TCRLA_Public/070215.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

          Thursday, February 15, 2007, Vol. 8, Issue 33

                          Headlines

A R G E N T I N A

CMS ENERGY: Moody's Lifts Outlook to Pos. on Power Asset Sale
NONTHUE SA: Claims Verification Deadline Is on March 23
PETROBRAS ENERGIA: Earns ARS214 Million in 2006 Fourth Quarter

* ARGENTINA: President Inks Biofuels Law Regulatory Framework
* ARGENTINA: Receives US$126.7-Million Loan from World Bank

B E L I Z E

* BELIZE: Moody's Ups Sovereign Ratings on Improved Liquidity

B E R M U D A

ARCH CAPITAL: Posts US$239.3MM Net Income in 2006 Fourth Quarter
EURO-ASIA FOOD: Proofs of Claim Filing Is Until Feb. 23
IPOC INTERNATIONAL: Court Considers Liquidation Proposal

B O L I V I A

* BOLIVIA: President Rejects Carlos Villegas' Resignation
* BOLIVIA: Morales To Meet Brazil's da Silva Over Gas Exports
* BOLIVIA: To Discuss Water Bill Raise with Fejuve

B R A Z I L

ALCATEL-LUCENT: Unveils 2007 Financial Calendar
AUTOCAM CORP: Moody's Assigns (P)B3 Corporate Family Rating
BANCO BRADESCO: Insurance Unit Sees 8% to 10% Revenue Increase
BANCO DO BRASIL: To Save Up To US$43.2 Mil. Through Open Source
BANCO NACIONAL: Invests BRL16.8B in Infrastructure Last Year

COMPANHIA DE SANEAMENTO: Wants to Renew 30 Service Accords
EMBRATEL PARTICIACOES: Posts BRL106 Million 2006 Earnings
EMI GROUP: Names Sly Bailey as Senior Independent Director
NOVELIS: Hindalco Buy Cues Fitch to Put B Rating on Watch Neg.
USINAS SIDERURGICAS: Will Do Well This Year, Merrill Lynch Says

WEIGHT WATCHERS: Posts US$1.2 Billion in Revenues for 2006

* BRAZIL: Gets US$5-Million Loan to Strengthen Pension Systems
* BRAZIL: Morales To Meet Brazil's da Silva Over Gas Exports

C A Y M A N   I S L A N D S

601 INVESTMENTS: Holds Final Shareholders Meeting on Feb. 26
ALEXANDREA FINANCE: Holds Final Shareholders Meeting on Feb. 26
ASIA CORPORATE: Final Shareholders Meeting Set for March 1
COLUMBIA GREENBRIER: Holds Final Shareholders Meeting on Feb. 26
ORICO MAPLE: Proofs of Claim Must be Filed by March 5

HORIZON INTERNATIONAL: Proofs of Claim Must be Filed by March 5
GIA INVESTMENT: Proofs of Claim Must be Filed by March 5
ENDEAVOUR GLOBAL: Proofs of Claim Must be Filed by March 5
CYPRESS TREE: Fitch Affirms BB/BB- Reference Portfolio Ratings
SERIES CAPITAL (CAYMAN): Holds Final Shareholders Meeting

WELLEBY FINANCE: Final Shareholders Meeting Is Set for Feb. 26

C H I L E

ARAMARK CORP: Completes Merger with Private Investment Group
QUEBECOR WORLD: Board Declares Cash Dividend Payment on March 1

C O L O M B I A

ALSTOM SA: Targets France & Italy for New Locomotive Contracts
BANCOLOMBIA: Earns COP31.6 Billion in January 2007

C O S T A   R I C A

ANIXTER INTERNATIONAL: Prices US$300MM Convertible Senior Notes

D O M I N I C A N   R E P U B L I C

VIVA INT'L: To Merge Caribbean Subsidiaries with Transportation

* DOMINICAN REPUBLIC: Trust Company May Dispose of Bonds

E C U A D O R

* ECUADOR: Will Conduct Exploration on Ishpingo Oilfields

E L   S A L V A D O R

* EL SALVADOR: Economic Stability Cues Fitch to Affirm Ratings

G U A T E M A L A

BRITISH AIRWAYS: GMB Union Rejects Pension Offer; Warns Strike

J A M A I C A

NATIONAL COMMERCIAL: Sugar Company Pays Off Debt with Bank
NATIONAL COMMERCIAL: Asserts It Won't Break Money Laundering Act
SUGAR COMPANY: Pays Off Debt with National Commercial Bank

M E X I C O

ADVANCED MARKETING: Court Augments Prepetition Shipping Duty Cap
AES CORP: Buys Alstom & Exelon Coke-Fired Plants for US$611 Mil.
ARAMARK CORP: Earns US$87.7 Mil. in Fiscal Quarter Ended Dec. 31
ARAMARK CORP: Fitch Cuts Issuer Default Rating to B from BB-
BALDOR ELECTRIC: Contributes US$9.9MM to Employee Profit Sharing

CABLEMAS SA: Fitch Assigns BB- Issuer Default Ratings
CONTINENTAL AIRLINES: Pays US$111MM in Profit Sharing to Workers
DIRECTV GROUP: Enters Into Long-Term Exclusive Deal with Mattel
GLOBAL POWER: Has Until April 26 to File Chapter 11 Plan

P A N A M A

* PANAMA: Euro Bank May Finance Canal Expansion Up to US$600 Mln

P A R A G U A Y

MILLICOM INTERNATIONAL: Completes Business Sale in Pakistan

P U E R T O   R I C O

CELESTICA: Holds Annual General Shareholders Meeting on Apr. 26
MMM HOLDINGS: Moody's Lowers Rating Due to Profitability Decline
PIER 1 IMPORTS: Obtains Temporary Restraining Order Against TJX
UNIVISION: Moody's Confirms Low B Ratings Upon Review Completion

U R U G U A Y

NAVIOS MARITIME: Buys Kleimar's Share Capital for US$165.6 Mil.

V E N E Z U E L A

AMERICAN COMMERCIAL: Has Over US$30-Mil. of New Business in 2007
DAIMLERCHRYSLER AG: Sells 7.5% EADS Stake to Consortium
ELECTRICIDAD DE CARACAS: Securities Agency Suspended Trading
ELECTRICIDAD DE CARACAS: PDVSA To Appoint New Board for Firm
LEAR CORP: Carl Icahn Deal Prompts S&P's Negative CreditWatch

PETROLEOS DE VENEZUELA: To Appoint New EDC Board

* VENEZUELA: Buying Verizon's 28.51% Stake at Cantv for US$572MM
* IDB Approves US$11MM Sr. Secured Loans for Surinamese Company
* NASDAQ STOCK: Fails in US$5.3BB Bid for London Stock Exchange
* NASDAQ STOCK: Moody's Confirms Ba3 Rating on Good Performance


                         - - - - -


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


CMS ENERGY: Moody's Lifts Outlook to Pos. on Power Asset Sale
-------------------------------------------------------------
Moody's Investors Service affirmed the ratings of CMS Energy
(Ba1 Corporate Family Rating) and Consumers Energy (Baa2 senior
secured) and revised the rating outlook of both to positive from
stable.  Moody's also affirmed CMS Energy's SGL-2 rating.

The positive outlook reflects the company's recent announcement
that it has entered into agreements with several parties to sell
its independent power assets in the Middle East, Africa and
India as well as certain northern Michigan gas assets plus the
under-performing IPP portfolio in Argentina.  The announced
asset sales are expected to generate approximately US$1.1
billion of net cash proceeds to the company in 2007.  The
substantial proceeds from the announced asset sales would allow
the company to accelerate a meaningful level of debt reduction
at the parent and improve near term liquidity and financial
flexibility.  The positive outlook reflects Moody's view that
the asset sales will reduce the company's overall business risk
position and further align CMS Energy's overall business around
Consumers Energy's Michigan utility operations.  Additionally,
Moody's anticipates that approximately US$250 million of parent
company guarantees and other credit support will be eliminated
as a result of the divestiture of these businesses.  The
positive outlook further recognizes the recent settlement of
shareholder lawsuits related to the company's previous roundtrip
trading activities with a net settlement payment by CMS of
approximately US$123 million.  The settlement of these lawsuits
further removes near term uncertainty and quantifies the impact
on liquidity.

While the asset sales will significantly reduce cash dividend
distributions available to the parent from certain performing
international IPP assets, Moody's expects financial metrics to
improve further in view of the company's stated goal to reduce
parent level debt by approximately US$680 million in 2007 with
the sale proceeds.  As a result, Moody's expects the funds from
operations or FFO to debt ratio to improve to approximately14.5%
with FFO to interest ratio increasing to approximately 3.2x, on
a pro forma basis using Moody's standard analytic adjustments
versus Moody's expected FYE 2006 ratios of about 10% and 2.4x,
respectively.  These consolidated credit ratios could support a
mid to high Ba senior unsecured rating for a utility parent
holding company with an overall business risk profile that is
moving further into the medium business risk category in
accordance with Moody's published rating methodology for global
regulated electric utility companies.  These strategic asset
divestitures continue an ongoing trend of CMS Energy scaling
back underperforming and non-regulated assets while at the same
time reducing earnings and cash flow volatility which included
the sale of the Midland Cogeneration Venture project in late
2006.  An upgrade could be considered following the execution of
asset sales and following the successful implementation of the
company's stated debt reduction goals.

CMS Energy Corporation is a utility holding company whose
primary subsidiary is Consumers Energy, which provides natural
gas and electricity to nearly 6.5 million customers in Michigan.  
CMS also has operations in natural gas pipeline systems and
independent power generation and has operations in Argentina.

Headquartered in Jackson, Michigan, Consumers Energy Company
-- http://www.consumersenergy.com/-- a wholly owned subsidiary  
of CMS Energy Corporation, is a combination of electric and
natural gas utility that serves more than 3.3 million customers
in Michigan's Lower Peninsula.


NONTHUE SA: Claims Verification Deadline Is on March 23
-------------------------------------------------------
Mauricio Leon Brawer, the court-appointed trustee for Nonthue
S.A. Financiera y de Inversiones' bankruptcy proceeding,
verifies creditors' proofs of claim until March 23, 2007.

Mr. Brawer will present the validated claims in court as
individual reports on May 9, 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 Nonthue Financiera 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 Nonthue Financiera 's
accounting and banking records will follow on June 21, 2007.

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

The trustee can be reached at:

          Mauricio Leon Brawer
          Sarmiento 2593
          Buenos Aires, Argentina


PETROBRAS ENERGIA: Earns ARS214 Million in 2006 Fourth Quarter
--------------------------------------------------------------
Petrobras Energia Participaciones S.A. reported financial
results for the fourth quarter ended Dec. 31, 2006.

Net income for fourth quarter 2006 was ARS214 million.  This
result is attributable to the 75.82% interest in Petrobras
Energia S.A. (Petrobras Energia Participaciones S.A.'s only
asset) whose net income for 2006 quarter was ARS285 million.  
Petrobras Energia Participaciones S.A.'s net income for 2005
quarter was ARS64 million.

Net income for the full-year period ended Dec. 31, 2006, and
2005, was ARS1 billion and ARS729 million, respectively,
accounting for a 46% improvement.  During 2006, operations were
carried out in a favorable context characterized by high
international prices of oil and its by-products and indicators
reflecting a sustained growth of the Argentine economy.  This
context, however, posed short-term challenges, such as the
regulations affecting the energy sector, including the
conversion of operating agreements in Venezuela into mixed
companies as from Apr. 1, 2006.  Pursuant to the terms and
conditions of the memorandums of understanding executed with
Petroleos de Venezuela S.A. and Corporacion Venezolana del
Petroleo S.A. consolidation of the results of the above
mentioned operations on a line by line basis was discontinued as
from said date, such results being shown in net terms under
Equity in Earnings of Affiliates.

Net sales in 2006 quarter increased 3.8% to ARS3 billion.  Net
sales in 2005 quarter reflect ARS344 million attributable to
consolidation of operations in Venezuela.  Without
consolidation, sales rose 17.6%. Sales for the twelve-month
period ended Dec. 31, 2006, increased 10.2% to ARS11.7 billion.  
Excluding the effects of consolidation of operations in
Venezuela, the increase is 20%.

Operating income for 2006 quarter totaled ARS415 million,
accounting for a 33.4% decline compared to 2005 quarter.  The
2005-quarter reflects ARS213 million attributable to operations
in Venezuela.  Without consolidation of operations in Venezuela,
operating income for 2006 quarter rose 1.2%.

In 2006 fiscal year the company's shareholders' equity increased
20.7% to ARS6.2 billion as of Dec. 31, 2006.

           Oil and Gas Exploration and Production

Net sales in 2006 quarter declined 15.5% to ARS1 billion.  Net
sales in 2005 quarter reflected ARS344 million attributable to
consolidation of operations in Venezuela.  Without
consolidation, sales increased 16.3%.

In 2006 quarter, sales volumes declined 23.4% to 124.9 thousand
barrels of oil equivalent mainly as a consequence of the
consolidation of operations in Venezuela in 2005 quarter.  
Without consolidation, sales volumes rose 6.7%. Crude oil sales
increased 11.2% to ARS895 million as a consequence of a 9.1%
rise in average prices in line with international reference
prices and a 1.9% increase in sales volumes, mainly in Ecuador.

Gas sales increased 47% to ARS147 million due to a 27.3% rise in
average sales prices and a 15.5% improvement in sales volumes.  
Gas sales prices significantly improved in Peru and Bolivia as a
consequence of the strong increase in the fuel oil price, which
is included in the formula for calculation of the sales price in
both countries.  The improvement in gas sales prices in
Argentina was mainly attributable to the renegotiation of
certain contracts as a result of deregulation of the gas price
for industries and electricity generation companies and the rise
in international reference prices some gas contracts are subject
to, in addition to the recognition of higher export taxes by our
foreign customers.  Higher gas sales volumes in Argentina were
mainly attributable to the start up of the project for the
interconnection of Santa Cruz I area production poles that
allowed to transport gas reserves on an integrated basis from
the Austral basin fields to the General San Martin gas pipeline
and, to a lesser extent, the start up of operations at El
Mangrullo gas field at the Neuquen basin as from December 2006.

Gross profit declined ARS195 million to ARS522 million in 2006
quarter.  Without consolidation of operations in Venezuela,
gross profit rose 8.1%.  The lifting cost rose 6.7% to ARS15.6
per barrel of oil equivalent, mainly due to the rise in oil
service rates.

On Oct. 17, 2006, Petrobras Energia S.A. and Petrolera El Tr,bol
S.A. entered into an agreement for the assignment of 100% of the
rights and obligations relating to the concessions of the
Refugio Tupungato and Atamisqui areas.  The Refugio Tupungato
and Atamisqui areas are located at the Cuyo Basin, Province of
Mendoza, with an accumulated average production of 1,580 barrels
of oil equivalent per day as of Sept. 30, 2006.  The transaction
resulted in a gain before income tax of ARS85 million.

            Liquid Hydrocarbon and Natural Gas Reserves

As of Dec. 31, 2006, Petrobras Energia's liquid hydrocarbon and
natural gas proved reserves totaled 527 MMboe (324 million
barrels of oil and 1,220 billion cubic feet of gas).  This
accounts for a 31% decline compared to reserves certified as of
Dec. 31, 2005 (40% for liquid hydrocarbons and 8% for natural
gas).  Gaffney, Cline & Associates Inc., an international
technical advisory firm, conducted an audit of approximately 93%
of the reserves estimated by the Company as of Dec. 31, 2006.

During 2006 fiscal year, a net review of reserves of
approximately 172 MMboe was recorded:

   -- As a result of migration of operating agreements in
      connection with assets in Venezuela, 181 MMboe were
      reviewed.  This was mainly attributable to the change in
      interest in operating agreements.

   -- In Peru, 16 MMboe were reviewed.

   -- Through extensions in connection with known accumulations
      from exploration, 25 MMboe were added in Argentina and
      Ecuador.

As a consequence of the divestment of assets at the Cuyo basin
in Argentina, a 5 million-barrel sale was recorded.  Production
totaled 56 MMboe.

Liquid hydrocarbons and natural gas account for 61% and 39% of
total proved reserves. Fifty three per cent (53%) of total
proved reserves are located in Argentina.

As of December 2006, Petrobras Energia had total oil and gas
proved reserves equal to 9.4 years of production at 2006 oil and
gas production levels.

                   Refining & Distribution

Operating income for the Refining and Distribution segment
totaled ARS111 million and ARS65 million losses in 2006 and 2005
quarters, respectively.  During 2006 quarter the business
operating margins deteriorated again as a result of the increase
in crude oil costs, which could not be fully passed through to
domestic sales prices due to the restrictions imposed under the
price control measures currently in force.

Net sales for refinery products rose 17.6% to ARS1.2 billion in
2006 quarter, mainly due to increased sales volumes, specially
heavy distillates and diesel oil, and, to a lesser extent, an
increase in sales prices attributable to the rise in
international reference prices.  Crude oil volumes processed
during 2006 increased 5.5% to 70.4 thousand barrels per day as a
consequence of the overall revamping at San Lorenzo Refinery,
which allowed to increase the installed capacity to 50.3
thousand barrels per day as from November.  Heavy distillates
sales volumes grew 34.0%, mainly as a result of increased fuel
oil sales in the domestic market to supply power plants, and
diesel oil sales volumes rose 11.3% as a result of a higher
demand in the domestic market.  Products not subject to
government measures to control inflation reflected an average
price increase of 4%, particularly aromatics, asphalts,
paraffins and VGO.

                       Petrochemicals

Net sales increased 19.8% to ARS768 million in 2006 quarter
mainly due to the combined effect of improved sales prices and
higher sales volumes.

The increase in styrenics sales in Argentina is predominantly
attributable to an improvement in prices as a result of the rise
in international reference prices and, to a lesser extent, a
rise in sales volumes due to higher sales of polystyrene, bops
and rubber, partially offset by lower ethylbenzene sales to
Innova.  The increase in styrenics sales in Brazil is
attributable to the combined effect of an increase in sales
volumes as a result of higher domestic sales and polystyrene
exports, and an improvement in prices, as a consequence of
increased international reference prices.  Higher fertilizer
sales are mainly attributable to a 10% rise in sales volumes, as
a result of higher sales of liquid fertilizers due to the market
growth.

             Hydrocarbon Marketing and Transportation

Sales revenues increased 42.9% to ARS220 million in 2006
quarter, mainly due to the rise in gas prices and gas and LPG
brokerage services.

The increase in sales prices for gas produced by the Company and
imported gas is attributable to the deregulation of the gas
price for industries and electricity generation companies on
account of the scheduled price increases determined by the
Secretary of Energy and to improved export prices due to the
recognition of higher export taxes by our foreign customers.            

Higher gas sales volumes are attributable to the increase in the
Company's own production, mainly at the Austral Basin, the start
up of operations at El Mangrullo area and increased brokerage
gas volumes partially offset by lower volumes imported from
Bolivia.  The rise in liquid fuels sales volumes derives from
higher production at Cerri Complex, owned by TGS

Net sales of electricity generation increased 41.5% to ARS133
million in 2006 quarter, mainly due to a 42.7% improvement in
generation prices.

The increase in energy sales prices is primarily attributable to
the price plan implemented during the fourth quarter of 2004 by
the Secretary of Energy in line with the recovery of gas prices.

Gross profit for the generation business grew ARS14 million in
2006 quarter mainly driven by improved prices in the wholesale
electricity market in 2006, partially offset by higher
generation costs derived from increased fuel gas prices at the
thermal power plant.

                  About Petrobras Energia

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

                        *    *    *

As reported on Jan. 4, 2007, Fitch Argentina Calificadora de
Riesgo affirmed these ratings assigned to Petrobras Energia:

   -- international currency: B+
   -- local currency: BB-
   -- unsecured senior debt: B+


* ARGENTINA: President Inks Biofuels Law Regulatory Framework
-------------------------------------------------------------
A report posted on the Argentine presidential Web site states
that President Nestor Kirchner has signed the regulatory
framework for the biofuels promotion law.

Economy and production minister Felisa Miceli told Business News
Americas, "Argentina has a major role in the world in providing
food derived from grains, or the grains themselves, which...
generates investment possibilities."

BNamericas underscores that one of the incentives created by the
law is the obligation to replace naphtha and diesel with at
least 5%, or 600,000 cubic meters of biofuel and 250,000 cubic
meters of ethanol, by 2010.  

The law allows congress to provide direct subsidies to boost
biofuels output, BNamericas notes.  The law will also provide a
Value Added Tax refund and allow firms to amortize investments.

The report says that the firms receiving the government benefits
for 15 years must be majority owned by the agricultural
producers, while the biofuels plants can hold a minority stake.

The government will form a national advisory commission in which
all departments involved with biofuels will participate,
BNamericas states.

                        *    *    *

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


* ARGENTINA: Receives US$126.7-Million Loan from World Bank
-----------------------------------------------------------
The World Bank's Board of Directors approved a US$126.7 million
loan to Argentina to improve transport conditions of a strategic
road network that links the Province of Santa Fe with regional
and international markets.

"Roads are a critical element of the transportation network in
the Province of Santa Fe, accounting for nearly 80% of total
freight volumes.  Limited capacity of key road corridors affects
the competitiveness of the agro-businesses industry and other
exports from the province.  This has significant relevance given
that Santa Fe accounts for 42 percent of Argentina's agro-
industrial exports," said Axel van Trotsenburg, World Bank
Director for Argentina, Chile, Paraguay and Uruguay.  "Improving
efficiency in the road sector is crucial.  This project will
improve National Road 19, reducing logistics costs and
facilitating access to major regional consumption and export
markets."

The project will also foster the effective economic integration
of the provinces in Argentina's Center Region.  This region,
which includes the provinces of Cordoba, Entre Rios and Santa
Fe, currently accounts for 20% of the Argentine population, 30%
of exports, 40% of total agricultural and livestock activity,
and 25% of Argentina's GDP.

