TCRLA_Public/070412.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

          Thursday, April 12, 2007, Vol. 8, Issue 72

                          Headlines

A R G E N T I N A

ASOCIACION FRANCESA: Creditors Will Vote on Settlement Plan Tom
BACS I: Fitch Arg Places CC(arg) Rating on US$12.164-Mil. Debt
BODEGAS CUVILLIER: Creditors to Vote on Settlement Plan Tomorrow
COMPANIA GENERAL: Trustee To File Individual Reports Tomorrow
DAIMLERCHRYSLER AG: Board Names Dr. Manfred Bischoff as Chairman

ESTABLECIMIENTOS METALURGICOS: Claims Validation Ends on May 10
FEGITOM SRL: Trustee To Present Individual Reports in Court Tom
INDUPOL SRL: Proofs of Claim Verification Is Until July 2
PLAPEL SA: Proofs of Claim Verification Deadline Moved to May 10
SALOMON TARBUCH: Creditors to Vote on Settlement Plan Tomorrow

VADEMARCO SA: Creditors to Vote on Settlement Plan Tomorrow

* BUENOS AIRES: Moody's Puts B3 Rating on Planned US$400MM Notes

B E L I Z E

CONTINENTAL AIRLINES: Sells US$1.1 Bil. Classes A-C Certificates

B E R M U D A

FOSTER WHEELER: Earns US$262 Million in Year Ended Dec. 29, 2006
FOSTER WHEELER: Moody's Ups Corp. Family Rating to Ba3 from B1
FOSTER WHEELER: Subsidiaries Gets Thai Power Supplier Contract
FOSTER WHEELER: Supplies Coker Heaters to Chinese Oil Refinery
REFCO INC: June 29 Hearing Set for US$108-Mln BAWAG Settlement

B R A Z I L

BANCO DO BRASIL: Banco Nossa Denies Purchase Talks
BANCO ITAU: Declines Banco Commercial's Offer to Buy BPI
BRASIL TELECOM: Denies Merger with Oi
CAIXA ECONOMICA: Inks Financing Deal with Imobiliaria Itaplan
COMPANHIA SIDERURGICA: May be Interested in Acquiring Ferteco

FIAT SPA: Moody's Assigns Loss-Given-Default Rating
MRS LOGISTICA: To Launch Construction Works at Santos Terminal
NORTEL NETWORKS: Names Jeff Townley as Chief Procurement Officer
NOSSA CAIXA: Denies Acquisition Talks with Banco do Brasil
REALOGY CORP: Completes US$8.5-Bil. Merger with Apollo Affiliate

REALOGY CORP: Earns US$365 Million in Full Year 2006
SANYO ELECTRIC: Unit Completes Solar Plant Works in Hungary
TELE NORTE: Brasil Telecom Denies Merger Talks
TRW AUTOMOTIVE: Plans to Refinance US$2.5-Bil. Credit Facilities
USINAS SIDERURGICAS: Unibanco Holds Recommendation on Stock

* BRAZIL: Transpetro Inks Tanker-Building Pact with Rio Naval

C A Y M A N   I S L A N D S

BB NETWORK: Will Hold Final Shareholders Meeting on June 7
HFT RE CDO: Sets Final Shareholders Meeting for May 31
PACIFIC FALCON: Will Hold Final Shareholders Meeting on May 4
SAM INVESTMENTS: Sets Final Shareholders Meeting for May 4
SION HALL: Proofs of Claim Filing Deadline Is May 14

SION HALL: Sets Final Shareholders Meeting for May 15
SION HALL ENHANCED: Proofs of Claim Filing Ends on May 14
SION HALL ENHANCED: To Hold Last Shareholders Meeting on May 15
TRAMINI HOLDINGS: Sets Final Shareholders Meeting for May 4
TT PARTNERS: Will Hold Final Shareholders Meeting on June 2

TWINKLE FUNDING: Sets Final Shareholders Meeting for May 4

C H I L E

COEUR D'ALENE: Gives Summary Update on San Bartolome Project
PHELPS DODGE: Fitch Changes Freeport's Outlook to Positive
PHELPS DODGE: Freeport To Redeem 10-1/8% Senior Notes on May 4

C O L O M B I A

BANCOLOMBIA SA: Unit Starts Public Tender Offer of Banagricola

C U B A

* CUBA: Worries on Food Price Increase Due to Sugar Demand

D O M I N I C A N   R E P U B L I C

FLOWSERVE CORP: Opens US$8.5MM Pump Manufacturing Plant In India
JETBLUE AIRWAYS: Launches 10-Day Travel Sale Promo

E C U A D O R

IMPSAT FIBER: Earns US$285 Million in Year Ended Dec. 31, 2006

* ECUADOR: May Adopt Argentina's Debt Restructuring Scheme

E L   S A L V A D O R

BIO-RAD LABS: To Report First Quarter Financial Results on May 3

G R E N A D A

* GRENADA: Minister Comments on S&P's Credit Rating Cut to CCC+

J A M A I C A

AIR JAMAICA: Government To Help Raise J$8.4 Bil. to Meet Goals
DYOLL GROUP: Correcting Problems Leading to Trading Suspension
NATIONAL COMMERCIAL: Jamaica's Largest Bank in Terms of Assets

M E X I C O

AMERICAN AIRLINES: S&P Affirms B Rating; Revises Outlook to Pos.
ARROW ELECTRONICS: Annual Shareholders' Meeting Slated for May 8
DELTA AIR: Republic Airways Sells Claim for US$44.59 Million
FORD MOTOR: Taps Getronics To Provide Workspace Communications
GRUPO FINANCIERO: Sells Fianzas Banorte

INT'L RECTIFIER: Moody's Reviews Ratings on Erroneous Reporting
OCEANIA CRUISES: S&P Affirms B Rating; Revises Outlook to Pos.
SMART & FINAL: Moody's Assigns Prelim Ratings on Sharp Holdings
UNITED RENTALS: Possible Sale Cues Fitch to Put Ratings on Watch
UNITED RENTALS: Potential Sale Cues Moody's Negative Outlook

UNITED RENTALS: Possible Sale Cues S&P to Place Ratings on Watch

P E R U

GOODYEAR TIRE: Shareholders Re-Elect 11 Members to Board
LEVI STRAUSS: Earns US$87 Million in Quarter Ended February 25

P U E R T O   R I C O

DIRECTV GROUP: Negotiating with Google to Sell TV Ads
DIRECTV GROUP: Buying Amplifiers & Modulators from Radyne Corp.

T R I N I D A D   &   T O B A G O

MIRANT CORPORATION: Board Exploring Strategic Alternatives

U R U G U A Y

* URUGUAY: Inks Three Trade Agreements with Chile

V E N E Z U E L A

HERBALIFE: Changes Annual Meeting Venue to Beverly Hills Hotel
PETROLEOS DE VENEZUELA: Unit Could Become Independent State Firm

* VENEZUELA: Could Seize Private Hospitals, Pres. Chavez Warns
* VENEZUELA: Won't Issue Additional Bonds of the South Soon
* VENEZUELA: Worries on Food Price Increase Due to Sugar Demand


                          - - - - -


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


ASOCIACION FRANCESA: Creditors Will Vote on Settlement Plan Tom
---------------------------------------------------------------
Asociacion Francesa Filan-tropica y de Beneficencia, a company
under reorganization, will present a settlement plan to its
creditors on April 13, 2007.

Estudio Wengrovsky y Gonzalez, the court-appointed trustee for
Asociacion Francesa's reorganization proceeding, submitted
individual reports in court.  The reports were based on
creditors' claims that Estudio Wengrovsky verified until
June 21, 2006.   The National Commercial Court of First Instance
No. 20 in Buenos Aires determined the verified claims'
admissibility, taking into account the trustee's opinion and the
objections and challenges raised by Asociacion Francesa and its
creditors.  

Estudio Wengrovsky also presented a general report containing an
audit of Asociacion Francesa's accounting and banking records in
court.

Clerk No. 39 assists the court on the case.

The debtor can be reached at:

         Asociacion Francesa Filan-tropica y de Beneficencia
         La Rioja 951
         Buenos Aires, Argentina

The trustee can be reached at:

         Estudio Wengrovsky y Gonzalez
         Gascon 1090
         Buenos Aires, Argentina


BACS I: Fitch Arg Places CC(arg) Rating on US$12.164-Mil. Debt
--------------------------------------------------------------
Fitch Argentina Calificadora de Riesgo S.A. assigned a CC(arg)
rating on BACS I's Debt Security Class B Series 2001-1 for
US$12,164,00


BODEGAS CUVILLIER: Creditors to Vote on Settlement Plan Tomorrow
----------------------------------------------------------------
Bodegas Cuvillier S.A., a company under reorganization, will
present a settlement plan to its creditors on April 13, 2007.

Estudio Guaita-Suez Asociados, the court-appointed trustee for
Bodegas Cuvillier's reorganization proceeding, submitted
individual reports in court.  The reports were based on
creditors' claims that Estudio Guaita-Suez verified.  The
National Commercial Court of First Instance No. 1 in Buenos
Aires determined the verified claims' admissibility, taking into
account the trustee's opinion and the objections and challenges
raised by Bodegas Cuvillier and its creditors.  

Estudio Guaita-Suez also presented a general report containing
an audit of Bodegas Cuvillier's accounting and banking records
in court.

Clerk No. 2 assists the court on the case.

The debtor can be reached at:

             Bodegas Cuvillier S.A.
             Cerrito S.A.
             Buenos Aires, Argentina

The trustee can be reached at:

             Estudio Guaita-Suez Asociados
             Carlos Calvo 839
             Buenos Aires, Argentina


COMPANIA GENERAL: Trustee To File Individual Reports Tomorrow
-------------------------------------------------------------
Mario Armando Lopez, the court-appointed trustee for Compania
General de Publicidad SA's reorganization proceeding, will
present creditors' validated claims as individual reports in the
National Commercial Court of First Instance in Buenos Aires on
April 9, 2007.

The court will determine if the verified claims are admissible,
taking into account the trustee's opinion and the objections and
challenges raised by Compania General and its creditors.

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

Mr. Lopez verified creditors' proofs of claim until
Feb. 23, 2007.

Mr. Lopez will also submit to court a general report containing
an audit of Compania General's accounting and banking records on
May 31, 2007.

The informative assembly will be held on Nov. 29, 2007.
Creditors will vote to ratify the completed settlement plan
during the assembly.

The trustee can be reached at:

          Mario Armando Lopez    
          Juan D. Peron 1610
          Buenos Aires, Argentina


DAIMLERCHRYSLER AG: Board Names Dr. Manfred Bischoff as Chairman
----------------------------------------------------------------
The Supervisory Board of DaimlerChrysler AG elected Dr. Manfred
Bischoff, Chairman of the Board of Directors of the European
Aeronautic Defence and Space Company, as its new Chairman with
immediate effect.  Dr. Bischoff succeeds Hilmar Kopper, who was
a member of the Supervisory Board for 17 years.  The former
chairman of the Supervisory Board of Deutsche Bank AG was
elected as a member of the Supervisory Board of Daimler-Benz AG
on Jan. 4, 1990, and on March 7 of that year, the Supervisory
Board elected him as its Chairman.

Previously, the Annual Meeting of DaimlerChrysler AG on April 4,
2007, elected Prof. Dr. Clemens Boersig, Chairman of the
Supervisory Board of Deutsche Bank AG, as a new member of the
Supervisory Board replacing Hilmar Kopper.  Mr. Clemens Borsig's
period of office lasts until the end of the Annual Meeting in
2012.

In addition, Manfred Bischoff was elected as the new Chairman of
the Presidential Committee and succeeds Hilmar Kopper also in
this position.  The new member of the Presidential Committee is
Dr. rer. pol. Manfred Schneider, Chairman of the Supervisory
Board of Bayer AG.

New Supervisory Board member Clemens Borsig succeeds Hilmar
Kopper as a member of the Audit Committee. The Chairman of the
Audit Committee is still Bernhard Walter, former chairman of the
Board of Management of Dresdner Bank AG.

DaimlerChrysler's shareholders also approved the distribution of
a dividend for 2006 of EUR1.50 per share (prior year: EUR1.50
per share). The total dividend distribution amounts to
EUR1.542 billion.  The item of the agenda "Allocation of
Unappropriated Profit" was approved with 99.81% of the votes
cast.

The members of the Board of Management were ratified with
percentages ranging from 97.06 to 97.07%, the members of the
Supervisory Board were ratified with percentages ranging from
96.07 to 96.22%.  The additional items of the agenda submitted
by shareholders were only approved with a maximum of 5.2% of the
votes cast and therefore rejected.

Approximately 7,900 shareholders attended the Annual Meeting at
the Berlin Messe exhibition center (prior year: 8,100).  39.19%
of the shareholders' voting rights were represented at the
Annual Meeting.

On April 5, 2007, the dividend will be paid out to those
shareholders who held shares on April 4, 2007.

                       About DaimlerChrysler

Based in Stuttgart, Germany, DaimlerChrysler AG (NYSE:DCX) (FRA:
DCX) -- 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.


ESTABLECIMIENTOS METALURGICOS: Claims Validation Ends on May 10
---------------------------------------------------------------
Ricardo Felix Fernandez, the court-appointed trustee for
Establecimientos Metalurgicos Matias Lopez S.A.I.C.F.E.I.'s
bankruptcy proceeding, verifies creditors' proofs of claim until
May 10, 2007.

Mr. Fernandez will present the validated claims in court as
individual reports on June 22, 2007.  The National Commercial
Court of First Instance in Buenos Aires will determine if the
verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will
be raised by Establecimientos Metalurgicos and its creditors.

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

A general report that contains an audit of Establecimientos
Metalurgicos' accounting and banking records will be submitted
in court on Aug. 21, 2007.

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

The trustee can be reached at:

          Ricardo Felix Fernandez
          Tucuman 1567
          Buenos Aires, Argentina


FEGITOM SRL: Trustee To Present Individual Reports in Court Tom
---------------------------------------------------------------
Horacio Jorge Redolatti, the court-appointed trustee for Fegitom
SRL's bankruptcy proceeding, will present creditors' validated
claims as individual reports in the National Commercial Court of
First Instance in Buenos Aires on April 13, 2007.

The court will determine if the verified claims are admissible,
taking into account the trustee's opinion and the objections and
challenges raised by Fegitom and its creditors.

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

Mr. Redolatti verified creditors' proofs of claim until
Feb. 27, 2007.

Mr. Redolatti will also submit to court a general report
containing an audit of Fegitom's accounting and banking records
on May 29, 2007.

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

The debtor can be reached at:

          Fegitom SRL
          Chacabuco 3242
          Mar del Plata
          Buenos Aires, Argentina

The trustee can be reached at:

          Horacio Jorge Redolatti
          Rawson 2272, Mar del Plata
          Buenos Aires, Argentina  


INDUPOL SRL: Proofs of Claim Verification Is Until July 2
---------------------------------------------------------
Arnaldo Giecco, the court-appointed trustee for Indupol S.R.L.'s
bankruptcy proceeding, verifies creditors' proofs of claim until
July 2, 2007.

Mr. Giecco will present the validated claims in court as
individual reports on July 29, 2007.  The National Commercial
Court of First Instance in Buenos Aires will determine if the
verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will
be raised by Indupol and its creditors.

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

A general report that contains an audit of Indupol's accounting
and banking records will be submitted in court on Oct. 10, 2007.

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

The debtor can be reached at:

          Indupol S.R.L.
          Juan D. Peron 1143
          Buenos Aires, Argentina

The trustee can be reached at:

          Arnaldo Giecco
          Uruguay 1061
          Buenos Aires, Argentina


PLAPEL SA: Proofs of Claim Verification Deadline Moved to May 10
----------------------------------------------------------------
Miriam Gladys Colmegna, the court-appointed trustee for Plapel
S.A.'s bankruptcy proceeding, verifies creditors' proofs of
claim until May 10, 2007.

As reported in Troubled Company Reporter-Latin America on
Feb. 26, 2007, the claims verification deadline was initially
set for May 7, 2007.

Ms. Colmegna will present the validated claims in court as
individual reports June 26, 2007.  The National Commercial Court
of First Instance No. 22 in Buenos Aires, with the assistance of
Clerk No. 43, will determine if the verified claims are
admissible, taking into account the trustee's opinion, and the
objections and challenges that will be raised by Plapel and its
creditors.

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

A general report that contains an audit of Plapel's accounting
and banking records will be submitted in court on Aug. 22, 2007.

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

The trustee can be reached at:

          Miriam Gladys Colmegna
          Sarmiento 1179
          Buenos Aires, Argentina


SALOMON TARBUCH: Creditors to Vote on Settlement Plan Tomorrow
--------------------------------------------------------------
Salomon Tarbuch e Hijos S.R.L., a company under reorganization,
will present a settlement plan to its creditors on
April 13, 2007.

Rut Noemi Alfici, the court-appointed trustee for Salomon
Tarbuch's reorganization proceeding, submitted individual
reports in court on Oct. 25, 2006.  The individual reports were
based on creditors' claims that the trustee verified until Sept.
11, 2006.   The National Commercial Court of First Instance in
Buenos Aires determined the verified claims' admissibility,
taking into account the trustee's opinion and the objections and
challenges raised by Salomon Tarbuch and its creditors.  

The trustee also presented a general report containing an audit
of Salomon Tarbuch's accounting and banking records in court on
Dec. 7, 2006.

The trustee can be reached at:

          Rut Noemi Alfici
          Rodriguez Pena 565
          Buenos Aires, Argentina


VADEMARCO SA: Creditors to Vote on Settlement Plan Tomorrow
-----------------------------------------------------------
Vademarco S.A., a company under reorganization, will present a
settlement plan to its creditors on April 13, 2007.

Oscar Scally, the court-appointed trustee for Vademarco's
reorganization proceeding, submitted individual reports in court
on Aug. 29, 2006.  The individual reports were based on
creditors' claims that Mr. Scally verified until July 3, 2006.   
The National Commercial Court of First Instance No. 3 in Buenos
Aires determined the verified claims' admissibility, taking into
account the trustee's opinion and the objections and challenges
raised by Vademarco and its creditors.  

Mr. Scally also presented a general report containing an audit
of Vademarco's accounting and banking records in court on
Oct. 10, 2006.

Clerk No. 5 assists the court on the case.

The debtor can be reached at:

          Vademarco S.A.
          Valle 1037
          Buenos Aires, Argentina

The trustee can be reached at:

          Oscar Ricardo Scally
          Arenales 875
          Buenos Aires, Argentina


* BUENOS AIRES: Moody's Puts B3 Rating on Planned US$400MM Notes
----------------------------------------------------------------
Moody's has assigned a rating of B3 (Global Scale, foreign
currency), with stable outlook, to the planned offering of up to
US$400 million senior unsecured notes by the Province of Buenos
Aires.  The province intends to use note proceeds for capital
expenditures.  The notes are expected to mature in three equal
installments in 2026, 2027 and 2028.

The assigned ratings reflect economic recovery evident in the
province and nationally, which has supported strong revenue
growth in the years since 2002.  Revenue gains contributed to
the province's better financial performance from 2002 through
2004.  The ratings also acknowledge the considerable economic
uncertainty and financial pressures still facing the province
-- reflected in weaker financial performance since 2005 -- as
well as its financial reliance on the federal government, which
includes the need to refinance debt maturities as they come due
as well as the importance of federal transfers to the province's
revenue stream (over 44% in 2005 and preliminary 2006).

