mart
BANCO BRADESCO: Unit Eyes BRL10B Pension Contributions in 2007
BANCO FIBRA: Seeks US$50-Million Funding from IFC for Bond Issue
BANCO NACIONAL: May Approve Maua Hydroelectric Project Financing
BANCO NACIONAL: Okays BRL18.6-Million Loan for Congonhas Tunnel

BRASIL TELECOM: Sao Paolo Supreme Court Revokes YouTube Ban
COMPANHIA PARANENSE: Talking with Banco Nacional for Funding
COMPANHIA SIDERURGICA: European Antitrust Studying Corus Bid
DURA AUTOMOTIVE: Trustee Appoints HSBC Bank to Creditors' Panel
GP INVESTMENTS: Fitch Rates US$150MM Perpetual Notes at B/RR4

INDEPENDENCIA ALIMENTOS: Moody's Assigns B3 Corp. Family Rating
METROLOGIC: Names Cecil F. Bowes as National Sales Manager
PETROLEO BRASILEIRO: Launches Cidade do Rio Project Operations
TAM SA: Increases to 17 Daily Flights to Paris as of Jan. 12
TAM SA: Gets IATA Operational Safety Audit Registration

C A Y M A N   I S L A N D S

3S SOLUTIONS: Shareholders to Gather for Jan. 12 Final Meeting
ACACIA CDO: Last Day for Proofs of Claim Filing Is on Jan. 13
BGBW FX: Shareholders to Convene for Final Meeting on Jan. 12
BROAD STREET: Calls Shareholders for Final Meeting on Jan. 12
CAP EUROPEAN: Invites Shareholders for Final Meeting on Jan. 12

CHERRY WILLOW: Sets Final Shareholders Meeting on Jan. 12
CHEYNE US: Shareholders to Gather for Final Meeting on Jan. 12
CITIGROUP ALTERNATIVE: Final General Meeting Is Set for Jan. 12
COSAN FINANCE: S&P Rates 10-Year US$300-Million Notes at BB
ECLIPSE GLOBAL: Final Shareholders Meeting Is Set for Jan. 12

EUROTAX GLASS'S: Final General Meeting Is Set for Jan. 12
FINE METAL: Deadline for Proofs of Claim Filing Is on Jan. 13
JERMYN STREET: Shareholders to Convene for Jan. 12 Final Meeting
JOFI SAPPORO: Creditors Must Submit Proofs of Claim by Jan. 13
KASAMA HOLDING: Deadline for Proofs of Claim Filing Is Jan. 13

KENMAR STRATEGIC: Final Shareholders Meeting Is Set for Jan. 12
KOOKABURRA FINANCE: Final Shareholders Meeting Is on Jan. 12
MUTUAL FUND: Creditors Must Submit Proofs of Claim by Jan. 12
MUTUAL FUND BASKET: Last Shareholders Meeting Is Set for Jan. 12
MUTUAL FUND (9-A): Proofs of Claim Filing Is Until Jan. 12

MUTUAL FUND (9-A): Calls Shareholders for Jan. 12 Final Meeting
MUTUAL FUND (9-B): Last Day to File Proofs of Claim Is Jan. 12
MUTUAL FUND (9-B): Final Shareholders Meeting Is on Jan. 12
MUTUAL FUND (9-C): Claims Filing Deadline Is Set for Jan. 12
MUTUAL FUND (9-C): Final General Meeting IS Ste for Jan. 12

NC REALTY: Invites Shareholders for Final Meeting on Jan. 12
PACTUAL FIXED: Calls Shareholders for Final Meeting on Jan. 12
PREDICTION MANAGEMENT: Claims Filing Deadline Is on Jan. 13
QUILMES BANK: Liquidator to Present Wind Up Accounts on Jan. 12
SAPIC-98: Shareholders to Convene for Jan. 12 Final Meeting

SAPIC-98 (29): Creditors Must File Proofs of Claim by Jan. 12
SAPIC-98 (29): Last Shareholders Meeting Is Set for Jan. 12
SAPIC-98 (34): Last Day to File Proofs of Claim Is on Jan. 12
SAPIC-98 (34): Shareholders to Gather for Final Meeting Today
SAPIC-98 (46): Proofs of Claim Filing Deadline Is on Jan. 12

SAPIC-98 (46): Calls Shareholders for Final Meeting on Jan. 12
SAPIC II (17): Final Shareholders Meeting Is Today
SAPIC II (2): Last Shareholders Meeting Is Set for Jan. 12
SAPIC II (3): Sets Final Shareholders Meeting for Jan. 12
SAPIC-98 REFERENCE: Liquidator to Present Wind Up Progress Today

SAPIC-98 REFERENCE FUND: Proofs of Claim Filing Is Until Today
SAPIC-98 REFERENCE FUND: Final Shareholders Is Today
TURNER LIVINGSTON: Final Shareholders Meeting Is on Jan. 12

C H I L E

ARAMARK CORP: S&P Pares Corporate Credit Rating to B+ from BB+
SHAW GROUP: Delays Reporting Fin. Results for Qtr. Ended Nov. 30

C O L O M B I A

BANCOLOMBIA: Fitch Comments on Legal Actions Against Executives
BANCOLOMBIA: House Arrest Order of Two Executives Revoked
BANCOLOMBIA: Moody's Holds Negative Review on D+ Strength Rating
ROYAL & SUN: Terminates U.S. Registration of Shares

C O S T A   R I C A

HILTON HOTELS: Inks Multi-Year Pact with Caribbean Real Estate

D O M I N I C A N   R E P U B L I C

AFFILIATED COMPUTER: Expands IT Services Agreement with Symetra

E C U A D O R

IMAX CORP: Inks Multiplex Theatre Deal with Kerasotes ShowPlace
PETROECUADOR: Inks Oil Exchange Deal with Petroleos de Venezuela

G U A T E M A L A

GOODYEAR TIRE: Moody's Affirms B1 Corporate Family Rating

J A M A I C A

AIR JAMAICA: Bookings Unsatisfactory Despite Cricket World Cup
AIR JAMAICA: Launches Daily Non-Stop Service to Barbados

G U A T E M A L A

SBARRO INC: Moody's Junks Proposed US$150-Mln Sr. Unsec. Notes

M E X I C O

ADVANCED MARKETING: Court Grants Interim DIP Rights
ADVANCED MARKETING: Court Authorizes Use of Cash Collateral
ADVANCED MARKETING: 20 LARGEST UNSECURED CREDITORS
BEARINGPOINT: Names Ed Harbach Pres. & Chief Operating Officer
CONSOLIDATED CONTAINER: W. Bell Resigns as Holdings' Director

DELTA AIR: To Review US Airway's Revised Proposal
ENESCO GROUP: Bank Lenders Limit Credit Facility Advances
FOAMEX INT: Sr. Secured Holders Accept Plan of Reorganization
FORD MOTOR: To Invest US$866 Million in Six Michigan Plants
GENERAL MOTORS: Eyes More Job Cuts & Overseas Expansion

GREENBRIER: Posts US$247MM Revenues for Qtr. Ended Nov. 30, 2006
GRUPO MEXICO: Negligent on Pasta Mine, State Prosecutor Says
RADIOSHACK: Reports Projected Net Income Improvement for 4th Qtr
TRI-NATIONAL DEVELOPMENT: Selling Real Property on January 31
VALASSIS COMMS: Includes Hotchkis & Wiley Capital as Investors

VITRO ENVASES: Launches Cash Tender on US$250MM Sr. Sec. Notes
WERNER LADDER: Gets Interim Okay on Exec. Incentive Payment Plan

* MEXICO: Announces Modified Dutch Auction for Old Bonds

N I C A R A G U A

SPECTRUM BRANDS: To Enhance Operating Efficiency & Reduce Costs

P E R U

GOODYEAR TIRE: Workers' Strike Could Result in US$350-Mil. Loss

P U E R T O   R I C O

HORNBECK OFFSHORE: Lowers Expected Results for 4th Quarter 2006
PILGRIM'S PRIDE: Completes Acquisition of Gold Kist
PILGRIM'S PRIDE: Offering US$450 Million of Debt Securities
PROGRESSIVE GAMING: Puerto Rico Airport Casino Opens CasinoLink
SEARS HOLDINGS: Reports November & December Store Sales

SUNCOM WIRELESS: Board Okays Termination of Compensation Plan

T R I N I D A D   &   T O B A G O

HILTON HOTELS: Discloses Conversion Period for 3.375% Notes
SUPERIOR ENERGY: Board OKs US$362MM Capital Expenditure Budget

V E N E Z U E L A

AES CORP: Analyst Maintains Buy Rating on Firm
AES CORP: S&P Says Nationalization Harms Credit Quality
ELECTRICIDAD DE CARACAS: Shares Suspended on Stock Exchange
ELECTRICIDAD DE CARACAS: Fitch Downgrades Debt Ratings to B+
PETROLEOS DE VENEZUELA: Inks Oil Agreement with PetroEcuador

PETROLEOS DE VENEZUELA: PDVSA Gas to Increase Output by 9.3%

* VENEZUELA: Nationalizing Telecommunications & Power Sectors


                          - - - - -


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


BANCO GALICIA: Postponing ARS100MM Capital Increase for 30 Days
---------------------------------------------------------------
Banco Galicia said in a statement that it has asked the local stock exchange
to postpone for 30 days an up to ARS100-million capital increase.

A Banco Galicia spokesperson told Business News Americas that the stock
exchange approved the equity issue on Dec. 18.  The bank had 30 days to
carry out the move.

According to BNamericas, Banco Galicia will issue up to 100 million B class
shares -- a 21% increase in its outstanding shares -- at a nominal value of
ARS1 each.  The capitalization would boost the bank's equity structure and
lessen funding costs.

BNamericas underscores that the new shares will be issued through a public
offering and subscribed in cash or through bonds.

Banco Galicia is waiting for the approval of central bank before it can
proceed with the issue, which is expected within the next two weeks, the
spokesperson told BNamericas.

Headquartered in Buenos Aires, Argentina, Banco de Galicia y Buenos Aires
SA -- http://www.e-galicia.com/-- is an Argentinean private bank that is
engaged in commercial banking, providing general banking services to large
corporations, small and medium-sized companies, agricultural and cattle
farms and individuals.  The company controls an extensive and diverse
network of subsidiaries, which include Banco Galicia Uruguay SA, Galicia
Capital Markets SA, Galicia Factoring y Leasing SA, Agro Galicia SA, Galicia
Administrasora de Fondos SA, Galicia Valores SA, Galicia Warrants SA, Net
Investments SA, Sudamericana Holding SA and Tarjetas Regionales SA.  Through
its subsidiaries the company offers accounting, investment and insurance
services, loans, checks and debit and credit cards.  It also finances the
development of real estate, acts as a fiduciary and leases properties to
interested parties.  It operates over 400 branches across the country and
provides e-banking services to customers via its Internet site.

                        *    *    *

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


EAST INDIANA: Deadline for Verification of Claims Is March 7
------------------------------------------------------------
Oscar Epstein, the court-appointed trustee for East Indiana SA's bankruptcy
proceeding, will verify creditors' proofs of claim until March 7, 2007.

Under the Argentine bankruptcy law, Mr. Epstein is required to present the
validated claims in court as individual reports.  Court No. 25 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
East Indiana and its creditors.

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

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

East Indiana was forced into bankruptcy at the behest of Chiarito San Luis
SA, whom it owes US$3,376.46.

The debtor can be reached at:

          East Indiana SA
          Rivadavia 1156.
          Buenos Aires, Argentina

The trustee can be reached at:

          Oscar Epstein
          Viamonte 1620
          Buenos Aires, Argentina


GRAN TIERRA: Continues Well Testing Operations in Argentina
-----------------------------------------------------------
Gran Tierra Energy Inc. is continuing well testing operations in Argentina
and has initiated drilling operations in Colombia.  In addition, gas
production has been re-established at the previously shut-in Nacatimbay
field in the Nacatimbay block of Argentina.

Testing is continuing on the Puesto Climaco-2 sidetrack in the Vinalar block
in Argentina.  Gran Tierra holds a 50% working interest in this block.  A
second short sidetrack was required when logging tools were stuck in the
hole during initial reservoir evaluation in late December 2006.  The new
hole has now been cased and logged, with perforations and testing to take
place in the coming days.  Production facilities associated with the Puesto
Climaco field are in place and ready to accommodate additional production
from the Puesto Climaco-2 sidetrack immediately.

Also in Argentina, a workover rig has arrived at the Ipaguazu field to
recomplete the IPX-1 well and re-establish production from this shut-in
field.  Gran Tierra holds a 100% working interest in the Ipaguazu block.
These workover operations are continuing.  Production at the Nacatimbay
field in the near-by Nacatimbay Block, where Gran Tierra Energy has a 100%
working interest, has been re-established following facilities upgrade
activity.  This previously shut-in field is now producing approximately 570
thousand cubic feet of gas per day, plus associated condensate and natural
gas liquids.

In Colombia, drilling was initiated on the Laura-1 prospect in the Talora
block in the Middle Magdalena Basin on December 27. Gran Tierra has a 20%
carried working interest in this block. Drilling is continuing and will be
completed this month.

Following the completion of Laura-1, the same drilling rig will mobilize to
drill the Caneyes-1 prospect in the adjacent Rio Magdalena block in Colombia
in late January 2007. Construction of the drilling location is underway.
Gran Tierra currently holds a 100% working interest in this contact area,
which is subject to a 30% back-in provision by Ecopetrol, the government
petroleum agency, in the event of commerciality.

Mobilization is continuing with another rig to the Primavera Block in the
Llanos Basin to drill two wells, Capibara-1 and Cachapa-1, in February 2007.
Gran Tierra holds a 15% interest in this block.

A third drilling rig is currently being rigged up to drill the
Juanambu-1 prospect in the Guayuyaco block in the Putumayo Basin of
Colombia.  Drilling is scheduled to commence on Jan. 15, 2007.  Gran
Tierra's interest in this block is 35% after the Ecopetrol back-in.  The rig
is planned to be moved to the adjacent Chaza block to drill the Naboyaco-1
prospect immediately after drilling Juanambu-1.  Gran Tierra Energy holds a
50% working interest in the Chaza contract area.

Dana Coffield, President and Chief Executive Officer of Gran Tierra, stated
"Our simultaneous drilling operations in our two primary operational arenas,
Argentina and Colombia, are now fully engaged, with the intent to add
material new reserves and production through the drill bit in the first half
of 2007."

Gran Tierra Energy Inc. (OTCBB: GTRE.OB) --
http://www.grantierra.com/-- is an international oil and gas
exploration and development company headquartered in Calgary,
Canada, incorporated and traded in the United States and
operating in South America.  The company currently holds
interests in producing and prospective properties in Argentina,
Colombian and Peru.

                        *    *    *

Management disclosed that the company's ability to continue as a
going concern is dependent upon obtaining the necessary
financing to acquire oil and natural gas interests and
generating profitable operations from its oil and natural gas
interests in the future. The company incurred a net loss of
US$1.9 million for the nine-month period ended Sept. 30, 2006,
and, as at Sept. 30, 2006, had an accumulated deficit of US$4.1
million.


PETROBRAS ENERGIA: Names Carlos Alberto Chief Executive Officer
---------------------------------------------------------------
Petrobras Energia Participaciones SA's board of directors unanimously
approved on Dec. 1, 2006, the appointment of Carlos Alberto de Meira Fontes
as Chief Executive Officer effective Jan. 1, 2007.

On the date of effectivity of hisappointment, Mr. de Meira Fontes ceased to
serve as director of the company's Refining and Petrochemicals Division.
For this reason, the Chairman proposed the Board of Directors to appoint
Adalberto Santiago Barbalho to serve as Director of Refining and
Petrochemicals, as from
Feb. 1, 2007.  The new Director will be directly subordinated to the Board
of Directors under the terms of Section 270 of the Business Associations
Law, being liable to the company and third parties for the performance of
his duties.

Adalberto Santiago Barbalho graduated as Chemical Engineer from Rio de
Janeiro Federal University and as Civil Engineer from Campinas Pontifical
Catholic University and holds a Master's Degree in Quality from Campinas
State University.  He joined Petrobras in 1975 and has served as General
Manager of Petrobras Bolivia Refinación since 2003.  He also held several
managerial positions at Paulinia Refinery.

Petrobras Energia Participaciones SA, through its subsidiary,
explores, produces, and refines oil and gas, as well as
generates, transmits, and distributes electricity.  It also
offers petrochemicals, as well as markets and transports
hydrocarbons.  The company conducts oil and gas exploration and
production operations in Argentina, Venezuela, Peru, Ecuador,
and Bolivia

                        *    *    *

As reported on Feb. 6, 2006, Standard & Poor's Ratings Services
said that its ratings on Petrobras Energia S.A. (PESA; B/Watch
Neg/--) will not be affected by the company's announced
accounting adjustment that will be reflected in the financial
statements as of Dec. 31, 2005.  Net worth will decrease by
approximately US$60 million as a result of a provision of US$140
million against its Venezuelan assets to adjust their expected
recovery value, and the reversal of certain allowances for tax
credits for about US$83 million.

Since the accounting adjustments do not imply cash movements,
they do not have an impact on the ratings on PESA at this point.
Nevertheless, in line with S&P's concerns, the adjustments
reflect lower than previously expected future cash generation
due to changing business conditions in Venezuela.  The ratings
will remain on CreditWatch Negative, reflecting the
uncertainties of oil and gas concessions' renegotiation in
Venezuela.


SAFARAD IMPALA: Asks for Court Approval to Reorganize Business
--------------------------------------------------------------
A court in Buenos Aires is studying the merits of Safarad Impala SRL's
petition to reorganize its business after it stopped paying its obligations.

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

The debtor can be reached at:

         Safarad Impala SRL
         Gandara 3185
         Buenos Aires, Argentina


SISTEMAS MEDICOS: Proofs of Claim Verification Is Until March 15
----------------------------------------------------------------
Elsa Ester Andrade, the court-appointed trustee for Sistemas Medicos
Integrados SA's bankruptcy proceeding, verifies creditors' proofs of claim
until March 15, 2007.

Ms. Andrade will present the validated claims in court as individual
reports.  A court in Buenos Aires will determine if the verified claims are
admissible, taking into account the trustee's opinion and the objections and
challenges raised by Sistemas Medicos 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 Sistemas Medicos' accounting and
banking records will also be presented in court.

Dates for the submission of the reports have not been disclosed.

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

The trustee can be reached at:

         Elsa Ester Andrade
         Avenida Callao 449
         Buenos Aires, Argentina


STARPET SA: Seeks Bankruptcy Protection from Court
--------------------------------------------------
Court No. 1 in Buenos Aires is studying the merits of Starpet SA's request
to enter bankruptcy protection.

The report adds that that Starpet filed a "Quiebra Decretada" petition
following cessation of debt payments on July 19, 2006.

The petition, once approved by the court, will transfer control of the
company's assets to a court-appointed trustee who will supervise the
liquidation proceedings.

The city's Clerk No. 2 assists the court on this case.

The debtor can be reached at:

         Starpet SA
         Corrientes 4667
         Buenos Aires, Argentina




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


PINNACLE ENT: Awards US$1.5 Million in Bonuses to 4 Executives
--------------------------------------------------------------
Pinnacle Entertainment Inc.'s compensation committee has approved the 2006
cash bonuses and deferred bonuses, totaling US$1,595,000, for certain
executive officers of the company not including Daniel R. Lee, chairman and
chief executive officer, whose bonus will be determined by the Compensation
Committee at a later time, based on achievement of previously established
objective performance goals.

The 2006 deferred bonuses were awarded under the Deferred Bonus Plan.  The
deferred bonuses are deferred and paid in three equal annual installments
beginning January 2008.  All cash bonuses were paid on Jan. 4, 2007, except
for amounts that any executive officer may have elected to defer under the
company's benefit plans.

Wade W. Hundley, president, was awarded US$360,000 in cash bonus and a
deferred bonus of US$120,000.  Stephen H. Capp, executive vice president and
chief financial officer was awarded a cash bonus of US$337,500 and a
deferred bonus of US$112,500.  Alain Uboldi, chief operating officer, was
awarded a cash bonus of US$255,000 and a deferred bonus of US$85,000.  John
A. Godfrey, executive vice president, secretary and general counsel was
awarded a cash bonus of US$243,750 and a deferred bonus of US$81,250.

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

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 4, 2006, Moody's
Investors Service's confirmed Pinnacle Entertainment Inc.'s B2 Corporate
Family Rating.

At the same time, Standard & Poor's Ratings Services affirmed its 'BB-'
rating and '1' recovery rating following Pinnacle Entertainment Inc.'s
US$250 million senior secured bank facility add-on.


ISLE OF CAPRI: To Unveil New Brand at Pompano Park
--------------------------------------------------
Isle of Capri Casinos, Inc., will unveil the next generation of the Isle of
Capri gaming experience when the casino opens in late winter or early spring
at Pompano Beach, Florida.  In addition, the Company announced that it has
been awarded a gaming license by the Florida Department of Business and
Professional Regulation.

"The future of Isle of Capri looks like Pompano Park," said Timothy Hinkley,
president and chief operating officer.  "This project provides us with the
opportunity to combine a tropical paradise with true Las Vegas-style gaming,
culinary offerings to please any palette and the excitement of harness
racing to create a powerful racino experience all under a new name to debut
when we open."

The project includes 1500 slot machines, a poker room and four restaurants
including the company-branded Farraddays' steakhouse, signature tropical-
themed buffet, a full-service New York-style delicatessen and Italian
osteria created by accomplished chef Luke Palladino.  The heart of the
casino will include a multi-story feature bar offering vibrant high action
imagery and audio on multiple video displays.  The project also includes new
racing amenities including a high-tech sports bar, wagering area
over-looking the track and a new Winner's Circle.

Based in Biloxi, Miss., Isle of Capri Casinos, Inc. (Nasdaq: ISLE) --
http://www.islecorp.com/-- a developer and owner of gaming and
entertainment facilities, operates 16 casinos in 14 locations.  The Company
owns and operates riverboat and dockside casinos in Biloxi, Vicksburg, Lula
and Natchez, Miss.; Bossier City and Lake Charles (two riverboats), La.;
Bettendorf, Davenport and Marquette, Iowa; and Kansas City and Boonville,
Mo.  The Company also owns a 57% interest in and operates land-based casinos
in Black Hawk (two casinos) and Cripple Creek, Colorado.  Isle of Capri's
international gaming interests include a casino that it operates in
Freeport, Grand Bahama, and a 2/3 ownership interest in casinos in Dudley,
Walsal and Wolverhampton, England.  The company also owns and operates
Pompano Park Harness Racing Track in Pompano Beach, Fla.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 26, 2005, Standard &
Poor's Ratings Services affirmed its ratings on Isle of Capri Casinos Inc.,
including its 'BB-' corporate credit rating.  At the same time, all ratings
were removed from CreditWatch with negative implications where they were
placed on Sept. 1, 2005.  S&P said the outlook is negative.

As reported in the Troubled Company Reporter-Latin America on Oct. 4, 2006,
in connection with Moody's Investors Service's implementation of its new
Probability-of-Default and Loss-Given-Default rating methodology for the
Gaming, Lodging & Leisure sector, the rating agency confirmed Isle of Capri
Casinos, Inc.'s Ba3 Corporate Family Rating.


ULTRAPETROL: Inks US$61.3MM Term Loan Agreement with DVB Bank
-------------------------------------------------------------
Ultrapetrol (Bahamas) Limited has entered into a US$61.3 million senior
secured term loan agreement with DVB Bank AG.  The agreement provides for a
ten-year term loan facility, which Ultrapetrol will use primarily to
refinance two Platform Supply Vessels it took delivery of in 2005, the "UP
Esmeralda" and "UP Safira," and two Platform Supply Vessels it took delivery
of in 2006, the "UP Agua-Marinha" and the "UP Topazio."

The new monies of approximately US$35.6 million generated by the refinancing
will be used towards funding Ultrapetrol's 2007 capital expenditure and
fleet expansion plans.

"We are very pleased to have achieved favorable refinancing terms that
reduce the interest margin, lengthen the maturity and lower fees," said
Felipe Menendez Ross, Chief Executive Officer of Ultrapetrol.  "This
facility will allow us to fund some of our more immediate capital
expenditure plans, which are designed to help us achieve our long-term
growth objectives.  We continue to see strong demand across all of our
business segments, and we are investing judiciously in those areas where we
expect the most attractive returns."

                    About DVB Bank AG

DVB Bank AG, based in Frankfurt/Main, is an international advisory bank and
finance house that specializes in the global transport market.  DVB offers
integrated financing solutions and advisory services in respect of Shipping,
Aviation, Land Transport and Transport Infrastructure.  The Bank operates
out of offices in Frankfurt/Main, Hamburg, London, New York, Rotterdam, Hong
Kong, Singapore, Tokyo, Bergen, Piraeus, and Curacao. DVB Bank AG is listed
on the Frankfurt Stock Exchange.

                    About Ultrapetrol

Ultrapetrol - http://www.ultrapetrol.net./-- is an industrial
transportation company serving the marine transportation needs of its
clients in the markets on which it focuses. It serves the shipping markets
for grain, forest products, minerals, crude oil, petroleum and refined
petroleum products, as well as the offshore oil platform supply market and
the leisure passenger cruise market, with its extensive and diverse fleet of
vessels.  These include river barges and pushboats, platform supply vessels,
tankers, oil-bulk-ore vessels and passenger ships.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 26, 2006, Standard &
Poor's Ratings Services affirmed its 'B' corporate
credit rating on Bahamas-based shipping company Ultrapetrol
(Bahamas) Ltd.  At the same time, the rating on Ultrapetrol's
US$180-million preferred ship mortgage notes due 2014 was also
affirmed at 'B'.  The outlook on the corporate credit ratings
was revised to stable.  As of Sept. 30, 2006, Ultrapetrol's
total debt amounted to US$312 million.




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


SEA CONTAINERS: Wants Until May 13 to Decide on Leases
------------------------------------------------------
Sea Containers Ltd. and its debtor-affiliates asked the U.S. Bankruptcy
Court for the District of Delaware to extend the original 120-day period to
assume or reject real property leases through and including May 13, 2007, in
pursuant to Section 365 (d)(4) of the Bankruptcy Code.

According to Robert S. Brady, Esq., at Young Conaway Stargatt &
Taylor, LLP, in Wilmington, Delaware, the Real Property Leases include:

   (1) lease of the 5th, 11th, 12th, 13th and 14th floors of Sea
       Containers House, 20 Upper Ground, in London SEl, United
       Kingdom, between Archlane Limited and Sea Containers
       Services Ltd., dated March 25, 1988, and expiring
       Dec. 24, 2011;

   (2) lease of the second basement, first basement, ground
       12th and 13th floors of Sea Containers House, 20
       Upper Ground London SEl between Archlane Limited and Sea
       Containers Services dated March 25, 1988, and expiring
       Dec. 24, 2011; and

   (3) lease of Arches 1-12 and 15 and 16 beneath Southwark
       Bridge, Southern Approach, Park Street, London SE 1,
       between The Mayor and Commonalty and Citizens of the City
       of London as Trustees of the Bridge House Estates and Sea
       Containers Services commencing Aug. 20, 2003, and
       expiring Dec. 25, 2011.

The office spaces at Sea Containers House serve as Sea Containers Services'
headquarters and of the direct and indirect U.K. subsidiaries of Sea
Containers Ltd.

Mr. Brady discloses that Sea Containers Services conducts substantially all
of its business activities from the Premises.
For the benefit of SCL, itself, and certain of the Non-Debtor
Subsidiaries, Sea Containers Services' employees at the Premises, among
other things:

     * manage financial and accounting services;
     * operate information technology systems;
     * provide administrative services; and
     * manage payroll and other human resource services.

In addition, certain of the U.K. Subsidiaries and affiliated entities of the
Debtors sublease office space at the Premises from Sea Containers Services.

Mr. Brady informs Judge Carey that Sea Containers Services is not prepared
to:

   (i) assume the Premises Leases and obligate the estate for
       the remaining five year terms under the Premises Leases;
       or

  (ii) reject the Leases before the expiration of the 120 days
       set forth in Section 365(d)(4) because Sea Containers
       Services' and the U.K. Subsidiaries' operations would be
       required to immediately relocate.

Mr. Brady says an extension is warranted because:

   (a) Sea Containers Services is current on its obligations
       under the Premises Leases and intends to continue to
       fulfill their obligations under the Leases on a timely
       basis, unless the Leases are rejected;

   (b) as the headquarters of Sea Containers Services and the
       U.K. Subsidiaries, the Premises serve an important role
       in preserving the continuity of the Debtors' ongoing
       operations;

   (c) the Debtors' Chapter 11 Cases are large and complex, and
       it is important that they be afforded a reasonable
       opportunity to address the myriad of issues implicated by
       the ongoing restructuring efforts before they are forced
       to make a long term decision concerning the Premises; and

   (d) the Debtors and its creditor constituencies have not had
       sufficient time to formulate a plan of reorganization,
       which formulation will require the participation of
       multiple constituencies including several with rights
       which may emanate from foreign law.

                    About Sea Containers

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. --
http://www.seacontainers.com/-- provides passenger and freight transport
and marine container leasing.  Registered in Bermuda, the company has
regional operating offices in London, Genoa, New York, Rio de Janeiro,
Sydney, and Singapore.  The company is owned almost entirely by United
States shareholders and its primary listing is on the New York Stock
Exchange (SCRA and SCRB) since 1974.  On Oct. 3, the company's common shares
and senior notes were suspended from trading on the NYSE and NYSE Arca after
the company's failure to file its 2005 annual report on Form 10-K and its
quarterly reports on Form 10-Q during 2006 with the U.S. Securities and
Exchange Commission.

Through its GNER subsidiary, Sea Containers Passenger Transport operates
Britain's fastest railway, the Great North Eastern Railway, linking England
and Scotland.  It also conducts ferry operations, serving Finland and
Estonia as well as a commuter service between New York and New Jersey in the
U.S.

Sea Containers Ltd. and two subsidiaries filed for chapter 11 protection on
Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156). Robert S. Brady, Esq., at
Young, Conaway, Stargatt & Taylor represents the Debtors in their
restructuring efforts.  When the Debtors filed for protection from their
creditors, they reported US$1.7 billion in total assets and US$1.6 billion
in total debts.  (Sea Containers Bankruptcy News, Issue No. 8; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)




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


INTERMEC INC: Grants RFID Patent Licenses to Motorola
-----------------------------------------------------
Intermec Technologies Corp. disclosed that Motorola, Inc., has become a
licensee under the company's RFID patents.

Intermec holds more than 154 RFID patents covering broad areas of supply
chain applications.  Intermec's patents cover all global standards and
classes for the practice of RFID technology, including EPCglobal Class 0,
Class 1, Class 1 Generation 2, ISO, ETSI and others. Motorola's license will
give it access to this technology with respect to RFID tags, and fixed and
portable readers.

