TCRLA_Public/070529.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

            Tuesday, May 29, 2007, Vol. 8, Issue 105

                          Headlines

A N T I G U A   &   B A R B U D A

BETONSPORTS: Officials Plead Guilty to Fraud Charges

A R G E N T I N A

AES CORPORATION: Provides Financial Guidance Through 2011
FAPA SRL: Trustee Verifies Proofs of Claim Por Via Incidental
INSTITUTO MODELO: Trustee Verifies Proofs of Claim Until June 22
MARANELLO AUTOMOTORES: Court Appoints Reynaldo Munch as Trustee
PINNACLE ENTERTAINMENT: Earns US$2.9 Mil. in Qtr. Ended March 31

TARAI SA: Proofs of Claim Verification Deadline Is July 10
TODONAVIDAD SRL: Proofs of Claim Verification Ends on Aug. 6

B A H A M A S

TEEKAY SHIPPING: Completes Initial Tender Offer for OMI Shares

B A R B A D O S

CABLE & WIRELESS: Reports Robust Growth in Barbados Operations
TARGUS GROUP: S&P Puts All Ratings Under Negative Watch

B E R M U D A

CIC SOFTWARE: Proofs of Claim Filing Is Until June 8
CIC SOFTWARE: Schedules Final General Meeting on June 26
ACCOUNTANTS PROFESSIONAL: Proofs of Claim Filing Ends on June 8
ACCOUNTANTS PROFESSIONAL: Final General Meeting Is on July 3
MARTIN CURRIE: Proofs of Claim Filing Ends on June 8

MARTIN CURRIE: Sets Final General Meeting for July 2

B O L I V I A

* BOLIVIA: Oil Ministry Hopeful with Energy Industry’s Growth

B R A Z I L

AMERICAN TOWER: Seeks US$1.25 Bil. Revolving Credit Refinancing
AMRO REAL: Inter-American Investment Okays Two Credit Lines
BANCO NACIONAL: Board Grants BRL349.5-Mil. Loan to Integracao
BANCO SCHAHIN: Moody's Assigns Ba3 Foreign Currency Rating
BASELL AF: Moody's Rates EUR1.65 Bln New Bank Facilities at Ba2

BRASKEM SA: To Halt Dimethyl Terephthalate Feedstock Production
BRASKEM SA: Using SmartPlant Software to Boost Productivity
GERDAU AMERISTEEL: Inks Deal with Steelworkers at Canadian Mill
GERDAU SA: Eyes Acquisition Outside Latin America
JAPAN AIRLINES: S&P Places B+ Credit Rating Under Negative Watch

PETROLEO BRASILEIRO: May Invest in Ethanol Pipeline
PETROLEO BRASILEIRO: Inks LNG Cooperation Pact with Sonatrach

* BRAZIL: Moody's Places Ratings on Review for Likely Upgrade
* BRAZIL: Currency Gains Due to Likely Moody's Upgrade

C A Y M A N   I S L A N D S

C60 EUROPEAN: Proofs of Claim Filing Is Until June 5
C60 EUROPEAN LONG: Proofs of Claim Must be Filed by June 5
CABLE & WIRELESS: Earns GBP174 Million in Year Ended March 31
NEMO INTERNATIONAL: Proofs of Claim Filing Deadline Is June 5
PACTUAL CORPORATE: Proofs of Claim Filing Is Until June 5

UNIVEST CONVERTIBLE: Proofs of Claim Filing Ends on June 6
UNIVEST DIVERSIFIED: Proofs of Claim Filing Deadline Is June 6
UNIVEST HIGH: Proofs of Claim Must be Filed by June 6

C H I L E

GENERAL MOTORS: May Sell Allison Transmission to Boost Liquidity
GENERAL MOTORS: SEC Inquiry May Need Restatement of Past Results

C O L O M B I A

HEXION SPECIALTY: Signs Pact with ARKEMA to Buy German Business

C U B A

* CUBA: Inks Cooperation & Technical Aid Agreement with India
* CUBA: To Build Hydroelectric Plant in Rio Grande

D O M I N I C A N   R E P U B L I C

GERDAU SA: Buying 30% Stake in Industrias Nacionales for US$42MM

E L   S A L V A D O R

PERRY ELLIS: George Pita To Resign as Chief Financial Officer

G U A T E M A L A

BRITISH AIRWAYS: Cancels Italy Flights Due to Alitalia Strike
BRITISH AIRWAYS: Investing GBP25 Mln on New 550 Airport Vehicles

G U Y A N A

DIGICEL LTD: Will Implement New Weekend Phone Call Rates

J A M A I C A

AIR JAMAICA: Edmund Bartlett Criticizes London Route Sale
NATIONAL WATER: Investing Under US$390MM on Computerized System
NATIONAL WATER: Must Settle Impasse with Major Supplier

M E X I C O

AMSCAN HOLDINGS: Credit Increase Cues S&P to Affirm Ratings
BAUSCH & LOMB: Advanced Medical May Vie with Warburg Pincus' Bid
EMPRESAS ICA: Inks Contract to Build Water Supply in Queretaro
EPICOR SOFTWARE: Earns US$4.4 Mil. in First Qtr. Ended March 31
PORTRAIT CORP: Waiting Period on CPI Corp.'s Acquisition Expires

RIO VISTA: Incurs US$470,000 Net Loss in Quarter Ended March 31

N I C A R A G U A

* NICARAGUA: Taking Steps To Solve Energy Deficit

P A N A M A

AES CORP: Acquires 51% Stake in IC ICTAS Energy Group
AES CORP: Awards US$7.1-Million Compensation to Paul Hanrahan
AES CORP: Eyes 20% Boost in Earnings Through 2011

P U E R T O   R I C O

ADVANCE AUTO: Elwyn Murray Assumes Exec. VP-Merchandising Role
ADVANCED MEDICAL: Mulls Competing Offer for Bausch & Lomb
ADVANCED MEDICAL: B&L Acquisition Cues S&P's Developing Watch
SANTANDER BANCORP: Board Declares US$0.16 Per Share Dividend

T R I N I D A D   &   T O B A G O

DIGICEL LTD: Peter Permell Calls on Firm To Make Public Apology

U R U G U A Y

GENERAL MOTORS: In Talks w/ Investors About Delphi's Ch. 11 Exit
GENERAL MOTORS: Gets US$4.1 Bil. Credit Facility Commitments

V E N E Z U E L A

DAIMLERCHRYSLER AG: Court Authorizes Collins & Aikman Settlement
DAIMLERCHRYSLER AG: Chery Denies Report About Deal's Delay
PETROLEOS DE VENEZUELA: Bonds Affected by RCTV Conflict
PETROLEOS DE VENEZUELA: Government Creating Three Units

* VENEZUELA: RCTV Hands Over Broadcast Infrastructure to Gov't


                          - - - - -


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


BETONSPORTS: Officials Plead Guilty to Fraud Charges
----------------------------------------------------
Officials of Internet gambling firm BetOnSports have pleaded guilty to
"racketeering charges" on behalf of the company before the federal court
in St. Louis, The Associated Press reports.

Catherine Hanaway, Esq., said in a statement that by pleading guilty,
BetOnSports admitted that:

          -- it ran an illegal gambling business,
          -- laundered money, and
          -- committed mail and wire fraud.

In exchange for immunity against future related charges filed against
BetOnSports directors, the company agreed to bring forth witnesses and
evidence in the pending cases against the co-defendants, GamingNews.com
notes.

According to GamingNews.com, BetOnSports could be fined about US$500,000
or more, based on the financial gain or loss caused by the enterprise.
The firm will undergo permanent injunction that requires it to repay money
received from US gamblers as of
June 1, 2006.

GamingNews.com relates that BetOnSports is in the process of paying off
clients, creditors and works, with the help of the Financial Services
Regulatory Committee in Antigua.

Earlier this month, BetOnSports founder Gary Stephen Kaplan pleaded not
guilty to racketeering and other charges, according to Ms. Hanaway's
statement.

The trial against Mr. Kaplan and BetOnSports Chief Executive David
Carruthers continues, the AP says.

The AP relates that the prosecutors argued Mr. Kaplan's release, saying
that the BetOnSports founder had planned to escape to a country that would
not extradite him.

The prosecutors told the AP that Mr. Kaplan had these items when he was
arrested in March:

          -- a handcuff key,
          -- five passports, and
          -- cash from four nations.

Mr. Kaplan was arrested in the Dominican Republic.  His passports had his
picture, different names, places of birth or other information, the AP
says, citing Mike Fagan, the lead prosecutor.

Emily Swoboda at GamingNews.com emphasizes that Mr. Fagan said the
passports included:

          -- one from Israel in a name other than Mr. Kaplan's,

          -- a US passport acquired in Costa Rica for which he
             failed to provide his real social security number;

          -- two Peruvian passports with fake names, with one
             that belonged to a woman; and

          -- one Dominican Republic passport.

Mr. Kaplan has had others securing lodging for him in names other than his
own, GamingNews.com's Ms. Swoboda notes, citing Mr. Fagan.

Referring to an FBI affidavit, Mr. Fagan said that the large sums of cash
came "from countries where extradition is difficult or impossible."  Mr.
Kaplan's plan to win diplomatic protection and asylum in Nicaragua was
detailed in a spiral notebook.  Mr. Kaplan has US$107 million in assets in
other countries and has multiple bank accounts, the AP relates.

GamingNews.com's Ms. Swoboda underscores that Mr. Kaplan has traveled to
Israel, Venezuela and Argentina on his US passport.  He admitted to
bribing authorities.

Warren Hoeffner, Mr. Kaplan's father-in-law told the AP that the
BetOnSports founder thought he could legally operate a gambling business
outside the US.  Mr. Kaplan wouldn't flee or do anything that might hurt
his relatives.  Mr. Kaplan's wife is purchasing a house in St. Louis and
is will be moving there with their two children.  Mr. Hoeffner said that
he could put up houses that total about US$6.6 million to ensure Mr.
Kaplan's appearance in court.

Mr. Kaplan's legal representatives requested U.S. Magistrate Judge Mary
Ann Medler for more time to answer the accusations, the AP notes.

Meanwhile, GamingNews.com says that Mr. Carruthers remains on house arrest
in St. Louis.  He was arrested in Dallas while changing planes on his way
to Costa Rica.  He pled not guilty on May 14.

A trial date has not been set, the AP states.

BetOnSports was forced in August 2006 to close down its US
business.  The US action against on online gaming started in
July 2006 with the arrest of BetOnSports Chief Executive David
Carruthers, Reuters states.

As reported in the Troubled Company Reporter-Latin America on
Feb. 23, 2007, BetOnSports was ordered last year by a U.S.
federal court to stop operating in Antigua and Costa Rica --
from where it accepted bets from thousands of American
customers.  The federal court ruling said that deposits paid by
American bettors should be returned.  In December 2006, the
Eastern Caribbean Supreme Court ruled that the online gambling
company couldn't sell its Antiguan operations.  Instead, the
company was asked to provide the regulatory commission an
account of all its assets.

BetonSports is an online gaming company publicly trading on the
London Stock Exchange, but has no operations in the United
Kingdom.  Around 80% of the company's business operates in the
United States, where sports betting is illegal except in the
State of Nevada.  The group also has operations in China,
Argentina, and Mexico.  BetOnSports was ordered last year by a
U.S. federal court to stop operating in Antigua and Costa Rica
-- from where it accepted bets from thousands of American
customers.




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


AES CORPORATION: Provides Financial Guidance Through 2011
---------------------------------------------------------
The AES Corporation announced its long-term financial guidance through 2011.

Diluted earnings per share from continuing operations are expected to
increase from 2007 guidance of US$1.04 to between US$1.75 and US$2.15 in
2011, yielding a compound annual growth rate -- CAGR -- of between 14% and
20%.  Net cash flow from operating activities is expected to increase from
US$2.2 billion to US$2.3 billion in 2007 to between US$3 billion and US$4
billion in 2011, an increase of between 30% and 74%.  Free cash flow (a
non-GAAP financial measure) is expected to increase from between US$1.2
billion and US$1.4 billion in 2007 to between US$2.3 billion and US$3.3
billion in 2011, an increase of between 64% and 136%. Subsidiary
distributions (a non-GAAP financial measure) are expected to increase from
US$1.1 billion in 2007 to between US$1.5 billion and US$2.5 billion in
2011, an increase of between 36% and 127%.

"We continue to see AES delivering strong long-term earnings growth
through our business development pipeline and investment in new and
adjacent markets," said AES President and Chief Executive Officer Paul
Hanrahan.  "Alternative energy is a promising sector within the energy
industry and will be an important driver in our overall growth strategy.
We also will continue to deliver long-term earnings growth from our core
power business, by focusing our expansion efforts on markets with a
growing demand for power."

In its core power business, AES plans to expand its current base of 40,000
MW worldwide to up to 46,500 MW by 2011.  The company currently has five
power plants under construction totaling 1,682 MW in four countries and
20,000 MW of potential new greenfield power plants worldwide in its
development pipeline.  AES will focus its expansion in selected markets
where it currently has a significant presence or in new markets that have
a high growth potential through platform expansions, selective
acquisitions and other new projects.

In the area of alternative energy, the Company plans to more than triple
its wind capacity over the next four years by adding approximately 2,100
MW in new wind generation worldwide by 2011.  The company has 600 MW of
wind generation in operations, one 233 MW power plant under construction
and 3,000 MW of wind projects in various stages of development throughout
the world.  In the emerging greenhouse gas emission offset industry, the
Company has targeted a production level of up to 26 million tons per year
of tradable offsets, or Certified Emission Reductions, by 2011.

AES Corp. -- http://www.aes.com/-- is a global power company.
The company operates in South America, Europe, Africa, Asia and
the Caribbean countries.  Generating 44,000 megawatts of
electricity through 124 power facilities, the company delivers
electricity through 15 distribution companies.

AES Corp.'s Latin America business group is comprised of
generation plants and electric utilities in Argentina, Brazil,
Chile, Colombia, Dominican Republic, El Salvador, Panama and
Venezuela.  Fuels include biomass, diesel, coal, gas and
hydro.  The group also pursues business development activities
in the region.  AES has been in the region since May 1993, when
it acquired the CTSN power plant in Argentina.

                        *     *     *

In Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
given-default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.


FAPA SRL: Trustee Verifies Proofs of Claim Por Via Incidental
-------------------------------------------------------------
The court-appointed trustee for Fapa S.R.L.'s bankruptcy proceeding,
verifies creditors' proofs of claim "por via incidental."

The trustee will present the validated claims in court as individual
reports.  The National Commercial Court of First
Instance in Santa Fe 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 Fapa 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 Fapa's accounting and banking
records will be submitted in court.

Infobae did not state the reports submission dates as well as the name of
the trustee.

The debtor can be reached at:

          Fapa S.R.L.
          Ruta Provincial Numero 2,
          Km. 12.5, Monte Vera
          Santa Fe, Argentina


INSTITUTO MODELO: Trustee Verifies Proofs of Claim Until June 22
--------------------------------------------------------------
Marcos Adrian Santa Cruz, the court-appointed trustee for
Instituto Modelo Viedma S.R.L.'s reorganization proceeding, verifies
creditors' proofs of claim until June 22, 2007.

The National Commercial Court of First Instance in Viedma, Rio Negro,
approved a petition for reorganization filed by Instituto Modelo Viedma,
according to a report from Argentine daily Infobae.

Mr. Santa Cruz will present the validated claims in court as individual
reports on Aug. 31, 2007.  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 Instituto Modelo Viedma
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 Instituto Modelo's accounting
and banking records will be submitted in court on
Oct. 1, 2007.

The informative assembly will be held on April 9, 2008.
Creditors will vote to ratify the completed settlement plan
during the assembly.

The trustee can be reached at:

          Marcos Adrian Santa Cruz
          Saavedra 566, Viedma
          Rio Negro, Argentina


MARANELLO AUTOMOTORES: Court Appoints Reynaldo Munch as Trustee
---------------------------------------------------------------
The National Commercial Court of First Instance No. 1 in Buenos
Aires, with the assistance of Clerk No. 2, has appointed Otto Reynaldo
Munch as the trustee for Maranello Automotores SA's reorganization
proceeding.

The court approved a petition for reorganization filed by Maranello
Automotores, according to a report from Argentine daily La Nacion.

Mr. Munch will verify creditors' proofs of claim.  He 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
Maranello Automotores 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 Maranello Automotores'
accounting and banking records will be submitted in court.

La Nacion did not state the reports submission dates.

The trustee can be reached at:

          Otto Reynaldo Munch
          Maipu 509
          Buenos Aires, Argentina


PINNACLE ENTERTAINMENT: Earns US$2.9 Mil. in Qtr. Ended March 31
----------------------------------------------------------------
Pinnacle Entertainment Inc. reported net income of US$2.9 million, versus
the prior-year quarter's net income of US$13.5 million.  Such results
reflect significant pre-opening and development costs, non-cash charges
related to stock compensation and losses from discontinued operations.

