TCRLA_Public/070307.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

          Wednesday, March 7, 2007, Vol. 8, Issue 47

                          Headlines

A R G E N T I N A

AES CORP: Appoints Andres Gluski As Executive Vice President
BANCO FRANCES: To Redeem Class 15 Notes on March 15
EL PASO: Fitch Assigns BB+ Ratings
INVERSORA ELECTRICA: Revises Reorganization Proposal

* ARGENTINA: Moody's Withdraws Rating Over Offering Postponement

B E L I Z E

BELIZE MORTGAGE: Moody's Ups Class B Bonds' Rating to Caa1

B E R M U D A

AMEREX PETROLEUM: Proofs of Claim Filing Is Until March 23
ARCH CAPITAL: Authorizes Repurchase of US$1 Bil. Common Shares
FOSTER WHEELER: Subsidiary Gets Contract for Refinery Expansion
KEPLER HOLDINGS: A.M. Best Puts BB- Rating on US$200MM Term Loan
NORWEGIAN OFFSHORE: Proofs of Claim Filing Is Until March 13

RIVID INSURANCE: Proofs of Claim Filing Is Until March 14
SHIP FINANCE: Earns US$180.8 Million for Full Year 2006

B O L I V I A

* BOLIVIA: Gov't Pares Economic Growth Forecast, VP Says

B R A Z I L

ALLIANCE ONE: Selling US$150 Mil. of 8.5% Senior Unsecured Notes
AUTOCAM CORP: Financial Restructuring Cues Moody's B3 Rating
BANCO DO BRASIL: Unit Earns BRL169 Million in 2006
BANCO INDUSTRIAL: Asks for Regulator's Approval to Launch IPO
CHEMTURA CORP: Posts US$144.3-Mln Net Loss in 2006 Fourth Qtr.

COMPANHIA ENERGETICA: Reports BRL1.72 Billion Net Profit in 2006
DIRECTV GROUP: Brazilian Unit to Operate Under Sky Brand
DURA AUTOMOTIVE: Wants Exclusive Plan-Filing Period Extended
SANYO ELECTRIC: SESC Won't File Charges for Inaccurate Reports

C A Y M A N   I S L A N D S

AL-ABRAR INVESTMENTS: Sets Last Shareholders Meeting for Mar. 21
AL-BAYAN INVESTMENTS: Sets Last Shareholders Meeting for Mar. 21
AL-BUNYAN INVESTMENTS: Final Shareholders Meeting Is on Mar. 21
AL-FIRDAUS INVESTMENTS: Last Shareholders Meeting Is on Mar. 21
AL-MANAR INVESTMENTS: Final Shareholders Meeting Is on Mar. 21

AL-MEEZAN INVESTMENTS: Final Shareholders Meeting Is on Mar. 21
EMI GROUP: Junks Warner's US$4.1 Billion Takeover Bid
MAGNETAR CAPITAL: Proofs of Claim Filing Ends on March 22
MERRILL LYNCH: Proofs of Claim Filing Ends on March 22
MERRILL LYNCH MEXICAN: Proofs of Claim Filing Ends on March 22

MERRILL LYNCH (PESO): Proofs of Claim Filing Ends on March 22
RACE POINT III: Proofs of Claim Filing Ends on March 22
TORUS (IG) II-C: Proofs of Claim Filing Ends on March 22
WOODALLEN GLOBAL: Sets Last Shareholders Meeting for March 21
WOODALLEN GLOBAL FUND: Final Shareholders Meeting Is on Mar. 21

WOODALLEN REVOLUTION: Sets Last Shareholders Meeting for Mar. 21
WOODALLEN REVOLUTION FUND: Last Shareholders Meeting on Mar. 21

C H I L E

AES GENER: Reports CLP70.3B Consolidated Net Profits for 2006
PHELPS DODGE: Freeport Offers US$6 Billion Notes to Fund Buy
PHELPS DODGE: Moody's Affirms B1 Rating on Cyprus Amax Notes

C O L O M B I A

BANCOLOMBIA: Wants to Reduce Efficiency Ratio to 55% This Year
BBVA COLOMBIA: Earns COP29.5 Billion in January 2007
NOVELL INC: Has Net Revenues of US$230 Mil. in 2007 First Qtr.

* COLOMBIA: S&P Lifts Foreign Currency Credit Rating to BB+

D O M I N I C A N   R E P U B L I C

ALCATEL-LUCENT: European Group Committee Slated for March 16

G U A T E M A L A

BRITISH AIRWAYS: Opposes US-EU Open Skies Deal
BRITISH AIRWAYS: Reports 4.2% Decline in February 2007 Traffic

* GUATEMALA: S&P Says Banking Issues Has No Effect on Ratings

J A M A I C A

AIR JAMAICA: Launches Special Flights for ICC Cricket World
AIR JAMAICA: President Assures Airline's Survival
DYOLL INSURANCE: Coffee Farmers Will Wait Before Getting Paid

M E X I C O

ADVANCED MARKETING: Wants to Pay Worker Sale-Related Incentives
ATSI COMMS: To Redeem Series H Preferred Stock on April 26
BEARINGPOINT INC: Reports Inability to File 2006 Form 10-K
BEARINGPOINT INC: Secures Limited Waiver from Lenders
BEARINGPOINT INC: Discloses Preliminary 2006 Financial Results

BUCKEYE TECH: Plans to Redeem US$5 Mil. of 9-1/4% Senior Notes
CELLSTAR CORPORATION: Inks Settlement Pact with Fine Day
CINRAM INT'L: Earns US$161.8 Million in 2006 Fourth Quarter
TANK SPORTS: Completes Merger Deal with Redcat Motors
MCDERMOTT INT'L: Earns US$141 Million for 2006 Fourth Quarter

NORTEL NETWORKS: DBRS Says Restatements Won't Affect Ratings

P A N A M A

CHIQUITA BRANDS: Unit Rejects 3K Boxes of Coosemupar Bananas

P E R U

IRON MOUNTAIN: Launches CDN$175-Million Debt Offering

P U E R T O   R I C O

DORAL FINANCIAL: Eyes US$117 Million Net Loss for 2006
INTERLINE BRANDS: Names William Sanford as President
MAIDENFORM BRANDS: Earns US$3.2 Million in Quarter Ended Dec. 30
QUANTUM CORP: Posts US$9.5 Mln Net Loss for Third Quarter 2006
TRAILER BRIDGE: Reports Record Quarterly Financial Results

T R I N I D A D   &   T O B A G O

CENVEO CORP: Commences Tender Offer for 8-3/8% Senior Sub. Notes

U R U G U A Y

ROYAL & SUN: Has 2,988,373,423 Total Voting Rights & Capital

V E N E Z U E L A

DAIMLERCHRYSLER AG: Blackstone Is Lead Contender for U.S. Unit
DAIMLERCHRYSLER: Plans to Cut 1,000 Salaried Jobs by June 2007
DAIMLERCHRYSLER AG: Two Main Unions Spar Over Chrysler's Future
PETROLEOS DE VENEZUELA: Takes Over Exxon's Orinoco Operations

* VENEZUELA: Cheap Oil Deal with London Sparks Criticisms
* VENEZUELA: Will Create Banco del Sur with Argentina

* President George Bush Approves Latin American Initiatives
* Large Companies with Insolvent Balance Sheets


                          - - - - -


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


AES CORP: Appoints Andres Gluski As Executive Vice President
------------------------------------------------------------
The AES Corp. appointed Andres Gluski as Executive Vice
President and Chief Operating Officer, a move that will enable
the company to maintain its focus on operational excellence as
it continues to pursue new growth opportunities.

Dr. Gluski will oversee AES Corp.'s generation and distribution
businesses in its four geographic regions as well as human
resources, safety and environment, information technology,
engineering and construction, insurance and strategic sourcing.
He continues to report to AES Corp. President and Chief
Executive Officer Paul Hanrahan.

Dr. Gluski, who joined AES Corp. in 2000, most recently was an
AES Corp.'s Executive Vice President and President of AES Corp.
Latin America.  Previously, he held business leadership
positions in Chile and Venezuela.  Prior to AES Corp., Dr.
Gluski worked in executive positions in multilateral and
financial institutions and in private utilities.  He earned a
PhD in Economics from the University of Virginia, an MA in
Economics from the University of Virginia and a BA from Wake
Forest University, where he graduated Phi Beta Kappa.

"As we continue to grow our company into new areas, it is
critical that we maintain our focus on our existing operating
businesses," Mr. Hanrahan said.  "Andres has played a key role
in AES Corp.'s overall success and in Latin America in
particular.  He led our growth initiatives in key markets,
including Chile and Panama, and completed the restructuring and
refinancing of our Latin American businesses.  Andres has the
broad experience needed to help us achieve the company's long-
term goals in the new position of Chief Operating Officer."

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.


BANCO FRANCES: To Redeem Class 15 Notes on March 15
---------------------------------------------------
The undersigned, representatives of BBVA Banco Frances S.A.
notified the Buenos Aires Stock Exchange with respect to a
decision taken by the Board of Directors on Feb. 9, 2007.  The
Bank decided to make a full and early settlement of the Class 15
Notes issued by the Bank expiring in 2008 for a total amount of
US$121,504,050 based on the terms and conditions of the Modified
Indenture amended wording dated March 1, 1998, entered into by
the Bank, as issuer, registration agent, payment and transfer
agent and The Bank of New York, as trustee and registration,
payment and transfer agent; and the terms and conditions of the
price supplement of Class 15 Notes.

Accordingly, it is the Bank's intention to advise the BCBA that
it will settle early and redeem all of Class 15 Notes on
March 15, 2007.  Such redemption will be made at a price
equivalent to 100% of the amount of Class 15 Notes in
circulation plus interest accrued up to (but excluding) the
Redemption Date.  Class 15 Notes will stop accruing interest
after the aforementioned date.

Because the Bank, pursuant to the issuance terms of Class 15
Notes, has made principal payments for a total amount of
US$40,501,350, the total amount of principal in circulation
pending repayment on the Redemption Date will be US$81,002,700
and the interest accrued as of that date shall amount to
US$2,171,884.

Payments of principal, interest and any additional amount that
might be applicable, will be made on the Redemption Date by:

          The Trustee
          101 Barclay Street 4E,
          New York, NY 10286.

Such payments will be made by checks issued to the order of each
holder in whose name the respective Definitive Securities were
issued, against presentation and delivery to the Trustee of the
aforesaid Definitive Securities.  In the case of holders of a
total principal amount of Class 15 Notes equal to or higher than
US$1,000,000, the Trustee will pay to those holders, always
provided that it has received the written requests that were
sent to it for such purpose at least three business days prior
to the Redemption Date, by transfer of immediately available
funds from an account of the Trustee opened in a bank of the
United States of America to accounts opened in United States of
America Banks that such holders may have indicated in the
aforementioned requests.  In these cases, transfers shall be
made against presentation and delivery to the Trustee, of the
Definitive Securities at least three business days prior to the
Redemption Date.  No payment, whether by check or by transfer,
shall be made, unless the Definitive Securities are presented
and delivered to the Trustee for payment.

In case of loss, theft or destruction of the Definitive
Securities, the respective holder shall, in order to receive the
payments due, contact the Bank, to comply with the procedure
applicable in such cases and with the necessary indemnifications
in the Bank's favor.

In turn, the Bank will deposit with the Trustee at least one
business day before the Redemption Date the sum of
US$83,174,584.89 equivalent to the total amount of principal of
the Class 15 Notes in circulation plus accrued interest.

The terms in capitals used and not defined herein, have the
meaning allocated to them in the Issuance Documents.  For
further information or to coordinate payments on the Redemption
Date, the holders may contact:

          The Bank of New York
          101 Barclay Street 4 East
          New York, NY 10286

                  -- and --

          Corporate Trust - Global Finance Americas
          Attn: Mr. Hernan Lopez
          Tel: (1 - 212) 815-5206.

Headquartered in Buenos Aires, Argentina, BBVA Banco Frances SA
-- http://www.bancofrances.com-- conducts capital markets and
securities operations directly, in the over-the-counter market,
and through a subsidiary, in the Buenos Aires Stock Exchange.
The bank operates 227 branches, 512 automated teller machines
(ATMs), a telephone banking service and an Internet banking
service, called Frances Net.  Banco Frances has a market share
in the mutual fund portfolio management industry in Argentina
through Frances Administradora de Inversiones SA, and in the
pension fund industry through Consolidar AFJP SA.  Banco Frances
is a subsidiary of Banco Bilbao Vizcaya Argentaria.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
Oct. 11, 2006, Fitch Ratings has upgraded BBVA Banco Frances'
Individual Rating to 'D' from 'E'.


EL PASO: Fitch Assigns BB+ Ratings
----------------------------------
Fitch Ratings has initiated rating coverage on El Paso Corp. as:

     -- Issuer Default Rating (IDR) 'BB+'; and
     -- Senior Unsecured 'BB+'.

Fitch has also assigned new rating to El Paso's core pipeline
subsidiaries.  The Rating Outlook for all ratings is Stable.

The parent company ratings recognize the significant improvement
in credit profile in recent years including the reduction in
business risk, the benefits of the company's portfolio of
pipeline assets and the ongoing improvement in the upstream
operations.  Key offsetting factors include the significant
leverage that remains on the balance sheet and lingering issues
with the upstream operations.

Since the merchant energy collapse of 2002, El Paso has made
significant progress in reducing debt and other legacy issues.
With net proceeds of US$3.3 billion from the sale of the ANR
Pipeline Company and 50% interest in the Great Lakes Gas
Transmission Ltd. Partnership being used for debt reduction,
Fitch expects year-end or YE 2007 consolidated balance sheet
debt to approach US$12 billion versus the peak of nearly US$23
billion during 2003.  As part of the current phase of debt
reduction, El Paso has tendered for a minimum of US$2 billion in
bonds in recent days and announced the redemption of US$400
million of debt at SNG.

Due to the reduction in debt, credit metrics will improve
significantly in 2007 as debt to funds from operations or FFO
will likely be less than 5.0x at year-end 2007 versus more than
20.0x in 2005.  FFO interest coverage will likely improve to
3.3x for 2007 versus under 2.0x in 2005.  Management has
publicly committed to de-leveraging with the expectation that
future growth will not impair the improvements made to the
balance sheet.  Of note, as evidenced by the ANR sale, debt
reduction has primarily come from asset sale proceeds although
the company has issued a fair amount of equity during this
period of distress.

The improvement in El Paso's credit profile also reflects the
benefits of significantly reducing the company's business risk.
Most recently in 2006, the company exited the domestic power
business, settled its outstanding shareholder litigation and
significantly downsized its trading business.  The company also
continues to downsize its international power operations with
the remaining Asian and Central American assets to be sold by
mid-2007 and the Brazilian assets expected to be divested over
the next few quarters.  El Paso has also significantly
simplified its capital structure.

While the balance sheet improvement at El Paso is significant,
including a material reduction in external debt at the parent
company level, consolidated debt and the parent company debt
will remain sizable at YE 2007.  Service of the parent company
debt will remain primarily reliant upon the upstream
distributions and cash management program with its subsidiary
companies.  Additionally, consolidated debt to FFO, while
improved significantly, remains high and subject to volatility
given that nearly half of EBITDA will come from the upstream
operations that exhibit significantly higher business risk.

Factors Fitch would consider before taking positive rating
action include:

     -- improved upstream operating results at EEPC,

     -- expectations that credit measures will continue to
        strengthen, and

     -- in the case of El Paso's unsecured debt, the release of
        collateral under its bank revolver and letter of credit
        facility.

Hence, the unsecured creditors would no longer be in a
subordinated position.  Current ratings fully recognize the
anticipated de-leveraging effect of the ANR proceeds in 2007.
The secured credit facility rating of 'BBB-' at the parent
company recognizes the strong collateral package including
certain inter-company receivables and the company's interest in
CIG, EPNG and TGP.

El Paso's fleet of natural gas pipelines are generally
characterized by having moderate-to-low-risk operations
providing El Paso a stable financial base.  Ratings assigned to
the pipeline subsidiaries reflect centralized treasury and
financing practices with the parent company including money
pools.  El Paso's pipelines have typically been material
providers to the money pool resulting in substantial levels of
inter-company receivables and payables.  Furthermore, El Paso
management has substantial control over their operations and
finances, including distributions.

Given the scale and scope of the asset base, the pipeline
portfolio has access to most major North American production
basins and markets as well as most existing and planned import
facilities for liquefied natural gas or LNG.  With current
pipeline transactions valued at greater than 10.0x EBITDA
multiples, the pipelines also exhibit asset valuations well in
excess of associated debt, even assuming distressed market
conditions.  Despite the weakened financial situation of El Paso
in recent years, the company has been able to direct growth
capital towards the pipeline segment including an estimated
US$610 million in 2007.  Maintenance capital across the
pipelines is reasonable at an estimated US$400 million in 2007.
Recognizing the financial and structural ties between El Paso
and its pipeline subsidiaries and the strong credit quality of
the individual subsidiaries, the IDR and senior unsecured rating
of each rated pipeline entity is one-notch higher than the
parent company at 'BBB-'.

Since the significant negative revision to the company's oil and
natural gas reserves in early 2004, El Paso has undertaken a
restructuring of its upstream operations.  The company reported
100% reserve replacement in 2006.  More than 90% of El Paso's
reserves are located in the United States under EEPC with a mix
of longer-lived onshore (65% of total) and short-lived offshore
and Gulf Coast properties (26%).  While somewhat lower
production in 2006 positively influenced the reserve life
metric, El Paso's total proven reserve base to prior year
production or R/P ratio improved to 9.1 years at YE 2006.
Proven developed reserves also totaled 73% at year-end including
11% proven developed non-producing.

The company is also benefiting from the roll off of its legacy
hedges in 2006 and the cash flow from its new hedging program.
The company has locked in approximately 223 Bcf of natural gas
hedges with an average floor of US$7.69/mcf.  This represents
approximately 89% of the company's forecasted domestic natural
gas production in 2007.  The additional benefit of rolling off
the legacy hedges has been the return of a significant portion
of the cash margin requirements.  During the first nine months
of 2006, US$896 million was returned to El Paso versus a net
cash outflow of US$679 million in 2005.  The new costless
collars require no margin.

With nearly US$1.2 billion invested in the finding and
development of reserves during 2006, replacement costs were very
high for the year at US$4.17 per thousand cubic feet equivalent
or mcfe and US$3.51/mcfe excluding price-related reserve
revisions.  Costs are expected to remain high with the initial
forecast for 2007 to be US$4.00/mcfe as upstream investment is
targeted to rise to nearly US$1.7 billion in 2007.  Investments
in 2007 include the US$255 million acquisition in south Texas in
January and significant investment in Brazil where production
will lag the initial cash outflows.  With all-in costs also
including lifting costs, production related taxes, general and
administrative, etc., the upstream segment will generate limited
free cash flow from the segment despite the improved hedge
position.  Production in 2007 is forecast to be 800 mcfe to 860
mcfe, including the company's 43.1% proportionate share of Four
Star Oil & Gas Company, representing growth of between 0% and 8%
over 2006.

As with the pipeline companies, the 'BB' IDR and senior
unsecured ratings of EEPC reflect its affiliate relationship
with El Paso as management has substantial control over its
operations and finances as well.  EEPC also participates in EP's
cash management plan.  With the increasing investment in the
upstream operations, EEPC has been a receiver of cash in recent
years under the plan.  In August 2005, EEPC entered into a five-
year US$500 million secured credit facility.  The 'BB+' rating
of the credit facility reflects the collateral package, which
includes certain of the company's upstream assets.  The
collateral is also available to be used for the company's
hedging agreements.

El Paso also expects to create a master limited partnership or
MLP in 2007 with initial assets expected to total US$500
million.  Based on current transaction multiples, the initial
dropdowns would likely represent approximately US$50 million of
annual EBITDA.  The ultimate capitalization, growth and asset
make-up of the MLP are uncertain.  Possible assets include the
company's LNG assets which are held under the SNG subsidiary and
El Paso's natural gas storage facilities.

  El Paso Corp.

   -- Issuer Default Rating (IDR) 'BB+';

   -- US$500 million secured letter of credit facility (2011)
      'BBB-';

   -- US$1.25 billion senior secured revolving credit facility
      (2009) 'BBB-';

   -- US$500 million senior unsecured credit facility (2011)
      'BB+';

   -- Senior unsecured notes and debentures 'BB+'; and

   -- Perpetual preferred stock 'BB-'.

  El Paso Energy Capital Trust I

   -- Trust convertible preferred securities 'BB-'.

  Colorado Interstate Gas Co.

   -- Issuer Default Rating 'BBB-'; and
   -- Senior unsecured debt 'BBB-'.

  El Paso Natural Gas Company

   -- Issuer Default Rating (IDR) 'BBB-'; and
   -- Senior unsecured debt 'BBB-'.

  Southern Natural Gas Company
   -- Issuer Default Rating 'BBB-'; and
   -- Senior unsecured debt 'BBB-'.

  Tennessee Gas Pipeline Company
   -- Issuer Default Rating 'BBB-'; and
   -- Senior unsecured debt 'BBB-'.

  El Paso Exploration & Production Company (EEPC)
   -- Issuer Default Rating 'BB';
   -- Senior secured revolving credit facility(2011)'BB+'; and
   -- Senior unsecured debt 'BB'.

Headquartered in Houston, Texas, El Paso Corp. (NYSE:EP)
-- http://www.elpaso.com/-- provides natural gas and related
energy products in a safe, efficient, and dependable manner.
The company owns North America's largest natural gas pipeline
system and one of North America's largest independent natural
gas producers.  The company has operations in Argentina.


INVERSORA ELECTRICA: Revises Reorganization Proposal
----------------------------------------------------
Inversora Electrica de Buenos Aires SA has made changes to the
reorganization proposal, which will be presented to the
Bondholders and Beneficiaries of the firm's Debt Notes at a
Bondholders' Meeting.

The bondholders, in compliance with the Argentine Bankruptcy
Law, will vote on the proposal for a composition with creditors
filed by Inversora Electrica in a meeting on March 29, 2007, at
12:00 p.m., Buenos Aires time, at:

          Hotel Emperador
          Avenida Del Libertador 420
          Buenos Aires, Argentina

Another meeting will then be held at 11:00 a.m., New York time,
at:

          Baker & McKenzie LLP
          1114 Avenue of the Americas, 4th floor
          New York, USA

These changes were made to the reorganization plan:

          -- the issuance amount of the New Debt Notes in the
             proposal has been raised to US$90,000,000;

          -- issuance of 13,380,536 new book-entry common shares
             Class C of US$1 each, representing 43.33% of the
             capital stock and voting rights of Inversora
             Electrica.  The company shall request the listing
             of the New Shares on the Buenos Aires Stock
             Exchange at their market value; and

          -- stock premium value of the New Shares shall be
             US$2.1558 per share, and the total stock premium
             amount shall be US$28,845,330.

The complete text of the Reorganization Plan, as amended, is
available at http://www.bakernet.com/ieba

Judge Jorge Sicoli of the National Court of Original
Jurisdiction in Commercial Matters No. 3 handles Inversora
Electrica's case, with the assistance of Clerk's Office No. 5,
which can be reached at:

          Maria Virginia Villaroel
          Avenida Callao 635, 6th Floor
          Buenos Aires, Argentina


* ARGENTINA: Moody's Withdraws Rating Over Offering Postponement
----------------------------------------------------------------
Moody's has withdrawn the rating assigned last week to the
planned offering of up to US$450 million senior unsecured notes
by the Province of Buenos Aires.  The offering has been
postponed and a new offering date has not been set.




===========
B E L I Z E
===========


BELIZE MORTGAGE: Moody's Ups Class B Bonds' Rating to Caa1
----------------------------------------------------------
Moody's Investors Service upgraded the rating of the Class B
bonds to Caa1 from Caa3.  The rating of Class A bonds was
maintained at Ba1.

This upgrade follows the upgrade of the government of Belize's
foreign and local currency bond ratings to Caa1 from Caa3.

