TCRLA_Public/070619.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, June 19, 2007, Vol. 7, Issue 120

                            Headlines

A R G E N T I N A

AEROPLATA COMERCIO: Claims Verification Deadline Is Aug. 10
BANCO HIPOTECARIO: Sells 11.25% US$150-Mil. Three-Year Notes
CASA TERROBA: Trustee To File Individual Reports on July 27
DELTA AIR: In Talks with Boeing on Supply of 787 Aircraft
DENELIA SA: Proofs of Claim Verification Deadline Is Aug. 28

E. MAHER: Reorganization Proceeding Concluded
INDUSTRIA METALURGICAS: Claims Verification Deadline Is Aug. 8
PATROCINIOS Y LICENCIAS: Trustee Verifies Claims Until Aug. 15
SAJENCO SA: Proofs of Claim Verification Is Until Aug. 24
SEFIA SRL: Proofs of Claim Verification Ends on Sept. 10

TELECOM ARGENTINA: Deutsche Bank Raises Target Price for Firm
TRANSPORTADORA DE GAS: Refinancing Cues S&P to Up Rating to B+

B E R M U D A

BMS ALPHA: Final General Meeting Is Set for July 24
BMS ALPHA: Proofs of Claim Filing Is Until July 11
GLOBAL CROSSING: UK Unit Earns GBP18 Million in 2006 First Qtr.

B O L I V I A

* BOLIVIA: Ministry Drafts Reference Terms for Oilfield Audits

B R A Z I L

ALLIANCE ONE: Posts US$21.6MM Net Loss in Qtr. Ended March 31
BUCKEYE TECHNOLOGIES: Moody's Ups Corporate Family Rating to B1
DEL MONTE: 160 Federal Agents Raid Company
NOVELIS INC: Holders Tender US$10,717,000 of Senior Notes
PETROLEO BRASILEIRO: Inks MOU with Morocco Hydrocarbons Agency

STRATOS INT: Reports US$600,000 Net Income in 2007 Fourth Qtr.
VERIFONE INC: S&P Affirms BB- Corporate Credit Rating
XERIUM TECH: Names Eduardo Fracasso as Pres. for Brazil Unit

* BRAZIL: 19 Municipalities Will Sue Companhia de Saneamento

C A Y M A N   I S L A N D S

AB FUNDING: Will Hold Final Shareholders Meeting on July 18
ALTERNATIVE MULTI: Sets Final Shareholders Meeting for July 12
ASM PACIFIC: Will Hold Final Shareholders Meeting on July 12
AUSTRAL CAPITAL: Sets Final Shareholders Meeting for July 11
COMMODITY RESOURCES: Final Shareholders Meeting Is on July 12

EM CAPITAL: Proofs of Claim Must be Filed by July 20
EM CAPITAL: Sets Final Shareholders Meeting for July 20
FIRST DORMY-IN: Will Hold Final Shareholders Meeting on July 13
KA LEASING: Holding Final Shareholders Meeting on July 18
KICAP MASTER: Sets Final Shareholders Meeting on July 12

KICAP NETWORK: Final Shareholders Meeting Is on July 12
NEEDHAM EMERGING: Holding Final Shareholders Meeting on July 13
RYMBOURNE CAYMAN: Sets Final Shareholders Meeting for July 13

C H I L E

AMERICAN AIRLINES: In Talks with Boeing on Aircraft Supply

C O L O M B I A

BANCOLOMBIA: Discloses 60MM Shares of Preferred Stock Offering
DOLE FOOD: David Murdock Steps Down as Chief Executive Officer
DOLE FOOD: Fitch Affirms B- Issuer Default Rating

H O N D U R A S

* HONDURAS: Inks Free Trade Pact with Panama

J A M A I C A

AIR JAMAICA: Launching Fort Lauderdale-Barbados Direct Flights
DYOLL INSURANCE: Coffee Farmers To Receive Compensation
NATIONAL WATER: Blamed for Neglecting Sewerage Treatment Plants

* JAMAICA: State Firm Will Sell Assets to Boost Profitability

M E X I C O

CINRAM INTERNATIONAL: Launches CDN$0.2708 Per Unit Distribution
DELPHI CORP: Selling Mexican Unit to Robert Bosch for US$15MM
GENERAL MOTORS: Will Retool Tonawanda Engine Plant
GRUPO GIGANTE: S&P Affirms BB Long-Term Corp. Credit Rating
METROFINANCIERA: S&P Cuts Counterparty Credit Rating to B+

NAVISTAR INT'L: Unit Signs US$200 Mil. Asset Based Loan Pact

P A N A M A

BANCO LATINOAMERICANO: Paying US$0.2 A Share Dividend on July 6
CHIQUITA BRANDS: Morgan Joseph Puts Buy Rating on Firm's Shares

* PANAMA: Inks Free Trade Pact with Honduras

P A R A G U A Y

GOL LINHAS: Paying BRL0.35 Dividend Per Common Share

P E R U

CUMMINS INC: Unit Signs US$200 Mil. Asset Based Loan Pact

P U E R T O   R I C O

DORAL FIN'L: Incurs US$37.3 Mil. Net Loss in 2007 First Quarter
QUANTUM CORP: S&P Affirms B Corporate Credit Rating

V E N E Z U E L A

* VENEZUELA: Won't Buy Back Debts in IMF Pullout, Reuters Says



                       - - - - -


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


AEROPLATA COMERCIO: Claims Verification Deadline Is Aug. 10
-----------------------------------------------------------
Nelida G. de Nobile, the court-appointed trustee for Aeroplata Comercio
Exterior SRL's bankruptcy proceeding, verifies creditors' proofs of claim
until Aug. 10, 2007.

Ms. de Nobile will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 17 in Buenos
Aires, with the assistance of Clerk No. 33, 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 Aeroplata Comercio 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 Aeroplata Comercio's accounting
and banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

         Aeroplata Comercio Exterior SRL
         J. Marmol 2134
         Buenos Aires, Argentina

The trustee can be reached at:

         Nelida G. de Nobile
         F. Vallese 1195
         Buenos Aires, Argentina


BANCO HIPOTECARIO: Sells 11.25% US$150-Mil. Three-Year Notes
------------------------------------------------------------
Banco Hipotecario said in a press statement that it sold about US$150
million of three-year, peso-linked notes at an 11.25% rate on June 14,
2007.

Business News Americas relates that Banco Hipotecario was seeking to place
up to US$200 million of its series 6, fixed rate notes.

According to BNamericas, the issue is part of Banco Hipotecario's
US$1.2-billion debt program.  Proceeds will be used to boost the bank's
loan book.

Citibank and Deutsche Bank led the issue, BNamericas states.

Headquartered in Buenos Aires, Argentina, Banco Hipotecario SA
-- http://www.hipotecario.com.ar-- is an Argentinean commercial bank and
specialty mortgage provider.  Banco Hipotecario' business lines include
credit lines for consumers, short-term financing for exporting companies,
factoring services, deposit accounts, purchase and sale of foreign
currency, custodial services, safe deposit box rentals, payroll bank
accounts, securities brokerage services and sales of insurance through
authorized agents and companies.  The bank launched this new series of
products and services as an alternative to its mortgage loans business,
which as a result of the economic crisis, came to a temporary halt in
2002.  In late 2003, and in the light of the favorable trends shown by
economic variables, Banco Hipotecario started to offer new housing
mortgage loans.  The bank's subsidiaries consist of BHN Sociedad de
Inversion Sociedad Anonima.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on June 1,
2007, Moody's Investors Service assigned a (P)Ba1 global local currency
debt rating to Banco Hipotecario's US$200 million senior unsecured
Argentine peso-linked notes, which are due in 2010.  Moody's also assigned
a provisional (P)Aa1.ar local currency rating in the Argentine national
scale to the notes.  Moody's said the outlooks on the ratings are stable.


CASA TERROBA: Trustee To File Individual Reports on July 27
-----------------------------------------------------------
Victor Hugo Colina, the court-appointed trustee for Casa Terroba S.A.'s
bankruptcy proceeding, will present creditors' validated claims as
individual reports in the National Commercial Court of First Instance in
Salta on July 27, 2007.

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

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

Mr. Colina verified creditors' proofs of claim until
June 13, 2007.

Mr. Colina will also submit to court a general report containing an audit
of Casa Terroba's accounting and banking records on Sept. 11, 2007.

The debtor can be reached at:

          Casa Terroba S.A.
          Alem 202, Gral. Gemes
          Salta, Argentina

The trustee can be reached at:

          Victor Hugo Colina
          Los Nogales 430, Bo. Tres Cerritos
          Ciudad de Salta, Salta
          Argentina


DELTA AIR: In Talks with Boeing on Supply of 787 Aircraft
---------------------------------------------------------
Aircraft manufacturer Boeing's commercial aviation head Scott Carson told
Thomson Financial that it is in preliminary discussions with American
Airlines and Delta Air on the supply of long-haul 787 model.

US carriers have been "sidelined."  However, all indications were there
that they would be back in the market in 2007 or 2008, Thomson Financial
notes, citing Mr. Carson.

There was a renewal of interest from North America.  Airlines like Air
Canada and Continental already choosing 787, Carson told Thomson
Financial.

                    About American Airlines

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

                        About Delta Air

Headquartered in Atlanta, Georgia, Delta Air Lines (NYSE:DAL)
-- http://www.delta.com/-- is the world's second-largest airline in terms
of passengers carried and the leading U.S. carrier across the Atlantic,
offering daily flights to 502 destinations in 88 countries on Delta, Song,
Delta Shuttle, the Delta Connection carriers and its worldwide partners.
Delta flies to Argentina, Australia and the United Kingdom, among others.

                        *     *     *

As reported in the Troubled Company Reporter on May 2, 2007, Standard &
Poor's Ratings Services raised its ratings on Delta Air Lines Inc.
(B/Stable/--), including raising the corporate credit rating to 'B', with
a stable outlook, from 'D', following the airline's emergence from Chapter
11 bankruptcy proceedings.


DENELIA SA: Proofs of Claim Verification Deadline Is Aug. 28
------------------------------------------------------------
Marcela Ingrid Vainberg, the court-appointed trustee for Denelia S.A.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Aug. 28,
2007.

Ms. Vainberg will present the validated claims in court as individual
reports on Oct. 9, 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 Denelia 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 Denelia's accounting and
banking records will be submitted in court on
Nov. 21, 2007.

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

The trustee can be reached at:

         Marcela Ingrid Vainberg
         Lavalle 2024
         Buenos Aires, Argentina


E. MAHER: Reorganization Proceeding Concluded
---------------------------------------------
Buenos Aires-based company E. Maher S.A.'s reorganization process has been
concluded, according to data released by Infobae on its Web site.  The
conclusion came after the National Commercial Court of First Instance in
Buenos Aires approved the debt restructuring plan signed between the
company and its creditors.

The debtor can be reached at:

         E. Maher S.A.
         Andres Lamas 839/41
         Buenos Aires, Argentina


INDUSTRIA METALURGICAS: Claims Verification Deadline Is Aug. 8
--------------------------------------------------------------
Susana Fernandez, the court-appointed trustee for Industria Metalurgicas
Suarez S.A.'s reorganization proceeding, will verify claims from the
company's creditors until Aug. 8, 2007.  After verification period, the
trustee will submit the individual and general reports in court.

La Nacion did not state the reports submission deadlines.

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

The National Commercial Court of First Instance No. 18 in Buenos Aires,
with the assistance of Clerk No. 35, approved a petition for
reorganization filed by Industria Metalurgicas.

The debtor can be reached at:

          Industria Metalurgicas Suarez SA
          Tucuman 540
          Buenos Aires, Argentina

The trustee can be reached at:

          Susana Fernandez
          Florida 520
          Buenos Aires, Argentina


PATROCINIOS Y LICENCIAS: Trustee Verifies Claims Until Aug. 15
--------------------------------------------------------------
Alberto Samsolo, the court-appointed trustee for Patrocinios y Licencias
S.A.'s bankruptcy proceeding, verifies creditors' proofs of claim until
Aug. 15, 2007.

Mr. Samsolo will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 11 in Buenos
Aires, with the assistance of Clerk No. 21, 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 Patrocinios y Licencias
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 Patrocinios y Licencias'
accounting and banking records will be submitted in court.

La Nacion did not state the reports submission dates.

Mr. Samsolo is also in charge of administering Patrocinios y Licencias'
assets under court supervision and will take part in their disposal to the
extent established by law.

The debtor can be reached at:

         Patrocinios y Licencias SA
         Lavalle 643
         Buenos Aires, Argentina

The trustee can be reached at:

         Alberto Samsolo
         Paraguay 1225
         Buenos Aires, Argentina


SAJENCO SA: Proofs of Claim Verification Is Until Aug. 24
---------------------------------------------------------
Jacobo Alberto Michan, the court-appointed trustee for Sajenco S.A.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Aug. 24,
2007.

Mr. Michan will present the validated claims in court as individual
reports on Oct. 5, 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 Sajenco 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 Sajenco's accounting and
banking records will be submitted in court on
Nov. 19, 2007.

