TCRLA_Public/070119.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 19, 2007, Vol. 8, Issue 14

                          Headlines

A R G E N T I N A

ALLIS-CHALMERS: Moody's Rates US$225 Million Senior Notes at B3
BANCO PATAGONIA: Moody's Changes Ratings Outlook to Positive
BANCO PIANO: Moody's Changes Caa1 Ratings Outlook to Positive
BANCO RIO: Moody's Changes Caa1 Ratings Outlook to Positive
BANCO VALORES: Moody's Changes Ratings Outlook to Positive

CATENAE SRL: Reorganization Proceeds to Bankruptcy
COOPERATIVA TAMBERA: Last Day for Claims Verification Is Feb. 7
ERES SA: Trustee Verifies Proofs of Claim Until March 16
ERWIN MICHALOWITZ: Claims Verification Is Until March 14
GRAN TIERRA: Concludes Puesto Climaco-2D Sidetrack Well Testing

IMPSAT FIBER: Shareholders Vote to Adopt Global Crossing Merger
MONTES NIC: Trustee Verifies Proofs of Claim Until March 15
PETROBRAS ENERGIA: Investing Over US$2 Billion in Argentina
STANDARD BANK: Moody's Changes Ratings Outlook to Positive
UTSTARCOM INC: Notehelders Agree to Waive Covenant Defaults

* BUENOS AIRES: Moody's Changes Ratings Outlook to Positive
* MENDOZA: Moody's Changes Ratings Outlook to Positive
* ARGENTINA: Nine Bolivian Hydrocarbon Firms Bid to Supply Oil

B A R B A D O S

INTERPOOL: Purchase Offer Cues Fitch to Place Ratings on Watch

B E R M U D A

DURA AUTOMOTIVE: Seeks Court Nod for Lease Rejection Procedures
GLOBAL CROSSING: Impsat Shareholders Vote to Adopt Merger Pact
REFCO INC: Court Denies Michael McNeil's Stay Request
REFCO INC: Court Directs Grant Thornton to Produce Documents
TEKSID ALUMINUM: Moody's Cuts Corporate Family Rating to Ca

B O L I V I A

PETROLEO BRASILEIRO: Bids for Gas Export Contract with Bolivia
YPF SA: Repsol Bids for Gas Export Contract with Bolivia

* BOLIVIA: Nine Hydrocarbon Firms Bid to Supply Oil in Argentina
* BOLIVIA: IDB Grants US$10-Mil. Loan for Community Development

B R A Z I L

AES CORP: Unit Raises BRL800MM in 10-Year Local Currency Bonds
ALERIS INT'L: TPG Affiliates Complete US$3.3-Billion Acquisition
BANCO NACIONAL: Sponsors Fashion Business 2007
COMPANHIA SIDERURGICA: Sees 10% Share in Long Steel Market
GERDAU AMERISTEEL: S&P Places BB Rating on Positive Watch

GREIF INC: Soliciting Consents to Waive Events of Default
METSO OYJ: Paper Unit to Supply EUR30MM Equipment to Stora Enso
PETROLEO BRASILEIRO: Launches Operations at Manati Gas Field
SANMINA-SCI: 10-K Filing Prompts Moody's to Affirm Low-B Ratings
TELE NORTE: Offering Direct Employment to Outsourced Workers

* BRAZIL: IDB Grants US$960,000 to State Water & Sewerage Co.

C A Y M A N   I S L A N D S

ABN GUAJIRA: Proofs of Claim Filing Deadline Is on Jan. 29
DEEP RIVER: Shareholders to Convene for Jan. 27 Final Meeting
EKY HOLDINGS: Last Day to File Proofs of Claim Is on Jan. 29
FUJI FOOD: Last Day for Proofs of Claim Filing Is on Jan. 29
FRESH DEL MONTE: S&P Pares Corp. Credit Rating to BB- from BB

GLG NORTH: Creditors Must Submit Proofs of Claim by Jan. 29
GLG STRATEGIC: Last Day to File Proofs of Claim Is Jan. 29
J. MACEDO: Deadline for Proofs of Claim Filing Is on Jan. 29
JME OFFSHORE: Proofs of Claim Must be Submitted by Jan. 29
JME OFFSHORE OPPORTUNITY: Claims Filing Is Until Jan. 29

JUBILEE LANE: Last Day for Filing of Claims Is on Jan. 29
MASK HOLDINGS: Proofs of Claim Filing Deadline Is on Jan. 28
PARMALAT SPA: Deloitte & Touche Settles Cases for US$149 Million
PHOENIX-MISTIC: Final Shareholders Meeting Is on Jan. 27
PROSPEROUS BLOSSOMS: Proofs of Claim Must be Filed by Jan. 29

STADIUM II: Creditors Have Until Jan. 29 to File Proofs of Claim
STADIUM VII: Deadline for Proofs of Claim Filing Is on Jan. 29
TINTIN SPC: Creditors Must Submit Proofs of Claim by Jan. 29
TOP SPIN: Deadline for Filing of Proofs of Claim Is on Jan. 29
UNITED CAPITAL: Filing of Proofs of Claim Is Until Jan. 29

C H I L E

CA INC: Launches Internet Security Protection for Windows Vista
ELECTROANDINA: Submits Environmental Impact Statement to Conama

C O L O M B I A

AES CORP: Calls Support for National CO2 Cap & Trade Legislation

C O S T A   R I C A

* COSTA RICA: Expects Stable Banana Exports for 2007
* COSTA RICA: Congressional Parties Balk at Free Trade with U.S.

D O M I N I C A N   R E P U B L I C

AFFILIATED COMP: Names Christopher Deelsnyder as Healthcare Head

E C U A D O R

PETROECUADOR: Names Carlos Yannuzzelli as Executive President

E L   S A L V A D O R

SPECTRUM BRANDS: To Cut 100 Jobs Pursuant to Reorganization Plan
SPECTRUM BRANDS: Receives Notice of Default from Noteholders

G R E N A D A

AIR JAMAICA: Says Management Is Not Overstaffed
AIR JAMAICA: Offering Non-Stop Flights to Grenada & St. Lucia
AIR JAMAICA: Ruder Finn Agency to Handle Public Relations

G U A T E M A L A

BRITISH AIRWAYS: T&G Union Favors Settlement Over Strike Action
BANCO INDUSTRIAL: Fitch Maintains Ratings on Bancomer Absorption

* GUATEMALA: Receives Currency Shipment to Resolve Cash Shortage

H A I T I

* HAITI: To Receive US$500 Million from Canada

H O N D U R A S

GRUPO ELEKTRA: Regulator Deciding on Banking License for Azteca
WARNACO GROUP: Roger Williams Resigns as Group President

J A M A I C A

GOODYEAR TIRE: Fire Halts Operations at Distribution Center

M E X I C O

ADVANCED MARKETING: Authorized to Pay Prepetition Shipping Duty
ADVANCED MARKETING: Court Issues Injunction vs. Utility Cos.
ADVANCED MARKETING: Seeks for Court Approval of Bidding Protocol
CENTRAL FREIGHT: Posts US$10.4MM Net Loss in Third Quarter 2006
CINRAM INT: Extends MGM North American Replication Agreement

GENERAL MOTORS: Says Too Early to Provide Details on Proton Deal
LEAR CORP: To Unveil Annual & Quarterly Results on Jan. 25
LIBBEY INC: Unit Commence Exchange Offer on US$306MM Sr. Notes
NORTEL: Discloses Road Map for Unified Comms. with Microsoft

* MEXICO: JBIC Provides Loan Guarantee for Telmex Expansion

P A N A M A

CHIQUITA BRANDS: Unit to Fund US$2 Million for E.Coli Research
SITEL CORP: Posts US$1.8-Million Net Loss in Third Quarter 2006

P E R U

PRIDE INT: Appoints New Executives for Latin American Services

* PERU: Hopes to Restore Bilateral Relations Through Oil Deal

P U E R T O   R I C O

ABI CORP: Case Summary & 120 Largest Unsecured Creditors
ADELPHIA COM: Ct. Temporarily Extends Stay of Confirmation Order
PIER 1 IMPORTS: Moody's Junks Corporate Family Rating
PILGRIM'S PRIDE: Moody's Cuts Sr. Unsecured Credit Rating to B1
SEARS HOLDINGS: Names John Walden as Chief Customer Officer

T R I N I D A D   &   T O B A G O

MIRANT CORP: Selling 6 US Gas Plants for US$1.4 Bil. to LS Power

U R U G U A Y

ROYAL & SUN: Classifies US Ops as Held for Sale in 2006 Results

* URUGUAY: IDB Grants US$75-Mil. Loan to Foster Competitiveness
* URUGUAY: State Bank Posts UYU2.19 Billion 2006 Profits

V E N E Z U E L A

CITGO PETROLEUM: Parent Denies Slowing Sale of Unit's Plants
DAIMLERCHRYSLER: Chrysler Pre-Owned Vehicles Sales Up by 8%
DAIMLERCHRYSLER AG: Denies Shareholders Meeting Delay
DAIMLERCHRYSLER: Truck Group Reports Record Sales in 2006
PETROLEOS DE VENEZUELA: Creating Oil Exploration Services Unit

PETROLEOS DE VENEZUELA: Petroperu Wants to Ink Oil Purchase Deal
PETROLEOS DE VENEZUELA: Posts US$55.7B Domestic Sales in 2006

* VENEZUELA: CA Nacional Workers' Union Seeks Meeting
* VENEZUELA: Pres. Chavez Assesses Return to Andean Community
* VENEZUELA: Trade Group Wants RCTV License Renewed


                         - - - - -


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


ALLIS-CHALMERS: Moody's Rates US$225 Million Senior Notes at B3
---------------------------------------------------------------
Moody's Investors Service placed Allis-Chalmers Energy, Inc.'s
ratings on review for possible upgrade.

At the same time, Moody's assigned a B3, LGD4, 53% rating to the
proposed US$225 million senior unsecured notes to be issued by
ALY.  Proceeds from the notes will be used to refinance a
portion of the US$300 million senior unsecured bridge loan the
company used to finance the cash portion of its acquisition of
Oil & Gas Rental Services Inc.

The OGR acquisition, which closed on Dec. 18, 2006, was for
US$291 million in cash and 3.2 million shares of ALY's common
stock.  ALY anticipates issuing 4.5 million shares of common
stock to refinance the remainder of the US$300 million bridge
loan.

The review for possible upgrade reflects:

   -- the company's strong financial performance, particularly,
      its acquired companies having success in meeting
      forecasted expectations; and,

   -- its increased scale and diversification, both by product
      line and geographically, which has been primarily achieved
      through acquisitions.

The ratings will likely be upgraded to B2 if:

   -- ALY successfully completes its planned equity offering and
      de-leveraging, which will provide a degree of financial
      cushion supportive of a higher rating in light of the
      expectation that management will continue to be
      acquisitive and the potential for a cyclical slowdown over
      the near to medium term;

   -- Moody's sector outlook at the time remains adequate; and,

   -- a review of the company's year-end 2006 audited financial
      statements raises no unanticipated issues.

Historically robust industry fundamentals and ALY's success thus
far in integrating its acquisitions have resulted in the company
generating strong financial results commensurate with forecasts.
ALY generated pro-forma EBITDA of US$158 million over the last
twelve months ending Sept. 30, 2006, with EBITDA margins of
approximately 34%, which compares favorably to its higher rated
peers and represents substantial growth versus pro-forma EBITDA
levels of US$38 million for the prior year period.

Management's growth strategy has expanded the company's product
and service capabilities, enhanced its market positions in
several of its product lines, increased its geographic
diversification, and provided for greater economies of scale.
The OGR acquisition, in particular, strengthens ALY's market
position in the domestic rental tools markets, further
diversifies its revenues into the Gulf of Mexico, both on the
shelf and deepwater, and provides the company with organic
growth opportunities.

Given the risks associated with ALY's aggressive acquisition
strategy and the possibility that the company could be facing a
sector softening during the course of 2007 and into 2008,
Moody's believes that a material degree of common equity funding
is required before a higher rating can be achieved.  Moody's
expects that ALY will remain acquisitive, which could result in
increased leverage levels.  While management has stated that it
intends to issue equity to fund a meaningful portion of material
acquisitions, equity market access may not be as supportive
during weaker points in the cycle.

The B3 rating on the unsecured notes reflects an LGD4 loss given
default assessment as secured debt represents only a moderate
amount of the company's total capital structure.  The unsecured
notes are contractually subordinated to the company's US$25
million secured bank credit facility, under which all domestic
assets are pledged.  The notes are guaranteed by ALY's current
and future domestic subsidiaries but not its Argentine-based
drilling subsidiary DLS Drilling Logistics and Services
Corporation; however, debt at DLS is expected to remain modest.
The indenture limits debt at foreign subsidiaries to 15% of
tangible assets.  Pro-forma for the new notes, ALY will have
zero drawings under its US$25 million secured bank credit
facility, US$480 million in senior notes, US$8 million of bank
debt at DLS, and approximately US$6 million of existing private
debt.

Moody's placed these ratings of ALY on review for possible
upgrade:

   -- B3 Corporate Family Rating;

   -- B3 Probability of Default Rating;

   -- B3, LGD4, 53%, changed from 54% rated US$255 million
      senior unsecured notes due 2014; and,

   -- B3, LGD4, 53% rated US$225 million senior unsecured notes
      due 2017.

The company's SGL-2 speculative grade liquidity rating was not
affected by the rating actions.

Allis-Chalmers Energy, Inc. is headquartered in Houston, Texas.


BANCO PATAGONIA: Moody's Changes Ratings Outlook to Positive
------------------------------------------------------------
Moody's Investors Service changed its outlook to positive, from
stable, on the Caa1 long-term foreign-currency deposit ratings
and on the the Ba1.ar national scale foreign-currency deposit
ratings of all rated Argentine banks.

These ratings on Banco Patagonia S.A. were affected by the
change in rating outlook:

   -- long-term foreign currency deposit rating of Caa1, outlook
      to positive from stable;

   -- long-term national scale foreign currency deposit rating
      of Ba1.ar, outlook to positive from stable; and

   -- long-term national scale foreign currency subordinated
      debt rating of Ba1.ar, outlook to positive from stable.

The outlook changes are a direct result of Moody's changing to
positive, from stable, the outlook on Argentina's Caa1 country
ceiling for foreign currency deposits and the nation's B2
country ceiling for foreign currency bonds and notes.

As a result of this change, Moody's placed on positive outlook
both the B2 foreign-currency debt rating and the A3.ar national
scale foreign-currency debt rating assigned to Banco Macro
S.A.'s Global Medium Term Note Program.  Positive outlooks were
also given to the B3 long-term foreign-currency and A3.ar
national scale foreign-currency ratings of the subordinated
notes.  In addition, Moody's placed on positive outlook the
provisional (P)B2 global foreign-currency and (P)Aa3.ar national
scale foreign-currency ratings of the senior unsecured notes of
Banco Macro S.A.

Moody's also placed on positive outlook the Ba1.ar national
scale foreign-currency subordinated debt rating assigned to
Banco Patagonia S.A.

In addition, based on the outlook change for the long-term
foreign-currency deposits of Banco de la Nacion Argentina, its
branches in Bolivia and Uruguay have also been affected.
Moody's consequently changed the outlooks to positive of both
the Caa1 long-term local-currency deposit rating and the A2.bo
long-term Bolivian national scale local- currency deposit rating
of Banco de la Nacion Argentina (Bolivia), as well as giving
positive outlooks to the Caa1 long-term local-currency deposit
rating and the Ba2.uy long-term Uruguayan national scale deposit
rating of Banco de la Nacion Argentina (Uruguay).

Also changed to positive from stable are the outlooks on Banco
de la Naci¢n Argentina (Uruguay)'s Caa1 long-term foreign-
currency deposit rating and the Ba2.uy long-term Uruguayan
national scale foreign-currency deposit rating -- the latter
alteration based on the the change in outlook of the Uruguayan
branch's long-term local-currency deposit rating.

The stable outlook on the Bolivian branch's long-term foreign-
currency deposit rating remained unchanged because it continues
to be constrained by Bolivia's country ceiling for foreign-
currency bonds and notes of Caa1.

This action does not affect the bank financial strength ratings
of the rated Argentine banks.


BANCO PIANO: Moody's Changes Caa1 Ratings Outlook to Positive
-------------------------------------------------------------
Moody's Investors Service changed its outlook to positive, from
stable, on the Caa1 long-term foreign-currency deposit ratings
and on the the Ba1.ar national scale foreign-currency deposit
ratings of all rated Argentine banks.

These ratings on Banco Piano S.A. were affected by the change in
rating outlook:

   -- long-term foreign currency deposit rating of Caa1, outlook
      to positive from stable; and

   -- long-term national scale foreign currency deposit rating
      of Ba1.ar, outlook to positive from stable.

The outlook changes are a direct result of Moody's changing to
positive, from stable, the outlook on Argentina's Caa1 country
ceiling for foreign currency deposits and the nation's B2
country ceiling for foreign currency bonds and notes.

As a result of this change, Moody's placed on positive outlook
both the B2 foreign-currency debt rating and the A3.ar national
scale foreign-currency debt rating assigned to Banco Macro
S.A.'s Global Medium Term Note Program.  Positive outlooks were
also given to the B3 long-term foreign-currency and A3.ar
national scale foreign-currency ratings of the subordinated
notes.  In addition, Moody's placed on positive outlook the
provisional (P)B2 global foreign-currency and (P)Aa3.ar national
scale foreign-currency ratings of the senior unsecured notes of
Banco Macro S.A.

Moody's also placed on positive outlook the Ba1.ar national
scale foreign-currency subordinated debt rating assigned to
Banco Patagonia S.A.

In addition, based on the outlook change for the long-term
foreign-currency deposits of Banco de la Nacion Argentina, its
branches in Bolivia and Uruguay have also been affected.
Moody's consequently changed the outlooks to positive of both
the Caa1 long-term local-currency deposit rating and the A2.bo
long-term Bolivian national scale local- currency deposit rating
of Banco de la Nacion Argentina (Bolivia), as well as giving
positive outlooks to the Caa1 long-term local-currency deposit
rating and the Ba2.uy long-term Uruguayan national scale deposit
rating of Banco de la Nacion Argentina (Uruguay).

Also changed to positive from stable are the outlooks on Banco
de la Naci¢n Argentina (Uruguay)'s Caa1 long-term foreign-
currency deposit rating and the Ba2.uy long-term Uruguayan
national scale foreign-currency deposit rating -- the latter
alteration based on the the change in outlook of the Uruguayan
branch's long-term local-currency deposit rating.

The stable outlook on the Bolivian branch's long-term foreign-
currency deposit rating remained unchanged because it continues
to be constrained by Bolivia's country ceiling for foreign-
currency bonds and notes of Caa1.

This action does not affect the bank financial strength ratings
of the rated Argentine banks.


BANCO RIO: Moody's Changes Caa1 Ratings Outlook to Positive
-----------------------------------------------------------
Moody's Investors Service changed its outlook to positive, from
stable, on the Caa1 long-term foreign-currency deposit ratings
and on the the Ba1.ar national scale foreign-currency deposit
ratings of all rated Argentine banks.

These ratings on Banco Rio de la Plata S.A. were affected by the
change in rating outlook:

   -- long-term foreign currency deposit rating of Caa1, outlook
      to positive from stable; and

   -- long-term national scale foreign currency deposit rating
      of Ba1.ar, outlook to positive from stable.

The outlook changes are a direct result of Moody's changing to
positive, from stable, the outlook on Argentina's Caa1 country
ceiling for foreign currency deposits and the nation's B2
country ceiling for foreign currency bonds and notes.

As a result of this change, Moody's placed on positive outlook
both the B2 foreign-currency debt rating and the A3.ar national
scale foreign-currency debt rating assigned to Banco Macro
S.A.'s Global Medium Term Note Program.  Positive outlooks were
also given to the B3 long-term foreign-currency and A3.ar
national scale foreign-currency ratings of the subordinated
notes.  In addition, Moody's placed on positive outlook the
provisional (P)B2 global foreign-currency and (P)Aa3.ar national
scale foreign-currency ratings of the senior unsecured notes of
Banco Macro S.A.

Moody's also placed on positive outlook the Ba1.ar national
scale foreign-currency subordinated debt rating assigned to
Banco Patagonia S.A.

In addition, based on the outlook change for the long-term
foreign-currency deposits of Banco de la Nacion Argentina, its
branches in Bolivia and Uruguay have also been affected.
Moody's consequently changed the outlooks to positive of both
the Caa1 long-term local-currency deposit rating and the A2.bo
long-term Bolivian national scale local- currency deposit rating
of Banco de la Nacion Argentina (Bolivia), as well as giving
positive outlooks to the Caa1 long-term local-currency deposit
rating and the Ba2.uy long-term Uruguayan national scale deposit
rating of Banco de la Nacion Argentina (Uruguay).

Also changed to positive from stable are the outlooks on Banco
de la Naci¢n Argentina (Uruguay)'s Caa1 long-term foreign-
currency deposit rating and the Ba2.uy long-term Uruguayan
national scale foreign-currency deposit rating -- the latter
alteration based on the the change in outlook of the Uruguayan
branch's long-term local-currency deposit rating.

The stable outlook on the Bolivian branch's long-term foreign-
currency deposit rating remained unchanged because it continues
to be constrained by Bolivia's country ceiling for foreign-
currency bonds and notes of Caa1.

This action does not affect the bank financial strength ratings
of the rated Argentine banks.


BANCO VALORES: Moody's Changes Ratings Outlook to Positive
----------------------------------------------------------
Moody's Investors Service changed its outlook to positive, from
stable, on the Caa1 long-term foreign-currency deposit ratings
and on the the Ba1.ar national scale foreign-currency deposit
ratings of all rated Argentine banks.

These ratings on Banco Valores S.A. were affected by the change
in rating outlook:

   -- long-term foreign currency deposit rating of Caa1, outlook
      to positive from stable; and

   -- long-term national scale foreign currency deposit rating
      of Ba1.ar, outlook to positive from stable.

The outlook changes are a direct result of Moody's changing to
positive, from stable, the outlook on Argentina's Caa1 country
ceiling for foreign currency deposits and the nation's B2
country ceiling for foreign currency bonds and notes.

As a result of this change, Moody's placed on positive outlook
both the B2 foreign-currency debt rating and the A3.ar national
scale foreign-currency debt rating assigned to Banco Macro
S.A.'s Global Medium Term Note Program.  Positive outlooks were
also given to the B3 long-term foreign-currency and A3.ar
national scale foreign-currency ratings of the subordinated
notes.  In addition, Moody's placed on positive outlook the
provisional (P)B2 global foreign-currency and (P)Aa3.ar national
scale foreign-currency ratings of the senior unsecured notes of
Banco Macro S.A.

Moody's also placed on positive outlook the Ba1.ar national
scale foreign-currency subordinated debt rating assigned to
Banco Patagonia S.A.

In addition, based on the outlook change for the long-term
foreign-currency deposits of Banco de la Nacion Argentina, its
branches in Bolivia and Uruguay have also been affected.
Moody's consequently changed the outlooks to positive of both
the Caa1 long-term local-currency deposit rating and the A2.bo
long-term Bolivian national scale local-currency deposit rating
of Banco de la Nacion Argentina (Bolivia), as well as giving
positive outlooks to the Caa1 long-term local-currency deposit
rating and the Ba2.uy long-term Uruguayan national scale deposit
rating of Banco de la Nacion Argentina (Uruguay).

Also changed to positive from stable are the outlooks on Banco
de la Naci¢n Argentina (Uruguay)'s Caa1 long-term foreign-
currency deposit rating and the Ba2.uy long-term Uruguayan
national scale foreign-currency deposit rating -- the latter
alteration based on the the change in outlook of the Uruguayan
branch's long-term local-currency deposit rating.

The stable outlook on the Bolivian branch's long-term foreign-
currency deposit rating remained unchanged because it continues
to be constrained by Bolivia's country ceiling for foreign-
currency bonds and notes of Caa1.

This action does not affect the bank financial strength ratings
of the rated Argentine banks.


CATENAE SRL: Reorganization Proceeds to Bankruptcy
--------------------------------------------------
Catenae SRL's creditors did not approve the settlement plan that
the company laid on the table, prompting a court in Buenos Aires
to covert its reorganization proceeding into bankruptcy.

Under bankruptcy protection, all of the debtor's assets will be
liquidated and proceeds distributed to creditors.

The trustee will:

   -- verify creditors' proofs of claim;

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

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

The name of the trustee and the dates of the verification
deadline and submission of the reports are yet to be disclosed.

The debtor can be reached at:

          Catenae SRL
          Arenales 875 Capital Federal
          Buenos Aires, Argentina

The trustee can be reached at:

         Catenae SRL
         Arenales 875
         Buenos Aires, Argentina


COOPERATIVA TAMBERA: Last Day for Claims Verification Is Feb. 7
---------------------------------------------------------------
Estudio Jorge Mencia y Asociados, the court-appointed trustee
for Ooperatuve bltas's reorganization proceeding, will verify
creditors' proofs of claim until Feb. 7, 2007.

Estudio Jorge Mencia y Asociados will present the validated
claims in court as individual reports on March 22, 2007.  A
court in Parana will then determine if the verified claims are
admissible, taking into account the trustee's opinion and the
objections and challenges raised by Cooperativa Tambera and its
creditors.

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

On April 20, 2007, Cooperativa Tambera's creditors will vote on
a settlement plan that the company will lay on the table.

The trustee can be reached at:

          Cooperativa Tambera Parana Ltda.
          Humahuaca 4165
          Buenos Aires, Argentina


ERES SA: Trustee Verifies Proofs of Claim Until March 16
--------------------------------------------------------
Pedro Alfredo Valle, the court-appointed trustee for Eres SA's
bankruptcy proceeding, verifies creditors' proofs of claim until
March 16, 2007.

Mr. Pedro Alfredo Valle will present the validated claims in
court as individual reports on May 3, 2007.   A court in Buenos
Aires will determine if the verified claims are admissible,
taking into account the trustee's opinion and the objections and
challenges raised by Eres SA 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 Eres SA' accounting
and banking records will follow on June 10, 2007.

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

The debtor can be reached at:

         Eres SA
         Partido de San Isidro
         Buenos Aires, Argentina

The trustee can be reached at:

         Ernesto Oscar Callelo
         Avenida de Mayo 1260
         Buenos Aires, Argentina


ERWIN MICHALOWITZ: Claims Verification Is Until March 14
--------------------------------------------------------
Maria Luisa Ledesma, the court-appointed trustee for Erwin
Michalowitz y Cia SRL's bankruptcy proceeding, will verify
creditors' proofs of claim until March 14, 1007.

Under the Argentine bankruptcy law, Ms. Ledesma is required to
present the validated claims in court as individual reports.  A
Court in Buenos Aires will determine if the verified claims are
admissible, taking into account the trustee's opinion and the
objections and challenges raised by Erwin Michalowitz and its
creditors.

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

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

The debtor can be reached at:

          Montevideo 451
          Buenos Aires, Argentina

The trustee can be reached at:

          Maria Arbotiore Garcia
          Sarmiento 1587
          Buenos Aires, Argentina


GRAN TIERRA: Concludes Puesto Climaco-2D Sidetrack Well Testing
---------------------------------------------------------------
Gran Tierra Energy Inc. said in a statement that it has
completed testing of the Puesto Climaco-2D sidetrack well on the
Vinalar block in the Argentine Noroeste basin.

Business News Americas relates that Puesto Climaco-2D reached
total depth of 3,720 meters and encountered three proven
reservoirs with 22.5 meters of potential net pay.  Gran Tierra
also found two unproven reservoirs with 13 meters of potential
net pay.

According to BNamericas, Puesto Climaco-2D tested at a maximum
flow rate of 2,825 barrels per day of light crude.

Dana Coffield, Grant Tierra's president and chief executive
officer, told BNamericas, "This well doubles our current net
after-royalty production in Argentina and establishes a second
material production center in the Noroeste basin for Gran Tierra
Energy."

BNamericas underscores that Gran Tierra holds a 50% working
interest in the Vinalar block.  Korea's Golden Oil owns the
other 50%.

As part of its 10-well program planned for Argentina and
Colombia this year, Gran Tierra will drill five wells more in
the next three months, BNamericas states.

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.