The rating of Class B bonds is based directly on the guarantee
provided by the government of Belize and the support from the
Development Finance Corporation.  The government of Belize
unconditionally and irrevocably guarantees the timely payment of
interest and principal on the bonds.  According to Alonso
Sanchez Rosario, analyst at Moody's, the rating of Class B bonds
is based on the foreign currency bond rating of the government
of Belize, as provider of the guarantee.




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


AMEREX PETROLEUM: Proofs of Claim Filing Is Until March 23
----------------------------------------------------------
Amerex Petroleum Ltd.'s creditors are given until March 23 to
prove their claims to Nicholas Hoskins, the company's
liquidator, 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.

Amerex Petroleum's shareholders agreed on Feb. 21, 2007, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Nicholas Hoskins
         Wakefield Quin
         Chancery Hall, 52 Reid Street
         Hamilton, Bermuda


ARCH CAPITAL: Authorizes Repurchase of US$1 Bil. Common Shares
--------------------------------------------------------------
Arch Capital Group Ltd. told the Royal Gazette that its board
has approved the repurchase of US$1 billion of common shares.

According to the Royal Gazette, repurchases may be made
occasionally in open market or in privately negotiated
transactions through February 2009.

The Royal Gazette states that the timing and amount of the
repurchase transactions will depend on factors like:

          -- market conditions, and
          -- corporate and regulatory considerations.

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.


FOSTER WHEELER: Subsidiary Gets Contract for Refinery Expansion
---------------------------------------------------------------
Foster Wheeler Ltd. announced that its Spanish subsidiary,
Foster Wheeler Iberia, S.A.U., part of its Global Engineering
and Construction Group, has been awarded a contract by Compa¤Ħa
Espa¤ola de Petroleos, S.A. or CEPSA, one of the main Spanish
refining companies, for the detailed engineering of new crude,
vacuum and gas recovery units at La Rabida Refinery in Huelva,
Spain.  This refinery expansion is part of an investment by
CEPSA that is aimed at meeting growing demand in Europe for
middle distillates such as diesel fuel and kerosene.  This
latest award follows the successful completion of the front-end
engineering design or FEED for these units by Foster Wheeler
Iberia.

The Foster Wheeler contract value was not disclosed.  The
project will be included in the company's first-quarter 2007
bookings.

"We are proud to receive this award for the next phase of
CEPSA's investment at La Rabida, which further extends our
excellent 35-year relationship with this client," said Jesus
Cadenas, managing director and chief executive officer of Foster
Wheeler Iberia.  "We have in-depth refining expertise and have a
strong and proven track record in crude, vacuum, and gas
recovery units."

The crude distillation unit will have a capacity of 90,000
barrels per stream day, the vacuum distillation unit capacity
will be 30,500 barrels per stream day and the capacity of the
gas concentration unit will be approximately 148 tons per hour.
Mechanical completion of the new facility is expected during the
last quarter of 2009.

Foster Wheeler Ltd. (Nasdaq: FWLT) -- http://www.fwc.com/--
offers a broad range of engineering, procurement, construction,
manufacturing, project development and management, research and
plant operation services.  Foster Wheeler serves the refining,
upstream oil and gas, LNG and gas-to-liquids, petrochemical,
chemicals, power, pharmaceuticals, biotechnology and healthcare
industries.  The corporation is based in Hamilton, Bermuda, and
its operational headquarters are in Clinton, New Jersey.

                        *     *     *

As reported in the Troubled Company Reporter on Dec. 18, 2006,
Standard & Poor's Ratings Services revised its outlook on Foster
Wheeler Ltd. to positive from stable.

At the same time, Standard & Poor's affirmed its 'B+' corporate
credit rating and other ratings on the company.  The company had
about US$217 million of total debt at Sept. 29, 2006.


KEPLER HOLDINGS: A.M. Best Puts BB- Rating on US$200MM Term Loan
----------------------------------------------------------------
A.M. Best Co. has assigned a debt rating of "bb-" to the US$200
million senior secured term loan due June 2009, of Kepler
Holdings Limited, a newly created special purpose company.  The
rating outlook is stable.

The primary business purpose for the creation of the issuer, in
addition to raising proceeds from the issuance of the term loan,
is to subscribe to the shares of Kaith Re Ltd., an existing
licensed Bermuda class 3 reinsurer registered under the Bermuda
Segregated Accounts Companies Act 2000.  Proceeds of the term
loan will be contributed by the issuer to Segregated Account
Kepler Re, a newly formed segregated account of Kaith Re.

Upon closing of the term loan, Kaith Re, acting in respect of
Segregated Account Kepler Re, will enter into an excess of loss
or XOL reinsurance agreement with Hannover Rueckversicherung AG
and its affiliates, E+S Rueckversicherung AG and Hannover Re
(Bermuda) Ltd. -- collectively known as cedant -- to provide
US$200 million of aggregate indemnity protection covering pre-
defined segments of the cedant's global natural catastrophe
property reinsurance portfolio over a 22 month period beginning
March 1, 2007.  Under the XOL reinsurance agreement, specific
reinsurance attachment and exhaustion points are calibrated for
each calendar period.  The cedant retains defined layers of risk
before the attachment as well as after the exhaustion of the XOL
reinsurance, which creates an incentive for the cedant to
produce and retain quality business.

Proceeds from the issuance of the term loan and reinsurance
premiums are deposited into a collateral trust account and
premium trust account, respectively.  The deposited funds are
available to pay losses required to be made under the XOL
reinsurance agreement and payments in respect of the term loan.

The assigned rating represents an opinion as to the issuer's
ability to meet its financial obligations to security holders
when due.  The rating of the term loan takes into consideration
a multitude of factors including the modeled probability of
attachment (i.e., the first dollar of loss) of 1.2% (per annum)
as provided by the cedant; a review of the cedant's underwriting
policies and risk management; and a review of the structure and
the legal documentation surrounding the structure.  In addition,
the rating acknowledges an assessment of the cedant's ability,
under the XOL reinsurance agreement, to make periodic
reinsurance premium and expense reimbursement payments and, if
necessary, collateral deficiency payments (amounts equal to any
diminution in the value of the assets held in the collateral
trust account resulting from investment losses).

Kepler Holdings Limited is a newly formed Bermuda exempted
company, wholly owned by a charitable purpose trust.  Kepler
Holdings will enter into the US$200 million senior secured
credit facility, the proceeds of which will be deposited into a
segregated account, Kepler Re.  Kepler Re is a newly formed
segregated account of Kaith Re Ltd., an existing licensed Class
3 Bermuda reinsurer and Bermuda segregated accounts company.
Kaith Re, on behalf of Kepler Re, will enter into an aggregate
indemnity catastrophe excess of loss reinsurance agreement with
Hannover Re.


NORWEGIAN OFFSHORE: Proofs of Claim Filing Is Until March 13
------------------------------------------------------------
Norwegian Offshore Consultants II Ltd.'s creditors are given
until March 13, 2007, to prove their claims to Jennifer Y.
Fraser, the company's liquidator, 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.

Norwegian Offshore's shareholders agreed on Feb. 21, 2007, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Jennifer Y. Fraser
         Canon's Court, 22 Victoria Street
         Hamilton, Bermuda


RIVID INSURANCE: Proofs of Claim Filing Is Until March 14
---------------------------------------------------------
Rivid Insurance Company (Bermuda) Ltd.'s creditors are given
until March 14, 2007, to prove their claims to Jennifer Y.
Fraser, the company's liquidator, 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.

Rivid Insurance's shareholders agreed on Feb. 28, 2007, to place
the company into voluntary liquidation under Bermuda's Companies
Act 1981.

The liquidator can be reached at:

         Jennifer Y. Fraser
         Canon's Court, 22 Victoria Street
         Hamilton, Bermuda


SHIP FINANCE: Earns US$180.8 Million for Full Year 2006
-------------------------------------------------------
Ship Finance International Ltd. released its preliminary results
for the fourth quarter and year ended Dec. 31, 2006.

Ship Finance posted US$57.81 million in net profit on
US$118.43 million in net revenues for the fourth quarter of
2006, compared with US$83.01 million in net profit on
US$143.16 million in net revenues for the same period in 2005.

The company posted US$180.8 million in net profit on
US$415.25 million in net revenues for the full year 2006,
compared with US$209.55 million in net profit on US$437.51
million in net revenues for 2005.

The Board of Directors has reviewed the long-term prospects for
the Company including its significant fixed charter backlog and
growth prospects, and decided to increase the dividend payment
for the quarter to US$0.54 per share.  The dividend will be paid
on March 22 to shareholders of record as of March 8.  The ex-
dividend date is March 6.

As of Dec. 31, 2006, the fleet consisted of 60 vessels,
including seven vessels under construction or conversion.  After
subsequent announced sales and new acquisitions, the fleet will
consist of 57 vessels, including nine vessels under
construction.

The gross fixed-rate charter backlog was US$5.2 billion as of
Dec. 31, 2006, with an average charter tenor of 11.4 years. Some
of our charters have purchase options, which, if exercised, will
reduce the fixed charter backlog and average charter tenor.

At Dec. 31, 2006, US$449.1 million of the 8.5% Senior Notes due
2013 was outstanding.  Senior Notes with a par value of US$51.5
million were subject to Bond Swap Agreements as of year-end.
During the first quarter of 2007, this has increased by an
additional US$5.0 million.  The annual interest rate on the
US$56.5 million of Senior Notes held under Bond Swap Agreements
has been effectively reduced to approximately Libor + 1.00%.

                    Strategy and Outlook

The strategy of the Company is to increase its portfolio of
assets and to employ its assets on medium to long-term
contracts.  The Company will seek to reduce the risks for its
shareholders by investing in different sectors of the shipping
and oil service industry, and also by having a diversified
client base.

Over the last 12 months, the Company has committed to new
investments in excess of US$1.1 billion, and these investments
are expected to increase the Company's fixed charter income and
dividend distribution capacity.

The Company will continue to pursue new projects, and additional
investment opportunities are currently under consideration.  The
Company has significant capital available to fund the equity
portion of new projects, including approximately US$130 million
in net cash proceeds from the sale of the six single-hull
tankers and US$78.9 million in profit-share due from Frontline.
Based on current financing levels available in the market for
projects with long-term charters, Ship Finance has the capacity
to invest in new projects with a gross cost price in excess of
US$1.0 billion without raising additional equity capital.

                     About Ship Finance

Headquartered in Bermuda, Ship Finance International Ltd. --
http://www.shipfinance.org/-- through its subsidiaries engages
in the ownership and operation of oil tankers, including
oil/bulk/ore (OBO) carriers.  The Company operates through
subsidiaries and partnerships located in Bermuda, Cyprus, Isle
of Man, Liberia, Norway and Singapore.  It is also involved in
the charter, purchase and sale of vessels.

                        *     *     *

On Dec. 5, 2006, Standard & Poor's Ratings Services raised its
long-term corporate credit rating on Bermuda-based Ship Finance
International Ltd., a ship-owning company tied to Frontline
Ltd., to 'BB' from 'BB-'.  S&P said the outlook is stable.

At the same time, S&P raised its senior unsecured debt rating on
Ship Finance's US$580-million bonds to 'B+' from 'B'.

As reported in the TCR-Europe on Nov. 16, 2006, Moody's
Investors Service affirmed Ship Finance International Ltd.'s
ratings, including the Ba3 Corporate Family Rating, the Ba2
Senior Secured Bank Credit Facilities and the B1 Senior
Unsecured Notes rating.  Moody's said the ratings outlook
remains stable.




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


* BOLIVIA: Gov't Pares Economic Growth Forecast, VP Says
--------------------------------------------------------
Bolivian Vice President Alvaro Garcia Linera told Reuters that
the government has no choice but to lower economic growth
outlook because of the worst flooding that happened in the
country in 25 years.

"We had estimated 7 per cent growth this year.  This disaster
has slashed that figure to 6 per cent," Vice President Garcia
Linera said late Friday, Reuters relates.

According to the same report, Bolivia's economy, mainly spurred
by natural gas, mining and agriculture sectors, grew 4.5% last
year.  Growth has been 4% over the past 20 years.

                        *    *    *

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
===========


ALLIANCE ONE: Selling US$150 Mil. of 8.5% Senior Unsecured Notes
----------------------------------------------------------------
Alliance One International Inc. has agreed to sell US$150
million an aggregate principal amount of unsecured 8.5% senior
notes due 2012.  The senior notes will be sold at 99.507% of
their face amount.

The company intends to use the proceeds of the proposed offering
to repay outstanding borrowings under its existing senior
secured term loans.  The offering of the notes is subject to
certain customary closing conditions.

Based in Morrisville, North Carolina, Alliance One
International, Inc. (NYSE:AOI) -- http://www.aointl.com/-- is a
leaf tobacco merchant.  The company has worldwide operations in
Argentina, Bangladesh, Brazil, Bulgaria, Canada, China, France,
Philippines, Malaysia, and Singapore.

                        *     *     *

As reported in the Troubled Company Reporter on Sept. 27, 2006,
Moody's Investors Service's confirmed its B2 Corporate Family
Rating for Alliance One International, Inc., and upgraded its B2
rating on the Company's US$300 million senior secured revolver
to B1.  In addition, Moody's assigned an LGD3 rating to notes,
suggesting noteholders will experience a 37% loss in the event
of a default.


AUTOCAM CORP: Financial Restructuring Cues Moody's B3 Rating
------------------------------------------------------------
Moody's Investors Service has changed the debt ratings of
Autocam Corporation and Autocam Corporation France SARL that
were initially assigned on a provisional basis on Feb. 12.  New
Autocam's Corporate Family Rating was changed from (P)B3 to B3
with provisional modifiers on its other ratings similarly
removed.

Ratings on existing Autocam Corporation's and Autocam
Corporation France SARL's obligations were withdrawn at the same
time.  The actions follow the closing of Autocam's financial
restructuring on Feb. 28.

The restructuring involved the exchange by an investor group of
substantially all of existing Autocam's subordinated debt into
new common shares of Titan Holdings, the holding company parent
of Autocam Corporation, and the investment by the note holder
group of US$85-million in a new issue of preferred stock of
Titan Holdings.  Existing common equity interests in Titan
Holdings were extinguished.  Proceeds from the preferred stock
issue were down-streamed and used to retire approximately US$78
million of second lien term loans at Autocam Corporation.
Autocam Corporation's first lien bank debt was refinanced in a
syndication of US$150-million of first lien bank facilities for
New Autocam and Autocam Corporation France SARL.  All of those
transactions closed on Feb. 28.  Accordingly, ratings on
approximately US$250-million of pre-restructuring debt at
Autocam Corporation and Autocam Corporation France SARL have
been withdrawn, and the provisional modifier on ratings at New
Autocam and Autocam Corporation France SARL have been removed.

Ratings changed:

   * Autocam Corporation

      -- Corporate Family Rating to B3 from B3

      -- First lien term loan for US$83 million to B2, LGD2, 26%
         from B2, LGD2, 26%

      -- First lien revolving credit for US$17-million to B2,
         LGD2, 26% from B2, LGD2, 26%

      -- Outlook, stable

      -- Probability of Default Rating, Caa1

   * Autocam Corporation France SARL

      -- Guaranteed First lien term loan for Euro equivalent of
         US$37-million to B2, LGD2, 26% from B2, LGD2, 26%

      -- Guaranteed First lien revolving credit facility for
         Euro equivalent of US$13 million to B2, LGD-2, 26% from
         B2, LGD2, 26%

Ratings withdrawn:

   * Autocam Corporation

      -- Corporate Family Rating, Ca
      -- Probability of Default, D
      -- Outlook, stable
      -- First lien revolving credit, Caa1, LGD2, 20%
      -- First lien term loan, Caa1, LGD2, 20%
      -- Senior Subordinated Notes, C, LGD5, 85%
      -- Speculative Grade Liquidity rating, SGL-4

   * Autocam France SARL

      -- First lien revolving credit, Caa1, LGD2, 20%
      -- First lien term loan, Caa1, LGD2, 20%

The last rating action was on Feb. 12, when initial ratings were
assigned to New Autocam and Autocam Corporation France SARL.

Autocam Corporation, headquartered in Kentwood, Michigan, is a
manufacturer of extremely close tolerance precision-machined,
metal alloy components, sub-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 DO BRASIL: Unit Earns BRL169 Million in 2006
--------------------------------------------------
Net profits of Alianca do Brasil, an insurer controlled by Banco
do Brasil, increased 8.90% to BRL169 million in 2006, compared
to 2005, Business News Americas reports.

BNamericas relates that Alianca do Brasil's operating income
increased 13.9% to BRL243 million in 2006, from 2005,
compensating for a 16.3% decline in financial income that
amounted to BRL99.5 million.

According to BNamericas, a lower loss ratio that decreased to
35% in 2006 from 38% in 2005 as well as lower costs helped the
combined ratio improve to 88.3% from 91.7%.

The report says that Alianca do Brasil's direct premiums
increased 16.9% to BRL1.37 billion in 2006, compared to 2005.
Its agricultural insurance premiums grew 44.4% to BRL38.6
million.

BNamericas underscores that Alianca do Brasil had 46.5% market
share in terms of premiums.

Meanwhile, Banco do Brasil's insurance, private pension and
savings bonds units increased their contribution to the bank's
net profits by 27% to BRL1.10 billion in 2006, compared to 2005.
Banco do Brasil's net profits for the full year 2006 increased
45.5% to BRL6.04bn reais, from 2005, BNamericas states.

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-Latin America on
Feb. 20, 2007, Fitch Ratings upgraded Banco do Brasil S.A.'s
Support rating to '3' from '4', and affirmed its other ratings:

   -- Foreign currency Issuer Default Rating (IDR) at 'BB+';
   -- Short-term foreign currency at 'B';
   -- Local currency IDR at 'BB+';
   -- Short-term local currency at 'B';
   -- Individual rating at 'C/D';
   -- National Long-term rating at 'AA(bra)'; and
   -- Short-term rating at 'F1+(bra)'.


BANCO INDUSTRIAL: Asks for Regulator's Approval to Launch IPO
-------------------------------------------------------------
Banco Industrial e Comercial SA has asked the permission of
Brazilian securities regulator Comissao de Valores Mobiliarios
to launch an initial public offering headed by investment bank
UBS Pactual, financial daily Gazeta Mercantil reports.

Business News Americas relates that Banco Industrial Vice
President Milto Bardini had denied in January that the bank
planned an Initial Public Offering for 2007.

Mr. Barbini had told BNamericas, "Our current capitalization
levels are perfectly adequate for our growth plans this year."

According to BNamericas, no documents regarding Banco
Industrial's possible initial public offering had been posted on
the regulator's Web site.  The bank was also tightlipped on the
issue.

BNamericas notes that with BRL7.29 billion in total assets,
Banco Industrial would become the largest in local midsize banks
that have decided to go public in 2007.

Banco Industrial does not focus on payroll and retirement loans,
unlike other midsize banks.  It chooses to lend to middle-market
firms with yearly revenues of up to BRL300 million, BNamericas
notes.

BNamericas underscores that Banco Industrial's lending increased
by 59.7% to BRL4.43 billion in 2006, compared to 2005.  Its
commercial lending rose 41.1% to BRL2.70 billion.

According to BNamericas, Mr. Bardini had said that while
payroll-linked loans increased 155% to BRL545 million in 2006,
Banco Industrial's loan policies don't allow payroll lending to
represent over 10% of its total lending.

Banco Industrial will boost lending at least 30% this year,
BNamericas says.

BNamericas emphasizes that Banco Industrial will likely issue a
bond this quarter.  The bank raised about US$150 million on the
international markets in September 2006 through a three-year
bond issue coordinated by UBS.

Banco Industrial's net profits increased 26.8% to BRL104 million
in 2006, compared to 2005, BNamericas states.

Banco Industrial e Comercial SA is headquartered in Sao Paulo,
Brazil.  It had total assets of BRL6.7 billion and equity of
BRL505 million in December 2005.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
March 1, 2007, Standard & Poor's Ratings Services assigned its
'B+' counter party credit rating to Banco Industrial e Comercial
SA.  S&P said the outlook was stable.


CHEMTURA CORP: Posts US$144.3-Mln Net Loss in 2006 Fourth Qtr.
--------------------------------------------------------------
Chemtura Corp. reported a net loss of US$144.3 million on net
sales of US$873.6 million for the fourth quarter ended
Dec. 31, 2006, compared with a net loss of US$71.5 million on
net sales of US$876.1 million for the comparable period in 2005.

The company's 2006 full-year net loss was US$170.6 million on
net sales of US$3.7 billion, as compared with a net loss of
US$186.6 million on net sales of US$2.9 billion for 2005.

Loss from continuing operations for the fourth quarter of 2006
and 2005, were US$145.9 million and US$92.9 million,
respectively.  Loss from continuing operations for years 2006
and 2005, were US$218.1 million and US$184.8 million,
respectively.

At Dec. 31, 2006, the company's balance sheet showed US$4.37
billion in total assets, US$2.65 billion in total liabilities,
and US$1.72 billion in total stockholders' equity.

                   Fourth Quarter Results

The company's fourth quarter net sales of US$873.6 million were
less than one percent below fourth quarter 2005 net sales of
US$876.1 million.  The decrease is primarily due to lower sales
of US$10.4 million related to the sale of the company's
Industrial Water Additives business in May 2006 and an US$18.1
million decrease in sales volume.  The decrease, however, were
mostly offset by increased selling prices of US$16.1 million and
favorable foreign currency translation of US$12 million.

The operating loss for the fourth quarter of 2006 was US$15.6
million, as compared with an operating loss of US$400,000 for
the fourth quarter of 2005.

Fourth quarter earnings reflect a charge of US$123 million to
establish a deferred tax liability related to this repatriation
strategy.

During the fourth quarter of 2006, the company recorded a gain
on sale of discontinued operations of US$1.6 million, net of
taxes of US$200,000, related to the sale of the OrganoSilicones
business to General Electric Co. in July 2003.  The gain
represents the reversal of reserves for certain contingencies
that the company no longer expects to incur.

                      Full-year Results

Net sales for the year ended Dec. 31, 2006, of US$3,722.7
million were US$736.1 million above net sales for the comparable
period of 2005 of US$2,986.6 million.

The increase was primarily due to US$855.6 million in additional
sales resulting from the merger with Great Lakes Chemical Corp.,
a US$62.8 million increase in selling prices and US$5 million
due to favorable foreign currency translation that was partially
offset by a US$108.3 million decrease in sales volume, the
absence of US$48.3 million of sales due to the deconsolidation
of the company's Polymer Processing Equipment business in
April 2005, US$21.5 million due to the divestiture of the IWA
business in May 2006, and US$9.1 million due to the net effect
of other acquisitions and divestitures.

At Dec. 31, 2006, the company's balance sheet showed US$4.37
billion in total assets, US$2.65 billion in total liabilities,
and US$1.72 billion in total stockholders' equity.

                     About Chemtura Corp.

Headquartered in Middlebury, Conn., Chemtura Corp. (NYSE:
CEM) -- http://www.chemtura.com/-- is a global manufacturer and
marketer of specialty chemicals, crop protection, and pool, spa
and home care products.  The company has approximately 6,400
employees around the world and sells its products in more than
100 countries.  The company has facilities in Singapore,
Australia, China, Hong Kong, India, Japan, South Korea, Taiwan,
Thailand, Brazil, Belgium, France, Germany, Mexico, and The
United Kingdom.

                        *     *     *

In November 2006, Moody's Investors Service assigned a Ba1
rating to Chemtura Corp.'s US$400 million of senior notes due
2016 and affirmed the Ba1 ratings for its other debt and the
corporate family rating.


COMPANHIA ENERGETICA: Reports BRL1.72 Billion Net Profit in 2006
----------------------------------------------------------------
Companhia Energetica de Minas Gerais said in its annual report
that its net profit decreased 14.2% to BRL1.72 billion in 2006,
from 2005.

Business News Americas relates that Companhia Energetica
attributed the decline in its net profit in 2006 to
extraordinary gains in 2005 from a differed rates adjustment.