Motorola joins 23 other licensees under Intermec's RFID patents, including,
Accu-sort, Avery Dennison, AWID, Cisco, Datamax, EM Micro, Feig Electronics,
Hand Held Products, LXE, Metrologic, Paxar, Philips Semiconductor, PSC,
Psion Teklogix, Sato, Sharp Corp., Symbol Technologies, Texas Instruments,
Thingmagic, Toppan Printing, Tyco-Sensormatic, Transcore and Zebra
Technologies.

With the addition of Motorola to its group of RFID licensees, Intermec
continues to support RFID end users and suppliers by ensuring that the
market has an ample supply of high quality, properly licensed RFID equipment
from global manufacturers.

Intermec Inc. -- http://www.intermec.com/-- develops,
manufactures and integrates technologies that identify, track
and manage supply chain assets.  Core technologies include RFID,
mobile computing and data collection systems, bar code printers
and label media.

The company has locations in Australia, Bolivia, Brazil, China,
France, Hong Kong, Singapore and the United Kingdom.

                        *    *    *

Standard & Poor's Rating Services raised its ratings on Everett,
Washington-based Intermec Inc. to 'BB-' from 'B+'.  The upgrade reflects
expectations that Intermec will sustain current levels of profitability and
leverage.  S&P said the outlook is stable.


* BOLIVIA: Franklin Mining Clarifies Pulacayo Project's Status
--------------------------------------------------------------
Franklin Mining, Inc., CEO Jaime Melgarejo clarifies status of the Pulacayo
tailings project.

Several missed deadlines created a two-month delay in start-up for the
Pulacayo tailings project.  The missed deadlines -- due to a heavier than
normal rainy season, September to December -- prevented the relocation of
the pilot plant.

In December, Franklin management completed a lengthy due diligence review of
the project and received an in-depth Metallurgical Report. After accepting
both reports, Franklin's Board approved a recommendation to formally
reschedule Pulacayo's launch for January 2007.

As previously planned, a pilot processing plant will be relocated to the
tailings site.  The site is fully prepared with all required assets in place
(space, water, electricity, communications and labor). The pilot plant
provides the 400-ton per day processing capacity necessary to keep the
project on its 42-month schedule.

Franklin Mining, Inc. has interests in the United States, Argentina and
Bolivia which include a wholly owned subsidiary, Franklin Mining, Bolivia,
as well as 51% interest in Franklin Oil & Gas, Bolivia and 51% interest in
Franklin Oil & Gas, Argentina.

                        *    *    *

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: To Implement Six-Fold Increase in Mining Taxes
---------------------------------------------------------
Bolivia's mining minister Guillermo Dalence was cited by local newspaper La
Razon as saying that the government should implement a 566%-600% increase in
its Impuesto Complementario a la Mineria or ICM tax on mining exports.

Minister Guillermo told La Razon that the government got US$45 million in
tax revenue from US$1 billion of mining exports.

"That's a ludicrous amount taking into account that these are not renewable
resources.  If in 2007 we were to export US$1 billion worth of minerals
again, the state should receive at least US$300 million," Minister Dalence
told La Razon.  "That should be the aim of the modification of the tax
system," he added.

Minister Dalence's advocated tax change is part of a new mining policy that
will be introduced at the end of January.  Under this program, the
government has set up seminars and workshops that encourages the
participation of the state's mining firm Comibol, small mining cooperatives
and other mining companies in forming the Nueva Politica Minero Metalurgica
or the New Mining and Metallurgical Policy.

Pres. Evo Morales nationalized Bolivia's energy industry in May 2006 and
there were plans to reform the mining sector too and raise its tax, however,
in October, the president did not push trough with the plan and postponed
reforms until 2007 due to lack of funds.

Reports say that this new policy is promoted to revive Comibol's operations,
that is, to expand its smelting capacity.  It is also aimed at updating the
country's mining industry, which has considerable tin, zinc, wolfram, lead,
silver and gold deposits, by implementing a new royalty system of taxation,
from which several minerals will be included in the system.

Reuters relates that Minister Dalence said last year that the reform would
not include expropriations and would not lead to the industry's
nationalization.

                        *    *    *

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
===========


ARVINMERITOR: To Develop First Dual-Mode Drivetrain for Wal-Mart
----------------------------------------------------------------
ArvinMeritor, Inc. and Wal-Mart Transportation, Bentonville, Ark., have
agreed to development of a dual-mode, diesel-electric drivetrain for a Class
8 tractor.  The vehicle, which is believed to be the first dual-mode
diesel-electric tractor prototype in development in North America, will be
based on an International Class 8 ProStar tractor and powered by an engine
developed by Cummins Inc.

"We've been working on development of hybrid drivetrains for some time,"
said Carsten J. Reinhardt, president of the company's Commercial Vehicle
Systems business.  "This Class 8 project is a major step in our continuing
work in alternative drivetrain development -- both for power transmission
and emissions -- and holds tremendous promise for the worldwide heavy-duty
trucking market in a number of important environmental and economic ways."

ArvinMeritor will provide the tandem axle, regenerative braking system, air
disc brakes and advanced ABS with integrated stability control and driver
assistance systems (from Meritor WABCO Vehicle Control Systems), software,
electronic controls, transfer case, motors, as well as the battery power
from a third party.

"ArvinMeritor is a leader in all areas of drivetrain and brake system
development for heavy-duty commercial vehicles and is an ideal partner for
Wal-Mart for the development of this dual-mode diesel-electric systems,"
said Tim Yatsko, senior vice president-transportation for Wal-Mart.  "We
knew it would take a highly integrated approach, and we believe ArvinMeritor
understands all of the pieces of the puzzle needed to complete this
picture."

Wal-Mart had disclosed earlier that in the next 10 years, it intends to
double the fuel efficiency for its fleet of heavy-duty trucks.

Dual-mode diesel-electric drivetrains, which have both mechanical and
electrical propulsion systems, use the electric motor drive primarily for
periods of high demand under low-speed, high-load operating conditions, such
as accelerating from a stop. Once moving, the mechanical propulsion system
begins to blend its power with the electric motor until it reaches highway
speeds, where the drive phases to completely mechanical.  The electrical
system can provide additional power during hill climbing, even at highway
speeds.

In addition to its work at highway speeds, the engine also charges an
onboard energy storage system, which provides power to the electric motor
when demand is high.  Energy that is generated during braking is captured
and stored using regenerative braking.

In March 2005, ArvinMeritor announced an arrangement with Unicell on a
commercial pick-up and delivery program with an ArvinMeritor alternative
drivetrain, featuring the company's electric axle and system integration of
motors, gears and controls.  It offers zero emissions and fossil fuel
consumption, a ten percent increase in driver productivity from vehicle
enhancements.  The end-user customer is considering a larger order of the
vehicle.

Headquartered in Troy, Michigan, ArvinMeritor, Inc. --
http://www.arvinmeritor.com/-- is a premier US$8.8 billion
global supplier of a broad range of integrated systems, modules
and components to the motor vehicle industry.  The company
serves light vehicle, commercial truck, trailer and specialty
original equipment manufacturers and certain aftermarkets.
ArvinMeritor employs approximately 29,000 people at more than
120 manufacturing facilities in 25 countries.  It maintains 23
facilities in Venezuela, Brazil and Argentina.  ArvinMeritor
common stock is traded on the New York Stock Exchange under the
ticker symbol ARM.

                        *    *    *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the Automotive and Equipment sector, the rating
agency confirmed its Ba2 Corporate Family Rating for
ArvinMeritor, Inc.

Moody's also revised its probability-of-default ratings and
assigned loss-given-default ratings on these loans facilities:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------

   Sec. Revolving
   Credit Facility        Ba1     Baa3    LGD 2       18%

   Secured Term Loan      Ba1     Baa3    LGD 2       18%

   8-1/8% Sr. Notes       Ba3     Ba3     LGD 4       64%

   8-3/4% Sr. Notes       Ba3     Ba3     LGD 4       64%

   6-3/4% Sr. Notes       Ba3     Ba3     LGD 4       64%

   6.8% Senior Notes      Ba3     Ba3     LGD 4       64%

   6-5/8% Sr. Notes       Ba3     Ba3     LGD 4       64%

   7-1/8% Sr. Notes       Ba3     Ba3     LGD 4       64%

   Shelf Sr. Unsecured   (P)Ba3  (P)Ba3   LGD 4       64%


BANCO BRADESCO: Unit Eyes BRL10B Pension Contributions in 2007
--------------------------------------------------------------
Marco Antonio Rossi -- president of Bradesco Vida e Previdencia, the pension
unit of Banco Bradesco SA -- told Business News Americas that the firm
expects new pension contributions to increase 15% to BRL10 billion this
year, compared with last year.

Mr. Rossi commented to BNamericas, "Over the past 12 years, new
contributions have always grown over 20% a year, but staying above 20% this
year will be a difficult challenge.  Growth will be a bit more timid in
2007, but we're working with a bigger base.  That's what we want to happen
anyway.  I'd rather grow 10% a year in a large market than 20% a year in a
small market."

BNamericas relates that the latest figures from private pension association
Anapp indicated that new contributions increased 20.6% to BRL19.4 billion in
the first 11 months of 2006, compared with the same period in 2005.

Mr. Rossi expects full-year growth for 2006 to stay over 20% as December is
considered the best month of the year for the private pension sector, the
report says.

Mr. Rossi told BNamericas that sales of Vida Gerador de Beneficio Livre or
VGBL plans will continue to drive growth.  VGBL contributions increased
38.3% to BRL13.0bn reais in the first 11 months of 2006, compared with the
same period in 2005.

Banco Bradesco's size and range allow it to offer plans to all income
segments, unlike other local private pension providers that aim for
high-income investors, BNamericas notes, citing Mr. Rossi.

Mr. Rossi told BNamericas, "We see a lot of young professionals, people who
make 2,000 or 3,000 reais a month, coming in to buy VGBL plans.  Sometimes
we see low-income earners, people who make up to 1,000 reais a month, buying
VGBL plans."

As previously reported, the VGBL and Plano Gerador de Beneficio Livre or
PGBL schemes replaced the traditional plans in 2002.  The two plans hold
savings in investment funds, only allowing withdrawals under penalty.  VGBL
plans target taxpayers who file simplified returns.  PGBL plans are for
those who file itemized returns.

Private pension providers no longer offer the traditional plans that
guaranteed a minimum pension for holders.  A VGBL or PGBL holder gets 100%
of the fund's returns, although there is no guaranteed minimum.

               About Bradesco Vida e Previdencia

Bradesco Vida e Previdencia is Brazil's largest private pension provider
with a 37.9% market share in terms of contributions.  The unit also offers
life insurance and expects to increase 2006 revenues 25% to BRL10 billion.

                     About Banco Bradesco

Headquartered in Sao Paulo, Brazil, Banco Bradesco S.A. Banco --
http://www.bradesco.com.br/-- prides itself on serving low-and
medium-income individuals in Brazil since the 1960s. Bradesco is
Brazil's largest private bank, with more than 3,000 banking
branches, and also a leader in insurance and private pension
management.  Bradesco has branches throughout Brazil as well as
one in New York, and Japan.  Bradesco offers Internet banking,
insurance, pension plans, annuities, credit card services
(including football-club affinity cards for the soccer-mad
population), and Internet access for customers.  The bank also
provides personal and commercial loans, along with leasing
services.

                        *    *    *

Fitch Ratings upgraded Banco Bradesco S.A.'s short-term local
currency rating to 'F3' from 'B.'

Fitch has earlier taken these rating actions on Banco Bradesco:

   -- Foreign Currency Issuer Default Rating upgraded to
      'BB+' from 'BB', Outlook remains Stable;

   -- Short-term Foreign Currency rating affirmed at 'B';

   -- Local Currency Issuer Default Rating affirmed at 'BBB-',
      Outlook Stable;

   -- Individual rating affirmed at 'B/C';

   -- Support rating affirmed at '4';

   -- National Long-term affirmed at 'AA+(bra)', Outlook remains
      Stable; and

   -- National Short-term affirmed at 'F1+(bra)'.

Moody's Investors Service upgraded these ratings of Banco
Bradesco SA:

   -- long-term foreign currency deposits to Ba3 from B1; and

   -- long- and short-term global local currency deposit
      ratings to A1/Prime fom A3/Prime-2.

Moody's said the ratings outlook is stable.


BANCO FIBRA: Seeks US$50-Million Funding from IFC for Bond Issue
----------------------------------------------------------------
Banco Fibra SA has asked the International Finance Corp. aka IFC to help
fund a bond issue in Brazilian real for up to the equivalent of US$50
million, IFC said in a statement.

IFC told Business News Americas that Banco Fibra would use the proceeds from
the bond issue to boost its lending operations among middle and upper-middle
market firms.

BNamericas relates that IFC is expected to decide on Fibra's proposal by
Feb. 15.

Meanwhile, Banco Fibra net profits increased 34.9% to BRL27.4 million in the
first half of 2006, compared with the same period in 2005, BNamericas notes.
New lending rose 58.4% to BRL2.70 billion, while new commercial lending grew
18% to BRL2.19 billion.

Of Banco Fibra's 800 corporate customers, 50% are middle market with yearly
sales of up to BRL100 million, while 25% are upper-middle market with annual
sales of up to BRL400 million, IFC told BNamericas.

Banco Fibra had BRL9.91 billion in total assets in June 2006, BNamericas
states.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on Dec. 11, 2006,
Standard & Poor's Ratings Services assigned its 'B+' foreign-currency
long-term senior unsecured debt rating to Banco Fibra SA's US$75 million
notes with payment date on
Dec. 18, 2006 under the $500 million MTN program. The issue matures on Dec.
18, 2009.


BANCO NACIONAL: May Approve Maua Hydroelectric Project Financing
----------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social SA will likely ratify
funding for the 361-megawatt Maua hydroelectric project in Parana, Valor
Economico reports, citing Brazil's presidential chief of staff Dilma
Rousseff.

Business News Americas relates that Copel and Eletrosul own the Maua
project.  The two firms are negotiating with Banco Nacional for 70%
financing for the project, which is expected to cost BRL1 billion.

According to BNamericas, Mr. Rousseff promised to include the BRL1-billion
dredging of the Paranagua port in the government's list of priority
infrastructure projects.

BNamericas underscores that Maua's environmental impact study has already
been ratified.  Full licensing for the project will take one year, which is
in time for the start of construction in 2008 and a 2011 operational start.

The build-and-operate concession for Maua was awarded in the Brazilian
government power auction last year, BNamericas states.

Banco Nacional de Desenvolvimento Economico e Social is Brazil's
national development bank.  It provides financing for projects
within Brazil and plays a major role in the privatization
programs undertaken by the federal government.

                        *    *    *

As reported on Nov. 27, 2006, Standard & Poor's Ratings Services
changed the ratings outlook on both of Banco Nacional de
Desenvolvimento Economico e Social SA's foreign and local
currency counterparty credit ratings:

   -- Foreign currency counterparty credit rating
      * to BB/Positive/-- from  BB/Stable/--

   -- Local currency counterparty credit rating
      * to BB+/Positive/-- from BB+/Stable/--


BANCO NACIONAL: Okays BRL18.6-Million Loan for Congonhas Tunnel
---------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social SA said in a press
release that it has ratified BRL18.6-million loan for the construction of a
tunnel into Congonhas airport.

Business News Americas relates that the resources will be provided to
Concessionaria do Estacionamento de Congonhas, which runs the airport's
parking concession.

Concessionaria do Estacionamento will contribute BRL4.7 million, or 20% of
the BRL23.3 million to be invested for the construction of the tunnel,
BNamericas notes.

BNamericas underscores that the tunnel will be constructed under Washington
Luis avenue, which is one of the airport's main road links.

It is expected that the construction project will create 200 jobs,
BNamericas states.

Banco Nacional de Desenvolvimento Economico e Social is Brazil's
national development bank.  It provides financing for projects
within Brazil and plays a major role in the privatization
programs undertaken by the federal government.

                        *    *    *

As reported on Nov. 27, 2006, Standard & Poor's Ratings Services
changed the ratings outlook on both of Banco Nacional de
Desenvolvimento Economico e Social SA's foreign and local
currency counterparty credit ratings:

   -- Foreign currency counterparty credit rating
      * to BB/Positive/-- from  BB/Stable/--

   -- Local currency counterparty credit rating
      * to BB+/Positive/-- from BB+/Stable/--


BRASIL TELECOM: Sao Paolo Supreme Court Revokes YouTube Ban
-----------------------------------------------------------
Brasil Telecom Participacoes SA can now provide access to YouTube, after the
State Supreme Court of Sao Paulo reversed its ban order on the latter,
Business News Americas reports.

As reported in the Troubled Company Reporter-Latin America on Jan. 10, 2007,
Brasil Telecom blocked access to YouTube, as ordered by the court.  The
court was reacting to a lawsuit by Renato Malzoni Filho, a businessman in
Brazil, and Daniela Cicarelli, the latter's supermodel girlfriend. The
widely viewed video shows Ms. Cicarelli and Mr. Malzoni in intimate scenes
along a beach near the Spanish city of Cadiz.  Ms. Cicarelli and Mr. Malzoni
sued YouTube in September 2006 and won an injunction for the removal of the
video.  Judge Zuliani expanded his order and included the telecommunications
firms after the clip continued to appear periodically.  He also demanded
fixed line operators that provide a gateway to Internet service providers
need to heed to the ban until YouTube guarantees the video can't be seen on
its Web site in Brazil.

BNamericas relates that in the new ruling, Judge Zuliani has allowed
Internet service providers and telecommunications firms to continue
providing access to the site provided that YouTube Brasil permanently
removes the Cicarelli video.

"Blocking Internet access to the video was not practical, because many
sites, other than YouTube, also have the Cicarelli video online.  It is very
difficult to stop music and video downloads across a changing Internet
network," Jose Calazans, an analyst at consultancy Ibope, commented to
BNamericas.

                        *    *    *

As reported on Nov. 24, 2006, Standard & Poor's Ratings Services
revised its outlook on its long-term ratings on the Federative
Republic of Brazil to positive from stable.  Standard & Poor's
also affirmed these ratings on the Republic of Brazil:

   -- 'BB'for long-term foreign currency credit rating,
   -- 'BB+' for long-term local currency credit rating, and
   -- 'B' for short-term currency sovereign credit rating.


COMPANHIA PARANENSE: Talking with Banco Nacional for Funding
------------------------------------------------------------
Companhia Paranaense de Energia SA and Eletrosul are negotiating with Banco
Nacional de Desenvolvimento Economico e Social SA for 70% financing of the
361-megawatt Maua hydroelectric project in Parana, Business News Americas
reports.

Companhia Paranaense and Eletrosul own the Maua project, which is expected
to cost BRL1 billion.

Dilma Rousseff, Brazil's presidential chief of staff, told Valor Economico
that Banco Nacional will likely ratify funding for the 361-megawatt Maua
hydroelectric project in Parana.

According to BNamericas, Mr. Rousseff promised to include the BRL1-billion
dredging of the Paranagua port in the government's list of priority
infrastructure projects.

BNamericas underscores that Maua's environmental impact study has already
been ratified.  Full licensing for the project will take one year, which is
in time for the start of construction in 2008 and a 2011 operational start.

The build-and-operate concession for Maua was awarded in the Brazilian
government power auction last year, BNamericas states.

                     About Banco Nacional

Banco Nacional de Desenvolvimento Economico e Social is Brazil's
national development bank.  It provides financing for projects
within Brazil and plays a major role in the privatization
programs undertaken by the federal government.

                   About Companhia Paranaense

Headquartered in Parana, Brazil, COPEL aka Companhia Paranaense
de Energia SA -- http://www.copel.com/-- transmits and
distributes electricity to more than 3 million customers in the
state of Paran and has a generating capacity of nearly 4,600 MW,
primarily from hydroelectric plants.  COPEL also offers
telecommunications, natural gas, engineering, and water and
sanitation services.  The company restructured its utility
operations in 2001 into separate generation, transmission, and
distribution subsidiaries to prepare for full privatization,
which has been indefinitly postponed.  In response, COPEL is
re-evaluating its corporate structure.  The government of Parana
controls about 59% of COPEL.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 13, 2006, Moody's
America Latina upgraded the corporate family rating of Companhia Paranaense
de Energia aka Copel to Ba2 from Ba3 on its global scale and to Aa2.br from
A3.br on its Brazilian national scale.


COMPANHIA SIDERURGICA: European Antitrust Studying Corus Bid
------------------------------------------------------------
The European antitrust authorities are analyzing Companhia Siderurgica
Nacional's offer for Corus, Valor Economico reports.

As reported in the Troubled Company Reporter-Latin America on Dec. 20,
Companhia Siderurgica increased its purchase offer for Corus to US$9.6
billion or 515 pence a share, topping Tata Steel's 500 pence per share
offer.

The antitrust authorities will issue a legal opinion on Companhia
Siderurgica's offer on Feb. 5, Valor Economico notes.

Companhia Siderurgica's Investor Relations Director Jose Marcos Treiger told
Valor Economico, "The proposal analysis is a normal procedure during an
acquisition process.  We expect that our offer will be approved."

Business News Americas relates that the European Commission has cleared the
way for Tata Steel to acquire Corus.

The Takeover Panel, the independent UK-based merger and acquisition
regulator, set a Jan. 30 deadline for revisions to takeover offers from
Companhia Siderurgica and Tata, BNamericas states.

Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional
S.A. -- http://www.csn.com.br/-- produces, sells, exports and
distributes steel products, like hot-dip galvanized sheets,
tin mill products and tinplate.  The company also runs its own
iron ore, manganese, limestone and dolomite mines and has
strategic investments in railroad companies and power supply
projects.  The group also operates in Portugal and the U.S.

                        *    *    *

Standard & Poor's Ratings Services affirmed on Aug. 4, 2006, its
'BB' long-term corporate credit rating on Brazil-based steel
maker Companhia Siderurgica Nacional aka CSN after the
announcement of its association with U.S.-based steel maker
Wheeling-Pittsburgh Corp. in the U.S.  S&P said the outlook is stable.

Fitch Ratings viewed the proposed merger of Companhia
Siderurgica Nacional's or CSN North American operations with
those of Wheeling-Pittsburgh Corporation or WPSC to be neutral
to CSN's credit quality.  Fitch's ratings of CSN include:

  -- Foreign currency Issuer Default Rating: 'BB+';
  -- Local currency IDR: 'BBB-';
  -- National scale rating: 'AA (bra)';
  -- Senior unsecured notes 'BB+'; and
  -- Brazilian Real denominated debentures: 'AA (bra)'.


DURA AUTOMOTIVE: Trustee Appoints HSBC Bank to Creditors' Panel
---------------------------------------------------------------
Kelly Beaudin Stapleton, the United States Trustee for Region 3, has added
HSBC Bank USA, National Association, to the Official
Committee of Unsecured Creditors in DURA Automotive Systems, Inc. and its
debtor affiliates' Chapter 11 cases.

The Creditors Committee now comprises:

     (1) Wilfrid Aubrey LLC
         Attn: Nicholas W. Walsh
         100 William Street
         Suite 1850
         New York, NY 10038
         Phone: 212-675-4906
         Fax: 212-675-3626

     (2) BNY Trust Company Midwest
         Attn: Robert H. Major
         6525 W. Campus Oval
         New Albany, OH 43054
         Phone: 614-775-5278
         Fax: 614-775-5636

     (3) U.S. Bank National Association
         Attn: James E. Murphy
         100 Wall Street
         Suite 1600
         New York, NY 10005
         Phone: 212-361-6174
         Fax: 212-514-6841

     (4) International Union, UAW
         Attn: Niraj Ganatra, Esq.
         8000 East Jefferson Avenue
         Detroit, MI 48214
         Phone: 313-926-5216
         Fax: 313-926-5240

     (5) Pension Benefit Guaranty Corporation
         Attn: William McCarron, Jr.
         1200 K Street N.W.
         Washington, D.C. 20005
         Phone: 202-326-4000, ex. 3471
         Fax: 202-326-4112

     (6) Johnson Electric N.A., Inc.
         Attn: Douglas G. Eberle
         47660 Halyard Drive
         Plymouth, MI 48170
         Phone: 734-392-5308
         Fax: 734-392-5388

     (7) Thompson I.G., LLC
         Attn: Christine Maria DeSonia
         3196 Thompson Rd.
         Fenton, MI 48430
         Phone: 810-629-9558
         Fax: 810-629-8342

     (8) HSBC Bank USA, National Association
         Attn: Robert A. Conrad
         452 Fifth Avenue
         New York, NY 10018
         Phone: 212-525-1314
         Fax: 212-525-1300

                     About the Company

Rochester Hills, Mich.-based DURA Automotive Systems, Inc.
(Nasdaq: DRRA) -- http://www.DURAauto.com/-- is an independent
designer and manufacturer of driver control systems, seating
control systems, glass systems, engineered assemblies, structural door
modules and exterior trim systems for the global automotive industry.  The
company is also a supplier of similar products to the recreation vehicle and
specialty vehicle industries.  DURA sells its automotive products to North
American, Japanese and European original equipment manufacturers and other
automotive suppliers.

The Debtors filed for chapter 11 petition on Oct. 30, 2006
(Bankr. District of Delaware Case No. 06-11202).  Richard M.
Cieri, Esq., Marc Kieselstein, Esq., Roger James Higgins, Esq.,
and Ryan Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead
counsel for the Debtors' bankruptcy proceedings.  Mark D. Collins, Esq.,
Daniel J. DeFranseschi, Esq., and Jason M. Madron, Esq., of Richards Layton
& Finger, P.A. Attorneys are the Debtors' co-counsel.  Baker & McKenzie acts
as the Debtors' special counsel.  Togut, Segal & Segal LLP is the Debtors'
conflicts counsel.  Miller Buckfire & Co., LLC is the Debtors' investment
banker.  Glass & Associates Inc., gives financial advice to the Debtor.
Kurtzman Carson Consultants LLC handles the notice, claims and balloting for
the Debtors and Brunswick Group LLC acts as their Corporate Communications
Consultants for the Debtors.  As of July 2, 2006, the Debtor had
US$1,993,178,000 in total assets and US$1,730,758,000 in total liabilities.
(Dura Automotive Bankruptcy News, Issue No. 4; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


GP INVESTMENTS: Fitch Rates US$150MM Perpetual Notes at B/RR4
-------------------------------------------------------------
Fitch rates GP Investments Ltd. as:

   -- Foreign currency Issuer Default rating 'B';
   -- Intended issue of US$150 million of perpetual notes
      'B/RR4'.

The Rating Outlook is Stable.

GP's ratings are supported by conservative leverage levels, the franchise of
the company and the experience of the management team which bodes well for
positive prospects going forward.  The ratings are constrained, however, by
the highly concentrated nature of the intended investment portfolio (by
country and by individual investment size), the negative cash flow implied
by recurring fixed expenses (operational and debt service) versus recurring
income, and the uncertainty related to the maturation period of the
investment portfolio and GP's ability to realize investment gains.

GP is a Bermuda exempted company that consolidates the activities of a
private equity business and an asset management business in Brazil.  The
company's activities started in 1993 as an asset manager dedicated to
private equity activities, managed by partners with substantial experience
in the Brazilian market.  A major corporate reorganization was completed in
2005 in preparation to an IPO of the company during year 2006. The company
is listed on the Luxembourg Stock Exchange and also has a BDS program on the
Brazilian Stock Market aka Bovespa.

Since 1993, GP has built up a successful track record in the Brazilian
private equity market, having invested (indirectly trough the funds it
manages) more than US$1.4 billion in 40 companies in Brazil as of December
2006.  Over time the company has refined its investment strategies.  It
currently looks to acquire investments only with control or joint control
positions, with a preference for larger companies (at least US$50 million in
revenues), and will not invest in start-ups and green field projects; while
some limits regarding maximum exposures by company or sector are in place,
GP's investment portfolio is, and will remain, highly concentrated.  As of
end September 2006, GP managed a portfolio of two investments and has
announced the subscription of 4 additional investments.  The significant
reduction in the size of the investment portfolio down to US$83 million at
end-September 2006 (including minority interest), is the result of the
reorganization process completed in 2006, where the company spun off the
bulk of its previous investments in three other private equity funds and
also completed the subscription of US$308 millions in new capital through
the successful IPO in the Brazilian and Luxembourg stock market.  The
proceeds are expected to be used to fund new investments in the private
equity business.

In addition to its private equity business, the company through its
subsidiary GP Asset (a 64.5%-owned Brazilian subsidiary) offers services
focused on creating and managing alternative fixed-income, equity and
multi-asset funds to institutional clients, financial intermediaries,
private clients and investment vehicles in Brazil.  This business provides
an important portion of the recurring income of the company, though
historically total recurring income (defined by Fitch as management fees,
and other sources of income not related to the success of an specific
investment) has not been sufficient to cover operating expenses, which have
been funded through the income generated by the positive results of the
valuation and exits in the investment portfolio and the maintenance of
liquidity on hand for these purposes. Given the unpredictable nature of the
results and timing of capital gains in the investment portfolio or of the
possible positive results in future exits of those investments and the
concentration of the portfolio, Fitch Ratings believes that a more ample
array of recurring income would be needed to sustain current operating
expenses, which will include debt service after the issue, and enhance the
risk profile of the company.

The perpetual notes will have no fixed final maturity date and will be
repaid only in the event that the Issuer redeems the notes or upon
acceleration due to an event of default.  The notes will be general
unsubordinated obligations of the Issuer and will rank 'pari passu' with the
issuer's unsubordinated indebtedness.  The obligations of the Issuer under
the notes will be secured by a first priority pledge by the Issuer of shares
representing 100% of the currently outstanding shares of GP Private Equity
Ltd., and liquidity will be supported by an 18 month coupon payment reserve
which will be deposited in a trustee. The rating of the issuance recognizes
the liquidity implicit in the coupon reserve, augmented by substantial cash
currently on hand, nevertheless, the concern is that the latter is intended
to be used for investments, and its availability at any point during the
life of the debt instrument is difficult to predict.


INDEPENDENCIA ALIMENTOS: Moody's Assigns B3 Corp. Family Rating
---------------------------------------------------------------
Moody's Investors Service assigned a B3 global local currency scale
corporate family rating to Independencia Alimentos Ltda. and also a (P)B3
foreign currency rating to its proposed US$150 million senior unsecured
notes issued by Independencia International Ltd.  but unconditionally
guaranteed by Independencia, subject to closing.

"The B3 global local currency rating reflects primarily Independência's
relative small size, scale and limited geographic diversification of its raw
materials, along with the risks posed by animal disease issues, high
leverage and family-owned status and financial disclosure affecting its
corporate governance standards," says Moody's analyst Soummo Mukherjee.
"More positively, the B3 rating also reflects the company's competitive
cost-structure leading to its high margins compared to its global peers, the
diversification of its sales into wet blue leather and pork besides its core
fresh-meat beef business, and the overall positive fundamentals for the
Brazilian fresh beef and leather industries," he adds.