Economic recovery from the crisis is evident in double-digit
real Gross Domestic Product growth (preliminary) in the three
years following the declines that concluded in 2002, an
unemployment rate that has been decreasing since reaching its
recent peak in 2002, and parallel declines in the number of
people and households in the Conurbano Bonaerense (the
province's largest urban area, with some 63% of its population)
living below the poverty line.

The recovery has contributed, along with the effects of
inflation and increased tax enforcement efforts, to double-digit
revenue growth -- ranging from 19% to nearly 32% -- for the
province in the last four years, compared to revenue declines in
the immediately preceding years.  This revenue growth and
spending control efforts enabled the province to reduce its
financing deficits and, in 2004, achieve a financing surplus,
i.e., revenues exceeded expenditures, including interest
payments.

But the province continues to face serious challenges.  The
financing surplus achieved in 2004 (excluding interest for
foreign currency debt, on which it suspended payment effective
Dec. 31, 2001), was followed by a small deficit in 2005 (ARS$276
million or 1.5% of that year's revenue), and by a larger deficit
in 2006, about ARS$1.1 billion (preliminary) or 4.9% of
revenues.  Much of the deficit may be attributed to substantial
increases in personnel spending, which rose more than ARS$5.7
billion (preliminary) or 87% in the last two years.  For 2007,
the province budgeted a financing deficit of ARS$1.6 billion or
6.2% of revenue, much of it attributable to an increase in
capital spending; following the negotiation of public employee
salaries in March 2007, the province projected that personnel
spending would grow by ARS$1.4 billion over the budget
projection for the year.

To cover principal payments on outstanding debt, which is
projected at ARS$2.85 billion in 2007 (tapering off over the
next four years to ARS$2.8 billion), the province, like many
others in Argentina, expects to rely on the federal government
for financial support.  Having assumed a large part of the
province's debt during the worst of the crisis years, the
federal government is now the province's largest single
creditor.  As of the end of 2006 it held more than 60% of the
province's debt.

Finally, the province continues to be pressed to increase public
employee salaries, which declined in real terms through July
2004 but have since been increasing.




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B E L I Z E
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CONTINENTAL AIRLINES: Sells US$1.1 Bil. Classes A-C Certificates
----------------------------------------------------------------
Continental Airlines Inc. has sold US$1,146,810,000 of
Continental Airlines Pass Through Certificates, Series 2007-1.  
The Certificates were issued in three different series,
comprised of:

   -- US$756,762,000 of Class A Certificates with a coupon of
      5.983% per annum,

   -- US$221,850,000 of Class B Certificates with a coupon of
      6.903% per annum and

   -- US$168,198,000 of Class C Certificates with a coupon of
      7.339% per annum.

Proceeds from the sale of the Certificates will initially be
held in escrow by a depositary institution. The escrowed funds
will be used to acquire equipment notes that will be issued by
Continental to finance its purchase of 30 new Boeing 737-900ER
and 737-800 aircraft scheduled for delivery from January 2008 to
March 2009.

The Certificates were offered and sold pursuant to the
Prospectus Supplement, dated March 27, 2007, to the Prospectus,
dated April 10, 2006, of Continental.  A copy of the Prospectus
Supplement is available on the company's Web site under "About
Continental," "Investor Relations," "SEC Filings," or by writing
to:

        DeAnne Gabel
        Director - Investor Relations
        Continental Airlines, Inc.
        P.O. Box 4607
        Houston, TX 77210-4607

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 15, 2007, Moody's Investors Service raised the ratings of
Continental Airlines, Inc.'s corporate family rating to B2,
senior unsecured to B3 and preferred stock to Caa1 and the
ratings of certain tranches of the airline's Enhanced Equipment
Trust Certificates or EETC's.  Moody's also affirmed Continental
Airlines' SGL-2 rating, the ratings of the EETCs not upgraded,
and the Loss Given Default rating of LGD5 - 74%.  Moody's said
the outlook remains stable.

Upgrades:

  Issuer: Cleveland (City of) Ohio

     -- Senior Unsecured Revenue Bonds, Upgraded to B3 from Caa1

  Issuer: Continental Airlines Finance Trust II

     -- Preferred Stock Preferred Stock, Upgraded to Caa1
        from Caa2

  Issuer: Continental Airlines, Inc.

     -- Corporate Family Rating, Upgraded to B2 from B3

     -- Multiple Seniority Shelf, Upgraded to a range of (P)Caa1
        to (P)B3 from a range of (P)Caa2 to (P)Caa1

     -- Senior Secured Enhanced Equipment Trust, Upgraded to
        a range of B2 to Baa2 from a range of B3 to Baa3

     -- Senior Secured Equipment Trust, Upgraded to Ba2
        from Ba3

     -- Senior Secured Shelf, Upgraded to (P)Ba3 from (P)B1

     -- Senior Unsecured Conv./Exch. Bond/Debenture, Upgraded
        to B3 from Caa1

     -- Senior Unsecured Regular Bond/Debenture, Upgraded
        to B3 from Caa1

  Issuer: Harris (County of) Texas, I.D.C.

     -- Senior Unsecured Revenue Bonds, Upgraded to B3 from Caa1

  Issuer: Hawaii Department of Transportation

     -- Senior Unsecured Revenue Bonds, Upgraded to B3 from Caa1

  Issuer: Houston (City of) Texas

     -- Senior Unsecured Revenue Bonds, Upgraded to B3 from Caa1

  Issuer: New Jersey Economic Development Authority

     -- Senior Unsecured Revenue Bonds, Upgraded to B3 from Caa1

  Issuer: Port Authority of New York and New Jersey

     -- Revenue Bonds, Upgraded to B3 from Caa1




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B E R M U D A
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FOSTER WHEELER: Earns US$262 Million in Year Ended Dec. 29, 2006
----------------------------------------------------------------
Foster Wheeler Ltd. reported net income of US$262 million on
operating revenues of US$3,495 million for the year ended
Dec. 29, 2006.  This compares with a net loss of US$109.7
million on operating revenues of US$2,200 million for the year
ended Dec. 30, 2005.

Results of operations for 2006 includes an asbestos-related net
gain of US$100.1 million, US$27.4 million in charges relating to
successful debt reduction initiatives and the voluntary
termination of the company's former domestic credit agreement,
and US$7.1 million in costs relating to the closure of the
Global Power Group's Canadian office.  Excluding these items,
net income for the year was US$196.4 million.

"2006 was an outstanding year for Foster Wheeler.  I would like
to congratulate our management team and recognize all of our
employees worldwide for transforming the earning capability of
this company to a level that far exceeds any prior period in our
company's 116-year history," said Raymond J. Milchovich,
chairman and chief executive officer.  "The combination of the
commercial and operational excellence demonstrated by our Global
E&C Group and its 47 percent increase in capacity during 2006
has driven our company's earnings and earnings growth and
positioned us for a very bright future."

Consolidated earnings before income taxes, interest expense,
depreciation and amortization for the full-year 2006 was
US$399.5 million, compared with EBITDA for the full-year 2005 of
US$8.7 million.

At Dec. 29, 2006, the company's balance sheet showed
US$2,566 million in total assets, US$2,502.3 million in total
liabilities, US$983,000 in temporary equity, and US$62.7 million
in total shareholders' equity.

Full-text copies of the company's consolidated financial
statements for the year ended Dec. 29, 2006, are available for
free at http://researcharchives.com/t/s?1ce8

                        Cash and Liquidity

The company had US$630 million of cash and short-term
investments at year-end 2006.  This total cash balance compares
with US$509.7 million at the end of the third quarter of 2006,
and US$372.7 million at year-end 2005.  The substantial cash
increase during 2006 resulted primarily from net cash generated
by operations of US$263.7 million, driven by the very strong
operating performance in the Global E&C Group.

                   Asbestos Management Program

The company recorded a net gain from its asbestos management
program in 2006 of US$100.1 million, reflecting a US$115.6
million gain from four insurance settlements and the successful
appeal of a court decision in the company's pending asbestos-
related insurance coverage litigation, and a US$15.5 million
charge in the fourth quarter of 2006 resulting from the
company's year-end update of its 15-year estimate of its
asbestos liabilities and related assets.

                       About Foster Wheeler

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.


FOSTER WHEELER: Moody's Ups Corp. Family Rating to Ba3 from B1
--------------------------------------------------------------
Moody's Investors Service has upgraded the corporate family
rating of Foster Wheeler LLC to Ba3 from B1 and the existing
rating on its US$350 million senior secured domestic credit
facility to Baa3 from Ba1.  The upgrade reflects the company's
continued improvement in earnings, cash flow and liquidity
coupled with Moody's expectation for the current strength in
end-market demand to persist and for Foster Wheeler's profitable
execution of projects currently in backlog.  The new ratings
reflect both the overall probability of default of the company,
to which Moody's assigned a Ba3 rating, and the family loss
given default assessment of LGD4.  The rating outlook is
positive.

The key rating factors driving the upgrade and positive outlook
include:

   1) the current strength of the global engineering and
      construction end-markets, which should continue to drive
      growth in Foster Wheeler's bookings and backlog,

   2) an improving global power outlook, a market in which
      Foster Wheeler should benefit from a series operational
      and management upgrades in 2006,

   3) Moody's expectation for the continued free cash flow
      generation despite the ongoing drag from asbestos
      settlements funded from operations,

   4) a significantly improved liquidity position, bolstered
      by unrestricted cash balances of US$611 million at
      Dec. 31, 2006, and US$100 million borrowing capacity
      under its US$350 million senior secured revolving credit
      facility, and

   5) the company's conservative financial policies, including
      the maintenance of low leverage and the focus on
      re-investing cash in its core businesses over shareholder
      enhancement activities.

Ratings upgraded with a positive outlook:

   -- Corporate family rating to Ba3;

   -- Probability of default rating to Ba3;

   -- US$350 million senior secured domestic credit facility
      to Baa3, LGD1, 3%.

Moody's previous rating action on Foster Wheeler was the
Oct. 16, 2006 upgrade of the US$350 million senior secured
domestic credit facility to Ba1 from Ba3.

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.


FOSTER WHEELER: Subsidiaries Gets Thai Power Supplier Contract
--------------------------------------------------------------
Foster Wheeler Ltd.'s subsidiaries within its Global Power Group
have been awarded contracts from Doosan Heavy Industries &
Construction Co. Ltd. for the design and supply of a circulating
fluidized-bed or CFB steam generator for the Glow CFB3 thermal
power project in Thailand.  Doosan Industries has been awarded
the engineering, procurement and construction contract or EPC
from Glow Energy PLC, the developer of the project.  Commercial
operation of the plant is scheduled for the end of 2009.

Foster Wheeler has received a full notice to proceed on this
contract.  The value of the contract, which was not disclosed,
will be included in Foster Wheeler's second-quarter 2007
bookings.

"We are pleased that Doosan has selected Foster Wheeler for this
important project," said Gary Nedelka, chief executive officer
of Foster Wheeler North America Corp.  "We are looking forward
to developing a lasting relationship with this well-established
EPC contractor in the Asian market."

"We are delighted to start work on the Glow CFB3 project and we
are looking forward to extending our business relationship with
Foster Wheeler to other regions," said Mr. Ryu, Doosan
Industries' vice president of overseas marketing.

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.


FOSTER WHEELER: Supplies Coker Heaters to Chinese Oil Refinery
--------------------------------------------------------------
Foster Wheeler Ltd.'s subsidiary Foster Wheeler USA Corp., part
of its Global Engineering and Construction Group, has been
awarded a contract by CNOOC Oil & Petrochemicals Co., Ltd. for
the thermal design, engineering, procurement, and material
supply of two delayed coker heaters.  The heaters will be
installed in a new four-drum delayed coking unit, which will be
part of the new CNOOC Oil Huizhou refinery at Daya Bay,
Guangdong Province, People's Republic of China.  This latest
contract follows the 2005 award to Foster Wheeler of the process
design package for the new delayed coking unit, which will be
based on its leading Selective Yield Delayed Coking process.

The terms of the award, which were included in the company's
fourth-quarter 2006 bookings, were not disclosed.

"Foster Wheeler is pleased to be awarded another contract by
CNOOC Oil," said Bruce Young, vice president and general manager
of Foster Wheeler USA Corp.'s Fired Heater Division.  "This
latest award, which consolidates our already strong position in
the supply of delayed coker heaters worldwide, reflects the
quality and the depth of our technical expertise.  In addition,
this award reflects Foster Wheeler and CNOOC Oil's close and
cooperative working relationship, which is focused on the
successful completion of this important project for the People's
Republic of China."

The Foster Wheeler delayed coker heaters, which use its
proprietary Terrace-WallTM design, are an integral component of
the company's Selective Yield Delayed Coking process technology.  
Foster Wheeler is a market leader in the supply of delayed
coking fired heaters and has supplied more than 80 coker heaters
worldwide.

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.


REFCO INC: June 29 Hearing Set for US$108-Mln BAWAG Settlement
--------------------------------------------------------------
The U.S. District Court for the Southern District of New York
will hold a fairness hearing on June 29 at 10:00 a.m. for the
proposed US$108 million partial settlement by BAWAG P.S.K. Bank
Fuer Arbeit und Wirtschaft und Osterreichische Postsparkasse
Aktiengesellschaft, a defendant in the class action, "In re
Refco, Inc. Securities Litigation, Master File No. 05 Civ. 8626
(GEL)."  
      
The hearing will be held before Judge Gerard E. Lynch in the
U.S. District Court for the Southern District of New York at:

          United States Courthouse
          500 Pearl Street
          New York
          NY 10007
          U.S.A.

The settlement covers persons or entities that purchased or
otherwise acquired Refco Group Ltd., LLC/ Refco Finance Inc. 9%
Senior Subordinated Notes due 2012 (CUSIP Nos. 75866HAA5 and/or
75866HAC1) and/or Refco, Inc. common stock (CUSIP No. 75866G109)
between Aug. 5, 2004, and Oct. 17, 2005.

Any objections or exclusions to and from the settlement must be
made on or before, May 26 and 30, respectively.

                        Case Background
   
The suit, filed in the U.S. District Court for the Southern
District of New York, was consolidated in April (Class Action
Reporter, Apr. 7, 2006).  It claimed the collapsed commodity
brokerage hid more than US$5 billion off its books, far more
than previously thought.  It also accuses company executives,
company auditors, and investment bankers of negligence.  

This discovery of the bad debts caused the collapse of the
company a mere two months after its Aug. 10, 2005, initial
public offering of common stock, and only 14 months after its
issuance of 9% Senior Subordinated Notes due 2012.  The company
filed the fourth largest bankruptcy in U.S. history as a result.

The suit is "In re Refco, Inc. Securities Litigation, Master
File No. 05 Civ. 8626 (GEL)," filed in the U.S. District Court
for the Southern District of New York under Judge Gerard E.
Lynch.  

Representing the plaintiffs are:  

     (1) Max W. Berger (MB-5010), John P. Coffey  (JC-3832),  
         John C. Browne (JB-0391) and Noam N. Mandel (NM-0203)  
         of Bernstein Litowitz Berg & Grossmann, LLP, 1285  
         Avenue of the Americas, New York, NY 10019, Phone:  
         (212) 554-1400, Fax: (212) 554-1444; and  

     (2) Stuart M. Grant (SG-8157), James J. Sabella (JS-5454),  
         Megan D. McIntyre, Jeff A. Almeida, Christine M.  
         Mackintosh and Jill Agro of Grant & Eisenhofer, P.A.,  
         Phone: (646) 722-8500 and (302) 622-7000, Fax: (646)  
         722-8501 and (302) 622-7100

For more details, contact:

         Refco Inc. Securities Litigation
         c/o The Garden City Group Inc.
         PO Box 9087
         Dublin
         OH 43017-0987
         Web site: http://www.refcosecuritieslitigation.com

                           About BAWAG

Headquartered in Vienna, Austria, BAWAG P.S.K. (Bank fur Arbeit
und Wirtschaft AG) is an Austrian universal bank founded in 1922
by former Austrian Chancellor Karl Renner.  As of 2004, the
bank's majority shareholder was the OGB (Osterreichischer
Gewerkschaftsbund), the Austrian Trade Union Federation.  The
bank had total consolidated assets of EUR56 billion as of
Dec. 31, 2004.

                          About Refco Inc.

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

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

On June 5, 2006, three more affiliates filed for chapter 11
protection namely: Westminster-Refco Management LLC, Refco
Managed Futures LLC, and Lind-Waldock Securities LLC.

Refco Commodity Management, Inc., another affiliate, filed for
bankruptcy on Oct. 16, 2006.  

The Court confirmed the Modified Joint Chapter 11 Plan of Refco
Inc. and certain of its Direct and Indirect Subsidiaries,
including Refco Capital Markets, Ltd., and Refco F/X Associates,
LLC, on Dec. 15, 2006.  That Plan became effective on
Dec. 26, 2006.




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


BANCO DO BRASIL: Banco Nossa Denies Purchase Talks
--------------------------------------------------
A Banco Nossa Caixa spokesperson denied to Business News
Americas that it will be sold to Banco do Brasil.

Weekly news magazine Veja previously reported Nossa Caixa's sale
to Banco do Brasil.

The spokesperson commented to BNamericas, "The report is
groundless.  I don't know where they got it from."

Nossa Caixa will concentrate on increasing loans and cross-sales
after agreeing in March to pay BRL2.08 billion to handle the
payroll of more than 1.1 million Sao Paulo public sector
workers, BNamericas says, citing the spokesperson.

Brazilian news agency Agencia Estado relates that Banco do
Brasil Chief Financial Officer Aldo Luiz Mendes also rejected
the report, saying that the bank's board isn't analyzing
anything.  The law doesn't allow Banco do Brasil to purchase
federal or state banks.

"Today, the only way we can grow in the market is by improving
our efficiency and profitability," Mr. Medes explained to
BNamericas.

Banco Bradesco Chief Executive Officer Marcio Cypriano commented
to the press, "It surprised me when I read it.  The operation
wouldn't be that big, but it would increase competition in the
market. The major acquisitions have been done, except for the
privatization of six or seven state banks."

"There's a lot of speculation, but little action.  There are few
possibilities, and I see little change among the big banks,"
Fabio Barbosa, CEO of the local unit of Dutch bank ABN Amro,
told BNamericas.

Any sale of a controlling share in Nossa Caixa would legally
require an auction.  Selling Nossa Caixa must be done with the
involvement of other players, BNamericas says, citing National
financial institution confederation CNF head Gabriel Ferreira.

Brazilian central bank president Henrique Meirelles and Finance
Minister Guido Mantega told BNamericas that they didn't anything
about Banco do Brasil buying Nossa Caixa.

                       About Nossa Caixa

Headquartered in Sao Paulo, Brazil, Banco Nossa Caixa SA --
http://www.nossacaixa.com.br/-- operates as a multiple bank
offering banking and financial services through commercial and
loan portfolios, including real estate and foreign exchange, as
well as administering credit cards.  Through its subsidiary, it
operates with private pensions.  Nossa Caixa uses demand, saving
and time deposits, which include judicial deposits, to fund its
operations.  The main focus of Nossa Caixa is to attend
individuals, especially public employees and small and medium-
sized companies in Sao Paulo, as well as state and municipal
government agencies.  As the official bank for the government of
the State of Sao Paulo, it administers the state's resources and
state lotteries and takes care of the payroll of the indirect
state administration and part of the direct administration.  As
of Dec. 31, 2005, the Bank's network consisted of 2,579
attendance points in its distribution network.