According to Companhia Energetica's annual report, the firm's
operating revenue increased 16% to BRL13.6 billion in 2006,
compared to 2005.  Its operating profit rose 12.2% to BRL2.11
billion.

BNamericas underscores that Companhia Energetica's energy sales
to final clients grew 6.32% to 40.8 Terra Watt hours in 2006,
compared to 2005.

Companhia Energetica invested BRL1.72 billion in 2006.  About
BRL1.13 billion of the amount was allotted for distribution,
BRL359 million went to transmission and BRL206 million wqas used
in generation, BNamericas states.

Companhia Energetica de Minas Gerais -- http://www.cemig.com.br/
-- is one of the largest and most important electric energy
utilities in Brazil due to its strategic location, its technical
expertise and its market.  Cemig's concession area extends
throughout nearly 96.7% of the State of Minas Gerais, Brazil.
Cemig owns and operates 52 power plants, of which six are in
partnership with private enterprises, relying on a predominantly
hydroelectric energy matrix.  Electric energy is produced to
supply more than 17 million people living in the state's 774
municipalities.  In addition to those 52 plants, another three
are currently under construction.

Cemig is also active in several other states, through ventures
for the generation or the commercialization of energy in these
Brazilian states: in Santa Catarina (generation), Rio de Janeiro
(commercialization and generation), Espirito Santo (generation)
and Rio Grande do Sul (commercialization).

                        *    *    *

Cemig's BRL312,500,000 12.7% debentures due Nov. 1, 2009, carry
Moody's B1 rating.


DIRECTV GROUP: Brazilian Unit to Operate Under Sky Brand
--------------------------------------------------------
DirecTV Brasil, the Brazilian subsidiary of DirecTV Group, will
start operating under the Sky brand, news agency AE-Setorial
reports.

AE-Setorial underscores that DirecTV Brasil completed a merger
with Sky Brasil in August 2006.  The two firms then decided to
continue operating under separate brands for four months in a
marketing strategy aimed at promoting "the best of both worlds."

Business News Americas relates that the DirecTV Group took
control of 74% of Sky Brasil.  The Globo group owns the
remaining 26%.

The joint venture aims to reach 2 million clients before the end
of 2008, BNamericas notes.  DirecTV Brasil and Sky Brasil have a
total of 1.4 million subscribers.

Sky Brasil President Luiz Eduardo Baptista said in September
2006 that DirecTV-Sky will invest US$70 million by the end of
2007 to modernize equipment like decoders for residential
clients, as well as integrate a new uplink center in Tambora,
Sao Paulo, according to local reporters.

Headquartered in El Segundo, California, The DIRECTV Group
(NYSE:DTV) -- http://www.directv.com/--, Inc. provides digital
television entertainment in the United States and Latin America.
It has two segments, DIRECTV U.S. and DIRECTV Latin America.
The DIRECTV U.S. segment provides direct-to-home digital
television services in the multichannel video programming
distribution industry in the United States.  The DIRECTV Latin
America segment provides digital direct-to-home digital
television services to approximately 1.6 million subscribers in
27 countries, including Brazil, Argentina, Venezuela, and Puerto
Rico.

                        *     *     *

As reported on Jan. 10, 2007, Standard & Poor's Ratings Services
affirmed its ratings on satellite direct-to-home TV provider The
Directv Group Inc., including the 'BB' corporate credit rating.
S&P said the outlook is stable.


DURA AUTOMOTIVE: Wants Exclusive Plan-Filing Period Extended
------------------------------------------------------------
Dura Automotive Systems Inc. and its debtor-affiliates ask the
U.S. Bankruptcy Court for the District of Delaware to extend
their exclusive periods:

   (i) to propose and file a plan of reorganization through and
       including May 23; and

  (ii) solicit acceptances of that plan through and including
       July 23.

The Court will convene a hearing on March 21 at 10:00 a.m., to
consider the Debtors' request.  By application of Rule 9006-2 of
the Local Rules of Bankruptcy Practice and Procedures of the
United States Bankruptcy Court for the District of Delaware, the
Debtors' exclusive periods are automatically extended until the
conclusion of that hearing.

Section 1121(b) of the Bankruptcy Code provides a debtor the
exclusive right to file a plan of reorganization for an initial
period of 120 days after the commencement of its Chapter 11
case.  Section 1121(c)(3) provides that if a debtor files a plan
of reorganization within the 120-day initial period, a debtor
has 180 days after the commencement of the Chapter 11 case
within which to solicit and obtain acceptances of its plan, at
which time competing plans may not be filed by any party-in-
interest.

Daniel J. DeFranceschi, Esq., at Richards, Layton & Finger,
P.A., in Wilmington, Delaware, relates that much has been
accomplished to rehabilitate the Debtor, not only in the first
120 days of their Chapter 11 cases, but also in the months
leading up to the Petition Date.  Specifically, the Debtors
have:

    -- ensured a smooth entry into Chapter 11 against a backdrop
       of continued deterioration in their domestic automotive
       industry;

    -- minimized the impact of the Chapter 11 on Dura Automotive
       Systems, Inc.'s non-debtor affiliates, ensuring that
       adequate liquidity is available as and when needed;

    -- engaged management in implementing their operational
       restructuring through the transfer of business from high
       to low-cost locations;

    -- conducted, with their advisors, a bottom-up analysis of
       their business on a location-by-location and part-by-part
       basis, and are now developing a transformational business
       plan based upon those analyses to reflect the changes in
       the automotive sector;

    -- augmented senior management to provide further support
       for their operational and financial restructuring;

    -- commenced negotiations with major customers, giving them
       reasons to return business to the Debtors;

    -- made significant progress in analyzing a potential
       avoidance action against the Second Lien Lenders based
       upon certain lien perfections issues, and assessing the
       potential impact of the litigation on the contours of a
       consensual plan;

    -- exchanged, and continues to exchange, substantial
       information with the Creditors Committee, the Second Lien
       Committee, and their advisors; and

    -- demonstrated a commitment to conduct the vast majority of
       the Chapter 11 tasks outside the courtroom on a
       consensual basis with its various constituencies.

Extending the exclusive periods will permit the Debtors to
develop an appropriate plan of reorganization that will best
meet the creditors' needs and fit into the development of the
Debtors' business plan, Mr. DeFranceschi tells the Court.

Mr. DeFranceschi cites the Debtors' sufficiently large and
complex cases, which involves 41 debtors, with two tranches of
secured institutional debt that are the subject of an intricate
intercreditor agreement and multiple issuances of unsecured
institutional debt in addition to the standard classes of
secured, priority, priority tax, and general unsecured claims.

Adding complexity to the Debtors' prepetition financial balance
sheet and equity structure is the potential avoidance action
against the Second Lien Lenders, Mr. DeFranceschi relates.  This
potential litigation, he says, has taken time to analyze, and
will continue to influence the course of the Debtors' Chapter 11
cases and the development of a plan of reorganization.

Mr. DeFranceschi assures the Court that the extension is
intended to facilitate an orderly, efficient and cost-effective
process for the benefit of all creditors.

             About DURA Automotive Systems Inc.

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

The Debtors filed for chapter 11 petition on Oct. 30, 2006
(Bankr. D. Delaware Case No. 06-11202).  Richard M. Cieri, Esq.,
Marc Kieselstein, Esq., Roger James Higgins, Esq., and Ryan
Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead counsel
for the Debtors' bankruptcy proceedings.  Mark D. Collins, Esq.,
Daniel J. DeFranseschi, Esq., and Jason M. Madron, Esq., of
Richards Layton & Finger, P.A. Attorneys are the Debtors' co-
counsel.  Baker & McKenzie acts as the Debtors' special counsel.
Togut, Segal & Segal LLP is the Debtors' conflicts counsel.
Miller Buckfire & Co., LLC is the Debtors' investment banker.
Glass & Associates Inc., gives financial advice to the Debtor.
Kurtzman Carson Consultants LLC handles the notice, claims and
balloting for the Debtors and Brunswick Group LLC acts as their
Corporate Communications Consultants for the Debtors.  As of
July 2, 2006, the Debtor had US$1,993,178,000 in total assets
and US$1,730,758,000 in total liabilities.  (Dura Automotive
Bankruptcy News, Issue No. 14; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000).


SANYO ELECTRIC: SESC Won't File Charges for Inaccurate Reports
--------------------------------------------------------------
Japan's Securities and Exchange Surveillance Commission has
decided not to file a criminal complaint against Sanyo Electric
Co. amid allegations that the company dressed up its financial
statements, Japan Today reports, citing sources familiar with
the matter.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 26, the SESC had commenced an investigation on whether
Sanyo Electric failed to fully disclose its losses.

The TCR-AP report said that Sanyo Electric had allegedly written
off losses of JPY190 billion (US$1.6 billion) at its
subsidiaries, but reported the losses as JPY50 billion (US$412
million), and that it may have falsely reported a profit when it
was in the red.

Moreover, Japan Today says that the SESC also decided to refrain
from recommending that the Financial Services Agency order Sanyo
Electric to pay fines in connection with the alleged accounting
fraud.

Citing a Kyodo News report, Bloomberg News adds that the FSA
will not press charges because of Sanyo Electric's intention to
provide corrected earnings reports to the government.

Bloomberg states that Sanyo Electric stock gained 9.2% to JPY189
on the Osaka Securities Exchange on Thursday after the media
reported the SESC's decision not to seek penalties against the
company.  The rise in stock price, according to the report, was
Sanyo Electric's biggest advance in 10 days.

                     About Sanyo Electric

Headquartered in Osaka, Japan, Sanyo Electric Co., Ltd. --
http://www.sanyo.com/-- is one of the world's leading
manufacturers of consumer electronics products.  The company has
operations in Brazil, Germany, India, Ireland, Spain, the United
States, and the United Kingdom, among others.

Sanyo, according to press reports, has struggled after an
earthquake damaged a key chip-making plant in Niigata, central
Japan in October 2004.  Operating losses in the unit mounted to
JPY17.7 billion in the year to March 2005 and JPY35.1 billion
the following year.

An investigation was launched by Japan's Securities and Exchange
Commission on Sanyo's financial accounts for the year to March
2004.  The probe, media reports say, is a blow to Sanyo at a
time when it has been struggling to turn around its business,
trimming thousands of jobs, reducing factory space and dropping
some businesses since announcing a restructuring plan in 2004.

The company got a much-needed capital boost in January 2006 from
a group of investors led by Goldman Sachs Group Inc., which
became the company's top shareholders and took over the board,
putting new management in place.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on March 2,
Fitch Ratings has placed Sanyo Electric Co. Ltd.'s 'BB+' Long-
term foreign and local currency Issuer Default and
seniorunsecured ratings on Rating Watch Negative.

The TCR-AP also reported on Dec. 20, 2006, that Standard &
Poor's Ratings Services lowered to 'BB-' from 'BB' its long-term
corporate credit rating on Sanyo Electric.  At the same time,
Standard & Poor's lowered to 'BB' from 'BB+' its issue ratings
on Sanyo Electric's senior unsecured debt.  The outlook on the
long-term credit rating is negative.  The ratings were removed
from CreditWatch, where they were placed on Nov. 22, 2006.




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


AL-ABRAR INVESTMENTS: Sets Last Shareholders Meeting for Mar. 21
----------------------------------------------------------------
Al-Abrar Investments, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:00 a.m., at:

          Walker House
          87 Mary Street, George Town
          Grand Cayman KY1-9001
          Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Mohamed Mahsoom M. Ameen
          c/o Walkers, Walker House
          87 Mary Street
          George Town, Grand Cayman KY1-9001
          Cayman Islands


AL-BAYAN INVESTMENTS: Sets Last Shareholders Meeting for Mar. 21
----------------------------------------------------------------
Al-Bayan Investments, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:00 a.m., at:

          Walker House
          87 Mary Street, George Town
          Grand Cayman KY1-9001
          Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Mohamed Mahsoom M. Ameen
          c/o Walkers, Walker House
          87 Mary Street
          George Town, Grand Cayman KY1-9001
          Cayman Islands


AL-BUNYAN INVESTMENTS: Final Shareholders Meeting Is on Mar. 21
---------------------------------------------------------------
Al-Bunyan Investments, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:00 a.m., at:

          Walker House
          87 Mary Street, George Town
          Grand Cayman KY1-9001
          Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Mohamed Mahsoom M. Ameen
          c/o Walkers, Walker House
          87 Mary Street
          George Town, Grand Cayman KY1-9001
          Cayman Islands


AL-FIRDAUS INVESTMENTS: Last Shareholders Meeting Is on Mar. 21
---------------------------------------------------------------
Al-Firdaus Investments, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:00 a.m., at:

          Walker House
          87 Mary Street, George Town
          Grand Cayman KY1-9001
          Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Mohamed Mahsoom M. Ameen
          c/o Walkers, Walker House
          87 Mary Street
          George Town, Grand Cayman KY1-9001
          Cayman Islands


AL-MANAR INVESTMENTS: Final Shareholders Meeting Is on Mar. 21
--------------------------------------------------------------
Al-Manar Investments, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:00 a.m., at:

          Walker House
          87 Mary Street, George Town
          Grand Cayman KY1-9001
          Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Mohamed Mahsoom M. Ameen
          c/o Walkers, Walker House
          87 Mary Street
          George Town, Grand Cayman KY1-9001
          Cayman Islands


AL-MEEZAN INVESTMENTS: Final Shareholders Meeting Is on Mar. 21
---------------------------------------------------------------
Al-Meezan Investments, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:00 a.m., at:

          Walker House
          87 Mary Street, George Town
          Grand Cayman KY1-9001
          Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Mohamed Mahsoom M. Ameen
          c/o Walkers, Walker House
          87 Mary Street
          George Town, Grand Cayman KY1-9001
          Cayman Islands


EMI GROUP: Junks Warner's US$4.1 Billion Takeover Bid
-----------------------------------------------------
The Board of Directors of EMI Group plc rejected a US$4.1
billion non-binding takeover bid from Warner Music Group Corp.
saying that the price of 260 pence per share in cash for EMI is
inadequate.

The Board concluded that "it is not in the best interests of EMI
shareholders to entertain a pre-conditional offer which would
entail prolonged regulatory uncertainty and unacceptable
operational risk at a critical time for the Company."

There can be no certainty that the approach by WMG will lead to
an offer being made for the Company or as to the terms on which
any offer might be made.

EMI remains focused on maximizing the performance of the
business including implementation of the restructuring program
disclosed on January 12.

As reported in the TCR-Europe on Feb. 27, Warner Music
approached EMI on Jan. 24, after it obtained the support of
Brussels-based Impala, a trade group for independent European
record labels ending its opposition to a Warner-EMI merger,
reports say.  WMG clarified Feb. 21 that any possible takeover
offer for EMI Group PLC is likely to be solely in cash.

In 2006, EMI and Warner were locked in a GBP2.3 billion takeover
battle.  The deal was halted in June 2006 following the
annulment of the 2004 Sony-BMG tie-up by a European Court.

Analysts believed that an EMI-Warner merger could generate cost
savings of about GBP150 million a year.

                 About Warner Music Group

Warner Music Group Corp. (NYSE: WMG) -- http://www.wmg.com/--
became the only stand-alone music company to be publicly traded
in the United States in May 2005 that operates through numerous
international affiliates and licensees in more than 50
countries.  Warner Music is home to a collection of record
labels in the music industry including Asylum, Atlantic, Bad
Boy, Cordless, East West, Elektra, Lava, Maverick, Nonesuch,
Reprise, Rhino, Rykodisc, Sire, Warner Bros., and Word.

                       About EMI Group

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-LA on Feb. 19, Standard & Poor's Ratings
Services kept the U.K.-based music major EMI Group Plc's ratings
at BB-/Watch Neg/B, after the company announced it expects
revenues in its recorded music division to decline by 15% in the
fiscal year ended March 31, 2007, at constant currencies.  The
ratings also remain on CreditWatch with negative implications,
where they were placed on Feb. 5, 2007.


MAGNETAR CAPITAL: Proofs of Claim Filing Ends on March 22
---------------------------------------------------------
Magnetar Capital Assets Fund, Ltd.'s creditors are given until
March 22, 2007, to prove their claims to Mike Hughes and Richard
Gordon, the company's 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.

Magnetar Capital Assets Fund Ltd.'s shareholders agreed on
March 22, 2007, to place the company into voluntary liquidation
under The Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

        Mike Hughes
        Richard Gordon
        Maples Finance Ltd.
        P.O. Box 1093
        George Town, Grand Cayman
        Cayman Islands


MERRILL LYNCH: Proofs of Claim Filing Ends on March 22
------------------------------------------------------
Merrill Lynch Developing Limited Maturity Portfolio's creditors
are given until March 22, 2007, to prove their claims to Jan
Neveril and Richard Gordon, the company's 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.

Merrill Lynch Developing Limited's shareholders agreed on
March 22, 2007, to place the company into voluntary liquidation
under The Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

        Jan Neveril
        Richard Gordon
        Maples Finance Ltd.
        P.O. Box 1093
        George Town, Grand Cayman
        Cayman Islands


MERRILL LYNCH MEXICAN: Proofs of Claim Filing Ends on March 22
--------------------------------------------------------------
Merrill Lynch Mexican Income Dollar Portfolio's creditors are
given until March 22, 2007, to prove their claims to Jan Neveril
and Richard Gordon, the company's 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.

Merrill Lynch Mexican's shareholders agreed on March 22, 2007,
to place the company into voluntary liquidation under The
Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

        Jan Neveril
        Richard Gordon
        Maples Finance Ltd.
        P.O. Box 1093
        George Town, Grand Cayman
        Cayman Islands


MERRILL LYNCH (PESO): Proofs of Claim Filing Ends on March 22
-------------------------------------------------------------
Merrill Lynch Mexican Income Peso Portfolio's creditors are
given until March 22, 2007, to prove their claims to Jan Neveril
and Richard Gordon, the company's 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.

Merrill Lynch Mexican's shareholders agreed on March 22, 2007,
to place the company into voluntary liquidation under The
Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

        Jan Neveril
        Richard Gordon
        Maples Finance Ltd.
        P.O. Box 1093
        George Town, Grand Cayman
        Cayman Islands


RACE POINT III: Proofs of Claim Filing Ends on March 22
-------------------------------------------------------
Race Point III (Cayman) CLO, Ltd.'s creditors are given until
March 22, 2007, to prove their claims to Martin Couch and Joshua
Grant, the company's 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.

Race Point III (Cayman) CLO Ltd.'s shareholders agreed on
March 22, 2007, to place the company into voluntary liquidation
under The Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

        Martin Couch
        Joshua Grant
        Maples Finance Ltd.
        P.O. Box 1093
        George Town, Grand Cayman
        Cayman Islands


TORUS (IG) II-C: Proofs of Claim Filing Ends on March 22
--------------------------------------------------------
Torus (IG) II-C, Ltd.'s creditors are given until March 22
to prove their claims to Dianne Scott and Emile Small, the
company's liquidator, 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.

Torus (IG) II-C Ltd.'s shareholders agreed on March 22, 2007, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

        Dianne Scott
        Emile Small
        Maples Finance Ltd.
        P.O. Box 1093
        George Town, Grand Cayman
        Cayman Islands


WOODALLEN GLOBAL: Sets Last Shareholders Meeting for March 21
-------------------------------------------------------------
Woodallen Global Portfolio, Ltd., will hold its final
shareholders meeting on March 21, 2007, at 10:00 a.m., at the
office of the company.

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Lawrence Edwards
          Attention: Jyoti Choi
          P.O. Box 258
          George Town, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8657
          Fax: (345) 945 4237


WOODALLEN GLOBAL FUND: Final Shareholders Meeting Is on Mar. 21
---------------------------------------------------------------
Woodallen Global Fund, Ltd., will hold its final shareholders
meeting on March 21, 2007, at 10:15 a.m., at the office of the
company.

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Lawrence Edwards
          Attention: Jyoti Choi
          P.O. Box 258
          George Town, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8657
          Fax: (345) 945 4237


WOODALLEN REVOLUTION: Sets Last Shareholders Meeting for Mar. 21
----------------------------------------------------------------
Woodallen Revolution Portfolio, Ltd., will hold its final
shareholders meeting on March 21, 2007, at 10:30 a.m., at the
office of the company.

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Lawrence Edwards
          Attention: Jyoti Choi
          P.O. Box 258
          George Town, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8657
          Fax: (345) 945 4237


WOODALLEN REVOLUTION FUND: Last Shareholders Meeting on Mar. 21
---------------------------------------------------------------
Woodallen Revolution Fund, Ltd., will hold its final
shareholders meeting on March 21, 2007, at 10:45 a.m., at the
office of the company.

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

          Lawrence Edwards
          Attention: Jyoti Choi
          P.O. Box 258
          George Town, Grand Cayman KY1-1104
          Cayman Islands
          Telephone: (345) 914 8657
          Fax: (345) 945 4237




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


AES GENER: Reports CLP70.3B Consolidated Net Profits for 2006
-------------------------------------------------------------
AES Gener said in a filing with securities regulator
Superintendencia de Valores y Seguros de Chile that its
consolidated net profits increased 60% to CLP70.3 billion in
2006, compared to 2005.

Business News Americas relates that AES Gener's operating profit
rose 13.8% to CLP130 billion in 2006, compared to 2005, due to
cheaper cost of fuel and increased sales to regulated customers
and on the spot market.

According to BNamericas, AES Gener's overall revenue increased
1.8% to CLP479 billion in 2006, from 2005.

The report says that AES Gener's operating costs decreased 2.7%
to CLP325 billion in 2006, compared to 2005, due to the lower
cost and consumption of fuel.  Ebitda increased to CLP184
billion in 2006, from CLP153 billion in 2005.  Non-operating
losses dropped 49% to CLP25.8 billion.

BNamericas underscores that AES Gener's sales increased 28.9% to
3.77 Tera Watt hours in the northern grid or SING in 2006, from
28.9% in 2005.  Sales in the central grid or SIC declined 2.9%
to 7.19 Tera Watt hours.

AES Gener's income from the SIC rose 4% to CLP253 billion in
2006, compared to 2005.  Its sales to regulated customers in the
SIC increased to CLP20.0 billion, primarily due to the node
price implemented in June 2005, BNamericas notes.

BNamericas emphasizes that AES Gener's SING income rose 3.8% to
CLP101 billion in 2006, from 2005, due to improved energy sales.

According to the report, AES Gener's total generation in the SIC
and SING increased 12% to 8.70 Tera Watt hours in 2006, compared
to 2005.

AES Gener's income from Colombian unit Chivor grew 2.8% to
CLP98.0 billion, BNamericas reports.  Sales in that unit rose
276 gigawatt hours.

AES Gener's equity increased to CLP902 billion as of
Dec. 31, 2006, from CLP878 billion in Dec. 31, 2005, BNamericas
states.

AES Gener is the second-largest electricity generation group in
Chile in terms of generating capacity (20% market share) with an
installed capacity of 2,428 megawatts.  Gener serves both the
Central Interconnected System or SIC and the Northern
Interconnected System or SING through various subsidiaries and
related companies, including affiliate Guacolda and the
TermoAndes subsidiary.  TermoAndes has a generation capacity of
642.8 megawatts, which while located in Argentina serves Chile's
SING via InterAndes transmission line.  Gener also participates
in electricity generation in Colombia through Chivor
hydroelectric plant of 1,000 megawatts, and a 25% participation
in Itabo's facilities in the Dominican Republic (432.5
megawatts).  Gener is 91.2% owned by AES (IDR rated 'B+' by
Fitch).

                        *    *    *

On June 16, 2006, Fitch Ratings upgraded the local and foreign
currency Issuer Default Ratings of AES Gener SA to 'BB+' from
'BB'.  Fitch also upgraded Gener's senior unsecured debt rating,
which consists of US$400 million senior notes due 2014, to
'BB+'.  Moreover, Fitch revised Gener's Rating Outlook to
Positive from Stable.

On May 24, 2006, Moody's Investors Service upgraded the senior
unsecured debt of AES Gener to Ba1 from Ba3, concluding a review
for possible upgrade.  Moody's said the rating outlook is
stable.