IMPSAT FIBER: Shareholders Vote to Adopt Global Crossing Merger
---------------------------------------------------------------
IMPSAT Fiber Networks, Inc., disclosed that, at a special
meeting held on Jan. 17, 2007, the company's stockholders
holding in excess of 70% of its outstanding common stock voted
to adopt the merger agreement with Global Crossing Limited, a
Bermuda corporation, under which a subsidiary of Global Crossing
will merge with Impsat.  As a result of the merger, Impsat will
become a wholly owned subsidiary of Global Crossing and cease to
be a public company.  The merger agreement was entered into as
of Oct. 25, 2006.  The consummation of the merger is subject to
regulatory approvals and other customary conditions.  The
transaction is expected to close in the first quarter of 2007.

                    Going Concern Doubt

In its audit report on the consolidated financial statements for
year ended Dec. 31, 2005, auditors working for Deloitte & Touche
LLP noted that IMPSAT Fiber Networks, Inc.'s current liquidity
position, high debt obligations, and negative operating results
raise substantial doubt as to its ability to continue as a going
concern.

                About IMPSAT Fiber Networks

IMPSAT Fiber Networks Inc. -- http://www.impsat.com/-- provides
private telecommunications networks and Internet services in
Latin America.  The company owns and operates 15 metropolitan
area networks in some of the largest cities in Latin America and
has 15 facilities to provide hosting services, providing
services to more than 4,500 national and multinational clients.
IMPSAT has operations in Argentina, Colombia, Brazil, Venezuela,
Ecuador, Chile, Peru and the United States.

                   About Global Crossing

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

At Sept. 30, 2006, Global Crossing Ltd.'s balance sheet
reflected a US$131 million stockholders' deficit.  At
June 30, 2006, the company reported US$1.87 billion in total
assets and US$1.95 billion in total liabilities, resulting to a
stockholders' deficit of US$86 million.  It also reported a
US$173 million stockholders' deficit on Dec. 31, 2005.


MONTES NIC: Trustee Verifies Proofs of Claim Until March 15
-----------------------------------------------------------
Norberto Jose Perrone, the court-appointed trustee for Montes
Nic SRL's bankruptcy proceeding, verifies creditors' proofs of
claim until March 15, 2007.

Mr. Perrone will present the validated claims in court as
individual reports on Mar. 26, 2007.  A court in Buenos Aires
will determine if the verified claims are admissible, taking
into account the trustee's opinion and the objections and
challenges raised by Montes Nic 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 Montes Nic's
accounting and banking records will follow on May 10, 2007.

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

The debtor can be reached at:

         Montes Nic SRL
         Cuenca 3145
         Buenos Aires, Argentina

The trustee can be reached at:

         Ernesto Oscar Callelo
         Avenida Centenario 725, San Isidro
         Buenos Aires, Argentina


PETROBRAS ENERGIA: Investing Over US$2 Billion in Argentina
-----------------------------------------------------------
Carlos Fontes, Petrobras Energia SA's director general,
Brazilian state oil Petroleo Brasileiro SA's Argentine unit --
told Mercopress that the unit will invest more than US$2 billion
over the next five years in Argentina.

Petrobras Energia will begin exploring oil on Argentina's
territorial sea this year, Mercopress notes, citing Mr. Fontes.

Mr. Fontes told reporters in Buenos Aires, "We will continue
consolidating Petrobras presence in Argentina because the
company has come to stay and to contribute to the economic and
social development of the country, with the due respect for its
cultural identity."

According to Mercopress, Petrobras acquired Perez Companc,
Argentina's largest private oil firm, in 2002 and has invested
over US$900 million not only in existing operations in Argentina
but also in new projects like gas stations network expansion and
the launching of its Podium gas brand, the first 100-octane
brand, in the Argentine market.

Mr. Fontes told Mercopress that his management will seek to
pursue the goals of his predecessor Alberto Guimaraes, who has
been appointed head of Petrobras America Inc., Petroleo
Brasileiro's US subsidiary.


STANDARD BANK: Moody's Changes Ratings Outlook to Positive
----------------------------------------------------------
Moody's Investors Service changed its outlook to positive, from
stable, on the Caa1 long-term foreign-currency deposit ratings
and on the the Ba1.ar national scale foreign-currency deposit
ratings of all rated Argentine banks.

These ratings on Standard Bank Argentina S.A. were affected by
the change in rating outlook:

   -- long-term foreign currency deposit rating of Caa1, outlook
      to positive from stable; and

   -- long-term national scale foreign currency deposit rating
      of Ba1.ar, outlook to positive from stable.

The outlook changes are a direct result of Moody's changing to
positive, from stable, the outlook on Argentina's Caa1 country
ceiling for foreign currency deposits and the nation's B2
country ceiling for foreign currency bonds and notes.

As a result of this change, Moody's placed on positive outlook
both the B2 foreign-currency debt rating and the A3.ar national
scale foreign-currency debt rating assigned to Banco Macro
S.A.'s Global Medium Term Note Program.  Positive outlooks were
also given to the B3 long-term foreign-currency and A3.ar
national scale foreign-currency ratings of the subordinated
notes.  In addition, Moody's placed on positive outlook the
provisional (P)B2 global foreign-currency and (P)Aa3.ar national
scale foreign-currency ratings of the senior unsecured notes of
Banco Macro S.A.

Moody's also placed on positive outlook the Ba1.ar national
scale foreign-currency subordinated debt rating assigned to
Banco Patagonia S.A.

In addition, based on the outlook change for the long-term
foreign-currency deposits of Banco de la Nacion Argentina, its
branches in Bolivia and Uruguay have also been affected.
Moody's consequently changed the outlooks to positive of both
the Caa1 long-term local-currency deposit rating and the A2.bo
long-term Bolivian national scale local- currency deposit rating
of Banco de la Nacion Argentina (Bolivia), as well as giving
positive outlooks to the Caa1 long-term local-currency deposit
rating and the Ba2.uy long-term Uruguayan national scale deposit
rating of Banco de la Nacion Argentina (Uruguay).

Also changed to positive from stable are the outlooks on Banco
de la Naci¢n Argentina (Uruguay)'s Caa1 long-term foreign-
currency deposit rating and the Ba2.uy long-term Uruguayan
national scale foreign-currency deposit rating -- the latter
alteration based on the the change in outlook of the Uruguayan
branch's long-term local-currency deposit rating.

The stable outlook on the Bolivian branch's long-term foreign-
currency deposit rating remained unchanged because it continues
to be constrained by Bolivia's country ceiling for foreign-
currency bonds and notes of Caa1.

This action does not affect the bank financial strength ratings
of the rated Argentine banks.


UTSTARCOM INC: Notehelders Agree to Waive Covenant Defaults
-----------------------------------------------------------
UTStarcom Inc., as of the expiration of its consent solicitation
at 5:00 p.m., New York City time, on Jan. 9, 2007, received from
holders of a majority of the outstanding aggregate principal
amount of its 7/8% convertible subordinated notes due 2008
consents which were not revoked.

The Proposed Waiver became effective Jan. 9, 2007.

As reported in the Troubled Company Reporter-Europe on Jan. 3,
UTStarcom is soliciting consents from the noteholders relative
to proposed amendments of certain provisions of the indenture
pursuant to which the notes were issued and a waiver of rights
to pursue remedies available under the indenture with respect to
certain defaults.

                First Supplemental Indenture

The company and U.S. Bank National Association, the trustee
under the Indenture, have entered into a first supplemental
indenture implementing the Proposed Amendments.  The amendments
contained in the First Supplemental Indenture will be binding on
all Holders, including non-consenting Holders.

Under the terms of the First Supplemental Indenture, during the
period beginning Jan. 9, 2007, and ending 5:30 p.m.,
May 31, 2007, any failure by the company to comply with certain
provisions will not result in a default or an event of default,
and the Notes will accrue an additional 6.75% per annum in
special interest from and after Jan. 9, 2007, to the maturity
date of the Notes, unless the Notes are earlier repurchased or
converted.  Payments of the special interest will be made in
addition to and at the same time and in the same manner as
regularly scheduled payments of interest to Holders entitled to
such regularly scheduled payments of interest.

Citigroup Corporate and Investment Banking served as the
solicitation agent for the consent solicitation.  Questions
regarding the Consent Solicitation may be directed to Citigroup
Corporate and Investment Banking at 800-558-3745 (toll-free) or
212-723-6106.

The information agent for the consent solicitation was Global
Bondholder Services Corporation.

Alameda, Calif.-based UTStarcom Inc. (Nasdaq: UTSI)
-- http://www.utstar.com/-- provides IP-based, end-to-end
networking solutions and international service and support.  The
company sells its broadband, wireless, and handset solutions to
operators in both emerging and established telecommunications
markets around the world.  The company maintains operations in
France, Italy, Spain, China, India, Japan, Argentina and Brazil.


* BUENOS AIRES: Moody's Changes Ratings Outlook to Positive
-----------------------------------------------------------
Moody's Investors Service changed the rating outlook to
positive, from stable, for two local governments in Argentina.
The action is prompted by a similar outlook change for
Argentina's B2 foreign currency country ceiling for bonds.

The governments and ratings affected are:

City of Buenos Aires:

   -- foreign currency bonds rated B2 and Aa3.ar have been
       assigned a positive outlook.

These ratings are constrained by Argentina's foreign currency
country ceiling.  The outlook for domestic currency bonds rated
B1 and Aa2.ar remains stable.

Province of Mendoza:

   -- foreign currency bonds due September 2018 rated B2
      have been assigned a positive outlook.

This rating is constrained by Argentina's foreign currency
country ceiling.

The outlook for the province's domestic currency issuer ratings
of B1 and Aa3.a, as well as for its foreign currency bonds due
September 2018 rated Aa3.ar, remains stable.


* MENDOZA: Moody's Changes Ratings Outlook to Positive
------------------------------------------------------
Moody's Investors Service changed the rating outlook to
positive, from stable, for two local governments in Argentina.
The action is prompted by a similar outlook change for
Argentina's B2 foreign currency country ceiling for bonds.

The governments and ratings affected are:

City of Buenos Aires:

   -- foreign currency bonds rated B2 and Aa3.ar have been
       assigned a positive outlook.

These ratings are constrained by Argentina's foreign currency
country ceiling.  The outlook for domestic currency bonds rated
B1 and Aa2.ar remains stable.

Province of Mendoza:

   -- foreign currency bonds due September 2018 rated B2
      have been assigned a positive outlook.

This rating is constrained by Argentina's foreign currency
country ceiling.

The outlook for the province's domestic currency issuer ratings
of B1 and Aa3.a, as well as for its foreign currency bonds due
September 2018 rated Aa3.ar, remains stable.


* ARGENTINA: Nine Bolivian Hydrocarbon Firms Bid to Supply Oil
--------------------------------------------------------------
Yacimientos Petrol¡feros Fiscales de Bolivia Pres. Juan Carlos
Ortiz said that nine hydrocarbon companies have expressed their
interest in supplying natural gas to Argentina, Prensa Latin
reports.

The companies that presented their proposals are:

   -- Don Won,
   -- Canadian Energy,
   -- Plus Petrol,
   -- Vintage,
   -- Chaco,
   -- Petrobras Bolivia,
   -- Total,
   -- Repsol YPF, and
   -- BG Bolivia Corp.

Pres. Ortiz told Prensa Latin that Andina, Petrobras Ebergia and
MatPetrol did not join in the bidding due to concerns that they
do not have enough additional gas supply and that are already
committed to the internal market and exports to Brazil.

According to the same report. The companies are required to
supply 7.7 million cubic meters of gas per day to Argentina for
this year, which will account to total sales of US$32.3 billion
to Bolivia in 2026.

                        *    *    *

Fitch Ratings assigned these ratings on Argentina:

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

                        *    *    *

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 A R B A D O S
===============


INTERPOOL: Purchase Offer Cues Fitch to Place Ratings on Watch
--------------------------------------------------------------
Fitch places these ratings on Rating Watch Negative:

   Interpool Inc.

   -- Long-term Issuer Default Rating 'BB+';
   -- Senior unsecured debt 'BB+'; and
   -- Senior secured credit facility 'BBB-'.

   Interpool Containers Limited

   -- Long-term IDR 'BB+'.

   Interpool Capital Trust

   -- Preferred stock 'BB-'.

The action reflects the proposed acquisition of all of the
outstanding common stock (other than a portion of the shares
held by the proposing shareholders) for US$24 per share in cash
by the chief executive officer, supported by other significant
stockholders and an investment fund affiliated with Fortis
Merchant Banking, a division of Fortis.

The proposed acquisition would be financed through a combination
of equity from Fortis and equity investments from current
significant shareholders that include the CEO plus debt
financing of the company based on commitment provided by an
affiliate of Fortis Merchant Banking for up to US$1.8 billion.

Fitch recognizes that the current financial profile of the
company may be affected negatively by the underlying financing
structure of this proposed acquisition and that it may result in
an increase in leverage, lower liquidity, and a decrease in
unencumbered revenue generating assets.

Furthermore, depending on the severity of the deterioration in
the current financial profile of the company, ratings may be
downgraded beyond one notch.  Further, depending on the mix of
debt employed, the current notching between the secured and
unsecured senior debt could widen.  Also, the preferred stock
rating could be further notched from the senior unsecured debt.

Interpool, Inc. is one of the world's leading lessors of
intermodal dry containers, and the largest lessor of intermodal
container chassis in the U.S.  The company also has operations
in Barbados.




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


DURA AUTOMOTIVE: Seeks Court Nod for Lease Rejection Procedures
---------------------------------------------------------------
DURA Automotive Systems Inc. and its debtor affiliates, pursuant
to Sections 365 and 554 of the Bankruptcy Code, seek the
approval of the U.S. Bankruptcy Court for the District of
Delaware for an expedited procedure for rejecting executory
contracts and unexpired leases of personal and non-residential
real property.

Mark D. Collins, Esq., at Richards, Layton & Finger, P.A., in
Wilmington, Delaware, relates that the Debtors are in the
process of consolidating their operations, which may require
exiting non-core and unprofitable locations, returning
unnecessary equipment, and terminating burdensome contracts in
order to minimize costs and strengthen the businesses.

In connection therewith, the Debtors anticipate that, in a very
short time, they will seek to reject a number of real property
leases, personal property leases, and executory contracts.
Absent expedited procedures for managing this process, the
Debtors will inevitably suffer delays and resulting
administrative costs, which could be significant, Mr. Collins
avers.

The Debtors request that these procedures be approved in
connection with the rejection of any executory contract, lease,
sublease, or interest in the lease or sublease during the course
of their bankruptcy proceedings:

    a. the Debtors will file a notice to reject any executory
       contract, lease or sublease, or interest in the lease or
       sublease, pursuant to Section 365 and will serve the
       Notice, as well as the deadlines and procedures for
       filing objections to the Notice, via overnight delivery
       service upon:

         (i) the United States Trustee;

        (ii) counsel to the agent to the Debtors' prepetition
             secured lenders;

       (iii) counsel to the agent to the Debtors' postpetition
             secured lenders;

        (iv) counsel to the Official Committee of Unsecured
             Creditors;

         (v) the contract counter-party or landlord(s) affected
             by the Notice, and

        (vi) any other parties-in-interest to the executory
             contract or lease, including subtenants, if any,
             sought to be rejected by the Debtors.

       If the Notice is issued by the Debtors prior to the
       effective date of a plan of reorganization, the affected
       executory contract, lease, sublease or interest in the
       lease or sublease will be deemed to be subject to a
       motion to reject for all purposes.

    b. the Notice will set forth this information, to the best
       of the Debtors' knowledge, as applicable:

         (i) the street address of the real property underlying
             the lease or sublease, the interest in the personal
             property lease or sublease or the type of executory
             contract which the Debtors seek to reject;

        (ii) the Debtors' monthly payment obligation, if any,
             under the contract, lease or sublease or interest
             in the lease or sublease;

       (iii) the remaining term of the contract, lease or
             sublease or interest in the lease or sublease;

        (iv) the name and address of the contract counterparty,
             landlord or subtenant;

         (v) a general description of the terms of the executory
             contract or lease; and

        (vi) a disclosure describing the procedures for fling
             objections, if any.

    c. should a party-in-interest object to the proposed
       rejection by the Debtors of an executory contract, lease
       or sublease, or interest in the lease or sublease, the
       party must file and serve a written objection so that the
       objection is filed with the Court and is actually
       received by these parties no later than 10 days after the
       date the Debtors serve the Notice:

         (i) counsel to the Debtors: Kirkland & Ellis LLP, 200
             East Randolph Drive, Chicago, Illinois 60601, Attn:
             Ryan Blaine Bennett, Esq., and Richards, Layton &
             Finger, One Rodney Square, 920 N, King Street,
             Wilmington, Delaware 19801, Attention: Daniel J.
             DeFranceschi, Esq.;

        (ii) counsel to the Creditors Committee; and

       (iii) the Office of the United State Trustee.

    d. absent an objection, the rejection of the executory
       contract, lease or sublease, or interest in the lease or
       sublease, will become effective 10 days from the date the
       Notice was served on the Service Parties without further
       notice, hearing or order of the Court; provided, however,
       that with respect to leases or subleases for non-
       residential real property, the rejection will become
       effective on the later of:

         (x) the Rejection Date or

         (y) the date the Debtors unequivocally relinquished
             control of the premises to the affected landlord by
             turning over keys or "key codes" to the affected
             landlord.

    e. if a timely objection is filed that cannot be resolved,
       the Court will schedule a hearing to consider the
       objection only with respect to the rejection of any
       executory contract, lease or sublease, or interest in the
       lease or sublease, as to which an objection is properly
       filed and served.  If the Court upholds the objection and
       determines the effective date of rejection of the
       executory contract, lease or sublease, or interest in the
       lease or sublease, that date will be the rejection date.
       If the objection is overruled or withdrawn or the Court
       does not determine the date of rejection, the rejection
       date of the lease, sublease or interest will be deemed to
       have occurred on the Rejection Date or NRP Lease
       Rejection Date, as applicable.

    f. if the Debtors have deposited funds with a lessor or
       contract counterparty as a security deposit or other
       arrangement, the lessor or contract counterparty may not
       set-off for otherwise use the deposit without the prior
       authority of the Court.

    g. with respect to any personal property of the Debtors
       located at any of the premises subject to any Notice, the
       Debtors will remove the property prior to the expiration
       of the period within which a party must file and serve a
       written objection.  If they determine that the value of
       the property at a particular location has a de minimis
       value or cost of removing the property exceeds the
       value of the property, the Debtors will generally
       describe the property in the Notice and, absent a timely
       objection, the property will be deemed abandoned pursuant
       to Section 554, as is, where is, effective as of the date
       of the rejection of the underlying unexpired lease.

The Debtors further request that counterparties to executory
contracts, leases or subleases, or interests in the leases and
subleases that are rejected pursuant to the Rejection Procedures
be required to file a proof of claim relating to the rejection
of the executory contract, lease or sublease, or interest in the
lease or sublease, if any, by the later of:

   (a) the claims bar date established in the Chapter 11 cases,
       if any; and

   (b) 30 days after the Rejection Date.

The Debtors believe that the Rejection Procedures provide a fair
and efficient manner for rejecting contracts, leases, subleases,
and interests in leases and subleases.

Mr. Collins asserts that the Rejection Procedures will enable
the Debtors to minimize their unnecessary postpetition
obligations while also providing parties-in-interest with
adequate notice of lease and contract rejections and an
opportunity to object to the rejection within a definitive time
period.

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. 9;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


GLOBAL CROSSING: Impsat Shareholders Vote to Adopt Merger Pact
--------------------------------------------------------------
IMPSAT Fiber Networks, Inc., disclosed that, at a special
meeting held on Jan. 17, 2007, the company's stockholders
holding in excess of 70% of its outstanding common stock voted
to adopt the merger agreement with Global Crossing Limited, a
Bermuda corporation, under which a subsidiary of Global Crossing
will merge with Impsat.  As a result of the merger, Impsat will
become a wholly owned subsidiary of Global Crossing and cease to
be a public company.  The merger agreement was entered into as
of Oct. 25, 2006.  The consummation of the merger is subject to
regulatory approvals and other customary conditions.  The
transaction is expected to close in the first quarter of 2007.

                    Going Concern Doubt

In its audit report on the consolidated financial statements for
year ended Dec. 31, 2005, auditors working for Deloitte & Touche
LLP noted that IMPSAT Fiber Networks, Inc.'s current liquidity
position, high debt obligations, and negative operating results
raise substantial doubt as to its ability to continue as a going
concern.

                About IMPSAT Fiber Networks

IMPSAT Fiber Networks Inc. -- http://www.impsat.com/-- provides
private telecommunications networks and Internet services in
Latin America.  The company owns and operates 15 metropolitan
area networks in some of the largest cities in Latin America and
has 15 facilities to provide hosting services, providing
services to more than 4,500 national and multinational clients.
IMPSAT has operations in Argentina, Colombia, Brazil, Venezuela,
Ecuador, Chile, Peru and the United States.

                   About Global Crossing

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

At Sept. 30, 2006, Global Crossing Ltd.'s balance sheet
reflected a US$131 million stockholders' deficit.  At
June 30, 2006, the company reported US$1.87 billion in total
assets and US$1.95 billion in total liabilities, resulting to a
stockholders' deficit of US$86 million.  It also reported a
US$173 million stockholders' deficit on Dec. 31, 2005.


REFCO INC: Court Denies Michael McNeil's Stay Request
-----------------------------------------------------
The Hon. Robert D. Drain of the U.S. Bankruptcy Court for the
Southern District of New York denied the request of Michael A.
McNeil to grant a stay on the Dec. 15, 2006 Court order
confirming the Modified Chapter 11 Plan filed by Refco Inc. and
its debtor-affiliates, so that the Debtors' assets would not be
distributed until the Jan. 9 hearing.

Judge Drain said the request is not appropriate under given
circumstances.

Mr. McNeil, a commodity futures customer of Refco F/X Associates
LLC, states that if Judge Drain denies his request, he will be
completing the process of his appeal from the Plan Confirmation
Order to the District Court, to have any of his requests
considered by the appellate court.

           Plan Administrators Supports Denying Stay Motion

Priort to the Court's order, RJM, LLC, as Plan Administrator,
and Marc S. Kirschner, Chapter 11 Trustee of Refco Capital
Markets, Ltd., and acting as the RCM Plan Administrator under
the Modified Plan, ask the Court to deny the Stay Motion because
Mr. McNeil has failed to:

   (a) show that the extraordinary remedy of substantive
       consolidation would be appropriate in the Debtors' cases;

   (b) demonstrate that FXA should be considered a commodity
       broker, and that the Court erred as a matter of fact when
       it found that the Debtors' case presents "unusual
       circumstances" sufficient to permit the Debtors,
       including a Debtor preliminarily adjudged to be broker,
       to be in Chapter 11; or

   (c) prove an entitlement to a constructive trust that would
       prefer him over similarly situated creditors.

Timothy B. DeSieno, Esq., at Bingham McCutchen LLP, in New York,
tells Judge Drain that Mr. McNeil should not be permitted to
jeopardize the myriad debtor-creditor, inter-debtor and inter-
creditor compromises, and releases as embodied in the Plan.
Mr. DeSieno states that since the entry of the Confirmation
Order, the Plan has been substantially consummated.

"This renders Mr. McNeil's appeal moot, further reducing the
chances that Mr. McNeil can prevail on appeal," Mr. DeSieno
states.

In addition, Mr. DeSieno argues that Mr. McNeil has failed to
show any risk of irreparable injury to himself if the requested
stay is not granted.  Mr. DeSieno notes that Mr. McNeil is a
creditor with a US$68,000 claim against FXA and is currently
entitled to all of the benefits afforded under the Plan to
others similarly situated.

Mr. DeSieno further contends that the risks to the settlements
embodied in the Plan would be greatly increased by an indefinite
stay, and the remaining distributions to other FXA creditors and
the other Refco estates would be delayed.  Other creditors in
the
Debtors' Chapter 11 cases should not be the ones to bear those
risks and delays, Mr. DeSieno maintains.

Moreover, Mr. DeSieno avers that Mr. McNeil has failed to show
that the public interest would favor granting a stay.  Indeed,
Mr. DeSieno points out, the interests of the bulk of creditors
in the Debtors' case would be harmed, not served, by the
requested stay.

In the unlikely event that the Court is inclined to grant a
stay, the Administrators insist that Mr. McNeil should be
required to post a bond to protect the thousands of other
creditors against the harm that will befall them if Mr. McNeil
is unsuccessful in his appeal.

The Administrators maintain that the creditors must await the
resolution of Mr. McNeil's appellate litigation order to receive
their Plan-specified distributions.

                      About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).

Refco Commodity Management, Inc., formerly known as CIS
Investments, Inc., a debtor-affiliate of Refco Inc., filed for
chapter 11 protection on Oct. 16, 2006 (Bankr. S.D.N.Y. Case No.
06-12436).  (Refco Bankruptcy News, Issue No. 54; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)

                        Plan Update

On Sept. 14, 2006, Refco, Inc., and 25 of its subsidiaries,
along with Marc S. Kirschner, the Chapter 11 Trustee for the
estate of Refco Capital Markets, Ltd., delivered a Chapter 11
plan of reorganization and accompanying Disclosure Statement to
the Court.

On Oct. 10, 2006, the Debtors filed an Amended Plan and
Disclosure Statement and on Oct. 13, filed a Modified Amended
Disclosure Statement.  On Oct. 16, 2006, the Court gave its
tentative approval on the Disclosure Statement and the Court
Clerk entered an order on Oct. 20, 2006.

On Dec. 15, the Modified Joint Chapter 11 Plan of Refco Inc. and
certain of its direct and indirect subsidiaries, including Refco
Capital Markets, Ltd., and Refco F/X Associates LLC, was
confirmed by the Court.  That Plan became effective on
Dec. 26, 2007.


REFCO INC: Court Directs Grant Thornton to Produce Documents
------------------------------------------------------------
The Hon. Robert D. Drain of the U.S. Bankruptcy Court for the
Southern District of New York granted the request of Joshua R.
Hochberg, the duly appointed examiner in Refco Inc. and its
debtor-affiliates' Chapter 11 cases, to compel Grant Thornton
LLP to produce certain documents under its custody.

The Lead Plaintiff's objection is overruled.

Judge Drain requires Grant Thornton to produce the documents on
or before the date that is 20 days after service of subpoenas
compelling the production as authorized by the Order.

Absent further Court order, the documents designated as
"Confidential" and produced in response to the subpoenas will or
may be made available to, and may be reviewed by:

   (a) the Examiner and attorneys McKenna Long & Aldridge LLP,
       which has been retained by the Examiner to aid in the
       discharge of his duties;

   (b) consultants retained by the Examiner;

   (c) attorneys employed by Milbank, Tweed, Hadley & McCloy,
       LLP, counsel to the Official Committee of Unsecured
       Creditors;

   (d) consultants retained by the Committee, the Additional
       Official Committee of Unsecured Creditors or the Joint
       Subcommittee, including Houlihan Lokey Howard and Zukin,
       FTI Consulting Inc. and Alix Partners;

   (e) attorneys employed by Kasowitz, Benson, Torres & Friedman
       LLP, conflicts counsel to the Committee and counsel to
       the Additional Official Committee;

   (f) attorneys employed by Skadden, Arps, Slate, Meagher &
       Flom LLP, counsel to the Refco Debtors;

   (g) consultants employed by the Debtors, including Goldin
       Associates, LLC, and any of the consultants;

   (h) Marc S. Kirschner, the Chapter 11 Trustee of Refco
       Capital Markets, Ltd., and Bingham McCutchen LLP;

   (i) consultants retained by the RCM Trustee;

   (j) the United States Attorney's Office for the Southern
       District of New York; and

   (k) individuals who have been noticed for depositions,
       scheduled for interviews, or subpoenaed for testimony at
       a trial or hearing.

The production, review and handling of the Documents and
materials produced in response to the Subpoenas will be governed
by the terms of a protective order governing the production and
use of confidential material.

The Examiner believes that Grant Thornton is likely in
possession of documents detailing:

   (i) the procedures and policies applicable to audits and
       reviews performed on the Debtors' financial statements
       from Aug. 1, 2002, to Nov. 30, 2005; and

  (ii) the activities of individual Grant Thornton members,
       professionals, and staff in connection with the audits or
       reviews during the period.

Grant Thornton became the auditor for several of the Refco
companies from August 2002 through the Petition Date.  Grant
Thornton also conducted quarterly reviews of the Debtors'
financial statements.

For a significant period of time prior to becoming Refco's
auditor, Grant Thornton served as tax accountants to Phillip
Bennett, Refco's chairman and chief executive officer.

Based on his understanding of standard practice in the
accounting industry, the Examiner believes it is likely that
other members of Refco's senior management may have been tax
clients of Grant Thornton or may have received tax-related
information or services from the firm as well.

