TCRLA_Public/070416.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

          Monday, April 16, 2007, Vol. 8, Issue 74

                          Headlines

A R G E N T I N A

AEROPAGO SA: Creditors to Vote on Settlement Plan Tomorrow
AJ CHEDIEX: Proofs of Claim Verification Ends on August 7
ARLENA SA: Creditors to Vote on Settlement Plan Tomorrow
COMPANIA LATINOAMERICANA: S&P Puts B- Rating on US$100MM Bonds
DARRITCHON SRL: Proofs of Claim Verification Is Until June 13

DISTRIBUIDORA DEL NORTE: Claims Verification Deadline Is July 4
MONTE GRAPPA: Trustee To File Individual Reports in Court Tom
SIDEPA SA: Trustee Filing Individual Reports in Court on June 21
SIRENA SA: Proofs of Claim Verification Is Until May 31
OPHIEL SRL: Trustee Verifies Proofs of Claim Until May 11

TELECOM ARGENTINA: Discloses New Organizational Model

* ARGENTINA: S&P Affirms Buenos Aires' B+ Issuer Credit Ratings

B E R M U D A

ASCEND COMMUNICATIONS: Final General Meeting Is Set for April 17
ASCEND COMMUNICATIONS: Proofs of Claim Filing Is Until April 27
GLACIER INSURANCE: Proofs of Claim Filing Is Until April 27
GLACIER INSURANCE: Will Hold Final General Meeting on May 16
HAWTHORNE INSURANCE: Final General Meeting Is Set for May 16

HAWTHORNE INSURANCE: Proofs of Claim Filing Ends on April 27
LCB INVESTMENTS: Proofs of Claim Filing Is Until April 27
LCB INVESTMENTS: Will Hold Final General Meeting on May 16

B O L I V I A

* BOLIVIA: Senate Signs Three, Amends 37 Hydrocarbons Bills

B R A Z I L

ALERIS INTERNATIONAL: Posts US$4.7 Bil. in Revenues for FY 2006
AVNET INC: Unit Hires Dick Borsboom as President for EMEA Unit
BANCO BMG: Earns BRL129 Million in First Quarter 2007
BANCO BRADESCO: Unit Eyes Up to 15% Boost in Transport Premiums
BRASKEM SA: Raises US$1.2-Bil. to Finance Ipiranga Purchase

CMS ENERGY: To Sell Brazilian Unit to CPFL Energia for US$211MM
COMPAGNIE GENERALE: Moody's Assigns Loss-Given-Default Rating
COREL CORP: Expects First Quarter Revenues of Up to US$53 Mil.
DRESSER INC: S&P Affirms B Rating on Likely Debt Leverage Cut
GLOBO COMUNICACAO: Moody's Puts Ba1 Rating on US$200-Mil. Notes

GLOBO COMUNICACAO: S&P Puts BB Rating on US$200-Million Notes
MACDERMID INC: Shareholders Okay Merger with Matrix Acquisition
PETROLEO BRASILEIRO: Hires Skanska to Build Propane-Making Unit
PETROLEO BRASILEIRO: May Purchase Tankers to Aid Ethanol Export
PETROLEO BRASILEIRO: Must Follow Government's Development Scheme

PETROLEO BRASILEIRO: Proposes LatAm Gas Pipeline to Hike Exports
SANMINA-SCI: May Miss 2nd Qtr. Revenue Target Due to Low Demand
TAM CAPITAL: Fitch Assigns BB rating on US$200-Million Issuance
TAM CAPITAL: S&P Puts BB- Rating on US$200 Mil. Guaranteed Notes
TAM SA: Offers Senior Notes Due 2017 to Finance Fleet Upgrade

TAM SA: Fitch Assigns BB Foreign & Local Currency Issuer Ratings
TAM SA: S&P Assigns BB Long-Term Corporate Credit Rating
TELE NORTE: Shareholders Okay BRL600-Million Interest on Capital
TELE NORTE: Shareholders Approve Stock Option Plan
TELE NORTE: S&P Says Buyout Threat Has No Effect on Ratings

TOWER AUTOMOTIVE: Court Approves US$1-Billion Sale to Cerberus
TOWER AUTOMOTIVE: Exclusive Plan-Filing Period Extended to May 3
TRW AUTOMOTIVE: Increases Consideration for Tender Offer
XERIUM TECHNOLOGIES: Miguel Quinonez to Step Down as President

C A Y M A N   I S L A N D S

BB NETWORK: Proofs of Claim Filing Deadline Is Tomorrow
KAZIMIR RUSSIA: Proofs of Claim Must be Filed on Friday
PARMALAT SPA: N.Y. Court Allows Charges Against Grant Thornton
PARMALAT SPA: Constitutional Court Affirms Claims vs. Two Banks

C H I L E

EMPRESA DE FERROCARILES: Needs to Privatize Passenger Services
LIBERTY GLOBAL: Moody's Assigns Loss-Given-Default Rating
NORSKE SKOGINDUSTRIER: Moody's Assigns Loss-Given-Default Rating

C O L O M B I A

BANCOLOMBIA SA: Earns COP111.3 Billion in March 2007
BANCOLOMBIA SA: Moody's Affirms Ba3/Not Prime Deposit Ratings
SUN MICROSYSTEMS: Will Acquire SavaJe Technologies IP Assets

D O M I N I C A N   R E P U B L I C

AMERICAN AIRLINES: Files for Approval to Operate New Routes
BANCO INTERCONTINENTAL: Pays Ex-Colonel's Credit Card Expenses
JETBLUE AIRWAYS: Names Jim Hnat as Executive Vice President

* DOMINICAN REPUBLIC: To Issue DOP320-Billion of 10-Year Bonds

E C U A D O R

GRAHAM PACKAGING: Dec. 31 Balance Sheet Upside-Down by US$597.8M

E L   S A L V A D O R

ALCATEL-LUCENT: Unveils Adjusted Quarterly Figures for 2006
ALCATEL-LUCENT: Completes Gazprom Neft Network Project
DIGICEL GROUP: Launches US$150-Mil. Mobile Deal in El Salvador

G U A T E M A L A

IMAX CORP: Provides Status Update on Delayed Filing

M E X I C O

BALLY TOTAL: Gets Forbearance Pact from Senior Secured Lenders
BERRY PLASTICS: Completes Stock-for-Stock Merger with Covalence
BERRY PLASTICS: Moody's Cuts Corporate Family Rating to B2
CABLEMAS SA: Picks ARRIS Technology to Provide VoIP Service
DAMOVO GROUP: In Talks with Noteholders Over Restructuring Deal

DESARROLLADORA METROPOLITANA: Moody's Rates US$100MM Notes at B2
EMPRESAS ICA: Infrainvest Gets US$50-Million Loan from IFC
FORD MOTOR: Employees Will Not Fight Warwickshire Site Closure
FORD MOTOR: Discloses Top Executive Compensation Details
GREENBRIER COS: Mike Roarke Reiterates "Hold" Rating on Shares

GRUPO IUSACELL: Will Use Tango Telecom's Data Charging Software
KRISPY KREME: Incurs US$24.4 Mil. Net Loss in Qtr. Ended Jan. 28
MCDERMOTT INT'L: Repays US$250MM Loan of Babcock Credit Facility
PORTRAIT CORP: Assumes Lease Agreement with Lakemont Industrial
UNITED RENTALS: Board Exploring Strategic Alternatives

UNITED RENTALS: CEO Wayland Hicks to Retire
VITRO S.A.B.: Will Release 2007 First Quarter Results on May 2

N I C A R A G U A

XEROX CORP: Passes U.S. Envt'l Agency's Energy Saving Standard

P A N A M A

CABLE & WIRELESS: Moody's Assigns Loss-Given-Default Rating
CABLE & WIRELESS: Nears Supply Deal with Virgin Media
CHIQUITA BRANDS: Unit Grants US$2-Million Funds in Nine Projects

P U E R T O   R I C O

FEDERATED DEPARTMENT: Sales for Five-Week Period Up by 1.5%
MUSICLAND HOLDING: Plan Confirmation Hearing Delayed to April 26
PATHEON INC: Moody's Rates Proposed US$225-Mln Senior Loan at B1
PIER 1: Incurs US$58,696,000 Net Loss in Quarter Ended March 3

U R U G U A Y

NAVIOS MARITIME: Hires George Achniotis as Chief Fin'l Officer

V E N E Z U E L A

CMS ENERGY: Inks Pact to Sell Brazilian Unit for US$211.1 Mil.
HERBALIFE LTD: Opens New Sales Unit in Phoenix, Arizona
PETROLEOS DE VENEZUELA: Investors to Get Tax-Exempt Yields
PETROLEOS DE VENEZUELA: Sells US$7.5 Billion of Bonds
SANCOR COOPERATIVAS: Selling Up to 3K Tons of Milk to Venezuela

* VENEZUELA: Posts 60,000 Daily Oil Output Increase in March

* BOOK REVIEW: Building American Cities


                          - - - - -


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


AEROPAGO SA: Creditors to Vote on Settlement Plan Tomorrow
----------------------------------------------------------
Aeropago S.A., a company under reorganization, will present a
settlement plan to its creditors on April 17, 2007.

Adalberto Corbelleri, the court-appointed trustee for Aeropago's
reorganization proceeding, submitted individual reports in court
on Oct. 6, 2006.  The individual reports were based on
creditors' claims that Mr. Corbelleri verified until
Aug. 25, 2006.   The National Commercial Court of First Instance
No. 26 in Buenos Aires, with the assistance of Clerk No. 51,
determined the verified claims' admissibility, taking into
account the trustee's opinion and the objections and challenges
raised by Aeropago and its creditors.  

Mr. Corbelleri also presented a general report containing an
audit of Aeropago's accounting and banking records in court on
Nov. 20, 2006.

The debtor can be reached at:

          Aeropago S.A.
          Lavalle 1578
          Buenos Aires, Argentina

The trustee can be reached at:

          Adalberto Corbelleri
          Carabobo 2372
          Buenos Aires, Argentina


AJ CHEDIEX: Proofs of Claim Verification Ends on August 7
---------------------------------------------------------
Graciela Lissarrague, the court-appointed trustee for A.J.
Chediex SRL's bankruptcy proceeding, verifies creditors' proofs
of claim until Aug. 7, 2007.

Ms. Lissarrague will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 12 in Buenos Aires, with the assistance of Clerk
No. 24, 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 A.J. Chediex 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 A.J. Chediex's
accounting and banking records will be submitted in court.

La Nacion did not state the reports submission date.

Ms. Lissarrague is also in charge of administering A.J.
Chediex's assets under court supervision and will take part in
their disposal to the extent established by law.

The debtor can be reached at:

          A.J. Chediex SRL
          Cordoba 2959          
          Buenos Aires, Argentina

The trustee can be reached at:

          Graciela Lissarrague
          Tte. Gral. J.D. Peron 1509
          Buenos Aires, Argentina


ARLENA SA: Creditors to Vote on Settlement Plan Tomorrow
--------------------------------------------------------
Arlena S.A., a company under reorganization, will present a
settlement plan to its creditors on April 17, 2007.

Marta Elena Pereyra, the court-appointed trustee for Arlena's
reorganization proceeding, submitted individual reports in court
on Aug. 17, 2006.  The individual reports were based on
creditors' claims that Ms. Pereyra verified until June 23, 2006.   
The National Commercial Court of First Instance in Resistencia,
Chaco, determined the verified claims' admissibility, taking
into account the trustee's opinion and the objections and
challenges raised by Arlena and its creditors.  

Ms. Pereyra also presented a general report containing an audit
of Arlena's accounting and banking records in court on
Oct. 3, 2006.

The debtor can be reached at:

         Arlena S.A.
         Vedia 135/145, Resistencia
         Chaco, Argentina

The trustee can be reached at:

         Marta Elena Pereyra
         Cervantes 531, Resistencia
         Chaco, Argentina


COMPANIA LATINOAMERICANA: S&P Puts B- Rating on US$100MM Bonds
--------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B-' senior
unsecured debt rating to Compania Latinoamericana de
Infraestructura & Servicios S.A.'s upcoming issuance of up to
US$100 million five-year bullet bonds.  All other ratings are
affirmed.  The outlook is stable.
      
"The new issue is jointly and severally guaranteed by Compania
Latinoamericana's subsidiaries, Benito Roggio e Hijos S.A. and
Cliba Ingenieria Ambiental S.A., which prevents notching down
for structural subordination," said Standard & Poor's credit
analyst Ivana Recalde.  Proceeds will be used mainly to
refinance existing debt and, to a lesser extent, cancel other
obligations.  Although this issuance would initially come from
an increase in Compania Latinoamericana's debt levels (of about
14% compared with debt registered as of December 2006) and in a
higher exposure to currency mismatch risks, it would
significantly alleviate the company's refinancing risk because
of the extension in the company's debt maturities during the
long term.
     
The ratings on Compania Latinoamericana reflect the risks
associated with heavy dependence on the Argentine economy and on
large government clients, exposure to foreign currency mismatch
risks, and relatively limited financial flexibility.  The
renegotiation of its subway concession contract poses additional
challenges.     

The stable outlook reflects Standard & Poor's expectations that
Compania Latinoamericana will gradually consolidate its business
and financial profile, in light of relatively favorable
prospects for the development of infrastructure projects, and
assuming the mass transportation unit continues receiving
subsidies.  The ratings could benefit from a significant
improvement of the company's financial profile.  In contrast,
the ratings could come under pressure if economic conditions
deteriorate significantly, if the renegotiation of Compania
Latinoamericana's subway operations contract is unsuccessful, or
if the company registers a higher-than-expected increase in
leverage.

Compania Latinoamericana de Infraestructura & Servicios S.A. is
a holding company involved in passenger transport, construction,
road maintenance and environmental engineering.  The company
operates in Buenos Aires, Argentina.


DARRITCHON SRL: Proofs of Claim Verification Is Until June 13
-------------------------------------------------------------
Irma S. Aguilera, the court-appointed trustee for Darritchon
SRL's bankruptcy proceeding, verifies creditors' proofs of claim
until June 13, 2007.

Ms. Aguilera will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 4 in Buenos Aires, with the assistance of Clerk
No. 8, 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 Darritchon 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 Darritchon's
accounting and banking records will be submitted in court.

La Nacion did not state the reports submission date.

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

The debtor can be reached at:

          Darritchon SRL
          Nicolas Repetto 480

The trustee can be reached at:

          Irma S. Aguilera
          Luis Saenz Pena 1690          
          Buenos Aires, Argentina


DISTRIBUIDORA DEL NORTE: Claims Verification Deadline Is July 4
---------------------------------------------------------------
Susana Roiter, the court-appointed trustee for Distribuidora del
Norte SA's bankruptcy proceeding, verifies creditors' proofs of
claim until July 4, 2007.

Ms. Roiter will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 24 in Buenos Aires, with the assistance of Clerk
No. 47, 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 Distribuidora del Norte
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 Distribuidora del
Norte's accounting and banking records will be submitted in
court.

La Nacion did not state the reports submission date.

Ms. Roiter is also in charge of administering Distribuidora del
Norte's assets under court supervision and will take part in
their disposal to the extent established by law.

The debtor can be reached at:

          Distribuidora del Norte SA
          Avenida de Mayo 819          
          Buenos Aires, Argentina

The trustee can be reached at:

          Susana Roiter
          Marcelo T. de Alvear 1430
          Buenos Aires, Argentina


MONTE GRAPPA: Trustee To File Individual Reports in Court Tom
-------------------------------------------------------------
Ana Maria Calzada Percivale, the court-appointed trustee for
Monte Grappa SA's bankruptcy proceeding, will present creditors'
validated claims as individual reports in the National
Commercial Court of First Instance No. 21 in Buenos Aires, on
April 17, 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 Monte Grappa and its creditors.

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

Ms. Percivale verified creditors' proofs of claim until
March 1, 2007.

Ms. Percivale will also submit to court a general report
containing an audit of Monte Grappa's accounting and banking
records on May 31, 2007.

Ms. Percivale is also in charge of administering Monte Grappa's
assets under court supervision and will take part in their
disposal to the extent established by law.

Clerk No. 41 assists the court in the proceeding.

The debtor can be reached at:

         Monte Grappa SA
         Viamonte 867
         Buenos Aires, Argentina

The trustee can be reached at:

         Ana Calzada Percivale
         Avenida San Martin 2805
         Buenos Aires, Argentina


SIDEPA SA: Trustee Filing Individual Reports in Court on June 21
----------------------------------------------------------------
Carlos A. Vicente, the court-appointed trustee for Sidepa S.A.'s
bankruptcy proceeding, will present creditors' validated claims
as individual reports in the National Commercial Court of First
Instance in Buenos Aires on June 21, 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 Sidepa and its creditors.

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

Mr. Vicente verifies creditors' proofs of claim until
May 9, 2007.

Mr. Vicente will also submit to court a general report
containing an audit of Sidepa's accounting and banking records
on Aug. 17, 2007.

The debtor can be reached at:

          Sidepa S.A.
          Avenida Iriarte 1927
          Buenos Aires, Argentina

The trustee can be reached at:

          Carlos A. Vicente
          Avenida Corrientes 2166
          Buenos Aires, Argentina


SIRENA SA: Proofs of Claim Verification Is Until May 31
-------------------------------------------------------
Rosa del Carmen Irigoyen, the court-appointed trustee for Sirena
SA's bankruptcy proceeding, verifies creditors' proofs of claim
until May 31, 2007.

Ms. Irigoyen will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 25 in Buenos Aires, with the assistance of Clerk
No. 50, 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 Sirena 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 Sirena's accounting
and banking records will be submitted in court.

La Nacion did not state the reports submission date.

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

The trustee can be reached at:

          Rosa del Carmen Irigoyen
          Cordoba 1351
          Buenos Aires, Argentina


OPHIEL SRL: Trustee Verifies Proofs of Claim Until May 11
---------------------------------------------------------
Elsa Etchegaray Pena, the court-appointed trustee for Ophiel
S.R.L.'s reorganization proceeding, verifies creditors' proofs
of claim until May 11, 2007.

The National Commercial Court of First Instance in Mar del
Plata, Buenos Aires approved a petition for reorganization filed
by Ophiel, according to a report from Argentine daily Infobae.

Ms. Pena will present the validated claims in court as
individual reports.  The court 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 Ophiel 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 Ophiel's accounting
and banking records will be submitted in court.

The informative assembly will follow.  Creditors will vote to
ratify the completed settlement plan during the assembly.

Infobae didn't state the reports submission dates as well as the
schedule of the informative assembly.

The trustee can be reached at:

          Elsa Etchegaray Pena
          Avenida Luro 3894, Mar del Plata
          Buenos Aires, Argentina


TELECOM ARGENTINA: Discloses New Organizational Model
-----------------------------------------------------
The Telecom Argentina Group has announced a new organizational
model, aiming to facilitate the synergies among fixed and mobile
communications, broadband and content.

The Telecom Argentina Group is, therefore, positioned as the
first telecommunications player in Argentina to implement this
type of organizational model.

Under this new model, the business is conducted under a unified
vision, under the responsibility of a General Operations
Director, Marco Patuano.  Mr. Patuano will have the
responsibility of four main units: Mobile, Network, Fixed-line
Residential & SME's, and Fixed-line Corporations and Wholesale.

Corporate functions have been grouped in a General Corporate
Direction, under the interim responsibility of Carlos Felices.  
Mr. Felices, additionally, maintains his position as Chief
Executive Officer of the Group.

Headquartered in Buenos Aires, Telecom Argentina S.A. --
http://www.telecom.com.ar/index-flash.html-- is the fixed-line   
operator for local and long-distance services in northern and
southern Argentina.  It also provides cellular and PCS phone
services in Argentina, as well as in Paraguay through a 68%
stake in Nocleo.  France Telecom formerly controlled the company
through its Nortel Inversora venture with Telecom Italia.
France Telecom sold most of its stake in 2003 to the Werthein
Group, an Argentine agricultural concern owned in part by vice
chairman Gerardo Werthein.  Nortel continues to be Telecom
Argentina's largest shareholder with a 55% stake.  Nortel is
owned by Sofora, a consortium owned by Telecom Italia (50%), the
Werthein Group (48%), and France Telecom (2%).

                        *     *     *

As reported on Oct 11, 2006, Standard & Poor's Ratings Services
raised Telecom Argentina S.A.'s counterparty credit rating to
B+/Stable/ from B/Stable following the upgrade of the Republic
of Argentina to 'B+' from 'B', announced on Oct. 2, 2006.


* ARGENTINA: S&P Affirms Buenos Aires' B+ Issuer Credit Ratings
---------------------------------------------------------------
Standard & Poor's affirmed its 'B+' long-term foreign and local
currency issuer credit ratings on the Province of Buenos Aires.  
Standard & Poor's also assigned its 'raAA-' senior unsecured
debt rating to the province's US$400 million bond issue, which
matures on April 18, 2028.  

On Feb. 27, 2007, Standard & Poor's had assigned its 'B+' rating
to this bond.  Buenos Aires had postponed the issuance because
of volatility in international markets as well as the departure
of Buenos Aires' Minister of the Economy Gerardo Otero on
March 5, 2007.  Under more favorable circumstances, the province
will issue the new US$400 million of senior unsecured debt on
April 18, 2007, as it was authorized by the legislature.  

Buenos Aires will use this new debt mainly to finance pending
infrastructure projects.  The new bond is the province's second
international issuance since curing its default by completing a
comprehensive debt restructuring in January 2006.  In October
2006, Buenos Aires issued a previous Eurobond for US$475 million
due in 2018.
      
"The ratings on the province continue to be supported by a
diversified economic base that is an estimated 36% of
Argentina's (B+/Stable/B sovereign credit rating and
raAA/Stable/-- national scale rating) Gross Domestic Product and
constitutes a key driver of the country's recent and continuing
economic growth," said Standard & Poor's credit analyst
Sebastian Briozzo.  Growth was estimated at 8.5% in 2006.  

"In addition, the province has a sophisticated and experienced
management team with the capacity to generate timely and
comprehensive financial reports," Mr. Briozzo stated.
     
Nonetheless, several factors constrain the ratings on Buenos
Aires at the current level.  These include structural fiscal
imbalances resulting from, among other factors, a relatively low
share of federal government revenue transfers compared with both
the province's contribution to the system and its high level of
expenditure responsibilities -- education and health in
particular.  Another important constraining rating factor is the
province's high debt burden.  As of April 2007, total debt,
including the new debt issuance and recent federal financial
assistance of ARS2.7 billion, reached ARS37.3 billion (US$12.0
billion) compared with the US$10.8 billion in fiscal 2006.  
Nevertheless, this high debt burden on the province's
creditworthiness is partially offset by the structure of its
debt.
     
The stable outlook on Buenos Aires reflects Standard & Poor's
expectation that the province's economic strength will be
maintained.  It also demonstrates Standard & Poor's expectation
that the province will maintain both positive operating
surpluses over the next few years and manageable deficits after
capital expenditure.  Deteriorating financial indicators -- such
as a substantial increase in the province's fiscal deficit --
could negatively affect the outlook on the rating and eventually
lead to a downgrade.




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


ASCEND COMMUNICATIONS: Final General Meeting Is Set for April 17
----------------------------------------------------------------
Ascend Communications (Bermuda) Holding Limited's final general
meeting will be at 11:00 a.m. on May 16, 2007, or as soon as
possible, at the liquidator's place of business.

These agendas will be taken during the meeting:

          -- the approval of and adoption of an account laid
             before the shareholders showing the manner in which
             the winding-up of the company has been conducted
             and its property disposed of;

          -- hearing any explanation that may be given by the
             liquidator;

          -- the manner in which the books, accounts and
             documents of the company and of the liquidator
             shall be disposed; and

          -- to dissolve the company.

The liquidator can be reached at:

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


ASCEND COMMUNICATIONS: Proofs of Claim Filing Is Until April 27
---------------------------------------------------------------
Ascend Communications (Bermuda) Holding Limited's creditors are
given until April 27, 2007, to prove their claims to Jennifer Y.
Fraser, the company's liquidator, or be excluded from receiving
any distribution or payment.

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

Ascend Communications' shareholders agreed on April 9, 2007, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

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


GLACIER INSURANCE: Proofs of Claim Filing Is Until April 27
-----------------------------------------------------------
Glacier Insurance Ltd.'s creditors are given until
April 27, 2007, to prove their claims to Jennifer Y. Fraser, the
company's liquidator, or be excluded from receiving any
distribution or payment.

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

Glacier Insurance's shareholders agreed on April 9, 2007, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

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


GLACIER INSURANCE: Will Hold Final General Meeting on May 16
------------------------------------------------------------
Glacier Insurance Ltd.'s final general meeting will be at 9:00
a.m. on May 16, 2007, or as soon as possible, at the
liquidator's place of business.

These agendas will be taken during the meeting:

          -- the approval of and adoption of an account laid
             before the shareholders showing the manner in which
             the winding-up of the company has been conducted
             and its property disposed of;

          -- hearing any explanation that may be given by the
             liquidator;

          -- the manner in which the books, accounts and
             documents of the company and of the liquidator
             shall be disposed; and

          -- to dissolve the company.

The liquidator can be reached at:

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


HAWTHORNE INSURANCE: Final General Meeting Is Set for May 16
------------------------------------------------------------
Hawthorne Insurance Company Limited's final general meeting will
be at 12:00 p.m. on May 16, 2007, or as soon as possible, at the
liquidator's place of business.

These agendas will be taken during the meeting:

          -- the approval of and adoption of an account laid
             before the shareholders showing the manner in which
             the winding-up of the company has been conducted
             and its property disposed of;

          -- hearing any explanation that may be given by the
             liquidator;

          -- the manner in which the books, accounts and
             documents of the company and of the liquidator
             shall be disposed; and

          -- to dissolve the company.

The liquidator can be reached at:

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


HAWTHORNE INSURANCE: Proofs of Claim Filing Ends on April 27
------------------------------------------------------------
Hawthorne Insurance Company Limited's creditors are given until
April 27, 2007, to prove their claims to Jennifer Y. Fraser, the
company's liquidator, or be excluded from receiving any
distribution or payment.

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

Hawthorne Insurance's shareholders agreed on April 9, 2007, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

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


LCB INVESTMENTS: Proofs of Claim Filing Is Until April 27
---------------------------------------------------------
LCB Investments, Limited's creditors are given until
April 27, 2007, to prove their claims to Jennifer Y. Fraser, the
company's liquidator, or be excluded from receiving any
distribution or payment.

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

LCB Investments' shareholders agreed on April 9, 2007, to place
the company into voluntary liquidation under Bermuda's Companies
Act 1981.

The liquidator can be reached at:

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


LCB INVESTMENTS: Will Hold Final General Meeting on May 16
----------------------------------------------------------
LCB Investments, Limited's final general meeting will be at
10:00 a.m. on May 16, 2007, or as soon as possible, at the
liquidator's place of business.

These agendas will be taken during the meeting:

          -- the approval of and adoption of an account laid
             before the shareholders showing the manner in which
             the winding-up of the company has been conducted
             and its property disposed of;

          -- hearing any explanation that may be given by the
             liquidator;

          -- the manner in which the books, accounts and
             documents of the company and of the liquidator
             shall be disposed; and

          -- to dissolve the company.

The liquidator can be reached at:

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




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


* BOLIVIA: Senate Signs Three, Amends 37 Hydrocarbons Bills
-----------------------------------------------------------
The Bolivian government has released the three remaining bills,
aiming to fix flaws in various contracts signed with foreign
hydrocarbons companies under the country's nationalization plan,
Business News Americas reports.

BNaMericas relates that the three final bills were delayed as
the Podemos party wanted to reassess 37 of the senate-approved
bills following the passage of the first 41 bills at the end of
March.  The 37 bills relate to production agreements and the
seven is for exploration contracts.

In addition, the senate also approved a complementary bill that
will reduce the surtax to be paid by oil companies on unexpected
profits and launch policies that strengthens the internal
market.  