                     About Banco do Brasil

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 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 ITAU: Declines Banco Commercial's Offer to Buy BPI
--------------------------------------------------------
Banco Itau Holding Financeira SA, along with savings bank La
Caixa and insurance group Allianz, has rejected an offer from
Banco Comercial Portugues to purchase Banco de Investimento or
BPI, financial daily Jornal de Negocios reports.

Business News Americas relates that Banco Comercial offered the
three firms EUR4.33 billion for 100% of BPI in March.

However, the three banks rejected Banco Comercial's offer for
the third time, Jornal de Negocios notes.

Banco Itau, La Caixa and Allianz hold 51.2% of BPI.  Banco Itau
owns 17.5% of BPI and runs a remittance partnership with La
Caixa and BPI, BNamericas states.

Banco Itau Holding Financeira SA -- http://www.itau.com.br/--
is a private bank in Brazil.  The company has four principal
operations: banking -- including retail banking through its
wholly owned subsidiary, Banco Itau SA (Itau), corporate banking
through its wholly owned subsidiary, Banco Itau BBA SA (Itau
BBA) and consumer credit to non-account hold customers through
Itaucred -- credit cards, asset management and insurance,
private retirement plans and capitalization plans, a type of
savings plan.  Itau Holding provides a variety of credit and
non-credit products and services directed towards individuals,
small and middle market companies and large corporations.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 12, 2007, Fitch changed the outlook of these ratings of
Banco Itau Holding Financiera SA:

   -- foreign currency IDR at 'BB+'; outlook to positive from
      stable;

   -- local currency IDR at 'BBB-'; outlook to positive
      from stable; and

   -- national Long-term rating at 'AA+(bra)'; outlook to
      positive from stable.


BRASIL TELECOM: Denies Merger with Oi
-------------------------------------
Brasil Telecom Participacoes said in a statement that it hasn't
signed any memorandum of understanding regarding a merger,
acquisition or sale of assets with Oi fka Tele Norte Lester
Participacoes or any of its related firms.

As reported in the Troubled Company Reporter-Latin America on
April 11, 2007, weekly magazine Veja said that the Brazilian
government approved of a merger between fixed line telecoms
operator Brasil Telecom Participacoes and Oi and that it will
pass a legislation allowing the deal.

Brasil Telecom's controlling block -- Solpart Participacoes,
Techold Participacoes, Invitel and Zain Participacoes -- also
confirmed to BNamericas that they aren't in any merger and
acquisition negotiations.

                      About Tele Norte

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

The Troubled Company Reporter-Latin America reported on
March 6, 2007, Tele Norte said that it would unify its fixed,
mobile, Internet and entertainment services under the Oi brand.
Tele Norte's fixed line segment would be called Oi Fixo, while
the Internet service Velox would be renamed Oi Velox.  The
integration would be gradually adopted through August 2007.

                     About Brasil Telecom

Headquartered in Brasilia, Brazil, Brasil Telecom Participacoes
SA -- http://www.brasiltelecom.com.br-- is a holding company
that conducts substantially all of its operations through its
wholly owned subsidiary, Brasil Telecom SA.  The fixed-line
telecommunications services offered to the company's customers
include local services, including all calls that originate and
terminate within a single local area in the region, as well as
installation, monthly subscription, measured services, public
telephones and supplemental local services; intra-regional
long-distance services, which include intrastate and interstate
calls; interregional and international long-distance services;
network services, including interconnection and leasing; data
transmission services; wireless services, and other services.

                        *     *     *

Brasil Telecom Participacoes' local currency long-term debt
carries Fitch's BB+ rating.

Moody's Investors Service placed a Ba1 local currency long-term
issuer rating on Brasil Telecom.


CAIXA ECONOMICA: Inks Financing Deal with Imobiliaria Itaplan
-------------------------------------------------------------
Caixa Economica Federal told Business News Americas that it has
signed a deal with real estate agency Imobiliaria Itaplan to
offer financing to property buyers in Sao Paulo.

BNamericas relates that the alliance let Imobiliaria Itaplan
customers to get payroll-linked loans, credit cards and open
checking accounts from Caixa Economica.

According to BNamericas, Imobiliaria Itaplan sold about 1,000
units with Caixa Economica funding in 2006.  Caixa Economica
expects to increase the sale in 2007.

The report says that Caixa Economica's budget for home loans
increased 22.5% to BRL17.4 billion this year, from last year's
BRL14.2 billion.

Caixa Economica told BNamericas that it also signed a consumer
loan accord with the pensioners and retirees federation of Santa
Catarina.

Caixa Economica will lend BRL85 billion this year, BNamericas
states.

Apart from its commercial banking activities, Caixa Economica
Federal is responsible for executing policies in the areas of
housing and basic sanitation, the administration of social funds
and programs and federal lotteries.  Caixa Economica Federal is
Brazil's second largest financial institution and is the fourth
largest bank in Latin America.  According to a 2002 ranking of
Latin American banks undertaken by Caracas-based SOFTline, it
had US$36.3 billion (11.7%) in assets, deposits valued at
US$21.7 billion and loans worth US$7 billion as of 2002.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 4, 2006, Moody's Investors Service upgraded these ratings
of Caixa Economica Federal:

   -- long-term foreign currency deposits to Ba3 from Ba1; and

   -- long- and short-term global local currency deposit ratings
      to A1/Prime-1 from A3/Prime-2.

Moody's said the ratings outlook was stable.


COMPANHIA SIDERURGICA: May be Interested in Acquiring Ferteco
-------------------------------------------------------------
Companhia Siderurgica Nacional Mining Director Juarez Saliba
told the press that the firm would be keen on acquiring iron ore
miner Ferteco if it is put up for sale.

Mr. Saliba commented to Business News Americas, "If CVRD decides
to give up Ferteco, CVRD [Companhia Vale Rio Doce] could
consider CSN [Companhia Siderurgica] as a serious candidate to
acquire the company.  We would be willing to purchase Ferteco."

BNamericas relates that Brazilian antitrust authority Cade
decided in 2005 that mining and metals group CVRD must either
sell Ferteco or give up its right to buy excess iron ore from
Companhia Siderurgica's Casa de Pedra mine.

However, CVRD will file an appeal on Cade's decision in courts,
BNamericas states.

Companhia Siderurgica Nacional is one of the lowest-cost steel
producers in the world, which is a result of its access to
proprietary, high-quality iron ore (at the Casa de Pedra mine);
self-sufficiency in energy; streamlined facilities; and
logistics advantages.  This is in addition to the group's strong
market position in the fairly concentrated steel industry in
Brazil.

                        *     *     *

As reported on Feb. 2, 2007, Standard & Poor's Ratings Services
affirmed its 'BB' local- and foreign-currency corporate credit
ratings on Brazil-steel maker Companhia Siderurgica Nacional or
CSN and removed them from CreditWatch, where they were placed on
Nov. 17, 2006, with negative implications.  S&P said the outlook
is stable.


FIAT SPA: Moody's Assigns Loss-Given-Default Rating
---------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the corporate families in the Aerospace and
Defense, Automotive, Forest Products, Healthcare and
Pharmaceuticals, Metals and Mining, Natural Products Processor
and Consumer Products sectors last week, the rating agency
confirmed its Ba2 Corporate Family Rating for Fiat S.p.A.

Debt ratings remain unchanged in conjunction with the
implementation of Moody's Loss Given Default and Probability of
Default rating methodology for existing non-financial
speculative-grade corporate issuers in Europe, Middle East and
Africa.

* Issuer: Fiat Finance & Trade Ltd.
                                                      Projected
                            Old POD  New POD  LGD     Loss-Given
   Debt Issue               Rating   Rating   Rating  Default
   ----------               -------  -------  ------  ----------
   US$15000M Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2      LGD4    57%

   6.625% Senior Unsecured
   Regular Bond/Debenture
   Due 2013                 Ba2      Ba2      LGD4    57%

   5.625% Senior Unsecured
   Regular Bond/Debenture
   Due 2011                 Ba2      Ba2      LGD4    57%

   EUR100 million Senior
   Unsecured Regular
   Bond/Debenture
   Due 2009                 Ba2      Ba2      LGD4    57%

   EUR40 million Senior
   Unsecured Regular
   Bond/Debenture
   Due 2007                 Ba2      Ba2      LGD4    57%

   US$7.5 million 8.2%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2008                 Ba2      Ba2      LGD4    57%

   US$12 million 8.1%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2008                 Ba2      Ba2      LGD4    57%

   EUR21 million 5.5%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2010                 Ba2      Ba2      LGD4    57%

   EUR1000 million 6.25%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2010                 Ba2      Ba2      LGD4    57%

   EUR14 million Senior
   Unsecured Regular
   Bond/Debenture
   Due 2008                 Ba2      Ba2      LGD4    57%

   EUR15 million 6.9%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2008                 Ba2      Ba2      LGD4    57%

   EUR10 million 6.9%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2008                 Ba2      Ba2      LGD4    57%

   EUR10 million Senior
   Unsecured Regular
   Bond/Debenture
   Due 2007                 Ba2      Ba2      LGD4    57%

   EUR1300 million 6.75%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2011                 Ba2      Ba2      LGD4    57%

   EUR20 million 6.125%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2008                 Ba2      Ba2      LGD4    57%

   EUR25 million Senior
   Unsecured Regular
   Bond/Debenture
   Due 2011                 Ba2      Ba2      LGD4    57%

   EUR617 million 7.4%
   Senior Unsecured Regular
   Bond/Debenture
   Due 2011                 Ba2      Ba2      LGD4    57%

* Issuer: Fiat Finance Canada Ltd.

   EUR1.5 billion Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2      LGD4    57%

* Issuer: Fiat Finance North America Inc.

   EUR1.5 billion Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2      LGD4    57%

   Senior Unsecured
   EURO MTNs                Ba2      Ba2      LGD4    57%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in Moody's
notching practices across industries and will improve the
transparency and accuracy of Moody's ratings as Moody's research
has shown that credit losses on bank loans have tended to be
lower than those for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's
alphanumeric scale.  They express Moody's opinion of the
likelihood that any entity within a corporate family will
default on any of its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- manufactures and sells automobiles,  
commercial vehicles, and agricultural and construction
equipment.  It also manufactures, for use by the company's
automotive sectors and for sale to third parties, other
automotive-related products and systems, principally power
trains (engines and transmissions), components, metallurgical
products and production systems.  Fiat's creditors include Banca
Intesa, Banca Monte dei Paschi di Siena, Banca Nazionale del
Lavoro, Capitalia, Sanpaolo IMI, and UniCredito Italiano.

Fiat operates in Argentina, Australia, Austria, Belgium, Brazil,
Bulgaria, China, Czech Republic, Denmark, France, Germany,
Greece, Hungary, India, Ireland, Italy, Japan, Lituania,
Netherlands, Poland, Portugal, Romania, Russia, Singapore,
Spain, among others.


MRS LOGISTICA: To Launch Construction Works at Santos Terminal
--------------------------------------------------------------
MRS Logistica will start construction works for its container
and grains terminal at the Santos port, Business News Americas
reports.

Local press says the terminal will be called Teval.

An MRS Logistica source told BNamericas that the firm expects
the first phase of its planned terminal at the port of Santos to
be functioning by year-end.

The source commented to BNamericas, "We expect the container
section of the terminal to be functioning by the end of the
year.  However, this depends upon the speed of the construction
work and market demands."

BNamericas underscores that studies are being conducted on the
potential market demand for the container terminal to be
functioning by the end of 2007.

According to reports, MRS Logistica's initial projections
suggested that the terminal will cost BRL400 million.

However, construct plans for a pier to facilitate grain
shipments, which will be connected to the terminal by a conveyer
belt, still needs approval, BNamericas notes.  

BNamericas says that MRS Logistica has 300,000 square meters
available in the Valongo region of the port that is being used
for locomotive shunting and servicing work.

"The plan is for MRS to create an infrastructure and logistics
network to transport containers to the port of Santos, serving
Belo Horizonte, Rio de Janeiro, Sepetiba, Vale do Paraiba and
Sao Paulo.  Of the containers currently arriving at the port,
only 4% come by rail," Guilherme Quintela -- the head of the ELP
consultancy responsible for the terminal's planning and business
development -- told local paper Valor Economico.

The MRS consortium is a railway freight transport company
established in 1996 to operate approximately 1,700 kilometers of
track in the states of Minas Gerais, Rio de Janeiro e Sao Paulo.
MRS's rail network is also linked to the Central Atlantic,
Vitoria-Minas and Sao Paulo Railroads, offering intramodal
transportation options to the other parts of the country.  The
company mainly transports cargo for its principle shareholders.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 27, 2006, Standard & Poor's Ratings Services affirmed its
'BB' local- and foreign-currency corporate credit ratings on
Brazil-based railroad company MRS Logistica S.A.

MRS's total on-balance-sheet debt was US$332 million in
September 2006.

Standard & Poor's also said that the outlook on MRS remains
stable.

The ratings on MRS reflect:

   -- some client concentration, with reliance on iron ore
      captive cargoes;

   -- limited scope of its assets (comparatively a short
      railroad); and

   -- the capital-intensive nature of the railroad business in
      the context of the fast-growing strategy developed in
      recent years.


NORTEL NETWORKS: Names Jeff Townley as Chief Procurement Officer
----------------------------------------------------------------
Nortel Networks Corporation President and Chief Executive
Officer Mike Zafirovski disclosed Jeff Townley's appointment as
Chief Procurement Officer.

Mr. Townley, whose appointment is effective immediately, will
report to Joel Hackney, senior vice president, Global Operations
and Quality.  Mr. Townley will relocate to China and manage all
of Nortel's supplier relationships as well as all of Nortel's
annual purchases.

"Nortel continues to strengthen the Company's leadership team,
ensuring that we have world-class individuals with global
business experience to drive our business forward," said Mr.
Hackney. "Jeff Townley brings decades of solid Nortel experience
and performance to this role.  He is the right person to drive
our success in this critical position. Unwavering focus on
supply chain excellence supports our larger objective of
building Global Operations into a competitive advantage for
Nortel."

Mr. Townley assumes the Chief Procurement Officer role from John
Haydon, who recently was named vice president and general
manager, Network Partner Solutions, Global Services.  A proven
innovator and well respected within Nortel's supplier community,
Mr. Townley brings 24 years of experience at Nortel to his new
position.  He has served in various capacities of increasing
responsibility at Nortel including senior management positions
across the Operations function.  Most recently, he was leader of
the Business Transformation Strategic Procurement team.

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- delivers technology   
solutions encompassing end-to-end broadband, Voice over IP,
multimedia services and applications, and wireless broadband
designed to help people solve the world's greatest challenges.  
Nortel Networks Limited is the principal direct operating
subsidiary of Nortel Networks Corporation.

Nortel does business in more than 150 countries including the
United Kingdom, Denmark, Russia, Norway, Australia, Brazil,
China, Singapore, among others.

                        *     *     *

As reported on March 23, Moody's Investors Service affirmed
Nortel Networks' existing ratings, including its B3 corporate
family rating, and assigned a B3 rating to the proposed US$1
billion convertible senior unsecured notes offering.  Proceeds
of the offering will be used to refinance a portion of the
US$1.8 billion in 4.25% convertible notes due in 2008 when they
become payable at par.  Moody's said the outlook remains stable.

Assigned:

   * Nortel Networks Corporation

      -- Proposed US$1.0 billion Convertible Senior Unsecured
         notes at B3, LGD4, 67%

Affirmed:

   * Nortel Networks Corporation

      -- US$1.8 billion 4.25% Convertible Senior Unsecured notes  
         at B3, LGD4, 67%

   * Nortel Networks Limited

      -- Corporate Family Rating at B3, LGD4, 67%

      -- US$2.0 billion Senior Unsecured notes at B3, LGD4, 67%

      -- US$200 million 6.875% senior unsecured notes at B3,
         LGD4, 67%

      -- Preferred Stock Caa3

   * Nortel Networks Capital Corporation

      -- 7.875% Senior Unsecured notes at B3, LGD4, 67%

Standard & Poor's Ratings Services also assigned its 'B-' debt
rating to Canada-based Nortel Networks Corp.'s proposed US$1
billion senior unsecured convertible notes, which will consist
of two tranches of US$500 million, maturing in 2012 and 2014,
respectively.

Proceeds from the convertible notes will be used to partially
refinance NNC's US$1.8 billion senior unsecured convertible
notes due Sept. 1, 2008, and therefore the overall debt level is
not expected to change.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on 100%-owned Canada-based
subsidiary, Nortel Networks Ltd.  At the same time, the ratings
on the US$200 million notes of NNL and the US$150 million notes
of Nortel Networks Capital Corp. were lowered to 'CCC' from
'B-'.  NNC, NNL, and the U.S.-based subsidiary, Nortel Networks
Inc., are collectively referred to as Nortel.

S&P said the outlook on NNL is stable.

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

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


NOSSA CAIXA: Denies Acquisition Talks with Banco do Brasil
----------------------------------------------------------
A Banco Nossa Caixa spokesperson denied to Business News
Americas that it will be sold to Banco do Brasil.

Weekly news magazine Veja reported earlier Nossa Caixa's sale to
Banco do Brasil.

The spokesperson commented to BNamericas, "The report is
groundless.  I don't know where they got it from."

Nossa Caixa will concentrate on increasing loans and cross-sales
after agreeing in March to pay BRL2.08 billion to handle the
payroll of more than 1.1 million Sao Paulo public sector
workers, BNamericas says, citing the spokesperson.

Brazilian news agency Agencia Estado relates that Banco do
Brasil Chief Financial Officer Aldo Luiz Mendes also rejected
the report, saying that the bank's board isn't analyzing
anything.  The law doesn't allow Banco do Brasil to purchase
federal or state banks.

"Today, the only way we can grow in the market is by improving
our efficiency and profitability," Mr. Medes explained to
BNamericas.

Banco Bradesco Chief Executive Officer Marcio Cypriano commented
to the press, "It surprised me when I read it.  The operation
wouldn't be that big, but it would increase competition in the
market. The major acquisitions have been done, except for the
privatization of six or seven state banks."

"There's a lot of speculation, but little action.  There are few
possibilities, and I see little change among the big banks,"
Fabio Barbosa, CEO of the local unit of Dutch bank ABN Amro,
told BNamericas.

Any sale of a controlling share in Nossa Caixa would legally
require an auction.  Selling Nossa Caixa must be done with the
involvement of other players, BNamericas says, citing National
financial institution confederation CNF head Gabriel Ferreira.

Brazilian central bank president Henrique Meirelles and Finance
Minister Guido Mantega told BNamericas that they didn't anything
about Banco do Brasil buying Nossa Caixa.

                    About Banco do Brasil

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.