The Examiner states that the documents and information could
have a significant impact on his assessment of the potential
existence of claims against those within the scope of his
investigation.

The Examiner reserves his right to seek depositions at a future
date and to serve requests for supplemental and additional
documents.

A schedule of the Documents to be produced by Grant Thornton is
available at no charge at http://researcharchives.com/t/s?1894

           Brokerage Customer Class Plaintiffs Object

The Court-appointed lead plaintiff in In re Refco Capital
Markets, Ltd. Brokerage Customer Securities Litigation, 06-CIV
643 (GEL), pending in the U.S. District Court for the Southern
District of New York opposes to the Motion to the extent that it
does not enumerate the Lead Plaintiff's counsel -- Cole, Schotz,
Meisel, Forman & Leonard, P.A., and Kirby McInerney and Squire,
LLP -- as one of the several parties which will be permitted
access to the Documents under certain restrictions.

The Lead Plaintiff wants the proposed order expanded to provide
its Lead Counsel the same access to the Documents as the other
listed entities.

                      About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).

Refco Commodity Management, Inc., formerly known as CIS
Investments, Inc., a debtor-affiliate of Refco Inc., filed for
chapter 11 protection on Oct. 16, 2006 (Bankr. S.D.N.Y. Case No.
06-12436).  (Refco Bankruptcy News, Issue No. 54; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)

                        Plan Update

On Sept. 14, 2006, Refco, Inc., and 25 of its subsidiaries,
along with Marc S. Kirschner, the Chapter 11 Trustee for the
estate of Refco Capital Markets, Ltd., delivered a Chapter 11
plan of reorganization and accompanying Disclosure Statement to
the Court.

On Oct. 10, 2006, the Debtors filed an Amended Plan and
Disclosure Statement and on Oct. 13, filed a Modified Amended
Disclosure Statement.  On Oct. 16, 2006, the Court gave its
tentative approval on the Disclosure Statement and the Court
Clerk entered an order on Oct. 20, 2006.

On Dec. 15, the Modified Joint Chapter 11 Plan of Refco Inc. and
certain of its direct and indirect subsidiaries, including Refco
Capital Markets, Ltd., and Refco F/X Associates LLC, was
confirmed by the Court.  That Plan became effective on
Dec. 26, 2007.


TEKSID ALUMINUM: Moody's Cuts Corporate Family Rating to Ca
-----------------------------------------------------------
Moody's Investors Service downgraded the Corporate Family Rating
of Teksid Aluminum Ltd. to Caa3 from Caa1 and the senior
unsecured rating of Teksid Aluminum Luxembourg Sarl SCA to Ca
from Caa3.

The ratings remain on review with an uncertain direction; the
rating review was initiated on Nov. 3, 2006.

The downgrade of the Corporate Family Rating by two notches
reflects the company's announcement that it did not make the
interest payment due on Jan. 15 on the 11 3/8% Senior Notes
maturing in 2011 issued by Teksid Aluminum Luxembourg Sarl and
that it will not be in compliance with certain financial
covenants of its bank facility in the fourth quarter of 2006 and
remaining uncertainty about the ultimate recovery value that
might be achieved.  The downgrade of the senior unsecured rating
from Caa3 to Ca incorporates Moody's expectation that the
recovery value for the notes could be significantly higher than
the recovery of a "C"--rated instrument.

In November 2006 the company announced that it had entered into
a definitive agreement to sell certain core assets to Tenedora
Nemak, S.A. de C.V and that it intended to redeem its
outstanding liabilities with the proceeds of the asset disposal.
The deal, which will be closed in the first quarter of 2007, is
subject to various conditions, including the receipt by the
seller of certain consents and waivers from TK Aluminum's
bondholders as well as other customary conditions, including
regulatory approvals.  In addition, the company is in
negotiations with other investors to dispose of its remaining
operations.

Moody's understands that, given the continuous need to fund
ongoing losses of the underlying operations, working capital
needs, capital expenditures and restructuring of the remaining
businesses until closing of the deal, the company has initiated
additional measures to avoid disruptions of the ongoing
operations, namely negotiations of a bridge financing.

Moody's rating review with direction uncertain reflects the
possibility that prospective recovery values for the bondholders
may be higher than would typically be expected for the current
rating category, provided in particular that the Tenedora Nemak
deal is closed on time under the conditions agreed.  However,
the review also takes into account the uncertainty regarding
final recovery values given that closing of the deal is subject
to various conditions, the challenge to fund continuous
liquidity needs of the operations until the deal is closed and
final payments will be received.  In addition, the review
considers potential additional liquidity needs for operating and
restructuring needs of the remaining operations until final
agreements for their disposal will be made.

Downgrades:

   * TK Aluminum Ltd

     -- Corporate Family Rating, Downgraded to Caa3 from Caa1

   * Teksid Aluminum Luxembourg Sarl SCA

     -- Senior Unsecured Regular Bond/Debenture, Downgraded to
        Ca from Caa3

Teksid Aluminum Ltd., a Bermuda-based company with corporate
offices in Carmagnola, Italy, is a leading global supplier of
aluminium casting components for the automotive industry
worldwide.  For the twelve months ended December 2005, the
company generated net revenues of EUR1.001 billion.




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


PETROLEO BRASILEIRO: Bids for Gas Export Contract with Bolivia
--------------------------------------------------------------
Petroleo Brasileiro SA, the state-run oil firm of Brazil, has
presented a bid for a share of a multibillion contract with
Bolivia to export natural gas to Argentina, Reuters reports.

Reuters relates that Bolivia signed in October 2006 a 20-year
deal to increase the amount of natural gas it exports to
Argentina from a maximum of 7.7 million cubic meters a day
starting in 2010.

Bolivian state oil Yacimientos Petroliferos Fiscales Bolivianos
said in a statement that eight firms would compete to supply the
natural gas.  The bidders include:

          -- Petroleo Brasileiro,
          -- Repsol,
          -- BG Group Plc,
          -- Dong Won,
          -- Canadian Energy,
          -- Pluspetrol,
          -- Vintage, and
          -- Chaco SA.

France's Total is out of the bidding process as it didn't submit
all the required information, Reuters notes, citing Yacimientos
Petroliferos.

According to Reuters, the Bolivian government will disclose the
bidding results on Jan. 19.

Reuters underscores that Bolivian officials said last year that
the deal with Argentina was worth over US$50 billion and that
Yacimientos Petroliferos needed investments of US$1 billion,
mainly to fulfill the new export contract.

Another US$1 billion may be needed to construct a gas pipeline
linking Bolivia with Northeastern Argentina, experts told
Reuters.

The winning bidders will be required to invest heavily to boost
their production capacity, Reuters states.

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.


YPF SA: Repsol Bids for Gas Export Contract with Bolivia
--------------------------------------------------------
Repsol, YPF SA's parent firm, has presented a bid for a share of
a multibillion contract with Bolivia to export natural gas to
Argentina, Reuters reports.

Reuters relates that Bolivia signed in October 2006 a 20-year
deal to increase the amount of natural gas it exports to
Argentina from a maximum of 7.7 million cubic meters a day
starting in 2010.

Bolivian state oil Yacimientos Petroliferos Fiscales Bolivianos
said in a statement that eight firms would compete to supply the
natural gas.  The bidders include:

          -- Repsol,
          -- Petroleo Brasileiro,
          -- BG Group Plc,
          -- Dong Won,
          -- Canadian Energy,
          -- Pluspetrol,
          -- Vintage, and
          -- Chaco SA.

France's Total is out of the bidding process as it didn't submit
all the required information, Reuters notes, citing Yacimientos
Petroliferos.

According to Reuters, the Bolivian government will disclose the
bidding results on Jan. 19.

Reuters underscores that Bolivian officials said last year that
the deal with Argentina was worth over US$50 billion and that
Yacimientos Petroliferos needed investments of US$1 billion,
mainly to fulfill the new export contract.

Another US$1 billion may be needed to construct a gas pipeline
linking Bolivia with Northeastern Argentina, experts told
Reuters.

The winning bidders will be required to invest heavily to boost
their production capacity, Reuters states.

YPF SA is an integrated oil and gas company engaged in the
exploration, development and production of oil and gas and
natural gas and electricity-generation activities (upstream),
the refining, marketing, transportation and distribution of oil
and a range of petroleum products, petroleum derivatives,
petrochemicals and liquid petroleum gas (downstream). Repsol,
which holds 99.04% of YPF's shares, controls YPF.

                        *    *    *

Fitch Ratings assigned BB+ long-term issuer default rating on
YPF SA.  Fitch said the outlook is stable.

Moody's Investors Service assigned these ratings on YPF SA:

          -- B2 long-term foreign currency corporate family
             rating; and

          -- Ba2 foreign currency senior unsecured rating;

Moody's said the outlook is negative.


* BOLIVIA: Nine Hydrocarbon Firms Bid to Supply Oil in Argentina
----------------------------------------------------------------
Yacimientos Petrol¡feros Fiscales de Bolivia Pres. Juan Carlos
Ortiz said that nine hydrocarbon companies have expressed their
interest in supplying natural gas to Argentina, Prensa Latin
reports.

These companies presented their proposals:

   -- Don Won,
   -- Canadian Energy,
   -- Plus Petrol,
   -- Vintage,
   -- Chaco,
   -- Petrobras Bolivia,
   -- Total,
   -- Repsol YPF, and
   -- BG Bolivia Corp.

Pres. Ortiz told Prensa Latin that Andina, Petrobras Ebergia and
MatPetrol did not join in the bidding due to concerns that they
do not have enough additional gas supply and that are already
committed to the internal market and exports to Brazil.

According to the same report. The companies are required to
supply 7.7 million cubic meters of gas per day to Argentina for
this year, which will account to total sales of US$32.3 billion
to Bolivia in 2026.


                        *    *    *

Fitch Ratings assigned these ratings on Argentina:

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


                        *    *    *

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: IDB Grants US$10-Mil. Loan for Community Development
---------------------------------------------------------------
The Inter-American Development Bank approved a US$10 million
concessional loan to Bolivia for a program to support a social
safety net and community development in three rural regions and
one urban district.

Investments will be made in rural communities in the country's
31 poorest municipalities, in the departments of Cochabamba,
Chuquisaca and Potos¡, and in one urban district of the city of
El Alto.

The program will improve living standards for the extremely poor
by strengthening their community-based organization capacity and
ensuring access to basic infrastructure and social services and
more opportunities for individual and community development.

This operation will develop and test a new model to strengthen
the self-management capacity of the communities in identifying,
prioritizing, executing and monitoring projects for social
protection and integral community development.  It will also
develop institutional framework for implementing social
protection and community development policies.

The new model, conceived by the Government of Bolivia, was
designed to strengthen self-management capacity through
community mobilization and participation in defining and
managing measures that will benefit local people.  The program
will transfer funds to the communities to finance productive,
social and environmental investments in return for a community
commitment to targets for improving human development
indicators.

"Within a framework that fosters an integral approach to social
development, the program will promote the coordination and
articulation of governmental agencies at all levels (central,
departmental and municipal), non-governmental organizations and
the bilateral cooperation," said IDB Team Leader Marcia Arieira.
"This will promote synergies and complementary multisectoral
action, maximizing existing resources to improve overall
conditions in the social, economic and environmental areas and
to bring services to these communities that had not been
accessible so far."

"This initiative will support improvements in environmental and
sanitary conditions, the quality of schools and health
facilities, and the productive capacity of these areas," added
Ms. Arieira.  "Farming and small-scale livestock projects are
expected to help improve nutrition for poor families.  Access to
social services will improve immunization, prenatal care, the
monitoring of malnutrition in children under six and increase
school attendance, particularly for girls, in those
communities."

It is estimated that the program will reach around 90,000 direct
beneficiaries in 450 rural communities.  In urban communities of
El Alto, the pilot project is expected to benefit around 2,800
people.

This program is consistent with the IDB 2004-2007 strategy
agreed with Bolivia to support the country in its efforts to
reduce poverty in a sustainable manner.  The Ministry of
Development and Planning will carry out the project.

This loan from the IDB Fund for Special Operations is for a 40-
year period, with a 10-year grace period with a variable
interest rate. Local counterpart funds will total US$558,000.

                        *    *    *

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
===========


AES CORP: Unit Raises BRL800MM in 10-Year Local Currency Bonds
--------------------------------------------------------------
Published reports say that Brasiliana de Energia, AES Corp.'s
Brazilian power holding unit, has raised BRL800 million in
10-year local currency bonds.

Business News Americas relates that Brasiliana de Energia will
use the bond money to pay the promissory notes it issued in
October 2006.

The promissory notes were used to pay down AES IHB eurobonds.
The payment of promissory notes were aimed at allowing
Brasiliana Energia to release revenue and shares given in
guarantees for the eurobond issue, BNamericas says, citing debt
prospectus.

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.


ALERIS INT'L: TPG Affiliates Complete US$3.3-Billion Acquisition
----------------------------------------------------------------
Affiliates of Texas Pacific Group completed the acquisition of
Aleris International Inc.

As reported in the Troubled Company Reporter on Aug. 9, 2006,
Aleris entered into a definitive merger agreement, under which
Texas Pacific Group will acquire all of the outstanding stock of
Aleris International for approximately US$1.7 billion plus the
assumption of or repayment of approximately US$1.6 billion of
debt.  The company's stockholders will receive US$52.50 in cash
for each share of Aleris common stock.

Steve Demetriou, chairman and chief executive officer, said, "We
are very pleased to complete this transaction with TPG which has
created significant value for shareholders while positioning
Aleris with a partner committed to our continued growth as a
private company."

The company's common stock will cease trading on the New York
Stock Exchange and will be delisted.  As soon as practicable, a
paying agent appointed by TPG will send information to all
company stockholders of record, explaining how they can
surrender company stock in exchange for US$52.50 per share in
cash without interest.  Stockholders of record should await this
information before surrendering their shares.

Stockholders who hold shares through a bank or broker will not
have to take any action to have their shares converted into cash
because the conversions will be handled by the bank or broker.

                         About TPG

Texas Pacific Group -- http://www.tpg.com-- is a private
investment partnership, which currently has more than US$30
billion of assets under management.  With offices in San
Francisco, London, Hong Kong, Fort Worth and other locations
globally, TPG has extensive experience with global public and
private investments executed through leveraged buyouts,
recapitalizations, spinouts, joint ventures and restructurings.

                About Aleris International

Headquartered in Beachwood, Ohio, Aleris International, Inc.
(NYSE: ARS) -- http://www.aleris.com/-- manufactures rolled
aluminum products and is a global leader in aluminum recycling
and the production of specification alloys.  The company also
manufactures value-added zinc products that include zinc oxide,
zinc dust and zinc metal.  The Company operates 42 production
facilities in the United States, Brazil, Germany, Mexico and
Wales, and employs approximately 4,200 employees.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 21, 2006,
Standard & Poor's Ratings Services affirmed its 'B+' loan and
'2' recovery ratings on the senior secured first-lien term loan
of Aleris International Inc., after the report that the company
increased the term loan by US$125 million.  With the add-on, the
total amount of the facility is now US$1.23 billion.


BANCO NACIONAL: Sponsors Fashion Business 2007
----------------------------------------------
Banco Nacional Desenvolvimento Economico e Social aka BNDES
will, for the first time, sponsor the Fashion Business 2007, the
ninth edition of the business fair of the confection sector from
Jan. 16 to Jan. 19 at Marina da Gloria.

BNDES' objective is to consolidate the support to the clothing
industry that, in 2005, encompassed approximately 19,000
companies, totaling 1.2 million employed people, according to
the Institute of Industrial Marketing and Studies.  The
confection sector is formed, in its majority, by micro, small
and medium-sized companies -- BNDES' priority segment.

Those businessmen present at the event will learn about the
financing products in the Bank's booth set up at the fair, with
highlights to the BNDES Card.  Specifically made for micro and
small-sized companies, it regards to a rotating credit of up to
BRL250,000 allocated for the purchasing of products registered
in the Card's portal.  The financing may be paid in up to 36
equal and fixed installment payments, and January's rate is
1.07% per month.  The companies of the confection sector may use
the BNDES Card for the purchasing of textile industrial inputs.

For the fair, 160 buyers from 25 different Brazilian States are
already scheduled.  There is also a group of 30 importers from
16 different countries from four continents that were invited by
the event's organization, under the TexBrasil project, from APEX
Brasil and from Brazilian Confection and Textile Industry
Association or ABIT for the insertion of the Brazilian fashion
within the international market.  Probably, a group of 60 to 70
importers will come on their own.  During the last 2006 Fall-
Winter edition, the sales for the internal market summed up to
BRL304 million and closed deal exportations during the event
amounted to US$11 million.

BNDES has been playing a very important role to leverage the
competitiveness of the confection sector in the internal and
external markets.  Recently, it approved the financing line for
production directed towards exports (pre-shipment modality),
100% indexed under TJLP - Long Term Interest Rate for the
textile industry (including confections).  Before, a portion of
the financing was entailed to currency exchange fluctuations,
under the format of a bundle of currencies.

Besides benefiting from the review of BNDES' operational
policies, which reduced the basic spread, and the TJLP drop to
6.5% per year, it was instituted for the sector, a specific
financing line for equipment importation, in the amount of up to
US$3 million per financing.

Also, in August last year, BNDES launched a program for the
industrial sector's company competitiveness called Procomp, for
the purpose of financing the working capital of the industrial
sector companies for up to 100% of the amount of investments
made in the last three years, limiting it up to 10% of the gross
operational income.  The rates and the payment limit dates
offered by the program are better than those available in the
market and the operations with micro, small and medium-sized
companies are inserted the financial intermediation rate.

The manufacturer's concentration in local productive
arrangements -- micro-companies arranged into productive
centers, such as the undergarments clothing center in the city
of Nova Friburgo (State of Rio de Janeiro), for example -- is
favored by BNDES' support in less conventional modalities.  The
support to design development, which role is evermore greater in
industrial competition may be supported under the Innovation
Program.

In 2006, BNDES' support to the confection sector reached BRL64.2
million, from which BRL22.7 million were directed to micro and
small-sized companies; BRL26.5 million for medium-sized
companies; and BRL19.4 million for large-sized companies.

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/--


COMPANHIA SIDERURGICA: Sees 10% Share in Long Steel Market
----------------------------------------------------------
Companhia Siderurgica Nacional said in a report that it expects
to hold up to 10% share of the long steel market in Brazil once
it starts operations in that sector.

Business News Americas relates that Companhia Siderurgica will
invest US$113 million in a 500,000-ton-per-year long steel plant
to be deployed in Rio de Janeiro.  The plant, which will start
operating in 18 months, will produce 300,000 tons per year of
rebar and 125,000 tons per year of wire rods in addition to
75,000 tons per year of profiles.

Companhia Siderurgica expects to secure an 8% share of the rebar
market.  The firm also aims to hold 7% of Brazil's wire rod
markets, 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 United
States.

                        *    *    *

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)'.


GERDAU AMERISTEEL: S&P Places BB Rating on Positive Watch
---------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings, including
its 'BB' corporate credit rating, on Tampa, Fla.-based Gerdau
Ameristeel Corp. on CreditWatch with positive implications.

"The action reflects Gerdau's improved business and financial
profile and healthy industry conditions," said Standard & Poor's
credit analyst Marie Shmaruk.  "With several years of strong
steel prices, Gerdau has been able to improve its capital
structure, resulting in very strong credit metrics, while
concurrently diversifying its operations and mix. The placement
also reflects our expectations for reasonable, albeit lower,
pricing to continue for the near-to- intermediate term."

Although the steel industry is cyclical, volatile and subject to
the constant threat of imports, the ongoing consolidation should
result in more price stability.

"We remain concerned about the continued growth of global steel
capacity and its ability to find its way to domestic markets,"
Ms. Shmaruk.  "However, Gerdau's improved profile should enable
it to better manage future downturns."

In resolving the CreditWatch, Standard & Poor's will review the
company's 2007 operating and capital plans, and evaluate the
sustainability of its strong financial condition over a range of
business conditions.

Gerdau Ameristeel, Gerdau SA's subsidiary, is the second largest
mini-mill steel producer in North America with annual
manufacturing capacity of over 9.0 million tons of mill finished
steel products.  Through its vertically integrated network of 17
mini-mills (including one 50% owned joint venture mini-mill), 17
scrap recycling facilities and 50 downstream operations, Gerdau
Ameristeel serves customers throughout North America.  The
company's products are generally sold to steel service centers,
steel fabricators, or directly to original equipment
manufactures for use in a variety of industries, including
construction, cellular and electrical transmission, automotive,
mining and equipment manufacturing.  The common shares of Gerdau
Ameristeel are traded on the New York Exchange under the symbol
GNA and on the Toronto Stock Exchange under the symbol GNA.

                        About Gerdau

Headquartered in Porto Alegre, Brazil, Gerdau SA --
http://www.gerdau.com.br/-- produces and distributes crude
steel and related long rolled products, drawn products, and long
specialty products.  In addition to Brazil, Gerdau operates in
Argentina, Canada, Chile, Colombia, Uruguay and the United
States.


GREIF INC: Soliciting Consents to Waive Events of Default
---------------------------------------------------------
Greif Inc. is commencing an offer to purchase and a consent
solicitation for any and all of its outstanding 8-7/8% Senior
Subordinated Notes due 2012 with aggregate principal amount
currently outstanding of around US$242.6 million.

The offer to purchase will expire at midnight, New York City
time, on Feb. 8, 2007.  The consent solicitation will expire at
5 p.m., New York City time, on Jan. 25, 2007.

Holders tendering their notes will be deemed to have delivered
their consent to certain proposed amendments to the notes and
the indenture governing the notes, which will eliminate, among
other things, substantially all of the restrictive covenants and
certain events of default in the indenture.

The purchase price for each US$1,000 principal amount of notes
tendered and not validly withdrawn on or prior to the expiration
date of the offer to purchase will be US$1,028.36 plus unpaid
interest on the principal amount of the notes accruing to, but
not including, the payment date.  In addition to the purchase
price, Greif will make a consent payment of US$30 for each
US$1,000 principal amount of notes for which consents have been
delivered on or prior to the expiration date of the consent
solicitation.

The offer to purchase and consent solicitation conditions
include a majority of the aggregate principal amount of notes
outstanding being tendered on or prior to the consent date, a
refinancing condition, and the execution of a supplemental
indenture on or prior to the acceptance date implementing the
proposed amendments.

Deutsche Bank Securities Inc. is the dealer manager for the
offer to purchase and the solicitation agent for the consent
solicitation.  Questions or requests for assistance and
documentation may be directed to Deutsche Bank Securities Inc.,
60 Wall Street, New York, N.Y. 10005, Attn: Christopher White at
(212) 250-6008, or to the information agent for the offer to
purchase and consent solicitation, MacKenzie Partners, Inc., 105
Madison Avenue, New York, NY 10016, at (800) 322-2885 or
(212) 929-5500 (call collect).

Headquartered in Delaware, Ohio, Greif, Incorporated, (NYSE:
GEF, GEF.B) -- http://www.greif.com/-- produces steel, plastic,
fibre, corrugated and multiwall containers, protective packaging
and containerboard, and provides blending and packaging services
for a wide range of industries.  The company also manages timber
properties in North America and is positioned in more than 40
countries to serve global as well as regional customers.  The
company has operations in Australia, Argentina, Brazil, Belgium,
China, Malaysia, among others.

                        *    *    *

As reported in the Troubled Company Reporter-Europe on Nov. 3,
2006, Moody's Investors Service, in connection with the
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the U.S. manufacturing sector,
confirmed its Ba2 Corporate Family Rating for Greif,
Incorporated, as well as revised its rating on the company's
US$250 million 8.875% senior subordinate notes due 2012 to Ba3
from B1.  Those debentures were assigned an LGD5 rating
suggesting lenders will experience an 82% loss in the event of
default.


METSO OYJ: Paper Unit to Supply EUR30MM Equipment to Stora Enso
---------------------------------------------------------------
Metso Paper, a unit of MEtso Oyj, will supply Stora Enso's
Varkaus mill in Finland with an extensive rebuild of their PM 3
fine paper machine.  Metso will also modernize the PM 1 at Stora
Enso's Nymoella, Sweden mill.

The projects will be finalized in late 2007.  The total value of
the orders is more than EUR30 million. The orders have been
booked in the order book for the first quarter of 2007.

The Varkaus PM 3 delivery comprises of a wire section
modernization, modifications to the press and dryer sections, a
new winder, and a rewinder.  The operation will improve the
machine's efficiency and its competitive position. It has a wire
width of 8,470 mm and a speed of 1,200 m/min.  For Nymolla PM 1
Metso Paper will supply a headbox dilution system.

Stora Enso is an integrated paper, packaging, and forest
products company, producing publication and fine paper,
packaging board, and wood products. Stora Enso's sales totaled
EUR13.2 billion in 2005.  The Group has some 46 000 employees in
more than 40 countries.  The Varkaus mill produces some 600,000
tpy of wood-containing printing papers and woodfree fine papers.

                        About Metso

Headquartered in Helsinki, Finland, Metso Corp. --
http://www.metso.com/-- is a global engineering and technology
corporation with 2005 net sales of around EUR4.2 billion.  Its
22,000 employees in more than 50 countries serve customers in
the pulp and paper industry, rock and minerals processing, the
energy industry and selected other industries.

The company's principal production plants are located in Brazil,
China, Finland, France, Germany, India, Italy, South Africa,
Sweden, the United Kingdom and the United States.

                        *     *     *

As reported in the TCR-Europe on April 11, 2006, Standard &
Poor's Ratings Services revised its outlook on Finland-based
machinery and engineering group Metso Corp. to positive from
stable, reflecting improvements in the group's operating
performance and capital structure that offer it the potential to
return to a low investment-grade rating.  The 'BB+' long-term
and 'B' short-term corporate credit ratings, as well as the 'BB'
senior unsecured debt rating on the group were affirmed.


PETROLEO BRASILEIRO: Launches Operations at Manati Gas Field
------------------------------------------------------------
Petroleo Brasileiro SA, the state oil company of Brazil, said in
a statement that it has started operations at the shallow-water
Manati gas field along with its partners.

Business News Americas relates that Manati is in the Camamu-
Almada basin in Bahia.  Queiroz Galvao operates the field with a
55% stake.  Petroleo Brasileiro holds 35% of the field and Norse
Energy owns 10%.

According to Petroleo Brasileiro's statement, initial production
at Manati gas field was three million cubic meters per day.

Petroleo Brasileiro told BNamericas that production at Manati
gas field started after operations at the onshore gas processing
plant were stabilized.

The consortium expects the Manati gas field to reach full
capacity of six million cubic meters per day by the end of this
year, BNamericas notes, citing Petroleo Brasileiro.

BNamericas emphasizes that investments in the Manati gas field
are estimated at BRL1 billion.

The start of production at the field will let Bahiagas, the
Bahia state-controlled gas distribution firm, increase sales and
meet demand in the state, BNamericas states.

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.


SANMINA-SCI: 10-K Filing Prompts Moody's to Affirm Low-B Ratings
----------------------------------------------------------------
Moody's has confirmed the Ba3 corporate family rating for
Sanmina -- SCI Corp. after Sanmina's recent filing of its fiscal
2006 Form 10-K with the U.S. Securities and Exchange Commission.

At the same time, Moody's has revised the outlook to stable and
lowered the company's liquidity rating to SGL-2.

The filing has brought Sanmina in compliance with covenants per
its borrowing program and removed Moody's concern over the
company's liquidity, caused by the delay of filing of its
financial statements.  As part of the filing, Sanmina restated
financial statements for the past 9 fiscal years for a
cumulative amount of US$224 million due to backdating of stock
options. However, Moody's understands that cash impact is
minimal from the restatement.

The stable outlook reflects Moody's expectation that potential
liability, if any, that may arise from derivative lawsuits
surrounding the options backdating should be sufficiently
covered by the company's insurance policies as well as the
expectation that Sanmina should be at least free cash flow
neutral in fiscal 2007.  Deviations from such expectations may
cause Moody's to re-examine Sanmina's outlook.  This concludes
the review process on Sanmina's rating commenced in August 2006.

The recent downgrade of Sanmina's corporate family rating to Ba3
from Ba2 reflects the uncertainty surrounding the company's
evolving business model, its weak financial performance, and
deterioration in credit metrics.

Sanmina generated negative free cash flow of US$470 million in
fiscal 2006 as a result of declining funds from operations and a
sizable increase in working capital.  Given the contraction in
cash flow generation and significant reduction in its cash
balance, Moody's revised Sanmina's liquidity rating to SGL-2
from SGL-1.  Sanmina's business model appears to be in
transition as the company searches for a more sustainable and
profitable model in terms of product mix and strategic
initiatives.