For the first quarter of 2007, revenues were US$232.8 million.  The first
quarter's results reflect the benefit of the December 2006 acquisition of
the President Riverboat Casino.  For the 2006 first quarter, revenues were
US$234.1 million.  The 2006 results included exceptional first quarter
operating results at Boomtown New Orleans, which benefited from the
temporary closure of many competitors in the New Orleans and Gulf Coast
areas following the major hurricanes of 2005.

The company's balance sheet as of March 31, 2007, had total assets of US$2
billion, total liabilities of US$1 billion, and total stockholders' equity
of US$965 million.

                         Liquidity

The company had about US$441 million in cash, cash equivalents and
restricted cash at March 31, 2007.  Of the company's US$1 billion bank
credit facility, about US$707 million remained unutilized as of March 31,
2007.

The company's working capital was US$364.1 million at
March 31, 2007, versus US$75.5 million at Dec. 31, 2006, the increase
primarily attributed to the common stock offering completed in early 2007.

In January 2007, the company completed the issuance of 11.5 million newly
issued shares of common stock, resulting in net proceeds of about US$353
million, US$60 million of which was used to repay the company's revolver
facility in February 2007.

As of March 31, 2007, the company's debt consisted of US$275 million of
term loans under the credit facility, various letters of credit totaling
about US$18.3 million and two issues of senior subordinated indebtedness:
US$300 million aggregate principal amount of 8.25% senior subordinated
notes due March 2012 and US$135 million aggregate principal amount of
8.75% senior subordinated notes due October 2013.

As of March 31, 2007, the company had a US$1 billion bank credit facility,
including a US$625 million revolving credit facility and a US$375 million
term loan facility, which facilities mature in December of 2010 and 2011,
respectively.

A full-text copy of the company's first quarter 2007 report is available
for free at http://ResearchArchives.com/t/s?1ffe

"Our properties are continuing to perform well and posted solid overall
results in the quarter," said Daniel R. Lee, chairman and chief executive
officer of Pinnacle Entertainment Inc.  "Just as important, we've made
significant progress on our development pipeline.  Both Lumière Place and
our hotel expansion at L'Auberge du Lac will be 'topping off' this month.
We continue to work on the design of our Atlantic City project while
preparing the project site.  In Baton Rouge, we put more than 500 acres of
land under contract and have announced plans for a creative mixed-use
development anchored by a luxurious casino and championship golf course."

                 About Pinnacle Entertainment

Headquartered in Las Vegas, Nevada, Pinnacle Entertainment Inc.
(NYSE: PNK) -- http://www.pnkinc.com/-- owns and operates casinos in
Nevada, Louisiana, Indiana and Argentina, owns a hotel in Missouri,
receives lease income from two card club casinos in the Los Angeles
metropolitan area, has been licensed to operate a small casino in the
Bahamas, and owns a casino site and has significant insurance claims
related to a hurricane-damaged casino previously operated in Biloxi,
Mississippi.  Pinnacle opened a major casino resort in Lake Charles,
Louisiana in May 2005 and a new replacement casino in Neuquen, Argentina
in July 2005.

                        *     *     *

Pinnacle Entertainment Inc. carries Moody's Investors Service's B2
Corporate Family Rating.

At the same time, the company carries Standard & Poor's Ratings Services
'BB-' rating and '1' recovery rating following Pinnacle's announcement of
a US$250 million senior secured bank facility add-on.


TARAI SA: Proofs of Claim Verification Deadline Is July 10
----------------------------------------------------------
Ana Maria Lopez, the court-appointed trustee for Tarai S.A.'s bankruptcy
proceeding, verifies creditors' proofs of claim until July 10, 2007.

Ms. Lopez will present the validated claims in court as individual reports
on Sept. 6, 2007.  The National Commercial Court of First Instance in
Buenos Aires will determine if the verified claims are admissible, taking
into account the trustee's opinion, and the objections and challenges that
will be raised by Tarai 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 Tarai's accounting and banking
records will be submitted in court on Oct. 19, 2007.

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

The trustee can be reached at:

          Ana Maria Lopez
          San Martin 662
          Buenos Aires, Argentina


TODONAVIDAD SRL: Proofs of Claim Verification Ends on Aug. 6
------------------------------------------------------------
Ulrico Luis Lauren, the court-appointed trustee for Todonavidad SRL's
bankruptcy proceeding, verifies creditors' proofs of claim until Aug. 6
2007.

Mr. Lauren will present the validated claims in court as individual
reports.  The National Commercial Court of First
Instance No. 1 in Buenos Aires, with the assistance of Clerk
No. 2, 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 Todonavidad 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 Todonavidad's accounting and
banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

          Todonavidad SRL
          Uriburu 362
          Buenos Aires, Argentina

The trustee can be reached at:

          Ulrico Luis Lauren
          Libertad 293
          Buenos Aires, Argentina




=============
B A H A M A S
=============


TEEKAY SHIPPING: Completes Initial Tender Offer for OMI Shares
--------------------------------------------------------------
Teekay Shipping Corporation and A/S Dampskibsselskabet TORM reported that,
based on preliminary information provided by the depositary, OMI
Corporation shareholders tendered approximately 49,762,507 shares
(including shares tendered pursuant to guaranteed delivery procedures),
which, after accounting for the 2,415,610 restricted shares that will be
cancelled on the date of purchase of the tendered shares, represents
approximately 83.5% of all outstanding shares.  Pursuant to the terms of
the tender offer by Teekay and TORM for all of the outstanding common
stock of OMI, all shares that were validly tendered and not withdrawn have
been accepted for payment.  The initial period of the tender offer expired
at 5:00 p.m., New York City time, on May 25, 2007.  Teekay and TORM intend
to make payment on May 31, 2007, to OMI shareholders that validly tendered
shares.  The same day that the shares are purchased, OMI will pay a
special cash dividend in the amount of US$0.10 per share, assuming a May
31, 2007, purchase date.  Payment for shares validly tendered during the
initial offering period shall be made promptly in accordance with the
terms of the tender offer.

Teekay and TORM also commenced a subsequent offering period for all
remaining OMI shares that will expire at 5:00 p.m., New York City time, on
Tuesday, June 5, 2007, unless further extended.  During the subsequent
offering period, shares will be accepted for payment as they are tendered
at the same offer price paid during the initial offer period of US$29.25
net per share in cash.  All shares validly tendered during this subsequent
offering period will be immediately accepted and payment will be made
promptly after acceptance, in accordance with the terms of the offer.
Shares tendered during the subsequent offering period may not be withdrawn
and cannot be delivered by the guaranteed delivery procedure.

Teekay Shipping Corp., a Marshall Islands corporation
headquartered in Nassau, Bahamas, transports more than 10% of
the world's sea borne oil and has expanded into the liquefied
natural gas shipping sector through its publicly listed
subsidiary, Teekay LNG Partners L.P., and into the offshore
production, storage and transportation sector through its
publicly-listed subsidiary, Teekay Offshore Partners L.P.  With
a fleet of over 140 tankers, offices in 17 countries and 5,100
seagoing and shore-based employees, Teekay provides a
comprehensive set of marine services to the world's leading oil
and gas companies, helping them seamlessly link their upstream
energy production to their downstream processing operations.

                            *    *    *

As reported in the Troubled Company Reporter-Latin America on
April 23, 2007, Moody's Investors Service affirmed the debt
ratings of Teekay Shipping Corporation (Ba3 senior unsecured,
Ba2 corporate family, SGL-2 speculative grade liquidity rating,
negative outlook) upon the announcement of the planned
acquisition of OMI Corporation (B1 senior unsecured, Ba3
corporate family, stable outlook) through an acquisition vehicle
jointly owned by Teekay and A/S Dampskibsselskabet TORM.  The
acquisition assigns an enterprise value to OMI of US$2.2
billion, including the assumption of the net debt of OMI, which
stood at US$390 million at Dec. 31, 2006.




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


CABLE & WIRELESS: Reports Robust Growth in Barbados Operations
--------------------------------------------------------------
Chris Hetherington, Cable & Wireless' Chief Executive Officer for the
Americas and Caribbean, told the Caribbean Broadcasting Corp. that the
Barbadian market showed robust growth this year.

Cable & Wireless' broadband subscribers grew by 75% this year, compared to
last year.  Meanwhile, mobile clients increased by 27%, CBC relates.

At the end of the financial year ended March 31, 2007, mobile client base
increased by 44% compared to the previous period, CBC notes, citing Cable
& Wireless' unit C&W International.

Cable & Wireless' mobile revenue rose 19% to GBP406 million in 2006,
compared to the previous year.  Its and broadband revenue increased by 45%
to GBP77 million.  Meanwhile, operating profit grew 6% to GBP277 million,
CBP states.

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.
The company has operations are in the United Kingdom, India,
China, the Cayman Islands and the Middle East.

                        *     *     *

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.

* Issuer: Cable & Wireless Plc
                                             Projected
                           Debt     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
                           Debt     LGD      Loss-Given
   Debt Issue              Rating   Rating   Default
   ----------              -------  -------  --------
   GBP200 million
   8.625% Senior Unsecured
   Regular Bond/Debenture
   Due 2019                B1       LGD4     60%

Cable & Wireless Plc's long-term and short-term foreign issuer
credit carry Standard & Poor's BB- ratings.  Its short-term
foreign and local issuer credit were rated at B.  The outlook is
negative.


TARGUS GROUP: S&P Puts All Ratings Under Negative Watch
-------------------------------------------------------
Standard & Poor's Ratings Services placed all of its ratings on Targus
Group International Inc., including the 'B' corporate credit rating, on
CreditWatch with negative implications.

"The CreditWatch listing is based on the company's weaker-than-expected
progress in reducing excess inventories through
March 31, 2007, and the expectation that covenant cushion will
significantly tighten in the coming quarters," said Standard & Poor's
credit analyst Christopher Johnson.

"Although year-to-date EBITDA and sales have met and exceeded the
company's 2007 budget, margins continue to be pressured by higher raw
material costs and product mix, and debt leverage remains very high," said
Mr. Johnson.

Standard & Poor's will review Targus' strategic plan with management,
evaluate their progress in reducing excess inventories, and monitor the
status of the company's liquidity and covenant cushion before resolving
the CreditWatch.

                          About Targus

Targus Group International Inc. -- http://www.targus.com/-- invented the
notebook case and continues to advance the mobile accessories category
with innovative and relevant solutions for today's mobile lifestyle.
Targus products enhance productivity, connectivity, and security,
liberating users to work in any and all environments with the utmost
convenience and comfort.  Founded in 1983, Targus headquarters are located
in Anaheim, California, with offices worldwide and distribution agreements
in more than 100 countries, including Germany, France, Italy, Spain and
United Kingdom.  The company has Latin America operations in Argentina,
Barbados, Costa Rica and El Salvador.




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


CIC SOFTWARE: Proofs of Claim Filing Is Until June 8
----------------------------------------------------
CIC Software Technologies Ltd.'s creditors are given until
June 8, 2007, to prove their claims to Ernest A. Morrison, 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.

CIC Software's shareholders agreed on May 21, 2007, to place the company
into voluntary liquidation under Bermuda's Companies Act 1981.

The liquidator can be reached at:

         Ernest A. Morrison
         Milner House, 18 Parliament Street
         Hamilton, Bermuda


CIC SOFTWARE: Schedules Final General Meeting on June 26
--------------------------------------------------------
CIC Software Technologies Ltd.'s final general meeting is scheduled on
June 26, 2007, at 10:00 p.m. at:

         Milner House, 18 Parliament Street
         Hamilton HM12, Bermuda

These matters will be taken up during the meeting:

     -- receiving an account showing the manner in which the
        winding-up of the company has been conducted and its
        property disposed of and hearing any explanation that
        may be given by the liquidator;

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

     -- by resolution dissolving the company.

The liquidator can be reached at:

         Ernest A. Morrison
         Milner House, 18 Parliament Street
         Hamilton, Bermuda


ACCOUNTANTS PROFESSIONAL: Proofs of Claim Filing Ends on June 8
---------------------------------------------------------------
The Accountants Professional Risk Insurance Ltd.'s creditors are given
until June 8, 2007, to prove their claims to Paul Van Elten and Keith
Vance, 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.

The Accountants shareholders agreed on May 22, 2007, to place the company
into voluntary liquidation under Bermuda's Companies Act 1981.

The liquidators can be reached at:

         Paul Van Elten
         Keith Vance
         Craig Appin House, 8 Wesley Street
         Hamilton, Bermuda


ACCOUNTANTS PROFESSIONAL: Final General Meeting Is on July 3
------------------------------------------------------------
The Accountants Professional Risk Insurance Ltd.'s final general meeting
is scheduled on July 3, 2007, at 9:30 a.m. at:

         Craig Appin House, 8 Wesley Street
         Hamilton, Bermuda

These matters will be taken up during the meeting:

     -- receiving an account showing the manner in which the
        winding-up of the company has been conducted and its
        property disposed of and hearing any explanation that
        may be given by the liquidator;

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

     -- by resolution dissolving the company.

The liquidators can be reached at:

         Paul Van Elten
         Keith Vance
         Craig Appin House, 8 Wesley Street
         Hamilton, Bermuda


MARTIN CURRIE: Proofs of Claim Filing Ends on June 8
----------------------------------------------------
Creditors of Martin Currie Predecessor Fund Ltd., fka Martin Currie China
"A" Fund Limited, are given until June 8, 2007, to prove their claims to
Peter Martin, 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.

Martin Currie's shareholders agreed on May 21, 2007, to place the company
into voluntary liquidation under Bermuda's Companies Act 1981.

The liquidator can be reached at:

         Peter Martin
         Mello Jones & Martin
         Hamilton, Bermuda


MARTIN CURRIE: Sets Final General Meeting for July 2
----------------------------------------------------
Martin Currie Predecessor Fund Ltd., fka Martin Currie China "A" Fund
Limited's final general meeting is scheduled on
July 2, 2007, at 10:00 p.m. at:

         Thistle House, 4 Burnaby Street
         Hamilton, Bermuda

These matters will be taken up during the meeting:

     -- receiving an account showing the manner in which the
        winding-up of the company has been conducted and its
        property disposed of and hearing any explanation that
        may be given by the liquidator;

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

     -- by resolution dissolving the company.

The liquidator can be reached at:

         Peter Martin
         Mello Jones & Martin
         Hamilton, Bermuda




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


* BOLIVIA: Oil Ministry Hopeful with Energy Industry’s Growth
-------------------------------------------------------------
Bolivia's Oil Ministry says that the country will turn into a center of
the South American energy market due to the construction of the region's
largest gas pipelines, Prensa Latina reports.

Energy Minister Carlos Villegas said in an interview that only Argentina's
Northeastern Gas Pipeline -- GNEA -- with an area of 932 miles, will
guarantee supplies to Buenos Aires and Brazil.

Citing Mr. Villegas, Prensa Latina relates that the GNEA construction
project, signed by Bolivian Presidents Evo Morales and his Argentine
counterpart Nestor Kirchner on Oct. 19 last year, is expected to be
completed on December 2009.

Reports show that Bolivia ranks as the second South American country with
the largest gas reserves.

                        *     *     *

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




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


AMERICAN TOWER: Seeks US$1.25 Bil. Revolving Credit Refinancing
---------------------------------------------------------------
American Tower Corporation is seeking to refinance the existing senior
secured credit facilities at the American Tower operating company level
with its new senior unsecured credit facility.  The proposed new credit
facility is expected to consist of a
US$1.25 billion revolving credit facility.

The company is in the process of requesting commitments from a group of
lenders for the new credit facility, and is seeking to have the new credit
facility in place before the end of the second quarter of 2007.  The new
credit facility would be subject to satisfactory lender commitments,
negotiation, execution and delivery of definitive loan documentation and
various other conditions.

The company expects to use borrowings under the new credit facility in
part to repay all amounts outstanding under the existing operating company
credit facilities, under which approximately US$1 billion in principal
amount is currently outstanding.  The balance of the new credit facility
would be available for general corporate purposes, including purchases of
shares of the Company’s Class A common stock.

                       About American Tower

Based in Boston, Massachusetts, American Tower Corporation
(NYSE: AMT) -- http://www.americantower.com/-- is an independent owner,
operator and developer of broadcast and wireless communications sites in
the U.S., Mexico and Brazil.  American Tower owns and operates over 22,000
sites and manages about 2,000 revenue producing rooftop and tower sites.

                          *     *     *

As reported in the Troubled Company Reporter on Feb. 16, 2007,
Moody's Investors Service upgraded the corporate family rating of American
Tower Corporation to Ba1 from Ba2, and affirmed the
company's SGL-1 liquidity rating.  The outlook is stable.


AMRO REAL: Inter-American Investment Okays Two Credit Lines
-----------------------------------------------------------
The Inter-American Investment Corporation said in a press release that it
has ratified two credit lines of up to US$100 million for ABN Amro Real.

IIC told Business News Americas that the first loan is about US$15
million, while the second is US$85 million.  The loans will be used to
fund lending operations to over 1,400 small and medium-sized enterprises
in Brazil.