The Province of Santa Fe Road Infrastructure Project will
support the following activities:

   -- Upgrading of National Road 19: This component will
      transform 130 kilometers of National Road 19 in the
      Province of Santa Fe into a four-lane highway with
      separate two lane carriageway in each traffic direction to
      expand the capacity and road safety of this heavily
      traveled corridor.

   -- Institutional strengthening: This component will support
      road safety and capacity building efforts under the
      Project Implementation Unit, Ministry of Finance, Ministry
      of Public Works and Provincial Road Agency, as well as
      logistics, planning and environmental studies.

"Traffic levels along National Road 19 in the territory of the
Province of Santa Fe have grown by 40% between 2003 and 2006,"
said Tomas Serebrisky, World Bank task manager for the project.  
"This project will directly support the province's strategy to
improve the condition of the road network by facilitating
traffic flows along one of the major regional road corridors
crossing the province."

The US$126.7 million single currency, fixed-spread loan is
repayable in 15 years, with five years of grace.

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




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B E L I Z E
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* BELIZE: Moody's Ups Sovereign Ratings on Improved Liquidity
-------------------------------------------------------------
Moody's has upgraded Belize's sovereign ratings in light of
improved liquidity following the restructuring of the
government's external commercial obligations, alleviating
concerns about cash flow over the next few years.

Belize's foreign and local currency government bond ratings were
upgraded to Caa1 from Caa3.  Moody's also upgraded the Caa1
country ceiling for bonds to B2 and the Caa3 foreign currency
country deposit ceiling to Caa1.  The outlook on the ratings is
stable.

"The key factor behind the upgrade is Belize's markedly improved
liquidity.  Belize's successful debt restructuring of over half
of its total public external debt obligations will result in
sizeable debt service savings over the next few years.  Such
savings give the government several years of breathing room,
provided that the ongoing policy adjustment continues", said
Alessandra Alecci, a Vice President -- Senior Analyst at
Moody's.

In large part due to an unusual confluence of positive exogenous
factors, the ongoing fiscal and monetary tightening has enabled
Belize to avert a full-blown balance of payments crisis, a messy
debt restructuring and a disorderly exit from the peg.  
Considerable challenges to debt sustainability remain, however.  
"Belize's high level of indebtedness leaves very little room for
maneuver and will require protracted fiscal prudence.  Given the
poor track record over the past several years, the risk of
renewed fiscal slippage remains high, particularly if the
borrowing constraint eases," Ms. Alecci added.

Moody's will continue to carefully monitor the fiscal situation,
and potential pressures on the balance of payments, particularly
given the still low level of foreign exchange reserves and the
sizeable stock of foreign currency-denominated external debt.




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B E R M U D A
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ARCH CAPITAL: Posts US$239.3MM Net Income in 2006 Fourth Quarter
----------------------------------------------------------------
Arch Capital Group Ltd. reported that net income available to
common shareholders for the 2006 fourth quarter was US$239.3
million compared to US$100.9 million for the 2005 fourth
quarter, and US$692.6 million for the year ended Dec. 31, 2006,
compared to US$256.5 million for the 2005 period.  The company
also reported after-tax operating income available to common
shareholders of US$220.3 million for the 2006 fourth quarter,
compared to US$141.7 million for the 2005 fourth quarter, and
US$734.5 million for the year ended Dec. 31, 2006, compared to
US$284.2 million for the 2005 period.  The company's after-tax
operating income available to common shareholders represented a
28.9% annualized return on average common equity for the 2006
fourth quarter, compared to 23.5% for the 2005 fourth quarter,
and 25.6% for the year ended Dec. 31, 2006, compared to 12.0%
for the 2005 period.  After-tax operating income available to
common shareholders, a non-GAAP measure, is defined as net
income available to common shareholders, excluding net realized
gains or losses and net foreign exchange gains or losses, net of
income taxes.

The company's book value per common share increased to US$43.97
at Dec. 31, 2006, from US$33.82 per share at Dec. 31, 2005.  
Gross and net premiums written for the 2006 fourth quarter were
US$873.2 million and US$601.9 million, respectively, compared to
US$1.05 billion and US$827.9 million, respectively, for the 2005
fourth quarter, and US$4.28 billion and US$3.02 billion,
respectively, for the year ended Dec. 31, 2006, compared to
US$4.01 billion and US$3.14 billion, respectively, for the 2005
period.  The company's combined ratio was 83.0% for the 2006
fourth quarter, compared to 87.3% for the 2005 fourth quarter,
and 85.4% for the year ended Dec. 31, 2006, compared to 95.8%
for the 2005 period.  All per share amounts discussed in this
release are on a diluted basis.

On Jan. 1, 2007, the company's U.S. insurance operations entered
into an agreement under which it will write excess workers'
compensation and employers' liability insurance business
produced by a managing general agent.  As part of the
transaction, the company's U.S. insurance operations also
entered into an asset purchase agreement to acquire the
operations of the managing general agent, including the renewal
rights of the subject business, as of Jan. 1, 2008, subject to
the satisfaction of customary closing conditions.  In 2006, the
managing general agent produced approximately US$74 million for
the predecessor carrier on the program, although no assurances
can be made as to the level of business that will be written by
the company's U.S. insurance operations during 2007 under the
arrangements with the managing general agent.

The company also reports that it currently expects to incur net
losses of between US$5 million and US$15 million in the 2007
first quarter resulting from European windstorm Kyrill, which
caused widespread damage across Western Europe in January 2007.  
The estimates relating to these events are based on currently
available information derived from modeling techniques, industry
assessments of exposure and claims information obtained from the
company's clients and brokers.  To date, the Company has
received relatively few claims advices from clients and brokers.  
The company's actual losses from these events may vary
materially from the estimates due to the inherent uncertainties
in making such determinations resulting from several factors,
including the preliminary nature of the available information,
the potential inaccuracies and inadequacies in the data provided
by clients and brokers, the modeling techniques and the
application of such techniques, the contingent nature of
business interruption exposures, the effects of any resultant
demand surge on claims activity and attendant coverage issues.  
In addition, actual losses may increase if the company's
reinsurers fail to meet their obligations to the company or the
reinsurance protections purchased by the company are exhausted
or are otherwise unavailable.

Consolidated cash flow provided by operating activities was
US$359.0 million for the 2006 fourth quarter, compared to
US$346.5 million for the 2005 fourth quarter, and US$1.61
billion for the year ended Dec. 31, 2006, compared to US$1.45
billion for the 2005 period.  Payments related to the 2004 and
2005 catastrophic events contributed US$28.3 million to paid
losses for the 2006 fourth quarter and US$179.8 million for the
year ended Dec. 1, 2006.

Net investment income was US$107.8 million for the 2006 fourth
quarter, compared to US$70.1 million for the 2005 fourth
quarter, and US$380.2 million for the year ended Dec. 31, 2006,
compared to US$232.9 million for the 2005 period.  The increase
in net investment income in the 2006 periods resulted from a
higher level of average invested assets primarily generated by
cash flows from operations.  In addition, an increase in the
pre-tax investment income yield to 4.89% for the 2006 fourth
quarter, from 3.99% for the 2005 fourth quarter, and 4.71% for
the year ended Dec. 31, 2006, from 3.68% for the 2005 period,
contributed to the growth in net investment income.  The
Company's investment portfolio, which mainly consists of high
quality fixed income securities, had an average Standard &
Poor's quality rating of "AAA" at Dec. 31, 2006, compared to
"AA+" at Dec. 31, 2005.  The average effective duration of the
Company's investment portfolio was 3.2 years at Dec. 31, 2006,
compared to 3.3 years at Dec. 31, 2005.

Net foreign exchange losses for the 2006 fourth quarter of
US$8.3 million consisted of net unrealized losses of US$8.4
million and net realized gains of US$0.1 million, compared to
net foreign exchange gains for the 2005 fourth quarter of US$1.4
million, which consisted of net unrealized gains of US$2.2
million and net realized losses of US$0.8 million.  Net foreign
exchange losses for the year ended Dec. 31, 2006, of US$23.9
million consisted of net unrealized losses of US$27.3 million
and net realized gains of US$3.4 million, compared to net
foreign exchange gains of US$22.2 million for the 2005 period,
which consisted of net unrealized gains of US$23.3 million and
net realized losses of US$1.1 million.  Net unrealized foreign
exchange gains or losses result from the effects of revaluing
the Company's net insurance liabilities required to be settled
in foreign currencies at each balance sheet date.  The company
holds investments in foreign currencies, which are intended to
mitigate its exposure to foreign currency fluctuations in its
net insurance liabilities.  However, changes in the value of
such investments due to foreign currency rate movements are
reflected as a direct increase or decrease to shareholders'
equity and are not included in the statement of income.  For the
2006 and 2005 periods, the net unrealized foreign exchange gains
or losses recorded by the company were largely offset by changes
in the value of the company's investments held in foreign
currencies.

On Jan. 1, 2006, the company adopted the fair value method of
accounting for share-based awards using the modified prospective
method of transition as described by FASB Statement No. 123
(revised 2004), "Share-Based Payment."  As required by the
provisions of SFAS 123(R), the company recorded after-tax share-
based compensation expense related to stock options of US$3.4
million, or US$0.04 per share, in the 2006 fourth quarter, and
US$7.7 million, or US$0.10 per share, for the year ended
Dec. 31, 2006.  Under the modified prospective method of
transition, no expense related to stock options was recorded in
the 2005 periods.

For the years ended Dec. 31, 2006 and 2005, the effective tax
rates on income before income taxes were 3.6% and 10.1%,
respectively, while the effective tax rates on pre-tax operating
income were 3.5% and 10.3%, respectively.  The company's
effective tax rates may fluctuate from period to period based on
the relative mix of income reported by jurisdiction primarily
due to the varying tax rates in each jurisdiction.  The
company's quarterly tax provision is adjusted to reflect changes
in its expected annual effective tax rates, if any.  During the
2006 fourth quarter, the company reduced its effective tax rate
on pre-tax operating income to 3.5% from 5.3% at Sept. 30, 2006,
primarily as a result of a change in ceding commissions on
certain intercompany reinsurance treaties in the 2006 fourth
quarter based on an independent transfer pricing study.  The
impact of applying the lower effective tax rate on pre-tax
operating income for the nine months ended Sept. 30, 2006,
increased the company's after-tax results by US$10.0 million, or
US$0.13 per share, and resulted in a tax benefit for the 2006
fourth quarter.  The Company currently expects that its annual
effective tax rate on pre-tax operating income for the year
ended Dec. 31, 2006, will be in the range of 4.0% to 6.0%.

At Dec. 31, 2006, the company's capital of US$3.9 billion
consisted of US$300.0 million of senior notes, representing 7.7%
of the total, US$325.0 million of preferred shares, representing
8.4% of the total, and common shareholders' equity of US$3.27
billion, representing the balance.  The increase in the
company's capital during 2006 of US$1.11 billion was primarily
attributable to operating income for the year ended December 31,
2006, the issuance of US$325.0 million of preferred shares and
an after-tax increase in the fair value of the company's
investment portfolio during 2006 which was primarily due to a
decrease in the level of interest rates in the second half of
2006.

Diluted weighted average common shares and common share
equivalents outstanding, used in the calculation of after-tax
operating income and net income per common share, were 76.6
million in the 2006 fourth quarter, compared to 75.3 million in
the 2005 fourth quarter, and 76.2 million for the year ended
Dec. 31, 2006, compared to 74.7 million for the 2005 period. The
higher level of shares outstanding in the 2006 periods was
primarily due to increases in the assumed dilutive effects of
stock options and nonvested restricted stock calculated using
the treasury stock method.  Under the treasury stock method, the
assumed dilutive impact of options and nonvested stock on
diluted weighted average shares outstanding increases as the
market price of the Company's common shares increases.

Headquartered in Bermuda, Arch Capital Group Ltd. (NASDAQ: ACGL)
-- http://www.archcapgroup.bm-- is a public limited liability  
company, which provides insurance and reinsurance on a worldwide
basis through operations in Bermuda, the United States, Europe
and Canada.  It provides a range of property and casualty
insurance and reinsurance lines, and focus on writing specialty
lines of insurance and reinsurance.  Arch Capital classifies its
business into two underwriting segments: reinsurance and
insurance.  The company's reinsurance operations are conducted
on a worldwide basis through its reinsurance subsidiaries, Arch
Reinsurance Ltd. and Arch Reinsurance Company.  The company's
insurance operations in Bermuda are conducted through Arch
Insurance (Bermuda), a division of Arch Re Bermuda, which has an
office in Hamilton, Bermuda.

                            *    *    *

As reported in the Troubled Company Reporter-Latin America on
Dec. 15, 2006, A.M. Best assigned these ratings on to Arch
Capital's debts:

   -- "bb+" from "bb" on US$200 million 8% non-cumulative
      Series A preferred shares; and

   -- to "bb+" from "bb" on US$125 million 7.875% non-cumulative
      Series B preferred shares.


EURO-ASIA FOOD: Proofs of Claim Filing Is Until Feb. 23
-------------------------------------------------------
Euro-Asia Food & Beverage Ltd.'s creditors are given until
Feb. 23, 2007, to prove their claims to Natalia K M Seng and
Susan Y H Lo, the company's joint liquidators, or be excluded
from receiving any distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

The Sole Member of Euro-Asia Food, decided on Jan. 30, 2006, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidators can be reached at:

         Susan Y H Lo and Natalia K M Seng
         c/o Liquidations, Messrs. Conyers Dill & Pearman
         Clarendon House, Church Street
         Hamilton, HM DX, Bermuda


IPOC INTERNATIONAL: Court Considers Liquidation Proposal
--------------------------------------------------------
The Bermuda Supreme Court is considering the liquidation of IPOC
International Growth Fund Ltd. based on the recommendations of
the Registrar of Companies at the direction of Finance Minister
Paula Cox.

In its report, the finance minister pushed for the liquidation
of IPOC and eight of its affiliates after auditing their
finances, Telegeography relates.

IPOC holds an 8% stake in Russia's third largest cellular
operator OAO MegaFon.  

In a statement, Ms. Cox said " the Bermuda government is seeking
to address seeming breaches of our laws" and protect the
island's reputation as a finance center, Bloomberg News says.

In a ruling issued on May 16, 2006, a Zurich-based arbitration
tribunal said that Russia's Information Technology and
Communications Minister Leonid Reiman is the beneficial owner of
IPOC.  Minister Reiman has repeatedly denied the connection,
Bloomberg relates.

                   Dispute with Alfa Group

IPOC is also in dispute with Russian billionaire Mikhail
Friedman's Alfa Group over the ownership of 25.1% stake,
published reports say.

Telegeography relates that Alfa-Eco, Alfa Group's subsidiary,
bought LV Finance on Aug. 5, 2003.  LV Finance owned 25.1% of
MegaFon through Transcontinental Mobile Investment and CT-
Mobile.  

A year later, two of MegaFon's shareholders -- TeliaSonera and
Telecominvest -- signed an agreement with IPOC refuting Alfa
Group's interest in MegaFon.

In September 2005, Alfa Group got a favorable ruling from a
court of appeals in the British Virgin Islands recognizing its
right to the stake and this was upheld by an arbitration
tribunal in Zurich.  IPOC is continuing its legal battle to have
its option agreement validated so that it can claim the 25.1%
stake, Telegeography relates.

Headquartered in Bermuda, IPOC International Growth Fund Ltd.
was founded in 2000.  Its primary objective is to identify
emerging business trends and capitalize on international growth
opportunities.




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


* BOLIVIA: President Rejects Carlos Villegas' Resignation
---------------------------------------------------------
The Bolivian news agency Agencia Boliviana de Informacion
reported that President Evo Morales has rejected hydrocarbons
minister Carlos Villegas' letter of resignation.

Business News Americas relates that Minister, who will remain as
the country's hydrocarbons minister, refused to disclose the
reason for his resignation.

Minister Villegas will meet with state oil Yacimientos
Petroliferos Fiscales Bolivianos president Manuel Morales to
discuss what is hindering the approval of the contracts
renegotiated with foreign oil firms, BNamericas notes. The
officials will try to discuss why the tender to evaluate the
five firms Bolivia nationalized has been interrupted.

President Morales will also travel to Brazil to address the
increase of gas export prices to Brazil, BNamericas states,
citing Minister Villegas.

                        *    *    *

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: Morales To Meet Brazil's da Silva Over Gas Exports
-------------------------------------------------------------
Bolivian President Evo Morales will meet with Luiz Inacio Lula
da Silva, his Brazilian counterpart, to discuss gas exports, the
Brazilian foreign relations ministry said in a statement.

Brazilian state-owned oil firm Petroleo Brasileiro is
negotiating with Bolivian counterpart Yacimientos Petroliferos
Fiscales Bolivianos over gas exports to Brazil and the
nationalization of the former's refining and downstream assets
in Bolivia, Business News Americas reports.

                        *    *    *

Fitch Ratings assigned these ratings on Bolivia:

                     Rating     Rating Date

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


* BOLIVIA: To Discuss Water Bill Raise with Fejuve
--------------------------------------------------
Social group Fejuve official Carlos Rojas told Business News
Americas that the association will meet with Bolivian government
authorities to discuss major increases in state water utility
Epsas' water bills.

Epsas operates in La Paz and El Alto.  It replaced former
concessionaire Aguas del Illimani.  Potable water and sewerage
service bills Epsas issued in January rose up to 100% because
consumption "magically doubled" and not due to service rate
increases, BNamericas says, citing Mr. Rojas.  

Mr. Rojas told BNamericas that water consumption didn't
increase.  Fejuve representatives see the discrepancy as a
government measure to boost funds to operate the utility.

According to BNamericas, Fejuve started protesting against Aguas
del Illimani in 2004, demanding the firm's nationalization.  An
audit conducted on the company in 2006 indicated that the
utility had failed to meet contract requirements, which
government officials used to justify the rescission of the
concession.  

Mr. Rojas told BNamericas that the Fejuve's goal in demanding
the concessionaire exit was to prevent the basic service utility
from becoming a lucrative firm, as it "should only provide the
right to water."  Now the utility is left with a debt of over
US$20 million, composed of:

          -- US$15 million in debt left by Aguas del Illimani,
             and

          -- US$5.5 million compensation that the state will
             have to pay to the former concessionaire.

Mr. Rojas said that neighbors are also unhappy with the fact
that potable water and sewerage rates have not decreased,
BNamericas notes.

Government officials denied to local reporters any raise in
water rates in the water utility.

                        *    *    *

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
===========


ALCATEL-LUCENT: Unveils 2007 Financial Calendar
-----------------------------------------------
Alcatel-Lucent released its upcoming financial events for 2007.  
The schedule of events show:

      May 11         First quarter 2007 earnings announcement
      June 1         Annual Shareholders' Meeting in Paris
      Aug. 1         Second quarter 2007 earnings announcement
      Oct. 31        Third quarter 2007 earnings announcement

Headquartered in Paris, France, Alcatel-Lucent
-- http://www.alcatel-lucent.com/-- provides solutions that  
enable service providers, enterprises and governments worldwide,
to deliver voice, data and video communication services to end
users.  Through its operations in fixed, mobile and converged
broadband networking, Internet protocol (IP) technologies,
applications, and services, Alcatel-Lucent offers the end-to-end
solutions that enable communications services for people at
home, at work and on the move.

On Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.

                        *     *     *

As of Feb. 7, Alcatel-Lucent carries these ratings:

Moody's:

   * Alcatel

   -- Corporate Family: Ba2
   -- Senior Debt: Ba2
   -- short-term debt: Not-Prime

   * Lucent

   -- Corporate Family: B1 (withdrawn)
   -- Senior Debt: B1
   -- Subordinated debt & trust preferreds: B2
   -- Preferred Stock Issuable: P(B3)

Standard & Poor's:

   -- Long-Term Corporate Credit: BB-
   -- Short-Term Corporate Credit: B
   -- Senior Unsecured Debt: BB-
   -- Outlook: positive.

Fitch Ratings:

   * Alcatel

   -- Issuer Default: BB
   -- Senior Unsecured Debt: BB


AUTOCAM CORP: Moody's Assigns (P)B3 Corporate Family Rating
-----------------------------------------------------------
Moody's Investors Service assigned Autocam Corp. (New) a
Corporate Family Rating of (P)B3 and a (P)B2 (LGD-2 , 26%)
rating on the company's proposed first lien bank debt to be
created as part of a proposed financial restructuring.  

At this time, the pre-restructuring ratings of Autocam Corp.,
including its Corporate Family Rating of Ca and Probability of
Default Rating of D, are unaffected.  Autocam is currently in
payment default under portions of its existing debt and is
seeking a financial restructuring outside of bankruptcy.  If the
restructuring is completed as currently contemplated, the pre
restructuring ratings of Autocam will be withdrawn and the newly
assigned ratings of New Autocam will be affirmed.  Because the
restructuring is currently a proposal with execution yet to
occur, Moody's is maintaining its pre restructuring ratings for
Autocam, while assigning ratings for the proposed restructured
debt under New Autocam to avoid confusion of the pre and post
restructuring ratings.

New Autocam's ratings reflect the benefits of reduced
indebtedness, improved liquidity and committed funding to
complete the company's European operational restructuring
program.  The ratings consider the company's modest scale,
concentration of business awards, and ongoing leverage.  The
ratings also reflect limited prospects for free cash flow to
develop until its French Social Plan is concluded, weak interest
coverage during this interim period, and a challenging industry
environment.  Rating outlooks for both New Autocam and existing
Autocam are stable.

Autocam did not pay interest on its subordinated notes in mid-
December, nor did it pay interest due on its second lien term
loans at the end of December.  In early January, Autocam
executed a term sheet with a subordinated note holder investor
group to recapitalize the company.  The second lien lenders
entered into an agreement with Autocam to defer their interest
payment until Feb. 28, 2007, or sooner in certain events.