This is the first time Moody's has rated Independencia.  The rating outlook
is stable.

Moody's assigned these ratings:

   -- Guaranteed US$150 million in senior unsecured notes:
      (P)B3; and

   -- Global local currency scale corporate family rating: B3.

Approximately US$100 million of the net proceeds of the proposed notes will
be used to repay a portion of existing short-term debt, while the remaining
US$50 million will be used for capital expenditures and general corporate
purposes.  Moody's has reviewed preliminary draft legal documentation for
the transaction.  The rating assumes there will be no material variation
from the drafts reviewed and that all legal agreements are legally valid,
binding and enforceable.

Moody's considers Independencia's B3 global local currency corporate family
rating in the context of the key rating drivers cited in Moody's Rating
Methodology for Global Natural Product Processors.  Among such factors, the
B3 reflects Independencia's relative small size in terms of revenues and its
position as the fifth largest beef processor in Brazil behind Friboi (rated
B1), Bertin (rated Ba3), Marfrig (rated B1) and Minerva.  Additionally, the
B3 rating reflects the sector's exposure to animal disease and food safety
issues, which could lead currently importing countries to indefinitely
suspend or restrict imports of fresh beef or pork from certain Brazilian
states or the entire country.  Over 50% of Independência's sales are derived
from fresh meat exports.  Moody's also views Independência as susceptible to
an outbreak of foot-and-mouth disease although we recognize the company's
efforts to mitigate this risk by diversifying its production facilities into
additional states in Brazil.  Independencia's nine production facilities are
currently five Brazilian states:

   -- Mato Grosso do Sul,
   -- Minas Gerais,
   -- Sao Paulo,
   -- Rondonia and
   -- Tocantins.

"Independencia, however, benefits from the positive fundamentals of the
Brazilian beef industry, which include, among other factors, the fact that
Brazil has the largest commercial cattle herd and that the cattle in Brazil
is grass-fed, virtually eliminating the risk of BSE (mad-cow disease) and
producing the low fat and chemical-free beef quality that most of its
importing countries prefer," says Mr. Mukherjee.  "Additionally Brazilian
beef producers also enjoy one of the most competitive cost structures in the
world, largely driven by Brazil's lower costs for land and labor, compared
to other major global producers," he adds.

Moody's views Independencia's privately-held and family-owned status as a
factor in the company's corporate governance practices.  As a privately-held
limited company, Independência is not subject to most of the corporate
governance and financial reporting practices of a publicly-traded company.
Moreover, the company's financial statements are audited by a small
Brazilian auditing firm that is not well-recognized internationally.
However, Independencia has changed its audit firm to a larger, more
well-recognized one, which Moody's regards as a positive step.

The B3 foreign-currency rating assigned to the guaranteed senior unsecured
notes is at the same level as the global local currency corporate family
rating because of Independencia's low level of secured debt (less than 15%
of total debt), which will be further reduced after the proposed new issue.

The stable outlook is based on the expectation that the current embargo due
to FMD by many key importing countries on Brazilian beef will not materially
impact Independencia's operations going forward.  Additionally, the stable
outlook assumes that Independencia will deliver on its strategic initiatives
to expand slaughter capacity and grow export sales, leading to growth in
revenues and cash flow, which will be used to reduce debt.

Independencia's rating could be under downward pressure if earnings and cash
flow are negatively impacted or its liquidity becomes constrained due to the
loss of key export markets or a prolonged downturn in the Brazilian beef
processing industry.  The ratings could also be downgraded if the company's
debt level increases so that Debt/EBITDA (according to Moody's standard
adjustments) is higher than 6.0 times.

Similarly, upward pressure on Independência's current B3 rating would occur
if it delivers on its strategic plans to grow revenues and earnings,
improves its financial reporting standards, and is able to reduce its
current leverage so that Debt/EBITDA (according to Moody's standard
adjustments) falls below 5.0 times on a sustainable basis.

Headquartered in Cajamar, Sao Paulo, Brazil, Independencia is Brazil's
fourth largest producer of fresh and frozen beef and wet blue leather with
eight beef slaughtering facilities, one pork slaughtering facility, a jerked
beef plant and three storage facilities located in these five Brazilian
States: Mato Grosso do Sul, Minas Gerais, Sao Paulo, Rondonia and Tocantins.


METROLOGIC: Names Cecil F. Bowes as National Sales Manager
----------------------------------------------------------
Metrologic Instruments, Inc., has appointed Cecil F. Bowes as national sales
manager.  In this role, Mr. Bowes will be responsible for supporting
strategic sales initiatives for Metrologic's line of bi-optic and hand-held
bar code scanning products as well as mobile computers for food and
drugstore retailers in North and South America.

"Cecil has a fantastic reputation within the industry and his experience
will give Metrologic momentum in two marketplaces essential to our continued
success," said Mark Behrman, Metrologic's director of strategic sales.

Metrologic retained Mr. Bowes because of his ability to develop successful
sales programs directed toward the three major tiers of both the POS and
AIDC industries: end users, value-added resellers and distributors.  For Mr.
Bowes, Metrologic is the right company at the right time.

"Joining Metrologic is an ideal situation for me," said Mr. Bowes.  "The way
Metrologic has positioned their products to improve retailer productivity
worldwide along with their focus on customer support and service, creates a
win-win situation for both parties.  I am pleased to be associated with such
an impressive company and look forward to getting Metrologic products into
the Tier-1 retailers."

Prior to joining Metrologic, Mr. Bowes spent 15 years with PSC Inc., a
provider of data capture technology and services.  During his tenure there,
Mr. Bowes held several executive positions, including vice president of
sales for North and South America and the Asian-Pacific region.

Headquartered in Blackwood, New Jersey, Metrologic Instruments,
Inc. is a global supplier for data capture and collection
hardware, and image processing software.  The company had LTM
September 2006 revenues of approximately US$210 million.  The
company has operations in Brazil and Mexico.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 5, 2006,
Moody's Investors Service has assigned a B2 corporate family
rating to Metrologic Instruments, Inc.  At the same time,
Moody's assigned a B1 rating to the proposed 1st lien senior
secured credit facility (US$125 million term loan and US$35
million undrawn revolver) and a Caa1 rating to the proposed
US$75 million 2nd lien senior secured credit facility. The
ratings for the two senior secured facilities reflect both the
overall probability of default of the company, to which Moody's
assigns a PDR of B2, and a loss given default of LGD 3 for the
first lien and LGD 5 for the second lien.  Moody's said the
rating outlook is stable.


PETROLEO BRASILEIRO: Launches Cidade do Rio Project Operations
--------------------------------------------------------------
Petroleo Brasileiro SA reported that the Cidade do Rio de Janeiro Floating
Production Storage and Offloading or FPSO has started operating in the
Espadarte field, in the Campos Basin.

The Cidade do Rio de Janeiro FPSO unit is 320 meters long, 54 meters wide,
and 30 meters tall, corresponding to a 10-story building.  It will be
capable of lifting up to 100,000 barrels of oil and 2.5 million cubic meters
of gas per day.  Installed at a water depth of 1,350 meters, the new
platform can store 1.6 million barrels of oil.  The new project is expected
to reach its full production capacity during 2007.  When operating at full
load, it will be connected to nine underwater wells, five of which for oil
and natural gas production while the other four are used for water
injection.

The FPSO has several technological innovations onboard, among which a new
oil-pumping system developed by the Petrobras Research Center.  The
underwater centrifuge pumping system assists in lifting the oil from the
field to the platform.  The great advantage, compared to the traditional
systems, is that it is installed externally to the well, on the sea floor,
expediting pump maintenance and replacement.  This technology will slash
operating costs, facilitate remote intervention in the connected wells, and
do away with completion rig use, one of the most expensive equipment to
lease in the international market.

Contracted from MODEC International LCC, the Cidade do Rio de Janeiro FPSO
will make a significant contribution to maintaining Brazilian oil
self-sufficiency.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, distributes oil and natural gas
and power to various wholesale customers and retail distributors
in Brazil.

Petrobras has operations in China, India, Japan, and Singapore.

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


TAM SA: Increases to 17 Daily Flights to Paris as of Jan. 12
------------------------------------------------------------
TAM Airlines, which currently operates 14 weekly flights to Paris, will
start to operate 17 as of Jan. 12, with the daily flights originating at the
Antonio Carlos Jobim (Galeao) international airport, in Rio de Janeiro.  The
company plans to execute the 21 authorized flights in the bilateral
agreement between Brazil and France by the end of the quarter.

Due to logistical delays in receiving parts, Boeing Capital postponed the
delivery of a MD-11.  As a consequence, one of the daily flights leaving
from Guarulhos, in Sao Paulo, to Miami, will be operated with an Airbus A320
aircraft, which is similar to the flight originating in Fortaleza with stops
in Belem and Manaus.  The measure also considers the lower demand to this
U.S. destination in the first weeks of the year.  The executive class
passengers will be accommodated in other TAM flights or in flights on
American Airlines that has a code-share agreement with TAM.  One of the
three daily flights to Miami will continue to be operated with an Airbus
A330-200.

The delivery of the three MD-11 aircraft is scheduled in the short-term
contract signed with Boeing at the end of October 2006.  These aircraft will
be utilized by TAM to operate long-haul international flights until the
delivery of the four new Boeing 777-300ERs expected for mid-2008, according
to the firm orders and additional four options signed between the two
companies.

TAM SA -- http://www.tam.com.br/-- operates regular flights to
47 destinations throughout Brazil.  It serves 72 different
cities in the domestic market through regional alliances.
Additionally, it maintains code-share agreements with
international airline companies that allow passengers to travel
to a large number of destinations throughout the world.  TAM was
the first Brazilian airline company to launch a loyalty program.
The program has over 3.3 million subscribers and has awarded
more than 3.6 million tickets.

                        *    *    *

Fitch assigned on Aug. 8, 2006, foreign currency and local
currency Issuer Default Ratings of 'BB' to TAM SA.  Fitch has
also assigned a national scale rating of 'A+' (bra)' to TAM.
Fitch said the rating outlook is stable.


TAM SA: Gets IATA Operational Safety Audit Registration
-------------------------------------------------------
TAM S.A. received IATA Operational Safety Audit Registration, the most
accepted and complete international safety certification.

"The IOSA program is an important tool that supports the industry's
continuous focus on operational safety," said Guenther Matschnigg, IATA's
Senior Vice-President of Safety, Operations & Infrastructure. "By being IOSA
Registered, TAM has demonstrated its dedication to operational safety
processes that meet international standards and best practices used by the
world's leading airlines."

"This is another important step for TAM. We have stressed safety as a
commandment left by our founder, Captain Rolim Amaro, and it has always
guided our operations," said Marco Antonio Bologna, TAM's CEO.  According to
best governance standards, the Flight Safety department is totally
independent from other areas of the company, responding directly to the CEO.

The IOSA program was launched in 2003 and is currently recognized as a
global standard for airline operational safety management.  The IOSA Audit
consists of over 700 standards in eight operational areas of an airline,
including corporate organization and management systems, flight operations,
flight dispatch, aircraft engineering and maintenance, cabin operations,
ground handling, cargo operations and operational security.  These standards
collectively measure the operational ability of an airline to deliver a safe
operation.

Elaborated in a standardized, consistent manner, IOSA reports can be
accepted, for instance, for airlines in code-share agreements, reducing
significantly the amount of redundant auditing.

                        Safety at TAM

TAM regularly follows rules and standards established by Brazilian aviation
authorities and by international organizations, such as ICAO --
International Civil Aviation Organization.  The company is affiliated with
the most important civil aviation entities worldwide, among them FSF --
Flight Safety Foundation, the largest global non-governmental safety
organization.

TAM actively participates in coordination of IATA's Americas Regional Flight
Safety Committee.  Also, the company follows regulations of:

   -- the FAA or Federal Aviation Administration, which controls
      North American aviation;

   -- the NTSB or National Transportation Safety Board; and

   -- DoT or Department of Transportation,

fully complying with requirements to operate in North American air space.

In July 2006, three months before the inaugural flight to London, TAM became
part of the United Kingdom Flight Safety Committee or UKFSC, the association
of entities and professionals that oversees flight safety improvement for
commercial aviation in the United Kingdom.  That same year, it also joined
the steering committee of IATA's Emergency Response and Planning Task Force
or ERPTF.

Having safety as one of the company's commandments, a legacy of the founder,
Captain Rolim Amaro, TAM is present among companies worldwide that are
highly involved in flight safety, adopting modern "Safety" standards of
organization and management.  An example is the FOQA or Flight Operations
Quality Assurance system used by the company that guarantees maximum
proactive prevention with systematic analysis of additional recorded flight
parameter information.  In 2002, TAM became the first company in Latin
America to adopt this system.  In the past year, TAM has been invited by
CNPAA (National Committee of Aviation Accident Prevention) to coordinate
standardization work based on such a system to, in accordance with ICAO
rules, be adopted by other Brazilian airlines.

As an effective member of SAC or Safety Advisory Committee, TAM joins a
select group of airlines that make up the Strategic Planning Safety
Committee whose mandate is to manage sector studies and actions regarding
IATA members.

TAM SA -- http://www.tam.com.br/-- operates regular flights to
47 destinations throughout Brazil.  It serves 72 different
cities in the domestic market through regional alliances.
Additionally, it maintains code-share agreements with
international airline companies that allow passengers to travel
to a large number of destinations throughout the world.  TAM was
the first Brazilian airline company to launch a loyalty program.
The program has over 3.3 million subscribers and has awarded
more than 3.6 million tickets.

                        *    *    *

Fitch assigned on Aug. 8, 2006, foreign currency and local
currency Issuer Default Ratings of 'BB' to TAM SA.  Fitch has
also assigned a national scale rating of 'A+' (bra)' to TAM.
Fitch said the rating outlook is stable.




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


3S SOLUTIONS: Shareholders to Gather for Jan. 12 Final Meeting
--------------------------------------------------------------
3S Solutions Ltd.'s final shareholders meeting will be at 12:00 p.m. on Jan.
12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Limited
          Walker House, 87 Mary Street
          George Town, Grand Cayman


ACACIA CDO: Last Day for Proofs of Claim Filing Is on Jan. 13
-------------------------------------------------------------
Acacia CDO 2, Ltd.'s creditors are required to submit proofs of claim by
Jan. 13, 2007, to the company's liquidators:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Ltd., Walker House
          87 Mary Street, George Town,
          Grand Cayman KY1-9002, Cayman Islands
          Tel: (345) 914-6305

Creditors who are not able to comply with the Jan. 13 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Acacia CDO's shareholders agreed on Dec. 14, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


BGBW FX: Shareholders to Convene for Final Meeting on Jan. 12
-------------------------------------------------------------
BGBW FX Vol. ARB. Fund's final shareholders meeting will be at 9:30 a.m. on
Jan. 12, 2007, at the liquidator's office at:

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

These agenda will be taken during the meeting:

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

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

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

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


BROAD STREET: Calls Shareholders for Final Meeting on Jan. 12
-------------------------------------------------------------
Broad Street Offshore Fund, Ltd.'s final shareholders meeting will be at
10:00 a.m. on Jan. 12, 2007, at:

         Kroll (Cayman) Limited
         4th Floor, Bermuda House
         Dr. Roy's Drive
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Gordon I. MacRae
          Attn: Korie Drummond
          Kroll (Cayman) Limited, 4th Floor
          Bermuda House, Dr. Roy's Drive
          Grand Cayman, Cayman Islands
          Tel: (345) 946-0081
          Fax: (345) 946-0082


CAP EUROPEAN: Invites Shareholders for Final Meeting on Jan. 12
---------------------------------------------------------------
CAP European Long Short Fund's final shareholders meeting will be at 9:00
a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

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


CHERRY WILLOW: Sets Final Shareholders Meeting on Jan. 12
---------------------------------------------------------
Cherry Willow Holding Co., Ltd.'s final shareholders meeting will be at
11:00 a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited, Walker House
         87 Mary Street, George Town
         Grand Cayman, Cayman Islands


CHEYNE US: Shareholders to Gather for Final Meeting on Jan. 12
--------------------------------------------------------------
Cheyne U.S. Event Driven Fund Inc.'s final shareholders meeting will be at
11:00 a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited, Walker House
         87 Mary Street, George Town
         Grand Cayman, Cayman Islands


CITIGROUP ALTERNATIVE: Final General Meeting Is Set for Jan. 12
---------------------------------------------------------------
Citigroup Alternative Investments Enhanced Arbitrage Strategies Fund Ltd.'s
final shareholders meeting will be at 10:00 a.m. on Jan. 12, 2007, at the
company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Limited
          Walker House
          P.O. Box 908, George Town
          Grand Cayman, Cayman Islands


COSAN FINANCE: S&P Rates 10-Year US$300-Million Notes at BB
-----------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB' credit rating to the
proposed 10-year US$300 million notes offered by Cosan Finance Ltd., a
wholly owned subsidiary of Cosan S.A. Industria e Comercio (BB/Stable/--)
based in Cayman Islands.

The rating on the notes reflects the unconditional and irrevocable guarantee
by Cosan (the notes will also carry the joint and several guarantee of
Cosan's subsidiary, Usina da Barra S.A. Alcar e Alcool - Da Barra; not
rated).

Proceeds from the proposed 10-year US$300 million senior unsecured notes
should be mostly used to finance the bulk of Cosan's projected capital
expenditures, including its cogeneration business, and refinance part of the
company's long-term debt, which includes the US$200 million bond due in
2009.  Cosan's total debt outstanding in October 2006 amounted to US$1.1
billion.

Results from the quarter ended Oct. 31, 2006, reflect Cosan's continuing
strong operating performance, with EBITDA margin remaining at the 25% level
and improving cash flow coverage metrics reflected by funds from
operations-to-total debt of 33% in the 12 months ended October 2006.  In the
same period, Cosan reported total debt-to-EBITDA of 2.9x (net ratio of 2.4x)
and EBITDA-to-interest coverage ratio of 2.9x (net ratio of 11.1x).  In the
fiscal year ended April 2007, we expect total debt-to-EBITDA and
EBITDA-to-interest coverage ratios to reach 3.5x and 2.7x, respectively.

While operating performance is expected to remain strong, we anticipate some
deterioration in credit metrics as the company goes forward with an
aggressive investment plan for the next three years.  Standard & Poor's does
not expect Cosan to show positive free operating cash flow before 2010, and
expected credit metrics of FFO-to-total debt of 20% and total debt-to-EBITDA
of 3.5x are borderline for the current rating category.

Cosan's strong liquidity, which is comprised of cash holdings of US$186
million and liquid inventory (at a season peak of about US$250 million), is
a key component of the company's financial flexibility to face the seasonal
demands of its industry and the aggressive capital expenditure ahead.


ECLIPSE GLOBAL: Final Shareholders Meeting Is Set for Jan. 12
-------------------------------------------------------------
Eclipse Global Monetary Fund Ltd.'s final shareholders meeting will be at
9:00 a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Limited
          Walker House
          P.O. Box 908, George Town
          Grand Cayman, Cayman Islands


EUROTAX GLASS'S: Final General Meeting Is Set for Jan. 12
---------------------------------------------------------
Eurotax Glass's DDB Ltd.'s final shareholders meeting will be at 10:00 a.m.
on Jan. 12, 2007, at:

         200 Crescent Court
         Suite 1600, Dallas
         Texas, USA

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

         David Knickel
         Attn: Alexandra Corner
         87 Mary Street, George Town
         Grand Cayman, Cayman Islands
         Tel: +44 207 220 4989
         Fax: +44 207 220 4998


FINE METAL: Deadline for Proofs of Claim Filing Is on Jan. 13
-------------------------------------------------------------
Fine Metal Holdings Inc.'s creditors are required to submit proofs of claim
by Jan. 13, 2007, to the company's liquidators:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Ltd., Walker House
          87 Mary Street, George Town,
          Grand Cayman KY1-9002, Cayman Islands
          Tel: (345) 914-6305

Creditors who are not able to comply with the Jan. 13 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Fine Metal's shareholders agreed on Dec. 14, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


JERMYN STREET: Shareholders to Convene for Jan. 12 Final Meeting
----------------------------------------------------------------
Jermyn Street Capital Ltd.'s final shareholders meeting will be at 10:30
a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Limited
          Walker House
          P.O. Box 908, George Town
          Grand Cayman, Cayman Islands


JOFI SAPPORO: Creditors Must Submit Proofs of Claim by Jan. 13
--------------------------------------------------------------
Jofi Sapporo Chuo Holding Ltd.'s creditors are required to submit proofs of
claim by Jan. 13, 2007, to the company's liquidators:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Ltd., Walker House
          87 Mary Street, George Town,
          Grand Cayman KY1-9002, Cayman Islands
          Tel: (345) 914-6305

Creditors who are not able to comply with the Jan. 13 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Jofi Sapporo's shareholders agreed on Dec. 14, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


KASAMA HOLDING: Deadline for Proofs of Claim Filing Is Jan. 13
--------------------------------------------------------------
Kasama Holding Cayman, Inc.'s creditors are required to submit proofs of
claim by Jan. 13, 2007, to the company's liquidators:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Ltd.
          Walker House, 87 Mary Street, George Town
          Grand Cayman KY1-9002, Cayman Islands
          Tel: (345) 914-6305

Creditors who are not able to comply with the Jan. 13 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Kasama Holding's shareholders agreed on Dec. 14, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


KENMAR STRATEGIC: Final Shareholders Meeting Is Set for Jan. 12
---------------------------------------------------------------
Kenmar Strategic Alpha Fund Ltd.'s final shareholders meeting will be at
9:30 a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Limited
          Walker House, 87 Mary Street
          George Town, Grand Cayman


KOOKABURRA FINANCE: Final Shareholders Meeting Is on Jan. 12
------------------------------------------------------------
Kookaburra Finance (No. 3) Ltd.'s final shareholders meeting will be at
11:30 a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited, Walker House
         87 Mary Street, George Town
         Grand Cayman, Cayman Islands


MUTUAL FUND: Creditors Must Submit Proofs of Claim by Jan. 12
-------------------------------------------------------------
Mutual Fund Basket Reference Fund (9-A) Ltd.'s creditors are required to
submit proofs of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Mutual Fund's shareholders agreed on Nov. 23, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


MUTUAL FUND BASKET: Last Shareholders Meeting Is Set for Jan. 12
----------------------------------------------------------------
Mutual Fund Basket Reference Fund (3-B) Ltd.'s final shareholders meeting
will be on Jan. 12, 2007, at:

         Fortis Bank (Cayman) Limited
         P.O. Box 2003, Grand Pavilion
         Commercial Centre, 802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


MUTUAL FUND (9-A): Proofs of Claim Filing Is Until Jan. 12
----------------------------------------------------------
Mutual Fund Basket Reference Fund (9-A) Ltd.'s creditors are required to
submit proofs of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Mutual Fund's shareholders agreed on Nov. 23, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


MUTUAL FUND (9-A): Calls Shareholders for Jan. 12 Final Meeting
---------------------------------------------------------------
Mutual Fund Basket Reference Fund (9-A) Ltd.'s final shareholders meeting
will be on Jan. 12, 2007, at:

         Fortis Bank (Cayman) Limited
         P.O. Box 2003, Grand Pavilion
         Commercial Centre, 802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


MUTUAL FUND (9-B): Last Day to File Proofs of Claim Is Jan. 12
--------------------------------------------------------------
Mutual Fund Basket Reference Fund (9-B) Ltd.'s creditors are required to
submit proofs of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Mutual Fund's shareholders agreed on Nov. 23, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


MUTUAL FUND (9-B): Final Shareholders Meeting Is on Jan. 12
-----------------------------------------------------------
Mutual Fund Basket Reference Fund (9-B) Ltd.'s final shareholders meeting
will be on Jan. 12, 2007, at:

         Fortis Bank (Cayman) Limited
         P.O. Box 2003, Grand Pavilion
         Commercial Centre, 802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


MUTUAL FUND (9-C): Claims Filing Deadline Is Set for Jan. 12
------------------------------------------------------------
Mutual Fund Basket Reference Fund (9-C) Ltd.'s creditors are required to
submit proofs of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Mutual Fund's shareholders agreed on Nov. 23, 2006, for the company's
voluntary liquidation under Section 135 of the Companies Law (2004 Revision)
of the Cayman Islands.


MUTUAL FUND (9-C): Final General Meeting IS Ste for Jan. 12
-----------------------------------------------------------
Mutual Fund Basket Reference Fund (9-C) Ltd.'s final shareholders meeting
will be on Jan. 12, 2007, at:

         Fortis Bank (Cayman) Limited
         P.O. Box 2003, Grand Pavilion
         Commercial Centre, 802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


NC REALTY: Invites Shareholders for Final Meeting on Jan. 12
------------------------------------------------------------
NC Realty Investment Cayman's final shareholders meeting will be at 9:30
a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Limited
          Walker House, 87 Mary Street
          George Town, Grand Cayman


PACTUAL FIXED: Calls Shareholders for Final Meeting on Jan. 12
--------------------------------------------------------------
Pactual Fixed Income Fund, Ltd.'s final shareholders meeting will be at
11:00 a.m. on Jan. 12, 2007, at:

          Avenida Brigadeiro Faria Lima
          9th Floor, Itaim Bibi
          Sao Paulo, Brazil

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

          Carolina Tepedino
          Iuri Rapoport
          Avenida Brigadeiro Faria Lima
          8th Floor, Itaim Bibi
          Sao Paulo, Brazil


PREDICTION MANAGEMENT: Claims Filing Deadline Is on Jan. 13
-----------------------------------------------------------
Prediction Management Co.'s creditors are required to submit proofs of claim
by Jan. 13, 2007, to the company's liquidators:

          John Cullinane
          Derrie Boggess
          c/o Walkers SPV Ltd.
          Walker House, 87 Mary Street, George Town
          Grand Cayman, KY1-9002, Cayman Islands

Creditors who are not able to comply with the Jan. 13 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Predicton Management's shareholders agreed on Dec. 14, 2006, for the
company's voluntary liquidation under Section 135 of the Companies Law (2004
Revision) of the Cayman Islands.


QUILMES BANK: Liquidator to Present Wind Up Accounts on Jan. 12
---------------------------------------------------------------
Quilmes Bank and Trust (Cayman) Ltd.'s final shareholders meeting will be at
11:00 a.m. on Jan. 12, 2007, at the company's registered office.

         200 Crescent Court
         Suite 1600, Dallas
         Texas, USA

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

         Russell Smith
         Attn: Matthew Smith
         P.O. Box 2499, George Town
         Grand Cayman, Cayman Islands
         Tel: (345) 946 0820
         Fax: (345) 945 0864


SAPIC-98: Shareholders to Convene for Jan. 12 Final Meeting
-----------------------------------------------------------
Sapic-98 Reference Fund (3) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Fortis Prime Fund Solutions (Cayman) Limited
         P.O. Box 2003, Grand Pavilion Commercial Centre
         802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC-98 (29): Creditors Must File Proofs of Claim by Jan. 12
-------------------------------------------------------------
Sapic-98 Reference Fund (29) Ltd.'s creditors are required to submit proofs
of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Sapic-98's shareholders agreed on Nov. 23, 2006, for the company's voluntary
liquidation under Section 135 of the Companies Law (2004 Revision) of the
Cayman Islands.


SAPIC-98 (29): Last Shareholders Meeting Is Set for Jan. 12
-----------------------------------------------------------
Sapic-98 Reference Fund (29) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Fortis Prime Fund Solutions (Cayman) Limited
         P.O. Box 2003, Grand Pavilion Commercial Centre
         802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC-98 (34): Last Day to File Proofs of Claim Is on Jan. 12
-------------------------------------------------------------
Sapic-98 Reference Fund (34) Ltd.'s creditors are required to submit proofs
of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Sapic-98's shareholders agreed on Nov. 23, 2006, for the company's voluntary
liquidation under Section 135 of the Companies Law (2004 Revision) of the
Cayman Islands.


SAPIC-98 (34): Shareholders to Gather for Final Meeting Today
-------------------------------------------------------------
Sapic-98 Reference Fund (34) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Fortis Prime Fund Solutions (Cayman) Limited
         P.O. Box 2003, Grand Pavilion Commercial Centre
         802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC-98 (46): Proofs of Claim Filing Deadline Is on Jan. 12
------------------------------------------------------------
Sapic-98 Reference Fund (46) Ltd.'s creditors are required to submit proofs
of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Sapic-98's shareholders agreed on Nov. 23, 2006, for the company's voluntary
liquidation under Section 135 of the Companies Law (2004 Revision) of the
Cayman Islands.


SAPIC-98 (46): Calls Shareholders for Final Meeting on Jan. 12
--------------------------------------------------------------
Sapic-98 Reference Fund (46) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Fortis Prime Fund Solutions (Cayman) Limited
         P.O. Box 2003, Grand Pavilion Commercial Centre
         802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC II (17): Final Shareholders Meeting Is Today
--------------------------------------------------
Sapic II Reference Fund (17) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Maples Finance Limited
         P.O. Box 1093 GT, Queensgate House
         South Church Street, George Town
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC II (2): Last Shareholders Meeting Is Set for Jan. 12
----------------------------------------------------------
Sapic II Reference Fund (2) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Maples Finance Limited
         P.O. Box 1093 GT, Queensgate House
         South Church Street, George Town
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC II (3): Sets Final Shareholders Meeting for Jan. 12
---------------------------------------------------------
Sapic II Reference Fund (3) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Maples Finance Limited
         P.O. Box 1093 GT, Queensgate House
         South Church Street, George Town
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC-98 REFERENCE: Liquidator to Present Wind Up Progress Today
----------------------------------------------------------------
Sapic-98 Reference Fund (17) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Fortis Prime Fund Solutions (Cayman) Limited
         P.O. Box 2003, Grand Pavilion Commercial Centre
         802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


SAPIC-98 REFERENCE FUND: Proofs of Claim Filing Is Until Today
--------------------------------------------------------------
Sapic-98 Reference Fund (27) Ltd.'s creditors are required to submit proofs
of claim by Jan. 12, 2007, to the company's liquidators:

          Mark Wanless
          Liam Jones
          Maples Finance Jersey Limited
          2nd Floor, Le Masurier House
          La Rue Le Masurier
          St. Helier, Jersey JE2 4YE

Creditors who are not able to comply with the Jan. 11 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Sapic-98's shareholders agreed on Nov. 23, 2006, for the company's voluntary
liquidation under Section 135 of the Companies Law (2004 Revision) of the
Cayman Islands.


SAPIC-98 REFERENCE FUND: Final Shareholders Is Today
----------------------------------------------------
Sapic-98 Reference Fund (27) Ltd.'s final shareholders meeting will be on
Jan. 12, 2007, at:

         Fortis Prime Fund Solutions (Cayman) Limited
         P.O. Box 2003, Grand Pavilion Commercial Centre
         802 West Bay Road
         Grand Cayman, Cayman Islands

These agenda will be taken during the meeting:

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

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

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

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

The liquidators can be reached at:

         Mark Wanless
         Liam Jones
         Maples Finance Jersey Limited
         2nd Floor, Le Masurier House
         La Rue Le Masurier
         St. Helier, Jersey JE2 4YE


TURNER LIVINGSTON: Final Shareholders Meeting Is on Jan. 12
-----------------------------------------------------------
Turner, Livingston and Senn Company's final shareholders meeting will be at
9:00 a.m. on Jan. 12, 2007, at the company's registered office.