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

The trustee can be reached at:

         Jacobo Alberto Michan
         Paraguay 2492
         Buenos Aires, Argentina


SEFIA SRL: Proofs of Claim Verification Ends on Sept. 10
--------------------------------------------------------
Mauricio Rosenblum, the court-appointed trustee for Sefia S.R.L.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Sept. 10,
2007.

Mr. Rosenblum will present the validated claims in court as individual
reports on Oct. 23, 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 Sefia 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 Sefia's accounting and banking
records will be submitted in court on Dec. 4, 2007.

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

The trustee can be reached at:

         Mauricio Rosenblum
         Bartolome Mitre 2296
         Buenos Aires, Argentina


TELECOM ARGENTINA: Deutsche Bank Raises Target Price for Firm
-------------------------------------------------------------
Deutsche Bank said in a research note that it has raised its target price
for Telecom Argentina to US$28 per American Depositary Receipt from US$23
due to a positive outlook for the telecommunications sector in Argentina.

Deutsche Bank said in its report, "Argentina's economic growth and debt
restructuring has allowed TEO [Telecom Argentina] to significantly improve
its earnings and cash flow."

Deutsche Bank analysts told Business News Americas that they are keeping
their hold recommendation on the firm.

Deutsche Bank explained to BNamericas that the most relevant risks to its
valuation include:

          -- increasing competition from cable operators and
             other wireless firms,

          -- changes in the macroeconomic scenario, and

          -- potential regulatory changes.

Telecom Argentina reported net profits of ARS135 million in the first
quarter 2007, compared to ARS3 million in last year's first quarter,
BNamericas notes.

According to BNamericas, revenues increased 28% to ARS2.06 billion
year-on-year in the first quarter 2007, compared to the first quarter
2006.  They were mainly boosted by growth in:

          -- mobile telephony,
          -- Internet, and
          -- data segments.

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

                        *     *     *

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


TRANSPORTADORA DE GAS: Refinancing Cues S&P to Up Rating to B+
--------------------------------------------------------------
Standard & Poor's Ratings Services has raised its corporate credit rating
on Argentina-based Transportadora de Gas del Sur S.A. (TGS) to 'B+' from
'B', following the recent completion of the company's debt refinancing
plan.  At the same time, Standard & Poor's affirmed the 'B+' senior
unsecured rating on the TGS US$500 million 10-year notes.  The outlook on
TGS was also revised to stable from  positive.

In May 2007, TGS issued US$500 million in 10-year amortizing notes.
Proceeds from those notes, along with existing cash holdings (about US$190
million as of March 31, 2007) were used entirely for refinancing the
company's financial debt (about US$640 million as of March 31, 2007)
through a cash tender
offer and the recently concluded debt redemption.

The upgrade on the TGS corporate credit rating reflects the improvement on
the company's financial risk profile as a result of the debt reduction and
significant extension of the company's already adequate debt maturity
profile.
Pro forma, TGS's total debt decreased to US$500 million from US$640
million as of March 31, 2007.  The company now holds a financial debt with
less-restrictive covenants and would be allowed to start paying dividends.
Nevertheless, we do
not expect TGS's future dividend policy to jeopardize its repayment capacity.

The ratings on TGS also reflect the high political and regulatory risk the
company faces in Argentina, the dependence on natural gas availability for
the nonregulated business, and partial currency mismatch between revenues
(partly in Argentine pesos) and debt service (in U.S. dollars).  Those
risks are partially offset by the favorable price environment for the
unregulated activity and the company's strong competitive position as one
of the country's two-largest natural gas transportation companies.

"The stable outlook reflects our expectations that the company will be
able to meet its manageable financial obligations in the medium term,"
noted Standard & Poor's credit analyst Luciano Gremone.  Rating upside
will be limited by political and regulatory risk in Argentina.

"However, the ratings and or the outlook could be pressured, if the
renegotiation of the concession contract negatively affects TGS' business
or financial risk profile, or if further government intervention (e.g.,
mandatory investments, additional export duties), or significant natural
gas
restrictions significantly affect the company's cash generation," he
continued.




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


BMS ALPHA: Final General Meeting Is Set for July 24
---------------------------------------------------
BMS Alpha Bermuda Manufacturing Finance Ltd.'s final general
meeting will be at 9:00 a.m. on July 24, 2007, or as soon as
possible, at the liquidator's place of business.

BMS Alpha's shareholders will determine during the meeting,
through a resolution, the manner in which the books, accounts
and documents of the company and of the liquidator will be disposed.

The liquidator can be reached at:

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


BMS ALPHA: Proofs of Claim Filing Is Until July 11
--------------------------------------------------
BMS Alpha Bermuda Manufacturing Finance Ltd.'s creditors are given until
July 11, 2007, to prove their claims to Nicholas Hoskins, the company's
liquidator, or be excluded from receiving any distribution or payment.

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

BMS Alpha's shareholders agreed on May 31, 2006, to place the company into
voluntary liquidation under Bermuda's Companies Act 1981.

The liquidator can be reached at:

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


GLOBAL CROSSING: UK Unit Earns GBP18 Million in 2006 First Qtr.
---------------------------------------------------------------
Global Crossing disclosed its first quarter financial results for its
subsidiary, Global Crossing (UK) Telecommunications Limited (GCUK).

GCUK generated GBP75 million in revenue, with adjusted gross margin
(defined as revenue minus cost of access) at 69% of revenue in the first
quarter 2007.  The company generated GBP18 million of earnings before net
financing costs, taxes, depreciation and amortization (EBITDA) and GBP7
million of cash from operations.

Global Crossing previously acquired Fibernet in October 2006 and sold it
to GCUK on Dec. 28, 2006.  GCUK's results for the first quarter of 2007
reflect the first full quarter of financial contribution from the Fibernet
business.  The integration of Fibernet into GCUK's operations is
proceeding well and is nearly complete.

During the first quarter, GCUK announced a five-year contract renewal with
National Express Group for a 200-site managed IP VPN supporting converged
services.  More recently, GCUK will provide Newsquest Media Group, the
UK's second largest regional newspaper publisher, with data and VoIP-ready
IP VPN capabilities to 160 sites as part of a five-year contract.  On June
12, 2007, the company announced the extension of one of its largest
contracts, the Managed Telecommunication Service for OGCbuying.solutions,
under which it is providing managed telephony, data network services,
hosted IP telephony and mobile working services; the extension of the
contract is valued at approximately GBP105 million and now runs through
December 2011.

"The recent string of significant contract renewals and new customer wins
shows the potential of our UK business and Global Crossing as a whole,"
said John Legere, Global Crossing's chief executive officer.  "With the
acquisition of Fibernet now complete and the integration process in the
final stages, we expect to build on our success with streamlined
operations, an even stronger service offering and expanded network reach
throughout the UK."

                     Revenue, Margin and Costs

During the first quarter 2007, GCUK generated revenue of GBP75 million, 98
percent of which was generated from the "invest and grow" segment --
namely, that part of the business focused on serving global enterprises,
carrier data and indirect channel customers.  This represents a 22%
sequential increase over the previous quarter, when revenue was GBP62
million, and a 28% year-over-year increase from GBP59 million in the first
quarter of 2006.  The sequential and year-over-year increases are
attributable to the inclusion of Fibernet's UK operations into GCUK,
incremental billings resulting from a settlement with a customer and an
increase in equipment sales to a large customer.  Adjusted gross margin
was GBP52 million  during the first quarter of 2007, compared with GBP42
million in the fourth quarter 2006 and GBP41 million in the first quarter
2006.

Cost of revenue, which includes cost of access, technical real estate,
network and operations, third party maintenance and cost of equipment
sales, was GBP49 million for the quarter, compared to GBP43 million in the
fourth quarter of 2006 and 38 million pounds in the first quarter 2006.
Cost of access increased year over year due to the addition of Fibernet
operations as well as costs associated with increased enterprise and
carrier voice volume.  In addition, the year-over-year cost of revenue
increase also reflected higher cost of equipment sales.  Sales, general
and administrative expenses in the first quarter were GBP8 million,
compared with GBP9 million in the fourth quarter 2006 and GBP8 million in
the first quarter 2006.

                         Earnings

GCUK's EBITDA for the first quarter, was GBP18 million, compared with
GBP20 million in the fourth quarter 2006 and 14 million pounds in the
first quarter 2006.  The sequential EBITDA decline was due to an GBP8
million net gain arising from the acquisition of Fibernet that was
recorded in the fourth quarter 2006.  The increase in EBITDA on a
year-over-year basis was primarily attributable to inclusion of Fibernet's
operations in first quarter results.

GCUK recorded a net profit of approximately one million pounds for the
first quarter 2007, compared with a net loss of GBP2 million in the fourth
quarter 2006 and a net profit of GBP5 million in the first quarter 2006.
The year-over-year change in net profit was primarily due to an increase
in finance charges driven by a favorable non-cash exchange rate movement
on the company's senior secured notes in the first quarter of 2006, and
issuing additional senior secured notes in December, as well as
recognition of an additional deferred tax asset in the first quarter 2006.

                           Cash Position

As of March 31, 2007, GCUK had GBP38 million of cash and cash
equivalents.  In the first quarter, GCUK had cash generated from
operations of GBP7 million and made interest payments totaling GBP1
million on its capital leases.  GCUK used a total of GBP2 million of cash
in the first quarter, including GBP11 million for capital expenditures and
principal payments on capital leases.

Headquartered in Florham Park, New Jersey, Global Crossing Ltd.
(NASDAQ: GLBC) -- http://www.globalcrossing.com/-- provides
telecommunication  services over the world's first integrated
global IP-based network, which reaches 27 countries and more
than 200 major cities around the globe including Bermuda,
Argentina, Brazil, and the United Kingdom.  Global Crossing
serves many of the world's largest corporations, providing a
full range of managed data and voice products and services.  The company
filed for chapter 11 protection on Jan. 28, 2002 (Bankr. S.D.N.Y. Case No.
02-40188).  When the Debtors filed for protection from their creditors,
they listed US$25,511,000,000 in total assets and US$15,467,000,000 in
total debts.  Global Crossing emerged from chapter 11 on
Dec. 9, 2003.

At Dec. 31, 2006, Global Crossing Ltd.'s balance sheet showed a
US$195 million stockholders' deficit, compared to a
US$173 million stockholders' deficit at Dec. 31, 2005.




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


* BOLIVIA: Ministry Drafts Reference Terms for Oilfield Audits
--------------------------------------------------------------
The Bolivian hydrocarbons and energy ministry said in a statement that it
is drafting reference terms for a new tender to conduct audits of marginal
oilfields.

Minister Carlos Villegas told Business News Americas that the ministry is
seeking funds from the finance ministry to launch a tender in July.
Results will be submitted in November and disclosed in December.

BNamericas relates that as part of the hydrocarbons sector's
nationalization, the ministry launched a bidding in July 2006 for the
first round of audits for 58 gas and oil-producing fields.

The ministry submitted results of the first round audits to state-run
hydrocarbons firm Yacimientos Petroliferos Fiscales Bolivianos, BNamericas
states.

                         *     *     *

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
===========


ALLIANCE ONE: Posts US$21.6MM Net Loss in Qtr. Ended March 31
-------------------------------------------------------------
Alliance One International Inc. had a net loss of US$21.6 million for the
fiscal year ended March 31, 2007, compared with a net loss of US$447.4
million for the previous fiscal year.  The underlying net income for the
year, which excludes discontinued operations, non-recurring items and
market valuation adjustments for derivative financial instruments, was
US$34.0 million for the full year of March 31, 2007, compared with a net
loss of US$31.1 million for the previous fiscal year.

Robert E. "Pete" Harrison, Chief Executive Officer, said, "This fiscal
year's improved results were achieved in what continues to be a very
challenging environment.  Higher than anticipated cost increases, disposal
of excess lower quality tobaccos and a continued weakening of the US
dollar against many foreign currencies all impacted the company.
Fortunately, strong customer support and higher then planned cost savings
enabled us to continue our strategic transition plans.

"To best position ourselves in this challenging operating environment, we
have remained focused on enhancing our capabilities to deliver superior
value- added services to our customers, as well as strengthening our
balance sheet through emphasis on working capital management and debt
reduction, both of which will provide greater long-term flexibility.
Conscious decisions were made during the year to either reduce or exit
certain historically unprofitable crops or not pursue certain business
relationships that were driven more by price and volume.  Year-over-year
decreases in kilo quantities sold and sales dollars achieved largely
reflects our decision to forego lower value added opportunistic sales in
favor of concentrating our efforts on our strategic customer relationships
and the value we bring.

"As we move ahead, we intend to reinforce our position as a leading
strategic leaf supply partner and continue to demonstrate our overarching
commitment to build value for our customers and shareholders through a
broad range of operational performance improvement initiatives, monetizing
non-core assets and continued aggressive debt reduction."

Mr. Harrison concluded, "Going forward, we believe that the same drivers
and challenges will continue to shape our performance.  The company has
decided to discontinue providing earnings guidance.  We believe that
providing earnings guidance keeps our focus on short-term issues, rather
than on long-term performance.  We will continue to provide perspective on
market factors and business drivers."