PHELPS DODGE: Freeport Offers US$6 Billion Notes to Fund Buy
------------------------------------------------------------
Freeport-McMoRan Copper & Gold Inc. announced that it intends to
offer a total of US$6 billion aggregate principal amount of
senior notes to the public in two tranches.  The first tranche
will be 8-year senior notes and the second tranche will be 10-
year senior notes.

Freeport-McMoRan intends to use the net proceeds from the
offering to fund a portion of the Phelps Dodge Corp. acquisition
consideration and pay related fees and expenses.  The closing of
this offering is conditioned on the Phelps Dodge acquisition.
As previously announced, each company will hold a special
meeting of stockholders on March 14, 2007, to vote on the
proposed acquisition of Phelps Dodge by Freeport-McMoRan.

The joint book-running managers for the offering are JPMorgan
and Merrill Lynch & Co.  Copies of the preliminary prospectus
supplement relating to this offering may be obtained by
contacting J.P. Morgan Securities Inc., 270 Park Avenue, 8th
Floor, New York, New York, 10017 or Merrill Lynch & Co., 4 World
Trade Center, New York, New York, 10080.

This announcement is neither an offer to sell nor a solicitation
of an offer to buy any securities and shall not constitute an
offer, solicitation or sale in any jurisdiction in which such
offer, solicitation or sale would be unlawful.  Any offers of
the notes will be made exclusively by means of a prospectus and
prospectus supplement.

           About Freeport-McMoran Copper & Gold Inc.

Freeport-McMoRan Copper & Gold Inc. is a Louisiana based
producer of copper and gold through its Grasberg mine in
Indonesia.  Freeport's revenue in 2006 was US$5.8 billion.

                 About Phelps Dodge Corp.

Phelps Dodge Corp. (NYSE: PD) http://www.phelpsdodge.com/-- is
one of the world's leading producers of copper and molybdenum
and is the largest producer of molybdenum-based chemicals and
continuous-cast copper rod.  The company employs 15,000 people
worldwide.  Phelps Dodge has mining operations in Chile, Peru,
Colombia, Venezuela and Ecuador, among others.

                  *          *          *

As reported in the Troubled Company Reporter-Latin America on
March 6, 2007, Moody's Investors Service affirmed the B1 (LGD4,
63%) rating on Phelps Dodge's Cyprus Amax notes and on Phelps
Dodge's other existing senior unsecured notes.


PHELPS DODGE: Moody's Affirms B1 Rating on Cyprus Amax Notes
------------------------------------------------------------
Moody's Investors Service affirmed the B1 (LGD4, 63%) rating on
Phelps Dodge's Cyprus Amax notes and on Phelps Dodge's other
existing senior unsecured notes.

Moody's also assigned a B2 (LGD5, 88%) senior unsecured rating
to Freeport-McMoRan Copper & Gold Inc.'s US$6 billion notes
issue.  The notes will be unsecured and unguaranteed obligations
of Freeport-McMoRan.  Moody's also affirmed Freeport's Ba3
corporate family rating and its other ratings:

   -- the Baa3 (LGD1, 1.0%) senior secured rating on
      Freeport-McMoRan's US$500 million secured revolver;

   -- the Ba2 (LGD2, 29%) senior secured ratings on each of
      Freeport-McMoRan's US$1 billion secured revolver, US$2.5
      billion secured Term Loan A, and US$7.5 billion secured
      Term Loan B; and

   -- the Ba2 (LGD2, 29%) rating on Freeport-McMoRan's existing
      6.875%, 10.125% and 7.20% senior unsecured notes.

The ratings actions are based on the assumption that Freeport-
McMoRan completes the acquisition of Phelps Dodge on
substantially the terms agreed.  The ratings reflect the overall
probability of default of Freeport-McMoRan, to which Moody's
assigns a PDR of Ba3 (LGD4, 50%).  The ratings outlook for both
Freeport-McMoRan and Phelps Dodge is stable.

The Ba3 corporate family rating reflects Freeport-McMoRan's very
high debt level of approximately US$19 billion and what Moody's
believes will be a protracted time frame for debt reduction in
the face of softening metals prices and continued high cost
challenges.  The rating also considers the high concentration in
copper and resultant variability in earnings and cash flow,
significant capital expenditures, and a high level of reliance
on the Grasberg mine in Indonesia.  The rating also reflects the
cultural challenges inherent in the acquisition of the larger
Phelps Dodge by Freeport-McMoRan, and the execution and
political risk of Phelps Dodge's development project in the
Congo.  The Ba3 rating favorably considers the company's leading
positions in copper and molybdenum, a significant amount of gold
production, the low cost, long-life reserves at PT-FI, and
improved operating and political diversity.

Rating assigned is:

  Issuer: Freeport-McMoRan Copper & Gold Inc.

     -- Senior Unsecured Notes: B2, LGD5, 88%

Ratings affirmed are:

  Issuer: Freeport-McMoRan Copper & Gold Inc.

     -- Corporate Family Rating: Ba3

     -- Probability of Default Rating: Ba3

     -- US$0.5 billion Senior Secured Revolving Credit facility,
        Baa3, LGD1, 1.0%

     -- US$1.0 billion Senior Secured Revolving Credit Facility,
        Ba2, LGD2, 29%

     -- US$2.5 billion Senior Secured Term Loan A, Ba2,
        LGD2, 29%

     -- US$7.5 billion Senior Secured Term Loan B, Ba2,
        LGD2, 29%

     -- US$340 million 6.875% Senior Unsecured Notes due 2014,
        Ba2, LGD2, 29%

     -- US$272 million 10.125% Senior Unsecured Notes due 2010,
        Ba2, LGD2, 29%

     -- US$0.2 million 7.20% Senior Unsecured Notes due 2026,
        Ba2, LGD2, 29%

  Issuer: Cyprus Amax Minerals Company

     -- US$60.1 million 7.375% Senior Notes due 2007, B1,
        LGD4, 63%

  Issuer: Phelps Dodge Corporation

     -- US$107.9 million 8.75% Senior Notes due 2011, B1,
        LGD4, 63%

     -- US$115 million 7.125% Senior Notes due 2027, B1,
        LGD4, 63%

     -- US$150 million 6.125% Senior Notes due 2034, B1,
        LGD4, 63%

     -- US$193.8 million 9.50% Senior Notes due 2031, B1,
        LGD4, 63%

                 About Phelps Dodge Corp.

Phelps Dodge Corp. (NYSE: PD) http://www.phelpsdodge.com/-- is
one of the world's leading producers of copper and molybdenum
and is the largest producer of molybdenum-based chemicals and
continuous-cast copper rod.  The company employs 15,000 people
worldwide.  Phelps Dodge has mining operations in Chile, Peru,
Colombia, Venezuela and Ecuador, among others.




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


BANCOLOMBIA: Wants to Reduce Efficiency Ratio to 55% This Year
--------------------------------------------------------------
Bancolombia President Jorge Londono said in a conference call
that the bank is aiming to decrease its efficiency ratio about
10 percentage points to 55% in 2007.

According to Business News Americas, Bancolombia's cost-to-
income ratio deteriorated to 64.4% in 2006 from 54.9% in 2005 on
non-recurring costs.

Mr. Londono told BNamericas that last year's costs were above
management expectations, due to donations of foreclosed assets
given to universities and educational institutions to decrease
taxes COP7 billion.

Bancolombia's consolidated earnings declined 20.8% to COP750
billion in 2006, mainly due to the decrease of bond prices in
the second quarter of 2006, BNamericas states.

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. 6, 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'.

Fitch said the rating outlook is stable.


BBVA COLOMBIA: Earns COP29.5 Billion in January 2007
----------------------------------------------------
BBVA Colombia said in a press release that its profit increased
59.7% to COP29.5 billion in January 2007, compared to January
2006.

BBVA Colombia's loans increased 30.0% to COP9.40 trillion in
January 2007, from January 2006, Business News Americas reports.

Headquartered in Bogota, Colombia, BBVA Colombia --
http://www.bbva.com.co/-- is engaged in the holding and
accomplishment of all operations, acts and contracts of banking
establishments.  It is 95.16% owned by Banco Bilbao Vizcaya
Argentaria.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
March 13, 2006, Moody's Investors Service assigned a 'Ba3' long-
term foreign currency deposit rating on BBVA Colombia.  Moody's
changed the outlook to stable from negative.


NOVELL INC: Has Net Revenues of US$230 Mil. in 2007 First Qtr.
--------------------------------------------------------------
Novell Inc. announced preliminary financial results for its
first fiscal quarter ended Jan. 31, 2007.  These financial
results are preliminary because Novell, during the third fiscal
quarter of 2006, began a self-initiated, voluntary review of the
company's historical stock-based compensation practices and
related potential accounting impact.  The financial results
reported today do not take into account any adjustments that may
be required in connection with the completion of the stock-based
compensation review and should be considered preliminary until
Novell files its Form 10-Q report for the third fiscal quarter
ended July 31, 2006, its Form 10-K report for the full fiscal
year ended Oct. 31, 2006, and its Form 10-Q report for the first
fiscal quarter ended Jan. 31, 2007.

                     Financial Results

For the first fiscal quarter 2007, Novell reported net revenue
of US$230 million, compared to net revenue of US$242 million for
the first fiscal quarter 2006.  The loss available to common
stockholders from continuing operations in the first fiscal
quarter 2007 was US$20 million, or US$0.06 loss per common
share.  This compares to income available to common stockholders
from continuing operations of US$4 million, or US$0.01 per
diluted common share, for the first fiscal quarter 2006.

On a non-GAAP basis, which includes stock-based compensation,
adjusted loss available to common stockholders from continuing
operations for the first fiscal quarter 2007 was US$3 million,
or US$0.01 loss per common share.  This compares to non-GAAP
adjusted income available to common stockholders from continuing
operations of US$4 million, or US$0.01 per diluted common share,
for the first fiscal quarter 2006.

During the first fiscal quarter 2007, Novell reported US$15
million of revenue from Linux Platform Products, up 46% year-
over-year, and US$91 million of invoicing, up 659% year-over-
year. Revenue from Identity and Access Management was US$24
million, down 7% year-over-year.  Combined revenue from Open
Enterprise Server and products related to NetWare(R) declined 18
percent from the year ago period.

"We are very pleased with our first quarter Linux results and
momentum," said Ron Hovsepian, President and CEO of Novell.  "We
have made good progress toward implementing our strategic
initiatives and achieving our key fiscal year 2007 milestones.
Overall, our quarterly results were mixed and we will need to
improve our execution in our identity, security and systems
management businesses.  We feel confident that we are on the
right path to put Novell on target for sustained profitability."

Cash, cash equivalents and short-term investments were US$1.8
billion at Jan. 31, 2007, up from US$1.5 billion last quarter.
Days sales outstanding in accounts receivable was 57 days at the
end of the first fiscal quarter 2007, down from 59 days in the
year ago quarter.  Deferred revenue was US$728 million at the
end of the first fiscal quarter 2007, up US$361 million, or 98%,
from the prior year.  Cash flow from operations was US$348
million for the first fiscal quarter 2007, up from US$25 million
from the first fiscal quarter 2006.  Both deferred revenue and
cash flow from operations were up from the prior year due to the
Microsoft agreement completed in the quarter.

          Update on Stock-Based Compensation Review

Novell's previously announced, self-initiated review of its
historical stock-based compensation practices, which is being
conducted by the Audit Committee of its Board of Directors with
the assistance of independent outside counsel, is ongoing.
Novell expects to file its Form 10-Q report for the third fiscal
quarter ended July 31, 2006, its Form 10-K report for the full
fiscal year ended Oct. 31, 2006, and its Form 10-Q report for
the first fiscal quarter ended Jan. 31, 2007, following the
conclusion of the review.

        Update on Preliminary Full Fiscal Year 2006 Results

Because of the stock-based compensation review, the financial
results of the third and fourth fiscal quarters 2006 and full
fiscal year 2006 remain preliminary.  The company is required to
revise results for those periods as a result of material changes
in estimates.  Accordingly, an increase of US$15 million in
other accrued liabilities as a result of a change in estimate
identified during the first fiscal quarter 2007 must be
recognized as an expense in the third fiscal quarter 2006.
Similarly, a decrease of US$2 million in accrued compensation as
a result of a change in estimate identified during the first
fiscal quarter 2007 must be recognized as a reduction of expense
in the fourth fiscal quarter 2006.  As a result, the following
changed in the full fiscal year 2006:

   -- Cost of revenue and operating expenses decreased a
      combined US$13 million,

   -- Income available to common stockholders from continuing
      operations decreased from US$21 million, or US$0.06 per
      diluted common share, to US$7 million, or US$0.02 per
      diluted common share, and

   -- Non-GAAP adjusted income available to common stockholders
      from continuing operations of US$29 million increased to
      US$30 million, and adjusted income per diluted common
      Share of US$0.08 remained unchanged.

                     Financial Outlook

Novell management reiterates the following financial guidance:

For the full fiscal year 2007:

   -- Net revenue is expected to be between US$945 million and
      US$975 million.

   -- On a non-GAAP basis, adjusted income from operations is
      expected to be between breakeven and US$10 million,
      excluding an estimated US$35 million to US$45 million in
      stock-based compensation expense.

   -- Novell is targeting fourth fiscal quarter 2007 exit rate
      operating margins, as described below, of between 5 and
      7%.

For the full fiscal year 2008:

   -- Novell is targeting fourth fiscal quarter 2008 exit rate
      operating margins of between 12 and 15 percent.

Exit rate operating margins are defined as an annualized run
rate expense level at the end of the period that, when compared
to the full fiscal year's revenue, would result in a pro forma
operating margin for the year.

                Non-GAAP Financial Measures

To supplement Novell's preliminary consolidated unaudited
condensed financial statements presented in accordance with GAAP
and to better reflect comparative quarter-over-quarter and year-
over-year operating performance, Novell uses non-GAAP financial
measures of adjusted diluted income (loss) available to common
stockholders from continuing operations and adjusted diluted
income (loss) per common share from continuing operations, which
reflect the exclusion of certain expenses and gains, and
adjusted diluted weighted average shares outstanding.  Novell's
financial outlook uses a non-GAAP income from operations
measure.  These non-GAAP financial measures do not replace the
presentation of Novell's GAAP financial results but are provided
to improve overall understanding of current financial
performance and prospects for the future.

Novell considers non-GAAP adjusted diluted income (loss)
available to common stockholders from continuing operations to
be after-tax income (loss) generated from continuing operations
excluding certain non-recurring or non-core items such as, but
not limited to, restructuring expenses, asset impairments,
actual and estimated litigation judgments and settlements, the
write-off of acquired in-process research and development, and
gains (losses) on the sale of business operations, long-term
investments and property, plant and equipment.

In the full fiscal year 2006, Novell excluded stock-based
compensation expense from non-GAAP adjusted diluted income
(loss) available to common stockholders from continuing
operations for transition purposes following the adoption of FAS
123R, "Accounting for Stock-Based Compensation," to provide
investors with an easier comparison to the prior year's
performance.  Beginning in the first fiscal quarter 2007, Novell
no longer excludes stock-based compensation expense from its
non-GAAP financial measures.  Accordingly, the fiscal year 2006
non-GAAP financial measures were revised to include stock-based
compensation for comparative purposes to the current year.

Headquartered in Waltham, Massachusetts, Novell, Inc. --
http://www.novell.com/-- delivers Software for the Open
Enterprise.  With more than 50,000 customers in 43 countries,
Novell helps customers manage, simplify, secure and integrate
their technology environments by leveraging best-of-breed, open
standards-based software.

Novell has sales offices in Argentina, Brazil and Colombia.

                      Waiver of Default

As reported in the Troubled Company Reporter on Sept. 29, 2006,
Novell Inc., received a letter from Wells Fargo Bank, NA, the
trustee with respect to company's USUS$600 million 0.50%
convertible senior debentures due 2024, which asserts that
Novell is in default under the indenture because of the delay in
filing its Form 10-Q for the period ended July 31, 2006.

On Nov. 10, 2006, Novell completed its consent solicitation with
respect to certain amendments to, and a waiver of rights to
pursue remedies available with respect to certain alleged
defaults under, the provisions of the indenture, governing its
0.50% convertible senior debentures due 2024.

Under the terms of the Consent Solicitation Statement, Novell
will pay an additional 7.33% per annum in special interest on
the Debentures from and after Nov. 9, 2006, to Nov. 8, 2007.

As reported in the Troubled Company Reporter-Latin America on
Jan. 31, 2007, Novell Inc. received an additional notice of non-
compliance from the staff of the NASDAQ Stock Market, pursuant
to NASDAQ marketplace rule 4310(c)(14), due to the delay in
filing its annual report on Form 10-K for the fiscal year ended
Oct. 31, 2006.


* COLOMBIA: S&P Lifts Foreign Currency Credit Rating to BB+
-----------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term foreign
currency sovereign credit rating on the Republic of Colombia to
'BB+' from 'BB'.  At the same time, Standard & Poor's raised its
long-term local currency sovereign credit rating on Colombia to
'BBB+' from 'BBB'.  Standard & Poor's also raised its short-term
local currency rating on the republic to 'A-2' from 'A-3'.  The
outlooks on the long-term ratings were revised to stable from
positive.

"The upgrade is supported by Colombia's significantly improved
growth prospects and fiscal performance," said Standard & Poor's
credit analyst Richard Francis.  "Colombia has enjoyed robust
economic growth while boosting tax receipts and administering a
better tax administration, which mitigates significant spending
pressure stemming from military build-up, increased pension
outlays, and an expensive ongoing intergovernmental transfers
system," he added.

Mr. Francis explained that, as a result of this positive trend,
the general government deficit fell to an estimated 1.3% in 2006
from 1.8% in 2005 and is expected to further improve to 1.2% in
2007.  The better growth trajectory stems largely from the sharp
rise in investment registered over the past five years.
Investment to GDP is expected to exceed 27% by year-end 2007, a
ratio similar to that of the Republic of Chile as well as some
Southeast Asian countries such as the Kingdom of Thailand.

Lower debt and reduced external vulnerabilities also support the
upgrade.  "Net general government debt to GDP is expected to
gradually fall to 31% of GDP by year-end 2007, slightly below
the 35% BB median, from 35% in 2006," Mr. Francis said.  "The
relative debt burden is forecast to continue to fall in light of
the strong economy and a rise in privatization receipts.  In
fact, the government has announced its intent to engage in a
still-to-be-determined amount of debt buybacks in 2007," he
continued.

Standard & Poor's said that Colombia's external indicators
continue to improve because of a substantial increase in exports
and remittances, which have boosted current account receipts, as
well as continued prepayment of public sector external debt.
However, despite these improvements, the government's underlying
fiscal position remains inflexible because of large,
constitutionally mandated transfers to local governments, large
under-funded public pension systems, and the heavy interest
burden (nearly 14% of revenue).  Successful reform of the
intergovernmental transfers law will be important to allay
spending pressures beyond 2008; prospects for solid reform were
reduced when Congress amended the proposal put forward by the
administration.

"Further tax and pension reform leading to a more rapid
improvement in the government's fiscal prospects and a lighter
debt burden would contribute to higher creditworthiness," noted
Mr. Francis.  On the other hand, significant fiscal slippage or
a sharp deterioration in national security could result in
downward pressure on ratings," he concluded.




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


ALCATEL-LUCENT: European Group Committee Slated for March 16
------------------------------------------------------------
Alcatel-Lucent will bring together an exceptional European Group
Committee on March 16 under the leadership of chief executive
Patricia Russo, in response to the employee representative's
request made during the European Group Committee on Feb 23.

During the March 16 meeting, the European perspectives of
Alcatel-Lucent will be presented and discussed, as well as the
strategies of the different market segments.

It has also been reaffirmed to the French Prime Minister that:

   -- the French restructuring project will be based exclusively
      on volunteers;

   -- France remains a strategic center of research and
      development, especially in mobile broadband technologies,
      thanks to the acquisition of Nortel's UMTS activity;

   -- Alcatel-Lucent confirms its involvement in competitive
      clusters, in particular "Images & Networks" in Brittany.

Moreover, Alcatel-Lucent confirmed its willingness to actively
participate in the French government initiative to create a
working group on the future of telecoms in Europe.

                    About Alcatel-Lucent

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.

Alcatel-Lucent maintains operations in 130 countries, including,
Austria, Germany, Hungary, Italy, Netherlands, Ireland, Canada,
United States, Costa Rica, Dominican Republic, El Salvador,
Guatemala, Peru, Venezuela, Australia, Brunei and Cambodia.

                        *     *     *

As of Feb. 7, Alcatel-Lucent's Long-Term Corporate Credit rating
and Senior Unsecured Debt carry Standard & Poor's BB- rating.
It's Short-Term Corporate Credit rating stands at B.

Moody's, on the other hand, put a Ba2 rating on Alcatel's
Corporate Family and Senior Debt rating.  Lucent carries Moody's
B1 Senior Debt rating and B2 Subordinated debt & trust preferred
rating.

Fitch rates Alcatel's Issuer Default Rating and Senior Unsecured
Debt rating at BB.




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


BRITISH AIRWAYS: Opposes US-EU Open Skies Deal
----------------------------------------------
British Airways plc is opposing a proposed "open skies" deal
between the European Union and the United States as it may lose
its protected flight status at Heathrow airport and face intense
competition, according to published reports.

Under the deal, airlines will be allowed to make transatlantic
flights from any nation that could lead to reduced fares, AJC
Consultants relates.

The airlines will also be permitted to land and take-off from
Heathrow.

However, FT says, the EU has won the right to restrict US
investment in its airlines.

"We do not believe this is a good deal for Europe or the U.K.
We have reached a dead-end rather than a pathway to a true open
aviation area," a spokeswoman for British Airways said.

U.S. and EU negotiators will present the draft deal to transport
ministers on March 22.  If approved, the deal is expected to
boost transatlantic passenger numbers by 26 million as well as
create 80,000 jobs, Marianne Barriaux writes for The Guardian.

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

                        *     *     *

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


BRITISH AIRWAYS: Reports 4.2% Decline in February 2007 Traffic
--------------------------------------------------------------
British Airways's traffic has decreased 4.2% in February 2007,
compared to the same month in 2006, Reuters reports.

British Airways said in a statement that its load factor, a
measure of how efficiently it filled planes, dropped to 67.5% in
February 2007, from 71.2% in February 2006.

Premium bookings had been significantly affected by a cabin
crew's strike threat, British Airways told Reuters.

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. 8, 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.


* GUATEMALA: S&P Says Banking Issues Has No Effect on Ratings
-------------------------------------------------------------
In the past year, several events have drawn attention to the
Guatemalan banking system.  Two banks were intervened by
authorities and their assets and liabilities were ceded to other
banks.  Also, Standard and Poor's Ratings Services have seen
renewed merger and acquisitions or M&A activity in Guatemala
that cannot be delinked from the M&A activity Standard and
Poor's have seen in other countries.  Unfounded rumors of
intervention of Banco G & T Continental S.A. sparked a deposit
run that was ultimately contained in its early stages.  In this
article, Standard & Poor's addresses the main issues facing the
fast-evolving Guatemalan banking system.

                Frequently Asked Questions

Bancafe was intervened in October 2006, and Banco de Comercio
was intervened in January 2007.  Did this have a negative impact
on the ratings in Guatemala?

No.  The 'BB/Stable/--' sovereign credit rating on Guatemala was
affirmed Oct. 26, 2006, after the intervention of Bancafe.  The
ratings on Guatemala are supported by a long track record of
cautious fiscal policies and improving transparency on
governance and public institutions, continuing progress toward
political pluralism with an increasing role for Congress in
making policy, diminished gross external financing requirements
supported by a large flow of family remittances, a strong
international reserves position, and improved economic prospects
as a result of the Dominican Republic Central America Free Trade
Agreement.  The ratings are constrained by very limited fiscal
flexibility due to the inability to increase tax revenue,
poverty, highly skewed income distribution that continues to
constrain economic and social development, and the persistence
of external imbalances.  The stable outlook could change if new
irregularities in the system that put additional pressure on
financial markets and government fiscal accounts emerge.