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

         C.I. Directors Ltd.
         P.O. Box 1110 George Town
         Grand Cayman, Cayman Islands
         Tel: (345) 949 7212
         Fax: (345) 949 0993




=========
C H I L E
=========


ARAMARK CORP: S&P Pares Corporate Credit Rating to B+ from BB+
--------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit rating on
ARAMARK Corp. and subsidiary ARAMARK Services Inc. to 'B+' from 'BB+'.  The
rating on ARAMARK's existing senior unsecured debt was lowered to 'B-' from
'BB+', reflecting the junior position of the unsecured debt relative to the
firm's new secured debt.

At the company's request, the preliminary ratings on ARAMARK's shelf debt
have been withdrawn.  All ratings were removed from CreditWatch, where they
were originally placed with negative implications May 1, 2006, after the
initial proposal to take the company private.

The rating outlook is negative.

At the same time, Standard & Poor's assigned its loan and recovery ratings
to ARAMARK's US$4.51 billion senior secured credit facilities, consisting of
a US$600 million revolver, a
US$3,660 million term loan, and a US$250 million synthetic letter of credit
facility.  The facilities were rated 'B+' with a recovery rating of '2',
indicating the expectation for substantial recovery of principal in the
event of a payment default.

In addition, Standard & Poor's assigned a 'B-' rating to the company's
proposed US$1.7 billion senior unsecured notes due 2014 and to the proposed
US$570 million of subordinated debt due 2017.  Both the senior unsecured and
subordinated debt will be issued under Rule 144A with registration rights.

Net proceeds from the company's term loan and senior unsecured and
subordinated debt offerings, together with about US$2.1 billion of equity,
will be used to finance the acquisition of ARAMARK by a group of investors
led by its chairman and CEO, Joseph Neubauer, for a transaction value of
about US$8.7 billion, which includes the repayment of about US$1.7 billion
of ARAMARK's outstanding debt.

Pro forma for the transaction, Philadelphia, Pennsylvania-based ARAMARK will
have approximately US$6.5 billion of debt outstanding.

"The 'B+' rating reflects ARAMARK's highly leveraged financial profile
following its acquisition, which will result in pro forma total debt to
EBITDA exceeding 7x at closing and significant cash flow requirements to
fund interest and capital expenditures," said Standard & Poor's credit
analyst Jean Stout.

"However, due to the company's satisfactory business profile, ARAMARK can
support higher-than-typical leverage for the rating. Rating support is
provided by the company's good position in the competitive fragmented
markets for food and support services, as well as uniform and career
apparel.  These positions translate into a sizable stream of recurring
revenues and healthy cash flow generation."

Headquartered in Philadelphia, ARAMARK Corp. --
http://www.aramark.com/-- is a leader in professional services,
providing food services, facilities management, and uniform and
career apparel to health care institutions, universities and
school districts, stadiums and arenas, and businesses around the
world.  It has approximately 240,000 employees serving clients
in 20 countries, including Belgium, Czech Republic, Germany,
Ireland, UK, Mexico, Brazil, Chile, among others.


SHAW GROUP: Delays Reporting Fin. Results for Qtr. Ended Nov. 30
----------------------------------------------------------------
The Shaw Group Inc. will delay reporting of it consolidated financial
results and will file for a 5-day extension of time to file its quarterly
report on Form 10-Q for the quarter ended Nov. 30, 2006, to allow for the
completion of accounting for certain aspects of its 20% equity investment in
Westinghouse.  Shaw expects to file its Form 10-Q within the 5-day extension
period allowed by the Securities and Exchange Commission, and will provide a
follow-up announcement of its consolidated results and a conference call to
discuss the results when completed.

Shaw confirmed that excluding all income and expenses related to its
investment in Westinghouse, including any interest, amortization, foreign
exchange losses and taxes, it expects operating results to generally be in
the range of its previous guidance for the quarter.  Shaw expects earnings
per share, giving effect to certain non-cash charges related to the
investment in Westinghouse, to be substantially lower.  The company will
release its consolidated financial statements once its accounting is
complete.

Shaw expects to report record revenues of US$1,273.9 million for the quarter
ended Nov. 30, 2006, compared with US$1,135.5 million in the prior year
period.  The current quarter included approximately US$40 million of
revenues from hurricane related activities, compared with approximately
US$300 million in the prior year quarter.  For the first quarter of fiscal
2007, operating costs are expected to be US$1,175.7 million, yielding
US$98.2 million of gross profit.  After general and administrative expenses
of US$62.2 million, operating income is expected to be US$36.0 million for
the fiscal quarter ended
Nov. 30, 2006, compared with US$53.7 million for the prior year period.
Shaw expects net cash provided by operating activities for the first quarter
of fiscal 2007 to be US$134.8 compared with net cash used in operating
activities of US$112.3 in the prior year period, an improvement of over
US$247 million.  The preliminary results reflected in this announcement
could be revised in our Form 10-Q to reflect any changes determined to be
necessary prior to the filing of the Form 10-Q.

Shaw's backlog at Nov. 30, 2006, was a record US$9.5 billion, up from US$9.1
billion at August 31, 2006, not including the recently announced China
nuclear projects.  Approximately US$4.7 billion, or 50%, of the backlog is
expected to be converted during the next 12 months.  Approximately US$4.9
billion, or 51%, of the backlog is comprised of power industry sector
projects for fossil fuel, nuclear and other power generating related
business, and over US$1.7 billion, or 18%, of the backlog is made up of the
chemical industry projects.  Over US$2.8 billion, or 30%, of the backlog is
in the environmental and infrastructure sector, primarily contracts with
federal and other governmental agencies, including emergency response and
hurricane disaster recovery, and commercial entities.

Robert L. Belk, Executive Vice President and Chief Financial Officer of The
Shaw Group Inc., said, "While we had expected to be able to complete our
accounting and the reviews of our quarterly financial reports by the
applicable filing requirement dates, the complexities associated with
accounting for our investment in Westinghouse have delayed our reporting and
we expect to file our quarterly report within the 5-day extension."

J.M. Bernhard, Jr., Chairman, President and Chief Executive Officer of The
Shaw Group Inc., said, "We are very pleased with the strong revenues for the
first quarter of fiscal 2007, especially in comparison to last year when
first quarter revenues included US$300 million of hurricane response work.
Significant revenues are being generated in our power and chemicals business
lines as we begin to ramp up activity on a number of major projects.  These
projects are expected to continue to contribute significantly to Shaw for
the remainder of this fiscal year and beyond.  In addition, we are very
pleased with our strong operating cash flow of nearly US$135 million."

Mr. Bernhard added, "For the first quarter, we again reported a record
backlog of US$9.5 billion, with approximately US$4.7 billion expected to be
converted in the next twelve months.  In addition to projects already booked
as backlog, we continue to work with clients on additional major potential
projects that could add significantly to backlog over the next several
quarters if contracts are awarded. Lastly, as we announced last month, our
Shaw/Westinghouse consortium and the Westinghouse AP1000 technology has been
selected for the first four nuclear reactors to kick off China's highly
published nuclear expansion program.  This project is expected to get
started in the near future and represents significant long-term potential
for us."

Because of the significance of the Westinghouse acquisition to Shaw's
financial statements, Shaw was required to file an amended Current Report on
Form 8-K with the US Securities and Exchange Commission by Jan. 3, 2007,
including the audited financial statements of Westinghouse for the fiscal
years ended March 31, 2006, and 2005 and unaudited financial statements for
its six months ended Sept. 30, 2006.  As a subsidiary of British Nuclear
Fuels plc, Westinghouse maintained its accounting records under generally
accepted accounting principles accepted in the United Kingdom.  Further,
Westinghouse did not obtain separate audits of its results for the periods
required for Shaw's Current Report on Form 8-K.  These factors have caused
delays in obtaining the information and reports needed to timely file the
amended Form 8-K with the SEC.  Shaw is required to file the amended Current
Report on Form 8-K by Jan. 18, 2007, or it will be in violation of certain
debt covenants of its Bank Credit Facility, or Shaw must obtain a waiver
under the Bank Credit Facility.  Shaw believes it will be able to file the
amended Form 8-K by Jan. 18, 2007, or obtain the necessary waiver.

The Shaw Group Inc. -- http://www.shawgrp.com/-- is a leading
global provider of technology, engineering, procurement,
construction, maintenance, fabrication, manufacturing,
consulting, remediation, and facilities management services for
government and private sector clients in the energy, chemical,
environmental, infrastructure and emergency response markets.
Headquartered in Baton Rouge, Louisiana, with over US$3 billion
in annual revenues, Shaw employs approximately 20,000 people at
its offices and operations in Venezuela, Chile, North America,
Europe, the Middle East and the Asia-Pacific region.

                        *    *    *

As reported on the Troubled Company Reporter on Oct 06, 2006,
Standard & Poor's Ratings Services placed its 'BB' corporate
credit rating and other ratings for The Shaw Group Inc. on
CreditWatch with negative implications.

"The CreditWatch placement followed the company's announced
agreement to take a 20% ownership interest in the US$5.40
billion acquisition, led by Toshiba Corp. (BBB/Watch Neg/A-2),
of Westinghouse Electrical Company Co. from British Nuclear
Fuels Ltd.," said Standard & Poor's credit analyst Dan
Picciotto.




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


BANCOLOMBIA: Fitch Comments on Legal Actions Against Executives
---------------------------------------------------------------
On Jan. 4, 2007, Colombia's Attorney General's office ordered the house
arrest of Bancolombia's President and CEO, Jorge Londono, and Executive Vice
President, Federico Ochoa, in connection with various allegations of fraud
and misconduct stemming from the 1997 acquisition of Banco de Colombia by
Banco Industrial Colombiano that gave rise to Bancolombia. In Fitch's view,
events up to this point do not merit further rating actions, though this
could change if it appears that the legal proceedings could affect the bank
directly.

Fitch currently has Bancolombia's Individual rating of 'C', long-term local
currency rating of 'BBB-' and short-term local currency rating of 'F3' on
Rating Watch Negative, following the announcement of its agreement to
acquire El Salvador's Banco Agricola.

Since the acquisition of Banco de Colombia by Banco Industrial Colombiano,
minority shareholders, and in particular the Gilinsky family, have brought
legal charges against Bancolombia in both the United States and Colombia.
The US courts have not admitted the Gilinskys' claims so far, and claims in
Colombia were turned down at all levels of the legal system, including the
Supreme Court.  More recently, the Gilinskys turned to Colombia's
Constitutional Court claiming that evidence existed against Londono and
Ochoa that had not been considered in prior actions; the Constitutional
Court ruled in favor of the Gilinskys, directing the Attorney General's
office to consider the evidence.  In response, the Attorney General's office
ordered the preventive house arrest against Londono and Ochoa and asked the
Banking Superintendence to suspend the two individuals from their activities
at the bank.

So far, no action has been taken against Bancolombia, and management states
that no further legal recourse against the bank seems likely at this point,
given the prior rulings in its favor by the Supreme Court.  Indeed, the bank
states that it learned of the Attorney General's decision through the local
media, before anything was communicated directly to the bank.  The Banking
Superintendence has not replied to the request for suspension and, at this
time, Messrs. Londono and Ochoa continue to exercise their executive duties,
though complying with the house arrest order.

Reports of the Constitutional Court's decision through the media caused a
confused public reaction, and bank deposit withdrawals after the disclosure
totaled US$103 million (1.3% of deposits), a level higher than what is
normal preceding a long weekend.  The bulk of the withdrawals occurred late
on Jan. 4 and early on Jan. 5, though they appear to have substantially
abated at this time.

Fitch will continue to monitor the evolution of the legal actions closely.


BANCOLOMBIA: House Arrest Order of Two Executives Revoked
---------------------------------------------------------
The Office of the Attorney General decided to revoke the order issued on
Jan. 4, 2007, that determined the house arrest of Bancolombia's President
Jorge Londono Saldarriaga and Services Vice President Federico Ochoa
Barrera.

As reported in the Troubled Company Reporter-Latin America on Jan. 9, 2007,
the Attorney General ordered the house arrest of Messrs. Londono and Ochoa,
pending the outcome of fraud investigation on the 1997 merger between Banco
Industrial Colombiano and Banco de Colombia that led to the creation of
Bancolombia.  A court-appointed arbitrator in Bogota ordered earlier this
year that Bancolombia pay US$25 million to the Gillinski family, who were
the former owners of Banco de Colombia, as the family was awarded a smaller
stake in the merged bank than they were entitled to receive.  Banco
Industrial funded its acquisition of Banco de Colombia with loans for US$318
million taken out by its affiliate in Panama and which were illegally
transferred as debt onto Bancolombia's balance sheet.  Prosecutors said that
Mr. Saldarriaga and other Banco Industrial officials at that time failed to
fulfill their promise to inject US$150 million into Bancolombia.

After analyzing the resolution of the Attorney General's Office that ordered
the house arrest, the Board of Directors of Bancolombia ratified in a
meeting its support of the management of Bancolombia, which is led by Mr.
Saldarriaga.

The Board of Directors was convinced that the acquisition of Banco de
Colombia by Banco Industrial Colombiano and the subsequent merger of these
two entities were conducted in compliance with applicable laws and business
ethics, as well as under the permanent surveillance and approval of the
Superintendency of Banking, the Superintendency of Securities and the
Colombian Central Bank.  Both the acquisition and the merger have been
confirmed by various administrative and judicial authorities in decisions
that are res judicata, including the decision of the Attorney General's
Office to close the criminal investigation reached at first and second
instances, due to the lack of merits.

The Board of Directors were confident that the different actions that would
be initiated against the Attorney General's Office decision would
demonstrate once again the transparency of the acts carried out Bancolombia
and its officers.

Notwithstanding the support of the Board of Directors, Mr. Jorge Londono
requested a temporary leave of absence to attend to his defense before the
corresponding authorities.  The Board approved Mr. Londono's temporary leave
of absence for the term necessary to accomplish the purpose.  Mr. Londono
would not perform any activities as president during his temporary leave of
absence.

The Board of Directors then appointed Mr. Jairo Burgos De La Espriella as
acting president for the duration of Mr. Londono's temporary leave of
absence.  Mr. Burgos, who is currently a vice president and a legal
representative, has been with Bancolombia since 1990.

The Board of Directors also approved the temporary leave of absence
requested by Mr. Barrera, for the same purposes and to the same extent as
Mr. Londono.

The attorney general's decision to cancel the house arrest confirmed
Bancolombia's views that the order was inconsistent with Colombian laws.

Once formal notice is given, the attorneys of the officers will analyze its
terms and take the necessary steps together with Bancolombia.

However, the Colombian Constitutional Court decided to reopen the criminal
investigation.

Headquartered in Medellin, Colombia, Bancolombia SA --
http://www.bancolombia.com.co-- operates as a commercial bank.
It organizes its activities into three primary divisions: Retail
and Small and Medium-Sized Enterprises (SMEs) Banking, Corporate
Banking, and Mortgage & Building Banking.  The bank offers
traditional banking products and services, like checking
accounts, saving accounts, time deposits, lending (including
overdraft facilities), mortgage loans, personal and corporate
loans, credit cards and cash management services.  It also
offers non-traditional products and services, like pension
banking, bancassurances, international transfers, fiduciary and
trust services, brokerage services and investment banking.

Bancolombia is Colombia's largest full-service financial
institution, formed by a merger of three leading Colombian
financial institutions.  Bancolombia's market capitalization is
over US$5.5 billion, with US$13.8 billion asset base and US$1.4
billion in shareholders' equity as of Sept. 30, 2006.
Bancolombia is the only Colombian company with an ADR level III
program in the New York Stock Exchange.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on Jan. 2, 2007,
Moody's Investors Service placed the D+ bank financial strength rating of
Bancolombia SA on review for possible downgrade.  Bancolombia's foreign
currency deposit ratings were affirmed at Ba3/Not-Prime.


BANCOLOMBIA: Moody's Holds Negative Review on D+ Strength Rating
----------------------------------------------------------------
Moody's Investors Service will maintain its review for possible downgrade on
Bancolombia's D+ bank financial strength rating, responding to legal actions
announced against two of the bank's key executives on Jan. 4, 2007.  At the
same time, Moody's affirmed Bancolombia's long and short-term foreign
currency deposit ratings of Ba3 and Not Prime, respectively.

Bancolombia's BFSR was first placed under review for possible downgrade on
December 28, 2006, following the announcement that it had signed an
agreement to acquire a controlling interest in Banco Agricola, S.A. of El
Salvador.  The review reflected Moody's concerns regarding the acquisition's
potentially negative effect on the parent's capitalization.

More recently, legal allegations of fraud and misconduct have been made
against two of Bancolombia's top executives, CEO Jorge Londono and EVP
Federico Ochoa.  These charges were initiated by its minority shareholders
in connection with the 1997 acquisition of Banco de Colombia by Banco
Industrial Colombiano.  The Board of Directors has announced that Messrs.
Londono and Ochoa will both be taking a temporary leave of absence in order
to address the allegations in full.

Moody's noted that the ongoing legal action appears to have had limited
negative effects so far on the bank's financial standing, operations and
funding access.  Therefore, Moody's believes that at this juncture no
further rating action is warranted.  The rating agency added, however, that
should future developments on the legal front negatively affect the bank's
financial strength, operations, or liquidity, this could trigger a rating
action.

The absence of Bancolombia's CEO should not have a material effect on the
management or strategic direction of the bank in the short run, said
Moody's.

In addition, while the legal actions could taint market perception,
reputation risk is expected to be manageable given the bank's strong
domestic franchise, including a solid core deposit base and client
relationships.  Moreover, the bank appears to have alternative liquidity
sources that may be tapped, if necessary. The agency noted, however, that it
will continue to monitor Bancolombia's liquidity position and operational
development as the legal case develops.

In maintaining the review for possible downgrade, Moody's said that the
focus will be primarily on the potential impact of the Banco Agricola
acquisition and related financing on the bank's tangible common equity.

Bancolombia is headquartered in Medellin, Colombia.  The bank held
approximately 18% of the Colombian banking system's total deposits as of
Oct. 31, 2006.


ROYAL & SUN: Terminates U.S. Registration of Shares
---------------------------------------------------
Royal & Sun Alliance Insurance Group plc has filed a Form 15 with the U.S.
Securities and Exchange Commission, terminating the U.S. registration of its
Ordinary Shares.

Under SEC rules, R&SA's reporting obligations have now ceased.

                About Royal & Sun Alliance

Headquartered in London, United Kingdom, Royal & Sun Alliance
Insurance Group Plc -- http://www.royalsunalliance.com/--
provides risk management and insurance solutions through two divisions
focusing on property & casualty business and personal insurance.  The group
consists of three regions -- U.K., Scandinavia and International.  The group
operates in the U.K.,
Argentina, Bahrain, Belgium, Brazil, Canada, Chile, China,
Colombia, Denmark, Egypt, France, Germany, Hong Kong, India,
Ireland, Italy, Latvia, Lithuania, Malaysia, Mexico, Netherland
Antilles, the Netherlands, Norway, Oman, Saudi Arabia,
Singapore, Sweden, UAE, Uruguay, U.S.A. and Venezuela.

                        *    *    *

As reported in the TCR-Europe on Sept. 29, 2006, A.M. Best Co. has placed
the financial strength ratings of C++ (Marginal) and the issuer credit
ratings of "b" of the Royal & SunAlliance U.S.A. Insurance Pool and Royal
Surplus Lines Insurance Company under review with developing implications
pending the completion of the proposed sale of these operations to
Arrowpoint Capital, a new company formed by the existing management team of
these operations.  All the above companies are domiciled in Wilmington,
Delaware.  R&SAUS and RSLIC are U.S. subsidiaries of Royal & Sun Alliance
Insurance Group plc (London, England).

As reported in the TCR-Europe on March 27, 2006, Standard & Poor's Ratings
Services lowered its counterparty credit and insurer financial strength
ratings on Royal & Sun Alliance Insurance Group PLC's U.S. insurance
operations (RSA USA) to 'BB' from 'BB+'.  S&P said the outlook remains
negative.  At the same time, the ratings were withdrawn at the request of
the companies' management.




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


HILTON HOTELS: Inks Multi-Year Pact with Caribbean Real Estate
--------------------------------------------------------------
Hilton Hotels Corp. has signed multi-year management agreements with the
Caribbean Real Estate Opportunity Fund 2005 for two resorts in Costa Rica.
Beginning in December 2007, the company will manage a 202-room property in
Guanacaste and a 410-room property Puntarenas as the first Hilton and
Doubletree branded resorts in the country, respectively.  In an effort to
implement all brand standards, both resorts will undergo extensive
renovations to all areas including guestrooms, leisure facilities, lobby,
meeting rooms, and restaurants.

"These additions solidify our expansion efforts in Central America and
support our growth strategy to bring the Hilton Family of Hotels into the
region," said Danny Hughes, area vice president, Caribbean and Central
America, for Hilton Hotels Corporation.  "Costa Rica is one of the top
eco-tourism destinations in the world, with visitor arrivals growing more
each year. We want to support the country's tourism growth and welcome
guests to experience the biodiversity that makes Costa Rica such an amazing
place to be."

The Premier Fiesta Resort and Spa in Papagayo will be renamed Hilton
Papagayo Resort.  With 202 rooms, including 71 private bungalows, guests
enjoy plush accommodation with panoramic views surrounded by nature.  The
hotel, located on a private beach on the Bay of Papagayo in Guanacaste, just
20 minutes from Liberia International Airport, features two outdoor swimming
pools, non-motorized water sports, spa, fitness center, tennis courts, kid's
club, three restaurants, two bars, casino, and nightly entertainment.

With an area of 6,933 square miles, Guanacaste, Costa Rica, is home to a
world of natural surroundings, including white, black, and pink shell
beaches, national parks and wildlife refuges, coral reefs, deciduous and
tropical forests, and volcanoes.  The province is perfect for fishing,
diving, biking, hiking, and more.

"This management agreement in Guanacaste is a terrific example of Hilton
Hotels' commitment to expanding its guest offerings by partnering with
diverse hoteliers who believe in the strength of our global brand," said
Jeff Diskin, senior vice president - brand management & marketing for Hilton
Hotels.  "Through this agreement the property will now offer unique, local
experiences alongside the standard upscale amenities our guests have come to
expect and love."

The Fiesta Resort in Puntarenas will be renamed the Doubletree by Hilton
Puntarenas Resort.  The 410-room all-inclusive resort, located one and a
half hours from San Jose's Juan Santamaria International Airport and two
hours from Liberia International Airport, offers four dining outlets, seven
bars, pool, beach, fitness center, tennis courts, kid's club, non-motorized
water sports, casino, nightly entertainment, and easy access to nearby
national parks and biological reserves, rainforests, volcanoes and beaches.

Puntarenas, the largest province of Costa Rica, and formerly known as the
country's main fishing port, is the perfect place to enjoy a day of fishing.
The coast, decorated by islands and beaches, offers visitors a chance to
experience pristine nature.  Tourists can also enjoy a range of attractions,
as Puntarenas is the starting point for many excursions.

"Doubletree Hotels continues to expand its upscale, full-service hotel
portfolio at a solid pace.  This newest management agreement in Puntarenas,
Costa Rica reinforces our pride in Doubletree being recognized by hotel
owners and developers as a dynamic, credible and lucrative hotel brand for
hoteliers across the Western Hemisphere and around the world," said Dave
Horton, senior vice president - brand management for Doubletree Hotels.

"We are delighted to announce that our two first resorts in Costa Rica will
become part of the Hilton Family of Hotels," said Kenneth Blatt, principal
of Caribbean Property Group.  Ruben Pacheco, president of Enjoy Group added,
"With such a strong marketing, sales and technology infrastructure, as well
as the value added benefit of the highly acclaimed Hilton HHonors guest
reward program, we believe our new Hilton and Doubletree by Hilton
affiliations will lead to great recognition and success for our resorts,
both domestically and internationally."

Caribbean Property Group is the managing partner of the Fund and Enjoy Group
is a minority partner in the venture.

      About Caribbean Real Estate Opportunity Fund 2005

The Caribbean Real Estate Opportunity Fund 2005, L.P., is a US$500 million
equity fund managed by Caribbean Property Group and co-sponsored by Goldman
Sachs. The Fund is focused on acquiring income producing fixed real estate
assets in the Caribbean and Central America across four platforms: hotel,
retail, office and industrial.  In addition to the Fund, CPG owns and/or
manages approximately US$1 billion in real estate assets in Puerto Rico.

                     About Enjoy Group

Enjoy Group, a hotel development and management company, currently owns
three properties in Costa Rica, two in partnership with the Fund.  Mr. Ruben
Pacheco, Costa Rica's former Minister of Tourism, founded Enjoy Group Hotels
& Resorts and runs it together with his two sons, Ruben Alberto and Javier.
The Group is one of the oldest and most experienced hospitality companies in
Central America

      About The Hilton Family of Hotels In Central America

Hilton Hotels Corporation currently owns, manages, or franchises four hotels
in Central America, including Hilton full-service hotels in San Pedro Sula,
Honduras; Managua, Nicaragua; San Salvador, El Salvador; and a Hampton Inn &
Suites hotel in San Jose, Costa Rica.

                    About Hilton Hotels

Headquartered in Beverly Hills, California, Hilton Hotels Corp.
-- http://www.hilton.com/-- together with its subsidiaries,
engages in the ownership, management, and development of hotels,
resorts, and timeshare properties, as well as in the franchising
of lodging properties in the United States and internationally,
including Australia, Austria, Barbados, India, Indonesia,
Trinidad and Tobago, Philippines and Vietnam.

                        *    *    *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the gaming, lodging and leisure sectors, the
rating agency confirmed its Ba2 Corporate Family Rating for
Hilton Hotels Corp.

Additionally, Moody's revised and held its probability-of-
default ratings and assigned loss-given-default ratings on these
loans and bond debt obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   Senior Notes
   with an average
   rate of 8.1%
   due 2007 - 2031       Ba2      Ba2      LGD4       53%

   Chilean inflation
   indexed note
   effective rate
   7.65% due 2009        Ba2      Ba2      LGD4       53%

   3.375%
   Contingently
   convertible
   senior notes
   due 2023              Ba2      Ba2      LGD4       53%

   Minimum Leases
   Commitments           Ba2      Ba2      LGD4       53%

   Term Loan A
   at adjustable
   rates due 2011        Ba2      Ba2      LGD4       53%

   Term Loan B
   at adjustable
   rates due 2013        Ba2      Ba2      LGD4       53%

   Revolving loans
   at adjustable
   rates, due 2011       Ba2      Ba2      LGD4       53%

   Senior unsecured
   debt shelf            Ba2      Ba2      LGD4       53%

   Subordinate debt
   Shelf                 Ba3      B1       LGD6       97%

   Preferred             B1       B1       LGD6       97%




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


AFFILIATED COMPUTER: Expands IT Services Agreement with Symetra
---------------------------------------------------------------
Affiliated Computer Services, Inc., has been awarded an expansion to its
multi-million dollar contract with Symetra Financial.  The expanded
agreement will add desk-side support services to Affiliated Computer'
existing five-year contract, which commenced in 2004.

Affiliated Computer provides complete information technology infrastructure
services for Symetra's affiliated companies, as well as cross-functional and
business process outsourcing solutions.  These include data center services,
distributed computing, data network services, voice communications, service
desk, mail, and image processing services.  Under the terms of the expanded
agreement, Affiliated Computer will now provide desk-side support services
for Symetra's headquarters facility in Bellevue, Washington.

"Affiliated Computer has consistently impressed us with the breadth and
depth of their capabilities since we began our partnership in 2004," said
Troy Olson-Blair, Chief Information Officer, Symetra Financial.  "Adding
desk-side support for our headquarters facility is a natural next step.
Affiliated Computer' first-rate service, support, and responsiveness have
enhanced efficiencies in many areas for Symetra.  We anticipate another
measurable gain as Affiliated Computer extends its support to include
desk-side support for nearly 1,000 end users at our Bellevue headquarters
facility."

Affiliated Computer will continue to provide support from its data center in
Hillsboro, Oregon, with account operations in Bellevue, Washington.

"We are extremely proud of the successful IT and BPO partnership we have
forged with Symetra Financial," said Ann Vezina, Affiliated Computer
Executive Vice President and Chief Operating Officer - Commercial.
"Symetra's decision to expand the scope of our IT services to include
desk-side support at their headquarters facility is a reflection of the
confidence and trust they have developed in Affiliated Computer over the
last two years.  With these expanded services in place, Symetra will be able
to fully leverage the advanced support capabilities of Affiliated Computer'
Service Desk and realize substantially improved desk-side support, which
will allow them to further enhance cost efficiencies and overall service."

Symetra Financial is a family of companies with nearly a half-century of
experience providing retirement plans, employee benefits, annuities, and
life insurance through independent distributors nationwide. The company has
more than US$20 billion in assets and is owned by an investor group led by
White Mountains Insurance Group Ltd. and Berkshire Hathaway Inc.

Headquartered in Dallas, Texas, Affiliated Computer Services, Inc., (NYSE:
ACS) -- http://www.acs-inc.com/-- provides business process outsourcing and
information technology solutions to commercial and government clients.  The
company has global operations in Brazil, China, Dominican Republic, India,
Guatemala, Ireland, Philippines, Poland and Singapore.

                        *    *    *

The Troubled Company Reporter - Asia Pacific reported that Standard & Poor's
Ratings Services kept its ratings for Affiliated Computer Services Inc.
including the 'B+' corporate credit rating, on CreditWatch, where they were
placed with negative implications on Sept. 29, 2006.

Fitch Ratings assigned its BB issuer default rating, BB senior secured
revolving bank credit facility rating, BB senior secured term loan rating,
and BB senior notes rating on Affiliated Computer Services, Inc.  Fitch said
the rating outlook is negative.




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


IMAX CORP: Inks Multiplex Theatre Deal with Kerasotes ShowPlace
---------------------------------------------------------------
IMAX Corp. and Kerasotes ShowPlace Theatres disclosed an agreement to
install an IMAX theatre in the exhibitor's flagship location, the ShowPlace
16 in Indianapolis, Indiana.  Expected to open in 2007, the new IMAX theatre
will utilize IMAX MPX technology and take advantage of Hollywood movies that
have been digitally re-mastered into the unparalleled image and sound
quality of The IMAX Experience.  Kerasotes ShowPlace Theatres currently
operates 81 theatres with 685 screens in the USA.  With this agreement, IMAX
now has partnerships with seven of the top ten exhibitors in North America.