As previously disclosed, the company recently identified certain
understatements of income tax expense related to the first three quarters
of fiscal year 2007.  The cumulative effect for the quarter ended June 30,
2006, the two quarters ended Sept. 30, 2006, and the three quarters ended
Dec. 31, 2006, were US$1.5 million, US$4.0 million and US$8.7 million,
respectively.  The cumulative understatement during these unaudited
quarters did not increase the Company's total cash taxes, and as such did
not have any effect on liquidity.  However, the company determined it was
appropriate to restate its results for each of the quarters impacted.

In addition, the company also announced that due to the
additional procedures necessitated by the tax expense errors, including
the restatements of the company's 10-Qs for each of the quarters during
the 2007 fiscal year, the company will be unable to timely file its Annual
Report on Form 10-K for the 2007 fiscal year without unreasonable effort
and expense.  The company expects to be able to file its Amended Quarterly
Reports on Form 10-Q/A and Annual Report on Form 10-K for fiscal year 2007
no later than June 25, 2007.

                      Fourth Quarter Results

For the fourth quarter ended March 31, 2007, the company reported a net
loss of US$6.2 million compared to a net loss of US$323.4 million in the
year-ago quarter.  The underlying net income for the quarter, which
excludes market valuation adjustments for derivative financial
instruments, discontinued operations and non-recurring items, was US$1.0
million compared with a net loss of US$14.4 million for the year-ago
quarter.

                  Performance Summary Highlights

Sales and other operating revenues. Revenue decrease of 6.3% from
US$2,112.7 million in 2006 to US$1,979.1 million in 2007 is the result of
a 12.1% or 80.5 million kilo decrease in quantities sold, offset by a 5.5%
or US$0.17 per kilo increase in average sales prices and a 25.5% or
US$14.2 million increase in processing and other revenues.  By region,
revenue highlights were:

South America Region

Tobacco revenues decreased US$34.5 million, reflecting a 37.1 million kilo
decrease in quantities sold compared to the prior year, primarily driven
by a decrease in demand attributable to the quality of the 2006 crop and
some shipment timing issues.  These were offset by a US$0.36 per kilo
increase in average sales prices, attributable primarily to the increased
costs of the 2006 crop.

Other Regions

Tobacco revenues decreased US$113.3 million due to a 43.4
million kilo decrease in quantities sold, partially offset by a US$0.06
per kilo increase in average sales prices.

Gross profit increased US$71.0 million, or 31.6%, from US$224.7 million in
2006 to US$295.7 million in 2007.  Gross profit percentage increased from
10.6% in 2006 to 14.9% in 2007.
These increases were primarily driven by these two factors:

   -- First, gross profit in the South American region
      increased approximately US$63.5 million.  Offsetting the
      increase in gross profit in the South American region was
      reduced demand caused by the quality of the 2006 crop,
      which was adversely impacted by weather-related growing
      conditions.

   -- Second, purchase accounting adjustments on gross profit
      on sales of inventory acquired in the merger were reduced
      by US$16.6 million from US$18.0 million in 2006 compared
      to US$1.4 million in 2007, primarily in the Other Regions
      operating segment.  This cost reduction was partially
      offset by a US$6.9 million increase in the tobacco market
      valuation adjustment recorded in 2007 compared to 2006
      that was primarily in the South America operating
      segment.

Selling, administrative and general expenses decreased US$5.8 million or
3.5% from US$164.1 million in 2006 to US$158.3 million in 2007.  The
decrease is primarily due to the deconsolidation of Zimbabwe and a
significant reduction in merger and integration related travel expenses.

Other income increased US$3.6 million from US$2.5 million in 2006 to
US$6.1 million in 2007.  The increase is primarily attributable to the
recovery of Iraqi debt previously written off, as well as increased gains
on fixed asset sales.

Goodwill impairment is tested for each operating segment annually, as of
the first day of the last quarter of the fiscal year, and whenever events
or circumstances indicate that impairment may have occurred.  In 2007, no
indications of impairment were found. Based on this analysis in 2006, the
company recorded a total goodwill impairment charge of US$256.9 million
during the fourth quarter related to the operating segments of North
America and South America.

Restructuring and asset impairment charges were US$29.8 million in 2007
compared to US$85.4 million in 2006.  For this fiscal year, this included,
among others:

   * charges related to employee severance and other
     integration charges related to the merger;

   * asset impairments primarily related to a write-down of the
     company's Zimbabwe investment to zero; and

   * asset impairments in Greece, Thailand and Turkey.

Debt retirement expense of US$66.5 million in 2006 relates to one time
costs of retiring DIMON debt as a result of the merger.  These costs
include tender premiums paid for the redemption of senior notes and
convertible subordinated debentures, the expense recognition of debt
issuance costs associated with former DIMON debt instruments, the
termination of certain interest rate swap agreements and other related
costs.  Debt retirement expense of US$3.9 million in 2007 relates to one
time costs of amending and restating our senior secured credit facility.

Interest expense decreased US$3.0 million from US$108.6 million in 2006 to
US$105.6 million in 2007 due to lower average borrowings offset by higher
average rates.

Interest income increased US$1.5 million from US$7.1 million in 2006 to
US$8.6 million in 2007 primarily due to the interest income received from
the release of Brazilian PIS/Cofins escrow deposits during the fourth
quarter of fiscal 2007.

Derivative financial instruments resulted in a benefit of US$0.3 million
in 2007 and US$5.1 million in 2006.  These items are derived from changes
in the fair value of non-qualifying interest rate swap agreements.

Effective tax rates were an expense of 122.7% in 2007 and a benefit of
4.0% in 2006.  Effective tax rates are largely determined by the
distribution of taxable income among various taxing jurisdictions as well
as management's judgment on the ability to realize the tax benefits of
deferred tax assets.

Losses from discontinued operations were US$18.7 million in 2007 and
US$24.1 million in 2006.  The decrease of US$5.4 million is due to a
US$12.0 million assessment in 2006 related to a previously disclosed
administrative investigation into tobacco buying and selling practices
within the leaf tobacco industry in Italy by the Directorate General for
competition.  Also included in the decrease is a reduced loss of US$2.7
million from our non-tobacco, Italian and Mozambique operations as well as
our wool operations.  Substantially offsetting this decrease is US$9.3
million in charges in 2007 related to finalizing our exit from the Italian
market.

                  Liquidity And Capital Resources

The company has historically financed its operations through a
combination of short-term lines of credit, revolving credit arrangements,
long-term bank debt and debt securities, customer advances and cash from
operations.

On March 7, 2007, the company initiated the first phase of its balance
sheet partial refinancing issuing US$150.0 million of new 8.5% Senior
Notes due May 15, 2012, with a 0.5% original discount to yield 8.625%.
Proceeds from the issuance were utilized to make prepayments on term loans
under the
May 13, 2005 US$650.0 million Credit Agreement.  Following the 8.5% Senior
Note issuance, on March 30, 2007, the company completed the final phase,
refinancing outstanding term loans and remaining commitments under the
US$650.0 million Senior Secured Credit Agreement with an Amended and
Restated US$385.0 Credit Agreement.  Under the terms of the amended and
restated credit agreement, the company has the benefit of a three and one
half year US$240.0 million revolving credit facility and a four year
US$145.0 million Term Loan B.

There were no outstanding loans under the US$240.0 million revolver as of
March 31, 2007.  The partial refinancing eliminated over US$266.8 million
in required amortization payments over the next three years and reduced
future debt carrying cost with lower interest rates.

As of March 31, 2007, total debt, net of US$80.3 million of cash,
decreased to US$830.7 million, compared to net debt of US$1,046.5 million
at March 31, 2006.  The US$215.8 million decrease in net debt is due to
continued debt repayment as a result of cash flow from operations,
improved working capital management and proceeds generated through the
sale of non-core assets.  During the fourth quarter of fiscal 2007 the
company prepaid the term loans by US$38.4 million as a result of non-core
asset sales.  Following the fiscal year end, the company made an optional
US$50.0 million prepayment on the US$145.0 million Term Loan B on May 4,
2007, with excess cash flow from operations, reducing the Term Loan B to
US$95.0 million.

               Recent Credit Agreement Amendments

Effective May 25, 2007, the company entered in to a First Amendment to the
Amended and Restated Credit Agreement dated March 30, 2007, which expanded
the US$240.0 million revolver commitment to US$250.0 million as permitted
under the credit agreement.

Effective May 29, 2007, the company closed a Second Amendment to the
Amended and Restated Credit Agreement dated
March, 30 2007.  The Second Amendment clarified several definitions used
for covenant compliance.

The company is currently working with the lenders under the Amended and
Restated Credit Agreement dated March 30, 2007, to finalize an amendment,
waiver and consent, to cure any potential defaults under that agreement
relating to the company's restated results for the first three quarters of
fiscal year 2007 and the reporting of the associated material weakness in
the company's internal controls over financial reporting as identified by
the company.  Failure to reach agreement with the lenders could trigger a
default and acceleration, which could significantly impact the company's
liquidity and access to capital.

                      About Alliance One

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

                        *     *     *

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


BUCKEYE TECHNOLOGIES: Moody's Ups Corporate Family Rating to B1
---------------------------------------------------------------
Moody's upgraded Buckeye Technologies, Inc.'s corporate family rating to
B1 from B2 and maintained a stable outlook.  All other ratings were
upgraded by one notch while the unsecured notes were affirmed at B2.  The
upgrade reflects the company's recent operating performance and aligns the
company's ratings with expected margins and credit metrics over the
intermediate term.  More importantly, Moody's believes this level of
improvement will be sustained; therefore, the company's overall rating
profile is more representative of a B1 corporate family rating.

Ratings upgraded:

    -- Corporate family rating upgraded to B1 from B2;

    -- Probability of default rating upgraded to B1 from B2;

    -- US$70 million revolving credit facility upgraded to Ba1
       from Ba2, (LGD2, 10%)

    -- US$150 million secured term loan upgraded to Ba1 from
       Ba2, (LGD2, 10%)

    -- US$100 million 9.25% subordinated notes upgraded to B3
       from Caa1, (LGD5, 84%)

    -- US$150 million 8.0% subordinated notes upgraded to B3
       from Caa1, (LGD5, 84%)

Ratings affirmed:

    -- US$200 million unsecured notes, B2, (LGD3, 48%)

In January of 2005, Moody's affirmed the company's B2 corporate family
rating and highlighted concerns with the company's ability to sustain
improvement in credit metrics.  Moody's stated that the ratings would
likely improve if the company's adjusted leverage moderates below 5.0x,
adjusted interest coverage exceeds 2.0x, and adjusted retained cash flow
to debt surpasses 10% on a sustained basis.  Over the last few quarters,
Buckeye has demonstrated its ability to sustain these metrics with stable
operating performance, stable cash flows, and lower debt levels.
Therefore a one notch upgrade to the corporate family rating is warranted
at this time.  Moody's anticipates that the company will continue to
sustain its current credit metrics despite elevated input costs.  The main
drivers offsetting the impact of high input costs are the favorable
pricing in the fluff pulp sector, the company's focus on value-added
products to reduce exposure to its commoditized products, and the
expectation that excess free cash flow will be used to reduce debt.

Buckeye generates debt protection measures that exceed its B1 rating.  The
company also has an adequate liquidity profile, enjoys a strong market
position in niche markets within the United States, and benefits from
recent supply/demand discipline in the chemical cellulose and fluff pulp
market.  The ratings also reflect the benefits provided by recent debt
reduction and restructuring efforts.  At the same time, the ratings are
tempered by the commodity focus and associated pricing volatility of
Buckeye's fluff pulp products, significant competitive pressures, elevated
input costs, and the expectation that organic growth will continue to be
somewhat limited.

The stable outlook reflects Moody's view that management will continue to
focus on increasing the percentage of value-added products and that the
company's EBITDA margins will likely remain in the mid-teen range as the
company continues to lower debt levels.  As a result, Moody's believes
that credit metrics will continue to support the B1 corporate family
rating. Specifically, RCF/TD will be above 10% and Debt/EBITDA will remain
below 5.0x on an adjusted basis over the intermediate term.  If the
company improves operating performance due to a greater percentage of
revenues from more value-added products, or the fluff pulp prices remain
at peak levels longer than expected, an upgrade could be considered.
Currently, factors that are likely to restrict future ratings improvement
are the company's growth potential, high input costs, and volatile raw
material availability (cotton fiber).

A sustained deterioration in operating performance or liquidity, due in
part to an unexpected deterioration in fluff pulp pricing, significant
debt-financed acquisitions, or persistently negative free cash flow would
reflect negatively on the ratings or outlook.

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


DEL MONTE: 160 Federal Agents Raid Company
------------------------------------------
Jim Prevor's Perishable Pundit reports that an estimated 160 federal
agents raided Fresh Del Monte Produce Inc. and American Staffing
Resources, the company that supplied Fresh Del Monte with workers.

According to the Perishable Pundit, three managers were arrested.  Most of
the arrested workers were detained in a federal detention facility, where
they may face deportation.

The report says that the U.S. Immigration and Customs Enfrocement has
accused Fresh Del Monte of conspiring with American Staffing for the
employment of illegal immigrants.