At the expiration of the payment grace period under the
subordinated notes in mid-January, cross default provisions in
the existing first lien bank documentation were tripped.  A
standstill agreement with the first lien lenders has been
executed and extends until mid-March.

Under the investor proposal, a privately negotiated transaction
would be structured in which the investors would exchange
approximately US$138 million of their subordinated notes for new
common shares of Autocam Corp. or a newly formed holding company
and invest in a new Payment-in-Kind preferred stock issue of
US$85 million.  Substantially all existing ownership interests
in Autocam would be extinguished.  Participating subordinated
note holders would become the controlling shareholders of New
Autocam.  Proceeds from the new PIK preferred stock would be
used to retire Autocam's existing approximately US$78 million of
second lien debt with the balance after fees and expenses
retained as cash.  Autocam's and Autocam France SARL's existing
first lien bank indebtedness, totaling approximately US$108
million, will be refinanced through US$150 million of new bank
facilities being arranged for New Autocam. Should the
refinancing proposal close, ratings on existing Autocam would be
withdraw and the provisional modifier on New Autocam's ratings
would be removed.  New Autocam would not be required to file
future financial statements or other reports with the SEC.

The last rating action was on Dec. 19, 2006, at which time
Autocam's Probability of Default Rating was lowered to D from
Ca, ratings on its first lien bank debt (Caa1) and subordinated
notes (C) were confirmed, and its SGL-4 Speculative Grade
Liquidity rating was affirmed.

New Autocam's Corporate Family rating of (P)B3 is four notches
higher than the comparable rating for Autocam pre restructuring.
This flows from the reduction of approximately US$217 million of
debt in the new capital structure, an improved liquidity profile
arising from un-tapped revolving credit facilities of
approximately US$30 million, and the provision of sufficient
funding to complete the company's Social Plan at its French
subsidiaries, a critical element in its plans for an operational
turn-around.  The rating incorporates the company's modest scale
of operations, concentration of business awards, ongoing
leverage and weak quantitative metrics anticipated over the
coming year.  Nonetheless, several factors provide stability to
the company's revenues.  Business awards are on a multi-year
basis with large tier-1 suppliers who would face switching costs
were they to consider replacing Autocam.  Volumes are somewhat
platform neutral given the diverse customer base those tier-1
entities enjoy, and, within its defined markets, the company has
leading market shares.  The company also benefits from
geographic diversification through its presence in major global
automotive markets.  The stable outlook is supported by the
committed funding New Autocam will achieve upon the
recapitalization, improved cushion under applicable financial
covenants in its bank credit facilities, and the identification
of savings/margin enhancement which its approved Social Plan in
France is expected to realize over the intermediate term. Should
the plan take hold, New Autocam's level of indebtedness would
not change significantly over the next two years, but stronger
coverage metrics could evolve.

The (P)B2 rating on New Autocam's and its European borrowing
subsidiary, Autocam France SARL (New), bank debt reflects an
LGD-2, 26% loss given default assessment.  With effectively an
all bank debt structure (other debt would include some US$1.4
million of subordinated notes, which may carry over into New
Autocam, as well as certain continuing capitalized leases and
international subsidiary obligations), a family recovery rating
of 65% was assigned.  This high family recovery rating combined
with first lien status over substantially all of the borrowers'
assets, up-streamed guarantees from certain subsidiaries, and
levels of non-debt liabilities, lifts the rating on the bank
debt one notch above the Corporate Family Rating.  However, as a
consequence of the lower expected loss rate, the PDR is impacted
and is set at Caa1.  New Autocam, its material domestic
subsidiaries and immediate holding company parent, will
guarantee Autocam France SARL (New)'s bank obligations.

Ratings Assigned

   * Autocam Corp. (New)

     -- Corporate Family Rating, (P)B3

     -- First lien term loan for US$83-million, (P)B2
        (LGD-2, 26%)

     -- First lien revolving credit facility for US$17 million,
        (P)B2 (LGD-2 , 26%)

     -- Outlook, stable

     -- Probability of Default Rating, (P)Caa1

   * Autocam Corp. France SARL (New)

     -- Guaranteed First lien term loan for EUR equivalent of
        US$37 million, (P)B2 (LGD-2, 26%)

     -- Guaranteed First lien revolving credit facility for EUR    
        equivalent of US$13 million, (P)B2 (LGD-2, 26%)

Autocam Corp., headquartered in Kentwood, Michigan, is a
manufacturer of extremely close tolerance precision-machined,
metal alloy components, sub-assemblies and assemblies, primarily
for performance and safety critical automotive applications.
Revenues in 2005 were approximately US$350 million from
operations in North America, Europe, and Brazil.


BANCO BRADESCO: Insurance Unit Sees 8% to 10% Revenue Increase
--------------------------------------------------------------
Banco Bradesco's insurance division, Bradesco Seguros, looks to
an 8% to 10% revenue increase this year, Business News Americas
reports, citing a top executive at the firm.

BNamericas says the executive asked not to be named discussing
projections for this year.

"I don't see any business area growing less," the executive was
quoted by BNamericas as saying.  He believes the insurance unit
would add about 30%-35% to Bradesco's bottom line in years to
come.

Bradesco's insurance, private pension and savings bonds
divisions increased net profits 35.2% to BRL2.16 billion reais
(US$1.02 billion) last year compared to 2005 and accounted for
34% of the bank's BRL6.36 billion-recurring net profit in 2006,
BNamericas relates.

Total insurance revenues rose 13.1% to BRL19 billion in 2006,
with insurance premiums and private pension contributions rising
14.3% to BRL17.6 billion.  Savings bonds contributions remained
flat at BRL1.42 billion, BNamericas says.

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

                        *     *     *

As reported on Jan. 26, 2007, Fitch Ratings placed these ratings
assigned to Banco BMC SA on Rating Watch Positive:

   -- Local foreign currency long-term Issuer Default Rating
      'B-';
   -- Foreign currency long-term IDR 'B-';
   -- Local currency short-term 'B';
   -- Fixed-rate notes issuance maturing 2008 'B-/RR4';
   -- Support '5';
   -- National Short-Term rating 'F3(bra)'; and
   -- National long-term rating 'BBB-(bra)'.

In addition, Fitch affirmed BMC's:

   -- Individual rating at 'D/E'; and
   -- Foreign currency short-term at 'B'.

At the same time, Fitch also affirmed these IDRs on Bradesco,
with a Stable Outlook:

   -- Long-term foreign currency at 'BB+';
   -- Long-term local currency at 'BBB-';
   -- Individual rating at 'B/C';
   -- Local currency short-term at 'F3';
   -- Short-term at 'B';
   -- Support rating of '4';
   -- National short-term rating 'F1+(bra)'; and
   -- National long-term rating 'AA+(bra)'.

As reported on Nov. 30, 2006, Moody's Investors Service upgraded
these ratings of Banco Bradesco SA:

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

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

Moody's said the ratings outlook is stable.


BANCO DO BRASIL: To Save Up To US$43.2 Mil. Through Open Source
---------------------------------------------------------------
Banco do Brasil expects to save up to BRL90 million or US$43.2
million over the next three years through its open source
software implementation, Business News Americas reports citing
the Bank as saying.

The Bank has reportedly installed 30,000 GNU/Linux operating
system matrices, including 25,000 workstations and 5,000
servers.  About 60,000 copies of OpenOffice.org were also
installed on its workstations.

According to the statement, the Bank has already saved around
BRL22 million since 2005 by installing the open source software.

Openoffice.org, an open source alternative to Microsoft, will be
used to run servers, ATMs and workstations in call centers.  The
Bank says that Banco Popular do Brasil, the microcredit arm of
Banco do Brasil, will also implement the project.

Banco do Brasil is Brazil's federal bank and is the largest in
Latin America with some 20 million clients and over 7,000 points
of sale (3,200 branches) in Brazil, and 34 offices and
partnerships in 26 other countries.  In addition to its
traditional retail banking services, Banco do Brasil underwrites
and sells bonds, conducts asset trading, offers investors
portfolio management services, conducts financial securities
advising, and provides market analysis and research.

                        *    *    *

As reported in the Troubled Company Reporter on Feb, 12, 2007,
Fitch changed the outlook of these ratings of Banco do Brasil
S.A.:

   -- Foreign currency IDR at 'BB+'; Outlook to Positive from
      Stable;

   -- Local currency IDR at 'BB+'; Outlook to Positive from
      Stable; and

   -- National Long-term rating at 'AA(bra)'; Outlook to
      Positive from Stable.


BANCO NACIONAL: Invests BRL16.8B in Infrastructure Last Year
------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social said in a
press release that it has made total investments of BRL16.8
billion in infrastructure in 2006.

Business News Americas relates that the infrastructure sector
received 31% of Banco Nacional's total loans last year.

Meanwhile, the environmental sanitation sector got BRL333
million in 2006, about 52% higher compared with the 2005
investment, BNamericas notes.

Banco Nacional confirmed to BNamericas that future investments
will be focused on improvements to state sanitation firms'
operations.  Activity will concentrate on a program designed
specifically to boost the administration of state waste and
water treatment companies and to allow them to obtain resources
independently.

Banco Nacional's investments for last year totaled BRL55.5
billion between February 2006 and January 2007, BNamericas
states.

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

                        *    *    *

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

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

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


COMPANHIA DE SANEAMENTO: Wants to Renew 30 Service Accords
----------------------------------------------------------
Companhia de Saneamento Basico do Estado de Sao Paulo president
Gesner Oliveira told the local press agency AE-Setorial that the
firm wants to renew as many as 30 service contracts in March.

According to Business News Americas, about 140 of Companhia de
Saneamento's contracts with local municipalities across Sao
Paulo expired between 2005 and 2006, while another 34 will
expire this year.

Mr. Oliveira commented to BNamericas, "We hope to renew between
20 and 30 contracts over the next 30 days, at an average of one
contract a day."

A Companhia de Saneamento spokesperson told BNamericas, "None of
the contracts have been renewed with other utilities companies
and Sabesp (Companhia de Saneamento) intends to renew all the
contracts by October this year."

The report says that out of the 174, only one contract with the
Lins city council has been renewed. The new contract covers the
next 30 years.

Companhia de Saneamento will hold a meeting with representatives
from 30 of the cities that it wants to renew contracts,
BNamericas states.

Companhia de Saneamento Basico do Estado de Sao Paulo is one of
the largest water and sewage service providers in the world
based on the population served in 2005. It operates water and
sewage systems in Sao Paulo, Brazil.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
June 23, 2006, Standard & Poor's Ratings Services has raised its
Brazilian national-scale corporate credit rating on Companhia de
Saneamento Basico do Estado de Sao Paulo to 'brA+' from 'brA'.
At the same time, it affirmed the company's global-scale ratings
at 'BB-'.  S&P said the outlook is stable.


EMBRATEL PARTICIACOES: Posts BRL106 Million 2006 Earnings
---------------------------------------------------------
Embratel Participacoes's earnings decreased 39.3% to BRL106
million in 2006, compared with the BRL174 million recorded in
2005, Business News Americas reports.

Embratel Participacoes said in its financial statements that its
net revenues rose 8.7% to BRL8.22 billion in 2006, from BRL7.57
billion in 2005.

BNamericas relates that Embratel Participacoes' Ebitda fell
31.9% to BRL1.16 billion in 2006, compared with BRL1.69 billion
in 2005.  The firm's Ebitda margin decreased to 14% in 2006 from
22.4% in 2005.

A research conducted by Bear Stearns showed that Embratel
Participacoes' results were affected by provisions of BRL507
million related to state value added tax and income tax of which
the majority is non-recurring, BNamericas notes.

Thomas Abreu, telecoms analyst at Pyramid Research, told
BNamericas, "Embratel has selected the right strategy in moving
from the dying long distance business, towards the more
lucrative data communications and local services."

Embratel Participacos will begin to offer its WiMax project
seriously in 2008, which should also benefit its local services
for corporate and later residential clients.  Telmex's
turnaround program for Embratel Participacoes seems well on the
way, BNamericas states, citing Mr. Abreu.

Embratel Participacoes SA offers a range of complete
telecommunications solutions to the market all over Brazil,
including local, long distance domestic and international
telephone services, data, video and Internet transmission, and
is present all over the country with its satellite solutions.
Embratel is the market leader in revenues with Long Distance,
Domestic and International calls.

Embratel Participacoes is rated by Moody's:

       * local currency issuer rating -- B1; and
       * senior unsecured debt -- B2.


EMI GROUP: Names Sly Bailey as Senior Independent Director
----------------------------------------------------------
EMI Group plc has appointed Sly Bailey as Senior Independent
Director, succeeding John Gildersleeve who recently became
Chairman of EMI Group.

Currently the Chief Executive of the U.K.'s largest newspaper
publisher, Trinity Mirror, Ms. Bailey has been a Non-Executive
Director of EMI since April 2004.  She will now also chair EMI's
Remuneration Committee.

Ms. Bailey, 45, has had a distinguished career in the media and
publishing industry.  Since February 2003 she has been chief
executive of Trinity Mirror, which has a portfolio of over 500
media brands, including over 260 newspapers and 300 Web sites,
and employs around 11,000 people across the U.K.

Between 1989 and 2003, Ms. Bailey held a number of executive
positions with IPC Media, the largest consumer magazine company
in the U.K., and led its sale to AOL Time Warner in 2001.  She
joined the company's board in 1994 and became Chief Executive in
1999.  She began her career in 1984 as a sales executive with
The Guardian newspaper before moving to The Independent
newspaper in 1987.

Ms. Bailey is also a director of The Press Association, is the
president of NewstrAid, a charity for the newspaper distribution
and retail industry, and is a board member of the NSPCC Stop
Organised Abuse Appeal.

                          About EMI

Headquartered in London, United Kingdom, EMI Group PLC --
http://www.emigroup.com/-- is the world's largest independent  
music company, operating directly in 50 countries and with
licensees in a further 20.  The group has operations in Brazil,
China, and Hungary.  The group employs over 6,600 people.
Revenues in 2005 were near EUR2 billion and operating profit
generated was over EUR225 million.

At March 31, 2006, EMI Group's consolidated balance sheet
revealed GBP1.817 billion in total assets, GBP2.544 billion in
total liabilities and GBP726.6 million in shareholders' deficit.

                        *     *     *

On Jan. 15, Moody's Investors Service downgraded EMI Group Plc's
Corporate Family and senior debt ratings to Ba3 from Ba2.  All
ratings remain under review for possible further downgrade.

As reported in the TCR-Europe on Feb. 7, Standard & Poor's
Ratings Services lowered its long-term corporate credit and
senior unsecured debt ratings on U.K.-based music group EMI
Group PLC to 'BB-' from 'BB'.  The 'B' short-term rating was
affirmed.

At the same time, the long-term corporate credit rating and debt
ratings were put on CreditWatch with negative implications.


NOVELIS: Hindalco Buy Cues Fitch to Put B Rating on Watch Neg.
--------------------------------------------------------------
Fitch Ratings has placed the Issuer Default Ratings or IDR of
'B' for Novelis Inc. and its subsidiary Novelis Corp. on Rating
Watch Negative.  The company's senior secured bank debt ratings
and senior unsecured debt ratings have been affirmed:

Novelis Inc.

   -- Senior secured revolver and term loan at 'BB/
      Recovery Rating (RR) 1'; and

   -- Senior unsecured notes at 'B/RR4'.

Novelis, Corp.

   -- Senior secured revolver and term loan B at 'BB/RR1'.

Approximately US$2.3 billion of debt is covered by these
ratings.  The company's Korean bank debt is excluded from the
ratings.

The rating actions follow Novelis' announcement that it has
reached an agreement to be acquired by Hindalco Industries
Limited.  The transaction has been approved by the Boards of
Directors of both companies.  The transaction will require
shareholder and regulatory approval.

The placement of the IDR's on Rating Watch Negative reflects
uncertainty regarding the financing of the transaction,
potential changes to Novelis' capital structure as a result of
the transaction, and possible changes in the company's operating
and financial strategy.  The Rating Watch Negative will be
resolved following Fitch's assessment of these factors before or
concurrent with the consummation or termination of the
transaction.

The affirmations of the senior secured bank debt and senior
unsecured notes are based on credit protections incorporated
into the credit agreement and bond indenture.  Both of these
documents contain change of control protections, and it appears
that the bank debt and unsecured notes also benefit from other
covenants that limit credit risk resulting from the proposed
transaction.

Fitch rates the debt of Hindalco Industries Ltd. 'AAA (ind)' on
a National Ratings basis in India.  The ratings have been placed
on Ratings Watch with negative implications.  Given the
additional debt with recourse to Hindalco, Fitch expects the
long-term rating to come under pressure if the acquisition is
finalized with the indicated debt financing.  Hindalco's current
ratings denote the best credit risk relative to all other
issuers or issues in the country.  This rating is therefore not
directly comparable to the North American ratings on Novelis.

Novelis' financial condition is supported by the company's
leading market position, strong and flexible asset base,
emphasis on innovation and value-added applications, and solid
cash-generating potential.  Credit concerns focus on high
leverage, inflexible contract pricing with some customers, near-
term cash flow constraints, high and volatile aluminum prices
and material weaknesses in internal controls.

Fitch's Recovery Ratings are a relative indicator of creditor
recovery prospects on a given obligation within an issuers'
capital structure in the event of a default.  

The suffix '(ind)' refers to National Ratings assigned by Fitch
India. Fitch's National ratings provide a relative measure of
creditworthiness for rated entities in countries with sub- or
low-investment grade international sovereign ratings. The best
risk within a country is rated 'AAA' and other credits are rated
only relative to this risk. National ratings are designed for
use mainly by local investors in local markets and are signified
by the addition of an identifier for the country concerned, such
as 'AAA (ind)' for National ratings in India. Specific letter
grades are not therefore internationally comparable.

Based in Atlanta, Georgia, Novelis, Inc., (NYSE: NVL) (TSX: NVL)
-- http://www.novelis.com/-- provides customers with a regional  
supply of technologically sophisticated rolled aluminum products
throughout Asia, Europe, North America, and South America.  The
company operates in 11 countries and has approximately 13,000
employees.  Through its advanced production capabilities, the
company supplies aluminum sheet and foil to the automotive and
transportation, beverage and food packaging, construction and
industrial, and printing markets.

Novelis South America operates two rolling plants and primary
production facilities in Brazil.  The company's Pindamonhangaba
rolling and recycling facility in Brazil is the largest aluminum
rolling and recycling facility in South America and the only one
capable of producing can body and end stock. The plant recycles
primarily used beverage cans, and is engaged in tolling recycled
metal for its customers.


USINAS SIDERURGICAS: Will Do Well This Year, Merrill Lynch Says
---------------------------------------------------------------
The 2007 scenario for Usinas Siderurgicas de Minas Gerais SA aka
Usiminas is positive, Business News Americas reports, citing
investment bank Merrill Lynch.

Merrilll Lynch told BNamericas, "Among all Brazilian steel
names, Usiminas has the highest exposure to the domestic market,
which should post strong growth in 2007."

Merrill Lynch said in its latest report that it is positive that
the change in the controlling group as well as its implications
could be very positive for Usiminas' long-term investment case.

BNamericas relates that Usiminas disclosed in November 2006 a
new controlling group structure including the entrance of miner
CVRD.

According to the report, Merrill Lynch has also increased its
target price for the Usiminas to BRL125 per share from BRL106.

Usiminas' ordinary shares were trading at BRL105.80 on Bovespa,
Sao Paulo's stock exchange, BNamericas states.

Headquartered in Minas Gerais, Brazil, Usinas Siderurgicas de
Minas Gerais SA is among the world's 20 largest steel
manufacturing complexes, with a production capacity of
approximately 10 million tons of steel. Usiminas System
companies produces galvanized and non-coated flat steel products
for the automotive, small and large diameter pipe, civil
construction, hydro-electronic, rerolling, agriculture, and road
machinery industries. Brazil consumes 80% of its products and
the company's largest export markets are the US and Latin
America. The company also sells in China and Japan.

                        *    *    *

Standard & Poor's Ratings Services affirmed on June 7, 2006, its
'BB+' long-term corporate credit rating on Brazil-based steel
maker Usinas Siderurgicas de Minas Gerais SA -- Usiminas. At
the same time, Standard & Poor's assigned its 'BB+' senior
unsecured debt rating to the forthcoming US$200 million Global
MTNs due June 2016 to be issued by Cosipa Commercial Ltd. S&P
says the outlook on the corporate credit rating is stable.


WEIGHT WATCHERS: Posts US$1.2 Billion in Revenues for 2006
----------------------------------------------------------
Weight Watchers International Inc. disclosed financial results
for the full year and fourth quarter ended Dec. 30, 2006.
                            
For the year ended Dec. 30, 2006, the company's net revenues
increased 7.1% to US$1.2 billion from US$1.1 billion in
2005.  Full year 2006 reported net income was US$209.8 million
compared to net income was US$174.4 million.  In 2006, the
Company began recognizing stock option compensation expense
incompliance with FAS 123R, "Share-Based Payment."

For the fourth quarter of 2006, net revenues increased 13.7% to
US$285.5 million from US$251.2 million in 2005.  Net income was
US$44.3 million, up from US$38.9 million in the fourth quarter
of 2005.  This includes the benefit from the reversal of tax
reserves in the fourth quarter 2006 of US$6.3 million.  

                   Full Year 2007 Guidance

The company provided full year 2007 earnings guidance of between
US$2.33 and US$2.47 per fully diluted share, including US$0.02
per share of non-recurring expense associated with the early
extinguishment of debt in the first quarter of 2007.

Commenting on the company's full year results and 2007 guidance,
David Kirchhoff, President and Chief Executive Officer of the
Company, said, "The Company has made excellent progress on
several fronts in 2006 and continues to lay critical groundwork
for 2007 and beyond.  At our investor presentation tomorrow in
New York City, I look forward to sharing my strategic assessment
of our business and discussing in greater detail key initiatives
and opportunities that will help drive our business in the
years to come."