The intervention of these troubled banks (none of them rated by
Standard & Poor's), is part of what Standard & Poor's see as a
natural evolution of the financial system in Guatemala.  Larger
and more institutionalized banks absorbing the assets and
liabilities of weaker intervened banks could ultimately result
in a stronger banking system.  As long as such events are
isolated, Standard & Poor's view them as positive for the
system.  Standard & Poor's expect the interventions to result in
better controls, cost efficiencies, and institutionalization of
the system.

In both banking interventions, the intervened banks' assets were
absorbed by local banks: Agromercantil, Reformador, and Banrural
absorbed Bancafe; Banco Industrial absorbed Banco de Comercio.
These assets were composed of existing liquid assets of the
extinct banks, funds provided by the country's savings
protection fund or FOPA, and the existing collaterals of the
loan portfolio.  As a result, Standard & Poor's expect the
potential loss of absorbed assets to be limited, while
depositors' savings were protected in full by the FOPA.

Has regulation improved?

Yes, but more is needed. Direct and indirect supervision of
offshore operations, a potential source of risk, resulted in the
timely intervention of Bancafe without a major contagion to the
rest of the system.  Also, by acting in a timely manner,
regulators showed an important level of independence and
improved institutionalism.  Better crisis management
capabilities are expected to arise from these events, while
initiatives to improve local regulation might also evolve from
these situations.

There are still clear areas of opportunity, including a more
conservative framework of risk weights and credit-loss
provisioning, continuing efforts to meet international
standards, and more stringent limits for hybrid capital with
low-equity content.

In Standard & Poor's opinion, the existence of related parties
adds risk to a bank's overall asset-quality profile.  In the
case of Banco de Comercio, that proved to be fatal.  Regulators
must find ways to detect such practices in a timely manner,
particularly in offshore operations or when such activities are
done through vehicles different from the regulated offshore
operations.

Who will benefit from recent events?

Overall and in the long run, the main beneficiaries are probably
the banking users.  Major banks are better managed and
institutionalized, financially stronger, and, as a result, the
whole system will be able to handle better any shock in the
future.  Major banks and other banks with good reputations
should also benefit from a flight-to-quality effect, as users
might migrate their savings to such institutions.  Economies of
scale will make major banks better off as they are more capable
to absorb costs and reduce redundancies while capitalizing on an
increased share in a cheaper source of funding-deposits.

Has M&A activity reached an end?

No.  On one hand, intervention of banks has accelerated the
consolidation of the system, but Standard & Poor's have also
seen large local banks interested in other institutions (Banco
Industrial absorbing Banco de Occidente, while Banco G&T
Continental is in talks with Banco de Exportaci˘n).  In the past
month, other acquisitions were announced: Banco Agromercantil
(not rated) announced the acquisition of Banco Corporativo (not
rated), while Banco Reformador (not rated) announced that it
will purchase Banco SCI (not rated).  One reason behind M&A
activity from large local players has been to expand their
market share in the country and to build entry barriers for
regional players and/or their global parents willing to
consolidate the region.  On the sell side, smaller banks without
a clear focus or without scale might be tempted to sell,
particularly if current conditions have put a strain on them.

Have the interventions of Bancafe and Banco de Comercio and the
recent wave of M&A activity put pressure on the ratings on Banco
Industrial and Banco G&T Continental?

No.  Currently both banks have a stable outlook in their
respective ratings, which already factor in the industry risk of
the Guatemalan banking system.  In addition, at this moment,
both banks are rated one notch below the sovereign.  In other
words, the direction of the ratings is driven mainly by the
credit quality of the rated entities themselves.

Will the FOPA need more capital?

Yes, the FOPA has been depleted.  Although the performance of
the assets ceded will ultimately dictate the need for more
capital for FOPA, the authorities' flexibility has been reduced
as most of FOPA's resources have been committed.  Already, an
agreement between the government and local banks to capitalize
the FOPA has been signed; however, it is unclear how rapidly
that will happen, as it is our understanding that the local
banks' contribution will be made over time.  In Standard &
Poor's view, FOPA has to be replenished in the very short term
to be ready to step in if another midsize bank stumbles.

What are the major weaknesses in the Guatemalan banking system?

Clearly, capitalization is the weakest spot, while other areas
of opportunity are efficiency, risk-management, and corporate
governance.  In Standard & Poor's view, although regulatory
capital ratios are well above minimum capitalization ratios
required by local authorities, the Guatemalan system compares
negatively with other financial systems in Latin America when
analyzed by adjusted capitalization.  The main difference
between statutory capitalization and adjusted capitalization in
Guatemala lies in how much equity credit is given by regulators
to subordinated debt (up to 100% as long as Tier 2 capital does
not exceed the amount of Tier 1 capital), and how much equity
content Standard & Poor's assign, which, in the case of
subordinated debt with deferral features, could have up to 10%
of adjusted total equity and nil equity content for adjusted
common equity.  Better efficiency, measured by noninterest
expense to total revenues, will lead to higher capital
generation, as efficiency is, generally speaking, the most
important constraint on Guatemalan banks' profitability.  In
addition, better risk-management capabilities and continued
efforts in corporate governance should ultimately help to
strengthen the banking system.




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


AIR JAMAICA: Launches Special Flights for ICC Cricket World
-----------------------------------------------------------
AIR Jamaica has launched special flights from South Florida and
around the Caribbean region for the ICC Cricket World Cup this
year, The Jamaica Observer reports.

The implementation of the special service was in response to
demand from Caribbean nationals in South Florida, Air Jamaica
Cricket World Cup and special events director Richard Lue told
Radio Jamaica.

According to The Observer, Air Jamaica will offer flights from
South Florida during the group and semi-final stages.  It will
also fly passengers into Jamaica on the day of a match and
depart on the same day.

The JM038 plane will leave Fort Lauderdale on March 13, 19 and
24 and on April 24 at 6:45 a.m., The Observer notes.  The JM039
aircraft will be scheduled to depart Kingston at 7:30 p.m.,
returning to Fort Lauderdale at 10:10 p.m.

The Observer underscores that regional flights have also been
scheduled for the semi-final rounds.  A plane will depart
Barbados at 5:10 a.m. on April 24 and arrive in Kingston at 7:00
a.m. on the same day.  After the game, the plane will return to
Barbados via St. Lucia.  On April 25, two flights will leave
Kingston for St. Lucia at 2:30 a.m., and return at 9:00 p.m. to
give fans the chance to see the second semi-final.

Air Jamaica will also have two flights on April 28 from Kingston
to Barbados, leaving at 2:30 a.m. and returning at 9:00 p.m. to
facilitate the viewing of the final, The Observer states.

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

                        *     *     *

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


AIR JAMAICA: President Assures Airline's Survival
-------------------------------------------------
Air Jamaica President and Chief Executive Officer Michael Conway
assured The Nation Newspaper that despite the airline's
continued losses, it won't end up like the British West Indies
Airlines, which shut down last year.

Mr. Conway commented to The Nation, "They've [the Jamaican
government] made that quite clear very recently, within the last
few weeks, where they approved the go-forward business plan,
which includes with it a commitment to put in an additional
US$125 million over the next two years."

Mr. Conway told The Nation that the "multifaceted plan" will
launch some very fundamental changes in how Air Jamaica does
business, including:

          -- matching its fleet to market demands, and

          -- substantial upgrade of its maintenance capabilities
             in terms of modern software and supply chain
             improvements to make maintenance operation more
             efficient.

Lay-offs weren't part of the restructuring plan for Air Jamaica,
The Nation notes, citing Mr. Conway.

Meanwhile, Air Jamaica's increased service in Barbados is
surpassing its expectations, The Nation adds.

As reported in the Troubled Company Reporter-Latin America on
Jan. 12, 2007, Air Jamaica launched in January a daily non-stop
A-320 service between John F. Kennedy in New York and Grantley
Adams International Airport in Barbados with 138 seats in
Economy and 12 in Executive Business Class.

The Nation relates that Air Jamaica officials are considering
further expansions.

"Even at this early point of measurement, the service [the daily
non-stop service to Barbados launched on Jan. 10] we put in is
either meeting or exceeding our expectations, so we're quite
pleased with that.  We are, in addition to the service we just
added, looking at some other opportunities, but have not made a
decision.  But, whatever decisions we do make it would likely be
an increase in service.  Certainly not a decrease," Mr. Conway
told The Nation.

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

                        *     *     *

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


DYOLL INSURANCE: Coffee Farmers Will Wait Before Getting Paid
-------------------------------------------------------------
Coffee farmers will still have to wait before they receive the
US$200 million from Dyoll Insurance Company, as trustees of the
insurance scheme will still work out a method of payment, Radio
Jamaica reports.

As reported in the Troubled Company Reporter-Latin America on
March 1, 2007, Dyoll Insurance's liquidators and officials of
the Jamaica Agricultural Society, which represents coffee
farmers, were able to reach an agreement on compensation.  The
coffee farmers were hoping that an out-of-court settlement would
be reached with the liquidators soon.  Appointed liquidators
Kenneth Krys and John Lee at RSM Cayman met with coffee farmers
to negotiate an out-of-court settlement for the payment of
US$200 million that the farmers demand for the damage they
suffered during the Hurricane Ivan in 2004.

According to Radio Jamaica, over 2,000 farmers will be paid.

Senator Norman Grant, Jamaica Agricultural Society's head, told
Radio Jamaica that he will be requesting that the farmers be
paid as early as possible.

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




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


ADVANCED MARKETING: Wants to Pay Worker Sale-Related Incentives
---------------------------------------------------------------
Advanced Marketing Services and its debtor-affiliates ask the
United States Bankruptcy Court for the District of Delaware for
approval for the payment of:

a) sale-related incentives to AMS employees including
    members of senior management (AMS Management Incentive
    Plan)

b) retention plan to certain AMS non-management employees (AMS
    Employee Retention Plan)

c) allowing all payments thereunder as administrative expenses
    of the estates.

This request is being made to ensure the continued availability
of qualified, trained, and motivated personnel and executives
necessary to bring an AMS sale to completion and to oversee and
implement the complicated business arrangements necessary to
effect a sale of the business or its material parts and an
inventory return program.

As reported in the Troubled Company Reporter on Feb. 27, 2007,
AMS and Baker & Taylor Inc. signed on Feb. 16, 2007, an asset
purchase agreement for the sale of majority of Debtor's assets.

As reported in the Troubled Company Reporter on Feb. 23, 2007,
the Court approved the asset purchase agreement between
Publishers Group West Inc. and Perseus Books LLC pursuant to
which PGW will transition to Perseus the books and business of
all publishers who consented to the deal.

The aforementioned plans were formulated to provide incentives
and reward the performance of critical employees who were called
upon to take on additional responsibilities and expend
significantly more hours working than contemplated by the normal
terms of their employment, as part of Debtors' efforts to
negotiate and close the PGW transaction and solicit interest of
Baker & Taylor and potential overbidders for the AMS business.

The approval and implementation of the AMS Management Incentive
Plan and AMS Employee Retention Plan assures not only continued
services for the consenting publishers under the asset purchase
agreement between PGW and Perseus, but also a significant
reduction in claims against the estate of PGW.  Under the
Perseus deal, PGW will continue to provide transition services
to Perseus following the closing.

Furthermore, the services of these key employees will be
required in order to complete the return of US$40 million of
inventory not to be acquired by Baker & Taylor in the 20 days
contemplated by the asset purchase agreement the company signed
with Baker & Taylor.

             Management Incentive Plan Summary

A pool of funds shall be made available to the AMS Incentive
Plan Participants, conditioned upon the occurrence of either the
closing of the asset to Baker & Taylor or a transaction that is
higher or otherwise better.

As a further condition to payment, AMS has required the
successful completion of an inventory return program.  The Baker
& Taylor sale documents currently provide that, unless otherwise
agreed by Baker & Taylor, all inventory must be removed from
AMS's facilities within 20 days of closing to the extent that it
is not sold to Baker & Taylor.

The initial amount of the Incentive Compensation Pool shall be
US$765,000.  Additional compensation will only be earned upon
consummation of an alternative transaction of a higher or better
value than the value that the Debtors would receive upon
consummation of the Baker & Taylor sale.

The increase, if any, to the Incentive Compensation Pool will
only increase as the aggregate consideration received by the
Debtors increases, subject to the further condition that the
aggregate consideration received by the Debtors are sufficient
to pay the break up fee (if any) owed to Baker & Taylor under
the asset purchase agreement.

Debtors propose that the Incentive Compensation Pool receive 1%
of any additional consideration in excess of the purchase price
under the asset purchase agreement.  For any additional
consideration that exceeds US$2 million above the purchase price
under the asset purchase agreement, the Incentive Compensation
Pool shall receive 2% of such excess consideration.

               Employee Retention Plan Summary

The new AMS Employee Retention Plan provides for payments to
certain additional key employees of AMS based on their continued
employments with AMS.  The Debtors have determined that the
total anticipated cost of the AMS Employee Retention Program is
approximately US$915,000, net of applicable employer paid taxes.
The AMS Employee Retention Program applies to approximately 67
employees.

Pursuant to the Plan, key employees are eligible to receive
bonuses in the range of US$7,500 to US$50,000, based on (1) a
conideration of their compensation in effect upon their approval
for participation in the AMS Employee Retention Plan, (2)
employment position classification, and (3) continued employment
with the Debtors on April 30, 2007.  Importantly, any key
employee that receive an offer of employment by Baker & Taylor
will not be eligible for payment under the plan.

Debtors believe that the potential costs associated with the
loss of employees would be far in excess of the combined costs
of the AMS Employee Retention Plan, and that without the Plan,
the employees will leave, causing an interruption in AMS's
business operations and irreversible harm to the value of the
estates.

The Debtors also believe that the loss of these key employees
may make it impossible to close the sale to Baker & Taylor and
thus to realize value for the estate, and will make the
inventory program contemplated by the agreement with Baker &
Taylor more expensive to implement.

                     Debtors Arguments

Implementation of the AMS Employee Programs pursuant to Section
363(b) of the Bankruptcy Code is a valid Exercise of the
Debtors' judgment.

  -- Debtors have articulated a valid business reason for
     implementing the AMS Management Incentive Plan.

  -- The AMS Employee Retention Plan is supported by a valid
     business reason.

Implementation of the AMS Employee Programs may additionally be
authorized pursuant to Section 105(a) of the Bankruptcy Code.

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.


ATSI COMMS: To Redeem Series H Preferred Stock on April 26
----------------------------------------------------------
ATSI Communications Inc. will redeem each share of its Series H
Convertible Preferred Stock outstanding on April 26, 2007, for
one share of the company's common stock.  After the Redemption
Date, all certificates representing shares of the Series H
Convertible Preferred Stock will be deemed to be converted into
and to represent the same number shares of common stock.

Holders of the Series H Convertible Preferred Stock will receive
a notice of redemption and other necessary documents from
American Stock Transfer and Trust Company Inc., ATSI's transfer
agent.

Each issued and outstanding share of Series H Convertible
Preferred Stock is presently convertible at the option of the
holder into one and one-half (1-1/2) shares of common stock.
The Series H convertible preferred holder may exercise their
right of conversion at any time prior to the Redemption Date by
submitting their certificate representing shares of Series H
Convertible Preferred Stock to American Stock Transfer and Trust
Company, Inc. with a request for conversion.  All conversion
requests must be received on or before April 25, 2007, to be
effective.  Any certificates received by the transfer agent
after the Redemption Date will not receive the conversion
premium and will be redeemed for one share of common stock.
Shareholders with shares of Series H Convertible Preferred Stock
being held at a brokerage firm should send the information to
their broker for conversion.

                 About ASTI Communications

Based in San Antonio, Texas, ASTI Communications Inc. (OTC BB:
ATSX.OB) -- http://www.atsi.net-- through its subsidiaries,
provides international telecommunications services to carriers
and telephony resellers worldwide.  It offers digital voice
communications over the internet using voice-over-Internet-
protocol.  The company's services include carrier, network, and
communication.  The company was founded in 1993 as American
TeleSource International Inc. and changed its name to ATSI
Communications Inc. in 2003.  ATSI also owns a minority interest
of a subsidiary in Mexico, ATSI Comunicaciones, S.A. de C.V.,
which operates under a 30-year government issued
telecommunications license.

                    Going Concern Doubt

Malone & Bailey PC, in Houston, Texas, expressed substantial
doubt about Atsi Communications Inc.'s ability to continue as a
going concern after auditing the company's financial statements
for the year ended July 31, 2006, and 2005.  The auditing firm
pointed to the company's working capital deficit, recurring
losses, and stockholders' deficit.


BEARINGPOINT INC: Reports Inability to File 2006 Form 10-K
----------------------------------------------------------
BearingPoint Inc. notified the New York Stock Exchange on
March 1, 2007, that it will be unable to file its 2006 Form 10-K
in timely manner.

As a result, the company will be subject to the procedures
specified in Section 802.01E of the NYSE's Listed Company Manual
which, among other things, provides that the NYSE will monitor
the company and the filing status of the 2006 Form 10-K.

If the company has not filed its 2006 Form 10-K within six
months of the filing due date of the 2006 Form 10-K, the NYSE
will determine whether the company should be given up to an
additional six months to file its 2006 Form 10-K.  The NYSE may
instead commence suspension and delisting procedures.  The
company expects to receive a letter from the NYSE regarding
these procedures.

                       About BearingPoint

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

BearingPoint has global locations including in Indonesia,
Australia, Austria, China, India, Japan, Mexico, Portugal,
Singapore and Thailand.

                        *     *     *

Moody's Investors Service's rated BearingPoint Inc.'s 2.5%
Series A Convertible Subordinated Debentures due 2024 at B3.


BEARINGPOINT INC: Secures Limited Waiver from Lenders
-----------------------------------------------------
BearingPoint Inc. disclosed that on Feb. 28, 2007, it obtained a
limited waiver to the Fifth Amended Credit Agreement, dated as
of Oct. 31, 2006, among the company, BearingPoint, LLC, the
guarantors party, the lenders party, General Electric Capital
Corporation, as syndication agent and collateral agent, Wells
Fargo Foothill, LLC, as documentation agent, UBS Securities,
LLC, as lead arranger, UBS AG Stamford Branch, as issuing bank
and administrative agent, and UBS Loan Finance LLC, as swingline
lender.

BearingPoint Inc. disclosed that on Feb. 28, 2007, it obtained a
limited waiver to the Credit Agreement, dated as of
July 19, 2005 and as amended by the First Amendment dated as of
Dec. 21, 2005, the Second Amendment dated as of March 30, 2006,
the Third Amendment dated as of July 19, 2006, the Fourth
Amendment dated as of Sept. 29, 2006, and the Fifth Amendment
dated as of Oct. 31, 2006 among the company, BearingPoint, LLC,
the guarantors party, the lenders party, General Electric
Capital Corporation, as syndication agent and collateral agent,
Wells Fargo Foothill, LLC, as documentation agent, UBS
Securities, LLC, as lead arranger, UBS AG Stamford Branch, as
issuing bank and administrative agent, and UBS Loan Finance LLC,
as swingline lender.

              Senior Secured Credit Facility

On July 19, 2005, the company entered into a US$150 million
Senior Secured Credit Facility, which was amended on Dec. 21,
2005, March 30, 2006, July 19, 2006, Sept. 29, 2006, and
Oct. 31, 2006.

The 2005 Credit Facility provides for revolving credit and
advances, including issuance of letters of credit.  Advances
under the revolving credit line are limited by the available
borrowing base, which is based upon a percentage of eligible
accounts receivable.  As of Dec. 31, 2005, the company did not
have availability under the borrowing base.  As of Sept. 30,
2006, the company had approximately $22 million available under
the borrowing base.

Among other things, the Waiver waives the delivery requirement
of the company's Form 10-K for the year ended Dec. 31, 2006 and
of its Forms 10-Q for the fiscal quarters ended March 31, 2006
and June 30, 2006 until March 15, 2007.

                     About BearingPoint

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

BearingPoint has global locations including in Indonesia,
Australia, Austria, China, India, Japan, Mexico, Portugal,
Singapore and Thailand.

                        *     *     *

Moody's Investors Service's rated BearingPoint Inc.'s 2.5%
Series A Convertible Subordinated Debentures due 2024 at B3.


BEARINGPOINT INC: Discloses Preliminary 2006 Financial Results
--------------------------------------------------------------
BearingPoint, Inc., reported preliminary, unaudited results for
its fiscal year ended Dec. 31, 2006.

Gross revenue for 2006 is expected to be in the range of US$3.45
to US$3.55 billion, representing a 2% to 5% growth rate over
2005.

Net revenue for 2006 is expected to be in the range of US$2.55
to US$2.65 billion, an approximately 5% to 10% increase over the
prior year.

Net loss before tax for 2006 is expected to be in the range of
US$144 to US$214 million.

The factors that will impact the 2006 net loss before tax
include, among other things:

    * significant finance and accounting costs related to the
      completion of its 2006 financial statements and related
      audit, approximately US$252 million,

    * occupancy costs, approximately US$142 million,

    * systems costs, approximately US$126 million, and

    * settlement of contractual disputes, approximately
      US$67 million.

The preliminary, unaudited information provided is, in part,
based on the company's current estimate of results from
operations for the second half of 2006, and remains subject to
change based on actual results, the subsequent occurrence or
identification of events prior to the completion of the closing
and audit of its 2006 financial statements, as well as any
further adjustments made in connection with the closing and
audit procedures.

The company also cautioned that estimated payments in connection
with the settlement of its dispute with Hawaiian Telcom
Communications, Inc., anticipated costs related to the design
and implementation of its North American financial systems
upgrades, payments of employee bonuses and other additional
accrued expenses for 2006 could significantly impact its cash
balances for the first quarter of fiscal 2007, if recently
improved cash collection levels are not sustained.

"Our year-over-year top-line growth is evidence that our
strategy is working and, while we continued to experience
abnormally high infrastructure expense, our business units'
performance continues to improve," CEO Harry You commented.  "I
am extremely proud of the work our people are doing and that
BearingPoint continues to be the management and technology
consulting firm of choice for many government and commercial
clients worldwide."

              Employee Ownership Stake Exploration

The company also stated that its Board of Directors has
authorized exploration of the feasibility of providing a
significant employee ownership stake in the company's EMEA
(Europe, Middle East and Africa) business unit to the employees
of that unit.  Through external investment and employee
acquisitions, the company would expect to monetize a significant
portion of its investment in its EMEA business unit.  This
decision is consistent with the company's stated goals of
increasing shareholder value, increasing employee ownership,
strengthening its balance sheet, and boosting customer
confidence.  At this time, the work is exploratory and no
specific plans or timetable for a final decision have been
approved by the Board.

"We have been considering a number of strategic options to
maximize value for our shareholders and to make BearingPoint a
stronger company, both financially and operationally," Mr. You
said.  "Putting additional equity in the hands of our employees
is consistent with our stated objectives.  We believe that
exploring this option for our EMEA business unit will enable us
to accelerate our vision to become the next great consultancy
and springboard the Company's growth."

                     About BearingPoint

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

BearingPoint has global locations including in Indonesia,
Australia, Austria, China, India, Japan, Mexico, Portugal,
Singapore and Thailand.

                        *     *     *

Moody's Investors Service's rated BearingPoint Inc.'s 2.5%
Series A Convertible Subordinated Debentures due 2024 at B3.


BUCKEYE TECH: Plans to Redeem US$5 Mil. of 9-1/4% Senior Notes
--------------------------------------------------------------
Buckeye Technologies Inc. intends to call for redemption
US$5 million in aggregate principal amount of its outstanding
9-1/4% Senior Subordinated Notes due 2008, or about 8% of the
outstanding 2008 Notes, on or about March 30, 2007, in
accordance with their terms.

The company said that a formal notice of redemption will be
sent separately to the affected holders of the 2008 Notes, in
accordance with the terms of the indenture for the 2008 Notes.