                        *     *     *

Fitch Ratings assigned these ratings on Bolivia:

                     Rating     Rating Date

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




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


ALERIS INTERNATIONAL: Posts US$4.7 Bil. in Revenues for FY 2006
---------------------------------------------------------------
Aleris International Inc.'s revenues for the year ended
Dec. 31, 2006, increased US$2.3 billion to US$4.7 billion, as
compared with revenues of US$2.4 billion for the year ended
Dec. 31, 2005.  The acquired operations of Corus Aluminum,
ALSCO, Tomra Latasa, Alumitech and the acquired assets of Ormet
accounted for an estimated US$1.6 billion of this increase.  The
company recorded a net income of US$70.3 million for the year
ended Dec. 31, 2006, resulting from a net loss of US$3.4 million
for the period after the Texas Pacific Group Merger from
Dec. 20, 2006, through Dec. 31, 2006, and a net income for the
period prior to the Merger from Jan. 1, 2006, through
Dec. 19, 2006.

Consolidated selling, general and administrative expenses
increased US$76.3 million in the year ended Dec. 31, 2006, as
compared with the year ended Dec. 31, 2005.  In 2006, the
company recorded restructuring and other charges of US$41.9
million and a US$9.8 million gain from currency option contracts
used to hedge a portion of the purchase price paid to acquire
Corus Aluminum.  It also recorded net realized and unrealized
gains of US$20.8 million on its aluminum derivative financial
instruments as a result of the rising price of primary aluminum
during the year.  Interest expense increased in 2006 compared to
2005 due to increased debt levels in connection with the
Acquisition and the acquisition of Corus Aluminum.  The
company's average debt outstanding increased from US$421.1
million in 2005 to US$1 billion in 2006.  In connection with the
acquisition of Corus Aluminum, the company refinanced
substantially all of its debt as of Aug. 1, 2006. During 2006,
the company sold the land and buildings at its Carson,
California rolling mill and recorded a gain of US$13.8 million
on the sale.  Income tax expense was US$43.6 million in 2006, as
compared with US$400,000 in 2005.

       Results for the Period Dec. 20 to Dec. 31, 2006

The company generated revenues of US$111.8 million and gross
profit of US$2.9 million in the period from Dec. 20, 2006 to
Dec. 31, 2006. Gross profit was negatively impacted by purchase
accounting rules that required acquired inventories to be
adjusted to fair value.

As of Dec. 31, 2006, the company's balance sheet showed total
assets of US$4.8 billion and total liabilities of US$4 billion,
resulting to total stockholders' equity of US$845.4 million.  
The company recorded retained deficit of US$3.4 million in 2006,
as compared with retained earnings of US$95.9 million in 2005.  
Cash and cash equivalents held in 2006 were US$126.1 million, as
compared with US$6.8 million in 2005.

                 December 2006 Refinancing

On Dec. 19, 2006, in conjunction with the Acquisition, the
company entered into the US$750 million Revolving Credit
Facility, the US$1.2 billion Term Loan Facility, as amended on
March 16, 2007, and issued US$600 million of Senior Notes and
US$400 million of Senior Subordinated Notes.

               Events and Highlights in 2006

On July 14, 2006, Texas Pacific Group formed Holdings and Merger
Sub for purposes of acquiring the company.  On Aug. 7, 2006, the
company entered into an Agreement and Plan of Merger with
Holdings, pursuant to which each share of the company's common
stock would be converted into the right to receive US$52.50 in
cash.  The Acquisition was completed on Dec. 19, 2006, at which
time TPG and certain members of the company's management made a
cash contribution of US$844.9 million and a non-cash
contribution of US$3.9 million to Holdings in exchange for
8,520,000 shares of common stock of Holdings.  The non-cash
contribution consisted of shares of common stock held by
management.  Holdings contributed this amount to Merger Sub in
exchange for Merger Sub issuing 900 shares of its common stock
to Holdings.

The company incurred significant debts in connection with the
Acquisition and are highly leveraged.  While substantially all
of the company's debt matures in 2011 or later, it will incur
and pay significantly more interest expense under its new
capital structure than in 2006.  The company estimated interest
payments will be about US$178.1 million in the year ending
Dec. 31, 2007.

The Acquisition has also required that all of the company's
assets and liabilities be adjusted to fair value through
purchase accounting.  These adjustments have impacted and will
continue to impact the company's goodwill.  Also, the company
recorded preliminary purchase accounting adjustments to write-up
its inventories by US$61.3 million.

LME zinc prices had been at or near record levels throughout
2006 but as of Feb. 28, 2007, these prices had dropped by 21%,
as compared with Dec. 31, 2006.  This has negatively impacted
the company's zinc business through the first two months of
2007.

The North American housing industry has declined significantly
in 2006 and in the beginning of 2007.  Single-family home
construction has decreased more than 10% year over year
resulting in slower demand for building and construction end-
uses in North America.

A full-text copy of the company's annual report is available for
free at http://ResearchArchives.com/t/s?1d07

                   About Aleris International

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

                        *     *     *

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


AVNET INC: Unit Hires Dick Borsboom as President for EMEA Unit
--------------------------------------------------------------
Avnet Technology Solutions has appointed Dick Borsboom as
president of Avnet Technology Solutions, EMEA (Europe, Middle
East and Africa), effective immediately.  As president, Mr.
Borsboom will be responsible for the strategic direction and
growth of Avnet's computing business in Europe, Middle East and
Africa.  Currently, the Avnet Technology group in EMEA generates
US$1.3 billion in revenue and delivers computing technology to
resellers, system integrators, system builders and embedded
Original Equipment Manufacturers in 14 countries across Europe
while continuing to expand its presence.  Mr. Borsboom will
report to John Paget, president, Avnet Technology, worldwide.

The appointment of Mr. Borsboom further strengthens Avnet's
European leadership team.  He brings to the company more than 13
years of distribution industry experience, including positions
in business management, finance, human resource and information
technology.

"Dick brings a wealth of experience and shares our sense of
commitment to our team members," said Mr. Paget.  "We're
delighted to have someone with such a broad background in
business and operational excellence.  I'm confident he and his
team have the skills and capabilities to expand Avnet Technology
Solutions' European leadership in value-added distribution."

Mr. Borsboom most recently served as chief financial officer and
vice president of Finance, Human Resource and Information
Technology at Flexsys Coordination Centre N.V. in Belgium, where
he had a proven record of double-digit profit growth.  His
experience also extends to mergers and acquisitions.  Prior to
that position he served as chief financial officer for Bell
Microproducts in the United States.  He also previously worked
as group chief financial officer for VEBA Electronics LLC in
Germany, which was the spin-off of the IT distribution
activities of Raab Karcher.  The European part of VEBA
Electronics was later acquired by Avnet.  Mr. Borsboom also
holds a Masters Degree in Economics from the University of
Tilburg, The Netherlands.

"Joining a company as strongly positioned as Avnet for growth in
the region is an exceptional opportunity," said Mr. Borsboom.  
"The leadership team is experienced and understands how to
connect business partners with market opportunities that are
aligned with our suppliers' strategies.  Avnet has a proven
track record of growth, and I look forward to taking the
business to the next level of success in Europe."

              About Avnet Technology Solutions

Avnet Technology Solutions is an operating group of Avnet, Inc.
representing US$5.1 billion in annual revenue for calendar year
2006, with locations in more than 30 countries.  As a global
technology sales and marketing organization, Avnet Technology
Solutions has sales divisions focused on specific customer
segments and a select line card strategy enabling an exceptional
level of attention to the needs of its customers and suppliers.

                      About Avnet Inc.

Headquartered in Phoenix, Arizona, Avnet, Inc. (NYSE:AVT) --
http://www.avnet.com/-- distributes electronic components and
computer products, primarily for industrial customers.  It has
operations in the following countries: Australia, Belgium,
China, Germany, Hong Kong, India, Indonesia, Italy, Japan,
Malaysia, New Zealand, Philippines, Singapore, Sweden, Brazil,
Mexico and Puerto Rico.

                        *     *     *

As reported in the Troubled Company Reporter on March 5, 2007,
Moody's Investors Service affirmed the Ba1 corporate family and
long-term debt ratings of Avnet, Inc. and revised the outlook to
positive from stable.


BANCO BMG: Earns BRL129 Million in First Quarter 2007
-----------------------------------------------------
Banco BMG's net profits increased 157% to BRL129 million in the
first quarter of 2007, from the same quarter in 2006, Business
News Americas reports.

Banc BMG told BNamericas that its return on average equity
reached 55.2%.

BNamericas relates that Banco BMG's loan book rose 21.2% to
BRL9.32 billion at the end of March 2007, compared to March
2006.

According to BNamericas, Banco BMG granted about BRL1.34 billion
in new loans in the first quarter of 2007:

          -- 32.2% was allocated for pensioners from the federal
             social security system INSS,

          -- 29.9% went to public sector workers, and

          -- 6.30% was allotted for private sector employees.

BNamericas underscores that other lending activities include:

          -- vehicle funding,

          -- passing on loans from national development bank
             BNDES, and

          -- leasing operations.

Banco BMG's net profits decreased 30.7% to BRL263 million in
2006, compared to 2005, after it was involved in a government
bribery scandal.  It faced allegations that it had cornered a
large share of the retirement loan market as a favor from the
government.

Banco BMG had BRL4.62 billion assets at the end of 2006,
BNamericas states, citing the Brazilian central bank.

Banco BMG is the banking arm of Grupo BMG, which also has real
estate, food manufacturing and agro industry holdings.  The bank
is a niche player focused on loans to civil servants, with
repayments taken monthly from payrolls.  BMG operates mainly
through in-house representatives in state companies.  It also
offers leasing and asset management services.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 5, 2006, Moody's Investors Service upgraded Banco BMG SA's
long-term foreign currency deposits to Ba3, from B1.  Moody's
said the rating outlook is stable.


BANCO BRADESCO: Unit Eyes Up to 15% Boost in Transport Premiums
---------------------------------------------------------------
Antonio Gonzalez -- executive commercial director of Bradesco
Auto/RE, Banco Bradesco SA's insurance unit -- told Business
News Americas that the firm expects transportation premiums to
grow up to 15% this year, compared to last year.

Bradesco Auto/RE raised transportation premiums less than 1% in
2006, compared to 2005, as a decreasing exchange rate bit into
revenues from policies converted to reais from dollars,
BNamericas notes, citing Mr. Gonzalez.

Mr. Gonzalez commented to BNamericas, "In 2006, we were more or
less in line with the market, but in fourth quarter 2006 we
signed some large contracts that didn't have an impact until
first quarter 2007."

Mr. Gonzalez said that the transportation premiums increased 21%
in the first quarter of 2007, compared to the same quarter in
2006, BNamericas relates.

BNamericas underscores that Bradesco Auto/RE signed a contract
to provide up to BRL12 million in civil liability coverage for
each departure by shipping firm Linave.

Mr. Gonzalez told BNamericas that Bradesco Auto/RE expects to
make BRL1 million in revenues from the one-year contract, though
much depends on Linave's deliveries in 2007.  Bradesco Auto/RE
will disclose other contracts in the near future.

Bradesco Auto/RE see domestic transportation coverage increasing
at a faster rate in 2007 because most importers of Brazilian
goods purchase insurance policies outside the country.  Brazil
has a trade surplus, but less than 10% of exported merchandise
has local insurance coverage, BNamericas says, citing Mr.
Gonzalez.  

BNamericas emphasizes that domestic transportation coverage
represents up to 65% of premiums in the segment.

With the launching of the reinsurance market, Brazilian insurers
will be able to offer lower rates and better compete with
insurers abroad, Mr. Gonzalez told BNamericas.

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 26, 2007, Fitch Ratings affirmed these issuer default
ratings on Bradesco, with a Stable Outlook:

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 27, 2006, Standard & Poor's Ratings Services maintained the
'BB+' ratings on both of Banco Bradesco SA's foreign and local
currency counterparty credit rating, however it changed the
ratings outlook to positive from stable on both ratings:

   -- Foreign currency counterparty credit rating

      * to BB+/Positive/B from BB+/Stable/B

   -- Local currency counterparty credit rating

      * to BB+/Positive/B from BB+/Stable/B

   -- Brazil national scale rating

      * to brAA+/Positive/brA-1 from brAA+/Stable/brA-


BRASKEM SA: Raises US$1.2-Bil. to Finance Ipiranga Purchase
-----------------------------------------------------------
Braskem S.A. reported the conclusion of negotiations, which will
guarantee the raising of up to US$1.2 billion through a bridge
loan to finance the acquisition of Ipiranga Group's
petrochemical business jointly with Petrobras and the future
delisting of Copesul, two exceptionally important assets in
Braskem's strategy of growth with value creation and
consolidating the petrochemical sector in the south of Brazil.

"The positive market evaluation about the new size of the
Company, the synergies to be captured and the strategic benefits
resulting from the Ipiranga acquisition, combined with the
confidence in Braskem's financial strength, proved crucial to
the success of the operation," says Carlos Fadigas, Braskem CFO
and Investor Relations Director.  According to Mr. Fadigas, the
company raised the funds in a highly favorable market scenario,
with excellent liquidity, guaranteeing attractive borrowing
conditions and financial flexibility to Braskem.

The 2-year credit facility will be repaid at 0.35% above the
Libor rate in the first year and 0.55% above the Libor in the
second, making this transaction the most competitive ever in
Brazil.  The transaction was structured and led by ABN AMRO
Real, Calyon and Citibank.

Braskem expects to conclude the refinancing of the bridge loan
at the appropriate moment, while always maintaining its focus on
reducing the Company's cost of capital and ensuring a debt
profile that is suitable to its cash flow.  Braskem's net
debt/EBITDA ratio, which measures its degree of financial
leverage and is currently 2.7x, will be virtually unaffected by
this acquisition.

Braskem (BOVESPA: BRKM5; NYSE: BAK; LATIBEX: XBRK) --
http://www.braskem.com.br/-- is a thermoplastic resins producer  
in Latin American, and is among the three largest Brazilian-
owned private industrial companies.  The company operates 13
manufacturing plants located throughout Brazil, and has an
annual production capacity of 5.8 million tons of resins and
other petrochemical products.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 26, 2007, Fitch Ratings has affirmed its BB+ ratings on
Braskem S.A. and Braskem International following the
announcement by Braskem, Petrobras and the Ultra Group that they
have reached an agreement to acquire the Ipiranga Group's
petrochemical, refining and fuel distribution assets.

Fitch also affirmed these ratings:

  Braskem S.A.

    -- Foreign currency issuer default rating at 'BB+';
    -- Local currency issuer default rating at 'BB+';;
    -- Senior unsecured notes 2008, 2014 at 'BB+';
    -- Senior unsecured Perpetual Bonds at 'BB+';
    -- Senior unsecured notes 2017 at 'BB+';
    -- National rating at 'AA (bra)';
    -- Debentures 12th Issuance at 'AA (bra)'; and
    -- Debentures 13th Issuance at 'AA (bra)'.

  Braskem International

    -- Senior unsecured notes 2015 at 'BB+'.


CMS ENERGY: To Sell Brazilian Unit to CPFL Energia for US$211MM
---------------------------------------------------------------
CMS Energy said in a statement that it has agreed to sell its
Brazilian power holding firm CMS Energy Brasil to utility CPFL
Energia for US$211 million.

Business News Americas relates that CMS Energy disclosed earlier
this year plans of selling its assets in Argentina, Brazil,
Chile and Jamaica as well as in the US.  

CMS Energy told BNamericas that the sale of CMS Energy Brasil
needs the Brazilian power regulator Aneel's authorization.  

The sale will be closed by the end of the second quarter.  
Proceeds will be used in debt reduction and CMS Energy
investments, BNamericas notes, citing CMS Energy.

JP Morgan Securities is CMS Energy's financial advisor for the
deal, BNamericas states.

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2007, Moody's Investors Service affirmed the ratings of
CMS Energy (Ba1 Corporate Family Rating) and Consumers Energy
(Baa2 senior secured) and revised the rating outlook of both to
positive from stable.  Moody's also affirmed CMS Energy's SGL-2
rating.


COMPAGNIE GENERALE: 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 Gaming, Lodging
and Leisure, Manufacturing, and Energy sectors last week, the
rating agency confirmed its Ba2 Corporate Family Rating for
Compagnie Generale De Geophysique-Veritas.

Moody's also assigned a Ba2 probability of default rating to the
company.

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: Compagnie Generale De Geophysique-Veritas

                                                      Projected
                            Old POD  New POD  LGD     Loss-Given
   Debt Issue               Rating   Rating   Rating  Default
   ----------               -------  -------  ------  ----------
   Senior Secured
   Bank Credit
   Facility                 Ba2      Ba2      LGD3    41%

   7.5% Senior Unsecured
   Regular Bond/Debenture
   Due 2015                 Ba3      Ba3      LGD4    63%

   7.75% Senior Unsecured
   Regular Bond/Debenture
   Due 2017                 Ba3      Ba3      LGD4    63%

* Issuer: CGGVeritas Services, Inc.

   Senior Secured Bank
   Credit Facility          Ba2      Ba2      LGD3    41%

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%).

France-based Compagnie Generale De Geophysique-Veritas is
formerly known as Compagnie Generale de Geophysique.  The
Group's principal activities are to manufacture geophysical
equipment and software and to provide geophysical services and
information.  The Group operates in Europe, Africa, the United
States, Canada, Brazil and Columbia.  


COREL CORP: Expects First Quarter Revenues of Up to US$53 Mil.
--------------------------------------------------------------
Corel Corp. reported preliminary financial results for its first
quarter ended Feb. 28, 2007.  Revenues in the first quarter of
fiscal 2007 are expected to be at the high-end of guidance and
earnings are expected to be above guidance.  On Jan. 18, 2007,
the company provided guidance for the first quarter of 2007 of
revenue in the range of US$51 million to US$53 million, GAAP EPS
of US$(0.70) to US$(0.78) per share and non-GAAP EPS of
US$(0.04) per share.  These financial results were prepared by
management of the company and are unaudited.  The company also
reaffirmed its previous guidance for the full 2007 fiscal year.

The company also announced that it intends to delay the filing
of its Quarterly Report on Form 10-Q until but no later than
April 20, 2007.  The company intends to delay its filing of
quarterly results to complete the accounting of its acquisition
of InterVideo on Dec. 12, 2006, specifically regarding the
allocation of the purchase price related to the acquisition.  As
a result of this delay, the company has postponed its results
conference call, originally scheduled for April 12 at 4:30 p.m.
eastern time.  The company will announce a new time for the
first quarter earnings conference call shortly.

"Corel had a very solid quarter during which we completed the
acquisition of InterVideo," said David Dobson, CEO of Corel
Corp.  "We do not expect the review of the purchase price
allocation to impact our quarterly results or our forward
guidance.  We are looking forward to completing this process and
discussing our final results with shareholders."

The company intends to satisfy the alternate information
disclosure requirements under applicable policies of the
Canadian securities regulatory authorities until it has
completed its required quarterly filings.

Ottawa, Ontario-based Corel Corp. (NASDAQ: CREL) (TSX: CRE)
-- http://www.corel.com/-- is a packaged software company with
an estimated installed base of over 40 million users.  The
Company provides productivity, graphics and digital imaging
software.  Its products are sold in over 75 countries through a
scalable distribution platform comprised of original equipment
manufacturers, Corel's international websites, and a global
network of resellers and retailers.  The Company's product
portfolio features CorelDRAW(R) Graphics Suite, Corel(R)
WordPerfect(R) Office, WinZip(R), Corel(R) Paint Shop(R) Pro,
and Corel Painter(TM).

The company has operations in Germany, Italy, the United
Kingdom, Australia, Japan, Korea, Brazil, and Mexico, among
others.

                        *     *     *

As reported in the Troubled Company Reporter on Nov. 7, 2006,
Standard & Poor's Ratings Services affirmed its 'B' long-term
corporate credit and senior secured debt ratings on Canada-based
packaged software company, Corel Corp.


DRESSER INC: S&P Affirms B Rating on Likely Debt Leverage Cut
-------------------------------------------------------------
Standard and Poor's Ratings Services affirmed its 'B' corporate
credit rating on Dresser Inc., based on the expectation that the
company's debt leverage will improve, following its acquisition,
to levels consistent with the ratings over the medium term.  The
outlook is negative.  At the same time, the ratings on Dresser
were removed from CreditWatch with developing implications,
where they were placed on March 12, 2007.
     
Standard & Poor's also assigned its 'B' rating and '2' recovery
rating (indicating the expectation of substantial (80%-100%)
recovery of principal in the event of a payment default) to
Dresser's proposed US$1.3 billion first-lien bank facilities,
and its 'CCC+' rating and '5' recovery rating (indicating the
expectation of negligible (0%-25%) recovery of principal in the
event of a payment default) to Dresser's proposed US$750 million
second-lien bank facilities.
     
On March 12, 2007, private equity firms Riverstone Holdings LLC,
First Reserve Corp., and Lehman Brothers Co-Investment Partners
announced that they had signed an agreement to purchase Dresser.  
The purchase is being financed with US$1.15 billion of first-
lien debt, US$750 million of second-lien debt, and US$500
million in equity from the financial sponsors.  The US$150
million revolver will remain undrawn as of closing, although it
will be used to support approximately US$56 million of
outstanding LOCs.  At the close of the transaction, debt to 2006
EBITDA is expected to be in excess of 7.5x, which is weak for
the rating.
     
Pro forma for the transaction, Dresser will have US$2.13 billion
in debt, adjusted for operating leases and postretirement
benefit obligations.
      
"The ratings on Dresser reflect concerns associated with its
highly leveraged financial profile, marginal fixed-charge
coverage, and ongoing accounting issues," said Standard & Poor's
credit analyst Aniki Saha-Yannopoulos.  "These weaknesses are
only partially offset by its well-established and diverse
product offerings and by the large aftermarket services
component of its revenues," Ms. Saha-Yannopoulos continued.
     
The outlook is negative.  The marginal credit measures make
Dresser susceptible to a downgrade in case of any operational
setbacks or if financial performance deteriorates.  In addition,
Standard & Poor's has lingering concerns about unresolved
financial controls and reporting issues that weigh on the
ratings.  An outlook revision to stable is contingent on
improved credit measures, decreased leverage, and audited
financial statements.

Based in Addison, Texas, Dresser, Inc. --
http://www.dresser.com/-- designs, manufactures and markets   
equipment and services sold primarily to customers in the flow
control, measurement systems, and compression and power systems
segments of the energy industry.  The company has a
comprehensive global presence, with over 8,500 employees and a
sales presence in over 100 countries worldwide including Brazil,
Mexico and Puerto Rico.


GLOBO COMUNICACAO: Moody's Puts Ba1 Rating on US$200-Mil. Notes
---------------------------------------------------------------
Moody's Investors Service assigned a Ba1 foreign currency rating
to Globo Comunicacao e Participacoes S.A.'s proposed US$200
million senior unsecured notes due in 2022.  The proposed notes
will be issued by Globo Comunicacao and the proceeds will be
entirely used to refinance existing debt.  Globo Comunicacao's
existing global local currency scale corporate family rating was
affirmed at Ba1.  The rating outlook is stable.

The Ba1 foreign currency rating for the proposed bonds reflects
the Ba1 global local currency corporate family rating of Globo
Comunicacao, in addition to incorporating the probability of a
sovereign foreign currency default implied by the government's
Ba2 foreign currency rating and the likelihood that, in the
event of such a default, the government would impose a general
foreign currency payments moratorium.

"Moody's regards Globo Comunicacao's proposed issuance of these
US$200 million notes due in 2022 and its plans to use the entire
proceeds to refinance existing debt as an additional step in
strengthening Globo Comunicacao's already very comfortable
liquidity profile," Moody's analyst Soummo Mukherjee said.

Headquartered in Rio de Janeiro, Globo Comunicacao e Partipacoes
S.A. is Brazil's largest media group, owned by the Marinho
family.  TV Globo is Brazil's leading broadcast TV network,
accounting for over 75% of Globo Comunicacao's net revenues and
comprised of five television stations owned by Globo Comunicacao
as well as 116 independent affiliated TV stations broadcasting
the Globo Comunicacao signal over Brazil.  Globo Comunicacao has
other business activities including: sound-recording, magazine
publishing and printing, pay-TV production and programming, and
interests in Brazil's leading satellite direct-to-home and cable
operator.


GLOBO COMUNICACAO: S&P Puts BB Rating on US$200-Million Notes
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB' senior
unsecured debt rating to Globo Comunicacao e Participacoes
S.A.'s proposed 15-year, US$200 million senior unsecured notes
due 2022.  At the same time, Standard & Poor's affirmed its 'BB'
corporate credit rating on the company.  The outlook remains
stable.
     
Globo Comunicacao's total debt outstanding amounted to
approximately US$718 million (adjusted for pension liabilities
of about US$31 million) at Dec. 31, 2006.  Proceeds from the new
notes will be applied for the redemption of part of outstanding
real-denominated loans of the company.
      
"The notes will be callable in five years at Globo's sole
discretion and will be subject to restrictive covenants
customary to this type of transaction, including limitations on
liens," said Standard & Poor's credit analyst Beatriz Degani.  
The notes will rank equally in right of payment with all of the
company's senior unsecured obligations, but will be effectively
subordinated to Globo Comunicacao's secured debt obligations
(mostly its Distel loan, which amounted to BRL200 million at
Dec. 31, 2006).  However, the amount of secured debt is not
relevant to place unsecured lenders in a materially
disadvantaged position because priority debt represents less
than 5% of the company's adjusted total assets.
     
The ratings on Globo Comunicacao remain constrained by its
business concentration, with high dependence on the cyclical
Brazilian advertising market, and the company's limited ability
to cushion market down-cycles and competitive pressures, mostly
due to its significant fixed cost structure.  In addition, the
lack of clearly articulated policies regarding financial and
investment targets introduces uncertainty.  On the other hand,
the ratings are supported by Globo Comunicacao's clearly
dominant position in free-to-air TV in Brazil, prompted by a
high-quality and well-structured programming schedule with
considerable levels of self-produced content; a leading position
in the production of local-language pay-TV content; and, since
2005, the company's prudent debt management policy.
     
The stable outlook reflects Standard & Poor's expectation that
Globo Comunicacao will retain its dominant position in free-to-
air TV and content production in Brazil, and its high audience
and ad spending shares despite increasing competition from other
free-to-air channels and emerging media channels.  The stable
outlook also reflects our expectation that Globo Comunicacao
will maintain low levels of indebtedness, reflected by a minimal
funds from operations-to-total debt ratio of 50%, and a total
debt-to-EBITDA ratio of about 1.0x.
     
A positive change to the ratings would depend on Globo
Comunicacao's ability to consistently deliver good operational
and financial performance reported throughout 2006.  In
addition, the company would have to maintain favorable
conditions in the Brazilian advertising market, as well as the
factors that affect its performance, such as the purchasing
power and confidence level of large companies.  A more
diversified revenue base that reduced its dependence on
advertising revenues could also be positive for the ratings.  
The lack of clearly articulated financial policies and the
uncertainties about the company's future investments -- in the
context of the significant free operating cash flow generation
estimated for the future -- are other concerns we would need to
resolve before considering a positive change to the rating or
outlook.
     
The ratings could come under pressure in the event of a severe
economic downturn that resulted in a significant decrease in
advertising revenues, or if competitive pressures began to
significantly affect the company's operating margins and
capacity to generate cash flows.

Headquartered in Rio de Janeiro, Globo Comunicacao e Partipacoes
S.A. is Brazil's largest media group, owned by the Marinho
family.  TV Globo is Brazil's leading broadcast TV network,
accounting for over 75% of Globo Comunicacao's net revenues and
comprised of five television stations owned by Globo Comunicacao
as well as 116 independent affiliated TV stations broadcasting
the Globo Comunicacao signal over Brazil.  Globo Comunicacao has
other business activities including: sound-recording, magazine
publishing and printing, pay-TV production and programming, and
interests in Brazil's leading satellite direct-to-home and cable
operator.


MACDERMID INC: Shareholders Okay Merger with Matrix Acquisition
---------------------------------------------------------------
MacDermid Inc.'s shareholders, voting at a special meeting on
April 12, have approved the company's previously announced
merger with Matrix Acquisition, an acquisition vehicle formed by
an investor group led by Court Square Capital Partners II, L.P.,
Weston Presidio V, L.P. and Daniel H. Leever for purposes of
completing the merger.

Following the shareholder approval of the merger, the parties
filed a certificate of merger with the Connecticut Secretary of
State to consummate the merger.  Pursuant to the terms of the
merger, each of the MacDermid's outstanding shares of common
stock, without par value, have been converted into the right to
receive US$35.00 in cash per share.  MacDermid has appointed The
Bank of New York as the agent for payment of the merger
consideration.  MacDermid anticipates that the paying agent will
contact shareholders soon with instructions on how to receive
payment for the shares.  Accordingly, shares of MacDermid's
common stock will no longer trade on the New York Stock
Exchange.