"IMAX theatres offer a unique and immersive cinematic experience that cannot
be replicated at home or in any other type of theatre," said Tony Kerasotes,
Chairman and CEO of Kerasotes ShowPlace Theatres.  "The attractive economics
of IMAX's MPX theatre system will enable us to cost-effectively enter the
IMAX theatre business and offer our customers Hollywood's biggest titles in
an exciting, premium format.  We look forward to opening our first IMAX
theatre in 2007 and hope to expand with more locations in the future."

"We are delighted to enter into a new partnership with one of North
America's leading, well-respected and innovative exhibitors," said IMAX
co-Chairmen and co-CEOs Richard L. Gelfond and Bradley J. Wechsler.

"Kerasotes ShowPlace Theatres is a welcome addition to the family of IMAX
exhibitors, and we are excited to build on this relationship as we continue
to implement our domestic growth strategy."

The new IMAX theatre will feature IMAX MPX technology. The IMAX MPX theatre
system was designed specifically to enable multiplex operators to more cost
effectively enter into the IMAX theatre business, either by retrofitting an
existing stadium-seating auditorium or via an economical new build.  The new
IMAX theatre will be capable of playing Hollywood event films that have been
digitally re-mastered into the unparalleled image and sound quality of The
IMAX Experience, as well as original IMAX productions in 2D and IMAX 3D.

                   About Kerasotes Theatres

Kerasotes ShowPlace Theatres, LLC is the sixth largest motion picture
exhibitor in the U.S.  Founded in 1909, the company grew from a single
storefront nickelodeon to one of the industry's premier companies. Based in
Chicago, Kerasotes ShowPlace Theatres is managed by third generation family,
Tony and Dean Kerasotes, who have directed the company's aggressive growth
since 1985. Currently, the company operates 81 theatres with 685 screens.

                      About IMAX Corp.

IMAX Corp. -- http://www.imax.com/-- founded in 1967 and
headquartered jointly in New York City and Toronto, Canada, is
an entertainment technology company, with particular emphasis on
film and digital imaging technologies including 3D, post-
production, and digital projection.  IMAX also designs and
manufactures cameras, projectors and consistently commits
significant funding to ongoing research and development.
The IMAX Theatre Network currently consists of more than 270
IMAX affiliated theatres in 38 countries including Argentina,
Ecuador, Guatemala, Mexico and Colombia.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 1, 2006,
Moody's Investors Service affirmed the B3 corporate family
rating for IMAX Corp., as well as the Caa1 rating on its senior
notes.  Moody's said the outlook remains stable.


PETROECUADOR: Inks Oil Exchange Deal with Petroleos de Venezuela
----------------------------------------------------------------
The governments of Ecuador and Venezuela, through their respective state-oil
firms, signed an energy deal to exchange oil for byproducts, El Universal
reports, citing Petroecuador's Chief Executive Officer Galo Chiriboga.

Pursuant to the agreement, Petroecuador will send Petroleos de Venezuela
36,000 barrels per day of heavy oil on average beginning March and will
receive in turn 220,000 barrels of diesel, Reuters reports.

The deal would let Ecuador secure oil derivatives -- mainly gasoline -- at
reduced prices from Venezuela.  Because of this, Ecuador would be able to
save US$60 million yearly.

               About Petroleos de Venezuela

Petroleos de Venezuela SA -- http://www.pdv.com/-- 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.  The company has a commercial office in China.

                     About PetroEcuador

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 U A T E M A L A
=================


GOODYEAR TIRE: Moody's Affirms B1 Corporate Family Rating
---------------------------------------------------------
Moody's Investors Service has affirmed Goodyear Tire & Rubber Company's
Corporate Family Rating of B1.  Ratings on Goodyear's existing secured and
unsecured obligations were also affirmed as was the company's Speculative
Grade Liquidity rating of SGL-2.  The outlook has reverted to stable from
negative.

The actions follow the resolution of Goodyear's organized labor contract
with the USW in North America and more detailed disclosure of the
settlement's applicable terms and benefits.  Moody's would expect the
company over time to achieve significant efficiencies from the new contract
and other restructuring actions.  Collectively, those developments will
position the company's metrics in the B1 rating category.

In the near-term, however, debt could peak at higher levels from the ramp-up
of production, re-structuring expenditures from announced plant closures,
and funding the contribution to a new VEBA account.  Although improvement in
Goodyear's performance is weighted towards 2008 and beyond, Moody's is
comfortable that the company has sufficient liquidity to weather an interim
period, and, thereafter, its coverage and leverage ratios would be on a
recovery path from an enhanced cost structure, increased productivity, lower
legacy costs and stream-lined manufacturing footprint.

Moody's affirmed these ratings:

   Goodyear Tire & Rubber Company

   -- Corporate Family Rating, B1;
   -- Probability of Default, B1;
   -- first lien credit facility, Ba1, LGD 2, 10%;
   -- second lien term loan, Ba3, LGD 3, 35%;
   -- third lien secured term loan, B2, LGD 4, 63%;
   -- 11% senior secured notes, B2, LGD 4, 63%;
   -- floating rate senior secured notes, B2, LGD 4, 63%;
   -- 9% senior notes, B2, LGD 4, 63%;
   -- 8-5/8 % senior unsecured notes due 2011, B2, LGD-4, 63%;
   -- floating rate unsecured note due 2009, B2, LGD-4, 63%;
   -- 8-1/2% senior notes, B3, LGD 6, 94%;
   -- 6-3/8% senior notes, B3, LGD 6, 94%;
   -- 7-6/7% senior notes, B3, LGD 6, 94%;
   -- 7% senior notes, B3, LGD 6, 94%;
   -- senior unsecured convertible notes, B3, LGD 6, 94%; and
   -- Speculative Grade Liquidity rating, SGL-2.

   Goodyear Dunlop Tyres Europe

   -- Euro revolving credit facilities, Ba1, LGD 2, 10%; and
   -- Euro secured term loan, Ba1, LGD 2, 10%.

The last rating action was on Nov. 16, 2006, at which time ratings on the
company's US$1.0 billion of unsecured notes with maturities in 2009 and 2011
were assigned.

Goodyear has stated that the terms of the new labor contract along with
other actions announced during 2006 and early January 2007 will enable it to
surpass its goals of reducing high cost tire manufacturing capacity and
achieving a more competitive cost structure in its North American
operations.  Collectively, the actions at USW plants in North America are
expected to generate annual savings of US$300 million in 2009, which
represents more than 3% of that segments sales.  Savings from actions at its
Valleyfield, Quebec plant (estimated at roughly US$40 million/year once
implemented) and its Moroccan operations would be supplemental to that
figure.  The Tyler, TX plant will operate through 2007, and Valleyfield,
Quebec will continue tire production through the first half of this year.
The bulk of the savings will not be realized until 2008 and beyond.  In
order to achieve those savings, some "up-front" expenditure will be
required.  These could lead to an increase in indebtedness during 2007 as
working capital requirements are affected by the ramp of domestic
production, contributions are made to the VEBA (of which at least US$700
million will be cash), cash restructuring costs for Valleyfield (estimated
to be US$40-US$45 million) and Tyler, TX in early 2008 (estimated to be
US$45-US$50 million) are incurred, and any supplemental retirement
"buy-outs" envisioned under the new USW agreement are considered.
Potentially offsetting those requirements would be prospective proceeds from
asset sales and/or an equity offering that the company is evaluating.

Goodyear's Corporate Family rating of B1 continues to recognize strong
scores for several factors in Moody's Automotive Supplier Methodology.
These factors include the company's substantial scale, global brands with
refreshed product offerings, leading market share, diversified geographic
markets, and improved debt maturity and liquidity profiles. Scores for those
qualitative attributes would normally track to a higher Corporate Family
rating.  However, the B1 rating considers Goodyear's relatively weak
quantitative scores including leverage, which has stepped-up from recent
borrowings and could increase further in the near-term, low EBIT returns and
weak FCF/debt ratios. Contributions to pension plans will remain substantial
for another year before declining in 2008.  Scores from those quantitative
factors counter qualitative strengths.  The company faces challenges in
restoring its balance sheet, and contending with various contingent
liabilities.  Debt levels should crest during 2007 and leverage measurements
retreat as savings begin to be realized from the terms in its North American
labor settlement and other actions.  Realization of those efficiencies will
require successful execution.

The stable outlook considers the prospective benefits Goodyear is likely to
achieve from the new labor contract and other restructuring actions that
will ultimately lead to improved financial performance and lower leverage
statistics.  Existing cash and access to a sizable committed revolving
credit facility provide sufficient resources to manage through what could be
a choppy interim period during which demand in North American replacement
tire markets may not experience any material growth and raw material costs
remain volatile.  While metrics for trailing periods covering the strike and
its lingering effects in early 2007 may suggest lower rating categories,
leverage and coverage measurements are expected to improve as savings are
realized and demand stabilizes.  Moody's also anticipates Goodyear's
year-end balance sheet will confirm lower under-funded pension liabilities.
The company is positioned with good liquidity and faces minimal debt
maturities until 2009.

A positive outlook or higher ratings could develop could develop if
debt/EBITDA were to fall to 4 times or below and EBIT/interest were to be
sustained above 2 times while generating positive free cash flow.
Application of proceeds from prospective asset sales or material equity
issuance to reduce leverage could also facilitate stronger ratings. Downward
pressure on the rating or a negative outlook could develop if replacement
tire demand in North America were to weaken and produce lower margins.
Similarly, higher raw material costs, which were not recovered from pricing
actions or productivity gains, or an inability to realize savings associated
with the new USW labor contract could also lead to lower profitability.
Evidence of this could come from negative free cash flow, EBIT/interest
declining below 1.25 X, or debt/EBITDA metrics maintained at or above 5
times beyond 2007.

The SGL-2 liquidity rating represents good liquidity over the coming year.
This stems from continuing extensive cash resources, which were supplemented
by a US$1 billion note offering in November (net of retiring US$515 million
of maturities in December '06 and March '07), and access to a committed US$1
billion revolving credit.  Moody's would anticipate that a portion of cash
resources will be utilized for funding a new VEBA trust, working capital
requirements generated from the ramp of production in North America as well
as the cash portion of restructuring costs at Tyler, TX and Valleyfield,
Quebec.  Repayment of revolving credit borrowings in early January restored
external liquidity, and the company continues with adequate cushion under
its financial covenants.  Terms of its bank credit agreement provide
flexibility on the use of any potential asset sale proceeds and provide some
source for alternate liquidity to develop.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  Goodyear Tire has marketing operations in almost
every country around the world including Chile, Colombia,
Guatemala and Peru in Latin America.  Goodyear employs more than
80,000 people worldwide.




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


AIR JAMAICA: Bookings Unsatisfactory Despite Cricket World Cup
--------------------------------------------------------------
Air Jamaica's travel bookings is still unsatisfactory, despite the
approaching Cricket World Cup, which is expected to draw several tourists to
Jamaica, the Jamaica Gleaner reports.

Richard Lue, Air Jamaica's director of Cricket World Cup and special events,
told The Gleaner, "The bright spark right now where we have bookings is only
for the opening ceremony and that first West Indies/Pakistan game.  The draw
is the West Indies and our West Indian fans all around are last-minute, so
we have a lot of potential growth but we have nothing right now."

There are individual bookings coming through, but flights are not yet full,
perhaps because of a difficulty faced by West Indian fans in making
decisions about where they will be accommodated, The Gleaner says, citing
Mr. Lue.

Mr. Lue explained to The Gleaner, "They really are looking whether they will
stay with a friend... it's really hard to read the West Indian fans coming
in."

According to The Gleaner, Air Jamaica is targeting groups of people instead
of individuals.  The airline has been working closely with the Trelawny
Homecoming Committee to target those members of the diaspora who plan to
come in time for the cricket match.  The company is also working on groups
within the United Kingdom.

Air Jamaica is expecting business to boom by April when the Indians, the
biggest group of passengers the airline hopes to benefit from, will be
traveling to the West Indies.  Many of those flights are expected to be
full, The Gleaner says, citing Mr. Lue.

Mr. Lue told The Gleaner, "The demand is there for the second part of the
super eight in Barbados because the Indians are banking on the idea that
India is going to be playing in those two games."

On the way to Barbados, many passengers are expected to stay overnight in
Jamaica, accruing business to many hotels and guest accommodations, The
Gleaner states, citing Mr. Lue.

Headquartered in Kingston, Jamaica, Air Jamaica --
http://www.airjamaica.com/-- was founded in 1969.  It flies
passengers and cargo to almost 30 destinations in the Caribbean,
Europe, and North America.  Air Jamaica offers vacation packages
through Air Jamaica Vacations.  The company closed its intra-
island services unit, Air Jamaica Express, in October 2005.  The
Jamaican government assumed full ownership of the airline after
an investor group turned over its 75% stake in late 2004.  The
government had owned 25% of the company after it went private in
1994.  The Jamaican government does not plan to own Air Jamaica
permanently.

                        *    *    *

On July 21, 2006, Standard & Poor's Rating Services assigned B
long-term foreign issuer credit rating on Air Jamaica Ltd.,
which is equal to the long-term foreign currency sovereign
credit rating on Jamaica, is based on the government's
unconditional guarantee of both principal and interest payments.


AIR JAMAICA: Launches Daily Non-Stop Service to Barbados
--------------------------------------------------------
Air Jamaica has launched a daily non-stop A-320 service between John F.
Kennedy in New York and Grantley Adams International Airport in Barbados
with 138 seats in Economy and 12 in Executive Business Class, Caribbean 360
reports.

Caribbean 360 relates that the service will continue to St. Lucia four days
per week and to Grenada three days a week.  This new schedule will also
offer daily direct service to Montego Bay, Jamaica via St. Lucia or Grenada,
offering further connections to and from Air Jamaica's US gateways in:

          -- Atlanta,
          -- Baltimore/Washington DC,
          -- Chicago,
          -- Fort Lauderdale,
          -- Los Angeles,
          -- Miami,
          -- New York, and
          -- Philadelphia.

Senator Rudy Grant, the Parliamentary Secretary in the Ministry of Tourism
and International Transport of Barbados, told The Barbados Advocate that the
Barbados Tourism Authority or BTA and the Ministry of Tourism and
International Transport acknowledged the importance of expanded airlift into
Barbados, in ensuring that the nation continued to increase its tourists.

It was very pleasing to see the beginning of an initiative that had been
negotiated by the BTA, in collaboration with the Ministry, in facilitating
the Air Jamaica daily non-stop service, The Advocate says, citing Senator
Grant.

Senator Grant commented to The Advocate, "We are very happy with this and it
signifies that airlines continue to have confidence in Barbados."

Barbados Tourism Authority Chairperson Peter Odle has also approved of Air
Jamaica's new daily non-stop service, saying that it was 100% positive,
Caribbean 360 notes.

Mr. Odle told Caribbean 360 that the development that followed the decision
by the new Caribbean Airlines to pull out from the Barbados-New York route
was positive for leisure, visiting, friends and family and other markets.
He said, "The Barbados Tourism Authority moved quickly to the plate once we
realized what was happening.  (We) approached Air Jamaica and they responded
in the way that we hoped they would.  We are hoping that it is going to be a
long term partnership for Barbados."

Patrick Cozier, secretary general of Caribbean Broadcasting Union, commented
to Caribbean 360 that Barbadians should be grateful for the new service.  He
noted, "New York is one of the critical points for supplying tourism into
Barbados and to have that market relatively un-serviced would create a
vulnerability for our tourism market that we really can't afford."

According to Caribbean 360, Mr. Cozier called for a solution to the void
left by Caribbean Airlines between Barbados and Miami, that would allow for
traffic between the south and southeastern USA and Barbados.

Senator Grant told The Advocate that he did not foresee any negative impact
for Barbados coming out of the change from British West to Caribbean
Airlines.  In addition to absorbing the capacity left by British West with
respect to international routes, the large numbers that had been transported
by British West within the Caribbean were still being facilitated by
Caribbean Airlines.

Local tourism partners were continuing to explore other opportunities to
increase airlift capacity, The Advocate relates, citing Senator Grant.  The
Barbados Tourism Authority was seeking to facilitate increases in tourism
revenue, an effort that was supported by the Tourism Development Act.

"As we bring more tourists to Barbados, it is important to provide them with
an enhanced experience.  There has to be new product offerings coming to the
market and the Tourism Development Act has to continue to facilitate that,"
Senator Grant commented to The Advocate.

Air Jamaica Regional Manager Abdul Pandor told The Advocate that the airline
was very enthusiastic about the new service.  After ten years of flying
between New York and Barbados, there was already a noticeable increase in
passengers since the start of the non-stop daily service.

"Today we brought over 80 passengers from New York out of a total 120
passengers, and we are very confident that those numbers will increase," The
Advocate states, citing Mr. Pandor.

It was noticeable that the non-stop service was attracting more tourist
traffic, Mr. Pandor told The Advocate.

Headquartered in Kingston, Jamaica, Air Jamaica --
http://www.airjamaica.com/-- was founded in 1969.  It flies
passengers and cargo to almost 30 destinations in the Caribbean,
Europe, and North America.  Air Jamaica offers vacation packages
through Air Jamaica Vacations.  The company closed its intra-
island services unit, Air Jamaica Express, in October 2005.  The
Jamaican government assumed full ownership of the airline after
an investor group turned over its 75% stake in late 2004.  The
government had owned 25% of the company after it went private in
1994.  The Jamaican government does not plan to own Air Jamaica
permanently.

                        *    *    *

On July 21, 2006, Standard & Poor's Rating Services assigned B
long-term foreign issuer credit rating on Air Jamaica Ltd.,
which is equal to the long-term foreign currency sovereign
credit rating on Jamaica, is based on the government's
unconditional guarantee of both principal and interest payments.




=================
G U A T E M A L A
=================


SBARRO INC: Moody's Junks Proposed US$150-Mln Sr. Unsec. Notes
--------------------------------------------------------------
Moody's Investors Service assigned a B3 corporate family rating to Sbarro,
Inc. while at the same time assigned Ba3 senior secured ratings to the
company's proposed bank facility consisting of a US$25-million 1st lien
revolver and a
US$150-million 1st lien term loan.

Additionally, a Caa1 rating on the proposed US$150-million senior unsecured
notes and a SGL-3 speculative grade liquidity rating were assigned.  Moody's
noted that the rating assignments are subject to a review of the final
documentation.  The proceeds from the bank and bond financings will be used
to pay off Sbarro's existing US$255-million senior unsecured notes as well
to help fund the purchase of the company by private equity firm, MidOcean
Partners, LLC.  Moody's expects to withdraw the senior unsecured legacy
rating once the proposed financings are closed.  The rating outlook is
stable.

Moody's previous rating action on Sbarro was in November 2006 when the
outlook was changed to developing from positive following the company's
announcement that it had entered into an agreement to be acquired by
MidOcean for approximately US$417 million.

The B3 corporate family rating acknowledges management's success at
revitalizing the Sbarro brand, the positive operating momentum currently
underway and the benefit of having a committed, larger source of alternate
liquidity now in place. Moody's noted that the increased leverage stemming
from the change in sponsorship largely offsets the recent progress the
company had made in strengthening its credit quality and profile.
Nonetheless, the expectation for gradually improving credit metrics
commensurate with the rating in the near-to-intermediate term remains.
Factors that continue to constrict the ratings include still weak credit
metrics, intense competition within the pizza segment of the restaurant
industry and the seasonality of revenues and cash flow driven largely by
shopping mall traffic patterns.

The rating outlook is stable with the anticipation that improvement in
credit metrics will continue but much slower than the pace the company was
on prior to the MidOcean buyout.  The SGL-3 speculative grade liquidity
rating reflects adequate liquidity and the rating agency's expectation that
Sbarro's internally generated cash flow will be sufficient in funding growth
and maintenance capital expenditures, term loan amortization obligations,
working capital needs and other internal investments over the next twelve
months.

Ratings assigned with a stable outlook:

   -- B3 corporate family rating and B3 probability of default
      rating;

   -- US$25-million 1st lien revolver maturing in 2013: Ba3
      (LGD2, 18%);

   -- US$150-million 1st lien term loan maturing in 2014: Ba3
      (LGD2, 18%);

   -- US$150-million senior unsecured notes maturing in 2015:
      Caa1 (LGD5, 75%); and

   -- SGL-3 speculative grade liquidity rating.

Rating expected to be withdrawn after the recapitalization is finalized:

   -- US$255 million senior unsecured notes maturing in 2009:
      Caa1 (LGD4, 53%)

Sbarro Inc. headquartered in Melville, New York, is a leading quick service
restaurant chain that serves Italian specialty foods.  As of Oct. 8, 2006,
the company owned and operated 479 and franchised 476 restaurants worldwide
under brand names such as "Sbarro," "Umberto's," and "Carmela's Pizzeria."
The company also operated 25 other restaurant concepts and joint ventures
under various brand names.  Total revenues for fiscal 2005 were
approximately US$348 million.  The company announced on
June 19, 2006, its internationalexpansion by opening more than 25
restaurants in Guatemala, El Salvador, Honduras, The Bahamas and Romania.




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


ADVANCED MARKETING: Court Grants Interim DIP Rights
---------------------------------------------------
The Hon. Christopher S. Sontchi of the U.S. Bankruptcy Court for the
District of Delaware authorized Advanced Marketing Services Inc. and its
debtor-affiliates, on an interim basis, to dip their hands into the DIP
financing facility arranged by Wells Fargo Foothill for a consortium of
lenders.

Advanced Marketing Services, Publishers Group Inc., and Publishers Group
West Inc. are borrowers under a Loan and Security Agreement dated April 27,
2004, with Wells Fargo Foothill Inc., as agent, and a consortium of lenders.
The Senior Facility provides for a revolving line of credit up to a maximum
commitment level of US$90,000,000.

Curtis R. Smith, AMS's vice-president and chief financial officer, relates
that the Senior Lenders have agreed to continue to provide liquidity to the
Debtors through a DIP Loan Facility, which carries forward many of the terms
of the Senior Facility.

Against this backdrop, the Debtors seek the Court's authority to obtain from
Foothill and the Senior Lenders, though the DIP Loan Facility, cash advances
and other extensions of credit in an aggregate principal amount of up to
US$75,000,000.

Absent immediate and continued availability of credit, the Debtors'
operations will be severely disrupted, and they will be forced to cease or
sharply curtail operations of some or all of their businesses, which in turn
will eliminate the Debtors' ability to generate operating revenue and the
value of their businesses as a going concern, Mr. Smith says.

Before agreeing to enter into the DIP Loan Facility with Foothill and the
Senior Lenders, the Debtors engaged in numerous discussions concerning
secured and unsecured financing, as well as equity or other infusions, with
several potential investors. Yet, they received only one proposal for
debtor-in-possession financing other than that offered by the Senior
Lenders.  Upon evaluation, the Debtors determined that the alternate
proposal was not viable.

"No other prospective lender was willing to provide debtor in possession
financing without at least the type of protections afforded Senior Lenders
under the DIP Loan Facility," Mr. Smith relates.

                Terms of the DIP Facility

The DIP Facility provides, among other things, that each Lender with a
Revolver Commitment agrees to make Advances to the Debtors at any one time
in amounts not exceeding the Lender's Pro Rata Share of an amount equal to
the lesser of (i) the Maximum Revolver Amount -- presently set at
US$75,000,000 -- less the Letter of Credit Usage, or (ii) the Borrowing Base
less the Letter of Credit Usage.

     Lender                                 Revolver Commitment
     ------                                 -------------------
     Wells Fargo Foothill Inc.                  US$37,500,000
     LaSalle Business Credit, LLC                  16,500,000
     Marathon Structured Finance Fund, L.P.         8,250,000
     Capitalsource Finance LLC                     12,750,000

The Issuing Lender agrees to issue Letters of Credit for the account of the
Borrowers or to purchase or execute an L/C Undertaking with respect to
letters of credit issued by an Underlying Issuer for the account of the
Borrowers.  The Issuing Lender will have no obligation to issue an L/C if
any of these events would result after giving effect to the issuance of the
requested L/C:

   (1) the L/C Usage would exceed the Borrowing Base less the
       outstanding amount of Advances; or

   (2) the L/C Usage would exceed US$10,000,000; or

   (3) the L/C Usage would exceed the Maximum Revolver Amount
       less the outstanding amount of Advances.

The Borrowing Base under the DIP Loan Agreement determines the maximum
amount that may be borrowed as Advances.  It is a function of inventory and
account values ranging up to 85% of appraised liquidation values and is
subject to various reserves, including a Dilution Reserve in an amount
sufficient to reduce the advance rate against Eligible Accounts by 1
percentage point for each percentage point by which Dilution is in excess of
5%.

The interest rate on all Obligations will be calculated based on Wells Fargo
Bank, National Association's prime rate plus 3.50%.

The DIP Agreement was scheduled to close by Jan. 4.  The postpetition
facility will continue in full force and effect for a term ending in July.
The Lender Group, upon the election of the Required Lenders, will have the
right to terminate its obligations under the DIP Loan Agreement immediately
and without notice on the occurrence and during the continuation of an Event
of Default.

The proceeds of the Advances may be used (1) on the Closing Date, to pay
transactional fees, costs, and expenses incurred in connection with the DIP
Loan Agreement, the other Loan Documents, and contemplated transactions
including the funding in whole or in part of the Carve Out Reserve Fund, and
(ii) for the Debtors' lawful and permitted business and general corporate
purposes including the financing of working capital needs and capital
expenditures, in accordance with the Debtors' 14-week Budget related to the
DIP Loan Facility.

The Budget runs through March 30, and sets forth the expenditures that the
Debtors critically need to make to allow them to continue to operate.

The Borrowers agree to pay a variety of fees and charges to Foothill:

   -- a Letter of Credit fee accruing at 3.50% per annum times
      the Daily Balance of the undrawn amount of all outstanding
      L/C;

   -- on the first day of an each month, an Unused Line Fee
      equal to 0.375% per annum times the result of (a) the
      Maximum Revolver Amount, less (b) the sum of (1) the
      average Daily Balance of Advances that were outstanding
      during the immediately preceding month, plus (2) the
      average Daily Balance of the L/C Usage during the
      immediately preceding month;

   -- a US$750,000 closing fee, which will be fully earned, due,
      and payable on the Closing Date;

   -- a US$5,000 servicing fee per quarter, due and payable, in
      arrears, on the first day of each quarter, commencing with
      the first day of the quarter immediately following the
      Petition Date; and

   -- certain audit, appraisal and valuation fees and charges
      relating to audits and appraisals performed by personnel
      employed by Foothill.

The postpetition obligations due the Lenders by the Debtors will be entitled
to the super-administrative priority afforded under Section 364(c)(1) of the
Bankruptcy Code.

The Lenders' liens and administrative claims will be subject to a carve out
for (i) the fees payable to the Clerk of the Bankruptcy Court and to the
Office of the United States Trustee relating to the Bankruptcy Cases; and
(ii) Professional Fee Carve Out Expenses of US$2,000,000 prior to a Payoff
Event and US$3,000,000 afterwards.

Moreover, the Debtors covenant that they will not:

   (a) on any measurement date where the Projected Operating
       Cash Flow is a positive amount, have Actual Operating
       Cash Flow for the relevant period that is both less than
       85% of the Projected Operating Cash Flow, and at least
       US$2,500,000 less than Projected Operating Cash Flow, for
       the period; or

   (b) on any measurement date where the Projected Operating
       Cash Flow is a negative amount, have Actual Operating
       Cash Flow for the relevant period that is both less than
       115% of the Projected Operating Cash Flow, and at least
       US$2,500,000 less than the Projected Operating Cash Flow,
       for the period.

Mark D. Collins, Esq., at Richards, Layton & Finger, P.A., in Wilmington,
Delaware, clarifies that the terms and covenants set forth in the Senior
Facility are amended and restated in their entirety by the terms and
conditions set forth in the DIP Loan Agreement.  However, the DIP Loan
Agreement does not extinguish the obligations for the payment of money
outstanding under the Senior Facility, or for the discharge or release of
any security.  Rather, the DIP Loan Agreement provides for the satisfaction
of the prepetition obligations owed to the Senior Lenders through
application of Cash Collateral postpetition -- a "roll-up" of the
prepetition debt.

The Roll-up provision provides that each Senior Lender is entitled to apply
any and all proceeds of the Collateral or the Senior Collateral or any other
consideration it received in respect of the Senior Obligations in accordance
with the Senior Facility and the Loan Documents, which includes the
application of Senior Collateral -- first, on account of the Senior
Obligations until the Senior Obligations are paid and satisfied, and then on
account of the Postpetition Obligations.  Furthermore, all outstanding L/C
under the Senior Facility are deemed to be L/C and Obligations under the DIP
Credit Agreement.  Mr. Collins says the Debtors have determined that this
provision is appropriate given that the Senior Lenders are substantially
over-secured.

               Qualified Transaction Timeline

The Debtors agree with the DIP Lenders to file within 10 days after the
Petition Date a qualified transaction motion calling for the sale of
substantially all or a significant portion of their business, or a
refinancing or debt or equity investment or other recapitalization.

Within 20 days after the filing of the Qualified Transaction Motion, the
Debtors will attempt to obtain approval of competitive bidding procedures
and to identify a "stalking horse" bidder in the event they pursue a sale.

The DIP Lenders want the Qualified Transaction Motion approved within 45
days after the filing.  They also want to receive cash proceeds from the
Qualified Transaction within 50 days.

Mr. Collins says the Debtors believe that the Qualified Transaction
provisions are reasonable given the overall benefits of the DIP Facility,
and given that the Senior Lenders were unwilling to extend financing without
those provisions.

Foothill is represented in the Debtors' cases by Paul S. Arrow, Esq., and
William S. Brody, Esq., at Buchalter Nemer, in Los Angeles, California, and
Kurt F. Gwynne, Esq., at Reed Smith, LLP, in Wilmington, Delaware.

                        *    *    *

Judge Sontchi held that the Debtors do not have sufficient available sources
of working capital to operate its business in the ordinary course of
business with the postpetition financing.  According to Judge Sontchi, the
Debtors' ability to maintain business relationships with its vendors,
suppliers, and customers, to pay its employees, and to otherwise fund its
operations, is essential to the Debtors' continued viability.

Judge Sontchi rules that the DIP Lenders have the right to use the DIP
Obligations to credit bid with respect to any bulk or individual sale of all
or any portion of the Debtors' assets securing the loan.

The Debtors are prohibited from obtaining postpetition loans or other
financial accommodations other than from the DIP Lenders unless their DIP
Obligations have been indefeasibly paid in full.

Judge Sontchi will convene a hearing to consider approval of the Debtors'
request on a final basis on January 24, at 10:00 a.m.  Objections, if any,
are due January 22.

                  About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services Inc. --
http://www.advmkt.com/-- provides customized merchandising, wholesaling,
distribution and publishing services, currently primarily to the book
industry.  The company has operations in the U.S., Mexico, the United
Kingdom and Australia and employs approximately 1,200 people worldwide.