                   About Buckeye Technologies

Headquartered in Memphis, Tennessee, Buckeye Technologies Inc.
(NYSE:BKI) -- http://www.bkitech.com/-- manufactures and
markets specialty fibers and nonwoven materials.  The company
currently operates facilities in the United States, Germany,
Canada, and Brazil.  Its products are sold worldwide to makers
of consumer and industrial goods.

                        *     *     *

The company carries Standard & Poor's BB- Corporate Credit
Rating and Moody's Investors Service's B2 Corporate Family
Rating.


CELLSTAR CORPORATION: Inks Settlement Pact with Fine Day
--------------------------------------------------------
CellStar Corporation has signed an agreement, effective
Feb. 27, 2007, with Fine Day Holdings Limited and Mr. Horng
An-Hsien, Fine Day's Chairman and sole shareholder, accepting a
settlement of an outstanding note receivable related to the
company's September 2005 sale of its Hong Kong and People's
Republic of China operations.

On Sept. 2, 2005, the company had sold its operations in the PRC
and Hong Kong to Fine Day, a company formed by Mr. Horng, who
was the Chairman and Chief Executive Officer of CellStar (Asia)
Corporation Limited and effectively the head of the company's
Asia-Pacific Region for a total consideration of US$12 million.
In conjunction with the closing of the sale, Mr. Horng resigned
from his position effective Sept. 2, 2005.  The company received
US$6 million in cash at closing and a US$6 million unsecured
subordinated promissory note maturing Sept. 1, 2008.

Since Sept. 2, 2005, Fine Day has made timely interest payments
to the company on the promissory note.  However, Fine Day
recently informed the company it would not be able to pay
quarterly interest payments or the principal amount of the note
at maturity.  In settlement of the outstanding note, the company
has agreed to accept a US$650,000 cash payment, along with the
transfer to the company of all of Mr. Horng's shares of CellStar
common stock, approximately 474,000 shares.  The shares of stock
valued at US$2.59 per share, based on the closing price on
March 2, 2007, and the cash payment total approximately US$1.9
million.  The book value of the note as of Nov. 30, 2006, was
US$2.4 million.  The closing of the transaction is expected to
occur on April 13, 2007.  In addition, Mr. Horng will grant the
Company an irrevocable proxy that will allow the company to vote
the Shares at the upcoming Special Meeting of Stockholders to be
held March 28, 2007.

"In February we filed a Proxy Statement with the Securities and
Exchanges Commission regarding two transactions that would
result in the sale of substantially all of the company," said
Mike Farrell, Executive Vice President of Finance and CAO.  "In
the Proxy Statement, we estimated net proceeds to stockholders
from the transactions to be in the US$2.91 to US$3.25 range per
share.  We do not expect the settlement of the outstanding note
receivable related to the sale of the Hong Kong and PRC
operations to materially affect this range."

As stated in the company's Proxy Statement, the amount and
timing of distributions to stockholders is subject to
uncertainties and depends on the resolution of contingencies,
and, as a result, no assurance can be given that any amounts
will be paid to stockholders, or will be paid when anticipated.

Headquartered at Coppell, Texas, CellStar Corp. (OTC Pink
Sheets: CLST) -- http://www.cellstar.com/-- provides logistics
and distribution services to the wireless communications
industry.  CellStar Corp. has operations in North America and
Latin America, including Mexico, and distributes handsets,
related accessories and other wireless products from
manufacturers to a network of wireless service providers,
agents, MVNOs, insurance/warranty providers and big box
retailers.  CellStar Corp. specializes in logistics solutions,
repair and refurbishment services, and in some of its markets,
provides activation services.

                        *    *    *

CellStar Corp.'s 5% Convertible Subordinated Notes due 2002
carry Moody's Investors Service's Ca2 rating.


CINRAM INT'L: Earns US$161.8 Million in 2006 Fourth Quarter
-----------------------------------------------------------
Cinram International Income Fund reported its fourth quarter and
full-year financial results.  The Fund also announced its
intention to make a normal course issuer bid, subject to
regulatory approval and satisfactory amendments to the Fund's
credit facilities.

"We believe that the current combination of market conditions
for our securities and Cinram's strong cash position make this
an opportune time to initiate a unit buyback program," said
Cinram chief executive officer Dave Rubenstein.

Pursuant to the NCIB, Cinram may purchase up to a total of
5,000,000 units (approximately 8% of the "public float") for
cancellation through the facilities of the TSX during the 12-
month period following regulatory acceptance.  Cinram will pay
the market price at the time of acquisition for unit purchases
made through the NCIB.  The actual number of units, which may be
purchased pursuant to the NCIB and the timing of any such
purchases will be determined by Cinram's management.

There are currently 57,277,416 trust units and 1,079,312
exchangeable Limited Partnership units outstanding.

Cinram believes that its units may, from time to time, trade in
a price range that does not adequately reflect the value of such
units in relation to the business of Cinram and its future
business prospects.  As a result, depending upon future price
movements and other factors, Cinram believes that its
outstanding units may represent an attractive investment.
Furthermore, the purchases are expected to benefit all persons
who continue to hold units by increasing their equity interest
in Cinram.

At Dec. 31, 2006, Cinram had cash and cash equivalents of
US$152.7 million.  The Fund believes that its strong cash
position and expected cash flows will provide sufficient funding
to achieve its organic and external growth objectives, while at
the same time allowing the Fund to invest in repurchases of
units at attractive valuations.

Cinram will issue a further news release upon receipt of the
required approvals.

                    Fourth Quarter Performance

Cinram posted fourth quarter earnings before interest, taxes and
amortization of US$161.8 million, an increase of 32 per cent
from US$122.1 million in 2005.  EBITA included a gain from
unusual items of US$31.9 million, which principally resulted
from the reversal of certain liabilities and a gain on the sale
of real estate, which were offset by a partial release of
cumulative translation adjustment.  The fund will restate and
re-file its first, second and third quarter 2006 interim
consolidated financial statements and management's discussion
and analysis to account for this adjustment.  This revision has
no impact on the Fund's cash flow from operations and
distributable cash reported in these quarters.

"The fourth quarter of 2006 was the best fourth quarter on
record for Cinram across a number of measures, including DVD
unit volume," said Cinram chief executive officer, Dave
Rubenstein.  "The surge in DVD volume experienced in the fourth
quarter demonstrates the further compression we are seeing in
the seasonality of the business.  This year, we hope to benefit
from a more robust release schedule coupled with increased
production capacity to service peak demand requirements;
however, the positive effect of increased volume and capacity
will likely be offset by price declines."

As a percentage of consolidated sales, EBITA margins increased
to 26 per cent from 19 per cent in the fourth quarter of 2005.
Excluding unusual items, fourth quarter EBITA increased to
US$129.9 million from US$124.5 million in 2005, and EBITA
margins increased to 21 per cent from 19 per cent in the fourth
quarter of 2005.

The Fund reported consolidated revenue of US$616.7 million for
the quarter ended Dec. 31, 2006, down from US$650.0 million in
2005, principally as a result of lower CD sales as well as a
decline in other non-core revenue and merchandising sales.
These declines were partially offset by stronger DVD and
distribution revenue.  Net earnings for the quarter increased to
US$48.1 million or US$0.82 per unit (basic), up from US$38.2
million or US$0.67 per share for the fourth quarter of 2005.

In the fourth quarter, the company generated distributable cash
of US$52.1 million and paid distributions of US$41.7 million,
resulting in a payout ratio of 80 per cent.

                       Full-Year Performance

The company recorded consolidated revenue for the year ended
Dec. 31, 2006, of US$1.9 billion, down from US$2.1 billion in
2005.  Due to Cinram's high customer concentration, the decline
in home video sales for its largest customer in 2006 had a
significant impact on our full-year results.  EBITA declined to
US$377.2 million from US$390.9 million in 2005, driven by lower
DVD, CD and printing revenue.  Its 2006 EBITA also included a
net gain of US$20.8 million in unusual items attributable to the
fourth quarter factors outlined above, which were offset by
restructuring expenses and costs incurred in relation to the
income trust reorganization.  Excluding unusual items, EBITA for
the year ended Dec. 31, 2006, was US$356.4 million, down from
US$397.2 million in 2005, and EBITA margins decreased to 18 per
cent in 2006 from 19 per cent in 2005.

The Fund reported net earnings of US$51.8 million or US$0.89 per
unit for the year ended Dec. 31, 2006, down from net earnings of
US$82.4 million or US$1.44 per share in 2005.

The effective tax rate for the year was 46 per cent as there was
no tax benefit associated with the cumulative translation
adjustment charges incurred during the year.  Furthermore, we
recorded valuation allowances in Canada resulting from pre-tax
losses generated in our Canadian operations.  Excluding these
items, the effective tax rate would have been 17 per cent
compared to 29 per cent in the prior year.

Cinram converted to an income trust in May 2006.  For the nine
months ended Dec. 31, 2006, the fund generated distributable
cash of US$117.4 million and declared distributions of US$107.4
million resulting in a payout ratio of 91 per cent.

                          Product Revenue

Fourth quarter DVD revenue was up three per cent to US$351.5
million from US$339.8 million in 2005 principally as a result of
a relatively strong release slate from all our major customers.
The proportion of consolidated revenue derived from DVD
increased to 57 per cent from 52 per cent in 2005 due to the
erosion in fourth quarter CD sales.  For the year ended
Dec. 31, 2006, DVD revenue was down six per cent to US$1.0
billion from US$1.1 billion in 2005, accounting for 52 per cent
of consolidated revenue, compared with 51 per cent in 2006.
Customer concentration had a significant impact on our results
in the first nine months of 2006.

Cinram recorded fourth quarter and full-year high-definition
disc revenue of US$2.8 million and US$5.6 million, respectively,
following the June retail launch of both formats.  The company
has replicated 180 HD-DVD and Blu-ray titles for our customers
in North America since the launch.

CD revenue was down 36 per cent in the fourth quarter to US$63.5
million from US$98.4 million in 2005, and decreased 19 per cent
for the full year relative to 2005, on weaker market conditions
for CDs and the cessation of our CD manufacturing operations in
Louviers (France) in early 2006.

Printing revenue for the fourth quarter was up one per cent to
US$67.4 million from US$66.5 million in 2005.  For the full
year, printing revenue was down nine per cent to US$212.9
million from US$234.0 million, principally as a result of lower
DVD and CD volumes for customers for whom we also provide
related printing products.

Distribution revenue was up 13 per cent in the fourth quarter to
US$104.8 million from US$92.6 million in 2005 on increased DVD
unit shipments.  On a full year basis, distribution revenue
increased seven per cent to US$310.4 million from US$290.3
million in 2005.

Giant Merchandising generated revenue of US$25.7 million in the
fourth quarter, down 26 per cent from US$34.8 million in 2005.
For the year ended Dec. 31, 2006, Giant Merchandising recorded
revenue of US$122.9 million compared with US$132.2 million in
2005.

                      Geographic Revenue

North American revenue was down three per cent to US$437.7
million in the fourth quarter, compared with US$453.2 million in
2005, principally as a result of lower CD and merchandising
sales.  Year-to-date, North American revenue was down nine per
cent to US$1.4 billion from US$1.6 billion in 2005 mainly as a
result of lower DVD, CD and printing revenue.  North America
accounted for 71 and 73 per cent of fourth quarter and full-year
consolidated revenue, respectively, compared with 70 and 74 per
cent, respectively, in 2005.

European revenue decreased nine per cent in the fourth quarter
to US$179.0 million from US$196.8 million in 2005.  The decline
in DVD and CD revenue was partially offset by increased
distribution revenue due to additional volume in Europe.  On a
full-year basis, European revenue was down four per cent to
US$522.0 million from US$541.8 million in 2005.  Fourth quarter
European revenue represented 29 per cent of consolidated sales
compared with 30 per cent in the fourth quarter of 2005.  For
the full year, European revenue represented 27 per cent of
consolidated revenue, up from 26 per cent in 2005.

                    Other Financial Highlights

Gross profit for the quarter ended Dec. 31, 2006, increased four
per cent to US$143.0 million from US$137.2 million in 2005.
While we benefited from increased DVD sales and realized
efficiency improvements during the quarter, the decline in CD,
merchandising and printing revenue offset a portion of those
benefits.  The company also offloaded some of our DVD production
during the quarter, which had a negative impact on gross profit.
For the full year, gross profit was down seven percent to
US$384.3 million from US$412.1 million in 2005 on reduced DVD
and CD unit volume combined with lower selling prices and
reduced margins from printing and offload.  The declines were
offset in part by raw material cost savings and cost reductions
and efficiencies.  As a percentage of consolidated revenue,
fourth quarter gross profit increased to 23 per cent from 21 per
cent in 2005.  For the full year, gross profit margins were on
par with 2005 at 20 per cent.  Amortization expense from capital
assets, which is included in the cost of goods sold, increased
to US$42.6 million from US$38.1 million in the fourth quarter of
2005, and decreased to US$152.7 million for the year ended
Dec. 31, 2006, from US$153.9 million in 2005.

                 Balance Sheet And Liquidity

Cinram's liquidity and balance sheet remained strong in 2006.
The Fund had cash on hand of US$152.7 million and debt of
US$675.5 million, resulting in a net debt position of US$522.8
million at Dec. 31, 2006, compared with a net debt position of
US$646.4 million at the end of 2005.  Cinram's US$150-million
revolving line of credit was not used in 2006 and currently
remains undrawn.  Working capital increased to US$282.1 million
at Dec. 31, 2006, from US$146.8 million at Dec. 31, 2005, due to
strong cash flow from operations combined with the reversal of
certain accrued liabilities.

                        Distributions

The Fund paid distributions of US$42.3 million in the fourth
quarter.  Cinram's current annual distribution policy remains
unchanged at CDN$3.25 per unit, to be paid in monthly
distributions of CDN$0.2708 on or about the 15th day of the
month to unitholders of record on the last business day of each
previous month.

The Fund's Board of Trustees has declared a cash distribution of
CDN$0.2708 per unit for the month of March 2007, payable on
April 15, 2007, to unitholders of record at the close of
business on March 30, 2007.  Cinram International Limited
Partnership also declared a cash distribution of CDN$0.2708 per
Class B limited partnership unit for the month of March 2007,
payable on April 15, 2007, to unitholders of record at the close
of business on March 30, 2007.

                          Unit data

For the three-month period ended Dec. 31, 2006, the basic
weighted average number of units/shares and exchangeable limited
partnership units outstanding was 58.3 million compared with
57.3 million in the prior year.  For the year ended Dec. 31,
2006, the basic weighted average number of units/shares and
exchangeable limited partnership units outstanding was 57.9
million, compared with 57.2 million in the prior year.

                 2006 Interim Periods Restatement

Included in the Fund's 2006 annual and fourth quarter financial
results is a non-cash charge of US$49.0 million relating to the
partial release of cumulative translation adjustment and hedge
ineffectiveness of U.S. dollar denominated debt.  The
transactions giving rise to these items occurred during 2006,
primarily in the second quarter, as a result of the conversion
to an income trust and corporate reorganizations.  The
adjustments were identified in the fourth quarter of 2006 as
part of the year-end close process.  Accordingly, prior to
March 31, 2007, the Fund will re-file its first, second and
third quarter 2006 interim consolidated financial statements and
management's discussion and analysis to allocate the non-cash
US$49.0 million charge to the appropriate interim periods.  This
revision has no impact on the Fund's cash flow from operations
and distributable cash reported in these quarters.

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

                        *    *    *

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


TANK SPORTS: Completes Merger Deal with Redcat Motors
-----------------------------------------------------
Tank Sports Inc. has successfully completed the major processes
for its merger with Redcat Motors.  Following the legal process
of acquiring Redcat, Tank Sports has completed consolidating
both companies into its ERP system.

Consolidating both the Tank and Redcat branches into one ERP
system merges the vehicle lines, parts availability and
accessories, accounting resources, supply chain and customer
databases, which now contains approximately 580 dealers
nationwide.  This has also led to resource sharing of business
partners in China and Mexico that will create more efficient
business operations in the future.  As a result of this
consolidation, Tank Sports has successfully established two
independent brand names, Tank and Redcat.

Besides the ERP system consolidation, Tank has also completed
the merging of its human resources.  The company has reduced
staff by 10%, cutting its human resource expense by 15%.  At the
same time, the company has established new operational
guidelines for both subsidiaries in order to ensure healthy
growth and smooth operations for the future and good of the
company.

Headquartered in El Monte, California, Tank Sports Inc.
(OTCBB: TNSP) -- http://www.tank-sports.com/-- develops,
engineers, and markets high-performance on-road motorcycles &
scooters, off-road all-terrain vehicles (ATVs), dirt bikes and
Go Karts through OEMs in China.  The company's motorcycles and
ATVs products are manufactured in China and Mexico.

                      Going Concern Doubt

Kabani & Company, Inc., in Los Angeles, California, raised
substantial doubt about Tank Sports, Inc.'s ability to continue
as a going concern after auditing the company's financial
statements for the year ended Feb. 28, 2006.  The auditor
pointed to the company's net loss and accumulated deficit.


MCDERMOTT INT'L: Earns US$141 Million for 2006 Fourth Quarter
-------------------------------------------------------------
McDermott International, Inc. reported net income of US$141.0
million for the 2006 fourth quarter, compared to net income of
US$36.1 million for the corresponding period in 2005.  Weighted
average common shares outstanding on a fully diluted basis were
approximately 114.4 million and 112.3 million for the quarters
ended Dec. 31, 2006, and Dec. 31, 2005, respectively.  For 2005,
the company's common shares outstanding and earnings per share
are adjusted to reflect the 3-for-2 stock split effected in May
2006.

McDermott's revenues in the fourth quarter of 2006 were
US$1,308.0 million, compared to US$395.9 million in the
corresponding period in 2005.  Operating income was US$86.3
million in the 2006 fourth quarter, compared to US$56.2 million
in the 2005 fourth quarter.  The increase in revenues and
operating income is primarily attributable to the
reconsolidation of The Babcock & Wilcox Company or B&W's
financial results beginning in March 2006.  In addition,
operating income of the Offshore Oil & Gas Construction segment
increased by over 30 percent compared to its fourth quarter of
2005.

During the fourth quarter of 2006, McDermott recorded the
recognition of a US$94.1 million tax benefit partially offset by
certain other items.  To assist investors in their analysis of
McDermott's quarterly performance, the company calculated non-
GAAP earnings excluding these items.  Accordingly, in the fourth
quarter of 2006, the company's non-GAAP operating income was
US$113.3 million, non-GAAP net income was US$83.8 million, and
non-GAAP earnings per diluted share were US$0.73.

"The fourth quarter completed a highly successful year for
McDermott," said Bruce W. Wilkinson, Chairman of the Board and
Chief Executive Officer of McDermott.  "For the 2006 year, the
company generated new records for backlog, revenue, and
operating income, and despite the expected loss of a major
project this week, the outlook for our markets continues to be
strong in 2007."

At Dec. 31, 2006, McDermott's consolidated backlog was US$7.6
billion, compared to US$3.6 billion at Dec. 31, 2005, which
excluded B&W and US$8.6 billion at Sept. 30, 2006.  Consolidated
backlog at Dec. 31, 2006 excludes the amounts associated with
the TXU boiler and SCR contracts, which the company believes
will no longer be fully realized.

           Offshore Oil & Gas Construction Segment

Revenues in the Offshore Oil & Gas Construction segment were
US$475.9 million in the 2006 fourth quarter, compared to
USS$250.3 million for the same period a year ago.  The year-
over-year increase in revenues resulted primarily from increased
activity in the Middle East and Asia Pacific regions.

Segment income for the 2006 fourth quarter was US$48.7 million,
compared to US$37.0 million in the 2005 fourth quarter.  Major
items contributing to operating income in the 2006 fourth
quarter were projects in the Middle East, Asia Pacific and
Caspian regions.  During the fourth quarter of 2006, J. Ray
mobilized a construction vessel to the Eastern Hemisphere from
the Gulf of Mexico market and recognized a transportation
expense of approximately US$7 million.

At Dec. 31, 2006, J. Ray's backlog was US$4.1 billion, compared
to backlog of US$1.8 billion and US$4.0 billion at Dec. 31,
2005, and Sept. 30, 2006, respectively.

              Power Generation Systems Segment

Revenues in the Power Generation Systems segment for the fourth
quarter 2006 were US$676.8 million.  During 2005, B&W was
deconsolidated and therefore there were no revenues reported for
this segment during the fourth quarter of 2005.

Segment income for the 2006 fourth quarter was US$24.8 million,
compared to US$4.8 million in the 2005 fourth quarter.  The
increase in segment income was due to the reconsolidation of B&W
beginning in the first quarter 2006.  During the 2006 fourth
quarter, the company recorded a total of US$27 million in
expense related to the final settlement in the Citgo litigation,
an estimated warranty claim on a dated project and the current-
year loss penalty premium for casualty insurers related to the
Citgo litigation.  Excluding these items, B&W's non-GAAP
operating income was US$51.8 million.

At Dec. 31, 2006, B&W's backlog was US$2.2 billion compared to
US$3.2 billion at Sept. 30, 2006, and a deconsolidated backlog
at Dec. 31, 2005 of US$2.1 billion.  B&W's backlog at
Dec. 31, 2006 excludes the amounts associated with the TXU
boiler and SCR contracts, which the company believes will no
longer be fully realized.

               Government Operations Segment

Revenues in the Government Operations segment were US$158.3
million in the 2006 fourth quarter, compared to US$145.6 million
for the same period a year ago.  The increase was primarily due
to higher volumes in the manufacture of nuclear components for
certain U.S. Government programs, higher volumes of fuel
production for research test reactors and increased fuel
development for the Department of Energy for use in commercial
reactors.

Segment income for the 2006 fourth quarter was US$19.9 million,
compared to US$26.3 million in the 2005 fourth quarter.  The
decrease was due to lower margins in the manufacture of nuclear
components for certain U.S. Government programs and increased
selling, general and administrative expenses related to business
development in the United Kingdom, pension plans and Department
of Energy specialty fuel development.

At Dec. 31, 2006, BWXT's backlog was US$1.3 billion, compared to
backlog of US$1.8 billion and US$1.4 billion at Dec. 31, 2005
and Sept. 30, 2006, respectively.

                          Corporate

Unallocated corporate expenses were US$7.0 million in the 2006
fourth quarter, compared to US$11.9 million in the 2005 fourth
quarter.  The decrease was primarily related to lower legal
expenses as a result of the completion of the B&W Chapter 11
settlement.

                  Other Income and Expense

The company's other expense for the fourth quarter of 2006 was
US$4.2 million, compared to US$1.3 million in the fourth quarter
of 2005.  The year-over-year variance is due to a US$4.7 million
loss on early retirement of debt and US$5.3 million IRS interest
expense adjustment, partially offset by a US$5.7 million
improvement in net interest income/expense resulting from the
retirement of US$250 million of the company's debt in June 2006
and increased cash balances.

McDermott International, Inc. (NYSE:MDR)
-- http://www.mcdermott.com/--is a leading worldwide energy
services company.  McDermott's subsidiaries provide engineering,
construction, installation, procurement, research,
manufacturing, environmental systems, project management and
facility management services to a variety of customers in the
energy and power industries, including the U.S. Department of
Energy.  The company operates in most major offshore producing
regions throughout the world, including the U.S. Gulf of Mexico,
Mexico, the Middle East, India, the Caspian Sea and Asia
Pacific.  Operations in this segment are primarily conducted
through its subsidiary, J. Ray McDermott, S.A.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 6, 2006,
Moody's Investors Service's confirmed its B1 Corporate Family
Rating for McDermott International Inc.


NORTEL NETWORKS: DBRS Says Restatements Won't Affect Ratings
------------------------------------------------------------
Dominion Bond Rating Service notes that Nortel Networks
Corporation accounting restatements will not have an immediate
impact on its B (low) long-term ratings.

DBRS recognizes the size of the accounting restatements are not
material and are all non-cash in nature.

