TCRLA_Public/070911.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

          Tuesday, September 11, 2007, Vol. 8, Issue 180

                          Headlines

A R G E N T I N A

AGENCIA DE INVESTIGACIONES: Claims Verification Ends on Oct. 31
AGINEL SRL: Proofs of Claim Verification Deadline Is Nov. 12
AVICOLA GUALEYAN: Proofs of Claim Verification Ends on Sept. 26
BARCUER SA: Proofs of Claim Verification Deadline Is Oct. 22
CASISCO CONSTRUCCIONES: Claims Verification Deadline Is Nov. 14

CERVATRAS SA: Proofs of Claim Verification Is Until Oct. 22
COOPERATIVA DE PROPIETARIOS: Claims Verification Ends on Nov. 5
MELICER SA: Proofs of Claim Verification Deadline Is Sept. 12
OCRAL SA: Proofs of Claim Verification Deadline Is Nov. 9
OLLEROS 1757: Proofs of Claim Verification Is Until Oct. 2

POLYMER GROUP: Names Gregory Crawford as North America Unit VP
TECNOCUER SA: Court Appoints Trustees for Reorganization
TELECOM ARGENTINA: Agency Studies Telefonica-Telecom Italia Deal
TELEFONICA DE ARGENTINA: Parent’s Telecom Italia Buy Under Study
TEXTIL UNO: Proofs of Claim Verification Deadline Is Sept. 12

* ARGENTINA: State Firm Gets Six Bids for Natural Gas Pipeline


B E R M U D A

ENDURANCE SPECIALTY: Will Acquire ARMtech Insurance Services
NORTH AMERICAN: Sets Final General Meeting for Friday
SCOTTISH RE: UBS Maintains Neutral Rating on Firm’s Shares


B R A Z I L

ARVINMERITOR INC: Closes 13 Plants to Initiate Restructuring
BANCO DAYCOVAL: Puts Buy Recommendation on Firm’s Shares
BANCO SANTADER: Lines Up ARS122-Million Securitization
BAUSCH & LOMB: Settles Merger-Related Shareholder Suits
BUCKEYE TECH: Earns US$30.1 Million in Year Ended June 30

FORD MOTOR: UAW Open to Health Care Trust Fund
GENERAL MOTORS: Expects Steady Sales Growth in Three Markets
GENERAL MOTORS: UAW Open to Health Care Trust Fund; Seeks Pact
JAPAN AIRLINES: To Sell Major Hangars to Repay Debts
NAVISTAR INT'L: S&P's BB- Corp. Rating Still on CreditWatch

SANYO ELECTRIC: Plans on Selling Appliance Unit

* BRAZIL: Credit Suisse Holds Outperform Rating on State Firm
* BRAZIL: Lehman Bros. Keeps Equal Weight Rating on State Firm
* BRAZIL: President Silva Promotes Biofuel in Nordic Countries


C A Y M A N   I S L A N D S

AHFP LUMEN: Proofs of Claim Filing Ends on Oct. 4
ANTHRACITE BALANCED: Sets Final Shareholders Meeting for Oct. 3
ANTHRACITE BALANCED CO: Final Shareholders Meeting Is on Oct. 3
BASIS YIELD: Liquidators' Motion for Cayman Process Recognition
BASIS YIELD: S&P Withdraws Fund Rating After Picking Liquidators

CAUSEWAY NATURAL: Proofs of Claim Filing Is Until Oct. 4
DIVI TIARA: Sells Off Bedroom Furniture
EUROPEAN FINANCIAL: Proofs of Claim Filing Deadline Is Oct. 4
GLOBAL MID-CAP: Proofs of Claim Must be Filed by Oct. 4
GLOBAL MID-CAP EQUITY: Proofs of Claim Filing Ends on Oct. 4

HARMONY LEASING: Proofs of Claim Filing Deadline Is Oct. 4
SUBMARINO.COM: Will Hold Final Shareholders Meeting on Oct. 3
SINGULAR FUND: Proofs of Claim Filing Ends on Sept. 13
TANZANITE FINANCE: Sets Final Shareholders Meeting for Oct. 3


C H I L E

BOSTON SCIENTIFIC: Board Elects Ray Elliot as Director
EASTMAN KODAK: Reports Reseller Agreement with Ricoh Americas
FONDO ESPERANZA: Feller Rate Puts BB- Rating on Firm
NOVA CHEMICALS: Paying CDN$0.10 Per Share Dividend on Nov. 15
SOCIEDAD DE INVERSIONES: Closes Share Capital Increase Placement


D O M I N I C A N   R E P U B L I C

AES DOMINICANA: Nat’l Council OKs Unit’s US$25-Mil. Bond Issue
CERVECERIA NACIONAL: Senior Notes Tender Offer Expires Sept. 12
GUESS? INC: Brean Murray Holds Buy Rating on Firm’s Shares
GUESS? INC: Deutsche Bank Maintains Buy Rating on Firm’s Shares


E C U A D O R

PETROECUADOR: In Search of Advisory Firm for Various Deals

* ECUADOR: Debt Payment Depends on Economic Growth
* ECUADOR: Investing US$721.7 Mil. in Oil & Electricity Projects
* ECUADOR: To Appoint Jaime Guerrero Ruiz as Conatel Head


M E X I C O

AMERICAN GREETINGS: Jeffrey Dunn Joins Board of Directors
BALLY TOTAL: Delays Second Quarter 2007 Financial Report Filing
EMPRESAS ICA: Wins La Yesca Construction Contract
GRUPO MEXICO: New Union Wants Good Relations with Mining Firms
HILLMAN GROUP: Paying US$0.241667 Cash Distribution on Oct. 1

RYERSON INC: Antitrust Act Waiting Period Expires Sept. 4
SANMINA-SCI CORP: Gets Lenders' Consent on Inter-Company Loans
SANMINA-SCI CORP: Names Joseph Bronson as President & COO
SANMINA-SCI CORP: Posts US$27.6MM Net Loss in Qtr. Ended June 30


P E R U

* PERU: In Talks with South Korea for Free Trade Accord


P U E R T O   R I C O

PEP BOYS: Promotes Messrs. Odell & Webb as COO & Sr. Vice Pres.


U R U G U A Y

SENSIENT TECH: Promotes Douglas Pepper as VP-Human Resources


V E N E Z U E L A

CHRYSLER LLC: Offers to Sell Non-Core Assets in UAW Talks
CHRYSLER LLC: UAW Open to Health Care Trust Fund; Seeks Pact
CHRYSLER LLC: US Sales Dip 6% to 168,203 Units in August 2007
PETROLEOS DE VENEZUELA: Earns US$5.45 Billion in 2006

* VENEZUELA: Alcasa Must Invest US$10 Mil. to Reactivate Plant
* VENEZUELA: State Firm Inks Aluminum Supply Pact with Fluorcid
* BOND PRICING: For the Week Sept. 3 to Sept. 7
* Large Companies with Insolvent Balance Sheets


                            - - - - -

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


AGENCIA DE INVESTIGACIONES: Claims Verification Ends on Oct. 31
---------------------------------------------------------------
Maria del Pilar Enriquez, the court-appointed trustee for Agencia de
Investigaciones Privadas Urquiza S.R.L.'s bankruptcy proceeding, verifies
creditors' proofs of claim until
Oct. 31, 2007.

Ms. Enriquez will present the validated claims in court as individual
reports on Dec. 12, 2007.  The National Commercial Court of First Instance
in Buenos Aires will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by Agencia de Investigaciones 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 Agencia de Investigaciones'
accounting and banking records will be submitted in court on March 17,
2008.

Ms. Enriquez is also in charge of administering Agencia de
Investigaciones' assets under court supervision and will take part in
their disposal to the extent established by law.

The debtor can be reached at:

       Agencia de Investigaciones Privadas Urquiza S.R.L.
       Lavalle 1607
       Buenos Aires, Argentina

The trustee can be reached at:

       Maria del Pilar Enriquez
       Lavalle 1607
       Buenos Aires, Argentina


AGINEL SRL: Proofs of Claim Verification Deadline Is Nov. 12
------------------------------------------------------------
Antonio E. Am, the court-appointed trustee for Aginel SRL's bankruptcy
proceeding, verifies creditors' proofs of claim until Nov. 12, 2007.

Mr. Am will present the validated claims in court as individual reports on
Dec. 27, 2007.  The National Commercial Court of First Instance in Cordoba
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 Aginel 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 Aginel's accounting and banking
records will be submitted in court on
March 27, 2008.

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

The debtor can be reached at:

       Aginel S.R.L.
       Napoles 3110, Bu Las Flores
       Ciudad de Cordoba, Cordoba
       Argentina

The trustee can be reached at:

       Antonio E. Am
       Avenida Velez Sarsfield 468
       Cordoba, Argentina


AVICOLA GUALEYAN: Proofs of Claim Verification Ends on Sept. 26
---------------------------------------------------------------
Antonio E. Am, the court-appointed trustee for Avicola Gualeyan S.R.L.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Sept. 26,
2007.

Mr. Am will present the validated claims in court as individual reports on
Dec. 27, 2007.  The National Commercial Court of First Instance in La
Plata, 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 Avicola Gualeyan 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 Avicola Gualeyan's accounting
and banking records will be submitted in court on March 27, 2008.

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

The debtor can be reached at:

       Avicola Gualeyan S.R.L.
       Calle 121, Numero 225
       La Plata, Buenos Aires

The trustee can be reached at:

       Carlos Daniel Gandini
       Calle 48, Numero 726
       La Plata, Buenos Aires


BARCUER SA: Proofs of Claim Verification Deadline Is Oct. 22
------------------------------------------------------------
Laura Garcia, the court-appointed trustee for Avicola Gualeyan S.R.L.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Oct. 22,
2007.

Ms. Garcia will present the validated claims in court as individual
reports on Dec. 4, 2007.  The National Commercial Court of First Instance
in La Plata, 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 Avicola Gualeyan 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 Avicola Gualeyan's accounting
and banking records will be submitted in court on Feb. 25, 2008.

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

The trustee can be reached at:

       Laura Garcia
       Simbron 3537
       Buenos Aires, Argentina


CASISCO CONSTRUCCIONES: Claims Verification Deadline Is Nov. 14
---------------------------------------------------------------
Casisco Construcciones S.R.L., the court-appointed trustee for Cooperativa
de Propietarios de Farmacias Para Su Provision Limitada's bankruptcy
proceeding, verifies creditors' proofs of claim until Nov. 14, 2007.

Mr. Cortes will present the validated claims in court as individual
reports.  The National Commercial Court of First Instance No. 15 in Buenos
Aires, with the assistance of Clerk No. 29, 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 Casisco Construcciones
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 Casisco Construcciones'
accounting and banking records will be submitted in court.

La Nacion didn’t state the reports submission deadlines.

Mr. Cortes is also in charge of administering Casisco Construcciones’
assets under court supervision and will take part in their disposal to the
extent established by law.

The debtor can be reached at:

          Casisco Construcciones S.R.L.
          Olaya 1062
          Buenos Aires, Argentina

The trustee can be reached at:

          Luis Alberto Cortes
          Avenida Cordoba 1646
          Buenos Aires, Argentina


CERVATRAS SA: Proofs of Claim Verification Is Until Oct. 22
-----------------------------------------------------------
Manuel Alberto Fada, the court-appointed trustee for Cervatras S.A.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Oct. 22,
2007.

Mr. Fada will present the validated claims in court as individual reports
on Dec. 4, 2007.  The National Commercial Court of First Instance in La
Plata, 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 Cervatras 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 Cervatras' accounting and
banking records will be submitted in court on
April 25, 2008.

Mr. Fada is also in charge of administering Cervatras’ assets under court
supervision and will take part in their disposal to the extent established
by law.

The debtor can be reached at:

          Cervatras S.A.
          Athaona 3642, Barrio Parque San Vicente
          Ciudad de Cordoba, Cordoba
          Argentina

The trustee can be reached at:

          Manuel Alberto Fada
          Avenida General Paz 108
          Cordoba, Argentina


COOPERATIVA DE PROPIETARIOS: Claims Verification Ends on Nov. 5
---------------------------------------------------------------
Alberto Ladaga, the court-appointed trustee for Cooperativa de
Propietarios de Farmacias Para Su Provision Limitada's bankruptcy
proceeding, verifies creditors' proofs of claim until Nov. 5, 2007.

Mr. Ladaga will present the validated claims in court as individual
reports on Dec. 17, 2007.  The National Commercial Court of First Instance
in Buenos Aires will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections and
challenges that will be raised by Cooperativa de Propietarios de Farmacias
Para Su Provision Limitada 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 Cooperativa de Propietarios'
accounting and banking records will be submitted in court on March 4,
2008.

Mr. Ladaga is also in charge of administering Cooperativa de Propietarios’
assets under court supervision and will take part in their disposal to the
extent established by law.

The trustee can be reached at:

          Alberto Ladaga
          Vidt 2039
          Buenos Aires, Argentina


MELICER SA: Proofs of Claim Verification Deadline Is Sept. 12
-------------------------------------------------------------
Norberto Alvarez, the court-appointed trustee for Melicer SA's
bankruptcy proceeding, verifies creditors' proofs of claim on
Sept. 12, 2007.

Mr. Alvarez will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 10 in Buenos Aires, with the assistance of Clerk
No. 19, 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 Melicer 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 Melicer's accounting
and banking records will be submitted in court.

La Nacion didn't state the reports submission deadlines.

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

The debtor can be reached at:

         Melicer SA
         Avenida La Plata 1112
         Buenos Aires, Argentina

The trustee can be reached at:

         Norberto Alvarez
         R. Pena 189
         Buenos Aires, Argentina


OCRAL SA: Proofs of Claim Verification Deadline Is Nov. 9
---------------------------------------------------------
Ernesto Garcia, the court-appointed trustee for Ocral S.A.'s bankruptcy
proceeding, verifies creditors' proofs of claim until Nov. 9, 2007.

Mr. Garcia 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 Ocral 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 Ocral's accounting and banking
records will be submitted in court.

La Nacion didn’t state the reports submission deadlines.

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

The debtor can be reached at:

          Ocral S.A.
          Quintino Bocayuva 753
          Buenos Aires, Argentina

The trustee can be reached at:

          Ernesto Garcia
          Sarmiento 1587
          Buenos Aires, Argentina


OLLEROS 1757: Proofs of Claim Verification Is Until Oct. 2
----------------------------------------------------------
Ana Calzada Percivale, the court-appointed trustee for Olleros 1757 S.A.'s
bankruptcy proceeding, verifies creditors' proofs of claim until Oct. 2,
2007.

Ms. Percivale 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. 42, 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 Olleros 1757 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 Olleros 1757's accounting and
banking records will be submitted in court.

La Nacion didn’t state the reports submission deadlines.

Ms. Percivale is also in charge of administering Olleros 1757’s assets
under court supervision and will take part in their disposal to the extent
established by law.

The debtor can be reached at:

          Olleros 1757 S.A.
          Olleros 1737
          Buenos Aires, Argentina

The trustee can be reached at:

          Ana Calzada Percivale
          Sarmiento 2437
          Buenos Aires, Argentina


POLYMER GROUP: Names Gregory Crawford as North America Unit VP
--------------------------------------------------------------
Polymer Group Inc. has named Gregory A. Crawford as Vice President,
General Manager of North America to lead the company's domestic growth.

Mr. Crawford joins the company at its Charlotte, North Carolina
headquarters from Nufarm Limited, a leading Australian manufacturer and
marketer of crop protection chemicals, where he was president of the
Americas region, responsible for business units in seven countries.
During his tenure with Nufarm, Mr. Crawford also served as president &
Chief Executive Officer of Nufarm Specialty Products and general manager
of Nufarm's Performance Chemical Division, headquartered in France.

Previously, Mr. Crawford was manufacturing manager at Merck
Pharmaceuticals and served as a submarine officer in the U.S. Navy.

Reporting to PGI's chief operating officer Mike Hale, Mr. Crawford is
responsible for growing the company's U.S. business through new product
development, capacity expansion, and continuing the company's commitment
to operational excellence.

"Greg's wide range of domestic and international experience will be a
great asset to PGI as we bring our business units closer together to drive
cost efficiency, share best practices, and optimize global customer and
supplier strategies," Mr. Hale said.

Mr. Crawford, who will be relocating to Charlotte, North Carolina from
Clarendon Hills, Illinois, holds a Bachelor of Science Degree in Chemical
Engineering from University of Notre Dame and a MBA from Duke University,
where he was a Fuqua Scholar.  He is also a graduate of the U.S. Navy
Nuclear Power School.

Polymer Group, Inc., -- http://www.polymergroupinc.com/-- (OTC Bulletin
Board: POLGA/POLGB) develops, manufactures and markets engineered
materials.  The company operates 22 manufacturing facilities in 10
countries throughout the world.  The company has manufacturing offices in
Argentina, China and France, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on Aug. 09,
2007, Standard & Poor's Ratings Services said that its 'B-' corporate
credit rating and other ratings on Intertape Polymer Group Inc. remain on
CreditWatch with negative implications, following the company's recent
announcement of a proposed rights issue of up to US$90 million.


TECNOCUER SA: Court Appoints Trustees for Reorganization
--------------------------------------------------------
The National Commercial Court of First Instance in Cordoba has appointed
Ana Simovich de Ballatore, Victor Bartolome Gioino and Jose Leonello
Bianchi as trustees for Tecnocuer S.A.’s reorganization proceeding.

The trustees will verify creditors' proofs of claim and present the
validated claims in court as individual reports.  They will also submit a
general report containing an audit of Tecnocuer's accounting and banking
records.

The trustee can be reached at:

          Ana Simovich de Ballatore
          Victor Bartolome Gioino
          Jose Leonello Bianchi
          27 de Abril 564, Ciudad de Cordoba
          Cordoba, Argentina


TELECOM ARGENTINA: Agency Studies Telefonica-Telecom Italia Deal
----------------------------------------------------------------
Published reports in Argentina say that the nation’s antitrust agency
Comision Nacional De Defensa De La Competencia is studying whether Spain's
Telefonica could influence decision in Telecom Argentina after purchasing
a stake in the company’s controlling shareholder Telecom Italia.

