TCRLA_Public/070620.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

          Wednesday, June 20, 2007, Vol. 7, Issue 121

                            Headlines

A R G E N T I N A

AES CORP: Hires Messrs. Coles & Soares for Executive Positions
AMERICAN SERVICE: Proofs of Claim Verification Ends on Sept. 4
ARIAS HERMANOS: Proofs of Claim Verification Is Until Aug. 22
CITY HALL: Seeks Bankruptcy Approval from Court
CORPORACION GANADERA: Asks for Bankruptcy Approval from Court

DELTA AIR: Sonny Perdue Helps Firm in Bid for Flights to China
ESTILO FASHION: File for Bankruptcy Protection in Court
FRUTIHORTICOLA OLIMPO: Claims Verification Deadline Is Aug. 28
LA CASA: Proofs of Claim Verification Is Until Aug. 16
LUKE MUNRO: Asks for Reorganization Approval from Court

NEPILCOR SRL: Proofs of Claim Verification Deadline Is Aug. 27
ORGANIZACION ODONTOLOGICA: Trustee Verifies Proofs of Claim
TRUIDEN SA: Asks for Reorganization Approval

B E R M U D A

MONTPELIER RE: Paying US$0.075 Per Share Dividend on July 16

B R A Z I L

BANCO CUSCATLAN: S&P Removes BB+/B Counterparty Credit Rating
BANCO MERCANTIL: S&P Puts B Long-Term Credit Rating
BRASIL TELECOM: Eyes 10% Boost in Revenues This Year
COMPANHIA ENERGETICA: Ministry Extends Concession for Plants
COMPANHIA SIDERURGICA: Eyes 750K Tons Tin Plate Sales in Brazil

COMPANY SA: Fitch Puts B+ Currency Issuer Default Rating
LAZARD LTD: Subsidiary Prices US$600-Mil. Senior Notes Offering
PETROLEO BRASILEIRO: Workers Threaten To Strike on July 5
STRATOS GLOBAL: Hired as Distribution Partner for Inmarsat

C A Y M A N   I S L A N D S

BERNARD GLOBAL: Sets Last Shareholders Meeting for Aug. 23
JORDAIR CO: Sets Last Shareholders Meeting for Aug. 23
KENWALL LTD: Sets Final Shareholders Meeting for July 25
MINCS-GLACE BAY: Sets Last Shareholders Meeting for Aug. 23
NOTES FUNDING: Sets Last Shareholders Meeting for Aug. 23

ORCHID FUNDING: Sets Last Shareholders Meeting for Aug. 23
SD FUNDING: Sets Last Shareholders Meeting for Aug. 23
SEQUILS-GLACE: Sets Last Shareholders Meeting for Aug. 23
SHINSEI FUNDING: Sets Last Shareholders Meeting for Aug. 23
TIAA HIGH: Sets Last Shareholders Meeting for Aug. 23

WRIGLEY CDO: Sets Last Shareholders Meeting for Aug. 23

C H I L E

GERDAU SA: Acquiring Siderurgica Zuliana for US$92.5 Million
NOVA CHEMICALS: Paying CDN0.10 Per Share Quarterly Dividend

C U B A

* CUBA: Gets EUR200-Million Loan Offer from Iran

E C U A D O R

GEOKINETICS INC: Redeems Floating Rate Notes for US$113.3 Mil.

G U A T E M A L A

MILLICOM INTERNATIONAL: Will Invest US$500MM in Central America

H O N D U R A S

* HONDURAS: Inks Free Trade Accord with Panama
* HONDURAS: Gov. Defining Fuel Storage Terminal Bidding Details

J A M A I C A

DIGICEL LTD: Launches Vehicle Tracking System in Jamaica
DYOLL INSURANCE: Sends Payment for Distribution to Farmers
NATIONAL WATER: Says Lack of Water Due to Pipe System Problems

M E X I C O

BALLY TOTAL: Noteholders Sign Restructuring Support Agreement
CEMEX SAB: Expects US$810 Mil. Operating Income in 2nd Quarter
CORPORACION GEO: S&P Assigns BB Long-Term Corp. Credit Rating
CONTINENTAL AIRLINES: Partners with China Southern Airlines
SENSATA TECH: Moody's Affirms Ratings; Change Outlook to Neg.

P A N A M A

* PANAMA: Inks Free Trade Accord with Honduras
* PANAMA: Qatar & Occidental Refinery to Cost US$7 Billion

P E R U

PETROLEO BRASILEIRO: Unit Wants to Boost Presence in Peru

* PERU: Gov't Agency Sues Telmex for Alleged Cemetery Damage

P U E R T O   R I C O

CELESTICA INC: Brings-In Paul Nicoletti as Exec. VP & CFO
GENESCO INC: Inks US$1.5 Billion Merger Pact with Finish Line
MYLAN LAB: Paying US$0.06 Per Share Dividend on July 16
STANDARD MOTOR: Moody's Lifts Corporate Family Rating to B2

V E N E Z U E L A

CMS ENERGY: Gets US$359.5 Mil. Tender Offer for 7.5% Sr. Notes
CMS ENERGY: Closes Unit's Sale to CPFL Energia for US$211.1 Mln
PETROLEOS DE VENEZUELA: Gov. OKs Petrodelta Corporate Structure
PETROLEOS DE VENEZUELA: Unit's Delegation Goes to Belarus
PETROLEOS DE VENEZUELA: Hugo Chavez Starts Up Thermozulia I

* VENEZUELA: Gov't Creates Corporacion Electrica Nacional
* IDB Partners with Bush Administration to Form New Loan Scheme


                         - - - - -


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


AES CORP: Hires Messrs. Coles & Soares for Executive Positions
--------------------------------------------------------------
The AES Corporation has appointed Jonathan Coles as AES Executive Vice
President and President of the Latin America region and Britaldo Soares as
AES Vice President and Group Manager of AES Brazil.

Mr. Coles will lead AES's businesses in Latin America, which include 48
generation plants and nine utilities serving more than eight million
customers across the region, including Argentina, Brazil, Chile, Colombia,
Dominican Republic, El Salvador and Panama.  Through its subsidiaries, AES
employs approximately 10,000 people in the region.  Mr. Coles will report
to AES Chief Operating Officer, Andres Gluski.

Prior to this new role, Mr. Coles served as President of IESA, one of the
leading Business Schools in Latin America, and served on the Board of
Directors of AES's former integrated utility in Venezuela, La Electricidad
de Caracas.  He has held several key executive positions in the private
sector, including Chairman and CEO of Mavesa and currently serves on the
Boards of Directors of Banco Mercantil in Venezuela and Commercebank in
the United States.  Earlier in his career, Mr. Coles worked at Creole
Petroleum Corporation, a former subsidiary of the Exxon Corporation.  Mr.
Coles also has served in a number of high-level government positions
including Cabinet Minister and Member of the Board of Directors of the
Central Bank of Venezuela.  He holds a Bachelor of Arts from Yale
University and a Masters in Business Administration from IESA.

"Jonathan brings a tremendous amount of leadership in Latin America, along
with first hand knowledge of AES, having served on EDC's Board of
Directors for six years, and having chaired its Audit Committee," said Mr.
Gluski.

Britaldo Soares will lead AES Brazil, which comprises AES's subsidiaries
in that country, including distribution companies AES Eletropaulo and AES
Sul, and generation facilities AES Tiete and AES Uruguiana.  He replaces
Eduardo Bernini who is leaving AES but remaining on the Boards of
Directors of Eletropaulo and Tiete.  Mr. Soares will report to Jonathan
Coles.  Prior to this role, Mr. Soares served as Chief Financial Officer
of AES's businesses in Brazil.

"Britaldo has done an outstanding job leading and modernizing our finance
organization in Brazil," said Mr. Gluski.  "His financial and commercial
experience in Brazil provides him with the right skills to consolidate and
accelerate the continued improved performance of our Brazilian
businesses."

"AES is very well positioned in Latin America," said AES President and
Chief Executive Officer Paul Hanrahan.  "Jonathan and Britaldo have the
broad experience to ensure that we remain an innovative and leading energy
company in the region."

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

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

                        *     *     *

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


AMERICAN SERVICE: Proofs of Claim Verification Ends on Sept. 4
--------------------------------------------------------------
Aldo Emilio Cambiasso, the court-appointed trustee for American Service
SA's bankruptcy proceeding, verifies creditors' proofs of claim until
Sept. 4, 2007.

Mr. Cambiasso will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 2 in Buenos
Aires, with the assistance of Clerk
No. 4, 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 American Service's 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 American Service's accounting
and banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

         American Service SA
         Alsina 1495
         Buenos Aires, Argentina

The trustee can be reached at:

         Aldo Emilio Cambiasso
         Cerrito 1070
         Buenos Aires, Argentina


ARIAS HERMANOS: Proofs of Claim Verification Is Until Aug. 22
-------------------------------------------------------------
Elida Juan Victorero, the court-appointed trustee for Arias Hermanos SA's
bankruptcy proceeding, verifies creditors' proofs of claim until Aug. 22,
2007.

Ms. Victorero will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 5 in Buenos
Aires, with the assistance of Clerk No. 10, 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 Arias Hermanos' 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 Arias Hermanos' accounting and
banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

         Arias Hermanos SA
         Tucuman 255
         Buenos Aires, Argentina

The trustee can be reached at:

         Elida Juan Victorero
         Montevideo 711
         Buenos Aires, Argentina


CITY HALL: Seeks Bankruptcy Approval from Court
-----------------------------------------------
The National Commercial Court of First Instance in Buenos Aires is
studying the merits of City Hall S.A.'s request to enter bankruptcy
protection.

The report adds that City Hall filed a "Quiebra Decretada" petition
following cessation of debt payments.

The petition, once approved by the court, will transfer control
of the company's assets to a court-appointed trustee who will
supervise the liquidation proceedings.

The debtor can be reached at:

         City Hall S.A.
         L. Saenz Pena 1381
         Buenos Aires, Argentina


CORPORACION GANADERA: Asks for Bankruptcy Approval from Court
-------------------------------------------------------------
The National Commercial Court of First Instance in Buenos Aires is
studying the merits of Corporacion Ganadera del Mercosur S.R.L.'s request
to enter bankruptcy protection.

The report adds that that Corporacion Ganadera filed a "Quiebra Decretada"
petition following cessation of debt payments.

The petition, once approved by the court, will transfer control
of the company's assets to a court-appointed trustee who will
supervise the liquidation proceedings.

The debtor can be reached at:

         Corporacion Ganadera del Mercosur S.R.L.
         Tucuman 141
         Buenos Aires, Argentina


DELTA AIR: Sonny Perdue Helps Firm in Bid for Flights to China
--------------------------------------------------------------
Georgia Governor Sonny Perdue has helped push Delta Air Lines' offer for
direct flights to Shanghai, China, The Atlanta Journal-Constitution
reports.

The Atlanta Journal notes that Gov. Perdue sent a joint letter with other
state governors to the federal agency that will select a US carrier to fly
to China.

The Nashville Business Journal relates that the governors who joined
Governor Perdue in signing the letter include:

          -- Phil Bredesen of Tennessee,
          -- Bob Riley of Alabama,
          -- Mike Beebe of Arkansas,
          -- Ernie Fletcher of Kentucky,
          -- Kathleen Blanco of Louisiana,
          -- Haley Barbour of Mississippi,
          -- Anibal Acevedo Vila of Puerto Rico,
          -- Mark Sanford of South Carolina, and
          -- Joe Manchin III of West Virginia.

The Atlanta Journal notes that Delta Air has been trying to get the
support of city, state and federal politicians and business groups.  The
Metro Atlanta Chamber of Commerce has formed a special committee to
support Delta Air's China bid.

Sam Williams, Metro Atlanta's head, commented to The Atlanta Journal,
"We're not taking any chances this time.  This is a pre-emptive campaign."

Governor Perdue said in a press conference that the letter sent to US
Transportation Department Secretary Mary Peters is an indication of
regional support for Delta Air's bid.  "Atlanta is the perfect location
for this route," Governor Perdue states.

Delta Air Chief Executive Officer Gerald Grinstein told The Atlanta
Journal that the route decision is "a political process" and that the
carrier is "ramping up its campaign."

The Atlanta Journal says that Delta Air hopes to win the flight rights
partly because the Department of Transportation is expected to grant the
rights to an airline without a route to China.

According to The Atlanta Journal, Delta Air is the biggest major carrier
with no direct flights to China.  Once it wins flying rights to China, it
hopes to launch the service to the nation's financial capital in March
2008.

Delta Air also has long-range Boeing 777s set for delivery in time for the
route, The Atlanta Journal states.