IIC General Manager Jacques Rogozinski said in March that the corporation
would expand lending to small and medium-sized enterprises in Latin
America by 25% in 2007, compared to 2006, BNamericas states.

ABN Amro Real specializes in commercial banking, capital
markets, corporate banking, asset management, and trade finance.
Its more than 22,000 employees assist over five million clients
throughout five thousand different points of sales.  In 1999,
the bank merged with Brazil's Banco Real.  The regional office
for Latin America and the Caribbean is located in Brazil.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept 4, 2006, Moody's Investors Service upgraded Banco ABN AMRO
Real S.A.'s long-term foreign currency deposits to Ba3, from B1.
Moody's said the rating outlook is stable.


BANCO NACIONAL: Board Grants BRL349.5-Mil. Loan to Integracao
-------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social aka BNDES' directors
approved a BRL349.5 million financing to Integracao Transmissora de
Energia S/A.  The funds will be destined for the installation of a group
of transmission lines and substations that comprise stretch 2 of Complexo
de Interligacao Norte - Sul III [Interconnection North-South III Complex].
The new stretch, representing a 695-kilometer expansion, will
interconnect the municipalities of Colinas to Minacu.  BNDES will
participate with 70% of the total cost estimated for the project, of
BRL499.5 million.

Among the merits of the investments is the generation of 1.5 thousand
direct jobs during the construction phase and another 400 indirect.  The
new line will ensure benefits to the Sistema Interligado Nacional
[National Interconnected System], such as the outflow or energy from the
new generation point located in the States of Tocantins and Para.  Besides
that, it will enable reduction of transmission losses in the region, with
direct repercussion on SIN transmission cost.

The project supported by BNDES will also increase the power export
capacity of the Northern Region, from 2.3 thousand MW in average, to 3.9
thousand MW in average, and the power import and export capacity of the
Southern Region, from 1.7 thousand MW in average, to 3.4 thousand MW in
average.

Integracao Transmissora de Energia is a Specific Purpose Company, formed
by Fundo de Investimento em Participacoes Brasil Energia, Eletronorte,
Chesf and Engevix Engenharia.

                         Environmental

The project contemplates different environmental impact mitigating
programs and will rely on Environmental Management Plans for the
construction and control of solid residues.  Among the projects aimed at
mitigating the impact of the works on the environment are, for example,
Programa de Educação Ambiental [Environmental Education Program],
Monitoramento e Controle de Processos Erosivos [Monitoring and Control of
Erosive Processes], Recuperacao de Areas Degradadas [Recuperation of
Degraded Areas], Supressao de Vegetacao [Supression of Vegetation],
Monitoramento da Fauna e Recuperacao de Areas Degradadas [Monitoring of
the Fauna and Recuperation of Degraded Areas].

                         About BNDES

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

                        *     *     *

As reported on Nov. 27, 2006, Standard & Poor's Ratings Services
changed the ratings outlook to Positive from Stable on Banco
Nacional de Desenvolvimento Economico e Social SA's BB Foreign
currency counterparty credit rating and BB+ Local currency
counterparty credit rating.


BANCO SCHAHIN: Moody's Assigns Ba3 Foreign Currency Rating
----------------------------------------------------------
Moody's Investors Service assigned a Ba3 long-term foreign currency rating
to Banco Schahin S.A.'s US$300 million Global Euro Medium-term Note
Program, with a stable outlook.

Moody's also intends to assign a (P)Ba3 long-term foreign currency rating
to the senior unsecured notes in the amount of US$100 million to be issued
under the program.

Moody's stated that the Ba3 bond rating incorporates Banco Schahin's
fundamental credit quality, which is reflected by its Ba3 global
local-currency deposit rating, and which includes all relevant country
risks.  At this rating level, Schahin's foreign currency bond rating is
unconstrained by Brazil's country ceiling.

Banco Schahin is headquartered in Sao Paulo, Brazil.  As of March 31,
2007, the bank had R$1.544 billion (US$703.4billion) in total assets and
R$202.1 million (U$92.1 million) in shareholders' equity.

This rating was assigned to Banco Schahin S.A.:

   -- US$300million Global Medium Term Note Program: Long-Term
      Foreign-Currency Bond Rating of Ba3, stable outlook.

This rating is expected to be assigned:

   -- US$100 million Senior Unsecured Notes due in 2010:
Long-Term Foreign Currency Bond Rating of (P)Ba3,
      stable outlook.


BASELL AF: Moody's Rates EUR1.65 Bln New Bank Facilities at Ba2
---------------------------------------------------------------
Moody's Investors Service changed the outlook on ratings of Basell AF SCA
and its subsidiaries to positive and assigned Ba2/LGD 2 (29%) to the new
EUR1.65 billion senior secured bank facilities raised by the group to
refinance part of its original LBO package.

Basell performance in 2006 was robust as the company continued to benefit
from the cyclical upturn in the polyolefin markets. Strong pricing
environment and growing volumes allowed Basell to generate strong FCF and
reduce its absolute debt to a more sustainable level.  Taking into account
the effects from the change in the technology revenue accounting policy,
Basell's reported EBITDA stood at EUR1.1 billion and adjusted leverage was
reduced to x3.2 times at the end of 2006.

In the medium term, Moody's notes that Basell's FCF will be mainly
affected by CAPEX requirements (including part of the rebuild of
Munchsmunster not covered by insurance compensation) and equity
contributions to the JVs to deliver future profitable growth; while an
efficient WC management, further strengthening of FCF contribution from
the differentiated products and increasing distributions from the new JVs
are expected to support Basell's FCF as the cycle turns.

Moody's review of the outlook for positive reflects continued strength of
the polyolefins cycle, while the key risks relate to the prospects of
sustained GDP growth in Basell's key markets and in Asia.  Looking
forward, the improvement of the ratings will depend on the ability to
sustain strong FCF through the cycle and maintain the strong balance
sheet. Moody's expects that Basell will continue to exercise its prudent
financial discipline, while actively managing its portfolio of assets.
The rating and the outlook do not factor any M&A activity.

In May 2007, Basell refinanced its senior secured bank facilities with new
EUR1.65 billion revolving facilities supported by guarantees and
first-ranking pledge of shares in group companies representing at least
50% of EBITDA and 65% of total assets.

These ratings were affected:

   * Basell AF SCA:

     -- Corporate Family Rating -- Ba3 / PD rating - Ba3;

     -- EUR500 million and US$615 million 2015 senior secured
        guaranteed notes - B2 / LGD at 5 (84%);

   * Basell Finance Company

     -- USD 300 m senior guaranteed notes - B2 / LGD at 5 (84%);

   * Basell AF SCA and its subsidiaries

     -- Senior secured bank facilities - PD at Ba2 and LGD at 2
        (29%).

Headquartered in The Netherlands, Basell AF SCA -- http://www.basell.com/
-- is the producer of polypropylene and advanced polyolefins products, a
leading supplier of polyethylene and catalysts, and a global leader in the
development and licensing of polypropylene and polyethylene processes.
The company, together with its joint ventures, has manufacturing
facilities around the world and sells products in more than 120 countries.
With research and development activities in Europe, North America and the
Asia-Pacific region, Basell is continuing a technological heritage that
dates back to the beginning of the polyolefins industry.  In 2006, the
Company reported Revenues of EUR10.5 billion and EBITDA of EUR1.1 billion.

Basell has regional offices in Belgium, Germany, the United States, Brazil
and Hong Kong, as well as sales offices in the major markets around the
globe.


BRASKEM SA: To Halt Dimethyl Terephthalate Feedstock Production
---------------------------------------------------------------
Braskem told Chemical Week that it will stop producing dimethyl
terephthalate feedstock at Camaari, Brazil.

The 80,000-million ton per year dimethyl plant lacks the scale,
technology, and cost advantage to compete internationally, Chemical Week
says, citing Braskem.

Braskem also said that it will temporarily postpone polyethylene
terephthalate production, Chemical Week notes.

The polyethylene plant can produce about 78,000 million tons yearly,
Chemical Week notes.

Braskem told Chemical Week that it will study the restart of the
polyethylene plant "from a new technological route" that ensures
competitive costs for the polyester group in Brazil.

Braskem said that it will continue supplying polyethylene terephthalate
resin to its clients through a contract with Mossi & Ghisolfi's Brazilian
unit, Chemical Week states.

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+'.


BRASKEM SA: Using SmartPlant Software to Boost Productivity
-----------------------------------------------------------
Braskem has selected Intergraph's SmartPlant Enterprise engineering
software to enhance productivity, increase the capacity of its industrial
plants, and support the development of environmentally compliant projects.
Sisgraph, Intergraph's exclusive representative in Latin America, was
responsible for the sale.

Braskem chose Intergraph's SmartPlant Enterprise solutions including
PDS(r) and SmartPlant Instrumentation to standardize its tools and improve
the accuracy of materials surveys in response to its challenge of building
a new piping system in existing plants without interfering with
operations.

Braskem Engineering Manager Jorge Luis Menezes explained, "We selected
Intergraph's solutions because they support our productivity requirements,
can integrate multidisciplinary data, and reduce the time needed to create
engineering designs.  Additionally, Intergraph provides the most complete
solution available and its technology is trusted by the market inside and
outside of Brazil."

Because most plant improvement projects are made in real operating
structures, Braskem's engineering team needed to simulate how the new
design will interact with the existing plant layout.  Braskem plans to
perform an as-built plant survey by combining Intergraph's PDS 3D modeling
capabilities with laser scanning technology.

"We plan to perform a laser scan of the plant to acquire an image of all
of its physical objects.  That image will become a 3D model which we will
process through PDS to develop the project." Braskem piping specialist Ivo
Andrei said.

Intergraph's systems will reduce the time to design and construct new
projects and will improve the overall quality of the projects, resulting
in better materials acquisition and fewer operational disruptions as well
as facilitate future plant modifications, Mr. Andrei commented.

Sisgraph is providing training and support to Braskem and its partner
engineering companies to ensure a successful implementation.

                       About Intergraph

Intergraph Corp. -- http://www.intergraph.com-- is the leading global
provider of spatial information management (SIM) software.  Security
organizations, businesses and governments in more than 60 countries rely
on the company's spatial technology and services to make better and faster
operational decisions.  Intergraph's customers organize vast amounts of
complex data into understandable visual representations, creating
intelligent maps, managing assets, building and operating better plants
and ships and protecting critical infrastructure and millions of people
around the world.

                        About Sisgraph

Sisgraph -- http://www.sisgraph.com.br-- has been providing Intergraph
solutions to Latin America since 1980.  Sisgraph, which is headquartered
in Sao Paulo, Brazil, provides exclusive sales, consulting, implementation
and training services for all Intergraph products in Latin America.

                        About Braskem

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+'.


GERDAU AMERISTEEL: Inks Deal with Steelworkers at Canadian Mill
---------------------------------------------------------------
Gerdau Ameristeel Corporation has reached an agreement with the United
Steelworkers at Gerdau Ameristeel's Manitoba, Canada mill.  The new
contract is effective May 24, 2007, and expires on May 23, 2012.

"The Company is pleased that another contract has been completed with the
United Steelworkers.  While there are three remaining negotiations at
Calvert City Kentucky; Joliet, Illinois and Sand Springs, Oklahoma, the
company continues to work to find common ground to settle remaining
agreements at these facilities," said Terry Danahy, Gerdau Ameristeel's
Vice President and Chief Human Resources Officer.

Gerdau Ameristeel -- http://www.gerdauameristeel.com/-- (NYSE:
GNA; TSX:GNA.TO) is the second largest minimill steel producer
in North America with annual manufacturing capacity of over 9
million tons of mill finished steel products.  Through its
vertically integrated network of 17 minimills (including one
50%-owned joint venture minimill), 17 scrap recycling facilities
and 51 downstream operations (including seven joint venture
fabrication facilities), Gerdau Ameristeel serves customers
throughout North America.  The company's products are generally
sold to steel service centers, to steel fabricators, or directly
to original equipment manufacturers for use in a variety of
industries, including construction, automotive, mining, cellular
and electrical transmission, metal building manufacturing and
equipment manufacturing.  The company is a subsidiary of
Brazil's Gerdau SA.

                            *    *    *

As reported in the Troubled Company Reporter-Latin America on
May 16, 2007, Standard & Poor's Ratings Services raised its corporate
credit rating on Tampa, Florida-based Gerdau Ameristeel Corp. to 'BB+'
from 'BB' and removed all ratings from CreditWatch, where they were placed
with positive implications on Jan. 17, 2007.

S&P also raised its rating on the company's senior
unsecured debt to 'BB+' from 'BB'.  S&P said the outlook is stable.


GERDAU SA: Eyes Acquisition Outside Latin America
-------------------------------------------------
Gerdau SA will make its next acquisition outside Latin America, financial
daily Gazeta Mercantil reports.

Business News Americas relates that Gerdau acquired a majority stake in
Peruvian steel maker Siderperu in 2006.  It bought steel firms in the US.
Gerdau also acquired Mexican company Siderurgica Tultitlan this year for
US$259 million.

"We base our growth on acquisitions.  We plan on making our next
investments in global markets," Gerdau Chief Financial Officer Osvaldo
Schmirmer told Gazeta Mercantil.

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

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 19, 2007,
Standard & Poor's Ratings Services placed its ratings, including
its 'BB' corporate credit rating, on Tampa, Fla.-based Gerdau
Ameristeel Corp. on CreditWatch with positive implications.


JAPAN AIRLINES: S&P Places B+ Credit Rating Under Negative Watch
----------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'B+' long-term corporate
credit ratings on Japan Airlines Corp. and the company's 100% subsidiary,
Japan Airlines International Co. Ltd., on CreditWatch with negative
implications.  This action reflects the heightening need to scrutinize the
credit impact of the current stance financial institutions are taking
toward JAL.  At the same time, the 'B+' ratings on the companies'
long-term senior unsecured debt ratings were affirmed.

According to media reports, JAL has requested capital support from its
main banks in the form of a debt-for-equity swap on a portion of its debt
obligations.  In response to the reports, JAL asserts that nothing has
been determined regarding a capital boost.  Standard & Poor's does not
hold any concrete views on the authenticity of the media reports.
However, under Standard & Poor's credit ratings criteria, a
debt-for-equity swap is considered to be equivalent to a default on debt
obligations.  In general, Standard & Poor's will lower the corporate
credit rating on a company that has proceeded with a debt-for-equity swap
to 'SD'.

Standard & Poor's has not been able to take an optimistic stance regarding
recovery in JAL's performance thus far.  Moreover, following numerous
recent media reports, Standard & Poor's will have to further scrutinize
the stances of the financial institutions involved.  Despite Standard &
Poor's belief that there will be no major concerns regarding JAL's
short-term liquidity, the corporate credit rating increasingly needs to be
reviewed to reflect the credit impact of the financial institutions'
stance toward the company.

To remove the rating on JAL from CreditWatch, Standard & Poor's will have
to focus on the stance of the financial institutions toward the company.
The long-term credit rating on JAL may be lowered if the company is unable
to achieve recovery in its business performance in line with its
medium-term management plan, or if the likelihood that its main banks will
conduct a debt-for-equity swap increases.  Conversely, it is likely that
the rating will be affirmed if recovery in the company's business
performance exceeds expectations or the company is able to boost its
capitalization without a debt-for-equity swap.  The progress in corporate
restructuring, particularly with regard to lowering its personnel costs
and improving business performance in the next several months, seems to be
an important factor for banks in determining their transaction policy.
Standard & Poor's will focus heavily on whether the company will be able
to achieve improvement in its business performance according to its plans.

The long-term senior unsecured debt ratings were affirmed.  If the
financial institutions proceed with a debt-for-equity swap, this will
actually underpin the credit quality of the JAL's remaining outstanding
bonds.  In contrast, if there is a chance that bondholders might incur a
financial burden, the unsecured debt ratings will also come under downward
pressure.  At the moment, JAL's corporate credit and senior unsecured debt
ratings are at the same level.  The debt rating was lowered by one notch
because JAL had a high proportion of secured debt.  However, a one-notch
increase was allowed, based on the expectation of debt forgiveness by
creditor banks in case of default.

Japan Airlines International Co. Ltd.
Senior Unsecured
  Local Currency                        B+

Ratings Affirmed; CreditWatch/Outlook Action
                                     To               From
                                     --               ----
Japan Airlines Corp.
Corporate Credit Rating       B+/Watch Neg/--    B+/Negative/--

Ratings Affirmed; CreditWatch/Outlook Action; New Rating
                                        To             From
                                        --             -----
Japan Airlines International Co. Ltd.
Corporate Credit Rating           B+/Watch Neg/--  B+/Negative/NR

Tokyo-based Japan Airlines International Company, Limited --
http://www.jal.com/en/-- was created as a result of the merger
of Japan Airlines and Japan Air Systems to boost domestic coverage.  Japan
Airlines flies to the United States, Brazil and
France.


PETROLEO BRASILEIRO: May Invest in Ethanol Pipeline
---------------------------------------------------
A Brazilian state-run oil firm Petroleo Brasileiro spokesperson told
reporters that the company could invest in a 900-kilometer ethanol
pipeline connecting Mato Grosso do Sul to the southern port of Paranagua
in Parana.