As reported in the Troubled Company Reporter-Latin America on Aug. 31,
2007, a consortium of Italian companies and Telefonica reached an accord
on April 28, 2007, to indirectly acquire a 23.6% controlling stake in
European operator Telecom Italia.
Telecom Italia owns 50% of Sofora, Telecom Argentina's controller.

Local investment group Grupo Werthein, Telecom Argentina's second biggest
shareholder, claimed that Telefonica would eventually have an impact on
Telecom Argentina.  Argentina's former communications minister Henoch
Aguiar said that Telefonica wouldn't be able to obtain control of Telecom
Argentina under the telecom legislation.  Telecom Argentina had also
assured that Telefonica wouldn’t be able to influence its board's
decisions.

A source told Business News Americas relates that the antitrust agency
conducted a preliminary probe on the matter in May 2007.

Meanwhile, Grupo Werthein is positive that Telefonica will use its access
to Telecom Italia's industry strategy to guarantee that any technological
improvements Telecom Argentina is planning would be deployed first by
Telefonica subsidiary Telefonica de Argentina, BNamericas states.

                     About Telefonica

Telefonica, S.A., together with its subsidiaries and investees
(Telefonica Group), operates mainly in the telecommunications,
media and entertainment industries.  The Telefonica Group is
also involved in the media and contact center activities through
investments in Telefonica de Contenidos and Atento.  The company
operates through three segments: Telefonica Spain, Telefonica
Europe and Telefonica Latin America.  Telefonica Spain oversees
the wireline and wireless telephony, broadband and data
businesses in Spain.  Telefonica Latin America oversees the same
businesses in Latin America.  Telefonica Europe oversees the
wireline, wireless, broadband and data businesses in the United
Kingdom, Germany, the Isle of Man, Ireland, the Czech Republic
and the Slovak Republic.

               About Telefonica de Argentina

Headquartered in Buenos Aires, Argentina, Telefonica de
Argentina SA -- http://www.telefonica.com.ar/-- provides
telecommunication services, which include telephony business
both in Spain and Latin America, mobile communications
businesses, directories and guides businesses, Internet, data
and corporate services, audiovisual production and broadcasting,
broadband and Business-to-Business e-commerce activities.

                   About Telecom Argentina

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

                        *     *     *

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


TELEFONICA DE ARGENTINA: Parent’s Telecom Italia Buy Under Study
----------------------------------------------------------------
Published reports in Argentina say that the nation’s antitrust agency
Comision Nacional De Defensa De La Competencia is studying whether
Telefonica de Argentina’s parent firm Telefonica could influence decision
in Telecom Argentina after purchasing a stake in the company’s controlling
shareholder Telecom Italia.

As reported in the Troubled Company Reporter-Latin America on Aug. 31,
2007, a consortium of Italian companies and Telefonica reached an accord
on April 28, 2007, to indirectly acquire a 23.6% controlling stake in
European operator Telecom Italia.
Telecom Italia owns 50% of Sofora, Telecom Argentina's controller.

Local investment group Grupo Werthein, Telecom Argentina's second biggest
shareholder, claimed that Telefonica would eventually have an impact on
Telecom Argentina.  Argentina's former communications minister Henoch
Aguiar said that Telefonica wouldn't be able to obtain control of Telecom
Argentina under the telecom legislation.  Telecom Argentina had also
assured that Telefonica wouldn’t be able to influence its board's
decisions.

A source told Business News Americas relates that the antitrust agency a
preliminary probe on the matter in May 2007.

Meanwhile, Grupo Werthein is positive that Telefonica will use its access
to Telecom Italia's industry strategy to guarantee that any technological
improvements Telecom Argentina is planning would be deployed first by
Telefonica subsidiary Telefonica de Argentina, BNamericas states.

                   About Telecom Argentina

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

                      About Telefonica

Telefonica, S.A., together with its subsidiaries and investees
(Telefonica Group), operates mainly in the telecommunications,
media and entertainment industries.  The Telefonica Group is
also involved in the media and contact center activities through
investments in Telefonica de Contenidos and Atento.  The company
operates through three segments: Telefonica Spain, Telefonica
Europe and Telefonica Latin America.  Telefonica Spain oversees
the wireline and wireless telephony, broadband and data
businesses in Spain.  Telefonica Latin America oversees the same
businesses in Latin America.  Telefonica Europe oversees the
wireline, wireless, broadband and data businesses in the United
Kingdom, Germany, the Isle of Man, Ireland, the Czech Republic
and the Slovak Republic.

               About Telefonica de Argentina

Headquartered in Buenos Aires, Argentina, Telefonica de
Argentina SA -- http://www.telefonica.com.ar/-- provides
telecommunication services, which include telephony business
both in Spain and Latin America, mobile communications
businesses, directories and guides businesses, Internet, data
and corporate services, audiovisual production and broadcasting,
broadband and Business-to-Business e-commerce activities.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 22, 2007,
Moody's Latin America changed the rating outlook to positive
from stable for Telefonica de Argentina's foreign currency
rating of B2 and for the Aa3.ar (national scale rating).  The
rating action was taken in conjunction with Moody's outlook
change to positive from stable for Argentina's B2 foreign
currency ceiling for bonds and notes on Jan. 16, 2007.
Telefonica de Argentina's foreign currency rating continues to
be constrained by Argentina's B2 ceiling.


TEXTIL UNO: Proofs of Claim Verification Deadline Is Sept. 12
-------------------------------------------------------------
Miguel Pellerero Herrero, the court-appointed trustee for Textil
Uno SRL's bankruptcy proceeding will verify creditors' proofs of
claim Sept. 12, 2007.

Mr. Herrero will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 20 in Buenos Aires, with the assistance of Clerk
No. 40, 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 Textil Uno 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 Textil Uno's
accounting and banking records will be submitted in court.

La Nacion didn't state the reports submission deadlines.

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

The debtor can be reached at:

          Textil Uno SRL
          Padre Montes Carballo 1626
          Buenos Aires, Argentina

The trustee can be reached at:

          Miguel Pellerero Herrero
          H. Yrigoyen 1349
          Buenos Aires, Argentina


* ARGENTINA: State Firm Gets Six Bids for Natural Gas Pipeline
--------------------------------------------------------------
Argentine state-run energy firm Enarsa has received six bids for the
supply of 30-inch and 36-inch piping for the US$1.64-billion GNEA natural
gas pipeline, Business News Americas reports.

An Enarsa spokesperson told BNamericas that the bids came from:

          -- Mexican pipe manufacturer Tubacero,
          -- Switzerland's Leman Commodities,
          -- Argentina's Siat (Tenaris),
          -- China Metallurgical,
          -- China Petrochemical, and
          -- India's Jindal Saw Limited.

BNamericas relates that the budget for the piping would total US$743
million for 97 kilometers of 36-inch piping and 1,412 kilometers of
30-inch piping.

The piping should start arriving in February 2008 and will be completely
installed by June 30, 2009, BNamericas says, citing Argentine planning
minister Julio De Vido.

According to BNamericas, the pipeline will have capacity to ship 27.7
million cubic meters per day of natural gas from Bolivia to Argentina.

Meanwhile, the acceptance of bids for turbo-compressors for the pipeline
is ongoing, BNamericas notes.  The bids will be opened on Sept. 13, 2007,
while bids for a related GNEA pipeline tender will be opened on Sept. 17,
2007.

Firms interested in the tenders can get data packages at Enarsa
headquarters in Buenos Aires, BNamericas states.

                        *     *     *

Fitch Ratings assigned these ratings on Argentina:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     B+      Aug. 1, 2006
   Local Currency
   Long Term Issuer    B       Aug. 1, 2006
   Short Term IDR      B       Dec. 14, 2005
   Long Term IDR       RD      Dec. 14, 2005




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


ENDURANCE SPECIALTY: Will Acquire ARMtech Insurance Services
------------------------------------------------------------
Endurance Specialty Holdings Ltd. disclosed that one of its U.S. based
holding companies has entered into an agreement to acquire the stock of
ARMtech Insurance Services Inc. and its affiliates.  ARMtech is the fifth
largest underwriter of U.S. federally sponsored crop insurance, with
US$410 million in total premiums in 2007.

Under Endurance’s ownership, ARMtech will enjoy the benefits of an
expanded balance sheet, which in turn will position ARMtech for further
development of its business.  Samuel R. Scheef, the founder, majority
owner and President of ARMtech, along with ARMtech’s other employee
founders and current managers, will continue to manage the day-to-day
operations of ARMtech’s business.

Kenneth J. LeStrange, the Chairman, President and Chief Executive Officer
of Endurance, said, “This is a strong step towards our goal of becoming
the best specialty insurer and reinsurer in the business.  ARMtech has
established itself as one of the preeminent participants in the crop
insurance industry.  ARMtech’s commitment to customer service, dedication
to technological superiority and knowledgeable approach to its selected
specialty align superbly with Endurance’s values and objectives. We are
excited to welcome ARMtech and its skilled employees into the Endurance
family.”

Samuel R. Scheef, the President and majority owner of ARMtech, said, “We
believe that Endurance is the ideal business partner to help us continue
on our path to becoming the nation’s premier crop insurance provider.  We
are excited about the opportunities Endurance will enable for our
employees and agents.”

ARMtech was founded in 1996 and revolutionized crop insurance industry
software.  ARMtech entered the crop insurance services business in 1999 as
a Texas-based managing general agency.  In order to enhance the service to
customers and business partners, ARMtech acquired American Agri-Business
Insurance Company in 2003.  American Agri-Business Insurance Company holds
the Standard Reinsurance Agreement with the Federal Crop Insurance
Corporation and is licensed to underwrite crop insurance in 33 states.

Crop insurance indemnifies farmers against crop losses by guaranteeing a
set crop price, yield or total revenue for the harvest period in exchange
for a premium payment.  ARMtech primarily offers insurance through the
federally sponsored Multiple Peril Crop Insurance program.  ARMtech offers
its products through a network of agents by providing them with the
technology and training to simplify the pricing, execution and submission
of insurance policies in accordance with government regulations.  ARMtech
also works with claims adjusters to ensure that claims from its insured
farmers are processed and filed quickly and without errors, allowing for
speedy and accurate payment.

Based in Pembroke, Bermuda, Endurance Specialty Holdings Ltd.
(NYSE: ENH) -- http://www.endurance.bm/-- is a provider of
property and casualty insurance and reinsurance.  Through its
operating subsidiaries, Endurance currently writes property per
risk treaty reinsurance, property catastrophe reinsurance,
casualty treaty reinsurance, property individual risks, casualty
individual risks, and other specialty lines.

                        *     *     *

As reported in the Troubled Company Reporter on Dec. 15, 2006,
AM Best affirmed these debt ratings:

Endurance Specialty Holdings, Ltd.

   -- "bbb-" on US$250 million 7.0% senior unsecured notes,
      due 2034;

   -- "bbb-"on US$200 million 6.15% senior notes, due 2015; and

   -- "bb" on US$200 million Series A non-cumulative preferred
      shares

These indicative debt ratings have been affirmed for securities
available under the shelf registration:

   Endurance Specialty Holdings, Ltd.

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

   Endurance Holdings Capital Trust I Ltd.-(guaranteed by
   Endurance Specialty Holdings)

   -- "bb" on preferred securities

   Endurance Holdings Capital Trust II Ltd.-(guaranteed by
   Endurance Specialty Holdings)

   -- "bb" on preferred securities


NORTH AMERICAN: Sets Final General Meeting for Friday
-----------------------------------------------------
North American Manufacturers Insurance Company Limited's final
general meeting is scheduled on Sept. 14, 2007, at 10:30 a.m.,
at:

       Sofia House, 1st Floor
       48 Church Street, Hamilton
       Bermuda

These matters will be taken up during the meeting:

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

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

   -- passing of a resolution dissolving the company.


SCOTTISH RE: UBS Maintains Neutral Rating on Firm’s Shares
----------------------------------------------------------
UBS analysts have kept their "neutral" rating on Scottish Re Group’s
shares, Newratings.com reports.

Newratings.com relates that the one-year target price for Scottish Re’s
shares was decreased to US$3.70 from US$5.40.

The analysts said in a research note that Scottish Re has considerably
greater exposure to the “subprime and Alt-A mortgages relative to the life
group.”

The analysts told Newratings.com that 53% of Scottish Re’s equity is rated
“below AA, compared to 2% of that of the life group.”  According to Fitch
Ratings and the UBS Fixed Income group, “credit losses were mostly
confined to below AA rated mortgages.”

Scottish Re’s operations wouldn’t have “a turnaround in the near term,”
Newratings.com states, citing UBS.

Scottish Re Group Ltd. -- http://www.scottishre.com/-- is a
global life reinsurance specialist.  Scottish Re has operating
businesses in Bermuda, Grand Cayman, Guernsey, Ireland, the
United Kingdom, United States, and Singapore.  Its flagship
operating subsidiaries include Scottish Annuity & Life Insurance
Company (Cayman) Ltd. and Scottish Re (US), Inc.  Scottish Re
Capital Markets, Inc., a member of Scottish Re Group Ltd., is a
registered broker dealer that specializes in securitization of
life insurance assets and liabilities.

On June 30, 2007, Scottish Re reported total assets of US$13.6 billion and
shareholder's equity of US$1.2 billion.  Moody's insurance financial
strength ratings are opinions of the ability of insurance companies to
repay punctually senior policyholder claims and obligations.




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


ARVINMERITOR INC: Closes 13 Plants to Initiate Restructuring
------------------------------------------------------------
ArvinMeritor Inc. is consolidating its three North American ride control
facilities into one, including the closure of its Toronto, Ontario
original equipment shock absorber operation, and its Chickasha, Oklahoma
packaging and distribution center.  The 700-person closure is part of a
restructuring plan affecting 2,800 employees from 13 North American and
European plants.

"The company must operate from a global manufacturing footprint that
optimizes capacity and reduces costs, while creating the highest levels of
service and value for our customers," Ed Frutig, vice president and
general manager, Chassis Systems, said.  "Our site closures are in no way
a reflection of our dedicated workforce. Our talented and highly-skilled
employees have consistently delivered quality products for our customers."

A majority of the shock absorber production will be transferred from
Toronto to Queretaro, Mexico by June 2008, with an anticipated closure by
June 2009.  The Chickasha site will move its packaging and distribution
business to a U.S.-based third party logistics company by April 2008.
Employees were advised of the closure plans during a series of meetings on
Sept. 7, 2007.  ArvinMeritor will offer severance and benefits packages to
affected employees.

                    About ArvinMeritor Inc.

Headquartered in Troy, Michigan, ArvinMeritor, Inc. (NYSE: ARM)
-- http://www.arvinmeritor.com/-- is a premier USUS$8.8
billion global supplier of a broad range of integrated systems,
modules and components to the motor vehicle industry.  The
company serves light vehicle, commercial truck, trailer and
specialty original equipment manufacturers and certain
aftermarkets.  ArvinMeritor employs approximately 29,000 people
at more than 120 manufacturing facilities in 25 countries.
These countries are: China, India, Japan, Singapore, Thailand,
Australia, Venezuela, Brazil, Argentina, Belgium, Czech
Republic, France, Germany, Hungary, Italy, Netherlands, Spain,
Sweden, Switzerland, United Kingdom, among others.  ArvinMeritor
common stock is traded on the New York Stock Exchange under the
ticker symbol ARM.

                        *     *     *

Moody's Investor Services rated B3 ArvinMeritor Inc.'s long term corporate
family and probability of default on January 2007.  Moody's said the
outlook is stable.


BANCO DAYCOVAL: Puts Buy Recommendation on Firm’s Shares
--------------------------------------------------------
UBS Pactual has assigned a “buy” recommendation on Banco Daycoval’s
shares, news service Agencia Estado reports.

According to Agencia Estado, UBS Pactual has set a 12-month target price
for Banco Daycoval at BRL24 per share.

UBS Pactual told Business News Americas, "In our opinion, Daycoval has
built one of the strongest loan operations in Brazil's middle market among
players that operate in that niche and mid-sized banks."

According to BNamericas, UBS Pactual new target price on Banco Daycoval
shares indicates a “37% upside compared to the BRL17.5 it last traded at.”

Banco Daycoval’s assets totaled BRL3.89 billion as of June 2007,
BNamericas states.

Banco Daycoval, a Brazilian midsize bank, was founded in 1989.
It operates 15 branches concentrated in the south and southeast
of the country.  Its main business is commercial lending to
small and medium enterprises, with a diversified portfolio in
agribusiness, automotives, commerce, foods, financial services,
general services, manufacturing, and textiles.  Daycoval
established its trade finance department in 1995 to satisfy the
increasing demand for trade finance instruments.

As reported in the Troubled Company Reporter-Latin America on
June 26, 2007, Standard & Poor's Ratings Services removed its
long-term counterparty credit rating on Banco Daycoval S.A. from
CreditWatch Positive, where it was placed on June 11, 2007, and
raised the rating to 'BB-'.  At the same time, S&P affirmed its
'B' short-term counterparty credit rating on the bank.  S&P said
the outlook is stable.


BANCO SANTADER: Lines Up ARS122-Million Securitization
------------------------------------------------------
Banco Santander Rio has prepared a ARS122-million securitization, Business
News Americas reports.

BNamericas relates that the issue is also known as fideicomiso financiero
garbarino serie XXXVIII.  It will be in three tranches:

         -- the A series, for up to ARS107 million with a 14%
            coupon and due June 2008;

         -- a B series for up to ARS9.10 million with a 15.5%
            coupon; and

         -- the C series for up to ARS5.69 million maturing
            December 2010.

According to BNamericas, the securitization was backed by consumer loans
originated by:

         -- household goods retailer Garbarino, and
         -- technology shop Compumundo.