The company and its two affiliates, Publishers Group Incorporated and
Publishers Group West Incorporated filed for Chapter 11 protection on Dec.
29, 2006 (Bankr. D. Del. Case Nos. 06-11480 through 06-11482).  Chun I.
Jang, Esq., Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets and debts of
more than US$100 million.  The Debtors' exclusive period to file a Chapter
11 plan expires on Apr. 28.  (Advanced Marketing Bankruptcy News, Issue No.
1; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000)


ADVANCED MARKETING: Court Authorizes Use of Cash Collateral
-----------------------------------------------------------
The Hon. Christopher S. Sontchi of the U.S. Bankruptcy Court for the
District of Delaware authorized Advanced Marketing Services Inc. and its
debtor-affiliates, on an interim basis, to use the Secured Lenders' Cash
Collateral.

Judge Sontchi rules that it will be an event of default if the Debtors use
the Lenders' Cash Collateral without further express, written consent of the
Lenders.

The Loan and Security Agreement dated April 27, 2004, among the Debtors,
Wells Fargo Foothill Inc., as agent, and a syndicate of lenders, is secured
by a first priority security interest on substantially all of the Debtors'
assets, all products and proceeds of the assets, and all cash proceeds and
all other cash equivalents and cash collateral.

Curtis R. Smith, AMS's vice-president and chief financial officer, relates
that the Senior Facility imposes numerous restrictions on the Debtors'
ability to access their cash.

Before the Petition Date, virtually all of the Debtors' cash from operations
was swept daily into an account controlled by Foothill and applied to the
loans outstanding, then re-advanced as loans in accordance with the
borrowing base formula as established and adjusted by Foothill from time to
time.

As of the Petition Date, the borrowing base formula under the Senior
Facility totaled US$64,764,447.  In contrast, Mr. Smith says, the Senior
Lenders are secured by approximately US$147,500,000 in accounts receivable,
approximately US$72,500,000 in inventory, as well as other valuable
collateral including Advanced Marketing Services' interests in foreign
subsidiaries, fixed assets and intellectual property.

As of the Petition Date, the Debtors were obligated to the Senior Lenders
for the principal amount drawn on the Revolving Loans plus accrued and
unpaid interest and certain additional unpaid fees and expenses totaling
US$41,514,347.

Pursuant to an Inter-company Subordination Agreement between the Debtors and
certain of their subsidiaries, as Obligors, and Foothill, the parties agreed
to subordinate the payment of all indebtedness, liabilities and other
obligations of each Obligor owing to any other Obligor to the payment of the
US$41,514,347 Indebtedness.

Mr. Smith reminds the Court that the Debtors have secured a US$75,000,000
postpetition facility from Foothill.  In that regard, the Debtors obtained
the express consent of the Senior Lenders to use the prepetition Cash
Collateral in connection with the DIP Loan Facility.

Accordingly, the Debtors seek the Court's authority to use the Secured
Lenders' Cash Collateral.

To secure all postpetition obligations due to the Lenders by the Debtors,
the Debtors propose to grant the Lenders a lien with priority and senior to
all other liens, other than validly perfected prepetition liens that would
otherwise be senior and prior to the Senior Lenders' prepetition liens, on
all of the Debtors' prepetition, present and future assets.  Moreover, upon
the occurrence of a Default or Event of Default, each Borrower waives any
right to use Cash Collateral.

                        *    *    *

Judge Sontchi will convene a hearing to consider approval of the Debtors'
request on a final basis on January 24, at 10:00 a.m.  Objections, if any,
are due January 22.

                  About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services Inc. --
http://www.advmkt.com/-- provides customized merchandising, wholesaling,
distribution and publishing services, currently primarily to the book
industry.  The company has operations in the U.S., Mexico, the United
Kingdom and Australia and employs approximately 1,200 people worldwide.

The company and its two affiliates, Publishers Group Incorporated and
Publishers Group West Incorporated filed for Chapter 11 protection on Dec.
29, 2006 (Bankr. D. Del. Case Nos. 06-11480 through 06-11482).  Chun I.
Jang, Esq., Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets and debts of
more than US$100 million.  The Debtors' exclusive period to file a Chapter
11 plan expires on Apr. 28.  (Advanced Marketing Bankruptcy News, Issue No.
1; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000)


ADVANCED MARKETING: 20 LARGEST UNSECURED CREDITORS
--------------------------------------------------

Entity                        Nature of Claim       Claim Amount
------                        ---------------       ------------
Random House                  Trade Debt           US$43,347,815
1540 Broadway
New York, NY 10036
Attn: Bill Sinnott
Tel: (410) 386-7480
Fax: (410) 386-7439

Simon & Schuster Inc.         Trade Debt           US$26,457,886
1230 Avenue of the Americas
New York, NY 10020
Attn: David England
Tel: (212) 689-7022
Fax: (212) 698-1258

Penguin Putnam Inc.          Trade Debt           US$24,614,829
375 Hudson Street
New York, NY 10014
Attn: Michelle Cangialosi
Tel: (201) 767-2916
Fax: (201) 767-5162

Hachette Book Group USA       Trade Debt           US$22,569,624
d/b/a Hachette and Time
Warner Publishing
Three Center Plaza
Boston, MA 02108-2084
Attn: Steve Mubarek
Tel: (617) 263-1949
Fax: (617) 263-2978

HaperCollins US               Trade Debt           US$18,029,249
3030 Robinson Road
Jefferson City, MO 65111
Attn: John Shearer
Tel: (570) 941-1244
Fax: (570) 941-1590

Publications International    Trade Debt           US$12,546,943
7373 North Cicero Avenue
Lincolnwood, IL 60712-1613
Attn: Jeff Coyle
Tel: (847) 329-5355
Fax: (847) 329-5810

VHPS                          Trade Debt            US$9,597,108
175 Fifth Avenue
20th Floor
New York, NY 10010
Attn: Peter Garabedian
Tel: (646) 307-5451
Fax: (917) 302-7466

Andrews McMeel Publishing     Trade Debt            US$8,658,324
4520 Main Street
Kansas City, MO 64111
Attn: Thom Thorton
Tel: (816) 932-6700
Fax: (816) 932-6735

John Wiley & Sons Inc.       Trade Debt             US$6,030,223
One Wiley Drive
Somerset, NJ 08875-1272
Attn: Dean Karrel
Tel: (201) 748-6275
Fax: (201) 748-8641

Leisure Arts                  Trade Debt            US$4,685,334
80 Willow Park Road
Menlo Park, CA 94025
Attn: Rich Smeby
Tel: (650) 324-5505
Fax: (650) 324-1532

Workman Publishing Company    Trade Debt            US$4,403,889
225 Varick Street
New York, NY 10014-4381
Attn: Phil Gerace
Tel: (212) 614-7565
Fax: (212) 254-8098

Rich Publishing LLC           Trade Debt            US$4,380,171
6611 North 64th Place
Paradise Valley, AZ 85253
Attn: Sharon Lechter
Tel: (480) 607-1940
Fax: (480) 949-6085

Chronicle Books               Trade Debt            US$4,344,797
275 Fifth Street
San Francisco, CA 94103
Attn: Jack Jensen
Tel: (415) 777-7240
Fax: (415) 777-8887

Meredith Corporation          Trade Debt            US$4,333,958
1716 Locust Street
Des Moines, IA 50309
Attn: Ken Zagor
Tel: (515) 284-2282
Fax: (515) 284-3947

Houghton Mifflin Trade Div.   Trade Debt            US$2,564,958
222 Berkeley Street
Boston, MA 02116
Attn: Gary Gentel
Tel: (617) 351-5927
Fax: (617) 351-1185

Avalon Publishing Group       Trade Debt            US$2,297,489
1400 65th Street
Suite 250
Emeryville, CA 94608
Attn: Susan Reich
Tel: (510) 595-3664
Fax: (510) 595-4228

United States Playing         Trade Debt            US$2,015,057
Card Co.
2510 Reliable Parkway
Chicago, IL 60686-0025
Attn: Amy Bruno
Tel: (800) 542-7430 ext. 7507
Fax: (513) 396-5878

Zondervan                     Trade Debt            US$2,002,239
5300 Patterson Avenue, SE
Grand Rapids, MI 49530
Attn: Verne Kenney
Tel: (616) 698-6548
Fax: (616) 698-3313

Global Book Publishing        Trade Debt            US$1,747,737
Level 8, 15 Orion Road
Lane Cove, NSW
Australia 2066
Attn: Cheryl Perry
Tel: (+612) 9425-5800
Fax: (+612) 9967-5891

Cook Illustrated              Trade Debt            US$1,483,506
17 Station Street
Brookline, MA 02445
Attn: Demee Gambulos
Tel: (617) 232-1000
Fax: (617) 232-1572

                  About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services Inc. --
http://www.advmkt.com/-- provides customized merchandising, wholesaling,
distribution and publishing services, currently primarily to the book
industry.  The company has operations in the U.S., Mexico, the United
Kingdom and Australia and employs approximately 1,200 people worldwide.

The company and its two affiliates, Publishers Group Incorporated and
Publishers Group West Incorporated filed for Chapter 11 protection on Dec.
29, 2006 (Bankr. D. Del. Case Nos. 06-11480 through 06-11482).  Chun I.
Jang, Esq., Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets and debts of
more than US$100 million.  The Debtors' exclusive period to file a Chapter
11 plan expires on Apr. 28.  (Advanced Marketing Bankruptcy News, Issue No.
1; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000)


BEARINGPOINT: Names Ed Harbach Pres. & Chief Operating Officer
--------------------------------------------------------------
BearingPoint Inc. has appointed Ed Harbach as president and chief operating
officer and a member of the Office of the CEO.  Mr. Harbach will be
responsible for day- to-day operations across BearingPoint, with operational
oversight of its business units.

Mr. Harbach has more than 28 years of experience in the management and
technology consulting industry and retired as a managing partner and member
of the leadership team at Accenture.  During his tenure at Accenture, Mr.
Harbach served as chief information officer, managing partner, Japan and
managing partner, Client Satisfaction and Quality.

"With his proven ability to tackle operational challenges, drive business
results and increase client satisfaction, Ed will be instrumental in helping
us make the final push on our business turnaround and execute our strategy
for long-term growth," stated Harry You, CEO of BearingPoint.

Mr. Harbach said, "I am thrilled to join BearingPoint, a company known for
its exceptional people and commitment to client success. I look forward to
leading the organization to greater operational efficiency so that its
momentum continues to build."

Mr. Harbach graduated from Miami University with a Bachelor of Science
degree in Systems Analysis and currently resides in Miami, Fla. with his
wife.  In connection with Mr. Harbach's employment, the BearingPoint's
independent compensation committee approved an award of 888,325 restricted
stock units, which vest ratably over four years.

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                        *    *    *

As reported on Oct. 11, Moody's downgraded and placed these ratings on
review for further possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2.


CONSOLIDATED CONTAINER: W. Bell Resigns as Holdings' Director
-------------------------------------------------------------
William G. Bell resigned, effective Dec. 31, 2006, from the management
committee of Consolidated Container Holdings LLC, the sole member and
manager of Consolidated Container Company LLC.

In addition, Mr. Bell resigned from the board of directors of two of
Holdings' subsidiaries, Consolidated Container Capital Inc. and STC Plastics
Inc.  No replacement has yet been appointed.

Also effective Dec. 31, 2006, Stephen E. Macadam, former chief executive
officer of Holdings, resigned from Holdings' Management Committee after
completing a 15 month transitional period to facilitate the change of chief
executive officer from Mr. Macadam to Jeffery M. Greene in October 2005.
Mr. Macadam also resigned from the Board of four of Holdings' subsidiaries,
Capital, STC, Reid Mexico S.A. de C.V., and Consolidated Plastics S. de R.
L. de C.V.

The Management Committee of Holdings appointed on Dec. 1, 2006, Thomas G.
McGonagle to the Management and the Audit Committees.  The appointment was
made in anticipation of the resignation of Mr. Macadam.  Pursuant to the
terms of Holdings' operating agreement, Vestar Capital Partners, III L.P.,
the majority owner of the common stock of Holdings, made the appointment.

Mr. McGonagle served as the senior vice president and chief financial
officer of Vistar Corporation, a national food distribution company, from
2003 to 2006.  From 2001 until 2003, he was the co-head of the U.S. Merchant
Banking for Babcock & Brown LP.  Before that time, Mr. McGonagle spent 14
years at Donaldson, Lufkin & Jenrette / Credit Suisse First Boston most
recently serving as Managing Director of the Financial Sponsors Group.

Mr. McGonagle received a B.A. from Dartmouth College and an M.B.A. from the
Amos Tuck School of Business Administration. Additionally, Mr. McGonagle
serves on the boards of The Children's Hospital Foundation, The United
States Ski & Snowboard Team Foundation, and the Kent Denver School.

Headquartered in Atlanta, Georgia, Consolidated Container Company LLC --
http://www.cccllc.com/-- develops, manufactures and markets rigid plastic
containers for many of the largest branded consumer products and beverage
companies in the world.  The company has a network of 55 strategically
located manufacturing facilities and a research, development and engineering
center located in Atlanta, Georgia.  In addition, the company has three
international manufacturing facilities in Canada and Mexico.  The company
sells containers to the dairy, water, juice & other beverage, household
chemicals & personal care, agricultural & industrial, food and automotive
sectors.  The company's container product line ranges in size from two-ounce
to six-gallon containers and consists of single and multi-layer containers
made from a variety of plastic resins, including high-density polyethylene,
polycarbonate, polypropylene, and polyethylene terephthalate.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 6, 2006, Standard &
Poor's Ratings Services affirmed its ratings on Consolidated Container and
removed all ratings from CreditWatch with negative implications, where they
were placed on
Aug. 23, 2006.  The corporate credit rating on Consolidated Container is
'B-'.


DELTA AIR: To Review US Airway's Revised Proposal
-------------------------------------------------
Delta Air Lines issued a preliminary statement based on its initial
assessment of the revised, unsolicited merger proposal from US Airways:

"Delta's Board of Directors will fulfill its fiduciary duty to review the
revised unsolicited merger proposal announced today by US Airways. On its
face, the revised proposal does not address significant concerns that have
been raised about the initial US Airways proposal and, in fact, would
increase the debt burden of the combined company by yet another US$1
billion."

Headquartered in Atlanta, Georgia, Delta Air Lines (OTC: DALRQ)
-- http://www.delta.com/-- is the world's second-largest airline in terms
of passengers carried and the leading U.S. carrier across the Atlantic,
offering daily flights to 502 destinations in 88 countries on Delta, Song,
Delta Shuttle, the Delta Connection carriers and its worldwide partners.
The Company and 18 affiliates filed for chapter 11 protection on Sept. 14,
2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).  Marshall S. Huebner, Esq.,
at Davis Polk & Wardwell, represents the Debtors in their restructuring
efforts.  Timothy R. Coleman at The Blackstone Group L.P. provides the
Debtors with financial advice.  Daniel H. Golden, Esq., and Lisa G.
Beckerman, Esq., at Akin Gump Strauss Hauer & Feld LLP, provide the Official
Committee of Unsecured Creditors with legal advice.  John McKenna, Jr., at
Houlihan Lokey Howard & Zukin Capital and James S. Feltman at Mesirow
Financial Consulting, LLC, serve as the Committee's financial advisors.  As
of June 30, 2005, the company's balance sheet showed US$21.5 billion in
assets and US$28.5 billion in liabilities.


ENESCO GROUP: Bank Lenders Limit Credit Facility Advances
---------------------------------------------------------
Enesco Group Inc. reported that the lenders under its senior credit facility
with Bank of America N.A. and LaSalle Bank N.A. have elected to allow future
advances under the credit facility only on a limited discretionary basis.

The company continues to seek refinancing for the senior credit facility and
to pursue other restructuring alternatives.  The company said there could be
no certainty as to whether it will be successful in achieving its goals.

Enesco Group, Inc. --- http://www.enesco.com/-- is a world
leader in the giftware, and home and garden decor industries.
Serving more than 44,000 customers worldwide, Enesco distributes
products to a wide variety of specialty card and gift retailers,
home decor boutiques, as well as mass-market chains and direct
mail retailers.  Internationally, Enesco serves markets
operating in the United Kingdom, Canada, Europe, Mexico,
Australia and Asia.  With subsidiaries located in Europe and
Canada, and a business unit in Hong Kong, Enesco's international
distribution network is a leader in the industry.  Enesco's
product lines include some of the world's most recognizable
brands, including Border Fine Arts, Bratz, Circle of Love,
Foundations, Halcyon Days, Jim Shore Designs, Lilliput Lane,
Pooh & Friends, Walt Disney Classics Collection, and Walt Disney
Company, among others.

                       Credit Default

As reported in the Troubled Company Reporter on Aug. 15, 2006,
Enesco is continuing to aggressively pursue long-term debt financing.
Enesco previously had agreed to obtain a commitment for long-term financing
by Aug. 7, 2006.  Because Enesco has not obtained a commitment, the company
is in default of its current credit facility agreement.

Enesco is working with the lenders for possible additional loans or terms
and conditions, but has been advised that the lenders are not committing to
waive the default.


FOAMEX INT: Sr. Secured Holders Accept Plan of Reorganization
-------------------------------------------------------------
Foamex International Inc. disclosed that the Senior Secured Noteholders
voting on its Second Amended Plan of Reorganization have voted unanimously
to accept the Plan.  Equityholders have until Jan. 18, 2007, at 4:00 p.m. ET
to vote on the Plan.

Raymond E. Mabus, Jr., Chairman and Chief Executive Officer of Foamex, said,
"We are pleased to have received the unanimous support of our Senior Secured
Noteholders.  The result is indicative of the Plan's broad-based support
among our stakeholders, and represents another significant step in Foamex's
chapter 11 process as we continue to build momentum toward emergence."

A hearing before the United States Bankruptcy Court for the District of
Delaware to consider confirmation of the Plan is scheduled for Feb. 1, 2007.

Headquartered in Linwood, Pennsylvania, Foamex International Inc. is engaged
primarily in the manufacturing and distribution of flexible polyurethane and
advanced polymer foam products.  As of Jan. 1, 2006, the company's
operations were conducted through its wholly owned subsidiary, Foamex L.P.,
and through Foamex Canada Inc., Foamex Latin America, Inc. and Foamex Asia,
Inc., which are wholly owned subsidiaries of Foamex L.P.  The company has
five business segments: Foam Products, Carpet Cushion Products, Automotive
Products, Technical Products and Other Products.  On Sept. 19, 2005, (the
Petition Date), the company and certain of its domestic subsidiaries,
including Foamex L.P., the company's primary operating subsidiary
(collectively referred to as the Debtors), filed voluntary petitions for
relief under Chapter 11 of the United States Bankruptcy Code (Bankruptcy
Code) in the United States Bankruptcy Court for the District of Delaware
(the Bankruptcy Court).  The Latin American subsidiary is in Mexico.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 8, 2006, Moody's
Investors Service has assigned a B2 corporate family and probability of
default ratings on Foamex L.P.  Concurrently, Moody's has assigned a B1
rating to the company's US$425 million first lien senior secured Term Loan B
and a Caa1 rating to its US$190 million second lien senior secured term loan
(expected to be downsized to US$175 million).  Moody's said the ratings
outlook is stable.


FORD MOTOR: To Invest US$866 Million in Six Michigan Plants
---------------------------------------------------------
Ford Motor Co. is producing more fuel-efficient vehicles by investing US$866
million to raise six Michigan plants, the Associated Press reports.

Under the investment, US$130 million would be spent for a stamping and
assembly plant in Wayne, US$320 million for a transmission plant in Van
Dyke, US$88 million for a transmission plant in Livonia, US$89 million for
Woodhaven Stamping, US$31 million for Dearborn Stamping, and US$208 million
at a Dearborn plant.

In addition, Ford would receive state incentives of up to
US$151 million and could get that amount matched by local governments.

According to AP, the US$151 million in tax abatements and other incentives
offered by the Michigan Economic Development Corp. is based on Ford's
billion-dollar commitment.  The company has reportedly said in August that
it plans to invest up to
US$1 billion in its Detroit operations.

Local governments also have considered offering another
US$150 million to US$170 million in incentives, AP adds.

Citing Ford President Mark Fields, AP relates that the investment in new
products and infrastructure will help the plants become an avenue to build
the best vehicles in the world.

                      About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures and distributes automobiles in 200
markets across six continents.  With more than 324,000 employees worldwide,
including Mexico, the company's core and affiliated automotive brands
include Aston Martin, Ford, Jaguar, Land Rover, Lincoln, Mazda, Mercury and
Volvo.  Its automotive-related services include Ford Motor Credit Company
and The Hertz Corp.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 12, 2006,
Standard & Poor's Ratings Services affirmed its 'B' bank loan
and '2' recovery ratings on Ford Motor Co. after the company
increased the size of its proposed senior secured credit
facilities to between US$17.5 billion and US$18.5 billion, up
from US$15 billion.

As reported in the Troubled Company Reporter on Dec. 7, 2006,
Fitch Ratings downgraded Ford Motor Company's senior unsecured
ratings to 'B-/RR5' from 'B/RR4' due to the increase in size of
both the secured facilities and the senior unsecured convertible
notes being offered.

As reported in the Troubled Company Reporter on Dec. 6, 2006,
Moody's Investors Service assigned a Caa1, LGD4, 62% rating to
Ford Motor Company's US$3 billion of senior convertible notes
due 2036.


GENERAL MOTORS: Eyes More Job Cuts & Overseas Expansion
-------------------------------------------------------
General Motors Corp. warned of more job cuts in 2007, BBC News reports
citing Chief Executive Rick Wagoner.

The company shut down 12 sites and shed over 34,000 jobs to trim US$9
billion from operating costs in 2006, following a
US$10.6 billion net loss in 2005.

Despite the job cuts, GM will continue its expansion overseas, where sales
outperformed its U.S. business for third straight year.  GM is struggling to
keep up with Asian rivals in the U.S., where company sales dipped 8.7% in
2006 while pursuer Toyota posted a 13% hike in sales, BBC News relays.

"I like being number one, and I think our people take pride in it," Mr
Wagoner told BBC News.  "We're not going to sit back and let somebody else
pass us by."

Mr. Wagoner said that GM would improve productivity, profitability and its
competitive edge to remain as the world's leading car producer.  The company
is also rolling out new vehicles as well as unveiling its new Camaro
convertible concept car at the Detroit Motor Show in the weekend.

The company will also negotiate for more concessions on a new four-year
contract with United Auto Workers (UAW) Union, as it focuses on lightening
its health care burden, BBC News reports.

"We are not fully competitive yet," Mr Wagoner said. "We need to make
progress in the 2007 negotiations.

"These are tough issues ... and health-care has put us at a US$5bn
disadvantage.  The structure we have doesn't work in today's global
industry."

GM plans to hike its average transaction price, mainly through ongoing
reductions in discount offers.

BBC News relays that GM's health care costs account for US$1,500 of each new
car compared to US$200 at Toyota.

                 About General Motors Corp.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- is the
world's largest automaker and has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 327,000
people around the world.  It has manufacturing operations in
33 countries, including Mexico, and its vehicles are sold in 200 countries.
GM sells cars and trucks under these brands: Buick, Cadillac, Chevrolet,
GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall.

                        *    *    *

As reported on Nov. 16, 2006, Standard & Poor's Ratings Services assigned
its 'B+' bank loan rating to General Motors Corp.'s proposed US$1.5 billion
senior term loan facility, expiring 2013, with a recovery rating of '1'.
The 'B+' rating was placed on Creditwatch with negative implications,
consistent with the other issue ratings of GM, excluding recovery ratings.

At the same time, Moody's Investors Service assigned a Ba3,
LGD1, 9% rating to the proposed US$1.5 Billion secured term loan
of General Motors Corp.  The term loan will be secured by a
first priority perfected security interest in all of the U.S.
machinery and equipment, and special tools of GM and Saturn
Corp.


GREENBRIER: Posts US$247MM Revenues for Qtr. Ended Nov. 30, 2006
----------------------------------------------------------------
The Greenbrier Companies reported financial results for its fiscal first
quarter ended Nov. 30, 2006.

                         Highlights

   * Revenues increased 32% to US$247 million, with growth
     occurring in all three of the company's business segments.

   * Net earnings for the quarter, were US$1.9 million.

   * EBITDA for the quarter was US$19.6 million, or 8.0% of
     revenues.

   * New railcar manufacturing backlog was relatively unchanged
     at 14,300 units, valued at US$980 million as of
     Nov. 30, 2006.

   * New marine barge backlog was a record US$75 million at
     Nov. 30, 2006.

   * During the quarter, the company expanded its new railcar
     product lines in North America to a total of five different
     car types.

   * During the quarter, the company completed three major
     strategic initiatives:

     i) acquisition of the assets of Rail Car America,
     ii) acquisition of the stock of Meridian Rail Services, and
     iii) formation of a joint venture, Greenbrier GIMSA, to
          build new railcars in Mexico.

Revenues for the 2007 fiscal first quarter were US$246.6 million, compared
with US$186.4 million in the prior year's first quarter.  EBITDA was US$19.6
million, or 8.0% of revenues for the quarter, compared with US$23.4 million,
or 12.5 % of revenues in the prior year's first quarter.  Net earnings were
US$1.9 million, or US$.12 per diluted share for the quarter, compared with
net earnings of US$8.0 million, or US$.51 per diluted share for the same
period in 2006.

New railcar manufacturing backlog was 14,300 units valued at US$980 million
at Nov. 30, 2006, compared with 14,700 units valued at US$1.0 billion on
Aug. 31, 2006.  Approximately 7,700 units in backlog are for delivery beyond
calendar 2007 and are subject to Greenbrier's fulfillment of certain
competitive conditions. Marine backlog reached a record US$75 million,
compared with US$55 million on August 31, 2006.

William A. Furman, president and chief executive officer, said, "While we
were pleased to conclude three strategic initiatives during the quarter, we
were obviously disappointed in our first quarter financial results.  A
number of operating and non-operating items combined to contribute to this
performance.  On the operating side, it became apparent late in the quarter
that we were not making sufficient progress in achieving manufacturing
efficiencies and addressing production difficulties.  These factors coupled
with timing issues combined to produce weak results.  Management is keenly
focused on improving financial performance and integrating our recent
acquisitions as we move forward in 2007."

Results for the quarter were adversely impacted by a number of factors,
which were only modestly offset by a low tax rate for the quarter.  The
aggregate affect of these items was to negatively impact earnings by about
US$.40 per diluted share.  These factors included:

   * About one-half of this US$.40 impact is estimated to be due
     to lower than anticipated margins from new railcar and
     marine manufacturing.

   * Several unexpected timing issues emerged including:

     (i) lower than anticipated gains on equipment sales, as
         certain sales originally contemplated to occur during
         the quarter are now expected to occur later in the
         fiscal year, and

     (ii) a delay in timing of revenue on a marine barge order.

     These two items, which equate to about US$.10 per share,
     are expected to reverse themselves in future periods.  As
     well, certain double-stack railcars were produced during
     the quarter that are anticipated to be sold later in the
     year.

   * Other non-cash items, which adversely affected results were
     a write-off of unamortized loan costs of US$.04 per
     diluted share and foreign exchange losses of US$.03 per
     diluted share.

Mark Rittenbaum, senior vice president and treasurer, added, "In addition to
the aforementioned items, there were a lesser number of business days in our
actual first quarter results from the Meridian Rail Services and Rail Car
America acquisitions than previously anticipated prior to the closing of
those deals.  While these lesser days impact both first quarter and full
year results, they do not change our positive outlook for these businesses
for the balance of this fiscal year.  Finally, our tax rate for the quarter
was 24.7%, as a result of the geographic mix of earnings and a tax credit in
Mexico. For the year as a whole, we anticipate the tax rate to be closer to
35%-40 %."

The company now reports its results from three business segments.  The
Manufacturing segment now includes new railcar and marine barge
manufacturing.  First quarter revenues for this segment were US$168.7
million, up 19% from US$141.8 million in the first quarter of 2006.  New
railcar deliveries for the quarter were approximately 2,000 units compared
with 2,400 units in the prior comparable period. Deliveries decreased
principally as a result of line changeovers, lower production rates, and
suspension of production at the company's Canadian new railcar facility
during the quarter.  Revenues per unit increased due to a change in product
mix.  The current mix was more heavily weighted to conventional railcars,
which have a higher unit sales value than intermodal cars.

Manufacturing gross margin for the quarter was 4.2% of revenues, compared
with 13.3% of revenues in the first quarter of 2006.  The decrease in margin
was principally due to a less favorable product mix, lower production rates,
production difficulties and inefficiencies in the introduction of certain
railcar types, and absorption of overhead costs associated with suspension
of production at the Canadian facility.

The refurbishment & parts segment includes results for 30 shop locations
across North America, which repair and refurbish railcars, provide wheel,
axle and bearing services, and recondition and provide replacement railcar
parts.  Revenues for this segment were US$51.2 million, more than double the
US$22.8 million of revenue for the prior comparable period.  Over US$18
million of this revenue growth was the result of the recent acquisitions of
Rail Car America and Meridian Rail Services during the quarter.  The balance
of the revenue growth of about US$10 million was organic.  Margins for this
segment were 12.2%, as compared with 12.1% in the prior period.

The leasing & services segment continues to include results from the
company's owned lease fleet of approximately 10,000 railcars and from fleet
management services provided for approximately 135,000 railcars.  Revenues
for this segment grew to US$26.7 million, an increase of 23% from US$21.8
million in the same quarter last year.  Leasing & services gross margin grew
to 59.5% of revenues, compared with 52.0% of revenues in the same quarter
last year.  Leasing & Services revenue and margin growth was achieved
principally from additions to the company's lease fleet, and increases in
gains on equipment sales and in interest income.

                      Business Outlook

Mr. Furman continued, "In fiscal 2006, we took several strategic steps to
improve our competitive position and build a stronger company that can
perform more consistently through various economic cycles. As we enter a
less certain economic environment with growing signs of a possible economic
slowdown, we continue to believe that secular forces will favor the railroad
industry and that our recent strategic decisions were on target.  Our
diversified business units should serve us well in this environment over the
long-term.  For example, roughly US$550 million of annual revenue is
anticipated to be derived from our expanded marine barge manufacturing,
railcar refurbishment & parts, and leasing & services operations.  Our
European new railcar operations currently provide about another US$100
million in annual revenues."

Mr. Furman concluded, "However, events in the first quarter coupled with
operating in a less certain economic environment, have made us more cautious
about our financial performance and forecasting this performance for the
remainder of this year.  This is particularly the case in new railcar
manufacturing, where we have open production space. In the near term, our
customers are moderating their demand for certain new railcar types,
including intermodal and mill gondola cars from what we previously
anticipated.  Therefore, we have lowered our new railcar delivery and margin
expectations for the year.  Due to all of these factors, we have withdrawn
our earlier guidance and are lowering our full year guidance to US$2.15 to
US$2.40 per diluted share."