                       About Nossa Caixa

Headquartered in Sao Paulo, Brazil, Banco Nossa Caixa SA --
http://www.nossacaixa.com.br/-- operates as a multiple bank
offering banking and financial services through commercial and
loan portfolios, including real estate and foreign exchange, as
well as administering credit cards.  Through its subsidiary, it
operates with private pensions.  Nossa Caixa uses demand, saving
and time deposits, which include judicial deposits, to fund its
operations.  The main focus of Nossa Caixa is to attend
individuals, especially public employees and small and medium-
sized companies in Sao Paulo, as well as state and municipal
government agencies.  As the official bank for the government of
the State of Sao Paulo, it administers the state's resources and
state lotteries and takes care of the payroll of the indirect
state administration and part of the direct administration.  As
of Dec. 31, 2005, the Bank's network consisted of 2,579
attendance points in its distribution network.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 4, 2006, Moody's Investors Service upgraded Banco Nossa
Caixa S.A.'s long-term foreign currency deposits to Ba3 from
Ba1.  Moody's said the ratings outlook was stable.


REALOGY CORP: Completes US$8.5-Bil. Merger with Apollo Affiliate
----------------------------------------------------------------
Realogy Corp. reported the completion of its merger with an
affiliate of Apollo Management L.P.  The transaction was
consummated at an aggregate enterprise value of approximately
US$8.5 billion.

Realogy stock will cease to trade on the New York Stock Exchange
before the opening of the market on April 10, 2007.  Under
private ownership, Realogy will no longer be listed on the NYSE.  
Pursuant to the terms of the merger agreement entered into on
Dec. 15, 2006, and adopted by Realogy's stockholders at a
special meeting on March 30, 2007, Realogy stockholders are
entitled to receive US$30.00 in cash for each share of Realogy
common stock that they hold.

The conversion of shares of stockholders who hold Realogy shares
through a bank or broker will be handled by the bank or broker.  
All stockholders of record hold uncertificated shares;
accordingly, as soon as practicable, Mellon Investor Services,
LLC, as paying agent, will mail checks to stockholders of record
representing the merger consideration for the shares they held
of record immediately prior to the consummation of the merger.

                 About Apollo Management, L.P.

Apollo Management, L.P. is a leading private equity and capital
markets investor with more than 16 years of experience investing
across the capital structure of leveraged companies.  The firm
employs more than 80 professionals and has offices in New York,
Los Angeles, London, Singapore and Paris.  Since its inception,
Apollo Management has managed more than US$33 billion of capital
across a wide variety of industries both domestically and
internationally.

                     About Realogy Corp.

Headquartered in Parsippany, N.J., Realogy Corporation (NYSE:
H)-- http://www.realogy.com/-- is real estate franchisor and a
member of the S&P 500.  The company has a diversified business
model that also includes real estate brokerage, relocation, and
title services.  Realogy's world-renowned brands and business
units include CENTURY 21(R), Coldwell Banker(R), Coldwell Banker
Commercial(R), ERA(R), Sotheby's International Realty(R), NRT
Incorporated, Cartus, and Title Resource Group.  Realogy has
more than 15,000 employees worldwide.  The company operates in
Australia, Brazil and France.

                       *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 11, 2007, Moody's Investors Service downgraded the US$1.2
billion of existing unsecured senior fixed and floating rate
notes of Realogy Corporation to Ba3 from Baa2.

Moody's took these rating actions with respect to Realogy (Old):

   -- downgraded US$250 million floating rate senior
      unsecured notes due 2009 to Ba3 (LGD 2-23%) from
      Baa2;

   -- downgraded US$450 million senior unsecured notes
      due 2011 to Ba3 (LGD 2-23%) from Baa2;

   -- downgraded US$500 million senior unsecured notes
      due 2016 to Ba3 (LGD 2-23%) from Baa2;

   -- withdrew the Baa2 senior unsecured issuer rating;

   -- prospectively withdrew the Baa2 rating on the
      US$1.05-billion senior unsecured revolving credit
      facility due 2011; and

   -- prospectively withdrew the Baa2 rating on the
      US$600-million senior unsecured term loan facility
      due 2011.


REALOGY CORP: Earns US$365 Million in Full Year 2006
----------------------------------------------------
Realogy Corp. reported US$365 million net income and
US$6.5 billion net revenues for the year ended Dec. 31, 2006,
compared with US$627 million net income and US$7.1 billion net
revenues for the year ended Dec. 31, 2005.

Net revenues decreased US$647 million in 2006, compared with
2005, principally due to a decrease in organic revenues in the
company owned Real Estate Brokerage Services segment, which was
primarily driven by a 20% decline in the number of home sale
transactions.  This was partially offset by a 4% increase in the
average price of homes sold and a US$367 million increase in
revenues as a result of acquisitions of larger real estate
brokerage operations subsequent to Jan. 1, 2005.

Total expenses decreased US$213 million principally reflecting a
reduction of US$503 million of commission expenses paid to real
estate agents and a net benefit of US$38 million due to the
resolution of certain tax and legal accruals related to former
parent legacy matters, offset by an increase in expenses of
US$334 million related to larger acquisitions by the company's
wholly owned real estate brokerage business and the acquisition
of title and underwriting companies in Texas by the Title and
Settlement Services segment, as well as the net change in
restructuring costs of US$40 million and separation costs of
US$66 million.

Provision for income taxes was US$237 million in 2006 compared
to provision for income taxes of US$408 million in 2005.

Effective tax rate for both 2006 and 2005 was 39%.  Isolated
items affecting the company's 2006 tax rate were a tax benefit
resulting from the favorable settlement of federal income tax
matters associated with Cendant's 1999 shareholder litigation
position, offset by a tax expense related to equity
compensation.

                      Separation Costs

The company incurred separation costs of US$66 million for the
year ended Dec.31, 2006.  These costs were incurred in
connection with the separation from Cendant Corp. and relate to
the acceleration of certain Cendant employee costs and legal,
accounting and other advisory fees.  The majority of the
separation costs incurred related to a non-cash charge of US$40
million for the accelerated vesting of certain Cendant equity
awards and a non-cash charge of US$11 million for the conversion
of Cendant equity awards into Realogy equity awards.

                 2006 Restructuring Program

During the second quarter of 2006, the company committed to
various strategic initiatives targeted principally at reducing
costs, enhancing organizational efficiency and consolidating and
rationalizing existing processes and facilities.  The company
recorded restructuring charges of US$46 million in 2006, of
which US$39 million is expected to be paid in cash.  As of
Dec. 31, 2006, US$16 million of these costs have been paid.  
These charges primarily represent facility consolidation and
employee separation costs.

At Dec. 31, 2006, the company's balance sheet showed US$6.7
billion in total assets, US$4.2 billion in total liabilities,
and US$2.5 billion in total stockholders' equity.

The company's balance sheet at Dec. 31, 2006, also showed
strained liquidity with US$2.1 billion in total current assets
available to pay US$2.2 billion in total current liabilities.

Full-text copies of the company's consolidated financial
statements for the year ended Dec. 31, 2006, are available for
free at http://researcharchives.com/t/s?1c89

At Dec. 31, 2006, the company had US$399 million of cash and
cash equivalents, an increase of US$363 million compared to the
balance of US$36 million at Dec. 31, 2005.

During the year ended Dec. 31, 2006, the company received
US$372 million less cash from operations as compared to the same
period in 2005 principally due to weaker operating results.

At Dec. 31, 2006, the company had outstanding borrowings of
US$2.693 billion and available capacity of US$1.079 billion
under the company's borrowing arrangements.

                      About Realogy Corp.

Headquartered in Parsippany, N.J., Realogy Corporation
(NYSE: H)-- http://www.realogy.com/-- is real estate franchisor  
and a member of the S&P 500.  The company has a diversified
business model that also includes real estate brokerage,
relocation, and title services.  Realogy's world-renowned brands
and business units include CENTURY 21(R), Coldwell Banker(R),
Coldwell Banker Commercial(R), ERA(R), Sotheby's International
Realty(R), NRT Incorporated, Cartus, and Title Resource Group.  
Realogy has more than 15,000 employees worldwide.  The company
operates in Australia, Brazil and France.


SANYO ELECTRIC: Unit Completes Solar Plant Works in Hungary
-----------------------------------------------------------
The Hungarian unit of Sanyo Electric Co. Ltd. has completed the
construction of a new production hall at its solar cell plant in
Hungary, according to the Portfolio online financial journal.
The new hall is expected to triple its annual capacity to
720,000 units in 2008.

The plant at Dorog, outside Budapest, will be Sanyo Electric's
largest facility producing solar cells in the world, United
Press International reports, citing Hungarian news sources.  
Sanyo Hungaria opened the solar cell plant in 2004, and produced
solar cells worth US$213 million in 2006.

                      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
global operations in Brazil, Germany, India, Ireland, Spain, the
United States and the United Kingdom, among others.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Mar. 2, 2007, Fitch Ratings placed Sanyo Electric Co. Ltd.'s BB+
long-term foreign and local currency issuer default and senior
unsecured ratings on rating watch negative.

The TCR-AP reported on May 25, 2006, that Standard & Poor's
Ratings Services affirmed its negative BB long-term corporate
credit and BB+ senior unsecured debt ratings on Sanyo Electric
Co. Limited.  At the same time, the ratings were removed from
CreditWatch where they were first placed with negative
implications on Sept. 28, 2005.


TELE NORTE: Brasil Telecom Denies Merger Talks
----------------------------------------------
Brasil Telecom Participacoes said in a statement that it hasn't
signed any memorandum of understanding regarding a merger,
acquisition or sale of assets with Oi fka Tele Norte Lester
Participacoes or any of its related firms.

As reported in the Troubled Company Reporter-Latin America on
April 11, 2007, weekly magazine Veja said that the Brazilian
government approved of a merger between fixed line telecoms
operator Brasil Telecom Participacoes and Oi and that it will
pass a legislation allowing the deal.

Brasil Telecom's controlling block -- Solpart Participacoes,
Techold Participacoes, Invitel and Zain Participacoes -- also
confirmed to BNamericas that they aren't in any merger and
acquisition negotiations.

                     About Brasil Telecom

Headquartered in Brasilia, Brazil, Brasil Telecom Participacoes
SA -- http://www.brasiltelecom.com.br-- is a holding company
that conducts substantially all of its operations through its
wholly owned subsidiary, Brasil Telecom SA.  The fixed-line
telecommunications services offered to the company's customers
include local services, including all calls that originate and
terminate within a single local area in the region, as well as
installation, monthly subscription, measured services, public
telephones and supplemental local services; intra-regional
long-distance services, which include intrastate and interstate
calls; interregional and international long-distance services;
network services, including interconnection and leasing; data
transmission services; wireless services, and other services.

                      About Tele Norte

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

The Troubled Company Reporter-Latin America reported on
March 6, 2007, Tele Norte said that it would unify its fixed,
mobile, Internet and entertainment services under the Oi brand.
Tele Norte's fixed line segment would be called Oi Fixo, while
the Internet service Velox would be renamed Oi Velox.  The
integration would be gradually adopted through August 2007.

                        *     *     *

As reported in the Troubled Company Reporter on Feb. 5, 2007,
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Brazil-based telecom service
providers Tele Norte Leste Participacoes SA and Telemar Norte
Leste SA, jointly referred to as Telemar, to 'BB+' from 'BB'.
At the same time, Standard and Poor's revised its ratings on the
combined BRL300 million outstanding local debentures of Telemar
Participacoes SA in Brazil National Scale to 'brAA-' from
'brA+', and assigned o 'brAA-' rating to TmarPart's proposed
five-year BRL$250 million debentures.


TRW AUTOMOTIVE: Plans to Refinance US$2.5-Bil. Credit Facilities
----------------------------------------------------------------
TRW Automotive Holdings Corp., through its subsidiary TRW
Automotive Inc., has intended to refinance its existing credit
facilities of US$2.5 billion with new credit facilities in
approximately the same amount.  The new credit facilities are
expected to be comprised of a US$1.4 billion revolving credit
facility, a US$600 million Term Loan A facility and a US$500
million Term Loan B facility.  The company plans to close the
transaction during the second quarter of 2007.  J.P. Morgan
Securities Inc. and Banc of America Securities LLC are arranging
the financing.

                    About TRW Automotive

Headquartered in Livonia, Michigan, TRW Automotive Holdings
Corp. (NYSE: TRW) -- http://www.trwauto.com/-- is an automotive   
supplier.  Through its subsidiaries, the company employs about
63,800 people in 26 countries including Brazil, China, Germany
and Italy.  TRW Automotive products include integrated vehicle
control and driver assist systems, braking systems, steering
systems, suspension systems, occupant safety systems,
electronics, engine components, fastening systems and
aftermarket replacement parts and services.

                        *     *     *

Fitch Ratings affirmed TRW Automotive Holdings Corp.'s BB Issuer
Default Rating, BB+ Senior secured bank lines, BB- Senior
unsecured notes, and B+ Senior subordinated unsecured Notes on
September 2006.


USINAS SIDERURGICAS: Unibanco Holds Recommendation on Stock
-----------------------------------------------------------
Brazilian brokerage Unibanco Corretora said in a report that it
is maintaining Usinas Siderurgicas de Minas Gerais stock in its
recommended portfolio, believing that the segments where the
firm operates will grow strongly.

As reported in the Troubled Company Reporter-Latin America on
March 20, 2007, Unibanco Corretora that it was upbeat on Usinas
Siderurgicas de Minas Gerais' outlook this year due to positive
demand for the latter's products.  A 5% price boost in heavy
plates within Brazil will cause a strong impact in 2007.    
Brazil's growth acceleration plan will increase the need for
steel products.  International prices of flat steel are
increasing successively.

Recent steel price increases abroad demonstrate a positive
scenario for April, Business News Americas says, citing Unibanco
Corretora.  Such favorable international conditions could result
in price increases within Brazil in the coming weeks.

BNamericas relates that Usinas Siderurgicas' preferred stock is
included in the top five picks of Unibanco Corretora for April.

Usinas Siderurgicas' preferred shares were trading at BRL95.20
on the Sao Paulo stock exchange Bovespa on April 10, BNamericas
states.  

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

The Troubled Company Reporter - Asia Pacific reported on Jan. 3,
2007, that Standard & Poor's Ratings Services revised its
outlook on Brazil-based steel maker Usinas Siderurgicas de Minas
Gerais S.A., aka Usiminas, to positive from stable.  Standard &
Poor's also said that it affirmed its 'BB+' local and foreign
currency corporate credit ratings on Usiminas.


* BRAZIL: Transpetro Inks Tanker-Building Pact with Rio Naval
-------------------------------------------------------------
Transpetro will hold the agreement signature ceremony with the
Rio Naval Consortium for the construction of nine oil tankers in
Rio de Janeiro.  The ceremony will take place at the Sermetal
Shipyard. President Luiz Inacio Lula da Silva; Rio de Janeiro
governor, Sergio Cabral; Petrobras president, Jose Sergio
Gabrielli; and Transpetro president, Sergio Machado, will attend
the event.

These tankers are part of Transpetro's Fleet Modernization and
Expansion Program, which foresee the construction of 26 oil
tankers in this first phase and are expected to generate 11,000
direct jobs in Rio de Janeiro, of a total of 22,000 new
positions the program is expected to create.

The Republic Presidency's Press Department will provide
Journalists with the credentials for the event at the Federal
Government's Web site at http://www.info.planalto.gov.br/

                        *     *     *

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

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




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


BB NETWORK: Will Hold Final Shareholders Meeting on June 7
----------------------------------------------------------
BB Network Rental Holdings will hold its final shareholders
meeting on June 7, 2007, at 10:00 a.m., at:

         Caledonian House
         69 Dr. Roy's Drive, George Town
         Grand Cayman, Cayman Islands

These agendas will be taken during the meeting:

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

   2) 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:

         David Walker
         Caledonian Bank & Trust Limited
         Caledonian House
         P.O. Box 1043
         Grand Cayman KY1-1102
         Cayman Islands


HFT RE CDO: Sets Final Shareholders Meeting for May 31
------------------------------------------------------
HFT RE CDO 2006-2 Ltd. will hold its final shareholders meeting
on May 31, 2007, at 10:00 a.m., at:

         Maples Finance Limited
         Queensgate House, George Town
         Grand Cayman, Cayman Islands

These agendas will be taken during the meeting:

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

   2) hearing any explanation that may be given by the
      liquidators.

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 liquidators can be reached at:

         Andrew Dean
         Joshua Grant
         Maples Finance Limited
         P.O. Box 1093
         George Town, Grand Cayman
         Cayman Islands


PACIFIC FALCON: Will Hold Final Shareholders Meeting on May 4
-------------------------------------------------------------
Pacific Falcon will hold its final shareholders meeting on
May 4, 2007, at 9:00 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,
      and

   2) authorize the liquidator to retain the records of the
      company for a period of five years from the dissolution of
      the company, after which they may be destroyed.

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:

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


SAM INVESTMENTS: Sets Final Shareholders Meeting for May 4
----------------------------------------------------------
Sam Investments, LDC will hold its final shareholders
meeting on May 4, 2007, at 11:30 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,
      and

   2) authorize the liquidators to retain the records of the
      company for a period of five years from the dissolution of
      the company, after which they may be destroyed.

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 liquidators can be reached at:

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


SION HALL: Proofs of Claim Filing Deadline Is May 14
----------------------------------------------------
Sion Hall Enhanced Income Fund, Ltd.'s creditors are given until
May 14, 2007, to prove their claims to Q&H Nominees Ltd., 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.

Sion Hall's shareholder decided on March 5, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

          Q&H Nominees Ltd.
          Attention: Greg Link
          P.O. Box 1348
          George Town, Grand Cayman
          Telephone: 949 4123
          Fax: 949 4647


SION HALL: Sets Final Shareholders Meeting for May 15
-----------------------------------------------------
Sion Hall Enhanced Income Fund Ltd. will hold its final
shareholders meeting on May 15, 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,
      and

   2) authorize the liquidator to retain the records
      of the company for a period of six years from the
      dissolution of the company, after which they may
      be destroyed.

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:

          Q&H Nominees Ltd.
          Attention: Greg Link
          P.O. Box 1348
          George Town, Grand Cayman
          Telephone: 949 4123
          Fax: 949 4647


SION HALL ENHANCED: Proofs of Claim Filing Ends on May 14
---------------------------------------------------------
Sion Hall Enhanced Income Master Fund, Ltd.'s creditors are
given until May 14, 2007, to prove their claims to Q&H Nominees
Ltd., 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.

Sion Hall's shareholder decided on March 5, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

          Q&H Nominees Ltd.
          Attention: Greg Link
          P.O. Box 1348
          George Town, Grand Cayman
          Telephone: 949 4123
          Fax: 949 4647


SION HALL ENHANCED: To Hold Last Shareholders Meeting on May 15
---------------------------------------------------------------
Sion Hall Enhanced Income Master Fund Ltd. will hold its final
shareholders meeting on May 15, 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,
      and

   2) authorize the liquidator to retain the records
      of the company for a period of six years from the
      dissolution of the company, after which they may
      be destroyed.

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:

          Q&H Nominees Ltd.
          Attention: Greg Link
          P.O. Box 1348
          George Town, Grand Cayman
          Telephone: 949 4123
          Fax: 949 4647


TRAMINI HOLDINGS: Sets Final Shareholders Meeting for May 4
-----------------------------------------------------------
Tramini Holdings Corp. will hold its final shareholders
meeting on May 4, 2007, at 9:00 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,
      and

   2) authorize the liquidator to retain the records of the
      company for a period of five years from the dissolution of
      the company, after which they may be destroyed.