Banco Santader said in a statement that the subscription period ends on
Dec. 12, 2007.

Banco Santander Rio S.A. is headquartered in Buenos Aires,
Argentina.  The bank had ARS$16.2 billion (US$5.3 billion) in
total assets and ARS$12.6 billion (US$4.1 billion) in deposits
as of December 2006.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 19, 2007, Moody's Investors Service assigned a Ba2 local
currency debt rating to Banco Santander Rio S.A.'s ARS$450
million notes that are due in 2010 issued under the program of
US$250 million.  Moody's also assigned Aaa.ar national scale
local currency debt rating to the notes.  These ratings were
assigned to Banco Santander's ARS$450 million Senior Unsecured
Notes:

   -- Long-term local currency debt rating: Ba2, stable outlook
   -- National scale local currency debt rating: Aaa.ar


BAUSCH & LOMB: Settles Merger-Related Shareholder Suits
-------------------------------------------------------
Bausch & Lomb Inc. and Warburg Pincus LLC entered into a memorandum of
understanding with various shareholder plaintiffs to settle certain
shareholder lawsuits, including shareholder lawsuits that, among other
things, challenged the proposed merger of the company with affiliates of
Warburg Pincus LLC pursuant to the Agreement and Plan of Merger, dated as
of
May 16, 2007, by and among WP Prism LLC, WP Prism Merger Sub Inc. and the
company, and the other related transactions.

In connection with the settlement, the company agreed to make certain
additional disclosures to its shareholders, which are contained in the
proxy supplement filed with the U.S. Securities and Exchange Commission.
Subject to the completion of certain confirmatory discovery by counsel to
plaintiffs, the memorandum of understanding contemplates that the parties
will enter into a stipulation of settlement.  The stipulation of
settlement will be subject to customary conditions, including court
approval following notice to the company’s shareholders and consummation
of the merger.

In the event that the parties enter into a stipulation of settlement, a
hearing will be scheduled at which the court will consider the fairness,
reasonableness and adequacy of the settlement which, if finally approved
by the court, will resolve all of the claims that were or could have been
brought in the actions being settled, including all claims relating to the
merger, the merger agreement and any disclosure made in connection with
the merger.

In connection with the settlement and as provided in the memorandum of
understanding, the parties contemplate that plaintiffs’ counsel will seek
an award of attorneys’ fees and expenses as part of the settlement.  There
can be no assurance that the parties will ultimately enter into a
stipulation of settlement or that the court will approve the settlement
even if the parties were to enter into such stipulation.  In such event,
the proposed settlement as contemplated by the memorandum of understanding
may be terminated.

A full-text copy of the proxy statement supplement is available for free
at http://ResearchArchives.com/t/s?2326

Headquartered in Rochester, New York, Bausch & Lomb Inc. (NYSE:
BOL) -- http://www.bausch.com/-- develops, manufactures, and
markets eye health products, including contact lenses, contact
lens care solutions, and ophthalmic surgical and pharmaceutical
products.  The company is organized into three geographic
segments: the Americas; Europe, Middle East, and Africa; and Asia
(including operations in India, Australia, China, Hong Kong, Japan, Korea,
Malaysia, the Philippines, Singapore, Taiwan and Thailand).  In Latin
America, the company has operations in Brazil and Mexico. "In Europe, the
company maintains operations in Austria, Germany, the Netherlands, Spain,
and the United Kingdom.

                        *     *     *

As reported in the Troubled Company Reporter on July 12, 2007,
Standard & Poor's Ratings Services said its 'BB+' corporate
credit and senior secured ratings on Bausch & Lomb Inc. remain
on CreditWatch with negative implications in light of the
July 5, 2007 acquisition bid by Advanced Medical Optics Inc.

As reported in the Troubled Company Reporter on May 18, 2007,
Moody's Investors Service stated that it will continue its review of
Bausch & Lomb Incorporated's ratings for possible downgrade following the
announcement that the company has entered into a definitive merger
agreement with affiliates of Warburg Pincus.

Ratings subject to review for possible downgrade include the
company's Ba1 Corporate Family rating and Ba1 Probability of
Default rating.

In addition, the Warburg Pincus deal prompted Fitch to maintain
its Negative Rating Watch on the company.  Fitch also warned that the
transaction would significantly increase leverage and likely result in a
multiple-notch downgrade, including an Issuer Default Rating of no higher
than 'BB-'.


BUCKEYE TECH: Earns US$30.1 Million in Year Ended June 30
---------------------------------------------------------
Buckeye Technologies Inc. earned US$30.1 million on US$769.3 million of
net revenues for the fiscal year ended June 30, 2007, compared to US$1.9
million of net income on US$728.4 million of net revenues for the previous
year.

On June 30, 2007, the company had US$14.8 million of cash and cash
equivalents and US$65 million borrowing capacity on our old credit
facility.

The company's total debt and capital leases decreased US$76.2 million
(including the cancellation of the US$5.0 million note owed to Stac-Pac
Technologies Inc.) to US$445.9 million at
June 30, 2007, from US$522.1 million at June 30, 2006.  From June 30,
2005, to June 30, 2006, total debt decreased by US$16.9 million.  Its
total debt as a percentage of total capitalization was 56.2% at June 30,
2007, compared to 64.3% at June 30, 2006 and 66.7% at June 30, 2005.

The company has the following major sources of financing: a senior secured
credit facility, senior notes and senior subordinated notes.  Its senior
secured credit facility, senior notes and senior subordinated notes
contain various covenants.  The company was in compliance with these
covenants as of
June 30, 2007, and believes it will continue to remain in compliance for
the foreseeable future.  These sources of financing are described in
detail in Note 8, Debt, to the Consolidated Financial Statements.

On July 25, 2007, the company established a new US$200 million senior
secured revolving credit facility with a maturity date of July 25, 2012.
This facility amends and restates the company's existing credit facility.
Initially, we used the proceeds from this new credit facility to pay the
outstanding balance on the former credit facility plus fees and expenses.
The interest rate applicable to borrowings under the revolver is grid
based pricing, related to our total leverage ratio, of the agent’s prime
rate plus 0.25% to 1.00% or a LIBOR-based rate ranging from LIBOR plus
1.25% to LIBOR plus 2.00%.   The company plans to use the proceeds from
this facility to redeem the remaining US$60 million of our 2008 notes, to
redeem US$20 million of the 2010 notes in mid-September 2007, and for
general corporate purposes.  The credit facility is secured by
substantially all of our assets located in the United States.

The new credit facility contains covenants customary for financing of this
type.  The financial covenants include: maximum total leverage ratio of
consolidated total debt to consolidated earnings before interest, taxes,
depreciation and amortization (EBITDA), and minimum ratio of consolidated
EBITDA to consolidated interest expense.  During fiscal year 2007, the
company were in compliance with the financial covenants under our old
credit facility.

The new credit facility (taking into account the US$33.6 million
outstanding on the old term loan) increased borrowing capacity to US$161.4
million.  The new credit facility also contains a US$50 million increase
option.  The portion of this capacity that we could borrow on a particular
date will depend on our financial results and ability to comply with
certain borrowing conditions under the new revolving credit facility.  The
commitment fee, on the unused portion of the new revolving credit
facility, ranges from 0.25% to 0.40% per annum based on a grid related to
our leverage ratio.  Total costs for the issuance of the new facility were
approximately US$1.3 million and will be amortized to interest expense
using the effective interest method over the life of the facility.

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

                        *     *     *

As reported in the Troubled Company Reporter on June 19, 2007,
Moody's upgraded Buckeye Technologies Inc.'s corporate family
rating to B1 from B2 and maintained a stable outlook.  All other
ratings were upgraded by one notch while the unsecured notes
were affirmed at B2.


FORD MOTOR: UAW Open to Health Care Trust Fund
----------------------------------------------
The United Auto Workers union is amenable to creating a trust
fund for retiree health-care benefits as long as all of the
parties involved can reach an agreement on funding terms, The
Detroit News relates.

UAW leaders understand that transferring tens of billions of
dollars in liability from the books of Detroit's “Big Three”
automakers -- General Motors Corp., Ford Motor Co., and Chrysler LLC -- to
trust funds controlled by them could work, Bryce G. Hoffman writes for The
Detroit News, quoting sources close to the contract negotiations.

According to the report, executives of the three companies
believe that paying the United Auto Workers to assume
responsibility for retiree health benefits is the best way to
make their companies cost-competitive again.  However, the
automakers' plan to fund part of their workers' benefits with
company stock could make it quite difficult for union members to accept
the offer.

Patterned after similar deals at Goodyear Tire & Rubber Co. and
Dana Corp., the three carmakers want to pay the union to
establish what are called voluntary employee beneficiary
associations, or VEBAs, that would assume responsibility for
hourly retiree health benefits.  They had proposed VEBAs in
their initial economic offers to the UAW, Mr. Hoffman of The
Detroit News states.

A VEBA would cost each automaker billions -- as much as
US$35 billion in GM's case -- but it would permanently remove billions
more in liabilities from their balance sheets.  It also guarantees the
union's right to protect those benefits should any of the automakers file
for bankruptcy, The Detroit News reveals.

Meanwhile, the UAW's top negotiator on its General Motors Corp.
bargaining team vowed that retirees won't have to pay more for
their health care in the next national contract, Louis Aguilar
writes for The Detroit News.

"I can tell you one thing, we are determined not to put any more costs on
retirees for their health care," said UAW Vice
President Cal Rapson.

in June 2007, the car companies are trying to deal with health care costs
that GM CEO Rick Wagoner says cost them a combined US$12 billion in 2006.
Providing health care to 2 million employees, retirees and dependents
contributed to losses at each of the U.S. automakers last year, while
Japanese rivals posted record profits.  The difference is made even more
significant by higher pensions and retiree health care costs.

GM and Ford hourly labor costs -- US$73.26 and US$70.51,
respectively -- are about US$30 an hour higher than those paid
by Japanese competitors operating U.S. plants.  The UAW's
current four-year contract with the "Big Three" automakers
expires Sept. 14, 2007.

                     About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F)
-- http://www.ford.com/-- manufactures or distributes automobiles in 200
markets across six continents.  With about 260,000 employees and about 100
plants worldwide, the company's core and affiliated automotive brands
include Ford, Jaguar, Land Rover, Lincoln, Mercury, Volvo, Aston Martin,
and Mazda.  The company provides financial services through Ford Motor
Credit Company.

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                        *     *     *

As reported in the Troubled Company Reporter on July 30, 2007,
Moody's Investors Service said that the performance of Ford Motor
Company's global automotive operations for the second quarter of 2007 was
significantly stronger than the previous year and better than street
expectations.

However, Moody's explained that the company continues to face
significant competitive and financial challenges, and the rating agency
expects that Ford's credit metrics and rate of cash consumption will
likely remain consistent with no higher than a B3 corporate family rating
level into 2008.

According to the rating agency, Ford's corporate family rating is
currently a B3 with a negative outlook.  The rating is pressured by the
shift in consumer preference from high margin trucks and SUVs, and by the
need for a new 2007 UAW contract that provides meaningful relief from high
health care costs and burdensome work rules, Moody's relates.

In June 2007, S&P raised the Issue Rating on Ford's senior secured credit
facilities to B+ from B.


GENERAL MOTORS: Expects Steady Sales Growth in Three Markets
------------------------------------------------------------
General Motors Corp.'s sales in Latin America, Africa and the Middle East
will grow by a few billion dollars each year through the rest of the
decade, Maureen Kempston Darkes, GM's president for the three regions
said, Reuters reports.

The carmaker had increased its revenue in those regions to about US$15
billion in 2006, from about US$5.4 billion in 2003, Reuters relates.

"I think we will see a similar growth in revenue through the rest of the
decade, unless there are some unforeseen circumstances," Ms. Kempston
Darkes said, Reuters notes.

According to the report, she also said GM may increase capacity by adding
third shifts at many Latin American assembly plants to meet higher demand
for vehicles in the region.

"The industry is running faster than our ability to keep up with it.  We
will have to increase capacity because we are selling everything we are
making," Reuters quotes Ms. Kempston Darkes as saying.

Overseas sales accounted for 58% of total sales in the second quarter, and
GM Chief Executive Rick Wagoner has said he expects sales outside the
United States to continue surpassing domestic sales in the next few years,
Reuters states.

                      About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 280,000 people around the world and manufactures cars and
trucks in 33 countries, including the United Kingdom, Germany,
France, Russia, Brazil and India.  In 2006, nearly 9.1 million
GM cars and trucks were sold globally under the following
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden,
HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security
and information services.

                        *     *     *

As reported in the Troubled Company Reporter on May 28, 2007,
Standard & Poor's Ratings Services placed General Motors Corp.'s corporate
credit rating at B/Negative/B-3.

At the same time, Moody's Investors Service affirmed GM's B3
Corporate Family Rating and B3 Probability of Default Rating,
and maintained its SGL-3 Speculative Grade Liquidity Rating.
The rating outlook remains negative, according to Moody's.


GENERAL MOTORS: UAW Open to Health Care Trust Fund; Seeks Pact
--------------------------------------------------------------
The United Auto Workers union is amenable to creating a trust
fund for retiree health-care benefits as long as all of the
parties involved can reach an agreement on funding terms, The
Detroit News relates.

UAW leaders understand that transferring tens of billions of
dollars in liability from the books of Detroit's “Big Three”
automakers -- General Motors Corp., Ford Motor Co., and Chrysler LLC -- to
trust funds controlled by them could work, Bryce G. Hoffman writes for The
Detroit News, quoting sources close to the contract negotiations.

According to the report, executives of the three companies
believe that paying the United Auto Workers to assume
responsibility for retiree health benefits is the best way to
make their companies cost-competitive again.  However, the
automakers' plan to fund part of their workers' benefits with
company stock could make it quite difficult for union members to accept
the offer.

Patterned after similar deals at Goodyear Tire & Rubber Co. and
Dana Corp., the three carmakers want to pay the union to
establish what are called voluntary employee beneficiary
associations, or VEBAs, that would assume responsibility for
hourly retiree health benefits.  They had proposed VEBAs in
their initial economic offers to the UAW, Mr. Hoffman of The
Detroit News states.

A VEBA would cost each automaker billions -- as much as
$35 billion in GM's case -- but it would permanently remove billions more
in liabilities from their balance sheets.  It also guarantees the union's
right to protect those benefits should any of the automakers file for
bankruptcy, The Detroit News reveals.

Meanwhile, the UAW's top negotiator on its General Motors Corp.
bargaining team vowed that retirees won't have to pay more for
their health care in the next national contract, Louis Aguilar
writes for The Detroit News.

"I can tell you one thing, we are determined not to put any more costs on
retirees for their health care," said UAW Vice
President Cal Rapson.

In June 2007, the car companies are trying to deal with health care costs
that GM CEO Rick Wagoner says cost them a combined US$12 billion in 2006.
Providing health care to 2 million employees, retirees and dependents
contributed to losses at each of the U.S. automakers last year, while
Japanese rivals posted record profits.  The difference is made even more
significant by higher pensions and retiree health care costs.

GM and Ford hourly labor costs -- US$73.26 and US$70.51,
respectively -- are about US$30 an hour higher than those paid
by Japanese competitors operating U.S. plants.  The UAW's
current four-year contract with the "Big Three" automakers
expires Sept. 14, 2007.

                      About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 280,000 people around the world and manufactures cars and
trucks in 33 countries, including the United Kingdom, Germany,
France, Russia, Brazil and India.  In 2006, nearly 9.1 million
GM cars and trucks were sold globally under the following
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden,
HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security
and information services.

                        *     *     *

As reported in the Troubled Company Reporter on May 28, 2007,
Standard & Poor's Ratings Services placed General Motors Corp.'s
corporate credit rating at B/Negative/B-3.

At the same time, Moody's Investors Service affirmed GM's B3
Corporate Family Rating and B3 Probability of Default Rating,
and maintained its SGL-3 Speculative Grade Liquidity Rating.
The rating outlook remains negative, according to Moody's.


JAPAN AIRLINES: To Sell Major Hangars to Repay Debts
----------------------------------------------------
Japan Airlines International Company, Limited's officials revealed that
the company will sell its aircraft hangars in Narita, Haneda, and other
major Japanese airports by the end of September, Jiji Press reports.

According to Jiji Press, JAL will acquire a total of
JPY10 billion from the sale, which they plan to repay interest-bearing
debts to improve its finances.

The facilities, writes Jiji Press, will be leased back and the struggling
airlines will continue to use them.

                      About Japan Airlines

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

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on
Feb. 9, 2007, that Standard & Poor's Ratings Services affirmed its 'B+'
long-term corporate credit and issue ratings on Japan Airlines Corp.
(B+/Negative/--) following the company's announcement of its new
medium-term management plan.  The outlook on the long-term corporate
credit rating is negative.

The TCR-AP reported on Oct. 10, 2006, that Moody's Investors
Service affirmed its Ba3 long-term debt ratings and issuer
ratings for both Japan Airlines International Co., Ltd and Japan
Airlines Domestic Co., Ltd.  The rating affirmation is in
response to the planned restructuring of the Japan Airlines
Corporation group on Oct. 1, 2006 with the completion of the
merger of JAL's two operating subsidiaries, JAL International
and Japan Airlines Domestic.  JAL International will be the
surviving company.  The rating outlook is stable.

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the company, which is three notches lower than
investment grade.


NAVISTAR INT'L: S&P's BB- Corp. Rating Still on CreditWatch
-----------------------------------------------------------
Standard & Poor's Ratings Services has said that its 'BB-' corporate
credit ratings on Navistar International Corp. and subsidiary Navistar
Financial Corp. remain on CreditWatch with negative implications, where
they were placed on Jan. 17, 2006.  The company has no rated debt, having
repaid virtually all public debt with a US$1.5 billion unrated bank
facility.