In connection with the closing of the merger, Matrix Acquisition
also announced that it has accepted for purchase approximately
US$298,830,000 aggregate principal amount of the MacDermid's
9-1/8% Senior Subordinated Notes due 2011 that were validly
tendered pursuant to Matrix Acquisition's previously announced
cash tender offer and solicitation of consents, representing
approximately 99% of the notes outstanding.  The tender offer is
scheduled to expire at 5:00 p.m., New York City time, on
April 17, 2007.  The settlement of the purchase of such notes
occurred concurrently with the closing of the merger.

Also in connection with the closing of the merger, Matrix
Acquisition sold US$350,000,000 in aggregate principal amount of
9-1/2% senior subordinated notes due 2017 or the new notes in a
private offering.  The new notes have not been and will not be
registered under the Securities Act of 1933, as amended, and may
not be offered or sold in the United States absent registration
or an applicable exemption from the registration requirements of
the Securities Act and applicable state securities laws.

MacDermid Inc. (NYSE:MRD)-- http://www.macdermid.com/-- is
manufacturer of a broad line of chemicals and related equipment
for a range of applications, including metal and plastic
finishing, electronics, graphic arts and printing, and offshore
drilling.  The company maintains its headquarters in Denver,
Colorado, but operates facilities worldwide, including Brazil,
China, Germany, Italy, and Japan.  Revenues for the twelve
months ended June 30, 2006, were US$797 million.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 21, 2007, Standard & Poor's Ratings Services affirmed its
bank loan and recovery ratings on MacDermid Inc.'s proposed
senior secured credit facilities, following the announcement
that the company will increase the term loan principal amount to
the US dollar equivalent of US$610 million.  The proposed term
loan will now have both a US$360 million tranche and a EUR250
million tranche.  The secured loan rating is 'B+' (one notch
higher than the expected corporate credit rating) and the
recovery rating is a '1', indicating the expectation for full
(100%) recovery of principal in the event of a payment default.

Moody's Investors Service affirmed MacDermid, Inc.'s B2
corporate family rating and revised the loss given default or
LGD assessments and LGD rates on MacDermid's proposed debt to
reflect a revision to the company's proposed debt financings.
Proceeds from the new debt offerings combined with private
equity investments from funds managed by Court Square Capital
Partners and Weston Presidio, along with an investment from
MacDermid Chief Executive Officer Daniel Leever, and management
will be used to purchase all of MacDermid's outstanding stock in
a transaction valued at approximately US$1.3 billion.  The
ratings outlook remains stable.

Actions taken by Moody's on MacDermid:

   Ratings affirmed:

     -- Corporate family rating at B2

     -- Probability of default rating at B2

     -- US$50 million Gtd. senior secured revolving credit
        facility due 2013 -- B1, LGD3, 34%

     -- US$360 million Gtd. senior secured term loan due 2014
        at B1, LGD3, 34%

     -- Euro Gtd. senior secured term loan due 2014 at B1,
        LGD3, 34%

     -- US$350 million Gtd. senior subordinated notes due 2017
        at Caa1, LGD5, 87%

  Ratings withdrawn:

     -- US$250 million Gtd. senior unsecured notes
        due 2014-2015 - WR


PETROLEO BRASILEIRO: Hires Skanska to Build Propane-Making Unit
---------------------------------------------------------------
Petroleo Brasileiro SA has awarded a contract to build a propane
production unit at Presidente Getulio Vargas Refinery or REPAR
in Brazil to Skanska.  The total contract value is US$109
Million.  Skanska's share is 70 percent, US$76.3 million, or
about SEK535 million, which will be included in order bookings
for the second quarter of 2007.

The work relates to the construction of a propane unit with the
capacity to produce 180,000 tons per year.  The scope of the
contract includes detailed engineering, procurement, civil and
electromechanical construction and assembly, commissioning and
start-up assistance of the plant.  The refinery is located near
Curitiba in the south of Brazil.

The project will start immediately and is scheduled for
completion in 25 months.  The partner in the consortium is the
Brazilian engineering company Engevix.

Skanska Latin America has extensive experience in refinery works
and in the last two years has carried out major similar projects
for the same client at some of the most important refineries in
Brazil, such as REFAP and REDUC.

Skanska Latin America is one of the continent's leading
construction companies and one of Skanska's most profitable
units.  Operations focus primarily on construction, operations
and services for the international energy industry.  In 2006,
the company had some 11,000 employees and sales of SEK3.7
billion.

                        About Skanska

Skanska is one of the world's leading construction groups with
expertise in construction, development of commercial and
residential projects and public-private partnerships.  The group
currently has 56,000 employees in selected home markets in
Europe, in the US and Latin America.  Headquartered in
Stockholm, Sweden and listed on the Stockholm Stock Exchange,
Skanska's sales in 2006 totaled US$17 billion.

                About Petroleo Brasileiro SA

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

                        *     *     *

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

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

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

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


PETROLEO BRASILEIRO: May Purchase Tankers to Aid Ethanol Export
---------------------------------------------------------------
Brazil's state-run oil firm, Petroleo Brasileiro SA, in response
to rising ethanol demands, may purchase tankers in its bid to
hike foreign sales of the biofuel, Jeb Blount at Bloomberg News
says.

As previously disclosed, the state-run company plans to build 42
oil tankers to transform Petroleo Brasileiro from an importer
into an energy exporter.  Also, Brazil is executing a plan to
build 26 tankers for US$130 million to revive the country's
shipbuilding industry.

"We have the land, the sun and the water to become the Saudi
Arabia of ethanol," Sergio Machado, the head of Petrobras' unit
Transpetro, told Bloomberg in an interview.  "We need to have
our own ships to export our output too."

According to Bloomberg, Mr. Machado expects the first ethanol
tanker to be built by 2011.

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

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

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

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

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


PETROLEO BRASILEIRO: Must Follow Government's Development Scheme
----------------------------------------------------------------
Brazilian President Luiz Inacio Lula da Silva said that the
country's state-owned oil company Petroleo Brasileiro SA must
follow the government's development strategy, Business News
Americas reports.

President Lula da Silva told BNamericas that Petroleo Brasileiro
should concentrate on social issues and not solely on profits.

BNamericas relates that President Lula da Silva said in a
ceremony for Petroleo Brasileiro unit Transpetro, "It's not
about dictating rules to Petrobras [Petroleo Brasileiro].  It's
about saying Petrobras is controlled by the Brazilian government
and the company needs to fit in a strategy to develop the
country, while respecting its specific interests."

Banco do Brasil Investimentos market analyst Nelson Rodrigues de
Matos told BNamericas, "President Lula always said he would use
Petrobras as a platform for his government's policies.  
Petrobras has always had the pros and cons of being a state-
owned company."

According to BNamericas, the president's statement worried the
private sector and some market analysts.  

Brokerage Brascan Corretora market analyst Felipe Cunha
commented to BNamericas, "Lula's statement was worrying because
we cannot say how much his government's policy of purchasing the
maximum amount of Brazilian-made equipment for Petrobras is
going to cost the company.  It's also worrying that Lula wants
to use Petrobras as an instrument for Brazil's economic
development."

The Brazilian government should act directly to encourage the
naval construction sector and not use Petroleo Brasileiro as a
vehicle to do so as the company has minority shareholders.  The
government has to change the tax structure for fuels instead of
squeezing Petroleo Brasileiro's refining margins, BNamericas
states, citing Mr. Rodrigues de Matos.  

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

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

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

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

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


PETROLEO BRASILEIRO: Proposes LatAm Gas Pipeline to Hike Exports
----------------------------------------------------------------
Brazil's state-run oil firm, Petroleo Brasileiro SA, is studying
a plan for the construction of a network of gas pipelines that
would link South American countries -- in a bid to reduce costs
and increase exports, Bloomberg News reports.

Based on the company's initial plan, it would begin by extending
pipelines in the southern half of the region, Bloomberg relates,
citing Chief Executive Ildo Sauer.  A 50 million-cubic-meter-a-
day pipeline, twice the size of the Bolivia-Brazil gas pipeline,
would be constructed starting in 2010 to link the region with
Venezuelan gas fields, Bloomberg says.

Brazil has been promoting the use of natural gas and biofuels as
substitutes for crude.

"We envision an integrated pipeline system like those in North
America and Europe," Mr. Sauer told Bloomberg in an interview.   
"By increasing our regional use of gas we can increase our
exports of oil and substitute a cleaner and cheaper fuel for
existing sources."

The project is expected to cost US$20 billion, the same report
says.  Studies being made will include environmental issues and
rising costs.

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

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

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

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

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


SANMINA-SCI: May Miss 2nd Qtr. Revenue Target Due to Low Demand
---------------------------------------------------------------
Sanmina-SCI Corporation disclosed that for its second quarter
ended March 31, 2007, the company expects to report revenue of
approximately US$2.6 billion compared to previously provided
guidance of US$2.65-US$2.75 billion.  The company is not in a
position to provide an update to earnings for the quarter ended
March 31, 2007 at this time.  

However, with the decline in revenue, the company expects non-
GAAP earnings per share to be below its previously provided
guidance.  Full financial results will be provided during the
company's regularly scheduled earnings call on Tuesday,
April 24.

"The second quarter has historically been a seasonally weak
quarter for us, but we experienced even greater weakness in
demand over the last two to three weeks," Jure Sola, Chairman
and Chief Executive Officer, stated.  "The majority of this
softness was in the communications and high-end computing end-
markets, while the rest of the markets delivered to our
expectations.  We believe this weakness will be short-term and
that the business should improve in the second half of 2007."

For the quarter ended March 31, the company anticipates
reporting a decrease in inventory of at least US$90 million and
an increase in cash and cash equivalent of at least US$100
million.

                  About Sanmina-SCI Corp.

Headquartered in San Jose, California, Sanmina-SCI Corporation
(NasdaqGS: SANM) -- http://www.sanmina-sci.com/-- is a    
Electronics Manufacturing Services (EMS) provider focused on
delivering complete end-to-end manufacturing solutions to
technology companies around the world.  Service offerings
include product design and engineering, test solutions,
manufacturing, logistics and post-manufacturing repair/warranty
services.  The company operates in Brazil, Mexico, Finland,
Hungary, among others.

                        *     *     *

As reported in the Troubled Company Reporter on Feb. 16, 2007,
Standard & Poor's Ratings Services removed its ratings for San
Jose, California-based Sanmina-SCI Corp. from CreditWatch, where
they were placed on Aug. 14, 2006.

The corporate credit and senior unsecured ratings were lowered
to 'B+' from 'BB-'; the subordinated debt rating was lowered to
'B-' from 'B'.  S&P said the outlook is stable.


TAM CAPITAL: Fitch Assigns BB rating on US$200-Million Issuance
---------------------------------------------------------------
Fitch Ratings has assigned a 'BB' rating on by TAM Capital
Inc.'s proposed issuance of US$200 million of senior guaranteed
notes due 2017.

The notes are unconditionally guaranteed by TAM Linhas and TAM
S.A.  Proceeds from the offering will be, primarily, to finance
fleet renewal and expansion, with the remainder used for general
corporate purposes.  Fitch has Foreign and Local Currency Issuer
Default Ratings on TAM of 'BB' and a national scale rating of
'A+(bra)' on the issuer and on TAM's BRL500 million senior
unsecured debentures due 2012.  The Rating Outlook on all
corporate ratings is Stable.

The ratings reflect the company's market-leading position in the
Brazilian air passenger transportation sector, adequate leverage
indicators and positive free cash flow generation.  The ratings
also reflect exposure to fluctuations in jet fuel prices and
exchange rates, the strong correlation of TAM's activities with
the performance of the domestic economy, high operating leverage
and competitive threats.  The ratings incorporate the company's
fleet expansion plans and intention to maintain conservative
leverage ratios.

Over the past several years, revenues have grown strongly,
operating margins have improved and the company has maintained
positive cash generation.  During 2006, the number of passengers
transported by TAM increased by 28% and the load factor reached
74%, well above the break-even load factor of 64%.  Net revenues
grew 30% due to strong growth in the number of passenger-
kilometers transported or RPK of 33% and seats supply or ASK of
27%, which was supported by the expansion of the fleet, higher
average flight length, greater capacity utilization rate and
more frequencies.  Free cash flow generation reached BRL557
million.

TAM continues to improve operating profitability, enhancing its
cost structure by raising capacity utilization, operating newer
aircraft with lower maintenance costs and fuel consumption and
reducing commercial and overhead expenses.  The RASK (revenue
per available seat kilometer) - CASK (cost per available seat
kilometer) spread improved to BRL2.8 in 2006 from BRL1.5 in
2005.  During 2006, cash generation measured by EBITDAR reached
BRL1.7 billion, a significant growth of 52% from the prior year,
and the EBITDAR margin reached 23%, among the highest in the
airline industry worldwide.

TAM's financial profile and credit protection measures continue
to improve from strong cash flow generation.  At Dec. 31, 2006,
total adjusted debt to EBITDAR reached 3.7x and total adjusted
debt net of cash to EBITDAR reached 2.3x.  Over the next several
years, Fitch Ratings expects these ratios to deteriorate
moderately as a result of the anticipated incorporation to TAM's
fleet of 37 new aircraft by 2010 but should remain commensurate
with the existing rating category.  Total adjusted debt to
EBITDAR should range between 3.5x and 4.5x over the next several
years as higher debt related to the company's expansion plan is
offset by expected increases in EBITDAR.

TAM maintains a solid liquidity position, with BLR2.4 billion of
cash and marketable securities at the end of 2006.  At
Dec. 31, 2006, total adjusted debt reached BRL6.3 billion, which
includes BRL568 million of debentures and approximately BRL683
million of capital leases and working capital debt.  The company
also has off-balance-sheet liabilities related to aircraft
operating leases, which totaled BRL5.1 billion at Dec. 31, 2006.  
The entire aircraft fleet is leased.

In recent months, the Brazilian airline sector has been affected
by a structural crisis related to infrastructure bottlenecks,
which caused flight cancellations and delays well above normal
levels, affecting all domestic airlines' performance and raising
uncertainties regarding the sector's ability to continue to grow
capacity.  The crisis made clear the need for government
investments in infrastructure and improved efficiency on behalf
of the airlines.  As Fitch anticipated, TAM showed deterioration
in profitability during the fourth quarter of 2006, as it
incurred incremental costs such as extra passenger and aircraft
ground time expenses.  Nevertheless, for the full year, the
company posted record financial results.  During 2007, Fitch
understands that the scenario will remain relatively unstable,
considering that the necessary investments for improving
infrastructure are expected in the long-term.  However, even
under these turbulent conditions, the Brazilian airline market
has grown significantly during the first quarter of 2007, by
approximately 12% according to ANAC or Agencia Nacional de
Aviacao Civil.  In Fitch's opinion, TAM's solid financial
profile and cash resources should help mitigate short-term risks
and volatility related to domestic sector turbulence.

Over the next several years, TAM will face new challenges to
maintain market leadership in a strongly competitive
environment, TAM's main competitor, GOL Linhas Aereas S.A.,
cost-efficient operator, recently announced a agreement to
acquire VRG S.A., which operates the brand name Varig and owns a
significant number of slots in the most important domestic
airport, Congonhas, where TAM has an important presence and
market share participation.  An increase in competition
resulting from supply pressures and aggressive fare discounting,
coupled with lower aircraft load factors, would inevitably
impact the strong credit profile of the Brazilian airline
companies.

                        About TAM S.A.

TAM S.A. (NYSE: TAM) is a holding company that operates through
its subsidiaries TAM Linhas Aereas and TAM Mercosur.  The
company offers regular air passenger transportation services in
Brazil and abroad.  It covers the entire territory of Brazil,
serving 48 national destinations directly and an additional 26
destinations through regional alliances with other airline
companies.  TAM also serves 11 international destinations and
offers connections to several cities outside Brazil through
agreements with American Airlines and Air France.

                    About TAM Capital Inc.

TAM Capital Inc. is a wholly owned financing vehicle of TAM
Linhas Aereas S.A.  TAM Capital is a Cayman Islands'
incorporated, limited liability company.


TAM CAPITAL: S&P Puts BB- Rating on US$200 Mil. Guaranteed Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' rating to
the US$200 million Senior Guaranteed Notes due 2017 to be issued
by TAM Capital Inc.
     
The debt at TAM Capital will be unconditionally and irrevocably
guaranteed by TAM and its operating subsidiary TAM Linhas Aereas
S.A. (unrated).  TAM Capital Inc. is a wholly-owned subsidiary
of TAM Linhas Aereas S.A.  TAM reported adjusted total debt,
including operating leases, of US$2.1 billion as of
Dec. 31, 2006.
     
The rating on the Senior Guaranteed Notes is one notch lower
than the corporate credit rating assigned to TAM to reflect
effective subordination of unsecured creditors to secured
obligations.  Under Standard & Poor's criteria, operating leases
and other aircraft financing are assumed to be senior secured
obligations with priority of payment relative to other unsecured
debt.  As of Dec. 31, 2006, TAM reported approximately US$1.48
billion as the estimated net present value of its future
operating lease payments.
     
The 'BB' long-term corporate credit rating on TAM reflects its
exposure to the cyclical, price-competitive, and capital-
intensive airline industry.  Its profile is somewhat leveraged,
despite recent improvement, due to competition with low-cost
carrier GOL Linhas Aereas Inteligentes S.A. (unrated), some cost
exposure to exchange risk and volatile fuel prices -- although
these risk are declining with hedge policies and increasing
revenues from international routes, and dependence on the
overall economic and operating environment in its home market of
Brazil.  These negatives are partly offset by TAM's sound market
share and growing position in the fairly concentrated Brazilian
airline industry, a business model based on product
differentiation, highly efficient and cost-competitive
operations, and our expectations that the company's financial
profile will continue improving in the medium term, while
sustaining strong liquidity.
     
TAM is the largest airline in Brazil.  Standard & Poor's believe
TAM will continue narrowing the cost gap with Gol Linhas by
improving efficiency.  The company's credit measures are
adjusted to factor the capitalization of operating leases -- all
aircraft used by TAM are currently rented, adding approximately
US$1.48 billion in debts as of Dec. 31, 2006.

                        About TAM S.A.

TAM S.A. (NYSE: TAM) is a holding company that operates through
its subsidiaries TAM Linhas Aereas and TAM Mercosur.  The
company offers regular air passenger transportation services in
Brazil and abroad.  It covers the entire territory of Brazil,
serving 48 national destinations directly and an additional 26
destinations through regional alliances with other airline
companies.  TAM also serves 11 international destinations and
offers connections to several cities outside Brazil through
agreements with American Airlines and Air France.

                    About TAM Capital Inc.

TAM Capital Inc. is a wholly owned financing vehicle of TAM
Linhas Aereas S.A.  TAM Capital is a Cayman Islands'
incorporated, limited liability company.


TAM SA: Offers Senior Notes Due 2017 to Finance Fleet Upgrade
-------------------------------------------------------------
TAM S.A. reported that TAM Linhas Aereas S.A. subsidiary, TAM
Capital Inc., is offering senior notes due 2017 in an offering
exempt from registration under the United States Securities Act
of 1933, as amended.  TAM and its subsidiary, TAM Linhas, will
guarantee the notes.  The notes will be senior unsecured debt
obligations of TAM and are subject to optional redemption at a
price that may include a make whole amount.  The proceeds of the
notes will be used primarily to finance fleet renewal and
expansion and the remainder used for general corporate purposes.

In connection with the notes, TAM capital will enter into a
registration rights agreement providing that it will use its
reasonable best efforts to file with the United States
Securities and Exchange Commission and cause to become effective
a registration statement relating to an offer to exchange the
notes for an issue of registered notes with terms identical to
the notes, except that the exchange notes will not be subject to
restrictions on transfer or to any increase in annual interest
rate as described in the agreement.

                        About TAM S.A.

TAM S.A. (NYSE: TAM) is a holding company that operates through
its subsidiaries TAM Linhas Aereas and TAM Mercosur.  The
company offers regular air passenger transportation services in
Brazil and abroad.  It covers the entire territory of Brazil,
serving 48 national destinations directly and an additional 26
destinations through regional alliances with other airline
companies.  TAM also serves 11 international destinations and
offers connections to several cities outside Brazil through
agreements with American Airlines and Air France.

                        *     *     *

Standard & Poor's Ratings Services recently assigned 'BB' long-
term corporate credit rating on TAM S.A.

Fitch Ratings also has assigned TAM S.A. a BB Foreign and Local
Currency Issuer Default Ratings.  Fitch also has assigned a
national scale rating of 'A+(bra)' on the issuer and on TAM's
BRL500 million senior unsecured debentures due 2012.  

In addition, Fitch has placed a 'BB' rating to the proposed
issuance of US$200 million of senior guaranteed notes due 2017
by TAM Capital Inc., a wholly owned financing vehicle of TAM
Linhas Aereas S.A., incorporated with limited liability in the
Cayman Islands.  The Rating Outlook on all corporate ratings is
Stable.

                    About TAM Capital Inc.

TAM Capital Inc. is a wholly owned financing vehicle of TAM
Linhas Aereas S.A.  TAM Capital is a Cayman Islands'
incorporated, limited liability company.

                        *     *     *

Standard & Poor's Ratings Services recently assigned its 'BB-'
rating to the US$200 million Senior Guaranteed Notes due 2017 to
be issued by TAM Capital Inc.

Fitch Ratings also has assigned a 'BB' rating to the proposed
issuance of US$200 million of senior guaranteed notes due 2017
by TAM Capital Inc.


TAM SA: Fitch Assigns BB Foreign & Local Currency Issuer Ratings
----------------------------------------------------------------
Fitch Ratings has assigned TAM S.A. a BB Foreign and Local
Currency Issuer Default Ratings.  Fitch also has assigned a
national scale rating of 'A+(bra)' on the issuer and on TAM's
BRL500 million senior unsecured debentures due 2012.  

In addition, Fitch has placed a 'BB' rating to the proposed
issuance of US$200 million of senior guaranteed notes due 2017
by TAM Capital Inc., a wholly owned financing vehicle of TAM
Linhas Aereas S.A., incorporated with limited liability in the
Cayman Islands.  The Rating Outlook on all corporate ratings is
Stable.

The US$200 million notes are unconditionally guaranteed by TAM
Linhas and TAM S.A.  Proceeds from the offering will be,
primarily, to finance fleet renewal and expansion, with the
remainder used for general corporate purposes.  

The ratings reflect the company's market-leading position in the
Brazilian air passenger transportation sector, adequate leverage
indicators and positive free cash flow generation.  The ratings
also reflect exposure to fluctuations in jet fuel prices and
exchange rates, the strong correlation of TAM's activities with
the performance of the domestic economy, high operating leverage
and competitive threats.  The ratings incorporate the company's
fleet expansion plans and intention to maintain conservative
leverage ratios.

Over the past several years, revenues have grown strongly,
operating margins have improved and the company has maintained
positive cash generation.  During 2006, the number of passengers
transported by TAM increased by 28% and the load factor reached
74%, well above the break-even load factor of 64%.  Net revenues
grew 30% due to strong growth in the number of passenger-
kilometers transported or RPK of 33% and seats supply or ASK of
27%, which was supported by the expansion of the fleet, higher
average flight length, greater capacity utilization rate and
more frequencies.  Free cash flow generation reached BRL557
million.

TAM continues to improve operating profitability, enhancing its
cost structure by raising capacity utilization, operating newer
aircraft with lower maintenance costs and fuel consumption and
reducing commercial and overhead expenses.  The RASK (revenue
per available seat kilometer) - CASK (cost per available seat
kilometer) spread improved to BRL2.8 in 2006 from BRL1.5 in
2005.  During 2006, cash generation measured by EBITDAR reached
BRL1.7 billion, a significant growth of 52% from the prior year,
and the EBITDAR margin reached 23%, among the highest in the
airline industry worldwide.

TAM's financial profile and credit protection measures continue
to improve from strong cash flow generation.  At Dec. 31, 2006,
total adjusted debt to EBITDAR reached 3.7x and total adjusted
debt net of cash to EBITDAR reached 2.3x.  Over the next several
years, Fitch Ratings expects these ratios to deteriorate
moderately as a result of the anticipated incorporation to TAM's
fleet of 37 new aircraft by 2010 but should remain commensurate
with the existing rating category.  Total adjusted debt to
EBITDAR should range between 3.5x and 4.5x over the next several
years as higher debt related to the company's expansion plan is
offset by expected increases in EBITDAR.

TAM maintains a solid liquidity position, with BLR2.4 billion of
cash and marketable securities at the end of 2006.  At
Dec. 31, 2006, total adjusted debt reached BRL6.3 billion, which
includes BRL568 million of debentures and approximately BRL683
million of capital leases and working capital debt.  The company
also has off-balance-sheet liabilities related to aircraft
operating leases, which totaled BRL5.1 billion at Dec. 31, 2006.  
The entire aircraft fleet is leased.

In recent months, the Brazilian airline sector has been affected
by a structural crisis related to infrastructure bottlenecks,
which caused flight cancellations and delays well above normal
levels, affecting all domestic airlines' performance and raising
uncertainties regarding the sector's ability to continue to grow
capacity.  The crisis made clear the need for government
investments in infrastructure and improved efficiency on behalf
of the airlines.  As Fitch anticipated, TAM showed deterioration
in profitability during the fourth quarter of 2006, as it
incurred incremental costs such as extra passenger and aircraft
ground time expenses.  Nevertheless, for the full year, the
company posted record financial results.  During 2007, Fitch
understands that the scenario will remain relatively unstable,
considering that the necessary investments for improving
infrastructure are expected in the long-term.  However, even
under these turbulent conditions, the Brazilian airline market
has grown significantly during the first quarter of 2007, by
approximately 12% according to ANAC or Agencia Nacional de
Aviacao Civil.  In Fitch's opinion, TAM's solid financial
profile and cash resources should help mitigate short-term risks
and volatility related to domestic sector turbulence.

Over the next several years, TAM will face new challenges to
maintain market leadership in a strongly competitive
environment, TAM's main competitor, GOL Linhas Aereas S.A.,
cost-efficient operator, recently announced a agreement to
acquire VRG S.A., which operates the brand name Varig and owns a
significant number of slots in the most important domestic
airport, Congonhas, where TAM has an important presence and
market share participation.  An increase in competition
resulting from supply pressures and aggressive fare discounting,
coupled with lower aircraft load factors, would inevitably
impact the strong credit profile of the Brazilian airline
companies.

                        About TAM S.A.

TAM S.A. (NYSE: TAM) is a holding company that operates through
its subsidiaries TAM Linhas Aereas and TAM Mercosur.  The
company offers regular air passenger transportation services in
Brazil and abroad.  It covers the entire territory of Brazil,
serving 48 national destinations directly and an additional 26
destinations through regional alliances with other airline
companies.  TAM also serves 11 international destinations and
offers connections to several cities outside Brazil through
agreements with American Airlines and Air France.


TAM SA: S&P Assigns BB Long-Term Corporate Credit Rating
--------------------------------------------------------
Standard & Poor's Ratings Services assigned 'BB' long-term
corporate credit rating on TAM S.A.

Standard & Poor's also assigned its 'BB-' rating to the US$200
million Senior Guaranteed Notes due 2017 to be issued by TAM
Capital Inc.
     
The debt at TAM Capital will be unconditionally and irrevocably
guaranteed by TAM and its operating subsidiary TAM Linhas Aereas
S.A. (unrated).  TAM reported adjusted total debt, including
operating leases, of US$2.1 billion as of Dec. 31, 2006.
     
The 'BB' long-term corporate credit rating on TAM reflects its
exposure to the cyclical, price-competitive, and capital-
intensive airline industry.  Its profile is somewhat leveraged,
despite recent improvement, due to competition with low-cost
carrier GOL Linhas Aereas Inteligentes S.A. (unrated), some cost
exposure to exchange risk and volatile fuel prices -- although
these risk are declining with hedge policies and increasing
revenues from international routes, and dependence on the
overall economic and operating environment in its home market of
Brazil.  These negatives are partly offset by TAM's sound market
share and growing position in the fairly concentrated Brazilian
airline industry, a business model based on product
differentiation, highly efficient and cost-competitive
operations, and our expectations that the company's financial
profile will continue improving in the medium term, while
sustaining strong liquidity.