Sanmina recently reported scaling back its ODM initiative, which
caused inventory write-off for Q4 2006 further impacting
profitability.  Factors supporting Sanmina's Ba3 rating include
Sanmina's size, its tier one status in the EMS industry,
generally favorable outsourcing trend by the OEMs, growing
diversity in Sanmina's end markets served, and the company's
strength in some of the newer industries such as medical and
defense industries.

The stable outlook reflects Moody's expectations that Sanmina's
credit profile is unlikely to change significantly over the
intermediate term.

These ratings were confirmed:

   -- Corporate family rating at Ba3;

   -- Probability-of-default rating at Ba3;

   -- US$400 million senior subordinated notes due 2013 at B2,
      LGD5, 85%;

   -- US$600 million senior subordinated notes due 2016 at B2,
      LGD5, 85%;

   -- US$600 million senior unsecured term loan due 2008 at Ba3,
      LGD3, 45%;

This rating was revised:

   -- Speculative grade liquidity rating to SGL-2 from SGL-1.

Sanmina-SCI Corp., headquartered in San Jose, California, is one
of the largest electronics contract manufacturing services
companies providing a full spectrum of integrated, value added
solutions.  In Europe, the company has operations in Finland,
France, Ireland, Germany, Sweden, Hungary, and Spain. In Latin
America, it operates in Brazil and Mexico.


TELE NORTE: Offering Direct Employment to Outsourced Workers
------------------------------------------------------------
Tele Norte Leste Participacoes has decided to offer direct
employment to almost 1,000 outsourced workers, Valor Online
reports.

Business News Americas relates that as part of a continuous
evaluation of its internal processes and structures, Tele Norte
has been monitoring the outsourced workers at its Rio de Janeiro
network management center.

Tele Norte decided to offer direct contracts to almost all of
the outsourced workers, BNamericas states.

Headquartered in Rio de Janeiro, Brazil, Tele Norte Leste
Participacoes SA -- http://www.telemar.com.br-- is a provider
of fixed-line telecommunications services in South America.  The
company markets its services under its Telemar brand name.  Tele
Norte's subsidiaries include:

          -- Telemar Norte Leste SA,
          -- TNL PCS SA,
          -- Telemar Internet Ltda., and
          -- Companhia AIX Participacoes SA.

                        *    *    *

As reported on Aug. 21, 2006, Fitch Ratings upgraded Tele Norte
Leste Participacoes SA's foreign currency issuer default rating
to 'BB+' from 'BB'.


* BRAZIL: IDB Grants US$960,000 to State Water & Sewerage Co.
-------------------------------------------------------------
The Inter-American Development Bank approved a US$960,000 grant
to Rio de Janeiro's State Water and Sewerage Company or CEDAE to
prepare a program to improve its commercial management and
operational efficiency.

This technical cooperation operation, with resources from the
Japanese Trust Fund for Consultancy Services at the IDB, will
help improve living conditions for the population in
metropolitan Rio de Janeiro by raising the quality of sanitation
services and social and environmental conditions.

"The program will assist the government of the State of Rio in
identifying and designing actions to provide a better water
service at a more equitable price and to promote the sustainable
development of the water sector in the state," said IDB Team
Leader Hugo de Oliveira. "Moreover, the program will integrate
other natural resources management initiatives in the region and
help coordinate the decision-making process at the state and
local government levels."

The institutional, operational, economic and financial
modernization of CEDAE will enable the company to improve the
quality of sanitation services as well as to implement a second
phase of the Guanabara Bay Pollution Abatement Program initiated
in 1994.

CEDAE, a state-owned public utility, covers 62 of the 91
municipalities of the state of Rio de Janeiro, with a population
of 14.7 million.  The majority of customers are concentrated in
the Greater Rio region comprised by the city and nine other
municipalities.

The Japanese Trust Fund for Consultancy Service or JCF was
established at the IDB in 1995 by the Japanese Government.  It
provides non-reimbursable resources for technical services to
prepare and implement IDB-supported projects in all sectors and
in all the Bank's borrowing member countries.  Projects
supported by the fund have used Japanese expertise in
environmental conservation, natural disaster prevention and
mitigation, infrastructure, health, business and finance.

Local counterpart funds for the project will total US$240,000.

                        *    *    *

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.




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


ABN GUAJIRA: Proofs of Claim Filing Deadline Is on Jan. 29
----------------------------------------------------------
ABN Guajira Leasing Company's creditors are required to submit
proofs of claim by Jan. 29, 2007, to the company's liquidators:

          Linburgh Martin
          Jeff Arkley
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

ABN Guajira'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.

Parties-in-interest may contact:

          Neil Gray
          Close Brothers (Cayman) Limited
          Fourth Floor, Harbour Place
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 8455
          Fax: (345) 949 8499


DEEP RIVER: Shareholders to Convene for Jan. 27 Final Meeting
-------------------------------------------------------------
The Deep River Master Fund's final shareholders meeting will be
on Jan. 27, 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 liquidator can be reached at:

           Richard Gordon
           Maples Finance Limited
           P.O. Box 1093, George Town
           Grand Cayman, Cayman Islands


EKY HOLDINGS: Last Day to File Proofs of Claim Is on Jan. 29
------------------------------------------------------------
EKY Holdings Ltd.'s creditors are required to submit proofs of
claim by Jan. 29, 2007, to the company's liquidators:

          Linburgh Martin
          Jeff Arkley
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

EKY Holdings' shareholders agreed on Dec. 5, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

          Neil Gray
          Close Brothers (Cayman) Limited
          Fourth Floor, Harbour Place
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 8455
          Fax: (345) 949 8499


FUJI FOOD: Last Day for Proofs of Claim Filing Is on Jan. 29
------------------------------------------------------------
Fuji Food Cayman Ltd.'s creditors are required to submit proofs
of claim by Jan. 29, 2007, to the company's liquidator:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Fuji Food's shareholders agreed on Dec. 13, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.


FRESH DEL MONTE: S&P Pares Corp. Credit Rating to BB- from BB
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on Cayman
Islands-based Fresh Del Monte Produce Inc.  The corporate credit
rating was lowered to 'BB-' from 'BB'.

The ratings were removed from CreditWatch, where they were
placed with negative implications on Nov. 1, 2006, after the
company's third-quarter earnings release and continued weak
operating performance.

The rating outlook is negative.  About US$399 million of total
debt was outstanding at Sept. 29, 2006.

"The downgrade reflects Fresh Del Monte's ongoing weak
performance and significantly higher-than-expected leverage,"
explained Standard & Poor's credit analyst Alison Sullivan.

"The company has been negatively affected by difficult industry
conditions, including competitive pressures and higher fuel
and production costs, and we expect these challenges will
continue into 2007.  On Dec. 27, 2006, Fresh Del Monte received
its second amendment in 2006 to relax its leverage covenant on
its secured bank facilities."

The 'BB-' rating reflects Fresh Del Monte's participation in the
highly variable, commodity-oriented fresh fruit and vegetable
industry, which is affected by uncontrollable factors such as
global supply, political risk, weather, and disease.  Mitigating
these concerns are the company's leading positions in the
production, marketing, and distribution of fresh produce.

Product concentration remains a rating concern due to the high
sales and earnings concentration from bananas and pineapples.
However, Fresh Del Monte is looking for ways to diversify within
the produce industry, for example, by expanding into branded
fresh-cut fruit and vegetables, and growing internationally.
Sales outside North America represented about 52% of 2005
consolidated sales.

Standard & Poor's expect Fresh Del Monte to continue investing
in diversification without adding significant debt.

For the nine months ending Sept. 29, 2006, sales declined
slightly, yet adjusted EBITDA declined 54% because of
difficulties in the company's prepared food business,
competitive pressures in the European banana market, and lower
profitability in the other fresh produce segment because of
adverse weather conditions.  Higher costs related to fuel, raw
materials, packaging, labor, and transportation also hurt
financial results.

As a result, credit measures have weakened further than Standard
& Poor's had expected.  Lease- and pension-adjusted debt to
EBITDA increased to 4.8x for the 12 months ended Sept. 29, 2006,
from about 2.3x at Dec. 31, 2005.

Although the company has implemented cost saving initiatives,
given expected ongoing difficult industry conditions,
Standard & Poor's believes Fresh Del Monte will be challenged
to improve performance in the near term.

Based in the Cayman Islands, Fresh Del Monte Produce Inc. --
http://www.freshdelmonte.com/-- is one of the world's leading
vertically integrated producers, marketers and distributors of
high-quality fresh and fresh-cut fruit and vegetables, as well
as a leading producer and distributor of prepared fruit and
vegetables, juices, beverages, snacks and desserts in Europe,
the Middle East and Africa.  Fresh Del Monte markets its
products worldwide under the Del Monte(R) brand, a symbol of
product quality, freshness and reliability since 1892.

Del Monte Fresh Produce Company has operations in Chile, Brazil,
France and Korea.


GLG NORTH: Creditors Must Submit Proofs of Claim by Jan. 29
-----------------------------------------------------------
GLG North American Long-Short Fund's creditors are required to
submit proofs of claim by Jan. 29, 2007, to the company's
liquidators:

          Stuart K. Sybersma
          Ian A. N. Wight
          Deloitte, Cayman Islands
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

GLG North's shareholders agreed on Nov. 28, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

          Nicole Ebanks
          Deloitte
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 7500
          Fax: (345) 949 8258


GLG STRATEGIC: Last Day to File Proofs of Claim Is Jan. 29
----------------------------------------------------------
GLG Strategic Fixed Income Fund's creditors are required to
submit proofs of claim by Jan. 29, 2007, to the company's
liquidators:

          Stuart K. Sybersma
          Ian A. N. Wight
          Deloitte
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

GLG Strategic's shareholders agreed on Nov. 28, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

          Nicole Ebanks
          Deloitte
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 7500
          Fax: (345) 949 8258


J. MACEDO: Deadline for Proofs of Claim Filing Is on Jan. 29
------------------------------------------------------------
J. Macedo International Ltd.'s creditors are required to submit
proofs of claim by Jan. 29, 2007, to the company's liquidators:

          Linburgh Martin
          Jeff Arkley
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

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

Parties-in-interest may contact:

          Neil Gray
          Close Brothers (Cayman) Limited
          Fourth Floor, Harbour Place
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 8455
          Fax: (345) 949 8499


JME OFFSHORE: Proofs of Claim Must be Submitted by Jan. 29
----------------------------------------------------------
JME Offshore Opportunity Fund II, Ltd. 's creditors are required
to submit proofs of claim by Jan. 29, 2007, to the company's
liquidators:

          Stuart K. Sybersma
          Ian A. N. Wight
          Deloitte, Cayman Islands
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

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

Parties-in-interest may contact:

          Nicole Ebanks
          Deloitte
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 7500
          Fax: (345) 949 8258


JME OFFSHORE OPPORTUNITY: Claims Filing Is Until Jan. 29
--------------------------------------------------------
JME Offshore Opportunity Fund, Ltd.'s creditors are required to
submit proofs of claim by Jan. 29, 2007, to the company's
liquidators:

          Stuart K. Sybersma
          Ian A. N. Wight
          Deloitte, Cayman Islands
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

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

Parties-in-interest may contact:

          Nicole Ebanks
          Deloitte
          P.O. Box 1787, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 7500
          Fax: (345) 949 8258


JUBILEE LANE: Last Day for Filing of Claims Is on Jan. 29
---------------------------------------------------------
Jubilee Lane Inc.'s creditors are required to submit proofs of
claim by Jan. 29, 2007, to the company's liquidator:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Jubilee Lane'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.


MASK HOLDINGS: Proofs of Claim Filing Deadline Is on Jan. 28
------------------------------------------------------------
Mask Holdings Ltd.'s creditors are required to submit proofs of
claim by Jan. 28, 2007, to the company's liquidator:

          Corporate Secretaries (Jersey) Limited
          c/o Maples and Calder, Attorneys-at-law
          P.O. Box 309GT, Ugland House
          South Church Street, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 28 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Mask Holdings' shareholders agreed on Dec. 13, 2006, for the
company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.


PARMALAT SPA: Deloitte & Touche Settles Cases for US$149 Million
----------------------------------------------------------------
Parmalat S.p.A. and Deloitte & Touche S.p.A. and Dianthus S.p.A.
-- the firm that operated in Italy under the Deloitte & Touche
name until July 2003 -- communicate that the damages actions
filed by Parmalat S.p.A. against Deloitte & Touche S.p.A. and
Dianthus S.p.A. have been settled, as have the counterclaims
filed by Deloitte & Touche S.p.A. and Dianthus S.p.A. against
Parmalat S.p.A.

Deloitte & Touche S.p.A. and Dianthus S.p.A. have committed to
provide Parmalat S.p.A. with total consideration valued at
US$149 million.  Following the settlement, Parmalat S.p.A. and
Deloitte & Touche S.p.A. and Dianthus S.p.A. have undertaken to
withdraw all pending actions and allegations between them.

The settlement follows years of investigation by Parmalat
S.p.A., and extensive civil discovery by the parties in
connection with actions pending in the United States, and was
facilitated by various judicial and regulatory authorities.

Under the settlement Deloitte & Touche S.p.A. and Dianthus
S.p.A. have an option upon the payment to Parmalat S.p.A. of
US$15 million to terminate the agreement within 60 days if they
do not obtain a contribution bar pursuant to the Illinois Joint
Tortfeasor Contribution Act.

Both Parmalat S.p.A. and Deloitte & Touche S.p.A. express their
satisfaction at the settlement, which will set in place the
conditions for a mutually beneficial future relationship.
Parmalat S.p.A. and Deloitte & Touche S.p.A. look forward to
working together.

                       About Parmalat

Headquartered in Milan, Italy, Parmalat S.p.A. --
http://www.parmalat.net/-- sells nameplate milk products that
can be stored at room temperature for months.  It also has 40-
some brand product line, which includes yogurt, cheese, butter,
cakes and cookies, breads, pizza, snack foods and vegetable
sauces, soups and juices.

The Company's U.S. operations filed for chapter 11 protection on
Feb. 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139).  Gary
Holtzer, Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors.  When the U.S. Debtors filed
for bankruptcy protection, they reported more than
US$200 million in assets and debts.  The U.S. Debtors emerged
from bankruptcy on April 13, 2005.

Parmalat S.p.A. and its Italian affiliates filed separate
petitions for Extraordinary Administration before the Italian
Ministry of Productive Activities and the Civil and Criminal
District Court of the City of Parma, Italy on Dec. 24, 2003.
Dr. Enrico Bondi was appointed Extraordinary Commissioner in
each of the cases.  The Parma Court has declared the units
insolvent.

On June 22, 2004, Dr. Bondi filed a Sec. 304 Petition, Case No.
04-14268, in the United States Bankruptcy Court for the Southern
District of New York.

Parmalat has three financing arms: Parmalat Capital Finance
Limited, Dairy Holdings, Ltd., and Food Holdings, Ltd.  Dairy
Holdings and Food Holdings are Cayman Island special-purpose
vehicles established by Parmalat SpA.  The Finance Companies are
under separate winding up petitions before the Grand Court of
the Cayman Islands.  Gordon I. MacRae and James Cleaver of Kroll
(Cayman) Limited serve as Joint Provisional Liquidators in the
cases.  On Jan. 20, 2004, the Liquidators filed Sec. 304
petition, Case No. 04-10362, in the United States Bankruptcy
Court for the Southern District of New York.  In May 2006, the
Cayman Island Court appointed Messrs. MacRae and Cleaver as
Joint Official Liquidators.  Gregory M. Petrick, Esq., at
Cadwalader, Wickersham & Taft LLP, and Richard I. Janvey, Esq.,
at Janvey, Gordon, Herlands Randolph, represent the Finance
Companies in the Sec. 304 case.

The Honorable Robert D. Drain presides over the Parmalat
Debtors' U.S. cases.


PHOENIX-MISTIC: Final Shareholders Meeting Is on Jan. 27
--------------------------------------------------------
Phoenix-Mistic 2002-1 CBO, Ltd.'s final shareholders meeting
will be on Jan. 27, 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 liquidator can be reached at:

           Jan Neveril
           Maples Finance Limited
           P.O. Box 1093, George Town
           Grand Cayman, Cayman Islands


PROSPEROUS BLOSSOMS: Proofs of Claim Must be Filed by Jan. 29
-------------------------------------------------------------
Prosperous Blossoms Ltd.'s creditors are required to submit
proofs of claim by Jan. 29, 2007, to the company's liquidators:

          Linburgh Martin
          Jeffrey Arkley
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Prosperous Blossoms' shareholders agreed on Dec. 7, 2006, for
the company's voluntary liquidation under Section 135 of the
Companies Law (2004 Revision) of the Cayman Islands.

Parties-in-interest may contact:

          Neil Gray
          Close Brothers (Cayman) Limited
          Fourth Floor, Harbour Place
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 8455
          Fax: (345) 949 8499


STADIUM II: Creditors Have Until Jan. 29 to File Proofs of Claim
----------------------------------------------------------------
Stadium II Ltd.'s creditors are required to submit proofs of
claim by Jan. 29, 2007, to the company's liquidators:

          Linburgh Martin
          Jeffrey Arkley
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

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

Parties-in-interest may contact:

          Deanna Derrick
          Close Brothers (Cayman) Limited
          Fourth Floor, Harbour Place
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 8455
          Fax: (345) 949 8499


STADIUM VII: Deadline for Proofs of Claim Filing Is on Jan. 29
--------------------------------------------------------------
Stadium VII Ltd.'s creditors are required to submit proofs of
claim by Jan. 29, 2007, to the company's liquidators:

          Linburgh Martin
          Jeffrey Arkley
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

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

Parties-in-interest may contact:

          Deanna Derrick
          Close Brothers (Cayman) Limited
          Fourth Floor, Harbour Place
          P.O. Box 1034, George Town
          Grand Cayman, Cayman Islands
          Tel: (345) 949 8455
          Fax: (345) 949 8499


TINTIN SPC: Creditors Must Submit Proofs of Claim by Jan. 29
------------------------------------------------------------
Tintin SPC's creditors are required to submit proofs of claim by
Jan. 29, 2007, to the company's liquidator:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Tintin SPC'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.


TOP SPIN: Deadline for Filing of Proofs of Claim Is on Jan. 29
--------------------------------------------------------------
Top Spin Investments Ltd.'s creditors are required to submit
proofs of claim by Jan. 29, 2007, to the company's liquidator:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Top Spin'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.


UNITED CAPITAL: Filing of Proofs of Claim Is Until Jan. 29
----------------------------------------------------------
United Capital Management Group's creditors are required to
submit proofs of claim by Jan. 29, 2007, to the company's
liquidator:

          CDL Company Ltd.
          P.O. Box 31106SMB
          Grand Cayman, Cayman Islands

Creditors who are not able to comply with the Jan. 29 deadline
won't receive any distribution that the liquidator will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

United Capital'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.




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


CA INC: Launches Internet Security Protection for Windows Vista
---------------------------------------------------------------
CA Inc. will deliver comprehensive virus protection for
consumers using the new Windows Vista operating system with CA
Anti-Virus 2007.  CA expects to make its entire Home and Home
Office product line of Internet security software available for
Windows Vista users in the coming weeks.

In May 2006, CA was one of the first security vendors to offer
security software to Windows Vista beta users with CA Anti-
Virus. To date, more than 160,000 Windows Vista beta customers
have successfully installed the software and have realized the
benefits of CA's powerful virus protection.

As an additional benefit, all CA Anti-Virus 2007 customers are
eligible for up to US$1,500 in Virus Protection coverage.  This
covers technical support, repair services and hardware
replacement in the event a user's laptop or PC fails due to a
virus infection following installation of the software.

In the coming weeks, CA expects to make available Windows Vista-
compatible versions of CA Internet Security Suite 2007, CA Anti-
Spyware 2007, CA Anti- Spam 2007, and CA Personal Firewall 2007,
which deliver easy-to-use, award- winning protection against
Internet-borne threats that can jeopardize privacy, identity,
data, and PC performance.

"We are pleased with the global security partner support we have
received on Windows Vista and that our customers will have
security solutions from CA for Windows Vista," said Ben Fathi,
corporate vice president of the Security Technology Unit at
Microsoft Corp.  "Partners play a vital role in helping secure
the Windows platform, and CA has developed security technologies
that will offer our customers a more secure computing experience
on Windows Vista, Microsoft's most secure operating system to
date."

"CA is committed to making sure everyone can use the Internet
safely," said David Luft, senior vice president of product
development at CA.  "By working closely with Microsoft, we are
delivering solutions that work seamlessly with the Windows Vista
operating system so they deliver optimum protection with minimal
impact on PC performance."

CA has a long-standing relationship with Microsoft to help keep
consumers safe online.  Since 2003, 7.5 million customers have
installed CA Anti-Virus, as a key step of Microsoft's Protect
Your PC guidance.


Headquartered in Islandia, New York, CA Inc. (NYSE:CA) --
http://www.ca.com/-- is an information technology management
software company that unifies and simplifies the management of
enterprise-wide IT.  Founded in 1976, CA serves customers in
more than 140 countries.  In Latin America, CA has operations in
Argentina, Brazil, Chile, Colombia, Mexico, Peru and Venezuela.

                        *    *    *

As reported in the Troubled Company Reporter on Aug. 7, 2006,
Moody's Investors Service confirmed CA Inc.'s Ba1 senior
unsecured rating and assigned a negative rating outlook,
concluding a review for possible downgrade initiated on
June 30, 2006.  The Ba1 rating confirmation reflects the
company's completed accounting review and reestablishment of
current filing of its 10-K and subsequent 10-Q's, including the
company's filing of its 10-K for its March2006 fiscal year on
July 31, 2006.

Standard & Poor's Rating Services affirmed its 'BB' corporate
credit and senior unsecured debt ratings on CA Inc., and removed
them from CreditWatch where they were placed on July 5, 2006,
with negative implications.  S&P said the outlook is negative.


ELECTROANDINA: Submits Environmental Impact Statement to Conama
---------------------------------------------------------------
Conama, Chile's environmental authority, said in its
environmental impact evaluation system Web site that it has
received Electroandina's environmental impact statement on the
construction of an US$11.5-million transmission project in
Region II.

Business News Americas relates that the 60-kilometer line would
stretch from the Laberinto substation to a prospective
substation.

Codelco, the Chilean state copper firm, is developing the
prospective substation to supply power to its Gaby copper mine,
BNamericas notes.  Codelco is on track to reach full production
at Gaby by June 2008.

BNamericas underscores that the transmission line, which will
provide up to 80 megawatts of power, would require 10 months of
construction work.

The report says that Electroandina's transmission project also
includes the expansion of the Laberinto substation.

Electroandina said in a filing with Chile's securities regulator
that it authorized the line's power supply contract, which will
come into effect when signed with Gaby and last until
June 30, 2011.

Headquartered in Santiago, Chile, Electroandina --
http://www.electroandina.cl-- produces electricity for the
Interconnected System of Northern Chile.  The company has an
installed capacity of 1029 MW. Its plants are located in
Tocopilla, where Electroandina supplies electric energy to
copper mines, its principal customers.  Mining clients include
Codelco Chile -- Chuquicamata Division, Codelco -- Radomiro
Tomic Division, and SCM El Abra.  Another key client, SOQUIMICH,
is a maker of specialty fertilizers, iodine, and lithium.  The
company also offers services in the maintenance of transmission
lines and substations.  In addition to its energy business,
Electroandina offers port services in Tocopilla, for loading and
unloading bulk goods, liquids, and general cargo.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
May 17, 2006, Fitch Ratings affirmed the 'BB' foreign and local
currency Issuer Default Ratings of Electroandina SA.  The
Ratings Outlook remains Stable.




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


AES CORP: Calls Support for National CO2 Cap & Trade Legislation
----------------------------------------------------------------
In a keynote address at the Inaugural US Point Carbon Conference
in Washington, Paul Hanrahan, President and CEO of the AES
Corp., outlined the company's view that any US greenhouse gas
emissions legislation adopted to address climate change should
be structured as a nation-wide US cap and trade program rather
than a series of state or regional programs.

"National cap and trade domestic regulation will be more
effective than a set of regional programs with different rules
and set-ups that are not interlinked or interoperable," Mr.
Hanrahan said.  He emphasized that US carbon policy should be
expansive, efficient, equitable and equivalent.

                          Expansive

In addition to a nation-wide policy, Mr. Hanrahan also said that
a national cap and trade program should apply to all economic
sectors that produce greenhouse gas so that each source
contributing to the problem of global warming bears part of the
cost of the solution.

                          Efficient

When implementing these controls, Mr. Hanrahan said policymakers
need to be mindful of the financial impact on consumers and the
industry, as well as the reliability of the supply chain.  He
reiterated that "over the long term, a national cap and trade
program would provide for a more orderly market which we believe
will ultimately reduce the cost of compliance."

                          Equitable

Mr. Hanrahan also endorsed an allowance allocation system rather
than an auction mechanism, noting that this approach has worked
effectively in reducing SO2 and NOX emissions in the US.

                          Equivalent

In order for any such program to work, Mr. Hanrahan indicated
that the US must adopt a rigorous CO2 offset certification
system that provides full credit for offsets regardless of how
or where in the world they are created.

AES has experience operating power generation and distribution
facilities in 26 countries and 14 states, many of which have
greenhouse gas regulations.  The company also has experience in
almost every form of generation and fuel type, including wind
power, hydro electric, natural gas, coal, and biomass
(agricultural and wood waste), as well as experience in carbon
offset investments, providing AES with a balanced perspective on
emissions regulations.

Mr. Hanrahan also discussed steps AES is taking to develop new
programs and technologies to address the greenhouse gas
challenges facing the US including an innovative, planned
partnership between AES and GE Energy Financial Services.  The
partnership would seek to create an annual production volume of
10 million tons of greenhouse gas offsets by 2010, primarily
through the reduction of emissions of methane -- a potent
greenhouse gas with a warming potential 21 times greater than
carbon dioxide.  In addition, the partnership would also pursue
development of offsets through energy efficiency projects and
the creation of renewable forms of electricity generation. The
offsets from these projects would be sold to commercial and
industrial customers that want to reduce the environmental
impact of their operations or provide climate-friendly products
or services to their customers.

Last April, AES disclosed the formation of its alternative
energy group, making a US$1 billion commitment to investments in
wind power generation, LNG and climate change sectors.  In
December, AES adjusted its guidance on investment in this sector
to potentially as much as $10 billion over the next 5-10 years.
It has already announced a target to produce up to 40 million
tons of greenhouse gas emission offsets per year by 2012,
through development projects under the Clean Development
Mechanism of the Kyoto Protocol in Asia, Africa, Europe and
Latin America.

Mr. Hanrahan said that regardless of people's views on climate
change, "the fact is that regulations are upon us
internationally and in many US states.  The growing consensus is
that national domestic regulation is a matter of when, not if."

Mr. Hanrahan said that AES' greenhouse gas reduction initiatives
and policy positions will not only help address the climate
change problem, but they also "make good business sense."

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.




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


* COSTA RICA: Expects Stable Banana Exports for 2007
----------------------------------------------------
The Costa Rican government expects banana exports to be stable
in 2007.  It has set export targets for 2010 and to be able to
reach them, the nation is set to continue its 15% growth and
maintain its investments at US$1,500 million per year, Minister
Marco Vinicio Ruiz told Fresh Plaza.

According to the same report, to maintain the sector's
competitiveness, these factors have to be accomplished:

   -- improvements to ports,
   -- investments in electric energy, and
   -- cooperation with the EU and the U.S.

The nation expects a 20% growth and no decline in banana exports
for 2007, despite the climatic effects of the El Nino
phenomenon.  The east coast climate is also expected to be
fitting for pineapple cultivation, Fresh Plaza relates.

In 2006, bananas ranked second as export product with 7.4% of
total exports that amounted to US$8,200 million dollars, a 17%
increase from that of 2005, Fresh Plaza adds.

                        *    *    *

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


* COSTA RICA: Congressional Parties Balk at Free Trade with U.S.
----------------------------------------------------------------
Costa Rica's two major congressional parties are adamant in
opposing the free trade agreement with the United States under
the CAFTA-DR, Prensa Latin Reports.

The nation is the only Central American country that has not yet
approved the agreement and would not be likely to do so because
of the parties' opposition, Prensa Latin adds.