Delta Air is competing with US Airways Group Inc. for the Shanghai route.
US Airways had asked the Department of Trade and the Bush administration
in February 2007 to postpone the authorization of Delta Air's proposed
Atlanta-Shanghai route application and open up that route to other
carriers.  US Airways doesn't have flights to China and it wants to launch
a service to the nation from Philadelphia, The Nashville Business Journal
states.

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.


ESTILO FASHION: File for Bankruptcy Protection in Court
-------------------------------------------------------
The National Commercial Court of First Instance No. 22 in Buenos Aires is
studying the merits of Estilo Fashion SRL's request to enter bankruptcy
protection.

The report adds that that Estilo Fashion filed a "Quiebra Decretada"
petition following cessation of debt payments on
May 11, 2007.

The petition, once approved by the court, will transfer control
of the company's assets to a court-appointed trustee who will
supervise the liquidation proceedings.

Clerk No. 44 assists the court on this case.

The debtor can be reached at:

         Estilo Fashion SRL
         Jose Marti 21
         Buenos Aires, Argentina


FRUTIHORTICOLA OLIMPO: Claims Verification Deadline Is Aug. 28
--------------------------------------------------------------
Alfredo Mardikian, the court-appointed trustee for Frutihorticola Olimpo
SRL's bankruptcy proceeding, verifies creditors' proofs of claim until
Aug. 28, 2007.

Mr. Mardikian will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 7 in Buenos
Aires, with the assistance of Clerk No. 13, 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 Frutihorticola Olimpo's
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 Nepilcor's accounting and
banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

         Frutihorticola Olimpo SRL
         Honduras 3832
         Buenos Aires, Argentina

The trustee can be reached at:

         Alfredo Mardikian
         Cordoba 1247
         Buenos Aires, Argentina


LA CASA: Proofs of Claim Verification Is Until Aug. 16
------------------------------------------------------
Liliana Rodriguez, the court-appointed trustee for La Casa de Orfelia SA's
bankruptcy proceeding, verifies creditors' proofs of claim until Aug. 16,
2007.

Ms. Rodriguez will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 21 in Buenos
Aires, with the assistance of Clerk No. 41, 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 La Casa 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 La Casa's accounting and
banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

         La Casa de Orfelia SA
         Paraguay 1359
         Buenos Aires, Argentina

The trustee can be reached at:

         Liliana Rodriguez
         San Martin 66
         Buenos Aires, Argentina


LUKE MUNRO: Asks for Reorganization Approval from Court
-------------------------------------------------------
Luke Munro S.R.L. has requested for reorganization approval in the
National Commercial Court of First Instance in Buenos Aires after failing
to pay its liabilities.

The reorganization petition, once approved by the court, will
allow the company to negotiate a settlement with its creditors
in order to avoid a straight liquidation.

The debtor can be reached at:

         Luke Munro S.R.L.
         Donato Alvarez 2385
         Buenos Aires, Argentina


NEPILCOR SRL: Proofs of Claim Verification Deadline Is Aug. 27
--------------------------------------------------------------
Haydee Leonor Veiga, the court-appointed trustee for Nepilcor SRL's
bankruptcy proceeding, verifies creditors' proofs of claim until Aug. 27,
2007.

Ms. Veiga will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 23 in Buenos
Aires, with the assistance of Clerk No. 46, 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 Nepilcor's 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 Nepilcor's accounting and
banking records will be submitted in court.

La Nacion did not state the reports submission dates.

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

The debtor can be reached at:

         Nepilcor SRL
         Junin 1214
         Buenos Aires, Argentina

The trustee can be reached at:

         Haydee Leonor Veiga
         Humahuaca 4165
         Buenos Aires, Argentina


ORGANIZACION ODONTOLOGICA: Trustee Verifies Proofs of Claim
-----------------------------------------------------------
Miguel Angel Ferro, the court-appointed trustee for Organizacion
Odontologica Centauro S.R.L.'s bankruptcy proceeding, verifies creditors'
proofs of claim "por via incidental."

Mr. Ferro will present the validated claims in court as individual
reports.  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 Organizacion Odontologica and its creditors.

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

Infobae did not state the individual reports submission date.

A general report that contains an audit of Oraginzacion Odontologica's
accounting and banking records will be submitted in court on Sept. 28,
2007.

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

The trustee can be reached at:

         Miguel Angel Ferro
         Pte. Roque Saenz Pena 1219
         Buenos Aires, Argentina


TRUIDEN SA: Asks for Reorganization Approval
--------------------------------------------
Truiden SA has requested for reorganization approval in the National
Commercial Court of First Instance No. 20 in Buenos Aires after failing to
pay its liabilities.

The reorganization petition, once approved by the court, will
allow the company to negotiate a settlement with its creditors
in order to avoid a straight liquidation.

Clerk No. 40 assists the court on this case.

The debtor can be reached at:

         Truiden SA
         Corrientes 2330
         Buenos Aires, Argentina




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


MONTPELIER RE: Paying US$0.075 Per Share Dividend on July 16
------------------------------------------------------------
Montpelier Re Holdings Ltd.'s Board of Directors has declared a quarterly
dividend of US$0.075 per Common Share.  The dividend is payable on July
16, 2007, to shareholders of record on
June 29, 2007.

Headquartered in Bermuda, Montpelier Re Holdings Ltd., through
its operating subsidiary Montpelier Reinsurance Ltd., is a
premier provider of global property and casualty reinsurance and insurance
products.  During the year ended Dec. 31, 2005,
Montpelier underwrote US$978.7 million in gross premiums
written.  Shareholders' equity at Dec. 31, 2005, was US$1.1
billion.

                        *    *    *

As reported in the Troubled Company Reporter on Dec. 19, 2006,
A.M. Best affirms these ratings on Montpelier Re Holdings:

Montpelier Re Holdings Ltd.

   -- "bbb-" on senior unsecured debt;
   -- "bb+" on subordinated debt; and
   -- "bb" on preferred stock.

   MRH Capital Trust I and II (guaranteed by Montpelier Re
   Holdings Ltd.)

   -- "bb" on preferred securities.




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


BANCO CUSCATLAN: S&P Removes BB+/B Counterparty Credit Rating
-------------------------------------------------------------
Standard & Poor's Ratings Services withdrew its 'BB+/B' counterparty
credit rating on Banco Cuscatlan S.A. at the company's request.  At the
time of the withdrawal,
the outlook was stable.  There is no rated outstanding debt.


BANCO MERCANTIL: S&P Puts B Long-Term Credit Rating
---------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B' long-term counterparty
credit rating on Banco Mercantil do Brasil S.A.  The outlook was revised
to stable from negative.

"The rating reflects the challenges of a midsize bank operating in
Brazil's competitive banking industry and BMB's low profitability compared
with that of industry peers," said Standard & Poor's credit analyst Daniel
Araujo.  The bank's large and costly operational structure and small scale
negatively affect profitability.  These risk factors are partially offset
by BMB's long track-record and knowledge of operating in its regional
market, mainly the state of Minas Gerais, which translates into good
market share and brand-name recognition on a regional basis.  It also
acknowledges BMB's diversified operation and its adequate funding profile.

The stable outlook reflects a balance between very low profitability
levels in previous years and our perception that Brazil's favorable
macroeconomic environment will help the bank increase its scale in the
short-to-medium term.  Although we do not expect a relevant change in
BMB's cost structure, the bank must increase scale and generate a higher
stream of recurring revenues, while maintaining the quality of its loan
portfolio in line with the industry norm.  This is an important challenge
for the bank at a time when there is increased competition from larger
players in the Brazilian banking industry.

The 'B' counterparty credit rating may be raised or the outlook revised to
positive if there is consistent improvement in profitability in 2007,
while maintaining asset quality indicators at levels that are in line with
the industry average and are commensurate with BMB's business profile.

Banco Mercantil do Brasil is headquartered in Belo Horizonte,
Brazil and had BRL5.6 billion (US$2.6billion) in total assets
and BRL567 million (US$269 million) in shareholders' equity as
of December 2006.


BRASIL TELECOM: Eyes 10% Boost in Revenues This Year
----------------------------------------------------
A Brasil Telecom official told Business News Americas that the firm
expects to increase its revenues by 10% in 2007, compared to 2006, by
offering a complete range of information technology solutions to its
clients in the health industry.

Zilma Goncalves, Brasil Telecom's director for corporate and government
customers, explained to BNamericas that the information technnology
softwares will:

          -- boost client service management,
          -- help monitor the control of finances, and
          -- set up supply chain management processes.

According to BNamericas, Ms. Goncalves said that Brasil Telecom hopes that
50% of its 500 healthcare sector clients will have used information
technology softwares by year-end.

The report says that Brasil Telecom is negotiating with clients in the
segment -- from a Mato Grosso hospital to public sector healthcare groups.

BNamericas notes that Brasil Telecom started offering the softwares to the
automotive sector and municipal town halls in 2005.  Last year, Brasil
Telecom launched the service to sectors such as agribusiness and
education.

Brasil Telecom is also analyzing a rollout of information technology
softwares for its clients in Brazil's civil construction and
infrastructure sectors in September 2007, BNamericas states, citing Ms.
Goncalves.

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

                        *     *     *

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

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


COMPANHIA ENERGETICA: Ministry Extends Concession for Plants
------------------------------------------------------------
The Brazilian mines and energy ministry said in a statement that it has
extended the concession for Companhia Energetica de Minas Gerais'
hydroelectric plants.

Business News Americas relates that the ministry extended the concessions
of nine Minas Gerais hydro plants for 20 years at no cost.  Companhia
Energetica's biggest hydro plants included in the deal are 1,192-megawatt
UHE Emborcacao and 510-megawatt UHE Nova Ponte.

Deutsche Bank market analyst Marcus Sequeira said in a report that the
decision was as expected.

Mr. Sequeira told BNamericas that one option being considered by the
ministry was an auction of expired concessions.  But that move "would have
a negative political impact and an adverse effect on other power
generators with expiring concessions."

Brokerage Brascan market analyst Felipe Cunha said in a report, "The news
is positive, not only for Cemig but for all other power generation
companies who have concessions expiring over the next few years like Cesp
and Copel."

The ministry's decision "could mean more security for power generators
investing in the sector," BNamericas states, citing Mr. Cunha.

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

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

As reported on March 8, 2007, Moody's Investors Service assigned corporate
family ratings of Ba2 on its global scale and Aa3.br on its Brazilian
national scale to Companhia Energetica de Minas Gerais aka CEMIG.  The
rating action triggered the upgrade of CEMIG's outstanding debentures due
in 2009 and 2011, and of the BRL250 million 2014 senior unsecured
guaranteed debentures of its wholly-owned subsidiary, Cemig Distribuicao
S.A. to Ba2 from B1 on the global scale and to Aa3.br from Baa2.br on the
Brazilian national scale, concluding the review process initiated on Aug.
8, 2006.


COMPANHIA SIDERURGICA: Eyes 750K Tons Tin Plate Sales in Brazil
---------------------------------------------------------------
Companhia Siderurgica Nacional commercial director Luis Fernando Martinez
told Business News Americas that the firm expects to sell some 750,000
tons of tin plate in Brazil this year.

Companhia Siderurgica said in its 2006 financial report that its internal
tin plate shipments totaled 600,000 tons last year.

Mr. Martinez told BNamericas that Companhia Siderurgica churns out about
one million tons per year of tin plate.  At first, it didn't plan to
increase production of the material.

"We aim to sell 75% of our tin plate production within Brazil and the
remainder to other countries in Latin America,"
Mr. Martinez commented to BNamericas.

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

                        *     *     *

On Jan. 26, 2006, Standard and Poor's Rating Services assigned a 'BB'
corporate credit rating on Brazilian flat carbon steelmaker Companhia
Siderurgica Nacional.

The 'BB' corporate credit rating on CSN reflects the company's
exposure to volatile demand and price cycles, increasing
competition in its home and predominant market of Brazil,
aggressive dividend policy and capital investment plan, and
sizable gross-debt position.  These risks are partly offset by
CSN's privileged cost position and sound operating profile,
favorable market position in Brazil, strong export capabilities
to offset occasional domestic demand sluggishness, and
increasing business diversification.


COMPANY SA: Fitch Puts B+ Currency Issuer Default Rating
--------------------------------------------------------
Fitch Ratings has assigned a Foreign and Local Currency Issuer Default
Rating 'B+' and Long Term National Rating 'A-(bra)' to Company S.A.  Fitch
also assigned a rating of 'A-(bra)' to its issuance of BRL75 million
unsecured debentures due June 1, 2012 (3rd debenture issue).  The Ratings
Outlook is Stable.  Proceeds of the new issuance will be used for land
acquisition and the development of new real estate projects.