The rating on the Senior Guaranteed Notes is one notch lower
than the corporate credit rating assigned to TAM to reflect
effective subordination of unsecured creditors to secured
obligations.  Under Standard & Poor's criteria, operating leases
and other aircraft financing are assumed to be senior secured
obligations with priority of payment relative to other unsecured
debt.  As of Dec. 31, 2006, TAM reported approximately US$1.48
billion as the estimated net present value of its future
operating lease payments.
     
TAM is the largest airline in Brazil.  Standard & Poor's believe
TAM will continue narrowing the cost gap with Gol Linhas by
improving efficiency.  The company's credit measures are
adjusted to factor the capitalization of operating leases -- all
aircraft used by TAM are currently rented, adding approximately
US$1.48 billion in debts as of Dec. 31, 2006.

                        About TAM S.A.

TAM S.A. (NYSE: TAM) is a holding company that operates through
its subsidiaries TAM Linhas Aereas and TAM Mercosur.  The
company offers regular air passenger transportation services in
Brazil and abroad.  It covers the entire territory of Brazil,
serving 48 national destinations directly and an additional 26
destinations through regional alliances with other airline
companies.  TAM also serves 11 international destinations and
offers connections to several cities outside Brazil through
agreements with American Airlines and Air France.


TELE NORTE: Shareholders Okay BRL600-Million Interest on Capital
----------------------------------------------------------------
Tele Norte Leste Participacoes SA's shareholders have approved
the management's proposal of appropriation of Interest on
Capital -- IOC -- throughout the fiscal year of 2007, for a
total amount not to exceed BRL600 million.  The IOC declarations
shall be announced by the Company's management throughout the
present year.

It has been clarified that the sum effectively credited to the
shareholders as IOC will be imputed to the dividends that shall
be distributed referring to the fiscal year of 2007.

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

                        *     *     *

As reported 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.


TELE NORTE: Shareholders Approve Stock Option Plan
--------------------------------------------------
Tele Norte Leste Participacoes SA disclosed that during the
General Shareholders' Meeting last week, its shareholders
approved the proposal for the Stock Option Plan of the company.

In addition, the shareholders approved payment in the total
amount of BRL330 million, referring to the Fiscal Year of 2006,
being BRL30 million as dividends and BRL300 million as interest
on capital.

The initial payment date in Brazil will be April 20, 2007:

   1. Dividend per common or preferred share (ADR): BRL$0.0789.

   2. Interest on Capital per common or preferred share (ADR):
      BRL0.7895.

   3. Accrued Interest and Taxes:  The dividends and interest on
      capital amounts will be remunerated based on the TR
      -- Taxa Referencial -- rate, from Jan. 1 until April 20,
      2007.  The amount indicated above is subject to
      withholding taxes, in accordance with Brazilian Law (Nos.
      9245/95 and 9249/95).

The shares (ADRs) will start trading ex-dividends as of
April 12, 2007.

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

                        *     *     *

As reported 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.


TELE NORTE: S&P Says Buyout Threat Has No Effect on Ratings
-----------------------------------------------------------
Standard & Poor's Ratings Services maintained that the corporate
credit ratings on Tele Norte Leste Participacoes S.A. or TNL
(BB+/Stable/--), Telemar Norte Leste S.A. or TMAR
(BB+/Stable/--), and the ratings on the local debentures of
Telemar Participacoes S.A. or TmarPart are not immediately
affected by TmarPart's decision to appraise a proposal for the
acquisition of all TNL and TMAR's outstanding nonvoting shares.  

Standard & Poor's expects a decision to be announced after a
board meeting on April 20, 2007.  If the proposal is validated
by TmarPart's board of directors, Standard & Poor's will place
the ratings on all aforementioned entities on CreditWatch
Negative to reflect the likely negative impact on the ratings
from the potentially significant increase in debt levels at
TmarPart, which would also represent a significant increase in
contingent liabilities for TNL and TMAR.  Should the transaction
be approved, completed as proposed, and fully accepted by
nonvoting shareholders of TNL and TMAR, TmarPart would have to
disburse about BRL11 billion (about US$5.5 billion) to complete
the deal.  Telemar entities' consolidated total debt amounted to
about US$4.6 billion at Dec. 31, 2006.

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.


TOWER AUTOMOTIVE: Court Approves US$1-Billion Sale to Cerberus
--------------------------------------------------------------
The Hon. Allen Gropper of the United States Bankruptcy Court for
the Southern District of New York has authorized Tower
Automotive Inc. and its debtor-affiliates to sell substantially
all of their assets for roughly US$1,000,000,000 to Cerberus
Capital Management, L.P., subject to higher and better bids,
Christopher Scinta at Bloomberg News reports.

Judge Gropper said the terms of the deal allow competitive
bidding on the company and provide only "modest" protections to
Cerberus in the event a rival bidder makes a better offer for
Tower's assets, according to The Associated Press.

The AP says an auction will be held June 25, 2007, if higher and
better bids are received.  Competing bids are due June 20.

As previously reported, Cerberus will be reimbursed for up to $4
million in expenses and paid a US$10 million breakup fee if the
Debtors consummate a sale with a rival bidder.

"The circumstances that would trigger the fee were substantially
limited through recent negotiations with creditors, making it
easier for other investors to bid against Cerberus," Anup Sathy,
Esq., at Kirkland & Ellis LLP, in Chicago, Illinois, counsel for
the Debtors, said, according to Bloomberg.

The Official Committee of Unsecured Creditors supports the
Cerberus bid.

According to the report, Judge Gropper approved the proposed
sale to Cerberus after the Debtors resolved the objections filed
by:

    (a) Silver Point Capital Fund, L.P.;

    (b) Dune Capital Management LP and Caspian Capital Partners,
        LP;

    (c) the unions representing Milwaukee retirees;

    (d) the United Automobile, Aerospace, and Agricultural
        Implement Workers of America, AFL-CIO and the IUE, the
        Industrial Division of the Communication Workers of
        America, AFL-CIO; and

    (e) the Official Committee of Retired Employees

Silver Point, as administrative agent for the lenders under a
Credit Agreement dated May 24, 2004, among R.J. Tower
Corporation, as the Borrower, and Tower Automotive, Inc. as the
Parent Guarantor, objected to the Debtors' request to the extent
it (i) provides any recovery to general unsecured creditors
without the payment, in full and in cash, of any and all claims
due under the Credit Agreement, which are entitled to priority
senior to the claims of general unsecured creditors; (ii)
authorizes the granting of a super priority administrative
expense claim to Cerberus in violation of the Final DIP Order;
or (iii) seeks to prime the claims of Silver Point and lenders
under the Credit Agreement to proceeds from a transaction.

Dune Capital and Caspian Capital, which holds secured second
lien debt claims, objected to the Debtors' selection of Cerberus
as stalking horse.  Dune Capital and Caspian Capital said the
process by which the Debtors did the selection was somehow
flawed.

The Milwaukee Unions and the Retirees Committee opposed the
Debtors' request to the extent that it could be construed in any
way to impact or impair their rights, or the rights of the
retirees they represent, under the Debtors' prior settlements
with the Unions and the Committee pursuant to Section 1114 of
the Bankruptcy Code.

The UAW and IUE CWA argued that to the extent any provision in
the term sheet between the Debtors and Cerberus would result in
inadequate value to satisfy the Debtors' obligations to Union-
represented retirees, the ultimate terms would have to be
adjusted to make it possible for the Debtors to file a
confirmable Plan.

             Sale Won't Impair Parties' Rights

The Debtors clarified that approval of the sale will not affect
or impair any right, objection, remedy, settlement or claim of
the Milwaukee Unions, the Retirees Committee, and the UAW and
IUE-CWA, or any individual represented by these entities.

The Debtors explained before the Court that they merely seek
approval of procedures for a formal competitive bidding process
carefully designed to maximize recoveries.

Payment of claims will be addressed in the context of a
confirmable Chapter 11 plan, the Debtors pointed out.  They
explained that the proposed sale does not seek to prime the
claims of Silver Point and lenders under the Credit Agreement to
proceeds from a transaction.  Cerberus has also agreed that any
super priority administrative claims to which it may be entitled
under the Term Sheet are junior to the claims due under the
Credit Agreement.

The Debtors pointed out that the stalking horse selection
process was fair and the process set forth in their request
gives them their best chance to obtain the highest and best bid
for their assets.

Cerberus' bid was also the best choice for a stalking horse
based on the value available for creditors, the limited
circumstances under which a break-up fee and expense
reimbursement could be paid, and the lack of a financing
contingency, the Debtors explained.

                    About Tower Automotive

Headquartered in Grand Rapids, Michigan, Tower Automotive Inc.
-- http://www.towerautomotive.com/-- is a global designer and  
producer of vehicle structural components and assemblies used by
every major automotive original equipment manufacturer,
including BMW, DaimlerChrysler, Fiat, Ford, GM, Honda,
Hyundai/Kia, Nissan, Toyota, Volkswagen and Volvo.  Products
include body structures and assemblies, lower vehicle frames and
structures, chassis modules and systems, and suspension
components.  The company has operations in Korea, Spain, and
Brazil.

The Company and 25 of its debtor-affiliates filed voluntary
chapter 11 petitions on Feb. 2, 2005 (Bankr. S.D.N.Y. Case No.
05-10576 through 05-10601).  James H.M. Sprayregen, Esq., Ryan
B. Bennett, Esq., Anup Sathy, Esq., Jason D. Horwitz, Esq., and
Ross M. Kwasteniet, Esq., at Kirkland & Ellis, LLP, represent
the Debtors in their restructuring efforts.  Ira S. Dizengoff,
Esq., at Akin Gump Strauss Hauer & Feld LLP, represents the
Official Committee of Unsecured Creditors.  When the Debtors
filed for protection from their creditors, they listed
US$787,948,000 in total assets and US$1,306,949,000 in total
debts.  The Debtors' exclusive period to file a chapter 11 plan
of reorganization expired on March 30, 2007.  The Debtors hope
to file a chapter 11 plan by April 20, 2007.

(Tower Automotive Bankruptcy News, Issue No. 58; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)


TOWER AUTOMOTIVE: Exclusive Plan-Filing Period Extended to May 3
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
extended the period during which Tower Automotive Inc. and its
debtor-affiliates may exclusively file a plan or plans of
reorganization through and including May 3, 2007.  The Debtors'
exclusive right to solicit acceptances of the plan is extended
through and including June 29.

If by April 30, 2007, the Debtors have already filed a plan, the
Exclusive Plan Filing Period will be automatically extended
through and including June 6, without further Court order, Judge
Gropper says.

Headquartered in Grand Rapids, Michigan, Tower Automotive Inc.
-- http://www.towerautomotive.com/-- is a global designer and  
producer of vehicle structural components and assemblies used by
every major automotive original equipment manufacturer,
including BMW, DaimlerChrysler, Fiat, Ford, GM, Honda,
Hyundai/Kia, Nissan, Toyota, Volkswagen and Volvo.  Products
include body structures and assemblies, lower vehicle frames and
structures, chassis modules and systems, and suspension
components.  The company has operations in Korea, Spain, and
Brazil.

The Company and 25 of its debtor-affiliates filed voluntary
chapter 11 petitions on Feb. 2, 2005 (Bankr. S.D.N.Y. Case No.
05-10576 through 05-10601).  James H.M. Sprayregen, Esq., Ryan
B. Bennett, Esq., Anup Sathy, Esq., Jason D. Horwitz, Esq., and
Ross M. Kwasteniet, Esq., at Kirkland & Ellis, LLP, represent
the Debtors in their restructuring efforts.  Ira S. Dizengoff,
Esq., at Akin Gump Strauss Hauer & Feld LLP, represents the
Official Committee of Unsecured Creditors.  When the Debtors
filed for protection from their creditors, they listed
US$787,948,000 in total assets and US$1,306,949,000 in total
debts.  The Debtors' exclusive period to file a chapter 11 plan
of reorganization expired on March 30, 2007.  The Debtors hope
to file a chapter 11 plan by April 20, 2007.

(Tower Automotive Bankruptcy News, Issue No. 58; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)


TRW AUTOMOTIVE: Increases Consideration for Tender Offer
--------------------------------------------------------
TRW Automotive Holdings Corp., through its subsidiary TRW
Automotive Inc., disclosed that, in connection with the cash
tender offers for its outstanding US$825 million 9-3/8% Senior
Notes due 2013, EUR130 million 10-1/8% Senior Notes due 2013,
US$195 million 11% Senior Subordinated Notes due 2013 and
EUR81 million 11-3/4% Senior Subordinated Notes due 2013, it
has increased the tender offer consideration for Notes tendered
after March 23, 2007, to equal the amount paid to holders that
tendered and did not withdraw Notes on or prior to the Consent
Date.  

Additionally, the company has extended the expiration date for
the tender offers to purchase the Notes from midnight, New York
City time on April 6, 2007, to midnight, New York City time, on
April 18, 2007, unless extended or earlier terminated.

The additional consideration being offered applies to holders
who tender after the Consent Date, but on or prior to the New
Expiration Date.  The tender offer consideration, excluding
accrued and unpaid interest, for each US$1,000 principal amount
of 9-3/8% Senior Notes validly tendered during the Extended
Offer Period has been increased from US$1,048.26 to US$1,078.26.  
The tender offer consideration, excluding accrued and unpaid
interest, for each Euro 1,000 principal amount of 10-1/8% Senior
Notes validly tendered during the Extended Offer Period has been
increased from EUR1,066.69 to EUR1,096.69.

The tender offer consideration, excluding accrued and unpaid
interest, for each US$1,000 principal amount of 11% Senior
Subordinated Notes validly tendered during the Extended Offer
Period has been increased from US$1,069.86 to US$1,099.86.  The
tender offer consideration, excluding accrued and unpaid
interest, for each Euro 1,000 principal amount of 11-3/4% Senior
Subordinated Notes validly tendered during the Extended Offer
Period has been increased from Euro 1,088.44 to Euro 1,118.44.

The company commenced the tender offers on March 12, 2007.
Settlement for all Notes tendered during the Extended Offer
Period is expected to occur promptly following the New
Expiration Date.

As of April 3, 2007, tenders and consents had been received with
respect to US$820.8 million aggregate principal amount, or 99.4%
of the total outstanding, of the 9-3/8% Senior Notes, Euro 120.5
million aggregate principal amount, or 92.7% of the total
outstanding, of the 10-1/8% Senior Notes, US$189.2 million
aggregate principal amount, or 97.0% of the total outstanding,
of the 11% Senior Subordinated Notes, and EUR78.9 million
aggregate principal amount, or 97.1% of the total outstanding,
of the 11-3/4% Senior Subordinated Notes.

On March 26, 2007, TRW Automotive Inc. executed supplemental
indentures with The Bank of New York, as trustee, effectuating
proposed amendments to the indentures governing each series of
Notes to eliminate substantially all of the covenants and
certain events of default and to modify the provisions relating
to defeasance, all as described in the Offer to Purchase and
Consent Solicitation Statement dated March 12, 2007.  The
settlement for the early tender of such Notes was on
March 26, 2007.

Lehman Brothers Inc., Lehman Brothers International (Europe),
Banc of America Securities LLC, Banc of America Securities
Limited, Deutsche Bank Securities Inc., Deutsche Bank AG, London
Branch, Goldman, Sachs & Co. and Merrill Lynch & Co. are each
acting as a Dealer Manager and Solicitation Agent for the tender
offers and the consent solicitations.

The Depositary is The Bank of New York and the Information Agent
is Global Bondholder Services Corporation.

Requests for documentation should be directed to:

   a) Global Bondholder Services Corporation
      Tel: (866) 924-2200

   b) The Bank of New York
      Attention: William Buckley
      7 East, 101 Barclay Street
      New York, NY 10286
      Tel: (212) 815-5788
      Fax: (212) 298-1915  

   c) The Bank of New York (Luxembourg) S.A.
      1A, Hoehenhof, L-1736 Senningerberg
      Aerogolf Center, Luxembourg
      Tel: +(352) 34 20 90 5637

Questions regarding the tender offers and the consent
solicitations should be directed to:

   Lehman Brothers
   Tel: (800) 438-3242 (toll- free), or
        (212) 528-7581 (collect)

                     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.


XERIUM TECHNOLOGIES: Miguel Quinonez to Step Down as President
--------------------------------------------------------------
Xerium Technologies Inc. reported that Miguel Quinonez,
President - Xerium South America, would retire effective
Dec. 31, 2007.  The company expects to name a successor by the
end of 2007.

"Miguel has spent virtually his entire career with Xerium and
its predecessors and has played a pivotal role helping to build
and steer the company," said Thomas Gutierrez, Chief Executive
Officer of Xerium Technologies.  "I thank Miguel for his years
of dedicated service and am pleased that Miguel will remain with
the company through the rest of 2007 to ease the transition."

Headquartered in Wesborough, Massachusetts, Xerium Technologies,
Inc. -- http://xerium.com/-- manufactures and supplies two   
types of products used primarily in the production of paper:
clothing and roll covers.  The company operates under a variety
of brand names and owns a broad portfolio of patented and
proprietary technologies to provide customers with tailored
solutions and products, designed to optimize performance and
reduce operational costs.  With 35 manufacturing facilities in
15 countries, including Austria, Brazil and Japan, Xerium
Technologies has approximately 3,900 employees.

                        *     *     *

Moody's Investors Service changed the outlook on Xerium
Technologies, Inc.'s ratings to negative from stable, and
affirmed the company's corporate family rating at B1.  The
change in outlook to negative reflects Xerium's weaker than
expected operating performance primarily due to production
inefficiencies in North America and delays in achieving benefits
from cost reduction initiatives.  Moody's believes the impact of
these issues, coupled with a difficult pricing environment for
roll covers and to a lesser extent clothing products, will
continue to negatively affect operating performance over the
intermediate term.

Affirmed ratings are:

     * Corporate family rating; B1
     * Guaranteed senior secured term loan B; B1
     * Guaranteed senior secured revolving credit facility; B1




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


BB NETWORK: Proofs of Claim Filing Deadline Is Tomorrow
-------------------------------------------------------
BB Network Rental Holdings' creditors are given until
April 17, 2007, to prove their claims to David Walker and Jackie
Powell-Marsden, the company's liquidators, or be excluded from
receiving any distribution or payment.

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

BB Network's shareholders agreed on March 20, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidators can be reached at:

          David Walker
          Jackie Powell-Marsden
          Attention: Jody Powery-Gilbert
          Caledonian Bank & Trust Limited
          Caledonian House, 69 Dr. Roy's Drive
          P.O. Box 1043
          Grand Cayman KY1-1102
          Cayman Islands
          Telephone: (345) 914-4890
          Fax: (345) 814-4870


KAZIMIR RUSSIA: Proofs of Claim Must be Filed on Friday
-------------------------------------------------------
Kazimir Russia Directional Fund, Ltd.'s creditors are given
until April 20, 2007, to prove their claims to Mr. William
Spencer, 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.

Kazimir Russia's shareholders agreed on Oct. 24, 2005, to place
the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

          William Spencer
          c/o Delphi Management Limited
          Covenant House, 85 Reid Street
          Hamilton, HM12
          Bermuda
          Telephone: 001 441 296 6644
          Fax: 001 441 296 4283


PARMALAT SPA: N.Y. Court Allows Charges Against Grant Thornton
--------------------------------------------------------------
The U.S. District Court for the Southern District of New York
refused to dismiss would-be class shareholder charges against
Grant Thornton LLP (U.S.) based on its relationship with an
overseas affiliate that audited the financial statements of
Parmalat Finanziaria S.p.A., according to an article by BNA Inc.

The Hon. Lewis A. Kaplan concluded that Grant Thornton may be
held liable on agency principles, among other vicarious
liability theories, according to the report.

In June 2005, Judge Kaplan issued an opinion upholding various
claims asserted by the plaintiffs against certain auditor
defendants in the class action relating to the Parmalat
securities fraud.  Judge Kaplan found that the plaintiffs had
adequately stated fraud claims against Deloitte Touche Tohmatsu
and Grant Thornton International by virtue of their respective
agency relationships with Parmalat's Italian auditors.

The complaint charges certain of Parmalat's senior insiders and
its legal, accounting and financial advisors with violations of
the U.S. Securities Exchange Act of 1934.  The complaint alleges
that Parmalat's senior insiders, together with Parmalat's legal,
accounting and financial advisors, concocted a massive scheme
whereby they overstated Parmalat's reported profits and assets
for more than a decade.

The revelations of defendants' misconduct caused the price of
Parmalat stock to plunge 95% before trading was suspended on
Dec. 29, 2003.  The company ultimately filed for bankruptcy.

In October 2005, the court in Parma, Italy issued a decree
approving a "composition" or agreement with Old Parmalat's
creditors causing Parmalat S.p.A. to formally succeed Old
Parmalat and triggering the transfer of Old Parmalat's assets
and liabilities to New Parmalat.

Recently, a notification program for a US$50 million partial
settlement of a U.S. class action about the prices paid for
Parmalat common stock and bonds.

The Court defined "Class members" in the settlement to include
all people and entities who bought Parmalat common stock and/or
bonds from Jan. 5, 1999 through and including Dec. 18, 2003, and
were damaged thereby, regardless of where such people live or
where they purchased their Parmalat securities.

The suit is "In re Parmalat Securities Litigation, S.D.N.Y.,
Master Docket 04 MD 1653 (LAK)."

                       About Parmalat

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

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

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

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

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

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


PARMALAT SPA: Constitutional Court Affirms Claims vs. Two Banks
---------------------------------------------------------------
The Italian Constitutional Court -- Corte Costituzionale della
Republica Italiana -- has reconfirmed the legitimacy of a
clawback action filed by Parmalat S.p.A. against Banca Agricola
Mantovana S.p.A. and Banca Popolare di Milano Scrl, various
reports say.

The banks had appealed against a previous Court decision
confirming the constitutionality of the claims, arguing that the
actions are illegal because the money would benefit Parmalat and
not its original creditors, Bloomberg News reports.

The Court, however, rejected the appeals, saying that clawback
actions can be filed when a company is restructuring, AFX News
relates.

Similar cases were filed before the Court, questioning the
legitimacy of the Marzano Bankruptcy Law in Parmalat's case
because it came into effect after the company's bankruptcy.  The
law, passed in December 2003 to manage the food group's
collapse, permits Parmalat to recover payments made in the year
before its insolvency.

Enrico Bondi, Parmalat Chief Executive, has filed damage claims
and clawback actions in the U.S. and Italy to recover around
EUR13.2 billion from banks, auditors and advisers who allegedly
abetted the company's collapse in December 2003.

                       About Parmalat

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

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

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

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

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

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




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


EMPRESA DE FERROCARILES: Needs to Privatize Passenger Services
--------------------------------------------------------------
An official at Chilean state-run railway Empresa de Ferrocariles
del Estado's "oversight body" told the local press that the firm
should consider a privatization of passenger services.

Patricio Rojas, the head of Chile's system of state-owned
companies, commented to news daily El Mercurio, "The business
model used by EFE so far has been exhausted, and a major change
of course is needed."

El Mercurio notes that Mr. Rojas met with legislators probing
Empresa de Ferrocariles' mismanagement.

Dow Jones Newswires relates that under the previous
administration, Empresa de Ferrocariles had a major expansion
program, including the upgrade of local railways in Valparaiso
and Vina del Mar.  The company also worked on the relaunch of
rail services from Santiago to Puerto Montt.  However, the
service was suspended due to technical and administrative
problems and financial losses.

The state should handle rail infrastructure, but private-sector
firms would probably do better in running passenger services.  
Government subsidies would likely be needed to make rail tickets
more accessible, Mr. Rojas told reporters.


LIBERTY GLOBAL: 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
Telecommunications, Media and Technology sectors last week, the
rating agency confirmed its Ba3 Corporate Family Rating for
Liberty Global Inc.

Moody's also assigned a Ba3 probability of default rating to the
company.

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.

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%).

                      About Liberty Global

Headquartered in Englewood, Colorado, Liberty Global Inc. --
http://www.www.lgi.com/-- is an international broadband  
communications provider of video, voice and Internet access
services, with consolidated broadband operations in 19
countries, primarily in Europe, Japan and Chile.

Through its indirect wholly owned subsidiary UGC Europe, Inc.,
and its wholly owned subsidiaries UPC Holding B.V. and Liberty
Global Switzerland, Inc., collectively Europe Broadband, Liberty
Global provides video, voice and Internet access services in 13
European countries.

Through Liberty Global's indirect controlling ownership interest
in Jupiter Telecommunications Co., Ltd., the Company provides
video, voice and Internet access services in Japan.  Through the
Company's indirect 80%-owned subsidiary VTR GlobalCom, S.A., it
provides video, voice and Internet access services in Chile.

                        *     *     *

As reported on April 2, Standard & Poor's Ratings Services
revised its outlook on international cable TV and broadband
provider Liberty Global Inc. to positive from stable.

The outlooks on related entities in the LGI group, including UPC
Broadband Holding and VTR GlobalCom S.A., were also revised to
positive from stable.  The ratings on LGI and its related
entities, including the 'B' long-term corporate credit rating on
LGI, were affirmed.


NORSKE SKOGINDUSTRIER: 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 Ba1 Corporate Family Rating for Norske
Skogindustrier ASA.

Moody's also assigned a Ba1 Probability-of-Default rating to the
company.

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.

                                                      Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   --------
   6.125% Senior Unsecured
   Regular Bond/Debenture
   Due 2015                Ba1      Ba1      LGD4     55%

   7.125% Senior Unsecured
   Regular Bond/Debenture
   Due 2033                Ba1      Ba1      LGD4     55%

   US$600-million 7.625%
   Sr. Unsecured Regular
   Bond/Debenture
   Due 2011                Ba1      Ba1      LGD4     55%

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 Lysaker, Norway, Norske Skogindustrier ASA --
http://www.norskeskog.com/-- manufactures paper and pulp.  It  
produces long and short fiber sulphate pulp, newsprint, bleached
Kraft paper and others.  The Company owns and operates paper
mills in Europe, Asia, Australia, Africa and North and South
America.  Norske has posted three consecutive annual net losses
of EUR116.3 million in 2004, EUR315.4 million in 2003, and
EUR849 million in 2002.  It has paper mills in Chile and Brazil.




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


BANCOLOMBIA SA: Earns COP111.3 Billion in March 2007
----------------------------------------------------
Bancolombia reported unconsolidated net income of COP111,323
million during the past month of March.

During March, total net interest income, including investment
securities amounted to COP150,128 million.  Additionally, total
net fees and income from services totaled in the month COP50,873
million.

Total assets amounted to COP27.71 trillion, total deposits
totaled COP18.89 trillion and the company's total shareholders'
equity amounted to COP3.13 trillion.

Bancolombia's (unconsolidated) level of past due loans as a
percentage of total loans was 2.86% as of March 31, 2007, and
the level of allowance for past due loans was 126.39%.

Dividend income amounted to COP66,544 for the month of March.

                        Market Share

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

   * 18.4% of total deposits,
   * 19.9% of total net loans,
   * 19.5% of total savings accounts,
   * 21.0% of total checking accounts and
   * 13.2% of total time deposits.

                      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'.


BANCOLOMBIA SA: Moody's Affirms Ba3/Not Prime Deposit Ratings
-------------------------------------------------------------
Moody's Investors Service affirmed Bancolombia S.A.'s long- and
short-term foreign currency deposit ratings of Ba3/Not Prime.  
Moody's also assigned to Bancolombia ratings on its long- and
short-term global local-currency deposits of Baa1 and Prime -2,
respectively.  The ratings are under review for possible
downgrade, in line with the review for possible downgrade of
Bancolombia's D+ bank financial strength rating or BFSR.

Moody's noted that the Baa1 global local-currency rating
reflects Bancolombia's dominant share of 18% of the nation's
retail deposits, and its established business franchise.  
Bancolombia has a particularly strong retail presence, as well
as broad customer and product bases, which contribute to its
recurrent earnings generation.  The Baa1 rating incorporates
Moody's view that Bancolombia's systemic importance is such that
it would be eligible to receive systemic support in a stress
situation.