Govt. Minister Rodrigo Arias admitted to Prensa Latin that it is
becoming more difficult to support the agreement when Congress
and majority of the Costa Ricans are increasing their resistance
with the free trade.  More and more demonstrations have been
staged recently.

Minister Arias said the government had not reached a clear
agreement with the 25 legislators from the National Liberation
Party or PLN during a meeting, Prensa Latin relates.

According to the same report, PLN leader Mayi Antillon disclosed
that his party is firm in their decision to reject the agreement
and will continue to do so and that the legislature has more
pressing concerns to attend to than deal with a legislation from
the U.S.  Three drafty bills have already been passed to speed
up the pact's approval but did not reach a consensus.

                        *    *    *

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




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


AFFILIATED COMP: Names Christopher Deelsnyder as Healthcare Head
----------------------------------------------------------------
Affiliated Computer Services, Inc., named Christopher Deelsnyder
Senior Vice President and Managing Director of ACS Government
Healthcare Solutions.

Already a major provider within the state and local government
market, ACS has been making inroads into the federal healthcare
market under Mr. Deelsnyder, according to Tom Burlin, ACS
Executive Vice President and Chief Operating Officer of its
Government Solutions Group.

"To reach our full potential in the government healthcare
market, ACS is becoming a serious contender for the very large
and complex healthcare contracts emerging in the federal
government market," said Burlin.  "ACS landed significant state
healthcare contracts during the past year, while making
noticeable inroads into the federal market under Chris
Deelsnyder's leadership."

ACS is a national leader in government healthcare program
administration, offering a full spectrum of systems and
complementary services through an integrated solution. From care
management solutions and child health programs to pharmacy
benefits management and traditional Medicaid fiscal agent
services, ACS has a proven track record and extensive program
management expertise.

Mr. Deelsnyder will provide the depth and breadth of state and
local and federal healthcare experience needed to propel the
consolidated group, according to Mr. Burlin.

"Chris has a broad range of executive leadership experience
within several industries and was responsible for several of the
largest state Medicaid programs before joining ACS to head our
federal market effort," Mr. Burlin said.  "He understands the
operations and the competition in this market and we look to him
to bring an objective, unique perspective to the business."

Before joining ACS in the beginning of 2006, Mr. Deelsnyder had
been Senior Vice President with a leading bioinformatics
technology company serving the federal healthcare market.
Before that he was with EDS for ten years, serving at one point
as managing director for a State and Local Medicaid practice.

ACS supports over 20 million program recipients and processes
nearly 475 million Medicaid healthcare claims annually,
representing more than US$47 billion in provider payments.  As
the nation's largest government program pharmacy benefits
administrator, ACS serves 30 programs in 25 states and the
District of Columbia with drug expenditures totaling over US$13
billion.

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
=============


PETROECUADOR: Names Carlos Yannuzzelli as Executive President
-------------------------------------------------------------
Petroecuador, the state-owned oil firm of Ecuador, said in a
statement that its board has appointed Carlos Pareja Yannuzzelli
as the firm's executive president.

According to Petroecuador's statement, Mr. Pareja is a chemical
engineer with experience in the oil sector.  He has served in
high-ranking offices in Petroecuador and Ecuador's energy
ministry.

Meanwhile, the board also appointed the members of
Petroecuador's administration council, as well as the vice
presidents of Petroproduccion, Petroindustria and
Petrocomercial, Business News Americas notes.

Oscar Garzon, a petroleum engineer who has been minister and
deputy minister of energy and mines, was named as vice president
of Petroproduccion.  Chemical engineer Diego Tapia Ayala was
appointed as vice president of Petroindustria.  Mario Sanchez
was named as vice president of Petrocomercial.  Marcelo Reyes
was chosen to lead Petroecuador's legal affairs and Miguel
Montalvo will supervise the contract administration unit,
BNamericas states.

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




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


SPECTRUM BRANDS: To Cut 100 Jobs Pursuant to Reorganization Plan
----------------------------------------------------------------
Spectrum Brands Inc. will cut approximately 100 jobs pursuant to
the company's plan to streamline its business into three units.

Spectrum Brands disclosed 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.

Spectrum said that the consolidation of the operating segments
will begin immediately and will be reflected in its financial
report for the second quarter of fiscal 2007.

According to Dave Jones, Spectrum Chairman and Chief Executive
Officer, the realignment will make the company a stronger, more
efficient and competitive company.

"By streamlining the business into three product-oriented
operating units, we will significantly enhance our competitive
focus and improve our cost structure," Mr. Jones says.  "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."

With the changes, the company plans to undertake steps to cut
down costs including a reduction in employee headcount by around
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," Mr. Jones
adds.

Moreover, the company unveiled appointments including:

   * David Lumley as President of Global Batteries & Personal
     Care and Home & Garden, and Co-Chief Operating Officer of
     Spectrum Brands;

   * Remy Burel as President of Europe/ROW;

   * John Heil as Co-Chief Operating Officer of Spectrum Brands;
     and

   * Kent Hussey as Vice Chairman of Spectrum Brands.

                   About Spectrum Brands

Headquartered in Atlanta, Georgia, Spectrum Brands (NYSE: SPC)
-- http://www.spectrumbrands.com/-- is a consumer products
company and a supplier of batteries and portable lighting, lawn
and garden care products, specialty pet supplies, shaving and
grooming and personal care products, and household insecticides.
Spectrum Brands' products are sold by the world's top 25
retailers and are available in more than one million stores in
120 countries around the world.  The company operates in 13
Latin American nations including El Salvador, Guatemala, Costa
Rica, Colombia and Nicaragua.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 11, 2006,
Moody's Investors Service confirmed Spectrum Brands Inc.'s B3
Corporate Family Rating in connection with the rating agency's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology.


SPECTRUM BRANDS: Receives Notice of Default from Noteholders
------------------------------------------------------------
Spectrum Brands Inc. received a purported notice of default from
entities claiming to be the holders of or to have discretionary
authority in respect of its 8-1/2% Senior Subordinated Notes due
2013.

The Notice asserted that the company's incurrence of
indebtedness under its Fourth Amended and Restated Credit
Agreement dated as of Feb. 7, 2005, gave rise to certain
defaults relating to the incurrence of indebtedness, incurrence
of liens and delivery of proper notice under the Indenture,
dated as of Sept. 30, 2003, between the company and the U.S.
Bank National Association, as trustee, governing the Notes.

The company believes that it is not in default under the terms
of the Indenture.

The company believes that all existing indebtedness was incurred
in compliance with the provisions of the Indenture and that no
default has occurred under the Indenture.

The default provisions of the Indenture provide that if the
company had incurred indebtedness other than in compliance with
the Indenture and thereafter received written notice of a
default from either the Trustee or holders representing 25% or
more of the aggregate principal amount of the Notes then
outstanding, the failure by the company for 60 days after such
written notice to comply with the agreements set forth in the
Indenture would constitute an "Event of Default" under the
Indenture.

If an "Event of Default" were found to have occurred, the
Trustee or holders of at least 25% in aggregate principal amount
of the Notes then outstanding would have the contractual right
to declare all unpaid principal, and any accrued, default or
additional interest, on the Notes then outstanding to be due and
payable.

Such an "Event of Default" could also result in the acceleration
of indebtedness under (i) the company's 7-3/8% Senior
Subordinated Notes due 2015 by action of the trustee under the
indenture governing those notes or the respective holders of at
least 25% in principal amount of those notes outstanding and
(ii) the Credit Agreement by action of the requisite lenders
under the Credit Agreement.

The company has carefully considered the allegations set forth
in the Notice and has concluded that there is no default under
the Indenture.

The Credit Agreement, the indebtedness under which ranks senior
to the indebtedness under the Notes and the 7-3/8% Notes,
includes a revolving credit facility for borrowings of up to
US$300 million; contains customary minimum interest coverage and
maximum leverage ratio tests; and contains a customary debt
incurrence covenant permitting the indebtedness under the Notes
and the 7-3/8% Notes, indebtedness necessary to support its
ordinary course operations and a general basket for other
unsecured indebtedness in the aggregate amount of US$50 million.

It believes that the company and its subsidiary borrowers are in
compliance with the terms and provisions of the Credit
Agreement, including those relating to limitations on
indebtedness.

As of Sept. 30, 2006, there was:

   (a) approximately US$350 million in aggregate principal
       amount of the Notes outstanding and approximately US$15
       million of accrued but unpaid interest,

   (b) approximately US$700 million in aggregate principal
       amount of the 7-3/8% Notes outstanding and approximately
       US$9 million of accrued but unpaid interest, and

   (c) approximately US$26 million under the Revolving Credit
       Facility and approximately US$1,144 million in other
       indebtedness was outstanding under the Credit Agreement.

A full-text copy of the Notice of Default is available for free
at http://ResearchArchives.com/t/s?189e

A full-text copy of the company's response is available for free
at http://ResearchArchives.com/t/s?189f

Headquartered in Atlanta, Georgia, Spectrum Brands Inc. (NYSE:
SPC) -- http://www.spectrumbrands.com/-- is a consumer products
company and a supplier of batteries and portable lighting, lawn
and garden care products, specialty pet supplies, shaving and
grooming and personal care products, and household insecticides.
Spectrum Brands' products are sold by the world's top 25
retailers and are available in more than one million stores in
120 countries around the world.  The company operates in 13
Latin American nations including El Salvador, Guatemala, Costa
Rica, Colombia and Nicaragua.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 11, 2006,
Moody's Investors Service confirmed Spectrum Brands Inc.'s B3
Corporate Family Rating in connection with the rating agency's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology.




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


AIR JAMAICA: Says Management Is Not Overstaffed
-----------------------------------------------
Air Jamaica's management has denied to Radio Jamaica that it is
overstaffed.

As reported in the Troubled Company Reporter-Latin America on
Jan. 15, 2007, Vincent Morrison, president of the National
Workers Union, told the parliamentary committee, which is
examining Air Jamaica's operations, that under-capitalization
and the over-sized management team are among the major problems
in the airline.  Other union officials who supported Mr.
Morrison's proposal said that there are duplications in the
management of Air Jamaica.  Parliamentary committee chairperson
Dr. Omar Davies then requested that management officials be re-
called to respond to questions relating to the staffing of Air
Jamaica.

Radio Jamaica underscores that OK Melhado, Air Jamaica's
chairperson, insisted before the special select committee that
the staff- to-management ratio meets international expectations.

Mr. Melhado told Radio Jamaica that Air Jamaica had sought to
implement several recommendations made following a study by
Price Waterhouse in 2005.  Recommendations included a proposal
to correct deficiencies in the airline's human resources
department.  Rationalization had resulted in more professionals
being employed.

In response to claims that Air Jamaica was paying too much for
legal fess, the payment had been reduced, Radio Jamaica says,
citing Mr. Melhado.

Air Jamaica's President Michael Conway also assured Radio
Jamaica that the airline's decision to change its Airbus fleet
to Boeing Aircraft would not compromise the firm's safety
record.

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: Offering Non-Stop Flights to Grenada & St. Lucia
-------------------------------------------------------------
Air Jamaica will offer weekly non-stop flights to Grenada and
St. Lucia, the Jamaica Information Service reports.

As reported in the Troubled Company Reporter-Latin America on
Jan. 12, 2007, Air Jamaica 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.

Jamaica Information relates that Air Jamaica is seeking to
launch more flights in the Eastern Caribbean.

"Air Jamaica considers the Eastern Caribbean an integral part of
the Air Jamaica system now and for the foreseeable future,"
George deMercado, the airline's vice president of sales, told
Jamaica Information.

According to Jamaica Information, Air Jamaica will offer four
weekly non-stop flights to St. Lucia on Mondays, Wednesdays,
Thursdays and Sundays.  It will also offer three weekly non-stop
flights to Grenada on Tuesdays, Fridays and Saturdays.

Paul Pennicook, Air Jamaica's senior vice president of sales and
marketing, commented to Jamaica Information that he was proud of
the revamped service to the Eastern Caribbean as Air Jamaica was
definitely the best airline to the Caribbean.  He said, "I
believe the service fills a well-needed void and we are
confident that travelers will benefit from this option."

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: Ruder Finn Agency to Handle Public Relations
---------------------------------------------------------
Paul Pennicook, Air Jamaica's senior vice president of sales and
marketing, told Jamaica Information Service that the airline has
named Ruder Finn Agency as its new public relations unit.

Ruder Finn handles the public relations portfolio of the Jamaica
Tourist Board from its Second Avenue, Midtown Manhattan
headquarters, Jamaica Information states.

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
=================


BRITISH AIRWAYS: T&G Union Favors Settlement Over Strike Action
---------------------------------------------------------------
The Transport & General Workers Union, representing 11,000 cabin
crew employees of British Airways Plc, is considering a
negotiated settlement with the airline as talks with top
management on Tuesday aimed at averting a possible strike action
failed to reach an agreement, Bloomberg News reports citing T&G
Deputy General Secretary Jack Dromey.

The airline intends to pursue more discussions with union
officials in an effort to find a peaceful outcome that would
protect the travel plans of its customers, a spokesman for
British Airways said in a statement.

BA Chief Executive Willie Walsh reiterated that there was "no
justification" for carrying out a strike action and insisted
that the proposed pension scheme was the best possible option,
BBC News relates.

As previously reported in the TCR-Europe on Jan. 17, 96% of T&G
union's cabin crew members, who are employed at BA, voted in
favor of a strike action over the airline's proposed deal that
would narrow a GBP2.1-billion pension deficit.

According to The Wall Street Journal, the airline failed to
address the grievances of the cabin crews with regards to the
implementation of sickness-absence policies, staffing levels in
aircraft cabins, and issues of pay and responsibility levels.

Headquartered in West Drayton, United Kingdom, British Airways
Plc -- http://www.ba.com/-- operates of international and
domestic scheduled and charter air services for the carriage of
passengers, freight and mail, and provides of ancillary
services.  The British Airways group consists of British Airways
Plc and a number of subsidiary companies including in particular
British Airways Holidays Limited and British Airways Travel
Shops Limited.  BA has offices in India and Guatemala.

                        *     *     *

British Airways' 7-1/4% senior unsubordinated notes due 2016 and
10-7/8% notes due 2008 carry Moody's Investors Service's Ba2
ratings and Standard & Poor's BB- ratings.


BANCO INDUSTRIAL: Fitch Maintains Ratings on Bancomer Absorption
----------------------------------------------------------------
On Jan. 12, the Guatemalan banking regulator ordered the
suspension of activities of Banco de Comercio aka Bancomer, a
small-sized local bank, which accounted for just over 1% of the
system's assets, deposits and loans as of November 2006.  On
Jan. 13, the regulator announced that Banco Industrial will
absorb Bancomer's branch network and deposit base.  Fitch
Ratings maintains the following ratings on Banco Industrial:

   -- Long-term Foreign and Local Currency Issuer Default
      Rating: 'BB';

   -- Short-term Foreign and Local Currency rating: 'B';

   -- Individual rating: 'D';

   -- Support rating: '3';

   -- National-scale ratings: 'AA-(gtm)' and 'F1(gtm)'; and

   -- Outlook: Stable

With preliminary information as of end-2006, Banco Industrial
will have to honor Bancomer's deposits for up to GTQ900 million
(roughly US$120 million) starting on Jan. 17, when Bancomer's
branches are expected to re-open.  In turn, Banco Industrial
will be beneficiary of trust certificates drawn on a trust that
will hold and liquidate a similar amount of Bancomer's assets,
mostly composed of loans.  In addition, the local deposit
insurance fund (FOPA -- Fondo para la Proteccion del Ahorrante)
will provide liquid resources to this trust for the equivalent
of 40% of liabilities absorbed by Banco Industrial (GTQ360
million).  This excess liquidity will provide some comfort to
absorb expected losses in a significant portion of Bancomer's
assets, which include a hefty amount of related-party lending
granted in the last quarter of 2006 that will likely be
difficult to recover.

Given the relatively small size of Bancomer (less than 5% of
Banco Industrial's consolidated assets), the absorption of
Bancomer's deposits is unlikely to affect Banco Industrial's
fundamentals, as the impact on capitalization and liquidity is
expected to be modest.  Bancomer's total deposits account for
roughly 20% of Banco Industrial's consolidated cash and cash
equivalents at end-2006, or 15% of liquid assets (cash plus
relatively liquid local sovereign bonds).  The Guatemalan
Central bank could provide temporary liquidity support, if
required.  In turn, Banco Industrial will benefit from a larger
branch network while the bank also expects to preserve most of
Bancomer's customer deposits, given its dominant position and
strong franchise in Guatemala.  Banco Industrial assures us that
a large portion of Bancomer's deposits are widely-diversified
saving accounts and that depositor concentrations are not a
major concern.

Fitch considers that the absorption of Bancomer could
potentially impact Banco Industrial's asset quality and earnings
over time, as Bancomer's asset quality is relatively worse than
Banco Industrial's figures.  At present, Fitch considers Banco
Industrial's financial profile will remain consistent with the
current ratings.  However, the confluence of rapid deposit
withdrawals from Bancomer's customers and potential
contingencies and unexpected losses arising from Bancomer's
assets could negatively affect Banco Industrial's financial
strength and its ratings could be impacted as well.  Banco
Industrial will be challenged to recover a large portion of
Bancomer's assets to prevent any negative impact on its
financial condition.

Fitch also remains concerned about the potential implications of
recent negative systemic events on public confidence.  Since the
intervention of Bancafe in October 2006, solvency problems at a
few non-bank intermediaries and the lack of cash in most ATM's
by year-end have caused nervousness among local depositors.  So
far, deposits have remained relatively stable and within the
Guatemalan financial system.  However, Fitch will continue to
monitor system-wide funding and liquidity going forward.  A
potential decline in the system's liquidity could also affect
Banco Industrial's ratings.

Fitch highlights the need to continue enhancing the regulatory
framework to prevent any further failures and also to strengthen
public confidence in the banking system.  Although the
intervention of Bancomer appears to be under control, any
broader impact or loss of confidence in the banking system could
put the sovereign's creditworthiness at risk, particularly if
this begins to negatively affect Guatemala's otherwise benign
macroeconomic fundamentals.  The recapitalization of the FOPA is
also considered a key element to enhance the solvency of the
banking system.  FOPA's assets have been mostly absorbed to
honor deposits of Bancafe's customers and the liquid resources
that will be provided to honor Bancomer's deposits, were
obtained from the proceeds of foreign borrowings of Guatemalan
authorities (roughly US$50 million).


* GUATEMALA: Receives Currency Shipment to Resolve Cash Shortage
----------------------------------------------------------------
The Guatemalan Central bank disclosed that it has received new
shipment of currency from foreign mints, which will settle the
cash shortage that triggered capital flight after the government
failed to place an order for new bills, the Associated Press
reports.

The cash shortage, which started in November, made it very
difficult for Guatemalans to withdraw money from ATM machines,
causing the people to pull out money from banks for fear that
the nation was in for an economic crisis, the AP relates.

According to the same report, the country does not have its own
money printer, and must order and import its bills from mints in
Canada, England, Germany and France.

Vice Pres. Julio Suarez of the Central Bank assured that around
US$20 million or EUR15 million of Guatemalan was shipped and
US$100 million or EUR77 million is to be expected to arrive by
the end of the week.

Analysts claim that the shortage was triggered by economic
growth and the failure of Bancafe's operations last year, which
caused people to keep their money at home due to fear that other
banks would follow suit, the AP says.  These claims oppose the
government's reassurance that the shortage was caused simply
because it has forgot to order new bills for replacement of the
cash it has destroyed.

The AP adds that Banco Comercio, two other financial
institutions and an exchange house have collapsed recently.

However, the country's Monetary Commission assures that the
banking system is in good shape and that the institutions'
closures were isolated cases.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+




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


* HAITI: To Receive US$500 Million from Canada
----------------------------------------------
Claude Boucher -- the Canadian Ambassador to Port au Prince,
Haiti -- told Prensa Latina that his nation will increase its
financial aid to Haiti to around US$500 million.

Prensa Latina relates that Haiti complained in several forums
last year about international donors, who had not fulfilled
their promised aid of US$1 billion at the First Washington
Conference for the 2004-2006 period, and US$750 million at the
last donor conference in mid-2006 in Port au Prince.

Ambassador Boucher told Prensa Latina, "Canada believes that
Haiti is living in times unprecedented, which could change the
national future. We are making an effort to support its economic
development."

According to Prensa Latina, Haiti now has an agenda based on:

          -- economic growth,
          -- social justice,
          -- security,
          -- institution build-up,
          -- regional cooperation, and
          -- integration.

                        *    *    *

Haiti is currently seeking international help to spur economic
development in the country.  President Rene Preval submitted
that the country's poverty, widespread unemployment and the
dilapidated state of infrastructure will be alleviated with
increased international assistance.




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


GRUPO ELEKTRA: Regulator Deciding on Banking License for Azteca
---------------------------------------------------------------
Gustavo Alfaro -- the chief of Comision Nacional de Bancos y
Seguros, the financial regulator in Honduras -- told Business
News Americas that the agency will decide on a banking license
for Banco Azteca, a unit of Grupo Elektra.

As reported in the Troubled Company Reporter-Latin America on
Jan. 11, 2006, Banco Azteca failed to secure Comision Nacional's
authorization to open branches in Honduras due to a SEC lawsuit
filed against Banco Azteca's controller Ricardo Salinas for
alleged insider trading in a debt purchase transaction carried
out by Mexican mobile operator Unefon.  However, Banco Azteca
was allowed to apply again for a banking license once its
problems with SEC have been sorted out.

The regulator is waiting for information from Mexico's banking
regulator and expects to receive it before the end of this
month, Mr. Alfaro told BNamericas.

                     About Grupo Elektra

Grupo Elektra -- http://www.grupoelektra.com.mx-- sells retail
goods and services through its Elektra, Salinas y Rocha, Bodega
de Remates and Elektricity stores and over the Internet.  The
Group operates more than 1,000 stores in Mexico, Guatemala,
Honduras, Peru and Panama.  Grupo Elektra also sells and markets
its consumer finance, banking and financial products and
services through approximately 1,400 Banco Azteca branches
located within its stores, as a stand-alone, and in other
channels in Mexico and Panama.  Banking and financial services
include loans, electronic money transfer services, extended
warranties, demand deposits, pension-fund management, insurance,
and credit information services.

Grupo Elektra is divided mainly in two divisions: retail and
financial.  The Company's retail division is divided in two
geographical areas: Mexico, where three store formats are
operated, and Latin America (Guatemala, Honduras and Peru),
where the Elektra store format is operated only and credit is
still granted through the commercial division.  Grupo Elektra's
financial division, which only operates in Mexico, includes
Banco Azteca, a bank that offers financial services to Mexico 's
mass market; Afore Azteca, a retirement fund manager; and
Seguros Azteca, a new insurance company.

                    About Banco Azteca

Grupo Elektra operates the Banco Azteca banking franchise in
Mexico, Panama and Guatemala.

Last year, Banco Azteca sought for a banking license in
Honduras.  Published reports say that the regulator denied
authorization due to a SEC lawsuit filed against Banco Azteca
controller Ricardo Salinas.  However, regulator head Alfaro
Gustavo said the banking license was not denied.  Some documents
were missing and Banking Azteca filed for a banking license
again in March 2006.


WARNACO GROUP: Roger Williams Resigns as Group President
--------------------------------------------------------
The Warnaco Group, Inc., disclosed the resignation of Roger
Williams as Group President, Swimwear, citing personal reasons.
The company has initiated a search for a new Group President,
Swimwear.  Until a new Group President is appointed, Sherry
Waterson, President of Speedo, and Paula Schneider, President of
Designer Swimwear, will report directly to Joe Gromek, Warnaco's
President and CEO.

Mr. Gromek said, "We thank Roger for his efforts and
contributions to our Swimwear Group during the last four and a
half years and wish him all the best in his future endeavors."

Headquartered in New York, The Warnaco Group, Inc., is an
apparel company engaged in designing, marketing and selling
intimate apparel, men's wear, jeans wear, swimwear, men's and
women's sportswear and accessories under such owned and licensed
brands as Warner's(R), Olga(R), Lejaby(R), Body Nancy Ganz(tm),
Speedo(R), Anne Cole(R), Op(R), Ocean Pacific(R), Cole of
California(R) and Catalina(R) as well as Chaps(R) sportswear and
denim, J. Lo by Jennifer Lopez(R) lingerie, Nautica(R) swimwear,
Michael Kors(R) swimwear and Calvin Klein(R) men's and women's
underwear and sportswear, men's, women's, junior women's and
children's jeans and accessories and women's and juniors'
swimwear.  The company emerged from bankruptcy protection in
2003.  Its Authentic Fitness unit is the North American
distributor of Speedo swimwear.  In 2003 the last two US-based
manufacturing facilities were closed and production shifted to
Honduras, Mexico, and Asia.  In 2006 it acquired the license,
wholesale, and retail units for Calvin Klein jeans and
accessories in Europe and Asia.

                        *    *    *

Standard & Poor's Ratings Services revised on Aug. 11, 2006, its
outlook on The Warnaco Group, Inc.'s ratings to stable from
positive.  At the same time, the ratings on Warnaco were
affirmed, including its 'BB-' corporate credit rating.  Total
debt outstanding at April 1, 2006, was about US$431 million.

"The outlook revision follows the company's announcement that it
will restate its financial statements for the fiscal year ended
December 2005 and the first quarter of 2006 ended April 1, 2006,
as a result of certain irregularities and errors related to its
accounting for returns and vendor allowances at its Chaps men's
wear division," said Standard & Poor's credit analyst Susan H.
Ding.




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


GOODYEAR TIRE: Fire Halts Operations at Distribution Center
-----------------------------------------------------------
A fire at Goodyear Tire & Rubber Co. has stopped operations at
its distribution center in Kingston, Jamaica, Radio Jamaica
reports.

Emeleo Ebanks, the public relations officer for the Fire
Brigade, told Jamaica Observer that the fire started shortly
after 8:00 p.m. on Jan. 11 at Goodyear Tire's distribution
center and Queen's Warehouse.  It took 110 firefighters 10 hours
to subdue the blaze that gutted the distribution center and
destroyed a section of the adjoining Queen's Warehouse.

Radio Jamaica relates that investigators have not yet determined
the cause of the fire.

Cynthia Jonas, manager of Goodyear Tire's distribution center,
told The Observer that the losses resulting from the fire have
not been ascertained.  She said that thousands of tires were
stored in the warehouse, in addition to tubes, forklifts,
palette riders, machines and computers.

The warehouse had about three months' supply of tires, The
Observer says, citing Bryan Young -- chairperson of Tire Sales,
the company that distributes the tires on behalf of Goodyear
Tire -- told the Observer.

"This will affect sales tremendously.  This is the only Goodyear
warehouse in the island and we distribute island-wide," Ms.
Jonas commented to The Observer.

Limited operations at the distribution center will resume this
week, Radio Jamaica states.

Shipments will start arriving in the island shortly, Goodyear
Tire's General Manager Steven Miller told RJR News.

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.




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


ADVANCED MARKETING: Authorized to Pay Prepetition Shipping Duty
---------------------------------------------------------------
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 to pay, up to US$725,000 in the
aggregate, prepetition shipping obligations.

The Debtors wants to reimburse the valid prepetition claims of
about 51 domestic and international common carriers, shippers,
freight forwarders and truckers, and related shipping services
and supplies providers that the Debtors use for shipment,
transport, and delivery of goods that are critical to the sale
of merchandise and the timely shipping and delivery of goods
used and sold in the ordinary course of business.

Paul N. Heath, Esq., at Richards, Layton & Finger, P.A., in
Wilmington, Delaware, relates that the Debtors receive goods
through various forms of shipment, and much of the Debtors'
pricing policies, marketing strategies and fundamental business
operations rely on their ability to obtain and sell goods at
competitive prices.  He notes that the distribution and sale of
books, other media, related accessories, and other items is the
essence of the Debtors' business.

Mr. Heath says the Debtors' ability to receive, distribute and
fulfill sales depends on the maintenance of a successful and
efficient system of transportation.  Any disruption of (a) the
delivery or return of the Merchandise, and (b) the Debtors'
ability to sell the Merchandise would have an immediate and
devastating impact on the Debtors' operations.  Hence, the
maintenance of the Debtors' business operations and the
preservation of their going-concern value depend on the
maintenance of reliable and efficient transportation and sale
processing systems for the Merchandise, and these two related
and important systems involve the use of the Common Carriers.

The Debtors must ensure that their Chapter 11 cases do not cause
third parties like the Common Carriers to cease performing
timely services because the Debtors are in many cases dependent
on the services of the third parties, Mr. Heath tells the Court.
If the Debtors are unable to ship, receive and sell deliveries
of the Merchandise on a timely and uninterrupted basis, their
operations will be immediately and substantially impeded and
their business will suffer irreparable damage.