The ratings reflect the risks of operating in Brazil's developing
homebuilding sector, as well as Company's small and rapidly growing size
and its adequate financial structure.  Company's business is strongly
linked to Brazils' more volatile local economic and real estate markets.
Company strategy is to focus its resources to further solidify its
position in Brazil's largest Sao Paulo market, which limits geographic
diversification.  The Sao Paulo market is fragmented with increasing
levels of competition, which have been incorporated into our ratings.
Company has moderate leverage and its operating margins are above the
industry average.  The ratings incorporate the expectation of moderate
increases in leverage through 2009 as the company continues to expand in
land bank and develop new projects.

The risk fundamentals of the developing Brazilian homebuilding sector are
improving as better regulatory and legal framework are increasingly
supportive to growth and industry credit quality.  Additionally, the
stability of local currency and domestic economy growth should continue
benefiting the Brazilian real estate sector.  Company has grown rapidly
over the last few years as the homebuilding sector has developed.  From
2003 to 2006, Company's net revenue increased almost four times, from
BRL75.6 million in 2003 to BRL288.8 million in 2006.  For 2007, Company
forecasts BRL1.7 billion new real estate project launchings, including
BRL1.0 billion of its own projects, which, in Fitch's views, should
increase revenues more than 50% in 2007.

Company's major challenge is to increase its land inventory to
sustain its future expansion.  Its land base is still low when
compared to its major competitors.  The success of the strategy to obtain
higher sales growth in the next few years will be determined by several
factors including the ability to efficiently acquire sufficient land
inventories in good locations at low cost.  Company will also have to face
higher competition in its main business segment, represented by middle and
high income real estate buyers, mainly in the Great Sao Paulo area, as a
result of the recent capitalization and growth strategy of other
homebuilders.  High liquidity of the other homebuilders has contributed to
higher land prices and acquisition costs, and reduce the proportion of
swaps for finished units, which further adds to competitive pressures.
The company has already acquired sufficient land to meeting near term
project launchings (2007) and is working to obtain additional lands to
proceed with the project launchings over the next few years.

Company's growth strategy is expected to higher financing needs, which is
incorporated into the rating.  Company's ability to finance the planned
expansion of its project portfolio over the next few years appear
manageable.  The main bank credit lines are expected to come from the
Housing Financial System during the project construction phase.  This
funding is compatible for homebuilding, as regards tenor and financial
cost, and the project cash flow needs.  The real estate receivables
arising from the projects are adequate to finance the generation of
operating cash, generally negative in the first years of the projects,
allowing to preserve company's cash to fund working capital needs.

Company's financial profile and its main credit ratios are strong for the
assigned rating.  The initial public offering of shares in February 2006
boosted Company's equity capital and strengthened its balance sheet, which
resulted in a BRL208 million cash inflow and providing it with capital to
further expand.  In 2007 and 2008, credit metrics should be similar to
current levels, and weakening somewhat in 2009 as increased financing
needs to sustain a greater project development are anticipated.  In March
2007, on the basis of the last 12 months, the company reported total
debt/EBITDA and net debt/EBITDA ratios of 2.6 times and 1.2 times,
respectively.

Company liquidity is manageable. At March 31, 2007, Company reported a
total debt amounting to BRL207.6 million and BRL112 million of cash and
cash investments.  Of its total debt, 62% comprised SFH bank financings
and 26% were private debentures linked to specific real estate projects.
These financings are expected to be paid upon delivery of receivables from
the real estate projects as they are completed, which should preserving
Company's cash position and mitigate the 81% debt maturing concentration
at the end of 2008.  The ample cash balance, in relation to its financing
obligations, should continue high until 2008 as the largest project
disbursements should occur in 2009.

Company SA operates in the State of Sao Paulo, mainly in the Great Sao
Paulo area, with focus on the middle and high income classes.  The company
became public through the Sao Paulo Stock Exchange in 2006.  Its
shareholding control is directly and indirectly held by five individual
shareholders, who respond for company management.


LAZARD LTD: Subsidiary Prices US$600-Mil. Senior Notes Offering
---------------------------------------------------------------
Lazard Ltd.'s subsidiary Lazard Group LLC, has priced an offering of
US$600 million aggregate principal amount of senior notes due 2017.  The
notes will be senior unsecured obligations of Lazard Group LLC.  The notes
will be sold at 99.702% and will bear interest at a rate of 6.85%.  The
sale of the notes is expected to close on June 21, 2007, subject to
customary closing conditions.

Lazard Group intends to use the net proceeds from the sale of the notes for:

    (i) expansion of our Financial Advisory and Asset Management
        businesses,

   (ii) other strategic acquisitions or investments,

  (iii) repayment, in the near future, of Lazard Group’s
        US$96 million senior promissory note and US$50 million
        subordinated promissory note, each of which are due in
        February 2008, and

   (iv) general corporate purposes.

The notes are being offered in a private placement under Rule 144A, have
not been registered under the Securities Act of 1933 and may not be
offered or sold in the United States absent registration or an applicable
exemption from registration requirements.

This notice shall not constitute an offer to sell or the solicitation of
an offer to buy any securities.

Lazard Ltd. -- http://www.lazard.com/-- one of the world's
preeminent financial advisory and asset management firms,
operates from 29 cities across 16 countries in North America,
Europe, Asia, Australia and Brazil.  With origins dating back to 1848, the
firm provides services including mergers and
acquisitions advice, asset management, and restructuring advice
to corporations, partnerships, institutions, governments, and
individuals.

The company reported total assets of US$2.6 billion, total
liabilities of US$2.8 billion, and minority interest at
US$55.7 million, resulting in a total stockholders' deficit of
US$206.8 million as of March 31, 2007.


PETROLEO BRASILEIRO: Workers Threaten To Strike on July 5
---------------------------------------------------------
Brazilian state-owned oil company Petroleo Brasileiro SA's employees have
threatened to launch a five-day strike starting July 5, 2007, over
salaries and pay, the Associated Press reports, citing the union
representing them.

The federation of Brazilian oil worker unions said in a statement that
their leaders have authorized the protest, though it would still be voted
on by the rank and file during assemblies set for June 18 to June 27.

The AP notes that the demonstrations could have affect Brazil's
production.  Petroleo Brasileiro produces about 1.85 million barrels of
oil per day, which is over 95% of the nation's oil supply.

According to the AP, the unions asked Petroleo Brasileiro to propose a new
plan on the manner of distribution of positions and salaries within the
firm.

The unions group said in a statement that it wants promotions to be based
on merit.  It complained that Petroleo Brasileiro employees have been
barred from promotions without proper reasons and that the company's
current system to distribute positions is making unjust salary
discrepancies.

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 GLOBAL: Hired as Distribution Partner for Inmarsat
----------------------------------------------------------
Stratos Global Corp. has been appointed as a global Distribution Partner
for Inmarsat's upcoming Satellite Phone Services.

Inmarsat's Satellite Phone Services will offer a competitive
alternative to the handheld, fixed and maritime solutions that are
currently available in the marketplace.  The services will offer high
quality voice connectivity via small and affordable equipment with
attractive postpaid and prepaid rate plan options.

Inmarsat's Satellite Phone Services, scheduled to launch early in the
third quarter of this year, will initially be available in most of the
Middle East, Africa and Asia Pacific regions, where Stratos is a leading
communications provider to both land and maritime customers.  Full global
coverage is currently expected by the end of 2008.

Customers using Inmarsat Satellite Phone Services from Stratos will
benefit from the Stratos Advantage, a suite of value-added services that
help make satellite communications more productive and affordable.  Most
notable is Dashboard from Stratos with which the new Inmarsat services
will be fully integrated.  Dashboard provides real-time information on the
amount of traffic used for voice and data, and the associated costs, and
is currently used by thousands of Stratos BGAN customers around the globe.

The announcement follows Stratos' earlier Distribution Partner
appointments for Inmarsat's SwiftBroadband and FleetBroadband services
which will also become available over the Inmarsat I-4 satellites later
this year.  The addition of these new services will bring enhanced choice
and performance to all Stratos customers.

"We are excited to add Inmarsat Satellite Phone Services to our
extensive portfolio of communications solutions," said Ronald Spithout,
Stratos Senior Vice President, MSS Marketing and Sales, Worldwide.  "We
look forward to enhancing the customer experience with our suite of
specialized, value-added services designed to help our customers and
partners realize financial savings and cost control."

                     About Stratos Global

Stratos Global Corporation -- http://www.stratosglobal.com/
-- is a provider of a range of advanced mobile and fixed-site
remote telecommunications solutions for users operating beyond
the reach of traditional networks. The Company serves the voice
and high-speed data connectivity requirements of a diverse array of
markets, including government, military, energy, industrial, maritime,
aeronautical, enterprise, media and recreational users throughout the
world.  Stratos operates in two segments: Mobile Satellite Services, which
provides mobile telecommunications services, primarily over the Inmarsat
plc satellite system, and Broadband Services (Broadband), which provides
very small aperture terminal services, sourced on a wholesale basis from a
number of the fixed satellite system operators.

The company has offices the following regions: Europe -- Italy, Germany,
Norway, Spain, United Kingdom Asia-Pacific -- India, Hong Kong, Singapore,
Australia and Japan Latin America -- Brazil.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America 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.  Moody's said 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.




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


BERNARD GLOBAL: Sets Last Shareholders Meeting for Aug. 23
----------------------------------------------------------
Bernard Global Senior Funding Ltd. will hold its final shareholders
meeting on Aug. 23, 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,

   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


JORDAIR CO: Sets Last Shareholders Meeting for Aug. 23
------------------------------------------------------
Jordair Co. will hold its final shareholders meeting on
Aug. 23, 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,

   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:

          Jan Neveril
          Maples Finance Limited
          P.O. Box 1093
          George Town, Grand Cayman
          Cayman Islands


KENWALL LTD: Sets Final Shareholders Meeting for July 25
--------------------------------------------------------
Kenwall Ltd will hold its final shareholders meeting on
July 25, 2007, at:

        Windward One, Regatta Office Park
        West Bay Road, 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 liquidators can be reached at:

        CDL Company Ltd.
        P.O. Box 31106
        Grand Cayman, KY1-1205
        Cayman Islands


MINCS-GLACE BAY: Sets Last Shareholders Meeting for Aug. 23
-----------------------------------------------------------
Mincs-Glace Bay Ltd. will hold its final shareholders meeting
on Aug. 23, 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,

   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:

          Jan Neveril
          Maples Finance Limited
          P.O. Box 1093
          George Town, Grand Cayman
          Cayman Islands


NOTES FUNDING: Sets Last Shareholders Meeting for Aug. 23
---------------------------------------------------------
Notes Funding Corp. will hold its final shareholders meeting
on Aug. 23, 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,

   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


ORCHID FUNDING: Sets Last Shareholders Meeting for Aug. 23
----------------------------------------------------------
Orchid Funding Corp. will hold its final shareholders meeting on Aug. 23,
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,

   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 liquidators can be reached at:

          Martin Couch
          Emile Small
          Maples Finance Limited
          P.O. Box 1093
          George Town, Grand Cayman
          Cayman Islands


SD FUNDING: Sets Last Shareholders Meeting for Aug. 23
------------------------------------------------------
SD Funding Corp. will hold its final shareholders meeting
on Aug. 23, 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,

   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


SEQUILS-GLACE: Sets Last Shareholders Meeting for Aug. 23
---------------------------------------------------------
Sequils-Glace Bay Ltd. will hold its final shareholders
meeting on Aug. 23, 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,

   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:

          Jan Neveril
          Maples Finance Limited
          P.O. Box 1093
          George Town, Grand Cayman
          Cayman Islands


SHINSEI FUNDING: Sets Last Shareholders Meeting for Aug. 23
-----------------------------------------------------------
Shinsei Funding One TMK Holding will hold its final shareholders meeting
on Aug. 23, 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,

   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:

          Jan Neveril
          Maples Finance Limited
          P.O. Box 1093
          George Town, Grand Cayman
          Cayman Islands


TIAA HIGH: Sets Last Shareholders Meeting for Aug. 23
-----------------------------------------------------
Tiaa High Yield CDO I Ltd. will hold its final shareholders
meeting on Aug. 23, 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,

   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


WRIGLEY CDO: Sets Last Shareholders Meeting for Aug. 23
-------------------------------------------------------
Wrigley CDO Ltd. will hold its final shareholders
meeting on Aug. 23, 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,

   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




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


GERDAU SA: Acquiring Siderurgica Zuliana for US$92.5 Million
------------------------------------------------------------
Gerdau SA said in a statement that it has signed an accord to acquire 100%
of Venezuelan steelmaker Siderurgica Zuliana for US$92.5 million.