Moody's BFSR for Bancolombia was first placed under review for
possible downgrade on Dec. 28, 2006, following the announcement
of the bank's leveraged acquisition of a controlling stake in
Banco Agricola S.A. of El Salvador.  The review is focused on
the potential impact of this acquisition on Bancolombia's
tangible common equity.

These ratings were affirmed:

   -- Long-term foreign currency deposit
      rating of Ba3/Not Prime

   -- Short-term foreign currency deposit
      rating of Ba3/Not Prime

These ratings were assigned to Bancolombia S.A.:

   -- Global local-currency deposits, long term: Baa1

   -- Global local-currency deposits, short term: Prime 2,
      both on review for possible downgrade

This rating remains on review for possible downgrade:

   -- Bank financial strength rating: D+

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.


SUN MICROSYSTEMS: Will Acquire SavaJe Technologies IP Assets
------------------------------------------------------------
Sun Microsystems, Inc. and SavaJe Technologies have entered into
a definitive agreement pursuant to which Sun will acquire
SavaJe's intellectual property assets.  Additional information
regarding the acquisition of these assets will be unveiled at
the annual JavaOne Conference being held in San Francisco on  
May 8 to May 11, 2007.

For more information about the JavaOne conference, visit
http://java.sun.com/javaone/ The transaction is subject to  
customary closing conditions and is expected to be completed
during the fourth quarter of Sun's 2007 fiscal year which began
on April 2, 2007.  The terms of the deal were not disclosed as
the transaction is immaterial to Sun's earnings per share.

                   About Sun Microsystems

Headquartered in Santa Clara, California, Sun Microsystems Inc.
(Nasdaq: SUNW) -- http://www.sun.com/-- provides network  
computing infrastructure solutions that include computer
systems, data management, support services and client solutions
and educational services.  It sells networking solutions,
including products and services, in most major markets worldwide
through a combination of direct and indirect channels.

Sun Microsystems conducts business in 100 countries around the
globe, including Latin America: Chile, Colombia, Brazil,
Argentina, Mexico and Venezuela.

                        *     *     *

As reported on Oct. 26, 2006, Moody's Investors Service
confirmed its Ba1 Corporate Family Rating for Sun Microsystems
Inc. in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the U.S. Technology Hardware
sector.

Sun Microsystems, Inc.'s 7-1/2% Senior Notes due Aug. 15, 2006,
and 7.65% Senior Notes due Aug. 15, 2009, carry Moody's
Investors Service's Ba1 rating and Standard & Poor's BB+ rating.




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


AMERICAN AIRLINES: Files for Approval to Operate New Routes
-----------------------------------------------------------
American Airlines, Inc., told Dominican Today that it has
requested the Dominican Civil Aviation Board licenses to operate
new routes in the Dominican Republic, from the international
airports Las Americas and El Catey, in Samana.

Dominican Today underscores that the request for licenses
corresponds to these new routes:

          -- San Juan, Puerto Rico-Samana;
          -- Santo Domingo-Port Prince;
          -- Santo Domingo-Curacao; and
          -- Santo Domingo-Caracas.

American Airlines' affiliate American Eagle will operate the new
routes, which are part of the former's expansion plans,
Dominican Today notes, citing Eduardo del Pozo, directorate for
the Dominican Republic.  

Once the permits are approved, American Airlines will launch the
new routes on July 1, Mr. del Pozo told Dominican Today.

Mr. del Pozo told Dominican Today that the request for licenses
shows American Airlines' trust in the Dominican Republic's
stability and in its present and future potential, as part of
the possibilities that the Dominican Republic-Central America
Free Trade agreement with the United States offers.

The authorization of the permits would mean a considerable boost
in the frequency of American Airlines flights, Dominican Today
states, citing Mr. del Pozo.  The new routes would significantly
support the nation's tourism development plans, through American
Airline's over 30-year commitment with the Dominican Republic.  
The new flight frequencies will bring in about 150,000 travelers
to the Dominican Republic in the first year of operation.

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.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 12, 2007, Standard & Poor's Ratings Services affirmed its
ratings on American Airlines Inc. (B/Positive/--) and parent AMR
Corp. (B/Positive/B-2).  S&P said the rating outlook was revised
to positive from stable.


BANCO INTERCONTINENTAL: Pays Ex-Colonel's Credit Card Expenses
--------------------------------------------------------------
Banco Intercontinental paid the expenses from the four credit
cards of Pedro Julio (Pepe) Goico -- a retired colonel and the
head of former Dominican Republic president Hipolito Mejia's
security -- every month, Dominican Today reports, citing Zunilda
Paniagua, a member of the Banco Intercontinental Liquidator
Commission who testified before the National District 1st
Collegiate Court of the Dominican Republic in favor of the
prosecution.

Ms. Paniagua told Dominican Today that Banco Intercontinental's
registries showed that the bank paid for the credit cards every
month.  The cards' transactions were US$2.3 million and DOP4
million from 2000 to 2002.  The first card was issued in 1997.

As reported in the Troubled Company Reporter-Latin America on
April 13, 2007, Ms. Paniagua mentioned a letter that former  
Banco Intercontinental head Ramon Baez Figueroa sent Jose Miguel  
Soto Jimenez -- who was the Armed Forces Minister -- regarding  
the start of a probe into alleged irregularities in the bank  
with the issuing of a credit card to former army colonel Pedro  
Julio (Pepe) Goico.

The investigation on the origins of the payments to cancel their
monthly balances is still ongoing, Dominican Today notes, citing
Ms. Paniagua.

According to Dominican Today, Ms. Paniagua described the return
of the savings to Banco Intercontinental's depositors on the
part of the Dominican central bank, which disbursed DOP55
billion, affirming that that measure was needed; otherwise, the
Dominican banking system could have been affected before
"nervous attitude" of Banco Intercontinental's clients.

Dominican Today underscores that Juarez Castillo, Mr. Figueroa's
lawyer, challenged Ms. Paniagua with a letter, introduced as
evidence, that referred to a sentence ordering a DOP551-million
payment through investment certificates from the central bank to
Guaroa Liranzo, who was Banco Intercontinental's treasurer at
the time of the intervention.

Jose Lois Malkun, the central bank governor during the
intervention of Banco Intercontinental, declined to make cash
payments on Mr. Liranzo's deposits.  A legal process then
started that ended with the ordering of the payment, Dominican
Today says, citing Ms. Paniagua.  

Ms. Paniagua admitted that she didn't remember if the payment
was finally authorized, Dominican Today states.

Banco Intercontinental aka Baninter collapsed in 2003 as a
result of a massive fraud that drained it of about US$657
million in funds.  As a consequence, all of its branches were
closed.  The bank's current and savings accounts holders were
transferred to the bank's new owner -- Scotiabank.  The
bankruptcy of Baninter was considered the largest in world
history, in relation to the Dominican Republic's Gross Domestic
Product.  It cost Dominican taxpayers DOP55 billion and resulted
to the country's worst economic crisis.


JETBLUE AIRWAYS: Names Jim Hnat as Executive Vice President
-----------------------------------------------------------
JetBlue Airways has appointed Jim Hnat to the position of
Corporate Secretary and Executive Vice President, Corporate
Affairs, and the streamlining of the company's reporting
structure.

Mr. Hnat joined JetBlue Airways in June 2001, and was named
General Counsel in February 2003.  Mr. Hnat retains the
responsibilities of General Counsel and will now lead JetBlue's
Corporate Affairs, which includes:

   * Corporate Communications;
   * Government Affairs;
   * Internal Audit and Compliance;
   * People; and
   * Legal.

Mr. Hnat has also been appointed the company's Corporate
Secretary.

"Jim has brought excellent leadership to our airline and he has
played an integral part in the development and growth of the
company," said David Neeleman, JetBlue's Founder and CEO.  "His
guidance and strategic thinking in this position will play a key
role in the future success of JetBlue."

               Streamlined Reporting Structure

In addition to the Corporate Affairs team, the following leaders
will report to the Office of the Chief Executive Officer, Mr.
Neeleman and Dave Barger, President:

Russ Chew, who joined the airline March 2007 as Chief Operating
Officer, is responsible for the airline's operational strategy
and execution.  The following teams report to Mr. Chew:

   * Airports;
   * Crew Services;
   * Flight Operations;
   * Inflight;
   * JetBlue U, the airline's learning organization;
   * Operational Planning;
   * Safety;
   * Security;
   * System Operations; and
   * Technical Operations.

John Harvey joined JetBlue in 1999 as Treasurer and was named
Chief Financial Officer in May 2006. In addition to his duties
as CFO, Mr. Harvey has been named Executive Vice President-
Corporate Services.  The following teams report to Mr. Harvey:

   * Aircraft Programs & Treasury;
   * Corporate Real Estate;
   * Finance (Accounting and Financial Planning & Analysis);
   * Information Technology; Investor Relations; and
   * Supply Chain & Fuel.

Trey Urbahn, who joined the airline November 2006 as Chief
Revenue Officer, is responsible for the airline's product
development and sales.  The following teams report to Mr.
Urbahn:

   * Business Development;
   * Marketing;
   * Network Planning;
   * Reservations;
   * Revenue Management; and
   * Sales.

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.


* DOMINICAN REPUBLIC: To Issue DOP320-Billion of 10-Year Bonds
--------------------------------------------------------------
Dominican Today reports that the bill on the recapitalization of
the Dominican Republic's central bank authorizes the government
to issue up to DOP320 billion in 10-year internal bonds.

According to Dominican Today, the bonds could be traded in the
stock market.

Dominican Today underscores that the Dominican Republic
President Leonel Fernandez sent a letter to the Lower Chamber
saying, "Under no concept will they [bonds] be used for the
substitution of certificates of the holders of issues of the
central bank."

However, the bill doesn't state that specification, Dominican
Today notes.  The bill says that the bonds will have the "future
negotiability option in the secondary bond market and which will
enjoy the regime fiscal of exemptions."  

Dominican Today relates that the issues will be made yearly from
2007 to 2016.  The first will be of sufficient amount to
generate interests of up to DOP5.8 billion -- 0.5% of the Gross
Domestic Product -- that will be transferred to the central bank
in 2007 to cover part of its quasi-fiscal deficit.  The second
issue will have interest of 0.6% of the GDP the next year, while
the third of 0.7% and so on until the 10th year when the
government's revenue in interests reaches 1.4% of the GDP in
2016.

The Ministry of the Hacienda will be in charge of each bond
issuance, Dominican Today states.  

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 28, 2006, Fitch Ratings revised the Rating Outlook on the
Dominican Republic's foreign currency and local currency Issuer
Default ratings to Positive from Stable.  Fitch also affirmed
both IDRs at 'B'.




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


GRAHAM PACKAGING: Dec. 31 Balance Sheet Upside-Down by US$597.8M
----------------------------------------------------------------
Graham Packaging Company, LP's posted total stockholders'
deficit of US$597.8 million, resulting from total assets of
US$2.4 billion and total liabilities of US$3 billion as of
Dec. 31, 2006.

General partners' deficit in 2006 was US$31 million, up from
US$25 million a year ago.  Limited partners' deficit in 2006 was
US$595.1 million, up from US$478.5 million a year ago.

For the year ended Dec. 31, 2006, the company recorded a net
loss of US$120.4 million on net sales of US$2.5 billion, as
compared with a net loss of US$52.6 million on net sales of
US$2.5 billion for the year ended Dec. 31, 2006.   Net sales in
2006 increased by US$47.5 million from net sales in 2005.

Gross profit for the year ended Dec. 31, 2006, decreased to
US$287.5 million from US$295.5 million for the year ended
Dec. 31, 2005.  Selling, general and administrative expenses for
the year 2006 increased to US$131.4 million from US$127.5
million for the year 2005.   Impairment charges were US$25.9
million for the year ended Dec. 31, 2006, as compared with
US$7.3 million for the year ended Dec. 31, 2005.  Interest
expense, net increased to US$207 million for the year ended
Dec. 31, 2006, from US$184.4 million for the year ended
Dec. 31, 2005.  Other expense, net increased to US$2.2 million
for the year 2006 from US$200,000 for the year 2005, primarily
due to higher foreign exchange losses.  Income tax provision
increased to US$27.6 million for the year ended Dec. 31, 2006,
from US$14.4 million for the year ended Dec. 31, 2005.

               Liquidity and Capital Resources

In 2006, 2005 and 2004, the company generated US$490.4 million
of cash from operations and US$1.4 billion from increased debt.  
This US$1.9 billion was primarily used to fund US$565.5 million
of net cash paid for property, plant and equipment, US$1.3
billion of investments and US$81.5 million of debt issuance fee
payments.

Working capital, defined as current assets less current
liabilities, decreased US$108.6 million in 2006, primarily due
to a decrease in inventories of US$48.9 million.

The company's Credit Agreement currently consists of a senior
secured B Loan to the Graham Packaging Holdings I LP, the
operating company, totaling US$1.9 billion and a Revolving
Credit Facility to the Operating Company totaling US$250
million.  The Acquisition and refinancing of substantially all
of the company's prior debt included the issuance of US$250
million of Senior Notes due 2012 and the issuance of US$375
million of Senior Subordinated Notes due 2014.  At Dec. 31,
2006, the company's total debt was US$2.5 billion.  Its unused
lines of credit at Dec. 31, 2006, and 2005 were US$196.2 million
and US$61.8 million, respectively.

A full-text copy of the company's annual report is available for
free at http://ResearchArchives.com/t/s?1d0c

                    About Graham Packaging

Headquartered in York, Pennsylvania, Graham Packaging Co. Inc.
-- http://www.grahampackaging.com/-- designs, manufactures and   
sells technology-based, customized blow-molded plastic
containers for the branded food and beverage, household,
personal care/specialty, and automotive lubricants product
categories.  The Company currently operates 88 plants worldwide.
In Latin America, the company has operations in Argentina,
Brazil, Ecuador, Mexico and Venezuela.  The Blackstone Group of
New York is the majority owner of Graham Packaging.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 10, 2007, Fitch Ratings has downgraded Graham Packaging
Company, L.P.'s senior secured first-lien credit facility to
'B/RR3' from 'B+/RR2'.  Ratings on the senior secured second-
lien facility were withdrawn.  In addition, Fitch affirmed the
following ratings on Graham Packaging and its subsidiary GPC
Capital Corp. I:

   -- Issuer default rating (IDR) 'B-';
   -- Senior unsecured notes 'CCC+/RR5';
   -- Senior subordinated notes 'CCC/RR6'.

Fitch said the rating outlook is stable.  Approximately US$2.5
billion of debt is covered by the ratings.




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


ALCATEL-LUCENT: Unveils Adjusted Quarterly Figures for 2006
-----------------------------------------------------------
Alcatel-Lucent has provided 2006 quarterly unaudited adjusted
pro forma revenues and operating income (loss) for its three
operating segments: Carrier, Enterprise, and Services.

In addition, the company presented quarterly revenues for the
business groups comprising its Carrier operating segment: the
Wireline Business Group, the Wireless Business Group, and the
Convergence Business Group.

Adjusted pro-forma results include combined operations for
Alcatel-Lucent for the twelve-month period ended Dec. 31, 2006.  
Businesses to be contributed to Thales are presented as
discontinued activities.  Results from Nortel's UMTS radio
access business are not included as the transaction was
completed on Dec. 31, 2006.  In addition, these results exclude
any impact from purchase price allocation entries.

These estimated results are presented for illustrative purposes
only and are neither indicative of the revenues and operating
income (loss) that would have been achieved had the merger been
completed on Jan. 1, 2006, nor reflect the cost savings which
may result from the merger.

(in Euro millions)     Q1      Q2      Q3      Q4      12M

Revenues               4,433   4,491   4,909   4,421   18,254
   Carriers            3,340   3,367   3,706   3,198   13,611
    - Wireline         1,342   1,459   1,447   1,454    5,702
    - Wireless         1,495   1,397   1,674   1,249    5,815
    - Convergence        503     511     585     495    2,094
   Enterprise            342     368     362     419    1,491
   Services              674     700     775     819    2,968
   Other & eliminations   77      56      66     (15)     184

Operating income         246     252     430      (3)     925
   Carriers              260     224     389     (75)     798
   Enterprise             24      28      24      50      126
   Services              (10)     35      60      35      120
   Other & eliminations  (28)    (35)    (43)    (13)    (119)

The first quarter 2007 earnings will be released on May 11.

                    About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent
-- http://www.alcatel-lucent.com/-- provides solutions that   
enable service providers, enterprises and governments worldwide
to deliver voice, data and video communication services to end
users.  

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

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

                        *     *     *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the existing non-financial speculative-grade
corporate issuers in Europe, Middle East and Africa last week,
the rating agency confirmed its Ba3 Corporate Family Rating for
Alcatel-Lucent.  

The implementation of the LGD methodology in EMEA follows the
introduction of the methodology in September 2006.  Most of the
rating actions Moody's confirmed relate to senior secured loans.

* Issuer: Alcatel-Lucent
                                                      Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   Senior Unsecured Bank
   Credit Facility          Ba2      Ba2      LGD3     46%

   4.75% Senior Unsecured
   Conv./Exch. Bond/
   Debenture Due 2011       Ba2      Ba2      LGD3     46%

   US$1.5-billion Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2        LGD3   46%

   EUR5-billion Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2        LGD3   46%

   6.375% Senior Unsecured
   Regular Bond/Debenture
   Due 2014                 Ba2      Ba2        LGD3   46%

   US$500-million Senior
   Unsecured Regular Bond/
   Debenture Due 2010       Ba2      Ba2        LGD3   46%

   EUR1-billion 4.375% Senior
   Unsecured Regular Bond/
   Debenture Due 2009       Ba2      Ba2        LGD3   46%

   EUR120-million 4.375%
   Senior Unsecured Regular
   Bond/Debenture Due 2009  Ba2      Ba2        LGD3   46%

* Issuer: Lucent Technologies Capital Trust I
                                                       Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   US$1750-million 7.75%
   Preferred
   Stock Due 2017           B2       B1       LGD6     94%

* Issuer: Lucent Technologies Inc.

                                                       Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   US$1.75-billion Multiple
   Seniority Shelf,
   subordinated,           (P)B2     (P)B1    LGD6     94%

   US$1.75-billion Multiple
   Seniority Shelf
   regular/junior
   preferred stock         (P)B3     (P)B1    LGD6     97%

   US$1.75-billion Multiple
   Seniority Shelf, senior
   unsecured               (P)Ba3    (P)Ba2   LGD3     46%

   8% Subordinate
   Conv./Exch. Bond/
   Debenture Due 2031      B2        B1       LGD6     94%

   2.75% Senior Unsecured
   Conv./Exch. Bond/
   Debenture Due 2023      Ba3       Ba2      LGD3     46%

   2.75% Senior Unsecured
   Conv./Exch. Bond/
   Debenture Due 2025      Ba3       Ba2      LGD3     46%

   US$300-million 6.5%
   Senior Unsecured
   Regular Bond/
   Debenture Due 2028      Ba3       Ba2      LGD3     46%

   US$500-million 5.5%
   Senior Unsecured
   Regular Bond/
   Debenture Due 2008      Ba3       Ba2      LGD3     46%

   US$1.36-billion 6.45%
   Senior Unsecured
   Regular Bond/
   Debenture Due 2029      Ba3       Ba2      LGD3     46%

As of Feb. 7, 2007, Alcatel-Lucent's Long-Term Corporate Credit
rating and Senior Unsecured Debt carry Standard & Poor's BB
rating.  It's Short-Term Corporate Credit rating stands at B.

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


ALCATEL-LUCENT: Completes Gazprom Neft Network Project
------------------------------------------------------
Alcatel-Lucent has completed the project with OAO Gazprom Neft,
Russia's fastest-growing oil company, for the transformation of
its corporate network at its oil-processing factory in the city
of Omsk.  

Through the implementation of this new network, Gazprom Neft is
focused on improving employee productivity and increasing the
reliability of its communications capabilities.

Gazprom Neft chose Alcatel-Lucent to deliver a state-of-the-art
IP communication solution which will provide IP telephony to
more than 3,000 employees of the oil processing factory. Based
on the Alcatel-Lucent OmniPCX Enterprise IP telephony platform,
the solution includes Alcatel-Lucent's newest VoIP handsets.  
All nodes of the network are interconnected to ensure a feature
rich environment and to unite existing systems into a single,
integrated enterprise communication platform.  Alcatel-Lucent
also delivered Alcatel-Lucent IP Touch phones, which provide
advanced capabilities to increase employee productivity,
including "dial-by-name," call forwarding for mobility, and
other advanced communications applications.

"We made our choice in favor of the Alcatel-Lucent solution due
to its flexibility and high reliability. It improves employee
productivity by delivering advanced communications services,
while minimizing downtime," Constantin Yurganov, Gazprom Neft
Head of Information technologies, said.  "The new solution will
allow our staff to communicate more effectively, while improving
overall productivity."

"We are very honored to work with Gazprom Neft on this network
transformation project," Ivan Makharine, Director of Alcatel-
Lucent enterprise activities in CIS, said.  "Gazprom Neft is a
perfect example of a forward-thinking corporation, investing in
a future-proof IP based solution that was designed to fully meet
their requirements."

Implementation of this project will enable Gazprom Neft to
significantly enhance the organization's operating efficiency
and raise levels of quality and employee performance.

                     About Gazprom Neft

Headquartered in Moscow, Russia, OAO Gazprom Neft --
http://www.gazprom-neft.ru/-- explores, produces, refines,    
markets, produces and sells petroleum products.  The Company
holds oilfield exploration and development licenses in the
Yamal-Nenets and Khanti-Mansiisk autonomous regions, as well as
in the Omsk and Tomsk regions, and in Chukotka.  The Company's
main oil processing center is the Omsk Refinery.

                     About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent
-- http://www.alcatel-lucent.com/-- provides solutions that   
enable service providers, enterprises and governments worldwide
to deliver voice, data and video communication services to end
users.  

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

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

                        *     *     *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the existing non-financial speculative-grade
corporate issuers in Europe, Middle East and Africa last week,
the rating agency confirmed its Ba3 Corporate Family Rating for
Alcatel-Lucent.  

The implementation of the LGD methodology in EMEA follows the
introduction of the methodology in September 2006.  Most of the
rating actions Moody's confirmed relate to senior secured loans.

* Issuer: Alcatel-Lucent
                                                      Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   Senior Unsecured Bank
   Credit Facility          Ba2      Ba2      LGD3     46%

   4.75% Senior Unsecured
   Conv./Exch. Bond/
   Debenture Due 2011       Ba2      Ba2      LGD3     46%

   US$1.5-billion Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2        LGD3   46%

   EUR5-billion Senior
   Unsecured Medium-Term
   Note Program             Ba2      Ba2        LGD3   46%

   6.375% Senior Unsecured
   Regular Bond/Debenture
   Due 2014                 Ba2      Ba2        LGD3   46%

   US$500-million Senior
   Unsecured Regular Bond/
   Debenture Due 2010       Ba2      Ba2        LGD3   46%

   EUR1-billion 4.375% Senior
   Unsecured Regular Bond/
   Debenture Due 2009       Ba2      Ba2        LGD3   46%

   EUR120-million 4.375%
   Senior Unsecured Regular
   Bond/Debenture Due 2009  Ba2      Ba2        LGD3   46%

* Issuer: Lucent Technologies Capital Trust I
                                                       Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   US$1750-million 7.75%
   Preferred
   Stock Due 2017           B2       B1       LGD6     94%

* Issuer: Lucent Technologies Inc.

                                                       Projected
                           Old POD  New POD  LGD      Loss-Given
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   US$1.75-billion Multiple
   Seniority Shelf,
   subordinated,           (P)B2     (P)B1    LGD6     94%

   US$1.75-billion Multiple
   Seniority Shelf
   regular/junior
   preferred stock         (P)B3     (P)B1    LGD6     97%

   US$1.75-billion Multiple
   Seniority Shelf, senior
   unsecured               (P)Ba3    (P)Ba2   LGD3     46%

   8% Subordinate
   Conv./Exch. Bond/
   Debenture Due 2031      B2        B1       LGD6     94%

   2.75% Senior Unsecured
   Conv./Exch. Bond/
   Debenture Due 2023      Ba3       Ba2      LGD3     46%

   2.75% Senior Unsecured
   Conv./Exch. Bond/
   Debenture Due 2025      Ba3       Ba2      LGD3     46%

   US$300-million 6.5%
   Senior Unsecured
   Regular Bond/
   Debenture Due 2028      Ba3       Ba2      LGD3     46%

   US$500-million 5.5%
   Senior Unsecured
   Regular Bond/
   Debenture Due 2008      Ba3       Ba2      LGD3     46%

   US$1.36-billion 6.45%
   Senior Unsecured
   Regular Bond/
   Debenture Due 2029      Ba3       Ba2      LGD3     46%

As of Feb. 7, 2007, Alcatel-Lucent's Long-Term Corporate Credit
rating and Senior Unsecured Debt carry Standard & Poor's BB
rating.  It's Short-Term Corporate Credit rating stands at B.

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


DIGICEL GROUP: Launches US$150-Mil. Mobile Deal in El Salvador
--------------------------------------------------------------
Digicel Group is offering mobile services in El Salvador under
the Digicel brand name.

Delivering the most modern GSM network in the country with the
most extensive national network coverage, Digicel will reach
communities that have been previously underserved by the
incumbents -- offering 95 percent population coverage, high
value offers and innovative mobile services such as true per
second billing.  El Salvador has a population of 7 million
people with mobile penetration at approximately 33%.  The
country's mobile market continues to enjoy sustained growth with
mobile phones overtaking fixed lines service in 2002.

Digicel El Salvador CEO, Luis La Rocca, stands before the
network coverage map for Digicel El Salvador.  Digicel has
launched with a committed investment of US$150 million
delivering the most extensive and most modern network in the
country.  "We are delighted to be in El Salvador and very
optimistic about the future potential for growth in this
market," said Digicel Group Chairman Denis O'Brien. "El Salvador
is a very exciting marketplace for Digicel with low penetration,
a young population and a buoyant economy.  We look forward to
growing our operation and bringing the best quality service to
the people of El Salvador."

Digicel first entered the El Salvador market through its
acquisition of Digicel Holdings Ltd last year and the company's
initial commitment of more than US$150 million is focused on
expanding and upgrading the network to reach Digicel's standard
of signature quality, reach and reliability -- all of which are
underpinned by world-class 24/7 customer care, a national
network of more than 500 retail distributors and in excess of
6,000 recharge outlets.

According to the Minister of Telecommunications and Electricity
for El Salvador, Fernando Arguello, "The launch of Digicel in El
Salvador is a significant development for our mobile
telecommunications market.  Digicel brings an excellent track
record for service and innovation from their experience in the
Caribbean market, which can only contribute greatly to the
competitiveness of the sector and offer better choice and value
for the people of El Salvador."

Built with the most cutting-edge Ericsson equipment, Digicel is
standing behind the quality and reach of its El Salvador network
by initially offering customers a full refund of charges if they
cannot access mobile service where they reside.

Digicel El Salvador has doubled its well-trained workforce to
more than 300 employees led by CEO Luis La Rocca, who has 30
years senior management experience in the Latin American
telecommunications industry.

With operations in 22 markets and more than 4 million customers,
Digicel's investment in the Caribbean and Central American
region exceeds US$1.5 billion.  In 2006, the company recorded a
milestone of subscriber growth in excess of 100 percent. Digicel
currently employs more than 3,000 people.

Digicel Group Limited -- http://www.digicelgroup.com/-- is a     
wireless services provider in the Caribbean region.  The company
is a newly created Bermuda incorporated company formed by Mr.
Denis O'Brien, who previously owned 78% of the shares of Digicel
Limited on a fully diluted basis.  The company started
operations in Jamaica in April 2001 and now offers GSM mobile
services in 22 markets primarily in the Caribbean including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Cayman, Curacao, Martinique, Guadeloupe, Trinidad and Tobago and
Haiti among others.

As reported in the Troubled Company Reporter-Latin America on
Feb. 20, 2007, Fitch Ratings took these rating actions for
Digicel Group Ltd., Digicel Ltd. and Digicel International
Finance Ltd.:

Digicel Group Ltd.

   -- US$1.4 billion senior subordinated notes due 2015
      assigned 'CCC+/RR5'

Digicel Ltd.

   -- Foreign currency Issuer Default Rating downgraded
      to 'B-' from 'B'; and

   -- US$450 million senior notes due 2012 downgraded
      to 'B-/RR4' from'B/RR4'.