                   About Weight Watchers

Headquartered in New York, U.S.A., Weight Watchers International
Inc. (NYSE: WTW) -- http://www.weightwatchersinternational.com/
-- provides weight management services, with a presence in 30
countries around the world, including Brazil, the Netherlands,
and New Zealand.  The company serves its customers through
Weight Watchers branded products and services, including
meetings conducted by Weight Watchers International and its
franchisees.

At Sept. 30, 2006, the company's balance sheet showed
US$935,098,000 in total assets and US$1,038,367,000 in total
liabilities, resulting in a stockholders' deficit of
US$103,269,000.  At Dec. 31, 2005, the company's stockholders'
deficit was US$80,651,000.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 9, 2007,
Standard & Poor's Ratings Services affirmed its 'BB' corporate
credit rating for New York, New York-based commercial weight-
loss service provider Weight Watchers International Inc.

At the same time, all WWI ratings were removed from CreditWatch,
where they were placed with negative implications on
Dec. 20, 2006, reflecting WWI's increasingly aggressive
financial policy after the company's disclosure that it plans to
launch a "modified Dutch auction" self-tender offer for up to
8.3 million shares of its common stock at a price range between
US$47 and US$54 per share.

At the same time, Standard & Poor's assigned its 'BB' rating to
the company's proposed US$700 million term loan A-1 and US$500
million term loan B, with a recovery rating of '2', indicating
the expectation for substantial recovery of principal in the
event of a payment default.  Standard & Poor's also lowered the
existing bank loan ratings on WWI's US$350 million term loan A
and US$500 million revolving credit facility to 'BB' from 'BB+'
and the recovery rating on these facilities to '2' from '1'.

S&P said the rating outlook is negative.

As reported in the Troubled Company Reporter on Jan. 8, 2007,
Moody's Investors Service assigned a Ba1 rating to the proposed
US$1.2 billion senior secured term loan facility of Weight
Watchers International, Inc. and affirmed existing credit
ratings.  Moody's said the rating outlook remains stable.


* BRAZIL: Gets US$5-Million Loan to Strengthen Pension Systems
--------------------------------------------------------------
The World Bank's Board of Executive Directors today approved a
US$5 million loan to strengthen the pension system in the
Brazilian states.

The State Pension Reform Technical Assistance Project II (PARSEP
II) will improve the Public Sector Pension System management by
upgrading registries and information technology, and supporting
each government's capacity to manage the new system.  In
addition to working with the executive branch, PARSEP II will
include activities with the legislative and judicial branches of
state government.  This project builds on the first PARSEP loan
and the Municipal Pension Technical Assistance Loan that have
already generated significant results.

"The fiscal burden associated with pensions is a major
macroeconomic issue confronting Brazilian federal and state
governments today," said John Briscoe, World Bank Director for
Brazil.  "This project seeks to contribute to the country's
fiscal stability and economic growth by generating revenues
through better pension management."

The amount Brazil pays in public pensions is particularly large
compared to other countries in the region, and is
disproportional to the relatively low number of elderly and the
demographically "young" population.  Subsidies to cover Brazil's
federal and state public pension regimes deficits rose from 4.6%
of GDP in 1998 to 5.6% in 2003-4.

Specifically, PARSEP II will support the following activities:

   -- Upgrade registries and information technology to
      facilitate systems integration and cross-referencing with
      other databases.  This will allow the states to upgrade
      profiles and work histories, and eliminate unwarranted
      beneficiary payments with aggregate potential savings
      estimated at US$50-100 million a year.

   -- Analyze the costs and develop fiscal strategies to
      mitigate the fiscal burden.  Assist states in
      administering their pension systems in all three branches
      of government-executive, judicial, and legislative-through
      the use of information technology systems and good
      management techniques.

   -- Strengthen institutional capacity within the Ministry of
      Social Security and at state level in order to manage
      pensions effectively and take advantage of cadastre and
      systems improvements.

   -- Strengthen state institutions through workshops and
      training to understand and comply with the new legal and
      technical requirements.

   -- Upgrade actuarial analysis and pension management systems.

"Pension deficits crowd out savings and investment," said
Deborah Wetzel, World Bank task manager for the project.  "They
also slow the development of critical infrastructure, distort
labor markets, reduce coverage of basic social protection, and
pose a formidable obstacle to unleashing economic growth."  
Chris Parel, World Bank co-task manager for the project added,
"preliminary data from the first PARSEP indicates savings of
about US$40 million per year in ten states.  The new loan will
help strengthen the Federal and state institutions responsible
for public employee pensions, improving efficiency, reducing
irregular payments and creating fiscal space."

The US$5 million fixed-spread loan from the International Bank
for Reconstruction and Development has a repayment period of 17
years, including five years of grace.


* BRAZIL: Morales To Meet Brazil's da Silva Over Gas Exports
------------------------------------------------------------
The Brazilian foreign relations ministry said in a statement
that its President Luiz Inacio Lula da Silva will meet with Evo
Morales, his Bolivian counterpart, to discuss negotiations over
gas exports.

Brazilian state-owned oil firm Petroleo Brasileiro is
negotiating with Bolivian counterpart Yacimientos Petroliferos
Fiscales Bolivianos over gas exports to Brazil and the
nationalization of the former's refining and downstream assets
in Bolivia, Business News Americas reports.

                        *    *    *

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


601 INVESTMENTS: Holds Final Shareholders Meeting on Feb. 26
------------------------------------------------------------
601 Investments Inc. holds its final shareholders meeting on
Feb. 26, 2007, at:

          Wafra Investment Advisory Group
          345 Park Avenue New York
          New York 10154, USA

These agenda will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Anthony g. Barbuto
          c/o Solomon Harris
          2nd Floor, First Caribbean House
          P.O. Box 1990, Grand Cayman KY1-1104
          Cayman Islands


ALEXANDREA FINANCE: Holds Final Shareholders Meeting on Feb. 26
---------------------------------------------------------------
Alexandrea Finance Inc.'s shareholders will gather on
Feb. 26, 2007, for a final general meeting at:

          Wafra Investment Advisory Group
          345 Park Avenue, New York,
          New York 10154, USA

Accounts on the company's liquidation process will be presented
during the meeting.  The shareholders will also authorize the
liquidators to retain the records of the company for a period of
five years, starting from the dissolution of the company.
Destruction of the records may then be allowed after that
period.

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

The liquidators can be reached at:

          Anthony g. Barbuto
          c/o Solomon Harris          
          2nd Floor, First Caribbean House
          P.O. Box 1990, Grand Cayman KY1-1104
          Cayman Islands


ASIA CORPORATE: Final Shareholders Meeting Set for March 1
----------------------------------------------------------
Asia Corporate Partners Fund, Ltd., will gather for a final
meeting on March 1, 2007, at 10:00 a.m., at the registered
office of the company.
          
Accounts on the company's liquidation process will be presented
during the meeting.

As reported in the Troubled Company Reporter-Latin America on
Feb. 6, 2007, Asia Corporate started liquidating assets on
Dec. 29, 2006.  Creditors of the company were required to submit
particulars of their debts or claims on or before Feb. 16, 2007,
to David A.K. Walker and Lawrence Edwards, the company's
appointed liquidators.

Parties-in-interest may contact the liquidator at:

            David A.K. Walker  
           Lawrence Edwards
          PricewaterhouseCoopers
           Strathvale House, George Town
           Grand Cayman, Cayman Islands


COLUMBIA GREENBRIER: Holds Final Shareholders Meeting on Feb. 26
----------------------------------------------------------------
Columbia Greenbrier Finance Inc.'s shareholders will gather on
Feb. 26, 2007, for a final general meeting at:

          Wafra Investment Advisory Group
          345 Park Avenue, New York
          New York 10154, USA

Accounts on the company's liquidation process will be presented
during the meeting.  The shareholders will also authorize the
liquidators to retain the records of the company for a period of
five years, starting from the dissolution of the company.
Destruction of the records may then be allowed after that
period.

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

The liquidators can be reached at:

          Anthony g. Barbuto
          c/o Solomon Harris
          2nd Floor, First Caribbean House
          P.O. Box 1990, Grand Cayman KY1-1104
          Cayman Islands


ORICO MAPLE: Proofs of Claim Must be Filed by March 5
-----------------------------------------------------
Creditors of Orico Maple Funding, which is being voluntarily
wound up, are required to present proofs of claim on or before
March 5, 2006, to Griffin Management Ltd., the company's
liquidator.

Creditors are required to present proofs of claim personally or
through their solicitors at the time and place that the
liquidator specified.  Failure to present claims would mean
exclusion from the benefit of any distribution that the company
will make.

The liquidators can be reached at:

           Griffin Management Ltd.
           Attention: Janeen Aljadir
           Caledonian Bank & Trust Ltd.
           Caledonian House, 69 Dr. Roy's Drive
           P.O. Box 1043. Grand Cayman KY1-1102
           Cayman Islands
           Telephone: (345) 914 -4943
     Fax: (345) 949-8062


HORIZON INTERNATIONAL: Proofs of Claim Must be Filed by March 5
---------------------------------------------------------------
Creditors of Horizon International III, Ltd., which is being
voluntarily wound up, are required to present proofs of  
claim by March 5, 2007, to Cereita Lawrence and Sylvia Lewis,
the company's liquidators.

Creditors are required to present proofs of claim personally or
through their solicitors at the time and place that the
liquidator specified.  Failure to present claims would mean
exclusion from the benefit of any distribution that the company
will make.

The liquidators can be reached at:

           Cereita Lawrence
     Sylvia Lewis
           P.O. Box 1109, Grand Cayman KY1-1102
           Cayman Islands
           Telephone: 345 949-7755
           Fax: 345 949-7634


GIA INVESTMENT: Proofs of Claim Must be Filed by March 5
--------------------------------------------------------
Creditors of Gia Investment Grade Scdo 2002-1 Ltd., which  
is being voluntarily wound up, are required to present proofs of  
claim on or before March 5, 2006, to Griffin Management Ltd.,
the company's liquidator.

Creditors are required to present proofs of claim personally or
through their solicitors at the time and place that the
liquidator specified.  Failure to present claims would mean
exclusion from the benefit of any distribution that the company
will make.

The liquidators can be reached at:

           Griffin Management Ltd.
     Attention: Janeen Aljadir
     Caledonian Bank & Trust Ltd.
     Caledonian House, 69 Dr. Roy's Drive
     P.O. Box 1043, Grand Cayman KY1-1102
     Cayman Islands
     Telephone: (345) 914 -4943
           Fax: (345) 949-8062


ENDEAVOUR GLOBAL: Proofs of Claim Must be Filed by March 5
----------------------------------------------------------
Creditors of Endeavour Global Opportunities Fund, Ltd., which  
is being voluntarily wound up, are required to present proofs of  
claim on or before March 5, 2007, to Geoffrey Varga of Kinetic
Partners Cayman LLP, the company's liquidator.

Creditors are required to present proofs of claim personally or
through their solicitors at the time and place that the
liquidator specified.  Failure to present claims would mean
exclusion from the benefit of any distribution that the company
will make.

The liquidators can be reached at:

           Geoffrey Varga
           Attention: Bernadette Bailey-Lewis
           Kinetic Partners Cayman LLP
           Strathvale House
           P.O. Box 10387, Grand Cayman KY1-1004
           Cayman Islands
           Telephone: (345) 623 9903
           Fax: (345) 623 0007


CYPRESS TREE: Fitch Affirms BB/BB- Reference Portfolio Ratings
--------------------------------------------------------------
Fitch Ratings has affirmed CypressTree Series 2005-6 due
Dec. 30, 2010, at 'AA'.

The AUD40 million transaction is a managed high yield synthetic
single-tranche CDO issued by CypressTree Synthetic CDO Ltd., a
Cayman Islands incorporate company.  Credit exposure on the
reference portfolio is obtained through a five-year credit
default swap entered into with Calyon ('AA'/'F1+').  CypressTree
Investment Management Company, Inc., is the portfolio manager.  
The reference portfolio consists of 80 reference obligation
primarily United States high yield corporate obligations, with
an average rating of BB/BB-.

The portfolio remains relatively stable with the transaction
since commencement having experienced 24 rating downgrades, 28
rating upgrades, nine substitutions by the manager and one
credit event, being Dana Corporation.  Overall credit
enhancement within the transaction has risen, despite the credit
event, as a result of the substitutions.

The rating affirmation is based on the stable credit quality of
the portfolio and the appropriate level of credit enhancement
("subordination amount"), as well as the adequacy of CypressTree
as the portfolio manager, coupled with no changes in the ratings
of the relevant swap counter parties and collateral, being
deposits with Calyon.

CypressTree Synthetic CDO Ltd. is a Cayman Islands incorporate
company.


SERIES CAPITAL (CAYMAN): Holds Final Shareholders Meeting
---------------------------------------------------------
Seres Capital (Cayman) Co., Ltd held its final shareholders
meeting on March 1, 2007, at 10:30 a.m. at the registered office
of the Company.

These agenda were 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 was allowed
to appoint a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

          Lawrence Edwards
          Jodi Jones
          P.O. Box 258, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8694
          Fax: (345) 949 4590


WELLEBY FINANCE: Final Shareholders Meeting Is Set for Feb. 26
---------------------------------------------------------------
Welleby Finance Inc.'s shareholders will gather on
Feb. 26, 2007, for a final general meeting at:

          Wafra Investment Advisory Group
          345 Park Avenue, New York
          New York 10154, USA

Accounts on the company's liquidation process will be presented
during the meeting.  The shareholders will also authorize the
liquidators to retain the records of the company for a period of
five years, starting from the dissolution of the company.
Destruction of the records may then be allowed after that
period.

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

The liquidators can be reached at:

          Anthony g. Barbuto
          c/o Solomon Harris
          2nd Floor, First Caribbean House
          P.O. Box 1990, Grand Cayman KY1-1104
          Cayman Islands




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


ARAMARK CORP: Completes Merger with Private Investment Group
------------------------------------------------------------
ARAMARK Corp. disclosed the completion of the acquisition of  
ARAMARK by an investor group led by Joseph Neubauer, chairman
and chief executive officer of ARAMARK, and investment funds
managed by GS Capital Partners, CCMP Capital Advisors and J.P.
Morgan Partners, Thomas H. Lee Partners and Warburg Pincus LLC.

"We are pleased to complete this transaction," said Neubauer,
who will remain Chairman and Chief Executive Officer of ARAMARK.  
"I am particularly grateful for the support we have received
from our people who have worked hard to deliver outstanding
performance over many years, and our senior managers who will
further dedicate themselves by making a significant investment
in the company.

"This merger opens a new and exciting chapter in ARAMARK's
history.  The new structure will enable us to fully unleash the
company's potential.  Today, we are positioned to drive greater
innovation, pursue strategic opportunities, and build
sophisticated, long-term solutions that deliver the most value
for our clients and customers around the world.

"As we invest in new strategies that will define the future of
our industry, we will continue to build on our heritage of
delivering value to our employees, our partners, our clients and
our customers.  We remain dedicated to providing outstanding
experiences, environments and outcomes each and every day for
our clients around the world."

On Aug. 8, 2006, ARAMARK said it had signed a definitive merger
agreement under which the private investor group would acquire
ARAMARK in a transaction valued at approximately US$8.3 billion,
including the assumption or repayment of approximately US$2
billion of debt.

On Dec. 20, 2006, ARAMARK held a special meeting of its
stockholders, at which 86% of the outstanding votes and 97% of
the votes actually cast voted in favor of the adoption of the
merger agreement.

Under the terms of the agreement, ARAMARK shareholders are
entitled to receive US$33.80 in cash for each share of ARAMARK
common stock held.  

                 About GS Capital Partners

Founded in 1869, Goldman Sachs is one of the oldest and largest
investment banking firms.  Goldman Sachs is also a global leader
in private corporate equity and mezzanine investing.  
Established in 1992, the GS Capital Partners Funds are part of
the firm's Principal Investment Area in the Merchant Banking
Division.  With US$8.5 billion in committed capital, GS Capital
Partners V is the current primary investment vehicle for Goldman
Sachs to make privately negotiated equity investments.

                     About CCMP Capital

CCMP Capital Advisors LLC is a leading private equity firm
formed in August 2006 by the former buyout/growth equity
investment team of JPMorgan Partners, a private equity division
of JPMorgan Chase.  CCMP Capital is a registered investment
adviser with the Securities and Exchange Commission.

                 About J.P. Morgan Partners

J.P. Morgan Partners LLC is a private equity division of
JPMorgan Chase & Co., one of the largest financial institutions
in the United States.  JPMP has invested over US$15 billion
worldwide in consumer, media, energy, industrial, financial
services, healthcare and technology companies since its
inception in 1984.

                About Thomas H. Lee Partners

Thomas H. Lee Partners, L.P. is one of the oldest and most
successful private equity investment firms in the United States.
Since its founding in 1974, THL Partners has invested
approximately US$12 billion of equity capital in more than 100
businesses with an aggregate purchase price of more than US$90
billion, completed over 200 add-on acquisitions for portfolio
companies, and generated superior returns for its investors and
partners.  

                  About Warburg Pincus LLC

Warburg Pincus has been a leading private equity investor since
1971.  The firm currently has approximately US$16 billion of
assets under management with an additional US$4 billion
available for investment in a range of sectors including
consumer and retail, industrial, business services, healthcare,
financial services, energy, real estate and technology, media
and telecommunications.

                     About Aramark Corp.

Headquartered in Philadelphia, Pennsylvania, Aramark Corp.
(NYSE: RMK) -- http://www.aramark.com/-- is a professional  
services organization, providing food services, facilities
management, hospitality services, and uniforms and career
apparel to health care institutions, universities and school
districts, stadiums and arenas, businesses, prisons, senior
living facilities, parks and resorts, correctional institutions,
conference centers, convention centers, and public safety
professionals around the world.  It has approximately 240,000
employees serving clients in 20 countries, including Belgium,
Czech Republic, Germany, Ireland, UK, Mexico, Brazil, Chile,
among others.

                            *    *    *

As reported in the Troubled Company Reporter-Latin America on
Feb. 13, 2007, Fitch has downgraded the Issuer Default Rating
for both Aramark Corp. (NYSE: RMK) and its wholly owned
subsidiary, Aramark Services, Inc., to 'B' from 'BB-' and has
rated the new financing of Aramark Corp. as:

   -- US$600 million revolving senior secured credit facility
      due 2013 'BB-/RR2';

   -- US$4.15 billion senior secured term loans due 2014
      'BB-/RR2';

   -- US$250 million senior secured synthetic letter of credit
      facility due 2013 'BB-/RR2'; and

   -- US$1.78 billion senior unsecured notes due 2015 'B-/RR5'


QUEBECOR WORLD: Board Declares Cash Dividend Payment on March 1
---------------------------------------------------------------
Quebecor World Inc.'s Board of Directors declared a dividend of
CDNUS$0.3845 per share on Series 3 Preferred Shares and
CDNUS$0.43125 on Series 5 Preferred Shares.  The dividends are
payable on March 1, 2007, to shareholders of record at the close
of business on Feb. 23, 2007.

Quebecor World Inc. (TSX: IQW) (NYSE: IQW) --
http://www.quebecorworld.com/-- provides print solutions to  
publishers, retailers, catalogers and other businesses with
marketing and advertising activities.  Quebecor World has
approximately 29,000 employees working in more than 120 printing
and related facilities in the United States, Canada, Argentina,
Austria, Belgium, Brazil, Chile, Colombia, Finland, France,
India, Mexico, Peru, Spain, Sweden, Switzerland and the United
Kingdom.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 20, 2006,
Moody's Investors Service downgraded the Corporate Family Rating
of Quebecor World (USA) Inc. to B1 from Ba3, and moved this
benchmark rating to the parent company, Quebecor World Inc.
Related ratings were impacted.  The outlook for all ratings is
negative.




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


ALSTOM SA: Targets France & Italy for New Locomotive Contracts
--------------------------------------------------------------
Alstom SA launched a new breed of locomotives and is looking
towards Italy and France for contracts, hoping to earn billions
of euros by 2008, John Jannarone writes for the Wall Street
Journal.

"The Italian tender should come out this year and the French
tender should come out next year," said Philippe Mellier, Alstom
Transport's president.

The company is looking at potential orders of more than EUR1
billion from Italy, with even higher prospects from France.  The
first train will be released at the end of 2007, WSJ relates.

"My guess is that the contract for Italy will be for 40 or 50
train sets," Mr. Mellier said.  He added that France could buy
more than 100 locomotives to expand and revamp its old fleet,
the report says.

Alstom's Train a Grande Vitesse, with the help of a new
technology called automotrice a grand vitesse, will try to break
a rail-speed record of 550 kilometers an hour, WSJ states.

Meanwhile, Alstom landed a EUR1.2 billion contract with China in
October to supply 500 freight locomotives.  China is setting up
a high-speed link between Beijing and Shanghai, which it plans
to finish by 2010, WSJ relates.

According to the report, orders at the transport division
plummeted 30% in the third quarter ended December 2006, compared
with the same period in 2005, after falling 18% in the first
half of Fiscal-Year 2006.

Some contracts were not booked in the third quarter, including
the deal with China, WSJ reports.

"It's usually pretty long between contract award and putting it
in force, but it's going to come and we're expecting a good year
overall," Mr. Mellier said, neglecting to name a specific
target.

                        About Alstom

Headquartered in Paris, France, Alstom S.A. --
http://www.alstom.com/-- is a leading maker of power-generation  
systems and constructs power plants, rail equipment, luxury
passenger ships, naval vessels, and natural gas tankers.  It
also produces electrical drives, motors, and generators.  The
group generates EUR13 billion in annual revenues and employs
more than 70,000 people worldwide.  It has operations in
Argentina, Brazil, Chile, Colombia, Ecuador, Mexico, Panama and
Venezuela in Latin America.

For the fiscal year ended March 31, 2006, Alstom posted EUR178
million in net profit on EUR13.4 billion in net sales, compared
to EUR628 million in net loss on EUR12.9 billion in net sales a
year ago.