According to Gerdau's statement, Siderurgica Zuliana produces concrete
reinforcing bars.  It has installed capacity of 300,000 tons of crude
steel yearly and 200,000 tons of rolled products per year.

"This acquisition is part of Gerdau's growth strategy in the Americas and
ensures its presence in a country with relevant economic growth," Gerdau
said in a statement.

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

                        *     *     *

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


NOVA CHEMICALS: Paying CDN0.10 Per Share Quarterly Dividend
-----------------------------------------------------------
NOVA Chemicals Corporation declared a quarterly dividend of CDN0.10 per
share on the outstanding common shares of the Company, payable on Aug. 15,
2007, to shareholders of record at the close of business on July 31, 2007.

Headquartered in Calgary, Alberta, Canada, Nova Chemicals Co.
(NYSE:NCX) (TSX:NCX) -- http://www.novachem.com/-- is a leading producer
of ethylene, polyethylene, styrene, polystyrene, and expanded polystyrene.
NOVA Chemicals' manufacturing sites are strategically situated throughout
Canada, the US and South America.  Its South American operations are
located in Chile.

                        *     *     *

As reported in the Troubled Company Reporter on Feb. 5, 2007,
Fitch has downgraded NOVA Chemicals Corp.'s Issuer Default
Rating to BB- from BB; Senior unsecured notes and debentures to
BB- from BB; Senior unsecured revolving credit facility to BB-
from BB; Senior secured revolving credit facility to BB+ from
BBB-; and Retractable preferred shares to 'BB+ from BBB-.

In addition, Fitch has assigned a BB- rating to the US$100
million senior unsecured revolving credit facility due
Dec. 2007.  The ratings apply to approximately US$1.9 billion of debt.
Fitch said the rating outlook is stable.




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


* CUBA: Gets EUR200-Million Loan Offer from Iran
------------------------------------------------
Cuba has received a EUR200-million loan offer from Iran to boost both of
the nations' bilateral commercial ties, a report posted on Press TV
states, citing the Cuban Mines and Industries Ministry.

News service Islamic Society of North America relates that dozens of
memoranda of understanding were signed during the 12th Meeting of
Iran-Cuba Joint Economic Commission in Havana from June 14-18.  Areas
covered in the agreement include:

          -- agriculture,
          -- dam construction, and
          -- machinery manufacturing.

The economic cooperation between Cuba and Iran will be mainly boosted in
two years, the Cuban press says, citing Iran's Mines and Industries
Minister Alireza Tahmasebi.

"Given the potential of the two countries, I believe that economic
cooperation between Tehran and Havana can be increased to an agreeable
level similar to Iran-Venezuela ties," Minister Tahmasebi commented to
Press TV.

                        *     *     *

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

Moody's assigned these ratings on Cuba:

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




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


GEOKINETICS INC: Redeems Floating Rate Notes for US$113.3 Mil.
--------------------------------------------------------------
Geokinetics Inc. redeemed June 14 all of its Floating Rate Notes, at an
aggregate redemption price of US$113.3 million, which was equal to the
outstanding principal amount of the Notes of US$110.0 million plus a
premium of US$3.3 million, which was equal to 3% of the outstanding
principal amount of the Notes, along with accrued, but unpaid interest to,
but excluding, the redemption date.

Commenting on this major event, David A. Johnson, President and CEO of
Geokinetics said, "The redemption of these notes is an additional step in
our strategy to position ourselves for continued growth by reducing debt
and interest expense and strengthening our balance sheet."

Headquartered in Houston, Texas, Geokinetics Inc. --
http://www.geokineticsinc.com/-- is a global leader of seismic
acquisition and high-end seismic data processing and
interpretation services to the oil and gas industry.
Geokinetics provides seismic data acquisition services in North
America, South America, Africa, Asia, Australia and the Middle
East.  Geokinetics operates in some of the most challenging
locations in the world from the Arctic to mountainous jungles to the
transition zone environments.  The company has operations in Brazil,
Colombia, Ecuador, Peru and Venezuela.

                       *     *     *

As reported in Troubled Company Reporter on Dec. 22, 2006,
Standard & Poor's Ratings Services affirmed its 'CCC+' issue
rating and '3' recovery rating on Geokinetics Inc.'s second
priority floating rate notes due in 2012, after the disclosure
that the offering will be increased to US$110 million from
US$100 million.




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


MILLICOM INTERNATIONAL: Will Invest US$500MM in Central America
---------------------------------------------------------------
Millicom International Cellular Chief Executive Officer Marc Beuls told
reporters in Honduras that the firm will invest about US$500 million this
year in its Honduras, El Salvador and Guatemala mobile operations.

Business News Americas relates that Central America has provided Millicom
International "with some of its most solid financial performance and
growth in Latin America."  Millicom International's revenues in the region
increased 59% to US$249 million in this year's first quarter, compared to
last year's first quarter.

Mr. Beuls told the reporters that investments for Honduras would likely
total US$150 million in 2007.  In 2008, Millicom International would
likely allot similar investment level.  Millicom International is planning
the rollout of 3G services next year.

Millicom International has met with outside consultants.  It sees the
start of 2008 as the best time to set up a 3G network, Prensa Latina
states, citing Mr. Beuls.

Headquartered in Bertrange, Luxembourg, and controlled by
Sweden's AB Kinnevik, Millicom International Cellular S.A.
-- http://www.millicom.com/-- is a global telecommunications
investor with cellular operations in Asia, Latin America and
Africa.  It currently has cellular operations and licenses in 16
countries.  The Group's cellular operations have a combined
population under license of around 391 million people.

The Central America Cluster comprises Millicom's operations in
El Salvador, Guatemala and Honduras.  The population under
license in Central America at December 2005 is 26.4 million.
The South America Cluster comprises Millicom's operations in
Bolivia and Paraguay.  The population under license in South
America at December 2005 is 15.2 million.

                        *     *     *

Standard & Poor's Ratings Services placed its 'B+' long-term
corporate credit rating and 'B-' senior unsecured debt ratings
on Luxembourg-headquartered emerging-markets wireless
telecommunications operator Millicom International Cellular S.A. on
CreditWatch with positive implications, following the signing of an
agreement for sale by Millicom of its 88.9% stake in Paktel Ltd. to China
Mobile Communications Corp.

Millicom International's 10% senior notes due 2013 carry Moody's B3 rating
and Standard & Poor's B- rating.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 4, 2007, Moody's Investors Service confirmed its Ba3
Corporate Family Rating for Millicom International Cellular S.A.

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




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


* HONDURAS: Inks Free Trade Accord with Panama
----------------------------------------------
Honduran President Manuel Zelaya and his Panamanian
counterpart, Martin Torrijos, will ink Friday a free trade
agreement after concluding negotiations last month, Prensa
Latina reports.

The pact will replace a preferential exchange agreement signed
in 1973, and allow Panama to open its market to 83.5% of
Honduran products, under equal terms,  Honduran Deputy Foreign
Minister Enrique Reina told Prensa Latina.

                        *     *     *

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


* HONDURAS: Gov. Defining Fuel Storage Terminal Bidding Details
---------------------------------------------------------------
Lucy Bu de Bueso, Honduran oil administrative commission executive
secretary, told Business News Americas that the government is defining
details of plans to launch a tender for the construction of fuel storage
terminals.

According to BNamericas, the terminals are part of the Honduran
government's fuel supply project.

As reported in the Troubled Company Reporter-Latin America on May 18,
2007, Ms. Bu de Bueso said that the government could soon release details
of plans to launch bidding for the construction of fuel storage terminals.

However, Ms. Bu de Bueso didn't tell BNamericas when the details on the
tender will be disclosed.

                        *     *     *

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
=============


DIGICEL LTD: Launches Vehicle Tracking System in Jamaica
--------------------------------------------------------
Digicel Ltd. said that it has launched the "Digicel Vehicle Tracking"
system in Jamaica, Telematics Journal reports.

According to Telematics Journal, "Digicel Vehicle Tracking" is an easy to
install General Packet Radio Service electronic device for fleet
management firms that "tracks the location of vehicles on urban, regional
and national travel routes."  It is a Web application service that runs on
Digicel's nationwide GPRS/GSM network.  This service tracks the location
of the vehicle anywhere across Jamaica on a 24/7 basis.  It also provides
monthly travel history reports per installed vehicle and E-mail alerts to
inform fleet managers of excessive speeding, ignition on/off, location and
arrival and departure times.

Telematics Journal notes that the system was developed with the help of
KingAlarm Systems, the largest electronic security service firm in
Jamaica.

Digicel Jamaica's Business Sales Head Chris Hayman commented to Telematics
Journal, "Digicel Vehicle Tracking is an innovative business solution that
will help fleet management companies significantly improve the management
of their small, medium and large fleets and reduce associated costs with
the time spent on tracking their fleets.  The new system will be an
integral part of Digicel Business solutions for mobile work forces, which
also offers our Push to Talk and Closed User Groups business services."

KingAlarm's Managing Director John P. Azar told Telematics Journal that
the "vehicle tracking system delivers several security enhanced features."
He said, "We are delighted to enter this partnership with Digicel and
will place significant emphasis on protecting property through our Stolen
Vehicle Recovery Systems, and protecting life via the monitoring of Panic
Buttons, which can be discreetly and strategically mounted in each
vehicle."

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

                        *     *     *

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

Digicel Group Ltd.

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

Digicel Ltd.

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

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

Digicel International Finance Ltd.

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

Fitch said the outlook on all ratings was stable.


DYOLL INSURANCE: Sends Payment for Distribution to Farmers
----------------------------------------------------------
Cheques have been sent to regional companies for distribution to coffee
farmers owed by the Dyoll Insurance, Radio Jamaica reports, citing the
Coffee Growers associated head Derrick Simon.

Mr. Simon told Radio Jamaica that the firms will be distributing the
payments to coffee farmers who incurred losses from Hurrican Ivan this
week.

The payments are the 55% balance to farmers who already received part of
the insurance compensation, Radio Jamaica notes, citing Mr. Simon.
Jamaican Agriculture Minister Roger Clarke had intervened on behalf of
some farmers whose crops weren't insured "under the scheme."  These
farmers will get paid at another time.

The Coffee Industry Board would make a statement on the issue soon, 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: Says Lack of Water Due to Pipe System Problems
--------------------------------------------------------------
The National Water Commission is saying that it has failed to supply water
in several communities due to problems in its systems and the large break
on a main pipe, Radio Jamaica reports.

Residents in sections of St. Andrew and St. Catherine have called Radio
Jamaica to air out complaints on the lack of water since Saturday.

The National Water's Corporate Public Relations Manager Charles Buchanan
explained to RJR News Centre that "there is a broken main in St. Andrew."

Residents in sections of St. Catherine didn't get their regular supply of
water over the weekend.  However, the electrical problems at Tulloch
Springs and Eastern Head Works have been resolved.  Affected clients
should see full service being gradually restored, Radio Jamaica states,
citing Mr. Buchanan.

                        *     *     *

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




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


BALLY TOTAL: Noteholders Sign Restructuring Support Agreement
-------------------------------------------------------------
Bally Total Fitness' holders of a majority of the company's
10-1/2% Senior Notes due 2011 and more than 80% of its 9-7/8% Senior
Subordinated Notes due 2007 have entered into a Restructuring Support
Agreement whereby they agreed, following receipt of a disclosure
statement, to vote in favor of a plan of reorganization containing the
terms set forth in that agreement.  Importantly, the Plan will further
enhance the company's liquidity by increasing the rights offering to US$90
million and by allowing the company to retain the cash which would have
been used for the July 15, 2007 interest payment due on the Senior Notes.
With its Restructuring Support Agreement in place, the company believes it
has sufficient support from its noteholders to proceed to implement the
Plan through appropriate bankruptcy proceedings and expects to make its
Chapter 11 filing in the near future.  The company plans to continue
normal club operations during the pendency of the anticipated bankruptcy
case and will seek to emerge from bankruptcy as quickly as possible.

Don R. Kornstein, Interim chairman and Chief Restructuring Officer,
stated, "We are pleased to have such strong support for the Plan from both
our senior and senior subordinated noteholders.  The Restructuring Support
Agreement will enable us to expedite our work on restoring the strength of
our balance sheet in the shortest time possible, and positioning Bally
Total Fitness to compete over the long term.  We look forward to emerging
from bankruptcy with a greater ability to invest in and continue upgrading
our fitness centers and to focus on building the Bally brand."