Digicel International Finance Ltd.

   --US$850 million senior secured credit facility
     assigned 'B/RR3'.

Fitch said the outlook on all ratings was stable.




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


IMAX CORP: Provides Status Update on Delayed Filing
---------------------------------------------------
IMAX Corporation has provided a status update pursuant to the
alternative information guidelines of the Ontario Securities
Commission.  These guidelines contemplate that the company will
normally provide bi-weekly updates on its affairs until such
time as the company is current with its filing obligations under
applicable Canadian provincial securities laws.

Except as to the matters described in the company's press
releases of April 3, 2007, April 5, 2007, and April 9, 2007, the
company reported that there had been no material developments in
the matters reported in the company's press release "IMAX to
Delay Filing of 2006 10-K" dated March 29, 2007.

The company previously said that it would delay the filing of
its annual report on Form 10-K for fiscal 2006 due to the
discovery of certain accounting errors and has since broadened
its accounting review to include certain other accounting
matters based on comments received by the Company from the SEC
and Ontario Securities Commission.  The company is currently
working diligently and devoting necessary resources to complete
the report and filing as soon as practicable.  For the reasons
described in its prior news releases, the company cannot predict
when it will complete its review and file its financial
statements, although it intends to do so as soon as practicable.

The statements set forth in this press release are preliminary,
reflect information currently known to the company and are
subject to change as a result of the accounting review and
restatement process, subsequent events and the completion of the
audit of the financial statements by the company's independent
auditors, PricewaterhouseCoopers, LLP.

The Company's next bi-weekly status update is expected to be
released during the week of April 23, 2007.

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

                        *     *     *

As reported in the Troubled Company Reporter on April 03, 2007,
Moody's Investors Service placed the ratings of IMAX Corp.
on review for downgrade based on the company's disclosure on
March 29, 2007 that it would further delay filing of its Form
10-K for fiscal 2006, resulting in a technical default under the
financial reporting covenant within the indentures of its senior
notes.

These are the rating actions:

   * IMAX Corporation

      -- Corporate family rating, placed on review for possible
         downgrade, currently B3

      -- Probability of default rating, placed on review for
         possible downgrade, currently B3

      -- Senior unsecured bonds, placed on review for possible
         downgrade, currently Caa1

      -- Outlook, changed to rating under review from stable.




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


BALLY TOTAL: Gets Forbearance Pact from Senior Secured Lenders
--------------------------------------------------------------
Bally Total Fitness reported that it has obtained a forbearance
agreement from the lenders under its US$284 million senior
secured credit facility.  Under the agreement, the lenders have
agreed, among other things, to forbear from exercising any
remedies under their credit agreement as a result of defaults
due to the company's inability to provide audited financial
statements for the fiscal year ended Dec. 31, 2006, and certain
other financial information to the lenders.  The lenders have
also agreed not to exercise cross-default remedies as a result
of defaults under the company's public indentures due to the
company's previously disclosed inability to timely file its 2006
Annual Report on Form 10-K with the Securities and Exchange
Commission and the company's non-payment of interest on its
9-7/8% Senior Subordinated Notes due 2007.

The forbearance period expires on July 13, 2007, but could
expire earlier if enforcement action is taken by any holder of
the company's 10-1/2% Senior Notes due 2011 or Senior
Subordinated Notes, or if the Company pays any principal or
interest on the Senior Subordinated Notes.  Among other
considerations, including this provision of the forbearance
agreement, the scheduled interest payment of approximately US$15
million due on the Senior Subordinated Notes on April 16, 2007,
will not be paid.  The forbearance agreement also requires that
the company enter into forbearance agreements with respect to
defaults under its public indentures with holders of at least a
majority of the Senior Notes and at least 75% of the Senior
Subordinated Notes by no later than May 14, 2007.  A copy of the
forbearance agreement will be filed as an exhibit to a Current
Report on Form 8-K that the Company will file with the SEC.

Bally also announced that it is in continued discussions
regarding waiver and forbearance arrangements with holders of
its Senior Notes and Senior Subordinated Notes.  The company has
been advised that certain holders of both series of notes have
formed an Ad Hoc Committee and retained Houlihan Lokey Howard &
Zukin Capital Inc. as financial advisor and Akin Gump Strauss
Hauer & Feld LLP as counsel.  The company and its advisors have
met with the advisors to the Ad Hoc Committee and with certain
noteholders that have executed confidentiality agreements, and
are discussing the terms of waiver and forbearance arrangements.  
The failure to make the scheduled interest payment on the Senior
Subordinated Notes will be a default under the indenture
governing those notes and a cross-default under the indenture
governing the Senior Notes.  The company is in the process of
requesting that holders of the Senior Subordinated Notes and
Senior Notes waive the indenture financial reporting covenant
defaults discussed above and forbear from exercising any
remedies with respect to the interest payment default until
July 13, 2007.  The company does not intend to pay a fee to the
noteholders in connection with these waiver and forbearance
arrangements.  The US$300 million of outstanding Senior
Subordinated Notes mature in October 2007.

As of April 11, 2007, the company's liquidity was approximately
US$54 million.  The company continues to believe that it has
sufficient liquidity to continue operating its business through
the end of 2007 and into 2008, excluding the potential impact of
the maturity of the Senior Subordinated Notes.

The company is continuing to work diligently to complete its
financial statements for 2006 and file its Annual Report on Form
10-K report for the year ended Dec. 31, 2006.

Don R. Kornstein, Bally's interim Chairman, said, "We greatly
appreciate the support of our senior lenders, since obtaining
their forbearance is an important first step in our effort to
seek a consensual restructuring and deleveraging of Bally's
balance sheet.  We look forward to continuing the discussions
with our noteholders, as well as completing our 2006 financial
statements."

                  About Bally Total Fitness

Based in Chicago, Illinois, Bally Total Fitness Holding Corp.
(NYSE: BFT) -- http://www.Ballyfitness.com/-- is a commercial    
operator of fitness centers in the U.S., with nearly 390
facilities and 30 franchises and joint ventures located in 29
states, Mexico, Canada, Korea, China and the Caribbean.  Bally
also sells Bally-branded apparel, nutritional products, fitness-
related merchandise and its licensed portable exercise equipment
is sold in more than 10,000 retail outlets.

As reported in the Troubled Company Reporter-Latin America on
March 20, 2007, Moody's Investors Service downgraded its
corporate family rating on Bally Total Fitness Holding Corp. to
Caa3 from Caa1.  The rating outlook remains negative.

Moody's also took these actions:

   -- US$235 million 10.5% senior unsecured notes (guaranteed)
      due 2011, downgraded to Caa3 (LGD 4, 51%)
      from Caa1 (LGD 4, 51%)

   -- US$300 million 9.875% senior subordinated notes due 2007,
      downgraded to Ca (LGD 5, 88%) from Caa3 (LGD 5, 88%)

   -- Probability of default rating, downgraded to Caa3
      from Caa1.


BERRY PLASTICS: Completes Stock-for-Stock Merger with Covalence
---------------------------------------------------------------
Berry Plastics Group Inc. and Covalence Specialty Materials
Holding Corp. have completed their reported stock-for-stock
merger.

Berry Plastics appointed Ira Boots as Chairman and Chief
Executive Officer, and Brent Beeler as Chief Operating Officer,
of the combined company.

In addition, Berry Plastics said that Kip Smith, the former
Chief Executive Officer of Covalence, will continue to run the
Covalence businesses.

                       About Covalence

Covalence Specialty Materials Holding Corp. --
http://www.covcorp.com/ -- produces polyethylene-based plastic  
films, industrial tapes, medical specialties, packaging, and
heat-shrinkable coatings.

                     About Berry Plastics

Based in Evansville, Indiana, Berry Plastics Corporation --
http://www.berryplastics.com/-- manufactures and markets rigid  
plastic packaging products.  Berry Plastics provides a wide
range of rigid open top and rigid closed top packaging as well
as comprehensive packaging solutions to over 12,000 customers,
ranging from large multinational corporations to small local
businesses.  The company has 25 manufacturing facilities
worldwide and more than 6,800 employees and 25 manufacturing
facilities in the United States, Mexico, Canada, Europe and
China.

                        *     *     *

Standard & Poor's Ratings Services lowered its corporate credit
rating on Berry Plastics to 'B' from 'B+' following successful
completion of the acquisition of the company by private equity
firms, Apollo Management L.P. and Graham Partners.  Standard &
Poor's removed the ratings from CreditWatch, where they were
placed with negative implications on Aug. 3, 2006.  The outlook
is stable.

Moody's Investors Service confirmed the B3 rating on Berry
Plastics Corp.'s US$335 million 10.75% senior subordinated
notes, due July 15, 2012.


BERRY PLASTICS: Moody's Cuts Corporate Family Rating to B2
----------------------------------------------------------
Moody's Investors Service downgraded the Corporate Family Rating
of Berry Plastics Holdings Corporation to B2.  The outlook is
stable.  

This rating action concludes the review for possible downgrade
initiated on March 13 following the company's announcement that
it had entered into a definitive agreement to merge with
Covalence Specialty Materials Corporation in a stock-for-stock
merger.  The merger was consummated April 3.  Additional
instrument rating actions are detailed below.

The downgrade of Berry's Corporate Family Rating reflects
deterioration in credit metrics, change in operating profile and
integration risk in merging with CSMC.  Pro-forma for the
transaction, Debt to EBITDA is 7.2 times and EBIT to Gross
Interest Expense 0.8 times for the twelve months ended
Dec. 31, 2006.

The difference in product lines and size of CSMC represents a
material change to Berry's operating profile and source of
integration risk.  Required investments for synergies will leave
no free cash flow for debt reduction in the near term and little
cushion for any negative variance.

Strengths in Berry's pro-forma competitive profile include
annual revenue of US$3.1 billion with significant market shares
in several categories.  The merger will also add additional
diversity to Berry's end markets and increased scale.  The
combined organization is also expected to have good liquidity.

The ratings of Berry were downgraded:

   -- Corporate Family Rating, to B2 from B1;

   -- Probability of Default Rating, to B2 from B1;

   -- US$225-million senior secured second lien FRN's due 2014,
      downgraded to B3 (LGD4, 65%) from B2 (LGD4, 62%); and

   -- US$525-million senior secured second lien notes due 2014,
      downgraded to B3 (LGD4, 65%) from B2 (LGD4, 62%).

The ratings of Berry are confirmed and will be withdrawn:

   -- The Ba1 (LGD2, 18%) rated US$200-million senior secured      
      revolver due 2012;

   -- The Ba1 (LGD2, 18%) rated US$675-million senior secured
      first lien term loan B due 2013.

The ratings of Berry assigned March 16 are now effective:

   -- US$1,200-million senior secured term loan, Ba3 (LGD2,
      27%);

   -- Moody's also affirmed the Speculative Grade Liquidity
      Rating of SGL-2.

The rating outlook for Berry is stable.

The ratings of CSMC are confirmed and are to be withdrawn:

   -- The Corporate Family Rating of B1;

   -- The Probability of Default Rating of B1;

   -- The Ba3 (LGD3, 34%) rated US$300-million senior secured
      term loan C due 2013;

   -- The B2 (LGD4, 62%) US$175 million-senior secured second
      lien term loan due 2013; and

   -- The Speculative Grade Liquidity Rating of SGL-2.

The rating of CSMC was downgraded. These notes became
obligations of Berry upon the closing of the merger:

   -- US$265-million senior subordinated notes due 2016,
      downgraded to Caa1 (LGD6, 90%) from B3 (LGD5, 86%).

The ratings and outlook are subject to receipt of final
documentation.

Based in Evansville, Indiana, Berry Plastics Corporation --
http://www.berryplastics.com/-- manufactures and markets rigid  
plastic packaging products.  Berry Plastics provides a wide
range of rigid open top and rigid closed top packaging as well
as comprehensive packaging solutions to over 12,000 customers,
ranging from large multinational corporations to small local
businesses.  The company has 25 manufacturing facilities
worldwide and more than 6,800 employees and 25 manufacturing
facilities in the United States, Mexico, Canada, Europe and
China.  Net sales for the twelve months ended Dec. 30, 2006
amounted to approximately US$1.4 billion.


CABLEMAS SA: Picks ARRIS Technology to Provide VoIP Service
-----------------------------------------------------------
Cablemas SA de CV has again selected the ARRIS C4(R) CMTS and
Touchstone(R) E-MTAs to expand its launch of digital telephony
service as part of its new triple play package.  Cablemas has
previously deployed ARRIS technology to provide VoIP service to
over 30,000 homes in cities including Cuernavaca and Tijuana,
and anticipates launching the service this summer in additional
cities where Cablemas now has franchises.

Cablemas' VoIP service competes with the incumbent national
telco Telmex, and is one of the few MSOs in Mexico currently
offering the triple play package of voice, video and data --
from one central billing location.

"ARRIS offers the right combination of global technical
expertise, scale and support to help ensure the success of our
Digital Telephone service rollout -- today and into the future,"
said Arnoldo Meiselmann, COO of Cablemas.  "In addition, ARRIS
offers a world-class CMTS platform.  We tested a number of
systems and the C4 was unmatched in terms of scalability,
density, RF redundancy and other critical carrier-class
features.  We look forward to leveraging the ARRIS platform to
cost-effectively deliver the next level of Digital Telephone
services to our customers."

"We are delighted to expand our excellent and long-standing
relationship with Cablemas," noted ARRIS Sr. Vice President,
Mexico/Central America Sales George Fletcher.  "Triple play
service deployment with the necessary accompanying quality of
service and availability is rapidly growing in Mexico and
throughout the Latin American market.  ARRIS is committed to
providing the region's cable operators with the best solutions,
service and technical support for which we are known."

                         About ARRIS

Headquartered in Suwanee, Georgia, ARRIS --
http://www.arrisi.com/-- provides broadband local access  
networks with innovative video, high-speed data and telephony
systems for the delivery of voice, video and data to the home
and business. ARRIS complete solutions enhance the reliability
and value of converged services from the network to the
subscriber.  ARRIS has design, engineering, distribution,
service and sales office locations throughout the world.

                       About Cablemas

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

                        *     *      *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2007, Fitch Ratings has affirmed these ratings for
Cablemas with a Stable Rating Outlook:

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


DAMOVO GROUP: In Talks with Noteholders Over Restructuring Deal
---------------------------------------------------------------
Damovo Group S.A. has noted a significant fall in the trading
price of its Notes.  The Company has extended its discussions
with the Ad Hoc Committee of Noteholders in the light of recent
negative developments in its Italian business, Enterprise
Digital Architects S.p.A.  These developments are of a
sufficient materiality to necessitate a delay to the
implementation of the Restructuring process, which was agreed
with Damovo's noteholders in a restructuring agreement dated
Dec. 11, 2006.

The Company is currently reviewing, together with its auditors
PWC, the treatment of certain contract revenues and associated
costs and margins in the historic financial statements of EDA.  
While any resulting restatement of such financial statements may
not, of itself, have an immediate negative effect on the cash
flows of EDA, any adjustments considered prudent as a result of
the review may have the effect of reducing the net asset value
of EDA as shown in such financial statements.

Damovo is continuing to discuss the implementation of the terms
of the Restructuring Agreement with the ad hoc committee,
assisted by respective advisers, including an extension to the
Noteholders' standstill, which expired on March 30.

Maurizio Botinelli has resigned from the boards of Damovo Group
S.A., Damovo I S.a.r.l., Damovo II S.a.r.l, Damovo III S.A. and
Enterprise Digital Architects S.P.A. effective from March 29.  
This is due to Mr. Botinelli's decision to pursue alternative
employment opportunities.

Headquartered in Glasgow, Scotland, Damovo Group S.A. --
http://www.damovo.com/-- is a provider of information and  
communications technology (ICT) and services to public service
organizations and larger private sector companies.  The company
also maintains operations in Belgium, Brazil, Czech Republic,
Germany, Ireland, Italy, Mexico, Poland, Switzerland and the
United Kingdom.

                        *     *     *

As reported on Feb. 1, Standard & Poor's Ratings Services
withdrew its 'D' long-term corporate credit rating on U.K.-based
telecommunication services provider Damovo Group S.A., and 'D'
senior secured debt ratings and '4' recovery rating on
subsidiary Damovo III S.A.

In November 2006, Moody's Investors Service downgraded the
corporate family rating of Damovo Group S.A. to Caa3 from Caa1
following the non-payment of a semi-annual interest coupon due
Oct. 30 on the company's 2012 senior notes and the announcement
of its intention to undertake a financial restructure.  Moody's
has concurrently downgraded the rating on the senior notes,
which are issued at Damovo III S.A. to Ca from Caa2.  Moody's
said the outlook is negative.  The rating actions conclude a
review initiated on Oct. 16, 2006.


DESARROLLADORA METROPOLITANA: Moody's Rates US$100MM Notes at B2
----------------------------------------------------------------
Moody's Investors Service assigned a B2 rating to Desarrolladora
Metropolitana S.A. de C.V.'s aka Demet proposed US$100 million
senior notes, being issued in the United States of America.  The
rating outlook is stable.

Demet proposes to issue US$100 million of 10-year senior notes,
callable after five years.  These notes will rank pari passu
with other unsecured debt, and will be guaranteed by all of the
company's restricted subsidiaries that are wholly owned and
significant subsidiaries.  The notes have covenants that limit
the incurrence of additional debt, payment of dividends on its
capital stock, certain investments, the ability to create liens
and to engage in transactions with affiliates; asset sales, and
ability to consolidate, merge or transfer assets.  Most of the
proceeds will be used to payoff the company's short-term debt,
bank debt, bridge loans and structured bond debt.

The proposed bond issuance improves Demet's capital structure by
lowering finance costs and extending maturities.  It also
substantially reduces the amount of secured debt at Demet.  
These positive rating characteristics are offset by several
factors.  The homebuilding business relies on the Mexican
economic and political environment, and the government's ongoing
support.  Recent Mexican Government housing programs targeting
the low-income housing construction industry have made the
business more competitive, causing profit margin pressure for
Demet.  In addition, Demet has a material reliance on INFONAVIT
and SHF/FOVI (government-sponsored programs for low-income
housing) to fund the takeout financing for newly built homes.  
The timing of funding inflows can range up to twelve months, and
short-term bridging debt can create liquidity pressures.  Demet
bears all of the risk of finding buyers -- a credit concern due
to the speculative nature of the housing construction business.

Demet's credit challenges also include its weak operating
performance and lack of geographic diversification.  Demet is
highly levered compared to its peers, with Debt/Total Assets of
63% and Debt/EBITDA of 18.7x as of the third quarter of 2006.  
Operating margins were squeezed by Demet's aggressive growth
strategy a few years ago.  Although earnings have been improving
since 2002, they are still weak.  In addition, though Demet is
one of the top fifteen homebuilders in Mexico, its operations
are concentrated in Mexico City.  This can create local
political vulnerabilities.  In addition, most of the housing
units are in mid-rise buildings, which means that all units are
delivered at once, rather than in phases, as can be true for
grade developments.  Moody's stated that Demet's credit
strengths include its sophisticated operating systems and
management team, with an average of fifteen-plus years of
experience in the Mexican housing and financial markets.

Moody's does not foresee any upward movement for Demet's ratings
in the medium term, as the company needs to continue to
strengthen and stabilize its earnings, and this should take more
time.  In specific, Demet needs to grow steadily, and diversify
out of Mexico City (such as at least 50% of earnings being in
other regions), generate stable earnings with a fixed charge
coverage above 2X, and have debt/EBITDA under 10X.  A downgrade
would reflect an inability to reach a fixed-charge level above
1X for 2007, and above 2X for 2008.

The following rating was assigned with a stable outlook:

   -- B2 to proposed US$100 million senior notes
      being issued in the USA

Desarrolladora Metropolitana is a homebuilder engaged in the
development, construction, marketing and sale of affordable
housing developments in Mexico.  The firm reported total assets
of MXN4.4 billion and total equity of MXN1.3 billion at
Sept. 30, 2006.


EMPRESAS ICA: Infrainvest Gets US$50-Million Loan from IFC
----------------------------------------------------------
IFC, the private sector arm of the World Bank Group, reported
that its Board of Directors has approved an equity investment of
up to US$50 million in Infrainvest, an infrastructure company in
Mexico, to support private sector investment in infrastructure,
specifically transportation and water.  This operation will give
IFC a 19% participation in Infrainvest.

Jose Luis Guerrero, Empresas ICA's CEO, noted, "The
participation of IFC in Infrainvest projects provides strong
support for the joint venture, and will contribute to our
ability to develop the basic infrastructure that Mexico needs,
taking advantage of the knowledge and experience of both ICA and
IFC."

Atul Mehta, IFC's Director for Latin America and the Caribbean,
said, "IFC is partnering with ICA in Infrainvest through this
equity investment in order to enhance the company's ability to
respond to Mexico's growing infrastructure investment needs".

This operation is part of IFC's integrated strategy for Mexico's
infrastructure sector, which includes advice on developing the
necessary framework for public-private partnerships in Mexico.  
The program aims to create new financing sources from the
private sector for development of productive infrastructure,
including an efficient risk allocation of resources between the
government and the private sector.

In September 2006, IFC financed the expansion, upgrade, and
launch of operations for the Irapuato-La Piedad road in central
Mexico, the first project offered in concession to the private
sector under the new PPP framework.

                      About Infrainvest

Infrainvest is owned by Controladora de Operaciones de
Infraestructura, S.A. de C.V. (CONOISA), a wholly owned
subsidiary of Empresas ICA S.A.B. de C.V., Mexico's largest
engineering, procurement, and construction company.

                     About IFC in Mexico

Since 1956, IFC has invested US$5.6 billion in Mexico, including
US$2.2 billion in syndications, in sectors ranging from
infrastructure and manufacturing to agribusiness and the
financial sector, making the country the region's third-largest
recipient of IFC financing in dollar value, after Brazil and
Argentina. IFC committed US$260 million in FY06 in new financing
in Mexico, and it held a total portfolio of US$1.1 billion,
including syndications, as of July 31, 2006.

IFC's strategy for Mexico focuses on enhancing the
competitiveness of the private sector; further deepening the
financial sector with the introduction of specialized products
and markets; supporting infrastructure development and
investments in areas newly opened to private sector
participation; and promoting sustainable environmental and
social development and good corporate governance.

                      About Empresas ICA

Empresas ICA -- http://www.ica.com.mx/-- the largest   
engineering, construction, and procurement company in Mexico,
was founded in 1947.  ICA has completed construction and
engineering projects in 21 countries.  ICA's principal business
units include civil construction and industrial construction.

Through its subsidiaries, ICA also develops housing, manages
airports, and operates tunnels, highways, and municipal services
under government concession contracts and/or partial sale of
long-term contract rights.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 23, 2006, Standard & Poor's Ratings Services revised its
long-term corporate credit rating on Empresas ICA S.A. de C.V.
to 'BB-' from 'B'.  The ratings were removed from CreditWatch
Positive, where they were placed on April 7, 2006.  S&P said the
outlook is stable.


FORD MOTOR: Employees Will Not Fight Warwickshire Site Closure
--------------------------------------------------------------
Employees at Ford Motor Co.'s Warwickshire site in the United
Kingdom will not contest the company's decision to shut the
site, BBC News reports.

Ford disclosed on March 29 the decision to close its site in
Leamington Spa, because the company deemed it uncompetitive, BBC
adds.  Des Quinn of T&G union told BBC that the site's
disgruntled employees held a meeting April 6 to discuss a
possible action and decided not to fight the decision.  

The site, which had been posting GBP10 million in annual losses,
will close in July 2007, BBC relates.  Production of car parts
will be transferred to Eastern Europe instead.

                     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
Corporation.

                        *     *     *

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 $3 billion of senior convertible notes due
2036.


FORD MOTOR: Discloses Top Executive Compensation Details
--------------------------------------------------------
Ford Motor Co. filed its 2007 proxy statement with the U.S.
Securities and Exchange Commission.  The statement outlines
compensation for select executives, including William Clay Ford,
Jr., executive chairman and former chief executive officer, and
Alan Mulally, president and chief executive officer.

The proxy includes a table summary of the total annual
compensation provided, granted to, or received by, each of the
named executives for 2006.  It is important to note that the
amounts shown in the Summary Compensation Table associated with
stock and option awards reflect the company's accounting expense
recognized in our 2006 financial statements for these awards and
do not correspond to the actual value that may be recognized by
the named executive.  Because some of the equity awards have
vesting conditions, their costs generally are recognized over
multiple years, and the dollar amounts shown generally reflect
the company's accounting expense of the awards made during 2006
and prior years.

Compensation details found in the 2007 proxy statement include:
William Clay Ford, Jr., executive chairman and former chief
executive officer, served as CEO from Jan. 1, 2006, until
Sept. 1, 2006, and received no cash salary, bonus or other
awards for 2006 pursuant to his May 2005 compensation
arrangement to forego any new compensation until the company's
Automotive sector achieves sustainable profitability.  His 2006
compensation totaled US$10,497,292.  The expense related to his
previous options and other stock-based awards totaled
US$9,950,585, and an increase of US$152,859 in the present value
of accrued pension benefits, are included in Mr. Ford's 2006
compensation. Mr. Ford received other compensation totaling
US$393,848, which included US$185,232 in value for required use
of the corporate aircraft and US$85,708 for security.

Alan Mulally, president and chief executive officer, served as
president and CEO from Sept. 1, 2006, for the remainder of the
year, and earned US$666,667 in salary.  His 2006 compensation
totaled US$28,183,476.  Mr. Mulally received a bonus of
US$18,500,000, which consisted of a US$7,500,000 hiring bonus
and US$11,000,000 as an offset for forfeited performance and
stock option awards at his former employer.  The expense for his
options and other stock-based awards totaled US$8,682,376, and
includes cost recognized in 2006 for a US$5 million stock option
grant that he received in March 2007 as part of his 2007 option
grant.  Mr. Mulally received other compensation totaling
US$334,433, which included US$172,974 for required use of the
corporate aircraft, and US$55,469 for relocation costs and
temporary housing.

Don Leclair, executive vice president and chief financial
officer, earned US$1,000,933 in salary.  His 2006 compensation
totaled US$4,401,100.  The expense for his options and other
stock-based awards totaled US$795,132.  In addition, he received
US$1,684,000 in non-equity, performance-based, incentive plan
compensation which included payment of US$364,000 under the
Annual Incentive Compensation Plan and a cash settlement of
US$1,320,000 under the 2006-2008 Senior Executive Retention
Incentive Arrangement for certain executive officers.  In
addition, an increase of US$900,116 in the present value of
accrued pension benefits is included in the value of Mr.
Leclair's 2006 compensation. Other compensation totaled
US$20,919.

Mark Fields, executive vice president and president, The
Americas, earned US$1,250,933 in salary.  His 2006 compensation
totaled US$5,574,850.  The expense for his options and other
stock-based awards totaled US$567,308.  In addition, he received
US$2,662,500 in non-equity, performance-based, incentive plan
compensation which included payment of US$375,000 under the
Annual Incentive Compensation Plan and a cash settlement of
US$2,287,500 under the 2006-2008 Senior Executive Retention
Incentive Arrangement for certain executive officers.  An
increase of US$437,318 in the present value of accrued pension
benefits also is included in the value of Mr. Fields' 2006
compensation.  Other compensation totaled US$656,791, which
includes US$517,560 for personal use of the company aircraft.
Pursuant to his request, Mr. Fields no longer uses the company
aircraft for personal travel.

Mark Schulz, executive vice president and president,
International Operations, earned US$1,000,933 in salary.  His
2006 compensation totaled US$2,680,384.  The expense for his
options and other stock-based awards totaled US$541,364.  In
addition, he received US$259,800 in non-equity, performance-
based, incentive plan compensation under the Annual Incentive
Compensation Plan.  An increase of US$835,395 in the present
value of accrued pension benefits also is included in the value
of Mr. Schulz's 2006 compensation.  Other compensation totaled
US$42,892.