Business News Americas relates that the pipeline project would begin in
Campo Grande in Mato Grosso do Sul and cross Parana to Paranagua, which
has ethanol storage tanks.

According to BNamericas, Petroleo Brasileiro would partner with Japanese
trading firm Mitsui, which is negotiating with the Parana government for
the project.  This would be Mitsui's and Petroleo Brasileiro's second
ethanol transportation project.  The two firms already signed a memorandum
of understanding for a 1,150-kilometer pipeline connecting Goias and Sao
Paulo port Sao Sebastino, where Petroleo Brasileiro has a fuels terminal.

BNamericas notes that Petroleo Brasileiro wants to ship ethanol fuel
chiefly to Japan.  It is also considering other markets like South Korea,
the United States and South Africa.

Investments in the two projects are expected at US$2 billion.  They are
included in the Brazilian government's acceleration growth program,
BNamericas states.

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

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

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

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

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


PETROLEO BRASILEIRO: Inks LNG Cooperation Pact with Sonatrach
-------------------------------------------------------------
Petroleo Brasileiro SA aka Petrobras and Algerian national oil company
Sonatrach, signed a Memorandum of Understandings to study, among others
projects, a possible cooperation in Liquefied Natural Gas to supply the
import terminals that Petrobras is deploying in Pacem and in the Guanabara
Bay.  Signed in Algeria, the agreement also foresees exploration and
production cooperation studies both for onshore and, especially, offshore
blocks in Brazil, Algeria, and in other countries of mutual interest.

Petrobras and Sonatrach, which is the African continent's biggest and
ranked 12th in the world according to Petroleum Intelligence Weekly,
already have a long standing commercial relationship that involves, by and
large, oil, naphtha and LPG.  With the MOU, workgroups will be created and
meet periodically to discuss cooperation opportunities.  Other issues the
companies will evaluate include increasing and developing new commercial
operations for oil and oil derivatives, petrochemical and downstream
opportunities, in addition to Petrobras' participation in the Algerian
Petroleum Institute.

Petrobras and Sonatrach also signed an LNG Master Supply Agreement that
outlines the general clauses that determine the bases the two companies
will comply with for possible LNG purchase and sales.

Petrobras' president, Jose Sergio Gabrielli de Azevedo, and Sonatrach's
president and general director, Mohamed Meziane, signed the MOU.  The
Master Agreement, meanwhile, was signed by Petrobras' Gas & Energy
director, Ildo Sauer, and Sonatrach's Vice-Executive President, Chawki
Rahal.  The Brazilian and Algerian governments support the companies'
partnership.  Algeria's Minister of Mines & Energy, Chakib Khelil, and
Brazil's ambassador to Algeria, Sergio Danese, also attended the agreement
signing ceremony.

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.


* BRAZIL: Moody's Places Ratings on Review for Likely Upgrade
-------------------------------------------------------------
Moody's Investors Service placed on review for possible upgrade Brazil's
key ratings to determine the extent to which improved macroeconomic,
external, and fiscal prospects are likely to lead to a sustained
improvement in the government's overall debt profile that may reduce
Brazil's medium-term credit risks.

The review will cover Brazil's Ba1 foreign-currency bond ceiling and the
government's Ba2 foreign- and local-currency bond ratings.  The
foreign-currency bond ceiling is based on the government foreign-currency
bond rating and Moody's assessment of a moderate risk of a payments
moratorium in the event of a government default.  The country's Ba3
ceiling for foreign-currency bank deposits will also come under the
review.

"While Brazil's external vulnerability indicators have sustained an
impressive reduction, the improvement in government debt indicators has
been less striking," said Moody's Senior Analyst Mauro Leos. "Still, the
domestic debt structure is improving, and government debt ratios are
trending downwards."

Not only is Brazil benefitting from pro-active debt management, but budget
trends and prospects should lead to further declines in debt ratios over
the medium term.  Leos noted that "from a fundamental perspective, an
improved credit standing requires both of these."

He said Moody's review will assess the prospects for a sustained reduction
in government debt ratios and the likelihood that Brazil's debt burden
will align more closely to those of countries rated in the upper end of
the Ba category.

"Assessing sustainable progress will require confidence in the political
support for proposals that, if approved and implemented by Congress, could
strengthen fiscal fundamentals over time," said Leos.  "Of particular
significance are measures that could contribute to reducing the growth in
primary spending, which has driven the upward trend in government spending
in previous years."

In assessing prospects for sustaining improvements in the government
domestic debt, Moody's will be evaluating the likelihood of further
reductions in the share of floating-rate debt and increases in the debt
stock's average maturity.

"The recent surge observed in capital inflows, while supportive of
boosting international reserves, represents a key challenge to the
authorities," said Leos.  "We will closely examine its potential
consequences on domestic financial markets, particularly under scenarios
of a potential reversal of those flows."

Finally, he said, the review will also look at alternative external
scenarios that incorporate less favorable global conditions that could
test the resilience to adverse external shocks of the economy, the balance
of payments, and the fiscal accounts.

Brazil's A1 local-currency deposit ceiling and the A1 local-currency bond
ceiling — the highest possible rating that could be assigned to obligors
and obligations denominated in local currency within the country — are not
under review.


* BRAZIL: Currency Gains Due to Likely Moody's Upgrade
------------------------------------------------------
Adriana Brasileiro and Heloiza Canassa at Bloomberg News report that the
Brazilian real gained as a result of a likely upgrade from Moody's
Investors Service.

Standard & Poor's and Fitch Ratings have recently upgraded the country's
ratings.

"The recent decisions by ratings agencies only reaffirm the positive
perception investors have of Brazil at the moment," Standard Bank Group's
Chief Economist Nuno Almeida said in an interview with Bloomberg.  "The
underlying trend of appreciation will continue because inflows are very
strong."

Bloomberg notes the real rose 0.9% to 1.9510 per dollar at 4:49 p.m. on
Friday, New York time. Yesterday, the real fell nearly 1 percent on
concern that rising yields in the U.S. may reduce demand for riskier,
emerging-market assets.

The yield on the government's benchmark zero-coupon bond due in January
2008 fell 4 basis points, or 0.04 percentage point, to 11.42%, according
to Banco UBS Pactual SA.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on May 14,
2007, Fitch Ratings upgraded Brazil's long-term foreign
and local currency sovereign Issuer Default Ratings to 'BB+' from 'BB' and
the Country Ceiling to 'BBB-' from 'BB+'.  In addition, Fitch affirmed
Brazil's Short-term IDR at 'B'.  Fitch
said the rating outlook is stable.

On May 16, Standard & Poor's Ratings Services raised its long-term foreign
sovereign credit rating on the Federative Republic of Brazil one notch, to
'BB+' from 'BB', and its long-term local currency sovereign credit rating
by two notches, to 'BBB' from 'BB+'.

Standard & Poor's also raised its short-term local currency sovereign
credit rating on Brazil o 'A-3' from 'B' and affirmed its 'B' short-term
foreign currency rating.  The outlook on the
long-term ratings remains positive.  The national scale credit rating on
the republic was raised to 'brAAA' from 'brAA+', and the outlook on this
rating is stable. Standard & Poor's also raised its transfer and
convertibility assessment for Brazil to 'BBB' from 'BBB-'.




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


C60 EUROPEAN: Proofs of Claim Filing Is Until June 5
----------------------------------------------------
C60 European Long Short Master Fund Ltd.'s creditors are given
until June 5, 2007, to prove their claims to David A.K. Walker
and Lawrence Edwards, 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.

C60 European's shareholder agreed on March 13, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

       Lawrence Edwards
       Attention: Miguel Brown
       P.O. Box 258
       Grand Cayman KY1-1104
       Cayman Islands
       Telephone: (345) 914 8665
       Fax: (345) 945 4237


C60 EUROPEAN LONG: Proofs of Claim Must be Filed by June 5
----------------------------------------------------------
C60 European Long Short Fund Ltd.'s creditors are given until
June 5, 2007, to prove their claims to David A.K. Walker and
Lawrence Edwards, 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.

C60 European's shareholder agreed on March 13, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

       Lawrence Edwards
       Attention: Miguel Brown
       P.O. Box 258
       Grand Cayman KY1-1104
       Cayman Islands
       Telephone: (345) 914 8665
       Fax: (345) 945 4237


CABLE & WIRELESS: Earns GBP174 Million in Year Ended March 31
-------------------------------------------------------------
Cable & Wireless plc released its financial results for the year ended
March 31, 2007.

Cable & Wireless reported GBP174 million in net profit against GBP3.3
billion in revenues for the year ended March 31, 2007, compared with GBP76
million in net profit against GBP3.2 billion in revenues for the same
period in 2006.

At March 31, 2007, the Group's balance sheet showed GBP4.5 billion in
total assets, GBP2.6 billion in total liabilities and GBP1.9 billion in
stockholders' equity.

"It's been a good year," Cable and Wireless plc Chairman Richard Lapthorne
said.  "The success of the structural changes we made a year ago is there
for all to see.  International has performed well delivering growth in
customers and revenue and, as a result, improved EBITDA.  We have made a
very encouraging start to the Europe, Asia & US turnaround and we now have
sufficient visibility to believe that we'll deliver on our ambitious
targets.  All of which reinforces our confidence in our future prospects,
which is reflected in the dividend.  I'm delighted to announce that we're
recommending a 34% increase in the final dividend to 4.15 pence, which
with the interim of 1.7 pence gives a full year dividend of 5.85 pence, an
increase of 30% over 2005/06."

                     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.
The company has operations are in the United Kingdom, India,
China, the Cayman Islands and the Middle East.

                        *     *     *

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.

* Issuer: Cable & Wireless Plc
                                             Projected
                           Debt     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
                           Debt     LGD      Loss-Given
   Debt Issue              Rating   Rating   Default
   ----------              -------  -------  --------
   GBP200 million
   8.625% Senior Unsecured
   Regular Bond/Debenture
   Due 2019                B1       LGD4     60%

Cable & Wireless Plc's long-term and short-term foreign issuer
credit carry Standard & Poor's BB- ratings.  Its short-term
foreign and local issuer credit were rated at B.  The outlook is
negative.


NEMO INTERNATIONAL: Proofs of Claim Filing Deadline Is June 5
-------------------------------------------------------------
Nemo International's creditors are given until June 5, 2007, to
prove their claims to Rogerio Ziviani and Bernardo Szpigel, 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.

Nemo International's shareholder agreed on April 26, 2007, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

          Rogerio Ziviani
          Bernardo Szpigel
          Attention: Martina de Lima
          c/o Ogier, Queensgate House
          South Church Street
          P.O. Box 1234
          Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 949 9876
          Fax: (345) 949 1986


PACTUAL CORPORATE: Proofs of Claim Filing Is Until June 5
---------------------------------------------------------
Pactual Corporate Debt High Yield Fund, Ltd.'s creditors are given until
June 5, 2007, to prove their claims to Carolina Tepedino de Lima Costa and
Iuri Rapoport, 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.

Pactual Corporate's shareholder agreed on March 26, 2007, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

          Carolina Tepedino de Lima Costa
          Iuri Rapoport
          Attention: Giorgio Subiotto
          c/o Ogier
          P.O. Box 1234
          Grand Cayman KY1-1108
          Cayman Islands
          Telephone: (345) 949 9876
          Fax: (345) 949 1986


UNIVEST CONVERTIBLE: Proofs of Claim Filing Ends on June 6
----------------------------------------------------------
Univest Convertible Arbitrage Fund Ltd.'s creditors are given
until June 6, 2007, to prove their claims to K.D. Blake, 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.

Univest Convertible's shareholders agreed on May 8, 2007, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

          K.D. Blake
          Attention: Gundega Tamane
          P.O. Box 493
          Grand Cayman KY1-1106
          Cayman Islands
          Telephone: 345-914-4309
          Fax: 345-949-7164


UNIVEST DIVERSIFIED: Proofs of Claim Filing Deadline Is June 6
--------------------------------------------------------------
Univest Diversified Fund II Ltd.'s creditors are given until
June 6, 2007, to prove their claims to K.D. Blake, 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.

Univest Diversified's shareholder agreed on May 5, 2007, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

          K.D. Blake
          Attention: Gundega Tamane
          P.O. Box 493
          Grand Cayman KY1-1106
          Cayman Islands
          Telephone: 345-914-4309
          Fax: 345-949-7164


UNIVEST HIGH: Proofs of Claim Must be Filed by June 6
-----------------------------------------------------
Univest High Yield Fund Ltd. creditors are given until
June 6, 2007, to prove their claims to K.D. Blake, 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.

Univest High's shareholders agreed on May 8, 2007, to place
the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

       K.D. Blake
       Attention: Gundega Tamane
       P.O. Box 493
       Grand Cayman KY1-1106
       Cayman Islands
       Telephone: 345-914-4309
       Fax: 345-949-7164




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


GENERAL MOTORS: May Sell Allison Transmission to Boost Liquidity
----------------------------------------------------------------
General Motors Corporation said last week in a regulatory filing with the
U.S. Securities and Exchange Commission that it is considering measures to
strengthen liquidity and focus on its core business of designing,
manufacturing, and selling cars and light trucks globally.

Among other items, GM said it is currently discussing the potential sale
of its Allison Transmission business with a number of potential buyers.

GM management believes that a sale of Allison Transmission is probable,
subject to union, regulatory, and other approvals.

GM has provided unaudited pro forma financial information reflecting
Allison Transmission's assets and liabilities as held for sale as of March
31, 2007, and reporting its operations as discontinued for the three
months ended March 31, 2007 and 2006, and for the years ended December 31,
2006, 2005, and 2004.

A full-text copy of the pro forma financial information is available for
free at http://researcharchives.com/t/s?2038

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- the
world's largest automaker, has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 317,000
people around the world.  It has manufacturing operations in 32
countries.

General Motors has Asia-Pacific operations in India, China,
Indonesia, Japan, the Philippines, among others.  It has
locations in European countries including Belgium, Austria, and
France.  In Latin-America, the company maintains locations in
Argentina, Brazil, Chile, Colombia, Ecuador, Venezuela, Paraguay
and Uruguay.

                          *     *     *

As reported in the Troubled Company Reporter on May 25, 2007,
Fitch Ratings downgraded General Motors Corporation's ratings including
the company's 'B/RR4' rated senior unsecured debt to
'B-/RR5'.  GM's Issuer Default Rating remains at 'B' and is still on
Fitch's Negative Rating Watch.


GENERAL MOTORS: SEC Inquiry May Need Restatement of Past Results
----------------------------------------------------------------
General Motors Corporation said it received a document request from the
U.S. Securities and Exchange Commission relating to the company's
disclosure in its most recent Annual Report on Form 10-K regarding the
restatement of its previously filed financial statements in connection
with GM's accounting for certain foreign exchange contracts and
commodities contracts in accordance with SFAS No. 133, Accounting for
Derivative Instruments and Hedging Activities, as amended (SFAS No. 133).

According to GM, it continues to cooperate on this and all other SEC
matters and is preparing to provide the requested information.

Additionally, GMAC received a letter from the SEC's Division of
Corporation Finance on its 2005 Annual Report on Form 10-K and subsequent
filings pertaining to hedging relationship testing methodologies and
consideration of credit ratings in assessing hedge effectiveness for
purposes of SFAS No. 133.

GM said GMAC advised the company that they continue to work with the SEC
on these matters.

GM notes that a negative outcome could require the company to restate
prior financial results.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- the
world's largest automaker, has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 317,000
people around the world.  It has manufacturing operations in 32
countries.

General Motors has Asia-Pacific operations in India, China,
Indonesia, Japan, the Philippines, among others.  It has
locations in European countries including Belgium, Austria, and
France.  In Latin-America, the company maintains locations in
Argentina, Brazil, Chile, Colombia, Ecuador, Venezuela, Paraguay
and Uruguay.

                          *     *     *

As reported in the Troubled Company Reporter on May 25, 2007,
Fitch Ratings downgraded General Motors Corporation's ratings including
the company's 'B/RR4' rated senior unsecured debt to
'B-/RR5'.  GM's Issuer Default Rating remains at 'B' and is still on
Fitch's Negative Rating Watch.




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


HEXION SPECIALTY: Signs Pact with ARKEMA to Buy German Business
---------------------------------------------------------------
Hexion Specialty Chemicals has reached a definitive agreement to acquire
the German resins and formaldehyde business of ARKEMA GmbH.

Terms of the agreement were not disclosed.  The transaction is subject to
normal governmental reviews and is expected to close during the third
quarter.

Based in the Leuna industrial park, located in east central Germany, the
ARKEMA German resins and formaldehyde business manufactures formaldehyde
and formaldehyde-based resins including urea-formaldehyde,
phenol-formaldehyde and melamine-based resin systems.  These resins are
used to manufacture engineered wood panels including oriented strandboard,
particleboard and medium density fiberboard.  The business also produces
impregnation resins used to laminate decorative paper surfaces to wood
products.  The business employs 100 people and had 2006 revenues of
approximately EUR101 million.