The Perishable Pundit notes that employees hired by American Staffing
mostly work for the state’s minimum wage at US$7.80 per hour.  Federal
authorities claimed that nine of the 10 workers that American Staffing
hired had Social Security numbers that were fictitious or belonged to
other people.

After receiving reports from teh public, immigration agents sent an
informant to apply for work at Fresh Del Monte’s North Rivergate Boulevard
plant, according to the report.  The informant told a produce manager that
he was a Mexican and that he lacked legal documentation to work in the US.
A federal search warrant affidavit says that the manager then referred
him to the nearby office of American Staffing, where the informant started
gathering information.  Managers told the informant he could find fake
identification on Woodburn streets.  The government claimed that a certain
manager even sold the informant a Social Security card.

Fresh Del Monte said in a statement that it takes its obligation to comply
with US immigration law very seriously.  The firm confirms that on June
12, 2007, the U.S. Immigration and Customs Enforcement personnel went to
Fresh Del Monte’s Portland, Oregon facility.  According to the company, it
has been informed that it isn't a target of the probe.  The firm assured
that it will carry on with its collaboration with the customs in its
investigation.  Fresh Del Monte retained American Staffing to provide a
contingent labor force at the Portland unit, emphasizing that it doesn't
employ this labor force.

Oregonians for Immigration Reform head Jim Ludwick told the Perishable
Pundit relates that the number of Fresh Del Monte employees accused to
have fake documents indicated how poorly the US enforces its immigration
laws.

Mr. Ludwick commented to the Perishable Pundit, "This is what happens when
companies are not held responsible for their hiring actions."

The "endless supply of illegal workers" lets firm like Fresh Del Monte
"keep wages low and working conditions poor," the Perishable Pundit notes,
citing Mr. Ludwick.

Based in the Cayman Islands, Fresh Del Monte Produce Inc. --
http://www.freshdelmonte.com/-- is one of the world's leading vertically
integrated producers, marketers and distributors of high-quality fresh and
fresh-cut fruit and vegetables, as well as a leading producer and
distributor of prepared fruit and vegetables, juices, beverages, snacks
and desserts in Europe, the Middle East and Africa.  Fresh Del Monte
markets its products worldwide under the Del Monte(R) brand, a symbol of
product quality, freshness and reliability since 1892.

Del Monte Fresh Produce Company has operations in Chile, Brazil, France
and Korea.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on Jan. 19,
2007, Standard & Poor's Ratings Services lowered its ratings on Cayman
Islands-based Fresh Del Monte Produce Inc.  The corporate credit rating
was lowered to 'BB-' from 'BB'.

The ratings were removed from CreditWatch, where they were
placed with negative implications on Nov. 1, 2006, after the company's
third-quarter earnings release and continued weak operating performance.

S&P said the rating outlook was negative.  About US$399 million of total
debt was outstanding at Sept. 29, 2006.


NOVELIS INC: Holders Tender US$10,717,000 of Senior Notes
---------------------------------------------------------
Novelis Inc. announced the expiration, at 8:00 a.m., New York City time,
of the tender offer relating to its US$1.4 billion principal amount of
7-1/4% Senior Notes due 2015 and the solicitation of consents to the
proposed amendments to the indenture governing the senior notes.  The
tender offer and consent solicitation was conditioned upon, among other
things, receipt of consents to the proposed amendments from holders of a
majority of the outstanding senior notes.  As of the expiration of the
tender offer, US$10,717,000 aggregate principal amount of senior notes and
related consents had been validly tendered pursuant to the tender offer.
Accordingly, as of the expiration of the tender offer, the condition had
not been satisfied and Novelis will not accept any tendered notes for
payment.  All senior notes tendered pursuant to the tender offer will be
returned promptly to the holders, and the indenture governing the senior
notes will not be amended.

Novelis also reported the extension of the expiration date of
its previously announced change of control offer to 5:00 p.m., New York
City time, on June 27, 2007.  The original change of control offer
expiration date was 8:00 a.m., New York City time, on June 15, 2007.  As
of the original change of control offer expiration date, US$60,000
aggregate principal amount of senior notes had been validly tendered
pursuant to the change of control offer.  All senior notes validly
tendered pursuant to the change of control offer prior to the extended
expiration date will be entitled to receive the offer consideration of
US$1,010 per US$1,000 principal amount of senior notes.

The company asserted that the change of control offer as
described in the Offer to Purchase and Consent Solicitation Statement
dated May 16, 2007, remains unchanged.

UBS Investment Bank and ABN AMRO Incorporated are acting as dealer
managers in connection with the change of control offer.  Questions about
the change of control offer may be directed to the Liability Management
Group of UBS Investment Bank at (888) 722-9555 ext. 4210 (toll free) or
(203) 719-4210 (collect) and to Robert Silverschotz at ABN AMRO
Incorporated at (212) 409- 6862.  Requests for documentation should be
directed to Global Bondholder Services Corporation, the information agent
in connection with the change of control offer, at (212) 430-3774 or (866)
807-2200 (toll free).  The depositary for the change of control offer is
The Bank of New York Trust Company, N.A.

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

Novelis South America operates two rolling plants and primary
production facilities in Brazil in the Latin-American region.

Novelis also has operations in Germany, Switzerland and Korea.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 7, 2007, Standard & Poor's Ratings Services affirmed all of its
ratings on Novelis Inc., including the 'BB-' long-term corporate credit
rating, and removed the ratings from CreditWatch with developing
implications, where they were placed Feb. 12, 2007.


PETROLEO BRASILEIRO: Inks MOU with Morocco Hydrocarbons Agency
--------------------------------------------------------------
Brazilian state-owned oil firm Petroleo Brasileiro SA said in a statement
that it has signed a Memorandum of Understanding with Morocco's
hydrocarbons and mines office.

Petroleo Brasileiro told Business News Americas that it will conduct
environmental, economic, technical, commercial and legal studies with
Morocco for a "commercial schist field development" on the Timahdit 2
block.

Morocco's total bituminous rock resources are estimated at 95 billion tons
with oil reserves of some 50 billion barrels, according to Petroleo
Brasileiro's statement.

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.


STRATOS INT: Reports US$600,000 Net Income in 2007 Fourth Qtr.
--------------------------------------------------------------
Stratos International Inc. disclosed its financial results for its fourth
quarter and fiscal year ended April 30, 2007.

Sales for the fourth quarter of fiscal 2007 were US$25.5 million.  Stratos
also recorded license fees and royalty income of US$0.6 million.  Total
revenues were US$26.0 million in the fourth quarter of fiscal 2007, a 26%
increase over total revenues of US$20.7 million in the fourth quarter of
fiscal 2006.

The net income attributable to common stockholders for the fourth quarter
of fiscal 2007 was US$0.6 million.  By comparison, in the fourth quarter
of fiscal 2006, Stratos reported a net loss attributable to common
stockholders of US$1.3 million.

Andy Harris, President and Chief Executive Officer of Stratos,
remarked, "Our fourth quarter results reflect the strength of the company
we have built over the last several years.  Our goal has been to continue
to unlock value in this company by improving operations and turning this
company profitable."

                      Full Year Results

Sales for the fiscal year ended April 30, 2007, were US$91.7 million.
Stratos also recorded license fees and royalty income of US$1.1 million.
For comparison, sales for the fiscal year ended April 30, 2006 were
US$79.0 million, and license fees and royalties were US$0.5 million.

The net income attributable to common stockholders for the fiscal year
ended April 30, 2007, was US$1.3 million.  By comparison, for the fiscal
year ended April 30, 2006, Stratos reported a net loss attributable to
common stockholders of US$4.0 million.

Common shares outstanding as of April 30, 2007, were 14,500,494 shares.
Cash and short-term investments at April 30, 2007, were US$33.6 million
compared to US$30.7 million at
April 30, 2006.  Capital expenditures were US$0.3 million in the fourth
quarter of fiscal 2007, and US$1.1 million in the full fiscal year 2007,
compared to US$0.2 million in the fourth quarter of fiscal 2006, and
US$1.0 million in the full fiscal year 2006.

Fourth quarter and fiscal year results are preliminary, as the
company's auditors have not completed their year-end audit.

                 About Stratos International

Headquartered in St. John's, Newfoundland, Canada, with
executive offices in Bethesda, Maryland, Stratos Corporation
(Nasdaq: STLW) -- http://www.stratosglobal.com/-- is a publicly traded
company that provides a range of mobile and fixed-site remote
communications solutions for users operating beyond the reach of
traditional networks.  The company has offices in Canada, Brazil, the
United Kingdom, Norway, Germany, the Netherlands, Sweden, Italy, Spain,
Turkey, Russia, Kenya, South Africa, United Arab Emirates, India, Hong
Kong, Japan,
Singapore, Australia and New Zealand.

                        *     *     *

As reported in the Troubled Company Reporter on May 9, 2007,
Moody's Investors Service confirmed Stratos Global Corporation's B1
corporate family, Ba2 senior secured and B3 senior unsecured ratings and
lowered the company's speculative grade liquidity rating to SGL-4 from
SGL-3.  The outlook is negative.  The long term ratings reflect a B1
probability of default and loss-given default assessments of LGD 2, 24% on
the senior secured debt and LGD 5, 77% on the senior unsecured notes.


VERIFONE INC: S&P Affirms BB- Corporate Credit Rating
-----------------------------------------------------
Standard & Poor's Ratings Services said that it revised its outlook on San
Jose, Calif.-based VeriFone Inc. to stable from negative, following
continued positive operating trends and the
successful integration of Lipman Electronic Engineering.

Ratings on the company, including the 'BB-' corporate credit rating, were
affirmed.

"The ratings reflect the company's moderate debt leverage and
acquisitive growth strategies," said Standard & Poor's credit analyst
David Tsui.  These factors are offset partially by VeriFone's leading
position in the niche market for electronic payment solutions and its
diversified customer and
market bases.

VeriFone designs, markets, and services system solutions that enable
secure electronic payments.  Organic revenue growth has accelerated over
the past two years as a result of management's focus on increasing
penetration of electronic payments in international markets.  Organic
revenue growth also has
benefited from the replacement of existing solutions to accommodate newer
payment application and an overall market shift from paper-based
transactions to electronic transactions at the point of sale.

Revenues for the quarter ended April 2007 were US$217 million, up from
US$142 million in the same quarter of 2006.  Profitability improved after
the November 2006 Lipman acquisition, with EBITDA margins in the mid-20%
area, up from 20% in the fiscal year ended October 2006.  This resulted
primarily from a higher proportion of wireless sales, which typically
carries a higher margin than landline sales and was slightly offset by a
higher proportion of revenues
generated overseas, which typically carries a lower margin than domestic
revenues.  The acquisition of Lipman Electronic Engineering appears to
have been integrated smoothly and to have solidified VeriFone's leading
market position, particularly in international markets.

VeriFone Inc. is headquartered in Santa Clara, California, and
is a global market leader in the development and sale of point-
of-sale electronic payment systems.  The company has operations
in Argentina, Australia, Brazil, China, France, India, Malaysia, Poland,
the United Kingdom, the United States, among others.


XERIUM TECH: Names Eduardo Fracasso as Pres. for Brazil Unit
------------------------------------------------------------
Xerium Technologies, Inc., has appointed Eduardo Fracasso as President of
Xerium Brazil, reporting directly to Xerium Technologies Chief Executive
Officer Thomas Gutierrez.
Mr. Fracasso has been with the company in Brazil for nearly 18 years, most
recently as Operational Director.  Xerium South America President Miguel
Quinonez, who notified the company of his plans to retire effective Dec.
31, 2007, will retain direct responsibility for the company’s operations
in Argentina and continue to mentor Mr. Fracasso.

"I am pleased to welcome Eduardo to the executive team," said Thomas
Gutierrez, Chief Executive Officer of Xerium Technologies.  "I believe
that his many years of operational experience with the company in Brazil
will serve him and the company well as he takes on the responsibilities of
his new position."

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

                        *     *     *

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

Affirmed ratings are:

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


* BRAZIL: 19 Municipalities Will Sue Companhia de Saneamento
------------------------------------------------------------
Brazilian news agency Agencia Globo reports that the governments of 19
municipalities in Sao Paulo, Brazil, will file a lawsuit against state
water firm Companhia de Saneamento Basico do Estado de Sao Paulo.

A Companhia de Saneamento source commented to Business News Americas, "We
have not received any official communication about the situation, but we
do know it refers to the treatment of sewage in the west of the greater
Sao Paulo region."

Agencia Globo relates that the municipalities will be demanding some
BRL200 million for sewage work.  The cities alleged that the wastewater
from over 100,000 Vale do Parnaiba residents is being emitted into
tributaries of the rivers Tiete and Pinheiros.

Companhia de Saneamento disclosed a number of investments through 2010 in
statements to investors, analysts and the press on June 13.  The
investments included:

          -- BRL2.25 billion in sewage treatment across the
             state,

          -- BRL264 million on tributary preservation and an
             increase in the volume of wastewater treated by
             9.3 cubic meters per second.

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

                        *     *     *

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

   -- 'BB' for long-term foreign currency credit
      rating,

   -- 'BB+' for long-term local currency credit
      rating, and

   -- 'B' for short-term currency sovereign credit
      rating.