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:

          Raymond E. Whittaker
          FCM LTD.
          P.O. Box 1982
          Grand Cayman KY1-1104
          Cayman Islands
          Tel: 345-946-5125
          Fax: 345-946-5126


TT PARTNERS: Will Hold Final Shareholders Meeting on June 2
-----------------------------------------------------------
TT Partners Ltd. will hold its final shareholders meeting on
June 2, 2007, at 10:00 a.m., at:

          100 rue du Rhone
          CH-1204 Geneva
          Switzerland

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,
      and

   2) authorizing the liquidator to retain the records
      of the company for a period of three years from
      the dissolution of the company, after which they
      may be destroyed.

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:

          Luc Estenne
          100 rue du Rhone, CH-1204
          Geneva, Switzerland


TWINKLE FUNDING: Sets Final Shareholders Meeting for May 4
----------------------------------------------------------
Twinkle Funding will hold its final shareholders meeting on
May 4, 2007, at 12:00 p.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,
      and

   2) authorize the liquidators to retain the records of the
      company for a period of five years from the dissolution of
      the company, after which they may be destroyed.

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 liquidators can be reached at:

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




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


COEUR D'ALENE: Gives Summary Update on San Bartolome Project
------------------------------------------------------------
Coeur d'Alene Mines Corporation has reported an updated summary
of progress on the San Bartolome silver mine, which is targeted
for completion near the end of 2007.  Construction highlights
are summarized, as of March 2007:

   -- 24 contractors on site and total employment of
      approximately 450 workers, most of whom are Bolivian

   -- more than 213,000 man-hours without a lost-time accident

   -- completed installation of concrete batch plant

   -- have begun pouring concrete in leach tank area

   -- 90% complete with grading and topsoil removal for tailings
      facility; work under way on tailings dam foundation

   -- 90% complete with site preparation for processing plant
      area Contractor mobilizing to install field-erected tanks

In recent months, the company has continued to meet with
officials of the Bolivian government to discuss issues related
to the project.  In those meetings, the company has received
repeated expressions of support for the San Bartolome mine.  The
government has expressed a desire to increase taxes in the
mining sector but has not yet submitted a formal proposal in
this regard.

The San Bartolome silver mine is being developed by Empresa
Minera Manquiri S.A., a wholly owned subsidiary of Coeur d'Alene
Mines.  The mine is located near the town of Potosi, Bolivia.  
The project has silver mineral reserves of 152 million ounces.  
The mine is expected to commence operations in early 2008 and to
produce approximately 9 million ounces of silver in its first
full year of operation.

Coeur d'Alene Mines Corp. (NYSE:CDE) (TSX:CDM) --
http://www.coeur.com/-- is the world's largest primary silver    
producer, as well as a significant, low-cost producer of gold.  
The company has mining interests in Nevada, Idaho, Alaska,
Argentina, Chile, Bolivia and Australia.

                        *     *     *

Coeur d'Alene Mines Corp.'s US$180 Million notes due
Jan. 15, 2024, carry Standard & Poor's B- rating.


PHELPS DODGE: Fitch Changes Freeport's Outlook to Positive
----------------------------------------------------------
Fitch has changed the Rating Outlook to Positive for Phelps
Dodge Corp.'s new owner, Freeport-McMoRan Copper & Gold, after
the completion of US$5.76 billion in equity financings.  Net
proceeds in the amount of US$5.6 billion will be used to repay
borrowings under the secured term loans used to finance, in
part, the acquisition of Phelps Dodge.

Fitch assigns these ratings to Freeport-McMoRan, the Outlook is
revised to Positive:

   -- Issuer Default Rating 'BB';

   -- US$500 million PT Freeport-McMoRan Indonesia/
      Freeport-McMoRan Secured Bank Revolver 'BBB-';

   -- US$1 billion Secured Bank Revolver 'BB';

   -- US$2.5 billion Secured Bank Term Loan A 'BB';

   -- US$7.5 billion Secured Bank Term Loan B 'BB';

   -- Existing Notes to be secured 'BB';

   -- 10.125% senior notes due 2010;

   -- 6.875% notes due 2014;

   -- 7% convertible notes due 2011 'BB-';

   -- Freeport-McMoRan Unsecured Notes due 2015 and 2017 'BB-';
      and

   -- Freeport-McMoRan Convertible Preferred Stock B+.

Fitch assigns these ratings to Phelps Dodge, the Outlook is
revised to Positive:

   -- Cyprus Amax 7.375% Notes due May 2007 'BB-';
   -- Senior Unsecured Notes and Debentures 'BB-';
   -- 8.75% notes due 2011;
   -- 7.125% debentures due 2027;
   -- 9.50% notes due 2031; and
   -- 6.125% notes due 2034.

Loan prepayments are applied to reduce subsequent scheduled
repayments in direct order, which will result in no scheduled
repayment over the medium term; scheduled loan repayments
aggregated US$325 million annually over the medium term.  Annual
dividends will increase by about US$252 million and interest
costs will be reduced by about US$385 million, annually.

The ratings reflect Freeport-McMoRan's position as the world's
second largest copper producer, its diversified operations and
strong liquidity as well as the company's exposure to copper
prices and its relatively high financial leverage.  Fitch's
outlook for copper producers is to continue to benefit from a
strong pricing environment over the near term.

           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 21, 2007, Freeport-McMoRan Copper & Gold Inc. has
completed its acquisition of Phelps Dodge Corp. (NYSE: PD),
creating the world's largest publicly traded copper company.


PHELPS DODGE: Freeport To Redeem 10-1/8% Senior Notes on May 4
---------------------------------------------------------------
Phelps Dodge Corp.'s new owner, Freeport-McMoRan Copper & Gold
Inc., has issued a notice to redeem on May 4, 2007, its
outstanding 101/8% Senior Notes due 2010.  Currently US$272.4
million aggregate principal amount of the notes are outstanding.

The redemption price is 105.063% of the principal amount
together with accrued but unpaid interest from Feb. 1, 2007, to
the redemption date.  The Bank of New York, as trustee, has
mailed to the registered note holders written notice of the
specific terms of the redemption along with a transmittal form:

          The Bank of New York Co. Inc.
          One Wall Street
          New York, New York 10286
          Tel: 212-495-1784

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.

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 21, 2007, Freeport-McMoRan Copper & Gold Inc. has
completed its acquisition of Phelps Dodge Corp. (NYSE: PD),
creating the world's largest publicly traded copper company.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 9, 2007, Standard & Poor's Ratings Services raised its
corporate credit rating on Phelps Dodge Corp.'s new owner,
Freeport-McMoRan Copper & Gold Inc., to 'BB+' from 'BB'
following the announcement that Freeport-McMoRan had
successfully completed US$5.76 billion of common and mandatorily
convertible preferred stock.  Proceeds will be applied toward
debt reduction, specifically term loans A and B.  S&P said the
outlook is stable.

In addition, Standard & Poor's has taken issue-specific rating
actions.

For Phelps Dodge:

     -- raised the corporate credit rating to 'BB+' from 'BB',

     -- raised the senior unsecured rating to 'BB+'
        from 'BB-', and

     -- raised the rating on Cyprus Amax Minerals Co.'s
        existing 7.375% senior secured notes due 2007 to 'BBB-'
        from 'BB+'.

For Freeport-McMoRan:

     -- raised the rating on Freeport-McMoRan's existing
        US$613 million of aggregate senior secured notes
        to 'BBB-' from 'BB+',

     -- raised the rating on Freeport-McMoRan's preferred stock
        to 'B+' from 'B',

     -- raised the rating on Freeport-McMoRan's US$6 billion
        of senior unsecured notes to 'BB' from 'B+', and

     -- raised the bank loan rating to 'BBB-' from 'BB+'.

In addition, Standard & Poor's affirmed its '1' recovery rating
on Freeport-McMoRan's and Cyprus Amax's secured notes and on
Freeport-McMoRan's bank loans.




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


BANCOLOMBIA SA: Unit Starts Public Tender Offer of Banagricola
--------------------------------------------------------------
Bancolombia S.A. disclosed that its affiliate Bancolombia
(Panama), S.A. has started a public tender offer simultaneously
in El Salvador and Panama, for the acquisition of not less than
53.089144% and up to of 100% of the common shares of Banagricola
S.A.

The company said that the offer expires on May 8, 2007.

                      About Bancolombia

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'.

Moody's said the rating outlook is stable.

The ratings remain on rating watch negative:

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




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


* CUBA: Worries on Food Price Increase Due to Sugar Demand
----------------------------------------------------------
Cuban President Fidel Castro, along with his Venezuelan
counterpart Hugo Chavez, is worried that the ethanol sector's
demand for sugar and corn could result to price increase in
food, Carolina-Virginia Farmer reports.

President Chavez told Carolina-Virginia Farmer, "When you fill a
vehicle's tank with ethanol, you are filling it with energy for
which land and water enough to feed seven people have been
used."

President Castro admitted in his party's official newspaper that
he is worried that too many crops might be diverted from food to
fuel, causing increase in food prices that will eventually lead
to intensified problems on hunger and poverty.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 18, 2006, Moody's Investors Service said that Cuba's Caa1
foreign-currency issuer rating reflects the debt moratorium that
has been in place for more than 15 years, leading to the
accumulation of principal and interest arrears.

Moody's assigned these ratings on Cuba:

      -- CC LT Foreign Bank Deposit, Caa2
      -- CC LT Foreign Currency Debt, Caa1
      -- CC ST Foreign Bank Deposit, NP
      -- CC ST Foreign Currency Debt, NP
      -- Issuer Rating, Caa1




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


FLOWSERVE CORP: Opens US$8.5MM Pump Manufacturing Plant In India
----------------------------------------------------------------
Flowserve Corp. has opened its new pump manufacturing facility
in Coimbatore, India.  The state-of-the-art facility will
support the company's existing Indian operations and provide
pump products, for the oil and gas, power and chemical
industries.  The plant will be inaugurated by Mr. Lewis Kling,
President and CEO of Flowserve at a ceremony in Coimbatore on
April 12.

The 100,000 square foot pump facility was built on 14 acres at
an investment of approximately US$8.5 million.  The new facility
will nearly double Flowserve's production capabilities for
single stage, multi-stage, barrel and vertical engineered and
industrial pumps.  The 200-person management and engineering
staff at the operation will also provide total pumping solution
services and support to the region.

A key element in Flowserve's global strategy, the facility is
located in Coimbatore, which is ideally positioned to help
Flowserve expand its growing customer base.  This site will
provide a platform for continued growth in India and the region,
with the manufacturing of industrial and engineered pumps for
the domestic and export markets.

"Expanding our footprint in the Asia-Pacific region continues to
be a key part of Flowserve's growth strategy," said Mr. Kling.  
"We are very excited about this milestone and the expansion of
our existing operations within India."

"With the industries we serve growing significantly in the
region, this new facility is designed to serve our customers
more effectively and offer a technically advanced center for
manufacturing," Mr. Kling added.

Flowserve's products are designed to withstand extreme
temperatures, caustic chemicals, intense pressures or other
demanding conditions in some of the most remote and developing
geographies.  These products and services enable Flowserve to
support critical projects worldwide.

"This manufacturing facility is one of the most advanced in
India," according to S. Gopinath, President of Flowserve India.  
"In addition, it will be the first Flowserve plant outside the
U.S. to utilize the Demand Flow Technology manufacturing
process."

Headquartered in Irving, Texas, Flowserve Corp. (NYSE: FLS) --
http://www.flowserve.com/-- provides fluid motion and control
products and services.  Operating in 56 countries, the company
produces engineered and industrial pumps, seals and valves as
well as a range of related flow management services.  In Latin
America, Flowserve operates in 36 countries such as the
Dominican Republic, Guatemala, Guyana and Belize.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 13, 2007, Fitch Ratings has initiated coverage of Flowserve
Corp. and assigned these ratings:

   -- Issuer Default Rating (IDR) 'BB'; and
   -- Senior secured bank facilities 'BB'.

Fitch said the rating outlook is stable.


JETBLUE AIRWAYS: Launches 10-Day Travel Sale Promo
--------------------------------------------------
JetBlue Airways Corporation has launched a special 10-day
"Spring into Summer" sale for April, May and June travel, with
fares starting as low as US$99 for travel between New York/JFK
and Santiago, Dominican Republic or Santo Domingo, Dominican
Republic (service begins May 24) or between Boston and Bermuda
(service begins May 1).  Fares as low as US$109 are available
between New York/JFK and Bermuda, or between Orlando and
Aguadilla, Puerto Rico; Ponce, PR (service begins May 24); and
San Juan, Puerto Rico.

JetBlue Airways recently announced a major expansion of service
to its customers' favorite island destinations this spring,
including Nantucket, Massachusetts and Santo Domingo, Dominican
Republic, as well as additional daily flights for the peak
summer season on existing routes.  The low-fare airline is
giving customers a jumpstart on savings for summer travel to the
beaches and throughout its system of more than 50 destinations.

Sale fares require up to a 21-day advance purchase and must be
purchased by 11:59 p.m. MDT, Friday, April 20, 2007.  Travel to
and from the Dominican Republic must start on or after
May 24, 2007, and must be completed on or before June 19, 2007.  
All other travel must start on or after April 23, 2007, and must
be completed on or before June 19, 2007.  Customers are
encouraged to book early, as "Spring Into Summer" fares may not
be available on all days or on all flights.  Other restrictions
apply.  Sale fares to additional JetBlue Airways destinations
are available online at http://www.jetblue.com/?source=pr  

JetBlue Airways has created a new airline category based on
value, service and style.  Based in New York City, and now in
its eighth year, the low-cost carrier currently serves 51
destinations with more than 550 flights daily.  JetBlue Airways
has the most legroom in coach and is America's first and only
airline to offer its own Customer Bill of Rights, with
meaningful compensation for customers inconvenienced by flight
delays or cancellations.  In addition to its signature seatback
personal television service, the low-fare, high-value airline
offers customers generous brand name snacks and beverages,
including freshly brewed Dunkin' Donuts(r) coffee, and delicious
wines selected by the airline's Low Fare Sommelier, Josh Wesson
from Best Cellars(r).  JetBlue Airways service between Boston
and Martha's Vineyard, Nantucket, Provincetown, and Hyannis,
Massachusetts is operated by JetBlue Airways' marketing partner,
Cape Air.  All seats are assigned, all travel is ticketless, all
fares are one-way, and an overnight stay is never required.  

Based in Forest Hills, New York, JetBlue Airways Corp.
(Nasdaq:JBLU) -- http://www.jetblue.com/-- provides passenger
air transportation services primarily in the United States.  As
of Feb. 14, 2006, the Company operated approximately 369 daily
flights serving 34 destinations in 15 states, Puerto Rico, the
Dominican Republic, and the Bahamas.  The Company also provides
in-flight entertainment systems for commercial aircraft,
including live in-seat satellite television, digital satellite
radio, wireless aircraft data link service, and cabin
surveillance systems and Internet services, through its wholly
owned subsidiary, LiveTV, LLC.

                        *     *     *

As reported in the Troubled Company Reporter on Nov. 23, 2006,
Moody's Investors Service assigned ratings of Caa1 (LGD5, 88%)
to the approximately US$40 million of Special Facility Revenue
Bonds, Series 2006 (JetBlue Airways Corporation Project or the
JFK Facility Bonds) to be issued by the New York City Industrial
Development Agency.  Moody's affirmed the B2 corporate family
rating for JetBlue Airways Corp.  Moody's said the outlook
remains negative.

Standard & Poor's Ratings Services assigned its 'B' rating to
US$40 million of New York City Industrial Development Agency
special facility revenue bonds, series 2006 maturing on
May 15, 2021, and May 15, 2030; the amount for each maturity
have yet to be determined.  The bonds, which will be used to
finance a hangar and other facilities, will be serviced by
payments made by JetBlue Airways Corp. (B/Stable/B-3) under a
lease between the airline and the agency.




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


IMPSAT FIBER: Earns US$285 Million in Year Ended Dec. 31, 2006
--------------------------------------------------------------
IMPSAT Fiber Networks Inc. has announced its full year financial
results for 2006.

                   Full Year 2006 Highlights

   -- Net Revenues posted the twelfth consecutive increase in
      the fourth quarter.  Net Revenues for full year 2006
      totaled US$285.0 million, an increase of US$31.0 million,
      or 12.2% compared to 2005.

   -- EBITDA amounted to US$61.1 million, or 21.5% of net
      revenues for the year. EBITDA increased US$9.0 million or
      17.3% as compared to 2005.  Excluding a one-time charge of
      US$3.8 million related to a Management Incentive Plan,
      EBITDA would have totaled US$64.9 million and EBITDA
      growth would have been US$12.8 million, or 24.6%.

   -- Capital Expenditures for 2006 totaled US$35.6 million.

   -- Impsat Brazil increased revenues and EBITDA by US$19.2
      million, or 39.9%, and US$8.1 million, or 88.6%,
      respectively.

                      Full Year 2006 Results

Commenting on the results for the year, Impsat CEO, Ricardo
Verdaguer stated: "2006 was a year of great accomplishment for
Impsat.  We not only increased revenues for the third
consecutive year but we continued improving revenue mix towards
value added services with better margins.  The announcement, in
October, of Global Crossing's proposed acquisition of Impsat
will bring us a whole new set of opportunities to leverage the
future growth of the company."

                             Revenues

Net revenues during 2006 totaled US$285.0 million, an increase
of US$31.0 million, or 12.2%, compared to 2005.  All product
lines increased revenues period-over-period.

Broadband and Satellite revenues increased US$11.8 million, or
6.8%, period-over-period, driven by higher sales of IP Services,
primarily in Brazil, Peru, Venezuela and USA.

Internet revenues increased 17.9% period-over-period as the
company increased services to corporate customers, particularly
in Brazil, Colombia and Venezuela.

Value Added Services revenues increased by 43.7% as compared to
2005. Growth was led by higher sales of hosting and managed
services, mainly in Brazil, Chile and Colombia.

Telephony revenues grew by 9.3% compared to 2005, led by higher
sales to corporate customers in Peru and Brazil.

The company's growth in revenues over the prior year is a
combination of several factors including:

   (a) the increased customer base;
   (b) cross-selling to existing and new customers;
   (c) bundling of existing and new services;
   (d) stable or improved macroeconomic conditions throughout
       the Latin American region; and
   (e) appreciation of local currencies, mainly Brazil.

                        Operating Expenses

Operating Expenses for 2006 totaled US$284.1 million, an
increase of US$27.0 million, or 10.5%, compared to 2005.  This
increase is principally related to an US$8.7 million increase in
direct costs, a US$10.2 million increase in salaries and wages,
a US$3.1 million increase in selling, general and administrative
expenses, and a US$5.0 million increase in depreciation and
amortization charges.

Direct Costs for 2006 totaled US$137.6 million, an increase of
US$8.7 million (or 6.7%) compared to 2005.

Contracted Services increased US$1.6 million compared to 2005.  
Contracted services include installation and maintenance
services.  The increase is related to the expansion of Impsat's
proprietary network and customer base.

Other Direct Costs principally include provisions for doubtful
accounts, licenses and other fees, sales commissions paid to
salaried work force and to third-party sales representatives,
and node expenses.  Other Direct Costs for 2006 increased by
US$6.7 million compared to 2005.  The increase is related
primarily to higher services delivered, an increase in energy
costs, the appreciation of local currency in Brazil, and higher
doubtful accounts charges - compared to a net recovery in 2005.