The CreditWatch listing reflects delayed filing of audited financial
statements as well as the need to restate results dating back to fiscal
2003.  These issues stem from an array of complex accounting issues at
Navistar.  The company recently said it expects to file its 10-K for the
fiscal year ended
Oct. 31, 2005 -- including restated results for fiscal 2003 and 2004, and
the first nine months of fiscal 2005 -- by the end of September.  The
company also said it expects to file its 2006 and 2007 10-Ks by the end of
March 2008.

"Although Navistar is currently unable to provide audited financial
results, we believe that the company's profitability and cash flow
generation have declined this year because of the U.S. heavy-duty truck
downturn, which began in early 2007," said S&P's credit analyst Gregg
Lemos Stein.  "As was widely expected, sales of such trucks softened
because of new engine-emissions standards that created a 'pre-buy' effect
in 2006.  S&P's estimate that U.S. heavy-duty truck sales could be down as
much as 40% for 2007, with the possibility of a rebound by the end of the
year or in early 2008.  However, an economic decline in addition to the
pre-buy downturn would result in a sharper or longer downturn, as was the
case from 2001 to 2003."

While Navistar carries out its restatement process, S&P's will continue to
monitor these and other developments such as the extent of the downturn,
and will evaluate their impact on the ratings. S&P's expects that the
ratings will remain on CreditWatch until Navistar is current with all SEC
financial reporting requirements.  Once this occurs and if Navistar's
prospects are not materially different from previous expectations, S&P's
would expect to affirm the ratings.  However, S&P's could lower the
ratings if new accounting issues come to light that adversely affect
Navistar's liquidity or differ from S&P's expectations, or if financial
results deteriorate materially as a result of the downturn in the
heavy-duty truck market.

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

                        *     *     *

As reported in the Troubled Company Reporter on May 8, 2007, Fitch Ratings
retained Navistar International Corp.'s BB- Issuer Default Rating and BB-
senior unsecured bank facility rating under Rating Watch Negative.


SANYO ELECTRIC: Plans on Selling Appliance Unit
-----------------------------------------------
Sanyo Electric Co. Ltd. is considering selling off in stages its home
electrical appliance unit, it was learned by The Yomiuri Shimbun.

According to the report, aside from the home appliance division, its air
conditioner and refrigerator lines will be sold as well.  In addition,
Sanyo will also consider selling shares of Sanyo Electric Logistics Co., a
subsidiary listed on the Jasdaq Securities Exchange, which delivers Sanyo
home appliance products.

The company's home appliance unit, which is a major part of the firm
contributing about 10% of its consolidated net sales, has been in the red
for the six years, conveys Yomiuri Shimbun.

Sanyo, relates Yomiuri Shimbun, intends to announce its reforms at the end
of November to promote streamlining its entire operation wherein it is
likely to examine its product lines to determine whether to transfer
production, collaborate with other firms or sell the lines in stages.

Reportedly, undergoing corporate rehabilitation, the Osaka-based
manufacturer plans to survive by concentrating on such competitive fields
as rechargeable batteries and commercial electric appliances such as
refrigerators for supermarkets.  In line with this, should the withdrawal
of the home electric appliance industry, a few Sanyo-brand products,
including digital cameras and televisions and "eneloop" rechargeable
batteries will still be around for general consumers.

Yomiuri Shimbun states that the manufacturing of its refrigerators have
been entrusted to China-based Haier Co., while it is possible that some
products, such as Aqua washer-dryer, may be excluded from the plan.

                     About Sanyo Electric

Headquartered in Osaka, Japan, Sanyo Electric Co., Ltd. --
http://www.sanyo.com/-- is one of the world's leading
manufacturers of consumer electronics products.  The company has
global operations in Brazil, Germany, India, Ireland, Spain, the
United States and the United Kingdom, among others.

                        *     *     *

In March 2, 2007, Fitch Ratings placed SANYO Electric Co. Ltd.'s
BB+ long-term foreign and local currency issuer default and
senior unsecured ratings on rating watch negative.


* BRAZIL: Credit Suisse Holds Outperform Rating on State Firm
-------------------------------------------------------------
Credit Suisse analysts have kept their "outperform" rating on Brazil’s
state-owned oil firm Petroleo Brasileiro SA’s shares, Newratings.com
reports.

According to Newratings.com, the target price for Petroleo Brasileiro’s
shares was increased to US$80 from US$75.

The analysts said in a research note that refining investments being made
in Brazil would cause increased refining margins in the long term.

Newratings.com relates that the “refined product realization price”
estimates for 2007 and 2008 were increased to US$76.5 per barrel and
US$73.5 per barrel, respectively.

The earnings per share estimates for 2007 and 2008 were raised by 34% and
10%, respectively, to show a more favorable refining environment over the
short- and the long-term, Newratings.com states.

                    About Petroleo Brasileiro

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.

                        *     *     *

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

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

                        *     *     *

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


* BRAZIL: Lehman Bros. Keeps Equal Weight Rating on State Firm
--------------------------------------------------------------
Lehman Brothers analyst Paul Y. Cheng has maintained his "equal weight"
rating on Brazil’s state-owned oil firm Petroleo Brasileiro SA,
Newratings.com reports.

According to Newratings.com, the target price for Petroleo Brasileiro’s
shares was set at US$53.

Mr. Cheng told BNamericas that the target price forPetroleo Brasileiro’s
preferred shares was set at US$51.

The earnings per share estimate for Petroleo Brasileiro this year was
increased to US$6.00 from US$5.55, Newratings.com states.

                    About Petroleo Brasileiro

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.

                        *     *     *

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

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

                        *     *     *

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


* BRAZIL: President Silva Promotes Biofuel in Nordic Countries
--------------------------------------------------------------
Brazil's President Luiz Inacio Lula da Silva began his five-day visit to
Nordic countries on Sunday to boost trade and promote his biofuel program,
The Associated Press reports.

Among the countries to be visited by the president are Finland, Sweden,
Denmark and Norway, AP states.

According to the same report, the Brazilian leader will meet with
businessmen, Prime Minister Jose Luis Rodriguez Zapatero and King Juan
Carlos of Spain before returning home.  Brazil expected that the
president's visit to the Nordic countries might expand the market for its
ethanol program.

AP says that Brazil will likely sign biofuel agreements with Sweden and
Denmark.  Finland, Norway and Sweden already purchase the alternative fuel
from Brazil.

In addition, President Silva is expected to enter into a memorandum of
understanding pact in Finland in relation climate change.  He will sign an
agreement in Sweden to explore an expanded ethanol world market, AP says.

                        *     *     *

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




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


AHFP LUMEN: Proofs of Claim Filing Ends on Oct. 4
-------------------------------------------------
AHFP Lumen’s creditors are given until Oct. 4, 2007, to prove their claims
to Richard Gordon and Josh Grant, the company's liquidators, or be
excluded from receiving any distribution or payment.

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

AHFP Lumen’s shareholder agreed on Aug. 13, 2007, to place
the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

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


ANTHRACITE BALANCED: Sets Final Shareholders Meeting for Oct. 3
---------------------------------------------------------------
Anthracite Balanced Company (R-6) Ltd. will hold its final shareholders
meeting on Oct. 3, 2007, at 10:00 a.m., at:

         P.O. Box 1109
         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) authorizing the liquidator to retain the records
      of the company for a period of five years from
      the dissolution of the company, after which they
      may be destroyed.

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

The liquidators can be reached at:

         Scott Aitken
         Connan Hill
         P.O. Box 1109GT, Grand Cayman
         Cayman Islands
         Telephone: (345) 949-7755
         Fax: (345) 949-7634


ANTHRACITE BALANCED CO: Final Shareholders Meeting Is on Oct. 3
---------------------------------------------------------------
Anthracite Balanced Company (R-2)Ltd. will hold its final shareholders
meeting on Oct. 3, 2007, at 10:00 a.m., at:

         P.O. Box 1109
         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) authorizing the liquidator to retain the records
      of the company for a period of five years from
      the dissolution of the company, after which they
      may be destroyed.

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

The liquidators can be reached at:

         Scott Aitken
         Connan Hill
         P.O. Box 1109GT, Grand Cayman
         Cayman Islands
         Telephone: (345) 949-7755
         Fax: (345) 949-7634


BASIS YIELD: Liquidators' Motion for Cayman Process Recognition
---------------------------------------------------------------
As previously reported, Hugh Dickson, Stephen John Akers, and
Paul Andrew Billingham, as joint provisional liquidators and foreign
representatives of Basis Yield Alpha Fund (Master), asked the U.S.
Bankruptcy Court for the Southern District of New York to recognize the
Fund's liquidation proceeding before the Grand Court of the Cayman Islands
as a foreign main proceeding pursuant to Section 1517 of the Bankruptcy
Code.

To prove that Basis Yield's center of main interests is in the
Cayman Islands, U.S. counsel for the Joint Provisional Liquidators, Karen
B. Dine, Esq., at Pillsbury Winthrop Shaw Pittman LLP, in New York, tells
the Court that approximately 10.5% of all beneficial investors in Basis
Yields are located in the Cayman Islands and as of May 31, 2007, only
three countries had equal or greater concentrations of beneficial
investors.  In addition, beneficial investors are located in approximately
20 countries, but none are in the United States.

Basis Yield's Cayman Islands investors are two feeder funds. Beneficial
investors are investors in the feeder funds and, through the feeder funds,
may be thought to be the final equity stakeholders in Basis Yield.

Ms. Dine contends that:

   * Basis Yield pays significant regularly recurring fees to
     its investment manager, administrator, and auditor, all of
     whom are Cayman Island entities;

   * Basis Yield's agreements with its investment manager and
     administrator are governed by the laws of the Cayman
     Islands; and

   * Basis Yield's register of shareholders, principal books and
     records, and books of account are all located in the Cayman
     Islands.

Accordingly, the Liquidators ask the U.S. Bankruptcy Court to grant their
request to recognize the Fund's Cayman Islands liquidation proceeding as a
foreign main proceeding.

             Citigroup Responds to Injunction Request

As previously reported, Judge Gonzalez directed all parties-in-interest to
appear at a hearing before the Honorable Robert E. Gerber in Manhattan to
show why a preliminary injunction should not be granted in the Chapter 15
case.

Representing Citigroup Global Markets Limited, Lindsee P. Granfield, Esq.,
at Cleary Gottlieb Steen & Hamilton LLP, in New York, relates that while
Citigroup Global Markets does not currently object to the entry of a
preliminary injunction, it reserves its rights to object to the request to
recognize the main proceeding as foreign.

Ms. Granfield contends that it does not appear that either the Preliminary
Injunction Motion or the Chapter 15 Petition include the necessary facts
to make a prima facie case for recognition of Basis Yield's Cayman
liquidation proceeding as either a foreign main proceeding or a foreign
non-main proceeding as defined in Section 1502.

Ms. Granfield further contends that while the Petition and Preliminary
Injunction Motion indicate that Basis Yield is incorporated in and
regulated by the Cayman Islands, it did not provide information on
whether:

   * Basis Yield staffed any employees or managers in the
     Cayman Islands;

   * any of Basis Yield's assets are or were located in the
     Cayman Islands;

   * the location of the majority of Basis Yield's creditors
     whose interests will be affected by recognition;

   * the location from which Basis Yield's funds were managed;
     or

   * where Basis Yield's books and records are maintained and
     stored.

The declarations of Hugh Dickson and Sandra Corbett, filed together with
the request, do not disclose the basis or factual support for their
conclusion, Ms. Granfield says.

According to Ms. Granfield, without factual support, neither creditors nor
the Court can make any determination as to whether Basis Yield has its
"center of main interests" in the Cayman Islands.

Although the Liquidators filed a supplement to their request, Ms.
Granfield argues that the supplement does not answer all of the factual
questions that are relevant to whether recognition is proper as either a
main or non-main proceeding.

Citigroup wants any preliminary injunction order to be without prejudice
to future objections to the Petition.

                      About Basis Capital

Basis Yield Alpha Fund (Master) is a Cayman Islands-based mutual fund
managed by Basis Capital Fund Management Ltd. in Australia.

Basis Capital is fully licensed and regulated by the Australian
Securities and Investment Commission as a Responsible Entity.

Basis Capital is a founding member of the Australian Chapter
of the Alternative Investment Management Association.

Bloomberg relates Basis Capital was declared "Fund of the Year"
at the 2005 AsiaHedge awards.  It was also named "Skilled
Manager of the Year" by Macquarie Bank Ltd. in 2004.

                      Road to Bankruptcy

Following the volatility in the market related to the United
States sub-prime lending defaults, by June 2007, Basis Yield
began to suffer a significant devaluation of its asset
portfolio.   The devaluation of the Fund's secured assets led to margin
calls from trade counterparties, which Basis Yield was
ultimately unable to meet.  This, in turn, resulted in the
issuance of several default notices by the counterparties and
the exercise of their rights under their agreements to close out trades
and to seize or sell Basis Yield assets that had been the subject of
repurchase agreements or over which they held
security interests.

Default notices were issued by, inter alia, J.P. Morgan Chase
Bank N.A., Goldman Sachs International, Citigroup Global Markets Limited,
Morgan Stanley, Lehman Brothers International (Europe), and Merrill Lynch
International.

In addition, two counterparties issued bid lists for Basis
Yield's assets, which resulted in additional downward pressure
on the relevant asset classes and a further devaluation of the
Fund's assets.

Basis Yield disputed many of the default notices issued or
purportedly issued by various parties.

Basis Capital stopped redemptions from its Yield Alpha Fund and Aust-Rim
Opportunity Fund in July 2007 after both funds lost 9% and 14% in June,
Bloomberg says.

Basis Capital retained The Blackstone Group to act as financial
advisor to the Yield Alpha Fund and Pac-Rim Opportunity Funds.  
Blackstone's role included negotiating with investment banks to prevent
adverse pricing and selling of both funds' assets.

For the past five years, the Yield Alpha Fund returned 15.5% on
average while the Aust-Rim Opportunity Fund provided almost 15%
return on average, according to Bloomberg, citing a July 2007
report by Zenith Investment Partners posted on Basis Capital's
Web site.

Bloomberg notes that the Basis Capital funds had the highest
five-star ratings from Standard & Poor's before the ranking was
put "on hold" on July 17, 2007, because of "issues potentially
affecting the management of the fund," according to S&P.

                    Chapter 15 Ancillary Case

On August 29, 2007, the Liquidators filed a petition before the
U.S. Bankruptcy Court for the Southern District of New York
seeking recognition of Basis Yield's liquidation in the Cayman
Islands as a "foreign main" proceeding under Chapter 15 of the
U.S. Bankruptcy Code.  The Liquidators also asked the U.S. Court to enjoin
and restrain U.S. creditors from commencing actions with respect to the
Fund's assets in the United States.

Basis Yield is estimated to have more than US$100,000,000 in total assets
and total liabilities, and less than 49 creditors, the Chapter 15 petition
said.

The Liquidators noted that in excess of US$50,000,000 of Basis
Yield's assets, held by various financial institutions, are
located within the United States.

Basis Capital has said losses in Basis Yield could exceed 80%,
Tiffany Kary and Jenny Strasburg at Bloomberg report.


BASIS YIELD: S&P Withdraws Fund Rating After Picking Liquidators
----------------------------------------------------------------
Standard & Poor's Fund Services announced that it has withdrawn its fund
rating on the Basis Yield Fund as a result of the fund's appointment of
joint provisional liquidators.

The Yield Fund was placed "On Hold" by S&P on July 18, 2007.
The decision to place the rating "On Hold" was made after the management
of Basis Capital failed to provide S&P a sufficient explanation of its
June performance estimates and the subsequent announcement that the fund
was suspended due to the inability tocalculate a NAV (Net Asset Value).

"S&P has withdrawn its rating following the announcement that the master
fund has been placed into liquidation, with representatives of Grant
Thornton announced as joint provisional liquidators," said S&P fund
analyst David Erdonmez.  S&P understands that Grant Thornton is currently
assessing the fund's financial position.

S&P's "On Hold" rating of the Basis Aust Rim Opportunity Fund remains,
pending the provision of additional information by the management of Basis
Capital.  To date, management has not advised S&P on the positioning of
this fund due to legal restrictions.

The funds affected by this announcement are:

       APIR        Fund Name                          Rating
       ----        ---------                          ------
       BCF0100AU   Basis Aust Rim Opportunity Fund    On Hold
       BCF0001AU   Basis Yield Fund                   Withdrawn

                    About Basis Capital

Basis Yield Alpha Fund (Master) is a Cayman Islands-based mutual fund
managed by Basis Capital Fund Management Ltd. in Australia.

Basis Capital is fully licensed and regulated by the Australian
Securities and Investment Commission as a Responsible Entity.

Basis Capital is a founding member of the Australian Chapter
of the Alternative Investment Management Association.

Bloomberg relates Basis Capital was declared "Fund of the Year"
at the 2005 AsiaHedge awards.  It was also named "Skilled
Manager of the Year" by Macquarie Bank Ltd. in 2004.

                    Road to Bankruptcy

Following the volatility in the market related to the United
States sub-prime lending defaults, by June 2007, Basis Yield
began to suffer a significant devaluation of its asset
portfolio.  The devaluation of the Fund's secured assets led to margin
calls from trade counterparties, which Basis Yield was
ultimately unable to meet.  This, in turn, resulted in the
issuance of several default notices by the counterparties and
the exercise of their rights under their agreements to close out trades
and to seize or sell Basis Yield assets that had been the subject of
repurchase agreements or over which they held
security interests.

Default notices were issued by, inter alia, J.P. Morgan Chase
Bank N.A., Goldman Sachs International, Citigroup Global Markets Limited,
Morgan Stanley, Lehman Brothers International (Europe), and Merrill Lynch
International.

In addition, two counterparties issued bid lists for Basis
Yield's assets, which resulted in additional downward pressure
on the relevant asset classes and a further devaluation of the
Fund's assets.

Basis Yield disputed many of the default notices issued or
purportedly issued by various parties.