As of March 31, 2006, Alstom had EUR18.408 billion in total
assets, EUR16.568 billion in total liabilities and EUR1.84
billion in total equity.  As of March 31, 2006, Alstom had
EUR8.785 billion in current assets and EUR11.802 billion in
current liabilities.


BANCOLOMBIA: Earns COP31.6 Billion in January 2007
--------------------------------------------------
Bancolombia reported unconsolidated net income of COP31,638
million during the past month of January.

During January, total net interest income, including investment
securities amounted to COP124,067 million.  Additionally, total
net fees and income from services totaled COP53,272 million in
the month.

Total assets amounted to COP26.30 trillion, total deposits
totaled COP17.37 trillion and Bancolombia's total shareholders'
equity amounted to COP3.45 trillion.

Bancolombia's (unconsolidated) level of past due loans as a
percentage of total loans was 2.61% as of Jan. 31, 2007, and the
level of allowance for past due loans was 135.65%.

The income tax provision increased because the Tax Reform
approved during 2006 became effective and because the fiscal
credits that the Bank had until such year are no longer
available.

                        Market Share

According to ASOBANCARIA (Colombia's national banking
association), Bancolombia's market share of the Colombian
Financial System in January 2007 was as follows:

   * 21.1% of total deposits,
   * 20.2% of total net loans,
   * 19% of total savings accounts,
   * 21.7% of total checking accounts and
   * 13.2% of total time deposit

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

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

                        *    *    *

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

As reported in the Troubled Company Reporter on Feb. 06, 2007,
Fitch Ratings affirmed Bancolombia's long-term and short-term
foreign currency Issuer Default Ratings:

   * Foreign currency long-term IDR at 'BB+';
   * Foreign currency short-term rating at 'B';
   * Support rating at '3'.

The Rating Outlook is Stable.

The ratings remain on Rating Watch Negative:

   * Individual rating of 'C';
   * Local currency long-term IDR of 'BBB-';
   * Local currency short-term rating of 'F3'.




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


ANIXTER INTERNATIONAL: Prices US$300MM Convertible Senior Notes
---------------------------------------------------------------
Anixter International Inc. reported the pricing of US$300
million principal amount of Convertible Senior Notes due 2013.  
The notes are being sold in a private placement to qualified
institutional buyers pursuant to Rule 144A under the Securities
Act of 1933, as amended.  The US$300 million principal amount
includes notes to be issued pursuant to an over allotment
option, which option has already been exercised.

The notes will pay interest semiannually at a rate of 1% per
annum.  The notes will be convertible, at the holders option, at
an initial conversion rate of 15.753 shares per US$1,000
principal amount of notes, which represents a 15% conversion
premium based on the last reported sale price of US$55.20 per
share of Anixter's common stock on Feb. 12, 2007.  The notes
will be convertible under certain circumstances.  Upon
conversion, holders will receive cash up to the principal
amount, and any excess conversion value will be delivered, at
Anixter's election, in cash, common stock or a combination of
cash and common stock.

Anixter estimates the net proceeds from this offering will be
approximately US$292.5 million after deducting estimated
discounts, commissions and expenses.

Anixter expects to use the net proceeds from the offering and
proceeds of approximately US$52.0 million from the warrant
transaction referred to below to purchase US$110.4 million worth
of its common stock contemporaneously with the closing of the
sale of the notes.  In addition, approximately US$88.8 million
will be used to fund a convertible note hedge transaction that
Anixter expects to enter into with an affiliate of the initial
purchasers of the notes.  This convertible note hedge
transaction is intended to offset the dilution to Anixter's
common stock upon conversion of the notes. The remaining
proceeds from the transactions will be used for general
corporate purposes, including to reduce borrowings under the
Company's revolving credit facilities and funding under its
accounts receivable securitization facility.

In addition, Anixter expects to enter into a separate warrant
transaction with an affiliate of one of the initial purchasers.  
The warrant transaction and the convertible note hedge
transaction will generally have the effect of increasing the
conversion price of the notes.  The warrants associated with the
notes have an exercise price that is 50% higher than the closing
price of Anixter's common stock on Feb. 12, 2007.

Headquartered in Glenview, Illinois, Anixter International
(NYSE: AXE) distributes communication products and electrical
and electronic wire and cable, and distributes fasteners and
other small parts to original equipment manufacturers.  Anixter
has physical presence in 45 countries and has over 5,000,000
square feet of warehouse space.  For its Latin American
operations, it has offices in Mexico, the Dominican Republic,
Costa Rica, Puerto Rico, Venezuela, Colombia, Peru, Brazil,
Argentina and Chile.

                        *    *    *

Fitch Ratings affirmed on Sept. 9, 2006, these ratings for
Anixter International Inc. and its wholly owned operating
subsidiary, Anixter Inc.:

   Anixter

      -- Issuer Default Rating: 'BB+';
      -- Senior unsecured debt 'BB-'.

   AI

      -- Issuer Default Rating: 'BB+';
      -- Senior unsecured notes 'BB+'; and
      -- Senior unsecured bank credit facility at 'BB+'.




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


VIVA INT'L: To Merge Caribbean Subsidiaries with Transportation
---------------------------------------------------------------
Viva International Inc. has issued a letter of intent to
Transportation Associates Inc. that proposes merging Eastern
Caribbean Airlines Corporation and Viva's 49% in Viva Air
Dominicana S.A. with TA.  The contemplated merger would then
been subsequently spun-out to the shareholders of Viva.

TA is a holding company specializing in the acquisition and
management of trucking companies.  It has previously estimated
the annual revenues of its subsidiaries to be in a range of
US$15-20 million.

Under the plan, ECA will issue 1 million shares of Series A
Convertible Preferred Stock to TA in exchange for all of the
Capital Stock owned by its shareholders.  The preferred stock
will be convertible after 12 months at the rate of 1 share of
Series A for twenty shares of common stock of ECA.

As additional consideration under the merger and subsequent
spin-off, US$1.5 million of liabilities (Viva and subsidiaries)
will be absorbed or assigned to the new merger (ECA and
subsidiaries).

Upon the effective date of the spin-off, Viva will issue, as a
dividend to its shareholders, 100% of the common stock of ECA
issued and outstanding at the time of the spin-off, on a pro
rata basis.  The exact number of shares will be determined at
the mutual agreement of the parties prior to the spin-off, but
the parties contemplate that a total of approximately 5 million
shares of ECA will be issued in the spin-off.  Accordingly,
qualifying shareholders of Viva will receive approximately 1
share of ECA for each 15 shares of Viva that they own at the
effective date.

Calvin Humphrey, Viva's CEO and Chairman, released the following
statement: "The need for Viva to plan for the merge of our
Caribbean subsidiaries and their subsequent spin-offs is
necessary for several reasons.  Primarily, it is necessary to be
able to properly finance the respective operations of the
aviation-related businesses and acquisitions that we have
planned for Viva while recognizing that it would be easier for
our Caribbean-based subsidiaries to be financed as part of a
respective merger with an entity such as Transportation
Associates.  Secondly, as we go forward it is becoming apparent
that with the focus of our efforts being toward aviation-related
businesses like River Hawk Aviation and Flight Test Associates
that our management team does not have sufficient time available
to devote to the Caribbean airline subsidiaries.  Accordingly,
the time to address what is best for both organizations, as well
as our shareholders, is now and I believe that our plan provides
the opportunity to accomplish this."

                         About Viva

Viva International Inc. (OTCBB: VIVI) has a number of airline
and aviation-related interests including two developmental-stage
carriers being readied to operate in regional markets from hubs
in Puerto Rico and Santo Domingo, Dominican Republic.

The Company plans to create a network of regionally based
airlines across the Caribbean, eventually to be linked to key
points in the United States, Latin America, South America, and
Europe.

At present, the Company maintains executive offices in Michigan.
At June 30, 2006, Viva International's balance sheet showed a
stockholders' deficit of US$4,167,988, compared to a deficit of
US$4,116,893 at March 31, 2006.

                     Going Concern Doubt

As reported in the Troubled Company Reporter on May 26, 2005,
Kempisty & Company CPAs, P.C., raised substantial doubt about
Viva International Inc.'s ability to continue as a going concern
after it audited the Company's financial statements for the
fiscal year ended Dec. 31, 2004.  The auditors cite Viva's
US$14.9 million net loss for the period from April 18, 1995, to
Dec. 31, 2004, and zero operating revenue for the two-year
period ended Dec. 31, 2004.


* DOMINICAN REPUBLIC: Trust Company May Dispose of Bonds
--------------------------------------------------------
The Trust Company of the West, one of the largest investment
funds operating in international markets, may decide to get rid
of the Dominican Republic bonds, Dominican Today reports.

Dominican Today relates that the Trust Company sued the
Dominican Energy Consortium and the National Energy Commission,
alleging that the nation changed the rules in energy
distribution operations.

Energy market experts told Diario Libre that the Dominican
Republic could suffer economically if the Trust Company gets rid
of the bonds while commenting that it no longer trusts the
country's business climate.  

The Trust Company holds 50% of the total private stock held by
energy distributing firm EdeEste in a partnership with the
Dominican state, according to Dominican Today.

The Trust Company, other than being among the largest investment
funds firms, was also chosen by AES Corp. as part of the
latter's investment strategy, Diario Libre notes, citing the
market experts.  The Trust Company's assets are managed by AES
Corp.

Some members of the cabinet told Dominican Today that at the
end, the government will be forced to repurchase the EdeEste
stock to avoid the lawsuit and then sell the stock to another
private company.

                        *    *    *

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

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

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

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

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

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

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

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

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

Fitch also affirmed these ratings:

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

   -- Short-term Issuer Default Rating: B.

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

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

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




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


* ECUADOR: Will Conduct Exploration on Ishpingo Oilfields
---------------------------------------------------------
The Ecuadorian government said in a statement that President
Rafael Correa disclosed plans of conducting exploration and
production on the Ishpingo-Tambochocha-Tiputini oilfields in
northern Amazon.

The fields could bring in about US$1 billion in resources to the
state, Business News Americas says, citing President Correa.

BNamericas underscores that the Ishpingo-Tambochocha block has
about 900 million barrels of proven reserves that France's oil
institute has certified.  Studies by the institute's subsidiary
Beicip Franlab in 2004 showed that production could be up to
190,000 barrels daily of 14.7 degrees crude.

According to BNamericas, Ecuadorian state oil Petroecuador
signed in 2006 a five-year strategic alliance accord with
Brazilian counterpart Petroleo Brasileiro, which was interested
in the project.

The report says that Ecuador could develop the project with
Petroleo Brasileiro or it could launch an international tender.

However, President Correa told BNamericas, "There are
environmental impacts that are unavoidable."

BNamericas relates that the prospective Ishpingo-Tambochocha
project was opposed as it is at the center of the Yasuni
national park.

President Correa explained to BNamericas that failing to conduct
the project, however, would deny the nation a major source of
revenue, creating a larger environmental impact than what
Ecuador is trying to avoid.

President Correa challenged the international community to
compensate Ecuador with US$1 billion per year in exchange for
not starting oil output on the fields, BNamericas states.

                        *    *    *

As reported on Jan. 25, 2007, Fitch Ratings downgraded the long-
term foreign currency Issuer Default Rating of Ecuador to 'CCC'
from 'B-', indicating that default is a real possibility in the
near term.

In addition, these ratings were downgraded:

   -- Uncollateralized foreign currency bonds to
      'CCC/RR4' from 'B-/RR4';

   -- Collateralized foreign currency Par and Discount
      Brady bonds to 'CCC+/RR3' from 'B/RR3'; and

   -- Short-term foreign currency IDR to 'C' from 'B'.

Fitch also affirmed the Country ceiling rating at 'B-'.




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


* EL SALVADOR: Economic Stability Cues Fitch to Affirm Ratings
--------------------------------------------------------------
Fitch Ratings affirms El Salvador's ratings:

   -- Foreign and Local Currency Issuer Default Ratings
      at 'BB+';

   -- Short-term Issuer Default Rating at 'B'; and

   -- Country Ceiling at 'BBB-'.

The Rating Outlook is Stable.

El Salvador's ratings are supported by its macroeconomic
stability, its relatively low public sector debt burden, and its
good record for structural reforms, including the implementation
of DR-CAFTA (a free trade agreement with the U.S.).  El
Salvador's ratings are constrained by the country's weak social
indicators including a high crime rate, its relatively weak
public finances, and a relatively modest albeit improving growth
performance.

Since the last review, Fitch notes some positive credit
developments, including higher GDP growth in 2006, the
government's plan to reduce reliance on the international
capital markets for financing the fiscal deficit in 2007, and
greater foreign participation in the banking sector, which
should reduce the sovereign's contingent liability associated
with banks.  GDP growth in 2006 is estimated to have reached
4.2% compared with the 1.9% average growth observed in 2000-
2005.

'While it is encouraging that El Salvador's growth rate has
picked up, sustaining higher GDP growth of 4%-5% would require
further reforms to improve business climate, boost human capital
and labor productivity, and address the high crime rate in the
country,' said Shelly Shetty, Senior Director in Fitch's
Sovereign Group.  This is further underscored by the fact that
El Salvador's investment-to-GDP ratio of 16% is among the lowest
in the 'BB' category.

Fitch says that El Salvador's resolve to prevent fiscal
deterioration since 2003, notwithstanding low GDP growth is
noteworthy.  Also, unlike many other Latin American countries,
the Saca administration has been successful in steadily
increasing the tax intake over the past two years, partly to
increase the scope for social and capital spending in the
country.  Yet, the tax-to-GDP ratio of 14% in 2006 is quite
modest compared to the vast development needs of the country.  
While the government debt-to-GDP ratio of 40% is in line with
the 'BB' median, the debt-to-revenue ratio of over 200% is
considerably higher than the 'BB' median and highlights the
narrowness of the country's revenue base.  Fitch believes that
liability management would also be better served if the domestic
political environment allows the government to maintain access
to the international capital markets, if needed, as currently
the main opposition party can block long-term foreign borrowing
as it has one-third of seats in Congress to do so.  On the
positive side, the government financing needs of less than 5% of
GDP remain quite modest compared to peers.

Even with higher than expected growth last year, and an
impressive growth in tax revenues, fiscal accounts consolidated
very little in 2006, highlighting the pressures on public
finances.  Fitch also believes that notwithstanding some of the
benefits of the recent changes in financing the pension costs,
parametric reforms to the pension system are still required to
permanently increase the public sector primary surplus and
reduce the debt burden faster over the median term.  In light of
El Salvador's vulnerability to external shocks and its
dollarized economy, its fiscal solvency ratios need to be more
robust than those of its rating peers.

Finally, due to the limited foreign direct investment flows into
El Salvador, its current account deficits (that have ranged
between 4%-5% of GDP) have been predominantly financed through
external borrowing.  Even though El Salvador's external solvency
ratios such as gross and net external (both as a percentage of
GDP and CXR) are improving, they remain above the 'BB' median.  
However, some of the rise in the external borrowing is due to
better access of the private sector to external markets due to
the elimination of foreign exchange rate risk following the
adoption of the dollarized regime in 2001.

Continued monetary stability, sustained higher growth, as well
as further improvement in public debt dynamics could enhance El
Salvador's creditworthiness.  On the other hand, fiscal slippage
and a return to a low-growth path that results in a considerable
increase in public debt would be viewed negatively.




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


BRITISH AIRWAYS: GMB Union Rejects Pension Offer; Warns Strike
--------------------------------------------------------------
British Airways Plc is facing another potential strike action
after the GMB Union, representing 4,500 baggage handlers and
check-in staff at BA, rejected a proposed deal that would cut
the airline's GBP2.1-billion pension deficit, Bloomberg News
reports.

GMB members "believe that the current pension offer favors the
highest paid workers in BA at the expense of the lowest paid,"
Ed Blissett, a GMB negotiator, was quoted by Bloomberg as
saying.

He added that the union is considering a negotiated settlement
with the carrier so as not to cause any inconvenience to the
traveling public although an industrial action ballot is still a
possibility if talks fail.

However, according to Adrian Howard, a spokesman for British
Airways Pensions Trustees, the new pension scheme will be put
into effect as negotiations, which led to the deal, were 100% in
the best interests of the majority.

Mr. Blissett and GMB General Secretary Paul Kenny will meet
today with BA Chief Executive Willie Walsh at Heathrow, to
discuss the result of the consultation ballot and progress
outstanding items.

                New Airways Pension Scheme

As previously reported, British Airways Plc and the trustees of
the New Airways Pension Scheme have formally agreed the funding
plan including benefit changes to tackle the GBP2.1-billion
deficit in the scheme.

The plan, which was agreed in principle with the trustees last
year, includes annual company contributions of some GBP280
million for the next ten years and a one-off cash injection of
GBP800 million.  It also includes benefit changes to take effect
from April 1 and an additional GBP150 million in cash over the
next three years, subject to the airline's financial
performance.

The benefit changes will deliver an immediate deficit reduction
of some GBP400 million and a saving of some GBP80 million a
year.

Benefit changes include:

   -- normal retirement age at 60 with an accrual rate of
      1/60 and contribution rates of 8.5%;

   -- normal retirement age at 65 with an accrual rate of
      1/60 and contribution rates of 5.25%;

   -- normal retirement age of 55 with an accrual rate of
      1/60 and contribution rates of 17.5%;

   -- options to buy improved accrual rates;

   -- lifting the cap on total pension contributions from 15
      to 30%;

   -- introducing tax efficient ways of making
      pension contributions;

   -- future pensionable pay rises capped to inflation; and

   -- pension growth in retirement (LPI) remains at 5%.

Staff can still choose to retire earlier than the normal
retirement age but with a reduced pension.

                     About the Company

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 Ltd. and British Airways Travel
Shops Ltd.  BA has offices in India and Guatemala.

                        *     *     *

As reported on Feb. 7, Moody's Investors Service changed the
outlook on the Ba1 corporate family and Ba2 senior unsecured
debt ratings of British Airways Plc and its guaranteed
subsidiaries to positive from negative.




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


NATIONAL COMMERCIAL: Sugar Company Pays Off Debt with Bank
----------------------------------------------------------
Jamaican minister of agriculture Roger Clarke told Radio Jamaica
that the Sugar Company of Jamaica has cleared its debt with the
National Commercial Bank.

The Sugar Company used a portion of the US$44 million the Petro
Caribe Fund disbursed to the firm, Radio Jamaica notes, citing
Minister Clarke.

The minister told Radio Jamaica that the money was used to carry
out many other functions.

Radio Jamaica states that the funds were used to:

            -- provide support for the operations of the
               Sugar Company and its affiliated firms, St.
               Thomas and Trelawny Sugar Companies during
               the 2007 pre-crop period, and

            -- used to buy and repair equipment.
              
Sugar Company of Jamaica registered a net loss of almost US$1.1
billion for the financial year ended Sept. 30, 2005, 80% higher
than the US$600 million reported in the previous financial year.  
Sugar Company blamed its financial deterioration to the
reduction in sugar cane production. According to published
reports, the Jamaican government has taken responsibility for
the payment of the firm's debts.

                        *    *    *

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

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

Fitch said the ratings have a stable rating outlook.


NATIONAL COMMERCIAL: Asserts It Won't Break Money Laundering Act
----------------------------------------------------------------
The National Commercial Bank is trying to assure the public that
it now has set up systems to prevent a recurrence of the
breaches of the Money Laundering Act, Radio Jamaica reports.

The National Commercial told Radio Jamaica that a Group
Compliance Unit was created in 2004 with central oversight of
its operations.  Its divisions now have persons responsible for
compliance.  The workers also undergo periodic refresher Anti-
Money Laundering training.

RJR News relates that the authorities have filed historic
criminal proceedings against the National Commercial's Linstead
Branch for alleged breaches of the Act.

According to Radio Jamaica, the National Commercial is accused
of failing to report suspicious financial transactions of
alleged drug lord Norris 'Deedo' Nembhard in 2003.

The National Commercial said in a statement that it takes very
seriously its regulatory obligations in fighting money
laundering, fraud and other illegal activity.

The lawsuit against the National Commercial is set for mention
on Feb. 23, Radio Jamaica states.

                        *    *    *

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


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

Fitch said the ratings have a stable outlook.


SUGAR COMPANY: Pays Off Debt with National Commercial Bank
----------------------------------------------------------
Jamaican minister of agriculture Roger Clarke told Radio Jamaica
that the Sugar Company of Jamaica has cleared its debt with the
National Commercial Bank.

The Sugar Company used a portion of the US$44 million the Petro
Caribe Fund disbursed to the firm, Radio Jamaica notes, citing
Minister Clarke.

The minister told Radio Jamaica that the money was used to carry
out many other functions.

Radio Jamaica states that the funds were used to:

            -- provide support for the operations of the
               Sugar Company and its affiliated firms, St.
               Thomas and Trelawny Sugar Companies during
               the 2007 pre-crop period, and

            -- used to buy and repair equipment.

Sugar Company of Jamaica registered a net loss of almost US$1.1
billion for the financial year ended Sept. 30, 2005, 80% higher
than the US$600 million reported in the previous financial year.  
Sugar Company blamed its financial deterioration to the
reduction in sugar cane production.  According to published
reports, the Jamaican government has taken responsibility for
the payment of the firm's debts.




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


ADVANCED MARKETING: Court Augments Prepetition Shipping Duty Cap
----------------------------------------------------------------
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 the valid prepetition
claims of domestic and international common carriers, shippers,
freight forwarders, and truckers, and increased the cap set
forth in the Court order to US$2,225,000.

Before any payment of prepetition claims of the Common Carriers
is made, the Debtors will provide notice of the proposed Payment
to the financial advisors for the Official Committee of
Unsecured Creditors, Traxi LLC, Judge Sontchi says.

The Committee will have two business days to provide written
notice of objection to a proposed Payment.  If no objection is
timely received, the Debtors will be authorized to make the
Payment.