Headquartered in Lake Oswego, Ore., The Greenbrier Cos. --
http://www.gbrx.com/-- supplies transportation equipment and
services to the railroad industry.  The Company builds new
railroad freight cars in its manufacturing facilities in the US,
Canada, and Mexico and marine barges at its U.S. facility.  It
also repairs and refurbishes freight cars and provides wheels
and railcar parts at 30 locations (post Meridian acquisition)
across North America.  Greenbrier builds new railroad freight
cars and refurbishes freight cars for the European market
through both its operations in Poland and various subcontractor
facilities throughout Europe.  Greenbrier owns approximately
9,000 railcars, and performs management services for
approximately 136,000 railcars.

                        *    *    *

As reported in the Troubled Company Reporter on May 18, 2006,
Standard & Poor's Ratings Services assigned its 'B+' rating to
The Greenbrier Companies Inc.'s proposed US$85 million
convertible note offering, which will mature in 2026.  At the
same time, Standard & Poor's affirmed its ratings on the Lake
Oswego, Oregon-based railcar manufacturer, including its 'BB-'
corporate credit rating.  S&P said the outlook is stable.


GRUPO MEXICO: Negligent on Pasta Mine, State Prosecutor Says
------------------------------------------------------------
Jorge Torres, Coahuila, Mexico's state prosecutor, has accused Grupo Mexico
SA de CV and the Mexican labor ministry of deep, offensive negligence,
saying that the explosion at the Pasta de Concho coal mine in 2006 could
have been averted, Mining Journal Online reports.

According to Mining Journal Coahuila officials are calling for arrest
warrants against people it considers responsible for the deaths of 65 men.

Mining Journal relates that Mr. Torres claims he has evidence, including
testimony from miners that proves that the mine was unsafe and had poor
ventilation.  He is waiting for the results of probe conducted by the labor
ministry before he makes a request for arrest warrants.

Juan Rebolledo, Grupo Mexico's head of international relations, told Mining
Journal that the firm would not take any action in response to Mr. Torres'
declarations until arrest warrants or indictments were given.

Prosecutors could not know the cause of the explosion, as rescuers had not
yet arrived at the bottom of the mine, making it extremely hard to draw up
conclusions. Mining Journal states, citing Mr. Rebolledo.

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

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on Dec. 29, 2006,
Fitch Ratings upgraded the local and foreign currency Issuer Default Rating
Outlook is Stable.


RADIOSHACK: Reports Projected Net Income Improvement for 4th Qtr
----------------------------------------------------------------
RadioShack Corp. expects fourth quarter 2006 net income to increase versus
prior year fourth quarter net income of US$51 million. The increased
profitability is expected to be driven in part by improved margin and
inventory management combined with reduced SG&A expenses.

RadioShack projects fourth quarter 2006 comparable store sales to decrease
by approximately 7.8%.  An income statement reclassification relating to the
sale of prepaid wireless airtime, due primarily to contract changes,
negatively impacted comparable store sales by approximately 230 basis points
but did not impact operating profit.  Adjusted comparable store sales,
excluding the impact of the reclassification, decreased by approximately
5.5%.

"We continued making important achievements in Q4 towards improving our core
operations," said Julian Day, chairman and chief executive officer.  "During
the quarter, we achieved a sequential monthly improvement in same- store
sales compared to prior trends. More specifically, during the 5-week period
between Thanksgiving and New Year, our adjusted comparable store sales only
decreased by approximately 2.5%.

"Operationally, I am pleased with the progress made to date but would note
that we anticipate sales challenges in the first part of 2007.  The company
was highly promotional during the first quarter of 2006 with the
introduction of Cingular wireless service and discounting of excess seasonal
toy inventory.  It is not our intention to chase unprofitable business;
therefore, we expect a negative impact to same-store sales in the first part
of 2007."

RadioShack estimates that its cash balance was approximately US$450 million
at Dec. 31, 2006, an improvement of approximately US$225 million versus
prior year.  The improved cash position was primarily driven in the fourth
quarter by favorable margins, SG&A expense control and working capital
improvements including a reduction in inventory and capital expenditures.

"We are pleased with the progress we have made in driving free cash flow
over the past few months," stated Jim Gooch, chief financial officer.  "We
look forward to 2007 with a continued focus on improving our core operations
and strengthening our balance sheet."

Fort Worth, Texas-based RadioShack Corp. --
http://www.RadioShackCorporation.com/-- is a consumer
electronics specialty retailers and a growing provider of retail
support services.  The company operates a network of sales
channels, including: more than 6,000 company and dealer stores;
more than 100 RadioShack locations in Mexico and Canada; and
nearly 800 wireless kiosks.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 27, 2006,
Standard & Poor's Ratings Services lowered the corporate credit
and senior unsecured ratings on Fort Worth, Texas-based
RadioShack Corp. to 'BB' from 'BBB-'.  At the same time, the
rating agency lowered the short-term rating to 'B-1' from 'A-3'.
The outlook is negative.  Total debt was US$610 million as of
Sept. 30, 2006.


TRI-NATIONAL DEVELOPMENT: Selling Real Property on January 31
-------------------------------------------------------------
Tri-National Development Corp.'s real property consisting of multiple legal
parcels in Rosarito Beach, Baja California, Mexico and commonly known as the
Plaza Rosarito Project, Plaza del Sol, or Plaza San Fernando, which are
adjacent to Quinta Del Mar, will be sold on an "as is, where is" basis on
Jan. 31, 2007, at 2:00 p.m. in San Diego, California, under the supervision
of a U.S. Bankruptcy Court.

The bankruptcy trustee, Douglas P. Wilson at Douglas Wilson Companies, has
accepted an opening bid from a qualified purchaser, subject to overbid.  Any
person wishing to bid at the sale must be pre-qualified with the bankruptcy
trustee as a qualified overbidder no later than Jan. 24, 2007.  Any person
wishing to become a qualified overbidder must provide the bankruptcy trustee
these requirements no on or before
Jan. 24, 2007:

         -- evidence of financial ability to complete the sale,
         -- US$1,750,000 deposit in cash or certified funds, and
         -- executed asset purchase agreements on terms similar
            to those submitted by the proposed buyer.

The initial overbid minimum increment is US$750,000, requiring the initial
overbid amount to be at least US$13,750,000.  Each subsequent overbid shall
be in minimum increments of US$100,000.  All bidders must have completed
their due diligence investigation of the property interests to be sold and
have deposited the balance of the initial overbid amount (at least
US$12,000,000) with the bankruptcy trustee before the sale hearing.  The
sale is for all cash without contingencies.  The successful bidder must
close within one business day of court approval; otherwise the successful
bidder will forfeit its non-refundable liquidated damages deposit.

The final sale hearing is set for Jan. 31, 2007, at 2:00 p.m. in the
Department Three of the U.S. Bankruptcy Court for the Southern District of
California, at 325 'F' Street, San Diego, California, 92101-6991.

Interested parties should contact:

          Sean Doyle
          Mexico Retail Advisors, LLC
          Tel: 619-531-1265

             -- or --

          Christopher V. Hawkins
          Sullivan, Hill, Lewin, Rez & Engel
          Tel: 619-233-4100
          E-mail: bajaproperty@shlaw.com

Headquartered in San Diego, California, Tri-National Development
Corp is an international real estate development, sales and management
company.  The Debtor filed for chapter 11 protection on Oct. 23, 2001.
(Bankr. S.D. Cal. Case No. 01-10964).  Colin
W. Wied, Esq., at C. W. Wied Professional Corporation represents
the Debtor.  On Sept. 23, 2002, the Court appointed Douglas Wilson as the
chapter 11 trustee.  Mr. Wilson is represented by
Christopher V. Hawkins, Esq., and James P. Hill, Esq., at
Sullivan, Hill, Lewin, Rez & Engel, APLC.  When the Debtor filed
for protection from its creditors, it estimated US$50 million to
US$100 million in assets and US$10 million to US$50 million in debts.


VALASSIS COMMS: Includes Hotchkis & Wiley Capital as Investors
--------------------------------------------------------------
Valassis Communications Inc. entered into amendment No. 2 to the rights
agreement, dated as of Sept. 1, 1999, with National City Corporation, as
rights agent.

The Amendment amends the definition of "Investor" to include Hotchkis and
Wiley Capital Management, LLC.   The Amendment will permit Hotchkis and
Wiley Capital Management to become the beneficial owner of up to 20% of the
outstanding shares of the company's common stock without being deemed to be
an Acquiring Person, as defined in the Rights Agreement, and therefore not
triggering any adverse event under the Rights Agreement.

A full text-copy of Amendment No. 2 to the Rights Agreement between Valassis
Communications, Inc. and National City Corporation, as rights agent may be
viewed at no charge at http://ResearchArchives.com/t/s?184a

Headquartered in Livonia, Michigan, Valassis Communications Inc.
(NYSE: VCI) -- http://www.valassis.com/-- provides marketing services to
consumer-packaged goods manufacturers, retailers, technology companies and
other customers with operations in the United States, Europe, Mexico and
Canada.  Valassis' products and services portfolio includes:
newspaper-delivered promotions and advertisements such as inserts, sampling,
polybags and on-page advertisements; direct-to-door advertising and
sampling; direct mail; Internet-delivered marketing; loyalty marketing
software; coupon and promotion clearing; and promotion planning and analytic
services.  Valassis subsidiaries include Valassis Canada, Promotion Watch,
Valassis Relationship Marketing Systems, LLC and NCH Marketing Services Inc.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 1, 2006, Moody's
Investors Service downgraded Valassis Communications, Inc.'s senior
unsecured note ratings to Ba1 from Baa3.  Moody's also assigned a Ba1
Corporate Family Rating, Ba1 Probability of Default Rating, and LGD4 loss
given default assessments to Valassis' debt securities.  The ratings remain
on review for downgrade.


VITRO ENVASES: Launches Cash Tender on US$250MM Sr. Sec. Notes
--------------------------------------------------------------
Vitro, S.A.B. de C.V.'s subsidiary Vitro Envases Norteamerica, S.A. de C.V.
aka Vena has launched an offer to purchase for cash any and all of its
outstanding 10.75% senior secured guaranteed notes due 2011.  The aggregate
principal amount outstanding of the Notes as of this date is US$250 million.

Concurrently with the Tender Offer, Vena is soliciting consents from the
holders of the Notes to proposed amendments to the indenture under which the
Notes were originally issued which, among other things, will enable the
release of certain liens on the collateral for the Notes.  The Tender Offer
will remain open for 20 business days and will expire on Feb. 7, 2007, at
12:00 midnight EST, unless extended by Vena. Holders of the Notes must
tender their notes prior to 5:00 p.m. EST on Jan. 24, 2007, to receive the
consent payment unless such date is extended by Vena.

Pursuant to the Tender Offer and Consent Solicitation, holders of the Notes
will receive certain cash consideration plus accrued interest for each
US$1,000 principal amount of the Notes tendered and accepted for payment as
more fully set forth in the Offer to Purchase and Consent Solicitation
Statement made available to holders of the Notes.  The consideration will be
based on a fixed spread of 50 bps over the bid-side yield of the reference
U.S. Treasury security indicated in the Offer to Purchase and Consent
Solicitation Statement.

The Tender Offer and Consent Solicitation are subject to Vitro obtaining
financing in order to, among other things, transfer sufficient funds to Vena
to pay for the Tender Offer and Consent Solicitation and to effect a
covenant defeasance of any non-tendered Notes, reaching a minimum tender
aggregate amount of Notes as well as other certain conditions as more fully
set forth in the Offer to Purchase and Consent Solicitation Statement.

The Tender Offer and Consent Solicitation are part of a thorough major
initiative being implemented by Vitro to improve its capital structure, debt
maturity profile and liquidity position.  Through this initiative and others
implemented last year, Vitro seeks to reduce its leverage and cost of
capital to improve its operations and credit profile.

Requests for additional copies of the Offer to Purchase and Consent
Solicitation Statement, the Letter of Transmittal and Consent or other
related documents may be directed to:

          Global Bondholder Services Corporation
          Tel: (866) 795-2200 (toll-free)
               (212) 430-3774

Questions regarding the Tender Offer and Consent Solicitation may be
directed to the dealer managers for the tender offer and solicitation agents
for the consent solicitation:

          Morgan Stanley & Co., Incorporated
          Attn: Francesco Cipollone
          Tel: (800) 624-1808 (toll-free)
               (212) 761-1941 (collect)

                   -- or --

          Credit Suisse Securities (USA) LLC
          Attn: Charles Siegel
          Tel: (800) 820-1653 (toll-free)
               (212) 538-0652 (collect)

                   -- or --

          Lehman Brothers
          Attn: Rad Antonov
          Tel: (212) 528- 7581 (collect)

Headquartered in Monterrey, Mexico, Vitro Envases Norteamerica, S.A. de CV,
is the leading manufacturer of glass containers in Mexico and Central
America, serving the global food, beverage, pharmaceutical, and cosmetics
industries.  The company also manufactures and distributes soda ash and
sodium bicarbonate and capital goods, such as glass-forming machines and
molds.  Vena is a wholly owned subsidiary of Vitro, S.A. de C.V. (also based
on Monterrey, Mexico) and accounts for about half of that company's sales.
For the twelve months ended Sept. 30, 2006, Vena's consolidated sales
reached about US$1.16 billion.

                        *    *    *

As reported in the Troubled Company REporter on Nov. 7, 2006, Moody's
affirmed Vitro Envases Nortemarica, S.A. de C.V. aka Vena's B2 Corporate
Family Rating and the B2 rating for its US$250 million 10.75% senior secured
notes, due 2011.  The outlook on Vena's ratings is stable.  Vena is Vitro's
glass container subsidiary, and accounts for approximately half of Vitro's
sales.


WERNER LADDER: Gets Interim Okay on Exec. Incentive Payment Plan
----------------------------------------------------------------
The Honorable Kevin J. Carey of the U.S. Bankruptcy Court for the District
of Delaware authorized, but did not require, Werner Holding Co. (DE) Inc.
aka Werner Ladder Company and its debtor-affiliates to:

   (i) adopt and implement an executive incentive plan for the
       fourth quarter of 2006; and

  (ii) make incentive payments related to the revised 2006
       budget to eligible executives.

In addition, the Court permitted the Debtors to execute and perform their
obligations under certain non-complete agreements and pay the eligible
executives under those agreements.

Payment of the Debtors' obligations to their prepetition lenders
will be subject to the payment of all the incentive payments and
non-compete payments earned but not yet paid under the executive
incentive plan.

The Court will convene a hearing on the 2007 Executive Incentive
Plan on Jan. 18, 2007, at 2:00 p.m.

            Need for Adequate Incentive Program

As a result of the continued demands placed on senior management
and the recent resignations of their CEO Steve Richman and
another executive, the Debtors' board of directors has determined that it is
critical to implement an adequate incentive program for senior managers and
other executives who are able to directly impact the Debtors' performance,
business initiatives and course of restructuring.

According to Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor,
LLP, in Wilmington, Delaware, the executives must have
been recommended by the CEO and approved by the Board, or been
approved previously for participation in the Debtors' Business
Optimization Bonus Plan, to participate in the Executive
Incentive Plan.  The EIP replaces the BOB Plan adopted in January 2006.

The EIP provides that the 2007 base salaries of the executives,
excluding the CEO and president, will not be increased by more
than 25% of their 2006 base salary.  The 2007 base salary of the
Debtor's president will not be increased by more than 40% of his
2006 base salary.

There are two components of the EIP - the Incentive Payments and
the Non-Complete Agreement.

Executives are eligible to earn incentive payments tied to
operating performance based on earnings before interest, taxes,
depreciation, amortization and reorganization related expenses
(EBITDA), which is measured quarterly starting in the fourth
quarter of 2006 through the fourth quarter of 2007.

If the Debtors' performance in each quarter exceeds by 110% the
projected EBITDA set forth in the revised 2006 budget forecast or the 2007
budget to be delivered to the DIP Lenders in the near term, each Executive
is eligible to earn up to 20% of his
applicable annual base salary per quarter -- his target bonus.

To the extent the Debtors' performance is between 100% and 110%
of the applicable budget, each Executive would receive 90% of the Target
Bonus.  And if the Debtors' performance is equal to or greater than 80% but
less than 100% of the applicable budget,
each Executive would receive 70% of the Target Bonus.

To protect the Debtors from competition from the Executives and
to avoid litigation regarding the enforceability of prepetition
employment agreements, within 30 days of the Court's approval of
the EIP, each Executive identified by the CEO as either Level A
or Level B employee has the option to execute a non-compete
agreement.

The Executive may execute a Non-Compete Agreement for a term of
12 months from the earlier of (i) confirmation of the Debtors'
Chapter 11 Plan, (ii) Court approval of the sale of the Debtors'
assets, and (iii) and termination of the Executive's employment.

In consideration of the Executive's execution of the Non-Compete
Agreement, which the Debtors could assign to a buyer, the
Executive is entitled to a lump sum payment payable upon the
earlier of the date the Court (a) confirms the Debtors' Plan that addresses
substantially all of the Debtors' assets, and (b)
approves a sale of all of the Debtors' assets.

Level A Employees will have a Non-Compete Payment of US$150,000,
while Level B Employees will have a Non-Compete Payment of
US$100,000.  If the Debtors do not emerge from bankruptcy by June 30, 2007,
the applicable Non-Compete Payments of the Executives will be decreased by
50%.

Fifty percent of the actual Bonus earned by an Executive in a
given quarter will be paid 45 days after the end of the quarter
or as soon as reasonably practicable.  The 50% portion of each
Bonus earned but not paid will be payable upon the earlier of
March 31, 2008, or the termination without cause of the
Executive.

Mr. Brady notes that the lenders under the first lien credit
agreement dated June 11, 2003, and the second lien credit
agreement dated May 10, 2005, have agreed to "carve out" of their collateral
and superiority claims the amount of any Incentive Payment or Non-Complete
Payment earned but not yet paid with respect to the Executives.  He says
that the amounts will not reduce any "carve outs" provided for in the
Debtors' Chapter 11 cases.

The Debtors anticipate that there will be seven participants in
the EIP.  Mr. Brady says that under the EIP, an Executive can
earn an equivalent of his annual base salary in Incentive
Payments.  And assuming that the Debtors achieve 100% of each
target and that each Level A and Level B Employee elects to enter into a
Non-Compete Agreement, the EIP will have a total cost of about US$2,632,000.

According to Mr. Brady, the cost of the EIP is not only
reasonable and in the best interest of the estates, it is
reasonably modest when compared to the degradation in enterprise
value that is likely to occur if the Debtors cannot properly
incentivize the Executives.

The Debtors believe that the EIP is the most effective and cost-
efficient means of retaining and motivating the Executives while
achieving the best possible outcome for their stakeholders.

Based in Greenville, Pennsylvania, Werner Holding Co. (DE) Inc. aka Werner
Ladder Co. -- http://www.wernerladder.com/-- manufactures and distributes
ladders, climbing equipment and ladder accessories.  The company and three
of its affiliates filed for chapter 11 protection on June 12, 2006 (Bankr.
D. Del. Case No. 06-10578).  The Debtors are represented by the firm of
Willkie Farr & Gallagher LLP as lead counsel and the firm of Young, Conaway,
Stargatt & Taylor LLP as co-counsel.  Rothschild Inc. is the Debtors'
financial advisor.  The Official Committee of Unsecured Creditors is
represented by the firm of Winston & Strawn LLP as lead counsel and the firm
of Greenberg Traurig LLP as co-counsel.  Jefferies & Company serves as the
Creditor Committee's financial advisor.  At March 31, 2006, the Debtors
reported total assets of US$201,042,000 and total debts of US$473,447,000.
The Debtors's exclusive period to file a plan expires on Jan. 15, 2007.
(Werner Ladder Bankruptcy News, Issue No. 16; Bankruptcy Creditors' Service
Inc. http://bankrupt.com/newsstand/or 215/945-7000)


* MEXICO: Announces Modified Dutch Auction for Old Bonds
--------------------------------------------------------
The United Mexican States disclosed the Reopened Notes Issue Spread and the
Minimum Clearing Spread Differentials in connection with its invitation to
owners of Old Bonds to submit, in a modified Dutch auction for each series
of Old Bonds, offers to exchange Old Bonds for 6.75% Global Notes due 2034
and a U.S. dollar amount of cash, and offers to sell Old Bonds for a U.S.
dollar amount of cash.  Capitalized terms used but not defined herein shall
have the meanings set forth in the invitation supplement dated Jan. 8, 2007,
the prospectus supplement dated April 10, 2006 and the prospectus dated
April 10, 2006.

The Reopened Notes Issue Spread has been set at 141 basis points.

The Minimum Clearing Spread Differential for each series of Old Bonds is set
in the table below.  The Minimum Clearing Spread Differentials are unchanged
from the Indicative Minimum Clearing Spreads originally set in the
invitation supplement.

    Series of Bonds: 8.125% Global Bonds Due 2019
    Outstanding Principal Amount: US$2,025,434,000
    ISIN: US593048BN00
    Maturity Date: 12/30/2019
    Cash Payment on Exchange: US$0.00
    Minimum Clearing Spread Differential (basis points): 47

    Series of Bonds: 8.00% Global Bonds Due 2022
    Outstanding Principal Amount: US$1,049,193,000
    ISIN: US91086QAJ76
    Maturity Date: 9/24/2022
    Cash Payment on Exchange: US$0.00
    Minimum Clearing Spread Differential (basis points): 33

    Series of Bonds: 11.50% Global Bonds Due 2026
    Outstanding Principal Amount: US$533,664,000
    ISIN: US593048AX90
    Maturity Date: 5/15/2026
    Cash Payment on Exchange: US$0.00
    Minimum Clearing Spread Differential (basis points): 9

    Series of Bonds: 8.30%Global Bonds Due 2031
    Outstanding Principal Amount: US$2,691,426,000
    ISIN: US91086QAG38
    Maturity Date: 8/15/2031
    Cash Payment on Exchange: US$240.00
    Minimum Clearing Spread Differential (basis points): 7

    Series of Bonds: 7.500% Global Bonds Due 2033
    Outstanding Principal Amount: US$2,485,878,000
    ISIN: US91086QAN88
    Maturity Date: 4/8/2033
    Cash Payment on Exchange: US$370.00
    Minimum Clearing Spread Differential (basis points): 6

Further information is provided in the Invitation, which may be downloaded
from the Invitation Website at http://www.bondcom.com/ums,or obtained from
the information agent at:

         Bondholder Communications Group
         Attn: Monique Santos
         New York, 30 Broad Street
         46th floor, New York, NY 10004
         Tel: +1 212 809 2663
         E-mail: msantos@bondcom.com

                 -- or --

        Bondholder Communications Group
        London, 28 Throgmorton Street
        London EC2N 2AN
        Tel: +44 20 7382 4580

                 -- or --

        Barclays Capital Inc.
        Attn: Liability Management Group
        200 Park Avenue
        New York, New York 10166
        Tel: (866) 307 8991 (US toll-free)
             +1 212 412 4072 (outside US, collect)
             +44 20 7773 5484 (London)

        Morgan Stanley & Co. Incorporated
        Attn: Liability Management Group
        1585 Broadway
        New York, New York 10036
        Tel: (800) 624 1808 (US toll-free)
             +1 212 761 1864 (outside US, collect)

The invitation supplement, the prospectus supplement and the prospectus
comprising the Invitation is available from the SEC's website at
http://www.sec.gov/Archives/edgar/data/101368/000095012307000158/y28731e424
b5. htm.

                        *    *    *

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
=================


SPECTRUM BRANDS: To Enhance Operating Efficiency & Reduce Costs
---------------------------------------------------------------
Spectrum Brands, Inc., plans to realign the company's four operating
segments into three vertically integrated, product-focused operating units:

   -- Global Batteries & Personal Care,
   -- Home & Garden and
   -- Global Pet Supplies.

"The actions we announced will make Spectrum Brands a stronger, more
efficient and competitive company," said Dave Jones, Chairman and Chief
Executive Officer of Spectrum Brands.  "By streamlining the business into
three product-oriented operating units, we will significantly enhance our
competitive focus and improve our cost structure.  These changes will allow
us to go to market faster with new, innovative products, as well as improve
our ability to efficiently allocate resources on a worldwide basis.  This
business unit realignment will also facilitate the orderly execution of the
asset sale process we announced in July."

The consolidation of the company's four geography-based segments (North
America, Latin America, Europe/ROW, and Global Pet) into three operating
segments (Global Batteries & Personal Care, Home & Garden and Global Pet
Supplies) will begin immediately.  The company's Global Operations
organization will be consolidated within the three business segments.
Commencing in the second quarter of fiscal 2007, Spectrum's financial
reporting will reflect segment results for the three global business units
under the new operational structure.

David Lumley, formerly President, North America for Spectrum Brands, has
been named President, Global Batteries & Personal Care and Home & Garden,
and Co-Chief Operating Officer of Spectrum Brands.  Remy Burel, President,
Europe/ROW, and Hartmut Junghahn, Executive Vice President, Latin America,
will continue to oversee their respective regions for the Global Batteries &
Personal Care division, reporting to Mr. Lumley.

John Heil will continue in his role as President, Global Pet Supplies, and
has been named Co-Chief Operating Officer of Spectrum Brands.

Kent Hussey, formerly the company's President and Chief Operating Officer,
has been appointed Vice Chairman of Spectrum Brands, responsible for
spearheading the strategic direction of the company and for corporate
business development.

Randall Steward, Executive Vice President and Chief Financial Officer, will
report directly to Mr. Jones, Chairman and Chief Executive Officer.  Ken
Biller, President, Global Operations, will oversee consolidation of the
Global Operations organization into the three new business units and will
report directly to Mr. Jones.

In conjunction with these changes, Spectrum Brands will undertake a number
of cost reduction actions at the corporate and operating levels, including a
reduction in headcount of approximately 100 employees.  "Our new structure
will enable Spectrum to operate more efficiently and profitably by
eliminating duplicative staff functions and overhead in each of our business
units, and downsizing our corporate infrastructure," said Mr. Jones.  "At
the same time, the changes will reinvigorate our competitive focus, allowing
us to move quickly to capture new growth opportunities."

Spectrum Brands, Inc. -- http://www.spectrumbrands.com/-- is a
global consumer products company with a diverse portfolio of
world-class brands, including Rayovac, Varta and Remington.  The
Company manufactures and sells batteries, lawn and garden care
products, specialty pet supplies, shaving and grooming products,
household insecticides, personal care products and portable
lighting.  The Company's manufacturing and product development
facilities are located in the United States, Europe, China and
Latin America.  The company operates in 13 Latin American
nations including El Salvador, Guatemala, Costa Rica, Colombia
and Nicaragua.

                        *    *    *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the consumer products sector, the rating agency
confirmed its B3 Corporate Family Rating for Spectrum Brands.

Moody's also revised its probability-of-default ratings and
assigned loss-given-default ratings on these loans facilities:


                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$300 million
   Revolving Credit       B2       B1     LGD2        27%

   US$1,143 million
   Term Loan              B2       B1     LGD2        27%

   US$700 million
   Sr. Sub. Notes        Caa2     Caa2    LGD5        82%

   US$350 million
   Sr. Sub. Notes        Caa2     Caa2    LGD5        82%




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


GOODYEAR TIRE: Workers' Strike Could Result in US$350-Mil. Loss
---------------------------------------------------------------
The Goodyear Tire & Rubber Co. disclosed that a recent strike at 12 of its
U.S. tire factories would result in a loss of at least
US$350 million, BBC News reports.

About 15,000 workers refused to work for two months, protesting threats to
jobs and health benefits.  The dispute, which may have cost the company up
to US$35 million a week in lost production and sales, was settled in early
January, BBC states.

However, Goodyear's shares rose by 1% after the company revealed that it
expects to save US$610 million in the wake of new worker contracts, BBC
relates.

"We recognize that there were short-term negatives from the strike,"
Goodyear CEO Robert Keegan said.  "However, on balance, the improvements in
our system far outweigh those negatives."

According to the report, the company will set up a fund to pay for
healthcare for retired staff under the deal agreed by unions earlier this
month, but will probably close a plant in Texas by 2008.

Goodyear warned that the full financial brunt of the strike will be
reflected in its fourth quarter results due to be published in February.
Experts predict a substantial loss for the three-month period, BBC reports.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest tire
company.  The company manufactures tires, engineered rubber products and
chemicals in more than 90 facilities in 28 countries.  Goodyear Tire has
marketing operations in almost every country around the world including
Chile, Colombia, Guatemala and Peru in Latin America.  Goodyear employs more
than 80,000 people worldwide.

                        *    *    *

As reported in the Troubled Company Reporter on Jan. 9, Fitch Ratings
affirmed its ratings on Goodyear Tire & Rubber Co. and removed them from
Rating Watch Negative where they were placed on Oct. 18, 2006, when the
company announced a US$975 million drawdown of its bank revolver.  Fitch
affirmed Goodyear's Issuer Default Rating at B.  Fitch said the Rating
Outlook is Negative.




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


HORNBECK OFFSHORE: Lowers Expected Results for 4th Quarter 2006
---------------------------------------------------------------
Hornbeck Offshore Services, Inc., disclosed that after an initial review of
operating results, it has revised its EBITDA and diluted earnings per share
guidance for the fourth quarter of 2006 and calendar 2006.

The company now expects EBITDA for the fourth quarter of 2006 to range
between US$33.0 million and US$34.0 million, down from US$39.0 million to
US$41.0 million.  The company now expects EPS for the fourth quarter of 2006
to range between US$0.61 and US$0.63, down from US$0.72 to US$0.77. Included
in fourth quarter 2006 results will be a US$1.5 million (US$1.0 million
after-tax, or US$0.04 per diluted share) gain on the sale of the ocean-going
tug, Ponce Service.  In recognition of its actual results for the first nine
months of 2006 and its revised fourth quarter 2006 guidance above, the
company now expects EBITDA for the full calendar year 2006 to range between
US$151.3 million and US$152.3 million and EPS to range between US$2.74 and
US$2.77.

Todd Hornbeck, Chairman, President and CEO, stated, "On our last earnings
call, we reported that market conditions for offshore supply vessels
operating in the U.S. Gulf of Mexico were getting choppy.  However, during
the latter half of the fourth quarter we experienced even more volatility
than we expected.  While our average OSV dayrates for the fourth quarter of
2006 were near the mid-point of our guidance range of US$19,000 to
US$20,000, utilization for the quarter averaged in the mid-80s, resulting in
utilization-adjusted, or effective, dayrates that were roughly US$2,000 less
than comparable third quarter 2006 dayrates for this segment.  This
unexpected dip in utilization was partially due to softer market demand and
partially attributable to shipyard delays for regulatory drydockings and
unscheduled repairs, as well as downtime related to the positioning and
outfitting of one of our offshore supply vessels for specialty service.  In
addition, our operating results for the fourth quarter of 2006 were
adversely impacted by an unexpected supplemental insurance premium in late
November and costs related to a series of vessel incidents and related
repairs that occurred during late November and December."