The Debtors' choice of Common Carriers is based on selecting the
most efficient vendor in any market.  The use of substitute
vendors in any market would not only increase the vendors'
shipping costs materially, but it would also jeopardize the
availability of shippers in certain markets.

The Debtors have determined that each of the Common Carriers is
absolutely necessary to the continued shipping, delivery and
return of goods used or sold in the ordinary course of the
Debtors' business.

Before the Petition Date, the Debtors performed an analysis of:

  (a) the Merchandise that was in transit or needed to be
      shipped by the Common Carriers;

  (b) the anticipated amount of payments that would be necessary
      for the Debtors to receive the Merchandise in transit; and

  (c) the anticipated amount of payments that would be necessary
      for the Debtors to continue receiving the services
      provided by the Common Carriers.

Mr. Heath discloses that the Merchandise valued at approximately
US$16,050,000 is currently being shipped at the Debtors' expense
in respect of returns to certain of the Debtors' publishers.
The total estimated amount owed to all Common Carriers in
respect of all prepetition services is approximately US$685,000,
and the Debtors believe that the maximum amount required to
obtain or deliver the Merchandise currently in transit is
approximately US$170,000.

Mr. Heath says the Debtors anticipate that certain of the Common
Carriers will have some outstanding invoices for the Merchandise
delivered to the Debtors before the Petition Date.  The Debtors
will only pay Shipping Charges that, in their business judgment,
will benefit the estates and their creditors from making those
payments, taking into account (1) the costs the estates would
incur by bringing an action to compel turnover of goods, (2) the
delays associated with those actions, (3) the costs of the delay
in shipping, receiving and selling goods and merchandise, and
(4) the business expenses related to replacing the Common
Carriers to the extent replacement is possible.

In sum, the total amount to be paid to the Common Carriers would
be minimal compared to the importance and necessity of the
services of the Common Carriers, and the losses the Debtors
would suffer if their operations are affected by a refusal to
provide ongoing services, Mr. Heath submits.  Moreover, the
Debtors do not believe that there are viable timely alternatives
to the Common Carriers that they have used before the Petition
Date.

Mr. Heath further notes that the Court's authorization to pay
the Shipping Charges will not be deemed to constitute
postpetition assumption or adoption of any agreement pursuant to
Section 365 of the Bankruptcy Code.  The Debtors reserve all
their rights under the Bankruptcy Code with respect to any of
those agreements, and to contest the amount or validity of any
Shipping Charges, in whole or in part.

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


ADVANCED MARKETING: Court Issues Injunction vs. Utility Cos.
------------------------------------------------------------
The Hon. Christopher S. Sontchi of the U.S. Bankruptcy Court for
the District of Delaware granted, on an interim basis, Advanced
Marketing Services Inc. and its debtor-affiliates' request for
an injunction against their utility providers, prohibiting them
from discontinuing utility services.

In the normal course of their business, the Debtors have
relationships with certain utility providers for the provision
of natural gas, electricity, telephone, sewer, sanitation, and
other services.  According to Mark D. Collins, Esq., at
Richards, Layton & Finger, P.A., in Wilmington, Delaware, before
the Petition Date, the Utility Providers provided Utility
Services to the Debtors at various locations, including the
Debtors' distribution centers located throughout the United
States.  Ordinarily, upon receipt of a monthly invoice, the
Debtors pay each of the Utility Providers directly for the
Utility Services provided during the immediately preceding
month.

The Debtors have not had significant defaults or arrearages with
respect to their undisputed invoices for Utility Services, other
than payment interruptions that may be caused by the
commencement of their Chapter 11 cases, Mr. Collins tells the
Court.

By this motion, the Debtors ask the Court to enter a ruling:

  (a) prohibiting the Utility Providers from altering, refusing,
      or discontinuing Utility Services on account of unpaid
      prepetition invoices;

  (b) providing that the Utility Providers have "adequate
      assurance of payment" by virtue of a supplemental two-week
      deposit calculated on the basis of the average bill over
      the preceding 12 months;

  (c) establishing procedures for determining requests for
      additional adequate assurance of payment;

  (d) providing that if a Utility Provider timely requests in
      writing additional adequate assurance that the Debtors
      believe is unreasonable, then, at the request of the
      Utility Providers and after a reasonable period for
      discussion and negotiation, the Debtors will promptly file
      a request for determination of adequate assurance of
      payment and set that request for a hearing;

  (e) providing that any Utility Provider that does not timely
      request additional adequate assurance of payment will be
      deemed to have adequate assurance; and

  (f) providing that, in the event that a determination request
      is filed or a determination hearing is scheduled, any
      objecting Utility Provider will be deemed to have adequate
      assurance of payment without the need for payment of
      additional deposits or other securities until a Court
      ruling is entered to the contrary in connection with that
      determination request or determination hearing.

In order to provide adequate assurance of payment for future
services to their Utility Providers, the Debtors propose to make
a Utility Deposit equal to two weeks of the Debtors' estimated
cost of their utility consumption to each Utility Provider,
which totals approximately US$79,744 in aggregate deposits for
the Utility Providers.  The Debtors propose to make Utility
Deposits to each of the Utility Providers promptly after the
entry of an interim ruling granting the Debtors' request,
pending further Court ruling, for the purpose of providing each
Utility Provider with adequate assurance of payment of its
postpetition services to the Debtors.

Additionally, the Debtors seek to establish reasonable
procedures by which a Utility Provider may request additional
adequate assurance of future payment, in the event that the
Utility Provider believes that its Utility Deposit does not
provide it with satisfactory adequate assurances.  The
Procedures, in particular, would provide that:

  (1) If a Utility Provider is not satisfied with the assurance
      of future payment provided by the Debtors, the Utility
      Provider must serve a written request on the Debtors
      setting forth the locations for which Utility Services are
      provided, the account numbers for the locations, the
      outstanding balance for each account, a summary of the
      Debtors' payment history on each account, and an
      explanation of why the Utility Deposit is inadequate
      assurance of payment;

  (2) The Request must be actually received by the Debtors'
      counsel within 45 days of the Court ruling granting the
      Debtors' Motion;

  (3) Without further Court ruling, the Debtors may enter into
      agreements granting additional adequate assurance to a
      Utility Provider serving a timely Request, if the Debtors,
      in their discretion, determine that the Request is
      reasonable;

  (4) If the Debtors believe that a Request is unreasonable,
      then they will, within 30 days after the Request Deadline
      date, file a determination request seeking a determination
      from the Court that the Utility Deposit, plus any
      additional consideration offered by the Debtors,
      constitutes adequate assurance of payment.  Pending notice
      and a hearing on a determination request, the Utility
      Provider that is the subject of the unresolved Request may
      not alter, refuse, or discontinue services to the Debtors
      or recover or set off against a prepetition deposit; and

  (5) The Utility Deposit will be deemed adequate assurance of
      payment for any Utility Provider that fails to make a
      timely Request.

Moreover, the Debtors request that the Court ruling provide that
Utility Providers must immediately refund any Utility Deposit in
the event that the Debtors terminate the services of any Utility
Provider.  The Debtors believe that the immediate refund of a
Utility Deposit by a Utility Provider whose services are
terminated is fair and appropriate under the circumstances
because the Utility Provider would no longer require adequate
assurances of future performance by the Debtors.

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


ADVANCED MARKETING: Seeks for Court Approval of Bidding Protocol
----------------------------------------------------------------
Advanced Marketing Services Inc. and its debtor-affiliates ask
the U.S. Bankruptcy Court for the District of Delaware to
establish procedures and a timeline to consummate a Qualified
Transaction.  The Debtors also ask the Court to establish an
offer evaluation process for certain Qualified Transactions, set
a date for the Qualified Transaction Hearing and certain
deadlines to seek approval of a Qualified Transaction and to
submit competing offers.

The Debtors have been seeking to recapitalize their businesses
through a strategic transaction, by way of the sale of
substantially all or a portion of their major assets, or a debt
or equity investment.  The Debtors have received substantial
investor interest, with multiple third parties executing non-
disclosure agreements and conducting diligence.

Pursuant to their Amended and Restated Loan and Security
Agreement dated as of Jan. 3, with Wells Fargo Foothill Inc., as
DIP agent, and a consortium of lenders, the Debtors are
obligated to take steps to consummate a Qualified Transaction
pursuant to a specified timeline.

The Debtors also seek permission to provide stalking horse
protections with respect to a stalking horse for the Qualified
Transaction.  The Debtors also seek approval of the manner of
notice of the Qualified Transaction Procedures.

The Debtors will seek approval of a Qualified Transaction not
more than two days following Court approval of the Qualified
Transaction Procedures.

                         Sale Notice

In the event they enter into an agreement to sell substantially
all of their assets, the Debtors will send notice of the
proposed Qualified Transaction Procedures and the proposed time
and date of the Sale Procedures to all parties-in-interest and
all potential purchasers.  The Qualified Transaction Motion will
attach the form of asset purchase agreement executed by the
Stalking Horse, and the notice will include instructions as to
how parties-in-interest may obtain a copy of the Definitive
Agreement.

                    Access to Data Room

The Debtors will establish an electronic data room that contains
information relevant to the Debtors for evaluation by interested
parties.  The Debtors will make the electronic data room
available to any entity the Debtors determine to be qualified
that executes an appropriate confidentiality agreement.

                       Offer Deadline

Binding offers to purchase all or any defined portion of the
Debtors' assets may be submitted up to two days prior to the
date the Offer Evaluation Process is to occur.  Each Qualified
Offer should include:

   (i) a mark up of the Definitive Agreement;

  (ii) detailed information about the party making the Qualified
       Offer, including its financial and other capacity to
       consummate the transaction;

(iii) an identification of the executory contracts and leases
       to be assumed by the party making the Qualified Offer;
       and

  (iv) information sufficient to demonstrate that the party
       making the Qualified Offer will be able to provide
       parties to the contracts and leases with adequate
       assurance of its ability to perform under them.

                 Offer Evaluation Process

Two business days prior to the Qualified Transaction Hearing, a
meeting will be held at the offices of Richards Layton & Finger,
the Debtors' Delaware counsel, if the Debtors determine in their
discretion, after consultation with their major creditors, that
proceeding with the Offer Evaluation Process is appropriate.

During the Offer Evaluation Process, the Debtors will evaluate
the offers of the Stalking Horse and any Qualified Offers.
Successive Qualified Offers will be considered only if they
exceed the previous offer by a minimum increment to be
determined by the Debtors in their business judgment, provided
that the initial increment will be not less than the amount that
would be owed if the Debtors would be required to pay the
Stalking Horse Protections to the Stalking Horse.

The Debtors may recess the Offer Evaluation Process from time to
time in their discretion to assess Qualified Offers or permit
participants whether to alter or increase their Qualified
Offers.

If the Qualified Transaction Motion seeks approval of a
financing transaction or other debt or equity infusion, no
overbid procedures will be necessary.

In the event the Debtors have not selected a Stalking Horse at
the time they file the Qualified Transaction Motion, the
Definitive Agreement will be drafted by the Debtors.

                       Multiple Lots

The Debtors reserve the right to accept and evaluate one or more
Qualified Offers seeking the purchase of one or more defined
subsets of their assets.  In the event that acceptance and
evaluation of the Qualified Offers is deemed appropriate in the
Debtors' business judgment, formed after consultation with their
major creditors, the Offer Evaluation Process may proceed in
multiple lots, provided that any participant will have an
opportunity to submit a Qualified Offer on one or more lots or
on all lots together, and the Debtors will be free in their
business judgment to accept the Qualified Offer or Offers that,
alone or in conjunction with others, the Debtors deem to
comprise the highest and best offer available.

               Qualified Transaction Hearing

The Debtors ask the Court to schedule the Qualified Transaction
Hearing on a date not less than 22 days after entry of the
Qualified Transaction Procedures Order.

                Stalking Horse Protections

The Debtors seek authority, but not direction, to provide these
Stalking Horse Protections upon the execution of a Definitive
Agreement:

  (i) a break up fee of up to 2.5% of the net consideration to
      the Debtors under the Definitive Agreement, or

(ii) reimbursement of reasonable, documented out of pocket
      expenses not to exceed US$200,000.

To be entitled to the Protections, the Debtors explain that the
Stalking Horse must agree to keep its offer open until the
conclusion of the Offer Evaluation Process.

In the event that the Debtors seek a Qualified Transaction in
the form of a refinancing of the DIP Facility, the Debtors seek
authority, but not direction, to provide a refinancing lender
with these protections:

  (i) a break up fee of up to 0.5% of the face amount of the new
      facility, or

(ii) reimbursement of reasonable, documented out of pocket
      expenses not to exceed US$150,000.

The Qualified Transaction Protections are modest sums, Paul N.
Heath, Esq., at Richards, Layton & Finger, P.A., in Wilmington,
Delaware, assures Judge Sontchi.

"Not only will a Stalking Horse or Refinancing Lender provide
the Debtors and their creditors with a measure of comfort that
the Qualified Transaction will in fact be consummated, but the
presence of a Stalking Horse will encourage third parties to
submit competitive offers and will enable the Debtors to
maximize value for their estates," Mr. Heath says.  "The
benefits of having a Stalking Horse or a Refinancing Lender thus
far outweigh the potential costs associated with the Qualified
Transaction Protections."

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


CENTRAL FREIGHT: Posts US$10.4MM Net Loss in Third Quarter 2006
---------------------------------------------------------------
Central Freight Lines Inc. reported a US$10.4 million net loss
on US$82.7 million of revenues for the third quarter ended
Sept. 30, 2006, compared with a US$13.4 million net loss on
US$94.34 million of revenues for the third quarter ended
Oct. 1, 2005.

The net loss of US$13.4 million in the fiscal 2005 quarter
included a US$4.3 million non-cash impairment charge and a
related US$1.7 million income tax benefit to write off all
goodwill associated with prior acquisitions.

The increase in net loss, excluding the non-cash impairment
charge and related tax benefit, resulted primarily from a 12.3%
decline in operating revenues offset by a 15.7% decrease in
operating costs.

Approximately US$3 million of the total revenue decrease was due
to reduced business from Dell, a former customer.  Total tonnage
decreased 50.8 thousand tons, or 11.1%, from 456.2 thousand tons
in the 2005 quarter to 405.4 thousand tons in the 2006 quarter.
The average length of haul declined by 2.4% from 494 miles in
the 2005 quarter to 482 miles in the third quarter of 2006.

At Sept. 30, 2006, the company's balance sheet showed
US$143.9 million in total assets, US$123.8 million in total
liabilities, and US$20.1 million in total stockholders' equity.

The company's balance sheet at Sept. 30, 2006, also showed
strained liquidity with US$51.2 million in total current assets
available to pay US$72.5 million in total current liabilities.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2006, are available
for free at http://researcharchives.com/t/s?1891

             Investing and Financing Activities

Net cash provided by investing activities was approximately
US$14.4 million and US$7.7 million for the nine months ended
Sept. 30, 2006, and Oct. 1, 2005, respectively.  In the 2006
period, the company sold four terminals and revenue equipment
and recorded proceeds of approximately US$15.7 million.

Net cash used in financing activities, for the nine months ended
Sept. 30, 2006, was approximately US$7.3 million primarily due
to the pay off a mortgage on the Portland, Oregon terminal of
US$4.7 million.  Net cash used in financing activities amounted
to US$4.1 million for the nine months ended Oct. 1, 2005.

            Merger with North American Truck Lines

On Nov. 21, 2006, the stockholders of Central Freight Lines Inc.
approved the merger of the company with North American Truck
Lines LLC and Green Acquisition Company.   Under the Merger
Agreement, Green will merge with and into Central, with the
company continuing as the surviving corporation.  North American
and Green are controlled by Jerry Moyes, the company's former
chairman of the board, with Green being a wholly owned
subsidiary of North American.

                    Going Concern Doubt

As reported in the Troubled Company Reporter on May 17, 2006,
McGladrey & Pullen LLP, in Dallas, Texas, raised substantial
doubt about Central Freight Lines Inc.'s ability to continue as
a going concern after auditing the company's consolidated
financial statements for the year ended Dec. 31, 2005.  The
auditor pointed to the company's recurring losses from
operations and negative working capital.

                        *    *    *

Based in Waco, Texas, Central Freight Lines, Inc. (Nasdaq: CENF)
-- http://www.centralfreight.com/-- is a less than truckload
carrier specializing in regional overnight and second day
markets in the Midwest, Southwest, West Coast, and Pacific
Northwest.  Utilizing marketing alliances, Central also provides
service to the Great Lakes, Southeast, Mexico and Canada.


CINRAM INT: Extends MGM North American Replication Agreement
------------------------------------------------------------
Cinram International Income Fund has extended the scope of its
North American replication agreement with Metro-Goldwyn-Mayer
Studios Inc. or MGM and broadened its relationship with the
studio through a multi-year, European replication agreement.

"We have worked very closely with MGM over the last three years,
establishing a strong partnership, and we look forward to
continuing to build on this relationship with the extension of
our agreement beyond its original mandate," said Cinram Chief
Executive Officer, Dave Rubenstein.  "The new agreement expands
Cinram's market reach in Europe by leveraging our existing
assets and distribution infrastructure in France, Germany and
the United Kingdom."

In March 2004, Cinram first signed an exclusive, multi-year DVD
and VHS manufacturing and distribution agreement with MGM for
the United States and Canada.  Cinram will now also become the
exclusive manufacturer of DVDs for MGM in the major Western
European countries under a new agreement, effective in the first
quarter of 2007.

"We are delighted with the world-class level of service we
receive, which is why Cinram remains our supplier of choice,"
said Blake Thomas, Executive Vice-President and General Manager
for MGM Home Entertainment Group.

MGM's library, recognized as one of the largest modern libraries
in the world, encompasses 4,000 movie titles and 10,000-plus
episodes of television programming, a large number of such
titles and episodes are available for home entertainment
release.

Cinram International Inc. (TSX: CRW.UN) - http://www.cinram.com/
-- an indirect wholly owned subsidiary Cinram International
Income Fund, provides pre-recorded multimedia products and
related logistics services.  With facilities in North America
and Europe, Cinram International Inc. manufactures and
distributes pre-recorded DVDs, VHS video cassettes, audio CDs,
audio cassettes and CD-ROMs for motion picture studios, music
labels, publishers and computer software companies around the
world.  The company has sales offices in Mexico.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 16, 2006,
Standard & Poor's Ratings Services said it revised its outlook
on Cinram International Inc., a wholly owned indirect subsidiary
of Cinram International Income Fund, to negative from stable.
At the same time, Standard & Poor's affirmed its 'BB-' long-term
corporate credit rating and its 'BB-' bank loan rating, with a
recovery rating of '4', on prerecorded multimedia manufacturer
Cinram.


GENERAL MOTORS: Says Too Early to Provide Details on Proton Deal
----------------------------------------------------------------
General Motors Corporation says many parties are seeking stake
with Malaysian automaker Proton Holdings Bhd., and it is too
early to provide details on the bidding process, Reuters
reports.

GM's statement relates to Tuesday's article in the Troubled
Company Reporter on the U.S. carmaker's interest in buying a
stake in Proton, which could reach more than MYR10 for each
Proton share.

According to Bloomberg, Proton, which has suffered low profits
in the past seven years, is seeking a new partner to stem losses
following the end of its 21-year partnership with Mitsubishi
Motors Corp. in March 2004.

Proton disclosed a MYR250.3 million loss in the quarter ended
Sept. 30, 2006, compared to a MYR154.3 million loss for the same
period in 2005.

GM's Shanghai-based spokesman Rob Leggat told reporters that GM
held talks with Proton.  However, Faridah Idris, a spokeswoman
at Proton, declined to comment.  In November 2000, GM held talks
with Proton about a deal in Malaysia but the discussions did not
result in any partnership.

                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 in the Troubled Company Reporter on Dec. 15, 2006,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with negative implications, where
they were placed March 29, 2006.  S&P said the outlook is
negative.

As reported in the Troubled Company Reporter on Nov. 14, 2006,
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 is expected to be secured by a first
priority perfected security interest in all of the US machinery
and equipment, and special tools of General Motors and Saturn
Corp.


LEAR CORP: To Unveil Annual & Quarterly Results on Jan. 25
----------------------------------------------------------
Lear Corp. will release its fourth quarter and full year 2006
financial results on Jan. 25 before the stock market opens.

The company financial results and related matters at 9:00 a.m.
EST on the same day.

To participate in the conference call:

   -- Domestic calls: 1-800-789-4751
   -- International calls: 1-706-679-3323

The audio replay will be available two hours following the call
at:

   -- Domestic calls: 1-800-642-1687
   -- International calls: 1-706-645-9291

The audio replay will be available until Feb. 8.

A live audio Web cast of the call, in listen only mode, is
available at http://www.lear.com/.

Inquiries can be addressed to:

         Melissa Skauradchun
         Manager, Investor Relations
         Lear Corporation
         Tel: (248) 447-5648
         E-mail: mskauradchun@lear.com

                     About the Company

Southfield, Mich.-based Lear Corp. (NYSE: LEA) --
http://www.lear.com/-- is a global supplier of automotive
interior systems and components.  Lear provides complete seat
systems, electronic products, electrical distribution systems,
and other interior products.

Lear also operates in Argentina, Austria, Belgium, Brazil,
Canada, China, Czech Republic, United Kingdom, France, Germany,
Honduras, Hungary, India, Italy, Japan, Mexico, Morocco,
Netherlands, Philippines, Poland, Portugal, Romania, Russia,
Singapore, Slovakia, South Africa, South Korea, Spain, Sweden,
Thailand, Tunisia, Turkey and Venezuela.

                        *    *    *

As reported on Nov. 23, 2006, Moody's Investors Service raised
Lear Corp.'s rating outlook to stable from negative and affirmed
all other Lear ratings.

On Nov. 20, 2006, Standard & Poor's Ratings Services assigned
its 'B-' ratings to Lear Corp.'s US$300 million senior notes due
2013 and its US$400 million senior notes due 2016.

Lear's 'B+' corporate credit and other ratings were affirmed.
The outlook is negative.

Moody's Investors Service has assigned a B3, LGD4, 61% rating to
Lear Corporation's new offering of US$700 million of unsecured
notes.  At the same time, Moody's affirmed Lear's Corporate
Family Rating of B2, Speculative Grade Liquidity rating of SGL-2
and negative outlook.  All other long-term ratings are
unchanged.


LIBBEY INC: Unit Commence Exchange Offer on US$306MM Sr. Notes
--------------------------------------------------------------
Libbey Inc. disclosed that its wholly owned subsidiary Libbey
Glass Inc., commenced an offer to exchange up to US$306 million
in aggregate principal amount of its Floating Rate Senior
Secured Notes due 2011, which have been registered under the
Securities Act of 1933, as amended, for its outstanding
unregistered Floating Rate Senior Secured Notes due 2011.  The
exchange offer will expire at 5:00 p.m., New York City time on
Feb. 14, 2007, unless Libbey Glass Inc., in its sole discretion,
decides to extend the exchange offer.

The exchange agent for the exchange offer is:

          The Bank of New York Trust Company, N.A.
          Attn: Corporate Trust Department, Reorganization Unit
          101 Barclay Street - 7E, New York, NY 10286
          Tel: 1-212-815-5920.

Based in Toledo, Ohio, Libbey Inc. -- http://www.libbey.com/
-- operates glass tableware manufacturing plants in the United
States in Louisiana and Ohio, in Mexico, Portugal and the
Netherlands.

                        *    *    *

Standard & Poor's Ratings Services assigned on May 16, 2006, its
'B' corporate credit rating to Libbey Inc.  At the same time,
Standard & Poor's assigned its 'B' senior unsecured debt rating
to the company's proposed US$400 million of senior unsecured
notes due 2014, which will be issued by the company's wholly
owned subsidiary Libbey Glass Inc. and guaranteed on a senior
basis by Libbey Inc.  Standard & Poor's said the outlook is
stable.


NORTEL: Discloses Road Map for Unified Comms. with Microsoft
------------------------------------------------------------
Microsoft Corp. CEO Steve Ballmer and Nortel CEO and President
Mike Zafirovski disclosed a joint road map to deliver their
shared vision for unified communications.  The road map is the
result of an alliance between Microsoft and Nortel announced in
July 2006, and includes three new joint solutions to
dramatically improve business communications by breaking down
the barriers between voice, e-mail, instant messaging,
multimedia conferencing and other forms of communication.

Speaking at an event at Studio 8H in Rockefeller Center to more
than 100 customers along with reporters and analysts, Messrs.
Ballmer and Zafirovski outlined how companies can improve
employee productivity and effectiveness and reduce the costs and
complexity of communications. They also disclosed 11 new
implementation services from Nortel and the opening of more than
20 joint demonstration centers where customers can experience
the technology firsthand.

In just six months since the alliance was formed, the two
companies have signed agreements with dozens of customers, and
have developed a pipeline of hundreds of prospects who want to
realize the benefits of unified communications.

"We are executing forcefully on the vision of this alliance and
have made tremendous progress," Mr. Zafirovski said.  "We
completed the planning stages and are now delivering unified
communications solutions to businesses around the world.  Our
goal is to close the gap between the devices we use to
communicate and the business applications we use to run our
businesses, giving employees the power to use information more
quickly and effectively."

"The average employee gets more than 50 messages every day on up
to seven different devices or applications," Mr. Ballmer added.
"Software can and will help address the ongoing challenge of
managing communications and this challenge is the driving idea
behind our alliance with Nortel. Together, we will evolve VoIP
and unified communications to integrate all the ways we contact
each other in a simple environment, using a single identity
across phones, PCs and other devices."

   New Solutions to Improve Communications and Collaboration

Microsoft and Nortel formed the Innovative Communications
Alliance to help companies transform business communications by
speeding up the transition to voice over Internet protocol
(VOIP) and unified communications.  Delivering on the vision
they outlined in July, Microsoft and Nortel introduced three new
solutions:

   * UC Integrated Branch

     This new product from the alliance will incorporate Nortel
     and Microsoft technology on a single piece of hardware
     that delivers cost-effective, high-quality and
     easy-to-deploy VoIP and unified communications in remote
     offices.  The UC Integrated Branch is planned to be
     available in the fourth quarter of 2007.

   * Unified Messaging

     To simplify customer deployments, native session
     initiation protocol interoperability between the Nortel
     Communication Server 1000 and Microsoft Exchange Server
     2007 Unified Messaging is planned to be available in the
     second quarter of 2007.  The solution includes Nortel
     professional services for design, deployment and support.

   * Conferencing

     This new solution will extend the rich feature set of
     Nortel Multimedia Conferencing to Microsoft Office
     Communicator 2007, delivering a single, familiar client
     experience consistent across applications such as voice,
     instant messaging, presence, and audio- and
     videoconferencing.  The on-premise solution is planned
     to be available in the fourth quarter of 2007.

In 2007, the companies also plan to extend their current unified
communications solution -- a unified desktop and soft phone for
VoIP E-mail, instant messaging and presence -- to the Nortel
Communication Server 2100, a carrier-grade enterprise telephony
product supporting up to 200,000 users on a single system.

In addition, Nortel and Microsoft presented a road map for 2008
and beyond for moving business communications onto a software
platform designed to drive a higher-quality user experience and
reduce total cost of ownership.  The road map outlines several
key applications and technology developments including a unified
communications contact center, Nortel feature server, expanded
hosted UC solutions, mobility and client solutions, and
application-aware networking enhancements.

"Innovative communications and collaboration technologies are
critical to fully enabling Royal Dutch Shell's global work
force, and key to operating at top quartile in our industry. We
believe in and support the vision Nortel and Microsoft have
outlined," said Johan Krebbers, group IT architect at Royal
Dutch Shell, who joined Messrs. Ballmer and Zafirovski onstage
for today's event.  "Over the next several years, we plan to
migrate our network to a software-based communications system
built on technologies represented by the Nortel and Microsoft
alliance."

   Experiencing VoIP and Unified Communications Solutions

The companies have equipped more than 20 joint demonstration
centers in North America, Europe and Asia, with more than 100
additional centers scheduled to open by midyear.

In a related announcement, Nortel added 11 core integration
services to help customers build, deploy and support joint
unified communications solutions, including end-to-end project
management. Nortel already has more than 2,200 VoIP experts to
deliver these services and will add more as deployment ramps up.
This group is supported by the 10,000-strong Nortel global
services team and a large ecosystem of services partners.