Judge Sontchi notes that if the Creditors Committee timely
objects to a Payment, the Debtors will not make the Payment
without further agreement of the Committee of further Court
ruling.

To the extent the Committee timely objects to a proposed Payment
and the Debtors and the Committee are unable to resolve the
objection consensually, an emergency hearing in no less than
three business days' notice to all parties-in-interest will be
held to consider immediate approval of any proposed Payment.

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).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.  
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 April 28, 2007. (Advanced Marketing Bankruptcy News, Issue
No. 5; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AES CORP: Buys Alstom & Exelon Coke-Fired Plants for US$611 Mil.
----------------------------------------------------------------
The AES Corp. purchased two coke-fired power plants in Mexico
from Exelon and Alstom for a total of about US$611 million,
United Press Institute reports.

The purchase price includes acquiring equity and debt of the
Termoelectrica del Golfo and Termoelectrica del Penoles plants
totaling US$190 million in addition to assuming US$421 million
in project debt, the same report says.

The plants would help AES expand its foothold in Mexico, United
Press says, citing David Gee, the company's president for North
American region.  

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 - Latin America 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.


ARAMARK CORP: Earns US$87.7 Mil. in Fiscal Quarter Ended Dec. 31
--------------------------------------------------------------
Aramark Corp. earned US$87.7 million of net income on US$3.1
billion of sales for the first quarter of fiscal 2007, compared
to US$93.1 million of net income on US$2.9 billion for the same
period last year.

Operating income was US$172.3 million for the first quarter of
fiscal 2007, a 9% increase over the prior year period.

Interest and other financing costs, net, for the first quarter
of fiscal 2007 increased approximately US$1.8 million from the
prior year period due principally to higher year-over-year
interest rates.

At Dec. 29, 2006, the company's balance sheet showed US$5.3
billion in total assets, US$3.7 billion in total liabilities,
and US$1.6 billion in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Dec. 31, 2006, are available
for free at http://researcharchives.com/t/s?19aa

Total debt increased US$208 million during the first quarter due
principally to the normal seasonal working capital needs and the
acquisition of a regional uniform company.

During the first quarter of fiscal 2007, the company borrowed
US$125 million under its U.S. and Canadian credit facility to
repay the company's 7.10% notes that matured on Dec. 1, 2006.

At Dec. 29, 2006, there was approximately US$330 million of
unused committed credit availability under the company's U.S.
and Canadian credit facility.  As of Dec. 29, 2006, there was
approximately US$516 million outstanding in foreign currency
borrowings.

                    About Aramark Corp.

Headquartered in Philadelphia, Pennsylvania, Aramark Corp.
(NYSE: RMK) -- http://www.aramark.com/-- is a professional   
services organization, providing food services, facilities
management, hospitality services, and uniforms and career
apparel to health care institutions, universities and school
districts, stadiums and arenas, businesses, prisons, senior
living facilities, parks and resorts, correctional institutions,
conference centers, convention centers, and public safety
professionals around the world. Aramark has approximately
240,000 employees serving clients in 20 countries, including
Belgium, Czech Republic, Germany, Ireland, UK, Mexico, Brazil,
Chile, among others.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 16, 2007,
Moody's Investors Service affirmed the Ba3 rating on Aramark
Corp.'s proposed US$4.15 billion secured term loan and B3 rating
on the company's US$1.78 billion of proposed senior notes.


ARAMARK CORP: Fitch Cuts Issuer Default Rating to B from BB-
------------------------------------------------------------
Fitch has downgraded the Issuer Default Rating for both ARAMARK
Corporation and its wholly owned subsidiary, ARAMARK Services,
Inc. to 'B' from 'BB-' and has rated the new financing of
ARAMARK Corporation:

   -- US$600 million revolving senior secured credit facility
      due 2013 'BB-/RR2';

   -- US$4.15 billion senior secured term loans due 2014 'BB-
      /RR2';

   -- US$250 million senior secured synthetic letter of credit
      facility due 2013 'BB-/RR2'; and

   -- US$1.78 billion senior unsecured notes due 2015 'B-/RR5'.

In addition, the rating for the US$250 million senior unsecured
notes due 2012 was lowered to 'CCC+/RR6' from 'BB-'.  The
ratings are removed from Rating Watch Negative.

The Rating Outlook is Stable.

The action follows ARAMARK's recent disclosure that its
leveraged buyout had been completed.  The action finalizes
Fitch's review of the rating following the company's Aug. 8,
2006 report that the company's board of directors had agreed to
accept a management buyout offer from a group of investors led
by chairman and CEO, Joseph Neubauer.  The merger, valued at
approximately US$8.6 billion, was financed through approximately
US$2 billion in equity commitments with the remainder consisting
of various debt instruments noted above.

Fitch expects to withdraw its 'BB-' unsecured bank facility
rating and withdraw its 'BB-' senior unsecured rating for
ARAMARK's existing notes due 2007 and 2008 with the successful
completion of debt tender offers planned for late February.

The ratings reflect ARAMARK's substantially higher leverage
ratio and debt service requirements following the completion of
its LBO and Fitch's expectations for significantly reduced free
cash flow. Pro forma Sept. 29, 2006 total adjusted leverage is
expected to be approximately 7.2x with interest coverage at
approximately 1.9x. Fitch expects credit protection measures to
remain near pro forma levels through the intermediate term.  The
ratings also incorporate potential margin pressure from
competitive pricing and higher operating costs.

The ratings and outlook reflect ARAMARK's leading positions in
its core services, brand recognition, a well-diversified
customer portfolio, and high customer retention rates.  

In addition, ARAMARK's operating performance has been relatively
stable through various market conditions, including the
company's exposure to unforeseen events over the last couple of
years.

The Stable Outlook is also supported by the company's adequate
liquidity position pro forma the proposed transaction, which
includes US$103 million of pro forma cash and approximately
US$450 million available under its revolving credit facility.  
The company also has a US$250 million accounts receivable
securitization program.  Fitch believes that ARAMARK will have
limited ability to improve its credit protection measures in the
next few years. However the company's stable organic revenue
growth and solid market positions should limit any significant
deterioration of credit measures.

According to company filings, the 2012 notes are only guaranteed
by ARAMARK's holding company and will not be guaranteed by
ARAMARK's operating subsidiaries, thereby resulting in
structural subordination of these notes in relation to all of
the new debt issuances which will be fully and unconditionally
guaranteed by substantially all of the company's domestic
material operating subsidiaries.  The indenture for the 2012
bonds generally provides no protection from a change in control
event and does not limit the company's ability to incur
additional indebtedness.

The recovery ratings and notching reflect Fitch recovery
expectations under a distressed scenario.  ARAMARK's recovery
ratings reflect Fitch's expectation that the enterprise value of
the company, and hence, recovery rates for its creditors, will
be maximized in a restructuring scenario, rather than a
liquidation. The 'RR2' recovery rating for the company's credit
facilities reflects Fitch belief that 71%-90% recovery is
reasonable given its priority position.  The recovery rating of
'RR5' for the US$1.78 billion of senior unsecured notes due 2015
reflects that 11%-30% recovery is reasonable and 'RR6' for the
US$250 million 5% senior unsecured notes due 2012 reflects
Fitch's estimate that negligible recovery would be achievable
due to their position in the capital structure.

Fitch's Recovery Ratings are a relative indicator of creditor
recovery prospects on a given obligation within an issuers'
capital structure in the event of a default.


BALDOR ELECTRIC: Contributes US$9.9MM to Employee Profit Sharing
----------------------------------------------------------------
Baldor Electric Company disclosed the results of its 2006
employee profit sharing contribution.

This year marks the 50th anniversary of the Baldor Employee
Profit Sharing and Savings Plan.  In 1957, Baldor Electric
Company began sharing its profits as a way of sharing the
company's financial success with its employees.  This philosophy
still applies today and is equally important as it was back in
1957.  The plan also reinforces the significant role Baldor
employees play throughout the year to take care of customers and
help the Company be successful.

Baldor now contributes approximately 12% of the pre-tax profits
to the plan.  As a result of record company earnings, this
year's profit sharing contribution is US$9,969,261, up from
US$8,938,083 last year.  Baldor's sales in 2006 were US$811
million, up 12% from the prior year.  Baldor's profits in 2006
were US$48 million, also up 12%.  In the past 5 years, the
company has contributed US$36,507,043 to the profit sharing plan
on behalf of its employees.

For 2006, there were 2,939 eligible employees in Baldor's profit
sharing plan.  This year, the profit sharing contribution
averages approximately 4.1 weeks of pay for each participant in
the plan.

Participants in the Baldor Employee Profit Sharing and Savings
Plan have approximately US$248 million invested in the plan.  In
addition, employees retiring from Baldor in 2006 withdrew over
US$17 million from the plan.  The plan is fully funded each year
and Baldor employees have 10 investment choices for their money.

John McFarland, Company Chairman and CEO said, "Our Company has
been sharing its profits with employees for 50 years.  Our
profit sharing plan is an outstanding way for Baldor employees
to accumulate money for retirement.  Most importantly, each and
every one of us has the opportunity to increase the amount of
profit sharing we receive by finding ways to increase the profit
the Company earns."

Baldor Electric Company is a manufacturer of industrial electric
motors, drives and generators.  Baldor is headquartered in Fort
Smith, Arkansas.   Power Systems is a leading provider of Dodge
power transmission products, including mounted bearings and
enclosed gearing, and Reliance Electric industrial motors,
including large AC and custom, variable speed and specialty, and
small and medium AC motors.  The company has offices in Mexico.

                        *    *    *

Moody's Investors Service affirmed on Jan. 26, 2007, the B1
corporate family rating of Baldor Electric Company along with
the Ba3 ratings for the proposed senior secured credit
facilities and B3 ratings for the proposed US$550 million senior
unsecured notes following the company's disclosure that the
company intends to eliminate a preferred stock issuance from its
previously announced financing plans.  The rating outlook is
stable.  These first-time ratings are subject to final
documentation.

                   About Weight Watchers

Headquartered in New York, U.S.A., Weight Watchers International
Inc. (NYSE: WTW) -- http://www.weightwatchersinternational.com/
-- provides weight management services, with a presence in 30
countries around the world, including Brazil, the Netherlands,
and New Zealand.  The company serves its customers through
Weight Watchers branded products and services, including
meetings conducted by Weight Watchers International and its
franchisees.

At Sept. 30, 2006, the company's balance sheet showed
US$935,098,000 in total assets and US$1,038,367,000 in total
liabilities, resulting in a stockholders' deficit of
US$103,269,000.  At Dec. 31, 2005, the company's stockholders'
deficit was US$80,651,000.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 9, 2007,
Standard & Poor's Ratings Services affirmed its 'BB' corporate
credit rating for New York, New York-based commercial weight-
loss service provider Weight Watchers International Inc.

At the same time, all WWI ratings were removed from CreditWatch,
where they were placed with negative implications on
Dec. 20, 2006, reflecting WWI's increasingly aggressive
financial policy after the company's disclosure that it plans to
launch a "modified Dutch auction" self-tender offer for up to
8.3 million shares of its common stock at a price range between
US$47 and US$54 per share.

At the same time, Standard & Poor's assigned its 'BB' rating to
the company's proposed US$700 million term loan A-1 and US$500
million term loan B, with a recovery rating of '2', indicating
the expectation for substantial recovery of principal in the
event of a payment default.  Standard & Poor's also lowered the
existing bank loan ratings on WWI's US$350 million term loan A
and US$500 million revolving credit facility to 'BB' from 'BB+'
and the recovery rating on these facilities to '2' from '1'.

S&P said the rating outlook is negative.

As reported in the Troubled Company Reporter on Jan. 8, 2007,
Moody's Investors Service assigned a Ba1 rating to the proposed
US$1.2 billion senior secured term loan facility of Weight
Watchers International, Inc. and affirmed existing credit
ratings.  Moody's said the rating outlook remains stable.


CABLEMAS SA: Fitch Assigns BB- Issuer Default Ratings
-----------------------------------------------------
Fitch Ratings has affirmed these ratings for Cablemas with a
Stable Rating Outlook:

   -- Foreign Currency Issuer Default Rating 'BB-';
   -- Local Currency Issuer Default Rating 'BB-';
   -- US$175 million senior notes due 2015 'BB-'; and
   -- National scale 'A(mex)'.

Cablemas' ratings reflect its solid operating network, diverse
subscriber base, increasing competition and leveraged financial
position.  Cablemas has been upgrading its network and investing
heavily to achieve network bi-directionality capabilities and to
widen its transmission capacity.  An upgraded network allows
Cablemas to offer additional services, other than traditional
video services, which supports growth and diversify its revenue
generating units.  Currently, Cablemas offers internet services,
and has started to offer voice over internet protocol services
in Tijuana jointly with Axtel and in Cuernavaca with Bestel.  As
part of its strategy, Cablemas offers bundled services, mostly
video and Internet but should move to a triple play service
offering that includes voice in its most important markets.  
Cablemas received 22 telephony concessions during 2006.  Fitch
believes that the offering of bundled services under the same
invoice, increases the competitive position of Cablemas, helps
retain customers by increasing loyalty and reduce churn rates.

Fitch considers that the leveraged buyout transaction between
founding shareholders and investment funds does not change
directly Cablemas balance sheet or its financial profile, but
may indirectly burden Cablemas.  The ratings factor in that the
financial risk profile of Cablemas will not change due to the
shareholder reorganization process.  On Sept. 20, 2006, Cablemas
announced the founders of the company bought, for an undisclosed
price, the shares in possession of several investment funds.  
The transaction was financed with a credit facility provided to
the Alvarez family, which intends to find a strategic investor
or place equity in the capital markets to repay the facility.

Cablemas' credit quality is underpinned by its pay television
segment, which accounts for approximately 80% of revenues,
providing the company with a stable and geographically
diversified cash flow.  Voice and broadband services are
expected to remain the main growth drivers for Cablemas in
coming years, diversifying away its revenue base.  Fitch expects
competition to increase with the entrance of the convergence
agreement and may eventually derive in a new consolidation
phase.  The agreement allows pay television companies to offer
voice services and voice companies to offer video services.  
Despite Cablemas entering earlier to offer voice services, it
should face strong competition from Telmex once it starts
offering video services.  Fitch expects Telmex to have available
a pay-television offering by late 2007 or the beginning of 2008.

Fitch expects Cablemas to continue with strong operating
performance, with increases in revenues and RGU.  Strong
operating performance should translate over the medium to long
term into an improved financial profile, besides an expected
increase in debt over the current year.  Total debt to EBITDA
ratio of 2.2 times, as of Sept. 30, 2006, may increase during
2007 to levels in the range of 2.5x-3.0x; depending on the speed
of the telephony rollout.  Credit protection measures are
expected to remain consistent with the rating category and
should gradually strengthen over the next few years supported by
growth in revenues and EBITDA, both from organic and additional
services such as broadband and voice.  Cablemas has a
comfortable debt maturity profile that eliminates any liquidity
or refinancing risk in the short-term.  Debt primarily consists
of US$175 million unsecured note maturing in 2015. While
Cablemas has been free cash flow negative over the past few
years, Fitch expects that the company will turn free cash flow
positive by 2008 may be extended to 2010 if Cablemas accelerates
its investments related to the roll out of telephony services.

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


CONTINENTAL AIRLINES: Pays US$111MM in Profit Sharing to Workers
----------------------------------------------------------------
Continental Airlines Inc. distributed US$111 million in profit
sharing to employees on Feb. 14, 2007.

"When we work together, we win together, and my co-workers are
sharing Continental's success through profit sharing,"
Continental Chairman and CEO Larry Kellner said.  "We all worked
together in 2006 to deliver solid financial and operational
results, and my co-workers will now receive US$111 million in
cash as a result of the best profit sharing program in the
industry."

The carrier recorded net income of US$343 million in 2006.  This
marks the first Continental profit sharing payment since the
payment for the 2000 results.  The US$111 million distribution
is both the highest of any U.S. carrier this year and the
highest profit sharing distribution in Continental's history.

Mr. Kellner will hand out profit sharing checks tomorrow at the
airline's hub at Newark Liberty International Airport, while
President Jeff Smisek will distribute profit sharing to the
airline's employees at the company's Bush Intercontinental
Airport hub and other Houston locations.  Continental's Airport
Services Senior Vice President, Bill Meehan, will present
profit-sharing to Continental's employees at the airline's hub
at Cleveland Hopkins International Airport.  Other Continental
officers will travel to many other locations throughout the
Continental system to distribute profit sharing.

                About Continental Airlines

Continental Airlines Inc. (NYSE: CAL) -- http://continental.com/   
-- is the world's fifth largest airline.  Continental, together
with Continental Express and Continental Connection, has more
than 3,200 daily departures throughout Mexico, Europe and Asia,
serving 154 domestic and 138 international destinations
including Honduras and Bonaire.  More than 400 additional points
are served via SkyTeam alliance airlines.  With more than 43,000
employees, Continental has hubs serving New York, Houston,
Cleveland and Guam, and together with Continental Express,
carries approximately 61 million passengers per year.
Continental consistently earns awards and critical acclaim for
both its operation and its corporate culture.

                        *    *    *

As reported in the Troubled Company Reporter on Nov. 10, 2006,
Moody's Investors Service assigned ratings of Caa1, LDG5-75% to
the US$200 million of senior unsecured notes issued by
Continental Airlines Inc.'s.  Moody's affirmed the B3 corporate
family rating.  Moody's said the outlook is stable.

As reported in the Troubled Company Reporter on Oct. 23, 2006,
Standard & Poor's Ratings Services affirmed its ratings,
including the 'B' long-term and 'B-3' short-term corporate
credit ratings, on Continental Airlines Inc.  The outlook is
revised to stable from negative.  Continental has about US$17
billion of debt and leases.

At the same time, Fitch Ratings has upgraded Continental
Airlines Inc.'s Issuer Default Rating to 'B-' from 'CCC' and
Senior Unsecured Debt to 'CCC/RR6' from 'CC/RR6'.  Fitch said
the rating outlook was stable.


DIRECTV GROUP: Enters Into Long-Term Exclusive Deal with Mattel
---------------------------------------------------------------
DIRECTV Inc. is stimulating the minds of TV viewers across the
country with the launch of Game Lounge, a new gaming channel now
available exclusively on DIRECTV.

In addition, DIRECTV has currently entered into a long-term,
exclusive partnership with Mattel for the use of all of its
brands, including Hot Wheels(R), Barbie(R) and UNO(R), to
develop a line of children's games available exclusively for the
Game Lounge platform.

The Game Lounge platform consists of several different
categories including puzzle, word, card, educational and arcade
style games that are based upon key consumer and entertainment
brands including games surrounding Nickelodeon properties like
SpongeBob SquarePants, Avatar: The Last Airbender, and Tak and
the Power of Juju, a soon to be launched Nickelodeon animated
television series, which stems from the video game.  Customers
can play these games via their televisions using a DIRECTV
remote control from the comfort of any room in their home.

"Game Lounge's unique platform is engaging the minds of both
parents and children and bringing family game night back to
DIRECTV households across the country," said Eric Shanks,
executive vice president, DIRECTV Entertainment. "Game Lounge
gives families an alternative way to play games together, using
a medium that kids are used to while also playing in a
controlled environment that parents are comfortable with.  
Working with industry leaders such as Mattel and Nickelodeon, as
well as our unique distribution structure, will make the Game
Lounge platform incomparable to any other television service
provider in the market."

"Barbie, Hot Wheels and UNO are renowned brands that have always
been at the forefront of industry trends - from fashion and
entertainment to technology and innovation," said Cynthia
Neiman, vice president of marketing, Mattel Games.  "We are
excited to embrace this new gaming movement by partnering with
DIRECTV on the launch of its new gaming channel."

"We are proud to extend our programming relationship with
DIRECTV to include exciting Nickelodeon branded games on Game
Lounge," said Tom Ascheim, executive vice president and general
manager of Nickelodeon.  "Casual gaming is a huge industry, one
which, particularly in the kids' space, has really grown.  In
addition to our games on Nick.com, this partnership with DIRECTV
will bring some of our best known characters into the homes of
millions in a way that DIRECTV subscribers have never
experienced."

In addition to children's games, Game Lounge will also offer a
variety of casual games, including Solitaire, Sudoku, Monopoly,
Scrabble, Yahtzee and Black Jack.  DIRECTV's exclusive
relationship with one of the world's leading providers of skill-
based games, SkillJam, will allow DIRECTV customers to play
popular casual games, such as Bejeweled 2, Solitaire and Sudoku,
against each other for tokens, cash and prizes.

Customers with interactive receivers can access Game Lounge both
on an all access monthly subscription basis or play-per-day
basis, which is currently a distribution structure that is not
available on any other gaming platform. The all-access monthly
subscription price of Game Lounge is US$5.95 per month with a
play-per-day price of US$1.95.

                     About Mattel, Inc.

Mattel Inc. (NYSE:MAT) -- http://www.mattel.com/-- is the  
worldwide leader in the design, manufacture and marketing of
toys and family products, including Barbie(R), the most popular
fashion doll ever introduced. The Mattel family is comprised of
such best-selling brands as Hot Wheels(R), Matchbox(R), American
Girl(R), Radica(R) and Tyco(R) R/C, as well as Fisher-Price(R)
brands (www.fisher-price.com), including Little People(R),
Rescue Heroes(R), Power Wheels(R) and a wide array of
entertainment-inspired toy lines.  With worldwide headquarters
in El Segundo, Calif., Mattel employs more than the 30,000
people in 42 countries and sells products in more than 150
nations throughout the world. Mattel's vision is to be the
world's premier toy brands -- today and tomorrow.

BARBIE, HOT WHEELS, UNO and associated trademarks and trade
dress are owned by, and used under license from, Mattel, Inc.
(C) 2007 Mattel, Inc. All Rights Reserved.