Leased Capacity Costs increased by US$0.7 million during 2006 as
compared to 2005.  The increase is a consequence of higher
terrestrial and international capacity costs related to greater
broadband and Internet services as well as higher
interconnection costs related to the growth in telephony
services.

The company's depreciation and amortization expenses for the
year ended Dec. 31, 2006, totaled US$60.3 million, an increase
of US$5.0 million compared to depreciation and amortization for
2005.  The increase in depreciation and amortization expenses is
principally due to an increase in the company's depreciable
fixed assets and the depreciation of goods in the company's
warehouse.

Salaries and Wages for 2006 totaled US$60.8 million, US$10.2
million higher than 2005.  The increase is due to higher
headcount and variable compensation, currency revaluation in
Brazil, salary increases related to adjustments for inflation;
and a one-time charge of US$3.8 million recorded under the
Company's management incentive plan related to Global Crossing's
proposed acquisition of Impsat.  Consolidated number of
employees increased from 1,208 at Dec. 31, 2005, to 1,251 at
Dec. 31, 2006.  This increase in headcount was required to
sustain revenue growth in Brazil.

Selling, General and Administrative expenses totaled US$25.4
million for 2006, an increase of US$3.1 million compared to
2005.  The increase is mostly related to higher advisory fees
and higher taxes due to a tax recovery in Brazil during 2005, as
well as higher insurance costs.

                               EBITDA

EBITDA for 2006 totaled US$61.1 million, compared to US$52.1
million in 2005.  The US$9.0 million, or 17.3%, increase in
EBITDA is directly related to improved gross margin.  Higher
revenues and a change in revenue mix contributed positively to
improve gross margin as a percentage of revenue.  EBITDA
represented 21.5% of Net Revenues during 2006, compared to 20.5%
during 2005.  Excluding a one time charge of US$3.8 million
related to a Management Incentive Plan, accounted in Salaries
and Wages, EBITDA would have totaled US$64.9 million and EBITDA
growth would have been US$12.8 million, or 24.6%.

                         Interest Expense

Net interest expense for the year ended Dec. 31, 2006, totaled
US$31.0 million.  Our net interest expense for 2006 increased by
US$0.1 million (or 0.2 %) compared to the net interest expense
for 2005.  Commencing on March 26, 2005, the effective interest
rate on our subsidiaries senior indebtedness increased from 6%
per annum to 10% per annum.  In connection with the amendment of
US$107.3 million in outstanding principal amount of this
indebtedness in July 2005, the interest rate on such
indebtedness was further increased to 12% per annum.  The
company's indebtedness as of Dec. 31, 2006, totaled US$241.2
million, as compared to US$248.1 million as of Dec. 31, 2005, as
a result of principal payments of US$14.7 million, offset by an
increase in the principal amount of our indebtedness of US$7.0
million and the revaluation effect on new debt obtained by our
subsidiaries for US$0.7 million.

            Effect Of Foreign Exchange Losses And Gains

Impsat recorded a net gain on foreign exchange for 2006 of
US$7.0 million, principally due to the impact of an appreciation
of the Brazilian Real on the book value of monetary assets and
liabilities in Brazil.  This compares to a net gain on foreign
exchange of US$10.1 million for the same period of 2005.

                             Net Loss

For the twelve months ended Dec. 31, 2006, the company recorded
a net loss of US$35.6 million, compared to a net loss of US$36.2
million during 2005.  The decrease in net loss is principally
explained by an increase in EBITDA, partially offset by an
increase in depreciation and amortization expenses and a lower
gain on foreign exchange.

                  Liquidity and Capital Resources

Cash and cash equivalents at Dec. 31, 2006, were US$21.3
million.  This compares to cash and cash equivalents of US$24.1
million at Dec. 31, 2005.  The decrease in cash is principally
related to the repayment of debt.

Total indebtedness as of Dec. 31, 2006, was US$241.2 million as
compared to US$248.1 million on Dec. 31, 2005.  Of the total
indebtedness at Dec. 31, 2006, US$36.5 million was short-term
debt and the current portion of long-term debt, while the other
US$204.7 million represented long-term debt.

                    Non-GAAP Financial Measures

The company presents EBITDA as a supplemental measure of
performance because it believes that EBITDA provides a more
complete understanding of our operating performance before the
impact of investing and financing transactions.  EBITDA and
EBITDA margins are among the more significant factors in
management's evaluation of Company-wide performance.  EBITDA can
be computed by adding depreciation and amortization to operating
income (loss), excluding gains on extinguishment of debt.

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

                    Going Concern Doubt

In its audit report on the consolidated financial statements for
year ended Dec. 31, 2006, auditors working for Deloitte & Touche
LLP noted that IMPSAT Fiber Networks, Inc.'s current liquidity
position, high debt obligations, and negative operating results
raise substantial doubt as to its ability to continue as a going
concern.


* ECUADOR: May Adopt Argentina's Debt Restructuring Scheme
----------------------------------------------------------
The Ecuadorian government has previously said in reports that it
may restructure its foreign debts in order to divert funds into
other programs, like education and healthcare.

The government may follow Argentina's 2005 swap, where creditors
recovered 25 cents on the dollar, Reuters says, citing local
paper Clarin.  Argentina restructured about US$100 billion in
sovereign debt as a result of the financial crisis in 2002.

"We would like to renegotiate the external debt as Argentina
did, but it's quite difficult to do that now, because Argentina
took advantage of its tragedy to renegotiate when bond prices
had fallen," Ecuadorean President Rafael Correa told Clarin.

The Ecuadorian leader disclosed that his been consulting
Argentina's economy ministry regarding the country's
restructuring plan that got creditors approval, Reuters relates.

In February, the country rattled investors when it announced
that it was going to use a 30-day grace period before paying
interest.  Investors' fears were allayed when Ecuador made
payments a day after the announcement.

Investors are left guessing whether the nation would pay debt
coupon that would come due in May, Reuters says.

                        *     *     *

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

In addition, these ratings were downgraded:

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

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

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

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




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


BIO-RAD LABS: To Report First Quarter Financial Results on May 3
----------------------------------------------------------------
Bio-Rad Laboratories Inc. will report financial results for the
first quarter 2007 on May 3, 2007, after the close of the
market.  The company will discuss these results in a conference
call scheduled for 2 p.m. Pacific Daylight Time (5 p.m. Eastern
Daylight Time) that day.

Interested parties can access the call by dialing 800-295-4740
(in the U.S.) or 617-614-3925 (international), access number
87033646.  The live web cast can be accessed at the company's
Web site.

                       About Bio-Rad

Headquartered in Hercules, California, Bio-Rad Laboratories,
Inc. (AMEX: BIO) (AMEX: BIOb) -- http://www.bio-rad.com/-- is a   
multinational manufacturer and distributor of life science
research products and clinical diagnostics.  It serves more than
85,000 research and industry customers worldwide through its
global network of operations.  The company employs over 5,000
people globally and had revenues of nearly US$1.3 billion in
2006.  Aside from the United State, the company maintains
operations in Bulgaria, Canada, Denmark, Greece, India,
Philippines, Taiwan, and The Netherlands, Brazil, El Salvador,
Mexico and Puerto Rico.

                        *     *     *

As reported in the Troubled Company Reporter on Oct. 12, 2006,
Moody's Investors Service confirmed its Ba2 Corporate Family
Rating for Bio-Rad Laboratories Inc. in connection with its
implementation of its Probability-of-Default and Loss-Given-
Default rating methodology.




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


* GRENADA: Minister Comments on S&P's Credit Rating Cut to CCC+
---------------------------------------------------------------
Grenada's Finance Minister Anthony Boatswain told Caribbean Net
News that Standard & Poor's downgraded the nation's credit
rating on a wrong basis.

As reported on April 4, Standard and Poor's lowered Grenada's
rating to CCC+ from B- over high fiscal pressures and a  
deteriorating payment culture, demonstrated by intermittent  
(currently cured) arrears on domestic commercial bank debt.

Minister Boatswain commented to Caribbean Net, "The main reason
why they have downgraded Grenada from B minus to triple C plus
as they indicated is due to arrears on domestic commercial debts
in the banks; this is not true."

There are no arrears at domestic commercial banks, Minister
Boatswain told Caribbean Net.  He said they have written to
Standard and Poor's indicating that the agency should reverse
the rating.

According to Caribbean Net, Standard & Poor's said that the
Grenadan government must boost its financial position and show a
track record of timely debt payments to bring the credit rating
back up.

However, the resources pledged after hurricanes Ivan and Emily
weren't all deposited, as only 50% of the pledges were made and
this caused pressure on the government's limited fiscal
resource, Caribbean Net says, citing Minister Boatswain.

Minister Boatswain explained to Caribbean Net, "If we had
received all the pledges that were made at the different
conferences, the fiscal situation would not be as it is."

To meet the demand for the restructuring of Grenada, the
government had to regress to their internal resources and
mobilize domestic resources from whatever means, Caribbean Net
states, citing Minister Boatswain.




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


AIR JAMAICA: Government To Help Raise J$8.4 Bil. to Meet Goals
--------------------------------------------------------------
Jamaica's finance and planning minister Dr. Omar Davies told the
Jamaica Observer that the government will ensure that Air
Jamaica will be able to raise J$8.4 billion this year to fund
its long-term development.

The Observer relates that Audley Shaw, the opposition
spokesperson on finance and the public service, said during the
meeting of the Parliament's Standing Finance Committee that the
government allotted J$1.7 billion as a grant to Air Jamaica so
that it will continue operating through 2007 and 2008.

However, Air Jamaica needed J$8.4 billion to finance its new
business plan for the long haul, The Observer notes, citing Mr.
Shaw.

According to The Observer, Mr. Shaw asked where the J$8.4
billion was reflected in the 2007/2008 estimates of expenditure.

Minister Davies explained to The Observer that the J$8.4 billion
was not in the budget.  Air Jamaica will borrow the amount from
commercial entities, with a government guarantee.

The Observer underscores that the announcement confirmed the
government's departure from its initial decision that Air
Jamaica should hold back its projections to fit within the US$30
million yearly government subsidy, after a cabinet sub-committee
headed by Minister Davies rejected the proposed business plan in
January.

The cabinet decided that Air Jamaica should continue flying and
had accepted the plan, which would cost US$125 million, The
Observer says, citing Information and Development Minister
Donald Buchanan.  In the meantime, the government would provide
US$65 million between 2007 and 2008 to fund Air Jamaica's
operations to the end of next year.

Minister Davies told The Observer that the select committee
needed one more meeting to ratify a report to Parliament.

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 GROUP: Correcting Problems Leading to Trading Suspension
--------------------------------------------------------------
Jamaica Stock Exchange General Manager Marlene Street-Forrest
told RJR News that Dyoll Group officials are still trying to
correct the problems that led to the suspension of its shares
trading.

As reported in the Troubled Company Reporter-Latin America on
March 26, 2007, the Jamaica Stock Exchange suspended on March 22
the trading in the shares of Dyoll Group, due to the firm's non-
compliance of the stock exchange's rules.  Dyoll Group was also
unable to finalize its unaudited financial statements for the
quarter ended Dec. 31, 2006, and to retain the services of an
auditor to start the audited statements for 2006 due to a lack
of money.  Dyoll Group was hoping to get US$150 million from the
sale of its major asset, Drax Hall, to strengthen its balance
sheet.  Dyoll Group planned to "re-outfit" the firm as a real
estate development entity and property management company, with
plans to raise capital through private placement and debt
financing.  The company had said in a filing with the Jamaica
Stock Exchange that it continued to experience severe cash flow
problems since Dec. 15, 2006.  Plans to sell Drax Hall seemed to
have been stalled.  

Dyoll Group has not disclosed when its shares will resume
trading in the Jamaica Stock Exchange, Radio Jamaica states.

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 March 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.


NATIONAL COMMERCIAL: Jamaica's Largest Bank in Terms of Assets
--------------------------------------------------------------
Statistics from the Jamaican central bank indicated that
National Commercial Bank has become the largest bank in the
country by assets, Business News Americas reports.

BNamericas relates that National Commercial has overtaken
Scotiabank, which ranked as the largest bank by assets in 2005.

National Commercial controlled 38% of total assets held by
Jamaica's six commercial banks at the end of 2006, while
Scotiabank accounted for 34%, BNamericas states.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 18, 2006, Standard & Poor's Rating Services affirmed its
'B/B' counterparty credit and CD ratings on National Commercial
Bank Jamaica Ltd.  S&P said the outlook is stable.

                        *     *     *

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

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

Fitch said the ratings had a stable rating outlook.




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


AMERICAN AIRLINES: S&P Affirms B Rating; Revises Outlook to Pos.
----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings on
American Airlines Inc. (B/Positive/--) and parent AMR Corp.
(B/Positive/B-2).  The rating outlook is revised to positive
from stable.
      
"The positive rating outlook reflects ongoing earnings, cash
flow, and balance sheet improvements that, if sustained could
support an upgrade over the next year," said Standard & Poor's
credit analyst Philip Baggaley.  Ratings American Airlines and
AMR reflect participation in the competitive, cyclical, and
capital-intensive airline industry; erosion of financial
strength by substantial losses during 2001-2005; and a heavy
debt and pension burden.  Satisfactory liquidity, with US$4.7
billion of unrestricted cash and short-term investments at
Dec. 31, 2006, and an improving earnings trend, are positives.
     
American Airlines is the world's largest airline, measured by
traffic, with solid market shares in the US domestic, trans-
Atlantic, and Latin American markets, but a minimal presence in
the Pacific.  American Airlines, like other large US airlines,
incurred heavy losses starting in late 2000 through 2005 due to
industry-wide problems of terrorism, war, high fuel prices, and
increasing price competition in the domestic market as low-cost
airlines expand.  Since then, accelerating pricing improvements
in the domestic market and ongoing cost reduction efforts have
generated much improved results.  In 2006, AMR earned US$231
million, compared with a US$857 million loss (a loss of US$677
million before special items) in 2005, as stronger revenue
generation and ongoing cost reductions outweighed higher fuel
prices.  Fully adjusted (for operating leases and postretirement
benefits) 2006 EBITDA coverage improved to 1.8x, from 1.2x the
prior year, and funds from operations to debt strengthened to 8%
from only 3% in 2005.
     
AMR has substantial (US$24.6 billion) debt, leases, and post-
retirement obligations, with debt to capital around 100%.  Debt
is gradually declining, as the company uses free cash flow to
pay maturities and, in some cases, repurchase outstanding notes.  
This effort gained a further boost with the Jan. 23, 2007,
issuance of approximately US$500 million of common stock.  
Although the share issuance did not cause a material change in
credit ratios, it supports management's stated commitment to
strengthening AMR's balance sheet in advance of substantial
capital expenditure requirements to modernize American Airlines'
fleet.  American Airlines has indicated its intention to
accelerate delivery of 47 B737-800s to begin in 2009.  Defined-
benefit pension plans were underfunded by US$2.5 billion at
year-end 2006, with an added US$3.1 billion liability for other
retirement benefits.  Passage of pension legislation in 2006
that allows airlines to repay funding deficits over a longer
period (10 years, in the case of American Airlines) will ease
upcoming cash requirements significantly, though these
provisions are not as generous as those available to airlines
that have "frozen" or terminated their pension plans.
     
A healthy cash balance and solid internal cash generation
support credit quality, despite substantial debt maturities.  
Further gains in earnings and cash flow, if they appear
sustainable, could prompt an upgrade over the coming year.  The
outlook could be revised to stable if airline industry
conditions weaken, curtailing expected earnings improvements.

American Airlines, Inc. (NYSE:AMR) -- http://www.AA.com/--
American Eagle, and the AmericanConnection regional airlines
serve more than 250 cities in over 40 countries with more than
3,800 daily flights.  The combined network fleet numbers more
than 1,000 aircraft.  American Airlines, Inc. and American Eagle
are subsidiaries of AMR Corporation.  It has Latin operations in
Mexico, Dominican Republic, Puerto Rico, Argentina, Bolivia,
Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, Venezuela,
Uruguay, Belize, Costa Rica, El Salvador, Guatemala, Honduras,
Nicaragua and Panama.


ARROW ELECTRONICS: Annual Shareholders' Meeting Slated for May 8
----------------------------------------------------------------
Arrow Electronics will hold its Annual Meeting of Shareholders
at 11:00 a.m. on May 8 at:

         Grand Hyatt
         109 East 42nd Street
         New York
         New York
         U.S.A.

All shareholders are invited to attend.

Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and  
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                        *     *     *

As reported on March 30, Moody's affirmed Arrow Electronics'
senior preferred stock at Ba2 and senior subordinated stock at
Ba1.

Arrow Electronics carries Fitch's 'BB+' issuer default rating.  
The company's senior unsecured notes and senior unsecured bank
credit facility also carry Fitch's 'BB+' rating.  Fitch said the
rating outlook is positive.


DELTA AIR: Republic Airways Sells Claim for US$44.59 Million
------------------------------------------------------------
Delta Air Lines' unsecured creditor, Republic Airways Holdings
Inc. disclosed that it has sold the company's US$91 million
prepetition claim in Delta Air's bankruptcy for US$44.59
million.  

The transaction closed on April 11, 2007.

On March 27, 2007, The United States Bankruptcy Court for the
Southern District of New York approved the Delta Connection
Agreement between Delta Air and Republic Airways, Chautauqua
Airlines and Shuttle America.  

                    About Republic Airways

Headquartered in Indianapolis, Indiana, Republic Airways
Holdings (NASDAQ:RJET), is an airline holding company that owns
Chautauqua Airlines, Republic Airlines and Shuttle America.  The
airlines offer scheduled passenger service on over 1,000 flights
daily to 108 cities in 36 states, Canada, Mexico and the Bahamas
through airline services agreements with six U.S. airlines.  All
of the airlines' flights are operated under their airline
partner brand, such as AmericanConnection, Delta Connection,
United Express, US Airways Express, Continental Express and
Frontier Airlines.  The airlines currently employ approximately
3,900 aviation professionals and operate 189 regional jets.

                         About Delta Air

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

                            Plan Update

The Debtors filed a chapter 11 plan of reorganization and
disclosure statement explaining that plan on Dec. 19, 2007.
On Jan 19, 2007, they filed revisions to the plan and disclosure
statement, and submitted further revisions to the plan on
Feb. 2, 2007.  On Feb. 7, 2007, the Court approved the adequacy
of the Debtors' disclosure statement.  The hearing to consider
confirmation the Debtors' plan is scheduled on April 25, 2007.


FORD MOTOR: Taps Getronics To Provide Workspace Communications
--------------------------------------------------------------
Ford Motor Co. enlisted Getronics to install, deploy, and manage
a voicemail, audio conferencing, and web collaboration solution
based on the Cisco(R) Unified Communications solution suite.  A
unified communications solution should help Ford Motor realize
significant cost savings associated with convergence technology
and maximize employees' productivity and effectiveness.

Getronics has been working with Ford Motor in Europe for more
than 22 years providing workspace management services for more
than 29,000 desktops, 500 servers, and an extensive range of
networking equipment.  In fact, the top-notch services delivered
from the Getronics U.K. facility earned Ford Motor's prestigious
Quality One award.  Ford Motor's Quality One award recognizes
vendors and suppliers that meet or exceed Ford Motor's stringent
criteria for customer satisfaction, quality, punctual delivery,
technology, innovation, and administration.  In addition to its
work with Ford Motor in Europe, Getronics also provides services
to Ford Motor in Asia Pacific and the Americas.