Lewis Booth, executive vice president, Ford of Europe and
Premier Automotive Group earned US$850,933 in salary.  His 2006
compensation totaled US$4,274,509.  The expense for his options
and other stock-based awards totaled US$525,979.  In addition,
he received US$1,891,250 in non-equity, performance-based,
incentive plan compensation which included payment of $191,250
under the Annual Incentive Compensation Plan and a cash
settlement of US$1,700,000 under the 2006-2008 Senior Executive
Retention Incentive Arrangement for certain executive officers.
An increase of US$610,023 in the present value of accrued
pension benefits also is included in the value of Mr. Booth's
2006 compensation.  Other compensation totaled US$396,324, which
includes costs associated with his international service
assignment, including: home leave travel; temporary housing;
lodging and meals during relocation; and a housing allowance.

Jim Padilla, former president and chief operating officer, who
retired from the company on July 1, 2006, earned US$750,133 in
salary.  His 2006 compensation totaled US$8,673,622.  The
expense for his options and other stock-based awards totaled
US$6,801,256.  In addition, he received US$262,500 in non-
equity, performance-based, incentive plan compensation under the
Annual Incentive Compensation Plan.  Other compensation totaled
US$467,945, which includes US$82,265 for personal use of company
aircraft and US$27,096 for use of the company's car and driver
service.

The company's Annual Meeting of Shareholders will be held on
Thursday, May 10, at 8:30 a.m. ET at the Hotel du Pont, 11th and
Market Streets, Wilmington, Delaware.

                      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
Corporation.

                        *     *     *

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.


GREENBRIER COS: Mike Roarke Reiterates "Hold" Rating on Shares
--------------------------------------------------------------
McAdams Wright Ragen analyst Mike Roarke has reaffirmed his
"hold" rating on The Greenbrier Cos.' shares, Newratings
reports.

Newratings relates that Mr. Roarke also reduced his estimates
for Greenbrier.  The earnings per share estimate for this year
was reduced to US$1.51 from US$1.85.

Greenbrier disclosed disappointing results for the second
quarter of 2007, Mr. Roarke said in a research note.

Mr. Roarke told Newratings that he is concerned on the near-term
prospects of Greenbrier's railcar manufacturing operations.  
  
Headquartered in Lake Oswego, Ore., The Greenbrier Cos. (NYSE:
GBX) -- http://www.gbrx.com/-- supplies transportation
equipment and services to the railroad industry.  The company
builds new railroad freight cars in its manufacturing facilities
in the US, Canada, and Mexico and marine barges at its U.S.
facility.  It also repairs and refurbishes freight cars and
provides wheels and railcar parts at 30 locations (post Meridian
acquisition) across North America.  Greenbrier builds new
railroad freight cars and refurbishes freight cars for the
European market through both its operations in Poland and
various subcontractor facilities throughout Europe.  Greenbrier
owns approximately 9,000 railcars, and performs management
services for approximately 136,000 railcars.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 30, 2007, Moody's Investors Service downgraded the ratings
of The Greenbrier Cos., Inc. -- corporate family to B1, senior
unsecured to B2 (LGD5, 72%) and the speculative grade liquidity
rating to SGL-3.  The outlook is now stable.  These rating
actions conclude the review for downgrade prompted by
Greenbrier's acquisition of Meridian Rail Holdings Corp in late
2006.

Downgrades:

   Issuer: Greenbrier Companies, Inc. (The)

     -- Probability of Default Rating, Downgraded to B1
        from Ba3

     -- Speculative Grade Liquidity Rating, Downgraded to SGL-3
        from SGL-2

     -- Corporate Family Rating, Downgraded to B1 from Ba3

     -- Senior Unsecured Convertible/Exchangeable Bond/
        Debenture, Downgraded to B2 72 - LGD5
        from B1 64 - LGD4

     -- Senior Unsecured Regular Bond/Debenture, Downgraded to
        a range of B2 72 - LGD5 from B1 64 - LGD4

Outlook Actions:

   Issuer: Greenbrier Companies, Inc. (The)

     Outlook, Changed To Stable From Rating Under Review


GRUPO IUSACELL: Will Use Tango Telecom's Data Charging Software
---------------------------------------------------------------
Grupo Iusacell has selected iAX Data -- the data charging
solution of Tango Telecom, a provider of real-time convergent
charging and intelligent messaging software -- for all the code
division multiple access operator's pre and post paid data
services.

"The iAX Data charging solution from Tango Telecom enables us to
take advantage of new revenue streams that our existing billing
platform could not capture, such as bundle packages and tiered
pricing.  We evaluated a number of vendors and chose iAX Data
because coupled with Tango Telecom's unrivalled expertise in
convergent charging; it was the fastest and most flexible method
for Iusacell to introduce data charging to prepaid subscribers,"
Grupo Iusacell Chief Information Officer Roberto Vargas said.

iAX Data is the leading real-time data charging solution for
General Packet Radio Service, CDMA and 3G networks.  Part of
Tango Telecom's iAX Charge suite of advanced convergent charging
solutions, iAX Data enables prepaid and postpaid charging for
all data and content services on both legacy prepaid and
convergent billing systems.

Tango Telecom Vice President of Sales and Marketing Richard Choi
stated, "Iusacell joins a growing list of major operators
benefiting from our evolutionary technology.  With voice
revenues on the decline, it is essential for operators to
maximize the revenue potential from data services.  iAX Data
enables operators to meet this requirement by providing a
feature rich, cost-effective and scalable data charging solution
which can be integrated seamlessly with their existing billing
platforms."

                   About Tango Telecom Ltd.

Tango Telecom develops real-time convergent charging and
enhanced messaging solutions, enabling the rapid delivery of
converged real-time voice, SMS, data and content services.  
Tango Telecom's global client base includes operators such as
Turkcell, Vodafone, mtc touch, Indosat and America Movil.  Tango
Telecom's iAX product suite is available through a global
network of systems integration partners, resellers and OEMs.

                     About Grupo Iusacell

Headquartered in Mexico City, Mexico, Grupo Iusacell, SA de CV
(BMV: CEL) -- http://www.iusacell.com-- is a wireless cellular   
and PCS service provider in Mexico with a national footprint.
Independent of the negotiations towards the restructuring of its
debt, Grupo Iusacell reinforces its commitment with customers,
employees and suppliers and guarantees the highest quality
standards in its daily operations offering more and better voice
communication and data services through state-of-the-art
technology, including its new 3G network, throughout all of the
regions in which it operate.

As of Dec. 31, 2005, Grupo Iusacell's stockholders' deficit
widened to MXN2,076,000,000 from a deficit of MXN1,187,000,000
at Dec. 31, 2004.

Grupo Iusacell filed for bankruptcy protection on June 18 under
Mexican Law to prevent creditors from disrupting its debt
restructuring talks.  On July 14, 2006, Gramercy Emerging
Markets Fund, Pallmall LLC and Kapali LLC, owed an aggregate
amount of US$55,878,000 filed an Involuntary Chapter 11 Case
against Grupo Iusacell's operating subsidiary, Grupo Iusacell
Celular, SA de CV (Bankr. S.D.N.Y. Case No. 06-11599).  Alan M.
Field, Esq., at Manatt, Phelps & Phillips, LLP, represents the
petitioners.  Iusacell Celular then filed for bankruptcy
protection under Mexican Law on July 18.

The involuntary petition in the United States was dismissed in
December 2006.


KRISPY KREME: Incurs US$24.4 Mil. Net Loss in Qtr. Ended Jan. 28
----------------------------------------------------------------
Krispy Kreme Doughnuts Inc. reported financial results for the
fourth quarter and fiscal year ended Jan. 28, 2007, and plans to
file with the Securities and Exchange Commission its Annual
Report on Form 10-K.

Revenues for the fourth quarter decreased 8.2% to US$112.2
million compared to US$122.2 million in the fourth quarter of
last year.  Company Stores sales decreased 11.2% to US$79.2
million, revenues from franchise operations increased 34.0% to
US$5.8 million, and Krispy Kreme Supply Chain ("KK Supply
Chain," formerly called "Krispy Kreme Manufacturing and
Distribution") revenues decreased 5.2% to US$27.2 million.

Fourth quarter system wide sales decreased 6.4% from the fourth
quarter of last year.  System wide average weekly sales per
store increased approximately 2% from the prior year period to
approximately US$39,500 per store, and Company Store average
weekly sales per store increased to approximately US$54,100 per
store.  The higher Company Store average weekly sales per store
data reflect, among other things, store closures (including
those formerly operated by consolidated franchisees) and the
related shift in off-premises doughnut production into a fewer
number of factory stores.  Excluding the stores formerly
operated by consolidated franchisees, Company Store average
weekly sales per store increased approximately 9% versus the
prior comparable period.

The net loss for the fourth quarter was US$24.4 million compared
to a net loss of US$37.7 million in the comparable period last
year.  The net loss for the quarter includes a charge related to
the settlement of litigation of approximately US$16.0 million,
representing the increase from Oct. 29, 2006, to Jan. 28, 2007,
in the estimated fair value of the securities issued by the
company on March 2, 2007, in connection with the previously
announced settlement of the class action litigation and partial
settlement of the shareholder derivative action.

During the fourth quarter, the company recorded a US$2.1 million
provision for doubtful accounts substantially all of which
relates to receivables from franchisees.  Also during the
quarter, the company recorded a US$1.3 million charge related to
the proposed settlement of certain wage and hour complaints
lodged against the company.

During the quarter, 28 new Krispy Kreme stores, comprised of 12
factory stores and 16 satellites, were opened system wide, and
14 stores, comprised of 9 factory stores and 5 satellites, were
closed.  This brings the total number of stores system wide at
year-end to 395, consisting of 296 factory stores and 99
satellites.

For fiscal 2007, revenues decreased 15.1% to US$461.2 million
compared to US$543.4 million in fiscal 2006.  Company Stores
sales decreased 18.1% to US$326.2 million, revenues from
franchise operations increased 14.6% to US$21.1 million and KK
Supply Chain sales to franchise stores decreased 10.0% to
US$113.9 million.  System wide sales decreased 11.9% compared to
fiscal 2006.

The net loss for fiscal 2007 was US$42.2 million compared with a
net loss of US$135.8 million in fiscal 2006.  Impairment charges
and lease termination costs were US$12.5 million and US$55.1
million, in fiscal 2007 and 2006, respectively, and litigation
settlement costs were US$16.0 million compared to US$35.8
million, respectively.

In fiscal 2007 and 2006, the company incurred professional fees,
net of anticipated insurance recoveries, of approximately US$9.0
million and US$31.8 million, respectively, associated with
internal and external investigations, litigation and the interim
management firm engaged by the company in January 2005.  The
fiscal 2007 amount includes a credit of US$2.3 million recorded
in the fourth quarter resulting from reimbursements from
insurance companies of costs and expenses in excess of amounts
previously estimated.

"We have made progress during the past year, including resolving
important legal matters, restoring positive cash flow, getting
current with our financials, and closing a new senior secured
credit facility," said Daryl Brewster, President and Chief
Executive Officer of Krispy Kreme Doughnuts, Inc.  
"Additionally, we've seen stability in our overall average unit
volume, developed a pipeline for new products and seen growth
internationally utilizing a flexible real estate model."

                     About Krispy Kreme

Founded in 1937 in Winston-Salem, North Carolina, Krispy Kreme
(NYSE: KKD) -- http://www.krispykreme.com/-- is a branded  
specialty retailer of premium quality doughnuts, including the
Company's signature Hot Original Glazed.  There are currently
approximately 320 Krispy Kreme stores and 80 satellites
operating system wide in 43 U.S. states, Australia, Canada,
Mexico, the Republic of South Korea and the United Kingdom.

Headquartered in Winston-Salem, North Carolina, Freedom Rings
LLC is a majority-owned subsidiary and franchisee partner of
Krispy Kreme Doughnuts, Inc., in the Philadelphia region.
Freedom Rings operates six out of the approximately 360 Krispy
Kreme stores and 50 satellites located worldwide.  The Company
filed for chapter 11 protection on Oct. 16, 2005 (Bankr. D. Del.
Case No. 05-14268).  M. Blake Cleary, Esq., Margaret B.
Whiteman, Esq., and Matthew Barry Lunn, Esq., at Young Conaway
Stargatt & Taylor, LLP, represent the Debtor in its
restructuring efforts.  When the Debtor filed for protection
from its creditors, it estimated US$10 million to US$50 million
in assets and debts.

Headquartered in Oak Brook, Illinois, Glazed Investments, LLC,
is a 97%-owned unit of Krispy Kreme.  Glazed filed for chapter
11 protection on Feb. 3, 2006 (Bankr. N.D. Ill. Case No.
06-00932).  The bankruptcy filing will facilitate the sale of 12
Krispy Kreme stores, as well as the franchise development rights
for Colorado, Minnesota and Wisconsin, for approximately USUS$10
million to Westward Dough, the Krispy Kreme area developer for
Nevada, Utah, Idaho, Wyoming and Montana.  Daniel A. Zazove,
Esq., at Perkins Coie LLP represents Glazed in its restructuring
efforts.  When Glazed filed for protection from its creditors,
it estimated assets and debts between US$10 million to US$50
million.

KremeKo Inc., Krispy Kreme's Canadian franchisee, is currently
restructuring under the Companies' Creditors Arrangement Act.
Pursuant to the Court's Initial Order, Ernst & Young Inc. was
appointed as Monitor in KremeKo's CCAA proceedings.  The Monitor
is attempting to sell the KremeKo business.

The U.S. District Court for the Middle District of North
Carolina has set Feb. 7, 2007, as the hearing date for the final
approval of the terms of the settlement of the shareholder
derivative action entitled Wright v. Krispy Kreme Doughnuts
Inc., et al.


MCDERMOTT INT'L: Repays US$250MM Loan of Babcock Credit Facility
----------------------------------------------------------------
McDermott International Inc. has accelerated the repayment of
the US$250 million term loan portion of The Babcock & Wilcox
Co.'s credit facility.  This loan carried interest expense at
LIBOR plus 3.0%, and the company does not incur any penalty for
the early retirement of this debt.  Following this retirement,
McDermott does not have any significant debt outstanding.

Additionally, the company's subsidiary, McDermott Inc., received
this week US$272 million from the United States Internal Revenue
Service.  This federal tax refund resulted from carrying back to
prior tax years the tax loss generated in 2006, primarily as a
result of US$955 million of asbestos-related expenses paid last
year associated with the settlement of Babcock & Wilcox's
reorganization.  A number of these prior tax years are currently
open, and therefore certain adjustments may still occur before
final settlement of these tax years.

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

                        *     *     *

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


PORTRAIT CORP: Assumes Lease Agreement with Lakemont Industrial
---------------------------------------------------------------
The Honorable Adlai S. Hardin, Jr., of the U.S. Bankruptcy Court
for the Southern District of New York authorized Portrait
Corporation of America Inc. and its debtor-affiliates to assume
a lease agreement between the Debtor and Lakemont Industrial
Holding Co., dated June 26, 2003.

The Court further granted the Debtors' request to reject
unexpired non-residential real property leases with Award
Realty, Genelle Hardin and Sawgrass Commons, LLC.

Pursuant to the Lakemont Agreement, the Debtors lease premises
in Lakemont West Building IV in Charlotte, North Carolina, where
they conduct warehouse operations for professional portrait
photography products.  The Lakemont Agreement grants the Debtors
the use of the premises consisting of 59,884 square feet of
space with an obligation to pay a monthly base rent of US$17,451
plus estimated monthly expenses of US$4,480.

The Debtors tell the Court that the assumption of the Lakemont
Agreement is necessary to allow the Debtors to continue its
operations while the rejection of the agreement would pose
greater administrative risks than assumption.

The Debtors have determined that it would be difficult to find a
replacement facility for a comparable price and in any event,
relocation of the Debtors' warehouse operations would be
extremely expensive.

The Debtors also relates that the rejection of certain leases
with ARGH and Sawgrass is necessary because the Debtors no
longer require the use of the premises covered by the leases.  
The rejection of these leases would also eliminate the
incurrence of any administrative expenses.

Portrait Corporation of America Inc. -- http://pcaintl.com/--       
provides professional portrait photography products and services
in North America.  The Company operates portrait studios within
Wal-Mart stores and Supercenters in the United States, Canada,
Mexico, Germany and the United Kingdom.  The Company also
operates a modular traveling business providing portrait
photography services in additional retail locations and to
church congregations and other institutions.

Portrait Corporation and its debtor-affiliates filed for
Chapter 11 protection on Aug. 31, 2006 (Bankr S.D. N.Y. Case
No. 06-22541).  John H. Bae, Esq., at Cadwalader Wickersham &
Taft LLP, represents the Debtors in their restructuring efforts.
Berenson & Company LLC serves as the Debtors' financial advisor
and investment banker.  Kristopher M. Hansen, Esq., at Stroock &
Stroock & Lavan LLP represents the Official Committee of
Unsecured Creditors.  Peter J. Solomon Company serves as
financial advisor for the Committee.  At June 30, 2006, the
Debtor had total assets of US$153,205,000 and liabilities of
US$372,124,000.


UNITED RENTALS: Board Exploring Strategic Alternatives
------------------------------------------------------
United Rentals Inc.'s board of directors commenced a process
to explore the possible sale of the company to maximize
shareholder value.  The company does not expect to disclose
further developments regarding the process until its board
of directors has completed its evaluation.

The company has retained UBS Investment Bank and Credit Suisse
to act as financial advisors.

The company said that there is no assurance that the exploration
of alternatives will result in a transaction.

                      About United Rentals

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).

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 12, 2007, 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: CEO Wayland Hicks to Retire
-------------------------------------------
United Rentals Inc. disclosed that Wayland R. Hicks, 64, will
retire as chief executive officer effective at the annual
shareholders' meeting on June 4, 2007, and will continue to
serve on the board as vice chairman.  Mr. Hicks will be
succeeded by Michael J. Kneeland as interim chief executive
officer.

"We deeply appreciate Wayland's significant contributions over
the past decade and the leadership he has demonstrated," Bradley
S. Jacobs, chairman of United Rentals, said.  "We are fortunate
that Wayland will continue to serve on our board and offer his
insights as we take this process forward."

"We're pleased that the position of interim chief executive
officer will be filled by Michael Kneeland, who has been with
the company since 1998," Mr. Jacobs added.  "Mike has more than
25 years of experience in the equipment rental industry and is
extremely knowledgeable about our operations and markets."

At present, Mr. Kneeland serves as the company's executive vice
president and chief operating officer.

                     About United Rentals

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).

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 12, 2007, 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.


VITRO S.A.B.: Will Release 2007 First Quarter Results on May 2
--------------------------------------------------------------
Vitro S.A.B. de C.V. has pre-released its 2007 first quarter
financial results.  Consolidated sales rose 6.0 percent year-
over-year from US$568 million to US$603 million.  Consolidated
EBITDA rose 30% year-over-year from US$73.7 million to US$95.8
million.  2007 EBITDA reached US$393 million.

The company expects to release its first quarter results on
May 2, 2007, after market close.

Headquartered in Monterrey, Mexico, Vitro, S.A.B. de C.V. (BMV:
VITROA; NYSE: VTO), through its two subsidiaries, Vitro Envases
Norteamerica, SA de C.V. and Vimexico, S.A. de C.V., is a
leading global glass producer, serving the construction and
automotive glass markets and glass containers needs of the food,
beverage, wine, liquor, cosmetics and pharmaceutical industries.  

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 18, 2007, Moody's Investors Service assigned a global
foreign currency rating of B2 to Vitro, SAB de CV's proposed
US$750 million senior unsecured guaranteed notes due 2012 and
2017, which are being offered in the context of a major
financial restructuring initiative the company announced on
Jan. 11, 2007.

The rating assigned:

   Vitro, SAB de CV:

   -- Proposed US$750 million senior unsecured guaranteed notes
      due 2012 and 2017, at 2.

The ratings affirmed:

Vitro, SAB de CV:

  -- Corporate Family at B2;

  -- US$225 million 11.75% senior unsecured notes due 2013, at
     Caa1, with the possibility of upgrade to B2 upon
     execution of the proposed guarantee structure consistent
     with the proposed notes;

  -- US$152M 11.375% senior unsecured notes due 2007, at Caa1,
     and withdrawn upon successful conclusion of the Tender
     Offer.

The ratings outlook changed to stable from negative.

Vitro Envases Norteamerica, SA de CV:

   -- Corporate family, at B2, and withdrawn upon conclusion
      joy of the proposed transactions; and

   -- US$250 million 10.75% senior secured notes due 2011,
      at B2, and withdrawn upon successful conclusion of
      the Tender Offer.

The rating outlook remains stable until such time that the
ratings are withdrawn.

As reported in the Troubled Company Reporter-Latin America on
Feb. 5, 2007, Standard & Poor' Ratings Services raised its long-
term senior  unsecured credit rating on Mexico-based glass
manufacturer Vitro S.A.B. de C.V.'s (Vitro; B/Stable/--) notes
due 2013 to 'B' from 'CCC+'.




=================
N I C A R A G U A
=================


XEROX CORP: Passes U.S. Envt'l Agency's Energy Saving Standard
--------------------------------------------------------------
Xerox Corp. has passed the U.S. Environmental Protection
Agency's raised energy-saving product standard.  More than half
of the company's office and production product offerings meet
the more rigorous new ENERGY STAR(R) requirements that went into
effect on April 1.

Previously the ENERGY STAR criteria for office copiers, printers
and multifunction systems measured power consumed in standby and
low-power modes.  The new standard asks a different question:
How much energy would the device use during a typical week?  It
measures the energy consumed if the system mimics the tempo of a
normal office, running a sample job mix with downtime for lunch,
overnight and on weekends.  The result is a Typical Electricity
Consumption or TEC figure that must meet the EPA's tough new
requirements in order for a product to achieve ENERGY STAR
status.

Patricia Calkins, Xerox Vice President - Environment, Health and
Safety, said, "The EPA's new ENERGY STAR requirements raise the
bar so significantly that only 25 percent of products in the
marketplace were expected to meet the new criteria.  At Xerox,
we knew we could do better than the industry average, and we did
with more than 50 percent of our current product line passing
this tough test.  Over time, the standards will get even
tougher.  We'll remain focused on improving our entire product
line to meet these evolving requirements.  And, we expect to
qualify more products over time."

          Environment and Energy Conservation Commitment

As an ENERGY STAR Charter Partner since the early 1990s, Xerox
has long applied its technical expertise to building energy
savings into its products.  About two years ago, it took a fresh
look at all the subsystems in its laser-printing based products,
hoping to bring the power usage down even further.  As a result,
engineers identified four opportunities to cut power
consumption: the fuser, the toner, the electronic controls and
the xerographic system.

In the xerographic process, a copy or print is made by digitally
capturing the image to be printed; exposing the image on a
photoreceptor; developing the image with pigmented powder, which
is called toner; and then transferring the image created by the
toner onto paper and heating it to fuse the image and make a
print.

Kenneth J. Buck, a senior systems engineer who worked on the
project, said, "One example of the company's success is the
WorkCentre(R) 4150, which prints at 45 pages per minute.  It's a
black-and-white, desktop multifunction system for small and
medium-sized businesses, and it uses 11.9 kilowatt-hours per
week of electricity.  That's roughly half the energy consumption
of a comparable 45 page-per-minute multifunction system of three
years ago."

                        Faster Fusing

Office products like printers, copiers, and multifunction
systems are active about 10 percent of the time.  The rest of
the time, they are in a standby or "sleep" mode, where the fuser
roll cools and uses less power.  The dilemma: The "deeper" the
sleep, the less power they use, but the longer it takes before
they are ready to print again. Xerox developed fuser rolls with
thinner walls that would heat up faster for some products; for
others, it changed from a roller to a thin metal belt with a
heater.

As a result of the technical changes to the product line, one
new black-and-white product will use 75 percent less energy to
emerge from the deep sleep than it did previously.  Warm-up
times for Xerox's color laser printers have also been
significantly reduced.

                 Improved Toner and Controls

Xerox is using toner made by its patented emulsion aggregation
process in more products to reduce energy consumption.  Not only
does the EA manufacturing process require less energy, but the
toner consumes less energy when used to make a print.  That's
because its rich colors and regular particle size mean devices
need less EA Toner than conventional toner to create an image,
so there's less thermal mass to heat.

Xerox scientists have also worked to develop toners with lower
melting points, which consume less energy in the fuser.  These
have enabled Xerox to reduce fusing temperatures by about 10
percent in some products.  In the xerographic system, engineers
have developed ways to charge and erase the photoreceptor more
efficiently using less energy.

Other innovations include redesign of the control electronics in
the devices to take advantage of next-generation processors and
save energy.

Energy efficiency developments are part of Xerox's ongoing
investments in sustainable innovation -- or "green products" --
that deliver measurable benefits to the environment and help
Xerox customers work in more environmentally friendly offices.  
These include solid ink printing technology, which generates 90
percent less waste than comparable laser printers, document-
management services and software that improve workers'
productivity while reducing dependency on paper, and other
paper-saving innovations.

In addition, Xerox is contributing US$1 million to The Nature
Conservancy to develop science-based tools and systems that will
help the paper industry better manage ecologically important
forest land.  The funding focuses on the Canadian Boreal Forest
as well as the forests of the southern United States, Indonesia
and Brazil's Atlantic Forest.

Headquartered in Stamford, Connecticut, Xerox Corp. --
http://www.xerox.com/-- develops, manufactures, markets,
services and finances a range of document equipment, software,
solutions and services.  Xerox operates in over 160 countries
worldwide and distributes products in the Western Hemisphere
through divisions, wholly owned subsidiaries and third-party
distributors.  The company has operations in Japan, Italy and
Nicaragua.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 4, 2007, Fitch Ratings has affirmed Xerox Corp.'s and its
subsidiary's ratings:

   Xerox Corp.

     -- Trust preferred securities at 'BB';
     -- Issuer Default Rating at 'BBB-';
     -- Unsecured credit facility at 'BBB-'; and
     -- Senior unsecured debt at 'BBB-'.

   Xerox Credit Corp.

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

As reported in the Troubled Company Reporter-Latin America on
April 4, 2007, Standard & Poor's Ratings Services placed its
ratings on Xerox Corp., including the 'BB+' corporate credit
rating, on CreditWatch with positive implications.  The
CreditWatch placement reflects the company's announcement that
it has reached an agreement in principle to acquire Global
Imaging Systems Inc. for approximately US$1.5 billion in cash.




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


CABLE & WIRELESS: 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
Telecommunications, Media and Technology sectors last week, the
rating agency confirmed its Ba3 Corporate Family Rating for
Cable & Wireless Plc.

Moody's also assigned a Ba3 Probability-of-Default rating to the
company.

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: Cable & Wireless Plc
                                             Projected
                           POD      LGD      Loss-Given
   Debt Issue              Rating   Rating   Default
   ----------              -------  -------  --------
   4% Senior Unsecured
   Conv./Exch.
   Bond/Debenture
   Due 2010                B1       LGD4     60%

   GBP200 million
   8.75% Senior
   Unsecured Regular
   Bond/Debenture
   Due 2012                B1       LGD4     60%

* Issuer: Cable & Wireless International Finance B.V.

                                             Projected
                           POD      LGD      Loss-Given
   Debt Issue              Rating   Rating   Default
   ----------              -------  -------  --------
   GBP200 million
   8.625% Senior Unsecured
   Regular Bond/Debenture
   Due 2019                B1       LGD4     60%

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 London, Cable & Wireless PLC --
http://www.cw.com/new/-- provides voice, data and IP (Internet    
Protocol) services to business and residential customers, as
well as services to other telecoms carriers, mobile operators
and providers of content, applications and Internet services.
Its principal operations are in the United Kingdom, continental
Europe, Asia, the Caribbean, Panama and the Middle East.


CABLE & WIRELESS: Nears Supply Deal with Virgin Media
-----------------------------------------------------
Cable & Wireless plc is on the verge of signing a contract to
supply broadband, phone and basic television services to Virgin
Media Inc. (fka NTL Inc.), allowing the latter to reach
customers not covered by its network, Paul Durman writes for The
Sunday Times.

According to the report, Virgin Media is no longer in
discussions with other suppliers while Tiscali SpA already
indicated its lack of interest in the deal.
  
Virgin Media is due to announce its decision next month.

C&W will deliver the service through its wholesale broadband
arm, formerly known as Bulldog Communications, The Sunday Times
relates.

Steve Burch, chief executive of Virgin Media, said this was
still a big step forward because "there are 12 million homes out
there that we've never sold anything to."

The paper reveals that competing with BSkyB has been a struggle
for the cable television industry due to a lack of national
reach resulting from restricted geographical franchises.