                      About Nickelodeon

Nickelodeon, in its 27th year, is the number-one entertainment
brand for kids.  It has built a diverse, global business by
putting kids first in everything it does.  The company includes
television programming and production in the United States and
around the world, plus consumer products, online, recreation,
books, magazines and feature films.  Nickelodeon's U.S.
television network is seen in almost 92 million households and
has been the number-one-rated basic cable network for almost 12
consecutive years. Nickelodeon and all related titles,
characters and logos are trademarks of Viacom Inc. (NYSE:VIA)
(NYSE:VIA.B).

                        About DirecTV

Headquartered in El Segundo, California, The DirecTV Group, Inc.
(NYSE: DTV) -- http://www.directv.com/-- provides direct  
broadcast satellite service to more than 15 million customers in
the US and more than 1.5 million customers through its DirecTV
Latin America segment.

                        *    *    *

The DIRECTV Group Inc.'s long-term local and foreign issuer
credits carry Standard & Poor's BB ratings.  The ratings were
placed on Aug. 9, 2004 with a stable outlook.


GLOBAL POWER: Has Until April 26 to File Chapter 11 Plan
--------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware gave
Global Power Equipment Group Inc. and its debtor-affiliates
until April 16, 2007, to file their plan of reorganization and
until June 25, 2007, to solicit acceptances of that plan.

The Debtors' exclusive period to file a chapter 11 plan expired
on Jan. 26, 2007.

Although much has been achieved in terms of transitioning their
business into Chapter 11 administration, the Debtors note that a
substantial amount of work remains to be done before they will
be able to propose a plan consistent with their fiduciary duties
to maximize value, including the development and testing of a
business plan and an analysis of the Debtors' intercompany
claims.

Until a reliable business plan can be developed, vetted and
validated, coupled with an analysis of intercompany issues,
efforts to propose and file a plan of reorganization will be
futile, the Debtors said.

Headquartered in Tulsa, Oklahoma, Global Power Equipment Group
Inc. aka GEEG Inc. -- http://www.globalpower.com/-- provides   
power generation equipment and maintenance services for its
customers in the domestic and international energy, power and
infrastructure and service industries.  The Company designs,
engineers and manufactures a range of heat recovery and
auxiliary equipment primarily used to enhance the efficiency and
facilitate the operation of gas turbine power plants as well as
for other industrial and power-related applications.  The
Company has facilities in Plymouth, Minnesota; Tulsa, Oklahoma;
Auburn, Massachusetts; Atlanta, Georgia; Monterrey, Mexico;
Shanghai, China; Nanjing, China; and Heerleen, The Netherlands.

The Company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  The Official Committee of Unsecured
Creditors appointed in the Debtors' cases has selected Landis
Rath & Cobb LLP as its counsel.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.  




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


* PANAMA: Euro Bank May Finance Canal Expansion Up to US$600 Mln
----------------------------------------------------------------
The European Bank, the European Union's financial arm, could
finance up to US$600 million of the US$5.25 billion Panama Canal
expansion project, La Prensa reports.

European Bank vice president Carlos da Silva told La Prensa,
"The canal project is financially profitable."

Business News Americas relates that Mr. da Silva would meet with
Panama Canal Authority Chief Executive Officer Alberto Aleman to
formalize the investment bank's interest in funding the project.

Meanwhile, the French government has also expressed interest in
financing the Panama Canal's expansion, BNamericas notes.

French foreign commerce minister Christine Lagarde told Critica
en Linea, "There are six companies with the financial and
technical capacity to carry out expansion works, and two of them
are French, so we want to have a presence there."

According to BNamericas, the Panama Canal Authority will call
for bids between April and June on several projects to lay
groundwork for the expansion project.

An environmental impact study on the expansion is expected in
the middle of 2007, BNamericas states.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
Dec. 14, 2006, Fitch Ratings affirmed the Republic of Panama's
long-term foreign currency Issuer Default Rating of 'BB+'.
Fitch also affirmed the sovereign's long-term local currency IDR
of 'BB+', the short-term foreign currency IDR of 'B' and the
country ceiling of 'BBB+'.  Fitch said the rating outlook is
stable.




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


MILLICOM INTERNATIONAL: Completes Business Sale in Pakistan
-----------------------------------------------------------
Millicom International Cellular S.A. has completed the sale of
its 88.86 per cent. shareholding in Paktel Limited to China
Mobile Communications Corporation which finalizes Millicom's
exit from Pakistan.

Millicom International Cellular S.A. (Nasdaq: MICC,
Stockholmsb"rsen: MIC) -- http://www.millicom.com/ -- is a  
global telecommunications investor with cellular operations in
Asia, Latin America and Africa.  It currently has cellular
operations and licenses in 16 countries.  The Group's cellular
operations have a combined population under license of
approximately 391 million people.

The Central America Cluster comprises Millicom's operations in
El Salvador, Guatemala and Honduras.  The population under
license in Central America at December 2005 is 26.4 million.
The South America Cluster comprises Millicom's operations in
Bolivia and Paraguay.  The population under license in South
America at December 2005 is 15.2 million.

                        *    *    *

Millicom International's 10% senior notes due 2013 carry Moody's
B3 rating and Standard & Poor's B- rating.

                        *    *    *

Standard & Poor's Ratings Services affirmed on July 4, 2006, its
'B+' long-term corporate credit and 'B-' senior unsecured debt
ratings on Millicom International Cellular S.A.  The ratings
were removed from CreditWatch with developing implications,
where they had been placed on Jan. 20, 2006, on the initiation
of a strategic review that could have led to a transaction such
as the sale of all or part of the company.  S&P said the outlook
is stable.




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


CELESTICA: Holds Annual General Shareholders Meeting on Apr. 26
---------------------------------------------------------------
Celestica Inc.'s annual general shareholders' meeting will be
held on Thursday, April 26, 2007, at 10:00 a.m. The location
will be announced at a later date.

Celestica has set March 12, 2007, as the record date for
determining shareholders of the company who are entitled to vote
at the meeting.  Shareholders should expect to receive the
company's proxy statement and related materials in late March.

Based in Toronto, Ontario, Celestica, Inc. (NYSE: CLS, TSX:
CLS/SV) -- http://www.celestica.com/-- provides electronic   
manufacturing services to original equipment manufacturers in
the computing, telecommunications, aerospace and defense,
automotive, consumer electronics, and industrial sectors in
Asia, Mexico, Puerto Rico, Brazil, and Europe.  Its solutions
comprise design and engineering, manufacturing and systems
integration, and fulfillment, as well as after-market services.

The company has a strategic alliance with Bartolini Progetti
S.p.a.  Celestica was incorporated as Celestica International
Holdings, Inc. in 1996 and changed its name to Celestica, Inc.  
The company is based in Toronto, Canada.  Celestica, Inc. is a
subsidiary of the Onex Corp.

                        *    *    *

As reported in the Troubled Company Reporter on Feb. 2, 2007,
Standard & Poor's Ratings Services placed its ratings, including
its 'BB-' long-term corporate credit rating, on Celestica Inc.
on CreditWatch with negative implications.  This action follows
the company's weak fourth-quarter (ended Dec. 31, 2006)
operating results, which reflected larger-than-expected weakness
in end-market demand, particularly with respect to key
telecommunications clients and persistent problems at the
company's Mexican operations.


MMM HOLDINGS: Moody's Lowers Rating Due to Profitability Decline
----------------------------------------------------------------
Moody's Investors Service has downgraded the senior debt rating
of MMM Holdings, Inc., NAMM Holdings, Inc., and Preferred Health
Management Corp. ka PHMC to B3 from B1 following the
announcement by the parent company, Aveta Inc. of a significant
decline in profitability during the fourth quarter of 2006.  The
ratings are being placed under review for possible downgrade.

According to Moody's, MMM, NAMM, and PHMC are co-borrowers under
Aveta's bank credit facility.  The bank facility is guaranteed
by Aveta and is secured with the pledge of the stock and assets
of Aveta, as well as the pledge of the stock of each of the
borrowers and their regulated subsidiaries and all assets of the
non-regulated entities.  As a result of the revised earnings
projection for 2006, Aveta announced that it may fail to meet
one or more of the financial covenants of its bank loan
agreement for fiscal year 2006.

The shortfall in earnings, the rating agency stated, is
primarily the result of higher medical utilization in the
company's Puerto Rico operations, which provides only Medicare
Advantage products.  MMM Healthcare and Preferred Medical
Choice, Inc., the two main operating subsidiaries of MMM, are
the two largest providers of Medicare Advantage products in
Puerto Rico, with over 200,000 members as of September 30, 2006.  
These two companies service in excess of 60% of the Medicare
Advantage enrolled population in Puerto Rico and account for
approximately 80% of Aveta's operating earnings.

Moody's notes that the Medicare Advantage product does not allow
the carrier to change benefits, cancel coverage, or change
premium rates during the contract year.  Since the discovery of
the utilization problem was discovered so late in 2006 (well
after 2007 rates and contracts had been established), MMM will
need to implement cost savings initiatives such as tighter
medical management and authorization protocols to avoid earnings
shortfalls in 2007.  However, according to Moody's, this
requires behavioral changes from providers and members and may
be difficult to implement in a short time frame.  Other
initiatives mentioned by the company, such as renegotiating
provider contracts, may be even more difficult to implement. As
a result, the rating agency expects earnings to be depressed for
at least the first half of 2007, if not longer.  Also in
question, is the company's ability to file with CMS a profitable
product offering for 2008 (which is due in a few months),
without having a full grasp of long-term medical cost trends and
how to control them.

Moody's stated that while the company may still be able to meet
the financial covenants for fiscal year 2006, based on the
current guidance for 4th quarter 2006 it was unlikely that the
company would be able to meet the Consolidated Leverage Ratio
covenant at March 31, 2007.  As a result, the company will
likely be forced to seek a waiver and amendment to its credit
agreement.

Moody's review will focus on the liquidity of MMM, the
explanation by the company of the reasons for the unfavorable
results, as well as the development of a comprehensive action
plan to improve earnings in 2007.  Moody's will also review the
terms of any renegotiation of the credit facility.

These ratings were downgraded and placed under review for
possible downgrade:

MMM Holdings, Inc.

   -- senior secured debt rating to B3 from B1
   -- corporate family rating to B3 from B1

NAMM Holdings, Inc.

   -- senior secured debt rating to B3 from B1

Preferred Health Management Corporation

   -- senior secured debt rating to B3 from B1

MMM Healthcare, Inc.

   -- insurance financial strength rating to Ba3 from Ba2

PrimeCare Medical Network, Inc.
  
   -- insurance financial strength rating to Ba3 from Ba2

The insurance financial strength ratings of Aveta's operating
subs were lowered one notch to Ba3 and its senior debt ratings
were downgraded two notches to B3.  Due to the company's current
financial situation, the security provided by the underlying
assets is less certain making a three notch rating differential
more appropriate.

The last rating on MMM Holdings was on June 28, 2006 when the
company's ratings were affirmed at the time of their acquisition
of Preferred Health Management Corporation.

MMM Holdings Inc. has two main operating subsidiaries - MMM
Healthcare and Preferred Medical Choice, Inc.  The two companies
are the largest providers of Medicare Advantage products in
Puerto Rico, with over 200,000 members as of Sept. 30, 2006.  
They service in excess of 60% of the Medicare Advantage enrolled
population in Puerto Rico and account for approximately 80% of
Aveta's operating earnings.


MMM Healthcare and Preferred Medicare Choice, Inc. offer
Medicare Advantage products exclusively to eligible participants
in Puerto Rico.  Moody's notes that the combined companies
currently enjoy being the market leader in providing Medicare
Advantage products in Puerto Rico.  NAMM is a medical management
company that operates in California and Illinois.  Its regulated
operating subsidiary, PrimeCare Medical Network, Inc., consists
of 10 owned IPAs in Southern California that contract with major
health care benefit companies on a capitated basis to provide
medical care to commercial and Medicare members.

Aveta, Inc. is headquartered in Fort Lee, NJ.  As of
Sept. 30, 2006, Aveta (formally known as Aveta Holdings, LLC)
reported stockholders' equity of US$73 million and approximately
230,000 Medicare members.  For the first nine months of 2006,
pro-forma total revenues (including PHMC revenue for the full
year) were US$1.4 billion.


PIER 1 IMPORTS: Obtains Temporary Restraining Order Against TJX
---------------------------------------------------------------
Pier 1 Imports Inc. has obtained a temporary restraining order
against The TJX Companies Inc. of Framingham, Massachusetts,
enjoining TJX from filing any judicial proceeding or lawsuit
against Alexander Smith, other than making a claim for
arbitration with the American Arbitration Association.

Pier 1 has a policy against verbally commenting outside of the
legal process on litigation to which the company is a party.

Pier 1 has previously filed suit in state District Court in Fort
Worth, Texas, against The TJX Companies seeking among other
things a temporary restraining order to prevent further
interference by TJX with the employment of Pier 1's new
President and Chief Executive Officer, Alex Smith.  Mr. Smith
was formerly a senior executive officer of TJX.

"We had no choice but to take legal action to protect Pier 1
against further interference by TJX with our employment
arrangement with our new President and CEO, Alex Smith," said
Tom Thomas, a member of Pier 1's Executive Committee.  "TJX has
been threatening Alex with legal action in an effort to prevent
his reporting for work at Pier 1 next Monday.  Since Pier 1 is
not a competitor with any of the TJX companies, those threats
are improper.  The lawsuit we filed was necessary to assure that
Alex will be at his post next Monday to oversee the beginning of
Pier 1's return to profitability."

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.

                        *    *    *

As reported in the Troubled Company Reporter on Jan. 19, 2007,
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.  Moody's said the rating outlook was revised to
negative.


UNIVISION: Moody's Confirms Low B Ratings Upon Review Completion
----------------------------------------------------------------
Moody's Investors Service confirmed Univision Communications,
Inc.'s B1 Corporate Family rating and the Ba3 rating on
Univision's existing senior unsecured notes, concluding the
review for downgrade initiated on June 27, 2006 in connection
with the proposed US$13.5 billion acquisition of the company by
a consortium of private equity owners.   Moody's also assigned a
Ba3 rating to Umbrella Acquisition, Inc.'s proposed US$8.2
billion guaranteed senior secured credit facility and B3 ratings
to Umbrella's proposed US$500 million guaranteed second lien
senior secured asset sale bridge and US$1.5 billion guaranteed
senior unsecured notes.  Umbrella is an acquisition vehicle
owned by the equity sponsor group that will be merged into
Univision to complete the acquisition with Univision continuing
as the survivor and borrower post closing.  The rating outlook
is stable.

Confirmations:

Issuer: Univision Communications Inc

   -- Corporate Family Rating, Confirmed at B1
   -- Probability of Default Rating, Confirmed at B1
   -- Multiple Seniority Shelf, Confirmed at (P)B3
   -- Senior Unsecured Regular Bond/Debenture, Confirmed at Ba3

Assignments:

Issuer: Umbrella Acquisition, Inc.

   -- Corporate Family Rating, Assigned B1

   -- Probability of Default Rating, Assigned B1

   -- Senior Secured Bank Credit Facility, Assigned Ba3
      (LGD3 - 39)

   -- Senior Secured Second Lien Bridge Term Loan, Assigned B3
      (LGD5 - 86)

   -- Senior Unsecured Regular Bond/Debenture, Assigned B3
      (LGD6 - 92)

Issuer: Univision Communications Inc

   -- Senior Unsecured Regular Bond/Debenture,
      Assigned LGD3 - 39 (Ba3 rating confirmed)

Outlook Actions:

Issuer: Univision Communications Inc

   -- Outlook, Changed To Stable From Rating Under Review

Issuer: Umbrella Acquisition, Inc. To Stable from No Outlook

The confirmation of the B1 rating reflects Moody's belief that
Univision's strong and leading market position in Spanish-
language media within the United States, good operating margins,
and favorable intermediate-term growth prospects, supported by
Hispanic demographic trends, will allow the company to manage
the very high 12.4x debt-to-EBITDA leverage (pro forma 2006 for
the acquisition and incorporating Moody's standard adjustments)
resulting from the acquisition.  Moody's believes the
acquisition financing structure -- including the ability to PIK
up to 100% of the interest on the US$1.5 billion senior
unsecured notes through 2011, an undrawn US$750 million
revolver, no required term loan amortization for three years,
and a committed US$450 million delayed-draw term loan to support
2007 and 2008 bond maturities -- provides flexibility should
earnings growth or proceeds from the sale of the music business
and certain radio stations not meet expectations.

The B1 rating also incorporates an assumption that Univision
will continue to benefit from the Spanish-language programming
license agreement or PLA with Grupo Televisa, S.A. de C.V (Baa2
senior unsecured) and Venevision (not rated) that provides
Univision with the exclusive broadcast rights in the U.S. and
Puerto Rico to Televisa and Venevision programming through 2017.  
However, Moody's noted the contentious relationship and current
litigation between Univision and Televisa as a potential risk.  
While the B1 CFR assumes that the PLA continues in its current
form, there is a high probability, in the rating agency's view,
that Televisa will continue to place pressure on Univision for
additional fees or an amendment to the terms of the agreement.  
Moody's believes the highly levered capital structure limits
Univision's flexibility to renegotiate the terms of the contract
as part of any resolution of Televisa's litigation to terminate
the PLA.  Should the PLA remain in place, contract extension
risk creates uncertainty in the company's long-term cash flow
prospects due to the approximate 36% share of Univision gross
advertising revenue related to Televisa programming.

The stable rating outlook reflects Moody's belief that the
company will utilize a growing earnings and free cash flow
stream and an estimated US$500 - US$550 million of proceeds from
identified asset sales to reduce debt, including the second lien
asset sale bridge, over the intermediate term.  The ratings
could be downgraded if the company does not meet management's
expectations of debt-to-EBITDA to 9.0x within two years of the
acquisition closing.

The confirmation of the Ba3 rating on the existing senior
unsecured notes reflects Moody's expectation that the notes will
benefit from an identical guarantee and collateral package as
the new senior secured credit facility post closing as a result
of tripping the negative pledge in the note indenture.

Headquartered in Los Angeles, Calif., Univision Communications
Inc., -- http://www.univision.net/-- a Spanish-language
broadcaster, owns and operates more than 60 television stations
in the U.S. and Puerto Rico offering a variety of news, sports,
and entertainment programming.  The company had about US$1.4
billion in debt at March 31, 2006.




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


NAVIOS MARITIME: Buys Kleimar's Share Capital for US$165.6 Mil.
---------------------------------------------------------------
Navios Maritime Holdings Inc. has acquired all of the
outstanding share capital of Kleimar N.V. for US$165.6 million.  
It was anticipated that the net cash paid for the shares would
be US$140.3 million, taking into account the cash retained on
Kleimar's balance sheet and certain proceeds from an asset sale.

"Navios has achieved a number of benefits resulting from this
acquisition," Angeliki Frangou, Chairman and CEO of Navios,
stated.  
   
These are:

   * A strong foothold in the capesize sector, which was in
     great demand for transporting iron ore and coal to Asia and
     elsewhere.

   * Expanded blue chip client list, considering Kleimar's
     reputation with steel companies, utilities and other
     industrial houses. Kleimar conducted business with Total,
     Arcelor, Constellation Energy and BAO Steel.

   * Increased ability to capture information relating to
     the transport of commodities essential for building
     infrastructure.
    
"The business model of Kleimar was similar to that of Navios;
Kleimar has owned vessels, long term chartered-in vessels at
rates below current market rates, purchase options and an
established COA business," Ms. Frangou continued.  Kleimar's
application of this business model complemented Navios'
panamax/handymax platform.  Kleimar's extensive COA business was
an additional diversification in Navios's business."
    
The purchase of Kleimar was financed with existing cash on
Navios's balance sheet and Navios's US$120 million revolver
credit facility with HSH Nordbank and Commerzbank AG.  Navios
expected that the resulting use of debt would be in line with
Navios's current leverage.  Navios expected this transaction to
be accretive to shareholders, both from a cash flow and earnings
standpoint.
  
S. Goldman Advisors LLC, HSH Corporate Finance GmbH, and
Investments and Finance Ltd. represented Navios in this
transaction.  Clarkson PLC assisted Kleimar in this transaction.

                        About Kliemer
    
Kleimar is a Belgian maritime transportation company established
in 1993.  Kleimar has 11 employees and is an owner and operator
of capesize and panamax vessels used in transporting cargoes.  
It also has an extensive Contract of Affreightment business, a
large percentage of which involves transporting cargo to Chinaut
Navios Maritime.

                    About Navios Maritime

Navios Maritime Holdings Inc. (Nasdaq: BULK, BULKU, BULKW) --
http://www.navios.com/-- is a vertically integrated global  
seaborne shipping company, specializing in the worldwide
carriage, trading, storing, and other related logistics of
international dry bulk cargo transportation.  The company also
owns and operates a port/storage facility in Uruguay and has in-
house technical ship management expertise.  It maintains offices
in Piraeus, Greece, South Norwalk, Connecticut and Montevideo,
Uruguay.

                        *    *    *

In November 2006, Standard & Poor's Ratings Services assigned
its 'BB-' long-term corporate credit rating to Greece-based
dry-bulk shipping company Navios Maritime Holdings Inc.  At the
same time, Standard & Poor's assigned its preliminary 'B' debt
rating to Navios' proposed US$300-million senior unsecured
bonds.  S&P said the outlook is stable.




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


AMERICAN COMMERCIAL: Has Over US$30-Mil. of New Business in 2007
----------------------------------------------------------------
American Commercial Lines Inc. has successfully launched the
organic growth initiative of its business strategy.  ACL's
organic growth model includes transporting more freight with its
existing customers as well as converting rail and truck
shipments to move via barge transportation.

Commenting on the new business, Mike Ryan, Senior Vice
President, Sales and Marketing stated, "We have successfully
introduced ACL as a shipping alternative to a broad spectrum of
shippers.  We have recently secured over US$30 million of
contractual commitments for new business in 2007.  The new
business includes various commodities, including coal, chemicals
and metals.  One meaningful example is a conversion of
chemicals, which were previously shipped by rail from the
Midwest for export thru the Gulf.  We believe our organic growth
initiatives will continue to increase the freight that is
transported by the inland barge industry.  We have worked with
many new customers to identify supply chain opportunities using
the safest and most cost efficient mode of transportation."