“The ARKEMA German resins and formaldehyde business is a tremendous fit
for Hexion as we expand our forest product resins business to serve our
global customer base,” said Joseph Bevilaqua, president of the company’s
Phenolic & Forest Product Resins Division.  “This acquisition will give us
a strong position in Germany, the largest wood panels market in Europe,
and ready access to growing markets in Eastern Europe.  It also
complements both our existing European presence and our leading positions
in the Americas and the Asia-Pacific region.”

                           About Arkema

A global chemical player, Arkema GmbH -- http://www.arkema.com/--
consists of 3 coherent and related business segments: Vinyl Products,
Industrial Chemicals, and Performance Products.  Present in over 40
countries with 17,000 employees, Arkema achieved sales of 5.7 billion
euros in 2006.  With its 6 research centers in France, the United States
and Japan, and internationally recognized brands, Arkema holds leadership
positions in its principal markets.

                      About Hexion Specialty

Based in Columbus, Ohio, Hexion Specialty Chemicals Inc.
-- http://hexionchem.com/-- makes thermosetting resins (or
thermosets).  Thermosets add a desired quality (heat resistance,
gloss, adhesion) to a number of different paints and adhesives.
Hexion also makes formaldehyde and other forest product resins,
epoxy resins, and raw materials for coatings and inks.  The
company has 86 manufacturing and distribution facilities in 18
countries.  In Latin America, the company has operations in
Argentina, Brazil and Colombia.

The company has its Asian headquarters in Singapore, with
offices in Australia, China, Korea, Malaysia, New Zealand,
Taiwan, and Thailand.

The company has its European headquarters in Belgium, with
offices in Czech Republic, Finland, France, Germany, Italy,
Netherlands, Portugal, Spain, Sweden and UK.

The company at March 31, 2007, recorded total assets of US$3.7 billion,
total liabilities of US$5.1 billion, minority interest of US$10 million
and a total stockholders' deficit of US$1.4 billion.




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


* CUBA: Inks Cooperation & Technical Aid Agreement with India
-------------------------------------------------------------
EFE News reports that Cuba has signed a cooperation and technical
assistance accord with India for the development of renewable energy
sources.

The accord signed by Cuban Deputy Science Technology and Environment
Minister Fernando Gonzalez and India's New and Renewable Energy Minister
Vilas Muttemwar calls for the sharing of information on renewable energy
sources as well as the sending of Cuban scientists to India for training,
according to EFE News.

Minister Muttemwar stated in a press conference, "We are going to help
each other in promoting renewable energy in our respective countries."

Minister Muttemwar talked about the studies being carried out in Cuba on
wind energy development, as well as Cuba's potential for using solar
energy and biomass from the sugar sector to generate power, EFE News
states.

                        *     *     *

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

Moody's assigned these ratings on Cuba:

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


* CUBA: To Build Hydroelectric Plant in Rio Grande
--------------------------------------------------
Cuba is building a hydroelectric plant at the Cuban town of Rio Grande, in
the eastern province of Santiago, Prensa Latina reports.

According to the same report, the Japanese Communit Projects Help Fund
will finance the plant, which has a power of 7 kilowatts to benefit 52
homes, 20 more than scheduled because of the rationalization of the
project and amplification of electric networks.

In addition, the project includes other social areas like a school, video
room and others, all of them in Rio Grande, municipality of Guama.  The
investment consists of a tank for water distribution with capacity of
27,000 liters, and a building for the hydroelectric plant.

Prensa Latina states that the number of hydroelectric plants in the Cuban
eastern mountain zone will increase to 18.

Specialist Angel Luis Ricardo commented that the neighbors in that
community would assume the construction with the supervision of experts.

The project is more than 60% built and once completed, the zone will
obtain quality water and electricity, Prensa Latina says.

                        *     *     *

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

Moody's assigned these ratings on Cuba:

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




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


GERDAU SA: Buying 30% Stake in Industrias Nacionales for US$42MM
----------------------------------------------------------------
Gerdau SA will acquire a 30% stake in Industrias Nacionales CA
-- a firm in the Dominican Republic -- from Multisteel Business Holdings
for US$42 million, Dominican Today reports.

Gerdau said in a statement that Multisteel Business controls Industrias
Nacionales, which makes and sells some 400,000 tons yearly of reinforcing
rod, wire, tubes, beams and other steel products.

Gerdau Chief Executive Officer Andre Gerdau Johannpeter said in a
statement, "This operation secures the entry of the Gerdau Group in a new
consumer market for steel that is in clear expansion.  It is part of our
strategy for expansion in the Americas."

Gerdau Chairperson Jorge Gerdau Johannpeter told Dominican Today that the
firm is expanding in Brazil, the US, Canada, Mexico, Colombia, Peru and
Spain to increase profit by boosting its share of markets where it already
operates.  Gerdau will help Industrias Nacionales raise investment and
will provide management, technical and marketing advice.

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

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 19, 2007,
Standard & Poor's Ratings Services placed its ratings, including
its 'BB' corporate credit rating, on Tampa, Fla.-based Gerdau
Ameristeel Corp. on CreditWatch with positive implications.




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


PERRY ELLIS: George Pita To Resign as Chief Financial Officer
-------------------------------------------------------------
Perry Ellis International, Inc.'s Chief Financial Officer George Pita, has
signed its resignation effective June 18, 2007, to pursue other interests.

Following Mr. Pita’s departure, Mr. Thomas D’Ambrosio will assume the role
of interim CFO until a permanent successor is selected.  Mr. D’Ambrosio
has been the Senior Vice President and Corporate Controller of Perry Ellis
since June 2005.  Previously, he served as Vice President of Finance at
Office Depot and Divisional Controller of Blockbuster.

“We are pleased that Tom has agreed to accept this assignment. His
successful tenure at Perry Ellis assures continuity throughout the
transition,” remarked Perry Ellis International Chairman and CEO George
Feldenkreis.

“We want to thank George for his service to Perry Ellis International. He
helped guide the company through a period of extraordinary growth,
including our successful acquisition and integration of Tropical
Sportswear International.  We wish George the best in his new endeavor,”
said Mr. Feldenkreis.

Perry Ellis International Inc., based in Miami, Florida,
designs, sources, markets and licenses a portfolio of brands
including Perry Ellis, Jantzen, John Henry, Cubavera,
Munsingwear, Original Penguin and Farah.  The company also
operates 38 retail locations including 3 Original Penguin
locations.  The company has sourcing offices in Indonesia,
India, Korea, Thailand, Peru, Nicaragua, and El Salvador.

                        *     *     *

In October 2006, Moody's Investors Service's confirmed its B1
Corporate Family Rating for Perry Ellis International, Inc., and
its B3 rating on the company's US$150 million senior
subordinated notes.

Additionally, Moody's assigned an LGD5 rating to those bonds,
suggesting noteholders will experience a 78% loss in the event
of a default.




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


BRITISH AIRWAYS: Cancels Italy Flights Due to Alitalia Strike
-------------------------------------------------------------
British Airways plc and other European airlines scrapped its flights to
and from Italy on Tuesday, May 22, 2007, due to a strike by air-traffic
controllers and flight attendants of Alitalia S.p.A., published reports
say.

The strike took place between 10:00 a.m. and 6:00 p.m. local time,
Bloomberg News relates.

According to BBC News, British Airways has cancelled 16 of its flights to
Italy, 10 from Gatwick and six from Heathrow.

Bloomberg says British Airways rebooked passengers onto later flights.

As previously reported in the TCR-Europe, the flight attendants launched
the strike to keep the pressure on Alitalia over contract negotiations.
The flight attendants have been demanding that Alitalia follow the rules
regulating the number of crew members and hours of rest between flights.

Thousands of passengers were stranded because of the strike.

Alitalia executives met with Civil Aviation Authority officials
to discuss the strikes.  The authority, however, ruled that the
strikes didn't violate flight-safety rules.

Alitalia, 39.9% of which is being sold by the Italian
government, had been loss-making for the past years and had
attributed its near-demise to strikes, competition from low-cost
carriers and high fuel costs.

                      About British Airways

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

                        *     *     *

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, the rating
agency confirmed its Ba1 Corporate Family Rating for British
Airways Plc.

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

* Issuer: British Airways, Plc

                                                      Projected
                           Old      New      LGD      Loss-iven
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   GBP100-million 10.875%
   Sr. Unsec. Regular
   Bond/Debenture
   Due 2008                Ba2      Ba2      LGD5     84%

   GBP250-million 7.25%
   Sr. Unsec. Regular
   Bond/Debenture
   Due 2016                Ba2      Ba2      LGD5     84%

As reported in the TCR-Europe on March 27, 2007, Standard &
Poor's Ratings Services said that its 'BB+' long-term corporate
credit rating on British Airways PLC remains on CreditWatch,
with positive implications, following a vote on March 22 by EU
ministers approving a proposed "open skies" aviation treaty with
the U.S.


BRITISH AIRWAYS: Investing GBP25 Mln on New 550 Airport Vehicles
----------------------------------------------------------------
British Airways plc is to invest more than GBP25 million on a new fleet of
550 airport vehicles as part of its move to Terminal 5 in March 2008.

The new vehicles will replace older models and will help the airline to
reduce its ground emissions at Heathrow and improve its punctuality
performance.

The fleet contains around 15 different vehicle types including baggage
tractors, loading equipment, passenger buses and cargo tugs.

Customers will particularly benefit from the 38 strong new fleet of Citaro
passenger buses made by DaimlerChrysler.

The 12m long Citaro meets the very highest Euro 5 standard in
environmental performance and is currently the "greenest" bus used by any
airline at Heathrow.

The Euro 5 standards represent a further 43 percent reduction in nitrogen
oxide emissions over Euro 4 standards.

The first bus, which are planned to carry 45 passengers, was delivered
this week and will go into service in early June once drivers have
undergone a full training program.  The remaining 37 buses will be
delivered in the coming weeks.

Geoff Want, director of ground operations for British Airways, said:
"Terminal 5 is a once in a life opportunity for the airline and the new
ground equipment fleet will be critical to the overall success of the
move.

"The new fleet will enable us to better manage our operations and have the
right equipment to meet the different layout around the new terminal
buildings.

"When we ordered each of the vehicle types one of the key considerations
was their environmental performance.

"We are looking forward to retiring many of our oldest vehicles in the
next few months which has a triple benefit of reducing emissions,
improving customer experience and also giving staff better working
conditions."

As part of the bus replacement program and the operational changes within
Terminal 5 the number of buses used by British Airways at Heathrow will
also reduce by more than 50 percent by 2010.

The overall number of ground equipment vehicles required will also reduce
by just under 40 percent from 1300 in 2007 to just under 800 in 2010.

More than 300 of the new vehicles will be fitted with telematics, which
utilizes satellite navigation technology.  This will enable the vehicle
condition to be remotely monitored and will help to ensure an improved
maintenance regime.  It will also help in understanding the location of
vehicles around the airport.

British Airways was a founding member of the BAA's Heathrow Clean Vehicles
Programme and currently has the very top-level "Diamond" rating for its
performance.

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

                        *     *     *

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, the rating
agency confirmed its Ba1 Corporate Family Rating for British
Airways Plc.

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

* Issuer: British Airways, Plc

                                                      Projected
                           Old      New      LGD      Loss-iven
   Debt Issue              Rating   Rating   Rating   Default
   ----------              -------  -------  ------   ----------
   GBP100-million 10.875%
   Sr. Unsec. Regular
   Bond/Debenture
   Due 2008                Ba2      Ba2      LGD5     84%

   GBP250-million 7.25%
   Sr. Unsec. Regular
   Bond/Debenture
   Due 2016                Ba2      Ba2      LGD5     84%

As reported in the TCR-Europe on March 27, 2007, Standard &
Poor's Ratings Services said that its 'BB+' long-term corporate
credit rating on British Airways PLC remains on CreditWatch,
with positive implications, following a vote on March 22 by EU
ministers approving a proposed "open skies" aviation treaty with
the U.S.




===========
G U Y A N A
===========


DIGICEL LTD: Will Implement New Weekend Phone Call Rates
--------------------------------------------------------
Digicel Ltd. said in a press release that it welcomes the Guyana Public
Utilities Commission's approval of new weekend rates, allowing the firm to
extend its current 50% discount weekend calls promotion to include
international calls.

Stabroek News relates that Digicel said last week it would match the
Guyana Telephone and Telegraph Company's 50% discount on all international
mobile phone calls on weekends.

Digicel has already implemented a 50% discount on domestic calls, the
report says.

Digicel Chief Executive Officer Tim Bahrani commented to Stabroek News,
"Digicel's entry into the Guyana mobile market has driven a phenomenal
change in the mobile service on offer to the people of Guyana.  We are
delighted to be playing a part in forcing these changes in the mobile
market and will continue to offer our customers the most innovative
products and promotions that they deserve."

Stabroek News notes that Digicel has also launched:

          -- free voicemail,
          -- per-second billing,
          -- rollover minutes, and
          -- Blackberry.

Digicel Ltd. is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien.  The
company started 0operations in Jamaica in April 2001 and now
offers GSM mobile services in Caribbean countries including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Bermuda, Cayman, and Curacao among others.  Digicel finished
FY2005 with 1.722 million total subscribers -- 97% pre-paid --
estimated market share of 67% and revenues and EBITDA of US$478
million and US$155 million, respectively.

                        *     *     *

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.

   -- Proposed 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.




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


AIR JAMAICA: Edmund Bartlett Criticizes London Route Sale
---------------------------------------------------------
Edmund Bartlett, the opposition tourism spokesperson, has criticized Air
Jamaica's decision to sell its Jamaica-London route to Virgin Atlantic,
saying that it will lead to loss of 2,000 passengers weekly, Horace Hines
at the Jamaica Observer reports.

Mr. Bartlett spoke last week at the Rotary Club of Montego Bay East
monthly meeting.  He said that the move meant that Jamaica's regional
rivals in the tourism sector are now enjoying more flights than Jamaica
from the United Kingdom destination, The Observer's Mr. Hines relates.

Mr. Bartlett commented to The Observer's Mr. Hines, "The stark reality of
this ill-thought decision is that regular daily service to Jamaica from
the United Kingdom's most strategic airport, London Heathrow, is to
disappear.  The daily service offered by Air Jamaica to both Montego Bay
and Kingston will be replaced by a mere two flights a week to Kingston,
operated by Virgin Atlantic and from a far less popular departure point,
London Gatwick.  It represents a loss of 1,953 seats a week to the tourist
hub.  This is nothing to be proud about when one considers that Barbados
welcomes 10 British Airways flights a week, seven Virgin Atlantic flights
and three from British Midland.  Even Antigua and St Lucia can now boast
of better-scheduled flight options than Jamaica, allowing the consumer
choice and flexibility.  Jamaica is the loser as a result of this
decision."

The Jamaican government had sold a "key air transportation route" at a
time when Jamaica was trying to enter the European market the government,
The Observer's Mr. Hines says, citing Mr. Bartlett.  The airline would
never be able to reclaim the route in the future.

Mr. Bartlett explained to The Observer's Mr. Hines, "By selling these
slots the government of Jamaica has relinquished the historical right that
Jamaica owned for its national carrier to fly from the airport.  They
cannot be obtained again and should in some eventuality Air Jamaica
decides to return to trans-Atlantic service they will be obliged to do so
from Gatwick or Stanstead."

The Observer relates that Jamaica Labor Party transportation spokesperson
Mike Henry said he was worried about the route sale.  According to him,
the opposition was again calling for an urgent meeting of the committee to
discuss the matter and provide clarity on the issue.  He said there were
economic and logistical factors needed to be seriously considered before
the sale of the route could be justified.

Mr. Henry told The Observer that the sale of Air Jamaica's London route
could mean a significant drop in the prospective value of the airline once
it considers privatization.  He added that any decrease in the number of
flights between London and Jamaica would "unsettle" the Jamaican tourism
sector, which has for some time been concentrated on "tapping more into
the European market" through the London gateway.

"London has been a premium route for Air Jamaica and its loss would have a
significant bearing on the worth of the airline if or whenever
privatisation considerations come into play. How this Virgin deal will
impact on the longer-term scenario is something the JLP is deeply
concerned about, for example, whether or not the deal is really a
quick-fix, with its real implications to come down the road," Mr. Henry
commented to The Observer.

Air Jamaica's management, Finance Minister Dr. Omar Davies, and Transport
Minister Robert Pickersgill had not disclosed any details on the deal, The
Observer states, citing Mr. Henry.

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

                        *     *     *

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


NATIONAL WATER: Investing Under US$390MM on Computerized System
---------------------------------------------------------------
The Jamaica Gleaner reports that the National Water Commission is
investing less than US$390 million in a new computerized system to improve
efficiency in tracking clients as well as water usage patterns and
billings.

The project will require a US$387.29-million investment, although the
figure may change depending on the final bids to contstruct the system,
the Gleaner says, citing the Jamaica Public Bodies 2007-08 report produced
by the Ministry of Finance.

According to The Gleaner, the new client information system will replace
an accounting system that has been used since 1992.