                        *     *      *

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 was stable.




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


AB FUNDING: Will Hold Final Shareholders Meeting on July 18
-----------------------------------------------------------
AB Funding Ltd. will hold its final shareholders meeting on
July 18, 2007, at:

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

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

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


ALTERNATIVE MULTI: Sets Final Shareholders Meeting for July 12
--------------------------------------------------------------
Alternative Multi-Strategies Fund will hold its final shareholders meeting
on July 12, 2007, at 10:00 a.m., at:

         Banque Privee Edmond De
         Rothschild Europe

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         Banque Privee Edmond De
         Rothschild Europe
         20 Boulevard Servais
         L-2535 Luxembourg


ASM PACIFIC: Will Hold Final Shareholders Meeting on July 12
------------------------------------------------------------
ASM Pacific International Marketing Ltd. will hold its final
shareholders meeting on July 12, 2007, at 10:00 a.m., at:

         12/F, Watson Centre
         16-22 Kung Yip Street
         Kwai Chung, New Territories
         Hong Kong

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         Carrigold Company Limited
         12/F., Watson Centre
         16-22 Kung Yip Street
         Kwai Chung, New Territories
         Hong Kong


AUSTRAL CAPITAL: Sets Final Shareholders Meeting for July 11
------------------------------------------------------------
Austral Capital International Ltd. will hold its final shareholders
meeting on July 11, 2007, at 10:30 a.m., at:

         Third Floor, Harbour Centre
         P.O. Box 1348, Grand Cayman KY1-1108
         Cayman Islands

These agendas will be taken during the meeting:

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

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

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

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

The liquidator can be reached at:

         Q&H Nominees Ltd.
         Third Floor, Harbour Centre
         P.O. Box 1348
         Grand Cayman KY1-1108


COMMODITY RESOURCES: Final Shareholders Meeting Is on July 12
-------------------------------------------------------------
Commodity Resources Ltd. will hold its final shareholders meeting on July
12, 2007, at 10:00 a.m., at:

         Suite 31-03, 31st Floor
         203 Jalan Bukit, Menara Keck Seng
         55100, Kuala Lumpar

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         John David Dryden
         Attention: John David Dryden
         Corporate Filing Services Ltd.
         P.O. Box 613
         Grand Cayman KY1-1107
         Cayman Islands
         Telephone: +603 2142 3810
         Fax: +603 2142 1810


EM CAPITAL: Proofs of Claim Must be Filed by July 20
----------------------------------------------------
Em Capital Ltd.’s creditors are given until July 20, 2007, to
prove their claims to Richard L. Finlay, 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.

Em Capital's shareholders agreed on May 25, 2007, to place the company
into voluntary liquidation under The Companies Law (2004 Revision) of the
Cayman Islands.

The liquidator can be reached at:

       Richard L. Finlay
       Attention: Krys Lumsden
       P.O. Box 2681
       Grand Cayman KY1-1111
       Cayman Islands
       Telephone: (345) 945 3901
       Fax: (345) 945 3902


EM CAPITAL: Sets Final Shareholders Meeting for July 20
-------------------------------------------------------
Em Capital Ltd. will hold its final shareholders meeting on
July 20, 2007, at 9:00 a.m., at:

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

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         Richard L. Finlay
         Attention: Krys Lumsden
         P.O. Box 2681
         Grand Cayman KY1-1111
         Cayman Islands
         Telephone: (345) 945 3901
         Fax: (345) 945 3902


FIRST DORMY-IN: Will Hold Final Shareholders Meeting on July 13
---------------------------------------------------------------
First Dormy-In Ltd. will hold its final shareholders meeting on July 13,
2007, at 9:00 a.m., at the office of the company.

These agendas will be taken during the meeting:

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

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

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

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited
         Walker House
         87 Mary Street
         P.O. Box 908
         Grand Cayman KY1-9002
         Cayman Islands


KA LEASING: Holding Final Shareholders Meeting on July 18
---------------------------------------------------------
KA Leasing Ltd. will hold its final shareholders meeting on
July 18, 2007, at:

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

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

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


KICAP MASTER: Sets Final Shareholders Meeting on July 12
--------------------------------------------------------
Kicap Master Fund Ltd. will hold its final shareholders meeting on July
12, 2007, at:

         Queensgate House, George Town
         Grand Cayman, Cayman Islands

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         Richard Gordon
         Maples Finance Limited
         P.O. Box 1093
         George Town, Grand Cayman
         Cayman Islands


KICAP NETWORK: Final Shareholders Meeting Is on July 12
-------------------------------------------------------
Kicap Network Fund Ltd. will hold its final shareholders meeting on July
12, 2007, at:

         Queensgate House, George Town
         Grand Cayman, Cayman Islands

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         Richard Gordon
         Maples Finance Limited
         P.O. Box 1093
         George Town, Grand Cayman
         Cayman Islands


NEEDHAM EMERGING: Holding Final Shareholders Meeting on July 13
---------------------------------------------------------------
Needham Emerging Growth International Ltd. will hold its final
shareholders meeting on July 13, 2007, at 9:30 a.m., at the office of the
company.

These agendas will be taken during the meeting:

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

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

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

The liquidators can be reached at:

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


RYMBOURNE CAYMAN: Sets Final Shareholders Meeting for July 13
-------------------------------------------------------------
Rymbourne Cayman Ltd. will hold its final shareholders meeting on July 13,
2007, at 10:00 a.m., at:

         5th Floor, Zephyr House
         Mary Street, Grand Cayman
         Cayman Islands

These agendas will be taken during the meeting:

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

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

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

The liquidator can be reached at:

         Glen Trenouth
         Attention: Glen Trenouth
         Telephone: (345) 943 8800
         Fax: (345) 943 8801
         P.O. Box 31118
         Grand Cayman KY1-1205
         Cayman Islands




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


AMERICAN AIRLINES: In Talks with Boeing on Aircraft Supply
----------------------------------------------------------
Aircraft manufacturer Boeing's commercial aviation head Scott Carson told
Thomson Financial that it is in preliminary discussions with American
Airlines and Delta Air on the supply of long-haul 787 model.

US carriers have been "sidelined."  However, all indications were there
that they would be back in the market in 2007 or 2008, Thomson Financial
notes, citing Mr. Carson.

There was a renewal of interest from North America.  Airlines like Air
Canada and Continental already choosing 787, Carson told Thomson
Financial.

                        About Delta Air

Headquartered in Atlanta, Georgia, Delta Air Lines (NYSE:DAL)
-- http://www.delta.com/-- is the world's second-largest airline in terms
of passengers carried and the leading U.S. carrier across the Atlantic,
offering daily flights to 502 destinations in 88 countries on Delta, Song,
Delta Shuttle, the Delta Connection carriers and its worldwide partners.
Delta flies to Argentina, Australia and the United Kingdom, among others.

                    About American Airlines

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on May 25,
2007, Standard & Poor's Ratings Services assigned its 'CCC+' rating to
American Airlines Inc.'s (B/Positive/--) US$125 million Dallas/Fort Worth
International Airport special facility revenue refunding bonds, series
2007, due 2030.  The bonds are guaranteed by American's parent, AMR Corp.
(B/Positive/B-2), and are secured by payments made by American to the
airport authority.  Proceeds are being used to refund the outstanding
revenue bonds, series 1992 (rated 'CCC+'), whose rating was withdrawn.




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


BANCOLOMBIA: Discloses 60MM Shares of Preferred Stock Offering
--------------------------------------------------------------
Bancolombia S.A. reported the public offering of 60 million shares of
preferred stock of Bancolombia S.A. to its shareholders in the Colombian
newspaper La Republica.  The public offering was approved by the
Superintendency of Finance of Colombia by means of Resolution 0894, dated
June 14, 2007.

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 4, 2007, Fitch Ratings downgraded and removed from Rating
Watch Negative Bancolombia's long-term and short-term local
currency Issuer Default Ratings and Individual rating:

   -- Individual rating to 'C/D' from 'C';
   -- Local currency long-term IDR to 'BB+' from 'BBB-'; and
   -- Local currency short-term rating to 'B' from 'F3';

In addition, Fitch affirmed these ratings:

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

Fitch says the rating outlook was stable.


DOLE FOOD: David Murdock Steps Down as Chief Executive Officer
--------------------------------------------------------------
David Murdock, Dole Food's owner, has stepped down as the company's chief
executive officer, Fresh Plaza reports.

Dole Food told Fresh Plaza that it has appointed David DeLorenzo to take
Mr. Murdock's place as chief operating officer.

Mr. DeLorenzo is a board member.  He also replaces Richard Dahl, who will
leave the post as Dole Food President and Chief Operating Officer "to
pursue personal business interests," Fresh Plaza notes, citing Dole Food.

Headquartered in Westlake Village, California, Dole Food
Company, Inc. -- http://www.dole.com/-- is a producer and
marketer of fresh fruit, fresh vegetables and fresh-cut flowers, and
markets a line of packaged foods. The company has four primary operating
segments. The fresh fruit segment produces and markets fresh fruit to
wholesale, retail and institutional customers worldwide.  The fresh
vegetables segment contains operating segments that produce and market
commodity vegetables and ready-to-eat packaged vegetables to wholesale,
retail and institutional customers primarily in North America, Europe and
Asia.  The packaged foods segment contains several operating segments that
produce and market packaged foods, including fruit, juices and snack
foods.  Dole's fresh-cut flowers segment sources, imports and markets
fresh-cut flowers, grown mainly in Colombia and Ecuador, primarily to
wholesale florists and supermarkets in the U.S.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 31, 2007,
Moody's Investors Service downgraded Dole Food Company Inc.'s
corporate family rating to B2 from B1; probability of default
rating to B2 from B1; senior secured bank credit facilities to
Ba3 from Ba2; senior unsecured notes to Caa1 from B3; and
various shelf registrations to (P)Caa1 from (P)B3.  Moody's said the
outlook was stable.

On Dec. 11, Standard & Poor's Ratings Services lowered its
ratings on Dole Food Co. Inc. and Dole Holding Co. LLC,
including its corporate credit rating, to 'B' from 'B+'.


DOLE FOOD: Fitch Affirms B- Issuer Default Rating
-------------------------------------------------
Fitch has affirmed the ratings of Dole Food Company, Inc., Solvest Ltd.
and Dole Holding Company, LLC.:

  Dole Food Company, Inc. (Operating Company)

    -- Issuer Default Rating 'B-';
    -- Secured asset-based revolving facility 'BB-/RR1';
    -- Secured term loan B 'BB-/RR1';
    -- Senior unsecured debt 'CCC+/RR5'.

  Solvest Ltd. (Bermuda-based Subsidiary)

    -- Issuer Default Rating 'B-';
    -- Secured term loan C 'BB-/RR1'.

  Dole Holding Company, LLC (Intermediate Holding Company)

    -- Issuer Default Rating 'B-'.

This rating action affects Dole's approximately US$2.4 billion in
consolidated debt as of the quarter ended March 24, 2007. The Rating
Outlook is Negative.

Dole's ratings reflect the company's high financial leverage and Fitch's
view that significant credit risk is present but that a limited margin of
safety remains.  Dole is able to meet its financial commitments but two
consecutive years of declining operating performance has limited the
company's financial flexibility.  Transportation and packaging costs
represent an estimated 40% of the company's cost structure; therefore,
continued heightened bunker fuel and container board costs are pressuring
profitability.  In addition, there are no near term changes expected for
the current European Union  banana tariff structure.  Since the 135%
increase in EU banana tariffs was implemented on Jan 1, 2006, Dole's
operating EBITDA margin has declined 180 basis points to 4.6%.

On Mar 24, 2007, Dole had approximately $97 million of cash and US$135
million available on its US$350 million asset-based revolver which expires
in 2011.  Annual maintenance capital expenditures are estimated at US$75
million and gross interest expense is roughly US$175 million.  There are
no significant near term maturities until 2009 when US$364 million becomes
due.  During the past 12 months, Dole completed approximately US$60
million in asset sales.

The ratings consider Dole's leading worldwide market position, its strong
global brand, favorable consumption trends for fruits and vegetables and
the considerable net worth of its owner -- David H. Murdock.  These
positives are weighed against the lower margin commodity orientation of
its products and the substantial risk associated with its foreign
operations.

Dole's credit protection measures remain weak for the 'B' rating category.
For the latest twelve month period ended
March 24, 2007, cash flow from operations was US$83 million; down over 60%
since Dec. 31, 2004.  For the same time periods, leverage (defined as
total debt-to-operating EBITDA) was 8.4 times; up from 4.0x and interest
coverage (defined as operating EBITDA-to-gross interest expense) was 1.6x;
down from 3.0x.

As of Mar 24, 2007, Dole was in compliance with all of its debt covenants.
Significant covenants include a minimum quarterly fixed-charge coverage
requirement of 1.0x and a limitation on the incurrence of additional debt
if total leverage exceeds 5.5x.  Dole has not required waivers since its
April 12, 2006 debt refinancing.

Dole's Negative Rating Outlook is reflective of its continued challenging
operating environment.  Fitch does not anticipate significant additional
margin deterioration.  In the near term, operating performance
stabilization is predicated on Dole's ability to successfully control fuel
cost with hedging or surcharges and the absence of higher tropical storm
related production costs.