                    About Cable & Wireless

Headquartered in London, Cable & Wireless PLC --
http://www.cw.com/new/-- provides voice, data and IP (Internet    
Protocol) services to business and residential customers, as
well as services to other telecoms carriers, mobile operators
and providers of content, applications and Internet services.
Its principal operations are in the United Kingdom, continental
Europe, Asia, the Caribbean, Panama and the Middle East.

                        *     *     *

Cable & Wireless Plc carry these ratings:

    * Moody's Investors Service
    
      -- Long-Term Corporate Family Rating: Ba3
      -- Senior Unsecured Debt: B1
      -- Short-Term: NP
      -- Outlook: Negative

    * Standard & Poor's

      -- Long-Term Foreign Issuer Credit Rating: BB-
      -- Long-Term Local Issuer Credit Rating: BB-
      -- Short-Term Foreign Issuer Credit Rating: B
      -- Short-Term Local Issuer Credit Rating: B
      -- Outlook: Negative          


CHIQUITA BRANDS: Unit Grants US$2-Million Funds in Nine Projects
----------------------------------------------------------------
Fresh Express has declared that nine research teams are being
awarded up to US$250,000 each to study the Escherichia coli
O157:H7 pathogen to advance science-based practices to prevent
its occurrence in fresh produce.  Fresh Express is funding up to
US$2 million collectively in research under the guidance of an
independent scientific advisory panel as a means to support
industry wide food-safety solutions, even though Fresh Express
products were not involved in the recent outbreak and never have
been shown to have caused an outbreak of food-borne illness.

"The quality of the proposals was extraordinary," said Dr.
Michael T. Osterholm, Ph.D., M.P.H., director of the University
of Minnesota Center for Infectious Disease Research & Policy and
the voluntary chairman of the Fresh Express Blue Ribbon
Scientific Advisory Panel.  "We were all extremely impressed by
the innovative approaches and new directions being applied to E.
coli O157:H7 research to better understand and ultimately
minimize the threat of this pathogen in fresh produce."

"We are grateful to the scientific panel for their intensive
work and extremely pleased with the depth and scope of the nine
research projects selected," said Tanios E. Viviani, president
of Fresh Express.  "Fresh Express is committed to bringing
healthy, safe products to consumers, and we plan to share any
research findings as widely as possible to help stimulate the
development of advanced safeguards within the fresh-cut
industry."

According to food safety and health authorities, much remains to
be learned about how the E. coli O157:H7 strain responsible for
last year's fresh spinach and lettuce food-borne illness
outbreaks contaminated those foods, making new research about
this important pathogen and how to prevent its contamination in
leafy greens and fresh produce critically important to consumers
and the fresh produce industry.

One-year funding awards of up to US$250,000 will be awarded to
the following institutions and principal investigators:

    --  Subsurface contamination and internalization of E. coli
        O157:H7 in pre-harvest lettuce
        Michael P. Doyle, Ph.D., Center for Food Safety,
        University of Georgia

    --  Movement of E. coli O157:H7 in spinach and dissemination
        to leafy greens by insects
        Jacqueline Fletcher, Ph.D., Dept. of Entomology and
        Plant Pathology, Oklahoma State University

    --  Interaction of E. coli O157:H7 with fresh leafy green
        produce
        Jorge A. Giron, Ph.D., Dept. of Immunobiology,
        University of Arizona

    --  Factors that influence the ability of E. coli O157:H7 to
        multiply on lettuce and leafy greens
        Linda J. Harris, Ph.D., Western Institute for Food
        Safety and Security, University of California-Davis

    --  Fate of E. coli O157:H7 on fresh and fresh-cut iceberg
        lettuce and spinach in the presence of normal background
        microflora
        Mark A. Harrison, Ph.D., Dept. of Food Science and
        Technology, University of Georgia

    --  Determining the environmental factors contributing to
        the extended survival or regrowth of food-borne
        pathogens in composting systems
        Xiuping Jiang, Ph.D., Dept. of Food Science and Human
        Nutrition, Clemson University

    --  Quantifying the risk of transfer and internalization of
        E. coli O157:H7 during processing of leafy greens
        Elliot T. Ryser, Ph.D., National Food Safety and
        Toxicology Center, Michigan State University

    --  A novel approach to investigate internalization of E.
        coli O157:H7 in lettuce and spinach
        Manan Sharma, Ph.D., Food Technology and Safety
        Laboratory, Animal and Natural Resources Institute,
        USDA-Agricultural Research Service

    --  Sanitization of leafy vegetables by integrating gaseous
        ozone treatment into produce processes
        Ahmed Yousef, Ph.D., Dept. of Microbiology, Ohio State
        University

Made up of six nationally-recognized food safety experts from
federal and state food safety-related agencies and academia, the
all-voluntary independent Blue Ribbon Scientific Advisory Panel
carefully deliberated the merits of each proposal against a
rigorous set of criteria with corresponding point system from a
total field of 65 before selecting the nine they considered to
be the most innovative, most promising and most attuned to the
panel's research priorities.

Members of the panel, in addition to Dr. Osterholm, include:

   * Dr. Jeff Farrar, California Department of Health Services;
   * Dr. Bob Buchanan, U.S. Food and Drug Administration;
   * Dr. Robert Tauxe, U.S. Centers for Disease Control and
     Prevention;
   * Dr. Bob Gravani, Cornell University and Dr. Craig Hedberg,
     University of Minnesota.

The five areas of needed research identified by the panel and
outlined as a part of the request for proposal process included:

    -- The potential for the internalization of E. coli O157:H7
       into lettuce tissue;
    -- Mitigation strategies and technologies;
    -- Environmental sources and vectors for contamination;
    -- Ability of E. coli O157:H7 to multiply in the presence of
       normal background flora; and,
    -- Ability of E. coli O157:H7 and other enteric pathogens to
       survive composting processes.

                     About Fresh Express

Fresh Express, the nation's No.1 salad producer, is a subsidiary
of Chiquita Brands International, Inc. (NYSE: CQB) and has been
a leader in fresh foods for more than 80 years. Fresh Express is
dedicated to providing consumers with healthy, convenient ready-
to-eat spinach, salads, vegetables and fruits.  With the
invention of its special Keep Crisp(TM) bag beginning in the
early 1980s, Fresh Express pioneered the now multi-billion
dollar retail packaged salad category and was the first to make
them available nationwide.

                    About Chiquita Brands

Cincinnati, Ohio- based Chiquita Brands International, Inc.
(NYSE: CQB) -- http://www.chiquita.com/-- operates as an  
international marketer and distributor of bananas and other
fresh produce sold under the Chiquita and other brand names in
over 70 countries including Panama, Philippines, Australia,
Belgium, Germany, among others.  It also distributes and markets
fresh-cut fruit and other branded, value-added fruit products.

                        *     *     *

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

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




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


FEDERATED DEPARTMENT: Sales for Five-Week Period Up by 1.5%
-----------------------------------------------------------
Federated Department Stores Inc. reported total sales of
US$2.288 billion for the five weeks ended April 7, 2007, an
increase of 1.5 percent compared to total sales of US$2.255
billion in the same period last year.  On a same-store basis,
Federated Department's sales for March were up 2.3 percent.  
This compares with the company's guidance for a same-store sales
increase of 2.5 percent to 4 percent in March.

For the year to date, Federated Department's sales totaled
US$4.089 billion, up 0.8 percent from total sales of US$4.055
billion in the first nine weeks of 2006.  On a same-store basis,
Federated Department's year-to-date sales were up 1.8 percent.

"March sales fell just short of our expectations in most regions
across the country, largely attributable to weakness in home-
related merchandise categories," said Terry J. Lundgren,
Federated Department's chairman, president and chief executive
officer.  "Unseasonably cold weather as new spring merchandise
flowed into the stores in the pre-Easter period also contributed
to disappointing sales in the month."

Federated Department continues to expect same-store sales in
April to increase by 2.5 percent to 4 percent.  Sales in the
first quarter are expected to be at the low end of previous
guidance of US$6 billion to US$6.1 billion.

The company will host a presentation to analysts and investment
professionals from 9:30 a.m. to 12:30 p.m. ET on April 24 in New
York City.  A web cast of the presentation will be accessible to
the media and general public in real time via the company's Web
site.  The web cast will be archived for replay within 24 hours
of the conclusion of the presentation.

Federated Department Stores Inc. (NYSE:FD)(NYSE Arca:FD) -
http://www.fds.com/-- is a department stores operator, with  
more than 850 department stores in 45 states, the District of
Columbia, Guam and Puerto Rico, operating under the banners
Macy's and Bloomingdale's.  The August 2005 acquisition of May
nearly doubled Federated's scale -- sales in fiscal 2006, the
first full year of combination, were US$27 billion.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 1, 2007, Moody's Investors Service downgraded Federated
Department Stores, Inc.'s long term senior unsecured debt rating
to Baa2 from Baa1, and affirmed the company's Prime 2 rating for
commercial paper, following the company's announcement that the
Board had authorized a US$4 billion additional share buyback
program.

Ratings downgraded:

   -- Senior unsecured debt rating to Baa2 from Baa1
   -- Preferred shelf rating to (P) Ba1 from (P) Baa3

Rating affirmed:

   -- Prime 2 rating for commercial paper


MUSICLAND HOLDING: Plan Confirmation Hearing Delayed to April 26
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
has continued the hearing to consider the confirmation of
Musicland Holding Corp. and its debtor-affiliates' Second
Amended Plan of Liquidation to April 26, 2007.

The Court have previously ruled that the deadline set forth in
the Plan for the occurrence of the Plan Effective Date is
extended until March 30, 2007, and the deadline set forth in
the Plan for the Confirmation Order to become a Final Order is
extended until April 30, 2007.

The Debtors, the Official Committee of Unsecured Creditors, and
the current members of the Informal Committee of Secured Trade
Vendors further agree that the deadline set forth in the Plan
for:

   (a) the Confirmation Order to become a Final Order is
       extended until April 30, 2007; and

   (b) the occurrence of the Plan Effective Date is extended
       until May 31, 2007.

Headquartered in New York, New York, Musicland Holding Corp., is
a specialty retailer of music, movies and entertainment-related
Products in the United States, including Puerto Rico.  The
Debtor and 14 of its affiliates filed for chapter 11 protection
on Jan. 12, 2006 (Bankr. S.D.N.Y. Lead Case No. 06-10064).  
James H.M. Sprayregen, Esq., at Kirkland & Ellis, represents the
Debtors in their restructuring efforts.   Mark T. Power, Esq.,
at Hahn & Hessen LLP, represents the Official Committee of
Unsecured Creditors.  When the Debtors filed for protection from
their creditors, they estimated more than US$100 million in
assets and debts.  (Musicland Bankruptcy News, Issue No. 30;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                         Plan Update

On May 12, 2006, the Debtors filed their Joint Plan of
Liquidation with the Court.  On Sept. 14, 2006, they filed an
amended Plan and a Second Amended Plan on Oct. 13, 2006.  The
Court approved the adequacy of the Amended Disclosure Statement
on Oct. 13, 2006.


PATHEON INC: Moody's Rates Proposed US$225-Mln Senior Loan at B1
----------------------------------------------------------------
Moody's Investors Service assigned a rating of B1 to the
proposed US$225 million senior secured credit facility of
Patheon Inc.  

The credit facility consists of a US$75 million secured asset
based revolver and a US$150 million Term Loan B.  The company
intends to use the proceeds from the term loan along with
investments from JLL Partners to refinance the company's
existing credit facility.  Concurrently, Moody's assigned
Patheon a Corporate Family Rating of B2.  The ratings outlook is
stable.

The B2 Corporate Family Rating is supported by the company's
large and diverse revenue base, consistent operating margins and
sufficient liquidity.  However, the ratings also reflect the
following concerns: a low level of free cash flow generation due
to high capital spending; low interest coverage; and a minimal
amount of earnings and profits.

The stable outlook reflects Moody's expectations of revenue
growth of 3% to 5% over the near term with gross margins
remaining in the 25% to 30% range and annual operating cash flow
generation of US$50 to US$70 million.  Due to projected capital
spending of US$50 to US$65 million a year, Moody's anticipates
that the company will generate a minimal amount of free cash
flow.  As a result, Moody's assumes that the company will
generate operating cash flow to adjusted debt of 10% to 13% and
free cash flow to adjusted debt of 0% to 3% over the next two
years.

Moody's does not anticipate that the company will engage in
significant shareholder initiatives, such as the initiation of a
dividend, nor in any major acquisition activity.  Moody's
believes that Patheon will use its cash flow, to the extent
available, to continue investing in business development and to
reduce debt.

Moody's assigned these ratings:

   -- Corporate Family Rating, B2
   
   -- Probability of Default Rating, B2

   -- US$75-million Senior Secured Asset Based Revolver, B1
      (LGD3, 37%)

   -- US$150-million Senior Secured Term Loan B, B1 (LGD3, 37%)

The ratings outlook is stable.

Based in Mississauga, Canada, Patheon Inc --
http://www.patheon.com/-- is a leading global provider of drug  
development and manufacturing services to the pharmaceutical
industry.  It operates a network of 14 facilities in the United
States, Canada, Puerto Rico and Europe and generated net
revenues of US$726 million for the 12 months ended
Jan. 31, 2007.


PIER 1: Incurs US$58,696,000 Net Loss in Quarter Ended March 3
--------------------------------------------------------------
Pier 1 Imports Inc. posted results for the fourth quarter and
fiscal year ended March 3, 2007.  For the fourth quarter, the
company reported a net loss from continuing operations of
US$58,696,000, or US$0.67 per share.  For the fiscal year, the
company reported a net loss from continuing operations of
US$227,238,000, or US$2.59 per share.  Results for both periods
included unusual charges and the effects of adopting a new
accounting pronouncement, which are detailed below.  Excluding
these charges, the company's net loss from continuing operations
on a non-GAAP basis for the quarter would have been
US$12,937,000 or US$0.14 per share and US$113,121,000, or
US$1.28 per share for the fiscal year.

                   Fourth Quarter Results

Fourth quarter sales were US$473,712,000, down 6.4% from last
year's sales of US$506,022,000, and comparable store sales
declined 11.0%.  For the fourth quarter, merchandise margins
decreased 610 basis points from the year-ago period related
primarily to an inventory valuation charge of approximately
US$32.5 million, or 690 basis points.  This inventory charge was
required to value certain excess inventory at the lower of cost
or market based on a strategic decision to expedite the process
to clear out the inventory by the end of the first quarter.  
This merchandise is comprised primarily of modern craftsman
style items.  Gross profit, after store occupancy costs,
declined 740 basis points versus last year.  Selling, general
and administrative costs increased 4.5% from the same period
last year primarily as a result of increased marketing expenses
and the effects of unusual and other one-time charges.  During
the quarter, the company incurred settlement and curtailment
charges of US$6.8 million in connection with its retirement
plans.  The charges were incurred as a result of write-offs of
prior service cost and unamortized actuarial gains and losses in
a defined benefit pension plan that was left with no active
participants after the retirement of two senior executives whose
obligations were settled in fiscal 2007.

The company's reported net loss of US$58.7 million or US$0.67
per share for the fourth quarter included US$45.8 million in
unusual and other one-time charges.  The charges consisted of:

   -- non-cash charge of US$32.5 million or US$0.37 per share
      for excess inventory write-down;

   -- one-time charges of US$6.8 million or US$0.08 per share
      in settlement and curtailment charges incurred in
      connection with retirement plans;

   -- non-cash charge of US$4.1 million or US$0.05 per share
      in connection with goodwill impairment of Pier 1 Kids; and

   -- non-cash charge of US$2.4 million or US$0.03 per share for
      store-level asset impairment charges.

                 Full Year Fiscal 2007 Results

Total fiscal 2007 sales were US$1,623,216,000, a decrease of
8.6% from last year's sales of US$1,776,701,000, and comparable
store sales declined 11.3%.  Merchandise margins decreased 230
basis points from the prior year and gross profit, after store
occupancy costs, declined 470 basis points versus last year.  
Selling, general and administrative costs increased 10.3%
primarily due to increases in marketing expenses, impairment
charges and other one-time or unusual charges.  Federal income
tax benefit recorded for the year was related only to losses
that can be carried back to offset income in prior years.  
Although any additional losses may be carried forward for
several years to offset future income, no tax benefit will be
provided until such future earnings are realized.

The company's reported fiscal 2007 net loss from continuing
operations of US$227.2 million or US$2.59 per share included the
effects of US$114.1 million in unusual charges.  These charges
recorded during the year included:

   -- non-cash charge of US$32.5 million or US$0.37 per share
      for excess inventory write-downs;

   -- non-cash charge of US$32.3 million or US$0.37 per share
      for store-level asset impairment charges;

   -- non-cash charge of US$24.6 million or US$0.28 per share
      to establish a valuation allowance against the company's
      net deferred income tax assets that arose in prior years;

   -- one-time charges of US$6.8 million or US$0.08 per share
      in settlement and curtailment charges incurred in
      connection with retirement plans;

   -- a charge of US$4.9 million or US$0.06 per share
      attributable to litigation settlements and related costs;

   -- non-cash charge of US$4.5 million or US$0.05 per share
      for stock option expense in compliance with SFAS 123R;

   -- US$4.5 million or US$0.05 per share charge for relocation
      and integration of the Pier 1 Kids' headquarters and
      warehouse into Pier 1 facilities; and

   -- non-cash charge of US$4.1 million or US$0.05 per share in
      connection with goodwill impairment of Pier 1 Kids.

The Company ended the year with cash and cash equivalents of
US$167.2 million and no cash borrowings under its line of
credit.  Inventories at the end of the year were US$360.1
million, down US$8.9 million, or 2.4% from last year's US$369.0
million.

                     Board of Directors

At this year's annual shareholders' meeting, the number of seats
on the company's Board of Directors will increase from seven to
eight.  In addition to each current director, other than James
M. Hoak, Jr., the company's Board of Directors has nominated
Cece Smith and Robert B. Holland, III, to stand for election to
the Board of Directors.  On March 21, 2007, James M. Hoak, Jr.
announced his desire to not stand for re-election.

The company's annual meeting for shareholders of record as of
April 30, 2007 will be held in Fort Worth, Texas on
June 28, 2007.  More information about the meeting will be
provided in the company's notice and proxy statement for its
annual meeting of shareholders which the company plans to mail
to shareholders of record on or about
May 24, 2007.

              Sales Reporting Schedule Changes

Going forward, the company will no longer release sales
information on a monthly basis and will shift to a quarterly
reporting schedule.  The company believes that a quarterly
reporting schedule will be more beneficial to its shareholders
during this transition period by allowing more meaningful
comparisons of sales results within the context of merchandise
margins, selling, general and administrative expenses, and other
performance criteria.  Additionally, this move will reduce
confusion in comparative reporting caused this year by the shift
in the fiscal calendar.

                    About Pier 1 Imports

Based in Fort Worth, Texas, Pier 1 Imports Inc. (NYSE:PIR)
-- http://www.pier1.com/-- is a specialty retailer of imported    
decorative home furnishings and gifts with Pier 1 Imports(R)
stores in 49 states, Puerto Rico, Canada, and Mexico, and Pier 1
kids(R) stores in the United States.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 19, 2007,
Moody's Investors Service downgraded Pier 1 Imports Inc.'s
corporate family rating to Caa1 from B3 following its continuing
operating struggles and modest performance over the 2006 holiday
season.  Moody's said the rating outlook was revised to
negative.




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


NAVIOS MARITIME: Hires George Achniotis as Chief Fin'l Officer
--------------------------------------------------------------
Navios Maritime Holdings Inc. has disclosed that George
Achniotis will now serve as Chief Financial Officer and Michael
McClure as Senior Vice President - Corporate Affairs.

"George's depth of experience in financial matters, and
knowledge of the shipping industry will be invaluable as we
continue to build our business," said Angeliki Frangou, CEO and
Chairman of Navios. "We look forward to George's leadership and
continued contribution as he expands the financial group's
function."

Mr. Achniotis joined Navios in August of 2006 as Senior Vice
President-Business Development and assisted in a number of
financing and other projects successfully completed during the
past nine months.  Before joining Navios, Mr. Achniotis was a
partner at PricewaterhouseCoopers where he led the shipping
practice in Piraeus, Greece.  Mr. Achniotis has over 19 years
experience in finance, having worked in England, Cyprus and
Greece and is a qualified Chartered Accountant, member of the
Institute of Chartered Accountants in England and Wales and the
Institute of Certified Public Accounts in Cyprus.  Mr. Achniotis
also holds a Bachelor's degree in Civil Engineering from the
University of Manchester.

Commenting on Mr. McClure's new position, Ms. Frangou stated,
"During Mike's 29-year tenure with Navios, he has demonstrated
consistent excellence and developed as an industry leader
through his pioneering work on FFA trading with The Baltic
Exchange.  We are pleased the company and investors will
continue to benefit from Mr. McClure's leadership and industry
knowledge."

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 5, 2007, in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the existing non-financial
speculative-grade corporate issuers in Europe, Middle East and
Africa last week, the rating agency confirmed its B1 Corporate
Family Rating for Navios Maritime Holdings Inc.

The implementation of the LGD methodology in EMEA follows the
introduction of the methodology in September 2006.  Most of the
rating actions Moody's confirmed relate to senior secured loans.

                                                      Projected
                            Old POD  New POD  LGD     Loss-Given
   Debt Issue               Rating   Rating   Rating  Default
   ----------               -------  -------  ------  ----------
   Senior Unsecured
   Regular Bond/
   Debenture Due 2014       B2        B3      LGD5     80%




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


CMS ENERGY: Inks Pact to Sell Brazilian Unit for US$211.1 Mil.
--------------------------------------------------------------
CMS Energy and CMS Electric and Gas have entered into an
agreement to sell CMS Energy Brasil S.A., the holding company
for a group of Brazilian electric distribution companies, and
related assets for US$211.1 million.

CMS Energy and CMS Electric and Gas, a subsidiary of CMS Energy,
reached the agreement with CPFL Energia S.A., a Brazilian
utility.  The sale is subject to approval by the Brazilian
national regulatory agency, Agencia Nacional de Energia
Eletrica.

The sale is expected to close by the end of the second quarter.
Proceeds from the sale will be used to reduce debt at CMS Energy
and invest in CMS Energy's Michigan utility, Consumers Energy.

J.P. Morgan Securities Inc. served as financial advisor to CMS
Energy for the transaction.

CMS Energy Brasil provides electric service to about 172,000
customers, primarily in the state of Sao Paulo.  CMS Energy
purchased a controlling interest in CMS Energy Brasil in 1999.  
It is CMS Enterprises' sole business in Brazil.

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2007, Moody's Investors Service affirmed the ratings of
CMS Energy (Ba1 Corporate Family Rating) and Consumers Energy
(Baa2 senior secured) and revised the rating outlook of both to
positive from stable.  Moody's also affirmed CMS Energy's SGL-2
rating.


HERBALIFE LTD: Opens New Sales Unit in Phoenix, Arizona
-------------------------------------------------------
Herbalife Ltd. has opened a new sales center in Phoenix, Arizona
to better serve its independent distributors throughout Arizona
with a convenient location for product order and pick up, and
space to accommodate one-on-one meetings and presentations for
up to 70 people.

The new center is 5,800 sq. ft. and is capable of handling over
500 orders daily.  It is located at 1606 E. University Drive,
Suite 109, Phoenix, AZ, 85034

This is the fourth center in the U.S., following Dallas, Texas,
Memphis, Tenn., and Carson, Calif.  The Memphis and Carson
facilities are also distribution hubs, from which the company
ships packages around the country.

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: Investors to Get Tax-Exempt Yields
----------------------------------------------------------
Yields of investors in Venezuela who bought bonds issued by
state-owned Petroleos de Venezuela S.A. will be exempted from
income tax until 2012, El Universal reports.

The directive was signed by President Hugo Chavez at the
Ministerial Council and published in the Official Gazette, the
Caracas daily says.

Analysts quoted by El Universal said that bond prices may go
down as their deadlines will approach because the exemption is
only for five years.

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.

  
PETROLEOS DE VENEZUELA: Sells US$7.5 Billion of Bonds
-----------------------------------------------------
Venezuela's state-owned oil firm Petroleos de Venezuela SA told
Newsday that it sold US$7.5 billion of bonds, increasing the
issue from a planned US$5 billion.

According to Newsday, Petroleos de Venezuela sold these new
classes of bonds:

          -- US$3 billion of 2017s, priced at 105.5 on
             coupons of 5.25%;

          -- US$3 billion of 2027s, priced at 105.5 on
             coupons of 5.375%; and

          -- US$1.5 billion of 2037 bonds priced at 105.5 on
             coupons of 5.5%.

Newsday underscores that the offering was exclusive to
Venezuelans, who were able to purchase packages with these
composition:

          -- 40% in 10-year notes,
          -- 40% in 20-year notes, and
          -- 20% in 30-year notes.

The report says that Venezuelans were expected to buy the bonds
at an exchange rate of around VEB3,000 per US dollar and will be
able to sell them to international investors.

One of the Venezuelan government's objectives is to decrease
liquidity in the foreign exchange market by giving Venezuelans a
chance to obtain dollars, Newsday 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.


SANCOR COOPERATIVAS: Selling Up to 3K Tons of Milk to Venezuela
---------------------------------------------------------------
SanCor Cooperativas Unidas is to export 838.5 tons of milk to
Venezuela, El Universal reports, citing Argentine local press.  
Venezuela's official news agency ABN said the sales will be up
to 3,000 tons this year.

A statement issued by the Argentinean Secretariat of
Agriculture, Fisheries and Food, Ministry of Economy mandated
that Mastellone, Nestle and SanCor are to concentrate 65% of
dairy products sold to Venezuela this year, El Universal
relates.

Elias Jaua, Venezuelan minister of agriculture, disclosed that
SanCor is expected to eventually export 15,000 of milk annually
to Venezuela.

As previously reported, the Venezuelan government has pledged to
the Argentine cooperative access to US$135 million to pay debts
and provide fresh capital in order to avoid selling the coop to
foreign hands.

Headquartered in Santa Fe, Argentina, SanCor is a dairy milk
cooperative and one of the largest milk processors and marketers
in Argentina.  Annual revenues for the fiscal year ended June
2006, are ARS1.4 billion.

                        *     *     *

As reported on Jan. 15, 2007, Standard & Poor's rated SanCor
Coop. Unidas Ltda.'s debts at D:

   -- Obligaciones Negociables Serie 2, issued under the US$300
      million program, for US$19,000,000,

   -- Obligaciones Negociables Serie 3, included under the
      US$300 million program, for US$75,800,000.


* VENEZUELA: Posts 60,000 Daily Oil Output Increase in March
------------------------------------------------------------
Venezuela has raised daily crude production by 60,000 barrels,
El Universal reports, citing a monthly report from the Energy
Information Administration, the statistical arm of the U.S.
Department of Energy.

Late last year, the country has cut down production in
accordance with a mandate from the Organization of Petroleum
Exporting Countries to keep oil prices from a drastic plunge.  

Venezuela has posted 2.4 million barrels per day in March,
compared to 2.34 million barrels per day in February.

                        *     *     *

Venezuela's foreign currency long-term debt is rated B1 by
Moody's, B+ by Standard & Poor's, and BB- by Fitch.


* BOOK REVIEW: Building American Cities
---------------------------------------
Building American Cities: The Urban Real Estate Game
Author:     Joe R. Feagin and Robert E. Parker
Publisher:  Beard Books
Paperback:  332 pages
List Price: US$34.95

Order your personal copy at
http://www.amazon.com/exec/obidos/ASIN/1587981483/internetbankru
pt

This book is a volatile story of social conflict that rends the
very fabric of our society, but in the end gives shape to our
urban centers.

This second edition is the startling story of how American
cities emerge, grow, change, contract, decay, and become
resuscitated.

With keen insight, the authors analyze urban social processes,
such as population migration to suburbia and the effect of
foreign capital investment on U.S. real estate ventures.

Examining patterns in the location, development, financing, and
construction decisions of small and large corporations, the book
looks at the interplay of industrial and development
corporations with various levels of government.

In addition to political aspects, it reflects on the social
costs of unbridled urban growth and decline, pollution, wasted
energy, congestion, and the negative impact on minorities.


                         ***********


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

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

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

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

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

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


              * * * End of Transmission * * *