National Water spokesperson Charles Buchanan told The Gleaner, "At the
time, we were the first to implement such a system.  But the technology
has grown leaps and bounds since then, and despite patches, the existing
system can't meet expanded needs."

The report says that the National Water has about 450,000 clients on its
accounts.  However, as the monopoly builder of water systems and supplier
of the commodity, it expects customers to increase up to 20,000 yearly.

The Gleaner notes that for the first time this year, the National Water's
billing revenues would surpass US$10 billion, although the figure
indicates a slowing of income.  The company expects that its income will
increase by 5.5%, or US$529 million, to US$10.12 billion this year,
compared to US$9.6 billion in 2006.  Revenue will grow over 12%.  Overall
income
-- inclusive of fees, interest income and other revenues -- is expected at
US$10.9 billion.

Client increase mainly depends on the number of new and expanded water
systems commissioned in a year, The Gleaner says, citing Mr. Buchanan.

The Gleaner relates that the increase in client is also dependent on how
successful the National Water's Revenue Protection Division is at spotting
and correcting fraudulent connections.

Mr. Buchanan told The Gleaner, "The growth rate is also affected by our
success at prosecuting and regularizing illegal connections."

According to the report, the National Water is spending over US$2.3
billion this year on developments in Kingston and the north coast --
systems that are already under construction.  This indicates that client
base will increase.

Mr. Buchanan commented to The Gleaner that the old billing system can
handle the current 450,000 client accounts with "increasing difficulty."
It takes time to take customer information from the system.  Meanwhile,
the new system would be faster, more user-friendly, and has less
possibility of errors.  He said, "It will facilitate a look at the history
of the client, the processing of disconnections, and have ability of
system to interrogate accounts -- taking the history, usage pattern into
account -- with greater ease.  The current system does the same, but with
a significant time element."

The Gleaner reports that the National Water already developed the terms of
reference for the client information service, guided by its management
information system and other specialists.  The firm will then focus on the
contracting process.

The National Water will also acquire new meters and new vehicles for its
maintenance crews, The Gleaner states.

                        *     *     *

As reported in the Troubled Company Reporter on Feb. 7, 2006,
the National Water Commission of Jamaica had been criticized for
failing to act promptly in cutting its losses.  For the fiscal
years 2002 and 2003, the water commission accumulated a net loss
of US$2.11 billion.  The deficit fell to US$1.86 billion the
following year, and to US$670 million in 2004 and 2005.


NATIONAL WATER: Must Settle Impasse with Major Supplier
-------------------------------------------------------
The National Water Commission's impasse with one of its major suppliers
could result to the loss of water in Clarendon, Radio Jamaica reports.

Radio Jamaica relates that Maxwell Leiba, who owns property where the
National Water pumps water, is threatening to hack connections with the
firm if no effort would be taken to address his concerns.

According to Radio Jamaica, Mr. Leiba had sent a letter to the National
Water seeking reimbursement for overhead costs he incurred due to the
water being pumped from the property.  For years he has complained about
the electricity he incurs every time the company pumps water from a well
on his property.  He is angry that he hasn't received a response from the
firm, threatening to block access to his well.

Mike Henry, a member of Parliament for Central Clarendon, "is insisting
that the matter needs urgent attention," Radio Jamaica states.

                        *     *     *

As reported in the Troubled Company Reporter on Feb. 7, 2006,
the National Water Commission of Jamaica had been criticized for
failing to act promptly in cutting its losses.  For the fiscal
years 2002 and 2003, the water commission accumulated a net loss
of US$2.11 billion.  The deficit fell to US$1.86 billion the
following year, and to US$670 million in 2004 and 2005.




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


AMSCAN HOLDINGS: Credit Increase Cues S&P to Affirm Ratings
-----------------------------------------------------------
Standard & Poor's Ratings Services affirmed its loan and recovery ratings
on Amscan Holdings Inc.'s US$575 million proposed senior secured credit
facilities, following the announcement that the company will increase the
asset-based revolving credit facility by US$50 million and decrease the
term loan by US$50 million.

The facility now comprises a US$200 million ABL revolver, which is rated
'BB-', with a recovery rating of '1', indicating an expectation of full
(100%) recovery of principal in the event of payment default; and a US$375
million first-lien term loan B, which is rated 'B', with a '3' recovery
rating, indicating expectations of meaningful (50%-80%) recovery of
principal in the event of a payment default.

Despite a higher level of priority debt in the capital structure as a
result of the increase in the ABL, term loan lenders should continue to
expect meaningful recovery.  Additionally, there will be a 101 soft call
protection on the first lien term loan B for the first year after close,
meaning that the company would be obligated to repay 101% of the
outstanding principal balance
if it prepays the loan within the first year.

Ratings List

Amscan Holdings Inc.
Corporate Credit Rating           B/Negative/--
Senior Secured
  US$200 Million ABL
   Revolving Credit Facility       BB- (Recovery Rating: 1)
  US$375 Million First-Lien
   Term Loan B                     B (Recovery Rating: 3)

Headquartered in Elmsford, New York, Amscan Holdings Inc. makes
more than 400 specially designed ensembles of party accessories
and novelties, including balloons, invitations, pi¤atas,
stationery, and tableware.  Amscan sells to more than 40,000
retail outlets worldwide, mainly party goods superstores, mass
merchandisers, and other distributors.  Party City accounted for
about 13% of sales before the firm bought it in 2005.  Amscan
itself makes party items (which bring in about 60% of sales) and
buys the rest from other manufacturers, primarily in Asia.  It
has production and distribution facilities in Asia, Australia,
Europe, and North America.  Berkshire Partners and Weston
Presidio are Amscan's principal owners.  The company has a wholly owned
metallic balloon distribution operations located in Mexico.


BAUSCH & LOMB: Advanced Medical May Vie with Warburg Pincus' Bid
----------------------------------------------------------------
Advanced Medical Optics Inc. expressed interest in exploring an offer for
Bausch & Lomb Inc. following the eye-care company's
announcement of an agreement to be acquired by private-equity firm Warburg
Pincus subject to higher and better offers, Jon Kamp and Keith J. Winstein
of The Wall Street Journal report.

Advanced Medical has been looking at Bausch's US$710 million lens business
and US$658 million eye-drug line to add to its portfolio of eye-care
products, WSJ relates, citing a person familiar with the matter.

According to WSJ's source, Advanced Medical believes a deal between the
two companies would offer significant cost synergies, something a
private-equity firm cannot offer.

                     Warburg Pincus Deal

About two weeks ago, Bausch & Lomb agreed to be merged with
affiliates of Warburg Pincus in a transaction valued at approximately
US$4.5 billion, including approximately $830 million of debt.

Under the terms of the agreement, affiliates of Warburg Pincus
will acquire all of the outstanding shares of Bausch & Lomb common stock
for US$65 per share in cash.  This represents a premium of approximately
26% over the volume weighted average price of Bausch & Lomb's shares for
30 days prior to press reports of rumors regarding a potential acquisition
of the company.

Bausch & Lomb's Board of Directors, following the recommendation of a
Special Committee composed entirely of independent directors, has
unanimously approved the agreement and recommends that Bausch & Lomb
shareholders approve the merger.

Morgan Stanley & Co. Incorporated is acting as financial advisor to the
Special Committee of the Bausch & Lomb Board of Directors and has
delivered a fairness opinion.  Wachtell Lipton Rosen
& Katz is acting as legal counsel to the Special Committee in the
transaction.  Banc of America, Citi, Credit Suisse and JPMorgan served as
the financial advisors to Warburg Pincus, and Cleary Gottlieb Steen &
Hamilton LLP is acting as legal advisor to Warburg Pincus.

                 Rating Agencies Take Action

The Warburg Pincus Deal prompted Standard & Poor's Ratings Services to
lower its ratings on Bausch & Lomb and placed them on CreditWatch with
negative implications.  Among others, S&P lowered the company's corporate
credit rating to 'BB+' from 'BBB'.

According to S&P, even if the transaction is not consummated, management's
willingness to aggressively increase leverage to this extent is not
commensurate with an investment-grade rating.

Additionally, Moody's Investors Service said it will continue its review
of Bausch & Lomb's ratings for possible downgrade, including the company's
Ba1 Corporate Family rating.

Sidney Matti, an analyst at Moody's, stated that, "The review for possible
downgrade will focus primarily on the company's post-acquisition capital
structure and the likelihood that BOL's post-acquisition credit metrics
would fall below the 'Ba' rating category."

Furthermore, Fitch maintained its Negative Rating Watch on Bausch & Lomb
emphasizing that the transaction would significantly increase leverage and
likely result in a multiple-notch downgrade.

Fitch also warns that the transaction would result in an Issuer Default
Rating of no higher than 'BB-'.

                   About Bausch & Lomb

Bausch & Lomb (NYSE:BOL) -- http://www.bausch.com/-- is the eye health
company, dedicated to perfecting vision and enhancing life for consumers
around the world.  Its core businesses include soft and rigid gas
permeable contact lenses and lens care products, and ophthalmic surgical
and pharmaceutical products.  The Bausch & Lomb name is one of the best
known and most respected healthcare brands in the world.  Founded in 1853,
the company is headquartered in Rochester, New York, and employs
approximately 13,000 people worldwide.  Its products are available in more
than 100 countries.

The company manages its business through five business segments, which
include three regional commercial segments: the Americas; Europe, Middle
East and Africa (Europe), and Asia, and two centralized functions: Global
Operations and Engineering, and Research and Development.  The company's
international operations include Brazil, Mexico, Australia, China, France,
and Germany, among others.


EMPRESAS ICA: Inks Contract to Build Water Supply in Queretaro
--------------------------------------------------------------
Empresas ICA, S.A. de C.V. has signed a concession contract by an ICA-led
consortium and the State Water Commission of Queretaro for the
construction, operation, and maintenance of the Aqueduct II water supply
and purification system in Queretaro state.

The Aqueduct II will bring water 108km from the Infiernillo springs on the
Moctezuma River in the Sierra Madre to the city of Queretaro.  The project
includes the construction of a diversion dam, two pumping plants to bring
the water up 1,150m over a distance 24km to the continental divide, a
4,840m tunnel through the mountains, an 84km downhill section, a
purification plant, and a storage tank.

The Aqueduct II system will supply 50 million m3 of potable water per
year—equivalent to 75% of the metropolitan Queretaro’s current supply—and
the aqueduct and purification plant will each have a capacity of 1.5m 3/s.
The project is designed to enable the stabilization of the aquifer in the
Valley of Queretaro, which has been depleted by rapid population growth,
and to promote the development of other regions of the state including
Cadereyta and Ezequiel Montes.  The project is expected to satisfy the
water needs in the state capital and semi-desert regions of the state for
the next 30 years.  It has been designed to minimize any environmental
impact and meet the highest safety standards.

The project scope includes the development of the executive project,
construction, installation and testing of electromechanical equipment,
operation, maintenance, and conservation of the Aqueduct II over the
20-year term of the concession.  The required investment of MXN2,854
million, including costs of financing and construction, will be financed
with resources provided by Banobras’ Infrastructure Investment Fund
(FINFRA), equity capital from the consortium, and commercial bank debt.
The project will be constructed over a term of 26 months.

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.


EPICOR SOFTWARE: Earns US$4.4 Mil. in First Qtr. Ended March 31
---------------------------------------------------------------
Epicor Software Corporation recorded a net income of US$4.4 million for
the three months ended March 31, 2007, as compared with a net income of
US$4.6 million for the three months ended March 31, 2006.  Total revenues
for the first quarter of fiscal year 2007 increased 20% to 101.3 million,
as compared with US$84.5 million in the first quarter of fiscal year 2006.

Net license revenue was US$22 million in the first quarter of fiscal year
2007, compared to US$19.3 million in the first quarter of fiscal year
2006.  Consulting revenue was US$32.7 million in the first quarter of
fiscal year 2007, as compared with US$25 million in the first quarter
2006.  Maintenance revenue during the first quarter of fiscal year 2007
was US$39.1 million, as compared with US$36.2 million in the first quarter
2006 partly driven by a 94% customer retention rate.  Hardware and other
revenue for the first quarter of fiscal year 2007 was US$7.5 million, up
from US$4 million in the prior year's first quarter.

As of March 31, 2007, the company's balance sheet listed total assets of
US$44.8 million, total liabilities of US$226.6 million, and total
stockholders' equity of US$214.2 million.

                  Liquidity and Capital Resources

As of March 31, 2007, the company's principal sources of liquidity
included cash and cash equivalents of US$75.5 million and unused borrowing
capacity of US$99.8 million under its senior revolving credit facility.
The company's operations provided US$6 million in cash during the three
months ended March 31, 2007.

As of March 31, 2007, the company had US$1.6 million in cash obligations
for severance costs, lease terminations and other costs related to the
company's restructurings.  These obligations are expected to be paid
through August 2009 and the company believes these obligations will be
funded from existing cash reserves and cash generated from continuing
operations.  The company's working capital excluding deferred revenue is
US$130.2 million.  The company believes this is a relevant measurement of
working capital as deferred revenue is an obligation for services not
cash.  The cost of providing these services is generally fixed in nature
and ranges from 21% to 24% of the related revenues.

On May 8, 2007, the company closed the offering of US$230 million
aggregate principal amount of 2.375% convertible senior notes due 2027.
The company estimates that the net proceeds from this offering, including
the exercise in full of the underwriters' over allotment option, will be
about US$222.3 million after deducting the underwriters' discounts and
commissions and estimated offering expenses.  On May 8, 2007, the company
used about US$94 million of the proceeds to repay in full its term loan
outstanding under its credit facility.  The balance of the net proceeds
will be used for working capital, capital expenditures and other general
corporate purposes.

A full-text copy of the company's first quarter 2007 report is available
for free at http://ResearchArchives.com/t/s?200c

                 About Epicor Software Corporation

Headquartered in Irvine, California, Epicor Software Corporation ---
http://www.epicor.com/www/-- is a provider of enterprise resource
planning, customer relationship management, and supply chain management
software and solutions to mid-market companies worldwide.  Epicor Software
has worldwide locations in China, Australia, Canada, Germany, Hong Kong,
Indonesia, Italy, Japan, Korea, Malaysia, Mexico, Singapore, Taiwan, and
the United Kingdom, among others.

The Troubled Company Reporter Asia Pacific reported that 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 Software sectors this week, the rating agency confirmed
its B2 Corporate Family Rating for Epicor Software Corporation.

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

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$100 Million
   Senior Secured
   Revolving Credit
   Facility due 2009      B1       Ba3     LGD2       27%

   US$100 Million
   Senior Secured
   First Lien
   due 2012               B1       Ba3     LGD2       27%


PORTRAIT CORP: Waiting Period on CPI Corp.'s Acquisition Expires
----------------------------------------------------------------
The waiting period under the Hart-Scott-Rodino Antitrust Improvement Act
of 1976 relating to CPI Corp.'s acquisition of substantially all of the
operating assets of Portrait Corporation of America, Inc., has expired.

Portrait Corp. had filed a motion with the U.S. Bankruptcy Court for the
Southern District of New York seeking approval of the sale transaction
with CPI.  The hearing on that motion is scheduled for June 4, 2007.

On May 21, 2007, the Official Committee of Unsecured Creditors appointed
in PCA's Chapter 11 case filed a statement with the Court expressing its
support for the sale transaction to CPI.

The transaction is expected to close by the end of June 2007.

                          About CPI Corp.

CPI Corp. (NYSE: CPY) -- http://www.searsphotos.com/-- is a portrait
photography company offering photography services in the United States,
Puerto Rico and Canada through Sears Portrait Studios.

                       About Portrait Corp.

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.


RIO VISTA: Incurs US$470,000 Net Loss in Quarter Ended March 31
---------------------------------------------------------------
Rio Vista Energy Partners L.P. disclosed its financial results for the
quarter ended March 31, 2007.  The company incurred a net loss from
continuing operations of US$470,000 and a net loss from continuing
operations allocable to its common units of US$461,000 or US$0.24 per
common unit.

                       Results of Operations

The following discussion of Rio Vista’s results of operations from
continuing operations for all periods presented excludes the results of
operations related to the assets sold to TransMontaigne Product Services
Inc. in August 2006, including revenues, direct costs and associated
interest expenses, which have been reclassified as discontinued
operations.  As a result, the results of operations from continuing
operations reflects only the results associated with the LPG
Transportation Business, including all costs associated with operation of
the US-Mexico Pipelines and Matamoros Terminal Facility and all indirect
income and expenses of Rio Vista.  Revenues from Rio Vista’s LPG
Transportation Business commenced on August 22, 2006 although expenses
associated with operation of the US-Mexico Pipelines and Matamoros
Terminal Facility were incurred during the entire period for each period
presented.

                      Continuing Operations

Revenues for the three months ended March 31, 2007, were US0$.7 million.
There were no revenues during the three months ended March 31, 2006 since
the LPG Transportation business did not commence until Aug. 22, 2006.  All
revenues prior to
Aug. 22, 2006, were derived from Rio Vista’s LPG sales business and have
been reclassified as discontinued operations.