Headquartered in Ontario, Canada, Nortel Networks Corp.
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.
Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries, including Mexico in Latin America.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 5, 2006,
Moody's Investors Service upgraded its B3 Corporate Family
Rating for Nortel Networks Corp. to B2.

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  DBRS says all trends are stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.


* MEXICO: JBIC Provides Loan Guarantee for Telmex Expansion
-----------------------------------------------------------
Japan Bank for International Cooperation or JBIC signed an
agreement on Jan. 15 to provide a guarantee for the syndicated
loan to Telefonos de Mexico, S.A.B. de C.V. aka Telmex totaling
up to US$300 million with 4 commercial institutions in Japan
(including Mizuho Corporate Bank and the Bank of Tokyo-
Mitsubishi UFJ as lead arranger).

The proceeds of this syndicated loan will be used for capital
investment undertaken by TELMEX to expand its fixed
telecommunications network and data communications project.  By
utilizing the guarantee facility as a means of support for
Japanese financial institutions, which are driving its business
development and expansion in Mexico, JBIC is supplementing and
encouraging the development of Japanese financial business
operations there.  The utilization of the guarantee also assists
Telmex in securing stable and long-term funds, thus further
cementing their ties with JBIC.

With the Japan-Mexico Economic Partnership Agreement coming into
effect in April 2005, a number of Japanese firms, led by
automotive and electronics manufacturers, have moved into
Mexico.  Under such circumstances, the provision of the loan
with JBIC's guarantee facility will contribute to the
development of telecommunications networks, an indispensable
factor for the business development of local Japanese
affiliates.  JBIC will continue to support the development of
Japanese firms' overseas business by making use of a variety of
its financial tools.

                        *    *    *

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.




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


CHIQUITA BRANDS: Unit to Fund US$2 Million for E.Coli Research
--------------------------------------------------------------
Chiquita Brands' subsidiary, Fresh Express, will provide up to
US$2 million to fund rigorous and multidisciplinary research to
help the fresh-cut produce industry prevent contamination by the
deadly Escherichia coli 0157:H7 pathogen, which has caused
numerous outbreaks over the past decade, including the recent
occurrence related to fresh spinach.  Although no Fresh Express
product has ever been shown to have caused an outbreak of food-
borne illness, the company is funding -- and, in a unique move,
will share this research publicly -- in recognition of the
benefits it may achieve for both the industry and consumers
alike.

An independent scientific advisory panel comprised of six
nationally recognized food safety experts from both federal and
state food safety-related agencies and academia has been meeting
on a nonpaid, voluntary basis since May 2006 to develop the most
productive research priorities related to the source, mode of
action and life cycle of E. coli 0157:H7 and the pathogenic
contamination of lettuce and leafy greens.  The panel is chaired
by Dr. Michael T. Osterholm, Ph.D., M.P.H. and director of the
Center for Infectious Disease Research and Policy, University of
Minnesota.  In addition, the panel consists of:

   -- Dr. Jeff Farrar, California Department of Health Services;

   -- Dr. Bob Buchanan, U.S. Food and Drug Administration;

   -- Dr. Robert Tauxe, U.S. Centers for Disease Control and
      Prevention;

   -- Dr. Bob Gravani, Cornell University; and

   -- Dr. Craig Hedberg, University of Minnesota.

"At Fresh Express, food safety has been and will always be our
No. 1 priority in every phase of our operations," said Tanios
Viviani, president of Fresh Express.  "We have long been
dedicated to food-safety innovation, and this research effort is
part of that ongoing commitment. We are grateful to these
leading experts for their generous contribution of time and
expertise to guide this initiative."

Mr. Viviani continued, "We are hopeful that this research will
yield new knowledge, practices and technologies that the entire
fresh-cut produce industry can use to provide consumers with
ready-to-eat produce that is consistently safe and healthy."

According to Dr. Osterholm, the group evaluated the existing
body of knowledge relating to E. coli 0157:H7 contamination in
fresh produce and collaborated on the most critical research
gaps in fresh produce contamination ranging from growing and
harvesting to cooling, transporting, processing and packaging.

"We systematically used our individual areas of expertise to
scrutinize the entire supply chain and ultimately uncover the
areas where we collectively agreed more research was necessary,"
said Dr. Osterholm. "From this process, the five critical
research priorities began to emerge fairly consistently."  The
identified research priorities -- and those against which
research proposals are being sought -- include:

   * Determine the potential for Escherichia coli O157:H7 to be
     internalized into lettuce or spinach.

   * Identify new mitigation strategies and technologies to
     reduce the potential for E. coli O157:H7 to contaminate
     leafy green produce.

   * Conduct field studies to identify sources, vehicles and
     factors that affect the degree of contamination or extent
     of contamination of leafy green produce by E. coli O157:H7.

   * Determine the ability of E. coli O157:H7 to multiply in
     the presence of normal background flora following the
     harvest of produce such as lettuce or spinach.

   * Determine the ability of E. coli O157:H7 to survive
     composting processes.

                   About Fresh Express

Fresh Express, a subsidiary of Chiquita Brands International,
Inc., is a leader in fresh foods and is dedicated to providing
consumers with healthy, convenient ready-to-eat spinach, salads,
vegetables and fruits.  With the invention of its special Keep
Crisp Bag beginning in the early 1980s, Fresh Express pioneered
the retail packaged salad category and was the first to make
them available to grocery stores nationwide.  More than 20
million consumers enjoy Fresh Express salads, spinach and greens
every week.

                  About Chiquita Brands

Cincinnati, Ohio-based Chiquita Brands International, Inc.
(NYSE: CQB) -- http://www.chiquita.com/-- markets and
distributes fresh food products including bananas and nutritious
blends of green salads.  The company markets its products under
the Chiquita(R) and Fresh Express(R) premium brands and other
related trademarks.  Chiquita employs approximately 25,000
people operating in more than 70 countries worldwide including
Panama.

                        *    *    *

As reported in the TCR-Europe on Nov. 8, Moody's Investors
Service downgraded the ratings for Chiquita Brands L.L.C., as
well as for its parent Chiquita Brands International, Inc.
Moody's said the outlook on all ratings is stable.

This rating action follows the company's announcement that had
incurred a USUS$96 million net loss for its 2006 third quarter.

Standard & Poor's Ratings Services also lowered its ratings on
Cincinnati, Ohio-based Chiquita Brands International Inc.,
including its corporate credit rating, from 'B+' to 'B'.

S&P said the ratings remain on CreditWatch with negative
implications where they were placed on Sept. 26.


SITEL CORP: Posts US$1.8-Million Net Loss in Third Quarter 2006
---------------------------------------------------------------
Sitel Corp. reported a US$1.8 million net loss on US$274.5
million of revenues for the third quarter ended Sept. 30, 2006,
compared with a US$1.9 million net loss on US$244 million of
revenues for the same period in 2005.

Revenue increased US$30.5 million primarily due to revenue
increases in Europe of US$34.1 million and Latin America of
US$4.3 million, partly offset by decreases in North America of
US$5.6 million and Asia Pacific of US$2.3 million.

The revenue increases in Europe and Latin America resulted from
higher sales volumes from new and existing clients.

North American revenue decreased in view of a decrease of
US$23.8 million resulting from the loss of General Motors,
partly offset by US$18.2 million of revenue growth primarily in
customer care, customer acquisition and risk management.

Lower sales volumes from existing clients in Asia Pacific
resulted in US$1.7 million of the decrease.

Direct labor and telecommunications expenses increased
US$26.2 million, or 17.8%, for the three months ended Sept. 30,
2006, compared to the same period of 2005.  The increase was
primarily the result of higher ramp-up costs of new client
programs, particularly in Europe, and a change in the mix of
services provided in the three months ended Sept. 30, 2006,
compared to the same period in 2005.

Subcontracted and other services expenses decreased US$1.7
million for the three months ended Sept. 30, 2006, compared to
the same period of 2005 primarily as the result of lower
subcontracted IT costs to support client programs partially
offset by higher subcontracted services provided by the
company's India joint venture.

Operating, selling and administrative expenses increased
US$6.3 million for the three months ended Sept. 30, 2006,
compared to the same period of 2005.  The weakening of the U.S.
dollar compared to the primary currency in the jurisdictions
that the company operates in accounted for US$1.8 million of the
increase.  The remainder of the increase was associated with the
revenue increase.

The company recorded restructuring expenses of US$4.6 million
for the three months ended Sept. 30, 2005.  There were no
restructuring expenses for the same period in 2006.

Other income, net decreased US$500,000 for the three months
ended Sept. 30, 2006, compared to the same period in 2005
primarily as a result of fluctuations in foreign currency
remeasurement gains arising from monetary assets and liabilities
denominated in currencies other than the business unit's
functional currency.

During the three months ended Sept. 30, 2005, the company
recorded a non-cash tax benefit of approximately US$5.8 million,
which is included in income tax benefit in the consolidated
condensed statements of operations.  This tax benefit results
from the release of a valuation allowance associated with
deferred tax assets in one of the European business units.  The
decision to release this valuation allowance was based on a
sustained improvement of earnings combined with an improved
financial outlook for the business unit.  The improved financial
situation led management to decide that the tax losses in the
business unit would be fully utilized before they expire.

At Sept. 30, 2006, the company's balance sheet showed US$419.2
million in total assets, US$279.1 million in total liabilities,
US$6.3 million in minority interests, and US$133.8 million in
total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2006, are available
for free at http://researcharchives.com/t/s?1887

           Merger Agreement with ClientLogic Corp.

On Oct. 13, 2006, the company and ClientLogic Corporation
disclosed that they have signed a definitive merger agreement.
Under the terms of the agreement, a newly formed subsidiary of
ClientLogic will merge with the company and pay US$4.05 per
share in cash for all of the outstanding common stock of the
company.  The board of directors of each company has unanimously
approved the transaction.  The transaction is expected to be
completed in the first quarter of 2007 and is subject to
customary closing conditions, including approval of the
company's shareholders and regulatory clearances.  The company's
board of directors has recommended to its shareholders that they
vote in favor of the transaction.

                     About Sitel Corp.

Sitel Corp. (NYSE:SWW) -- http://www.sitel.com/-- provides
outsourced customer support services.  On behalf of many of the
world's leading organizations, SITEL designs and improves
customer contact models across its clients' customer
acquisition, retention and development cycles.  SITEL manages
approximately two million customer interactions per day via the
telephone, e-mail, Internet and traditional mail.   SITEL has
over 42,000 employees in 101 global contact centers, utilizing
more than 32 languages and dialects to serve customers in 56
countries including Argentina, Denmark, Panama, Philippines, and
the United Kingdom, among others.

                        *    *    *

Sitel Corp. carries Standard & Poor's Rating Services 'B'
corporate credit rating.




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P E R U
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PRIDE INT: Appoints New Executives for Latin American Services
--------------------------------------------------------------
Pride International, Inc., appointed K. George Wasaff to the
position Chief Executive Officer for Latin America Land and E&P
Services, and he is expected to join the company near the end of
the month.  James M. Mitchell also has joined the company as
Chief Financial Officer for Latin America Land and E&P Services.
In addition, Carlos F. Etcheverry, previously Vice President --
E&P Services, was recently named Chief Operating Officer for
Latin America Land and E&P Services.

Since 2005, Mr. Wasaff has been employed by Ashmore Energy
International as Executive Vice President responsible for
worldwide operations and Senior Vice President of Operations and
Administration of Prisma Energy.  Mr. Wasaff was previously
employed by Enron Corporation from 1986-2005 in a variety of
roles, including Senior Vice President, Wholesale Operations of
South America, Vice Chairman and Chief Executive Officer of
Transportadora de Gas del Sur S.A., Country Manager and Vice
President, Mexico and, most recently, Managing Director,
Corporate Services and member of the Management Committee. Prior
to that, Mr. Wasaff was a marketing manager for El Paso Natural
Gas company.

Mr. Mitchell joins the company from Grant Prideco, Inc., where
he has been employed since 1999, most recently as Treasurer,
after holding positions with responsibility for tax and
corporate development.  Prior to that, Mr. Mitchell was employed
by Azurix, Inc. from 1998 to 1999 as Director of International
Tax, and EVI, Inc. from 1997 to 1998 as Director of Tax.  Mr.
Mitchell started his career with six years at Arthur Andersen
LLP, rising to International Tax Manager.

Mr. Etcheverry joined the company in 2002 and has served as Vice
President -- E&P Services since 2005.  Previously, Mr.
Etcheverry was employed by Halliburton company, where he served
as country manager, Argentina and Business Development Manager.

Louis A. Raspino, President and Chief Executive Officer,
commented, "We are pleased to have George, Jay and Carlos lead
our Latin America Land and E&P Services management team.
Together, they have substantial energy sector, capital markets
and corporate infrastructure building experience, with a sharp
focus on Latin America.  With these appointments, we continue to
make steady progress in the preparation for the disposition of
our Latin America Land and E&P Services businesses as we
transition to a more focused offshore drilling company."

Headquartered in Houston, Texas, Pride International, Inc. --
http://www.prideinternational.com/-- is a drilling contractor.
The Company provides onshore and offshore drilling and related
services in more than 25 countries, operating a diverse fleet of
278 rigs, including two ultra-deepwater drillships, 12
semi submersible rigs, 28 jackup rigs, 18 tender-assisted, barge
and platform rigs, and 218 land rigs.  Pride also provides a
variety of oilfield services to customers in Argentina,
Venezuela, Bolivia and Peru.

                        *    *    *

As reported in the Troubled Company Reporter on Sept. 15, 2006,
Standard & Poor's Ratings Services affirmed its 'BB' corporate
credit rating on contract driller Pride International Inc. and
removed the rating from CreditWatch with negative implications.
The outlook is stable.  As of June 30, 2006, Houston, Texas-
based Pride had US$1.01 billion in adjusted debt.

As reported in the Troubled Company Reporter on Aug. 17, 2006,
Fitch Ratings raised Pride International's Issuer Default Rating
to 'BB' from 'BB-'.  Fitch also raised the ratings on Pride's
senior secured revolving credit facility, senior unsecured notes
and their convertible senior notes.


* PERU: Hopes to Restore Bilateral Relations Through Oil Deal
-------------------------------------------------------------
Peru's state-owned oil firm, Petroperu, wants to buy oil from
Petroleos de Venezuela SA, El Universal reports.

According to Reuters, the proposed agreement signals the
restoration of good bilateral relations between Peru and
Venezuela.  The two nations' relation has been strained the past
few months over diplomatic issues.

"We are interested in executing an agreement on purchase of oil
and diesel (.), whereby they (Pdvsa) can have a customer for a
certain volume annually, and we can have a reliable supplier,"
Petroperu's Chief Executive Officer Cesar Gutierrez was quoted
by El Universal as saying.

Petroperu purchased about 30,000 barrels of oil per day from
Ecuador's Petroecuador, according to El Universal.

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.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 22, 2006,
Standard & Poor's Ratings Services raised its long-term foreign
currency sovereign credit rating on the Republic of Peru to
'BB+' from 'BB' and its long-term local currency sovereign
credit rating to 'BBB-' from 'BB+'.  Standard & Poor's also
raised its short-term local currency sovereign credit rating to
'A-3' from 'B', and affirmed its 'B' short-term foreign currency
sovereign credit rating on the republic.  The outlook on the
ratings was revised to stable from positive.  Standard & Poor's
also raised its assessment of the risk of transfer and
convertibility to 'BBB' from 'BBB-'.




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


ABI CORP: Case Summary & 120 Largest Unsecured Creditors
--------------------------------------------------------
Debtor: Abi Corporation
        Ind. M. Julia
        420 Calle A
        San Juan, PR 00920

Bankruptcy Case No.: 07-00119

Debtor-affiliates filing separate chapter 11 petitions:

      Entity                              Case No.
      ------                              --------
      Geraldine, Inc.                     07-00122
      Jackies, Inc.                       07-00123
      Ranger, Inc.                        07-00124
      Contessa De Las Americas, Inc.      07-00125
      Infinito, Inc.                      07-00126
      Humacao 5 & 10                      07-00127
      Fashion Bazaar                      07-00128
      Juncos 5&10                         07-00129
      Almacenes Linda, Inc.               07-00130

Type of Business: Saul Kleiman Katz is the president of the
                  Debtors.

Chapter 11 Petition Date: January 12, 2007

Court: District of Puerto Rico (Old San Juan)

Judge: Sara E. De Jesus Kellogg

Debtors' Counsel: Charles Alfred Cuprill, Esq.
                  Law Offices of Charles A. Cuprill, P.S.C.
                  356 Calle Fortaleza, 2nd Floor
                  San Juan, PR 00901
                  Tel: (787) 977-0515

                             Estimated Assets   Estimated Debts
                             ----------------   ---------------
   Abi Corporation           US$500,000 to        US$500,000 to
                             US$1 Million         US$1 Million

   Geraldine, Inc.           US$1 Million to     US$1 Million to
                             US$10 Million       US$10 Million

   Jackies, Inc.             US$1 Million to     US$1 Million to
                             US$10 Million       US$10 Million

   Ranger, Inc.              Less than          Less than
                             US$10,000           US$10,000

   Contessa De Las           Less than          Less than
   Americas, Inc.            US$10,000           US$10,000

   Infinito, Inc.            US$10 Million to   US$10 Million to
                             US$50 Million      US$50 Million

   Humacao 5 & 10            US$100,000 to      US$100,000 to
                             US$1 Million       US$1 Million

   Fashion Bazaar            US$1 Million to    US$1 Million to
                             US$10 Million      US$10 Million

   Juncos 5 & 10             US$500,000 to      US$500,000 to
                             US$1 Million       US$1 Million

   Almacenes Linda, Inc.     US$10 Million to   US$10 Million to
                             US$50 Million      US$50 Million

A. Abi Corporation's 20 Largest Unsecured Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Saul Kleiman                       Lease               US$22,500
Ind. Mario Julia 420
Calle A
San Juan, PR 00920

BV Properties                      Lease               US$14,000
Yauco Plaza I
Shopping Center, Suite 137
Yauco, PR 00698

John Irrizary                      Lease               US$12,000
P.O. Box 307
Lajas, PR 00667

Neftali Rivera                     Lease                US$2,600

Nimar Almodovar Pache              Salaries             US$1,200

Mareille Gonzalez Raspal           Salaries             US$1,086

Yathira Santini Rivera             Salaries               US$960

Ana V. Rodriguez Verna             Salaries               US$900

Elizabeth Rosado Ayala             Salaries               US$840

Limarya Roman Garriga              Salaries               US$721

Carlos J. Perez Nieves             Salaries               US$613

Rosa A. Ortiz Vargas               Salaries               US$600

Agustin Berdecia Melend            Salaries               US$566

Joel Cosme Santiago                Salaries               US$480

Carmen A. Rodriguez Torres         Salaries               US$463

Anacell Diaz Melendez              Salaries               US$412

Miguel A. Vazquez Rosado           Salaries               US$360

Zuleika Reyes Jimenez              Salaries               US$360

Jose A. Rosado Ramos               Salaries               US$206

Tania Ramos Pacheco                Salaries                US$51

B. Geraldine, Inc.'s 20 Largest Unsecured Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Plaza Carolina                     Lease               US$38,778
225 West Washington Street
Indianapolis, IN 46204

DDR Rio Hondo LLC SE                                   US$26,978
P.O. Box 360771
San Juan, PR 00936-0771

Plaza Carolina Mall, L.P.          Lease               US$25,348
225 West Washington Street
Indianapolis, IN 46204

Empresas Puertorrique¤as           Lease               US$23,838

Vornado Montehiedra Acquisition                        US$23,449

PR Barceloneta LLC                 Lease               US$22,623

Caguas Centrum L.P.                Lease               US$19,671

DDR Palma Real LLC SE              Lease               US$18,211

North Deck, Ltd.                   Lease               US$16,132

North Deck Ltd.                    Lease               US$15,421

PDCM Assoc.                        Lease               US$11,291

Regency Park Associates SE         Lease               US$10,347

Plaza Guayama SE                   Lease                US$8,189

Joan Vega Ramos                    Salaries             US$1,200

Eva Martinez Figueroa              Salaries             US$1,137

Wilkan D. Gomez Torres             Salaries             US$1,125

Maura Rolon Medina                 Salaries               US$910

Glorivee Rivera Feliciano          Salaries               US$910

Sheila Y. Rivera Nu¤ez             Salaries               US$900

Maria V. Nasser Joya               Salaries               US$796

C. Jackies, Inc.'s 20 Largest Unsecured Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
FRG Sociedad Especial              Lease               US$22,477
Yauco Plaza I
Shopping Center, Suite 137
Yauco, PR 00698

BV Properties                      Lease               US$21,900
Yauco Plaza I
Shopping Center, Suite 137
Yauco, PR 00698

Commercial Properties Development  Lease               US$21,005
Los Jardines Shipping Center
Marg. 130, Suite 300
Guaynabo, PR 00969-3470

PDCM Assoc.                        Lease               US$20,735

Archon Financial                   Lease               US$19,189

Comm. Enterprises Caguas           Lease               US$16,699

North Deck Ltd.                    Lease               US$12,000

Tamara Corp.                       Lease               US$10,000

Aida I Franco Quesada              Salaries             US$1,581

Lisette Gallardo Pacheco           Salaries             US$1,548

Sandra Hernandez Alier             Salaries             US$1,137

Miriam J. Correa Rivera            Salaries               US$875

Sandra I. Martinez Masso           Salaries               US$858

Raquel Cruz Castro                 Salaries               US$840

Lourdes Cintron                    Salaries               US$824

Karen M. Rivera Rosado             Salaries               US$780

Wignelia Rosado Ortiz              Salaries               US$770

Luz M. Ortiz Rivera                Salaries               US$731

Luis O. Gonzalez Diaz              Salaries               US$682

Doralis M. Garcia Martinez         Salaries               US$675

D. Ranger, Inc.'s Largest Unsecured Creditor:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Simon Plaza Carolina, LP-SP        Lease               US$48,411
225 West Washington Street
Indianapolis, IN 46204

E. Contessa De Las Americas, Inc.'s Largest Unsecured Creditor:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Simon Plaza Carolina, LP-SP        Lease               US$48,411
225 West Washington Street
Indianapolis, IN 46204

F. Infinito, Inc.'s 20 Largest Unsecured Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Plaza Del Caribe, S.E.                                 US$82,681
P.O. Box 363268
San Juan, PR 00936-3268

Ron Simkin Belz Enterprises                            US$54,348
P.O. Box 3661
Memphis, TN 38173-0661

DDR Del Sol LLC S.E.                                   US$52,462
P.O. Box 360771
San Juan, PR 00936-0771

Thor Gallery At Centre                                 US$44,732

Caparra Center Associates, S.E.                        US$44,386

Caguas Centrum L.P.                                    US$44,007

DDR Norte LLC S.E.                                     US$40,905

DDR Atlantico LLC S.E.                                 US$38,725

DDR Se¤orial LLC S.E.                                  US$38,591

Luan Investment S.E.                                   US$35,024

North Deck Ltd.                                        US$34,805

Vornado                                                US$34,216

Caparra Center Associates, S.E.                        US$31,451

DDR Rio Hondo LLC S.E.                                 US$30,251

Plaza Las Americas                                     US$28,529

Kim Sam PR                                             US$27,025

DDR Isabela LLC S.E.                                   US$26,846

DDR Cayey LLC S.E.                                     US$26,113

MJS Caguas Ltd.                                        US$24,202

DDR Oeste LLC S.E.                                     US$24,050

G. Humacao 5 & 10 and Juncos 5's Nine Largest Unsecured
Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Benhar                                                 US$18,000
Ind. Mario Julia, Suite 420
Calle A
San Juan, PR 00920

Rosa M. Viera Garcia                                      US$813
P.O. Box 941, Solar Suite 312
Las Parcelas Bartolo
Rio Grande, PR 00745

Moll Almestica, Zulma                                     US$675
Bellisima H-292
Loiza Valley
Canovanas, PR 00721

Luz I. Malave Muniz                                       US$412

Maria L. Morales Montoyo                                  US$330

Ebel L. Allende Fuentes                                   US$257

Olga I. Robles Figueroa                                   US$103

Maribel Gonzalez Vega                                      US$55

Denirka Diaz Lopez                                         US$51

H. Fashion Bazaar's 18 Largest Unsecured Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Doris Ayala Rios                                        US$1,256
HC 01, P.O. Box 8183
Sector Capitan P. 244-A
Toa Baja, PR 00949

Jennifer Ramirez Rivera                                   US$960
Las Cuevas
Carr. 117- Km 3.7 Int.
Lajas, PR 00667

Jessica Burgos Davila                                     US$910
Calle M. Cacho, Suite 170
Bo. Barahona
Morovis, PR 00687

Iris Y. Figueroa Colon                                    US$880

Careline Maldonaldo Gonzalez                              US$440

Johanna Soto Rivea                                        US$300

Idaliz G. Lopez Zamot                                     US$206

Liz R. Negron Garcia                                      US$114

Marilyn Maldonado Muniz                                   US$103

Laura E. Cabrera Tavarez                                   US$60

Mirnelys Rosa Rivera                                       US$51

Edith Valcarcel Colla                                      US$51

Jaydee L. Pagan Pallens                                    US$51

Sylkalianett Rivera Reyes                                  US$51

Tania Galindez Barrio                                      US$51

Tatiana Flores Urbina                                      US$51

Julio a. Rodriguez Cast                                    US$51

Doralice Cortes Cardona                                    US$51

I. Almacenes Linda, Inc.'s 11 Largest Unsecured Creditors:

  Entity                          Nature of Claim   Claim Amount
  ------                          ---------------   ------------
Banco Popular #0999                                 US$4,000,000
P.O. Box 362708
San Juan, PR 00936-2708

Citibank                                            US$2,800,000
P.O. Box 70301
San Juan, PR 00936-8301

Banco Santander                                     US$2,733,039
Carr. Nu. 2
Esq. Carr. 167
Bayamon, PR 00959

Banco Bilbao Vizcaya                                US$2,150,000
P.O. Box 364745
San Juan, PR 00936-4745

Banco Popular #1999                                 US$2,000,000
P.O. Box 362708
San Juan, PR 00936-2708

Banco Popular #9007                                 US$1,778,504
P.O. Box 362708
San Juan, PR 00936-2708

Banco Popular #9008                                 US$1,161,960
P.O. Box 362708
San Juan, PR 00936-2708

Banco Popular #9001                                 US$1,122,417
P.O. Box 362708
San Juan, PR 00936-2708

Banco Popular #3999                                 US$1,000,000
P.O. Box 362708
San Juan, PR 00936-2708

Fierres Inc.                                          US$372,276
P.O. Box 13296
San Juan, PR 00908-3296

Gypsy House                                           US$305,110
P.O. Box 4024234
Pta. Las Marias Shopping Center
Santurce, PR 00913


ADELPHIA COM: Ct. Temporarily Extends Stay of Confirmation Order
----------------------------------------------------------------
The U.S. District Court for the Southern District of New York on
Tuesday temporarily extended the 10-day stay of the order
confirming the Adelphia Plan of Reorganization to a day early
next week in order to give the District Court adequate time to
adjudicate a pending motion for a stay of the Confirmation Order
pending appeal.

The Confirmation Order confirming the First Modified Fifth
Amended Joint Chapter 11 Plan for Adelphia Communications Corp.
and Certain of its Affiliated Debtors, dated as of Jan. 3, 2007,
as Confirmed was entered by the Court on Jan. 5, 2007.

The occurrence of the Effective Date of the Adelphia Plan of
Reorganization is subject to conditions, many of which are
outside the control of Adelphia, including that the Effective
Date occur by Jan. 19, 2007.  The Outside Date may be extended
by the Settlement Parties.  There can be no assurance as to
whether the Settlement Parties will extend the Outside Date, or
whether or when the Effective Date will occur.

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

Adelphia Cablevision Associates of Radnor, L.P., and 20 of its
affiliates, collectively known as Rigas Manged Entities, are
entities that were previously held or controlled by members of
the Rigas family.  In March 2006, the rights and titles to these
entities were transferred to certain subsidiaries of Adelphia
Cablevision, LLC.  The RME Debtors filed for chapter 11
protection on March 31, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10622
through 06-10642).  Their cases are jointly administered under
Adelphia Communications and its debtor-affiliates chapter 11
cases.

As reported in the Troubled Company Reporter on Jan. 9, 2007,
the Honorable Robert E. Gerber of the U.S. Bankruptcy Court for
the Southern District of New York has entered an order
confirming the first modified fifth amended joint Chapter 11
plan of reorganization of Adelphia Communications Corporation
and Certain Affiliated Debtors.