As described in greater detail in the Restructuring Support Agreement, the
Plan will provide that:

   -- The Senior Notes will be modified, including an increase
      in the annual interest rate to 12-3/8% effective from
      July 16, 2007.  The cash interest payment on the Senior
      Notes due July 15, 2007, will not be made.  Upon
      effectiveness of the Plan, the new principal amount of
      the outstanding Senior Notes will be US$247,337,500, with
      the increase distributed pro rata to the holders of the
      Senior Notes.  The maturity and guarantees of the Senior
      Notes would remain the same.  Upon effectiveness of the
      Plan, holders of the Senior Notes would receive a fee
      equal to 2% of the face value of their notes on the date
      of the filing of the chapter 11 cases.

   -- The Senior Note Indenture would be amended to provide the
      holders with a "silent" second lien on substantially all
      assets of the Company and the subsidiary guarantors.
      Under the amended Senior Note Indenture, the Company would
      have a permitted debt basket for the senior credit
      facility of US$292 million, with a reduction for proceeds
      of asset sales completed after June 15, 2007, that are
      used to permanently pay down indebtedness under its senior
      credit facilities and are not reinvested in replacement
      assets within 360 days after the applicable asset sale.
      The Senior Note Indenture will also permit Bally to issue
      after emergence from bankruptcy and in addition to the
      securities referred to below, an additional US$90 million
      of pay-in-kind senior subordinated notes.  The amended
      Senior Note Indenture also increases by US$50 million to a
      total of US$100 million the permitted debt basket for
      purchase money indebtedness and capital leases (with a
      US$50 million capital lease sublimit).  The optional
      redemption schedule in the Senior Notes would be amended
      to permit the Company to redeem the Senior Notes prior to
      July 15, 2008, at a T+50 make whole premium (including all
      interest due and payable through July 15, 2008) based
      upon a redemption on July 15, 2008, at 106.25%; and
      thereafter 25% until July 14, 2009; at 102.50% until
      July 14, 2010; and at 100% after July 14, 2010.  The
      amended Senior Note Indenture would eliminate any
      requirement for filing of SEC reports, but would
      require the company to provide to investors and
      prospective investors SEC equivalent audited annual and
      unaudited quarterly financials, including MD&A and
      footnotes, and 8-K reportable events.

   -- Consistent with the terms of the previously announced
      restructuring proposal, holders of Senior Subordinated
      Notes would receive, in exchange for their claims, new
      subordinated notes in the principal amount of US$150
      million, representing 50% of the principal amount of
      their claims, and shares of common stock representing 100%
      of the equity in the reorganized company (subject to
      reduction for common stock to be issued to holders of
      certain other claims).  The New Subordinated Notes would
      mature five years and nine months after the effective date
      of the Plan and would bear interest payable annually at
      13-5/8% per annum if paid in kind or 12% per annum if paid
      in cash, at the Company's option, subject to satisfaction
      of a toggle covenant based on specified cash EBITDA and
      minimum liquidity thresholds.

   -- In addition, the holders of Senior Subordinated Notes
      Would receive non-detachable rights to participate in a
      US$90 million rights offering of new senior subordinated
      notes.  The Rights Offering Senior Subordinated Notes rank
      senior to the New Subordinated Notes but otherwise have
      the same terms.

   -- Holders of certain other claims against the company will
      be given the opportunity to participate in the rights
      offering, which, if exercised, would generate incremental
      proceeds beyond the US$90 million to be funded by
      electing Senior Subordinated Noteholders.

   -- As previously announced, the Company and its subsidiaries
      may reject selected leases and other contracts in the
      bankruptcy.

   -- All existing equity would be canceled for no
      consideration.

   -- Effectiveness of the Plan is conditioned upon, among other
      things, the company having filed its Annual Report on Form
      10-K for the year ended Dec. 31, 2006.

A copy of the Restructuring Support Agreement will be included as an
exhibit to a Current Report on Form 8-K that the company will file with
the U.S. Securities and Exchange Commission.

Tennenbaum Capital Partners, LLC and Anschutz Investment Company, through
certain of their affiliates, and Goldman Sachs & Co., who collectively
hold more than 80% of the Senior Subordinated Notes, have agreed in
principle to subscribe for their pro rata share of the Rights Offering
Senior Subordinated Notes and to purchase any Rights Offering Senior
Subordinated Notes not subscribed for by other holders of Senior
Subordinated Notes.  As a result of these backstop provisions, the Company
will be assured of having US$90 million in additional cash availability
upon the effectiveness of the Plan.

As previously announced, Houlihan Lokey Howard & Zukin Capital acts as
financial advisor and Akin Gump Strauss Hauer & Feld, LLP is counsel to
the Ad Hoc Committee of Senior and Senior Subordinated Noteholders.
Holders of the Senior and Senior Subordinated Notes should contact
Houlihan Lokey with any questions regarding the transaction.

                    About Bally Total Fitness

Based in Chicago, Illinois, Bally Total Fitness Holding Corp.
(NYSE: BFT) -- http://www.Ballyfitness.com/-- is a commercial
operator of fitness centers in the U.S., with over 375
facilities located in 26 states, Mexico, Canada, Korea, China
and the Caribbean under the Bally Total Fitness(R), Bally Sports Clubs(R)
and Sports Clubs of Canada (R) brands.  Bally offers a unique platform for
distribution of a wide range of products and services targeted to active,
fitness-conscious adult consumers.

                          *     *     *

As reported in the Troubled Company Reporter on June 4, 2007,
Bally Total Fitness reached an agreement in principle on the
proposed terms of a consensual restructuring with certain
holders of over 80% in amount of its 9-7/8% Senior Subordinated
Notes due 2007.  The company plans to implement the proposed
restructuring through a pre-packaged Chapter 11 bankruptcy
filing of the parent company, Bally Total Fitness Holding
Corporation, and certain of its subsidiaries.


CEMEX SAB: Expects US$810 Mil. Operating Income in 2nd Quarter
--------------------------------------------------------------
CEMEX, S.A.B. de C.V. expects EBITDA for the quarter ending June 30, 2007,
to be about US$1.120 billion, a decrease of about 2% versus the same
period last year, while operating income is expected to be close to US$810
million, 6% lower than the same period a year ago.  CEMEX expects sales in
excess of US$4.9 billion, an increase of around 6% versus the same period
a year ago.  For the first six months of the year, CEMEX expects EBITDA of
about US$2.010 billion, while revenue is expected at close to US$9.4
billion, a growth of 2% and 9% respectively.

Rodrigo Trevino, CEMEX’s Chief Financial Officer, said: “The results for
the quarter reflect the ongoing correction in the residential sector in
the United States, which is partially mitigated by a strong operating
performance in most of our other markets.  We continue with our cautious
optimism for 2007 and, on balance, we are encouraged by the favorable
supply-demand dynamics present in most of our markets.  We expect to
deliver EBITDA of about US$4.3 billion in 2007 and free cash flow after
maintenance capital expenditures of about US$2.7 billion.  We are very
pleased with having a more than 50% interest in Rinker tendered in
response to our offer during the quarter, and look forward to the
integration of Rinker’s operations.  Rinker will enhance our position as
one of the world’s largest building materials companies, reduce our
cash-flow volatility, and lower our cost of capital.  We reaffirm our
confidence and optimism in the future of CEMEX and continue to execute our
strategy of creating value for our shareholders.”

Cement and ready-mix volumes for CEMEX’s operations in Mexico are expected
to increase about 3% and 10%, respectively, during the second quarter
versus the same period last year.  For the first six months of the year
volumes are expected to increase about 4% and 11%, respectively, versus
the same period of last year.  Cement volumes continue to be driven by
infrastructure demand and a strong formal residential sector.  Given this
performance in volumes for the first half of the year, the company
continues to expect domestic cement volume in Mexico to grow in excess of
4% for the full year 2007.

During the second quarter, CEMEX expects domestic cement and ready-mix
sales volumes in the United States to decrease about 11% and 22%,
respectively, versus the same period last year.  For the first six months
of 2007, cement volumes are expected to decrease about 14% while ready-mix
volumes are expected to decrease about 23% versus the same period in 2006.
The main drivers of demand in the United States continue to be the
industrial-and-commercial and public sectors.  The correction in the
residential sector continues, and the company now expects a weaker demand
from this segment during the year.  Accordingly, the company now expects
cement sales volumes for 2007 to decrease close to 4% versus the
comparable period in 2006.

In its operations in Spain, cement volumes for the second quarter are
expected to decrease about 5% versus the same quarter last year.
Ready-mix volumes are expected to decrease about 7% during the second
quarter versus the comparable period of 2006.  For the first six months of
2007, cement volumes are expected to decrease about 2% while ready-mix
volumes are expected to decrease about 4% versus the same period in 2006.
Adverse weather conditions in many regions of the country affected cement
consumption during the quarter.  Infrastructure spending continues to be
an important driver of cement consumption in the country; however, the
termination of major projects earlier this year, in anticipation of local
and municipal elections held in May, affected cement consumption during
the quarter.  Given the performance in cement volumes for the first half
of the year, the company now expects cement volume growth in Spain to be
about 1% for the full year 2007, roughly in line with market conditions.

Cement volumes for CEMEX’s operations in the United Kingdom are expected
to increase about 20% during the second quarter versus the comparable
period of last year.  Ready-mix volumes are expected to decrease about 4%
during the second quarter versus the same period of 2006. For the first
six months of the year, cement volumes are expected to increase about 12%
and ready-mix volumes are expected to decrease about 4% versus the same
period in 2006.  The industrial, commercial, and public housing sectors
continue to drive cement volumes in the United Kingdom.  As the company
has been operating at full capacity levels in its Rugby plant, comparisons
are favorable to second quarter 2006, when the company was implementing
some enhancements that translated to lower production levels.  The company
now expects cement volumes for the year to increase around 7%.

Guidance numbers are calculated on the basis of market close exchange
rates as of June 15, 2007.  Given the volatility of foreign exchange rates
and the increased exposure of its operations to factors beyond our
control, our actual results could be materially different from our
indicative guidance.

CEMEX SA -- http://www.CEMEX.com/ -- is a growing global
building solutions company that provides high quality products
and reliable service to customers and communities in more than
50 countries throughout the world. Commemorating its 100th
anniversary in 2006, CEMEX has a rich history of improving the
well-being of those it serves through its efforts to pursue
innovative industry solutions and efficiency advancements and
to promote a sustainable future.

                        *     *     *

On May 30, 2005, Moody's Investors Service revised the
ratings outlook on Cemex S.A. de C.V.'s Ba1 ratings to positive
from stable.  Ratings affected include the company's Ba1 ratings on
approximately US$110 million in senior unsecured Euro notes and its senior
implied rating.|


CORPORACION GEO: S&P Assigns BB Long-Term Corp. Credit Rating
-------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'BB' long-term corporate
credit rating and its 'mxA/mxA-2' national scale rating (CaVal) on
Corporacion Geo S.A.B. de C.V. on CreditWatch with negative implications.

The rating agency also placed its 'mxA/mxA-2' national scale rating on the
company's debt obligations issued in the local market on CreditWatch
Negative.

"The rating action is based on the company's unexpected aggressiveness
regarding its financial policy and accounting practices," said Standard &
Poor's credit analyst Laura Martinez.  The aforementioned is reflected in
the disclosure of restricted cash balances and contingent financial
obligations
that led to restatement of the group's audited financial statements and
interim financial statements for the year ended Dec. 31, 2006, and
third-quarter 2006.  The CreditWatch listing will be resolved after the
company's liquidity, corporate governance, and risk tolerance policies are
reevaluated as part of a full review of the issuer's operating and
financial prospects. If the corporate credit ratings are lowered, it would
be limited to one notch.

To date, the ratings on Geo reflects:

   * its position as one of the largest homebuilders in Mexico;
     its nationwide presence;

   * its increased participation in the economic, middle-income,
     and residential housing segments; and

   * its  adequate liquidity.

The ratings also reflect:

   * its aggressive growth plans in a competitive environment,

   * intense working capital requirements, the concentration of
     mortgage origination in the public housing agencies,

   * the inherent cyclicality of the construction industry, and

   * relatively high financial costs for the Mexican
     homebuilding industry.

Headquartered in Mexico, Corporacion Geo, S.A. de C.V. --
http://www.casasgeo.comor http://www.g-homes.com.mx--
specializes in the construction of affordable low-income
housing.