Basis Capital stopped redemptions from its Yield Alpha Fund and Aust-Rim
Opportunity Fund in July 2007 after both funds lost 9% and 14% in June,
Bloomberg says.

Basis Capital retained The Blackstone Group to act as financial
advisor to the Yield Alpha Fund and Pac-Rim Opportunity Funds.  
Blackstone's role included negotiating with investment banks to prevent
adverse pricing and selling of both funds' assets.

For the past five years, the Yield Alpha Fund returned 15.5% on
average while the Aust-Rim Opportunity Fund provided almost 15%
return on average, according to Bloomberg, citing a July 2007
report by Zenith Investment Partners posted on Basis Capital's
Web site.

Bloomberg notes that the Basis Capital funds had the highest
five-star ratings from Standard & Poor's before the ranking was
put "on hold" on July 17, 2007, because of "issues potentially
affecting the management of the fund," according to S&P.

                  Chapter 15 Ancillary Case

On Aug. 29, 2007, the Liquidators filed a petition before the
U.S. Bankruptcy Court for the Southern District of New York
seeking recognition of Basis Yield's liquidation in the Cayman
Islands as a "foreign main" proceeding under Chapter 15 of the
U.S. Bankruptcy Code.  The Liquidators also asked the U.S. Court to enjoin
and restrain U.S. creditors from commencing actions with respect to the
Fund's assets in the United States.

Basis Yield is estimated to have more than US$100,000,000 in total assets
and total liabilities, and less than 49 creditors, the Chapter 15 petition
said.

The Liquidators noted that in excess of US$50,000,000 of Basis
Yield's assets, held by various financial institutions, are
located within the United States.

Basis Capital has said losses in Basis Yield could exceed 80%,
Tiffany Kary and Jenny Strasburg at Bloomberg report.


CAUSEWAY NATURAL: Proofs of Claim Filing Is Until Oct. 4
--------------------------------------------------------
Causeway Natural Alpha Fund Ltd.’s creditors are given until Oct. 4, 2007,
to prove their claims to Richard Gordon and Jan Neveril, the company's
liquidators, or be excluded from receiving any distribution or payment.

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

Causeway Natural’s shareholders agreed on Aug. 23, 2007, to place the
company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

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


DIVI TIARA: Sells Off Bedroom Furniture
---------------------------------------
Divi Tiara has sold off all its bedroom furniture, Cayman Net News reports.

Cayman Net relates that Divi Tiara sold:

          -- hard furnishing,
          -- television sets,
          -- draperies, and
          -- linens.

Furniture for each room totaled US$250, Cayman Net notes.

“We are getting the materials that could be used by others to them.  There
is no need for us to hold on to the furniture at the resort when obviously
so many people needed it and we aren’t using it.  If we ever reopen the
resort, we would buy all new hard and soft goods.  No worries, the hotel
buildings are going to continue to stand as is,” Cayman Net says, citing
Divi Tiara’s sales and marketing vice president Mark Steward.

Divi Tiara’s beach is in a dire state after Hurricane Dean brought tons of
sea grass and other debris to the shore, Cayman Net states.

Divi Tiara Beach Resort shut down its operations in Cayman Islands on
Sept. 8, 2006, citing economic reasons.  It terminated its 37 employees on
Sept. 23.


EUROPEAN FINANCIAL: Proofs of Claim Filing Deadline Is Oct. 4
-------------------------------------------------------------
European Financial Investments Ltd.’s creditors are given until Oct. 4,
2007, to prove their claims to Guy Major and Maxine Rawlins, the company's
liquidators, or be excluded from receiving any distribution or payment.

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

European Financial’s shareholder agreed on Aug. 14, 2007, to place the
company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

       Guy Major
       Maples Finance Limited
       P.O. Box 1093
       George Town, Grand Cayman
       Cayman Islands


GLOBAL MID-CAP: Proofs of Claim Must be Filed by Oct. 4
-------------------------------------------------------
Global Mid-Cap Equity Market Neutral Fund Offshore Ltd.’s creditors are
given until Oct. 4, 2007, to prove their claims to Ken Stewart and Richard
Gordon, the company's liquidators, or be excluded from receiving any
distribution or payment.

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

Global Mid-Cap’s shareholder agreed on Aug. 24, 2007, to place the company
into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

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


GLOBAL MID-CAP EQUITY: Proofs of Claim Filing Ends on Oct. 4
------------------------------------------------------------
Global Mid-Cap Equity Market Neutral Fund B Offshore Ltd.’s creditors are
given until Oct. 4, 2007, to prove their claims to Ken Stewart and Richard
Gordon, the company's liquidators, or be excluded from receiving any
distribution or payment.

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

Global Mid-Cap’s shareholder agreed on Aug. 24, 2007, to place the company
into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

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


HARMONY LEASING: Proofs of Claim Filing Deadline Is Oct. 4
----------------------------------------------------------
Harmony Leasing Ltd.’s creditors are given until Oct. 4, 2007, to prove
their claims to Melanie Whittaker and Joshua Grant, the company's
liquidators, or be excluded from receiving any distribution or payment.

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

Harmony Leasing’s shareholder agreed on Aug. 22, 2007, to place the
company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

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


SUBMARINO.COM: Will Hold Final Shareholders Meeting on Oct. 3
-------------------------------------------------------------
Submarino.Com Ltd. will hold its final shareholders meeting on Oct. 3,
2007, at 10:00 a.m., at:

         5th Floor, Strathvale
         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) authorizing the liquidator to retain the records
      of the company for a period of six years from
      the dissolution of the company, after which they
      may be destroyed.

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

The liquidator can be reached at:

         David A. K. Walker
         Jodi Jones
         P.O. Box 258
         Grand Cayman KY1-1104
         Cayman Islands
         Telephone: (345) 914 8694
         Fax: (345) 945 4237


SINGULAR FUND: Proofs of Claim Filing Ends on Sept. 13
------------------------------------------------------
Singular Fund's creditors are given until Sept. 13, 2007, to
prove their claims to Zoom Administracao De Recursos Ltda, the
company's liquidator, or be excluded from receiving any
distribution or payment.

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

Singular Fund's shareholders agreed on Aug. 2, 2007, to place
the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

          Zoom Administracao De Recursos Ltda
          Attention: Wilton McDonald
          c/o Truman Bodden & Company
          5th Floor, Anderson Square Building
          P.O. Box 866
          Grand Cayman KY1-1103
          Cayman Islands
          Tel: (345) 914-4620
          Fax: (345) 815-0570


TANZANITE FINANCE: Sets Final Shareholders Meeting for Oct. 3
-------------------------------------------------------------
Tanzanite Finance III Ltd. will hold its final shareholders meeting on
Oct. 3, 2007, at 10:00 a.m., at:

         P.O. Box 1109
         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) authorizing the liquidator to retain the records
      of the company for a period of five years from
      the dissolution of the company, after which they
      may be destroyed.

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

The liquidators can be reached at:

         Scott Aitken
         Connan Hill
         P.O. Box 1109GT, Grand Cayman
         Cayman Islands
         Telephone: (345) 949-7755
         Fax: (345) 949-7634




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


BOSTON SCIENTIFIC: Board Elects Ray Elliot as Director
------------------------------------------------------
Boston Scientific Corporation's Board of Directors elected Ray Elliott as
member.

Mr. Elliott is Chairman of the Board of Zimmer Holdings, Inc.  Previously,
he served as Chairman, President and Chief Executive Officer of Zimmer
from 2001 to 2007 and President of Zimmer since 1997.  Mr. Elliott has
extensive operating and director experience in medical devices,
orthopaedics and other industries.  In 2005, Mr. Elliott was selected by
Institutional Investor Magazine as the "Best CEO in America" for
Healthcare (Medical Supplies and Devices).

Prior to his roles at Zimmer, Mr. Elliott was President and Chief
Executive Officer of Cybex International, Inc.  Before assuming his role
at Cybex, he was a President and Chief Operating Officer of Southam, Inc.,
and Group President of John Labatt, Ltd.  Previously, he served for 15
years in a number of executive capacities with American Hospital Supply
Corporation, a predecessor to Baxter International, including President of
their Far East divisions in Tokyo.  He holds a B.A. from the University of
Western Ontario.

"Ray is a highly regarded health care industry executive who has
successfully led complex global businesses for more than 20 years," said
Pete Nicholas, Chairman of the Board of Boston Scientific.  "He has a keen
understanding of the role of technology in improving health outcomes, and
he will bring a wealth of valuable experience to our board.  We are
pleased to welcome Ray to Boston Scientific."

With the election of Mr. Elliott, the Boston Scientific Board increases to
15 members.

                   About Boston Scientific

Headquartered in Natick, Massachusetts, Boston Scientific
Corporation (NYSE: BSX) -- http://www.bostonscientific.com/
-- develops, manufactures and markets medical devices used in a
broad range of interventional medical specialties.  The company
has offices in Argentina, Chile, France, Germany, and Japan,
among others.

                        *     *     *

As reported in the Troubled Company Reporter on Aug. 28, 2007,
Standard & Poor's Ratings Services said that its ratings on Boston
Scientific Corp., including the 'BB+' corporate credit rating, remain on
CreditWatch with negative implications, where they were placed Aug. 3,
2007.


EASTMAN KODAK: Reports Reseller Agreement with Ricoh Americas
-------------------------------------------------------------
Eastman Kodak Company and Ricoh Americas Corporation have entered into a
United States reseller agreement at GRAPH EXPO 2007.  Ricoh Americas will
now offer four KODAK NEXPRESS Digital Production Color Presses to its
customers in the in-plant, data center and graphic arts markets, and KODAK
Unified Workflow Solutions and KODAK MARKETMOVER Business Development
Services.

"Kodak is excited to develop a solid relationship in market segments
beyond our traditionally strong position in commercial printing and we
believe customers will see significant value from the alliance between
Kodak and Ricoh," said Kevin Joyce, managing director, United States and
Canada, Kodak's Graphic Communications Group.

As part of the agreement, Ricoh Americas' newly formed Production Printing
Business Group will sell the KODAK NEXPRESS 2100, 2100 Plus, and 2500
Digital Production Color Presses, and the new KODAK NEXPRESS S3000 Digital
Production Color Press.  Ricoh's Printing Business Group direct sales and
engineering staff will work side-by-side with Kodak representatives to
assist Ricoh customers in implementing new digital production color
capabilities.  Service will be provided by KODAK Service and Support.

The NEXPRESS System delivers unique advantages that other digital color
presses cannot match.  The NEXPRESS Fifth Imaging Unit Solutions enable
businesses to print with in-line coating, glossing or a fifth color to
expand the printing gamut and reproduce spot colors.  In addition,
NEXPRESS Systems can be utilized for printing on various size and weight
paper stocks.

This week at Graph Expo, Ricoh Americas announced the creation of
Production Printing Business Group.  The group is dedicated to developing
Ricoh's product portfolio and infrastructure dedicated to production
environments.

"The development of Ricoh's production color strategy is vitally important
as PPBG evolves as a major player in the production printing market
space," said Carl Joachim, vice president of marketing for Production
Printing Business Group.  "We are extremely excited about the future of
our relationship with Kodak.  Ricoh's color strategy will be built on a
combination of enhancing our current high volume offerings in light
production environments, leveraging the synergy made possible through our
relationship with Kodak and new R&D initiatives currently underway."

        About Ricoh's Production Printing Business Group

The Production Printing Business Group of Ricoh Americas Corporation is
dedicated to delivering state-of-the-art, high-speed production systems
that provide efficient document workflows with high-volume production
printing and finishing.  Incorporating superior engineering, service,
reliable technology, and extensive software and finishing options, PPBG
helps production centers to cost-effectively modernize and streamline
their operations to meet today's rapid turnaround
and high-quality demands.

Ricoh Americas Corporation -- http://www.ricoh-usa.com/-- founded in
1962, is headquartered in West Caldwell, New Jersey and is a subsidiary of
the US$17 billion Ricoh Company Ltd., the 71-year-old leading supplier of
office automation equipment.

                     About Eastman Kodak

Headquartered in Rochester, New York, Eastman Kodak Co. (NYSE:
EK)-- http://www.kodak.com/-- develops, manufactures, and
markets digital and traditional imaging products, services, and
solutions to consumers, businesses, the graphic communications
market, the entertainment industry, professionals, healthcare
providers, and other customers.

The company has operations in Argentina, Chile, Denmark, Greece,
Jordan, Yemen, Australia, China among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 18, 2007, Fitch Ratings has upgraded Eastman Kodak Company's
senior unsecured debt to 'B/RR4' from 'B-/RR5' due to improved
recovery prospects following the company's redemption on
May 3, 2007, of a US$1.15 billion secured term loan funded with
a portion of the proceeds from the sale of its Health Group to
Onex Healthcare Holdings, Inc., for US$2.35 billion on
April 30, 2007.

In addition, Fitch has affirmed these Kodak ratings:

     -- Issuer Default Rating 'B';
     -- Secured credit facility 'BB/RR1'.


FONDO ESPERANZA: Feller Rate Puts BB- Rating on Firm
----------------------------------------------------
Chilean ratings agency Feller Rate said in a report that it has assigned a
BB- rating on microlender Fondo Esperanza, with a stable outlook.

Feller Rate told Business News Americas that Fondo Esperanza is owned by
charity Hogar de Cristo.  It is a community bank for the poor and is “the
first of its kind to opt for a private risk rating.”

Fondo Esperanza’s rating is based on its good competitive position and
good management and loan policies, Feller Rate explained to BNamericas.


NOVA CHEMICALS: Paying CDN$0.10 Per Share Dividend on Nov. 15
-------------------------------------------------------------
NOVA Chemicals Corporation has declared a quarterly dividend of CDN0.10
per share on the outstanding common shares of the company, payable on Nov.
15, 2007, to shareholders of record at the close of business on Oct. 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.


SOCIEDAD DE INVERSIONES: Closes Share Capital Increase Placement
----------------------------------------------------------------
Sociedad de Inversiones Pampa Calichera S.A. has successfully completed
the placement of the stock corresponding to its capital increase through
shareholders' preemptive rights, which was launched on Aug. 2, 2007.

The final amount of the capital increase was US$142,625,649.23
corresponding to 282,537,013 new series A shares (99% subscription rate)
and 18,431,632 new series B shares (96% subscription rate).

The resulting paid-in capital of Calichera is US$372,996,227.69 which
corresponds to 1,392,167,818 series A shares and 92,754,595 series B
shares.

                  Purchase Of SQM Shares

Most of the proceeds of the capital increase have been used to purchase
4,465,595 additional Sociedad Quimica y Minera de Chile S.A. (SQM) shares,
with which Calichera's interest in SQM has reached a total of 84,222,887
shares, representing a 32% ownership.

During the offering period of the senior secured notes that Calichera
issued on Feb. 14, 2007, the company's management, as well as its
controlling group of shareholders, announced its intention to increase the
company's ownership of SQM up to 32%, which is the maximum shareholding
permitted under SQM's by-laws for a single shareholder and its related
parties.  Furthermore, they also announced their intention to carry out a
capital increase to assure the necessary funds needed to reach the 32%
ownership of SQM.  Both commitments have been fulfilled by Calichera's
management and controlling shareholders.

On December 2006, Calichera entered into a shareholder agreement with Kowa
Company Ltd., a Japanese company that owns directly and indirectly 2.0% of
SQM's capital stock.  The resulting 34% interest in SQM capital stock held
by Calichera along with Kowa is considered SQM's controlling group for
Chilean regulatory purposes.

Sociedad de Inversiones Pampa Calichera SA is a Chilean investment
company.  The Company holds interests in a variety of goods and
securities.  It is the majority shareholder in Sociedad Quimica y Minera
S.A. In addition, the Company holds a 99% direct interest in Calichera
Caiman and a 25.23% direct interest in Soc. Quimica y Minera De Chile S.A.
Soc. de Inversiones Oro Blanco S.A. owns 66.57% interest in the company.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on Feb. 6,
2007, Standard & Poor's Ratings Services assigned its 'BB-' long-term
corporate credit rating to holding company, Sociedad de Inversiones Pampa
Calichera.  S&P said the outlook is stable.

S&P also assigned a 'BB-' rating to the company's proposed
US$250 million senior secured notes with final maturity in 2022.




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


AES DOMINICANA: Nat’l Council OKs Unit’s US$25-Mil. Bond Issue
--------------------------------------------------------------
AES Dominicana's unit AES-Andres has secured approval from the National
Council of Securities for a US$25-million bond issue, DR1 Newsletter
reports.

DR1 Newsletter notes that the National Council superintendent Haivanjoe Ng
Cortinas disclosed the planned bond issue together with AES Dominicana
Chief Executive Officer Marcos de la Rosa.

According to DR1 Newsletter, the bonds “will be placed in minimum values
of US$10,000, and carry an 18-month time limit.”

DR1 Newsletter relates that AES-Andres will use the services of BHD
Securities and Securities Leon in the bond issue.

The Dominican Power Partners are the guarantors, DR1 Newsletter states.

AES Dominicana is an energy group operating in the Dominican
Republic, which manages two of AES Corp.'s wholly owned
generation assets, Andres and Dominican Power.  AES Dominicana,
through an AES Corp subsidiary, also has a management agreement
to operate EDE-Este, one of the three distribution companies in
the country.  Andres is a power plant with a 304-megawatt
combined cycle generation facility with duel fuel capability
(gas and diesel) but with natural gas supplied through the
liquefied natural gas import facility serving as the primary
fuel while DPP is a 236-megawatt power plant comprising two
simple-cycle combustion turbines that can burn both natural gas
and fuel oil Number 2.  Both plants together have PPA contracts
with EDE-Este for 260 megawatts that increase over time, but
Andres is currently servicing all contracts given its greater
efficiency.  Andres LNG terminal includes a large tanker berth
and jetty, an LNG refueling pier, and a one million barrel
(160,000 cubic meters) LNG storage tank, as well as
regasification and handling facilities for both LNG and diesel.