PIER 1 IMPORTS: Moody's Junks Corporate Family Rating
-----------------------------------------------------
Moody's Investors Service downgraded Pier 1 Imports Inc.'s
corporate family rating to Caa1 from B3 following its continuing
operating struggles and modest performance over the 2006 holiday
season.  The rating outlook was revised to negative.

"The company's new advertising campaign did not drive the
expected customer traffic over the holiday season" said Kevin
Cassidy, Vice President/Senior Analyst at Moody's.  "With
continuing same store sales compression, Moody's expects that
the recent trend of negative EBIT margins will continue in the
near term," Mr. Cassidy further states.

Cassidy also stated that, "Moody's believes the company has
adequate liquidity in the near term with over US$170 million of
cash as of November 2006 and about US$200 million available
under its US$325 million revolving credit facility".  However,
he further stated that, "if Pier 1's liquidity becomes strained
over the next few months, its ratings could be lowered."  The
key indicator Moody's will be focusing on will be having at
least US$200 million of cash on hand and available borrowings.

The negative outlook reflects Moody's expectation that same
store sales and operating margins may continue to be negative in
the near term and that the company may accelerate its store
divestiture program and accelerate its pursuit of strategic
alternatives.  The negative outlook also reflects Moody's
expectation that adjusted leverage will remain in the double
digits over the next twelve to eighteen months.

Based in Fort Worth, Texas, Pier 1 Imports Inc. (NYSE:PIR)
-- http://www.pier1.com/-- is a specialty retailer of imported
decorative home furnishings and gifts with Pier 1 Imports(R)
stores in 49 states, Puerto Rico, Canada, and Mexico, and Pier 1
kids(R) stores in the United States.


PILGRIM'S PRIDE: Moody's Cuts Sr. Unsecured Credit Rating to B1
---------------------------------------------------------------
Moody's Investors Service downgraded the senior unsecured credit
rating for Pilgrim's Pride Corp. to B1 from Ba3, its senior
subordinated notes to B2 from B1, and its corporate family
ratings to Ba3 from Ba2.

Moody's also assigned a B1 rating to PPC's planned new
US$250 million senior unsecured notes and a B2 to its new
US$200 million senior subordinated notes.

The outlook on all ratings is stable.

This rating action comes after the company's report that it has
completed the acquisition of Gold Kist, Inc. for approximately
US$1.1 billion in cash plus the assumption of Gold Kist debt.
The rating on GKIS's debt will be withdrawn upon PPC's repayment
of this debt.

The downgrade reflects the increase in PPC's debt and leverage,
and the weakening of its debt protection measures after its
debt-financed acquisitions of Gold Kist for US$1.1 billion in
cash and assumed debt.  It also reflects the challenges the
company faces in integrating Gold Kist's operations into its
own.

"While the acquisition makes strategic sense and is a good
addition to Pilgrim's portfolio, the transaction will add a
significant amount of leverage to the company and at a time when
Pilgrim's earnings have been under alot of pressure" stated
Moody's Senior Vice President Peter Abdill.

The stable outlook reflects Moody's expectation that PPC will
effectively integrate Gold Kist's operations into its own, and
will seek to improve debt protection measures and financial
flexibility in the years following the acquisition.

PPC's ratings reflect the company's narrow product mix, highly
volatile earnings stream, and history of periodic debt-financed
acquisitions.  The ratings also reflect the recent severe
earnings pressure in the overall poultry industry, the
possibility that earnings and margins could remain under
pressure due to continuing industry challenges, and the
integration risk of the debt funded GKIS acquisition.  The
ratings are supported by PPC's strong market position in the
U.S. chicken industry, its attractive returns on assets, as well
as its historically conservative capital structure and financial
policy.

Ratings assigned:

   -- New US$250 Million Sr. Notes of B1, LGD5, 79%
   -- New US$200 Million Sr. Sub Notes of B2, LGD6, 94%

Ratings downgraded:

   -- Corporate family rating to Ba3 from Ba2;

   -- Probability of default rating Ba3 from Ba2;

   -- Senior unsecured notes at to B1, LGD5, 79% from Ba3,
      LGD5, 82%; and

   -- Senior subordinated notes to B2, LGD6, 94% from B1,
      LGD6, 95%.

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.


SEARS HOLDINGS: Names John Walden as Chief Customer Officer
-----------------------------------------------------------
Sears Holdings Corp. appointed John C. Walden as executive vice
president, chief customer officer, effective Jan. 29, 2007.

Mr. Walden, who will have services, marketing and the direct
commerce businesses reporting to him, will be charged with
driving customer-focused strategies and new business development
for Sears Holdings.  He will report to Edward S. Lampert,
Chairman of the Board, and be a member of the Office of the
Chairman.

"I am very excited to add John's retail experience and
demonstrated track record of success to the Sears Holdings'
management team.  We believe that John will help us accelerate
the company's journey to become more entrepreneurial and
customer-driven," said Mr. Lampert.

Prior to joining Sears Holdings, Walden spent approximately
eight years as a senior executive at Best Buy and was a leader
in its move towards being a more customer-centric organization.
Most recently, he served as executive vice president of Best
Buy's Customer Business Group, and was previously that company's
executive vice president of human capital and leadership and its
President of the Internet and direct marketing division.  Prior
to joining Best Buy, Mr. Walden served as Chief Operating
Officer of Peapod, Inc., an Internet supermarket.  Mr. Walden
has also held general management roles with Ameritech Corp. and
Storage Technology Corp., and practiced law with Sidley, Austin,
Brown & Wood in Chicago.

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

                        *    *    *

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

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




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


MIRANT CORP: Selling 6 US Gas Plants for US$1.4 Bil. to LS Power
----------------------------------------------------------------
Mirant Corp. entered into a definitive purchase and sale
agreement with LS Power Equity Partners, a member of the LS
Power Group, for the sale of six U.S. natural gas fired plants
for a purchase price of US$1.407 billion, which includes
estimated working capital.  The net proceeds to Mirant from the
sale after extinguishing US$83 million of project-level debt are
expected to be US$1.324 billion.

The company does not expect to recognize any significant tax or
book gain on the transaction.  The U.S. plants being sold are:
Zeeland (903 MW), West Georgia (613 MW), Shady Hills (469 MW),
Sugar Creek (561 MW), Bosque (546 MW) and Apex (527 MW),
constituting a total of 3,619 MW.  The transaction is expected
to close by the second quarter of 2007 after the satisfaction of
certain customary conditions to closing.

"Although these plants do not fit within our business strategy,
they are excellent facilities," said Edward R. Muller, Chairman
and Chief Executive Officer of Mirant Corporation.  "We wish LS
Power great success with them."

Mirant plans to continue returning cash to its shareholders upon
completion of its planned asset and business sales.  The amount
of cash returned will be determined based on the outlook for the
continuing business:

   (1) to preserve the credit profile of the continuing
       business,

   (2) to maintain adequate liquidity for expected cash
       requirements including, among other things, capital
       expenditures for the continuing business, and

   (3) to retain sufficient working capital to manage
       fluctuations in commodity prices.

Proceeds from the sales of the Zeeland and Bosque plants,
expected to be approximately US$500 million, will be reinvested
in Mirant North America, a subsidiary of Mirant Americas
Generation, and/or used to retire debt at Mirant North America.

Mirant Corporation was advised in the transaction by J. P.
Morgan Securities Inc., as financial advisor, and King &
Spalding, as legal counsel.  LS Power Equity Partners was
advised by Barclays Capital, as financial advisor, and Latham &
Watkins, as legal counsel.

                    About LS Power Group

LS Power Group -- http://www.lspower.com/-- was founded in 1990
and is a fully integrated development, investment and asset
management group of companies focused on the power industry.  LS
Power maintains offices in New York, New Jersey, Missouri,
California, Florida and Massachusetts.

                        About Mirant

Headquartered in Atlanta, Georgia, Mirant Corp. (NYSE: MIR)
-- http://www.mirant.com/-- is an energy company that produces
and sells electricity in North America, the Caribbean, and the
Philippines.  Mirant owns or leases more than 18,000 megawatts
of electric generating capacity globally.  Mirant Corporation
filed for chapter 11 protection on July 14, 2003 (Bankr. N.D.
Tex.  03- 46590), and emerged under the terms of a confirmed
Second Amended Plan on Jan. 3, 2006.  Thomas E. Lauria, Esq., at
White & Case LLP, represented the Debtors in their successful
restructuring.  When the Debtors filed for protection from their
creditors, they listed US$20,574,000,000 in assets and
US$11,401,000,000 in debts.  The Debtors emerged from bankruptcy
on Jan. 3, 2006.

                        *    *    *

Moody's Investors Service assigned its B2 corporate family
rating, effective July 13, 2006, on Mirant Corp.




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


ROYAL & SUN: Classifies US Ops as Held for Sale in 2006 Results
---------------------------------------------------------------
Royal & Sun Alliance Insurance Group plc disclosed that in
accordance with IFRS 5, it would be classifying its U.S.
operation as "held for sale" in its 2006 results.

In line with IFRS 5 the U.S. operation will be written down to
fair value less any disposal costs in the 2006 results.

This write down and the U.S. operation's result for the year
will be shown on one line in the 2006 preliminary announcement
as "discontinued operations," which is outside the Group's
Operating Result.

The write down and the loss for the year are together expected
to total approximately GBP480 million.

                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 on Sept. 29, 2006, A.M. Best Co. 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 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.


* URUGUAY: IDB Grants US$75-Mil. Loan to Foster Competitiveness
---------------------------------------------------------------
The Inter-American Development Bank approved a US$75 million
loan to Uruguay for a program to promote the country's
competitiveness.

This program intends to improve the business climate to attract
investment as well as the institutional structure and programs
that exist to support private sector development.

"In terms of business climate, the program supports reforms to
enhance market efficiency by lowering barriers to competition,
strengthening the legal framework for businesses to restructure,
and simplifying procedures," said IDB Team Leader Gabriel
Casaburi.

"The Ministry of Finance will carry out the project that will
improve the coordination, linkages and efficiency among
different initiatives supporting the private sector in Uruguay,"
said Mr. Casaburi.  "The program will also support specific
institutional reforms to sharpen the tools to aid business in
the areas of exports, innovation and quality."

The loan is for a 25-year term, with a five-year grace period,
at a variable interest rate.  This financing forms part of a
programmatic policy reform program for an estimated US$150
million that will consist of two separate loans.

The IDB is also preparing a new technological development
program for Uruguay that is expected to place special emphasis
on incentives for business innovation.  The IDB is supporting a
program to strengthen productive clusters and IDB's Multilateral
Investment Fund is providing sector-based support to selected
clusters such as wine, aromatic plants, hydroponic vegetables
and tourism.

                        *    *    *

On Sept 11, 2006, Fitch rated Uruguay's US$400 million issue of
5% inflation-indexed bonds payable in U.S. dollars and maturing
Sept. 14, 2018, at 'B+'.


* URUGUAY: State Bank Posts UYU2.19 Billion 2006 Profits
--------------------------------------------------------
Figures from the Uruguayan central bank indicated that profits
of Banco Republica, the nation's state-run bank, has increased
164% to UYU2.19 billion in 2006, compared with 2005, Business
News Americas reports.

BNamericas relates that Banco Republica's operating profits
increased 64.0% to UYU2.85 billion in 2006, compared with 2005,
due to stronger revenues.  However, net service income declined
2.61% to UYU783 million.

The report says that Banco Republica's return on equity was
20.0% in 2006, compared with 9.23% in 2005.  Its return on
assets increased to 1.52% from 0.67%.

Banco Republica's President Fernando Calloia told BNamericas
that the bank expects to report return on equity of up to 20%
this year due to the financial system's recovery.

BNamericas emphasizes that Banco Republica's net lending
increased 1.97% to UYU104 billion in 2006, compared with 2005.
Past-due loan ratio improved to 3.12% from 7.98%.

Banco Republica's assets increased 4.90% to UYU140 billion in
2006, compared with 2005.  Liabilities including deposits rose
2.68% to UYU128 billion, BNamericas states.

                        *    *    *

On Sept 11, 2006, Fitch rated Uruguay's US$400 million issue of
5% inflation-indexed bonds payable in U.S. dollars and maturing
Sept. 14, 2018, at 'B+'.




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


CITGO PETROLEUM: Parent Denies Slowing Sale of Unit's Plants
------------------------------------------------------------
Venezuela's nationalization has not slowed down plans to sell
Citgo Petroleum Corp.'s Paulsboro and Savannah asphalt plants
and acquire a stake in Curacao refinery Isla, Business News
Americas reports, citing Rafael Ramirez, Petroleos de
Venezuela's president and Venezuela's oil and energy minister.

Minister Ramirez said in Petroleos de Venezuela's Web site that
the company won't entirely divest itself of Citgo Petroleum
plants.

Citgo Petroleum has three fuel refineries in the United States
that produce 140 million barrels per year of gasoline, 55
million barrels per year of distillates and 30 million barrels
per year of jet fuel.

BNamericas underscores that under a plan to expand energy
cooperation with Ecuador, Venezuela could use Citgo Petroleum
plants, along with Petroleos de Venezuela's CRP refining
complex, to refine Ecuadorian crude.

Minister Ramirez told BNamericas, "Mostly, we will refine at
CRP, but also some could be processed in Citgo and some in
Isla."

The Ecuadorian crude will be of the Napo and Oriente varieties,
BNamericas says, citing the minister.

Meanwhile, Petroleos de Venezuela is aiming for a non-
controlling stake in Isla, which has capacity to process over
than 330,000 barrels per day of crude, BNamericas states.

Headquartered in Houston, Texas, Citgo Petroleum Corp. --
http://www.citgo.com/-- is owned by PDV America, an indirect,
wholly owned subsidiary of Petroleos de Venezuela SA, the state-
owned oil company of Venezuela.

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

                        *    *    *

Standard and Poor's Ratings Services assigned a 'BB' rating on
Citgo Petroleum Corp.

Citgo Petroleum carries Fitch's BB- Issuer Default Rating.


DAIMLERCHRYSLER: Chrysler Pre-Owned Vehicles Sales Up by 8%
-----------------------------------------------------------
Securing its position as the fastest growing certified used
vehicle brand since 2002, DaimlerChrysler AG's Chrysler Group
reported that its Five Star dealers sold a new year-to-date
sales record of 116,604 Certified Pre-Owned Vehicles in 2006, an
8% increase above 2005 sales.  Chrysler Group continues to
outpace the CPOV segment, which increased sales 2% for the year.

Chrysler Group fourth quarter sales also rose 4% to 28,122
units, surpassing the fourth quarter sales record set in 2005.
Compared against a record month of 10,441 units in December
2005, CPOV sales fell 10% to 9,350 units in December 2006, which
was still the third best December in the company's CPOV brand's
5-year history.

For the year, Chrysler brand sales were up 15% to 38,974 units.
Jeep(R) brand sales rose 17% to 28,054 units and Dodge brand
sales dipped 1% to 49,576 units.  Top-selling volume vehicles in
2006 were the Jeep Grand Cherokee (15,790 units), the Dodge
Caravan and Dodge Grand Caravan (13,367 units), and the Dodge
Ram pickup truck (10,393 units).

"Our Five Star dealers did an outstanding job of communicating
the consumer benefits of our Chrysler, Jeep, and Dodge CPOV
program and that was the reason for our record sales in 2006,"
DaimlerChrysler Motors Remarketing Director Peter Grady said.

Chrysler Group offers one of the most comprehensive Certified
Pre-owned Vehicle programs in the industry.  For a vehicle to be
certified under the Chrysler Group's used vehicle program, it
must be a 2003 through 2007 model pre-owned vehicle with less
than 65,000 miles and pass a stringent 125-point inspection.
Chrysler Group's CPO vehicles are backed by an 8-year/80,000-
mile powertrain limited warranty, a 3-month or 3,000-mile
Maximum Care(TM) warranty, 24-hour, 365-day full roadside
assistance and a US$35 per day rental car allowance, in addition
to a CARFAX Vehicle History Report(TM), and Buyback Guarantee.

Marketed as "Brand Spankin' Used(TM)," Chrysler Group's CPO
vehicles are sold only through Chrysler, Jeep, and Dodge
dealerships, which have earned the automaker's Five Star
Certification.  Five Star Certification is a comprehensive
validation of the dealership's facilities, operational
processes, salesperson, and technician training accreditation as
well as customer satisfaction survey ratings.  Approximately
2,100 Chrysler Group dealerships in the U.S. are certified Five
Star dealers.

                   About DaimlerChrysler

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- develops, manufactures,
distributes, and sells various automotive products, primarily
passenger cars, light trucks, and commercial vehicles worldwide.
It primarily operates in four segments: Mercedes Car Group,
Chrysler Group, Commercial Vehicles, and Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.


DAIMLERCHRYSLER AG: Denies Shareholders Meeting Delay
-----------------------------------------------------
DaimlerChrysler AG refuted reports that it would postpone its
annual general meeting of shareholders on April 4, Bloomberg
News says.

"From today's perspective there is no reason to assume a
postponement of the AGM," Thomas Froehlich, Daimler spokesman,
told Bloomberg News.

The company was reacting to report by Frankfurter Allgemeine
Sonntagszeitung that Daimler would postpone the meeting due to
no-overtime protests by in-house accountants over cost-cutting
plans.

DaimlerChrysler, which would unveil its 2006 results on Feb. 14,
plans to cut 6,000 jobs worldwide in a bid to improve profit.

                  About DaimlerChrysler

Based in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- develops, manufactures,
distributes, and sells various automotive products, primarily
passenger cars, light trucks, and commercial vehicles worldwide.
It primarily operates in four segments: Mercedes Car Group,
Chrysler Group, Commercial Vehicles, and Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.


DAIMLERCHRYSLER: Truck Group Reports Record Sales in 2006
---------------------------------------------------------
DaimlerChrysler AG's Truck Group sold more trucks last year than
ever before.  At 537,000 units, truck sales by the company were
1.4% higher than in 2005 (529,500 units).

On the one hand, the DaimlerChrysler Truck Group could profit
from a high market level in the Triad, mainly caused by pre-buy
effects in response to new emissions limits in the U.S. and
Japan.

On the other hand, the Truck Group's five brands offering a full
range of attractive models and innovative products such as the
Blue-Tec diesel system contributed to this success.

Sales development varied in the individual global markets.
Truck Group sales increased in all of the triad markets, rising
to 106,400 units in Western Europe (2005: 102,400), 187,800
units in the NAFTA region (2005: 183,000,) and 71,100 units in
Japan (2005: 59,200).  In South America, sales rose from 38,900
to 39,500 units.  In the remaining regions of the world, sales
decreased due to weaker markets to 132,200 units (2005:
146,100).

Andreas Renschler, DaimlerChrysler Board of Management member
responsible for the Truck Group & Buses, said: "The Truck Group
offers customer-focused products on all continents.  Throughout
the world, these products are the technological leaders in their
respective segments -- a fact that is also reflected in our
sales success."

Mr. Renschler continued: "As a result of cyclical and regulatory
developments, we expect the markets in NAFTA and Japan to weaken
significantly in 2007, while we anticipate that the demand in
the European markets will contract only slightly.  But because
we are focused on our core business and provide our customers
excellent products and services, we are well-equipped to handle
this challenge.  In addition, we expect the markets to recover
in 2008 because new emissions regulations will probably lead to
pre-buy effects."

At 142,100 units, Trucks Europe/Latin America (Mercedes-Benz)
sold 4.0% fewer vehicles than in the record year 2005 (148,000).
On the other hand, sales were substantially above the previous
year's level in the core markets of Western Europe, particularly
in Germany.

The main factor for this success continued to be the company's
flagship truck, the Actros.  Sales of this truck totaled 59,700
units, thus matching the high level posted in 2005 (59,500).
Sales increases in Western and Eastern Europe were offset by
declines in regions such as the Middle East as well as by a
declining market in Brazil.

The Mercedes-Benz trucks equipped with environmentally friendly
Blue-Tec technology for meeting the Euro 4/5 emissions limits
were particularly successful in the market, with more than
28,000 units sold in 2006.

A total of nearly 40,000 of these trucks have been sold since
Blue-Tec technology was introduced in early 2005.  In the summer
of 2006, Mercedes-Benz Trucks conducted an EU road show, during
which it successfully presented its Safety Truck to the media
and government officials in 12 major European cities.

The Safety Truck is fitted with all available series-produced
assistance and safety systems whose effectiveness has been
demonstrated in a large-scale trial for the insurance industry.
In addition, Mercedes-Benz rounded out its range of special
vehicles by introducing the new Unimog U20 at Hanover commercial
vehicle show in September 2006.

Last year, Trucks NAFTA increased sales by 2.8% to 208,300 units
(2005: 202,600).  Trucks NAFTA sells trucks from the
Freightliner, Sterling and Western Star brands, as well as
Sprinter vans (bearing the Freightliner and Dodge nameplate) and
buses from Thomas Built Buses.

In the NAFTA region, Freightliner maintained its market
leadership with Class 8 heavy-duty trucks and its number two
position in the segment for Class 5-7 medium-duty trucks.

The rapid development and market launch of the Sterling 360 in
the NAFTA region was possible as a result of the close
cooperation within the Truck Group.  The Sterling 360 is a light
truck based on the Mitsubishi Fuso Canter.  In 2006,
Freightliner also presented the prototype of a Business Class M2
medium-duty truck with hybrid drivetrain.

The Truck Group plans to continue to promote the more widespread
use of hybrid commercial vehicles in the North American market.

Compared to the previous year, sales at Trucks Asia
(encompassing the Mitsubishi Fuso brand) increased by 4.3%,
rising from 178,900 units to 186,600.

Now that the quality issues that predated DaimlerChrysler's
share acquisition in Mitsubishi Fuso have largely been resolved,
the company has been able to increase sales and market shares
especially in its core Japanese market.

"The hard work of the Fuso team and the consistent improvement
in quality have enabled us to regain our customers' trust," Mr.
Renschler said.

In addition, pre-buy effects in response to the upcoming Japan
05 emissions limit had a positive effect as well.  Although
sales outside of Japan decreased, the decrease was the result of
a decline in Fuso's largest export market, Indonesia.  In most
other export markets, Trucks Asia significantly increased sales.

In July 2006, Mitsubishi Fuso introduced in Tokyo the pioneering
Canter Eco Hybrid with superior environmental performance.  The
vehicle was first launched in the Japanese market.  As well, the
worldwide market launch of the new generation Canter with
regular diesel drive was also continued successfully throughout
2006.

                    About DaimlerChrysler

Headquartered Based in Stuttgart, Germany, DaimlerChrysler AG
-- http://www.daimlerchrysler.com/-- develops, manufactures,
distributes, and sells various automotive products, primarily
passenger cars, light trucks, and commercial vehicles worldwide.
It primarily operates in four segments: Mercedes Car Group,
Chrysler Group, Commercial Vehicles, and Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.


PETROLEOS DE VENEZUELA: Creating Oil Exploration Services Unit
--------------------------------------------------------------
Petroleos de Venezuela SA, the state-run oil company of
Venezuela, is forming an oil exploration and production services
subsidiary to be made up of oil rigs that will begin arriving
from China this year, Business News Americas reports, citing
Rafael Ramirez, the nation's energy and oil minister.

Minister Ramirez told BNamericas, "We are getting ready to
create a services subsidiary, we are working with China and
other countries in order to set up these joint ventures to lend
these services."

According to BNamericas, Venezuelans have already traveled to
China to receive training in assembling and building the rigs.

The report says that the joint venture strategy is designed to
make Petroleos de Venezuela more independent.

Minister Ramirez told BNamericas, "We will no longer be the
national oil company that needs to import everything it needs
for its operations."

Minister Ramirez also denied to BNamericas that a proposed
nationalization of extra-heavy crude projects in the Orinoco
belt would include services firms.

Minister Ramirez explained to BNamericas, "Those enterprises are
service companies.  They are private and not strategic."

Services companies include the local operations of Schlumberger
and Halliburton, BNamericas states.

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: Petroperu Wants to Ink Oil Purchase Deal
----------------------------------------------------------------
Peru's state-owned oil firm, Petroperu, wants to buy oil from
Petroleos de Venezuela SA, El Universal reports.

According to Reuters, the proposed agreement signals the
restoration of good bilateral relations between Peru and
Venezuela.  The two nations' relation has been strained the past
few months over diplomatic issues.

"We are interested in executing an agreement on purchase of oil
and diesel (.), whereby they (Pdvsa) can have a customer for a
certain volume annually, and we can have a reliable supplier,"
Petroperu's Chief Executive Officer Cesar Gutierrez was quoted
by El Universal as saying.

Petroperu purchased about 30,000 barrels of oil per day from
Ecuador's Petroecuador, according to El Universal.

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: Posts US$55.7B Domestic Sales in 2006
-------------------------------------------------------------
Domestic sales of Petroleos de Venezuela SA, the state-owned oil
firm of Venezuela, were US$55.7 billion last year, published
reports say, citing Rafael Ramirez, the company president and
the nation's energy and oil minister.

Minister Ramirez told Business News Americas, "These [results]
give us room to carry out our commitments to Fonden and other
contributions to the Venezuelan state."

Minister Ramirez told BNamericas that Petroleos de Venezuela
spent US$5.94 billion on exploration and production as well as
on refining in 2006.

The fiscal contributions of Petroleos de Venezuela total US$27.9
billion, BNamericas says, citing Minister Ramirez.  Of the
amount, US$17.5 billion are for royalties, US$8.32 billion for
revenue and other taxes, US$1.32 billion for dividends to the
energy and oil ministry and US$794 million for extraction taxes.

BNamericas underscores that social contributions total US$3.074
billion.  Petroleos de Venezuela also deposited US$6.86 billion
in Fonden and US$229 million in Fondespa to finance
infrastructure and other sustainable development initiatives.

According to BNamericas, the contributions included US$935
million from the sale of a 40%-plus stake in a plant in Houston,
Texas.

Petroleos de Venezuela's board will review the figures during a
meeting in March, BNamericas states.

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: CA Nacional Workers' Union Seeks Meeting
-----------------------------------------------------
The workers' union at CA Nacional Telefonos de Venezuela aka
CANTV has requested a meeting with Venezuela's vice president
and ministers to learn more about what will happen if the firm
be nationalized, El Universal reports.

Venezuela's President Hugo Chavez has disclosed plans of
nationalizing CANTV.

Business News Americas relates that before President Chavez's
announcement, former CANTV workers forced the firm to pay
pension payments going back as long as 14 years at Venezuela's
minimum wage.

According to BNamericas, the union held a meeting on Jan. 12 in
which members expressed their understanding for the
nationalization and their frustrations on the uncertainty of
their jobs' future.

The union's president has urged members to hold onto their
shares.  Workers hold 5% of CANTV, BNamericas states.

                        *    *    *

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.


* VENEZUELA: Pres. Chavez Assesses Return to Andean Community
-------------------------------------------------------------
"With great interest Venezuela and I took notes on the call from
Presidents Evo Morales and Rafael Correa" Fresh Plaza quoted
Pres. Hugo Chavez on the invitation to return to the Andean
Community or CAN.

Venezuela withdrew from the trade bloc last year due to Peru and
Colombia's signed free trade agreements with the U.S., which are
still to be ratified.  Pres. Chavez said that the relations
between CAN members have been mortally wounded due to these.

According to Fresh Plaza, the government will endorse a
commission to assess the convenience to return to the trade bloc
although, there might be some special considerations.  Pres.
Chavez disclosed that a draft document for the proposal to
return to CAN is to be evaluated, which may happen during the
Mercosur presidents' meeting in Janeiro, Brazil.

The CAN nations include:

   -- Peru,
   -- Colombia,
   -- Bolivia, and
   -- Ecuador.

                        *    *    *

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.


* VENEZUELA: Trade Group Wants RCTV License Renewed
---------------------------------------------------
The Federation of Trade and Industry Chambers -- Fedecamaras
-- asks the Venezuelan government to revise its decision not to
renew the broadcasting license of Radio Caracas Television, El
Universal reports.

The group, according to the same paper, would ask for the
reversal on grounds of freedom-related rights and principles.

"Our institution advocates the principles and values of the
private company, the rights laid down in the National
Constitution and the fundamental human rights of every citizen
or institution, and we do think that these rights and principles
should be observed accordingly," Fedecaramas chairperson Jose
Luis Betancourt was quoted by El Universal as saying.

                        *    *    *

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 by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Marjorie C. Sabijon, Sheryl Joy P. Olano, Stella
Mae Hechanova, Francois Albarracin, and Christian Toledo,
Editors.

Copyright 2076.  All rights reserved.  ISSN 1529-2746.

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