Mr. Hornbeck continued, "Over the last couple of months, we have observed
several factors that have impacted our operating environment. OSV dayrate
volatility has increased, shipyard delivery schedules for newbuilds and
turnaround time for regulatory drydockings, repairs and maintenance remain
uncertain and personnel and insurance costs continue to rise.  From mid-
November to mid-January, our utilization-adjusted, or effective, fleetwide
OSV dayrates have fluctuated by as much as US$3,000.  Continued labor and
material shortages in the shipyard community have contributed to chronic
delays in shipyard activity, which has adversely affected our utilization
and increased our recertification, repair and maintenance costs.  In
contemplation of the delivery of over 20 new vessels over the next several
years, we continue to train additional mariners to ensure a qualified
workforce to operate our rapidly growing fleet.  While we still have much
more data to analyze, we anticipate lowering our most recently reported
calendar 2007 guidance on our fourth quarter 2006 earnings call in
mid-February, possibly by as much as 15% to 20%.

"Notwithstanding these factors, we are confident that the fundamental
drivers of our business model remain solid. We look forward to the
incremental new OSV demand drivers that are expected to come on-line in the
GoM throughout 2008 and beyond, concurrent with the planned deliveries of
two MPSVs and thirteen 240 class new generation OSVs under our active
newbuild and conversion programs that will more than double the deadweight
capacity of our upstream fleet.  In addition, we expect to deliver three
60,000-barrel double- hulled tank barges and four ocean-going tugs during
2007 that will increase the barrel-carrying capacity of our downstream fleet
by about 30%," Mr. Hornbeck concluded.

Hornbeck Offshore Services, Inc., a diversified marine service company
headquartered in Covington, Louisiana, is a leading provider of
technologically advanced, new generation OSVs primarily in the GoM and
select international markets, and is a leading transporter of petroleum
products through its fleet of ocean-going tugs and tank barges primarily in
the northeastern U.S., the GoM and in Puerto Rico.  Hornbeck currently owns
a fleet of over 60 vessels primarily serving the energy industry.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 17, 2006, Moody's
Investors Service affirmed Hornbeck Offshore Services Inc.'s Ba3 corporate
family rating, Ba3 Probability of Default Rating, Ba3 and LGD4, 55% senior
unsecured note ratings, and changed the outlook from stable to negative.


PILGRIM'S PRIDE: Completes Acquisition of Gold Kist
---------------------------------------------------
Pilgrim's Pride Corp. completed its acquisition of Gold Kist Inc. following
its recently completed successful tender offer.

"We are extremely pleased that the final step in our successful acquisition
of Gold Kist has now been completed," said Lonnie "Bo" Pilgrim, chairman of
Pilgrim's Pride.  "We begin 2007 as the preeminent player in the chicken
industry, positioned for long-term growth, leadership and value creation for
our customers and stockholders."

O.B. Goolsby, Jr., Pilgrim's Pride president and chief executive officer,
added, "We believe the acquisition of Gold Kist will be a transforming event
for Pilgrim's Pride, not only by creating the industry leader but by making
us a stronger and even more efficient company. This acquisition will further
enhance our long-standing reputation for providing outstanding customer
service and product innovation, delivering greater value to our
stockholders, employees and other constituencies.  The integration process
is already well under way and we are committed to ensuring a smooth
transition of ownership and integration for our customers."

As a result of the transaction, Gold Kist is now a wholly owned subsidiary
of Pilgrim's Pride.  All remaining outstanding shares of Gold Kist have been
converted into the right to receive US$21.00 per share in cash.

                       About Gold Kist

Based in Atlanta, Georgia, Gold Kist Incorporated (NASDAQ: GKIS)
-- http://www.goldkist.com/-- operates a fully integrated
chicken production, processing and marketing business.  Gold
Kist's production operations include nine divisions located in
Alabama, Florida, Georgia, North Carolina and South Carolina.

                    About Pilgrim's Pride

Headquartered in Pittsburgh, Texas, Pilgrim's Pride Corp.
(NYSE: PPC) -- http://www.pilgrimspride.com/-- produces,
distributes and markets poultry processed products through
retailers, foodservice distributors and restaurants in the
United States, Mexico and in Puerto Rico.  Pilgrim's Pride
employs approximately 40,000 people and has major operations in
Texas, Alabama, Arkansas, Georgia, Kentucky, Louisiana, North
Carolina, Pennsylvania, Tennessee, Virginia, West Virginia,
Mexico and Puerto Rico, with other facilities in Arizona,
Florida, Iowa, Mississippi and Utah.

                        *    *    *

Moody's Investors Service's held its Ba2 Corporate Family Rating
for Pilgrim's Pride Corp.  In addition, Moody's revised or held
its probability-of-default ratings and assigned loss-given-
default ratings on the company's note issues, including an LGD6
rating on its US$100 million 9.25% Sr. Sub. Global Notes Due
Nov. 15, 2013, suggesting noteholders will experience a 95% loss
in the event of a default.

As reported in the Troubled Company Reporter on Dec. 6, 2006,
Standard & Poor's Ratings Services reported that its 'BB'
corporate credit rating and other ratings on the second-largest
U.S. poultry processor, Pilgrim's Pride Corp., remain on
CreditWatch with negative implications, where they were
originally placed Aug. 21, 2006.


PILGRIM'S PRIDE: Offering US$450 Million of Debt Securities
-----------------------------------------------------------
Pilgrim's Pride Corp. intends to offer, subject to market and other
conditions, an aggregate of approximately US$450 million of its unsecured
notes.  Pilgrim's Pride will use the net proceeds of the offering to
refinance indebtedness incurred in connection with the acquisition of Gold
Kist Inc.  A definitive agreement relating to the proposed offering of the
notes has not been entered into by Pilgrim's Pride and there can be no
assurances that the notes offering will be consummated.

If and when issued, the notes will be issued under a shelf registration
statement which has been filed with, and declared effective by, the
Securities and Exchange Commission.

                       About Gold Kist

Based in Atlanta, Georgia, Gold Kist Incorporated (NASDAQ: GKIS)
-- http://www.goldkist.com/-- operates a fully integrated
chicken production, processing and marketing business.  Gold
Kist's production operations include nine divisions located in
Alabama, Florida, Georgia, North Carolina and South Carolina.

                    About Pilgrim's Pride

Headquartered in Pittsburgh, Texas, Pilgrim's Pride Corp.
(NYSE: PPC) -- http://www.pilgrimspride.com/-- produces,
distributes and markets poultry processed products through
retailers, foodservice distributors and restaurants in the
United States, Mexico and in Puerto Rico.  Pilgrim's Pride
employs approximately 40,000 people and has major operations in
Texas, Alabama, Arkansas, Georgia, Kentucky, Louisiana, North
Carolina, Pennsylvania, Tennessee, Virginia, West Virginia,
Mexico and Puerto Rico, with other facilities in Arizona,
Florida, Iowa, Mississippi and Utah.

                        *    *    *

Moody's Investors Service's held its Ba2 Corporate Family Rating
for Pilgrim's Pride Corp.  In addition, Moody's revised or held
its probability-of-default ratings and assigned loss-given-
default ratings on the company's note issues, including an LGD6
rating on its US$100 million 9.25% Sr. Sub. Global Notes Due
Nov. 15, 2013, suggesting noteholders will experience a 95% loss
in the event of a default.

As reported in the Troubled Company Reporter on Dec. 6, 2006,
Standard & Poor's Ratings Services reported that its 'BB'
corporate credit rating and other ratings on the second-largest
U.S. poultry processor, Pilgrim's Pride Corp., remain on
CreditWatch with negative implications, where they were
originally placed Aug. 21, 2006.


PROGRESSIVE GAMING: Puerto Rico Airport Casino Opens CasinoLink
---------------------------------------------------------------
Progressive Gaming International Corporation is proud of Airport Casino in
the San Juan-Luis Munoz Marin International Airport on their recent opening.
The casino opened using Progressive Gaming's Casinolink Enterprise system
for slot, progressive, cage and table management.

Mr. Carlos George, Casino Consultant for the Airport Casino, stated, "We
selected Casinolink due to its versatility and ability to grow with our
needs.  We are convinced that Casinolink will exceed our expectations as
well as provide some key tools for competing in the Puerto Rico market."

Mr. Bob Parente, Executive Vice-President of Sales and Marketing for
Progressive Gaming commented, "We are proud to work with the Airport Casino
and wish them the best in their opening.  We look forward to expanding our
presence in the Caribbean and Latin American markets.  The opportunities are
tremendous and we feel our versatile system products will serve the markets
well."

                About Progressive Gaming

Progressive Gaming is a supplier of integrated casino and jackpot management
system solutions for the gaming industry worldwide.  This technology is
widely used to enhance casino operations and drive greater revenues for
existing product as well as our own proprietary table games.

Progressive Gaming offers casino management and progressive systems in a
modular yet integrated solution.  Products include multiple forms of
regulated wagering solutions in wired, wireless and mobile formats.  There
are Progressive Gaming products in over 1,000 casinos throughout the world.

                        *    *    *

As reported in the Troubled Company Reporter on Aug. 30, 2006, Standard &
Poor's Ratings Services lowered its ratings on Las Vegas-based
gaming-related products developer Progressive Gaming International Corp.,
including its corporate credit rating to 'CCC' from 'CCC+'.  S&P said the
outlook is negative.


SEARS HOLDINGS: Reports November & December Store Sales
-------------------------------------------------------
Sears Holdings Corp. disclosed domestic comparable store sales for the
nine-week period ended Dec. 30, 2006, for its Kmart and Sears stores. Kmart
comparable store sales decreased by 1.2% due to lower transaction volumes.
Apparel sales at Kmart, while negatively impacted by unseasonably warm
weather, increased over the prior year.  Sears domestic comparable store
sales declined by 5.6% reflecting lower lawn and garden and appliance sales
partially offset by an mprovement in Sears women's apparel.

The company currently expects that net income for its fourth quarter ending
Feb. 3, 2007, will be between US$750 million and US$830 million, or between
US$4.87 and US$5.39 per fully diluted share. In the fourth quarter of the
prior year, the company reported net income of US$648 million, or US$4.03
per fully diluted share.  The current year fourth quarter estimate includes
a combined gain of approximately US$20 million pretax (US$12 million
after-tax) resulting from gains from property sales and losses related to
total return swap investing activities (reflecting actual results only
through Dec. 30, 2006, and no estimate for January activity.)  The 2006
fiscal year ending Feb. 3, 2007, is a 53-week year for the company.  As
such, the current year fourth quarter is 14 weeks versus 13 weeks last year.

For the full year ending Feb. 3, 2007, the company expects net income to be
between US$1.42 billion and US$1.50 billion, or between US$9.12 and US$9.63
per fully diluted share.

During the nine weeks ended December 30, 2006, Sears Holdings did not
repurchase any shares of its common stock through its share repurchase
program.  The remaining authority under Sears Holdings' existing repurchase
program is US$618 million.

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-'.


SUNCOM WIRELESS: Board Okays Termination of Compensation Plan
-------------------------------------------------------------
SunCom Wireless Holdings Inc.'s board of directors, pursuant to a unanimous
written consent dated as of Dec. 29, 2006, approved the termination of its
nonqualified deferred compensation plan effective as of Dec. 31, 2006.

The board also directed the company's management to amend the Plan to
distribute all accumulated benefits under the Plan in 2007 in accordance
with transition guidance under Section 409A of the Internal Revenue Code.

The termination was recommended by the company's management because of the
limited participation in the Plan.

The company disclosed that the unfunded aggregate accumulated deferrals
accrued at Nov. 30, 2006 were approximately US$300,000, a portion of which
represent stock compensation that it expects will be paid-out in the form of
shares of the company's Class A common stock.

The Plan was implemented in June 2004 for the benefit of certain management
employees and members of the company's Board of Directors.

Based in Berwyn, Pennsylvania, SunCom Wireless Holdings Inc.
(NYSE: TPC) -- http://www.suncom.com/-- offers digital wireless
communications services to more than one million subscribers in the
southeastern United States, Puerto Rico and the U.S. Virgin Islands.  SunCom
is committed to delivering Truth in Wireless by treating customers with
respect, offering simple, straightforward plans and by providing access to
the largest GSM network and the latest technology choices.

SunCom Wireless' balance sheet showed a stockholders' deficit of
US$378,099,000 at Sept. 30, 2006, compared with a deficit of US$338,223,000
at June 30, 2006.




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


HILTON HOTELS: Discloses Conversion Period for 3.375% Notes
-----------------------------------------------------------
Hilton Hotels Corp. disclosed that its 3.375% Convertible Senior Notes due
2023 have become convertible into Hilton common stock at the option of the
holders and will remain convertible during the fiscal quarter ending March
31, 2007.  Any determination regarding the convertibility of the 3.375%
Notes during future periods will be made in accordance with the terms of the
Indenture governing the 3.375% Notes.

The 3.375% Notes became convertible because the closing sale price of
Hilton's common stock for at least 20 consecutive trading days during the 30
consecutive trading day period ending on the last trading day of the
calendar quarter ended
Dec. 31, 2006, was greater than 120% of the conversion price in effect on
such last trading day.

The 3.375% Notes are currently convertible at a conversion price of US$22.50
per share, which represents a conversion rate of approximately 44.4444
shares of Hilton's common stock per US$1,000 principal amount of Notes.  The
3.375% Notes are convertible into Hilton common stock in accordance with the
terms and subject to the conditions of the Notes and the Indenture under
which the Notes were issued.

Headquartered in Beverly Hills, California, Hilton Hotels Corp.
-- http://www.hilton.com/-- together with its subsidiaries,
engages in the ownership, management, and development of hotels,
resorts, and timeshare properties, as well as in the franchising
of lodging properties in the United States and internationally,
including Australia, Austria, Barbados, India, Indonesia,
Trinidad and Tobago, Philippines and Vietnam.

                        *    *    *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the gaming, lodging and leisure sectors, the
rating agency confirmed its Ba2 Corporate Family Rating for
Hilton Hotels Corp.

Additionally, Moody's revised and held its probability-of-
default ratings and assigned loss-given-default ratings on these
loans and bond debt obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   Senior Notes
   with an average
   rate of 8.1%
   due 2007 - 2031       Ba2      Ba2      LGD4       53%

   Chilean inflation
   indexed note
   effective rate
   7.65% due 2009        Ba2      Ba2      LGD4       53%

   3.375%
   Contingently
   convertible
   senior notes
   due 2023              Ba2      Ba2      LGD4       53%

   Minimum Leases
   Commitments           Ba2      Ba2      LGD4       53%

   Term Loan A
   at adjustable
   rates due 2011        Ba2      Ba2      LGD4       53%

   Term Loan B
   at adjustable
   rates due 2013        Ba2      Ba2      LGD4       53%

   Revolving loans
   at adjustable
   rates, due 2011       Ba2      Ba2      LGD4       53%

   Senior unsecured
   debt shelf            Ba2      Ba2      LGD4       53%

   Subordinate debt
   Shelf                 Ba3      B1       LGD6       97%

   Preferred             B1       B1       LGD6       97%


SUPERIOR ENERGY: Board OKs US$362MM Capital Expenditure Budget
--------------------------------------------------------------
Superior Energy Services, Inc.'s board of directors has approved a
record-high capital expenditures budget of approximately US$362 million for
2007.  The capital expenditures budget is expected to be funded entirely by
internally generated cash flows. Some of the significant capital
expenditures are as:

   * The rental tools segment has a capital expenditures budget
     of approximately US$135 million with the emphasis being on
     continuing the company's international growth.  The plan
     includes:

     -- US$67 million for drill pipe and specialty tubulars,
        primarily in international markets;

     -- US$38 million for accommodations and ancillary
        equipment, primarily in the Rocky Mountains market area;
        and

     -- US$24 million for continued growth in the stabilization
        and drill collars markets.

   * The well intervention segment has a capital expenditures
     budget of approximately US$123 million.  Some of the larger
     capital expenditure items include:

     -- US$53 million allocated to the recently acquired Warrior
        Energy Services for, among other things, 14 coiled
        tubing spreads and 10 electric line units for the
        domestic land markets;

     -- US$26 million in connection with the construction of the
        880-ton derrick barges;

     -- US$14 million for offshore production-related equipment;
        and

     -- US$10 million for well control assets.

   * The company's oil and gas subsidiary SPN Resources has a
     capital expenditures budget of approximately US$90
     million, primarily for re-completions and workovers.

   * Of the remaining US$14 million of capital expenditures,
     about US$3 million will be spent by the marine segment and
     the remainder is allocated for facilities and other
     miscellaneous projects.

Chairman and CEO Terry Hall comments, "We believe our capital expenditures
program will help us fulfill our geographic diversification strategy in a
manner that creates value long-term.  Our capital expenditure plan, which is
primarily for expansionary purposes, also reflects our belief that the
Warrior acquisition provides us a platform to deploy capital and a footprint
to grow our premium well intervention service offerings."

Superior Energy Services Inc. -- http://www.superiorenergy.com/
-- provides specialized oilfield services and equipment focused
on serving the production-related needs of oil and gas companies
primarily in the Gulf of Mexico and the drilling-related needs
of oil and gas companies in the Gulf of Mexico and select
international market areas.  The Company uses its production
related assets to enhance, maintain and extend production and,
at the end of an offshore property's economic life, plug and
decommission wells.  Superior also owns and operates mature oil
and gas properties in the Gulf of Mexico.

The company has operations in the United States, Trinidad and Tobago,
Australia, the United Kingdom, and Venezuela, among others.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 11, 2006, Standard &
Poor's Ratings Services assigned its 'BB-' senior unsecured rating to
oilfield services firm SESI LLC's proposed US$400 million exchangeable notes
due 2026.  At the same time, Standard & Poor's affirmed SESI's and parent
Superior Energy Services Inc.'s 'BB' corporate credit rating and 'BB-'
rating on the US$300 million senior unsecured notes.  S&P said the outlook
is stable.




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


AES CORP: Analyst Maintains Buy Rating on Firm
----------------------------------------------
Shelby G. Tucker, an analyst with Banc of America Securities, has maintained
his "Buy" rating on AES Corp., the Associated Press reports.

Mr. Tucker told AP that Venezuelan President Hugo Chavez's nationalization
announcement was surprising.  He explained, "As we were under the impression
that President Chavez supported direct foreign investments.  The decision to
nationalize clearly contradicts that support."

As reported in the Troubled Company Reporter-Latin America on Jan. 10, 2007,
President Hugo Chavez disclosed plans to nationalize the electricity sector.
President Chavez said in his televised speech, "All those strategic sectors
like electricity -- all those things that were privatized, nationalize
them."  President Chavez didn't specify whether he meant complete
nationalization, but said any vestiges of private control over the energy
sector should be undone.  The nationalization appeared likely to affect
Electricidad de Caracas -- owned by AES Corp. -- and CA Nacional Telefonos
de Venezuela, aka CANTV, AP notes.

AES Corp. owns 86% of Electricidad de Caracas.

Dow Jones Newswires emphasizes that if Venezuela confiscates Electricidad de
Caracas, taking in the utility's US$400 million in debt, Mr. Tucker
predicted the AES Corp.'s equity value would be reduced by about US$1.5
billion, or US$2.25 a share.

Brian Chin, Citigroup energy analyst, told Dow Jones that Electricidad de
Caracas accounts for up to 10% of AES Corp.'s earnings.

According to Dow Jones, AES Corp.'s global operations depend heavily on its
regulated utilities, which increased revenue in the third quarter of 2006 by
13% to US$1.57 billion and raised gross margins 29% from a year earlier.
AES Corp. said that the boost was mainly due to higher prices and growing
demand for electricity at its Latin Americas units.  Overall, Latin America
represented 58% of AES Corp.'s revenue in 2005.

Mr. Tucker told Dow Jones, "The key question is whether AES gets
compensation for the nationalization of EDC (Electricidad de Caracas).
Given that EDC is also traded on the Venezuela exchange -- hence owned by
individual investors in Venezuela -- one would assume that these investors
would be compensated by the government.  As such, in theory, AES should be
equally compensated.  However, we do not know at this time how President
Chavez plans to proceed with his nationalization plan."

"We're not lowering estimates or our US$23 target price at this time as
President Chavez has a history of making exaggerated populist claims.  But
Chavez' actions over C.A. Nacional Telefonos de Venezuela (a telecom company
he explicitly threatened to nationalize) in the next 6-12 months may portend
his eventual direction with EDC," Dow Jones notes, citing Mr. Chin.

An initial research of Lasan Johong, an analyst with RBC Capital Markets,
revealed that the Venezuelan state never owned Electricidad de Carcas, AP
relates.  President Chavez called for the re-nationalization of utilities
privatized before 1999.

"Therefore, based on the content of the speech, the re-nationalization
program should not apply to EDC," Mr. Johong told AP.

The Supreme Court of Venezuela had agreed in November 2006 to hear a case
against AES Corp. six years ago challenging the legality of a foreign firm
gaining ownership of Electricidad de Caracas, Dow Jones says, citing Patrick
Esterueles, Eurasia Group's Latin America analyst.

Mr. Esterueles told Dow Jones, "The plaintiffs, two Venezuelan lawyers, have
questioned the legality of a foreign firm controlling a public utility
without prior authorization from the National Assembly.  Should Venezuela's
heavily politicized Supreme Court rule in favor of the plaintiffs, other
public utility sales to foreign companies could also come into question."

Meanwhile, AES Corp.'s shares fell after the nationalization announcement.
The shares dropped 91 cents, or 4.3%, to US$20.11 on the New York Stock
Exchange.  The stock has traded in a 52-week range of US$16.10 to US$23.85,
AP states.

AES Corp. -- http://www.aes.com/-- is a global power company.
The company operates in South America, Europe, Africa, Asia and
the Caribbean countries.  Generating 44,000 megawatts of
electricity through 124 power facilities, the company delivers
electricity through 15 distribution companies.

AES Corp.'s Latin America business group is comprised of
generation plants and electric utilities in Argentina, Brazil,
Chile, Colombia, Dominican Republic, El Salvador, Panama and
Venezuela.  Fuels include biomass, diesel, coal, gas and hydro.
The group also pursues business development activities in the
region.  AES has been in the region since May 1993, when it
acquired the CTSN power plant in Argentina.

                        *    *    *

As reported in the Troubled Company Reporter - Asia Pacific on
Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
Given-Default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.


AES CORP: S&P Says Nationalization Harms Credit Quality
-------------------------------------------------------
Standard & Poor's Ratings Services said that Venezuelan President Hugo
Chavez announced plans to nationalize Venezuela's electricity sector is
negative for AES Corp.'s (BB-/Stable/--) credit quality but does not affect
its ratings or outlook at this time.  AES is the parent of Electricidad de
Caracas (; B/Watch Neg/--), a regulated electricity business in Venezuela.

The details of Mr. Chavez's plans are not clear at this time, but, in the
extreme event that EDC is expropriated without compensation, Standard &
Poor's estimates that AES would lose an asset that has recently provided
about US$80 million to US$100 million of annual distributions, or a
significant 7%-9% of expected parent operating cash flow.

The rating agency's assessment of AES incorporates the high-risk nature of
Electricidad de Caracas' distributions.  As a result, while eliminating
distributions of this magnitude would have resulted in parent-level cash
flow interest coverage of about 1.75x versus actual of 2.0x and parent-level
cash flow to debt of 15.5% versus 17.5% for the 12 months ended September
2006, at this time we expect the ratings would still be sustained at current
levels.  The cash flow loss would stem some of the positive credit momentum
that AES has built in recent years.  Moreover, the loss would represent a
significant portion of parent-level free operating cash flow of about US$370
million for the twelve months ended September 2006, which is an important
source of funding for AES' large capital spending plans.


ELECTRICIDAD DE CARACAS: Shares Suspended on Stock Exchange
-----------------------------------------------------------
Latibex -- the international Latina American securities market
-- and Bolsa de Valores de Caracas, the Venezuelan stock exchange, have
suspended trading of Electricidad de Caracas' shares, Business News Americas
reports.

According to BNamericas, Electricidad de Caracas is the only Venezuelan
power company traded on the Caracas and Latibex exchanges.

BNamericas relates that Electricidad de Caracas sent a letter to securities
commission Comision Nacional de Valores and the Bolsa de Valores, saying
that moves to suspend its shares reflected its concerns.

As reported in the Troubled Company Reporter-Latin America on Jan. 10, 2007,
Venezuela's President Hugo Chavez disclosed plans to nationalize the
electricity sector.  President Chavez said in his televised speech, "All
those strategic sectors like electricity -- all those things that were
privatized, nationalize them."  President Chavez didn't specify whether he
meant complete nationalization, but said any vestiges of private control
over the energy sector should be undone.  The nationalization appeared
likely to affect Electricidad de Caracas and CA Nacional Telefonos de
Venezuela.

"Your timely action complements our mutual concern to protect the interests
of more than 60,000 company shareholders," BNamericas says, citing Scarlett
Alvarez, Electricidad de Caracas' corporate and investor relations vice
president, in a letter to Comision Nacional de Valores' President Fernando
de Candia.

Electricidad de Caracas is a vertically integrated utility in Venezuela,
operating in electricity distribution, transmission, and generation in the
capital city of Caracas and its metropolitan area.  It is the largest
private electric utility in the country and is owned by US-based AES Corp.
(B+/Positive/--).  Electricidad de Caracas reported net profits of US$20.6
million from January to March, versus net losses of US$26.9 the same period
in 2005.

                        *    *    *

On Feb 9, 2006, Standard & Poor's Ratings Services affirmed its 'B'
long-term corporate credit rating on C.A. La Electricidad de Caracas and its
'B' rating on Electricidad de Caracas Finance BV's US$260 million senior
unsecured notes.  S&P said the outlook is stable.

On Feb. 3, 2006, S&P raised the long-term local and foreign currency
sovereign credit ratings on the Bolivarian Republic of Venezuela to 'BB-'
from 'B+'.  The decision to raise the ratings on Venezuela was supported by
the continued sharp improvements in Venezuela's external indicators, which
are attributable to a large current account surplus, a high level of
international reserves, and lower external debt in addition to buoyant
economic growth and the potential buyback of external debt.


ELECTRICIDAD DE CARACAS: Fitch Downgrades Debt Ratings to B+
------------------------------------------------------------
Fitch Ratings has downgraded the senior unsecured foreign and local currency
debt ratings and Issuer Default Ratings of C.A. La Electricidad de Caracas
to 'B+'.  The Rating Outlook is Negative.  Additionally, Fitch has
downgraded the long-term national scale rating of Electricidad de Caracas to
'AA(ven)' from 'AA+(ven)' and the short-term national scale rating is
downgraded to 'F1(ven)' from 'F1+(ven)'.  These rating actions follow the
announcement by President Chavez of his intent to nationalize companies in
strategic sectors, such as telecommunication and electricity.

The rating downgrades reflect Fitch's expectation that Electricidad de
Caracas will be subject to increased government intervention and regulation
over the near- to medium-term, which would negatively affect its cash flow
generation, investment capabilities and cost of capital.  Should the
Government of Venezuela move forward to nationalize the targeted sectors,
including electricity, the probability of default would be high for
Electricidad de Caracas.  In addition, the expected recovery levels for
creditors of Electricidad de Caracas would be below average, as it remains
highly uncertain that the Venezuelan government would use its financial
resources to compensate investors of nationalized companies at a fair market
value.  The possibility of a higher degree of intervention and the concern
about recovery levels in case of nationalization are reflected in the
Negative Rating Outlook.

Electricidad de Caracas has been a private company for over 100 years.
Nevertheless, it is still quite vulnerable to changes in economic policies,
currency devaluation and regulatory risk.  Throughout its history,
Electricidad de Caracas has withstood this volatility and has successfully
met debt obligations.

Electricidad de Caracas is the largest privately owned electric utility
company in Venezuela.  Electricidad de Caracas transmits, distributes and
markets electricity to the metropolitan Caracas area.  In June 2000,
Arlington, Virginia-based AES Corporation acquired an 87% interest in
Electricidad de Caracas for US$16 billion in a public-tender offer.


PETROLEOS DE VENEZUELA: Inks Oil Agreement with PetroEcuador
------------------------------------------------------------
The governments of Ecuador and Venezuela, through their respective state-oil
firms, signed an energy deal to exchange oil for byproducts, El Universal
reports, citing Petroecuador's Chief Executive Officer Galo Chiriboga.

Pursuant to the agreement, Petroecuador will send Petroleos de Venezuela
36,000 barrels per day of heavy oil on average beginning March and will
receive in turn 220,000 barrels of diesel, Reuters reports.

The deal would let Ecuador secure oil derivatives -- mainly gasoline -- at
reduced prices from Venezuela.  Because of this, Ecuador would be able to
save US$60 million yearly.

                     About PetroEcuador

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.

               About Petroleos de Venezuela

Petroleos de Venezuela SA -- http://www.pdv.com/-- 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.  The company has a commercial office in China.

                        *    *    *

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.


PETROLEOS DE VENEZUELA: PDVSA Gas to Increase Output by 9.3%
------------------------------------------------------------
Petroleos de Venezuela's subsidiary PDVSA Gas intends to raise production by
9.3% this year, an increase to 1.7 bcf/d from 1.6 bcf/d in 2006, El
Universal reports, citing a press statement.

El Universal says of the total 7 bcf/d of gas drilled in Venezuela, over 75%
is re-injected in oil wells, and only a fraction is used for consumption in
the domestic market, for home, petrochemical and industrial use.

Petroleos de Venezuela SA -- http://www.pdv.com/-- 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.  The company has a commercial office in China.

                        *    *    *

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: Nationalizing Telecommunications & Power Sectors
-------------------------------------------------------------
Re-elected President Hugo Chavez announced on his swearing-in ceremony the
nationalization of Compania Anonima Nacional Telefonos de Venezuela, or
CANTV, and the electric sector, Maria Lilibeth da Corte reports for El
Universal.

The president in late December 2006 said that the broadcasting license of TV
channel RCTV won't be renewed when it will expire in March.

"All those sectors of such an important and strategic area as the electric
power, all those were privatized, now they ought to be nationalized.  Let us
recover the social property of the strategic means of production.
Nationalize (telecom) CANTV, Mr. Vice President," the president was quoted
by El Universal as saying.

The president also called on the Central Bank not to be autonomous and added
that he already requested the National Assembly to ratify a so-called
"enabling law" that would promote the country's economic growth.

Compania Anonima Nacional Telefonos de Venezuela, CANTV, offers
telecommunications services.  The Company provides domestic and
international long distance telephone services throughout
Venezuela, wireless telephone services, and Internet access, and
publishes telephone directories.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 20, 2006,
Fitch Ratings affirmed Venezuela's long-term foreign and local
currency Issuer Default Ratings at 'BB-'.  At the same time, the
agency also affirmed the short-term foreign currency IDR at 'B'
and the Country Ceiling at 'BB-'.  Fitch said the outlook on the
ratings remains stable.


                         ***********


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
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