CONTINENTAL AIRLINES: Partners with China Southern Airlines
-----------------------------------------------------------
Continental Airlines and China Southern Airlines, the largest airline in
the People's Republic of China, have entered into a strategic partnership
for frequent flyer and airport lounge access reciprocity and extensive
codesharing, providing better service to customers who travel between the
U.S. and China and transfer between the two carriers.

"As we look to build upon our successful service to China, we are honored
to partner with China Southern. Our customers will appreciate the benefits
of this new agreement," said Larry Kellner, chairman and chief executive
officer of Continental Airlines.  "China Southern is the right partner for
us in China and we look forward to welcoming them into the SkyTeam
alliance in the very near future."

"As an industry leader, Continental Airlines' cooperation with China
Southern will significantly increase China Southern's market share on
cross-Pacific and the U.S. domestic market," said China Southern Chairman
Liu Shao Yong.

Beginning in September, members of the two airlines' frequent flyer
programs, Continental's OnePass and China Southern's Sky Pearl Club, will
be able to earn and redeem miles on all flights marketed and operated by
the other carrier.  Reciprocal airport lounge access for eligible
customers will also begin when China Southern joins SkyTeam.

In November, the carriers plan to begin codesharing. Continental will
place its code (CO) on China Southern flights connecting to Continental's
daily flight between New York and Beijing and on China Southern's flights
between Guangzhou and Los Angeles. At the same time, China Southern will
place its code on Continental flights connecting with China Southern at
Los Angeles.

Continental and China Southern customers traveling on connecting
itineraries will be able to have single check-in for all flights,
including the issuance of electronic tickets, boarding passes and checked
baggage to their final destination.

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

                        *     *     *

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

Upgrades:

  Issuer: Cleveland (City of) Ohio

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

  Issuer: Continental Airlines Finance Trust II

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

  Issuer: Continental Airlines, Inc.

     -- Corporate Family Rating, Upgraded to B2 from B3

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

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

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

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

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

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

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

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

  Issuer: Hawaii Department of Transportation

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

  Issuer: Houston (City of) Texas

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

  Issuer: New Jersey Economic Development Authority

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

  Issuer: Port Authority of New York and New Jersey

     -- Revenue Bonds, Upgraded to B3 from Caa1


SENSATA TECH: Moody's Affirms Ratings; Change Outlook to Neg.
-------------------------------------------------------------
Moody's Investors Service affirmed the ratings of Sensata Technologies
B.V., but changed the outlook to negative from stable following the
company's recent announcement that it intends to acquire Airpax Holdings,
Inc. for US$276 million.  The company's Speculative Grade Liquidity rating
of SGL-2 is unchanged.

Sensata's B2 corporate family rating reflects its strong competitive
position, long-standing customer relationships, significant barriers to
competitive entry, and stable free cash flow generation.  The company
continues to benefit from the favorable trends in increased sensor content
per unit for many of its customers' products.  Yet, these strengths are
balanced against the company's high leverage.  For 2006 adjusted
debt/revenues was almost 200%.  The proposed acquisition will increase the
company's debt levels.  Sensata's increasing levels of debt and cash
interest payments could stress its credit metrics and hinder the company's
financial flexibility in a downturn.

The negative outlook reflects Sensata's recent announcement that the
company is acquiring Airpax, which will be financed predominately with
debt.  Sensata's decision to acquire Airpax is a departure from Moody's
expectations incorporated into the existing B2 corporate family rating,
which included small to modest acquisitions.  The Airpax acquisition
indicates a more aggressive financial strategy in which Sensata is open to
relatively large transactions that adds significantly more incremental
debt while increasing the company's overall leverage.  Furthermore,
Sensata must contend with integrating a sizeable company in addition to
its previous acquisitions while operating as a stand-alone entity.
Additionally, mitigating material weaknesses identified by management in
order to comply with SEC filing requirements adds additional uncertainty.

Sensata plans to acquire Airpax Holdings, Inc. for US$276 million
including fees and expenses.  Sensata may use a portion of its cash hand
for the acquisition.  Airpax designs and manufactures magnetic circuit
breakers and electronic monitoring and control systems.  Airpax will
expand Sensata's end market diversity within its controls business by
allowing the company to compete more effectively in the
telecommunications, military and aerospace industries.

These ratings/assessments were affected by this action:

   -- Corporate Family Rating affirmed at B2;

   -- Probability-of-default rating affirmed at B2;

   -- Senior secured bank credit facility affirmed at B1 (LGD3,
      33%);

   -- Senior unsecured affirmed at Caa1 (LGD5, 82%); and,

   -- Senior subordinate affirmed at Caa1 (LGD6, 93%).

The company's speculative grade liquidity of SGL-2 is unchanged.

                 About Sensata Technologies

Headquartered in Attleboro, Massachusetts, Sensata Technologies
B.V. -- http://www.sensata.com/-- designs and manufactures
sensors and controls across a range of markets and applications.  Sensata
has business and technology development centers in Attleboro,
Massachusetts, Holland and Japan and manufacturing operations in Brazil,
China, Korea, Malaysia, and Mexico, as well as sales offices around the
world.  Sensata Technologies employs approximately 5,400 people
world-wide.

                        *     *     *

As reported in the Troubled Company Reporter on Dec. 11, 2006,
Moody's Investors Service affirmed Sensata Technologies B.V.'s
B2 corporate family and probability of default ratings.

Moody's rating affirmation pertains to Sensata's pending
acquisition of First Technology Automotive and Special Products
from Honeywell and its subsequent financing via a US$95 million
add-on to Sensata's existing senior secured Term Loan B.

Moody's said the rating outlook remains stable.




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


* PANAMA: Inks Free Trade Accord with Honduras
----------------------------------------------
Panamanian President Martin Torrijos and his Honduran counterpart, Manuel
Zelaya, will ink Friday a free trade agreement after concluding
negotiations last month, Prensa Latina reports.

The pact will replace a preferential exchange agreement signed in 1973,
and allow Panama to open its market to 83.5% of Honduran products, under
equal terms,  Honduran Deputy Foreign Minister Enrique Reina told Prensa
Latina.

                        *     *     *

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.


* PANAMA: Qatar & Occidental Refinery to Cost US$7 Billion
----------------------------------------------------------
Qatar Petroleum Corp. and Occidental Petroleum Corp.'s planned
refinery in Panama is to estimated to cost US$7 billion,
according to a report from Insidecostarica.com.  The plant will
be capable of refining up to 350,000 barrels of crude daily.

The project, inked May 15 among Qatar Petroleum, Occidental
Petroleum and the Panamanian government, is part of the Qatar's
state oil firm's US$20-billion foreign projects, the same
report says, citing Chairman Abdullah Bin Hamad al-Attiyah.

Qatar, owner of the world's largest single natural-gas field,
has a us$130 billion, eight-year investment program in oil,
gas, education and health.

                        *     *     *

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 E R U
=======


PETROLEO BRASILEIRO: Unit Wants to Boost Presence in Peru
---------------------------------------------------------
Rebecca Howard at Dow Jones Newswires reports that a unit of Brazilian
state-owned oil company Petroleo Brasileiro SA seeks to increase its
presence Peru through a wide range of investments.

Dow Jones notes that investments the unit wants include those for:

          -- improvement of crude oil production at block X,
          -- drilling for natural gas, and
          -- a petrochemical project.

PedroGrijalba, the general manager of Petroleo Brasileiro's unit,
explained to Dow jones that the company will invest some US$117 million in
Peru this year.

Dow Jones notes that of the US$117-million investment, at least US$95
million will be allocated for drilling 104 wells for the improvement of
production at block X.  The field first started producing in 1914.  It now
produces an average 13,300 barrels of oil daily.

Block X is a mature, depleted field that needs intense effort. Petroleo
Brasileiro's unit wants to produce 18,000 barrels per day on block X, Dow
Jones reports, citing Mr. Grijalba.

Mr. Grijalba commented to Dow Jones, "By the end of the year we should
reach around 14,000 barrels a day."

Petroleo Brasileiro's unit would drill a similar number of wells next
year.  It would also invest the same amount of money.  It hopes to produce
an average 15,000 barrels per day by the end of 2008, Dow Jones says,
citing Mr. Grijalba.

Petroleo Brasileiro has a total of four exploration and production
contracts in Peru.  The company submitted its environmental impact study
in May 2007 for block 58 and is waiting for government authorization,
according to Dow Jones.

Mr. Grijalba told Dow Jones that he expects that drilling will start in
2008 or 2009 as the river is only high enough to transport the needed
equipment to the block between December and March.  The study will likely
be ratified in October or November this year, which won't give Petroleo
Brasileiro sufficient time to organize drilling for 2007.

Mr. Grijalba said that Petroleo Brasileiro is studying data and beginning
studies required for the environmental impact study for block 110, Dow
Jones notes.  According to him, an environmental study takes 18 to 24
months.

The report says that Petroleo Brasileiro has a contract for block 112 and
block 117.  The firm also has a stake in block 57.

Equipment has been set up and drilling would start any time, Dow Jones
says, citing Mr. Grijalba.  He said, "We will have results by the end of
the year."

Dow Jones adds that Petroleo Brasileiro is evaluating seisic data for
block 103 to define the drilling schedule.  The firm is also in the
process of conducting a technical evaluation in partnership with Peruvian
state-run oil firm Petroperu for six blocks in the country's north.

Petroleo Brasileiro is open to participating in a round of bidding for 19
new blocks that the government is promoting, Mr. Grijalba told Dow Jones.
He said, "We are evaluating the feasibility."

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.


* PERU: Gov't Agency Sues Telmex for Alleged Cemetery Damage
------------------------------------------------------------
The National Institute of Culture -- a Peruvian government agency in the
department of Ica, where a burial site is situated -- told the Associated
Press that it has filed a complaint against Telefonos de Mexico SA, aka
Telmex, for allegedly damaging part of a large pre-Incan cemetery while
laying its fiber-optic cable.

Telmex allegedly damaged some 720 square feet of the Paracas culture's
site, "including the funeral wraps of 2,000-year-old mummies," the AP
notes, citing local officials.

The National Institute's director Alfredo Gonzalez told the AP that the
agency is seeking monetary compensation or an arrangement like public
works for the archaeological area from Telmex.

Telmex had been permitted by the institute to set up the cable in the
area.  However, no further details about the work was available, the AP
states.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
March 2, 2007, Standard & Poor's Ratings Services assigned its
'BB+' foreign currency credit rating to the Republic of Peru's
(BB+/Stable/B foreign, BBB-/Stable/A-3 local currency sovereign
credit ratings) US$1.24 billion global bond due in 2037 issued
as part of a new liability management operation




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


CELESTICA INC: Brings-In Paul Nicoletti as Exec. VP & CFO
---------------------------------------------------------
Celestica Inc. has appointed Paul Nicoletti as Executive Vice President
and Chief Financial Officer, effective immediately.

Mr. Nicoletti has been acting Chief Financial Officer since March 28,
2007, when Tony Puppi retired from the position.

Commenting on the appointment, Craig Muhlhauser, Chief Executive Officer,
Celestica said: "As part of the process to name a new Chief Financial
Officer, we conducted a thorough review of internal and external
candidates.  It became clear that Paul is the ideal candidate for the
role.  He has proven himself to be a key member of Celestica's leadership
team, has in-depth knowledge of our company and the EMS industry and has
expertise in all areas of financial operations.  I look forward to working
closely with Paul as we focus on our gameplan to turn Celestica around and
deliver appropriate value to our customers and shareholders."

Mr. Nicoletti has been with Celestica since the company's inception in
roles of increasing responsibility.  His most recent role was Senior Vice
President, Finance, responsible for all aspects of Celestica's global
financial operations, segment financial reporting, strategic pricing and
tax matters.  Prior to that, he was the Vice President of Global Financial
Operations.  Mr. Nicoletti holds a Bachelor of Arts degree from the
University of Western Ontario and a Master of Business Administration
degree from the Schulich School of Business at York University.

Celestica Inc. -- http://www.celestica.com/-- (NYSE:CLS) provides
innovative electronics manufacturing services.  Through its global
manufacturing and supply chain network, the company delivers competitive
advantage to companies in the computing, communications, consumer,
industrial, and aerospace and defense end markets.  Celestica operates a
highly sophisticated global manufacturing network with operations in
Brazil, China, Ireland, Italy, Japan, Malaysia, Philippines, Puerto Rico,
and the United Kingdom, among others.

                        *     *     *

As reported in the Troubled Company Reporter on May 4, 2007,
Moody's Investors Service downgraded Celestica Inc.'s corporate family
rating to B1 from Ba3 and the senior subordinated note ratings to B3 from
B2.  Simultaneously, Moody's lowered the company's speculative grade
liquidity rating to SGL-2 from
SGL-1.