As reported in the Troubled Company Reporter-Latin America on March 21,
2007, Standard & Poor's Ratings Services revised its outlook on AES
Dominicana Energia Finance S.A.'s US$160 million senior notes.  At the
same time, the 'B-' long-term rating on AES Dominicana's notes was
affirmed.


CERVECERIA NACIONAL: Senior Notes Tender Offer Expires Sept. 12
---------------------------------------------------------------
Cerveceria Nacional Dominicana, C. por A. has elected to extend the
expiration time of its previously announced tender offer for its 8.000%
Senior Notes due 2014.  This extension will provide the Company with
additional time to finalize the financing of the Tender Offer on terms and
conditions reasonably satisfactory to it.  The expiration time of the
Tender Offer is now 5:00 p.m. on Sept. 12, 2007.  No other terms or
conditions of the Tender Offer have been changed.

As of 5:00 p.m., New York City time, on Sept. 7, 2007 (previously
announced expiration time), holders of approximately US$210,000,000 in
aggregate principal amount of the Notes had tendered their Notes pursuant
to the Tender Offer.  This represents approximately 82% of the outstanding
principal amount of the Notes.

Holders whose Notes have been validly tendered by the early tender time
and whose Notes are accepted for payment will receive the total
consideration US$1,035, which includes an early tender payment of US$35
per US$1,000 principal amount of Notes, plus accrued and unpaid interest
on the Notes up to but not including the payment date.

Holders whose Notes are validly tendered after the early tender time but
on or prior to the expiration time, as extended, and whose Notes are
accepted for payment will receive US$1,000 per US$1,000 principal amount
of the Notes plus accrued and unpaid interest.

The company is offering to purchase up to US$50,000,000 aggregate
principal amount of its Notes.

The Tender Offer is subject to the Tender Cap and consummation is
conditioned upon the following events having occurred or been waived: (i)
the company having raised funds in one or more financings sufficient to
purchase an amount of Notes up to the Tender Cap and to pay fees and
expenses in connection therewith on terms and conditions reasonably
satisfactory to the company, and (ii) satisfaction of other general
conditions described in the Offer to Purchase.  The company may increase
or waive the Tender Cap in its sole discretion.

The complete terms and conditions of the Tender Offer are described in the
Offer to Purchase, dated Aug. 6, 2007, of the Company and the related
letter of transmittal, each as amended by the press release dated Aug. 20,
2007 and by this press release.  The company has engaged Citigroup
Corporate and Investment Banking to act as dealer manager in connection
with the tender offer.  The company has engaged Deutsche Bank Luxembourg
S.A. as the Luxembourg Tender Agent.  Questions regarding the Tender Offer
may be directed to Citigroup at (212) 723-6108 or (800) 558-3745.
Requests for documentation may be directed to Global Bondholder Services
Corporation, the tender agent and information agent for the Tender Offer,
at (212) 430-3774 or (866) 736-2200.

The Tender Offer is not being made in Italy.

The applicable provisions of the United Kingdom's Financial Services and
Markets Act of 2000 must be complied with in respect of anything done in
relation to the Tender Offer in, from or otherwise involving the United
Kingdom.

The Offer to Purchase and the Letter of Transmittal are only being
distributed to and is only directed at (i) persons who are outside the
United Kingdom or (ii) to investment professionals falling within Article
19(5) of the Financial Services and Markets Act 2000 Order 2005 or (iii)
high net worth entities, and other persons to whom it may lawfully be
communicated, falling within Articles 49(2)(a) to (d) of the Order.  Any
investment or investment activity to which the Offer to Purchase and the
Letter of Transmittal relate is available only to relevant persons and
will be engaged in only with relevant persons.  Any persn who is not a
relevant person should not act or rely on the Offer to Purchase and the
Letter of Transmittal or any of their contents.

Headquartered in Santo Domino, Dominican Republic, Cerveceria Nacional
Dominicana, C. por A. is the leading beer company in the Dominican
Republic.  Cerveceria Nacional's main beer brands
are Presidente, Presidente Light and Bohemia, which account for about 95%
of revenues.  The company also is the leader in the Dominican
non-alcoholic malts market and has a growing export business, which serves
the U.S. East Coast, the Caribbean and various other regions including
Europe.  Cerveceria Nacional is the main operating subsidiary of E. Leon
Jimenes, a family-controlled holding company.  Fiscal 2006 revenues
reached about US$497 million.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on May 4, 2007,
Moody's Investors Service upgraded to Ba3 from B1 Cerveceria Nacional
Dominicana's, C. por A. 8% US$255 million senior notes due 2014 and the
company's foreign currency corporate family rating.  The rating action
solely reflects Moody's upgrade of the Dominican Republic's foreign
currency country ceiling to Ba3 from B1 and concludes the reviews for
upgrade initiated in March 2007.  Cerveceria Nacional's 16% US$175 million
Dominican peso linked senior notes due 2012 and the company's local
currency corporate family rating were affirmed at Ba3.  The rating outlook
is stable for all ratings.

Rating upgraded:

   -- 8.0% US$255 million senior unsecured notes due 2014,
      to Ba3 from B1 (foreign currency)

   -- Foreign currency corporate family rating, to Ba3 from B1

Ratings affirmed:

   -- 16% US$175 million Dominican peso linked senior
      unsecured notes due 2012, at Ba3 (local currency)

   -- Local currency corporate family rating, at Ba3


GUESS? INC: Brean Murray Holds Buy Rating on Firm’s Shares
----------------------------------------------------------
Brean Murray analyst Eric M. Beder has kept his "buy" rating on GUESS?
Inc’s shares, Newratings.com reports.

According to Newratings.com, the target price for Guess?’s shares was set
at US$57.

Mr. Beder said in a research note that Guess?’s reported its second
quarter 2007 results with earnings per share surpassing estimates and the
consensus.

Newratings.com notes that Guess? issued a “cautious guidance” for the
second half of this year.

Mr. Beder told Newratings.com that Guess? remains in touch with some “key
fashion trends, which should result in continued robust results in the
domestic and European” markets.

The earnings per share estimates for 2007 and 2008 were increased to
US$1.86 from US$1.81 and US$2.20 from US$2.18, respectively,
Newratings.com states.

Guess? Inc. (NYSE: GES) -- http://www.guessinc.com/-- designs,
markets, distributes and licenses a lifestyle collection of
contemporary apparel, accessories and related consumer products.
At May 5, 2007, the company operated 336 retail stores in the
United States and Canada.  The company also distributes its
products through better department and specialty stores around
the world, including the Philippines, Hungary and the Dominican
Republic.

                        *     *     *

Guess? Inc. still carries Standard & Poor's "BB" long-term
foreign and local issuer credit ratings, which were assigned in
December 2006.


GUESS? INC: Deutsche Bank Maintains Buy Rating on Firm’s Shares
---------------------------------------------------------------
Deutsche Bank Securities analyst Gabrielle Kivitz has kept her "buy"
rating on Guess? Inc’s shares, Newratings.com reports.

Newratings.com relates that the target price for Guess?’s shares was
increased to US$62 from US$59.

Ms. Kivitz said in a research note that Guess? surpassed second quarter
earnings estimates as well as the consensus.

Ms. Kivitz told Newratings.com that Guess? generated 48% total sales
growth.  All its business sectors surpassed expectations.

According to Newratings.com, Guess? raised its earnings per share guidance
for this year by US$0.04 to up to US$1.84, which is still conservative in
view of the firm’s strong performance in the first six months.

The earnings per share estimates for 2007 and 2008 were increased to
US$1.92 from US$1.88 and US$2.30 from US$2.28, respectively,
Newratings.com states.

Guess? Inc. (NYSE: GES) -- http://www.guessinc.com/-- designs,
markets, distributes and licenses a lifestyle collection of
contemporary apparel, accessories and related consumer products.
At May 5, 2007, the company operated 336 retail stores in the
United States and Canada.  The company also distributes its
products through better department and specialty stores around
the world, including the Philippines, Hungary and the Dominican
Republic.

                        *     *     *

Guess? Inc. still carries Standard & Poor's "BB" long-term
foreign and local issuer credit ratings, which were assigned in
December 2006.




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


PETROECUADOR: In Search of Advisory Firm for Various Deals
----------------------------------------------------------
Ecuadorian state-run oil firm Petroecuador’s spokesperson told Business
News Americas that the company is negotiating with companies to provide
advise on corporate restructuring, international bidding and refinery
contracts.

BNamericas relates that Petroecuador is negotiating with:

          -- Wood Mackenzie,
          -- Gasnick & Kline, and
          -- Anglo-Dutch oil company Shell.

Petroecuador head Carlos Pareja Yannuzzelli said in a statement that a
contract with Wood Mackenzie to help restructure the firm was going to be
signed in the "coming days."

Mr. Pareja commented to BNamericas, "This company [Wood Mackenzie] has
ample experience in the area [and] transformed Petrobras, Ecopetrol,
Statoil, among others."

BNamericas notes that Petroecuador was negotiating a contract with Gasnick
& Kline to advise the firm on oil licensing rounds and international
bidding.

Meanwhile, Petroecuador is in talks with Shell to get assistance in the
modernization of the Esmeraldas plant, BNamericas states.

Petroecuador, according to published reports, is faced with
cash-problems.  The state-oil firm has no funds for maintenance,
has no funds to repair pumps in diesel, gasoline and natural gas
refineries, and has no capacity to pay suppliers and vendors.
The government refused to give the much-needed cash alleging
inefficiency and non-transparency in Petroecuador's dealings.


* ECUADOR: Debt Payment Depends on Economic Growth
--------------------------------------------------
Ecuador's Minister of Economic and Production Policy Coordination,
Mauricio Davalos, told Bloomberg News that his country would pay debts as
long as economic growth persists and social program budget won't be
limited.

The country's president, Rafael Correa, made default threats
earlier this year, which put investors on edge.  Fears were
allayed when Ecuador made its payment a day after it announced it would
use a 30-day grace period to pay US$135 million in interest payments due
Feb. 15.

Ecuador's forecast of economic expansion would at least be four percent in
2008, higher than the 3.5% projection for this year, Bloomberg relates,
citing the economic minister.

The spread, or extra yield, investors demand to own Ecuadorean bonds
instead of U.S. Treasuries widened 15 basis points to 7.06 percent, at
3:16 p.m. New York time, according to Bloomberg, citing JPMorgan's EMBI
Plus index.

                        *     *     *

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

In addition, these ratings were downgraded:

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

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

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

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


* ECUADOR: Investing US$721.7 Mil. in Oil & Electricity Projects
----------------------------------------------------------------
The Ecuadorian economy ministry said in a statement that the government
will invest some US$721.7 million in projects to increase oil production
and electricity generation.

According to the ministry’s statement, an Ecuadorean government commitee
ratified the investments for four energy projects.

The ministry told Reuters that the projects include:

           -- an upgrade to the 110,000-barrels-per-day
              Esmeraldas oil plant,

           -- repair of secondary oil lines, and

           -- construction of a hydroelectric plant.

Reuters notes that Ecuador’s oil production has decreased in recent years
due to the lack of investment in oil projects.

The ministry said in a statement that the projects would be funded by
proceeds from government oil revenue fund FEISEH.  The plant will get a
10-year loan for US$187 million from FEISEH.

Anglo-Dutch oil firm Royal Dutch Shell will conduct the upgrade for the
plant, Dow Jones Newswires relates, citing Ecuadorian state-run oil firm
Petroecuador head Carlos Pareja.

According to the ministry’s statement, the 228-megawatt Toachi-Pilaton
hydroelectric dam will get a US$84-million direct investment and a
US$336-million loan.

Some US$114.7 million will be taken from two five-year loans for the
modernization of a network of secondary pipelines, Dow Jones states.

                        *     *     *

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

In addition, these ratings were downgraded:

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

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

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

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


* ECUADOR: To Appoint Jaime Guerrero Ruiz as Conatel Head
---------------------------------------------------------
The Ecuadorian government said in a statement that President Rafael Correa
will appoint Jaime Guerrero Ruiz as chief of telecoms regulator Conatel.

Business News Americas relates that Mr. Guerrero will replace Juan Carlos
Aviles, who left the post on Aug. 31, 2007.

Mr. Guerrero is a member of the board of local mobile telephony operator
Alegro PCS.  He previously worked for firms like Solutions, Teleholding
and Micronet, BNamericas states.

                        *     *     *

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

In addition, these ratings were downgraded:

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

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

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

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




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


AMERICAN GREETINGS: Jeffrey Dunn Joins Board of Directors
---------------------------------------------------------
Jeffrey Dunn has joined the Board of Directors of American Greetings
Corporation.  Mr. Dunn was elected to fill a vacancy on the board for a
term that expires in 2008.  Mr. Dunn most recently served as both the
Chief Operating Officer of the Nickelodeon Networks group and the
President of Nickelodeon Film Enterprises.

"We are delighted to have Jeff join us," said Zev Weiss, chief executive
officer.  "American Greetings will benefit from his business acumen and
expertise, particularly with regard to digital content and licensing.  We
look forward to his contributions in the coming years."

Mr. Dunn helped build Nickelodeon into one of the world's largest digital
media businesses for children and one of the largest licensing businesses
in the world.  Nickelodeon also became the first TV brand to build a
significant off air business.  Mr. Dunn graduated with honors from Harvard
College and received his MBA degree from the Harvard Graduate School of
Business Administration.

Cleveland, Ohio-based American Greetings Corporation (NYSE: AM) --
http://corporate.americangreetings.com/-- manufactures social expression
products.  American Greetings also manufactures and sells greeting cards,
gift wrap, party goods, candles, balloons, stationery and giftware
throughout the world, primarily in Canada, the United Kingdom, Mexico,
Australia, New
Zealand and South Africa.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on June 18,
2007, Moody's Investors Service affirmed American Greetings Corporation's
ratings, but revised its ratings outlook
to stable from negative.

Ratings Affirmed:

   -- Corporate family rating at Ba1;

   -- Probability-of-default rating at Ba1;

   -- US$350 million guaranteed senior secured revolving credit
      facility due 2011 at Baa3 (LGD2, 21%);

   -- US$100 million guaranteed senior secured delay draw term
      loan facility due 2013 at Baa3 (LGD2, 21%);

   -- US$200 million senior unsecured notes due 2016 at Ba2
      (LGD5, 75%);

   -- US$22.7 million senior unsecured notes due 2028 at Ba2
      (LGD5, 75%).


BALLY TOTAL: Delays Second Quarter 2007 Financial Report Filing
---------------------------------------------------------------
Bally Total Fitness Holding Corporation has advised the United States
Securities and Exchange Commission that it won't be able to file its
financial report on Form 10-Q for the quarter ended
June 30, 2007, on time without unreasonable effort and expense.

Bally is also unable to provide a reasonable estimate of its second
quarter 2007 results of operations.

The company continues to evaluate the impact that certain errors in
historical member data and certain assumptions relating to attrition
estimates have on its estimates of deferred revenue, Marc D. Bassewitz,
Bally's senior vice president, secretary and general counsel, explains.

Mr. Bassewitz also cites Bally's ongoing discussions with creditors,
financial institutions and other parties on bankruptcy matters.

"[Bally] cannot at this time estimate what significant changes will be
reflected in its second quarter 2007 results of operations compared to its
second quarter 2006 results of operations," Mr. Bassewitz says.

Bally and substantially all of its domestic affiliates filed for
bankruptcy protection on July 31, 2007.

The considerable work associated with the evaluation substantially delayed
Bally's preparation of its 2006 financial statements and its completion of
the financial and other information to be included in the 2006 Form 10-K
filed June 29, 2007.  Bally also was unable to timely file its Form 10-Q
for the quarter ended March 31, 2007.

                  About Bally Total Fitness

Based in Chicago, Illinois, Bally Total Fitness Holding Corp. (Pink
Sheets: BFTH.PK) -- http://www.ballyfitness.com/-- operates 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 Total and its affiliates filed for chapter 11 protection on July 31,
2007 (Bankr. S.D.N.Y. Case No. 07-12396) after obtaining requisite number
of votes in favor of their pre-packaged chapter 11 plan.  Joseph Furst,
III, Esq. at Latham & Watkins, L.L.P. represents the Debtors in their
restructuring efforts.  As of
June 30, 2007, the Debtors had US$408,546,205 in total assets and
US$1,825,941,54627 in total liabilities.

The Debtors filed their Joint Prepackaged Plan & Disclosure Statement on
July 31, 2007.  On Aug. 13, 2007, they filed an Amended Joint Prepackaged
Plan and on Aug. 17 filed a Modified Amended Prepackaged Plan.  The
hearing to consider confirmation of the Debtors' prepackaged plan is set
for Sept. 17, 2007.  (Bally Total Fitness Bankruptcy News, Issue No. 7;
Bankruptcy Creditors' Services Inc. http://bankrupt.com/newsstand/or
215/945-7000)


EMPRESAS ICA: Wins La Yesca Construction Contract
-------------------------------------------------
A consortium that includes Empresas ICA, S.A. de C.V. has won the
construct contract for the 70-megawatt La Yesca hydroelectric project from
Mexico’s state power firm Comision Federal de Electricidad, Business News
Americas reports, citing Comision Federal.

BNamericas relates that the consortium also includes:

          -- Promotora e Inversora Adisa,
          -- La Peninsular Compania Constructora, and
          -- Constructora de Proyectos Hidroelectricos.

According to BNamericas, the consortium offered US$768 million for the
project in August 2007.

Empresas ICA construction director Luis Horcasitas told journalists that
the consortium won the tender due to:

          -- better planning of the works,
          -- knowledge of the area, and
          -- experience with other projects.

The consortium also had the highest score on a technical level, BNamericas
says, citing Comision Federal.

BNamericas notes that the consortium will sign the contract for the
project before Sept. 21, 2007.  Construction work will be launched at the
end of September and will last until June 2012.

Empresas ICA’s La Yesca deputy project director Alfredo Sanchez told the
press that the consortium will fund the construction work with loans from
various banks.  It is still in talks on the size of the deals.