Cost of goods sold for the three months ended March 31, 2007, was US$0.4
million compared with US$0.5 million for the three months ended March 31,
2006.  The cost of goods sold consists of those costs associated with
operation of the US–Mexico Pipelines and Matamoros Terminal Facility.  All
costs associated with Rio Vista’s LPG sales business prior to the LPG
Asset Sale, except for costs associated with the US–Mexico Pipelines and
Matamoros Terminal Facility, which are also being used for Rio Vista’s LPG
Transportation business, have been reclassified as discontinued
operations.

Selling, general and administrative expenses were US$.7 million for the
three months ended March 31, 2007, compared with US$.7 million for the
three months ended March 31, 2006.  These costs were comprised of indirect
selling, general and administrative expenses directly incurred by Rio
Vista or allocated by Penn Octane to Rio Vista in accordance with the
Omnibus Agreement.  Salary related costs allocated by Penn Octane were
based on the percentage of time spent by those employees (including
executive officers) in performing Rio Vista related matters compared with
the overall time spent working by those employees.

                     Going Concern Doubt

As reported on the Troubled Company Reporter on May 5, 2006,
Burton Mccumber & Cortez, L.L.P., in Brownsville, Texas, raised
substantial doubt about the ability of Rio Vista Energy Partners
L.P. to continue as a going concern after auditing the Company's
consolidated financial statements for the years ended
Dec. 31, 2004, and 2005.

                       About Rio Vista

Headquartered in Houston, Texas, Rio Vista Energy Partners L.P. (NASDAQ:
RVEP) buys, transports and sells liquefied petroleum gas.  Rio Vista owns
and operates terminal facilities in Brownsville, Texas and in Matamoros,
Tamaulipas, Mexico and approximately 23 miles of pipelines, which connect
the Brownsville Terminal Facility to the Matamoros Terminal Facility.  The
primary market for Rio Vista's LPG is the northeastern region of Mexico,
which includes the states of Coahuila, Nuevo Leon and Tamaulipas.




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


* NICARAGUA: Taking Steps To Solve Energy Deficit
-------------------------------------------------
Nicaraguan President Daniel Ortega has said that the nation will use fuel
oil powered electricity generators and distribute fluorescent light bulbs
to fight energy crisis, Prensa Latina reports.

Venezuela and Cuba will bring in power generators with 60-megawatt
capacity by year-end, Prensa Latina says, citing President Ortega.  The
new equipment will use fuel oil, which is a cheap fuel.

President Ortega told Prensa Latina that Venezuela and Cuba had already
installed 32 stations that have been operating since March using diesel.

President Ortega said that Nicaragua's talks with Brazil, Canada, and
Taiwan are in progress.  Nicaragua is courting the countries to send
stations that work with fuel oil, Prensa Latina states.

                        *     *     *

Moody's Investor Service assigned these ratings to Nicaragua:

                     Rating     Rating Date
                     ------     -----------
   Long Term          Caa1     June 30, 2003
   Senior Unsecured
   Debt                B3      June 30, 2003




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


AES CORP: Acquires 51% Stake in IC ICTAS Energy Group
-----------------------------------------------------
AES Corp. told Thomson Financial that it has purchased a 51% stake in
Turkish hydroelectricity developer and producer IC ICTAS Energy Group.
Thomson Financial relates that IC ICTAS has a 26-megawatt hydroelectric
power capacity.  It has another 390-megawatt hydroelectric power capacity
under development.

AES told Thomson Financial that its expansion into Turkey would bring in
3,000 megawatts of new capacity every year through at least 2015.  It
advances its strategy to concentrate its core business expansion on
"select high growth markets."

John McLaren -- AES' Executive Vice President and President for Europe,
CIS and Africa region -- told Thomson Financial, "In addition to our
venture in Turkey, our presence in this region also includes two projects
in Bulgaria: a 670-megawatt power plant that recently began construction
and an investment in a 120-megawatt wind development project."

AES Corp. -- http://www.aes.com/-- is a global power company.
The company operates in South America, Europe, Africa, Asia and
the Caribbean countries.  Generating 44,000 megawatts of
electricity through 124 power facilities, the company delivers
electricity through 15 distribution companies.

AES Corp.'s Latin America business group is comprised of
generation plants and electric utilities in Argentina, Brazil,
Chile, Colombia, Dominican Republic, El Salvador, Panama and
Venezuela.  Fuels include biomass, diesel, coal, gas and
hydro.  The group also pursues business development activities
in the region.  AES has been in the region since May 1993, when
it acquired the CTSN power plant in Argentina.

                        *     *     *

In Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
given-default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.


AES CORP: Awards US$7.1-Million Compensation to Paul Hanrahan
-------------------------------------------------------------
AES Corp. said in a filing with the U.S. Securities and Exchange
Commission that Paul Hanrahan, its chief executive, was awarded a
US$7.1-million compensation package for 2006.

The Associated Press relates that the compensation package include:

          -- US$897,667 base salary;

          -- US$4-million performance-based cash compensation;
             and

          -- other compensation, includes:

             * US$228,228 car and driver and contributions to
               retirement plans, and

             * almost US$2 million in restricted stock and
               option awards.

AES released earlier this month its 2006 full-year report, which disclosed
that its profit decreased to US$261 million compared to US$605 million in
the previous year.  The firm earned US$1.14 per share, excluding one-time
charges.  Its revenue increased by 12% to US$12.3 billion, the AP states.

AES Corp. -- http://www.aes.com/-- is a global power company.
The company operates in South America, Europe, Africa, Asia and
the Caribbean countries.  Generating 44,000 megawatts of
electricity through 124 power facilities, the company delivers
electricity through 15 distribution companies.

AES Corp.'s Latin America business group is comprised of
generation plants and electric utilities in Argentina, Brazil,
Chile, Colombia, Dominican Republic, El Salvador, Panama and
Venezuela.  Fuels include biomass, diesel, coal, gas and
hydro.  The group also pursues business development activities
in the region.  AES has been in the region since May 1993, when
it acquired the CTSN power plant in Argentina.

                        *     *     *

In Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
given-default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.


AES CORP: Eyes 20% Boost in Earnings Through 2011
-------------------------------------------------
AES Corp. told the Associated Press that it expects per-share earnings to
increase up to 20% yearly through 2011 due to the strength of the growing
market for alternative energy.

According to the AP, AES predicted that its 2011 earnings would total up
to US$2.15 per share, representing yearly growth of up to 20% compared to
its $1.04 per share projected profit this year.

AES said in a statement that it expects its core power business to
increase capacity by 16% to 46,500 megawatts by 2011, compared to this
year due to its expansion efforts on markets with a growing demand for
power.

The AP notes that AES would triple its capacity for generating energy from
wind in the next four years, from this year's 600 megawatts.

AES also sees that its free cash flow will increase to US$3.3 billion in
2011, from a projected range of US$1.4 billion in 2007, the AP states.

AES Corp. -- http://www.aes.com/-- is a global power company.
The company operates in South America, Europe, Africa, Asia and
the Caribbean countries.  Generating 44,000 megawatts of
electricity through 124 power facilities, the company delivers
electricity through 15 distribution companies.

AES Corp.'s Latin America business group is comprised of
generation plants and electric utilities in Argentina, Brazil,
Chile, Colombia, Dominican Republic, El Salvador, Panama and
Venezuela.  Fuels include biomass, diesel, coal, gas and
hydro.  The group also pursues business development activities
in the region.  AES has been in the region since May 1993, when
it acquired the CTSN power plant in Argentina.

                        *     *     *

In Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
given-default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.




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


ADVANCE AUTO: Elwyn Murray Assumes Exec. VP-Merchandising Role
--------------------------------------------------------------
Advance Auto Parts, Inc. reported that Elwyn G. Murray, III, has assumed
additional responsibilities and will now serve as the company's Executive
Vice President, Merchandising, Supply Chain and Technology, effective
immediately.

“In this new role, Elwyn will have responsibility for merchandising,
marketing and store operations support in addition to retaining his
current responsibilities for logistics, information technology , risk
management and corporate purchasing,” said Jack Brouillard, interim
Chairman, President and CEO.  “Elwyn played a key role in our strategic
review and has the vision, commitment and capability to drive the
implementation of our key growth initiatives.  One of his key objectives
will be to enhance our parts availability and coverage.”

Mr. Murray joined Advance in April 2005 as Executive Vice President,
Administration. Prior to joining the company, Mr. Murray served as Senior
Vice President of Store Operations for Food Lion, based in Salisbury,
North Carolina, with whom he was employed for 16 years.  He received both
his Bachelor of Science in Business and Accounting and MBA from Wake
Forest University, Winston-Salem, North Carolina.

In conjunction with this management change, Dave Mueller has resigned as
Executive Vice President, Merchandising and Marketing.  Mr. Mueller joined
Advance in March 2003 and has held his current position since November
2004.

“We would like to thank Dave for his many contributions and wish him the
best in future endeavors,” stated Mr. Brouillard.

                      About Advance Auto

Headquartered in Roanoke, Va., Advance Auto Parts (NYSE: AAP)
-- http://www.advanceautoparts.com/-- is the second-largest
retailer of automotive aftermarket parts, accessories,
batteries, and maintenance items in the United States, based on
store count and sales.  As of April 22, 2006, the Company
operated 2,927 stores in 40 states, Puerto Rico, and the Virgin
Islands.  The Company serves both the do-it-yourself and
professional installer markets.

                        *     *     *

As reported in the Troubled Company Reporter on April 3, 2007,
Standard & Poor's Ratings Services revised its outlook on auto
parts retailer Advance Auto Parts Inc. to stable from positive,
reflecting soft same-store sales growth and a retrenchment in
capital spending that may slow progress.  All ratings on
the company, including the 'BB+' corporate credit rating, were
affirmed.

As reported in the Troubled Company Reporter on Jan. 3, 2007,
Moody's Investors Service downgraded the speculative grade
liquidity rating of Advance Auto Parts, Inc. to SGL-2 from
SGL-1, affirmed its Ba1 corporate family rating, and upgraded
its probability of default rating to Ba1 from Ba2.  Moody's says
the outlook on its long-term ratings remains positive.


ADVANCED MEDICAL: Mulls Competing Offer for Bausch & Lomb
---------------------------------------------------------
Advanced Medical Optics Inc. expressed interest in exploring an offer for
Bausch & Lomb Inc. following the eye-care company's
announcement of an agreement to be acquired by private-equity firm Warburg
Pincus subject to higher and better offers, Jon Kamp and Keith J. Winstein
of The Wall Street Journal report.

Advanced Medical has been looking at Bausch's US$710 million lens business
and US$658 million eye-drug line to add to its portfolio of eye-care
products, WSJ relates, citing a person familiar with the matter.

According to WSJ's source, Advanced Medical believes a deal between the
two companies would offer significant cost synergies, something a
private-equity firm cannot offer.

                        Warburg Pincus Deal

About two weeks ago, Bausch & Lomb agreed to be merged with
affiliates of Warburg Pincus in a transaction valued at approximately
US$4.5 billion, including approximately US$830 million of debt.

Under the terms of the agreement, affiliates of Warburg Pincus
will acquire all of the outstanding shares of Bausch & Lomb common stock
for US$65 per share in cash.  This represents a premium of approximately
26% over the volume weighted average price of Bausch & Lomb's shares for
30 days prior to press reports of rumors regarding a potential acquisition
of the company.

Bausch & Lomb's Board of Directors, following the recommendation of a
Special Committee composed entirely of independent directors, has
unanimously approved the agreement and recommends that Bausch & Lomb
shareholders approve the merger.

Morgan Stanley & Co. Incorporated is acting as financial advisor to the
Special Committee of the Bausch & Lomb Board of Directors and has
delivered a fairness opinion.  Wachtell Lipton Rosen
& Katz is acting as legal counsel to the Special Committee in the
transaction.  Banc of America, Citi, Credit Suisse and JPMorgan served as
the financial advisors to Warburg Pincus, and Cleary Gottlieb Steen &
Hamilton LLP is acting as legal advisor to Warburg Pincus.

Headquartered in Santa Ana, California, Advanced Medical Optics
-- http://www.amo-inc.com/-- develops, manufactures and markets
ophthalmic surgical and contact lens care products.  Sales for the twelve
months ended June 24, 2005 were approximately US$921 million.

The company has operations in Germany, Japan, Ireland, Puerto Rico and
Brazil.


ADVANCED MEDICAL: B&L Acquisition Cues S&P's Developing Watch
-------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on Advanced Medical
Optics Inc. on CreditWatch with developing implications, given the
company's announced interest to acquire Bausch & Lomb Inc. (B&L; BB+/Watch
Neg/--).

On May 16, Bausch & Lomb entered into a definitive merger agreement with
Warbug Pincus in a takeover valued at US$4.5 billion (including about
US$830 billion of assumed debt).  Under the agreement, B&L has 50 calendar
days to solicit superior proposals, and Advanced Medical Optics has
indicated that the offer extended by Warburg Pincus undervalues B&L.

"The CreditWatch action reflects the potential for Advanced Medical Optics
to be upgraded or downgraded depending on several factors," explained
Standard & Poor's credit analyst Cheryl Richer.  "If the acquisition is
financed with a conservative mixture of debt and equity, that and the
prospect of a more diverse portfolio of eye care products could result in
an upgrade.  However, a material increase in debt leverage could result in
a downgrade."

In addition, S&P anticipate that Advanced Medical Optics may divest a
portion of the portfolio; while the company has publicly expressed
interest in the contact lens business, it has also stated publicly that it
has no interest in eye care pharmaceuticals.

If Advanced Medical Optics is ultimately successful, S&P will evaluate the
structure and financing of the transaction to determine the ratings
outcome.

Headquartered in Santa Ana, California, Advanced Medical Optics
-- http://www.amo-inc.com/-- develops, manufactures and markets
ophthalmic surgical and contact lens care products.  Sales for the twelve
months ended June 24, 2005 were approximately US$921 million.

The company has operations in Germany, Japan, Ireland, Puerto Rico and
Brazil.


SANTANDER BANCORP: Board Declares US$0.16 Per Share Dividend
------------------------------------------------------------
Santander BanCorp's Board of Directors declared a cash dividend amounting
to US$0.16 per common share.  The dividend shall be payable on July 2,
2007, to shareholders of record as of
June 8, 2007.

Cash dividends on common shares are eligible for direct reinvestment under
the company's Dividend Reinvestment and Cash Purchase Plan.  For
additional information on how to participate in Santander BanCorp's
Dividend Reinvestment and Cash Purchase Plan, shareholders should contact
our transfer agent and registrar, Mellon Investor Services LLC, at (800)
851-9677.

Santander BanCorp (NYSE: SBP) (LATIBEX: XSBP) is a publicly held
financial holding company that is traded on the New York Stock
Exchange and on Latibex (Madrid Stock Exchange).  About 91% of
the outstanding common stock of Santander BanCorp is owned by
Banco Santander Central Hispano, SA aka Santander.  The company
has four wholly owned subsidiaries -- Banco Santander Puerto
Rico, Santander Securities Corp., Santander Financial Services
and Santander Insurance Agency.

                        *     *     *

As reported in the Troubled Company Reporter on May 30, 2006,
Fitch affirmed the Individual ratings of Santander Bancorp and
Banco Santander Puerto Rico at 'C'.




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


DIGICEL LTD: Peter Permell Calls on Firm To Make Public Apology
---------------------------------------------------------------
Peter Permell, the head of the Association for Radio Frequency Emission
Control in Trinidad and Tobago, told Ruth Osman at the Trinidad and Tobago
Express that Digicel Ltd. should issue a public apology to media houses
and Jerningham Avenue residents due to threats made my men contracted to
dismantle the firm's cell tower.

Mr. Permell criticized in a press release the "unwarranted and unprovoked
verbal and ... physical attack on the media personnel."

According to The Express, TV6 camerawoman Kerry Patrick said that she and
photographers from other media houses were taking shots of the dismantling
process when the workers asked them to stop and they complied.

However, one of the workers came out of the van and hurled a stone after
The Guardian photographer, The Express' Ms. Osman relates, citing Ms.
Patrick.  "He missed and he came up to me with a stone in his hand," she
said.

However, Digicel Public Relations Manager Kevin Garcia told The Express'
Ms. Osman that it is unfair to blame the firm.  He said, "We are getting
reports that there may have been words between people, but there were
villagers there also... It's anybody's guess if it was the villagers or
the sub-contractors."

Digicel is carrying out a probe on the matter, The Express' Ms. Osman states.

Digicel Ltd. is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien.  The
company started 0operations in Jamaica in April 2001 and now
offers GSM mobile services in Caribbean countries including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Bermuda, Cayman, and Curacao among others.  Digicel finished
FY2005 with 1.722 million total subscribers -- 97% pre-paid --
estimated market share of 67% and revenues and EBITDA of US$478
million and US$155 million, respectively.

                        *     *     *

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.

   -- Proposed 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.




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


GENERAL MOTORS: In Talks w/ Investors About Delphi's Ch. 11 Exit
----------------------------------------------------------------
General Motors Corporation said it continues to negotiate with Delphi
Corporation and certain potential investors in Delphi regarding
arrangements that would permit Delphi to emerge from bankruptcy
proceedings.