Resolution of the Negative Outlook could occur with stabilization in
operating performance and moderate debt reduction, funded with proceeds
from asset sales.  Due to the seasonality of the fresh produce business,
near term evidence of stabilization is expected.  Additional downgrades of
Dole's ratings are possible if there is no noticeable improvement in the
company's credit measures or if there is a material change in the
company's capital structure.

Dole Food Company is the world's largest producer of fresh fruit, fresh
vegetables, and fresh-cut flowers.  Approximately 55% of Dole's US$6.2
billion in annual revenue is generated from outside of the United States.
Dole's operations are fully integrated with the vast majority of growing,
harvesting, processing and packaging done in South America and the Far
East.  56% of Dole's tangible assets are outside of the United States.
Dole's four operating segments and their 2006 contribution to revenue are
Fresh Fruit (65%), Fresh Vegetables (17%), Packaged Foods (15%) and
Fresh-Cut Flowers (3%). Operating profit for Fresh Fruit was US$108.3
million and for Packaged Foods was US$91.4 million in 2006.  Fresh
Vegetables lost US$7.3 million and Fresh-Cut Flowers lost US$57 million
during the same period.  Dole Foods is 100% owned by its Chairman, David
H. Murdock.




===============
H O N D U R A S
===============


* HONDURAS: Inks Free Trade Pact with Panama
--------------------------------------------
Honduran President Manuel Zelaya has signed a free trade accord with
Panamanian counterpart Omar Torrijos to increase bilateral trade,
according to a news report from Honduras.

Xinhua News relates that "trade relations between the two nations have
undergone fast development" in recent years, "with two-way trade volume"
totaling US$26 million last year.

The two presidents will be meeting with Guatemalan President Oscar Berger
to discuss regional development, Xinhua News reports.

                        *     *     *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date

   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998




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


AIR JAMAICA: Launching Fort Lauderdale-Barbados Direct Flights
--------------------------------------------------------------
Air Jamaica's press officers told the Jamaica Gleaner that it will launch
non-stop direct flights from Fort Lauderdale to Barbados on July 22.

The new service would make it easier for travelers to get to Barbados and
the Eastern Caribbean from South Florida, The Gleaner notes, citing Air
Jamaica's sales and marketing senior vice president Paul Pennicook.

The Gleaner relates that Air Jamaica will fly return trips from Fort
Lauderdale/Hollywood International Airport into Grantley Adams
International on Friday and weekends.  The new service will also offer
hops from Barbados to nine other Eastern Caribbean destinations, through
regional carrier LIAT.

Air Jamaica told The Gleaner that it will fly Los Angeles to Montego Bay
daily for the summer beginning June 28, expanding its current
five-days-per-week schedule.  The report says that the service will be
made available up to Sept. 4.

Mr. Pennicook said in a press release, "The increase from five days per
week to daily service connecting Los Angeles and Jamaica is in response to
the increased passenger traffic from this market.  Now it's even easier
for passengers to experience Air Jamaica's unparalleled Lovebird
hospitality to Jamaica, as well as connections to our other destinations
in the Eastern Caribbean."

Air Jamaica will operate an Airbus A-320 service on the new non-stops with
150 seats, The Gleaner states.

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

                        *     *     *

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on June 12,
2007, Moody's Investors Service assigned a rating of B1 to Air Jamaica
Limited's guaranteed senior unsecured notes.


DYOLL INSURANCE: Coffee Farmers To Receive Compensation
-------------------------------------------------------
The compensation the coffee farmers have been waiting for from Dyoll
Insurance will be paid out starting this week, Radio Jamaica reports.

Agriculture Minister Roger Clarke told Radio Jamaica that parties involved
in the handling of the farmers' claims told him that all the necessary
preparations have been completed.

Coffee farmers launched a protest in May due to the delay of paying out
the compensation Dyoll Insurance owed them despite a 2006 court ruling
that they be paid over US$2 million by the firm due to the damage
Hurricane Ivan caused them in 2004, Radio Jamaica states.

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


NATIONAL WATER: Blamed for Neglecting Sewerage Treatment Plants
---------------------------------------------------------------
The St. Catherine Parish Council has criticized the National Water
Commission for failing to maintain the sewerage treatment plants for some
parts of the parish, Radio Jamaica reports.

According to Radio Jamaica, there were complaints that raw sewerage is
flowing from the De La Vega City oxidation plant into nearby communities.

The National Water has shown neglect for the health of the locals, Radio
Jamaica relates, citing Spanish Town Mayor Andrew Wheatley.

Mayor Wheatley told Radio Jamaica that he has written to the National
Water but the firm made no effort to resolve the matter.

                        *     *     *

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.


* JAMAICA: State Firm Will Sell Assets to Boost Profitability
-------------------------------------------------------------
State-run firm Factories Corporation of Jamaica will sell some of its
assets to improve its profitability in 2007, Radio Jamaica reports.

Radio Jamaica relates that assets that the firm has decided to sell some
of its "idle lands."  It will also lease other lands to industrial
investors.

Montego Bay Free Zone factories will be refurbished and leased, Radio
Jamaica notes.  A new building will be constructed to add a "warehouse
space" in the Corporate Area."

The Factories Corporation is aiming to boost occupancy of rental space to
80%, Radio Jamaica states, citing Factories Corporation.

                        *     *     *

As reported on March 9, 2007, Standard & Poor's Ratings Services affirmed
its 'B' ratings on Jamaica's long-term and short-term sovereign credit,
with stable outlook.




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


CINRAM INTERNATIONAL: Launches CDN$0.2708 Per Unit Distribution
---------------------------------------------------------------
Cinram International Income Fund has declared a cash distribution of
CDN$0.2708 per unit for the month of June 2007, payable on July 16, 2007,
to unit holders of record at the close of business on June 29, 2007.

Cinram International Limited Partnership also announced that it has
declared a cash distribution of CDN$0.2708 per Class B
limited partnership unit for the month of June 2007, payable on July 16,
2007, to unit holders of record at the close of business on June 29, 2007.

The Fund and the Partnership's current annualized distribution rate is
CDN$3.25 per unit, payable in monthly distributions of CDN$0.2708 per
unit.  In accordance with the distribution policy of both the Fund and the
Partnership, unit holders of record at the close of business on the last
business day of each calendar month are paid a distribution on or about
the 15th day of the following month.

                    About Cinram International

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

                        *     *     *

Cintram International Income Fund carries Moody's B1 long-term
corporate family and bank loan debt rating.  Cinram said the ratings
outlook was stable.


DELPHI CORP: Selling Mexican Unit to Robert Bosch for US$15MM
-------------------------------------------------------------
Bankrupt US company Delphi Corp. told Reuters that it will sell its
Mexican brake components business to Germany's Robert Bosch LLC and its
affiliate, Frenados Mexicanos, for US$15 million.

According to Reuters, Delphi said that the proposed sale to Robert Bosch
and Frenados Mexicanos includes:

          -- a plant in Saltillo, Mexico;
          -- machinery;
          -- equipment; and
          -- the assignment and assumption of certain
             contracts.

Delphi will sell several business units.  According to the firm, it would
seek a US Bankruptcy Court hearing on June 26 regarding the bidding
procedures for the plant as well as the July 19 final sale hearing,
Reuters states.

Troy, Mich.-based Delphi Corporation (OTC: DPHIQ) --
http://www.delphi.com/-- is the single largest global supplier of vehicle
electronics, transportation components, integrated systems and modules,
and other electronic technology.  The company's technology and products
are present in more than 75 million vehicles on the road worldwide.
Delphi has regional headquarters in Japan, Brazil and France.

The company filed for chapter 11 protection on Oct. 8, 2005 (Bankr.
S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps,
Slate, Meagher & Flom LLP, represent the Debtors in their restructuring
efforts.  Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A.
Broude, Esq., at Latham & Watkins LLP, represents the Official Committee
of Unsecured Creditors.  As of Mar. 31, 2007, the Debtors' balance sheet
showed US$11,446,000,000 in total assets and US$23,851,000,000 in total
debts.  The Debtors' exclusive plan-filing period expires on July 31,
2007.  (Delphi Corporation Bankruptcy News, Issue No. 71; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


GENERAL MOTORS: Will Retool Tonawanda Engine Plant
--------------------------------------------------
General Motors Corp. said that it wants to retool its engine plant in
Tonawanda, New York, for the production of a new clean diesel engine for
its light duty pickup trucks, Newratings.com reports.

General Motors told Newratings.com that it will invest some US$100 million
in the plant to produce a 4.5-liter V-8 Duramax "high-output diesel engine
for its Chevrolet Silverado, GMC Sierra pickup and Hummer H2 models."

Newratings.com relates that the diesel engine will boost fuel efficiency
by 25% and lessen carbon dioxide emissions by 13%.

General Motors' Global Power Train and Quality Vice President Tom Stephens
commented to Newratings.com, "It [the engine] will meet the stringent 2010
emissions standards, and it will be compliant in all 50 states, making it
one of the cleanest diesel vehicles ever produced."

General Motors expects the engine to start producing in the fourth quarter
2009, Newratings.com states.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- is the world's
largest automaker and has been the global industry sales leader for 76
years.  GM currently employs about 280,000 people around the world.  GM
manufactures its cars and trucks in 33 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.

In 2006, nearly 9.1 million GM cars and trucks were sold globally under
these brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER,
Opel, Pontiac, Saab, Saturn and Vauxhall.

As of March 31, 2007, GM's balance sheet showed a stockholders' deficit of
US$4,347,000,000, compared to a positive equity of US$15,779,000,000 at
March 31, 2006.

                        *     *     *

In May 2007, Fitch Ratings has downgraded General Motors Corporation's
senior unsecured debt rating to 'B-/RR5' from 'B/RR4'.  GM's Issuer
Default Rating remains at 'B' and is still on Rating Watch Negative (along
with the other outstanding ratings) by Fitch following the company's
announcement that it will be raising US$4.1 billion in secured financing
and US$1.1 billion in senior unsecured convertible securities.

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', while the senior
unsecured convertible securities will be rated 'B-/RR5'.


GRUPO GIGANTE: S&P Affirms BB Long-Term Corp. Credit Rating
-----------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its 'BB'
long-term corporate credit rating on Grupo Gigante S.A.B. de C.V.
Standard & Poor's also affirmed its 'BB' rating on Gigante's US$260
million senior notes due 2016.  The outlook is stable.

"The ratings on Gigante reflect the company's relatively high debt
leverage, the challenges the company will face with its new business
strategies, the risks derived from the increased competition it's facing
in most of its business formats, and the correlation of its sales with
economic cycles," said Standard & Poor's credit analyst Raul Marquez.
"Balancing this
position are the steps the company is taking to improve operating
efficiencies and margins and its position as one of the top players in the
highly competitive Mexican supermarket industry."

The rating is predicated on an expected gradual and sustained improvement
in the company's financial and business profiles. Such improvements will
be determined by the consumers' acceptance of the company's pricing
strategy and its new image. Gigante must also successfully complete its
investments in
technology, store renovations, and distribution centers.  It should also
command more bargaining power with several of its suppliers and benefit
from its participation in Sinergia, the joint purchasing company it
operates with peers Controladora Comercial Mexicana (BBB-/Stable/--) and
Organizacion
Soriana.  The rating also takes into consideration that an efficient
hedging strategy will be in place to reduce the risk from foreign-exchange
exposure derived from its fully dollar-denominated total debt.

Standard & Poor's believes Gigante is still in a transition period, during
which the company will continue working on its shift to everyday-low-price
strategy and on its store remodeling program while focusing on profitable
growth, even if this results in a lower market share and additional store
closings (it closed 14 in 2004, 16 in 2005, and 17 in 2006).

The supermarket industry is highly competitive in Mexico, and the four
main players control about 80% of the market. Wal-Mart de Mexico is the
largest.  Gigante lags its competitors mainly because of its more
aggressive financial profile and weaker operating efficiencies.  Its
same-store sales indicators have fallen beneath the average for the
sector, as well as below the top players' results for many years now.
Nevertheless, during
first-quarter 2007, the company reported a 3.6% increase in same-store
sales while Mexico's national retail association reported an increase of
2.5% (the association's figures exclude Walmex).  Industry consolidation
and aggressive expansion and modernization plans announced by competitors
will pose important challenges for Gigante.  The company could respond by
adopting aggressive pricing policies or by implementing a more rapid
growth strategy, which could result in additional leverage and pressure on
its financials for the current
rating category.

Investments made during the year led to an improvement in the company's
financial measures.  For the 12 months ended on
March 31, 2007, operating-lease adjusted EBITDA interest coverage was 3.7x
(from 2.0x the previous year), while the total debt-to-EBITDA ratio was
2.3x (from 2.9x in 2006), and
the funds from operations-to-total debt ratio was 27.4% from 13.7%.  The
company's OLA EBITDA margin, which remained between 5% and 6% during the
past four years, has been above the higher end of this range during the
past two quarters, as the company continues delivering positive results
from its new operational strategies.  Nevertheless, we expect this figure
will continue to underperform peers' measures during the next few years.
Gigante enjoys diverse revenues from joint ventures with Office Depot and
Radio Shack, which are its most profitable businesses with an estimated
EBITDA margin that is more than double the supermarket operations.
Nevertheless, the company doesn't benefit from full cash flow discretion.
Gigante's self-service
operations (which guarantee the US$260 million notes due 2016) contribute
to most of its total sales, but only about one-third of its consolidated
EBITDA.