The dam will be 220 meters high, making it the tallest dam in Mexico.  It
will be situated on the Santiago river in Nayarit and Jalisco, BNamericas
states.

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

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

                        *     *     *

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


GRUPO MEXICO: New Union Wants Good Relations with Mining Firms
--------------------------------------------------------------
The new Mexican mine workers union SNEEBMRM’s general secretary Francisco
Hernandez Gamez told Business News Americas that the union wants to have
good relations with mining companies, which include Grupo Mexico SA, de
CV.

As reported in the Troubled Company Reporter-Latin America on Sept. 10,
2007, almost all of Grupo Mexico’s employees voted in favor of joining a
new labor union.  Results of the vote held at eight Grupo Mexico
facilities indicated that over 4,000 employees are in favor of the new
union.  Meanwhile, about 137 opted to remain with the National Mining and
Metal Workers Union led by Napoleon Gomez Urrutia, which is facing a
conflict with Grupo Mexico.

Mr. Gamez commented to BNamericas, "We are confident that more miners are
going to want to affiliate themselves with our union."

Mr. Gamez told BNamericas that miners who were tired of the old union run
by Mr. Urrutia created the new union last year.

Meanwhile, the National Mining and Metal Workers Union filed an appeal for
a probe into alleged irregularities in the voting process, BNamericas
notes, citing the union’s representative.  Proof of irregularities in the
voting process is being collected and will be submitted to the labor
ministry's federal arbitration and reconciliation council.

BNamericas notes that the labor ministry said the voting was conducted
lawfully and in an orderly manner.

The big dividends being given out across Mexico to employees at copper
mines should be a good incentive for miners to work, BNamericas says,
citing Mr. Gamez.

Grupo Mexico had said in May 2007 that it paid some MXN1.40 billion in
dividends to its 8,000 mining workers, BNamericas states.

Grupo Mexico SA de C.V. -- http://www.grupomexico.com/--
through its ownership of Asarco and the Southern Peru Copper
Company, Grupo Mexico is the world's third largest copper
producer, fourth largest silver producer and fifth largest
producer of zinc and molybdenum.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 29, 2006, Fitch upgraded the local and foreign currency
Issuer Default Rating assigned to Grupo Mexico, S.A. de C. V. to
'BB+' from 'BB'.  Fitch said the rating outlook is stable.


HILLMAN GROUP: Paying US$0.241667 Cash Distribution on Oct. 1
-------------------------------------------------------------
The Hillman Companies, Inc.'s Chief Executive Officer Max W. Hillman, has
announced that a cash distribution has been declared by Hillman Group
Capital Trust for the month of September 2007 in the amount of US$0.241667
for each Trust Preferred Security.  The distribution will be payable
Oct. 1, 2007 to holders of record Sept. 17, 2007.

The Hillman Companies, Inc. -- http://www.hillmangroup.com
-- manufactures key making equipment and distributes key blank, fasteners,
signage and other small hardware components.  The company sells and
markets to hardware stores, home centers and mass merchants in the United
States, Canada, Mexico and South America.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on Oct. 3,
2006, in connection with Moody's Investors Service's implementation of its
new Probability-of-Default and Loss-Given-Default rating methodology for
the U.S. Consumer Products, Beverage, Toy, Natural Product Processors,
Packaged Food Processors and Agricultural Cooperative sectors, the rating
agency confirmed its B2 Corporate Family Rating for The Hillman Companies,
Inc.  The rating agency upgraded to Ba3 its B2 rating on the Company's
US$40 million senior secured revolver; and also to Ba3 its B2 rating on
the Company's US$235 million secured term loan.  Additionally, Moody's
assigned its LGD2 rating to the company's US$40 million senior secured
revolver and US$235 million senior secured term loan, suggesting
noteholders will experience a 23% loss in the event of a default.


RYERSON INC: Antitrust Act Waiting Period Expires Sept. 4
---------------------------------------------------------
Ryerson Inc. has announced that the waiting period under the
Hart-Scott-Rodino Antitrust Improvements Act of 1976 relating to the
proposed merger with an affiliate of Platinum Equity LLC expired on Sept.
4, 2007.  The Act requires parties to mergers or acquisitions that meet
certain thresholds to notify the Federal Trade Commission and U.S.
Department of Justice of the transaction and observe a mandatory waiting
period prior to closing the transaction.  The expiration of the
Hart-Scott-Rodino waiting period completes the pre-closing U.S. antitrust
review process of the proposed transaction.

In addition, the transaction with Platinum is subject to pre-merger
notification under the Competition Act.  The company is in the process of
seeking an advance ruling certificate from the Commissioner of Competition
which would exempt the transaction from the pre-merger notification
obligations.  The parties also intend to seek from the Commissioner a
"no-action" letter and a waiver of the parties' obligation to notify the
Commissioner in respect of the transaction.

The transaction is subject to the approval of Ryerson's stockholders and
other customary closing conditions and is expected to be completed in the
fourth quarter of 2007.

                    Important Information

In connection with its proposed merger with an affiliate of Platinum
Equity, LLC, Ryerson filed a preliminary proxy statement on Aug. 28, 2007,
with the U.S. Securities and Exchange Commission and plans to file a
definitive proxy statement.  The definitive proxy statement will be mailed
to stockholders of Ryerson.  Stockholders of Ryerson are urged to read the
proxy statement relating to the merger and other relevant materials when
they become available because they will contain important information
about the merger and Ryerson.  Security holders may obtain a free copy of
the proxy statement and any other relevant documents that Ryerson files
with the SEC at the SEC's web site at http://www.sec.gov/ The definitive
proxy statement and these other documents may be accessed at
http://www.ryerson.comor obtained free from Ryerson by directing a
request to:

       Ryerson Inc.
       ATTN: Investor Relations
       2621 West 15th Place
       Chicago, IL 60608.

           Certain Information Regarding Participants

Ryerson, its directors and executive officers may be deemed to be
participants in the solicitation of the Company's security holders in
connection with the proposed merger.  Security holders may obtain
information regarding the names, affiliations and interests of such
individuals in the company's preliminary proxy statement in connection
with the proposed merger, which was filed with the SEC on Aug. 28, 2007.
To the extent holdings of the Company's equity securities have changed
since the amounts reflected in such proxy statement, such changes have
been reflected on Statements of Change in Ownership on Form 4 filed with
the SEC.

Ryerson Inc. (NYSE: RYI) -- http://www.ryerson.com/-- is a distributor
and processor of metals in North America, with 2006 revenues of US$5.9
billion.  The company services customers through a network of service
centers across the United States and in Canada, Mexico, India, and China.
On Jan. 1, 2006, the company changed its name from Ryerson Tull Inc. to
Ryerson Inc.

                        *     *     *

As reported in the Troubled Company Reporter on July 26, 2007, Moody's
Investors Service placed Ryerson Inc.'s B1 corporate family rating under
review for possible downgrade.


SANMINA-SCI CORP: Gets Lenders' Consent on Inter-Company Loans
--------------------------------------------------------------
Sanmina-SCI Corporation obtained a consent from lenders under its Amended
and Restated Credit and Guaranty Agreement, dated Dec. 16, 2005.

The amended credit agreement is with respect to certain transactions the
company and its subsidiaries propose to undertake in connection with the
rationalization of inter-company loans.

Under the consent, the lenders party to the agreement gave their consent
to the company and its subsidiaries assigning inter-company loans and
making equity investments within the corporate group up to specified
thresholds.

                      About Sanmina-SCI

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

The company has locations in Brazil, China, Ireland, Finland,
Malaysia, Mexico and Singapore, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 23, 2007, Moody's Investors Service placed the ratings of
Sanmina-SCI Corporation on review for possible downgrade based
on the company's continued poor operating results, which reflect
weak demand from OEMs and operational inefficiencies in the
components business.

Ratings under review for possible downgrade include:

  -- Ba3 Corporate Family Rating;
  -- Ba3 rating on US$300 million floating rate notes due 2010;
  -- Ba3 rating on US$300 million floating rate notes due 2014;
  -- B2 rating on US$400 million senior subordinated notes due
     2013;
  -- B2 rating on US$600 million senior subordinated notes due
     2016;
  -- SGL -- 2 Speculative Grade Liquidity Rating.


SANMINA-SCI CORP: Names Joseph Bronson as President & COO
---------------------------------------------------------
Sanmina-SCI Corporation elected Joseph R. Bronson President and COO and
Director.  As President and COO, Mr. Bronson will be responsible for the
company's business execution, financial and operational performance, and
the overall business development and growth strategy.

Mr. Bronson most recently served as President and Director of FormFactor,
Inc., a manufacturer of high performance advanced semiconductor wafer
probe cards.

Mr. Bronson also spent 20 years at Applied Materials in senior level
operations management positions concluding with Executive Vice President
and Chief Financial Officer of the company.  In addition to his role as
Chief Financial Officer, he was responsible for the company's global
quality function, information technology, real estate, environmental
health and safety systems and corporate communications.

"We are extremely pleased to have Joe Bronson join Sanmina-SCI's
management team and Board of Directors.  [Mr. Bronson]'s expertise and
diverse backgrounds in high-end technology, financial discipline, and
operations management will be invaluable to the strategic direction of the
company," stated Jure Sola, Chairman and Chief Executive Officer of
Sanmina-SCI Corporation.

              Joseph G. Licata, Jr. as New Director

On the same date, Sanmina-SCI appointed Joseph G. Licata Jr. to
the company's Board of Directors effective Aug. 20, 2007.
Mr. Licata will also serve as a member of the Compensation
Committee.

Mr. Licata meets the independent director requirements as
defined by NASDAQ and Institutional Shareholder Services.

Mr. Licata is an industry leader with over 25 years of cross-
functional high-end technology experience and currently serves
as President and Chief Executive Officer of SER Solutions, Inc.,
a global leader of call management & speech analytics solutions.
Mr. Licata also served as President of Siemens Enterprise
Networks, LLC and held executive positions at IBM and ROLM
Corporation.  He currently sits on the Board of Advisors of
Dave.TV, a broadcast media software company, and is on the
Advisory Board at Georgia Tech University.  Mr. Licata earned a
B.S. in Management Information Systems from Florida State
University and resides in Duluth, Georgia.

"We are fortunate to have someone of Joe's caliber join our
board of directors.  His unique insight and experience will add
significant value to this organization," stated Jure Sola,
Chairman and Chief Executive Officer of Sanmina-SCI Corp.

                        About Sanmina-SCI

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

The company has locations in Brazil, China, Ireland, Finland,
Malaysia, Mexico and Singapore, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 23, 2007, Moody's Investors Service placed the ratings of
Sanmina-SCI Corporation on review for possible downgrade based
on the company's continued poor operating results, which reflect
weak demand from OEMs and operational inefficiencies in the
components business.

Ratings under review for possible downgrade include:

  -- Ba3 Corporate Family Rating;
  -- Ba3 rating on US$300 million floating rate notes due 2010;
  -- Ba3 rating on US$300 million floating rate notes due 2014;
  -- B2 rating on US$400 million senior subordinated notes due
     2013;
  -- B2 rating on US$600 million senior subordinated notes due
     2016;
  -- SGL -- 2 Speculative Grade Liquidity Rating.


SANMINA-SCI CORP: Posts US$27.6MM Net Loss in Qtr. Ended June 30
----------------------------------------------------------------
Sanmina-SCI Corporation incurred net loss of US$27.6 million on net sales
of US$2.5 billion for the three months ended
June 30, 2007, as compared with a net loss of US$54.8 million on net sales
of US$2.7 billion for the three months ended
July 1, 2006.

The company had a net loss of US$25.5 million on net sales of
US$7.9 billion for the first half of 2007, as compared with a net loss of
US$113.5 million on net sales of US$8.2 billion for the first half of
2006.

As of June 30, 2007, the company's balance sheet showed total assets of
US$5.8 billion, total liabilities of US$3.5 billion, and total
stockholders' equity of US$2.3 billion.

               Liquidity and Capital Resources

Cash and cash equivalents were US$802.7 million at
June 30, 2007, and US$505.6 million at Sept. 30, 2006, including
restricted cash of US$22.2 million and US$13.8 million at
June 30, 2007, and Sept. 30, 2006, respectively.

On June 12, 2007, the company issued US$300 million aggregate principal
amount of Senior Floating Rate Notes due 2010 and
US$300 million aggregate principal amount of Senior Floating Rate Notes
due 2014.  The Notes accrue interest at a rate per annum, reset quarterly,
equal to three-month LIBOR plus 2.75%, which is payable in cash quarterly
in arrears on March 15,
June 15, Sept. 15 and Dec. 15, beginning on Sept. 15, 2007.  The 2010
Notes will mature on June 15, 2010, and the 2014 Notes will mature on June
15, 2014.

The company incurred debt issuance costs of US$12 million, which were
included in prepaid expenses and other current assets and other
non-current assets and amortized over the life of the debt as interest
expense.

The Notes are senior unsecured obligations and rank equal in right of
payment with all of the company's existing and future senior unsecured
debt.

A full-text copy of the company's quarterly report is available for free
at http://ResearchArchives.com/t/s?231f

                      About Sanmina-SCI

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

The company has locations in Brazil, China, Ireland, Finland,
Malaysia, Mexico and Singapore, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Aug. 23, 2007, Moody's Investors Service placed the ratings of
Sanmina-SCI Corporation on review for possible downgrade based
on the company's continued poor operating results, which reflect
weak demand from OEMs and operational inefficiencies in the
components business.

Ratings under review for possible downgrade include:

  -- Ba3 Corporate Family Rating;
  -- Ba3 rating on US$300 million floating rate notes due 2010;
  -- Ba3 rating on US$300 million floating rate notes due 2014;
  -- B2 rating on US$400 million senior subordinated notes due
     2013;
  -- B2 rating on US$600 million senior subordinated notes due
     2016;
  -- SGL -- 2 Speculative Grade Liquidity Rating.




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


* PERU: In Talks with South Korea for Free Trade Accord
-------------------------------------------------------
The governments of Peru and Korea are in talks to form a bilateral free
trade agreement during a summit between South Korean President Roh
Moo-hyun and Peruvian President Alan Garcia, the Korea Herald reports,
citing Yonhap News Agency as saying.

Cheon Ho-seon told the media that: "Roh and Garcia met on the sidelines of
the APEC forum summit and agreed to push for a bilateral FTA deal and
reinforce two-way cooperation in resources, energy, trade and technology,
among others."

According to Mr. Ho-seon, the two presidents had the same vision that
cooperation between Asia and South America is highly necessary.

                        *     *     *

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


PEP BOYS: Promotes Messrs. Odell & Webb as COO & Sr. Vice Pres.
---------------------------------------------------------------
The Pep Boys – Manny, Moe & Jack has appointed Michael Odell as its new
Executive Vice President & Chief Operating Officer and Scott Webb as its
new Senior Vice President – Merchandising & Marketing.  Both of these
executives are expected to start their employment with Pep Boys by Sept.
17, 2007.

Mr. Odell most recently served as Executive Vice President and General
Manager of Sears Retail & Specialty Stores, a US$27 billion division of
Sears Holdings Corporations.  Mr. Odell joined Sears in its finance
department in 1994 where he served until he joined Sears’ operations team
in 1998.  There he served in various executive operations positions of
increasing seniority, including as Vice President, Stores - Sears
Automotive Group.

Mr. Webb most recently served as Vice President, Merchandising and
Customer Satisfaction of AutoZone.  Mr. Webb joined AutoZone in 1986 where
he began his service in field management before transitioning, in 1992, to
merchandising and hard parts sourcing.

Jeff Rachor, President & CEO, said, “We are extremely pleased to add these
two outstanding executives to our senior leadership team.  Both gentlemen
bring clear subject matter expertise in the automotive aftermarket
industry.  Their successful track records and extensive experience in
automotive retailing will be invaluable as we position Pep Boys for
transformational change.”

                       About Pep Boys

The Pep Boys - Manny, Moe & Jack (NYSE: PBY) --
http://pepboys.com/-- has 593 stores and more than 6,000
service bays in 36 states and Puerto Rico.  Along with its
vehicle repair and maintenance capabilities, the Company also
serves the commercial auto parts delivery market and is one of
the leading sellers of replacement tires in the United States.

                        *     *     *

As reported in the Troubled Company Reporter on Sept. 22, 2006,
Standard & Poor's Ratings Services affirmed its 'B+' rating on
Pep Boys-Manny, Moe & Jack's term loan after the company
announced plans to increase the size of the facility by US$120
million to US$320 million.  Proceeds from the additional US$120
million term loan will be used to refinance its convertible
notes which mature in June 2007.  At the same time, the rating
on the US$357.5 million asset-based revolver was raised to 'B+'
from 'B' to properly realign its ratings with the term loan and
to reflect Standard & Poor's increased comfort with the
collateral and terms securing this facility.  The 'B-' corporate
credit and other ratings were affirmed; the outlook is negative.




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


SENSIENT TECH: Promotes Douglas Pepper as VP-Human Resources
------------------------------------------------------------
Sensient Technologies Corporation has promoted Douglas S. Pepper to Vice
President, Human Resources.

Mr. Pepper joined Sensient in 2005 as Chief Financial Officer of the
Sensient Color Group.  He has more than 25 years of experience in
accounting and administration.  Prior to joining Sensient, he was a
regional CFO of Omnicare, Inc., and a Senior Vice President at Carboline
Company, a specialty coatings manufacturing company.

Mr. Pepper is a Certified Public Accountant with a Bachelor of Science
degree in Business Administration from Southern Illinois University.

“Doug Pepper fills a key position as the Vice President of Human
Resources, and we welcome him to our headquarters in Milwaukee,” said
Kenneth P. Manning, Chairman and CEO of Sensient Technologies Corporation.