In addition, the company expects to have its 2006 10K filed by
the required Mar. 16, 2007 deadline.  However, DBRS has become
more concerned regarding Nortel's financial reporting
mechanisms.  Although the company has publicly indicated that
the probability of further accounting restatements have likely
become "slimmer," the probability of last minute restatement
could still exist until the substantial implementation of its
new financial control reporting system which is not expected to
occur until the second half of 2007.

DBRS acknowledges that management has made progress on the
previously identified five major internal control weaknesses
outlined in its 2005 10K filing.  However, it is still somewhat
disconcerting that internal control breaches, even minor ones,
have led to increased uncertainty about financial reporting.

DBRS will now more closely monitor the change in auditors at
Nortel as well as the departure of the current CFO, both of
which are occurring during what now appears to be a time of
somewhat heightened uncertainty, especially relating to
confidence in accurate and timely financial reporting from
Nortel.  If the filing of accurate financial statements, along
with a clear succession path of the company's financial unit is
not properly addressed in the near-term, DBRS reserves the right
to take negative rating action based solely on these issues,
regardless of the financial performance of the Company.

DBRS notes that based on current unaudited figures, Nortel's
business performance appears acceptable for its current ratings,
which is also supported by the Company facing no substantial
near-term maturities, a substantial cash balance estimated by
management at US$3.5 billion, along with the expectation of
continued support from Export Development Canada though its
US$750 million support facility.  DBRS estimates that Nortel has
approximately US$4.5 billion in gross debt outstanding.

Notwithstanding, DBRS believes that Nortel needs to put its
internal control issues behind it as the communication equipment
vendor market continues to undergo a structural shift as a
result of competitors merging to create greater economies of
scale, while new entrants from emerging markets continue to
price aggressively, taking market share away from more
established vendors such as Nortel.

Nortel Networks Limited is the principal direct operating
subsidiary of Nortel Networks Corporation.

Headquartered in Ontario, Canada, Nortel Networks Limited
(NYSE/TSX: NT) -- http://www.nortel.com/-- delivers technology
solutions encompassing end-to-end broadband, Voice over Internet
provider, multimedia services and applications, and wireless
broadband.  Nortel Networks does business in more than 150
countries, including Mexico.




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


CHIQUITA BRANDS: Unit Rejects 3K Boxes of Coosemupar Bananas
------------------------------------------------------------
Tecno Asesora Agricola, a banana exporter and unit of Chiquita
Brands International in Panama, has rejected 3 thousand boxes of
bananas from the Coosemupar cooperative, Fresh Plaza reports.

Coosemupar director Salustiano De Gracia complained to Fresh
Plaza that the rejection had no reason, as the fruit was of
first quality.  He claimed that the rejection leads to losses
for the cooperative.

Coosemupar has contractual obligations towards Chiquita Brands.
The cooperative plans to renegotiate the contract before
September, as it wants to sell bananas to another exporter,
Fresh Plaza states.

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

                        *    *    *

On Nov. 6, 2006, Moody's Investors Service downgraded the
ratings for Chiquita Brands L.L.C., as well as for its parent
Chiquita Brands International, Inc.  Moody's said the outlook on
all ratings is stable.

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

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

S&P said the ratings remain on CreditWatch with negative
implications where they were placed on Sept. 26, 2006.




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


IRON MOUNTAIN: Launches CDN$175-Million Debt Offering
-----------------------------------------------------
Iron Mountain Incorporated reported a proposed offering of
CDN$175 million in aggregate principal amount of CAD Senior
Subordinated Notes due 2019 by its wholly owned subsidiary, Iron
Mountain Nova Scotia Funding Company.  The notes will be fully
and unconditionally guaranteed by Iron Mountain Incorporated and
certain of its wholly owned subsidiaries.  The net proceeds from
the offering will be used to repay a portion of the amounts
outstanding under IMI's existing term loan facility.  The exact
terms and timing of the offering will depend upon market
conditions and other factors.

The notes are being offered only to qualified institutional
buyers under Rule 144A and to persons outside the United States
pursuant to Regulation S.  The securities to be offered have not
been registered under the Securities Act of 1933, as amended, or
applicable securities laws, and until so registered, may not be
offered or sold in the United States except pursuant to an
exemption from the registration requirements of the Securities
Act and applicable state securities laws.

Headquartered in Boston, Massachusetts, Iron Mountain
Incorporated (NYSE: IRM) is an international provider of
information storage and protection related services.  The
company offers comprehensive records management and data
protection solutions, along with the expertise to address
complex information challenges such as rising storage costs,
litigation, regulatory compliance and disaster recovery.
Founded in 1951, Iron Mountain has more than 90,000 corporate
clients throughout North America, Europe, Latin America, and
Asia Pacific.  Its Latin American operations are located in
Argentina, Brazil, Chile, Mexico and Peru.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 17, 2007, Standard & Poor's Ratings Services assigned its
'B' rating to Iron Mountain Inc.'s proposed EUR175 million 6.75%
senior subordinated notes due 2018.




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


DORAL FINANCIAL: Eyes US$117 Million Net Loss for 2006
------------------------------------------------------
Doral Financial Corp. expects a net loss of at least US$117
million for 2006, Business News Americas reports.

BNamericas relates that Doral Financial reported US$13.2 million
earnings in 2005.

Doral Financial said in a statement that its banking units sold
US$1.7 billion in available-for-sale securities at a loss of
about US$30 million in the fourth quarter 2006.

Doral Financial said that failure to refinance US$625 million of
floating rate notes that matures in July as well as the absence
of significant outside funding may make it difficult for Doral
Financial to continue to operate, BNamericas relates.

Soleil Securities analyst Anthony Polini commented to
BNamericas, "This is more bad news that does not bode well for
common shareholders."

BNamericas underscores that Mr. Polini reaffirmed his sell
rating and US$1 price target on Doral Financial.

Doral Financial told BNamericas that due to increasing
delinquency rates, legal expenses and the restatement of
previous years' financial results, it continues to experience
pressure on its net interest income along with higher loan loss
reserves.

According to BNamericas, Doral Financial restated its 2000-04
results, decreasing net income for the period US$609 million and
shareholder equity 35% and correcting the value of derivatives
called floating rate interest-only strips used to hedge its
mortgage portfolio.

Doral Financial said it will file its 2006 report with the U.S.
Securities and Exchange Commission within 45 days.

Based in New York City, Doral Financial Corp. (NYSE: DRL) --
http://www.doralfinancial.com/-- is a diversified financial
services company engaged in mortgage banking, banking,
investment banking activities, institutional securities and
insurance agency operations.  Its activities are principally
conducted in Puerto Rico and in the New York City metropolitan
area.  Doral is the parent company of Doral Bank, a Puerto Rico
based commercial bank, Doral Securities, a Puerto Rico based
investment banking and institutional brokerage firm, Doral
Insurance Agency Inc. and Doral Bank FSB, a federal savings bank
based in New York City.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 8, 2007, Moody's Investors Service downgraded to B2 from B1
the senior debt ratings of Doral Financial Corp.  Moody's said
the ratings are on review for possible downgrade.

Downgrades:

Issuer: Doral Financial Corp.

   -- Senior Unsecured Regular Bond/Debenture, Downgraded
      to B2 from B1.

Outlook Actions:

Issuer: Doral Financial Corp.

   -- Outlook, Changed To Rating Under Review From Negative.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 8, 2007, Standard & Poor's Ratings Services lowered its
long-term ratings on Doral Financial Corp., including the
counterparty credit rating, to 'B' from 'B+'.

Standard & Poor's said the outlook remains negative.


INTERLINE BRANDS: Names William Sanford as President
----------------------------------------------------
Interline Brands Inc. has named William Sanford as President.
Michael Grebe previously held that role.  Mr. Grebe continues to
serve as Interline's Chairman and CEO.

Mr. Sanford joined Interline Brands as Chief Financial Officer
in March of 1999 and was promoted to Executive Vice President
and Chief Operating Officer in September of 2004.  He has over
24 years experience in the distribution field having held senior
executive positions with MSC Industrial Direct and Airgas Inc.

"I have worked alongside Bill Sanford for the last ten years and
he is one of the most accomplished and talented executives in
our industry," said Mr. Grebe.  "Bill has played a major role in
building Interline Brands into the organization it is today and
our board is very pleased to recognize his contributions with
this promotion."

Headquartered in Jacksonville, Florida, Interline Brands, Inc.
(NYSE: IBI) -- http://www.interlinebrands.com/-- is a leading
national distributor and direct marketer of maintenance, repair
and operations products to approximately 160,000 professional
contractors, facilities maintenance professionals, and specialty
distributors across North America and Puerto Rico.

                        *    *    *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. manufacturing sector, the rating agency
confirmed its B1 Corporate Family Rating for Interline Brands
Inc., as well as its B3 rating on the company's US$200 million
8.125% Senior Subordinate Notes due 2014.  Those debentures were
assigned an LGD5 rating suggesting noteholders will experience
an 82% loss in the event of default.

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

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$100m Sr. Sec.
   Revolver Due
   2012                   Ba3      Ba2     LGD2        29%

   US$100m Sr. Sec.
   Term Loan Due
   2013                   Ba3      Ba2     LGD2        29%

   US$130m Sr. Sec.
   Delayed Draw
   Term Loan Due
   2013                   Ba3      Ba2     LGD2        29%


MAIDENFORM BRANDS: Earns US$3.2 Million in Quarter Ended Dec. 30
----------------------------------------------------------------
Maidenform Brands Inc. disclosed its financial results for the
fourth quarter and for the fiscal year ended Dec. 30, 2006.
Additionally, the company provided financial performance
guidance for 2007.

Fourth quarter 2006 highlights versus fourth quarter 2005
include:

   -- Net sales increased 6.8% to US$85.0 million with wholesale
      net sales increasing 6.9% to US$71.1 million.

   -- Consolidated gross margins were 37.4%.

   -- Net income increased to US$3.2 million from a loss of
      US$0.2 million.

   -- Diluted earnings per common share were US$0.13.

Fiscal 2006 highlights versus fiscal 2005 include:

   -- Net sales increased 9.1% to US$416.8 million with
      wholesale net sales increasing 10.0% to US$360.6 million.

   -- Consolidated gross margins were 37.6%.

   -- Net income increased to US$27.8 million from US$8.9
      million.

   -- Diluted earnings per common share were US$1.15.

   -- Total cash and cash equivalents was US$14.6 million at the
      end of 2006.

In 2006, Maidenform prepaid US$27.5 million of its debt
outstanding and re-purchased US$7.6 million of its common stock.

Thomas J. Ward, Chief Executive Officer stated, "Our results for
the fourth quarter and full-year 2006 reflected the continued
strength of our multi-channel distribution strategy.  The
company's performance was driven by our efforts to grow our
brand franchises and enter new product categories with our
customers.  Maidenform's 2006 milestones included:

    1) double digit net sales growth in the wholesale business;

    2) consolidated gross margin increase to 37.6% through
       product mix and sourcing initiatives;

    3) leveraged expense structure to 24.3% of net sales; and

    4) maximized cash flow utilization by paying down US$27.5
       million of debt and repurchasing US$7.6 million of stock.

Looking forward, our team continues to remain focused on
achieving new levels of success."

             Financial Results For Fourth Quarter 2006
Versus Fourth Quarter 2005

Net sales for the fourth quarter of 2006 increased US$5.4
million, or 6.8%, to US$85.0 million.  Wholesale segment net
sales in the fourth quarter of 2006 rose US$4.6 million, or
6.9%, to US$71.1 million.  Retail segment net sales increased
US$0.8 million, or 6.1%, to US$13.9 million in the fourth
quarter of 2006.

                         Wholesale Segment

Department Stores & National Chain Stores

Net sales from the department stores and national chain stores
increased US$3.2 million, or 7.5%, to US$45.6 million in the
fourth quarter of 2006.  These net sales results were due to
solid performance in Maidenform bras, continued strong growth in
the shapewear category which benefited the company's Flexees(R)
and Collection MTM products, in addition to an expanded
assortment and additional door distribution in the company's
full-figure Lilyette(R) brand.

Mass Merchant

In the fourth quarter, mass merchant net sales increased US$1.4
million, or 9.4%, to US$16.3 million.  Growth in the mass
merchant channel was largely driven by entering new product
classifications, including shapewear, with one mass customer.

Other

Other net sales, which include sales to specialty retailers,
off-price retailers and licensing income, remained unchanged at
US$9.2 million in the fourth quarter of 2006.

International sales, which are included in the total wholesale
segment, increased US$0.6 million, or 10.2%, to US$6.5 million
primarily due to stronger sales from the U.K., Mexico and the
Benelux countries.

Retail Segment

Same store sales for Maidenform's retail outlet stores increased
4.2% in the fourth quarter of 2006 from higher sales of
Flexees(R) and Lilyette(R) products, in addition to sales
strength during the holiday season from higher priced
assortments.  Internet sales grew 33.0% to US$0.8 million in the
fourth quarter of 2006.  The company had 76 retail outlet stores
as of Dec. 30, 2006, versus 74 at the end of 2005.

Consolidated gross profit increased US$5.7 million, or 21.8%, to
US$31.8 million in the fourth quarter of 2006.  As a percentage
of net sales, consolidated gross margins improved to 37.4%.  The
company's consolidated gross margins were favorably affected by
product mix, sourcing initiatives and less promotional activity
from certain customers.  For the fourth quarter of 2005,
Maidenform's reported wholesale segment gross margins were
unfavorably affected by excess and close-out inventories,
particularly associated with the company's full support product
line and increased retail promotional activities at the end of
2005.

Consolidated selling, general and administrative expense
decreased US$0.6 million, or 2.4%, to US$24.1 million in the
fourth quarter of 2006 due to more targeted advertising
expenditures, partially offset by Sarbanes-Oxley related
expenses.  This SG&A expense figure included US$0.4 million of
expenses associated with Maidenform's secondary offering of
stock for various selling stockholders in November 2006.  As a
percentage of net sales, SG&A expense was 28.4% in the fourth
quarter of 2006.  In the prior year quarter, SG&A expense was
31.0%, which included non-recurring severance related expenses
of US$0.3 million associated with plant closures.

Operating income increased US$6.3 million, more than five times,
to US$7.7 million in the fourth quarter of 2006.  Operating
income as a percentage of net sales increased to 9.1% in the
fourth quarter of 2006 from 1.8% in the fourth quarter of 2005.

Net interest expense for the fourth quarter of 2006 decreased
US$0.3 million to US$2.1 million as Maidenform continued to
benefit from lower average debt outstanding, despite higher
average interest rates.

Maidenform's effective income tax rate for the fourth quarter of
2006 was 42.9% due, in part, to certain non-deductible expenses
related to the company's secondary offering in November 2006.

Net income for the fourth quarter of 2006 was US$3.2 million and
diluted earnings per common share were US$0.13.  Net income for
the fourth quarter of 2005 was a loss of US$0.2 million with a
diluted loss per common share of US$0.01.

           Financial Results for Fiscal 2006 versus 2005

Net sales for 2006 increased US$34.6 million, or 9.1%, to
US$416.8 million.  Wholesale segment net sales increased US$32.8
million, or 10.0%, to US$360.6 million in 2006.  This increase
was driven by department stores/national chain stores channel
growth of 9.9% to US$222.8 million and mass merchant channel
growth of 22.1% to US$91.8 million, while other net sales
decreased 7.6% to US$46.0 million largely from lower liquidation
sales.  International sales, which are included in the total
wholesale segment, increased US$1.7 million, or 6.3%, to US$28.5
million.  Retail segment net sales for 2006 increased US$1.8
million, or 3.3%, to US$56.2 million and same store sales were
up 4.0%.

Consolidated gross profit increased US$21.7 million, or 16.1%,
to US$156.8 million for 2006.  As a percentage of net sales,
reported consolidated gross margins increased to 37.6% as a
result of product mix and sourcing initiatives.  Maidenform's
wholesale segment gross margins for 2005 included unfavorable
manufacturing variances of US$5.7 million, in addition to the
unfavorable effect of excess and close-out inventories from the
company's full support product line in late 2005.

Consolidated SG&A expense decreased US$0.3 million, or 0.3%, to
US$101.3 million for 2006 from US$101.6 million for 2005.  As a
percentage of net sales, SG&A expense was 24.3% for 2006 and
26.6% for 2005.  The prior year included non-recurring initial
public offering expenses of US$3.8 million, a special bonus paid
in connection with the credit facility amendment of US$1.5
million and severance expense of US$1.3 million associated with
plant closures.  Partially offsetting these non-recurring
expenses were, in 2006, increased payroll and related benefits,
increased professional fees associated with being a public
company and Sarbanes-Oxley readiness, as well as expenses
associated with the secondary offering in November 2006.

For 2006, operating income increased US$22.0 million, or 65.7%,
to US$55.5 million.  Operating income as a percentage of net
sales increased to 13.3% for 2006 from a reported 8.7% for 2005.
Operating income for 2005 was influenced by non-recurring
expenses associated with plant closures and the company's
initial public offering in July 2005.

Net income for 2006 was US$27.8 million compared to net income,
before preferred stock dividends and changes in redemption
value, of US$8.9 million in 2005.  The prior year loss per share
included preferred stock dividends and changes in redemption
value of US$17.3 million.

Total cash and cash equivalents at the end of 2006 was US$14.6
million.  Maidenform utilized its excess cash flow by continuing
to de-leverage its balance sheet with US$27.5 million of debt
pre-payments in 2006, including US$10.0 million pre-paid in the
fourth quarter of 2006.  Additionally, the company purchased
US$7.6 million of its common stock in 2006.  Maidenform's total
debt outstanding was US$110.0 million as of Dec. 30, 2006, with
a debt to EBITDA ratio of 1.83 to 1.0.  The company's Board will
continue to evaluate the most prudent use of available cash flow
and borrowings under the revolver.

              Financial Performance Guidance for 2007

Maidenform provided the following financial performance guidance
for the full-year 2007:

   -- Total net sales growth of 6%-7% with low double-digit net
      sales growth in Maidenform's branded wholesale business.
      In 2007, the company will re-intensify its Self
      Expressions brand with one mass customer as Maidenform
      continues to focus aggressively on its branded business.

   -- Consolidated gross margins of approximately 38%.  In the
      first quarter of 2007, the company's consolidated gross
      margins are expected to be lower than this annual
      projection from higher mass merchant sales and overall
      product mix.  Margins will then strengthen throughout the
      remainder of 2007.

   -- Operating income growth of 10%-14%.

   -- Total operating cash flow of US$30-US$35 million.

   -- EPS growth of 15%-18%.

Maidenform Brands, Inc. -- http://www.maidenform.com/-- is a
global intimate apparel company with a portfolio of established
and well-known brands, top-selling products and an iconic
heritage.  Maidenform designs, sources and markets an extensive
range of intimate apparel products, including bras, panties and
shapewear.  During the Company's 83-year history, Maidenform has
built strong equity for its brands and established a solid
growth platform through a combination of innovative, first-to-
market designs and creative advertising campaigns focused on
increasing brand awareness with generations of women.
Maidenform sells its products under some of the most recognized
brands in the intimate apparel industry, including
Maidenform(R), Flexees(R), Lilyette(R), Self Expressions(R),
Sweet Nothings(R), Bodymates(TM), Rendezvous(R) and Subtract(R).
Maidenform products are currently distributed in 48 foreign
countries and territories including Puerto Rico.

                        *    *    *

As reported in the Troubled Company Reporter-Latin America on
Jan. 16, 2007, Standard & Poor's Ratings Services revised its
rating outlook on Bayonne, N.J.-based intimate apparel designer
and marketer Maidenform Brands Inc. to positive from stable.
Ratings on the company, including the 'B+' corporate credit
rating, were affirmed.  Total debt outstanding at
Sept. 30, 2006, was US$120 million.


QUANTUM CORP: Posts US$9.5 Mln Net Loss for Third Quarter 2006
--------------------------------------------------------------
Quantum Corp. reported a net loss of US$9.5 million on US$301
million of revenues for its fiscal third quarter ended
Dec. 31, 2006 compared with a net income of US$819,000 on US$218
million of revenues for the same period in 2005.

Revenue from devices (tape drives and removable hard drives) and
non-royalty media sales totaled US$81 million in the third
quarter of 2007, down US$33 million from the same period of
2006.  Nearly this entire decline was due to the continuing
retirement of older tape drives, with approximately two-thirds
of the revenue reduction in older, entry-level drives sold by
OEMs.

Since Quantum's acquisition of Advanced Digital Information
Corp. in late August, this was the first full quarter in which
the two companies operated as one.  As a result, Quantum
increased revenue 38 percent over the same quarter last year.

"As we've integrated ADIC over the last five months, the
strength and promise of the new Quantum has become even clearer,
and this is reflected in our December quarter results," said
Rick Belluzzo, chairman and CEO of Quantum.

"We delivered on our revenue goal, greatly improved our
operating results and demonstrated significant progress in
driving toward our target business model.  We also announced our
new DXi-Series disk-based appliances with de-duplication and
replication technologies and had a strong quarter of software
sales, both of which speak to the broader opportunities we now
have in growing markets."

                     About Quantum Corp.

Headquatered in San Jose, California, Quantum Corp. --
http://www.quantum.com/-- is a global leader in storage,
delivers highly reliable backup, recovery and archive solutions
that meet demanding requirements for data integrity and
availability with superior price/performance and comprehensive
service and support.  Quantum offers customers of all sizes an
unparalleled range of solutions, from leading tape drive and
media technologies, autoloaders and libraries to disk-based
backup systems.  In Latin America, the company has distributors
in Argentina, Brazil, Chile, Mexico and Puerto Rico.  In Europe,
the company maintains operations in Denmark, Czech Republic,
Romania, Portugal, France, Germany, and the United Kingdom.

                        *     *     *

As reported in the Troubled Company Reporter on Oct. 27, 2006,
Moody's Investors Service confirmed Quantum Corp.'s B3 Corporate
Family Rating.  Moody's also revised Quantum Corp.'s
probability-of-default rating on the US$150 million senior
secured revolver due 2009 to Ba3 from B2.


TRAILER BRIDGE: Reports Record Quarterly Financial Results
----------------------------------------------------------
Trailer Bridge, Inc. reported preliminary, unaudited financial
results for the fourth quarter ended Dec. 31, 2006.  These
preliminary results do not include the effect of an income tax
credit that is likely to be shown in the audited financial
statements.  Any such credit will increase net income above the
results reported here and will be reported in the audited
financial statements contained in the company's filing in Form
10-K.

John D. McCown, Chairman and CEO, said, "These are the best
quarterly financial results that Trailer Bridge has reported in
its history.  Compared to last year, our 10.7% revenue increase
drove a 40.6% rise in net income.  That resulted in earnings of
US$.32 per share, or twice what we earned in a sequential
comparison to the third quarter of 2006.  I believe our
performance during the fourth quarter demonstrates the cost
efficiency and significant operating leverage of our business
model.  These results precede additional revenue improvements in
the first quarter of 2007, including our announced contract with
Ford Motor Company.  Our demonstrated results have us embracing
the future with great optimism."

Total revenue for the three months ended Dec. 31, 2006, was
US$31.1 million, an increase of 10.7% compared to the fourth
quarter of 2005.  Higher revenues were driven by an increase in
southbound container volume of 6.3%, an increase in average
revenue per southbound container of 5.5%, and increased fuel
surcharges.  The company's Jacksonville-San Juan deployed vessel
capacity utilization during the fourth quarter was 90.4% to
Puerto Rico and 24.3% from Puerto Rico compared to 88.9% and
24.0%, respectively, during the fourth quarter of 2005.

In a sequential comparison to the third quarter, total revenue
in the fourth quarter increased 7.6%, due primarily to an
increase in southbound container volume of 2.8% and an increase
in average revenue per southbound container of 1.7%.

The company's operating income was US$6.4 million in the fourth
quarter of 2006, as compared with US$5.4 million in the fourth
quarter of 2005.  That operating income produced an operating
ratio of 79.5% for the fourth quarter of 2006 compared to 80.9%
during the year earlier quarter.  This is the best operating
ratio in the company's history.