Founded in 1962, Gigante is one of the most recognized supermarket names
in Mexico.  With an estimated 10% market share and revenues of US$3
billion for the 12 rolling months ended March 2007, the company owns
Mexico's fourth-largest chain of supermarkets in terms of revenues, and it
has the
second-largest number of supermarket outlets.  The main retail brands are
Gigante, Bodega Gigante, Super Gigante, and Gigante USA, which target
different segments of the retail market.  The company owns 285
self-service stores in Mexico that sell groceries, perishables, clothing,
and general merchandise, as well as a smaller retailing operation in Los
Angeles, Calif.
(the company's nine U.S. stores are not profitable).  About 45% of total
sales are concentrated in the Mexico City metropolitan area and in
Mexico's central region, where approximately 60% of the Mexican population
lives.  The company has a valuable real estate portfolio with the stores
it owns, though these represent less than half of its total supermarket
store base. The company also operates a family-style restaurant chain
under the Toks brand name.

The company's liquidity is adequate.  We expect Gigante to continue
funding its capital spending plans (which we expect to be around US$150
million per year) mostly through internally generated cash.  Nevertheless,
after the improvement in financial results in 2006, the company has shown
its intention
to boost its store remodeling strategy, financing its investments through
a mix of cash and debt, reflecting a more aggressive financial policy.  As
of March 2007, Gigante had US$38 million in cash and cash equivalents,
with some
available uncommitted lines of credit, and its OLA EBITDA is estimated to
be about US$200 million for year-end 2007.  Gigante has constituted a
reserve of about US$20 million to fight a negative ruling in a legal
proceeding concerning
the purchase of a subsidiary.

The stable outlook reflects our expectation that Gigante will be able to
maintain its competitive position as long as its operating improvements
provide adequate debt coverage and its indebtedness remains at current
levels.

The rating is currently constrained by the challenges the company will
face during its pricing strategy change and store remodeling program while
it implements new operational and technological initiatives to increase
efficiencies in a highly competitive environment.  Hence, a positive
rating action is not foreseen in the medium term.  If the company's
financial profile deteriorates (especially OLA total debt-to-EBITDA and
OLA FFO-to-total debt ratios at about 2.6x and 17.0% respectively), or if
it fails to provide positive results after the transition period, the
ratings will be pressured downward.


METROFINANCIERA: S&P Cuts Counterparty Credit Rating to B+
----------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its long-term
counterparty credit rating on Metrofinanciera S.A. de C.V., SOFOM, E.N.R.
to 'B+' from 'BB-'.  The outlook has been revised to negative from stable.

At the same time, Standard & Poor's lowered the rating on
Metrofinanciera's perpetual noncumulative subordinated step-up securities
to 'CCC+' from 'B-'.

The downgrade reflects material breakdowns in Metrofinanciera's risk
management processes, which have failed to fully restore the company's
financial flexibility.

"In our opinion, the overall standing of the firm's risk governance is
weak.  Major shifts in strategy have originated from managerial decisions
concentrated in a single individual," said Standard & Poor's analyst
Francisco Suarez.  Recent strategic decisions have caused concentrations
in highly
capital-consuming assets (land acquisition and housing development
projects), indicating poor accounting transparency. "In our view,
oversight in areas such as the new product approval process and the
establishment of adequate limits
for products could be further strengthened, managed, and refined," said
Mr. Suarez.

The downgrade also reflects a rapid deterioration of adjusted
capitalization, liquidity, and reserve coverage, as well as greater
dependence on short-term debt to finance operations. The ratings on
Metrofinanciera remain supported by a business model that provides the
company with a large revenue stream, a
strategy aimed at shifting to a mortgage-oriented portfolio, and
above-average access to financial markets compared with that of its peers.

The lowering to 'CCC+' of our rating on Metrofinanciera's perpetual
noncumulative subordinated step-up securities (classified as 'category 2,
adequate'), three notches below the issuer's counterparty credit risk
rating, reflects the potential deferability of interest payments, the
subordination of the notes, the terms and conditions of the issuance, and
the overall financial strength of the issuer.

The outlook is negative.  We expect Metrofinanciera to reduce leverage and
partially restore liquidity and cash flow in the coming months, through
issuances of ABS and RMBS.  However, a negative rating action could follow
if Metrofinanciera is unable to reduce its exposure to land investments
and if a sizeable portion of liquid assets remain committed.  To create
conditions for rating stability, apart from improving land exposure and
the liquidity constraint, a significant positive change in risk-management
practices is required.  Relevant changes would include a significant
improvement in corporate governance, reduction of structural
concentrations in assets and liabilities, an increase in reserve coverage,
and a debt-to-ATE ratio at about 14.5x.


NAVISTAR INT'L: Unit Signs US$200 Mil. Asset Based Loan Pact
-----------------------------------------------------------
Navistar International Corporation's principal operating subsidiary,
International Truck & Engine Corporation, signed a definitive loan
agreement relating to a five-year senior inventory secured, asset-based
revolving credit facility in an aggregate principal amount of
US$200,000,000.  The facility is secured by domestic manufacturing plant
and service parts inventory as well as used truck inventory.  The facility
was arranged by Credit Suisse, Bank of America, N.A. and JPMorgan Chase
Bank, N.A.  Credit Suisse is the lead arranger and Bank of America is the
collateral agent.

The new loan facility matures in June 2012.  All borrowings under the new
loan facility will accrue interest at a rate equal to a base rate or an
adjusted LIBOR rate plus a spread.  The spread, which will be based on an
availability-based measure, ranges from 125 basis points to 175 basis
points for LIBOR borrowings.  The initial LIBOR spread is 150 basis
points.  Borrowings under the facility are available for general corporate
purposes.

Based in Warrenville, Illinois, Navistar International Corp.
(NYSE:NAV) -- http://www.nav-international.com/-- is the parent company
of Navistar Financial Corp. and International Truck and Engine Corp.  The
company produces International brand commercial trucks, mid-range diesel
engines and IC brand school buses, Workhorse brand chassis for motor homes
and step vans, and is a private label designer and manufacturer of diesel
engines for the pickup truck, van and SUV market.  The company also
provides truck and diesel engine parts and service sold under the
International brand.  A wholly owned subsidiary offers financing services.
Its Latin America operations include Argentina, Brazil and Mexico.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 12, 2006,
Fitch assigned a 'BB-' rating to Navistar International Corp.'s
proposed US$1.3 billion senior unsecured credit facility.

Fitch also withdrew the 'BB-' rating on the company's senior
unsecured notes, the 'B' rating on company's senior subordinated debt, and
the senior unsecured debt rating at Navistar Financial Corp., all of which
have been substantially retired.  Fitch expected to withdraw the 'BB-'
rating on company's existing credit facility upon the closing of the new
US$1.3 billion facility.




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


BANCO LATINOAMERICANO: Paying US$0.2 A Share Dividend on July 6
---------------------------------------------------------------
Banco Latinoamericano de Exportaciones, S.A., disclosed that the US$0.22
per share quarterly cash dividend corresponding to the second quarter of
2007 and approved by the Board of Directors on Feb. 13, 2007, is payable
on July 6, 2007, to stockholders of record as of June 26, 2007.

As of May 31, 2007, Bladex had 36,347,909.29 common shares outstanding of
all classes.

Headquartered in Panama City, Panama, Banco Latinoamericano de
Exportaciones, SA aka Bladex -- http://www.bladex.com-- is a
supranational bank originally established by the Central Banks
of Latin American and Caribbean countries to promote trade
finance in the Region.  The bank's shareholders include central
banks and state- owned entities in 23 countries in the Region,
as well as Latin American and international commercial banks,
along with institutional and retail investors.  Through
Dec. 31, 2005, Bladex had disbursed accumulated credits of over
US$135 billion.

                       *     *     *

As reported on April 7, 2006, Moody's affirmed these ratings for Bladex:

   -- Bank Financial Strength Rating: D-minus, change to
      positive outlook from stable;

   -- Long Term Foreign Currency Deposit Rating: Baa3, with
      stable outlook;

   -- Short Term Foreign Currency Deposit Rating: Prime-3;

   -- Foreign Currency Senior Unsecured Rating: Baa3, with
      stable outlook; and

   -- Foreign Currency Issuer Rating: Baa3, with stable
      outlook.


CHIQUITA BRANDS: Morgan Joseph Puts Buy Rating on Firm's Shares
---------------------------------------------------------------
Morgan Joseph analysts have assigned a "buy" rating on Chiquita Brands
International's shares, Newratings.com reports.

Newratings.com relates that the target price was set at US$26.

The analysts said in a research note that Chiquita Brands’ transition to a
global consumer products model lets the firm keep its profitability in the
long term and leverage the changing consumer trends.

The analysts told Newratings.com that Chiquita Brands’ "two-pronged
strategy positions the company for healthy growth in the long term."

Chiquita Brands keeps focus on decreasing its debts.  It would boost its
earnings in the future, Newratings.com states, citing Morgan Joseph.

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

                       *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 16, 2007, Moody's Investors Service changed the rating
outlook for Chiquita Brands International, Inc. to negative from stable.

Ratings affirmed:

* Chiquita Brands International, Inc. (parent holding company)

  -- Corporate family rating at B3

  -- Probability of default rating at B3

  -- US$250 million 7.5% senior unsecured notes due 2014 at
     Caa2 (LGD5, 89%)

  -- US$225 million 8.875% senior unsecured notes due 2015 at
     Caa2 (LGD5, 89%)

* Chiquita Brands LLC (operating subsidiary):

  -- US$200 million senior secured revolving credit agreement
     at B1 (LGD2, 26%)

  -- US$24.3 million senior secured term loan B at B1 (LGD2,
     26%)

  -- US$368.4 million senior secured term loan C at B1 (LGD2,
     26%).


* PANAMA: Inks Free Trade Pact with Honduras
--------------------------------------------
Panamanian President Omar Torrijos has signed a free trade accord with
Honduran counterpart Manuel Zelaya to increase bilateral trade, according
to a news report from Honduras.

Xinhua News relates that "trade relations between the two nations have
undergone fast development" in recent years, "with two-way trade volume"
totalling US$26 million last year.

The two presidents will be meeting with Guatemalan President Oscar Berger
to discuss regional development, Xinhua News reports.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on May 8, 2007,
Standard & Poor's Ratings Services revised its outlook on its 'BB'
long-term sovereign credit rating on the Republic of Panama to positive
from stable and affirmed its 'B' short-term foreign currency sovereign
credit rating on the republic.




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


GOL LINHAS: Paying BRL0.35 Dividend Per Common Share
----------------------------------------------------
GOL Linhas Aereas Inteligentes S.A. announced the payment of
Interest on Stockholder's Capital and supplementary dividends,
referring to second quarter of 2007.

The amount of ISC and dividends is BRL76,0219,72,05, corresponding to
BRL0.35, per common and preferred shares.

From the amount, it will be paid in the form of ISC, the amount of
BRL34,792,626.01, corresponding to the net amount of BRL0.14619, per
common and preferred shares, and BRL41,229,346.04, in the form of
dividends, corresponding to BRL0.20381, per common and preferred shares.

All outstanding shares on June 25, 2007, inclusive, will be entitled to
receive the ISC and dividends approved.  The credit of the ISC and
dividends on the company's accounting records shall be made on June 29,
2007, considering the shareholder position of June 25, 2007.

The company's shares will be traded on BOVESPA and NYSE "ex" dividends as
of, and including June 26, 2007.

The amount of the ISC is subject to withholding income tax of 15%, except
to shareholders that evidence to be exempt or immune, and for those
domiciled in a tax heaven jurisdiction (25%).

Shareholders immune or exempt of withholding income tax shall verify if
such condition is stated in their records maintained at the company's
shares registrar (Banco Itau S/A.) and, if necessary, must update their
records in order to take advantage of the referred benefit, until June 27,
2007.

The payment of ISC and dividends is resolved according to the quarterly
intercalary dividends policy approved by the meeting of the Board of
Directors held on January 29, 2007, fixed amount of BRL0.35 per common and
preferred share, per quarter, during 2007.  Regardless of the fixed
amount, it is assured the payment of the minimum dividend of 25% of the
corporate year's net profit, and if necessary, the company will make a
year-end supplementary dividend payment.

                        About Gol

Based in Sao Paulo, Brazil, GOL Intelligent Airlines aka GOL
Linhas Areas Inteligentes S.A. (NYSE: GOL and Bovespa: GOLL4) --
http://www.voegol.com.br-- through its subsidiary, GOL
Transportes Aereos S.A., provides airline services in Brazil,
Argentina, Bolivia, Uruguay, and Paraguay.  The company's
services include passenger, cargo, and charter services.  As of
March 20, 2006, Gol Linhas provided 440 daily flights to 49
destinations and operated a fleet of 45 Boeing 737 aircraft.
The company was founded in 2001.