American Commercial Lines, LLC, headquartered in Jeffersonville,
Indiana is a leading Jones Act qualified provider of barge
transportation services on the United States inland waterways.  
American Commercial has operations in Venezuela.

                        *    *    *

As reported in the Troubled Company Reporter on Feb. 7, 2007,
Moody's Investors Service has withdrawn these ratings of
American Commercial Lines LLC:

   * Corporate Family Rating, of B1
   * Probability of Default Rating, of B1
   * Speculative Grade Liquidity Rating, of SGL-2

The withdrawal was due to ACL's purchase on Jan. 31, 2007, of
all of the then outstanding principal amount of its 9.5% Senior
Unsecured Notes due 2015 pursuant to the tender offer for the
Notes that ACL initiated on Jan. 17, 2006.  The rating on the
Notes was withdrawn upon completion of their purchase.  ACL has
no other rated debt outstanding.


DAIMLERCHRYSLER AG: Sells 7.5% EADS Stake to Consortium
-------------------------------------------------------
DaimlerChrysler AG reached an agreement with a consortium of
private and public-sector investors that would reduce its
shareholding in the European Aeronautics Defence and Space Co.
to 15% from 22.5% as planned, while maintaining the balance of
voting rights between Germany and French controlling
shareholders.

The company placed its entire 22.5% equity interest in EADS into
a new company, where the consortium of investors will acquire a
one-third interest through a special-purpose entity.  This
represents a 7.5% stake in EADS.

DaimlerChrysler will receive around EUR1.5 billion in return for
granting the indirect shareholding in EADS.  The transaction
will be executed in the first quarter of 2007.

As compensation for the indirect ownership of EADS shares, the
investors will receive a preference dividend on the 7.5%
indirect investment of 175% of the normal EADS dividend from
DaimlerChrysler.

                     Dividend Payouts

The consortium of 15 investors could make more than EUR100
million in dividend-related bonus from DaimlerChrysler, Ivar
Simensen writes for Financial Times in Frankfurt.  

According to FT, if dividend payouts remain at current levels,
the investors will get further EUR120 million in additional
income over the next four years.

The company has the option of dissolving the new structure on
July 1, 2010, at the earliest.  If the structure is dissolved,
DaimlerChrysler has the right to either provide the investors
with EADS shares or pay cash compensation.

If EADS shares are provided, the German state, and the French
state and Lagardere through Sogeade, will be entitled to preempt
such EADS shares to retain the balance between the German and
the French side.

DaimlerChrysler will continue to control the voting rights of
the entire 22.5% package of EADS shares.  The structure of this
transaction underscores DaimlerChrysler's links with EADS as one
of its industrial partners and its main German shareholder.

This agreement has been coordinated with the German Government
as well as with the French State and Lagardere through Sogeade;
SEPI, EADS's Spanish shareholder, has been consulted with.  The
DaimlerChrysler Supervisory Board has also approved the
transaction.

The investor consortium comprises 15 investors, 7 from the
private sector and 8 from the public sector.  The private-sector
investors will acquire 60% of the total investment volume, while
the public-sector investors will acquire 40%.

The private-sector investors are:

   -- Allianz;

   -- Commerzbank;

   -- Credit Suisse;

   -- Deutsche Bank and Goldman Sachs, which will each acquire
      10% of the shares in the special purpose company; and

   -- Morgan Stanley and Sal. Oppenheim, which will each acquire
      5% of the shares.

The public-sector investors are:

   -- KfW banking group with 13% of the special-purpose company;

   -- HGV Hamburger Gesellschaft fuer Vermoegens- und
      Beteiligungsverwaltung with 10%;

   -- Hannoversche Beteiligungsgesellschaft with 5%;

   -- Bayerische Landesbodenkreditanstalt;

   -- Anstalt der Bayerischen Landesbank with 3.5%;
   
   -- LfA Foerderbank Bayern with 1.5%;

   -- Landesbank Baden-Wuerttemberg and the Landes-kreditbank
      Baden Wuerttemberg - Foerderbank with 2.5% each; and

   -- Bremer Investitions-Gesellschaft with 2%.

Commerzbank, Deutsche Bank, Goldman Sachs and KfW have played
the role of lead investors, representing the entire group of
investors in the structuring of the transaction.

The first 7.5% reduction in DaimlerChrysler's shareholding in
EADS that was announced in April 2006, was completed, and
resulted in a cash inflow for DaimlerChrysler of around EUR2
billion.

The impacts of both transactions on DaimlerChrysler's net income
will be stated together with the disclosure of the results for
the first quarter of 2007.

                   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.

                          Outlook

As reported on Oct. 30, 2006, DaimlerChrysler said it expects a
slight decrease in worldwide demand for automobiles in the
fourth quarter and thus slower market growth than in Q4 2005.
For full-year 2006, the company anticipates market growth of
around 3%. It expects unit sales in 2006 to be lower than in the
previous year (4.8 million units).  The company reported a
third-quarter operating loss of EUR1.16 billion.

On Sept. 15, 2006, DaimlerChrysler reduced the Group's operating
profit target for 2006 to US$6.3 billion.  Although the company
now has to assume that the profit contribution from EADS will be
US$0.3 billion lower than originally anticipated because of the
delayed delivery of the Airbus A380, DaimlerChrysler is
maintaining this earnings target due to very positive business
developments in the divisions Mercedes Car Group, Truck Group
and Financial Services.


ELECTRICIDAD DE CARACAS: Securities Agency Suspended Trading
------------------------------------------------------------
A Caracas Stock Exchange spokesperson told El Universal that the
Venezuelan National Securities Commission has again discontinued
the trading of Electricidad de Caracas' shares in the stock
exchange.

El Universal relates that the Venezuelan government signed on
Feb. 8 an accord to acquire 82.14% of Electricidad de Caracas
stocks from US firm AES Corp. for US$739 million.  Trading of
Electricidad de Caracas in the stock exchange was suspended for
24 hours.

According to El Universal, Electricidad de Caracas shares
increased 27.3%, or US$0.32 in the domestic market, on Feb. 12
before the suspension.  The amount surpassed the price agreed by
the Venezuelan government and AES for the latter's stake in
Electricidad de Caracas.

El Universal underscores that AES will receive US$0.27 per share
plus a dividend in cash for US$0.03 that Electricidad de Caracas
will pay on March 16.

The Venezuelan government will complete the nationalization of
Electricidad de Caracas by April 30, El Universal reports.

Electricidad de Caracas is the largest privately owned electric
utility company in Venezuela.  Electricidad de Caracas
transmits, distributes and markets electricity to the
metropolitan Caracas area.  In June 2000, Arlington, Virginia-
based AES Corporation acquired an 87% interest in Electricidad
de Caracas for US$1.6 billion in a public-tender offer.

                        *    *    *

As reported in the Troubled Company Reporter-Latin American on
Jan. 12, 2007, Fitch Ratings downgraded the senior unsecured
foreign and local currency debt ratings and Issuer Default
Ratings of C.A. La Electricidad de Caracas to 'B+'.  Fitch said
the rating outlook is negative.  The rating action followed
Venezuelan President Hugo Chavez's announcement of nationalizing
the country's power sector.


ELECTRICIDAD DE CARACAS: PDVSA To Appoint New Board for Firm
------------------------------------------------------------
Electricidad de Caracas said in a filing that Venezuelan state-
run oil firm Petroleos de Venezula SA will appoint a new board
for the former in a shareholder meeting on March 1.

Business News Americas relates that Petroleos de Venezuela
purchased 82% plus of Electricidad de Caracas' shares from AES
Corp. for US$739 million.

Power generator Enagen will manage Electricidad de Caracas
assets, BNamericas notes. Petroleos de Venezuela owns 40% of
Enagen. The Venezuelan energy and oil ministry also holds 40% of
Enagen.

State power firm Cadafe will play a marginal role in
Electricidad de Caracas' nationalization. With 3.5 million
clients, Cadafe is busy restructuring and won't have time to
manage Electricidad de Caracas, a source from the ministry told
BNamericas.

               About Petroleos de Venezuela

Petroleos de Venezuela SA -- http://www.pdv.com/-- is  
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad. The company has a commercial office in China.

               About Electricidad de Caracas

Electricidad de Caracas is the largest privately owned electric
utility company in Venezuela. Electricidad de Caracas transmits,
distributes and markets electricity to the metropolitan Caracas
area. In June 2000, Arlington, Virginia-based AES Corporation
acquired an 87% interest in Electricidad de Caracas for US$1.6
billion in a public-tender offer.

                        *    *    *

As reported in the Troubled Company Reporter-Latin American on
Jan. 12, 2007, Fitch Ratings downgraded the senior unsecured
foreign and local currency debt ratings and Issuer Default
Ratings of C.A. La Electricidad de Caracas to 'B+'. Fitch said
the rating outlook is negative. The rating action followed
Venezuelan President Hugo Chavez's announcement of nationalizing
the country's power sector.


LEAR CORP: Carl Icahn Deal Prompts S&P's Negative CreditWatch
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit
rating on Southfield, Michigan-based Lear Corp. to 'B' from 'B+'
and placed its ratings on CreditWatch with negative implications
following Lear's that it had agreed to be acquired by Carl
Icahn-controlled American Real Estate Partners, L.P.  AREP has
offered to purchase Lear for US$36 per share in cash, or more
than US$2 billion.  AREP currently owns about 20% of Lear.

"The downgrade reflects our expectation that the transaction
will result in an increase in debt at Lear," said Standard &
Poor's credit analyst Robert Schulz.

The CreditWatch resolution will focus on the post-transaction
capital structure and any shifts in the company's business
strategies, whether from the Icahn transaction or as a result of
any other bids that may arise.  The 'B+' rating on Lear's senior
secured bank debt is affirmed and is not on CreditWatch, since
we expect that change in control language in the bank agreement
means that the bank facility will be replaced at closing.  While
some of the senior unsecured debt issues also contain change in
control language, the offer by AREP does not trigger change in
control provisions in those bonds.

Lear, an automotive supplier, has total debt of about
US$3.7 billion, including the present value of operating leases
and underfunded employee benefit liabilities.

Although Lear has strong market positions, good growth prospects
outside of North America, and fair financial flexibility, its
operating performance has been challenged by severe industry
pressures that caused credit protection measures to weaken in
recent years.  Lear reported improved results during 2006,
following very poor performance during 2005 when full-year
EBITDA fell by 35%.  Core operating earnings, as defined by Lear
to exclude restructuring costs and special charges, increased by
22% in 2006, but still remain relatively low.  Cash from
operating activities, before the net change in accounts
receivable sold but after capital spending, was US$116 million
in 2006, compared to a negative US$419 million in 2005.  Lear
has agreed to sell its U.S. interior components operations to a
joint venture controlled by Wilbur Ross, following a similar
transaction for its European business.

Southfield, Mich.-based Lear Corp. (NYSE: LEA) --
http://www.lear.com/-- supplies 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,
The Netherlands, Philippines, Poland, Portugal, Romania, Russia,
Singapore, Slovakia, South Africa, South Korea, Spain, Sweden,
Thailand, Tunisia, Turkey and Venezuela.


PETROLEOS DE VENEZUELA: To Appoint New EDC Board
------------------------------------------------
Venezuelan state-run oil firm Petroleos de Venezula SA will hold
a shareholder meeting on March 1 to appoint a new board for
Electricidad de Caracas, the latter said in a filing.

Business News Americas relates that Petroleos de Venezuela
purchased 82% plus of Electricidad de Caracas' shares from AES
Corp. for US$739 million.

Power generator Enagen will manage Electricidad de Caracas
assets, BNamericas notes. Petroleos de Venezuela owns 40% of
Enagen. The Venezuelan energy and oil ministry also holds 40% of
Enagen.

State power firm Cadafe will play a marginal role in
Electricidad de Caracas' nationalization. With 3.5 million
clients, Cadafe is busy restructuring and won't have time to
manage Electricidad de Caracas, a source from the ministry told
BNamericas.

              About Electricidad de Caracas

Electricidad de Caracas is the largest privately owned electric
utility company in Venezuela. Electricidad de Caracas transmits,
distributes and markets electricity to the metropolitan Caracas
area. In June 2000, Arlington, Virginia-based AES Corporation
acquired an 87% interest in Electricidad de Caracas for US$1.6
billion in a public-tender offer.

               About Petroleos de Venezuela

Petroleos de Venezuela SA -- http://www.pdv.com/-- is  
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad. The company has a commercial office in China.

                        *    *    *

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


* VENEZUELA: Buying Verizon's 28.51% Stake at Cantv for US$572MM
----------------------------------------------------------------
The Venezuelan government will pay US$572 million to acquire
Verizon Communication Inc.'s 28.51% stake at CA Nacional
Telefonos de Venezuela aka Cantv.  The purchase is in accordance
with Venezuela's previously announced nationalization of the
country's biggest network.

A memorandum of understanding for the purchase of 224 million
shares at US$17.85 apiece was signed Monday by Verizon Vice-
President John Diercksen, Venezuelan Minister of
Telecommunications Jesse Chacon, and Vice-President Jorge
Rodriguez.  Once the sale is completed, the state's holding
would increase from 6.5% to 35%.  

Other shareholders of Cantv are: Spain's Telefonica with 6.6%,
Venezuelan and foreign public stockholders with 49.0%, and
employees and retirees, who hold a 9.9% stake.

Previously, Verizon was in purchase talks with Telefonos de
Mexico but the sale was cancelled because of the nationalization
declared by Venezuelan President Hugo Chavez.

The Venezuelan leader accused Cantv of being in league with
"coup plotters" and the United States government, The Times
reports.

                         About Cantv

Compania Anonima Nacional Telefonos de Venezuela, Cantv, offers
telecommunications services.  The company provides domestic and
international long distance telephone services throughout
Venezuela, wireless telephone services, and Internet access, and
publishes telephone directories.

                About Verizon Communications

Verizon Communications Inc. provides communications services
through four segments: Domestic Telecom, Domestic Wireless,
Information Services and International.  The domestic wireline
telecommunications business provides local telephone services,
including broadband in 28 states and Washington, D.C.  The
domestic wireless business, operating as Verizon Wireless,
provides wireless voice and data products and services across
the United States.  Information Services operates directory
publishing businesses and provides electronic commerce services.
Verizon's International segment includes wireline and wireless
communications operations and investments in the Americas and
Europe.  In connection with the closing of the merger with MCI,
Inc., which occurred on Jan. 6, 2006, Verizon owns and operates
end-to-end global Internet protocol networks, which
includes over 270,000 domestic and 360,000 international route
miles of fiber optic cable and provides access to over 140
countries worldwide.

                        *    *    *

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.


* IDB Approves US$11MM Sr. Secured Loans for Surinamese Company
---------------------------------------------------------------
The Inter-American Development Bank and the Inter-American
Investment Corporation announced the approval of senior secured
loans totaling US$11 million for the Surinamese holding company,
C. Kersten & Co. N.V.

Kersten is the oldest trading company in the Western hemisphere,
founded in 1768.  It now represents one of the largest private
sector groups in Suriname, which includes 12 operating
companies, with a total of 650 employees.  The main Kersten
subsidiaries are key players in growth sectors of the economy
such as mining, infrastructure and tourism.

The IDB group's loans are part of a larger financing package
totaling approximately US$25 million that has been structured in
partnership with Sagicor Merchant Limited of Trinidad, and local
banks including De Surinaamsche Bank, (the largest commercial
bank in Suriname), Finabank and the insurance company Assuria.

"CKC is undergoing a significant restructuring and expansion
plan under new management and the project team has been
impressed by the quality and vision of the new management team,"
said Peter Stevenson, the project team co-leader at the IDB.

The total package includes funds for refinancing, capital
expenditures and working capital, with tenors of up to seven
years.

Sotero Arizu, the project team co-leader at the IIC, added, "The
IDB group's long-term facilities will greatly enhance the
ability of the Kersten Group to achieve its long-term expansion
objectives in a sustainable manner.  We are very pleased with
the excellent cooperation with local and regional financial
institutions in putting this financing package together."

This is the IDB group's first private sector lending operation
in Suriname.  The loan is one of the first granted after the
expansion of the IDB's lending program to include private
companies in any economic sector.  This expansion was approved
by the IDB Board of Governors in April 2006 and became effective
in August.

The Inter-American Investment Corporation -- http://www.iic.in/
-- is a multilateral financial institution that is a member of
the Inter-American Development Bank Group.  It provides
financing (in the form of equity investments, loans, guarantees,
and other instruments) and advisory services to private
enterprises in Latin America and the Caribbean.  The IIC's
mission is to promote the economic development of its regional
member countries by encouraging the establishment, expansion,
and modernization of private enterprises, particularly those
that are small and medium in size.


* NASDAQ STOCK: Fails in US$5.3BB Bid for London Stock Exchange
---------------------------------------------------------------
Nasdaq Stock Market Inc. failed in its bid to takeover the
London Stock Exchange PLC.  LSE shareholders rejected Nasdaq's
US$5.3 billion bid on Feb. 10, 2007, reports say.

Nasdaq said that only 0.41% of LSE's ordinary shares were
tendered and accepted.  Its existing 28.75% share of LSE's stock
plus the newly accepted shares fell short of the 50% it needed
to begin taking control of the London exchange.

Nasdaq Chief Executive Officer Bob Greifeld, in a statement to
the media, said, "Nasdaq will continue to pursue other
opportunities to build on its existing position as the world's
largest electronic equities exchange and we look forward to
maintaining our strong track record of creating shareholder
value through our industry-leading business model and strategy."

According to various news articles, the LSE is in talks with the
Tokyo Stock Exchange to explore a strategic alliance.

LSE previously indicated that Nasdaq's US$24.42 offer is too
low.  Nasdaq, on the other hand, refused to up the ante because
it believes that LSE's stock is overvalued.

The Nasdaq Stock Market Inc. -- http://www.nasdaq.com/-- is the  
largest electronic equity securities market in the United States
with approximately 3,200 companies.

                        *     *     *

In December 2006, Standard & Poor's Rating Services lowered its
long-term counterparty credit rating on The Nasdaq Stock Market
Inc. to 'BB' from 'BB+'.  S&P affirmed the 'BB+' rating on
Nasdaq's existing bank loan facility, which financed the initial
29% stake in the London Stock Exchange, and revised the Recovery
Rating to '1' from '2'.  The ratings were removed from
CreditWatch Negative where they were placed on Nov. 20, 2006.  
S&P said the outlook is stable.

At the same time, Standard & Poor's assigned its 'BB+' bank loan
rating to US$750 million senior secured Term Loan B, US$2
billion senior secured Term Loan C, and US$75 million revolver
issued by Nasdaq, as well as the US$500 million senior secured
Term Loan C issued by Nightingale Acquisition Ltd., a U.K.-based
subsidiary of Nasdaq.

The rating agency assigned a Recovery Rating of '1', which
indicates full recovery of principal in the event of default.

In addition, Standard & Poor's assigned its 'B+' rating to
US$1.75 billion senior unsecured bridge loan issued by Nasdaq
and NAL.

Moody's Investors Service assigned in April 2006 ratings to
three bank facilities of The Nasdaq Stock Market Inc.: a
US$750 million Senior Secured Term Loan B, a US$1.1 billion
Secured Term Loan C, and a US$75 million Senior Secured
Revolving Credit Facility.  Moody's said each facility is rated
Ba3 with a negative outlook.


* NASDAQ STOCK: Moody's Confirms Ba3 Rating on Good Performance
---------------------------------------------------------------
Moody's Investors Service confirmed the Ba3 ratings of The
NASDAQ Stock Market, Inc., following NASDAQ's Feb. 10,
announcement that its Final Offer to acquire all of the common
shares of the London Stock Exchange Group PLC has lapsed.
NASDAQ's rating outlook is stable.  This concludes Moody's
review that commenced on Nov. 20, 2006.

The stable outlook on the Ba3 ratings reflects the operational
improvements achieved by NASDAQ in the last several years,
including the strong performance in 2006.  Though event risk
associated with the LSE stake continues to be present, over the
past three years NASDAQ has reengineered its businesses and
reclaimed market share in trading of NASDAQ-listed securities.
As a result, the firm is generating improved cash flow, which
the firm can apply to debt reduction if it chooses.  However,
there remains uncertainty about how the firm will deploy its
improving free cash flow, as the global exchange industry
consolidates.

"The major unknown regarding future debt levels at NASDAQ is its
role in the ongoing domestic and global consolidation of trading
platforms," said Moody's Senior Vice President Peter Nerby. "The
company is an aggressive consolidator and we expect this to
continue."

The potential for upward movement in NASDAQ's ratings is
limited, reflecting the possibility that NASDAQ may initiate
another debt-financed offer to acquire the LSE in the future.
This event risk limits the upward potential in NASDAQ's ratings,
even if operating performance and leverage measures improve
during 2007.

Moody's regards NASDAQ's 28.75% stake in the LSE as a long-term
strategic investment, which Moody's believes the company intends
to hold. However, in the event that the position was sold,
proceeds would likely be used to reduce indebtedness, which
would sharply improve NASDAQ's credit metrics, including
leverage and coverage measures. However, NASDAQ's current
Debt/EBITDA ratio of 4.9x (based on 3Q06 annualized EBITDA) is
high for a Ba3-rated company.

These ratings of NASDAQ were confirmed at Ba3, with a stable
outlook:

   -- Corporate Family Rating at Ba3

   -- US$750-million, six-year Senior Term Loan B Facility at
      Ba3

   -- US$75-million, five-year Revolving Credit Facility at Ba3
   -- US$434.8-million six-year Term Loan C Facility at Ba3

NASDAQ operates a leading U.S. stock exchange and reported
earnings of US$30.2 million for the third-quarter of 2006.


                         ***********


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

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