"Getronics leverages specialized and consistent tools and
processes around the globe," says Gary Cawthorne, president and
general manager, Getronics North America.  "This enables us to
provide a unique level of quality workspace management services
to our clients everywhere they operate - from North America, to
Europe, to Asia Pacific.  Getronics delivers a cost-effective
solution with quality and reliability in the U.S. and increased
synergy around the globe."

Getronics' dedication to the Six Sigma methodology, a
disciplined approach to quality that drives cost efficiency in
service delivery, will play a key role in the implementation.  
The new unified communications solution delivered and managed by
Getronics will enable a year over year savings, while
consolidating Ford Motor's technology infrastructure onto a
single networking infrastructure.

                       About Getronics

With some 25,000 employees in more than 25 countries and
approximate revenues of US$3.4 billion, Getronics is a leading
international provider of Information and Technology services
and solutions.  Getronics headquarters are in Amsterdam, with
regional offices in Boston and Singapore.  Getronics' shares are
traded on Euronext Amsterdam ('GTN').

                     About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures and distributes automobiles
in 200 markets across six continents.  With more than 280,000
employees worldwide, the company's core and affiliated
automotive brands include Aston Martin, Ford, Jaguar, Land
Rover, Lincoln, Mazda, Mercury, and Volvo.  Its automotive-
related services include Ford Motor Credit Company and The Hertz
Corp.  Ford Motors has operations in Mexico.

                        *     *     *

As reported in the Troubled Company Reporter on Dec. 12, 2006,
Standard & Poor's Ratings Services affirmed its 'B' bank loan
and '2' recovery ratings on Ford Motor Co.

As reported in the Troubled Company Reporter on Dec. 7, 2006,
Fitch Ratings downgraded Ford Motor Company's senior unsecured
ratings to 'B-/RR5' from 'B/RR4'.

As reported in the Troubled Company Reporter on Dec. 6, 2006,
Moody's Investors Service assigned a Caa1, LGD4, 62% rating to
Ford Motor Company's US$3 billion of senior convertible notes
due 2036.


GRUPO FINANCIERO: Sells Fianzas Banorte
---------------------------------------
A Grupo Financiero Banorte official told Business News Americas
that the firm has sold Fianzas Banorte, its surety unit, to a
third party for an undisclosed amount.

The official said that the sale was concluded on March 30,
BNamericas notes.

Grupo Financiero said in a filing with the Mexican stock
exchange on April 10 that Fianzas Banorte was no longer a unit
of the group.  The decision was ratified at an extraordinary
shareholder meeting in December 2006.

Grupo Financiero Banorte SA de CV is a holding company that
operates, through its subsidiaries, in the Mexican banking
industry.  The company's main activities include commercial,
personal and investment banking, securities trading, insurance,
pension funds, leasing and credit financing.  Its two main
subsidiaries are Banorte (96.11%) and Bancentro (99.99%), which
both offer personal and commercial banking services such as
credit and debit cards, insurance products, savings accounts and
mortgage financing.  As of Dec. 31, 2005, Grupo Financiero
Banorte run a total of 986 offices and over 2,800 automated
teller machines across Mexico.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 2, 2006, Fitch upgraded the individual and Issuer Default
Ratings of Mexico's Grupo Financiero Banorte and Banco Mercantil
del Norte as:

Grupo Financiero Banorte and Banco Mercantil del Norte:

   -- Foreign & local currency IDR to 'BBB' from 'BBB-';
   -- Short-term local currency to 'F2' from 'F3'; and
   -- Individual to 'C' from 'C/D'.

Fitch said ratings outlook is stable.


INT'L RECTIFIER: Moody's Reviews Ratings on Erroneous Reporting
---------------------------------------------------------------
Moody's Investors Service placed the corporate family and long-
term debt ratings of International Rectifier Corp. under review
for possible downgrade following the company's recent Form 8-K
announcement of an internal investigation related to accounting
irregularities at a foreign subsidiary, prompting the company to
issue a statement of non-reliance on prior financial reports.  

These ratings were placed on review for possible downgrade:

   -- Ba3 for Corporate Family Rating
   -- Ba3 for Probability of Default Rating
   -- B1 (LGD4, 68%) for US$540 million 4.25% Senior
      Subordinated Notes

The review reflects the possibility that International Rectifier
will be required to restate its quarterly financial statements
from September 2005 through December 2006, and annual financial
statement for the fiscal year ended June 30, 2006, indicating
material weaknesses in the company's disclosure and internal
control over financial reporting.  It also reflects the
uncertainty surrounding the magnitude of possible accounting
restatements related to premature revenue recognition.  Finally,
the review for possible downgrade considers International
Rectifier's expected delayed filing of its March 31, 2007 Form
10-Q, pending the resolution of the internal investigation into
the accounting irregularities, which could trigger a technical
default under the company's bank credit agreement.

Although Moody's does not expect a potential liquidity situation
in the near term given the company's sizable cash position, if
International Rectifier is unable to timely file its financial
statements with the 30-day cure period or obtain a waiver from
the banks, this could also prompt a default and/or acceleration
of the convertible notes if the banks issue a payment blockage
notice under the note indenture following a non-payment default
of any senior debt.

In its review, Moody's will assess the progress of International
Rectifier's internal investigation of the accounting
irregularities and subsequent impact on revenues, profitability
and accounts receivable; materiality of financial
charges/restatements, if any; potential liquidity issues, if
any; and the possible longer term impact of the investigation.

The ratings could be revised downward if International
Rectifier's internal review is not completed within the one-
month cure period or there is a finding of misconduct, resulting
in further delay and/or material restatements of the company's
financial reports.  Further concerns regarding weaknesses in
disclosure and internal controls, systems and procedures could
also prompt a ratings downgrade.  Conversely, upon a favorable
resolution of the internal investigation coupled with the filing
of the March 2007 quarterly report with no significant
restatements within the cure period, the ratings could be
affirmed and the outlook returned to positive.

Headquartered in El Segundo, Calif., International Rectifier
-- http://www.irf.com/-- provides enabling technologies for   
products that work smarter, run cooler, and raise the world's
productivity-per-watt.  It has manufacturing facilities in the
U.S., Mexico, United Kingdom, Germany and Italy; and has
subsidiaries in Japan and Singapore.


OCEANIA CRUISES: S&P Affirms B Rating; Revises Outlook to Pos.
--------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on
Oceania Cruises Inc. to positive from developing.  The 'B'
corporate credit rating was affirmed.
     
Concurrently, Standard & Poor's assigned its loan and recovery
ratings to the US$340 million senior secured credit facility
proposed jointly by Insignia Vessel Acquisition LLC, Nautica
Acquisition LLC, and Regatta Acquisition LLC -- collectively
referred to as "Oceania Cruises".  The loan was rated 'B' (at
the same level as the corporate credit rating) with a recovery
rating of '2', indicating the expectation for substantial (80%-
100%) recovery of principal in the event of a payment default.  
The bank facility consists of a US$40 million five-year
revolving credit facility and a US$300 million six-year term
loan.
     
In addition, Standard & Poor's assigned ratings to Oceania
Cruises' proposed US$75 million seven-year second-lien term
loan.  The second-lien loan was rated 'CCC+' (two notches lower
than the corporate credit rating) with a recovery rating of '5',
indicating the assessment of negligible (0%-25%) recovery of
principal following a payment default.  The net proceeds from
the proposed bank facilities, along with excess cash on the
balance sheet and US$325 million of new sponsor preferred equity
from Apollo Management LP, will be used to refinance existing
debt, to fund a US$50 million deposit on new ship orders, and to
fund a US$275 million shareholder distribution.
      
"The outlook revision and rating affirmation follow our
assessment that the proposed financing transaction and
investment by Apollo Management through a preferred stock
instrument will occur in line with the current rating, and will
continue to allow for the possibility that rating upside
potential may exist over the intermediate term," said Standard &
Poor's credit analyst Peggy Hebard.  "In addition, operating
performance has been somewhat ahead of our expectations, and
Oceania Cruises' liquidity position remains good."
     
Oceania Cruises' currently owns and operates three identical
698-passenger cruise vessels.  The 'B' rating reflects the
company's vulnerability within the cruise sector because of its
small fleet and niche market strategy, minimal cash flow
diversity with three ships, high debt leverage, the capital-
intensive nature of the industry, and the travel industry's
susceptibility to economic cycles and global political events.  
As a partial offset, the vessels are of high quality.  Standard
& Poor's has a favorable view of the niche segment in which
Oceania Cruises' operates, and the company has good visibility
into future bookings.

Headquartered in Miami, Florida, Oceania Cruise Holdings, Inc.
owns three passenger identical cruise ships that each have 698
berths (2,094 in total) operating under the brand name of
Oceania Cruises.  The company was formed in 2002 and began
operating in 2003 when it entered into a charter (lease)
arrangement to operate the first of three ships.  The company
targets the upper premium segment of the cruise industry with
destination-oriented cruises that maximize on-shore activities.  
Oceania Cruise's principal areas of operation include Africa,
Arabia, Black Sea, Caribbean, Central America, China, Greek
Isles, Iceland, India, Mediterranean, Mexico, Russia,
Scandinavia, South America, Southeast Asia.


SMART & FINAL: Moody's Assigns Prelim Ratings on Sharp Holdings
---------------------------------------------------------------
Moody's Investors Service assigned first time ratings to Smart &
Final Stores Corp.'s proposed ultimate parent, Sharp Holdings
Corp.  The ratings assigned are based on preliminary terms
presented to Moody's by the company, and are subject to receipt
and final review of executed documents.  The ratings outlook is
stable.

Ratings assigned:

   -- B1 Corporate Family Rating at Sharp Holdings Corp.

   -- B1 Probability of default rating at Sharp Holdings Corp.

   -- Ba1, LGD 1 (9%) to US$150 million Asset-Based Revolving
      Credit Facility at Smart & Final Stores Corp.

   -- B1, LGD 4 (55%) to US$360 million First Lien Term Loan
      at Smart & Final Stores Corp.

   -- B3, LGD 5 (83%) to US$175 million Second Lien Term Loan
      at Smart & Final Stores Corp.

The ratings were assigned in connection with the planned
acquisition of the company by Apollo Management L.P.  The
transaction, which is expected to close in late May 2007, is
valued at approximately US$890 million, including the company's
existing debt obligations and transaction fees and expenses.  
The acquisition will be funded by US$200 million in proceeds
from the First Lien Term Loan, US$175 million in proceeds from
the Second Lien Term Loan, US$240 million in proceeds from the
issuance of Commercial Mortgage Backed Securities, and a US$272
million equity contribution by Apollo Management.  The remaining
US$160 million in funds under the First Lien Term Loan will be
available to finance future acquisitions.

The ratings reflect the company's weak debt protection measures,
especially high leverage (fiscal year 2007 projected
Debt/EBITDA, as calculated using Moody's standard analytical
adjustments, is expected to be approximately 5.9x) following the
debt-financed leveraged buyout, limited geographic diversity,
modest scale, and low relative product margins.  The ratings are
supported by the company's niche position in the wholesale
grocery and food service supply industries, comparable-store
sales growth, which is consistent with its peers, low
seasonality of cash flow generation on a quarterly basis, and
well maintained store base due to continued capital expenditures
on maintenance and renovation.

The stable outlook reflects Moody's expectation that Smart &
Final will continue to maintain an operating profile that
generates gradually improving margins and competitive store-
sales growth.  While free cash flow generation is expected to be
modest, financial leverage (Debt/EBITDA) should gradually
decline due to improved EBITDA and a small decrease in debt
levels.  Upward rating pressure would result from sustained
improvement in profitability and cash flows, such that
Debt/EBITDA approaches less than 5.0x and FCF/Net Debt remains
above 5%.  Downward pressure would result from an unexpected
decline in the company's operating efficiency such that EBITDA
margins fall below 3.5% and/or Debt/EBITDA increases to above
6.5x.

In addition to the proposed term loans to support the
acquisition, the company will also enter into a separate US$150
million Asset-Based Revolving Credit Facility or ABL revolver,
which will be used from time to time solely for general
corporate purposes.  This ABL revolver will be secured by first
priority liens on accounts receivable, inventory and cash, and a
third priority lien on property, plant and equipment and stock
of the company and other subsidiaries.  Guarantees on the ABL
revolver will be provided by Sharp Holdings, Smart & Final's
parent company following the acquisition, and each of Sharp
Holdings' present and future direct and indirect domestic
subsidiaries.

The proposed First Lien Term Loan will be secured by a first
priority lien on property and assets -- other than assets
providing first lien on the ABL revolver -- including the
outstanding capital stock of the company and other subsidiaries,
and a second priority lien on the ABL collateral.  The Second
Lien Term Loan will have a second priority lien on the First
Lien Term Loan collateral and third priority lien on the ABL
collateral.  These facilities will be guaranteed by Sharp
Holdings and each of Sharp Holdings' present and future direct
and indirect domestic subsidiaries.

Headquartered in Commerce, California, Smart & Final Inc. is a
leading non-membership warehouse and wholesale grocery store
chain specializing in food and foodservice products, as well as
daily household products like paper and packaging and janitorial
equipment/supplies.  Smart & Final operates a total of 241
stores in six western US states, and 13 stores in Mexico through
a joint venture.  For FYE 2006, the company generated US$2.1
billion in net sales.


UNITED RENTALS: Possible Sale Cues Fitch to Put Ratings on Watch
----------------------------------------------------------------
Fitch Ratings has placed the ratings for United Rentals Inc. and
United Rentals (North America) Inc. or United Rentals-NA on
Rating Watch Negative.

The Negative Rating Watch reflects United Rentals'
April 10 announcement that the board of directors has begun a
process to explore strategic alternatives for the entity,
including a potential sale of the company.

Fitch has placed these ratings on Rating Watch Negative:

  United Rentals, Inc.

   -- Long-Term Issuer Default Rating 'BB-'.

  United Rentals (North America), Inc.

   -- Long Term Issuer Default Rating 'BB-';
   -- Senior Secured 'BB';
   -- Senior Unsecured 'BB-'; and
   -- Subordinated Debt 'B'.

Fitch recognizes that the company's operating fundamentals have
significantly improved over the last two years and believes the
decision to explore strategic alternatives reflects an
aggressive effort by the company's board to achieve a more
favorable market valuation.

Although the outcome of this process cannot yet be determined,
Fitch's action reflects the belief that United Rentals' overall
size and market position may limit the board's option in
achieving a higher valuation to a restructuring or sale that
negatively alters the current financial profile of the company,
including significantly higher leverage, weaker capitalization
and liquidity.  Any strategic alternative undertaken by United
Rentals that negatively alters the company's current financial
profile to include a significant increase in leverage or weaker
capitalization or less liquidity will likely result in a ratings
downgrade.

Fitch also recognizes that the Negative Watch may potentially be
resolved without any negative ratings action in the event that
any strategic initiatives undertaken by United Rentals either do
not negatively alter the current financial profile or the
company is sold to an equally or stronger rated entity.

Greenwich, Conn.-based United Rentals Inc. (NYSE: URI) --
http://unitedrentals.com/-- is an equipment rental company,
with an integrated network of more than 760 rental locations in
48 states, 10 Canadian provinces, and Mexico.  The company's
13,900 employees serve construction and industrial customers,
utilities, municipalities, homeowners and others. The company
offers for rent over 20,000 classes of rental equipment.  United
Rentals is a member of the Standard & Poor's MidCap 400 Index
and the Russell 2000 Index(R).


UNITED RENTALS: Potential Sale Cues Moody's Negative Outlook
------------------------------------------------------------
Moody's Investors Service affirmed the ratings of United Rentals
Inc., but changed the outlook to negative from stable following
the company's recent announcement that its board of directors
has authorized commencement of a process to explore a broad
range of strategic alternatives to maximize shareholder value,
including a possible sale of the company.  The company's
Speculative Grade Liquidity rating of SGL-2 is unchanged.

Ratings affirmed with a negative outlook are:

   -- Corporate family rating at B1;

   -- Probability of default at B1;

   -- Senior secured bank credit facility at Ba1, but its
      loss given default assessment is changed to LGD2 (12%)
      from LGD2 (16%);

   -- Senior unsecured at B1, but its loss given default
      assessment is changed to LGD3 (45%) from LGD4 (52%);

   -- Senior subordinate at B3, but its loss given default
      assessment is changed to LGD5 (81%) from LGD5 (83%); and

   -- Quarterly Income Preferred Securities at B3 (LGD6, 96%)
      issued by United Rentals Trust I.

United Rentals' decision to explore strategic alternatives is a
departure from Moody's expectations incorporated into the
existing B1 rating.  After a period of disruption caused by
investigations into accounting irregularities at the company,
Moody's ratings had acknowledged the company's renewed focus on
operating performance.  The recent disposal of the traffic
segment was seen as eliminating a business that had represented
an operational drag on performance.  Through 2006, United
Rentals' key credit metrics were: debt/EBITDA 2.8x;
EBIT/interest expense 2.5x; and, EBITDA/interest expense of
4.6x.

With no specific transactions yet identified, the negative
outlook reflects the potential for increased operating and
financial risk at United Rentals should initiatives to maximize
shareholder value, including a sale of the company, be
implemented.  Moody's notes that United Rentals' current board
continues to include two members from Apollo Advisers LP, which
at 18.5% is United Rentals' largest shareholder.  Peter Doyle,
Moody's analyst, said, "The strategic review indicates that
United Rentals' board is open to transactions that could
increase overall financial leverage at the company.  In such an
event, credit metrics would be stressed, which could negatively
impact the ratings."

Moody's noted that in certain instances the LGD assessments were
adjusted to reflect recent debt repayments on the outstanding
term loan as modeled using Moody's Loss Given Default
methodology.  The senior secured bank credit facility contains a
change of control provision that would require repayment in the
event of a sale of the company.  Additionally, some of the
company's outstanding bonds also include change of control
provisions that could require the company to tender for the
bonds in the event of a change of control.

The Speculative Grade Liquidity rating of SGL-2 is unchanged.

Greenwich, Conn.-based United Rentals Inc. (NYSE: URI) --
http://unitedrentals.com/-- is an equipment rental company,
with an integrated network of more than 760 rental locations in
48 states, 10 Canadian provinces, and Mexico.  The company's
13,900 employees serve construction and industrial customers,
utilities, municipalities, homeowners and others. The company
offers for rent over 20,000 classes of rental equipment.  United
Rentals is a member of the Standard & Poor's MidCap 400 Index
and the Russell 2000 Index(R).


UNITED RENTALS: Possible Sale Cues S&P to Place Ratings on Watch
----------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on United
Rentals Inc. and its subsidiary, United Rentals (North America)
Inc., including its 'BB-' corporate credit ratings, on
CreditWatch with developing implications following the company's
announcement that it is exploring strategic alternatives, which
could include the sale of the company.
     
In resolving its CreditWatch listing, Standard & Poor's will
monitor developments associated with the company's pursuit of
strategic alternatives.  The CreditWatch placement indicates
that the ratings might be affirmed, raised, or lowered,
depending on United Rentals' credit profile following a
potential transaction.  An acquisition by a strategic buyer with
a stronger credit profile may result in an upgrade.  
Alternatively, an acquisition by a financial buyer, resulting in
a material increase in leverage, could result in a downgrade.  
In the event of the sale of United Rentals to a financial buyer,
Standard & Poor's will consider the impact of existing change of
control provisions on specific debt issues.