Net income for the fourth quarter of 2006 rose to US$3.9 million
from US$2.8 million in the year earlier period.  Net income
attributable to common shares for the fourth quarter of 2006 was
US$.32, versus US$.22 for the fourth quarter of 2005.

In the attached table, Trailer Bridge's net income for the
fourth quarter and for 2006 is shown without giving any effect
to a possible substantial income tax credit that is expected to
result from the ongoing review of the company's valuation
allowance related to the deferred tax asset.  That review and
determination will be concluded and reported with the company's
2006 audited results reported in the company's Form 10-K.  At
Sept. 30, 2006, the company had a 100% valuation allowance
related to an unaudited net deferred tax asset estimated to be
approximately US$13.4 million.  As such no deferred tax asset
appeared on the company's balance sheet.  Any reduction in the
valuation allowance in the audited financial statements for 2006
will have the effect of increasing fourth quarter net income by
a corresponding amount.  Upon the filing of the audited results
in the Form 10-K with the SEC on or before March 31, 2007, the
company will issue a release disclosing both fourth quarter and
full 2006 results giving effect to the tax credit.

These financial results are preliminary as the company's
independent auditors have not completed their audit.  Other than
the potential adjustment for the income tax benefit derived from
the reversal of a portion of the deferred tax valuation
allowance mentioned above, management is not currently aware of
any other adjustments that will require a material change to the
financial results.  However, it is possible that there may be
adjustments prior to the filing of the company's Annual report
on Form 10-K.  The company expects to file the Annual Report on
Form 10-K on or before March 31, 2007.

Financial Position

At Dec. 31, 2006, the company had cash balances of US$6.9
million and working capital of US$10.9 million.  There were no
amounts outstanding under a US$10 million revolving credit
facility.

Based in Jacksonville, Florida, Trailer Bridge, Inc.
(NASDAQ: TRBR) -- http://www.trailerbridge.com/-- an integrated
trucking and marine freight carrier, provides truckload freight
transportation primarily between the continental United States
and Puerto Rico. The company offers highway transportation
services in the continental United States, and marine
transportation between Jacksonville, Florida and San Juan,
Puerto Rico.  It provides southbound containers and trailers, as
well as moves new automobiles, used automobiles,
noncontainerized or freight not in trailers, and freight moving
in shipper-owned or leased equipment.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 24, 2006, in connection with Moody's Investors Service's
implementation of its Probability-of-Default and Loss-Given-
Default rating methodology for the Transportation sector, the
rating agency confirmed its B3 Corporate Family Rating for
Trailer Bridge, Inc., and held its B3 rating on the company's
Guaranteed Senior Secured Global Notes Due 2011.  Additionally,
Moody's assigned an LGD3 rating to those bonds, suggesting
bondholders will experience a 46% loss in the event of a
default.




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


CENVEO CORP: Commences Tender Offer for 8-3/8% Senior Sub. Notes
----------------------------------------------------------------
Cenveo Corporation, a wholly owned subsidiary of Cenveo Inc.,
has commenced a cash tender offer for any and all of the
outstanding US$125,000,000 aggregate principal amount of 8-3/8%
Senior Subordinated Notes due 2014 of Cadmus Communications
Corporation.

The total consideration per US$1,000 principal amount of Notes
validly tendered and not withdrawn prior to 5:00 p.m., New York
City time, on March 16, 2007, unless extended will be US$1,015.
In connection with the tender offer, the company is soliciting
consents to proposed amendments to the indenture governing the
Notes, which would eliminate substantially all of the
restrictive covenants and certain events of default in the
indenture.  The company is offering to make a consent payment of
US$10.00 per US$1,000 principal amount of Notes to holders who
validly tender and do not withdraw their Notes and deliver their
consents on or prior to the Consent Payment Deadline.  Holders
may not tender their Notes without delivering consents and may
not deliver consents without tendering their Notes.  Holders
tendering after the Consent Payment Deadline will be eligible to
receive only the "Tender Offer Consideration," which shall be
US$1,005 for each US$1,000 principal amount of Notes.  Holders
who validly tender their Notes by the Consent Payment Deadline
and whose Notes are accepted for purchase will receive payment
on or about the initial payment date, which is expected to be on
or about March 19, 2007.  Holders whose Notes are validly
tendered and are accepted for purchase will also receive accrued
and unpaid interest from the most recent interest payment date
for the Notes to, but not including, the applicable payment
date.

The tender offer is scheduled to expire at 5:00 p.m., New York
City time, on March 30, 2007, unless extended or earlier
terminated.  Tendered Notes may not be withdrawn and consents
may not be revoked after the Consent Payment Deadline unless the
company is otherwise required by applicable law to permit the
withdrawal and revocation.

The tender offer and consent solicitation are subject to the
satisfaction of certain conditions, including the consummation
of the merger, as described in Cenveo's Form 8-K filed with the
U.S. Securities and Exchange Commission on Dec. 27, 2006.
During the offer, Cadmus is expected to be acquired by and then
merge with and into the company, with the Notes effectively
becoming those of the company following the merger.  The merger,
however, is not conditioned on receipt of the requisite
consents.  The complete terms and conditions of the tender offer
and consent solicitation are described in the Offer to Purchase
and Consent Solicitation Statement of the Company dated
March 5, 2007, copies of which may be obtained by contacting
MacKenzie Partners, Inc., the information agent for the offer,
at (212) 929-5500 (collect) or (800) 322-2885 (U.S. toll-free).
Wachovia Securities and JPMorgan are the dealer managers and
solicitation agents for the tender offer and consent
solicitation.  Additional information concerning the tender
offer and consent solicitation may be obtained by contacting
Wachovia Securities, Liability Management Group, at (704) 715-
8341 (collect) or (866) 309-6316 (US toll-free) or JPMorgan,
High Yield Capital Markets, at (212) 270-3994 (collect).

                About Cadmus Communications

Headquartered in Richmond, Virginia, Cadmus Communications Corp.
provides end-to-end integrated graphic communications and
content processing services to professional publishers, not-for-
profit societies, and corporations.  Its annual revenue is
approximately US$450 million.  It has operations in the US,
India and the Caribbean Rim.

                         About Cenveo

Headquartered in Stamford, Connecticut, Cenveo, Inc., is one of
North America's leading providers of print and visual
communications, with one-stop services from design through
fulfillment.  The company's broad portfolio of services and
products include commercial printing, envelopes, labels,
packaging and business documents delivered through a network of
production, fulfillment and distribution facilities throughout
North America.  Cenveo Corp. is Cenveo Inc.'s wholly owned
subsidiary.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 16, 2007, Standard & Poor's Ratings Services affirmed its
'B+' corporate credit rating on Cenveo Inc. and assigned its
bank loan and recovery ratings to subsidiary Cenveo Corp.'s
proposed US$925 million senior secured credit facility.  The
facility was rated 'B+' (at the same level as the corporate
credit rating on Cenveo) with a recovery rating of '2',
indicating the expectation for substantial (80%-100%) recovery
of principal in the event of a payment default.  At the same
time, Standard & Poor's removed all ratings from CreditWatch.
The outlook is positive.

As reported in the Troubled Company Reporter-Latin America on
Feb 14, 2007, Moody's Investors Service confirmed the B1
corporate family rating of Cenveo Corp. and assigned a Ba3
rating to its proposed senior secured bank facility intended to
fund the acquisition of Cadmus Communications Corp. for
approximately US$430 million.  Moody's also changed LGD
assessments on Cenveo debt securities to reflect the proposed
liability structure in accordance with our Loss Given Default
Methodology and confirmed all other existing Cenveo ratings.
Moody's said the ratings outlook is negative.




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


ROYAL & SUN: Has 2,988,373,423 Total Voting Rights & Capital
------------------------------------------------------------
As of Feb. 28, Royal & Sun Alliance Insurance Group plc's
capital consists of 2,988,373,423 ordinary shares with voting
rights.

Therefore, the total number of voting rights in Royal & Sun is
2,988,373,423.

The figure may be used by shareholders as the denominator for
the calculations by which they will determine if they are
required to notify their interest in, or a change to their
interest in, the company under the FSA's Disclosure and
Transparency Rules.

Headquartered in London, Royal & Sun Alliance Insurance Group
PLC -- http://www.royalsunalliance.com/-- is a FTSE 100
company, listed on the London Stock Exchange and in New York.
The group consists of three regions -- U.K., Scandinavia and
International -- with operations in 30 countries, providing
general insurance products to over 20 million customers
worldwide.  In Latin America, it operates in Brazil, Chile,
Colombia, Mexico, Uruguay and Venezuela.  In Asia, the company
operates in Hong Kong, Singapore and Saudi Arabia.

                        *     *     *

As of Feb. 22, Royal & Sun Alliance Insurance Group PLC carries
Moody's Ba1 preferred stock rating.




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


DAIMLERCHRYSLER AG: Blackstone Is Lead Contender for U.S. Unit
--------------------------------------------------------------
Blackstone Group is the leading contender to buy DaimlerChrysler
AG's Chrysler Group, Reuters reports, citing The Detroit News.

According to the report, the private equity firm is moving
forward with a detailed analysis of Chrysler's finances and
operations with an eye toward making a formal bid.

Other possible buyers to the German automaker's troubled U.S.
unit include Cerberus Capital Management, Reuters said, quoting
The Detroit News.

Reuters relates that two sources close to the sales said last
week that a detailed sales prospectus for Chrysler Group bidders
should be completed soon, the first step toward a potential sale
that would unwind the 1998 merger that created DaimlerChrysler.

Private equity firms are expected to be among the potential
bidders for Chrysler that would consider the automaker's sale-
related documents, the sources told Reuters.

                     Lower February Sales

As reported in the Troubled Company Reporter on Mar. 2, 2007,
DaimlerChrysler AG's Chrysler Group reported sales for February
2007 of 174,506 units; down 8% compared with February 2006 with
190,367 units.  All sales figures are reported unadjusted.

"In a generally soft market environment in February, the
Chrysler Group had good traffic and solid customer interest
especially for our newly launched, fuel efficient models like
the Dodge Avenger, Dodge Caliber, and Jeep(R) Compass.  Also,
the Jeep Wrangler had its best February ever," Chrysler Group
Vice President for Sales and Field Operations Steven Landry
said.

The Dodge Avenger posted sales of 5,205 units.  The vehicle is
one of the Chrysler Group's five new models that achieve 30
miles per gallon or better in highway driving.

Jeep Wrangler and Wrangler Unlimited continued to post strong
sales in February with 9,240 units, a rise of 63% over February
2006 sales of 5,673 units.  February 2007 marks the best month
of February in the history of the Jeep Wrangler.

Sales of the Jeep Compass increased 3% over the previous month
with 4,071 units compared with 3,965 units in January 2007.

The Dodge Caliber finished February with sales of 9,900 units,
an increase of 14% compared with last month with 8,672 units.

Dodge Ram pickup sales continued to increase after an already
strong January and posted sales of 28,633 units, up by 17% over
the previous month with 24,379 units.

"Building on the sales momentum of the Dodge Ram in the first
two months of 2007, March will be the Chrysler Group's 'National
Truck Month.'

"Our marketing approach will primarily focus on our biggest
volume model, the Dodge Ram, and tie it with the value of one of
our most successful product features, the legendary HEMI(R)
engine," Chrysler Group Vice President for Sales and Dealer
Operations Michael Manley said.

"Customers have the opportunity to get a no-extra-charge HEMI
engine upgrade for the Dodge Ram 1500 as well as the Dodge
Durango.  We are confident that 'National Truck Month' will
resonate well with our customers."

Chrysler Group finished the month with 492,230 units of
inventory, or a 68-day supply.  Inventory is down by 8% compared
with February 2006 when it was at 532,534 units.

                    About DaimlerChrysler

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- develops, manufactures,
distributes, and sells various automotive products, primarily
passenger cars, light trucks, and commercial vehicles worldwide.
It primarily operates in four segments: Mercedes Car Group,
Chrysler Group, Commercial Vehicles, and Financial Services.

The company's worldwide locations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam and Australia.

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
costsfor employees and retirees, continuing high fuel prices and
a stronger shift in demand toward smaller vehicles.  At the same
time, key competitors have further increased margin and volume
pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.


DAIMLERCHRYSLER: Plans to Cut 1,000 Salaried Jobs by June 2007
--------------------------------------------------------------
As part of DaimlerChrysler AG's Chrysler Group Recovery and
Transformation Plan, the company has targeted the reduction of
2,000 salaried positions by 2008.

The Chrysler Group intends to reach that target through
attrition and special programs.  The special programs include
the following separation incentive and early retirement packages
for non-bargaining unit, or salaried employees.

The aim of the packages is to reach the 2007 reduction target of
1,000 salaried positions by June 30, 2007.

The packages include these programs:

   Separation Incentive Program:

   * Eligibility

     -- All non-union salaried employees aged 62 or older with
        10 or more years of service as of May 31, 2007.

   * Program Terms:

     -- Offers made May 7, 2007, and returned by May 31, 2007.

     -- Retirements effective May 31, 2007.

     -- Program incentives include three months salary and
        either a US$20,000 car voucher grossed up for taxes, or
        a US$20,000 contribution to the Retirement Health Care
        Account.

     -- 100% Retiree Choice medical credits through aged 64 and
        at age 65 100% Credits in the Health Care Retirement
        Account.  Ordinarily, an employee must be aged 60 with
        30 years of service to receive 100%.

   Special Early Retirement:

   * Eligibility

     All non-union salaried employees aged 53 to 61 years old
     with 10 or more years of service, with earnings in 2006 of
     less than US$100,000 and select non-union salaried
     employees, aged 55 to 61 years old with 10 or more years of
     service with 2006 earnings of US$100,000 or greater.

     -- This is in compliance with Internal Revenue Service
        guidelines.

     -- Eligibility requirements must be satisfied by June 30,
        2007.

   * Program Terms:

     -- Offers will be made to select employees June 4
        and returned by June 29.

     -- Retirements effective June 30.

     -- Retirement benefits will not be reduced by an early
        retirement reduction percent.

     -- 100% Retiree Choice medical credits through age 64 and
        at age 65 100% credits in the Health Care Retirement
        Account.  Ordinarily, an employee must be age 60 with 30
        years of service to receive 100%.

DaimlerChrysler had about 16,800 salaried workers and about
82,500 total employees as of Dec. 31, 2006, Reuters reports
citing Chrysler Group spokesman Mike Aberlich.

                    About DaimlerChrysler

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- engages in the development,
manufacture, distribution, and sale of 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.

DaimlerChrysler has operations in Australia, China, Indonesia,
Japan, Korea, Malaysia and Thailand.

DaimlerChrysler lowered its operating profit forecast for full-
year 2006 to be in the magnitude of EUR5 billion (USUS$6.4
billion) based on an expected full-year operating loss of
approximately EUR1 billion (USUS$1.2 billion) for its Chrysler
Group.

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.  Chrysler Group
will take additional production cuts in the third and fourth
quarters to reduce dealer inventories and make way for its
current product offensive.


DAIMLERCHRYSLER AG: Two Main Unions Spar Over Chrysler's Future
---------------------------------------------------------------
DaimlerChrysler AG's two major unions, German IG Metall and the
United Auto Workers of the U.S., disagree over the mechanics of
the looming sale of the troubled Chrysler unit, the Wall Street
Journal relates.

According to the report, labor representatives on the company's
board intend to block a potential all-share deal with GM in
exchange for Chrysler.

As reported in THE TCR-Europe on Feb. 28, DaimlerChrysler is
considering General Motors Corp.'s offer to give the company a
minority stake in GM in return for Chrysler if both groups come
to an agreement on the sale of the unit.

The unions' common ground regarding the unit's sale ends there,
however, as regional interests collide.  IG Metall is concerned
that capital which could be spent augmenting the German
Mercedes-Benz brand would instead be wasted on saving Chrysler,
WSJ states.

On the other hand, the U.S. arm is highly dependent on the
Mercedes-Benz brand, with UAW President Ron Gettelfinger urging
DaimlerChrysler's management to use the German division's
resources to fix Chrysler, the report says.

The Troubled Company Reporter revealed on Feb. 28 that the
company's Chrysler Group and UAW agreed on two special programs
that will provide retirement and separation incentives for the
Company's bargaining-unit employees in the U.S. as part of the
Chrysler Group's Recovery and Transformation Plan.

Meanwhile, DaimlerChrysler plans to give bonuses of EUR2,000
each to 132,000 of its German employees as reward for the
stellar performances of its Mercedes unit and commercial-truck
division, WSJ reports.

                   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 company's worldwide operations are located in Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam, and Australia.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.


PETROLEOS DE VENEZUELA: Takes Over Exxon's Orinoco Operations
-------------------------------------------------------------
ExxonMobil, the world's largest integrated oil company, hands
over the majority stake it controls in the Cerro Negro project
in Venezuela's Orinoco oil belt, a move that surprises industry
analysts who expected the oil major to take a firmer stand
against the transfer.

In January, President Hugo Chavez was given special powers by
the National Assembly to enact laws that would hasten changes in
the hydrocarbons, electricity, power, telecommunications and
other strategic industries.  The Venezuelan leader has decreed,
through its special powers, for the migration of majority stakes
in Orinoco projects to the state by May 1.

The four Orinoco projects, which have capacity to produce
620,000 barrels per day of oil but are churning out less than
600,000 barrels per day, include:

          -- Ameriven,
          -- Petrozuata,
          -- Cerro Negro, and
          -- Sincor.

While Petroleos de Venezuela, which already has a 40% stake on
average in each project, seeks to raise the stake to 60%.

The foreign partners in the Orinoco projects are:

          -- US oil and gas major ExxonMobil,
          -- UK's BP,
          -- US major ConocoPhillips,
          -- France's Total,
          -- Norway's Statoil, and
          -- US oil and gas major Chevron.

According to El Universa, a task force has been organized to
facilitate the transfer of Exxon's majority stake to Petroleos
de Venezuela.  The team is tasked to define the terms and
conditions for ExxonMobil to waive its stake in Cerro Negro.

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

                        *    *    *

As reported on Nov. 22, 2006, Fitch affirmed the local and
foreign currency Issuer Default Ratings of Petroleos de
Venezuela S.A. at 'BB-'.  Fitch has also affirmed the 'AAA(ven)'
national scale rating of the company.  Fitch said the rating
outlook is stable.


* VENEZUELA: Cheap Oil Deal with London Sparks Criticisms
---------------------------------------------------------
London Mayor Ken Livingstone's recent deal with Venezuelan
President Hugo Chavez' Government for selling 20% discount of
fuel to London buses has drawn criticisms in the United Kingdon,
El Universal reports.

Under the contract, London is saving US$31.3 million per year in
an estimated public transportation yearly budget of US$196
million, thus, allowing 250,000 low-income Londoners to pay half
prices for buses as of July 2007, says the Mayoralty.

El Universal also discloses that Political leader Damiam Hockney
of One London Party claimed that he won't take any advise from
the public transportation management agency regarding the
problems the body is facing.

London weekly newspaper Time Out commented that the benefits
Caracas is acquiring from the pact are vague.

Richard Barnes criticized that London, one of the richest
capitals in the world, won't need to exploit a developing
country.  Instead, the money should be used to help the poor in
Venezuela itself, Mr. Barnes suggested.

Citing Mr. Barnes, Time Out relates that Mayor Livingstone has
initialed a dubious oil deal with unknown details because of the
secrecy surrounding the pact.

"London should not make business with South American third
category dictators with a dreadful background in human rights
and democracy," Mr. Barnes emphasized, according to El
Universal.

                        *     *     *

As reported in the Troubled Company Reporter on Nov. 20, 2006,
Fitch Ratings affirmed Venezuela's long-term foreign and local
currency Issuer Default Ratings at 'BB-'.  At the same time, the
agency also affirmed the short-term foreign currency IDR at 'B'
and the Country Ceiling at 'BB-'.  Fitch said the outlook on the
ratings remains stable.


* VENEZUELA: Will Create Banco del Sur with Argentina
-----------------------------------------------------
Venezuela will create with Argentina a regional development
bank, which will be called Banco del Sur, Argentine reports say.

Business News Americas relates that Banco del Sur will provide
financing for regional projects in areas like infrastructure and
human development.

Bolivia, Brazil, Ecuador and Paraguay will join the bank as
members, Argentine daily El Cronista notes.

El Universal underscores that Argentina's President Nestor
Kirchner will visit Venezuela to promote the creation of the
bank.

President Kirchner and Venezuela's President Hugo Chavez will
also sign trade agreements, define the Venezuelan financial aid
to Argentine dairy cooperative Sancor and disclose the first
joint drilling of an oil well by Venezuelan state oil Petroleos
de Venezuela and Argentine counterpart Enarsa, El Universal
states.

                        *     *     *

As reported in the Troubled Company Reporter on Nov. 20, 2006,
Fitch Ratings affirmed Venezuela's long-term foreign and local
currency Issuer Default Ratings at 'BB-'.  At the same time, the
agency also affirmed the short-term foreign currency IDR at 'B'
and the Country Ceiling at 'BB-'.  Fitch said the outlook on the
ratings remains stable.


* President George Bush Approves Latin American Initiatives
-----------------------------------------------------------
American President George Bush approved Monday a host of
programs for the Latin American region in time for his five-
nation trip.  These programs are aimed at improving health care,
education, small businesses and home ownership in the region.

In line with his plans, The Wall Street Journal says U.S. would
send a Navy vessel to dispense medical care throughout Latin
America, spend US$75 million over three years on English-
language training for the poor and develop a new small-business
loan initiative.

President Bush will be visiting Brazil, Uruguay, Colombia,
Guatemala and Mexico to highlight the benefits of democracy and
open markets as opposed to the socialist agenda propagated by
Venezuelan President Hugo Chavez.

The American leader said in a speech to the U.S. Hispanic
Chamber of Commerce that ongoing poverty in Latin America is
scandalous, The Washington Times relates.

"In too many places ... a government official is seen as
somebody who serves himself, or serves only the rich and the
well-connected," Pres. Bush was quoted by the Times as saying.
"We're working with our partners to change old patterns and
ensure that government serves all its citizens."

                         Energy Talks

Reports say that one of the U.S. president's top agenda is an
ethanol cooperation program with Brazil.  As previously
reported, the two nations commenced talks last month over an
energy partnership that encourages the use of ethanol globally.

The use of biofuels is hoped to lessen Venezuela's growing
influence through its vast reserves of oil and gas.


* Large Companies with Insolvent Balance Sheets
-----------------------------------------------
                                Total
                                Shareholders  Total
                                Equity        Assets
Company                 Ticker  (US$MM)       (US$MM)
-------                 ------  ------------  -------
Kuala                    ARTE3     (33.57)      11.86
Kuala-Pref               ARTE4     (33.57)      11.86
Bombril                  BOBR3    (781.53)     473.67
Bombril-Pref             BOBR4    (781.53)     473.67
CIC                      CIC    (1,883.69)  22,312.12
SOC Comercial PL         COME     (743.79)     459.53
CIMOB Partic SA          GAFP3     (44.38)     121.74
CIMOB Part-Pref          GAFP4     (44.38)     121.74
DOC Imbituba             IMBI3     (19.84)     192.80
DOC Imbitub-Pref         IMBI4     (19.84)     192.80
IMPSAT Fiber Networks    IMPTQ        N.A.       N.A.
Kepler Weber             KEPL3     (22.20)     478.81
Paranapanema SA          PMAM3     (53.36)   3,268.96
Paranapanema-PREF        PMAM4     (53.36)   3,268.96
Teka                     TEKA3    (236.45)     540.81
Teka-PREF                TEKA4    (236.45)     540.81
Varig SA                 VAGV3  (8,194.58)   2,169.10
Varig SA-PREF            VAGV4  (8,194.58)   2,169.10


                         ***********


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

Troubled Company Reporter - Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Marjorie C. Sabijon, Sheryl Joy P. Olano, Rizande
de los Santos, Christian Toledo, and Junald Ango, Editors.

Copyright 2076.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.

Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are US$25 each.  For
subscription information, contact Christopher Beard at
240/629-3300.


           * * * End of Transmission * * *