                     *     *     *

On March 7, 2007, Fitch Ratings assigned its BB+ rating to GOL
Intelligent Airlines' senior unsecured debt.




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


CUMMINS INC: Unit Signs US$200 Mil. Asset Based Loan Pact
-------------------------------------------------------
Cummins Inc. disclosed that Beijing Public Transport Holdings Ltd. (BPT)
has ordered 1,400 Cummins Euro IV diesel engines and 250 Cummins Westport
Euro III compressed natural gas engines to power transit buses in China's
capital city.

With this order, Cummins and Cummins Westport, a joint venture of Cummins
and Westport Innovations, will power more than 13,000 of BPT's 24,000-bus
fleet.

"This is the largest order of Euro IV diesels in the Chinese bus market,"
said Steve Chapman, Group Vice President – Emerging Markets and
Businesses.  "We are honored to have worked in partnership with BPT since
1998 by providing dependable and environmentally-friendly diesel and
natural gas engines.  These efforts will continue to contribute to the air
quality improvement in Beijing."

The order is part of BPT’s ambitious fleet upgrade plan in advance of the
2008 Summer Olympic Games in Beijing.

"With 13 factories now in China, Cummins continues to demonstrate its
commitment to providing domestically-manufactured as well as imported
options to meeting emissions and customer requirements," Mr. Chapman said.

China began adopting European on-highway emission standards in 2001 and
the countrywide environmental standard is now Euro II.  Beijing leads the
country in terms of emission compliance with Euro III being the current
standard, and the capital city will move to Euro IV in 2008.

                    About Beijing Public

Beijing Public Transport is a state-owned enterprise operating surface
public transport in Beijing, and is one of the largest operators of
compressed natural gas-powered vehicles in the world.  BPT operates more
than 24,000 vehicles of various types on 773 bus routes.

                     Cummins In China

Cummins is the largest foreign investor in the China diesel engine
industry.  The Company's ties to the country date back to 1975 when
then-CEO J. Irwin Miller led the first Cummins delegation to Beijing,
making him one of the first American business leaders to seek
opportunities in China.

Cummins began licensing its engine technology in China in 1981 and formed
its first joint venture in the country in 1995.  Today, Cummins operates
more than 20 facilities in China with more than 5,400 staff, 12
distributor locations, one regional R & D center and 13 manufacturing
plants producing eight of the 14 Cummins engine families, turbochargers,
filters, exhaust systems, fuel systems, alternators and gensets, with all
areas of the Company's business represented in China.

                     About Cummins

Headquartered in Columbus, Indiana, Cummins Inc. (NYSE: CMI)
-- http://www.cummins.com/-- designs, manufactures, distributes and
services engines and related technologies, including fuel systems,
controls, air handling, filtration, emission solutions and electrical
power generation systems.

Cummins has Latin-American operations, particularly in
Venezuela, Brazil, Peru, Colombia, and Argentina.  Its
operations in the Asia-Pacific are found in China, Japan and
Korea.  Its also has facilities in Europe, particularly in the
United Kingdom.

                    *     *     *

Cummins' Junior Convertible Subordinated Debentures carry
Fitch's 'BB' rating with a stable outlook.

Moody's Investors Service raised Cummins' convertible preferred
stock rating to Ba1 from Ba2 and withdrew the company's SGL-1
Speculative Grade Liquidity rating and its Ba1 Corporate Family
Rating.





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


DORAL FIN'L: Incurs US$37.3 Mil. Net Loss in 2007 First Quarter
---------------------------------------------------------------
Doral Financial Corporation filed its Form 10-Q report for the first
quarter ended March 31, 2007, with the U.S. Securities and Exchange
Commission.  For the first quarter of 2007, Doral Financial had a net loss
of US$37.3 million and a consolidated loss per diluted common share of
US$0.42.  For the first quarter 2006, Doral Financial had net income of
US$17.1 million and consolidated earnings per diluted common share of
US$0.08.

Doral Financial’s banking subsidiaries continue to be well capitalized for
bank regulatory purposes as of March 31, 2007, while, as of such date, the
holding company was considered adequately capitalized for bank regulatory
purposes.

"The costs related to correcting legacy issues in addition to compressing
margins due to interest rate risk are reflected in the first quarter
results. We are focused on both improving our operations and succeeding
with respect to our immediate objective, which is the recapitalization of
our holding company, Doral Financial," said Doral Financial Chief
Executive Officer and President Glen R. Wakeman.

                 Results of Operations

Doral Financial’s financial performance for the first quarter of 2007,
compared to the first quarter of 2006, was principally impacted by:

    (1) an income tax expense of US$5.9 million, compared to a
        tax benefit of US$39.1 million for the first quarter
        2006;

    (2) lower net interest income as a result of a decrease in
        net interest margin, coupled with a decrease in the
        average balance of interest-earning assets; and

    (3) increased non-interest expense related principally to
        charges in respect of the company’s key employee
        incentive plan and professional fees related to the
        company’s business transformation and recapitalization
        efforts, as well as continued efforts in the resolution
        of legacy issues.

The reduction in earnings as a result of these factors was partially
offset by higher non-interest income.

The highlights of the company’s financial results for the quarter ended
March 31, 2007, included:

Net loss for the first quarter 2007 amounted to US$37.3 million, or a
diluted loss per share of US$0.42, compared to net income of US$ 17.1
million, or a diluted earnings per share of US$0.08, for the first quarter
2006.

Net interest income for the first quarter 2007 was US$38.2 million,
compared to US$58.6 million for the same period in 2006.  The decrease in
net interest income for 2007, compared to 2006, was related to a decrease
in the company’s net interest margin, coupled with a decrease in the
average balance of interest earning assets.  Net interest margin decreased
from 1.46% in the first quarter of 2006 to 1.43% in the first quarter
2007.  Average interest-earning assets decreased from US$16.2 billion
during the first quarter of 2006 to US$10.8 billion for the first quarter
2007.

For the first quarter 2007, the provision for loan and lease losses was
US$6.0 million, compared to US$5.2 million for the first quarter 2006.
The increase in provision reflects principally an increase in specific
reserves related to the allowance for the company’s commercial loan
portfolio, as well as deterioration in delinquency trends, particularly in
the construction and commercial portfolios, and declining economic
conditions in Puerto Rico.

Non-interest income for the first quarter 2007 was US$11.6 million,
compared to a non-interest loss of US$9.7 million for the same period in
2006.  The increase in non-interest income during the first quarter 2007
compared to the same period in 2006 was primarily driven by a reduced loss
on mortgage loan sales and fees, which amounted to approximately US$0.5
million during the first quarter 2007, compared to losses of approximately
US$14.7 million for the first quarter 2006.  The improvement in
non-interest income also reflects lower losses on trading activities.
Total loan sales and securitizations for the first quarter 2007 amounted
to US$69.0 million, compared to US$231.6 million for the first quarter of
2006.

Non-interest expense for the first quarter 2007 was US$75.2 compared to
US$65.8 million for the same period in 2006.  The increase in non-interest
expense for the quarter was driven by a US$3.5 million increase in
professional fees, principally associated with the company’s business
transformation and recapitalization efforts, as well as continued efforts
in the resolution of legacy issues.  Non-interest expense for the first
quarter 2007 also includes approximately US$6.4 million in payments and
associated benefit costs related to the company’s key employee incentive
plan and a US$2.6 million charge in connection with the settlement of a
claim with a local financial institution as part of a sale of mortgage
servicing rights to such institution.

For the first quarter of 2007, Doral Financial recognized an income tax
expense of US$5.9 million, compared to an income tax benefit of US$39.1
million for the corresponding period in 2006.  The income tax expense
recorded during the first quarter 2007 was mainly related to an increase
in the valuation allowance over the deferred tax asset.

During the first quarter 2007, the company had other comprehensive income
of approximately US$9.8 million related principally to the positive impact
of the decrease in long-term interest rates on the value of the company’s
portfolio of available for sale securities.  As of March 31, 2007, the
company’s accumulated other comprehensive loss (net of income tax benefit)
reached US$97.2 million, compared to US$106.9 million as of Dec. 31, 2006.

Doral Financial’s loan production for the first quarter 2007 was US$268.3
million, compared to US$875.7 million for the comparable period in 2006, a
decrease of approximately 69%. The decrease in Doral Financial’s loan
production is due to a number of factors, including changes in the
underwriting standards, economic conditions in Puerto Rico, and
competition from other financial institutions.  The company anticipates
that, for the foreseeable future, loan production will continue below
historical levels as these new underwriting standards are implemented and
new product offerings are developed.

Total assets as of March 31, 2007, were US$11.5 billion, a decrease of 3%
compared to US$11.9 billion as of Dec. 31, 2006.  The decrease in total
assets was principally the result of the previously reported sale of
US$1.7 billion in investment securities during the fourth quarter 2006, of
which US$231 million settled during the first quarter 2007.

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

                        *     *     *

As reported in the Troubled Company Reporter on May 21, 2007,
Fitch Ratings has lowered Doral Financial Corporation's ratings
as:

  Doral Financial Corporation

     -- Long-term Issuer Default Rating to 'B' from 'B+';
     -- Senior debt to 'B-' from 'B';
     -- Preferred stock to 'CCC' from 'CCC+';
     -- Individual to 'E' from 'D/E'.

  Doral Bank

     -- Long-term Issuer Default Rating to 'B+' from 'BB-';
     -- Long-term deposits to 'BB- from 'BB';
     -- Individual to 'D' from 'C/D'.

Fitch said the ratings remain on Rating Watch Negative.

Moody's Investors Service is continuing its review of Doral
Financial Corporation for possible downgrade.  The ratings have
been on review for possible downgrade since Jan. 5, 2007, when
Doral was downgraded to B2 from B1 for senior debt.  The review
has centered on Doral's prospects for refinancing USUS$625 million of debt
maturing in July.


QUANTUM CORP: S&P Affirms B Corporate Credit Rating
---------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its 'B' corporate
credit rating on San Jose, Calif.-based Quantum Corp. At the same time,
Standard & Poor's revised its outlook on Quantum to positive from stable.
Standard & Poor's also assigned its 'B+' bank loan rating and '2' recovery
rating to the company's proposed US$450 million senior secured bank
facility, reflecting our expectation for substantial (70%-90%) recovery of
principal by creditors in the event of a payment default.  The proposed
bank facility will consist of a US$50 million revolving credit facility,
due 2012, and a US$400 million term loan, due 2014.

"The revision of the outlook to positive reflects initial progress in
integrating ADIC combined with our expectation for continued improvement
to operating margins over the next several quarters," said Standard &
Poor's credit analyst Ben Bubeck.  Pro forma operating lease adjusted
leverage, based
on two full quarters of performance since the acquisition of ADIC, and
adjusted for restructuring charges, is estimated to be slightly below 5x.

Proceeds from the proposed bank facility, along with approximately US$30
million of cash from the balance sheet, will be used to refinance
Quantum's existing bank debt, including fees and a prepayment premium.

The ratings on Quantum reflect a limited track record following last
year's acquisition of ADIC, mixed tape industry fundamentals, a
competitive marketplace, and high debt leverage.  These factors partly are
offset by S&P'S expectation for incremental improvements to profitability
and cash flow
generation, Quantum's strong product portfolio, and adequate liquidity.

Quantum is a leading vendor of data backup, recovery, and archive
solutions.  Last year's nearly US$800 million acquisition of ADIC
bolstered Quantum's product offering, in addition to providing greater
scale and capacity to reach end customers directly.  Pro forma for the
proposed debt
financing, Quantum had approximately US$630 million of operating
lease-adjusted debt as of March 2007.

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




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


* VENEZUELA: Won't Buy Back Debts in IMF Pullout, Reuters Says
--------------------------------------------------------------
The Venezuelan government is not eyeing a buy back of its debt as part of
a plan to withdraw from the International Monetary Fund, contradicting a
local report, Reuters reports, citing an unnamed Cabinet source.

As reported yesterday, local paper Reported said that the government is
considering a repurchase of debts that would be in default once it
formally withdraws from the multi-lateral lender.  The government's 9-3/8%
dollar bonds due in 2034 rose 0.75 cent on the dollar to 111 cents on June
14 after Reporte cited Labor Minister Jose Ramon Rivero as saying that the
government may buy back the bonds containing the clause to allow it to
withdraw from the IMF without defaulting.  Venezuela has US$20 billion of
foreign bonds.

"This should negatively impact global bonds next week,"  Matthew Festa of
4CAST Ltd, which provides analysis to investors, was quoted by Reuters as
saying.

President Hugo Chavez said in April that the IMF restricts the country's
sovereignty and he'd like to change that.  His comment adversely affected
the country's debts on concerns that they'd be in default based on a
prospectus governing the sale of 9.375% bonds maturing in 2034.  The
prospectus has a provision that says Venezuela ceasing to be a member of
the IMF is an event of default.

                       *     *     *

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 remained 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 de los 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
photocopying) is strictly prohibited without prior written permission of
the publishers.

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

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


             * * * End of Transmission * * *