Greenwich, Conn.-based United Rentals Inc. (NYSE: URI) --
http://unitedrentals.com/-- is an equipment rental company,
with an integrated network of more than 760 rental locations in
48 states, 10 Canadian provinces, and Mexico.  The company's
13,900 employees serve construction and industrial customers,
utilities, municipalities, homeowners and others. The company
offers for rent over 20,000 classes of rental equipment.  United
Rentals is a member of the Standard & Poor's MidCap 400 Index
and the Russell 2000 Index(R).
     



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


GOODYEAR TIRE: Shareholders Re-Elect 11 Members to Board
--------------------------------------------------------
Goodyear Tire & Rubber Company's shareholders has re-elected 11
members of the company's Board of Directors.

The Re-elected members were:

    * James C. Boland, vice chairman, Cavaliers Operating
      Company, LLC;

    * John G. Breen, former chairman of the board, The Sherwin-
      Williams Company;

    * William J. Hudson Jr., former president and chief
      operating officer, AMP Inc.;

    * Robert J, Keegan, chairman, chief executive officer and
      president, Goodyear;

    * Steven A. Minter, former president and executive director,
      The Cleveland Foundation;

    * Denise M. Morrison, senior vice president, Campbell USA
      Soup, Sauce and Beverage;

    * Rodney O'Neal, chief executive officer and president,
      Delphi Corporation;

    * Shirley D. Peterson, former partner, Steptoe & Johnson
      LLP;

    * G. Craig Sullivan, former chairman and chief executive
      officer, The Clorox Company;

    * Thomas H. Weidemeyer, former senior vice president and
      chief operating officer, United Parcel Service Inc.; and

    * Michael R. Wessel, president, The Wessel Group Inc.

The shareholders have approved PricewaterhouseCoopers LLP's
appointment as the company's independent registered public
accounting firm for 2007.

A shareholder proposal requesting the adoption of a simple
majority vote standard for all issues subject to shareholder
vote failed to receive a majority of votes outstanding.

In other business, shareholder proposals related to executive
compensation and retirement benefits failed to receive a
majority of votes outstanding.

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 10, 2007, Fitch Ratings has affirmed ratings for The
Goodyear Tire & Rubber Co. and revised the rating outlook to
positive from stable:

   -- Issuer Default Rating 'B';
   -- US$1.5 billion first-lien credit facility 'BB/RR1';
   -- US$1.2 billion second-lien term loan 'BB/RR1';
   -- US$300 million third-lien term loan 'B/RR4';
   -- US$650 million third-lien senior secured notes 'B/RR4';
   -- Senior unsecured debt 'CCC+/RR6'.


LEVI STRAUSS: Earns US$87 Million in Quarter Ended February 25
--------------------------------------------------------------
Levi Strauss & Co. reported financial results for the first
quarter ended Feb. 25, 2007, and filed its first-quarter 2007
Form 10-Q with the U.S. Securities and Exchange Commission.

First-quarter results reflect continued improvements in the
company's key operating measures, including net revenues and net
income.

Net revenues for the first quarter were US$1,037 million
compared to US$968 million for the same quarter in 2006, a 7
percent increase.  Net revenues grew in each of the company's
three regions.  The increase primarily reflects growth in the
Levi's(R) brand across all regions due to a higher proportion of
premium-priced product sales, strong growth in emerging markets
and additional brand-dedicated retail stores.  Net revenues also
benefited from favorable currency exchange rates.

Net income for the first quarter increased 61 percent to US$87
million compared to US$54 million in the same quarter of 2006.  
The improvement reflects an 11 percent increase in operating
income, mostly driven by a US$25 million benefit-plan
curtailment gain related to the closure of a U.S. distribution
center, lower interest expense and a lower effective tax rate,
partially offset by higher restructuring expenses.

"We're off to a good start this year," said John Anderson, chief
executive officer.  "Our sales grew for the second consecutive
quarter, reflecting a broad-based improvement worldwide.  Our
premium products are doing well with consumers in many markets.  
At the same time, some businesses, including Japan and the U.S.
Levi Strauss Signature(R) brand, need considerable improvement.  
Overall, we made very good progress in the quarter."

                      About Levi Strauss

Founded in 1853 by Bavarian immigrant Levi Strauss, Levi Strauss
& Co. -- http://www.levistrauss.com/-- is one of the world's    
largest brand-name apparel marketers with sales in more than 110
countries.  The company market-leading apparel products are sold
under the Levi's(R), Dockers(R) and Levi Strauss Signature(R)
brands.

Levi Strauss & Co. is privately held by descendants of the
family of Levi Strauss.  Shares of company stock are not
publicly traded.  Shares of Levi Strauss Japan K.K., the
company's Japanese affiliate, are publicly traded in Japan.

The company employs a staff of approximately 10,000 worldwide,
including approximately 1,010 at the company's San Francisco,
California headquarters.  Levi Strauss Europe is headquartered
in Brussels, Belgium, while Levi's Asia Pacific division is
based in Singapore.  Levi's has operations in Brazil, Mexico,
Chile and Peru.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 6, 2007, Standard & Poor's Ratings Services assigned its
'B' rating to apparel marketer and distributor Levi Strauss &
Co.'s proposed US$325 million senior unsecured term loan due
2014.  Proceeds from the term loan, along with cash on hand,
will be used to retire or fully call the existing US$380 million
floating rate notes due April 2012.
     
At the same time, Standard & Poor's said it raised all of its
ratings on the company by one notch, including raising its 'B-'
long-term corporate credit rating to 'B'.  S&P said the outlook
is positive.




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


DIRECTV GROUP: Negotiating with Google to Sell TV Ads
-----------------------------------------------------
A source told Silicon Valley Blog VentureBeat that DirecTV Group
is negotiating with Google to jointly sell television
advertising.

VentureBeat relates that Google's deal with DirecTV Group has
been put off by the latter's ownership restructuring.

"The DirecTV deal is taking more time than Dish's [Dish Network]
to close because DirecTV is managing the ownership change
announced... last year.  The deal with Google will go through
eventually," Reuters notes, citing a blogger.

However, Google spokesperson Brandon McCormick told Reuters, "We
cannot comment on market rumor or speculation."

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 in the Troubled Company Reporter-Latin America on
April 5, 2007, Standard & Poor's Ratings Services affirmed the
'BB' corporate credit and 'BB-' senior unsecured debt rating on
The DIRECTV Group Inc.  S&P said the outlook is stable.


DIRECTV GROUP: Buying Amplifiers & Modulators from Radyne Corp.
---------------------------------------------------------------
DirecTV Group Inc. has ordered power amplifiers and satellite
modulators from Radyne Corp., the Associated Press reports,
citing the latter.

Radyne told AP that the orders were over US$6.7 million.  The
equipment will be used in the DirecTV Group's high-definition
television expansion.  

The amplifiers and modulators will be delivered during the first
three quarters of this year, AP states, citing Radyne.

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 in the Troubled Company Reporter-Latin America on
April 5, 2007, Standard & Poor's Ratings Services affirmed the
'BB' corporate credit and 'BB-' senior unsecured debt rating on
The DIRECTV Group Inc.  S&P said the outlook is stable.




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


MIRANT CORPORATION: Board Exploring Strategic Alternatives
----------------------------------------------------------
Mirant Corporation's board of directors has decided to explore
strategic alternatives to enhance stockholder value.

The company has made significant progress in implementing the
program it disclosed in July and August 2006 to sell its
Philippine business and six U.S. natural gas-fired plants, which
are expected to close in the second quarter of 2007, and its
Caribbean business, which is expected to close in mid-2007.  

In light of the status of the disposition program, the board
will consider in the exploration process whether the interests
of stockholders would be best served by returning excess cash
from the sale proceeds to stockholders, with the company
continuing to operate its retained businesses or, alternatively,
whether greater stockholder value would be achieved by entering
into a transaction with another company, including a sale of the
company in its entirety.  The company does not expect to
consider making an acquisition as part of this exploration
process.  

JPMorgan will serve as the financial advisor in this process.

"The company is commencing this exploration of alternatives in
order to provide its stockholders with the greatest possible
value," Edward R. Muller, chairman and chief executive officer,
said.

At this time, there can be no assurance that any transaction
will be pursued, other than the dispositions that Mirant has
taken, or that any transaction that is pursued would be
consummated.  The company does not intend to disclose
developments with respect to the exploration of strategic
alternatives unless and until its board of directors has
completed its evaluation or approved a specific transaction.  As
a result of this information, the company will not provide
earnings guidance during the exploration process.

The company also noted that Mirant's certificate of
incorporation contains in Article 17 certain transfer
restrictions that are intended to preserve the value of the
company's substantial tax loss carryforwards.  These
restrictions apply when holders of 5% or more of the company's
stock own in the aggregate at least 35% of the company's stock.  
When these provisions apply, persons holding 5% or more of the
company's stock cannot acquire additional stock, and persons
holding less than 5% of the company's stock cannot become 5%
holders.  

Currently, much as 26% of the company's stock is held by or
committed to holders of more than 5% of the company's stock.  As
of Feb. 28, 2007, the number of outstanding shares of Mirant
common stock to be taken into account for purposes of
calculating ownership under Article 17 was 256 million.

The company has filed a Current Report on Form 8-K that contains
additional information about its tax position.  Copies of
Mirant's certificate of incorporation and are available on the
company's website or at http://ResearchArchives.com/t/s?1ce2.


                     About Mirant Corporation

Headquartered in Atlanta, Georgia, Mirant Corporation (NYSE:
MIR) -- http://www.mirant.com/-- is an energy company that     
produces and sells electricity in North America, the Caribbean,
and the Philippines.  Mirant's investments in the Caribbean
include three integrated utilities and assets in Jamaica, Grand
Bahama, Trinidad and Tobago and Curacao.  Mirant owns or leases
more than 18,000 megawatts of electric generating capacity
globally.  Mirant Corporation filed for chapter 11 protection on
July 14, 2003 (Bankr. N.D. Tex. 03-46590), and emerged under the
terms of a confirmed Second Amended Plan on Jan. 3, 2006.  
Thomas E. Lauria, Esq., at White & Case LLP, represented the
Debtors in their successful restructuring.  When the Debtors
filed for protection from their creditors, they listed
US$20,574,000,000 in assets and US$11,401,000,000 in debts.  The
Debtors emerged from bankruptcy on Jan. 3, 2006.  Mirant NY-Gen,
LLC, Mirant Bowline, LLC, Mirant Lovett, LLC, Mirant New York,
Inc., and Hudson Valley Gas Corporation, were not included and
have yet to submit their plans of reorganization.  (Mirant
Bankruptcy News, Issue No. 119; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)




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


* URUGUAY: Inks Three Trade Agreements with Chile
-------------------------------------------------
Uruguay's President Tabare Vasquez has signed three trade
accords with Michelle Bachelet, his Chilean counterpart, Xinhua
news agency reports.

According to Xinhua, the deals include:

        -- Bilateral Trade Commission Agreement,
        -- Chile-Uruguay 21st Century Cooperation Agreement, and
        -- Promotion and Investment Institution Cooperation
           Agreement.

President Vasquez will also sign business cooperation accords
and meet with Uruguayan and Chilean entrepreneurs, Xinhua
states.

                        *     *     *

On Sept 11, 2006, Fitch rated Uruguay's US$400 million issue of
5% inflation-indexed bonds payable in U.S. dollars and maturing
Sept. 14, 2018, at 'B+'.




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


HERBALIFE: Changes Annual Meeting Venue to Beverly Hills Hotel
--------------------------------------------------------------
Herbalife Ltd. reported that the 2007 Annual General Meeting of
Shareholders of Herbalife to be held on April 26, 2007, at 9:00
a.m., Pacific Daylight Time, has been moved to The Beverly Hills
Hotel at 9641 Sunset Boulevard, Beverly Hills, Calif., from
Herbalife's corporate headquarters.  The original date and time
of the meeting have not been changed.

In addition, Herbalife related that Whitney & Co. is withdrawing
its proposal to acquire the company for US$38 a share, saying it
was "surprised and disappointed" in the company's decision not
to discuss the proposal or include distributors in its strategic
review process, Rhonda L. Rundle of The Wall Street Journal
reports.

             Offer Does Not Represent Sufficient Value

Herbalife Ltd. said in a press statement Thursday that the
Special Committee of its Board of Directors has determined that
a proposal by Whitney to acquire all of Herbalife's outstanding
common stock for US$38.00 per share does not represent
sufficient value for the company.

"The Board recognizes and values the leadership that Whitney has
provided Herbalife.  We remain open-minded about ways to achieve
appropriate value for the Company, and would certainly consider
an improved proposal from Whitney.  However, in the absence of
such a proposal, the Board expects the Company to continue to
grow and prosper," said Leroy T. Barnes Jr., Chairman of the
Special Committee.  "Herbalife's continued momentum, enabled by
the outstanding performance of our distributors and underscored
by the recent receipt of a new license to operate in China and
the recently announced marketing agreement with the L.A. Galaxy
soccer team, further reinforces the Special Committee's
determination that a US$38.00 offer is too low."

"I want to thank the distributors for their unwavering focus and
commitment to Herbalife as the Company evaluates these matters.  
We recognize the critical importance of our independent
distributors and the value they bring to the Herbalife
franchise," said Michael O. Johnson, Chief Executive Officer of
Herbalife. "Their efforts are generating exceptional momentum in
our business and as a result the Company is performing very
well."

On Feb. 2, 2007 Herbalife received an unsolicited offer from
Whitney to acquire the company in an all cash transaction.  
Whitney reported at the time of the offer that it owns
approximately 27% of Herbalife's outstanding common stock.  As a
Cayman Islands registered corporation, any transaction to sell
Herbalife would require an affirmative vote by a majority of
shareholders voting on the transaction and 75% in value of the
voted shares.

The Special Committee is comprised solely of independent and
disinterested directors and is being assisted in its review by
independent legal and financial advisors Munger, Tolles & Olson
LLP and Goldman, Sachs & Co., respectively.

                            2006 Results

Herbalife earned US$143.13 million in net income on net sales of
US$1.88 billion for the year ended Dec. 31, 2006, compared with
net income of US$93.14 million on net sales of US$1.56 billion
for the previous year.  Cost of sales in 2006 totaled US$380.33
million, versus US$315.74 million in 2005.  

As of Dec. 31, 2006, the company listed US$1.01 billion in total
assets and US$663.04 million in total liabilities, resulting to
US$353.89 million in total shareholder's equity.

The company held US$154.32 million in cash and cash equivalents
as of Dec. 31, 2006, up from US$88.24 million in cash and cash
equivalents as of Dec. 31, 2005.

Herbalife Ltd. (NYSE: HLF) -- http://www.herbalife.com/--
Herbalife, now in its 26th year, conducts business in 62
countries.  The company does business with several manufacturers
worldwide and has its own manufacturing facility in Suzhou,
China as well as major distribution centers in Venray,
Netherlands, Japan, Los Angeles, Calif., Memphis, Tenn.,
Guadalajara, Mexico, and El Salvador.  The company also has
operations in Venezuela.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 05, 2007, Standard & Poor's Ratings Services said that its
'BB+' corporate credit rating on Herbalife Ltd. remains on
CreditWatch with negative implications following the company's
announcement that the company's board of directors has rejected
a bid to be acquired by Whitney V L.P.


PETROLEOS DE VENEZUELA: Unit Could Become Independent State Firm
----------------------------------------------------------------
Venezuelan state-run oil company Petroleos de Venezuela SA could
spin off PDVSA Gas, its gas subsidiary, as an independent state
company, local paper El Universal reports.

Gas regulator Enagas President Jorge Luis Sanchez told El
Universal, "PDVSA Gas should be able to go solo."

However, about 40% of PDVSA Gas' equipment, especially
pipelines, is at least 20 years old.  Alliances with nations
with more natural gas experience like Egypt and Belarus could
help, Business News Americas says, citing Mr. Sanchez.  
Pipelines have such limited capacities they can't accommodate
output increases.

According to BNamericas, Mr. Sanchez carped on private firm for
failing to take advantage of a provision that allowed them to
own 100% in natural gas exploration and production projects.

The Venezuelan government aims to take at least a 51% share of
private natural gas projects as part of its nationalization
strategy, BNamericas states.

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

                        *     *     *

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: Could Seize Private Hospitals, Pres. Chavez Warns
--------------------------------------------------------------
Venezuelan President Hugo Chavez informed that his government
could take over private hospitals if they keep raising prices
for care, the Jamaica Gleaner reports.

Mr. Chavez commented that any private hospital would have to be
nationalized if it doesn't comply with the regulations that are
made.

According to the report, certain private hospitals seized by the
government could expand Mr. Chavez's nationalization drive,
which already involves electrical companies, Venezuela's largest
telecom and lucrative oil projects in the Orinoco River basin.

In addition, Mr. Chavez expressed the need of private schools
regulation but did not give enough details.

                       Public Health System

Reports show that Mr. Chavez made public health system expansion
by building new clinics, refurbishing hospitals and sending
thousands of Cuban and Venezuelan doctors to live in poor
neighborhoods and provide free health care services.

Citing Mr. Chavez, Jamaica Gleaner relates that the government
is obliged to protect all of the population, including the
middle class and also the rich people.

However, state officials disclosed that there was no specific
plans to nationalize private hospitals.  In March, Mr. Chavez
directed officials to seize a hospital managed by Venezuela's
Anticancer Association, saying the nonprofit Organization failed
to meet its obligations to the public.

                        *     *     *

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: Won't Issue Additional Bonds of the South Soon
-----------------------------------------------------------
The Venezuelan government does not plan to make a new issuance
of the so-called Bond of the South -- a debt issue that combines
Argentine and Venezuelan notes, El Universal reports, citing
Finance Minister Rodrigo Cabezas.

The government has already sold US$1.5 billion of the bonds in
two tranches.  Minister Cabezas underscored that a third round
has not been planned yet between the two governments, El
Universal relates.

"We have not plans in the short term.  There will be new talks
with Argentina on that matter, but it is not expected in the
short, medium term," the finance minister said to local radio
station Union Radio.

The bond issuance served to absorb excess liquidity in the
market, the finance minister said in an interview with La
Nacion.

"We do not like inflation and we are working to vanquish
inflation, but we rather have a moderate inflation than stopping
economic growth.  We are not going to implement policies leading
to recession," Minister Cabezas was quoted by La Nacion as
saying.


* VENEZUELA: Worries on Food Price Increase Due to Sugar Demand
---------------------------------------------------------------
Venezuela's President Hugo Chavez, along with his Cuban
counterpart Fidel Castro, is worried that the ethanol sector's
demand for sugar and corn could result to price increase in
food, Carolina-Virginia Farmer reports.

President Chavez told Carolina-Virginia Farmer, "When you fill a
vehicle's tank with ethanol, you are filling it with energy for
which land and water enough to feed seven people have been
used."

President Castro admitted in his party's official newspaper that
he is worried that too many crops might be diverted from food to
fuel, causing increase in food prices that will eventually lead
to intensified problems on hunger and poverty.

                        *     *     *

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


                          ***********


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

Troubled Company Reporter - Latin America is a daily newsletter
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Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
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delos Santos, Christian Toledo, and Junald Ango, Editors.

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