GM anticipates that the arrangements contemplated by the framework support
agreement among Delphi, GM, and potential investors, described in the
Current Report on Form 8-K dated Dec. 18, 2006, and subsequent filings by
GM, will be modified to reflect a number of items, including the
withdrawal of Cerberus Capital Management as a plan investor.

GM currently expects that under the modified agreement the consideration
it would receive upon the termination of Delphi's
bankruptcy proceedings would not materially differ from previous
arrangements described by GM, although the composition may be altered.

General Motors has received proposals from Delphi and from the United Auto
Workers Union regarding support to be provided by GM as part of Delphi's
restructuring, and believes that the proposals provide a basis for
continuing productive negotiations.

GM intends to update its estimate of contingent exposures related to
Delphi as appropriate to reflect the outcome of all negotiations.

Based on the current status of all the negotiations, GM believes it is
appropriate to update the previously disclosed range of contingent
exposures between US$6 billion and US$7.5 billion to approximately US$7
billion.

GM currently expects to reimburse Delphi for certain labor expenses with
an initial payment of up to approximately
$500 million when it emerges from bankruptcy, and provide annual
labor-related payments between US$300 million and US$400 million and
annual transitional payments of approximately US$100 million.

The total amount of the contingent liability and the specific amounts and
periods that such subsidies would be paid, are still
subject to negotiation.

GM continues to expect that the cost of these reimbursements will be more
than offset in the long term by its savings from
reductions to the US$2 billion price penalty it now pays Delphi annually
for systems, components, and parts.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- the
world's largest automaker, has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 317,000
people around the world.  It has manufacturing operations in 32
countries.

General Motors has Asia-Pacific operations in India, China,
Indonesia, Japan, the Philippines, among others.  It has
locations in European countries including Belgium, Austria, and
France.  In Latin-America, the company maintains locations in
Argentina, Brazil, Chile, Colombia, Ecuador, Venezuela, Paraguay
and Uruguay.

                          *     *     *

As reported in the Troubled Company Reporter on May 25, 2007,
Fitch Ratings downgraded General Motors Corporation's ratings including
the company's 'B/RR4' rated senior unsecured debt to
'B-/RR5'.  GM's Issuer Default Rating remains at 'B' and is still on
Fitch's Negative Rating Watch.


GENERAL MOTORS: Gets US$4.1 Bil. Credit Facility Commitments
------------------------------------------------------------
General Motors Corporation disclosed in a regulatory filing with the
Securities and Exchange Commission that as of May 22, 2007, the company
had obtained non-binding lender commitments to provide a secured revolving
credit facility in an aggregate principal amount of approximately US$4.1
billion.

GM anticipates that the facility will be secured by GM's common equity
interest in GMAC LLC and will mature 364 days after the date that the
definitive agreements are executed.

According to GM, the credit facility could be used for general corporate
purposes, including working capital needs.

The commitments are subject to a number of conditions, including
negotiation of definitive agreements.

Consequently, GM said there can be no assurance that it will ultimately
enter into the contemplated credit facility, and if the transaction to
establish the facility is successfully closed, GM's ability to borrow
under the facility will be subject to customary conditions and
limitations.

                        Fitch Takes Action

Fitch Ratings downgraded GM's senior unsecured debt rating to 'B-/RR5'
from 'B/RR4' and placed GM's 'B' Issuer Default Rating under Negative
Watch along with other outstanding ratings following the company's
announcement that it will be raising US$4.1 billion in secured financing.

According to Fitch, the US$4.1 billion 364-day facility, to be secured by
GM's common equity holdings in GMAC, will be assigned a rating of
'BB/RR1'.

Fitch states that the downgrade action reflects increase in debt levels
and the resulting reduced recovery expectations for senior unsecured debt
holders.

               GM Amends Proposed Underwriting Pacts

On March 18, 2004, General Motors filed a post-effective amendment to its
registration statement on Form S-3
(File #333-108532).

Exhibit 1(a) to that registration statement contained a form of proposed
Underwriting Agreement of GM relating to Debt Securities (including form
of Delayed Delivery Contract) and Exhibit 1(b) contained a form of
proposed Underwriting Agreement of GM relating to Convertible Debt
Securities.

GM said it has amended each of the forms.

A revised form of the proposed Underwriting Agreement relating to debt
securities is available for free at:

               http://researcharchives.com/t/s?2039

A revised form of the proposed Underwriting Agreement relating to
convertible debt securities is available for free at:

               http://researcharchives.com/t/s?203b

                    About General Motors Corp.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- the
world's largest automaker, has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 317,000
people around the world.  It has manufacturing operations in 32
countries.

General Motors has Asia-Pacific operations in India, China,
Indonesia, Japan, the Philippines, among others.  It has
locations in European countries including Belgium, Austria, and
France.  In Latin-America, the company maintains locations in
Argentina, Brazil, Chile, Colombia, Ecuador, Venezuela, Paraguay
and Uruguay.

                           *    *    *

As reported in the Troubled Company Reporter-Latin America on May 27,
2007, Moody's Investors Service assigned a Caa1 (LGD4, 58%) to the US$1.1
billion of convertible debt securities of General Motors Corporation, and
a Ba3 (LGD1, 6%) rating to the company's proposed US$4.1 billion, 364 day
credit facility that would be secured by its 49% ownership in GMAC LLC.

Moody's also affirmed GM's B3 Corporate Family Rating and B3 Probability
of Default Rating, and maintained its SGL-3 Speculative Grade Liquidity
Rating.  Moody’s said the rating outlook remains negative.




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


DAIMLERCHRYSLER AG: Court Authorizes Collins & Aikman Settlement
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Michigan has
approved Collins & Aikman Corp.'s settlement and option agreement with
DaimlerChrysler AG and DaimlerChrysler Canada Inc.

The agreement, sanctioned by the Honorable Judge Steven W. Rhodes, will
help Collins & Aikman facilitate the sale of its assets, Bankruptcy Law360
reports.

Collins & Aikman said the agreement, along with the customer agreement as
a whole, would save thousands of jobs and provide a framework for the
bankruptcy’s resolution.  Collins & Aikman added that costly and
time-consuming litigation would have resulted had a deal not been reached,
Bankruptcy Law360 notes.

As previously reported, in December 2006, Collins & Aikman and its
debtor-affiliates successfully negotiated a comprehensive agreement that,
among other things:

   (a) provides a framework to facilitate the orderly sale of a
       majority of the Debtors' businesses with the support of
       the agents to the Debtors' prepetition senior, secured
       lenders and postpetition secured lenders and the Debtors'
       principal customers;

   (b) provides a meaningful opportunity to save thousands of
       jobs;

   (c) memorializes an agreement among the Debtors, the Agents
       and the Customers on the substantive terms of the Plan;
       and

   (d) provides a clear framework toward a consensual resolution
       and conclusion to these cases.

In connection with the customer agreement, the Debtors also negotiated
certain customer-specific agreements with individual Customers that
resolved disputed pre- and postpetition commercial matters.  The Debtors
had not finalized and filed each of the specific agreements with
individual Customers prior to the hearing to consider Court-approval of
the customer agreement.

Ray C. Schrock, Esq., at Kirkland & Ellis LLP, in New York, relates the
Debtors and DaimlerChrysler continued to negotiate and, on May 11, 2007,
reached the settlement and option agreement.

As with the other Customer-Specific Agreements, the DaimlerChrysler
Agreement has been filed under seal and shared only with the U.S. Trustee,
the Official Committee of Unsecured Creditors and the Agents due to the
sensitive and confidential commercial information contained therein.

Generally, a settlement under Rule 9019(a) of the Federal Rules of
Bankruptcy Procedure should be approved if it is determined to be fair and
equitable and does not fall below the lowest level of reasonableness, Mr.
Schrock notes, citing Bauer v. Commerce Union Bank, 859 F.2d 438, 441 (6th
Cir. 1988); In re Haven, Inc. 2005 WL 927666, at *3 (6th Cir. B.A.P.
2005); and Dow Corning, 192 B.R. at 421.  The DaimlerChrysler Agreement
satisfies this standard, he asserts.

Mr. Schrock explains that the DaimlerChrysler Agreement resolves a number
of issues between the Debtors and DaimlerChrysler, each, if left
unresolved, would undoubtedly result in costly and time-consuming
litigation.

For example, He says, if the parties did not agree to the DaimlerChrysler
Agreement, the parties would likely become embroiled in disputes over
breaches of the Debtors' obligations under numerous purchase orders and
postpetition agreements.  Similarly, he points out, the Debtors would
expect that, but for the consideration provided under the DaimlerChrysler
Agreement, the parties would be required to litigate numerous disputes
over ownership rights of certain equipment currently held by the Debtors.

The expenses incurred to resolve the numerous disputes would be an
additional burden to the estates and their creditors, Mr. Schrock avers.
The DaimlerChrysler Agreement avoids these disputes and the heavy
encumbrance that the disputes would place on their estates.

Here, the Debtors' decision to enter into the DaimlerChrysler Agreement is
clearly an exercise of their sound business judgment as it is integral to
and effectuates the customer agreement, Mr. Schrock asserts.

He relates that, although the terms of the DaimlerChrysler Agreement must
remain confidential due to its sensitive commercial terms, the customer
agreement, together with the DaimlerChrysler Agreement, provide the
Debtors with numerous benefits, including:

    (a) significant prepetition claim settlement amounts;

    (b) a recovery that will maximize the value of the Debtors'
        working capital; and

    (c) the continued support of DaimlerChrysler for the sale of
        the Debtors' businesses and the Plan.

                     About Collins & Aikman

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in cockpit modules
and automotive floor and acoustic systems and is a leading supplier of
instrument panels, automotive fabric, plastic-based trim, and convertible
top systems.  The Company has a workforce of approximately 23,000 and a
network of more than 100 technical centers, sales offices and
manufacturing sites in 17 countries throughout the world.  The Company and
its debtor-affiliates filed for chapter 11 protection on May 17, 2005
(Bankr. E.D. Mich. Case No. 05-55927).  Richard M. Cieri, Esq., at
Kirkland & Ellis LLP, represents C&A in its restructuring.  Lazard Freres
& Co., LLC, provides the Debtor with investment banking services.  Michael
S. Stammer, Esq., at Akin Gump Strauss Hauer & Feld LLP, represents the
Official Committee of Unsecured Creditors Committee.  When the Debtors
filed for protection from their creditors, they listed US$3,196,700,000 in
total assets and US$2,856,600,000 in total debts.  The Debtors' disclosure
statement explaining their First Amended Joint Chapter 11 Plan was
approved on Jan. 25, 2007.  The hearing to consider confirmation of the
Debtors' Amended Joint Plan is set for April 19, 2007.  (Collins & Aikman
Bankruptcy News, Issue No. 61; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                      About DaimlerChrysler

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

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

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

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

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


DAIMLERCHRYSLER AG: Chery Denies Report About Deal's Delay
----------------------------------------------------------
Chery Automobile Co. Ltd. has denied a May 21, 2007, report published by
German financial daily Handelsblatt that the Chinese automaker wanted to
re-examine a limited partnership with DaimlerChrysler AG to build
Chrysler-branded cars in light of the unit's sale to Cerberus Capital
Management LP, Reuters relates, quoting a Chery spokesman.

The Associated Press reports that Zhang Li, the general manager of Chery
Automobile, told Handelsblatt that the company has halted the project and
wants to renegotiate its agreement on building a new compact for Chrysler.

The decision, the German paper reported, came after DaimlerChrysler agreed
last week to sell its money-losing Chrysler Group to private equity firm
Cerberus Capital in a US$7.41 billion deal, AP notes.  Mr. Zhang said the
deal came as a "total surprise" for his company and it had not yet talked
with Cerberus about the move.  "We continue to be in talks with Chrysler,
but we don't have any contact with the new owners yet," Handelsblatt
quoted Mr. Zhang as saying.

Handelsblatt Misquotation

A Chery spokesman told Reuters that the newspaper had misquoted his
colleague and that the earlier deal with Chrysler Group was moving ahead.
The spokesman declined to elaborate on the status of that deal, which
still needs Chinese government approval, or confirm whether the Chinese
carmaker wants to renegotiate the terms with Chrysler's new owner, Reuters
relates.

                       Chrysler-Chery Deal

The TCR-Europe reported on March 1, 2007, that under the non-equity
partnership, Chery-built vehicles would be distributed under Chrysler
Group brands, primarily in North America and Western Europe.

Chrysler Group indicated that the partnership would allow the company to
become a bigger player on the global automotive stage by giving it access
to products in new segments more quickly, with less capital spending.
Small vehicles such as these will allow Chrysler Group brands to compete
in segments in which the brands do not currently compete, and which are
especially important in price- and fuel-economy sensitive markets.

Global growth remained an important aspect of Chrysler's transformation
and recovery plan, AP says, quoting Daimler spokeswoman Mary Gauthier.
She added that the sale to Cerberus had not changed those goals.

                      About DaimlerChrysler

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

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

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

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

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


PETROLEOS DE VENEZUELA: Bonds Affected by RCTV Conflict
-------------------------------------------------------
Petroleos de Venezuela SA's bonds are negatively affected by fears of new
political tensions following President Hugo Chavez's decision not to renew
Radio Caracas Television's broadcasting license.  The license expired at
midnight of
May 27.

The government declared on Dec. 28, 2006, that RCTV's license won't be
renewed on grounds of its alleged role in the coup attempts against Pres.
Chavez's administration.

The yield on the Petroleos de Venezuela's 5.25% dollar-denominated
security due April 2017 jumped 10 basis points, or 0.10 percentage point,
to 8% at 4:19 p.m. New York time, according to a Bloomberg News composite
price from 10 banks.  The price, which moves inversely to the yield, fell
0.6 cent to 81.5 cents on the dollar -- the lowest since May 15.

Analyst Matt Festa, at 4Cast Inc., said that the only reason why the bonds
decline is due to the RCTV case, Bloomberg relates.

The U.S. senate and the European parliament passed resolutions condemning
the Venezuelan government's decision.  The actions, however, were mocked
by President Hugo Chavez, Bloomberg says.

                        About RCTV

Radio Caracas Television was a Venezuelan television network headquartered
in Caracas.  It is sometimes referred to as the Canal de Barcenas.
Currently owned by Empresas 1BC, RCTV was founded on Nov. 15, 1953, by
William H. Phelps.  Its radio counterpart is Radio Caracas Radio.

On May 27, 2007, the Venezuelan government took the channel off the air by
denying the renewal of its broadcasting license, which President Hugo
Chavez said had tried to undermine his government.  It was replaced by the
state-sponsored channel, TVes, which uses the same RCTV equipment and
facilities.

                 About Petroleos de Venezuela

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

                        *     *     *

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


PETROLEOS DE VENEZUELA: Government Creating Three Units
-------------------------------------------------------
Venezuelan President Hugo Chavez said at an official function that the
government is creating three new units for state-run oil company Petroleos
de Venezuela SA, Business News Americas reports.

According to BNamericas, the new subsidiaries include:

          -- PDV Servicios, which will handle field services
             like operating drill rigs;

          -- PDV Industrial, which will manufacture and
             supervise imports of equipment such as drilling
             platforms and rigs; and

          -- PDV Agricola, which will handle new and existing
             agricultural projects.

Petroleos de Venezuela said in a statement that it has appointed Asdrubal
Chavez as vice president of refining, trade and supply.

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

                        *     *     *

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


* VENEZUELA: RCTV Hands Over Broadcast Infrastructure to Gov't
--------------------------------------------------------------
Radio Caracas Television's license expired at midnight on
May 27, ending the network's 53 years of broadcasting.

Venezuelan Hugo Chavez announced late last year that the network's license
won't be renewed alleging that it's part of a move to destabilize the
Chavez administration.  Despite local and international protests, the
government went on ahead of its plans and refused a dialogue with the
company.

An appeal filed with the Supreme Tribunal of Justice didn't help the
network get a license renewal.

According to El Universal, the government will take temporary control of
RCTV's infrastructure to ensure that government-sponsored Televisora
Venezolana Social, RCTV's replacement, can be watched all over the
country, in accordance with a decree from the Supreme Court.  The court
also ordered the Armed Forced to guard, monitor and control permanently
the use of installations and equipments and guarantee their use by the new
channel, the same report adds.

                         About RCTV

Radio Caracas Television was a Venezuelan television network headquartered
in Caracas.  It is sometimes referred to as the Canal de Barcenas.
Currently owned by Empresas 1BC, RCTV was founded on Nov. 15, 1953, by
William H. Phelps.  Its radio counterpart is Radio Caracas Radio.

On May 27, 2007, the Venezuelan government took the channel off the air by
denying the renewal of its broadcasting license, which President Hugo
Chavez said had tried to undermine his government.  It was replaced by the
state-sponsored channel, TVes, which uses the same RCTV equipment and
facilities.

                        *     *     *

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


                         ***********


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

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

Copyright 2007.  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
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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
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           * * * End of Transmission * * *