GENESCO INC: Inks US$1.5 Billion Merger Pact with Finish Line
-------------------------------------------------------------
Genesco Inc.'s and The Finish Line, Inc.'s Boards of Directors of both
companies have unanimously approved a definitive merger agreement under
which The Finish Line will acquire all of the outstanding common shares of
Genesco for US$54.50 per share in cash.  The total transaction value is
approximately US$1.5 billion.  The offer price represents a premium of
37.7% over Genesco's three-month average undisturbed stock price ended
March 9, 2007.  The transaction is expected to be completed in Fall 2007.
The Finish Line expects the transaction to be accretive to its net income,
before consideration of incremental amortization resulting from the
transaction, in the first full year after closing.

The transaction enhances The Finish Line's position as a leading footwear
and apparel retailer.  With Genesco, The Finish Line will have strong
market positions across multiple footwear and apparel categories,
including athletic, sport casual, lifestyle, brown shoe and headwear.  The
combined company's portfolio of retail concepts will include Finish Line,
Man Alive and Paiva as well as Journeys, Journeys Kids, Shi by Journeys,
Underground Station, Jarman, Johnston & Murphy, Hat World, Lids, Hat
Shack, Hat Zone, Head Quarters, Cap Connection and Lids Kids.  In
addition, the
combined company's licensed and wholesale footwear and apparel business
will include Johnston & Murphy and licensed brands.

"This is a compelling strategic transaction that affords exciting
opportunities to our shareholders, business partners and employees," said
Alan H. Cohen, Chief Executive Officer of The Finish Line.  "With Genesco,
we will enhance our strength in athletics and gain an immediate presence
in new and growing retail categories to further diversify our business and
deepen our vendor relationships.  We believe the increased scale achieved
through our combination will better enable us to drive strong returns in
this competitive retail environment.

"We have great admiration for the Genesco team and their proven record of
identifying and capitalizing on new consumer trends.  Their long-term
success in operating under different retail banners and their
industry-leading merchandising strategies will strongly complement our own
initiatives," continued Mr. Cohen.  "The Finish Line and Genesco share a
heritage of superior service, dedication to employees and a culture of
creativity.  Through this combination, we ensure that these
characteristics that have long distinguished our companies will continue.
We welcome Genesco's management and employees to The Finish Line and are
confident that they will be an important part of the combined company's
success."

"Following a review of our strategic alternatives, we believe that this
combination is in the best interests of our shareholders.  We have long
admired The Finish Line's entrepreneurial spirit, and believe that
together we will be able to leverage the combined companies' scale and
talents," said Genesco's Chief Executive Officer, Hal N. Pennington.  "In
addition, Genesco and The Finish Line share similar philosophies that
promote a strong team culture and the spirit of creativity.  These value
systems, which have long distinguished our companies, will continue to
define the
next chapter of our history together."

Benefits of the Transaction:

   -- Increased Scale.  On a pro forma basis, the combined
      company had revenues of approximately US$2.8 billion,
      based on the twelve months trailing as of May 31, 2007.
      In addition, The Finish Line will have expanded platforms
      for future growth with 2,870 retail stores throughout the
      United States, Canada and Puerto Rico.

   -- New Growth Opportunities.  Already a leader in athletic
      footwear and apparel with its Finish Line stores, the
      transaction adds growing retail concepts to The Finish
      Line's portfolio.  These include Journeys, which offers
      the most trend-relevant footwear and accessories for young
      adults, Hat World, the leading mall-based retailer of the
      latest team and fashion headwear, and Johnston and Murphy,
      the premier lifestyle brand for men.  The Finish Line will
      also gain a presence in the growing branded and licensed
      wholesale business, as well as the recently launched
      concepts of Shi by Journeys and Lids Kids.

   -- Broad Portfolio of Retail Businesses.  As a result of the
      combined company's multiple retail concepts and more
      extensive product offerings across footwear and apparel
      categories, The Finish Line will be able to satisfy a
      wider spectrum of consumers and their needs.

   -- Cost Savings and Operational Efficiencies.  The
      Transaction is expected to generate approximately US$15
      million to US$20 million in annual cost savings beginning
      in the first full year of operations, including
      integration costs, from shared administrative services,
      increased scale in purchasing, marketing and advertising,
      and sourcing and logistics efficiencies.  This
      transaction is about growth, and The Finish Line does not
      expect significant changes to the workforce.

                         Financing

The Finish Line expects the transaction to be funded through a
combination of approximately US$11 million in cash on hand and up to
US$1.6 billion in financing pursuant to a commitment provided by UBS
Securities LLC, consisting of a Revolving Credit Facility, a Senior
Secured Term Loan and a Senior Bridge Facility.  Following the
transaction, The Finish Line believes its strong cash flow from operations
will allow it to reduce its net debt and fully fund its growth
initiatives.

                        Headquarters

Upon the close of the transaction, Genesco will become a subsidiary of The
Finish Line.  The Company will be headquartered in Indianapolis, Indiana
and will maintain Genesco's operations in Nashville, Tennessee.

                  Approvals And Closing Time

The transaction is subject to approval by Genesco shareholders and the
satisfaction of customary closing conditions and regulatory approvals,
including expiration or termination of the applicable waiting period under
the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended.  The
transaction is expected to close in Fall 2007 and is not subject to any
financing conditions.

                         Advisors

UBS Securities LLC served as financial advisor to the Board of
Directors of The Finish Line in connection with the transaction. Peter J.
Solomon Company also provided financial advisory services to the Finish
Line Board, and Gibson, Dunn & Crutcher LLP is legal counsel.  Goldman,
Sachs & Co. served as financial advisor to Genesco, and Bass, Berry & Sims
PLC is legal counsel.

                   About The Finish Line

The Finish Line, Inc. -- http://www.finishline.com/-- is a mall-based
specialty retailers operating under the Finish Line, Man Alive and Paiva
brand names.  The Finish Line, Inc. is publicly traded on the NASDAQ
Global Select Market under the symbol FINL.  The Company currently
operates 694 Finish Line stores in 47 states and online, 93 Man Alive
stores in 19 states, and 15 Paiva stores in 10 states and online.

                      About Genesco

Headquartered in Nashville, Tennessee, Genesco Inc. (NYSE: GCO)
-- http://www.genesco.com/-- is a specialty retailer of
footwear, headwear and accessories in more than 1,900 retail
stores in the U.S. and Canada, principally under the names
Journeys, Journeys Kidz, Shi by Journeys, Johnston & Murphy,
Underground Station, Hatworld, Lids, Hat Zone, Cap Factory, Head Quarters
and Cap Connection, and on Internet websites
http://www.journeys.com,http://www.journeyskidz.com/,
http://www.undergroundstation.com/,
http://www.johnstonmurphy.com/,http://www.lids.com/,
http://www.hatworld.com/and http://www.lidscyo.com/. The
company also sells footwear at wholesale under its Johnston &
Murphy brand and under the licensed Dockers.  As of
June 9, 2006, it operated a total of 1,773 stores: 1,755 stores
throughout the United States and Puerto Rico, and 18 stores in
Canada.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 24, 2007, Moody's Investors Service placed the ratings of
Genesco Inc. on review for possible downgrade following the
announcement by Foot Locker that it had made an unsolicited
proposal to purchase all of the outstanding shares of Genesco
for US$46 per share cash representing a total consideration of
approximately US$1.2 billion.

These ratings are placed on review for possible downgrade:

    * Corporate family rating of Ba3;
    * Probability of default rating of Ba3;
    * Convertible senior subordinated debentures of B1.

As reported in the Troubled Company Reporter-Latin America on
April 24, 2007, Standard & Poor's Ratings Services placed its
ratings, including the 'BB-' corporate credit rating, on
specialty footwear and headwear retailer Genesco Inc. on
CreditWatch with developing implications.  This rating action
follows the announcement that Foot Locker Inc.
(BB+/Watch Neg/--) has launched a bid to acquire Nashville,
Tennesse-based Genesco for US$1.2 billion.


MYLAN LAB: Paying US$0.06 Per Share Dividend on July 16
-------------------------------------------------------
Mylan Laboratories Inc. reported that the quarterly cash dividend of $0.06
per share will be payable on July 16, 2007, to shareholders of record at
the close of business on
June 29, 2007.

Mylan previously stated that in conjunction with the announced
acquisition of Merck KGaA's generic business, Mylan is suspending the
dividend on its common stock.  The suspension is effective immediately
following payment of this quarterly dividend.

                  About Mylan Laboratories

Mylan Laboratories Inc. (NYSE: MYL) -- http://www.mylan.com/-- is a
global pharmaceutical company with market leading positions in generic
pharmaceuticals, transdermal technology and unit dose packaged products.
Mylan operates through three principal subsidiaries: Mylan
Pharmaceuticals, a world leader in generic pharmaceuticals; Mylan
Technologies, the largest producer of generic and branded transdermal
patches for the U.S. market; and UDL Laboratories, the top U.S.-supplier
of unit dose pharmaceuticals.

Mylan also owns a controlling interest in Matrix Laboratories, one of the
world's premier suppliers of active pharmaceutical ingredients.  Mylan
also has a European platform through Docpharma, a Matrix subsidiary, which
is a marketer of branded generics in Europe.  The company also has a
production facility in Puerto Rico.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 16, 2007, Standard & Poor's Ratings Services said it lowered its
corporate credit and senior unsecured debt ratings on Mylan Laboratories
to 'BB+' from 'BBB-' and placed all the ratings on CreditWatch with
negative implications.

The actions come on the heels of the company's announcement that it is
acquiring Merck KGaA's generic business for EUR4.9 billion (US$6.7
billion) in an all-cash transaction.


STANDARD MOTOR: Moody's Lifts Corporate Family Rating to B2
-----------------------------------------------------------
Moody's Investors Service raised the ratings for Standard Motor Products,
Inc. to Corporate Family to B2 from B3, convertible subordinated
debentures to Caa1 from Caa2.  The rating outlook is stable.  The rating
action reflects Standard Motor's improved operating performance following
the completion of the integration of Dana Engine Management which was
acquired in July 2003.  The company's credit metrics also have been
supported on the top line by pricing increases and on the bottom line by
the cost benefit derived from increased outsourcing.  Standard Motor
Product's ratings also benefit under Moody's Auto Supplier Methodology
from its position as an aftermarket supplier and from its broad customer
diversification which should help support performance through industry
cycles.  The stable outlook recognizes Standard Motor's improved credit
metrics including positive free cash flow but considers that the company's
leverage and moderate growth trends are consistent with a mid-B rating
within Moody's Auto Supplier Methodology.  While continuing to operate in
a competitive environment, the company should maintain adequate liquidity
over the near-term.

These ratings were raised:

   -- Corporate Family and Probability of Default Ratings, to B2
      from B3

   -- US$90 million of 6.75% convertible subordinated debentures
      due July 2009 (not guaranteed by subsidiaries), to Caa1
      (LGD6 91%) from Caa2 (LGD6 91%)

The last rating action was Sept. 22, 2006 when the LGD Methodology was
applied.

For the last twelve months ended May 31, 2007, Standard Motor's total
debt/EBITDA leverage (using Moody's standard adjustments) was
approximately 5.7x. EBIT/interest coverage was about 1.8x.  Free cash flow
for the trailing twelve month period ending
May 31, 2007, was US$26 million.  At May 31, 2007, the company maintained
US$18 million in cash and had US$93 million available under its revolving
credit facility.

Factors that could favorably affect Standard Motor's outlook or rating
include an improved pricing environment and/or customer base enabling
improved profit margins, consistent improvement in liquidity, and
sustained free cash flow generation. Standard Motor must also favorably
address the maturity of its convertible notes.  Consideration for an
improved outlook or rating upgrade could arise if any combination of these
factors were to reduce leverage consistently under 4.5x.

Future events that could negatively affect Standard Motor's outlook or
rating include the loss of a significant customer, further pricing
pressures from original equipment servicers which reduce operating
performance, deterioration of liquidity, and material increases in the
dollar amount of asbestos settlements.  Consideration for lower ratings
could arise if any combination of these factors were to increase leverage
over 6.0x, reduce EBIT/Interest coverage below 1.5x, or cause sustained
deterioration in free cash flow generation.

Standard Motor Products Inc has more than 20 factories and
distribution centers throughout the U.S., Puerto Rico, Canada,
Europe and the Far East.  Lawrence I. Sills, grandson of the
company's founder, is the current chairman of the board and
chief executive officer, and John Gethin is president and chief
operating officer.