Headquartered in Milwaukee, Wisconsin, Sensient Technologies
Corp. -- http://www.sensient-tech.com/-- manufactures and
markets colors, flavors and fragrances.  Sensient also employs
technologies to develop specialty chemicals for inkjet inks,
display imaging systems and other applications.  The company's
principal products include flavors, flavor enhancers and
bionutrients; fragrances and aroma chemicals; dehydrated
vegetables and other food ingredients; natural and synthetic
food colors; cosmetic and pharmaceutical additives; inkjet inks,
technical colors, and specialty dyes and pigments, and chemicals
for laser printing and flat screen displays.  In Europe,
Sensient maintains operations facilities and/or sales offices in
Belgium, Bosnia, Croatia, Cyprus, Czech Republic, Germany,
United Kingdom, France, Estonia, United Kingdom, Macedonia,
Poland, Romania, Serbia and Montenegro, Turkey, Ukraine, and
Wales.  In Latin America, it has operations in Argentina,
Bolivia, Brazil, Colombia, Costa Rica, Chile, Mexico, Peru,
Uruguay and Venezuela.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on July 23,
2007, Standard & Poor's Ratings Services has revised its outlook on
Milwaukee, Wis.-based Sensient Technologies Corp. to stable from negative.
At the same time, Standard & Poor's affirmed its 'BB+' corporate credit
and senior unsecured debt ratings on the company.  Approximately US$508
million of debt was outstanding as of June 30, 2007.




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


CHRYSLER LLC: Offers to Sell Non-Core Assets in UAW Talks
---------------------------------------------------------
Chrysler LLC has proposed, in its continuing contract talks with the
United Auto Workers union, the shutdown or sale of its Mopar unit and of
Chrysler Transport, the Wall Street Journal reports, quoting people
familiar with the matter.

According to the report, sources have revealed that the UAW
opposes the divestitures.  Mopar makes high-performance and
specialty auto parts while Chrysler Transport manages deliveries of
supplies to Chrysler plants.  Together they employ almost 1,300 workers.

Cerberus Capital Management LP, Chrysler's new owner is bent on
improving cash flow, which in turn has Chrysler looking to win
UAW backing for a number of moves that would cut costs and
improve cash flow immediately, Gina Chon and Jeffrey Mccracken
write for WSJ.  On the other hand, General Motors Corp. and Ford Motor
Company, which are also in talks with the union, are
aiming for long-term cost reductions.

If Chrysler decides to sell or shut down some of its non-core
assets, it intends to relocate the affected workers or find
other ways to ensure that the employees would keep their jobs,
WSJ relates, citing people familiar with the matter as its
source.

                      About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The company has dealers worldwide, including Canada, Mexico,
U.S., Germany, France, U.K., Argentina, Brazil, Venezuela,
China, Japan and Australia.

                        *    *    *

As reported in the Troubled Company Reporter on Aug. 8, 2007,
Standard & Poor's Ratings Services revised its loan and recovery ratings
on Chrysler LLC's (B/Negative/--) US$10 billion senior secured first-lien
term loan facility due 2013, following various changes to terms and
conditions prior to closing.  The US$10 billion first-lien term loan now
consists of a US$5 billion "first-out" tranche and a US$5 billion
"second-out" tranche, so the aggregate amount of first-lien debt remains
unchanged.

Accordingly, S&P assigned a 'BB-' rating to the US$5 billion "first-out"
first-lien term loan tranche.  This rating, two notches above the
corporate credit rating of 'B' on Chrysler LLC, and the '1' recovery
rating indicate S&P's expectation for very high recovery in the event of
payment default.  S&P also assigned a 'B' rating to the US$5 billion
"second-out" first-lien term loan tranche.  This rating, the same as the
corporate credit rating, and the '3' recovery rating indicate S&P's
expectation for a meaningful recovery in the event of payment default.

Moody's Investors Service has affirmed Chrysler Automotive LLC's B3
Corporate Family Rating, and the Caa1 rating of the company's US$2 billion
senior secured, second lien term loan in connection with Monday's closing
of DaimlerChrysler AG's sale of a majority interest of Chrysler Group to
Cerberus Capital Management LLC.


CHRYSLER LLC: UAW Open to Health Care Trust Fund; Seeks Pact
------------------------------------------------------------
The United Auto Workers union is amenable to creating a trust
fund for retiree health-care benefits as long as all of the
parties involved can reach an agreement on funding terms, The
Detroit News relates.

UAW leaders understand that transferring tens of billions of
dollars in liability from the books of Detroit's "Big Three"
automakers -- General Motors Corp., Ford Motor Co., and Chrysler LLC -- to
trust funds controlled by them could work, Bryce G. Hoffman writes for The
Detroit News, quoting sources close to the contract negotiations.

According to the report, executives of the three companies
believe that paying the United Auto Workers to assume
responsibility for retiree health benefits is the best way to
make their companies cost-competitive again.  However, the
automakers' plan to fund part of their workers' benefits with
company stock could make it quite difficult for union members to accept
the offer.

Patterned after similar deals at Goodyear Tire & Rubber Co. and
Dana Corp., the three car makers want to pay the union to
establish what are called voluntary employee beneficiary
associations, or VEBAs, that would assume responsibility for
hourly retiree health benefits.  They had proposed VEBAs in
their initial economic offers to the UAW, Mr. Hoffman of The
Detroit News states.

A VEBA would cost each automaker billions -- as much as
US$35 billion in GM's case -- but it would permanently remove billions
more in liabilities from their balance sheets.  It also guarantees the
union's right to protect those benefits should any of the automakers file
for bankruptcy, The Detroit News reveals.

Meanwhile, the UAW's top negotiator on its General Motors Corp.
bargaining team vowed that retirees won't have to pay more for
their health care in the next national contract, Louis Aguilar
writes for The Detroit News.

"I can tell you one thing, we are determined not to put any more costs on
retirees for their health care," said UAW Vice
President Cal Rapson.

In June 2007, that the car companies are trying to deal with health care
costs that GM CEO Rick Wagoner says cost them a combined US$12 billion in
2006.  Providing health care to 2 million employees, retirees and
dependents contributed to losses at each of the U.S. automakers last year,
while Japanese rivals posted record profits.  The difference is made even
more significant by higher pensions and retiree health care costs.

GM and Ford hourly labor costs -- US$73.26 and US$70.51, respectively --
are about US$30 an hour higher than those paid
by Japanese competitors operating U.S. plants.  The UAW's
current four-year contract with the "Big Three" automakers
expires Sept. 14, 2007.

                      About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The company has dealers worldwide, including Canada, Mexico,
U.S., Germany, France, U.K., Argentina, Brazil, Venezuela,
China, Japan and Australia.

                        *    *    *

As reported in the Troubled Company Reporter on Aug. 8, 2007,
Standard & Poor's Ratings Services revised its loan and recovery ratings
on Chrysler LLC's (B/Negative/--) US$10 billion senior secured first-lien
term loan facility due 2013, following various changes to terms and
conditions prior to closing.  The US$10 billion first-lien term loan now
consists of a US$5 billion "first-out" tranche and a US$5 billion
"second-out" tranche, so the aggregate amount of first-lien debt remains
unchanged.

Accordingly, S&P assigned a 'BB-' rating to the US$5 billion "first-out"
first-lien term loan tranche.  This rating, two notches above the
corporate credit rating of 'B' on Chrysler LLC, and the '1' recovery
rating indicate S&P's expectation for very high recovery in the event of
payment default.  S&P also assigned a 'B' rating to the US$5 billion
"second-out" first-lien term loan tranche.  This rating, the same as the
corporate credit rating, and the '3' recovery rating indicate S&P's
expectation for a meaningful recovery in the event of payment default.

Moody's Investors Service has affirmed Chrysler Automotive LLC's B3
Corporate Family Rating, and the Caa1 rating of the company's US$2 billion
senior secured, second lien term loan in connection with Monday's closing
of DaimlerChrysler AG's sale of a majority interest of Chrysler Group to
Cerberus Capital Management LLC.


CHRYSLER LLC: US Sales Dip 6% to 168,203 Units in August 2007
-------------------------------------------------------------
Chrysler LLC reported U.S. sales for August 2007 of 168,203
units; down 6% compared to August 2006 with 179,165 units sold.  All sales
figures are reported as unadjusted.

"Overall, the industry experienced softer sales in August than a year
ago," Darryl Jackson, vice president of U.S. Sales, said.  "Our fleet
sales are down more than 20% versus August 2006.  While this has driven
the overall sales decrease for the month, it is directly in line with the
company's Recovery and Transformation Plan to reduce sales of our daily
rental fleet during the second half of the year."

Chrysler brand car sales were led by Sebring Sedan which posted
sales of 4,929 for August, up 66% over the prior month.  Chrysler Sebring
Convertible finished the month with sales of 2,730 units improving 8% over
July.  Chrysler Aspen sales also rose 62% versus July with 3,599 units,
posting its best month ever.

The Jeep brand was down 1% versus last year while Wrangler and Compass
posted gains over August 2006.  Jeep Wrangler and Wrangler Unlimited
posted sales of 9,464 units, up 58% compared to August 2006 with 6,002
units sold.  The Jeep Compass finished the month with sales of 3,625
units, up 76% from last year.

Dodge brand car sales increased 13% over last year led by
Dodge Caliber which posted a gain of 5%.  Dodge truck sales were down 14%
over August 2006.  The all-new Dodge Nitro was up 51% over July 2007.

"Our exciting new 2008 models combined with the new Chrysler
Lifetime Powertrain Warranty continues to drive showroom traffic and
contributed to stronger closing rates in August," Michael Keegan, vice
president for Volume Planning and Sales
Operations, said.  "Chrysler will continue to support 2007 model year
close-out with a highly competitive 0% APR into September."

Chrysler finished the month with 446,249 units of inventory, or
a 72-day supply.  Inventory is down by 11% compared to August 2006 when it
was at 502,946 units.

                     About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

The company has dealers worldwide, including Canada, Mexico,
U.S., Germany, France, U.K., Argentina, Brazil, Venezuela,
China, Japan and Australia.

                        *     *     *

As reported in the Troubled Company Reporter on Aug. 8, 2007,
Standard & Poor's Ratings Services revised its loan and recovery ratings
on Chrysler LLC's (B/Negative/--) US$10 billion senior secured first-lien
term loan facility due 2013, following various changes to terms and
conditions prior to closing.  The US$10 billion first-lien term loan now
consists of a US$5 billion "first-out" tranche and a US$5 billion
"second-out" tranche, so the aggregate amount of first-lien debt remains
unchanged.

Accordingly, S&P assigned a 'BB-' rating to the US$5 billion "first-out"
first-lien term loan tranche.  This rating, two notches above the
corporate credit rating of 'B' on Chrysler LLC, and the '1' recovery
rating indicate S&P's expectation for very high recovery in the event of
payment default.  S&P also assigned a 'B' rating to the US$5 billion
"second-out" first-lien term loan tranche.  This rating, the same as the
corporate credit rating, and the '3' recovery rating indicate S&P's
expectation for a meaningful recovery in the event of payment default.

Moody's Investors Service has affirmed Chrysler Automotive LLC's B3
Corporate Family Rating, and the Caa1 rating of the company's US$2 billion
senior secured, second lien term loan in connection with Monday's closing
of DaimlerChrysler AG's sale of a majority interest of Chrysler Group to
Cerberus Capital Management LLC.


PETROLEOS DE VENEZUELA: Earns US$5.45 Billion in 2006
-----------------------------------------------------
Venezuelan state-owned oil firm Petroleos de Venezuela SA said in a
statement that its net profit decreased 16% to US$5.45 billion in 2006,
compared to US$6.48 billion in 2005.

According to Petroleos de Venezuela’s statement, global net revenue
increased US$99.3 billion in 2006, from US$85.7 billion in 2005.  Profits
declined as the firm’s contributions to the state rose to US$39.2 billion.
The company contributed about 2.33 million barrels per day to Venezuela's
production of 3.25 million barrels per day in 2006.  It exported 2.39
million barrels a day of crude as well as related products, while
Venezuela as a whole exported some 2.98 million barrels per day.

Alcaraz Cabrera Vazquez, a KPMG Internacional group subsidiary, conducted
the audit of Petroleos de Venezuela’s financial results, Business News
Americas states.

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

As reported on 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: Alcasa Must Invest US$10 Mil. to Reactivate Plant
--------------------------------------------------------------
An official of Venezuelan state-owned aluminum reducer Alcasa told
Business News Americas that the company will be required to invest about
US$10 million for the reactivation of its carbon anodes plant and return
it to its original state before a fire in May 2007.

According to BNamericas, two of the plant’s 10 mixers for grinding and
compressing coal were destroyed in a fire in May 2007.  This forced Alcasa
to reorganize production at furnaces 1 and 2 to avoid affecting
operations.

Alcasa labor union Sintralcasa member Leomar Botini commented to
BNamericas that due to Alcasa's financial situation, the US$10-million
investment would be the quick solution.  A new plant would require
investments of close to US$90 million.

In May, a fire destroyed two of the plant's 10 mixers used for grinding
and compressing coal, forcing the company to reorganize output at furnaces
1 and 2 in order to avoid affecting operations, BNamericas previously
reported.

Service firm Inelectra is analyzing the damaged structural system,
BNamericas says, citing Mr. Botini.  On Oct. 15, 2007, the company should
present a study that looks at civil reconstruction, as well as the
rebuilding of mechanical and electrical parts.  When the report is
available, the procurement process will take three months.  The
procurement is the first step toward restarting the plant, which will take
a total of 12 months.

                         About Alcasa

Alcasa is a state-run aluminum reducer in Puerto Ordaz, Venezuela.  It is
92% owned by state heavy industry holding company CVG, while the remaining
8% belongs to US company Alcoa.

                        *     *     *

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 ratings'
outlook remains stable.


* VENEZUELA: State Firm Inks Aluminum Supply Pact with Fluorcid
---------------------------------------------------------------
Venezuelan state-owned heavy industry holding firm Corporacion Venezolana
de Guayana’s aluminum reducer Venalum has signed an accord with Italy's
Fluorcid to get 8,484 tons per year of aluminum fluoride, Business News
Americas reports.

A Venalum official commented to BNamericas, "The important part of the
contract is that the company will be able to count on the raw material
that is fundamental to aluminum reduction."

The contract will last for three years.  It will cover 60% of Venalum's
fluoride needs every year, BNamericas states, citing the official.

                        *     *     *

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 ratings'
outlook remains stable.


* BOND PRICING: For the Week Sept. 3 to Sept. 7
-----------------------------------------------

Issuer                 Coupon   Maturity   Currency   Price
------                 ------   --------   --------   -----

ARGENTINA
---------
Argnt-Bocon PR11        2.000    12/3/10     ARS      63.55
Argnt-Bocon PR13        2.000    3/15/24     ARS      64.29
Arg Boden               2.000    9/30/08     ARS      41.53
Argent-Par              0.630   12/31/38     ARS      40.62

BRAZIL
------
CESP                    9.750    1/15/15     BRL      53.41

CAYMAN ISLANDS
--------------
Vontobel Cayman         8.300   12/28/07     CHF      66.95
Vontobel Cayman        10.700   12/28/07     CHF      56.00
Vontobel Cayman        11.400   12/28/07     CHF      62.75
Vontobel Cayman        11.400   12/28/07     CHF      68.50
Vontobel Cayman        11.650   12/28/07     CHF      68.50
Vontobel Cayman        11.850   12/28/07     CHF      69.90
Vontobel Cayman        13.150   10/25/07     EUR      73.50
Vontobel Cayman        13.350   12/28/07     EUR      56.15
Vontobel Cayman        13.450   12/28/07     EUR      71.50
Vontobel Cayman        13.500   02/22/08     CHF      51.10
Vontobel Cayman        14.900   12/28/07     CHF      50.20
Vontobel Cayman        16.000   12/28/07     EUR      59.35
Vontobel Cayman        16.800   12/28/07     CHF      40.00
Vontobel Cayman        12.850   12/28/07     CHF      38.85

VENEZUELA
---------
Petroleos de Ven        5.250    4/12/17     US       69.02
Petroleos de Ven        5.375    4/12/27     US       58.07
Petroleos de Ven        5.500    4/12/37     US       55.95


* Large Companies with Insolvent Balance Sheets
-----------------------------------------------

                               Total
                               Shareholders  Total
                               Equity        Assets
Company                 Ticker  (US$MM)       (US$MM)
-------                 ------  ------------  -------
Arthur Lange             ARLA3     (20.56)      53.30
Kuala                    ARTE3     (33.57)      11.86
Chiarelli SA             CCHI3     (58.72)      36.44
Ceper-Inv                CEP        (7.77)     120.08
Ceper-B                  CEP/B      (7.77)     120.08
CIC                      CIC    (1,883.69)  22,312.12
Telefonica Hldg          CITI   (1,481.31)     307.89
Telefonica Hldg          CITI5  (1,481.31)     307.89
SOC Comercial PL         COME     (758.79)     457.40
Angel Estrada            ESTR      (68.23)      68.97
Estrada-A                ESTR5     (68.23)      68.97
Gazola                   GAZ03     (43.13)      22.28
Hercules                 HETA3    (233.64)      33.23
IMPSAT Fiber Networks    IMPTQ     (17.16)     535.01
Kepler Weber             KEPL3     (22.20)     478.81
Minupar                  MNPR3     (27.02)     206.98
Telebras-CM RCPT         RCTB30   (139.38)     235.03
Rimet                    REEM3    (219.34)      93.47
Schlosser                SCL03     (55.17)      51.93
Telebras SA              TELB3    (139.38)     235.03
Telebras-CM RCPT         TELE31   (139.38)     235.03
Telebras SA              TLBRON   (139.38)     235.03
Varig SA                 VAGV3  (8,194.58)   2,169.10
FER C Atlant             VSPT3    (151.49)   1,914.18
WIEST                    WISA3    (107.73)      92.66




                        ***********


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, Christian
Toledo, and Pamella Ritah K. Jala, 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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Information contained herein is obtained from sources believed to be
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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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