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


CMS ENERGY: Gets US$359.5 Mil. Tender Offer for 7.5% Sr. Notes
--------------------------------------------------------------
CMS Energy Corporation disclosed early tender results for its
previously announced offer to purchase for its 7.5% Senior Notes Due 2009
(CUSIP No. 125896 AH3).

As of 5:00 p.m., New York City time, on June 18, 2007, CMS had received
tenders for US$359.5 million in principal amount of the Notes representing
about 88% of the outstanding principal amount of the Notes.  Subject to
the conditions of consummating the Tender Offer, CMS will accept tenders
of all of the Tendered Notes.

Settlement for the early tender price of US$1,027.96 for each US$1,000.00
principal amount of Tendered Notes, including an
early tender payment of US$20.00, is expected to be on
July 3, 2007.  Settlement will also include payment of accrued and unpaid
interest on the Tendered Notes to, but not including, the Settlement Date.

The Tender Offer expires at 11:59 p.m., New York City time, on
July 2, 2007.  Holders who validly tender their Notes after the early
tender date but before the Expiration Date will be
entitled to receive only the tender price, which is the early tender price
less the early tender payment of US$20.00, plus accrued and unpaid
interest on Notes accepted in the Tender Offer to, but not including, the
Settlement Date.

The terms of the Tender Offer are described in CMS' Offer to Purchase
dated June 5, 2007.  CMS has engaged Morrow & Co., Inc. to act as
information agent in connection with the Tender Offer.  Requests for
copies of the Offer to Purchase and questions regarding the Tender Offer
may be directed to Morrow & Co., Inc. at 1(800) 607-0088 (US toll-free) or
1(203) 658-9400 (collect).  CMS has engaged Deutsche Bank Securities Inc.
to act as dealer manager in connection with the Tender Offer.  Questions
regarding the Tender Offer may be directed to Deutsche Bank Securities
Inc., Liability Management Group at 1(866)627-0391 (US toll-free) or
1(212)250-2955 (collect).

Based in Jackson, Michigan, CMS Energy Corporation is an electric and
natural gas utility, natural gas pipeline systems, and independent power
generation operator.  The company has offices in Venezuela.

                       *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 12, 2007, Moody's Investors Service upgraded the long-term ratings of
CMS Energy Corporation (senior unsecured to Ba1 from Ba3) and its
subsidiary Consumers Energy Company (senior secured to Baa1 from Baa2),
and revised the outlook of both companies to stable from positive.

The Corporate Family Rating, Probability of Default Rating and Speculative
Grade Liquidity rating for CMS have been withdrawn.  All loss given
default assessments, have also been withdrawn.

Moody's also assigned a rating of Baa1 to Consumers' US$500 million
amended and restated secured credit facility terminating in 2012, and a
rating of Baa3 to CMS' US$300 million amended and restated secured credit
facility terminating in 2012.


CMS ENERGY: Closes Unit's Sale to CPFL Energia for US$211.1 Mln
---------------------------------------------------------------
CMS Energy Corporation and its subsidiary, CMS Electric and
Gas, L.L.C., have closed the sale of CMS Energy Brasil S.A., the holding
company for a group of Brazilian electric distribution companies, and
related assets to CPFL Energia S.A., a Brazilian utility, for US$211.1
million.

Proceeds from the sale will be used to reduce debt at CMS Energy and
invest in CMS Energy's Michigan utility, Consumers Energy.

CMS Energy Brasil provides electric service to about 172,000 customers,
primarily in the state of Sao Paulo.  CMS Energy purchased a controlling
interest in CMS Energy Brasil in 1999.  It was CMS Enterprises' sole
business in Brazil.

Based in Jackson, Michigan, CMS Energy Corporation is an electric and
natural gas utility, natural gas pipeline systems, and independent power
generation operator.  The company has offices in Venezuela.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 12, 2007, Moody's Investors Service upgraded the long-term ratings of
CMS Energy Corporation (senior unsecured to Ba1 from Ba3) and its
subsidiary Consumers Energy Company (senior secured to Baa1 from Baa2),
and revised the outlook of both companies to stable from positive.

The Corporate Family Rating, Probability of Default Rating and Speculative
Grade Liquidity rating for CMS have been withdrawn.  All loss given
default assessments, have also been withdrawn.

Moody's also assigned a rating of Baa1 to Consumers' US$500 million
amended and restated secured credit facility terminating in 2012, and a
rating of Baa3 to CMS' US$300 million amended and restated secured credit
facility terminating in 2012.


PETROLEOS DE VENEZUELA: Gov. OKs Petrodelta Corporate Structure
---------------------------------------------------------------
The Venezuelan Official Gazette reports that the country's National
Assembly has authorized the corporate structure for Petrodelta, Venezuelan
state-run oil firm Petroleos de Venezuela SA's joint venture oil firm with
Harvest Natural Resources Inc.

According to the Official Gazette, Harvest Natural has a 40% stake in
Petrodelta, while Petroleos de Venezuela holds a 60% stake.

Dow Jones Newswires relates that Harvest Natural has been waiting for the
approval to "invoice oil sales dating back" to 2006.  The Venezuelan
government converted the private companies' 32 oil field contracts into 21
state-dominated joint ventures in 2006.  However, delays in the
authorization of the transfer contracts led to payment delays.

Petrodelta and Lagopetrol, which is another approved joint venture, are
the final two joint-venture firms that needed formal authorization,  Dow
Jones says, citing Petroleos de Venezuela SA's executives.

Dow Jones notes that with the authorizations, the new firms can start
having sales contracts with Petroleos de Venezuela.

Petroleos de Venezuela told Dow Jones that it will start paying out
accumulated dividends in June to partners affected in the contract
changes.

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

As reported on March 28, 2007, Standard & Poor's Ratings Services assigned
its 'BB-' senior unsecured long-term credit rating to Petroleos de
Venezuela S.A.'s US$2 billion notes due 2017, US$2 billion notes due 2027,
and US$1 billion notes due 2037.


PETROLEOS DE VENEZUELA: Unit's Delegation Goes to Belarus
---------------------------------------------------------
Representatives form gas firm PDVSA Gas, a unit of Venezuelan state-owned
oil company Petroleos de Venezuela SA, have visited Belarus to get
familiar with the nation's gasification, The National Center of Legal
Information of the Republic of Belarus reports.

PDVSA Gas' delegation will learn about servicing gas systems.  They will
also visit some firms in Belarus, The National Center notes.

Americo Diaz Nunez, the "Charge d’Affaires ad Interim" of Venezuela to
Belarus, told the Belarusian Telegraph Agency relates that the two parties
will discuss the participation of Belarus in the gasification of the
"Venezuelan settlements."  The town of Barinas in the North-West of
Venezuela will be the first to be gasified.

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

As reported on March 12, 2007, Standard & Poor's Ratings
Services raised its long-term foreign currency corporate credit
rating on Petroleos de Venezuela S.A. or PDVSA to 'BB-' from
'B+'.  S&P said the rating was removed from CreditWatch.


PETROLEOS DE VENEZUELA: Hugo Chavez Starts Up Thermozulia I
-----------------------------------------------------------
Venezuelan state-owned oil firm Petroleos de Venezuela SA said in a
statement that the country's President Hugo Chavez has started up the new
170-megawatt Thermozulia I combined cycle unit at the Rafael Urdaneta
thermo plant in Zulia.

Petroleos de Venezuela's statement says that Thermozulia I was funded by
the Venezuelan energy and oil ministry.  It was bult by Enerven.  It is
Venezuela's first combined cycle plant.

The new US$190-million unit would allow for electric generation autonomy
in Zulia without using fuel like diesel, Business News Americas relates,
citing Petroleos de Venezuela.

BNamericas notes that many thermo plants in Venezuela are using natural
gas from Colombia to fuel generation.  However, Venezuela would soon be
exporting natural gas as the country develops several natural gas
exploration and production projects.

Venezuela will also launce other new combined cycle plants in Zulia and
Sucre, Petroleos de Venezuela said in a statement.

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

As reported on March 28, 2007, Standard & Poor's Ratings Services assigned
its 'BB-' senior unsecured long-term credit rating to Petroleos de
Venezuela S.A.'s US$2 billion notes due 2017, US$2 billion notes due 2027,
and US$1 billion notes due 2037.


* VENEZUELA: Gov't Creates Corporacion Electrica Nacional
---------------------------------------------------------
Rafael Ramirez, Venezuelan Oil and energy minister and president of
state-run oil company Petroleos de Venezuela SA, said in a statement that
the government has formed national power firm Corporacion Electrica
Nacional.

According to the statement, Corporacion Electrica will launch about 176
projects in its first 100 days.  It will also invest over US$97 million.

Business News Americas relates that Corporacion Electrica is controlled by
the ministry.  The firm will assume control of the 14 power companies
within Venezuela including:

          -- Edelca,
          -- Electricidad de Caracas,
          -- Enelven,
          -- Enelco,
          -- Enelbar,
          -- Cadafe,
          -- Genevapca,
          -- Elebol,
          -- Eleval,
          -- Seneca,
          -- Enagen,
          -- Caley,
          -- Calife, and
          -- Turboven.

Minister Ramirez said in a statement that the government will reorganize
Venezuela into six distribution zones:

          -- northeast,
          -- Andean,
          -- north-central,
          -- central,
          -- east, and
          -- south.

The statement says that the government will set up a transition
period from 2007-10 to let Corporacion Electrica consolidate operations.

Venezuela has suffered from power outages in recent years while demand has
grown faster than predicted.  The nation's problems in the power sector
began because the 14 operating firms were involved in generation,
transmission and distribution, BNamericas states.

                       *     *     *

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


* IDB Partners with Bush Administration to Form New Loan Scheme
---------------------------------------------------------------
The Bush administration, in partnership with the Inter-American
Development Bank, is launching a loan program for small businesses in
Latin America that it hopes will expand economic opportunities and
energize economies in the region.

“Spreading economic opportunity within and between the nations of the
Americas is urgent and possible,” said Treasury Secretary Henry Paulson,
announcing the initiative June 12 at the Americas Competitiveness Forum in
Miami.

He said a key to reducing poverty and inequality is supporting
entrepreneurs. As a more powerful group, they in turn can pressure
governments to improve business conditions and governance, he added.

Mr. Paulson, a former chief executive of the Goldman Sachs investment
bank, consistently has promoted readily available financing and modern
financial markets as drivers of development and economic growth.

In Latin America, only one in 10 small enterprises has access to bank
loans or other forms of commercial lending, according to the Treasury
Department.  Banks shun small firms because they lack information on and
experience with such businesses.

And “lack of finance may mean the difference between success and failure,
growth or stagnation,” Mr. Paulson said.

He said the loan program will address major barriers to lending to small
businesses.

The U.S. Treasury and the IDB will provide technical assistance to help
local banks build expertise and capacity to assess the creditworthiness of
small companies.  In addition, US$150 million will be allocated by the
Overseas Private Investment Corporation to share financial risk with U.S.
and local banks lending to small enterprises.  OPIC is an independent U.S.
agency that provides loan guarantees to U.S. companies doing business in
developing and emerging markets.

Credits under US$100,000 denominated in local currencies will make up most
of the lending, according to a Treasury fact sheet.

Which countries benefit from the program will depend on several factors,
says an OPIC source, who did not want to be identified.

First, the fact that OPIC does not do business in certain countries
disqualifies nations such as Cuba and Venezuela from participating in the
program, the source told USINFO.

Second, no local bank will receive OPIC backing unless it has a U.S.
partner and unless the host country’s political and investment
environments are deemed sufficiently friendly by OPIC, according to the
source.

OPIC-supported loans or loan programs also must meet certain standards
related to human and workers’ rights and environmental conditions.

Banks that do not qualify for OPIC support may seek financing through an
investment arm of the IDB, according to the fact sheet.

The loan program also aims at improving regulation of small business
lending, according to U.S. officials.

“It is a big incentive to make the regulatory framework right,” the OPIC
source said.

Mr. Paulson said the administration hopes the loan program triggers more
widespread lending to entrepreneurs in Latin America.

“Once participating banks demonstrate that it is profitable to lend to
small businesses, competition will bring other banks into the market and
the need for ongoing assistance should diminish,” he said.

Mr. Paulson said similar programs in Central and Eastern Europe and former
Soviet republics in Central Asia generated more than US$12 billion in new
small business lending and helped transform financial sectors in those
regions.

In April, OPIC approved up to US$225 million in financing to enable
Citibank to expand its mortgage and residential construction lending aimed
at low- and middle-income sectors in 10 Latin American countries and
Pakistan.


                         ***********


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
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the publishers.

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

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